2020-11-03T10:06:00-06:00 2019-12-31 420714325 RSM US LLP 9801 WASHINGTONIAN BLVD STE 500 GAITHERSBURG MD 20878 990 2019-01-01 521191985 NATIONAL COMMITTEE FOR QUALITY ASSURANCE NATI 2029553500 1100 13TH ST NW THIRD FLOOR WASHINGTON DC 200054056 DANIEL A O'CONNOR CFO/TREASURER 2029553500 2020-09-30 1 WILLIAM E TURCO CPA P00369217 3012963600 2020-09-30 66.98.98.8 2020-09-30 09:22:09 ED P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 00BFBB601F26E6691F3C42FDB75EEBE807206D5E 2019 2021-01-29 14:40:06Z NCQA MARGARET E O'KANE 1100 13TH ST NW THIRD FLOOR WASHINGTON DC 200054056 77961520 0 X WWW.NCQA.ORG X 1990 DC OUR MISSION: TO IMPROVE THE QUALITY OF HEALTH CARE.OUR VISION: TO TRANSFORM HEALTH CARE QUALITY THROUGH MEASUREMENT, TRANSPARENCY AND ACCOUNTABILITY. 17 16 434 132 0 0 17011553 14279715 50676829 58553781 998731 1180518 3082550 3589369 71769663 77603383 0 0 0 0 49704406 53574679 0 0 910491 19036563 19187613 68740969 72762292 3028694 4841091 85700616 105770286 31041226 41291119 54659390 64479167 OUR MISSION: TO IMPROVE THE QUALITY OF HEALTH CARE.OUR VISION: TO TRANSFORM HEALTH CARE QUALITY THROUGH MEASUREMENT, TRANSPARENCY AND ACCOUNTABILITY. 0 0 50829092 61714518 ACCREDITATION, CERTIFICATION OR RECOGNITION OF MANAGED CARE ORGANIZATIONS, ACCOUNTABLE CARE ORGANIZATIONS, MANAGED BEHAVIORAL HEALTHCARE ORGANIZATIONS, CREDENTIALS VERIFICATION ORGANIZATIONS, PHYSICIAN ORGANIZATIONS, INDIVIDUAL PHYSICIANS, HEDIS COMPLIANCE AUDITORS, SURVEY AND SOFTWARE VENDORS AND PREFERRED PROVIDER ORGANIZATIONS. PERFORMANCE MEASUREMENT - NCQA DEVELOPS AND MAINTAINS THE PRINCIPAL HEALTH CARE PERFORMANCE MEASUREMENT TOOL FOR HEALTH PLANS AND PHYSICIANS, THE HEALTH CARE EFFECTIVENESS DATA AND INFORMATION SET (HEDIS). NCQA WORKS ON A CONTRACT BASIS WITH PUBLIC AND PRIVATE ORGANIZATIONS TO DEVELOP, MANAGE, EXECUTE, OR CONSULT ON PROJECTS. NCQA ALSO DEVELOPS AND DELIVERS EDUCATION CONFERENCES, PUBLICATIONS, AND INFORMATION PRODUCTS. 3868525 NCQA IS RESPONDING TO THE RAPIDLY CHANGING HEALTH CARE MARKETPLACE BY DEVELOPING NEW PROGRAMS AND SERVICES THAT MEASURES PERFORMANCE ACROSS THE DELIVERY SYSTEM. 54697617 1 1 0 1 0 0 0 0 0 0 1 1 0 0 1 1 1 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 242 0 1 434 1 0 0 0 0 0 1 1 0 0 0 0 0 0 X 17 16 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA DC X DANIEL A O'CONNOR CFOTREASURER 2029553500 1100 13TH ST NW THIRD FLOOR WASHINGTON DC 200054056 DAVID C K CHIN MD MBA CHAIRPERSON BOARD 3.00 X X 0 0 0 THOMAS BETLACH BOARD MEMBER 2.00 X 0 0 0 BENJAMIN K CHU MD MPH MACP BOARD MEMBER 2.00 X 0 0 0 PATRICK CONWAY BOARD MEMBER THRU 12/31/2019 2.00 X 0 0 0 JOHN GLASER PHD BOARD MEMBER 2.00 X 0 0 0 GEORGE HALVORSON BOARD MEMBER 2.00 X 0 0 0 JEFFREY KANG MD BOARD MEMBER 2.00 X 0 0 0 DAVID KENDRICK MD MPH BOARD MEMBER 2.00 X 0 0 0 LEEBA LESSIN BOARD MEMBER THRU 6/1/2019 2.00 X 0 0 0 RALPH W MULLER BOARD MEMBER 2.00 X 0 0 0 DEBRA NESS BOARD MEMBER 2.00 X 0 0 0 JOSEPH NEWHOUSE PHD BOARD MEMBER 2.00 X 0 0 0 LEN NICHOLS PHD BOARD MEMBER 2.00 X 0 0 0 J BRENT PAWLECKI MD MMM BOARD MEMBER 2.00 X 0 0 0 CRAIG SAMMITT MD MBA BOARD MEMBER 2.00 X 0 0 0 SUSAN STUARD BOARD MEMBER 2.00 X 0 0 0 GLENDA WRENN MD MSHP FAPA BOARD MEMBER 2.00 X 0 0 0 MARGARET E O'KANE PRESIDENT 40.00 X X 869027 0 38560 SHARON KING-DONOHUE GENERAL COUNSEL/SECRETARY 40.00 X 476675 0 83655 DANIEL A O'CONNOR CFO/TREASURER 40.00 X 356656 0 67505 THOMAS FLUEGEL CHIEF OPERATING OFFICER 40.00 X 470991 0 82495 MICHAEL BARR EXECUTIVE VICE PRESIDENT 40.00 X 515198 0 86965 LISA SLATTERY VP, ACCREDITATION & RECOGNITION 40.00 X 383116 0 30469 PATRICIA BARRETT VP, PRODUCT DESIGN & SUPPORT 40.00 X 362133 0 45389 MARY BARTON VP, PERFORMANCE MEASURES 40.00 X 347329 0 26190 RICK MOORE CHIEF INFORMATION OFFICER 40.00 X 356417 0 25981 FRANK MICCICHE VP, PUBLIC POLICY & COMM. 40.00 X 305069 0 57816 SCOTT A HARTRANFT FORMER CFO/TREASURER 40.00 X 125336 0 0 4567947 0 545025 170 1 1 0 RAND CORPORATION PO BOX 2138 SANTA MONICA CA 90407 SUBCONTRACTOR FOR GRANT 776386 DYNAMIC CONTENT GROUP LLC 220 W 50 N OREM UT 84057 APPLICATION DEVELOPMENT 481300 SIZEABLE INTERACTIVE LLC 714 S WOLFE STREE UNIT 6110 BALTIMORE MD 21231 WEBSITE DESIGN 275072 L & M POLICY RESEARCH LLC P O BOX 42026 WASHINGTON DC 20015 SUBCONTRACTOR FOR GRANT 271623 CONFLUENT HEALTHCARE SOLUTIONS INC 5738 63RD STREET MASPETH NY 11378 SUBCONTRACTOR FOR A GRANT 240000 44 226000 13015684 1038031 14279715 ACCREDITATION SERVICES 900099 31858092 31858092 INFORMATION PRODUCTS 900099 14779849 14779849 FED/STATE CONTRACTS 900099 9700237 9700237 EDUCATION CONFERENCES 900099 2215603 2215603 58553781 1202361 1202361 21843 -21843 -21843 -21843 94073 226000 260589 -166516 -166516 3236442 75705 3160737 3160737 OTHER INCOME 900099 595148 595148 595148 77603383 61714518 0 1609150 3068152 2351068 689263 27821 125336 125336 40356272 29710563 10294128 351581 2359653 1737193 601903 20557 4450239 3276296 1135172 38771 3215027 2366925 820093 28009 120177 120177 126655 126655 85628 27450 58178 701435 118413 565905 17117 2319774 1691048 618070 10656 2004874 1604060 323503 77311 1133361 550707 325655 256999 1885265 1885265 407678 407678 TAXES 43216 43216 SUBCONTRACTOR/CONSULTAN 8091236 6373978 1696392 20866 OTHER DIRECT COSTS 2007804 492389 1506650 8765 BAD DEBT EXPENSE 260510 260510 4397527 -4449565 52038 72762292 54697617 17154184 910491 6151 6151 11656737 20461964 2880292 803770 9523945 9399332 47779 51356 554161 566280 21906719 9137643 10821571 12769076 16564907 2744329 31502483 54329567 2142590 4638461 85700616 105770286 10450233 11038151 11750442 21131939 8840551 9121029 31041226 41291119 X 50202574 61803780 4456816 2675387 54659390 64479167 85700616 105770286 X 4841091 10540598 -5561912 X 0 1 X 1 0 X 13228850 9337501 18731482 17011553 14279715 72589101 13228850 9337501 18731482 17011553 14279715 72589101 5411498 67177603 586232 789867 933045 1019497 1202361 4531002 603518 639175 687229 668931 595148 3194001 80314104 275854322 0.83640 0.50330 X SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: OTHER INCOME - 2015 AMOUNT: $ 603,518. 2016 AMOUNT: $ 639,175. 2017 AMOUNT: $ 687,229. 2018 AMOUNT: $ 668,931. 2019 AMOUNT: $ 595,148. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1411 1411 72760881 72762292 1000000 250000 0 0 1000000 1000000 1000000 3000000 4500000 144681 127130 1411 273222 250000 250000 250000 750000 1125000 4081287 874032 3207255 10406809 2201461 8205348 7418623 6062150 1356473 12769076 749489.46-VANGUARD TOTAL BD MKT INDEX ADMIRAL (VBTLX) 8281858 F 434347.72-VANGUARD TOTAL STOCK MKT INDEX FD ADMIRAL (VTSAX) 34613170 F 398693.82-VANGUARD TOTAL WORLD STK INDEX ADMIRAL (VTWAX) 11434539 F 54329567 DEFERRED RENT 6758614 DEFERRED COMPENSATION 2362415 9121029 X 88502118 10540598 10540598 77961520 -358137 -358137 77603383 73120429 358137 358137 72762292 0 72762292 PART X, LINE 2: NCQA IS GENERALLY EXEMPT FROM FEDERAL INCOME TAXES UNDER PROVISIONS OF SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. INCOME WHICH IS NOT RELATED TO EXEMPT PURPOSES, LESS APPLICABLE DEDUCTIONS, IS SUBJECT TO FEDERAL AND STATE CORPORATE INCOME TAXES. NCQA HAD NO NET UNRELATED BUSINESS INCOME FOR THE YEARS ENDED DECEMBER 31, 2019 AND 2018. NCQA FOLLOWS THE ACCOUNTING STANDARD ON ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES, WHICH ADDRESSES THE DETERMINATION OF WHETHER TAX BENEFITS CLAIMED OR EXPECTED TO BE CLAIMED ON A TAX RETURN SHOULD BE RECORDED IN THE FINANCIAL STATEMENTS. UNDER THIS GUIDANCE, NCQA MAY RECOGNIZE THE TAX BENEFIT FROM AN UNCERTAIN TAX POSITION ONLY IF IT IS MORE LIKELY THAN NOT THAT THE TAX POSITION WILL BE SUSTAINED ON EXAMINATION BY TAXING AUTHORITIES, BASED ON THE TECHNICAL MERITS OF THE POSITION. THE TAX BENEFITS RECOGNIZED IN THE FINANCIAL STATEMENTS FROM SUCH A POSITION ARE MEASURED BASED ON THE LARGEST BENEFIT THAT HAS A GREATER THAN 50% LIKELIHOOD OF BEING REALIZED UPON ULTIMATE SETTLEMENT. THE GUIDANCE ON ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES ALSO ADDRESSES DERECOGNITION, CLASSIFICATION, INTEREST AND PENALTIES ON INCOME TAXES, AND ACCOUNTING IN INTERIM PERIODS. NCQA HAD NO SUCH POSITIONS RECORDED IN THE FINANCIAL STATEMENTS AT DECEMBER 31, 2019 AND 2018. GENERALLY, NCQA IS NO LONGER SUBJECT TO U.S. FEDERAL INCOME TAX POSITIONS BY TAX AUTHORITIES FOR YEARS BEFORE 2016. PART XI, LINE 4B - OTHER ADJUSTMENTS: SPECIAL EVENT EXPENSES REPORTED ON LINE 8B -260,589. COST OF GOODS SOLD REPORTED ON LINE 10B -75,705. LOSS ON DISPOSAL OF EQUIPMENT REPORTED ON LINE 7C -21,843. PART XII, LINE 2D - OTHER ADJUSTMENTS: SPECIAL EVENT EXPENSES REPORTED ON LINE 8B 260,589. COST OF GOODS SOLD REPORTED ON LINE 10B 75,705. LOSS ON DISPOSAL OF EQUIPMENT REPORTED ON LINE 7C 21,843. DIGITAL QUALITY SUMMITT - 2019 320073 226000 94073 72107 126460 62022 320073 226000 94073 72107 126460 62022 260589 -166516 X X X 1 1 0 0 0 1 0 0 0 MARGARET E O'KANE PRESIDENT 586776 0 248746 0 33505 0 23490 0 17456 0 909973 0 0 0 SHARON KING-DONOHUE GENERAL COUNSEL/SECRETARY 354455 0 105760 0 16460 0 59859 0 26808 0 563342 0 0 0 DANIEL A O'CONNOR CFO/TREASURER 314561 0 28986 0 13109 0 21348 0 51277 0 429281 0 0 0 THOMAS FLUEGEL CHIEF OPERATING OFFICER 347153 0 86922 0 36916 0 60819 0 26591 0 558401 0 0 0 MICHAEL BARR EXECUTIVE VICE PRESIDENT 396033 0 97062 0 22103 0 65328 0 26629 0 607155 0 0 0 LISA SLATTERY VP, ACCREDITATION & RECOGNITION 300269 0 59660 0 23187 0 23490 0 13047 0 419653 0 0 0 PATRICIA BARRETT VP, PRODUCT DESIGN & SUPPORT 268470 0 53618 0 40045 0 23490 0 25711 0 411334 0 0 0 MARY BARTON VP, PERFORMANCE MEASURES 271466 0 53034 0 22829 0 23490 0 5133 0 375952 0 0 0 RICK MOORE CHIEF INFORMATION OFFICER 282404 0 53469 0 20544 0 23490 0 5555 0 385462 0 0 0 FRANK MICCICHE VP, PUBLIC POLICY & COMM. 241791 0 48257 0 15021 0 23490 0 40687 0 369246 0 0 0 SCOTT A HARTRANFT FORMER CFO/TREASURER 0 0 0 0 125336 0 0 0 0 0 125336 0 0 0 PART I, LINES 4A-B SCOTT HARTRANFT RECEIVED A SEVERANCE PAYMENT IN THE AMOUNT OF $125,336 AND THIS IS REPORTED AS OTHER REPORTABLE COMPENSATION IN PART II, COLUMN B(III). THE FOLLOWING EMPLOYEES PARTICIPATED IN A SUPPLEMENTAL NONQULIFIED RETIREMENT PLAN 457(F) DURING THE CALENDAR YEAR. MARGARET O'KANE - $0 THOMAS FLUEGEL - $37,329 SHARON KING-DONOHUE - $36,369 MICHAEL BARR - $41,838 THE FOLLOWING EMPLOYEES RECEIVED PAYMENT FROM A SUPPLEMENTAL NONQULIFIED RETIREMENT PLAN 457(F) DURING THE CALENDAR YEAR. MARGARET O'KANE - $73,656 SHARON KING-DONOHUE - $18,909 PART I, LINE 6 DISCRETIONARY INCENTIVES ARE PAID TO ALL ELIGIBLE STAFF BASED UP THE ACHIEVEMENT OF PRIORITY PROJECTS, THE BUSINESS PLAN AND THEIR INDIVIDUAL PERFORMANCE. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 UNDERGOES INTERNAL REVIEW AND IS THEN EXAMINED BY THE FINANCE AND AUDIT COMMITTEE OF THE BOARD OF DIRECTORS. AT THAT TIME, CORRECTIONS ARE MADE IF NEEDED. THE FORM 990 IS THEN APPROVED BY THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 12C THE ORGANIZATION HAS A CONFLICT OF INTEREST POLICY GOVERNING ITS BOARD OF DIRECTORS. WRITTEN AND ORAL CONFLICT OF INTEREST DISCLOSURES ARE REQUIRED ANNUALLY. DIRECTORS ARE REQUIRED TO IDENTIFY ANY POTENTIAL CONFLICTS OF INTEREST WITH AGENDA ITEMS AT THE OUTSET OF EACH BOARD MEETING. THE GOVERNANCE COMMITTEE OF THE BOARD IS RESPONSIBLE FOR ENSURING THAT NCQA ADOPTS AND ENFORCES APPROPRIATE GOVERNANCE POLICIES INCLUDING CONFLICT OF INTEREST. THE BOARD IN CONSULTATION WITH THE GENERAL COUNSEL IS RESPONSIBLE FOR RESOLUTION OF SPECIFIC CONFLICT OF INTEREST ISSUES THAT MAY ARISE IN CONNECTION WITH THE BOARD'S ACTIVITIES. NCQA'S OPERATING COMMITTEES AND EXPERT PANELS HAVE SEPARATE CONFLICT OF INTEREST POLICIES WHICH ALSO REQUIRE ANNUAL WRITTEN DISCLOSURE OF POTENTIAL CONFLICTS OF INTEREST. COMMITTEE MEMBERS AND PANEL PARTICIPANTS ARE REQUIRED TO DISCLOSE POTENTIAL CONFLICTS OF INTEREST AT THE OUTSET OF EACH MEETING OR PRIOR TO DELIBERATIONS OR A VOTE ON ANY MATTER FOR WHICH A MEMBER MIGHT HAVE A CONFLICT. THE COMMITTEE CHAIR OR EXPERT PANEL CHAIR IN CONSULTATION WITH THE GENERAL COUNSEL OVERSEES ENFORCEMENT OF THE POLICIES. THE REVIEW OVERSIGHT COMMITTEES AND THE RECONSIDERATION COMMITTEES (THESE ARE PEER REVIEW COMMITTEES THAT RENDER THE ACCREDITATION, CERTIFICATION OR RECOGNITION DECISIONS) HAVE SEPARATE CONFLICT OF INTEREST POLICIES THAT REQUIRE DISCLOSURE OF SPECIFIC CONFLICTS OF INTEREST RELATED TO ANY ORGANIZATION OR INDIVIDUAL BEING REVIEWED FOR ACCREDITATION, CERTIFICATION OR RECOGNITION. THE ACCREDITATION STAFF ARE RESPONSIBLE FOR ADMINISTERING THESE CONFLICT OF INTEREST POLICIES AND CONSULT WITH THE GENERAL COUNSEL WHEN ISSUES OF POTENTIAL CONFLICTS ARE DECLARED. IN ADDITION, THE ORGANIZATIONS BEING REVIEWED FOR ACCREDITATION, CERTIFICATION OR RECOGNITION ARE REQUIRED TO DECLARE POTENTIAL CONFLICTS THEY MAY HAVE WITH COMMITTEE MEMBERS AND REVIEWERS.NCQA SENIOR STAFF COMPLETE A WRITTEN AND ORAL CONFLICT OF INTEREST DISCLOSURE ANNUALLY. STAFF ARE REQUIRED TO UPDATE THEIR DISCLOSURES IF ANYTHING CHANGES DURING THE YEAR. THE DISCLOSURE PROCESS AND RESOLUTION OF POTENTIAL CONFLICTS IS OVERSEEN BY THE GENERAL COUNSEL. ALL NCQA STAFF ARE SUBJECT TO A POLICY PROHIBITING INSIDER TRADING WHICH SPECIFIES THAT NCQA STAFF CANNOT OWN A DIRECT INTEREST (MUTUAL FUNDS ARE EXCLUDED) IN ANY ORGANIZATION NCQA ACCREDITS, CERTIFIES OR RECOGNIZES. NCQA ALSO MAINTAINS ROBUST POLICIES AND PROCEDURES TO EVALUATE AND REPORT ON ACTUAL, POTENTIAL OR APPARENT ORGANIZATIONAL CONFLICTS OF INTEREST (OCI) AND PERSONAL CONFLICTS OF INTEREST (COI) FOR PROSPECTIVE AND ONGOING GOVERNMENT CONTRACTS. NCQA DISCLOSES ANY ACTUAL, POTENTIAL OR APPARENT OCI/COI THAT WOULD IMPINGE ON NCQA'S ABILITY TO RENDER IMPARTIAL, TECHNICALLY SOUND OR OBJECTIVE ADVICE, OR THAT WOULD RESULT IN AN UNFAIR COMPETITIVE ADVANTAGE. NCQA'S OFFICE OF GENERAL COUNSEL EVALUATES AND APPROVES APPLICABLE OCI/COI DETERMINATIONS AND ANY MITIGATION PLANS, AS NECESSARY. FORM 990, PART VI, SECTION B, LINE 15 FOR THE PRESIDENT, THE EXECUTIVE & COMPENSATION COMMITTEE OF THE BOARD OF DIRECTORS DECIDES ON A NUMERICAL RATING FOR THE PRESIDENT'S PERFORMANCE MANAGEMENT PLAN, AND A NUMERICAL RATING FOR THE ORGANIZATION PERFORMANCE. REFLECTING ON THESE RATINGS, CONSIDERING COMPARABLE MARKET DATA COLLECTED BY AN EXTERNAL COMPENSATION CONSULTANT, THE EXECUTIVE & COMPENSATION COMMITTEE DETERMINES THE SALARY OF THE PRESIDENT, WHICH IS THEN DOCUMENTED IN THE PRESIDENT'S WRITTEN EMPLOYMENT CONTRACT AND THE MEMBERS OF THE EXECUTIVE AND COMPENSATION COMMITTEE.THE ORGANIZATION'S PRESIDENT UTILIZES THE SAME PROCESS TO DETERMINE THE SALARY FOR THE FIVE MOST HIGHLY COMPENSATED LEADERSHIP TEAM MEMBERS. THE PRESIDENT PRESENTS THIS INFORMATION TO THE EXECUTIVE & COMPENSATION COMMITTEE FOR DISCUSSION AND APPROVAL. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION POSTS ON ITS COMPANY'S WEBSITE THE CONFLICT OF INTEREST POLICIES. THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS AND AUDITED FINANCIAL STATEMENTS AVAILABLE UPON REQUEST. FORM 990, PART XI, LINE 9: CUMULATIVE EFFECT OF ADOPTION OF ASC 2014-09 PER FINANCIAL STATEMENT -5,561,912.