PRINCETON — Hard financial times hit hospitals just like any business. But Princeton Community Hospital CEO Wayne Griffith reported this week that PCH’s prognosis is still healthy, despite an ailing economy.

Fresh off of three fiscal years of operating profits from $4 million to $10 million each, Griffith said PCH leaders have worked hard to ensure that the Princeton facility and its departments run efficiently and still provide the best care possible.

“We’re trying to be extremely cautious, not knowing what might be around the corner,” he said. “Obviously, we’re working on strategic planning all the time.”

Though the nationwide recession has had an impact on the organization, Griffith said PCH is still on solid financial ground. In fact, the hospital actually performed better in December 2008 than officials planned, posting a $231,375 profit when a loss of nearly $436,000 was anticipated.

So far, November 2008 has been the only month in FY 2009 to dip below the break-even mark, finishing the month with a $381,200 shortfall. Even in an industry where profits and losses mount quickly, Griffith said he was confident PCH will stand strong in the face of challenges.

“We’re still doing very well. We’re right on budget,” Griffith said.

The PCH year-to-date financial statements yield a profit of $520,597.

That doesn’t mean PCH is completely out of the recession woods yet, especially since hospitals tend to feel the heat when patients simply can’t pay their bills, and emergency cases increase in severity when clients cut back on medication and maintenance care to pay for food or rent.

Anytime people cut back on prescriptions, doctor’s visits and elective surgeries, Griffith said hospitals experience a similar budget crunch, and the riskiest decisions often land patients in the emergency room.

“The tougher it gets in the economy, the less you have of what you call disposable income,” he said.

Even so, the PCH board of directors approved more than $850,000 in capital expenditures during its monthly meeting Tuesday. Those funds will furnish a telemetry monitoring system, software designed to link the hospital lab with physicians’ offices, a patient-tracking program for the emergency department and more, all of which were budgeted items.

“We’re still spending, but we’re trying not to spend,” Griffith said. “We’re watching the area very closely. We’re going to try to do what’s best for Mercer County and surrounding counties.”

Griffith also emphasized that the hospital is not looking to terminate employees in order to cut financial corners.

“We’re not having any layoffs, but we are trying to watch what we do,” he said, explaining the positions vacated may not be filled, provided the quality of care would not be hurt.

The health care news hasn’t been so bright throughout Mercer County. Officials at Bluefield Regional Medical Center have reported operating shortfalls for the last several months, prompting community concerns that the hospital may face closure or that the two Mercer County hospitals may be looking to merge.

BRMC Board of Directors President Chandler Swope refuted the closure fears this week, and Griffith said there were no plans on the table to combine the two operations. In the event any such plan ever emerged, he said both hospitals would issue a joint statement.

Meanwhile, PCH is looking to grow.

Griffith said the plans to turn the former St. Luke’s Hospital site into a psychiatric pavilion have advanced in recent months, and the legal ad calling for architectural and construction bids was published within the last week. Though the center is progressing nicely, Griffith said it would not be completely ready to open by the projected July completion date.

PCH currently employs approximately 955-965 full-time-equivalent employees and up to 1,300 people in total, Griffith said. In addition to the hospital and the St. Luke’s campus, PCH owns and operates Mercer Medical Group, Athens Family Practice and Princeton Health & Fitness Center.

— Contact Tammie Toler at ttoler@ptonline.net.