Form 990 for tax year 2023

Revenue

Part VIII, the statement of revenue.

• 1d · Related organizations

  $42,400

• 1e · Government grants (contributions)

  $2,164,978

• 1f · All other contributions, gifts and grants

  $3,491,854

• 2a · Program service revenue: Wellness Programs

  total $7,017,130 · related or exempt $7,017,130

• 2b · Program service revenue: Rent Related Exempt Orgs

  total $3,047,902 · related or exempt $3,047,902

• 2c · Program service revenue: Gain on Debt Retirement

  total $13,163 · related or exempt $13,163

• 3 · Investment income

  total $31,657,973 · excluded $31,657,973

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

  total $495,750 · excluded $495,750

• 6a · Gross rents

  real property $182,246 · personal property $23,809

• 6b · Less rental expenses

  real property $0 · personal property $0

• 6c · Rental income or loss

  real property $182,246 · personal property $23,809

• 6d · Net rental income or loss

  total $206,055 · unrelated business $23,809 · excluded $182,246

• 7a · Gross sales of assets other than inventory

  securities $29,316,725 · other assets $471,007

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

  securities $0 · other assets -$156,698

• 7c · Gain or loss

  securities $29,316,725 · other assets $627,705

• 7d · Net gain or loss

  total $29,944,430 · related or exempt $627,705 · excluded $29,316,725

• 11a · Other revenue: Daycare

  total $850,515 · excluded $850,515

• 11b · Other revenue: Air Transport

  total $780,907 · excluded $780,907

• 11c · Other revenue: Research Revenue

  total $409,044 · excluded $409,044

• 11d · All other revenue

  total $876,129 · excluded $876,129

• 11e · Other revenue, total

  $2,916,595

Functional expenses

Part IX, the statement of functional expenses.

• 1 · Grants to domestic organizations and governments

  total $4,710,714 · program services $4,710,714

• 5 · Compensation of officers, directors and key employees

  total $9,641,683 · management and general $9,641,683

• 7 · Other salaries and wages

  total -$4,445,202 · program services $3,017,240 · management and general -$7,681,775 · fundraising $219,333

• 8 · Pension plan contributions

  total $185,311 · program services $104,189 · management and general $81,122

• 9 · Other employee benefits

  total $321,819 · program services $369,737 · management and general -$64,387 · fundraising $16,469

• 10 · Payroll taxes

  total $117,326 · program services $88,703 · management and general $28,623

• 11b · Fees: legal

  total $2,361,000 · program services $147,025 · management and general $2,213,975

• 11c · Fees: accounting

  total $644,790 · management and general $644,790

• 11d · Fees: lobbying

  total $1,015,751 · management and general $1,015,751

• 11f · Fees: investment management

  total $2,483,963 · program services $1,447,729 · management and general $1,036,234

• 11g · Fees: other

  total $12,728,833 · program services $7,494,928 · management and general $5,233,905

• 12 · Advertising and promotion

  total $4,399,342 · program services $981,684 · management and general $3,417,658

• 13 · Office expenses

  total $7,160,887 · program services $5,517,999 · management and general $1,642,095 · fundraising $793

• 14 · Information technology

  total $15,698,655 · program services $8,634,260 · management and general $7,064,395

• 16 · Occupancy

  total $3,729,555 · program services $1,856,136 · management and general $1,873,419

• 17 · Travel

  total $2,854,932 · program services $1,307,208 · management and general $1,543,993 · fundraising $3,731

• 20 · Interest

  total $10,176,146 · program services $9,923,296 · management and general $252,850

• 22 · Depreciation, depletion and amortization

  total $55,254,230 · program services $46,631,613 · management and general $8,622,617

• 23 · Insurance

  total $1,853,983 · program services $1,083,416 · management and general $770,567

• 24a · Other expenses: Taxes - UBIT

  total -$51,560 · program services -$30,051 · management and general -$21,509

• 24b · Other expenses: Maintenance

  total $36,524,522 · program services $27,839,701 · management and general $8,684,821

• 24c · Other expenses: Dues & Subscriptions

  total $10,369,760 · program services $5,147,712 · management and general $5,222,048

• 24d · Other expenses: Population Health

  total $4,402,917 · program services $4,402,917

• 24e · All other expenses

  total -$96,414,965 · program services $11,168,410 · management and general -$107,583,875 · fundraising $500

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $1,923,472 · end of year $1,294,967

• 2 · Savings and temporary cash investments

  beginning of year $31,191,324 · end of year $39,248,611

• 3 · Pledges and grants receivable

  beginning of year $762,294 · end of year $1,313,081

• 4 · Accounts receivable

  beginning of year $4,978,901 · end of year -$1,891,792

• 5 · Loans and receivables from officers and key people

  beginning of year $5,007,341 · end of year $5,007,341

• 7 · Other notes and loans receivable

  beginning of year $27,733,750 · end of year $31,253,867

• 8 · Inventories for sale or use

  beginning of year $1,394,641 · end of year $976,790

• 9 · Prepaid expenses and deferred charges

  beginning of year $16,400,558 · end of year $22,497,809

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

  $683,570,467

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

  $472,983,559

• 10c · Land, buildings and equipment, net

  beginning of year $230,513,703 · end of year $210,586,908

• 11 · Investments: publicly traded securities

  beginning of year $1,124,749,235 · end of year $1,246,748,258

• 12 · Investments: other securities

  beginning of year $18,645,776 · end of year $16,869,690

• 13 · Investments: program-related

  beginning of year $225,964,496 · end of year $225,352,954

• 14 · Intangible assets

  beginning of year $133,326,592 · end of year $133,326,592

• 15 · Other assets

  beginning of year $20,282,318 · end of year $21,583,112

• 17 · Accounts payable and accrued expenses

  beginning of year $84,366,813 · end of year $99,403,534

• 19 · Deferred revenue

  beginning of year $227,289 · end of year $179,238

• 20 · Tax-exempt bond liabilities

  beginning of year $1,104,328,481 · end of year $1,076,768,030

• 23 · Secured mortgages and notes payable

  beginning of year $6,767,658 · end of year $6,458,725

• 25 · Other liabilities

  beginning of year $61,927,291 · end of year $127,523,683

• 27 · Net assets without donor restrictions

  beginning of year $584,783,136 · end of year $638,270,212

• 28 · Net assets with donor restrictions

  beginning of year $473,733 · end of year $5,564,766

The filer's explanations (Part III)

Part I, Line 1a

Unless expressly approved by the Ballad Health Executive Chair/President, first-class transportation is generally not permitted. The Executive Chair/President may utilize first class travel for flights of a long duration. The Vice Chair/Lead Independent Director of the Board of Directors reviews and determines approval for expense reimbursement requests made by the Executive Chair/President. Charter flights must be approved in advance by the Executive Chair/President and are limited to business trips that can be justified based on financial savings, essential time savings and meeting logistics. On an annual basis, the Internal Audit Department of Ballad Health validates all charter travel was for valid business purposes and in compliance with the Ballad Health senior executive travel and business reimbursement policy.

Part I, Lines 4a-c

The following executives listed in Schedule J, Part II participated in a 457(f) retirement plan provided by Ballad Health (BH). The 457(f) plan is a nonqualified tax-deferred compensation plan available to a select group of key executives for the intent of supporting retention and to offer a competitive total retirement program. Account balances have a "substantial risk of forfeiture". In addition to creditor risk, substantial risk of forfeiture is created through default risk if the participant's employment with BH is terminated prior to age 65. However, the 457(f) plan contains a non-compete provision that provides the account balance to be paid in a lump sum after the executive satisfies the two-year non-compete period. This provision applies to employer contributions if the executive has provided eligible service for six or more years. The executive will receive the entire account balance if he/she becomes disabled, dies or if the executive terminates for "good reason or is involuntarily terminated without "good cause" within a 24-month period after a change-of-control occurs. Distributions from this plan are subject to federal, state, and local taxes on the entire account balance upon distribution. Alan Levine $214,191 Eric Deaton $78,933 Lynn Krutak $70,942 Tony Keck $52,137 Julie Bennett $41,515 Steve Kilgore $50,297 Clay Runnels, MD $70,664 Shane Hilton $50,175 Mark Wilkinson, MD $44,571 Lisa Smithgall $42,507 Pam Austin $42,941 Amit Vashist, MD $46,693 Debbie Dover $41,554 The following executive received a change-of-control payment. The payment was reported as taxable income with appropriate tax withheld and remitted to the IRS. Tim Belisle $161,641

Related partnerships

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

• East Tennessee Ambulatory Surgical Ctr

  Medical Services · TN

• Emmaus Community Healthcare PLLC

  Medical Services · TN

• Medical Specialists of J C LLC

  Medical Services · TN

• Quality Improvement Ptrs LLC

  Healthcare · TN

Related corporations and trusts

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

• Ballad Health Development Corporation

  C · Investments · TN · 100% owned · share of assets $202,267

  Directly controlled by BRMMC

• Ballad Ventures LLC

  C · Investments · TN · 100% owned · share of income $22,825 · share of assets $12,270,295

  Directly controlled by BRMMC

• Blue Ridge Medical Management Corp

  C · Medical Services · TN · 100% owned · share of income $127,187,172 · share of assets $233,957,018

  Directly controlled by MSHA

• Community Home Care Inc

  C · Durable Medical Equipment · VA · 100% owned · share of income $179,571

  Directly controlled by WHS

• Mediserve Medical Equipment of Kingsport Inc

  C · Durable Medical Equipment · TN · 100% owned · share of income $3,570,660 · share of assets $3,763,319

  Directly controlled by BRMMC

• Mountain States Physician Grp Inc

  C · Medical Services · TN · 100% owned · share of income $46,937,666 · share of assets $7,684,278

  Directly controlled by BRMMC

• Mountain States Properties Inc

  C · Property Management · TN · 100% owned · share of income $15,101,454 · share of assets $130,645,770

  Directly controlled by BRMMC

• Nolichuckey Management Svcs Inc

  C · Medical Services · TN · 100% owned · share of income -$6,210 · share of assets $211,000

  Directly controlled by TRH

• Wellmont Health Services Inc

  C · Medical Services · TN · 100% owned · share of income $1,158,215 · share of assets $9,087,594

  Directly controlled by WHS

• Wellmont Insurance Co SPC LTD

  C · Insurance · CJ · 100% owned · share of income $2,382,226 · share of assets $36,465,696

  Directly controlled by WHS

• Wellmont Physician Services Inc

  C · Medical Services · TN · 100% owned

  Directly controlled by WHS

• Wellmont Inc

  C · Medical Services · TN · 100% owned · share of assets -$90,943,380

  Directly controlled by WHS

• Wilson Pharmacy Inc

  C · Pharmacy · TN · 100% owned · share of income $6,459,112 · share of assets $7,946,311

  Directly controlled by BRMMC

• WPS Providers Inc

  C · Medical Services · TN · 100% owned · share of income $23,634,202 · share of assets $2,225,949

  Directly controlled by WHS