2020-11-11T12:59:54-00:00 2019-12-31 KPMG LLP 1918 8th Avenue Suite 2900 Seattle WA 98101 990 2019-01-01 910565539 Virginia Mason Medical Center VIRG 2062236600 1100 Ninth Avenue Seattle WA 98101 Gary Kaplan MD Chairman and CEO 2020-11-11 true Sue Robison 2069134000 2020-11-11 204.147.223.1 2020-11-11 19:54:11 PS P 2D777907B0975C575C8D1E5F6EEE6AF7977F0150 D8897A10968BD4A76AAFC1D10C660AAB2141E34A 2019 2021-01-29 14:40:06Z Gary Kaplan MD 1100 Ninth Avenue Seattle WA 98101 1276475810 false X www.virginiamason.org X 1934 WA Virginia Mason Medical Centers mission is to improve the health and well-being of the patients it serves through the delivery of high quality, cost-effective care. 16 15 6138 647 33103831 17471948 13674223 12907958 1066571833 1120894936 24249196 27582367 8976134 9534394 1113471386 1170919655 6554477 7647554 0 607836057 641327984 0 0 494532085 525744350 1108922619 1174719888 4548767 -3800233 1125431618 1249407355 652018791 743194298 473412827 506213057 X Virginia Mason Medical Centers the Medical Center mission is to improve the health and well-being of the patients it services through the delivery of high quality, cost-effective care. Continued on Schedule O. false false 1002793627 1120305517 Health Care Services. The Medical Center is a tertiary regional referral center which serves a patient community that includes Seattle and its surrounding suburbs, Western Washington and Alaska. The main campus located in Seattle includes a hospital, an outpatient clinic, centers of excellence including the Center for Hyperbaric Medicine, Digestive Disease Institute, Floyd Delores Jones Cancer Institute, Heart Institute, Neuroscience Institute and Urology. The Medical Center also operates nine regional clinics, and Bailey-Boushay House, a 35-bed skilled nursing facility. During 2019, the Medical Center recorded 12,221 hospital inpatient admissions, 24,985 emergency room visits and 976,974 clinic visits. The Medical Center provided charity care and unreimbursed Medicaid services to a total of 7,872 patients. Continued on Schedule O. 26114352 3000000 500149 Education and Research. The Medical Center is an independent academic medical center with a graduate medical education program that trains over 130 residents in nine accredited programs in anesthesiology, internal medicine, general surgery, diagnostic radiology, transitional year, and urology. In addition, the Medical Center trains a number of fellows in areas such as Pain Management, Regional Anesthesiology, and Female Pelvic Medicine/Reconstructive Surgery. The Medical Center is also affiliated with the University of Washington for the training of subspecialties in the areas of anesthesiology, orthopedics, obstetrics, gynecology and urology. The Medical Center also provides training in clinical nursing education, allied health fields, continuing medical education and grand rounds. In addition, the Medical Center conducts medical research through its affiliate Benaroya Research Institute at Virginia Mason, a scientific research institute qualified under Section 501c3 of the Internal Revenue Code. Continued on Schedule O. 247948 89270 Community Health and Education and Services. The Medical Center contributes to improving the health of the community through sponsorship of community health education and services. Community health education includes classes, forums, presentations and other programs held during the day and evening in the Medical Center neighborhood clinic communities and the Seattle main campus. The Medical Center provided support of Grief Services which provides services for adults and children ages 7-18 whose loved one has died as the result of a sudden, violent death by criminal act homicide, including terrorism, suicide or other types of violent death. Services available include therapy groups, short-term therapy, psychiatric consultation and medication management, community, workplace, family and school crisis response and professional training. In 2019, the Medical Center provided 157,000 toward support of Grief Services. 4647554 4647554 1033803481 true true false true false false false false false true true false false true true true false true false false true false false false false false true true true false true true false false false false false false false true true true false false false false true true false false false false true 1159 0 true 6138 true true true false false false false false false false false false true false X 16 15 true false false false true true true true true false true true true true true true true true true true false GA OR X MaryAnne Olmstead 2066257371 1100 Olive Way Suite 605 Seattle WA 98101 Gary Kaplan MD Chairman, CEO 050.00 005.00 X 1661792 0 331024 Christopher L Fellows MD Physician 050.00 X 1443281 0 60643 Rajiv Sethi MD Physician 050.00 X 1421601 0 40416 Ravi Shankar Krishnan MD Physician 050.00 X 1115525 0 45351 Michael Glenn MD Chief Medical Officer 050.00 X 982770 0 152223 Farrokh Farrokhi Physician 050.00 X 1088410 0 25779 Steven Bayles Physician 050.00 X 1059962 0 34622 Suzanne Anderson President 050.00 006.00 X 843101 0 152435 Fred Govier MD Chief, Surgery 050.00 X 831823 0 36446 John Corman MD Medical Director, Perioperative and Procedural Services 050.00 X 722425 0 86049 Charleen Tachibana RN Sr VP, Quality and Safety, Former Key Employee 050.00 X 630800 0 113794 Donna Smith MD Medical Director, Clinic 050.00 X 594018 0 111391 Katerie Chapman Senior Vice President, Patient Care Services 050.00 X 539086 0 110655 Joyce Lammert MD Medical Director, Hospital 050.00 001.00 X 534964 0 104561 David Coy MD Chief, Radiology 050.00 X 559005 0 47411 Mariko Kita MD Chief, Medicine 050.00 X 519746 0 60017 William Poppy Senior Vice President, CTO 050.00 X 454790 0 41191 Sarah Patterson Executive Sensei, Former Key Employee 025.00 025.00 X 419066 0 38116 Ingrid Gerbino MD Chief, Primary Care 050.00 X 419861 0 31922 Craig Goodrich Senior Vice President, CFO 050.00 002.00 X 386634 0 38157 Steve Schaefer Senior Vice President, Support Services 050.00 X 364733 0 48001 Melissa Peterson Vice President, Patient Care Services 050.00 X 364665 0 28868 Denise Dubuque Vice President, Patient Care Services 050.00 X 338384 0 33676 Shelly Powell Vice President, Patient Care Services 050.00 X 308299 0 38074 Michael Gluck MD Physician, Former Key Employee 050.00 X 298945 0 22256 Santokh Gill Vice President, Patient Care Services 050.00 X 253490 0 47857 Catherine Potts MD Physician, Former Key Employee 050.00 X 204290 0 32027 Steve Rupp MD Physician, Former Key Employee 050.00 X 149085 0 0 Lucy Glenn MD Physician, Former Key Employee 050.00 X 123466 0 0 Tod Hamachek Director, Chair 002.00 002.00 X X 0 0 0 Robert Bob Lemon Director, Teasurer 002.00 004.00 X X 0 0 0 Jane Blogett Director 002.00 002.00 X 0 0 0 Lewis Lonnie Edelheit PhD Director 002.00 002.00 X 0 0 0 Julie Morath RN Director 002.00 002.00 X 0 0 0 Carolyn Corvi Director, Vice Chair 002.00 004.00 X X 0 0 0 Mary McWilliams Director, Secretary 002.00 002.00 X X 0 0 0 Gregg Meyer MD Director 002.00 002.00 X 0 0 0 John Oppenheimer Director 002.00 002.00 X 0 0 0 Kevin Schemm Director 002.00 002.00 X 0 0 0 Asha Sharma Director 002.00 002.00 X 0 0 0 David Williams Director 002.00 002.00 X 0 0 0 Orlando Ashford Director 002.00 002.00 X 0 0 0 Bob Carlile Director 002.00 002.00 X 0 0 0 Maud Daudon Director 002.00 002.00 X 0 0 0 Karen Lee Director 002.00 002.00 X 0 0 0 18634017 1912962 1550 true true false Crothall Healthcare Inc 955 Chesterbrook Blvd Ste 300 Wayne PA 19087 Staffing Services 16260260 GE Precision Healthcare LLC 9900 W Innovation Dr Wauwatosa WI 53226 Medical Equipment Services 7393588 First Choice Health PO Box 94041 Seattle WA 98124 Third Party Administrator Services 4086047 Veca Electric & Technologies LLC PO Box 80467 Seattle WA 98108 Construction Services 3872704 CHI-VM LLC 2223 Alaskan Way Ste 200 Seattle WA 98121 Staffing Services 2704673 158 12907958 12907958 Net Patient Revenues 561499 750852838 750852838 Retail Services 561499 17312315 745398 16566917 Pharmacy 561499 44199867 44199867 Medicare/Medicaid Payments 621300 308529916 308529916 1120894936 22624767 15543857 7080910 4215 4215 209 209 2137883 2111768 26115 26115 -288446 314561 107226787 5848 102279250 4947537 5848 4953385 4953385 2078995 1165137 913858 913858 Cafeteria 721110 3757534 3757534 Parking 812930 4681075 367645 4313430 Medical records 561499 146688 146688 8915 8915 8594212 1170919655 1104328019 33103831 20579847 7647554 7647554 0 0 0 12414938 7171211 5243727 0 548037827 483862597 64175230 26352977 23267043 3085934 19086618 16851575 2235043 35435624 31286112 4149512 1377549 1216238 161311 3356943 3356943 488525 488525 198490 198490 0 58482561 51634253 6848308 4472708 3948954 523754 287899671 254186620 33713051 17575363 15517288 2058075 0 31848099 28118687 3729412 3329027 2939198 389829 0 530578 468447 62131 15177119 13399878 1777241 0 40769008 35978649 4790359 7672644 6774177 898467 Taxes 26244990 26244990 Medical Purchased Services 860964 760145 100819 Dues and subscriptions 3061620 2703104 358516 Bad Debt Expense 436664 436664 21961827 19390097 2571730 1174719888 1033803481 140916407 0 26657933 27551211 34466086 46165347 124800051 135799534 20232774 21470164 7610745 7914354 1179295747 635687863 547970459 543607884 341558972 358604849 12997425 10358819 1507990 1350666 7629183 96584527 1125431618 1249407355 122040345 143137135 140735 103170 284635930 282234696 136585135 136612876 108616646 181106421 652018791 743194298 X 439908088 468429190 33504739 37783867 473412827 506213057 1125431618 1249407355 X -3800233 33797732 2802731 X false true X true true true X 0.00000 0.00000 0.00000 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED X 134909 183519 63581 123581 198490 307100 1174521397 1766048048 1174719887 1766355148 1000000 1000000 250000 250000 1000000 1000000 1000000 1000000 4000000 6000000 275782 284247 294038 307100 1161167 250000 250000 250000 250000 1000000 1500000 163134 175480 180464 183519 702597 II-A A Virginia Mason Medical Center, EIN 91-0565539, 1100 Ninth Avenue, Seattle, WA 98101. Electing member. Grassroots Lobbying Expenditures 134,909 Direct Lobbying Expenditures 63,581. Excess Lobbying Expenditures 0. Tax year ending December 31, 1998 was the first year in which Virginia Mason Medical Center made the election under Section 501h. The election was not revoked before the start of the tax year ending December 31, 2019. Virginia Mason Medical Center pays membership dues to Washington State Hospital Association, a portion of which was used for legislative and lobbying activities. Virginia Mason Medical Center also pays membership dues to other professional health care organizations, a portion of which may be used for legislative and lobbying activities. II-A A continued Virginia Mason Institute, EIN 26-3763656, 1100 Ninth Avenue, Seattle, WA 98101. Non-electing member. 0 Lobbying Expenditures, 0 Excess Lobbying Expenditures. II-A A continued Virginia Mason Health System, EIN 91-1351110, 1100 Ninth Avenue, Seattle, WA 98101. Non-electing member. 0 Lobbying Expenditures. Excess Lobbying Expenditures 0 II-A A continued Benaroya Research Institute at Virginia Mason, EIN 91-0653422, 1201 Ninth Avenue, Seattle, WA 98101. Non-electing member. 0 Lobbying Expenditures. Excess Lobbying Expenditures 0. II-A A continued Yakima Valley Memorial Hospital Association, EIN 91-0567263, 2811 Tieton Drive, Yakima, WA 98902. Non-electing member. 48,610 Grassroots Lobbying Expenditures 60,000 Direct Lobbying Expenditures. Excess Lobbying Expenditures 0. false 15347139 82755 2289886 1121001 16598779 16620892 91648 -756306 609095 15347139 14623410 480797 2089543 572858 16620892 13913976 230872 1031493 552931 14623410 14366911 541000 -427461 566474 13913976 0.56000 0.29000 0.15000 true false 40849195 40849195 630005180 250475463 379529717 22314906 16689709 5625197 438070437 367263603 70806834 48056029 1259088 46796941 543607884 Financial derivatives and other financial products Closely-held equity interests Financing Costs 3227454 Parking Rights 346926 Investment - Real Estate 1790890 Current portion of Assets Whose Use Is Limited 1789 Long-Term Receivable 420250 Cemetery Plots/Niches - BBH 15200 Beneficial Interest 3725755 Right of Use Asset 86234985 SPS Region 821278 96584527 Federal income taxes Due to affiliates 4684479 Payable to Third Party Payor 4382566 Reserve for Professional Liability Claims 9400000 Current Portion of Professional Liability 3000000 Accrued Retirement Expenses 64259483 Current Portion of Retirement Expense 5207511 Current Portion of Estimated Third Party Payor 1000000 Current Portion of Lease Liability 10646130 Asbestos Abatement 236308 Deferred Rent Credits Long-term lease liability 78289944 181106421 X 1208366153 33797732 7998959 41796691 1166569462 4350193 4350193 1170919655 1177197875 6828180 6828180 1170369695 4350193 4350193 1174719888 V 4 Support health care mission of Virginia Mason Medical Center and research mission of Benaroya Research Institute at Virginia Mason. X 2 U.S. GAAP require management to evaluate tax positions taken by the Medical Center and recognize a tax liability or asset if the Medical Center has taken an uncertain position that more likely than not would not be sustained upon examination by the Internal Revenue Service. Management has analyzed tax positions taken by the Medical Center and has concluded that as of December 31, 2019 and 2018, there are no uncertain positions taken or expected to be taken that would require recognition of a liability or asset or disclosure in the consolidated financial statements. The Medical Center is subject to routine audits by taxing jurisdictions however, there are currently no audits for any tax periods in progress. The Medical Centers management believes it is no longer subject to income tax examinations for years prior to 2016. XI 2d Additional Pension Adjustment 2,820,731 Virginia Mason Institute Revenues 4,884,526, and Center for Integrative Medicine at Virginia Mason PC 293,702. XI 4b Rental expenses 2,111,768 Financial reclasses 4,082,076 Cost of Goods Sold 1,165,137 Non-operating expenses 8,984,115 Rebate transfers 1,596,659 Revenue Transfers 1,410 Distribution transfers 1,121,001 and Expense transfers 5,989. XII 2d Virginia Mason Institute Expenses 6,260,831 and Center for Integrative Medicine at Virginia Mason PC 567,349 XII 4b Rental expenses 2,111,768 Financial reclasses 4,082,076 Cost of Goods Sold 1,165,137 Non-operating expenses 8,984,115 Rebate transfers 1,596,659 Revenue Transfers 1,410 Distribution transfers 1,121,001 and Expense transfers 5,989. Central America and the Caribbean Program Services Education 1605 East Asia and the Pacific Program Servcies Education 20099 Europe Including Iceland and Greenland Program Services Education 33392 North America Program Services Education 27972 South America Program Services Education 3604 86672 86672 false false false false false false Part I Line 3 Expenditures are actual expenses incurred in the region based on individual expense reports and tracking of expenditures by the department. true true true X 0000000300.000000000000 false true true true false true true 1 7872 10762232 10762232 0.00920 77280844 51469230 25811614 0.02200 1 7872 88043076 51469230 36573846 0.03120 3 709488 89270 620218 0.00050 19 420 13185411 5086500 8098911 0.00690 3756500 3756500 0.00320 22 420 17651399 5175770 12475629 0.01060 23 8292 105694475 56645000 49049475 0.04180 true 76246 228682954 259328548 -30645594 X true true 1 1 Virginia Mason Medical Center 1100 Ninth Avenue Seattle WA 98101 virginiamason.org HAC.FS.00000010 X X X X A A 1 false false true X X X X X X X X X 18 true true false true X virginiamason.org X true 19 true virginiamason.org false true X 0000000300.000000000000 X X true true X X X X true X VirginiaMason.org/FinancialAssistance X VirginiaMason.org/FinancialAssistance X VirginiaMason.org/FinancialAssistance X X X X X X true X false X X X X X true X false false Group Virginia Mason Medical Center Line Part V, Section B, Line 5 Through Public Health - Seattle and King County, the Medical Center conducted key informant interviews with community coalitions and organizations, education and government agencies about assets and resources that help their communities thrive, as well as concerns and health needs within their communities full list of organizations in CHNA summary. Group Virginia Mason Medical Center Line Part V, Section B, Line 6a The Medical Center worked with the following other Puget Sound area hospitals on the current CHNA 1 Evergreen Health 2 CHI Franciscan Health 3 Kaiser Permanente Washington 4 MultiCare Health System 5 Overlake Medical Center 6 Seattle Cancer Care Alliance 7 Seattle Childrens 8 Swedish and 9 University of Washington Medicine. Group Virginia Mason Medical Center Line Part V, Section B, Line 11 Access to dental care was identified as a health need, but Virginia Mason lacks the personnel to address this issue and it is being addressed by other organizations, such as NeighborCare. 9 Virginia Mason Federal Way Medical Center 33501 First Way S Federal Way WA 98003 Outpatient Medical Center Virginia Mason Lynnwood Medical Center 19116 33rd Ave W Lynnwood WA 98036 Outpatient Medical Center Virginia Mason Edmonds Medical Center 7315 212th St SE Suite 101/207 Edmonds WA 98026 Outpatient Medical Center Virginia Mason Issaquah Medical Center 100 NE Gilman Road Issaquah WA 98027 Outpatient Medical Center Virginia Mason Kirkland Medical Center 11800 NE 128th St Suite 300 Kirkland WA 98034 Outpatient Medical Center Virginia Mason Bellevue Medical Center 222 112th Ave NE Bellevue WA 98004 Outpatient Medical Center Virginia Mason Bainbridge Island Medical Center 1344 Wintergreen Lane NE Bainbridge Island WA 98110 Outpatient Medical Center Virginia Mason University Village Medical Center 2671 NE 46th St Seattle WA 98105 Outpatient Medical Center Bailey-Boushay House 2720 East Madison Seattle WA 98112 Skilled Nursing Facility Part I Line 3c Full or partial discounts may be provided to patients who are not otherwise eligible for Charity Care, i.e., with gross family incomes above three hundred percent 300 of the federal poverty guidelines adjusted for family size. Such discounts may be provided to patients with catastrophic costs or conditions when circumstances as determined by the Medical Center indicate that full payment may cause extraordinary financial hardship to the patient or the patients family. The Medical Center shall determine, on a case by case basis, whether a patient qualifies as Medically Indigent pursuant to its policy and shall, through Patient Financial Services, determine the amount of the discount, if any. Determinations shall be made expeditiously after submission of financial information by the patient, but shall not be subject to any appeal rights. Part I Line 7 The Medical Center used the direct expenses and revenues of the hospital to calculate the cost-to-charges ratio for the amounts included in the table reflected in Part I. The cost-to-charge ratio used was derived using Worksheet 2, Ratio of Patient Care Cost-to-Charge ratio per the instructions. Part III Line 2 The Medical Center calculated the bad debt expense based on the actual write-offs for bad debt expense incurred during the year. Part III Line 4 As the result of adopting ASU No. 2014-09, described in note 2k, the Medical Center no longer maintains an allowance for performance obligations satisfied after January 1, 2018. Additionally, the Medical Center no longer separately presents a provision for uncollectibles on the consolidated statements of operations and balance sheets. The remaining provision for uncollectible accounts is considered immaterial as it is maintained only due to unforeseeable circumstances, such as bankruptcy. Part III Line 8 The Medical Centers calculation of the Medicare shortfall related to Hospital-based inpatient and outpatient shortfall is 30,645,594. The Medical Center employs over 434 physicians who provide professional services to patients which are not covered in this number. In addition, the Medical Center operates satellite clinics and ambulatory surgery centers which are not reported in the Medicare cost report. For all of its patient services, the Medical Center utilizes a comprehensive electronic cost reporting package which uses the directly assigned general ledger costs and allocates all overhead costs to operating costs using a model inspired by the Medicare cost report. This model with the Medical Centers calculation shows a Medicare shortfall of 28.0 million which is not included in the traditional cost report primarily due to shortfall of Medicare professional fees versus costs. Part III Line 9b Virginia Masons mission is to improve the health and well-being of the patients we serve. To ensure the Medical Center continues to have the resources to fulfill our mission, we must balance the financial needs of our patients with those of the Medical Center. In all instances, we will treat our patients with dignity, compassion and respect. The Medical Center expects payment in full upon receipt of the patients first billing. Patients will receive monthly Medical Center statements upon determination of the patients private responsibility. A Virginia Mason Clinic statement will be sent representing the professional component of services provided. If services were provided or processed at the downtown campus except the Health Resources Building, which is not licensed as part of the hospital, a Hospital statement will also be sent representing the facility/technical component of services. As outstanding balances age, statement messages dunning, collection letters and/or telephone calls may be used at appropriate intervals as determined by the Medical Center. Delinquent accounts may be forwarded to a third party where a series of collection contacts letters and phone calls will be initiated. Delinquent self pay accounts that have not been paid in full or established an approved installment payment plan may be referred to a collection agency. This occurs approximately 130 days from determination of patient responsibility. Patient Financial Services management team has responsibility for determining under what circumstances a balance may be referred for collection agency resolution. The Medical Center recognizes there are occasions when a patient is not financially able to pay their medical bill in full. Those patients who indicate they are experiencing financial hardship will be offered the opportunity to apply for charity care assistance. Collection activity will be suspended pending eligibility determination. If the patients income is greater than 300 of the current years federal poverty guideline FPG, charity is denied and alternative payment arrangements are discussed. If the patients income is less than 300 of the current years FPG, the patient will complete the charity application and send supporting documentation. If charity determination is approved, the charity care discount is applied to the outstanding account balance based on the FPG determination and a confirmatory letter is sent to the patient. If charity is denied, the Medical Center will send a denial letter to the patient. A summary report of collection activities taken will be provided to the Medical Center Board on an annual basis per the Washington State Hospital Association WSHA guidelines. Part VI Line 2 Virginia Mason conducts a Community Health Needs Assessment CHNA every three years. The CHNA can be found at VirginiaMason.org/connecting-with-our-communities. Our CHNA drives our community work and serves as a guideline to help us achieve three basic goals 1 Improve the communitys health status and overall quality of life 2 Reduce health disparities within the community and 3 Increase access to preventative services. The latest CHNA was published in 2018. It was developed in partnership with Public Health - Seattle and King County. Virginia Masons 2018-2019 CHNA is an updated and expanded version of the collaborative CHNA. It includes secondary data from a variety of local, state and federal agencies, including Public Health - Seattle and King County. It also includes key informant interviews with individuals representing public health, city government, the health care safety net, cultural communities, schools and health advocacy. A 2018-2019 CHNA Implementation Strategy was also developed and serves as a living document to guide our community benefit programs. Virginia Masons community benefit program focuses our resources on community needs and strengths of the Medical Center. Examples include A Subsidized health services - Every community needs certain health care services that typically cost more to deliver than the provider of the services receives. These subsidized health services are part of the Medical Centers mission because they are needed in the community and otherwise would not be available to meet patient needs. They include 1 Emergency Department open to all 2 Bailey-Boushay House BBH, an inpatient and outpatient center for people living with HIV/AIDS and other complex diseases 3 Partnership with Public Health - Seattle and King County to help support the Edward Thomas House medical respite program for homeless adults in King County 4 Partnership with Project Access Northwest PANW to provide specialty care services to community clinic patients and premium assistance to low-income patients 5 Uncompensated care - As a nonprofit organization, Virginia Mason is committed to serving patients who are uninsured, underinsured or otherwise unable to pay for their medical care 6 Research - The Medical Center conducts medical research through its affiliated, Benaroya Research Institute at Virginia Mason BRI. 7 Education - A Virginia Mason is a premier teaching hospital that offers postgraduate education programs through its Graduate Medical Education GME Department. All GME postgraduate training programs are accredited by the Accreditation Council on Graduate Medical Education ADGME B The Medical Centers GME program partners with Public Health - Seattle and King County Health Services Division to provide 12 residents for the Eastgate Public Health Center 8 Community partnerships The Medical Center is a member of the King County Community Health Needs Assessment collaborative, a partnership that includes all King County hospitals, Public Health - Seattle and King County, and the Washington State Hospital Association. In addition to collaborating on future CHNAs, this partnership has formed Hospitals for a Healthier Community HHC and is researching and planning collaborative community benefit activites that comprehensively address community health issues. 9 Community health improvement services A Community health education, such as Nutrition and Fitness for Life pediatric program and classes B Nutrition and fitness education at Marys Place, a day shelter for homeless women and children C Providing educational information through our pediatric departments and community events to parents regarding firearm safety in homes where their children visit and play D Membership and partnership in the Washington State Firearm Tragedy Prevention Network E Healthy cooking demonstrations at Plymouth Housing F Health fair sponsorships in the community G Free flu shots and health screenings for uninsured/underinsured and the homeless H Partnership with WithinReach to provide health care resources to families I Partnership with Washington Green Schools to provide green/sustainable curriculums and training in public schools J Partnership with NeighborCare Health to provide funding for expanded housing and mental health care K Providing resources to Refugees Northwest and International Rescue Committee to assist refugees and immigrants with access to health care L Partnership with Seattle/King County clinic to provide flu shots during their four-day free health clinic and M Bereavement support through Virginia Masons Grief Services department. Part VI Line 3 The Medical Center informs and educates patients and persons who may be billed for patient care about their eligibility for assistance under federal, state or local government programs or under the Medical centers charity care policy at various points beginning with scheduling and continuing through the patient billing process. At scheduling, if a patient indicates they are without insurance and unable to pay for the services, their account is flagged for a financial navigator to contact them to discuss assistance. At arrival for an appointment, the Medical Centers admissions lobby areas have signage regarding availability of charity care, a copy of the charity care policy and information regarding who to contact for assistance. During the arrival process, the Medical Centers admissions personnel will confirm ability to pay. If financial need or financial hardship is indicated, the Medical Center financial navigators will work with the patient to determine whether Medicaid, state program options, or charity care would be appropriate. The Medical Centers charity policy and financial assistance contact information is also included on patient bills. The Medical Centers Patient Guide to Fees and Billing includes information on charity care availability and contact information to initiate an assessment. The brochure is available in all lobbies for patients to pick up. The brochure is also sent out by Patient Account Services staff based on a patients expressed concerns either via phone or letter. The Medical Centers website also includes information about charity care availability and the contact number to initiate an assessment. Part VI Line 4 In 2019, Virginia Mason Medical Center had 976,974 physician visits 12,221 inpatient admissions, and 15,693 surgical procedures. The Medical Centers service area encompasses the communities where its facilities are located and where 75 percent of its patients reside King County, the southwest region of Snohomish County, and Bainbridge Island in Kitsap County. Residences of Medical Center patients 2018 data include 1 Seattle 68,340 2 Seattle suburbs King County outside of Seattle 91,736 3 Snohomish County 7,215 4 Bainbridge Island 9,370 5 Service area total 176,661 6 Other Washington State 45,742 70 Rest of the Northwest 4,367 8 Rest of United States 2,740 8 Other 233 for a total of 229,743. The service area King County population was nearly 2.2 million in 2018. The age and racial/ethnic profile of the total population was as follows 1 Total population 2,188,649 2 Under 18 years 446,484 3 Age 18-64 1,457,641 4 65 years or older 284,524 5 White 68 percent 6 Hispanic 9.7 percent 7 Black 6.8 percent 8 Asian 18.2 percent 9 American Indian/Alaska Native 1 percent 10 Native Hawaiian/Pacific Island .9 percent 11 Two or more races 5.1 percent. According to the United States Census Bureau, the median household income for King County 2012-2016 was 78,800 with 9.3 percent living below the poverty level. Within King County, median income was lowest for Blacks and American Indians/Alaska natives and in urban south King County. In King County, poverty rates are highest in White Center/Boulevard Park, several central and Southeast Seattle neighborhoods and Auburn. King Countys 2018 labor force was about 1.29 million, with an average annual unemployment rate of 3.4 percent. Within this estimate, about 1.22 million county residents were counted among the employed and slightly more than 43,000 were counted among the unemployed. The unemployment rate in King County has been steadily declining since reaching a peak level of 9.5 percent in early 2010, and has been in the 3 to low 4 percent range since 2015. Part VI Line 5 Virginia Masons community benefit program is designed to improve our communitys health status and overall quality of life, reduce health disparities within the community and increase access to preventative services. To accomplish this, our organization contributes time, energy and money in the area of improving health, providing free and subsidized care, health professionals education and research. Part VI Line 5 Uncompensated Care. As a non-profit organization, Virginia Mason is committed to serving patients who are uninsured, underinsured or otherwise unable to pay for their medical care. Under Virginia Masons charity care policy, free or reduced-cost medically necessary care after all health insurance has been exhausted is provided to individuals making up to 300 percent of the federal poverty level in keeping with the Washington State Hospital Association voluntary guidelines on billing the uninsured. In 2019, Virginia Mason provided charity care to 7,872 patients at a cost of 10,762,232. In addition, Virginia Masons unreimbursed Medicaid was provided at a cost of 30,027,157. Part VI Line 5 Community Health Improvement Services. Improving health and quality of life extends beyond diagnosis and treatment. It also requires community health education and outreach services. Health improvement and outreach services provided by Virginia Mason include the following 1 community health education, such as classes in the Buse Diabetes Teaching Center 2 free health screenings at community health fairs 3 free flu shots and health screenings for the homeless in conjunction with United Way of King Countys community Resource Exchange 4 sponsorship of many professionally facilitated support groups, including diabetes prevention and management 5 bereavement support through our Separation and Loss Services and 6 leadership roles in several community organizations, with focus on health care. Part VI Line 5 Health Professions Education. Virginia Mason strongly supports medical education to ensure our patients and the community benefit from advances in medical care. Virginia Mason is a premier teaching hospital that offers postgraduate education programs through its Graduate Medical Education Department GME. All GME postgraduate training programs are fully approved by the Accreditation Council on Graduate Medical Education ACGME. Virginia Mason trains more than 130 residents and fellows annually. VMs GME program is partnered with Public Health - Seattle and King County Health Services Division, providing residents for the Eastgate Public Health center, as well as providing residents at the Carolyn Downs Family Medical Center, Pike Market Medical Clinic and North Public Health Center. Virginia Masons collaboration with the Eastgate Public Health Center combines the Medical Centers commitment to teaching and community benefit through an innovative public-private program which allows residents to be more involved in the care of the underserved and uninsured. The Eastgate clinic is the largest of three county public health clinics in east King County and offers a variety of primary care services to adults and children. Approximately 50 percent of patients seen at the clinic do not have insurance or the means to pay, and approximately the same percentage do not speak English and require interpretive services. This resident clinic improves overall health in the community and gives back to our community in a meaningful way. Virginia Mason serves as an internship site for students in a variety of other health programs, such as nursing, pharmacy, respiratory therapy and laboratory technology. Part VI Line 5 Subsidized health services. Every community needs certain health care services that typically cost more to deliver than the provider of these services receives. These subsidized health services include Bailey-Boushay House BBH a nursing residence and adult day health center for people living with HIV/AIDS as well as end-of-life care for people with ALS and other complex conditions. Safety and security were key drivers for opening Bailey-Boushays emergency night shelter in November 2018, providing 50 beds to address rising homelessness in their outpatient population. It is the first homeless shelter in the world specifically designed for people with HIV. Part VI Line 5 Research. Virginia Mason conducts medical research through its affiliate, Benaroya Research Institute at Virginia Mason BRI. BRI is a non-profit biomedical research institute that works to unlock the mysteries of the immune system. Its teams of world-renowned scientists is focused on identifying causes and cures for devastating disease including diabetes, arthritis, heart disease and cancer. In 2019, the Medical Center provided 3,000,000 to support research activities at BRI. Part VI Line 5 Environmental improvements. Virginia Masons environmental stewardship program, EnviroMason, provides the framework for various footprint reduction initiatives, such as conserving energy and water, designing greener buildings, generating less waste, and buying environmentally preferable products. Virginia Mason has employed a full time sustainability director since 2011. The purpose of this position and the EnviroMason program is to preserve long-term environmental quality that we all rely upon for good health. In 2007, Virginia Mason became the first hospital in the Pacific Northwest to eliminate Styrofoam use and began composting food waste. Since 2011, our energy conservation projects have saved over 4.5 million kilowatt hours per year. Our water conservation projects in the same period have saved more than 7 million gallons of water per year. Between 2011 and 2019, Virginia Mason diverted more than 8,200 tons of waste from the landfill. We accomplished this by expanding recycling across our facilities improving our electronics recycling providing composting to all lunch and break rooms implementing a construction debris recycling program recycling the fiber from our shredded office paper and reprocessing medical supplies that can be reused. Additionally, Virginia Mason was the first hospital in the region to implement an operating room OR recycling program. EnviroMasons team approach extends from strong senior leadership support to active engagement of our team members. Our goal is to reduce the environmental impact of Virginia Masons operations by educating and empowering team members to make more sustainable choices. In 2019, this approach led to the Anesthesiology department at the main campus successfully eliminating the use of desflurane, an anesthetic gas with 20 times the global warming potential as its primary alternative gas. EnviroMason special events also help us engage our team members with sustainability efforts. We sponsor events such as our farmers market, community supported agriculture CSA program, and EcoChallenge carbon reduction program. Of the 565 organizations across the country who participated in the April 2019 EcoChallenge, Virginia Mason had the most participants and most points earned. Virginia Mason also signed on to the national Healthy Food in Health Care Pledge. As an organization dedicated to preserving health, Virginia Mason is reducing our greenhouse gas emissions through energy efficiency commute trip reduction landfill diversion activities, like recycling, composting, and food donation and buying local goods and services. Part VI Line 5 Medical Staff. Virginia Mason has 679 members on its active hospital staff, including Virginia Mason physicians, and other community providers. Part VI Line 5 Accountability to the community. The Medical Center is accountable to the public through its Board, the voting members of which are community members who represent the diverse populations and needs of communities served by the Medical Center. The Medical Center is also accountable to the community through its sole voting member, the Health System whose Board is composed primarily of community members. In furtherance of its commitment to responsible governance practices, the Medical Centers Audit and Compliance Committee, composed entirely of community members of the organizations Board, is charged with the overseeing the selection and discharge of the Medical Centers independent financial auditors and oversight of the Medical centers compliance programs. In addition, the Medical Center has chartered a Governance Committee, responsible for reviewing and evaluating the organizations corporate governance policies and guidelines, and providing oversight of procedures for disclosure and management of conflict of interest. The voting members of the Governance Committee are independent community members of the Medical Centers board. As a further mechanism for community involvement and leadership, Virginia Mason has established a Board of Governors, an advisory body of community representatives. The Board of governors regularly participates in extensive tours of various areas of the Medical Center facilities and becomes involved in forums for in-depth discussion of issues of importance to these organizations and the communities they serve. Bailey-Boushay House, a division of the Medical Center which provides day health and skilled nursing facility services to individuals living with HIV/Aids, also has an advisory board comprised primarily of representatives of the community who provide input and guidance on serving the community. Part VI Line 5 Use of financial surpluses. All financial surpluses from the operation of the Medical Center are used exclusively to further its charitable purposes. No individual receives any portion of the organizations respective surplus as a result of ownership or any other insider relationship. The Compensation and Benefits Committee of the Medical Center Board, which directs the performance review and approves the compensation and benefits of the Medical Centers senior leadership, is composed entirely of community members of the Board who have no financial ties to the Medical Center, either directly or through family or business relationships. Part VI, Line 7 WA true VIRGINIA MASON HEALTH SYSTEM 1100 NINTH AVENUE SEATTLE WA 98101 911351110 501c3 4026096 OPERATING SUPPORT BENAROYA RESEARCH INSTITUTE AT VIRGINIA MASON 1201 NINTH AVENUE SEATTLE WA 98101 910653422 501c3 3000000 OPERATING SUPPORT PUBLIC HEALTH - SEATTLE & KING COUNTY 401 5TH AVE STE 1200 SEATTLE WA 98104 916001327 County 89303 GENERAL SUPPORT WSMA FOUNDATION FOR HEALTHCARE IMPROVEMENT DEVELOPMENT DEPT 1118 FIFTH AVE SEATTLE WA 98101 916074463 501c3 85000 GENERAL SUPPORT PROJECT ACCESS NORTHWEST 1111 HARVARD AVE SEATTLE WA 98122 204377921 501c3 82500 GENERAL SUPPORT JDRF NORTHWEST CHAPTER 1215 FOURTH AVE S SEATTLE WA 98161 231907729 501c3 50700 GENERAL SUPPORT AMERICAN HEART ASSOCIATION 710 SECOND AVE STE 900 SEATTLE WA 98104 135613797 501c3 42500 GENERAL SUPPORT SNO-KING AMATEUR HOCKEY ASSOCIATION 14326 124TH AVE NE KIRKLAND WA 98034 237275375 501c3 20000 GENERAL SUPPORT NATIONAL MULTIPLE SCLEROSIS SOCIETY 192 NICKERSON ST STE 100 SEATTLE WA 98109 135661935 501c3 18500 GENERAL SUPPORT THE HIRSHBERG FOUNDATON 2990 S SEPULVEDA BLVD STE 300C LOS ANGELES CA 90064 954640311 501c3 15000 GENERAL SUPPORT WOODLAND PARK ZOO SOCIETY 5500 PHINNEY AVE N SEATTLE WA 98103 916070005 501c3 15000 GENERAL SUPPORT PRIDEFEST 2623 E PIKE ST SEATTLE WA 98122 SEATTLE WA 98122 471817063 501c3 11000 GENERAL SUPPORT THE BLOEDEL RESERVE 7571 NE DOLPHIN DRIVE BAINBRIDGE ISLAND WA 98110 916182786 501c3 11000 GENERAL SUPPORT AMERICAN LUNG ASSOCIATION THE MOUNTAIN PACIFIC 822 JOHN STREE SEATTLE WA 98109 930386887 501c3 10000 GENERAL SUPPORT CCFA NORTHWEST 9 LAKE BELLEVUE DR BELLEVUE WA 98005 136193105 501c3 10000 GENERAL SUPPORT NORTHWEST KIDNEY CENTERS PO BOX 3035 SEATTLE WA 98114 916057438 501c3 10000 GENERAL SUPPORT PANCREATIC CANCER ACTION NETWORK 1500 ROSECRANS AVE STE 200 ATTN FIN MANHATTAN BEACH CA 90266 330841281 501c3 10000 GENERAL SUPPORT SOLID GROUND PO BOX 31066 SEATTLE WA 98103 237421892 501c3 10000 GENERAL SUPPORT SUSAN G KOMEN PUGET SOUND 112 FIFTH AVE N SEATTLE WA 98109 SEATTLE WA 98109 911624040 501c3 10000 GENERAL SUPPORT FOUNDATION FOR EDMONDS SCHOOL DISTRICT PO BOX 390 LYNNWOOD WA 98046 911296816 501c3 7500 GENERAL SUPPORT FRIENDS OF LAKE SAMMAMISH STATE PARK PO BOX 605 ISSAQUAH WA 98027 462633224 501c3 7500 GENERAL SUPPORT KENT VALLEY HOCKEY ASSOCIATION 6015 S 240TH ST KENT WA 98032 421547910 501c3 7500 GENERAL SUPPORT WESTERN WASHINGTON FEMALE HOCKEY ASSN PO BOX 77687 SEATTLE WA 98177 753028953 501c3 7500 GENERAL SUPPORT AMERICAN RED CROSS 1900 25TH AVE S SEATTLE WA 98144 SEATTLE WA 98144 530196605 501c3 6000 GENERAL SUPPORT PLYMOUTH HOUSING GROUP 2113 THIRD AVE SEATTLE WA 98121 911122621 501c3 6000 GENERAL SUPPORT 25 Part I Line 2 The funds provided to Virginia Mason Health System and Benaroya Research Institute at Virginia Mason are for operational support or specific activities. Assistance provided to other non-profit organizations consisted of donations made to support specific events sponsored by the recipient organizations. The Medical Center tracks all community benefit investment activities. The Medical Center requires all recipients of community investments dollars to report the impact made by the funding. The Community Benefit team follows up regularly on requests and keeps documented records of receipt. X X true true X X X X X false true false false false false false false false Gary Kaplan MD Chairman, CEO 1204109 193393 264290 287869 43155 1992816 Suzanne Anderson President 730140 91381 21580 119469 32966 995536 Craig Goodrich Senior Vice President, CFO 346297 35651 4686 14281 23876 424791 Katerie Chapman Senior Vice President, Patient Care Services 473380 57750 7956 80656 29999 649741 Lucy Glenn MD Physician, Former Key Employee 123466 123466 Michael Glenn MD Chief Medical Officer 753066 97391 132313 128386 23837 1134993 Fred Govier MD Chief, Surgery 732285 79319 20219 14281 22165 868269 Joyce Lammert MD Medical Director, Hospital 389432 52270 93262 89844 14717 639525 William Poppy Senior Vice President, CTO 378200 41522 35068 14281 26910 495981 Donna Smith MD Medical Director, Clinic 521453 52377 20188 90777 20614 705409 Shelly Powell Vice President, Patient Care Services 278715 28204 1380 14281 23793 346373 Denise Dubuque Vice President, Patient Care Services 308372 27432 2580 14281 19395 372060 Santokh Gill Vice President, Patient Care Services 227997 24113 1380 14281 33576 301347 Ingrid Gerbino MD Chief, Primary Care 363129 37318 19414 14281 17641 451783 Steve Schaefer Senior Vice President, Support Services 329220 32933 2580 14281 33720 412734 John Corman MD Medical Director, Perioperative and Procedural Services 638081 64930 19414 65152 20897 808474 Mariko Kita MD Chief, Medicine 469432 45017 5297 26839 33178 579763 Christopher L Fellows MD Physician 1423062 20219 38020 22623 1503924 Ravi Shankar Krishnan MD Physician 1096236 109 19180 14281 31070 1160876 Rajiv Sethi MD Physician 1421331 270 9241 31175 1462017 Steven Bayles Physician 1040548 19414 14281 20341 1094584 Farrokh Farrokhi Physician 1069140 19270 14281 11498 1114189 Sarah Patterson Executive Sensei, Former Key Employee 399534 19532 14281 23835 457182 Steve Rupp MD Physician, Former Key Employee 44816 104269 149085 Charleen Tachibana RN Sr VP, Quality and Safety, Former Key Employee 471816 63274 95710 87031 26763 744594 Catherine Potts MD Physician, Former Key Employee 203041 30 1219 14281 17746 236317 Michael Gluck MD Physician, Former Key Employee 150173 148772 14281 7975 321201 123480 David Coy MD Chief, Radiology 511530 28061 19414 14281 33130 606416 Melissa Peterson Vice President, Patient Care Services 301884 20012 42769 28868 393533 Part I Line 1a Social club dues are provided to two members of the senior leadership team who use the club memberships for business purposes. These payments are treated as non-taxable. Part I Line 1b All invoices for payment of social club dues and associated monthly expenses are paid pursuant to the Medical Center Business Expense Policy and Social Club Dues Policy. Part I Line 4b The Medical Center has a Supplemental Executive Retirement Plan SERP. The SERP is a 457f nonqualified deferred compensation plan pursuant to which plan benefits are subject to a substantial risk of forfeiture. The plan was approved by the Boards Compensation and Benefits Committee, a committee composed of independent board members to whom the Board delegates the authority to approve compensation and benefits for the Medical Centers most senior executives. The Committee receives advice from an independent compensation consultant to ensure that compensation and benefits, including the SERP, are market competitive and reasonable. Supplemental Executive Retirement Plans such as this are customary for senior executives in the health care industry. Part I Line 4b Lucy Glenn, M.D. received a payout of 123,466 from a Supplemental Executive Retirement Plan. Michael Glenn, M.D. received a payout of 112,125 from a Supplemental Executive Retirement Plan. Michael Gluck, M.D. received a payout of 146,250 from a Supplemental Executive Retirement Plan. Gary Kaplan, M.D. received a payout of 235,909 from a Supplemental Executive Retirement Plan. Joyce Lammert, M.D. received a payout of 75,563 from a Supplemental Executive Retirement Plan. Steve Rupp, M.D. received a payout of 104,269 from a Supplemental Executive Retirement Plan. Charleen Tachibana received a payout of 72,750 from a Supplemental Executive Retirement Plan. Suzanne Anderson accrued benefits of 105,188 in a Supplemental Executive Retirement Plan. Katerie Chapman accrued benefits of 66,375 in a Supplemental Executive Retirement Plan. Michael Glenn, M.D. accrued benefits of 112,125 in a Supplemental Executive Retirement Plan. Gary Kaplan, M.D. accrued benefits of 235,909 in a Supplemental Executive Retirement Plan. Joyce Lammert, M.D. accrued benefits for 75,563 in a Supplemental Executive Retirement Plan. Donna Smith, M.D. accrued benefits of 75,938 in a Supplemental Executive Retirement Plan. Charleen Tachibana accrued benefits of 72,750 in a Supplemental Executive Retirement Plan. A Washington Health Care Facilities Authority 911108929 93978HSS5 2017-08-31 287837574 Refund/Redeem bonds false false false A 287841698 2428792 285411117 1789 true false false true A false false true true false false false true A false false false true false false false true A true Part I Line A Column C 93978HSD8, 93978HSE6, 93978HSF3, 93978HSG1, 93978HSH9, 93978HSJ5, 93978HSK2, 93978HSL0, 93978HSM8, 93978HSN6, 93978HSP1, Part I Line A Column C continued 93978HSQ9, and 93978HSR7 Part I Line A Column F The proceeds of the Series 2017 bonds will be used for the purpose of providing part of the funds necessary to 1 refund, on current basis the Authoritys revenue bonds, Series 1997B Bonds, the Series 2007A Bonds, the Series 2007B Bonds, and the Series 2007C Bonds and 2 pay costs of issuance of the bonds. The 1997B bonds were reissued December 1, 2007. The original bond proceeds were used to 1 finance or reimburse the Medical Center for the costs of constructing, remodeling and/or acquiring Health Care Facilities 2 fund the initial deposit to the Reserve Accounts for the Bonds 3 pay the premium for the Insurance Policy and 4 pay certain of the other costs of issuing the Bonds. The Series 2007A Bonds, the Series 2007B Bonds and the Series 2007C Bonds were originally issued December 1, 2007. The original bond proceeds of the reoffered 1997B Bonds together with the proceeds of the Series 2007 bonds were to be used for the purpose of providing part of the funds necessary to 1 refund, on an advanced and current basis, and to redeem the Authoritys revenue bonds, Series 1997A 2 reissue, refund, on a current basis and replace the Series 1997B Bonds as a variable rate obligation 3 reimburse the Medical Center for, or pay, the costs of acquiring, constructing, remodeling, renovating and equipping certain health care facilities 4 pay interest on the Series 2007 Bonds during construction 5 fund the initial deposits into respective debt service reserves for the Series 2007 bonds 6 pay the cost of credit enhancement, if any, and 7 pay issuance costs. Part II Line 3 Difference between Part I, column e and Part II, line 3 is investment earnings. Part II Line 7 Difference between Part II, Line 7 and Form 8038, line 24, is due to lower issuance costs than the estimated cost included in the proceeds. CHI-VM LLC Entity more than 35 owned by John Oppenheimer, director 2704673 Provision of services false Part IV Line 1a Name of Interested Person CHI-VM LLC Part IV Line 1b Relationship Entity more than 35 owned by John Oppenheimer, director Part IV Line 1c Amount of Transaction 2,704,673 Part IV Line 1d Description of Transaction Provision of management and hospitality services to the Medical Center Part IV Line 1e Sharing of Revenues No Form 990, Part III, Line 1 The Medical Center provides integrated health services through a teaching hospital licensed for 336 beds and multi-speciality group practice of approximately 538 employed physicians, offering both primary and specialized care, through a regional network of neighborhood clinics and ambulatory surgery centers. The Medical Center also operates Bailey-Boushay House, a skilled nursing facility and day health center serving the HIV/AIDS community. The Medical Center patient care services are integrated with and enhanced by education and research activities which include a graduate medical education program providing training to over 130 residents, fellows and medical students each year. In addition, the Medical Center sponsors training programs for pharmacy and a variety of other health services such as nursing, respiratory therapy, physical therapy, speech and language therapy and laboratory technology. Form 990, Part III, Line 4a The Medical Center is committed to subsidizing certain health services due to the demonstrated need for these services in the community. Since 1992, the Medical Center has addressed the treatment of HIV/AIDS by operating Bailey-Boushay House Bailey-Boushay, a 35-bed skilled nursing facility. The first facility in the nation built specifically for the care of people living with AIDS, Bailey-Boushay now also serves other individuals who need intensive nursing care, many of whom are Medicaid recipients. In addition to the care provided to its residential population, Bailey-Boushay provides day health services to 384 clients annually, allowing them to live independently with HIV/AIDS. In November 2018, Bailey-Boushay opened the first HIV Homeless Shelter which services 50 clients. In 2019, Bailey-Boushay began the Rental Assistance Program, which helps to provide housing to individuals who are low-income, diagnosed with HIV/AIDS, and require assistance in maintaining or acquiring appropriate affordable permanent housing, with currently 51 units occupied. The Medical Center also offers emergency services 24 hours a day, 7 days a week. The department is staffed by board-certified emergency physicians, physician assistants and certified emergency nurses. The Medical Center is committed to providing necessary medical services regardless of a patients ability to pay and without discrimination as to race, color, creed, national origin, religion, sex, sexual orientation, disability, age, source of income, or any other class protected by federal or Washington state law, or who have an emergency medical condition. The Medical Center is a participating hospital in the Washington State Medicaid Contracting Program. Charity care is provided according to a patients gross family incomes at or below 300 of the Federal poverty guidelines adjusted to family size. Full or partial charity care may be provided to patients with gross family incomes exceeding 300 of the federal poverty level when circumstances indicate that full payment may cause financial hardship so as to significantly harm the patient or patients family. Patients without health insurance are eligible for a thirty-five percent 35 discount on medically necessary services under the Medical centers Discounts for Uninsured Patients Policy. Charity care was provided at a cost of 10,762,232 during the year, along with 30,306,474 of Medicaid contractual allowances. Charity care does not include bad debts which is the amount the Medical Center is not paid by patients deemed able to pay their bills. Form 990, Part III, Line 4b The Medical Centers graduate medical education program maintains education affiliation agreements with community clinics under which the Medical Centers residents provide care to patients at clinics serving low-income and uninsured patients. The Medical Center has an affiliation with Eastgate Public Health Clinic operated by Seattle King County Public Health to provide a resident clinic 4-days a week under the supervision of Medical Center physicians. This affiliation has expanded access to health care for King County residents and enhanced the educational opportunities of internal medicine residents. The Clinical Nursing Education CNE program offered 24 CNE events in 2019 to 746 attendees. In addition, CNE joined with Continuing Medical Education to offer 13 classes where 450 RNs, and ARNPs were offered CNE contact hours. Participants include nurses the primary audience - RNs and LPNs and advanced practice registered nurses CNS, CNL, ARNP, as well as patient care technicians, nursing students, nurse technicians, respiratory therapists, social workers, educators, dietitians, specialized technicians e.g. GI Techs, Donation Techs, Radiation-Oncology Techs, medical assistants, medical technologists, administrative assistants, chaplains, bereavement coordinators and physicians. The Medical Center also serves as an internship site for students in a variety of allied health programs such as nursing, pharmacy, respiratory therapy, physical therapy, occupational therapy, social work, sleep disorders, medical insurance, speech and language therapy, radiology and laboratory technology. Successful relationships have been built with vocational training programs for medical assistants as well. The Medical Center provides strong support for continuing medical education CME. The Medical Centers CME program is accredited by the Accreditation Council for Continuing Medical Education ACCME and was last reaccredited in 2016, receiving Accreditation with Commendation. In 2019, the CME department sponsored 24 courses either full-, half-, or multi-day totaling 294.50 hours of instruction. These activities were attended by 1,120 participants, including 415 physicians. Since 2013, our program has been approved by the American Board of Medical Specialties Portfolio Program, permitting Virginia Mason to endorse and award AMA PRA Category 1 Credit for quality improvement projects for physician Maintenance of Certification MOC Part IV credit. In 2019, 18 physicians participated in performance improvement CME projects. During 2019, 43 one-hour Grand Rounds presentations were presented at the Medical Center, with the live audience averaging 106 attendees weekly. The Grand Rounds series is presented from the auditorium and is simultaneously broadcast via videoconference to the organizations 12 satellite locations and to 8 off-site health care systems in Washington, Alaska, California and Wisconsin. The CME department supports 24 additional Regularly Scheduled Series including 13 different Cancer Care tumor boards, Clinical Cardiovascular, Imaging, Competencies and Incidents, Vascular Surgery, GI Radiology, GI Pathology and Therapeutics, and Schwartz rounds. During the year, 702.75 hours of instruction were offered through these 24 series. Cumulative participation hours tracked for all series total 9,011, of which 6,795 were physician participants. Form 990, Part III, Line 4b continued Approximately 9 of our investigators have faculty appointments at the University of Washington, including 7 at the professorship level. The Medical Center also maintains a medical library to support its education and research activities. Form 990, Part III, Line 4d The Medical Center provides funds and in-kind services to community organizations which are consistent with the Medical Centers charitable purpose. A list of community donations is included on Schedule I. The following is a description of selected recipients and is not all inclusive. 1 The Medical Center supported Go Red for Women Heart Awareness and the Annual HeartWalk which benefited the American Heart Association AHA in 2019. AHAs mission is to be a relentless force for a world of longer, healthier lives. 2 The Medical Center was a sponsor of the JDRF Gala to benefit the Juvenile Diabetes Research Foundation JDRF in 2019. The JDRFs mission is to accelerate life-changing breakthroughs to cure, prevent and treat Type 1 diabetes T1D and its implications. 3 The Medical Center was a sponsor of National Multiple Sclerosis Society Dinner of Champions, and Annual Walk in 2019. The vision of National Multiple Sclerosis Society is a world free of Multiple Sclerosis MS. 4 The mission of Northwest Kidney Centers is to promote optimal health, quality of life and independence of people with kidney disease through patient care, education and research. The Medical Center provided support to Northwest Kidney Centers in 2019 through sponsorship of the Discovery Gala, which raised funds for charity care, diabetes support services, and kidney disease research. 5 The mission of the Woodland Park Zoo is to ensure that every child and adult has access to welcoming, extraordinary zoo experiences that build empathy and drive collective action for a sustainable future for wildlife and people. In 2019, the Medical Center was a sponsor of WildNights for families and children and the Jungle Party gala. 6 The Medical Center was a sponsor of the Jewish Family Services JFS 2019 Luncheon. The mission of JFS is to help people achieve greater well-being, health and stability. Form 990, Part VI, Section A, Line 1a The governing body delegates to an Executive Committee comprised of the Chairman, Vice Chairman, Secretary and Treasurer the authority of the Board of Directors in the management of the corporation to act only in time sensitive or emergency situations as determined by the Executive Committee, such authority to be exercised in time periods between regularly scheduled meetings of the Board of Directors. All members of the Executive Committee are members of the governing body of the corporation. The Executive Committee does not have the authority to amend, alter or repeal the Bylaws, elect, appoint or remove any member of the Executive Committee or any director or officer of the corporation amend the articles of incorporation adopt a plan of merger or adopt a plan of consolidation with another corporation authorize the sale, lease or exchange of all or substantially all of the property and assets of the corporation not in the ordinary course of business authorize the voluntary dissolution of the corporation or revoke proceedings therefore adopt a plan for the distribution of the assets of the corporation amend, alter or repeal any resolution of the Board which by its terms provides that it shall not be amended, altered or repealed by the Executive Committee or terminate the Chief Executive Officer. The Executive Committee also periodically evaluates the effectiveness of Virginia Mason Medical Centers VMMC systems for resolving internal conflicts. The Board also delegates to the Executive Committee the authority of the Board to make all appointments and reappointments to the Medical Staff of the hospital. Form 990, Part VI, Section A, Line 6, 7 Virginia Mason Health System VMHS is the sole corporate member of the Medical Center. VMHS as the sole member has the following approval rights 1 election and approval of Directors and Officers of the Board of Directors 2 approval of the appointment of the Chief Executive Officer 3 removal of Directors and Officers of the Board of Directors 4 approval of all long-range plans proposed by the Board of Directors 5 approval of the annual capital and operating budgets proposed by the Board of Directors 6 approval of the borrowing of funds where the amount is in excess of Ten Million dollars 7 approval of the sale, lease, exchange, mortgage, pledge or disposal of all or substantially all of the property and assets 8 approval of all amendments to the Articles of Incorporation or Bylaws and all other rights and powers as specified in the Washington Nonprofit Corporation Act. Form 990, Part VI, Section B, Line 11b The Audit and Compliance Committee ACC, a committee composed of independent community members of the Medical Center Board of Directors is responsible for oversight of the annual VMMC Form 990 and 990-T preparation process including 1 selection, engagement, and performance of an independent tax preparer 2 review of the annual draft Form 990 and 990-T tax returns, and 3 recommending the final Form 990 and 990-T tax returns for review to the VMMC Board of Directors. At the ACC September meeting, management provided the ACC with an initial draft of the Form 990 and the tax return reviewer presented an overview of the Form 990 preparation process. Following the September meeting, the ACC Chair updates the Medical Center Board on the Form 990 preparation. In October, a revised draft of the Form 990 is provided to the ACC Chair for further review and comment. The final Form 990 is reviewed and provided to the Board for review of the final Form 990 prior to filing. The final Form 990 and 990-T tax returns are provided to each member of the Board of Directors via electronic delivery by posting on a secure website which allows online viewing of Board documents. Form 990, Part VI, Section B, Line 12c The Governance Committee of the Board has accountability for oversight of the process for disclosure, evaluation and management of conflicts of interest involving any member of the Board, executive leadership or key employees Covered Person. Pursuant to the Conflicts of Interest Policy, an annual conflict of interest questionnaire is distributed to all Covered Persons. In addition, a Covered Person has an on-going duty to disclose the existence of a conflict of interest at any time an actual or potential conflict arises. Each Covered Person is required upon appointment and annually thereafter to attest to a statement that affirms that such person has 1 received a copy of the Conflicts of Interest Policy 2 has read and understands the Policy 3 has agreed to comply with the Policy and 4 understands that the Medical Center is a charitable organization and that in order to maintain its federal tax exemption must engage primarily in activities that accomplish its tax-exempt purposes. Written disclosures are reviewed by the Governance Committee to determine if an actual or potential conflict of interest exists and if so, how it should be managed. The Covered Person is informed in writing regarding the determination the Conflict of Interest Management Plan. No Covered Person with an actual or potential conflict of interest shall engage in an activity on the Medical Centers behalf related to the disclosed actual or potential Conflict of Interest unless such activity is permitted by the Conflict of Interest Management Plan or until the Covered Person has undertaken all steps set forth in the Management Plan to manage, reduce or eliminate the conflict. All Covered Persons have a duty to disclose the existence of any actual or potential conflict of interest with respect to meeting agenda items. The Conflicts of Interest Policy requires that copies of the Conflict of Interest Questionnaire completed annually by each Covered Person and any Conflict of Interest Management Plan be maintained. In addition, the minutes of the Board and all committees with board-delegated powers shall document the disclosure and resolution of any actual or potential conflict of interest disclosed at such meeting. Form 990, Part VI, Section B, Line 15 The VMHS Compensation and Benefits Board Committee, a committee composed solely of independent directors of VMHS none of whom have a conflict of interest, is accountable for setting reasonable total compensation packages for each Medical Center executive, including the CEO, officers and key employees Executives consistent with the Medical Centers philosophy and principles. The Board develops and approves annual goals and performance criteria which are used in determining merit increases and variable compensation opportunities for the Medical Center Executives. The Committee assesses performance against these goals. The Committee selects and engages a qualified independent compensation consultant to review and analyze the total compensation and benefits packages to the Executives. The Committee as part of its analysis obtains from the compensation consultant appropriate comparability data including total compensation paid by similarly situated for-profit and non-profit health care organizations for positions that are functionally comparable to each of the Executives. With respect to those Executives below the level of Chair/Chief Executive Officer, the Committee requests that the Chair/Chief Executive Officer work with the compensation consultant to formulate a compensation recommendation for each such Executive, consistent with VMHSs compensation philosophy and principles. Consistent with VMHSs compensation philosophy and principles, the Committee approves total compensation packages for each of the Executives based on information presented to the Committee, reasonableness and the best interests of the Medical Center. The Committees decisions regarding compensation for each Executive are documented in written resolutions and minutes of the Committee. The Committee promptly reports its action to the Board whose reports are reflected in the Boards minutes. The Executives that were reviewed in 2019 were Chief Executive Officer, President, Chief Financial Officer, Senior Vice Presidents, Vice Presidents, Physician Chiefs, Clinic Medical Director, Hospital Medical Director, and Chief Medical Officer. Form 990, Part VI, Section C, Line 19 The organizations Articles, Bylaws, Conflict of Interest Policy, and Financial Statements are made available upon request. Form 990, Part XI, Line 9 Additional Pension Adjustment 2,802,731. 1000 Madison LLC 1100 Ninth Avenue Seattle WA 98101 204018216 Real Estate WA 2053636 27221333 VMMC 1005 Spring Street LLC 1100 Ninth Avenue Seattle WA 98101 204816736 Real Estate WA 2072479 4965885 VMMC Health Resource Services LLC 1100 Olive Way Seattle WA 98101 262800994 Group Purchasing WA 13735353 38828739 VMMC Puget Sound High Value Network LLC 1100 Ninth Avenue Seattle WA 98101 472840780 Medical Network WA -4168 VMMC NetworxHealth LLC 1100 Olive Way Seattle WA 98101 825288717 Healthcare Staffing WA 1020908 197050 VMMC Virginia Mason Health System 1100 Ninth Avenue Seattle WA 98101 911351110 Fundraising WA 501c3 7 N/A false Virginia Mason Institute 1100 Ninth Avenue Seattle WA 98101 263763656 Education WA 501c3 10 VMMC true Benaroya Research Institute at Virginia Mason 1201 Ninth Avenue Seattle WA 98101 910653422 Research WA 501c3 4 VMHS false Yakima Valley memorial Hospital Association 2811 Tieton Drive Yakima WA 98902 910567263 Health Care WA 501c3 3 VMHS false National Purchasing Partners LLC 1100 Olive Way Seattle WA 98101 203470995 Group Purchasing WA N/A Unrelated 15567994 4041412 false 15548495 true 0.50000 Emerald City Obstetrics Alliance LLC 1100 Ninth Avenue Seattle WA 98101 320594147 Governance Oversight WA N/A Related -75215 772464 false false 0.50000 Center for Integrative Medicine at Virginia Mason 1100 Ninth Avenue Seattle WA 98101 831583223 Integrative Medicine Services WA VMMC C Corp 293702 176880 1.00000 true false true true false false false false false false true true false false false true true true false false Virginia Mason Medical Center 1100 Ninth Avenue Seattle WA 98101 910565539 X 134909 63581 198490 1174521398 1174719888 665053 166263 0 0 0 Virginia Mason Institute 1100 Ninth Avenue Seattle WA 98101 263763556 0 0 0 6260831 6260831 3544 886 0 0 0 Virginia Mason Health System 1100 Ninth Avenue Seattle WA 98101 911351110 0 0 0 14136817 14136817 8003 2001 0 0 0 Benaroya Research Institute at Virginia Mason 1200 Ninth Avenue Seattle WA 98101 910653422 0 0 0 71446676 71446676 40449 10112 0 0 0 Yakima Valley Memorial Hospital Association 2811 Tieton Drive Seattle WA 98902 910567263 48610 60000 108610 499682326 499790936 282950 70738 0 0 0