But the majority of the state’s 49 acute-care medical centers posted multimillion-dollar operating profits in 2005. In total, the state’s hospitals saw operating profits of $269.1 million, a 33 percent increase from fiscal 2004.

Maryland General Hospital, a Baltimore teaching hospital that is part of the University of Maryland Medical System, had the largest operating loss among acute-care centers: $7.7 million in 2005. That is the most recent year for which data are available for all hospitals in a report from the Maryland Health Services Cost Review Commission, a state agency that regulates the service rates Maryland hospitals charge.

Maryland General’s loss was larger than the $5.3 million operating loss posted in 2005 by Laurel Regional Hospital, owned by Prince George’s County.

The Laurel hospital and Prince George’s Hospital Center in Cheverly, which saw a $244,000 operating loss in 2005 and a $9.8 million loss in 2004, are among those that, until a deal was struck Wednesday, were close to closing. Both hospitals are managed for the county by a Laurel nonprofit, Dimensions Health Corp., which does business as Dimensions Healthcare System.

On Wednesday, Prince George’s County officials said they would give Dimensions enough money to keep the facilities open for 15 months. The county and state have given millions in bailout money to Dimensions in recent years.

The Dimensions facilities, which also include the Bowie Health Campus and the Gladys Spellman Specialty Hospital and Nursing Center, have about 2,300 employees combined and serve some 180,000 patients annually.

Other hospitals posting losses, such as Maryland General, are faring better than Dimensions, said Robert B. Murray, executive director of the state cost review panel. Officials with Maryland General could not be reached for comment.

‘‘The circumstances with the Prince George’s hospitals are unique and special to Dimensions,” Murray said. ‘‘Some hospitals face some of the same challenges, such as having a fairly high rate of uncompensated care. ...Still, they are not facing the kind of crisis that faces Dimensions.”

Maryland General, which serves many lower-income neighborhoods in West Baltimore, had one of the highest rates of uncompensated care in the state at 10.3 percent in 2005. That was above the state’s average of 7.6 percent. But the Cheverly and Laurel hospital’s rates were both above 15 percent.

Maryland General’s backing by the University of Maryland Medical System helps put it on more solid footing, Murray said. That system had the most profitable hospital in the state in 2005, the University of Maryland Medical Center. The Baltimore institution saw an operating profit of $39.6 million in 2005, state figures show.

Despite its $7.7 million operating loss in 2005, Maryland General ended that year with net assets of about $69 million, according to its Internal Revenue Service return. That contrasts with a negative fund balance of $27 million for Dimensions that year.

Most Maryland hospitals are privately held and operated as nonprofits, with any ‘‘profits” — the difference between revenues and expenses — going into building fund balances.

Montgomery General searches for a partner

The 144-bed Montgomery General Hospital in Olney was also among those that showed operating losses in 2005. The loss was $320,000 in 2005 and $2.35 million in 2004, according to state figures. Losses reached $1.5 million in fiscal 2006, Lynne Myers, Montgomery General’s vice president for corporate strategy and professional services, confirmed.

But after some layoffs last year, renegotiated contracts and an increase in revenue, the medical center expects to reach a $2.5 million operating profit this fiscal year, she said.

‘‘We turned it around this year,” Myers said.

Like Maryland General, Montgomery General is not in the position of cash-poor Dimensions. The hospital had more than $50 million in net assets in 2005, according to its IRS return.

But after 87 years of independent operation, Montgomery General is looking for a partner. The search does not include a potential sale, Myers said.

‘‘We are looking at another hospital system,” she said. ‘‘It would need to be a partner that understood and was familiar with health care in this region.”

Montgomery General has a solid A3 bond rating from New York credit agency Moody’s Investors Service and a low debt ratio, factors that make it attractive to other health systems, Myers said.

The hospital also plans a capital project by late 2009 to transform rooms into all private ones and make other renovations, including to the emergency center. Improvements in recent years include a pediatric center offering inpatient and emergency services for younger patients and a new medical office building.

Troubles inFort Washington?

A review of 2005 IRS returns of about 20 Maryland hospitals showed that Fort Washington Medical Center was the only Maryland hospital besides the Dimensions-managed ones that reported a negative fund balance.

Fort Washington, a 37-bed center that opened as an ambulatory care center in 1983 and was transformed into a hospital in 1991, posted operating profits of about $804,000 in 2005 and $711,000 in 2004. But its 2005 ending fund balance showed a $1.6 million deficit.

Despite the deficit, Fort Washington officials are moving forward with an improvement project that will add space and increase beds to 51, according to state documents. Officials with Nexus Health, the Oxon Hill parent company of Fort Washington, could not be reached for comment.

Another Prince George’s facility, the 186-bed Doctors Community Hospital in Lanham, is also embarking on a capital project. That hospital had a positive fund balance of $50.9 million in 2005 while reaching an operating profit of $5.1 million.

In Charles County, Civista Medical Center posted an operating loss of $1.95 million in 2005 after a profit of $4.5 million in 2004. Civista had a positive fund balance on its 2005 tax return of $19.4 million.

The La Plata hospital cuts its operating loss to $300,000 in 2006, spokeswoman Michele Santiago said. Civista is slated to complete an $82 million expansion and renovation project later this year.

‘‘Things are fine financially,” Santiago said.

Adventist boasts $120M in net assets

Like Fort Washington and Doctors, other Maryland hospitals are expanding to meet growing demand.

Adventist HealthCare, the Rockville health care system that includes 268-bed Shady Grove Adventist Hospital in Rockville and 285-bed Washington Adventist Hospital in Takoma Park, is among the more financially sound systems in the state. Shady Grove and Washington saw operating profits of $9.3 million and $4.4 million, respectively, in 2005.

Adventist had net assets of $120.5 million in 2005. The only Maryland centers with larger fund balances of the 20 or so reviewed were Holy Cross Hospital in Silver Spring, Frederick Memorial Hospital and Johns Hopkins Hospital in Baltimore.

‘‘We’re always looking for ways to be more cost-efficient and effective,” said William G. Robertson, president and CEO of Adventist HealthCare. ‘‘When we do that, we can invest in projects such as the one we announced this week.”

Shady Grove is in the midst of a $99 million expansion and renovation project that will boost its bed capacity to 296 by 2009. A new four-story patient tower is on target to open in November, Robertson said. Renovations in the existing hospital are scheduled to be finished by 2009.

The 425-bed Holy Cross, which had a $4 million operating profit and $137.4 million in net assets in 2005, completed a $90 million project last year to add 210,000 square feet of new space and renovate another 155,000 square feet. More than half of the hospital is new or renovated.

‘‘We’re financially sound and have no plans for layoffs,” said Yolanda Gaskins, a Holy Cross spokeswoman. ‘‘We’re always looking to attract health care professionals because we are growing.”

Suburban Hospital in Bethesda is also on sound financial footing, with an operating profit of $6 million in 2005 and net assets of $64.1 million in 2005.

Demand for services is growing, and Suburban plans to file an application with the county for a capital expansion this summer, spokeswoman Ronna Borenstein said.

‘‘As the demand grows, our capacity becomes stretched,” Borenstein said.

Maryland Hospitals Post Losses

Nine Maryland acute-care hospitals, including two in the Prince George’s County hospital system, posted operating losses in fiscal 2005. The other 40 medical centers in the state saw operating profits, but at least one of those had a negative fund balance at the end of 2005. Dollars are in millions.

Hospital Operating loss⁄profit Net assets⁄deficit fiscal 2005 end of 2005

Maryland General, Baltimore -$7.7 +$68.8

Laurel Regional, Laurel -$5.3 -$27.0*

Chester River, Chestertown -$4.1 +$22.7

Civista Medical, La Plata -$1.95 +$19.4

Memorial Hospital at Easton -$0.6 +$114.2**

Montgomery General, Olney -$0.3 +$50.3

Prince George's Hospital Center, Cheverly -$0.2 -$27.0*

Harford Memorial, Havre de Grace - $0.2 +$14.5

Good Samaritan, Baltimore -$0.1 +$108.9

Fort Washington +$0.8 -$1.6

* Net deficit for Dimensions Health Corp., which manages the Laurel and Cheverly hospitals, plus other facilities for Prince George’s County

** Net assets for Shore Health System, which also includes Dorchester General Hospital in Cambridge

Source: Maryland Health Services Cost Review Commission; Philanthropic Research; U.S. Internal Revenue Service natalie cropper⁄The Gazette

Most Profitable Hospitals

The University of Maryland Medical Center led the state’s 49 acute-care hospitals in operating profit in fiscal 2005. Dollars are in millions.

Rank Hospital Operating profit FY2005

1 University of Md., Baltimore $39.6

2 Johns Hopkins, Baltimore $27.0

3 Sinai Hospital, Baltimore $18.0

4 Anne Arundel, Annapolis $16.9

5 Mercy Medical, Baltimore $14.5

8 Shady Grove Adventist, $9.3 Rockville

18 Southern Maryland, Clinton $6.1

19 Suburban, Bethesda $6.0

24 Doctors Community, $5.1 Lanham

26 Washington Adventist, $4.4 Takoma Park

27 Holy Cross, Silver Spring $4.0

30 Frederick Memorial, $3.0 Frederick

Source: Maryland Health Services natalie cropper⁄Cost Review Commission The Gazette