2024-08-14T14:50:54-05:00 2023-09-30 911194016 CLARK NUBER PS 10900 NE 4TH STREET SUITE 1400 BELLEVUE WA 98004 990 2022-10-01 911250116 SEATTLE CHILDREN'S HEALTHCARE SYSTEM SEAT 2068842378 PO BOX 5371 MS 818-FI SEATTLE WA 981455005 SUZANNE B BEITEL SENIOR VP & CFO 2068842378 2024-05-02 1 0 SARA ELIZABETH H JONES P00235495 4254544919 2024-08-13 2022 2024-08-08 14:25:15Z JEFF SPERRING MD PO BOX 5371 MS 818-FI SEATTLE WA 981455005 666393383 0 X WWW.SEATTLECHILDRENS.ORG X 1984 WA THE PROVISION OF QUALITY HEALTH CARE SERVICES TO INFANTS, CHILDREN AND ADOLESCENTS. 16 16 22 16 0 9204 3478265 10080935 17481424 1557174 52298736 18635114 10666 0 73269091 30273223 0 6986997 0 0 4373586 11881929 0 0 0 10943563 11320110 15317149 30189036 57951942 84187 1079096688 1175308581 10097876 17289870 1068998812 1158018711 X SEATTLE CHILDREN'S HEALTHCARE SYSTEM (SCHS) IS ENGAGED IN ACTIVITIES RELATING TO THE PROVISION OF HEALTH CARE SERVICES TO INFANTS, CHILDREN, AND ADOLESCENTS, DELIVERING AND IMPROVING THE DELIVERY AND THE QUALITY OF THOSE SERVICES THROUGH RESEARCH, EDUCATION, AND CONTRIBUTIONS TO OR FOR THE BENEFIT OF TAX-EXEMPT ORGANIZATIONS WHICH PROVIDE HEALTH CARE SERVICES, PRIMARILY SEATTLE CHILDREN'S HOSPITAL. 0 1 18889526 6986997 667270 SEATTLE CHILDREN'S HEALTHCARE SYSTEM'S PROGRAM OPERATING COSTS ARE RELATED TO ACTIVITIES INCURRED TO PROVIDE, DIRECTLY OR INDIRECTLY, HEALTH CARE OR HEALTH RELATED SERVICES APPROPRIATE FOR THE SPECIAL NEEDS OF INFANTS, CHILDREN AND ADOLESCENTS, DELIVERING AND IMPROVING THE DELIVERY OF THOSE SERVICES AND/OR THE QUALITY OF THOSE SERVICES THROUGH RESEARCH, EDUCATION, AND CHILD ADVOCACY. 186216 0 889904 OCCUPANCY AND OTHER COSTS RELATED TO THE OPERATION OF THE SAND POINT CLINIC BUILDING WHICH IS RENTED TO SEATTLE CHILDREN'S HOSPITAL. THE RENTED SPACE IS USED TO DELIVER HEALTHCARE SERVICES TO INFANTS, CHILDREN AND ADOLESCENTS. 19075742 1 1 0 0 0 0 0 0 0 1 1 1 0 1 1 1 0 1 0 0 1 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 1 0 0 1 6 0 1 22 1 1 1 0 0 0 0 0 0 0 0 0 1 0 X 16 16 1 0 1 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 WA X WARREN E HEWITT VP FINANCE 2068842378 818 STEWART ST 8TH FLOOR SEATTLE WA 98101 KEN DENMAN TREASURER 1.00 0.00 X X 0 0 0 JOEL FRENCH CHAIR 15.00 1.00 X X 0 0 0 DAN LEVITAN VICE CHAIR 1.00 0.00 X X 0 0 0 RACQUEL RUSSELL SECRETARY 2.00 0.00 X X 0 0 0 LOREN ALHADEFF TRUSTEE 2.00 0.00 X 0 0 0 SUSAN BETCHER TRUSTEE 5.00 0.00 X 0 0 0 JILL BRUBAKER MD TRUSTEE 1.00 0.00 X 0 0 0 COLIN FOX PHD TRUSTEE 3.00 0.00 X 0 0 0 COLLEEN FUKUI-SKETCHLEY TRUSTEE 1.00 0.00 X 0 0 0 TROY HUTSON TRUSTEE 4.00 0.00 X 0 0 0 PATRICIA LOERA TRUSTEE 3.00 0.00 X 0 0 0 JUDITH PIERCE TRUSTEE 1.00 1.00 X 0 0 0 JOHN SCHOETTLER TRUSTEE 3.00 0.00 X 0 0 0 KURT SHINTAFFER TRUSTEE 2.00 0.00 X 0 0 0 MOYA VAZQUEZ TRUSTEE 2.00 0.00 X 0 0 0 CONAN VIERNES TRUSTEE 1.00 0.00 X 0 0 0 JEFF SPERRING MD CEO/NON-VOTING EX OFFICIO TRUSTEE 55.00 0.00 X 704719 1072193 389110 SUZANNE BEITEL SENIOR VP & CHIEF FINANCIAL OFFICER 55.00 0.00 X 928483 520763 51323 RUSSELL WILLIAMS SVP-STRAT, CAP & REGL NETWORKS 55.00 0.00 X 634502 498131 123854 MYRA GREGORIAN SENIOR VP & CHIEF PEOPLE OFFICER 55.00 0.00 X 573348 536086 90878 ZAFAR CHAUDRY MD SVP & CHIEF DIGITAL & INFO OFFICER 55.00 0.00 X 595904 534954 30237 LISA HAYWARD SENIOR VP & CHIEF LEGAL OFFICER 55.00 0.00 X 743640 2362 149701 STANLEY RA CHIEF INVESTMENT OFFICER 55.00 0.00 X 348414 328612 39581 WARREN HEWITT VP - FINANCE 14.00 41.00 X 94608 288340 48958 DOUGLAS PICHA CONSULTANT, SPEC PROJECTS/RELATIONS 24.00 0.00 X 83290 537289 45609 JAMES OLSON DIRECTOR OF INVESTMENTS 45.00 0.00 X 175209 158411 49380 SAMANTHA SLOANE SR DIR, FINANCE & SYSTEM CONTROLLER 12.00 38.00 X 73252 241837 45725 JORDAN SUMMERSIDE DIR, PARTNERSHIPS & SPECIAL PROJECTS 45.00 0.00 X 209223 232 29296 CATHERINE CHILCOTT DIRECTOR - TREASURY SERVICES 40.00 0.00 X 134578 34531 28666 5299170 4753741 1122318 14 0 1 0 THE BOSTON CONSULTING GROUP INC 1201 THIRD AVE STE 5400 SEATTLE WA 98101 HEALTHCARE SERVICES CONSULTING 7366000 CENTERBRIDGE PARTNERS LP 375 PARK AVE STE 12C NEW YORK NY 10152 INVESTMENT MANAGEMENT 845236 HIGHCLERE INTERNATIONAL INVESTORS 8 WRIGHT STREET STE 107 WESTPORT CT 06880 INVESTMENT MANAGEMENT 434986 SANDERSON INTERNATIONAL VALUE FUND 250 S WACKER DR STE 220 CHICAGO IL 60606 INVESTMENT MANAGEMENT 399736 BURGUNDY ASSET MANAGEMENT LTD 181 BAY STREET STE 4510 TORONTO ONTARIO CA M5J 2T3 INVESTMENT MANAGEMENT 391091 10 10080935 4455570 10080935 RENT FROM AFFILIATES 531390 889904 889904 MEDICAL CLINIC RENTAL 531390 667270 667270 1557174 3438208 3438208 645801322 5515744 634301835 1818325 11499487 3697419 15196906 15196906 30273223 1557174 0 18635114 X 6986997 6986997 8029277 8029277 2362674 2362674 403362 403362 294867 294867 791749 508122 283627 2876285 2876285 257800 257800 1037145 1037145 5406342 3216253 2190089 11885 10594 1291 760 760 1352766 98435 1254331 29868 29868 6404 6404 60952 60952 21841 21841 LICENSES AND TAXES 787 787 257275 165112 92163 30189036 19075742 11113294 0 570153 489918 4378855 436191 4420716 3942664 115155388 64364652 656073067 817805652 3741460 4008730 299135904 284696965 1079096688 1175308581 502139 9010375 2196671 957965 7399066 7321530 10097876 17289870 X 857282011 925456548 211716801 232562163 1068998812 1158018711 1079096688 1175308581 84187 88935712 0 X 0 1 X 1 0 X 6355833 4113866 4986352 3478265 10080935 29015251 6355833 4113866 4986352 3478265 10080935 29015251 29015251 8296653 3858068 3170226 5802796 3438208 24565951 81699 831123 8954 921776 54502978 120113644 0.53240 0.55090 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 499142000 11731000 76598000 11053000 576418000 609986000 6286000 -106820000 10310000 499142000 484176000 404000 129530000 4124000 609986000 441030000 865000 46256000 3975000 484176000 432588000 -804000 13040000 3794000 441030000 0.86710 0.13290 0 0 160875 3402200 3563075 606402 286865 319537 194795 137945 56850 10976 7774 3202 3607 3607 0 3942664 POOLED INVESTMENTS 660709189 C CHARITABLE TRUSTS 6511918 C PERPETUAL & TESTAMENTARY TRUSTS 145908059 C GIFT ANNUITIES 636889 C LIFE ESTATES 1643971 C DEFERRED COMPENSATION PLANS 1929216 C LIFE INSURANCE POLICIES 312192 C OTHER ALTERNATIVE INVESTMENTS 154218 C 817805652 RECEIVABLES FROM AFFILIATES 277395780 OTHER RECEIVABLES 7301185 284696965 ANNUITIES AND TRUSTS PAYABLE 5075504 DEFERRED COMPENSATION PAYABLE 1929216 PAYABLE TO AFFILIATES 308994 OTHER PAYABLES 7816 7321530 X PART V, LINE 4: SEATTLE CHILDREN'S HEALTHCARE SYSTEM (SCHS) AND SEATTLE CHILDREN'S HOSPITAL (SCH) SHARE IN A UNIFIED ENDOWMENT FUND (UEF) THAT IS MANAGED BY SCHS. SEATTLE CHILDREN'S HEALTHCARE SYSTEM'S RESTRICTED ASSETS REFLECT ENDOWMENTS WHOSE PURPOSE IS TO SUPPORT THE HOSPITAL. PART X, LINE 2: THE INTERNAL REVENUE SERVICE HAS GRANTED SCHS, AND EACH OF THE CONTROLLED CORPORATIONS LISTED ABOVE, EXEMPTION FROM FEDERAL INCOME TAXES UNDER SECTION 501(A) OF THE INTERNAL REVENUE CODE (IRC) AS AN ORGANIZATION DESCRIBED IN SECTION 501(C)(3) OF THE IRC FORMED TO OPERATE FOR CHARITABLE, EDUCATIONAL, SCIENTIFIC, AND MEDICAL PURPOSES. DURING 2023 AND 2022, SCHS DID NOT RECORD ANY LIABILITY FOR UNRECOGNIZED TAX BENEFITS. CENTRAL AMERICA AND THE CARIBBEAN INVESTMENTS 398580071 NORTH AMERICA INVESTMENTS 1337624 EUROPE (INCLUDING ICELAND & GREENLAND) INVESTMENTS 165580 EAST ASIA AND THE PACIFIC INVESTMENTS 9336 NORTH AMERICA 0 0 INVESTMENT MANAGEMENT FEES 346485 EAST ASIA AND THE PACIFIC 0 0 TRAVEL TO MEET WITH EXISTING AND PROSPECTIVE INVESTMENT MANAGERS 5000 EUROPE (INCLUDING ICELAND & GREENLAND) 0 0 TRAVEL TO MEET WITH EXISTING AND PROSPECTIVE INVESTMENT MANAGERS 4000 0 0 0 0 0 0 400448096 0 400448096 1 0 1 1 1 0 PART I, LINE 3: THE ACCRUAL METHOD WAS USED TO ACCOUNT FOR EXPENDITURES. PART III ACCOUNTING METHOD: 1 SEATTLE CHILDREN'S FOUNDATION PO BOX 5371 MS 818-FI SEATTLE WA 981455005 911156519 501(C)(3) 5239164 0 UNRESTRICTED DONATION TO AFFILIATE SEATTLE CHILDREN'S GUILD ASSOCIATION PO BOX 5371 MS 818-FI SEATTLE WA 981455005 911394056 501(C)(3) 1747833 0 UNRESTRICTED DONATION TO AFFILIATE 2 0 PART I, LINE 2: SEATTLE CHILDREN'S HEALTHCARE SYSTEM (SCHS) WORKS CLOSELY WITH GRANTEES TO MONITOR EFFORTS RELATED TO THE GRANT'S PURPOSE AND TRACK THE RELATED EXPENDITURES. SCHS IS THE CONTROLLING PARENT ORGANIZATION OF SEVERAL SUBSIDIARY FUNDRAISING ORGANIZATIONS. WHEN ONE OF THESE RELATED ORGANIZATIONS INCURS FUNDRAISING EXPENSES IN EXCESS OF TOTAL UNRESTRICTED REVENUES AND SUPPORT, SCHS PROVIDES AN UNRESTRICTED DONATION IN THE AMOUNT OF THE DEFICIT. RECORDS ARE MAINTAINED TO SUBSTANTIATE THE AMOUNT OF SUPPORT. X 1 1 X X X X X 0 1 0 0 0 0 0 0 0 JEFF SPERRING MD CEO/NON-VOTING EX OFFICIO TRUSTEE 586270 710822 118449 355347 0 6024 343648 17156 12384 15922 1060751 1105271 0 0 SUZANNE BEITEL SENIOR VP & CHIEF FINANCIAL OFFICER 338575 410373 36022 108067 553886 2323 0 16775 15115 19433 943598 556971 449543 0 RUSSELL WILLIAMS SVP-STRAT, CAP & REGL NETWORKS 144259 390571 0 106541 490243 1019 64254 22875 9181 27544 707937 548550 0 0 MYRA GREGORIAN SENIOR VP & CHIEF PEOPLE OFFICER 157450 426630 0 108066 415898 1390 37719 16775 9096 27288 620163 580149 0 0 ZAFAR CHAUDRY MD SVP & CHIEF DIGITAL & INFO OFFICER 157360 427022 0 106503 438544 1429 1902 14873 3366 10096 601172 559923 0 0 LISA HAYWARD SENIOR VP & CHIEF LEGAL OFFICER 624912 0 118728 0 0 2362 113087 0 36614 0 893341 2362 0 0 STANLEY RA CHIEF INVESTMENT OFFICER 122664 328052 225750 0 0 560 0 20210 4843 14528 353257 363350 0 0 DOUGLAS PICHA CONSULTANT, SPEC PROJECTS/RELATIONS 83290 225635 0 305016 0 6638 0 22875 5684 17050 88974 577214 0 0 WARREN HEWITT VP - FINANCE 82286 246856 12322 36965 0 4519 5719 17156 6521 19562 106848 325058 0 0 JAMES OLSON DIRECTOR OF INVESTMENTS 60721 158133 114488 0 0 278 9068 9692 7655 22965 191932 191068 0 0 SAMANTHA SLOANE SR DIR, FINANCE & SYSTEM CONTROLLER 65269 217580 7983 23951 0 306 5185 15556 6246 18738 84683 276131 0 0 JORDAN SUMMERSIDE DIR, PARTNERSHIPS & SPECIAL PROJECTS 184966 0 14575 0 9682 232 15971 0 13325 0 238519 232 0 0 CATHERINE CHILCOTT DIRECTOR - TREASURY SERVICES 122178 34133 12400 0 0 398 9009 2125 13587 3945 157174 40601 0 0 PART I, LINE 1A THE CHIEF EXECUTIVE OFFICER IS PROVIDED MEMBERSHIP TO THE RAINIER CLUB. ANNUAL DUES ARE REPORTED AS TAXABLE COMPENSATION. PART I, LINE 4B THE FOLLOWING PARTICIPATED IN, OR RECEIVED PAYMENT FROM, A SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN: JEFF SPERRING MD - $337,929 EMPLOYER CONTRIBUTIONS SUZANNE BEITEL - $104,344 EMPLOYER CONTRIBUTIONS, $553,886 TAXABLE PAYMENT RUSSELL WILLIAMS - $75,410 EMPLOYER CONTRIBUTIONS, $490,243 TAXABLE PAYMENT MYRA GREGORIAN - $88,588 EMPLOYER CONTRIBUTIONS, $415,898 TAXABLE PAYMENT ZAFAR CHAUDRY MD - $81,647 EMPLOYER CONTRIBUTIONS, $438,544 TAXABLE PAYMENT LISA HAYWARD - $90,212 EMPLOYER CONTRIBUTIONS PART II, COLUMN (F): THE FOLLOWING RECEIVED PAYMENT FROM A SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN, WHICH IS BEING REPORTED IN COLUMN (B)(III). THIS PORTION OF THAT COMPENSATION WAS REPORTED IN COLUMN (C) IN PRIOR FORMS 990 FOR SEATTLE CHILDREN'S HEALTHCARE SYSTEM: SUZANNE BEITEL - $449,543 THE FOLLOWING RECEIVED PAYMENT FROM A SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN, WHICH IS BEING REPORTED IN COLUMN (B)(III). THIS PORTION OF THAT COMPENSATION WAS REPORTED IN COLUMN (C) IN PRIOR FORMS 990 FOR SEATTLE CHILDREN'S HOSPITAL, A RELATED ORGANIZATION: RUSSELL WILLIAMS - $479,087 MYRA GREGORIAN - $365,028 ZAFAR CHAUDRY MD - $356,897 X 20 3449271 MARKET VALUE X 1 1006299 MARKET VALUE 0 0 1 1 PART I, COLUMN (B): COLUMN (B) REPORTS THE NUMBER OF CONTRIBUTIONS RECEIVED. PART I, LINE 32B: SEATTLE CHILDREN'S FOUNDATION AND SEATTLE CHILDREN'S GUILD ASSOCIATION (RELATED ORGANIZATIONS) SOLICIT BOTH CASH AND NON-CASH GIFTS ON BEHALF OF SEATTLE CHILDREN'S HEALTHCARE SYSTEM (SCHS). FORM 990, PART I, LINE 6: 16 MEMBERS OF THE BOARD OF TRUSTEES PERFORM THEIR DUTIES UNCOMPENSATED. FORM 990, PART III, LINE 3 SEATTLE CHILDREN'S HEALTHCARE SYSTEM NO LONGER PARTICIPATES IN A PROGRAM RELATED JOINT VENTURE WITH SEATTLE CANCER CARE ALLIANCE (SCCA), A NOT-FOR-PROFIT CORPORATION FORMED IN 1998 BY SEATTLE CHILDREN'S HEALTHCARE SYSTEM, THE UNIVERSITY OF WASHINGTON SCHOOL OF MEDICINE, AND FRED HUTCHINSON CANCER RESEARCH CENTER. IN APRIL 2022, THE MEMBERS OF SCCA COMPLETED A RESTRUCTURE OF THEIR PARTNERSHIP AND SEATTLE CHILDREN'S HEALTHCARE SYSTEM EXITED THE SCCA. THE RESTRUCTURE RESULTED IN THE FORMATION OF THE FRED HUTCHINSON CANCER CENTER. SEATTLE CHILDREN'S HEALTHCARE SYSTEM CONTINUES TO COLLABORATE WITH THESE ORGANIZATIONS THROUGH INTEGRATED CANCER RESEARCH PROGRAMS AND PROVISION OF PEDIATRIC CANCER CARE. FORM 990, PART VI, SECTION A, LINE 2 WARREN HEWITT HAS A BUSINESS RELATIONSHIP WITH LOREN ALHADEFF, SUZANNE BEITEL, SUSAN BETCHER, JILL BRUBAKER, KEN DENMAN, COLIN FOX, JOEL FRENCH, COLLEEN FUKUI-SKETCHLEY, TROY HUTSON, DAN LEVITAN, PATRICIA LOERA, JUDITH PIERCE, RACQUEL RUSSELL, JOHN SCHOETTLER, KURT SHINTAFFER, JEFF SPERRING, MOYA VAZQUEZ, AND CONAN VIERNES. FORM 990, PART VI, SECTION A, LINE 4 THE BOARD OF TRUSTEES OF SEATTLE CHILDREN'S HEALTHCARE SYSTEM APPROVED THE FOLLOWING SIGNIFICANT CHANGES TO THE ORGANIZING DOCUMENTS: ARTICLES OF INCORPORATION: - THE PURPOSES CLAUSE WAS CHANGED TO EXPAND THE PROTECTED CATEGORIES ON WHICH NON-DISCRIMINATION IS PROHIBITED AND WAS REVISED TO CLARIFY THE BASIS UNDER WHICH FINANCIAL ASSISTANCE IS PROVIDED TO PATIENTS CONSISTENT WITH STATE LAW. BYLAWS: - THE PURPOSES CLAUSE WAS REMOVED BECAUSE THE PURPOSES ARE STATED IN THE ARTICLES OF INCORPORATION. - CLARIFIED THAT ONLY VOTING TRUSTEES COUNT FOR PURPOSES OF ESTABLISHING A QUORUM OR MAY VOTE ON MATTERS BEFORE THE BOARD OR BOARD COMMITTEE, CONSISTENT WITH STATE LAW. - THE FULL BOARD MUST APPROVE ALL TRUSTEE APPOINTMENTS TO COMMITTEES; BOARD-RATIFICATION WAS ADDED FOR ALL APPOINTMENTS MADE BY THE BOARD CHAIR. - CONSOLIDATED AND RESTRUCTURED COMMITTEE SCOPE AND MEMBERSHIP COMPOSITION FOR CERTAIN BOARD COMMITTEES. FORM 990, PART VI, SECTION B, LINE 11B MANAGEMENT REVIEWS THE FORM 990 WITH THE GOVERNANCE, AUDIT AND COMPLIANCE COMMITTEE OF THE BOARD OF TRUSTEES. AFTER REVIEW BY THE GOVERNANCE, AUDIT AND COMPLIANCE COMMITTEE AND PRIOR TO FILING THE FORM 990 WITH THE INTERNAL REVENUE SERVICE, THE ENTIRE BOARD OF TRUSTEES RECEIVES A COPY OF THE FORM 990. FORM 990, PART VI, SECTION B, LINE 12C THE CONFLICT OF INTEREST POLICY OF SEATTLE CHILDREN'S HEALTHCARE SYSTEM (SCHS) REQUIRES AN ANNUAL SURVEY OF ALL OFFICERS, BOARD MEMBERS AND MEMBERS OF SCHS BOARD COMMITTEES, MEMBERS OF MEDICAL LEADERSHIP, ALL INDIVIDUALS ENGAGED TO PROVIDE MEDICAL DIRECTION, STAFF MEMBERS OCCUPYING ROLES WITH A DEGREE OF AUTHORITY, MEMBERS OF THE INSTITUTIONAL REVIEW BOARD, AND MEMBERS OF SEATTLE CHILDREN'S HOSPITAL'S PHARMACY AND THERAPEUTICS COMMITTEE. THE SENIOR VICE PRESIDENT/CHIEF LEGAL OFFICER OF SCHS, ACTING UNDER THE OVERSIGHT AND BOARD DELEGATED AUTHORITY OF THE SCHS GOVERNANCE, AUDIT AND COMPLIANCE COMMITTEE, OVERSEES THE REVIEW OF ALL DISCLOSURES AND ESTABLISHES AND OVERSEES ANY NECESSARY MANAGEMENT PLANS RELATED TO THEM. IN GENERAL, WHEN A CONFLICT OF INTEREST EXISTS, THE INDIVIDUAL WITH THE CONFLICT MUST RECUSE THEMSELVES FROM PARTICIPATION IN ANY BOARD OR COMMITTEE DISCUSSION OR OTHER DECISION MAKING REGARDING THE TRANSACTION AND REFRAIN FROM VOTING ON OR DECIDING ANY ISSUES RELATING TO THE CONFLICTING INTEREST. ANY PERSON COVERED BY THE POLICY WHO ENGAGES IN CONDUCT THAT VIOLATES THE POLICY OR PURSUES A TRANSACTION OR EVENT FOLLOWING DISAPPROVAL BY THE GOVERNANCE, AUDIT AND COMPLIANCE COMMITTEE OR THE APPROPRIATE OFFICER MAY, IN THE DISCRETION OF THE GOVERNANCE, AUDIT AND COMPLIANCE COMMITTEE OR THE APPROPRIATE OFFICER IN ACCORDANCE WITH THEIR RESPECTIVE AUTHORITY, BE REMOVED IMMEDIATELY FROM THEIR DUTIES WITH SCHS AND/OR TERMINATED IN THEIR EMPLOYMENT. FORM 990, PART VI, SECTION B, LINE 15 EXECUTIVE COMPENSATION FALLS WITHIN THE PURVIEW OF THE PEOPLE, CULTURE AND EXECUTIVE COMPENSATION COMMITTEE ("PCECC") OF THE BOARD OF TRUSTEES. PURSUANT TO THE BOARD-APPROVED PCECC CHARTER, THE PCECC ENGAGES AN INDEPENDENT THIRD-PARTY CONSULTANT WITH EXPERIENCE IN THE COMPENSATION OF EXECUTIVES AND OTHER TOP MANAGERS OF NONPROFIT HOSPITALS AND HEALTH CARE SYSTEMS. WITH APPROPRIATE COMPARABILITY DATA PROVIDED BY ITS CONSULTANT (COMPRISING MARKET DATA REGARDING COMPENSATION PAID FOR COMPARABLE SERVICES IN COMPARABLE ORGANIZATIONS), THE PCECC ENGAGES IN AN ANNUAL REVIEW AND ASSESSMENT OF THE SEATTLE CHILDREN'S HEALTHCARE SYSTEM EXECUTIVE COMPENSATION PROGRAM (BASE, INCENTIVE COMPENSATION, AND EMPLOYER-PAID BENEFITS) TO DETERMINE COMPETITIVENESS. BASED ON THIS ANALYSIS AND ON RELEVANT PERFORMANCE INFORMATION FOR THE EXECUTIVES IN QUESTION AND THE ORGANIZATION AS A WHOLE, THE PCECC PRESENTS A RECOMMENDATION TO THE BOARD REGARDING THE TOTAL COMPENSATION PACKAGE FOR EACH OF THE AFFECTED EXECUTIVES, INCLUDING THE CHIEF EXECUTIVE OFFICER, CHIEF FINANCIAL OFFICER, AND KEY EMPLOYEES. THE FULL BOARD REVIEWS THE RECOMMENDATIONS AS WELL AS ALL RELEVANT COMPARABILITY DATA AND THE GOALS OF THE ORGANIZATION IN MAKING ITS FINAL DECISION. IN DOING SO IT RELIES ON THE CONSULTANT'S ANALYSIS TO DETERMINE THAT COMPENSATION IS REASONABLE AND WITHIN THE "BOUNDS OF COMPETITIVE PRACTICE." ALL DELIBERATIONS AND DECISIONS OF THE PCECC AND FULL BOARD ARE DOCUMENTED IN THE BOOKS AND RECORDS IN ACCORDANCE WITH GENERAL ADMINISTRATIVE PROVISIONS AND PROCEDURES WITHIN THE BYLAWS. THE PROCESS FOLLOWED BY THE PCECC AND THE FULL BOARD SATISFIES BEST GOVERNANCE PRACTICES AND ALSO MEETS THE REQUIREMENTS NECESSARY TO CREATE A REBUTTABLE PRESUMPTION OF REASONABLENESS WITHIN THE MEANING OF IRC SECTION 4958 AND THE TREASURY REGULATIONS THEREUNDER WITH RESPECT TO THE BOARD'S DECISION. FORM 990, PART VI, SECTION C, LINE 19 SEATTLE CHILDREN'S HEALTHCARE SYSTEM MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. FORM 990, PART IX, LINE 11G STRATEGIC CONSULTING: PROGRAM SERVICE EXPENSES 3,125,779. MANAGEMENT AND GENERAL EXPENSES 2,128,481. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 5,254,260. OTHER PURCHASED SERVICES: PROGRAM SERVICE EXPENSES 90,474. MANAGEMENT AND GENERAL EXPENSES 61,608. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 152,082. FORM 990, PART IX, COLUMN (D): ALTHOUGH SEATTLE CHILDREN'S HEALTHCARE SYSTEM HAS SUBSTANTIAL CONTRIBUTION REVENUE, IT DOES NOT INCUR FUNDRAISING EXPENSES. ALL FUNDRAISING ACTIVITIES AND CONTRIBUTIONS TO SEATTLE CHILDREN'S HEALTHCARE SYSTEM ARE CONDUCTED BY RELATED ORGANIZATIONS. SEE ADDITIONAL DESCRIPTION FOR SCHEDULE M, LINE 32. SYZYGY PROPERTIES LLC PO BOX 5371 MS 818-FI SEATTLE WA 981455005 911250116 REAL ESTATE MANAGEMENT WA 667270 4008730 SEATTLE CHILDREN'S HEALTHCARE SYSTEM SEATTLE CHILDREN'S HOSPITAL PO BOX 5371 MS 818-FI SEATTLE WA 981455005 910564748 PEDIATRIC MEDICAL CARE WA 501(C)(3) LINE 3 SEATTLE CHILDREN'S HEALTHCARE SYSTEM 1 SEATTLE CHILDREN'S FOUNDATION PO BOX 5371 MS 818-FI SEATTLE WA 981455005 911156519 FUNDRAISING WA 501(C)(3) LINE 7 SEATTLE CHILDREN'S HEALTHCARE SYSTEM 1 SEATTLE CHILDREN'S GUILD ASSOCIATION PO BOX 5371 MS 818-FI SEATTLE WA 981455005 911394056 FUNDRAISING, CHILD ADVOCACY, AND PEDIATRIC HEALTH AWARENESS WA 501(C)(3) LINE 7 SEATTLE CHILDREN'S HEALTHCARE SYSTEM 1 CHILDREN'S RETAIL PO BOX 5371 MS 818-FI SEATTLE WA 981455005 911998909 THRIFT STORES WA 501(C)(3) LINE 12A, I SEATTLE CHILDREN'S HEALTHCARE SYSTEM 1 CHILDREN'S HEALTH NETWORK PO BOX 5371 MS 818-FI SEATTLE WA 981455005 911226716 PEDIATRIC HEALTHCARE SERVICES WA 501(C)(3) LINE 12A, I SEATTLE CHILDREN'S HEALTHCARE SYSTEM 1 UMBRELLA PEDIATRICS PO BOX 5371 MS 818-FI SEATTLE WA 981455005 861448700 PEDIATRIC HEALTHCARE SERVICES WA 501(C)(3) LINE 10 SEATTLE CHILDREN'S HEALTHCARE SYSTEM 1 CHARITABLE REMAINDER UNITRUSTS (6) INVESTMENTS WA SEATTLE CHILDREN'S HEALTHCARE SYSTEM 1 CHARITABLE REMAINDER UNITRUSTS (6) INVESTMENTS WA N/A 0 CHARITABLE REMAINDER UNITRUST (1) INVESTMENTS AK N/A 0 CHARITABLE REMAINDER UNITRUSTS (3) INVESTMENTS CA N/A 0 CHARITABLE REMAINDER UNITRUST (1) INVESTMENTS FL N/A 0 CHARITABLE REMAINDER ANNUITY TRUSTS (2) INVESTMENTS WA N/A 0 PERPETUAL TRUSTS (7) INVESTMENTS WA N/A 0 POOLED INCOME FUND (1) INVESTMENTS WA N/A 0 CHARITABLE LEAD ANNUITY TRUST (1) INVESTMENTS WA N/A 0 1 1 1 1 1 0 0 0 0 0 0 0 0 0 1 1 0 0 0 SEATTLE CHILDREN'S HOSPITAL A 889904 ACTUAL RENT SEATTLE CHILDREN'S FOUNDATION B 5239164 ACTUAL GRANT SEATTLE CHILDREN'S GUILD ASSOCIATION B 1747833 ACTUAL GRANT SEATTLE CHILDREN'S FOUNDATION C 9415250 ACTUAL CONTRIBUTION CHILDREN'S RETAIL C 657865 ACTUAL CONTRIBUTION SEATTLE CHILDREN'S HOSPITAL D 275908369 ACTUAL RECEIVABLE SEATTLE CHILDREN'S FOUNDATION D 1487411 ACTUAL RECEIVABLE SEATTLE CHILDREN'S GUILD ASSOCIATION E 200129 ACTUAL PAYABLE CHILDREN'S RETAIL E 108865 ACTUAL PAYABLE SEATTLE CHILDREN'S HOSPITAL P 1234957 ACTUAL EXPENSES