Mercy Auxiliary of Central Iowa

“Mercy health network (mercyone), a related organization, contracted with healthsource partners for the provision of management services by terri donovan to mercyone and related iowa organizations. In calendar year 2024, mercyone paid $697,535 to healthsource partners for these management services. Mercy auxiliary does not know how much terri donovan received as wages from healthsource partners in calendar year 2024.”

“The sole member of mercy auxiliary is mercy foundation of des moines, iowa (des moines foundation). See line 7 for additional information.”

“Des moines foundation is the sole member of mercy auxiliary. Des moines foundation has the right to appoint all persons to the board of directors of mercy auxiliary.”

“As sole member, des moines foundation must approve certain decisions of the governing body, including the strategic plan, annual capital plan, and annual operating budget. Des moines foundation must also approve significant changes such as a merger, dissolution, sale of assets in excess of certain limits, and modifications to governing documents.”

“Prior to filing, the form 990 for mercy auxiliary is reviewed by management.”

“Mercy auxiliary 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 mercy auxiliary, which includes directors, principal officers, key employees, and members of committees with board-delegated powers. Interested persons are expected to discharge their duties in a manner the person reasonably believes to be in the best interests of mercy auxiliary 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 mercy auxiliary (or a delegated committee of the board) on a yearly basis. Interested persons are required to make full disclosure to mercy auxiliary of any financial or business interests that might result in or have the appearance of a conflict of interest. The board of directors of mercy auxiliary (or a delegated committee of the board) 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 (or a delegated committee of the board) will either avoid the conflict or appropriately scrutinize the transaction to ensure it is in the best interests of mercy auxiliary. 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.”

“Questions 15a and 15b are answered "no" because the compensation for the president and certain key management officials of mercy auxiliary is established by catholic health initiatives - iowa, corp. (mercyone des moines), a related organization. Mercyone des moines uses a third-party consultant to survey compensation trends annually and to recommend compensation ranges for the president and certain key management officials.”

“Mercy auxiliary 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. Mercy auxiliary's governing documents and conflict of interest policy are available upon request.”

“Mercy auxiliary of central iowa (mercy auxiliary) was dissolved as of april 22, 2025. The auxiliary's assets were transferred to catholic health initiatives-iowa, a tax-exempt related organization, which shares the same mission and exempt purpose as mercy auxiliary.”

“Individuals who work at mercy auxiliary are on the payroll of a related organization. These individuals' salaries and benefits are allocated to mercy auxiliary and are reported on part ix, lines 7 through 9.”

“Equity transfers to affiliates -382,160.”

“Mercy auxiliary's financial statements were included in the fy25 consolidated financial statements of trinity health, which were audited by an independent public accounting firm.”

“Mercyone des moines auxiliary”