2023-05-12T11:46:08-05:00 2022-06-30 271235638 MCM CPAS & ADVISORS LLP 462 SOUTH 4TH STREET SUITE 2600 LOUISVILLE KY 40202 990 2021-07-01 610574577 KENTUCKY HOSPITAL ASSOCIATION KENT 5024266220 2501 NELSON MILLER PARKWAY LOUISVILLE KY 40223 NANCY GALVAGNI PRESIDENT 5024266220 2023-05-09 1 NANCY GALVAGNI 999009999 ANNAMARIE REILLY CPA P00431897 5027491900 2023-05-09 3 AAL1 IAL1 2021 2023-04-26 12:10:37Z NANCY GALVAGNI 2501 NELSON MILLER PARKWAY LOUISVILLE KY 40223 18925667 0 X WWW.KYHA.COM X 1954 KY REPRESENT AND PROVIDE SERVICES TO KY HOSPITALS THAT ARE ACCOUNTABLE AND ORIENTED TO THE COMMUNITY. 25 24 31 28 0 0 0 0 12494129 16345850 796582 394952 -587831 2177350 12702880 18918152 0 3000000 0 0 3701804 5003097 0 0 0 2152500 2890549 5854304 10893646 6848576 8024506 31664606 39246700 3193745 5682964 28470861 33563736 X THE MISSION OF THE ASSOCIATION SHALL BE TO SERVE AS AN ASSOCIATION THAT REPRESENTS AND SERVES HOSPITALS, RELATED HEALTH CARE ORGANIZATIONS AND INTEGRATED HEALTH CARE SYSTEMS THAT ARE ACCOUNTABLE TO THE COMMUNITY AND ORIENTED TOWARD COMMUNITY HEALTH IMPROVEMENT. WHERE APPROPRIATE, THE ASSOCIATION WILL SEEK TO INVOLVE OTHER HEALTH CARE FACILITIES, PHYSICIAN GROUPS AND OTHER MEDICAL PROFESSIONAL CORPORATIONS, HEALTH PLANS AND OTHER INTEGRATORS. 0 0 ON THE FEDERAL LEVEL, CONTINUED TO MONITOR AND ANALYZE LEGISLATION AND REGULATIONS AFFECTING HOSPITALS AND PROVIDED COMMENTS ON HOSPITAL-RELATED REGULATIONS AND INFORMED THE MEMBERSHIP. MONITORED AND PROVIDED COMMENTS ON CENTERS FOR MEDICARE & MEDICAID SERVICES (CMS) OUTPATIENT AND INPATIENT PROSPECTIVE PAYMENT SYSTEM RULES AND WAGE INDEX CHANGES.ON AN ON-GOING BASIS, KHA WORKS WITH THE KENTUCKY CABINET FOR HEALTH AND FAMILY SERVICES ON ISSUES RELATED TO THE KENTUCKY MEDICAID PROGRAM AND THE MEDICAID MANAGED CARE ORGANIZATIONS ("MCO") RELEVANT TO A MEDICAID 1115 WAIVER PROPOSAL, EMERGENCY ROOM TRIAGE FEES, MENTAL HEALTH PARITY AND VARIOUS ADMINISTRATIVE PROCEDURES. MONTHLY MEETINGS BETWEEN MEMBERS AND MEDICAID MCOS CONTINUE TO ADDRESS PROBLEMS HOSPITALS EXPERIENCE WITH MANAGED CARE. EFFORTS CONTINUE WITH THE DEPARTMENT FOR MEDICAID SERVICES TO MODEL A NEW DISPROPORTIONATE SHARE SYSTEM FOR HOSPITAL PAYMENTS.KHA MAINTAINED THE STATE DATA CONTRACT FOR COLLECTION OF BOTH INPATIENT AND OUTPATIENT DATA AND CONTINUED THE KENTUCKY BIRTH SURVEILLANCE CONTRACT. REPORTS ARE PRODUCED UTILIZING THE DATA INCLUDING REPORTS TO ASSIST HOSPITALS IN ADDRESSING HOSPITAL READMISSIONS AND DASHBOARD REPORTS DESIGNED TO PROVIDE A HOSPITAL-SPECIFIC SUMMARY FOR EACH MEMBER.THE ECONOMIC IMPACT STUDY FOR EACH KENTUCKY HOSPITAL, WHICH DEMONSTRATES THE VALUE OF THE HOSPITAL TO ITS COMMUNITY, WAS UPDATED. PROVIDED EDUCATIONAL, INFORMATIONAL AND NETWORKING FORUMS FOR MEMBERS TO DISCUSS CURRENT ISSUES OF INTEREST TO MEMBERS. PREPARED ANDDISTRIBUTED INFORMATION TO MEMBERS ON CURRENT HEALTH CARE TOPICS.THE KENTUCKY CABINET FOR HEALTH AND FAMILY SERVICES RECEIVED APPROVAL FROM CMS FOR THE HOSPITAL RATE IMPROVEMENT PROGRAM ("HRIP"). HRIP IS A MODEL THAT INCREASES INPATIENT MEDICAID PAYMENTS TO HOSPITALS. KHA IS THE THIRD-PARTY ADMINISTRATOR ("TPA") FOR THE HRIP FUNDS THAT THE HOSPITALS RECEIVE.PROVIDE OVERSIGHT AND SUPPORT STAFF SERVICES FOR THE ACTIVITIES OF THE KENTUCKY HOSPITAL RESEARCH AND EDUCATION FOUNDATION ("KHREF") AND KENTUCKY INSTITUTE FOR PATIENT SAFETY AND QUALITY ("KIPSQ").MONITOR AND PROVIDE COMMENTS AND RECOMMENDATIONS ON KENTUCKY LAWS AND REGULATIONS THAT HAVE AN IMPACT ON HOSPITALS AND HEALTH CARE. KEEP MEMBERS INFORMED REGARDING COMPLIANCE WITH KENTUCKY HEALTH STATUTES. 0 0 0 1 0 0 0 0 0 1 0 1 1 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 15 0 1 31 1 0 0 0 0 0 0 0 0 X 25 24 0 0 1 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 KY X APRIL SMITH VICE PRESIDENTFINANCE 5024266220 2501 NELSON MILLER PARKWAY LOUISVILLE KY 40223 NANCY GALVAGNI PRESIDENT 28.00 12.00 X X 675591 0 39423 HOLLIE HARRIS PHILLIPS TRUSTEE 0.30 0.30 X 500 100 0 GERARD COLMAN TRUSTEE 0.30 0.60 X 500 0 0 ANTHONY HOUSTON TRUSTEE 0.30 X 0 0 0 CHERIE SIBLEY TRUSTEE 0.30 X 0 0 0 DOUG WINKELHAKE TRUSTEE 0.30 X 500 0 0 MARK NEWMAN TRUSTEE 0.30 0.60 X 500 100 0 KEN MARSHALL TRUSTEE 0.30 X 500 0 0 DONOVAN BLACKBURN TRUSTEE 0.30 1.00 X 500 0 0 ASHLEY HERRINGTON TRUSTEE 0.30 X 500 200 0 DAVID ANDERSON TRUSTEE 0.30 X 500 0 0 MATTHEW AYERS TRUSTEE 0.30 X 500 0 0 DONALD LLOYD TRUSTEE 0.30 0.60 X 500 100 0 TOM MILLER TRUSTEE 0.30 X 0 0 0 GREG PAULEY TRUSTEE 0.30 X 500 0 0 NINA EISNER TRUSTEE 0.30 X 500 0 0 DAN MCKAY TRUSTEE 0.30 X 0 0 0 CLINT KAHO TRUSTEE 0.30 X 500 200 0 MICHAEL YUNGMANN TRUSTEE 0.30 0.20 X 500 0 0 DAN GOULSON TRUSTEE 0.30 X 500 0 0 FRANK SCHNEIDER TRUSTEE 0.30 X 500 0 0 MATT OURS TRUSTEE 0.30 X 500 0 0 CHRIS SELF TRUSTEE (PARTIAL YEAR) 0.30 X 500 0 0 INA GLASS TRUSTEE (PARTIAL YEAR) 0.30 X 500 0 0 JANE WHEATLEY TRUSTEE (PARTIAL YEAR) 0.30 X 500 0 0 KATHY STUMBO BOARD CHAIR 2.00 0.60 X X 500 200 0 WILLIAM HAUGH BOARD CHAIR (PARTIAL YEAR) 1.00 0.60 X X 500 0 0 GARREN COLVIN IMMEDIATE PAST CHAIR 1.00 0.60 X X 500 100 0 MIKE SHERROD TREASURER/CHAIR ELECT 1.00 0.60 X X 500 0 0 JAMES MUSSER VP/POLICY AND GOVERNMENT RELATIONS 40.00 X 266834 0 26523 HAROLD CLARK VP/ECONOMICS AND POLICY 40.00 X 223860 0 35278 HAROLD WARMAN VP/MEMBER SERVICES AND ENGAGEMENT 14.00 26.00 X 221491 0 23537 APRIL SMITH VP/FINANCE 25.00 15.00 X 177960 0 28633 DEBORAH CAMPBELL VP/QUALITY AND HEALTH PROFESSIONS 7.20 32.80 X 158571 0 19154 1736307 1000 172548 11 0 1 0 BARNETT BENVENUTI & BUTLER 489 EAST MAIN STREET SUITE 300 LEXINGTON KY 40507 LEGAL SERVICES 208463 HEALTHCARE STRAGEGY GROUP LLC 9900 CORPORATE CAMPUS DR SUITE 20 LOUISVILLE KY 40223 CONSULTING SERVICES 175234 DRESSMAN BENZINGER LAVELLE PSC 207 THOMAS MORE PARKWAY CRESTVIEW HILLS KY 41017 LEGAL SERVICES 150338 IOWA HOSPITAL ASSOCIATION 100 E GRAND AVE SUITE 100 DES MOINES IA 50309 DATA SERVICES 123500 FLEXENTIAL 600 FOREST POINT CIRCLE SUITE 100 CHARLOTTE NC 28273 DATA SERVICES 116609 6 ADMINISTRATOR FEES 900099 11649230 11649230 MEMBERSHIP DUES 900099 4457210 4457210 DATA SERVICES 900099 227000 227000 AHA FEES 900099 12410 12410 16345850 402467 402467 7515 -7515 -7515 -7515 PROFESSIONAL SERVICES 900099 1753323 1753323 SUBSIDIARY INCOME 900099 419012 419012 MISCELLANEOUS REVENUE 900099 5015 5015 2177350 18918152 18523200 0 394952 3000000 717014 3608352 229333 193488 254910 310333 30558 141000 38954 771481 37058 55546 141553 100661 132635 14280 80127 DATA SERVICE EXPENSE 669690 MISCELLANEOUS 269860 MEMBER/EMPLOYEE/PUBLIC 66467 ASSOCIATION & STAFF DUE 30346 10893646 500 500 9065165 9173314 95566 32244 53489 87815 658026 630671 41635 27355 10612524 18603939 5014462 5433474 6781265 5888059 31664606 39246700 946802 1122159 1250227 1058204 996716 3502601 3193745 5682964 X 28470861 33563736 28470861 33563736 31664606 39246700 8024506 -2931631 0 X X 0 1 X 1 0 0 0 1 4457210 481916 481916 530408 -48492 658026 630671 27355 27355 INVESTMENT IN AFFILIATES 5433474 C 5433474 DEFERRED COMP. PLAN ASSETS 478330 CAPITAL RESERVE FUND 5052993 ACCRUED INTEREST RECEIVABLE 24276 AFFILIATES RECEIVABLE 332460 5888059 CUSTODIAL FUNDS 9573 DEFERRED COMP. PLAN LIABILITIES 478330 AFFILIATES PAYABLE 14698 GRANT PAYABLE TO RELATED ORGANIZATION 3000000 3502601 X PART X, LINE 2: KENTUCKY HOSPITAL ASSOCIATION (KHA) IS A NONPROFIT CORPORATION AS DEFINED BY THE INTERNAL REVENUE SERVICE AND, THEREFORE, IS NOT SUBJECT TO INCOME TAX, OTHER THAN FOR ANY UNRELATED BUSINESS INCOME. THE ASSOCIATION RECOGNIZES UNCERTAIN INCOME TAX POSITIONS USING THE "MORE-LIKELY-THAN-NOT" APPROACH AS DEFINED IN THE ASC. NO LIABILITY FOR UNCERTAIN TAX POSITIONS HAS BEEN RECORDED IN THE ACCOMPANYING FINANCIAL STATEMENTS. 1 KENTUCKY HOSPITAL RESEARCH AND EDUCATION FOUNDATION INC 2501 NELSON MILLER PARKWAY LOUISVILLE KY 40223 616052378 501(C)(3) 3000000 0 PROGRAM SUPPORT PART I, LINE 2: THE GRANT TO KY HOSPITAL RESEARCH AND EDUCATION FOUNDATION IS MONITORED TO ENSURE THAT IT IS USED FOR QUALITY IMPROVEMENT AS DIRECTED UNDER THE VICE PRESIDENT FOR QUALITY AND HEALTH PROFESSIONS. X X 1 1 X X X X 0 0 0 NANCY GALVAGNI PRESIDENT 509400 0 160207 0 5984 0 18850 0 20573 0 715014 0 0 0 JAMES MUSSER VP/POLICY AND GOVERNMENT RELATIONS 240543 0 25182 0 1109 0 17366 0 9157 0 293357 0 0 0 HAROLD CLARK VP/ECONOMICS AND POLICY 218568 0 4183 0 1109 0 8196 0 27082 0 259138 0 0 0 HAROLD WARMAN VP/MEMBER SERVICES AND ENGAGEMENT 201605 0 18183 0 1703 0 14380 0 9157 0 245028 0 0 0 APRIL SMITH VP/FINANCE 148520 0 29182 0 258 0 12008 0 16625 0 206593 0 0 0 DEBORAH CAMPBELL VP/QUALITY AND HEALTH PROFESSIONS 141577 0 15180 0 1814 0 10285 0 8869 0 177725 0 0 0 PART I, LINE 1A THE PRESIDENT'S CONTRACT INCLUDES TRAVEL WITH SPOUSE TO VARIOUS MEETINGS. VALUE OF THIS TRAVEL IS INCLUDED ON THE PRESIDENT'S W-2. THE ASSOCIATION MAINTAINS MEMBERSHIP IN SOCIAL CLUBS TO USE MEETING SPACE AND ENTERTAIN MEMBERS/GUESTS. ANY PERSONAL EXPENSES INCURRED BY THE PRESIDENT ARE REIMBURSED TO THE ASSOCIATION. FORM 990, PART VI, SECTION A, LINE 1A THE KHA EXECUTIVE COMMITTEE HAS AUTHORITY TO ACT IN BETWEEN REGULARLY SCHEDULED BOARD MEETINGS. MINUTES AND ACTIONS OF THE EXECUTIVE COMMITTEE ARE SUBSEQUENTLY APPROVED BY THE BOARD. FORM 990, PART VI, SECTION A, LINE 4 ARTICLE 2 WAS AMENDED TO INCLUDE THE FOLLOWING SECTION: REINSTATEMENT OF MEMBERSHIP. A MEMBER WHO PREVIOUSLY RESIGNED MEMBERSHIP MAY BE REINSTATED AS A MEMBER, UPON THE APPROVAL OUTLINED IN SECTION 3. A REINSTATED MEMBER MUST GUARANTEE MEMBERSHIP FOR A PERIOD OF TWO YEARS. IN ADDITION, A REINSTATED MEMBER WOULD BE ELIGIBLE TO HOLD A SEAT ON THE BOARD OF TRUSTEES AND/OR BE THE CHAIRPERSON OF A COMMITTEE ONE YEAR AFTER REINSTATEMENT AS A MEMBER. ARTICLE VIII WAS AMENDED TO RESTATE VACANCIES OF THE CHAIR, SHOULD THEY OCCUR, TO THE FOLLOWING: IF THE OFFICE OF CHAIR BECOMES VACANT OR IF THE CHAIR IS UNABLE TO PERFORM THE DUTIES OF THE OFFICE DURING THE FIRST YEAR OF THE CHAIR'S TERM, THE IMMEDIATE-PAST CHAIR SHALL COMPLETE THE FIRST YEAR OF THE CHAIR'S TWO-YEAR TERM. IN ADDITION, THE TERM OF THE CHAIR SHALL END AT THE COMPLETION OF THE FIRST YEAR AND THE CHAIR-ELECT'S TWO-YEAR TERM SHALL BEGIN. FORM 990, PART VI, SECTION A, LINE 6 MEMBERS ARE HOSPITALS THAT PAY DUES TO BELONG TO THE ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 7A THROUGH THEIR DISTRICTS, MEMBERS NOMINATE BOARD MEMBERS TO SERVE ON THE KHA BOARD WHO ARE THEN SUBSEQUENTLY APPROVED BY THE FULL MEMBERSHIP THROUGH MAILED BALLOT. FORM 990, PART VI, SECTION A, LINE 7B SPECIAL DUES ASSESSMENTS AND AMENDMENTS TO THE BYLAWS ARE SUBJECT TO THE REVIEW AND APPROVAL OF THE MEMBERS. FORM 990, PART VI, SECTION B, LINE 11B A DRAFT OF THE RETURN IS REVIEWED FIRST BY INTERNAL MANAGEMENT. AFTER INTERNAL MANAGEMENT HAS REVIEWED THE RETURN AND ANY CHANGES ARE MADE, A DRAFT IS PRESENTED TO THE FINANCE AND BUDGET COMMITTEE FOR REVIEW. AFTER THE REVIEW AND APPROVAL BY THE COMMITTEE, A COPY IS MADE AVAILABLE TO THE BOARD FOR REVIEW AND APPROVAL OF FORM 990 PRIOR TO ITS FILING. FORM 990, PART VI, SECTION B, LINE 12C STATEMENTS ARE REVIEWED BY THE COMPLIANCE OFFICER AND A STATEMENT IS INCLUDED ON THE AGENDA FOR EACH BOARD MEETING REMINDING MEMBERS OF THE CONFLICT OF INTEREST POLICY AND THE NEED TO DISCLOSE CONFLICTS AT THE TIME CONFLICTS ARISE. IF THE DISCLOSURE FORM REVEALS A SIGNIFICANT FINANCIAL INTEREST, IT WILL BE REVIEWED PROMPTLY BY THE INSTITUTIONAL OFFICIAL OR DESIGNEE FOR A DETERMINATION OF WHETHER IT CONSTITUTES A FINANCIAL CONFLICT OF INTEREST. IF A FINANCIAL CONFLICT OF INTEREST EXISTS, THE INSTITUTIONAL OFFICIAL WILL TAKE ACTION TO MANAGE THE FINANCIAL CONFLICT OF INTEREST INCLUDING THE REDUCTION OR ELIMINATION OF THE CONFLICT, AS APPROPRIATE. FORM 990, PART VI, SECTION B, LINE 15 AN INDEPENDENT CPA FIRM REVIEWS ANNUAL SALARY SURVEY AND INFORMATION PROVIDED FOR LIKE POSITIONS IN ASSOCIATIONS OF SIMILAR SIZE AND CONTIGUOUS TO KENTUCKY EVERY TWO YEARS AND ISSUES A LETTER SUBSTANTIATING THE REASONABLENESS OF COMPENSATION AND BENEFITS. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION DOES NOT MAKE ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC. FORM 990, PAGE 13, PART XII LINE 2C: THE PROCESS HAS NOT CHANGED FROM PRIOR YEAR. KHA CONTINUES TO BE AUDITED AS PART OF THE KENTUCKY HOSPITAL ASSOCIATION CONSOLIDATED GROUP. KHA CONTINUES TO BE INCLUDED IN THE KENTUCKY HOSPITAL ASSOCIATION AND SUBSIDIARIES CONSOLIDATED FINANCIAL STATEMENTS. THE ORGANIZATION STILL HAS AN AUDIT/FINANCE COMMITTEE THAT OVERSEES THE AUDIT OF THE FINANCIAL STATEMENTS AND THE SELECTION OF THE INDEPENDENT AUDITOR. KENTUCKY HOSPITAL RESEARCH & EDUCATION FOUNDATION INC 2501 NELSON MILLER PARKWAY LOUISVILLE KY 40223 616052378 HEALTHCARE, CHARITABLE, RESEARCH AND EDUCATIONAL ACTIVITIES IN KENTUCKY KY 501(C)(3) LINE 7 KENTUCKY HOSPITAL ASSOCIATION 1 KENTUCKY INSTITUTE FOR PATIENT SAFETY AND QUALITY INC 2501 NELSON MILLER PARKWAY LOUISVILLE KY 40223 264657040 EDUCATING ORGANIZATIONS ON PATIENT SAFETY KY 501(C)(3) LINE 10 KENTUCKY HOSPITAL ASSOCIATION 1 KENTUCKY HOSPITAL SERVICE COMPANY OF KY LLC 2501 NELSON MILLER PARKWAY LOUISVILLE KY 40223 611004776 PROVIDE INSURANCE/RISK MANAGEMENT SERVICES KY KENTUCKY HOSPITAL ASSOCIATION C 207019 3573534 1.00000 1 0 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 0 0 KENTUCKY HOSPITAL SERVICE COMPANY OF KY LLC K 176000 ALLOCATION OF SPACE & EQUIP USE KENTUCKY HOSPITAL SERVICE COMPANY OF KY LLC O 734734 ALLOCATED TIME OF SHARED FEES KY HOSPITAL RESEARCH AND EDUCATION FOUNDATION O 910562 ALLOCATED TIME OF SHARED FEES KY HOSPITAL RESEARCH AND EDUCATION FOUNDATION B 3000000 GRANT KENTUCKY HOSPITAL SERVICE COMPANY OF KY LLC O 69921 ALLOCATED TIME OF SHARED FEES KY INSTITUTE FOR PATIENT SAFETY AND QUALITY O 108027 ALLOCATED TIME OF SHARED FEES KENTUCKY HOSPITAL SERVICE COMPANY OF KY LLC P 120345 ALLOCATED EXPENSE REIMBURSEMENT KENTUCKY HOSPITAL SERVICE COMPANY OF KY LLC Q 128076 ALLOCATED EXPENSE REIMBURSEMENT SCHEDULE R, PAGE 3, PART V KENTUCKY HOSPITAL ASSOCIATION (KHA), KENTUCKY HOSPITAL SERVICE COMPANY OF KENTUCKY, LLC (KHSC), KENTUCKY HOSPITAL RESEARCH AND EDUCATION FOUNDATION (KHREF) AND KENTUCKY INSTITUTE FOR PATIENT SAFETY AND QUALITY (KIPSQ) SHARE EXPENSES FOR EMPLOYEES. THE COMPANIES ALSO SHARE EXPENSES FOR OFFICE SUPPLIES, INSURANCE, AND OTHER OFFICE EXPENSES. THESE EXPENSES ARE PAID BY ONE ORGANIZATION AND THEN THE OTHER ORGANIZATIONS WILL REIMBURSE FOR THESE EXPENSES BASED ON THE REIMBURSEMENT PERCENTAGES DETERMINED AT THE BEGINNING OF EACH YEAR. THE REIMBURSEMENT PERCENTAGE IS BASED ON THE TOTAL NUMBER OF EMPLOYEES.