As of the July, 2022, release via CMS

COVENANT MEDICAL CENTER

CMS id: 230070
1447 NORTH HARRISON, SAGINAW MI 48602. County: SAGINAW
System: --
CBSA: Saginaw, MI

The 535-bed, acute-care hospital had $-27,420,565 in net service to patients*, with a total profit margin of 13.71336% in fiscal year 2021, the latest year available.
It spent 1.04% of its operating expenses on uncompensated care and reported $0 in Medicaid shortfall.

* For more about Net Service to Patients and operating revenue, please the finance section below.

Note: Medians are from acute-care hospitals with "complete" fiscal years. For more about how we calculated medians and cost reports in general, please click here.

Details

	2017	2018	2019	2020	2021
# of days in fyear	365	365	365	366	365
Ownership	nfp	nfp	nfp	nfp	nfp
Acute beds Median	317 118	314 118	356 119.5	357 118	357 119
Total beds Median	519 162	516 162	534 162	535 162	535 163.5
FTEs Median	3,884.00 788.06	4,010.00 793.42	3,988.00 806.03	3,951.00 787.61	3,904.00 804.34

Finances As they appear in worksheet G3 of the cost reports.

Note: Net Patient Revenue is considered operating revenue, which means Net Service to Patients is considered operating profit. Click here for more about cost report financials

Hospital cost reports are an enormously complicated dataset. There are whole organizations and an offical CMS vendor dedicated to helping researchers work with the data.
It's important to understand that hospital financials in cost reports are not organized in the same as other sources such as annual financial reports to bond holders.

The biggest difference is the concept of operating revenue and profit. Net Service to patients (NS2P), which is the sum of net patient revenue minus operating expenses, is considered the equivalent of operating profit according to the Medicaid and CHIP Payment and Access Commission (MACPAC). See the last paragraph of "Primary Data Sources" on page 55 of Annual Analysis of Disproportionate Share Hospital Allotments to States (PDF).

That would make Net Patient Revenue = operating revenue.

All this makes things challenging when comparing what's reported in cost reports to other sources. It becomes clearer when you consider that, beyond the purpose of reimbursement, cost reports are a tool for policymakers trying to understand the financial situation of a hospital doing the tasks specific to hospitals.

In other words, while a facility with a division that formulates drugs might include earnings from that as operating revenue in their corporate annual result, this is not central to the operations of a hospital caring for patients and so it is counted as "other income." (See below the financials section for more on "other income")

The healthcare consulting firm HMP, in a former partnership with Modern Healthcare, did develop a formula for estimating operating revenue closer to what one might find in other sources. We no longer use this for the following reasons:

The measure was not widely used beyond HMP and Modern Healthcare. Many hospitals had their own internal estimates of operating revenue and profit.
Because of this, there was confusion when reporting operating results for individual hospitals. There was often pushback when a facility's internal numbers did not match what Modern Healthcare was reporting.
The formula includes revenue from portions of the "other income" section, which may also include non-operating revenue. HMP themselves point out in a caveat on their site that they cannot exclude all non-operating revenue from their measure.

HMP's operating measure has proven problematic in the past for our reporting and the partnership with them ended years ago. It's best to not use a measure that we alone cannot defend.

	2017	2018	2019	2020	2021
Net patient revenue ? Median	591,536,353 150,932,746	618,669,045 158,950,878	619,195,266 168,696,998	600,879,892 163,454,693	678,287,478 186,589,412
Operating expenses Median	596,392,305 149,311,209	628,926,673 156,110,414	635,260,298 164,890,568	648,153,890 166,516,854	705,708,043 180,120,888
Net income from service 2 patients (NS2P) ? Median	-4,855,952 -964,173	-10,257,628 -643,601.5	-16,065,032 -116,254	-47,273,998 -5,025,862	-27,420,565 -1,284,564
NS2P margin ? Median	-0.82% -0.62	-1.66% -0.29	-2.59% 0.18	-7.87% -5.07	-4.04% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for COVENANT MEDICAL CENTER compared to all** acute-care hospitals, from CMS cost reports.
Note: NS2P is considered operating margin by MACPAC. The chart below is interactive: click or touch to see more.

* Data range does not show outliers, which fall beyond the minimum and maximum of the range.
** From cost reports with complete fiscal years. Number of acute-care hospitals available to calculate medians:

2017	2018	2019	2020	2021
3,157	3,092	3,050	3,052	2,566

	2017	2018	2019	2020	2021
Other income* Median Click here to show/hide details	43,522,503 5,089,215	60,309,759 4,572,541	48,397,647 5,268,134	75,368,094 13,092,619	146,740,307 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	0 224,999	0 199,009	0 206,870.5	0 194,343	0 249,496
⊳ Line 7: Investments ? ⊳ Median	12,748,004 299,524	21,433,735 188,688.5	20,028,256 370,813	17,596,819 309,361.5	98,619,935 375,329
⊳ Line 8: Revenue from telephone service	NULL	NULL	NULL	NULL	NULL
⊳ Line 9: Revenue from tv and radio	--	--	--	--	--
⊳ Line 10: Purchase discounts	0	0	0	0	0
⊳ Line 11: Rebates and refunds of expenses	0	0	0	0	0
⊳ Line 12: Parking lot receipts	0	0	0	0	0
⊳ Line 13: Revenue from laundry and linen service	0	0	0	0	0
⊳ Line 14: Revenue from meals sold to emplyees and guests	0	0	0	0	0
⊳ Line 15: Revenue from rental of living quarters	0	0	0	0	0
⊳ Line 16: Revenue from sale of medical and surgical supplies	0	0	0	0	0
⊳ Line 17: Revenue from sale of drugs to other than patients	0	0	0	0	0
⊳ Line 18: Revenue from sale of medical records and abstracts	0	0	0	0	0
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	0	0	0	0	0
⊳ Line 20: Revenue from gifts, flowers, coffee shops, canteen	0	0	0	0	0
⊳ Line 21: Rental of vending machines	0	0	0	0	0
⊳ Line 22: Rental of hospital space	0	0	0	0	0
⊳ Line 23: Gov appropriations ? ⊳ Median	0 1,017,693	0 983,261.5	0 1,173,286	0 1,987,202	0 1,597,664
⊳ Sum Line 24	30,774,499	38,876,024	28,369,391	57,771,275	48,120,372
Total income ? Median	38,666,551 6,586,430	50,052,131 6,767,106	32,332,615 8,419,950	28,094,096 8,094,175	119,319,742 15,162,888
Non-operating expenses Median	0 146,289.5	0 164,857	0 89,880.5	12,782,323 106,761	6,180,700 31,473.5
Net income Median	38,666,551 6,043,842	50,052,131 5,845,112	32,332,615 7,606,259	15,311,773 7,283,041	113,139,042 14,957,241
Net margin Median	6.08866% 4.62%	7.37168% 4.42%	4.84316% 5.16%	2.26422% 5.2%	13.71336% 9.25%

* About "Other income": Other income, or line 25 in worksheet G3, is the sum of lines 6 through 24. It includes three lines that are considered non-operating revenue - contributions, investments and government appropriations. Medians are included for these three lines. It also contains items that are not central to providing healthcare, such as revenue from parking or gift shops.
"Sum Line 24" is a special case. Called "Other (specify)" in the cost reports, CMS allows for this line to be "subscripted," or divided into sublines like 002400, 002401, 002402. And hospitals do that, up to 100 lines, to detail income (and sometimes negative returns) that are otherwise not covered in the previous "other" lines. Therefore, "Sum Line 24" is the sum of all the lines 24.

Range* of total profit (loss) margins

= Total margin for COVENANT MEDICAL CENTER compared to all** acute-care hospitals, from CMS cost reports.
The chart below is interactive: click or touch to see more.

2017	2018	2019	2020	2021
3,157	3,092	3,050	3,052	2,566

Medicare revenue

Inpatient and outpatient revenue

	2017	2018	2019	2020	2021
All inpatient revenue Median Click here to show/hide details	124,482,265 23,241,334	118,584,399 23,709,545	103,706,027 24,248,380	98,865,662 22,858,541	106,044,428 23,620,613
"All inpatient revenue" is made up of any Medicare payments for routine inpatient, swingbed SNFs, TEFRA, IPF, IRF, inpatient long-term care, CAH and inpatient SNF facilities. Medians are only calculated when there are sufficient facilities reporting revenue.
⊳ Routine inpatient revenue ⊳ Median	112,493,005 21,577,146	107,573,357 22,041,594	93,170,043 22,722,063	88,736,527 21,570,441	93,769,646 22,140,684
⊳ Swingbeds ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Tax Equity and Fiscal Responsibility Act payments (TEFRA) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Inpatient psychiatric facility (IPF) ⊳ Median	0 1,845,420	0 1,757,392	0 1,738,842	0 1,510,463	0 1,393,140
⊳ Inpatient rehabilitation facility (IRF) ⊳ Median	10,387,494 3,535,627	9,618,877 3,746,588	9,180,830 3,782,288	8,691,491 3,865,578	11,185,233 3,983,889
⊳ Long-term care hospital (LTCH) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Critical-access hospitals ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Skilled-nursing facilities (SNF) ⊳ Median	1,601,766 1,203,033	1,392,165 1,215,295	1,355,154 1,313,657	1,437,644 1,365,298	1,089,549 1,179,746
All outpatient revenue Median Click here to show/hide details	40,935,964 11,160,864	40,991,130 11,987,345	40,486,189 12,926,866	34,017,234 11,884,480	36,115,539 13,145,163
"All outpatient revenue" is made up of any payments for routine outpatient, HHA, CMHC, rural health and other federally-qualified health clinics. Medians are only calculated when there are sufficient facilities reporting revenue.
⊳ Routine outpatient revenue ⊳ Median	40,935,964 10,918,923	40,991,130 11,706,976	40,486,189 12,615,917	34,017,234 11,458,116	36,115,539 12,776,716
⊳ Home Health agencies (HHA) ⊳ Median	0 1,282,808	0 1,407,728	0 1,341,512	0 1,407,046	0 1,476,867
⊳ Community mental health clinics (CMHC) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Rural health clinics ⊳ Median	0 618,038	0 697,279	0 690,232	0 684,010	0 670,558
⊳ Other federally qualified health clinics ⊳ Median	0 --	0 --	0 --	0 --	0 --

Other payments

Item	2017	2018	2019	2020	2021
Graduate Medical Education (GME) Median	7,183,334 3,284,314	7,195,345 3,250,551	6,957,313 3,386,837	7,563,255 3,360,806	8,430,479 3,508,953
Disproportionate-share hospital (DSH) Median	3,815,813 594,888	3,808,496 595,761	3,503,239 577,894	3,237,095 542,168	3,295,511 549,667
Outlier Median	1,996,680 582,572	1,367,235 538,116	901,142 212,434	177,400 126,559	213,931 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	3,591,793 3,662,910	3,465,446 3,730,911	0 4,081,319	4,011,311 4,643,908	0 4,389,147
Charity care Median	3,136,713 2,654,636	2,615,995 2,940,659	1,381,434 3,380,215	2,288,047 3,488,738	2,356,074 3,233,405
Uncompensated care (UCC) Median	6,734,869 5,147,790	10,450,542 5,337,617	7,056,689 5,711,082	7,301,810 5,923,418	7,368,345 5,508,107
UCC as a % of operating expenses Median	1.13% 3.24	1.66% 3.12	1.11% 3.21	1.13% 3.3	1.04% 2.86
Total shortfall/UCC Median	10,326,662 9,489,989	13,915,988 9,424,297	7,056,689 10,120,158	11,313,121 11,171,337	7,368,345 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	263,426,732 52,142,039	281,891,354 54,485,252	288,994,548 57,395,589	300,522,416 58,830,919	320,358,106 61,722,907
Salaries as a % of operating expenses Median	44.17 36.68	44.82 36.56	45.49 36.37	45.50 35.93	45.00 35.24
Intern, resident salaries* Median	0 2,598,592	0 2,686,824	0 2,753,773	0 2,937,156	0 2,909,848
Contract intern, resident salaries* Median	4,064,048 1,251,927	4,454,593 1,186,494	5,027,581 1,204,885	5,552,989 1,279,653	5,545,810 1,469,317
Contract adjusted salaries, direct-care Median	6,524,369 1,449,244	7,196,432 1,475,986	8,029,500 1,563,078	16,284,783 1,721,954	15,652,125 2,991,828
Contract hours, direct-care Median	185,212.00 22,725	196,364.00 23,018.5	225,287.00 24,503.48	367,478.67 25,026.5	236,848.00 33,786
Contract wages, direct-care Median	35.23 64.67	36.65 64.53	35.64 65.06	44.31 68.97	66.09 88.94

* in an approved program

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Cost reports are self-reported by the facility, are subject to revision and should be considered preliminary.

* Net Service to patients (NS2P) equals net patient revenue minus operating expenses. NS2P is considered the equivalent of operating profit according to the Medicaid and CHIP Payment and Access Commission (MACPAC). See the last paragraph of "Primary Data Sources" on page 55 of Annual Analysis of Disproportionate Share Hospital Allotments to States (PDF).

About medians

Medians are calculated from reports with "complete" fiscal years, or reports with fiscal years of at least 300 days and no more than 420 days.

In cases where there are fewer than 50 values reported, medians are not calculated. For childrens' hospitals, it's when fewer than 20 are reported.

Web app by Tim Broderick | email.