Form 990 for tax year 2024

Revenue

Part VIII, the statement of revenue.

• 2a · Program service revenue: PHYSICIAN LEASING SERV

  total $109,781,474 · related or exempt $109,781,474

Functional expenses

Part IX, the statement of functional expenses.

• 5 · Compensation of officers, directors and key employees

  total $7,324,450 · program services $7,324,450

• 6 · Compensation of disqualified persons

  total $1,124,346 · program services $1,124,346

• 7 · Other salaries and wages

  total $87,467,858 · program services $87,467,858

• 8 · Pension plan contributions

  total $2,577,903 · program services $2,577,903

• 9 · Other employee benefits

  total $3,924,905 · program services $3,924,905

• 10 · Payroll taxes

  total $4,487,835 · program services $4,487,835

• 23 · Insurance

  total $1,696,973 · program services $1,696,973

• 24a · Other expenses: EDUCATION

  total $1,023,897 · program services $1,023,897

• 24b · Other expenses: LICENSES

  total $113,374 · program services $113,374

• 24c · Other expenses: DUES AND SUBSCRIPTIONS

  total $32,030 · program services $32,030

• 24e · All other expenses

  total $7,904 · program services $7,904

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $938,930 · end of year -$306,745

• 4 · Accounts receivable

  beginning of year $748,942,420 · end of year $36,594,236

• 17 · Accounts payable and accrued expenses

  beginning of year $750,106,133 · end of year $36,512,275

• 27 · Net assets without donor restrictions

  beginning of year -$224,783 · end of year -$224,784

The filer's explanations (Part III)

PART I, LINE 3

THE COMPENSATION OF THE SENIOR EXECUTIVE TEAM OF BENEFIS MEDICAL GROUP, INC. WAS SET BY THE INDEPENDENT COMPENSATION COMMITTEE OF BENEFIS HEALTH SYSTEM, INC., WHICH IS CHARGED WITH ADMINISTERING THE SYSTEM'S EXECUTIVE COMPENSATION PHILOSOPHY, POLICIES AND PROGRAMS IN THE MANNER SET FORTH IN THE COMMITTEE'S WRITTEN CHARTER. THE COMMITTEE'S RESPONSIBILITIES INCLUDE (I) DETERMINING APPROPRIATE COMPENSATION FOR ALL EXECUTIVES, (II) EVALUATING AND ADOPTING EXECUTIVE COMPENSATION PLANS, POLICIES AND PROGRAMS, (III) REVIEWING AND APPROVING EXECUTIVE BENEFIT PLANS, AND (IV) VERIFYING THAT COMPENSATION IS APPROPRIATELY AND FULLY DISCLOSED AND REPORTED. THE COMMITTEE HAS ENGAGED AN INDEPENDENT COMPENSATION CONSULTING FIRM TO ASSIST IN ENSURING THAT AMOUNTS PAID TO THE SYSTEM'S EXECUTIVES ARE CONSISTENT WITH REASONABLE, FAIR MARKET LEVELS. THE PROCESS FOLLOWED BY THE COMMITTEE, INCLUDING THE DATA RELIED UPON AND THE COMMITTEE'S DECISIONS, WAS THOROUGHLY AND TIMELY DOCUMENTED. THIS PROCESS IS COMPLETED ON AN ANNUAL BASIS.

PART I, LINES 4A-B

LINE 4A: FORREST EHLINGER, $110,768. LINE 4B: BENEFIS HEALTH SYSTEM, INC PROVIDES A SECTION 457F NONQUALIFIED DEFERRED COMPENSATION PLAN FOR DR. TIERNEY, MS. GINNATY, MS. LINDER, MS. HILL, AND MR. EHLINGER WHO MET THE REQUIREMENTS OF THE PLAN. DR. TIERNEY, MS. GINNATY, MS. HILL, AND MR. EHLINGER RECEIVED A PAYOUT FROM THE PLAN IN 2024.

PART I, LINE 7

BENEFIS HEALTH SYSTEM, INC. AND ITS AFFILIATES (INCLUDING THE ORGANIZATION) MAINTAIN AN INCENTIVE COMPENSATION PLAN THAT INCORPORATES BOTH SHARED AND INDIVIDUAL GOALS FOR MEMBERS OF THE EXECUTIVE AND MANAGEMENT LEADERSHIP TEAMS. PAYMENTS PURSUANT TO THE INCENTIVE PLAN ARE SUBJECT TO A PRECONDITION THAT THE SYSTEM MUST ACHIEVE BUDGETED OPERATING PERFORMANCE. THE SYSTEM HAS ADOPTED SHARED PERFORMANCE OBJECTIVES INCLUDING SYSTEM GROWTH AS WELL AS MEASURES TIED TO WORKFORCE, PATIENT EXPERIENCE, PATIENT SAFETY, CLINICAL QUALITY, AND FINANCE/OPERATIONS. THE INDIVIDUAL PERFORMANCE OBJECTIVES ADOPTED ARE BASED ON AN ARRAY OF QUALITY, FINANCIAL, OPERATIONAL AND STRATEGIC INITIATIVES. INCENTIVE OPPORTUNITY LEVELS ARE CALCULATED BASED ON PREDETERMINED PERCENTAGES OF EACH EXECUTIVE'S AND MANAGER'S BASE SALARY, AND VARY BASED ON THE ACHIEVEMENT OF THRESHOLD, TARGET OR STRETCH LEVELS AS TO EACH PERFORMANCE OBJECTIVE. THE SYSTEM ALSO MAINTAINS A LONG-TERM INCENTIVE PLAN DIRECTED AT RECRUITING AND RETAINING EXECUTIVE LEADERSHIP. PAYMENTS UNDER THE LONG-TERM INCENTIVE PLAN ARE CONDITIONED ON AN EXECUTIVE REMAINING EMPLOYED BY THE SYSTEM AND MAINTAINING SATISFACTORY OVERALL PERFORMANCE. INCENTIVE OPPORTUNITIES UNDER THE LONG-TERM PLAN ARE APPROVED IN ADVANCE BY THE BENEFIS HEALTH SYSTEM, INC. COMPENSATION COMMITTEE, WITH LATER PAYOUTS APPROVED BY THE COMMITTEE BASED ON ACTUAL PERFORMANCE RESULTS. PHYSICIAN COMPENSATION WAS SET IN ACCORDANCE WITH THE BENEFIS HEALTH SYSTEM PHYSICIAN COMPENSATION POLICY. RESPONSIBILITY FOR THE ADMINISTRATION AND USE OF THE POLICY TO ATTRACT AN RETAINING HIGH CALIBER PHYSICIANS WHILE MEETING ALL REGULATORY REQUIREMENTS RESTS WITH A COMMITTEE WHICH IS COMPRISED OF BENEFIS HEALTH SYSTEM AND BENEFIS MEDICAL GROUP EXECUTIVES. THIS COMMITTEE USES PUBLISHED MARKET SURVEY DATA FROM MULTIPLE NATIONALLY RECOGNIZED ORGANIZATIONS TO ESTABLISH MARKET NORMS FOR COMPENSATION AND PRODUCTION. THE RESULT OF THIS WORK IS A PROGRAM OF PROVIDER COMPENSATION THAT IS CONSISTENT WITH REASONABLE MARKET PRACTICE, WITHIN FAIR MARKET VALUE NORMS, AND REWARDS PRODUCTIVITY, QUALITY, AND EFFICIENCY.

Disregarded entities

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

• BENEFIS CASCADE RIDGE LLC

  REAL ESTATE · MT

  Directly controlled by BENEFIS HEALTH SYSTEM INC

• BENEFIS HEALTH SYSTEM FOUNDATION PROPERTIES LLC

  HOLDS REAL PROPERTY DONATED TO FOUNDATION · MT

  Directly controlled by BENEFIS HEALTH SYSTEM FOUNDATION INC

Related partnerships

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

• GREAT FALLS ATHLETIC CLUB LLC

  FITNESS CLUB · MT

• TREASURE STATE HEALTHCARE NETWORK LLC

  HEALTHCARE SERVICES · MT

• OLIVET HOUSING LLC

  HOUSING RENTALS · MT

Related corporations and trusts

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

• BHS 2017 TRUST

  T · INVESTMENT TRUST · CA