Mainhealth Services

“The articles of incorporation were amended for two purposes: 1) to clarify the charitable purposes of the corporation with respect to the names of the tax-exempt subsidiaries for which mainehealth is a supporting organization. 2) to clarify certain actions requiring approval by the corporate members.”

“The organization has members who serve on a board of corporators.”

“The organization's board of corporators has the ability to elect trustees, except for "transitional trustees", at an annual or a special meeting.”

“As stated in the organization's by laws, the board of corporators shall act on any matters brought to it by the board of trustees.”

“The 990 was reviewed in detail by the executive committee of the board of trustees. The executive vice president & treasurer also reviewed the 990 in detail prior to signing the return. The form 990 was provided to the full board of trustees prior to filing the return.”

“Conflict of interest statments are obtained annually. The organization reviews the responses to these documents and addresses any issues immediately.”

“The process followed for determining compensation of the ceo and other key administrative employees compensated by this or other related organization is a formal process performed annually by the executive committee of the board of directors. A related organization uses an outside firm, sullivan cotter, to perform an independent benchmark analysis for the ceo of mainehealth, along with other executives in the mainehealth system. The firm meets with the executive committee to review each executive's benchmark report. The committee then deliberates on mainehealth's written salary and incentive plan philosophy before making a final decision. All decisions and meetings are captured in minutes and there are appropriate approvals at all levels.”

“See explanation above under form 990, part vi, line 15a - compensation for top official.”

“Documents that are required to be open for public inspection are made available upon request.”

“Amounts included in part vii, section b. Independent contractors may include payments that are made by mainehealth on behalf of its member organizations. Refer to part v, line 1a - additional information response.”

“Mainehealth will lead the development of the premier community care network that provides a broad range of integrated health care services in maine and northern new england. Through mainehealth's affiliated organizations, the network will organize services along the full continuum of care necessary to improve the health status of the populations it serves in a cost effective manner.”

“(continued from page 2 of 990, line 4c) programs in inpatient care focus on surgical quality improvement, sepsis care, ami, infection prevention, hospital medicine, informatics and pharmacy and therapeutics. We have programs that focus on transitions of care such as emergency medicine, reducing readmissions, pre-hospital care and heart failure. In addition there are programs that cut across the continuum such as telehealth, elder care services, education services, high value healthcare collaborative, and other programs more broadly focused on improving quality and value.”

“Mainehealth's other programs include access to care programs (carepartners and medaccess);community education programs (mainehealth learning resource centers, northern new england poison center, cancer resource center, and shared decision making resource center) and subsidized health services.”

“Maine medical center, acting on behalf of mainehealth (ein 01-0431680), filed 952 form 1099s for the calendar year 2015 on behalf of the following organizations: mainehealth, maine medical center, waldo county healthcare, inc., waldo county general hospital, coastal healthcare alliance, mmc realty, maine medical partners, nordx, and home health visiting nurses.”

“Mainehealth has established an information systems project, known as the shared electronic health record (sehr), to implement a system-wide integrated electronic health record system and financial system. In 2014, funding for a portion of the sehr project was acquired by mainehealth through the issuance of a tax exempt revenue bond through the finance authority of maine in the amount of 94,800,000. Section 168 of the internal revenue code requires that projects funded by tax-exempt sources of financing be depreciated using the alternative depreciation system (ads). The ads system requires that computer technology systems be depreciated over a period of 60 months. For generally accepted accounting principles (gaap), mainehealth is using between 120 and 144 month useful lives for the sehr system, as management believes that these periods better reflect the useful life given the amount invested and the complexity of implementation. As a result, there is a significant temporary book to tax difference recorded at september 30, 2016 in the amount of 62,105, 101. During fy 2016, book to tax depreciation difference in the amount of 42,044,309 was recorded as a reduction in net assets to reflect the impact for fiscal years 2014 and 2015. The fiscal year 2016 book to tax depreciation adjustment of 20,060,792 was recorded as an increase to current year depreciation expense. Had the current year book to tax difference not been recorded, mainehealth would have reported a net gain for fy 2016 of 2,982,814.”

“Equity transfer from affiliates 2,000,000 sehr depreciation -42,044,309 total -40,044,309”