Mercy Health Foundation Oklahoma City

“Mercy hospital oklahoma city is the sole member of the organization.”

“Mercy hospital oklahoma city (the member) may appoint or remove members of the board of directors at any time at the member's discretion.”

“Mercy hospital oklahoma city reserves the following powers and responsibilities: -from time to time, the board of trustees of mercy hospital oklahoma city may designate one or more persons, who have demonstrated significant support for the programs and mission of the corporation, as honorary directors of the corporation. Honorary directors shall have no responsiblity to attend meetings or provide counsel to the corporation and shall be without voting power. -the power to approve amendments to the certificate of incorporation and to amend the bylaws of the corporation; -the power to approve and determine what constitutes a signficant gift of the corporation; and, -to authorize the corporation to borrow money and incur indebtedness.”

“The form 990 is prepared by an independent accounting firm, using information provided by the filing organization. A draft form 990 is reviewed by the filing organization's finance team. The draft form 990 is also reviewed by mercy health's tax department, to ensure accuracy and consistency with other related organizations' form 990s. After questions arising from the various reviews are addressed and incorporated into the form 990, a revised draft is provided to the filing organization's leadership team, including the cfo and ceo, for review. Once reviewed and approved by the filing organization's leadership team, the form 990 is then signed and filed with the irs.”

“Officers, directors, key employees and other disqualified persons are required to complete a conflict of interest questionnaire annually and did so in the normal course for the year ended june 30, 2022. This process is administered at the mercy health level by mercy's corporate compliance department. The questionnaires are reviewed with leadership at the local level and potential conflicts discussed and resolved. The conflicts and their respective resolutions are shared at the mercy level with a team including mercy's chief financial officer, chief compliance officer and other members of finance, legal and hr. Summary results are reviewed with mercy's stewardship committee of the board of directors.”

“For those classified as officers (and thus disqualified persons), the organization uses the following to establish compensation: external market salary surveys, external market salary studies, engagement of an independent compensation consultant, and review/approval of compensation by the compensation committee of the board of mercy health. For those classified as key employees, the organization uses the following to establish the compensation: external market salary surveys, external market salary studies, and review/approval of executive management. Compensation reviews are completed on an annual basis, and a review was completed during the reporting year.”

“Governing documents, conflict of interest policy, and financial statements are made available from time to time but are not published publicly.”

“Average hours per week the hours per week disclosed in part vii is the average hours the listed person worked or devoted per week while employed or associated with the filing organization and related organizations (if applicable).”

“Pledge allowances 77,508. Net asset transfers 262,001. Loss on sale of investments 473.”

“Audited financial statements the filing organization's financial statements were included in the mercy health and subsidiaries annual financial statement audit. Mercy health and subsidiaries received an unqualified opinion from the external auditors for fiscal 2022 (the tax year currently being reported). However, no separate audit opinion is issued on the financial statements of the filing organization. The ultimate responsibility for oversight of the financial statement audit and selection of the external auditor lies with the stewardship committee of the mercy health board of directors. Audit results are communicated to this committee.”

“Single audit act and 2 cfr 200 audit mercy health undergoes a consolidated 2 cfr 200 audit every year and this audit was completed for the fiscal year ending june 30, 2022 by march 31, 2023. Each entity that receives federal funds during the year is included on the schedule of expenditures of federal awards (sefa) and is also included in the population included in the audit. If the filing entity received federal funds during the year ended june 30, 2022, it will be included on the mercy health consolidated sefa, and therefore, also included in the population included in the audit.”

“W-3 filing salaries and wages with limited exceptions, the salaries and wages reported on form 990, part ix, line 7 represent an allocation of salaries and wages from a related organization. Most employees are paid by a related organization under a common paymaster arrangement. As such, all required payroll filing for these employees (including w-2 and w-3's) is reported under the related organization, mhm support services,ein 20-2553101.”

“Mercy hospitals east communities mercy hospitals east communities consists of mercy hospitals east communities st. Louis, ein 43-065393, and mercy hospitals east communities washington, ein 43-1066883.”

“System limitations lawson erp software is the primary accounting software used by mercy health system, inc. And subsidiaries. The majority of the intercompany/related organization transactions are processed through lawson via intercompany journal entries. With the current design of the erp system, there are various limitations on the related organization information that can be extracted from lawson. Due to these limitations,most of the related organization activity for the filing organization has been classified on schedule r, part v, in lines p and q.”

“Independent contractors independent contractors for the filing organization are paid by mercy health (ein 43-1423050). As such, all required form 1099 and form 1096 reporting is made for the entire health system (with limited exceptions) under the mercy health ein.”

“Early in 2020, the mercy health system was called to serve as the covid-19 pandemic swept across the world. During fy 2022, the impact of covid-19 and inflation has been and still is significant to our communities with changes in patient care revenues due to surges, increasing the costs of salaries and agency labor, and supply chain impacts. All mercy facilities adjusted operations for the impacts of the pandemic. In addition, mercy foundations and outreach ministries experienced limitations in fundraising for program and capital support efforts that assist the underserved in our communities. Mercy did receive funding from the coronavirus aid relief and economic security act ("cares act"). Mercy received cares act funding for the past three years across various entities and recognized a portion of this funding in other operating revenue. These funds helped to offset revenue losses and additional expenses incurred due to the pandemic; however, these funds fell short of the system losses experienced since the start of the pandemic. Mercy continues to monitor the impacts of the pandemic both to the health system and the communities served as we continue to provide assistance and maintain access to care within our communities.”