Form 990 for tax year 2023

Revenue

Part VIII, the statement of revenue.

• 1e · Government grants (contributions)

  $2,191,038

• 1f · All other contributions, gifts and grants

  $215,306

• 2a · Program service revenue: OUTPATIENT REVENUE

  total $159,375,872 · related or exempt $158,281,180 · unrelated business $1,094,692

• 2b · Program service revenue: INPATIENT REVENUE

  total $113,499,141 · related or exempt $113,499,141

• 2c · Program service revenue: CLINIC

  total $46,532,185 · related or exempt $46,532,185

• 2d · Program service revenue: NURSING HOME

  total $21,260,379 · related or exempt $21,260,379

• 2e · Program service revenue: PHARMACY

  total $6,037,034 · related or exempt $5,995,772 · unrelated business $41,262

• 2f · All other program service revenue

  total $4,432,917 · related or exempt $4,432,917

• 3 · Investment income

  total $193,731 · excluded $193,731

• 6a · Gross rents

  real property $238,823

• 6b · Less rental expenses

  real property $0

• 6c · Rental income or loss

  real property $238,823

• 6d · Net rental income or loss

  total $238,823 · excluded $238,823

• 7a · Gross sales of assets other than inventory

  other assets $7,453

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

  other assets $0

• 7c · Gain or loss

  other assets $7,453

• 7d · Net gain or loss

  total $7,453 · excluded $7,453

• 10a · Gross sales of inventory

  $166,102

• 10b · Cost of goods sold

  $111,655

• 10c · Net income from sales of inventory

  total $54,447 · excluded $54,447

• 11a · Other revenue: CAFETERIA/MEALS

  total $2,370,240 · excluded $2,370,240

• 11b · Other revenue: DAY CARE CENTER

  total $469,845 · excluded $469,845

• 11c · Other revenue: SERVICE INCOME

  total $437,974 · excluded $437,974

• 11d · All other revenue

  total $219,076 · related or exempt $134,616 · unrelated business $2,137 · excluded $82,323

• 11e · Other revenue, total

  $3,497,135

Functional expenses

Part IX, the statement of functional expenses.

• 1 · Grants to domestic organizations and governments

  total $75,000 · program services $75,000

• 5 · Compensation of officers, directors and key employees

  total $4,234,092 · program services $3,557,896 · management and general $676,196

• 7 · Other salaries and wages

  total $186,320,773 · program services $166,584,950 · management and general $19,735,823

• 8 · Pension plan contributions

  total $3,815,795 · program services $2,970,341 · management and general $845,454

• 9 · Other employee benefits

  total $13,872,972 · program services $13,596,503 · management and general $276,469

• 10 · Payroll taxes

  total $10,844,778 · program services $8,947,358 · management and general $1,897,420

• 11b · Fees: legal

  total $814,430 · program services $38,459 · management and general $775,971

• 11c · Fees: accounting

  total $215,294 · program services $25,590 · management and general $189,704

• 11d · Fees: lobbying

  total $100,104 · management and general $100,104

• 11g · Fees: other

  total $24,996,273 · program services $23,019,220 · management and general $1,977,053

• 12 · Advertising and promotion

  total $75,062 · program services $68,936 · management and general $6,126

• 13 · Office expenses

  total $1,899,584 · program services $952,590 · management and general $946,994

• 14 · Information technology

  total $12,298,153 · program services $11,214,635 · management and general $1,083,518

• 16 · Occupancy

  total $50,776,361 · program services $41,443,125 · management and general $9,333,236

• 17 · Travel

  total $354,775 · program services $314,565 · management and general $40,210

• 19 · Conferences, conventions and meetings

  total $42,365 · program services $8,314 · management and general $34,051

• 23 · Insurance

  total $1,679,510 · program services $1,243,518 · management and general $435,992

• 24a · Other expenses: MEDICAL SUPPLIES

  total $21,560,387 · program services $21,510,377 · management and general $50,010

• 24b · Other expenses: PHARMACEUTICAL SUPPLIES

  total $14,274,159 · program services $13,986,477 · management and general $287,682

• 24c · Other expenses: NON MEDICAL SUPPLIES

  total $8,797,524 · program services $8,722,130 · management and general $75,394

• 24d · Other expenses: REPAIRS AND MAINTENANCE

  total $1,616,668 · program services $1,616,064 · management and general $604

• 24e · All other expenses

  total $5,871,739 · program services $5,178,784 · management and general $692,955

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $20,336,234 · end of year $23,063,472

• 2 · Savings and temporary cash investments

  beginning of year $6,632,700 · end of year $6,702,479

• 4 · Accounts receivable

  beginning of year $50,240,222 · end of year $51,345,657

• 8 · Inventories for sale or use

  beginning of year $8,179,143 · end of year $8,635,156

• 9 · Prepaid expenses and deferred charges

  beginning of year $3,904,562 · end of year $4,585,095

• 15 · Other assets

  beginning of year $1,437,144 · end of year $4,832,472

• 17 · Accounts payable and accrued expenses

  beginning of year $29,141,019 · end of year $44,648,978

• 19 · Deferred revenue

  beginning of year $37,721 · end of year $37,721

• 25 · Other liabilities

  beginning of year $1,648,632 · end of year $1,575,336

• 27 · Net assets without donor restrictions

  beginning of year $59,902,633 · end of year $52,902,296

The filer's explanations (Part III)

PART I, LINE 4A

JOSEPH O'CONNOR RECEIVED A SEVERANCE PAYMENT OF $138,916 UPON DEPARTURE AND IS INCLUDED IN OTHER COMPENSATION.

PART I, LINE 5

THE PROVIDER INCENTIVE PLAN (PIP) IS AN INCENTIVE PAY PLAN DESIGNED TO REWARD AND RECOGNIZE FHP PROVIDERS FOR ORGANIZATIONAL PERFORMANCE. IT IS A VARIABLE COMPONENT OF FOUNDATION HEALTH PARTNERS' TOTAL REWARDS PROGRAM. THE PROVIDER INCENTIVE PLAN IS A BONUS AND NOT A GUARANTEE. THE POTENTIAL ANNUAL PAYOUT OF THE AWARD IS $10,000 FOR PHYSICIANS AND $5,000 FOR APP STAFF. PIP OFFERS ANNUAL PERFORMANCE MEASURES AND WEIGHTINGS ALIGNED WITH OUR KEY OBJECTIVES AND STRATEGIES, ALONG WITH THE FLEXIBILITY TO PROVIDE PRORATED PAYOUT OPPORTUNITIES BETWEEN PERFORMANCE LEVELS. PHYSICIANS RECEIVE PRODUCTION PAY IN ADDITION TO THEIR BASE COMPENSATION. A SET SPECIFIC RATE OF PAY IS PAID PER WORK RVU PERFORMED OVER AN AGGREGATE THRESHOLD.

PART I, LINE 6

THE EXECUTIVE PERFORMANCE INCENTIVE (EPI) IS AN INCENTIVE PAY PLAN DESIGNED TO REWARD AND RECOGNIZE EXECUTIVES FOR ORGANIZATION PERFORMANCE. THE AMOUNT OF THE ACTUAL AWARD IS DETERMINED AS A PERCENTAGE OF BASE PAY AND THE LEVEL OF PERFORMANCE ACHIEVED AGAINST FHP'S OPERATING PRIORITIES. EACH ELIGIBLE EXECUTIVE IS ELIGIBLE FOR A 15% TARGET / 20% MAXIMUM AWARD AS A PERCENTAGE OF BASE SALARY. IF ORGANIZATION PERFORMANCE FALLS ABOVE THE TARGET BUT BELOW THE MAXIMUM, THEN THE AWARD WOULD BE PRORATED TO BE PAID AS THE PERCENTAGE BETWEEN THE TARGET AND MAXIMUM RATE BASED ON THE GOAL RESULT. RESULTS ABOVE THE MAXIMUM WOULD BE PAID AT THE MAXIMUM PERCENTAGE. THE SR LEADER PERFORMANCE INCENTIVE (SLPI) IS AN INCENTIVE PAY PLAN DESIGNED TO REWARD AND RECOGNIZE SENIOR LEADERS FOR ORGANIZATION PERFORMANCE. THE AMOUNT OF THE ACTUAL AWARD IS DETERMINED AS A PERCENTAGE OF BASE PAY AND THE LEVEL OF PERFORMANCE ACHIEVED AGAINST FHP'S OPERATING PRIORITIES. EACH ELIGIBLE SENIOR LEADER IS ELIGIBLE FOR A 5% TARGET / 10% MAXIMUM AWARD AS A PERCENTAGE OF BASE SALARY. IF ORGANIZATION PERFORMANCE FALLS ABOVE THE TARGET BUT BELOW THE MAXIMUM, THEN THE AWARD WOULD BE PRORATED TO BE PAID AS THE PERCENTAGE BETWEEN THE TARGET AND MAXIMUM RATE BASED ON THE GOAL RESULT. RESULTS ABOVE THE MAXIMUM WOULD BE PAID AT THE MAXIMUM PERCENTAGE.

Disregarded entities

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

• DENALI CENTER LLC

  COMPREHENSIVE SHORT AND LONG TERM CARE CENTER · AK · income $20,661,479 · assets $3,046,509

  Directly controlled by FOUNDATION HEALTH LLC

• FAIRBANKS MEMORIAL HOSPITAL LLC

  HOSPITAL/HEALTHCARE SERVICES · AK · income $279,085,041 · assets $95,356,504

  Directly controlled by FOUNDATION HEALTH LLC

• TANANA VALLEY CLINIC LLC

  PRIMARY CARE SERVICES · AK · income $28,321,946 · assets $5,659,945

  Directly controlled by FOUNDATION HEALTH LLC

• FAIRBANKS MEMORIAL CARDIOLOGY CENTER LLC

  CARDIOLOGY CLINIC · AK · income $23,858,807 · assets $606,715

  Directly controlled by FOUNDATION HEALTH LLC

• FAIRBANKS MEMORIAL HOME MEDICAL EQUIPMENT LLC

  HOME MEDICAL EQUIPMENT RENTALS AND SALES · AK · income $989,346 · assets $0

  Directly controlled by FOUNDATION HEALTH LLC