2020-10-26T08:49:17-05:00 2019-12-31 383133790 ANDREWS HOOPER PAVLIK PLC 4295 OKEMOS RD STE 200 OKEMOS MI 488646201 990 2019-01-01 382542859 SPARROW HEALTH SYSTEM SPAR 5173641000 1215 E MICHIGAN AVENUE LANSING MI 48912 PAULA REICHLE SR VP/CFO/TREAS 5173641000 2020-10-22 true JULIE M PFEIFLE P00751307 5177060800 2020-10-22 52.37.240.203 2020-10-26 08:49:17 CD P 7EAAAA8737DE4B218ECA784B8663C2F42330AC2A B61FCFACF4DC7316CEEE1EFA998B902DB577BE66 2019 2021-01-29 14:40:06Z JAMES F DOVER 1215 E MICHIGAN AVE LANSING MI 48912 146980116 false X WWW.SPARROW.ORG X 1984 MI IMPROVING THE HEALTH OF THE PEOPLE IN OUR COMMUNITIES BY PROVIDING QUALITY, COMPASSIONATE CARE TO EVERYONE, EVERY TIME. 16 10 645 0 0 8806362 12669769 2714862 1246771 94497164 133063576 106018388 146980116 0 0 54136861 56811727 0 0 48925265 54860962 103062126 111672689 2956262 35307427 919918068 1016822511 60576005 52868886 859342063 963953625 X IMPROVING THE HEALTH OF THE PEOPLE IN OUR COMMUNITIES BY PROVIDING QUALITY, COMPASSIONATE CARE TO EVERYONE, EVERY TIME. false false 8059754 12669769 SPARROW HEALTH SYSTEM (SHS) IS A FULLY INTEGRATED HEALTHCARE SYSTEM HEADQUARTERED IN LANSING, MICH. SERVING A CORE EIGHT-COUNTY REGION IN MID-MICHIGAN. SHS INCLUDES SIX HOSPITALS ENCOMPASSING 866 LICENSED BEDS, MORE THAN 100 AMBULATORY/OUTPATIENT LOCATIONS, HUNDREDS OF EMPLOYED PHYSICIANS, A 79,000-MEMBER HEALTH PLAN, AND A POST-ACUTE CARE NETWORK CONSISTING OF OUTREACH LABORATORY, HOMECARE, HOSPICE, PHARMACY, AND DME SERVICES. SHS ALSO OWNS AND OPERATES THE MICHIGAN ATHLETIC CLUB THE LARGEST HOSPITAL-OWNED FITNESS CLUB IN THE UNITED STATES WITH ABOUT 13,000 MEMBERS. IN ADDITION, SHS WORKS WITH OVER 650 PHYSICIANS AND OTHER PROVIDERS THROUGH SPARROW CARE NETWORK, A CLINICALLY INTEGRATED NETWORK OF PHYSICIANS. IN 2012, SHS BECAME A MEMBER OF THE MAYO CLINIC CARE NETWORK, A NON-OWNERSHIP COLLABORATIVE ARRANGEMENT. SHS IS A MICHIGAN NON STOCK, NONPROFIT TAX-EXEMPT CORPORATION, AND IS THE PARENT CORPORATION OF THE FOLLOWING TAX-EXEMPT, 501 (C)(3) ENTITIES: EDWARD W. SPARROW HOSPITAL ASSOCIATION (SPARROW HOSPITAL), SPARROW CLINTON (CLINTON MEMORIAL HOSPITAL), SPARROW IONIA (IONIA COUNTY MEMORIAL HOSPITAL), SPARROW CARSON (CARSON CITY HOSPITAL), SPARROW EATON (HAYES GREEN BEACH), SPARROW SPECIALTY HOSPITAL, SPARROW COMMUNITY CARE, AND SPARROW FOUNDATION. SPARROW FOUNDATION SERVES AS THE FUNDRAISING ARM OF SHS. EACH OF THESE ENTITIES FILE THEIR OWN 990 RETURN. SHS IS ALSO THE PARENT CORPORATION OF PHYSICIANS HEALTH PLAN (PHP), A MICHIGAN NONPROFIT, TAX-EXEMPT HEALTH MAINTENANCE ORGANIZATION, AS WELL AS PHYSICIANS HEALTH NETWORK (PHN) AND PHP MEDICARE, WHICH ARE BOTH MICHIGAN NONPROFIT, TAX-EXEMPT CORPORATIONS. ALL OF THESE COMPANIES ARE TAX-EXEMPT UNDER IRS CODE 501 (C) (4). ALL OF THESE ENTITIES FILE THEIR OWN 990 RETURN. SHS IS ALSO THE PARENT CORPORATION OF PHP HOLDINGS, LLC, WHICH IS A WHOLLY OWNED ENTITY. LASTLY, SHS IS THE PARENT CORPORATION OF SPARROW DEVELOPMENT, INC. (SDI), A MICHIGAN STOCK, FOR-PROFIT CORPORATION. SDI INCLUDES, AS MENTIONED ABOVE, THE MICHIGAN ATHLETIC CLUB (MAC), AS WELL AS THE MAC RESTAURANT. 8059754 true false false false false false false false false true true false true false true false false true false false false false false false false false false false false true false false false false false false false false false false false false true true true true true false true 106 0 true 645 true false false false false false false false false false false false false false X 16 10 false false false false false false false true true false true true true true true true true true true true false MI X KEVIN ESSENMACHER 5172536106 1215 EAST MICHIGAN AVENUE LANSING MI 48912 X JOE RUTH EXEC VP/COO 40.00 1.00 X X 635973 0 120976 PAULA REICHLE SR VP/CFO/TR 40.00 1.00 X 535378 0 103598 THOMAS BRES SRVP/CAO/CIO 40.00 0.00 X 521810 0 105893 DOUGLAS EDEMA VP SPARROW M 40.00 2.00 X 466814 0 45477 JAMES F DOVER PRES/CEO 40.00 1.00 X X 446164 0 41808 GREG BROGAN BOARD MBR S 2.00 X 1416 463108 0 MICHAEL REINERTH VP CHIEF HR 40.00 2.00 X 375319 0 85601 KIRA CARTER-ROBERTSON VP AFFILIATE 40.00 2.00 X 366221 0 79555 JAMES OLSON MD FMR BD MBR/P 40.00 X 0 338613 56569 DAVID KRUGER VP PHYS PRAC 40.00 2.00 X 329336 0 52061 WILLIAM HOWE VP FINANCE 40.00 X 323335 0 50265 ILENE CANTOR VP MARKETING 40.00 X 245850 0 55499 ANDREA KOSLOSKI VP LEGAL/RIS 40.00 1.00 X 261227 0 35807 RICHARD FELLOWS VP AUDIT, CO 40.00 2.00 X 236595 0 52304 EW TIBBS PRT YR PRESI 40.00 X X 254612 0 25758 TRENT CARPENTER CHIEF INFO S 40.00 X 235410 0 34293 KEVIN SHARP VP REVENUE C 40.00 X 223213 0 44098 KIFFI FORD EXEC DIR - L 40.00 X 215949 0 45122 KATHLEEN SMITH EXEC DIR - I 40.00 X 204577 0 40416 DENNIS SWAN FORMER PRES/ X 123529 0 121269 TERESA ZNIDARSIC EXEC DIR - H 40.00 X 206648 0 26468 KEVIN ESSENMACHER CONTROLLER - 40.00 2.00 X 179727 0 39489 LISA PASCOE DIR CORP GOV 40.00 X 156330 0 31676 BRIAN MCCARDEL MD BOARD MEMBER 2.00 X 1416 34500 0 JEFF BENSON BOARD MEMBER 2.00 X 1416 0 0 DAVID DONOVAN BOARD MEMBER 2.00 X 1416 0 0 DAVE HUNT BOARD MEMBER 2.00 X 1416 0 0 NANCY MCKEAGUE BOARD MEMBER 2.00 X 1416 0 0 JOHN PIRICH BD MEMBER/VI 2.00 X 1416 0 0 DAN BALICE BOARD MEMBER 2.00 X 0 0 0 RICHARD BRUNER BOARD MEMBER 2.00 X 0 0 0 LISA CORLESS BOARD MEMBER 2.00 2.00 X 0 0 0 ANN FLOOD BOARD MEMBER 2.00 X 0 0 0 MIKE KING BOARD MEMBER 2.00 X 0 0 0 IFTIKER AHMAD MD BOARD MEMBER 2.00 2.00 X 0 0 0 CHRISTINE GOESCHEL RN PHD BOARD MEMBER 2.00 X 0 0 0 6553929 836221 1294002 102 true true false SENTINEL TECHNOLOGIES INC 2550 WARRENVILLE ROAD DOWNERS GROVE IL 60515 IT 5161853 EPIC SYSTEMS CORPORATION PO BOX 88314 MILWAUKEE WI 532880314 IT 3090907 ENTELEGENT SOLUTIONS INC 2520 WHITEHALL PARK DR SUITE 200 CHARLOTTE NC 28273 IT 2574460 CLIENT FINANCIAL SERVICES 4300 S SAGINAW ST FLINT MI 485072653 IT 2180937 MICROSOFT CORP PO BOX 842103 DALLAS TX 752842103 IT 1495901 83 SPARROW CARE NETWORK 621990 10024805 10024805 OTHER CONTRACT REVENUE 621990 2644964 2644964 12669769 331612 331612 915159 915159 915159 915159 ALLOCATION REIMBURSEMENT 900099 101465755 101465755 OTHER NONOPERATING INCOME 900099 31597821 31597821 133063576 146980116 145733345 1246771 7813583 7813583 38069814 5021032 33048782 2125405 232584 1892821 5579699 1029099 4550600 3223226 340113 2883113 1361290 1361290 249335 249335 1584021 364077 1219944 4747423 4747423 284296 28252 256044 19030918 1304 19029614 4460656 127257 4333399 2704288 55203 2649085 2829496 2829496 1027087 1027087 PURCHASED SERVICES 9202579 750034 8452545 PHYSICIAN INCENTIVE 6221620 6221620 SUPPLIES 900781 31498 869283 OTHER 257172 79301 177871 111672689 8059754 103612935 0 3688956 8190506 33215725 6764582 8781556 11291477 7060444 22193543 3544323 9348839 18649220 18757722 855608489 949215860 6167203 919918068 1016822511 60576005 47452955 539556 1890083 2986292 60576005 52868886 X 800838133 902634798 58503930 61318827 859342063 963953625 919918068 1016822511 X 35307427 2387080 66917055 X false true X true true true X X 8 EDWARD W SPARROW HOSPITAL 381360584 3 true 0 0 SPARROW COMMUNITY CARE 382543305 10 true 0 0 SPARROW CARSON HOSPITAL 381490180 3 true 0 0 SPARROW CLINTON HOSPITAL 381358172 3 true 0 0 SPARROW IONIA HOSPITAL 383218134 3 true 0 0 SPARROW SPECIALTY HOSPITAL 141885340 3 true 0 0 SPARROW FOUNDATION 386100687 3 true 0 0 SPARROW CLINICAL RESEARCH INSTITUTE 383075242 3 true 0 0 8 0 true false false false false false false false false false false false false false false true false PART I, LINE 11H SPARROW SPECIALTY HOSPITAL 14-1885340 3 X 0 0 SPARROW FOUNDATION 38-6100687 3 X 0 0 SPARROW CLINICAL RESEARCH INSTITUTE 38-3075242 3 X 0 0 4700296 39943 232639 4972878 3236464 314065 55042 3605571 3070379 114433 51652 3236466 2839263 191313 39803 3070379 2481728 361583 -4048 2839263 1.00000 false true true 20642545 3544323 17098222 1550998 1550998 18649220 INVEST IN EDWARD W. SPARROW HOSPITAL 559560809 C INVEST IN SPARROW CLINTON HOSPITAL 138870557 C INVEST IN PHYSICIANS HEALTH PLAN 78553332 C INVEST IN SPARROW EATON HOSPITAL 54221355 C INVEST IN SPARROW IONIA HOSPITAL 31572125 C INVEST IN SPARROW SPECIALTY 28886720 C INVEST IN SPARROW FOUNDATION 18997191 C INVEST IN SPARROW COMMUNITY CARE 17705813 C INVEST IN SPARROW DEVELOPMENT, INC 12030470 C INVEST IN SPARROW CARSON CITY 5837303 C INVEST IN SPARROW CARE NETWORK 1966554 C INVEST IN PHYSICIANS HEALTH NETWORK 812089 C INVEST IN AFFIRMANT HEALTH PARTNERS 421698 C INVEST IN FEDERATION CARE ACO 7012 C INVEST IN SPARROW CLINICAL RESEARCH -227168 C 949215860 LEASE LIABILITY PAYABLE 2986292 2986292 SCHEDULE D, PAGE 2, PART V, LINE 4 SPARROW HEALTH SYSTEM DOES NOT HOLD ENDOWMENTS. THE ENDOWMENTS ARE HELD BY SPARROW FOUNDATION, CARSON FOUNDATION INC, AND SPARROW EATON HOSPITAL. SPARROW HEALTH SYSTEM IS THE SOLE MEMBER OF SPARROW FOUNDATION, CARSON FOUNDATION INC, AND SPARROW EATON HOSPITAL. THE ENDOWMENTS ARE MAINTAINED TO PROVIDE A PERMANENT SOURCE OF INCOME, WITH THE STIPULATION THE PRINCIPAL IS KEPT INTACT IN PERPETUITY AND THE INCOME GENERATED FROM INVESTMENTS OF THE ENDOWMENT FUNDS CAN BE USED FOR THE PURPOSE ESTABLISHED BY THE ENDOWMENT. SCHEDULE D, PAGE 4, PART XIII DURING THE PREPARATION OF THE 2019 FORM 990, IT WAS DETERMINED THAT AMOUNTS WERE BEING REPORTED ON PART V ENDOWMENT FUNDS THAT DID NOT MEET THE DEFINITION OF AN ENDOWMENT FUND. THESE AMOUNTS HAVE BEEN REMOVED FROM THE CURRENT SCHEDULE, INCLUDING PREVIOUS YEARS' REPORTING. X X true true X X X X X X true true false false false false false true false JOE RUTH EXEC VP/COO 611013 24960 85259 35717 756949 PAULA REICHLE SR VP/CFO/TREAS 507438 27940 55319 48279 638976 THOMAS BRES SRVP/CAO/CIO 517772 4038 53727 52166 627703 DOUGLAS EDEMA VP SPARROW MED GRP 457169 9645 8250 37227 512291 JAMES F DOVER PRES/CEO 445338 826 41808 487972 GREG BROGAN BOARD MBR SEE SCH O 1416 463108 1416 463108 MICHAEL REINERTH VP CHIEF HR OFFICER 367344 7975 44243 41358 460920 KIRA CARTER-ROBERTSON VP AFFILIATE OPER 365197 200 824 35934 43621 445776 JAMES OLSON MD FMR BD MBR/PHYSICIAN 311508 25266 1839 26320 30249 395182 DAVID KRUGER VP PHYS PRAC ADMIN 307174 22162 8250 43811 381397 WILLIAM HOWE VP FINANCE 306852 15100 1383 16419 33846 373600 ILENE CANTOR VP MARKETING/COMM 243219 2631 14542 40957 301349 ANDREA KOSLOSKI VP LEGAL/RISK MGMT 258533 2694 14973 20834 297034 RICHARD FELLOWS VP AUDIT, COMPLIANCE 214586 22009 20171 32133 288899 EW TIBBS PRT YR PRESIDENT/CEO 224367 25000 5245 25758 280370 TRENT CARPENTER CHIEF INFO SEC OFFC 234902 508 13804 20489 269703 KEVIN SHARP VP REVENUE CYCLE 221080 2133 13208 30890 267311 KIFFI FORD EXEC DIR - LEGAL 214520 1429 10204 34918 261071 KATHLEEN SMITH EXEC DIR - IT 185934 18643 11088 29328 244993 DENNIS SWAN FORMER PRES/CEO SHS 122043 1486 109627 11642 244798 TERESA ZNIDARSIC EXEC DIR - HR 190109 100 16439 26468 233116 KEVIN ESSENMACHER CONTROLLER - SHS 179466 100 161 5031 34458 219216 LISA PASCOE DIR CORP GOV/SEC 153584 2746 14437 17239 188006 SCHEDULE J, PAGE 1, PART I, LINE 1A FORMER PRESIDENT/CEO DENNIS SWAN RECEIVED A LIFE INSURANCE GROSS-UP PAYMENT OF 1,057. CERTAIN BOARD MEMBERS- AND EXECUTIVES' MICHIGAN ATHLETIC CLUB DUES ARE PAID BY SPARROW HEALTH SYSTEM. THESE AMOUNTS ARE CONSIDERED TAXABLE COMPENSATION. SCHEDULE J, PAGE 1, PART I, LINE 3 SPARROW HEALTH SYSTEM IS AN INTEGRATED NON-PROFIT ORGANIZATION THAT INCLUDES A NUMBER OF NON-PROFIT ENTITIES. THE METHODS SELECTED FOR DETERMINING THE COMPENSATION OF THE CEO/EXECUTIVE DIRECTOR ARE METHODS WHICH ARE BEING USED BY ALL SPARROW HEALTH SYSTEM RELATED ENTITIES. SCHEDULE J, PAGE 1, PART I, LINE 4 JOE RUTH 0 58,939 0 PAULA REICHLE 0 47,069 0 THOMAS BRES 0 45,477 0 MICHAEL REINERTH 0 27,593 0 KIRA CARTER-ROBERTSON 0 27,684 0 E.W. TIBBS 25,000 0 0 KIFFI FORD 33,968 0 0 SCHEDULE J, PAGE 1, PART I, LINE 7 COMPENSATION INCLUDES BOTH BASE AND VARIABLE COMPENSATION (NON-FIXED PAYMENTS). IN ACCORDANCE WITH ITS POLICIES, ALL ELEMENTS (BASE, VARIABLE, BENEFITS, AND PERQUISITES) ARE COMPARED TO MARKET. SCHEDULE J, PART III JAMES OLSON AND DENNIS SWAN ARE FORMER BOARD MEMBERS AND OFFICERS OF THE ENTITY. THE FORMER BOARD MEMBERS AND OFFICERS ARE BEING COMPENSATED BY THE ENTITY AND AFFILIATES FOR SERVICES PROVIDED TO THE ENTITY AND AFFILIATES IN POSITIONS OTHER THAN BOARD MEMBERS. THE FORMER BOARD MEMBERS AND OFFICERS ARE NOT BEING COMPENSATED FOR ANY PAST SERVICES PROVIDED TO THE ENTITY AS FORMER BOARD MEMBERS AND OFFICERS. SCHEDULE J, PART II, COLUMN (B)(I) - PAYMENTS TO GREG BROGAN FOR BROKER'S SALES COMMISSION FOR PHP INSURANCE COMPANY (463,108). ALL SALES COMMISSIONS ARE STANDARD AND WERE COMPLETED IN AN ARM'S LENGTH TRANSACTION. NONE OF THE SALES COMMISSIONS RECEIVED WERE COMPENSATION FOR SERVICES PROVIDED AS A MEMBER OF THE BOARD. FORM 990 ALL LINES LEFT BLANK ARE NOT APPLICABLE TO THE ORGANIZATION. PART IV, QUESTION 4 - THE ORGANIZATION DOES NOT ENGAGE IN DIRECT LOBBYING ACTIVITIES. THE ORGANIZATION DOES HAVE MEMBERSHIPS IN VARIOUS TRADE ASSOCIATIONS THAT USE A PORTION OF THE DUES PAID TO THE TRADE ASSOCIATIONS FOR LOBBYING ACTIVITIES ON BEHALF OF THE APPLICABLE TRADE ASSOCIATION INDUSTRIES, THUS INDIRECTLY BENEFITING THE ORGANIZATION. THE PERCENTAGE OF DUES ALLOCATED TO THIS INDUSTRY-WIDE LOBBYING ACTIVITY IS MINOR AND IS NOT CONSIDERED BY THE ORGANIZATION AS LOBBYING ACTIVITIES REQUIRED FOR DISCLOSURE ON SCHEDULE C, PART II. FORM 990, PAGE 2, PART III, LINE 4A SPARROW HEALTH SYSTEM (SHS) IS A FULLY INTEGRATED HEALTHCARE SYSTEM HEADQUARTERED IN LANSING, MICH. SERVING A CORE EIGHT-COUNTY REGION IN MID-MICHIGAN. SHS INCLUDES SIX HOSPITALS ENCOMPASSING 866 LICENSED BEDS, MORE THAN 100 AMBULATORY/OUTPATIENT LOCATIONS, HUNDREDS OF EMPLOYED PHYSICIANS, A 79,000-MEMBER HEALTH PLAN, AND A POST-ACUTE CARE NETWORK CONSISTING OF OUTREACH LABORATORY, HOMECARE, HOSPICE, PHARMACY, AND DME SERVICES. SHS ALSO OWNS AND OPERATES THE MICHIGAN ATHLETIC CLUB THE LARGEST HOSPITAL-OWNED FITNESS CLUB IN THE UNITED STATES WITH ABOUT 13,000 MEMBERS. IN ADDITION, SHS WORKS WITH OVER 650 PHYSICIANS AND OTHER PROVIDERS THROUGH SPARROW CARE NETWORK, A CLINICALLY INTEGRATED NETWORK OF PHYSICIANS. IN 2012, SHS BECAME A MEMBER OF THE MAYO CLINIC CARE NETWORK, A NON-OWNERSHIP COLLABORATIVE ARRANGEMENT. SHS IS A MICHIGAN NON STOCK, NONPROFIT TAX-EXEMPT CORPORATION, AND IS THE PARENT CORPORATION OF THE FOLLOWING TAX-EXEMPT, 501 (C)(3) ENTITIES: EDWARD W. SPARROW HOSPITAL ASSOCIATION (SPARROW HOSPITAL), SPARROW CLINTON (CLINTON MEMORIAL HOSPITAL), SPARROW IONIA (IONIA COUNTY MEMORIAL HOSPITAL), SPARROW CARSON (CARSON CITY HOSPITAL), SPARROW EATON (HAYES GREEN BEACH), SPARROW SPECIALTY HOSPITAL, SPARROW COMMUNITY CARE, AND SPARROW FOUNDATION. SPARROW FOUNDATION SERVES AS THE FUNDRAISING ARM OF SHS. EACH OF THESE ENTITIES FILE THEIR OWN 990 RETURN. SHS IS ALSO THE PARENT CORPORATION OF PHYSICIANS HEALTH PLAN (PHP), A MICHIGAN NONPROFIT, TAX-EXEMPT HEALTH MAINTENANCE ORGANIZATION, AS WELL AS PHYSICIANS HEALTH NETWORK (PHN) AND PHP MEDICARE, WHICH ARE BOTH MICHIGAN NONPROFIT, TAX-EXEMPT CORPORATIONS. ALL OF THESE COMPANIES ARE TAX-EXEMPT UNDER IRS CODE 501 (C) (4). ALL OF THESE ENTITIES FILE THEIR OWN 990 RETURN. SHS IS ALSO THE PARENT CORPORATION OF PHP HOLDINGS, LLC, WHICH IS A WHOLLY OWNED ENTITY. LASTLY, SHS IS THE PARENT CORPORATION OF SPARROW DEVELOPMENT, INC. (SDI), A MICHIGAN STOCK, FOR-PROFIT CORPORATION. SDI INCLUDES, AS MENTIONED ABOVE, THE MICHIGAN ATHLETIC CLUB (MAC), AS WELL AS THE MAC RESTAURANT. FORM 990, PAGE 6, PART VI, LINE 11B COPIES OF THE 2019 FORM 990 ARE REVIEWED BY MANAGEMENT. THE FORM 990 COPIES WERE PROVIDED AT THE FALL 2020 BOARD MEETING FOR ALL BOARD MEMBERS TO REVIEW AND COMMENT ON. FORM 990, PAGE 6, PART VI, LINE 12C 1) CORPORATE COMPLIANCE SENDS OUT THE CONFLICT OF INTEREST POLICY AND QUESTIONNAIRES TO ALL VOTING BOARD MEMBERS AND THE EXECUTIVE TEAM ANNUALLY. 2) ALL DISCLOSURES ARE RECEIVED AND REVIEWED BY CORPORATE COMPLIANCE. 3) ALL DISCLOSURES ARE GIVEN A RESOLUTION CODE AND PRESENTED TO THE CEO AND GOVERNANCE COMMITTEE OF THE BOARD. 4) ALL BOARD/COMMITTEE LEVEL DISCLOSURES ARE PROVIDED TO THE RESPECTIVE BOARD CHAIR AND EXECUTIVE LIAISON TO ENSURE ISSUES CAN BE ADDRESSED ON A TRANSACTIONAL LEVEL (I.E. IF A VOTE IS REQUIRED ON A TRANSACTION INVOLVING AN INTERESTED PERSON). FORM 990, PAGE 6, PART VI, LINE 15A THE PROCESS FOR DETERMINING COMPENSATION FOR THE CEO OF THE ORGANIZATION INVOLVED THE FOLLOWING: UTILIZING THE COMPENSATION COMMITTEE, INDEPENDENT CONSULTANTS, REVIEWING OTHER SIMILAR ORGANIZATIONS' 990S, COMPENSATION SURVEYS, AND FINAL APPROVAL BY THE BOARD OF DIRECTORS, AS WELL AS FINALIZING THE SALARY PACKAGE WITH A WRITTEN EMPLOYMENT CONTRACT. FORM 990, PAGE 6, PART VI, LINE 15B THE PROCESS FOR DETERMINING COMPENSATION FOR OFFICERS OR KEY EMPLOYEES OF THE ORGANIZATION INVOLVED THE FOLLOWING: UTILIZING THE COMPENSATION COMMITTEE, INDEPENDENT CONSULTANTS, REVIEWING OTHER SIMILAR ORGANIZATIONS' 990S, COMPENSATION SURVEYS, AND FINAL APPROVAL BY THE BOARD OF DIRECTORS, AS WELL AS FINALIZING THE SALARY PACKAGE WITH A WRITTEN EMPLOYMENT CONTRACT. FORM 990, PAGE 6, PART VI, LINE 19 THE ORGANIZATION'S AUDITED FINANCIAL STATEMENTS ARE ON SEVERAL INTERNET WEBSITES, INCLUDING THE EMMA, MSRB, AND MHA WEBSITES, AS WELL AS AVAILABLE UPON REQUEST. THE GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE AVAILABLE UPON REQUEST. FORM 990, PART VII PART VII, SECTION A, COLUMN (E) REPORTABLE COMPENSATION FROM RELATED ORGANIZATIONS - PAYMENTS TO GREG BROGAN FOR BROKER'S SALES COMMISSION FOR PHP INSURANCE COMPANY (463,108). ALL SALES COMMISSIONS ARE STANDARD AND WERE COMPLETED IN AN ARM'S LENGTH TRANSACTION. NONE OF THE SALES COMMISSIONS RECEIVED WERE COMPENSATION FOR SERVICES PROVIDED AS A MEMBER OF THE BOARD. FORM 990, PART XI, LINE 9 UNREALIZED GAIN ON INVESTMENT IN AFFILIATES 66,917,055 SPARROW CARE NETWORK 1215 E MICHIGAN AVENUE LANSING MI 48912 494526659 CLIN INTEG MI 10024805 8252440 SHS PHP HOLDINGS LLC 1400 E MICHIGAN AVENUE LANSING MI 48912 833965697 HOLDING CO MI SHS EDWARD W SPARROW HOSPITAL 1215 E MICHIGAN AVENUE LANSING MI 48912 381360584 HLTH CARE MI 501C3 3 SHS true SPARROW COMMUNITY CARE 3315 E MICHIGAN AVENUE STE 4 LANSING MI 48912 382543305 HOME HLTH MI 501C3 10 SHS true PHYSICIANS HEALTH PLAN 1400 E MICHIGAN AVENUE LANSING MI 48912 382356288 INSURANCE MI 501C4 SHS true PHP MEDICARE 1400 E MICHIGAN AVENUE LANSING MI 48912 832766121 HMO MI 501C4 PHP true SPARROW CARSON HOSPITAL 406 E ELM ST PO BOX 879 CARSON CITY MI 48811 381490180 HLTH CARE MI 501C3 3 SHS true CARSON CITY FOUNDATION 406 E ELM ST PO BOX 879 CARSON CITY MI 48811 460877509 FUNDRAISE MI 501C3 12A CCH true PHYSICIANS HEALTH NETWORK 1400 E MICHIGAN AVENUE LANSING MI 48912 382594856 HMO MI 501C4 SHS true SPARROW FOUNDATION 1215 E MICHIGAN AVENUE LANSING MI 48912 386100687 FUNDRAISE MI 501C3 12B SHS true SPARROW CLINTON HOSPITAL 805 S OAKLAND ST JOHNS MI 48879 381358172 HLTH CARE MI 501C3 3 SHS true SPARROW SPECIALTY HOSPITAL 1215 E MICH AVE 8W SPARROW TOWER LANSING MI 48912 141885340 LT ACCUTE MI 501C3 3 SHS true SPARROW IONIA HOSPITAL 3565 S STATE RD IONIA MI 48846 383218134 HLTH CARE MI 501C3 3 SHS true SPARROW CLINICAL RESEARCH INSTITUTE 1200 E MICHIGAN AVENUE LANSING MI 48912 383075242 RESEARCH MI 501C3 4 SHS true SPARROW EATON HOSPITAL 321 E HARRIS ST CHARLOTTE MI 48813 382007629 HLTH CARE MI 501C3 3 SHS true SPARROW EATON HOSPITAL AUXILIARY 321 E HARRIS ST CHARLOTTE MI 48813 382377160 FUNDRAISE MI 501C3 3 SHS true SPARROW DEVELOPMENT INC 1215 E MICHIGAN AVENUE LANSING MI 48912 382595963 RENTAL PRO MI SHS C CORP -130964 20643853 1.00000 true PHP INSURANCE COMPANY 1400 E MICHIGAN AVENUE LANSING MI 48912 205565219 INSURANCE MI N/A true PHP SERVICE COMPANY 1400 E MICHIGAN AVENUE LANSING MI 48912 383344741 MED SERV MI N/A true EAST LANSING ATHLETIC CLUB 2900 HANNAH BLVD EAST LANSING MI 48823 382886420 HLTH CLUB MI N/A true MAC RESTAURANT LLC 2900 HANNAH BLVD EAST LANSING MI 48823 205120690 RESTAURANT MI N/A true CLINTON SERVICES CORPORATION 805 S OAKLAND ST JOHNS MI 48879 382494110 SERVICES MI N/A true EAST LANSING HLTH ATH CLUB & HSP 1200 E MICHIGAN AVENUE STE 600 LANSING MI 48912 813131851 CONDO ASSO MI N/A true false false false false false false false false false false false false true false true true true true true EAST LANSING ATHLETIC CLUB M 52424 COST EDWARD W SPARROW HOSPITAL O 47958002 COST EDWARD W SPARROW HOSPITAL Q 39007074 COST SPARROW CLINTON HOSPITAL Q 2978055 COST SPARROW IONIA HOSPITAL Q 3706877 COST SPARROW SPECIALTY HOSPITAL Q 741037 COST SPARROW CARSON HOSPITAL Q 3887055 COST PHYSICIANS HEALTH PLAN Q 1141720 COST SPARROW COMMUNITY CARE Q 848150 COST SPARROW FOUNDATION Q 185059 COST SPARROW EATON HOSPITAL Q 480000 COST SPARROW DEVELOPMENT INC Q 402986 COST