Field examinations gives the lender a view into a borrower’s collateral and financial performance for a specified period such as quarterly, semi-annually or annually. This approach is effective for a performing borrower. For non-performing borrowers, a more real-time view into specific risk areas could be instrumental in protecting your collateral. Ongoing monitoring can provide you with peace of mind, knowing that critical items are being tracked and concerns are being communicated.
Collateral & Financial Monitoring
BY&S can remotely review and summarize lockbox and banking activity, trend accounts receivable, review inventory reports, calculate and trend eligible and ineligible collateral, monitor payroll tax payments, report on key financial metrics, review covenant compliance and provide other client-specific requests.
With this information, a lender can inquire about anomalies and act quickly if a borrower’s performance is deteriorating. Swift response to critical issues can result in protection of lender collateral.
Clinical Survey Monitoring of Skilled Nursing Facilities
Early identification of clinical survey issues can alert lenders of deficient skilled nursing facilities needing their attention. To deliver this information timely, BY&S can review annual and complaint surveys to report severe deficiencies and highlight habitually poor performing facilities. BY&S can also communicate Civil Monetary Penalties (“CMP”) and Denial of Payment for New Admissions (“DPNA”) levied due to poor survey compliance. Let BY&S compile and interpret this information monthly to get a timely touch point on your portfolio’s clinical regulatory performance.
Provider Tax Monitoring
Certain healthcare providers are subject to a tax or fee to the state government designed to increase federal Medicaid money paid to the state, a portion of which is typically distributed back to the provider. This tax is commonly referred to as a provider tax. Although the intent of a provider tax is to increase provider reimbursement, unpaid provider taxes may pose a risk to the collectivity of Medicaid receivables. BY&S can review borrower documentation to identify compliant vs. non-compliant borrowers. This analysis may allow lenders to take appropriate action to mitigate the impairment of their collateral.