The Finance Committee, the Cook County Board will reconvene.

We have the Cook County Health Budget.

Perfect.

You have the presentation.

Thank you.

Thank you, Chairman Daly.

We're good.

Okay.

Thank you, Chairman Daly.

I think we're going to start with some comments from CCH Board Chair Raul Garza.

Uh, thank you, Dr.

McKaitis.

And uh good afternoon, Cook County Board of Commissioners.

Um again, my name is Raul Garza, and I have the privilege of serving as the chair of the Cook County Health Board of Directors.

Uh, I appreciate the opportunity to be here today to share an update on the health system's financial outlook and strategic initiatives for the uh mid year point.

Um I'll characterize this into three categories, um, which I'll cover in a minute.

The mid-year budget uh update reflects both the progress Cook County Health has made and the significant challenges that unfortunately lie ahead.

Uh the board, the health board recognizes the tremendous work of our leadership team and the staff in strengthening the organization's financial position.

Um all this while continue to advance our mission and ensure our long-term sustainability, including meetings it meeting its directive to reduce non-personnel costs in 2025, 2026, and fiscal year of 2027.

So I'll start with the first category uh which I'll characterize as improvements.

The improved financial outlook is encouraging uh to say the least, and it's a reminder that sound governance, fiscal management, and long-term planning matters, especially in times of uncertainty.

And I don't think anyone would doubt that we're in those times as a result of what we see happening nationally and what we're forced to have to respond to.

It also is a direct reflection of the commitment and fiscal responsibility through thoughtful oversight and certainly disciplined decision making.

Uh this has been demonstrated by our our executive leaders, which you'll hear from in several minutes, and each and every committee of the board, including but not limited to uh the board's finance committee led by committee chair Rob Ryder, the managed care committee led by Cook County Commissioner and Vice Chair of the Board, Bill Lowry.

Um in a few minutes you'll hear about uh some savings that Dr.

McKaitis and his team have been able to realize uh in the amount of over 300 million, and I'll allow him to get into those details.

The second category I'll touch on is our challenges.

Uh at the same time, we are not naive about the challenges that lie ahead with the impending implementation of HR 1.

We know that rising costs, which happened in healthcare anyway.

I mean, health care represents about 18% of GDP, and uh unfortunately that will have continue to have a negative impact across the nation, but certainly locally here in this state and in this county.

Uh the federal funding cuts, the growing demand for safety net services will require thoughtful decisions and continued fiscal discipline.

In an environment of rapid change and increasing expectations, continuous improvement and operational efficiency are essential to sustaining our mission and maximizing the impact of every dollar within Cook County.

Uh fortunately, there's been proactive work, and that's the third category I'll cover.

It is because this team that you'll listen to in a few minutes, their proactive work uh has put us in a stronger position to weather the upcoming storm.

Still, we also know that we have more work to do to improve key processes such as hiring, such as procurement, and revenue cycle to operate as efficiently as possible.

By challenging ourselves to streamline processes and pursue innovative solutions.

We feel very confident that we can better serve our communities today while building a stronger, more resilient Cook County Health for the future.

I also want to take a moment as I wind up my comments to acknowledge uh the outsize role of of the Cook County Health System is this and the role that it's playing uh as it navigates the national health care ecosystem at a time when many public health systems across the country are struggling, and I think those have been well documented.

Uh we heard those stories every day.

Cook County Health has demonstrated that it is possible to pair rigorous financial discipline with innovative strategies aimed at addressing the challenges many of our patients face when accessing care.

And we'll see that impact in less than five and a half months when 400,000 individuals are eliminated from Medicaid benefits.

This is something that both the Board of Directors of the Health System and I have for sure that the Board of Commissioners take great pride in.

I want to thank uh President Tony Preckwinkle, the Cook County Board of Commissioners, our community partners, and especially our team members for your continued support of the Cook County Health System and its mission.

Now I'd like to turn it over to Cook County Health CEO, Dr.

Eric McKaitis.

Thank you.

Thank you so much, Chair Garza.

Chairman, did you want to take no thank you very much, uh Chair Garza, and good afternoon, Commissioners.

And thank you, uh, Chairman Daly.

Um I'm joined today, uh, as you heard already uh by Board Chair Raoul Garza.

Thank you again uh for your kind words uh and unwavering support.

We have here with us today as well um Scott Spencer, who's sitting down next to me right now, uh our interim CFO, uh Dr.

Lauren Smith, Chief Medical Officer, Dr.

Arnold Turner, Chief Hospital Executive at Provenant, uh, Wynne Buren, Chief Human Resources Officer, Aaron Galiner, County Care Chief Administrative Officer, and Dr.

Kieran Joshi, uh, Cook County Department of Public Health, Chief Operating Officer, all here uh on the DIAS.

Uh and then we have several other staff members here in the boardroom uh as well as online virtually uh to help address any questions.

Our team's undertaken thoughtful, disciplined, and aggressive expense reduction efforts across the organization to ensure the fiscal sustainability of our health system and our mission to serve all.

As Chair Garza said, we've been very proactive in preparing for these uh these lean times.

This is our third year of consistent belt tightening, and between 2025 and 2026, we've eliminated more than 315 million dollars in expenses across the health system.

Excuse me.