2016-05-16T16:35:33-05:00 2015-06-30 861065772 Deloitte Tax LLP 250 East Fith Street Suite 1900 Cincinnati OH 45202 990 2014-07-01 382335286 Borgess Health Alliance Inc BORG 2692268301 1521 Gull Road Kalamazoo MI 490481640 Richard Felbinger CFO 2016-05-13 true Meghann Ackley P01399136 5137847100 2014 2016-08-17 19:52:53Z Paul A Spaude 1521 Gull Road Kalamazoo MI 490481640 9419710 false 0928 X www.borgess.com X 1980 MI Serving more than 1 million people through a network of hospitals & healthcare facilities. 15 13 0 16 0 0 0 0 2377030 3571759 0 2307044 300439 3487825 2677469 9366628 0 0 0 0 7385568 11144047 0 0 0 49148724 49584370 56534292 60728417 -53856823 -51361789 8610923 196831647 1884711 245211 6726212 196586436 The purpose of Borgess Health is to be a values-based health system continuing the healing mission of the Sisters of St. Joseph and responding to the needs of those we serve. Our commitment to those we serve respects the dignity of human life and actively responds to the needs of the poor. false false 34892092 6602926 TOGETHER, OUR PHYSICIANS, ASSOCIATES AND MEMBERS OFFER A COMPLETE CONTINUUM OF SERVICES TO NEARLY 1 MILLION PEOPLE LIVING IN 10 COUNTIES IN SOUTHWEST MICHIGAN. DELIVERING COMPREHENSIVE PREVENTION, PRIMARY CARE, ADVANCED TREATMENT PROGRAMS AND REHABILITATION SERVICES, BORGESS HEALTH IS ONE OF THE AREA'S LARGEST HEALTH CARE PROVIDERS AND EMPLOYERS, BORGESS HEALTH INCLUDES BORGESS MEDICAL CENTER, OUR FLAGSHIP HOSPITAL, ALONG WITH MANY OWNED OR AFFILIATED ENTITIES. 1750 BORGESS HEALTH ALLIANCE, INC. HOSTS INFORMATION SEMINARS AND PROVIDES OTHER HEALTH CARE SERVICES TO THE PUBLIC REGARDING CHANGES FORESEEN IN THE HEALTHCARE INDUSTRY. 34892092 true false false false false false false false false false true false true true false true false true false false false false false false false false false false false true false false false false false false false false false false false false false true true true false false true 0 0 0 false false false false false false false false false false X 15 13 true false false false true true true true true false false true true true true true true false false true true X Richard Felbinger 2692265499 1521 Gull Road Kalamazoo MI 49024 JAMES DEVLIN CHAIR 1.00 3.00 X X 0 0 0 WILLIAM M HARRISON VICE CHAIR (END 6/15) 1.00 3.00 X X 0 0 0 PAUL A SPAUDE CEO - HEALTH SYSTEM (END 9/14) 1.00 40.00 X X 0 1532603 65707 KATHY A YOUNG PRESIDENT CEO (STARTED 1/5/2015) 1.00 41.00 X X 0 384770 8640 JERRY LOVE SECRETARY (STARTED 7/1/2014) 1.00 2.00 X X 0 0 0 SANJAY DALAL MD TRUSTEE 1.00 3.00 X 0 0 0 S TIM DERRINGTON TRUSTEE (END 8/14) 1.00 3.00 X 0 0 0 GARY DRUSKOVICH MD TRUSTEE 1.00 3.00 X 0 0 0 MARY ELLEN GONDECK CSJ TRUSTEE 1.00 3.00 X 0 0 0 JAMES F HETTINGER TRUSTEE 1.00 3.00 X 0 0 0 ALBERT LITTLE TRUSTEE 1.00 3.00 X 0 0 0 LARRY D LUETH TREASURER 1.00 3.00 X 0 0 0 SUSAN POZO PHD TRUSTEE 1.00 3.00 X 0 0 0 MIRJANA STANCIC MD TRUSTEE 1.00 40.00 X 0 231096 28885 DANIEL E STEWART MD TRUSTEE 1.00 40.00 X 0 430006 69257 BETH BRUTSCHE TRUSTEE (STARTED 10/9/2014) 1.00 2.00 X 0 0 0 MARY SLATER TRUSTEE (STARTED 7/1/2014) 1.00 2.00 X 0 0 0 MARK ANTHONY COO - HEALTH SYSTEM 1.00 39.00 X 0 347897 59800 RICHARD FELBINGER CFO - HEALTH SYSTEM 1.00 39.00 X 0 334548 66422 J PATRICK DYSON EXECUTIVE VP 1.00 39.00 X 0 412467 61004 ROBERT HILL MD CHIEF MEDICAL OFFICER 35.00 39.00 X 0 304141 70539 MARK NOFFSINGER MD (SCH O) TRUSTEE (END 1/14) 1.00 2.00 X 0 862912 68401 0 4840440 498655 0 false true false 0 X 0 Joint Venture Revenue 532000 3571759 3571759 0 0 0 0 3571759 2307044 2307044 433749 53082 380667 0 380667 380667 0 0 Fitness Club Revenue 900099 1887796 1887796 IS Support Revenue 621990 351685 351685 Cafeteria/Gift Shop 621990 74241 74241 793436 793436 0 0 3107158 9366628 6604676 0 2761952 11839058 591953 11247105 -1259392 -62970 -1196422 564381 28219 536162 919692 919692 45000 45000 2717808 1087123 1630685 0 1514702 1514702 113826 5691 108135 30460857 27414771 3046086 5668547 283427 5385120 180199 180199 22341 22341 21968 21968 Dues and Subscriptions 408700 408700 Contract Service 5292606 5027976 264630 Recruiting 704284 704284 Supplies 328824 328824 1185016 493934 691082 0 60728417 34892092 25836325 0 0 3916146 340041 90000 0 0 0 1149783 180802 690000 287723 423185 402277 0 6517112 10310433 0 182112791 8610923 196831647 229811 245211 0 1654900 0 1884711 245211 X 6726212 196586436 0 6726212 196586436 8610923 196831647 X -51361789 -1732605 242954618 X false true X true false X X 1 BORGESS MEDICAL CENTER 381360526 3 true 0 34892092 1 0 34892092 true false false false false false false false false false false false false false false true true true X true true Schedule A, Part IV, Section D, Line 3 Supp. Org. Have Significant Voice In Investment Policies Due to the integrated nature of the health system, there is significant overlap in the board of Borgess Health Alliance and its supported organization Borgess Medical Center. As such, each organization has a significant voice in the operations of the other. Schedule A, Part IV, Section E, Line 3a Power To Appoint/Elect Majority of Officer/Director/Trustee As the sole corporate member of Borgess Medical Center, Borgess Health Alliance has the ability to elect members to the governing body of Borgess Medical Center. Schedule A, Part IV, Section E, Line 3b Substantial Direction Over Policies/Programs/Activities Due to the integrated nature of the health system, there is significant overlap in the board of Borgess Health Alliance and its supported organization Borgess Medical Center. As such, each organization has a significant voice in the operations of the other. 50000 50000 640000 287723 352277 402277 Equity in Woodbridge Center, LLC 637870 C Equity in SMIC, LLC 1998487 C Equity in Kalamazoo Foundation 3951717 C Equity in Greenleaf Trust C Equity in Reverence Home Health 3722359 C 10310433 Other misc asset 706 Due from Borgess Medical Center 48801357 Interest in Investment Held by Ascension Health Alliance 101139366 Intercompany Receivables 32171362 182112791 Due to Borgess Medical Center Due to Reverence 0 X Schedule D, Part X, Line 2 FIN 48 (ASC 740) footnote From the consolidated audited financial statements of Ascension Health Alliance and its member entities ("The System") which include the activity of Borgess Health Alliance, Inc.: The System accounts for uncertainty in income tax positions by applying a recognition threshold and measurement attribute for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The System has determined that no material unrecognized tax benefits or liabilities exist as of June 30, 2015. false true false false false false false false false PAUL A SPAUDE CEO - HEALTH SYSTEM (END 9/14) 0 1361118 0 76682 0 94803 0 48932 0 16775 0 1598310 0 0 KATHY A YOUNG PRESIDENT CEO (STARTED 1/5/2015) 0 339489 0 0 0 45281 0 4950 0 3690 0 393410 0 0 MARK NOFFSINGER MD (SCH O) TRUSTEE (END 1/14) 0 791974 0 66036 0 4902 0 50091 0 18310 0 931313 0 0 MIRJANA STANCIC MD TRUSTEE 0 220892 0 9326 0 878 0 19973 0 8912 0 259981 0 0 DANIEL E STEWART MD TRUSTEE 0 379004 0 25458 0 25544 0 49624 0 19633 0 499263 0 0 MARK ANTHONY COO - HEALTH SYSTEM 0 336453 0 0 0 11444 0 49229 0 10571 0 407697 0 0 RICHARD FELBINGER CFO - HEALTH SYSTEM 0 321230 0 0 0 13318 0 48890 0 17532 0 400970 0 0 J PATRICK DYSON EXECUTIVE VP 0 395565 0 0 0 16902 0 49999 0 11005 0 473471 0 0 ROBERT HILL MD CHIEF MEDICAL OFFICER 0 302089 0 0 0 2052 0 48471 0 22068 0 374680 0 0 Schedule J, Part I, Line 3 Arrangement used to establish the top management official's compensation ASCENSION HEALTH, A RELATED ORGANIZATION OF BORGESS HEALTH ALLIANCE, INC., USES THE FOLLOWING METHODS TO ESTABLISH THE COMPENSATION OF THE ORGANIZATION'S CEO: - COMPENSATION COMMITTEE, - INDEPENDENT COMPENSATION CONSULTANT, - COMPENSATION SURVEY OR STUDY, AND - APPROVAL BY THE BOARD OR COMPENSATION COMMITTEE. Schedule J, Part I, Line 4b Supplemental nonqualified retirement plan Eligible Executives participate in a program that provides for supplemental retirement benefits. The payment of benefits under the program, if any, is entirely dependent upon to facts and circumstances under which the executive terminates employment with the organization. Benefits under the program are unfunded and non-vested. Due to the substantial risk of forfeiture provision, there is no guarantee that these executives will ever receive any benefit under the program. Any amount ultimately paid under the program to the executive is reported as compensation on Form 990, Schedule J, Part II, Column B in the year paid. No distributions from the supplemental nonqualified retirement plan were made in the current year. Form 990, Part VI, Line 2 BUSINESS RELATIONSHIPS Many of the persons listed on Part VII have a "business relationship" with each other by virtue of sitting on related Borgess Health Alliance, Inc. entity boards. Form 990, Part VI, Line 15a Process for determining compensation of the organization's CEO In determining the compensation of the organization's CEO, the process, performed by Ascension Health, a related organization of Borgess Health Alliance, Inc., included a review and approval by independent persons, comparability data and contemporaneous substantiation of the deliberation and decision. The Compensation Committee reviewed and approved the compensation. In the review of the compensation, the CEO was compared to individuals at other organizations in the area who hold the same title. During the review and approval of the compensation, documentation of the decision was recorded in the committee minutes. The individual was not present when his compensation was decided. Form 990, Part VI, Line 15b COMPENSATION of Other officers and key employees In determining the compensation of the other officers of the organization, the process, performed by Borgess Medical Center, a related organization of Borgess Health Alliance, Inc., included a review and approval by independent persons, comparability data, and contemporaneous substantiation of the deliberation and decision. The Compensation Committee reviewed and approved the compensation. In the review of the compensation, the other officers of the organization were compared to individuals at other organizations in the area who hold the same title. During the review and approval of the compensation, documentation of the decision was recorded in the board minutes. Form 990, Part VI, Line 6 Classes of members or stockholders Borgess Health Alliance, Inc. has a single corporate member, Ascension Health. Form 990, Part VI, Line 7a Members or stockholders electing members of governing body Borgess Health Alliance, Inc. has a single corporate member, Ascension Health, who has the ability to elect members of the governing body of the Borgess Health Alliance, Inc. Form 990, Part VI, Line 7b Decisions requiring approval by members or stockholders Ascension Health has designed a system authority matrix which assigns authority for key decisions that are necessary in the operation of the system. Specific areas that are identified in the authority matrix are: new organizations & major transactions; governing documents; appointments/removals; evaluation; debt limits; strategic & financial plans; assets; system policies & procedures. These areas are subject to certain levels of approval by Ascension per the system authority matrix. Form 990, Part VI, Line 11b Review of form 990 by governing body Management, including certain officers, works diligently to complete the Form 990 and attached schedules in a thorough manner. Prior to filing the return, all Board Members are provided the Form 990 and management team members are available to answer any Board Members' questions. Form 990, Part VI, Line 12c Conflict of interest policy The organization regularly and consistently monitors and enforces compliance with the Conflict of Interest Policy in that any director, principal officer, or member of a committee with governing board delegated powers, who has a direct or indirect financial interest, must disclose the existence of the financial interest and be given the opportunity to disclose all material facts to the directors and members of the committees with governing board delegated powers considering the proposed transaction or arrangement. The remaining individuals on the governing board or committee will decide if conflicts of interest exists. Each director, principal officer and member of a committee with governing board delegated powers annually signs a statement which affirms such person has received a copy of the Conflict of Interest Policy, has read and understands the policy, has agreed to comply with the policy, and understands that the organization is charitable and in order to maintain its federal tax exemption it must engage primarily in activities which accomplish its tax-exempt purpose. Form 990, Part VI, Line 19 Required documents available to the public The organization will provide any documents open to public inspection upon request. Form 990, Part VII, Section B, Line 1 Independent Contractor Reporting Compensation of independent contractors is paid by and reported on the Form 1096, Annual Summary and Transmittal of U.S. Information Returns, of Ascension Health EIN 31-1662309. Expenses are allocated to and reimbursed by the filing organization to Ascension Health. As such, the organization has not reported independent contractors paid on Form 990, Part VII, Section B. Form 990, Part VIII, Line 11d Other Miscellaneous Revenue Seminars - Total Revenue: 1750, Related or Exempt Function Revenue: 1750, Unrelated Business Revenue: , Revenue Excluded from Tax Under Sections 512, 513, or 514: ; Bad Debt Collections - Total Revenue: -9628, Related or Exempt Function Revenue: -9628, Unrelated Business Revenue: , Revenue Excluded from Tax Under Sections 512, 513, or 514: ; Other - Total Revenue: 801314, Related or Exempt Function Revenue: 801314, Unrelated Business Revenue: , Revenue Excluded from Tax Under Sections 512, 513, or 514: ; Form 990, Part XI, Line 9 Other changes in net assets or fund balances Transfer to from Affiliates - XXX-XX-XXXX; ASCENSION HEALTH ALLIANCE PO BOX 45998 ST LOUIS MO 631455998 453358926 NATIONAL HEALTH SYSTEM MO 501(c)(3 Type I NA false ASCENSION HEALTH PO BOX 45998 ST LOUIS MO 63145 311662309 NATIONAL HEALTH SYSTEM MO 501(c)(3 Type I ASCENSION HEALTH ALLIANCE false BORGESS MEDICAL CENTER 1521 GULL ROAD KALAMAZOO MI 49048 381360526 HEALTHCARE SERVICES MI 501(c)(3 3 BORGESS HEALTH ALLIANCE INC true BORGESS AMBULATORY CARE CORPORATION 1521 GULL ROAD KALAMAZOO MI 49048 382468823 HOLDING COMPANY MI 501(c)(3 3 BORGESS HEALTH ALLIANCE INC true BORGESS FOUNDATION 1521 GULL ROAD KALAMAZOO MI 49048 237222558 FUNDRAISING MI 501(c)(3 Type III-FI BORGESS HEALTH ALLIANCE INC true BORGESS NURSING HOME 3057 GULL ROAD KALAMAZOO MI 490481281 382555589 RESIDENTIAL CARE MI 501(c)(3 3 BORGESS HEALTH ALLIANCE INC true LEE MEMORIAL HOSPITAL CORPORATION 420 WEST HIGH STREET DOWAGIAC MI 49047 381490190 HEALTHCARE SERVICES MI 501(c)(3 3 BORGESS HEALTH ALLIANCE INC true LEE MEMORIAL FOUNDATION 420 W HIGH STREET DOWAGIAC MI 49047 382860459 FUNDRAISING MI 501(c)(3 Type III-FI BORGESS HEALTH ALLIANCE INC true PROMED HEALTHCARE 1521 GULL ROAD KALAMAZOO MI 49048 383193801 HEALTHCARE SERVICES MI 501(c)(3 9 BORGESS HEALTH ALLIANCE INC true VISITING NURSES HOME CARE DBA BORGESS VNA HOME CARE 348 NORTH BURDICK KALAMAZOO MI 49007 382717691 HOME HEALTHCARE SERVICES MI 501(c)(3 9 BORGESS HEALTH ALLIANCE INC true TEXTILE SYSTEMS INC 817 WALBRIDGE KALAMAZOO MI 49007 382705047 LAUNDRY SERVICES MI NA C Corporation false false false false false false false false false false false false false false true false false true Borgess Medical Center S 304030808 FMV Borgess Medical Center P 231704089 FMV