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Nonprofiteer
← DULUTH CLINIC LTD

Form 990 for tax year 2024

Filed by DULUTH CLINIC LTD.

Totals

Total revenue
$339,692,056
Total expenses
$300,865,716
Contributions and grants received
$189,084
Grants paid
$1,798
Program service revenue
$333,733,278
Investment income
$671,119
Other revenue
$5,098,575
Total assets, end of year
$136,157,923
Total liabilities, end of year
$568,860,916
Net assets or fund balances, end of year
-$432,702,993
Program services expenses (Part IX)
$268,490,093
Management and general expenses
$32,375,623
Fundraising expenses
$0
Program service expenses (Part III)
$268,490,093

Program services were 89.2% 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.

  • 1d · Related organizations

    $4,709

  • 1e · Government grants (contributions)

    $184,375

  • 2a · Program service revenue: RETAIL PHARMACY

    total $278,971,495 · related or exempt $278,971,495

  • 2b · Program service revenue: OUTPATIENT REVENUES

    total $47,154,868 · related or exempt $46,427,643 · unrelated business $727,225

  • 2c · Program service revenue: ASHLAND CANCER CENTER INVESTMENT

    total $7,606,915 · related or exempt $7,606,915

  • 3 · Investment income

    total $784,268 · excluded $784,268

  • 7a · Gross sales of assets other than inventory

    securities $851,201 · other assets $99,215

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

    securities $824,467 · other assets $239,098

  • 7c · Gain or loss

    securities $26,734 · other assets -$139,883

  • 7d · Net gain or loss

    total -$113,149 · excluded -$113,149

  • 10a · Gross sales of inventory

    $27,678,140

  • 10b · Cost of goods sold

    $24,145,127

  • 10c · Net income from sales of inventory

    total $3,533,013 · unrelated business $3,533,013

  • 11a · Other revenue: ASHLAND CARE CENTER MSA

    total $1,564,857 · related or exempt $1,564,857

  • 11b · Other revenue: PARKING REVENUE

    total $705 · excluded $705

  • 11e · Other revenue, total

    $1,565,562

Functional expenses

Part IX, the statement of functional expenses.

  • 3 · Grants to foreign organizations and individuals

    total $1,798 · program services $1,798

  • 5 · Compensation of officers, directors and key employees

    total $1,745 · program services $1,745

  • 7 · Other salaries and wages

    total $60,555,922 · program services $58,818,663 · management and general $1,737,259

  • 8 · Pension plan contributions

    total $2,322,536 · program services $2,432,198 · management and general -$109,662

  • 9 · Other employee benefits

    total $5,617,791 · program services $4,761,227 · management and general $856,564

  • 10 · Payroll taxes

    total $3,350,385 · program services $3,234,955 · management and general $115,430

  • 11b · Fees: legal

    total $2,670 · management and general $2,670

  • 11c · Fees: accounting

    total $664 · management and general $664

  • 11d · Fees: lobbying

    total $102 · management and general $102

  • 11f · Fees: investment management

    total $4,466 · management and general $4,466

  • 11g · Fees: other

    total $9,492,414 · program services $9,330,842 · management and general $161,572

  • 12 · Advertising and promotion

    total $8,458 · program services $8,458

  • 13 · Office expenses

    total $2,601,963 · program services $2,527,478 · management and general $74,485

  • 14 · Information technology

    total $286,236 · program services $278,024 · management and general $8,212

  • 16 · Occupancy

    total $3,878,818 · program services $3,767,541 · management and general $111,277

  • 17 · Travel

    total $393,651 · program services $368,614 · management and general $25,037

  • 19 · Conferences, conventions and meetings

    total $61,406 · program services $57,959 · management and general $3,447

  • 20 · Interest

    total $4,914,236 · program services $4,914,236

  • 22 · Depreciation, depletion and amortization

    total $5,106,434 · program services $4,959,938 · management and general $146,496

  • 23 · Insurance

    total $1,889,408 · program services $1,865,449 · management and general $23,959

  • 24a · Other expenses: MEDICAL SUPPLIES

    total $158,017,148 · program services $158,017,148

  • 24b · Other expenses: UNRELATED BUSINESS INCO

    total $42,304 · management and general $42,304

  • 24c · Other expenses: AFFILIATE SUPPORT FEE

    total $29,394,948 · program services $13,457,398 · management and general $15,937,550

  • 24d · Other expenses: AFFILIATE REVENEU/EXPEN

    total $9,254,737 · program services -$3,886,989 · management and general $13,141,726

  • 24e · All other expenses

    total $3,665,476 · program services $3,573,411 · management and general $92,065

Balance sheet

Part X, book values.

  • 1 · Cash, non-interest-bearing

    beginning of year $1,040,930 · end of year $24,751

  • 2 · Savings and temporary cash investments

    beginning of year $189,383 · end of year $153,277

  • 3 · Pledges and grants receivable

    end of year $6,172

  • 4 · Accounts receivable

    beginning of year $20,405,437 · end of year $27,087,903

  • 7 · Other notes and loans receivable

    beginning of year $7,408,077 · end of year $7,391,405

  • 8 · Inventories for sale or use

    beginning of year $15,899,295 · end of year $17,286,061

  • 9 · Prepaid expenses and deferred charges

    beginning of year $12,472 · end of year $180

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

    $197,278,217

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

    $133,997,940

  • 10c · Land, buildings and equipment, net

    beginning of year $68,521,354 · end of year $63,280,277

  • 12 · Investments: other securities

    beginning of year $1,346,475 · end of year $1,217,513

  • 13 · Investments: program-related

    beginning of year $3,900,000 · end of year $3,900,000

  • 14 · Intangible assets

    beginning of year $332,309 · end of year $300,407

  • 15 · Other assets

    beginning of year $18,293,993 · end of year $15,509,977

  • 17 · Accounts payable and accrued expenses

    beginning of year $43,313,688 · end of year $61,438,532

  • 19 · Deferred revenue

    beginning of year $2,478,600 · end of year $2,273,994

  • 20 · Tax-exempt bond liabilities

    beginning of year $97,178,187 · end of year $88,774,339

  • 23 · Secured mortgages and notes payable

    beginning of year $48,434,663 · end of year $45,855,256

  • 25 · Other liabilities

    beginning of year $418,895,099 · end of year $370,518,795

  • 27 · Net assets without donor restrictions

    beginning of year -$472,950,512 · end of year -$432,702,993

Mission and programs · 2024

Mission

WE ARE CALLED TO MAKE A HEALTHY DIFFERENCE IN PEOPLE'S LIVES.

  • THE DULUTH CLINIC, LTD. OPERATES SEVERAL RETAIL PHARMACIES SERVING BOTH PATIENTS AND NON-PATIENTS OF ESSENTIA HEALTH EAST. THE PHARMACY FILLED OVER 1.3 MILLION PRESCRIPTIONS DURING THE FISCAL YEAR ENDED JUNE 30, 2025.

    Expenses $200,321,278 · Revenue $278,971,495

  • THE DULUTH CLINIC, LTD. IS CREATED AND ORGANIZED EXCLUSIVELY FOR CHARITABLE, RELIGIOUS, EDUCATIONAL, AND SCIENTIFIC PURPOSES TO ADVANCE THE PROMOTION OF HEALTH WITHIN ITS COMMUNITY BY PROVIDING MEDICAL SERVICES, INCLUDING CHARITABLE CARE TO PERSONS UNABLE TO PAY. THE DULUTH CLINIC, LTD. EMPLOYS APPROXIMATELY 350 FULL TIME EQUIVALENTS THAT SUPPORT ESSENTIA HEALTH EAST'S EIGHT HOSPITALS AND VARIOUS CLINICS ACROSS NORTHEASTERN MINNESOTA AND NORTHWESTERN WISCONSIN. OUR PHYSICIANS COVER A WIDE RANGE OF MEDICAL SPECIALTIES AND SUBSPECIALTIES.THE DULUTH CLINIC, LTD. OFFERS A BROAD RANGE OF OUTPATIENT SERVICES FOR ITS PATIENTS, INCLUDING SURGERY, LAB, FAMILY PRACTICE, INTERNAL MEDICINE, PEDIATRICS SERVICES, IMAGING/RADIOLOGY, HEART AND VASCULAR, ORTHOPEDICS, WEIGHT MANAGEMENT, AND REHABILITATION.THE CLINICS HAD NEARLY 71,000 ENCOUNTERS DURING THE FISCAL YEAR ENDED JUNE 30, 2025.DURING THE FISCAL YEAR ENDED JUNE 30, 2025, THE DULUTH CLINIC, LTD. PROVIDED THE FOLLOWING COMMUNITY BENEFITS: $463,000 IN CHARITY CARE, $12.9 MILLION COSTS IN EXCESS OF MEDICAID PAYMENTS, AND $22,000 IN HEALTH PROFESSION EDUCATION.ESSENTIA HEALTH IS THE PARENT ORGANIZATION OF AN INTEGRATED HEALTH SYSTEM THAT INCLUDES THIS ORGANIZATION AND ALL ENTITIES THAT ARE OWNED OR CONTROLLED, DIRECTLY OR INDIRECTLY, BY ESSENTIA HEALTH (COLLECTIVELY, THE "SYSTEM OR "ESSENTIA HEALTH").

    Expenses $68,168,815 · Grants $1,798 · Revenue $56,326,640

As filed on the 2024 return. The filer continues this part on Schedule O, which is not shown here.

Listed in Part VII

  • ANTHONY BURROWS MD

    PHYSICIAN

    Total calculated
    $1,636,572
    From this org
    $1,566,372
    From related orgs
    $0
    Other
    $70,200
    Hours/week
    60

    Schedule J breakdown matched by us

    Base
    $1,530,969
    Bonus
    $0
    Other
    $35,403
    Deferred
    $27,600
    Nontaxable benefits
    $42,600
    Filer's total
    $1,636,572

  • JUSTIN HILL MD

    PHYSICIAN & SECTION CHAIR

    Total calculated
    $1,600,895
    From this org
    $1,530,644
    From related orgs
    $0
    Other
    $70,251
    Hours/week
    60

    Schedule J breakdown matched by us

    Base
    $1,528,256
    Bonus
    $0
    Other
    $2,388
    Deferred
    $27,600
    Nontaxable benefits
    $42,651
    Filer's total
    $1,600,895

  • MICHAEL WOLZ MD

    PHYSICIAN & SECTION CHAIR

    Total calculated
    $1,541,920
    From this org
    $1,498,567
    From related orgs
    $0
    Other
    $43,353
    Hours/week
    60

    Schedule J breakdown matched by us

    Base
    $1,497,232
    Bonus
    $0
    Other
    $1,335
    Deferred
    $27,600
    Nontaxable benefits
    $15,753
    Filer's total
    $1,541,920

  • NINGMEI HU MD

    PHYSICIAN

    Total calculated
    $1,258,514
    From this org
    $1,215,626
    From related orgs
    $0
    Other
    $42,888
    Hours/week
    60

    Schedule J breakdown matched by us

    Base
    $1,211,205
    Bonus
    $0
    Other
    $4,421
    Deferred
    $27,600
    Nontaxable benefits
    $15,288
    Filer's total
    $1,258,514

  • DINO TERZIC MD

    PHYSICIAN & SECTION CHAIR

    Total calculated
    $1,237,131
    From this org
    $1,196,648
    From related orgs
    $0
    Other
    $40,483
    Hours/week
    60

    Schedule J breakdown matched by us

    Base
    $1,195,508
    Bonus
    $0
    Other
    $1,140
    Deferred
    $24,405
    Nontaxable benefits
    $16,078
    Filer's total
    $1,237,131

  • TRACI MORRIS

    TREASURER/REL ORG CHIEF FINCL OFF

    Total calculated
    $1,199,416
    From this org
    $0
    From related orgs
    $1,054,730
    Other
    $144,686
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $702,675 related
    Bonus
    $0 + $269,075 related
    Other
    $0 + $82,980 related
    Deferred
    $0 + $142,406 related
    Nontaxable benefits
    $0 + $2,280 related
    Filer's total
    $0 + $1,199,416 related

  • BRADLEY BEARD

    CHIEF OPERATING OFFICER

    Total calculated
    $1,179,194
    From this org
    $0
    From related orgs
    $1,000,148
    Other
    $179,046
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $644,035 related
    Bonus
    $0 + $243,376 related
    Other
    $0 + $112,737 related
    Deferred
    $0 + $134,559 related
    Nontaxable benefits
    $0 + $44,487 related
    Filer's total
    $0 + $1,179,194 related

  • WILLIAM HEEGAARD MD

    FORMER PRESIDENT

    Total calculated
    $1,098,293
    From this org
    $0
    From related orgs
    $975,947
    Other
    $122,346
    Hours/week
    0 + 23 related

    Schedule J breakdown matched by us

    Base
    $0 + $330,418 related
    Bonus
    $0 + $136,878 related
    Other
    $0 + $508,651 related
    Deferred
    $0 + $80,633 related
    Nontaxable benefits
    $0 + $41,713 related
    Filer's total
    $0 + $1,098,293 related

  • KRISTA SKORUPA MD

    PRESIDENT

    Total calculated
    $952,538
    From this org
    $0
    From related orgs
    $806,396
    Other
    $146,142
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $593,854 related
    Bonus
    $0 + $210,216 related
    Other
    $0 + $2,326 related
    Deferred
    $0 + $129,886 related
    Nontaxable benefits
    $0 + $16,256 related
    Filer's total
    $0 + $952,538 related

  • JASON SCHULTZ MD

    CHIEF MEDICAL OFFICER

    Total calculated
    $942,581
    From this org
    $287,719
    From related orgs
    $483,724
    Other
    $171,138
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $287,234 + $482,166 related
    Bonus
    $0
    Other
    $485 + $1,558 related
    Deferred
    $21,429 + $106,094 related
    Nontaxable benefits
    $16,624 + $26,991 related
    Filer's total
    $325,772 + $616,809 related

  • DANIEL NIKCEVICH MD

    FORMER PRESIDENT

    Total calculated
    $932,372
    From this org
    $871,257
    From related orgs
    $0
    Other
    $61,115
    Hours/week
    58 + 2 related

    Schedule J breakdown matched by us

    Base
    $865,357
    Bonus
    $0
    Other
    $5,900
    Deferred
    $23,575
    Nontaxable benefits
    $37,540
    Filer's total
    $932,372

  • MICHAEL WATTERS

    SECRETARY/REL ORG CHIEF LEGAL OFF

    Total calculated
    $924,527
    From this org
    $0
    From related orgs
    $773,128
    Other
    $151,399
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $506,819 related
    Bonus
    $0 + $192,028 related
    Other
    $0 + $74,281 related
    Deferred
    $0 + $109,834 related
    Nontaxable benefits
    $0 + $41,565 related
    Filer's total
    $0 + $924,527 related

  • RHONDA KAZIK

    CHIEF NURSE EXECUTIVE

    Total calculated
    $818,976
    From this org
    $0
    From related orgs
    $685,390
    Other
    $133,586
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $468,896 related
    Bonus
    $0 + $189,548 related
    Other
    $0 + $26,946 related
    Deferred
    $0 + $105,482 related
    Nontaxable benefits
    $0 + $28,104 related
    Filer's total
    $0 + $818,976 related

  • JANICE SCHADE

    SENIOR VP, OPERATIONS THRU 3/24

    Total calculated
    $683,592
    From this org
    $0
    From related orgs
    $636,028
    Other
    $47,564
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $105,903 related
    Bonus
    $0 + $124,911 related
    Other
    $0 + $405,214 related
    Deferred
    $0 + $17,445 related
    Nontaxable benefits
    $0 + $30,119 related
    Filer's total
    $0 + $683,592 related

  • KEVIN BOREN

    VICE PRESIDENT, FINANCE

    Total calculated
    $678,621
    From this org
    $0
    From related orgs
    $554,813
    Other
    $123,808
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $422,051 related
    Bonus
    $0 + $86,826 related
    Other
    $0 + $45,936 related
    Deferred
    $0 + $80,855 related
    Nontaxable benefits
    $0 + $42,953 related
    Filer's total
    $0 + $678,621 related

  • TAMMY KRITZER

    SENIOR VICE PRESIDENT, OPERATIONS

    Total calculated
    $635,546
    From this org
    $0
    From related orgs
    $537,081
    Other
    $98,465
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $363,233 related
    Bonus
    $0 + $131,986 related
    Other
    $0 + $41,862 related
    Deferred
    $0 + $85,264 related
    Nontaxable benefits
    $0 + $13,201 related
    Filer's total
    $0 + $635,546 related

  • TROY DUININCK MD

    BD DIRECTOR/REL ORG PHYS & DIV CHAIR

    Total calculated
    $617,667
    From this org
    $0
    From related orgs
    $547,906
    Other
    $69,761
    Hours/week
    0.1 + 59.9 related

    Schedule J breakdown matched by us

    Base
    $0 + $546,405 related
    Bonus
    $0
    Other
    $0 + $1,501 related
    Deferred
    $0 + $27,600 related
    Nontaxable benefits
    $0 + $42,161 related
    Filer's total
    $0 + $617,667 related

  • ANNE STEPHEN MD

    CHIEF MEDICAL OFFICER THRU 5/24

    Total calculated
    $569,897
    From this org
    $200,424
    From related orgs
    $298,679
    Other
    $70,794
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $222,571 related
    Bonus
    $200,424
    Other
    $0 + $76,108 related
    Deferred
    $39,988 + $15,608 related
    Nontaxable benefits
    $684 + $14,514 related
    Filer's total
    $241,096 + $328,801 related

  • TRENT NOBLES

    SENIOR VP, OPERATIONS THRU 3/25

    Total calculated
    $385,839
    From this org
    $0
    From related orgs
    $314,139
    Other
    $71,700
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $246,386 related
    Bonus
    $0 + $51,877 related
    Other
    $0 + $15,876 related
    Deferred
    $0 + $42,232 related
    Nontaxable benefits
    $0 + $29,468 related
    Filer's total
    $0 + $385,839 related

  • JAN BALDWIN MD

    BOARD DIRECTOR & PHYSICIAN

    Total calculated
    $308,234
    From this org
    $251,262
    From related orgs
    $6,800
    Other
    $50,172
    Hours/week
    57.9 + 2.1 related

    Schedule J breakdown matched by us

    Base
    $249,418 + $6,800 related
    Bonus
    $0
    Other
    $1,844
    Deferred
    $20,737
    Nontaxable benefits
    $29,435
    Filer's total
    $301,434 + $6,800 related

  • ERIC NELSON

    SENIOR VICE PRESIDENT, OPERATIONS

    Total calculated
    $248,562
    From this org
    $0
    From related orgs
    $219,557
    Other
    $29,005
    Hours/week
    1 + 59 related

    Schedule J breakdown matched by us

    Base
    $0 + $168,270 related
    Bonus
    $0 + $50,000 related
    Other
    $0 + $1,287 related
    Deferred
    $0 + $28,000 related
    Nontaxable benefits
    $0 + $1,005 related
    Filer's total
    $0 + $248,562 related

  • THOMAS WITT MD

    FORMER PHYSICIAN LEADER

    Total calculated
    $115,820
    From this org
    $107,714
    From related orgs
    $0
    Other
    $8,106
    Hours/week
    11

    Schedule J breakdown matched by us

    Base
    $101,325
    Bonus
    $0
    Other
    $6,389
    Deferred
    $8,106
    Nontaxable benefits
    $0
    Filer's total
    $115,820

  • JOSEPH MIHALEK

    BOARD CHAIR THRU 12/24

    Total calculated
    $7,800
    From this org
    $0
    From related orgs
    $7,800
    Other
    $0
    Hours/week
    0.1 + 2 related

  • THOMAS JAMAR

    BOARD VICE CHAIR

    Total calculated
    $6,600
    From this org
    $0
    From related orgs
    $6,600
    Other
    $0
    Hours/week
    0.1 + 1.1 related

  • ALAN ROCK

    BOARD DIRECTOR THRU 12/24

    Total calculated
    $6,000
    From this org
    $0
    From related orgs
    $6,000
    Other
    $0
    Hours/week
    0.1 + 1 related

  • GEORGE LOBAN

    BOARD DIRECTOR

    Total calculated
    $5,600
    From this org
    $0
    From related orgs
    $5,600
    Other
    $0
    Hours/week
    0.1 + 1.1 related

  • ANTHONY SERTICH

    BOARD CHAIR

    Total calculated
    $5,400
    From this org
    $0
    From related orgs
    $5,400
    Other
    $0
    Hours/week
    0.1 + 2.1 related

  • AMY BERGSTROM

    BOARD DIRECTOR

    Total calculated
    $5,000
    From this org
    $0
    From related orgs
    $5,000
    Other
    $0
    Hours/week
    0.1 + 1.1 related

  • ANTHONY YUNG

    BOARD DIRECTOR

    Total calculated
    $3,600
    From this org
    $0
    From related orgs
    $3,600
    Other
    $0
    Hours/week
    0.1 + 1.1 related

  • ADAM BACHAND

    BOARD DIRECTOR

    Total calculated
    $0
    Hours/week
    0.1 + 1.1 related

  • BECKY URBANSKI

    BOARD DIRECTOR

    Total calculated
    $0
    Hours/week
    0.1 + 1.1 related

  • NANCY ARONSON NORR

    BOARD DIRECTOR

    Total calculated
    $0
    Hours/week
    0.1 + 1.1 related

  • SISTER BEVERLY RAWAY

    BOARD DIRECTOR

    Total calculated
    $0
    Hours/week
    0.1 + 3.1 related

  • SISTER JEANNE ANN WEBER

    BOARD DIRECTOR

    Total calculated
    $0
    Hours/week
    0.1 + 1.1 related

  • SISTER THERESE CARSON

    BOARD DIRECTOR THRU 12/24

    Total calculated
    $0
    Hours/week
    0.1 + 3 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

  • 3 · Compensation committee
  • 3 · Independent compensation consultant
  • 3 · Compensation survey or study
  • 3 · Approval by the board or compensation committee
  • 4a · Severance or change-of-control payment
  • 4b · Supplemental nonqualified retirement plan
  • 8 · Paid under the initial-contract exception
  • 9 · Followed the rebuttable-presumption procedure

Answered no

  • 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

The filer's explanations (Part III)

PART I, LINE 3
ESTABLISHING CEO'S COMPENSATION: ESSENTIA HEALTH, AS A RELATED ORGANIZATION, USED THE FOLLOWING METHODS TO ESTABLISH THE DULUTH CLINIC, LTD'S PRESIDENT'S COMPENSATION: A COMPENSATION COMMITTEE, INDEPENDENT COMPENSATION CONSULTANT, COMPENSATION SURVEY OR STUDY, AND APPROVAL BY THE BOARD OR COMPENSATION COMMITTEE.
PART I, LINES 4A-B
SEVERANCE PAYMENT: FORMER OFFICER WILLIAM HEEGAARD, MD RECEIVED PAYMENTS TOTALING $393,086 IN CALENDAR YEAR 2024 RELATED TO A TERMINATION AGREEMENT. UNDER THE TERMS OF THE AGREEMENT, HEEGAARD WILL RECEIVE PAY TOTALING $1,095,026 AND BENEFITS TOTALING $45,337 FROM JUNE 2, 2024 TO DECEMBER 2, 2025. KEY EMPLOYEE JANICE SCHADE RECEIVED PAYMENTS TOTALING $266,083 IN CALENDAR YEAR 2024 RELATED TO A TERMINATION AGREEMENT. UNDER THE TERMS OF THE AGREEMENT, SCHADE WILL RECEIVE PAY TOTALING $576,514 AND BENEFITS TOTALING $24,526 FROM MARCH 29, 2024 TO SEPTEMBER 30, 2025. ALL OTHER INDIVIDUALS LISTED AS FORMERS IN FORM 990, PART VII, SECTION A, LINE 1A DID NOT RECEIVE A SEVERANCE PAYMENT DURING CALENDAR YEAR 2024. THESE INDIVIDUALS REMAIN EMPLOYED WITHIN ESSENTIA HEALTH AND ITS SUBSIDIARIES. SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN: ESSENTIA HEALTH'S NONQUALIFIED RETIREMENT PLAN IS OFFERED TO DESIGNATED ESSENTIA HEALTH EXECUTIVES. THERE IS A MINIMUM FOUR YEAR VESTING DATE, OR VESTING IS AUTOMATIC UPON REACHING RETIREMENT AGE, DEATH, DISABILITY OR INVOLUNTARY TERMINATION WITHOUT CAUSE. BENEFITS ARE SUBJECT TO INCOME TAXES UPON VESTING AND PAYABLE FROM ESSENTIA HEALTH'S GENERAL ASSETS. REPORTED AS OTHER REPORTABLE COMPENSATION IN SCHEDULE J, PART II, COLUMN B (III), THE FOLLOWING INDIVIDUALS LISTED IN FORM 990, PART VII, SECTION A, LINE 1A RECEIVED PAYMENT OF THE VESTED BENEFIT FROM THE SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN DURING THE YEAR: TRACI MORRIS $78,928 BRADLEY BEARD $90,640 WILLIAM HEEGAARD, MD $112,499 MICHAEL WATTERS $62,797 RHONDA KAZIK $15,955 JANICE SCHADE $38,499 KEVIN BOREN $27,172 TAMMY KRITZER $36,428 ANNE STEPHEN, MD $65,980 THOMAS WITT, MD $6,384 REPORTED AS RETIREMENT AND OTHER DEFERRED COMPENSATION IN SCHEDULE J, PART II, COLUMN C, ESSENTIA HEALTH MADE CONTRIBUTIONS, SUBJECT TO THE VESTING TERMS, DURING THE YEAR INTO THE SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN ON BEHALF OF THE FOLLOWING INDIVIDUALS LISTED IN FORM 990, PART VII, SECTION A, LINE 1A: TRACI MORRIS $114,806 BRADLEY BEARD $106,959 WILLIAM HEEGAARD, MD $48,668 KRISTA SKORUPA, MD $91,234 JASON SCHULTZ, MD $85,394 MICHAEL WATTERS $84,801 RHONDA KAZIK $77,882 KEVIN BOREN $53,255 TAMMY KRITZER $60,450 ANNE STEPHEN, MD $32,992 TRENT NOBLES $42,232 ERIC NELSON $28,000
PART I, LINE 8
INITIAL CONTRACT EXCEPTION: THE DULUTH CLINIC LTD.'S CHIEF MEDICAL OFFICER, JASON SCHULTZ, MD, RECEIVED COMPENSATION DURING THE YEAR UNDER AN INITIAL EMPLOYMENT AGREEMENT SUBJECT TO THE INITIAL CONTRACT EXCEPTION. THROUGH THE ESSENTIA HEALTH EXECUTIVE COMPENSATION COMMITTEE, THIS COMPENSATION ARRANGEMENT WAS REVIEWED AND APPROVED BY INDEPENDENT PERSONS USING COMPARABILITY DATA; DELIBERATIONS AND DECISIONS WERE DOCUMENTED.

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.

Related partnerships

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

Related corporations and trusts

Part IV: related organizations taxable as a corporation or trust.

Provenance

Return type
form_990
Tax year
2024
Filed
11 May 2026
IRS schema version
2024v5.5
Source object
202621319349301582

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