2018-11-12T15:33:27-06:00 2017-12-31 450250958 Eide Bailly LLP 800 Nicollet Mall Ste 1300 Minneapolis MN 554027033 990 2017-01-01 810459472 St John's Foundation STJO 4066555600 3940 Rimrock Road Billings MT 591020199 Jerry Pearsall Vice President of Finance 4066555600 2018-11-12 1 Kim Hunwardsen CPA P00484560 6122536500 2018-11-12 72.175.213.18 2018-11-12 08:53:33 MS P B1517DAAED479AA3B0236E79C14EA2E11B9BE589 B602D594AFD2B0B327E07A06F36CA6A7E42546D0 2017 2019-02-21 02:37:17Z David Trost 3940 Rimrock Road Billings MT 591020199 1106388 0 X WWW.SJLM.ORG/FOUNDATION.HTML X 1989 MT To support the mission of St. John's Lutheran Ministries, Inc. 12 12 0 100 0 0 440114 545841 0 0 223021 560547 0 0 663135 1106388 158132 135682 0 0 0 0 0 61745 127326 109589 165258 267721 362685 395414 743703 5984413 6894161 464239 577312 5520174 6316849 X Our mission is to inspire philanthropic action to support the mission of St. John's Lutheran Ministries, Inc. 0 0 195942 135682 The primary exempt purpose of St. John's Foundation is to generate and provide support, financial and otherwise, that furthers the mission and ministry of our corporate member, St. John's Lutheran Ministries, Inc., a not-for-profit 501(c)(3) corporation.St. John's Foundation was established in 1989 in order to bring focus to fund-raising efforts, special campaigns, annual appeals, capital structures, special events and community relations. Those components have proven to be essential in serving to link the needs of the community of St. John's with internal and external resources.(Continued on Schedule O)St. John's needs the financial support of those who share our vision of quality care to all people, regardless of their financial status. Underlying that commitment is our Lord's passion to care and serve those that are most in need. Through the prudent management of gifts, 2017 was a very successful year that allowed the Foundation to support the St. John's mission of "providing living opportunities within nurturing environments of hope, dignity, and love."Support to ResidentsAs a ministry of the church and a not-for-profit corporation, St. John's is committed to providing a continuum of housing opportunities and supportive services primarily to the elderly. St. John's has made a commitment that no one will be turned away or asked to leave because of inability to pay. We served 1,186 seniors on our campus here in Billings in 2017. St. John's served an additional 764 seniors in outlying communities. The below are examples of that support:1) Many residents are exhausting their financial resources sooner than anticipated. The Annual Fund supports those residents who cannot meet their financial needs. In 2017, resident subsidies included:* $7,318 rent subsidy for Chapel Court residents,* $3,972 in subsidies for resident needs.2) One of the great works of St. John's is our remarkable Pastoral Care program. Spiritual support, worship, and bible study are at the heart of our ministry to residents. In 2017, the Foundation provided $51,869 to support the cost of Pastoral Care activities across campus. St. John's believes we must provide our elderly residents with more than just room and board. Accordingly, we have ministers and chaplains on staff to meet both the spiritual and emotional needs of our residents and staff.3) The majority of our residents are limited in their ability to leave campus and participate in meaningful activities. The St. John's Activities program provides entertainment, neighborly interaction and helps keep minds stimulated and healthy. The Foundation provided $58,234 in 2017 to help cover the cost of our activities program. This support allowed for funding trips to local attractions and shopping malls to give residents an opportunity to experience the community outside of the campus. This funding also provided numerous games, videos, and events on site to stimulate the interests of our elderly. 4) During 2014-2016, our fundraising efforts focused on the Legacy of Love (LOL) Campaign. Total gifts of $467,021 were received to remodel the rooms of our dementia wing to improve the lives of our residents afflicted with this terrible disease by affording them a more functional living situation. We began construction in 2015 and to date have spent $239,636 remodeling these rooms ($102,935 in 2017).Support to EmployeesSt. John's employees are the heart and soul of our organization. Many employees work in challenging environments, both physically and mentally. They are providing 24 hour per day care for a very vulnerable population. 1) The Foundation offers financial support to those staff members and their dependents who commit themselves to personal and career growth. In 2017, the Foundation awarded 12 scholarships (tuition reimbursements) in the amount of $18,261 to employees continuing their education at an accredited two or four-year institution. 2) Often times, through no fault of their own, employees may find themselves in an unexpected crisis. At any time, an employee may seek the resources of the Employee Crisis Fund through the Pastoral Care department with no questions asked. In 2017, 64 employees received $18,700 in support to help with such items as rent and utility assistance, prescription costs, vehicle repairs or school supplies for a child. 3) At Christmas, those employee families who do not have the means to enjoy the season are "adopted" by other employees, through our Share the Joy program, and given food and gifts to insure that they too have a wonderful Christmas. During 2017, we adopted 32 employee families through this program.Support to the CommunitySt. John's is a ministry serving more than just our staff and residents. We are committed to serving our community and those communities around us in any capacity we can. An example of that support is the Summer Concert Season: The Foundation's signature event is the Summer Concert Series. St. John's presents 5 free concerts for our residents and the outside community each summer, on our campus, at the Fred & Marie Miller Pavilion. From its humble beginnings in 1998 to a thriving series going strong for the last 20 years, the concerts have become a summer tradition for many. It is common to have close to 2,500 music lovers each week at the concerts with an annual attendance of 12,000 people. The Foundation could not undertake this endeavor alone and relies on the support of countless staff, volunteers and sponsors to help ensure its success. Direct costs, paid with sponsor contributions, allow the concerts to remain free for the community. Concerts have expanded to the Crossings and Willows campuses in recent years. Other Ministry SupportPreviously the St. John's Foundation Board voted to distribute endowment earnings equivalent to 5-6% of endowment value annually, paid on a quarterly basis, to St. John's Lutheran Ministries, Inc. During 2017 the Foundation distributed $190,019 to St. John's to help cover nursing home operating expenses, specifically the gap between our current cost of care and the Medicaid daily rate. Lutheran Social Services (LSS) of Montana is another ministry of St. John's. LSS is committed to bringing hope to those in need with adoption support services. These include birthparent counseling, adoptive family preparation, mental health counseling, search and reunion services, and post-adoption counseling. Donations that are designated for LSS offset these costs. In 2017, LSS served 318 individuals and had a role in the placement of seven children in forever homes. St. John's sponsors students from local colleges for clinical learning on our campus. In addition, we hold classes to train individuals interested in becoming a C NA. We had 66 CNA class graduates in 2017. St. John's continues to make a difference in the lives of families, residents, employees and our community every day. St. John's is a place where all people are recognized and celebrated as both givers and receivers of love, so the difference made in one person's life creates an enriching experience for someone else. Without the wonderful support of the community and donors, St. John's Foundation would not be able to exist. St. John's is truly grateful for the support given by talented and resourceful people that helps us remain one of the premier Senior Living and Long-Term Care facilities in the Northwest. 195942 1 1 0 0 0 0 0 0 0 1 1 0 0 0 1 1 0 1 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 1 10 0 1 0 0 0 0 0 0 0 0 0 0 0 X 12 12 0 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 0 0 0 X X Mark Beadle Controller 4066555601 3940 Rimrock Road Billings MT 59102 Claudia Baker President (Through May 7, 2017) 2.00 X X 0 0 0 Paige Spalding President (Beginning May 7, 2017) 2.00 X X 0 0 0 Harlan Krogh - Vice President (Beginning May 7, 2017) 2.00 X X 0 0 0 Bill Simmons Secretary 2.00 X X 0 0 0 Troy Nearpass Treasurer 2.00 X X 0 0 0 Mike Follet Director 2.00 X 0 0 0 Ann Christ Director (Through May 7, 2017) 2.00 X 0 0 0 Dave Movius Director 2.00 X 0 0 0 Rod Wilson Director 2.00 X 0 0 0 Clair Opsal Director (Through May 7, 2017) 2.00 X 0 0 0 James Walker Director (Through May 7, 2017) 2.00 X 0 0 0 Michael Fischer Director 2.00 X 0 0 0 Will Sappington Director (Beginning May 7, 2017) 2.00 X 0 0 0 Claire Leslie Director (Beginning May 7, 2017) 2.00 X 0 0 0 Jen Quanbeck Director (Beginning May 7, 2017) 2.00 X 0 0 0 Eric Nord Director (Beginning May 7, 2017) 2.00 X 0 0 0 David Trost President/CEO 5.00 35.00 X 0 86518 86348 Jerry Pearsall CFO 5.00 35.00 X 0 50133 81814 0 136651 168162 0 0 1 0 0 545841 124774 545841 263736 263736 296811 0 296811 296811 296811 1106388 0 0 560547 110103 110103 25579 25579 61745 61745 584 584 13430 13430 79073 13492 65581 1661 1661 1367 1367 2443 2443 711 711 2283 2283 Community Benefit 59010 59010 Real Estate Taxes 3446 3446 Community Development 1250 1250 362685 195942 39417 127326 362365 315116 14057 18953 654031 36382 619933 617649 4985399 5853838 2659 88605 5984413 6894161 34916 22079 429323 555233 464239 577312 X 3342472 3800435 610994 768103 1566708 1748311 5520174 6316849 5984413 6894161 X 743703 252683 -199711 X 0 1 X 1 0 X X 1 St John's Lutheran Ministries Inc 810288768 10 1 110103 260837 1 110103 260837 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 4962590 328127 827077 284972 5832822 4616181 380749 368108 402448 4962590 4751488 140879 -20872 255314 4616181 4564293 384819 198286 395910 4751488 4017623 374539 453384 281253 4564293 0.67190 0.29970 0.02840 0 0 607152 607152 46879 36382 10497 617649 Estimated Liability to Annuity Beneficiaries 555233 555233 X 717998 324371 324371 393627 712761 712761 1106388 362685 0 362685 0 362685 Part V, Line 4: St. John's Foundation has established several Board managed funds whose earnings will provide an income stream to support the mission of St. John's for years to come. The Board of Directors of St. John's Foundation is responsible for approving expenditures from these funds. The Board Managed Funds are as follows: The Nelles Staff Development Fund - Established in 2008 with a major gift from Ralph Nelles. Earnings from this endowment assist with staff education and development. The McCann Nurse Scholarship Fund - Established in 2010 with a gift from Paul McCann. It is to be used for the continuing education of our campus nurses. The Diteman House Maintenance Fund - Established in 2009 with a large gift from the estate of Hall Diteman. Earnings from this endowment will be used for maintenance of the house given to the Foundation by Mr. Diteman. Lillis Chapel Maintenance Fund - Established with a gift from Bert Lillis, this fund is restricted to maintain the Kathy Lillis Chapel. Inga Rygg Special Needs Fund - Established to cover special needs for the children/birth mothers of Lutheran Social Services of Montana (LSS). Dawes and Anonymous Endowments - Both established to support the general needs of the St. John's mission. St. John's Foundation solicits gifts to our endowments, both as cash gifts and planned gifts. Planned gifts have been primarily in the form of Current and Deferred Gift Annuities; many of these planned gifts to St. John's Foundation Endowments are eligible for the Montana Qualified Endowment Tax Credit. The Foundation has established endowment funds whose earnings will provide an income stream to support the mission of St. John's for years to come. The Board of Directors of St. John's Foundation is responsible for approving expenditures from these endowment funds. The Foundation's Endowments are as follows: Norman L & Mary Lou Sulenes Alzheimer's Endowment - Established in 2005, the Alzheimer's Endowment will support those affected by Alzheimer's or dementia and the staff who care for them. Mission Endowment - Proceeds from this endowment fund are to be used to support needs identified within the community. Currently, investment earnings are used to support residents living at St. John's who can no longer afford to live here. Spiritual Endowment Fund - To support Pastoral Care at St. John's and to help ensure that St. John's continues to be a spiritual home for our residents and staff. Faith and Leadership Endowment - To support the educational needs of leaders within the organization. Part X, Line 2: St. John's Foundation is organized as a Montana 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). St John's Foundation is annually required to file a Return of Organization Exempt from Income Tax (Form 990) with the IRS. St John's Foundation has determined they are not subject to unrelated business income tax and have not filed an Exempt Organization Business Income Tax Return (Form 990T) with the IRS. St. John's Foundation believes they have appropriate support for any tax positions taken affecting their annual filing requirements, and as such, do not have any uncertain tax positions that are material to the financial statements. St. John's Foundation 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. Part XI, Line 2d - Other Adjustments: Net assets released from restrictions for operations 221,902. Change in value of split-interest agreements 102,469. Part XI, Line 4b - Other Adjustments: Contributions included in fund balance on consolidated financial statements 302,264. Investment income included in fund balance on consolidated financial stmts 410,497. X X X X X 1 Bannack Group LLC PO Box 1823 Bozeman MT 59771 Campaign Assessment, Preparation, Implementation, and Mgmt. 0 80523 61745 18778 80523 61745 18778 1 St John's Lutheran Ministries Inc 3940 Rimrock Road Billings MT 59102 810288768 501(C)(3) 110103 To support mission of St. John's Lutheran Ministries, Inc. 1 0 Scholarships 12 18261 Resident Assistance 5 7318 Part I, Line 2: Disbursement of scholarships is made directly to the institute of higher education for the benefit of the particular grantee. Grantees are required to supply a transcript each semester or quarter to the St. John's Foundation to prove the grantee has completed the term the grant applied to. The organization also provides Grants to a related exempt organization and ensures the use of the funds are to further the exempt purpose of the organization. The board approves the grant to St. John's Lutheran Ministries, Inc. The purpose of this grant is to support the mission of St. John's Lutheran Ministries, Inc. Form 990, Schedule I, Part III: There were 12 scholarships given to 12 recipients. 0 0 0 0 0 0 0 0 0 David Trost President/CEO 0 84788 0 0 0 1730 0 86348 0 540 0 173406 0 0 Schedule J, Part I, Line 3: Compensation is paid to the CEO by a related organization. The related organization has a process in place for determining compensation using the methods described in Line 3. X 5 124774 FMV 0 0 1 1 Part I, Line 32b: Stock sales are sold through a third party. Form 990, Part VI, Section A, line 6 The sole member of the organization is St. John's Lutheran Ministries, Inc. Form 990, Part VI, Section A, line 7a Board members are nominated by Nominating Committee (made up of Ownership Congregation delegates/Board members) and voted on by Ownership Congregation delegates at Annual Meeting. Form 990, Part VI, Section A, line 7b Governance decisions can be made by the sole member of the Foundation, St. John's Lutheran Ministries, and its board members. Form 990, Part VI, Section A, line 8b There are no committees with the authority to act on behalf of the governing body. Form 990, Part VI, Section B, line 11b Form 990 will be presented to the Finance Committee who will carry a recommendation to the full Board for approval. Form 990 is presented electronically to the full board prior to filing. Form 990, Part VI, Section B, line 12c Compliance with policy is monitored by overall awareness of directors interests. The Board of Directors and Officers are covered under this policy. All conflicts are reviewed by the board. Voting restrictions are imposed on directors and officers who have a conflict of interest. Form 990, Part VI, Section B, line 15 David Trost and Jerry Pearsall are compensated by St. John's Lutheran Ministries for services provided to St. John's Lutheran Ministries and St. John's Foundation. St. John's Lutheran Ministries has a process in place to determine the individuals' compensation. Form 990, Part VI, Section C, line 19 The organization makes its governing documents, financial statements, and the conflict of interest policy available to the public upon written request. Form 990, Part XI, line 9: Change in Value of Split Interest Agreements 61,126. Transfers Between Divisions -260,837. St John's Lutheran Ministries Inc 3940 Rimrock Road Billings MT 59102 810288768 Provision of healthcare services MT 501(c)(3) Line 10 N/A 0 Home-Based Services Initiative LLC 2429 Mission way Billings MT 59107 455209647 Home health care MT N/A 0 1 0 0 0 0 0 0 0 0 0 1 0 1 1 1 1 1 0