Form 990 for tax year 2023

Revenue

Part VIII, the statement of revenue.

• 2a · Program service revenue: PREMIUM REVENUE

  total $1,731,530,749 · related or exempt $1,731,530,749 · unrelated business $0 · excluded $0

• 3 · Investment income

  total $17,329,302 · related or exempt $0 · unrelated business $0 · excluded $17,329,302

• 4 · Income from investment of tax-exempt bond proceeds

  total $0

• 5 · Royalties

  total $0

• 6a · Gross rents

  real property $64,598

• 6b · Less rental expenses

  real property $64,598

• 6c · Rental income or loss

  real property $0 · personal property $0

• 6d · Net rental income or loss

  total $0 · related or exempt $0 · unrelated business $0 · excluded $0

• 7a · Gross sales of assets other than inventory

  securities $73,760,595

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

  securities $76,399,798

• 7c · Gain or loss

  securities -$2,639,203

• 7d · Net gain or loss

  total -$2,639,204 · related or exempt $0 · unrelated business $0 · excluded -$2,639,204

• 8a · Fundraising events: gross income

  $0

• 8b · Fundraising events: direct expenses

  $0

• 8c · Net income from fundraising events

  total $0

• 9a · Gaming: gross income

  $0

• 9b · Gaming: direct expenses

  $0

• 9c · Net income from gaming

  total $0

• 10a · Gross sales of inventory

  $0

• 10b · Cost of goods sold

  $0

• 10c · Net income from sales of inventory

  total $0

• 11a · Other revenue: SUBSIDIARY LOSS/GAIN

  total $5,932,045 · related or exempt $0 · unrelated business $0 · excluded $5,932,045

• 11b · Other revenue: MINORITY INTEREST

  total -$687,806 · related or exempt $0 · unrelated business $0 · excluded -$687,806

• 11c · Other revenue: CLASS ACTION LAWSUIT & PACE EDUCATION

  total $170,571 · related or exempt $0 · unrelated business $0 · excluded $170,571

• 11d · All other revenue

  total $3,000 · related or exempt $0 · unrelated business $0 · excluded $3,000

• 11e · Other revenue, total

  $5,417,810

Functional expenses

Part IX, the statement of functional expenses.

• 1 · Grants to domestic organizations and governments

  total $888,536 · program services $888,536

• 2 · Grants to domestic individuals

  total $0

• 3 · Grants to foreign organizations and individuals

  total $0

• 4 · Benefits paid to or for members

  total $1,653,274,959 · program services $1,653,274,959

• 5 · Compensation of officers, directors and key employees

  total $6,258,540 · program services $4,193,045 · management and general $2,065,495 · fundraising $0

• 6 · Compensation of disqualified persons

  total $2,717,667 · program services $1,985,877 · management and general $731,790 · fundraising $0

• 7 · Other salaries and wages

  total $84,100,680 · program services $61,454,782 · management and general $22,645,898 · fundraising $0

• 8 · Pension plan contributions

  total $3,786,030 · program services $2,766,561 · management and general $1,019,469 · fundraising $0

• 9 · Other employee benefits

  total $12,303,370 · program services $8,990,426 · management and general $3,312,944 · fundraising $0

• 10 · Payroll taxes

  total $8,318,658 · program services $6,078,682 · management and general $2,239,976 · fundraising $0

• 11a · Fees: management

  total $0

• 11b · Fees: legal

  total $2,832,047 · program services $0 · management and general $2,832,047 · fundraising $0

• 11c · Fees: accounting

  total $1,875,805 · program services $0 · management and general $1,875,805 · fundraising $0

• 11d · Fees: lobbying

  total $252,439 · program services $252,439 · management and general $0 · fundraising $0

• 11e · Fees: professional fundraising services

  total $0

• 11f · Fees: investment management

  total $1,158,775 · program services $0 · management and general $1,158,775 · fundraising $0

• 11g · Fees: other

  total $9,576,567 · program services $7,291,657 · management and general $2,284,910

• 12 · Advertising and promotion

  total $1,420,391 · program services $681,681 · management and general $738,710 · fundraising $0

• 13 · Office expenses

  total $5,215,621 · program services $3,104,835 · management and general $2,110,786 · fundraising $0

• 14 · Information technology

  total $16,044,760 · program services $15,608,382 · management and general $436,378 · fundraising $0

• 15 · Royalties

  total $0

• 16 · Occupancy

  total $1,483,320 · program services $185,363 · management and general $1,297,957 · fundraising $0

• 17 · Travel

  total $87,004 · program services $51,793 · management and general $35,211 · fundraising $0

• 18 · Travel or entertainment for public officials

  total $0

• 19 · Conferences, conventions and meetings

  total $158,400 · program services $94,295 · management and general $64,105 · fundraising $0

• 20 · Interest

  total $9,752 · program services $0 · management and general $9,752 · fundraising $0

• 21 · Payments to affiliates

  total $0

• 22 · Depreciation, depletion and amortization

  total $3,492,288 · program services $140,993 · management and general $3,351,295 · fundraising $0

• 23 · Insurance

  total $1,198,084 · program services $0 · management and general $1,198,084 · fundraising $0

• 24a · Other expenses: DUES/SUBSCRIPTIONS

  total $1,215,537 · program services $836,376 · management and general $379,161

• 24b · Other expenses: OTHER TAXES

  total $268,000 · program services $0 · management and general $268,000

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $0 · end of year $0

• 2 · Savings and temporary cash investments

  beginning of year $60,971,299 · end of year $74,074,095

• 3 · Pledges and grants receivable

  beginning of year $0 · end of year $0

• 4 · Accounts receivable

  beginning of year $129,743,675 · end of year $134,214,823

• 5 · Loans and receivables from officers and key people

  beginning of year $0 · end of year $0

• 6 · Loans and receivables from disqualified persons

  beginning of year $0 · end of year $0

• 7 · Other notes and loans receivable

  beginning of year $0 · end of year $0

• 8 · Inventories for sale or use

  beginning of year $0 · end of year $0

• 9 · Prepaid expenses and deferred charges

  beginning of year $6,665,677 · end of year $4,881,221

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

  $44,396,052

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

  $36,432,030

• 10c · Land, buildings and equipment, net

  beginning of year $8,688,784 · end of year $7,964,022

• 11 · Investments: publicly traded securities

  beginning of year $439,738,109 · end of year $479,453,303

• 12 · Investments: other securities

  beginning of year $0 · end of year $0

• 13 · Investments: program-related

  beginning of year $0 · end of year $0

• 14 · Intangible assets

  beginning of year $0 · end of year $0

• 15 · Other assets

  beginning of year $53,036,945 · end of year $59,058,813

• 17 · Accounts payable and accrued expenses

  beginning of year $440,783,190 · end of year $539,617,647

• 18 · Grants payable

  beginning of year $0 · end of year $0

• 19 · Deferred revenue

  beginning of year $1,220,063 · end of year $3,959,834

• 20 · Tax-exempt bond liabilities

  beginning of year $0 · end of year $0

• 21 · Escrow or custodial account liability

  beginning of year $0 · end of year $0

• 22 · Loans and payables to officers and key people

  beginning of year $0 · end of year $0

• 23 · Secured mortgages and notes payable

  beginning of year $0 · end of year $0

• 24 · Unsecured notes and loans payable

  beginning of year $0 · end of year $0

• 25 · Other liabilities

  beginning of year $0 · end of year $0

• 27 · Net assets without donor restrictions

  beginning of year $256,841,236 · end of year $216,068,796

• 28 · Net assets with donor restrictions

  beginning of year $0 · end of year $0

The filer's explanations (Part III)

SCHEDULE J, PART I, LINE 3:

THE FCHP BOARD HAS THE AUTHORITY AND DISCRETION TO DETERMINE COMPENSATION OF THE SENIOR EXECUTIVES AND EXECUTIVE INCENTIVES. THE DISCRETION IS TYPICALLY EXERCISED THROUGH THE BOARD'S EXECUTIVE EVALUATION AND COMPENSATION COMMITTEE, WHICH HAS THE AUTHORITY TO DISCHARGE THE BOARD'S RESPONSIBILITIES FOR COMPENSATION AND EXECUTIVE INCENTIVES. HOWEVER, THE DISCRETIONARY COMPENSATION/INCENTIVES RECOMMENDED MUST BE WITHIN THE PARAMETERS OF THE STANDARDS THAT THE COMMITTEE HAS ESTABLISHED AND NEEDS TO BE CONSISTENT WITH THE IRS STANDARDS OF REASONABLENESS FOR SUCH INCENTIVES PROVIDED TO NONPROFIT EXECUTIVES.

SCHEDULE J, PART I, LINE 4B:

SEE ALSO PART I, LINE 7 SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN FCHP OFFERED A SUPPLEMENTAL EXECUTIVE RETIREMENT 457(F) PLAN (SERP), THAT COVERED CERTAIN EXECUTIVES IN THE ORGANIZATION. PARTICIPANTS IN THIS PLAN VESTED ANNUALLY AND RECEIVED DISTRIBUTIONS ONCE VESTING REQUIREMENTS WERE MET. SERP CONTRIBUTIONS COULD BE MADE ON BEHALF OF AN EMPLOYEE WHO WAS THE PRESIDENT AND CHIEF EXECUTIVE OFFICER, THE DIVISION PRESIDENT, SENIOR CARE SERVICES, AN EXECUTIVE OR SENIOR VICE PRESIDENT. IN ADDITION, CONTRIBUTIONS COULD BE MADE ON BEHALF OF ANY EMPLOYEE WHO WAS DESIGNATED AS ELIGIBLE FOR A PLAN BY THE BOARD AT ITS DISCRETION. THE 457 (F) PLAN SERP WAS FROZEN ON DECEMBER 31, 2021 AND THE BOARD DECIDED IT WOULD NO LONGER MAKE DISCRETIONARY CONTRIBUTIONS ON BEHALF OF ANY PARTICIPANT FOR THE YEARS 2018 - 2021. IN 2023, THE FOLLOWING INDIVIDUALS LISTED IN SCHEDULE J, PART II RECEIVED DISTRUBTIONS FROM THE 457 (F) SERP PLAN FOR YEARS 2018 - 2021. AMOUNTS PAID UNDER THE PLAN ARE INCLUDED IN SCHEDULE J, PART II, COLUMN (B) (III) AND ARE LISTED BELOW. AMOUNTS DEFERRED IN PRIOR YEARS WERE INCLUDED IN SCHEDULE J, PART II, COLUMN (C). CONTRIBUTIONS THAT WERE PREVIOUSLY REPORTED ON A PRIOR FORM 990 AND ARE PAID OUT IN THE CURRENT YEAR ARE REPORTED IN SCHEDULE J, PART II, COLUMN (F). NAME AMOUNT VESTED AND PAID RICHARD P. BURKE 512,350 TODD BAILEY 20,334 MARY RITTER 19,509 JILL GREEN LEBOW 19,098 JAMES GENTILE 15,159 CHRISTINE CASSIDY 14,719 FCHP ESTABLISHED A NEW NON-QUALIFIED DEFERRED COMPENSATION PLAN (THE "PLAN"), WHICH PROVIDES DISCRETIONARY INCENTIVE AWARDS TO EXECUTIVE OFFICERS AND OTHER SELECTED EMPLOYEES OF THE COMPANY TO INCENTIVIZE THEM TO REINFORCE CRITICAL LONG-TERM STRATEGIC GOALS AND ENCOURAGE SUSTAINED YEAR-TO-YEAR PERFORMANCE RELATIVE TO KEY FINANCIAL AND STRATEGIC INDICATORS. THE PLAN REPLACED THE AFOREMENTIONED 457 (F) PLAN (SERP), EFFECTIVE JANUARY 1, 2022. THIS LONG-TERM INCENTIVE PLAN QUALIFIES AS 457(F) SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN. THE PARTICIPANT WILL RECEIVE A CASH DISTRIBUTION AFTER THE END OF THE APPLICABLE PERFORMANCE PERIOD, IN MARCH OR APRIL OF THE CALENDAR YEAR FOLLOWING THE LAST DAY OF THE APPLICABLE PERFORMANCE PERIOD. IF THE PARTICIPANT'S EMPLOYMENT TERMINATES OR HAS A SEPARATION FROM SERVICE FOR ANY REASON OTHER THAN IN THE EVENT OF DEATH, DISABILITY, RETIREMENT OR CHANGE OF CONTROL PRIOR TO THE DATE OF THE CASH DISTRIBUTION, THE PARTICIPANT WILL NOT BE ELIGIBLE TO RECEIVE PAYMENT AND THE AWARD WILL BE CANCELLED AND FORFEITED IN ITS ENTIRETY. AMOUNTS DEFERRED UNDER THE PLAN ARE INCLUDED IN SCHEDULE J, PART II, COLUMN (C). THESE AMOUNTS WOULD NOT BE CONSIDERED VESTED AS OF 12/31/2023, AS THE PLAN HAS A THREE-YEAR PERFORMANCE PERIOD WITH OVERLAPPING CYCLES WITH THE FIRST CYCLE COMMENCING JANUARY 1, 2022.

SCHEDULE J, PART I, LINE 7:

CORPORATE INCENTIVE PLAN FCHP HAS A CORPORATE INCENTIVE PLAN FOR CERTAIN EMPLOYEES TO REWARD ACHIEVEMENT OF FINANCIAL AND STRATEGIC GOALS OF THE ORGANIZATION. ON AN ANNUAL BASIS, THE ORGANIZATION PAYS ELIGIBLE PARTICIPANTS THEIR INCENTIVE COMPENSATION, PART OF WHICH IS BASED OFF OPERATING INCOME TARGETS. EMPLOYEES MUST BE EMPLOYED IN GOOD STANDING THROUGH THE TIME OF PAYOUT. INCENTIVE PAYMENTS ARE TYPICALLY PLANNED FOR MARCH OR APRIL. IN 2023 CERTAIN EMPLOYEES LISTED IN SCHEDULE J, PART II PARTICIPATED IN THE PLAN. AMOUNTS PAID BY THE ORGANIZATION UNDER THE PLAN ARE INCLUDED IN SCHEDULE J, PART II, COLUMN B(II). CONTRIBUTIONS THAT WERE PREVIOUSLY REPORTED ON A PRIOR FORM 990 IN SCHEDULE J, PART II, COLUMN (C) ARE PAID OUT IN THE CURRENT YEAR AND ARE REPORTED IN SCHEDULE J, PART II, COLUMN (F). SEE ALSO SCHEDULE J, PART 1, LINE 3.

SCHEDULE J, PART I, LINE 1A

FCHP HAS A GIFT CARD POLICY THAT THE COMPANY PAYS ALL APPLICABLE TAXES ON BEHALF OF THE EMPLOYEE. THE VALUE OF THE GIFT CARD IS INCLUDED IN THE EMPLOYEE'S TAXABLE INCOME. THIS POLICY APPLIES TO ALL FCHP EMPLOYEES. IN 2023, THE FOLLOWING INDIVIDUALS LISTED IN SCHEDULE J, PART II RECEIVED GIFT CARDS FROM FCHP DURING THE YEAR. NAME AMOUNT PAID JANIS LIEPINS $550 CHRISTINE CASSIDY $175 MARK DITCHER $100 DEBORAH DAVIAU $100 RANDI BERKOWITZ $85 EMILY WEST $75 TODD BAILEY $50 ELIZABETH CREAVIN $50

Disregarded entities

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

• FCHP NEW YORK LLC

  HEALTH CARE · NY · income $0 · assets $0

  Directly controlled by FCHP

Related corporations and trusts

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

• FALLON HEALTH & LIFE ASSURANCE COinc

  C CORP · HEALTH INS. · MA · 100% owned · share of income $13,375,352 · share of assets $28,561,103 · controlled entity

  Directly controlled by FCHP

• ULTRABENEFITS INC

  C CORP · 3RD PARTY ADM · MA · 0% owned · share of income $7,662,547 · share of assets $0 · controlled entity

  Directly controlled by FHLAC

• GISC INSurance AGENCY INC

  C CORP · INSURANCE AGENCY · MA · 0% owned · share of income $0 · share of assets $0 · controlled entity

  Directly controlled by UBI