2018-01-18T15:57:59-06:00 2016-12-31 ERNST & YOUNG US LLP TWO N CENTRAL AVE STE 2300 PHOENIX AZ 85004 990 2016-01-01 860098929 BLOOD SYSTEMS INC % SUSAN BARNES BLOO 4809464201 PO BOX 1867 SCOTTSDALE AZ 85252 TANYA PERRY EVP/CFO 4809464201 2018-01-17 true PATRICK SHIELDS P01508556 6023223000 2016 2022-09-23 18:48:47Z X DAVID GREEN SAME AS C ABOVE SCOTTSDALE AZ 85252 710894699 false 6167 X www.bloodsystems.org X 1943 AZ BLOOD BANKING, PLASMA DERIVATIVE DISTRIBUTION, AND RESEARCH 17 17 3211 920 202214914 1928782 7622066 6842379 578648022 669892181 48639119 5184888 4991255 524708 639900462 682444156 226593 254858 0 0 171596686 179910303 0 0 0 437305133 528641025 609128412 708806186 30772050 -26362030 382520351 417999357 192026029 221326538 190494322 196672819 X SEE SCHEDULE O true false 281077856 254858 263080333 BLOOD CENTER DIVISION - SEE SCHEDULE O 365591054 0 381512652 BIOCARE BIOLOGICALS - SEE SCHEDULE O 17032252 0 18038451 BLOOD SYSTEMS RESEARCH INSTITUTE - SEE SCHEDULE O 7095861 0 7765151 670797023 true true false false false false false false false true true false false false true true false true false false true false false false false false false true false true true false false false false false true false false false false true false false false false true true true false false true 599 0 true 3211 true true true true CJ false false false true true false false false false X 17 17 false false true false false false false true true false true true true true true true true true true true true true AZ CA NM OH TN X SUSAN BARNES 4806755696 6210 E OAK STREET SCOTTSDALE AZ 85257 X HEATHER J ALLEN MD TRUSTEE 3.0 0.0 X 24375 0 0 JAMES R ALLEN MD TRUSTEE (THRU 4/16) 3.0 0.0 X 3000 0 0 LINDA J BLESSING PHD TRUSTEE 3.0 1.0 X 29375 0 0 ROBERT S COLE TRUSTEE 2.0 2.0 X 21500 0 0 WILLIAM A DITTMAN MD TRUSTEE 2.0 1.0 X 19500 0 0 ARMANDO B FLORES TRUSTEE (THRU 4/16) 4.0 2.0 X 2000 0 0 BILL GATES TRUSTEE 2.0 1.0 X 21000 0 0 WILLIAM G GREEN TRUSTEE 2.0 2.0 X 23500 0 0 MICHAEL C JENSEN TRUSTEE 2.0 1.0 X 19500 0 0 F LEONARD JOHNSON MD TRUSTEE 2.0 0.0 X 16000 0 0 JOHN S LEWIS TRUSTEE/CHAIR 3.0 3.0 X X 47250 0 0 PIERRE NOEL MD TRUSTEE 2.0 0.0 X 21875 0 0 JAMES W PETERSON TRUSTEE 2.0 1.0 X 19500 0 0 KATHLEEN S PUSHOR TRUSTEE 3.0 1.0 X 25875 0 0 JIM SCHRAITH TRUSTEE 2.0 0.0 X 21500 0 0 RICHARD B SPURLOCK MD TRUSTEE (THRU 4/16) 2.0 2.0 X 0 0 0 PAUL E STANDER MD TRUSTEE 2.0 0.0 X 17500 0 0 RON W WAECKERLIN MD TRUSTEE/VICE CHAIR 3.0 2.0 X X 31955 0 0 GARY K WILDE TRUSTEE/SECRETARY/TREASURER 3.0 1.0 X X 26375 0 0 NANCY L WOLLEN TRUSTEE 2.0 2.0 X 15000 0 0 J Daniel Connor President/CEO 38.0 2.0 X 834094 0 40083 Susan Barnes EXECUTIVE VP/CFO 30.0 20.0 X 439625 0 22214 David Green Pres Blood Centers Division 40.0 0.0 X 514557 0 31561 Bhavi Shah EVP/General Counsel 30.0 10.0 X 312570 0 25367 Ralph Vassallo EVP/Chief Med & Scient OffIcEr 40.0 0.0 X 455195 0 17268 Mary Beth Bassett EVP/Chief Quality Officer 40.0 0.0 X 387875 0 35561 Michael Busch MD SVP RESEARCH & SCIENTIFIC PROG 40.0 0.0 X 534773 0 39230 Robert Hartmann VP, Info Technology 40.0 0.0 X 323094 0 22572 Linda Matthews President, BioCARE 40.0 0.0 X 532731 0 45525 Peter Michaelson VP, Human Resources 40.0 0.0 X 323735 0 43364 Hany Kamel VP CORPORATE MEDICAL DIRECTOR 40.0 0.0 X 411429 0 46661 Andrew Kirk VP, Sales (BioCARE) 40.0 0.0 X 316316 0 34161 Phillip Norris VP, Research & Scientific Prog 40.0 0.0 X 322674 0 42130 Kevin Land VP, Clinical Services 40.0 0.0 X 338749 0 23416 Mary Townsend Sr Medical Director - Corp 40.0 0.0 X 295341 0 34675 SALLY CAGLIOTI PRESIDENT CTS 0.0 40.0 X 0 520137 35919 6749338 520137 539707 182 true true false Tolin Mechanical Systems 12005 East 45th Ave DENVER CO 80239 Maintenance Service 1540482 MAK Systems 2720 River Rd Suite 225 DES PLAINES IL 60018 CONSULTANT 1504724 ManPower Inc 21271 Network Place CHICAGO IL 90051 CONSULTANT 1080754 Federal Express PO Box 7221 PASADENA CA 91109 delivery service 1071651 Synergy Management Consultant 4200 Wisconsin Ave NW Ste 106-10 WASHINGTON DC 20016 consultant 575480 39 X 5470 7048 2490533 4339328 4115732 6842379 PHARMACEUTICAL SALES 446110 381896586 179681672 202214914 BLOOD AND COMPONENTS SERVICE FEES 541900 244891114 244891114 PLASMA FOR FRACTIONATION 541900 15085525 15085525 LABORATORY SERVICES 621500 13519910 13519910 RESEARCH CONTRACTS 541700 12559690 12559690 1939356 1939356 669892181 2504383 2504383 0 26507 26507 0 0 0 30997229 124911 28379276 62360 2617953 62551 2680505 2680505 2702 7048 8907 -6205 -6205 0 0 0 0 0 0 MISCELLANEOUS INCOME 900099 501180 501180 NON-OPERATING MISCELLANEOUS INCOME 900099 3226 3226 504406 682444156 468181673 202214914 5205190 254858 254858 0 0 0 9122182 9122182 0 126930101 108918720 18011381 13068690 9264876 3803814 21569059 15239115 6329944 9220271 6498174 2722097 0 675042 675042 645808 645808 0 0 152472 152472 4325489 1086570 3238919 255154 255154 19882007 14633523 5248484 5624203 10636599 -5012396 0 12561926 11037648 1524278 11346615 9103895 2242720 0 0 1795812 1001 1794811 0 13042532 5294258 7748274 2049870 1692200 357670 PHARM. PRODUCTS PURCHASED 359686633 359686633 OPERATING & TESTING SUPPLIES 85558998 85558998 DONOR RECOGNITION & PROMO 9910058 9910058 INCOME TAX 760933 760933 367473 20963810 -20596337 708806186 670797023 38009163 0 -8639484 3687928 87351623 78511482 0 0 122779113 140448032 125000 97450 0 0 5983051 5907474 69301188 72485205 6527770 6653151 225258650 150008300 66114094 75250350 25097431 27130153 6743105 6743105 0 0 360000 240000 777460 845027 382520351 417999357 107239610 139501909 0 0 0 0 23620000 21265000 0 0 0 0 16014465 12611861 0 0 45151954 47947768 192026029 221326538 X 190494322 196663319 0 9500 0 0 190494322 196672819 382520351 417999357 X -26362030 2743744 798365 28998418 X false true X true true true X 9272139 8382904 8365565 7622066 6845081 40487755 483844494 476310348 488608480 411975653 468181673 2328920648 0 0 0 493116633 484693252 496974045 419597719 475026754 2369408403 0 0 0 2369408403 3987530 3621490 4295796 3232549 2530890 17668255 47343 67686 47439 518513 1272996 1953977 4034873 3689176 4343235 3751062 3803886 19622232 0 0 497151506 488382428 501317280 423348781 478830640 2389030635 0.99179 0.99242 0.00821 0.00758 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 25097431 2032722 27130153 26960483 483 -561129 1302406 25097431 29650105 1268538 3958160 26960483 27010166 3712762 1072823 29650105 25294973 2769261 1044881 9187 27010166 1.00000 false false 8679688 8679688 72304313 42411166 29893147 13594174 12420419 1173755 76242643 62283243 13959400 54437832 32893472 21544360 75250350 0 LINE OF CREDIT 45000000 CONTRIBUTIONS PAYABLE 2811122 LONG TERM RENT STEP UP 135483 LT TENANT IMPROVEMENT ALLOWANCE 1163 47947768 X SCHEDULE D, PART V, LINE 4 THE BLOOD SYSTEMS BOARD RESTRICTED ENDOWMENT FUNDS ARE RESERVED FOR THE PURPOSES OF PROVIDING RESEARCH FUNDS TO BLOOD SYSTEMS RESEARCH INSTITUTE TO SUPPORT THE BLOOD TRANSFUSION RESEARCH EFFORTS OF THAT DIVISION. SCHEDULE D, PART X, LINE 2 AT DECEMBER 31, 2016, THE COMPANY EVALUATED WHETHER IT HAD UNCERTAIN TAX POSITIONS THAT SHOULD BE RECOGNIZED OR DERECOGNIZED BASED ON A 'MORE LIKELY THAN NOT' THRESHOLD FOR TAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN A TAX RETURN, INCLUDING THOSE TAX POSITIONS THAT WOULD NOT BE SUSTAINED UPON EXAMINATION IN ACCORDANCE WITH GUIDANCE RELATED TO ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES. THE TAX YEARS FOR THE COMPANY THAT ARE OPEN TO AUDIT BY THE IRS AND STATE DEPARTMENTS OF REVENUE ARE GENERALLY THE TAX YEARS ENDED DECEMBER 31, 2013, THROUGH THE CURRENT TAX YEAR EXCEPT IN CERTAIN STATES WHERE THE OPEN TAX YEARS GENERALLY BEGIN WITH THE TAX YEAR ENDED DECEMBER 31, 2012. AS OF DECEMBER 31, 2016, THE COMPANY HAS NOT IDENTIFIED ANY UNCERTAIN TAX POSITIONS THAT WOULD REQUIRE THE RECORDING OF A TAX LIABILITY. THE COMPANY DOES NOT ANTICIPATE A CHANGE IN UNCERTAIN TAX POSITIONS FOR THE 12 MONTHS FOLLOWING THE YEAR ENDED DECEMBER 31, 2016. Central America and the Caribbean Program Services CAPTIVE INSURANCE 4266162 4266162 4266162 true false true false false false true AMERICA'S BLOOD CENTERS 725 15TH STR NW STE 700 WASHINGTON DC 200052100 866052376 501(C)(6) 25000 2016 PLEDGE support FLIGHTS FOR LIFE PO BOX 26485 phoenix AZ 85068 742453899 501(C)(3) 20000 donations MISSION OF MERCY 360 E CORONADO RD phoenix AZ 85004 841087689 501(C)(3) 15000 donations HONORHEALTH 8125 N HAYDEN scottsdale AZ 85258 742355411 501(C)(3) 8000 GOLF BALL SPONSORSHIP JEWISH FAMILY & CHILDRENS SERVICE 4747 7TH ST suite 100 PHOENIX AZ 85014 860096781 501(C)(3) 7000 BRIGHTER TOMORROW LUNCHEON PLEDGE FOUNDATION FOR BLIND CHILDREN 1234 E NORTHERN AVE phoenix AZ 85002 860129981 501(C)(3) 6000 SPONSORSHIP NIGHT FOR SIGHT 5 1 SCHEDULE I, PART I, LINE 2 SPONSORSHIPS AND DONATIONS TO OTHER TAX-EXEMPT ENTITIES ARE MADE IN SUPPORT OF THEIR MISSIONS AND ARE MONITORED VIA THE GOVERNANCE PRACTICES OF THOSE ENTITIES. X X X X true true false false false false false true false J Daniel Connor President/CEO 699339 0 123505 0 11250 0 28600 0 11483 0 874177 0 0 0 Susan Barnes EXECUTIVE VP/CFO 344201 0 56235 0 39189 0 10600 0 11614 0 461839 0 28901 0 David Green Pres Blood Centers Division 393160 0 111109 0 10288 0 16152 0 15409 0 546118 0 0 0 Bhavi Shah EVP/General Counsel 261118 0 41163 0 10289 0 10600 0 14767 0 337937 0 0 0 Ralph Vassallo EVP/Chief Med & Scient OffIcEr 376642 0 68265 0 10288 0 10472 0 6796 0 472463 0 0 0 Mary Beth Bassett EVP/Chief Quality Officer 304130 0 50970 0 32775 0 28600 0 6961 0 423436 0 22487 0 Michael Busch MD SVP RESEARCH & SCIENTIFIC PROG 428097 0 70079 0 36597 0 28600 0 10630 0 574003 0 27367 0 Robert Hartmann VP, Info Technology 218008 0 42748 0 62338 0 10600 0 11972 0 345666 0 0 0 Hany Kamel VP CORPORATE MEDICAL DIRECTOR 331328 0 56644 0 23457 0 28600 0 18061 0 458090 0 14226 0 Andrew Kirk VP, Sales (BioCARE) 175078 0 132007 0 9231 0 7585 0 26576 0 350477 0 0 0 Linda Matthews President, BioCARE 304674 0 185463 0 42594 0 28600 0 16925 0 578256 0 32305 0 Peter Michaelson VP, Human Resources 266150 0 48354 0 9231 0 28600 0 14764 0 367099 0 0 0 Phillip Norris VP, Research & Scientific Prog 273125 0 49549 0 0 0 28357 0 13773 0 364804 0 0 0 Kevin Land VP, Clinical Services 320520 0 18229 0 0 0 8609 0 14807 0 362165 0 0 0 Mary Townsend Sr Medical Director - Corp 279496 0 15845 0 0 0 10600 0 24075 0 330016 0 0 0 SALLY CAGLIOTI PRESIDENT CTS 0 399608 0 110241 0 10288 0 28600 0 7319 0 556056 0 0 SCHEDULE J, PART I, LINE 4a CERTAIN EMPLOYEES RECEIVED SEVERANCE PAYMENTS DURING 2016 AS FOLLOWS: ROBERT HARTMANN - $54,954 THESE AMOUNTS ARE TAXABLE AND ARE INCLUDED IN SCHEDULE J, PART II, COLUMN B(III). SCHEDULE J, PART I, LINE 4B CERTAIN EMPLOYEES RECEIVED DISTRIBUTIONS FROM THE SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN DURING 2016 AS FOLLOWS: MARY BETH BASSETT: $22,487 (RESULTING FROM ALMOST 21 YEARS OF SERVICE) MICHAEL BUSCH, MD: $27,367 (RESULTING FROM ALMOST 18 YEARS OF SERVICE) HANY KAMEL, MD: $14,226 (RESULTING FROM ALMOST 21 YEARS OF SERVICE) LINDA MATTHEWS: $32,305 (RESULTING FROM ALMOST 17 YEARS OF SERVICE) SUSAN L. BARNES: $28,901 (RESULTING FROM ALMOST 27 YEARS OF SERVICE) THESE AMOUNTS WERE INCLUDED IN TAXABLE WAGES AND ARE REPORTED IN SCHEDULE J, PART II, COLUMN B(III) AND ALSO IN COLUMN (F) SINCE THESE AMOUNTS HAVE PREVIOUSLY BEEN REPORTED AS DEFERRED COMPENSATION ON A PRIOR FORM 990. THIS PLAN WAS FROZEN AS OF DECEMBER 31, 2011. SCHEDULE J, PART I, LINE 7 BLOOD SYSTEMS HAS AN INCENTIVE BONUS PLAN FOR MANAGEMENT AND EXECUTIVES. AWARDS UNDER THE PROGRAM ARE AT THE DISCRETION OF THE BOARD OF TRUSTEES. THE PLAN MEASURES PERFORMANCE AGAINST MULTIPLE METRICS WHICH CARRY VARIOUS WEIGHTINGS, THE MOST HEAVILY WEIGHTED BEING QUALITY, SAFETY AND CUSTOMER SERVICE. TO ASSURE FINANCIAL STABILITY OF THE COMPANY, ONE OF THE METRICS IS ALSO A MEASUREMENT OF NET MARGIN FINANCIAL PERFORMANCE AS A PERCENT OF REVENUES. SCHEDULE J, PART II DAVID GREEN RECEIVED A RETENTION BONUS, WHICH IS INCLUDED IN SCHEDULE J, PART II, COLUMN B(II). LINDA MATTHEWS IS THE PRESIDENT OF THE BIOCARE DIVISION OF BLOOD SYSTEMS. THIS DIVISION PERFORMED WELL ABOVE ITS BUDGETED EXPECTATION AND WAS GRANTED AN INCENTIVE BONUS UNDER THE COMPANY'S PLAN. ANDREW KIRK, VP OF SALES FOR BIOCARE, ALSO RECEIVED A SALES PERFORMANCE AWARD. A ARIZONA HEALTH FACILITIES AUTHORITY 860453292 2014-01-06 27005000 SEE PART VI false false false A 5740000 0 27005000 0 0 0 41114 0 0 26963886 0 0 2014 true false true true A false false false true false 0 0.00700 0.00700 false false false true A false true false false 0 false 0 false true A true . Schedule K, Part I, Line A, Column (F) REFUNDING OF AHFA 2004 BOND ISSUE WHICH WAS USED FOR THE PURCHASE OF LAND AND TO CONSTRUCT AND EQUIP 11 BLOOD CENTERS IN VARIOUS STATES FOR THE PURPOSE OF RECRUITING, COLLECTING, PROCESSING AND DISTRIBUTING BLOOD PRODUCTS; REFUNDING OF ABAG 2002 BOND ISSUE USED TO CONSTRUCT A BLOOD CENTER IN SAN FRANCISCO, CA; AND, REFUNDING OF AHFA 1995 VARIABLE RATE BOND ISSUE USED TO CONSTRUCT AND EQUIP A NATIONAL BLOOD TESTING LABORATORY IN TEMPE, ARIZONA. DAVID GREEN officer HOUSE X 150000 97450 false true true 97450 X RECOGNITION 263 4092751 COST/SELLING PRICE X REFRESHMENT 39 19680 COST/SELLING PRICE X OTHER 16 3301 COST/SELLING PRICE false true false SCHEDULE M, PART I, COLUMN (B) THE ORGANIZATION IS REPORTING THE NUMBER OF CONTRIBUTIONS RECEIVED IN COLUMN (B). FORM 990, PART III, LINE 1 THE MISSION OF BLOOD SYSTEMS, INC. ("BSI") IS TO MAKE A DIFFERENCE IN PEOPLE'S LIVES BY BRINGING TOGETHER THE BEST PEOPLE, INSPIRING INDIVIDUALS TO DONATE BLOOD, PRODUCING A SAFE AND AMPLE BLOOD SUPPLY, ADVANCING CUTTING-EDGE RESEARCH AND EMBRACING CONTINUOUS QUALITY IMPROVEMENT. TO FURTHER ITS MISSION, BSI OPERATES COMMUNITY BLOOD CENTERS. THESE CENTERS RECRUIT BLOOD DONORS AND COLLECT, PROCESS AND DISTRIBUTE APPROXIMATELY 905,000 BLOOD COLLECTIONS TO MEET THE BLOOD NEEDS OF PATIENTS IN MORE THAN 500 HOSPITALS THROUGHOUT THE COUNTRY. THE STAFF SERVES A GEOGRAPHIC AREA COVERING THE UNITED STATES, FROM THE EAST COAST TO CALIFORNIA AND FROM THE CANADIAN BORDER TO MEXICO. BSI IS LICENSED BY THE U.S. FOOD AND DRUG ADMINISTRATION ("FDA") AS A PROVIDER OF BLOOD AND BLOOD SERVICES. THE COMPANY'S THREE OPERATING DIVISIONS ARE: (1) BLOOD SERVICES DIVISION, WHICH INCLUDES UNITED BLOOD SERVICES; (2) THE BIOCARE DIVISION; AND (3) THE BLOOD SYSTEMS RESEARCH INSTITUTE. THESE OPERATING DIVISIONS ARE UNINCORPORATED DIVISIONS DOING BUSINESS UNDER REGISTERED TRADENAMES AND SERVICE MARKS. BSI CONDUCTS ITS BLOOD BANKING ACTIVITIES THROUGH ITS REGIONAL BLOOD CENTERS LOCATED IN THE FOLLOWING STATES: ARIZONA, CALIFORNIA, COLORADO, LOUISIANA, MISSISSIPPI, MONTANA, NEVADA, NEW MEXICO, NORTH DAKOTA, SOUTH DAKOTA, TENNESSEE, TEXAS, OHIO, NEW JERSEY, WASHINGTON AND WYOMING. THE BIOCARE DIVISION DISTRIBUTES PLASMA-DERIVED PRODUCTS THROUGH HOSPITALS, COMMUNITY BLOOD CENTER LOCATIONS AND ALSO DIRECTLY FROM ITS HEADQUARTERS IN TEMPE, ARIZONA. BLOOD-RELATED RESEARCH IS CONDUCTED AT THE BLOOD SYSTEMS RESEARCH INSTITUTE LOCATED IN SAN FRANCISCO, CALIFORNIA. FORM 990, PART III, LINE 2 EFFECTIVE JANUARY 1, 2017 BLOODSOURCE, INC. MERGED INTO BSI. BSI IS THE SURVIVING ENITY. BLOODSOURCE, INC. CONTINUES TO OPERATE SERVICES AND PROGRAMS AS PREVIOUSLY, NOW AS AN INTEGRAL PART OF BSI. EFFECTIVE JANUARY 1, 2017 BELLE BONFILS MEMORIAL BLOOD CENTER ("BBMBC") MERGED INTO BSI. BSI IS THE SURVIVING ENITY. BBMBC CONTINUES TO OPERATE SERVICES AND PROGRAMS AS PREVIOUSLY, NOW AS AN INTEGRAL PART OF BSI. EFFECTIVE NOVEMBER 27, 2016 INLAND NORTHWEST BLOOD CENTER ("INBC") MERGED INTO BSI. BSI IS THE SURVIVING ENITY. INBC CONTINUES TO OPERATE SERVICES AND PROGRAMS AS PREVIOUSLY, NOW AS AN INTEGRAL PART OF BSI. EFFECTIVE JUNE 30, 2016 MID-SOUTH REGIONAL BLOOD CENTER INC (DBA LIFEBLOOD) MERGED INTO BSI. BSI IS THE SURVIVING ENITY. LIFEBLOOD CONTINUES TO OPERATE SERVICES AND PROGRAMS AS PREVIOUSLY, NOW AS AN INTEGRAL PART OF BSI. EFFECTIVE JUNE 30, 2016 LIFESHARE COMMUNITY BLOOD SERVICES ("LCBS") MERGED INTO BSI. BSI IS THE SURVIVING ENITY. LCBS CONTINUES TO OPERATE SERVICES AND PROGRAMS AS PREVIOUSLY, NOW AS AN INTEGRAL PART OF BSI. FORM 990, PART III, LINES 4A-D 4A) BLOOD SERVICES - BLOOD BANKING THE PRIMARY PURPOSE OF BLOOD SERVVICES DIVISION (BSD) IS TO PROVIDE A SAFE AND STABLE SUPPLY OF BLOOD AND BLOOD COMPONENTS TO HOSPITALS AND MEDICAL FACILITIES. THE STRENGTH OF BSD IS THAT IT OPERATES AS LOCAL BLOOD CENTERS THAT ARE PART OF THE COMMUNITY AND YET HAS ACCESS TO A LARGE NETWORKED ORGANIZATION WITH ALL THE ADVANTAGES AND EFFICIENCIES THAT ARE REALIZED THROUGH STANDARDIZATION AND ECONOMIES OF SCALE. BSD COLLECTS BLOOD FROM VOLUNTEER DONORS, PERFORMS SCREENING AND TESTING ON THE DONATED BLOOD, AND PROCESSES THE WHOLE BLOOD INTO BLOOD COMPONENTS SUCH AS RED CELLS, PLATELETS AND PLASMA. BLOOD AND BLOOD COMPONENTS ARE THEN STORED AND DISTRIBUTED TO HOSPITALS AND OTHER HEALTH CARE PROVIDERS. 4B) BIOCARE - BIOLOGICALS THE BIOCARE DIVISION PROVIDES BIOLOGICAL PRODUCTS, BOTH HUMAN-PLASMA DERIVED AND RECOMBINANT PRODUCTS, THAT SERVE AS ADJUNCT THERAPIES IN TRANSFUSION MEDICINE AND HEALTHCARE. PLASMA DERIVATIVES ARE BASICALLY PROTEIN THERAPIES PROVIDED FROM PLASMA LEFT OVER FROM WHOLE BLOOD DONATIONS. EXAMPLES OF SUCH PLASMA DERIVATIVES INCLUDE: INTRAVENOUS IMMUNE GLOBULINS, COAGULATION FACTORS, ALBUMIN AND FIBRIN SEALANTS. THESE PRODUCTS ARE USED AS THERAPIES FOR IMMUNE SYSTEM DISORDERS, BLEEDING DISORDERS AND WOUND MANAGEMENT. RECOMBINANT-BASED PRODUCTS ARE PRODUCTS THAT ARE NOT MADE FROM FRACTIONATED HUMAN PLASMA. INSTEAD, THESE PRODUCTS ARE GENETICALLY ENGINEERED. THE RESULTING PRODUCT HAS THE STRUCTURAL AND FUNCTIONAL CHARACTERISTICS SIMILAR TO THE COMPONENT FOUND IN HUMAN PLASMA (OR BASED ON A PROTEIN IN HUMAN PLASMA) THAT THE DRUG WAS SYNTHESIZED TO IMITATE. RECOMBINANT-BASED PRODUCTS ARE OFTEN STABILIZED WITH ALBUMIN (CONCENTRATE OF PLASMA PROTEINS FROM HUMAN PLASMA), BUT THESE PRODUCTS ARE NOT MANUFACTURED FROM HUMAN PLASMA. THESE RECOMBINANT PRODUCTS, SIMILAR TO THE PLASMA-DERIVATIVE PRODUCTS, ARE USED TO TREAT DISEASES AND MEDICAL CONDITIONS THAT ARE CONNECTED WITH OR RELATED TO BLOOD OR BLOOD-BORNE MEDICAL CONDITIONS. 4C) BLOOD SYSTEMS RESEARCH INSTITUTE BLOOD SYSTEMS RESEARCH INSTITUTE ("BSRI") FACILITATES RESEARCH PRIMARILY FUNDED BY EXTRAMURAL GRANTS (NIH AND OTHERS). THE RESEARCH IS IN TRANSFUSION MEDICINE EPIDEMIOLOGY, HEALTH POLICY, VIROLOGY, VIRAL DISCOVERY, THE IMMUNE REACTION TO TRANSFUSION AND TO TRANSFUSION-TRANSMITTED INFECTIOUS AGENTS, CELL THERAPY AND GENETIC EPIDEMIOLOGY. AREAS STUDIED INCLUDE IMPLICATIONS OF RECEIVING COMPONENTS AT DIFFERENT STORAGE AGES; MECHANISM OF VIRUS ENTRY INTO CELLS; HOW TRANSFUSION TRANSMITTED VIRUSES CAUSE SYMPTOMS; THE USE OF COMMERCIALLY AVAILABLE OR LOCALLY-DEVELOPED DONOR TESTS; THE FACTORS LEADING TO CHIMERISM, ETC. BSRI SUPPORTS TRAINING PROGRAMS FOR SPECIALISTS IN TRANSFUSION MEDICINE AND THE DEVELOPMENT OF EPIDEMIOLOGY RESEARCH SCIENTISTS. BSRI INVESTIGATORS PUBLISH MORE THAN 60 PAPERS EACH YEAR IN THE PEER-REVIEWED SCIENTIFIC LITERATURE. THE RESEARCH FACILITY IS STAFFED WITH 10 INVESTIGATORS, 21 RESEARCH ASSOCIATES, 12 STAFF SCIENTISTS AND VARIOUS OTHER POSITIONS AS WELL AS ADMINISTRATIVE SUPPORT. 4D) OTHER PROGRAM SERVICES CONSIST OF LABORATORY SERVICES AND OTHER PROGRAM ACTIVITIES. FORM 990, PART VI, LINE 1A THE EXECUTIVE COMMITTEE HAS THE POWERS OF THE BOARD OF TRUSTEES BETWEEN BOARD MEETINGS, UNLESS PROHIBITED BY LAW OR THE ARTICLES OF INCORPORATION. THE EXECUTIVE COMMITTEE IS COMPOSED OF 6 OR MORE TRUSTEES, INCLUDING THE CHAIR, VICE CHAIR, SECRETARY-TREASURER, AND THREE OR MORE TRUSTEES SELECTED BY THE BOARD OF TRUSTEES. FORM 990, PART VI, LINE 4 THE BYLAWS OF BLOOD SYSTEMS, INC. WERE AMENDED IN 2016 TO REMOVE BLOOD CENTERS OF THE PACIFIC ("BCP") AS AN AFFILIATE, DUE TO THE MERGER OF BCP INTO BSI, EFFECTIVE JANUARY 1, 2016. FORM 990, PART VI, LINE 11B THE FORM 990 IS REVIEWED BY MANAGEMENT, INCLUDING CONFIRMATION OF COMPENSATION DISCLOSURES AGAINST W-2 AND 1099 REPORTING. A COPY OF THE DRAFT FORM 990 AND ALL SCHEDULES IS SUPPLIED TO ALL BOARD MEMBERS PRIOR TO THE MEETING HELD TO ACCEPT THE RETURNS. THE W-2S AND 1099S ARE AVAILABLE FOR BOARD REVIEW UPON REQUEST. THE PAID PREPARER, ERNST & YOUNG, AND MEMBERS OF MANAGEMENT REVIEW THE FORM 990 WITH THE COMMITTEES AND ARE AVAILABLE FOR ANSWERING QUESTIONS. ANY COMMENTS FROM THE BOARD ARE CONSIDERED PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, LINE 12C EACH YEAR, THE BOARD OF TRUSTEES AND SENIOR MANAGEMENT ARE REQUIRED TO SIGN AND RETURN A CONFLICT OF INTEREST FORM TO COMPANY COUNSEL. ANY CONFLICTS DISCLOSED ARE DISCUSSED IN EXECUTIVE SESSION WITH THE BOARD AND RESOLVED. IN ADDITION, IN PREPARATION FOR THE FORM 990 FILING, THE TRUSTEES, OFFICERS AND KEY EMPLOYEES IDENTIFIED ARE REQUIRED TO RESPOND TO A COMPREHENSIVE CONFLICT OF INTEREST AND FAMILY RELATIONSHIP QUESTIONNAIRE. ANY CONFLICTS DISCLOSED ARE DISCUSSED WITH THE BOARD AND DISCLOSED APPROPRIATELY ON THE FORM 990. FORM 990, PART VI, LINES 15A AND 15B THE BOARD OF TRUSTEES HAS A COMPENSATION AND HUMAN RESOURCE COMMITTEE WHOSE PURPOSE, AMONG OTHER THINGS, IS TO HIRE AN INDEPENDENT CONSULTING FIRM ONCE EVERY 2-3 YEARS TO PROVIDE DATA ON COMPETITIVENESS OF SALARIES AND BENEFITS FOR THE CEO AND OTHER OFFICERS OF THE CORPORATION. THE MEMBERS OF THE HUMAN RESOURCE AND COMPENSATION COMMITTEE OF THE BOARD ARE ALL INDEPENDENT TRUSTEES AND INCLUDE NO MEMBERS OF MANAGEMENT. THE RECOMMENDATIONS OF THE COMMITTEE ARE REVIEWED BY THE ENTIRE BOARD PRIOR TO APPROVAL. COMPENSATION FOR THESE INDIVIDUALS IS SET AND APPROVED BY THE BOARD EACH YEAR. THE RESULTS OF THESE DISCUSSIONS, REVIEWS AND APPROVALS ARE DOCUMENTED IN THE EXECUTIVE MINUTES OF THE BOARD MEETINGS. THIS PROCESS WAS LAST COMPLETED IN 2016. FORM 990, PART VI, LINE 19 THE FORM 990 IS MADE AVAILABLE ON THE COMPANY'S INTRA-NET FOR ALL OPERATING LOCATIONS TO ACCESS. UPON REQUEST, THE FORM CAN BE PRINTED OR VIEWED ON-LINE. UPON WRITTEN REQUEST TO THE CHIEF FINANCIAL OFFICER, A COPY OF THE FORM 990 WILL BE MAILED TO THE REQUESTOR. THE FORM 990 FOR CURRENT AND PAST YEARS IS ALSO POSTED ON GUIDESTAR FOR ORGANIZATIONS TO ACCESS. THE GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE NOT MADE AVAILABLE TO THE PUBLIC. THE ORGANIZATION'S COMBINED FINANCIAL STATEMENTS ARE MADE PUBLIC VIA THE ANNUAL REPORT POSTED ON THE ORGANIZATION'S WEBSITE. FORM 990, PART VII IN 2012, SALLY CAGLIOTI WAS REPORTED AS AN OFFICER OF BLOOD SYSTEMS, INC. ("BSI"). CREATIVE TESTING SOLUTIONS ("CTS"), A RELATED 501(C)(3) ORGANIZATION, LEASED THEIR EMPLOYEES FROM BSI IN 2012, INCLUDING SALLY CAGLIOTI. IN 2013 CTS HIRED THEIR OWN EMPLOYEES, INCLUDING SALLY CAGLIOTI THUS, SHE IS NO LONGER CONSIDERED AN OFFICER OR KEY EMPLOYEE OF BSI. FOR THIS REASON, SALLY CAGLIOTI IS BEING REPORTED AS FORMER. FORM 990, PART VIII, LINE 2A AS DESCRIBED IN THE NARRATIVE FOR PART III, LINE 4B, BIOCARE IS A DIVISION OF BLOOD SYSTEMS INC. THE BIOCARE DIVISION WAS CONCEIVED TO PROVIDE BLOOD BANK REAGENTS AND TRANSFUSION MEDICINE-RELATED, PLASMA-DERIVED PHARMACEUTICAL DERIVATIVES TO EXISTING HOSPITAL CUSTOMERS AS A CONVENIENT, VALUE-ADDED SERVICE. CURRENTLY, BIOCARE FUNCTIONS AS A SPECIALTY DISTRIBUTOR OF THERAPEUTIC PLASMA-DERIVATIVE PRODUCTS AND, INCREASINGLY, RECOMBINANT-BASED PRODUCTS TO BLOOD SYSTEMS TRADITIONAL CUSTOMER BASE OF HOSPITALS, AS WELL AS OUT-PATIENT SURGERY CENTERS, SPECIALTY PHARMACIES AND PHYSICIAN PRACTICES. THE MAJORITY OF PRODUCTS SOLD ARE USED TO TREAT DISEASES AND MEDICAL CONDITIONS THAT ARE CONNECTED WITH OR RELATED TO BLOOD OR BLOOD-BORNE MEDICAL CONDITIONS. ALL OF THE PRODUCTS SOLD BY BIOCARE ARE MANUFACTURED BY COMMERCIAL BIO-PHARMACEUTICAL COMPANIES. THE SIGNIFICANT DIFFERENCE BETWEEN BIOCARE AND ITS FOR-PROFIT COMPETITORS IN TERMS OF PRICING IS THAT IN THE EVENT THERE IS A SHORTAGE OF CERTAIN PRODUCT, THE FOR-PROFIT COMPETITORS MAY RAISE THEIR PRICING UP TO TWO OR THREE TIMES NORMAL PRICING, WHILE BIOCARE MAINTAINS ITS PRICING VERY CLOSE TO ORIGINAL LEVELS, ONLY INCREASING PRICING TO OFFSET INCREASED ACQUISITION COSTS. THE REASON BIOCARE HAS TAKEN THIS APPROACH IS DUE TO BSIS EXEMPT PURPOSE TO DELIVER PRODUCTS FOR TRANSFUSION AND TREATMENT PURPOSES. BIOCARE ALSO DIFFERS FROM ITS FOR-PROFIT COMPETITORS IN THAT BIOCARES DISTRIBUTION SERVICES OFFER SAME-DAY AND STAT DELIVERY OPTIONS OVER THE WEEKEND OR AFTER HOURS FOR A MUCH LOWER COST THAN ITS FOR-PROFIT COMPETITORS. BIOCARE REPRESENTS THE FASTEST POSSIBLE OPTION OF GETTING LIFE-SAVING PLASMA-DERIVED AND RECOMBINANT-BASED PRODUCTS TO ITS TRADITIONAL CUSTOMER BASE OVER THE WEEKEND (FRIDAY, SATURDAY AND SUNDAY). MOST FOR-PROFIT COMPETITORS DO PROVIDE 24 HOUR ORDERING SERVICES; HOWEVER, UNLESS AN ORDER IS RECEIVED PRIOR TO THE CLOSE OF BUSINESS ON THURSDAY, THE PRODUCT WILL NOT BE DELIVERED UNTIL THE FOLLOWING WEEK. BIOCARE ALSO USES APPROXIMATELY 20 ORDERING LOCATIONS (FACILITIES) NATIONWIDE THAT ARE CAPABLE OF STORING AND DISTRIBUTING PRODUCT, WHILE MOST COMPETITORS ONLY HAVE A FEW. IT SHOULD BE NOTED THAT THE ACTIVITIES UNDERTAKEN BY BLOOD SYSTEMS RELATED TO ITS EXEMPT PURPOSES AS A WHOLE ARE SUBSTANTIAL AS COMPARED TO THE ACTIVITIES OF THE BIOCARE DIVISION. WHILE BIOCARE COMPRISES A SIGNIFICANT PORTION OF BSIS OVERALL REVENUE, THE NUMBER OF EMPLOYEES (APPROXIMATELY 43) AND HOURS PRODUCING THIS REVENUE IS VERY SMALL, AS COMPARED TO THE TOTAL NUMBER OF BSI EMPLOYEES (APPROXMATELY 3,200) AND HOURS PRODUCING THE RELATED EXEMPT PURPOSE REVENUE. PLASMA-DERIVATIVE PRODUCTS TREATED AS RELATED (COL B) - PLASMA-DERIVATIVE PRODUCTS ARE PRODUCTS THAT ARE MANUFACTURED FROM PROTEINS FOUND IN HUMAN PLASMA AND ARE USED TO TREAT DISEASES AND MEDICAL CONDITIONS THAT ARE CONNECTED WITH OR RELATED TO BLOOD OR BLOOD BORNE MEDICAL CONDITIONS. IT IS BLOOD SYSTEMS POSITION THAT PROVIDING BLOOD-DERIVED PRODUCTS, WHICH ARE MANUFACTURED BY BIO-PHARMACEUTICAL COMPANIES USING HUMAN BLOOD/PLASMA, TO HOSPITALS AND OTHER HEALTHCARE PROVIDERS FOR USE IN TREATING MEDICAL CONDITIONS OF PATIENTS IS DIRECTLY RELATED TO BLOOD SYSTEMS EXEMPT PURPOSES. AS THE PRODUCTS SOLD ARE MADE FROM AND CONTAIN HUMAN BLOOD/PLASMA AND PROTEIN, THERE IS A SUBSTANTIAL NEXUS BETWEEN THE SALE OF THESE PRODUCTS AND BLOOD SYSTEMS EXEMPT PURPOSES. IT SHOULD BE NOTED THAT OTHER NON-PROFIT COMPETITORS ALSO TREAT SIMILAR REVENUE AS RELATED, THUS MAKING IT AN INDUSTRY STANDARD. ACCORDINGLY, THE SALE OF PLASMA-DERIVATIVE PRODUCTS IS BEING TREATED AS RELATED REVENUE (SEE PART VIII, LINE 2A, COLUMN (B)). RECOMBINANT-BASED PRODUCTS TREATED AS UNRELATED (COL C) - RECOMBINANT-BASED PRODUCTS ARE PRODUCTS THAT ARE NOT MADE FROM FRACTIONATED HUMAN PLASMA. INSTEAD, THESE PRODUCTS ARE GENETICALLY ENGINEERED. THE RESULTING PRODUCT HAS THE STRUCTURAL AND FUNCTIONAL CHARACTERISTICS SIMILAR TO THE COMPONENT FOUND IN HUMAN PLASMA (OR BASED ON A PROTEIN IN HUMAN PLASMA) THAT THE DRUG WAS SYNTHESIZED TO IMITATE. IT IS BSIS POSITION THAT THE PROVISION OF RECOMBINANT-BASED DRUG PRODUCTS, WHICH ARE MANUFACTURED THROUGH GENETIC ENGINEERING BY BIO-PHARMACEUTICAL COMPANIES NOT USING HUMAN BLOOD/PLASMA, TO HOSPITALS AND OTHER HEALTHCARE PROVIDERS USED TO TREAT MEDICAL CONDITIONS IS NOT DIRECTLY RELATED TO BLOOD SYSTEMS PURPOSES. ACCORDINGLY, THE SALE OF RECOMBINANT-BASED PRODUCTS IS BEING TREATED AS UNRELATED BUSINESS INCOME (SEE PART VIII, LINE 2A, COLUMN (C)). DUE TO THE GROWTH IN AND EXPANSION OF THE BIOCARE DIVISION, AND THE POSITION RECENTLY TAKEN TO TREAT RECOMBINANT PRODUCTS AS UNRELATED BUSINESS INCOME, BLOOD SYSTEMS INC. FORMED BIOCARE, INC., AN ARIZONA FOR-PROFIT C CORPORATION EFFECTIVE SEPTEMBER 15, 2016. THE BIOCARE DIVISION OF BLOOD SYSTEMS, INC., IN ITS ENTIRETY, WILL BE TRANSFERRED TO AND OPERATED BY BIOCARE, INC. EFFECTIVE JANUARY 1, 2017. FORM 990, PART XI, LINE 9 RECLASSIFICATION/DECONSOLIDATION $ 129,500 MERGER OF NET ASSETS $ 30,939,578 PENSION RECAPTURE EXP OTHER THAN NET PERIODIC COST $ (2,070,661) ------------- TOTAL $ 28,998,418 REASON FOR AMENDMENT CERTAIN INDIVIDUALS REPORTED AS KEY EMPLOYEES ON THE ORIGINALLY FILED FORM 990 HAVE BEEN REMOVED FROM THIS AMENDED FORM 990 OR RECLASSIFIED TO HIGHEST COMPENSATED EMPLOYEES. THESE INDIVIDUALS DID NOT MEET THE CRITERIA REQUIRED TO BE REPORTED AS KEY EMPLOYEES. FORM 990, PART VII AND SCHEDULE J OF THIS AMENDED FORM 990 HAVE BEEN REVISED TO REFLECT THESE CHANGES. CREATIVE TESTING SOLUTIONS 6210 EAST OAK STREET SCOTTDALE AZ 85257 271120123 SAFETY TEST. AZ 501(C)(3) 11 BSI true BLOODSOURCE INC 10536 PETER A MCCUEN BLVD MATHER CA 95655 941231001 BLOOD BANKING CA 501(C)(3) 10 BSI true INLAND NORTHWEST BLOOD CENTER 210 W CATALDO AVENUE SPOKANE WA 99201 910499130 BLOOD BANKING WA 501(C)(3) 10 BSI true BLOOD CENTER FND OF THE INLAND NORTHWEST 210 W CATALDO AVENUE SPOKANE WA 99201 464347438 FUNDRAISING WA 501(C)(3) 7 INBC true BELLE BONFILS MEMORIAL BLOOD CENTER 717 YOSEMITE STREET DENVER CO 80230 840411209 BLOOD BANKING CO 501(C)(3) 10 BSI true BONFILS BLOOD CENTER FOUNDATION 717 YOSEMITE STREET DENVER CO 80230 742787586 FUNDRAISING CO 501(C)(3) 7 BBMBC true BLOOD BANK OF SAN BERNARDINO & RIVERSIDE PO BOX 1429 SAN BERNARDINO CA 92402 951708743 BLOOD BANKING CA 501(C)(3) 10 BSI true BLOOD BANK SAN BERNARDINORIVERSIDE FDN PO BOX 1429 SAN BERNARDINO CA 92402 208911074 FUNDRAISING CA 501(C)(3) 12-TYPE I BBSBRC true MID-SOUTH REGIONAL BLOOD CENTER INC 1040 MADISON AVENUE MEMPHIS TN 38104 620719021 BLOOD BANKING TN 501(C)(3) 10 BSI true CANYON STATE INSURANCE COMPANY WEST BAY ROAD GRAND CAYMAN CJ 981084327 INVESTMENT CJ BSI FOREIGN 4775929 30280954 1.00000 true BIOCARE INC 6210 E OAK ST SCOTTSDALE AZ 85257 813906720 PHARMA AZ BSI C CORP 0 0 1.00000 true TRANSFUSION TECHNOLOGY INC 102 CHESTNUT RIDGE ROAD MONTVALE NJ 07645 223494865 INACTIVE NJ BCRBC C CORP true true false true false false false true true false true true true true false false true true true true BLOODSOURCE INC C 799114 ACCRUAL BLOODSOURCE INC G 11591307 ACCRUAL BLOODSOURCE INC H 4838554 ACCRUAL BLOODSOURCE INC K 1698816 ACCRUAL BLOODSOURCE INC L 3567000 ACCRUAL BLOODSOURCE INC Q 594679 ACCRUAL BLOODSOURCE INC S 72575 ACCRUAL CANYON STATE INSURANCE COMPANY R 4266162 ACCRUAL CREATIVE TESTING SOLUTIONS M 33005393 ACCRUAL CREATIVE TESTING SOLUTIONS L 4945547 ACCRUAL CREATIVE TESTING SOLUTIONS A 1060080 ACCRUAL CREATIVE TESTING SOLUTIONS C 1177328 ACCRUAL CREATIVE TESTING SOLUTIONS Q 351860 ACCRUAL BELLE BONFILS MEMORIAL BLOOD CENTER G 815639 ACCRUAL BELLE BONFILS MEMORIAL BLOOD CENTER H 2161167 ACCRUAL BELLE BONFILS MEMORIAL BLOOD CENTER L 1320504 ACCRUAL BELLE BONFILS MEMORIAL BLOOD CENTER M 76892 ACCRUAL BELLE BONFILS MEMORIAL BLOOD CENTER Q 264183 ACCRUAL BELLE BONFILS MEMORIAL BLOOD CENTER C 102919 ACCRUAL BELLE BONFILS MEMORIAL BLOOD CENTER K 107919 ACCRUAL BLOOD BANK OF SAN BERNARDINO & RIVERSIDE G 8250526 ACCRUAL BLOOD BANK OF SAN BERNARDINO & RIVERSIDE H 1151324 ACCRUAL BLOOD BANK OF SAN BERNARDINO & RIVERSIDE L 1318993 ACCRUAL BLOOD BANK OF SAN BERNARDINO & RIVERSIDE Q 272903 ACCRUAL BLOOD BANK OF SAN BERNARDINO & RIVERSIDE G 856940 ACCRUAL BLOOD BANK OF SAN BERNARDINO & RIVERSIDE H 134760 ACCRUAL BLOOD BANK OF SAN BERNARDINO & RIVERSIDE L 444174 ACCRUAL BLOOD BANK OF SAN BERNARDINO & RIVERSIDE C 53297 ACCRUAL BERGEN COMMUNITY REGIONAL BLOOD CENTER G 1222321 ACCRUAL BERGEN COMMUNITY REGIONAL BLOOD CENTER H 412155 ACCRUAL BERGEN COMMUNITY REGIONAL BLOOD CENTER L 734447 ACCRUAL BERGEN COMMUNITY REGIONAL BLOOD CENTER Q 170246 ACCRUAL BERGEN COMMUNITY REGIONAL BLOOD CENTER C 206913 ACCRUAL MID-SOUTH REGIONAL BLOOD CENTER INC G 1869422 ACCRUAL MID-SOUTH REGIONAL BLOOD CENTER INC H 335200 ACCRUAL MID-SOUTH REGIONAL BLOOD CENTER INC L 306179 ACCRUAL MID-SOUTH REGIONAL BLOOD CENTER INC C 74844 ACCRUAL INLAND NORTHWEST BLOOD CENTER H 665435 ACCRUAL INLAND NORTHWEST BLOOD CENTER L 1448464 ACCRUAL INLAND NORTHWEST BLOOD CENTER Q 111938 ACCRUAL INLAND NORTHWEST BLOOD CENTER P 137500 ACCRUAL INLAND NORTHWEST BLOOD CENTER C 76118 ACCRUAL