2024-12-03T08:10:06-06:00 2023-12-31 910189318 Moss Adams 2882 Prospect Park Dr Rancho Cordova CA 95670 990 2023-01-01 880231433 Hometown Health Plan Inc HOME 7759826488 1155 Mill St CO Tax Treasury Z-4 Reno NV 89502 Anna Loomis Chief Financial Officer 7759826488 2024-12-02 1 0 Tracy S Paglia P00366884 9165038100 2024-12-02 2023 2024-10-15 13:58:12Z Brian Erling 1155 Mill St C/O Tax Treasury Z-4 Reno NV 89502 366449134 0 X www.hometownhealth.com X 1987 NV An HMO health insurance company. 4 0 0 0 0 0 0 41479619 139900012 318284703 768981 1895901 73498 121563 140742491 361781786 0 0 0 0 7196183 15255532 0 0 0 157154739 311909849 164350922 327165381 -23608431 34616405 79859894 90632241 74822307 49504783 5037587 41127458 X Renown Health makes a genuine difference in the health and well-being of the people and communities we serve. 0 0 273524680 0 318284703 See Schedule OHometown Health Plan is part of the insurance division of Renown Health and is committed to providing high-quality health plans and great customer service. Hometown Health Plan operates a health maintenance organization and health insurance services to commercial enrollees and to those eligible for Medicare through its Medicare Advantage plan Senior Care Plus. Hometown Health Plan had 8,801 members in its commercial product and 18,618 members in its Senior Care Plus product as of December 31, 2023. Hometown Health Plan helps its members receive the most appropriate, financially responsible care based upon individual health needs.For the year ended December 31, 2023, Hometown Health Plan, along with its parent, Renown Health and its subsidiaries, provided approximately $274 million in benefit to the community (using community benefit numbers gathered by the Nevada Hospital Association using state-approved criteria to ensure consistency). For a full report on the benefit Renown Health provided to our community, as well as our community needs assessment and community benefit plan, go to https://www.renown.org/about/community-commitment. 273524680 0 1 0 0 0 0 0 0 0 1 0 0 1 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 X 1240 0 1 0 0 0 0 0 0 0 0 0 X 4 0 1 0 0 0 1 1 1 1 0 0 0 1 1 1 1 1 1 0 0 0 X Anna Loomis 7759826488 1155 Mill St Z-4 Reno NV 89502 X Bethany Sexton - President & Chair/CEO Hometown Health 57.00 3.00 X X 678306 0 93628 Jamie Winter Secretary 3.00 57.00 X X 0 258309 30093 Brian Erling President/CEO 2.00 58.00 X X 0 1288090 215714 Rebekah Winter Treasurer 3.00 57.00 X X 0 285584 15531 Ann Beck Chief Financial Officer 2.00 58.00 X 0 822915 110675 Matthew Cain Physician - Cardiologist 60.00 0.00 X 1325432 0 21548 Athan Roumanas Cardiothoracic CV Surgeon 60.00 0.00 X 1103105 0 26495 Abhilash Akinapelli Physician - Cardiologist 60.00 0.00 X 1091667 0 30576 John Hansen Physician - Surgeon Vascular 60.00 0.00 X 1097062 0 27025 Ben Jaquish Physician - Surgeon Vascular 60.00 0.00 X 1092820 0 22502 Josiah Johnson Former Officer 0.00 60.00 X 0 768059 18368 Thomas Graf Former Officer 0.00 60.00 X 0 593777 11028 Sean Hawthorne Former Officer 0.00 60.00 X 0 406006 30797 Ty Windfeldt Former Officer 0.00 0.00 X 0 537640 0 6388392 4960380 653980 512 1 1 0 P3 Health Partners 2370 Corporate Circle Suite 300 Henderson NV 89074 Insurance Claims Processing 3840659 Liberty Dental Plan of Nevada Inc 340 Commerce Suite 100 Irvine CA 92602 Insurance Claims Processing 2375403 AON Benfield Inc 5600 West 83rd Street 8200 Tower Minneapolis MN 55437 Reinsurance Services 1547327 Eyemed Insurance Company 4000 Luxottica Place Mason OH 45040 Insurance Claims Processing 836084 Willis Towers Watson 38 East Scenic Point Drive Draper UT 84020 Insurance Broker Services 692995 13 41479619 41479619 Premium Revenue 524114 303031619 303031619 Physician Svcs Admin 524298 15253084 15253084 318284703 1909569 1909569 158827 37264 121563 121563 121563 4616416 4630084 -13668 -13668 -13668 361781786 318284703 0 2017464 771934 771934 14483598 14483598 27744069 27744069 186461 186461 5793948 5793948 733031 733031 191842 191842 252477 252477 Medical Claims Expense 270708632 270708632 Cost Containment Exp 2216664 2216664 Premium Taxes 2016102 2016102 Regulatory License/Fee 750082 750082 1316541 407542 908999 327165381 273524680 53640701 0 2627805 5624264 338968 529492 0 274096 10786875 2730880 8340033 8055995 48275734 50496309 20277354 25652085 79859894 90632241 52072777 45276425 22749530 4228358 74822307 49504783 X 5037587 41127458 5037587 41127458 79859894 90632241 34616405 1473466 0 X X 0 1 X 1 0 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 649767 2539351 3189118 1283055 5290978 1899023 4675010 2618 2618 0 1021106 829239 191867 8055995 Cash Reserve Fund - Statutory 750000 Patient Receivables 24251174 Affiliate Receivable 490457 Deposits - Guaranty Funds 160454 25652085 Due to Affiliates 3478358 Insolvency Reserve 750000 4228358 X Part X, Line 2: Hometown Health Plan, Inc. is organized as a Nevada nonprofit entity and has been recognized by the Internal Revenue Service (IRS) as exempt from federal income taxes under Internal Revenue Code Section 501(c)(4). This entity must annually file Returns of Organizations Exempt from Income Tax (Form 990) with the IRS. Hometown Health Plan, Inc. believes that it has appropriate support for any tax positions taken affecting its annual filing requirements, and as such, does not have any uncertain tax positions that are material to the combined financial statements. Hometown Health Plan, Inc. would recognize future accrued interest and penalties related to unrecognized tax benefits and liabilities in income tax expense if such interest and penalties are incurred. X 1 1 1 1 0 0 0 0 0 0 0 Brian Erling President/CEO 0 1220589 0 0 0 67501 0 197268 0 18446 0 1503804 0 0 Matthew Cain Physician - Cardiologist 937366 0 387502 0 564 0 13200 0 8348 0 1346980 0 0 0 Athan Roumanas Cardiothoracic CV Surgeon 1060002 0 41849 0 1254 0 12203 0 14292 0 1129600 0 0 0 John Hansen Physician - Surgeon Vascular 1096648 0 0 0 414 0 13200 0 13825 0 1124087 0 0 0 Abhilash Akinapelli Physician - Cardiologist 658261 0 433244 0 162 0 13200 0 17376 0 1122243 0 0 0 Ben Jaquish Physician - Surgeon Vascular 1092640 0 0 0 180 0 5077 0 17425 0 1115322 0 0 0 Ann Beck Chief Financial Officer 0 613763 0 197753 0 11399 0 101462 0 9213 0 933590 0 0 Josiah Johnson Former Officer 0 18377 0 0 0 749682 0 1030 0 17338 0 786427 0 0 Bethany Sexton - President & Chair/CEO Hometown Health 493462 0 166662 0 18182 0 74999 0 18629 0 771934 0 0 0 Thomas Graf Former Officer 0 20157 0 0 0 573620 0 985 0 10043 0 604805 0 0 Ty Windfeldt Former Officer 0 0 0 0 0 537640 0 0 0 0 0 537640 0 537640 Sean Hawthorne Former Officer 0 404716 0 0 0 1290 0 13317 0 17480 0 436803 0 0 Rebekah Winter Treasurer 0 285344 0 0 0 240 0 11454 0 4077 0 301115 0 0 Jamie Winter Secretary 0 257619 0 0 0 690 0 12613 0 17480 0 288402 0 0 Part I, Line 1a Tax Indemnification and Gross-up Payments: Athan Roumanas and Matthew Cain - included in taxable compensation Part I, Line 3 Hometown Health Plan, Inc. relied on Renown Health, a related organization to establish compensation for its top management official. Renown Health used the following methods to establish compensation: compensation committee, independent compensation consultant, compensation survey or study, and approval by the board or compensation committee. See Renown Health's Form 990, Schedule O, narrative for Part VI, Section B, Line 15 for a description of the process utilized by Renown Health. Part I, Lines 4a-b Thomas Graf and Josiah Johnson received severance payments of $573,471 and $749,539, respectively. These amounts are included in Schedule J, Part II, Column (B)(iii). Brian Erling, Ann Beck, and Bethany Sexton are parties to a supplemental nonqualified retirement plan. Contributions of $184,068 to Brian Erling, $88,989 to Ann Beck, and $74,999 to Bethany Sexton were included in Schedule J, Part II, Column (C). Form 990, Part V, Line 1a, Number reported in Box 3 of Form 1096: Hometown Health Plan pays Providers directly resulting in the issuance of Form 1099s for these payments. However, Renown Health, the parent organization, pays other independent contractors directly. The actual expense of each independent contractor is directly charged to the assigned entity. The number reported on line 1a reflects the number of Form 1099s issued to Providers. Form 990, Part V, Line 2a, Number of Employees on W-3: Hometown Health Plan has its own employees, however, Renown Health, the parent organization, pays all compensation and employee benefit amounts under a common paymaster arrangement. The actual compensation of each employee is directly charged to their assigned entity. Salaries are reported on Line 7 of Part IX. Form 990, Part VI, Section A, line 2 Brian Erling, Ann Beck, and Jamie Winter have a business relationship. Ann Beck has a business relationship with Bethany Sexton. Form 990, Part VI, Section A, line 6 Renown Health is the sole corporate member of Hometown Health Plan. Form 990, Part VI, Section A, line 7a Renown Health, acting through its Board of Directors, appoints the members of the Board of Governors of Hometown Health Plan. Form 990, Part VI, Section A, line 7b Renown Health must approve any merger, consolidation or dissolution of Hometown Health Plan, any borrowing in excess of $1 million in any fiscal year, and encumbrances of assets and certain other actions not in the ordinary course of business. Form 990, Part VI, Section A, line 8b There was no committee during the year that had the broad authority to act on behalf of the board. Form 990, Part VI, Section B, line 11b The Form 990 is prepared by an independent public accounting firm with support from the organization's tax department. The Form 990 is reviewed by the organization's current Corporate Controller and current Chief Financial Officer prior to the final version being sent to the Board. The Form 990, as filed with the IRS, is sent to each voting member of the Renown Health Board prior to filing. Along with the Form 990 and Schedules, the Renown Health Board is provided with a narrative that explains the contents of the various parts of the return. Form 990, Part VI, Section B, line 12c On an annual basis at or prior to the first regular meeting following the election of new board members, the members of the Hometown Health Plan Board are given an Annual Disclosure Statement. They are expected to perform a reasonable investigation into their business, financial, family or significant personal relationships to disclose any actual or potential conflicts of interest. If, in connection with a proposed transaction or arrangement involving a Renown Health entity, a board member discovers that an actual or possible conflict of interest has arisen that was not disclosed on the Annual Statement, then the board member must disclose the existence and nature of his or her financial interests to the remaining directors that are considering the proposed transaction or arrangement in a timely manner. If a board member discloses an actual or possible conflict of interest, the board member shall leave the board or committee meeting while the remaining board members discuss the financial interest. The remaining board members shall vote upon and decide whether a conflict of interest actually exists. If the remaining board members determine that a conflict does exist, then appropriate measures are taken to ensure the issue is addressed. Form 990, Part VI, Section C, line 19 Hometown Health Plan does not make its governing documents, conflict of interest policy, or financial statements available to the general public. Form 990, Part VII and Part IX The salaries and benefits reported in Part VII are not directly reflected in Part IX, line 7, as the physicians salaries and benefits are directly allocated to the related entities where the work is being done and reported on those respective tax filings. Form 990, Part XII, Line 2b, Audit Committee: Renown Health, the sole member of this entity, has an audit committee that assumes responsibility for the consolidated audit and selection of the independent accountant. Renown Health 1155 Mill St Z-4 Reno NV 89502 942972845 Health Care NV 501(c)(3) Line 12c, III-FI N/A 0 Renown Regional Medical Center 1155 Mill St Z-4 Reno NV 89502 880213754 Hospital NV 501(c)(3) Line 3 Renown Health 0 Renown Health Foundation 1155 Mill St Z-4 Reno NV 89502 942972749 Foundation NV 501(c)(3) Line 7 Renown Health 0 Renown South Meadows Medical Center 1155 Mill St Z-4 Reno NV 89502 460517825 Hospital NV 501(c)(3) Line 3 Renown Health 0 Renown Transitional Care Services 1155 Mill St Z-4 Reno NV 89502 880231828 Health Care NV 501(c)(3) Line 12b, II Renown Health 0 Renown Medical School Associates North 1155 Mill St Z-4 Reno NV 89502 860881749 Patient Care NV 501(c)(3) Line 10 Hometown Health Plan 1 Renown Businesses 1155 Mill St Z-4 Reno NV 89502 880228030 Health Care NV N/A C 0 Hometown Health Management Company 1155 Mill St Z-4 Reno NV 89502 880236758 Management Services NV N/A C 0 Hometown Health Providers Insurance Co 1155 Mill St Z-4 Reno NV 89502 880177026 Insurance NV N/A C 0 0 0 1 0 0 0 0 0 0 1 0 0 1 0 1 1 1 0 0 Renown Medical School Associates North M 253098 General Ledger Hometown Health Plan, Inc. ("HHP") respectfully requests abatement of any potential penalties imposed under section 6652(c) for failure to timely file the 2023 Form 990 for the tax year ended December 31, 2023. The penalties should be abated because HHP has reasonable cause, as discussed below.HHP is a 501(c)(4) tax-exempt organization. The tax year end was changed from June 30 to December 31 in 2022. The change in year end was properly reflected in the 2022 short year Form 990 for the six-month period ended December 31, 2022, reporting a "Change in Accounting Period" in the heading of the Form 990. The change in year end was not reflected in the IRS Business Master File at the time of filing the extension for the 2023 Form 990, so HHP paper filed the extension. HHP has called the IRS multiple times throughout 2024 to get the year end corrected in order to e-file the 2023 Form 990 under the e-filing mandate.HHP attempted to e-file the 2023 Form 990 on November 13, 2024 but the filing was rejected due to the year end in the tax return (correctly reported as December 31, 2023) not matching the year end in the IRS Business Master File (incorrectly reported as June 30, 2023). The public accounting firm engaged to prepare the HHP 2023 Form 990 called the IRS e-file Help Desk on November 15, 2024 and received the following incident number: IM627156. The public accounting firm followed up on November 21, 2024 and was informed that the IRS was still working on the year end change. The public accounting firm received a call back on November 26, 2024 and was informed that the 2023 Form 990 may now be released for e-file. The public accounting firm was closed for the Thanksgiving holiday, so the return was not released for e-file until December 2, 2024. Section 301.6652-2(f) establishes that penalties for failure to timely file Form 990 can be abated if the Taxpayer can make an affirmative showing of reasonable cause. The concept of reasonable cause appears throughout the penalty provisions of the Internal Revenue Code. Reasonable cause, however, is not explicitly defined in the Code or its underlying regulations. The Supreme Court described reasonable cause in the context of section 6651 as ordinary care and prudence." United States v. Boyle, 469 U.S. 241, 246 (1985). In contrast, willful neglect was defined in Boyle as "a conscious, intentional failure or reckless indifference." 469 U.S. at 245.In the present case, HHP has reasonable cause for its late filing of 2023 Form 990 due to incorrect information in the IRS Business Master File despite correctly filing a "Change in Accounting Period" return and several calls made by HHP to the IRS to update the year end to the correct period. HHP acts with prudence with respect to all tax obligations and has been timely with all other filings prior to the form at issue. The return was also timely submitted for e-filing under the extension paper filed in April, 2024 and the public accounting firm contacted the IRS e-file Help Desk to resolve the issue to allow for e-filing the return in a timely manner. Therefore, based on the reasons stated above, we believe there is reasonable cause for this late filing, and we respectfully request that the late filing penalties be abated.