2018-11-09T12:30:52-06:00 2017-12-31 990 2017-01-01 541283337 OPTIMA HEALTH PLAN OPTI 7574557020 6015 POPLAR HALL DRIVE NORFOLK VA 23502 ROBERT A BROERMANN TREASURER 7574557020 2018-11-09 163.230.250.203 2018-11-09 13:29:50 ES P D64F4F5DFCDF89C51048D545CDB41D2F0B5DC81C D64F4F5DFCDF89C51048D545CDB41D2F0B5DC81C 2017 2019-02-21 02:37:17Z DENNIS MATHEIS 6015 POPLAR HALL DRIVE NORFOLK VA 23502 1772513241 0 X WWW.OPTIMAHEALTH.COM X 1984 VA AS PART OF SENTARA HEALTHCARE'S INTEGRATED HEALTH CARE SYSTEM, WE IMPROVE HEALTH EVERY DAY. 10 2 882 0 4250909 -169451 950 0 1399119911 1495224605 5189153 3998636 0 0 1404310014 1499223241 0 0 0 0 47298840 59419362 0 0 0 1347458567 1423937160 1394757407 1483356522 9552607 15866719 373340896 479305967 145127551 232291861 228213345 247014106 X AS PART OF SENTARA HEALTHCARE'S INTEGRATED HEALTH CARE SYSTEM, WE IMPROVE HEALTH EVERY DAY BY SUPPORTING THE CHARITABLE, EDUCATIONAL AND SCIENTIFIC PURPOSES OF SENTARA HEALTHCARE AND SUBSIDIARIES. 0 0 1448484413 0 1490973696 OPTIMA HEALTH PLAN MAINTAINS CONTRACTS WITH AREA PROVIDERS TO SUPPLY STATE OF THE ART SYSTEMS OF HEALTH CARE, DISEASE PREVENTION AND HEALTH PROMOTION FOR INDIVIDUALS AND FAMILIES IN THE COMMUNITY IN AN EFFECTIVE, ACCESSIBLE AND AFFORDABLE MANNER.SEE ALSO SCHEDULE O 1448484413 1 0 0 1 0 0 0 0 0 0 1 0 0 0 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 1 0 0 0 0 0 0 1 1 1 0 0 1 X 9165 0 1 882 1 1 1 0 0 0 0 0 0 0 0 0 X 10 2 1 0 0 0 1 1 1 1 1 0 0 0 1 1 1 1 1 0 0 0 X CORPORATE OFFICERS 7574557020 6015 POPLAR HALL DRIVE NORFOLK VA 23502 ROBERT L CRAMER DIRECTOR (THRU 5/17) 1.00 0.00 X 0 0 0 TERRY M GILLILAND MD DIRECTOR (THRU 11/17) 1.00 43.00 X 0 1399070 171429 VICKY G GRAY DIRECTOR 1.00 40.00 X 0 730020 107500 G WILKINS HUBBARD II MD DIRECTOR 1.00 40.00 X 0 289557 66241 JOHN F KALAFSKY MD DIRECTOR (THRU 11/17) 1.00 0.00 X 390 210 0 MEREDITH B ROSE MD DIRECTOR (THRU 11/17) 1.00 40.00 X 0 255932 116729 MARC SHARP DIRECTOR 1.00 0.00 X 0 0 0 RONALD A STINE MD DIRECTOR 1.00 40.00 X 0 756635 80344 DAVID L BERND DIRECTOR 1.00 20.00 X 0 3421602 14282 ROBERT A BROERMANN DIRECTOR/TREASURER 1.00 52.00 X X 0 1605158 99572 CATHIE J VICK DIRECTOR (EFFEC 11/17) 1.00 0.00 X 0 0 0 MICHAEL M DUDLEY EX OFFICIO/PRES/CEO (THRU 11/17) 26.00 15.00 X X 657892 351506 403843 MICHAEL V GENTRY DIRECTOR/SECRETARY 1.00 52.00 X X 0 1328663 174150 HOWARD P KERN DIRECTOR/CHAIRMAN 2.00 53.00 X X 0 3279335 1920755 DENNIS A MATHEIS PRES AND CEO/DIR-EX-OFFICIO (EFFEC 11/17) 26.00 14.00 X X 86361 46142 20710 JOHN E DEGRUTTOLA SR. VP SALES & MARKETING 26.00 14.00 X 320603 171295 94475 JAMES A HILBERT SR. VP/CFO 26.00 14.00 X 409265 218666 119894 THOMAS G LUNDQUIST SR. VP/CMO 26.00 14.00 X 323797 173002 73626 DANIEL D SANTOS ASST SECRETARY/ASST TREASURER 26.00 14.00 X 147993 79072 31242 KAREN J BRAY KE (VP,CLINICAL CARE SVCS) 26.00 14.00 X 139955 74777 130227 JAMES A JUILLERAT KE (VP AND CHIEF ACTUARY) 26.00 14.00 X 231012 123429 95898 MEGAN P PADDEN KE (VP, GOV'T PROG) 26.00 14.00 X 172361 92091 98363 RACHEL L SCHNEIDER KE (VP, NETWORK MANAGEMENT) 26.00 14.00 X 166885 89164 76002 JEFF C SNYDER KE (VP/CONTROLLER) 26.00 14.00 X 170228 90952 132765 TONI W STRACHAN KE (VP, CUSTOMER OPS, SHM) 26.00 14.00 X 186951 99887 170607 EDWARD R RICKER KE (VP, MANAGED LT SVCS & SUPP) 26.00 14.00 X 149655 79960 83961 CATHERINE BRISLAND PHYSICIAN 26.00 14.00 X 179424 161427 99016 SAMEH A BASTA MEDICAL DIRECTOR, CARE INNOVATION 26.00 14.00 X 204884 109467 92119 GREGORY E MERTI MEDICAL DIRECTOR 26.00 14.00 X 200715 107240 90816 THOMAS K IRUNGU MEDICAL DIRECTOR 26.00 14.00 X 184684 98674 65305 LINDA M BUTZ DIR, SALES & CLIENT DEVELOPMENT 26.00 14.00 X 179642 95982 100166 4112697 15328915 4730037 36 0 1 0 MCG HEALTH LLC PO BOX 742350 ATLANTA GA 303742350 HEALTHCARE SOLUTIONS/SOFTWARE 1346092 MCKESSON HEALTH SOLUTIONS 22423 NETWORK PLACE CHICAGO IL 60673 INFORMATION TECHNOLOGY SERVICES 1177909 CLANCY AND THEYS CONSTRUCTION COMPANY 516 WEST CABARRUS STREET RALEIGH NC 27603 CONSTRUCTION 1165967 OPTUMHEALTH CARE SOLUTIONS INC 1100 OPTUM CIRCLE EDEN PRAIRIE MN 55344 HEALTHCARE SOLUTIONS 1032467 PERFORMANCE CLINICAL SYSTEMS LLC 201 SPEAR ST 1100 SAN FRANCISCO CA 94105 HEALTHCARE SOLUTIONS/SOFTWARE 732981 47 SUBSCRIBER PREMIUMS 524298 1494238701 1489987792 4250909 BILLING/COL. SVC FEES 524298 985904 985904 1495224605 2929947 2929947 274358689 273290000 1068689 1068689 1068689 1499223241 1490973696 4250909 3998636 4161603 3287666 873937 44704414 35316487 9387927 2150881 1699196 451685 5545565 4380996 1164569 2856899 2256950 599949 3330282 2630923 699359 342506 270580 71926 637295 503463 133832 8283389 6547009 1736380 22005799 17384581 4621218 2061172 1628326 432846 6418468 5070590 1347878 2924572 2310412 614160 616017 486653 129364 43746 34559 9187 193436 152814 40622 976307 771283 205024 832354 657560 174794 MEDICAL CLAIMS AND CAPI 1345949565 1345949565 SENTARA SERVICE EXP 9560511 9560511 BAD DEBT EXPENSE 8089706 8089706 OTHER DIRECT EXPENSES 5290732 4179678 1111054 6381303 4875416 1505887 1483356522 1448484413 34872109 0 41715257 112183630 160241947 163794186 3876938 6974602 11032102 7955595 3427143 3076507 155731308 188401376 8348303 4875666 373340896 479305967 46130 435984 766798 11687274 144314623 220168603 145127551 232291861 X 0 0 0 0 228213345 247014106 228213345 247014106 373340896 479305967 15866719 2934042 0 X 0 1 X 1 0 X X 1 SENTARA HEALTHCARE 521271901 7 1 0 0 1 0 0 1 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 PART IV SECTION A LINES 1 AND 5 THE SUPPORTED ORGANIZATIONS DESIGNATED IN OPTIMA HEALTH PLAN'S ARTICLES OF INCORPORATION INCLUDE SENTARA HEALTHCARE AND SUCH ORGANIZATIONS AS MAY BE OPERATED, SUPERVISED OR CONTROLLED BY SENTARA HEALTHCARE, SO LONG AS ALL SUCH ORGANIZATIONS ARE DESCRIBED IN IRC SECTION 501(C)(3) AND IRC SECTION 509(A)(1) OR (A)(2). IN 2017, THE FILING ORGANIZATION STOPPED LISTING AS SUPPORTED ORGANIZATIONS IN PART I, LINE 12G, THE 509(A)(1) AND (A)(2) "UNNAMED" SUBSIDIARIES OF SENTARA HEALTHCARE, SINCE THEY ARE NOT ACTUALLY BEING SUPPORTED BY THE FILING ORGANIZATION AT THIS TIME. SUCH ORGANIZATIONS INCLUDE THE FOLLOWING: HALIFAX REGIONAL HOSPITAL, INCORPORATED 54-0648699 SENTARA PRINCESS ANNE HOSPITAL 27-3208969 SENTARA HOSPITALS 54-1547408 SENTARA MEDICAL GROUP 54-1217184 SENTARA ENTERPRISES 54-1917649 SENTARA LIFE CARE CORPORATION 54-1217183 POTOMAC HOSPITAL CORPORATION OF PRINCE WILLIAM 54-0853898 SENTARA RMH MEDICAL CENTER 54-0506331 VALLEY WELLNESS CENTER 52-1309257 MARTHA JEFFERSON HOSPITAL 54-0261840 TO THE EXTENT THAT FUTURE SUPPORT IS PROVIDED TO ANY OF THESE ENTITIES, THE FILING ORGANIZATION WILL ADD THEM BACK ONTO THE LIST OF SUPPORTED ORGANIZATIONS IN PART I, LINE 12G. 0 0 0 0 0 0 1 9669 0 1 13742 23411 0 PART II-B, LINE 1: THE ORGANIZATION ENGAGED IN THE DISSEMINATION OF INFORMATION CONCERNING HEALTH CARE LEGISLATION TO EMPLOYEES VIA EMAIL. THE ORGANIZATION IS INVOLVED IN INDIRECT LOBBYING ACTIVITIES THROUGH PAYMENT OF MEMBERSHIP DUES TO VIRGINIA ASSOCIATION OF HEALTH PLANS. 2152924 1316170 836754 8879178 6639425 2239753 3076507 MEDICAL CLAIMS PAYABLE 171218552 DUE TO AFFILIATES 23863996 OTHER LIABILITIES 25086055 220168603 X X 1 1 0 1 0 0 0 0 0 1 0 TERRY M GILLILAND MD DIRECTOR (THRU 11/17) 0 789302 0 592526 0 17242 0 156356 0 15073 0 1570499 0 0 VICKY G GRAY DIRECTOR 0 348657 0 272933 0 108430 0 93421 0 14079 0 837520 0 11544 G WILKINS HUBBARD II MD DIRECTOR 0 287439 0 0 0 2118 0 55264 0 10977 0 355798 0 0 MEREDITH B ROSE MD DIRECTOR (THRU 11/17) 0 236339 0 0 0 19593 0 91901 0 24828 0 372661 0 0 RONALD A STINE MD DIRECTOR 0 723581 0 10000 0 23054 0 53739 0 26605 0 836979 0 0 DAVID L BERND DIRECTOR 0 83816 0 511370 0 2826416 0 8100 0 6182 0 3435884 0 1127170 ROBERT A BROERMANN DIRECTOR/TREASURER 0 784366 0 601050 0 219742 0 84075 0 15497 0 1704730 0 0 MICHAEL M DUDLEY EX OFFICIO/PRES/CEO (THRU 11/17) 362802 193842 250322 133745 44768 23919 254405 135926 8807 4705 921104 492137 0 0 MICHAEL V GENTRY DIRECTOR/SECRETARY 0 715260 0 532145 0 81258 0 155802 0 18348 0 1502813 0 56565 HOWARD P KERN DIRECTOR/CHAIRMAN 0 1438006 0 1564957 0 276372 0 1898522 0 22233 0 5200090 0 0 DENNIS A MATHEIS PRES AND CEO/DIR-EX-OFFICIO (EFFEC 1 76311 40773 0 0 10050 5369 12628 6747 870 465 99859 53354 0 0 JOHN E DEGRUTTOLA SR. VP SALES & MARKETING 173487 92692 128547 68682 18569 9921 42160 22525 19416 10374 382179 204194 0 0 JAMES A HILBERT SR. VP/CFO 278587 148846 117695 62883 12983 6937 59147 31603 18995 10149 487407 260418 0 0 THOMAS G LUNDQUIST SR. VP/CMO 221236 118205 87548 46776 15013 8021 27451 14667 20536 10972 371784 198641 0 0 DANIEL D SANTOS ASST SECRETARY/ASST TREASURER 121085 64695 17345 9267 9563 5110 15290 8169 5072 2711 168355 89952 0 0 KAREN J BRAY KE (VP,CLINICAL CARE SVCS) 98417 52583 31949 17070 9589 5124 73893 39481 10984 5869 224832 120127 0 0 JAMES A JUILLERAT KE (VP AND CHIEF ACTUARY) 171308 91529 58848 31442 856 458 45438 24277 17065 9118 293515 156824 0 0 MEGAN P PADDEN KE (VP, GOV'T PROG) 126702 67696 44916 23998 743 397 51890 27724 12220 6529 236471 126344 0 0 RACHEL L SCHNEIDER KE (VP, NETWORK MANAGEMENT) 122597 65502 41604 22228 2684 1434 39972 21357 9563 5110 216420 115631 0 0 JEFF C SNYDER KE (VP/CONTROLLER) 125766 67196 43847 23427 615 329 68484 36590 18047 9644 256759 137186 0 0 TONI W STRACHAN KE (VP, CUSTOMER OPS, SHM) 136941 73167 48059 25678 1951 1042 102071 54536 9125 4875 298147 159298 0 0 EDWARD R RICKER KE (VP, MANAGED LT SVCS & SUPP) 127563 68156 13374 7146 8718 4658 42060 22472 12663 6766 204378 109198 0 0 CATHERINE BRISLAND PHYSICIAN 156935 149412 18912 10104 3577 1911 44872 25291 18805 10048 243101 196766 0 0 SAMEH A BASTA MEDICAL DIRECTOR, CARE INNOVATION 172094 91948 21739 11615 11051 5904 41041 21928 18999 10151 264924 141546 0 0 GREGORY E MERTI MEDICAL DIRECTOR 173762 92839 21532 11505 5421 2896 44437 23743 14753 7883 259905 138866 0 0 THOMAS K IRUNGU MEDICAL DIRECTOR 164134 87695 20164 10773 386 206 25318 13527 17246 9214 227248 121415 0 0 LINDA M BUTZ DIR, SALES & CLIENT DEVELOPMENT 120304 64278 56541 30209 2797 1495 46874 25044 18411 9837 244927 130863 0 0 PART I, LINE 1A THE ORGANIZATION PAID FOR TAXABLE RELOCATION EXPENSES OF AN EXECUTIVE RECRUIT, INCLUDING TEMPORARY HOUSING AND THE ADDITIONAL TAXES ASSOCIATED WITH SUCH BENEFITS, 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 A COMPENSATION COMMITTEE, AN INDEPENDENT COMPENSATION CONSULTANT, A COMPENSATION STUDY, AND APPROVAL BY SENTARA HEALTHCARE'S COMPENSATION COMMITTEE. PART I, LINE 4B HOWARD KERN AND MICHAEL DUDLEY PARTICIPATED IN THE SENTARA SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN. PARTICIPATION IN THE PLAN IS LIMITED TO SELECT INDIVIDUALS AS APPROVED BY SENTARA HEALTHCARE'S BOARD OF DIRECTOR'S COMPENSATION COMMITTEE. THE PLAN IS CURRENTLY CLOSED TO ADDITIONAL MEMBERS. VESTING OCCURS UPON THE COMPLETION OF A TWO YEAR NON-COMPETE PERIOD FOLLOWING TERMINATION AFTER EARLY RETIREMENT DATE OR UPON DEATH. EARLY RETIREMENT DATE IS WHEN THE EXECUTIVE OBTAINS AT LEAST AGE 55 AND HAS 10 YEARS OF SERVICE AND BENEFITS ARE FORFEITED IF PARTICIPANT LEAVES PRIOR TO AGE 55 WITH 10 YEARS OF SERVICE. DAVID BERND, HOWARD KERN, MICHAEL DUDLEY, ROBERT BROERMANN, MICHAEL GENTRY, VICKY GRAY, TERRY GILLILAND, M.D., JAMES HILBERT AND DENNIS MATHEIS PARTICIPATED IN THE SENTARA CAPITAL ACCUMULATION ACCOUNT PLAN. PARTICIPATION IS LIMITED TO A SELECT GROUP OF CORPORATE EXECUTIVES AS APPROVED BY THE ORGANIZATION'S [OR 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 2017, THE FOLLOWING CORPORATE EXECUTIVES RECEIVED VESTED DISTRIBUTIONS UNDER THE PLAN: DAVID BERND ($2,778,304); ROBERT BROERMANN ($143,052); MICHAEL DUDLEY ($28,861); MICHAEL GENTRY ($61,616); VICKY GRAY ($71,592) AND HOWARD KERN ($229,936). THESE AMOUNTS HAVE BEEN REPORTED IN COLUMN (B)(III) OF SCHEDULE J, PART II. DURING THE CURRENT TAX YEAR, JOHN DEGRUTTOLA, JAMES HILBERT AND THOMAS LUNDQUIST 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. TOP HAT- WITHIN THE ANNUAL INCENTIVE PROGRAM, EXECUTIVES AND SENIOR LEADERS MAY RECEIVE ADDITIONAL INCENTIVE PAY TO REWARD EXCEPTIONAL INDIVIDUAL PERFORMANCE. 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. ARTHUR R ROBB III FAMILY MEMBER OF MEGAN PADDEN, OHP KE 148942 EMPLOYMENT 0 FORM 990, PART III, LINE 4A, PROGRAM SERVICE ACCOMPLISHMENTS SENTARA HEALTHCARE I. SENTARA HEALTHCARE - YOUR NOT FOR PROFIT HEALTHCARE PARTNER SENTARA HEALTHCARE BASED IN NORFOLK, VA, CELEBRATES MORE THAN 129 YEARS IN RELENTLESS PURSUIT OF ITS MISSION TO IMPROVE HEALTH EVERY DAY THROUGH INNOVATION, COMPASSION AND COMMUNITY BENEFIT. SENTARA IS A FULLY INTEGRATED NOT-FOR-PROFIT SYSTEM WITH NEARLY 300 SITES OF CARE OF WHICH THERE ARE 12 HOSPITALS IN VIRGINIA AND NORTH CAROLINA, INCLUDING A LEVEL I TRAUMA CENTER WITH NIGHTINGALE REGIONAL AIR AMBULANCE AND THE NATIONALLY-RANKED SENTARA HEART HOSPITAL. THE SENTARA FAMILY INCLUDES FOUR MEDICAL GROUPS, AMBULATORY CAMPUSES, POST-ACUTE CARE SERVICES, THE PHYSICIAN-LED SENTARA QUALITY CARE NETWORK, THE ACCREDITED SENTARA CANCER NETWORK, THE SENTARA COLLEGE OF HEALTH SCIENCES, OPTIMA HEALTH PLAN MEMBERS IN VIRGINIA AND OHIO, AND A TEAM OF PROFESSIONALS NEARLY 28,000 STRONG. SENTARA PROUDLY INCLUDES ADVANCED IMAGING CENTERS, NURSING AND ASSISTED LIVING CENTERS, PHYSICAL THERAPY AND REHABILITATION SERVICES, HOME HEALTH AND HOSPICE, AND GROUND MEDICAL TRANSPORTATION. SENTARA IS STRATEGICALLY FOCUSED ON CONTINUOUS IMPROVEMENT IN QUALITY, SAFETY, CLINICAL OUTCOMES AND THE PATIENT EXPERIENCE AND PURSUES KEY CLINICAL GOALS THROUGH HIGH PERFORMANCE TEAMS ACROSS THE ENTERPRISE. 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 OF OUR COMMUNITIES THROUGH HEALTH OUTREACH PROGRAMS, EDUCATION, AND FINANCIAL SUPPORT OF 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. IN 2017, SENTARA COMMUNITY BENEFIT REACHED $364,956,000. SENTARA PROVIDED $325,197,000 IN NET UNCOMPENSATED PATIENT CARE; $18,341,000 IN MEDICAL EDUCATION; AND $21,418,000 IN COMMUNITY PROGRAMS. B. 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 COMMUNITY HEALTH NEEDS. SENTARA FOUNDATION-HAMPTON ROADS SUPPORTS A WIDE RANGE OF PROGRAMS ACROSS HAMPTON ROADS. IN 2017, THE FOUNDATION RAISED $1.9M AND AWARDED 28 COMMUNITY GRANTS TOTALING $622,000 TO SUPPORT ITS KEY PRIORITY AREAS. THE MARTHA JEFFERSON HOSPITAL FOUNDATION IN CHARLOTTESVILLE, VIRGINIA RAISED OVER $3.5M IN NEW GIFTS AND COMMITMENTS AND FOCUSED THEIR EFFORTS ON A HIGH-RISK BREAST PROGRAM, A FAMILY CAREGIVER SUPPORT PROGRAM AND THE CENTER FOR CLINICAL EDUCATION. THE RMH FOUNDATION RAISED $3.59M IN NEW GIFTS AND COMMITMENTS AND FOCUSED THEIR EFFORTS ON A NEW LINEAR ACCELERATOR FOR THE SENTARA RMH HAHN CANCER CENTER AND THE INSTITUTE FOR NURSING EXCELLENCE AND INNOVATION. 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 2017, THE HOPE FUND AWARDED $147,000 TO SENTARA EMPLOYEES IN CRISES ACROSS THE SYSTEM. C. 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 2017: - HEALTH IMPROVEMENT EVENTS WERE OFFERED TO CHURCHES, EMPLOYER GROUPS INCLUDING SENTARA HEALTHCARE AND HAMPTON ROADS SANITATION DISTRICT, COMMUNITY HEALTH CENTERS AND OTHER COMMUNITY LOCATIONS INCLUDING THE POCKET EKG PROGRAM AND THE SENTARA LIVING PROGRAM. - SENTARA CONTINUED TO OFFER PROGRAMS SUCH AS EATING FOR LIFE, WALKABOUT WITH HEALTHY EDGE, HEALTH HABITS, HEALTHY YOU, MEDITATION, TAI CHI AND YOGA. - THE FLU PATROL ADMINISTERED A TOTAL OF 5,211 IMMUNIZATIONS. 4,182 WERE GIVEN TO OPTIMA HEALTH INSURED GROUPS THROUGHOUT VIRGINIA. THE REMAINDER WAS DELIVERED TO CHURCHES AND OTHER COMMUNITY GROUPS. - BIRTHDAY CARD REMINDERS FOR PREVENTIVE HEALTH SCREENINGS WERE DELIVERED TO ADULT MEMBERS OF OPTIMA HEALTH, OHIOHEALTH PLAN MEMBERS AND CHILDREN. SELF-CARE HANDBOOKS ON PLANNING A HEALTHY PREGNANCY WERE DISTRIBUTED TO OPTIMA HEALTH PLAN MEMBERS. - THE TOBACCO CESSATION PROGRAM AIDED OUR HOSPITALS IN UPDATING A VIDEO AVAILABLE TO PATIENTS. PATIENTS DISCHARGED FROM SENTARA VIRGINIA BEACH GENERAL HOSPITAL AND SENTARA HEART HOSPITAL WERE CONTACTED FOUR WEEKS AFTER THEIR HOSPITAL DISCHARGE FOR TOBACCO CESSATION FOLLOW-UP. - AS PART OF THE SENTARA BENEFIT ENROLLMENT PROCESS, 18,849 EMPLOYEES COMPLETED A HEALTH RISK ASSESSMENT IN CONJUNCTION WITH THE MISSION: HEALTH PROGRAM. - FINALLY, WEBMD, WHICH SERVES AS OUR HEALTH COACHING AND HEALTH EDUCATION PORTAL PARTNER, HAS NOW 22,649 REGISTERED MEMBERS OF WHICH 16,848 MEMBERS ARE ACTIVELY ENGAGED. SENTARA HOSTS A NUMBER OF COMMUNITY EVENTS RAISING AWARENESS AROUND KEY HEALTH AWARENESS MONTHS. ONE GOOD EXAMPLE IS THE FOCUS ON COLON CANCER PREVENTION: DON'T SIT ON COLON CANCER. THROUGH THE SENTARA CANCER NETWORK, SENTARA HOSTED A 5K AT SENTARA PRINCESS ANNE HOSPITAL IN VIRGINIA BEACH. THROUGH SENTARA HEART, WE PROMOTED THE "28 DAYS OF HEART" IN FEBRUARY, 2017 IN SUPPORT OF HEART HEALTH AWARENESS. ONLINE PROMOTIONS, RADIO ADS, FACEBOOK LIVE EDUCATION SESSIONS, SCREENINGS AND MORE WERE CONDUCTED TO RAISE AWARENESS OF HEART DISEASE THROUGHOUT THE COMMUNITIES WE SERVE IN VIRGINIA AND NORTH CAROLINA. III. GROWTH IN SENTARA HEALTHCARE SINCE THE BEGINNING, 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 2017 INCLUDED THE FOLLOWING: A. SENTARA NORFOLK GENERAL HOSPITAL EXPERIENCED REMARKABLE GROWTH IN OUR TRANSPLANT PROGRAMS. SENTARA HEART HOSPITAL PERFORMED 28 HEART TRANSPLANTS REPRESENTING A 133% INCREASE OVER 2016(12). SENTARA NORFOLK GENERAL HOSPITAL PERFORMED 101 KIDNEY TRANSPLANTS REPRESENTING A 71% INCREASE OVER 2016(59). SENTARA NORFOLK GENERAL HOSPITAL PERFORMED 7 PANCREAS TRANSPLANTS REPRESENTING A 250% INCREASE OVER 2016(2). B. SENTARA, THROUGH OPTIMA HEALTH, LAUNCHED THE MANAGED LONG TERM SERVICES AND SUPPORTS PROGRAM, ALSO KNOWN AS OPTIMA HEALTH COMMUNITY CARE, THAT SERVES VIRGINIANS WITH COMPLEX HEALTH ISSUES, MANY OF WHOM REQUIRE LONG-TERM SUPPORT AS A RESULT OF AGING, CHRONIC ILLNESS OR DISABILITY. 17,893 MEMBERS WERE ASSIGNED TO OPTIMA HEALTH COMMUNITY CARE BETWEEN AUGUST 1 AND DECEMBER 31 FROM SIX REGIONS ACROSS VIRGINIA. THIS MODEL OF CARE FACILITATES PERSON-CENTERED CARE FEATURING BENEFITS SUCH AS COORDINATION AND MANAGEMENT OF ALL ASPECTS OF PHYSICAL HEALTH, BEHAVIORAL HEALTH, LONG-TERM CARE AND COMMUNITY-BASED SERVICES; SUPPORT OF AN INTERDISCIPLINARY CARE TEAM, ACCESS TO A CARE COORDINATOR AND REGULAR CARE ASSESSMENTS AN INDIVIDUALIZED CARE PLANS. C. WHILE CONTINUING TO IMPLEMENT THE 2017 SENTARA STRATEGIC PLAN, SENTARA CONTINUED ITS STRATEGIC PLANNING WORK THROUGH THE DEVELOPMENT AND APPROVAL OF TWO SERVICE LINES PLANS - HEART/VASCULAR AND NEUROSCIENCES. FORM 990, PART III, LINE 4A IV. NEW INITIATIVES A. SENTARA CONTINUED ITS FOCUS ON KEEPING THE COMPANY SAFE AND FORWARD THINKING IN THE CYBER WORLD. FOR OUR SECURITY OPERATIONS CENTER, WE PARTNERED WITH IBM TO PROVIDE US WITH 24/7 MONITORING OF CYBER SECURITY THREATS. UTILIZING WATSON, THIS SERVICE PROVIDES ARTIFICIAL INTELLIGENCE CAPABILITIES TO BOTH DETECT AND PRIORITIZE POTENTIAL CYBER SECURITY THREATS. B. ALSO IN THE REALM OF CYBER SECURITY, SENTARA IMPLEMENTED TWO FACTOR AUTHENTICATION FOR INDIVIDUALS LOGGING INTO THE SENTARA SYSTEMS EXTERNALLY. THUS, SENTARA HAS SECURE REMOTE ACCESS FOR ALL WORKFORCE MEMBERS. C. SENTARA ESTABLISHED AN INFORMATION SECURITY STUDENT STAFFING PROGRAM IN PARTNERSHIP WITH OLD DOMINION UNIVERSITY, REGENT UNIVERSITY, THOMAS NELSON COMMUNITY COLLEGE, TIDEWATER COMMUNITY COLLEGE AND THE UNIVERSITY OF VIRGINIA. THIS ALLOWS US ACCESS TO A SKILLED WORKFORCE WITH CYBER SECURITY TALENT. D. IN ITS THIRD YEAR, CLINICAL PERFORMANCE IMPROVEMENT (CLINICAL PI), AN INITIATIVE TO DRIVE CHANGE AND CREATE RAPID PROCESS IMPROVEMENT IN TARGETED CLINICAL AREAS, RESULTED IN SEEING POSITIVE TRENDS TOWARDS MEETING THE COMPANY'S ULTIMATE GOALS. E. THE VOICE OF THE CUSTOMER MODEL WAS DEVELOPED TO UNDERSTAND MORE FROM SENTARA 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. F. ADDRESSING THE OPIOID CRISIS IS A MAJOR FOCUS FOR SENTARA. SENTARA MEDICAL GROUP LAUNCHED ONE CLICK FOR PROVIDERS TO ACCESS THE VIRGINIA PRESCRIPTION MONITORING PROGRAM (PMP) IN THE SENTARA ECARE HEALTH NETWORK VIA A GATEWAY PROGRAM SAVING TIME FOR BOTH THE PROVIDER AND PATIENT AND IMPROVING COMPLIANCE. PROVIDERS ARE REQUIRED TO CONSULT THE VIRGINIA PMP BEFORE PRESCRIBING CONTROLLED DRUGS, BUT LEAVING THE ELECTRONIC MEDICAL RECORD (EMR) TO LOG INTO THE PMP ADDS EXTRA STEPS AND TIME TO THE PROCESS. SENTARA CAREPLEX HOSPITAL CONTINUED A PARTNERSHIP WITH THE NEWPORT NEWS AND HAMPTON POLICE DEPARTMENTS TO TRAIN POLICE OFFICERS ON HOW TO ADMINISTER TO THE LIFE-SAVING, OVERDOSE-REVERSING NARCAN. SENTARA RMH MEDICAL CENTER WAS AWARDED A FEDERAL GRANT FROM THE U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES OFFICE ON WOMEN'S HEALTH TO HELP PREVENT OPIOID MISUSE IN THEIR REGION. V. OFFERING NEW PROCEDURES AND TECHNOLOGIES CLINICAL BREAKTHROUGHS AND ADVANCEMENTS: SENTARA INTRODUCED MANY NEW CLINICAL BREAKTHROUGHS AND ADVANCEMENTS THAT BENEFITED THE PATIENT IN MANY AREAS OF CARE, INCLUDING CARDIAC AND REDUCING INFECTIONS. A. COPPER: I. SENTARA DEPLOYED COPPER MATERIALS AT SENTARA HALIFAX REGIONAL HOSPITAL MAKING IT THE FINAL HOSPITAL IN THE SENTARA SYSTEM TO IMPLEMENT. ALL OF OUR HOSPITALS NOW HAVE THIS INFECTION-FIGHTING AND LIFE-SAVING INNOVATION. B. CARDIAC: I. SENTARA NORFOLK GENERAL HOSPITAL WAS THE FIRST IN HAMPTON ROADS TO PERFORM "CLOT-VAC", WHICH INVOLVES THE REMOVAL OF BLOOD CLOTS IN THE HEART WITHOUT OPEN HEART SURGERY. II. THE ORNISH LIFESTYLE MEDICINE PROGRAM EXPANDED TO ALLOW FOR A SECOND COHORT WITH ENLARGED SPACE AT SENTARA PRINCESS ANNE HOSPITAL. CLINICAL OUTCOMES HAVE BEEN POSITIVE FOR PARTICIPANTS RELATED TO BODY WEIGHT; BMI, TOTAL CHOLESTEROL, LDL CHOLESTEROL, SYSTOLIC BLOOD PRESSURE, HGA1C AND DEPRESSION SCORES. VI. EXPANDING EDUCATIONAL OPPORTUNITIES 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 2017, SENTARA MARKED FURTHER PROGRESS TOWARD ACHIEVING OUR GOAL OF 80% OF SENTARA NURSES HAVING A BSN BY 2020. IN 2017 SENTARA HAD 60.4% OF ITS NURSING WORKFORCE HOLDING A BSN OR HIGHER DEGREE WITH 16.6% OF LICENSED RNS WITH A CONTRACT TO COMPLETE THEIR BSN. RESEARCH: RESEARCH IS ANOTHER WAY SENTARA IS ALWAYS IMPROVING. HERE ARE A FEW EXAMPLES OF OUR WORK WITHIN THE RESEARCH REALM: A. CARDIAC: THROUGH THE SENTARA CARDIOVASCULAR RESEARCH INSTITUTE, CARDIOLOGISTS AND UNIQUELY TRAINED REGISTERED NURSE RESEARCH COORDINATORS MAKE SIGNIFICANT STRIDES IN ADVANCING THE UNDERSTANDING AND TREATMENT OF THE NUMBER ONE KILLER IN AMERICA: CARDIOVASCULAR DISEASE. AS THE PREEMINENT CARDIAC RESEARCH INSTITUTE IN THE MID-ATLANTIC REGION, SENTARA HEART WORKS COLLABORATIVELY WITH LOCAL INSTITUTIONS, GOVERNMENT AGENCIES AND BIOMEDICAL COMPANIES ON NATIONALLY AND INTERNATIONALLY RECOGNIZED CLINICAL RESEARCH TRIALS. WE FOCUS OUR EFFORTS ON DISCOVERING MORE EFFECTIVE CARDIOVASCULAR TREATMENTS AND PROTOCOLS WHILE ELIMINATING THOSE THAT ARE POTENTIALLY HARMFUL OR NOT AS BENEFICIAL. OUR ULTIMATE GOAL IS TO PROVIDE ENHANCED CLINICAL CARE THAT ADVANCES PATIENT OUTCOMES AND IMPROVES THE OVERALL HEALTH OF OUR COMMUNITY. OUR RESEARCH TOUCHES ON EVERY ASPECT OF HEART CARE, INCLUDING MEDICAL DEVICES, HEART FAILURE, ELECTROPHYSIOLOGY, CARDIAC SURGERY, CARDIAC INTERVENTIONAL PROCEDURES, STRUCTURAL HEART DISEASE, AND THE MEDICAL MANAGEMENT OF CORONARY ARTERY DISEASE RISK FACTORS SUCH AS DIABETES AND HIGH CHOLESTEROL. COLLECTIVELY, OUR RESEARCH NURSES COORDINATE MORE THAN 80 CLINICAL TRIALS AT ANY GIVEN TIME, SHEPHERDING PARTICIPANTS THROUGH THE ENTIRE TRIAL PROCESS, PROVIDING CARE DURING PERIODS OF NEED, AND TIRELESSLY ADVOCATING FOR THEIR PATIENTS' WELL-BEING. B. CANCER: WITHIN THE SENTARA CANCER NETWORK, CLINICIANS AND ACADEMIC RESEARCHERS WORK TOGETHER TO ELEVATE CARE FOR PATIENTS. THIS COLLABORATIVE PHILOSOPHY FOSTERS INNOVATION IN OUR NETWORK AND DRIVES ACCESS TO CLINICAL TRIAL OPTIONS FOR OUR PATIENTS. COLLABORATIONS BETWEEN SURGICAL, RADIATION AND MEDICAL ONCOLOGISTS IN OUR SENTARA CANCER NETWORK ARE ESPECIALLY INSTRUMENTAL IN CONNECTING PATIENTS WITH CLINICAL TRIALS. THROUGH COLLABORATION WITH THE NCI NATIONAL CLINICAL TRIALS NETWORK (NCTN), THE ALLIANCE FOR CLINICAL TRIALS IN ONCOLOGY AND NATIONAL RESEARCH GROUP ONCOLOGY, WE DEVELOP AND CONDUCT CLINICAL TRIALS WITH PROMISING NEW CANCER THERAPIES. THESE COLLABORATIVE EFFORTS ALLOW US TO UTILIZE THE BEST SCIENCE TO DEVELOP OPTIMAL TREATMENT AND PREVENTION STRATEGIES FOR CANCER, AS WELL AS RESEARCH METHODS TO ALLEVIATE SIDE EFFECTS OF CANCER AND CANCER TREATMENTS. FORM 990, PART III, LINE 4A C. ORTHOPEDICS: THROUGHOUT SENTARA, WE CONTINUALLY EMBRACE THE VALUE OF GOOD CLINICAL RESEARCH AND THE DIFFERENCE IT CAN MAKE IN PATIENT CARE. ORTHOPEDIC SURGEONS WHO PRACTICE AT SENTARA FACILITIES CONTINUE TO PURSUE CLINICAL IMPROVEMENTS THROUGH CLINICAL TRIALS AND RESEARCH, BOTH AT THE LOCAL AND NATIONAL LEVELS. ACROSS THE SENTARA REGIONS, THESE SURGEONS ARE PRESENTING THEIR FINDING AT NATIONAL ASSOCIATION MEETINGS AND BEING PUBLISHED IN SPECIALTY TRADE JOURNALS. VII. BUILDING FOR THE FUTURE A. SENTARA NORTHERN VIRGINIA MEDICAL CENTER (SNVMC), LOCATED IN WOODBRIDGE, VIRGINIA, IMPLEMENTED A SECOND CATHETERIZATION LAB FOLLOWING THE OPENING OF THE DEDICATED ELECTROPHYSIOLOGY LAB IN THE SENTARA HEART AND VASCULAR CENTER IN 2016. SNVMC EXPERIENCED AN INCREASE IN PACEMAKER VOLUME AND DIAGNOSTIC CATHETERIZATION VOLUME IN 2017 COMPARED TO 2016. ELECTROPHYSIOLOGISTS PERFORMED THE FIRST MICRA PACEMAKER IMPLANT AT SNVMC. SNVMC ADOPTED THE TECHNOLOGY FOLLOWING SENTARA HEART HOSPITAL'S ADOPTION IN 2016 AFTER FDA APPROVAL. THE MICRA PACEMAKER IS THE WORLD'S SMALLEST PACEMAKER. IT IS IMPLANTED INTO THE HEART THROUGH A VEIN IN THE LEG, THUS THERE IS NO CHEST INCISION SCAR OR BUMP. SNVMC INCREASED INPATIENT ORTHOPEDIC SURGICAL VOLUME IN 2017 COMPARED TO 2016. ORTHOPEDIC ACHIEVEMENTS ALSO INCLUDED THE INTRODUCTION OF THE FOOT & ANKLE PROGRAM AND THE LAUNCH OF THE BACK & NECK CENTER. B. SENTARA RMH MEDICAL CENTER (SRMH), LOCATED IN HARRISONBURG, VIRGINIA, BEGAN PERFORMING THE TAVR (TRANSCATHETER AORTIC VALVE REPLACEMENT) PROCEDURE AND CONDUCTED 24 CASES IN 2017 IN THEIR NEWLY OPENED HYBRID OR. THE CARDIAC PROGRAM CONTINUES TO SEE SIGNIFICANT GROWTH IN OPEN HEART SURGERY CASES, CARDIAC INTERVENTIONS AND DIAGNOSTIC CATHETERIZATIONS. SENTARA RMH MEDICAL GROUP OPENED A TRANSITION OF CARE CLINIC, WHICH IS A COLLABORATIVE EFFORT BETWEEN THE HOSPITALIST DEPARTMENT, THE MEDICAL GROUP AND HOSPITAL CASE MANAGEMENT DEPARTMENT. C. SENTARA MARTHA JEFFERSON HOSPITAL (SMJH), LOCATED IN CHARLOTTESVILLE, VIRGINIA, OPENED THE SENTARA ORTHOJOINT CENTER, WHICH HAS A SINGULAR FOCUS ON THE NEEDS OF ORTHOPEDIC SURGICAL PATIENTS UNDERGOING HIP OR KNEE REPLACEMENT. THE CENTER CONCENTRATES THEIR EFFORT ON A DEDICATED TEAM APPROACH INVOLVING NURSES, ANESTHESIOLOGISTS, SURGEONS, PHYSICAL THERAPISTS AND HOME CARE. SENTARA MARTHA JEFFERSON MEDICAL GROUP EXPANDED ITS FOOT PRINT AT SENTARA SPRING CREEK FAMILY MEDICINE AND ACQUIRED THE WAYNESBORO PRIMARY CARE PRACTICE. ADDITIONALLY, THE MEDICAL GROUP IMPLEMENTED INQUICKER FOR ED PATIENTS NEEDING PRIMARY CARE FOLLOW UP, ENABLING PATIENTS TO BE SEEN SOONER AT THE NEW 5TH STREET PRACTICE. D. HAMPTON ROADS (SOUTHEASTERN VIRGINIA) I. SENTARA PRINCESS ANNE HOSPITAL (SPAH), LOCATED IN VIRGINIA BEACH, VIRGINIA, KICKED OFF A $35 MILLION MASTER FACILITY PLAN EXPANSION AND MODERNIZATION PROJECT. THIS PROJECT WILL ENABLE OUR CARE TEAMS TO TREAT MORE PATIENTS AND PROVIDE AN ENHANCED, PATIENT-CENTRIC EXPERIENCE. COMPLETION IS SCHEDULED FOR SEPTEMBER 2018. II. SENTARA VIRGINIA BEACH GENERAL HOSPITAL (SVBGH), LOCATED IN VIRGINIA BEACH, VIRGINIA, STARTED OFFERING ROBOTIC-ARM ASSISTED TOTAL KNEE REPLACEMENT SURGERY. USING A VIRTUAL 3D MODEL, THE ROBOTIC SYSTEM ALLOWS SURGEONS TO CREATE A PERSONALIZED SURGICAL PLAN BASED ON EACH PATIENT'S UNIQUE ANATOMY. ADDITIONALLY, SVBGH BEGAN A $53 MILLION MODERNIZATION OF PATIENT CARE AREAS AND INFRASTRUCTURE. THREE ICUS WILL BE CONSOLIDATED INTO ONE 24 BED UNIT. SIX OPERATIONS ROOMS WILL BE REPLACED IN A NEWLY CONSTRUCTED SURGERY WING AND FOUR OTHER OPERATING ROOMS WILL BE RENOVATED. OTHER GENERAL INFRASTRUCTURE WILL BE MODERNIZED AND EMERGENCY GENERATORS WILL BE REPLACED. III. SENTARA NORFOLK GENERAL HOSPITAL (SNGH), LOCATED IN NORFOLK, VIRGINIA, CELEBRATED THE 35TH ANNIVERSARY OF THE NIGHTINGALE AIR AMBULANCE. ADDITIONALLY, SNGH WAS THE FIRST IN HAMPTON ROADS TO PERFORM CLOT-VAC, WHICH INVOLVES THE REMOVAL OF BLOOD CLOTS WITHOUT OPEN HEART SURGERY. WOMEN'S SERVICES LEADERS AT SNGH HAD AN IDEA TO TAKE WIC-WOMEN, INFANTS AND CHILDREN, A SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN AND THEIR YOUNG CHILDREN, TO THE MOTHER DURING THEIR STAY FOR DELIVERING THEIR BABY. THIS APPROACH ALLOWED WOMEN TO IMMEDIATELY ACCESS THE BENEFITS OF WIC AS OPPOSED TO HAVING MOMS VISIT THE WIC OFFICE (REQUIRING DISTANT/INCONVENIENT TRAVEL TO THE WIC OFFICE WHILE HAVING THE DEMANDS OF BEING A NEW MOM) AFTER THEY GET HOME FROM THE HOSPITAL IN ORDER TO ACCESS THESE SAME BENEFITS OFFERED THROUGH WIC. IV. SENTARA LEIGH HOSPITAL (SLH), LOCATED IN NORFOLK, VIRGINIA, DESIGNATED ITS 48-BED ORTHOPEDIC CENTER OF SENTARA LEIGH HOSPITAL AS THE ORTHOPEDIC HOSPITAL AT SENTARA LEIGH. THIS IS THE FIRST DESIGNATED ORTHOPEDIC HOSPITAL IN SOUTH HAMPTON ROADS AND WILL JOIN THE ORTHOPAEDIC HOSPITAL AT SENTARA CAREPLEX ON THE PENINSULA AS THE ONLY TWO IN THE HAMPTON ROADS REGION. V. SENTARA OBICI HOSPITAL (SOH), LOCATED IN SUFFOLK, VIRGINIA, BEGAN OFFERING STEREOTACTIC RADIOSURGERY AND RADIOTHERAPY, ALLOWING RESIDENTS IN WESTERN TIDEWATER TO RECEIVE TREATMENT CLOSER TO HOME. ADDITIONALLY, SENTARA BELLEHARBOUR, AN OUTPATIENT CAMPUS ASSOCIATED WITH SENTARA OBICI HOSPITAL, BROKE GROUND ON AN 85,000 SQ.FT. $33.5 MILLION BUILDING THAT WILL FEATURE AN AMBULATORY SURGERY CENTER, EXPANDED EMERGENCY DEPARTMENT, 14 OBSERVATION BEDS FOR THE EMERGENCY DEPARTMENT PATIENTS, NEW MEDICAL OFFICE SPACE AND A HELIPAD. VI. SENTARA CAREPLEX HOSPITAL (SCH), LOCATED IN HAMPTON, VIRGINIA, INTRODUCED MATERNITY SERVICES AND HAPPILY DELIVERED ITS FIRST HAMPTON NEWBORN ON DECEMBER 31, 2017. THIS SERVICE WAS DESIGNED WITH CONSIDERABLE CONSUMER INPUT SO AS TO PROVIDE THE OPTIMAL EXPERIENCE FOR MOM AND FAMILY WHEN EXPERIENCING THIS UNIQUE AND HAPPY LIFE MILESTONE. VII. SENTARA WILLIAMSBURG REGIONAL MEDICAL CENTER (SWRMC), LOCATED IN WILLIAMSBURG, VIRGINIA, OPENED THE SENTARA OUTPATIENT REHAB CENTER MOBILITY PARK HELPING REHAB PATIENTS OF ALL AGES WITH GAIT RELATED PROBLEMS TO HAVE MORE OPPORTUNITY TO PRACTICE THEIR WALKING SKILLS SAFELY. THE MOBILITY PARK, LOCATED OUTDOORS NEAR THE R.F. WILKINSON YMCA, WHICH HOUSES THE HOSPITAL'S LARGEST OUTPATIENT THERAPY CENTER, IS A PROJECT FUNDED THROUGH THE AUXILIARY OF SENTARA WILLIAMSBURG. VIII. SENTARA ALBEMARLE MEDICAL CENTER (SAMC), LOCATED IN ELIZABETH CITY, NC, COMPLETED ITS IMPLEMENTATION OF SENTARA ECARE (ELECTRONIC MEDICAL RECORD) SO IT IS NOW AVAILABLE TO PATIENTS RECEIVING HOSPITAL CARE AS WELL AS FOR PATIENTS IN OUR PHYSICIAN OFFICES. THE BREAST CENTER AT SAMC RECEIVED STEREOTACTIC ACCREDITATION FROM THE AMERICAN COLLEGE OF RADIATION ONCOLOGY. SAMC INTRODUCED THE SENTARA ORTHOJOINT CENTER AND THE SPORTS MEDICINE CENTER. THE SENTARA ORTHOJOINT CENTER HAS A SINGULAR FOCUS TO MEET THE NEEDS OF ORTHOPEDIC SURGICAL PATIENTS UNDERGOING HIP OR KNEE REPLACEMENT. FORM 990, PART III, LINE 4A E. SOUTH BOSTON/HALIFAX SENTARA HALIFAX REGIONAL HOSPITAL (SHRH), LOCATED IN SOUTH BOSTON, VIRGINIA, BEGAN OFFERING CT LUNG CANCER SCREENINGS TO INDIVIDUALS WHO ARE AT A HIGHER RISK OF DEVELOPING LUNG CANCER ENABLING THE EARLIER DETECTION OF CANCER. SENTARA OBSTETRICS AND GYNECOLOGY OPENED IN HALIFAX OFFERING COMPREHENSIVE, HIGH-QUALITY WOMEN'S HEALTHCARE OPTIONS ON THE HOSPITAL CAMPUS. WITH TWO OB/GYN PROVIDERS ON BOARD, THERE IS MORE ACCESS AND OPTIONS FOR WOMEN WHO NEED THESE SERVICES CLOSE TO HOME. SHRH OPENED AN OUTPATIENT THERAPY PROGRAM AT SENTARA MEADOWVIEW TERRACE NURSING FACILITY IN CLARKSVILLE, VIRGINIA. F. SENTARA ENTERPRISES SENTARA HOME HEALTH, HOSPICE AND INFUSION HAD A STRONG YEAR IN TERMS OF ACCREDITATION BY THE ACCREDITATION COMMISSION FOR HEALTH CARE (ACHC). ACHC HAS CMS DEEMING AUTHORITY FOR HOME HEALTH, HOSPICE, AND DURABLE MEDICAL EQUIPMENT, PROSTHETICS, ORTHOTICS AND SUPPLIES AND A QUALITY MANAGEMENT SYSTEM THAT IS ISO 9001: 2015 CERTIFIED. SENTARA ENTERPRISES ACHIEVED ACHC ACCREDITATION FOR 7 HOME HEALTH LEGACY LOCATIONS, 3 NEW HOME HEALTH PROVIDERS, ALL 3 HOSPICE PROVIDERS, AND IV INFUSION SERVICES. G. SENTARA LIFE CARE SENTARA LIFE CARE IS COMPRISED OF ASSISTED LIVING CENTERS, NURSING HOMES, MOBILE MEALS AND THE PROGRAM FOR THE ALL-INCLUSIVE CARE FOR THE ELDERLY (PACE). IN 2017, SENTARA LIFE CARE OPENED A NEW CARE AND REHABILITATION RESIDENCE IN CHESAPEAKE, VIRGINIA. THE 120 BED FACILITY FEATURES AN INNOVATIVE "HOUSEHOLD" DESIGN WITH 20-40 RESIDENTS EACH, AND A RESIDENT-CENTERED APPROACH TO CARE. SHORT-TERM REHABILITATION ADMISSIONS INCREASED COMPARED TO 2016. SENTARA LIFE CARE IMPLEMENTED A MEDICAL DIRECTOR/PCP MODEL IN THE TWO PACE (PROGRAM FOR THE ALL-INCLUSIVE CARE FOR THE ELDERLY) CENTERS. PACE IS A COMPREHENSIVE HEALTH CARE AND SUPPORTIVE SERVICES PROGRAM FOR FRAIL SENIORS WHO WISH TO REMAIN IN THEIR HOMES AND COMMUNITY. THE PROGRAM IS ONE THAT PROVIDES TOTAL CARE FOR PARTICIPANTS, INCLUDING COMPREHENSIVE MEDICAL AND REHABILITATIVE SERVICES, IN-HOME SERVICES AND TRANSPORTATION. H. SENTARA MEDICAL GROUP (900+ PROVIDERS IN VIRGINIA AND NORTHEASTERN NORTH CAROLINA) I. SENTARA MEDICAL GROUP (SMG) COMPLETED THE 2017 SMG STRATEGIC PLAN WITH A FOCUS ON CARE DELIVERY, CUSTOMER EXPERIENCE, PROVIDER AND EMPLOYEE ENGAGEMENT AND GROWTH AND INNOVATION. SMG ESTABLISHED A CENTRALIZED NURSE ADVICE LINE PILOTED AT SELECT PRACTICES TO CONNECT PATIENTS TO A TRIAGE CALL CENTER FOR HEALTHCARE ADVICE. THIS PROGRAM STREAMLINES WORKFLOWS AND HELPS PATIENTS ARRANGE SAME-DAY CARE. SMG RENOVATED 14 PRACTICES AND OPENED 10 NEW PRACTICE LOCATIONS. ADDITIONALLY, SMG CONTINUED ITS IMPRESSIVE GROWTH IN MYCHART ENROLLEES (ELECTRONIC MEDICAL RECORD) BY EXCEEDING ITS GOAL OF 270,000 WITH A TOTAL OF 281,431 ENROLLEES. VIII. QUALITY AND PATIENT SAFETY DISTINCTIONS 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 2017 AWARDS AND RECOGNITIONS: I. FOR THE 17TH CONSECUTIVE YEAR, THE CARDIOLOGY AND HEART SURGERY PROGRAM AT SENTARA NORFOLK GENERAL HOSPITAL (SENTARA HEART HOSPITAL) WAS LISTED AMONG THE TOP 50 HEART PROGRAMS IN THE U.S. NEWS & WORLD REPORT 'BEST HOSPITALS' RANKING #24 IN 2017. DIABETES AND ENDOCRINOLOGY AT SENTARA NORFOLK GENERAL HOSPITAL, A SPECIALTY AT EASTERN VIRGINIA MEDICAL SCHOOL, RANKED #43. II. NINE SENTARA HOSPITALS EARNED HIGHEST GRADE OF "A" FOR DELIVERING SAFE CARE FOR PATIENTS ACCORDING TO THE LEAPFROG HOSPITAL SAFETY SCORE. III. SENTARA HEALTHCARE WAS NAMED 1 OF 52 GREAT HEALTH SYSTEMS TO KNOW ACCORDING TO BECKER'S HOSPITAL REVIEW. AND, SENTARA HALIFAX REGIONAL HOSPITAL WAS RANKED IN THE TOP 100 RURAL AND COMMUNITY HOSPITALS IN 2017. IV. SENTARA LEIGH HOSPITAL WAS NAMED TO TRUVEN TOP 100 HOSPITALS FROM TRUVEN HEALTH ANALYTICS AND MODERN HEALTHCARE. B. SENTARA CAREPLEX HOSPITAL BECAME THE LATEST HOSPITAL WITHIN THE SENTARA FAMILY TO EARN THE NURSING MAGNET DESIGNATION FROM THE AMERICAN NURSES CREDENTIALING CENTER. MAGNET SPEAKS TO A SUPPORTIVE WORKING ENVIRONMENT FOR NURSES AND SUPERIOR CLINICAL CARE BASED ON STRICT CRITERIA THAT MAGNET HOSPITALS MUST MEET. IX. OPTIMA HEALTH A. PROGRAM AND PRODUCT DEVELOPMENT OPTIMA HEALTH LAUNCHED OPTIMA HEALTH COMMUNITY CARE (OHCC), A NEW MEDICAID PRODUCT THAT SERVES VIRGINIANS WITH COMPLEX HEALTH ISSUES, MANY OF WHOM REQUIRE LONG-TERM SUPPORT AS A RESULT OF AGING, CHRONIC ILLNESS OR DISABILITY. 17,893 MEMBERS WERE ASSIGNED TO OPTIMA HEALTH COMMUNITY CARE FROM AUGUST 1 - DECEMBER 31, 2017 FROM SIX REGIONS ACROSS THE COMMONWEALTH. OHCC MODEL OF CARE FACILITATES PERSON-CENTERED CARE, FEATURING BENEFITS SUCH AS COORDINATION AND MANAGEMENT OF ALL ASPECTS OF PHYSICAL HEALTH, BEHAVIORAL HEALTH, LONG-TERM CARE AND COMMUNITY-BASED SERVICES. X. CONCLUSION: SENTARA HEALTHCARE IS COMMITTED TO IMPROVING HEALTH EVERY DAY. WE DO SO BY PROVIDING QUALITY CARE THROUGH EXPERT PROVIDERS, USING CUTTING-EDGE TECHNOLOGY, DEPLOYING MEDICAL BREAKTHROUGHS, AND PROVIDING EXCELLENT CUSTOMER SERVICE - ALL WITH A CONSTANT FOCUS ON INNOVATION. WE LOOK FORWARD TO ANOTHER YEAR OF GROWTH AND INNOVATION IN 2018. FORM 990, PART VI, LINE 1B, BOARD MEMBER INDEPENDENCE THE ORGANIZATION'S BOARD OF DIRECTORS IS ELECTED ANNUALLY BY SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEALTH SYSTEM. THE GOVERNING BOARD OF SENTARA HEALTHCARE IS A COMMUNITY-BASED BOARD COMPRISED OF 19 VOTING MEMBERS, 18 OF WHICH ARE CONSIDERED INDEPENDENT, AS DEFINED IN THE FORM 990 INSTRUCTIONS. FORM 990, PART V, LINE 1A, FORM 1096 NUMBER REPORTED IN BOX 3 OF FORM 1096 SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND THE SECTION 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 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 SECTION 501(C)(3) TAX EXEMPT ENTITY. FORM 990, PART VI, SECTION A, LINE 7A THE BOARD OF DIRECTORS, WHICH SERVED AS THE ORGANIZATION'S GOVERNING BODY, WAS ELECTED BY ITS SOLE MEMBER, SENTARA HEALTHCARE, A VIRGINIA NON-STOCK CORPORATION AND THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEALTH SYSTEM. FORM 990, PART VI, SECTION A, LINE 7B AS SOLE MEMBER, SENTARA HEALTHCARE, A VIRGINIA NONSTOCK CORPORATION AND THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEALTH SYSTEM, IS ENTITLED TO ONE VOTE ON ALL MATTERS AND HAS THE RIGHT TO ELECT AND REMOVE MEMBERS OF THE ORGANIZATION'S GOVERNING BODY; APPROVE ANY ALTERATION, AMENDMENT OR REPEAL OF ITS GOVERNING DOCUMENTS; APPROVE THE ANNUAL OPERATING AND CAPITAL BUDGET AND ALL FORMAL LONG-RANGE PLANS; APPROVE ANY SINGLE CAPITAL EXPENDITURE EXCEEDING $1 MILLION; APPROVE ALL BORROWING OR INDEBTEDNESS WHICH IN ANY ONE TRANSACTION OR RELATED SERIES OF TRANSACTIONS EXCEEDS $500,000; APPROVE 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 OF THE ORGANIZATION, OR REVOCATION OF VOLUNTARY DISSOLUTION PROCEEDINGS; REVIEW THE BOOKS AND RECORDS, CONDUCT AUDITS, AND APPROVE THE SELECTION OF AUDITORS CHOSEN TO CONDUCT AUDITS OF THE ORGANIZATION; AND APPROVE THE CREATION OR ACQUISITION OF ANY SUBSIDIARY OF THE ORGANIZATION, OR THE CREATION OF ANY OTHER CORPORATION OF WHICH THE ORGANIZATION IS TO BE A MEMBER, AND TO APPROVE ANY DISSOLUTION OR OTHER CHANGE IN ANY SUCH LEGAL RELATIONSHIP PREVIOUSLY APPROVED BY SENTARA HEALTHCARE. FORM 990, PART VI, SECTION B, LINE 11B A COPY OF THE ORGANIZATION'S FINAL FORM 990, AS ULTIMATELY FILED WITH THE IRS, WAS PROVIDED TO EACH VOTING MEMBER OF SENTARA HEALTHCARE'S GOVERNING BODY BEFORE BEING FILED. SENTARA HEALTHCARE IS A VIRGINIA NONSTOCK CORPORATION AND THE 501(C)(3) TAX EXEMPT PARENT OF THE SENTARA HEALTH SYSTEM ("THE SYSTEM".) THE ORGANIZATION 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. FORM 990, PART VI, SECTION B, LINE 12C DIRECTORS, BOARD-NOMINATED OFFICERS, AND KEY EMPLOYEES SUBMIT AN ANNUAL CONFLICT OF INTEREST QUESTIONNAIRE AND CERTIFY TO THE COMPLETION AND ACCURACY OF THE INFORMATION DISCLOSED. THE ORGANIZATION'S GOVERNING BOARD OR APPROPRIATE COMMITTEE MONITORS TRANSACTIONS INVOLVING DISCLOSED POTENTIAL CONFLICTS OF INTEREST, TO ENSURE THAT THEY ARE REASONABLE AND AT ARM'S LENGTH. 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 INTERESTS, 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 THE 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 32 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 CONFLICT OF INTERESTS. THIS PROCESS WAS USED TO ESTABLISH COMPENSATION FOR THE ORGANIZATION'S CHAIRMAN, PRESIDENT, SECRETARY AND TREASURER WHO ALSO SERVED AS PRESIDENT AND CEO, SENIOR VICE PRESIDENT, SENIOR VICE PRESIDENT AND COO, AND SENIOR VICE PRESIDENT AND CFO OF THE SYSTEM, RESPECTIVELY. THE PROCESS WAS LAST UNDERTAKEN DURING THE CURRENT TAX YEAR FOR ALL POSITIONS LISTED. 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. 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