2014-03-28T13:34:06-05:00 2013-06-30 861065772 Deloitte Tax LLP 50 South Sixth Street Suite 2800 Minneapolis MN 55402 990 2012-07-01 450404126 Edith Sanford Breast Cancer Foundation EDIT 6053126700 101 S Reid Street No 202 Sioux Falls SD 57103 JoAnn Kunkel 6053331000 2014-03-28 1 Kristina Rasmussen P00143920 6123974000 2012 2015-11-30 17:44:51Z Kelby Krabbenhoft 101 S Reid Street No 202 Sioux Falls SD 57103 21766838 0 X www.edithsanford.org X 1986 ND The Foundation raises funds to support groundbreaking research to find the cures for breast cancer. 15 7 0 120 0 0 2514580 21766838 0 0 0 0 0 0 2514580 21766838 48138 2923845 0 0 411836 2102250 145457 382206 4507972 1726018 3684345 2331449 9092646 183131 12674192 556513 13266470 624516 276345 -68003 12990125 X As part of the Sanford organization, the Edith Sanford Breast Cancer Foundation's mission statement is "Dedicated to the work of health and healing." Additionally, the mission of the Foundation is to work toward unlocking each woman's genetic code to aid in the advancement of today's prevention and treatment of breast cancer, as well as to end breast cancer for future generations. 0 0 3553087 2923845 The Foundation is a supporting organization whose mission is to raise funds for research conducted by Edith Sanford Breast Cancer Research, in collaboration with Sanford Health, the Foundation's research and patient care affiliates. To honor his mother, Edith, Denny Sanford provided a gift to support the Foundation's operational expenses; every private contribution is directly invested in Edith Sanford's research programs. Research program advancements achieved during this period include: the development of an interdisciplinary collaboration between the Foundation and Scripps Research Institute to provide the foundation for advancement in personalized breast cancer treatment and care. The Edith Sanford Breast Cancer Biobank began collecting samples at multiple sites within Sanford Health. Sequencing equipment was purchased to support next generation genomic sequencing and to develop protocols for the use of forward genomics in patient care. Foundation leadership was an integral part, with Research, of developing the elements of the overall Edith Sanford Initiatives, including plans to move genomics into the practice of medicine, raising the standards of care for women and men everywhere.The Foundation was also represented at national breast cancer research meetings and in scientific journals, and materials were created to educate the public about the use of forward genomics in breast cancer, and developed much of its public education and awareness infrastructure, including website content, infographics and videos. 3553087 1 1 0 0 0 0 0 0 0 1 1 0 0 1 0 1 0 1 0 0 0 0 0 1 0 0 0 1 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 1 1 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 X 15 7 1 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 AL AK AZ AR CA CO CT DC FL GA HI IL KS KY ME MD MA MI MN MS NH NJ NM NY NC OH OK OR PA RI SC TN UT VA WA WV WI X JoAnn Kunkel CFO 6053331000 1305 W 18th Street Sioux Falls SD 571175039 X Barb Everist 0.10 5.30 X 0 0 0 Barbara Stork 0.10 5.30 X 0 0 0 Barry Martin thru Nov 12 0.10 5.30 X 0 0 0 Brent Teiken 0.10 5.30 X 0 0 0 Christopher Meeker MD 0.10 59.90 X 0 213821 31035 David Beito 0.10 5.30 X 0 0 0 Don Morton 0.10 5.30 X 0 0 0 Jerome Feder 0.10 5.30 X 0 0 0 Jim Entenman 0.10 5.30 X 0 0 0 Lauris Molbert 0.10 5.30 X 0 0 0 Mark Paulson MD 0.10 59.90 X 0 248496 32936 Mikal Claar thru Nov 12 0.10 5.30 X 0 0 0 Patrick Durick 0.10 5.30 X 0 0 0 Richard Hardie MD 0.10 59.90 X 0 747423 33818 Ronald Moquist 0.10 5.30 X 0 0 0 Thomas Hruby 0.10 5.30 X 0 0 0 Kelby K Krabbenhoft 0.10 59.90 X X 0 1539421 22054 Kelby K Krabbenhoft Deferred Comp 0.10 59.90 X X 0 0 589623 JoAnn L Kunkel 0.10 59.90 X 0 438048 33700 Lisa Carlson thru Oct 12 0.10 59.90 X 0 644186 31847 Brian Mortenson 20.00 40.00 X 0 369026 35434 Kimberly Simpson 60.00 0.00 X 330531 0 19128 Eva May 60.00 0.00 X 162767 0 23165 Christine Orzechowski 60.00 0.00 X 144461 0 11189 Christine McDonald-Dockter 60.00 0.00 X 121018 0 13250 758777 4200421 877179 4 0 1 0 The Russ Reid Company Incorporated 2 North Lake Avenue Suite 600 Pasadena CA 91101 Fundraising 247833 Brickmill Marketing Services Inc 24 Mill Brook Drive Wilton NH 03086 Fundraising 114585 2 6159531 15607307 12873568 21766838 21766838 0 0 0 X 2923845 2923845 349660 109315 124931 115414 1336582 349629 473174 513779 58536 16009 20663 21864 245170 67050 86544 91576 112302 30713 39642 41947 2501 2501 18573 18573 382206 382206 3072118 1531 3070587 63431 356 63075 180442 35366 85702 59374 2029 2029 93010 18229 44176 30605 47922 3901 44021 6376 63 6313 14953 2931 7102 4920 131 131 Intercompany purchases 127741 118151 9590 Fundraising materials 27983 27983 Licenses, dues and subs 26257 4334 21923 Donor stewardship 878 112 766 9092646 3553087 1031587 4507972 275080 96370 0 8502 33125 0 208179 6793 841148 18323 40129 822825 0 12331980 556513 13266470 624516 276345 624516 276345 X -296529 -130197 228526 13110491 0 9831 -68003 12990125 556513 13266470 X 12674192 383936 X 0 1 X 1 0 X X X 0 0 0 Sanford ResearchUSD 460450378 3 1 1423845 1 1423845 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 9910 79 9831 1.00000 0 0 60000 60000 707840 707840 73308 18323 54985 822825 Beneficial interest in real estate 12331980 12331980 X Description of Intended Use of Endowment Funds: Part V, Line 4: The endowment funds will be used to support research to find the cures for breast cancer. Description of Uncertain Tax Positions Under FIN 48: Part X, Line 2: Certain controlled organizations are subject to income taxes. Deferred income tax assets and liabilities are recognized for the difference between the financial and income tax reporting basis of assets and liabilities based on enacted tax rates and laws. A tax benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination. The deferred income tax provision or benefit generally reflects the net change in deferred income tax assets and liabilities during the year. The current income tax provision reflects the tax consequences of revenues and expenses currently taxable or deductible on various income tax returns for the year reported. Edith Sanford Breast Cancer Foundation did not have a material income tax liability at June 30, 2013; some related organizations have established reserves. X X X X X 1 Issues Management Inc dba Lawrence & Schiller Teleservices 3817 South Elmwood Avenue Sioux Falls SD 57105 Provides call center services 0 0 19788 -19788 Brickmill Marketing Services Inc 24 Mill Brook Drive Wilton NH 03086 Provides direct marketing consulting services 0 0 114585 -114585 The Russ Reid Company Incorporated 2 North Lake Avenue Suite 600 Pasadena CA 91101 Provides creative services 0 0 247833 -247833 382206 -382206 AL AK AZ AR CA CO CT DE FL GA HI ID IL IN IA KS KY LA ME MD MA MI MN MS MO MT NE NV NH NJ NM NY NC ND OH OK OR PA RI SC SD TN TX UT VT VA WA WV WI WY Explanation of Fundraising Payments Schedule G, Part I, Line 2b, Column (v) The agreement with The Russ Reid Company, Incorporate includes payment for fundraising expenses. The total fundraising expenses were $599,276, based on invoices that clearly itemize the retainer fee and the fundraising expenses. The agreement with Brickmill Marketing Services, Inc. includes payment for fundraising expenses. The total fundraising expenses were $149,998, based on invoices that clearly itemize the retainer fee and the fundraising expenses. The agreement with Issues Management, Inc. dba Lawrence & Schiller Teleservices includes payment for fundraising expenses. The total fundraising expenses were $24,606, based on invoices that clearly itemize the retainer fee and the fundraising expenses. The work of these fundraisers contributed to the overall mission of Edith Sanford Breast Cancer Foundation by helping to raise approximately $15 million in public support during the year. 1 Sanford ResearchUSD 1305 W 18th Street Sioux Falls SD 57117 460450378 501(c)(3) 1423845 See Form 990, Page 2, Part III Sanford Health 1305 W 18th Street Sioux Falls SD 57117 311527032 501(c)(3) 1500000 See Form 990, Page 2, Part III 2 0 Procedure for Monitoring Grants in the U.S.: Part I, Line 2: Schedule I, Part I, Line 2: Grants are disbursed by supporting organization only after the expenditure has been made and properly authorized by the supported organization along with related documentation indicating the fulfillment of donor wishes, if applicable. 0 1 0 0 0 0 1 1 0 Christopher Meeker MD 0 213821 0 0 0 0 0 8842 0 22193 0 244856 0 0 Mark Paulson MD 0 200747 0 0 0 47749 0 12500 0 20436 0 281432 0 0 Richard Hardie MD 0 743706 0 0 0 3717 0 15000 0 18818 0 781241 0 0 Kelby K Krabbenhoft 0 941885 0 332500 0 265036 0 0 0 22054 0 1561475 0 0 Kelby K Krabbenhoft Deferred Comp 0 0 0 0 0 0 0 589623 0 0 0 589623 0 0 JoAnn L Kunkel 0 321232 0 80000 0 36816 0 14146 0 19554 0 471748 0 0 Lisa Carlson thru Oct 12 0 434253 0 129600 0 80333 0 12500 0 19347 0 676033 0 0 Brian Mortenson 0 260827 0 66250 0 41949 0 14380 0 21054 0 404460 0 0 Kimberly Simpson 283730 0 0 0 46801 0 14973 0 4155 0 349659 0 0 0 Eva May 147372 0 0 0 15395 0 7976 0 15189 0 185932 0 0 0 Christine Orzechowski 126882 0 0 0 17579 0 6226 0 4963 0 155650 0 0 0 Supplemental Information Part III Part I, Line 1a: Certain items listed on Line 1a are provided by related organizations. Supplemental Information Part III Part I, Line 3: The Executive Compensation Committee of the Sanford Board of Trustees directly engages a nationally recognized independent compensation consulting firm to annually review the total compensation arrangements of the officers and executives of the organization, including the CEO, and to report the findings to them for deliberation and action. The deliberations and actions are recorded in the minutes of the Sanford Board of Trustees. The most recent study was completed in 2013. Supplemental Information Part III Part I, Line 4b / Schedule J, Part II, Column C: Employer contributions to pension plans, amounts representing increases and decreases in actuarial value (actuarial value factors include age, tenure and salary) of defined benefit SERP Plans are included in Column C. Participants and changes in values include: Kelby Krabbenhoft $433,820 Supplemental Information Part III Part I, Line 6: Sanford physicians are compensated based on the professional services they perform within the clinic in which they provide care. Generally, the model is based on production. Supplemental Information Part III Part I, Line 7: Certain employees are eligible for a discretionary incentive bonus, based on financial targets and other goals. Supplemental Information Part III Supplemental: Compensation reported on Schedule J includes: (B)(i) Base compensation - salaries are based on the experience and performance of each executive and benchmarked using independent compensation survey infomration. (B)(ii) Bonus & incentive compensation - as part of executive compensation, individuals may be eligible for incentive performance compensation, however if the organization does not meet its financial targets, incentive payments are not paid, regardless of performance. (B)(iii) Other reportable compensation - generally includes taxable executive benefits. (C) Deferred compensation - includes employer contributions to pension plans and the increase (or decrease) in the actuarial value (actuarial value factors include age, tenure and salary) of the defined benefit plans. (D) Nontaxable benefits - generally include health insurance premiums. Supplemental Information Part III A memo regarding executive compensation, written by the Chairman of the Sanford Board of Trustees, is on file and available upon request. Supplemental Information Part III Compensation paid to the Sanford Board of Trustees is for full-time professional responsibilities as physicians, administrators or employees of the organization. The total compensation paid to Kelby Krabbenhoft of $1,539,421 is comprised of Base Salary of $941,885, Incentive Compensation of $332,500 and Other Taxable Earnings of $265,036. In addition, an amount of $589,623 has been reported for the estimated amount of ratable increase in value of the defined benefit pension plan, defined benefit SERP and a Gift Agreement Management Continuity Retention plan. X 1 750000 Appraisal X 1 12123568 Appraisal/PV calc 3 0 1 0 Method for Determining Number of Contributors: Part I, Column (b): The organization is using the number of contributors method. Form 990, Part VI, Section A, line 2 The current executive staff members (President and Vice Presidents) of the Edith Sanford Breast Cancer Foundation have no such business relationships. The following officers, board members, and key employees are employees of Sanford or its related organizations. Many of these employees also serve on other related Sanford boards, or have business relationships with each other that span the organization as a whole: Christopher Meeker, Mark Paulson, Richard Hardie, Kelby Krabbenhoft, JoAnn Kunkel, Lisa Carlson, Brian Mortenson and Kimberly Simpson. Form 990, Part VI, Section A, line 6 Sanford Health, the organization's research and patient care partner, is the sole member of the Edith Sanford Breast Cancer Foundation. Sanford is governed by a Board of Trustees (BOT) that has ultimate strategic and decision making authority. The BOT delegates certain activities and responsibilities to the Boards of each of Sanford's subsidiaries. The unique nature and complexity of the subsidiaries requires each to have a delegated Board with a singular entity focus. Such bodies, referred to as Boards of Directors and Boards of Governors, address matters such as credentialing, accreditation standards, developing budgets, programs and facilities on an entity-specific basis, and generally consist of individuals distinct from Sanford's Trustees. These Boards function much like committees in a traditional corporate structure. The BOT then acts as a holding company Board, synthesizing and reconciling each entity's programs and budgets into a system-wide strategic plan. This structure of governance produces a significant number of trustees, governors and directors, creating a 400+ person collective which acts as a team of ambassadors for Sanford in their respective communities. The Board of Trustees of Sanford is also the Board of Trustees for Sanford Health, and Sanford is the sole corporate member of Sanford Health. Sanford Health, in turn, is the sole corporate member of the organization. The actions approved by the organization's Board of Directors are then approved by the Sanford Board of Trustees. Form 990, Part VI, Section A, line 7a The Sanford Board of Trustees appoints the board members for the Board of Directors of Edith Sanford Breast Cancer Foundation. Form 990, Part VI, Section A, line 7b The Sanford Board of Trustees approves the actions approved by the Board of Directors of Edith Sanford Breast Cancer Foundation. Form 990, Part VI, Section B, line 11 The Form 990 is prepared internally by the finance department and reviewed by executive management. An external accounting firm reviews the return and prepares return highlights and key disclosures for the Board of Trustees meeting prior to the return filing date. Before the return is filed, a complete copy is provided to the current Board of Trustees. Form 990, Part VI, Section B, line 12c The annual Conflict of Interest disclosure process is managed by the Chief Compliance Officer (CCO) of Sanford. The CCO is responsible for assuring that all completed forms are returned in a timely and complete manner. Conflict of Interest questionnaires are sent to System Trustees, members of the governing boards of subsidiary entities, officers, and key employees for all entities subject to the IRS Form 990 filings. The disclosures are summarized for review by the executive committee of its Trustees, pursuant to policy. This review allows: 1) The Board to acquire an awareness of financial relationships of board members and key management employees and can invoke the recusal process on a case-by-case basis when potential conflicts are implicated in Board decisions and deliberations, and, 2) Gives the Board the opportunity to seek additional information and clarification about disclosures to determine potential conflicts of interest, and how to manage them. Form 990, Part VI, Section B, line 15 The Executive Compensation Committee of the Sanford Board of Trustees directly engages a nationally recognized independent compensation consulting firm to annually review the total compensation arrangements of the officers and executives of the organization, including the CEO, and to report the findings to them for deliberation and action. The deliberations and actions are recorded in the minutes of the Sanford Board of Trustees. The most recent study was completed in 2013. Additionally, Sanford periodically engages an independent compensation consultant to review and issue a report regarding the reasonableness of the total compensation arrangements of all physicians employed by the organization. The most recent study of the physician total compensation was completed in 2009. Form 990, Part VI, Section C, line 19 The organization will respond individually to requests or inquiries from the public for these documents. Additional financial information is available to the public at edithsanford.org in the Financials section, located under the About Us tab. Form 990, Part VII The Sanford Board of Trustees has ultimate governance responsibilities for each entity within the Sanford system. In addition, a Board of Directors is established for each entity, which has specific delegated responsibilities from the Board of Trustees related to the oversight of day-to-day operations of that entity. Other Fees Form 990, Part IX, line 11g Other Purchased Services: Program service expenses 0. Management and general expenses 1,531. Fundraising expenses 2,783,305. Total expenses 2,784,836. Consulting Services: Program service expenses 0. Management and general expenses 0. Fundraising expenses 266,303. Total expenses 266,303. Mailing/Bundling: Program service expenses 0. Management and general expenses 0. Fundraising expenses 20,979. Total expenses 20,979. Changes in Net Assets or Fund Balances: Form 990, Part XI, line 9: Transfer from related tax-exempt org for payroll and operating expenses 175,604. Change in value of split-interest agreements 208,411. Allowance for pledges receivable -79. ES Holdings LLC 1305 West 18th Street Sioux Falls SD 57105 611699280 Real Estate Holding Company SD 0 750000 Edith Sanford Breast Cancer Foundation Sanford 801 Broadway Drive Fargo ND 58122 271218956 Supporting Organization ND 501(c)(3) 11-II 0 Sanford Health 1305 West 18th Street Sioux Falls SD 57117 311527032 Supporting Organization SD 501(c)(3) 11-II Sanford 1 Sanford USD Medical Center 1305 West 18th Street PO Box 5039 Sioux Falls SD 571175039 460227855 Hospital SD 501(c)(3) 3 Sanford Health 1 Sanford Health Foundation 1305 West 18th Street Sioux Falls SD 57117 363297853 Supporting Organization SD 501(c)(3) 11-II Sanford Health 1 Sanford Clinic 1305 West 18th Street PO Box 5039 Sioux Falls SD 571175039 460447693 Clinical Services SD 501(c)(3) 3 Sanford Health 1 Sanford Home Health 1305 West 18th Street PO Box 5039 Sioux Falls SD 571175039 460282134 Home Health Services SD 501(c)(3) 9 Sanford Health 1 Sanford Health Network 1305 West 18th Street PO Box 5039 Sioux Falls SD 571175039 460388596 Hospitals/Clinics SD 501(c)(3) 3 Sanford Health 1 Sanford ResearchUSD 1305 West 18th Street PO Box 5039 Sioux Falls SD 571175039 460450378 Research SD 501(c)(3) 3 Sanford Health 1 Sanford World Clinics 1305 West 18th Street Sioux Falls SD 57117 262707628 Healthcare SD 501(c)(3) 3 Sanford Health 1 Sanford North PO Box 2010 Fargo ND 58122 450385890 Supporting Organization ND 501(c)(3) 11-II Sanford 1 Sanford Medical Center Fargo PO Box 2010 Fargo ND 58122 450226909 Hospital ND 501(c)(3) 3 Sanford North 1 FM Ambulance Service Inc 2215 18th St South Fargo ND 58103 450344371 EMT ND 501(c)(4) Sanford North 1 Sanford Health Foundation North PO Box 2010 Fargo ND 58122 450398104 Fundraising ND 501(c)(3) 7 Sanford North 1 Sanford Clinic North PO Box 2010 Fargo ND 58122 911770748 Clinics ND 501(c)(3) 9 Sanford North 1 Sanford Health Network North PO Box 2010 Fargo ND 58122 450409348 Hospitals/Clinics ND 501(c)(3) 11-II Sanford North 1 Sanford Hillsboro PO Box 609 Hillsboro ND 58045 450230400 Hospital ND 501(c)(3) 3 Sanford Health Network North 1 Sanford Health Foundation Hillsboro PO Box 609 Hillsboro ND 58045 363542187 Fundraising ND 501(c)(3) 7 Sanford Hillsboro 1 Sanford Medical Center Mayville 42 6th Ave SE Mayville ND 58257 450228899 Hospital ND 501(c)(3) 3 Sanford Health Network North 1 Sanford Medical Center Thief River Falls 120 Labree Ave S Thief River Falls MN 56701 410709579 Hospital MN 501(c)(3) 3 Sanford Health Network North 1 MeritCare Minnesota 1720 South Highway 59 Thief River Falls MN 56701 261530302 Promotion of health MN 501(c)(3) 3 Sanford North 1 Sanford Medical Center Wheaton 401 12th Street North Wheaton MN 56296 272042143 Hospital/Clinic MN 501(c)(3) 3 Sanford Health Network North 1 Sanford Health of Northern Minnesota 1300 Anne St NW Bemidji MN 56601 411266009 Hospital MN 501(c)(3) 3 Sanford North 1 Sanford Health Foundation of Northern Minnesota 1300 Anne St NW Bemidji MN 56601 411389317 Fundraising - Support MN 501(c)(3) 11-II Sanford Health of Northern Minnesota 1 Baker Park Inc 803 Dewey Ave NW Bemidji MN 56601 411372480 Low Income Senior Housing MN 501(c)(3) 9 Sanford Health of Northern Minnesota 1 North Country Medical Clinic 1300 Anne St NW Bemidji MN 56601 411753855 Family Practice Medical Clinic MN 501(c)(3) 3 Sanford Health of Northern Minnesota 1 Sanford West 300 North 7th Street Bismarck ND 58501 450397195 Supporting Organization ND 501(c)(3) 11-II Sanford 1 Sanford Bismarck 300 North 7th Street Bismarck ND 58501 450226700 Hospital ND 501(c)(3) 3 Sanford West 1 Sanford Living Centers 1000 18th Street NW Suite 1 Bismarck ND 58554 450416454 Long-term Care Facility ND 501(c)(3) 9 Sanford Bismarck 1 Sanford West Foundation 300 North 7th Street Bismarck ND 58501 450397196 Fundraising ND 501(c)(3) 7 Sanford Bismarck 1 Medcenter One Inc Auxiliary 300 North 7th Street Bismarck ND 58501 237293043 Supporting Organization ND 501(c)(3) 11-I Sanford Bismarck 1 National Student Housing-South Dakota LLC 100 S Phillips Ave Sioux Falls SD 57104 202129839 Investment SD N/A RAC Rentals LLC 100 S Phillips Ave Sioux Falls SD 57104 261961077 Investment SD N/A Shetek Medical Services LLC 251 5th Street East Tracy MN 56175 412004685 Home Health Services MN N/A Southwest MN Radiation Center LLC 1018 6th Avenue Worthington MN 56187 460447693 Radiation Services MN N/A Sanford Home Medical Equipment Inc 2710 W 12th Street Sioux Falls SD 57105 460388597 Healthcare Equipment SD N/A C 1 Sanford Health Plan 300 Cherapa Place Sioux Falls SD 57103 911842494 Insurance SD N/A C 1 Sanford Health Plan of MN 300 Cherapa Place Sioux Falls SD 57103 460445852 Insurance MN N/A C 1 Bemidji Medical Equipment Inc 1300 Anne Street NW Bemidji MN 56601 411551725 Retail Sales of DME MN N/A C 1 North Country Management Inc 1300 Anne Street NW Bemidji MN 56601 411820025 Management Services MN N/A C 1 Sanford Frontiers 1305 W 18th Street PO Box 5039 Sioux Falls SD 571175039 455436599 Weight Loss Management SD N/A C 1 SOB Inc 2701 S Minnesota Avenue Suite 2 Sioux Falls SD 57105 460442628 Air Transportation SD N/A C 1 Sanford Affiliated Services Inc 300 N 7th Street Bismarck ND 58501 450403146 Investment Activity ND N/A C 1 Sanford World Clinics - Ghana Sarbah Road Tantri Lorry Station Cape Coast GH Healthcare GH N/A C 1 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Sanford Health Foundation C 6159531 Cash Method Sanford ResearchUSD B 1423845 Cash Method Sanford Health B 1500000 Cash Method