I am the Chief Administrator of Uptown Clinic, a community mental health agency (answer attached)

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I am the Chief Administrator of Uptown Clinic, a community mental health agency, I am concerned about the dilemma of coping with reduced budgets next year and into the foreseeable future, but increasing demand for services. In order to plan for reduced budgets, I must first identify where costs can be cut or reduced and still keep the agency functioning

 

Here is some data from the past year.

 

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Program Area

Costs

Administration

 

Salaries:

 

$60,000

$35,000

$42,000

Supplies

$35,000

Advertising and promotion

$9,000

Professional meetings/dues

$14,000

Purchased Services:

 

$15,000

$13,000

$12,000

$10,000

Community Mental Health Services

 

Salaries (two social workers)

$46,000

Transportation

$10,000

Outpatient mental health treatment

 

Salaries:

 

$86,000

$70,000

 

1.     Give a dollar range of costs to reduce budgets (worst and best case analysis).

2.     I need to cut $94,000 in cost. Prioritize those cuts that can be made without impacting the operation or quality care of the organization.

3.     How would you advise Dr. White to prepare for reduced budgets?

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