The Mobile Housing Board hopes furlough days for employees and the planned closing of an assisted living facility will help fill a funding gap in its budget.
Executive Director Dwayne Vaughn said the budget revisions, which were approved at the board’s regular meeting this morning, will include an anticipated six to eight furlough days. The days are expected to impact all 120 employees of the board and its nonprofit partner, Mobile Development Enterprises. The furloughs will begin in about two weeks.
The furlough days will save the board between $150,000 and $200,000 this year.
Among other actions taken to shore up the budget, Vaughn said MHB has decided to close a building in Central Plaza Towers, which was being used as an affordable assisted-living home.
The building known as The Plaza at the Towers, had 39 apartments and 22 residents. Vaughn told board members the building had gotten too expensive to run.
Although the facility charges residents a fee of $930 a month, plus income-based rent, Vaughn told board members it wasn’t enough to keep the doors open. The average cost per patient, per month for assisted living facilities in the South is about $3,562, according to a statement prepared by the board.
The facility’s 15 employees, who were mostly resident care specialists, will be displaced, according to the statement. The closing of the facility is expected to save MHB close to $200,000.
MHB is working with residents of the facility to help transition them into other area nursing homes, Vaughn said.
In addition to those cuts, Vaughn said other spending cuts are also part of the budget revisions. Those include cuts to the maintenance, discretionary and travel expenses. The board will also attempt to collect back rent more aggressively, as a way to bolster revenue, Vaughn said.
Last month, MHB Chief Financial Officer Lori Shackleford told the board it was operating at a loss of about $86,000 compared to the budget, which prompted the revisions.
Shackleford told board members year-to-date actuals showed a loss of more than $200,000, as of April.
In other business, the board approved retirement resolutions for Henry L. White Jr. and Moses Flanagan. The board also approved a resolution of appreciation for former board member Ruby Lang, who was replaced on the board this year by Joyce Freeman.