2016-11-10T14:26:59-06:00 2015-12-31 ERNST & YOUNG US LLP 155 N WACKER DRIVE 20 FLOOR CHICAGO IL 60606 990 2015-01-01 350877574 Elkhart General Hospital Inc % JEFFREY COSTELLO ELKG 5745233208 600 EAST BLVD ELKHART IN 46514 JEFFREY COSTELLO CFO 5746473549 2016-11-09 true JACOB J ZEHNDER P01564049 3128792702 2015 2017-02-10 21:41:12Z KREG GRUBER 600 EAST BLVD ELKHART IN 46514 303454191 false X WWW.EGH.ORG X 1909 IN SEE SCHEDULE O 16 14 2235 170 635266 -92634 141795 338666 310651465 295797315 7414614 -77989 9069291 6996736 327277165 303054728 394765 392456 0 0 102961217 102871684 0 0 0 175787981 172393722 279143963 275657862 48133202 27396866 279639742 281288952 163724126 154438488 115915616 126850464 X TO CREATE A HEALTHIER COMMUNITY BY BEING A PREMIER PROVIDER OF HEALTHCARE; PROMOTING THE HEALTH AND WELL-BEING OF INDIVIDUALS AND FAMILIES BY PROVIDING EDUCATION THAT MAY AID IN DETECTION AND PREVENTION OF DISEASE; CONDUCTING OUR ACTIVITIES WITH COMPASSION AND RESPECT; ACTING WITH RECOGNITION THAT HEALTH IS HOLISTIC AND EMBRACES THE BODY, MIND, AND SPIRIT; SEEKING AND PARTNERING WITH THOSE WHO SHARE OUR MISSION; CONTINUOUSLY IMPROVING THE QUALITY AND COST-EFFECTIVENESS OF OUR SERVICES; MAINTAINING THE FINANCIAL VIABILITY OF THE HOSPITAL WHILE CONTINUING OUR CHARITABLE ROLE IN THE COMMUNITY. false true 239708125 392456 299375153 Elkhart General Hospital, Inc, has been providing comprehensive, advanced medical care primarily to Elkhart County and other contiguous counties in north central Indiana and south central Michigan for over 100 years. Elkhart General Hospital, Inc. consists of a 365-bed licensed hospital that provides services without regard to patient race, religion, national origin, economic status, or ability to pay. During 2015, the Hospital admitted 11,566 patients for a total of 46,219 inpatient days. Inpatient units consisted of medical, post-surgical, oncology, pediatric, critical care, cardiac care, behavioral health, rehabilitation, obstetric, and nursery intensive care. The Hospital also provided services for 195,122 of outpatient visits including 3,600 outpatient surgeries, 62,063 emergency room visits, and 129,459 visits for diagnostic services. During 2015, the unreimbursed cost of free or discounted medical care provided to patients that were deemed indigent under state, county, or internal guidelines was $2,364,258. Elkhart General Hospital also provided $29,792,141 in unreimbursed care to the elderly covered by Medicare, and $3,020,586 in Charity Care. Part of the mission of Elkhart General Hospital is to provide for a healthier community through medication assistance programs and community health education, the hospital incurred $860,000 in unbilled services to the poor and broader community. 239708125 true true false true false false false false false true true false false false true false false true false false true false false false false false true true true true true true false false false false false false false false false false false false false false false true true true false false true 184 0 true 2235 true true true false false false false false false false false false X 16 14 true false false false true true true true true false false true true true true true true false false true true IN X JEFFREY COSTELLO 5746473549 615 N MICHIGAN STREET SOUTH BEND IN 46601 Pam Hluchota Vice Chair 2.0 0.0 X X 0 0 0 Wilbur Bontrager TREASURER 2.0 0.0 X X 0 0 0 Mark Kaaseen MD Secretary THRU 4/2015 2.0 0.0 X X 0 0 0 Todd Martin VOLUNTEER BOARD MEMBER 2.0 0.0 X 0 0 0 Linda Rothrock-Jurus VOL BOARD MEMBER THRU 4/2015 2.0 0.0 X 0 0 0 Frank Smole VOL BOARD MEMBER THRU 4/2015 2.0 0.0 X 0 0 0 Bruce Newswanger DO VOLUNTEER BOARD MEMBER 2.0 0.0 X 0 0 0 John K Martin VOL BOARD MEMBER THRU 4/2015 2.0 4.0 X 0 0 0 Matthew Pletcher CHAIRMAN 2.0 0.0 X X 0 0 0 Gregory Losasso President 40.0 2.0 X X 490889 0 161901 Laura Munkel MD Physician 2.0 40.0 X 0 355399 32238 Leonard Kibiloski MD Volunteer Board Member 2.0 0.0 X 0 0 0 Kelly Puster MD Volunteer Board Member 2.0 0.0 X 0 0 0 Alex Strati Jr Volunteer Board Member 2.0 0.0 X 0 0 0 Tim Shelly Secretary 2.0 0.0 X X 0 0 0 JOHN DEPUTY VOLUNTEER BOARD MEMBER 2.0 0.0 X 0 0 0 PETER FRETZ MD VOLUNTEER BOARD MEMBER 2.0 0.0 X 0 0 0 ANITA KNUDTSON VOLUNTEER BOARD MEMBER 2.0 0.0 X 0 0 0 SAMIR PATER MD VOLUNTEER BOARD MEMBER 2.0 0.0 X 0 0 0 AMISH SHAH VOLUNTEER BOARD MEMBER 2.0 0.0 X 0 0 0 Jeffrey P Costello CFO/Asst. Treasurer 2.0 46.0 X 0 598975 180373 Phillip A Newbold CEO 2.0 46.0 X 0 1255794 186041 KREG R GRUBER PRESIDENT 2.0 46.0 X 56218 505970 172638 GENEVIEVE A LANKOWICZ VP OF MEDICAL AFFAIRS 40.0 0.0 X 327141 0 31673 KARRA L HEGGEN VP OF NURSING 40.0 0.0 X 286645 0 11779 CINDIE L MCPHIE VP OF OPERATIONS 40.0 0.0 X 189424 0 9955 LIANG Q WANG SENIOR PHYSICIST 40.0 0.0 X 234952 0 29635 COLLEEN DAVIDSON-NOWLIN DIRECTOR 40.0 0.0 X 168112 0 14651 Gregory Lintjer FORMER OFFICER 0.0 0.0 X 415165 0 0 2168546 2716138 830884 63 true true false South Bend Medical Foundation 530 North Lafayette Blvd SOUTH BEND IN 46601 Lab Services 11979022 Northern Indiana Anesthesia Service 600 East Bvld ELKHART IN 46514 Anesthesia Services 4319020 Accretive Health Inc 401 N Michigan Ave Suite 2700 CHICAGO IL 60611 CONTRACT SERVICES 6512987 POWER CONSTRUCTION 8750 W BRYN MAWR CHICAGO IL 60631 CONSTRUCTION SERVICE 28670674 APOGEE PHYSICIANS 2525 E CAMELBACK RD PHOENIX AZ 85016 PHYSICIAN SERVICES 2629096 58 279917 20244 38505 338666 PATIENT SERVICE REVENUE 622110 290362244 290362244 OUTPATIENT PHARMACY 446110 4424603 209373 4215230 RENT FROM RELATED PARTIES 622110 1010468 1010468 295797315 3591 3591 0 0 1520980 399463 1121517 0 1121517 1121517 -81580 -81580 -81580 -81580 0 0 0 REBATES AND DISCOUNTS 622110 736599 736599 CAFETERIA 722514 1134889 1134889 INTERCOMPANY CHARGEBACKS-MICHIANA LINEN 812300 1917978 1610046 307932 2085753 1967792 117961 5875219 303054728 294950550 635266 7130246 X 289386 289386 103070 103070 0 0 726273 726273 0 79196316 65369711 13826605 4727098 4003231 723867 12553387 10307864 2245523 5668610 4648260 1020350 6806643 5581447 1225196 229727 229727 129900 129900 7796 7796 0 489942 489942 32431264 26593637 5837627 3769 3091 678 2820965 2310651 510314 11311 9275 2036 0 3531160 2865994 665166 395888 324628 71260 0 74929 61442 13487 206515 169342 37173 0 14916198 12223515 2692683 1954562 1602741 351821 PATIENT SUPPLIES, DRUGS 50438137 50438137 0 0 BAD DEBT EXPENSE 29376616 29376616 0 0 HOSPITAL ASSESSMENT FEE 10287879 8436061 1851818 0 CORPORATE ALLOCATION FEES 16846956 13814504 3032452 0 1433565 1175522 258043 275657862 239708125 35949737 0 10454 9585 46890254 12236716 0 0 43962066 47380495 0 0 0 0 52198 100486 7391912 7899826 1123100 1334925 345282534 145888657 163480718 199393877 6610979 5820892 0 395984 749597 662650 2640066 2536226 6728398 3517290 279639742 281288952 33086404 26452649 0 0 0 0 83053654 80330770 0 0 0 0 0 0 0 0 47584068 47655069 163724126 154438488 X 109305860 120633589 6209756 5816875 400000 400000 115915616 126850464 279639742 281288952 X 27396866 -392880 -16069138 X false true X true false X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED false false false false false false false false true 7796 7796 false Part II-B, Line 1i Elkhart General Hospital pays the dues for membership in the Indiana Hospital Association (IHA). The IHA has deemed that 22.12% of its dues are attributable to lobbying, thus the amount reported in Part II-B reflects total dues paid by Elhart General Hospital to IHA, multiplied by this percentage. 36228784 4093832 -1549515 5789367 174135 36702 32772897 33921099 2833644 330764 714487 125000 17236 36228784 29895939 2180336 2985268 984717 125000 30727 33921099 26862451 1501904 2551948 923860 69000 27504 29895939 5017421 -201313 125000 27479 4663629 0.77180 0.01800 0.21020 false true true 3824990 3824990 174698563 91515099 83183464 87082458 54373558 32708900 79676523 79676523 199393877 0 ACCRUED PENSION LIABILITY 45356063 OTHER LIABILITIES 2299006 47655069 Supplemental Information SCH. D, PART V, LINE 1 MEMORIAL HEALTH FOUNDATION (MHF) BOOKED A PLEDGE OF $500,000 IN 2014 THAT WAS INCLUDED ON ITS AUDITED FINANCIAL STATEMENTS, AND WHICH MHF UNBOOKED IN 2015 BASED ON INFORMATION RECEIVED FROM MHF IN 2015. FOR MORE ACCURATE REPORTING, MHF DID NOT INCLUDE THE PLEDGE ON ITS 2014 FORM 990, WHICH WILL RESULTS IN A DIFFERENCE FROM ITS AUDITED FINANCIAL STATEMENTS IN 2014 AND 2015 OF $500,000. THIS DIFFERENCE IMPACTS THE VALUE OF THE ENDOWMENT HELD FOR EGH'S BENEFIT IN PART V OF THIS SCHEDULE. Schedule D, Part V, line 4 Permanently restricted net assets have been restricted by donors to be maintained by the Hospital and/or it's related entities, in perpetuity. In accordance with the restrictions, a majority of the investment income and investment gains or losses from permanently restricted net assets are to be reinvested with the principal and are therefore temporarily restricted. A specified portion of income earned by the temporarily restricted net assests is released from restriction and used for operations each year. The Hospital has one endowment fund established for patient care purposes with a value of $6,216,875. The Hospital has established investment and spending policies related to the appreciation of this endowment. Should the underlying assets fall below this targeted amount the Hospital pursues action consistent with established policies to return the endowment to the targeted amount. Based on these policies, endowment amounts are temporarily restricted until Board authorized release of funds for patient care purposes are approved. As a member organization of Beacon Health System, the Hospital also can benefit from endowment funds held by related entities, the value of which was $26,556,021 at 12/31/2015. In 2015, the Hospital received $0 from the related party endowment funds. FIN 48 DISCLOSURE ELKHART GENERAL HOSPITAL DID NOT HAVE A FOOTNOTE ADDRESSING FIN 48 (ASC 740) LIABILITIES FOR UNCERTAIN TAX POSITIONS IN ITS CONSOLIDATED FINANCIAL STATEMENTS. ELKHART GENERAL HOSPITAL DID NOT HAVE ANY UNCERTAIN TAX POSITIONS RECORDED DURING THE CURRENT TAX YEAR. Central America and the Caribbean 0 0 Investments 400000 0 0 0 0 400000 400000 true false true false false false true true X true X true X true true true false true true 2634395 2634395 0.01070 39361478 27134776 12226702 0.04960 41995873 27134776 14861097 0.06030 1004371 109463 894908 0.00360 906099 50529 855570 0.00350 413705 413705 0.00170 2324175 159992 2164183 0.00880 44320048 27294768 17025280 0.06910 32184 32184 0.00010 380166 380166 0.00140 412350 412350 0.00150 true 8125572 4062786 60090246 83289803 -23199557 X true true Riverpointe Surg Ctr Surgeries 0.4 0.6 Wakarusa Med Clin Medical Clinic Building 0.42 0.58 WaNee Walk-in Clinic Medical Clinic 0.5 0.5 1 1 Elkhart General Hospital Inc 600 East Blvd Elkhart IN 46514 www.egh.org 14-005017-1 X X X Elkhart General Hospital Inc 1 false false true X X X X X X X X X 15 true true false true X www.egh.org X beaconhealthsystem.org X X true 15 true beaconhealthsystem.org/community-wellness false false true X 200. 350. X X X true true X X true X www.beaconhealthsystem.org/assist X www.beaconhealthsystem.org/assist X www.beaconhealthsystem.org X X X X X true X false X X X X true X false false PART V, SECTION B, LINE 5 During 2015, Beacon Health System conducted a joint Community Health Needs Assessment (CHNA) for the approximate 200,000 residents of Elkhart County and the approximate 267,000 residents of St. Joseph County, which reflect the primary market service areas for Elkhart General Hospital, and Memorial Hospital of South Bend, respectively. In late 2014 through February 2015, dialogue on the CHNA planning and coordination occurred among Beacon Health System executives and the Community Benefit staff from both Elkhart General Hospital and Memorial Hospital of South Bend. It was agreed that a third party consultant Holleran Consulting from Lancaster, Pennsylvania would serve as data gathering entity for both hospitals. The CHNA process included a compilation and review of secondary data; a key informant online survey (n=60) on input of community health priorities and barriers to health; a community-based online survey from community members at large (n=510) regarding perceptions of health priorities in Elkhart County; and community leader dialogue on prioritizing identified health needs. Community engagement and feedback were integral to the integrity and validity of the Elkhart County CHNA process. Throughout the process, input was actively solicited and secured from persons who hold a broad knowledge of and represent the broad interests of Elkhart County, including public health; minority, cultural, and underserved populations; from the community members at large; and from the medical and health services fields. Dialogue with key community health stakeholders, philanthropic funders, and members of the healthcare field helped identify health priorities, current dedicated resources for community health needs, and resource constraints. Through March 2015, the first stage of assessment was engaged, and sought to gather input from key informants who hold a broad knowledge of and represent the broad interests of Elkhart County. The key informants were solicited from multiple sectors of Elkhart County, including the public health, education, minority, faith, cultural, economic development, non-profit, child and youth, health care, public health, medical care, emergency and relief services, and private sectors. Organizations invited to provide input included the following: Elkhart General Hospital, Child Abuse Prevention Services, Center for Healing and Hope, Elkhart County Council on Aging, Elkhart County Health Department, SPA Ministries, Beacon Medical Group, Elkhart County United Way, Emergency Physicians Inc., Elkhart County Minority Health Coalition, Association for the Disabled of Elkhart County, Elkhart Community Schools, Goshen Community Schools, Northern Indiana Hispanic Health Coalition, St. Vincent de Paul Catholic Church, Middlebury Community Schools, Baugo Community Schools, WaNee Community Schools, La Casa, Inc., Greater Elkhart Chamber of Commerce, Belmont Mennonite Church. Ribbon of Hope Ecumenical Cancer Ministry, Guidance Ministries, Heart City Health Center, YWCA of North Central Indiana, City of Goshen Planning Department, River Oaks Community Church, Fairfield Community Schools, Golden Living Center, Church Community Services, Golden Living Center, and selected health leaders representing the Amish community of Elkhart County. A full listing of specific key informants and their affiliated organizations can be found in Appendix B of the 2015 Holleran Final Summary Report Beacon Health System. Through an online CHNA survey conducted through March 2015, key informants provided input on community health priorities, barriers to accessing care, the impact of social determinants of health, how to best address wellness in the community, resources and wellness programs in the community, and underserved populations. Additional input on perceived health priorities and barriers to accessing health care was solicited from the community at large through an online survey conducted in the spring through early summer of 2015. Consideration was given to ensuring the ease of access to the survey completion for hard to reach populations, including Amish, Hispanic Latino, African American, and low-income populations. As such, the online survey could be accessed directly from home or work via the internet or through the free, community service computers located at all seven Elkhart County Public Libraries sites. The availability of the online community member survey was heavily promoted through libraries, fliers, Public Service Announcements (PSA's), billboards, community presentations, and other promotional means. The survey, consisting of 50 questions, asked community members at large to provide input on access to health care, health status and behaviors, social constraints, and health-related community strengths and opportunities. A total of 510 persons identifying as residing or working in Elkhart County responded to the survey. A copy of the survey tool can be found in Appendix C of the 2015 Beacon Health System CHNA Final Summary Report. In August and September 2015, several community health stakeholder meetings were held to review the results of 2015 Elkhart County CHNA secondary data report, the Key Informant Survey summary, and the community member survey. The purpose of these meetings was to review results and solicit input on Elkhart County community health priorities. These community health stakeholders include members of the Elkhart General Hospital Board of Directors, Beacon Health System leaders, key Elkhart County medical providers, Elkhart County community funders, and Elkhart County schools personnel. Discussion was focused on the priority needs, current dedicated resources for community health needs, resource constraints, and the viability of identifying a singular community health need for which all funders could collectively support. In September and October 2015, EGH gathered input from community stakeholders to establish a list of the recommended health priorities as identified from stakeholder discussion, compiled an Implementation Strategy to address the selected priority needs, and presented to EGH Board of Directors in November 2015. The EGH Board of Directors approved the 2015 Elkhart County CHNA Implementation Strategy as presented. PART V, SECTION B, LINE 6A ELKHART GENERAL HOSPITAL CONDUCTED THE 2015 ELKHART COUNTY CHNA WITH MEMORIAL HOSPITAL OF SOUTH BEND, A BEACON HEALTH SYSTEM PARTNER. PART V, SECTION B, LINE 7D In 2015 the Elkhart County Community Health Needs Assessment (CHNA) and Implementation Strategies Report were submitted to the Elkhart General Hospital Board of Directors for review and were approved in November 2015. These documents were subsequently made widely available to the community through posting on the Elkhart General Hospital website; through hard copies made available by request; through paper copy made available at EGH Administration; and through email transmission upon request. Elkhart General Hospital staff were also available to discuss the results of the CHNA and the 2015 implementation strategies in requested community forums. PART V, SECTION B, LINE 11 Elkhart General Hospital (EGH) remained committed to improving the community health status of Elkhart County as an organizational priority of EGH through its mission and through community identification. As a non-profit, charitable organization, we continue to expand our ambulatory health capabilities in the region. The Beacon Health System strategic plan calls for greater focus on health and wellness, and as a Beacon Health System partner, Elkhart General Hospital is implementing population-based health strategies with enhanced focus on community health and wellness. Ongoing support and enhanced focus on community health initiatives will occur through continued Community Benefit activities,including specific alignment with goals and objectives to achieve enhanced prevention and detection of disease at the earliest onset to avoid adverse health outcomes and maximize quality of life for all residents of Elkhart County. Obesity EGH Implementation Strategy (IS) Currently Elkhart General Hospital engages in multiple efforts aimed at addressing obesity that are claimed in Community Benefit. In March 2015, Elkharts Youth and Community Center, formerly known as the Elkhart YMCA, a magnet health and fitness facility with which EGH has historically partnered with in obesity prevention and reduction initiatives, abruptly announced its imminent closing due to lack of funding for critical infrastructure needs, and other concerns. A regional redevelopment plan unveiled in September 2015 proposes massive changes to the downtown area of Elkhart known as the Market District. The Market District Redevelopment Plan components include relocating a large retail shopping center, developing hundreds of new residential units, establishing of a sports center and outdoor multiuse sports fields, and building a new community health facility/wellness center/nata Part I, Line 3c Factors to be considered for Financial Assistance Household Size and Income The following factors may be considered in determining the eligibility of the patient for assistance and must be provided by all income earning residents in the countable household unit unless they are not dependents based on IRS guidelines for determining whether a household member can be considered a dependent. 1. Indiana workforce wage report for last 2 quarters (unemployment income) 2. Last 3 pay stubs or a letter or printout from employer(s) providing verification of gross income if currently employed. This documentation should not be more than 30 days old from date of issue and include year-to-date information. 3. Last 3 bank statements (including explanations of regular deposits not explained by pay stubs) 4. Social Security award or entitlement letter or other proof of gross monthly award. 5. Retirement income. 6. Investment income. 7. Statement from person(s) that are providing direct support. 8. Number of dependents. 9. Most recent tax return (including W2 and all supporting schedules) 10. Other financial obligations. 11. The amount and frequency of hospital/medical bills. 12. Other financial resources that produce income. 13. If Self-Employed, Gross Income less Cost of Goods sold and employee salaries Financial Capacity 1. Individuals with the financial capacity to purchase health insurance coverage through the Health Insurance Marketplace may be required to purchase and will be provided access to meet with an Indiana Certified Navigator as a means of assuring access to healthcare services, for their overall personal health, and for the protection of their individual assets. 2. Individuals have been found they are ineligible for Medicaid or other affordable health care coverage must provide proof of denial. 3. Food Stamps or Supplemental Nutrition Assistance Program (SNAP) will not be counted as income. 4. Cosmetic Services are not eligible for any type of assistance and cannot be included in the amount of hospital/medical bills owed. Part I, Line 6a COMMUNITY COLLABORATION INTRODUCTION CREATING COMMUNITY HEALTH IS AT THE CORE OF ELKHART GENERAL HOSPITAL'S MISSION. PROMOTION OF COMMUNITY HEALTH IS OUR SOCIAL RESPONSIBILITY AND A KEY TO LONG-TERM COST EFFECTIVENESS. IN ADDITION, IMPROVING THE HEALTH STATUS OF A COMMUNITY IS AS MUCH A SOCIAL, ECONOMIC AND ENVIRONMENTAL ISSUE, AS IT IS A MEDICAL ONE. CONSEQUENTLY, THE ORGANIZATION TAKES A BROAD APPROACH TO CREATING COMMUNITY HEALTH. THIS APPROACH HAS INCLUDED: ONGOING EDUCATION OF BOARD MEMBERS, STAFF AND LOCAL LEADERS THROUGH COMMUNITY PLUNGES (EXPERIENTIAL ACTIVITIES TO INVOLVE THE COMMUNITY RESIDENTS WITH A NEIGHBORHOOD-BASED AGENCY), COMMUNITY FOUNDATION SUPPORT, STRATEGIC ALLOCATION OF TITHING RESOURCES, A CLEAR STATEMENT OF VISION AND GOALS, A COMMITMENT TO CONTINUOUS QUALITY IMPROVEMENT AND PROMOTION OF VOLUNTEER INVOLVEMENT AND COMMUNITY PARTNERSHIPS. ELKHART GENERAL HOSPITAL TITHES 10% OF THE PREVIOUS YEAR'S INCOME FROM OPERATIONS AND TRANSFERS IT TO THE COMMUNITY BENEFIT FUND FOR INVESTMENT IN THE COMMUNITY. THIS INVESTMENT IS IN ADDITION TO THE HOSPITAL'S CHARITY CARE AND PREVENTION, AND EDUCATION ACTIVITIES SUPPORTED THROUGH ITS OPERATING BUDGET. THE COMMUNITY HEALTH ENHANCEMENT COMMITTEE OF THE BOARD MAKES ONGOING POLICY AND OVERSEES THE ADMINISTRATION OF THE FUND AND DETERMINES SPECIFIC INVESTMENT ALLOCATIONS BASED UPON THE ASSETS AND NEEDS OF THE COMMUNITY. VOLUNTEERS AND STAFF ARE COMMITTED TO PRUDENTLY INVESTING THESE RESOURCES IN AN ACCOUNTABLE MANNER. AS A COMMUNITY NOT-FOR-PROFIT ORGANIZATION, WE TAKE SERIOUSLY OUR RESPONSIBILITY TO INVEST OUR RESOURCES AND ENERGIES INTO UNDERSTANDING AND MEETING THE DIVERGENT HEALTH CARE NEEDS OF ALL, AND ENSURE THAT EVERYONE, REGARDLESS OF THEIR ABILITY TO PAY, RECEIVES THE CARE THEY NEED. ELKHART GENERAL HOSPITAL HAS LONG BEEN RECOGNIZED FOR THE COLLABORATION EFFORTS WHICH ENGAGE INDIVIDUALS AND ORGANIZATIONS WITH DIVERSE SOCIO-ECONOMIC RELIGIOUS, ETHNIC, RACE, AGE, AND GENDER IDENTITY CHARACTERISTICS. OUR TEAM OF PASSIONATE AND DEDICATED HEALTH CARE PROFESSIONALS, ALONG WITH MANY PARTNERS THROUGHOUT THE NORTHERN INDIANA AND SOUTHERN MICHIGAN (MICHIANA) REGION, HELPED US CONTRIBUTE SIGNIFICANTLY TO THE HEALTH AND WELL-BEING OF OUR COMMUNITY. FURTHER, ELKHART GENERAL HOSPITAL PLAYS A KEY ROLE IN SERVING THE COMMUNITY AS A WHOLE. Part I, Line 7 The costing method used to calculate Financial Assistance reported on lines 7 a through d was the cost-to-charge ratio. All other community benefits were calculated using direct costs. Part I, Line 7 Column (f) Bad debt expense removed from total expenses 29,376,616. Part II COMMUNITY BUILDING ACTIVITIES 3. Community Support mentoring and support groups In 2015 Elkhart General Hospital provided community building activities that focused on mentoring opportunities to young teens and at-risk youth. In 2015, EGH continued its 18-year history of partnership with Elkhart and Baugo Schools Systems to provide PEERS Project: A Positive Teen Network effort, where EGH staff interviewed, recruited, and trained approximately 175 teen high-school mentors who in turn facilitated a five-session risk avoidance curriculum to 1,100 seventh and eight graders in Elkhart and Baugo Community Schools systems. The PEERS Project curriculum focused on identifying the consequences of and assertiveness training in abstaining from health risk behaviors of early sexual activity, alcohol, smoking, and drug use. The goals of the program are to optimize the opportunities for the communitys youth to create a healthy and successful future, and to mitigate the mental health effects of the consequences of these behaviors. The high school students completed a significant leadership peer mentor training program prior to facilitating the classroom lessons to the underclassmen. In recognition of the importance of modeling the lifestyle being promoted, teen mentors signed a leadership agreement pledging to practice risk avoidance behaviors in their lifestyles. In 2015, approximately 750 mentoring lessons teaching a total of just under 200 risk avoidance lessons occurred with over 900 Elkhart County middle school-aged children. In 2015, Elkhart General Hospital sponsored and helped facilitate four American Cancer Society Look Good Feel Better support groups for cancer patients. In these groups, cosmetologists trained in enhancing the appearance of persons undergoing chemotherapy or radiation treatment worked with cancer patients to improve their self-esteem and confidence regarding their physical appearance. Line 7. Community Health Improvement/Advocacy improve public health, access to health care services In 2015, Elkhart General Hospital continued to participate in a public health-based coalition to identify trends in perinatal outcomes to ultimately reduce perinatal race disparity in the region. The partners in this effort with Elkhart General Hospital included Beacon Health System partner Memorial Hospital of South Bend, Indiana University Health Goshen Hospital, the health departments of Elkhart and St. Joseph Counties, minority health partners, and the Michiana Health Information Network. Perinatal outcomes are critical indicators of community health status, and this forum identifies opportunities to produce consistent perinatal risk reporting from the hospitals and the health information exchange. Access to health care/access to health coverage has been identified as a priority health need for Elkhart County through the 2015 Elkhart County community health needs assessment. Improving access to health care/health coverage continues to be a priority for EGH, and one that will ultimately improve the health of and quality of life for Elkhart County residents. Through June 2015, the Elkhart General Hospital Foundation subsidized the costs of the monthly contributions for the Healthy Indiana Plan state-sponsored health coverage for eligible Elkhart County enrollees. Through June 2015 Elkhart General Hospital provided operational oversight for the EGH Foundations subsidy program, including assisting with application and documentation requirements, monthly monitoring of each enrollees eligibility, coordinating funding streams for payment to each eligible enrollee, and for the Healthy Indiana Plan (HIP) state-sponsored health insurance program for low-income residents. Throughout 2015, EGH continued to provide health coverage enrollment assistance and program navigation through Beacon Health System health coverage enrollment effort for the Affordable Care Act (ACA) Marketplace as well as the emergence of Healthy Indiana Plan 2.0, which was Indianas response to Medicaid expansion under the ACA. In alignment with the ACA, EGH provided full-service assistance for enrolling uninsured persons into health coverage programs through its Community-Based Enrollment and Advocacy Center (CBEAC). The CBEAC services provide advocacy, education, linguistic, and Part III, Line 2, 3 THE CORPORATION EVALUATES THE COLLECTABILITY OF ITS ACCOUNTS RECEIVABLE BASED ON THE LENGTH OF TIME THE RECEIVABLE IS OUTSTANDING, PAYOR CLASS, AND THE ANTICIPATED FUTURE UNCOLLECTIBLE AMOUNTS BASED ON HISTORICAL EXPERIENCE. ACCOUNTS RECEIVABLE ARE CHARGED TO THE ALLOWANCE FOR DOUBTFUL ACCOUNTS WHEN THEY ARE DEEMED UNCOLLECTIBLE. COSTING METHODOLOGY IS THE SAME AS TAX FORM 990, SCHEDULE H, WORKSHEET 2 METHODOLOGY. PATIENT CARE IS COST ADJUSTED BY NON-PATIENT ACTIVITY, EXPENSES, AND PATIENT CARE CHARGES. BAD DEBT EXPENSE WHICH IS ATTRIBUTABLE TO ELIGIBLE PATIENTS is CONSIDERED PART OF ELKHART GENERAL HOSPITAL'S COMMUNITY BENEFIT BECAUSE OF OUR MISSION TO CREATE A HEALTHIER COMMUNITY WHILE CONTINUING OUR CHARITABLE ROLE IN THE COMMUNITY. PART III, LINE 4 THE PROVISION FOR BAD DEBTS IS BASED UPON MANAGEMENT'S ASSESSMENT OF HISTORICAL AND EXPECTED NET COLLECTIONS, TAKING INTO CONSIDERATION THE TRENDS IN HEALTH CARE COVERAGE, HISTORICAL ECONOMIC TRENDS, AND OTHER COLLECTION INDICATORS. MANAGEMENT ASSESSES THE ADEQUACY OF THE ALLOWANCES PERIODICALLY THROUGHOUT THE YEAR BASED UPON HISTORICAL WRITE-OFF EXPERIENCE BY MAJOR PAYOR CATEGORY. THE RESULTS OF THE REVIEW ARE THEN UTILIZED TO MAKE MODIFICATIONS, AS NECESSARY, TO THE PROVISION FOR BAD DEBTS TO PROVIDE FOR AN APPROPRIATE ALLOWANCE FOR UNCOLLECTIBLE ACCOUNTS. A SIGNIFICANT PORTION OF THE CORPORATION'S UNINSURED PATIENTS WILL BE UNWILLING TO PAY FOR THE SERVICES PROVIDED. THUS, THE CORPORATION RECORDS A SIGNIFICANT PROVISION FOR BAD DEBTS RELATED TO UNINSURED PATIENTS IN THE PERIOD THE SERVICES ARE PROVIDED. PART III, LINE 8 RATIONALE FOR INCLUSION OF THE MEDICARE SHORTFALL AS A COMMUNITY BENEFIT. PARTICIPATION IN THE GOVERNMENTAL MEDICARE PROGRAM DOES NOT PROVIDE THE OPPORTUNITY FOR A HOSPITAL TO NEGOTIATE A REIMBURSEMENT RATE OR STRUCTURE THAT WOULD ALLOW THE HOSPITAL TO COVER THE COST OF THE MEDICAL SERVICE RENDERED TO THE PROGRAM PARTICIPANT, AS WOULD BE THE CASE IN CONTRACTUAL NEGOTIATIONS WITH COMMERCIAL INSURANCE COMPANIES. NOR IS THE HOSPITAL ALLOWED TO PROVIDE ONLY THE SERVICES FOR WHICH REIMBURSEMENT COVERS THE DIRECT COST OF CARE. THIS PRODUCES THE SAME SHORTFALL OUTCOME AS DOES THE PARTICIPATION IN THE MEDICAID PROGRAM. THE MEDICAID PROGRAM IS RECOGNIZED AS A COMMUNITY BENEFIT ON SCHEDULE H AND ON COMMUNITY BENEFIT REPORTS FOR MOST STATES. THE QUALITY AND COST OF THE PATIENT CARE IS THE SAME REGARDLESS OF PAYOR SOURCE. HENCE THE ACCEPTANCE OF MEDICARE REIMBURSEMENT REPRESENTS A REDUCTION OR RELIEF OF THE GOVERNMENT BURDEN TO PAY THE FULL COST OF CARE PROVIDED. THE SOURCE USED FOR THE COSTING METHODOLOGY FOR THE AMOUNT REPORTED ON LINE 6 WAS THE 2014 MEDICARE COST REPORT. PART III, LINE 9B COLLECTION PRACTICES PATIENTS KNOWN TO QUALIFY FOR FINANCIAL ASSISTANCE FOLLOW THE SAME COLLECTION POLICY AS ALL INDIVIDUALS WITH BALANCES REMAINING AFTER APPLICATION OF FINANCIAL ASSISTANCE. 2. Needs Assessment Elkhart General Hospital monitors community health status and emerging health trends through health and socioeconomic surveillance data review and consistent and candid dialogue with its regional community health partners. These data and the ear-to-ground relationships with community health partners are used by Elkhart General Hospital to identify health needs and to subsequently drive decision-making and strategic direction of community health improvement activities. Data sources include local public health surveillance data, health care coverage data, vital statistics, socioeconomic data, economic development data, youth and adult behavioral risk factor data, and social demographic aggregates. Elkhart General Hospital is an active partner of Covering Kids and Families of Indiana, a statewide health care advocacy consortium, and receives monthly data on rates of the uninsured within Elkhart County. Elkhart General Hospital tracks labor and employment data, which serves as a bellwether for impending upticks or downturns in community health status indicators. Elkhart General Hospital staff maintains frequent communication with multiple community health and social services agencies to assess current or surfacing community health needs, and initiates dialogue to ascertain community input on how the hospital can best help to address identified needs. The communication network includes consistent communication with health safety net agencies within the county, with specific and deliberate alignment with local public health. The Hospital communicates with community health center catchments of Heart City Health Center, the Minority Health Coalition of Elkhart County, the Hispanic Latino Health Coalition of Northern Indiana, the Indiana Minority Health Coalition, and agencies representing the most vulnerable populations within the community, including Church Community Services, United Way, YWCA, and the Center for Healing and Hope. Elkhart General Hospital continues to lead a healthy schools network that identifies anecdotal trends and collective behaviors within the youth population in the community schools systems. The group is tasked with identifying and implementing collaborative opportunities to work collectively across the schools system. The hospital participates in a state-wide abstinence advocacy effort to ensure risk avoidance messages to the community youth continue to be contemporary and on point. The network did not meet in 2015 due to participants availability. Elkhart General Hospital is a member of the Northern Indiana Homeless Coalition, and also assists in leading the Downtown Churches Coalition, both of which routinely identify emerging health needs or trends by way of community observation. Elkhart General Hospital enjoys multi-level relationships within the Elkhart County schools system, including administration, faculty, and staff. The relationships provide potential health improvement opportunities, as well as help to identify potential barriers and gaps in resources. 3. Patient Education of Eligibility for Assistance WHEN UNINSURED PATIENTS PRESENT TO OUR HOSPITAL, THEY ARE OFFERED THE OPPORTUNITY TO MEET WITH OUR ELIGIBILITY SPECIALISTS. OUR ELIGIBILITY SPECIALISTS DISCUSS THE POTENTIAL ELIGIBILITY OF THE PATIENT FOR MULTIPLE ASSISTANCE PROGRAMS, INCLUDING OUR OWN INTERNAL FINANCIAL ASSISTANCE PROGRAM. OUR STATEMENTS ALSO INCLUDE A NOTICE THAT FINANCIAL ASSISTANCE IS AVAILABLE TO PATIENTS, AND THEY CAN CONTACT OUR CUSTOMER SERVICE GROUP FOR GUIDELINES. Patients are also made aware of our financial assistance program via telephone conversation with our Patient Accounts staff. Staff is particularly sensitive to address this program with anyone who indicates there might be a financial need. 4. Community Information Elkhart County, Indiana, was established in 1830, with the original county seat in Dunlap and was later moved to Goshen. Today Elkhart County has three growing cities, four towns, and 16 townships. Elkhart County is located in northern Indiana and borders the state of Michigan. The County is approximately 463.91 square miles in size. Elkhart County lies halfway between Chicago and Cleveland and is located near Interstate 80/90 and the Indiana Toll Road. Elkhart Countys service providers have a history of actively forming partnerships in an effort to meet the health needs of its residents. Elkhart County takes pride in offering its residents a great place to live and continually striving to establish new businesses and provide an entrepreneurial atmosphere. Elkhart County is considered Elkhart General Hospitals primary service area. According to the 2015 US Census estimates, Elkhart County population rose to 201,971 from 2013 estimate of 200,563. In 2015, the percentage of persons 65 years and older was estimated at 13.0%, and 7.5% were under five years of age. Census data show that 76.3% of Elkhart County residents are white persons not of Hispanic descent; 14.9% are Hispanic/Latino; and 6.1% are black. In 2015, Elkhart Countys labor force was 94,513, of which 87,354 persons were employed and 7,159 persons, or 7.6% of the total labor force, were unemployed. The median household income (2013) of Elkhart County residents was $46,123, and a per capita personal income (2013) of $36,229. The percentage of children 0-17 years of age living in poverty was 20.3% in 2013. In 2015, the County Health Rankings, sponsored by the Robert Wood Johnson Foundation, ranked Elkhart County as the 20th healthiest county in Indiana of all 92 counties for health outcomes (a gauge of the health status of a county), which is down from the 14th healthiest county ranking in 2013. In 2015, Elkhart County ranked 49th in health factors, which is up from the ranking as 65th healthiest for health factors (those factors that influence the health of a county) in 2013. The top five leading causes for Elkhart County's ranking include Major Cardiovascular Disease, Cancer, Chronic Lower Respiratory Disease, Motor Vehicle Accidents, and Diabetes. According to 2015 Enroll America data, there are 32,833 uninsured persons residing in Elkhart County. Of these, 59% are below the 138% federal poverty guidelines, 34% are between 139 to 400% income based on federal poverty guidelines (which would establish eligibility for the ACA Marketplace affordability programs), and seven percent are above 400% federal poverty guidelines. Of these uninsured, 20% are children (0-18 years of age), 19% are 19-25 years of age, 19% are 26-34 years of age, 32% are 35-45 years of age, and 11% are 55-64 years of age. Elkhart County has two identified areas with medically underserved population designations, and a dentally underserved designation. Elkhart County has two hospitals: Elkhart General Hospital, a Beacon Health System partner, and Indiana University Health Goshen. Elkhart County residents can access a wide range of healthcare services through the Elkhart County Health Department. Heart City Health Center (HCHC) is a non-profit, Federally Qualified Health Center (FQHC) providing health and dental services in Elkhart County. Maple City Health Center is a non-profit health center established to provide a broad range of health care and support services to the community, especially the low income and uninsured. The Center for Healing and Hope provides urgent medical care and supportive care, on a first come first serve basis, and is supported by over 2oo volunteers from area churches. 5. Promotion of Community Health The mission of Elkhart General Hospital, as a Beacon Health System partner, is to enhance the physical, mental, emotional and spiritual well-being of the communities we serve. Beacon Health System is committed to clinical excellence, compassionate care, and the ongoing improvement of quality of life. Our commitment will lead the Health System to be the community's provider of outstanding quality, superior value and comprehensive health care services. Both Beacon Health System and Elkhart General Hospital have community Boards of Directors, and consistently invest funds to improve the quality of life for our communities. Beacon Health System values reflect an unwavering commitment to the communities we serve. Elkhart General Hospital, as a Beacon Health System partner, has as its values: Patients are at the center - Patient needs, care and safety are our top priority. Trust - Our actions will firmly demonstrate reliability on our integrity, abilities and our character. Respect - We will treat our patients, community members and each other with the highest level of regard, demonstrating an understanding of different perspectives, cultures, interests and needs of others. Integrity - We will continually do the right thing for our patients, associates and communities we serve. Compassion - We will demonstrate the emotional capacities of empathy and sympathy, and express the desire to help. Elkhart General seeks to promote the health and well-being of Elkhart County residents, with specific focus on the most vulnerable populations, by providing education to aid in early detection and prevention of disease and to improve the health status of the community as a whole. A key mechanism by which this goal is carried out is Elkhart General Hospital's serious, consistent, deliberate search for and partnership with like-minded organizations. Elkhart General Hospital continues to seek out partnerships with multiple community entities to address the needs of the medically underserved and to improve the health status of our community. These collaborative alliances included local public health, schools, churches, social service agencies, minority advocacy groups, victim assistance, and community health providers. 6. Affiliated Health Care System Elkhart General Hospital's governing body is comprised of persons who reside in Elkhart County. The 20 member Board of Directors, who serve without pay, guides the system in its mission to provide high quality, affordable health care to the communities it serves. The Board's roles include guaranteeing fair and equal access, approving new medical staff members and approving long-term strategies for the continued success of the hospital. Additionally, Elkhart General Hospital extends medical staff privileges to all qualified physicians in our community. In 2011 Elkhart General Hospital affiliated with Memorial Hospital of South Bend, Indiana, under the name of Beacon Health System, Inc. Both organizations continue as full-care providers for their respective counties, and both organizations are committed to promoting the health of the communities they serve. 7. State Filing of Community Benefit Report Elkhart General Hospital, Inc., prepares a Community Benefit Report both for the State of Indiana and for the Annual Report, which is posted at www.egh.org. true RIBBON OF HOPE 600 EAST BOULEVARD ELKHART IN 46514 352118856 501(c)(3) 35000 CASH CANCER SUPPORT HEART REACH MICHIANA 500 ARCADE STREET SUITE 230 ELKHART IN 46514 202527524 501(c)(3) 10000 CASH SPONSORSHIP DOWNTOWN ELKHART INC 418 SOUTH MAIN STREET ELKHART IN 46516 311173964 501(c)(3) 10000 CASH Jazz Festival UNITED WAY OF ELKHART COUNTY 601 CR 17 ELKHART IN 46515 350953433 501(C)(3) 72000 CASH CORPORATE MATCH AMERICAN HEART ASSOCIATION PO BOX 681550 INDIANAPOLIS IN 46268 135613797 501(C)(3) 10000 CASH SPONSORSHIP BOYS & GIRLS CLUB OF ELKHART CO PO BOX 614 GOSHEN IN 46527 351156334 501 (C)(3) 15000 CASH SPONSORSHIP CENTER FOR HEALING AND HOPE PO BOX 195 GOSHEN IN 46527 020560511 501(c)(3) 22500 CASH UNITED CANCER SVC OF ELK CO INC 23971 US HWY 33 ELKHART IN 46517 351091429 501(C)(3) 10000 CASH ECONOMIC DEVELOPMENT CORP 300 BIBCO PARKWAY ELKHART IN 46516 351973845 501(C)(3) 20000 CASH ELKHART ROTARY CLUB PO BOX 933 ELKHART IN 46515 356044343 501(C)(3) 10000 CASH HORIZON HEALTH ALLIANCE 124 E WASHINGTON ST GOSHEN IN 46528 460803293 501(C)(3) 25000 CASH 11 TRANSPORTATION SERVICES 200 103070 SCHEDULE I, PART I, LINE 2 PART OF ELKHART GENERAL HOSPITAL'S MISSION IS TO IMPROVE THE HEALTH OF ITS COMMUNITY. IN ORDER TO FULFILL THIS GOAL, OUR ADMINISTRATORS HAVE THE ABILITY TO MAKE DONATIONS TO ORGANIZATIONS THAT IMPROVE THE HEALTH AND WELL BEING OF OUR COMMUNITY. SINCE ALL PAYMENTS ARE MADE TO 501(C)(3) ENTITIES, THERE ARE NO PROCEDURES FOR MONITORING THE USE OF THE FUNDS. ELKHART GENERAL HOSPITAL ALSO PAYS FOR THE TRANSPORTATION OF SPECIFIC INDIVIDUALS FROM THE HOSPITAL FACILITY TO NEARBY NURSING HOMES AND OTHER ASSISTED LIVING FACILITIES. THESE PAYMENTS ARE MADE DIRECTLY TO THE THIRD PARTY TRANSPORTATION SERVICE PROVIDER AT COST. SCHEDULE I, PART III NUMBER OF RECIPIENTS IS ESTIMATED BASED ON THE NUMBER OF INVOICES FROM OUTSIDE ORGANIZATIONS FOR OTHER ASSISTANCE MADE FOR THE BENEFIT OF INDIVIDUAL RECEPIENTS. X X true true true true false false false false false true false Gregory Lintjer FORMER OFFICER 0 0 0 0 415165 0 0 0 0 0 415165 0 412520 0 Gregory Losasso President 373099 0 107830 0 9960 0 140054 0 21847 0 652790 0 0 0 Laura Munkel MD Physician 0 274605 0 80014 0 780 0 10600 0 21638 0 387637 0 0 Jeffrey P Costello CFO/Asst. Treasurer 0 432410 0 137200 0 29365 0 160505 0 19868 0 779348 0 0 Phillip A Newbold CEO 0 767590 0 295000 0 193204 0 165268 0 20773 0 1441835 0 140103 GENEVIEVE A LANKOWICZ VP OF MEDICAL AFFAIRS 275256 0 41641 0 10244 0 10600 0 21073 0 358814 0 0 0 KARRA L HEGGEN VP OF NURSING 247959 0 37487 0 1199 0 10600 0 1179 0 298424 0 0 0 CINDIE L MCPHIE VP OF OPERATIONS 163232 0 19674 0 6518 0 0 0 9955 0 199379 0 0 0 LIANG Q WANG SENIOR PHYSICIST 225783 0 147 0 9022 0 9254 0 20381 0 264587 0 0 0 COLLEEN DAVIDSON-NOWLIN DIRECTOR 118567 0 15045 0 34500 0 0 0 14651 0 182763 0 0 0 KREG R GRUBER PRESIDENT 41698 375286 12925 116325 1595 14359 14837 133533 2427 21841 73482 661344 0 0 Supplemental Compensation Information PART I, LINE 1A BEACON HEALTH SYSTEM REIMBURSES FOR DIRECT EXPENSES RELATED TO ANY TRAVEL ON THE ORGANIZATION'S BEHALF. SPOUSAL TRAVEL INCLUDED IN TAXABLE COMPENSATION 1 EMPLOYEE (KREG GRUBER ). PART I, LINE 3 ELKHART GENERAL HOSPITAL , INC. USES A RELATED ORGANIZATION'S (BEACON HEALTH SYSTEM, INC.) COMPENSATION REVIEW PROCESS. THIS REVIEW PROCESS INCLUDES AN EXTENSIVE EXAMINATION USING COMPARABLE MARKET DATA THAT IS THEN REVIEWED BY AN INDEPENDENT CONSULTANT HIRED BY, AND REPORTING TO, THE BOARD OF DIRECTORS. RECOMMENDATIONS ARE PRESENTED TO THE BOARD FOR DELIBERATION AND FINAL DECISION. PART I, LINE 4A OTHER REPORTABLE COMPENSATION FOR MR. LINTJER INCLUDED $412,520 IN SEVERANCE PAYMENTS, AND $2,645 IN LIFE INSURANCE PREMIUMS. PART I, LINE 4B BEACON HEALTH SYSTEM IMPLEMENTED AN EXECUTIVE RETENTION PLAN TO ATTRACT AND RETAIN KEY EMPLOYEES BY PROVIDING ADDITIONAL DEFERRED COMPENSATION. THE CHIEF EXECUTIVE OFFICER WILL PARTICIPATE IN THE PLAN AND WILL SELECT OTHER PARTICIPANTS PURSUANT TO THE GUIDELINES SET BY THE EMPLOYER'S BOARD OF DIRECTORS. THE EMPLOYER MAY MAKE CONTRIBUTIONS UNDER THE PLAN AND HAS SOLE DISCRETION OVER WHETHER TO MAKE A CONTRIBUTION. VESTING OCCURS ON JANUARY 1 OF THE FIFTH YEAR FOR WHICH SUCH CONTRIBUTIONS ARE MADE FOR PARTICIPANTS WHO HAVE BEEN CONTINUOUSLY EMPLOYED. THE PLAN ALSO ALLOWS VESTING TO OCCUR IF THE PARTICIPANT ATTAINS THE AGE OF 62. THE FOLLOWING INDIVIDUALS RECEIVED VESTED PAYMENTS IN 2015, REFLECTED IN COLUMN (B)(III): PHIL NEWBOLD $140,103 IN MARCH 2015. THE FOLLOWING INDIVIDUALS RECEIVED DEFERRED PAYMENTS IN 2015 THAT WILL VEST IN FUTURE YEARS, WHICH ARE REFLECTED IN COLUMN C: PHIL NEWBOLD $142,540 GREGORY LOSASSO $64,454. JEFFREY COSTELLO $77,377 KREG GRUBER $72,770 BEACON HEALTH SYSTEM IMPLEMENTED AN EXECUTIVE LONGEVITY BONUS PLAN FOR THE PURPOSE OF PROVIDING A LONGEVITY BONUS FOR ITS DESIGNATED EXECUTIVES. THIS UNFUNDED PLAN WAS EFFECTIVE APRIL 1, 2014. THE PARTICIPANTS MUST REMAIN IN AN ACTIVE EMPLOYMENT STATUS WITH BEACON FOR A PERIOD OF 5 CONSECUTIVE YEARS FROM THE EFFECTIVE DATE TO BE ELIGIBLE TO RECEIVE THE FULL LONGEVITY BONUS AMOUNT AT WHICH TIME VESTING IS 100%. VESTING PRIOR TO THE 5 YEARS IS AT 0%. THE MAXIMUM BONUS AWARD AT 100% VESTING IS $325,000. THE FOLLOWING INDIVIDUALS RECEIVED DEFFERED PAYMENTS IN 2015 THAT WILL VEST IN FUTURE YEARS, WHICH ARE REFLECTED IN COLUMN C: JEFFREY COSTELLO, $65,000 GREGORY LOSASSO, $65,000. KREG GRUBER, $65,000 PART I, LINE 7 THE RELATED ORGANIZATION, BEACON HEALTH SYSTEM, HAS THREE INCENTIVE PLANS (EMPLOYEE, MANAGEMENT AND EXECUTIVE) WHICH HAVE A NET OPERATING INCOME TO BUDGET MEASUREMENT FOR THE PAYOUT THRESHOLD. THE EMPLOYEE PLAN SHARES THE EXCESS OVER BUDGET NET OPERATING INCOME WITH THE NON-MANAGEMENT EMPLOYEES FOR BEACON HEALTH SYSTEM, INC. AND THE AFFILIATED ENTITIES. THE EMPLOYEE INCENTIVE HAS A MAXIMUM CAP OF $4,500,000. THE PAYOUT AND AMOUNT OF THE PAYOUT FOR THE EMPLOYEE INCENTIVE PLAN IS MADE AT THE DISCRETION OF THE BOARD. THE MANAGEMENT INCENTIVE PLAN PAYS A SLIDING PERCENTAGE OF BASE COMPENSATION IF THE NET OPERATING INCOME IS EQUAL TO OR GREATER THAN 80% OF THE BUDGETED NET OPERATING INCOME. THE SLIDING SCALE CAPS WHEN OPERATING INCOME REACHES 120% OF THE BUDGETED OPERATING INCOME. THE PAYOUT OF THE MANAGEMENT INCENTIVE PLAN IS MADE AT THE DISCRETION OF THE BOARD. EXECUTIVES ARE COVERED UNDER THE BEACON HEALTH SYSTEM EXECUTIVE SHORT-TERM INCENTIVE PLAN (ESTIP). THE ESTIP PLAN PAYS A SLIDING PERCENTAGE OF BASE COMPENSATION IF THE NET OPERATING INCOME IS EQUAL TO OR GREATER THAN 80% OF THE BUDGETED NET INCOME. THE SLIDING SCALE CAPS WHEN OPERATING INCOME REACHES 120% OF THE BUDGETED OPERATING INCOME. THE PAYOUT OF THE ESTIP IS MADE AT THE DISCRETION OF THE BOARD. PAYOUT OF THE ESTIP IS MADE AT THE DISCRETION OF THE BOARD. A HOSPITAL AUTHORITY OF ELKHART COUNTY 351657690 287468EMO 2008-12-09 14800000 REFUND BONDS ISSUED 04/02/2003 false false false B INDIANA FINANCE AUTHORITY 351602316 45471ALS9 2013-05-21 38582380 REFUND BONDS ISSUED 12/15/1998 false false false A 5700000 0 47800000 0 0 0 566012 33988 0 0 47200000 0 2004 true false true true B 4939613 0 38582380 0 0 0 307145 0 0 0 38275235 0 2000 true false false true A false true true true false 0.01900 0.01900 false false false true B 0 A false false true false true false 0 false 0 false true B false true true false false false 0 false 0 false true A true B true PART III, COLUMN B: COLUMN B IS NOT COMPLETED BECAUSE SUCH BONDS WERE ISSUED AFTER 12/31/2002 TO REFUND BONDS ISSUED BEFORE 01/01/2003. FORM 990, PART I, QUESTION 1 ELKHART GENERAL IS A NOT-FOR-PROFIT HOSPITAL GOVERNED BY A BOARD OF DIRECTORS COMPRISED OF COMMUNITY VOLUNTEERS. EMPHASIS IS PLACED ON ENSURING EVERYONE IN THE COMMUNITY RECEIVES THE HEALTH CARE THEY NEED. FORM 990,PART III, LINE 3 In 2015, ELKHART GENERAL HOSPITAL, INC. TRANSFERRED ITS INTEREST IN COMMUNITY OCCUPATION MEDICINE, LLC (COM) TO BEACON HEALTH SYSTEM, INC. COM IS A FOR-PROFIT INDIANA LIMITED LIABILITY COMPANY, AND PRIMARILY PROVIDES OCCUPATIONAL MEDICINE SERVICES TO LOCAL EMPLOYERS. THIS TRANSFER HAS RESULTED IN AN OVERALL DECREASE IN PROGRAM SERVICE REVENUE. Form 990, Part VI, Question 2 John Martin and Todd Martin: Family Relationship Members of the Organization Form 990, Part VI, Question 6 Beacon Health System, Inc. is the sole corporate member of Elkhart General Hospital, Inc. ELECTION OF BOARD MEMBERS FORM 990, PART VI, SECTION A, LINE 7A THE CORPORATE MEMBER SHALL APPOINT THE BOARD OF DIRECTORS OF ELKHART GENERAL HOSPITAL, INC. AND SHALL HAVE SUCH POWERS OF ADVANCE APPROVAL REGARDING CORPORATE ACTIONS AS ARE DELINEATED IN THE BY-LAWS OF ELKHART GENERAL HOSPITAL, INC. In the absence of such selection by the corporate member, or until the corporate member determines otherwise, Directors shall be selected as follows: Ten (10) directors shall be elected by the Elkhart General Hospital, Inc. Board from nominations proposed by the nominating committee pursuant to the following guidelines. Two (2) directors shall be representatives from the medical staff, elected by the board from recommendations submitted to the nominating committee by the medical staff. Two (2) directors shall be representatives from the United Labor Agency for Community Services, Inc. ("ULA") from recommendations submitted to the nomination committee from the ULA. Two (2) directors shall be representatives from the Elkhart General Foundation from recommendations by the Elkhart Foundation made to the nominating committee. One (1) director shall be the president of Elkhart General Hospital, Inc. FORM 990, PART VI, SECTION A, LINE 7B DECISIONS OF THE BOARD OF DIRECTORS MUST BE APPROVED BY THE CORPORATE MEMBER. Beacon Health System, the Sole Member of Elkhart General Hospital, has control over Elkhart General Hospital's operations. The following matters require the approval of Beacon Health System's Board: 1. Changes to the Articles of Incorporation or Bylaws of Elkhart General Hospital. 2. Appointing or removing with or without cause, the members of the Board, provided, however, that the process of appointment and removal of members of the Board of Elkhart General Hospital shall be as set forth in Elkhart General Hospital's Bylaws, and that appointment of members of the Board of Elkhart General Hospital shall be upon the recommendation of Beacon Health System's Nominating and Governance Committee. 3. The incurrence of debt of Elkhart General Hospital. 4. The sale, transfer or substantial change in use of all or substantially all of the assets of Elkhart General Hospital or the divestiture, dissolution, closure, merger, consolidation, change in corporate membership or ownership, or corporate reorganization of Elkhart General Hospital. 5. The formation of a subsidiary of Elkhart General Hospital, or the sale, transfer or substantial change in use of all or substantially all of the assets of a subsidiary of Elkhart General Hospital,or the divestiture, dissolution, closure, merger, consolidation or change in corporate membership or ownership of a subsidiary of Elkhart General Hospital. 6. The material transfer or encumbrance of the assets of Elkhart General Hospital or a subsidiary of Elkhart General Hospital. 7. The annual operating budget, capital plan, strategic plan, and business plan for Elkhart General Hospital and subsidiaries of Elkhart General Hospital. 8. The mission and vision statements for Elkhart General Hospital and subsidiaries of Elkhart General Hospital. 9. Any material transactions of Elkhart General Hospital or a subsidiary of Elkhart General Hospital which are not otherwise included in the approved operating or capital budgets of Elkhart General Hospital or a subsidiary of Elkhart General Hospital or as otherwise authorized in the bylaws or operating agreement of Elkhart General Hospital or a subsidiary of Elkhart General Hospital. 10. Resolving any issues between Elkhart General Hospital or a subsidiary of Elkhart General Hospital and other affiliates of Beacon Health System as to participation, or failure to participate in, specific managed care agreements, and the terms thereof. 11. Any management agreement for the management of all or any substantial part of Elkhart General Hospital or a subsidiary of Elkhart General Hospital operations. Describe the Process used by Management &/or Governing Body to Review 990 Form 990, Part VI, Question 11B THE ORGANIZATION INCORPORATES NUMEROUS PARTIES IN THE PRODUCTION AND REVIEW OF THE FORM 990 AND ASSOCIATED SCHEDULES. SENIOR ACCOUNTING STAFF AND MANAGEMENT COMPLETE THE FORM 990 AND SCHEDULES. SOME FORMS AND SCHEDULES ARE REVIEWED BY THE CONTROLLER. SUBSEQUENT TO THOSE STEPS, THE ORGANIZATION ENGAGED ERNST & YOUNG TO REVIEW THE COMPLETED FORM 990 AND APPROPRIATE SCHEDULES. PRIOR TO FILING THE RETURN, THE CFO, THE COMPENSATION COMMITTEE OF THE ORGANIZATION, AND THE CEO CONDUCT A GENERAL OVERVIEW OF THE FORM 990, INCLUDING APPLICABLE COMPENSATION SCHEDULES. IN ADDITION, EACH BOARD MEMBER RECEIVES NOTIFICATION OF THE IRS FORM 990 PLACEMENT ON THE ORGANIZATION'S BOARD PORTALS WHICH ALLOWS FOR BOARD MEMBER REVIEW PRIOR TO FILING THE RETURN. CONFLICT OF INTEREST STATEMENTS CORE FORM, PART VI, SECTION B, LINE 12C THERE ARE THREE SEPARATE FORMS THAT ARE SENT OUT THROUGH THE INTERNAL AUDIT DEPARTMENT TO KEY EMPLOYEES OR BOARD MEMBERS REGARDING CONFLICT OF INTEREST. THEY ARE AS FOLLOWS: 1. THE FIRST IS A CONFLICT OF INTEREST STATEMENT THAT IS SENT TO SENIOR LEVEL ADMINISTRATION, MANAGEMENT, AND SELECT STAFF SUCH AS PURCHASING DEPARTMENT EMPLOYEES. THE PURPOSE OF THE STATEMENT IS TO REQUIRE THESE EMPLOYEES TO DISCLOSE ANY POTENTIAL CONFLICT OF INTERESTS THEY MAY HAVE. THE STATEMENTS ARE SENT IN JANUARY OF EACH YEAR for the previous year activities. WE PURSUE THE REPLIES TO GET A 100% RESPONSE RATE. IN THE CURRENT YEAR WE SENT OUT OVER 425 STATEMENTS AND are WORKING TO ACHIEVE A 100% RESPONSE RATE. EACH RESPONSE IS REVIEWED BY THE DIRECTOR OF INTERNAL AUDIT AND THE RESULTS ARE REPORTED TO THE CEO OF Beacon Health System, the Audit Committee Chairman, AS WELL AS THE AUDIT COMMITTEE OF THE BOARD OF DIRECTORS. 2. THE SECOND STATEMENT IS THE BOARD DUALITY OF INTEREST STATEMENT THAT is SENT TO CURRENT BOARD MEMBERS, FORMER BOARD MEMBERS FROM THE LAST FIVE YEARS, and OTHER KEY EMPLOYEES. THE DUALITY OF INTEREST STATEMENT is sent using a web-based survey tool provided by Ernst & Young. THE REPLIES ARE REVIEWED BY THE DIRECTOR OF INTERNAL AUDIT. THE RESULTS of the surveys are summarized using the web-based tool, and are reviewed by Ernst & Young in completing the 990. The RESULTS ARE REPORTED TO THE CEO OF Beacon Health System, the Audit Committee Chairman, AND THE AUDIT COMMITTEE OF THE BOARD OF DIRECTORS. 3. THE THIRD STATEMENT IS ENTITLED "CODE OF ETHICS FOR SENIOR FINANCIAL OFFICERS." THE STATEMENT REQUIRES AN ACKNOWLEDGEMENT FORM TO BE SIGNED BY Beacon Health System's KEY FINANCIAL EMPLOYEES THAT Beacon's FINANCIAL INFORMATION IS TO THE BEST OF THEIR KNOWLEDGE TRUE AND ACCURATE. THIS STATEMENT WAS SENT OUT IN EARLY JANUARY, 2016 AND THE SIGNED ACKNOWLEDGEMENTS ARE KEPT BY THE DIRECTOR OF INTERNAL AUDIT. IN 2016, 22 DESIGNATED EMPLOYEES WERE REQUESTED TO SIGN THE FORM AND WE HAD A 100% COMPLIANCE RATE. ANY POTENTIAL CONFLICTS OF INTERESTS ARE REVIEWED BY INDEPENDENT PARTIES BOTH INTERNAL AND EXTERNAL TO THE ORGANIZATION, AND IF NECESSARY, CORRECTIVE ACTION WOULD BE TAKEN TO RESOLVE A TRUE CONFLICT. THE INDIVIDUAL WITH THE POTENTIAL CONFLICT OF INTEREST would be EXCLUDED FROM ALL REVIEW PROCEEDINGS. FORM 990, PART VI, SECTION B, LINES 15A & 15B BEACON HEALTH SYSTEM, INC., THE PARENT COMPANY OF ELKHART GENERAL HOSPITAL CONDUCTS THE REVIEW OF ALL COMPENSATION. VICE PRESIDENT AND HIGHER COMPENSATION IS DETERMINED AFTER AN EXTENSIVE EXAMINATION IS CONDUCTED USING COMPARABLE MARKET DATA AND THEN REVIEWED BY AN INDEPENDENT CONSULTANT HIRED BY, AND REPORTING TO, THE BOARD OF DIRECTORS. HUMAN RESOURCES CONDUCTS THE ANALYSIS AND MAKES RECOMMENDATIONS TO THE CEO WHO THEN MAKES THE RECOMMENDATIONS FOR ALL OTHER EXECUTIVES/OFFICERS TO THE BOARD FOR APPROVAL. THE INDEPENDENT COUNSULTING GROUP SEPARATELY MAKES THE RECOMMENDATIONS REGARDING THE CEO'S COMPENSATION TO THE BOARD FOR APPROVAL. RECOMMENDATIONS ARE PRESENTED TO THE COMPENSATION COMMITTEE OF THE BEACON HEALTH SYSTEM, INC. BOARD FOR DELIBERATION AND FINAL DECISION. DELIBERATION AND FINAL DECISION ARE PERFORMED BY THE INDEPENDENT MEMBERS OF THE BOARD. PUBLIC AVAILABILITY FOR DOCUMENTS FORM 990, PART VI, SECTION C, LINE 19 THE GOVERNING DOCUMENTS AND CONFLICT OF INT FORM 990 PART IX LINE 11G DESCRIPTION:CONSULTING FEES TOTAL FEES:1239998 FORM 990 PART IX LINE 11G DESCRIPTION:PHYSICIAN FEES TOTAL FEES:859641 FORM 990 PART IX LINE 11G DESCRIPTION:LAB FEES TOTAL FEES:10719334 FORM 990 PART IX LINE 11G DESCRIPTION:BLOOD PRODUCTS TOTAL FEES:2674943 FORM 990 PART IX LINE 11G DESCRIPTION:OTHER PURCHASED SERVICES TOTAL FEES:7639911 FORM 990 PART IX LINE 11G DESCRIPTION:COLLECTION FEES TOTAL FEES:2021557 FORM 990 PART IX LINE 11G DESCRIPTION:REPAIR AND MAINT TOTAL FEES:2077500 FORM 990 PART IX LINE 11G DESCRIPTION:SERVICE CONTRACTS TOTAL FEES:5198380 Beacon Medical Group Inc 615 N MICHIGAN STREET SOUTH BEND IN 46601 351536132 PHY PRACTICES IN 501(C)(3) 9 BHS true MEMORIAL HEALTH FOUNDATION INC 615 N MICHIGAN STREET SOUTH BEND IN 46601 351536129 FINANCIAL SUP IN 501(C)(3) 7 BHS true MEMORIAL ENDOWMENT FUND FOR MEMORIAL HOS PO BOX 1602 SOUTH BEND IN 46634 356068581 ENDOWMENT IN 501(C)(3) 11D III-O MHSB true BEACON HEALTH SYSTEM INC 615 N MICHIGAN STREET SOUTH BEND IN 46601 453864076 PARENT ORG. IN 501(C)(3) 11AI NA false Memorial Hospital of South Bend Inc 615 N Michigan Street South Bend IN 46601 350868132 Hospital IN 501(C)(3) 3 BHS true ELKHART GENERAL HOSPITAL FOUNDATION 600 EAST BLVD ELKHART IN 46514 356061200 CHAR SUPPORT IN 501(C)(3) 11C,TYPEIII NA false ELKHART GENERAL HOSPITAL AUXILIARY 600 EAST BLVD ELKHART IN 46514 350938148 VOL SUPPORT IN 501(C)(3) 11A,TYPE I NA false WaNee Walk-In Cl 1028-A East Waterford St PO Box 3 Wakarusa IN 46573 272192375 Medical Clini IN EGH RELATED -26694 31889 false 0 true 0.50000 Beacon Health Ventures Inc 615 N Michigan St South Bend IN 46601 351901068 Home Medical IN C Beacon Health Ventures Michigan Inc 615 N Michigan St South Bend IN 46601 208259773 Home Medical MI C false true true false false false false false false true false false false false true true true true true Memorial Hospital of South Bend q 1845887 ACTUAL CHARGES Memorial Hospital of South Bend b 17738065 WRITEOFFINTERCO Memorial Hospital of South Bend p 30602880 ACTUAL CHARGES Memorial Hospital of South Bend s 46500000 INTERCO TRNSF Beacon Health Ventures j 339989 WRITEOFFINTERCO Beacon Medical Group p 2746244 ACTUAL CHARGES Beacon Medical Group s 1844755 ACTUAL CHARGES Beacon Medical Group b 189117 WRITEOFFINTERCO Beacon Medical Group j 768998 ACTUAL CHARGES