Dubuque Mercy Health Foundation

“Kay takes, dubuque mercy health foundation board member, and stacey hines, dubuque mercy health foundation board member, have a business relationship.”

“The sole member of dubuque mercy health foundation (the foundation) is mercy health services-iowa. See line 7 for additional information.”

“Mercy health services-iowa is the sole member of the foundation. Mercy health services-iowa has the right to appoint all persons to the board of directors of the foundation.”

“As sole member, mercy health services-iowa must approve certain decisions of the governing body, including the strategic plan, annual capital plan, and annual operating budget. Mercy health services-iowa must also approve significant changes such as a merger, dissolution, sale of assets in excess of certain limits, and modifications to governing documents. As the parent of the national trinity health system, certain powers are reserved to trinity health corporation. These include the authority to adopt or modify the organization's governing documents, to approve major changes such as a merger or dissolution, and to approve significant finance matters in excess of certain limits established by trinity health corporation.”

“Line 8b is answered "no" because the foundation had no committees with authority to act on behalf of the governing body.”

“Prior to filing, the form 990 for the foundation is reviewed by management. Each member of the board receives a copy of the return in its final form before it is filed with the internal revenue service.”

“The foundation has adopted trinity health's governance policy no. 1, which sets forth the organization's conflict of interest policy and processes. It applies to all "interested persons" of the foundation, which includes directors, principal officers, and key employees. Interested persons are expected to discharge their duties in a manner the person reasonably believes to be in the best interests of the foundation and to avoid situations involving a conflict of interest. On an annual basis, interested persons are required to complete a conflict of interest disclosure statement and to affirm their receipt of the conflict of interest policy, compliance with its requirements, and agree to notify the organization of changes impacting their annual disclosure in accordance with the policy. The annual disclosures are provided to the integrity and compliance officer, who collaborates with internal legal counsel to assess the conflict and identify a conflict management plan when necessary. Additionally, the integrity and compliance officer along with legal counsel prepares a report for the board chair and ceo. A summary of potential conflicts is reviewed with the board of directors of the foundation on a yearly basis. Interested persons are required to make full disclosure to the foundation of any financial or business interests that might result in or have the appearance of a conflict of interest. The board of directors of the foundation is responsible for the review of transactions to determine whether an actual conflict of interest exists. In the event of an actual conflict, the board will either avoid the conflict or appropriately scrutinize the transaction to ensure it is in the best interests of the foundation. Interested persons are required to recuse themselves from discussion and voting on matters involving a conflict of interest. The policy further addresses the proper documentation of the proceedings and potential disciplinary and corrective action for violations of the policy. The policy is available to the public upon request.”

“Question 15a is answered "no" because the compensation for the foundation's executive director is established by mercy health services - iowa (d/b/a mercyone dubuque medical center), a related organization. Question 15b is answered "no" because the compensation for certain officers and key management officials of the foundation is established by trinity health, a related organization. In establishing ceo and vice president finance compensation, trinity health follows a process and policy that is intended to mirror the irc section 4958 guidelines for obtaining a "rebuttable presumption of reasonableness" with regard to compensation and benefits. As part of that process, the compensation and benefits of the ceo and vice president finance of the foundation are reviewed at least annually by the trinity health board or the trinity health human resources and compensation committee (hrcc) of the board, authorized to act on behalf of the board with respect to certain compensation matters. As part of its review process, the hrcc retains an independent firm experienced in compensation and benefit matters for not-for-profit health care organizations to advise it in the determinations it makes on the reasonableness of proposed compensation and benefits arrangements.”

“The foundation is a subsidiary organization in the trinity health system. Trinity health makes certain of its key documents available to the public on its website, www.trinity-health.org, in the "about us" section. In this section, the consolidated audited financial statements are publicly available. The foundation's governing documents and conflict of interest policy are available upon request.”

“Individuals who work at the foundation are on the payroll of a related organization. These individuals' salaries and benefits are allocated to the foundation and are reported on part ix, lines 5 and 7.”

“Equity transfers to/from affiliates 4,258.”

“The foundation's financial statements were included in the fy24 consolidated financial statements of trinity health, which were audited by an independent public accounting firm.”