2014-08-15T10:44:31-05:00 2013-09-30 381357951 PLANTE & MORAN PLLC 750 TRADE CENTRE WAY STE 300 PORTAGE MI 49002 990 2012-10-01 382748035 MERCY MEMORIAL HEALTH SERVICES INC MERC 2699836501 3425 LAKESHORE DR ST JOSEPH MI 49085 TIMOTHY CALHOUN 2699836501 2014-08-14 1 CAROL LALONDE CPA P00181637 2695674500 2012 2015-11-30 17:44:51Z LAKELAND CONTINUING CARE CENTER LOREN HAMEL MD 1234 NAPIER AVENUE ST JOSEPH MI 49085 7272246 0 X LAKELANDHEALTH.ORG X 1987 MI TO PROVIDE HOMECARE AND LONG-TERM HEALTHCARE TO PATIENTS IN THE SOUTHWEST MICHIGAN AREA. 10 6 148 0 0 0 0 0 7410997 7271889 52 357 4717 0 7415766 7272246 0 0 0 0 4586165 4620394 0 0 0 2935414 2669280 7521579 7289674 -105813 -17428 7371787 14393564 2850576 9889781 4521211 4503783 TO BE SOUTHWESTERN MICHIGAN'S LEADER IN SAFE, HIGH QUALITY, PATIENT CENTERED, COMPASSIONATE, HEALTH-RELATED SERVICES. 0 0 6303219 7271889 NURSING HOME OPERATIONS WERE PROVIDED TO 148 PATIENTS. 6303219 1 0 0 0 0 0 0 0 0 0 1 0 0 1 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 13 0 1 148 1 0 0 0 0 0 0 0 0 0 0 X 10 6 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 0 0 0 MI X CHUCK PIECHOCKI 2694282416 1234 NAPIER AVE ST JOSEPH MI 49085 MICHAEL MORTIMORE 1.00 5.00 X X 0 0 0 KAY VARGA-SMITH 1.00 2.00 X X 0 0 0 LYNN KELLOGG 1.00 1.00 X X 0 0 0 DAVE VILLAGE 1.00 1.00 X X 0 0 0 LOREN HAMEL MD 3.00 52.00 X X 0 671199 50637 LAURENCE HABENICHT MD 1.00 41.00 X 0 318557 22947 DANIEL HOPP 1.00 17.00 X 0 0 0 EWANAH JOHNSON MD 1.00 41.00 X 0 241898 34504 MARY JO PARKER 1.00 1.00 X 0 0 0 KEITH VANOOSTERHOUT MD 1.00 41.00 X 0 206885 22432 SHIRLEE BENFORD 1.00 1.00 X 0 0 0 TIMOTHY CALHOUN 3.00 47.00 X 0 367662 36008 EILEEN WILLITS 4.00 46.00 X 0 277143 30444 0 2083344 196972 0 0 1 0 REHABCARE GROUP PO BOX 503534 ST LOUIS MO 631503534 THERAPY SERVICES 516937 TRANE COMPANY 3600 PAMMEL CREEK RD LA CROSSE WI 546017599 HVAC 337600 RICHARD POSTEMA ASSOCIATES 1580 44TH ST SW WYOMING MI 49509 ARCHITECTURE 277222 3 PATIENT SERVICE REVENU 621400 7270497 7270497 OTHER OPERATING REVENU 621400 1392 1392 7271889 357 357 7272246 7271889 0 357 3578177 3041450 536727 819537 696606 122931 222680 189278 33402 4952 4952 555216 471934 83282 10408 8847 1561 94182 80055 14127 2843 2417 426 63171 53695 9476 199376 169470 29906 10318 8770 1548 SUPPLIES AND DRUGS 774967 658722 116245 QAAP ASSESSMENTS 733997 733997 REPAIRS & MAINTENANCE 34668 29468 5200 EQUIPMENT RENTAL 17101 14536 2565 168081 143974 24107 7289674 6303219 986455 0 679189 84726 454921 484463 8651 6329 13478525 2925348 3467307 10553177 2761719 3264869 7371787 14393564 398725 1200009 2287635 8594122 164216 95650 2850576 9889781 X 4521211 4503783 4521211 4503783 7371787 14393564 -17428 0 X X 0 1 X 1 0 X 2924 42 60 3026 7999044 8187759 8028555 7410997 7271889 38898244 8001968 8187801 8028615 7410997 7271889 38901270 0 0 0 38901270 1701 855 787 4769 357 8469 1701 855 787 4769 357 8469 8003669 8188656 8029402 7415766 7272246 38909739 0.99980 0.99970 0.00020 0.00030 X 162800 162800 4059533 2621033 1438500 491487 304315 187172 8764705 8764705 10553177 BOND ISSUE COSTS 149658 DUE FROM RELATED PARTIES 3115211 3264869 COST REPORT SETTLEMENT PAYABLE 95650 95650 X 7264878 -7368 -7368 7272246 0 7272246 7282306 0 7282306 7368 7368 7289674 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: LAKELAND REGIONAL HEALTH SYSTEM, INC. AND ITS WHOLLY OWNED SUBSIDIARIES ARE NOT-FOR-PROFIT CORPORATIONS AS DESCRIBED IN SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AND ARE EXEMPT FROM FEDERAL AND STATE INCOME TAXES EXCEPT FOR LAKELAND HEALTH ENTERPRISES, INC. AND SUBSIDIARIES, WHICH ARE SUBJECT TO FEDERAL AND STATE INCOME TAXES. INCOME TAX EXPENSE FOR THE FOR-PROFIT CORPORATIONS IS NOT SIGNIFICANT AND HAS BEEN INCLUDED IN OPERATING EXPENSES. ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA REQUIRE MANAGEMENT TO EVALUATE TAX POSITIONS TAKEN BY LAKELAND AND RECOGNIZE A TAX LIABILITY IF LAKELAND HAS TAKEN AN UNCERTAIN POSITION THAT MORE LIKELY THAN NOT WOULD NOT BE SUSTAINED UPON EXAMINATION BY THE IRS OR OTHER APPLICABLE TAXING AUTHORITIES. MANAGEMENT HAS ANALYZED THE TAX POSITIONS TAKEN BY LAKELAND AND HAS CONCLUDED THAT AS OF SEPTEMBER 30, 2013, THERE ARE NO UNCERTAIN POSITIONS TAKEN OR EXPECTED TO BE TAKEN THAT WOULD REQUIRE RECOGNITION OF A LIABILITY OR DISCLOSURE IN THE CONSOLIDATED FINANCIAL STATEMENTS. LAKELAND IS SUBJECT TO ROUTINE AUDITS BY TAXING JURISDICTIONS. MANAGEMENT BELIEVES IT IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS FOR YEARS PRIOR TO 2010. PART XI, LINE 2D - OTHER ADJUSTMENTS: PROVISION FOR BAD DEBTS -7,368. PART XII, LINE 4B - OTHER ADJUSTMENTS: PROVISION FOR BAD DEBTS 7,368. 0 1 0 0 0 0 0 0 0 LOREN HAMEL MD 0 511565 0 105000 0 54634 0 46402 0 4235 0 721836 0 0 LAURENCE HABENICHT MD 0 318557 0 0 0 0 0 12650 0 10297 0 341504 0 0 EWANAH JOHNSON MD 0 241898 0 0 0 0 0 6795 0 27709 0 276402 0 0 KEITH VANOOSTERHOUT MD 0 206885 0 0 0 0 0 6207 0 16225 0 229317 0 0 TIMOTHY CALHOUN 0 288408 0 70103 0 9151 0 32170 0 3838 0 403670 0 0 EILEEN WILLITS 0 222836 0 39385 0 14922 0 27525 0 2919 0 307587 0 0 PART I, LINE 4B LAKELAND MAINTAINS A 457F NONQUALIFIED DEFERRED COMPENSATION PLAN FOR A SELECT GROUP OF MANAGEMENT AND HIGHLY COMPENSATED EMPLOYEES. THE INDIVIDUALS LISTED IN PART VII WHO PARTICIPATED IN THE PLAN ARE: LOREN HAMEL, MD; TIMOTHY CALHOUN; DENNIS MACK; EILEEN WILLITS A HOSPITAL AUTHORITY OF THE CITY OF ST JOSEPH 383151499 NONEAVIAL 2012-09-06 8500000 NEW FACILITY CONSTRUCTION 0 0 0 A 8500000 105875 8394125 0 0 1 1 A 0 0 0 0 0.00000 0.00000 0.00000 0 0 0 A 1 0 0 0 0 0 A 0 BOND ISSUE A: THE $8.5 MILLION BOND ISSUE WAS A DIRECT PURCHASE BOND BY JPMORGAN CHASE. BOND PROCEEDS WERE DRAWN DURING CONSTRUCTION PERIOD TO BUILD A NEW FACILITY. FORM 990, PART VI, SECTION B, LINE 11 A COPY OF THE 990 HAS BEEN POSTED ON THE BOARD PORTAL FOR REVIEW PRIOR TO FILING. THE BOARD PORTAL IS AVAILABLE TO ALL BOARD MEMBERS. FORM 990, PART VI, SECTION B, LINE 12C THE CORPORATE COMPLIANCE DEPARTMENT, IN ACCORDANCE WITH THE CONFLICT OF INTEREST POLICY, ANNUALLY DISTRIBUTES THE CONFLICT OF INTEREST DISCLOSURE SURVEY TO ALL CORPORATE AND SUBSIDIARY ORGANIZATION BOARD MEMBERS, EXECUTIVES AND OTHER LEADERSHIP EMPLOYEES. THE CORPORATE COMPLIANCE DEPARTMENT, THROUGH THE GOVERNANCE COMMITTEE, COMPILES AND ANALYZES SURVEY DATA BY ORGANIZATION, INVESTIGATES, AND REVIEWS POTENTIAL CONFLICTS WITH THE ORGANIZATION'S CEO AND BOARD CHAIR, AND WHEN NECESSARY, RECOMMENDS ACTIONS TO BE TAKEN TO RESOLVE IDENTIFIED CONFLICTS. A COMPLETE REPORT OF ALL CORPORATE AND SUBSIDIARY BOARD MEMBER AND EXECUTIVE DISCLOSURES, CONFLICTS IDENTIFIED AND ACTIONS TAKEN IS REVIEWED BY THE GOVERNANCE COMMITTEE AND EACH SUBSIDIARY CEO AND BOARD CHAIR RECEIVES A REPORT SPECIFIC TO THEIR ORGANIZATION'S BOARD MEMBERS AND EXECUTIVES. BOARD MEMBERS FAILING TO COMPLETE A DISCLOSURE SURVEY OR INTENTIONALLY FAILING TO REPORT A KNOWN CONFLICT OF INTEREST ARE ASKED TO RESIGN. THE CEO AND SENIOR MANAGEMENT ARE PAID BY A RELATED ORGANIZATION. THE RELATED ORGANIZATION USES THE FOLLOWING PROCESS TO DETERMINE COMPENSATION. AN INDEPENDENT FIRM IS HIRED BY THE BOARD TO DETERMINE COMPENSATION PACKAGES FOR THE CEO AND SENIOR MANAGEMENT ON AN ANNUAL BASIS. THE FIRM PRESENTS COMPARATIVE PAY RANGES AND COMPENSATION RECOMMENDATIONS TO THE GOVERNANCE (COMPENSATION) COMMITTEE FOR THEIR APPROVAL. FOR SENIOR MANAGEMENT, THE CEO CAN PROVIDE INPUT AND RECOMMENDATIONS TO THE GOVERNANCE COMMITTEE. FOR THE CEO'S COMPENSATION, THE GOVERNANCE COMMITTEE PRESENTS THE COMPENSATION PACKAGE TO THE FULL BOARD FOR APPROVAL. WRITTEN CONTRACTS FOR THE CEO ARE APPROVED BY THE FULL BOARD OF DIRECTORS. THE MOST RECENT YEAR THIS PROCESS WAS UNDERTAKEN WAS FISCAL YEAR 2013. FORM 990, PART VI, SECTION C, LINE 19 THE GOVERNING DOCUMENTS AND THE CONFLICT OF INTEREST POLICY ARE AVAILABLE UPON REQUEST. FORM 990, PART XII, LINE 2C: THERE HAS BEEN NO CHANGE IN THE AUDIT OVERSIGHT PROCESS FROM THE PRIOR YEAR. LAKELAND REGIONAL HEALTH SYSTEM INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 382609624 PROVIDE A COMPREHENSIVE SYSTEM OF HEALTH CARE TO CITIZENS OF THE COMMUNITY MI 501(C)(3) LINE 11B, II N/A 0 LAKELAND HOSPITALS AT NILES AND ST JOSEPH INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 382156872 PROVIDE A COMPREHENSIVE SYSTEM OF HEALTH CARE TO CITIZENS OF THE COMMUNITY MI 501(C)(3) LINE 3 LAKELAND REGIONAL HEALTH SYSTEM INC 1 LAKELAND SPECIALITY HOSPITAL AT BERRIEN CENTER 1234 NAPIER AVENUE ST JOSEPH MI 49085 383452303 LONGTERM HEALTHCARE/HEALING SERVICES MI 501(C)(3) LINE 3 LAKELAND REGIONAL HEALTH SYSTEM INC 1 LAKELAND HEALTH FOUNDATION BENTON HARBORST JOSEPH 1234 NAPIER AVENUE ST JOSEPH MI 49085 382539929 PROMOTE AND ASSIST IN PROVIDING HEALTH CARE MI 501(C)(3) LINE 7 LAKELAND REGIONAL HEALTH SYSTEM INC 1 LAKELAND HEALTH FOUNDATION NILES 1234 NAPIER AVENUE ST JOSEPH MI 49085 383130558 PROMOTE/ASSIST IN PROVIDING HEALTH CARE SERVICES IN SOUTHWESTERN MICHIGAN MI 501(C)(3) LINE 7 LAKELAND REGIONAL HEALTH SYSTEM INC 1 LAKELAND COMMUNITY HOSPITAL - WATERVLIET 400 MEDICAL PARK DRIVE WATERVLIET MI 49098 381368745 TO PROVIDE GENERAL HEALTH OF THE COMMUNITY THROUGH EDUCATION AND HEALTHCARE MI 501(C)(3) LINE 9 LAKELAND REGIONAL HEALTH SYSTEM INC 1 HOSPICE AT HOME INC 4025 HEALTH PARK LANE ST JOSEPH MI 49085 382416086 TO PROVIDE HOSPICE AND PALLIATIVE CARE TO THE TERMINALLY ILL MI 501(C)(3) LINE 7 LAKELAND REGIONAL HEALTH SYSTEM INC 1 VAN'S MEDICAL EQUIPMENT OF LAKELAND LLC 1234 NAPIER AVENUE ST JOSEPH MI 49085 261497708 MEDICAL EQUIPMENT MI N/A CLIFFSIDE COMPANY LLC 910 S WASHINGTON AVENUE ROYAL OAK MI 48067 383306320 ASSISTED LIVING MI N/A LAKELINE ASSOCIATES LLC 910 S WASHINGTON AVENUE ROYAL OAK MI 48067 383306318 PROPERTY MANAGEMENT/RENTAL MI N/A LIBERTY DIALYSIS LAKELAND LLC 7650 SE 27TH STREET SUITE 200 MERCER ISLAND WA 98040 272099855 MEDICAL SERVICES WA N/A LDBH LLC 7650 SE 27TH STREET SUITE 200 MERCER ISLAND WA 98040 451745643 MEDICAL SERVICES WA N/A LAKELAND HEALTH ENTERPRISES INC 31 NORTH ST JOSEPH AVENUE NILES MI 49120 382669798 ACCOUNTING AND BILLING MI LAKELAND REGIONAL HEALTH SYSTEM INC C 1 PHARMACY SHOPPE INC DBA LAKELAND PHARMACY SHOPPE INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 382929090 PHARMACEUTICALS MI LAKELAND HEALTH ENTERPRISES INC C 1 LAKELAND MEDICAL PRACTICES 1234 NAPIER AVENUE ST JOSEPH MI 49085 270381199 MEDICAL ADMINISTRATIVE SERVICES MI LAKELAND HEALTH ENTERPRISES INC C 1 SOUTHWESTERN MEDICAL CLINIC PHYSICIANS INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 272589359 PHYSICIAN OFFICE MI LAKELAND HEALTH ENTERPRISES INC C 1 FOUR FLAGS PROPERTIES INC 122 GRANT STREET NILES MI 49120 364501639 PROPERTY MANAGEMENT/RENTAL MI LAKELAND HEALTH ENTERPRISES INC C 1 LAKELAND HEALTH VENTURES INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 272313790 HOLDING COMPANY MI LAKELAND HEALTH ENTERPRISES INC C 1 LAKELAND PHYSICIAN CARE NETWORK 1234 NAPIER AVENUE ST JOSEPH MI 49085 208513031 MEDICAL SERVICES MI LAKELAND HEALTH ENTERPRISES INC C 1 LAKELAND PERSONAL CARE SERVICES INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 272990797 HEALTH CARE SERVICES MI LAKELAND HEALTH ENTERPRISES INC C 1 LAKELAND CARE INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 383225306 CONTRACT NEGOTIATION MI N/A C 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 LAKELAND HOSPITALS AT NILES AND ST JOSEPH INC O 755973 ALLOCATION OF EXPENSE