2015-05-12T20:35:44-05:00 2014-06-30 Deloitte Tax LLP 999 BISHOP STREET SUITE 2700 Honolulu HI 968134454 990 2013-07-01 990074139 KUAKINI MEDICAL CENTER % QUIN OGAWA KUAK 8085479231 347 NORTH KUAKINI STREET Suite HONOLULU HI 96817 QUIN OGAWA VP & CFO 8085479231 2015-05-11 true ROBERTA A STRAUGHN P00652847 8085479231 2013 2016-03-07 17:11:31Z GARY KAJIWARA 347 NORTH KUAKINI STREET HONOLULU HI 96817 144314358 false X WWW.KUAKINI.ORG X 1983 HI SEE ATTACHMENT 1 13 12 1070 148 962469 341073 27366 49430 138726426 125617413 656501 1534311 6366310 6383956 145776603 133585110 10000 9259 0 0 79738005 74549049 0 0 0 67361102 63665004 147109107 138223312 -1332504 -4638202 136579094 129749439 99693670 101977687 36885424 27771752 X THE MISSION OF KUAKINI MEDICAL CENTER IS TO IMPROVE THE HEALTH STATUS OF THE COMMUNITY BY: PROVIDING COMPREHENSIVE HEALTH CARE SERVICES AND PROGRAMS AT REASONABLE COST; CONTINUOUSLY IMPROVING THE QUALITY OF HEALTH CARE SERVICES AND PROGRAMS; ENCOURAGING CLINICAL RESEARCH; SUPPORTING TRAINING AND EDUCATIONAL PROGRAMS FOR HEALTH CARE PERSONNEL; AND OFFERING COMMUNITY SERVICE PROGRAMS. KUAKINI MEDICAL CENTER PROVIDES ACUTE HOSPITAL SERVICES, AMBULATORY CARE SERVICES, EMERGENCY ROOM SERVICES, TEACHING SERVICES AND BIOMEDICAL RESEARCH. false false 93171710 9259 125617413 KUAKINI MEDICAL CENTER PROVIDES HOSPITAL CARE SERVICES AND AMBULATORY CARE SERVICES TO PROVIDE RELIEF TO PEOPLE IN THE STATE OF HAWAII AS A RESULT OF ILLNESS, POVERTY, ACCIDENT OR OTHER CAUSE; PROMOTES THE GENERAL WELFARE OF THE COMMUNITY; PERFORMS ANY CHARITABLE OR BENEVOLENT WORK; ESTABLISHES AND MAINTAINS FACILITIES TO PROVIDE MEDICAL SERVICES; PROVIDES AND CONDUCTS EDUCATIONAL SERVICES TO RENDER CARE TO THE SICK AND INJURED; AND PROMOTES SCIENTIFIC RESEARCH RELATING TO THE CARE OF THE SICK AND INJURED. 93171710 true true false false false false false false false false true false false true true false false true false false false false false false false false true true true false true false false false false false false false true false false false false false true true true false false true 78 0 true 1070 true true true false false false false false false false false false X 13 12 false false false false true true true true true false false true true true true true true true true true false X QUIN OGAWA 8085479231 347 NORTH KUAKINI STREET HONOLULU HI 96817 X GARY KAJIWARA PRESIDENT & CEO 20.0 0.0 X X 0 411841 40754 ARTHUR YAMAMOTO CHAIRPERSON 1.3 0.0 X CHUCK GEE SECRETARY 1.3 0.0 X SATORU IZUTSU DIRECTOR 1.5 0.0 X WESLEY HIYANE DIRECTOR 0.5 0.0 X JAMES YASUDA VICE CHAIRPERSON 0.5 0.0 X WAYNE ARAKAKI DIRECTOR 0.3 0.0 X AMY HIRANO DIRECTOR 0.5 0.0 X ALAN ARIZUMI TREASURER 1.3 0.0 X GLENN INOUYE DIRECTOR 0.5 0.0 X ROBIN TAKATA DIRECTOR 0.5 0.0 X 38400 0 0 MYRON SHIRASU DIRECTOR 0.5 0.0 X ROCHELLE LEE GREGSON DIRECTOR 0.5 0.0 X NOBUYUKI MIKI VP-MEDICAL AFFAIRS 32.0 0.0 X 159237 0 33729 JUNE DRUMELLER SR VP & CCO 50.0 0.0 X 176876 0 41599 GREGG OISHI SR VP & CAO 30.0 0.0 X 0 226185 42998 QUIN OGAWA VP FINANCE & CFO 30.0 0.0 X 0 146895 40934 VIRGINIA WALKER VP NURSING SVCS & CNO 50.0 0.0 X 138123 0 9153 ROSE LILY QUINTERO RN 48.7 0.0 X 155985 0 35982 LILIAN MACARAIG RN 45.9 0.0 X 149020 0 26066 TESSIE HUNTER RN 48.5 0.0 X 157793 0 16899 MARIA VICTORIA MARIANO RN 47.1 0.0 X 158819 0 32893 EDGAR RABANG RN 51.2 0.0 X 156776 0 31827 MICHAEL NAGOSHI DIRECTOR 0.0 0.0 X 36000 0 0 KAMAL MASAKI INVESTIGATOR 0.0 0.0 X 39940 0 0 1366969 784921 352834 148 true true false CERNER CORPORATION PO BOX 412702 KANSAS CITY MO 641412702 CONSULTING 6129388 HAWAII RESIDENCY PROGRAM 1356 LUSITANA STREET 510 HONOLULU HI 96813 MEDICAL SERVICES 1911551 UNIVERSITY OF HAWAII 1960 EAST-WEST ROAD T107 HONOLULU HI 96822 MEDICAL SERVICES 629988 SIRIUS COMPUTER SOLUTIONS 613 NW LOOP 410 SUITE 1000 SAN ANTONIO TX 78216 CONSULTING 575933 MEDICAL SPECIALISTS OF HAWAII LLC PO BOX 22626 HONOLULU HI 96822 OUTSIDE SERVICES 764650 34 49430 49430 HEALTH CARE SERVICES 124953799 124953799 RESEARCH PROGRAMS 663614 663614 125617413 1799750 1799750 0 0 102700 102700 0 102700 102700 10462670 1139 10382492 346756 80178 -345617 -265439 -265439 0 0 0 PARKING 900099 1634362 959885 674477 PRINTING 561499 230084 2584 227500 CAFETERIA 722210 932620 932620 3484190 2820936 663254 6281256 133585110 128438349 962469 4134862 9259 9259 0 0 0 482925 482925 0 59602892 47086285 12516607 0 1754563 1386105 368458 0 12708669 10039849 2668820 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1412295 0 1412295 0 0 8665769 0 8665769 0 429022 0 429022 0 OTHER PROFESSIONAL 29499653 23304726 6194927 0 GENERAL SERVICES 8373799 6615301 1758498 0 ADMINISTRATIVE & FISCAL 2987642 2360237 627405 0 IMPAIRMENT LOSS 1840815 0 1840815 0 10456009 2369948 8086061 138223312 93171710 45051602 0 5432 5986 4122198 2782714 0 0 20045580 17302067 0 0 0 0 0 0 3066546 3340330 1884116 2093156 193219820 137955499 58450487 55264321 5651512 6918350 7765358 6401412 0 0 0 0 35587865 35641103 136579094 129749439 12920422 12349377 0 0 1713510 959642 25835000 25170000 0 0 0 0 0 0 0 0 59224738 63498668 99693670 101977687 X 36885424 27771752 0 0 0 0 36885424 27771752 136579094 129749439 X -4638202 388541 -4864011 X false true X true true true X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 3510064 3510064 63086539 48315262 14771277 90533718 63472920 27060798 36089499 26167317 9922182 55264321 DUE FROM AFFILIATES 27441874 INVESTMENTS IN AFFILIATES 7073949 DEFERRED LOAN FEES 607090 OTHER NONCURRENT ASSETS 518190 35641103 0 ACCRUED PAYROLL 2568397 ACCRUED VACATION 3670108 ACCRUED PENSION 47570358 EST 3RD-PARTY PAYOR SETTLEMENT 2353234 CAPITAL LEASE OBLIG - CURRENT 909367 CAPITAL LEASE OBLIG - NONCURRE 1631278 INTEREST PAYABLE 799185 OTHER LONG-TERM LIABILITIES 975507 OTHER 1800 SELF INSURANCE RESERVE 1019434 TRANSFER TO AFFILIATES 2000000 63498668 129035099 3704567 3704567 125330532 8254578 8254578 133585110 135779069 3819255 3819255 131959814 6263498 6263498 138223312 PART X, LINE 2 - FIN 48 (ASC 740) FOOTNOTE: THE HEALTH SYSTEM EVALUATES ITS UNCERTAIN TAX POSITIONS AND DID NOT HAVE ANY UNCERTAIN TAX POSITIONS AS OF JUNE 30, 2014 AND 2013. BECAUSE NO UNCERTAIN TAX POSITIONS HAVE BEEN IDENTIFIED, THE FINANCIAL STATEMENTS DID NOT INCLUDE A RELATED FOOTNOTE FOR THE FISCAL YEAR ENDED JUNE 30, 2014. PART XI, LINE 2D - OTHER ADJUSTMENTS: REVERSE KDC REVENUE -3,358,942. REVERSE PAR REVENUE -8. LOSS ON SALE OF FIXED ASSETS -345,617. TOTAL TO SCHEDULE D, PART XII, LINE 2D -3,704,567. PART XI, LINE 4B - OTHER ADJUSTMENTS: BAD DEBT EXPENSE (RECLASS TO EXPENSES) 6,151,994. INTEREST & DIVIDENDS INCLUDED IN NONOPERATING REVENUE 1,799,750. GIFT SHOP REVENUE 119,956. REALIZED GAIN ON INVESTMENTS - PARKING 80,178. LEASE RENTAL INCOME 102,700. TOTAL TO SCHEDULE D, PART XII, LINE 4B 8,254,578. PART XII, LINE 2D - OTHER ADJUSTMENTS: REVERSE KDC EXPENSES -3,470,784. REVERSE PAR EXPENSES -2,854. GAIN ON SALE OF FIXED ASSETS -345,617. TOTAL TO SCHEDULE D, PART XIII, LINE 2D -3,819,255. PART XII, LINE 4B - OTHER ADJUSTMENTS: BAD DEBT EXPENSE (RECLASSED FROM REVENUES) 6,151,994. GIFT SHOP EXPENSES 102,245. TRANSFERS TO KSS 9,259. TOTAL TO SCHEDULE D, PART XIII, LINE 4B 6,263,498. true true true X true X true false false 9022663 1635138 7387525 0.05340 9022663 1635138 7387525 0.05340 15000 3000 12000 0.00010 2278430 1322732 955698 0.00690 31358462 3989077 27369385 0.19800 2413632 663614 1750018 0.01270 36065524 5978423 30087101 0.21770 45088187 7613561 37474626 0.27110 false 6151994 58409 30948464 39540964 -8592500 X true true 1 1 KUAKINI MEDICAL CENTER 347 NORTH KUAKINI STREET HONOLULU HI 96817 X X X X X KUAKINI MEDICAL CENTER 1 true X X X X X X X X X 12 true true true X X X X X X false false true true 100 true 200. true X X X X X X X true true X true X X true X X X X X X X true X false true PART I, LINE 7: The costing methodology used was a cost-to-charge ratio derived from the most recent Medicare Cost Report for Worksheet 2-Ratio of Patient Care Cost-to-Charges. PART II: KUAKINI MEDICAL CENTER CONDUCTS A YEAR-ROUND PROGRAM OF COMMUNITY HEALTH EVENTS FEATURING HEALTH EDUCATION ACTIVITIES, FREE HEALTH SCREENINGS AND THE DISTRIBUTION OF EDUCATIONAL MATERIALS THROUGH ITS HEALTHFUL LIFESTYLE PROMOTIONS. THE PROGRAM EDUCATES THE COMMUNITY ABOUT HEALTHFUL LIFESTYLES, REINFORCES THE IMPORTANCE OF PRACTICING GOOD HEALTH HABITS, EMPHASIZES AWARENESS OF HEALTH-RELATED ISSUES AND ENCOURAGES THE COMMUNITY TO PARTICIPATE IN EDUCATIONAL OPPORTUNITIES AND FREE HEALTH SCREENINGS. THE ACTIVITIES ENABLE THE COMMUNITY TO BECOME AWARE OF THEIR PERSONAL HEALTH STATUS AND TO TAKE BETTER CARE OF THEMSELVES. PART III, LINE 4: Allowance for Doubtful Accounts - Substantially all of the Health System's receivables are related to providing healthcare services to patients. Accounts receivable are reduced by an allowance for amounts that could become uncollectible in the future. The Health System's estimate for its allowance for doubtful accounts is based upon management's assessment of historical and expected net collections by payor. In 2014, the Health System increased its provision for uncollectible receivables due to an increase in receivables aged greater than 365 days. PART III, LINE 8: All short fall reported on line 7 should be treated as community benefit. MEDICARE COST REPORT FOR FYE 2014 WAS USED TO DETERMINE AMOUNT REPORTED ON LINE 6. PART III, LINE 9B: Patients who do not have medical coverage are referred to an outside vendor who will assist them in applying for Medicaid health coverage. Those individuals who do not qualify for Medicaid are informed of the organizations charity care or financial assistance program and are advised to apply for such assistance. PART V, LINE 3: SEE ATTACHED KUAKINI CHNA REPORT AND IMPLEMENTATION PLAN. PART V, LINE 4: Castle Medical Center, Kahi Mohala Behavioral Health, Kahuku Medical Center, Kaiser Permanente Medical Center, Kapi'olani Medical Center for Women & Children, Leahi Hospital, Pali Momi Medical Center, Rehabilitation Hospital of the Pacific, Shriners Hospitals for Children-Honolulu, Straub Clinic & Hospital, The Queen's Medical Center, Wahiawa General Hospital PART V, LINE 7: SEE ATTACHED KUAKINI CHNA REPORT AND IMPLEMENTATION PLAN. PART V, LINE 22: THE HOSPITAL CHARGES EACH OF ITS PATIENTS THE GROSS CHARGES, BUT FINAL AMOUNTS ARE ADJUSTED IN ACCORDANCE WITH THE CONTRACTUAL AGREEMENTS AND/OR FINANCIAL ASSISTANCE POLICIES FOR THOSE QUALIFIED PATIENTS. PART VI, LINE 2: Kuakini Medical Center assesses the healthcare needs of the communities by analyzing the availability and accessibility of healthcare services, and the supply and demand for healthcare services in the City and County of Honolulu which encompasses the entire island of Oahu, Hawaii. The healthcare services reviewed are to adult acute hospital, ambulatory care and emergency services. Kuakini participates in the Hawaii State Health Planning and Development Agency and Healthcare Association of Hawaii initiatives to help identify and assess the healthcare needs of the Hawaii communities. PART VI, LINE 3: Patients without health care coverage are referred to an outside vendor who will assist them in qualifying for Medcaid health coverage. If the patients do not qualify for Medicaid, they are then informed about the organization's charity care policy. PART VI, LINE 4: Kuakini Medical Center provides acute hospital services, ambulatory care services, emergency room services, and graduate Medicaid teaching services to general metropolitan area of the City and County of Honolulu. Approximately 75% of the patients utilizing Kuakini's services are 60+ years of age and of Pacific Island/Asian ancestry. Kuakini also serves the community by participating in health fairs, providing literature on healthy life style, holding open house tours for elementary school classes, and sponsoring various research efforts through the Honolulu-Asian Aging Study; Japan-Hawaii Cancer Study and Honolulu Heart Program. PART VI, LINE 5: Kuakini Medical Center supports an open medical staff, with over 500 participating physicians and over 200 active practicing physicians, and has a majority of external community members serving on the Medical Center Board of Directors. The external Medical Center Board of Director members are not compensated and all surplus funds are directed for the continuing operations of the Medical Center and funding for capital improvement projects and capital equipment. true KUAKINI SUPPORT SERVICES INC 347 N KUAKINI STREET Honolulu HI 96817 990225148 501(C)(3) 9259 OPERATING GRANT TO AFFILIATE 1 PART I, LINE 2: FUNDS ARE TRANSFERRED TO AFFILIATES TO ASSIST IN CARRYING OUT ITS EXEMPT PURPOSES AND THE EXEMPT PURPOSES OF KUAKINI HEALTH SYSTEM. true X X X false false false false false false false false false GARY KAJIWARA PRESIDENT & CEO 0 405841 0 0 0 6000 0 34475 0 6279 0 452595 0 0 NOBUYUKI MIKI VP-MEDICAL AFFAIRS 159237 0 0 0 0 0 20290 0 13439 0 192966 0 0 0 JUNE DRUMELLER SR VP & CCO 176876 0 0 0 0 0 31083 0 10516 0 218475 0 0 0 GREGG OISHI SR VP & CAO 0 226185 0 0 0 0 0 32287 0 10711 0 269183 0 0 QUIN OGAWA VP FINANCE & CFO 0 146895 0 0 0 0 0 15185 0 25749 0 187829 0 0 ROSE LILY QUINTERO RN 155985 0 0 0 0 0 21888 0 14094 0 191967 0 0 0 LILIAN MACARAIG RN 149020 0 0 0 0 0 16523 0 9543 0 175086 0 0 0 TESSIE HUNTER RN 157793 0 0 0 0 0 7980 0 8919 0 174692 0 0 0 MARIA VICTORIA MARIANO RN 158819 0 0 0 0 0 23350 0 9543 0 191712 0 0 0 EDGAR RABANG RN 156776 0 0 0 0 0 14316 0 17511 0 188603 0 0 0 MICHAEL NAGOSHI DIRECTOR 36000 0 0 0 0 0 0 0 0 0 36000 0 0 0 KAMAL MASAKI INVESTIGATOR 39940 0 0 0 0 0 0 0 0 0 39940 0 0 0 FORM 990, PART VII: Gary Kajiwara serves as the President and Chief Executive Officer of Kuakini Health System. He is also an officer of various organizations related to Kuakini Health System. The compensation paid by Kuakini Health System is for his services as the President and Chief Executive Officer of Kuakini Health System, as well as for his services as an officer of various organizations related to Kuakini Health System. He does not receive compensation from the organizations related to Kuakini Health System (KMC, KGC, KF, KSS, KDC, PAR, and KPC). Gregg Oishi serves as the Senior Vice President and Chief Operating Officer of Kuakini Health System. He is also an officer of various organizations related to Kuakini Health System. The compensation paid by Kuakini Health System is for his services as the Senior Vice President and Chief Operating Officer of Kuakini Health System, as well as for his services as an officer of various organizations related to Kuakini Health System. He does not receive compensation from the organizations related to Kuakini Health System (KMC, KGC, KF, KSS, KDC, PAR, and KPC). Quin Ogawa serves as the Vice President and Chief Financial Officer of Kuakini Health System. He is also an officer of various organizations related to Kuakini Health System. The compensation paid by Kuakini Health System is for his services as the Vice President and Chief Financial Officer of Kuakini Health System, as well as for his services as an officer of various organizations related to Kuakini Health System. He does not receive compensation from the organizations related to Kuakini Health System (KMC, KGC, KF, KSS, KDC, PAR, and KPC). Kamal Masaki is a former director of Kuakini Medical Center. She is a volunteer director and is not compensated for those services. Compensation paid to Dr. Masaki is for her services as a research investigator for Kuakini Medical Center. Robin Takata serves as a director of Kuakini Medical Center. She is a volunteer director and is not compensated for those services. Compensation paid to Dr. Takata is for her services as chief of staff for Kuakini Medical Center. Michael Nagoshi is a former director of Kuakini Medical Center. He is a volunteer director and is not compensated for those services. His term as director ended on December 31, 2012. Compensation paid to Dr. Nagoshi is for his services as chief of staff for Kuakini Medical Center. Alan Arizumi director of KMC 0 SEE PART V false PART IV, (D) - DESCRIPTION OF TRANSACTION: ALAN ARIZUMI IS AN OFFICER OF THE LENDING INSTITUTION WITH WHICH THE ORGANIZATION HAS A BANKING RELATIONSHIP. FORM 990, PART VI, SECTION A, LINE 6: THE ORGANIZATION HAS ONE SOLE MEMBER, KUAKINI HEALTH SYSTEM WHICH, THROUGH ITS BOARD OF DIRECTORS, APPROVES THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION A, LINE 7A: The Organization has members who may elect one or more members of the governing body indirectly through the requirement that a portion of the board of directors on the subsidiaries of Kuakini Health System be directors of Kuakini Health System, which selects the directors of the subsidiaries. FORM 990, PART VI, SECTION A, LINE 7B: Decisions of the governing body are subject to approval by members. FORM 990, PART VI, SECTION B, LINE 11B: FORM 990 IS REVIEWED BY THE CFO AND OTHER MANAGEMENT PERSONNEL AND A COPY IS PROVIDED TO THE BOARD BEFORE FILING. FORM 990, PART VI, SECTION B, LINE 12C: The organization regularly and consistently monitors and enforces compliance with the policy through communications with the Directors, officers, and key employees. FORM 990, PART VI, SECTION B, LINE 15A & 15B: The compensation of the Organization's CEO is determined by the governing body's compensation committee. The committee reviews the CEO's performance in relationship to the goals agreed upon by the CEO and compensation committee. The committee establishes the CEO's compensation based on an annual review of comparative base salaries of not-for-profit hospital CEOs in the U.S. and Hawaii, and comparative base salaries of health-related and non-healthcare companies' CEOs in Hawaii. The CEO reviews the performance of the members of the administrative team and establishes their compensation based on an annual review of comparative base salaries of comparable positions. FORM 990, PART VI, SECTION C, LINE 19: UPON REQUEST, FORM 990 IS MADE AVAILABLE FOR VIEWING AT THE ADMINISTRATIVE OFFICE. EXCEPT FOR FORM 990, NO DOCUMENTS ARE AVAILABLE TO THE PUBLIC. FORM 990, PART XI, LINE 9: EQUITY IN EARNINGS OF AFFILIATES 1,211,018. MINIMUM PENSION LIABILITY ADJUSTMENT -5,972,330. LEASE RENTAL INCOME -102,700. TOTAL TO PART XI, LINE 9 -4,864,012. Kuakini Health System 347 NORTH Kuakini Street Honolulu HI 96817 990225140 ADMIN SVCS HI BOX 9 N/A true Kuakini Geriatric Care Inc 347 NORTH Kuakini Street HONOLULU HI 96817 990225065 MEDICAL CARE HI BOX 3 KHS true Kuakini Foundation 347 NORTH Kuakini Street HONOLULU HI 96817 990225067 FUNDRAISING HI BOX 7 KHS true Kuakini Support Services Inc 347 NORTH Kuakini Street HONOLULU HI 96817 990225148 SUPPORT ORG HI BOXII TYPEI KHS true KUAKINI DEVELOPMENT CORP 347 NORTH KUAKINI STREET HONOLULU HI 96817 990171854 PHARMACY/DEVE HI NA C CORP 759956 4587703 1.00000 true KUAKINI PACIFIC CORPORATION 347 NORTH KUAKINI STREET HONOLULU HI 96817 990328954 EDUC/RESEARCH HI KHS C CORP true PACIFIC ASIAN RESOURCES INC 347 NORTH KUAKINI STREET HONOLULU HI 96817 990257899 HEALTH SERVIC HI NA C CORP 8 25075 1.00000 true true true false false true false false false false true false false false false true true false false KUAKINI HEALTH SYSTEM P 444555 FMV KUAKINI GERIATRIC CARE INC Q 5197215 FMV KUAKINI FOUNDATION Q 34026 FMV KUAKINI DEVELOPMENT CORP Q 106462 FMV KUAKINI SUPPORT SERVICES INC B 12000 FMV KUAKINI FOUNDATION E 2000000 FMV KUAKINI DEVELOPMENT CORP A 4403 FMV KUAKINI FOUNDATION K 848 FMV