Civic Intelligence

Creative Testing Solutions

990 • Fiscal year 2015 • EIN 27-1120123

Jan 01, 2015 to Dec 31, 2015 • Filed on Apr 21, 2016

6210 East Oak StreetScottsdale, AZ 85257

(602) 343-7016

Siviq Scores

Precomputed percentiles for this filing year versus similar nonprofits in the same peer cohort.

Liabilities / Assets

42nd percentile

0.28x

Higher debt load relative to assets than 42% of similar nonprofits.

2015 filings • 501(c)3 • $250M-$1B nonprofits • Source year 2015

Liabilities / Revenue

11th percentile

0.12x

Higher debt load relative to revenue than 11% of similar nonprofits.

2015 filings • 501(c)3 • $250M-$1B nonprofits • Source year 2015

Net Margin

64th percentile

10%

Higher net margin than 64% of similar nonprofits.

2015 filings • 501(c)3 • $250M-$1B nonprofits • Source year 2015

Top Officer Pay

63rd percentile

$1,125,639

Higher top officer pay than 63% of similar nonprofits.

Top officer pay equals 0.5% of source-year revenue.

2015 filings • 501(c)3 • $250M-$1B nonprofits • Source year 2015

Asset Growth

64th percentile

4.6%

Faster asset growth than 64% of similar nonprofits.

2015 filings • 501(c)3 • $250M-$1B nonprofits • Annualized from 2014 to 2015

Revenue Growth

46th percentile

3.5%

Faster revenue growth than 46% of similar nonprofits.

2015 filings • 501(c)3 • $250M-$1B nonprofits • Annualized from 2014 to 2015

Assets

Up

$94,976,211

Up $4,164,176 (+4.6%) from 2014

Net Assets

Up

$68,015,221

Up $1,112,467 (+1.7%) from 2014

Liabilities

Up

$26,960,990

Up $3,051,709 (+13%) from 2014

Revenue

Up

$226,176,518

Up $7,727,028 (+3.5%) from 2014

Expenses

Up

$203,536,274

Up $241,017 (+0.1%) from 2014

Net Income

Up

$22,640,244

Up $7,486,011 (+49%) from 2014

Historical Trend

Balance Sheet Trend

The highlighted filing sits inside the broader history for assets, liabilities, and net assets.

$300M$200M$100M$0Assets 2010: $49,782,586Liabilities 2010: $20,052,373Net Assets 2010: $29,730,2132010Assets 2011: $63,954,901Liabilities 2011: $21,779,224Net Assets 2011: $42,175,6772011Assets 2013: $73,380,094Liabilities 2013: $22,328,470Net Assets 2013: $51,051,6242013Assets 2014: $90,812,035Liabilities 2014: $23,909,281Net Assets 2014: $66,902,7542014Assets 2015: $94,976,211Liabilities 2015: $26,960,990Net Assets 2015: $68,015,2212015Assets 2016: $119,277,331Liabilities 2016: $31,236,644Net Assets 2016: $88,040,6872016Assets 2018: $165,158,769Liabilities 2018: $64,862,780Net Assets 2018: $100,295,9892018Assets 2019: $186,188,612Liabilities 2019: $45,394,951Net Assets 2019: $140,793,6612019Assets 2020: $151,303,891Liabilities 2020: $79,523,784Net Assets 2020: $71,780,1072020Assets 2021: $144,759,608Liabilities 2021: $65,863,453Net Assets 2021: $78,896,1552021Assets 2022: $202,650,150Liabilities 2022: $87,822,725Net Assets 2022: $114,827,4252022Assets 2024: $238,533,836Liabilities 2024: $95,429,009Net Assets 2024: $143,104,8272024

Highlighted filing

2015

Assets$94,976,211
Liabilities$26,960,990
Net Assets$68,015,221

Operations Trend

Revenue, expenses, and net income across loaded years, with this filing highlighted.

$600M$400M$200M$0Expenses 2010: $185,733,3742010Expenses 2011: $189,150,0092011Revenue 2013: $225,048,396Expenses 2013: $220,974,994Net Income 2013: $4,073,4022013Revenue 2014: $218,449,490Expenses 2014: $203,295,257Net Income 2014: $15,154,2332014Revenue 2015: $226,176,518Expenses 2015: $203,536,274Net Income 2015: $22,640,2442015Revenue 2016: $240,192,640Expenses 2016: $222,512,519Net Income 2016: $17,680,1212016Revenue 2018: $434,869,430Expenses 2018: $404,083,640Net Income 2018: $30,785,7902018Revenue 2019: $409,465,869Expenses 2019: $370,122,158Net Income 2019: $39,343,7112019Revenue 2020: $405,650,488Expenses 2020: $374,330,027Net Income 2020: $31,320,4612020Revenue 2021: $369,133,933Expenses 2021: $327,070,326Net Income 2021: $42,063,6072021Revenue 2022: $438,773,486Expenses 2022: $396,704,355Net Income 2022: $42,069,1312022Revenue 2024: $495,397,605Expenses 2024: $438,196,436Net Income 2024: $57,201,1692024

Highlighted filing

2015

Revenue$226,176,518
Expenses$203,536,274
Net Income$22,640,244
Jump To
Filing Snapshot
Filing Period
Jan 1, 2015 to Dec 31, 2015
Signed
Apr 21, 2016
Return Version
2015v2.1
Gross Receipts
$250,223,922
Mission and Program Overview

Mission

To provide exceptional customized laboratory testing services to support the hospitals and other healthcare organizations with their life saving missions.

Balance Sheet Detail
LineBeginningEndChange
Assets
Accounts Receivable$28,304,813$34,031,089▲ $5,726,276
Savings and Temporary Cash Investments$32,317,650$32,011,699▼ $305,951
Cash and Non-Interest-Bearing Accounts$23,632,757$19,103,408▼ $4,529,349
Land, Buildings, and Equipment, Net$1,197,770$7,129,598▲ $5,931,828
Inventories for Sale or Use$4,697,523$1,961,027▼ $2,736,496
Prepaid Expenses and Deferred Charges$561,522$639,390▲ $77,868
Other Notes and Loans Receivable, Net$0$0→ $0
Pledges and Grants Receivable$0$0→ $0
Receivable From Disqualified Prsn$0$0→ $0
Receivables From Officers Etc$0$0→ $0
Investments Other Securities$0$0→ $0
Investments Program Related$0$0→ $0
Investments in Publicly Traded Securities$0$0→ $0
Intangible Assets$0$0→ $0
Loans From Officers Directors$0$0→ $0
Total Assets$90,812,035$94,976,211▲ $4,164,176
Other Assets Total$100,000$100,000→ $0
Liabilities
Accounts Payable and Accrued Expenses$23,909,281$26,960,990▲ $3,051,709
Grants Payable$0$0→ $0
Mortgage Notes Payable Secured by Investment Property$0$0→ $0
Unsecured Notes Loans Payable$0$0→ $0
Other Liabilities$0$0→ $0
Deferred Revenue$0$0→ $0
Escrow Account Liability$0$0→ $0
Tax Exempt Bond Liabilities$0$0→ $0
Total Liabilities$23,909,281$26,960,990▲ $3,051,709
Net Assets / Fund Balance
Unrestricted Net Assets$66,902,754$68,015,221▲ $1,112,467
Permanently Rstr Net Assets$0$0→ $0
Temporarily Rstr Net Assets$0$0→ $0
Total Net Assets Fund Balance$66,902,754$68,015,221▲ $1,112,467
Total Liabilities and Net Assets / Fund Balance$90,812,035$94,976,211▲ $4,164,176

Asset Categories

AssetBook ValueDepreciationBasis
Equipment$4,709,451$16,498,198$21,207,649
Other Land Buildings$1,583,818$1,102,103$2,685,921
Leasehold Improvements$836,329$755,919$1,592,248
Compensation and Service Providers

Employees

NameTitleFull / Part TimeBaseOtherTotal
Sally CagliotiPresidentFT$364,615$761,024$1,125,639
Phillip Williamson PhdVice PresidentFT$225,785$86,897$312,682
Marc PearceVice PresidentFT$213,403$91,553$304,956
Nancy L HaubertDirectorFT$135,444$136,956$272,400
Michael PhillipsDirectorFT$195,362$71,817$267,179
Joan Dunn-williamsDirectorFT$184,018$74,291$258,309
Eugene Robertson PhdVICE PRESIDENT (thru 5/2015)FT$122,561$106,858$229,419
German Leparc MdChief Medical OfficerPT$203,757$17,023$220,780
Sheryl J CyrusDirectorFT$147,972$67,934$215,906
Morris DixonDirector-$12,507$175,219$187,726
Charles MoreheadIt Director (thru 11/2015)FT$139,563$29,238$168,801
Ron Waeckerlin MdTrustee--$36,000$36,000
William G GreenTrustee/secretary/treasurer--$26,500$26,500
Gary K WildeTrustee/chair--$25,250$25,250
Kathleen S PushorTrustee--$23,250$23,250

Board Members and Trustees

NameTitle
Chris StilesTrustee/vice Chair
Donald D DoddridgeTrustee
J Daniel ConnorTrustee
James P Aubuchon MdTrustee
James P CovertTrustee
Rick WalshTrustee
Susan BarnesTrustee/CFO
Bhavi ShahAssistant Secretary

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Midnite ExpressDelivery ServiceDEPT 8255, Los Angeles, CA 90084$326,812
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Revenue and Support

Revenue Composition

Contributions and Grants
$0
Program Service Revenue
$214,954,255
Investment Income
$11,222,263
Other Revenue
$0
Change in Net Assets
$22,640,244

Audited Revenue Reconciliation

Revenue per Audited Statements
$226,241,231
Revenue Not Reported on Financial Statements
$-64,713
Revenue Not Reported on Form 990
$-11,527,777
Other Revenue Adjustments
$-64,713
Total Revenue per Audited Statements
$214,713,454
Total Revenue per Form 990
$226,176,518
Expenses and Functional Allocation

Major Expense Lines

Line ItemAmount
Other Expenses$167,166,544
Salaries, Compensation, and Employee Benefits$35,269,136
Grants and Similar Amounts Paid$1,100,594
Professional Fundraising Fees$0
Total Fundraising Expense$0

Functional Expense Allocation

Line ItemProgramManagementFundraisingTotal
Other Salaries and Wages$23,363,861$2,359,286-$25,723,147
Other Expenses$397,791$5,980,698-$6,378,489
Office Expenses$3,623,608$34,552-$3,658,160
Occupancy$3,145,991$262,192-$3,408,183
Other Employee Benefits$2,701,066$600,495-$3,301,561
Pension Plan Contributions$2,347,915$321,142-$2,669,057
Payroll Taxes$1,638,609$204,136-$1,842,745
Current Officers, Directors, Trustees, and Key Employees-$1,667,802-$1,667,802
Grants to Domestic Orgs$1,100,594--$1,100,594
Depreciation Depletion$954,713$70,087-$1,024,800
Information Technology$860,735$33,035-$893,770
Fees for Services Management-$848,673-$848,673
Travel$105,660$330,989-$436,649
Fees for Services Other$215,733$60,392-$276,125
Insurance$48,109$136,114-$184,223
Comp Disqual Persons$64,824--$64,824
Fees for Services Legal-$35,208-$35,208
Fees for Service Investment Mgmnt Fees-$15,170-$15,170
Fees for Services Accounting-$14,000-$14,000
Interest-$401-$401
Total Functional Expenses$190,439,784$13,096,490$0$203,536,274

Audited Expense Reconciliation

Line ItemAmount
Total Expenses per Audited Statements$203,600,987
Expenses per Audited Statements$203,536,274
Total Expenses per Form 990$203,536,274
Expenses Not Reported on Form 990$64,713
International Activity

Grant and Assistance Recipients

RecipientLocationCategoryPurposeAmount
Blood Systems IncScottsdale, AZ501(c)(3)To Bsri for Further Research$1,084,804
Fundraising, Events, and Gaming
Fundraising activities
No
Gaming activities
No
Professional fundraiser used
No

Fundraising and Gaming Totals

Line ItemAmount
Professional Fundraising Fees$0
Political and Lobbying Activity
Political campaign activity
No
Lobbying activity
No
Subject to proxy tax
No
Insider Transactions and Loans

Interested-Person Transactions

Interested PartyRelationshipDescriptionShared RevenueAmount
Michael LeparcSon of OfficerEmployee CompensationNo$64,824

Loans and Receivables

Line ItemBeginningEndChange
Loans from Officers, Directors, Trustees, and Key Employees$0$0→ $0
Receivables from Disqualified Persons$0$0→ $0
Receivables from Officers, Directors, Trustees, and Key Employees$0$0→ $0
Governance and Compliance

Governance Checklist

Compiled or reviewed by an accountant
No
Annual disclosure for covered persons
Yes
Audit committee
Yes
Backup withholding compliance
Yes
Business relationship with family members
Yes
Business relationship with organization members
No
Material changes to governing documents
No
Compensation from other sources disclosed
Yes
CEO compensation reviewed
No
Other officer compensation reviewed
No
Conflict-of-interest policy
Yes
Audited financial statements prepared
Yes
Key decisions subject to board approval
Yes
Management duties delegated
No

Governance Explanations

Form 990, Part VI, Line 6

CREATIVE TESTING SOLUTIONS HAS FOUR NONPROFIT CORPORATE MEMBERS: BLOOD SYSTEMS, INC. ("BSI"), THE INSTITUTE FOR TRANSFUSION MEDICINE ("ITxM"), BLOODWORKS NORTHWEST (FKA PUGET SOUND, "BWNW") AND ONEBLOOD, INC.

Form 990, Part VI, Line 7A

The board of directors consists of no less than 11 and no more than 17 directors appointed by the members (bsi, itxm, oneblood, inc., and bwnw). Bsi shall be entitled to designate a majority of the number of directors at all times.

Form 990, Part VI, Line 7B

CERTAIN ACTIONS AND DECISIONS OF THE CORPORATION REQUIRE PRIOR UNANIMOUS APPROVAL FROM EACH OF THE FOUR MEMBERS (BSI, ITxM, BWNW, AND ONEBLOOD, INC.) PER THE BYLAWS.

Form 990, Part VI, Line 11B

The form 990 is prepared by an outside accounting firm based on information provided by the cfo and the finance team. A copy of the draft form 990 and schedules is supplied to all board members prior to the meeting held to accept the returns. Members of management review the form 990 with the board and are available for answering questions. Any comments from the board are considered prior to filing the form 990 with the irs.

Form 990, Part VI, Line 12C

Each year, the board of directors and senior management are required to sign and return a conflict of interest form to company counsel. Any conflicts disclosed are discussed in executive session with the board and resolved. In addition, in preparation for the form 990 filing, the directors, officers and key employees identified are required to respond to a comprehensive conflict of interest and family relationship questionnaire. Any conflicts disclosed are discussed with the board and disclosed appropriately on the form 990.

Form 990, Part VI, Line 14

Blood systems, inc. ("bsi") maintains the records of creative testing solutions ("cts"). Since cts maintains no records, it has not adopted a document retention and destruction policy itself. Instead cts records are maintained under the document retention and destruction policy of bsi.

Form 990, Part VI, Line 15A and 15B

Creative testing solution relies on the methods used by bsi in establishing compensation paid to the president including: compensation committee, independent compensation consultant, compensation survey or study, and approval by the board or compensation committee of creative testing solutions.

Form 990, Part VI, Line 19

The form 990 is made available on the company's intra-net for all operating locations to access. Upon request, the form can be printed or viewed on-line. Upon written request to the chief financial officer, a copy of the form 990 will be mailed to the requestor. The governing documents and conflict of interest policy are not made available to the public. The organization's combined financial statements are made public via the annual report posted on the blood systems' website.

Filing and Contact Details

Filer

Filer Name
Creative Testing Solutions
EIN
27-1120123
In Care Of
% SUSAN BARNES
Phone
6023437016
Address
6210 EAST OAK STREET, SCOTTSDALE, AZ 85257

Signing Officer

Name
Susan L Barnes
Title
Evp/CFO
Phone
4806755696
Signed
2016-04-21
Discuss with paid preparer
Yes

Organization Details

Principal Officer
Sally Caglioti
Formed
2009
Legal Domicile
Az
Voting Board Members
11
Independent Board Members
9
Employees
465
Volunteers
5

Preparer

Firm
Ernst & Young US Llp
Address
TWO NORTH CENTRAL AVENUE STE 2300, PHOENIX, AZ 85004
Preparer
Brenda Griesemer
Phone
4806755696
Supplemental Narrative

Additional Explanations

Form 990, Part III, Lines 4A and 4B

4a) donor testing blood donor testing services provided by creative testing solutions ("cts") are essential to ensuring the safety of the nation's blood supply. These testing activities are absolutely necessary and mandated by the united states food and drug administration ("fda") to provide a safe blood product for transfusion to patients. Due to the significant health risks associated with the use of human blood and blood components, it is critical for public safety purposes that blood be properly tested before being introduced into the healthcare system for use by patients. A safe blood supply is critical to the well-being of the nation's healthcare system and its patients. The significance of the testing of blood for public safety is even more pronounced in this age of threats from pandemics and terrorism. Creative testing solutions has three donor testing laboratories (dtl). Our first established laboratory is in tempe, arizona. The additional laboratories are located in bedford, texas and st. Petersburg, florida. These locations are strategically positioned near major airports in phoenix, dallas and tampa. All three dtl laboratories are food and drug administration (fda) registered facilities and hold current certifications for the clinical laboratory improvement act (clia) as well as accreditation with the american association of blood banks (aabb), the new york state department of health, california department of health services and state of florida agency for health care administration. In addition to donor specimen testing, the laboratories participate in clinical evaluation of reagents, test kits, and equipment. Cts provides the highest quality in testing and service. The laboratories maintain internal quality control programs and participate voluntarily in external quality control programs. Blood specimens are processed utilizing state of the art technology with fda licensed test kits and reagents. All laboratories are equipped with multiple and redundant instruments required for routine processing. Additionally, each facility acts as a backup laboratory to the other cts labs. Special testing our special testing laboratories in the phoenix and tampa areas perform confirmatory and supplemental testing of donor samples as well as non-donation testing such as donor re-entry, post exposure and donor follow-up. We also provide testing for eye banks, tissue banks and cord blood centers. The special testing laboratory also complies with clia, fda, ca, ny, md, and fl state regulations. Component quality control our component quality control laboratory in phoenix provides blood component quality control testing. Residual white blood cell (rwbc) counts are performed on leukoreduced products. Factor viii and fibrinogen assays are performed on cryoprecipitate and plasma products. Bacterial detection is performed on apheresis platelets. 4b) research and development the cts research program focuses on the development and/or evaluation of new blood donor screening technologies which significantly improve and promote blood safety in the areas of infectious disease, immunology, molecular diagnostics, and epidemiology. Additionally, the cts research program serves as the focus for a multi-institutional consortium which integrates data from approximately 35% of the us blood supply for the purpose of driving the evaluation of best practices in transfusion medicine, the promotion of donor health, and the improvement of transfusion recipient outcomes.

Form 990, Part XI, Line 9

Distribution to members $(10,000,000)

Financial Statement Notes

Schedule D, Part X, Line 2

At december 31, 2015 and 2014, the company evaluated whether it had uncertain tax positions that should be recognized or derecognized based on a 'more likely than not' threshold for tax positions taken or expected to be taken in a tax return, including those tax positions that would not be sustained upon examination in accordance with guidance related to accounting for uncertainty in income taxes. The tax years for the company that are open to audit by the irs and state departments of revenue are the tax years ended december 31, 2012, through the current tax year. As of december 31, 2015 and 2014, the company has not identified any uncertain tax positions that would require the recording of a tax liability. The company does not anticipate a change in uncertain tax positions for the 12 months following the year ended december 31, 2015.

Schedule D, Part XI, Line 4B

Loss on disposal of assets - reclassed from expenses $(64,713)

Schedule D, Part XII, Line 2D

Loss on disposal of assets - reclassed to revenue $64,713

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Document Assets

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Filings

Balance SheetOperations
YearAssetsLiabilitiesNet AssetsRevenueExpensesNet Income
2024Facts available. Structured filing facts are available, but richer extracted sections are limited.$239$95.4$143$495$438$57.2
2022Facts available. Structured filing facts are available, but richer extracted sections are limited.$203$87.8$115$439$397$42.1
2021XML pending. An XML filing is linked for this year, but detailed extraction is still pending.$145$65.9$78.9$369$327$42.1
2020XML pending. An XML filing is linked for this year, but detailed extraction is still pending.$151$79.5$71.8$406$374$31.3
2019XML pending. An XML filing is linked for this year, but detailed extraction is still pending.$186$45.4$141$409$370$39.3
2018Facts available. Structured filing facts are available, but richer extracted sections are limited.$165$64.9$100$435$404$30.8
2016XML pending. An XML filing is linked for this year, but detailed extraction is still pending.$119$31.2$88.0$240$223$17.7
2015Detailed filing. Detailed filing data is available for this year.$95.0$27.0$68.0$226$204$22.6
2014Detailed filing. Detailed filing data is available for this year.$90.8$23.9$66.9$218$203$15.2
2013Detailed filing. Detailed filing data is available for this year.$73.4$22.3$51.1$225$221$4.07
2011Facts available. Structured filing facts are available, but richer extracted sections are limited.$64.0$21.8$42.2$189
2010Facts available. Structured filing facts are available, but richer extracted sections are limited.$49.8$20.1$29.7$186
Peer Organizations

Similar nonprofits based on the same Siviq industry and scale cohort. 2015 filings • 501(c)3 • $250M-$1B nonprofits