2017-11-15T15:15:19-06:00 2016-12-31 450250958 Eide Bailly LLP 800 Nicollet Mall Ste 1300 Minneapolis MN 554027033 990 2016-01-01 742517055 Schoolcraft Memorial Hospital SCHO 9063413200 7870 US Hwy 2 Manistique MI 49854 Boyd Chappell Chief Financial Officer 9063413200 2017-11-15 1 Kim Hunwardsen CPA P00484560 6122536500 2017-11-15 198.135.124.75 2017-11-15 14:57:40 CS P 6C9B1A35775087DBDB8A6D25ECA509C7F6C27838 F6CCFCC9BA9C612BF295D4DB650AF8F15E682770 2016 2017-02-10 21:41:12Z Robert Crumb 7870 US Hwy 2 Manistique MI 49854 30393589 0 X www.SCMH.org X 1950 MI Provide comprehensive inpatient, outpatient, emergency, medical clinic, and home health services. 9 9 280 40 0 0 10900 65780 28279202 30240223 37252 51426 169480 31078 28496834 30388507 0 0 0 0 16720214 17937109 0 0 0 12603753 12933323 29323967 30870432 -827133 -481925 30810200 30435340 31235532 31342597 -425332 -907257 X Schoolcraft Memorial Hospital is committed to providing quality healthcare and wellness for the people of our community. 0 0 15848098 23077172 Schoolcraft Memorial Hospital (SMH), a component unit of Schoolcraft County, is organized under Public Act of 230 and is a county hospital corporation that operates a 12-bed acute care facility. SMH provides comprehensive inpatient, outpatient, emergency, medical clinic, and home health services in total. Healthcare is offered in at least 30 specialties, some of which include cardiology, neurology, general and orthopedic surgery, a 24-hour physician staffed emergency room, a walk-in clinic, physical and occupational therapy, cardiac rehabilitation, and a wide range of diagnostic services including a full-service laboratory, x-ray, mammography, CT scans, MRI's, and nuclear medicine. SMH is an equal opportunity provider and employer. During 2016 SMH had 1,524 acute and swing bed patient days, 502 inpatient and outpatient surgeries, 40,362 outpatient visits, and 8,326 home health visits.The Hospital provides health care services to patients who meet certain criteria under its charity care policy without charge or at amounts less than established rates. Since the Hospital does not pursue collection of these amounts, they are not reported as patient service revenue. The estimated cost of providing these services was $80,000 in 2016, calculated by multiplying the ratio of cost to gross charges for the Hospital by the gross uncompensated charges associated with providing charity care to its patients. 3842754 3627439 SMH owns a provider based rural health clinic, which had nine physicians, two physician assistants, and three nurse practitioners. SMH had 25,155 RHC visits in 2016. 1899613 3535612 SMH offers 24/7 emergency services staffed with a physician who is on-site. SMH treats all patients, regardless of their ability to pay. SMH had 4,765 ER visits in 2016. 21590465 1 0 0 1 0 0 0 0 0 0 1 1 0 0 1 0 1 0 0 0 0 0 0 0 0 0 1 1 0 0 1 0 0 0 1 0 0 0 0 0 0 0 0 0 1 0 0 0 1 34 0 1 280 1 0 0 0 0 0 0 0 0 0 0 X 9 9 0 0 0 0 0 1 0 1 0 0 0 1 1 1 1 1 1 1 1 0 X Boyd Chappell 9063413233 7870 US Hwy 2 Manistique MI 49854 Donald J Perigo Chair 1.00 X X 6348 0 0 Donald Bedwell Vice Chairperson 1.00 X X 1882 0 0 Clyde Strasler Treasurer 1.00 X X 3003 0 0 Marcia Tevelde Secretary 1.00 X X 1101 0 0 James Harmes Trustee 1.00 X 2286 0 0 Richard Hueter Trustee 1.00 X 2329 0 0 Georganne Verigan Trustee 1.00 X 1854 0 0 Jennifer Watson Trustee 1.00 X 1351 0 0 Ernie Krueger Trustee 1.00 X 0 0 0 Robert Crumb CEO 40.00 X 56762 0 2914 Jeanne Goche Interim CEO (Jan 2016 to Aug 2016) 40.00 X 157726 0 0 Duane Colter Interim CFO (Apr 2016 to Oct 2016) 40.00 X 108480 0 0 Boyd Chappell CFO (as of Nov 2016) 40.00 X 16619 0 1133 David Schoenow ER Physican 40.00 X 388344 0 33220 Louis Kusnier ER Physican 40.00 X 377228 0 33220 Gregory Bambach General Surgeon 40.00 X 463098 0 33220 John Galey Orthopedic Surgeon 40.00 X 618338 0 33220 Tracie Burch ER Physican 40.00 X 377362 0 18000 2584111 0 154927 13 0 1 0 UP Health Care Solutions 853 W Washington St Marquette MI 49855 MRI Services 336458 Marquette General Hospital 580 W College Ave Marquette MI 498552711 Lab & EKG Services 269712 CompHealth PO Box 972670 Dallas TX 753972670 Medical Staffing Services 226712 Green Bay Oncology Ltd 1726 Shawano Ave Green Bay WI 54303 Oncology Services 168000 Shahar Madjar MD 18 Lakeview Dr Marquette MI 49855 Urology Services 121890 6 65780 65780 Net Patient Revenue 621990 28689240 28689240 340B Retail Pharmacy Revenue 900099 1240529 1240529 Meaningful Use Revenue 900099 63750 63750 246704 246704 30240223 51426 51426 36160 5082 31078 31078 31078 30388507 30240223 0 82504 363788 363788 13092139 8175338 4916801 1575052 958536 616516 2034244 1280031 754213 871886 529886 342000 12841 12841 63815 63815 3163 3163 2660551 1863837 796714 11439 11439 2144544 1991781 152763 847937 816545 31392 150226 83919 66307 82123 57808 24315 973221 973221 2275890 2251834 24056 53529 53529 Medical Supplies 2466825 2466825 Provision for Bad Debts 790525 790525 Dietary 138620 138620 Dues and Licenses 77651 55613 22038 180423 117928 62495 30870432 21590465 9279967 0 7776 5007899 1995787 284 2774654 2732999 15208 11250 62941 34231 575174 571617 240147 191832 33708368 14617021 20740443 19091347 2364138 443589 2918998 942369 522857 30810200 30435340 2008264 2047179 9953 22674326 22315240 6542989 6980178 31235532 31342597 X -1102977 -1735829 677645 828572 -425332 -907257 30810200 30435340 -481925 0 X 0 1 X 1 0 X 0 0 0 0 0 0 0 0 1 3163 3163 0 Part II-B, Line 1: SMH is a member of the American Hospital Association (AHA) and the Michigan Health and Hospital Association (MHA). A portion of the membership dues for these organizations is used for lobbying $1,676 MHA and $1,487 AHA. 659709 659709 22977560 6709151 16268409 10052449 7907248 2145201 18650 622 18028 19091347 Pension Outflows Investment 2918998 F 2918998 Capital Leases 450572 Pension Liability 6178982 Deferred Pension Inflows 350624 6980178 28610887 -1763746 -1763746 30374633 13874 13874 30388507 29111768 5082 5082 29106686 1763746 1763746 30870432 Part XI, Line 2d - Other Adjustments: Provision for Bad Debts Reported in Revenue on Financial Statements -790,525. Interest Expense Reported in Revenue on Financial Statements -973,221. Part XI, Line 4b - Other Adjustments: Rental Expenses Reported in Expenses on Financial Statements -5,082. Capital contributions included in fund balance on Financial Statements 18,956. Part XII, Line 2d - Other Adjustments: Rental Expenses Reported in Expenses on Financial Statements 5,082. Part XII, Line 4b - Other Adjustments: Provision for Bad Debts Reported in Revenue on Financial Statements 790,525. Interest Expense Reported in Revenue on Financial Statements 973,221. 1 1 X 1 X 0 1 1 0 1 1 80000 80000 0.00270 4476526 4301721 174805 0.00580 4556526 4301721 254805 0.00850 1235707 654210 581497 0.01930 1235707 654210 581497 0.01930 5792233 4955931 836302 0.02780 0 790525 608704 10103854 10299904 -196050 X 1 1 1 1 Schoolcraft Memorial Hospital 7870 US Hwy 2 Manistique MI 49854 www.SCMH.org M899262 X X X X Provider Based Rural Health Clinic Schoolcraft Memorial Hospital 1 0 0 1 X X X X X X X X X 16 1 0 0 1 X See Part V, Page 8 X X 1 16 1 See Part V, Page 8 0 1 X 200.000000000000 X X X 1 1 X X 1 X www.scmh.org/financial-assistance-policy X www.scmh.org/financial-assistance-policy X X X X X 1 X X 0 X X X X 1 X 0 0 Schoolcraft Memorial Hospital Part V, Section B, Line 5: A broad cross-section of health & human service professionals was called together as an assessment advisory committee (see CHNA report, Appendix A). At the initial meeting, there was a great deal of discussion about the health needs of the community, In the two months following this meeting, there were four focus groups held in four locations in the hospital's service area. The focus groups were made up of non-professional community residents - the elderly, clients of goodwill industries, Sault tribal members were some of the groups represented. Please see the CHNA report, page 6, section D. "How Data was Obtained" for a complete description. Schoolcraft Memorial Hospital Part V, Section B, Line 7d: As a part of the implementation strategy, there will be hard copy binders containing the report that will be distributed to various communities within Manistique, such as the public library, etc. This is currently in process. There have been several newsletter articles in hospital-based publications, some of which are distributed in the community, keeping the community apprised about progress on the CHNA and availability of the report & implementation strategy. Schoolcraft Memorial Hospital Part V, Section B, Line 11: Due to the timing of the completion of the CHNA, no actions were taken on the needs identified during the current year. However, the communication staff relations team at Schoolcraft Memorial Hospital will be working on the CHNA initiatives in early 2017. The committee plans to form connections in the community to address the priority needs identified below: Need #1: Parent education on nutrition, health, child development, job skills, and other topics to help strengthen families, especially those caught in an intergenerational cycle of poverty, low educational attainment and low expectations, to improve the health of the next generation.Objective 1.a: Develop SMH as a community learning center, in collaboration with a variety of community partners, to promote knowledge and behavior changes for a healthier population.Objective 1.b: Be a partner in a new coalition to be led by MDHHS to reduce and manage childhood trauma that can manifest in poor outcomes later in life.Need #2: HPSA designation for mental health services, and primary care (and provider shortages for medical specialties.) Objective 2.a: Research, plan and develop a provider network to improve access to care for behavioral health (mental health counseling and substance abuse treatment) through telehealth, in collaboration with neighboring underserved counties.Objective 2.b: Research, plan and develop a provider network to improve access to primary and specialty medical care through telehealth, in collaboration with neighboring underserved counties.Need #3: A growing population of elderly residents, many living in rural isolation, with limited means, diminishing capabilities, and chronic diseases.Objective 3.a: Strengthen and publicize the system of free medical transport to bring elderly patients to the rural clinic and other hospital services.Objective 3.b: Work with community partners including agencies and volunteers to improve access for the elderly to food assistance and help with chores and household needs. Schedule H, Part V, Section B, Line 7a: http://www.scmh.org/community/community-health-needs-assessment/ Schedule H, Part V, Section B, Line 10a: http://www.scmh.org/community/community-health-needs-assessment/ 1 2 - SMH Homecare & Hospice Agency 115 N Lake St Manistique MI 49854 Homecare and Hospice Part I, Line 3c: Schoolcraft Memorial Hospital offers a self-pay discount of 41% of gross charges for uninsured patients regardless of income. Part I, Line 6a: The community benefit report was made available to the public on the Hospital's website at www.SCMH.org/community/community-benefits/. Part I, Ln 7 Col(f): The amount of bad debt expense backed out of total expenses to determine the percentage was $790,525. Part III, Line 2: SCMH employs a patient financial services counselor who tracks the amount of actual monthly write-offs. All patients with bad-debt accounts are contacted and offered community care applications. Approximately 77% of patients do not return an application or any information required to qualify for community care. Self-pay discounts are applied to patient accounts before balances are deemed to be bad-debt. Part III, Line 3: The amount listed on line 3 is an estimate of community care applications not returned. Approxiamtely 77% of applications were not returned that may have qualified for community care. Part III, Line 4: The footnote to the organization's financial statements that describes bad debt expense can be found on page 14 and 15 of the attached audited financial statements. Part III, Line 8: The shortfall amount is the difference between cost and PPS reimbursement. It should be considered as community benefit as this amount is not included in bad-debt and no effort is made to collect this shortfall. In addition, providing services to the Medicare population is a community benefit as the elderly are a charitable class and providing them with healthcare helps the community. Part III, Line 9b: Schoolcraft Memorial Hospital works with patients to help them qualify for financial assistance. If a patient does not complete the financial assistance application or provide the required documentation, SCMH follows the same collection efforts as it does with other delinquent accounts. SCMH will attempt to work with the patient to set up a payment plan or make payment on the amount. If the patient does not respond the SCMH efforts, the account is referred to an external collection agency. Part VI, Line 2: The CHNA is the only formal assessment of broad scope that the hospital has utilized in recent years to assess the health care needs of the community. The CHNA was completed in 2016 and is posted to the website www.SCMH.org. The needs identified in the CHNA include steps to: research, plan and develop a provider network to improve access to care for behavioral health; work with community partners to improve access to food assistance for elderly and low income residents of Schoolcraft County. Part VI, Line 3: Schoolcraft Memorial Hospital posts a summary of its charity care policy, and financial assistance contact information in admissions areas, emergency rooms, and other areas of the organization's facilities in which eligible patients are likely to be present; (2) provides a summary of the policy, and financial assistance contact information to patients as part of the intake process; (3) includes a statement regarding the policy, along with financial assistance contact information, on patient bills; and assists the patient with qualification for charity care where applicable. Part VI, Line 4: Schoolcraft Memorial Hospital primarily provides services to the residents of Schoolcraft County. The county is 1,884 square miles of which 1,178 is land, and 706 is water. As of July 1, 2016 the populations is estimated to be 8,001. Approximately 28.7% is estimated to be 62 years and older. As of 2015 the median household income in the county was $34,118. The unemployment rate was at 7.4%. The percentage of individuals whose income was below the poverty level was 21.4% as of July, 2015.Schoolcraft Memorial Hospital is the only hospital in the county. The nearest hospital is approximately 50 miles from Schoolcraft Memorial Hospital. Schoolcraft County is not designates as a Medically Underserved Area. It has been designated as a low-income health care professional shortage area. Part VI, Line 5: SMH donates staff (board members) and health care services in the amount of $70,000/year to the low-income uninsured clients of the medical care access coalition, Schoolcraft county office. The hospital has one staff person on the executive board of the Eastern Upper Peninsula Crisis Response team, and several additional staff person who provide critical incident response interventions to first responders, schools, hospital staff, businesses, etc., throughout the region following an emotionally traumatic critical/crisis incident. The hospital has taken a leading role with the Sault Tribe Strategic Allicance for Health in planning and developing a farmers' market (the first in Manistique), as well as assisting in the planning for several miles of new sidewalk and safer intersections for the benefit of local schoolchildren and to encourage increased physical activity among all residents to fight the obesity epidemic. The hospital has a staff person who participates as a part of a local suicide & bullying prevention coalition and gives time to local awareness activities such as the annual suicide memorial vigil. The hospital has several staff person who actively participate as a part of the local substance abuse prevention task force. The hospital wellness committee plans and implements activities in the schools to encourage nutritious eating habits and increase physical activity. The hospital donates staff time to the Great Start Collaborative and other early childhood programs toward the development of annual strategic plans, fundraising efforts, etc. One of the hospital's social workers is a trained Medicare/Medicaid assistance program counselor who sees about 200 people per year during the "open window" for Medicare Part D enrollment, and assistas others throughout the year upon request. A hospital social worker is a certified child passenger safety seat technician and assists low income families that are unable to afford safety seats by providing a new seat and instructing in their safe installment. The hospital has the majority of the vendor booths and low cost or free screenings and services provided at the annual community health fair. The social workers educate and assist community members in completing advance directives. A social worker actively participates in the planning and on the day of the Walk to End Alzheimer's Diesease as well as sitting on the regional board of the Alzheimer's Association. Part VI, Line 7, Reports Filed With States MI Part V, line 16c The organization did not have a plain language summary of its finanical assistance policy available during 2016. However, a summary of the criteria for financial assistance and the policy was on the website along with a link to the policy and application. A more formal plain language summary will be posted in November 2017. X 0 0 X X X 0 0 0 0 0 0 0 0 0 Jeanne Goche Interim CEO (Jan 2016 to Aug 2016) 157726 0 0 0 0 0 0 0 0 0 157726 0 0 0 David Schoenow ER Physican 365256 0 0 0 23088 0 18000 0 15220 0 421564 0 0 0 Louis Kusnier ER Physican 359223 0 0 0 18005 0 18000 0 15220 0 410448 0 0 0 Gregory Bambach General Surgeon 439086 0 0 0 24012 0 18000 0 15220 0 496318 0 0 0 John Galey Orthopedic Surgeon 594316 0 0 0 24022 0 18000 0 15220 0 651558 0 0 0 Tracie Burch ER Physican 377340 0 0 0 22 0 18000 0 0 0 395362 0 0 0 Part I, Line 1a Three of the highest compensated employees received housing allowances: John Galey $3,500, Gregory Bambach $1,000 and Tracie Burch $2,180. The housing allowance was taxed to the employees. Gregory Bambach Physician signing bonus X 50000 11250 0 1 0 11250 Form 990, Part VI, Section A, line 7a Board members may elect new board members as vacancies occur. Appointments to the Board must be ratified by the county commissioners. Form 990, Part VI, Section A, line 8b The organization does not have any committees with the authority to act on behalf of the governing body. Form 990, Part VI, Section B, line 11b SMH sends Form 990 and all accompanying schedules to the full board for review prior to its filing. The CFO/CEO will give a presentation to the board going over the 990. The full board will have an opportunity to ask questions. At that time they will then approve the 990 for filing. Form 990, Part VI, Section B, line 12c All board members and officers are required to complete the conflict of interest statement annually. This form requires board members and officers to indicate whether during the past year there were any conflicts of interest. This is reviewed by the board annually to identify any potential issues. Any board member or officer having a conflict of interest or possible conflict of interest should not vote or use their personal influence on the matter and they should not be counted as a part of the quorum for the meeting. Form 990, Part VI, Section B, line 15 Salary guidelines are set by independent committees using comparability data. These guidelines are then used to negotiate a contract with the CEO. The CEO determines the CFO's compensation by using comparabilty data. Both processes are completed on an annual basis. Form 990, Part VI, Section C, line 19 The organization makes its governing documents, conflict of interest policy, and financial statements are available to the public upon request. Schoolcraft County Board of Commissioners 300 Walnut Street 155 Manistique MI 49854 386004891 Enact and administer local ordinances MI N/A 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0