2020-05-11T14:21:11-05:00 2019-06-30 481026809 Wendling Noe Nelson & Johnson LLC 534 S Kansas Ave Suite 1500 Topeka KS 666033491 990 2018-07-01 480799105 McPherson Hospital Inc MCPH 6202412250 1000 Hospital Drive McPherson KS 674602326 Teresa Gehring CEO 6202412250 2020-05-06 1 Heather R Eichem P01515553 7852334226 2020-05-06 98.172.114.81 2020-05-06 16:01:10 CD P D15E8753774D870AEBD51C6FA9B64EB20E340AF8 30A43D1F12253751ABFBDBE63FF4DC328AD8E2DF 2018 2021-01-29 14:40:06Z Teresa Gehring 1000 Hospital Drive McPherson KS 674602326 35157757 0 X http://www.mcphersoncenterforhealth.org X 1972 KS Provision of acute hospital care to patients regardless of ability to pay. 12 10 398 146 0 0 3804308 6400785 26742691 28329725 56437 32464 380047 386143 30983483 35149117 24000 19000 0 0 16881614 17567757 0 0 76304 13845555 14800062 30751169 32386819 232314 2762298 20076365 19889999 8807004 8863159 11269361 11026840 To meet our community's need by providing superior health care and exceptional service for each person, every time. 0 0 27132761 19000 28335120 Provision of inpatient and outpatient hospital services. 27132761 1 1 0 1 0 0 0 0 0 1 1 0 0 1 0 1 1 0 0 0 0 0 0 0 0 0 1 1 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 72 0 1 398 1 0 0 0 0 0 0 0 0 0 0 X 12 10 0 0 0 0 1 1 0 1 1 0 0 1 1 1 1 1 1 1 1 0 X George Kimbro CFO 6202412250 1000 Hospital Drive McPherson KS 674602326 Lenny Favara Trustee 2.00 X 0 0 0 Bill Glazner Trustee 2.00 X 0 0 0 Craig Harms Secretary 2.00 X X 0 0 0 Sheila Gorman Physician/Trustee 40.00 X 193516 0 25162 Tim Karstetter Trustee 2.00 X 0 0 0 Chet Lang Trustee 2.00 X 0 0 0 Chet Buchman Trustee beginning Jan 2019 2.00 X 0 0 0 Joan Reichenberger Vice Chair 2.00 X X 0 0 0 Paul Taliaferro Chairperson 2.00 X X 0 0 0 Esther Rettig Trustee beginning Jan 2019 2.00 X 0 0 0 Brent Wall Trustee 2.00 X 0 0 0 Michael Bloustine Trustee/Physician 40.00 X 250810 0 12537 Tom Pruitt Trustee thru 12/2018 2.00 X 0 0 0 Andrea Herrera Trustee thru 12/2018 2.00 X 0 0 0 Teresa Gehring CEO 40.00 X 248538 0 21552 George Kimbro CFO 40.00 X 220750 0 0 John Worden COO 40.00 X 196105 0 25166 Bret Heskett Physician 40.00 X 327593 0 27015 Dan Lichty Physician 40.00 X 240132 0 22112 Edward Stanton Physician 40.00 X 310800 0 4705 Clayton Fetsch Physician 40.00 X 300810 0 26949 Petie Schwerdtfeger Physician 40.00 X 240663 0 17103 2529717 0 182301 18 0 1 0 EMS Kansas LLC 7032 Collection Drive Chicago IL 60693 Physician Coverage 2543290 RehabVisions 11623 Arbor St Omaha NE 68144 Therapy services 1299267 CPSI Inc PO Box 850309 Mobile AL 36685 Computer support and billing services 1171581 Contemporary Anesthesia Services 1509 N Grimes McPherson KS 67460 Pain Management 321363 Benefit Management Inc PO Box 1090 Great Bend KS 67530 Insurance Administrator 293379 18 3167948 3086709 146128 6400785 Net patient service revenue 900099 28329725 28329725 28329725 32464 32464 42690 0 42690 42690 42690 8640 8640 0 Nonpatient meals 722210 194874 194874 Auxiliary 900099 96980 96980 Fitness center 713940 46204 46204 5395 5395 343453 35149117 28335120 0 413212 X 19000 19000 1148727 496608 652119 13755552 12264919 1428970 61663 211951 187948 23049 954 1438512 1246308 186001 6203 1013015 879986 128535 4494 8885 8885 7024449 5702558 1321891 38284 2592 35692 236936 186444 49467 1025 234620 179700 54920 507058 402595 104042 421 54030 32924 21106 16598 7658 8940 226198 81464 144687 47 1131355 863336 267567 452 259006 153763 105184 59 Medical supplies 1669885 1615436 54447 2 Pharmacy supplies 1467260 1467260 Equipment rental & main 1031061 922633 108251 177 Dietary food & supplies 316742 108729 207292 721 577695 310900 266709 86 32386819 27132761 5177754 76304 37805 177989 632221 665249 4994461 4173801 477223 480397 181574 382443 38112938 27265704 7502667 10847234 6250414 3162886 20076365 19889999 5102379 3779421 3704625 5083738 8807004 8863159 X 5738634 8437764 4134464 1149570 1396263 1439506 11269361 11026840 20076365 19889999 X 2762298 -3004819 X X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 1 6835 0 0 0 6835 0 Part II-B, Line 1: McPherson Hospital, Inc., is a member of the Kansas Hospital Association and the American Hospital Association. Both of these organizations engage in lobbying activities for hospital and general health care interests as part of the services provided to members. 4615375 334306 124867 3144281 2000 22602 1905665 3896531 1176511 189828 630986 16509 4615375 3191328 779637 214695 269581 19548 3896531 2451101 1040269 -19295 267877 12870 3191328 1190121 1262657 80038 81715 2451101 0.00000 0.69920 0.30080 1 1 1 26697 26697 20788111 13206796 7581315 14240276 12675403 1564873 3057854 1383505 1674349 10847234 Other receivables 622441 Beneficial interest in net assets of the Foundation 2225782 Intangible assets 144000 Estimated third-party payor settlements 170663 3162886 X 32144298 -3004819 -3004819 35149117 0 35149117 32386819 0 32386819 0 32386819 Part V, Line 4: Donor restricted and board designated funds for special projects and operating purposes. Part X, Line 2: Management is not aware of any uncertainties in income tax positions. Part XI, Line 2d - Other Adjustments: Change in beneficial interest in net assets of the Foundation -3,004,819. 1 1 1 X 1 X 1 1 0 0 199092 206510 0 0.00000 2680971 1676982 1003989 0.03100 2880063 1883492 1003989 0.03100 6284 6284 0.00020 19000 19000 0.00060 9856858 5747791 4109067 0.12690 19289 19289 0.00060 9901431 5747791 4153640 0.12830 12781494 7631283 5157629 0.15930 1 1346862 5806791 7221486 -1414695 X 1 1 1 1 McPherson Hospital Inc 1000 Hospital Drive McPherson KS 67460 X X X McPherson Hospital Inc 1 0 0 1 X X X X X X X 18 1 1 1 1 X http://www.mcphersoncenterforhealth.org X http://www.lindsborgcommunityhospital.org X 1 18 1 http://www.https://mcphersoncenterforhealth.org/community-needs-assessments 0 1 X 200.000000000000 200.000000000000 X X X X 1 1 X X X 1 X http://www.mcphersoncenterforhealth.org/patients-visitors/ X http://www.mcphersoncenterforhealth.org/patients-visitors/ X http://www.mcphersoncenterforhealth.org/patients-visitors/ X X X X X X X 1 X 0 X X X 1 X 0 0 McPherson Hospital, Inc. Part V, Section B, Line 5: The assessment was achieved through the co-leadership of the director of the McPherson County Health Department along with input from other county hospitals, Lindsborg Community Hospital and Mercy Hospital in Moundridge. The McPherson County CHNA process included gathering opinions from the public and area sources through the use of a survey and quantitative data from secondary sources. A survey instrument comprised of 36 questions was developed by the leadership of the participating hospitals and the public health department. The electronic survey was made available throughout the county through various means including media, social media, hospital websites, and was publicized through said sources as well as newspaper and radio. A focus group was formed to provide input regarding the results of the survey. Included in the focus group were individuals representing health care, law enforcement, family advocacy, indigent populations, mental health, public health, civic leadership, education, religion, and senior services, fitness, and Chamber of Commerce, among others. A total of 380 survey responses were received with each community in the county represented in the respondent group. McPherson Hospital, Inc. Part V, Section B, Line 6a: Lindsborg Community Hospital in Lindsborg and Mercy Hospital in Moundridge McPherson Hospital, Inc. Part V, Section B, Line 6b: McPherson County Health Department McPherson Hospital, Inc. Part V, Section B, Line 11: The annual update below pertains to the CHNA and implementation strategy completed for the 2015 tax year (fiscal year ended 06/30/2016), which is the third annual update for the three-year cycle. Activities with the Kansas State University Extension Office: The hospital had hoped to partner with the local Kansas State University Extension Office in a couple of initiatives in 2019. However, the lead sponsor organization, the Kansas State University Extension office, did not include McPherson Hospital in their plans to help promote and administer the Walk Kansas. Further, the extension office did not hold the planned Dining with Diabetes events due to low participation. The hospital continues to reach out and offer financial and personnel resources as available to assist with these types of events with this local organization. Lunch and Learn Events: The hospital sponsored two education events free to the public in 2019 to address topics ranging from general health and wellness to specific disease prevention. The events, named "DocTalks," provide lectures and dialogue between health providers and the general public. The lecture topics this year included weight loss and dietary tips for building immunity to disease as well as women's health issues including the importance of regular screenings for cancer and other diseases. Total resource allocation for these two events totaled approximately $800 and reached over 100 participants. Those in attendance received information to help them make good decisions regarding maintaining a healthy diet, the importance of foods in building immunity and women's disease prevention.Speaker's Bureau: The hospital staff presents lectures in the community on a variety of health topics, but due to the audiences who invited the lectures, the topics identified in the CHNA were not necessarily related specifically to the needs assessment. The DocTalks mentioned previously are able to be targeted to the needs assessment results. The hospital will continue to make staff available as feasible for public information sharing as needed and appropriate.Radio show: The hospital contracts with the local radio station to air a monthly talk show hosted by the chief operating officer who is also director of the pharmacy and the former hospital general surgeon. The format is not a call-in show, but rather, the content is determined by the hosts who discuss subjects such as nutrition and weight control, heart health, diabetes, and general health concerns. Guests are sometimes utilized to bring special emphasis and expertise to the topic. The information-only half-hour show receives positive feedback from listenership. The actual number of listeners is unknown since the radio station does not track such statistics. The hospital spends nearly $2,000 annually to air this educational program which impacts the community by offering provider-based perspectives on important health topics.Theraband Classes: These free classes for the public are held weekly and are targeted for senior citizens, reaching approximately ten or more individuals per session. Resources allocated are staff time and materials totaling approximately $1,396 annually. These classes provide attendees an opportunity to stretch, receive professional consultation on fitness and wellness, and maintain general fitness to extend their lives.Promote healthy meals: Due to limited financial and personnel resources in the fiscal year, this initiative will be reconsidered for the future. Disease Awareness: For years, the hospital has communicated national health awareness dates through the hospital-produced newsletter which is available to patients, families, guests and staff. The hospital is also a platinum sponsor ($1,000 annually) for the local Relay for Life event each year for the American Cancer Society, and a financial supporter ($250 annually) of a local independent group whose focus is on providing assistance to women and children who are fighting cancer and creating cancer awareness and education. The hospital also participates in events associated with these groups to distribute information and address questions. These initiatives provide resources and leadership to raise awareness and encourage healthy lifestyles.Expert speaker on relevant topic: Because of continuing fiscal year financial and operational challenges, this initiative will be considered in the future. Local college student initiative: Due to prior-mentioned limited resources, the hospital was not able to develop this strategy. Further, the colleges have their own strategies for integrating students into the community which may or may not include education of health offerings or education. The hospital is discussing a partnership to be launched in 2020 with one of the local colleges to assist with a new degree program in which students will be observing hospital staff in a variety of occupations. This will increase their awareness of the importance of rural health care and the positive impacts of health professions.We have seen success in the percent of those with cancer in the Medicare population in McPherson County. The Centers of Medicare and Medicaid services reports that as of May 2019, the percent of adults in the Medicare population with cancer has remained stable and istrending downward. Comparatively, many specific types of cancer are trending downward in the county including colorectal, female breast, lung and male prostate.Though mental health issues were not specifically addressed as a strategy in 2016, it was an area that was identified through the survey as being one of the most important health problems in the community. As such, the hospital has since begun initiatives to increase awareness of this issue and has engaged in a task force along with mental health providers, law enforcement and other key partners in the community to develop strategies for cooperative care of patients and addressing their unique needs. Meeting quarterly, this task force is working to expand their scope in addressing broader mental health issues in the community in the coming years. They are targeting events in the public to build education and awareness and generate discussion as a community.The latest data on obesity shows the percent of adults who are obese in McPherson County is trending downward since 2015, according to the Kansas Department of Health and Environment (KDHE). The latest data from 2017 shows this percentage down to 24.5 from 32.3 in 2015. This is likely due to increased awareness of factors impacting weight gain and overall health. As a result, McPherson County has met the HP 2020 goal in this area. HP 2020 is a comprehensive set of key disease prevention and health promotion objectives. Further, the age-adjusted death rate due to heart attack has been trending downward consistently since 2012. This can be partly attributed to healthier lifestyles but also to more advanced treatments and processes at the local hospital level. The incidences of heart failure have also steadily declined since 2012 while the levels of hypertension have remained stable.Drug abuse is another area that was identified through the Community Health Needs Assessment as a concern. McPherson County has seen positive results in bringing awareness to these challenges evidenced by meeting Health People 2020 progress goals in the percent of adults who are binge drinkers and in percent of adults who smoke cigarettes, according to the KDHE. McPherson Hospital, Inc. Part V, Section B, Line 16j: We assist applicants in filling out the form. 2 1 - McPherson Medical & Surgical Associates 1000 Hospital Drive McPherson KS 67460 Physician clinic, family & internal medicine, surgery and hospitalists 2 - McPherson Urgent Care Clinic 823 N Main Street McPherson KS 67460 Urgent care clinic Part I, Line 7g: Subsidized health services community benefit expenses include $8,183,677 of expenses attributable to physician clinics that have net operating losses. Part III, Line 4: See Note 3A (page 6) of the audited financial statements regarding the allowance for uncollectible accounts. Part III, Line 8: Amounts were obtained from the cost report filed with Medicare for the period ending June 30, 2019. The total amount of shortfall between Medicare revenue received and relating allowable costs is considered community benefit. Part III, Line 9b: Patients who have qualified for financial assistance are considered qualified for six months. Updated information must be provided for any subsequent account balances. Patients who have qualified for partial financial assistance are to make payment arrangements for any remaining balance according to the policies that apply to other patients. Part III, Line 3: McPherson Hospital, Inc. is unable to determine the amount of bad debt expense attributable to patients eligible under its charity care policy for the year covered by this return. Suggested methods for estimation were either not in place or proved to be unreliable. For example, the number of financial assistance applications distributed but not returned was not tracked. Using demographic data to estimate an amount did not provide reasonable results. Rather than provide an estimate that cannot be substantiated, McPherson Hospital Inc. has chosen to report zero dollars as bad debt expense attributable to charity care patients. Part III, Line 2: The Hospital's bad debt at cost was determined by applying an overall ratio of cost to charges. Part VI, Line 2: McPherson Hospital, Inc. does not have a formal community needs assessment process, with the exception of the process utilized for the CHNA. Part VI, Line 3: All self-pay patients are screened by a contractor for eligibility under federal, state, or local government programs. Notice of the Hospital's financial assistance program is posted in patient registration areas and on the Hospital's website. The availability of financial assistance is also communicated to patients with the first billing statement and at any time during the collection process if an inability to pay is expressed by the patient/guarantor. Part VI, Line 4: McPherson Hospital, Inc.'s primary service area is McPherson, Kansas, a rural community of approximately 13,100. According to 2019 census information, the per capita income for McPherson was $31,361. The percent of individuals below poverty level was 8.4. For the year ending June 30, 2019, 9 percent of the Hospital's inpatient admissions were Medicaid recipients and 3 percent were uninsured. Larger hospitals in Hutchinson, Salina, and Newton also provide services to the residents of McPherson. The distances between these facilities and McPherson Hospital, Inc. are approximately 23, 29, and 28 miles respectively. There are no federally-designated medically underserved areas or populations in McPherson. Part VI, Line 5: McPherson Hospital, Inc.'s governing body is comprised of individuals who reside in the primary service area. All Board members, with the exception of the CEO and one physician, are not employed by the Hospital. Annually, all trustees sign a conflict of interest statement and disclose any potential conflicts of interest. With limited exceptions for hospital-based services, the Hospital extends medical staff privileges to all qualified physicians in the community. Surplus funds are used by the Hospital to update facilities and equipment, recruit needed physicians and staff, and otherwise improve patient care. 1 Scholarship awards for local students pursuing education in health care industry. 19 19000 Part I, Line 2: Scholarship checks are not provided to students until verification is received from the school that the student has begun classes. X X X 0 0 0 0 0 0 0 0 0 Sheila Gorman Physician/Trustee 186274 0 7242 0 0 0 2388 0 22774 0 218678 0 0 0 Michael Bloustine Trustee/Physician 250810 0 0 0 0 0 3039 0 9498 0 263347 0 0 0 Teresa Gehring CEO 196290 0 52248 0 0 0 1843 0 19709 0 270090 0 0 0 George Kimbro CFO 0 0 0 0 220750 0 0 0 0 0 220750 0 0 0 John Worden COO 173136 0 22969 0 0 0 2279 0 22887 0 221271 0 0 0 Bret Heskett Physician 320002 0 7591 0 0 0 3950 0 23065 0 354608 0 0 0 Dan Lichty Physician 215300 0 24832 0 0 0 2090 0 20022 0 262244 0 0 0 Edward Stanton Physician 310800 0 0 0 0 0 3591 0 1114 0 315505 0 0 0 Clayton Fetsch Physician 300810 0 0 0 0 0 3644 0 23305 0 327759 0 0 0 Petie Schwerdtfeger Physician 207971 0 32692 0 0 0 0 0 17103 0 257766 0 0 0 Form 990, Part VI, Section A, line 6 Organization's sole member is MACCO Healthcare, Inc. Form 990, Part VI, Section A, line 7a MACCO Healthcare, Inc. approves members of the governing body of McPherson Hospital, Inc. Form 990, Part VI, Section B, line 11b A copy of the Form 990 is provided to all board members with an opportunity to comment or ask questions prior to filing. Form 990, Part VI, Section B, line 12c The conflict of interest policy is reviewed annually by the governing body. Updated individual disclosure forms are also required annually. Form 990, Part VI, Section B, line 15 Organization participates annually in salary surveys sponsored by the Kansas Hospital Association and uses MGMA and other national references in establishing physician compensation. Terms of employment contracts are approved by the governing body. Form 990, Part VI, Section C, line 19 The Organization makes its governing documents, conflict of interest policy, and financial statements available to the public upon written request. Form 990, Part IX, line 11g Physician professional fees: Program service expenses 2,650,294. Management and general expenses 0. Fundraising expenses 0. Total expenses 2,650,294. Other medical personnel professional fees: Program service expenses 1,872,457. Management and general expenses 37,615. Fundraising expenses 0. Total expenses 1,910,072. Non physician professional services: Program service expenses 1,179,807. Management and general expenses 1,284,276. Fundraising expenses 0. Total expenses 2,464,083. Form 990, Part XI, line 9: Change in beneficial interest in net assets of Foundation -3,004,819. FORM 990 PART XI, LINE 2C: The Finance Committee reviews the audit prior to submitting to the Board. MACCO Healthcare Inc 1000 Hospital Drive McPherson KS 67460 481059194 Sole Member of McPherson Hospital, Inc. and McPherson Healthcare Fdn, Inc. KS 501(c)(3) Line 7 0 McPherson Healthcare Foundation Inc 1016 N Main McPherson KS 67460 481043952 Raise funds to support the operation of McPherson Hopsital, Inc. KS 501(c)(3) Line 7 0 0 0 1 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0 0