Repository: UIHistories Project: Board of Trustees Minutes - 1986 [PAGE 439]

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428

BOARD OF TRUSTEES

[November 14

land), to expend all funds remaining in the grant. The land would be purchased from the University of Illinois Foundation which acquired it for the University :n 1979. O n motion of M r . Forsydi, this recommendation was approved. By consensus, the board agreed that one roll call vote would be taken and considered the vote on each agenda item nos. 18 through 33 inclusive. T h e recommendations were individually discussed but acted upon at one time. ( T h e record of board action appears a t the end of each item.) Contract with Hayt, Hayt, and Landau, University Hospital, Chicago (18) The chancellor at Chicago has recommended that the Board of Trustees contract with the law firm of Hayt, Hayt, and Landau to assist the University Hospital in filing Medical Assistance-No Grant (MANG) applications for patients needing care but unable to pay for it. The firm has developed expertise in processing MANG applications and is the only firm endorsed by the Chicago Hospital Council. Presently, the hospital staff seeks to help patients file MANG applications, but many applications will be successful only with the special knowledge and follow-up techniques developed by Hayt, Hayt, and Landau. The contract proposed would be from November 15, 1985, through the end of the fiscal year, at a fixed commission of 27 percent of collections. Estimated gross revenues total $987,000, with expenses of $266,490. During this period the firm will instruct hospital employees, and in FY 1987 the hospital will institute an expanded program of its own. Collections will be received directly by the hospital and deposited in the Hospital Income Fund. No payments will be made until collections are received. The vice president for business and finance has recommended approval. I concur. O n motion of Mrs. Gravenhorst, diis recommendation was approved by the following vote: Aye, Mrs. Day, Mr. Forsyth, Mrs. Gravenhorst, Mr. H a h n , Mr. Howard, Mr. Logan, Mr. Madden, Mrs. Shepherd; no, none; absent, Miss Smidi, Governor Thompson. ( T h e student advisory vote was: Aye, Mr. Becker, Mr. L a m m ; no, none.) Contracts with Collection Agencies, University Hospital, Chicago (19) For a number of years the University Hospital has engaged one or more firms to collect unpaid patient accounts which the hospital has been unable to collect through its regular efforts. In practice, the agency collects all funds and remits to the hospital the amount collected, less the agency's fee. In the University's most recent compliance audit, the auditors recommended that the collection agency agreements be rewritten to require that all funds collected be remitted to the hospital; and that the hospital pay the agency fee from the funds collected. It is recommended that five collection agencies be employed. They were selected based upon their records of performance and on the quality of the proposals submitted to the hospital. (The agencies recommended, their percent fee — which is fixed, and the amounts expected to be placed with them, are listed on a table filed with the secretary.) The University reserves the right to adjust the amount of accounts to be placed with an agency based on its experience during the year. No guarantees of dollar placements are made and no funds are paid until they are collected. All funds collected will be deposited into the Hospital Income Fund and the agency fee will be paid from the same source.