2019-08-15T11:27:32-05:00 2018-09-30 ERNST & YOUNG US LLP 18101 VON KARMAN AVE STE 1700 IRVINE CA 92612 990 2017-10-01 274803222 City of Hope Medical Foundation % JENNIFER PARKHURST CITY 6262564673 1500 East Duarte Road Duarte CA 91010 JENNIFER PARKHURST CFO 6262564673 2019-08-14 true KARA Adams P00023315 9497942300 164.57.159.253 33577420192275000003 2019-08-15 P 85868073965687212239AA369D140FAEDE3756F9 337686BC7CC6EC2662FF9B863E3DABD55E8368B5 2017 2019-02-21 02:37:17Z Vincent Jensen 1500 EAST DUARTE ROAD DUARTE CA 91010 396503841 false X www.cityofhope.org X 2011 CA TO PROVIDE MEDICAL CARE FOR PEOPLE WITH CANCER, DIABETES AND OTHER LIFE-THREATENING DISEASES AS PART OF A COORDINATED HEALTHCARE DELIVERY SYSTEM OPERATED BY CITY OF HOPE. 8 7 462 0 869843 930815 0 55000000 286634680 340312254 0 0 988905 1191587 287623585 396503841 0 0 0 0 31819066 40923994 0 0 0 252504714 308629157 284323780 349553151 3299805 46950690 103764125 142644532 57628182 47019689 46135943 95624843 X ESTABLISH, ACQUIRE, OPERATE AND MAINTAIN OUTPATIENT CLINICS AND OTHER HEALTH CARE FACILITIES AND OPERATIONS FOR TREATING THOSE SUFFERING FROM CANCER AND OTHER LIFE-THREATENING DISEASES. SEE SCHEDULE O. false false 293192176 0 340312254 THROUGH ITS SOUTHERN CALIFORNIA CLINICAL NETWORK WITH LOCATIONS IN ANTELOPE VALLEY, ARCADIA, BURBANK, COLTON, CORONA, FULLERTON, GLENDALE, GLENDORA, MISSION HILLS, ORANGE, PALM SPRINGS, PASADENA, RANCHO CUCAMONGA, RIVERSIDE, SAN BERNADINO, SANTA CLARITA, SANTA MONICA, SHERMAN OAKS, SIMI VALLEY, SOUTH BAY, SOUTH PASADENA, TEMECULA, UPLAND, WEST COVINA, WEST HILLS AND WILDOMAR, AS PART OF A COORDINATED HEALTH CARE DELIVERY SYSTEM IN SOUTHERN CALIFORNIA, THE MEDICAL FOUNDATION PROVIDES OR ARRANGES FOR THE PROVISION OF MEDICAL CARE AND TREATMENT OF PERSONS SUFFERING FROM CANCER AND OTHER LIFE-THREATENING DISEASES. SEE SCHEDULE O. 293192176 true true false false false false false false false false true false true true true true 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 false true true true false false true X 31 0 true 462 true true true false false false false false false false false false X 8 7 true false false false true true true true true false false false true true true true true true true true true CA X JENNIFER PARKHURST 6262564673 1500 E DUARTE ROAD DUARTE CA 91010 X Harlan Levine MD Board Member/President 42.0 18.0 X X 1119300 479700 233250 James Andersen MD Board Member 2.0 0.0 X 0 0 0 Jeff Walker Board Member/COO - Incoming 15.0 45.0 X 0 0 0 Jeffrey Wong MD Board Member 2.0 0.0 X 0 0 0 Michael Caligiuri Board Member - OUTGOING 2.0 58.0 X 0 0 0 Morgan Chu Board Member, Chair - Incoming 3.0 2.0 X X 0 0 0 Norman Payson MD Board Member, Chair 3.0 2.0 X X 0 0 0 Robert W Stone BOARD MEMBER OUTGOING/PRESIDNT 9.0 51.0 X X 342210 1939190 433116 Vijay Trisal MD Board Member/Chief Med Officer 3.0 57.0 X 0 0 0 William Boswell MD Board Member 2.0 0.0 X 0 0 0 William Sargeant Board Member/COO - Outgoing 15.0 45.0 X 295711 887131 211440 Boriana Farias Assistant Treasurer 15.0 45.0 X 80268 240803 34457 Cornelis Van Den Berg Interim CFO - outgoing /SVP 15.0 45.0 X 195884 587651 66476 Gregory Schetina General Counsel/Secretary 15.0 45.0 X 229452 688358 179708 Jennifer Parkhurst CFO/Treasurer - INCOMING 15.0 45.0 X 0 0 0 Vincent Jensen Chief Executive 48.0 12.0 X 505203 126301 45501 Jonathan Reuter VP Facilities & Construction 10.0 50.0 X 39773 357961 39927 David A Horne Vice Provost 3.0 57.0 X 32564 618695 55106 Debra Fields Chief Transformation Officer 15.0 45.0 X 256836 770507 188157 Kristin Bertell EVP Devel & Ext Affairs 3.0 57.0 X 34603 657481 208969 Lisa Stockmon SVP Communications - outgoing 15.0 45.0 X 191161 573481 120837 Gary J Ahwah SVP Enterprise Sys & App Dev 15.0 45.0 X 148648 445945 68705 3471613 8373204 1885649 48 false true false CITY OF HOPE MEDICAL GROUP 1500 east duarte road DUARTE CA 91010 PROFESSIONAL SERVICE 158461498 HOSPITAL EMPLOYEE LABOR POOL 765 The City Drive S 405 ORANGE CA 92868 Staffing Services 751061 Pulse Systems Inc 4600 Madison Ave Suite 1400 KANSAS CITY MO 64112 Management Services 614168 Accountemps 10960 Wilshire Blvd Suite 900 LOS ANGELES CA 90024 Staffing Services 552377 Medix Staffing Solutions 18500 Von Karman Ave Suite 380 IRVINE CA 92612 staffing services 538248 15 55000000 55000000 NET PATIENT SERVICE REVENUE 621110 258161889 258161889 RESEARCH, TEACHING & ADMINISTRATIVE REV 541700 70617828 70617828 CAPITATION REVENUE 900099 7483546 7483546 PHYSICIAN FEES REVENUE 900099 1235000 1235000 CASE RATE COLLECTIONS 624190 955950 955950 1858041 1858041 340312254 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 NSFVRO K-1 INCOME 525990 826043 826043 SERVICES PROVIDED TO UNRELATED PARTIES 900099 43800 43800 INTEREST INCOME - NON INVESTMENT 541610 239194 239194 82550 82550 1191587 396503841 340312254 869843 321744 X 0 0 0 0 3583463 157466 3425997 0 0 0 30211744 13010039 17201705 0 676058 243954 432104 0 4340864 1682017 2658847 0 2111865 821232 1290633 0 0 0 19900 19900 0 30785 30785 0 0 0 0 0 0 0 197984338 175124858 22859480 313700 313700 0 3505481 2301026 1204455 0 970201 189948 780253 0 0 0 6195235 3808136 2387099 0 151848 62937 88911 0 0 0 120318 74560 45758 0 64876 15896 48980 0 0 0 5686219 2607964 3078255 0 207595 84358 123237 0 MEDICAL/PHARMACEUTICAL SUPPLY 89221435 89221435 TAX AND LICENSING 355077 89468 265609 BAD DEBT 3667971 3667971 DUES AND SUBSCRIPTIONS 49421 20785 28636 84757 8126 76631 349553151 293192176 56360975 0 21311796 27823191 0 0 0 0 26931713 27045657 0 0 0 0 0 0 2485634 3667276 533149 708047 62686438 20860624 41341580 41825814 0 0 0 0 0 35513078 1517904 608000 9642349 5453469 103764125 142644532 27488319 23632007 0 0 0 0 0 8400 0 0 0 0 0 0 9187398 670462 20952465 22708820 57628182 47019689 X 46135943 95624843 0 0 0 0 46135943 95624843 103764125 142644532 X 46950690 2783847 -245637 X false true X true false X 15389897 7099081 8290816 21500481 13761543 7738938 25796060 25796060 41825814 35513078 0 BUILD TO SUIT LIABILITY 14575282 DEFERRED RENT 5273538 DUE TO CITY OF HOPE 2860000 22708820 X SCHEDULE D, PART X, LINE 2 THE FOLLOWING PARAGRAPH IS FROM THE CONSOLIDATED CITY OF HOPE AUDITED FINANCIAL STATEMENTS AS OF SEPTEMBER 30, 2018 (WHICH INCLUDES CITY OF HOPE, CITY OF HOPE AUXILIARIES (AUXILIARIES), CITY OF HOPE NATIONAL MEDICAL CENTER, THE MEDICAL FOUNDATION, SOUTHERN CALIFORNIA RADIATION ONCOLOGY, LLC, THE TRANSLATIONAL GENOMICS RESEARCH INSTITUTE, AND THE BECKMAN RESEARCH INSTITUTE OF THE CITY OF HOPE): FINANCIAL ACCOUNTING STANDARDS BOARD (FASB) ACCOUNTING STANDARDS CODIFICATION TOPIC ASC 740, INCOME TAXES, CLARIFIES THE ACCOUNTING FOR INCOME TAXES BY PRESCRIBING A MINIMUM RECOGNITION THRESHOLD THAT A TAX POSITION IS REQUIRED TO MEET BEFORE BEING RECOGNIZED IN THE FINANCIAL STATEMENTS. ASC 740 ALSO PROVIDES GUIDANCE ON DE-RECOGNITION, MEASUREMENT, CLASSIFICATION, INTEREST AND PENALTIES, DISCLOSURE AND TRANSITION. THE GUIDANCE CONTAINED IN ASC 740 IS APPLICABLE TO PASS-THROUGH ENTITIES AND TAX-EXEMPT ORGANIZATIONS. CITY OF HOPE HAS NO SIGNIFICANT UNCERTAIN TAX POSITIONS OR TAX LIABILITY FOR TAX BENEFITS, INTEREST OR PENALTIES ACCRUED AT SEPTEMBER 30, 2018 AND 2017. X X X X X X false true false false false false false true false Harlan Levine MD Board Member/President 569598 244114 484787 207766 64915 27820 139689 59867 23586 10108 1282575 549675 99523 42653 Robert W Stone BOARD MEMBER OUTGOING/PRESIDNT 166953 946067 160836 911407 14421 81716 59537 337375 5431 30773 407178 2307338 45523 257962 William Sargeant Board Member/COO - Outgoing 158954 476862 125270 375809 11487 34460 42441 127323 10419 31257 348571 1045711 28256 84769 Boriana Farias Assistant Treasurer 62194 186581 13525 40576 4549 13646 1953 5859 6661 19984 88882 266646 0 0 Cornelis Van Den Berg Interim CFO - outgoing /SVP 120184 360553 74136 222406 1564 4692 10569 31706 6050 18151 212503 637508 0 0 David A Horne Vice Provost 23100 438899 7383 140267 2081 39529 1096 20816 1660 31534 35320 671045 0 0 Debra Fields Chief Transformation Officer 136159 408477 110514 331543 10163 30487 37728 113184 9311 27934 303875 911625 21096 63288 Gregory Schetina General Counsel/Secretary 124702 374107 93958 281875 10792 32376 34420 103258 10508 31522 274380 823138 21028 63085 Jonathan Reuter VP Facilities & Construction 29429 264864 8096 72863 2248 20234 826 7430 3167 28504 43766 393895 0 0 Kristin Bertell EVP Devel & Ext Affairs 20927 397622 13446 255480 230 4379 8704 165366 1745 33154 45052 856001 4075 77425 Lisa Stockmon SVP Communications - outgoing 94932 284797 66817 200450 29412 88234 23685 71056 6524 19572 221370 664109 16404 49212 Vincent Jensen Chief Executive 351646 87912 119543 29886 34014 8503 6605 1651 29796 7449 541604 135401 0 0 Gary J Ahwah SVP Enterprise Sys & App Dev 98130 294391 50518 151554 12958 38872 4219 12656 165825 497473 0 0 SCHEDULE J, PART I, LINE 1A THE ORGANIZATION PERMITS FIRST CLASS TRAVEL FOR CERTAIN OFFICERS, DIRECTORS, AND KEY EXECUTIVES IN LIMITED CIRCUMSTANCES WHEN SPECIFIED TRAVEL CRITERIA ARE MET. SCHEDULE J, PART I, LINE 4B THE MEDICAL FOUNDATION HAS A NON-QUALIFIED SECTION 457(F) EXECUTIVE SUPPLEMENTAL ACCUMULATION PLAN THAT IS DESIGNED AND MAINTAINED TO PROVIDE A SELECT GROUP OF MANAGEMENT OR HIGHLY COMPENSATED EMPLOYEES WITH DEFERRED COMPENSATION. THE PLAN VESTS AFTER THREE (3) FISCAL YEARS OF SERVICE AND THE VESTED TOTALS ARE INCLUDED IN SCHEDULE J, PART II, COLUMN B (III). PRIOR TO VESTING, THE ANNUAL AMOUNTS ARE INCLUDED IN SCHEDULE J, PART II, COLUMN C. PURSUANT TO THE PLAN DOCUMENT, VESTED PARTICIPANTS ARE ENTITLED TO WITHDRAW FROM THEIR VESTED ACCOUNT AN AMOUNT EQUAL TO THE FEDERAL, STATE, LOCAL AND FICA TAXES THEY OWE. THESE AMOUNTS ARE REMITTED TO THE APPROPRIATE TAXING AUTHORITIES ON BEHALF OF THE PARTICIPANTS. DURING CALENDAR YEAR 2017 THE FOLLOWING INDIVIDUALS WITHDREW THE REFERENCED AMOUNTS TO COVER SUCH TAXES: Boriana Farias $ 5,776 David Horne $ 8,102 Gregory Schetina $ 9,414 Debra Fields $10,385 Vincent Jensen $11,796 William Sargeant $17,272 Robert Stone $27,665 Lisa Stockmon $37,334 THESE AMOUNTS HAVE BEEN INCLUDED IN THE PARTICIPANTS INCOME ON SCHEDULE J, PART II COLUMN B(III). SCHEDULE J, PART I, LINE 7 THE MEDICAL FOUNDATION EXECUTIVES AND SOME KEY EMPLOYEES ARE ELIGIBLE TO RECEIVE INCENTIVE COMPENSATION UNDER AN ANNUAL INCENTIVE PLAN (AIP) TIED TO TWO (2) KEY INDICATORS AND TWO OR MORE INDIVIDUAL OBJECTIVES. THE KEY INDICATORS REFLECT KEY AREAS OF STRATEGIC FOCUS AND THE EXEMPT HEALTHCARE MISSION OF THE CITY OF HOPE AND AFFILIATES AND ARE BOTH FINANCIAL AND NON-FINANCIAL. THE POTENTIAL INCENTIVE COMPENSATION IS BASED ON A WEIGHTED AVERAGE AMONG ALL INDICATORS AND IS PAID AS A PERCENTAGE OF EACH INDIVIDUAL PARTICIPANT'S BASE COMPENSATION. THE KEY INDICATORS ARE WEIGHTED AT 30%, WHILE THE INDIVIDUAL OBJECTIVES ARE WEIGHTED AT 70%. THE AIP IS UNDER THE CONTROL OF AND ADMINISTERED BY THE INDEPENDENT DIRECTORS SERVING ON THE EXECUTIVE COMPENSATION AND GOVERNANCE COMMITTEE. TO BE ELIGIBLE, THE PARTICIPANTS IN THE AIP MUST BE EMPLOYED BY THE MEDICAL FOUNDATION AT THE TIME OF THE INCENTIVE PLAN PAYMENT, AND BE MEETING OR EXCEEDING PERFORMANCE EXPECTATIONS. CITY OF HOPE MAY IN ITS DISCRETION CANCEL ALL OR A PORTION OF ANY INCENTIVE PLAN PAYMENT OR AWARD TO ANY PARTICIPANT, WHETHER BEFORE OR FOLLOWING PAYMENT OF SUCH AWARD, SUBJECT TO COMPLIANCE WITH APPLICABLE LAW, UNDER THESE CIRCUMSTANCES (CANCELLATION POLICY): A) AN INCENTIVE PLAN PAYMENT OR AWARD IS MADE FOR A FISCAL PERIOD AND CITY OF HOPE SUBSEQUENTLY RESTATES OR OTHERWISE ADJUSTS THE ANNUAL PERFORMANCE MEASUREMENT CALCULATION IN A MANNER THAT WOULD REDUCE THE SIZE OF THE AWARD OR PAYMENT, OR; B) AN INCENTIVE PLAN PAYMENT OR AWARD IS MADE FOR FISCAL PERIOD AND CITY OF HOPE SUBSEQUENTLY DETERMINES THAT ONE OR MORE OF THE ANNUAL PERFORMANCE MEASUREMENT CALCULATIONS ON WHICH THE AWARD IS BASED OR IS PAID ARE MATERIALLY INACCURATE. DURING CALENDAR YEAR 2017 CITY OF HOPE PAID THE INCENTIVE COMPENSATION EARNED FOR FISCAL YEAR 2017 AND THESE AMOUNTS HAVE BEEN REPORTED IN SCHEDULE J, PART II, COLUMN B(II). THE MEDICAL FOUNDATION ALSO HAS AN EXECUTIVE LONG TERM INCENTIVE PLAN (LTI) FOR CERTAIN EXECUTIVES THAT IS DESIGNED TO DRIVE LONG-TERM ORGANIZATIONAL PERFORMANCE AND TRANSFORMATION BY ALIGNING EXECUTIVES WITH THE MULTI-YEAR STRATEGIC PLAN AND INCENTIVIZING THEM FOR ACHIEVING KEY ORGANIZATIONAL AND STRATEGIC OBJECTIVES AND GOALS. WITH THREE-YEAR VESTING PERIODS, THE LTI ALSO PROVIDES A MEANS FOR RETAINING KEY EXECUTIVE TALENT. THE PERFORMANCE PERIOD OF THE PLAN (CYCLE 3) RUNS FROM OCTOBER 1, 2014 THROUGH SEPTEMBER 30, 2017, WITH A NEW THREE YEAR PERFORMANCE PERIOD BEGINNING EACH OCTOBER 1 THEREAFTER (E.G., CYCLE 4 RUNS FROM OCTOBER 1, 2015 THROUGH SEPTEMBER 30, 2018). TO BE ELIGIBLE TO PARTICIPATE IN ANY PAYOUT UNDER THE LTI, PARTICIPANTS MUST BE ACTIVELY EMPLOYED BY THE MEDICAL FOUNDATION AT THE TIME OF THE INCENTIVE PLAN PAYMENT, AND BE MEETING OR EXCEEDING PERFORMANCE EXPECTATIONS. WHILE THE LTI DOES MEET THE REQUIREMENTS FOR A SUBSTANTIAL RISK OF FORFEITURE, AS OF THE CALENDAR YEAR ENDING DECEMBER 30, 2017, THE POTENTIAL LTI AMOUNTS HAVE BEEN ESTIMATED AND ACCRUED DURING THE CURRENT TAX YEAR AND ARE REPORTED AS DEFERRED COMPENSATION TO THE PLAN PARTICIPANTS IN SCHEDULE J, PART II, COLUMN C. THE LTI IS SUBJECT TO THE SAME CANCELLATION POLICY AS THE AIP DESCRIBED ABOVE. PARTICIPANTS WHO MET THE ELIGIBILITY CRITERIA RECEIVED PAYOUT OF PLAN CYCLE 3 LTI INCENTIVES (OCTOBER 1, 2014 THROUGH SEPTEMBER 30, 2017) IN DECEMBER 2017. THESE AMOUNTS HAVE BEEN REFLECTED IN SCHEDULE J PART II, COLUMN B(II). FORM 990, PART III, LINE 1 - CONTINUATION THE CITY OF HOPE'S MISSION IS TO PROVIDE MEDICAL CARE AND TREATMENT AS PART OF A COORDINATED HEALTHCARE DELIVERY SYSTEM IN SOUTHERN CALIFORNIA. THE MEDICAL FOUNDATION PROVIDES THESE SERVICES FOR TREATING, ATTEMPTING TO CURE, AND CURING PERSONS WITH CANCER, DIABETES, AND OTHER LIFE-THREATENING DISEASES. THE MEDICAL FOUNDATION PROVIDES THESE SERVICES TO CERTAIN PATIENTS THROUGH CHARITY CARE ASSISTANCE FOR PATIENTS MEETING CERTAIN FINANCIAL ELIGIBILITY AND CLINICAL CRITERIA AND TO PERSONS WITHOUT INSURANCE OR WHO ARE UNDERINSURED. ALL SELF-PAY, UNINSURED AND UNDERINSURED PATIENTS WHO DO NOT QUALIFY FOR CHARITY CARE UNDER THE MEDICAL FOUNDATION'S CHARITY CARE PROGRAM ARE OFFERED SERVICES THROUGH THE MEDICAL FOUNDATION AT DISCOUNTED CHARGES. THIS DISCOUNT IS BASED ON AN ALGORITHM, REGARDLESS OF THE SERVICES PROVIDED TO THE RESPECTIVE PATIENT. THE DISCOUNT IS ALSO EXTENDED TO PATIENTS WHO QUALIFY FOR THE MEDICAL FOUNDATION'S CHARITY CARE PROGRAM FOR THE OUT-OF-POCKET PORTIONS OF CARE THAT IS BEYOND THE CHARITY CARE COVERAGE AMOUNT THE PATIENT QUALIFIED FOR. THE MEDICAL FOUNDATION ALSO SUBSIDIZES CARE FOR PATIENTS COVERED BY THE MEDI-CAL AND MEDICARE PROGRAMS. THE MEDICAL FOUNDATION WAS ALSO FORMED TO CONDUCT OR PARTICIPATE IN MEDICAL AND SCIENTIFIC INVESTIGATIONS AND RESEARCH INTO SUCH DISEASES; AND TO PROMOTE AND CARRY ON EDUCATIONAL ACTIVITIES RELATED TO THE HEALTH AND WELL-BEING OF THE SICK, AND DISABLED. THE MEDICAL FOUNDATION IS PART OF AN INTEGRATED SYSTEM THAT COMBINES BENCH AND CLINICAL RESEARCH ACTIVITIES DIRECTLY WITH PATIENT CARE, IN BOTH AN IN-PATIENT AND OUT-PATIENT SETTING. THIS INTEGRATED SYSTEM, KNOWN AS CITY OF HOPE, COLLECTIVELY REFERS TO CITY OF HOPE, CITY OF HOPE NATIONAL MEDICAL CENTER, CITY OF HOPE MEDICAL FOUNDATION, SOUTHERN CALIFORNIA RADIATION ONCOLOGY, LLC, BECKMAN RESEARCH INSTITUTE OF THE CITY OF HOPE, THE TRANSLATIONAL GENOMICS RESEARCH INSTITUTE, AND CITY OF HOPE AUXILIARIES. FORM 990, PART III, LINE 4A - CONTINUATION AS PART OF CITY OF HOPE'S MISSION OF CREATING GREATER INTEGRATION AND COORDINATION OF PATIENT CARE, RESEARCH AND EDUCATION SERVICES, THE MEDICAL FOUNDATION ALSO PROVIDES OR ARRANGES FOR THE PROVISION OF CERTAIN PATIENT CARE AND ON-CALL COVERAGE SERVICES AND RESEARCH, TEACHING AND ADMINISTRATIVE SERVICES TO THE MEDICAL CENTER. THROUGH THESE CLINICS AND VARIOUS AGREEMENTS, THE MEDICAL CENTER IS ABLE TO ENSURE THAT PATIENT CARE, AS WELL AS ACCOMPANYING CLINICAL RESEARCH AND COMMUNITY EDUCATION, IS PROVIDED SEAMLESSLY THROUGH A FULLY INTEGRATED NETWORK OF PROVIDERS. THE MEDICAL FOUNDATION AND THE MEDICAL CENTER AIM TO CONTINUE TO BROADEN THE AVAILABILITY OF HEALTH CARE AND CLINICAL RESEARCH SERVICES FOR VULNERABLE POPULATIONS INCLUDING MEDICARE AND MEDI-CAL BENEFICIARIES AND CHARITY CARE PATIENTS. CITY OF HOPE MAKES A RANGE OF SERVICES AVAILABLE TO BENEFICIARIES OF THESE PROGRAMS ON A NON-DISCRIMINATORY BASIS WITHIN ITS INPATIENT AND OUTPATIENT FACILITIES, INCLUDING THE MEDICAL CENTER AND THE MEDICAL FOUNDATION, AND MAKES SIGNIFICANT INVESTMENTS IN COMMUNITY BENEFIT ACTIVITIES. THE MEDICAL FOUNDATION PARTICIPATES IN THESE ACTIVITIES CONSISTENT WITH ITS CHARITABLE PURPOSES. THE MEDICAL FOUNDATION PLAYS AN INTEGRAL ROLE IN ENSURING THE COORDINATION AND AVAILABILITY OF RESEARCH TO BENEFIT PATIENT CARE. THROUGH THE MEDICAL FOUNDATION, ACCESS TO CLINICAL TRIALS AND DRUG STUDIES ARE MADE AVAILABLE TO A WIDER BASE OF PATIENTS WHO WISH TO REMAIN IN THE COMMUNITY TO RECEIVE THEIR SPECIALIZED CARE. THE MEDICAL CENTER OFFERS ACCREDITED PROGRAMS AND SERVICES THAT SERVE STUDENTS, POSTDOCTORAL TRAINEES, PHYSICIANS, NURSES AND OTHER HEALTH-CARE PROFESSIONALS. THE MEDICAL FOUNDATION SUPPORTS THESE PROGRAMS BY PROVIDING PROFESSIONAL PROVIDERS WHO SERVE AS SUPERVISORS AND MENTORS FOR PARTICIPANTS IN SUCH TRAINING AND THROUGH THE VARIOUS TEACHING, ADMINISTRATIVE AND RESEARCH SERVICES PROVIDED BY THE FOUNDATION. THE MEDICAL FOUNDATION ALSO ASSISTS IN COMMUNITY EDUCATION AND DISEASE PREVENTION PROGRAMS. FORM 990, PART V, LINES 2A MOST OF THE CITY OF HOPE OFFICERS AND KEY EMPLOYEES, AS WELL AS A FEW OF ITS HIGHEST COMPENSATED EMPLOYEES, PROVIDE SERVICES TO MORE THAN ONE CITY OF HOPE ENTITY, AND MANY OF THEM PROVIDE SERVICES TO ALL OF THE ENTITIES. FOR A NUMBER OF THESE CONCURRENTLY-EMPLOYED INDIVIDUALS, THE ENTITIES HAVE DESIGNATED THE MEDICAL CENTER AS A "COMMON PAYMASTER" DEFINED IN SECTION 3121(S) OF THE INTERNAL REVENUE CODE. CITY OF HOPE REPORTS THESE CONCURRENT EMPLOYEES' TIME, EFFORT AND COMPENSATION ON THE INFORMATION RETURNS OF THE CITY OF HOPE ENTITIES BASED ON THE ESTIMATES OF THEIR TIME SPENT IN AND FOR EACH ENTITY. AS "COMMON PAYMASTER," THE MEDICAL CENTER ISSUES EACH OF THESE EMPLOYEES A SINGLE, COMBINED PAYCHECK AND ONE FORM W-2. FORM 990, PART VI, SECTION A, LINE 1B UNDER THE FOUNDATION'S BYLAWS, THE FOUNDATION IS GOVERNED BY A BOARD OF DIRECTORS OF 8 MEMBERS OF WHICH THREE OF THE BOARD MEMBERS ARE EMPLOYEES OF A CITY OF HOPE ENTITY, TWO OF THE BOARD MEMBERS ARE COMMUNITY-BASED INDIVIDUALS APPOINTED BY CITY OF HOPE (THE SOLE CORPORATE MEMBER OF THE FOUNDATION), ONE OF WHOM IS NOMINATED BY CITY OF HOPE MEDICAL GROUP AND SUBJECT TO CITY OF HOPE'S APPROVAL, AND FOR SO LONG AS THE CITY OF HOPE MEDICAL GROUP PROVIDES PROFESSIONAL SERVICES TO THE MEDICAL FOUNDATION PURSUANT TO THE PROFESSIONAL SERVICES AGREEMENT, THREE OF THE BOARD MEMBERS ARE PHYSICIANS EMPLOYED BY THE CITY OF HOPE MEDICAL GROUP. AS OF SEPTEMBER 30, 2018, ONLY ONE OF THE COMMUNITY-BASED INDIVIDUALS HAS BEEN ELECTED TO THE BOARD OF DIRECTORS OF THE FOUNDATION. CITY OF HOPE DETERMINED THAT THE FOREGOING COMPOSITION OF THE BOARD WOULD ALLOW THE BOARD TO BEST REPRESENT THE MEDICAL FOUNDATION AND ENSURE THE IMPROVED ALIGNMENT AND INTEGRATION OF THE PHYSICIAN PROVIDERS OF MEDICAL CARE AND TREATMENT INTO THE BROADER CITY OF HOPE HEALTH CARE SYSTEM. IN ADDITION, CITY OF HOPE, WHICH IS THE SOLE CORPORATE MEMBER OF THE MEDICAL FOUNDATION WITH CERTAIN RESERVE POWERS, IS GOVERNED BY A BOARD OF DIRECTORS THAT IS COMPRISED OF A MAJORITY OF INDIVIDUALS WHO ARE REPRESENTATIVE OF THE COMMUNITIES SERVED BY CITY OF HOPE. FORM 990, PART VI, SECTION A, LINE 2 JEFFREY WONG, M.D., JAMES ANDERSEN, M.D., AND WILLIAM BOSWELL, M.D., HAVE A BUSINESS RELATIONSHIP AS EMPLOYEES AND OFFICERS, MEMBERS OF THE BOARD AND/OR SHAREHOLDERS OF THE CITY OF HOPE MEDICAL GROUP. FORM 990, PART VI, SECTION A, LINE 6 CITY OF HOPE (95-3435919) IS THE SOLE CORPORATE MEMBER OF THE MEDICAL FOUNDATION. FORM 990, PART VI, LINE 7A THE SOLE CORPORATE MEMBER, CITY OF HOPE, ELECTS DIRECTORS TO THE BOARD OF DIRECTORS OF THE MEDICAL FOUNDATION. IN ADDITION, THE CITY OF HOPE MEDICAL GROUP HAS THE ABILITY TO NOMINATE AND APPOINT THE PHYSICIAN MEMBERS OF THE BOARD: THE PRESIDENT OF THE MEDICAL GROUP SERVES EX OFFICIO AS A VOTING MEMBER OF THE BOARD, AND THE TWO OTHER PHYSICIANS MEMBERS APPOINTED BY THE MEDICAL GROUP MUST EITHER MEET CERTAIN CRITERIA SPECIFIED IN THE BYLAWS OF THE MEDICAL FOUNDATION OR HAVE BEEN APPROVED BY CITY OF HOPE. FORM 990, PART VI, SECTION A, LINE 7B CERTAIN ACTIONS MAY NOT BE UNDERTAKEN WITHOUT THE PRIOR WRITTEN APPROVAL OF THE SOLE CORPORATE MEMBER, CITY OF HOPE, AS SPECIFIED IN THE GOVERNING DOCUMENTS OF THE MEDICAL FOUNDATION, INCLUDING: BORROWING MONEY IN THE NAME OF THE MEDICAL FOUNDATION OR UTILIZING PROPERTY OWNED BY THE MEDICAL FOUNDATION AS SECURITY FOR SUCH LOANS; ASSIGN, TRANSFER, PLEDGE, COMPROMISE OR RELEASE ANY OF THE CLAIMS OR DEBTS TO THE MEDICAL FOUNDATION EXCEPT ON PAYMENT IN FULL, OR ARBITRATE OR CONSENT TO THE ARBITRATION OF ANY DISPUTE OR CONTROVERSY OF THE MEDICAL FOUNDATION; MAKE, EXECUTE OR DELIVER ANY ASSIGNMENT FOR THE BENEFIT OF CREDITORS, OR ANY BOND, CONFESSION OF JUDGMENT, CHATTEL MORTGAGE, SECURITY AGREEMENT, DEED, GUARANTY, INDEMNITY BOND, SURETY BOND, OR CONTRACT TO SELL OR BILL OF SALE OF THE PROPERTY OF THE MEDICAL FOUNDATION; ACQUIRE, PURCHASE, DEVELOP, IMPROVE, SELL, LEASE, OR MORTGAGE ANY CORPORATE REAL ESTATE OR ANY INTEREST THEREIN OR ENTER INTO ANY CONTRACT FOR ANY SUCH PURPOSES; OR MAKE ANY LOAN, INVESTMENT, TRANSFER OR DISPOSITION OF ANY ASSETS OF THE MEDICAL FOUNDATION OR ENTER INTO ANY CONTRACT OR INCUR ANY LIABILITIES ON BEHALF OF THE MEDICAL FOUNDATION OTHER THAN FOR FAIR CONSIDERATION AND IN THE ORDINARY COURSE OF BUSINESS RELATING TO ITS NORMAL DAILY OPERATION; OR ESTABLISH CAPITAL AND OPERATING BUDGETS OR ADOPT MATERIAL CHANGES THERETO. THE FOLLOWING REQUIRE GOVERNING BODY APPROVAL (AS WELL AS THE APPROVAL OF THE SOLE CORPORATE MEMBER): THE ADOPTION OF, OR MATERIAL CHANGE IN, THE MISSION OF THE MEDICAL FOUNDATION; SALE OR DISPOSITION OF ALL OR SUBSTANTIALLY ALL ASSETS; MERGER AND ITS PRINCIPAL TERMS (AND ANY AMENDMENT TO THOSE TERMS); DISSOLUTION OF THE CORPORATION; ADOPTION OF OPERATING AND CAPITAL BUDGETS; ACQUISITIONS AND CAPITAL EXPENDITURES MEETING A CERTAIN FINANCIAL THRESHOLD; BORROWINGS, GUARANTIES, LOANS, AND BOND ISSUANCE MEETING A CERTAIN FINANCIAL THRESHOLD; CREATION OF A NEW (OR ACQUISITION OF A CONTROLLING INTEREST IN AN EXISTING) CORPORATION, PARTNERSHIP OR LIMITED LIABILITY COMPANY; AND ADOPTION OF OR AMENDMENTS TO INDIVIDUAL CORPORATE INVESTMENT GUIDELINES. FORM 990, PART VI, SECTION B, LINE 11B A COPY OF THE FORM 990 IS REVIEWED BY THE AUDIT & COMPLIANCE COMMITTEE OF THE BOARD OF DIRECTORS OF CITY OF HOPE, WHICH ALSO SERVES AS THE AUDIT COMMITTEE OF THE MEDICAL FOUNDATION AND ASSISTS THE MEDICAL FOUNDATION'S BOARD IN FULFILLING ITS RESPONSIBILITIES REGARDING THE FINANCIAL, ACCOUNTING, AND CORPORATE COMPLIANCE MATTERS OF THE MEDICAL FOUNDATION. ADDITIONALLY, THE PREPARATION OF THE FORM 990 IS DONE INTERNALLY AND IS REVIEWED THOROUGHLY WITH INTERNAL LEADERSHIP, EXTERNAL PARTICIPANTS, INCLUDING EY, AND RETAINED TAX COUNSEL. PRIOR TO FILING, THE MEDICAL FOUNDATION FORM 990 IS MADE AVAILABLE TO VOTING MEMBERS OF THE CITY OF HOPE BOARD OF DIRECTORS FOR REVIEW. NORMAN PAYSON, M.D., AND MORGAN CHU, BOARD MEMBERS OF THE MEDICAL FOUNDATION, ALSO SERVE AS MEMBERS OF THE BOARD OF DIRECTORS OF THE CITY OF HOPE. FORM 990, PART VI, SECTION B, LINE 12C ALL EMPLOYEES OF CITY OF HOPE AND AFFILIATES, BOARD OF DIRECTORS MEMBERS, BOARD COMMITTEE MEMBERS AND RESEARCH TEAM MEMBERS ARE COVERED BY CITY OF HOPE'S APPLICABLE CONFLICT OF INTEREST POLICIES. DETERMINATIONS AS TO WHETHER A CONFLICT OF INTEREST EXISTS AND REVIEW OF CONFLICT DISCLOSURES ARE MADE BY THE GENERAL COUNSEL AND CHIEF COMPLIANCE OFFICER AND, AS APPLICABLE, THE CHAIR OF THE BOARD OR THE CONFLICT OF INTEREST AND COMMITMENT COMMITTEE, BASED UPON THE CLASSIFICATION OF PERSON MAKING THE DISCLOSURE. RESTRICTIONS IMPOSED ON PERSONS WITH A CONFLICT VARY, BASED UPON THE FACTS, AND MAY INCLUDE: PROHIBITION FROM PARTICIPATING IN A GOVERNING BODY'S DELIBERATIONS AND VOTING ON A GIVEN TRANSACTION OR SET OF TRANSACTIONS; RECUSAL FROM THE DECISION-MAKING PROCESS RELATING TO BUSINESS TRANSACTIONS (E.G., PURCHASING DECISIONS); PROHIBITION FROM PARTICIPATING AS A PRINCIPAL INVESTIGATOR IN RESEARCH; AND DISCLOSURE OF FINANCIAL INTEREST IN RESEARCH STUDY INFORMED CONSENT FORMS AND PUBLICATIONS. AS PART OF A CONFLICT MANAGEMENT PLAN, MONITORING TRANSACTIONS FOR CONFLICTS OF INTEREST IS DONE THROUGH REQUIRED DISCLOSURES AND UPDATES BY PERSONS COVERED BY THE ORGANIZATION'S CONFLICT OF INTEREST POLICIES AND A CONCURRENT REVIEW OF SUCH DISCLOSURES AGAINST TRANSACTIONS. CITY OF HOPE'S POLICY PROVIDES FOR DISCIPLINARY ACTION AGAINST PERSONS COVERED BY THE CONFLICT OF INTEREST POLICIES WHO DO NOT COMPLY WITH POLICY REQUIREMENTS. FORM 990, PART VI, SECTION B, LINES 15A AND 15B THE EXECUTIVE COMPENSATION AND GOVERNANCE COMMITTEE OF THE CITY OF HOPE BOARD OF DIRECTORS ("COMMITTEE"), PURSUANT TO A DELEGATION OF AUTHORITY FROM THE CITY OF HOPE BOARD OF DIRECTORS, IS RESPONSIBLE FOR SETTING THE COMPENSATION OF THE PRESIDENT AND CEO AND CERTAIN OTHER SENIOR EXECUTIVES. THE COMMITTEE ALSO SERVES AS THE EXECUTIVE COMPENSATION AND GOVERNANCE COMMITTEE OF THE MEDICAL FOUNDATION. THE DIRECTORS ON THIS COMMITTEE ARE INDEPENDENT AND ADHERE TO A STRICT CONFLICT OF INTEREST POLICY. DELIBERATION AND DECISION MAKING ARE SUBSTANTIATED IN THE MINUTES OF THE COMMITTEE'S MEETINGS. THE MINUTES ARE REVIEWED AND APPROVED AT THE NEXT MEETING OF THE COMMITTEE. AS PART OF THE DELIBERATION PROCESS, THE COMMITTEE RECEIVES ADVICE FROM AN INDEPENDENT, THIRD-PARTY COMPENSATION CONSULTANT WITH RESPECT TO EXECUTIVE COMPENSATION, INCLUDING REVIEW OF COMPARABLE AND BENCHMARK DATA, CURRENT COMPENSATION PHILOSOPHY, STRUCTURE, AND ADMINISTRATION OF THE EXECUTIVE CASH COMPENSATION PROGRAMS AT CITY OF HOPE AND AFFILIATES. THE COMMITTEE CARRIES OUT THE BOARD OF DIRECTORS' OVERALL RESPONSIBILITIES RELATING TO EXECUTIVE COMPENSATION. THE EXECUTIVE COMPENSATION PHILOSOPHY IS DESIGNED TO ASSIST IN ATTRACTING AND RETAINING THE CALIBER OF EXECUTIVE LEADERSHIP REQUIRED TO ENABLE CITY OF HOPE TO ACHIEVE THE HIGHEST LEVELS OF COMMUNITY BENEFIT, IMPACT TO CLINICAL CARE, QUALITY RESEARCH AND EFFICIENT PHILANTHROPIC DEVELOPMENT. THE COMMITTEE TARGETS THE 50TH PERCENTILE OF BASE SALARY AND THE 75TH PERCENTILE OF TOTAL CASH COMPENSATION OF THE MARKET IN WHICH CITY OF HOPE COMPETES FOR EXECUTIVES. UNDER THE AIP AND LTI DESCRIBED IN SCHEDULE J, A SUBSTANTIAL PORTION OF EXECUTIVE COMPENSATION IS LINKED DIRECTLY TO PERFORMANCE GOALS APPROVED IN ADVANCE BY THE COMMITTEE. AS A RESULT, PERFORMANCE COMPENSATION MAY VARY FROM YEAR TO YEAR. GOAL SETTING UNDER THE AIP IS TIED TO ANNUAL PERFORMANCE, INCLUDING THE ATTAINMENT OF SPECIFIC BUSINESS OBJECTIVES FOR STRATEGIC AND FINANCIAL PERFORMANCE AS WELL AS NON-FINANCIAL MEASURES SUCH AS PATIENT SATISFACTION AND QUALITY OF PATIENT CARE. THE LTI IS DESIGNED TO DRIVE LONG-TERM ORGANIZATIONAL PERFORMANCE AND TRANSFORMATION BY ALIGNING EXECUTIVES WITH THE MULTI-YEAR STRATEGIC PLAN AND INCENTIVIZING THEM TO ACHIEVE KEY ORGANIZATIONAL AND STRATEGIC OBJECTIVES AND GOALS. WITH THREE-YEAR VESTING PERIODS, THE LTI ALSO PROVIDES A MEANS FOR RETAINING KEY EXECUTIVE TALENT. THE COMMITTEE CONDUCTS ANNUAL COMPENSATION REVIEWS FOR EXECUTIVES AND CERTAIN KEY EMPLOYEES AND THIS WAS LAST COMPLETED ON December 14, 2018. THE COMPENSATION PROGRAMS AND RANGES FOR ALL OFFICERS AND KEY EMPLOYEES LISTED ON FORM 990, PART VII, AT THE SVP OR EQUIVALENT LEVEL AND ABOVE ARE REVIEWED BY THIS COMMITTEE. FORM 990, PART VI, SECTION C, LINE 19 THE MEDICAL FOUNDATION'S ARTICLES OF INCORPORATION ARE AVAILABLE TO THE PUBLIC FROM THE SECRETARY OF STATE. CITY OF HOPE AND AFFILIATES' AUDITED FINANCIAL STATEMENTS ARE AVAILABLE ON THE CITY OF HOPE WEBSITE, AND ITS CONFLICT OF INTEREST POLICIES ARE AVAILABLE BY WRITTEN REQUEST MADE TO THE CONFLICT OF INTEREST MANAGER. THE MEDICAL FOUNDATION'S BYLAWS ARE NOT MADE AVAILABLE TO THE PUBLIC. FORM 990, PART XI, LINE 9 UNREALIZED GAIN ON JOINT VENTURE $ 2,783,847 ADJUSTMENT OF INCOME FOR NSFVRO SCHEDULE K-1 TO BE REPORTED IN FISCAL YEAR 2019 $ -245,637 FORM 990 PART IX LINE 11G DESCRIPTION:PURCHASED SERVICES -OTHER TOTAL FEES:XXX-XX-XXXX FORM 990 PART IX LINE 11G DESCRIPTION:CONSULTING & MGMT FEES TOTAL FEES:26856499 FORM 990 PART IX LINE 11G DESCRIPTION:OTHER CONTRACTED SVS TOTAL FEES:10920373 FORM 990 PART IX LINE 11G DESCRIPTION:REGISTRY/STAFFING FEES TOTAL FEES:7562369 CITY OF HOPE 1500 EAST DUARTE ROAD DUARTE CA 91010 953435919 FUNDRAISING CA 501(C)(3) 7 NA false CITY OF HOPE NATIONAL MEDICAL CENTER 1500 EAST DUARTE ROAD DUARTE CA 91010 951683875 HOSPITAL CA 501(C)(3) 3 CITY OF HOPE true BECKMAN RESearch INSTitute 1450 EAST DUARTE ROAD DUARTE CA 91010 953432210 RESEARCH CA 501(C)(3) 4 CITY OF HOPE true THE TRANSLATIONAL GENOMICS RESEARCH INST 445 N 5TH STREET SUITE 600 PHOENIX AZ 85004 753065445 RESEARCH AZ 501(C)(3) 7 City of Hope true TGEN RESEARCH INSTITUTE FOUNDATION 445 N 5TH STREET SUITE 600 PHOENIX AZ 85004 331092191 FUNDRAISING AZ 501(C)(3) 7 City of Hope true SOUTHERN CA RADIATION ONCOLOGY PO BOX 819067 DALLAS TX 75381 MGMT SERVICES CA COH MED FDN RELATED 0 35051333 false 0 false 0.50100 false false true false false false false false false true true true true false true true true false false CITY OF HOPE NATIONAL MEDICAL CENTER L 77255602 FMV CITY OF HOPE NATIONAL MEDICAL CENTER M 5150491 FMV CITY OF HOPE NATIONAL MEDICAL CENTER O 8217169 FMV CITY OF HOPE NATIONAL MEDICAL CENTER P 9854399 FMV CITY OF HOPE NATIONAL MEDICAL CENTER Q 6196078 FMV BECKMAN RESEARCH INSTITUTE OF CITY OF HOPE P 68499 FMV SOUTHERN CA RADIATION ONCOLOGY M 11182159 FMV