2011-05-16T10:38:27-05:00 2010-06-30 DELOITTE TAX LLP 1750 TYSONS BLVD MCLEAN VA 221024219 990 2009-07-01 521484872 GBMC Healthcare Inc GBMC 4438492000 6701 North Charles Street Baltimore MD 21204 Eric Melchior 4438492000 2011-05-14 1 7032511000 2009 2016-02-24 21:20:13Z John B Chessare MD 6701 North Charles Street Baltimore MD 21204 21479427 0 X www.gbmc.org X 1975 MD To establish, maintain, supervise, coordinate, assist and perform planning & other functions for the entities to provide health-related services of the corporation and its affiliated entities. 25 16 0 29 156276 8381 50000 50000 0 469 5 -36869699 21429422 -36819230 21479427 0 0 5832 5832 0 0 389035 420203 394867 426035 -37214097 21053392 287930018 309076217 336596 429405 287593422 308646812 See Schedule O 0 0 The provision of supervision and coordination of the activities of its affiliated entites, including Greater Baltimore Medical Center, Inc.; GBMC Investments, Inc.; GBMC Foundation, Inc.; Gilchrist Hospice Care, Inc.; GBMC Land Corp. and Ruxton Insurance Company. 1 1 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 1 0 1 0 0 0 0 0 1 1 0 0 1 0 0 0 1 1 1 BD 0 0 0 0 0 0 0 1 1 25 16 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 MD X X Eric Melchior 4438492000 6701 North Charles Street Baltimore MD 21204 X The Honorable Vicki Ballou-Watts 1.00 X 0 0 0 Mr Kennethh P Barksdale 1.00 X 0 0 0 Mrs Sandra Berman 1.00 X 0 0 0 Robert K Brookland MD 1.00 X 0 0 0 Mr Samuel Heffner 1.00 X 0 0 0 Mr Frederick M Hudson 1.00 X 0 0 0 Mr Douglas Huether 1.00 X 0 0 0 Mr Williams A Kroh 1.00 X 0 0 0 Mr Thomas H Maddux 1.00 X 0 0 0 Mr Frank R Palmer 1.00 X 0 0 0 Mrs Mary Stuart Rodgers 1.00 X 0 0 0 Mr Robert A Shelton 1.00 X 0 0 0 Mr Bernard Siegel 1.00 X 0 0 0 Howard L Siegel MD 1.00 X 0 518653 0 Mr Stuart O Simms 1.00 X 0 0 0 Ms Bonnie R Stein 1.00 X 0 0 0 Mr James B Stradtner 1.00 X 0 0 0 Mr Steven A Thomas 1.00 X 0 0 0 Ms Marion G Thompson 1.00 X 0 0 0 Ronald F Trutone Jr MD 1.00 X 0 250000 0 Mr Herbert J Belgrad 1.00 X X 0 0 0 John B Chessare MD 1.00 X X 0 0 0 Mr Charles C Fenwick Jr 1.00 X X 0 0 0 Mr Harry S Johnson 1.00 X X 0 0 0 Mr Thomas M Kane 1.00 X X 0 0 0 Mr Laurence M Merlis 1.00 X X 0 921169 215411 Ms Patricia J Mitchell 1.00 X X 0 0 0 Mr Stephen T Scott 1.00 X X 0 0 0 Harold Tucker MD 1.00 X X 0 0 0 Mrs Mary B Wieler 1.00 X X 0 0 0 John M Wogan MD 1.00 X X 0 0 0 John Saunders MD 1.00 X X 0 421351 25459 Mr Eric L Melchior 1.00 X X 0 523144 129037 Mr Keith R Poisson 1.00 X X 0 488294 104368 Rodney M Williams 1.00 X X 0 560063 127556 John W Ellis 19.00 X 0 466524 108030 Joanne Porter 1.00 X 0 341973 59182 Ms Tressa B Springmann 1.00 X 0 341762 47145 Mark R Thomas 1.00 X 0 334785 52216 George E Bayless 1.00 X 0 309190 54355 Douglas G Smith 1.00 X 0 256961 50474 Michael A Forthman 1.00 X 0 238531 41171 Ms Catherine J Boyne 1.00 X 0 258411 17716 Steve Twaddle 1.00 X 0 225097 22077 James Demopoulos 0.00 X 0 40447 1610 Wynee E Hawk 0.00 X 0 99739 0 0 6455908 1054197 0 0 1 0 0 50000 50000 5 5 Gain from Subsidiary 900099 21273146 21273146 Management Fee 561000 156276 156276 21429422 21479427 0 156276 21273151 5832 5832 12786 12786 140652 140652 1861 1861 Overhead 260004 260004 Personal Property Tax 4900 4900 426035 0 426035 0 82499 19045 91154 52080 287730091 309003237 26274 1855 287930018 309076217 101148 97149 235448 332256 336596 429405 X 250549826 267136366 20485081 24912273 16558515 16598173 287593422 308646812 287930018 309076217 X 0 1 1 X 0 X 50000 50000 50000 50000 50000 250000 50000 50000 50000 50000 50000 250000 250000 686 469 5 1160 5234 6141 3035 8028 8381 30819 281979 0.88660 0.89650 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 Investment in subsidiaries 309003237 C 309003237 Intercompany Payable 332256 332256 Part V, Line 4: Description of Intended Use of Endowment Funds: Part V, line 4: The balance sheet for GBMC Healthcare shows both temporarily and permanently restricted net assets. These amounts represent GBMC Healthcare, Inc.'s interest in the equity of its subsidiaries and not endowments owned by GBMC Healthcare, Inc. Information on the endowments of subsidiaries can be found on each subsidiaries' separate form 990. Part X: Description of Uncertain Tax Positions Under FIN 48: GBMC Healthcare, Inc., as an affiliate of GBMC Healthcare, Inc. & Subsidiaries, has accounted for uncertain tax position in accordance with FIN 48 and has determined that these positions, as a whole, are immaterial. X X X X X 1 1 0 0 0 0 0 0 0 Howard L Siegel MD 0 518653 0 0 0 0 0 0 0 0 0 518653 0 0 Ronald F Trutone Jr MD 0 250000 0 0 0 0 0 0 0 0 0 250000 0 0 Mr Laurence M Merlis 0 630950 0 204795 0 85424 0 198988 0 16423 0 1136580 0 0 John Saunders MD 0 407851 0 0 0 13500 0 10197 0 15262 0 446810 0 0 Mr Eric L Melchior 0 368961 0 98771 0 55412 0 111779 0 17258 0 652181 0 0 Mr Keith R Poisson 0 335850 0 101280 0 51164 0 81481 0 22887 0 592662 0 0 Rodney M Williams 0 388966 0 107888 0 63209 0 106900 0 20656 0 687619 0 3069 John W Ellis 0 341288 0 93085 0 32151 0 92036 0 15994 0 574554 0 23587 Joanne Porter 0 237000 0 57791 0 47182 0 47427 0 11755 0 401155 0 9044 Ms Tressa B Springmann 0 252295 0 66588 0 22879 0 38123 0 9022 0 388907 0 19134 Mark R Thomas 0 251960 0 53899 0 28926 0 32006 0 20210 0 387001 0 2081 George E Bayless 0 204587 0 77832 0 26771 0 32790 0 21565 0 363545 0 38895 Douglas G Smith 0 198625 0 26477 0 31859 0 25456 0 25018 0 307435 0 7077 Michael A Forthman 0 182714 0 45681 0 10136 0 20163 0 21008 0 279702 0 14794 Ms Catherine J Boyne 0 189366 0 52411 0 16634 0 12881 0 4835 0 276127 0 16411 Steve Twaddle 0 149559 0 2856 0 72682 0 4191 0 17886 0 247174 0 2856 Part I, Line 4a Mr. Steve Twaddle received severance payments totaling $54,600 during the year. Part I, Line 4b: The following individuals participate in a non-qualified supplemental retirement plan. This plan was approved by the compensation committee of the GBMC Healthcare Board of Directors to supplement the executive's retirement income. The supplemental retirement plan was developed based on an independent consultant report on market-based practices for supplemental retirement plans. The percentage of final average pay, the requirements for vesting, participants, and pay-out provisions were established, reviewed, and approved by the compensation committee. The contributions to the supplemental non-qualified retirement plan are included in Schedule J, Part II, column C as part of deferred compensation or in Schedule J, Part II, column B (III) as part of deferred compensation. Mr. Laurence M. Merlis - $ 181,512 Earned, $0 Paid Mr. Eric L. Melchior - $97,112 Earned, $0 Paid Mr. George E. Bayless- $21,632 Earned, $38,895 Paid Mr. Douglas Smith- $15,208 Earned, $7,077 Paid Mr. Keith R. Possion $67,025 Earned, $0 Paid Rodney M. Williams, M.D. $100,000 Earned, $3,069 Paid Mr. John W. Ellis $82,733 Earned, $23,587 Paid Mr. Joanne Porter $35,418 Earned, $9,044 Paid Mr. Tressa B. Springmann $23,655 Earned, $19,134 Paid Mr. Mark R. Thomas $20,015 Earned, $2,081 Paid Mr. Michael A. Forthman $10,027 Earned, $14,794 Paid Mr. Catherine J. Boyne $0 Earned, $16,411 Paid Mr. Steve Twaddle $0 Earned, $2,856 Paid Howard Siegel Board Member 140652 See Sch O 0 Form 990, Part VI, Section B, line 11 The Audit Committee of GBMC Healthcare, Inc. reviews this Form 990. A copy of the Form 990 is provided to the full Board of Directors of GBMC Healthcare, Inc. for final approval prior to filing. Form 990, Part VI, Section B, line 12c Annually, every board member, physician, advanced practitioner and manager (which includes key employees) must complete a comprehensive questionnaire that provides for the disclosure of potential conflicts. All disclosures are reviewed by the compliance officer. Those disclosures that are questionable or may rise to the level of a conflict are discussed with the Chief Legal Officer and appropriate action is taken, if necessary. A summary of disclosures is provided to the audit committee (for management) and to the governance committee (for board members) annually. Form 990, Part VI, Section B, line 15 GBMC Healthcare's President and Key Employees are compensated by its controlled tax - exempt subsidiary, GBMC Inc., but compensation is determined by a GBMC Healthcare subcommittee of the board of directors. The compensation committee of the board of directors is chartered with the responsibility to assure GBMC pays competitive salaries to the executives. The approach that is taken is based on current market "best practices" for non-profit organizations. The committee meets at least 6 times annually to review and discuss executive's salaries and benefits. The steps taken are as follows: 1) An independent executive compensation consultant was selected based on an RFP process and face to face interviews were conducted 2) Once selected, the compensation consultant compiled, independently, salary survey data of similar size organizations from throughout the country 3) The survey data is presented to the compensation committee with all the national survey data; various surveys are categorized by size of organization, academic and non-academic, system and community-based hospitals 4) The data is categorized by executive position, and a salary range is recommended by the compensation consultant 5)Base salary of an individual executive is based on survey results, years of experience, and performance 6) A recommendation is made to the compensation committee by the CEO for salary rates for the Vice Presidents 7) The compensation committee either accepts or modifies the recommendation from the CEO for base salary adjustments 8) The compensation committee determines the salary adjustment for the CEO based on national salary survey data, years of experience, and performance 9) The incentive bonus is determined based on actual results compared with the plan document and recommendation is made to the compensation committee for approval or modification 10) The amount of the bonus is determined by the criteria stated in the incentive plan document and is also based on current market practices from national surveys 11) Survey of executive benefits is also reviewed by the compensation consultants to assure reasonableness 12) The compensation consultant provides a written document on the reasonableness of the salaries being paid 13) The board of directors reviews and approves the decisions of the compensation committee Form 990, Part VI, Section C, line 19 The governing documents are located on the State of Maryland Department of Taxation's website. Financial Statements are made public through the State of Maryland Charitable Registration. Financial Statements for GBMC Healthcare, Inc. are also available through the Electronic Municipal Market Access (EMMA) website via the Continuing Disclosure document. The Conflict of Interest policy is not available to the public. Form 990, Part VII, Section A: During the fiscal year, these individuals devoted the following estimated hours each week to a related organization: The Honorable Vicki Ballou-Watts: 2 Mr. Kennethh P. Barksdale: 2 Mr. Herbert J. Belgrad: 2 Mrs. Sandra Berman: 2 Robert K. Brookland, M.D.: 3 John B. Chessare, M.D.: 39 Mr. Charles C. Fenwick, Jr.: 2 Mr. Samuel Heffner: 2 Mr. Frederick M. Hudson: 2 Mr. Douglas Huether: 3 Mr. Larry S. Johnson: 2 Mr. Thomas M. Kane: 2 Mr. Williams A. Kroh: 2 Mr. Thomas H. Maddux: 2 Mr. Laurence M. Merlis: 39 Ms. Patricia J. Mitchell: 2 Mr. Frank R. Plamer: 2 Mrs. Mary Stuart Rodgers: 2 Mr. Stephen T. Scott: 2 Mr. Robert A. Shelton: 2 Mr. Bernard Siegel: 2 Howard L. Siegel, M.D.: 2 Mr. Stuart O. Simms: 2 Ms. Bonnie R. Stein: 2 Mr. James B. Stradtner: 4 Mr. Steven A. Thomas: 2 Ms. Marion G. Thompson: 2 Harold Tucker, M.D.: 2 Ronald F. Trutone, Jr., M.D.: 6 Mrs. Mary B. Wieler: 2 John M. Wogan, M.D.: 2 John Saunders, M.D.: 39 Mr. Eric L. Melchior: 39 Mr. Keith R. Poisson: 39 Mr. Rodney M. Williams: 39 Mr. John W. Ellis: 21 Ms. Joanne Porter: 39 Ms. Tressa B. Springman: 39 Mr. Mark R. Thomas: 39 Mr. George E. Bayless: 39 Mr. Douglas G. Smith: 39 Mr. Michael A. Forthman: 1 Ms. Catherine J. Boyne: 39 Mr. Steve Twaddle: 39 Form 990, Part III, Line 1 Description of Organization Mission: GBMC Healthcare, Inc. is organized and operated exclusively as a nonprofit charitable organization within the meaning of section 501(c)(3) of the code for the following purposes: (1) To establish, maintain, supervise, coordinate, assist and perform planning and other functions for entities to provide health-related services or to carry out the charitable, educational, health care, and scientific purposes of the corporation and its affiliated entities including but not limited to Greater Baltimore Medical Center, a hospital corporation described under section 501(c)(3) and exempt from tax under section 501(a) of the code, and other entities which may further the charitable, educational, health care and other purposes of the corporation. (2) To provide supervision and coordination of the activities of affiliated entities, including but not limited to Greater Baltimore Medical Center, Inc.; GBMC Investments, Inc.; GBMC Foundation, Inc.; Ruxton Insurance Company, Ltd.; GBMC Land Corporation; and Gilchrist Hospice Care, Inc. (3) To consider and establish long and short range planning activities for the corporation and its affiliated entities. (4) To raise funds for the benefit of charitable, scientific, health care and educational activities and functions of the corporation and its affiliated entities. (5) To consult with the appropriate officers of the affiliated entities to promote cooperation among them in order to further the charitable, educational, and scientific activities and functions of those entities. (6) To have and to exercise to the extent necessary or desirable for the accomplishment of any of the aforesaid purposes, and to the extent that they are not inconsistent with the charitable purposes of the corporation and the limitations imposed by section 501(c)(3) of the code, any and all powers conferred upon corporation by the Maryland General Corporation law. Sch L, Part IV, Business Transactions Involving Interested Persons: (a) Name of Person: Howard Siegel (b) Relationship Between Interested Person and Organization: Partner is member of Board (d) Description of Transaction: Pathology Services Greater Baltimore Medical Center Inc 6701 North Charles Street Baltimore MD 21204 526049658 Healthcare MD 501(c)(3) Line 3: 170(b)(1)(a) GBMC Healthcare GBMC Foundation Inc 6701 North Charles Street Baltimore MD 21204 521411935 Fundraising MD 501(c)(3) Line 7: 170(b)(1)(a) GBMC Healthcare Gilchrist Hospice Care Inc 555 W Towsontown Blvd Baltimore MD 21204 521851251 Hospice Services MD 501(c)(3) Line 3: 170(b)(1)(a) GBMC Healthcare GBMC Investments Inc 6701 North Charles Street Baltimore MD 21204 521040300 Investment Management MD 501(c)(3) Line 11, Type II: 50 GBMC Healthcare Diversified Health Enterprises Inc 6701 North Charles Street Baltimore MD 21204 521725005 Health Services MD 501(c)(3) Line 11, Type II: 50 GBMC Healthcare Diversified Nurses Inc 6701 North Charles Street Baltimore MD 21204 521305904 Nursing Services MD 501(c)(3) Line 9: 509(a)(2) GBMC Healthcare Diversified Health Services Inc 6701 North Charles Street Baltimore MD 21204 521331993 Health Services MD 501(c)(3) Line 9: 509(a)(2) GBMC Healthcare GBMC Land Inc 6701 North Charles Street Baltimore MD 21204 521413360 Real Estate Property MD 501(c)(3) Line 11, Type I: 509 GBMC Healthcare GBMC Medical Arts LP 6701 North Charles Street Baltimore MD 21204 521412751 Real Estate Mgmt MD N/A 0 0 GBMC Medical Arts Pavilion West LP 6701 North Charles Street Baltimore MD 21204 521899034 Real Estate Mgmt MD N/A 0 0 Greater Baltimore Diagnostic Imaging Partnership 6701 North Charles Street Baltimore MD 21204 521561640 Imaging Services MD N/A 0 0 GBMC Agency Inc 6701 North Charles Street Baltimore MD 21204 521411931 Investments MD GBMC Investments C -11443107 23515505 1.00000 GBMC Management Inc 6701 North Charles Street Baltimore MD 21204 521411974 Management Company MD GBMC Agency C 5328 823138 1.00000 GBMC Finance Corporation 6701 North Charles Street Baltimore MD 21204 521863069 Financing Agent MD GBMC Agency C 1.00000 GBMC Finance Corporation II 6701 North Charles Street Baltimore MD 21204 521836142 Financing Agent MD GBMC Agency C 1.00000 GBMC Finance Corporation III 6701 North Charles Street Baltimore MD 21204 521836144 Financing Agent MD GBMC Agency C 1.00000 Ruxton Insurance Company LTD Cedar Hour 41 Cedar Avenue HM EX Hamilton BD 980413102 Insurance Captive BD N/A C 5124833 42070542 1.00000 GBMD Inc 6701 North Charles Street Baltimore MD 21204 521914558 Healthcare MD N/A C 0 0 1 0 0 0 0 0 0 0 0 1 1 1 1 1 0 0 Greater Baltimore Medical Center Inc L 260004