2019-05-15T15:11:29-05:00 2018-06-30 ERNST & YOUNG US LLP 950 MAIN AVENUE SUITE 1800 CLEVELAND OH 44113 990 2017-07-01 710557895 MERCY HOSPITAL WALDRON % GRETA WILCHER VP FINANCE MERC 3145796100 1341 West 6TH ST Waldron AR 72958 GRETA WILCHER VP FINANCE 3145796100 2019-05-15 true ERICA FERTELMES P01608257 2168615000 164.57.159.254 34033020191355000014 2019-05-15 P 34163F381DEDE5EE0CABDD6E8F3BD042227F3C04 CF5840316F0E3F046F827FB6FB4C849B877BD126 2017 2019-02-21 02:37:17Z GRETA WILCHER VP FINANCE 1341 WEST 6TH ST WALDRON AR 72958 9938507 false 0928 X www.mercy.net X 1983 AR AS THE SISTERS OF MERCY BEFORE US, WE BRING TO LIFE THE HEALING MINISTRY OF JESUS THROUGH OUR COMPASSIONATE CARE AND EXCEPTIONAL SERVICE. 13 12 0 0 0 0 50910 53700 9244612 9884627 3500 0 283 180 9299305 9938507 2624 150 0 0 5313573 5807392 0 0 0 6800695 6228914 12116892 12036456 -2817587 -2097949 3176222 2347890 423425 604541 2752797 1743349 X AS THE SISTERS OF MERCY BEFORE US, WE BRING TO LIFE THE HEALING MINISTRY OF JESUS THROUGH OUR COMPASSIONATE CARE AND EXCEPTIONAL SERVICE. false false 1021967 0 1739877 CRITICAL ACCESS HOSPITAL EMERGENCY SERVICE - ACCESS TO EMERGENCY CARE IN RURAL COMMUNITIES IS ESSENTIAL TO THE HEALTH OF THE COMMUNITY. THE HOSPITAL FURNISHES 24-HOUR EMERGENCY CARE SERVICES USING ON-SITE PHYSICIAN STAFF. THE COMMUNITY NEED IS REPRESENTED BY THE APPROXIMATELY 5,200 VISITS TO MERCY HOSPITAL WALDRON. 967591 0 747143 CRITICAL ACCESS HOSPITAL ACUTE CARE SERVICE - ACCESS TO SHORT STAY INPATIENT CARE IN RURAL COMMUNITIES IS ESSENTIAL TO THE HEALTH OF THE COMMUNITY. THE HOSPITAL FURNISHES SHORT-TERM INPATIENT ACUTE CARE THROUGH PHYSICIAN ADMISSIONS AND ADMISSIONS THROUGH THE EMERGENCY DEPARTMENT. THE COMMUNITY NEED IS REPRESENTED BY THE APPROXIMATELY 225 ADMISSIONS TO MERCY HOSPITAL WALDRON. 518474 0 1902370 CRITICAL ACCESS HOSPITAL LABORATORY SERVICES - ACCESS TO LABORATORY SERVICES IN RURAL COMMUNITIES IS ESSENTIAL TO THE HEALTH OF THE COMMUNITY. THE HOSPITAL OFFERS A FULL RANGE OF LAB TESTING SERVICES WITH QUICK TURNAROUND TIMES FOR PATIENTS. THE COMMUNITY NEED IS REPRESENTED BY THE APPROXIMATELY 55,200 LAB PROCEDURES PERFORMED AT MERCY HOSPITAL WALDRON. 6439432 150 5495237 8947464 true true false true false false false false false false true false false false true false false true false false false false false false false false true true false false true false false false false false false false false false false false false false true true true false false true X 0 0 0 false false false false false false false false false false X 13 12 false false false false true true true true true false false true true true true true true false false false X GRETA WILCHER VP FINANCE 4793146104 7301 ROGERS AVENUE FORT SMITH AR 72903 X Fairbanks Betty Board member 1.0 3.0 X 0 0 0 Berry Marcus Board member 1.0 3.0 X 0 0 0 Goss Carolyn Board member 1.0 3.0 X 0 0 0 Hardcastle Mary Board member 1.0 3.0 X 0 0 0 Hendricks RSM Sr Rebecca Ann Board member 1.0 13.0 X 0 0 0 Keith RSM Sr Judith Marie Board member 1.0 3.0 X 0 0 0 Leding Rickey Board member 1.0 3.0 X 0 0 0 Parker Clark Board member 1.0 3.0 X 0 0 0 Pruett Robert Board member 1.0 3.0 X 0 0 0 Pugh Carolyn Board member 1.0 4.0 X 0 0 0 Rose Cheri Board member 1.0 3.0 X 0 0 0 Swift Kathy Board member 1.0 3.0 X 0 0 0 Gehrig Ryan CEO & BOARD MEMBER 5.0 55.0 X X 0 656507 83108 Reynolds Scott CFO - Central Communities 1.0 59.0 X 0 532268 106770 Burke James Regional VP - Legal 1.0 59.0 X 0 355737 21532 Marion Tanya Regional VP - Human Resources 1.0 59.0 X 0 329347 59431 Swope Jon President - Central Comm. 1.0 59.0 X 0 1207500 171207 Wilcher Greta VP - Finance 5.0 55.0 X 0 261418 36640 Bennett Sherilyn J Advanced Practice Nurse 60.0 0.0 X 134107 0 23377 English Amanda A Advanced Practice Nurse 60.0 0.0 X 125900 0 4450 Oxford Carmen D Advanced Practice Nurse 60.0 0.0 X 136400 0 18608 Vitiello Jonathan Sr VP fin. opp & former off. 0.0 60.0 X 0 857053 108853 396407 4199830 633976 3 true true false EMERGENCY STAFFING SOLUTIONS 17304 PRESTON RD STE 1400 DALLAS TX 75252 PHYSICIAN STAFFING 858623 COMPHEALTH PO BOX 972651 DALLAS TX 75397 PHYSICIAN STAFFING 250044 2 53700 53700 NET PATIENT SERVICE REVENUE 621110 9814906 9814906 OTHER OPERATING REVENUE 900099 69721 69721 9884627 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 CAFE & VENDING 722514 180 180 180 9938507 9884627 180 150 150 0 0 0 0 0 4922402 4922402 153968 153968 504190 502383 1807 226832 226832 0 0 0 2276 2276 0 0 244711 234976 9735 3783 3429 354 104419 103853 566 7809 1375 6434 0 78382 78382 40909 40909 0 0 0 0 223519 223519 49062 39349 9713 CORPORATE ALLOCATION 2757204 457665 2299539 BAD DEBT 1145887 1145887 SHARED SERVICE FEES 863951 117493 746458 DRUGS & MEDICAL SUPPLIES 568671 568321 350 138331 126571 11760 12036456 8947464 3088992 0 1290 1290 0 0 0 0 1067617 918661 0 0 0 0 0 0 0 0 22728 22323 7619888 6214272 1500457 1405616 0 0 0 0 0 0 0 0 584130 0 3176222 2347890 111962 208560 11138 7000 0 0 0 0 0 0 0 0 0 0 0 0 300325 388981 423425 604541 X 2752797 1743349 0 0 0 0 2752797 1743349 3176222 2347890 X -2097949 1088501 X X false true X true true true X false false false false false false false false true 2276 2276 false FORM 990, SCHEDULE C, PART II-B, LINE 1I LOBBYING PORTION OF DUES THE FILING ORGANIZATION IS A MEMBER OF AND PAYS DUES TO THE FOLLOWING HOSPITAL ASSOCIATIONS: ARKANSAS HOSPITAL ASSOCIATION, AMERICAN HOSPITAL ASSOCIATION AND CATHOLIC HEALTH ASSOCIATION. FOR THE YEAR ENDED JUNE 30, 2018, DUES WERE $6,330, $4,029 AND $533, RESPECTIVELY. APPROXIMATELY 21.00% OF ARKANSAS HOSPITAL ASSOCIATION DUES, 22.98% OF AMERICAN HOSPITAL ASSOCIATION DUES AND 3.93% OF CATHOLIC HEALTH ASSOCIATION DUES WERE ATTRIBUTABLE TO LOBBYING ACTIVITIES PERFORMED BY THESE ASSOCIATIONS. 261782 261782 4018235 3091314 926921 342253 330926 11327 2868940 2690693 178247 128678 101339 27339 1405616 0 DUE TO AFFILIATES 388981 388981 FORM 990, SCHEDULE D, PART X, LINE 2 ASC 740 FOOTNOTES PRIMARILY ALL OF THE HEALTH SYSTEM ENTITIES ARE RECOGNIZED BY THE INTERNAL REVENUE SERVICE (IRS) AS EXEMPT FROM FEDERAL INCOME TAX UNDER SECTION 501(A) OF THE INTERNAL REVENUE CODE AS CHARITABLE ORGANIZATIONS QUALIFYING UNDER INTERNAL REVENUE CODE SECTION 501(C)(3), BY VIRTUE OF IRS DETERMINATION LETTERS OR INCLUSION IN THE OFFICIAL CATHOLIC DIRECTORY. THE HEALTH SYSTEM COMPLETED AN ANALYSIS OF ITS TAX POSITIONS IN ACCORDANCE WITH APPLICABLE ACCOUNTING GUIDANCE AND DETERMINED THAT NO AMOUNTS WERE REQUIRED TO BE RECOGNIZED ON THE CONSOLIDATED FINANCIAL STATEMENTS AT JUNE 30, 2018 OR 2017. true true X true X true X true true true false true true 181969 0 181969 0.01670 1827543 1079252 748291 0.06870 2009512 1079252 930260 0.08540 2009512 1079252 930260 0.08540 true 531119 2640788 2677504 -36716 X true true 1 1 MERCY HOSPITAL WALDRON 1341 WEST 6TH ST WALDRON AR 72958 WWW.MERCY.NET AR4940 X X X X MERCY HOSPITAL WALDRON 1 false false true X X X X X X X X X 15 true true true true X www.mercy.net/about/community-benefits/ X SEE PART V, SECTION C X true 15 true www.mercy.net/about/community-benefits/ false true X 100 400. X true true X X X true X SEE PART V, SECTION C X SEE PART V, SECTION C X SEE PART V, SECTION C X X X X X X true X false X X X X true X false false FORM 990, SCHEDULE H, PART V, SECTION B, LINE 3e The hospital facility did include a prioritized list of the communitys significant health needs in its most recent CHNA report. FORM 990, SCHEDULE H, PART V, SECTION B, LINE 5 IN 2015 A VARIETY OF ORGANIZATIONS (HEALTH DEPARTMENTS, HEALTH SYSTEMS, HOSPITALS AND OUTPATIENT BEHAVIORAL HEALTH SYSTEMS INCLUDING BURRELL BEHAVIORAL HEALTH, CITIZENS MEMORIAL HEALTHCARE, COX HEALTH, FREEMAN HEALTH SYSTEM, JASPER COUNTY HEALTH DEPARTMENT, JOPLIN HEALTH DEPARTMENT, MERCY, POLK COUNTY HEALTH CENTER, SPRINGFIELD-GREEN COUNTY HEALTH DEPARTMENT AND TANEY COUNTY HEALTH DEPARTMENT) ACROSS THE OZARKS CAME TOGETHER TO BETTER UNDERSTAND THE HEALTH STATUS, BEHAVIORS AND NEEDS OF THE POPULATIONS SERVED. UNDER THE UMBRELLA OF THE LOCAL OZARKS HEALTH COMMISSION, THIS FIRST TIME COLLABORATION IS THE LARGEST IN THE REGION SPANNING FOUR STATES MISSOURI, OKLAHOMA, ARKANSAS AND KANSAS. THE WORKING GROUP SAW THE VALUE OF USING A SYSTEMATIC, DATA-DRIVEN ASSESSMENT TO INFORM DECISIONS AND GUIDE EFFORTS TO IMPROVE COMMUNITY HEALTH AND WELLNESS ON A REGIONAL LEVEL. THIS LARGER, CONCERTED APPROACH WILL LEVERAGE COMMON STRENGTHS AND STRATEGIES TO MOVE IN THE SAME DIRECTION ON SIGNIFICANT HEALTH CONCERNS. THE PRIORITIES FOR EACH COMMUNITY EMERGED AS A RESULT OF DATA AND FEEDBACK COLLECTION FROM A VARIETY OF SOURCES, INCLUDING: - A SURVEY OPEN TO MEMBERS OF THE PUBLIC AND PARTNER AGENCIES IN ALL COMMUNITIES; - SECONDARY DATA COLLECTED FROM COMMUNITYCOMMONS.ORG AND OTHER SOURCES; - FOCUS GROUPS TARGETING UNDERSERVED, CHRONICALLY ILL AND LOW-INCOME POPULATIONS IN EACH COMMUNITY; AND - EMERGENCY DEPARTMENT DATA FROM HOSPITAL PARTNERS. THESE SOURCES WERE COMBINED AND COMPARED TO DEVELOP COMMUNITY PRIORITIES WHICH WEIGHED MORBIDITY, MORTALITY AND A VARIETY OF OTHER FACTORS. FORM 990, SCHEDULE H, PART V, SECTION B, LINE 6A THE CHNA WAS CONDUCTED FOR MERCY HOSPITAL FORT SMITH, MERCY HOSPITAL WALDRON, MERCY HOSPITAL PARIS, MERCY HOSPITAL OZARK, AND MERCY HOSPITAL BOONEVILLE. OTHER HOSPITAL FACILITY PARTNERS INCLUDED: BURRELL BEHAVIORAL HEALTH, CITIZENS MEMORIAL HEALTHCARE, COXHEALTH, FREEMAN HEALTH SYSTEM. FORM 990, SCHEDULE H, PART V, SECTION B, LINE 6B THE CHNA WAS CONDUCTED IN CONJUNCTION WITH THE FOLLOWING NON-HOSPITAL FACILITIES: JASPER COUNTY HEALTH DEPARTMENT, JOPLIN HEALTH DEPARTMENT, POLK COUNTY HEALTH CENTER, SPRINGFIELD-GREENE COUNTY HEALTH DEPT., TANEY COUNTY HEALTH DEPT. FORM 990, SCHEDULE H, PART V, SECTION B, LINE 7B HTTP://WWW.OZARKSHEALTHCOMMISSION.ORG/FORT-SMITH FORM 990, SCHEDULE H, PART V, SECTION B, LINE 11 MERCY HOSPITAL WALDRON IS ADDRESSING THE SIGNIFICANT NEEDS IDENTIFIED IN ITS MOST RECENTLY CONDUCTED CHNA BY FOCUSING PROGRAMMING, SERVICES AND EDUCATION OR AWARENESS AROUND: (1) ACCESS TO CARE, (2) MENTAL HEALTH, AND (3) NUTRITION. THE COMMUNITY HEALTH IMPROVEMENT PLAN (CHIP) WILL DESCRIBE THE ACTIONS THAT THE HOSPITAL INTENDS TO TAKE TO ADDRESS THE HEALTH NEED, THE ANTICIPATED IMPACT OF THESE ACTIONS, AND THE PLAN TO EVALUATE SUCH IMPACT; IDENTIFY THE PROGRAMS AND RESOURCES THAT THE HOSPITAL PLANS TO COMMIT TO ADDRESS THE HEALTH NEED AND DESCRIBE ANY PLANNED COLLABORATION BETWEEN THE HOSPITAL AND OTHER AGENCIES IN ADDRESSING THE HEALTH NEED. THE FIRST IDENTIFIED NEED IS ACCESS TO CARE. WHILE HAVING ACCESS TO CARE IS VITAL TO IMPROVING TREATMENT AND HEALTH FOR PEOPLE, ACCESSING APPROPRIATE CARE IS EQUALLY IMPORTANT. THIS INCLUDES ENSURING INDIVIDUALS HAVE A PLAN TO COVER THE COST OF CARE AND MAKING SURE THAT THERE IS APPROPRIATE PROVIDER COVERAGE IN COMMUNITIES. ANOTHER IMPORTANT COMPONENT IS CHANGING THE CULTURE TO ACCESS CARE APPROPRIATELY. EFFORTS TO ADDRESS EACH HEALTH ISSUE SHOULD FOCUS ON IMPROVING THE SYSTEMS AROUND THE INDIVIDUAL TO IMPROVE HEALTH AND ACCESS TO APPROPRIATE CARE AND WORK TO MODIFY THE WAY THAT INDIVIDUALS CONSUME HEALTH SERVICES TO ENSURE CARE IS EFFECTIVE AND EFFICIENT. THE SECOND IDENTIFIED NEED IS MENTAL HEALTH AWARENESS AND EMOTIONAL WELLBEING. MENTAL HEALTH IS A COMMON THREAD IN MANY CHRONIC HEALTH CONDITIONS. DEPRESSION HAS BEEN LINKED TO HIGHER RATES OF CARDIOVASCULAR DISEASE AND DIABETES. ADDITIONALLY, PERSONS WITH DEPRESSION TEND TO ENGAGE IN MORE RISK BEHAVIORS FOR THESE DISEASES SUCH AS SMOKING, POOR DIET OR LACK OF EXERCISE THAN PERSONS WITHOUT DEPRESSION. DUE TO THE SHORTAGE OF BEHAVIORAL HEALTH PROVIDERS, BEHAVIORAL HEALTH ACCESS MUST BE ADDRESSED ON A REGIONAL LEVEL. KEY LEADERS STRESSED THE IMPORTANCE OF ADDITIONAL SUPPORTS FOR CHILDREN AND FAMILIES AS A KEY COMPONENT IN REDUCING THE FUTURE NEED FOR MENTAL HEALTH SERVICES. MERCY WILL IMPLEMENT A REGIONAL STRATEGY BUILDING ON SERVICES OF ITS HOSPITALS AND CLINICS IN THE MERCY CENTRAL COMMUNITY (FORT SMITH, BOONEVILLE, OZARK, PARIS AND WALDRON). MERCY WALDRON WILL IMPLEMENT STRATEGIES TO PROMOTE IMPROVED MENTAL HEALTH AND EMOTIONAL WELLBEING; IDENTIFY GAPS AND PROMOTE/DEVELOP STRATEGIES TO EVIDENCED BASED STRATEGIES TO CLOSE THE GAP; PROMOTE EARLY IDENTIFICATION OF MENTAL HEALTH NEEDS AND ACCESS TO QUALITY SERVICES; ADVOCATE FOR LEGISLATION TO IMPROVE MENTAL HEALTH SERVICE DELIVERY THROUGH OUR STATE REPRESENTATIVES AND LEGISLATURES; WORK TO INCREASE THE NUMBER OF COMMUNITY MEMBERS ABLE TO ACCESS APPROPRIATE QUALITY SUBSTANCE USE TREATMENT PARTICULARLY PREGNANT WOMEN AND THEIR BABIES. THE THIRD IDENTIFIED NEED IS PHYSICAL ACTIVITY AND NUTRITION. REGULAR PHYSICAL ACTIVITY IMPROVES OVERALL HEALTH AND WELL-BEING AND REDUCES THE RISK OF CHRONIC DISEASES AND OBESITY. MORE THAN 80% OF ADULTS AND ADOLESCENTS DO NOT MEET THE GUIDELINES FOR PHYSICAL ACTIVITY. PEOPLE WHO ARE PHYSICALLY ACTIVE TEND TO LIVE LONGER AND HAVE LOWER RISK FOR CARDIOVASCULAR DISEASE, DIABETES, DEPRESSION AND CANCER. PHYSICAL ACTIVITY CAN ALSO HELP WITH WEIGHT CONTROL, AND INACTIVE ADULTS HAVE A HIGHER RISK FOR PREMATURE DEATH. POOR DIETS ARE NOT ONLY A RISK FACTOR FOR OBESITY, BUT FOR OTHER CHRONIC DISEASES AS WELL. FEWER THAN 1 IN 3 ADULTS AND AN EVEN LOWER PROPORTION OF ADOLESCENTS EAT THE RECOMMENDED AMOUNT OF FRUITS AND VEGETABLES EACH DAY. MERCY IS WORKING WITH NUTRITIONIST TO HELP BRING CLASSES TO THE WALDRON AREA ON NUTRITION AND DIABETES EDUCATION THROUGH TECHNOLOGY. MERCY WILL WORK TO PROMOTE A HEALTHY LIFESTYLE AND IMPROVE ACCESS AND EDUCATION TO NUTRITIOUS FOODS AND PHYSICAL ACTIVITY TO INCREASE THE PERCENTAGE OF PEOPLE LIVING AT A HEALTHY WEIGHT BY EXPLORING FOOD SYSTEMS IN THE WALDRON COMMUNITY AND IDENTIFY PARTNERSHIP OPPORTUNITIES THAT INCREASE HEALTHY FOOD CHOICES AND ACCESS TO HEALTHY FOODS, ENGAGE AND EDUCATE MERCY WALDRON COMMUNITY EMPLOYEES TO HELP ADDRESS FOOD INSECURITIES AND OBESITY RATES IN THE COMMUNITIES THEY SERVE; SUPPORT AND COLLABORATE WITH LOCAL COMMUNITY GARDENS AND FOOD PANTRIES TO OFFER HEALTHY FOOD CHOICES IN TARGETED FOOD INSECURITY AREAS; PROVIDE COOKING CLASSES WITH FOOD PREPARED FROM THE COMMUNITY GARDENS AND FOOD PANTRIES AND CONTINUE TO SUPPORT LOCAL HEALTHIFICATION ACTIVITIES IN THE COMMUNITIES SERVED; AND PARTNER WITH THE FITNESS CENTER TO PROVIDE EXERCISES CLASSES OUT IN THE COMMUNITY. FOR ALL THESE IDENTIFIED NEEDS AND PRIORITIES, MERCY CONTINUES TO WORK CLOSELY WITH ITS LOCAL PUBLIC SCHOOL SYSTEMS, NONPROFIT ORGANIZATIONS, THE CHAMBER OF COMMERCE, AND PUBLIC OFFICIALS TO ENSURE WE ARE COLLABORATIVELY ADDRESSING THE NEEDS OF OUR COMMUNITY IN A MEASURABLE WAY. FORM 990, SCHEDULE H, PART V, SECTION B, LINES 16A, 16B, & 16C THE FINANCIAL ASSISTANCE POLICY, APPLICATION AND A PLAIN LANGUAGE SUMMARY OF THE FINANCIAL ASSISTANCE POLICY ARE AVAILABLE ONLINE AT HTTPS://WWW.MERCY.NET/OPEN-PAGES/PAY-MY-BILL/ 2 MERCY MANSFIELD 103 HUNTINGTON AVENUE MANSFIELD AR 72944 PRIMARY CARE SMALL MERCY WALDRON CLINIC 1341 W 6TH STREET WALDRON AR 72958 PRIMARY CARE SMALL FORM 990, SCHEDULE H, PART I, LINE 6A THE ORGANIZATIONS COMMUNITY BENEFIT REPORT IS PREPARED BY ITS ULTIMATE PARENT ENTITY, MERCY HEALTH (EIN: 43-1423050). FORM 990, SCHEDULE H, PART I, LINE 7, COLUMN F TOTAL EXPENSES FROM FORM 990, PART IX, LINE 25 COLUMN (A) ARE $12,036,456. INCLUDED IN THIS AMOUNT WAS BAD DEBT EXPENSE (CHARGES) OF $1,145,887. EXPENSES FOR THE PURPOSE OF CALCULATING LINE 7, COLUMN (F) ARE $10,890,569. FORM 990, SCHEDULE H, PART II N/A FORM 990, SCHEDULE H, PART III, SECTION A, LINE 2 TO DETERMINE THE AMOUNT OF BAD DEBT EXPENSE, AT COST, BAD DEBT EXPENSE ATTRIBUTABLE TO PATIENT ACCOUNTS WAS MULTIPLIED BY A RATIO OF COST TO CHARGES. THE RATIO OF COST TO CHARGES USED WAS BASED ON DETAILED COST ACCOUNT, WHERE AVAILABLE. WHERE COST ACCOUNTING IS NOT AVAILABLE, COST REPORT COST TO CHARGE RATIOS WERE UTILIZED. FORM 990, SCHEDULE H, PART III, SECTION A, LINE 3 The filing organization determined that the estimated amount of bad debt expense (at cost) attributable to patients eligible under the organization's charity care policy is $0. Although the charity care policy requires the participation of the patient requesting assistance, we have a process under presumptive charity to address accounts for patients who do not provide the information. We believe that our charity policy is comprehensive enough to capture almost all patients who qualify for charity care. FORM 990, SCHEDULE H, PART III, SECTION A, LINE 4 THE TEXT OF THE FOOTNOTE THAT IS INCLUDED IN MERCY HEALTH AND SUBSIDIARIES AUDITED FINANCIAL STATEMENTS THAT DESCRIBES BAD DEBT EXPENSE IS AS FOLLOWS: "PATIENT ACCOUNTS RECEIVABLE THAT ARE DEEMED UNCOLLECTIBLE, INCLUDING THOSE PLACED WITH COLLECTION AGENCIES, ARE INITIALLY CHARGED AGAINST THE ALLOWANCE FOR UNCOLLECTIBLE ACCOUNTS IN ACCORDANCE WITH COLLECTION POLICIES OF THE HEALTH SYSTEM AND, IN CERTAIN CASES, ARE RECLASSIFIED TO CHARITY CARE IF DEEMED TO OTHERWISE MEET THE HEALTH SYSTEMS CHARITY CARE POLICY. THE PROVISION FOR UNCOLLECTIBLE RECEIVABLES IS BASED UPON MANAGEMENTS ASSESSMENT OF HISTORICAL AND EXPECTED NET COLLECTIONS CONSIDERING BUSINESS AND ECONOMIC CONDITIONS, TRENDS IN HEALTH CARE COVERAGE, AND OTHER COLLECTION INDICATORS. PERIODICALLY THROUGHOUT THE YEAR, MANAGEMENT ASSESSES THE ADEQUACY OF THE ALLOWANCE FOR UNCOLLECTIBLE RECEIVABLES BASED UPON THE PAYOR COMPOSITION AND AGING OF RECEIVABLES WITH CONSIDERATION OF THE HISTORICAL PAYMENT AND WRITE-OFF EXPERIENCE BY PAYOR CATEGORY. THE RESULTS OF THESE REVIEWS ARE THEN USED TO MAKE ANY MODIFICATIONS TO THE PROVISION FOR UNCOLLECTIBLE RECEIVABLES TO ESTABLISH AN APPROPRIATE ALLOWANCE FOR UNCOLLECTIBLE RECEIVABLES. AFTER SATISFACTION OF AMOUNTS DUE FROM INSURANCE, THE HEALTH SYSTEM FOLLOWS ESTABLISHED GUIDELINES FOR PLACING PAST-DUE PATIENT BALANCES WITH COLLECTION AGENCIES." FORM 990, SCHEDULE H, PART III, SECTION B, LINE 8 IT IS THE POSITION OF MERCY THAT 100% OF ANY SHORTFALL SHOULD BE TREATED AS COMMUNITY BENEFIT. THIS AMOUNT REPRESENTS COST OF PROVIDING SERVICES THAT REMAIN UNCOMPENSATED TO THE PROVIDER. THE UNREIMBURSED COSTS OF MEDICARE IS CALCULATED BY THE GROSS CHARGES NET OF THE COST TO CHARGE RATIO LESS ANY PAYMENTS, DEDUCTIONS OR REIMBURSEMENTS USING THE ANNUAL MEDICARE COST REPORT (CMS FORM 2552-96). FORM 990, SCHEDULE H, PART III, SECTION C, LINE 9B MERCYS COLLECTION POLICY PROVIDES THAT MERCY WILL PERFORM A REASONABLE COMMUNICATION AND/OR REVIEW OF PATIENT ACCOUNTS AS IT RELATES TO ANY SERVICE PROVIDED AT OUR FACILITIES BEFORE TURNING THE ACCOUNT TO BAD DEBT OR TAKING LEGAL ACTION FOR NONPAYMENT. MERCY ACTIVELY SCRUBS ACCOUNTS FOR PAYOR PLAN COVERAGE, INCLUDING MEDICAID. IN THE EVENT AN ACCOUNT IS TURNED TO COLLECTIONS AND IS IDENTIFIED IN NEED OF FINANCIAL ASSISTANCE DUE TO CIRCUMSTANCE CHANGES, OR IS NOW REQUESTING ASSISTANCE, THE ACCOUNTS ARE RETURNED BY THE AGENCY AND CONSIDERED FOR CHARITY IF THE PATIENT PROVIDES THE REQUESTED INFORMATION. IF THE PATIENT FAILS TO RETURN THE INFORMATION, THE ACCOUNT WILL QUALIFY FOR COLLECTIONS. MERCY UTILIZES THE EXPERIAN TOOL TO ENHANCE THE ABILITY TO DETERMINE THE CHARITY QUALIFICATION PRIOR TO TURNING TO BAD DEBT, A PROCESS KNOWN AS PRESUMPTIVE CHARITY. MERCY WILL GRANT CHARITY IN SITUATIONS WHERE THERE HAS BEEN AN INABILITY TO OBTAIN INFORMATION FROM PATIENTS OR THE INFORMATION PROVIDED IS NOT COMPLETE ENOUGH TO MAKE A CHARITY DETERMINATION WHEN A PATIENT HAS SUBMITTED AN APPLICATION. IN ADDITION, MERCY UTILIZES THE SAME TOOL TO QUALIFY ACCOUNTS PER THE PRACTICE OF PRESUMPTIVE CHARITY PRIOR TO BAD DEBT PLACEMENT FOR BALANCES IN EXCESS OF $6,500. ALL ACCOUNT BALANCES RELATING TO ACCOUNTS IDENTIFIED BY THE HIGHER BALANCES WILL BE CONSIDERED AND FLAGGED FOR CHARITY IF THERE IS AN INABILITY TO PAY AFTER A RETURN FROM THE COLLECTION AGENCY AT APPROXIMATELY 120 DAYS. MERCY WILL PURSUE APPROPRIATE MEANS IN THE COLLECTION OF DELINQUENT ACCOUNTS FROM PATIENTS WITH AN ESTABLISHED ABILITY TO PAY OR AN UNWILLINGNESS TO COOPERATE IN VALIDATING ELIGIBILITY FOR FINANCIAL ASSISTANCE. THESE APPROPRIATE MEANS MAY INCLUDE LEGAL ACTION CONSISTENT WITH MERCY MISSION AND VALUES AFTER A SENDING 3 MONTHLY STATEMENTS WITH THE FINAL INCLUDING NOTIFICATION; IF NO RESOLUTION THEY WILL BE TURNED TO COLLECTIONS. ADDITIONALLY, THEY MAY INCLUDE LIENS UPON REAL PROPERTY AND REASONABLE WAGE GARNISHMENTS. LEGAL ACTIONS WILL GENERALLY NOT INCLUDE BANK GARNISHMENTS, REPOSSESSION OF ASSETS OR FORECLOSURES TO ENSURE SATISFACTION OF A LIEN. MERCY HAS POLICIES AND PROCEDURES ESTABLISHED TO ADDRESS THE INITIATION OF LEGAL ACTION AND ANNUALLY REVIEW COMPLIANCE WITH POLICIES BUT ENSURE 120 DAYS OF BILLING AND COLLECTIONS OCCURS PRIOR TO ANY EXTRAORDINARY COLLECTIONS ARE PURSUED. FORM 990, SCHEDULE H, PART VI, LINE 2 MERCY HEALTH BELIEVES THAT ITS COMMUNITY HEALTH NEEDS ASSESSMENT PROCESS IS COMPREHENSIVE ENOUGH TO CAPTURE SUBSTANTIALLY ALL OF THE COMMUNITYS NEEDS. THEREFORE NO FURTHER STEPS WERE TAKEN TO IDENTIFY ADDITIONAL NEEDS. FORM 990, SCHEDULE H, PART VI, LINE 3 MERCY INFORMS AND EDUCATES PATIENTS AND PERSONS WHO MAY BE BILLED FOR PATIENT CARE ABOUT THEIR ELIGIBILITY FOR ASSISTANCE UNDER FEDERAL, STATE, OR LOCAL GOVERNMENT PROGRAMS OR UNDER THE ORGANIZATIONS FINANCIAL ASSISTANCE POLICY THROUGH SEVERAL MEANS. IF AT ANY TIME A PATIENT EXPRESSES HARDSHIP AND INABILITY TO PAY, THE ACCOUNT IS PLACED FOR REVIEW. IN ADDITION, THE PATIENTS HAVE SIGNAGE ABOUT THE POLICY AT THE ACCESS POINTS, AND ALL STAFF WORKING WITH THE PATIENT AT POINT OF SERVICE, SCHEDULING, CUSTOMER SERVICE, AND EVEN THROUGH THE MEDICAID ELIGIBILITY SCREENING, HAVE THE MEANS TO SEND THE ACCOUNT FOR REVIEW. THERE IS THE PLAIN LANGUAGE SUMMARY THAT IS BEING PROVIDED TO ALL WHOM EXPRESS HARDSHIP, IN ADDITION TO THE WEB ADDRESS PROVIDING THE APPLICATION, POLICIES, AND EVEN HOW UNINSURED ACCOUNTS ARE HANDLED. LASTLY, THE STATEMENTS MESSAGE TO THE PATIENT THAT MERCY DOES HAVE A FINANCIAL ASSISTANCE PROGRAM AND TO CALL TO SEE IF THEY ARE ELIGIBLE. MERCY STAFFS INTERNAL RESOURCES CERTIFIED TO ASSIST PATIENTS WITH MEDICAID APPLICATIONS AS WELL. FORM 990, SCHEDULE H, PART VI, LINE 4 MERCY HOSPITAL WALDRON'S PRIMARY SERVICE AREA IS SCOTT COUNTY, ARKANSAS. THE FOLLOWING INFORMATION IS DERIVED FROM 2018 IBM/WATSONS DEMOGRAPHICS AND FY2018 DECISION RESOURCE GROUPS INSURANCE COVERAGE ESTIMATES. THE AREAS POPULATION IS 8,477. 16% OF THE POPULATIONS AVERAGE HOUSEHOLD INCOME IS OVER $75,000. 47% OF THE POPULATION IS 45 AND OLDER. 21% OF THE HOUSEHOLDS ARE ON MEDICARE, 25% ON MEDICAID, AND 12% UNINSURED. FORM 990, SCHEDULE H, PART VI, LINE 5 PROMOTION OF COMMUNITY HEALTH MERCY PROVIDES QUALITY MEDICAL HEALTH CARE REGARDLESS OF RACE, CREED, SEX, NATIONAL ORIGIN, HANDICAP, AGE OR ABILITY TO PAY. MERCY IS A CATHOLIC HEALTH CARE CORPORATION THAT, PURSUANT TO THE ORGANIZATIONAL CORE BELIEF THAT HEALTH CARE SERVICES ARE A VITAL AND INTEGRAL PART OF THE CHURCH'S HEALING MISSION, ENGAGES IN A MINISTRY WHICH PROVIDES GENERAL ACUTE CARE, AMBULATORY, LONG-TERM AND HOME CARE HEALTH SERVICES TO INDIVIDUALS AND FAMILIES IN ITS SERVICE COMMUNITIES. MERCY OFFERS SERVICES AND PROGRAMS WHICH FURTHER HEALTH PROMOTION, MAINTENANCE AND CARE TO THE COMMUNITY. PROGRAMS PROVIDED TO MEET THE COMMUNITY NEEDS INCLUDE SUPPORT GROUPS FOR VARIOUS SITUATIONS, OUTREACH PROGRAMS, BLOOD DRIVES, ETC. MERCY IS GOVERNED BY A BOARD OF DIRECTORS WHICH INCLUDES REPRESENTATION FROM COMMUNITY LEADERS IN THE ORGANIZATION'S PRIMARY SERVICE AREAS. ALL BOARD MEMBERS ARE REQUIRED TO COMPLETE AN ANNUAL CONFLICT OF INTEREST SURVEY. ANY POTENTIAL CONFLICTS OF INTEREST DISCLOSED BY BOARD MEMBERS ARE REVIEWED AND RESOLVED. THIS PROCESS ENSURES THAT PUBLIC, RATHER THAN PRIVATE, INTERESTS ARE SERVED BY MERCY. SURPLUS FUNDS AND UNRESTRICTED ASSETS HELD BY MERCY ARE REINVESTED IN PATIENT CARE, MEDICAL EDUCATION AND RESEARCH INITIATIVES WHICH SUPPORT THE ORGANIZATION'S MISSION TO DELIVER COMPASSIONATE CARE AND EXCEPTIONAL HEALTH CARE SERVICES TO THE COMMUNITIES IT SERVES. FORM 990, SCHEDULE H, PART VI, LINE 6 AFFILIATED HEALTH CARE SYSTEM AFFILIATED HEALTH CARE SYSTEM: THE FILING ORGANIZATION IS PART OF MERCY HEALTH ("MERCY"). MERCY IS A MISSOURI NON-PROFIT CORPORATION WITH ITS HEADQUARTERS ("MINISTRY OFFICE") IN ST. LOUIS, MISSOURI. MERCY PROVIDES HEALTH CARE SERVICES IN FOUR STATES - ARKANSAS, KANSAS, MISSOURI, AND OKLAHOMA - AND HAS OUTREACH MINISTRIES LOCATED IN LOUISIANA, MISSISSIPPI, AND TEXAS. MERCY'S MISSION IS "AS THE SISTERS OF MERCY BEFORE US, WE BRING TO LIFE THE HEALING MINISTRY OF JESUS THROUGH OUR COMPASSIONATE CARE AND EXCEPTIONAL SERVICE." AS OF JUNE 30, 2018, MERCY FACILITIES INCLUDED 30 ACUTE CARE HOSPITALS, 5 MANAGED HOSPITALS, 4 HEART HOSPITALS, 2 CHILDREN'S HOSPITALS, 2 ORTHOPEDIC HOSPITALS AND 3 REHAB HOSPITALS. FOR THE FISCAL YEAR ENDED JUNE 30, 2018, MERCY HAD MORE THAN 10.3 MILLION OUTPATIENT AND PHYSICIAN OFFICE VISITS, APPROXIMATELY 2,400 EMPLOYED PHYSICIANS, AND APPROXIMATELY 45,000 FULL-TIME EQUIVALENT EMPLOYEES, MAKING MERCY THE SIXTH LARGEST CATHOLIC HEALTH SYSTEM IN THE UNITED STATES. MERCY IS SPONSORED BY MERCY HEALTH MINISTRY, WHICH IS GOVERNED BY MEMBERS THAT INCLUDE SISTERS OF MERCY. MANY SERVICES THAT ARE ESSENTIAL TO FULFILLING MERCY'S MISSION ARE CENTRALIZED AT THE MINISTRY OFFICE. SUCH CENTRALIZED SERVICES INCLUDE: FINANCE (INCLUDING TREASURY, FINANCIAL ACCOUNTING AND REPORTING, REVENUE MANAGEMENT, INTERNAL AUDIT, ACCOUNTS PAYABLE AND PAYROLL OPERATIONS, ANALYTICS AND DECISION SUPPORT); ENVIRONMENTAL SERVICES SUPPORT; CLINICAL INTEGRATION; CARE MANAGEMENT; CLINICAL PERFORMANCE ACCELERATION; CLINICAL ENGINEERING; CLINICAL QUALITY MANAGEMENT; COMPLIANCE; GRANTS AND RESEARCH SERVICES; LEGAL AND COMPLIANCE COUNSEL; MARKETING AND COMMUNICATIONS; PLANNING, DESIGN AND CONSTRUCTION; PRODUCT DEVELOPMENT INFORMATICS; REAL ESTATE; SUPPLY CHAIN MANAGEMENT; MANAGED CARE STRATEGY SUPPORT; HUMAN RESOURCES (INCLUDING COMPENSATION, BENEFITS AND RECRUITING); MISSION SERVICES AND ETHICS; PHILANTHROPY SUPPORT; INFORMATION TECHNOLOGY; AND, COMMUNITY RELATIONS. THE CENTRALIZATION OF SUCH SUPPORT SERVICES ENABLES MERCY TO ENSURE THAT EACH OF ITS COMMUNITIES, WHETHER LARGE OR SMALL, HAS THE SERVICES IT NEEDS. FORM 990, SCHEDULE H, PART VI, LINE 7 STATE FILING OF COMMUNITY BENEFIT REPORT: N/A false true false false false false false false false Gehrig Ryan CEO & BOARD MEMBER 0 393026 0 245037 0 18444 0 67493 0 15615 0 739615 0 0 Reynolds Scott CFO - Central Communities 0 358736 0 114156 0 59376 0 94698 0 12072 0 639038 0 0 Burke James Regional VP - Legal 0 232090 0 82178 0 41469 0 9275 0 12257 0 377269 0 0 Marion Tanya Regional VP - Human Resources 0 220314 0 71776 0 37257 0 43163 0 16268 0 388778 0 0 Swope Jon President - Central Comm. 0 703153 0 408199 0 96148 0 154702 0 16505 0 1378707 0 0 Wilcher Greta VP - Finance 0 189085 0 47931 0 24402 0 25262 0 11378 0 298058 0 0 Bennett Sherilyn J Advanced Practice Nurse 119033 0 6607 0 8467 0 11913 0 11464 0 157484 0 0 0 Oxford Carmen D Advanced Practice Nurse 117451 0 6293 0 12656 0 9595 0 9013 0 155008 0 0 0 Vitiello Jonathan Sr VP fin. opp & former off. 0 511534 0 303796 0 41723 0 92348 0 16505 0 965906 0 0 FORM 990, SCHEDULE J, PART I, QUESTION 3 MERCY HOSPITAL WALDRON RELIES ON A RELATED ORGANIZATION; REFER TO SCHEDULE O, PART VI, QUESTIONS 15A AND 15B FOR THE PROCESS THE RELATED ORGANIZATION FOLLOWS. FORM 990, SCHEDULE J, PART I, QUESTION 4B MERCY HEALTH OFFERS SUPPLEMENTAL RETIREMENT PLANS TO CERTAIN EXECUTIVES WHICH PROVIDE BENEFITS UPON VESTING DATE BASED ON COMPENSATION, AGE AT THE TIME OF BENEFIT COMMENCEMENT, LENGTH OF SERVICE WITH THE COMPANY AND/OR ITS AFFILIATES AND LENGTH OF TENURE IN THE PLAN. THE PLANS ARE CLOSED TO NEW ENTRANTS. THE INDIVIDUALS REPORTABLE ON THIS RETURN WHO PARTICIPATE IN THE SUPPLEMENTAL RETIREMENT PLANS INCLUDE: RYAN GEHRIG, SCOTT REYNOLDS, JONATHAN VITIELLO, TANYA MARION, JON SWOPE, JAMES BURKE AND GRETA WILCHER. THE AMOUNT OF ALL ACCRUED BENEFITS IS INCLUDED IN COMPENSATION AMOUNTS PROVIDED IN SCHEDULE J, PART II, COLUMN (C). FORM 990, PART III, LINE 4D OTHER PROGRAM SERVICES THE CRITICAL ACCESS HOSPITAL IS ESSENTIAL TO THE HEALTH OF THE COMMUNITY. THE HOSPITAL OFFERS A WIDE VARIETY OF SERVICES, INCLUDING EMERGENCY SERVICES, ACUTE CARE, SHORT-TERM INPATIENT CARE, AS WELL AS MANY OTHERS THAT CONTRIBUTE TO GOOD HEALTH. THE COMMUNITY NEED IS REPRESENTED BY THE APPROXIMATELY 35,300 VISITS TO MERCY HOSPITAL WALDRON. FORM 990, PART V, QUESTION 1A FORM 1099/1096 FILING VENDORS FOR THE FILING ORGANIZATION ARE PAID BY MERCY HEALTH (EIN 43-1423050). AS SUCH, ALL REQUIRED FORM 1099 AND FORM 1096 REPORTING IS MADE FOR THE ENTIRE MERCY HEALTH SYSTEM (WITH LIMITED EXCEPTIONS) UNDER THE MERCY HEALTH EIN. FORM 990, PART V, QUESTION 2A W3 FILING MOST EMPLOYEES ARE PAID BY A RELATED ORGANIZATION UNDER A COMMON PAYMASTER ARRANGEMENT. AS SUCH, REQUIRED PAYROLL FILING (INCLUDING W-2 AND W-3'S) IS REPORTED UNDER THE RELATED ORGANIZATION, MHM SUPPORT SERVICES, EIN 20-2553101. FORM 990, PART VI, LINE 6A, LINE 7A, 7B CLASSES OF MEMBERS OR STOCKHOLDERS THE FILING ORGANIZATION HAS A SOLE CORPORATE MEMBER, MERCY HOSPITAL FORT SMITH. THE FOLLOWING CORPORATE POWERS AND RESPONSIBILITIES ARE RESERVED SOLELY FOR THE SOLE CORPORATE MEMBER: - ESTABLISH THE PHILOSOPHY ACCORDING TO WHICH THE CORPORATION OPERATES; - APPOINT THE BOARD OF TRUSTEES OF THE CORPORATION; - AMEND THE ARTICLES OF INCORPORATION AND BYLAWS OF THE CORPORATION; - APPROVE THE OPERATING, CAPITAL, AND CONSTRUCTION BUDGETS FOR THE CORPORATION; AND, - APPROVE THE STRATEGIC PLAN, GOALS, AND OBJECTIVES OF THE CORPORATION. ONLY MERCY HEALTH SHALL HAVE THE RIGHT AND DUTY TO: - LEASE, SELL, OR ENCUMBER CORPORATE REAL ESTATE IN EXCESS OF ONE MILLION DOLLARS ($1,000,000), AND, IN ADDITION, TO AUTHORIZE AND APPROVE THE INCURRENCE OF DEBT BY THE CORPORATION, AND, IN CONNECTION THEREWITH, GRANT ALL SECURITY INTERESTS, PLACE ALL ENCUMBRANCES, ENTER INTO ANY COVENANTS, AND EXECUTE ALL DOCUMENTS AND TAKE ALL ACTIONS NECESSARY IN CONNECTION WITH THE INCURRENCE OF SUCH DEBT; AND, - MERGE, DISSOLVE, OR ABANDON THE CORPORATION. FORM 990, PART VI, QUESTION 11B DSCR THE PROCESS USED BY MANAGEMENT &/OR GOVERNING BODY TO REVIEW 990 THE FORM 990 IS PREPARED BY AN INDEPENDENT ACCOUNTING FIRM, USING INFORMATION PROVIDED BY THE FILING ORGANIZATION. A DRAFT FORM 990 IS REVIEWED BY THE FILING ORGANIZATION'S FINANCE TEAM, INCLUDING THE DIRECTOR OF ACCOUNTING AND THE VICE-PRESIDENT OF FINANCE. THE DRAFT FORM 990 IS ALSO REVIEWED BY MERCY HEALTH'S TAX DEPARTMENT, TO ENSURE ACCURACY AND CONSISTENCY WITH OTHER RELATED ORGANIZATIONS' FORMS 990. AFTER QUESTIONS ARISING FROM THE VARIOUS REVIEWS ARE ADDRESSED AND INCORPORATED INTO THE FORM 990, A REVISED DRAFT IS PROVIDED TO THE FILING ORGANIZATION'S LEADERSHIP TEAM, INCLUDING THE CFO AND CEO, FOR REVIEW. ONCE REVIEWED AND APPROVED BY THE FILING ORGANIZATION'S LEADERSHIP TEAM, THE FORM 990 IS PROVIDED TO THE BOARD OF DIRECTORS FOR REVIEW; IT IS THEN SIGNED AND FILED WITH THE IRS. FORM 990, PART VI, QUESTION 12C DESCRIPTION OF PROCESS TO MONITOR TRANSACTIONS FOR CONFLICTS OF INTEREST OFFICERS, DIRECTORS, KEY EMPLOYEES AND OTHER DISQUALIFIED PERSONS ARE REQUIRED TO COMPLETE A CONFLICT OF INTEREST QUESTIONNAIRE ANNUALLY AND DID SO IN THE NORMAL COURSE FOR THE YEAR ENDED JUNE 30, 2018. THIS PROCESS IS ADMINISTERED AT THE MERCY HEALTH LEVEL BY MERCY'S BUSINESS RISK (INTERNAL AUDIT) DEPARTMENT. THE QUESTIONNAIRES ARE REVIEWED WITH LEADERSHIP AT THE LOCAL LEVEL AND POTENTIAL CONFLICTS DISCUSSED AND RESOLVED. THE CONFLICTS AND THEIR RESPECTIVE RESOLUTIONS ARE SHARED AT THE MERCY LEVEL WITH A TEAM INCLUDING MERCY'S CHIEF FINANCIAL OFFICER, CHIEF COMPLIANCE OFFICER AND OTHER MEMBERS OF FINANCE, LEGAL AND HR. SUMMARY RESULTS ARE REVIEWED WITH MERCY'S STEWARDSHIP COMMITTEE OF THE BOARD OF DIRECTORS. FORM 990, PART VI, QUESTIONS 15A & 15B OFFICERS & POSITIONS FOR WHICH PROCESS WAS USED, & YEAR PROCESS WAS BEGUN FOR THOSE CLASSIFIED AS OFFICERS (AND THUS DISQUALIFIED PERSONS), THE ORGANIZATION RELIES UPON MERCY HEALTH, WHICH USES THE FOLLOWING TO ESTABLISH THE COMPENSATION: EXTERNAL MARKET SALARY SURVEYS, EXTERNAL MARKET SALARY STUDIES, ENGAGEMENT OF AN INDEPENDENT COMPENSATION CONSULTANT, AND REVIEW/APPROVAL OF COMPENSATION BY THE COMPENSATION COMMITTEE OF THE BOARD OF MERCY HEALTH. FOR THOSE CLASSIFIED AS KEY EMPLOYEES, MERCY HEALTH USES THE FOLLOWING TO ESTABLISH THE COMPENSATION: EXTERNAL MARKET SALARY SURVEYS, EXTERNAL MARKET SALARY STUDIES, AND REVIEW/APPROVAL OF EXECUTIVE MANAGEMENT. COMPENSATION REVIEWS ARE COMPLETED ON AN ANNUAL BASIS AND A REVIEW WAS COMPLETED DURING THE REPORTING YEAR. FORM 990, PART VI, QUESTION 19 AVAIL OF GOV DOCS, CONFLICT OF INTEREST POLICY, & FIN STMT TO GEN PUBLIC GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS ARE MADE AVAILABLE UPON REQUEST BUT ARE NOT PUBLISHED PUBLICLY. FORM 990, PART XI, LINE 9 OTHER CHANGES IN NET ASSETS NET TRANSFERS TO/FROM AFFILIATES $1,088,501 FORM 990, PART XII, QUESTION 2C AUDIT OF FINANCIAL STATEMENTS THE FILING ORGANIZATION'S FINANCIAL STATEMENTS WERE INCLUDED IN MERCY HEALTH AND SUBSIDIARIES ANNUAL FINANCIAL STATEMENT AUDIT. MERCY HEALTH AND SUBSIDIARIES RECEIVED AN UNQUALIFIED OPINION FROM THE EXTERNAL AUDITORS FOR FISCAL 2018 (THE TAX YEAR CURRENTLY BEING REPORTED). HOWEVER, NO SEPARATE AUDIT OPINION WAS ISSUED ON THE FINANCIAL STATEMENTS OF THE FILING ORGANIZATION. THE ULTIMATE RESPONSIBILITY FOR OVERSIGHT OF THE FINANCIAL STATEMENT AUDIT AND SELECTION OF THE EXTERNAL AUDITOR LIES WITH THE STEWARDSHIP COMMITTEE OF THE MERCY HEALTH BOARD OF DIRECTORS. AUDIT RESULTS ARE COMMUNICATED TO THIS COMMITTEE. FORM 990, PART XII, QUESTIONS 3A AND 3B SINGLE AUDIT ACT AND OMB CIRCULAR A-133 MERCY HEALTH UNDERGOES A CONSOLIDATED A-133 AUDIT EVERY YEAR AND DID SO FOR THE FISCAL YEAR ENDING JUNE 30, 2018. EACH ENTITY THAT RECEIVES FEDERAL FUNDS DURING THE YEAR IS INCLUDED ON THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (SEFA) AND IS ALSO INCLUDED IN THE POPULATION AVAILABLE FOR AUDIT. THE FILING ENTITY RECEIVED FEDERAL FUNDS DURING THE YEAR ENDED JUNE 30, 2018, WAS INCLUDED ON THE MERCY HEALTH CONSOLIDATED SEFA, AND THEREFORE, WAS ALSO INCLUDED IN THE POPULATION AVAILABLE FOR AUDIT. Casa de Misericordia 1602 McClelland Street Laredo TX 78044 742912461 Shelter TX 501c3 7 MM LAREDO true McAuley Portfolio Management Company 14528 S Outer Forty Suite 100 Chesterfield MO 63017 261708048 PORT MGMT MO 501c3 12b Mercy Health true Mercy ACO Clinical Services Inc 14528 S Outer Forty Suite 100 Chesterfield MO 63017 464504901 Virtual Care MO 501c3 3 Mercy Health true Mercy Clinic East Communities 645 Maryville Center Drive Suite 1 St Louis MO 63141 431771217 PHYS GROUP MO 501c3 10 MH EAST COMM true Mercy Clinic Fort Smith Communities 7301 Rogers Avenue Fort Smith AR 72903 261318597 PHYS CLINIC AR 501c3 3 MH FS COMM true Mercy Clinic Oklahoma Communities Inc 4300 W Memorial Road Oklahoma City OK 73120 270473057 PHYS GROUP OK 501c3 3 MH OK COMM true Mercy Clinic Springfield Communities 1965 Fremont Street Suite 2950 Springfield MO 65804 431560263 PHYS GROUP MO 501c3 3 MH SF COMM true Mercy Family Center 14528 S Outer Forty Suite 100 Chesterfield MO 63017 721069468 COUNSELING LA 501c3 7 Mercy Health true Mercy Health 14528 S Outer Forty Suite 100 Chesterfield MO 63017 431423050 CORP OFFICE MO 501c3 1 NA false Mercy Health East Communities 14528 S Outer Forty Suite 100 Chesterfield MO 63017 431718408 HLTH SYSTEM MO 501c3 12a Mercy Health true Mercy Health East Communities - Southern 14528 S Outer Forty Suite 100 Chesterfield MO 63017 461412322 DSLVD 5/18 MO 501c3 12a MH EAST COMM true Mercy Health Fort Smith Communities 7301 Rogers Avenue Fort Smith AR 72917 261318515 Holding Co AR 501c3 12b Mercy Health true Mercy Health Foundation 14528 S Outer Forty Suite 100 Chesterfield MO 63017 200901499 Foundation MO 501c3 12b Mercy Health true Mercy Health Foundation Ada 430 N Monte Vista Street Ada OK 74820 463596274 Foundation OK 501c3 12a MH ADA Inc true Mercy Health Foundation Ardmore 1011 14th Avenue NW Ardmore OK 73401 710962525 Foundation OK 501c3 12a MH ARDMORE true Mercy Health Foundation Berryville 214 Carter Street Berryville AR 72616 710759301 Foundation AR 501c3 12a MH Berryvill true Mercy Health Foundation Fort Scott 401 Woodland Hills Blvd Fort Scott KS 66701 481077073 Foundation KS 501c3 7 M KS COMM true Mercy Health Foundation Fort Smith 7301 Rogers Avenue Fort Smith AR 72917 237330425 Foundation AR 501c3 7 MH FT SMITH true Mercy Health Foundation Hot Springs 300 Werner Street Hot Springs AR 71913 710804718 DSLVD 6/18 AR 501c3 12a MC SRVCS true Mercy Health Foundation Jefferson 1400 US Highway 61 South Festus MO 63028 462797051 Foundation MO 501c3 12b MH E COMM SR true Mercy Health Foundation Joplin 100 Mercy Way Joplin MO 64804 270906136 Foundation MO 501c3 7 MH SWMK COMM true Mercy Health Foundation Lebanon 100 Hospital Drive Lebanon MO 65536 822514567 Foundation MO 501c3 12b MH Lebanon true Mercy Health Foundation Lincoln 1000 East Cherry Street Troy MO 63379 811477159 Foundation MO 501c3 12b MH EAST COMM true Mercy Health Foundation NW Arkansas 2710 Rife Medical Lane Rogers AR 72758 710601687 Foundation AR 501c3 7 MH Rogers true Mercy Health Foundation of Oklahoma 4300 W Memorial Road Oklahoma City OK 73120 454732301 Foundation OK 501c3 12a MH OK COMM true Mercy Health Foundation Oklahoma City 4300 W Memorial Road Oklahoma City OK 73120 463184231 Foundation OK 501c3 12a MH OK City true Mercy Health Foundation Springfield 1235 E Cherokee Street Springfield MO 65804 320195818 Foundation MO 501c3 12b MH SF COMM true Mercy Health Foundation St Francis 100 W Highway 60 Mountain View MO 65548 431873914 Foundation MO 501c3 12a M St Francis true Mercy Health Foundation St Louis 14528 S Outer Forty Suite 100 Chesterfield MO 63017 562410020 Foundation MO 501c3 12b MH EAST COMM true Mercy Health Foundation Washington 901 E Fifth Street Washington MO 63090 562410022 Foundation MO 501c3 12b MH EAST COMM true Mercy Health NW Arkansas Communities 2710 Rife Medical Lane Rogers AR 72758 621684203 PHYS GROUP AR 501c3 10 Mercy Health true Mercy Health Oklahoma Communities Inc 4300 W Memorial Road Oklahoma City OK 73120 731453048 HLTH SYSTEM OK 501c3 12a Mercy Health true Mercy Health Plans of Missouri Inc 3265 S National Avenue Springfield MO 65807 320481419 HMO MO 501c4 N/A Mercy Health true Mercy Health Plans Inc 3265 S National Avenue Springfield MO 65807 320486150 PPO MO 501c4 N/A MH PLANS MO true Mercy Health SW MOKS Communities 100 Mercy Way Joplin MO 64804 300584463 HLTH SYSTEM MO 501c3 12b Mercy Health true Mercy Health Springfield Communities 1235 E Cherokee Street Springfield MO 65804 431856028 HLTH SYSTEM MO 501c3 12b Mercy Health true Mercy Home Health Berryville 804 W Freeman Suite 4 Berryville AR 72616 870781247 Inactive AR 501c3 12a MH Springfie true Mercy Hospital Ada Inc 430 N Monte Vista Street Ada OK 74820 462288155 Hospital OK 501c3 3 MH OK COMM true Mercy Hospital Ardmore Inc 1011 14th Avenue NW Ardmore OK 73401 731500629 Hospital OK 501c3 3 MH OK COMM true Mercy Hospital Aurora 500 Porter Avenue Aurora MO 65605 431936696 Hospital MO 501c3 3 MH SF COMM true Mercy Hospital Berryville 214 Carter Street Berryville AR 72616 710759299 Hospital AR 501c3 3 MH SF COMM true Mercy Hospital Booneville 880 West Main Street Booneville AR 72927 463851119 Hospital AR 501c3 3 MH FT Smith true Mercy Hospital Carthage 3125 Dr Russell Smith Way Carthage MO 64836 453808607 Hospital MO 501c3 3 MH SWMK COMM true Mercy Hospital Cassville 94 Main Street Cassville MO 65625 431936699 Hospital MO 501c3 3 MH SF COMM true Mercy Hospital Columbus 220 Pennsylvania Avenue Columbus KS 66725 270842031 Hospital KS 501c3 3 MH SWMK COMM true Mercy Hospital El Reno Inc 2115 Parkview Drive El Reno OK 73036 272716065 Hospital OK 501c3 3 MH OK City true Mercy Hospital Fort Smith 7301 Rogers Avenue Fort Smith AR 72903 710240352 Hospital AR 501c3 3 MH FS Comm true Mercy Hospital Healdton Inc 3462 Hospital Rd Healdton OK 73438 263173902 Hospital OK 501c3 3 MH ADA Inc true Mercy Hospital Jefferson 1400 Highway 61 South Festus MO 63028 430687077 Hospital MO 501c3 3 MH EAST COMM true Mercy Hospital Joplin 100 Mercy Way Joplin MO 64804 270814858 Hospital MO 501c3 3 MH SWMK COMM true Mercy Hospital Kingfisher Inc 1000 Kingfisher Regional Hospital C Kingfisher OK 73750 463433074 Hospital OK 501c3 3 MH OK City true Mercy Hospital Lebanon 100 Hospital Drive Lebanon MO 65536 431767432 Hospital MO 501c3 3 MH SF COMM true Mercy Hospital Lincoln 1000 East Cherry Street Troy MO 63379 472219204 Hospital MO 501c3 3 MH EAST COMM true Mercy Hospital Logan County Inc 200 South Academy Guthrie OK 73044 452998842 Hospital OK 501c3 3 MH OK City true Mercy Hospital Oklahoma City Inc 4300 W Memorial Road Oklahoma City OK 73120 730579285 Hospital OK 501c3 3 MH OK COMM true Mercy Hospital Ozark 801 W River Street Ozark AR 72949 710689680 Hospital AR 501c3 3 MH FT Smith true Mercy Hospital Paris 500 E Academy Paris AR 72855 710655753 Hospital AR 501c3 3 MH FT Smith true Mercy Hospital Rogers 2710 Rife Medical Lane Rogers AR 72758 710294390 Hospital AR 501c3 3 MH NWAR COMM true Mercy Hospital Springfield 1235 E Cherokee Street Springfield MO 65804 440552485 Hospital MO 501c3 3 MH SF COMM true Mercy Hospital Tishomingo Inc 1000 South Byrd Tishomingo OK 73460 274433830 Hospital OK 501c3 3 MH ADA Inc true Mercy Hospital Watonga Inc 500 Clarence Nash Blvd Watonga OK 73772 455199762 Hospital OK 501c3 3 MH OK City true Mercy Hospitals East Communities 615 S New Ballas Road St Louis MO 63141 430653493 Hospital MO 501c3 3 MH EAST COMM true Mercy Kansas Communities Inc 401 Woodland Hills Blvd Ft Scott KS 66701 480956045 Hospital KS 501c3 3 MH SWMK COMM true Mercy Ministries of Laredo 2500 Zacatecas Laredo TX 78046 200198462 Outreach TX 501c3 7 Mercy Health true Mercy Research 524 North Booneville Avenue Springfield MO 65802 870796305 Research MO 501c3 4 Mercy Health true Mercy St Francis Hopsital 100 W Highway 60 Mountain View MO 65548 440607149 Hospital MO 501c3 3 MH SF COMM true MHM Support Services 14528 S Outer Forty Suite 100 Chesterfield MO 63017 202553101 CTRL SYS FUNC MO 501c3 12a Mercy Health true Mission Clinical Services 300 Werner Street Hot Springs AR 71913 134239691 CHILD ADVOC AR 501c3 3 Mercy Health true St Anthony's Charitable Foundation 10010 Kennerly Road St Louis MO 63128 261516789 Fundraising MO 501c3 12a ST ANTHONY true St Anthony's Medical Center 10010 Kennerly Road St Louis MO 63128 430980256 Hospital MO 501c3 3 MH EAST COMM true St Anthony's Physician Organization 10010 Kennerly Road St Louis MO 63128 431784536 Health care MO 501c3 3 ST ANTHONY true St Mary's Hospital of Enid Oklahoma I 14528 S Outer Forty Suite 100 Chesterfield MO 63017 730614655 Inactive OK 501c3 3 MH OK COMM true Unity Ambulatory Care 14528 S Outer Forty Suite 100 Chesterfield MO 63017 431861745 Inactive MO 501c3 12c MH EAST COMM true Fort Smith Ems 1701 S Greenwood FT SMITH AR 72901 710416615 Emergency Medical AR NA Mercy Ambu Surg Ctr 7301 Rogers FT SMITH AR 72917 710827721 AMBUL SURG CT AR NA Plaza Surg SVCS CO 12700 Southfork RD St Louis MO 63128 204709312 INACTIVE MO NA RES OPT & INNOV 645 Maryville St Louis MO 63141 460468368 CENTRAL DIST. MO NA ST ED MER MED MOB 7301 Rogers FT SMITH AR 72903 710554050 OFFICE BUILDING AR NA Frontenac Properties Inc 14528 S Outer Forty Suite 100 Chesterfield MO 63017 521914421 Holding company DE NA C-Corp Inveno Health Inc 1235 E Cherokee Street Springfield MO 65804 264509571 Product Commer MO NA C-Corp Mercy Commercial Services Inc 14528 South Outer Forty Suite 100 Chesterfield MO 63017 464953543 Parent of VCC MO NA C-Corp Mercy Community Services Inc 401 Woodland Hills Blvd Fort Scott KS 66701 481078101 Retail pharmacy KS NA C-Corp Mercy Health Center Condominium Inc 4300 W Memorial Rd Oklahoma City OK 73120 680640970 Real estate OK NA C-Corp Mercy Health Network of the Southern Reg 14528 S Outer Forty Suite 100 Chesterfield MO 63017 731580607 Holding company OK NA C-Corp Mercy Health Network Inc 14528 S Outer Forty Suite 100 Chesterfield MO 63017 731381689 Holding company OK NA C-Corp Mercy Managed Care Corporation 14528 S Outer Forty Suite 100 Chesterfield MO 63017 731441665 Holding company OK NA C-Corp UHL Corp Inc 645 Maryville Centre Drive Suite 1 St Louis MO 63141 742499535 Holding company MO NA C-Corp Unity Support Services Inc 645 Maryville Centre Drive Suite 1 St Louis MO 63141 431797042 Inactive MO NA C-Corp St Anthony's Physician Organization of 10010 Kennerly Road St Louis MO 63128 320457168 Health Care MO NA C-Corp false false false false false false false false false false false false false false false true true false false MERCY HOSPITAL FORT SMITH Q 3246631 FMV MHM SUPPORT SERVICES P 130438 FMV MERCY ACO CLINICAL SERVICES Q 54750 FMV FORM 990, SCHEDULE R, PART II MERCY HOSPITALS EAST COMMUNITIES MERCY HOSPITALS EAST COMMUNITIES CONSISTS OF MERCY HOSPITAL ST. LOUIS, EIN 43-0653493, AND MERCY HOSPITAL WASHINGTON, EIN 43-1066883. FORM 990, SCHEDULE R, PART V LAWSON ERP SOFTWARE IS THE PRIMARY ACCOUNTING SOFTWARE USED BY MERCY HEALTH SYSTEM, INC. AND SUBSIDIARIES. THE MAJORITY OF THE INTERCOMPANY/RELATED ORGANIZATION TRANSACTIONS ARE PROCESSED THROUGH LAWSON VIA INTERCOMPANY JOURNAL ENTRIES. WITH THE CURRENT DESIGN OF THE ERP SYSTEM, THERE ARE VARIOUS LIMITATIONS ON THE RELATED ORGANIZATION INFORMATION THAT CAN BE EXTRACTED FROM LAWSON. DUE TO THESE LIMITATIONS, MOST OF THE RELATED ORGANIZATION ACTIVITY FOR THE FILING ORGANIZATION HAS BEEN CLASSIFIED ON SCHEDULE R, PART V, IN LINES P AND Q.