Holley: One of the biggest successes the board has ever seen
The central government and the Commonwealth Healthcare Corp. are now current with their payment of their utility billings since iinking an agreement with CUC last September to resolve their longstanding unpaid billings, according to CUC chief financial officer Greg P. Cruz on Wednesday.
Cruz discussed, through a Zoom meeting, the central government’s and CHCC’s financial obligations in their agreement, among other issues, before a special CUC board meeting at the CUC conference room at the Joeten Dandan Building.
In response to board treasurer Matthew Holley’s question if do they have any billing issue with CHCC, Cruz said both CHCC and the central government are living up to their obligation in the agreement.
He said CUC has been receiving about $219,000 monthly, with $150,000 coming from the central government and $69,000 from the hospital. “So they’ve been living up to that obligation. They’re current on that obligation in the agreement,” Cruz said.
Holley said this great news is one of the biggest successes he believes the board has ever seen because CHCC’s unpaid billings has been an issue for so long.
In his presentation, Cruz said CUC’s gross receivables are approximately $70.6 million, with about $62 million of that considered “an allowance or bad debts.”
About 53% of the $70.6 million gross receivables are CHCC receivables, he added.
As for the other customer classes, about 14% of their outstanding receivables are from the central government, he said.
Cruz did not specifically mention how much the central government and CHCC still owe CUC.
In March 2020, CUC disclosed that the central government’s unpaid utility bills amounted to $10 million while CHCC’s reached $34 million.