Lake View Memorial Hospital Inc

“The hospital has a management services agreement with st. Luke's hospital to provide administrative, information technology, human resources, laundry, dietician, pharmacy and other services. The hospital purchased $1,241,175 in services from st. Luke's hospital for the year ended june 30th, 2024.”

“Lake view memorial hospital has a single corporate member, st. Luke's hospital of duluth, a tax-exempt minnesota not-for-profit corporation.”

“The hospital's board of directors nominates potential board members. However, the board of directors of st. Luke's hospital of duluth has the authority to elect the hospital's board members.”

“In addition to doing all things required by law and except as otherwise provided, the corporate member shall have the following specific rights and responsibilities: a) appoint the board of directors; b) approve any change in the philosophy, character or mission, and approve the long-range goals, strategic plans and overall purposes; c) approve all amendments to the articles of incorporation and bylaws of lake view memorial hospital and all subsidiaries; d) approve the addition of new members; e) approve the establishment, transfer and/or dissolution of any subsidiary corporation; f) approve long-term borrowing of money and other forms of long-term indebtedness; g) approve the purchase, sale, lease, disposition, encumbrance or alienation of real property, and the sale, lease, disposition or encumbrance of substantially all of the personal property; h) participate in the preparation of, and give approval to, any plan of dissolution or merger, consolidation, acquisition or disposition of real property or relocation of the facilities; i) ratify the chief executive officer as recommended by the board of directors; j) approve any recommendation by the board of directors to remove the chief executive officer and conduct regular evaluation of the chief executive officer in conjunction with the board of directors; k) conduct, through the corporate member's ceo, regular evaluations of the chief executive officer of the hospital in conjunction with the board of directors; l) ratify the budgets and approve unbudgeted capital expenditures greater than $100,000 in any one fiscal year; m) review and approve the audited financial reports; n) ratify the selection and retention of the independent auditing firm and legal counsel; and o) have the exclusive authority to approve all use by the corporation of the name "st luke's hospital and any other trade names or references to st luke's.”

“Management referenced multiple sources of information in order to accurately prepare the form 990. The sources of information include the internal revenue service website, healthcare trade associations and other various publications. A final draft of the form was prepared and reviewed by the following groups: 1) lake view's officers and senior management; 2) lake view's board of directors. In the case of the board of directors, the final draft form 990 review was listed as an agenda item at a board meeting. Board members were asked to review the document and direct any questions to the chief financial officer.”

“Each director, officer and committee member shall sign, as a condition to serving the corporation in his/her respective role and annually thereafter, a statement agreeing to be bound by the terms of the policy. Pursuant to the policy, any director, officer or committee member having a financial interest in a contract or other transaction presented to the board of directors or a committee thereof for authorization, approval, or ratification shall make a prompt, full and frank disclosure of such person's interest to the board or committee prior to its acting on such contract or transaction. Such disclosure shall include any relevant and material facts, known to such person, about the contract or transaction which might reasonably be construed to be adverse to the corporation's interest. The board or committee to which such disclosure is made shall thereupon determine, by majority vote, whether the disclosure shows that a conflict of interest exists or can reasonably be construed to exist. If a conflict is deemed to exist, such person shall not vote on, nor use personal influence on, or participate (other than to present factual information to or respond to questions) in the discussions and deliberations with respect to such contract or transaction. Such person may be counted in determining the existence of a quorum at any meeting where the contract or transaction is under discussion or is being voted upon. The minutes of the meeting shall reflect the disclosure made, the vote and, where applicable, the abstention from voting and participation, and whether a quorum was present.”

“Ceo compensation is handled by st. Luke's hospital, as lake view president/ceo is an employee of st. Luke's hospital and is contracted to lake view memorial hospital via the inter-company master services agreement. St. Luke's uses a combination of independent review, executive salary surveys and other methods when determining the ceo's compensation.”

“The organization does not make its governing documents, conflict of interest policy, nor its financial statements available to the public.”

“Purchased labor: program service expenses 2,202,692. Management and general expenses 0. Fundraising expenses 0. Total expenses 2,202,692. Other professional services: program service expenses 219,369. Management and general expenses 460,308. Fundraising expenses 0. Total expenses 679,677.”

“Fixed assets valuation adjustment 6,370,887.”

“The filing organization previously filed for the calendar year ending 12/31. After the filing organization's parent, st. Luke's hospital of duluth was acquired by aspirus, inc., its new parent organization, the filing organization has changed its year end to 06/30. The current form 990 is for the 6-month period from 01/01/2024 - 06/30/2024. Going forward, the organization will file for the year from 07/01 - 06/30.”

“The filing organization's financial statements were audited by an independent accountant for the full calendar year 2023. They were acuired march 1 of 2024 and included in the consolidated audit of their parent for fiscal year 07/01/2023-06/30/2024. Technically the activity from january and february were not included in the 06/30/2024 audited financial statements, however procedures were performed to account for those two months. The organization is filing the form 990 for the short year from 01/01/2024-06/30/2024.”