Form 990 for tax year 2023

Revenue

Part VIII, the statement of revenue.

• 1d · Related organizations

  $4,891,672

• 1e · Government grants (contributions)

  $307,305

• 2a · Program service revenue: ADMIN REV FROM TAX EXEMPT AFFIL

  total $233,654,031 · related or exempt $233,654,031

• 2b · Program service revenue: Net patient revenue

  total $25,664,975 · related or exempt $25,664,975

• 2c · Program service revenue: COSMG LLC income (loss)

  total $55,893 · related or exempt $55,893

• 2f · All other program service revenue

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

• 3 · Investment income

  total $313,845 · excluded $313,845

• 6a · Gross rents

  real property $8,399

• 6c · Rental income or loss

  real property $8,399 · personal property $0

• 6d · Net rental income or loss

  total $8,399 · excluded $8,399

• 7c · Gain or loss

  securities $0 · other assets $0

• 11a · Other revenue: Settlements

  total $408,699 · related or exempt $408,699

• 11b · Other revenue: HIM fees

  total $164,752 · related or exempt $164,752

• 11c · Other revenue: Management Fees

  total $162,786 · related or exempt $103,266 · unrelated business $59,520

• 11d · All other revenue

  total $90,403 · related or exempt $90,403 · unrelated business $0 · excluded $0

• 11e · Other revenue, total

  $826,640

Functional expenses

Part IX, the statement of functional expenses.

• 1 · Grants to domestic organizations and governments

  total $342,500 · program services $342,500

• 2 · Grants to domestic individuals

  total $21,800 · program services $21,800

• 5 · Compensation of officers, directors and key employees

  total $11,363,591 · program services $3,661,006 · management and general $7,702,585

• 7 · Other salaries and wages

  total $73,235,042 · program services $42,503,035 · management and general $30,732,007

• 8 · Pension plan contributions

  total $1,050,234 · program services $770,408 · management and general $279,826

• 9 · Other employee benefits

  total $75,441,856 · program services $61,104,069 · management and general $14,337,787

• 10 · Payroll taxes

  total $6,321,498 · program services $3,588,673 · management and general $2,732,825

• 11b · Fees: legal

  total $5,600,814 · management and general $5,600,814

• 11c · Fees: accounting

  total $2,297,808 · management and general $2,297,808

• 11d · Fees: lobbying

  total $30,000 · management and general $30,000

• 11f · Fees: investment management

  total $2,247 · management and general $2,247

• 11g · Fees: other

  total $21,504,843 · program services $5,583,959 · management and general $15,920,884 · fundraising $0

• 12 · Advertising and promotion

  total $2,145,933 · program services $150,966 · management and general $1,994,967

• 13 · Office expenses

  total $1,317,675 · program services $756,299 · management and general $561,376

• 14 · Information technology

  total $32,959,688 · program services $23,786,875 · management and general $9,172,813

• 16 · Occupancy

  total $7,493,419 · program services $6,258,962 · management and general $1,234,457

• 17 · Travel

  total $347,060 · program services $177,574 · management and general $169,486

• 19 · Conferences, conventions and meetings

  total $250,581 · program services $127,597 · management and general $122,984

• 20 · Interest

  total $343,057 · program services $59,787 · management and general $283,270

• 22 · Depreciation, depletion and amortization

  total $20,642,611 · program services $18,108,682 · management and general $2,533,929

• 23 · Insurance

  total $4,431,895 · program services $4,122,667 · management and general $309,228

• 24a · Other expenses: Medical supplies

  total $2,272,970 · program services $2,267,763 · management and general $5,207

• 24b · Other expenses: Dues and Subscriptions

  total $1,003,495 · program services $167,779 · management and general $835,716

• 24c · Other expenses: Equipment Maintenance

  total $870,818 · program services $822,469 · management and general $48,349

• 24d · Other expenses: UBI and Excise Taxes

  total $375,140 · management and general $375,140

• 24e · All other expenses

  total $1,288,873 · program services $401,643 · management and general $887,230 · fundraising $0

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $22,708,692 · end of year $21,010,278

• 4 · Accounts receivable

  beginning of year $3,466,233 · end of year $5,299,543

• 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 $49,282

• 9 · Prepaid expenses and deferred charges

  beginning of year $33,415,852 · end of year $12,571,456

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

  $223,281,651

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

  $133,201,262

• 10c · Land, buildings and equipment, net

  beginning of year $104,069,663 · end of year $90,080,389

• 12 · Investments: other securities

  beginning of year $0

• 13 · Investments: program-related

  beginning of year $0

• 14 · Intangible assets

  end of year $1,838,244

• 15 · Other assets

  beginning of year $21,126,243 · end of year $47,064,428

• 17 · Accounts payable and accrued expenses

  beginning of year $24,090,167 · end of year $24,721,849

• 19 · Deferred revenue

  beginning of year $157,601 · end of year $139,711

• 22 · Loans and payables to officers and key people

  beginning of year $0 · end of year $0

• 25 · Other liabilities

  beginning of year $159,397,316 · end of year $155,660,770

• 27 · Net assets without donor restrictions

  beginning of year $1,141,599 · end of year -$2,608,710

• 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 1a Health or social club dues or initiation fees

Membership dues to a local county club are provided to the CEO. A percentage of the dues are allocated to the CEO, based on personal usage and reported as taxable income. A membership to this club is used primarily as a space to hold various recognition and hospital-related functions.

Schedule J, Part I, Line 4b Supplemental nonqualified retirement plan

COTTAGE HEALTH PROVIDES CERTAIN EXECUTIVES A SUPPLEMENTAL RETIREMENT PROGRAM. THE PROGRAM IS DEFINED AS DEFERRED COMPENSATION UNDER THE IRC SECTION 457(F). THE ANNUAL CONTRIBUTION IS 9.8% OF BASE YEARS SALARY WITH THE CONTRIBUTIONS VESTING FIVE YEARS FROM CREDITING DATE, OR AT AGE 62, OR IMMEDIATELY IN THE EVENT OF DEATH, DISABILITY, OR INVOLUNTARY TERMINATION WITHOUT CAUSE. THE UNVESTED ACCOUNT BALANCES ARE ASSETS OF THE ORGANIZATION AND ARE INCLUDED IN OTHER ASSETS AND THE ACCRUED EXPENSE IS INCLUDED IN SERP AND RETIREMENT PLAN LIABILITY IN THE ACCOMPANYING CONSOLIDATED BALANCE SHEETS. THE AMOUNTS ARE SUBJECT TO A SUBSTANTIAL RISK OF FORFEITURE. DEFERRED CONTRIBUTIONS TO THIS PLAN WILL BE REPORTED AGAIN AS REPORTABLE COMPENSATION IN THE YEAR PAID. IN 2023, THERE WERE RECIPIENT PAYOUTS FROM THE 457(F) PLAN TO Lisa Moore ($47,038) Cara Williams ($42,531) and Kathryn Bazlewicz ($45,724).

Schedule J, Part I, Line 7 Non-fixed payments

Each year the Board of Directors determines if a bonus can be paid based on the financial operating results of the completed year. The Board determines the total amount of the bonus pool. This pool of money is distributed to employees in the management team based on the individual's achievement of personal goals and the overall team's accomplishment of system-wide goals pertaining to quality, service excellence, employee engagement, financial or other. The payout for individuals is calculated based on percentages of their base salary and their position.

Disregarded entities

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

• Cottage Clinical Network LLC

  Medical Urgent Care Centers · CA · income $33,875,878 · assets $42,651,042

  Directly controlled by Cottage Health

Related corporations and trusts

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

• Villa Riviera Real Estate Company

  C Corporation · Workforce Housing Development · CA · 0% owned · share of income $0 · share of assets $0 · controlled entity

  Directly controlled by SB Cottage Hosp Fndtn