As a financial health care manager, you must pursue leadership approval for the funding and support for the sustainability initiative plan. Creating this proposal demonstrates your ability to critical

Financial Strategies to Support a Sustainability Initiative

Princess Lacy

University of Phoenix

MHA560

Doria Chege

April 21, 2025

Financial Strategies to Support a Sustainability Initiative

The chosen sustainability initiative at Texas Health Presbyterian Hospital in Dallas hopes to reduce energy consumption by implementing LED lighting, improving HVAC systems, and integrating smart energy monitoring technologies. This project is expected to improve the surroundings for patients and employees, encourage environmental responsibility, and save energy expenses by 15–30% (Daniel, 2021).

It is advised to employ three financial techniques in order to get leadership support. First, the initial investment of about $100,000 might be partially offset by applying for government grants and incentives. Funding opportunities for hospital sustainability modifications are provided by the Environmental Protection Agency (2020) and the U.S. Department of Energy (2021) programs.

Second, the hospital may also choose to implement an Energy Savings Performance Contract (ESPC). Using a portion of the energy cost savings, an Energy Services Company (ESCO) is reimbursed over time to covers the project’s upfront costs through this model. This approach lowers financial risk while providing instant advantages in energy efficiency (Department of Energy, 2021).

Third, a staggered deployment strategy may be used. Through implementing enhancements gradually, starting with high-impact, low-cost changes like LED lighting, leadership may observe measurable results early. A greater commitment to more extensive system enhancements is encouraged by this incremental investment strategy, which also helps stakeholders gain confidence (American Hospital Association, 2019).

These strategies provide workable solutions to accomplish sustainability objectives without overburdening the hospital’s budget. They also back the long-term goals of environmental sustainability and operational effectiveness of Texas Health Presbyterian.

References

American Hospital Association. (2019). Energy management in hospitals: Improving sustainability and reducing costs. https://www.aha.org

Daniel, G. C. T. (2021). Dallas County Behavioral Health Housing Work Group: Agenda. https://www.dallascounty.org

Department of Energy. (2021). Energy savings performance contracting in the healthcare sector. https://www.energy.gov

U.S. Environmental Protection Agency. (2020). Energy efficiency in healthcare facilities. https://www.epa.gov