Policy Manual sample

MDT Home Health Care Agency, Inc. FINANCIAL PLANNING POLICY The home health care agency implements a financial process for financial decision making a budget preparation. PURPOSE 1. To ensure that the financial planning process is designed and implemented in a manner conductive to meet the home health care agency financial objectives and goals. 2. To ensure compliance with the budgetary guidelines and restrictions regarding the operation of a health care business. PROCEDURES 1. The Board of Directors, President, Administrator, the Director of Nursing, Clinical Manager, and Accountant provide input into the financial planning process as described in the Financial Planning List of Responsibilities. 2. The Administrator of the Home Health care agency submits home health care objectives to the President of the Home Health Care Agency on a yearly basis. 3. The Home Health Care Agency budget recommendations are reviewed by the Administrator of Home Health Care Agency and the President/Board of Directors, based on budget recommendations relative to: a. Home health care agency objectives b. Federal-state regulations c. Medicare and Medicaid reimbursements if applicable d. Corporate financial solvency e. Measurements to determine patient care/needs f. Agency's staffing plan and benefits (if applicable) g. Other sources that address the adequacy of fiscal and other resource allocations for provision of patient care 4. Reviews and approves invoices 5. Develops and implements systems to monitor expenses and revenue according to the budget and actual cost reports. 6. Assess and recommends the budget plan and the necessary revisions. 7. Develops and implements the long-range financial plan. 8. The budget review process will consider the appropriateness of Agency's plan for providing health care which meets the patient's needs. 9. The budget will be reviewed by Agency leadership to measure the performance of each Agency site and/or aspect of care relative to the approved budget, including measuring and acting upon identified variances under the direction of the Board of Directors. 10. An annual external financial review will be conducted beginning within one year of agency providing billable services. Home Health Agency Overall Plan and Budget F-3