Form 990 for tax year 2022

Revenue

Part VIII, the statement of revenue.

• 2a · Program service revenue: PATIENT PROF FEES

  total $404,120,854 · related or exempt $404,120,854

• 2b · Program service revenue: BILLING AND COLLECTION

  total $6,688,172 · related or exempt $6,688,172

• 3 · Investment income

  total $5,303,419 · excluded $5,303,419

• 7a · Gross sales of assets other than inventory

  securities $40,901,364

• 7b · Less cost or other basis and sales expenses

  securities $41,805,060 · other assets $55,940

• 7c · Gain or loss

  securities -$903,696 · other assets -$55,940

• 7d · Net gain or loss

  total -$959,636 · excluded -$959,636

Functional expenses

Part IX, the statement of functional expenses.

• 5 · Compensation of officers, directors and key employees

  total $10,544,035 · program services $9,410,698 · management and general $1,133,337

• 6 · Compensation of disqualified persons

  total $800,262 · program services $800,262

• 7 · Other salaries and wages

  total $244,809,378 · program services $244,285,890 · management and general $523,488

• 8 · Pension plan contributions

  total $16,341,813 · program services $16,341,813

• 9 · Other employee benefits

  total $4,356,438 · program services $4,380,780 · management and general -$24,342

• 10 · Payroll taxes

  total $8,914,082 · program services $8,903,942 · management and general $10,140

• 11b · Fees: legal

  total $202,641 · management and general $202,641

• 11c · Fees: accounting

  total $273,418 · management and general $273,418

• 11f · Fees: investment management

  total $187,169 · management and general $187,169

• 11g · Fees: other

  total $30,461,440 · management and general $30,461,440

• 13 · Office expenses

  total $309,817 · management and general $309,817

• 14 · Information technology

  total $5,896,778 · program services $3,079,137 · management and general $2,817,641

• 16 · Occupancy

  total $361,829 · management and general $361,829

• 17 · Travel

  total $19,063 · management and general $19,063

• 19 · Conferences, conventions and meetings

  total $23,614 · management and general $23,614

• 20 · Interest

  total $66,485 · management and general $66,485

• 22 · Depreciation, depletion and amortization

  total $1,690,623 · management and general $1,690,623

• 23 · Insurance

  total $16,753,480 · program services $16,630,818 · management and general $122,662

• 24a · Other expenses: DEPARTMENT EXPENSES

  total $50,893,787 · program services $50,893,787

• 24b · Other expenses: UW MEDICINE ALLOCATIONS

  total $16,515,413 · management and general $16,515,413

• 24c · Other expenses: CITY/STATE BUSINESS TAX

  total $12,279,793 · program services $12,279,793

• 24d · Other expenses: ESC SESSION FEE EXPENSE

  total $1,879,436 · program services $1,879,436

• 24e · All other expenses

  total $1,403,394 · program services $1,093,580 · management and general $309,814

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $612,760 · end of year $295,827

• 2 · Savings and temporary cash investments

  beginning of year $65,489,465 · end of year $61,027,854

• 4 · Accounts receivable

  beginning of year $10,883,480 · end of year $14,948,657

• 9 · Prepaid expenses and deferred charges

  beginning of year $271,414 · end of year $477,155

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

  $3,304,909

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

  $2,807,251

• 10c · Land, buildings and equipment, net

  beginning of year $882,806 · end of year $497,658

• 11 · Investments: publicly traded securities

  beginning of year $149,265,297 · end of year $173,783,412

• 15 · Other assets

  beginning of year $3,256,729 · end of year $2,511,992

• 17 · Accounts payable and accrued expenses

  beginning of year $27,544,847 · end of year $29,042,278

• 19 · Deferred revenue

  beginning of year $125,017 · end of year $102,373

• 25 · Other liabilities

  beginning of year $202,992,087 · end of year $224,397,904

• 29 · Capital stock, trust principal or current funds

  beginning of year $0 · end of year $0

• 30 · Paid-in or capital surplus, or land, building or equipment fund

  beginning of year $0 · end of year $0

• 31 · Retained earnings, endowment or other funds

  beginning of year $0 · end of year $0

The filer's explanations (Part III)

PART I, LINE 3

THE UWP GOVERNING BOARD DOES NOT REVIEW COMPENSATION OF ITS EXECUTIVES. INSTEAD, COMPENSATION OF THE UWP EXECUTIVE DIRECTOR AND CHIEF FINANCIAL OFFICER IS REVIEWED AND SET BY REPRESENTATIVES OF THE UNIVERSITY OF WASHINGTON SCHOOL OF MEDICINE. THE REVIEW RELIES ON COMPARISON OF COMPENSATION TO SIMILARLY SITUATED INDIVIDUALS, IN LIKE-SIZED ORGANIZATIONS ENGAGED IN SIMILAR ACTIVITIES. THE COMPARISON IS PERFORMED BY AN INDEPENDENT CONTRACTOR CONSULTANT WITH EXPERIENCE AND EXPERTISE IN COMPENSATION OF ACADEMIC MEDICAL CENTER PERSONNEL. THE COMPENSATION COMPARISON DATA IS REVIEWED BY DISINTERESTED EMPLOYEES OF THE UWSOM, AS PART OF AN OVERALL REVIEW OF COMPENSATION FOR SIMILARLY SITUATED INDIVIDUALS IN OTHER COMPONENTS OF THE UW MEDICINE SYSTEM. THE REVIEW IS PERFORMED REGULARLY, AND DOCUMENTATION IS MAINTAINED BY THE UWSOM. COMPENSATION OF UWP BOARD MEMBERS, INCLUDING THE UWP PRESIDENT, IN THEIR CAPACITY AS UWP MEMBERS EMPLOYED BY UWP AND/OR THE UNIVERSITY OF WASHINGTON SCHOOL OF MEDICINE, IS REVIEWED REGULARLY THROUGH A UNIVERSITY OF WASHINGTON SCHOOL OF MEDICINE PROCESS THAT INVOLVES DISINTERESTED SCHOOL OF MEDICINE EMPLOYEES WHO REVIEW COMPENSATION OF ALL UWSOM FACULTY. FOR UWP MEMBERS, REVIEW OF COMPENSATION ALSO INCLUDES APPLICATION OF THE "UNIVERSITY OF WASHINGTON PHYSICIANS METHOD OR STANDARD REGARDING BASIC INDIVIDUAL CAPS UNDER AMENDED INCOME DISTRIBUTION PLAN, AS OF JULY 1, 2017" (UWP CAP POLICY). THE UWP CAP POLICY LIMITS COMPENSATION OF UWP MEMBERS BY COMPARISON TO OBJECTIVE DATA FOR SIMILAR POSITIONS IN SIMILAR ORGANIZATIONS, SUCH AS THAT ESTABLISHED BY THE AAMC. THE REVIEW IS PERFORMED REGULARLY AND DOCUMENTATION IS MAINTAINED BY THE SCHOOL OF MEDICINE.

PART I, LINE 7

UWP IS THE PRACTICE PLAN FOR UNIVERSITY OF WASHINGTON FACULTY PHYSICIANS AND HEALTH CARE PRACTITIONERS WHO PROVIDE CLINICAL CARE PRIMARILY TO ADULT PATIENTS. UWP BILLS AND COLLECTS REVENUE GENERATED BY THE CLINICAL SERVICES OF THESE FACULTY MEMBERS. ALL REVENUES COLLECTED BY UWP ARE ALLOCATED IN ACCORDANCE WITH THE ASSOCIATION OF UNIVERSITY PHYSICIANS D/B/A UW PHYSICIANS AMENDED AND RESTATED INCOME DISTRIBUTION PLAN (IDP). UWP MAINTAINS A "MASTER" IDP AND EACH UWP DEPARTMENT OR DIVISION ALSO MAINTAINS A DEPARTMENTAL (OR DIVISIONAL) IDP THAT PROVIDES MORE DETAIL AS TO HOW ADDITIONAL COMPENSATION (INCENTIVE PAYMENT) IS CALCULATED AND PAID TO PARTICIPATING INDIVIDUALS (THE PHYSICIANS AND HEALTH CARE PRACTITIONERS WITH PRACTICE AGREEMENTS MAKING THEM ELIGIBLE FOR INCENTIVE PAYMENTS). DEPARTMENTS AND DIVISIONS ARE COMPRISED OF THE FACULTY MEMBERS WITHIN EACH SPECIALTY OR PRIMARY CARE AREA OF CLINICAL PRACTICE. THE DEPARTMENTAL AND DIVISIONAL IDPS ALIGN WITH THE CLINICAL DEPARTMENTS OF THE UWSOM. EACH CLINICAL DEPARTMENT OF THE UWSOM HAS A DEPARTMENT CHAIR WHO APPROVES THE IDP FOR THE UWP DEPARTMENT/DIVISION. THE UW MEDICINE CEO ALSO MUST APPROVE EACH DEPARTMENT/DIVISION IDP. UNDER ALL IDPS, REVENUES GENERATED BY FACULTY ARE ALLOCATED TO THE FACULTY MEMBER'S DEPARTMENT, AND THE FUNDS FLOW IS SUBJECT TO CERTAIN STANDARDIZED DEDUCTIONS AS FOLLOWS: FIRST, REVENUES ARE USED TO PAY UWP OPERATING EXPENSES. OF THE REMAINING REVENUES, A PORTION IS ALLOCATED TO THE UWSOM CLINICAL MEDICINE FUND. THE REMAINING REVENUES ARE USED TO PAY DEPARTMENT DIRECT CLINICAL COSTS, THEN PHYSICIAN/PRACTITIONER SALARY AND BENEFITS. THERE IS A PERCENTAGE CONTRIBUTION TO DEPARTMENT (AND DIVISION) OPERATIONS AND RESERVE FUNDS, AND FINALLY, A POOL IS CREATED FOR ADDITIONAL COMPENSATION. WHILE SOME ADDITIONAL COMPENSATION MAY BE IN THE FORM OF FIXED PAYMENTS FOR A DEFINED PERIOD, EACH DEPARTMENTAL/DIVISIONAL IDP PROVIDES FOR PARTICIPATING INDIVIDUALS TO RECEIVE VARIABLE ADDITIONAL COMPENSATION. THE METRICS FOR CALCULATING ADDITIONAL COMPENSATION GENERALLY ARE BASED ON WORK PERSONALLY PERFORMED BY THE PRACTICE PLAN PHYSICIAN OR HEALTH CARE PROFESSIONAL DURING THE PERIOD OF RECORD. WHERE PERSONAL WORK IS NOT THE METRIC, THE DEPARTMENTAL TRUSTEE/DEPARTMENTAL CHAIR FOR THE DEPARTMENT ESTABLISHES A PER CAPITA DISTRIBUTION OF THE POOL TO ALL PARTICIPATING INDIVIDUALS. IN ADDITION TO THE UWP DEPARTMENTS THAT CORRESPOND TO THE SCHOOL OF MEDICINE CLINICAL DEPARTMENTS, UWP ALSO HAS SEVERAL DEPARTMENTS COMPRISED OF MULTIPLE SPECIALTIES THAT PRACTICE IN A COMMON CLINICAL SETTING. THE IDPS FOR THOSE DEPARTMENTS ARE SIMILAR TO THOSE FOR THE SCHOOL OF MEDICINE CLINICAL DEPARTMENTS. THE PERCENTAGE OF REVENUES ALLOCATED TO THE DEPARTMENT AND/OR DIVISION OPERATING AND RESERVE FUND IS ESTIMATED BY THE DEPARTMENT AND APPROVED BY THE UW MEDICINE CEO OR HIS DESIGNEE IN A BUDGET ESTABLISHED PRIOR TO THE PERIOD OF RECORD. THE PERIOD OF RECORD IS EITHER A 12-MONTH OR 6-MONTH PERIOD DURING WHICH THE REVENUES AND EXPENSES FOR THE PRACTICE PLAN ARE ALLOCATED. THE ACTUAL PERCENTAGE FOR DEPARTMENTAL/DIVISIONAL OPERATIONS AND RESERVE CONTRIBUTION MAY BE MODIFIED FROM THE ORIGINAL ESTIMATE BASED ON THE OPERATIONAL NEEDS OF THE DEPARTMENT OR DIVISION, AND WHEN THAT OCCURS, THE PERCENTAGE MAY BE ADJUSTED RETROACTIVELY BY THE CHAIR OF THE DEPARTMENT UPON APPROVAL OF THE UW MEDICINE CEO. AT THE END OF THE PERIOD OF RECORD, AMOUNTS REMAINING AFTER ALL ALLOCATIONS HAVE BEEN MADE ARE AVAILABLE TO PAY THE ADDITIONAL COMPENSATION TO PARTICIPATING INDIVIDUALS. ADDITIONAL COMPENSATION IS CALCULATED FOR EACH PARTICIPATING INDIVIDUAL AND THE ADDITIONAL COMPENSATION AMOUNT IS PAID APPROXIMATELY THREE MONTHS LATER. ADDITIONAL COMPENSATION PAYMENTS ARE SUBJECT TO THE COMPENSATION CAP POLICY ADOPTED BY UWP: THE "UWP METHOD OR STANDARD REGARDING BASIC INDIVIDUAL CAPS UNDER AMENDED INCOME DISTRIBUTION PLAN, AS OF JULY 1, 2017." THIS COMPENSATION CAP POLICY LIMITS THE AMOUNT OF COMPENSATION TO INDIVIDUAL PHYSICIANS AND HEALTH CARE PROFESSIONALS BY COMPARISON TO OBJECTIVE DATA FOR LIKE ACTIVITIES AND LIKE PHYSICIANS OR PRACTITIONERS, INCLUDING SURVEYS SUCH AS THE ASSOCIATION OF AMERICAN MEDICAL COLLEGE (AAMC) AND MEDICAL GROUP MANAGEMENT ASSOCIATION (MGMA) COMPENSATION SURVEYS. FOR THE MOST FREQUENTLY USED MEASURE (AAMC SURVEY), THE MAXIMUM "BASIC INDIVIDUAL CAP" GENERALLY IS 90% OF THE APPLICABLE STANDARD OR MEASURE. IF AAMC DATA IS NOT AVAILABLE OR DOES NOT PROVIDE THE MOST APPROPRIATE COMPARATIVE DATA, THE POLICY ALLOWS FOR OTHER COMPARATORS TO BE USED. IN GENERAL, THE 90TH PERCENTILE IS THE MAXIMUM BASIC INDIVIDUAL CAP IMPOSED UNDER ANY SURVEY OR DATA. IN ALL INSTANCES, COMPENSATION IS LIMITED BY A CAP ESTABLISHED USING A COMPARATIVE SURVEY OR DATA DETERMINED BY THE UWSOM PRIOR TO THE PERIOD OF RECORD. BEFORE PAYMENT OF ADDITIONAL COMPENSATION FOLLOWING A PERIOD OF RECORD, UWP REVIEWS AND, WHERE NECESSARY, LIMITS INDIVIDUAL COMPENSATION PURSUANT TO THE APPLICABLE CAP. THUS, WHILE THE AMOUNT OF ADDITIONAL COMPENSATION MAY NOT BE FIXED, THE TOTAL COMPENSATION, INCLUDING BASE SALARY AND ADDITIONAL COMPENSATION, IS SUBJECT TO LIMITS ESTABLISHED BY RELEVANT COMPARATORS.