Form 990 for tax year 2024

Revenue

Part VIII, the statement of revenue.

• 1d · Related organizations

  $38,691,252

• 1e · Government grants (contributions)

  $18,913,992

• 1f · All other contributions, gifts and grants

  $26,041,569

• 1g · Noncash contributions included above

  $26,041,569

• 2a · Program service revenue: PATIENT CARE SERVICES

  total $3,221,917,202 · related or exempt $3,221,917,202

• 2b · Program service revenue: RELATED ORG. RENT

  total $36,487,523 · related or exempt $36,487,523

• 3 · Investment income

  total $254,105,913 · unrelated business -$1,707,451 · excluded $255,813,364

• 5 · Royalties

  total $1 · excluded $1

• 6a · Gross rents

  real property $787,236

• 6b · Less rental expenses

  real property $360,386

• 6c · Rental income or loss

  real property $426,850

• 6d · Net rental income or loss

  total $426,850 · excluded $426,850

• 7a · Gross sales of assets other than inventory

  securities $6,178,918,203 · other assets $1,586,020

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

  securities $6,286,298,749 · other assets $3,749,098

• 7c · Gain or loss

  securities -$107,380,546 · other assets -$2,163,078

• 7d · Net gain or loss

  total -$109,543,624 · excluded -$109,543,624

• 11a · Other revenue: INTERCOMPANY REVENUE

  total $72,057,349 · unrelated business $2,005,000 · excluded $70,052,349

• 11b · Other revenue: FOOD SERVICE REVENUE

  total $13,316,723 · unrelated business $3,593 · excluded $13,313,130

• 11c · Other revenue: PARKING REVENUE

  total $4,732,547 · related or exempt $4,732,547

• 11d · All other revenue

  total $18,577,830 · related or exempt $18,577,830

• 11e · Other revenue, total

  $108,684,449

Functional expenses

Part IX, the statement of functional expenses.

• 1 · Grants to domestic organizations and governments

  total $12,612,773 · program services $12,612,773

• 2 · Grants to domestic individuals

  total $68,640 · program services $68,640

• 5 · Compensation of officers, directors and key employees

  total $22,833,172 · management and general $22,833,172

• 6 · Compensation of disqualified persons

  total $535,371 · management and general $535,371

• 7 · Other salaries and wages

  total $877,113,978 · program services $754,891,546 · management and general $122,222,432

• 8 · Pension plan contributions

  total $54,843,083 · program services $35,483,924 · management and general $19,359,159

• 9 · Other employee benefits

  total $185,412,787 · program services $184,688,848 · management and general $723,939

• 10 · Payroll taxes

  total $85,528,359 · program services $55,887,501 · management and general $29,640,858

• 11b · Fees: legal

  total $14,995,652 · management and general $14,995,652

• 11c · Fees: accounting

  total $712,000 · management and general $712,000

• 11d · Fees: lobbying

  total $762,426 · management and general $762,426

• 11f · Fees: investment management

  total $18,265,308 · management and general $18,265,308

• 11g · Fees: other

  total $153,412,224 · program services $125,437,771 · management and general $27,974,453

• 12 · Advertising and promotion

  total $14,360,414 · program services $224,265 · management and general $14,136,149

• 13 · Office expenses

  total $25,540,087 · program services $16,406,205 · management and general $9,133,882

• 14 · Information technology

  total $144,979,748 · program services $143,133,068 · management and general $1,846,680

• 16 · Occupancy

  total $30,157,001 · program services $28,136,388 · management and general $2,020,613

• 17 · Travel

  total $4,268,915 · program services $1,028,071 · management and general $3,240,844

• 19 · Conferences, conventions and meetings

  total $2,495,941 · program services $2,174,003 · management and general $321,938

• 20 · Interest

  total $69,965,105 · management and general $69,965,105

• 21 · Payments to affiliates

  total $52,546,788 · management and general $52,546,788

• 22 · Depreciation, depletion and amortization

  total $144,450,155 · program services $115,793,441 · management and general $28,656,714

• 23 · Insurance

  total $10,827,628 · program services $44,419 · management and general $10,783,209

• 24a · Other expenses: MEDICAL SUPPLIES

  total $849,337,166 · program services $848,319,149 · management and general $1,018,017

• 24b · Other expenses: SUPPORT FOR HMSPG

  total $189,670,574 · program services $189,670,574

• 24c · Other expenses: PROF. SERVICES (NET)

  total $135,527,085 · program services $133,522,940 · management and general $2,004,145

• 24d · Other expenses: SUPPORT FOR HMRI

  total $125,750,000 · program services $125,750,000

• 24e · All other expenses

  total $55,620,884 · program services $30,180,773 · management and general $25,440,111

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $23,758,650 · end of year $119,665,769

• 2 · Savings and temporary cash investments

  beginning of year $512,593,811 · end of year $657,986,008

• 4 · Accounts receivable

  beginning of year $410,052,842 · end of year $431,587,616

• 8 · Inventories for sale or use

  beginning of year $41,473,006 · end of year $48,427,775

• 9 · Prepaid expenses and deferred charges

  beginning of year $66,492,866 · end of year $91,863,215

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

  $4,174,608,092

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

  $2,359,061,854

• 10c · Land, buildings and equipment, net

  beginning of year $1,805,513,931 · end of year $1,815,546,238

• 11 · Investments: publicly traded securities

  beginning of year $7,462,251,505 · end of year $8,151,793,071

• 12 · Investments: other securities

  beginning of year $31,320,000 · end of year $31,320,000

• 14 · Intangible assets

  beginning of year $19,591,309 · end of year $19,591,309

• 15 · Other assets

  beginning of year $568,399,744 · end of year $487,643,447

• 17 · Accounts payable and accrued expenses

  beginning of year $943,431,285 · end of year $1,002,482,701

• 19 · Deferred revenue

  beginning of year $70,000,470 · end of year $69,610,242

• 20 · Tax-exempt bond liabilities

  beginning of year $1,577,876,638 · end of year $1,574,864,010

• 25 · Other liabilities

  beginning of year $778,087,930 · end of year $751,936,855

• 27 · Net assets without donor restrictions

  beginning of year $7,572,051,341 · end of year $8,456,530,640

The filer's explanations (Part III)

PART I, LINE 1A

HEALTH OR SOCIAL CLUB DUES: AS STIPULATED BY THE EMPLOYMENT OF THE CEO, HE IS ENTITLED TO ANNUAL MEMBERSHIP IN THE RIVER OAKS COUNTRY CLUB IN SUPPORT OF HOUSTON METHODIST RELATED BUSINESS DEVELOPMENT ACTIVITIES. THIS AMOUNT IS INCLUDED IN THE TAXABLE INCOME OF THE CEO. PART I, LINE 4A: HOUSTON METHODIST HOSPITAL HAS A FORMAL SEVERANCE PLAN. ELIGIBLE EMPLOYEES INCLUDE ALL FULL-TIME AND PART-TIME STAFF (NOT TEMPORARY OR PRN), INCLUDING HOURLY STAFF, UP THROUGH SENIOR VICE PRESIDENTS PROVIDED THEY WORK AT LEAST 20 HOURS PER WEEK AND ARE NOT OTHERWISE COVERED BY A PHYSICIAN EMPLOYMENT AGREEMENT. THE PLAN ONLY PROVIDES SALARY AND BENEFITS IN THE EVENT AN ELIGIBLE EMPLOYEE IS INVOLUNTARILY TERMINATED DUE TO THE ELIMINATION OF THEIR POSITION OR IF THEIR CURRENT POSITION IS SIGNIFICANTLY IMPACTED BY AN ORGANIZATIONAL RESTRUCTURING OR CHANGE IN REQUIREMENT AND A COMPARABLE POSITION IS NOT AVAILABLE WITHIN THE ORGANIZATION. THE ELIGIBLE PERSON MUST ALSO SIGN A TERMINATION AGREEMENT IN ORDER TO RECEIVE SALARY CONTINUATION AND BENEFITS UNDER THE PLAN TO WHICH THEY WOULD NOT NORMALLY BE ELIGIBLE TO RECEIVE UNDER A VOLUNTARY RESIGNATION. PURSUANT TO TREASURY REG SECTION 1 6033-2(D)(5), HOUSTON METHODIST HOSPITAL HAS ELECTED TO REPORT INFORMATION ABOUT CONTRIBUTIONS, GIFTS & GRANTS, COMPENSATION AND OTHER INFORMATION ABOUT OFFICERS, DIRECTORS, TRUSTEES, KEY EMPLOYEES, FORMER EMPLOYEES, CERTAIN OTHER HIGHLY PAID EMPLOYEES, CERTAIN PROFESSIONAL CONTRACTORS AND CERTAIN OTHER CONTRACTORS ON A CONSOLIDATED BASIS FOR ALL OF THE MEMBERS OF THE GROUP, INCLUDING THE PARENT ORGANIZATION, ON THE GROUP RETURN OF METHODIST HOSPITAL GROUP, EIN 35-2410801.

PART I, LINE 4B

HOUSTON METHODIST HOSPITAL HAS A SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN, A NON-QUALIFIED EMPLOYER FUNDED PLAN. CONTRIBUTIONS ARE MADE ANNUALLY INTO A TAX DEFERRED ACCOUNT AND ARE CONSIDERED TAXABLE UPON VESTING (I.E. COMPLETION OF THREE YEARS OF VESTING SERVICE). ONCE VESTED, EACH YEAR'S SUBSEQUENT CONTRIBUTION IS TAXABLE WITHIN THE CALENDAR YEAR IN WHICH THE DEPOSIT WAS MADE. ACCOUNT BALANCES CANNOT BE ACCESSED UNTIL RETIREMENT OR TERMINATION (WHICHEVER OCCURS FIRST) AND MAY BE SUBJECT TO NON-REVOCABLE DISTRIBUTION OPTIONS UPON ELECTION. PURSUANT TO TREASURY REG SECTION 1 6033-2(D)(5), HOUSTON METHODIST HOSPITAL HAS ELECTED TO REPORT INFORMATION ABOUT CONTRIBUTIONS, GIFTS & GRANTS, COMPENSATION AND OTHER INFORMATION ABOUT OFFICERS, DIRECTORS, TRUSTEES, KEY EMPLOYEES, FORMER EMPLOYEES, CERTAIN OTHER HIGHLY PAID EMPLOYEES, CERTAIN PROFESSIONAL CONTRACTORS AND CERTAIN OTHER CONTRACTORS ON A CONSOLIDATED BASIS FOR ALL OF THE MEMBERS OF THE GROUP, INCLUDING THE PARENT ORGANIZATION, ON THE GROUP RETURN OF METHODIST HOSPITAL GROUP, EIN 35-2410801.

PART I, LINE 7

THIS ORGANIZATION PROVIDES VARIABLE COMPENSATION OPPORTUNITY THROUGH AN ANNUAL MANAGEMENT INCENTIVE PLAN. EMPLOYEES AT THE SUPERVISOR LEVEL AND ABOVE MAY BE ELIGIBLE TO PARTICIPATE. THE ANNUAL INCENTIVE PROGRAM IS BASED ON SYSTEM AND OPERATING ENTITY LEVEL PERFORMANCE IN THE AREAS OF QUALITY IMPROVEMENT OUTCOMES, PATIENT SATISFACTION AND FINANCIAL PERFORMANCE. IN ADDITION, A PORTION OF THE PAYOUT PERCENTAGE IS BASED ON GOALS THAT ARE SPECIFIC TO THE PARTICIPANTS' MANAGEMENT ROLES AT THE DIVISION OR DEPARTMENT LEVEL INCLUDING BUT NOT LIMITED TO SUCH METRICS AS OPERATING RESULTS, QUALITY AND SAFETY IMPROVEMENTS, OR CUSTOMER SATISFACTION MEASURES. DETERMINATION OF A PARTICIPANT'S PERCENTAGE OF THE POTENTIAL BONUS PAYOUT (PAID AS A PERCENT OF BASE SALARY) IS BASED ON WHETHER THE INDIVIDUAL ATTAINS AGREED UPON GOALS FOR THEIR AREA OF RESPONSIBILITY AS DETERMINED BY THEIR IMMEDIATE SUPERVISOR AS WELL AS ENTITY AND SYSTEM GOALS MET. HOUSTON METHODIST HOSPITAL ALSO HAS THE DEFERRED RETENTION BONUS PLAN (DRBP), A NONQUALIFIED EMPLOYER FUNDED PLAN. CONTRIBUTIONS ARE MADE TO ELIGIBLE EMPLOYEES EACH YEAR BASED UPON THEIR POSITION THROUGHOUT THE PLAN YEAR WHICH RUNS JULY 1 TO JUNE 30. EACH YEAR'S CONTRIBUTION IS SUBJECT TO THREE YEAR LAPSE TIME CLASS VESTING AT WHICH TIME THE VESTED CONTRIBUTION IS PAID OUT TO THE EMPLOYEE AND TAXED. SCHEDULE J, PART II PURSUANT TO TREASURY REG SECTION 1 6033-2(D)(5), HOUSTON METHODIST HOSPITAL HAS ELECTED TO REPORT INFORMATION ABOUT CONTRIBUTIONS, GIFTS & GRANTS, COMPENSATION AND OTHER INFORMATION ABOUT OFFICERS, DIRECTORS, TRUSTEES, KEY EMPLOYEES, FORMER EMPLOYEES, CERTAIN OTHER HIGHLY PAID EMPLOYEES, CERTAIN PROFESSIONAL CONTRACTORS AND CERTAIN OTHER CONTRACTORS ON A CONSOLIDATED BASIS FOR ALL OF THE MEMBERS OF THE GROUP, INCLUDING THE PARENT ORGANIZATION, ON THE GROUP RETURN OF METHODIST HOSPITAL GROUP, EIN 35-2410801.

Related partnerships

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

• MEDVEST 1 LIMITED PARTNERSHIP

  HEALTH CARE INVESTMENTS · TX

• LITCHFIELD MEMORIAL PARTNERS LP

  UNRELATED · PROPERTY INVESTMENTS · TX · 90% owned · share of income -$1,362,788 · share of assets $7,147,426

  Directly controlled by THE METHODIST HOSPITAL

Related corporations and trusts

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

• ALLIED METHODIST HOSPITAL PHYSICIANS

  C · PHYSICIAN GROUP · TX · controlled entity

• HOUSTON METHODIST CLEAR LAKE HOSPITAL MOB CONDO ASSOC

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity

• HOUSTON METHODIST ST CATHERINE MOB CONDO ASSOC

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity

• HOUSTON METHODIST THE WOODLANDS MOB CONDO ASSOC

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity

• MEDVEST HOLDINGS INC

  C · INVESTMENT COMPANY · TX · controlled entity

• MEDVEST INCORPORATED

  C · INVESTMENT COMPANY · TX · controlled entity

• METHODIST WEST HOUSTON MOB CONDO ASSOC

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity

• METHODIST WILLOWBROOK MOB CONDO ASSOC

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity

• METHODIST WILLOWBROOK MOB CONDO ASSOC II

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity

• ROMLAC INC

  C · REAL ESTATE INVESTMENT · TX · controlled entity

• SJMH CONDOMINIUM ASSOCIATION

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity

• THE METHODIST HOSPITAL CONDO ASSOC

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity

• TMH MEDICAL OFFICE BUILDINGS CONDO ASSOC

  C · CONDOMINIUM ASSOCIATION · TX · controlled entity