2014-05-15T14:11:19-05:00 2013-06-30 ERNST & YOUNG US LLP TWO NORTH CENTRAL AVENUE STE 2300 PHOENIX AZ 85004 990 2012-07-01 742410946 NORTHERN ARIZONA HEALTHCARE CORPORATION % JOHN A CORTESE NORT 9287793366 POST OFFICE BOX 1268 Suite FLAGSTAFF AZ 860021268 WILLIAM BRADEL 2014-05-15 BRENDA D GRIESEMER 6023223000 2012 2015-11-30 17:44:51Z WILLIAM T BRADEL 1200 N BEAVER ST FLAGSTAFF AZ 86001 65014234 false X www.nahealth.com X 1985 AZ TO PROVIDE PATIENTS WITH EXCEPTIONAL CARE WHILE TRANSFORMING THE HEALTH OF THE COMMUNITIES WE SERVE. 13 9 3701 17 0 0 372786 566892 55492221 63710599 814 -601063 117812 80572 55983633 63757000 0 25000 0 0 17130819 23675108 0 0 0 39603936 41305892 56734755 65006000 -751122 -1249000 41071104 44122493 11658633 10457774 29412471 33664719 X TO PROVIDE PATIENTS WITH EXCEPTIONAL CARE WHILE TRANSFORMING THE HEALTH OF THE COMMUNITIES WE SERVE. false false 12299089 25000 63791171 SEE SCHEDULE O. 12299089 true true false false false false false false false true true false false false true true false true false false false false false false false false false true false true false false false false false false true false false false false false false true true true false false true 0 0 3701 true false false false false false false false false false false X 13 9 false false false false false false false true true false false true true true true true true true true false AZ X JOHN A CORTESE 9282143545 914 N SAN FRANCISCO SUITE M FLAGSTAFF AZ 86001 WILLIAM AUSTIN MD 0.5 0.5 X 61400 0 0 CHRISTOPHER BAVASI 1.0 0.3 X X 0 0 0 GARY CHRISTENSEN MD 0.7 0.8 X X 0 0 0 RICHARD CRANMER 1.5 6.0 X 0 0 0 JAMES DORMAN 3.7 2.0 X 0 0 0 BARBARA DEMBER 8.0 32.0 X 242836 0 26642 WAYNE FOX 0.9 0.9 X X 0 0 0 WILLIAM JEFFERS 0.5 1.1 X X 0 0 0 JAMES LEDBETTER 0.5 5.0 X 1031 3510 0 BERT McKINNON MD 0.7 0.4 X 0 0 0 ROBERT MONTOYA 1.6 0.5 X 0 0 0 MOLLY MUNGER 1.2 0.2 X 0 0 0 SHAWN ORME 1.6 5.0 X 824 0 0 MATIAS SANDOVAL 1.6 4.0 X 102 0 0 RAY SELNA 0.3 3.0 X 690 0 0 TOM TAYLOR 0.6 3.0 X 615 0 0 WILLIAM T BRADEL 10.0 40.0 X X 623470 0 35673 JAMES BLEICHER MD 10.0 30.0 X X 596916 0 28240 GREGORY KUZMA 20.0 20.0 X 385765 0 11333 JOHN J DEMPSEY 20.0 40.0 X 420812 0 58635 PATRICIA J CROFFORD 40.0 0.0 X 310267 0 16443 MARILYNN BLACK 40.0 0.0 X 262524 0 23494 STEVEN R SPRAVZOFF 40.0 0.0 X 246004 0 42127 DALE PUGH 40.0 0.0 X 143029 0 10600 JEFFREY J HAMBLEN 40.0 0.0 X 311950 0 38331 KATHLEEN WHITE 40.0 0.0 X 189747 0 2821 RICHARD HENN 40.0 0.0 X 178637 0 76912 LORETTA F WELLBORN 40.0 0.0 X 176213 0 53544 VICKIE L LEWIS 40.0 0.0 X 171204 0 24160 4324036 3510 448955 49 false true false PRICEWATERHOUSE COOPERS LLP PO BOX 514038 LOS ANGELES CA 90051 I.T. CONSULTING 1675105 INSIGHT DIRECT USA PO BOX 731069 DALLAS TX 753731069 I.T. SERVICES 1016364 FORT VALLEY PLAZA DORWAYWEST VILLAGE PROPERTIES FLAGSTAFF AZ 86001 DOCUMENT STORAGE 599338 SQUIRE SANDERS DEMPSEY LLP PO BOX 643051 CINCINNATI OH 452643051 LEGAL SERVICES 564569 CONIFER HEALTH SOLUTIONS LLC 1500 S DOUGLASS RD ANAHEIM CA 92806 HEALTHCARE FIN SVCS 446908 11 341822 225070 566892 HOME HEALTH/HOSPICE PATIENT SERVICES 621111 4410005 4410005 INTERCOMPANY RENT 531120 28127 28127 CORP EXP REIMBURSEMENT ALLOCATION 900099 58348116 58348116 HEALTH SEMINARS 611430 433016 433016 MANAGEMENT FEE - LITTLE CO. MED. CTR. 561000 491335 491335 63710599 3237 3237 0 0 0 0 0 652934 1257234 -604300 -604300 -604300 0 0 0 CREDIT CARD REBATES 900099 49342 49342 ALL OTHER REVENUE 900099 31230 31230 80572 63757000 63791171 0 -601063 25000 25000 0 0 0 2373343 1546049 827294 52841 52841 17274625 5892854 11381771 1412928 188811 1224117 1248588 380686 867902 1312783 178542 1134241 6335195 6335195 894824 10908 883916 98141 98141 0 0 0 6146981 915311 5231670 20669 1916 18753 2911853 1669036 1242817 14393293 534855 13858438 0 1780750 424865 1355885 615602 270831 344771 0 0 0 0 7587485 197638 7389847 149575 8946 140629 REAL ESTATE TAXES 166806 166806 ALL OTHER EXPENSES 204718 204718 65006000 12299089 52706911 0 0 0 5164954 8298259 0 0 593934 412575 0 0 0 0 626788 81944 25215 25195 1738127 2882560 68629108 36242663 32886571 32386445 0 0 0 0 0 0 0 0 35515 35515 41071104 44122493 5166214 4693316 0 0 0 0 0 0 0 0 0 0 0 0 0 0 6492419 5764458 11658633 10457774 X 29412471 33664719 0 0 0 0 29412471 33664719 41071104 44122493 X -1249000 5501248 X false true X true false X 33024 16308 22353 372786 566892 1011363 6655112 7172249 6438135 5861961 5362483 31489940 0 0 0 6688136 7188557 6460488 6234747 5929375 32501303 0 1079129 1086588 787860 553547 431203 3938327 1079129 1086588 787860 553547 431203 3938327 28562976 56100 192130 143396 1720 3237 396583 0 56100 192130 143396 1720 3237 396583 0 154755 174826 1276519 117812 80572 1804484 6898991 7555513 7880403 6354279 6013184 34702370 0.82308 0.83431 0.01143 0.01263 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 2629909 108254 2738163 2629909 2629909 3131267 501358 2629909 3128667 1855 2472 1727 3131267 3090184 19011 23119 3647 3128667 1.00000 false false 5867714 5867714 2436145 589162 1846983 603246 246946 356300 55145629 35406555 19739074 4576374 4576374 32386445 0 MINIMUM PENSION LIABILITY 5426521 CENTRAL BUSINESS OFFICE RESERVE 318750 PROFESSIONAL AND GENERAL LIABILITY 19187 5764458 X USE OF THE ORGANIZATION'S BOARD DESIGNATED FUNDS SCHEDULE D, PART V THESE CONTRIBUTIONS ARE DESIGNATED FOR THE USE OF BUILDING A HOSPICE HOUSE IN COTTONWOOD, ARIZONA. FIN 48 (ASC 740) FOOTNOTE SCHEDULE D, PART X, LINE 2 IN ACCORDANCE WITH ACCOUNTING GUIDANCE, MANAGEMENT HAS REVIEWED ALL OPEN TAX YEARS AND HAS DETERMINED THAT THE CORPORATION HAS NO SIGNIFICANT UNCERTAIN TAX POSITIONS. true NORTHERN ARIZONA UNIVERSITY FOUNDATION PO BOX 4094 FLAGSTAFF AZ 86011 860193726 501(C)(3) 25000 SCHOLARSHIP 1 Form 990, Schedule I Description of Organization's Procedures for Monitoring the Use of Grants NORTHERN ARIZONA HEALTHCARE CORPORATION RELIES ON THE GOVERNANCE PRACTICES OF THE RECIPIENT ORGANIZATION TO USE THE FUNDS FOR THE INTENDED PURPOSE. X X false true X X X X false false false false false false false false false BARBARA DEMBER 196207 0 32810 0 13819 0 7535 0 19107 0 269478 0 0 0 GREGORY KUZMA 318921 0 66049 0 795 0 -5445 0 16778 0 397098 0 0 0 WILLIAM T BRADEL 476580 0 88748 0 58142 0 9800 0 25873 0 659143 0 0 0 JAMES BLEICHER MD 367379 0 191661 0 37876 0 9800 0 18440 0 625156 0 0 0 JOHN J DEMPSEY 309514 0 65220 0 46078 0 31335 0 27300 0 479447 0 0 0 PATRICIA J CROFFORD 192580 0 34922 0 82765 0 9438 0 7005 0 326710 0 0 0 MARILYNN BLACK 228755 0 32083 0 1686 0 5409 0 18085 0 286018 0 0 0 STEVEN R SPRAVZOFF 192097 0 46914 0 6993 0 34173 0 7954 0 288131 0 0 0 DALE PUGH 100990 0 0 0 42039 0 5960 0 4640 0 153629 0 0 0 JEFFREY J HAMBLEN 246551 0 0 0 65399 0 9800 0 28531 0 350281 0 0 0 KATHLEEN WHITE 137461 0 44442 0 7844 0 0 0 2821 0 192568 0 0 0 RICHARD HENN 150302 0 13042 0 15293 0 62686 0 14226 0 255549 0 0 0 LORETTA F WELLBORN 154892 0 14435 0 6886 0 41031 0 12513 0 229757 0 0 0 VICKIE L LEWIS 153148 0 13835 0 4221 0 6698 0 17462 0 195364 0 0 0 SCHEDULE J, PART I LINE 1A AND LINE 1B: ALL COMPENSATION, BENEFITS AND REIMBURSEMENTS ARE PAID BY NORTHERN ARIZONA HEALTHCARE CORPORATION, THE PARENT ORGANIZATION. BOARD MEMBER AND OFFICERS BUSINESS TRAVEL EXPENSES ARE GENERALLY PAID AND REPORTED ON A W-2 OR 1099. FOR CALENDAR YEAR 2012, AMOUNTS PAID FOR COMPANION TRAVEL WERE INTENDED TO BE TREATED AS TAXABLE COMPENSATION. HOWEVER, 1099S WERE INADVERTENTLY NOT ISSUED IN EVERY CASE. NOT TREATED AS TAXABLE COMPENSATION. MANAGEMENT IS AWARE OF THE OMISSION AND AT THE TIME OF THIS FILING IS WORKING TO ISSUE 1099'S TO THE APPROPRIATE LISTED PERSONS. GROSS-UP OF TAXES IS DONE ON ALL EMPLOYEE GIFT CERTIFICATES. CURRENTLY, THERE IS NO WRITTEN POLICY FOR THESE ITEMS BUT THE ORGANIZATION RECOGNIZES THE NEED TO HAVE ONE. IN PRACTICE, BOARD MEMBER AND OFFICER BUSINESS TRAVEL EXPENSES ARE APPROVED BY THE NEXT HIGHEST LEVEL. AMOUNTS PAID FOR "COMPANION TRAVEL" WERE FOR SPOUSES OF THE FOLLOWING DIRECTORS: JAMES LEDBETTER: $1,031 SHAWN ORME: $824 RAY SELNA: $690 MATIAS SANDOVAL: $102 TOM TAYLOR: $615 SCHEDULE J, PART II THE FOLLOWING INDIVIDUALS PARTICIPATE IN A DEFINED BENEFIT RETIREMENT PLAN. AS SUCH, ACTUARIAL INCREASES IN THEIR ACCOUNTS ARE REPORTED ON PART II, COLUMN (C) AS DEFERRED COMPENSATION. INCREASE DUE DECREASE DUE TO BENEFIT TO INCREASE IN ACCRUAL DISCOUNT RATE TOTAL JOHN J. DEMPSEY 71,257 (39,922) 31,335 GREGORY KUZMA 59,590 (65,035) ( 5,445) STEVEN R. SPRAVZOFF 103,583 (69,410) 34,173 LORETTA WELLBORN 78,337 (37,306) 41,031 RICHARD HENN 77,524 (26,545) 50,979 ESTHER SPRAVZOFF SPRAVZOFF/SPOUSE 52841 COMPENSATION false FORM 990, PART III, LINE 4 DESCRIPTION OF PROGRAM SERVICE ACCOMPLISHMENTS NORTHERN ARIZONA HEALTHCARE (NAH) IS THE PARENT CORPORATION OF FLAGSTAFF MEDICAL CENTER AND VERDE VALLEY MEDICAL CENTER. NAH IS DEDICATED TO IMPROVING THE HEALTH OF THE PEOPLE AND COMMUNITIES WE SERVE IN NORTHERN AND CENTRAL ARIZONA. NAH IS THE LARGEST HEALTHCARE ORGANIZATION IN NORTHERN ARIZONA SERVING ALMOST ONE HALF OF THE STATE. THE HEALTHCARE PROVIDER EMPLOYS MORE THAN 3,700 HEALTHCARE PROFESSIONALS AND, THROUGH ITS AFFILIATES, SERVICES A POPULATION OF MORE THAN 300,000 PEOPLE IN THE SERVICE AREA. NAH IS DEDICATED TO PROVIDING THE HIGHEST QUALITY, MOST COST EFFECTIVE HEALTH CARE DELIVERY SYSTEM TO THE VISITORS AND RESIDENTS OF NORTHERN AND CENTRAL ARIZONA. NAH ENCOURAGES PATIENTS TO BE PART OF THEIR OWN TREATMENT THROUGH EDUCATION AND WELLNESS PROGRAMS. PHYSICIANS, EMPLOYEES AND VOLUNTEERS ALL WORK FOR A COMMON GOAL, AND THE COMMUNITY BENEFITS FROM ORGANIZATIONAL OUTREACH THAT CONTRIBUTES TO RICHER AND HEALTHIER LIVING. NORTHERN ARIZONA HEALTHCARE'S VISION AND VALUES ----------------------------------------------- VISION - NAH, IN PARTNERSHIP WITH OUR COLLEAGUES AND PHYSICIANS, WILL BE THE HIGHEST QUALITY, COST-EFFECTIVE, PREFERRED HEALTHCARE DELIVERY SYSTEM IN NORTHERN AND CENTRAL ARIZONA. WE WILL EXCEED THE EXPECTATIONS OF THOSE WE SERVE BY: - DEVELOPING QUALITY HEALTHCARE SERVICES USING ADVANCED TECHNOLOGY TO IMPROVE THE HEALTH STATUS AND TO MEET THE GROWING NEEDS OF THE COMMUNITIES WE SERVE. - FOSTERING AN ORGANIZATIONAL CULTURE THAT ACTS AS A MAGNET FOR RECRUITING AND RETAINING HIGHLY QUALIFIED COLLEAGUES AND PHYSICIANS. - ENSURING EXCEPTIONAL VALUE FOR OUR PATIENTS AND FINANCIAL STRENGTH FOR OUR INSTITUTIONS. - DEVELOPING STRATEGIC ALLIANCES AND PARTNERSHIPS WITH PROVIDERS AND ORGANIZATIONS TO ENSURE COMPREHENSIVE SERVICES FOR OUR PATIENTS. - VALUES - WE ARE COMMITTED TO MEETING THE NEEDS AND EXCEEDING THE EXPECTATIONS OF OUR PATIENTS. WE WILL CREATE AN ORGANIZATIONAL CULTURE WHERE COLLEAGUES FEEL VALUED AND TAKE A SENSE OF PRIDE IN THEIR WORK. - QUALITY - WE CONTINUOUSLY STRIVE TO ACHIEVE EXCELLENCE AT ALL LEVELS IN THE ORGANIZATION. - SAFETY - WE ARE COMMITTED TO MAINTAINING A SAFE ENVIRONMENT FOR OUR PATIENTS, VISITORS AND COLLEAGUES. - LEADERSHIP - WE PROMOTE LEADERSHIP AS AN ATTITUDE, NOT A POSITION, PUTTING VALUE ON BOTH PEOPLE AND THE WORK THEY DO. - TEAMWORK - WE ARE COLLEAGUES WORKING TOGETHER, SHARING KNOWLEDGE, TALENTS, AND SKILLS TO ACHIEVE COMMON GOALS. NORTHERN ARIZONA HEALTHCARE PARTNERSHIPS ---------------------------------------- LITTLE COLORADO MEDICAL CENTER (WINSLOW MEMORIAL HOSPITAL) - NORTHERN ARIZONA HEALTHCARE HAS A MANAGEMENT AGREEMENT IN PLACE WITH LITTLE COLORADO MEDICAL CENTER (LCMC), A 25-BED CRITICAL ACCESS TAX-EXEMPT HOSPITAL IN WINSLOW, ARIZONA. THE LCMC BOARD OF DIRECTORS RETAINS ULTIMATE RESPONSIBILITY FOR THE OPERATIONS AND ACTIVITIES OF THE HOSPITAL. NAH AND LCMC MAINTAIN A RELATIONSHIP TO ENHANCE LCMC'S SERVICE TO THE COMMUNITY. THE PEAKS - THE PEAKS IS A SENIOR LIVING, LEARNING AND WELLNESS COMMUNITY THAT IS PART OF AN INTERGENERATIONAL CAMPUS IN FLAGSTAFF, ARIZONA. THROUGH THE INTERGENERATIONAL LEARNING, MENTORING AND VOLUNTEER OPPORTUNITIES, THE PEAKS OFFERS AN UNPARALLELED SENIOR RETIREMENT LIFESTYLE. NORTHERN ARIZONA HOMECARE - NORTHERN ARIZONA HOMECARE, A DIVISION OF NAH, PROVIDES QUALITY, PROFESSIONAL HEALTHCARE IN THE COMFORT OF THE PATIENT'S HOME. NORTHERN ARIZONA HOSPICE - HOSPICE, A DIVISION OF NAH, IS FOR PATIENTS WHO HAVE A TERMINAL ILLNESS AND HAVE DECIDED TO SHIFT THE FOCUS OF CARE FROM CURE TO COMFORT. HOSPICE CARE EMPHASIZES THE QUALITY OF REMAINING LIFE AND ALLOWS THE PATIENT TO REMAIN AT HOME IN FAMILIAR SURROUNDINGS WHILE RECEIVING EXPERT HEALTHCARE. FORM 990, PART VI, LINE 11B REVIEW OF THE FORM 990 BY THE ORGANIZATION'S GOVERNING BODY THE FORM 990 IS PREPARED BY AN ACCOUNTING FIRM BASED ON DATA GATHERED BY THE CONTROLLER AND THE ORGANIZATION'S FINANCIAL OPERATIONS GROUP. THE CFO REVIEWS THE DRAFT FORM 990 AND PROVIDES ADDITIONAL COMMENTS. THE FINAL DRAFT VERSION OF THE FORM 990 IS PROVIDED TO THE BOARD OF DIRECTORS PRIOR TO THE MAY 15 DUE DATE. ANY ADDITIONAL COMMENTS SUGGESTED BY THE GOVERNING BODY ARE THEN INCORPORATED INTO THE FINAL VERSION OF THE FORM 990 TO BE FILED WITH THE IRS BY THE FINAL DUE DATE. IF ANY SUGGESTED CHANGES ARE MATERIAL OR SIGNIFICANT, AN ADDITIONAL DRAFT IS DISTRIBUTED TO THE GOVERNING BODY PRIOR TO FILING. FORM 990, PART VI, LINE 12C DESCRIPTION OF PROCESS TO MONITOR TRANSACTIONS FOR CONFLICTS OF INTEREST THE ORGANIZATION REGULARLY MONITORS AND ENFORCES COMPLIANCE WITH ITS CONFLICT OF INTEREST POLICY (BOARD POLICY 6.1). THIS IS ACCOMPLISHED BY A NUMBER OF MECHANISMS. FIRST THE CONFLICT OF INTEREST QUESTIONNAIRE IS REVIEWED BY THE GOVERNANCE COMMITTEE OF THE BOARD. AS PART OF THE QUESTIONNAIRE, SELF-DISCLOSURE IS REQUIRED BY BOARD MEMBERS. IN ADDITION, INDIVIDUAL DISCLOSURE BY BOARD MEMBERS OCCURS AT BOARD MEETINGS WHEN NECESSARY (I.E. A BOARD MEMBER WILL EXCLUDE HIMSELF FROM VOTING ON AN ISSUE IN WHICH HE MAY HAVE A CONFLICT OF INTEREST). FORM 990, PART VI, LINES 15A AND 15B DESCRIPTION OF COMPENSATION PROCESS THE PROCESS FOR DETERMINING COMPENSATION OF THE ORGANIZATION'S CEO AND OTHER OFFICERS INCLUDES THE PREPARATION OF COMPARABLE DATA BY TOWERS WATSON, AN INDEPENDENT CONSULTING FIRM. IN ADDITION, THIS INFORMATION IS REVIEWED BY THE GOVERNANCE COMMITTEE OF THE BOARD AND DOCUMENTED IN BOARD MINUTES. THE MOST RECENT REVIEW WAS PERFORMED IN AUGUST 2013. FORM 990, PART VI, LINE 19 AVAILABILITY OF CERTAIN DOCUMENTS TO THE GENERAL PUBLIC THE ORGANIZATION'S FINANCIAL STATEMENTS ARE AVAILABLE THROUGH THE ARIZONA DEPARTMENT OF HEALTH SERVICES. IN ADDITION, THEY ARE AVAILABLE THROUGH THE ELECTRONIC MUNICIPAL MARKET ACCESS (EMMA) AS PART OF THE ORGANIZATION'S CONTINUING DISCLOSURE DOCUMENTS THAT ARE REQUIRED BY ITS PUBLIC DEBT REQUIREMENTS. THE ORGANIZATION DOES NOT MAKE ITS GOVERNING DOCUMENTS OR ITS CONFLICT OF INTEREST POLICY AVAILABLE TO THE PUBLIC. FORM 990, PART XI, LINE 9 OTHER CHANGES IN NET ASSETS/FUND BALANCES DECREASE IN UNFUNDED PENSION LIABILITY $ 1,229,000 NET ASSET TRANSFERS FROM (TO) AFFILIATE 4,273,000 ROUNDING (752) ------------- TOTAL: $ 5,501,248 FLAGSTAFF MEDICAL CENTER POST OFFICE BOX 1268 FLAGSTAFF AZ 86002 860110232 HEALTHCARE AZ 501(C)(3) 3 NAH true VERDE VALLEY MEDICAL CENTER 269 SOUTH CANDY LANE COTTONWOOD AZ 86326 860100882 HEALTHCARE AZ 501(C)(3) 3 NAH true TASC LLC 1200 N BEAVER ST FLAGSTAFF AZ 86001 860913157 AMBULATORY SVCS AZ NA N/A NORTHERN ARIZONA HEALTHCARE PROVIDER GRO 1200 N BEAVER ST FLAGSTAFF AZ 86001 454464070 ADMIN AND BILLING AZ NA N/A false false false false false false false false false true true false false false true true false true true FLAGSTAFF MEDICAL CENTER R 141920833 COST FLAGSTAFF MEDICAL CENTER K 63035 COST FLAGSTAFF MEDICAL CENTER P 3928415 COST FLAGSTAFF MEDICAL CENTER J 85752 COST FLAGSTAFF MEDICAL CENTER O 6947136 COST VERDE VALLEY MEDICAL CENTER O 3108062 COST