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“To say the last several months have been a struggle is an understatement. It is daunting for me to list all our woes and I do not want fear to disrupt the excellent work we are committed to provide,” said Shorkey Center Executive Director Robin Pearson. “I will be very candid: We are in dire need and we are out of money until the next six months or so.”
Located at 855 S. 8th Street in Beaumont, the Shorkey Center is listed as a nonprofit educational and therapy-based service center serving over 325 children weekly among 34 different zip codes in seven counties. Shorkey Center services include medical therapy services such as physical, occupational and speech therapy year-round, as well as pediatric aquatic therapy, behavior health therapy, and autism testing. Additionally, the center provides stand-up paddle boarding, kayaking, Miracles dance team, a parent support group and camps for its students.
“Our inclusive preschool provides a safe space, incredible compassion, and understanding for children with high needs,” Pearson added of the center’s services. “Most of the children have been dismissed from other programs due to high needs and/or behaviors. The state recommends 15:1 ratio for 3-year-olds; we provide 3:1 or 4:1 ratio.”
Because the center is nonprofit and “mission-driven,” the agency accepts Medicaid and all insurances that are willing to contract with them. Given that the majority of Shorkey clients are served by Medicaid, and that Medicaid chooses what portion of the service cost to pay, “the gap between what they pay and what we need to provide services is big,” said Pearson.
Each year, the Shorkey Center suffers about $100,000 in deficit, Pearson detailed. The annual Meetup fundraiser in May typically raises $50,000 for the center, but the coffer remains bare.
“Why are we in this position?” is a question Pearson said she gets asked often.
“When I arrived three-and-a-half years ago, we served just under 100 kids and the yearly deficit beyond our United Way support was about $50,000, easily covered through fundraising,” Pearson answered. “As we serve more kids, the yearly deficit grows and that fundraising gap is difficult! Insurance does not cover the cost of operating. It is not due to mismanagement of funds. Staff are not overpaid, and our administrative costs are less than 13% of our overall budget,” compared to a “good business” rate of administrative pay of about 20%.
Shorkey’s “contractual adjustment” collection, the difference between is billed and what the insurance company pays, is routinely less than half the asked amount. The month of November alone elicited $118,433 less in payments than what was billed.
“We have outstanding payments from the insurance companies July to December of $264,000; based on the payment schedule we would expect $88,000,” or one-third of the rate, Pearson detailed. “We bill weekly but it often takes up to three months to receive payments from insurance. Insurance companies look for ways to not pay and the rate of denials is unfathomable.”
Molly Moore, secretary for the Shorkey Center board of directors, has created a way for the community to pitch in and help fill the financial gap for the families served by the Shorkey Center. At press time, $23,070 of the $100,000 goal had been raised, creating a hopeful outlook for the center being able to continue its services.
“We have the most amazing staff with servant hearts, who provide exceptional services,” Pearson said. “Most have not received raises in over two years. More important than us are the families we serve, the developmental progress made and the experiences we provide for our families.”
To help the children and families served by the Shorkey Center, donations can be made online at www.gofundme.com/f/sos-save-our-shorkey.