2017-11-13T08:40:35-06:00 2016-12-31 454084437 WARREN AVERETT LLC 2500 ACTON ROAD BIRMINGHAM AL 35243 990 2016-01-01 630307306 THE CHILDREN'S HOSPITAL OF ALABAMA CHIL 2056389100 1600 SEVENTH AVENUE SOUTH BIRMINGHAM AL 35233 dawn walton CFO 2059399100 2017-09-13 1 JC Rouse P00081132 2059794100 2017-09-13 209.136.244.2 2017-09-13 11:38:10 CD P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 047C5972453F7B988A43F6A2F57E6085D7B799D7 2016 2017-02-10 21:41:12Z WILLIAM MICHAEL WARREN j 1600 SEVENTH AVENUE SOUTH BIRMINGHAM AL 35233 718377914 0 X WWW.childrensal.org X 1911 AL SPECIALTY ACUTE-CARE HOSPITAL PROVIDING INPATIENT AND OUTPATIENT MEDICAL SERVICES TO PEDIATRIC PATIENTS. 30 26 5519 1056 0 0 3119967 3293843 656266322 699385389 823825 1158279 10777295 8312151 670987409 712149662 0 0 0 0 289854366 305886186 0 0 0 389482816 360174650 679337182 666060836 -8349773 46088826 767122583 733433221 409373582 434375535 357749001 299057686 X The mission of the Children's Hospital of Alabama (the hospital) is to provide the finest pediatric health services to all children in an environment that fosters excellence in research and medical education. The Hospital will be an advocate for all children and work to educate the public about issues affecting children's health and well-being. 0 0 358582376 438211834 Children's Hospital is the 3rd largest and one of the top ten busiest pediatric medical center in the United States. It is the only pediatric renal care center, and the largest pediatric burn center in the Southeast. Children's operates 345 beds, which includes 48 NICU bassinets and 98 critical care beds in the following units: Cardiovascular, Pediatric, Neonatal, Special Care, Critical Care, Burn and Stem Cell Transplants. In 2016, Children's Hospital had 15,784 inpatient cases and 92,126 patient days. Inpatient surgery cases totaled 6,238 for 2016. The Children's Critical Care Transport team provides helicopter, jet and ground transport for critically ill and injured children. 190783506 212563929 Children's Hospital operates 13 outpatient specialty clinics that handle follow-up visits for patients as well as referrals from health departments across the state. These clinics provide services in Hemodialysis, Gastroenterology, Hematology/Oncology, Orthopedics, Urology, Otorinolaryngology, Neurology, Pulmonary Function, General Surgery, Dental, Behavioral Services, Speech and Hearing, Physical Therapy, Occupational Therapy, Heart Transplant and others. In 2016, these clinics had 263,430 visits and 19,339 outpatient surgeries were performed. The Hospital also provides a statewide and regional referral site for complex emergency patients. The Emergency Department had 60,566 visits in 2016. 50088870 55446760 The Hospital has a network of primary care practices throughout the state known as Pediatric Practice Solutions. It consists of 14 practices supporting 70 general pediatricians. In 2016, these practices provided 333,149 visits. 599454752 1 1 0 1 0 0 0 0 0 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 1 1 0 0 1 1 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 1 1 1 0 0 1 383 0 1 5519 1 0 1 CJ 0 0 0 0 0 0 0 0 X 30 26 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 X JENNY WAKEFORD 2056386778 1600 7TH AVENUE SOUTH BIRMINGHAM AL 35233 William Michael Warren Jr President & CEO 40.00 0.00 X X 603342 0 204912 RAYmond J Harbert Director 0.50 0.00 X 0 0 0 C Phillip McWane Director 0.50 0.00 X 0 0 0 W Charles Mayer VICE Chairman of the Board 0.50 0.00 X 0 0 0 Susan N Haskell Secretary 0.50 0.00 X 0 0 0 RICHARD J BIELEN Treasurer 0.50 0.00 X 0 0 0 J DAVID BROWN III Director 0.50 0.00 X 0 0 0 THOMAS N CARRUTHERS JR Director 0.50 0.00 X 0 0 0 DERROL DAWKINS MD Director 0.50 0.00 X 0 0 0 DAVID E DIXON Director 0.50 0.00 X 0 0 0 BETH G DUBINA Director 0.50 0.00 X 0 0 0 RALPH FROHSIN JR Director 0.50 0.00 X 0 0 0 JOHN O HUDSON III Director 0.50 0.00 X 0 0 0 DONALD M JAMES Director 0.50 0.00 X 0 0 0 VIRGINIA WALKER JONES Chairman of the Board 0.50 0.00 X 0 0 0 PHILIPPE W LATHROP Director 0.50 0.00 X 0 0 0 JAMES C LEE III DIRECTOR 0.50 0.00 X 0 0 0 THOMAS H LOWDER Director 0.50 0.00 X 0 0 0 L GWALTNEY MCCOLLUM JR Director 0.50 0.00 X 0 0 0 CHARLES D MCCRARY Director 0.50 0.00 X 0 0 0 ANN D MCMILLAN Director 0.50 0.00 X 0 0 0 BEVERLY b MCNEIL Director 0.50 0.00 X 0 0 0 CRAFT O'NEAL Director 0.50 0.00 X 0 0 0 MARGARET M PORTER Director 0.50 0.00 X 0 0 0 FREDERICK W RENNEKER III Director 0.50 0.00 X 0 0 0 BEN RUSSELL Director 0.50 0.00 X 0 0 0 LEE J STYSLINGER III Director 0.50 0.00 X 0 0 0 TEMPLE W TUTWILER III Director 0.50 0.00 X 0 0 0 MARC BRYANT TYSON Director 0.50 0.00 X 0 0 0 William E Horton DIRector 0.50 0.00 X 0 0 0 Thomas G Shufflebarger SR VP & COO 40.00 0.00 X 631990 0 137931 DAWN Walton Chief Financial Officer 40.00 0.00 X 543610 0 116928 MIKE MCDEVITT EXEC VP & CIO 40.00 0.00 X 470080 0 126773 Audie Woolley Pediatrician 40.00 0.00 X 982695 0 220003 Jimmy Scott Hill Pediatrician 40.00 0.00 X 980254 0 220003 Brian Wiatrak Pediatrician 40.00 0.00 X 984236 0 219977 David Kelly Pediatrician 40.00 0.00 X 829070 0 197733 ELIZABETH MROCZEK-MUSULMAN Pediatrician 40.00 0.00 X 713525 0 164893 6738802 0 1609153 317 0 1 0 UAHSF-Department of Pediatrics 1600 seveNTH AVENUE SOUTH BIRMINGHAM AL 35233 Huntsville, Emergency, subspecialty, moo 32991966 HOAR construction TWO METROPLEX DRIVE STE 400 BIRMINGHAM AL 35209 CONSTRUCTION 10238800 UAB HOSPITAL 619 19th Street South Ste 300 BIRMINGHAM AL 35249 Hospital Residents, REFERRED TESTING 9561071 Westerkamp Group LLC 1415 West 22nd Street Ste 710 Oakbrook IL 60523 Business Office 5322813 ALLSCRIPTS HEALTHCARE PO BOX 8538-0133 PHILADELPHIA PA 191710133 HEALTHCARE SOFTWARE SERCIVES 3877672 307 2524855 768988 3293843 PATIENT SERVICE 900099 696245879 696245879 MEDICAID DISPROPORTIONATE SHARE 900099 2711835 2711835 Gift Shop Revenue 900099 427675 427675 699385389 1135114 1135114 158 158 2367128 6228252 -3861124 -3861124 -3861124 23007 0 23007 23007 23007 GRADUATE MEDICAL 900099 4751924 4751924 CAFETERIA/VENDING 900099 3566368 3566368 PARKING 900099 1679206 1679206 2175777 2085210 90567 12173275 712149662 706222523 0 2633296 X 2249022 2024120 224902 248225507 223402956 24822551 38701094 34830985 3870109 16710563 15039507 1671056 302260 272034 30226 223313 200982 22331 56194730 50575257 5619473 1016182 914564 101618 11544540 10390086 1154454 3529400 3176460 352940 7809740 7028766 780974 61217959 55096163 6121796 7856962 7071266 785696 MEDICAL SUPPLIES 51623374 46461037 5162337 DRUGS 42912144 38620930 4291214 PROVIDER TAX 30017159 27015443 3001716 outsourced functions 11987044 10788340 1198704 73939843 66545856 7393987 666060836 599454752 66606084 0 90919984 89431695 779770 825065 60309698 71155919 14482929 13524868 23252213 14189049 1143741867 624043585 551622445 519698282 25755544 24608343 767122583 733433221 44412454 39104614 1500471 0 270064339 254376786 93396318 140894135 409373582 434375535 X 357749001 299057686 357749001 299057686 767122583 733433221 X 46088826 -104780141 X X 0 1 X 1 1 1 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 351146 351146 665709690 666060836 1000000 250000 0 0 1000000 1000000 1000000 1000000 4000000 6000000 294424 314322 336590 351146 1296482 250000 250000 250000 250000 1000000 1500000 part ii-a, line 1b the hospital belongs to certain organizations that engage in lobbying activities on behalf of their hospital members. Since this is a nonallowable expense, these organizations inform their members the portion of their dues that should be considered applicable to lobbying expenses so that the appropriate adjustment can be made. In an effort to determine which dues include lobbying expenses, we reviewed the invoices for all dues payments in excess of $10,000 and scheduled all other payments we were made aware of through various inquiry. 4800118 4800118 793171224 361667999 431503225 8166370 7016039 1150331 322329688 255359547 66970141 15274467 15274467 519698282 SALARIES PAYABLE 36126274 ACCRUED INTEREST PAYABLE 782222 PROFESSIONAL LIABILITY ACCRUAL 3076002 EXECUTIVE RETIREMENT PLAN 24259532 DUE TO AFFILIATE 76178031 ESTIMATED THIRD PARTY PAYOR SETTLEMENT 472074 140894135 X Part X, Line 2: The company is exempt from federal income taxes under Section 501(a) of the Internal Revenue Code as AN organization described in Section 501(c)(3). The Company adheres to the provisions of the Accounting Standards Codification relating to uncertainty in income taxes that requires entities to assess their uncertain tax positions for the likelihood that they would be overturned upon Internal Revenue Service (IRS) examination or upon examination by state taxing authorities. The Company has determined that it does not have any positions at December 31, 2016, that it would be unable to substantiate. The Company has filed its tax returns through December 31, 2015. The tax returns for the years ended December 31, 2013, and thereafter are subject to audit by the taxing authorities. 1 1 1 X 1 X 1 0 1 1 3933208 0 3933208 0.00600 358464079 321326064 37138015 0.05620 20563326 23868047 0 0.00000 382960613 345194111 41071223 0.06220 8573912 1507929 7065983 0.01070 17054069 1748981 15305088 0.02320 2629413 674517 1954896 0.00300 173338 0 173338 0.00030 0 0 28430732 3931427 24499305 0.03720 411391345 349125538 65570528 0.09940 0 1957658 680134 2850279 2636093 214186 X 0 1 1 CHILDREN'S HOSPITAL OF ALABAMA 1600 SEVENTH AVENUE SOUTH BIRMINGHAM AL 35233 X X X X X X THE CHILDREN'S HOSPITAL OF ALABAMA 1 0 0 1 X X X X X X X 16 1 0 0 1 X WWW.CHILDRENSAL.ORG 1 16 1 www.childrensal.org 0 1 X 200.000000000000 300.000000000000 X X 1 1 X X X 1 X www.childrensal.org X www.childrensal.org X www.childrensal.org X X X X X X 1 X 0 X X X 1 X 0 0 THE CHILDREN'S HOSPITAL OF ALABAMA Part V, Section B, Line 5: CoA (Children's of Alabama) conducted its Community Health Needs Assessment in between spring and fall 2016 with the help of PARCA (Public Affairs Research Council of Alabama). CoA invited stakeholders from both the primary service area and secondary service area to participate in an online survey to identify health needs for children in Alabama. Responding parties included school nurses and administrators, pediatricians, family practice physicians, community advocates and the community-at-large. In addition to this online survey tool, face-to-face and telephone interviews were conducted in summer 2016 with Alabama's public health leaders and community and nonprofit advocates. They were interviewed by PARCA leadership and chosen for their knowledge of medically and socially underserved areas, public health, health trends and pediatric health challenges. Interviewees were asked what they perceive as the greatest health needs for children in their specific communities and in the state of Alabama in general. THE CHILDREN'S HOSPITAL OF ALABAMA Part V, Section B, Line 11: In order to better support the health of children in its community and to comply with new federal regulations, in 2016 Children's of Alabama engaged The Public Affairs Research Council of Alabama to assist in conducting a community health needs needs assessment to identify health concerns for children across the state. The primary geographic focus of the assessment was on Children's of Alabama's local service area of Bibb, Blount, Chilton, Jefferson, Shelby, St. Clair, and Walker counties. The assessment included a secondary focus on health needs that span the state of Alabama. The Children's of Alabama Board of Trustees adopted an implementation plan and the Needs Assessment on December 15, 2016 to address identified community health needs for the next three years beginning in 2017. In 2016 Children's of Alabama continued its focus on identifying the root causes of asthma and educating the community-at-large on these causes and management of them. We continued this education through community forums, health fairs, school-based exercises, day cares and via the media. Regarding child safety, the other significant need identified in the most recently conducted CHNA (and again in the 2016 version), Children's aggressively realigned its child safety and education efforts, bringing the Alabama Safe Kids division under the leadership of the hospital's community action manager in fall 2016 and incorporating its mission into the goals of the philanthropic foundation, the division of corporate marketing and the government and community relations division. This increased collaboration between all key departments in the hospital will advance our efforts around child safety. Children's of Alabama also continued to participate in community-wide roundtables on mental health, healthy lifestyles, nutrition and child hunger and healthcare optimization and equity. We supported community partners where possible. THE CHILDREN'S HOSPITAL OF ALABAMA Part V, Section B, Line 20e: Signage is posted throughout the facility at entrances and all registration locations including the emergency department, waiting and admitting areas notifying patients and guarantors of the availability of financial assistance. Part I, Line 7: THE COSTING METHODOLOGY USED TO COMPLETE LINE 7 WAS AN OVERALL COST-TO-CHARGE RATIO COMPUTED USING THE IRS FORM 990 WORKSHEET 2, RATIO OF PATIENT CARE COST TO CHARGES. Part I, Line 7, Column (f): The Bad Debt expense included on Form 990, Part IX, Line 25, Column (A), but subtracted for purposes of calculating the percentage in this column is $ 5,569,440. Part II, Community Building Activities: In 2016 Children's participated in initiatives as defined under Part II, Community Building Activities. As we have done for the past two years, quarterly reporting by divisions throughout the hospital demonstrated thousands of cumulative hours of workforce development and training for health professionals through annual and seasonal internships. Hospital executives in 2016 continued their participation in community coalitions and other collaborative efforts such as the United Way of Central Alabama's Bold Goals, Auburn University's End Child Hunger in Alabama and the international Safe Kids consortium. Numerous other governmental and educational entities were tracked and monitored to ensure that health and safety issues were being addressed. In regards to leadership development, Children's of Alabama once again hosted numerous leadership groups in 2016 including Leadership Alabama. Our human resource department continued to participate in job and career fairs to recruit a broad spectrum of health professionals. Lastly, hospital executives served on a variety of community boards and organizations. Part III, Line 4: Receivables from patients, insurance companies and third-party contractual agencies are stated at net realizable value. The Hospital evaluates the collectability of its patient accounts receivable based on the length of time the receivable is outstanding, historical collection experience, review of large balance accounts and trends in health care insurance programs to estimate the appropriate allowance for doubtful accounts and provision for bad debts. For receivables associated with services provided to patients with third-party insurers, the Hospital estimates contractual allowances based on the terms of third-party insured contracts and estimates an additional allowance for doubtful accounts on patient responsible balances after third-party payments. For receivables associated with self-pay patients, the Hospital records a significant provision for bad debts in the period of service on the basis of its past experience, which indicates that many patients are unable or unwilling to pay the portion of their bill for which they are financially responsible. These allowances are recorded on an estimated basis and adjusted as needed in future periods. Doubtful accounts are written off against the allowance after adequate collection effort is exhausted and recorded as recoveries of bad debts if subsequently collected. PART III, LINE 2: THE COST OF BAD DEBT WRITE-OFFS AND THE related costs on line 3 were calculated by applying the overall cost to charge ratio of the organization to the charges written off. PART III, LINE 3: Bad debts attributable to patients eligible for charity care were calculated based on the outstanding patient balance in excess of a reasonable amount the average person could pay without creating a medical hardship. For 2016 this amount is $20,000, which approximates the income limit for a family of 4 in the Federal Poverty Guidelines. Charity care determinations are based on completing the required application and meeting defined criteria of the hospital. Many times patients fail to complete paperwork required despite efforts to educate and inform patients of this option. However based on socio-economic and other known factors, it is highly likely that these patients would meet established charity care criteria if the application process was completed. Part VI, Line 2: The HOSPITAL assesses the healthcare needs of the communities it serves by evaluating disease and injury data of patients that are served in the Hospital's clinics and that present in the Emergency Department, particularly around injury care. In addition, the HOSPITAL considers information provided by local pediatricians, The Center for Disease Control, and other national, state, and local healthcare groups. Part VI, Line 3: Each patient that presents as a self pay patient is directed to a financial counselor. The financial counselor educates patients and their families about government and FINANCIAL ASSISTANCE programs and assists with related applications. If a patient is not counseled by a financial counselor on the date of service, follow up attempts are made by the financial counselors and the business office to continue to inform and educate patients related to available programs. In addition, the FINANCIAL ASSISTANCE policy is posted on the Hospital's website and there is signage throughout the Hospital informing patients of the availability of a FINANCIAL ASSISTANCE program. Part VI, Line 4: THE HOSPITAL's primary service area is BIRMINGHAM-HOOVER METROPOLITAN STATISTICAL AREA AS DEFINED BY THE U.S. OFFICE OF MANAGEMENT AND BUDGET. The Hospital's secondary service area is defined as the rest of the state, and we care for patients from every county in the state. Demographic data including race, gender, and age is captured through the registration process. For 2016, Caucasians, African-Americans, Hispanics, and other races accounted for 55%, 37%, 6%, and 2%, respectively, of the patients served while 38%, 36%, and 26% were ages 0-4, 5-12, and 13+ years, respectively. Economic demographic data is not specifically captured however, in 2016 greater than 60% of the Hospital's patients qualified for governmental means-tested programs such as Medicaid and SCHIP. Part VI, Line 5: THE Hospital is the primary source of pediatric healthcare and pediatric health education in the State of Alabama through its affiliation with the School of Medicine at The University of Alabama at Birmingham. The Hospital operates an open medical staff, has a board comprised of community members, and operates an open emergency department that treats all emergent patients regardless of their ability to pay. The Hospital operates the only Level 1 pediatric trauma center, the only pediatric renal care center, and the only inpatient children's psychiatric unit in the state. In addition, the Hospital operates the largest pediatric burn center in the Southeast. The Hospital is education and research focused and collaborates with local universities, as well as those throughout the state, to train and educate future healthcare professionals. This is reflected by the fact that approximately 50-60% of the pediatricians practicing in the State of Alabama trained at THE Hospital and that the Hospital trained nursing students from 11 different colleges and universities during 2016. In addition, the Hospital participates in approximately 225 clinical research studies on an annual basis. X X X X 0 1 0 0 0 0 0 0 0 William Michael Warren Jr President & CEO 602049 0 0 0 1293 0 186369 0 18543 0 808254 0 0 0 Thomas G Shufflebarger SR VP & COO 403975 0 120000 0 108015 0 110102 0 27829 0 769921 0 106702 0 DAWN Walton Chief Financial Officer 349839 0 120000 0 73771 0 96126 0 20802 0 660538 0 72496 0 MIKE MCDEVITT EXEC VP & CIO 373764 0 95000 0 1316 0 103154 0 23619 0 596853 0 0 0 Audie Woolley Pediatrician 641402 0 340000 0 1293 0 97500 0 122503 0 1202698 0 0 0 Jimmy Scott Hill Pediatrician 638952 0 340000 0 1302 0 97500 0 122503 0 1200257 0 0 0 Brian Wiatrak Pediatrician 642936 0 340000 0 1300 0 97500 0 122477 0 1204213 0 0 0 David Kelly Pediatrician 354985 0 120360 0 353725 0 86731 0 111002 0 1026803 0 352430 0 ELIZABETH MROCZEK-MUSULMAN Pediatrician 295676 0 57633 0 360216 0 72996 0 91897 0 878418 0 358927 0 Part I, Line 4b WILLIAM MICHAEL WARREN, JR. - $186,369 THOMAS G. SHUFFLEBARGER - $110,102 DAWN WALTON - $96,126 MIKE MCDEVITT - $103,154 AUDIE WOOLLEY - $97,500 JIMMY SCOTT HILL - $97,500 BRIAN WIATRACK - $97,500 DAVID KELLY - $86,731 ELIZABETH MROCZEK-MUSULMAN - $72,996 A SPECIAL CARE FACILITIES FINANCING AUTH OF THE CTY OF BHAM - CHILDREN'S HOSP 631005621 090929FZ8 2012-02-24 26250000 Finance Expansion Facility 0 0 0 B SPECIAL CARE FACILITIES FINANCING AUTH OF THE CTY OF BHAM - CHILDREN'S HOSP 631005621 2012-06-28 74600000 Finance Expansion Facility 0 0 0 C SpeCIAL CARE FACILITIES FINANCING AUTH OF THE CTY OF BHAM - CHILDREN'S HOSP 631005621 090929GJ3 2015-09-12 153240000 Defease 2009 bonds on 9/12/15 0 0 0 A 26250000 26250000 0 0 1 1 B 74600000 74600000 0 0 1 1 C 153240000 1557595 0 1 1 1 A 0 0 0 0 0.00000 0.00000 0.00000 0 0 1 B 0 0 0 0 0.00000 0.00000 0.00000 0 0 1 C 0 0 0 0 0.00000 0.00000 0.00000 0 0 1 A 0 0 0 0 0 0 0 0 0 B 0 0 0 0 0 0 0 0 0 C 0 0 0 0 0 0 0 0 0 A 0 B 0 C 0 BUFFALO ROCK ENTITY MORE THAN 35% OWNED BY JAMES C. LEE, III, DIRECTOR 166381 VENDING 0 ALABAMA POWER CHARLES D. MCCRARY is former CEO & Donald M. James is a director of above 5079442 ELECTRICITY PROVIDER 0 Form 990, Part VI, Section A, line 2 Richard Bielen serves with Mr. Warren on the Board of Directors of a local insurance company. However, the Hospital has no material transactions with this insurance company. Thomas N. Carruthers, Jr. is a retired partner from a firm which acts as general counsel for the Hospital as well as counsel to the Obligated Group and Bond counsel. Mitchell Cohen has admitting privileges to the Hospital, is the chairman of the UAB Department of Pediatrics which has an affiliation agreement with the Hospital to provide certain medical services. He is a Board Member of the Ronald McDonald House. Mike Chen, M.D, occupied the Farley endowed chair, which is funded by the Foundation. He also acts as Surgeon In Chief and has admitting privILEGES to the Hospital. Derrol Dawkins, M.D. has admitting privileges to the Hospital. William E. Horton is an executive of a bank that is an underwriter and that currently provides the majority of the banking services to the Hospital. Donald M. James is a director of a bank which was an underwriter for the Hospital bonds. He also serves on the Board of a local utility that provides services to the Hospital. In addition, Mr. James is a director for UAB Health System and UAB Health Services Foundation, both of which have an affiliation agreement to provide medical services to the Hospital. virginia Walker Jones owns stock & is a director in a company that provides vending services to the Hospital. James C. Lee, III is the owner of a company that provides vending services to the Hospital. Charles D. McCrary serves as a Board member for a bank that was an underwriter and that currently provides the majority of the banking services to the Hospital. W. Jerry Oakes, M.D. occupied the Dan Hendley endowed chair, which is funded by the Foundation. Margaret M. Porter is a member of an advisory board for a bank that was an underwriter and that currently provides the majority of the banking services to the Hospital. Stuart A. Royal, M.D. occupied the Harry Burns endowed chair which was funded by The Foundation. Ben Russell is the founder and chairman of the board of a non-profit organization that leases space from the Hospital to provide family service activities to patients and their families. Lee J. Styslinger, III serves as a board member for a bank that is an underwriter and that currently provides the majority of the banking services to the Hospital. The Hospital believes that all business with such firms and businesses is conducted on terms and conditions no less favorable to the Hospital than that with unrelated third parties. Form 990, Part VI, Section B, line 11b THE COMPLETED FORM 990 IS REVIEWED IN DETAIL BY THE FINANCE AND AUDIT COMMITTEE, AS WELL AS THE BOARD OF TRUSTEES, PRIOR TO FILING THE RETURN. Form 990, Part VI, Section B, line 12c The Corporate Compliance Officer is responsible for monitoring compliance with the Conflict of Interest Policy. Annual disclosure requests are sent and followed up on to ensure that all are returned. Returned conflict of interest statements are reviewed by the Corporate Compliance Officer and Compliance department staff as well as officers of the organization for accuracy and completeness. Conflict of interest statements are maintained by the compliance department. The compliance officer reports activity related to any potential conflicts of interest, including changes in previously reported conflicts to administration, the Compliance Committee, the Finance & Audit Committee, and the Board of Trustees on a regular basis. Form 990, Part VI, Section B, line 15 The Hospital maintains oversight concerning all executive compensation action. This process is led by the Hospital Board of Trustees Compensation Committee, which is involved annually, and throughout the year as needed, in providing oversight of all Executive compensation. Total compensation (i.e., base salary, incentive compensation, and executive benefits) of Officers, key employees, and other vice-presidents is approved by the Compensation Committee prior to such compensation being paid. The total compensation that is presented for approval is determined by evaluation of market data comparisons on executive total compensation. This independent, objective market data is provided by the Hospital's independent executive compensation consulting firm, Mercer. All Compensation Committee proceedings, decisions, and actions are documented in Committee minutes that are maintained by the Hospital. Form 990, Part VI, Section C, line 19 The Conflict of Interest policy is summarized in the Corporate Code of Conduct which is available on the Hospital's website. The governing documents and financial statements are not generally available to the public, although the audited financial statements are filed as part of this 990 and filed on the Electronic Municipal Market Access ("EMMA") section of the Municipal Securities Rulemaking Board as we maintain public debt. Quarterly disclosures are also filed on EMMA. Form 990, Part IX, line 24e LAB EXPENSE: Program service expenses 9,841,572. Management and general expenses 1,093,508. Fundraising expenses 0. Total expenses 10,935,080. MAINTENANCE: Program service expenses 8,958,393. Management and general expenses 995,377. Fundraising expenses 0. Total expenses 9,953,770. EQUIPMENT RENTAL AND MAINTENANCE: Program service expenses 8,950,108. Management and general expenses 994,456. Fundraising expenses 0. Total expenses 9,944,564. MISCELLANEOUS EXPENSE: Program service expenses 6,402,572. Management and general expenses 711,397. Fundraising expenses 0. Total expenses 7,113,969. BAD DEBT EXPENSE: Program service expenses 5,012,496. Management and general expenses 556,944. Fundraising expenses 0. Total expenses 5,569,440. CONSULTING FEES: Program service expenses 4,443,490. Management and general expenses 493,721. Fundraising expenses 0. Total expenses 4,937,211. CONTRACT LABOR: Program service expenses 4,348,823. Management and general expenses 483,203. Fundraising expenses 0. Total expenses 4,832,026. MINOR MEDICAL EQUIPMENT: Program service expenses 3,859,567. Management and general expenses 428,841. Fundraising expenses 0. Total expenses 4,288,408. SUPPLIES: Program service expenses 3,361,438. Management and general expenses 373,493. Fundraising expenses 0. Total expenses 3,734,931. TRANSPORTATION: Program service expenses 3,035,846. Management and general expenses 337,316. Fundraising expenses 0. Total expenses 3,373,162. TELEPHONE: Program service expenses 1,502,051. Management and general expenses 166,895. Fundraising expenses 0. Total expenses 1,668,946. PROFESSIONAL DUES: Program service expenses 1,395,849. Management and general expenses 155,094. Fundraising expenses 0. Total expenses 1,550,943. SUBSCRIPTIONS AND PUBLICATIONS: Program service expenses 727,309. Management and general expenses 80,812. Fundraising expenses 0. Total expenses 808,121. BILLING EXPENSE: Program service expenses 719,087. Management and general expenses 79,899. Fundraising expenses 0. Total expenses 798,986. BANKING FEES: Program service expenses 573,546. Management and general expenses 63,727. Fundraising expenses 0. Total expenses 637,273. REGISTRATION FEES: Program service expenses 481,178. Management and general expenses 53,464. Fundraising expenses 0. Total expenses 534,642. PRINTING AND PUBLICATIONS: Program service expenses 450,710. Management and general expenses 50,079. Fundraising expenses 0. Total expenses 500,789. COLLECTION FEES: Program service expenses 434,180. Management and general expenses 48,242. Fundraising expenses 0. Total expenses 482,422. POSTAGE AND SHIPPING: Program service expenses 366,762. Management and general expenses 40,751. Fundraising expenses 0. Total expenses 407,513. Interpreting and Translation Expense: Program service expenses 349,080. Management and general expenses 38,787. Fundraising expenses 0. Total expenses 387,867. MEALS: Program service expenses 314,039. Management and general expenses 34,896. Fundraising expenses 0. Total expenses 348,935. LODGING: Program service expenses 290,286. Management and general expenses 32,254. Fundraising expenses 0. Total expenses 322,540. Gift shop expenses: Program service expenses 221,273. Management and general expenses 24,586. Fundraising expenses 0. Total expenses 245,859. NOVELTIES: Program service expenses 217,845. Management and general expenses 24,205. Fundraising expenses 0. Total expenses 242,050. SPECIAL FUNCTIONS: Program service expenses 188,756. Management and general expenses 20,973. Fundraising expenses 0. Total expenses 209,729. RECOGNITIONS: Program service expenses 99,600. Management and general expenses 11,067. Fundraising expenses 0. Total expenses 110,667. Form 990, Part XI, line 9: TRANSFER TO ALABAMA CHILDREN'S HOSPITAL FOUNDATION -104,779,529. CONTRIBUTION OF EQUITY of TCH VENTURES, inc. -612. FORM 990, PART XI, LINE 2C: THE HOSPITAL MADE NO CHANGES TO ITS OVERSIGHT PROCESS OR SELECTION PROCESS DURING THE TAX YEAR. tch ventures llc 1600 seventh avenue south birmingham AL 35233 630942442 holding company AL 0 5523 the children's hospital of alabama ALABAMA CHILDREN'S HOSPITAL FOUNDATION 1600 SEVENTH AVENUE SOUTH BIRMINGHAM AL 35233 630879471 FUNDRAISING ACTIVITIES AL 501(C)(3) Line 12b, II THE CHILDREN'S HOSPITAL OF ALABAMA 1 THE CHILDREN'S HOSPITAL AUXILIARY 1600 SEVENTH AVENUE SOUTH BIRMINGHAM AL 35233 630774930 FUNDRAISING ACTIVITIES AL 501(C)(3) Line 12c, III-FI N/A 0 HOLY INNOCENTS INDEMNITY LTD PO BOX 10073 APO GRAND CAYMAN GRAND CAYMAN CJ 980436612 INSURANCE CJ THE CHILDREN'S HOSPITAL OF ALABAMA C 3828329 29504641 1.00000 1 0 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 ALABAMA CHILDREN'S HOSPITAL FOUNDATION B 105210000 FAIR MARKET VALUE ALABAMA CHILDREN'S HOSPITAL FOUNDATION E 41147275 FAIR MARKET VALUE HOLY INNOCENTS INDEMNITY LLC D 37384 FAIR MARKET VALUE HOLY INNOCENTS INDEMNITY LLC R 3416366 FAIR MARKET VALUE ALABAMA CHILDREN'S HOSPITAL FOUNDATION C 430471 FAIR MARKET VALUE