Form 990 for tax year 2022

Revenue

Part VIII, the statement of revenue.

• 1e · Government grants (contributions)

  $3,074,929

• 1f · All other contributions, gifts and grants

  $375,599

• 2a · Program service revenue: PATIENT SERVICES

  total $57,312,863 · related or exempt $57,312,863

• 3 · Investment income

  total $11,554 · excluded $11,554

Functional expenses

Part IX, the statement of functional expenses.

• 5 · Compensation of officers, directors and key employees

  total $703,718 · management and general $703,718

• 7 · Other salaries and wages

  total $24,115,296 · program services $19,819,214 · management and general $4,128,221 · fundraising $167,861

• 8 · Pension plan contributions

  total $554,056 · program services $489,057 · management and general $57,797 · fundraising $7,202

• 9 · Other employee benefits

  total $1,537,252 · program services $1,220,367 · management and general $307,973 · fundraising $8,912

• 10 · Payroll taxes

  total $1,827,022 · program services $1,461,757 · management and general $353,673 · fundraising $11,592

• 11a · Fees: management

  total $31,056 · program services $31,056

• 11b · Fees: legal

  total $156,117 · management and general $156,117

• 11d · Fees: lobbying

  total $15,000 · management and general $15,000

• 11g · Fees: other

  total $14,591,580 · program services $12,985,767 · management and general $1,605,813

• 12 · Advertising and promotion

  total $522,615 · program services $45 · management and general $522,570

• 13 · Office expenses

  total $373,086 · program services $228,406 · management and general $144,677 · fundraising $3

• 14 · Information technology

  total $984,817 · program services $738,613 · management and general $246,204

• 16 · Occupancy

  total $2,865,051 · program services $1,255,139 · management and general $1,609,413 · fundraising $499

• 17 · Travel

  total $186,365 · program services $97,085 · management and general $89,034 · fundraising $246

• 19 · Conferences, conventions and meetings

  total $34,818 · program services $3,816 · management and general $31,002

• 20 · Interest

  total $267,638 · management and general $267,638

• 22 · Depreciation, depletion and amortization

  total $1,740,552 · program services $1,425,336 · management and general $315,216

• 23 · Insurance

  total $1,534,494 · program services $390,889 · management and general $1,143,605

• 24a · Other expenses: MEDICAL SUPPLIES

  total $5,799,221 · program services $5,799,221

• 24b · Other expenses: COLLECTION FEES/LICENSE

  total $2,751,567 · program services $246,782 · management and general $2,504,785

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $77,190 · end of year $139,545

• 2 · Savings and temporary cash investments

  beginning of year $3,474,695 · end of year $3,543,120

• 3 · Pledges and grants receivable

  beginning of year $1,666 · end of year $1,012

• 4 · Accounts receivable

  beginning of year $5,861,700 · end of year $3,743,339

• 7 · Other notes and loans receivable

  beginning of year $490,184 · end of year $2,027,258

• 8 · Inventories for sale or use

  beginning of year $766,376 · end of year $1,149,713

• 9 · Prepaid expenses and deferred charges

  beginning of year $139,078 · end of year $259,748

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

  $29,705,913

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

  $3,670,903

• 10c · Land, buildings and equipment, net

  beginning of year $24,563,007 · end of year $26,035,010

• 11 · Investments: publicly traded securities

  beginning of year $96,263 · end of year $104,767

• 15 · Other assets

  beginning of year $4,295,820 · end of year $22,293,069

• 17 · Accounts payable and accrued expenses

  beginning of year $10,815,141 · end of year $16,623,325

• 19 · Deferred revenue

  end of year $14,805

• 23 · Secured mortgages and notes payable

  beginning of year $13,805,635 · end of year $5,737,608

• 25 · Other liabilities

  beginning of year $2,764,560 · end of year $24,356,577

• 27 · Net assets without donor restrictions

  beginning of year $12,096,628 · end of year $12,196,910

• 28 · Net assets with donor restrictions

  beginning of year $284,015 · end of year $367,356

The filer's explanations (Part III)

PART I, LINE 3

PAY PRACTICE: ADVENTIST HEALTHCARE UTILIZES A SINGLE EMPLOYER ID FOR ALL ITS AFFILIATED ENTITIES FOR EMPLOYMENT PURPOSES. AS SUCH, ACTUAL COMPENSATION AND BENEFITS ARE CHARGED TO THE RESPECTIVE ENTITIES AND THE RESULTING COMPENSATION AND BENEFITS ARE REPORTED ON EACH AFFILIATE IRS FORM 990 AS IF PAID DIRECTLY BY SUCH AFFILIATE. AS APPLICABLE, THE SAME AND NON-ADDITIVE COMPENSATION AND EMPLOYMENT BENEFIT PLAN CONTRIBUTION AMOUNTS WERE ALSO DISCLOSED IN THE ADVENTIST HEALTHCARE INC. RELATED ENTITIES' RETURNS. INDEPENDENT GUIDELINES: WHEN SETTING COMPENSATION FOR THE OFFICERS, DIRECTORS, TRUSTEES, KEY EMPLOYEES, AND THE HIGHEST COMPENSATED EMPLOYEES, ADVENTIST HEALTHCARE FULLY COMPLIES WITH THE PROCEDURAL SAFEGUARDS EMBODIED IN IRS REGULATIONS. COMPENSATION FOR ADVENTIST HEALTHCARE OFFICERS, DIRECTORS, TRUSTEES, KEY EMPLOYEES, AND THE HIGHEST COMPENSATED EMPLOYEES IS ENTIRELY SET BY A COMMITTEE OF ADVENTIST HEALTHCARE BOARD OF TRUSTEES. IN SETTING COMPENSATION, THE GOVERNING BOARD COMMITTEE RELIES UPON MARKET COMPARABILITY DATA PROVIDED BY AN INDEPENDENT OUTSIDE COMPENSATION CONSULTANT WHO PROVIDES A SUMMARY OF HEALTH CARE SALARIES AND BENEFITS FOR COMPARABLE SIZED ORGANIZATIONS BOTH NATIONALLY AND IN THE BALTIMORE-WASHINGTON REGION. TO FURTHER ENSURE REASONABLENESS, BOTH COMPENSATION AND BENEFITS ARE TARGETED AT THE 50TH PERCENTILE (OR MEDIAN) OF THE MARKET.

PART I, LINE 4B

CERTAIN EMPLOYEES RECEIVED COMPENSATION FROM A DISTRIBUTION UNDER AN EXECUTIVE RETENTION 457F PLAN, WHICH BECAME EFFECTIVE ON JANUARY 1, 2015. PRE-TAX CONTRIBUTIONS ARE ACCUMULATED ANNUALLY AND ARE DISTRIBUTED ON JANUARY 1ST OF THE 2ND YEAR, IF STILL EMPLOYED, OR SOONER BASED ON CERTAIN EXCEPTIONS. THERE IS TYPICALLY A 2-YEAR DEFERRAL PERIOD BEFORE PAYMENTS ARE RELEASED. CONTRIBUTIONS ACCUMULATED IN 2020 WERE GENERALLY DISTRIBUTED ON JANUARY 1, 2022 AND CONTRIBUTIONS ACCUMULATED IN 2021 WILL GENERALLY BE DISTRIBUTED ON JANUARY 1, 2023. AMOUNTS LISTED UNDER PART II, COLUMN F INCLUDE PAYOUT AMOUNTS WHICH WERE CONSIDERED DEFERRED COMPENSATION FROM THE 457F PLAN IN OUR PRIOR YEAR RETURNS AND THESE AMOUNTS ARE NOW BEING SHOWN UNDER THE OTHER REPORTABLE INCOME, COLUMN B (III). THE ADVENTIST HEALTHCARE EXECUTIVE RETENTION PLAN PAYS CERTAIN PARTICIPANTS THEIR RETIREMENT PAYMENTS IN DIRECT CASH, RATHER THAN RETENTION BENEFITS OF DEFERRED CASH, AFTER ATTAINING THE PLAN'S RETIREMENT AGE. THE FOLLOWING EXECUTIVE RECEIVED A SUPPLEMENTAL RETIREMENT PAYMENT UNDER THIS PLAN FEATURE: JOHN SACKETT: $156,680 - RETIREMENT AGE PAYMENT.

PART I, LINE 7

THE ANNUAL INCENTIVE COMPENSATION INCLUDES PAYMENTS BASED ON SATISFACTION OF PRE-DETERMINED PERFORMANCE TARGETS SUCH AS QUALITY/PATIENT SAFETY GOALS, EMPLOYEE AND PATIENT ENGAGEMENT GOALS, ORGANIZATIONAL GROWTH, AND FINANCIAL PERFORMANCE, AMONG OTHER THINGS. THE ANNUAL INCENTIVE COMPENSATION APPLIES TO DIRECTORS AND ABOVE.

SUPPLEMENTAL INFORMATION:

OTHER REPORTABLE COMPENSATION INCLUDES RETENTION PAYMENTS AND LUMP-SUM ADJUSTMENTS IN LIEU OF THE ACROSS-THE-BOARD INCREASE (FOR EMPLOYEES WHO ARE AT OR REACH THE RANGE MAXIMUM FOR THEIR POSITION). OTHER REPORTABLE COMPENSATION ALSO INCLUDES LONG-TERM DISABILITY COVERAGE, CELL PHONE ALLOWANCES, CASH-OUT OF UNUSED PAID TIME OFF (PTO) HOURS, IMPUTED VALUE OF LIFE INSURANCE COVERAGE, AND SEVERANCE, AS APPLICABLE. CERTAIN EXECUTIVES CAN ALSO RECEIVE REPORTABLE COMPENSATION THROUGH A SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN (SERP) ONCE THEY HAVE VESTED IN THE PLAN. IN 2022, THERE WERE NO SERP PAYOUTS MADE. NON-TAXABLE BENEFITS INCLUDES PRE-TAX PAYROLL DEDUCTIONS (SUCH AS FLEXIBLE MEDICAL SPENDING, DEPENDENT CARE, AND EMPLOYEE HEALTH BENEFIT PREMIUMS), AND THE EMPLOYER PORTION OF CERTAIN EMPLOYEE BENEFITS SUCH AS HEALTH INSURANCE, DENTAL INSURANCE, VISION INSURANCE, AND LIFE INSURANCE, ETC.

Disregarded entities

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

• FORT WASHINGTON AMBULATORY SERVICES LLC

  AMBULATORY SERVICES · MD · income $0 · assets $0

  Directly controlled by ADVENTIST HEALTHCARE FORT WASHINGTON MEDICAL CENTER INC

Related partnerships

Part III: related organizations taxable as a partnership, with the filer's share.

• SHADY GROVE MEDICAL BUILDING LLC

  RELATED · MEDICAL OFFICE BUILDING · MD

• NEXUS MONTGOMERY REGIONAL PARTNERSHIP LLC

  RELATED · HEALTHCARE & COMMUNITY SERVICE FOR IMPROVED HEALTH · MD

• CORELIFE ADVENTIST LLC

  RELATED · PROVIDES WELLNESS AND WEIGHT MANAGEMENT · MD

• ADVENTIST HEALTHCARE SURGERY CENTER AT NATIONAL HARBOR LLC

  RELATED · AMBULATORY SURGICAL SERVICES · MD

• MID-ATLANTIC RADIATION ONCOLOGY LLC

  RELATED · RADIATION ONCOLOGY SERVICES · MD