2019-08-14T12:35:46-05:00 2018-09-30 450250958 Eide Bailly LLP 800 Nicollet Mall Ste 1300 Minneapolis MN 554027033 990 2017-10-01 362167884 St Margaret's Hospital STMA 8156642700 600 East First Street Spring Valley IL 61362 Timothy Muntz President/CEO 8156642700 2019-08-13 1 Kim Hunwardsen CPA P00484560 6122536500 2019-08-13 216.147.181.47 2019-08-13 14:02:38 CD P B602D594AFD2B0B327E07A06F36CA6A7E42546D0 330E77A2EC15986A2DC713C7FDB26B906589BB96 2017 2019-02-21 02:37:17Z St Margaret's Health Timothy Muntz 600 East First Street Spring Valley IL 61362 90163288 0 0928 X www.aboutsmh.org X 1903 IL Provide health care services to improve the health of the people in the community 11 8 847 119 20659 0 403644 386199 85731969 88635636 807586 972730 51476 72804 86994675 90067369 49725 51150 0 0 41576853 44747110 0 0 0 42012641 47642582 83639219 92440842 3355456 -2373473 97007727 99398411 36297396 40041201 60710331 59357210 X St. Margaret's Health, in union with the Sisters of Mary of the Presentation, is committed to the values of Catholic health care in caring for the needs of our patients and their families, the community and one another. Through our belief in God and our respect for life, we provide holistic quality health care with dignity and compassion. 0 0 80939519 51150 88635636 St. Margaret's Health has a tradition of serving the poor and others in the area surrounding Spring Valley for over 100 years. Following in the footsteps of Jesus Christ, St. Margaret's Hospital is reaching out to the poor and those most in need. The presence of St. Margaret's Hospital means much more than dollars and cents. The value of services to those in need has been more than a financial sheet can describe, because sometimes the smaller programs do the most good and because the organization cannot possibly count up all the services. St. Margaret's Hospital has been a leader in the community, helping others to see the need to respond to the needs of the poor.St. Margaret's Hospital had 7,131 patient days in fiscal year 2018 with 2,272 admissions and 2,278 discharges. Total Clinic visits were 141,679 and outpatient visits were 158,296.The Hospital provides care to patients who meet certain criteria under its charity care policy without charge or at amounts less than established rates. Because the Hospital does not pursue collection of amounts determined to qualify as charity care, they are not reported as revenue. The amounts of charges foregone for services provided under the Hospital's charity care policy were $2,782,404 for the year ended September 30, 2018. Total direct and indirect costs related to these foregone charges, by using methodology of the Catholic Health Association of the United States for the year ended September 30, 2018 were approximately $1,012,000. In addition, the Hospital provides services to other medically indigent patients under certain government reimbursed public aid programs. Such programs pay providers amounts which are less than established charges for the services provided to the recipients, and for some services the payments are less than the cost of rendering the services provided. The Hospital also commits significant time and resources to endeavors and critical services which meet otherwise unfulfilled community needs. Many of these activities are sponsored with the knowledge that they will not be self-supporting or financially viable. 80939519 1 1 0 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 0 0 0 0 0 0 0 0 1 1 1 0 1 0 0 0 0 0 0 1 0 0 0 0 0 0 1 0 0 0 1 124 0 1 847 1 1 1 0 0 0 0 0 0 0 0 0 X 11 8 1 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 0 0 0 X Kim Santman 8156641328 600 East First Street Spring Valley IL 61362 Joyce McCullough Chairperson 0.50 0.00 X X 0 0 0 James A Andreoni Vice Chairperson 0.50 0.00 X X 0 0 0 Aaron K Alton Director-President SMP Health 1.00 42.00 X X 0 755218 53895 Dr Richard Twanow Director 40.00 0.00 X 204848 0 29934 Sr Anne Germaine Picard Director 0.50 40.00 X 0 0 0 Dr John McCormick Director 0.50 0.00 X 0 0 0 Sr Dorothy Bertsch Director 0.50 40.00 X 0 0 0 Harold Read Director 0.50 0.00 X 0 0 0 Christian Cyr Director 0.50 0.00 X 0 0 0 Dr Geetha DoddaDirector Medical Staff Pres (thru July) 0.50 0.00 X 0 0 0 Dr Eric SantosDirector Medical Staff Pres (as of August) 0.50 0.00 X 0 0 0 Timothy Muntz President/CEO 40.00 0.20 X X 0 404352 48584 Kim Santman VP of Finance 40.00 0.00 X 0 233340 40877 Dr Paul Perona Physician 40.00 0.00 X 1236659 0 58080 Dr Dale Chilson Physician 40.00 0.00 X 1160321 0 40376 Dr Michael Shin Physician 40.00 0.00 X 1202654 0 58247 Dr Ramon Inciong Physician 40.00 0.00 X 514428 0 40376 Dr Thaw Tun Physician 40.00 0.00 X 493315 0 37142 4812225 1392910 407511 54 0 1 0 SMP Health Systems 1202 Page Drive SW Fargo ND 58106 Administrative services 3002417 EPSS North Regions LLC 12528 SR 78 Havana IL 62644 Contract emergency physicians 1265377 Anesthesia Associates LTD 2540 Hanford Lane Aurora IL 60502 Contract anesthesia services 1231000 1033 Ambulance Serivce LTD 3 Wolfer Industrial Park Spring Valley IL 61362 Ambulance services 850186 Quest Diagnostics 506 East State Parkway Schaumburg IL 60173 Contract lab testing 381302 33 107607 16474 262118 386199 Patient service revenue 622110 87625423 87625423 Employee retail pharmacy 446110 244614 244614 Congregate Living 900099 152016 152016 Medicare meaningful use 900099 80001 80001 Change in value of Foundation 900099 -24161 -24161 557743 557743 88635636 971224 971224 168723 95919 72804 72804 20659 52145 1506 0 1506 1506 1506 90067369 88635636 20659 1024875 X 51150 51150 217538 217538 23322 23322 37305825 34094636 3211189 831649 760016 71633 3906906 3571362 335544 2461870 2251207 210663 119566 119566 58175 58175 14529943 11671339 2858604 1501283 800 1500483 4221550 3519457 702093 1182584 1169782 12802 116772 79253 37519 163961 133467 30494 965103 965103 6221220 6221220 1708473 612533 1095940 Medical supplies 10215807 10215807 Repairs and maintenance 3488398 2325146 1163252 Bad debt expense 2948477 2948477 Dues & memberships 201270 107904 93366 92440842 80939519 11501323 0 2021019 2900796 168895 168895 15939356 13838930 115393 63777 2214033 2121512 512383 662115 111124088 65501197 44674905 45622891 1903788 2096128 28403498 30845033 409841 388356 644616 689978 97007727 99398411 6547384 7118414 24108088 26388061 5641924 6534726 36297396 40041201 X 60167285 58636022 505046 683188 38000 38000 60710331 59357210 97007727 99398411 X -2373473 1458786 -438434 X X 0 1 X 0 0 X 385690 2841557 3227247 1258509 70245827 39350664 32153672 5775 31955484 23703910 8257349 85526 4345720 2446623 1984623 45622891 SMPHS pooled investment funds 30845033 F 30845033 Deferred compensation obligation 1992155 Estimated health claims 751207 Estimated third-party payor settlements 3581000 Construction accounts payable 210364 6534726 X 88303584 1458786 -2969962 -1511176 89814760 252609 252609 90067369 89510942 18577 18577 89492365 2948477 2948477 92440842 Part X, Line 2: The Hospital is organized as an Illinois nonprofit corporation and has been recognized by the Internal Revenue Service (IRS) as exempt from federal income taxes under Internal Revenue Code Section 501(c)(3). The Hospital is annually required to file a Return of Organization Exempt from Income Tax (Form 990) with the IRS. In addition, the Hospital is subject to income tax on net income that is derived from business activities that are unrelated to its exempt purpose. The Hospital files an Exempt Organization Business Income Tax Return (Form 990-T) with the IRS to report its unrelated business taxable income. The Hospital believes that it has appropriate support for any tax positions taken affecting its annual filing requirements, and as such, does not have any uncertain tax positions that are material to the financial statements. The Hospital would recognize future accrued interest and penalties related to unrecognized tax benefits and liabilities in income tax expense if such interest and penalties are incurred. The Hospital's Form 990-T and other income tax filings required by state, local, or non-U.S. tax authorities are no longer subject to tax examination for the years before 2015. Part XI, Line 2d - Other Adjustments: Change in equity in gains of investees included in income per financial stmt -21,485. Provision for bad debts included in expenses for Form 990 -2,948,477. Part XI, Line 4b - Other Adjustments: Contributions for long-lived assets included in revenue for Form 990 101,217. Temporarily restricted contributions included in revenue for Form 990 194,130. Rental expenses included in revenue for Form 990 -18,577. Change in value of Foundation included in revenue for Form 990 -24,161. Part XII, Line 2d - Other Adjustments: Rental expenses included in revenue for Form 990 18,577. Part XII, Line 4b - Other Adjustments: Provision for bad debts included in expenses for Form 990 2,948,477. 1 1 X 1 X 1 X 1 1 1 0 1 1 1 2166 980000 980000 0.01100 1 9685 13745330 6994679 6750651 0.07540 2 11851 14725330 6994679 7730651 0.08640 242 13493 114497 1640 112857 0.00130 1 8000 8000 0.00010 2 209 63797 6750 57047 0.00060 43 1839 21984 21984 0.00020 288 15541 208278 8390 199888 0.00220 290 27392 14933608 7003069 7930539 0.08860 11 14520 14520 0.00020 11 14520 14520 0.00020 0 2948477 395096 19250533 24919019 -5668486 X 1 1 1 1 St Margaret's Hospital 600 East First Street Spring Valley IL 61362 www.aboutsmh.org 0002576 X X X 12 Provider based clinics St Margaret's Hospital 1 0 0 1 X X X X X X X X X 15 1 0 0 1 X www.aboutsmh.org/assessments/ X 1 15 1 www.aboutsmh.org/assessments/ 0 1 X 150.000000000000 250.000000000000 X X X X 1 1 X X X X X 1 X www.aboutsmh.org/financialassistance.html X www.aboutsmh.org/financialassistance.html X www.aboutsmh.org/financialassistance.html X X X X X X 1 X 0 X X X X 1 X 0 1 St. Margaret's Hospital Part V, Section B, Line 5: In order to engage the entire community in the CHNA process, a collaborative team of health professional experts and key community advocates were included in the survey process, and were selected to ensure representation of the broad interests of the community. Specifically, team members included representatives from St. Margaret's Health, members of the Bureau, Marshall, and Putnam County Health Departments, and administrators from key community partner organizations. Engagement occurred throughout the entire process, resulting in shared ownership of the assessment. Specifically, members of the collaborative team consisted of individuals with special knowledge of and expertise in the healthcare of the community. St. Margaret's Hospital Part V, Section B, Line 11: The following needs continue to be addressed throughout FY2018.Nutrition, Physical Activity and Obesity1. New Year/New You Program: include topics addressing exercise, dietary health for general wellness, prevention of heart disease, diabetes and other health conditions2. Heart Program - cover healthy behaviors (including nutrition and exercise) related to heart disease3. Provide education for healthy behaviors for cancer prevention, wellness during cancer treatment, sustaining healthy behaviors to prevent recurrence to Pink Ribbon Club (breast Cancer Support Group)4. Children's Programs - will include education on exercise, nutrition and healthy behaviors for ages Kindergarten through 8th grade to help prevent obesity and related diseases5. Kid Camp - (In partnership with Illinois Valley Community College and University of Illinois Extension Service ) Girl Talk Boys Will Be Boys6. Attend area health fairs and provide information on healthy life style, nutrition, activity for prevention of obesity, diabetes, heart disease for a variety of focus groups including young adults, work force, and seniors7. Business/Community Group presentations on healthy life style, exercise, nutrition8. School Physicals provide individual counseling for students who were overweight or obese9. Program to Special needs classes on personal health and healthy choices10. Babysitting class cover activity and nutrition for children BP/BS screenings with personal counseling on activity, nutrition and healthy lifestyles11. Cholesterol screenings with personal counseling on activity, nutrition and healthy lifestyles12. Health races provide sponsorship and educational materials about healthy lifestyles, exercise and nutritionMental Health and Substance Abuse1. Community Partnership Against Substance Abuse (CPASA) alcohol and drug awareness programs, prevention programs for general public, P2D2 take back prescription drug program to keep off the streets, Hidden in Plain sight program to help parents be more aware of signs of potential drug abuse in teens, work with school officials for programs on drug awareness and prevention, supported and attended community town meetings concerning heroin problems arising in our community.2. Support Tar Wars (with Bureau, Marshall and Putnam County Health Department ) and Dare programs (with local police departments)3. Partner with area health departments and community organizations in a drug screening program at local high schools to help identify students who may need assistance with a prevention and avoidance program for at-risk students4. Implement Depression Screening for all scheduled appointments at St. Margaret's clinics5. Suicide Prevention walks provide educational materials on warning signs and options for treatment of depression6. Assist with drug screenings at North Central Behavioral Health System (NCBHS)for their clients in treatment programs7. Provide representation on Area- wide Community Coalition on Drug Abuse8. Add Physician Assistant to Family Practice/Psychiatrist practice to increase access for mental health visits St. Margaret's Hospital Part V, Section B, Line 15e: St. Margaret's Hospital posts a summary of its charity care policy in the admissions/registration areas, waiting rooms, emergency rooms, and other areas the organization finds beneficial to patients. The policy and contact information on financial assistance is provided and discussed during the admission and discharge process. Each patient bill includes an explanation on how to inquire about financial assistance or an uninsured discount. St. Margaret's Hospital Part V, Section B, Line 16j: Brochures are displayed at points of registration discussing availability of Financial Assistance. Upon notification from Registration regarding Self Pay Admissions, Patient Account clerk or staff member from another department tries to contact the patient to discuss availability of financial assistance. Utilization Review distributes applications when financial assistance is requested from nursing or the patient, or upon admission in the a nursing unit when possible. Clinic Clerks distribute applications when requested by the patient, or if the patient informs them of problems in paying their bills. Bills, letters regarding balances, and statements sent to the patient explain how to inquire about financial assistance or an uninsured discount. Qualified patients seeking help or options in paying bills for St. Margaret's Health services, will be offered financial assistance as an option. If a patient chooses to apply for financial assistance, they are given an "Application for Financial Assistance" which is to be completed according to directions on application and returned to the Patient Accounts Center. St. Margaret's Hospital Part V, Section B, Line 24: All individuals eligible under the Hospital's financial assistance policy are provided a discount for emergency and other medically necessary care. FAP-eligible patients without insurance may be charged gross charges on elective procedures. 1 1 - St Margaret's DME 600 East First Street Spring Valley IL 61362 Durable medical equipment Part I, Line 3c: In addition to using FPG for purposes of determining charity care, St. Margaret's Hospital makes special provisions for certain patients. Patients eligible for Illinois Medicaid who receive services not covered by the program may be granted 100% financial assistance on non-covered services. Homeless patients are granted 100% financial assistance upon verification of homelessness. Part I, Line 6a: The community benefit report is available to the public upon request. Part I, Line 7: Charity care expense was converted to cost on line 7a based on an overall cost to charge ratio addressing all patient segments. Unreimbursed Medicaid on line 7b was calculated using the costing methods to prepare the cost reports. Community health improvement services, line 7e, health professions education, line 7f, and cash and in-kind donations, line 7i were reported from actual expenses and revenues recorded in the general ledger. Subsidized health services reported on line 7g were calculated using a cost to charge ratio derived from Worksheet 2. Part I, Ln 7 Col(f): The amount of bad debt expense removed from total expenses to determine the percentage was $2,948,477. Part II, Community Building Activities: The Hospital worked with EMS services in the area to help coordinate services and worked with the county health department to help with emergency preparedness and disaster drills. Part III, Line 2: St. Margaret's Hospital determines bad debt expense by estimating what may not be collectible from patient balances after taking into account appropriate discounts and payments (uninsured discount, eligible charity care discounts/adjustments, and payments received and expected to be received). Payments on accounts that were written off as bad debt reduces bad debt expense.Bad debt expense on line 2 is reported at charges as presented on the financial statements. Part III, Line 3: The estimated amount of the Organization's bad debt expense attributable to patients eligible under the Organization's charity care policy is based on 13.4% of individuals living below the federal poverty level. The amount on line 3 is an estimated amount that could reasonably be attributable to patients who likely would have qualified for financial assistance under the charity care program if sufficient information had been obtained to make a determination of their eligibility. Part III, Line 4: The footnote to the Organization's financial statements can be found on page 9 of the attached audited financial statements. Part III, Line 8: The Medicare program does not cover all the costs of caring for these patients. Providing these services is essential to these patients and the community and increases their access to healthcare services. Therefore, the entire Medicare shortfall is considered a community benefit. The Organization reported only those allowable costs and Medicare reimbursements reported in the Medicare Cost Report for the year.Total revenue received from Medicare is the gross reimbursement plus settlement. Both total revenue received from Medicare and the Medicare allowable costs are reported from the Medicare Cost Report. The Medicare Cost Report is completed based on the rules and regulations set forth by the Centers for Medicare and Medicaid Services. Part III, Line 9b: Homeless patients and Illinois Medicaid patients will not be subject to any collection efforts. When a patient is in the process of applying for financial assistance there will be no collection efforts. After a determination of financial assistance, any personal portion due follows the same collection procedures as other accounts. Collection procedures include past due notices and phone calls and then the account is referred to a collection agency. Part VI, Line 2: St. Margaret's Hospital identifies unmet community health needs by participating in community coalitions, partnerships, boards, committees, commissions, advisory groups, and panels. For example, Hospital representatives met with the local health department to jointly evaluate the needs of the community. In particular, Hospital staff met with local mental health service providers to discuss unmet mental health needs in the community. On a monthly basis, the Hospital reviews its internal patient surveys. On a tri-annual basis, the Board meets with select medical staff members and Hospital staff to develop a strategic plan, which addresses the demographics of the communities served. The Hospital provides health education and outreach at various locations out in the community, where participants are educated on the importance of disease preventions and early detection. The Hospital supports a local free clinic by providing free lab services. This allows employed physicians to donate their services and provide financial assistance. Part VI, Line 3: St. Margaret's Hospital posts a summary of its charity care policy in the admissions/registration areas, waiting rooms, emergency rooms, and other areas the organization finds beneficial to patients. The policy and contact information on financial assistance is provided and discussed during the admission and discharge process. Upon notification from Registration regarding self-pay admissions, the Patient Account clerk or staff member from another department tries to contact the patient to discuss availability of financial assistance. Also, information on other programs, such as government benefits, Medicaid or state programs, are discussed with patients. Assistance is also provided for individuals applying for government benefits. Patients are encouraged to explore their options and use our resources to obtain assistance with their bills. Each patient bill includes an explanation on how to inquire about financial assistance or an uninsured discount. Part VI, Line 4: St. Margaret's Hospital is a 44-bed acute care hospital located in Spring Valley, IL. Spring Valley, IL is a city situated on the Illinois river in the southeastern corner of Bureau County, IL. Bureau County is located in the Northcentral region of Illinois. The population is approximately 5,365 people. Spring Valley is part of the "Illinois Valley Micropolitan" (La Salle, Peru, and Spring Valley) which total approximately 25,000 people. Wal-Mart is the largest employer and has a labor force from over 100 different zip codes that easily commute to Spring Valley. Other common industries are manufacturing, retail trade, construction and transportation and warehousing. The median household income was $43,636 and the unemployment rate was 4.9%. Medicare and public aid make up 60% of our total patient service revenue. The nearest city with a population greater than 50,000 is Peoria, IL located 47 miles SW of Spring Valley. Part VI, Line 5: St. Margaret's Hospital Board is comprised of 11 members: Timothy Muntz, CEO, two sisters from the Sisters of Mary of the Presentation, one Hospital physician, the President of the Sisters of Mary of the Presentation Health Corporation, a related, controlling organization, and six community members which includes one Medical Staff President. To meet the needs of our community, the Hospital extends privileges to medical staff that are qualified and licensed. Our organization is committed to be involved and helpful to the community. Our employees serve on several committees working to improve the health and lives of the community. The emergency room is open 24 hours a day and everyone is treated regardless of their ability to pay. The Hospital operates a separate Foundation which conducts fundraising activities and solicits funds that are utilized to further the exempt purpose of the Hospital. The Foundation makes regular contributions to the Hospital for items that directly improve patient care. Surplus funds are reinvested in patient care and facility upgrades.During the past year, we provided 2,166 patients with free or reduced charity care, including free lab services for patients treated at Bureau County Health & Wellness, a free clinic in Princeton. In addition to our charity care, we also saw $2.9 million in Hospital bills go unpaid. This amount was written off as bad debt. These figures show that despite our nation's complex system of paying for health care through the government, insurance companies, and third-party payors, there are still many who are not covered by these programs. They are the poor who are ineligible for governmental support, the unemployed, and those employed by companies that don't offer adequate medical insurance.We are committed to improving the health of the people in our communities. Some of the services we provide to the community at a reduced price or free of charge include the following:* We participate in various health fairs throughout the area, providing information on health issues.* To help in the early detection of illness, we provide a number of health screenings at no cost or at prices less than our cost for services, such as blood pressure, blood sugar, and cholesterol screenings.* We provide various education programs for items such as diabetes, joint replacements, arthritis, babysitting, healthy eating and physical fitness. As an extension of these programs, we also provide numerous support groups for our patients suffering from chronic illness, all offered free to the public.* We provide flu shots in the community at prices less than our costs.* We provide skilled nursing care in a Swing Bed setting, even though the reimbursement from federal programs does not justify its existence.* We donate to various healthcare organizations, including Abigail Women's Clinic and American Cancer Society. We provide free food to the homeless shelter. Part VI, Line 6: We are an affiliate of the Sisters of Mary of the Presentation Health Corporation. St. Margaret's Hospital operates in accordance with the mission, vision, and values of the Sisters of Mary of the Presentation Health Corporation. Our annual budgeting process includes an assessment of how our budget demonstrates a commitment to the values of the system and the system works to ensure we are always mindful of our duty to care for the poor and those in need. St. Margaret's Hospital has a Strategic Plan developed from themes set forth by the Health System for all affiliates. The strategic plan is an active document which St. Margaret's Hospital works on continuously and reports back to the Health System on our progress toward established goals which again, align with the mission, vision, and values of the organization. 1 LaSalle Business Association PO Box 182 LaSalle IL 61301 262000923 City of Spring Vly 9000 Jazz/Blues Festival Sponsor Perfectly Flawed Foundation 240 1st Street LaSalle IL 61301 820596153 501(c)(3) 5500 Sponsor 2 0 Part I, Line 2: St. Margaret's Hospital provides donations and sponsorships to local organizations. Organization's make requests and the board makes a determination of funding. Each organization provides documentation of what the funding was used for. X 1 1 0 0 0 0 0 0 0 0 0 Aaron K Alton Director-President SMP Health 0 621590 0 65206 0 68422 0 28386 0 31883 0 815487 0 0 Dr Richard Twanow Director 169956 0 7294 0 27598 0 15300 0 19401 0 239549 0 0 0 Timothy Muntz President/CEO 0 344640 0 31327 0 28385 0 28653 0 23174 0 456179 0 0 Kim Santman VP of Finance 0 214040 0 10390 0 8910 0 14475 0 29130 0 276945 0 0 Dr Paul Perona Physician 786506 0 439228 0 10925 0 22800 0 36005 0 1295464 0 0 0 Dr Dale Chilson Physician 286229 0 860150 0 13942 0 4800 0 37823 0 1202944 0 0 0 Dr Michael Shin Physician 651916 0 533112 0 17626 0 22800 0 36674 0 1262128 0 0 0 Dr Ramon Inciong Physician 233710 0 98996 0 181722 0 4800 0 37923 0 557151 0 0 0 Dr Thaw Tun Physician 164434 0 93174 0 235707 0 4800 0 34589 0 532704 0 0 0 Part I, Line 1a St. Margaret's Hospital provides travel for Board Member companions in the years Board Members are required to attend a retreat. The retreat is intended for education on ethics, finance and healthcare. Spousal travel is not taxed. Part I, Line 3 St. Margaret's Hospital does not pay compensation to Timothy Muntz, President/CEO. This individual is compensated by Sisters of Mary of the Presentation Health System, a related organization, for his services at the Hospital. Sisters of Mary of the Presentation Health System uses one or more of the methods on Part I, question 3 to determine his compensation. Emily Santman Daughter to VP of Finance, Kim Santman 23322 Compensation and benefits as an employee 0 Form 990, Part VI, Section A, line 2 Timothy Muntz, Kim Santman, and Aaron Alton have a business relationship. Form 990, Part VI, Section A, line 6 The sole member of the organization is the Sisters of Mary of the Presentation Health System. Form 990, Part VI, Section A, line 7a The member is entitled to vote in the election of Directors and to cast one vote for each Director to be elected. The member is also entitled to one vote on every other matter to be voted on by the member. Votes cast on behalf of the member are cast by the Chief Executive Officer of Sisters of Mary of the Presentation Health System. Form 990, Part VI, Section A, line 7b The authority to act on the following matters is exclusively vested in the member of the organization: 1. any change in the philosophy, objectives and purposes of the organization; 2. amendment of the articles of incorporation and bylaws; 3. the election or removal of the Directors; 4. merger or consolidation with any other organization; 5. dissolution of the organization or the sale, lease or exchange of all or substantially all of its property or assets; 6. the sale, lease, transfer or encumbrance of any land, buildings or other assets owned by the organization or in which the organization has or will have equitable or legal title; 7. approval of the annual operating and capital budgets; 8. appointment of the Chief Executive Officer. Form 990, Part VI, Section A, line 8b The organization does not have committees with authority to act on behalf of the governing body. Form 990, Part VI, Section B, line 11b The Form 990 is made available to the Board of Directors. The President and Vice President of Finance review the Form 990. Form 990, Part VI, Section B, line 12c Each Director and officer must submit in writing to the Chairperson of the Board and the CEO a list of all business or other organizations of which the individual is an officer, director, trustee, member, owner (either as a sole proprietor or partner), shareholder with a 5% or greater interest in all outstanding voting shares, employee or agent, with which the organization has, or might reasonably in the future enter into, a relationship or a transaction in which the Director would have conflicting interests. Each written statement is resubmitted with any necessary changes each year. The Chairperson of the Board reviews the statements of the Directors and the Vice Chairperson of the Board reviews the statement filed by the Chairperson. When a conflict arises the affected Director makes known the potential conflict, whether disclosed by written statement or not, and after answering any questions, will withdraw from the meeting for as long as the matter continues under discussion. Should the matter be brought to a vote, the affected Director will not vote on it. In the event the Director does not withdraw voluntarily, the Chairperson of the Board as authority to require the Director to remove himself from the room during both the discussion and vote on the matter. In the event the conflict of interest affects the Chairperson, the Vice Chairperson has authority to require the Chairperson remove himself in the same matter. If the matter is the item of business for which a special meeting of the Board was called, the affected Director will not be counted to establish a quorum, and he/she will not participate in the deliberations or vote on it. Form 990, Part VI, Section B, line 15 The Organization's President/CEO, other officers, and key employees are compensated by Sisters of Mary of the Presentation Health System, a related organization. The compensation process is determined by Sisters of Mary of the Presentation Health System. The Sisters of Mary of the Presentation Health System Board of Trustees directly engages a nationally recognized independent compensation consulting firm to review the total compensation arrangements of the officers and key employees. The Sisters of Mary of the Presentation Health System Board of Trustees approves all compensation based on comparable data and documents their decision in the meeting minutes. Form 990, Part VI, Section C, line 19 The Organization's governing documents, conflict of interest policy, and financial statements are not available to the public. Financial information is available through the public disclosure copy of the 990. Form 990, Part IX, line 11g Purchased services: Program service expenses 10,275,541. Management and general expenses 830,194. Fundraising expenses 0. Total expenses 11,105,735. Professional fees: Program service expenses 65,372. Management and general expenses 2,009,814. Fundraising expenses 0. Total expenses 2,075,186. Consulting fees: Program service expenses 107,831. Management and general expenses 0. Fundraising expenses 0. Total expenses 107,831. Contract Labor: Program service expenses 1,222,595. Management and general expenses 18,596. Fundraising expenses 0. Total expenses 1,241,191. Form 990, Part XI, line 9: Change in equity of investment in St. Margaret's Health Organization 1,170. Equity transfer to Sisters of Mary of the Presentation Health System -50,122. Equity transfer to SMP Enterprises Illinois Inc. -375,000. Change in equity in investment of Valley Regional Health Services -22,655. Change in beneficial interests in assets held by others 8,173. Form 990, Part XII, Line 2c: The governing Board of Sisters of Mary of the Presentation Health System assumes responsibility for oversight of the audit for St. Margaret's Hospital. Sisters of Mary of the Presentation Health System 1202 Page Drive SW Fargo ND 58103 450359620 Facilitates management and operations of ten related facilities ND 501(c)(3) Line 12a, I SMP Health Ministry 0 St Margaret's Hospital Foundation 600 East First Street Spring Valley IL 61362 364042262 Provide support to St. Margaret's Hospital IL 501(c)(3) Line 12a, I SMP Health System 0 Prairieland Home Care 1102 Page Drive SW Fargo ND 581060007 450391192 Home health and supportive services ND 501(c)(3) Line 10 SMP Health System 0 Presentation Medical Center 213 2nd Avenue NE Rolla ND 583670759 450227391 Acute care hospital ND 501(c)(3) Line 3 SMP Health System 0 St Aloisius Hospital 325 East Brewster Street Harvey ND 58341 450226729 Provision of health care services ND 501(c)(3) Line 3 SMP Health System 0 St Andrew's Hospital 316 Ohmer Street Bottineau ND 58318 450226426 Acute care critical access hospital ND 501(c)(3) Line 3 SMP Health System 0 St Andrew's Hospital Foundation 316 Ohmer Street Bottineau ND 58318 450413201 Provide support to St. Andrew's Hospital ND 501(c)(3) Line 12a, I SMP Health System 0 Sisters of Mary of the Presentation Long Term Care 1202 Page Dr SW Fargo ND 58103 752999939 Provide extended care and medically related services ND 501(c)(3) Line 10 SMP Health System 0 St Andrew's Bottineau Clinic LLC 316 Ohmer Street Bottineau ND 58318 450451306 Provision of health care services ND N/A Valley Regional Health Services L3C 4391 Venture Drive Peru IL 613541014 273891281 Outpatient oncology services IL St Margaret's Hospital Related 252000 495030 0 1 0.50000 SMP Enterprises PO Box 10007 Fargo ND 581060007 363486506 Collection Agency ND N/A C 0 SMP Enterprises - IL 600 East 1st Street Spring Valley IL 61362 363456566 Healthcare Management IL N/A C 0 0 0 1 0 0 0 0 0 0 1 0 1 1 1 1 1 1 1 0