2015-11-16T15:09:04-06:00 2014-12-31 390859910 BAKER TILLY VIRCHOW KRAUSE LLP 1650 MARKET STREET SUITE 4500 PHILADELPHIA PA 19103 990 2014-01-01 232654910 KIDSPEACE CHILDREN'S HOSPITAL KIDS 6107998038 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 MICHAEL CALLAN EVP FINANCE/CFO 6107998038 2015-11-16 1 JAIME L KUNTZ CPA P01272711 2159720701 2014 2016-02-25 16:41:14Z MICHAEL CALLAN 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 24451020 0 X WWW.KIDSPEACE.ORG X 1991 PA PSYCHIATRIC HOSPITAL, OUTPATIENT & BEHAVIORAL HEALTH REHAB SERVICES FOR CHILDREN & ADOLESCENTS. 3 0 474 0 0 0 11527 9391 19280927 24441629 0 0 0 0 19292454 24451020 0 0 0 0 11736944 11914028 0 0 105633 10281544 12329559 22018488 24243587 -2726034 207433 1695449 3477941 23511712 2328542 -21816263 1149399 X KIDSPEACE IS A 133-YEAR-OLD HEALTHCARE NONPROFIT THAT IS DEDICATED TO PROVIDING HOPE, HELP, AND HEALING TO CHILDREN, FAMILIES AND COMMUNITIES. WITH 38 CENTERS ACROSS THE COUNTRY, THIS NATIONAL ORGANIZATION HELPS THOUSANDS OF CHILDREN EACH DAY THROUGH LIFE-SAVING TREATMENT, AND REACHES MILLIONS MORE KIDS AND FAMILIES EACH YEAR WITH PREVENTION AND PUBLIC EDUCATION CAMPAIGNS DESIGNED TO HELP KIDS AVOID AND OVERCOME THE KINDS OF CRISES THAT CAN STRIKE ANY CHILD. FOUNDED IN BETHLEHEM, PA, KIDSPEACE HAS MORE THAN A CENTURY OF EXPERIENCE IN HEALING AND GUIDING CHILDREN THROUGH DISASTERS, PERSONAL TRAUMAS, FAMILY PROBLEMS, ABUSE, NEGLECT, DEPRESSION, AND, TODAY, THE MANY STRESSES OF MODERN LIFE. KIDSPEACE EXISTS TO GIVE KIDS PEACE.KIDSPEACE CHILDREN'S HOSPITAL (KCH) OPERATES AN INPATIENT PSYCHIATRIC HOSPITAL AND PROVIDES PARTIAL HOSPITALIZATION, OUTPATIENT AND BEHAVIORAL HEALTH REHABILITATIVE SERVICES FOR CHILDREN AND ADOLESCENTS. 0 0 16231680 21280676 INPATIENT MENTAL TREATMENT PROGRAMS: INPATIENT PSYCHIATRIC HOSPITAL FOR CHILDREN AND ADOLESCENTS WITH SHORT TERM PROGRAMS DESIGNED TO MEET THE NEED OF EACH PATIENT. DURING 2014, KIDSPEACE CHILDREN'S HOSPITAL (KCH) PROVIDED 28,460 DAYS OF SERVICE TO PATIENTS. 2009426 1713311 OUTPATIENT MENTAL HEALTH TREATMENT PROGRAMS: OUTPATIENT SERVICES FOR CHILDREN AND ADOLESCENTS. IN 2014 PROGRAMS WERE EXPANDED TO PROVIDE TREATMENT TO THE ADULT POPULATION UP TO 65 YEARS OF AGE. DURING 2014, KCH PROVIDED SERVICE TO 19,847 INDIVIDUALS. 1808150 1447642 OUTPATIENT MEDICAL HEALTH TREATMENT PROGRAMS: BEHAVIORAL HEALTH PROGRAMS FOR CHILDREN AND ADOLESCENTS. THIS INCLUDES SERVICES FOR CHILDREN ON THE AUTISM SPECTRUM AS WELL AS A SPECIFICALLY DESIGNED SUMMER CAMP FOR CHILDREN WITH AN AUTISM DIAGNOSIS. DURING 2014, KCH PROVIDED SERVICES TO 113,463 INDIVIDUALS. 20049256 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 1 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 X 0 0 474 1 0 0 0 0 0 0 0 0 0 0 X 3 0 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X GERARD GLEESON 6107998038 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 SUSAN MULLEN DIRECTOR 15.00 35.00 X 47095 109889 9481 RAY CULP DIRECTOR 1.00 40.00 X 0 107447 11346 MICHAEL SLACK DIRECTOR & SECRETARY 5.00 45.00 X 16505 157062 0 GEORGE SHOPLAND EXECUTIVE VICE PRESIDENT 40.00 0.00 X 139428 0 11347 WILLIAM ISEMANN PRESIDENT & CEO 7.50 42.50 X 44593 749387 21129 GERARD GLEESON TREASURER 7.50 42.50 X 22797 129185 12319 GAYLE NORRIS ASSISTANT SECRETARY 1.00 40.00 X 0 56147 10029 SUSAN LEYBURN DIRECTOR/SECRETARY 2.50 47.50 X 7187 136548 4899 JAMES HORAN EVP/CFO (UNTIL JUNE 2014) 7.50 42.50 X 14937 84646 11347 THERESA SHARP NURSING SUPERVISOR 40.00 0.00 X 107573 0 9481 400115 1530311 101378 2 0 1 0 DELTA T GROUP 950 HAVERFORD RD SUITE 200 BRYN MAWR PA 19010 TEMPORARY EMPLOYMENT 363595 QUEST DIAGNOSTICS PO BOX 828669 PHILADELPHIA PA 19182 MEDICAL TESTING SERVICES 107175 2 9391 9391 NET CLIENT SERVICE REVENUE 623000 24438788 24438788 OTHER REVENUE 900099 2841 2841 24441629 24451020 24441629 0 0 9723476 9723476 1470232 1470232 720320 720320 5497981 1663469 3728879 105633 505413 504337 1076 261498 139830 121668 287170 287170 46090 46090 90 90 652500 652500 PHYSICIAN FEES 2126374 2126374 EQUIPMENT RENTALS 1789966 1727637 62329 MEDICAL EXPENSES 483924 483924 FOOD 247001 247001 431552 256806 174746 24243587 20049256 4088698 105633 1751 2250 10553 10553 1683145 3465138 1695449 3477941 995685 1075388 22516027 1253154 23511712 2328542 X -21816263 1149399 0 0 -21816263 1149399 1695449 3477941 X 207433 22758229 X 0 1 X 1 1 1 X 0 DUE TO AFFILIATE 1253154 1253154 X 24214670 2650 -239000 -236350 24451020 0 24451020 24007237 2650 2650 24004587 239000 239000 24243587 PART X, LINE 2: THE INTERNAL REVENUE SERVICE RECOGNIZES KIDSPEACE AND ITS SOLE CORPORATE MEMBERS AS AN EXEMPT ORGANIZATION FOR FEDERAL INCOME TAX PURPOSES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. KIDSPEACE IS NO LONGER SUBJECT TO U.S. FEDERAL AND STATE TAX EXAMINATIONS FOR THE YEARS PRIOR TO 2011. KIDSPEACE FOLLOWS THE ACCOUNTING GUIDANCE FOR UNCERTAINTIES IN INCOME TAX POSITIONS, WHICH REQUIRES THAT A TAX POSITION BE RECOGNIZED OR DERECOGNIZED BASED ON A "MORE LIKELY THAN NOT" THRESHOLD. THIS APPLIES TO POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN A TAX RETURN. KIDSPEACE DOES NOT BELIEVE ITS CONSOLIDATED FINANCIAL STATEMENTS INCLUDE ANY MATERIAL UNCERTAIN TAX POSITIONS. PART XI, LINE 2D - OTHER ADJUSTMENTS: BAD DEBT EXPENSE NETTED AGAINST REVENUE ON F/S -239,000. PART XII, LINE 4B - OTHER ADJUSTMENTS: BAD DEBT EXPENSE NETTED AGAINST REVENUE ON F/S 239,000. 1 1 X 1 X 1 X 1 0 1 1 31903 31903 0.00130 17732672 18689863 -957191 0.00000 17764575 18689863 -925288 0.00130 17764575 18689863 -925288 0.00130 334414 1 0 1 1 KIDSPEACE CHILDREN'S HOSPITAL 5300 KIDSPEACE DRIVE OREFIELD PA 18069 WWW.KIDSPEACE.ORG 234200 X X PSYCHIATRIC HOSPTIAL KIDSPEACE CHILDREN'S HOSPITAL 1 0 0 1 X X X X X X 12 1 1 1 1 X 0 0 1 X 200.000000000000 400.000000000000 1 1 X X X X 1 X X X X 1 X 0 X X X X 0 X X 0 0 KIDSPEACE CHILDREN'S HOSPITAL PART V, SECTION B, LINE 5: THE NEEDS ASSESSMENT WAS A COMBINED EFFORT OF NUMEROUS HEALTHCARE PROVIDERS IN THE LEHIGH VALLEY AND ALL PARTICIPANTS WERE ABLE TO RELY UPON EXPERTS FROM EACH ORGANIZATION TO FORMULATE A COMPREHENSIVE ASSESSMENT. KIDSPEACE CHILDREN'S HOSPITAL PART V, SECTION B, LINE 6A: GOOD SHEPHERD REHABILITATION, ST. LUKES HEALTH NETWORK, LEHIGH VALLEY HEALTH NETWORK, SACRED HEART HEALTH CARE SYSTEM KIDSPEACE CHILDREN'S HOSPITAL PART V, SECTION B, LINE 7D: FREE DISTRIBUTION AT COMMUNITY EVENTS KIDSPEACE CHILDREN'S HOSPITAL PART V, SECTION B, LINE 22D: MAXIMUM AMOUNTS THAT CAN BE CHARGED ARE BASED ON MEDICAID ESTABLISHED RATES. PART V, SECTION B LINES 8 AND 11: KIDSPEACE CHILDREN'S HOSPITAL IS DEVELOPING AN IMPLEMENTATION STRATEGY THAT BEST MEETS THE NEEDS OF THE COMMUNITY WE SERVE AS WELL AS THE HOSPITAL ITSELF. PART V, SECTION B, LINE 16 FINANCIAL ASSISTANCE POLICY WEBSITE AVAILABILITY KIDSPEACE CHILDREN'S HOSPITAL PART V, SECTION B, LINE 16A WEBSITE: WWW.KIDSPEACE.ORG KIDSPEACE CHILDREN'S HOSPITAL PART V, SECTION B, LINE 16B WEBSITE: WWW.KIDSPEACE.ORG KIDSPEACE CHILDREN'S HOSPITAL PART V, SECTION B, LINE 16C WEBSITE: WWW.KIDSPEACE.ORG 4 BEHAVIORAL HEALTH REHABILITATIVE SVCS 1650 BROADWAY BETHLEHEM PA 18015 CLINICAL & BEHAVIORAL SERVICES FOR CHILDREN AND AUTISM SPECTRUM DISORDER OUTPATIENT CLINIC 801 GREEN ST ALLENTOWN PA 18109 OUTPATIENT BEHAVIORAL HEALTH CLINICS SACRED HEART SIGAL CENTER 450 W CHEW ST SUITE 203 ALLENTOWN PA 18109 OUTPATIENT BEHAVIORAL HEALTH CLINICS OUTPATIENT CLINIC 100 COMMUNITY DR SUITE 208 TOBYHANNA PA 18466 OUTPATIENT BEHAVIORAL HEALTH CLINICS PART I, LINE 7: COST BASED ON ACTUAL ACTIVITY WITHIN PROGRAMMING. 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 $ 239,000. PART III, LINE 2: ACTUAL AMOUNT CHARGED AS BAD DEBT. PART III, LINE 3: THE AMOUNT IDENTIFIED ARE THE CHARGES DIRECTLY ATTRIBUTABLE TO BAD DEBT. THE AMOUNT SHOULD BE INCLUDED AS COMMUNITY BENEFIT AS IT IS A COST OF DOING BUSINESS TO PROVIDE SERVICES TO ALL PATIENTS REGARDLESS OF THE ABILITY TO PAY. PART III, LINE 4: KIDSPEACE PROVIDES AN ALLOWANCE FOR DOUBTFUL ACCOUNTS FOR ESTIMATED LOSSES RESULTING FROM THE UNWILLINGNESS OR INABILITY OF CLIENTS TO MAKE PAYMENTS FOR SERVICES. THE ALLOWANCE IS DETERMINED BY ANALYZING SPECIFIC AMOUNTS AND HISTORICAL DATA AND TRENDS. ACCOUNTS RECEIVABLE FROM CLIENTS ARE CHARGED OFF AGAINST THE ALLOWANCE FOR DOUBTFUL ACCOUNTS WHEN MANAGEMENT DETERMINES THAT RECOVERY IS UNLIKELY AND KIDSPEACE CEASES COLLECTION EFFORTS. PART VI, LINE 2: KIDSPEACE REGULARLY MEETS WITH LOCAL COUNTY OFFICIALS TO ASSESS NEEDS AND DETERMINE OPPORTUNITIES TO PROVIDE SUPPORT AND PROGRAMMING. IN ADDITION KIDSPEACE IS A MEMBER OF THE PENNSYLVANIA COUNCIL OF CHILDREN YOUTH AND FAMILIES WHICH ALLOWS KIDSPEACE TO EXCHANGE IDEAS AND BEST PRACTICE CONCEPTS WITH OTHER PROVIDERS THROUGHOUT PENNSYLVANIA.IN RECENT YEARS THE CHILDREN'S HOSPITAL REDESIGNED ITS ADMISSIONS PROCESS TO ALLOW DIRECT ADMITS INTO THE PROGRAM. CHILDREN MEETING SPECIFIC CRITERIA WILL BE DIRECTLY ADMITTED INTO THE HOSPITAL POTENTIALLY AVOIDING LONG WAITS IN EMERGENCY ROOMS AND DELAYS IN RECEIVING THE CARE AND TREATMENT NEEDED DURING A TIME OF CRISIS.SEE ALSO SCHEDULE H PART V. PART VI, LINE 3: KIDSPEACE CHILDREN'S HOSPITAL IS COMMITTED TO PROVIDING ACCESS TO QUALITY HEALTHCARE SERVICES THAT GIVE HOPE, HELP AND HEALING TO CHILDREN, FAMILIES AND COMMUNITIES. CARE FOR ALL PATIENTS IS GIVEN REGARDLESS OF ABILITY TO PAY.THE KIDSPEACE ADMISSIONS AND BENEFITS DEPARTMENTS DISCUSS BENEFIT ELIGIBILITY, MEDICAL ASSISTANCE PLANS AND CHARITY CARE APPLICATIONS WITH FAMILIES DURING THEADMISSIONS PROCESS. KIDSPEACE WILL ASSIST FAMILIES IN COMPLETING REQUIRED DOCUMENTS AS WELL AS FOLLOWING UP ON SUBMITTED PAPERWORK. KIDSPEACE HAS IMPLEMENTED A FAIR AND CONSISTENT BILLING PRACTICE FOR ALL PATIENTS WITH FINANCIAL OBLIGATIONS TO THEHOSPITAL. FINANCIAL COUNSELING IS ALSO OFFERED TO PATIENTS WITH REGARDS TO THEIR BILLS. INFORMATION ABOUT THE FINANCIAL ASSISTANCE PROGRAM IS POSTED THROUGHOUT THE HOSPITAL TO FURTHER REITERATE KIDSPEACE'S COMMITMENT TO CARE FOR ANY AND ALL PATIENTS AND FAIR BILLING PRACTICES. PART VI, LINE 4: KIDSPEACE CHILDREN'S HOSPITAL PRIMARILY SERVES THE RESIDENTS OF LEHIGH, CARBON AND NORTHAMPTON COUNTIES IN PENNSYLVANIA. THE LEHIGH VALLEY OF WHICH THESE THREE COUNTIES ARE A PART OF HAS A TOTAL POPULATION OF APPROXIMATELY 650,000 WITH AN AVERAGE HOUSEHOLD INCOME OF $55,713. THERE IS ALSO 30 MILLION IN POPULATION WITHIN A 100-MILE RADIUS OF THE LEHIGH VALLEY. FROM 2010 TO 2012 THE MINORITY POPULATION IN THE AREA HAS INCREASED BY APPROXIMATELY 1% AND THIS TREND IS EXPECTED TO CONTINUE.DEMOGRAPHIC MAKE UP OF HOSPITAL PATIENTS FOR 2014 INCLUDED 1,999 CHILDREN FROM PENNSYLVANIA, A MAJORITY OF THE CHILDREN WERE BETWEEN THE AGES OF 8-17 WITH MORE THAN 68% OF TOTAL ADMISSIONS UTILIZING MEDICAID AS THEIR PRIMARY INSURER. PART VI, LINE 5: KIDSPEACE MAKES STAFF AVAILABLE IN THE TIME OF CRISES THAT MAY AFFECT OUR LOCAL COMMUNITIES. THIS CRISIS RESPONSE TEAM IS BROUGHT INTO A SITUATION WHERE COUNSELING AND OTHER SERVICES MIGHT BENEFIT THOSE AFFECTED. NUMEROUS EVENTS OCCURRED THROUGHOUT THE YEAR THAT KIDSPEACE PROVIDED PROFESSIONAL CRISIS MANAGEMENT AS WELL AS COUNSELING TO THE INDIVIDUALS, SCHOOL DISTRICTS AND GROUPS INVOLVED.ON A WIDER SCALE KIDSPEACE OPERATES INTERACTIVE WEBSITES CALLED TEENCENTRAL.NET AND PARENTCENTRAL.NET. THESE VALUABLE TOOLS ALLOW TEENAGERS AND PARENTS TO HAVE A FORUM TO EXCHANGE LIFE STORIES, TROUBLES THEY MAY BE ENCOUNTERING AND USE A TOOL THAT LETS THEM SUBMIT QUESTIONS OR CONCERNS ANONYMOUSLY THAT ARE REVIEWED BY VOLUNTEERS. FEEDBACK IS THEN PROVIDED AS WELL AS OPTIONS ON HOW TO DEAL WITH THESE ISSUES ANDHOPEFULLY DELIVER GUIDANCE THAT WILL HELP THE USERS NAVIGATE THE COMPLEX WORLD IN WHICH THEY LIVE. IN 2013 APPROXIMATELY 400,000 USERS ACCESSED THE SITE. ON AVERAGE THESE WEB SITES HAVE 75 VOLUNTEERS AT ANY GIVEN TIME AND IN 2013 THESE VOLUNTEERS GAVE OVER 30,000 HOURS OF THEIR TIME TO MAKE TEENCENTRAL.NET AND PARENTCENTRAL.NET VALUABLE AND VITAL TOOLS FOR FAMILIES AROUND THE WORLD.THE CHIEF EXECUTIVE OFFICER OF KIDSPEACE SERVES AS A DIRECTOR ON THE BOARD OF THE LEHIGH VALLEY BASED NON-PROFIT KIDS OF CHARACTER. TIME USED TO SERVE ON THIS BOARD WOULD OTHERWISE BE ALLOCATED TO ACTIVITIES AT KIDSPEACE. NUMEROUS TRAININGS OFFERED AT KIDSPEACE ARE OPEN TO THE COMMUNITY AT LARGE AT LITTLEOR NO COST. ADDITIONALLY, KIDSPEACE GOES INTO THE COMMUNITY SEVERAL TIMES PER YEAR TO OFFER TRAINING TO SCHOOL DISTRICTS, OTHER PROVIDERS AS WELL AS SUPPORT IN DEVELOPMENT OF FOSTER PARENTS.KIDSPEACE CORPORATION, THE HOSPITAL'S PARENT ORGANIZATION, HAS A 16 MEMBER BOARD OF DIRECTORS OF WHICH 12 ARE INDEPENDENT, NON-EMPLOYEES OF THE CORPORATION. THESE 12 MEMBERS ARE COMPRISED OF LEADERS FROM THE LOCAL MARKETS IN WHICH KIDSPEACE OPERATES. BOARD MEMBERS ARE NOT COMPENSATED, FREELY GIVING OF THEIR TIME TO FURTHER THE MISSION OF KIDSPEACE.THE MEDICAL STAFF OF THE HOSPITAL IS ORGANIZED TO PROVIDE THE PUBLIC WITH THE BEST POSSIBLE CARE BASED ON INDIVIDUAL NEEDS. INCLUDED ON STAFF ARE PSYCHIATRISTS, PEDIATRICIANS AND DENTISTS. SHOULD MORE SPECIALIZED CARE BE NEEDED, KIDSPEACE WORKS WITH OTHER LOCAL MEDICAL PROVIDERS TO ENSURE THE HEALTH AND WELL BEING OF OUR CHILDREN IS MET.SURPLUS FUNDS EARNED BY KIDSPEACE ARE REINVESTED IN THE ORGANIZATION VIA FACILITY UPGRADES, IMPROVEMENT OF SAFETY AND CARE FOR PATIENTS, EXPANSION OF EXISTING SERVICES OR INTO NEW SERVICES AS WELL AS THE CONTINUAL INVESTMENT IN THE ASSOCIATES OF KIDSPEACE TO ENSURE A WELL TRAINED, CAPABLE STAFF THAT DELIVERS CONSISTENT, QUALITY CARE TO OUR PATIENTS.KIDSPEACE ALSO ACTIVELY ADVOCATES ON BEHALF OF THE CLIENT POPULATION WE SERVE TO ENSURE THAT LOCAL SENATORS AND CONGRESSIONAL REPRESENTATIVES ARE AWARE OF OUR MISSIONS AND THE POTENTIAL IMPACT EXISTING OR PROPOSED LEGISLATION MAY HAVE ON OUR BUSINESS AND IN TURN ON THE FAMILIES AND CHILDREN WHO SEEK CARE. PART VI, LINE 6: KIDSPEACE CHILDREN'S HOSPITAL IS A SUBSIDIARY COMPANY OF KIDSPEACE CORPORATION. OTHER SUBSIDIARIES INCLUDE KIDSPEACE NATIONAL CENTERS (KNC), KIDSPEACE OF NEW ENGLAND (KPNE), KIDSPEACE OF GEORGIA (KPGA), MESABI ACADEMY, IRON RANGE SCHOOL AND KIDSPEACE OF NORTH AMERICA (KPNA).KIDSPEACE CORPORATION IS THE PARENT COMPANY AND PROVIDES SUBSIDIARY COMPANIES WITH THE FOLLOWING SERVICES: HUMAN RESOURCES, FINANCE, PAYROLL, COLLECTIONS, CONTRACTING, ADMISSIONS, INFORMATION TECHNOLOGY, MARKETING, TRAINING, MAINTENANCE, FOOD SERVICES, ADMINISTRATION, MEDICAL RECORDSKNC SERVICES CLIENTS IN SEVERAL AREAS OF BEHAVIORAL HEALTH. THESE INCLUDE RESIDENTIAL SERVICES, PSYCHIATRIC AND MEDICAL SERVICES, ON SITE EDUCATIONAL SCHOOLING, FOSTER CARE, ACUTE PARTIAL HOSPITALIZATION AND A NEW PROGRAM CALLED KIDSHAVEN. THIS IS A FEDERALLY FUNDED PROGRAM PROVIDING CARE AND CLINICAL SERVICES FOR CHILDREN ENTERING THE U.S. LOOKING TO BE REUNITED WITH EXISTING FAMILY.KPNE IS BASED IN MAINE AND OFFERS RESIDENTIAL PROGRAMMING FOR CHILDREN WITH BEHAVIORAL HEALTH ISSUES AS WELL AS THOSE ON THE AUTISM SPECTRUM. THERE IS ALSO AN ON-SITE SCHOOL, DAY TREATMENT PROGRAM, FOSTER CARE PROGRAMS AND NUMEROUS OUTPATIENT SERVICES.KPGA ALSO OFFERS RESIDENTIAL SERVICES AS WELL AS PROVIDING EDUCATION ON-SITE. ALSO INCLUDED IN THE ARRAY OF SERVICES IS A MEDICAID FUNDED OUTPATIENT/REHABILITATION PROGRAM.MESABI AND IRON RANGE WORK IN TANDEM TO PROVIDE SERVICES TO YOUTH IN A CORRECTIONAL SETTING. MESABI IS THE RESIDENTIAL AND CLINICAL SITE PROVIDING THESE SERVICES TO THE CHILDREN IN CARE. THERE ARE A WIDE VARIETY OF DIAGNOSES INCLUDING IN THE CONTINUUM OF CARE AT MESABI. IRON RANGE SCHOOL IS AN ON-SITE SCHOOL OPERATED BY THE LOCAL SCHOOL DISTRICT TO ENSURE CHILDREN RECEIVE AND APPROPRIATE EDUCATION.KPNA OPERATES NUMEROUS STATES PROVIDING FOSTER CARE AND OUTPATIENT SERVICES TO CHILDREN WHO NEED THESE TYPES OF SERVICES. 0 0 0 0 0 0 0 0 0 SUSAN MULLEN DIRECTOR 47095 109889 0 0 0 0 0 0 0 9481 47095 119370 0 0 MICHAEL SLACK DIRECTOR & SECRETARY 16505 148542 0 0 0 8520 0 0 0 0 16505 157062 0 0 GEORGE SHOPLAND EXECUTIVE VICE PRESIDENT 126928 0 0 0 12500 0 0 0 11347 0 150775 0 0 0 WILLIAM ISEMANN PRESIDENT & CEO 44593 252693 0 0 0 496694 0 0 0 21129 44593 770516 0 0 GERARD GLEESON TREASURER 22797 129185 0 0 0 0 0 0 0 12319 22797 141504 0 0 PART I, LINE 3 KPC, THE PARENT ORGANIZATION, DETERMINES HOW COMPENSATION IS COMPUTED. THE METHODS USED ARE THE COMPENSATION COMMITTEE, FORM 990 OF OTHER ORGANIZATIONS, COMPENSATION SURVEY OR STUDY AND APPROVAL BY THE BOARD OR COMPENSATION COMMITTEE. FORM 990, PART III, LINE 4A KIDSPEACE RESIDENTIAL PROGRAMS: IN 2014, SOME 11,183 CHILDREN SUFFERING FROM ABUSE, NEGLECT AND EMOTIONAL TRAUMA FOUND COMFORT AND HEALING THROUGH A NETWORK OF KIDSPEACE PROGRAMS AND SERVICES. ACCREDITED BY THE JOINT COMMISSION ON ACCREDITATION OF HEALTHCARE ORGANIZATIONS, THE TOP ACCREDITING BODY IN AMERICA, THE CAMPUSES PROVIDE A WARM AND COMFORTABLE HOME AWAY FROM HOME, FOOD, CLOTHES, THERAPY, LIFE SKILLS, THERAPEUTIC RECREATION, AND EDUCATION TO RESTORE CHILDHOOD TO CHILDREN. STAFFED BY DOCTORS, NURSES, SOCIAL WORKERS, PSYCHOLOGISTS, NUTRITIONISTS, THERAPISTS, AND CARING COUNSELORS, THE PROGRAMS HELP CHILDREN HEAL WHILE BUILDING CONFIDENCE AND COMPETENCE TO MAKE HEALTHY CHOICES FOR BRIGHTER FUTURES. THESE CAMPUSES, SOME AS LARGE AS 200 ACRES, STRIVE TO GIVE THE BEST TO KIDS WHO HAVE BEEN THROUGH THE WORST, WITH WORLD-CLASS FACILITIES INCLUDING HOMES, ATHLETIC FIELDS, SWIMMING POOLS, AND STATE-OF-THE-ART LEARNING FACILITIES. THE KIDSPEACE RESIDENTIAL PROGRAMS HELP KIDS FROM ACROSS THE COUNTRY (AND EVEN FROM ACROSS THE GLOBE), AND IN 2014 WERE LOCATED IN FOUR STATES: PENNSYLVANIA, MAINE, MINNESOTA, AND GEORGIA. QUALITY OUTCOMES: KIDSPEACE PROGRAMS AND SERVICES ARE RESEARCH-BASED AND ANNUAL OUTCOMES STUDIES ARE CONDUCTED TO ENSURE OUR PROGRAMS ARE OF THE HIGHEST CALIBER. IN 2014, KIDSPEACE KIDS WERE ASKED TO RATE HOW WELL KIDSPEACE EMBODIES THE PRINCIPLES OF OUR MODEL OF CARE. CHILDREN RESPONDED POSITIVELY ABOUT THEIR: SENSE OF DIGNITY: 91% FEELING OF SAFETY: 84% SENSE OF BELONGING: 79% FEELINGS OF EMPOWERMENT: 88% DEVELOPMENT OF CHARACTER: 91% TRANSFORMATION AND GROWTH: 96% KIDSPEACE PSYCHIATRIC HOSPITAL: THIS NATIONAL RESOURCE, LOCATED IN PENNSYLVANIA, MINUTES BY AIR FROM NEW YORK, WASHINGTON, D.C. AND PHILADELPHIA, HELPED 2,077 KIDS IN 2014. THE HOSPITAL IS A PRIVATE, NOT-FOR-PROFIT FACILITY CARING FOR CHILDREN IN SERIOUS EMOTIONAL DISTRESS. IT SPECIALIZES IN CARING FOR CHILDREN, PRE ADOLESCENTS, ADOLESCENTS AND YOUNG ADULTS THROUGH CUSTOM-DESIGNED PROGRAMS TO MEET EACH PATIENT'S SPECIFIC NEEDS, FROM SEVERE TRAUMA AND DEPRESSION TO EMOTIONAL CHALLENGES PROMPTED BY AUTISM OR LOWER INTELLECTUAL FUNCTIONING. PATIENTS IN THE HOSPITAL BENEFIT FROM AN ON-SITE SCHOOL SYSTEM, WHICH ENSURES CHILDREN'S ACADEMIC PROGRESS WHILE THEY WORK TO OVERCOME CRISES. KIDSPEACE FOSTER CARE & ADOPTION PROGRAMS: MORE THAN 879 CHILDREN FOUND HELP IN 2014 THROUGH KIDSPEACE'S 26 FOSTER CARE AND ADOPTION CENTERS. OUR FOSTER-CARE PROGRAM IS SPECIFICALLY DESIGNED FOR CHILDREN WHO HAVE ENDURED OR FACE CRISES IN THEIR BIRTH HOMES. UNLIKE TRADITIONAL FOSTER CARE, OUR PROGRAMS RECRUIT, INTENSIVELY TRAIN AND SUPPORT FOSTER FAMILIES TO RESPOND TO THE SPECIAL NEEDS OF OUR CHILDREN. FOSTER FAMILIES RECEIVE 24-HOUR, SEVEN-DAY-A-WEEK ASSISTANCE FROM ON-CALL PROFESSIONALS AND KIDSPEACE FOSTER FAMILIES USUALLY CARE FOR NO MORE THAN TWO CHILDREN IN A HOME - FEWER THAN IS COMMON IN MOST FOSTER HOMES - TO BETTER FOCUS ON THE INDIVIDUAL NEEDS OF EACH CHILD. KIDSPEACE FOSTER CARE AND FAMILY SERVICES SITES PROVIDED ADOPTION SERVICES TO MANY CHILDREN IN 2014, HELPING FIND PERMANENT HOMES FOR MANY WONDERFUL CHILDREN WHO WERE LABELED "UNADOPTABLE" BY OTHER PROVIDERS. WE OWE OUR SUCCESS TO THE UNIQUE COMPONENTS OF OUR PROGRAM, INCLUDING REACHING OUT TO FAMILIES AND WRITING HIGH QUALITY FAMILY PROFILES (COMMONLY KNOWN AS HOME STUDIES), WHICH EXPAND THE POOL OF ADOPTIVE FAMILIES FOR KIDS IN THE FOSTER CARE SYSTEM AS A WHOLE. THROUGH THE CHILD SPECIFIC RECRUITMENT SERVICE, KIDSPEACE FINDS ADOPTIVE FAMILIES FOR THE MOST CHALLENGING KIDS, INCLUDING OLDER CHILDREN WITH SIGNIFICANT SPECIAL NEEDS. KIDSPEACE IS ALSO A LEADER IN THE NEW SERVICE OF CHILD PREPARATION, WHICH CONSISTS OF TEN SESSIONS DESIGNED TO EMOTIONALLY PREPARE CHILDREN TO BECOME A PERMANENT PART OF A NEW FAMILY. KIDSPEACE ALSO PROVIDES ADOPTIVE FAMILIES WITH ONGOING SUPPORT FOR MONTHS AFTER AN ADOPTION IS FINALIZED, THROUGH CASE ASSESSMENT, CASE MANAGEMENT, AND RESPITE CARE. EDUCATIONAL SERVICES: CHILDREN IN EMOTIONAL CRISIS, WHETHER CAUSED BY TRAUMA, PROBLEMS IN THE FAMILY, OR A PERSONAL ISSUE, FIND IT DIFFICULT TO CONCENTRATE ON LEARNING. KIDSPEACE OPERATES SEVEN LICENSED SCHOOLS IN FOUR STATES TO HELP KEEP YOUNGSTERS ON TRACK IN THE SINGLE MOST IMPORTANT SOCIAL AND DEVELOPMENTAL AREA IN THEIR LIVES. THE KIDSPEACE SCHOOL SYSTEM PROVIDES A COMPLETE EDUCATION FOR CHILDREN IN OUR RESIDENTIAL AND HOSPITAL PROGRAMS, FROM 1ST THROUGH 12TH GRADE. IT GUARANTEES ALL CREDITS THEY WOULD EARN IN A PUBLIC OR PRIVATE SCHOOL. OUR SCHOOL SYSTEM PROFESSIONALS WORK CLOSELY WITH RESIDENTIAL STAFF, PARENTS, REFERRAL SOURCES, AND THE CHILD TO ENSURE THE MOST EFFECTIVE EDUCATION AND TREATMENT POSSIBLE. OUR STUDENTS ARE VERY SUCCESSFUL AT KIDSPEACE SCHOOLS, GAINING A FULL YEAR OF ACADEMIC GROWTH DURING A STAY SHORTER THAN AN ACADEMIC YEAR. KIDSPEACE SETS THEM ON A COURSE TO ACHIEVE SCHOLASTICALLY AND PURSUE HIGHER LEVELS OF EDUCATION. THEY NOT ONLY CATCH UP, THEY EXCEL. DURING 2014, WE NOTED AN INCREASED NUMBER OF YOUTH CONTINUING THEIR EDUCATION. CHILDREN ENROLLED IN SCHOOL OR COMPLETED THEIR GEDS. COMMUNITY PROGRAMS: WHEREVER POSSIBLE, KIDSPEACE SEEKS TO KEEP CHILDREN CLOSE TO HOME AND THE PEOPLE WHO LOVE THEM. IN 2014, KIDSPEACE COMMUNITY-BASED PROGRAMS OFFERED A WIDE RANGE OF SERVICES TO 3,640 CHILDREN AND THEIR FAMILIES, INCLUDING OUTPATIENT, FAMILY-BASED, AND IN-HOME THERAPIES AS WELL AS PARTIAL-HOSPITALIZATION PROGRAMS TO REBUILD LIVES WEAKENED BY CRISES. THE GOAL IS TO KEEP CHILDREN AND FAMILIES HEALTHY AND SAFE IN THEIR HOMES, SCHOOLS AND COMMUNITIES. HOUSE CALLS: KIDSPEACE PROFESSIONALS BRING SERVICES TO CHILDREN AND FAMILIES IN THEIR OWN HOMES IN AN EFFORT TO HELP THEM LEARN, GROW AND STAY TOGETHER. SERVICES INCLUDE THERAPY, LIFE- AND PARENTING-SKILLS TRAINING, PROBLEM SOLVING, EDUCATION AND SELF-ESTEEM BUILDING. IN AND OUT OF SCHOOL: AT TIMES, KIDSPEACE CONSULTANTS ARE PROVIDED TO ASSIST PUBLIC SCHOOL STAFF. EACH DAY AFTER SCHOOL, KIDSPEACE VANS PICK UP CHILDREN AND BRING THEM TO OUR COMMUNITY PROGRAMS FOR THERAPY, ADULT SUPERVISION, THERAPEUTIC RECREATION, EDUCATIONAL SUPPORT AND EVEN A NUTRITIOUS MEAL. CHILDREN ARE THEN RETURNED SAFELY HOME. PARENTS ARE ENCOURAGED TO PARTICIPATE IN THE PROGRAMMING. COMMUNITY LINKS: KIDSPEACE PARTNERS WITH MANY COMMUNITY ORGANIZATIONS LIKE YOUTH AND FAMILY CENTERS AND GOVERNMENT AGENCIES TO PROVIDE PARENTING AND LIFE-SKILLS TRAINING AND FAMILY EDUCATION. WE ALSO HELP LINK FAMILIES TO COMMUNITY RESOURCES SUCH AS FOOD BANKS AND LIBRARIES. PREVENTION & PUBLIC EDUCATION: IN ADDITION TO THE DIRECT HELP KIDSPEACE PROVIDES TO THOUSANDS OF YOUNGSTERS EACH DAY, THE NONPROFIT HAS INVESTED CONSIDERABLE ENERGY INTO HELPING THE WORLD'S CHILDREN AVOID AND OVERCOME THE COMMON CRISES OF GROWING UP. WE OFFER A HELPING HAND TO KIDS IN ALL 50 STATES AND IN DOZENS OF COUNTRIES AROUND THE GLOBE, GIVING THEM HOPE AND POWERFUL TOOLS TO AVOID AND OVERCOME THE GREATEST DANGERS OF MODERN LIFE. THESE INCLUDE: -PREVENTION MEDIA REACH WITH INFORMATION AND CHILD CRISIS TIPS -TEENCENTRAL.NET, A UNIQUE PROBLEM-SOLVING WEBSITE -KIDSPEACE.ORG, A RESOURCE FOR PARENTS AND PROFESSIONALS -KIDSDAY.NET, ENCOURAGING MEANINGFUL TIME BETWEEN ADULTS AND KIDS -KIDSPEACE INSTITUTE, TRAINING PROFESSIONALS IN THE FIELD -PARENTCENTRAL.NET, A UNIQUE PROBLEM-SOLVING WEBSITE FOR PARENTS FORM 990, PART V, LINE 1C: KIDSPEACE CHILDREN'S HOSPITAL IS AN AFFILIATE IN A GROUP OF WHICH KIDSPEACE CORPORATION (KPC) IS CONSIDERED A COMMON PAY AGENT FOR VENDORS. KPC FILES ALL 1099S UNDER ITS EIN - 23-1353394. FORM 990, PART VI, SECTION A, LINE 6 KIDSPEACE CORPORATION (KPC) IS THE SOLE MEMBER OF KIDSPEACE CHILDREN'S HOSPITAL. FORM 990, PART VI, SECTION A, LINE 7A AS THE SOLE MEMBER, KPC HAS THE POWER TO SELECT THE BOARD OF DIRECTORS AND REMOVE ANY DIRECTORS AT ANY TIME. FORM 990, PART VI, SECTION A, LINE 7B ANY BY-LAW AMENDMENTS MUST BE APPROVED BY THE BOARD OF DIRECTORS OF THE SOLE MEMBER, KPC. FORM 990, PART VI, SECTION B, LINE 11 THE FORM 990 WAS REVIEWED IN DETAIL BY MANAGEMENT OF KIDSPEACE. THE BOARD OF DIRECTORS ELECTED TO DELEGATE THE REVIEW OF THE FORM 990 TO THE FINANCE COMMITTEE, WHICH CONTAINS MEMBERS OF THE BOARD OF DIRECTORS. COPIES OF THE FORM 990 ALONG WITH ALL OF THE SCHEDULES ARE SENT TO THE FINANCE COMMITTEE STAFF PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C MEMBERS OF THE BOARD OF DIRECTORS AND THE SENIOR LEADERSHIP TEAM ARE REQUIRED TO SIGN AN ANNUAL CONFLICT OF INTEREST STATEMENT. AFTER COMPLETION BY THE MEMBER, THE FORM IS SENT TO THE VICE PRESIDENT OF COMPLIANCE FOR REVIEW. DEPENDING ON THE FINDINGS OF THE VICE PRESIDENT, THE POTENTIAL CONFLICT MAY BE TAKEN TO THE COMPLIANCE COMMITTEE FOR REVIEW AND FINAL DECISION. FORM 990, PART VI, SECTION B, LINE 15 THE MANAGEMENT DEVELOPMENT AND COMPENSATION COMMITTEE OF THE KPC BOARD OF DIRECTORS (MDCC) CONSISTS OF INDEPENDENT DIRECTORS, AND HAS RESPONSIBILITY TO REVIEW AND GIVE APPROVAL OF THE COMPENSATION FOR THE CEO AND OTHER TOP MANAGEMENT POSITIONS. PERIODICALLY THE MDCC ENGAGES AN OUTSIDE COMPENSATION CONSULTANT TO CONDUCT AN INDEPENDENT ANALYSIS OF BASE COMPENSATION AND TOTAL CASH COMPENSATION FOR THE KEY MANAGEMENT POSITIONS. THIS ANALYSIS MAY INCLUDE A COMPETITIVE MARKET ASSESSMENT FOR EACH POSITION COMPARED TO ORGANIZATIONS OF SIMILAR SIZE IN HEALTHCARE AND OTHER NOT-FOR-PROFIT SECTORS TO ENSURE COMPENSATION DOES NOT EXCEED FAIR MARKET VALUE. NATIONALLY PUBLISHED SURVEYS AND FORM 990'S FROM OTHER NOT-FOR-PROFITS ORGANIZATIONS MAY BE INCLUDED IN THE STUDY. THE REVIEW AND APPROVAL OF COMPENSATION IS DOCUMENTED IN THE MINUTES OF THE COMPENSATION COMMITTEE MEETINGS. FORM 990, PART VI, SECTION C, LINE 19 THE FORM 990 IS AVAILABLE TO THE PUBLIC UPON REQUEST. OTHER ORGANIZATIONAL DOCUMENTS ARE AVAILABLE TO THE PUBLIC UPON WRITTEN REQUEST DEMONSTRATING A SUFFICIENT BUSINESS PURPOSE. FORM 990, PART XI, LINE 9: DEBT FORGIVEN BY AFFILIATE 22,758,229. FORM 990, PART XI, LINE 9: UPON THE EXIT FROM CHAPTER 11, KIDSPEACE'S DEBT OBLIGATIONS WERE SUBSTANTIALLY REDUCED DUE TO THE AGREEMENT ON LOWER BONDHOLDER DEBT; A SUBSTANTIAL REDUCTION IN DEFINED PENSION PLAN LIABILITIES; A REDUCTION IN TRADE VENDOR BALANCES; THE RESCHEDULING OF MORTGAGE OBLIGATIONS; AND WITH KIDSPEACE'S ACCESS TO SIGNIFICANT POST CHAPTER 11 FINANCING THROUGH A REVOLVING LINE OF CREDIT TO SUPPLEMENT INTERNALLY GENERATED WORKING CAPITAL. THE PURPOSE OF THE ENTRY INTO AND THE SUCCESSFUL EXIT FROM CHAPTER 11 WAS TO SUBSTANTIALLY INCREASE THE PROBABILITY OF KIDSPEACE BEING ABLE TO CONTINUE ITS PURPOSE AND IS DEPENDENT UPON FUTURE BUSINESS PERFORMANCE AND COMPLIANCE WITH AGREED-UPON COVENANTS BETWEEN KIDSPEACE, THE BONDHOLDERS AND FUNDING SOURCES. THE FOLLOWING TABLE PROVIDES A SUMMARY OF THE FINANCIAL IMPACT OF THE CHAPTER 11 EXIT ACROSS KIDSPEACE CORPORATION AND ITS AFFILIATES: NET GAIN ON EXTINGUISHMENT OF LIABILITIES ($95,775,249): 1998 AND 1999 PENNSYLVANIA BONDS PRINCIPAL - GAIN ($21,064,242) 1998 AND 1999 PENNSYLVANIA BONDS INTEREST - GAIN ($4,612,948) DEFINED BENEFIT PLAN OBLIGATION ASSUMED BY THE PBGC - GAIN ($68,751,252) EXCESS BENEFIT PENSION PLAN TERMINATION - GAIN ($723,566) REDUCTION IN LIABILITIES RELATED TO UNSECURED CREDITORS AND OTHER PRE-BANKRUPTCY BALANCES - NET GAIN ($623,241). FOR KIDSPEACE CHILDREN'S HOSPITAL, THE RESULT WAS AN INCREASE IN NET ASSETS OF $22,758,229. KIDSPEACE CORPORATION 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 231353394 PARENT COMPANY PA 501(C)(3) LINE 9 N/A 0 MESABI ACADEMY OF KIDS PEACE INC 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 411904179 ADOLESCENT JUVENILE FACILITY PA 501(C)(3) LINE 9 KIDSPEACE CORPORATION 0 KIDSPEACE NATIONAL CENTERS OF NEW ENGLAND 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 342021326 TREATMENT CENTER FOR CHILDREN FACING CRISIS PA 501(C)(3) LINE 9 KIDSPEACE CORPORATION 0 IRON RANGE SCHOOL INC 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 522360561 CONTRACT SCHOOL PA 501(C)(3) LINE 2 KIDSPEACE CORPORATION 0 KIDSPEACE SERVICES INC 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 760832623 OUTPATIENT AND FOSTER CARE FOR CHILDREN FACING CRISIS PA 501(C)(3) LINE 9 KIDSPEACE CORPORATION 0 KIDSPEACE NATIONAL CENTERS INC 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 232654908 TREATMENT CENTER FOR CHILDREN FACING CRISIS PA 501(C)(3) LINE 9 KIDSPEACE CORPORATION 0 KIDSPEACE NATIONAL CENTERS OF NORTH AMERICA 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 232744765 FOSTER CARE FOR CHILDREN FACING CRISIS PA 501(C)(3) LINE 9 KIDSPEACE CORPORATION 0 KIDSPEACE NATIONAL CENTERS OF GEORGIA 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 200017440 TREATMENT CENTER FOR CHILDREN FACING CRISIS PA 501(C)(3) LINE 9 KIDSPEACE CORPORATION 0 KIDSPEACE NATIONAL CENTERS OF NEW YORK 4085 INDEPENDENCE DRIVE SCHNECKSVILLE PA 18078 161571888 TREATMENT CENTER FOR CHILDREN FACING CRISIS PA 501(C)(3) LINE 9 KIDSPEACE CORPORATION 0 0 0 0 0 1 0 0 0 0 0 1 0 1 0 1 0 0 0 0