As of the July, 2022, release via CMS

SALEM COMMUNITY HOSPITAL

CMS id: 360185
1995 EAST STATE STREET, SALEM OH 44460. County: COLUMBIANA
System: --
CBSA: Salem, OH

The 87-bed, acute-care hospital had $1,226,634 in net service to patients*, with a total profit margin of 13.32743% in fiscal year 2021, the latest year available.
It spent 2.29% of its operating expenses on uncompensated care and reported $1,090,217 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	158 118	77 118	77 119.5	77 118	77 119
Total beds Median	183 162	102 162	102 162	102 162	87 163.5
FTEs Median	862.70 788.06	851.38 793.42	730.71 806.03	670.80 787.61	650.85 804.34

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	107,675,213 150,932,746	105,372,694 158,950,878	118,150,717 168,696,998	112,582,313 163,454,693	118,370,708 186,589,412
Operating expenses Median	117,836,622 149,311,209	121,468,132 156,110,414	116,090,917 164,890,568	113,982,455 166,516,854	117,144,074 180,120,888
Net income from service 2 patients (NS2P) ? Median	-10,161,409 -964,173	-16,095,438 -643,601.5	2,059,800 -116,254	-1,400,142 -5,025,862	1,226,634 -1,284,564
NS2P margin ? Median	-9.44% -0.62	-15.27% -0.29	1.74% 0.18	-1.24% -5.07	1.04% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for SALEM COMMUNITY 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	9,275,428 5,089,215	11,224,871 4,572,541	7,458,149 5,268,134	11,848,073 13,092,619	16,786,318 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	239,772 224,999	164,135 199,009	130,558 206,870.5	0 194,343	0 249,496
⊳ Line 7: Investments ? ⊳ Median	7,249,501 299,524	9,739,677 188,688.5	6,565,917 370,813	3,643,405 309,361.5	8,457,780 375,329
⊳ Line 8: Revenue from telephone service	NULL	NULL	NULL	NULL	NULL
⊳ Line 9: Revenue from tv and radio	--	--	--	--	--
⊳ Line 10: Purchase discounts	23,938	6,536	9,930	8,116	8,987
⊳ Line 11: Rebates and refunds of expenses	0	0	0	13,979	23,015
⊳ Line 12: Parking lot receipts	0	0	0	0	0
⊳ Line 13: Revenue from laundry and linen service	14,063	13,174	11,849	7,046	3,243
⊳ Line 14: Revenue from meals sold to emplyees and guests	665,833	648,758	152,332	0	55
⊳ 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	16,982	16,107	15,266	9,534	6,561
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	0	0	0	21,074	13,174
⊳ Line 20: Revenue from gifts, flowers, coffee shops, canteen	164,719	172,558	103,117	85,883	63,403
⊳ Line 21: Rental of vending machines	0	0	0	8,219	2,432
⊳ Line 22: Rental of hospital space	121,448	313,926	428,854	0	0
⊳ Line 23: Gov appropriations ? ⊳ Median	450,166 1,017,693	62,970 983,261.5	40,326 1,173,286	43,525 1,987,202	157,869 1,597,664
⊳ Sum Line 24	329,006	87,030	--	8,002,722	8,047,339
Total income ? Median	-885,981 6,586,430	-4,870,567 6,767,106	9,517,949 8,419,950	10,447,931 8,094,175	18,012,952 15,162,888
Non-operating expenses Median	0 146,289.5	74,267 164,857	2,210,450 89,880.5	2,295,086 106,761	0 31,473.5
Net income Median	-885,981 6,043,842	-4,944,834 5,845,112	7,307,499 7,606,259	8,152,845 7,283,041	18,012,952 14,957,241
Net margin Median	-0.75757% 4.62%	-4.24094% 4.42%	5.81766% 5.16%	6.55213% 5.2%	13.32743% 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 SALEM COMMUNITY 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	11,599,872 23,241,334	11,193,282 23,709,545	14,507,393 24,248,380	13,066,217 22,858,541	10,799,329 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	10,769,964 21,577,146	10,399,981 22,041,594	13,930,786 22,722,063	12,967,376 21,570,441	10,799,329 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	829,908 1,203,033	793,301 1,215,295	576,607 1,313,657	98,841 1,365,298	0 1,179,746
All outpatient revenue Median Click here to show/hide details	8,954,243 11,160,864	9,727,180 11,987,345	10,779,621 12,926,866	9,916,576 11,884,480	10,846,390 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	8,954,243 10,918,923	9,727,180 11,706,976	10,779,621 12,615,917	9,916,576 11,458,116	10,846,390 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	0 3,284,314	0 3,250,551	0 3,386,837	0 3,360,806	0 3,508,953
Disproportionate-share hospital (DSH) Median	138,133 594,888	105,305 595,761	0 577,894	0 542,168	0 549,667
Outlier Median	289,771 582,572	208,387 538,116	310,663 212,434	0 126,559	14,498 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	4,741,045 3,662,910	2,533,814 3,730,911	2,567,295 4,081,319	1,583,251 4,643,908	1,090,217 4,389,147
Charity care Median	1,090,344 2,654,636	1,561,749 2,940,659	1,167,577 3,380,215	2,433,243 3,488,738	1,856,995 3,233,405
Uncompensated care (UCC) Median	2,514,315 5,147,790	2,685,393 5,337,617	1,941,797 5,711,082	3,167,682 5,923,418	2,682,159 5,508,107
UCC as a % of operating expenses Median	2.13% 3.24	2.21% 3.12	1.67% 3.21	2.78% 3.3	2.29% 2.86
Total shortfall/UCC Median	7,255,360 9,489,989	5,219,207 9,424,297	4,509,092 10,120,158	4,750,933 11,171,337	3,772,376 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	47,079,560 52,142,039	48,367,914 54,485,252	44,193,020 57,395,589	43,923,093 58,830,919	44,349,789 61,722,907
Salaries as a % of operating expenses Median	39.95 36.68	39.82 36.56	38.07 36.37	38.53 35.93	37.86 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	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	780,009 1,449,244	1,065,966 1,475,986	1,214,129 1,563,078	1,461,400 1,721,954	1,808,641 2,991,828
Contract hours, direct-care Median	11,417.38 22,725	13,212.55 23,018.5	16,740.75 24,503.48	23,588.64 25,026.5	22,179.56 33,786
Contract wages, direct-care Median	68.32 64.67	80.68 64.53	72.53 65.06	61.95 68.97	81.55 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.