| FORM 990, PART V, LINE 7H |
FILING OF FORM 1098C THE ORGANIZATION DID NOT RECEIVE ANY CONTRIBUTIONS OF AUTOMOBILES, BOATS, AIRPLANES OR OTHER VEHICLES. CONSEQUENTLY NO FORMS 1098C WERE FILED. |
| FORM 990, PART VI, SECTION A, LINE 6 |
THE SOLE MEMBER OF THIS ORGANIZATION IS EMANATE HEALTH, A CALIFORNIA NONPROFIT PUBLIC BENEFIT CORPORATION. |
| FORM 990, PART VI, SECTION A, LINE 7A |
THE SOLE MEMBER OF THIS ORGANIZATION IS EMANATE HEALTH. THE MEMBER THROUGH THE BOARD OF DIRECTORS HAS THE RIGHT TO ELECT OR APPOINT ONE OR MORE MEMBERS OF THE ORGANIZATION'S GOVERNING BODY. |
| FORM 990, PART VI, SECTION A, LINE 7B |
DECISIONS OF THE GOVERNING BODY ARE SUBJECT TO THE APPROVAL OF THE ORGANIZATION'S SOLE MEMBER, EMANATE HEALTH. |
| FORM 990, PART VI, SECTION B, LINE 11B |
STAFF ACCOUNTANTS, DIRECTOR OF FINANCE AND VICE PRESIDENT OF CORPORATE FINANCE REVIEW FORM 990 FOR ACCURACY AND COMPLETENESS UPON RECEIVING IT FROM THE CPA TAX PREPARER. FORM 990 IS FORWARDED TO RAJESH SHARMA, EVP & CFO, FOR THE FINAL REVIEW. TAX PREPARER PRESENTS FORM 990 TO THE AUDIT AND COMPLIANCE COMMITTEE FOR APPROVAL. BOARD DELEGATED REVIEW AND APPROVAL TO THE AUDIT AND COMPLIANCE COMMITTEE. |
| FORM 990, PART VI, SECTION B, LINE 12C |
ALL BOARD MEMBERS, KEY EMPLOYEES, AND MANAGEMENT ARE COVERED BY THE CONFLICT OF INTEREST POLICY. DETERMINATIONS OF CONFLICT AND REVIEW OF CONFLICT ARE PERFORMED AT THESE VARIOUS LEVELS OF THE ORGANIZATION. APPROPRIATE ACTION DEPENDING ON THE CONFLICT IS TAKEN BY MANAGEMENT, KEY EMPLOYEES, AND THE BOARD. DISCLOSURE FORMS ARE REQUIRED ANNUALLY BY EACH MEMBER OF THE BOARD OF DIRECTORS, KEY EMPLOYEES, AND MANAGEMENT. |
| FORM 990, PART VI, SECTION B, LINE 15 |
EXECUTIVE PAY AT EMANATE HEALTH FOLLOWS MARKET-BASED PAY PRACTICES FOR HEALTHCARE ORGANIZATIONS OF SIMILAR SIZE AND TYPE IN THE SOUTHERN CALIFORNIA AREA. SALARY RANGES FOR EXECUTIVES WORKING AT EMANATE HEALTH FACILITIES FALL WITHIN THE MIDDLE OF THE MARKET, JUST AS THEY DO FOR ALL EMPLOYEES OF OUR ORGANIZATION. EVERY POSITION IN THE ORGANIZATION HAS A SALARY RANGE ATTACHED TO IT THAT REPRESENTS WHAT OTHERS DOING A SIMILAR JOB IN OTHER ORGANIZATIONS ARE LIKELY TO BE PAID. THE LONG-STANDING PAY PHILOSOPHY FOR EMANATE HEALTH HAS BEEN TO POSITION OUR SALARY RANGES IN THE MIDDLE OF OUR LOCAL LABOR MARKET; WE DON'T WANT TO LAG THE LOCAL MARKET, NOR DO WE WANT TO LEAD THE MARKET, SINCE THAT IS NOT A STRATEGY WE CAN AFFORD TO SUSTAIN OVER TIME. WE RELY ON MARKET STUDIES TO DETERMINE WHERE OUR PAY PRACTICES ARE RELATIVE TO OTHER HOSPITALS IN SOUTHERN CALIFORNIA. FOR EXECUTIVE PAY, WE USE THE NATIONALLY-RECOGNIZED AND RESPECTED FIRM, HEWITT ASSOCIATES LLC, AN AON HEWITT COMPANY (AON), TO ANALYZE OUR EXECUTIVE PAY PROGRAM AND DETERMINE WHERE IT FALLS IN OUR MARKET. THIS STUDY IS PERFORMED EVERY OTHER YEAR. THE MOST RECENT EXECUTIVE COMPENSATION DATA IS DATED MAY 2018. AS PART OF THEIR EXECUTIVE COMPENSATION REVIEW, AON ALSO ISSUES AN OPINION LETTER REGARDING THE REASONABLENESS OF THE PAY PROGRAM FOR A NOT-FOR-PROFIT ORGANIZATION LIKE OURS THAT IS SUBJECT TO THE REQUIREMENTS OF SECTION 4958 OF THE INTERNAL REVENUE CODE AND UNITED STATES TREASURY DEPARTMENT REGULATIONS. IN THEIR MAY 4, 2018, OPINION LETTER, AON WROTE, "THIS LETTER IS TO INDICATE THAT WE HAVE REVIEWED THE CURRENT COMPENSATION LEVELS, STRUCTURE, AND ADMINISTRATION OF THE EXECUTIVE COMPENSATION PROGRAM AT EMANATE HEALTH. THE FOLLOWING REVIEW IS BASED UPON OUR COMPREHENSIVE REPORT ENTITLED: ALIGNING EXECUTIVE COMPENSATION AND STRATEGY. THIS REPORT WAS PRESENTED TO THE COMPENSATION COMMITTEE ON MAY 9TH AND DISCUSSED IN DETAIL. BASED UPON THIS REVIEW, WE FIND THEM IN SUBSTANTIAL COMPLIANCE WITH ALL CURRENT RULES, REGULATIONS, AND GUIDELINES GOVERNING EXECUTIVE COMPENSATION IN NOT-FOR-PROFIT (501.C) CORPORATIONS. FURTHER, THE LEVELS OF COMPENSATION AWARDED TO THE VARIOUS EXECUTIVES, BOTH IN TERMS OF OPPORTUNITY AND ACTUAL AMOUNTS, ARE CONSISTENT AND REASONABLE WITH PREVAILING MARKET TRENDS AND PRACTICES. LASTLY, THE GOVERNING PRACTICES OF THE COMPENSATION COMMITTEE ARE CONSISTENT WITH SARBANES-OXLEY GUIDELINES AND SECTION 4958 (INTERMEDIATE SANCTIONS) GUIDELINES FOR INDEPENDENCE." THE EXECUTIVE POSITIONS THAT ARE INCLUDED IN THE EXECUTIVE COMPENSATION REVIEW INCLUDE THE PRESIDENT/CEO, CHIEF MEDICAL OFFICER, EXECUTIVE VICE PRESIDENT/CHIEF FINANCIAL OFFICER, CHIEF NURSE & CLINICAL EXECUTIVE (FPH/ICH), CHIEF NURSE & CLINICAL EXECUTIVE (QVH), CHIEF HUMAN RESOURCES OFFICER, CHIEF SUPPORT SERVICES OFFICER, CHIEF MARKETING & COMMUNICATIONS OFFICER AND CEO (EMANATE HEALTH FOUNDATION). EMANATE HEALTH EXECUTIVE COMPENSATION PHILOSOPHY IS DESIGNED TO ASSIST EMANATE HEALTH IN ATTRACTING AND RETAINING THE CALIBER OF EXECUTIVE REQUIRED TO ENABLE EMANATE HEALTH TO FULFILL ITS MISSION OF PROVIDING HIGH QUALITY HEALTHCARE FOR ALL PERSONS REGARDLESS OF THEIR ABILITY TO PAY FOR SERVICES, IMPROVING THE QUALITY OF LIFE IN THE COMMUNITIES EMANATE HEALTH SERVES, PROMOTING PATIENT AND EMPLOYEE SATISFACTION, AND ENSURING FINANCIAL STABILITY. A SUBSTANTIAL PORTION OF EXECUTIVE COMPENSATION IS PERFORMANCE BASED AND IS LINKED TO ORGANIZATIONAL GOALS APPROVED IN ADVANCE BY THE HUMAN RESOURCES AND COMPENSATION COMMITTEE. THESE GOALS INCLUDE ATTAINMENT OF ANNUAL AND LONG-TERM FINANCIAL PERFORMANCE, CERTAIN HEALTHCARE QUALITY STANDARDS AND EMANATE HEALTH'S COMMITMENT TO SERVING THE POOR AND DISENFRANCHISED IN THE COMMUNITIES IT SERVES. TOTAL COMPENSATION, WHICH INCLUDES BASE SALARY, ANNUAL AND LONG-TERM INCENTIVE COMPENSATION, IS ESTABLISHED TO APPROXIMATE THE PREVAILING MARKET CONDITIONS FOR EXECUTIVES OF COMPANIES OF SIMILAR SIZE AND REVENUE. |
| FORM 990, PART VI, SECTION C, LINE 19 |
UPON REQUEST AN AUDIT REPORT IS AVAILABLE AS REQUIRED. NO OTHER DOCUMENTS ARE AVAILABLE TO THE PUBLIC. |
| FORM 990, PART IX, LINE 11G |
MEDICAL DOCTOR'S FEE: PROGRAM SERVICE EXPENSES 11,133,757. MANAGEMENT AND GENERAL EXPENSES 597,378. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 11,731,135. CONSULTING: PROGRAM SERVICE EXPENSES 763,138. MANAGEMENT AND GENERAL EXPENSES 40,946. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 804,084. OTHER PROFESSIONAL FEES: PROGRAM SERVICE EXPENSES 13,477. MANAGEMENT AND GENERAL EXPENSES 723. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 14,200. |
| FORM 990, PART IX, LINE 24E |
CONTRACT LABOR: PROGRAM SERVICE EXPENSES 5,984,932. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 5,984,932. UTILITIES: PROGRAM SERVICE EXPENSES 4,711,764. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 4,711,764. OTHER EXPENSES: PROGRAM SERVICE EXPENSES 2,131,485. MANAGEMENT AND GENERAL EXPENSES 722,069. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 2,853,554. EQUIPMENT RENTAL: PROGRAM SERVICE EXPENSES 1,665,545. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 1,665,545. DUES: PROGRAM SERVICE EXPENSES 561,349. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 561,349. BANK CHARGES: PROGRAM SERVICE EXPENSES 62,303. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 62,303. AMORTIZTION OF BOND DISCOUNT: PROGRAM SERVICE EXPENSES 4,434. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 4,434. |
| FORM 990, PART XI, LINE 9: |
UNRESTRICTED REVENUE - BENEFICIAL INTEREST PER BOOKS 1,398,954. UNRESTRICTED FUND ENDING BALANCE - BENEFICIAL INTEREST -1,460,316. RESTRICTED FUND ENDING BALANCE - BENEFICIAL INTEREST -273,845. PASSTHROUGH INCOME DIFFERENCE -64,970. ROUNDING -1. |
| FORM 990, PART XII, LINES 2B: |
AUDITED FINANCIAL STATEMENTS THE FINANCIAL STATEMENTS OF EMANATE HEALTH AND ITS AFFILIATES, EMANATE HEALTH MEDICAL CENTER, EMANATE HEALTH HOSPICE, EMANATE HEALTH FOOTHILL PRESBYTERIAN HOSPITAL, EMANATE HEALTH FOUNDATION, AND GLENDORA SURGERY CENTER, AND EMANATE HEALTH MSO WERE AUDITED ON A CONSOLIDATED BASIS. |
| FORM 990, PART XII, LINE 2C |
AUDIT AND COMPLIANCE COMMITTEE THE BOARD OF DIRECTORS HAS CONSTITUTED AN AUDIT AND COMPLIANCE COMMITTEE AND DELEGATED TO THAT COMMITTEE THE RESPONSIBLITY FOR ENAGING INDEPENDENT AUDITORS AND MONITORING THE AUDIT PROCESS. THIS STRUCTURE HAS BEEN IN EFFECT IN PRIOR YEARS AND WAS NOT CHANGED IN 2019. |
| FORM 990, PART VII, SECTION A, LINE 1A AND SCHEDULE J |
REPORTABLE COMPENSATION FROM RELATED ORGANIZATIONS THE OFFICERS REPORTED ON PART VII OF FORM 990 AND SCHEDULE J RECEIVE THEIR ENTIRE COMPENSATION FROM EMANATE HEALTH. THE IRS INSTRUCTIONS TO FORM 990 REQUIRE THAT ALL COMPENSATION PAID BY A RELATED ORGANIZATION MUST BE DISCLOSED IN THE 990 RETURN FOR EACH AFFILIATED ENTITY. THEREFORE, THE OFFICER COMPENSATION REPORTED IN THE 990 RETURNS FOR EMANATE HEALTH MEDICAL CENTER, EMANATE HEALTH HOSPICE, EMANATE HEALTH FOOTHILL PRESBYTERIAN HOSPITAL AND EMANATE HEALTH FOUNDATION, ALL ORGANIZATIONS RELATED TO EMANATE HEALTH, CONSTITUTE THE COMPENSATION PAID BY EMANATE HEALTH AND DOES NOT REPRESENT ADDITIONAL COMPENSATION TO SUCH OFFICERS. |
| PART VII, SECTION A |
REPORTABLE HOURS FOR RELATED ORGANIZATIONS THE OFFICERS SERVE AS CORPORATE OFFICERS FOR EMANATE HEALTH, EMANATE HEALTH MEDICAL CENTER(EHMC), EMANATE HEALTH HOSPICE (HOSPICE), EMANATE HEALTH FOOTHILL PRESBYTERIAN HOSPITAL (FPH) AND EMANATE HEALTH FOUNDATION (FOUNDATION), ALL AFFILIATES OF THE TAXPAYER. THE NUMBER OF HOURS DEVOTED BY THE CORPORATE OFFICERS TO THE AFFILIATES ARE AS FOLLOWS. ROBERT CURRY DEVOTED 4, 2, 2, AND 18 HOURS TO FPH, HOSPICE, FOUNDATION, AND EMANATE HEALTH, RESPECTIVELY. RAJESH SHARMA DEVOTED 4, 2, 2, AND 18 HOURS TO FPH, HOSPICE, FOUNDATION, AND EMANATE HEALTH, RESPECTIVELY. |
Attach to Form 990 or 990-EZ.