As of the July, 2022, release via CMS

FAIRVIEW HOSPITAL

CMS id: 360077
18101 LORAIN AVE, CLEVELAND OH 44111. County: CUYAHOGA
System: CLEVELAND CLINIC
CBSA: Cleveland-Elyria, OH

The 466-bed, acute-care hospital had $130,768,643 in net service to patients*, with a total profit margin of 45.88655% in fiscal year 2021, the latest year available.
It spent 2.47% of its operating expenses on uncompensated care and reported $8,214,511 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	349 118	349 118	380 119.5	376 118	376 119
Total beds Median	435 162	435 162	470 162	466 162	466 163.5
FTEs Median	2,332.50 788.06	2,360.54 793.42	2,323.21 806.03	2,342.98 787.61	2,350.02 804.34

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	472,762,759 150,932,746	480,442,269 158,950,878	506,986,624 168,696,998	515,305,528 163,454,693	591,812,023 186,589,412
Operating expenses Median	402,439,818 149,311,209	408,245,444 156,110,414	412,217,387 164,890,568	426,789,365 166,516,854	461,043,380 180,120,888
Net income from service 2 patients (NS2P) ? Median	70,322,941 -964,173	72,196,825 -643,601.5	94,769,237 -116,254	88,516,163 -5,025,862	130,768,643 -1,284,564
NS2P margin ? Median	14.87% -0.62	15.03% -0.29	18.69% 0.18	17.18% -5.07	22.10% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for FAIRVIEW HOSPITAL 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	154,885,708 5,089,215	-26,332,165 4,572,541	177,688,050 5,268,134	244,507,474 13,092,619	260,182,040 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	272,995 224,999	315,170 199,009	359,848 206,870.5	447,404 194,343	32,184 249,496
⊳ Line 7: Investments ? ⊳ Median	10,598,973 299,524	12,080,671 188,688.5	14,089,710 370,813	12,792,415 309,361.5	16,388,653 375,329
⊳ Line 8: Revenue from telephone service	NULL	NULL	NULL	NULL	NULL
⊳ Line 9: Revenue from tv and radio	--	--	--	--	--
⊳ Line 10: Purchase discounts	14,821	16,858	9,542	7,168	0
⊳ Line 11: Rebates and refunds of expenses	0	0	0	0	0
⊳ Line 12: Parking lot receipts	1,334,052	1,306,736	1,424,350	776,449	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	4,978,800	4,104,236	0	-229	0
⊳ Line 18: Revenue from sale of medical records and abstracts	675	200	0	0	0
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	10,091	17,297	10,561	6,698	8,854
⊳ 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	1,076,269	1,174,398	919,942	811,467	971,306
⊳ 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	136,599,032	-45,347,731	160,874,097	229,666,102	242,781,043
Total income ? Median	225,208,649 6,586,430	45,864,660 6,767,106	272,457,287 8,419,950	333,023,637 8,094,175	390,950,683 15,162,888
Non-operating expenses Median	0 146,289.5	0 164,857	0 89,880.5	0 106,761	0 31,473.5
Net income Median	225,208,649 6,043,842	45,864,660 5,845,112	272,457,287 7,606,259	333,023,637 7,283,041	390,950,683 14,957,241
Net margin Median	35.88133% 4.62%	10.09990% 4.42%	39.79369% 5.16%	43.82968% 5.2%	45.88655% 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 FAIRVIEW HOSPITAL 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	72,296,626 23,241,334	71,399,271 23,709,545	70,637,029 24,248,380	67,130,378 22,858,541	62,640,733 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	72,296,626 21,577,146	71,399,271 22,041,594	70,637,029 22,722,063	67,130,378 21,570,441	62,640,733 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	0 3,535,627	0 3,746,588	0 3,782,288	0 3,865,578	0 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	0 1,203,033	0 1,215,295	0 1,313,657	0 1,365,298	0 1,179,746
All outpatient revenue Median Click here to show/hide details	31,545,154 11,160,864	30,930,696 11,987,345	32,272,955 12,926,866	29,542,008 11,884,480	33,511,192 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	31,545,154 10,918,923	30,930,696 11,706,976	32,272,955 12,615,917	29,542,008 11,458,116	33,511,192 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	6,785,149 3,284,314	6,515,655 3,250,551	6,320,959 3,386,837	5,887,299 3,360,806	5,707,802 3,508,953
Disproportionate-share hospital (DSH) Median	2,039,888 594,888	1,810,606 595,761	2,012,691 577,894	2,024,374 542,168	1,921,047 549,667
Outlier Median	327,466 582,572	355,228 538,116	100,190 212,434	53,987 126,559	53,523 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	8,527,106 3,662,910	16,398,096 3,730,911	19,141,102 4,081,319	17,133,221 4,643,908	8,214,511 4,389,147
Charity care Median	7,805,122 2,654,636	9,078,390 2,940,659	11,850,119 3,380,215	8,935,144 3,488,738	9,099,958 3,233,405
Uncompensated care (UCC) Median	11,312,487 5,147,790	12,704,908 5,337,617	14,806,060 5,711,082	11,869,605 5,923,418	11,399,581 5,508,107
UCC as a % of operating expenses Median	2.81% 3.24	3.11% 3.12	3.59% 3.21	2.78% 3.3	2.47% 2.86
Total shortfall/UCC Median	19,839,593 9,489,989	29,103,004 9,424,297	33,947,162 10,120,158	29,002,826 11,171,337	19,614,092 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	150,711,804 52,142,039	153,095,312 54,485,252	155,693,090 57,395,589	156,645,430 58,830,919	171,839,954 61,722,907
Salaries as a % of operating expenses Median	37.45 36.68	37.50 36.56	37.77 36.37	36.70 35.93	37.27 35.24
Intern, resident salaries* Median	4,723,723 2,598,592	4,047,157 2,686,824	3,263,825 2,753,773	3,370,384 2,937,156	3,568,298 2,909,848
Contract intern, resident salaries* Median	0 1,251,927	0 1,186,494	0 1,204,885	0 1,279,653	0 1,469,317
Contract adjusted salaries, direct-care Median	117,013 1,449,244	38,671 1,475,986	73,190 1,563,078	486,015 1,721,954	2,610,353 2,991,828
Contract hours, direct-care Median	2,003.00 22,725	673.00 23,018.5	1,248.00 24,503.48	7,419.00 25,026.5	26,261.00 33,786
Contract wages, direct-care Median	58.42 64.67	57.46 64.53	58.65 65.06	65.51 68.97	99.40 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.