Community Reinvestment and Operating Expenses
Strong finances = A strong, healthy healthcare system
In fiscal year 2015, Renown Health earned more than $78 million in net income. As with any individual, income and debt history are key to building better credit. The same is true for nonprofit organizations like Renown.
Strong finances give us the ability to borrow money and do so at the most favorable rate. This is critical to our continued ability to reinvest in our community’s health and well-being.
As the only locally owned, locally governed not-for-profit healthcare network in Reno, all of our earnings stay right here in the Truckee Meadows and are reinvested to bring new facilities, services and lifesaving technologies and treatments to our region whether they make money or not.
Reinvesting in Our Community
More than $63 million in capital projects
Renown has already committed $63.7 million – more than 80 percent of last year’s income – to capital projects in the coming year. This is the largest capital investment by the organization since completion of the 10-story patient care Tahoe Tower in 2008.
Key projects in the year ahead
Among other things, the investment will include:
- $1.8 million for new 3-D mammography machine
- $7.5 million for cancer treatments and facilities
- $8 million for new comprehensive patient care center
- $3 million to improve safety and efficiency with new drug dispensing cabinets for hospital patients
Preparing for regional growth
In addition to the immediate capital commitments this year, millions more will be spent in the coming years to increase access to state-of-the-art healthcare for our rapidly growing community. We are already planning for future expansion over the next several years – including the possible completion of two unfinished floors within the Tahoe Tower estimated at $25 million per floor.
Investing in critical areas
Because our income stays local, we are able to extend a helping hand when and where it’s needed most, providing many services that cannot pay for themselves – and might not exist otherwise.
Serving the community, not shareholders
We answer to no out-of-state owners or shareholders, but rather to our own board of community leaders, our partners and those for whom we provide care.
How our dollars are spent
We work hard every day to allocate our resources where they will best support our patients and the community – by investing in our skilled workforce and facilities that serve Nevada, Lake Tahoe and northeast California.
Growing workforce = more than $400M
As the largest private employer in northern Nevada – with more than 5,700 employees – compensation and benefits make up 40 percent of our budget. In the coming year, more than $400 million will be invested in salaries and benefits for our talented and growing workforce.
Community benefit = nearly $94M
In the past year, Renown provided almost $94 million in community benefit – including research, community initiatives and education for health professionals.
Renown also invested millions more than any other northern Nevada health network in non-reimbursed health services for those who cannot afford needed healthcare – totaling more than $82 million.
Mortgage payment = $38.6M
We pay $38.6 million per year as a “mortgage payment.” This covers the principal and interest on our bonds, which were used to build the Tahoe Tower.