Form 990 for tax year 2023

Revenue

Part VIII, the statement of revenue.

• 1c · Fundraising events

  $7,700

• 1d · Related organizations

  $258,481

• 1f · All other contributions, gifts and grants

  $207,569

• 3 · Investment income

  total $150,553 · excluded $150,553

• 7a · Gross sales of assets other than inventory

  securities $102,460

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

  securities $97,828

• 7c · Gain or loss

  securities $4,632

• 7d · Net gain or loss

  total $4,632 · excluded $4,632

• 8a · Fundraising events: gross income

  $147,363

• 8a · Fundraising events: contributions included on line 1c

  $7,700

• 8b · Fundraising events: direct expenses

  $59,213

• 8c · Net income from fundraising events

  total $88,150 · excluded $88,150

• 10a · Gross sales of inventory

  $31,019

• 10b · Cost of goods sold

  $32,771

• 10c · Net income from sales of inventory

  total -$1,752 · excluded -$1,752

Functional expenses

Part IX, the statement of functional expenses.

• 1 · Grants to domestic organizations and governments

  total $110,299 · program services $110,299

• 11b · Fees: legal

  total $7,316 · management and general $7,316

• 11f · Fees: investment management

  total $5,619 · management and general $5,619

• 11g · Fees: other

  total $9,379 · program services $9,379

• 12 · Advertising and promotion

  total $2,500 · management and general $2,500

• 13 · Office expenses

  total $43,282 · program services $43,282

• 14 · Information technology

  total $118,109 · program services $118,109

• 16 · Occupancy

  total $180 · program services $180

• 17 · Travel

  total $374 · program services $374

• 19 · Conferences, conventions and meetings

  total $22,575 · program services $22,575

• 24a · Other expenses: MEMBERSHIPS & DUES

  total $2,130 · program services $2,130

• 24b · Other expenses: MEDICAL SUPPLIES

  total $813 · program services $813

• 24c · Other expenses: BOOKS & PERIODICALS

  total $183 · program services $183

Balance sheet

Part X, book values.

• 2 · Savings and temporary cash investments

  beginning of year $2,260,630 · end of year $2,604,092

• 11 · Investments: publicly traded securities

  beginning of year $1,795,517 · end of year $2,052,332

• 15 · Other assets

  beginning of year $1,131,507 · end of year $1,199,969

• 19 · Deferred revenue

  end of year $16,000

• 27 · Net assets without donor restrictions

  beginning of year $2,887,042 · end of year $3,340,278

• 28 · Net assets with donor restrictions

  beginning of year $2,300,612 · end of year $2,500,115

The filer's explanations (Part III)

PART I, LINE 3

THE COMPENSATION FOR THE CEO WAS ESTABLISHED AND PAID BY OLMSTED MEDICAL CENTER, THE SOLE MEMBER. THE FOLLOWING METHODS WERE RELIED UPON BY OLMSTED MEDICAL CENTER TO DETERMINE SUCH COMPENSATION: 1. COMPENSATION COMMITTEE, 2. INDEPENDENT COMPENSATION CONSULTANT, 3. COMPENSATION SURVEY OR STUDY, AND 4. APPROVAL BY THE BOARD OR COMPENSATION COMMITTEE. IN ORDER TO ENSURE THAT ALL OLMSTED MEDICAL CENTER (OMC) EXECUTIVE COMPENSATION DECISIONS ARE COMPETITIVE, EQUITABLE, UNIFORMLY ADMINISTERED, AND CONSISTENT WITH MARKET PRACTICES, OMC FOLLOWS RECOMMENDED BEST PRACTICES. THE GOALS OF EXECUTIVE COMPENSATION ARE TO ATTRACT AND RETAIN HIGHLY QUALIFIED PERSONNEL, TO MAINTAIN COMPENSATION LEVELS COMMENSURATE WITH THE SCOPE OF RESPONSIBILITIES FOR EACH POSITION, AND TO REWARD OUTSTANDING PERFORMANCE. OMC WILL SEEK MANAGEMENT TALENT BY CONDUCTING NATIONAL SEARCHES FOR QUALIFIED APPLICANTS FOR ANY VACANCIES AT THE CHIEF MEDICAL OFFICER AND CEO POSITIONS IN ADDITION TO VICE PRESIDENT POSITIONS AS NECESSARY. THE SAME PHILOSOPHY IS APPLICABLE TO THE POSITION OF OMC PRESIDENT. OMC ENGAGES AN EXTERNAL CONSULTANT WHO ANNUALLY COMPILES A PEER GROUP COMPENSATION ANALYSIS AND ON A TWO-YEAR BASIS COMPILES A PEER GROUP COMPENSATION AND BENEFITS ANALYSIS. PEER GROUPS FOR EXECUTIVE COMPENSATION, WHICH INCLUDES BASE SALARIES, INCENTIVE AND BENEFITS, WILL BE PROVIDED FOR HEALTH DELIVERY SYSTEMS WITH A MINIMUM OF A HOSPITAL AND AN EMPLOYED PHYSICIAN NETWORK AND NET REVENUES ROUGHLY SIMILAR TO THE REVENUES OF OLMSTED MEDICAL CENTER. MOST RECENTLY A COMPENSATION AND BENEFITS PEER REVIEW STUDY WAS COMPLETED FOR THE CEO, PRESIDENT, CHIEF MEDICAL OFFICER AND VICE PRESIDENTS AND PRESENTED TO THE BOARD EXECUTIVE COMPENSATION COMMITTEE. THE EXECUTIVE COMPENSATION COMMITTEE RECEIVES A SUMMARY OF EVERYONE'S COMPENSATION TO ENSURE IT IS IN ALIGNMENT WITH THE SAME COMPENSATION METHODOLOGY AND AGREED UPON METHODOLOGY OF THE EXECUTIVE COMPENSATION SYSTEM OF OMC. THESE POSITIONS INCLUDE THE CHIEF MEDICAL OFFICER AND VICE PRESIDENTS OF OMC. THE EXECUTIVE COMPENSATION COMMITTEE WILL SET THE COMPENSATION OF THE PRESIDENT, AND CEO, AND MINUTES ARE KEPT OF THESE DISCUSSIONS. THE BOARD OF TRUSTEES, ACTING THROUGH THE BOARD OF TRUSTEES COMPENSATION COMMITTEE, MUST APPROVE THE EXECUTIVE COMPENSATION POLICY AND PROCESS OF DETERMINING EXECUTIVE COMPENSATION. IN ADDITION, THE PHYSICIAN SALARIES ARE CALCULATED ANNUALLY, USING NATIONAL PHYSICIAN SALARY COMPARISON GUIDES FACTORING IN PRODUCTIVITY AND QUALITY MEASURES, AND REVIEWED ON AN ANNUAL BASIS FOR MARKET REASONABLENESS BY AN INDEPENDANT CONSULTING FIRM. THE PHYSICIANS RECEIVE NO COMPENSATION AS ATTENDING BOARD MEMBERS. THESE DISCUSSIONS ARE NOTED IN THE MINUTES OF THE BOARD OF TRUSTEES COMPENSATION COMMITTEE ANNUAL MEETING. THE BOARD OF TRUSTEES COMPENSATION COMMITTEE REPORTS TO THE FULL BOARD OF TRUSTEES ON AN ANNUAL BASIS THE COMPLETION OF SUCH DUTIES AND ARE ALSO NOTED IN THE MINUTES.

PART I, LINE 4B

OLMSTED MEDICAL CENTER, A RELATED ORGANIZATION, HAS A 457(F) SUPPLEMENTAL NON-QUALIFIED RETIREMENT PLAN FOR CERTAIN INDIVIDUALS IN LEADERSHIP POSITIONS. DURING 2023, THE EMPLOYEES EARNED A CONTRIBUTION TO THEIR SUPPLEMENTAL NONQUALIFIED PLAN. SAID CONTRIBUTIONS WON'T BE 100% VESTED UNTIL 2027, AT WHICH TIME EACH WILL BECOME TAXABLE TO THE EMPLOYEE. THE AMOUNT, NET OF TAXES, WILL REMAIN IN THE EMPLOYEE'S ACCOUNT UNTIL THEIR RETIREMENT. THE FOLLOWING AMOUNTS WERE EARNED IN 2023: TIM WEIR, FACHE - $92,300 JAMES HOFFMANN, DO - $46,150 KEVIN HIGGINS - $41,499 STACEY VANDEN HEUVEL - $5,625