VNA moves into new home Tuesday
The Vineyard Nursing Association (VNA) expects to move into its new home at 29 Breakdown Lane off Holmes Hole Road in Vineyard Haven next week.
The space has been renovated to provide the organization with sufficient office and training space to accommodate the continuing growth in demand for services that reached record heights this summer, the VNA said in a press release.
"We are thrilled to be moving into our new and permanent offices," Robert Tonti, CEO, said. "The driving forces behind purchasing the building were cost control and the need to accommodate agency growth. Frankly, we expected the demand for our services to increase gradually over the next five years; we are surprised by the acceleration in demand that we experienced this summer."
In 2007 annual revenues for the VNA were $1.7 million; this year revenues will approach $5 million.
"Leading an organization that experiences the kind of growth we have had in the past five years, and continue to have, is exciting and challenging," Mr. Tonti said. "However, expenses continue to exceed revenue by two to three percent (down from 10 percent in 2007) and could get worse in the coming years."
The "Affordable Care Act" targeted home health care organizations in the first wave of Medicare reductions, he said. According to the Congressional Budget Office, nationally this industry is expected to see reductions in reimbursements from Medicare approaching $40 billion by 2019.
"In 2013, Vineyard Nursing will begin to see a reduction of about 2 percent in reimbursements from Medicare — amounting to about $60,000," Mr. Tonti said.
Ownership of the VNA headquarters, once the mortgage is paid off, is expected to result in annual operational savings of $100,000. The total cost of the building, renovations, and associated moving expenses is $2.1 million. To date the organization has raised nearly $900,000 from the community and has a mortgage for the remainder. The VNA is meeting with prospective donors and community foundations to try to raise the funds necessary to retire the debt.
For more information about the VNA, call 508-693-6184 or go to vineyardnursing.org.