Rising costs, shrinking reserves squeeze Dayspring Assisted Living & Care facility budget

RICHLAND COUNTY — Rising operational costs and declining reserves took center stage during recent budget discussions about Dayspring Assisted Living and Care Facility.

Executive Director Michelle Swank met with the Richland County Board of Commissioners on Thursday to talk about the organization’s 2027 budget.

While the session was framed around budget projections, discussion shifted toward swelling expenses in groceries and utilities, resident rate increases and the financial trajectory of the county-owned home.

It’s one in an ongoing series of budget meetings commissioners are conducting with elected officials and department heads as they prepare the county’s overall 2027 budget plan by the end of December.

Dayspring, located on Olivesburg Road, is one of only a handful of county-operated care facilities remaining across Ohio.

“Dayspring exists to serve those residents of Richland County that cannot live alone independently and need assistance in meeting their daily needs,” Swank said during a 2023 interview.

“We are a safe haven to those that do not qualify for nursing homes and are not wealthy enough to afford private-pay assisted living.”

Veterans make up 30 percent of Dayspring residents

Running Dayspring presents unique challenges, according to Swank.

“The things that would be different with the Dayspring budget, of course, is what other departments don’t have: our food,” Swank told commissioners Thursday.

“I had to budget quite a bit more for the food, quite a bit more for the utilities… to the point I know we are going to have to try to raise the room and board again to try to offset these increased costs,” she said.

Dayspring currently houses 56 residents across its main campus and adjacent facilities, with veterans comprising roughly 30% of the resident population.

County officials noted Dayspring’s carryover fund balance — the operational reserve that cushions facility needs — is projected to shrink.

Starting from slightly over $2 million in 2022, current projections indicate the carryover could fall to roughly $1.3 million to $1.4 million by the end of 2027 — a projected drop of nearly 32 percent.

Local property tax revenue funds approximately 70 percent of Dayspring’s operating budget.

In November 2023, Richland County voters overwhelmingly approved a renewal of Dayspring’s replacement operating levy for an additional five years. The 0.8-mill levy was supported by 72 percent of those who cast ballots.

Swank said she’ll likely propose increased rates in 2028

At the time of the 2023 levy renewal campaign, Swank said, administrators and commissioners decided not to seek an increase in funds.

However, sustaining day-to-day services without dipping deeper into reserves has become harder.

In 2023, the facility spent $225,663.66 on food alone. Swank estimated annual food expenditures will reach around $250,000 in 2026, an increase of nearly 11 percent.

Resident care costs now hover around $2,300 per resident per month, she said, up from previous years.

To help narrow the shortfall, Dayspring implemented a $100 monthly room and board increase in May, bringing the base resident charge to $1,700 per month. For residents unable to afford the monthly fee, the tax levy subsidizes the difference.

Swank indicated she expects to return to commissioners early next year to propose another rate adjustment, though she acknowledged the financial limits of those in their care.

“I just need to be able to tell you how much I think we can handle and the residents can handle, because if they don’t have the money, they don’t have the money,” Swank said.

Commissioners voiced support for raising fees, rather than reducing resident accommodations or nutrition.

“I don’t think we want to offer them less,” Commissioner Darrell Banks said, adding daily meals represent one of the primary comforts for residents. “I think we need to raise, as you and I have discussed … the fees, and I would not put that off for very long.”

Despite the ongoing cost pressures, commissioners said talk of asking voters for additional millage when the current five-year levy expires in 2028 is premature.

“We are not talking about a 2028 levy during budget [talks],” Commissioner Tony Vero said, adding that county leadership will monitor year-end reserve levels and capital improvement projects before re-evaluating long-term funding approaches.

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