Future of GMH Remains Uncertain, Audit Says

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 The Office of Public Accountability says GMH had an operating loss of $25.8 million.

Guam – For the third year in a row, the Office of Public Accountability emphasized the uncertainty in the Guam Memorial Hospital’s ability to continue operating.

 

This was the highlight of a financial audit of GMH in which the OPA says the hospital is once again in a precarious situation as they continue to spend more than they make.

“GMHA has incurred recurring losses and negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern,” the report reads.

Adding to their struggles to maintain balance is a revolving door of leadership positions, the OPA says. Although the hospital received a clean opinion on compliance and internal controls, independent auditors Deloitte and Touche found two major issues with regards to the measure the hospital management takes in collecting on patient receivables and on inventory measure for their pharmacy department.

For fiscal year 2015, the OPA says GMH had an operating loss of $25.8 million.

You can read the highlights by clicking on the file below.

 

gmha_fy_2015_highlights_final.pdf