2014-11-14T09:48:28-06:00 2013-12-31 383133790 ANDREWS HOOPER PAVLIK PLC 4295 OKEMOS RD STE 200 OKEMOS MI 488646201 990 2013-01-01 364497604 PHP FAMILYCARE PHPF 5173648400 PO BOX 30377 LANSING MI 48909 DENNIS REESE ACTING CEO 5173648400 2014-11-11 true MARK E HOOPER P00039887 5177060800 2014-11-11 2013 2015-11-30 17:44:51Z DENNIS SWAN 1215 E MICHIGAN AVENUE LANSING MI 48912 58016298 false X WWW.PHPMM.ORG X 2002 MI PHP FAMILYCARE'S MISSION IS TO IMPROVE THE HEALTH STATUS OF ITS MEMBERS BY FACILITATING QUALITY, COMPASSIONATE, ACCESSIBLE, AND COST EFFECTIVE HEALTHCARE. 3 2 0 0 0 55618792 57429707 165903 457748 118369 128843 55903064 58016298 0 36864215 38150239 1945233 1741569 0 0 17611279 17326260 56420727 57218068 -517663 798230 14030458 16990815 7225251 9087682 6805207 7903133 X PHP FAMILYCARE'S MISSION IS TO IMPROVE THE HEALTH STATUS OF ITS MEMBERS BY FACILITATING QUALITY, COMPASSIONATE, ACCESSIBLE, AND COST EFFECTIVE HEALTHCARE. false false 55153075 57558550 PHP FAMILYCARE (PHPFC) IS A NON-PROFIT HEALTH MAINTENANCE ORGANIZATION (HMO). PHPFC USES A PRIMARY CARE CONCEPT FOR DELIVERING HEALTH CARE IN A HEALTH DELIVERY NETWORK (HDN) STRUCTURE. IT ARRANGES FOR THE PROVISION OF COMPREHENSIVE OUTPATIENT AND INPATIENT MEDICAL AND SURGICAL SERVICES TO MEMBERS AND THEIR QUALIFIED DEPENDENTS ON THE BASIS OF A FIXED PREPAID SUM WITHOUT REGARD TO THE FREQUENCY OR EXTENT OF SERVICES FURNISHED TO ANY PARTICULAR MEMBER OR QUALIFIED DEPENDENT. PHPFC CONTRACTS WITH VARIOUS HDNS WHO PROVIDE HEALTHCARE SERVICES TO MEMBERS. PHPFCS COMMITMENT IS TO DEVELOP AND DELIVER QUALITY MANAGED CARE PRODUCTS AT A REASONABLE COST FOR ITS MEMBERS. PHPFCS SUCCESS IN MANAGING HEALTH CARE IS DUE IN PART TO THE EXTENSIVE NETWORK OF PARTICIPATING PROVIDERS IN THE HDN NETWORK. THE HMO/HDN CONTRACTUAL ARRANGEMENTS ALLOW PHPFC TO ARRANGE FOR HEALTHCARE TO PATIENTS COVERED BY THE STATE OF MICHIGANS MEDICAID BENEFIT PLAN. THIS ARRANGEMENT ALLOWS THE MEMBERS TO ACCESS A WIDE VARIETY OF INDEPENDENT PROVIDERS WITHIN EACH HDN INCLUDING PHYSICIANS, HOSPITALS, PHARMACIES, SKILLED NURSING FACILITIES, AND ALLIED HEALTH PROFESSIONALS. PHPFC MEMBERS MAY ALSO RECEIVE CARE FOR SERVICES FROM A NONPARTICIPATING PROVIDER IF SUCH REFERRAL IS RECOMMENDED BY AN HDN PARTICIPATING PHYSICIAN AND THE SERVICE REQUIRED FOR TREATMENT, AS DETERMINED BY THE HDN, IS NOT AVAILABLE WITHIN THE HDNS NETWORK. PHPFC OFFERS A VARIETY OF HEALTH CARE PROGRAMS. PHPFC OFFERS CHOICES THAT PROVIDE COVERAGE WITHIN THE NETWORK OF CONTRACTED HDN PROVIDERS, LIMITED COVERAGE OUTSIDE OF THE PHPFC NETWORK, VARIOUS LEVELS OF DEDUCTIBLES, CO- PAYMENTS, AND COVERAGE LIMITS, ALL OF WHICH ARE DESIGNED TO BE RESPONSIVE TO PAYOR NEEDS. PHP FAMILYCARE IS OWNED BY PHYSICIANS HEALTH PLAN (PHP). PHP IS OWNED BY SPARROW HEALTH SYSTEM (SHS) AND HOLDS A CERTIFICATE OF AUTHORITY AS AN HMO IN THE STATE OF MICHIGAN. PHP IS PRIMARILY A COMMERCIAL HMO AND ALSO OPERATES THREE SUBSIDIARIES, PHP INSURANCE COMPANY (PHPIC) A COMMERCIAL INSURANCE COMPANY, PHP FAMILYCARE (PHPFC) A MICHIGAN MEDICAID MANAGED CARE PLAN, AND PHP SERVICE COMPANY (TPA) A THIRD PARTY ADMINISTRATOR. ALL STAFFING FUNCTIONS AND REPORTING ARE ACCOMPLISHED THROUGH THE USE OF THE SAME STAFF AS PHP. UNLESS SPECIFICALLY NOTED, ALL REFERENCES TO PHP APPLY TO PHP, PHPIC, TPA, AND PHPFC. PHPS SERVICE AREA INCLUDES THE MICHIGAN COUNTIES OF INGHAM, EATON, CLINTON, SHIAWASSEE, MONTCALM, GRATIOT, IONIA, AND ISABELLA. PHPIC OFFERS PRODUCTS ACROSS MICHIGAN. THE FAMILYCARE PRODUCT IS AVAILABLE TO MEDICAID ENROLLEES IN EATON, CLINTON, INGHAM, IONIA, MONTCALM, AND SHIAWASSEE COUNTIES. THE MICHIGAN DEPARTMENT OF COMMUNITY HEALTH (MDCH) AND DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES (DIFS) APPROVED A SERVICE AREA EXPANSION OF PHPFC INTO ISABELLA COUNTY EFFECTIVE JANUARY 1, 2012. AS OF DECEMBER 31, 2013, THERE WERE APPROXIMATELY 31,900 ENROLLEES IN PHPS COMMERCIAL HMO, 12,600 IN TPA, 10,900 IN PHPIC, AND 17,600 ENROLLEES IN PHPFC. PHP ALSO OPERATES THE STATE OF MICHIGANS PRE-EXISTING CONDITION INSURANCE PLAN CALLED HIP MICHIGAN. THIS PROGRAM WAS DISCONTINUED ON JUNE 30, 2013. PHP AND PHPFC CONTRACT DIRECTLY WITH PHYSICIANS HEALTH NETWORK (PHN), A WHOLLY OWNED SUBSIDIARY OF SPARROW HEALTH SYSTEM. THE PHP NETWORK IS APPROXIMATELY 761 PRIMARY CARE PHYSICIANS, 1,021 SPECIALTY CARE PHYSICIANS, 378 ALLIED HEALTH PROFESSIONALS, AND 313 ORGANIZATIONAL PROVIDERS THAT INCLUDE 30 HOSPITALS. PHP MEASURES THE QUALITY OF CARE PROVIDED TO ITS ENROLLEES THROUGH ANNUAL REVIEW OF INDICATORS SUCH AS: - DISEASE MANAGEMENT PROGRAM PARTICIPATION AND OUTCOMES, - QUALITY OF CARE CONCERNS, AND - HEDIS MEASURES: THE HEALTH PLAN EFFECTIVENESS DATA AND INFORMATION SET (HEDIS) IS A GROUP OF NATIONALLY RECOGNIZED MEASURES OF HEALTH PLANS PERFORMANCE IN A VARIETY OF CLINICAL AND NON-CLINICAL AREAS. PHP USES THE EFFECTIVENESS OF CARE MEASURES TO DETERMINE PROGRESS AND IMPROVEMENT IN AREAS SUCH AS: DIABETES, ASTHMA, DEPRESSION AND FOLLOW-UP AFTER MENTAL HEALTH ADMISSIONS, BREAST AND CERVICAL CANCER SCREENINGS, USE OF BETA-BLOCKERS AFTER HEART ATTACKS, CHILD AND ADOLESCENT IMMUNIZATIONS, CHOLESTEROL MANAGEMENT, CONTROLLING HIGH BLOOD PRESSURE, SMOKING CESSATION, PRENATAL AND POSTPARTUM CARE, AND TREATMENT OF CHILDHOOD RESPIRATORY INFECTIONS. PHP MEASURES THE QUALITY OF SERVICE PROVIDED TO ITS ENROLLEES BY THE REVIEW OF PERFORMANCE MEASURES RELATED TO: - ACCESS AND AVAILABILITY OF PROVIDERS, - ENROLLEE COMPLAINTS AND APPEALS, - CUSTOMER SERVICE TELEPHONE ACCESS PERFORMANCE, AND - MEMBER ASSESSMENT. THE CONSUMER ASSESSMENT OF HEALTHCARE PROVIDERS AND SYSTEMS (CAHPS) SURVEY GIVES A GENERAL INDICATION OF HOW WELL THE ORGANIZATION MEETS MEMBERS EXPECTATIONS. PHP RECEIVED THE HIGHEST RATING OF "EXCELLENT" FROM THE UTILIZATION REVIEW ACCREDITATION COMMITTEE (URAC). THIS STATUS IS GRANTED TO HEALTHCARE PLANS THAT HAVE DEMONSTRATED CONTINUOUS QUALITY IMPROVEMENT IN THEIR PROGRAMS WHILE MEETING OR EXCEEDING URAC'S RIGOROUS ACCREDITATION STANDARDS. PHP FAMILYCARE RECEIVED AN "EXCELLENT" RATING. PHP AND PHP FAMILYCARE WERE REVIEWED BY URAC IN 2012. 55153075 false false false false false false false false true false false false false true false true 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 true 0 0 true 0 false false false false false false X 3 2 false false false false true true true true true false false true true true true true true true true false MI X DENNIS REESE 5173648400 1400 E MICHIGAN AVENUE LANSING MI 48909 DENNIS SWAN PRES/CEO - S 1.00 40.00 X 0 1394403 33278 SCOTT WILKERSON PRESIDENT/CE 5.00 40.00 X X 0 375173 33828 JAMES BUTLER III CHAIRPERSON 1.00 1.00 X 0 1394 0 GWEN HALL DIRECTOR 1.00 0.00 X 0 0 0 DENNIS REESE ACTING CEO 5.00 40.00 X 0 213957 28807 PAULA HOWARD SENIOR SALES 5.00 40.00 X 0 134057 19262 ANN HUNT-FUGATE RPH MGR CLINICAL 5.00 40.00 X 0 123609 26508 ANTHONY ABBATE IT MANAGER 5.00 40.00 X 0 122493 23180 LINDA DICKINSON DIR OF MED R 5.00 40.00 X 0 121960 22591 KEVIN ESSENMACHER CONTROLLER 5.00 40.00 X 0 115279 25993 2602325 213447 false true false MEDICAID PAYMENTS 621990 57429707 57429707 57429707 123065 123065 334683 334683 334683 334683 OTHER REVENUE 900099 128843 128843 128843 58016298 57558550 457748 38150239 38150239 1352465 1023816 328649 85667 64850 20817 213177 161375 51802 90260 68327 21933 1123926 1123926 34836 34836 72191 72191 26261 26261 123892 93786 30106 60612 60612 162211 122794 39417 176757 133805 42952 29051 29051 10831 10831 688 688 17514 17514 GME EXPENSE 15169397 15169397 CORPORATE ALLOCATION 148704 148704 MISCELLANEOUS 137483 104074 33409 BANKING FEES 31906 31906 57218068 55153075 2064993 0 8044402 11049304 1516745 783747 4444977 4515913 24334 641851 14030458 16990815 6184743 8723823 1040508 363859 7225251 9087682 X 6805207 7903133 6805207 7903133 14030458 16990815 798230 299696 X false true X true false 2926676 82387 187643 12000 3184706 2641860 147795 149021 12000 2926676 1779759 796243 97691 30000 1833 2641860 1550687 163793 65279 1779759 1307182 134195 109310 1550687 1.00000 false true true RELATED PARTY PAYABLE 363859 363859 58315994 299696 299696 58016298 58016298 57218068 57218068 57218068 SCHEDULE D, PAGE 2, PART V, LINE 4 PHP FAMILYCARE DOES NOT HOLD ENDOWMENTS. THE ENDOWMENTS ARE HELD BY SPARROW CLINTON HOSPITAL AND SPARROW FOUNDATION. SPARROW HEALTH SYSTEM IS THE SOLE MEMBER OF PHYSICIANS HEALTH PLAN, SPARROW CLINTON HOSPITAL AND SPARROW FOUNDATION. PHYSICIANS HEALTH PLAN IS THE SOLE MEMBER OF PHP FAMILYCARE. THE ENDOWMENTS ARE MAINTAINED TO PROVIDE A PERMANENT SOURCE OF INCOME WITH THE STIPULATION THE PRINCIPAL IS KEPT INTACT IN PERPETUITY AND THE INCOME GENERATED FROM INVESTMENTS OF THE ENDOWMENT FUNDS CAN BE USED FOR THE PURPOSE ESTABLISHED BY THE ENDOWMENT. SCHEDULE D, PAGE 4, PART XIII SCHEDULE D, PART XI SEPARATE AUDITED FINANCIAL STATEMENTS WERE PREPARED FOR PHP FAMILYCARE UNDER STATUTORY ACCOUNTING PRINCIPLES AS PERMITTED BY THE MICHIGAN DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES (DIFS). THE DIFS REQUIRES THAT INSURANCE COMPANIES DOMICILED IN THE STATE OF MICHIGAN PREPARE THEIR STATUTORY-BASIS FINANCIAL STATEMENTS IN ACCORDANCE WITH PRACTICES ESTABLISHED BY THE NATIONAL ASSOCIATION OF INSURANCE COMMISSIONERS. THESE PRACTICES DIFFER IN SOME RESPECTS FROM U.S. GENERALLY ACCEPTED ACCOUNTING PRACTICES. CERTAIN ADJUSTMENTS ARE REQUIRED TO COMPLY WITH STATUTORY ACCOUNTING PRINCIPLES. PHP FAMILYCARE WAS INCLUDED AS PART OF THE CONSOLIDATED FINANCIAL STATEMENTS OF SPARROW HEALTH SYSTEM. SPARROW HEALTH SYSTEM IS THE SOLE MEMBER OF PHYSICIANS HEALTH PLAN, AND PHYSICIANS HEALTH PLAN IS THE SOLE MEMBER OF PHP FAMILYCARE. THE SPARROW HEALTH SYSTEM FINANCIAL STATEMENTS WERE PREPARED USING THE U.S. GENERALLY ACCEPTED ACCOUNTING PRACTICES. THE FORM 990 FOR PHP FAMILYCARE HAS BEEN PRESENTED USING U.S. GENERALLY ACCEPTED ACCOUNTING PRACTICES. X X X X X X true false false true true true true false false DENNIS SWAN PRES/CEO - SHS 785333 574149 34921 18870 14408 1427681 SCOTT WILKERSON PRESIDENT/CEO/SEC 345529 12166 17478 18870 14958 409001 DENNIS REESE ACTING CEO 200671 11915 1371 13306 15501 242764 PAULA HOWARD SENIOR SALES REP 125437 8539 81 11716 7546 153319 ANN HUNT-FUGATE RPH MGR CLINICAL PHARM 120421 2986 202 9147 17361 150117 SCHEDULE J, PAGE 1, PART I, LINE 3 SPARROW HEALTH SYSTEM IS THE SOLE MEMBER OF PHYSICIAN HEALTH PLAN AND PHYSICIANS HEALTH PLAN IS THE SOLE MEMBER OF PHP FAMILYCARE. SPARROW HEALTH SYSTEM IS AN INTEGRATED NON-PROFIT ORGANIZATION THAT INCLUDES A NUMBER OF NON-PROFIT ENTITIES. THE METHODS SELECTED FOR DETERMINING THE COMPENSATION OF THE CEO/EXECUTIVE DIRECTOR ARE METHODS WHICH ARE BEING USED BY ALL SPARROW HEALTH SYSTEM RELATED ENTITIES. SCHEDULE J, PAGE 1, PART I, LINE 4 SCOTT WILKERSON 26,962 0 0 SCHEDULE J, PAGE 1, PART I, LINE 5A THE 2013 INCENTIVE COMPENSATION PLAN PAYMENTS WERE ACCRUED IN 2013 AND WILL BE PAID IN 2014. THE INCENTIVE COMPENSATION PLAN IS BASED, IN PART, ON THE OPERATING MARGIN OF SPARROW HEALTH SYSTEM AS WELL AS AFFILIATED COMPANIES. SCHEDULE J, PAGE 1, PART I, LINE 5B THE 2013 INCENTIVE COMPENSATION PLAN PAYMENTS WERE ACCRUED IN 2013 AND WILL BE PAID IN 2014. THE INCENTIVE COMPENSATION PLAN IS BASED, IN PART, ON THE OPERATING MARGIN OF SPARROW HEALTH SYSTEM AS WELL AS AFFILIATED COMPANIES. SCHEDULE J, PAGE 1, PART I, LINE 6A THE 2013 INCENTIVE COMPENSATION PLAN PAYMENTS WERE ACCRUED IN 2013 AND WILL BE PAID IN 2014. THE INCENTIVE COMPENSATION PLAN IS BASED, IN PART, ON THE OPERATING MARGIN OF SPARROW HEALTH SYSTEM AS WELL AS AFFILIATED COMPANIES. SCHEDULE J, PAGE 1, PART I, LINE 6B THE 2013 INCENTIVE COMPENSATION PLAN PAYMENTS WERE ACCRUED IN 2013 AND WILL BE PAID IN 2014. THE INCENTIVE COMPENSATION PLAN IS BASED, IN PART, ON THE OPERATING MARGIN OF SPARROW HEALTH SYSTEM AS WELL AS AFFILIATED COMPANIES. FORM 990 ALL LINES LEFT BLANK ARE NOT APPLICABLE TO THE ORGANIZATION. FORM 990, PAGE 2, PART III, LINE 4A PHPFCS SUCCESS IN MANAGING HEALTH CARE IS DUE IN PART TO THE EXTENSIVE NETWORK OF PARTICIPATING PROVIDERS IN THE HDN NETWORK. THE HMO/HDN CONTRACTUAL ARRANGEMENTS ALLOW PHPFC TO ARRANGE FOR HEALTHCARE TO PATIENTS COVERED BY THE STATE OF MICHIGANS MEDICAID BENEFIT PLAN. THIS ARRANGEMENT ALLOWS THE MEMBERS TO ACCESS A WIDE VARIETY OF INDEPENDENT PROVIDERS WITHIN EACH HDN INCLUDING PHYSICIANS, HOSPITALS, PHARMACIES, SKILLED NURSING FACILITIES, AND ALLIED HEALTH PROFESSIONALS. PHPFC MEMBERS MAY ALSO RECEIVE CARE FOR SERVICES FROM A NONPARTICIPATING PROVIDER IF SUCH REFERRAL IS RECOMMENDED BY AN HDN PARTICIPATING PHYSICIAN AND THE SERVICE REQUIRED FOR TREATMENT, AS DETERMINED BY THE HDN, IS NOT AVAILABLE WITHIN THE HDNS NETWORK. PHPFC OFFERS A VARIETY OF HEALTH CARE PROGRAMS. PHPFC OFFERS CHOICES THAT PROVIDE COVERAGE WITHIN THE NETWORK OF CONTRACTED HDN PROVIDERS, LIMITED COVERAGE OUTSIDE OF THE PHPFC NETWORK, VARIOUS LEVELS OF DEDUCTIBLES, CO- PAYMENTS, AND COVERAGE LIMITS, ALL OF WHICH ARE DESIGNED TO BE RESPONSIVE TO PAYOR NEEDS. PHP FAMILYCARE IS OWNED BY PHYSICIANS HEALTH PLAN (PHP). PHP IS OWNED BY SPARROW HEALTH SYSTEM (SHS) AND HOLDS A CERTIFICATE OF AUTHORITY AS AN HMO IN THE STATE OF MICHIGAN. PHP IS PRIMARILY A COMMERCIAL HMO AND ALSO OPERATES THREE SUBSIDIARIES, PHP INSURANCE COMPANY (PHPIC) A COMMERCIAL INSURANCE COMPANY, PHP FAMILYCARE (PHPFC) A MICHIGAN MEDICAID MANAGED CARE PLAN, AND PHP SERVICE COMPANY (TPA) A THIRD PARTY ADMINISTRATOR. ALL STAFFING FUNCTIONS AND REPORTING ARE ACCOMPLISHED THROUGH THE USE OF THE SAME STAFF AS PHP. UNLESS SPECIFICALLY NOTED, ALL REFERENCES TO PHP APPLY TO PHP, PHPIC, TPA, AND PHPFC. PHPS SERVICE AREA INCLUDES THE MICHIGAN COUNTIES OF INGHAM, EATON, CLINTON, SHIAWASSEE, MONTCALM, GRATIOT, IONIA, AND ISABELLA. PHPIC OFFERS PRODUCTS ACROSS MICHIGAN. THE FAMILYCARE PRODUCT IS AVAILABLE TO MEDICAID ENROLLEES IN EATON, CLINTON, INGHAM, IONIA, MONTCALM, AND SHIAWASSEE COUNTIES. THE MICHIGAN DEPARTMENT OF COMMUNITY HEALTH (MDCH) AND DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES (DIFS) APPROVED A SERVICE AREA EXPANSION OF PHPFC INTO ISABELLA COUNTY EFFECTIVE JANUARY 1, 2012. AS OF DECEMBER 31, 2013, THERE WERE APPROXIMATELY 31,900 ENROLLEES IN PHPS COMMERCIAL HMO, 12,600 IN TPA, 10,900 IN PHPIC, AND 17,600 ENROLLEES IN PHPFC. PHP ALSO OPERATES THE STATE OF MICHIGANS PRE-EXISTING CONDITION INSURANCE PLAN CALLED HIP MICHIGAN. THIS PROGRAM WAS DISCONTINUED ON JUNE 30, 2013. PHP AND PHPFC CONTRACT DIRECTLY WITH PHYSICIANS HEALTH NETWORK (PHN), A WHOLLY OWNED SUBSIDIARY OF SPARROW HEALTH SYSTEM. THE PHP NETWORK IS APPROXIMATELY 761 PRIMARY CARE PHYSICIANS, 1,021 SPECIALTY CARE PHYSICIANS, 378 ALLIED HEALTH PROFESSIONALS, AND 313 ORGANIZATIONAL PROVIDERS THAT INCLUDE 30 HOSPITALS. PHP MEASURES THE QUALITY OF CARE PROVIDED TO ITS ENROLLEES THROUGH ANNUAL REVIEW OF INDICATORS SUCH AS: - DISEASE MANAGEMENT PROGRAM PARTICIPATION AND OUTCOMES, - QUALITY OF CARE CONCERNS, AND - HEDIS MEASURES: THE HEALTH PLAN EFFECTIVENESS DATA AND INFORMATION SET (HEDIS) IS A GROUP OF NATIONALLY RECOGNIZED MEASURES OF HEALTH PLANS PERFORMANCE IN A VARIETY OF CLINICAL AND NON-CLINICAL AREAS. PHP USES THE EFFECTIVENESS OF CARE MEASURES TO DETERMINE PROGRESS AND IMPROVEMENT IN AREAS SUCH AS: DIABETES, ASTHMA, DEPRESSION AND FOLLOW-UP AFTER MENTAL HEALTH ADMISSIONS, BREAST AND CERVICAL CANCER SCREENINGS, USE OF BETA-BLOCKERS AFTER HEART ATTACKS, CHILD AND ADOLESCENT IMMUNIZATIONS, CHOLESTEROL MANAGEMENT, CONTROLLING HIGH BLOOD PRESSURE, SMOKING CESSATION, PRENATAL AND POSTPARTUM CARE, AND TREATMENT OF CHILDHOOD RESPIRATORY INFECTIONS. PHP MEASURES THE QUALITY OF SERVICE PROVIDED TO ITS ENROLLEES BY THE REVIEW OF PERFORMANCE MEASURES RELATED TO: - ACCESS AND AVAILABILITY OF PROVIDERS, - ENROLLEE COMPLAINTS AND APPEALS, - CUSTOMER SERVICE TELEPHONE ACCESS PERFORMANCE, AND - MEMBER ASSESSMENT. THE CONSUMER ASSESSMENT OF HEALTHCARE PROVIDERS AND SYSTEMS (CAHPS) SURVEY GIVES A GENERAL INDICATION OF HOW WELL THE ORGANIZATION MEETS MEMBERS EXPECTATIONS. PHP RECEIVED THE HIGHEST RATING OF "EXCELLENT" FROM THE UTILIZATION REVIEW ACCREDITATION COMMITTEE (URAC). THIS STATUS IS GRANTED TO HEALTHCARE PLANS THAT HAVE DEMONSTRATED CONTINUOUS QUALITY IMPROVEMENT IN THEIR PROGRAMS WHILE MEETING OR EXCEEDING URAC'S RIGOROUS ACCREDITATION STANDARDS. PHP FAMILYCARE RECEIVED AN "EXCELLENT" RATING. PHP AND PHP FAMILYCARE WERE REVIEWED BY URAC IN 2012. FORM 990, PAGE 6, PART VI, LINE 6 PHYSICIANS HEALTH PLAN IS THE SOLE MEMBER OF PHP FAMILYCARE AND SPARROW HEALTH SYSTEM IS THE PARENT AND SOLE MEMBER OF PHYSICIANS HEALTH PLAN. THE BOARD MEMBERS ELECTED BY THE BOARD OF DIRECTORS ARE RATIFIED BY THE SPARROW HEALTH SYSTEM BOARD OF DIRECTORS. DECISIONS OF THE BOARD OF DIRECTORS ARE SUBJECT TO APPROVAL BY THE SPARROW HEALTH SYSTEM BOARD OF DIRECTORS. FORM 990, PAGE 6, PART VI, LINE 7A PHYSICIANS HEALTH PLAN IS THE SOLE MEMBER OF PHP FAMILYCARE AND SPARROW HEALTH SYSTEM IS THE PARENT AND SOLE MEMBER OF PHYSICIANS HEALTH PLAN. THE BOARD MEMBERS ELECTED BY THE BOARD OF DIRECTORS ARE RATIFIED BY THE SPARROW HEALTH SYSTEM BOARD OF DIRECTORS. FORM 990, PAGE 6, PART VI, LINE 7B PHYSICIANS HEALTH PLAN IS THE SOLE MEMBER OF PHP FAMILYCARE AND SPARROW HEALTH SYSTEM IS THE PARENT AND SOLE MEMBER OF PHYSICIANS HEALTH PLAN. THE BOARD MEMBERS ELECTED BY THE BOARD OF DIRECTORS ARE RATIFIED BY THE SPARROW HEALTH SYSTEM BOARD OF DIRECTORS. DECISIONS OF THE BOARD OF DIRECTORS MAY BE SUBJECT TO APPROVAL BY THE SPARROW HEALTH SYSTEM BOARD OF DIRECTORS. FORM 990, PAGE 6, PART VI, LINE 11B COPIES OF THE 2013 FORM 990 ARE REVIEWED BY MANAGEMENT. ONCE MANAGEMENT HAS COMPLETED ITS REVIEW OF THE FORM 990 COPIES WERE PROVIDED AT THE SEPTEMBER 2014 BOARD MEETING FOR ALL MEMBERS TO REVIEW AND COMMENT ON. FORM 990, PAGE 6, PART VI, LINE 12C 1) CORPORATE COMPLIANCE SENDS OUT THE CONFLICT OF INTEREST POLICY AND QUESTIONNAIRES TO ALL VOTING BOARD MEMBERS AND THE EXECUTIVE TEAM ANNUALLY. 2) ALL DISCLOSURES ARE RECEIVED AND REVIEWED BY CORPORATE COMPLIANCE. 3) ALL DISCLOSURES ARE GIVEN A RESOLUTION CODE AND PRESENTED TO THE CEO AND GOVERNANCE COMMITTEE OF THE BOARD. 4) ALL BOARD/COMMITTEE LEVEL DISCLOSURES ARE PROVIDED TO THE RESPECTIVE BOARD CHAIR AND EXECUTIVE LIAISON TO ENSURE ISSUES CAN BE ADDRESSED ON A TRANSACTIONAL LEVEL (I.E. IF A VOTE IS REQUIRED ON A TRANSACTION INVOLVING AN INTERESTED PERSON). FORM 990, PAGE 6, PART VI, LINE 15A THE PROCESS FOR DETERMINING COMPENSATION FOR THE CEO OF THE ORGANIZATION INVOLVED THE FOLLOWING: UTILIZING THE COMPENSATION COMMITTEE, INDEPENDENT CONSULTANTS, REVIEWING OTHER SIMILAR ORGANIZATIONS' 990S, COMPENSATION SURVEYS, AND FINAL APPROVAL BY THE SHS BOARD OF DIRECTORS, AS WELL AS FINALIZING THE SALARY PACKAGE WITH A WRITTEN EMPLOYMENT CONTRACT. FORM 990, PAGE 6, PART VI, LINE 15B THE PROCESS FOR DETERMINING COMPENSATION FOR OFFICERS OR KEY EMPLOYEES OF THE ORGANIZATION INVOLVED THE FOLLOWING: UTILIZING THE COMPENSATION COMMITTEE, INDEPENDENT CONSULTANTS, REVIEWING OTHER SIMILAR ORGANIZATIONS' 990S, COMPENSATION SURVEYS, AND FINAL APPROVAL BY THE SHS BOARD OF DIRECTORS, AS WELL AS FINALIZING THE SALARY PACKAGE WITH A WRITTEN EMPLOYMENT CONTRACT. FORM 990, PAGE 6, PART VI, LINE 19 THE GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC AS FOLLOWS: THE GOVERNING DOCUMENTS OF PHP FAMILYCARE ARE SUBMITTED TO DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES (DIFS). THOSE ARE PUBLICLY AVAILABLE TO INTERESTED PARTIES. THE CONFLICT OF INTEREST IS AVAILABLE THROUGH SPARROW HEALTH SYSTEM BY REQUEST TO THE SPARROW COMPLIANCE OFFICER. EDWARD W SPARROW HOSPITAL 1215 E MICHIGAN AVENUE LANSING MI 48912 381360584 HLTH CARE MI 501C3 3 SHS true SPARROW COMMUNITY CARE 2909 E GRAND RIVER LANSING MI 48912 382543305 HOME HLTH MI 501C3 9 SHS true SPARROW HEALTH SYSTEM 1215 E MICHIGAN AVENUE LANSING MI 48912 382542859 PARENT MI 501C3 11A NA false PHYSICIANS HEALTH PLAN 1400 E MICHIGAN AVENUE LANSING MI 48912 382356288 INSURANCE MI 501C4 SHS false PHYSICIANS HEALTH NETWORK 1400 E MICHIGAN AVENUE LANSING MI 48912 382594856 HMO MI 501C4 SHS true SPARROW FOUNDATION 1110 E MICHIGAN AVENUE LANSING MI 48912 386100687 FUNDRAISE MI 501C3 11B SHS true SPARROW CLINTON HOSPITAL 805 S OAKLAND STREET ST JOHNS MI 48879 381358172 HLTH CARE MI 501C3 3 SHS true SPARROW SPECIALTY HOSPITAL 1210 W SAGINAW LANSING MI 48915 141885340 LT ACUTE MI 501C3 3 SHS true SPARROW IONIA HOSPITAL 520 E WASHINGTON ST IONIA MI 48846 383218134 HLTH CARE MI 501C3 3 SHS true SPARROW CLINICAL RESEARCH INSTITUTE 1200 E MICHIGAN AVENUE LANSING MI 48912 383075242 RESEARCH MI 501C3 4 SHS true LANSING MEDICAL DENTAL BUILDING 2909 E GRAND RIVER LANSING MI 48909 382566150 RENTAL PRO MI N/A false false SPARROW DEVELOPMENT INC 1215 E MICHIGAN AVENUE LANSING MI 48912 382595963 RENTAL PRO MI N/A true PHP INSURANCE COMPANY 1400 E MICHIGAN AVENUE LANSING MI 48912 205565219 INSURANCE MI N/A true PHP SERVICE COMPANY 1400 E MICHIGAN AVENUE LANSING MI 48912 383344741 MED SVS MI N/A true EAST LANSING ATHLETIC CLUB 2900 HANNAH BLVD EAST LANSING MI 48823 382886420 HLTH CLUB MI N/A true MAC RESTAURANT LLC 2900 HANNAH BLVD EAST LANSING MI 48823 205120690 RESTAURANT MI N/A true MEDICAL CENTER WEST CONDO ASSOC 1100 W SAGINAW ST LANSING MI 48915 382635630 CONOD ASSO MI N/A true CLINTON SERVICES CORPORATION 805 S OAKLAND ST JOHNS MI 48879 382494110 SERVICES MI N/A true false false false false false false false false false false false false true false false true false false false PHYSICIANS HEALTH NETWORK M 41140993 COST