As of the July, 2022, release via CMS

BUTLER MEMORIAL HOSPITAL

CMS id: 390168
ONE HOSPITAL WAY, BUTLER PA 16001. County: BUTLER
System: --
CBSA: Pittsburgh, PA

The 294-bed, acute-care hospital had $228,111 in net service to patients*, with a total profit margin of 15.50430% in fiscal year 2021, the latest year available.
It spent 1.57% of its operating expenses on uncompensated care and reported $1,188,755 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	240 118	232 118	231 119.5	221 118	238 119
Total beds Median	321 162	313 162	312 162	302 162	294 163.5
FTEs Median	1,475.54 788.06	1,525.00 793.42	1,549.00 806.03	1,529.00 787.61	1,525.70 804.34

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	268,269,428 150,932,746	277,162,454 158,950,878	272,755,534 168,696,998	247,886,872 163,454,693	268,376,646 186,589,412
Operating expenses Median	240,839,479 149,311,209	256,271,497 156,110,414	260,230,022 164,890,568	260,545,172 166,516,854	268,148,535 180,120,888
Net income from service 2 patients (NS2P) ? Median	27,429,949 -964,173	20,890,957 -643,601.5	12,525,512 -116,254	-12,658,300 -5,025,862	228,111 -1,284,564
NS2P margin ? Median	10.22% -0.62	7.54% -0.29	4.59% 0.18	-5.11% -5.07	0.08% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for BUTLER MEMORIAL 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	11,067,634 5,089,215	-3,150,347 4,572,541	-6,796,511 5,268,134	368,082 13,092,619	56,176,870 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	1,391,398 224,999	1,309,807 199,009	1,048,355 206,870.5	608,342 194,343	1,820,782 249,496
⊳ Line 7: Investments ? ⊳ Median	-673,725 299,524	-1,537,376 188,688.5	639,506 370,813	491,546 309,361.5	-477,680 375,329
⊳ Line 8: Revenue from telephone service	NULL	NULL	NULL	NULL	NULL
⊳ Line 9: Revenue from tv and radio	--	--	--	--	--
⊳ Line 10: Purchase discounts	27,478	18,505	68,932	18,281	10,483
⊳ Line 11: Rebates and refunds of expenses	0	0	188	0	0
⊳ Line 12: Parking lot receipts	0	0	0	0	0
⊳ Line 13: Revenue from laundry and linen service	28,706	56,485	24,032	51,610	39,906
⊳ Line 14: Revenue from meals sold to emplyees and guests	1,509,692	1,514,874	1,543,829	1,327,511	997,620
⊳ 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	1,636,560	1,659,361	1,580,377	1,798,573	2,048,166
⊳ Line 18: Revenue from sale of medical records and abstracts	7,527	5,022	5,410	4,106	2,890
⊳ 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	67,232	298,661	290,598	276,756	338,651
⊳ 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	7,072,766	-6,475,686	-11,997,738	-4,208,643	51,396,052
Total income ? Median	38,497,583 6,586,430	17,740,610 6,767,106	5,729,001 8,419,950	-12,290,218 8,094,175	56,404,981 15,162,888
Non-operating expenses Median	0 146,289.5	0 164,857	0 89,880.5	0 106,761	6,085,245 31,473.5
Net income Median	38,497,583 6,043,842	17,740,610 5,845,112	5,729,001 7,606,259	-12,290,218 7,283,041	50,319,736 14,957,241
Net margin Median	13.78177% 4.62%	6.47439% 4.42%	2.15409% 5.16%	-4.95064% 5.2%	15.50430% 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 BUTLER MEMORIAL 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	25,961,077 23,241,334	25,187,775 23,709,545	25,628,932 24,248,380	23,125,063 22,858,541	21,400,388 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	24,062,840 21,577,146	23,627,522 22,041,594	23,993,062 22,722,063	21,396,158 21,570,441	20,758,849 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	1,222,447 1,845,420	1,022,320 1,757,392	952,643 1,738,842	1,019,607 1,510,463	641,539 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	675,790 1,203,033	537,933 1,215,295	683,227 1,313,657	709,298 1,365,298	0 1,179,746
All outpatient revenue Median Click here to show/hide details	12,730,861 11,160,864	13,174,231 11,987,345	13,073,914 12,926,866	12,344,499 11,884,480	13,767,738 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	12,730,861 10,918,923	13,174,231 11,706,976	13,073,914 12,615,917	12,344,499 11,458,116	13,767,738 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	408,097 594,888	436,058 595,761	430,320 577,894	335,142 542,168	287,821 549,667
Outlier Median	650,550 582,572	341,189 538,116	359,355 212,434	46,507 126,559	99,804 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	5,156,800 3,662,910	6,681,981 3,730,911	6,190,273 4,081,319	7,611,256 4,643,908	1,188,755 4,389,147
Charity care Median	2,320,203 2,654,636	4,276,182 2,940,659	5,412,045 3,380,215	5,123,006 3,488,738	3,241,841 3,233,405
Uncompensated care (UCC) Median	3,850,341 5,147,790	5,686,194 5,337,617	18,293,218 5,711,082	5,649,591 5,923,418	4,212,235 5,508,107
UCC as a % of operating expenses Median	1.60% 3.24	2.22% 3.12	7.03% 3.21	2.17% 3.3	1.57% 2.86
Total shortfall/UCC Median	9,007,141 9,489,989	12,368,175 9,424,297	24,483,491 10,120,158	13,260,847 11,171,337	5,400,990 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	93,272,614 52,142,039	96,618,310 54,485,252	101,315,043 57,395,589	98,762,421 58,830,919	99,998,862 61,722,907
Salaries as a % of operating expenses Median	38.73 36.68	38.80 36.56	40.03 36.37	38.90 35.93	37.29 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	751,061 1,449,244	957,030 1,475,986	1,206,420 1,563,078	789,181 1,721,954	0 2,991,828
Contract hours, direct-care Median	8,902.00 22,725	13,136.00 23,018.5	15,298.00 24,503.48	8,428.00 25,026.5	0.00 33,786
Contract wages, direct-care Median	84.37 64.67	72.86 64.53	78.86 65.06	93.64 68.97	0.00 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.