2017-11-13T13:23:20-06:00 2016-12-31 560747981 DIXON HUGHES GOODMAN LLP 500 RIDGEFIELD COURT ASHEVILLE NC 28806 990 2016-01-01 581454711 METHODIST LE BONHEUR HEALTHCARE METH 9015160543 1211 UNION AVENUE No 700 MEMPHIS TN 38104 CHRISTOPHER MCLEAN EXEC. VP / CFO 9015160543 2017-11-13 1 Amy Bibby P00445891 8282542254 2017-11-07 12.25.12.224 2017-11-13 13:15:33 ES P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 ADBFC64F84809A3D359AE279AE52D225AAF16287 2016 2021-01-29 14:40:06Z GARY SHORB 1211 UNION AVENUE No 700 MEMPHIS TN 38104 153306843 0 X WWW.METHODISTHEALTH.ORG X 1982 TN MANAGEMENT AND SUPERVISION OF AFFILIATED HOSPITALS 24 20 1383 0 729329 90382 0 0 136236023 146257318 11660119 -957539 7204641 7437064 155100783 152736843 3543444 1090548 0 0 108338527 109680030 0 0 0 49279648 47027514 161161619 157798092 -6060836 -5061249 1069980323 1084253672 814326307 770359904 255654016 313893768 X METHODIST LE BONHEUR HEALTHCARE, IN PARTNERSHIP WITH ITS MEDICAL STAFFS, WILL COLLABORATE WITH PATIENTS AND THEIR FAMILIES TO BE THE LEADER IN PROVIDING HIGH QUALITY, COST-EFFECTIVE PATIENT AND FAMILY-CENTERED CARE. SERVICES WILL BE PROVIDED IN A MANNER WHICH SUPPORTS THE HEALTH MINISTRIES AND SOCIAL PRINCIPLES OF THE UNITED METHODIST CHURCH TO BENEFIT THE COMMUNITIES WE SERVE. 0 0 38064784 1090548 146257318 AT METHODIST LE BONHEUR HEALTHCARE (MLH), WE TAKE OUR MISSION SERIOUSLY AND ARE COMMITTED TO FULFILLING OUR SOCIAL RESPONSIBILITY BY GIVING BACK TO THE COMMUNITY IN A MEANINGFUL WAY. MLH HAS CONTINUED TO BE THE LARGEST PROVIDER OF TENNCARE SERVICES IN THE STATE AND OUR FACILITIES SERVE ALL AREAS OF THE CITY AND COUNTY. AS A FAITH-BASED INSTITUTION, PROVIDING ACCESS TO HEALTHCARE FOR ALL OF THE COMMUNITY IS VERY IMPORTANT TO US. PLEASE SEE OUR EXTENDED DESCRIPTION OF PROGRAM SERVICE ACCOMPLISHMENTS IN SCHEDULE O. IN ADDITION, PLEASE VISIT OUR WEBSITE FOR A POSTING OF THE MOST CURRENT COMMUNITY BENEFIT REPORT AT: www.methodisthealth.org/articles/community-involvement 38064784 1 0 0 1 0 0 0 0 0 0 1 1 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 247 0 1 1383 1 1 1 0 0 0 0 0 0 0 0 0 X 24 20 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 1 1 X X SUE WAUGH 9015160656 1211 UNION AVE SUITE 600 MEMPHIS TN 38104 X ALAN GRAF JR BOARD CHAIRMAN 2.00 7.00 X X 0 0 0 MARK MEDFORD BOARD VICE CHAIRMAN 2.00 7.00 X X 0 0 0 DAVID BECKLEY BOARD SECRETARY 2.00 2.00 X X 0 0 0 LARRY BRYAN BOARD MEMBER 2.00 0.00 X 0 0 0 HARRY GOLDSMITH BOARD MEMBER 2.00 1.00 X 0 0 0 CAROLYN HARDY BOARD MEMBER 2.00 2.00 X 0 0 0 LISA KLESGES BOARD MEMBER (thru june) 2.00 2.00 X 0 0 0 JACKSON MOORE BOARD MEMBER 2.00 5.00 X 0 0 0 BILLY ORGEL BOARD MEMBER 2.00 3.00 X 0 0 0 DENISE WOOD BOARD MEMBER 2.00 3.00 X 0 0 0 Luke Yancy BOARD MEMBER (thru june) 2.00 1.00 X 0 0 0 GEORGE CATES BOARD MEMBER 2.00 6.00 X 0 0 0 DAVID LEGGETT MD BOARD MEMBER 2.00 0.00 X 0 0 0 HOLLIS HALFORD MD BOARD MEMBER 2.00 4.00 X 0 0 0 BISHOP BILL MCALILLY BOARD MEMBER 2.00 1.00 X 0 0 0 BISHOP GARY MUELLER BOARD MEMBER 2.00 1.00 X 0 0 0 STEVE SCHWAB MD BOARD MEMBER 2.00 2.00 X 0 0 0 DAVID STERN MD BOARD MEMBER 2.00 2.00 X 0 0 0 HEATHER SWANSON MD BOARD MEMBER 2.00 38.00 X 0 302175 26804 BISHOP JAMES E SWANSON SR BOARD MEMBER 2.00 1.00 X 0 0 0 CARTER TOWNE MD BOARD MEMBER 2.00 2.00 X 0 0 0 SYED ZAIDI MD BOARD MEMBER 2.00 0.00 X 0 0 0 HAROLD FORD JR BOARD MEMBER (BEGAN JUNE) 2.00 0.00 X 0 0 0 JOHNNY MOORE BOARD MEMBER (BEGAN JUNE) 2.00 0.00 X 0 0 0 DAVID RUDD BOARD MEMBER (BEGAN JUNE) 2.00 0.00 X 0 0 0 GARY SHORB CEO 44.00 6.00 X X 1915680 0 156695 MICHAEL UGWUEKE COO 48.00 2.00 X 1032254 0 202098 CHRIS MCLEAN CFO/TREASURER 36.00 14.00 X 947055 0 194618 NIKKI POLIS SVP - CHIEF NURSING OFFICER 44.00 6.00 X 433857 0 90175 DONNA ABNEY EXECUTIVE VICE PRESIDENT 48.00 2.00 X 603100 0 62369 DAVID BAYTOS SVP - MS 10.00 40.00 X 626493 0 83354 HARRY DURBIN SVP - F&H 48.00 2.00 X 278916 0 47182 CATO JOHNSON SVP - Public Policy 48.00 2.00 X 510762 0 48010 MARK MCMATH SVP - CMIO 48.00 2.00 X 359016 0 79525 HUGH JONES III SVP - STRATEGIC PLANNING 48.00 2.00 X 328212 0 68758 CAROL ROSS-SPANG SVP - HUMAN RESOURCES 48.00 2.00 X 533740 0 120970 SUSAN THURMOND SVP - CHIEF QUALITY OFFICER 48.00 2.00 X 671566 0 50470 WILLIAM BREEN JR SVP - PHYSICIAN ALLIGNMENT 48.00 2.00 X 567512 0 106586 LYNN FIELD VP - CHIEF LEGAL OFFICER 42.00 8.00 X 297943 0 60020 MITCH GRAVES SVP - PRESIDENT/CEO OF HEALTH CHOICE 44.00 6.00 X 499453 0 119711 SANDRA DE LEEUW VP - TRANSITIONAL CARE 40.00 X 275319 0 54774 CYNTHIA DAVIS VP - CIO/Ambulatory Service 40.00 X 315639 0 48810 LARRY FOGARTY VP - Materials Management 40.00 X 350596 0 66249 DAVID ROSENBAUM VP - Corp Facilities Manage 40.00 X 326310 0 55919 EUGENIO FERNANDEZ VP - Chief Technology Officer 40.00 X 306242 0 43507 11179665 302175 1786604 20 0 1 0 People 2o Global Inc PO Box 536853 Atlanta GA 303536853 Nursing Staff 22353539 Cerner Corporation PO Box 412702 Kansas City MO 641412702 System Maintenance 15148725 Medical Center Associates PO Box 10000 Memphis TN 381480304 Rental Fees 2844768 BELZ CONSTRUCTION SERVICES LLC PO BOX 10001 Memphis TN 381730661 CONTRUCTION 2459461 First Source Solutions USA LLC 6455 Reliable Pkwy Chicago IL 606860064 Collection Agency 1365792 33 AFFILIATE MANAGEMENT 900099 146745048 146745048 INVESTMENT IN SUBSIDIARIES 900099 -487730 -487730 146257318 -676245 -676245 288706 288706 186126 0 186126 186126 186126 570000 -570000 -570000 -570000 MISCELLANEOUS REVENUE 900099 7085500 729329 6356171 HEALTHSOUTH SERVICES 900099 165438 165438 7250938 152736843 146257318 729329 5750196 X 1090548 1090548 11096095 11096095 77179974 15687789 61492185 6462838 6462838 9383311 1449009 7934302 5557812 1090860 4466952 2245757 2245757 47306 47306 593500 593500 17864319 4187969 13676350 2163521 283731 1879790 13039801 11232579 1807222 16163539 1433835 14729704 4494097 757289 3736808 683343 146371 536972 645632 171763 473869 -4633188 -4633188 11398234 228617 11169617 919625 17122 902503 RECRUITMENT 1391906 1391906 MISCELLANEOUS EXPENSES 342722 10023 332699 Medical Supplies 277279 277279 intercompany EXP. TRANS -20609879 -20609879 157798092 38064784 119733308 0 37307934 38781372 225000 225000 62932 252339 6098781 6043948 183851407 137340469 44423074 46510938 760594171 876060158 191063789 83115414 16021483 19125427 14183159 14139076 1069980323 1084253672 80390846 65962361 550612557 524826825 183322904 179570718 814326307 770359904 X 255654016 313893768 255654016 313893768 1069980323 1084253672 X -5061249 18429395 44871606 X X 0 1 X 1 1 1 X X 6 METHODIST HEALTHCARE-MEMPHIS HOSPITALS 620479367 3 1 23428668 0 METHODIST HEALTHCARE-FAYETTE HOSPITAL 620862334 3 1 46105 0 METHODIST HEALTHCARE COMMUNITY CARE ASSOCIATES 621403517 10 1 277509 0 ALLIANCE HEALTH SERVICES INC 620841121 10 1 4277888 0 METHODIST EXTENDED CARE HOSPITAL INC 621518342 3 1 107765 0 METHODIST HEALTHCARE - OLIVE BRANCH HOSPITAL 640889822 3 1 1054668 0 6 29192603 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 PART I, LINE 11(G): THE ORGANIZATION PROVIDES SUPPORT FOR ITS SUPPORTED ORGANIZATIONS BY PROVIDING EXPENSE REIMBURSEMENTS AND MANAGMENT OVERSIGHT. THE AMOUNTS PRESENTED ON PART I, LINE 11(H) AS SUPPORT ARE THE VALUES OF EXPENSE REIMBURSEMENTS PROVIDED TO THE VARIOUS ORGANIZATIONS FOR THE TAX YEAR, WITH THE EXCEPTIONS BELOW WHICH INCLUDE DIRECT TRANSFERS TO EQUITY. - ALLIANCE HEALTH SERVICES, INC. EXPENSE REIMBURSEMENT: 3,938,040 0 0 0 1 0 0 1 0 1 593500 593500 0 Part II-B, Line 1: THE ORGANIZATION MADE PAYMENTS TO VARIOUS LOBBYING ORGANIZATIONS THROUGHOUT THE YEAR TO ENGAGE IN LOBBYING ACTIVITIES ON ITS BEHALF. TOTAL AMOUNTS PAID FOR LOBBYING EQUALED $593,500. SPECIFIC AMOUNTS USED TO ENGAGE IN EACH OF THE ACTIVITIES IN LINE 1C-I IS UNKNOWN, AS THEY WERE PERFOMRED BY THIRD PARTIES. 7039999 7039999 9960430 4418652 5541778 3325807 2762953 562854 155267747 129301817 25965930 8257424 857047 7400377 46510938 115414 F CORPORATE BONDS 83000000 C 83115414 ACCRUED PENSION EXPENSE 115433894 SWAP MARKET VALUE 62896219 OTHER LIABILITIES 1240605 179570718 X 216037844 18429395 56074561 74503956 141533888 11202955 11202955 152736843 157798092 0 157798092 0 157798092 Part X, Line 2: THE ORGANIZATION CONSOLIDATES ITS AUDIT WITH ITS SUBSIDIARIES. THE FOLLOWING STATEMENT REFLECTS THE FIN 48 FOOTNOTE OF THE CONSOLIDATED GROUP. THE INTERNAL REVENUE SERVICE HAS DETERMINED THAT THE SYSTEM AND ALL OF THE NONPROFIT AFFILIATES FOR WHICH THE SYSTEM OR ITS BOARD OF DIRECTORS IS CONTROLLING MEMBER ARE EXEMPT FROM FEDERAL INCOME TAX UNDER INTERNAL REVENUE CODE (IRC) SECTION 501(A) AS ORGANIZATIONS DESCRIBED IN SECTION 501(C)(3). AS QUALIFIED TAX-EXEMPT ORGANIZATIONS, THE SYSTEM'S NONPROFIT AFFILIATES MUST OPERATE IN CONFORMITY WITH THE IRC TO MAINTAIN THEIR TAX-EXEMPT STATUS. INCOME TAX FROM THE OPERATIONS OF THE SYSTEM'S WHOLLY OWNED FOR-PROFIT SUBSIDIARY, AMBULATORY OPERATIONS, INC., AND ITS SUBSIDIARIES IS NOT SIGNIFICANT. THE SYSTEM APPLIES FASB ASC TOPIC 740 (TOPIC 740), ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES. TOPIC 740 CLARIFIES THE ACCOUNTING FOR UNCERTAINTY IN INCOME TAX POSITIONS AND PROVIDES GUIDANCE ON WHEN TAX POSITIONS ARE RECOGNIZED IN AN ENTITY'S FINANCIAL STATEMENTS AND HOW THE VALUES OF THESE POSITIONS ARE DETERMINED. THERE HAS BEEN NO IMPACT ON THE SYSTEM'S COMBINED FINANCIAL STATEMENTS AS A RESULT OF TOPIC 740. Part XI, Line 2d - Other Adjustments: NONRECUR GAIN IN SUBS 10,042,754. EQUITY TRANSFER FROM AFFILIATES 46,031,807. Part XI, Line 4b - Other Adjustments: CHANGE IN VALUE OF MINIMUM PENSION LIABILITY 2,592,681. LOSS ON EXTINGUISHMENT ON DEBT 8,610,274. 1 American RED CROSS 1399 Madison Avenue mEMPHIS TN 38104 530196605 501(C)(3) 6457 Program Support American Heart Association PO Box 4002900 DES MOINES TN 503402900 135613797 501(C)(3) 47700 GENERAL EVENT SUPPORT AND SPONSORSHIP AUTOZONE LIBERTY BOWL 959 Ridgeway Loop Road Suite 101 MEMPHIS TN 38120 626064769 501(c)(4) 6000 2015 AUTOZONE LIBERTY BOWL Boys & Girls Club of Greater Memphis 44 S REMBERT ST MEMPHIS TN 381044004 620646371 501(C)(3) 15000 GOLF TOURNAMENT SUPPORT DONATION Christian Medical And Dental Association 2023 W HOUSTON WAY GERMANTOWN TN 381396933 362284267 501(C)(3) 10000 Support CMDA fall banquet & golf classic EXCHANGE CLUB CARL PERKINS PO BOX 447 JACKSON TN 38302 621123112 501(C)(3) 5200 EXCHANGE CLUB PLATINUM TABLE SPONSORSHIP Germantown Performing Arts Center 1801 EXETER RD GERMANTOWN TN 381382934 581652763 501(C)(3) 17000 Gpac Season Sponsorship Greater Memphis Chamber Of CommeRce 22 N FRONT ST STE 200 MEMPHIS TN 381032100 620291250 501(C)(6) 61800 CHAIRMANS' LUNCHEON AND ANNUAL MEMBERSHIP RENEWAL Leadership Memphis 119 S MAIN ST STE 425 MEMPHIS TN 381033673 621043517 501(C)(3) 32990 Scholarships March of Dimes 5384 Poplar Avenue Suite 107 Memphis TN 38119 131846366 501(C)(3) 15000 March of Dimes for Babies event MEMPHIS BIOWORKS FOUNDATION 20 S Dudley Avenue Suite 900 Memphis TN 38103 621858660 501(C)(3) 250000 Program Support Memphis Branch Naacp 588 Vance Avenue Memphis TN 38126 620637884 N/A 10000 PLATINUM TABLE SPONSORSHIP AND 2015 FREEDOM FUND GALA Memphis Business Group on Health 5050 POPLAR AVE STE 509 MEMPHIS TN 381570509 621241760 501(C)(3) 5300 2015 Annual MBGH Conference MEMPHIS BUSINESS JOURNAL 651 OAKLEAF OFFICE LANE MEMPHIS TN 38117 621337680 N/A 5950 8*-SUPER WOMEN IN BUSINESS, TABLE SPONSORSHIP, TOP 40 UNDER 40 EVENT Memphis Shelby Crime Commission 600 JEFFERSON AVE STE 400 MEMPHIS TN 38105 621693848 501(C)(3) 5000 OPERATION SAFE COMMUNITY Memphis Theological Seminary 168 E PARKWAY S MEMPHIS TN 381044340 626012228 501(C)(3) 5000 DREAM MAKER SPONSORSHIP Memphis Tomorrow 22 N FRONT ST STE 670 MEMPHIS TN 381032168 621867308 501(C)(3) 50000 MIEG PERFORMANCE MANAGEMENT Mid-South Minority Business Council 158 MADISON AVE STE 300 MEMPHIS TN 381032682 621198163 501(C)(3) 78766 2015 ECONOMIC DEVELOPMENT FORUM, MEMPHIS BUSINESS ACADEMY AND ROBERT CHURCH AWARD LUNCHEON SPONSORSHIP National Civil Rights Museum 450 Mulberry MEMPHIS TN 38103 581484027 501(C)(3) 16500 DIAMOND LEVEL SPONORSHIP NEW MEMPHIS INSTITUTE 22 North Front Street Suite 500 Memphis TN 38103 581607228 501(C)(3) 15000 ORGANIZATIONAL SUPPORT Tennessee Medical Foundation PO BOX 120909 NASHVILLE TN 372120909 620541813 501(C)(3) 5000 ORGANIZATIONAL SUPPORT University Of Memphis Foundation ONE N FRONT ST MEMPHIS TN 381032189 626048540 501(C)(3) 12500 ORGANIZATIONAL SUPPORT 100 BLACK MEN OF MEMPHIS INC 3925 CHELSEA EXT MEMPHIS TN 38108 621456812 501(C)(3) 10000 ORGANIZATIONAL SUPPORT ARTHRISTIS FOUNDATION 1355 PEACHTREE STREET NE SUITE 600 ATLANTA GA 30309 581341679 501(C)(3) 5000 ORGANIZATIONAL SUPPORT BALLET MEMPHIS 7950 TRINITY ROAD CORDOVA TN 38018 621018942 501(C)(3) 5000 ORGANIZATIONAL SUPPORT COMMITTEE FOR ECONOMIC DEVELOPMENT 25000 ORGANIZATIONAL SUPPORT COMMON TABLE HEALTH ALLIANCE 6027 WALNUT GROVE ROAD NO 215 MEMPHIS TN 38120 621820264 501(C)(3) 85000 ORGANIZATIONAL SUPPORT COMMUNITY FOUNDATION OF OFG 1900 UNION AVENUE MEMPHIS TN 381044029 581723645 501(C)(3) 5000 ORGANIZATIONAL SUPPORT GOVERNOR'S FOUNDATION 511 UNION STREET NO 720 NASHVILLE TN 37219 453635908 501(C)(3) 50000 ORGANIZATIONAL SUPPORT JUVENILE DIABETES FOUNDATION 26 BROADWAY 15TH FL NEW YORK NY 10004 231907729 501(C)(3) 7000 ORGANIZATIONAL SUPPORT MAKE A WISH FOUNDATION MID SOUTH 1780 MORIAH WOODS BLVD NO 10 MEMPHIS TN 38117 621253153 501(C)(3) 5000 ORGANIZATIONAL SUPPORT MEMPHIS AREA LEGAL SERVICES INC 22 N FRONT ST NO 1100 MEMPHIS TN 38103 620841436 501(C)(3) 5000 ORGANIZATIONAL SUPPORT MEMPHIS MEDICAL DISTRICT 50000 ORGANIZATIONAL SUPPORT METHODIST FOUNDATION 1211 UNION AVENUE NO 450 MEMPHIS TN 38104 237320638 501(C)(3) 50000 ORGANIZATIONAL SUPPORT NATIONAL KIDNEY FOUNDATION 30 EAST 33RD STREET NEW YORK NY 10016 131673104 501(C)(3) 5000 ORGANIZATIONAL SUPPORT OVERTON PARK CONSERVANCY 1914 POPLAR AVENUE STE 202 MEMPHIS TN 38104 452031097 501(C)(3) 10000 ORGANIZATIONAL SUPPORT PROJECT TRANSFORMATION 522 RUSSELL ST NASHVILLE TN 372064114 453265261 501(C)(3) 15000 ORGANIZATIONAL SUPPORT SOULSVILLE FOUNDATION 926 E MCLEMORE AVE MEMPHIS TN 38106 621719414 501(C)(3) 5000 ORGANIZATIONAL SUPPORT ST JOHN'S UNITED METHODIST CHURCH 1207 PEABODY AVENUE MEMPHIS TN 38104 620595323 501(C)(3) 15000 ORGANIZATIONAL SUPPORT VISION PREPARATORY CHARTER SCHOOL 260 JOUBERT AVE MEMPHIS TN 38109 453734882 501(C)(3) 7440 ORGANIZATIONAL SUPPORT 39 2 Part I, Line 2: GRANTS ARE MADE IN ACCORDANCE WITH THE METHODIST LE BONHEUR HEALTHCARE MISSION STATEMENT OF PROVIDING RESOURCES TO EXTEND HEALTH CARE THROUGH THE METHODIST LE BONHEUR HEALTHCARE SERVICE AREA. ALL GRANT REQUESTS ARE REVIEWED AND APPROVED BY A GROUP OF EXECUTIVES CONSISTING OF THE CEO, COO, CFO AND EVP OF METHODIST LE BONHEUR HEALTHCARE. X 1 1 X X X X X 0 1 0 0 0 0 0 1 0 HEATHER SWANSON MD BOARD MEMBER 0 301875 0 0 0 300 0 16562 0 10242 0 328979 0 0 GARY SHORB CEO 984903 0 765473 0 165304 0 141621 0 15074 0 2072375 0 421155 0 MICHAEL UGWUEKE COO 683820 0 209091 0 139343 0 187477 0 14621 0 1234352 0 161567 0 CHRIS MCLEAN CFO/TREASURER 618928 0 237759 0 90368 0 179997 0 14621 0 1141673 0 129069 0 NIKKI POLIS SVP - CHIEF NURSING OFFICER 304451 0 93216 0 36190 0 82386 0 7789 0 524032 0 45914 0 DONNA ABNEY EXECUTIVE VICE PRESIDENT 181063 0 309808 0 112229 0 52127 0 10242 0 665469 0 277648 0 DAVID BAYTOS SVP - MS 327414 0 206631 0 92448 0 73112 0 10242 0 709847 0 149761 0 HARRY DURBIN SVP - F&H 150977 0 97332 0 30607 0 9331 0 37851 0 326098 0 46365 0 CATO JOHNSON SVP - Public Policy 288049 0 171319 0 51394 0 33830 0 14180 0 558772 0 94272 0 MARK MCMATH SVP - CMIO 302766 0 29933 0 26317 0 65287 0 14238 0 438541 0 0 0 HUGH JONES III SVP - STRATEGIC PLANNING 277756 0 0 0 50456 0 49213 0 19545 0 396970 0 0 0 CAROL ROSS-SPANG SVP - HUMAN RESOURCES 337910 0 102695 0 93135 0 110728 0 10242 0 654710 0 105909 0 SUSAN THURMOND SVP - CHIEF QUALITY OFFICER 388580 0 220939 0 62047 0 42592 0 7878 0 722036 0 122542 0 WILLIAM BREEN JR SVP - PHYSICIAN ALLIGNMENT 335394 0 132231 0 99887 0 95527 0 11059 0 674098 0 124829 0 LYNN FIELD VP - CHIEF LEGAL OFFICER 245553 0 46284 0 6106 0 46143 0 13877 0 357963 0 0 0 MITCH GRAVES SVP - PRESIDENT/CEO OF HEALTH CHOICE 328005 0 116142 0 55306 0 105926 0 13785 0 619164 0 56185 0 SANDRA DE LEEUW VP - TRANSITIONAL CARE 200701 0 30853 0 43765 0 42832 0 11942 0 330093 0 39820 0 CYNTHIA DAVIS VP - CIO/Ambulatory Service 257254 0 51832 0 6553 0 30323 0 18487 0 364449 0 0 0 LARRY FOGARTY VP - Materials Management 267581 0 52317 0 30698 0 52760 0 13489 0 416845 0 26201 0 DAVID ROSENBAUM VP - Corp Facilities Manage 217887 0 40745 0 67678 0 46457 0 9462 0 382229 0 0 0 EUGENIO FERNANDEZ VP - Chief Technology Officer 242360 0 49979 0 13903 0 29768 0 13739 0 349749 0 10177 0 Part I, Line 1a A HOUSING ALLOWANCE IS PROVIDED TO ONE CLERGYMAN FOR MINISTERIAL SERVICES PROVIDED TO PATIENTS AND THEIR FAMILIES. THIS AMOUNT IS INCLUDED IN BOX 14 OF THE EMPLOYEE'S W-2. Part I, Line 4b THE PURPOSE OF THE METHODIST LE BONHEUR HEALTHCARE CONSOLIDATED EXECUTIVE DEFERRED COMPENSATION PLAN IS TO PROVIDE RETIREMENT BENEFITS FOR CERTAIN EXECUTIVE LEVEL EMPLOYEES IN ADDITION TO THE BENEFITS PROVIDED THROUGH THE OTHER RETIREMENT PLANS THAT ARE SPONSORED BY THE COMPANY. IT IS INTENDED THAT THIS PLAN COMPLY WITH INTERNAL REVENUE CODE SECTION 457(F) AND QUALIFY FOR THE SHORT TERM DEFERRAL EXCEPTION TO CODE SECTION 409A. UNDER THE PLAN, CORPORATE EXECUTIVES AT OR ABOVE THE VICE PRESIDENT LEVEL ARE ELIGIBLE TO RECEIVE EXECUTIVE DEFERRED COMPENSATION CREDITS DEPENDING ON THEIR POSITION CLASSIFICATION [6%,8%,10%,12% OF BASE SALARY]. EACH PLAN YEAR, THE EXECUTIVE MUST ELECT A DEFERRED VESTING DATE TO BE APPLIED TO THE DEFERRED COMPENSATION CREDIT THAT WILL BE EARNED IN THAT PLAN YEAR. THE DEFERRED VESTING DATE IS SUBJECT TO A VESTING SCHEDULE THAT REQUIRES A MINIMUM DEFERRAL OF 5 YEARS TO BECOME VESTED. UPON REACHING AGE 55, THE MINIMUM DEFERRAL IS REDUCED TO 3 YRS. UPON REACHING AGE 60, THE MINIMUM DEFERRAL IS REDUCED TO 2 YRS. AT AGE 64, A CASH EQUIVALENT IS PROVIDED TO THE EXECUTIVE AND NO ADDITIONAL DEFERRALS ARE MADE UNDER THIS PLAN. THE PLAN IS UNFUNDED WITH ALL BENEFITS PAID FROM THE COMPANY'S GENERAL ASSETS. HOWEVER, THE EXECUTIVE IS ALLOWED TO DIRECT THE INVESTMENTS OF HIS DEFERRED COMPENSATION CREDIT IN A MENU OF INVESTMENT ALTERNATIVES MADE AVAILABLE BY THE COMPANY. UPON VESTING, A DISTRIBUTION IS PROVIDED LESS THE APPLICABLE TAX. IN THE CASE OF A VOLUNTARY TERMINATION OF EMPLOYMENT BY THE EXECUTIVE OR INVOLUNTARY TERMINATION OF EMPLOYMENT FOR CAUSE BY THE COMPANY, THE NON-VESTED FUNDS ARE FORFEITED. ACCELERATED VESTING (100%) IS ALLOWED UPON DEATH, DISABILITY OR AN INVOLUNTARY TERMINATION BY THE COMPANY WITHOUT CAUSE. ALLOCATIONS TO THE 457(F) PLAN FOR THE YEAR INCLUDE THE FOLLOWING: CHRISTOPHER MCLEAN - $74,991 NIKKI POLIS - 39,351 LARRY FOGARTY - 21,854 EUGENIO FERNANDEZ - 14,884 MITCH GRAVES - 39,928 CYNTHIA DAVIS - 15,766 LYNN FIELD - 14,957 MICHAEL NESBIT - 7,544 DAVID BAYTOS - 40,148 MICHAEL UGWUEKE - 103,226 DONNA ABNEY - 21,925 CAROL ROSS-SPANG - 41,156 WILLIAM BREEN JR.- 44,802 EDWARD RAFALSKI - 20,655 MARK MCMATH - 39,409 ALLOCATIONS TO THE SERP PLAN FOR THE YEAR INCLUDE THE FOLLOWING: CHRISTOPHER MCLEAN - $25,991 CAROL ROSS-SPANG - 9,766 THE FOLLOWING INDIVIDUALS RECEIVED 457(F) PAYOUTS. THIS AMOUNT REPRESENTS THE FULLY VESTED PORTION PURSUANT TO THE 457(F) PLAN. THIS AMOUNT WAS REFLECTED IN COLUMN (C) ON THE PRIOR YEARS FORM 990 AS REQUIRED. PAYOUTS FROM THE 457(F) PLAN FOR THE YEAR INCLUDE THE FOLLOWING: CHRISTOPHER MCLEAN - $80,657 NIKKI POLIS - 29,308 MITCH GRAVES - 41,291 DAVID BAYTOS - 44,209 LARRY FOGARTY - 26,201 MICHAEL UGWUEKE - 127,728 DONNA ABNEY - 108,100 CAROL ROSS-SPANG - 83,489 MICHAEL NESBIT - 52,030 IN ADDITION, SEVERAL EXECUTIVES RECEIVED AN EXECUTIVE RETIREMENT LUMP SUM PAYOUT. THIS AMOUNT REPRESENTS THE FULLY VESTED PORTION PURSUANT TO THE 457(F) PLAN. THIS AMOUNT WAS REFLECTED IN COLUMN (C) ON THE PRIOR YEAR'S FORM 990 AS REQUIRED. PAYOUTS FROM THE EXECUTIVE RETIREMENT PLAN FOR THE YEAR: GARY SHORB - $118,636 SUSAN THURMOND - 44,856 HARRY DURBIN - 22,119 CATO JOHNSON - 35,014 Part I, Line 7 THE MANAGEMENT INCENTIVE PLAN INTENDS TO REWARD MANAGEMENT FOR THE ACHIEVEMENT OF PERFORMANCE AGAINST A PRE-ESTABLISHED SET OF BALANCED AND CHALLENGING GOALS. THE PLAN ALSO INCLUDES A PROVISION THAT DEFERS VESTING OF A PORTION OF THE AWARD SUBJECT TO CONTINUED EMPLOYMENT (WITH A SUBSTANTIAL RISK OF FORFEITURE) TO ENCOURAGE RETENTION OF EXECUTIVES. AT THE AGE OF 64 AND HAVING 5 YEARS' SERVICE, ALL UNVESTED DEFERRALS WILL VEST AND BE PAID AS SOON AS ADMINISTRATIVELY FEASIBLE IN THE CALENDAR YEAR OF THE VESTING EVENT. THIS PLAN IS REVIEWED BY AN EXTERNAL THIRD-PARTY CONSULTANT. A THE HEALTH EDUCATIONAL & HOUSING FACILITY BOARD OF THE COUNTY OF SHELBYTN 521283414 821697VM8 2004-09-15 161400000 ADVANCE REFUNDING, CAPITAL ACQUISITION 0 0 0 B THE HEALTH EDUCATIONAL & HOUSING FACILITY BOARD OF THE COUNTY OF SHELBYTN 521283414 821697ZK8 2008-06-12 270000000 CURRENT REFUNDING, CAPITAL ACQUISITION 0 0 0 C THE HEALTH EDUCATIONAL & HOUSING FACILITY BOARD OF THE COUNTY OF SHELBYTN 521283414 821697YF0 2008-06-12 112198412 CURRENT REFUNDING 0 0 0 D THE HEALTH EDUCATIONAL & HOUSING FACILITY BOARD OF THE COUNTY OF SHELBYTN 521283414 821697g45 2012-05-16 101481257 CAPITAL ACQUISITION 0 0 0 A 10430000 129770000 167873784 12577508 2586587 6941323 3689402 135028234 2005 0 1 1 1 B 3735000 271776008 10242910 1355713 18285740 187388948 65615000 2010 1 0 1 1 C 88325000 114444118 10094613 964513 100014058 1998 1 0 1 1 D 101481299 1481257 100000000 2010 0 0 1 1 A 0 0 1 1 1 1 0.00090 0.00000 0.00090 0 0 1 B 0 0 1 1 1 1 0.08300 0.00000 0.08300 0 0 1 D 0 0 1 1 1 1 0.02600 0.00000 0.02600 0 0 1 A 0 0 0 1 0 1 JP MORGAN CHASE NA 11.600000000000 0 0 0 0 1 B 0 0 0 1 1 1 JP MORGAN CHASE NA 25.400000000000 0 0 0 0 1 C 0 0 0 1 0 0 0 0 1 D 0 0 1 0 0 0 0 0 1 A 0 B 0 C 0 D 0 Date Rebate Computation Performed Issuer Name: THE HEALTH, EDUCATIONAL & HOUSING FACILITY BOARD OF THE COUNTY Date the Rebate Computation was Performed: 09/15/2016 Issuer Name: THE HEALTH, EDUCATIONAL & HOUSING FACILITY BOARD OF THE COUNTY Date the Rebate Computation was Performed: 06/12/2016 Issuer Name: THE HEALTH, EDUCATIONAL & HOUSING FACILITY BOARD OF THE COUNTY Date the Rebate Computation was Performed: 06/12/2016 SCHEDULE K, PART II, LINE 3, TOTAL PROCEEDS: AMOUNTS REPORTED ON LINE 3 INCLUDE INVESTMENT EARNINGS ON BOND PROCEEDS AS FOLLOWS: BOND [A]: SALE PROCEEDS: $ 161,400,000 INVESTMENT EARNINGS: 6,473,784 TOTAL TO LINE 3: $ 167,873,784 BOND [C]: SALE PROCEEDS: $ 270,000,000 INVESTMENT EARNINGS: 1,776,008 TOTAL TO LINE 3: $ 271,776,008 BOND [D]: SALE PROCEEDS: $ 112,198,412 INVESTMENT EARNINGS: 2,245,706 TOTAL TO LINE 3: $ 114,444,118 BOND [E]: SALE PROCEEDS: $ 101,481,257 INVESTMENT EARNINGS: 42 TOTAL TO LINE 3: $ 101,481,299 BOND [E]: SALE PROCEEDS: $ 120,000,000 INVESTMENT EARNINGS: 0 TOTAL TO LINE 3: $ 120,000,000 SCHEDULE K, PART II, LINE 11, OTHER SPENT PROCEEDS: THE AMOUNTS PRESENTED ON LINE 11 REPRESENT BOND PROCEEDS USED TO CURRENTLY AND ADVANCE REFUND PRIOR ISSUES, AS NOTED IN PART II, LINES 14 AND 15. SCHEDULE K, PART III, BOND [D]: THE PROCEEDS OF THE BONDS REPORTED IN COLUMN [D] WERE USED ENTIRELY TO REFUND BOND ISSUES DATED PRIOR TO JANUARY 1, 2003 (EXCEPT AMOUNTS USED FOR COSTS OF ISSUANCE AND RESERVE FUNDS AS NOTED IN PART II); THEREFORE, PART III IS NOT APPLICABLE TO THE BONDS IN COLUMN [D]. A THE HEALTH EDUCATIONAL & HOUSING FACILITY BOARD OF THE COUNTY OF SHELBYTN 521283414 NONEAVAIL 2016-05-17 120000000 CAPITAL ACQUISITION 0 0 0 A 120000000 575000 120000000 2015 0 0 1 0 A 0 0 0 1 1 0.00100 0.00000 0.00100 0 0 1 A 0 0 0 0 0 0 0 0 1 FORM 990, PART III, LINE 4A: BY FAR, THE LARGEST PERCENTAGE OF MLH IS THE METHODIST HEALTHCARE-MEMPHIS HOSPITALS (MHMH) WHICH INCLUDES METHODIST UNIVERSITY HOSPITAL, METHODIST NORTH HOSPITAL, METHODIST SOUTH HOSPITAL, METHODIST LE BONHEUR GERMANTOWN HOSPITAL AND LE BONHEUR CHILDREN'S HOSPITAL. COMBINED, THESE ENTITIES HAVE GIVEN SIGNIFICANTLY TO THEIR SURROUNDING COMMUNITIES WITH THE SUPPORT OF METHODIST LE BONHEUR HEALTHCARE. IN 2016 MLH CONTRIBUTED $237 MILLION IN COMMUNITY BENEFIT TO MEMPHIS AND THE MID-SOUTH THROUGH VARIOUS EFFORTS INCLUDING, CHARITY CARE, MEDICARE/TNCARE SHORTFALL, MEDICAL EDUCATION, AND COMMUNITY HEALTH IMPROVEMENT SERVICES. FURTHER INFORMATION ON THE EDUCATION AND HEALTH SERVICES IS INCLUDED IN THIS REPORT. MLH ALSO PROVIDED MORE THAN $1.09MILLION IN CASH AND IN-KIND CONTRIBUTIONS TO CHARITABLE ORGANIZATIONS, IN ADDITION TO THE $237 MILLION IN COMMUNITY BENEFIT. MEDICAL EDUCATION AND RESEARCH: METHODIST LE BONHEUR HEALTHCARE SUPPORTS MEDICAL EDUCATION AND RESEARCH VIA DIRECT SALARY AND BENEFIT CONTRIBUTIONS TO THE UNIVERSITY OF TENNESSEE GRADUATE MEDICAL SCHOOL TO COVER THE COST OF GRADUATE MEDICAL TRAINING POSITIONS (GME) AT METHODIST UNIVERSITY HOSPITAL, LE BONHEUR CHILDREN'S MEDICAL CENTER, AND METHODIST LE BONHEUR GERMANTOWN HOSPITAL. THESE GME RESIDENTS AND FELLOWS ARE EMPLOYEES AND TRAINEES AT THE UNIVERSITY OF TENNESSEE. THE FINANCIAL SUPPORT PROVIDED BY MLH COVERS THEIR TIME AND EFFORT SPENT PROVIDING PATIENT CARE AT METHODIST HOSPITALS IN ADDITION TO THEIR EDUCATIONAL ACTIVITIES. OUTREACH ACTIVITIES MLH PARTICIPATED IN A WIDE VARIETY OF PROGRAMS THROUGHOUT WEST TENNESSEE, NORTH MISSISSIPPI AND SOUTHEAST ARKANSAS IN 2016. HERE IS AN EXAMPLE OF THE ACTIVITIES AND THE NUMBER OF PERSONS SERVED: 13 HEALTH FAIRS SERVING 3,585 INDIVIDUALS AT A COST TO MLH OF $57,168 2 CPR CLASSES SERVING 270 INDIVIDUALS AT A COST OF $5,061 103 EDUCATION CLASSES AND SPEAKING ENGAGEMENTS FOR THE GENERAL PUBLIC SERVING 2,391 INDIVIDUALS AT A COST OF $325,838 FREE RX/HOME EQUIPMENT/HOME HEALTH VISITS TO 522 INDIVIDUALS AT A COST OF $478,361 12 SUPPORT GROUPS SERVING 166 INDIVIDUALS AT A COST OF $4,448 COMMUNITY EDUCATION: CONTINUING MEDICAL EDUCATION OFFERINGS CONTINUED TO PROVIDE EDUCATION AND TRAINING TO PHYSICIANS AND OTHER HEALTH PROFESSIONALS. IN 2016 THERE WERE 603 ATTENDEES OF PROFESSIONAL EDUCATION PROGRAMS; GENERATING A TOTAL EXPENSE OF 242,313. LE BONHEUR COMMUNITY HEALTH AND WELL-BEING: LE BONHEUR CHILDREN'S HOSPITAL'S COMMUNITY HEALTH AND WELL-BEING DIVISION EXTENDS THE WORK OF THE HOSPITAL BEYOND ITS WALLS. THROUGH A VARIETY OF PROGRAMS, THIS DIVISION MAKES A DIFFERENCE IN THE EVERYDAY LIVES OF CHILDREN IN COMMUNITIES THROUGHOUT THE REGION. METHODIST HEALTHCARE FOUNDATION: THE FOUNDATION RAISES FUNDS TO BENEFIT AND STRENGTHEN THE METHODIST HOSPITAL PROGRAMS AND CENTERS OF EXCELLENCE. FUNDS RAISED ENHANCE CLINICAL AND RESEARCH INITIATIVES, UNDERWRITE COSTS FOR FACILITIES, TECHNICIANS AND EQUIPMENT AND BRIDGE THE GAP BETWEEN WHAT HOSPITAL REIMBURSEMENT COVERS AND WHAT IS NECESSARY TO STAY ON THE CUTTING EDGE OF MEDICAL SCIENCE. In 2016, the Foundation raised $7 MILLION and spent $4.5 MILLION in support of various programs, all which benefited the community. HERE ARE SOME HIGHLIGHTS: MANY YEARS AGO, THE METHODIST FOUNDATION ESTABLISHED "THE HUMANITARIAN FUND" WHICH HELPS METHODIST ASSOCIATES IN TIMES OF CRISIS (I.E., FIRE, CRIME, DEATH). IN 2016, THE FOUNDATION PROVIDED $387,507 IN SUPPORT OF THESE ASSOCIATES. THE METHODIST FOUNDATION AWARDED COLLEGE SCHOLARSHIPS TO CHILDREN AND DEPENDENTS OF ASSOCIATES WHO PLAN TO PURSUE A CAREER IN A HEALTH-RELATED FIELD OF STUDY. IN 2016, THE FOUNDATION AWARDED 19 COLLEGE SCHOLARSHIPS TOTALING $21,000 TO ASSOCIATE DEPENDENTS TO PURSUE A CAREER IN A HEALTH-RELATED FIELD, AS WELL AS 13 NURSING SCHOLARSHIPS, MADE POSSIBLE BY GENEROUS DONORS, IN THE AMOUNT OF $8,000. LE BONHEUR FOUNDATION: THE LE BONHEUR FOUNDATION, IN PARTNERSHIP WITH DONORS AND VOLUNTEERS, PROMOTES PHILANTHROPIC INVESTMENT TO SUPPORT LE BONHEUR CHILDREN'S HOSPITAL'S MISSION OF PROVIDING HIGH QUALITY PATIENT CARE, RESEARCH AND ADVOCACY. DURING THE YEAR, THE FOUDATION RAISED MORE THAN $18.9M, AND LBF PROVIDED $9M FOR RESEARCH, EDUCATION, AND THE FEDEX FAMILY HOUSE AND CAPITAL IMRPOVEMENTS. DURING THE YEAR, LBF INCREASED FOCUS ON GROWING AND SUPPORTING THE FOLLOWING PROGRAMS. - FEDEX FAMILY HOUSE A HOME AWAY FROM HOME FOR OUT-OF-TOWN FAMILIES WHO COME TO LE BONHEUR CHILDREN'S HOSPITAL FOR TREATMENT. GENEROUS SUPPORT FOR THE OPERATIONAL COSTS OF THE FACILITITY WAS PROVIDED BY THE FEDEX CORPORATION AND NUMEROUS INDIVIDUALS AND THROUGH VARIOUS FUNDRASING EVENTS TOTALING $1,090,500. - CHILDREN'S MIRACLE NETWORK HOSPITALS RELATIONSHIP LBF, IN PARTNERSHIP WITH THE RESEARCH DIVISION OF LBCH, GAVE 200,760 TO AID IN THE RESEARCH OF RSV, LIVER DISEASE, BOWEL LOSS, ASTHMA AND INFLUENZA, AND PULMONARY HYPERTENSION.THE EXPOSURE RECEIVED THROUGH PARTNERSHIPS WITH MORE THAN 400 RETAIL CMN REGIONAL LOCATIONS ALLOWS LE BONHEUR TO HAVE A GREAT PRESENCE THROUGHOUT THE REGION THIS PRESENCE GIVES OPPORTUNITY FOR GREATER EXPOSURE AND THE PROGRAMS AVAILABLE. THE FUNDS WERE RAISED THRUOGH SPONSORS OF THIS ORGAINATION SUPPORT OUR ANNUAL FUNDRAISING INITIATIVES.. FAITH AND HEALTH DIVISION: THE FAITH AND HEALTH DIVISION FULFILLS ITS MISSION IN OUR MHMH HOSPITALS AND IN THE COMMUNITY, PARTICULARLY THROUGH AREA CHURCHES. IT IS RESPONSIBLE FOR THE CONTINUUM OF PASTORAL SERVICES WHICH INCLUDE THOSE OFFERED INSIDE THE WALLS OF OUR HOSPITALS AS WELL AS THROUGH PARTNERSHIPS WITH CONGREGATIONS AND COMMUNITY PARTNERS. THE CONGREGATIONAL HEALTH NETWORK IS A COVENANT RELATIONSHIP BETWEEN MHMH, MID-SOUTH CONGREGATIONS AND COMMUNITY HEALTH ORGANIZATIONS. THE CHN PROVIDES A NETWORK OF 500 CONGREGATIONS AND FAITH COMMUNITIES THAT ARE PARTNERING WITH US TO SHARE THE MINISTRY OF CARING FOR OUR PATIENTS HELPING PEOPLE NAVIGATE THE JOURNEY FROM HOME TO MEDICAL CARE AND BACK. THE GOAL OF THIS PROGRAM IS TO BUILD STRONGER RELATIONSHIPS AND BRIDGES BETWEEN LOCAL FAITH COMMUNITIES AND METHODIST LE BONHEUR HEALTHCARE (MLH) IN ORDER TO IMPROVE THE PATIENT EXPERIENCE IN THE MLH SYSTEM AND MORE BROADLY TO BUILD HEALTHIER COMMUNITIES IN MEMPHIS, TENNESSEE AND THE MID-SOUTH. IN 2016, MORE THAN 1,000 INDIVIDUALS WERE TRAINED AS LIAISONS AT A COST OF MLH OF $4,000. THE CHN ALSO HELD 35 EDUCATION CLASSES FOR 976 INDIVIDUALS ON INFORMATIVE TOPICS RANGING FROM MENTAL HEALTH ISSUES AND AVAILABLE RESOURCES TO AVOIDING BURNOUT IN MINISTRY TO FAMILY AND FINANCIAL PLANNING TO UNDERSTANDING YOUR ROLE AS AN ACTIVE PARTICIPANT IN YOUR HEALTHCARE. THE COST FOR THESE CLASSES IS INCLUDED IN THE GENERAL PUBLIC EDUCATION AMOUNT. THE CHN ALSO WORKS CLOSELY WITH THE UNITED METHODIST BOARD OF GLOBAL MINISTRIES AND HAS BEEN RECOGNIZED AS A LEADER IN THEIR FIELD. THE CHN IS ALSO ACTIVE INTERNATIONALLY IN AFRICA AND RUSSIA AND OTHER MISSION HOSPITALS THROUGHOUT THE WORLD. THE CONGREGATIONAL HEALTH NETWORK PROVIDES THE FOLLOWING: - DEVELOPMENT AND MAINTENANCE OF A SOCIAL SYSTEM (INCLUDING CONGREGATIONS, VOLUNTEERS, MLH AND PARTNERS) - IMPLEMENTATION OF COVENANT RELATIONSHIPS (INCLUDING VALUE-ADDED INCENTIVES) - IN-HOSPITAL SUPPORT AND ACCOMPANIMENT - COMMUNITY HEALTH PROMOTION - MICRO-GRANTS TO CONGREGATIONS AND COMMUNITY PARTNERS TO SUPPORT HEALTH-PROMOTING WORK - MAPPING AND LEVERAGING OF RELIGIOUS HEALTH ASSETS IN MEMPHIS - BUILDING PRACTICAL INTERFAITH COLLABORATION TO IMPROVE COMMUNITY HEALTH - TRAINING AND EDUCATION OF CONGREGATIONS AND LIAISONS (E.G. IN COMMUNITY CARE, HOSPITAL VISITATION, AFTERCARE TRAINING, END OF LIFE CARE, MENTAL HEALTH FIRST AID) METHODIST FAITH AND HEALTH MINISTRIES HOSTED SEVERAL PROGRAMS AIMED AT CLERGY, PHYSICIANS AND LAYPERSONS. IT ALSO WORKS CLOSELY WITH THESE INDIVIDUALS AND THE COMMUNITY IN PROVIDING MANY ASPECTS OF HEALING, PUBLIC HEALTH AND HEALTH AWARENESS. THE DIVISION WORKS CLOSELY WITH THE UNITED METHODIST BOARD OF GLOBAL MINISTRIES BY COORDINATING SEVERAL OF ITS NATIONAL NETWORKS OF HEALTH MINISTRIES AND COOPERATES IN INTERNATIONAL MINISTRIES IN AFRICA, RUSSIA, AND WITH MISSION HOSPITALS THROUGHOUT THE WORLD. FORM 990, PART III, LINE 4A: CONTINUATION OF PROGRAM SERVICE ACCOMPLISHMENTS: COMMUNITY INVOLVEMENT: METHODIST PLACES A STRONG EMPHASIS ON EDUCATION AND ENCOURAGES ASSOCIATES AND THEIR RESPECTIVE HOSPITAL OF EMPLOYMENT IN THE MLH SYSTEM TO PARTICIPATE IN THE MEMPHIS CITY SCHOOLS' ADOPT-A-SCHOOL PROGRAM. ASSOCIATES PROVIDED THE FOLLOWING SERVICES: - TUTOR AND MENTOR STUDENTS - SPEAKERS FOR A NUMBER OF EVENTS INCLUDING CAREER DAYS - JUDGED EVENTS SUCH AS SCIENCE PROJECTS - PROCTOR TESTS - FINANCIAL SUPPORT FOR SPECIAL NEEDS AND PROGRAMS COLLABORATIONS AND PARTNERSHIPS MLH STRIVES TO WORK WITH A WIDE VARIETY OF RESOURCES IN THE COMMUNITIES WE SERVE TO FURTHER HELP OUR PATIENTS IN MEMPHIS AND THE MID-SOUTH. EACH OF THESE PROVIDES THEIR OWN EXPERTISE AND NICHE IN EACH OF THE MEMPHIS AND MID-SOUTH COMMUNITIES. CHURCH HEALTH CENTER (CHC) MLH PROVIDES PATIENT CARE FREE OF CHARGE TO CHC PATIENTS, AS WELL AS MAKING FINANCIAL DONATIONS THROUGHOUT THE YEAR. MLH SUPPORTS THE MEMPHIS PLAN (EMPLOYER SPONSORED HEALTH PLAN FOR SMALL BUSINESSES AND SELF EMPLOYED) THROUGH YEARLY DONATIONS. IN 2016, MLH PROVIDED $4,234,300 IN CARE FOR CHC PATIENTS. CHRIST COMMUNITY HEALTH SERVICES (CCHS) THESE CENTERS ARE PLACED STRATEGICALLY THROUGHOUT SHELBY COUNTY TO PROVIDE PHYSICAL, EMOTIONAL AND SPIRITUAL CARE. IN 2016 MLH PROVIDED $1,838,077 IN CARE FOR PATIENTS OF CCHS. MLH HAS MANY ASSOCIATES THAT SERVE ON VARIOUS BOARDS AND COMMITTEES AROUND MEMPHIS THAT ARE DIRECTLY RELATED TO THE COMMUNITY HEALTH. IN 2016, MLH PAID OUT A TOTAL OF $119,923 IN SALARY DOLLARS FOR EMPLOYEES TO PARTICIPATE ON THESE BOARDS/COMMITTEES ON MLH TIME. MLH HAS FAMILY PARTNER COUNCILS AT EACH FACILITY AND IS CURRENTLY WORKING TO ESTABLISH ONE FOR OUR PHYSICIAN PRACTICES. THERE ARE 140 FAMILY MEMBERS SERVING ON THESE COMMITTEES. THESE INDIVIDUALS ARE INSTRUMENTAL IN HELPING TO CHANGE POLICIES, DESIGN NEW FACILITIES, ESTABLISH GUIDELINES REVOLVING AROUND FAMILIES/PARTNERS IN CARE AND EDUCATE ASSOCIATES ON THE HEALTHCARE JOURNEY FROM A FAMILY PERSPECTIVE. MONETARY AND IN-KIND DONATIONS: IN 2016 MLH MADE DONATIONS TO MORE THAN 50 NOT-FOR-PROFIT ORGANIZATIONS EITHER THROUGH FINANCIAL MEANS OR WITH IN-KIND DONATIONS OF EQUIPMENT OR PRINTING SERVICES. THE VALUE OF THESE DONATIONS TOTALED $1,090,547.82. DONATIONS WERE AWARDED TO THE FOLLOWING ORGANIZATIONS: AMERICAN CANCER SOCIETY AMERICAN HEART ASSOCIATION AMERICAN LIVER FOUNDATION AMERICAN RED CROSS APRIL 4TH FOUNDATION ARTHRITIS FOUNDATION BLUFF CITY MEDICAL BOYS & GIRLS CLUBS OF MEMPHIS CAMPBELL FOUNDATION CHICKASAW COUNCIL OF THE BOY SCOUTS CHILDREN'S HEART FOUNDATION CHRIST COMMUNITY HEALTH SERVICES CHRISTIAN MEDICAL AND DENTAL ASSOC. CHURCH HEALTH CENTER CYSTIC FIBROSIS EXCHANGE CLUB FACING HISTORY & OURSELVES FAMILY SAFETY CENTER FOOD ALLERGY & RESEARCH EDUCATION GAYLE S ROSE FOUNDATION GIRL SCOUTS GIRLS, INC. HEALTH MEMPHIS COMMON TABLE INSTITUTE FOR PATIENT & FAMILY CENTERED CARE JUVENILE DIABETES RESEARCH FOUNDATION LIVITUP, INC MARCH OF DIMES MELANOMA RESEARCH MEMPHIS BIOWORKS MEMPHIS BRANCH NAACP MEMPHIS BUSINESS GROUP ON HEALTH MEMPHIS CHILD ADVOCACY CENTER MEMPHIS FRIENDSHIP FOUNDATION MEMPHIS JEWISH COMMUNITY CENTER MEMPHIS MUSEUMS MEMPHIS SHELBY CRIME COMMISSION MEMPHIS THEOLOGICAL SEMINARY MONUMENTAL BAPTIST CHURCH MUSCULAR DYSTROPHY ASSOCIATION NATIONAL ASSOCIATION OF HEALTH NATIONAL CIVIL RIGHTS MUSEUM NATIONAL KIDNEY FOUNDATION NATIONAL MS SOCIETY NATIONAL STUDENT NURSES ASSOCIATION NEW MEMPHIS INSTITUTE NWMS CC FOUNDATION OVERTON PARK CONSERVANCY PINKY PROMISE INTERNATIONAL PROJECT TRANSFORMATION RENAISSANCE FUND RHODES COLLEGE SALVATION ARMY SEMMES MURPHY FOUNDATION SHELBY COUNTY MAYOR CHARITABLE FUND SHELBY FARMS PARK SOUTHERN COLLEGE OF OPTOMETRY SUSAN G KOMEN MID SOUTH TENNESSEE JUSTICE CENTER UNITED METHODIST NEIGHBORHOOD CENTERS UNIVERSITY OF MEMPHIS WOMEN'S FOUNDATION FOR A GREATER MEMPHIS YMCA OF MEMPHIS & MID-SOUTH Form 990, Part VI, Section B, line 11b THE FORM 990 IS PREPARED BY AN INDEPENDENT ACCOUNTING FIRM WITH INPUT FROM HUMAN RESOURCES, LEGAL, COMPLIANCE, AND FINANCE DEPARTMENTS AND EXTERNAL FINANCIAL CONSULTANTS. FINANCIAL INFORMATION IS RECONCILED TO AUDITED FINANCIAL STATEMENTS AS APPROPRIATE. THE INFORMATION TO BE DISCLOSED REGARDING COMPENSATION IS REVIEWED WITH THE COMPENSATION COMMITTEE OF THE BOARD. THE RETURN IS REVIEWED BY THE CHIEF FINANCIAL OFFICER OF MLH AND MANAGEMENT OF THE ORGANIZATION AS APPROPRIATE. A COPY OF THE RETURN IS REVIEWED IN DETAIL BY THE FINANCE COMMITTEE AND DISCUSSED AT A SCHEDULED BOARD MEETING PRIOR TO FILING WITH THE IRS. Form 990, Part VI, Section B, line 12c METHODIST LE BONHEUR HEALTHCARE EMPLOYS A COMPLIANCE OFFICER WHO MONITORS AND ENFORCES COMPLIANCE WITH THE CONFLICT OF INTEREST POLICY FOR ALL VOTING BOARD MEMBERS AND APPLICABLE OFFICERS. Form 990, Part VI, Section B, line 15 COMPENSATION FOR OFFICERS AND KEY EMPLOYEES OF THE ORGANIZATION IS DETERMINED BY THE BOARD OF DIRECTORS. AN EXTERNAL INDEPENDENT CONSULTANT ADVISES THE BOARD COMPENSATION COMMITTEE ON EXECUTIVE SALARY AND INCENTIVE COMPENSATION. BENEFITS ARE PERIODICALLY BENCHMARKED BY A SEPARATE EXTERNAL CONSULTANT AND ANY CHANGES ARE APPROVED BY THE BOARD OF DIRECTORS COMPENSATION COMMITTEE. THE COMPENSATION COMMITTEE IS COMPRISED OF INDEPENDENT MEMBERS AND IS A SUBGROUP OF THE FULL BOARD OF DIRECTORS. THE COMPENSATION CONSULTANT ANNUALLY DEVELOPS TOTAL CASH COMPENSATION COMPARISONS OF PEER NON-PROFIT SYSTEMS ESTABLISHED BY THE COMPENSATION COMMITTEE. THE COMPENSATION CONSULTANT INTERPRETS THE INFORMATION AND PROVIDES AN OPINION OF REASONABLENESS ON THE TOTAL CASH COMPENSATION PACKAGE. THE COMPENSATION COMMITTEE APPROVES ANY CHANGES TO THE COMPENSATION AND EXECUTIVE BENEFIT STRUCTURE OF THE CEO AND OTHER TOP EXECUTIVES, OTHERWISE KNOWN AS DISQUALIFIED CANDIDATES. ALL OTHER COMPENSATION DECISIONS ARE DETERMINED BY ARRANGEMENT AS DELEGATED BY THE BOARD OF DIRECTORS. THE COMMITTEE DOCUMENTS ALL DETERMINATIONS. Form 990, Part VI, Section C, line 18 PHOTOCOPIES OF THE FORM 990 ARE AVAILABLE UPON REQUEST AT THE ORGANIZATION'S ADMINISTRATIVE OFFICE. IN ADDITION, RECENT FILINGS OF THE FORM 990 ARE AVAILABLE ONLINE AT OUR WEBSITE IN THE "ABOUT US" SECTION. Form 990, Part VI, Section C, line 19 THE ORGANIZATION'S FINANCIAL STATEMENTS ARE AUDITED IN A CONSOLIDATION WITH ITS RELATED SUBSIDIARIES. INFORMATION ON FINANCIAL STATEMENTS IS AVAILABLE BY CONTACTING THE ORGANIZATION'S CORPORATE OFFICE. PLEASE SEE FORM 990, PART VI, LINE 20 FOR DETAILS. CONFLICT OF INTEREST POLICY AND GOVERNING DOCUMENTS FOR ALL AFFILIATES OF METHODIST LE BONHEUR HEALTHCARE ARE ALSO AVAILABLE BY REQUEST. FORM 990, PART VII, LINE 1 BOARD MEMBER COMPENSATION: HEATHER SWANSON, MD ARE COMPENSATED BY A RELATED ORGANIZATION FOR SERVICES RENDERED TO THE HOSPITAL SYSTEM. ALL PAYMENTS TO THIS INDIVIDUAL ON PART VII OF THE FORM 990 ARE FOR MEDICAL SERVICES RENDERED TO THE HOSPITAL SYSTEM. Form 990, Part IX, line 11g CONTRACT LABOR: Program service expenses 3,890,768. Management and general expenses 9,201,585. Fundraising expenses 0. Total expenses 13,092,353. MAINTENANCE CONTRACTS: Program service expenses 297,201. Management and general expenses 72,845. Fundraising expenses 0. Total expenses 370,046. PROFESSIONAL FEES: Program service expenses 0. Management and general expenses 135,961. Fundraising expenses 0. Total expenses 135,961. CONSULTING AND MGMT: Program service expenses 0. Management and general expenses 4,265,959. Fundraising expenses 0. Total expenses 4,265,959. Form 990, Part XI, line 9: CHANGE IN VALUE OF MINIMUM PENSION LIABILITY -2,592,681. EQUITY TRANSFERS FROM AFFILIATES 46,031,807. LOSS ON EXTINGUISHMENT OF DEBT -8,610,274. NONRECUR GAIN IN SUBS 10,042,754. FORM 990, PART XII, LINE 2C: THE PROCESS HAS NOT CHANGED FROM THE PRIOR YEAR. CONTROLLED FOREIGN PARTNERSHIP REPORTING: THE TAXPAYER IS REQUIRED TO FILE FORM 8865, BUT IS NOT DOING SO UNDER THE CONSTRUCTIVE OWNERS FILING EXCEPTION. U.S. PERSON WHOSE INTEREST THE TAXPAYER CONSTRUCTIVELY OWNS: PRESERVER, LP EIN: 27-1367437 8200 TRAIL LAKE DRIVE WEST, SUITE 105 MEMPHIS, TN 38125 FOREIGN PARTNERSHIP FOR WHICH THE TAXPAYER WOULD HAVE HAD TO FILE FORM 8865 BUT FOR THE EXCEPTION: ALCENTRA STRUCTURED CREDIT OPPORTUNITY FUND II EIN: 98-1010280 C/O ALCENTRA FUND, 6, RUE PHILIPPE II L-2340 LUXEMBOURG LUXEMBOURG LE BONHEUR CHILDREN'S HOSPITAL FOUNDATION 850 POPLAR AVENUE BLDG 2 MEMPHIS TN 38105 621872938 FOUNDATION TN 501(c)(3) Line 12a, I METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE FOUNDATION 1211 UNION AVENUE SUITE 450 MEMPHIS TN 38104 237320638 FOUNDATION TN 501(c)(3) Line 12a, I METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE-FAYETTE HOSPITAL 214 LAKEVIEW DRIVE SOMERVILLE TN 38068 620862334 HOSPITAL TN 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST EXTENDED CARE HOSPITAL INC 225 SOUTH CLAYBROOK MEMPHIS TN 38104 621518342 HOSPITAL TN 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE-JONESBORO HOSPITAL 1211 UNION AVENUE SUITE 657 MEMPHIS TN 38104 710499625 INACTIVE HOSPITAL TN 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE COMMUNITY CARE ASSOCIATES 6400 SHELBY VIEW SUITE 101 MEMPHIS TN 38134 621403517 OUTPATIENT HEALTHCARE TN 501(c)(3) Line 10 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE PRIMARY CARE ASSOCIATES 1211 UNION AVENUE SUITE 657 MEMPHIS TN 38104 582078931 PHYSICIAN PRACTICES TN 501(c)(3) Line 10 METHODIST LE BONHEUR HEALTHCARE 1 LE BONHEUR COMMUNITY HEALTH AND WELL-BEING 50 PEABODY PLACE MEMPHIS TN 38103 621251288 FOUNDATION TN 501(c)(3) Line 7 LE BONHEUR CHILDREN'S FOUNDATION 1 METHODIST HEALTHCARE-DYERSBURG HOSPITAL 1211 UNION AVENUE SUITE 657 MEMPHIS TN 38104 621155084 INACTIVE HOSPITAL TN 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 ALLIANCE HEALTH SERVICES INC 6400 SHELBY VIEW SUITE 101 MEMPHIS TN 38134 620841121 HEALTHCARE TN 501(c)(3) Line 10 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE CENTRAL MS MEDICAL ASSOCIATES 1211 UNION AVENUE SUITE 657 MEMPHIS TN 38104 640884720 PHYSICIAN PRACTICES MS 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE-JACKSON HOSPITAL 1211 UNION AVENUE SUITE 657 MEMPHIS TN 38104 640794199 INACTIVE HOSPITAL TN 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE-MIDDLE MISSISSIPPI HOSPITAL 1211 UNION AVENUE SUITE 657 MEMPHIS TN 38104 640698911 INACTIVE HOSPITAL MS 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALTHCARE - MEMPHIS HOSPITALS 1265 UNION AVENUE MEMPHIS TN 38104 620479367 HOSPITAL TN 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 METHODIST HEALHCARE - OLIVE BRANCH HOSPITAL 1211 UNION AVENUE SUITE 700 MEMPHIS TN 38104 640889822 HOSPITAL MS 501(c)(3) Line 3 METHODIST LE BONHEUR HEALTHCARE 1 THE URBAN CHILD INSTITUTE 600 JEFFERSON MEMPHIS TN 38105 581514037 COMMUNITY OUTREACH TN 501(c)(3) Line 12b, II N/A 0 NORTH SURGERY CENTER LP 3960 NEW COVINGTON PIKE MEMPHIS TN 38128 621685756 SURGERY CENTER TN N/A METHODIST SURGERY CENTER-GERMANTOWN LP 1363 S GERMANTOWN ROAD GERMANTOWN TN 38138 621659904 SURGERY CENTER TN N/A HAMILTON EYE INSTITUTE SURGERY CENTER LP 930 MADISON AVE 3RD FLOOR MEMPHIS TN 38103 202873438 SURGERY CENTER TN N/A AMBULATORY OPERATIONS INC 1211 UNION AVENUE SUITE 600 MEMPHIS TN 38104 621157166 MEDICAL AND MANAGEMENT SERVICES TN N/A C 0 SOLUS MANAGEMENT SERVICES INC 6400 SHELBY VIEW SUITE 101 MEMPHIS TN 38134 621361349 HEALTH SERVICES MANAGEMENT TN N/A C 0 MEMPHIS PROFESSIONAL BUILDING INC 1211 UNION AVENUE SUITE 600 MEMPHIS TN 38104 621847544 INVESTMENTS TN N/A C 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 1 1 1 1 1 METHODIST HEALTHCARE - MEMPHIS HOSPITALS L 144309900 INTERCOMPANY TRANSACTION METHODIST HEALTHCARE-OLIVE BRANCH HOSPITAL L 1561212 INTERCOMPANY TRANSACTION METHODIST HEALTHCARE COMMUNITY CARE ASSOCIATES L 409776 INTERCOMPANY TRANSACTION ALLIANCE HEALTH SERVICES INC L 1346544 INTERCOMPANY TRANSACTION METHODIST EXTENDED CARE HOSPITAL L 1783548 INTERCOMPANY TRANSACTION METHODIST HEALTHCARE - MEMPHIS HOSPITALS Q 23428668 INTERCOMPANY TRANSACTION METHODIST HEALTHCARE-OLIVE BRANCH HOSPITAL Q 166356 INTERCOMPANY TRANSACTION METHODIST HEALTHCARE COMMUNITY CARE ASSOCIATES Q 22976895 INTERCOMPANY TRANSACTION ALLIANCE HEALTH SERVICES INC Q 346735 INTERCOMPANY TRANSACTION ALLIANCE HEALTH SERVICES INC R 3938040 EQUITY TRANSFER METHODIST HEALTHCARE - MEMPHIS HOSPITALS S 50987847 EQUITY TRANSFER METHODIST HEALTHCARE COMMUNITY CARE ASSOCIATES S 459169 EQUITY TRANSFER METHODIST EXTENDED CARE HOSPITAL S 941483 EQUITY TRANSFER METHODIST HEALTHCARE-OLIVE BRANCH HOSPITAL S 3110210 EQUITY TRANSFER PART IV, COLUMNS (F) AND (G): AMBULATORY OPERATIONS, INC., SOLUS MANAGEMENT SERVICES, INC., AND MEMPHIS PROFESSIONAL BUILDING, INC. TOGETHER FILE A CONSOLIDATED TAX RETURN. AMBULATORY OPERATIONS, INC. IS THE PARENT CORPORATION OF THE GROUP. THE AMOUNT SHOWN IN PART IV FOR COLUMNS (F) AND (G) ARE SHOWN PRE-CONSOLIDATION.