Grady Memorial Hospital Corporation should be back on track to receive its allowance from Fulton County today, but not without another tongue lashing.

The long-running contract dispute that has held up $10 million in payments to the state's largest charity hospital, jeopardizing future payments in a time of painful cuts, is expected to be settled. In the same commission meeting, though, Vice Chair Emma Darnell will ask the board to oppose the closing of two neighborhood clinics.

Darnell said Grady cannot justify the cuts while it pays six-figure executive salaries and hires outside consultants.

"It's hard for me to go and tell my folks that they have to close those clinics because they don't have any money," Darnell said.

Grady spokesman Matt Gove said executive pay and consultant expenses played no role in the clinics closing. "If Fulton County had not cut our funding by $34 million over the past three years," he said, "perhaps we would have been able to keep the clinics open, as well as build up additional services for Fulton County residents."

Today's meeting is the last one scheduled before a $13 million installment is due to Grady on April 10. The county budgeted an allocation of up to $52.2 million this year, but negotiations on how to subtract federal indigent care funds from the county's payments came to an impasse. A 2009 agreement, put in place after the near financial collapse of Grady and the transfer of control to the corporate board, requires proof that all Fulton tax dollars go to treating Fulton indigent and uninsured patients.

Last month, at the urging of Chairman John Eaves, the commission formed an ad hoc committee composed of county, Grady and Fulton-DeKalb Hospital Authority representatives. Documents obtained by The Atlanta Journal-Constitution show the group accomplished its mission, ironing out the definition of Fulton needy patients, how the hospital should be compensated and how to factor federal funds.

Under the recommendations, the county would pay for homeless patients who say they’re from Fulton whether or not documentation is available. Fulton jail inmates and detainees would also be included.

Grady would also be paid monthly instead of quarterly, providing more frequent reports on the Fulton patients it serves. If more disputes arise, then it will be up to the heads of the county commission, the hospital authority and the Grady corporate board to hash out a resolution.

Eaves said he’s confident the recommendations will be approved. “This was a clean process; it was objective," he said.

Darnell has introduced a resolution urging the hospital authority to enforce its lease with the Grady corporation and keep the Otis W. Smith Health Center in southwest Atlanta and South DeKalb Health Center in Decatur opened. The hospital says the closings will save $1.8 million per year.

The Smith clinic, in her district, serves low-income patients, many of whom lack transportation, Darnell said. Placing hardships on elderly residents and single mothers is unacceptable, she said, when 10 to 11 executives earn more than $300,000 per year.

Documents obtained through an open records request, however, show only five earning that much, or six when counting bonuses.

"That's six too many, when you're closing clinics in my district," Darnell said.

Details of  a deal

Fulton County has settled a dispute with Grady Hospital Corporation that would resume payments to the hospital for indigent care. Fulton County has budgeted $52 million for Grady indigent care. About the agreement.

  • Grady will be paid monthly instead of quarterly, which will help the hospital's cash flow.
  • Grady will submit monthly reports on Fulton needy patients
  • Fulton will pick up the tab on homeless patients who say they live in the county without requiring proof of residency
  • Fulton will pay for its inmates and detainees