The Hood River glacier. (Hood River, Or.) 1889-1933, 1920-05-13
SOME HISTORY, SOME
Q PLANS FOR FUTURE
(An official history issued by the
Board of DirectOrs)

pital' Association of Hood River, Ore.
was Incorporated with a capital stoc
of $4,000 most of which was pur
chased by physicians then pIacticin!
in Hood River, and various merchant
and bankers of the town. The building
now occupied by the hospital was pur
chased with an encumbFance Of So, so
in the form Of a mortgage, and th
hospital opened for business in yer.
modest way at first.
1t was understood perfectly amonl
the stockholders that it was not de
signed as a money making project, ant
that nosdividends were to be expected
from the stock then or at any time il
the future. The stock was sold on tn,
assessment plan with the understand
ing that the stockholders were to b,
assessed one per cent per month, O
whenever funds were needed, unti
such time as the institution might b'
self supporting and that then no fur
ther assessments would be called fol
unless needed. In addition to the rev
enues from ordinary paying private
patients, the Association had resource,
from several contracts with the Stan
ey-Smith Lumber Co. and other lum
ber mills under the terms Of which the
hospital received ST per month from
each employe on the pay, roll, in re-
turn for which it was to furnish treat
ment. board and nursing to injured
employees. The board and nursing
were supplied by the hopsital The
treatment was donated gratis by the
physicians holding stock in the Associ.
alton.
Each doctor in turn took care of the
contract patients for a month and gave
them what professional care was need.
ed, calling upon his colleagues as oc-
casion demanded, for counsel or assist
ance in operations or more complicated
cases. 1t was understood that if ever
the hospital should become prosperous
enough to afford it some compensation
would be made to these doctors for
their services, but no one really ever
entertained any expectation of receiv-
ing such compensation, and each physi-
clan was more than willing to give
such service to the hospital and more
than satisfied if the result insured to
him the advantage of having place to
take his private patients for hos piItal
treatment
without these contracts, which con
tinued for nearly seven years, it would
have been impossible for the hospital
to have existed. In fact, with them it
was hard struggle. The problem of
making ends meet was a difficult one
for years. In fact, ends did not meet.
At one time the hospital was in debt
fully 81. 800 to the merchants Of the
town. 1t is here timely to state that
these merchants carried the instilu
tion with wonderful tOrbearance and
patience, and deserve the greatest
credit for the fact that they never al
lowed the hospital to lack necessary
supplies. The Board did the best il
could with what funds were available
borrowed some money from time to
time and tried to divide what there |
was fairly among all the creditors and
in keeping up the credit Of
the institution.
The fourteen years Of the hospitals |
existence are divided like the period |
of Joseph's rule in. Egypt, into seven
lean years and seven years, not pre- |
cisely fat, but let Us say fairly well
In the year 1918 the um-
ber contracts were discontinued. A 4
year before that time the indebtedness
was about $4,000, S3, 500 in the form of
the mortgage and $1,000 in floating in
iebtedness.
The financial history Of the hospital
from that time to the present can best
De told by the statement that the en
ire Indebtedness is now mortgage of
y, 600. And yet this does not entirely
ell the story, for the equipment of the
lopital has not only been kept up, but
augmented greatly. In fsct. the rec
)rds easily show that over and above
Meeting, all expenses the institution
las shown an average net profit of
Il. 900 a year for the past five years
This has accrued from straight hospital
ees with no contracts, subsidies or
donations of any kind Moyerover,
his gain has been fairly well distrib-
tied through the five years. There ,
AVE been some ups and downs, but the
towns have been IN decided minority
nd correspond IN a very interesting /
manner with periods of general busi-
less depression.
And right here, IN order there may ,
e no misapprehensiOn, we wish to EN- +
hasize the fact that the policy of not
eclaring dividends has been adhered r
o consistently. although it seems clear 4
hat the hospital can be depended upon /
o earn a net profit. as above shown. !
VERY dollar Of surplus has been devot- !
d to reducing the debt and in improve. ,
lents and added equipment Il may h
e stated positively that no stockholder 4
r director has been benefited directly / +
r indirectly. Even doctors holding \
tock who have patronized the hospital 4
ave paid full rates for themselves and q
lembers of their families 4
For the last five years the current \
ills, interest taxes and insurance 4
ave all been paid promptly when due. Il
nd at no time have current bills been ri
ppTeciably delinquent The Associa. ID
ion has established and maintained "a n
cod credit with its banks and has. y
hen necessary, been eheerfully ae-
with loans which have =
cen promptly repaid when due, az +
lough 10 has only been necessary 20 HI
tiiize this credit twice. lU
An important point which cannot be lo.
20 greatly stressed is that the hosd p
lver hospital has made what might 4.
e called two records. IN the first y
lace, it Is very unusual for hospitals 4,
Nned either bv individuals or cOrpor- 4
lions TO pay expenses. 20 say nothing f
making a profit Ii Is well known !.
mong those familiar with hospital i,
that most hospitals oper- h
.e at a financial loss. except hospitals n
Do by religious orders. it may be 4,
10 that 1t Is impossible for a hospital tf
pay unless either endowed or most n
refully managed. The margin be-f
seen the expenses and receipts Is es- q
ntially small and unless endowed ir ft
me manner. or unless almost AN bills =,
e collected and expenditures very Is
osely watched. any hospital viii lose +.
Oney. The reason that religious or n
RS do not lose money is because they +,
ID upon the community for donations n
ID the work is done by members of -
e order at either minimum wage or sf
wages. Before The management of / -