Mercy Health Foundation South

“The member of st. Anthonys charitable foundation is mercy hospital south. The member of mercy hospital south is mercy health east communities, a supporting organization under section 509(a)(3). The member of mercy health east communities is mercy health.”

“Mercy hospital south has reserve powers to appoint and remove all directors and officers for st. Anthonys charitable foundation.”

“Mercy hospital south reserves the following powers and responsibilies: -to approve and establish the mission and philosophy according to which the corporation and all organizations controlled by the corporation shall operate; -to adopt or amend the articles of incorporation and these bylaws in accordance with articles ix and x of these bylaws and to amend the organizational documents of any organization controlled by the corporation; -to appoint or remove, with or without cause, the executive director of the corporation or any organization controlled by the corporation; -to approve or amend the overall strategic, long range, business plans, goals and objectives of the corporation or any organization controlled by the corporation; -to approve or amend the consolidated operating and capital budgets for the corporation or any organization controlled by the corporation and changes in budgets in excess of an amount established from time to time by the corporate member; -to authorize and approve the lease or sale of any of the assets of the corporation or any organization controlled by the corporation in excess of an amount established from time to time by the corporate member; -to encumber any or all of the assets of the corporation or any organization controlled by the corporation; -to authorize and approve the incurrence of debt by the corporation or any organization controlled by the corporation (other than debt incurred for the acquisition of goods in the ordinary course of business) and to grant any security interests, place any encumbrances, enter into any covenants, and executy any documents and take any actions necessary or appropriate in connection with the incurrence of such debt; -to merge, dissolve, or abandon the corporation or any organization controlled by the corporation, subject to approval by the board as required pursuant to the missouri nonprofit corporation act; -to manage and direct the investment of gifts and grants that are made to the corporation; -to resolve any impasse or deadlock that occurs with any action taken or proposed to be taken or considered by the board or the executive committee; -to determine how to expend the unrestricted funds in the event that the corporate member makes a recommendation for the expenditure of unrestructed funds and such recommendation is not approved by the board; and, -to approve of the corporation's receipt and acceptance of gifts and grants of restricted funds.”

“The form 990 is prepared by an independent accounting firm, using information provided by the filing organization. A draft form 990 is reviewed by the filing organization's finance leadership team. The draft form 990 is also reviewed by mercy health's tax department, to ensure accuracy and consistency with other related organizations' form 990s. After questions arising from the various reviews are addressed and incorporated into the form 990, a revised draft is provided to the filing organization's leadership team, including the cfo and ceo, for review. Once reviewed and approved by the filing organization's leadership team, the form 990 is then signed and filed with the irs.”

“Officers, directors, key employees and other disqualified persons are required to complete a conflict of interest questionnaire annually and did so in the normal course for the year ended june 30, 2018. This process is administered at the mercy health level by mercy's corporate compliance department. The questionnaires are reviewed with leadership at the local level and potential conflicts discussed and resolved. The conflicts and their respective resolutions are shared at the mercy level with a team including mercy's chief financial officer, chief compliance officer and other members of finance, legal and hr. Summary results are reviewed with mercy's stewardship committee of the board of directors.”

“For those classified as officers (and thus disqualified persons), mercy health (ultimate parent company) uses the following to establish the compensation: external market salary surveys, external market salary studies, engagement of an independent compensation consultant, and annual review/approval of compensation by the compensation committee of the mercy health board. For those classified as key employees, the following are used to establish the compensation: external market salary surveys, external market salary studies, and review/approval of executive management. Compensation reviews are completed on an annual basis, and a review was completed during the reporting year.”

“Governing documents and financial statements are made available from time to time but are not published publicly; we are not required to make these documents available to the public. Financial results are available via request of copy of form 990.”

“Average hours per week the hours per week disclosed in part vii is the average hours the listed person worked or devoted per week while employed or associated with the filing organization and related organizations (if applicable).”

“Independent contractors independent contractors for the filing organization are paid by the mercy health (ein 43-1423050). As such, all required form 1099 and form 1096 reporting is made for the entire health system (with limited exceptions) under the mercy health ein.”

“Transfer unrestricted funds to temp restricted funds 365,529.”

“Audited financial statements the filing organization's financial statements were included in the mercy health and subsidiaries annual financial statement audit. Mercy health and subsidiaries received an unqualified opinion from the external auditors for fiscal 2018 (the tax year currently being reported). However, no separate audit opinion is issued on the financial statements of the filing organization. The ultimate responsibility for oversight of the financial statement audit and selection of the external auditor lies with the stewardship committee of the mercy health board of directors. Audit results are communicated to this committee.”

“System limitations lawson erp software is the primary accounting software used by mercy health system, inc. And subsidiaries. The majority of the intercompany/related organization transactions are processed through lawson via intercompany journal entries. With the current design of the erp system, there are various limitations on the related organization information that can be extracted from lawson. Due to these limitations,most of the related organization activity for the filing organization has been classified on schedule r, part v, in lines b and c.”

“W-3 filing salaries and wages with limited exceptions, the salaries and wages reported on form 990, part ix, line 7 represent an allocation of salaries and wages from a related organization. Most employees are paid by a related organization under a common paymaster arrangement. As such, all required payroll filing for these employees (including w-2 and w-3's) is reported under the related organization, mhm support services,ein 20-2553101.”

“Mercy hospitals east communities mercy hospitals east communities consists of mercy hospitals east communities st. Louis, ein 43-0653493, and mercy hospitals east communities washington, ein 43-1066883.”