The Cole County Lutheran Home Association

“The organization delegates management duties including supervising personnel, operations, and budgeting to lutheran senior services, the parent company.”

“Facility was sold in 2022 and cole county was merged with lutheran senior services as of december 31, 2022.”

“The sole member of the association is lutheran senior services.”

“The governing board members are elected by the sole member, lutheran senior services.”

“Certain powers are reserved to the member. Said reserved powers are: (a) to establish and change the philosophy of the association; (b) to appoint the board of directors and to remove the appointed directors with or without cause; (c) to approve amendments to the articles of incorporation of the association as provided therein; (d) to approve amendments to the bylaws of the association; (e) to approve the merger, consolidation, filing for bankruptcy or dissolution of the association; (f) to approve the sale, conveyance, assignment, transfer, alienation, pledge, encumbrance, mortgage or lease of real or personal property or any interest therein of the association in accordance with written policies approved by the member from time to time.”

“Review and approval of the form 990 has been delegated to the audit committee of the board of directors of the parent organization, lutheran senior services, prior to being filed.”

“All directors, officers and key employees will disclose a conflict of interest on the "conflict of interest form" in the following situations and in other circumstances which he/she thinks might cause a conflict between his/her personal interests and his/her fiduciary duty: financial interests, inside information, conflicting interest other than financial, gifts and favors. The following lss employees are required to sign a "conflict of interest form" annually: president, chief operating officer, chief financial officer/treasurer, vice president of construction and it, vice president of human resources, all directors, administrators and assistant administrators. The corporate compliance officer follows up with any conflicts of interests and documents the resolutions of the conflicts. These forms are kept by the corporate compliance office.”

“The filing organization did not compensate any officers, directors or key employees. The compensation process used by the parent organization, lutheran senior services, is as follows: the board of directors established a separate compensation committee charged with performing an annual performance review of the ceo and reviewing the ceo's compensation package. The compensation committee engaged a third-party global human capital consulting firm to: (1) develop an annual ceo performance review process, including a new evaluation form, and (2) develop a compensation package based on its knowledge of similarly sized non-profit organizations in order to ensure that the compensation paid to the ceo is reasonable. All members of the board complete an annual evaluation, which the compensation committee summarizes and reviews. The compensation committee then makes a recommendation to the full board of directors for any compensation adjustments.”

“Although not a requirement, the organization provides photocopies of its governing documents, conflict of interest policy, financial statements, and other documents to all who request one or more of the items.”

“Lutheran senior services is a large complex organization that is comprised of 18 separate legal entities, each of which files its own tax return. Due to the requirements for completing these 990's (which are filed by 15 of the 18 lss entities), some of the information contained within the form, such as revenue and expenses, is related only to that particular entity. However, some of the information, such as executive compensation, relates to the entire organization. To help make this information more meaningful, the following paragraph provides a summary of the overall operations of lss. Lutheran senior services is a not for profit organization owned by 104 lutheran churches and was initially founded in 1858. Lutheran senior services operates ten senior living communities serving over 3,000 older adults, eight affordable housing communities serving over 570 older adults and a variety of in home services programs serving over 5,000 older adults. In 2022, lss had total operating income of approximately $224,000,000, provided approximately $11,707,000 in benevolent care, had nearly 35,500 volunteer hours and employed 16 chaplains.”

“Facility was sold on 10/6/2022.”

“The organization has an audit committee that is responsible for the oversight of the audit. This process is consistent with the prior years.”

“This is the organization's final return since the facility sold and the entity will be merging with its parent entity, lutheran senior services.”

“The organization's payroll is processed with lutheran senior services, the parent company. Forms w-3 and w-2 were not issued by lutheran senior services endowment fund as of december 31, 2022. The organization did pay the salaries, employment taxes, and employee benefits for the organization's employees. Lutheran senior services endowment fund had 9 full time employees dedicated to its operations on december 31, 2022.”

“The parent company, lutheran senior services, has allocated a portion of the tax exempt bonds that were issued to the parent company to this organization. The details of the tax exempt bonds issued to lutheran senior services are contained on the schedule k that is filed with the form 990 for the parent company (fein 43-0654862). There is no schedule k for this tax return. This treatment is consistent with prior years.”

“The organizations 1099s are processed with the parent company, lutheran senior services. 1099s are not issued by the cole county lutheran home association as the parent company pays all vendors through one number for each vendor and the vendor is paid for any invoice owed by any of the related entities. As a result, there is no way for the organization to break out the number of 1099s issued by the parent company on behalf of the organization.”