2023-05-15T14:20:47-05:00 2022-06-30 390859910 BAKER TILLY US LLP 500 MIDLAND COURT PO BOX 8130 JANESVILLE WI 535478130 990 2021-07-01 362167945 MERCYHEALTH VISITING NURSES ASSOCIATION INC MERC 8159715000 4223 E STATE STREET ROCKFORD IL 61108 JAVON BEA PRESIDENT/CEO 8159715000 2023-05-12 1 JAVON BEA XXX-XX-XXXX TROY MARINE CPA P00187863 6087525835 2023-05-12 3 AAL1 IAL1 2021 2023-04-26 12:10:37Z MERCYHEALTH AT HOME JAVON BEA 4223 E STATE STREET ROCKFORD IL 61108 16708561 0 X WWW.MERCYHEALTHSYSTEM.ORG X 1920 IL TO PROVIDE HEALTH CARE AND RELATED SERVICES IN THE HOME, TO HELP A PATIENT BE MORE INDEPENDENT & RECOVER MORE QUICKLY, REDUCING THE NEED FOR & THE COST OF CARE, TO ATTEND TO THE ELDERLY BY MEETING SOCIAL & PHYSICAL NEEDS, TO PROVIDE HOSPICE CARE FOR PATIENTS & THEIR FAMILIES AND TO TRAIN THOSE CAREGIVERS. 8 6 180 30 375 0 17035 14590 15137697 14157908 0 0 1349291 1374313 16504023 15546811 0 0 0 0 10443886 9734004 0 0 0 4388946 4066631 14832832 13800635 1671191 1746176 14370944 15145634 4447167 3942886 9923777 11202748 X THE MISSION OF THE MERCYHEALTH VISITING NURSES ASSOCIATION, INC. (VNA) IS "EXCEPTIONAL HEALTHCARE SERVICES WITH A PASSION FOR MAKING LIVES BETTER." 0 0 3300862 3376890 VNA HAS BEEN PROVIDING HOME HEALTH SERVICES SINCE IT WAS ESTABLISHED IN 1920. THESE SERVICES HAVE EVOLVED BASED ON COMMUNITY NEEDS. A COMMUNITY VOLUNTARY BOARD OF DIRECTORS PROVIDES AN ANNUAL EVALUATION OF SERVICES BASED ON COMMUNITY NEEDS. HOME HEALTH IS A CORE SERVICE AND HAS BECOME CRITICALLY IMPORTANT WITH HELPING TO KEEP PEOPLE IN THEIR HOMES AND OUT OF INSTITUTIONS WHERE COSTS ARE SIGNIFICANTLY GREATER. THE HOME HEALTH CARE STAFF PROVIDED 1,115 PATIENTS WITH OVER 15,800 VISITS BY NURSES, THERAPISTS (PT, ST, OT) AND NURSE AIDES IN 2022. 7435327 7961455 VNA OFFERS SPECIALIZED ASSISTANCE THROUGH THE HOSPICE PROFESSIONALS, AND 30 TRAINED VOLUNTEERS CARED FOR 316 TERMINALLY ILL PATIENTS AND THEIR FAMILIES IN 2022. SUPPORT AND COMFORT IS NOT ONLY PROVIDED FOR THE PATIENT BUT THE ENTIRE FAMILY, INCLUDING TWELVE MONTHS OF BEREAVEMENT FOLLOW-UP AFTER THEIR LOVED ONE'S DEATH. SPECIALLY TRAINED THERAPY DOGS ARE ALSO A PART OF THE SERVICE PROVIDING COMFORT THROUGH PET THERAPY. DURING 2022, HOSPICE STAFF PROVIDED 36,417 DAYS CARING FOR PHYSICAL AND EMOTIONAL NEEDS OF PATIENTS IN THEIR HOMES, IN NURSING FACILITIES, AND IN HOSPITALS. OLDER ADULT CARE SERVICES AND OTHER ADULT SERVICES SUCH AS MONEY MANAGEMENT ARE TO HELP PEOPLE LIVE IN THEIR OWN HOMES AND PREVENT INSTITUTIONALIZATION INTO NURSING HOMES. OVER 6,700 CLIENTS WERE PROVIDED A VARIETY OF SERVICES DURING 2022. NEARLY 2,300 ELDERLY RECEIVED SOCIAL CASE MANAGEMENT SERVICES INCLUDING AN INITIAL ASSESSMENT TO DETERMINE NEEDS AND THEN ASSISTANCE WITH ARRANGING FOR ANY AND ALL SERVICES FROM THE COMMUNITY TO HELP SUPPORT THEM IN THEIR HOME. OTHER SERVICES INCLUDE A PROGRAM TO SERVE ELDERLY WHO HAVE BEEN NEGLECTED, ABUSED, AND/OR FINANCIALLY EXPLOITED. THE "MONEY MANAGEMENT" PROGRAM SUPPORTS SENIORS WHO HAVE DIFFICULTY IN MANAGING THEIR BILLS, AND "MONEY FOLLOWS THE PERSON" PROGRAM PROVIDES SUPPORT TO HELP MOVE ELDERLY FROM NURSING HOMES BACK TO LIVING IN THEIR OWN HOME. SUPPORT AND TRAINING IS PROVIDED FOR CARETAKERS. NUMEROUS VOLUNTEERS ARE UTILIZED TO SUPPORT MANY OF THESE UNDERFUNDED SERVICES. 2067316 4193501 MEDICAL EQUIPMENT AND RESPIRATORY SERVICES ARE PROVIDED TO PATIENTS IN THEIR HOME TO ASSIST THEM IN LIVING INDEPENDENTLY. THERE WERE 4,481 HOME VISITS MADE BY RESPIRATORY THERAPISTS AND 7,476 VISITS TO DELIVER NECESSARY MEDICAL EQUIPMENT, PROVIDE OXYGEN AND OR OTHER EQUIPMENT RELATED SERVICES IN 2022. EQUIPMENT IS PROVIDED WITH EDUCATION FOR THE PATIENT OR THE FAMILY/CAREGIVER FOR FUNCTIONAL TRAINING AND OPERATIONAL SAFETY. 12803505 1 1 0 1 0 0 0 0 0 1 1 0 0 1 1 0 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 0 0 0 1 29 2 1 180 1 1 1 0 0 0 0 0 0 0 0 0 0 0 X 8 6 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 1 1 0 0 0 IL X TODD ANDERSON VP & CFO 8159716738 2400 N ROCKTON AVE ROCKFORD IL 61103 JAVON R BEA PRESIDENT & CEO (SEE PAGES 37-40) 1.00 66.00 X X 0 11908792 619061 MARK L GOELZER MD DIRECTOR/PHYSICIAN 1.00 45.00 X 0 444609 28511 ROWLAND J MCCLELLAN CHAIR & DIRECTOR 1.00 6.00 X X 0 14276 0 THOMAS R POOL VICE CHAIR & DIRECTOR 1.00 6.00 X X 0 13500 0 THOMAS D BUDD SECRETARY & TREASURER 1.00 6.00 X X 0 13691 0 DAVE L SYVERSON DIRECTOR 1.00 6.00 X 0 15306 0 KATHERINE A SCHACK DIRECTOR 1.00 6.00 X 0 13500 0 WESLEY M JOST DIRECTOR 1.00 6.00 X 0 13693 0 TODD ANDERSON VICE PRESIDENT/CFO 1.00 56.00 X 0 767925 45782 KIMBERLY SCACCIA VP - REVENUE CYCLE 1.00 40.00 X 0 432755 52988 ROBERT WALTERS EXECUTIVE DIRECTOR 40.00 0.00 X 339133 0 45764 HENRI C HAFALLA PT SUPERVISOR 40.00 0.00 X 121672 0 58344 DEBRA A ROLF DIRECTOR OF HOMECARE AND HOSPICE 40.00 0.00 X 139493 0 31847 MARY MAXSON RN FOR HOME HEALTH/HOSPICE 40.00 0.00 X 110144 0 30909 JULIE A SCHELLSCHMIDT RN FOR HOME HEALTH/HOSPICE 40.00 0.00 X 103450 0 17510 NGOZI EZEANI RN FOR HOME HEALTH/HOSPICE 40.00 0.00 X 103688 0 12710 SHANNON DUNPHY-ALEXANDER SR EXECUTIVE DIRECTOR 1.00 56.00 X 0 319804 16364 917580 13957851 959790 6 1 1 0 0 14590 14590 MEDICARE/MEDICAID PAYMENTS 621610 8607317 8607317 COMMERCIAL/SELF PAY 621999 3063804 3063804 GOVERNMENT CONTRACTS 621610 2486787 2486787 14157908 2467957 1161750 1306207 1305832 375 MISCELLANEOUS 900099 68106 68106 68106 15546811 15531846 375 0 X 384897 384897 7341041 7251333 89708 360732 338572 22160 1090162 1023171 66991 557172 521283 35889 5027 5027 1720124 1482262 237862 48401 48401 70575 20976 49599 136141 131418 4723 250533 211724 38809 259100 257500 1600 -86806 1194 -88000 331977 295052 36925 45944 22972 22972 MEDICAL SUPPLIES 768425 745088 23337 BAD DEBT EXPENSE 322461 322461 FULFILLING GRANTS EXPEN 96086 94470 1616 FREIGHT 54816 54816 43827 29213 14614 13800635 12803505 997130 0 7550002 8684115 518612 746249 1123551 1343027 310044 325861 27289 26189 4760788 3944167 1169794 816621 3671652 3203572 14370944 15145634 3945461 3771850 54269 52014 447437 119022 4447167 3942886 X 9392518 10729583 531259 473165 9923777 11202748 14370944 15145634 X 1746176 -467205 X 0 1 X 1 1 1 X 114026 270238 256167 17035 14590 672056 13818227 16449557 17835147 17489605 16625490 82218026 13932253 16719795 18091314 17506640 16640080 82890082 0 2491062 2247541 2375053 2243780 2152623 11510059 2491062 2247541 2375053 2243780 2152623 11510059 71380023 32876 63532 11050 108242 68106 283806 13965129 16783327 18102364 17614882 16708186 83173888 0.85820 0.86170 0.00000 0.00000 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 0 0 1 5027 5027 0 PART II-B, LINE 1: TOTAL LOBBYING FOR FY2022 OF $5,027 INCLUDED THE FOLLOWING: $150 OR 2.5% OF THE NHPCO DUES OF $6,017. $1,496 OR 17% OF THE ILLINOIS HOMECARE OF $8,800. $3,381 OR 23% OF THE NAHC DUES OF $14,700. 3696049 -296948 31180 368 3367553 3084834 200 656475 45132 328 3696049 2839116 37162 214551 5588 407 3084834 2745330 3382 278908 185326 3178 2839116 2600839 2045 268994 119968 6580 2745330 0.14510 0.43790 0.41700 0 1 1 143986 143986 1523846 1369734 154112 79029 62960 16069 3013927 2511473 502454 816621 INTEREST IN BENEFICIAL TRUST 3051019 DUE FROM ROCKFORD HEALTH PHYSICIANS 139672 LEASE RIGHT OF USE 12881 3203572 FIN 47 - ASSET RECOVERY OBLIGATION 100000 DUE TO JAVON BEA HOSPITAL 16647 DUE TO MERCYHEALTH DEVELOPMENT FOUNDATION 2375 119022 PART V, LINE 4: FUNDS WERE USED TO PROVIDE A LECTURE SERIES, FOR CONTINUING EDUCATION FOR EMPLOYEES WANTING TO IMPROVE THEIR CREDENTIALS OR TO FOCUS ON A NEW SKILL OR SOME TECHNOLOGY NOT CURRENTLY AVAILABLE IN THE ROCKFORD COMMUNITY. THERE WERE ALSO MISCELLANEOUS PROJECTS DESIGNATED BY THE FOUNDATION BOARD IN ACCORDANCE WITH THE SPECIFIC ENDOWMENT. ALL FUNDS WERE EXPENDED PER THE SPECIFIC DIRECTION OF EACH ENDOWMENT. 0 1 0 0 0 0 0 0 0 JAVON R BEA PRESIDENT & CEO (SEE PAGES 37-40) 0 1570273 0 1475763 0 8862756 0 602150 0 16911 0 12527853 0 5837133 TODD ANDERSON VICE PRESIDENT/CFO 0 545321 0 211257 0 11347 0 11600 0 34182 0 813707 0 0 KIMBERLY SCACCIA VP - REVENUE CYCLE 0 310535 0 120856 0 1364 0 11600 0 41388 0 485743 0 0 MARK L GOELZER MD DIRECTOR/PHYSICIAN 0 324023 0 116186 0 4400 0 11600 0 16911 0 473120 0 0 ROBERT WALTERS EXECUTIVE DIRECTOR 227161 0 110566 0 1406 0 12717 0 33047 0 384897 0 0 0 SHANNON DUNPHY-ALEXANDER SR EXECUTIVE DIRECTOR 0 244896 0 74682 0 226 0 11600 0 4764 0 336168 0 0 HENRI C HAFALLA PT SUPERVISOR 118678 0 0 0 2994 0 27348 0 30996 0 180016 0 0 0 DEBRA A ROLF DIRECTOR OF HOMECARE AND HOSPICE 120185 0 18750 0 558 0 22630 0 9217 0 171340 0 0 0 PART I, LINE 3 COMPENSATION FOR EXECUTIVES, INCLUDING THE TOP MANAGEMENT OFFICIAL, IS GOVERNED BY THE MHC BOARD OF DIRECTORS (A RELATED ORGANIZATION AND SOLE CORPORATE MEMBER OF VNA). THE MHC BOARD HAS ESTABLISHED A TOTAL COMPENSATION PHILOSOPHY THAT DIRECTS THE COMPENSATION PRACTICES FOR ALL EXECUTIVES FROM ALL RELATED ENTITIES (INCLUDING VNA) THIS BOARD HAS ESTABLISHED A COMPENSATION COMMITTEE TO ESTABLISH AND REVIEW ALL EXECUTIVE COMPENSATION ANNUALLY BASED ON THE ESTABLISHED PHILOSOPHY. AN INDEPENDENT EXTERNAL EXECUTIVE COMPENSATION FIRM PROVIDES CONSULTING ON MHC (INCLUDING VNA) SALARY RANGES AND COMPENSATION PHILOSOPHY. THE APPROPRIATE PEER GROUP FOR COMPENSATION COMPARISON PURPOSES IS OTHER NOT-FOR-PROFIT HEALTHCARE SYSTEMS SIMILAR IN SIZE AND COMPLEXITY. MHC GENERALLY CONDUCTS AN ANALYSIS OF TOTAL COMPENSATION EVERY THREE YEARS BUT MAY CHOOSE TO VARY FROM THIS SCHEDULE AS DETERMINED BY THE COMPENSATION COMMITTEE. THE VNA BOARD OF DIRECTORS CONCEDES THE AUTHORITY TO SET COMPENSATION TO MHC AS THE SOLE CORPORATE MEMBER THIS PROCESS WAS LAST COMPLETED IN 2021. PART I, LINE 4B INCENTIVE PLAN DISTRIBUTION: JAVON R. BEA - $5,837,133. PART II, LINE 1: JAVON R. BEA - DEFERRED COMPENSATION PAYMENT MR. BEA HAS BEEN EMPLOYED BY MHSC AS PRESIDENT AND CEO OVER THE PAST 30 YEARS. DURING THIS TIME, MR. BEA HAS LED AN INCREDIBLE TRANSFORMATION TAKING A SMALL, SINGLE, STAND-ALONE COMMUNITY HOSPITAL AND CREATING A VERTICALLY INTEGRATED HEALTH SYSTEM WITH 85 FACILITIES IN 50 COMMUNITIES THROUGHOUT SOUTHERN WISCONSIN AND NORTHERN ILLINOIS, INCREASING GROSS REVENUE FROM $33 MILLION TO OVER $3.4 BILLION IN FY2022. THIS HAS ALLOWED THE HEALTH SYSTEM TO GO FROM SERVING 89,000 PATIENTS IN 1989 TO OVER 1.9 MILLION PATIENTS TODAY WORKING TOGETHER WITH OVER 7,000+ PARTNERS IN HEALTH CARE. TODAY, MHSC HAS BECOME THE LARGEST EMPLOYER IN SOUTHERN WISCONSIN AND NORTHERN ILLINOIS. THIS GROWTH CAN BE ATTRIBUTED TO MR. BEA'S VISIONARY LEADERSHIP. LEADERSHIP THAT HAS LED TO MHSC RECEIVING NUMEROUS NATIONAL RECOGNIZED AWARDS INCLUDING BEING NAMED THE FIRST FULLY INTEGRATED HEALTH SYSTEM TO RECEIVE THE MALCOLM BALDRIGE NATIONAL QUALITY AWARD, THE MAGNET RECOGNITION AWARD, BEING RANKED #1 AND #2 ON AARP'S TOP 100 BEST PLACES TO WORK FOR WORKERS OVER 50, AND BEING RANKED IN THE TOP 25 ON THE TOP 100 INTEGRATED HEALTHCARE NETWORKS LIST BY MODERN HEALTHCARE FOR OVER 11 STRAIGHT YEARS. THE TURNAROUND OF MHSC IMPLEMENTED BY MR. BEA IS UNPARALLELED. BY PIONEERING A "PARTNERSHIP MODEL" OF COMPENSATION AND DESIGNING A CUSTOM CULTURE OF EXCELLENCE, MR. BEA IS VITAL TO THE DECADES-LONG AND CONTINUING GROWTH AT MHSC. THIS SUCCESS HAS MADE MR. BEA A HIGHLY SOUGHT AFTER SPEAKER AND CONSULTANT AS HE IS NOW WELL-RENOWNED FOR HIS INNOVATIONS IN THE AREAS OF INTEGRATED HEALTHCARE AND PHYSICIAN PARTNERSHIP MODELS. THE TREMENDOUS SUCCESS OF MHSC UNDER THE LEADERSHIP OF MR. BEA HAS ALLOWED HIM TO RECEIVE PAYOUTS FROM A DEFERRED COMPENSATION PACKAGE WHICH MHSC HAS BEEN PAYING INTO OVER MANY YEARS. THESE PAYMENTS ONLY BECAME PAYABLE IF MHSC ATTAINED CERTAIN DEFINED FINANCIAL AND STRATEGIC GOALS AND THE AMOUNTS ARE AT RISK EVERY SINGLE YEAR. AS INDICATED ABOVE, MANY OF THESE GOALS WERE ACHIEVED WITHIN THE PAST TWO YEARS RESULTING IN A RELEASE OF THESE DEFERRED PAYMENTS WHICH IMPACTED MR. BEA'S COMPENSATION REPORTING. THE SETTING OF THESE GOALS WERE LAID OUT BY THE BOARD OF DIRECTORS IN COOPERATION WITH NATIONALLY RECOGNIZED COMPENSATION ATTORNEYS AND CONSULTANTS TO MAKE SURE ALL FACTORS WERE TAKEN INTO CONSIDERATION. MR. BEA'S COMPENSATION HAS ALSO BEEN SCRUTINIZED BY NUMEROUS OUTSIDE ORGANIZATIONS AND MOST IMPORTANTLY, THE INTERNAL REVENUE SERVICE; AND HAS PASSED INSPECTION IN EACH CASE. TOTAL COMPENSATION IS APPROVED ANNUALLY BY THE BOARD OF DIRECTORS OF MHSC. FORM 990, PART VI, SECTION A, LINE 1A THE BOARD OF DIRECTORS SHALL BE ASSISTED THROUGH THE WORK OF VARIOUS STANDING AND SPECIAL COMMITTEES. EACH COMMITTEE SHALL HAVE A CHARTER, WHICH MUST BE APPROVED BY THE BOARD OF DIRECTORS AND WHICH SHALL SPECIFY THE COMPOSITION OF THE COMMITTEE (INCLUDING QUALIFICATIONS OF COMMITTEE MEMBERS, IF ANY), AND THE AUTHORITY AND RESPONSIBILITIES OF THE COMMITTEE. EXCEPT AS SPECIFICALLY DETERMINED BY THE BOARD OF DIRECTORS, COMMITTEES SHALL ACCOUNT DIRECTLY TO THE BOARD OF DIRECTORS THROUGH REGULAR REPORTING AT SUCH TIME IN SUCH FORMAT AS MAY BE DETERMINED BY THE BOARD. TO THE EXTENT PROVIDED BY ITS CHARTER, A STANDING COMMITTEE MAY BE GRANTED THE AUTHORITY TO EXERCISE THE POWER OF THE BOARD BETWEEN BOARD MEETINGS, EXCEPT THAT NO COMMITTEE SHALL TAKE ANY OF THE FOLLOWING ACTIONS: (A) ADOPT A PLAN FOR DISTRIBUTION OF ASSETS OR DISSOLUTION OF THE CORPORATION; (B) FILL VACANCIES ON THE BOARD OR ANY COMMITTEE THEREOF; (C) ELECT, APPOINT OR REMOVE ANY DIRECTOR, OFFICER OR COMMITTEE MEMBER, OR FIX THE COMPENSATION OF ANY COMMITTEE MEMBER; (D) AMEND OR REPEAL THE ARTICLES OF INCORPORATION OR THESE BYLAWS; (E) ADOPT A PLAN OF MERGER OR CONSOLIDATION, OR AUTHORIZE THE SALE, LEASE, EXCHANGE OR MORTGAGE OF ALL OR SUBSTANTIALLY ALL OF THE PROPERTY OR ASSETS OF THE CORPORATION; OR (F) AMEND, ALTER, REPEAL OR TAKE ACTION INCONSISTENT WITH ANY RESOLUTION OR ACTION OF THE BOARD IF, BY ITS TERMS, SUCH RESOLUTION OR ACTION PROVIDES THAT IT SHALL NOT BE AMENDED, ALTERED OR REPEALED BY A COMMITTEE. FORM 990, PART VI, SECTION A, LINE 6 MERCY HEALTH CORPORATION (MHC) IS THE SOLE CORPORATE MEMBER OF MERCYHEALTH VISITING NURSES, INC. (VNA). THE SOLE MEMBER SHALL HAVE POWERS AND VOTING RIGHTS TO DO THE FOLLOWING: (A) MAJORITY VOTE. THE FOLLOWING CORPORATION ACTIONS MAY BE TAKEN BY A MAJORITY VOTE OF THE SOLE MEMBER BOARD: (I) ELECTION AND REMOVAL OF THE DIRECTORS OR THE DIRECTORS OF ANY SUBSIDIARY; (II) INITIATION OR APPROVAL OF ANY SALE OR OTHER DISPOSITION OF ASSETS BY THE CORPORATION OF ITS SUBSIDIARY HAVING A BOOK OR MARKET VALUE EXCEEDING $500,000; (III) INITIATION OR APPROVAL OF THE FORMATION OF A NEW SUBSIDIARY, OR AN EQUITY INVESTMENT BY THE CORPORATION OR A SUBSIDIARY IN ANY UNRELATED PERSON; (IV) ADOPTION OF THE ANNUAL CONSOLIDATED OPERATING AND CAPITAL BUDGETS OF THE CORPORATION AND ITS SUBSIDIARIES, WHICH SHALL BE CONSISTENT WITH THE STRATEGIC PLANS AND STRATEGIC CAPITAL PLANS OF THE SYSTEM; (V) INITIATION OR APPROVAL OF UNBUDGETED OR OUT-OF-BUDGET CAPITAL EXPENDITURES BY THE CORPORATION OR ONE OR MORE SUBSIDIARIES THAT EXCEED $500,000 AS EITHER A SINGLE ITEM OR A SERIES OF RELATED ITEMS; (VI) INITIATION OR APPROVAL OF BUDGETED CAPITAL EXPENDITURES BY THE CORPORATION OR ONE OR MORE SUBSIDIARIES EXCEEDING $1,500,000; (VII) APPROVAL OF LOCAL BANKING RELATIONSHIP OF THE CORPORATION OR ITS SUBSIDIARIES AND THE CORPORATION'S OR ANY SUBSIDIARY'S ENGAGEMENT OF INDEPENDENT AUDITORS; (VIII) INITIATION OR APPROVAL OF LOANS OR OTHER INCURRENCE OF DEBT BY THE CORPORATION OR ANY SUBSIDIARY EXCEEDING $500,000; (IX) APPROVAL OF ANY ACTION THAT COULD IMPAIR THE TAX-EXEMPT STATUS OF THE CORPORATION OR ANY SUBSIDIARY; (X) INITIATION OR APPROVAL OF THE HIRING OR REMOVAL OF THE CHIEF EXECUTIVE OFFICER, PRESIDENT AND/OR CHIEF OPERATING OFFICER OF CORPORATION OR ANY SUBSIDIARY; (XI) ANY AND ALL ACTIONS TO PROMOTE THE QUALITY OF CARE PROVIDED BY AND THE SAFETY OF PATIENTS SERVED BY CORPORATION OR ITS SUBSIDIARIES; (XII) ANY OTHER ACTION RESERVED TO THE CORPORATION BY THE ARTICLES OF INCORPORATION OR BYLAWS OF A SUBSIDIARY; AND (XIII) APPROVAL OF ANY AND ALL SUCH OTHER MATTERS REGARDING THE CORPORATION AND THE CONDUCT OF ITS BUSINESS ACTIVITIES AND OWNERSHIP OF ITS ASSETS AS MAY RIGHTLY COME BEFORE THE SOLE MEMBER BOARD; (B) SUPERMAJORITY VOTE. THE FOLLOWING CORPORATION ACTIONS MAY BE TAKEN BY A SUPERMAJORITY VOTE OF THE SOLE MEMBER BOARD (AS DEFINED IN THE SOLE MEMBER'S CORPORATE BYLAWS): (I) APPROVAL OF THE SALE, WITHIN A SINGLE YEAR, OF MORE THAN 10% OF THE TOTAL ASSETS INCLUDED WITHIN THE SYSTEM; (II) APPROVAL OF THE STRATEGIC PLANS AND STRATEGIC CAPITAL PLANS OF THE SYSTEM; (III) APPROVAL OF THE ISSUANCE OF INDEBTEDNESS EXCEEDING $5 MILLION ON BEHALF OF THE CORPORATION OR ANY SUBSIDIARY; (IV) INITIATION OR APPROVAL OF ANY ACQUISITION, MERGER, CONSOLIDATION, DISSOLUTION OR OTHER AFFILIATION OF THE CORPORATION OR A SUBSIDIARY WITH AN UNRELATED ENTITY; (V) INITIATION OR APPROVAL OF ANY ACQUISITION, MERGER, CONSOLIDATION, DISSOLUTION, OR SALE OF SUBSTANTIALLY ALL OF THE ASSETS OF THE CORPORATION OR A SUBSIDIARY; (VI) INITIATION OR APPROVAL OF CHANGES TO THE MISSION OF THE CORPORATION OR ANY OTHER AMENDMENT OR RESTATEMENT OF THE CORPORATION'S ARTICLES OF INCORPORATION OR THESE BYLAWS; (VII) INITIATION OR APPROVAL OF CHANGES TO THE MISSION OF A SUBSIDIARY OR ANY OTHER AMENDMENT OR RESTATEMENT OF A SUBSIDIARY'S ARTICLES OF INCORPORATION OR CORPORATE BYLAWS; (VIII) INITIATION OR APPROVAL OF MATERIAL CHANGES TO THE SCOPE OF SERVICES OF CORPORATION OR ITS SUBSIDIARIES IF SUCH CHANGES WOULD HAVE A MATERIAL NET EFFECT (I.E., AN ACTUAL OR REASONABLY FORESEEABLE VALUE OR ECONOMIC EFFECT OF AT LEAST $1,000,000 ON THE OPERATING MARGIN OF CORPORATION OF ITS SUBSIDIARIES; AND (IX) REMOVAL OF ANY DIRECTOR OF THE CORPORATION OR A DIRECTOR OF A SUBSIDIARY BASED UPON A FINDING OF CAUSE, AS THAT TERM IS DEFINED IN SECTION 3.5(A) OF THE BYLAWS. FORM 990, PART VI, SECTION A, LINE 7A SEE NARRATIVE FOR FORM 990 , PART VI, LINE 6 FORM 990, PART VI, SECTION A, LINE 7B SEE NARRATIVE FOR FORM 990 , PART VI, LINE 6 FORM 990, PART VI, SECTION B, LINE 11B MANAGEMENT REVIEWS THE FORM 990 BEFORE FILING AND IT IS AVAILABLE TO THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 12C MHC COMPLIANCE DEPARTMENT IS RESPONSIBLE FOR SENDING OUT A COPY OF THE POLICY WITH THE CONFLICT OF INTEREST FORM INCLUDED EACH YEAR. EACH MEMBER OF THE BOARD IS TO COMPLETE THE FINANCIAL INTEREST DISCLOSURE STATEMENT WHICH IS A PART OF THE POLICY. THE MHC COMPLIANCE DEPARTMENT REVIEWS AND RETAINS THESE STATEMENTS. IF A CONFLICT IS IDENTIFIED, ALL AFFECTED PARTIES ARE INFORMED, POTENTIAL CONFLICTS ARE REVIEWED AND APPROPRIATE ACTIONS ARE TAKEN AS A RESULT OF THE REVIEW. EMPLOYEES ARE GIVEN THE POLICY AND A STATEMENT TO COMPLETE AT THE BEGINNING OF THE YEAR OR AS A NEW PARTY IS HIRED OR JOINS THE VNA BOARD. FORM 990, PART VI, SECTION C, LINE 19 NO DOCUMENTS AVAILABLE TO THE PUBLIC. FORM 990, PART IX, LINE 11G OTHER FEES FOR SERVICE: PROGRAM SERVICE EXPENSES 1,482,262. MANAGEMENT AND GENERAL EXPENSES 237,862. TOTAL EXPENSES 1,720,124. FORM 990, PART XI, LINE 9: UNRESTRICTED FUNDS - MHDF -366,236. CHANGES IN PENSION OBLIGATION OTHER THAN PENSION EXPENSE -143,030. POST RETIREMENT MEDICAL BENEFIT ADJUSTMENT 88,549. TEMPORARILY RESTRICTED FUNDS 11,606. PERMANENTLY RESTRICTED FUNDS -58,094. JAVON BEA HOSPITAL 2400 N ROCKTON AVE ROCKFORD IL 61103 362167847 HEALTHCARE IL 501(C)(3) LINE 3 MERCY HEALTH CORPORATION 0 MERCYHEALTH DEVELOPMENT FOUNDATION 2400 N ROCKTON AVE ROCKFORD IL 61103 363197918 SUPPORT OF HEALTHCARE IL 501(C)(3) LINE 12A, I MERCY HEALTH CORPORATION 0 ROCKFORD HEALTH PHYSICIANS 2400 N ROCKTON AVE ROCKFORD IL 61103 363907436 HEALTHCARE IL 501(C)(3) LINE 3 MERCY HEALTH CORPORATION 0 MERCY HEALTH SYSTEM ASSOCIATION OF VOLUNTEERS 1000 MINERAL POINT AVE JANESVILLE WI 53548 390912682 SUPPORT OF HEALTHCARE WI 501(C)(3) LINE 12C, III-FI MERCY HEALTH SYSTEM CORPORATION 0 MERCY HEALTH SYSTEM CORPORATION 1000 MINERAL POINT AVE JANESVILLE WI 53548 390816848 HEALTHCARE WI 501(C)(3) LINE 3 MERCY HEALTH CORPORATION 0 MERCY ASSISTED CARE INC 901 MINERAL POINT AVE JANESVILLE WI 53548 391035110 HEALTHCARE WI 501(C)(3) LINE 10 MERCY HEALTH CORPORATION 0 MERCY HARVARD HOSPITAL INC 901 GRANT STREET HARVARD IL 60033 311551871 HEALTHCARE IL 501(C)(3) LINE 3 MERCY HEALTH CORPORATION 0 MERCY CRYSTAL LAKE HOSPITAL AND MEDICAL CENTER 200 LAKE AVE WOODSTOCK IL 60098 201673011 NONE IL 501(C)(3) LINE 3 MERCY HEALTH CORPORATION 0 MERCY HEALTH CORPORATION 2400 N ROCKTON AVE ROCKFORD IL 61103 472158680 SUPPORT OF HEALTHCARE IL 501(C)(3) LINE 12B, II N/A 0 ROCKFORD HEALTH INSURANCE LTD WELLESLEY HOUSE SO 2ND FL PEMBROKE HM BD INSURANCE BD N/A C 0 JANESVILLE MEDICAL CENTER INC 1000 MINERAL POINT AVE JANESVILLE WI 53548 391520130 MANAGEMENT OF UNION EMPLOYEES WI N/A C 0 MERCYCARE INSURANCE COMPANY 580 N WASHINGTON ST JANESVILLE WI 53546 391768192 INSURANCE WI N/A C 0 MERCYCARE HMO INC - CONSOLIDATED WITH MERCYCARE INSURANCE CO 580 N WASHINGTON ST JANESVILLE WI 53546 201482553 INSURANCE WI N/A C 0 0 0 1 0 0 0 0 0 0 0 1 0 0 0 1 1 0 1 0