LEXINGTON, Neb. — Lexington Regional Health Center received a clean audit opinion for its fiscal year 2026 financial statements, with auditor Randy Hoffman telling the hospital’s Board of Directors Tuesday that the organization had a strong financial year and continues to compare favorably with other critical access hospitals across Nebraska.
Hoffman said the audit process went smoothly and praised the hospital’s finance staff for providing timely and accurate information. He also noted management successfully implemented a new accounting standard known as GASB 103. The audit firm issued an unmodified, or “clean,” opinion on the hospital’s financial statements.
Several financial indicators improved during the year. Days cash on hand increased from 142 days in 2025 to 166 days in 2026, reflecting stronger cash and investment balances. Hoffman said much of the improvement was tied to Nebraska’s State Directed Payment (SDP) program, which provided additional Medicaid-related revenue to hospitals.
The hospital’s total margin increased to 10.7% in 2026, up from more traditional levels seen in recent years. Hoffman said the SDP program was the primary driver of the improvement. He noted that many Nebraska critical access hospitals also experienced stronger financial results because of the program.
Hoffman told board members Lexington Regional is the eighth-largest critical access hospital in Nebraska in 2025 based on net patient service revenue. He also highlighted the hospital’s strong swing-bed program, noting Lexington ranked sixth among Nebraska critical access hospitals in swing-bed days.
While financial performance improved, Hoffman cautioned that federal changes could reduce future Medicaid-directed payments beginning in 2028. He encouraged hospital leaders to continue monitoring reimbursement trends and opportunities for growth.
Hospital leadership said the audit showed the organization remains financially stable while continuing to identify ways to expand services and serve more patients across the region.
Medicare Advantage
Dawson County residents enrolled in Medicare Advantage plans will see significant changes in 2027, as Blue Cross Blue Shield and UnitedHealthcare are ending their standard Medicare Advantage offerings in the county. Chief Financial Officer Wade Eschenbrenner says beneficiaries currently enrolled in those plans can return to traditional Medicare and may have a special opportunity to purchase a Medicare supplement without the usual health underwriting requirements. With those changes, WellCare will be the only standard Medicare Advantage plan available in Dawson County, while three dual-eligible plans from WellCare, UnitedHealthcare and Molina will continue to be offered. Eschenbrenner urged seniors to be cautious of unsolicited enrollment calls during the Medicare enrollment period and to seek guidance from local SHIP-certified counselors or trusted insurance agents before making coverage changes.
Best Places to Work
Lexington Regional Health Center has earned a spot on Modern Healthcare’s 2026 National Best Places to Work in Healthcare list. Modern Healthcare is a twice-monthly business publication targeting executives in the healthcare industry. Chief Experience Officer Mike Dowling says the recognition is especially meaningful because it was based entirely on employee feedback surveys. Dowling says the award reflects a workplace culture built on teamwork, respect and support, which ultimately benefits patient care. He credits Lexington Regional employees for creating an environment where staff feel valued and patients receive compassionate care.
LRHC Charitable Fund
Chief Communications Officer Brenna Bartruff noted the upcoming November 12, 2026 Give BIG Lexington campaign. Lexington Regional’s Charitable Fund is among the initiatives. In honor of Lexington Regional’s 50th anniversary this year, their goal is to secure at least 50 donors who each contribute $50 ore more.
Teddy Bear Check-up
Bartuff said Lexington Regional medical staff will be participating in a Teddy Bear check-up November 19, 2026 at the Lexington Public Library, with various stations representing such areas Lab and Wound Care among others. Children can also bring other kinds of stuffed animals too. She also noted they have done nearly 60 podcasts thus far that can be accessed on YouTube and other podcast providers like Apple and Spotify. She said snippets are also posted to Facebook where they average 4,000 to 5,000 impressions.
CEO’s Report
CEO Jason Douglas updated the Board on several key initiatives. Douglas says patient convenience metrics have improved, with telephone answer rates consistently topping 90 percent and fewer billing complaints. The hospital is also recruiting in several specialty areas and continues discussions with a potential general surgery candidate. Radiology construction is nearing completion with the new MRI magnet now installed. Douglas says leadership will launch a new staff rounding program November 1 while continuing work on quality, technology, and process-improvement projects.
The next meeting of the Lexington Regional Board of Directors has been scheduled for November 24, 2026 at noon.
