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Nonprofiteer
← HARNETT HEALTH SYSTEM INC

Form 990 for tax year 2022

Filed by HARNETT HEALTH SYSTEM INC.

Totals

Total revenue
$130,545,965
Total expenses
$129,542,076
Contributions and grants received
$12,678,645
Grants paid
$0
Program service revenue
$117,304,766
Investment income
$413,351
Other revenue
$149,203
Total assets, end of year
$156,656,749
Total liabilities, end of year
$144,217,188
Net assets or fund balances, end of year
$12,439,561
Program services expenses (Part IX)
$119,227,767
Management and general expenses
$10,314,309
Fundraising expenses
$0
Program service expenses (Part III)
$119,227,767

Program services were 92.0% of total expenses calculated — Part IX's program-services column over total expenses, both as filed.

Line items

Every line the filer filed in Parts VIII, IX and X, as filed and in filed order. Blank columns are left out, and the lines are not forced to add up to the totals above.

Revenue

Part VIII, the statement of revenue.

  • 1e · Government grants (contributions)

    $6,579,519

  • 1f · All other contributions, gifts and grants

    $6,099,126

  • 1g · Noncash contributions included above

    $5,790,000

  • 2a · Program service revenue: NET PATIENT SERVICE REVENUE

    total $114,403,153 · related or exempt $114,403,153

  • 2b · Program service revenue: NON-PATIENT REVENUE

    total $2,901,613 · related or exempt $2,901,613

  • 3 · Investment income

    total $413,351 · excluded $413,351

  • 6a · Gross rents

    real property $149,203

  • 6b · Less rental expenses

    real property $0

  • 6c · Rental income or loss

    real property $149,203

  • 6d · Net rental income or loss

    total $149,203 · excluded $149,203

Functional expenses

Part IX, the statement of functional expenses.

  • 5 · Compensation of officers, directors and key employees

    total $218,992 · program services $186,143 · management and general $32,849

  • 7 · Other salaries and wages

    total $57,192,277 · program services $48,613,435 · management and general $8,578,842

  • 9 · Other employee benefits

    total $9,048,553 · program services $7,691,270 · management and general $1,357,283

  • 10 · Payroll taxes

    total $2,302,234 · program services $1,956,899 · management and general $345,335

  • 11g · Fees: other

    total $18,793,671 · program services $18,793,671

  • 13 · Office expenses

    total $1,935,170 · program services $1,935,170

  • 17 · Travel

    total $69,363 · program services $69,363

  • 20 · Interest

    total $2,631,138 · program services $2,631,138

  • 22 · Depreciation, depletion and amortization

    total $7,726,734 · program services $7,726,734

  • 24a · Other expenses: MEDICAL SUPPLIES

    total $15,338,500 · program services $15,338,500

  • 24b · Other expenses: OTHER SERVICES

    total $7,666,657 · program services $7,666,657

  • 24c · Other expenses: PURCHASED SERVICES

    total $6,212,692 · program services $6,212,692

  • 24e · All other expenses

    total $406,095 · program services $406,095

Balance sheet

Part X, book values.

  • 1 · Cash, non-interest-bearing

    beginning of year $2,988,700 · end of year $10,136,957

  • 2 · Savings and temporary cash investments

    beginning of year $4,245,255 · end of year $6,004,964

  • 4 · Accounts receivable

    beginning of year $19,696,422 · end of year $31,000,870

  • 7 · Other notes and loans receivable

    beginning of year $2,238

  • 8 · Inventories for sale or use

    beginning of year $2,612,115 · end of year $2,207,563

  • 9 · Prepaid expenses and deferred charges

    beginning of year $716,690 · end of year $385,658

  • 10a · Land, buildings and equipment: cost or other basis

    $167,434,418

  • 10b · Land, buildings and equipment: accumulated depreciation

    $101,060,555

  • 10c · Land, buildings and equipment, net

    beginning of year $60,401,622 · end of year $66,373,863

  • 12 · Investments: other securities

    beginning of year $5,705,410 · end of year $5,934,030

  • 15 · Other assets

    beginning of year $11,699,595 · end of year $34,612,844

  • 17 · Accounts payable and accrued expenses

    beginning of year $14,489,147 · end of year $15,914,575

  • 19 · Deferred revenue

    beginning of year $192,667 · end of year $865,611

  • 23 · Secured mortgages and notes payable

    beginning of year $70,905,405 · end of year $71,307,388

  • 25 · Other liabilities

    beginning of year $11,045,156 · end of year $56,129,614

  • 27 · Net assets without donor restrictions

    beginning of year $5,730,262 · end of year $6,505,531

  • 28 · Net assets with donor restrictions

    beginning of year $5,705,410 · end of year $5,934,030

Mission and programs · 2022

Mission

HARNETT HEALTH IS DEDICATED TO PROVIDING QUALITY AND PERSONALIZED CARE WITH RESPECT AND COMPASSION AND ARE COMMITTED TO MAKING A DIFFERENCE THROUGHOUT OUR COMMUNITIES WITH SERVICE EXCELLENCE.

Activities or mission (Part I)

HARNETT HEALTH IS COMMITTED TO PROVIDING QUALITY HEALTHCARE TO THE RESIDENTS OF HARNETT COUNTY AND SURROUNDING COMMUNITIES. WE ARE A PRIVATE, NOT-FOR-PROFIT HEALTHCARE ORGANIZATION BASED IN HARNETT COUNTY, N.C.

  • AS PART OF MEETING HEALTH CARE NEEDS OF THE SERVICE AREA, HHS, INC. ADMITTED 5,135 PATIENTS, PROVIDING 23,739 PATIENT DAYS OF CARE, HAD 51,128 EMERGENCY ROOM VISITS AND HAD OVER 55,000 OUTPATIENT VISITS FOR OTHER SERVICES.

    Expenses $119,227,767 · Revenue $117,304,766

As filed on the 2022 return.

Listed in Part VII

  • Walter Massey

    CHAIRMAN

    Total calculated
    $0
    Hours/week
    4

  • Gene Lewis

    TREASURER

    Total calculated
    $0
    Hours/week
    2

  • Neil Emory

    VICE CHAIRMAN

    Total calculated
    $0
    Hours/week
    2

  • Terrill Brown Dpm

    BOARD MEMBER

    Total calculated
    $0
    Hours/week
    2

  • Eric Truesdale

    SECRETARY

    Total calculated
    $0
    Hours/week
    2

  • Teddy Byrd

    BOARD MEMBER

    Total calculated
    $0
    Hours/week
    2

  • Townsend Quinn

    BOARD MEMBER

    Total calculated
    $0
    Hours/week
    2

  • Michael Nagowski

    CEO

    Total calculated
    $1,906,151
    From this org
    $0
    From related orgs
    $1,885,915
    Other
    $20,236
    Hours/week
    1 + 55 related

    Schedule J breakdown matched by us

    Base
    $0 + $1,069,997 related
    Bonus
    $0 + $814,230 related
    Other
    $0 + $1,688 related
    Deferred
    $0 + $9,150 related
    Nontaxable benefits
    $0 + $11,086 related
    Filer's total
    $0 + $1,906,151 related

  • Bret Johnson

    CFO - CFVH

    Total calculated
    $660,784
    From this org
    $0
    From related orgs
    $642,246
    Other
    $18,538
    Hours/week
    1 + 55 related

    Schedule J breakdown matched by us

    Base
    $0 + $550,603 related
    Bonus
    $0 + $83,417 related
    Other
    $0 + $8,226 related
    Deferred
    $0 + $9,150 related
    Nontaxable benefits
    $0 + $9,388 related
    Filer's total
    $0 + $660,784 related

  • Cory Hess

    VP

    Total calculated
    $402,607
    From this org
    $0
    From related orgs
    $384,492
    Other
    $18,115
    Hours/week
    55

    Schedule J breakdown matched by us

    Base
    $0 + $342,022 related
    Bonus
    $0 + $42,470 related
    Other
    $0
    Deferred
    $0 + $9,150 related
    Nontaxable benefits
    $0 + $8,965 related
    Filer's total
    $0 + $402,607 related

  • Jessica Lang

    CFO - HARNETT

    Total calculated
    $209,265
    From this org
    $0
    From related orgs
    $198,723
    Other
    $10,542
    Hours/week
    55

    Schedule J breakdown matched by us

    Base
    $0 + $155,355 related
    Bonus
    $0 + $41,310 related
    Other
    $0 + $2,058 related
    Deferred
    $0 + $4,661 related
    Nontaxable benefits
    $0 + $5,881 related
    Filer's total
    $0 + $209,265 related

  • Olalekan Folarin MD

    MEDICAL DIRECTOR

    Total calculated
    $249,201
    From this org
    $0
    From related orgs
    $235,055
    Other
    $14,146
    Hours/week
    55

    Schedule J breakdown matched by us

    Base
    $0 + $169,792 related
    Bonus
    $0
    Other
    $0 + $65,263 related
    Deferred
    $0 + $6,090 related
    Nontaxable benefits
    $0 + $8,056 related
    Filer's total
    $0 + $249,201 related

  • Daniel Weatherly

    COO

    Total calculated
    $745,052
    From this org
    $0
    From related orgs
    $725,131
    Other
    $19,921
    Hours/week
    1 + 55 related

    Schedule J breakdown matched by us

    Base
    $0 + $617,616 related
    Bonus
    $0 + $107,515 related
    Other
    $0
    Deferred
    $0 + $9,150 related
    Nontaxable benefits
    $0 + $10,771 related
    Filer's total
    $0 + $745,052 related

  • Deborah Washburn

    CNO

    Total calculated
    $407,600
    From this org
    $0
    From related orgs
    $389,056
    Other
    $18,544
    Hours/week
    1 + 55 related

    Schedule J breakdown matched by us

    Base
    $0 + $337,468 related
    Bonus
    $0 + $48,892 related
    Other
    $0 + $2,696 related
    Deferred
    $0 + $9,150 related
    Nontaxable benefits
    $0 + $9,394 related
    Filer's total
    $0 + $407,600 related

  • Philip Wood Jr

    CIO

    Total calculated
    $544,661
    From this org
    $0
    From related orgs
    $526,305
    Other
    $18,356
    Hours/week
    1 + 55 related

    Schedule J breakdown matched by us

    Base
    $0 + $391,045 related
    Bonus
    $0 + $129,285 related
    Other
    $0 + $5,975 related
    Deferred
    $0 + $9,150 related
    Nontaxable benefits
    $0 + $9,206 related
    Filer's total
    $0 + $544,661 related

Compensation is as filed in Part VII: reportable pay from this organization and from related organizations, other compensation, and hours per week. The total, marked calculated, is our sum of the three dollar columns, with a blank column counted as $0; the form itself has no total. On a Form 990-EZ the columns are Part IV's instead, and on a Form 990-PF Part VIII's — compensation, contributions to benefit plans, and expense account — and the total sums those. A Schedule J breakdown is as filed: base pay, bonus, other, deferred compensation and nontaxable benefits from this organization, with any from related organizations beside each, and the filer's own total. It is shown with the Part VII listing of the same name on the same return. The form gives no key between the two, so that pairing is ours, and is marked matched by us.

Schedule J

Answered yes

None.

Answered no

  • 4a · Severance or change-of-control payment
  • 4b · Supplemental nonqualified retirement plan
  • 4c · Equity-based compensation arrangement
  • 5a · Pay contingent on this organization's revenues
  • 5b · Pay contingent on a related organization's revenues
  • 6a · Pay contingent on this organization's net earnings
  • 6b · Pay contingent on a related organization's net earnings
  • 7 · Other non-fixed payments
  • 8 · Paid under the initial-contract exception

The filer's explanations (Part III)

PART I, LINE 3
EXECUTIVE SALARIES ARE DETERMINED BY A MARKET ANALYSIS INVOLVING COMPARABILITY DATA, INDUSTRY STANDARDS, AND LOCAL ECONOMICS. THE CEO'S SALARY IS A CONDITION OF THE MANAGEMENT AGREEMENT BETWEEN THE BOARD OF DIRECTORS AND CAPE FEAR. THE BOARD HAS INDIRECT APPROVAL OVER THE COMPENSATION PAID TO THE CEO THROUGH THIS AGREEMENT, AND HAS APPROVAL OVER ANY ADDITIONAL AMOUNTS AND INCREASES. CAPE FEAR PREPARES A COMPENSATION STUDY FOR OFFICERS AND KEY EMPLOYEES EXCLUDING THE CEO AND MAKES THE RECOMMENDATIONS TO THE CEO OF HARNETT HEALTH SYSTEM. THOSE RECOMMENDATIONS, INCLUDING ANY AMOUNTS ALLOCATED FOR RAISES AND INCENTIVES, ARE INCLUDED IN THE ANNUAL BUDGET PROCESS WHICH IS APPROVED BY THE FINANCE COMMITIEE OF THE BOARD.

Part I's answers as filed. A line not listed was left unanswered; on lines 1a and 3 that means the box was not checked.

Grants on this return

No itemized grants to organizations on this return.

Related organizations on this return

Schedule R Part II: tax-exempt organizations related to the filer by control. It does not record shared board members or money.

Taxable family on this return

Schedule R Parts I, III and IV, as filed. These record ownership and control, not shared board members or money moved.

Disregarded entities

Part I: entities that legally are the filer and file no return of their own.

  • ANGIER MEDICAL SERVICES LLC

    PRIMARY CARE PROVIDER · NC · income $888,525 · assets $605,573

    Directly controlled by HARNETT HEALTH SYSTEM

  • COATS MEDICAL SERVICES LLC

    PRIMARY CARE PROVIDER · NC · income $973,464 · assets $156,480

    Directly controlled by HARNETT HEALTH SYSTEM

  • DUNN MEDICAL SERVICES LLC

    PRIMARY CARE PROVIDER · NC · income $835,459 · assets $339,850

    Directly controlled by HARNETT HEALTH SYSTEM

  • HARNETT OBGYN LLC

    OBSTETRICS/GYNECOLOGY SERVICES · NC · income $894,267 · assets $171,821

    Directly controlled by HARNETT HEALTH SYSTEM

  • LILLINGTON MEDICAL SERVICES LLC

    INTERNAL MEDICINE, INFECTIOUS DISEASE, AND GYNECOLOGY · NC · income $1,233,862 · assets $352,849

    Directly controlled by HARNETT HEALTH SYSTEM

Assets distributed on this return

Schedule N, as filed: what the organization did with its assets when it liquidated or dissolved, or disposed of more than a quarter of them, and who received them. A recipient with an EIN is usually a successor organization; filers also list expenses such as legal fees here.

Provenance

Return type
form_990
Tax year
2022
Filed
6 February 2025
IRS schema version
2022v5.0
Source object
202530449349301223

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