2021-11-08T14:12:06-06:00 2020-12-31 990 2020-01-01 540648699 HALIFAX REGIONAL HOSPITAL INC HALI 4345173183 6015 POPLAR HALL DRIVE NORFOLK VA 23502 ROBERT A BROERMANN PRESIDENT 4345173183 2021-11-08 ROBERT BROERMANN XXX-XX-XXXX 2 AAL1 IAL1 2020 2022-09-23 18:48:47Z BRIAN K ZWOYER 2204 WILBORN AVE SOUTH BOSTON VA 24592 85943606 0 X WWW.SENTARA.COM X 1948 VA TO PROVIDE THE HIGHEST QUALITY CARE BASED ON THE HEALTHCARE NEEDS OF THE PEOPLE WE SERVE. 15 9 396 59 1308842 0 79580 6930510 87082274 78842750 125499 25894 118544 119642 87405897 85918796 1421297 708663 0 0 36291390 30607851 0 0 0 52713922 56982625 90426609 88299139 -3020712 -2380343 50187984 49612708 8306735 22658722 41881249 26953986 X THE PURPOSE OF HALIFAX REGIONAL HOSPITAL, INC. IS TO PROVIDE THE HIGHEST QUALITY CARE BASED ON THE HEALTHCARE NEEDS OF THE PEOPLE WE SERVE. FOR MORE INFORMATION, SEE SCHEDULE O. 0 0 70268347 708663 77533908 SEE SCHEDULE O. 70268347 1 1 0 0 0 0 0 0 0 1 1 0 0 0 1 0 0 1 0 0 0 0 0 0 0 0 1 1 1 0 1 0 0 0 0 0 0 0 1 0 0 0 0 1 1 1 1 1 0 1 X 63 0 1 396 1 1 1 0 0 0 0 0 0 0 0 0 0 0 X 15 9 1 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 0 0 1 1 VA X CORPORATE OFFICERS 7574557020 6015 POPLAR HALL DR NORFOLK VA 23502 MEGAN R PERRY DIRECTOR 1.00 41.40 X 0 998610 411747 JONATHAN S DAVIS DIRECTOR/VICE CHAIR 1.00 46.00 X X 0 637378 119865 JENNIFER S SICTOR DIRECTOR 1.00 40.00 X 0 427867 147412 HABIB BASSIL MD DIRECTOR/SECRETARY 1.00 0.00 X X 58625 0 0 TERRANCE J TRUITT MD DIRECTOR 1.00 0.00 X 18995 0 0 WILLIAM E COLEMAN DIRECTOR 1.00 0.00 X 0 0 0 W JOSEPH FERGUSON MD DIRECTOR 1.00 0.00 X 0 0 0 DABNEY TP GILLIAM JR DIRECTOR 1.00 0.00 X 0 0 0 VALDIVIA T HALL DIRECTOR 1.00 0.00 X 0 0 0 SAID B ISKANDAR MD DIRECTOR (VOTING EX-OFFICIO) 1.00 0.00 X 0 0 0 J KENNETH MORGAN DIRECTOR 1.00 0.00 X 0 0 0 KATHRYN F ROBERTS DIRECTOR 1.00 0.00 X 0 0 0 DAVID H WHITE JR DIRECTOR 1.00 0.00 X 0 0 0 LARRY P SNEED DIRECTOR/TREASURER 1.00 0.00 X X 0 0 0 CAROL C THOMAS DIRECTOR/CHAIR 1.60 4.30 X X 0 0 0 BRIAN K ZWOYER PRESIDENT 40.00 4.00 X 267496 0 44722 PABLO SOUZA MD PHYSICIAN - HF 40.00 0.00 X 348056 0 87192 DAVID FITTS MANAGER, PHARMACY 40.00 0.00 X 178052 0 112983 BETTY T THROCKMORTON RN UC -CLIN LADDER - LEVEL II 40.00 0.00 X 163318 0 112591 JAMES E CHILDREY MGT, PATIENT CARE SERVICES - HF 40.00 0.00 X 151379 0 99364 ANTHONY J MILAM CLINICAL PHARMACIST- INPATIENT - HF 40.00 0.00 X 149864 0 37371 MICHAEL V GENTRY FORMER OFFICER 0.00 52.00 X 0 1771839 417079 STEWART R NELSON FORMER OFFICER AND KE 0.00 42.00 X 2370 283524 20428 JASON A STUDLEY FORMER OFFICER 0.00 0.00 X 11252 192875 6815 TORIE B BASHAY FORMER KE 0.00 40.00 X 0 179028 104859 SHERRI F BEE FORMER KE 40.00 0.00 X 146657 0 72530 MING Y LIU MD FORMER TOP 5 0.00 40.00 X 0 412154 85760 GREGORY A SHUFORD MD FORMER TOP 5 0.00 40.00 X 0 245466 76321 1496064 5148741 1957039 30 1 1 0 HEALTH CAROUSEL LLC 3805 EDWARDS ROAD SUITE 700 CINCINNATI OH 45209 HEALTHCARE STAFFING SERVICES 1377518 PULMONARY ASSOCIATES OF SOUTHSIDE VIRGIN 2210 WILBORN AVENUE SOUTH BOSTON VA 24592 MEDICAL PROFESSIONAL SVCS 1178500 MORRISON MANAGEMENT SPECIALISTS INC PO BOX 160266 MOBILE AL 36625 FOOD & FACILITIES MANAGEMENT 649026 TRIMEDX 5451 LAKEVIEW PARKWAY SOUTH DRIVE INDIANAPOLIS IN 46268 CLINICAL ASSET MANAGEMENT 543006 J E BURTON CONSTRUCTION CO INC 220 WEBSTER STREET SOUTH BOSTON VA 24592 CONSTRUCTION 427301 19 6825712 104798 6930510 NET PATIENT SERVICE REVENUE 541900 77493331 77493331 OUTSIDE LAB SERVICES 541900 1308842 1308842 OTHER PROGRAM SERVICE REVENUE 990009 40577 40577 0 78842750 27284 27284 88064 0 88064 88064 88064 1390 -1390 -1390 -1390 39217 23420 15797 15797 CAFE/VENDING 721000 15223 15223 MISCELLANEOUS 900099 558 558 15781 85918796 77533908 1308842 145536 X 708663 708663 389838 328361 61477 23144227 19494382 3649845 2423571 2041374 382197 2975977 2506665 469312 1674238 1410211 264027 792282 667339 124943 115356 97164 18192 21440 18059 3381 12554618 12376371 178247 28841 24293 4548 3535948 2978329 557619 192769 162369 30400 1753648 1477098 276550 86331 72717 13614 4940 4161 779 4460012 3756668 703344 291608 245621 45987 MEDICAL SUPPLIES 17651301 17651301 SENTARA SERVICE EXPENSE 11064108 11064108 TAXES & LICENSES 3242008 3240195 1813 UBIT 43410 43410 1144005 963596 180409 88299139 70268347 18030792 0 520399 179757 10663922 9992782 216655 158419 2324646 2523958 52845 65627 66301301 30948876 36306197 35352425 1263353 103320 76387 50187984 49612708 5150152 13120613 3156583 9538109 8306735 22658722 X 41733139 26433000 148110 520986 41881249 26953986 50187984 49612708 X -2380343 -12546920 X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 148110 438540 65664 520986 103110 45100 100 148110 54994 70065 16976 4973 103110 50780 134671 114159 16298 54994 40300 61589 50478 631 50780 0.00000 0.00000 1.00000 0 0 2576000 2576000 29751806 4696627 25055179 29021831 24661907 4359924 4951664 1590342 3361322 35352425 DUE TO THIRD-PARTY PROGRAMS 4843030 OTHER LONG TERM LIABILITIES 613601 DUE TO AFFILIATES 95792 GENERAL RESERVE 2695842 ROU LIABILITIES 1289844 9538109 PART V, LINE 4: THE CLARK MEMORIAL FUNDS HELP TO DEFRAY THE COST OF MEDICAL CARE FOR RESIDENTS OF HALIFAX COUNTY WHO QUALIFY FOR THE PATIENT FINANCIAL ASSISTANCE (PFA) PROGRAM OFFERED BY THE HOSPITAL. THE FUNDS ARE USED TO ASSIST IN PAYING MAJOR MEDICAL EXPENSES THAT PERSIST AFTER THE PFA ADJUSTMENT HAS DECREASED THE INITIAL EXPENSE. SURGERIES AND OTHER MAJOR HOSPITALIZATIONS CAN LEAVE INDIVIDUALS WITH THOUSANDS OF DOLLARS IN UNEXPECTED DEBT, AND SOMETIMES WITH DIMINISHED CAPACITY TO EARN MONEY TO PAY THE INCURRED EXPENSES. WHILE THOSE WHO ARE COMPLETELY WITHOUT RESOURCES WILL RECEIVE A 100% DISCOUNT FROM THE HOSPITAL, THOSE WHO HAVE SOME, BUT INSUFFICIENT, RESOURCES WILL GET A LESSER DISCOUNT AND MAY SPEND YEARS TRYING TO CLEAR THE DEBT. THE CLARK FUNDS WILL BE USED TO ASSIST THOSE VERY-LOW-INCOME INDIVIDUALS. 1 1 1 X 300.000000000000 1 X 1 1 0 1 1 999917 999917 0.01130 16595067 16140790 454277 0.00510 17594984 16140790 1454194 0.01640 177677 177677 0.00200 7601520 7601520 0.08610 83328 83328 0.00090 7862525 7862525 0.08900 25457509 16140790 9316719 0.10540 29058 29058 0.00030 1453 1453 0.00000 16878 16878 0.00020 47389 47389 0.00050 1 4669804 700471 25862102 34497786 -8635684 X 1 1 1 HALIFAX PHO INC MANAGED CARE 0.50000 0.50000 1 1 HALIFAX REGIONAL HOSPITAL INC 2204 WILBORN AVENUE SOUTH BOSTON VA 24592 WWW.SENTARA.COM H1853 X X X HOME HEALTH HOSPICE HALIFAX REGIONAL HOSPITAL INC 1 0 0 1 X X X X X X X X X 18 1 0 0 1 X SEE SECTION C BELOW. X X 1 18 0 1 0 1 X 300.000000000000 400.000000000000 X X X X 1 1 X X X 1 X WWW.SENTARA.COM/FINANCIALASSISTANCE X WWW.SENTARA.COM/FINANCIALASSISTANCE X WWW.SENTARA.COM/FINANCIALASSISTANCE X X X X X X X 1 X 0 X X X X X 1 X 0 0 HALIFAX REGIONAL HOSPITAL, INC. PART V, SECTION B, LINE 5: IN CONDUCTING THE COMMUNITY HEALTH NEEDS ASSESSMENT (CHNA), SENTARA HALIFAX REGIONAL HOSPITAL (SHRH) TOOK INTO ACCOUNT INPUT FROM PERSONS WHO REPRESENT THE BROAD INTERESTS OF THE COMMUNITY SERVED BY THE HOSPITAL FACILITY, INCLUDING REPRESENTATIVES OF THE LOCAL PUBLIC HEALTH DEPARTMENTS AND ORGANIZATIONS SERVING THE MEDICALLY UNDERSERVED, LOW-INCOME, AND MINORITY POPULATIONS THROUGH: 1) SURVEYING KEY COMMUNITY STAKEHOLDERS BY USE OF AN ONLINE SURVEY TO IDENTIFY SIGNIFICANT HEALTH PROBLEMS AND SERVICE GAPS; 2) REVIEW OF ASSESSMENTS AND OTHER PLANNING DOCUMENTS PREPARED BY COMMUNITY ORGANIZATIONS SUCH AS THE LOCAL HEALTH DEPARTMENT; AND 3) DIRECT COMMUNICATION WITH COMMUNITY STAKEHOLDERS THROUGH INTERVIEWS AND A FOCUS GROUP.1) SHRH IDENTIFIED ITS SENIOR LEADERSHIP TEAM TO SERVE AS THE CHNA STEERING COMMITTEE RESPONSIBLE FOR OVERSEEING THE ASSESSMENT, INCLUDING THE SURVEY. THE SURVEY DISTRIBUTION LIST WAS REVIEWED TO ENSURE BROAD REPRESENTATION, INCLUDING REPRESENTATIVES OF THE LOCAL HEALTH DEPARTMENTS, COMMUNITY SERVICES BOARDS (MENTAL HEALTH AND SUBSTANCE ABUSE), SOCIAL SERVICES DEPARTMENTS, EDUCATIONAL INSTITUTIONS, PROVIDERS (MEDICAL, DENTAL, ETC.), BUSINESSES, VOLUNTARY HEALTH AGENCIES, AREA AGENCIES ON AGING, CIVIC LEAGUES, THE FAITH COMMUNITY AND OTHER HEALTH AND HUMAN SERVICES ORGANIZATIONS AND GROUPS. DURING THE SURVEY PROCESS, THE RESPONSE RATE WAS MONITORED AND FOLLOW UP WAS MADE TO ENSURE GOOD AND BROADLY REPRESENTATIVE PARTICIPATION.2) HEALTH-RELATED ASSESSMENTS AND PLANS DEVELOPED BY OTHER ORGANIZATIONS WERE IDENTIFIED AND REVIEWED. THESE FINDINGS WERE TAKEN INTO ACCOUNT IN THE IDENTIFICATION OF SIGNIFICANT HEALTH ISSUES AND IN THE DEVELOPMENT OF THE HOSPITAL'S IMPLEMENTATION STRATEGIES.3) DIRECT COMMUNICATION WITH COMMUNITY STAKEHOLDERS WAS ALSO AN IMPORTANT PART OF THE PROCESS. MEMBERS OF THE STEERING COMMITTEE PROVIDED INPUT BASED UPON THEIR INVOLVEMENT IN COMMUNITY COALITIONS AND COMMUNITY HEALTH INITIATIVES AND THEIR COMMUNICATIONS WITH INDIVIDUALS IN THE COMMUNITY. IN ADDITION, HOSPITAL STAFF CONDUCTED KEY INFORMANT INTERVIEWS AND A FOCUS GROUP TO RECEIVE BROADER INPUT. HALIFAX REGIONAL HOSPITAL, INC. PART V, SECTION B, LINE 7D: COPIES OF THE ASSESSMENT HAVE BEEN MADE AVAILABLE TO COMMUNITY ORGANIZATIONS.A LINK TO THE HOSPITAL FACILITY'S COMMUNITY HEALTH NEEDS ASSESSMENT IS ALSO ON THE SENTARA HEALTHCARE WEBSITE:HTTP://WWW.SENTARA.COM/ASSETS/PDF/ABOUT-US/COMMUNITY-HEALTH-NEEDS-ASSESSMENTS/SHRH-2018-COMMUNITY-HEALTH-NEEDS-ASSESSMENT.PDF HALIFAX REGIONAL HOSPITAL, INC. PART V, SECTION B, LINE 11: THE SHRH COMMUNITY HEALTH NEEDS ASSESSMENT IDENTIFIED NUMEROUS HEALTH ISSUES. DURING THE CHNA PROCESS, THE HOSPITAL UNDERWENT A PRIORITIZATION PROCESS TO IDENTIFY THE SIGNIFICANT HEALTH NEEDS FOR WHICH IMPLEMENTATION STRATEGIES SHOULD BE DEVELOPED. THE PROCESS CONSIDERED FACTORS SUCH AS SIZE AND SCOPE OF THE HEALTH PROBLEM, THE INTENSITY AND SEVERITY OF THE ISSUE, THE POTENTIAL TO EFFECTIVELY ADDRESS THE PROBLEM AND THE AVAILABILITY OF COMMUNITY RESOURCES, IMPACT ON HEALTH DISPARITIES, THE IMPORTANCE TO THE COMMUNITY, AND SENTARA'S MISSION "TO IMPROVE HEALTH EVERYDAY". FOR THE SIGNIFICANT HEALTH NEEDS, IN ADDITION TO EXECUTION OF THE IMPLEMENTATION STRATEGIES, THE HOSPITAL IS PARTICIPATING IN A VARIETY OF LOCAL INITIATIVES. SOME OF THE AREA NEEDS WHICH ARE NOT SPECIFICALLY ADDRESSED IN THE IMPLEMENTATION STRATEGY WERE IDENTIFIED AS LOWER PRIORITY BECAUSE THEY DID NOT RANK HIGH WITH THE PRIORITIZATION FACTORS. HALIFAX REGIONAL HOSPITAL, INC. PART V, SECTION B, LINE 16J: QUARTERLY ARTICLES WERE PLACED IN LOCAL NEWSPAPERS TO INFORM THE PUBLIC ABOUT THE FINANCIAL ASSISTANCE POLICY. HALIFAX REGIONAL HOSPITAL, INC. PART V, SECTION B, LINE 20E: THE HOSPITAL USES OUTSIDE VENDORS THAT SCREEN ALL PATIENTS WITHOUT INSURANCE FOR ELIGIBILITY FOR GOVERNMENT PROGRAMS, AND FINANCIAL COUNSELORS WHO SCREEN THOSE THAT ARE NOT ELIGIBLE FOR GOVERNMENT PROGRAMS TO DETERMINE WHETHER THEY MEET CRITERIA FOR FINANCIAL ASSISTANCE. IN ADDITION, THE PRESUMPTIVE ELIGIBILITY PROCESS ELIMINATES FROM COLLECTION EFFORTS THOSE PATIENTS WHO ARE UNLIKELY TO HAVE THE RESOURCES TO PAY THEIR ACCOUNT BALANCES, EVEN IF THEY ARE INELIGIBLE FOR FINANCIAL ASSISTANCE BY MODEL. HALIFAX REGIONAL HOSPITAL: PART V, SECTION B, LINE 3E: THE SIGNIFICANT HEALTH NEEDS PRESENTED IN THE CHNA ARE A PRIORITIZED DESCRIPTION OF THE SIGNIFICANT HEALTH NEEDS OF THE COMMUNITY IDENTIFIED BY COMMUNITY MEMBERS VIA MULTIPLE METHODS. IN ADDITION TO A KEY STAKEHOLDER SURVEY CONDUCTED ONLINE, FOCUS GROUPS ARE CONDUCTED, WITH ADDITIONAL INTERVIEWS WITH POLICY MAKERS AND REPRESENTATIVES OF INDEPENDENT COMMUNITY ORGANIZATIONS. SENTARA ENSURES THAT RESPONDENTS TO REQUESTS FOR INPUT REPRESENT MANY TYPES OF COMMUNITY ACTORS: POLICY MAKERS, SERVICE PROVIDERS, REPRESENTATIVES OF PUBLIC HEALTH ORGANIZATIONS, REPRESENTATIVES OF UNDERSERVED POPULATIONS, SOCIAL SERVICE PROVIDERS AND GOVERNMENT FUNCTIONS SUCH AS SCHOOLS, AND THE BUSINESS AND LARGER COMMUNITIES. HALIFAX REGIONAL HOSPITAL: PART V, SECTION B, LINE 13A: DURING 2020, THE HOSPITAL FACILITY RAISED ITS FREE CARE INCOME LIMIT FOR UNINSURED PATIENTS FROM 200% TO 300% OF FPG. 2 1 - CENTER FOR BEHAVIORAL HEALTH 504 WILBORN AVENUE SOUTH BOSTON VA 24592 REHABILITATION CENTER 2 - SENTARA SOUTHSIDE HEMATOLOGY & ONCOLOGY 2232 WILBORN AVE STE D SOUTH BOSTON VA 24592 OTHER OUTPATIENT SITE PART I, LINE 3C: IN ADDITION TO FPG, THE ORGANIZATION ALSO USED INSURANCE STATUS AND AN ASSET TEST AS FACTORS IN DETERMINING ELIGIBILITY FOR FREE OR DISCOUNTED CARE:-UNINSURED PATIENTS WITH A HOUSEHOLD INCOME AT OR BELOW 300% OF FPG AND WITH LESS THAN $50,000 IN AVAILABLE ASSETS WERE ELIGIBLE FOR FREE CARE.-INSURED PATIENTS WITH A HOUSEHOLD INCOME AT OR BELOW 200% OF FPG AND WITH LESS THAN $50,000 IN AVAILABLE ASSETS WERE ELIGIBLE FOR FREE CARE.-UNINSURED PATIENTS WITH A HOUSEHOLD INCOME ABOVE 300%, BUT AT OR BELOW 400%, OF THE FPG AND WITH LESS THAN $50,000 IN AVAILABLE ASSETS WERE ELIGIBLE FOR DISCOUNTED CARE AT 75% OFF OF GROSS CHARGES."AVAILABLE ASSETS" INCLUDE THE PATIENT HOUSEHOLD'S TOTAL AMOUNT OF ASSETS AVAILABLE, INCLUDING ANY LIQUID AND/OR FIXED ASSETS, FOR USE IN PAYING FOR MEDICAL CARE INCLUDING, BUT NOT LIMITED TO: CASH AND CASH EQUIVALENTS, BANK ACCOUNTS, CERTIFICATES OF DEPOSIT, INVESTMENTS, TRUST ACCOUNTS, AUTOMOBILES, RECREATIONAL VEHICLES AND OTHER FORMS OF LEISURE TRANSPORT, AND REAL ESTATE EQUITY IN REAL PROPERTY OTHER THAN THE PRINCIPAL PLACE OF RESIDENCE. SPECIFICALLY EXCLUDED FROM AVAILABLE ASSETS IS THE EQUITY IN AN APPLICANT'S PRINCIPAL PLACE OF RESIDENCE, PRIMARY SOURCE OF TRANSPORTATION, IRS RECOGNIZED RETIREMENT SAVINGS ACCOUNTS, BUSINESS ASSETS, AND 3.99 ACRES OF LAND. PART I, LINE 6A: THE ORGANIZATION'S COMMUNITY BENEFIT REPORT WAS CONTAINED IN A SYSTEM-WIDE REPORT PREPARED BY SENTARA HEALTHCARE, EIN 52-1271901, THE 501(C)(3) PARENT ORGANIZATION OF THE SENTARA HEALTH SYSTEM. PART I, LINE 7: EXCEPT FOR SUBSIDIZED HEALTH SERVICES, THE ORGANIZATION USED A COST-TO-CHARGES RATIO FROM WORKSHEET 2 TO DETERMINE THE AMOUNTS REPORTED IN PART I, LINE 7. COST METHOD WAS USED FOR SUBSIDIZED HEALTH SERVICES (7G). PART I, LINE 7G: $7,601,520 OF THE AMOUNT REPORTED IN COLUMN (E) WAS ATTRIBUTABLE TO PHYSICIAN CLINICS. PART I, LINE 3, OTHER: DURING 2020, THE ORGANIZATION MODIFIED ITS ELIGIBILITY CRITERIA FOR FREE AND DISCOUNTED CARE TO INCLUDE AN ASSET TEST AND ALSO RAISED ITS FREE CARE INCOME LIMIT FOR UNINSURED PATIENTS FROM 200% TO 300% OF FPG. SEE THE PART I LINE 3C DESCRIPTION FOR FURTHER INFORMATION ON THE ORGANIZATION'S CRITERIA FOR FINANCIAL ASSISTANCE. PART II, COMMUNITY BUILDING ACTIVITIES: THE ORGANIZATION IS PART OF THE SENTARA HEALTH SYSTEM AND FUNDS THE SYSTEM'S CORPORATE SOCIAL RESPONSIBILITY DEPARTMENT AND ITS PROGRAM, SENTARA CARES. SENTARA CARES GOES ABOVE AND BEYOND THE DELIVERY OF MEDICAL CARE AND COMPREHENSIVE HEALTH SERVICES TO ADDRESS THE SOCIAL DETERMINANTS OF HEALTH--THE CONDITIONS IN WHICH PEOPLE LIVE, WORK, AND LEARN--WHICH ARE PROVEN TO HAVE A SIGNIFICANT AND LASTING IMPACT ON HEALTH OUTCOMES. THROUGH THE PROGRAM, SENTARA COLLABORATES WITH COMMUNITY ORGANIZATIONS TO ADDRESS LONGSTANDING HEALTH DISPARITIES WITH A FOCUS ON AFFORDABLE HOUSING, SKILLED CAREERS AND HIGHER-PAYING JOBS, FOOD SECURITY, BEHAVIORAL HEALTH, AND COMMUNITY ENGAGEMENT. DURING THE CURRENT YEAR, THE PROGRAM INCLUDED PARTNERSHIPS WITH THE LOCAL INITIATIVES SUPPORT CORPORATION (LISC) TO CREATE HOUSING AND ECONOMIC OPPORTUNITIES FOR UNDERSERVED POPULATIONS IN VIRGINIA; TRUIST, THE COMMONWEALTH OF VIRGINIA, AND THE FEDERATION OF VIRGINIA FOOD BANKS TO ADDRESS FOOD INSECURITY THROUGH A NEW STATEWIDE INITIATIVE, "WE CARE" COVID-19 VIRGINIA EMERGENCY FOOD SUPPORT PLAN; AND VA READY AND THE HAMPTON ROADS WORKFORCE COUNCIL (HRWC) TO PROVIDE NO-COST, PATIENT CARE TECHNICIAN TRAINING AT THE SYSTEM'S COLLEGE OF HEALTH SCIENCES.IN ADDITION TO THE ABOVE, THE ORGANIZATION'S EMPLOYEES DONATE HUNDREDS OF HOURS AND SHARE THEIR TALENTS AND EXPERTISE AS MEMBERS OF VARIOUS CIVIC AND RELIGIOUS ORGANIZATIONS IN THEIR COMMUNITIES, AS WELL AS SERVING ON RESCUE SQUADS AND FIRE DEPARTMENTS. THE HOSPITAL ALLOWS AND ENCOURAGES EMPLOYEES TO PROVIDE SERVICE TO THE COMMUNITY DURING WORKING HOURS ALSO. EMPLOYEES SERVE IN VARIOUS CAPACITIES INCLUDING ON BOARDS AND ADVISORY COMMITTEES OF A NUMBER OF COMMUNITY GROUPS AND STATE ORGANIZATIONS ADVANCING COMMUNITY HEALTH AND WELLNESS AND WORKFORCE DEVELOPMENT INCLUDING THE FOLLOWING: HALIFAX COUNTY CHAMBER OF COMMERCE; CHASE CITY CHAMBER OF COMMERCE; CLARKSVILLE CHAMBER OF COMMERCE; MECKLENBURG COUNTY BUSINESS EDUCATION PARTNERSHIP; HALIFAX ADVOCATES FOR SUBSTANCE ABUSE PREVENTION; SOUTHSIDE HEALTH COALITION, HALIFAX VOCATIONAL EDUCATION FOUNDATION; SOUTHSIDE VIRGINIA COMMUNITY COLLEGE SCHOOL OF NURSING ADVISORY COUNCIL; COMMITTEE FOR THE CENTER FOR NURSING EXCELLENCE; SOUTHERN VIRGINIA HIGHER EDUCATION CENTER; VIRGINIA COMMUNITY COLLEGE SYSTEM; VIRGINIA FOUNDATION FOR COMMUNITY COLLEGES; HALIFAX EDUCATION FOUNDATION; HALIFAX COUNTY PUBLIC SCHOOLS EDUCATION FOUNDATION; VIRGINIA ADVANCED STUDY ON STRATEGIES BOARD; ECONOMIC DEVELOPMENT COMMITTEE; WORKFORCE INVESTMENT BOARD; TRI-COUNTY COMMUNITY ACTION AGENCY BOARD; HEALTHY FAMILIES TRI-COUNTY ADVISORY COUNCIL; DIXIE YOUTH SOFTBALL BOARD; MENTOR ROLE MODEL PROGRAM AND THE HALIFAX AND MECKLENBURG COUNTY YMCAS.THE ORGANIZATION CONTINUES TO PARTICIPATE IN REGIONAL AND LOCAL EXERCISES TO TEST THE EMERGENCY OPERATIONS PLAN AND TO CONDUCT INTERNAL EXERCISES. THESE INITIATIVES HELP THE ORGANIZATION PREPARE FOR AND COORDINATE CRISIS RESPONSE AND RECOVERY OPERATIONS WITH STATE, LOCAL AND FEDERAL AGENCIES IN THE EVENT OF A BIOTERRORIST EVENT/DISASTER. OUTSIDE THE REALM OF THE GRANT FUNDING, THE ORGANIZATION SUPPLIED THE EMPLOYEE TIME INVOLVED IN TRAINING FOR COMMUNITY EMERGENCY PREPAREDNESS AS WELL AS FOR COMMUNITY DISASTER TRAINING DRILLS. OUR FOCUS CONTINUES TO BE ON PREPARING THE HOSPITAL STAFF AND THE COMMUNITY FOR "ALL HAZARDS." PART III, LINE 2: FOR SCHEDULE H PART III LINE 2 PURPOSES, THE ORGANIZATION REPORTS WHAT WOULD'VE BEEN CONSIDERED BAD DEBT EXPENSE PRIOR TO ITS 2018 ADOPTION OF ASC TOPIC 606. ASC TOPIC 606 NOW CLASSIFIES THIS COMPONENT OF UNCOMPENSATED CARE AS IMPLICIT PRICE CONCESSIONS, WHICH ARE A REDUCTION TO NET OPERATING REVENUE.IMPLICIT PRICE CONCESSIONS REPRESENT THE DIFFERENCE BETWEEN AMOUNTS BILLED TO PATIENTS AND THE AMOUNTS THE ORGANIZATION EXPECTS TO COLLECT BASED ON ITS COLLECTIONS HISTORY WITH THOSE PATIENTS AND CURRENT MARKET CONDITIONS. IT UTILIZES A PORTFOLIO APPROACH AS A PRACTICAL EXPEDIENT TO ACCOUNT FOR PATIENT CONTRACTS WITH SIMILAR CHARACTERISTICS AS A COLLECTIVE GROUP RATHER THAN INDIVIDUALLY.SEE FOOTNOTE 4 ON PAGES 18-22 OF THE ATTACHED FINANCIAL STATEMENTS FOR ADDITIONAL INFORMATION. PART III, LINE 3: IN COMPUTING LINE 3, THE ORGANIZATION CONSERVATIVELY ESTIMATES THAT 15% OF IMPLICIT PRICE CONCESSIONS (FORMERLY BAD DEBT) ARE ATTRIBUTABLE TO PATIENTS WHO WOULD QUALIFY FOR CHARITY ASSISTANCE IF SUFFICIENT DATA WAS AVAILABLE. THIS ESTIMATE IS BASED ON CREDIT REPORTING DATA PURCHASED FROM EQUIFAX. THIS DATA PROVIDES CREDIT SCORE, INCOME PREDICTION DATA AND NUMEROUS LINES OF CREDIT AND ASSET DATA. FOR UNRESPONSIVE PATIENTS, THE ORGANIZATION USES THE ESTIMATED INCOME, MARITAL STATUS, ASSET INFORMATION AND CREDIT LINE DATA TO DETERMINE WHETHER THE PATIENT WOULD QUALIFY FOR CHARITY BASED ON A PROJECTED INCOME OF 200% OF THE FEDERAL POVERTY GUIDELINES FOR INSURED PATIENTS AND 300% OF THE FEDERAL POVERTY GUIDELINES FOR UNINSURED (SELF-PAY) PATIENTS WITH LITTLE TO NO ASSET DATA. THIS INFORMATION IS NOT ALL INCLUSIVE FOR ALL UNRESPONSIVE PATIENTS THAT COULD QUALIFY, AS DEPENDENT INFORMATION IS NOT READILY AVAILABLE. PART III, LINE 4: SEE FOOTNOTE 4 ON PAGES 18-22 OF THE ATTACHED FINANCIAL STATEMENTS FOR THE FOOTNOTE WHICH DISCUSSES IMPLICIT PRICE CONCESSIONS (FORMERLY BAD DEBT.) PART III, LINE 8: WORKSHEET A IN THE INSTRUCTIONS WAS USED TO COMPUTE THE AMOUNT REPORTED ON LINE 6. PART III, LINE 9B: IF AN INSURED PATIENT QUALIFIES FOR FREE CARE BASED ON 200% OF FEDERAL POVERTY GUIDELINES, AND AN UNINSURED (SELF-PAY) PATIENT QUALIFIES FOR FREE CARE BASED ON 300% OF FEDERAL POVERTY GUIDELINES, THE ENTIRE BALANCE IS WRITTEN OFF TO CHARITY AND NO COLLECTION EFFORTS ARE MADE. A NOTICE IS SENT TO THE PATIENT ADVISING THAT CHARITY QUALIFICATIONS HAVE BEEN MET IF THE PATIENT MAKES A FORMAL APPLICATION OF FINANCIAL ASSISTANCE WITH THE HOSPITAL. IF THE PATIENT QUALIFIES FOR DISCOUNTED CARE, THE APPROPRIATE DISCOUNT IS APPLIED TO THE BALANCE. A NOTICE IS SENT TO THE PATIENT ADVISING THAT CHARITY QUALIFICATIONS HAVE BEEN MET AND THE PATIENT IS REQUESTED TO CONTACT THE HOSPITAL FACILITY TO SET UP THE REMAINING BALANCE ON A PAYMENT PLAN. UNINSURED PATIENTS THAT QUALIFY FOR FINANCIAL ASSISTANCE RECEIVE A 75% DISCOUNT IF THEIR INCOME IS BETWEEN 301-400% OF THE FEDERAL POVERTY GUIDELINES. THE HOSPITAL FACILITY DID NOT IMPOSE COLLECTION ACTIONS FOR ANY PATIENT WITHOUT FIRST MAKING REASONABLE EFFORTS TO DETERMINE WHETHER THE PATIENT WAS ELIGIBLE FOR FINANCIAL ASSISTANCE. PART VI, LINE 2: THE ORGANIZATION ASSESSES THE HEALTH CARE NEEDS OF ITS COMMUNITIES THROUGH THESE MEANS:-ANALYSIS OF AREA SOCIODEMOGRAPHIC, HEALTH STATUS, AND OTHER DATA: THE ANALYSIS FOCUSES ON IDENTIFICATION OF HEALTH CARE NEEDS FOR PLANNING AND DEVELOPMENT OF HEALTH SERVICES AND PROGRAMS. THIS ANALYSIS IS UTILIZED IN THE DEVELOPMENT OF ORGANIZATIONAL PLANS.-OBTAINING INPUT FROM KEY STAKEHOLDERS AND THE PUBLIC HEALTH COMMUNITY: IN ADDITION TO THE ANALYSIS OF SOCIODEMOGRAPHIC, HEALTH STATUS, AND OTHER DATA, ADDITIONAL INFORMATION IS OBTAINED AND ANALYZED. THIS INCLUDES INPUT FROM KEY STAKEHOLDERS INCLUDING THE LOCAL PUBLIC HEALTH COMMUNITY.-REVIEW OF HEALTH CARE NEEDS ASSESSMENTS AND DATA DEVELOPED BY COMMUNITY PARTNERS (SUCH AS STATE HEALTH DEPARTMENTS AND LOCAL HEALTH DISTRICTS), REGIONAL AGENCIES (SUCH AS THE PLANNING COUNCIL OR PLANNING DISTRICT COMMISSION), NATIONAL ORGANIZATIONS WHICH REPORT ON A LOCAL BASIS (SUCH AS COUNTY HEALTH RANKINGS), AND INFORMATION REPORTED IN LOCAL MEDIA: THIS INFORMATION IS STUDIED, INCORPORATED INTO THE ORGANIZATION'S PLANS, AND SHARED WITH ORGANIZATIONAL DECISION MAKERS.-PARTICIPATION IN COLLABORATIVE HEALTH PLANNING AND NEEDS ASSESSMENT ACTIVITIES SUCH AS THOSE SPONSORED BY THE LOCAL HEALTH DISTRICTS AND OTHER ORGANIZATIONS. INFORMATION GATHERED THROUGH THESE ACTIVITIES IS INCORPORATED INTO THE ORGANIZATION'S PLANNING.-INFORMATION AND INPUT FROM PATIENTS AND CARE PROVIDERS: PATIENT CHARACTERISTICS AND TRENDS ARE REVIEWED TO ASSIST IN IDENTIFYING NEW COMMUNITY NEEDS. INPUT FROM PATIENTS AND CARE PROVIDERS IS SOUGHT AND CYCLED INTO THE ASSESSMENT PHASE OF PROJECTS. PART VI, LINE 3: WHEN A PATIENT IS REGISTERED AT THE ORGANIZATION'S HOSPITAL FACILITY, S/HE IS OFFERED A FINANCIAL ASSISTANCE BROCHURE AND APPLICATION WHICH INCLUDES CONTACT INFORMATION FOR ADDITIONAL INFORMATION. FRAMED COPIES OF THE NOTICE ARE LOCATED IN REGISTRATION AREAS AND KEY PUBLIC AREAS OF THE FACILITY. THE FACILITY'S TELEPHONE SYSTEM OFFERS "ON HOLD" MESSAGING THAT IS UTILIZED TO INFORM INCOMING CALLERS OF FINANCIAL ASSISTANCE INFORMATION EVERY THIRD MONTH. QUARTERLY ARTICLES ARE PLACED IN AREA NEWSPAPERS AS A CUSTOMER SERVICE TOOL TO REMIND PATIENTS OF THE AVAILABILITY OF FINANCIAL ASSISTANCE. FINANCIAL ASSISTANCE INFORMATION, ALONG WITH AN APPLICATION FOR FINANCIAL ASSISTANCE, IS LOCATED ON THE FACILITY'S WEBSITE. A NOTICE REGARDING THE AVAILABILITY OF FINANCIAL ASSISTANCE IS PRINTED ON PATIENT BILLS AND INCLUDES CONTACT INFORMATION FOR ADDITIONAL INFORMATION. ALL INDIVIDUALS RECEIVE A FINANCIAL ASSISTANCE APPLICATION ENCLOSED WITH THE SECOND BILLING STATEMENT WHICH INCLUDES DETAILED INFORMATION.THE ORGANIZATION HAS PARTNERED WITH FIRSTSOURCE TO AID UNINSURED EMERGENCY DEPARTMENT PATIENTS, UNINSURED AND UNDERINSURED INPATIENTS, OUTPATIENT SURGERY, AND OBSERVATION PATIENTS IN APPLYING FOR MEDICAL ASSISTANCE THROUGH GOVERNMENT PROGRAMS. FIRSTSOURCE ASSISTS PATIENTS THROUGHOUT THE ENTIRE APPLICATION PROCESS TO ENSURE ALL DOCUMENTATION IS COMPLETE.FIRSTSOURCE ALSO HELPS PATIENTS COMPLETE FINANCIAL ASSISTANCE APPLICATIONS IF THEY MAY NOT QUALIFY FOR GOVERNMENT ASSISTANCE. PART VI, LINE 4: SENTARA HALIFAX REGIONAL HOSPITAL SERVES RESIDENTS OF HALIFAX, MECKLENBURG, AND CHARLOTTE COUNTIES.THE 2020 POPULATION OF THE SERVICE AREA IS 77,036, AND IS EXPECTED TO DECLINE OVER THE NEXT FIVE YEARS, DECREASING BY 2.3% WHILE THE OVERALL US POPULATION IS EXPECTED TO GROW BY 2.9%. THE AGE DISTRIBUTION OF THE POPULATION IS COMPARABLE TO THE OVERALL US DISTRIBUTION, WITH A HIGHER PERCENT OF THE POPULATION 65+ (25.2% VS. 16.9%) AND A LOWER PERCENT OF THE POPULATION YOUNGER THAN 20 YEARS (21.5% VS. 24.7%). A HIGHER NUMBER OF RESIDENTS OF THE SERVICE AREA HAVE COMPLETED AT LEAST A HIGH SCHOOL DIPLOMA, 35.8% VS. 26.9% FOR THE US OVERALL, WHILE 11.2% HAVE ACHIEVED AT LEAST A BACHELOR'S DEGREE, VS. 20.4% FOR THE US AS A WHOLE. THE MEDIAN INCOME OF THE RESIDENTS OF THE SERVICE AREA IS $47,451 VS. $73,066 FOR THE US, AND A LOWER PERCENT OF HOUSEHOLDS, 28.4% VS. 18.2%, SUBSIST ON LESS THAN $25,000 PER YEAR. RACIALLY, THE SERVICE AREA IS HOME TO 62.2% WHITES (VS. 69.5% FOR THE US), 34.0% BLACK/AFRICAN AMERICANS (VS. 13.5% US), 0.8% ASIANS (VS. 6.0% US), WITH 1.1% REPORTING ANOTHER RACE VS. 6.6% NATIONALLY. ETHNICALLY, THE SERVICE AREA IS HOME TO 2.6% HISPANICS VS. 18.2% NATIONALLY, AND 97.4% NON-HISPANICS, VS. 81.8% NATIONALLY. PART VI, LINE 5: THE ORGANIZATION'S GOVERNING BODY IS A COMMUNITY-BASED BOARD COMPRISED OF A MAJORITY OF MEMBERS WHO ARE NEITHER EMPLOYEES NOR CONTRACTORS OF THE ORGANIZATION OR ITS AFFILIATES, NOR FAMILY MEMBERS THEREOF. GENERALLY, MEDICAL STAFF MEMBERSHIP IS OPEN TO ALL CARE PROVIDERS WHO MEET CREDENTIALING REQUIREMENTS. THE ORGANIZATION'S SURPLUS FUNDS ARE USED FOR IMPROVEMENTS IN PATIENT CARE, PROVISION OF SERVICES TO THE UNINSURED AND UNDERINSURED, MEDICAL EDUCATION, AND COMMUNITY PROGRAMS. PART VI, LINE 6: THE ORGANIZATION IS AFFILIATED WITH THE SENTARA HEALTH SYSTEM ("SENTARA.") NAMED TO IBM WATSON HEALTH'S 2018 "TOP 15 HEALTH SYSTEMS," SENTARA IS AN INTEGRATED, NOT-FOR-PROFIT SYSTEM OF 12 HOSPITALS IN VIRGINIA AND NORTHEASTERN NORTH CAROLINA, INCLUDING A LEVEL I TRAUMA CENTER, THE SENTARA HEART HOSPITAL AND THE SENTARA HEALTHCARE CARDIOVASCULAR RESEARCH INSTITUTE, THE SENTARA BROCK CANCER CENTER AND THE ACCREDITED SENTARA CANCER NETWORK, TWO ORTHOPEDIC HOSPITALS, AND THE SENTARA NEUROSCIENCES INSTITUTE. THE SENTARA FAMILY ALSO INCLUDES FOUR MEDICAL GROUPS, NIGHTINGALE REGIONAL AIR AMBULANCE AND GROUND MEDICAL TRANSPORT, HOME CARE AND HOSPICE, AMBULATORY OUTPATIENT CAMPUSES, ADVANCED IMAGING AND DIAGNOSTIC CENTERS, A CLINICALLY INTEGRATED NETWORK, THE SENTARA COLLEGE OF HEALTH SCIENCES AND THE OPTIMA HEALTH PLAN AND VIRGINIA PREMIER HEALTH PLAN SERVING 858,000 MEMBERS IN VIRGINIA, NORTH CAROLINA AND OHIO. WITH NEARLY 30,000 EMPLOYEES AND RANKED ONE OF FORBES "AMERICA'S BEST EMPLOYERS" IN 2018, SENTARA IS STRATEGICALLY FOCUSED ON CLINICAL QUALITY AND SAFETY, INNOVATION AND CREATING AN EXTRAORDINARY HEALTH CARE EXPERIENCE FOR OUR PATIENTS AND MEMBERS. 1 SENTARA HEALTHCARE 6015 POPLAR HALL DRIVE NORFOLK VA 23502 521271901 501(C)(3) 655363 CORPORATE ALLOCATION TO PARENT COMMUNITY ARTS CENTER FOUNDATION INC 700 BRUCE STREET SOUTH BOSTON VA 24592 541795927 501(C)(3) 15000 DONATION SOUTHERN VIRGINIA BOTANICAL GARDENS & INVIRON EDUCATION CENTER PO BOX 624 HALIFAX VA 24558 371591057 501(C)(3) 8000 DONATION 3 0 PART I, LINE 2: AS PART OF THE SENTARA HEALTHCARE SYSTEM ("THE SYSTEM"), THE ORGANIZATION DONATES FUNDS TO ITS 501(C)(3) PARENT ORGANIZATION, SENTARA HEALTHCARE, IN FURTHERANCE OF THE SYSTEM'S MISSION TO IMPROVE HEALTH EVERYDAY THROUGH THE PROVISION OF HEALTH SERVICES, AND THE PROMOTION OF HEALTH, MEDICAL EDUCATION, AND THE SOCIAL, CULTURAL, EDUCATIONAL, AND ECONOMIC DEVELOPMENT OF THE COMMUNITY. EXPENDITURE OF SUCH FUNDS IS OVERSEEN BY AN INDEPENDENT COMMUNITY BOARD WHICH MANAGES THE BUSINESS AND AFFAIRS OF THE SYSTEM. X X 1 0 1 1 0 0 0 0 0 1 0 MICHAEL V GENTRY FORMER OFFICER 0 851459 0 755619 0 164761 0 395379 0 21700 0 2188918 0 0 MEGAN R PERRY DIRECTOR 0 486725 0 347832 0 164053 0 391002 0 20745 0 1410357 0 64433 JONATHAN S DAVIS DIRECTOR/VICE CHAIR 0 414439 0 145489 0 77450 0 91038 0 28827 0 757243 0 25667 JENNIFER S SICTOR DIRECTOR 0 297620 0 120678 0 9569 0 116086 0 31326 0 575279 0 0 MING Y LIU MD FORMER TOP 5 0 389835 0 0 0 22319 0 57966 0 27794 0 497914 0 0 PABLO SOUZA MD PHYSICIAN - HF 346346 0 0 0 1710 0 56929 0 30263 0 435248 0 0 0 GREGORY A SHUFORD MD FORMER TOP 5 0 210041 0 0 0 35425 0 56025 0 20296 0 321787 0 0 BRIAN K ZWOYER PRESIDENT 208140 0 17970 0 41386 0 11922 0 32800 0 312218 0 0 0 STEWART R NELSON FORMER OFFICER AND KE 2355 162198 0 94427 15 26899 72 7083 177 13096 2619 303703 0 0 DAVID FITTS MANAGER, PHARMACY 148957 0 22583 0 6512 0 82220 0 30763 0 291035 0 0 0 TORIE B BASHAY FORMER KE 0 144127 0 29608 0 5293 0 97789 0 7070 0 283887 0 0 BETTY T THROCKMORTON RN UC -CLIN LADDER - LEVEL II 159842 0 750 0 2726 0 79179 0 33412 0 275909 0 0 0 JAMES E CHILDREY MGT, PATIENT CARE SERVICES - HF 134423 0 16420 0 536 0 77919 0 21445 0 250743 0 0 0 SHERRI F BEE FORMER KE 128610 0 17080 0 967 0 61994 0 10536 0 219187 0 0 0 JASON A STUDLEY FORMER OFFICER 11208 8140 0 80351 44 104384 349 0 1217 5249 12818 198124 0 0 ANTHONY J MILAM CLINICAL PHARMACIST- INPATIENT - HF 143448 0 2250 0 4166 0 27214 0 10157 0 187235 0 0 0 PART I, LINE 1A THE ORGANIZATION PAID FOR TEMPORARY HOUSING OF AN EXECUTIVE RECRUIT, INCLUDING THE ADDITIONAL TAXES ASSOCIATED WITH SUCH BENEFIT, ALL OF WHICH WERE TREATED AS ADDITIONAL COMPENSATION AND REPORTED ON FORM W-2 AS TAXABLE WAGES. PART I, LINE 3 SENTARA HEALTHCARE, THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEALTH SYSTEM, ESTABLISHED THE COMPENSATION OF THE ORGANIZATION'S TOP MANAGEMENT OFFICIAL THROUGH THE USE OF AN INDEPENDENT COMPENSATION CONSULTANT AND A COMPENSATION STUDY. SENTARA HEALTHCARE RECOGNIZES THAT PROVIDING THE BEST POSSIBLE CARE REQUIRES US TO ATTRACT AND RETAIN THE VERY BEST EMPLOYEES. OUR ORGANIZATION IS COMMITTED TO INVESTING IN OUR PEOPLE BY OFFERING COMPETITIVE COMPENSATION OPPORTUNITIES AND A STRONG WORKPLACE ENVIRONMENT. PART I, LINES 4A-B JASON A. STUDLEY RECEIVED $70,938 IN COMPENSATION RELATED TO HIS SEPARATION FROM SERVICE. THIS AMOUNT HAS BEEN INCLUDED IN COLUMN (B)(III) OF SCHEDULE J, PART II. MICHAEL GENTRY, MEGAN PERRY, JONATHAN DAVIS, AND BRIAN ZWOYER PARTICIPATED IN THE SENTARA CAPITAL ACCUMULATION ACCOUNT PLAN. THE CAPITAL ACCUMULATION PLAN IS A NONQUALIFIED DEFERRED COMPENSATION PROGRAM. SUCH PLANS ARE COMMONLY OFFERED TO NOT-FOR-PROFIT HEALTH CARE EXECUTIVES TO PROVIDE ADDITIONAL RETIREMENT BENEFITS TO SUPPLEMENT LIMITATIONS IN QUALIFIED PLANS. PARTICIPATION IS LIMITED TO A SELECT GROUP OF CORPORATE EXECUTIVES AS APPROVED BY SENTARA HEALTHCARE'S BOARD OF DIRECTOR'S COMPENSATION COMMITTEE. TERMS OF THE PLAN CHANGED EFFECTIVE JANUARY 1, 2009, WHEREBY VESTING OF CONTRIBUTIONS MADE ON OR AFTER THAT DATE NOW OCCURS ON THE EARLIER OF FIVE YEARS FOR EACH YEARS' CONTRIBUTIONS OR AGE 55 WITH 10 YEARS OF SERVICE. UNDER THE OLD TERMS, VESTING OF CONTRIBUTIONS MADE PRIOR TO JANUARY 1, 2009 OCCURS ON THE EARLIEST OF ASSIGNED DISTRIBUTION DATE, DEATH, INVOLUNTARY TERMINATION WITHOUT CAUSE OR COMPLETION OF TWO-YEAR NON-COMPETE AFTER VOLUNTARY TERMINATION (REGARDLESS OF ORIGINAL ASSIGNED DISTRIBUTION DATE). DURING 2020, THE FOLLOWING CORPORATE EXECUTIVES RECEIVED VESTED DISTRIBUTIONS UNDER THE PLAN: MICHAEL GENTRY ($131,794); MEGAN PERRY ($98,994); AND JONATHAN DAVIS ($38,453). THESE AMOUNTS HAVE BEEN REPORTED IN COLUMN (B)(III) OF SCHEDULE J, PART II. DURING THE CURRENT TAX YEAR MING Y LIU PARTICIPATED IN THE SENTARA NON-QUALIFIED DEFERRED COMPENSATION PLAN. A NEW PLAN YEAR BEGINS EACH JANUARY 1ST. ELIGIBILITY REQUIRES THAT AN EMPLOYEE MUST BE IN THE TOP 5% BY SALARY AND HAVE COMPENSATION GREATER THAN OR EQUAL TO THE HIGHLY COMPENSATED AMOUNT SET BY THE PLAN IN ORDER TO PARTICIPATE. PARTICIPANTS MUST MAKE THEIR ELECTIONS IN THE YEAR PRECEDING THE DEFERRAL YEAR AND SELECT A DISTRIBUTION DATE. NEW ELECTIONS MUST BE MADE EACH YEAR. ALL PARTICIPANTS ARE 100% VESTED IN THEIR ACCOUNT BALANCES AND LUMP SUM IS THE FORM OF PAYMENT AT THE DISTRIBUTION DATE UNLESS A 5 OR 10 YEAR INSTALLMENT PAYMENT WAS SELECTED. PART I, LINE 7 DURING THE CURRENT TAX YEAR, THE ORGANIZATION MADE NON-FIXED PAYMENTS OF COMPENSATION UNDER THE FOLLOWING INCENTIVE PROGRAMS: ANNUAL INCENTIVE PROGRAM - EXECUTIVES AND SENIOR LEADERS ARE ELIGIBLE FOR ANNUAL AWARDS BASED ON SYSTEM AND INDIVIDUAL PERFORMANCE. BOTH SYSTEM AND INDIVIDUAL SCORES ARE DETERMINED AFTER YEAR-END, AT WHICH POINT AWARDS MAY BE PAID AND REPORTED AS COMPENSATION. TARGET AND MAXIMUM OPPORTUNITIES VARY BY LEVEL. KEY CONTRIBUTOR AWARDS - REWARDS EXCEPTIONAL INDIVIDUALS OR TEAMS FOR SIGNIFICANT CONTRIBUTION AND RESULTS AS RECOGNIZED BY BUSINESS UNITS. MANAGER INCENTIVE PLAN - MANAGEMENT EMPLOYEES NOT COVERED UNDER ANOTHER INCENTIVE PLAN ARE ELIGIBLE FOR THE MANAGEMENT INCENTIVE PLAN. AWARDS ARE BASED ON SYSTEM YEAR-END RESULTS AS DETERMINED BY THE BOARD; BUSINESS UNIT RESULTS FOR FINANCIAL, SAFETY, QUALITY AND CUSTOMER SERVICE; AND THE MANAGER'S INDIVIDUAL PERFORMANCE SCORE. SYSTEM, BUSINESS UNIT, AND INDIVIDUAL RESULTS ARE DETERMINED AFTER YEAR-END, AT WHICH POINT AWARDS MAY BE PAID AND REPORTED AS COMPENSATION. YEAR-END BONUS PAYMENTS EMPLOYEES WHO ARE NOT COVERED UNDER ANOTHER INCENTIVE PROGRAM ARE ELIGIBLE FOR YEAR-END BONUSES WHICH ARE CONDITIONED UPON SYSTEM YEAR-END RESULTS. HALIFAX HEART CENTER SEE BELOW 1316206 SEE BELOW 0 PULMONARY ASSOCIATES SEE BELOW 1178500 SEE BELOW 0 SCH L, PART IV A) NAME OF PERSON: HALIFAX HEART CENTERB) RELATIONSHIP BETWEEN INTERESTED PERSON AND ORGANIZATION: 35%-CONTROLLED ENTITY OF BOARD MEMBERS HABIB BASSIL, MD AND SAID ISKANDAR, MDD) DESCRIPTION OF TRANSACTION: PROFESSIONAL FEES/SUBSIDIESA) NAME OF PERSON: PULMONARY ASSOCIATESB) RELATIONSHIP BETWEEN INTERESTED PERSON AND ORGANIZATION: 35%-CONTROLLED ENTITY OF BOARD MEMBER TERRANCE J. TRUITT, MDD) DESCRIPTION OF TRANSACTION: PROFESSIONAL FEES/SUBSIDIES FORM 990, PART III, LINE 1, ORGANIZATION'S MISSION HALIFAX REGIONAL HOSPITAL, INC. IS ORGANIZED TO BUILD, ESTABLISH, MAINTAIN AND OPERATE HOSPITALS AND OTHER HEALTH CARE FACILITIES AND CLINICS; PROVIDE ANCILLARY AND RELATED MEDICAL AND OTHER HEALTHCARE SERVICES; PROVIDE MANAGEMENT, ADVISORY, SERVICE ASSISTANCE AND OTHER SUPPORT TO HEALTH CARE ORGANIZATIONS HAVING THE SAME PURPOSES AS ITS OWN; ENGAGE IN OTHER RELATED, EXCLUSIVELY CHARITABLE, SCIENTIFIC, EDUCATIONAL AND MEDICAL RESEARCH ACTIVITIES AS MAY BE AUTHORIZED FROM TIME TO TIME BY ITS GOVERNING BODY; AND FOR SUCH PURPOSES, SOLICIT AND RECEIVE FUNDS AND OTHER PROPERTY BY GIFT, TRANSFER, DEVISE, OR BEQUEST, AND INVEST, REINVEST, HOLD, MANAGE, ADMINISTER, EXPEND, AND APPLY SUCH FUNDS AND PROPERTY SUBJECT TO APPLICABLE CONDITIONS AND LIMITATIONS. ALL SUCH ACTIVITIES SUPPORT ITS MISSION TO PROVIDE THE HIGHEST QUALITY CARE BASED ON THE HEALTHCARE NEEDS OF THE PEOPLE SERVED. FORM 990, PART III, LINE 4A SENTARA HEALTHCARE I. SENTARA HEALTHCARE - YOUR NOT-FOR-PROFIT HEALTHCARE PARTNER SENTARA HEALTHCARE CELEBRATES MORE THAN 132 YEARS IN PURSUIT OF ITS MISSION "WE IMPROVE HEALTH EVERY DAY." NAMED TO IBM WATSON HEALTH'S 2018 "TOP 15 HEALTH SYSTEMS," SENTARA IS AN INTEGRATED, NOT-FOR-PROFIT SYSTEM OF 12 HOSPITALS IN VIRGINIA AND NORTHEASTERN NORTH CAROLINA, INCLUDING A LEVEL I TRAUMA CENTER, THE SENTARA HEART HOSPITAL AND THE SENTARA HEALTHCARE CARDIOVASCULAR RESEARCH INSTITUTE, THE SENTARA BROCK CANCER CENTER AND THE ACCREDITED SENTARA CANCER NETWORK, TWO ORTHOPEDIC HOSPITALS, AND THE SENTARA NEUROSCIENCES INSTITUTE. THE SENTARA FAMILY ALSO INCLUDES FOUR MEDICAL GROUPS, NIGHTINGALE REGIONAL AIR AMBULANCE AND GROUND MEDICAL TRANSPORT, HOME CARE AND HOSPICE, AMBULATORY OUTPATIENT CAMPUSES, ADVANCED IMAGING AND DIAGNOSTIC CENTERS, A CLINICALLY INTEGRATED NETWORK, THE SENTARA COLLEGE OF HEALTH SCIENCES AND THE OPTIMA HEALTH PLAN AND VIRGINIA PREMIER HEALTH PLAN SERVING 858,000 MEMBERS IN VIRGINIA, NORTH CAROLINA AND OHIO. WITH MORE THAN 28,000 EMPLOYEES AND RANKED ONE OF FORBES "AMERICA'S BEST EMPLOYERS" IN 2018, SENTARA IS STRATEGICALLY FOCUSED ON CLINICAL QUALITY AND SAFETY, INNOVATION AND CREATING AN EXTRAORDINARY HEALTH CARE EXPERIENCE FOR OUR PATIENTS AND MEMBERS. EFFORTS ARE CENTERED ON PROVIDING THE RIGHT CARE IN THE RIGHT SETTING AT THE RIGHT TIME AND ADDING VALUE TO THE COMMUNITIES WE SERVE. WE STRIVE TO SERVE ALL OUR COMMUNITIES THROUGH HEALTH OUTREACH PROGRAMS, EDUCATION, AND FINANCIAL SUPPORT FOR OTHER NOT FOR PROFIT ORGANIZATIONS WITH SIMILAR HEALTH MISSIONS. II. COMMITMENT TO THE COMMUNITY A. SENTARA HAS PROVIDED MUCH IN THE WAY OF COMMUNITY BENEFIT AND CHARITY CARE ON AN ANNUAL BASIS. THE 2020 VALUE OF COMMUNITY BENEFIT TOTALED $256,000,000. SENTARA PROVIDED $180,000,000 IN NET UNCOMPENSATED PATIENT CARE COSTS; $45,000,000 IN NET UNFUNDED COSTS OF TEACHING PROGRAMS; $20,000,000 IN INCURRED COSTS FOR COMMUNITY BENEFIT PROGRAMS; AND $11,000,000 IN PHILANTHROPY. B. SENTARA OFFICIALLY LAUNCHED ITS CORPORATE SOCIAL RESPONSIBILITY (CSR) PROGRAM, SENTARA CARES, TO SUPPORT THE NEEDS OF THE COMMUNITIES WE SERVE IN THE MOST IMPACTFUL WAY. THROUGH CSR WE EITHER GAVE OR PLEDGED NEARLY $6.5M TO THE COMMUNITIES WE SERVE THROUGH SPONSORSHIPS, GRANTS, AND PARTNERSHIPS. THE CSR PROGRAM WILL DELIVER ECONOMIC, SOCIAL, AND ENVIRONMENTAL BENEFITS FOR STAKEHOLDERS ACROSS ALL SENTARA MARKETS AND INCREASE OUR COMMUNITY CONNECTION. IT WILL BUILD ON SENTARA RECOGNIZED LEADERSHIP AND COMMITMENT TO THE COMMUNITIES WE SERVE. C. SENTARA HEALTHCARE AND OPTIMA HEALTH, IN PARTNERSHIP WITH THE LOCAL INITIATIVES SUPPORT CORPORATION (LISC), THE NATION'S LARGEST COMMUNITY DEVELOPMENT ORGANIZATION, CONTINUED ITS WORK TO INVEST $100 MILLION TO ADDRESS SOCIAL DETERMINANTS OF HEALTH IN UNDERSERVED COMMUNITIES ACROSS THE COMMONWEALTH OF VIRGINIA. THIS INVESTMENT, WHICH IS PART OF OUR CORPORATE SOCIAL RESPONSIBILITY PROGRAM, BUILDS UPON SENTARA'S COMMITMENT TO CREATE HEALTHIER COMMUNITIES AND IMPROVE THE QUALITY OF LIFE FOR VIRGINIANS MOST IN NEED. SENTARA WILL CONTRIBUTE $50M TO ADVANCE THESE GOALS IN PARTNERSHIP WITH LISC, WHO HAS COMMITTED TO ASSEMBLING AN ADDITIONAL $50M FROM PUBLIC AND PRIVATE SOURCES TO COMPLEMENT SENTARA'S INVESTMENT. FURTHER RESULTING FROM THE LISC PARTNERSHIP, $1.5M OF OUR PHILANTHROPY FUNDING WENT TOWARD THE DEVELOPMENT OF TWO FINANCIAL OPPORTUNITY CENTERS AND 2 HOUSING PROJECTS PLANNED IN 2021. D. THE SENTARA CHIEF DIVERSITY OFFICER CONTINUED THE FOCUS ON THE IMPORTANT WORK OF DIVERSITY IN OUR WORKFORCE, TO DEEPEN OUR UNDERSTANDING ON CARING FOR OUR DIVERSE PATIENT POPULATION AND TO DEVELOP STRONG RELATIONSHIPS WITH DIVERSE COMMUNITY POPULATIONS. WE FORMED SEVERAL PARTNERSHIPS WITH KEY DIVERSITY-FOCUSED ORGANIZATIONS. WE BEGAN ESTABLISHING DIVERSITY AND INCLUSION COUNCILS AT ALL 12 HOSPITALS. AND, WE DEVELOPED NEW DIVERSITY AND INCLUSION COMPONENTS AND EDUCATION FOR ALL TEAM MEMBERS. THIS WAS ESPECIALLY IMPORTANT GIVEN THE SOCIAL JUSTICE ISSUES AND CIVIL UNREST IN 2020. TO THAT END, WE HOSTED SEVERAL "SAFE SPACES" SESSIONS WITH OUR TEAM MEMBERS FOR THEM TO SHARE, HEAR AND LEARN GIVEN OUR SOCIAL JUSTICE ENVIRONMENT. ADDITIONALLY, THE DIRECTOR OF HEALTH EQUITY CONTINUED THE EXCELLENT WORK IN IDENTIFYING AND REMOVING BARRIERS SO PEOPLE CAN RECEIVE THE CARE THEY NEED. THE TEAM IDENTIFIES HEALTH DISPARITIES AND RESEARCHES POSSIBLE CAUSES. THIS INCLUDES CHRONIC HEALTH ISSUES SUCH AS HYPERTENSION, DIABETES, AND THE HIGH RATES OF CANCER DEATHS IN MINORITY COMMUNITIES. ADDITIONALLY, WE CREATED POLICIES AND GUIDELINES TO ENSURE PROTECTION OF LGBTQ PATIENTS' RIGHTS AND PARTNERED WITH NUMEROUS COMMUNITY GROUPS TO PROVIDE EDUCATION AND EARLY DETECTION FOR COLORECTAL AND BREAST CANCERS. A MAJOR FOCUS IN 2020 FOR THE HEALTH EQUITY DIVISION WAS TO ENABLE ACCESS FOR COVID TESTING IN UNDERSERVED COMMUNITIES AND ENABLE ACCESS TO THE COVID VACCINE FOR THOSE SAME COMMUNITIES. OUTREACH TO OUR FAITH-BASED ORGANIZATIONS AND COMMUNITY PARTNERS WAS UNPRECEDENTED AND STRONGLY POSITIONS OUR COMMUNITIES TO COLLABORATE DURING UNPRECEDENTED TIMES. E. IN RESPONSE TO THE TRAGEDY THAT TOOK PLACE AT THE VIRGINIA BEACH MUNICIPAL CENTER IN MAY 2019, SENTARA COLLABORATED WITH THE CITY OF VIRGINIA BEACH TO OPEN THE VB STRONG CENTER, WHICH CONTINUES TO PROVIDE RESOURCES AND DEDICATED STAFF TO ENSURE THOSE IN THE COMMUNITY WHO NEED OR WANT ASSISTANCE FOLLOWING THE TRAGEDY CAN RECEIVE PERSONALIZED CARE. SERVICES INCLUDE INDIVIDUAL COUNSELING, GROUP THERAPY, ART, YOGA, MEDITATION, MENTAL HEALTH COUNSELING, INTAKE AND CASE COORDINATION, AND OTHER SERVICES AS DIRECTED BY A LICENSED MENTAL HEALTH CLINICIAN. F. SENTARA IS PROUD OF THE MISSION-DRIVEN WORK OF THE THREE SENTARA FOUNDATIONS. THESE FOUNDATIONS RAISED MONEY TO SUPPORT THE CLINICAL NEEDS OF THE SYSTEM AND PROVIDED FUNDING THROUGH GRANTS AND DIRECT CONTRIBUTIONS TO COMMUNITY ORGANIZATIONS THAT HAVE SIMILAR INTERESTS IN SUPPORTING COMMUNITY HEALTH NEEDS. FORM 990, PART III, LINE 4A G. SEVERAL YEARS AGO, SENTARA ESTABLISHED THE HOPE (HELPING OVERCOME PERSONAL EMERGENCY) FUND, WHICH IS AN EMERGENCY FINANCIAL RESOURCE FOR SENTARA EMPLOYEES THAT ARE EXPERIENCING CATASTROPHIC HARDSHIP OR LOSS THROUGH NO FAULT OF THEIR OWN. SENTARA EMPLOYEES WHO RECEIVE AID FROM THE HOPE FUND HAVE FACED DEVASTATING CRISES SUCH AS FIRE, DEATH, NATURAL DISASTERS, OR SERIOUS PERSONAL OR FAMILY ILLNESS. IN 2020, THE HOPE FUND AWARDED $166,992 TO SENTARA EMPLOYEES IN CRISES ACROSS THE SYSTEM. ADDITIONALLY, SENTARA ESTABLISHED A SPECIAL COVID HOPE FUND TO HELP EMPLOYEES WHO EXPERIENCED EXTRAORDINARY HARDSHIP DURING THE COVID-19 PANDEMIC. THIS SENTARA COVID-19 HOPE FUND AWARDED $545,117 IN 2020. H. AS A RESULT OF COVID-19, FOOD INSECURITY REACHED NEW LEVELS OF UNPRECEDENTED NEED. IN PARTNERSHIP WITH TRUIST, THE COMMONWEALTH OF VIRGINIA, THE FEDERATION OF VIRGINIA FOOD BANKS AND MANY OTHER COMMUNITY-MINDED COMPANIES, SENTARA SPEARHEADED THE "WE CARE" COVID-19 VIRGINIA EMERGENCY FOOD SUPPORT PLAN. THIS INITIATIVE CENTERED ON PROVIDING FIVE-DAY, SHELF-STABLE FOOD SUPPLY BOXES CONTAINING 15 NUTRITIOUS MEALS THAT COULD BE MORE EASILY AND SAFELY ASSEMBLED AND DISTRIBUTED AT THE HEIGHT OF THE PANDEMIC. AS A RESULT, APPROXIMATELY 200,000 20-POUND, FIVE-DAY SUPPLY FOOD BOXES HAVE BEEN DISTRIBUTED THROUGH SENTARA'S "WE CARE" COVID -19 VIRGINIA EMERGENCY FOOD SUPPORT PLAN. SENTARA AND TRUIST EACH CONTRIBUTED $500,000. THE COMMONWEALTH OF VIRGINIA COMMITTED $1.4M FROM CARES ACT FUNDS PLUS OTHER FEDERAL FUNDING CAME THROUGH VIA THE COMMONWEALTH. ALONG WITH OTHER CORPORATE DONATIONS THE TOTAL AMOUNT RAISED FOR THIS EFFORT TOTALED OVER $6.4 MILLION. BECAUSE OF THE GROWING NUMBER OF INDIVIDUALS FACING HOMELESSNESS, SENTARA PARTNERED WITH MANY ORGANIZATIONS TO ADDRESS THIS CRITICAL NEED THAT HAS REACHED NEW HEIGHTS DUE TO THE COVID-19 PANDEMIC. HERE ARE A FEW EXAMPLES: I. HEALTHY HOTEL PROJECT: THANKS TO OUR PARTNERSHIP WITH THE NORFOLK COMMUNITY SERVICES BOARD (NCSB), SENTARA'S MEDICAL GROUP AND HOME CARE DIVISION HAVE BEEN ABLE TO HELP NCSB SAFELY LEVERAGE HOTEL ROOMS CONVERTED INTO A SAFE AND SUPPORTIVE SHELTER PROGRAM. THROUGH THE HEALTHY HOTEL PROJECT, NCSB IS PROVIDING TEMPORARY SHELTER FOR NORFOLK'S MOST VULNERABLE HOMELESS RESIDENTS, WHILE SENTARA PROVIDES PREVENTIVE SCREENING, SUPPORT, AND CHRONIC DISEASE MANAGEMENT SERVICES. II. THE HELP CLINIC: THIS FREE CLINIC IN HAMPTON, VIRGINIA, OPENED A SINGLE SITE SHELTER FOR THE HOMELESS WITH COVID SAFEGUARDS. SENTARA CAREPLEX HOSPITAL CASE MANAGERS WORK WITH THE HELP CLINIC TO ENSURE HOMELESS INDIVIDUALS HAVE ACCESS TO THERMAL SHELTERS, WHERE THEY CAN LINK THE CLIENTS TO MORE PERMANENT HOUSING SOLUTIONS. III. SUITCASE CLINIC: A COLLABORATION AMONG JAMES MADISON UNIVERSITY AND OTHER COMMUNITY PARTNERS, INCLUDING THE RMH FOUNDATION, WORKS TO OVERCOME BARRIERS TO HEALTHCARE IN THE HARRISONBURG, VIRGINIA COMMUNITY. IMPORTANTLY, IT SUPPORTS HEALTH AND WELLNESS AMONG THE REGION'S HOMELESS POPULATION THROUGH MOBILE HEALTH SERVICES. I. COMMUNITY HEALTH INITIATIVES SENTARA AND OPTIMA HEALTH HAVE LONG BEEN COMMITTED TO PROVIDING HEALTH AND PREVENTION SERVICES TO THE COMMUNITIES WE SERVE THROUGH MANY CHANNELS INCLUDING THE SENTARA HEALTHCARE COMMUNITY HEALTH AND PREVENTION ORGANIZATION WITHIN SENTARA. BELOW ARE SOME KEY HIGHLIGHTS OF THE EFFORTS IN OUR COMMUNITIES IN 2020: HEALTH IMPROVEMENT EVENTS WERE OFFERED TO CHURCHES, EMPLOYER GROUPS, COMMUNITY HEALTH CENTERS AND OTHER COMMUNITY LOCATIONS. SENTARA CONTINUED TO OFFER PROGRAMS SUCH AS EATING FOR LIFE, WALKABOUT WITH HEALTHY EDGE, HEALTH HABITS, HEALTHY YOU, MEDITATION, TAI CHI AND YOGA. SENTARA HOSTS SEVERAL COMMUNITY EVENTS RAISING AWARENESS AROUND KEY HEALTH AWARENESS MONTHS. ONE GOOD EXAMPLE IS THROUGH SENTARA HEART, WE PROMOTED THE "28 DAYS OF HEART" IN FEBRUARY 2020 IN SUPPORT OF HEART HEALTH AWARENESS. ONLINE PROMOTIONS, RADIO ADS, VIDEOS, SCREENINGS, AND MORE WERE CONDUCTED TO RAISE AWARENESS OF HEART DISEASE THROUGHOUT THE COMMUNITIES WE SERVE IN VIRGINIA AND NORTH CAROLINA. ADDITIONALLY, TWO SENTARA HOSPITALS, SENTARA NORFOLK GENERAL HOSPITAL (NORFOLK) AND SENTARA CAREPLEX HOSPITAL (HAMPTON) ACTIVATED THE VIOLENCE PREVENTION GRANTS THEY RECEIVED FROM THE VIRGINIA HOSPITALS AND HEALTHCARE ASSOCIATION ON JUNE 5, 2020 WEAR ORANGE DAY. THE GRANTS SUPPORT DEVELOPMENT OF COMMUNITY-BASED PROGRAMS TO PREVENT GUN AND INTIMATE PARTNER VIOLENCE BEFORE THEY RESULT IN MORE TRAUMATIC INJURIES. III. GROWTH IN SENTARA HEALTHCARE SENTARA HAS REACHED OUT TO OTHER INDUSTRY LEADERS AND JOINED FORCES TO EXTEND QUALITY HEALTHCARE AND SERVICES TO MORE PEOPLE. IN RECENT YEARS, WE HAVE GROWN IN VIRGINIA AND IN OTHER STATES - NORTH CAROLINA AND OHIO - BY SEEKING PARTNERSHIPS WITH SUCCESSFUL HOSPITALS AND HEALTH SYSTEMS THAT SHARE OUR DEDICATION TO EXCELLENCE, VALUE, QUALITY, AND CUSTOMER FOCUS. OUR GROWTH IN 2020 INCLUDED THE FOLLOWING: A. SENTARA PURCHASED 80% OF VIRGINIA PREMIER, AN INSURANCE COMPANY AFFILIATED WITH VCU HEALTH IN RICHMOND, VIRGINIA. THE TWO PLANS WILL SERVE MORE THAN 858,000 MEMBERS. B. OPTIMA HEALTH CONTINUED AS ONE OF 6 MANAGED CARE ORGANIZATIONS THAT COLLECTIVELY SERVED OVER 490,000 (BY END OF 2020) ELIGIBLE VIRGINIANS WHO QUALIFIED FOR MEDICAID EXPANSION. C. SENTARA OPENED THE NEW SENTARA BROCK CANCER CENTER IN NORFOLK, VIRGINIA, WHICH IS A PATIENT-CENTERED FACILITY THAT IS TRANSFORMING CANCER CARE IN SOUTHEAST VIRGINIA/NORTHEAST NORTH CAROLINA. FORM 990, PART III, LINE 4A IV. DIGITAL INITIATIVES AND INNOVATION SUCCESS A. SENTARA CONTINUED ITS FOCUS ON ENHANCING THE CONSUMER DIGITAL EXPERIENCE THROUGH THE ONGOING DEVELOPMENT AND ENHANCEMENT OF THE SENTARA "APP AND THE OPTIMA "APP". SENTARA AND OPTIMA EXPERIENCED 118,963 NEW APP DOWNLOADS AND A COMBINED TOTAL OF 148,654 LOG-INS. OUR AIM IS TO CONTINUOUSLY IMPROVE THE VIRTUAL EXPERIENCE, ENABLE VOICE OF THE CUSTOMER TO DRIVE CHANGE TO THE EXPERIENCE, AND ALLOW FOR A MORE FRICTIONLESS EXPERIENCE. B. THE VOICE OF THE CUSTOMER MODEL WAS HEAVILY UTILIZED TO UNDERSTAND MORE FROM SENTARA AND OPTIMA CUSTOMERS. THE MODEL IS AN OPERATIONAL DESIGN THAT ENABLES SENTARA TO INTEGRATE THE VOICE OF THE CUSTOMER INTO ALL FACETS OF BUSINESS DECISION-MAKING AND PRODUCT DEVELOPMENT BOTH IN THE BRICK AND MORTAR WORLD AND IN THE WORLD OF VIRTUAL CARE. C. SENTARA WAS NAMED TO THE CIO 100 LIST OF THE WORLD'S LEADING INNOVATIVE ORGANIZATIONS FOR CLOUD-HOSTING APPLICATION DESIGN, SUPPORT, AND COST OPTIMIZATION. V. OFFERING NEW PROCEDURES AND TECHNOLOGIES A. CLINICAL BREAKTHROUGHS AND ADVANCEMENTS: SENTARA INTRODUCED MANY NEW CLINICAL BREAKTHROUGHS AND ADVANCEMENTS THAT BENEFITED THE PATIENT IN MANY AREAS OF CARE. ONE EXAMPLE IS THE FOLLOWING: I. SEPSIS SNIFFER: SENTARA HOSPITALS CREATED AND IMPLEMENTED THE SEPSIS SNIFFER, AN ARTIFICIAL INTELLIGENCE SYSTEM TO PREDICT WHICH PATIENTS ARE MOST AT RISK FOR SEPSIS. VI. EXPANDING EDUCATIONAL OPPORTUNITIES A. SENTARA IS COMMITTED TO ALWAYS IMPROVING-INCLUDING ENCOURAGING REGISTERED NURSES (RNS) TO CONTINUE PURSUING EDUCATIONAL OPPORTUNITIES. CONTINUOUS LEARNING WILL ADVANCE THE CARE SENTARA NURSES DELIVER TO OUR PATIENTS AND ALLOW THEM TO ADVANCE IN THEIR CAREERS. IN 2020, SENTARA REACHED 83.9% OF SENTARA NURSES HAVING EARNED OR ARE UNDER CONTRACT TO EARN A BSN. SENTARA HAD 68.7% OF ITS NURSING WORKFORCE HOLDING A BSN OR HIGHER DEGREE WITH 15.2% OF LICENSED RNS WITH A CONTRACT TO COMPLETE THEIR BSN. B. RESEARCH: RESEARCH IS ANOTHER WAY SENTARA IS ALWAYS IMPROVING. HERE ARE A FEW EXAMPLES OF OUR WORK WITHIN THE RESEARCH REALM: I. HEART AND VASCULAR: THE SENTARA CARDIOVASCULAR RESEARCH INSTITUTE WAS ESTABLISHED IN 2005 TO ADVANCE THE UNDERSTANDING AND TREATMENT OF CARDIOVASCULAR DISEASE, WHICH IS THE NATION'S NUMBER-ONE KILLER. UNIQUELY QUALIFIED REGISTERED NURSE RESEARCH COORDINATORS, CARDIOLOGISTS, HEART, AND VASCULAR SURGEONS COLLABORATE WITH LOCAL INSTITUTIONS, GOVERNMENT AGENCIES AND BIOMEDICAL COMPANIES TO PERFORM CLINICAL RESEARCH TRIALS. ULTIMATELY, THE WORK ENABLES CLINICIANS TO IMPROVE CLINICAL CARE DELIVERY, PATIENT OUTCOMES AND THE OVERALL HEALTH OF OUR COMMUNITY. OUR SERVICES COVER ALL TYPES OF CARDIOVASCULAR RESEARCH SUCH AS MEDICAL DEVICES, HEART FAILURE, ELECTROPHYSIOLOGY, CARDIAC SURGERY, VASCULAR SURGERY, CARDIAC INTERVENTIONAL PROCEDURES, AND MEDICAL MANAGEMENT OF CAD RISK FACTORS SUCH AS DIABETES AND LIPID MANAGEMENT, AMONG OTHERS. RESEARCH NURSES EDUCATE AND FOLLOW RESEARCH PARTICIPANTS THROUGH THE ENTIRE TRIAL PROCESS. THEY COORDINATE ALL ASPECTS OF THE PATIENT EXPERIENCE AND ADVOCATES FOR THEM, HELPING THEM FEEL CARED FOR WHILE AT THEIR MOST VULNERABLE. OUR PROGRAM CURRENTLY HAS RESEARCH NURSES WHO ARE HIGHLY AUTONOMOUS AND SELF-DIRECTED. COLLECTIVELY, THEY COORDINATE MORE THAN 80 CLINICAL TRIALS. MANY OF THE TRIALS WE PARTICIPATE IN ARE NATIONALLY AND INTERNATIONALLY RECOGNIZED. THEY HAVE BEEN DESIGNED TO IDENTIFY NEW, IMPROVED TREATMENT METHODS AND PROTOCOLS, WHILE AT THE SAME TIME ELIMINATE THERAPIES AND APPROACHES TO CLINICAL CARE THAT ARE NOT AS EFFECTIVE OR MAY HAVE BEEN SHOWN TO BE HARMFUL. II. CANCER: THE SENTARA CANCER NETWORK CONTINUES TO EXPAND ITS RESEARCH CAPABILITIES IN CONJUNCTION WITH VIRGINIA ONCOLOGY ASSOCIATES, EASTERN VIRGINIA MEDICAL SCHOOL, GEORGE MASON UNIVERSITY, AND OTHER NATIONAL AND LOCAL HEALTHCARE ORGANIZATIONS TO CHANGE THE FUTURE OF CANCER AND IMPROVE OUR PATIENTS' QUALITY OF LIFE. FOR TODAY'S PATIENTS, PHYSICIANS IN THE SENTARA NETWORK CAN PROVIDE ACCESS TO NUMEROUS CLINICAL TRIALS, BOTH LOCAL AND NATIONAL, THROUGHOUT THE SENTARA SYSTEM, WITH A FOCUS IN HAMPTON ROADS AND BLUE RIDGE REGIONS. PROMISING CLINICAL TRIALS ARE BEING CONDUCTED ALL OVER THE COUNTRY FOR PATIENTS WITH CANCER, AND SOME OF THESE ARE BEING CONDUCTED WITHIN THE SENTARA CANCER NETWORK. SOME PEOPLE THINK THAT CLINICAL RESEARCH IS INTENDED AS A LAST RESORT, BUT MANY OF THESE TRIALS ARE LOOKING AT PROMISING NEW FIRST-LINE TREATMENTS. MANY STUDIES ARE NOT FOCUSED ON INCREASED TREATMENTS, BUT ADJUSTMENTS IN TREATMENTS AND OPTIONS FOR LESS INVASIVE OPTIONS IN ADDITION TO CLINICAL TRIALS THAT ARE ADMINISTERED AS PART OF CANCER TREATMENT FOR PATIENTS NOW. THE SENTARA CANCER NETWORK PARTICIPATES IN RESEARCH THAT COULD LEAD TO MORE AND BETTER OPTIONS FOR PREVENTION, DIAGNOSIS, AND TREATMENT IN THE FUTURE. EXAMPLES OF OTHER RESEARCH INCLUDE FINDING WAYS TO IMPROVE THE QUALITY OF LIFE FOR OUR PATIENTS, COMPARING COMMON CHARACTERISTICS FOR A SPECIFIC TYPE OF CANCER, AND IMPROVING PROCESSES AND TECHNOLOGY. VII. BUILDING FOR TOMORROW AND STRENGTHENING OUR COMMUNITIES A. SENTARA OPENED AN ORTHOPEDIC MEDICAL OFFICE BUILDING IN NORFOLK, VIRGINIA THAT HOUSES A SURGERY CENTER, REHABILITATION, AND IMAGING SERVICES. ADDITIONALLY, SENTARA EXPANDED ITS EMERGENCY DEPARTMENTS AT SENTARA OBICI HOSPITAL AND SENTARA LEIGH HOSPITAL. B. IN THE BLUE RIDGE REGION (HARRISONBURG AND CHARLOTTESVILLE), SENTARA LAUNCHED NEW ANESTHESIA PROGRAMS; ADDED NEW CARDIOLOGISTS AT SENTARA RMH MEDICAL CENTER FOR THE STRUCTURAL HEART PROGRAM; ADDED A NEONATOLOGIST PROGRAM TO ENHANCE LEVEL II NURSERY CARE FOR THE SRMH COMMUNITY; ADDED TWO NEW PRIMARY LOCATIONS IN WAYNESBORO AND CHARLOTTESVILLE; AND EXPANDED THE GASTROINTESTINAL PROGRAM CAPACITY. C. IN THE HALIFAX REGION, SENTARA HALIFAX REGIONAL HOSPITAL AND ITS ASSOCIATED MEDICAL PRACTICES FULLY IMPLEMENTED EPIC, OUR ELECTRONIC MEDICAL RECORD SYSTEM. FORM 990, PART III, LINE 4A D. IN NORTHERN VIRGINIA, SENTARA OPENED A NEW NEUROLOGY PRACTICE AND A NEW PHYSICAL THERAPY CENTER. VIII. QUALITY, PATIENT SAFETY, AND COMMUNITY DISTINCTIONS AND AWARDS A. AWARD-WINNING CARE - AS ALWAYS, SENTARA IS PROUD AND HUMBLED BY THE VARIOUS AWARDS AND RECOGNITIONS THE SYSTEM RECEIVED OVER THE COURSE OF THE YEAR. OUR MISSION IS TO IMPROVE HEALTH EVERY DAY. TO RECEIVE AN AWARD IS SIMPLY AN ADDED ACKNOWLEDGEMENT OF OUR MISSION DRIVEN WORK. HERE ARE A FEW OF THE 2020 AWARDS AND RECOGNITIONS: I. SENTARA NORFOLK GENERAL HOSPITAL EARNED A TOP 50 NATIONAL RANKING FROM U.S. NEWS & WORLD REPORT: UROLOGY. THIS EXTRAORDINARY RANKING, 23RD IN THE NATION, IS DUE TO THE GREAT PARTNERSHIP AND COLLABORATION WITH UROLOGY OF VIRGINIA AND EASTERN VIRGINIA MEDICAL SCHOOL (EVMS). UROLOGY SERVICES INCLUDE EXPERT TREATMENT METHODS FOR KIDNEY STONES TO COMPLEX BLADDER SURGERY, ROBOTIC SURGERY FOR PROSTATE, KIDNEY AND BLADDER CANCERS, GREEN LIGHT THERAPY FOR ENLARGED PROSTATE, AND THE SENTARA-EVMS COMPREHENSIVE PELVIC FLOOR CENTER. II. SENTARA WAS RANKED #1 IN THE 2020 GENEROUS VIRGINIANS REPORT BY VA BUSINESS IN SUPPORT OF NONPROFIT ORGANIZATIONS, A RANKING BASED OFF DOLLARS DONATED OR PLEDGED. III. SENTARA WAS NAMED ONE OF FORBES 2020 BEST EMPLOYERS FOR WOMEN. SENTARA WAS ONE OF ONLY 22 HEALTH SYSTEMS INCLUDED. IV. ALL 12 SENTARA HOSPITALS EARNED A "LEADER IN LGBTQ HEALTHCARE EQUALITY" IN THE 2020 HEALTHCARE EQUALITY INDEX (HEI), A NATIONAL LGBTQ BENCHMARKING TOOL FROM THE HUMAN RIGHTS CAMPAIGN. IX. OPTIMA HEALTH A. GROWTH OPTIMA HEALTH CONTINUES TO SEE GROWTH IN THE COMMERCIAL EMPLOYER MARKET. OPTIMA HEALTH ALONG WITH VIRGINIA PREMIER SERVES OVER 858,000 MEMBERS IN VIRGINIA, NORTH CAROLINA, AND OHIO. OPTIMA MEDICARE STAR RATING INCREASED TO 3.5 FROM 3.0 AND OPTIMA CONTINUES TO PRESS FORWARD ON ITS QUALITY, AFFORDABILITY, ACCESSIBILITY, HEALTH AND WELLNESS, VIRTUAL CARE, AND CUSTOMER EXPERIENCE. X. COVID-19 A. THE YEAR 2020 WAS ONE OF GREAT UNKNOWNS DUE TO THE COVID-19 PANDEMIC. SENTARA LEADERS AND TEAM MEMBERS ROSE TO NEW HEIGHTS WITH THEIR HARD WORK AND PERSEVERANCE IN TAKING CARE OF EACH OTHER AS WELL AS OUR MEMBERS AND PATIENTS. HERE ARE A FEW HIGHLIGHTS: I. SAFETY FOR OUR PATIENTS AND VISITORS: SENTARA INCORPORATED NATIONAL GUIDELINES FOR CLEANING/SANITIZING PATIENT CARE AREAS, MANDATORY MASKING, AND SOCIAL DISTANCING. SENTARA LAUNCHED A CALL CENTER AND DEVELOPED A WEBSITE TO FACILITATE PATIENT COMMUNICATION AND QUESTIONS. II. PROTECTING OUR TEAM MEMBERS: SENTARA PARTNERED WITH SEVERAL LOCAL COMPANIES TO PROCURE OR CREATE PERSONAL PROTECTION EQUIPMENT (PPE) AND OTHER MATERIALS. WE DEVELOPED EXTENSIVE PROCEDURES TO PROCURE AND SAFELY REPROCESS PPE. SENTARA IMPLEMENTED RIGOROUS SCREENING PROCEDURES AT ALL OUR FACILITIES AND WORK LOCATIONS. III. SUPPORTING OUR TEAM MEMBERS: SENTARA LAUNCHED A PROGRAM, "YOU MATTER" TO HELP TEAM MEMBERS WITH THEIR SOCIAL, EMOTIONAL, AND BEHAVIORAL HEALTH NEEDS DURING THIS DIFFICULT PANDEMIC PERIOD. YOU MATTER HAS AN ABUNDANCE OF RESOURCES FOR STRESS MANAGEMENT, MINDFULNESS, RESILIENCE, MENTAL WELLNESS, AND CARE GIVER STRESS. SENTARA STRESSED THE NEED FOR TEAM MEMBERS TO TAKE CARE OF THEMSELVES AND EACH OTHER. IV. COMMUNITY TESTING: SENTARA WAS THE FIRST IN VIRGINIA TO IMPLEMENT DRIVE-THROUGH TESTING SITES. WE TESTED 8,700+ COMMUNITY MEMBERS IN DRIVE-THRU LOCATIONS AND PROVIDED FREE COVID-19 TESTING TO OVER 14,000+ PEOPLE IN UNDERSERVED COMMUNITIES. V. VIRTUAL CARE: SENTARA ACCELERATED THE USE OF VIRTUAL VISITS. EARLY IN THE PANDEMIC SENTARA TRAINED MORE THAN 900 PROVIDERS TO DELIVER VIRTUAL CARE. VI. SENTARA INCIDENT COMMAND CENTER: AS WITH ALL MAJOR INCIDENTS IMPACTING OUR COMMUNITY, PATIENTS, MEMBERS, AND INDUSTRY, SENTARA CREATED THE COVID-19 STEERING COMMITTEE IN JANUARY 2020 TO MONITOR AND RESPOND TO THE PANDEMIC. A CENTRALIZED DAILY INCIDENT COMMAND CENTER WAS ESTABLISHED IN MARCH WITH LEADERS FROM ALL KEY AREAS OF THE COMPANY REPRESENTED. THIS COMMAND CENTER STRUCTURE ALLOWED SENTARA TO SUCCESSFULLY RESPOND, PIVOT, PLAN, AND COORDINATE ACTIONS IN RESPONSE TO THE UNPRECEDENTED PANDEMIC. ADDITIONALLY, SENTARA LEADERS FREQUENTLY WERE IN COMMUNICATION WITH FEDERAL, STATE, REGIONAL AND LOCAL ELECTED OFFICIALS, AND OTHER KEY STAKEHOLDERS TO COLLECTIVELY LEARN AND ADVISE OTHERS OF NEEDS AND ISSUES. CONCLUSION: SENTARA HEALTHCARE IS COMMITTED TO OUR MISSION-WE IMPROVE HEALTH EVERY DAY. WE PROVIDE QUALITY CARE THROUGH EXPERT PROVIDERS, USING CUTTING-EDGE TECHNOLOGY, DEPLOYING MEDICAL BREAKTHROUGHS, AND PROVIDING EXCELLENT CUSTOMER SERVICE ALL WITH A CONSTANT FOCUS ON INNOVATION. AND, WE ARE COMMITTED TO SUPPORTING THE COMMUNITIES WE SERVE THROUGH OUR CORPORATE SOCIAL RESPONSIBILITY PROGRAM, SERVING DIVERSITY AND EXPLORING HEALTH EQUITIES, VOLUNTEERISM, GRANTS, SPONSORSHIPS, AND SUPPORTING INITIATIVES THAT LIFT OUR COMMUNITIES. WE LOOK FORWARD TO ANOTHER YEAR OF COMMUNITY SUCCESS, GROWTH, AND INNOVATION IN 2021. FORM 990, PART V, LINE 1A, NUMBER REPORTED IN BOX 3 OF FORM 1096: SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEALTH SYSTEM, MAINTAINS AN AGENCY RELATIONSHIP WITH THE ORGANIZATION AND ISSUES ALL 1099S ON ITS BEHALF. THE NUMBER REPORTED IS A BEST ESTIMATE OF THE 1099S ATTRIBUTABLE TO THE ORGANIZATION. THE EXACT NUMBER CANNOT BE DETERMINED; AS SOME OF THE 1099S ISSUED BY THE AGENT ARE ATTRIBUTABLE TO MORE THAN ONE ENTITY, AND THERE IS NO REPORTING MECHANISM TO DETERMINE 1099'S ATTRIBUTABLE SOLELY TO THE ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 2 DAVID H. WHITE, JR. AND LARRY P. SNEED HAVE A BUSINESS RELATIONSHIP. DRS. HABIB BASSIL AND SAID B. ISKANDAR HAVE A BUSINESS RELATIONSHIP. THE ORGANIZATION'S OFFICERS AND DIRECTORS SERVED TOGETHER ON THE BOARDS OF OTHER ORGANIZATIONS WITHIN THE SENTARA HEALTHCARE SYSTEM ("THE SYSTEM"), AS WELL AS JOINT VENTURES IN WHICH THE SYSTEM HAD AN OWNERSHIP INTEREST. SEE SCHEDULE R FOR A LISTING OF SUCH ENTITIES. FORM 990, PART VI, SECTION A, LINE 6 THE ORGANIZATION'S SOLE MEMBER WAS SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND 501(C)(3) TAX EXEMPT ENTITY. FORM 990, PART VI, SECTION A, LINE 7A A BOARD OF DIRECTORS, WHICH SERVED AS THE ORGANIZATION'S GOVERNING BODY, WAS COMPOSED OF TWO CLASSES OF DIRECTORS, A CLASS OF DIRECTORS APPOINTED BY THE ORGANIZATION'S SOLE MEMBER, SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEALTH SYSTEM, AND A CLASS OF DIRECTORS NOMINATED BY HALIFAX REGIONAL HOSPITAL, INC.'S NOMINATING COMMITTEE, AND RATIFIED BY THE BOARD OF DIRECTORS OF SENTARA HEALTHCARE. FORM 990, PART VI, SECTION A, LINE 7B THE ORGANIZATION MAY NOT TAKE OR ALLOW ANY OF THE FOLLOWING GOVERNANCE ACTIONS WITHOUT THE CONSENT OF ITS SOLE MEMBER, SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEATLH SYSTEM: APPROVAL OR ADOPTION OF ANY PLAN OF MERGER OR CONSOLIDATION, ANY SALE, LEASE, EXCHANGE, MORTGAGE, PLEDGE OR OTHER DISPOSITION OF ALL, OR SUBSTANTIALLY ALL, THE PROPERTY AND ASSETS OF THE ORGANIZATION, THE VOLUNTARY DISSOLUTION OR LIQUIDATION OF THE ORGANIZATION, REVOCATION OF ANY SUCH VOLUNTARY DISSOLUTION PROCEEDINGS, OR ANY DECISION TO FILE A PETITON REQUESTING OR CONSENTING TO AN ORDER FOR RELIEF UNDER THE FEDERAL BANKRUPTCY LAWS OR SIMILAR STATE LAWS FOR THE ORGANIZATION; ELECTION OF NEW BOARD MEMBERS; ANY ALTERATION, AMENDMENT, RESTATEMENT OR REPEAL OF ANY GOVERNING DOCUMENTS; THE ADOPTION OF ANY NEW GOVERNING DOCUMENTS; OR ANY ACTION TO BE TAKEN AS THE MEMBER UNDER THE GOVERNING DOCUMENTS. THE APPROVAL OF THE SOLE MEMBER IS ALSO REQUIRED FOR CERTAIN OPERATIONAL ACTIONS, AS OUTLINED IN THE ORGANIZATION'S BYLAWS. SUCH ACTIONS INCLUDE, BUT ARE NOT LIMITED TO, APPROVAL OF STRATEGIC OR LONG-RANGE BUSINESS PLANS AND ANNUAL OPERATING AND CAPITAL BUDGETS; CREATION OR ACQUISITION OF SUBSIDIARIES OR INTERESTS IN WHICH THE ORGANIZATION WILL BE A MEMBER; ENTRANCE INTO JOINT VENTURE OR OTHER SIMILAR ARRANGEMENTS; EMPLOYMENT MATTERS CONCERNING THE ORGANIZATION'S PRESIDENT, CHIEF OPERATING OFFICER OR CHIEF FINANCIAL OFFICER; TRANSACTIONS WITH INTERESTED PARTIES; INDEBTEDNESS NOT INCLUDED IN AN OPERATING OR CAPITAL BUDGET APPROVED BY THE MEMBER; THE COMMENCEMENT OR SETTLEMENT OF CERTAIN LITIGATION; AND ENTERING INTO, TERMINATING OR CHANGING ANY THIRD-PARTY PAYOR CONTRACT. SENTARA HEALTHCARE, AS SOLE MEMBER, HAS EXCLUSIVE AUTHORITY TO DIRECT AND MANAGE THE OPERATIONS AND AFFAIRS OF THE ORGANIZATION, AND TO MAKE ALL DECISIONS REGARDING THE BUSINESS OF THE ORGANIZATION, SUBJECT TO BOARD OVERSIGHT TO THE EXTENT AND IN THE MANNER SET FORTH IN THE ORGANIZATION'S BYLAWS. FORM 990, PART VI, SECTION B, LINE 11B THE ORGANIZATION WAS PART OF THE SENTARA HEALTH SYSTEM ("THE SYSTEM"), AND AS SUCH, USED THE SYSTEM'S IN-HOUSE TAX DEPARTMENT, HEADED BY A LICENSED CERTIFIED PUBLIC ACCOUNTANT, TO BOTH PREPARE AND REVIEW ITS FORM 990. DURING THE PREPARATION AND REVIEW PROCESS, THE TAX DEPARTMENT WORKED CLOSELY WITH OTHER SYSTEM DEPARTMENTS, SUCH AS LEGAL, COMPENSATION AND BENEFITS, COMPLIANCE, FINANCE, AND MARKETING, TO ENSURE THAT A COMPLETE AND ACCURATE RETURN WAS FILED. THE PARENT OF THE SYSTEM IS SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND 501(C)(3) TAX EXEMPT ENTITY. FORM 990, PART VI, SECTION B, LINE 12C DIRECTORS, BOARD-NOMINATED OFFICERS, AND KEY EMPLOYEES ARE REQUESTED TO SUBMIT AN ANNUAL CONFLICT OF INTEREST QUESTIONNAIRE AND CERTIFY TO THE COMPLETION AND ACCURACY OF THE INFORMATION DISCLOSED. ADDITIONALLY, EACH ORGANIZATION'S GOVERNING BOARD OR APPROPRIATE BODY MONITORS TRANSACTIONS INVOLVING DISCLOSED POTENTIAL CONFLICTS OF INTEREST. FORM 990, PART VI, SECTION B, LINE 15 AS PART OF THE SENTARA HEALTH SYSTEM ("THE SYSTEM"), THE ORGANIZATION FOLLOWED PROCESSES AND PROCEDURES SET FORTH IN ITS GOVERNING DOCUMENTS TO ENSURE COMPLIANCE WITH ITS OBLIGATIONS AS A 501(C)(3) HEALTHCARE ORGANIZATION TO PAY DISQUALIFIED PERSONS' REASONABLE COMPENSATION. SUCH PROCESSES AND PROCEDURES ARE INTENDED TO ESTABLISH THE REBUTTABLE PRESUMPTION OF REASONABLENESS UNDER THE INTERNAL REVENUE CODE SECTION 4958 REGULATIONS. THE COMPENSATION PHILOSOPHY OF THE SYSTEM AS A WHOLE IS TO BASE OVERALL COMPENSATION AND BENEFITS FOR EXECUTIVES ON NOT-FOR-PROFIT MARKET COMPARABLES, ADJUSTED AS APPLIED TO EACH EXECUTIVE, TAKING INTO CONSIDERATION THE INDIVIDUAL SKILLS, EXPERIENCE, TENURE AND PERFORMANCE OF THE EXECUTIVE BEING COMPENSATED AND OVERALL PERFORMANCE OF THE ORGANIZATION. IN LINE WITH THIS PHILOSOPHY, THE SYSTEM PERFORMED SUBSTANTIAL DUE DILIGENCE AS TO MARKET COMPARABLES. THE SYSTEM'S COMPENSATION COMMITTEE, WHICH CONSISTS OF SYSTEM BOARD MEMBERS WITHOUT CONFLICTS OF INTEREST, ENGAGED AN OUTSIDE CONSULTANT, WHO REPORTS TO THE COMPENSATION COMMITTEE, TO CONDUCT A STUDY ASSESSING THE COMPETITIVENESS OF TOTAL COMPENSATION (INCLUDING CASH COMPENSATION, BENEFITS AND PERQUISITES) OF ITS SENIOR EXECUTIVES PRIOR TO MAKING DECISIONS REGARDING ANNUAL BASE SALARY ADJUSTMENTS, APPROVING INCENTIVE AWARDS, OR CONSIDERING PROGRAMMATIC CHANGES. THE STUDY COMPARED THE COMPENSATION OF THE SYSTEM'S SENIOR EXECUTIVES TO COMPENSATION DATA FROM MULTIPLE PUBLISHED SURVEY SOURCES BASED ON EACH SENIOR EXECUTIVE'S FUNCTIONAL RESPONSIBILITY. IN CONDUCTING THE STUDY, THE CONSULTANT TARGETED OTHER NOT-FOR-PROFIT HEALTH SYSTEMS OF SIMILAR SIZE BASED ON NET REVENUE AND COMPLEXITY. FOR HEALTH PLAN POSITIONS, HEALTH PLANS WITH SIMILAR PREMIUMS, OR MEMBERS, WERE TARGETED. THE CONSULTANT ALSO CONDUCTS A REVIEW OF THE ORGANIZATION'S PERFORMANCE RELATIVE TO A GROUP OF NOT-FOR-PROFIT HEALTH SYSTEMS OF COMPARABLE SIZE AND SCOPE OF OPERATIONS EVERY YEAR. THE MOST RECENT STUDY COMPARED SENTARA'S PERFORMANCE TO 28 NOT-FOR-PROFIT HEALTHCARE SYSTEMS BASED ON NET REVENUE GROWTH, OPERATING MARGIN, VARIOUS CLINICAL QUALITY METRICS AND PATIENT SATISFACTION. OVERALL, THE CONSULTANT DETERMINED THAT SENTARA'S PAY WAS ALIGNED WITH ITS RELATIVE PERFORMANCE. THE COMPENSATION STUDY WAS PRESENTED TO THE SYSTEM'S COMPENSATION COMMITTEE, WHICH MADE ITS COMPENSATION DECISIONS BASED ON A) ITS REVIEW AND ANALYSIS OF THE PERFORMANCE OF BOTH THE ORGANIZATION AND ITS SENIOR EXECUTIVES AND, B) A REASONABLENESS OF COMPENSATION ANALYSIS AND OPINION FROM AN EXTERNAL EXPERT IN THE COMPENSATION OF EXECUTIVES IN THE TAX-EXEMPT HEALTH CARE FIELD. THE COMMITTEE'S BASES FOR ITS DECISIONS WERE DOCUMENTED IN COMMITTEE MINUTES TAKEN DURING THE MEETING AND THEN CIRCULATED FOR REVIEW AND APPROVAL. ALL DECISIONS REGARDING COMPENSATION WERE MADE BY THE COMMITTEE, WHICH CONSISTS OF SYSTEM BOARD MEMBERS WITHOUT CONFLICTS OF INTEREST. THE OUTSIDE MARKET STUDY DESCRIBED ABOVE WAS USED TO ESTABLISH COMPENSATION FOR THE ORGANIZATION'S PRESIDENT, WHO IS CONSIDERED THE TOP MANAGEMENT OFFICIAL OF THE ORGANIZATION. RESULTS WERE PRESENTED TO THE PRESIDENT AND CEO OF THE SYSTEM FOR REVIEW AND APPROVAL RATHER THAN THE SYSTEM'S COMPENSATION COMMITTEE. FORM 990, PART VI, SECTION C, LINE 19 THE CONSOLIDATED FINANCIAL STATEMENTS FOR SENTARA HEALTHCARE AND SUBSIDIARIES WERE MADE PUBLICLY AVAILABLE THROUGH THE USE OF DAC BOND (DISCLOSURE DISSEMINATION AGENT) AND CAN BE FOUND ON THE INTERNET AT WWW.DACBOND.COM. THE ORGANIZATION'S GOVERNING DOCUMENTS AND CONFLICTS OF INTEREST POLICY ARE GENERALLY NOT MADE AVAILABLE TO THE PUBLIC. CORE PART VI LINES 1A AND 1B, BOARD MEMBER INDEPENDENCE: SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEALTH SYSTEM, APPOINTS THE ORGANIZATION'S DIRECTORS AS DESCRIBED IN CORE PART VI LINE 7. THE GOVERNING BOARD OF SENTARA HEALTHCARE IS A COMMUNITY-BASED BOARD COMPRISED OF 16 VOTING MEMBERS, 15 OF WHICH ARE CONSIDERED INDEPENDENT, AS DEFINED IN THE FORM 990 INSTRUCTIONS. FORM 990, PART IX, LINE 11G OTHER NON-EMPLOYEE PROFESSIONALS: PROGRAM SERVICE EXPENSES 952,044. MANAGEMENT AND GENERAL EXPENSES 178,247. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 1,130,291. NON-EMPLOYEE HEALTHCARE PROFESSIONALS: PROGRAM SERVICE EXPENSES 11,424,327. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 11,424,327. FORM 990, PART XI, LINE 9: BOOK RECLASS OF INTERCOMPANY ACCOUNT BALANCES TO EQUITY -12,462,435. OTHER CHANGE IN FUND BALANCE 4. CAPITAL CONTRIBUTION TO SUBSIDIARY -84,489. 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