2018-08-14T12:04:03-05:00 2017-09-30 381357951 PLANTE & MORAN PLLC 511 Renaissance Dr Ste 120 St Joseph MI 49085 990 2016-10-01 382156872 LAKELAND HOSPITALS AT NILES AND ST JOSEPH INC LAKE 2699838166 1234 NAPIER AVE ST JOSEPH MI 49085 TIMOTHY CALHOUN VP - FINANCE & CFO 2699838166 2018-08-13 1 Kenley Penner P00740260 2699828000 2018-08-08 2016 2022-09-23 18:48:47Z lakeland health LOREN HAMEL MD 1234 NAPIER AVE ST JOSEPH MI 49085 597219672 0 X lakelandhealth.org X 1985 MI Lakeland Hospital is a 339 bed acute care hospital and provides a full continuum of healthcare services to it's tri-county area. Lakeland Regional Health System is the parent company for Lakeland Hospitals, nursing homes, and other health-related service corporations serving the tri-county area. 15 12 3212 570 3728590 0 291671 2268432 395036659 404190165 7943456 16735938 301169 331996 403572955 423526531 0 0 0 0 171959644 175836307 0 0 0 193524866 200661935 365484510 376498242 38088445 47028289 788531275 838418382 184196446 182856482 604334829 655561900 TO ENHANCE HEALTH AND SERVE OUR COMMUNITY 0 0 276583715 400461575 HOSPITAL SERVICES PROVIDED TO 13,790 INPATIENTS AND 459,318 OUTPATIENTS. 276583715 1 1 0 0 0 0 0 0 0 0 1 0 0 0 1 0 1 1 0 0 0 0 0 0 0 0 1 1 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 112 0 1 3212 1 1 1 0 0 0 0 0 0 0 0 0 X 15 12 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 MI X TIMOTHY J CALHOUN 2699838166 1234 NAPIER AVENUE st joseph MI 49085 DANIEL HOPP CHAIRMAN 8.00 8.00 X X 0 0 0 TERRENCE ALLEN VICE CHAIRMAN 4.00 4.00 X X 0 0 0 DAVID SCHAFFER SECRETARY/TREASURER 4.00 4.00 X X 0 0 0 LOREN B HAMEL MD PRESIDENT & CEO 15.00 28.00 X X 823810 0 60765 NICKI BRITTEN DIRECTOR 2.00 2.00 X 0 0 0 ANNE BUCKLEITNER DIRECTOR 2.00 4.00 X 0 0 0 LAURIANNE DAVIS DIRECTOR 2.00 2.00 X 0 0 0 LYNN GRAY MD DIRECTOR 2.00 2.00 X 24000 0 0 GEORGE HEENAN MD DIRECTOR 2.00 2.00 X 0 0 0 DEBORAH HABENICHT MD MEDICAL STAFF PRESIDENT 2.00 42.00 X 0 400565 15900 J DOUGLAS HUGGETT DO DIRECTOR 2.00 2.00 X 0 0 0 CAREY MARTIN DIRECTOR 2.00 2.00 X 0 0 0 SCOTT SMITH DIRECTOR 2.00 4.00 X 0 0 0 CHRISTINE VANLANDINGHAM DIRECTOR 2.00 6.00 X 0 0 0 THOMAS YEAGER DIRECTOR 2.00 2.00 X 0 0 0 BETH DODGE DIRECTOR - PART YEAR 2.00 3.00 X 0 0 0 MICHAEL MORTIMORE DIRECTOR - PART YEAR 2.00 2.00 X 0 0 0 KENDALL TROYER VP - OP DIAG & QUALITY 20.00 10.00 X 215916 0 38223 TIMOTHY CALHOUN VP - FINANCE & CFO 15.00 39.00 X 434519 0 45031 RAY CRUSE VP - STRATEGY & HOSPITALITY 20.00 25.00 X 284615 0 31633 LOWELL HAMEL MD VP - MEDICAL AFFAIRS/MD 32.00 0.00 X 347959 0 47409 KENNETH O'NEILL MD VP - CLINICAL INTEGRATION/MD 25.00 17.00 X 322284 0 35252 MARY ANN PATER VP - LEGAL & GENERAL COUNCIL 30.00 10.00 X 217661 0 30370 NORMA TIRADO-KELLENBERGER VP - IT & HR SERVICES 20.00 0.00 X 345455 0 35334 WARREN WHITE VP - MEDICAL PRACTICES 15.00 0.00 X 288950 0 36498 MELINDA GRAHAM-GRUBER VP - POST ACUTE CARE SERVICES 20.00 35.00 X 0 125505 15646 NATALIE BAGGIO VP - PATIENT CARE CNE 20.00 0.00 X 0 0 0 EILEEN WILLITS VP - PATIENT CARE CNE - PART YEAR 20.00 0.00 X 309402 0 38135 DAVID BURGHART VP - PHILANTHROPY - PART YEAR 5.00 25.00 X 200198 0 28062 ROBIN SARKAR ASSISTANT VP - INFO SYS AND CIO 40.00 0.00 X 210924 0 16242 MICHELINO MANCINI EM RESIDENCY PROG DIRECTOR 40.00 0.00 X 207461 0 0 PAUL KONOPACKI ASSISTANT VP OF FINANCE 40.00 0.00 X 187681 0 16972 CHRISTOPHER KUHLMANN CHIEF COMPLIANCE & INTEGRITY OFFICER 40.00 0.00 X 171005 0 24518 JAMES SCHLAMAN EXECUTIVE DIRECTOR DIAGNOSTIC SVCS 40.00 0.00 X 161623 0 26357 4753463 526070 542347 89 0 1 0 SMITHGROUP JJR INC 35 EAST WACKER DR SUITE 900 CHICAGO IL 60601 OTHER 4424255 SUNSET COAST ANESTHESIA ASSOCIATES 1234 NAPIER AVE ST JOSEPH MI 49085 ANESTHESIA SERVICES 2752552 EPMG OF MICHIGAN PC 2000 GREEN ROAD SUITE 300 ANN ARBOR MI 48105 EMERGENCY ROOM SERVICES 1639306 PINE REST CHRISTIAN MENTAL HEALTH SERVIC 300 68TH SE GRAND RAPIDS MI 49501 PROFESSIONAL 1329382 MALL CITY MECHANICAL INC 7184 DOUGLAS AVE KALAMAZOO MI 49009 OTHER 1285982 27 2242290 26142 2268432 PATIENT SERVICE REVENUE (57% MEDI 541380 401975512 398464770 3510742 OTHER OPERATING REVENUE 541380 2214653 1996805 217848 404190165 9380093 9380093 331996 0 331996 331996 331996 180980627 68359 173665451 27690 7315176 40669 7355845 7355845 423526531 400461575 3728590 17067934 4927601 3547873 1379728 135429327 97509115 37920212 5277422 3799744 1477678 19895727 14324923 5570804 10306230 7420486 2885744 366555 366555 358134 358134 1952413 1952413 13786720 9926438 3860282 684432 492791 191641 103133 74256 28877 9538353 6867614 2670739 5580039 4017628 1562411 724919 521942 202977 4069032 2929703 1139329 24106888 17356959 6749929 2083934 1500432 583502 SUPPLIES & DRUGS 75138517 54099732 21038785 PROVISION FOR BAD DEBTS 15571034 15571034 PHYSICIAN RELATIONS 13480374 9705869 3774505 QAAP ASSESSMENTS 10973597 10973597 22143861 15943579 6200282 376498242 276583715 99914527 0 130797360 100444215 19717636 28741825 6755881 6475621 7126591 7643947 509462188 264916892 222712163 244545296 385301862 434063749 16119782 16503729 788531275 838418382 33607174 36826289 95026275 91527637 55562997 54502556 184196446 182856482 X 603014610 652912216 1320219 2649684 604334829 655561900 788531275 838418382 X 47028289 20302823 -16104041 X X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 5145020 5145020 195751643 86017194 109734449 410717 271011 139706 272531098 178628687 93902411 35623710 35623710 244545296 PROVISION FOR MEDICAL MALPRACTICE 16000000 Provision for Deferred Compensation 5483680 PROVISION FOR POSTRETIREMENT BENEFIT 5800973 INTEREST RATE SWAP AGREEMENTS 17746222 DUE TO RELATED PARTIES 4528092 COST REPORT SETTLEMENT PAYABLE 4499904 RETAINAGE 443685 54502556 431718049 20302823 -7916602 12386221 419331828 1952413 2242290 4194703 423526531 360616585 1641790 1641790 358974795 1952413 15571034 17523447 376498242 Part XI, Line 2d - Other Adjustments: CHANGE IN FAIR VALUE OF SWAP AGREEMENT 6,302,234. Provision for Bad Debts -15,571,034. CHANGE IN INTEREST OF NET ASSETS OF CHARITABLE FOUNDATIONS 1,352,198. Part XI, Line 4b - Other Adjustments: contribution from lakeland health foundation, benton harbor/st. joseph 2,154,231. CONTRIBUTION FROM LAKELAND HEALTH FOUNDATION, NILES 88,059. Part XII, Line 2d - Other Adjustments: LOSS ON PACE LOAN 1,641,790. Part XII, Line 4b - Other Adjustments: provision for Bad Debts 15,571,034. 1 1 X 1 X 1 X 1 1 0 1 1 1 8421 2353878 2353878 0.00630 1 97942 83062915 67446114 15616801 0.04150 2 106363 85416793 67446114 17970679 0.04780 465 126598 3211374 3211374 0.00850 149 1465 3391371 3391371 0.00900 1 291 39360 39360 0.00010 94 767 229629 229629 0.00060 709 129121 6871734 6871734 0.01820 711 235484 92288527 67446114 24842413 0.06600 4 142 3049 3049 0.00000 2 396 23152 23152 0.00010 5 175 603 603 0.00000 18 32 4277 4277 0.00000 29 745 31081 31081 0.00010 1 15571034 5868636 109824065 118536273 -8712208 X 1 0 2 1 lakeland hospitals at st joseph 1234 napier avenue st joseph MI 49085 1060000010 X X X X A 2 lakeland hospitals at niles 31 N Saint Joseph Avenue niles MI 49120 1060000065 X X X X A Facility Reporting Group - A 0 0 1 X X X X X X X X X 16 1 1 1 1 X http://www.lakelandhealth.org/docs/default-source/community-health-needs-as X 1 16 1 http://www.lakelandhealth.org/docs/default-source/community-health-needs-as 0 1 X 200.000000000000 250.000000000000 X X X X X X 1 1 X X X X 1 X https://www.lakelandhealth.org/docs/default-source/finance/financial-assist X https://www.lakelandhealth.org/docs/default-source/finance/023-51-confident X https://www.lakelandhealth.org/docs/default-source/Finance/plain-language-s X X X X X X 1 X 0 X X X X 1 X 0 0 Part V, Section B Facility Reporting Group A Facility Reporting Group A consists of: - Facility 2: lakeland hospitals at niles, - Facility 1: lakeland hospitals at st. joseph Group A-Facility 2 -- LAKELAND HOSPITALS AT NILES Part V, Section B, line 5: THE 2016-2019 COMMUNITY HEALTH NEEDS ASSESSMENT (CHNA) WAS A COLLABORATIVE EFFORT THAT INCLUDED INPUT AND DATA FROM 1,300+ RESIDENTS OF BERRIEN, CASS, AND VAN BUREN COUNTIES WHICH MAKE UP LAKELAND'S SERVICE AREA AND REPRESENTS THE BROAD INTERESTS OF THE COMMUNITY RESIDENTS. MANY OF THE COMMUNITY BENEFIT COMMITTEE MEMBERS LISTED BELOW REPRESENT POPULATONS AT-RISK SUCH AS THE MEDICALLY UNDERSERVED, LOW INCOME AND MINORITY POPULATIONS WHICH TAKE INTO ACCOUNT TO ADDRESS HEALTH NEEDS THROUGH A SHARED VISION. PARTNERING ORGANIZATIONS INCLUDE:1. AREA AGENCY ON AGING - REGION 42. BERRIEN COUNTY DEPARTMENT OF HUMAN SERVICES3. BERRIEN COUNTY HEALTH DEPARTMENT4. BERRIEN COUNTY INTERMEDIATE SCHOOL DISTRICTS5. SOUTHWEST MICHIGAN PLANNING COMMISSION6. UNITED WAY OF SOUTHWEST MICHIGAN7. YMCA - BENTON HARBOR/ST. JOSEPH8. YMCA - BUCHANAN/NILESIN ADDITION LAKELAND HEALTH HAS BEEN ACTIVE IN THE IMPORTANT INITIATIVE BE HEALTHY BERRIEN. BE HEALTHY BERRIEN IS A COUNTY WIDE PARTNERSHIP WORKING TOGETHER TO REDUCE OBESITY AND CHRONIC ILLNESS THROUGH POLICY SYSTEMS AND ENVIRONMENTAL CHANGE. Group A-Facility 2 -- LAKELAND HOSPITALS AT NILES Part V, Section B, line 6a: LAKELAND HOSPITAL - NILES, LAKELAND HOSPITAL - WATERVLIET, AND LAKELAND MEDICAL CENTER, ST. JOSEPH Group A-Facility 2 -- LAKELAND HOSPITALS AT NILES Part V, Section B, line 6b: THE CHNA INCLUDED INPUT FROM STAKEHOLDERS AND ORGANIZATIONS THROUGHOUT BERRIEN COUNTY. PARTNERING ORGANIZATIONS INCLUDE: AREA AGENCY ON AGING, BERRIEN COUNTY DEPARTMENT OF HUMAN SERVICES, BERRIEN COUNTY HEALTH DEPARTMENT, BERRIEN COUNTY INTERMEDIATE SCHOOL DISTRICT, SOUTHWEST MICHIGAN PLANNING COMMISSION, UNITED WAY OF SOUTHWEST MICHIGAN, AND THE YMCA. IN ADDITION, LAKELAND PARTNERS WITH OTHER ORGANIZATIONS IN BE HEALTHY BERRIEN, A COUNTY WIDE PARTNERSHIP TO REDUCE OBESITY AND ADDRESS OTHER SOCIAL DETERMINANTS OF HEALTH THROUGH POLICY AND ENVIRONMENTAL CHANGE. Group A-Facility 2 -- LAKELAND HOSPITALS AT NILES Part V, Section B, line 11: THE DETERMINED PRIORITY HEALTH NEEDS FROM THE CHNA FOR 2016-2019 FALL INTO FOUR BROAD CATEGORIES:1. NEEDS THAT ARE RELATED TO SPECIFIC HEALTH FUNCTIONS; THEY INCLUDE MENTAL HEALTH, OBESITY, DIABETES, AND CARDIOVASCULAR CONDITIONS;2. NEEDS THAT ARE A FUNCTION OF THE WAYS IN WHICH THE HEALTH SYSTEM OPERATES; THEY INCLUDE PROVIDER AVAILABILITY, COST OF CARE, AND HEALTH EDUCATION AND INFORMATION;3. NEEDS THAT ARE SOCIAL DETERMINANTS OF GOOD HEALTH; AND4. STRATEGIC USE OF RESOURCES - THE STRATEGY IS BASED ON THOUGHTFUL ACQUISITION AND UTILIZATION OF KEY RESOURCESWITH STATISTICS SUPPORTING IDENTIFIED NEEDS, LAKELAND HEALTH MADE THESE HEALTH CONCERNS A PRIORITY AND REMAINS VESTED ON POSITIVELY IMPACTING THE HEALTH OF OUR COMMUNITY WITH EXEMPLARY CARE THAT IS FOCUSED ON THE UNIQUE NEEDS OF PEOPLE LIVING AND WORKING IN BERRIEN COUNTY. FURTHERMORE, OUR IMPLEMENTATION STRATEGY SET THREE MAIN OBJECTIVES TO MEASURE COMMUNITY OUTCOMES: 1. PROMOTE HEALTHY LIFESTYLES; 2. DELIVER HEALTH EDUCATION PROGRAMS; AND 3. ACCESS TO AFFORDABLE HEALTHCARE Group A-Facility 2 -- LAKELAND HOSPITALS AT NILES Part V, Section B, line 13b: CATASTROPHIC QUALIFICATION: IF BALANCES ON ACCOUNT OVER THE PRIOR 12 MONTHS ARE GREATER THAN 25% OF ANNUAL INCOME; ACCOUNTS WITH THE 240 DAYS POST DISCHARGE STATEMENT QUALIFY FOR ADJUSTMENT TO AGB NOT TO EXCEED IN TOTAL 25% OF THE ANNUAL INCOME FOR BALANCE DUE. Group A-Facility 1 -- LAKELAND HOSPITALS AT ST. JOSEPH Part V, Section B, line 5: THE 2016-2019 COMMUNITY HEALTH NEEDS ASSESSMENT (CHNA) WAS A COLLABORATIVE EFFORT THAT INCLUDED INPUT AND DATA FROM 1,300+ RESIDENTS OF BERRIEN, CASS, AND VAN BUREN COUNTIES WHICH MAKE UP LAKELAND'S SERVICE AREA AND REPRESENTS THE BROAD INTERESTS OF THE COMMUNITY RESIDENTS. MANY OF THE COMMUNITY BENEFIT COMMITTEE MEMBERS LISTED BELOW REPRESENT POPULATONS AT-RISK SUCH AS THE MEDICALLY UNDERSERVED, LOW INCOME AND MINORITY POPULATIONS WHICH TAKE INTO ACCOUNT TO ADDRESS HEALTH NEEDS THROUGH A SHARED VISION. PARTNERING ORGANIZATIONS INCLUDE:1. AREA AGENCY ON AGING - REGION 42. BERRIEN COUNTY DEPARTMENT OF HUMAN SERVICES3. BERRIEN COUNTY HEALTH DEPARTMENT4. BERRIEN COUNTY INTERMEDIATE SCHOOL DISTRICTS5. SOUTHWEST MICHIGAN PLANNING COMMISSION6. UNITED WAY OF SOUTHWEST MICHIGAN7. YMCA - BENTON HARBOR/ST. JOSEPH8. YMCA - BUCHANAN/NILESIN ADDITION LAKELAND HEALTH HAS BEEN ACTIVE IN THE IMPORTANT INITIATIVE BE HEALTHY BERRIEN. BE HEALTHY BERRIEN IS A COUNTY WIDE PARTNERSHIP WORKING TOGETHER TO REDUCE OBESITY AND CHRONIC ILLNESS THROUGH POLICY SYSTEMS AND ENVIRONMENTAL CHANGE. Group A-Facility 1 -- LAKELAND HOSPITALS AT ST. JOSEPH Part V, Section B, line 6a: LAKELAND HOSPITAL - NILES, LAKELAND HOSPITAL - WATERVLIET, AND LAKELAND MEDICAL CENTER, ST. JOSEPH Group A-Facility 1 -- LAKELAND HOSPITALS AT ST. JOSEPH Part V, Section B, line 6b: THE CHNA INCLUDED INPUT FROM STAKEHOLDERS AND ORGANIZATIONS THROUGHOUT BERRIEN COUNTY. PARTNERING ORGANIZATIONS INCLUDE: AREA AGENCY ON AGING, BERRIEN COUNTY DEPARTMENT OF HUMAN SERVICES, BERRIEN COUNTY HEALTH DEPARTMENT, BERRIEN COUNTY INTERMEDIATE SCHOOL DISTRICT, SOUTHWEST MICHIGAN PLANNING COMMISSION, UNITED WAY OF SOUTHWEST MICHIGAN, AND THE YMCA. IN ADDITION, LAKELAND PARTNERS WITH OTHER ORGANIZATIONS IN BE HEALTHY BERRIEN, A COUNTY WIDE PARTNERSHIP TO REDUCE OBESITY AND ADDRESS OTHER SOCIAL DETERMINANTS OF HEALTH THROUGH POLICY AND ENVIRONMENTAL CHANGE. Group A-Facility 1 -- LAKELAND HOSPITALS AT ST. JOSEPH Part V, Section B, line 11: THE DETERMINED PRIORITY HEALTH NEEDS FROM THE CHNA FOR 2016-2019 FALL INTO FOUR BROAD CATEGORIES:1. NEEDS THAT ARE RELATED TO SPECIFIC HEALTH FUNCTIONS; THEY INCLUDE MENTAL HEALTH, OBESITY, DIABETES, AND CARDIOVASCULAR CONDITIONS;2. NEEDS THAT ARE A FUNCTION OF THE WAYS IN WHICH THE HEALTH SYSTEM OPERATES; THEY INCLUDE PROVIDER AVAILABILITY, COST OF CARE, AND HEALTH EDUCATION AND INFORMATION;3. NEEDS THAT ARE SOCIAL DETERMINANTS OF GOOD HEALTH; AND4. STRATEGIC USE OF RESOURCES - THE STRATEGY IS BASED ON THOUGHTFUL ACQUISITION AND UTILIZATION OF KEY RESOURCESWITH STATISTICS SUPPORTING IDENTIFIED NEEDS, LAKELAND HEALTH MADE THESE HEALTH CONCERNS A PRIORITY AND REMAINS VESTED ON POSITIVELY IMPACTING THE HEALTH OF OUR COMMUNITY WITH EXEMPLARY CARE THAT IS FOCUSED ON THE UNIQUE NEEDS OF PEOPLE LIVING AND WORKING IN BERRIEN COUNTY. FURTHERMORE, OUR IMPLEMENTATION STRATEGY SET THREE MAIN OBJECTIVES TO MEASURE COMMUNITY OUTCOMES: 1. PROMOTE HEALTHY LIFESTYLES; 2. DELIVER HEALTH EDUCATION PROGRAMS; AND 3. ACCESS TO AFFORDABLE HEALTHCARE Group A-Facility 1 -- LAKELAND HOSPITALS AT ST. JOSEPH Part V, Section B, line 13b: CATASTROPHIC QUALIFICATION: IF BALANCES ON ACCOUNT OVER THE PRIOR 12 MONTHS ARE GREATER THAN 25% OF ANNUAL INCOME; ACCOUNTS WITH THE 240 DAYS POST DISCHARGE STATEMENT QUALIFY FOR ADJUSTMENT TO AGB NOT TO EXCEED IN TOTAL 25% OF THE ANNUAL INCOME FOR BALANCE DUE. Part I, Line 7: THE COST TO CHARGE RATIO USED WAS BASED ON THE COST REPORT. PART I, LINE 7, COLUMN (F): THE BAD DEBT EXPENSE INCLUDED ON FORM 990, PART IX, LINE 25, COLUMN (A), BUT SUBTRACTED FOR PURPOSES OF CALCULATING THE PERCENTAGE IN THIS COLUMN IS $15,571,034. PART I, lines 7f and 7i: HEALTH PROFESSIONS EDUCATION - INCLUDES PROVIDING A CLINICAL SETTING FOR UNDERGRADUATE AND GRADUATE STUDENTS, VOCATIONAL TRAINING, AND THE PROFESSIONAL HEALTH CAREERS ACADEMY FOR ELEVENTH AND TWELFTH GRADE STUDENTS.CASH & IN-KIND DONATIONS TO COMMUNITY GROUPS - REPRESENTS LAKELAND'S FINANCIAL AND IN-KIND CONTRIBUTIONS TO SOCIAL SERVICES OR COMMUNITY AGENCIES FOR HEALTHCARE RELATED ACTIVITIES, MEDICAL SUPPORT FOR COMMUNITY EVENTS, SUCH AS THE STEELHEAD TRIATHLON, DONATION OF MEDICAL SUPPLIES TO NON-PROFIT AGENCIES, UNITED WAY FUND RAISING, GIRLS ON THE RUN, AND LEADERSHIP ON MANY COMMUNITY BOARDS. FINANCIAL ASSISTANCE - COVERS THE FREE OR DISCOUNTED CARE THAT LAKELAND OFFERS TO THOSE WHO CANNOT AFFORD TO PAY OR ARE NOT ELIGIBLE FOR PUBLIC PROGRAMS.FINANCIAL ASSISTANCE DOES NOT INCLUDE THE BAD DEBT COST, WHICH TOTALED $15,571,034 IN FY 2017 OR THE SURPLUS OF MEDICARE, WHICH TOTALED $-8,712,208. UNREIMBURSED MEDICAID- REPRESENTS THE COST OF CARING FOR PEOPLE COVERED BY MEDICAID MINUS THE AMOUNT LAKELAND RECEIVES FROM THOSE PROGRAMS. Part II, Community Building Activities: COMMUNITY BUILDING ACTIVITIES INCLUDE HOSTS MENTORING PROGRAM FOR YOUNG CHILDREN AND SPONSORING THE ANNUAL LUNCHEON FOR THE STUDENTS AND THEIR MENTORS, HEALTH CAREER PRESENTATIONS TO AREA STUDENTS, DISASTER READINESS, YOUNG ENTREPRENEURS DAY FOR AREA HIGH SCHOOL STUDENTS & IMPROVEMENTS TO HARBOR TOWERS BRINGING CARE TO THOSE WHO ARE UNABLE OR IT IS EXTREMELY DIFFICULT TO RECEIVE CARE. Part III, Line 2: THE TOTAL BAD DEBT OF $15,571,034 EQUALS THE AMOUNT INCLUDED ON FORM 990, PART IX, LINE 25, COLUMN (A). Part III, Line 3: THE ESTIMATED AMOUNT OF THE ORGANIZATION'S BAD DEBT EXPENSE ATTRIBUTABLE TO PATIENTS WHO LIKELY WOULD QUALIFY UNDER THE HOSPITAL'S FINANCIAL ASSISTANCE POLICY IS DETERMINED BY MULTIPLYING THE TOTAL BAD DEBT EXPENSE BY A RATIO OF ADJUSTED PATIENT CARE COST DIVIDED BY ADJUSTED PATIENT CARE CHARGES. Part III, Line 4: ACCOUNTS RECEIVABLE FOR PATIENTS, INSURANCE COMPANIES, AND GOVERNMENTAL AGENCIES ARE BASED ON GROSS CHARGES. AN ALLOWANCE FOR CONTRACTUAL ADJUSTMENTS AND INTERIM PAYMENT ADVANCES IS BASED ON EXPECTED PAYMENT RATES FROM PAYORS BASED ON CURRENT REIMBURSEMENT METHODOLOGIES. THIS AMOUNT ALSO INCLUDES AMOUNTS RECEIVED AS INTERIM PAYMENTS AGAINST UNPAID CLAIMS BY CERTAIN PAYORS. ACCOUNTS RECEIVABLE ARE REDUCED BY AN ALLOWANCE FOR DOUBTFUL ACCOUNTS. IN EVALUATING THE COLLECTIBILITY OF ACCOUNTS RECEIVABLE, THE HOSPITAL ANALYZES ITS PAST HISTORY AND IDENTIFIES TRENDS FOR EACH OF ITS MAJOR PAYOR SOURCES OF REVENUE TO ESTIMATE THE APPROPRIATE ALLOWANCE FOR DOUBTFUL ACCOUNTS AND PROVISION FOR BAD DEBTS. MANAGEMENT REGULARLY REVIEWS DATA ABOUT THESE MAJOR PAYOR SOURCES OF REVENUE IN EVALUATING THE SUFFICIENCY OF THE ALLOWANCE FOR DOUBTFUL ACCOUNTS. FOR RECEIVABLES ASSOCIATED WITH SERVICES PROVIDED TO PATIENTS WHO HAVE THIRD-PARTY COVERAGE, THE HOSPITAL ANALYZES CONTRACTUALLY DUE AMOUNTS AND PROVIDES AN ALLOWANCE FOR DOUBTFUL ACCOUNTS AND A PROVISION FOR BAD DEBTS, IF NECESSARY (FOR EXAMPLE, FOR EXPECTED UNCOLLECTIBLE DEDUCTIBLES AND COPAYMENTS ON ACCOUNTS FOR WHICH THE THIRD-PARTY PAYOR HAS NOT YET PAID, OR FOR PAYORS WHO ARE KNOWN TO BE HAVING FINANCIAL DIFFICULTIES THAT MAKE THE REALIZATION OF AMOUNTS DUE UNLIKELY). FOR RECEIVABLES ASSOCIATED WITH SELF-PAY PATIENTS (WHICH INCLUDES BOTH PATIENTS WITHOUT INSURANCE AND PATIENTS WITH DEDUCTIBLE AND COPAYMENT BALANCES DUE FOR WHICH THIRD-PARTY COVERAGE EXISTS FOR PART OF THE BILL), THE HOSPITAL RECORDS A SIGNIFICANT PROVISION FOR BAD DEBTS IN THE PERIOD OF SERVICE ON THE BASIS OF ITS PAST EXPERIENCE, WHICH INDICATES THAT MANY PATIENTS ARE UNABLE OR UNWILLING TO PAY THE PORTION OF THEIR BILL FOR WHICH THEY ARE FINANCIALLY RESPONSIBLE. THE DIFFERENCE BETWEEN THE STANDARD RATES (OR THE DISCOUNTED RATES IF NEGOTIATED) AND THE AMOUNTS ACTUALLY COLLECTED AFTER ALL REASONABLE COLLECTION EFFORTS HAVE BEEN EXHAUSTED IS CHARGED OFF AGAINST THE ALLOWANCE FOR DOUBTFUL ACCOUNTS IN THE PERIOD THEY ARE DETERMINED TO BE UNCOLLECTIBLE.PATIENT CHARGES WRITTEN OFF PURSUANT TO FINANCIAL ASSISTANCE POLICIES ARE TRACKED AND ARE DETERMINED TO BE COMMUNITY BENEFIT. Part VI, Line 2: THE ORGANIZATION USES NEEDS ASSESSMENT PREPARED BY THE COUNTY HEALTH DEPARTMENT AND PARTICIPATES IN A REGIONAL HEALTHY BERRIEN COMMUNITY COMMITTEE TO ADDRESS HEALTH NEEDS. Part VI, Line 3: THE ORGANIZATION EMPLOYS MORE THAN 12 FINANCIAL COUNSELORS WHO ASSIST PATIENTS WITH ELIGIBILITY. Part VI, Line 4: THE SYSTEM SERVES APPROXIMATELY 284,000 RESIDENTS IN BERRIEN COUNTY AND SURROUNDING AREAS. APPROXIMATELY 17% ARE BELOW POVERTY LEVEL. Part VI, Line 5: COMMUNITY HEALTH IMPROVEMENT SERVICES & COMMUNITY BENEFIT OPERATIONS - REPRESENTS ACTIVITIES THAT HELP IMPROVE THE HEALTH AND QUALITY OF LIFE FOR PEOPLE IN THE COMMUNITY. HEALTH PRESENTATIONS INCLUDE: STROKE 101, MY PLATE 101, BABYSITTING WITH CONFIDENCE, EXPECTANT PARENT CLASS, SMOKE FREE LIFE, BABY THINK IT OVER, SENIOR-EXPO, PRE-DIABETES, FALLS PREVENTION & MEDICATION SAFETY, HEARTSAFE AND MY HEART 101. LAKELAND ALSO HOSTED MANY HEALTH SPEAKER SERIES SUCH AS BACK SURGERY - TYPES, RECOVERY, RISKS & BENEFITS, EAR NOSE & THROAT CONDITIONS, MANAGING DEPRESSION OR BIPOLAR DISORDER, WEIGHT LOSS, WHY SEE A RHEUMATOLOGIST FOR EVALUATION OF JOINT PAIN, & USES OF THE DAVINCI ROBOT. CANCER SCREENINGS INCLUDE: LUNG, PROSTATE, BREAST, SKIN AND COLORECTAL. SUPPORT PROGRAMS INCLUDE: LOOK GOOD...FEEL BETTER, RAINBOWS OF HOPE, PARKINSON'S, BREASTFEEDING, SMOKE FREE LIFE, SOUTHWEST MICHIGAN OSTOMY AND MANY HOSPICE SUPPORT GROUPS. LAKELAND SUPPORTS PARISH AND SENIOR CENTER NURSES, AND NUMEROUS HEALTH SCREENINGS SUCH AS BONE DENSITY, BLOOD PRESSURE AND CHOLESTEROL. COMMUNITY-BASED CLINICAL SERVICES INCLUDES: THE SANE (SEXUAL ASSAULT NURSE EXAMINER) CLINIC AND THE SICKLE CELL CLINIC. HEALTH CARE SUPPORT SERVICES ENCOMPASS: ASSISTANCE TO ENROLL IN PUBLIC MEDICAL PROGRAMS, THE HEALTH RESOURCE LIBRARY AT NILES, FREE OR DISCOUNTED PRESCRIPTIONS/SUPPLIES, TRANSPORTATION, MEDICAL EQUIPMENT, HOME CARE, HOME INFUSION, CALLSAFE FINANCIAL ASSISTANCE, HARVEST GATHERING FOOD DRIVE, MEALS ON WHEELS, AND CAR SEAT CHECKS. Part VI, Line 6: THE ORGANIZATION IS PART OF LAKELAND REGIONAL HEALTH SYSTEM WHICH SERVES THE SAME GEOGRAPHIC AREA FOR HEALTHCARE RELATED SERVICES. Part VI, Line 7, Reports Filed With States MI X X X X 0 1 0 0 0 0 0 0 0 LOREN B HAMEL MD PRESIDENT & CEO 598084 0 179670 0 46056 0 51917 0 8848 0 884575 0 0 0 DEBORAH HABENICHT MD MEDICAL STAFF PRESIDENT 0 250016 0 123856 0 26693 0 15900 0 0 0 416465 0 0 KENDALL TROYER VP - OP DIAG & QUALITY 192726 0 19126 0 4064 0 21445 0 16778 0 254139 0 0 0 TIMOTHY CALHOUN VP - FINANCE & CFO 348199 0 68401 0 17919 0 36183 0 8848 0 479550 0 0 0 RAY CRUSE VP - STRATEGY & HOSPITALITY 229800 0 45802 0 9013 0 27465 0 4168 0 316248 0 0 0 LOWELL HAMEL MD VP - MEDICAL AFFAIRS/MD 274938 0 56761 0 16260 0 31498 0 15911 0 395368 0 0 0 KENNETH O'NEILL MD VP - CLINICAL INTEGRATION/MD 272065 0 26422 0 23797 0 26733 0 8519 0 357536 0 0 0 MARY ANN PATER VP - LEGAL & GENERAL COUNCIL 188446 0 19344 0 9871 0 21851 0 8519 0 248031 0 0 0 NORMA TIRADO-KELLENBERGER VP - IT & HR SERVICES 274988 0 56108 0 14359 0 29804 0 5530 0 380789 0 0 0 WARREN WHITE VP - MEDICAL PRACTICES 228892 0 46956 0 13102 0 27650 0 8848 0 325448 0 0 0 EILEEN WILLITS VP - PATIENT CARE CNE - PART YEAR 245044 0 50138 0 14220 0 29287 0 8848 0 347537 0 0 0 DAVID BURGHART VP - PHILANTHROPY - PART YEAR 174440 0 18564 0 7194 0 19214 0 8848 0 228260 0 0 0 ROBIN SARKAR ASSISTANT VP - INFO SYS AND CIO 198309 0 11279 0 1336 0 7394 0 8848 0 227166 0 0 0 MICHELINO MANCINI EM RESIDENCY PROG DIRECTOR 138965 0 1440 0 67056 0 0 0 0 0 207461 0 0 0 PAUL KONOPACKI ASSISTANT VP OF FINANCE 173800 0 13845 0 36 0 219 0 16753 0 204653 0 0 0 CHRISTOPHER KUHLMANN CHIEF COMPLIANCE & INTEGRITY OFFICER 159961 0 9708 0 1336 0 7740 0 16778 0 195523 0 0 0 JAMES SCHLAMAN EXECUTIVE DIRECTOR DIAGNOSTIC SVCS 157547 0 2740 0 1336 0 9579 0 16778 0 187980 0 0 0 Part I, Line 4b LAKELAND MAINTAINS A 457(F) NONQUALIFIED DEFERRED COMPENSATION PLAN FOR A SELECT GROUP OF MANAGEMENT AND HIGHLY COMPENSATED EMPLOYEES. THE INDIVIDUALS LISTED IN PART VII WHO PARTICIPATED IN THE PLAN ARE: LOREN HAMEL, MD; TIMOTHY CALHOUN; DAVID BURGHART; RAY CRUSE; LOWELL HAMEL, MD; KENNETH O'NEILL, MD; MARY ANN PATER; NORMA TIRADO-KELLENBERGER; WARREN WHITE; EILEEN WILLITS, BRANDI SMITH-GORDON, NATALIE BAGGIO, MELINDA GRAHAM-GRUBER A hospital authority of the city of st joseph (michigan) 383151499 790678cc8 2003-12-17 41525000 refund bonds issued 1/13/94 and facility construction and improvements 0 0 0 B hospital authority of the city of st joseph (michigan) 383151499 790678Cd6 2006-01-26 50000000 facility construction and improvements 0 0 0 A 41643043 193091 31392506 10057446 2004 1 0 1 1 B 52613405 467500 1012738 51133167 2007 0 0 1 1 A 0 0 1 1 0 0 0 0 B 0 0 0 0 0 0 0 A 0 0 1 0 1 1 ubs ag 28.000000000000 0 0 0 0 0 B 1 1 1 ubs ag 28.900000000000 0 0 1 citigroup global markets 2.700000000000 1 0 0 A 0 B 0 Form 990, Part VI, Section A, line 2 LOREN HAMEL, MD AND LOWELL HAMEL, MD HAVE A FAMILY RELATIONSHIP. Form 990, Part VI, Section B, line 11b A COPY OF THE 990 HAS BEEN POSTED ON THE BOARD PORTAL FOR REVIEW PRIOR TO FILING. THE BOARD PORTAL IS AVAILABLE TO ALL BOARD MEMBERS. Form 990, Part VI, Section B, line 12c THE CORPORATE COMPLIANCE DEPARTMENT, IN ACCORDANCE WITH THE CONFLICT OF INTEREST POLICY, ANNUALLY DISTRIBUTES THE CONFLICT OF INTEREST DISCLOSURE SURVEY TO ALL CORPORATE AND SUBSIDIARY ORGANIZATION BOARD MEMBERS, EXECUTIVES AND OTHER LEADERSHIP EMPLOYEES. THE CORPORATE COMPLIANCE DEPARTMENT, THROUGH THE GOVERNANCE COMMITTEE, COMPILES AND ANALYZES SURVEY DATA BY ORGANIZATION, INVESTIGATES, AND REVIEWS POTENTIAL CONFLICTS WITH THE ORGANIZATION'S CEO AND BOARD CHAIR, AND WHEN NECESSARY, RECOMMENDS ACTIONS TO BE TAKEN TO RESOLVE IDENTIFIED CONFLICTS. A COMPLETE REPORT OF ALL CORPORATE AND SUBSIDIARY BOARD MEMBER AND EXECUTIVE DISCLOSURES, CONFLICTS IDENTIFIED AND ACTIONS TAKEN IS REVIEWED BY THE GOVERNANCE COMMITTEE AND EACH SUBSIDIARY CEO AND BOARD CHAIR RECEIVES A REPORT SPECIFIC TO THEIR ORGANIZATION'S BOARD MEMBERS AND EXECUTIVES. BOARD MEMBERS FAILING TO COMPLETE A DISCLOSURE SURVEY OR INTENTIONALLY FAILING TO REPORT A KNOWN CONFLICT OF INTEREST ARE ASKED TO RESIGN. Form 990, Part VI, Section B, line 15 AN INDEPENDENT FIRM IS HIRED BY THE BOARD TO DETERMINE COMPENSATION PACKAGES FOR THE CEO AND SENIOR MANAGEMENT ON AN ANNUAL BASIS. THE FIRM PRESENTS COMPARATIVE PAY RANGES AND COMPENSATION RECOMMENDATIONS TO THE GOVERNANCE (COMPENSATION) COMMITTEE FOR THEIR APPROVAL. FOR SENIOR MANAGEMENT, THE CEO CAN PROVIDE INPUT AND RECOMMENDATIONS TO THE GOVERNANCE COMMITTEE. FOR THE CEO'S COMPENSATION, THE GOVERNANCE COMMITTEE PRESENTS THE COMPENSATION PACKAGE TO THE FULL BOARD FOR APPROVAL. WRITTEN CONTRACTS FOR THE CEO ARE APPROVED BY THE FULL BOARD OF DIRECTORS. THE MOST RECENT YEAR THIS PROCESS WAS UNDERTAKEN WAS FISCAL YEAR 2017. Form 990, Part VI, Section C, line 19 THE GOVERNING DOCUMENTS AND THE CONFLICT OF INTEREST POLICY ARE AVAILABLE UPON REQUEST. Form 990, Part XI, line 9: CHANGE IN FAIR VALUE OF SWAP AGREEMENTS 6,302,234. CHANGE IN INTEREST OF NET ASSETS OF CHARITABLE FOUNDATIONS 1,352,198. CHANGE OF INTEREST IN PARTNERSHIP -2,394. ALLOCATION OF EXPENSES TO RELATED PARTIES -860,571. TRANSFERS TO RELATED ORGANIZATIONS -21,253,718. LOSS ON PACE LOAN -1,641,790. FORM 990, PART XII, LINE 2C: THERE HAS BEEN NO CHANGE IN THE AUDIT OVERSIGHT PROCESS FROM THE PRIOR YEAR. LAKELAND REGIONAL HEALTH SYSTEM INC 1234 NAPIER AVE ST JOSEPH MI 49085 382609624 PROVIDE A COMPREHENSIVE SYSTEM OF HEALTH CARE TO CITIZENS OF THE COMMUNITY MI 501(c)(3) Line 12b, II N/A 0 LAKELAND SPECIALITY HOSPITAL AT BERRIEN CENTER 1234 NAPIER AVE ST JOSEPH MI 49085 383452303 LONGTERM HEALTHCARE/HEALING SERVICES MI 501(c)(3) Line 3 LAKELAND REGIONAL HEALTH SYSTEM INC 1 LAKELAND HEALTH FOUNDATION BENTON HARBORST JOSEPH 1234 NAPIER AVE ST JOSEPH MI 49085 382539929 PROMOTE AND ASSIST IN PROVIDING HEALTH CARE MI 501(c)(3) Line 7 LAKELAND REGIONAL HEALTH SYSTEM INC 1 LAKELAND HEALTH FOUNDATION NILES 1234 NAPIER AVE ST JOSEPH MI 49085 383130558 PROMOTE/ASSIST IN PROVIDING HEALTH CARE SERVICES IN SOUTHWESTERN MICHIGAN MI 501(c)(3) Line 7 LAKELAND REGIONAL HEALTH SYSTEM INC 1 MERCY MEMORIAL HEALTH SERVICES INC 3425 LAKESHORE DRIVE ST JOSEPH MI 49085 382748035 PROVIDE HOMECARE AND LONG-TERM HEALTHCARE TO PATIENTS IN SOUTHWEST MICHIGAN MI 501(c)(3) Line 10 LAKELAND REGIONAL HEALTH SYSTEM INC 1 LAKELAND COMMUNITY HOSPITAL - WATERVLIET 400 MEDICAL PARK DRIVE WATERVLIET MI 49098 381368745 TO PROVIDE GENERAL HEALTH OF THE COMMUNITY THROUGH EDUCATION AND HEALTHCARE MI 501(c)(3) Line 3 LAKELAND REGIONAL HEALTH SYSTEM INC 1 HOSPICE AT HOME INC 4025 HEALTH PARK LANE ST JOSEPH MI 49085 382416086 TO PROVIDE HOSPICE AND PALLIATIVE CARE TO THE TERMINALLY ILL MI 501(c)(3) Line 7 LAKELAND REGIONAL HEALTH SYSTEM INC 1 LAKELAND HEALTH ENTERPRISES INC 31 NORTH ST JOSEPH AVENUE NILES MI 49120 382669798 ACCOUNTING AND BILLING MI N/A C 1 PHARMACY SHOPPE INC DBA LAKELAND PHARMACY SHOPPE INC 1234 NAPIER AVE ST JOSEPH MI 49085 382929090 PHARMACEUTICALS MI N/A C 1 LAKELAND MEDICAL PRACTICES 1234 NAPIER AVE ST JOSEPH MI 49085 270381199 MEDICAL ADMINISTRATIVE SERVICES MI N/A C 1 SOUTHWESTERN MEDICAL CLINIC PHYSICIANS INC 1234 NAPIER AVE ST JOSEPH MI 49085 272589359 PHYSICIAN OFFICE MI N/A C 1 FOUR FLAGS PROPERTIES INC 122 GRANT STREET NILES MI 49120 364501639 PROPERTY MANAGEMENT/RENTAL MI N/A C 1 LAKELAND HEALTH VENTURES INC 1234 NAPIER AVE ST JOSEPH MI 49085 272313790 HOLDING COMPANY MI N/A C 1 LAKELAND PHYSICIAN CARE NETWORK 1234 NAPIER AVE ST JOSEPH MI 49085 208513031 MEDICAL SERVICES MI N/A C 1 LAKELAND PERSONAL CARE SERVICES INC 1234 NAPIER AVE ST JOSEPH MI 49085 272990797 HEALTH CARE SERVICES MI N/A C 1 0 1 1 0 0 0 0 0 0 0 1 0 0 0 1 0 1 1 0 LAKELAND HEALTH FOUNDATION BENTON HARBORST JOSEPH C 2154231 ACTUAL AMOUNT OF GRANT LAKELAND HEALTH FOUNDATION BENTON HARBORST JOSEPH O 376193 ALLOCATION OF EXPENSE LAKELAND HEALTH FOUNDATION NILES O 131544 ALLOCATION OF EXPENSE LAKELAND COMMUNITY HOSPITAL - WATERVLIET O 111874 ALLOCATION OF EXPENSE HOSPICE AT HOME INC O 240960 ALLOCATION OF EXPENSE FOUR FLAGS PROPERTIES R 11751267 ACTUAL AMOUNT OF TRANSFER LAKELAND MEDICAL PRACTICES R 2742018 ACTUAL AMOUNT OF TRANSFER LAKELAND HEALTH FOUNDATION NILES C 88059 ACTUAL AMOUNT OF GRANT MERCY MEMORIAL HEALTH SERVICES O 226580 ALLOCATION OF EXPENSE LAKELAND REGIONAL HEALTH SYSTEM O 313061 ALLOCATION OF EXPENSE LAKELAND COMMUNITY HOSPITAL - WATERVLIET Q 175395 ALLOCATION OF EXPENSE HOSPICE AT HOME INC Q 3500178 ALLOCATION OF EXPENSE LAKELAND MEDICAL PRACTICES R 7302451 ACTUAL AMOUNT OF TRANSFER LAKELAND SPECIALTY HOSPITAL AT BERRIEN CENTER R 1000000 ACTUAL AMOUNT OF TRANSFER MERCY MEMORIAL HEALTH SERVICES R 1200000 ACTUAL AMOUNT OF TRANSFER