CLINIC

Laura Kraegel/KUCB

Unalaska's clinic won't draw on emergency funds provided by the city, signaling a reversal of the nonprofit's dismal financial situation.

Iliuliuk Family and Health Services was granted a $500,000 subsidy in November, as clinic officials anticipated another fiscal year with a steep budget shortfall.

But on Tuesday, City Manager Thomas E. Thomas said the organization won't need the money after all.

Laura Kraegel/KUCB

Unalaska’s cash-strapped clinic has undergone a slew of changes since James Kaech became director.

Six months later, he’s cautiously optimistic that its financial situation is finally improving.

"Our cash flow has been very good," said Kaech. "We haven’t had to ask for any funds from the city, and I don’t think we will."

Laura Kraegel/KUCB

Facing dismal finances, Unalaska’s clinic is asking the city for $700,000 in emergency funding.

James Kaech -- executive director of Iliuliuk Family and Health Services -- made the request at last week’s meeting of the Unalaska City Council.

“We’re nonprofit," Kaech told the council. "We don’t want to make any money, but we need enough to keep the clinic going.”

He said the clinic has suffered annual budget shortfalls for most of the last decade.