2013-11-13T11:11:16-06:00 2012-12-31 135665207 KPMG LLP 4200 WELLS FARGO CTR 90 S 7TH STREET MINNEAPOLIS MN 55402 990 2012-01-01 411888902 REGIONS HOSPITAL FOUNDATION REGI 9528836584 8170 33RD AVENUE SOUTH PO BOX 1309 MINNEAPOLIS MN 554401309 BROCK D NELSON 9528836584 2013-11-13 1 JASON DIVINE P01076050 6123055000 2012 2016-02-25 16:41:14Z BROCK D NELSON 8170 33RD AVENUE SOUTH PO BOX 1309 MINNEAPOLIS MN 554401309 22442965 0 X WWW.REGIONSHOSPITAL.COM X 1997 MN SEE SCH. O - MISSION STATEMENT & SCH. O - EXEMPT PURPOSE AND ACHIEVEMENTS 19 15 0 120 0 0 15814868 17818433 64587 57831 -356639 1449418 -12469 -35615 15510347 19290067 12319313 12016159 0 0 1598235 1452760 0 0 563744 1621345 1907957 15538893 15376876 -28546 3913191 21286560 21162328 5159498 1191955 16127062 19970373 X SEE SCHEDULE O - "MISSION STATEMENT" 0 0 14477420 12016159 57831 SEE SCHEDULE O - EXEMPT PURPOSE AND ACHIEVEMENTS 14477420 1 1 0 1 0 1 0 0 0 1 1 0 0 0 0 0 1 1 0 0 0 0 0 0 1 0 0 1 1 1 0 0 0 0 0 0 0 0 1 1 0 0 0 1 0 0 0 1 1 1 1 0 0 0 0 0 1 1 1 1 0 0 0 1 1 0 0 0 0 X 19 15 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 MN X X HEIDI G CONRAD CHIEF FINANCIAL OFFICER 6512540900 640 JACKSON ST ST PAUL MN 55101 THOR BECKEN 0.40 X 0 0 0 CHARLES HAYNOR 0.40 X 0 0 0 TIM KEENAN 0.30 X 0 0 0 JUDITH A KISHEL 0.80 X 0 0 0 DON MAIETTA 0.60 X 0 0 0 ALLEN J MCNEE 0.10 X 0 0 0 GUY MINGO 0.20 X 0 0 0 JOHN O'SHEA 0.40 X 0 0 0 KEVIN POWERS 0.40 X 0 0 0 DEBRA RECTENWALD 0.20 X 0 0 0 CHRISTINE SAND 0.20 X 0 0 0 WILLIAM SANDS 0.30 X 0 0 0 JOHN SOLBERG 0.50 X 0 0 0 MARK SOLHEIM 0.20 X 0 0 0 JOHN SULLIVAN 0.60 X 0 0 0 KENNETH HOLMEN MD 0.50 54.50 X 0 598819 160346 KEEVAN KOSIDOWSKI 50.00 X X 0 152601 42754 BROCK D NELSON 0.50 49.50 X X 0 556774 173644 PAULA K SKARDA MD 0.50 49.50 X 0 396365 77779 HEIDI G CONRAD 0.50 52.50 X 0 337468 113633 0 2042027 568156 0 0 1 0 PRESTON KELLY 222 FIRST AVENUE NE MINNEAPOLIS MN 55413 CORPORATE IMAGE/ADVERTISING 124666 1 698400 1022238 346496 15751299 69880 17818433 MEDICAL EDUCATION 611710 57831 57831 57831 653832 653832 3700074 2904488 795586 795586 795586 212795 698400 248410 -35615 -35615 19290067 57831 0 1413803 11992512 11992512 23647 23647 195355 195355 1257405 728714 112014 416677 325844 294917 4989 25938 438589 387654 8217 42718 250483 223299 4385 22799 31116 16213 2404 12499 11905 11905 108201 101722 1045 5434 226963 220088 1109 5766 56 56 SUPPLIES & EQUIPMENT 307698 306189 243 1266 MISCELLANEOUS 140202 112182 4520 23500 TRAINING/EDUCATION 48040 39593 1363 7084 EMPLOYEE RELATIONS 13716 13641 12 63 5144 5144 15376876 14477420 335712 563744 192713 895290 7112173 3816629 1466785 2521805 33744 31980 2970 469 1113 993 176 120 12477999 13896035 21286560 21162328 5159498 1191955 5159498 1191955 X 2749829 4121537 12766928 15233866 610305 614970 16127062 19970373 21286560 21162328 X 3913191 -69880 X 0 1 X 1 0 X 6891127 4526913 4648679 5814868 7818433 29700020 6891127 4526913 4648679 5814868 7818433 29700020 216848 29483172 321696 64045 404021 574772 653832 2018366 31718386 764544 0.92950 0.92190 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 0 0 EXPLANATION OF LOBBYING ACTIVITIES: PART II-B, LINE 1: REGIONS HOSPITAL FOUNDATION PAYS FOR CERTAIN CORPORATE PROFESSIONAL ASSOCIATION MEMBERSHIPS. A PORTION OF SUCH MEMBERSHIP DUES POTENTIALLY COULD BE USED BY THE PROFESSIONAL ASSOCIATIONS FOR LOBBYING ACTIVITIES. 16 4665 53715 780308 1 1 790854 4665 38504 53715 780308 750986 17825 33517 11474 790854 723320 7457 24598 7389 750986 705731 18174 1417 2002 723320 725321 10400 -12504 17486 705731 0.00000 0.78800 0.21200 0 0 1113 993 120 120 19468597 0 19468597 -178530 -178530 19290067 15625286 248410 248410 15376876 0 15376876 DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: ENDOWMENT FUNDS ARE TO BE USED FOR CAPITAL, PATIENT CARE, MEDICAL RESEARCH, AND MEDICAL EDUCATION. PART XI, LINE 4B - OTHER ADJUSTMENTS: NON-CASH GIFTS IN KIND 69,880. SPECIAL EVENT EXPENSE -248,410. PART XII, LINE 2D - OTHER ADJUSTMENTS: SPECIAL EVENTS EXPENSE 248,410. WINE AUCTION 764249 558655 205594 31238 22000 7813 92301 1500 60558 BURNAID GOLF CLASSIC 51371 44170 7201 18636 2402 1 95575 95575 1949 10013 911195 698400 212795 31238 22000 9762 110937 1500 72973 248410 -35615 1 HEALTHPARTNERS RESEARCH & EDUCATION 8170 33RD AVENUE SOUTH PO BOX 1309 MINNEAPOLIS MN 554401309 411670163 501(C)(3) 1964586 ALZHEIMERS RESEARCH PROGRAM SUPPORT REGIONS HOSPITAL 8170 33RD AVENUE SOUTH PO BOX 1309 MINNEAPOLIS MN 554401309 410956618 501(C)(3) 10027926 CAPITAL EXPENDITURES 2 SCHOLARSHIPS PROVIDED TO EMPLOYEES OF REGIONS HOSPITAL, SISTER CORPORATION OF REGIONS HOSPITAL FOUNDATION 18 23647 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: REGIONS HOSPITAL FOUNDATION(RHF) MANAGEMENT STAFF REVIEW THE MISSION AND PURPOSE OF POTENTIAL GRANTEE ORGANIZATIONS TO ASSURE CONSISTENCY WITH RHF'S MISSION AND PURPOSE. AMOUNTS SUBSEQUENTLY GRANTED ARE SUBJECT TO THE FOUNDATION'S FORMAL SPENDING APPROVAL AND DOCUMENTATION PROCESS BASED ON AMOUNT OF THE EXPENDITURE. X X X X 0 1 0 0 0 0 1 0 0 KENNETH HOLMEN MD 0 442508 0 124115 0 32196 0 114931 0 45415 0 759165 0 16957 KEEVAN KOSIDOWSKI 0 132124 0 20477 0 0 0 17341 0 25413 0 195355 0 0 BROCK D NELSON 0 434415 0 122359 0 0 0 132795 0 40849 0 730418 0 0 PAULA K SKARDA MD 0 382725 0 13640 0 0 0 42011 0 35768 0 474144 0 0 HEIDI G CONRAD 0 269700 0 62529 0 5239 0 75606 0 38027 0 451101 0 5059 PART I, LINE 4B DEFERRED COMPENSATION IN COLUMN C OF SCHEDULE J, PART II INCLUDES AMOUNTS FROM A NONQUALIFIED 457(F) PLAN FOR THE FOLLOWING DIRECTORS AND OFFICERS: HEIDI G. CONRAD $ 16,256 KENNETH HOLMEN, M.D. 22,664 BROCK D. NELSON 39,216 -------- TOTAL $ 78,136 PART I, LINE 6 REGIONS HOSPITAL FOUNDATION (RHF) DOES NOT HAVE ANY EMPLOYEES; HOWEVER, RHF'S EXECUTIVE DIRECTOR'S COMPENSATION IS PAID BY REGIONS HOSPITAL (REGIONS) AND REIMBURSED BY RHF. REGIONS MANAGEMENT INCENTIVE PROGRAM INCENTS AND REWARDS REGIONS BUSINESS LEADERS WHO HELP THE ORGANIZATION ACHIEVE STATED BUSINESS AND/OR HEALTH IMPROVEMENT GOALS FOR A SPECIFIC FISCAL YEAR. THE PROGRAM IS A KEY ELEMENT OF THE PARTICIPANT'S REGIONS TOTAL COMPENSATION PACKAGE. THE REGIONS MANAGEMENT INCENTIVE PROGRAM REWARDS ARE BASED ON POSITION IN THE ORGANIZATION (E.G. VICE PRESIDENT, DIRECTOR, MANAGER, OTHER SPECIFICALLY IDENTIFIED LEADERS) AND THE ACHIEVEMENT OF BUSINESS AND HEALTH IMPROVEMENT GOALS ESTABLISHED IN A VARIETY OF AREAS. GOALS WILL BE RELATED TO THE ORGANIZATION'S STRATEGIC PLAN AND WILL BE BALANCED. THESE AREAS MAY INCLUDE BUT ARE NOT LIMITED TO PATIENT SATISFACTION, EMPLOYEE SATISFACTION, WORK ENVIRONMENT, EMPLOYEE AND/OR LEADERSHIP DEVELOPMENT, CARE DELIVERY, PATIENT EDUCATION, SIX AIMS, MARKET SHARE, STRATEGIC CAPABILITIES, FINANCIAL PERFORMANCE (NET MARGIN), ETC., AND WILL BE DEFINED ANNUALLY FOR EACH YEAR'S PROGRAM. A NET MARGIN THRESHOLD MUST BE MET FOR ANY PAYMENT TO BE MADE FROM THE PROGRAM AND THERE IS A CAP ON THE MAXIMUM INCENTIVE POTENTIALLY AVAILABLE TO EACH PARTICIPANT. SUPPLEMENTAL INFORMATION PART III SCHEDULE J, PART II - PRIOR REPORTED COMPENSATION: PART II, COLUMN (F) INCLUDES AMOUNTS PAID TO PARTICIPANTS IN THE CURRENT YEAR, WHICH WERE PREVIOUSLY REPORTED IN COLUMN (C) OF PRIOR YEARS' 990'S, AS RETIREMENT AND DEFERRED COMPENSATION. ANY ANALYSIS OF EARNINGS FOR THE CURRENT YEAR, OF ANY PARTICIPANT OF THE PLAN, SHOULD EXCLUDE THE AMOUNT IN COLUMN F AS PART OF THE ANALYSIS SINCE THOSE EARNINGS WERE ALREADY REPORTED IN COLUMN (C) OF PREVIOUS YEARS' 990'S. X 3 10650 RETAIL VALUE X MEDICAL EQUIPMENT 5 1625 RETAIL VALUE X PROFESSIONAL SVCS. 1 2300 BILL REDUCTION AMT. X MISC. AUCTION ITEMS 54 25517 RETAIL VALUE X GIFT & SERVICE CARDS 32 6263 RETAIL VALUE X WINE FOR AUCTION 69 9542 RETAIL VALUE X JEWELRY FOR WINE AUCTION 3 871 RETAIL VALUE X SPORT, RECREATION & ENTERTAINMENT PASSES 77 13112 RETAIL VALUE 0 1 0 MISSION STATEMENT FORM 990, PART I, LINE 1 AND FORM 990, PART III, LINE 1 THE MISSION OF REGIONS HOSPITAL FOUNDATION (RHF) IS TO ADVOCATE AND DEVELOP AWARENESS, BUILD COMMUNITY PARTNERSHIPS, AND RAISE CHARITABLE CONTRIBUTIONS FOR PATIENT CARE, RESEARCH AND HEALTH PROFESSIONAL EDUCATION. ESTABLISHED IN 1997, RHF RAISES FUNDS TO FINANCIALLY SUPPORT THE PROGRAMS AND CAPITAL NEEDS OF REGIONS HOSPITAL AND ITS RELATED SITES IN ORDER TO PROVIDE THE BEST CARE AND BEST EXPERIENCE FOR OUR PATIENTS. RHF ALSO RAISES FUNDS FOR THE PROFESSIONAL TRAINING AND RESEARCH ACTIVITIES OF HEALTHPARTNERS INSTITUTE FOR EDUCATION AND RESEARCH. IN 2012, RHF RECEIVED FUNDING FROM A VARIETY OF SOURCES INCLUDING: INDIVIDUALS AND ESTATES, FOUNDATIONS, CORPORATIONS AND ORGANIZATIONS, AND GOVERNMENT GRANTS. PRIMARY EXEMPT PURPOSE AND ACHIEVEMENTS FORM 990, PART III, LINE 4A I. ORGANIZATION AND GOVERNANCE RHF IS A MINNESOTA NON-PROFIT CORPORATION RECOGNIZED AS EXEMPT FROM FEDERAL INCOME TAX UNDER INTERNAL REVENUE CODE (IRC) SECTION 501(C)(3). RHF IS PART OF THE HEALTHPARTNERS FAMILY OF ORGANIZATIONS (HEALTHPARTNERS). HEALTHPARTNERS, INC. (HPI), A MINNESOTA NON-PROFIT CORPORATION AND LICENSED HEALTH MAINTENANCE ORGANIZATION (HMO) RECOGNIZED AS EXEMPT FROM FEDERAL INCOME TAX UNDER IRC SECTION 501(C)(4), IS THE SOLE CORPORATE MEMBER OF HPI-RAMSEY. HPI-RAMSEY IS A MINNESOTA NON-PROFIT CORPORATION RECOGNIZED AS EXEMPT FROM FEDERAL INCOME TAX UNDER IRC SECTION 501(C)(3). IN TURN, HPI-RAMSEY IS THE SOLE CORPORATE MEMBER OF RHF, AND ITS SISTER ORGANIZATIONS, REGIONS HOSPITAL, CAPITOL VIEW TRANSITIONAL CARE CENTER (CVTCC), STILLWATER HEALTH SYSTEM (LAKEVIEW HEALTH), RH-WISCONSIN, INC. AND RAMSEY INTEGRATED HEALTH SERVICES (RIHS)(A HOME CARE AGENCY), ALL OF WHICH ARE ALSO NON-PROFIT CORPORATIONS EXEMPT FROM FEDERAL INCOME TAX UNDER IRC SECTION 501(C)(3). HPI IS ALSO THE SOLE CORPORATE MEMBER OF THE FOLLOWING ORGANIZATIONS THAT ARE EXEMPT FROM FEDERAL INCOME TAX UNDER IRC SECTION 501(C) (3): HEALTHPARTNERS RESEARCH & EDUCATION (D/B/A HEALTHPARTNERS INSTITUTE FOR EDUCATION AND RESEARCH (HPIER)), RHSC, INC., AND GROUP HEALTH PLAN, INC. (GHI) (A STAFF MODEL HMO) WHICH IS ITSELF THE SOLE CORPORATE MEMBER OF PHYSICIANS NECK & BACK CLINICS (PNBC). RH-WISCONSIN, INC. AND GHI ARE CORPORATE MEMBERS OF HUDSON HOSPITAL, INC. AND WESTFIELDS HOSPITAL, INC., WHICH ARE WISCONSIN NON-PROFIT CORPORATIONS EXEMPT FROM FEDERAL INCOME TAX UNDER IRC SECTION 501(C)(3). RH-WISCONSIN, INC. IS ALSO THE SOLE CORPORATE MEMBER OF WESTERN WISCONSIN EMERGENCY MEDICAL SERVICES COMPANY (WWEMSC), AN AMBULANCE SERVICE WHICH IS A WISCONSIN NON-PROFIT CORPORATION EXEMPT FROM FEDERAL INCOME TAX UNDER IRC SECTION 501(C)(3). TOGETHER, ALL OF THESE RELATED ORGANIZATIONS COMPRISE THE HEALTHPARTNERS FAMILY OF ORGANIZATIONS (HEALTHPARTNERS), WHICH IS AN INTEGRATED HEALTH CARE DELIVERY SYSTEM THAT COMBINES THE DELIVERY AND FINANCING OF HEALTH CARE SERVICES, FOR THE PURPOSE OF IMPROVING THE HEALTH OF ITS VARIOUS ENTITIES' MEMBERS, PATIENTS, AND THE BROADER COMMUNITY. HEALTHPARTNERS SEEKS TO BE THE BEST AND MOST TRUSTED PROVIDER OF HEALTH CARE, HEALTH PROMOTION, HEALTH CARE FINANCING AND HEALTH CARE ADMINISTRATION IN THE UNITED STATES. ACTING IN CONCERT, HEALTHPARTNERS IS WORKING TO TRANSFORM HEALTH CARE BY DELIVERING OUTSTANDING CARE AND SERVICE THAT IS CONSISTENT WITH THE INSTITUTE FOR HEALTHCARE IMPROVEMENT'S "TRIPLE AIM" INITIATIVE. THE "TRIPLE AIM" SEEKS TO SIMULTANEOUSLY OPTIMIZE THE HEALTH OF THE POPULATION, OPTIMIZE THE EXPERIENCE OF EACH INDIVIDUAL, AND REDUCE PER CAPITA HEALTH CARE COSTS. II. ACTIVITIES PROGRAM SUPPORT RHF RECEIVED DONATIONS FOR 37 DIFFERENT PROGRAM FUNDS AT REGIONS HOSPITAL IN 2012. RHF ALSO PROVIDED PATIENT CARE GRANT SUPPORT TO 49 PROGRAMS THROUGH THE SHARING AT WORK CAMPAIGN. THESE GRANTS FUNDED PROJECTS AT REGIONS HOSPITAL, GHI, HEALTHPARTNERS MEDICAL GROUP AND CLINICS (HPMG), AND OTHER HEALTH-RELATED ORGANIZATIONS CONSISTENT WITH RHF'S MISSION. BECAUSE MOST OF RHF'S ADMINISTRATIVE COSTS ARE PAID FOR USING REGIONS HOSPITAL SUPPORT AND INCOME ON INVESTMENTS, MOST UNRESTRICTED CONTRIBUTIONS ARE USED TO FUND SPECIAL PROGRAM, EQUIPMENT AND FACILITY EXPENSES. HOWEVER, SOME OF THESE FUNDS WERE USED TO PAY FOR ADDITIONAL RHF STAFFING IN 2012. IN 2012, RHF GAVE SIGNIFICANT SUPPORT TO MENTAL HEALTH, INTERPRETER SERVICES, THE BURN CENTER, INFECTIOUS DISEASES - HIV CLINIC, THE NEUROSCIENCES, EMERGENCY PROGRAMS, THE CANCER CARE CENTER, THE BREAST HEALTH CENTER AND HEALTHPARTNERS HOSPICE, AMONG OTHER PROGRAMS. SOME SPECIFIC PROGRAM HIGHLIGHTS ARE LISTED BELOW: - MENTAL HEALTH SERVICES. REGIONS HOSPITAL AND GHI'S HPMG MENTAL HEALTH SERVICES IS THE LEADING PROVIDER OF COMPREHENSIVE MENTAL AND CHEMICAL HEALTH SERVICES IN THE TWIN CITIES EAST METRO AREA AND WESTERN WISCONSIN. IN 2012, RHF CONTINUED RAISING MONEY FOR A CAMPAIGN TO TRANSFORM MENTAL HEALTH CARE. THIS INCLUDED MONEY FOR A NEW MENTAL HEALTH FACILITY, WHICH OPENED IN DECEMBER 2012, AS WELL AS FOR GROUNDBREAKING NEW PROGRAMS AND A CAMPAIGN TO FIGHT THE STIGMA ASSOCIATED WITH MENTAL ILLNESS. THE NEW FACILITY AND PROGRAMS WILL ALLOW REGIONS HOSPITAL TO PROVIDE STATE-OF-THE-ART CARE IN A WAY THAT HELPS PATIENTS RETAIN THEIR PRIVACY AND DIGNITY. IN 2012, RHF RAISED $13,036,034 ON BEHALF OF THIS FUNDRAISING EFFORT. THIS AMOUNT INCLUDED $200,000 FROM THE OTTO BREMER FOUNDATION FOR INREACH, A PILOT PROGRAM WITHIN SAINT PAUL'S THREE HOSPITALS (REGIONS, UNITED AND ST. JOSEPH'S) IN COLLABORATION WITH THE MENTAL HEALTH CRISIS ALLIANCE (MHCA). INREACH WILL PROVIDE AGGRESSIVE, SHORT-TERM CASE MANAGEMENT SERVICES TO UN-INSURED AND UNDER-INSURED PATIENTS WITH CHRONIC MENTAL ILLNESS WHO ARE FREQUENT USERS OF HOSPITAL CARE. IN THIS WAY, WE WILL HELP THEM ACCESS HEALTH INSURANCE, PSYCHIATRIC AND PRIMARY CARE, HOUSING AND BASIC NEEDS ASSISTANCE AND OTHER SERVICES AS THE NEXT STEP IN STABILIZING THEIR LIVES. RHF RAISES FUNDS AND ACTS AS FISCAL AGENT FOR THE MENTAL HEALTH DRUG ASSISTANCE PROGRAM (MHDAP). MHDAP ALLEVIATES OR AVERTS MANY MENTAL HEALTH CRISES IN THE EAST METRO AREA BY COVERING THE FULL COST OR CO-PAYS OF MEDICATIONS FOR UN-INSURED AND UNDER-INSURED PATIENTS WHO CANNOT AFFORD THEIR OWN MEDICATIONS. KEY SOCIAL WORKERS AND CARE PROVIDERS OF THE EAST METRO'S THREE LARGEST EMERGENCY DEPARTMENTS AND SELECT MENTAL HEALTH CLINICS ARE GIVEN THE ABILITY TO DISTRIBUTE PRESCRIPTIONS TO PATIENTS WITH SEVERE MENTAL ILLNESS WHO LACK IMMEDIATE ACCESS TO AFFORDABLE MEDICATIONS. IN 2012, RHF RECEIVED $491,333 IN DONATIONS FOR MHDAP. RHF RAISED $2,100 TO SUPPORT THE ACTIVITIES OF RHSC, INC.'S SAFE HOUSE AND SAFE ALTERNATIVES PROGRAMS. THESE PROGRAMS PROVIDE TRANSITIONAL HOUSING TO PATIENTS DISCHARGED FROM THE MENTAL HEALTH UNITS AT REGIONS HOSPITAL. SAFE HOUSE PROVIDES SERVICES TO APPROXIMATELY 60 ADULTS PER YEAR, WHILE SAFE ALTERNATIVES PROVIDES HOUSING AND SUPPORT SERVICES TO OVER 200 ADULTS WITH MENTAL AND CHEMICAL HEALTH PROBLEMS EACH YEAR. - NEUROSCIENCES. REGIONS HOSPITAL AND HEALTHPARTNERS ARE ABLE TO OFFER COMPREHENSIVE AND SEAMLESS NEUROLOGICAL CARE, FROM THE FIRST VISIT WITH A PRIMARY CARE PHYSICIAN THROUGH SURGERY AND BEYOND. AS A RESULT, REGIONS HOSPITAL AND HEALTHPARTNERS HAVE RECEIVED SEVERAL NATIONAL AWARDS FOR THE QUALITY OF ITS NEUROSCIENCES PROGRAMS, INCLUDING A HEALTHGRADES NEUROSCIENCES EXCELLENCE AWARD IN 2012. OVER THE YEARS, CHARITABLE DONATIONS HAVE PLAYED A KEY ROLE IN THESE EFFORTS. THIS INCLUDES ALZHEIMER'S AND DEMENTIA CARE AND RESEARCH PROGRAMS. IT IS RARE OUTSIDE OF ACADEMIA TO SEE THE INTEGRATION OF GROUNDBREAKING ALZHEIMER'S RESEARCH AND OPTIMAL CARE IN ONE ORGANIZATION AS YOU SEE WITHIN HEALTHPARTNERS. BY COMBINING THESE SERVICES, HEALTHPARTNERS CAN TAKE A RESEARCH CONCEPT FROM THE ALZHEIMER'S RESEARCH CENTER AT REGIONS HOSPITAL AND BRING IT INTO THE CLINICAL PRACTICE OF THE HEALTHPARTNERS NEUROSCIENCES DEPARTMENT. IN 2012, RHF RAISED $1,740,323 ON BEHALF OF ALZHEIMER'S AND DEMENTIA CARE AND RESEARCH PROGRAMS. THE ALZHEIMER'S RESEARCH CENTER IS ONE OF THE LARGEST ALZHEIMER'S RESEARCH CENTERS IN THE COUNTRY. THE CENTER CONDUCTS INTERNATIONALLY-RECOGNIZED RESEARCH THAT HAS LED TO THE DEVELOPMENT OF PROMISING NEW TREATMENTS FOR ALZHEIMER'S, PARKINSON'S, STROKE AND OTHER BRAIN DISORDERS. IN 2012, RHF RAISED $660,150 FOR A LARGE HUMAN STUDY OF INTRANASAL INSULIN, WHICH WILL INVOLVE INTERNATIONALLY RENOWNED NEUROSCIENTISTS WITHIN HEALTHPARTNERS. INVENTED BY THE ALZHEIMER'S RESEARCH CENTER, INTRANASAL INSULIN HAS BECOME ONE OF THE MOST EXCITING POTENTIAL TREATMENTS FOR ALZHEIMER'S DISEASE. RHF IS ALSO RAISING MONEY FOR A CLINICAL TRIAL USING INTRANASAL DEFEROXAMINE. IN THE CENTER'S RESEARCH, THIS TREATMENT HAS LED TO SIGNIFICANT MEMORY IMPROVEMENTS IN ANIMAL MODELS OF ALZHEIMER'S. IN ADDITION, HEALTHPARTNERS IS USING MONEY RAISED THROUGH RHF TO TEST A NEW COGNITIVE SCREENING TOOL TO FACILITATE THE EARLY IDENTIFICATION OF MEMORY DISORDERS. BY IDENTIFYING THESE DISORDERS EARLY, WE WILL GIVE FUTURE TREATMENTS A CHANCE TO SLOW OR EVEN PREVENT A PERSON'S DECLINE BEFORE SYMPTOMS GROW OUT OF CONTROL. IN MAY 2012, RHF HOSTED THE 2ND ANNUAL ALZHEIMER'S FUNDRAISING BREAKFAST, WHICH RAISES MONEY TO BENEFIT ALZHEIMER'S RESEARCH AND CARE. MORE THAN 300 COMMUNITY MEMBERS ATTENDED THE EVENT, WHICH RAISED $93,897. IN OCTOBER 2012, MORE THAN 1,000 COMMUNITY MEMBERS GATHERED FOR RHF'S 23RD ANNUAL WINE AUCTION, WHICH RAISED $709,000 TO HELP FUND A NEW PARKINSON'S AND NEUROLOGICAL MOVEMENT DISORDER CENTER. OUR NEUROSCIENCES DIVISION IS A LEADER IN PERFORMING CUTTING-EDGE PROCEDURES SUCH AS DEEP BRAIN STIMULATION FOR PARKINSON'S AND IN CONDUCTING RESEARCH INTO NEW TREATMENTS. WITH THE NEW CENTER, REGIONS HOSPITAL AND HEALTHPARTNERS WILL PROVIDE EARLIER AND MORE APPROPRIATE DIAGNOSIS, CARE AND EDUCATION TO PATIENTS AND FAMILIES. THE CENTER WILL ALSO BOLSTER OUR RESEARCH PROGRAM. - BURN CENTER. THE BURN CENTER AT REGIONS HOSPITAL SERVES PATIENTS FROM ACROSS THE MIDWEST, PROVIDING CARE AND SPECIALIZED TREATMENT FOR THERMAL, ELECTRICAL, CHEMICAL AND OTHER BURNS. THE BURN CENTER IS THE MOST COMPLETE AND EXTENSIVE FACILITY OF ITS KIND IN THE UPPER MIDWEST AND IS VERIFIED BY THE COMMITTEE ON TRAUMA OF THE AMERICAN COLLEGE OF SURGEONS AND THE AMERICAN BURN ASSOCIATION. THE BURN CENTER IS EQUIPPED WITH THE LATEST EQUIPMENT, TEMPERATURE CONTROLLED PRIVATE ROOMS, SPECIALLY DESIGNED BATHTUBS, AND A LARGE REHABILITATION DEPARTMENT. IN 2012, RHF RAISED $305,714 TO SUPPORT BURN CENTER PROGRAMS. THIS INCLUDED $51,021 FROM THE BURNAID GOLF CLASSIC, WHICH IS CO-HOSTED BY THE NATIONAL FIRE SPRINKLER ASSOCIATION - MINNESOTA CHAPTER AND RHF IN COOPERATION WITH THE STATE FIRE MARSHAL DIVISION. THE BURN CENTER IS USING A PORTION OF ITS CONTRIBUTIONS TO HELP FUND ITS RENOVATION, WHICH WILL PROVIDE PATIENTS AND VISITORS WITH A MORE WELCOMING, HEALING AND POSITIVE ENVIRONMENT. THE PROJECT INCLUDES IMPROVEMENTS TO CHILDREN'S PLAY AREAS, WAITING ROOMS AND A FAMILY CONSULTATION AND CONFERENCE ROOM AND THE ADDITION OF ARTWORK AND HALLWAY MURALS . DONATIONS ALSO FUND PROGRAMS FOR CHILDREN AND ADULTS WHO RECEIVE CARE AT REGIONS HOSPITAL'S BURN CENTER. ONE PROGRAM IS THE BURN CAMP, WHERE SCHOLARSHIPS ALLOW YOUNG PEOPLE WHO HAVE SUFFERED A BURN TO SPEND EXTENDED TIME WITH OTHER BURN VICTIMS IN AN OUTDOOR AND INFORMAL SETTING WITH COUNSELORS SPECIFICALLY TRAINED FOR DEALING WITH BURN PATIENTS. ANOTHER PROGRAM IS A BURN INJURY SUPPORT GROUP LED BY BURN CENTER STAFF, SOCIAL WORKERS AND A CHAPLAIN. APPROXIMATELY 70 PEOPLE PARTICIPATE IN THE GROUP EACH YEAR. IN 2012, RHF RECEIVED A $200,000 GRANT FROM THE MINNESOTA FAIR PLAN TO FUND THE HEAT PROGRAM, WHICH IS OVERSEEN BY REGIONS HOSPITAL'S BURN CENTER. HEAT WORKS ON MANY FRONTS IN ORDER TO REDUCE THE INJURY, DEATH AND PROPERTY LOSS THAT IS A RESULT OF JUVENILES SETTING FIRES AS WELL AS UNSAFE ENVIRONMENTS AND PRACTICES. AMONG THE PROGRAM'S EFFORTS, A TEAM OF TRAINED PROFESSIONALS PROVIDE PERSONAL FIRE SAFETY EDUCATION, MENTAL HEALTH SCREENINGS, CHILD PROTECTION REFERRALS AND REINTEGRATION ASSISTANCE TO YOUTH FIRE SETTERS AND THEIR FAMILIES. THE HEAT TEAM HAS ALSO CREATED A COMPREHENSIVE WEBSITE WITH FIRE SAFETY RESOURCES, PARTNERED WITH THE U.S. FOREST SERVICE AND THE MINNESOTA DEPARTMENT OF NATURAL RESOURCES IN AN EFFORT TO PREVENT CAMPFIRE INJURIES, AND WORKED WITH LOCAL AND REGIONAL ORGANIZATIONS TO PROVIDE EDUCATIONAL RESOURCES TO FAMILIES. REGIONS HOSPITAL IS A LEADER IN PROVIDING BURN AND INJURY PREVENTION AND OUTREACH EFFORTS THROUGHOUT THE EAST METRO AND WESTERN WISCONSIN. THE PURPOSE OF THIS WORK IS TO REDUCE THE RATES OF INJURIES AT HOME, AT SCHOOL, ON THE ROAD, AND AT PLAY. TO BETTER COORDINATE THESE EFFORTS, RESEARCH THE TRENDS WE SEE IN THE COMMUNITY AND CREATE NEW PROGRAMMING TO MEET THESE TRENDS, REGIONS HOSPITAL'S BURN CENTER AND TRAUMA CENTERS (PEDIATRIC AND ADULT) WANT TO CENTRALIZE REGIONS HOSPITAL'S BURN AND INJURY PREVENTION EFFORTS. THE NEW PROGRAM WOULD ALSO HELP MEET THE VERIFICATION REQUIREMENTS OF REGIONS HOSPITAL BURN CENTER AND REGIONS HOSPITAL'S STATUS AS A LEVEL I ADULT AND LEVEL I PEDIATRIC TRAUMA CENTER. REGIONS HOSPITAL IS USING $50,000 FROM A $100,000 CONTRIBUTION FROM THE FRED C. AND KATHERINE B. ANDERSEN FOUNDATION TO RHF TO HELP FUND THESE EFFORTS. - HIV/AIDS CLINIC. IN 1985, GHI'S HPMG INFECTIOUS DISEASE (ID) CLINIC BECAME THE FIRST DESIGNATED HIV/AIDS CLINIC PROGRAM IN MINNESOTA. USING A MULTI-DISCIPLINARY APPROACH THAT INCLUDES PHYSICIANS SPECIALIZING IN HIV, NURSES, CASE MANAGERS, AND PSYCHIATRISTS, THE ID CLINIC PROVIDES A HOLISTIC APPROACH TO CARE. THE CLINIC RECEIVES GRANTS FOR CASE MANAGEMENT SERVICES, COMPREHENSIVE PRIMARY CARE SERVICES REGARDLESS OF INCOME OR INSURANCE STATUS, TRANSPORTATION TO AND FROM MEDICAL AND SOCIAL SERVICE APPOINTMENTS AND HIV-RELATED LABORATORY SERVICES. IN 2012, RHF SECURED $321,944 IN FEDERAL GOVERNMENT GRANT FUNDING FOR THESE PROGRAMS THROUGH SUB GRANTS FROM MINNESOTA'S HENNEPIN COUNTY AND THE MINNEAPOLIS MEDICAL RESEARCH FOUNDATION. DURING THE YEAR, THE INTERNAL ADMINISTRATION OF THESE GOVERNMENT GRANTS WAS TRANSFERRED FROM RHF TO HPIER, WHICH HAS GREATER EXPERTISE WITH FEDERAL GOVERNMENT CONTRACTS. RHF ALSO RECEIVED $8,000 FROM THE HUGH J. ANDERSEN FOUNDATION AND $15,000 FROM THE SHARING AT WORK EMPLOYEE GIVING CAMPAIGN OF REGIONS HOSPITAL AND HEALTHPARTNERS FOR AN HIV/AIDS MEDICATIONS ASSISTANCE PROGRAM. - EMERGENCY CENTER. THE REGIONS HOSPITAL EMERGENCY CENTER IS A RECOGNIZED LEADER IN CRITICAL AND EMERGENCY CARE THAT PROVIDES SERVICES TO PATIENTS LIVING IN THE EAST METRO AND WESTERN WISCONSIN. IN 2012, RHF RECEIVED A $100,000 GRANT FROM THE FRED C. AND KATHERINE B. ANDERSEN FOUNDATION TO SUPPORT REGIONS HOSPITAL EMERGENCY AND CRITICAL CARE PROGRAMMING. OF THIS AMOUNT, $25,000 IS BEING USED TO RENOVATE THE EMERGENCY CENTER'S 11-BED MENTAL HEALTH CRISIS UNIT, WHICH WILL LEAD TO AN IMPROVED EXPERIENCE FOR PATIENTS, FAMILIES AND STAFF MEMBERS. DONORS CONTRIBUTED $60,817 TO RHF TO SUPPORT THE EMERGENCY MEDICINE RESIDENCY PROGRAM IN 2012. THE FUNDS ARE USED TO HELP EDUCATE THE NEXT GENERATION OF EMERGENCY MEDICINE PHYSICIANS BY FUNDING PROGRAMS SUCH AS THE PROCEDURAL SKILLS LAB AND INTERNATIONAL ROTATIONS. - EMERGENCY MEDICAL SERVICES DEPARTMENT. THE EMS DEPARTMENT ACTS AS A RESOURCE FOR COMMUNITY FIRST RESPONDER AGENCIES (AMBULANCE SERVICES, POLICE DEPARTMENTS, FIRE DEPARTMENTS, ETC.) IN THE EAST METRO AND WESTERN WISCONSIN, GIVING THEM THE TOOLS THEY NEED TO PROVIDE THE BEST CARE TO RESIDENTS AT THE POINT OF INJURY OR ILLNESS. USING $25,000 FROM THE 2012 CONTRIBUTION FROM THE FRED C. AND KATHERINE B. ANDERSEN FOUNDATION, THE EMS DEPARTMENT WILL PURCHASE VEHICLES THAT WILL ALLOW ITS STAFF MEMBERS TO EITHER DELIVER MEDICAL EDUCATION TO FIRST RESPONDERS OR PRE-HOSPITAL CARE TO PARTICIPANTS OF LARGE COMMUNITY EVENTS SUCH AS THE MINNESOTA STATE FAIR, TOUGH MUDDER AND WARRIOR DASH. - CRITICAL CARE RESEARCH CENTER (CCRC) AT REGIONS HOSPITAL. THE RHF BOARD OF DIRECTORS APPROVED THE USE OF $250,000 IN UNRESTRICTED CONTRIBUTIONS TO FUND THE CCRC FROM 2013 TO 2014. THE CCRC OVERSEES ALL CLINICAL RESEARCH CONDUCTED BY REGIONS HOSPITAL EMERGENCY MEDICAL SERVICES DEPARTMENT, EMERGENCY DEPARTMENT, SURGICAL INTENSIVE CARE UNIT, ADULT AND PEDIATRIC LEVEL I TRAUMA PROGRAMS, AND BURN CENTER. AS THE ONLY ADULT AND PEDIATRIC LEVEL I TRAUMA CENTER IN THE TWIN CITIES EAST METRO, REGIONS HOSPITAL IS COMMITTED TO OFFERING THE VERY BEST CARE TO CRITICALLY INJURED PATIENTS OF ALL AGES. AS SUCH, IT IS IMPERATIVE THAT WE CONTINUE TO IMPROVE THE CARE WE PROVIDE TO SUCH PATIENTS. THE RESEARCH PERFORMED UNDER THE CCRC'S OVERSIGHT HELPS ENSURE SUCH IMPROVEMENTS, AND RESULTS ARE SHARED NATIONALLY THROUGH RESEARCH PUBLICATIONS AND CONFERENCE PRESENTATIONS. THE CCRC CURRENTLY SUPPORTS 40 ACTIVE RESEARCH PROJECTS AMONG THE FIVE PARTICIPATING DEPARTMENTS. - HEALTH AND WELLNESS FOR DEAF AND HARD OF HEARING. HEALTH AND WELLNESS IS ONE OF THE PROGRAMS THAT GETS STATE FUNDING TO PROVIDE OUTPATIENT MENTAL HEALTH SERVICES TO DEAF AND HARD OF HEARING PEOPLE. RHF IS RESPONSIBLE FOR SECURING THOSE GOVERNMENT GRANTS AND PROVIDING APPROPRIATE STEWARDSHIP. THE HEALTH AND WELLNESS PROGRAM IS OPERATED BY REGIONS HOSPITAL AND RECEIVED GOVERNMENT GRANTS WORTH $99,158 IN 2012. THESE GRANTS FUNDED SERVICES LIKE INDIVIDUAL, COUPLE, GROUP AND FAMILY THERAPY, CONSULTATION TO OTHER PROVIDERS, AND A COMMUNITY WORKSHOP. - LINDELL AUDITORIUM - IN 2012, RHF RAISED $32,000 TO RENOVATE THE LINDELL AUDITORIUM, ONE OF REGIONS HOSPITAL'S MOST HEAVILY USED SPACES. THE LINDELL AUDITORIUM IS USED FOR CONTINUING MEDICAL EDUCATION FOR OUR PHYSICIANS, NURSES AND OTHER HEALTHCARE PROVIDERS AS WELL AS FOR LARGE LEADERSHIP STAFF MEETINGS. A MAJOR RENOVATION OF THE LINDELL AUDITORIUM WOULD BRING IT UP TO CURRENT STANDARDS OF THE AMERICANS WITH DISABILITIES ACT, INCREASE THE SEATING CAPACITY AND IMPROVE THE FUNCTIONALITY OF THE ROOM. - CANCER CARE. RHF RECEIVED $25,000 FROM THE HOPE CHEST FOR BREAST CANCER FOUNDATION AND SUSAN G. KOMEN FOR THE CURE MINNESOTA TO HELP LOW-INCOME BREAST CANCER PATIENTS MEET THEIR BASIC NEEDS. THE ANNA M. HEILMAIER CHARITABLE FOUNDATION DONATED $10,000 TO FUND A MASSAGE THERAPIST IN THE CANCER CARE CENTER. - HEALTHPARTNERS HOSPICE. HEALTHPARTNERS HOSPICE SUPPORTS PATIENTS AND THEIR LOVED ONES WHO ARE DEALING WITH A SERIOUS OR LIFE-LIMITING ILLNESS. IT ALSO HELPS FAMILY MEMBERS THROUGH THE GRIEVING PROCESS AFTER THEIR LOVED ONE HAS DIED. IN 2012, RHF SECURED $24,854 TO FUND SERVICES NOT COVERED BY EVERYDAY REVENUE, INCLUDING COMPLEMENTARY THERAPIES, A VOLUNTEER PROGRAM AND BEREAVEMENT COUNSELING. - CHARITY CARE. REGIONS HOSPITAL IS THE PRIMARY "SAFETY NET" HOSPITAL IN THE EAST METRO, PROVIDING CHARITY CARE FOR LOW-INCOME UNINSURED AND UNDERINSURED PEOPLE. IN 2012, RHF RECEIVED A $7,500 CONTRIBUTION FROM THE J. ELMER AND ESTHER HANSMAN CHARITABLE TRUST TO SUPPORT THE CHARITY CARE REGIONS HOSPITAL OFFERS TO CHILDREN. - LEVEL 1 PEDIATRIC TRAUMA CENTER. IN MAY 2009, REGIONS HOSPITAL, IN PARTNERSHIP WITH GILLETTE CHILDREN'S SPECIALTY HEALTHCARE, BECAME THE FIRST HOSPITAL IN MINNESOTA AND THE UPPER MIDWEST TO RECEIVE A LEVEL I PEDIATRIC TRAUMA CENTER DESIGNATION BY THE COLLEGE OF SURGEONS, WHICH CONFIRMS REGIONS HOSPITAL'S ABILITY TO OFFER THE VERY BEST CARE TO CRITICALLY-INJURED CHILDREN. RHF RECEIVED $5,448 IN CHARITABLE COMMITMENTS TO THE PROGRAM IN 2012. - PROJECT READ. PROJECT READ IS A VOLUNTEER-DRIVEN CHILDHOOD AND FAMILY LITERACY INITIATIVE. AS PART OF PROJECT READ, PROGRAM VOLUNTEERS READ STORIES TO CHILDREN WHO VISIT THE PEDIATRICS DEPARTMENTS IN FIVE HEALTHPARTNERS CLINICS. THESE SERVICES ACT AS AN INCENTIVE FOR CHILDREN TO READ. TO ENCOURAGE PARENTS TO READ TO THEIR CHILDREN AT HOME, CHILDREN ARE GIVEN AGE-APPROPRIATE BOOKS TO KEEP. RHF RECEIVED A $2,000 GRANT FROM TARGET FOR THE PROGRAM IN 2012. SCHOLARSHIPS RHF RAISES MONEY AND DISTRIBUTES SCHOLARSHIP FUNDS TO EMPLOYEES. SOME SPECIFIC SCHOLARSHIP PROGRAMS INCLUDE: - THE ANCKER NURSES SCHOLARSHIP FUND. GRADUATES FROM THE ANCKER HOSPITAL SCHOOL OF NURSING ESTABLISHED FUNDS TO ASSIST REGIONS HOSPITAL EMPLOYEES WHO ARE PURSUING A NURSING EDUCATION. RHF RAISED $9,265 FOR THESE FUNDS IN 2012. - THE GLORIA FOX NURSING SCHOLARSHIP FUND. THE FUND ANNUALLY AWARDS SCHOLARSHIPS TO REGIONS HOSPITAL EMPLOYEES PURSUING NURSING CAREERS. IN 2012, RHF RAISED $1,929 FOR THE FUND. EMPLOYEE GIVING IN 2012, REGIONS HOSPITAL AND GHI EMPLOYEES DONATED $481,242 TO RHF'S ANNUAL SHARING AT WORK CAMPAIGN, WHICH RAISES FUNDS FOR PATIENT CARE, RESEARCH AND MEDICAL EDUCATION. WITH A HEALTHPARTNERS MATCH, THE CAMPAIGN RAISED $990,070 . PATIENT CARE FUNDS FROM THE CAMPAIGN WERE SPLIT BETWEEN THE WISHING WELL (WHICH PROVIDES BASIC NECESSITIES AND MEDICATIONS TO NEEDY PATIENTS), DRUG ASSISTANCE PROGRAMS, A SAFE PATIENT TRANSPORTATION PROGRAM, PATIENT EDUCATION MATERIALS, THE VOLUNTEER SERVICES COFFEE CART, AND CARE IMPROVEMENT GRANTS. LAST YEAR, 49 PROGRAMS RECEIVED PATIENT CARE GRANT SUPPORT. FORM 990, PART VI, SECTION A, LINE 6 HPI-RAMSEY, A MINNESOTA NON-PROFIT CORPORATION EXEMPT FROM FEDERAL INCOME TAX UNDER IRC SECTION 501(C)(3), IS THE SOLE CORPORATE MEMBER OF RHF. FORM 990, PART VI, SECTION A, LINE 7A HPI-RAMSEY, AS THE SOLE CORPORATE MEMBER, APPOINTS THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION A, LINE 7B HPI-RAMSEY, AS THE SOLE CORPORATE MEMBER MUST APPROVE THE DECISIONS OF THE BOARD OF DIRECTORS AS FOLLOWS: - AMENDMENT OF ARTICLES OR BYLAWS - ANNUAL OPERATING AND CAPITAL BUDGETS AND LONG-RANGE PLANS - UNBUDGETED SPECIAL PROJECTS IN EXCESS OF $10,000 - GUARANTEEING THE DEBT OF ANY OTHER PERSON OR ENTITY - A LOAN OR OTHER INDEBTEDNESS IN EXCESS OF $10,000 - MERGER OR CONSOLIDATION WITH ANOTHER CORPORATION - DISPOSITION OF SUBSTANTIALLY ALL ASSETS - DISSOLUTION - ELECTION OF THE OFFICERS FORM 990, PART VI, SECTION B, LINE 11 RHF'S 990 RETURN HAS A COMPREHENSIVE REVIEW PROCESS THAT IS FOLLOWED BEFORE IT IS PRESENTED TO THE GOVERNING BODY OF RHF. THE REVIEW PROCESS INCLUDES A LAYERED REVIEW BY THE TAX DEPARTMENT OF GHI, THE MANAGEMENT TEAM OF RHF, GHI'S INTERNAL LEGAL DEPARTMENT AND RHF'S OUTSIDE INDEPENDENT ACCOUNTANTS. EACH ONE OF THOSE AREAS HAS AN OPPORTUNITY TO REVIEW, ASK QUESTIONS AND MAKE COMMENTS BACK TO THE TAX DEPARTMENT OF GHI BEFORE THE FORM 990 IS COMPLETED AND PRESENTED TO THE GOVERNING BODY OF RHF. RHF MAKES AVAILABLE TO THE GOVERNING BODY (BOARD OF DIRECTORS) A COPY OF THE 990 FOR REVIEW AND COMMENT PRIOR TO THE FILING OF THE 990 RETURN. THIS COPY IS PROVIDED IN A PRE-MEETING PACKET, AND IS AN AGENDA ITEM AT A MEETING OF THE FULL BOARD OF DIRECTORS. THIS PROCESS IS NOTED AND DOCUMENTED IN THE WRITTEN MINUTES OF THE MEETING. FORM 990, PART VI, SECTION B, LINE 12C RHF IS GOVERNED BY A BOARD OF DIRECTORS. AS REQUIRED BY THE BYLAWS OF RHF, THE BOARD MONITORS POTENTIAL CONFLICTS OF INTEREST ON THE PART OF ITS BOARD MEMBERS, OFFICERS AND KEY EMPLOYEES BY MAINTAINING A CONFLICT OF INTEREST POLICY. UNDER THE POLICY, ALL BOARD MEMBERS, PRINCIPAL OFFICERS, MEMBERS OF A COMMITTEE WITH BOARD DELEGATED POWERS AND KEY EMPLOYEES ANNUALLY ARE PROVIDED WITH A COPY OF THE POLICY AND REQUESTED TO COMPLETE A QUESTIONNAIRE IDENTIFYING ANY POTENTIAL CONFLICTS OF INTEREST. THE GENERAL COUNSEL WILL SUMMARIZE THE FINDINGS FOLLOWING REVIEW OF THE QUESTIONNAIRE AND SUBMIT A REPORT TO THE CHAIR, PRESIDENT AND THE EXECUTIVE DIRECTOR. BOARD AGENDAS AND EXECUTIVE DECISIONS ARE MONITORED IN RELATION TO THIS POLICY. FORM 990, PART VI, SECTION B, LINE 15 RHF HAS NO EMPLOYEES. ALL OFFICERS, DIRECTORS AND KEY EMPLOYEES ARE PAID BY GHI AND REGIONS HOSPITAL, RELATED ORGANIZATIONS WHICH HAVE AN ANNUAL PROCESS TO REVIEW THE MARKET COMPARABILITY OF THE TOTAL COMPENSATION OF RHF'S EXECUTIVE DIRECTOR AND ITS OTHER OFFICERS. EACH YEAR, UNDER THE DIRECTION OF THE GHI BOARD OF DIRECTORS' COMPENSATION COMMITTEE (COMPENSATION COMMITTEE), AN ANNUAL TOTAL COMPENSATION MARKET REVIEW IS COMPLETED. THE REVIEW INCLUDES ALL COMPONENTS OF COMPENSATION; BASE SALARY, ANNUAL INCENTIVES, BENEFITS AND PERQUISITES. THE MARKET SURVEY RESULTS ARE PRESENTED TO, REVIEWED BY AND APPROVED BY THE COMPENSATION COMMITTEE. THE COMPENSATION COMMITTEE'S MARKET REVIEW PROCESS AND SUBSEQUENT DECISIONS INCLUDE THE FOLLOWING ELEMENTS: - INDEPENDENT BODY - COMPENSATION COMMITTEE MEMBERS COMPLETE AN ANNUAL CONFLICT OF INTEREST SURVEY TO ASSURE THE COMPENSATION COMMITTEE MEMBERS' INDEPENDENCE - STAFF IS NOT IN ROOM DURING DELIBERATIONS OR VOTE INCLUDING EXECUTIVE SESSIONS - AUTHORIZED BODY - GHI'S BOARD OF DIRECTORS HAS DELEGATED TO THE COMPENSATION COMMITTEE THE ACCOUNTABILITY AND AUTHORITY TO REVIEW AND APPROVE THE COMPARABILITY DATA OF ALL OFFICERS - THE GHI BOARD OF DIRECTORS HAS DELEGATED TO THE COMPENSATION COMMITTEE THE ACCOUNTABILITY TO CONDUCT AN ANNUAL PERFORMANCE EVALUATION AND TO DETERMINE THE COMPENSATION OF THE EXECUTIVE DIRECTOR AND OTHER OFFICERS BASED ON THE PERFORMANCE REVIEW AND THE MARKET COMPARABILITY DATA. - COMPARABILITY DATA - EVERY THREE YEARS, THE COMPENSATION COMMITTEE RETAINS AN INDEPENDENT COMPENSATION EXPERT TO CONDUCT AN EXTENSIVE MARKET COMPARABILITY SURVEY FOR ALL OFFICERS OF THE ORGANIZATION. WITH THE INPUT OF THE CONSULTANT, THE COMPENSATION COMMITTEE DETERMINED APPROPRIATE PEER GROUPS INCLUDING BOTH LOCAL AND NATIONAL PEER GROUPS. THE SURVEY CONSIDERS EACH ELEMENT OF TOTAL COMPENSATION AND AGGREGATE TOTAL COMPENSATION. BASED ON THIS DATA, THE COMPENSATION COMMITTEE DETERMINES MINIMUM AND MAXIMUM TOTAL COMPENSATION RANGES FOR EACH OFFICER. IN INTERIM YEARS, THE GHI'S HUMAN RESOURCE DEPARTMENT, UNDER THE COMPENSATION COMMITTEE'S DIRECTION USES THE SAME RECOGNIZED THIRD PARTY SALARY SURVEYS TO DETERMINE MEDIAN SALARY STRUCTURE CHANGES AND AVERAGE SALARY INCREASES. BASED ON THIS UPDATED DATA, THE COMPENSATION COMMITTEE DETERMINES THE TOTAL COMPENSATION RANGES FOR EACH OFFICER. - THE ELEMENTS OF TOTAL COMPENSATION ARE SALARY, INCENTIVES, BENEFITS AND PERQUISITES. - PROPER CONTEMPORANEOUS DOCUMENTATION - MINUTES OF THE COMPENSATION COMMITTEE ARE PREPARED AFTER EACH MEETING AND APPROVED AT THE NEXT MEETING. - TOTAL COMPENSATION IS APPROPRIATELY REPORTED ON THE FORM 990 AND ON THE EMPLOYEE'S W-2. FORM 990, PART VI, SECTION C, LINE 19 RHF'S FINANCIAL STATEMENTS AND 990 RETURNS ARE MADE AVAILABLE TO ANY PERSON WHO REQUESTS THE INFORMATION FROM RHF OR HEALTHPARTNERS, INC. RHF'S ARTICLES OF INCORPORATION ARE AVAILABLE TO ANY PERSON WHO REQUESTS THE INFORMATION THROUGH THE MINNESOTA SECRETARY OF STATE'S OFFICE. RHF'S CONFLICT OF INTEREST POLICY THROUGH IT'S RELATED ORGANIZATIONS, HEALTHPARTNERS, INC. AND GROUP HEALTH PLAN, INC. CAN BE VIEWED THROUGH THE HEALTHPARTNERS.COM WEBSITE. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 9: NON-CASH GIFTS IN KIND -69,880. HEALTHPARTNERS INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411693838 HYBRID STAFF MODEL/NETWORK MODEL HEALTH MAINTENANCE ORGANIZATION MN 501(C)(4) N/A 1 HPI-RAMSEY 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411793333 CORPORATE PLANNING AND OVERSIGHT MN 501(C)(3) 509(A)(3) TYPE I HEALTHPARTNERS INC 1 GROUP HEALTH PLAN INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 410797853 STAFF MODEL HEALTH MAINTENANCE ORGANIZATION MN 501(C)(3) 170(B)(1) (A)(III) HEALTHPARTNERS INC 1 HEALTHPARTNERS INSTITUTE FOR EDUCATION AND RESEARCH 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411670163 HEALTHCARE EDUCATION & RESEARCH MN 501(C)(3) 509(A)(3) TYPE I GROUP HEALTH PLAN INC 1 CAPITOL VIEW TRANSITIONAL CARE CENTER 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 412011453 POST HOSPITALIZATION PATIENT CARE MN 501(C)(3) 170(B)(1) (A)(III) HPI - RAMSEY 1 REGIONS HOSPITAL 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 410956618 HOSPITAL MN 501(C)(3) 170(B)(1) (A)(III) HPI - RAMSEY 1 RHSC INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411891928 HEALTHCARE STAFFING MN 501(C)(3) 509(A)(3) TYPE II HEALTHPARTNERS INC 1 WESTFIELDS HOSPITAL INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 390808442 HOSPITAL WI 501(C)(3) 170(B)(1) (A)(III) RH-WISCONSIN 1 WESTFIELDS HOSPITAL FOUNDATION INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 391770913 PROVIDE HOSPITAL PROGRAM FINANCIAL SUPPORT WI 501(C)(3) 509(A)(3) TYPE I WESTFIELDS HOSPITAL INC 1 RH-WISCONSIN 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 202287016 CORPORATE PLANNING AND OVERSIGHT WI 501(C)(3) 509(A)(3) TYPE II HPI - RAMSEY 1 PHYSICIANS NECK AND BACK CLINICS 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 270684883 SPECIALTY PATIENT CARE MN 501(C)(3) 509(A)(3) TYPE II GROUP HEALTH PLAN INC 1 HUDSON HOSPITAL INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 390804125 HOSPITAL WI 501(C)(3) 170(B)(1) (A)(III) RH-WISCONSIN 1 HUDSON HOSPITAL FOUNDATION INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 391279567 PROVIDE HOSPITAL PROGRAM FINANCIAL SUPPORT WI 501(C)(3) 170(B)(1) (A)(VI) HUDSON HOSPITAL INC 1 WESTERN WISCONSIN EMERGENCY MEDICAL SERVICES COMPANY 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 263616590 PROVIDE MEDICAL TRANSPORT SERVICES WI 501(C)(3) 509(A)(3) TYPE II RH-WISCONSIN 1 LAKEVIEW MEMORIAL HOSPITAL FOUNDATION 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411386635 PROVIDE HOSPITAL PROGRAM FINANCIAL SUPPORT MN 501(C)(3) 509(A)(3) TYPE II STILLWATER HEALTH SYSTEM 1 LAKEVIEW MEMORIAL HOSPITAL ASSOCIATION INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 410811697 HOSPITAL MN 501(C)(3) 170(B)(1) (A)(III) STILLWATER HEALTH SYSTEM 1 ST CROIX VALLEY HEALTHCARE & RESEARCH FOUNDATION 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411923524 FOUNDATION MN 501(C)(3) PF STILLWATER HEALTH SYSTEM 1 STILLWATER MEDICAL GROUP 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 830379473 PHYSICIANS GROUP MN 501(C)(3) 509(A)(2) STILLWATER HEALTH SYSTEM 1 STILLWATER HEALTH SYSTEM 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 300221189 CORPORATE PLANNING AND OVERSIGHT MN 501(C)(3) 509(A)(3) TYPE II HPI - RAMSEY 1 RAMSEY INTEGRATED HEALTH SERVICES 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411503090 IN-HOME PATIENT CARE MN 501(C)(3) 509(A)(2) HPI - RAMSEY 1 HEALTHPARTNERS ADMINISTRATORS INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411629390 THIRD PARTY ADMINISTRATOR MN HEALTHPARTNERS INC C 1 HEALTHPARTNERS ASSOCIATES INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 522365151 MEDICAL CLINIC STAFFING AND ASSET MANAGEMENT MN HEALTHPARTNERS ADMINISTRATORS INC C 1 HEALTHPARTNERS SERVICES INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411683568 MEDICAL CLINIC STAFFING AND ASSET MANAGEMENT MN HEALTHPARTNERS ADMINISTRATORS INC C 1 HEALTHPARTNERS VENTURES INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411838197 DEVELOP HEALTHCARE BUSINESS OPPORTUNITIES MN HEALTHPARTNERS INC C 1 HEALTHPARTNERS INSURANCE COMPANY 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411683523 MEDICAL AND DENTAL INSURANCE MN HEALTHPARTNERS ADMINISTRATORS INC C 1 DENTAL SPECIALTIES INC 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 451297583 DENTAL CLINIC STAFFING MN HEALTHPARTNERS ADMINISTRATORS INC C 1 HEALTHPARTNERS CENTRAL MINNESOTA CLINICS 8170 33RD AVE S PO BOX 1309 MPLS MN 554401309 411236798 MEDICAL CLINIC STAFFING AND MANAGEMENT MN HEALTHPARTNERS ADMINISTRATORS INC C 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0