Civic Intelligence

Boston Accountable Care Organization Inc.

990 • Fiscal year 2022 • EIN 47-3468314

Oct 01, 2021 to Sep 30, 2022 • Filed on Aug 14, 2023

One Boston Medical Center PlaceBoston, MA 02118

(617) 638-7901

Siviq Scores

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

Liabilities / Assets

89th percentile

0.84x

Higher debt load relative to assets than 89% of similar nonprofits.

2022 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2022

Liabilities / Revenue

96th percentile

10.04x

Higher debt load relative to revenue than 96% of similar nonprofits.

2022 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2022

Net Margin

50th percentile

6.4%

Higher net margin than 50% of similar nonprofits.

2022 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2022

Top Officer Pay

9th percentile

$0

Higher top officer pay than 9% of similar nonprofits.

Top officer pay equals 0.0% of source-year revenue.

2022 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2022

Asset Growth

88th percentile

34%

Faster asset growth than 88% of similar nonprofits.

2022 filings • 501(c)3 • $25M-$50M nonprofits • Annualized from 2021 to 2022

Revenue Growth

10th percentile

-37%

Faster revenue growth than 10% of similar nonprofits.

2022 filings • 501(c)3 • $25M-$50M nonprofits • Annualized from 2021 to 2022

Assets

Up

$29,651,949

Up $7,516,887 (+34%) from 2021

Net Assets

Up

$4,703,362

Up $160,017 (+3.5%) from 2021

Liabilities

Up

$24,948,587

Up $7,356,870 (+42%) from 2021

Revenue

Down

$2,484,776

Down $1,481,049 (-37%) from 2021

Expenses

Down

$2,324,759

Down $2,305,361 (-50%) from 2021

Net Income

Up

$160,017

Up $824,312 (+124%) from 2021

Historical Trend

Balance Sheet Trend

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

$30M$20M$10M$0-$10MAssets 2015: $810,808Liabilities 2015: $1,488,661Net Assets 2015: -$677,8532015Assets 2016: $5,874,921Liabilities 2016: $5,409,089Net Assets 2016: $465,8322016Assets 2017: $10,885,075Liabilities 2017: $11,755,136Net Assets 2017: -$870,0612017Assets 2018: $8,812,733Liabilities 2018: $7,093,060Net Assets 2018: $1,719,6732018Assets 2019: $29,117,050Liabilities 2019: $22,674,365Net Assets 2019: $6,442,6852019Assets 2020: $28,865,430Liabilities 2020: $23,657,790Net Assets 2020: $5,207,6402020Assets 2021: $22,135,062Liabilities 2021: $17,591,717Net Assets 2021: $4,543,3452021Assets 2022: $29,651,949Liabilities 2022: $24,948,587Net Assets 2022: $4,703,3622022Assets 2023: $18,260,640Liabilities 2023: $16,061,782Net Assets 2023: $2,198,8582023Assets 2024: $22,870,298Liabilities 2024: $22,190,840Net Assets 2024: $679,4582024

Highlighted filing

2022

Assets$29,651,949
Liabilities$24,948,587
Net Assets$4,703,362

Operations Trend

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

$30M$20M$10M$0-$10MRevenue 2015: $359,505Expenses 2015: $336,545Net Income 2015: $22,9602015Revenue 2016: $1,736,009Expenses 2016: $2,539,800Net Income 2016: -$803,7912016Revenue 2017: $3,397,559Expenses 2017: $5,903,018Net Income 2017: -$2,505,4592017Revenue 2018: $2,064,751Expenses 2018: $4,304,841Net Income 2018: -$2,240,0902018Revenue 2019: $15,381,190Expenses 2019: $20,316,312Net Income 2019: -$4,935,1222019Revenue 2020: $7,646,247Expenses 2020: $8,881,292Net Income 2020: -$1,235,0452020Revenue 2021: $3,965,825Expenses 2021: $4,630,120Net Income 2021: -$664,2952021Revenue 2022: $2,484,776Expenses 2022: $2,324,759Net Income 2022: $160,0172022Revenue 2023: $3,631,833Expenses 2023: $6,136,337Net Income 2023: -$2,504,5042023Revenue 2024: $1,873,416Expenses 2024: $3,392,816Net Income 2024: -$1,519,4002024

Highlighted filing

2022

Revenue$2,484,776
Expenses$2,324,759
Net Income$160,017
Jump To
Filing Snapshot
Filing Period
Oct 1, 2021 to Sep 30, 2022
Signed
Aug 14, 2023
Return Version
2021v4.2
Gross Receipts
$2,484,776
Mission and Program Overview

Mission

Boston accountable care organization, inc. (baco) shall at all times be organized and operated exclusively for charitable, educational and/or scientific purposes within the meaning of section 501(c)(3) of the internal revenue code. The mission of baco is to improve the healthcare of the populations that boston medical center corporation (bmc), the faculty practice foundation, inc. (fpf) physicians, and community health centers (chcs) serve. To provide the best care possible, an accountable care organization (aco) is designed to better manage all aspects of healthcare, in an effort to improve the health of the population served while operating more efficiently. Baco will integrate the resources of bmc, the fpf, and the chcs to provide more effective, higher quality and less expensive care for patients of baco.

Balance Sheet Detail
LineBeginningEndChange
Assets
Savings and Temporary Cash Investments$15,027,593$28,209,155▲ $13,181,562
Accounts Receivable$7,107,469--
Total Assets$22,135,062$29,651,949▲ $7,516,887
Other Assets Total-$1,442,794-
Liabilities
Other Liabilities$9,987,698$22,649,626▲ $12,661,928
Deferred Revenue$6,474,348$0▼ $6,474,348
Accounts Payable and Accrued Expenses$1,129,671$2,298,961▲ $1,169,290
Total Liabilities$17,591,717$24,948,587▲ $7,356,870
Net Assets / Fund Balance
Net Assets Without Donor Restrictions$4,543,345$4,703,362▲ $160,017
Total Net Assets Fund Balance$4,543,345$4,703,362▲ $160,017
Total Liabilities and Net Assets / Fund Balance$22,135,062$29,651,949▲ $7,516,887
Compensation and Service Providers

Board Members and Trustees

NameTitle
Sandra CotterellPresident/director
Adrienne GerlachDirector
Alastair Bell MdDirector
Alice Jacobs MdDirector
Amy PfefferDirector
Barry BockDirector
Chuck JonesDirector
Cynthia SierraDirector
David Henderson MdDirector
Guale ValdezDirector
Julie AlmondDirector
Michelle NadowDirector
Ravin Davidoff MdDirector
Spiros HatirasDirector
Terri NewsomDirector
Thea James MdDirector
Tom SullivanDirector
William J Halpin JrDirector
Sherry EllisDirector (as of 1/1/22)
Lauren Nentwich MdDirector (thru 9/14/22)
William Creevy MdTreasurer/director
David BeckClerk
Revenue and Support

Revenue Composition

Contributions and Grants
$0
Program Service Revenue
$2,409,638
Investment Income
$75,138
Other Revenue
$0
Change in Net Assets
$160,017
Expenses and Functional Allocation

Major Expense Lines

Line ItemAmount
Salaries, Compensation, and Employee Benefits$1,303,830
Other Expenses$1,020,929
Grants and Similar Amounts Paid$0
Professional Fundraising Fees$0
Total Fundraising Expense$0

Functional Expense Allocation

Line ItemProgramManagementFundraisingTotal
Other Salaries and Wages$1,016,816--$1,016,816
Royalties$729,995--$729,995
Other Employee Benefits$287,014--$287,014
Fees for Services Accounting-$52,517-$52,517
Fees for Services Other$26,767--$26,767
Office Expenses$21,948--$21,948
Conferences and Meetings$2,144--$2,144
All Other Expenses$539--$539
Travel$478--$478
Other Expenses$120--$120
Total Functional Expenses$2,272,242$52,517$0$2,324,759
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
Debt and Bond Financing

Other Reported Liabilities

LiabilityAmount
Dsrip Funds Passthrough$13,678,630
Due to Pods$3,836,117
Reserve for Contract Losses$2,811,200
Intercompany and Zone Payable$2,107,232
Managed Care Risk Contracts$216,447
Governance and Compliance

Governance Checklist

Compiled or reviewed by an accountant
No
Annual disclosure for covered persons
Yes
Audit committee
Yes
Business relationship with 35% controlled entity
No
Business relationship with family members
No
Business relationship with organization members
No
Material changes to governing documents
No
Compensation from other sources disclosed
No
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
No
Management duties delegated
No

Governance Explanations

Form 990, Part VI, Section A, Line 2

David beck alastair bell michelle nadow sandra cotterell ravin davidoff lauren nentwich terri newsom cynthia sierra business relationship- the officers and/or trustees above are also employees, officers and/or trustees of boston medical center. David beck william creevy david henderson lauren nentwich business relationship - the officers and/or trustees above are also employees, officers and/or trustees of the faculty practice plans.

Form 990, Part VI, Section A, Line 7A

(a) each community health center participating in the corporation that participates in the masshealth aco appoints one director; (b) boston medical center appoints four directors; (c) each non-community health center entity participating in the corporation that participates in the masshealth aco appoints one director (except that the boston university medical group appoints four directors to represent its faculty practice plan corporation participants); and (d) the corporation's patient advisory committee appoints one director who is a consumer representative.

Form 990, Part VI, Section B, Line 11B

Baco's form 990 is prepared by kpmg and reviewed by bmc's internal management. Following that review, bmc's internal management and kpmg present the form 990 to the bmc audit committee for review and comment. The completed form 990 is provided to all members of the board of directors prior to the form being filed with the irs.

Form 990, Part VI, Section B, Line 12C

Conflict of interest questionnaires for the fiscal year end september 30, 2022 were distributed by boston medical center's ("bmc"), an affiliated organization, corporate compliance department. The chief compliance officer of bmc or the chief compliance officer's designee queries trustees, officers and directors on at least an annual basis regarding relationships that may create potential conflicts of interest. The chief compliance officer or the chief compliance officer's designee reviews all disclosures and determines whether there are actual or potential conflicts of interest. The chief compliance officer or the chief compliance officer's designee informs the chief legal counsel of any actual or potential conflicts of interest. The chief legal counsel advises the board of directors and officers of the corporation accordingly.

Form 990, Part VI, Section C, Line 19

Baco does not make its governing documents, conflict of interest policy, or financial statements publicly available. However, the articles of the organization are posted on the secretary of the commonwealth's website.

Filing and Contact Details

Filer

Filer Name
Boston Accountable Care
EIN
47-3468314
Phone
6176387901
Address
ONE BOSTON MEDICAL CENTER PLACE, BOSTON, MA 02118

Signing Officer

Name
David Beck
Title
Clerk
Phone
6176387901
Signed
2023-08-14
Discuss with paid preparer
Yes

Organization Details

Principal Officer
Sandra Cotterell
Formed
2015
Legal Domicile
Ma
Voting Board Members
20
Independent Board Members
20
Employees
0
Volunteers
21

Preparer

Firm
Kpmg Llp
Address
60 SOUTH STREET, BOSTON, MA 02111
Preparer
Zeljko Popovic
Phone
6179881000
Supplemental Narrative

Financial Statement Notes

PART X, LINE 2:

Boston accountable care organization, inc. Is included in consolidated financial statements. The text of the uncertain tax positions footnote included in these financial statements is as follows: the health system corporation, the medical center, wellsense, udf, ecmf, buap, faculty and the plans, baco, bmcics, and bmcic of vermont are all nonprofit corporations that have been recognized as tax-exempt pursuant to section 501(c)(3) of the internal revenue code. Clearway is considered a disregarded entity of the health system corporation for tax purposes and all taxable activities of clearway are attributed to and reported at the health system corporation. All contract related revenue and expense were recorded at the medical center and evaluated for unrelated business income tax (ubit). The health system recognizes income tax positions when it is more likely than not that the position will be sustainable based on the merits of the position. Management has concluded that there are no material uncertain tax positions that need to be recorded as of september 30, 2022 and 2021. The health system annually assesses whether it must recognize ubit expense. The amounts recognized as ubit expense were not material to the health system's consolidated operations or changes in net assets for the years ended september 30, 2022 and 2021.

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IRS990/ActivityOrMissionDesc0BOSTON ACCOUNTABLE CARE ORGANIZATION, INC. (BACO) SHALL AT ALL TIMES BE ORGANIZED AND OPERATED EXCLUSIVELY FOR CHARITABLE, EDUCATIONAL AND/OR SCIENTIFIC PURPOSES WITHIN THE MEANING OF SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. THE MISSION OF BACO IS TO IMPROVE THE HEALTHCARE OF THE POPULATIONS THAT BOSTON MEDICAL CENTER CORPORATION (BMC), THE FACULTY PRACTICE FOUNDATION, INC. (FPF) PHYSICIANS, AND COMMUNITY HEALTH CENTERS (CHCS) SERVE. TO PROVIDE THE BEST CARE POSSIBLE, AN ACCOUNTABLE CARE ORGANIZATION (ACO) IS DESIGNED TO BETTER MANAGE ALL ASPECTS OF HEALTHCARE, IN AN EFFORT TO IMPROVE THE HEALTH OF THE POPULATION SERVED WHILE OPERATING MORE EFFICIENTLY. BACO WILL INTEGRATE THE RESOURCES OF BMC, THE FPF, AND THE CHCS TO PROVIDE MORE EFFECTIVE, HIGHER QUALITY AND LESS EXPENSIVE CARE FOR PATIENTS OF BACO.
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IRS990/Form990PartVIISectionAGrp/TitleTxt0DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt1DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt2DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt3PRESIDENT/DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt4TREASURER/DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt5DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt6DIRECTOR (AS OF 1/1/22)
IRS990/Form990PartVIISectionAGrp/TitleTxt7DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt8DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt9DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt10DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt11DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt12DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt13DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt14DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt15DIRECTOR (THRU 9/14/22)
IRS990/Form990PartVIISectionAGrp/TitleTxt16DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt17DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt18DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt19DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt20DIRECTOR
IRS990/Form990PartVIISectionAGrp/TitleTxt21CLERK
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IRS990/MissionDesc0BOSTON ACCOUNTABLE CARE ORGANIZATION, INC. (BACO) SHALL AT ALL TIMES BE ORGANIZED AND OPERATED EXCLUSIVELY FOR CHARITABLE, EDUCATIONAL AND/OR SCIENTIFIC PURPOSES WITHIN THE MEANING OF SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. THE MISSION OF BACO IS TO IMPROVE THE HEALTHCARE OF THE POPULATIONS THAT BOSTON MEDICAL CENTER CORPORATION (BMC), THE FACULTY PRACTICE FOUNDATION, INC. (FPF) PHYSICIANS, AND COMMUNITY HEALTH CENTERS (CHCS) SERVE. TO PROVIDE THE BEST CARE POSSIBLE, AN ACCOUNTABLE CARE ORGANIZATION (ACO) IS DESIGNED TO BETTER MANAGE ALL ASPECTS OF HEALTHCARE, IN AN EFFORT TO IMPROVE THE HEALTH OF THE POPULATION SERVED WHILE OPERATING MORE EFFICIENTLY. BACO WILL INTEGRATE THE RESOURCES OF BMC, THE FPF, AND THE CHCS TO PROVIDE MORE EFFECTIVE, HIGHER QUALITY AND LESS EXPENSIVE CARE FOR PATIENTS OF BACO.
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