FMC Board of Trustees Meeting – March 4th 2026
Fallon Medical Complex, Inc.
Board of Trustees Meeting
Wednesday, March 4, 2026
MEMBERS PRESENT
• Curt Arnell, President
• Erin Lutts, Vice President
• Elaine Stanhope, Board Member
• Michele Gray, Board Member
• Del Espinosa, Board Member
MEMBERS ABSENT
• Evelyn Neary, Secretary
• Dru Burk, Board Member
OTHERS PRESENT
• David Espeland, CEO
• Marjorie Losing, CFO
• Heather Schwindt, Recorder
• Tylyn Loudermilk, FNP
• Jeanna Sullivan, Social Worker
Call to Order
Curt Arnell called the meeting of the FMC Board of Trustees to order at 5:32 p.m. in the FMC Community Room.
Public Input
There was no public input.
Approval of Minutes
No additions or corrections to the February 4, 2026 Board Minutes as distributed. Del moved to adopt the approval of minutes. Erin seconded the motion. All aye, 0 nay. Minutes stand approved as written.
Manager Reports
Tylyn Loudermilk, FNP
Tylyn reported to the Board that her practice is progressing well and she currently sees an average of eight patients per day, with plans to increase that number as she is able.
She shared that she had been pursuing additional education toward a Psychology degree due to the significant need within the area, but recent events have temporarily delayed those plans.
Tylyn expressed concerns regarding employee morale, stating that in her opinion morale is low and employee turnover within the clinic remains high. She commended Libby for her efforts in employee engagement and believes those efforts are helping improve the situation.
When asked by Elaine why she felt morale was low, Tylyn indicated that stress related to staffing shortages, lower patient volumes, insufficient training, lack of support, and limited patience both within and between departments all contribute to the issue.
Tylyn also expressed appreciation for the scheduling accommodations being provided while she continues her recovery.
Del asked why she was pursuing a psychology degree. Tylyn explained that having a provider on-site to assist patients who are unable to access mental health services elsewhere would benefit the community. She also noted that patients transitioning between providers often experience gaps in care. A deeper understanding of behavioral health would allow FMC to provide more comprehensive care. She reported that six additional eight-week courses remain before completing the program.
Jeanna Sullivan, Social Services Manager
Jeanna reported that the Quality Assurance and Performance Improvement (QAPI) focus is improving care plan effectiveness, completing care plans sooner, and encouraging family participation in care planning meetings.
FMC currently has 17 residents, seven of whom are Medicaid approved, with no pending applications.
Jeanna attended Medicaid Eligibility Training in September and found it very beneficial. She noted that presumptive Medicaid coverage is currently available for up to 60 days, allowing additional time to ensure residents and their families complete required paperwork.
She also reported that the Community Health Worker from Public Health has been extremely helpful in assisting patients with required forms.
Of the current 17 residents, six are North Dakota residents. Jeanna explained that FMC receives referrals from North Dakota because FMC charges a flat rate while North Dakota reimbursement is based on patient acuity. Higher-acuity patients generate higher reimbursement rates in North Dakota facilities.
Jeanna reported that Medicaid approvals are no longer taking six months to complete. She also shared information regarding activities and programs available to residents.
Financials
Form 990
Marjorie distributed FMC’s FY2025 Form 990 to Board members before the meeting.
She explained that the Form 990 utilizes information directly from FMC’s annual audit and that FMC prepares the narrative portions internally, primarily using information from the Community Health Needs Assessment (CHNA) Implementation Plan.
The Form 990 is filed with the IRS to support FMC’s nonprofit status and is publicly available.
No questions were raised by the Board.
Erin made a motion to approve the draft Form 990. Elaine seconded the motion. All aye, 0 nay. The FY2025 Form 990 was approved as presented.
Resolution for Equipment Financing
Marjorie presented a corporate resolution for financing new laboratory equipment.
She reported that the current interest rate is 3.97%, with the possibility of decreasing to approximately 3.8% depending on rates at the time the signed financing documents are returned. A 1% loan fee will be payable upfront.
Elaine made a motion to approve the financing resolution. Erin seconded the motion. All aye, 0 nay.
The resolution was approved and will be signed by Curt.
January Financials
January activity included 10 inpatient days and 55 skilled days.
Financial Results:
• Gross Patient Revenue: $1.2 million ($295,000 above budget)
• Net Operating Revenue: $1.2 million ($280,000 favorable to budget)
• Expenses: $1.1 million ($32,000 under budget)
• Operating Income: $174,000 ($315,000 favorable to budget)
• Non-operating Income: $67,000
• Net Income: $242,000 ($318,000 favorable to budget)
Marjorie noted that a significant portion of the variance was related to the Medicare Upper Limit distribution.
Year-to-Date Results:
• Gross Patient Revenue: $6.9 million ($180,000 above budget)
• Net Operating Revenue: $7.3 million ($373,000 favorable to budget)
• Expenses: $7.7 million ($227,000 favorable to budget)
• Operating Loss: $379,000 ($600,000 favorable to budget)
• Non-operating Income: $637,000
• Net Income: $258,000 ($796,000 favorable to budget)
Year-to-Date Statistics:
• Inpatient Days: 71 (Budget: 135)
• Swing Days: 3,654 (Budget: 3,864)
• Skilled Days: 133 (Budget: 112)
Ancillary Services:
• ER, Procedure, and Observation continue ahead of budget.
• Lab and Blood Bank remain below budget.
• EKG, Radiology, MRI, and Ultrasound are ahead of budget.
• Mammography and CT are slightly below budget.
• Physical Therapy and Occupational Therapy are ahead of budget.
• Rural Health Clinic visits are below budget.
• Outpatient encounters are approximately 230 visits ahead of budget.
Year-to-date change in cash equivalents was ($706,962).
Business Office Update
Uprise Consulting will assume responsibility for Medicare and Medicaid claims processing for a six-month period. A kickoff meeting is scheduled for the following week.
While working FMC’s claims, Uprise will provide feedback regarding why claims have fallen behind and recommend operational improvements to prevent future backlogs.
Marjorie also reported that Rilee has submitted her resignation and Katie remains absent. As a result, Marjorie is currently covering both positions while training and delegating tasks to newer staff members.
Marjorie has also contacted Uprise regarding the possibility of managing commercial insurance claims for six months to one year while FMC recruits and trains additional staff and stabilizes business office operations.
Old Business
Project Updates
The new clinic lift has been installed and is currently being painted. It remains on schedule for completion before the end of the month pending successful state inspection.
All interior replacement doors have arrived and installation is underway.
The area between Dietary Services and Long-Term Care requires expansion joints before those doors can be installed. That work is expected to occur soon.
Overall, the project is slightly ahead of schedule.
Health Insurance Update
David and Marjorie met with the County Commission to review health insurance proposals received through the County’s Request for Information process.
The Montana Association of Counties (MACo) appears to offer the strongest option moving forward, and FMC would likely be able to participate in that plan. However, no final decision has been made.
Marjorie asked whether the County intends to continue funding the 40% employer contribution that it has historically provided. If the County discontinues that funding, FMC will need to determine whether it can absorb the cost or whether employee contributions must increase.
The County is scheduled to meet on March 9 to further evaluate the program and determine funding levels.
Healthcare Lease
No other organizations submitted proposals to assume operation of FMC.
FMC has executed a lease renewal with Fallon County, ensuring continued operation under the lease for at least the next five years.
New Business
Corporate Membership Applications
Heather presented one Corporate Membership renewal application to the Board.
Erin made a motion to approve the renewal. Del seconded the motion. All aye, 0 nay.
The renewal application was approved.
Provider Credentialing
David presented a list of new and renewal providers for credentialing.
Del made a motion to approve all candidates presented for credentialing. Elaine seconded the motion. All aye, 0 nay.
All listed providers were approved for credentialing.
Curt closed the regular meeting and entered Closed Executive Session.
Closed Executive Session
Elaine made a motion to reopen regular session. Del seconded the motion.
Provider Contract Renewal
Erin made a motion to present a provider contract renewal offer. Michele seconded the motion. All aye, 0 nay.
Michele made a motion to adjourn the meeting. Del seconded the motion.
The Board adjourned the regular session after completing all agenda items.
Curt Arnell, President
Heather Schwindt, Recorder and Transcriber
