2023-11-10T10:04:51-06:00 2022-12-31 PwC US Tax LLP 655 NEW YORK AVENUE NW SUITE 1100 WASHINGTON DC 20001 990 2022-01-01 320016523 PRIORITY HEALTH CHOICE INC % CORPORATE TAX PRIO 6163912022 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 NICHOLAS GATES SVP, FINANCE 6163912022 2023-11-06 true NICHOLAS GATES 999009999 TRAVIS L PATTON P00369623 2024141000 2023-11-09 3 2022 2023-04-26 12:10:37Z PRAVEEN THADANI 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 1860099300 false X WWW.PRIORITYHEALTH.COM X 2002 MI TO IMPROVE HEALTH, INSTILL HUMANITY AND INSPIRE HOPE. 7 1 0 0 0 0 0 0 852169752 1160407196 3562334 6730339 0 0 855732086 1167137535 0 0 654894532 933673749 21697871 33256161 0 0 0 118696733 134314718 795289136 1101244628 60442950 65892907 365837413 424007387 150660088 197035625 215177325 226971762 X TO IMPROVE HEALTH, INSTILL HUMANITY AND INSPIRE HOPE. false false 1068658388 0 1160407196 SEE SECHEDULE O 1068658388 true false false false false false false false false false false false false false true false false true false false false false false false false false false false false true false false false false false false false false false false false false false true false true false true X 6076 0 true 0 false false false false false false false false false false false false X 7 1 true false false false true true true true true false false true true true true true true false false false X CORPORATE TAX 8669897999 100 MICHIGAN ST NE MC 498 GRAND RAPIDS MI 49503 X PRAVEEN THADANI DIRECTOR/PRESIDENT 5.0 45.0 X X 0 1543705 473764 JAMES FORSHEE MD DIRECTOR 6.0 44.0 X 0 1089870 37144 KIMBERLY THOMAS DIRECTOR/SECRETARY 6.0 44.0 X X 0 597213 174860 MICHAEL JASPERSON DIRECTOR 6.0 44.0 X 0 556818 130337 CHRIS CROOK FORMER KEY EMPLOYEE 6.0 44.0 X 0 534435 147462 NICHOLAS GATES DIRECTOR/VICE CHAIR/TREASURER 6.0 44.0 X X 0 519212 123813 MARY ANNE JONES FORMER OFFICER 0.0 40.0 X 0 567784 0 BRIAN KRUPICZEWICZ FORMER KEY EMPLOYEE 6.0 44.0 X 0 426818 136026 JOYCE CHAN RUSSELL DIRECTOR/CHAIR 6.0 44.0 X X 0 434671 93930 JOAN A BUDDEN FORMER OFFICER 0.0 0.0 X 0 490247 0 MATTHEW STREBECK FORMER HIGHEST COMPENSATED EMP 0.0 40.0 X 0 390972 79710 BRIAN FEDORONKO FORMER HIGHEST COMPENSATED EMP 0.0 40.0 X 0 384351 45207 DAVID RZESZUTKO FORMER HIGHEST PAID 0.0 50.0 X 0 388203 35286 CHELSEE STARK DIRECTOR 1.0 0.0 X 0 3750 0 0 7928049 1477539 0 true true false DELTA DENTAL PLAN OF MICHIGAN 16082 COLLECTION CENTER DRIVE CHICAGO IL 60693 DENTAL BENEFIT MGR 10067811 SOLUTRAN INC 13305 12TH AVENUE N MINNEAPOLIS MN 55441 PHARMACY ADMIN 3401212 EXPRESS SCRIPTS INSURANCE COMPANY 225 SUMMIT AVE MONTEVALE NE 07645 PHARM BENEFIT MGR 2587940 CARRIERS TPA LLC 45 E MILWAUKEE AVE DETROIT MI 48202 DENTAL BENEFIT MGR 2119385 SWISS RE LIFE HEALTH AMERICA 175 KING ST ARMONK NY 10504 REINSURANCE 1522223 16 X 0 NET PREMIUM INCOME 524114 1160407196 1160407196 1160407196 6719588 6719588 0 0 0 0 0 692972516 692961765 10751 10751 10751 0 0 0 0 0 0 0 0 0 0 1167137535 1160407196 6730339 0 0 0 933673749 933673749 0 0 26662017 14664109 11997908 0 4885304 2686917 2198387 1708840 939862 768978 0 11975 11975 0 0 0 69173 69173 11589338 6374136 5215202 3177969 1747883 1430086 1074951 591223 483728 0 0 931963 512580 419383 87899 48344 39555 0 0 0 0 858002 471901 386101 205198 112859 92339 CLAIMS TAX EXPENSE 95256195 95256195 SHARED SERVICES & MGMT FEES 17631586 9697372 7934214 BROKER COMMISIONS 2927663 1610215 1317448 REGULATORY FEES & SVCV CHARGES 343831 189107 154724 148975 81936 67039 1101244628 1068658388 32586240 0 0 0 75346117 153941851 0 0 75245658 79672334 0 0 0 0 0 0 0 0 0 0 0 0 202502007 181581814 0 0 0 0 0 0 12743631 8811388 365837413 424007387 146910755 180426002 0 0 1354782 1237353 0 0 0 0 0 0 0 0 0 0 2394551 15372270 150660088 197035625 X 10000 10000 12326877 12326877 202840448 214634885 215177325 226971762 365837413 424007387 X 65892907 -23313454 -30785016 X X false true X true false X 0 0 0 0 0 0 396476442 471049566 547127976 852169752 1160407196 3427230932 0 0 0 396476442 471049566 547127976 852169752 1160407196 3427230932 0 0 0 3427230932 2671828 3938531 4089372 2685044 6719588 20104363 0 2671828 3938531 4089372 2685044 6719588 20104363 0 0 0 0 0 0 0 399148270 474988097 551217348 854854796 1167126784 3447335295 0.99417 0.99460 0.00583 0.01000 X 0 DUE TO AFFLIATES 15372270 15372270 SCHEDULE D, PART X, LINE 2 FIN 48 (ASC 740) FOOTNOTE PRIORITY HEALTH CHOICE, INC. CONDUCTS AN ANALYSIS ANNUALLY TO DETERMINE THE ORGANIZATION'S LIABILITY WITH RESPECT TO UNCERTAIN TAX POSITIONS. FOR THE YEAR ENDED DECEMBER 31, 2022 IT WAS DETERMINED THAT THERE WERE NO MATERIAL UNCERTAIN TAX POSITIONS TO DISCLOSE. AS SUCH, THERE WAS NO FOOTNOTE ADDED TO THE AUDITED FINANCIAL STATEMENTS. true true false false false false false false false JOYCE CHAN RUSSELL DIRECTOR/CHAIR 0 325182 0 108931 0 558 0 33273 0 60657 0 528601 0 0 CHRIS CROOK FORMER KEY EMPLOYEE 0 373605 0 110912 0 49918 0 76893 0 70569 0 681897 0 157452 JAMES FORSHEE MD DIRECTOR 0 442804 0 130773 0 516293 0 15590 0 21554 0 1127014 0 498125 NICHOLAS GATES DIRECTOR/VICE CHAIR/TREASURER 0 374286 0 111001 0 33925 0 56233 0 67580 0 643025 0 32890 MICHAEL JASPERSON DIRECTOR 0 401471 0 121363 0 33984 0 56566 0 73771 0 687155 0 32629 BRIAN KRUPICZEWICZ FORMER KEY EMPLOYEE 0 305193 0 88830 0 32795 0 70798 0 65228 0 562844 0 28143 PRAVEEN THADANI DIRECTOR/PRESIDENT 0 1101941 0 435715 0 6049 0 341826 0 131938 0 2017469 0 435715 KIMBERLY THOMAS DIRECTOR/SECRETARY 0 428111 0 124912 0 44190 0 115061 0 59799 0 772073 0 43064 JOAN A BUDDEN FORMER OFFICER 0 0 0 0 0 490247 0 0 0 0 0 490247 0 0 BRIAN FEDORONKO FORMER HIGHEST COMPENSATED EMP 0 303647 0 72079 0 8625 0 15282 0 29925 0 429558 0 0 MARY ANNE JONES FORMER OFFICER 0 0 0 73024 0 494760 0 0 0 0 0 567784 0 0 DAVID RZESZUTKO FORMER HIGHEST PAID 0 308674 0 71709 0 7820 0 18650 0 16636 0 423489 0 0 MATTHEW STREBECK FORMER HIGHEST COMPENSATED EMP 0 277015 0 85041 0 28916 0 17235 0 62475 0 470682 0 26938 SCHEDULE J, PART I, LINE 3 ARRANGEMENT USED TO ESTABLISH THE TOP MANAGEMENT OFFICIAL'S COMPENSATION SEE EXPLANATION PROVIDED ON SCHEDULE O FOR FORM 990, PART VI, LINE 15A. SCHEDULE J, PART I, LINE 4A SEVERANCE OR CHANGE-OF-CONTROL PAYMENT JOAN BUDDEN $490,247 MARY ANNE JONES $493,400 SCHEDULE J, PART I, LINE 4B SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN CHRIS CROOK - $157,452 JAMES FORSHEE - $498,125 MICHAEL JASPERSON - $32,629 BRAIN KRUPICZEWICZ - $28,143 NICK GATES - $32,890 PRAVEEN THADANI - $435,715 KIMBERLY THOMAS - $43,064 MATTHEW STREBECK - $26,938 SCHEDULE J, PART I, LINE 4B IS ANSWERED YES BECAUSE INDIVIDUALS, WHOSE SALARY AND BENEFITS ARE ALLOCATED TO THIS ORGANIZATION, DO PARTICIPATE IN A SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN. SOME INDIVIDUALS RECEIVED DISTRIBUTIONS DURING THE YEAR (AS REPORTED ON THIS LINE) WHEREAS OTHERS PARTICIPATED IN THE PLAN BUT DID NOT RECEIVE DISTRIBUTIONS. DISTRIBUTIONS REPORTED ON THIS LINE ARE ALSO INCLUDED IN SCHEDULE J, PART II, COLUMN F AS COMPENSATION REPORTED IN A PRIOR YEAR. THE NONQUALIFIED RETIREMENT PLANS ARE AN INDUSTRY STANDARD AND ARE SUBJECT TO THE FUNDING REQUIREMENTS OF NONQUALIFIED DEFERRED COMPENSATION PLANS UNDER ERISA AND FEDERAL TAX REGULATIONS. SCHEDULE J, PART II, COLUMN (F) DEFERRED COMPENSATION THE 2022 BONUS & INCENTIVE COMPENSATION INCLUDES CERTAIN DEFERRED COMPENSATION ARRANGEMENTS THAT WERE REPORTED IN PREVIOUS YEARS BUT PAID IN 2022. THIS RESULTS IN A CERTAIN AMOUNT OF WAGES BEING REPORTED IN THE FORM 990 TWICE. AMOUNTS REPORTED IN PART II COLUMN F REPRESENT COMPENSATION THAT WAS REPORTED IN A PREVIOUS YEAR'S FORM 990 WHILE ALSO BEING REPORTED IN THE CURRENT FORM 990 AS TOTAL COMPENSATION. FORM 990, PART III, LINE 4A PROGRAM SERVICE DESCRIPTION PRIORITY HEALTH CHOICE, INC. HAS A CONTRACT WITH THE STATE OF MICHIGAN TO OFFER HEALTH CARE COVERAGE TO MEDICAID RECIPIENTS WITHIN THE STATE OF MICHIGAN. MEDICAID MANAGED CARE HAS BEEN IN EXISTENCE SINCE THE LATE 1990'S AND HAS DEMONSTRATED SIGNIFICANT COST SAVINGS ALONG WITH BETTER HEALTH OUTCOMES FOR THEIR MEMBERS. PRIORITY HEALTH CHOICE, INC. PROVIDES MORE THAN 256,000 LOWER INCOME AND/OR DISABLED RESIDENTS IN 23 MICHIGAN COUNTIES WITH ACCESS TO QUALITY AND AFFORDABLE HEALTH CARE SERVICES. IT PROMOTES AND INCENTIVIZES OPEN ACCESS TO PROVIDERS. PRIORITY HEALTH CHOICE, INC. RECEIVED A RATING OF 4 OUT OF 5 FROM THE NATIONAL COMMITTEE FOR QUALITY ASSURANCE (NCQA). THE RATING WAS BASED ON CLINICAL QUALITY, MEMBER SATISFACTION AND NCQA ACCREDITATION SURVEY RESULTS WHICH WERE CONDUCTED ON MORE THAN 1,000 HEALTH INSURANCE PLANS. IN ADDITION TO THIS RECOGNITION FROM NCQA, THE 2022 MEDICAID HEALTH PLAN CONSUMER GUIDE HAS AWARDED PRIORITY HEALTH CHOICE, INC. WITH AN ABOVE AVERAGE OVERALL RATING. THE OVERALL RATING INCLUDES ALL 5 CATEGORIES IN ADDITION TO HOW THE MEMBERS FEEL ABOUT THEIR PLAN AND THE HELP THE MEMBERS RECEIVE FROM THEIR PLAN. CHILDREN'S SPECIAL HEALTH CARE SERVICES (CSHCS) IS A SPECIALTY PROGRAM OFFERED BY THE STATE OF MICHIGAN TO PROVIDE CARE FOR CHILDREN AND SOME ADULTS WITH CHRONIC HEALTH CONDITIONS. IN ADDITION, THE CSHCS PROGRAM OFFERS SUPPORT TO THE FAMILIES AND CAREGIVERS OF THE MEMBER. CSHCS PROGRAM ELIGIBILITY IS BASED ON MORE THAN 2,600 MEDICAL DIAGNOSES. AS OF OCTOBER 1, 2012, THE MAJORITY OF THE CSHCS POPULATION TRANSITIONED INTO A MEDICAID HEALTH PLAN. IN RESPONSE TO THIS TRANSITION, PRIORITY HEALTH CHOICE, INC. IMPLEMENTED A SPECIALTY CARE MANAGEMENT PROGRAM FOR THIS UNIQUE POPULATION. A DEDICATED CARE MANAGEMENT TEAM ENSURES CSHCS MEMBERS ARE ESTABLISHED WITH A PRIMARY CARE MEDICAL HOME WHILE ALSO PROVIDING CARE COORDINATION BETWEEN THEIR PRIMARY CARE / SPECIALTY CARE PROVIDERS AND ANY ANCILLARY PROVIDERS. THIS TEAM INCLUDES CARE MANAGERS, COMMUNITY HEALTH WORKERS, FIELD SERVICE REPRESENTATIVES, AND OTHER KEY PARTNERS, INCLUDING COUNTY HEALTH DEPARTMENTS, EARLY ON, EARLY HEAD START, THE INTERMEDIATE SCHOOL DISTRICTS, SPECIALTY PROVIDERS, AND MEDICAL SUPPLIERS. THE CARE MANAGEMENT TEAM ALSO FACILITATES ACCESS FOR FAMILIES TO THE FAMILY CENTER FOR CHILDREN AND YOUTH WITH SPECIAL HEALTH CARE NEEDS, AND THE CHILDREN'S SPECIAL NEEDS FUNDS IN LANSING. AS OF DECEMBER 31, 2022, PRIORITY HEALTH CHOICE, INC. HAS MORE THAN 4,400 MEMBERS ENROLLED IN THE CSHCS PROGRAM, UP FROM APPROXIMATELY 3,300 MEMBERS IN THE PRIOR YEAR. ON SEPTEMBER 16, 2013, THE MICHIGAN GOVERNOR SIGNED INTO LAW MICHIGAN PUBLIC ACT 107 OF 2013, WHICH DIRECTED THE CREATION OF THE HEALTHY MICHIGAN PLAN. THE HEALTHY MICHIGAN PLAN RECEIVED APPROVAL FROM THE CENTERS FOR MEDICARE & MEDICAID SERVICES ON DECEMBER 30, 2013. THE STATE OF MICHIGAN BEGAN TO MAKE HEALTH CARE BENEFITS AVAILABLE THROUGH THE HEALTHY MICHIGAN PLAN EFFECTIVE APRIL 1, 2014. THE HEALTHY MICHIGAN PLAN ENCOURAGES HEALTHY BEHAVIORS AND PERSONAL RESPONSIBILITY, HELPS LOW-INCOME MICHIGAN RESIDENTS ACCESS AFFORDABLE HEALTH COVERAGE, AND REDUCES UNCOMPENSATED CARE THAT SHIFTS COSTS ONTO BUSINESSES AND TAXPAYERS. AS OF DECEMBER 31, 2022, PRIORITY HEALTH CHOICE, INC. HAD MORE THAN 86,900 MEMBERS ENROLLED IN THE HEALTHY MICHIGAN PLAN. PRIORITY HEALTH CHOICE, INC. MAKES OUTREACH CALLS TO EACH HEALTHY MICHIGAN MEMBER. DURING THE CALL, MEMBERS ARE PROVIDED WITH BENEFIT EDUCATION AS WELL AS ASSISTANCE IN MAKING THEIR INITIAL PRIMARY CARE PROVIDER ("PCP") APPOINTMENT. DURING THAT INITIAL PCP APPOINTMENT, THE MEMBER COMPLETES A HEALTH RISK ASSESSMENT, WHICH IDENTIFIES CURRENT BEHAVIORS, A MEMBER'S READINESS TO CHANGE, KEY HEALTH METRICS, AND THE PCP ATTESTATION. IN PURSUIT OF THE GOAL THAT 81% OF CONTINUOUSLY ENROLLED MEDICAID MEMBERS WILL HAVE AT LEAST ONE LEAD SCREENING TEST BY THEIR SECOND BIRTHDAY, PRIORITY HEALTH REDESIGNED THE MEDICAID LEAD SCREENING PROGRAM. AS SUCH, PRIORITY HEALTH DEVELOPED A PROGRESSIVE THREE-TOUCH MEMBER OUTREACH REMINDER/INCENTIVE, PURCHASED LAB EQUIPMENT ON BEHALF OF PROVIDER OFFICES AND PROVIDED EDUCATION TO BOTH MEMBERS AND PROVIDERS AROUND THE IMPORTANCE OF LEAD SCREENING. BASED ON 2021 DATA, THE PRIORITY HEALTH CARE EFFECTIVENESS DATA AND INFORMATION SET (HEDIS) RATE FOR LEAD SCREENING WAS 60.83%. THE COMMUNITY HEALTH CARE ACCESS PROGRAM (CHAP), FORMERLY KNOWN AS CHILDREN'S HEALTH CARE ACCESS PROGRAM, IS A COMMUNITY COLLABORATIVE THAT WAS INITIATED IN 2008 AND HAS SINCE EXPANDED TO SERVICE ADULT ENROLLEES. THE FOCUS OF THE COLLABORATIVE FOR THE FIRST SEVERAL YEARS WAS TO INCREASE ACCESS AND QUALITY HEALTH CARE TO MEDICAID PEDIATRIC MEMBERS. THE PRIMARY GOAL OF THE CHAP PROGRAM NOW IS TO IMPROVE HEALTH OUTCOMES AMONG CHILDREN ON MEDICAID WHILE BETTER UTILIZING EXISTING RESOURCES AND DECREASING COSTS. THIS PARTNERSHIP BETWEEN PRIORITY HEALTH CHOICE, INC., HELEN DEVOS CHILDREN'S HOSPITAL, CHERRY STREET HEALTH SERVICES, PRIVATE PEDIATRIC PRACTICES, NUMEROUS HUMAN SERVICE AGENCIES, AND PRIVATE FOUNDATIONS COVERS MORE THAN 12,500 CHILDREN IN KENT COUNTY. CHAP CONTRACTED WITH PCP'S, PROVIDING CARE COORDINATION AND ASSISTANCE WITH KEY HEDIS METRICS. PCP'S WERE REIMBURSED AT A HIGHER RATE IN EXCHANGE FOR THEIR WILLINGNESS TO OPEN UP ACCESS, ESPECIALLY SAME DAY ACCESS TO MEMBERS. CHAP PROVIDED SAME DAY TRANSPORTATION TO URGENT PCP APPOINTMENTS AS NEEDED. IN ADDITION, CHAP PROVIDED MEMBER/FAMILY EDUCATION REGARDING APPROPRIATE EMERGENCY ROOM AND URGENT CARE UTILIZATION. IN 2014, CHAP DEVELOPED ITS OWN IDENTITY AS HEALTH NET OF WEST MICHIGAN. AT THE SAME TIME, THE FOCUS OF INTERVENTION EXPANDED TO ADULTS AS WELL AS CHILDREN. HEALTH NET PARTNERED WITH ADULT PRIMARY CARE PRACTICES TO WORK WITH ADULT MEMBERS REGARDING EMERGENCY ROOM AND URGENT CARE USE, WHILE ALSO PROVIDING EDUCATION REGARDING SPECIFIC MEMBER INPATIENT UTILIZATION. IN ADDITION, HEALTH NET HAS PARTNERED WITH OB-GYN RESIDENCY CLINICS TO FACILITATE THE MATERNAL INFANT HEALTH PROGRAM (MIHP) ENROLLMENT FOR PREGNANT WOMEN. HEALTH NET REPORTS A 53% RETURN ON INVESTMENT; FOR EVERY $1 INVESTED IN CHAP SERVICES, $1.53 WAS SAVED IN HEALTH COSTS. PRIORITY HEALTH CHOICE, INC. CONTINUES TO BE RECOGNIZED FOR THEIR DEVELOPMENT OF PROGRAMS THAT HAVE LED TO INCREASED EFFICIENCY AND PATIENT CARE, HELPING LOWER COSTS, AND INCREASE SERVICE TO ITS MICHIGAN PATIENTS BY THE MICHIGAN ASSOCIATION OF HEALTH PLANS. PRIORITY HEALTH CHOICE, INC. WAS AWARDED A PINNACLE AWARD IN A PRIOR YEAR FOR ITS CENTERING PREGNANCY PROGRAM. THE GOAL WAS TO CREATE A COLLABORATIVE MODEL OF SUPPORT FOR MEDICAID MEMBERS WHICH RESULTS IN IMPROVED HEALTH OUTCOMES FOR MOTHERS AND THEIR BABIES, ENHANCED HEALTH EXPERIENCES, AND LOWER COSTS. PRIORITY HEALTH PARTNERED WITH COREWELL HEALTH IN SUPPORT OF THE CENTERING PREGNANCY PROGRAM FOR EXPECTANT MEDICAID MEMBERS AND THEIR BABIES. THROUGH THIS PARTICULAR COLLABORATION, FOCUS WAS PLACED ON MEDICAID MOTHERS AND BABIES; HOWEVER, THE MODEL IS SCALABLE TO OTHER PRODUCTS AND PROVIDERS WITHIN THE PRIORITY HEALTH NETWORK. THE COLLABORATIVE TEAM'S EFFORT RESULTED IN A NEW METHOD OF ENHANCED REIMBURSEMENT TIED TO EACH MEMBER AND EACH VISIT. THE PROGRAM IS AN ADDED BENEFIT TO PRIORITY HEALTH MEDICAID MEMBERS, PROVIDES A PRIORITY HEALTH CARE MANAGER AT THE CLINIC SITE WHO WORKS CLOSELY WITH HIGH-RISK PATIENTS AND REINFORCES CENTERING EDUCATION, AND SUPPORTS AND ENCOURAGES PARTICIPATION IN THE MATERNAL INFANT HEALTH PROGRAM. FORM 990, PART III, LINE 4A (CONTINUED) IN A PRIOR YEAR, THE MAHP AWARDED PRIORITY HEALTH CHOICE, INC. WITH A PINNACLE AWARD RECOGNIZING THE INNOVATIVE MEDNOW APPROACH. PRIORITY HEALTH CHOICE, INC. PARTNERED WITH MEDNOW TO VIRTUALLY CONNECT MEDICAID RECIPIENTS AND PROVIDERS. MEDNOW PROVIDES MEDICAID RECIPIENTS WITH ACCESS TO A COMPUTER IN-HOME, REAL-TIME ACCESS TO PRIMARY CARE PROVIDERS FOR NON-LIFE-THREATENING CONDITIONS, INCLUDING VIDEO VISITS FOR THOSE WITH A WEBCAM AND A STRONG INTERNET CONNECTION. IT HAS PROVIDED EFFECTIVE HEALTH CARE SERVICES TO BENEFICIARIES AT MEASURABLE COST SAVINGS. VIDEO-ENABLED VIRTUAL VISITS USE DATA ANALYTICS TO MEASURE UTILIZATION AND SATISFACTION. IN 2022, PRIORITY HEALTH CHOICE, INC. HAD 150,656 MEDNOW ENCOUNTERS WITH THE MEDICAID POPULATION. IN 2019, PRIORITY HEALTH'S MEDICAID CARE MANAGEMENT TEAM WAS AWARDED THE PINNACLE AWARD IN THE COMMUNITY OUTREACH CATEGORY FOR THEIR MEDICALLY COMPLEX CHILDREN INFORMATION SHARING EVENTS PROJECT FROM THE MICHIGAN ASSOCIATION OF HEALTH PLANS (MAHP). BY WORKING CLOSELY WITH MEDICALLY COMPLEX CHILDREN (CSHCS - CHILDREN'S SPECIAL HEALTH CARE SERVICES) AND THEIR FAMILIES, THEY WERE ABLE TO QUICKLY IDENTIFY THE NEEDS AND GAPS IN KNOWLEDGE RELATED TO CARE COORDINATION BETWEEN THESE FAMILIES AND THE COMMUNITY PROVIDERS THAT SERVE THEM. IN RESPONSE, PRIORITY HEALTH LAUNCHED QUARTERLY MEDICALLY COMPLEX CHILDREN'S INFORMATION SHARING EVENTS. THOSE EVENTS WERE CREATED TO PROVIDE A VENUE FOR HEALTH CARE PROVIDERS AND COMMUNITY PARTNERS THAT SPECIFICALLY WORK WITH THE CSHCS POPULATION, TO NETWORK, SHARE INFORMATION, ESTABLISH REFERRAL PATHWAYS AND WORK COLLABORATIVELY. IN 2021, PRIORTY HEALTH WAS AWARDED THE PINNACLE AWARD IN THE CHRONIC DISEASE MANAGEMENT - GOVERNMENT PROGRAMS - MEDICAID CATEGORY FOR THEIR MEDICAID ASTHMA ENVIRONMENTAL HOUSING PROGRAM. THE MEDICAID ENVIRONMENTAL HOUSING PROGRAM REDUCED EMERGENCY DEPARTMENT VISITS BY 61.4% AND DECREASED ANNUAL MEDICAL SPENDING BY $675,274. IT HAS ACCOMPLISHED THAT BY PARTNERING WITH COMMUNITY ORGANIZATIONS TO PROVIDE IN-HOME VISITS DEDICATED TO HEALTH EDUCATION ABOUT SOCIAL DETERMINANTS OF HEALTH THAT ARE KNOWN TO TRIGGER ASTHMA. SOME OF THE INITIATIVES INCLUDE HOUSEHOLDS RECEIVING TAILORED ASTHMA EDUCATION, AN ASTHMA MANAGEMENT PLAN, COMMUNITY HEALTH WORKER SUPPORT, AND HOUSING REPAIRS WHERE POSSIBLE. IN 2019, PRIORITY HEALTH LAUNCHED THEIR NEW DUAL ELIGIBLE SPECIAL NEEDS PLAN (D-SNP) NAMED PRIORITYMEDICARE D-SNP WHICH WENT INTO EFFECT ON JANUARY 01, 2020. THIS PLAN WILL SERVE INDIVIDUALS WHO ARE 21 YEARS OF AGE AND OLDER, WHO ARE ALSO FULL BENEFIT DUAL ELIGIBLE BENEFICIARIES. THE D-SNP IS MEANT FOR INDIVIDUALS WITH HIGH RATES OF MULTIPLE CHRONIC CONDITIONS AND DISABILITIES INCLUDING MEDICAL CONDITIONS, BEHAVIORAL HEALTH DIAGNOSIS, PHYSICAL DISABILITIES, INTELLECTUAL OR DEVELOPMENTAL DISABILITIES, AS WELL AS FUNCTIONAL AND/OR COGNITIVE LIMITATIONS. THIS PARTICULAR POPULATION FACES MANY SOCIAL RISK FACTORS THAT CONTRIBUTE TO POOR HEALTH AND OTHER OUTCOMES SUCH AS HOUSING INSTABILITY AND HOMELESSNESS, FOOD INSECURITY, ISOLATION, INADEQUATE OR NO ACCESS TO TRANSPORTATION, AND DISPARITIES IN OTHER SOCIAL DETERMINANTS TO HEALTH. FORM 990, PART V, LINE 2A NUMBER OF EMPLOYEES REPORTED ON FORM W-3 ALL EMPLOYEES OF PRIORITY HEALTH CHOICE, INC. WERE EMPLOYED DURING THE YEAR BY COREWELL HEALTH (38-3382353) AND LEASED BACK TO PRIORITY HEALTH CHOICE, INC. SALARIES AND WAGES, EMPLOYEE BENEFITS AND PAYROLL TAXES ARE ALLOCATED TO PRIORITY HEALTH CHOICE, INC. VIA A MANAGEMENT FEE. THE SALARIES AND WAGES REPORTED IN PART IX STATEMENT OF FUNCTIONAL EXPENSES REFLECT THE PORTION OF SALARIES AND WAGES ALLOCATED TO PRIORITY HEALTH CHOICE, INC. COREWELL HEALTH FILED ALL APPLICABLE IRS TAX FILINGS INCLUDING FORMS W-2 AND W-3 ON BEHALF OF PRIORITY HEALTH CHOICE, INC. FORM 990, PART VI, LINE 2 FAMILY/BUSINESS RELATIONSHIPS AMONGST INTERESTED PERSONS CERTAIN MEMBERS OF THE BOARD OF DIRECTORS AND OFFICERS OF THE ORGANIZATION ALSO SERVE ON THE BOARD OF DIRECTORS AND/OR AS OFFICERS OF RELATED TAXABLE ENTITIES - BUSINESS RELATIONSHIP FORM 990, PART VI, LINE 3 MANAGEMENT SERVICES PRIORITY HEALTH MANAGED BENEFITS, INC. (PHMB), AN ENTITY RELATED THROUGH COMMON OWNERSHIP, PROVIDES CONTRACTED MANAGEMENT SERVICES TO PRIORITY HEALTH CHOICE, INC. AND ITS AFFILIATES. PRIORITY HEALTH, A 501(C)(4), IS THE PARENT COMPANY TO THE ORGANIZATION. PRIORITY HEALTH'S GOVERNING BODY RETAINS CONTROL OF THE ACTIVITIES OF PHMB AS THE GOVERNING BODIES OF PRIORITY HEALTH AND PHMB ARE COMPRISED OF THE SAME DIRECTORS AND OFFICERS. FORM 990, PART VI, LINE 6 CLASSES OF MEMBERS OR STOCKHOLDERS THE PARENT ORGANIZATION IS PRIORITY HEALTH (EIN 38-2715520), A TAX-EXEMPT 501(C)(4) ORGANIZATION. PRIORITY HEALTH CONTROLS 100% OF THE ORGANIZATION. PRIORITY HEALTH HAS TWO SHAREHOLDERS AS FOLLOWS: COREWELL HEALTH (EIN 38-3382353), CLASS A SHAREHOLDER - 94.44% MUNSON HEALTHCARE (EIN 38-2640544), CLASS B SHAREHOLDER - 5.56% ALL SHAREHOLDERS OF PRIORITY HEALTH ARE TAX-EXEMPT INTERNAL REVENUE CODE SECTION 501(C)(3) ORGANIZATIONS. FORM 990, PART VI, LINE 7A MEMBERS OR STOCKHOLDERS ELECTING MEMBERS OF GOVERNING BODY ELECTION OF MEMBERS AND THEIR RIGHTS FROM PRIORITY HEALTH CHOICE, INC. BYLAWS: ARTICLE V SECTION 2. NUMBER AND CLASS OF DIRECTORS. THE BOARD OF DIRECTORS WILL BE COMPRISED OF NO LESS THAN THREE (3) AND NO MORE THAN NINE (9) DIRECTORS. FORM 990, PART VI, LINE 7B DECISIONS REQUIRING APPROVAL BY MEMBERS OR STOCKHOLDERS FROM PRIORITY HEALTH CHOICE, INC. BYLAWS: SECTION 1. VOTES. EACH SHAREHOLDER OF RECORD AS DETERMINED IN ACCORDANCE WITH SECTION 2 OF THIS ARTICLE WILL, AT EVERY MEETING OF SHAREHOLDERS, BE ENTITLED TO ONE (1) VOTE IN PERSON OR BY PROXY FOR EACH SHARE OF CAPITAL VOTING STOCK OF THE CORPORATION HELD BY THE SHAREHOLDER. A VOTE MAY BE CAST EITHER VERBALLY OR IN WRITING. UNLESS THE ARTICLES OF INCORPORATION OR BYLAWS STATE OTHERWISE, ALL MATTERS WILL BE DETERMINED BY THE VOTE OF THE HOLDERS OF A MAJORITY OF THE ISSUED AND OUTSTANDING STOCK IN THE CORPORATION. SECTION 2. RECORD DATE FOR DETERMINATION OF SHAREHOLDERS. FOR THE PURPOSE OF DETERMINING SHAREHOLDERS ENTITLED TO NOTICE OF, AND TO VOTE AT, A MEETING OF SHAREHOLDERS, OR ANY ADJOURNED MEETING, OR TO EXPRESS CONSENT TO OR DISSENT FROM A PROPOSAL WITHOUT A MEETING, OR FOR THE PURPOSE OF ANY OTHER ACTION, THE BOARD OF DIRECTORS MAY FIX IN ADVANCE A DATE, NOT MORE THAN SIXTY (60) DAYS NOR LESS THAN TWENTY-ONE (21) DAYS BEFORE THE DATE OF THE MEETING OR OTHER ACTION, AS THE RECORD DATE FOR THE DETERMINATION OF SHAREHOLDERS. SECTION 3. PROXIES. A SHAREHOLDER ENTITLED TO VOTE AT A MEETING OF SHAREHOLDERS OR TO EXPRESS CONSENT OR DISSENT WITHOUT A MEETING MAY AUTHORIZE OTHER PERSONS TO ACT FOR THE SHAREHOLDER BY PROXY. NO PROXY WILL BE DEEMED OPERATIVE UNLESS AND UNTIL SIGNED BY THE SHAREHOLDER OR THE SHAREHOLDER'S AUTHORIZED AGENT OR REPRESENTATIVE AND FILED WITH THE CORPORATION. UNLESS OTHERWISE PROVIDED IN THE PROXY, A PROXY IS VALID ONLY FOR THREE (3) YEARS FROM ITS DATE. SECTION 4. ANNUAL BUDGET AND STRATEGIC PLAN. THE SHAREHOLDERS WILL APPROVE THE ANNUAL BUDGET AND STRATEGIC PLAN FOR THE CORPORATION. SECTION 5. POWER TO ELECT PRESIDENT. THE SHAREHOLDERS WILL SELECT THE PRESIDENT OF THE CORPORATION WHO MAY BE SOMEONE WHO IS NOT A MEMBER OF THE BOARD OF DIRECTORS. SECTION 6. REMOVAL OF OFFICERS AND AGENTS. ANY OFFICER OR AGENT MAY BE REMOVED BY THE SHAREHOLDERS WHENEVER, IN THEIR JUDGMENT, THE BUSINESS INTERESTS OF THE CORPORATION WILL BE SERVED BY THE REMOVAL. SECTION 7. DELEGATION OF POWERS. FOR ANY REASON THEY DEEM SUFFICIENT, WHETHER OCCASIONED BY ABSENCE OR OTHERWISE, THE SHAREHOLDERS MAY DELEGATE ALL OR ANY OF THE POWERS AND DUTIES OF ANY OFFICER TO ANY OTHER OFFICER OR DIRECTOR. SECTION 8. POWER TO REQUIRE BONDS. THE SHAREHOLDERS MAY REQUIRE ANY OFFICER OR AGENT TO FILE WITH THE CORPORATION A SATISFACTORY BOND CONDITIONED FOR FAITHFUL PERFORMANCE OF THE OFFICER'S OR AGENT'S DUTIES. FORM 990, PART VI, LINE 11A & 11B REVIEW OF FORM 990 BY GOVERNING BODY THE REVIEW PROCESS FOR THIS FORM 990 IS AS FOLLOWS: 1. PREPARATION OF THE RETURN IS DONE BY AN EXTERNAL CPA FIRM AND REVIEWED BY THE FIRM AND ORGANIZATION'S CORPORATE TAX TEAM. 2. THE RETURN IS REVIEWED BY THE ORGANIZATION'S FINANCE AND LEGAL DEPARTMENTS (INCLUDING THE SVP, FINANCE AND SVP, GENERAL COUNSEL) AND SHARED WITH THE MEMBERS OF THE FINANCE COMMITTEE AND BOARD OF DIRECTORS. 3. THE ORGANIZATION'S SVP, FINANCE REVIEWS COMMENTS OR QUESTIONS RECEIVED FROM MEMBERS OF THE BOARD OF DIRECTORS, IF ANY, TO ADDRESS OR TO INCORPORATE, AS APPROPRIATE, INTO THE RETURN PRIOR TO FILING. FORM 990, PART VI, LINE 12C CONFLICT OF INTEREST POLICY BOARD OF DIRECTORS 1. CONFLICTS OF INTEREST MUST BE DISCLOSED TO OTHER MEMBERS OF THE BOARD OF DIRECTORS AND BOARD OF DIRECTORS MEMBERS MUST NOT VOTE OR USE PERSONAL INFLUENCE ON ANY MATTER IN WHICH THE DIRECTOR HAS A CONFLICT OF INTEREST. 2. A PERSON HAVING A FINANCIAL INTEREST IN A PROPOSED TRANSACTION OR ARRANGEMENT MAY MAKE A PRESENTATION AT A MEETING OF THE BOARD OF DIRECTORS OR COMMITTEE CONSIDERING THAT TRANSACTION OR ARRANGEMENT, BUT AFTER THAT PRESENTATION HE OR SHE SHALL LEAVE THE MEETING DURING DISCUSSION AND VOTING ON THAT PROPOSED TRANSACTION OR ARRANGEMENT. THE PERSON HAVING THE FINANCIAL INTEREST SHALL NOT BE COUNTED IN DETERMINING WHETHER A QUORUM IS PRESENT. 3. THE CHAIRPERSON OF THE BOARD OF DIRECTORS OR COMMITTEE SHALL, IF APPROPRIATE, APPOINT A DISINTERESTED PERSON OR COMMITTEE (INCLUDING OUTSIDE ADVISORS) TO INVESTIGATE ALTERNATIVES TO THE PROPOSED TRANSACTION OR ARRANGEMENT, AND TO ADVISE WHETHER THE PROPOSED TRANSACTION OR ARRANGEMENT IS IN THE ORGANIZATION'S BEST INTEREST. 4. THE BOARD OF DIRECTORS OR COMMITTEE SHALL EXERCISE DUE DILIGENCE TO DETERMINE WHETHER THE ORGANIZATION CAN, WITH REASONABLE EFFORTS, OBTAIN A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT THAT WOULD NOT GIVE RISE TO A CONFLICT OF INTEREST. 5. IF A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT IS NOT REASONABLY ATTAINABLE UNDER CIRCUMSTANCES THAT WOULD NOT GIVE RISE TO A CONFLICT OF INTEREST, THE BOARD OF DIRECTORS OR COMMITTEE SHALL DETERMINE BY A MAJORITY VOTE OF THE DISINTERESTED DIRECTORS AND MEMBERS WHETHER THE PROPOSED TRANSACTION OR ARRANGEMENT IS IN THE ORGANIZATION'S BEST INTEREST AND FOR ITS OWN BENEFIT AND WHETHER THE TRANSACTION IS FAIR AND REASONABLE TO THE ORGANIZATION, AND SHALL MAKE ITS DECISION AS TO WHETHER TO ENTER INTO THE TRANSACTION OR ARRANGEMENT IN CONFORMITY WITH SUCH DETERMINATION. 6. THE MINUTES OF THE MEETINGS OF THE BOARD OF DIRECTORS AND ALL OF THE ORGANIZATION'S COMMITTEES SHALL SET FORTH: A) THE NAMES OF THE PERSONS WHO DISCLOSED A FINANCIAL INTEREST IN A PROPOSED TRANSACTION OR ARRANGEMENT INVOLVING THE ORGANIZATION OR ANY OF ITS SUBSIDIARIES AND THE NATURE OF THE FINANCIAL INTEREST; AND B) THE NAMES OF THE PERSONS WHO WERE PRESENT FOR DISCUSSIONS AND VOTES RELATING TO SUCH TRANSACTION OR ARRANGEMENT, INCLUDING ANY DISCUSSION OF ALTERNATIVES TO THE PROPOSED TRANSACTION OR ARRANGEMENT, AND A RECORD OF ANY VOTES TAKEN IN CONNECTION WITH THAT MATTER. THE VOTES OF INDIVIDUAL MEMBERS NEED NOT BE RECORDED UNLESS OTHERWISE DIRECTED BY THE BOARD OF DIRECTORS OR COMMITTEE. 7. THERE IS AN ONGOING REQUIREMENT THAT MEMBERS OF THE BOARD OF DIRECTORS COMPLETE ANOTHER DISCLOSURE QUESTIONNAIRE AT ANY POINT DURING HIS/HER TENURE ON THE BOARD OF DIRECTORS WHEN A NEW POTENTIAL CONFLICT OF INTEREST ARISES. IF A MEMBER OF THE BOARD OF DIRECTORS COMPLETES A DISCLOSURE QUESTIONNAIRE AS A RESULT OF A NEW POTENTIAL CONFLICT OF INTEREST, THAT DISCLOSURE QUESTIONNAIRE IS SUBMITTED TO THE LEGAL AND COMPLIANCE DEPARTMENTS FOR REVIEW. MANAGEMENT 1. UPON ACCEPTANCE OF AN EMPLOYMENT OFFER, EACH MEMBER OF MANAGEMENT COMPLETES A CONFLICT OF INTEREST DISCLOSURE QUESTIONNAIRE. A COPY OF THE MEMBER OF MANAGEMENT'S DISCLOSURE QUESTIONNAIRE IS SENT TO THE COMPLIANCE DEPARTMENT. A COPY OF THE MEMBER OF MANAGEMENT'S DISCLOSURE IS REVIEWED BY THE COI TEAM AND ESCALATED TO THE COI COMMITTEE IF NECESSARY. 2. ANNUALLY, EACH MEMBER OF MANAGEMENT COMPLETES AN ANNUAL CONFLICT OF INTEREST DISCLOSURE QUESTIONNAIRE ELECTRONICALLY. THE DISCLOSURE QUESTIONNAIRE IS REVIEWED BY THE LEGAL AND COMPLIANCE DEPARTMENTS. 3. THERE IS AN ONGOING REQUIREMENT THAT MEMBERS OF MANAGEMENT COMPLETE ANOTHER DISCLOSURE QUESTIONNAIRE AT ANY POINT DURING HIS/HER EMPLOYMENT WHEN A NEW POTENTIAL CONFLICT OF INTEREST ARISES. IF A MEMBER OF MANAGEMENT COMPLETES A DISCLOSURE QUESTIONNAIRE AS A RESULT OF A NEW POTENTIAL CONFLICT OF INTEREST, THAT DISCLOSURE QUESTIONNAIRE IS SUBMITTED TO THE LEGAL AND COMPLIANCE DEPARTMENTS. 4. THE LEGAL AND COMPLIANCE DEPARTMENTS, IN CONSULTATION WITH EXECUTIVE MANAGEMENT, DETERMINE HOW ANY REPORTED CONFLICTS SHOULD BE MANAGED. MANAGEMENT OF A CONFLICT MAY TAKE A VARIETY OF DIFFERENT FORMS FROM IMPLEMENTATION OF A MANAGEMENT PLAN TO REQUIRING THAT THE MEMBER OF MANAGEMENT CEASE THE ACTIVITY CREATING THE CONFLICT OR, IN EXTREME CASES, LEAVE THE ORGANIZATION'S EMPLOYMENT. MANAGEMENT IS DETERMINED ON AN INDIVIDUAL BASIS BASED UPON THE FACTS AND CIRCUMSTANCES SURROUNDING THE DISCLOSURE. THE PURPOSE OF CONFLICT MANAGEMENT IS TO PROVIDE TRANSPARENCY WITHIN THE ORGANIZATION AND TO ENSURE THAT THE ORGANIZATION'S EMPLOYEES ARE ALWAYS ACTING IN THE BEST INTEREST OF THE ORGANIZATION. FORM 990, PART VI, LINE 15A PROCESS TO ESTABLISH COMPENSATION OF TOP MANAGEMENT OFFICIAL THE COREWELL HEALTH BOARD OF DIRECTORS (THROUGH ITS COMPENSATION COMMITTEE) USES THE FOLLOWING PROCESS FOR DETERMINING COMPENSATION OF THE TOP MANAGEMENT OFFICIALS, OTHER OFFICERS, AND KEY EMPLOYEES AT PRIORITY HEALTH CHOICE, INC. LABOR MARKET DATA REFLECTING COMPARABLE ORGANIZATIONS AND JOBS (PREPARED BY INDEPENDENT FIRMS) ARE RELIED UPON IN SETTING COMPENSATION LEVELS. COMPETITIVE ASSESSMENT REPORTS ARE PROVIDED TO THE COMPENSATION COMMITTEE IN ADVANCE OF MEETINGS. THE COMPETITIVE ASSESSMENT REPORT IS PREPARED BY A NATIONALLY KNOWN INDEPENDENT EXECUTIVE COMPENSATION FIRM. THE FOLLOWING SURVEYS, PREPARED BY INDEPENDENT FIRMS, WERE THE PRIMARY SOURCES REFERENCED TO OBTAIN MARKET DATA FOR THE REVIEW: *BDO: 2021 USA HEALTH INSURANCE PLANS SURVEY *GALLAGHER (FORMERLY INTEGRATED HEALTHCARE STRATEGIES): 2021 NATIONAL HEALTHCARE LEADERSHIP COMPENSATION SURVEY *MERCER: 2021 IHN HEALTHCARE COMPENSATION SURVEY *MERCER: 2021 IHN HEALTH PLAN COMPENSATION SURVEY *SULLIVAN COTTER ASSOCIATES: 2021 MANAGER AND EXECUTIVE COMPENSATION IN HOSPITALS AND HEALTH SYSTEMS SURVEY IN ADDITION, GENERAL INDUSTRY SURVEYS WERE REFERENCED: *MERCER: 2021 US EXECUTIVE REMUNERATION SUITE *WILLIS TOWERS WATSON: 2021 EXECUTIVE COMPENSATION SURVEY IN ADDITION TO THE ABOVE DATA SOURCES, THE COMPENSATION COMMITTEE APPROVED THE CREATION OF A CUSTOM PEER GROUP OF HIGH PERFORMING INTEGRATED HEALTH SYSTEMS TO ENSURE ROBUST DATA AND A RELEVANT COMPARATOR UNIVERSE. THE PEER GROUP ORGANIZATIONS ARE APPROVED BY THE COMPENSATION COMMITTEE AND CONSISTS OF HEALTHCARE SYSTEMS SIMILAR IN REVENUE SIZE, MARKET COMPETITORS, HIGH PERFORMERS, FINANCIALLY STABLE AS INDICATED BY BOND RATING AND THAT FOLLOW A SIMILAR STRATEGY (MULTI-SITE SYSTEMS, HEALTH PLANS). DATA FOR THE PEER GROUP ORGANIZATIONS IS COMPILED BY THE INDEPENDENT EXECUTIVE COMPENSATION FIRM. COMPENSATION ADJUSTMENTS ARE APPROVED BY COMPENSATION COMMITTEE MEMBERS, CONSISTENT WITH THE COREWELL HEALTH COMPENSATION PHILOSOPHY DESCRIBED BELOW. MINUTES OF COMMITTEE DISCUSSIONS AND DECISIONS ARE PREPARED TO MEMORIALIZE COMPENSATION COMMITTEE DECISIONS BASED UPON THE ABOVE DATA. CASH COMPENSATION DATA RELIED UPON BY THE COMPENSATION COMMITTEE IS NATIONAL AND REFLECTS THE COMPENSATION PAID TO EXECUTIVES IN COMPARABLE JOBS IN COMPARABLY SIZED HEALTH CARE AND / OR HEALTH INSURANCE ORGANIZATIONS. COREWELL HEALTH RECRUITS NATIONALLY FOR ITS EXECUTIVES. BENEFITS DATA REFLECT NATIONAL HEALTH CARE / HEALTH INSURANCE MARKET PRACTICES. THIS PROCESS IS INTENDED TO ASSIST COREWELL HEALTH IN QUALIFYING FOR THE REBUTTABLE PRESUMPTION OF REASONABLENESS (INTERMEDIATE SANCTIONS REGULATIONS) AND COMPLYING WITH THE COREWELL HEALTH EXCESS BENEFIT TRANSACTION POLICY FOR THOSE INDIVIDUALS IN THE GROUP WHO ARE DISQUALIFIED PERSONS. THE OPINION SUBMITTED FROM THE THIRD-PARTY INDEPENDENT CONSULTING FIRM IS IN ACCORDANCE WITH THE PROVISIONS OF TREASURY REGULATIONS SECTION 53.4958-6(C)(2) AND IS ALSO INTENDED TO SATISFY THE PROFESSIONAL ADVICE REQUIREMENT OF TREASURY REGULATIONS SECTION 53.4958-1(D)(4)(III). FORM 990, PART VI, LINE 15B PROCESS TO ESTABLISH COMPENSATION OF OTHER OFFICERS OR KEY EMPLOYEES SEE EXPLANATION PROVIDED FOR FORM 990, PART VI, LINE 15A. FORM 990, PART VI, LINE 19 REQUIRED DOCUMENTS AVAILABLE TO THE PUBLIC THE ORGANIZATION'S ARTICLES OF INCORPORATION AND STATUTORY FINANCIAL STATEMENTS ARE ON FILE WITH THE STATE OF MICHIGAN AND AVAILABLE TO THE PUBLIC ON THE STATE'S WEBSITE. THE ORGANIZATION'S BYLAWS AND INTERNAL POLICIES ARE GENERALLY NOT MADE AVAILABLE TO THE PUBLIC. THE OVERALL SYSTEM CONSOLIDATED FINANCIAL STATEMENTS ARE PROVIDED AT HTTPS://WWW.COREWELLHEALTH.ORG/ABOUT-US. FORM 990, PART VII, SECTION A COMPENSATION OF DIRECTORS BASED ON EXTERNAL OPINION BY SULLIVAN, COTTER AND ASSOCIATES, INC., PRIORITY HEALTH CHOICE, INC. COMPENSATES BOARD MEMBERS IN A MANNER THAT IS REASONABLE IN RELATION TO MARKET DATA. BOARD OF DIRECTORS COMPENSATION IS REVIEWED ANNUALLY BY INTERNAL STAFF TO CONFIRM COMPENSATION FALLS WITHIN REASONABLE LIMITS. ANY COMPENSATION AMOUNT IS TREATED AS TAXABLE TO THE BOARD MEMBER AND IS REPORTED AND PROVIDED TO THEM ON FORM 1099, AS REQUIRED ACCORDING TO THE REPORTING THRESHOLDS. CERTAIN BOARD MEMBERS ARE EMPLOYED BY A RELATED ORGANIZATION. COMPENSATION REPORTED IN PART VII, SECTION A, COLUMN E IS FOR SERVICES PERFORMED FOR THE RELATED ORGANIZATION, NOT THE FILING ORGANIZATION. FORM 990, PART VII, SECTION A, LINE 2 INDIVIDUALS COMPENSATED MORE THAN $100,000 THERE ARE NO INDIVIDUALS REPORTED AS ALL ARE EMPLOYED BY THE PARENT ORGANIZATION COREWELL HEALTH. REFER TO THE DISCLOSURE FOR FORM 990, PART V, LINE 2A FOR FURTHER DETAIL. FORM 990, PART XI, LINE 9 OTHER CHANGES IN NET ASSETS OR FUND BALANCES CHANGE IN NONADMITTED ASSETS - (785,016) DIVIDENDS PAID TO STOCKHOLDERS - (30,000,000) FORM 990, PART XII, LINE 2B AUDITED FINANCIAL STATEMENTS THE ORGANIZATION'S FINANCIAL STATEMENTS ARE AUDITED ANNUALLY BY AN INDEPENDENT ACCOUNTING FIRM. THE ORGANIZATION ISSUED GAAP BASIS FINANCIAL STATEMENTS WHICH ARE PREPARED ON A CONSOLIDATED BASIS AND NOT ON A STAND ALONE BASIS. THE ORGANIZATION IS AUDITED ANNUALLY ON A STAND ALONE BASIS AND ISSUED FINANCIAL STATEMENTS ON A STAND ALONE BASIS WHICH ARE PREPARED IN ACCORDANCE WITH SAP (STATUTORY ACCOUNTING PRINCIPLES), AS REQUIRED BY REGULATORY AUTHORITIES. THE FIGURES IN THIS FORM 990 RECONCILE TO THE FINANCIAL STATEMENTS PREPARED UNDER STATUTORY ACCOUNTING PRINCIPLES AS SUBMITTED TO THE STATE OF MICHIGAN AND THE NATIONAL ASSOCIATION OF INSURANCE COMMISSIONERS (NAIC). BEAUMONT HEALTH 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 465718220 SUPPORTING OR MI 501(C)(3) 12C, III-FI COREWELL HEA false BEAUMONT HEALTH FOUNDATION 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 364852171 FOUNDATION MI 501(C)(3) 7 BEAUMONT HEA false BEAUMONT MEDIACL GROUP - PRIMARY CARE SE 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 822796539 PHYSICIAN SUP MI 501(C)(3) 10 BEAUMONT HEA false BEAUMONT MEDICAL GROUP - SPECIALTY SERVI 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 822784244 PHYSICIAN SUP MI 501(C)(3) 10 BEAUMONT HEA false BEAUMONT MEDICAL GROUP-HOSPITAL-BASED SE 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 822768899 PHYSICIAN SUP MI 501(C)(3) 10 BEAUMONT HEA false BEAUMONT MEDICAL TRANSPORTATION SERVICES 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 260203703 MEDICAL TRANS MI 501(C)(3) 10 BH GRAND RIV false BH GRAND RIVER SOUTHFIELD INC 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 382410823 EMERGENCY MED MI 501(C)(3) 10 BGH false BOTSFORD CONTINUING CARE CORPORATION 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 382549505 LONG TERM NUR MI 501(C)(3) 10 BGH false BOTSFORD GENERAL HOSPITAL 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 381426919 HOSPITAL MI 501(C)(3) 3 BEAUMONT HEA false COREWELL HEALTH 100 MICHIGAN ST NE MC 498 GRAND RAPIDS MI 49503 383382353 MANAGEMENT MI 501(C)(3) 12 TYPE III NA false COREWELL HEALTH FOUNDATION WEST MICHIGAN 100 MICHIGAN STREET NE GRAND RAPIDS MI 49503 382752328 PHILANTHROPY MI 501(C)(3) 7 COREWELL HEA false HOSPICE AT HOME INC 4025 HEALTH PARK LANE ST JOSEPH MI 49085 382416086 TO PROVIDE HO MI 501(C)(3) 7 LRHS false KENT COMMUNITY HEALTH FOUNDATION 750 FULLER AVE NE GRAND RAPIDS MI 49503 383607110 PHILANTHROPY MI 501(C)(3) 12 TYPE III SHS false LAKELAND COMMUNITY HOSPITAL WATERVLIET 400 MEDIACL PARK DRIVE WATERVLIET MI 49098 381368745 TO PROVIDE GE MI 501(C)(3) 3 LRHS false LAKELAND HEALTH FOUNDATION BENTON HARBO 1234 NAPIER AVENUE ST JOSEPH MI 49085 382539929 PROMATE AND A MI 501(C)(3) 7 LRHS false LAKELAND HOSPITALS AT NILES AND ST JOSE 1234 NAPIER AVENUE ST JOSEPH MI 49085 382156872 PROVIDE A COM MI 501(C)(3) 3 LRHS false LAKELAND REGIONAL HEALTH SYSTEM 1234 NAPIER AVENUE ST JOSEPH MI 49085 382609624 PROVIDE A COM MI 501(C)(3) 12 TYPE III COREWELL HEA false LAKELAND SPECIALTY HOSPITAL AT BERRIEN C 1234 NAPIER AVENUE ST JOSEPH MI 49085 383452303 LONGTERM HEAL MI 501(C)(3) 3 LRHS false LAKESHORE AREA RADIATION ONCOLOGY CENTER 12642 RILEY STREET HOLLAND MI 49424 383067954 RADIATION SER MI 501(C)(3) 3 SPECTRUM HH false MECOSTA COUNTY MEDICAL CENTER 605 OAK STREET BIG RAPIDS MI 49307 381368744 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false MEMORIAL MEDICAL CENTER OF WEST MICHIGAN ONE ATKINSON DRIVE LUDINGTON MI 49431 381359266 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false MERCY MEMORIAL HEALTH SERVICES INC 4368 CLEVELAND AVENUE STEVENSVILLE MI 49127 382748035 PROVIDE HOMEC MI 501(C)(3) 10 LRHS false NEWAYGO COUNTY GENERAL HOSPITAL ASOCIATI 212 S SULLIVAN AVENUE FREMONT MI 49412 381359517 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false OAKWOOD HEALTH PROMOTIONS INC 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 382601965 ASSISTED AND MI 501(C)(3) 10 OHI false OAKWOOD HEALTHCARE INC 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 381405141 HOSPITAL MI 501(C)(3) 3 BEAUMONT HEA false OAKWOOD HOME CARE SERVICES 26901 BEAUMONT BLVD SOUTHFIELD MI 48101 382877338 HOME HEALTH S MI 501(C)(3) 10 OHI false OAKWOOD UNITED HOSPITALS INC 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 382837961 FACILITY LEAS MI 501(C)(3) 12A, I OHI false PENNOCK HOSPITAL 1009 WEST GREEN STREET HASTINGS MI 49058 381360562 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false PRIORITY HEALTH 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 382715520 HMO MI 501(C)(4) COREWELL HEA false REED CITY HOSPITAL CORPORATION 300 N Patterson Rd REED CITY MI 49677 382770076 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false SPECTRUM HEALTH UNITED 615 S BOWER GREENVILLE MI 48838 381358412 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false SPECTRUM HEALTH WORTH SERVICES 752 FULLER AVE NE GRAND RAPIDS MI 49503 382786617 HEALTH CARE MI 501(C)(3) 10 SHCC false SPECTRUM HEALTH - LEFFINGWELL AVENUE 100 MICHIGAN STREET NE GRAND RAPIDS MI 49503 854390483 REHAB/CARE MI 501(C)(3) 10 SHCC false SPECTRUM HEALTH CONTINUING CARE 750 FULLER AVE NE GRAND RAPIDS MI 49503 383242232 REHAB/CARE MI 501(C)(3) 10 COREWELL HEA false SPECTRUM HEALTH CONTINUING CARE CENTER 751 FULLER AVE NE GRAND RAPIDS MI 49503 382415333 REHAB/NRS MI 501(C)(3) 10 SHCC false SPECTRUM HEALTH HOSPITALS 100 MICHIGAN STREET NE GRAND RAPIDS MI 49503 381360529 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false SPECTRUM HEALTH KELSEY 615 S BOWER GREENVILLE MI 48838 381297435 HEALTH CARE MI 501(C)(3) 3 SHU false SPECTRUM HEALTH PRIMARY CARE PARTNERS 1840 WEALTHY ST SE GRAND RAPIDS MI 49506 381358164 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false TOTAL HEALTH CARE USA INC 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 383240485 HMO MGMT MI 501(C)(4) THC INC false TOTAL HEALTH CARE INC 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 382018957 HMO MGMT MI 501(C)(4) PRIORITY HEA true TRINITY HEALTH PLANS 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 382663747 HMO MGMT MI 501(C)(4) PRIORITY HEA true VISITING NURSE SERVICES OF WESTERN MICHI 753 FULLER AVE NE GRAND RAPIDS MI 49503 381359195 HEALTH CARE MI 501(C)(3) 10 SHCC false WILLIAM BEAMONT HOSPITAL 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 381459362 HOSPITAL MI 501(C)(3) 3 BEAUMONT HEA false ZEELAND COMMUNITY HOSPITAL 8333 FELCH STREET ZEELAND MI 49464 381411184 HEALTH CARE MI 501(C)(3) 3 COREWELL HEA false MICHIGAN MOBILE PET IMAGING 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 331086165 MOBILE PET SC MI 501(C)(3) 12A, I OHI false WEST MICHIGAN ACCOUNTABLE CARE ORGANIZAT 221 Michigan St NE Ste 501 GRAND RAPIDS MI 49503 833153113 ACCOUNTABLE CARE MI COREWELL HEALTH false false DEARBORN SCHAEFFER OFFICE COMPANY LLC 26901 BEAUMONT BOULEVARD SOUTHFIELD MI 48033 262448025 REAL ESTATE MI NA false false OAKMED LLC 1938 WOODSLEE DRIVE TROY MI 48084 461459737 PRIVATE DUTY NURS MI NA false false 1697 MICHIGAN STREET PROPERTY 100 MICHIGAN ST NE GRAND RAPIDS MI 49503 831721239 MGMT MI SHS C CORPORATION false 25 MICHIGAN STREET CONDOMINIUM ASSOCIATI 100 MICHIGAN ST NE GRAND RAPIDS MI 49503 161734157 MGMT MI SHS C CORPORATION false 35 MICHIGAN STREET CONDOMINIUM ASSOCIATI 35 MICHIGAN ST NE GRAND RAPIDS MI 49503 272193084 MGMT MI SHS C CORPORATION false COREWELL HEALTH INDEMNITY COMPANY 23 LIME TREE BAY AVENUE GRAND CAYMAN CJ 980512415 PREMIUM DEPOSITS CJ WBH C CORPORATION false BEAUMONT NURSING HOME SERVICES INC 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 382799842 ASSISTED CARE LIV MI WBH C CORPORATION false BEAUMONT PHYSICIANS INSURANCE COMPANY 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 274261262 PROFESSIONAL INSU MI WBH C CORPORATION false BH SOUTHFIELD BILLING INC 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 382755982 MANAGEMENT AND D MI BH GRAND RIVER C CORPORATION false BLUE STAR PROFESSIONAL BUILDING CONDOMIN 4025 HEALTH PARK LANE ST JOSEPH MI 49085 208313519 MGMT MI HOSPICE AT HOME C CORPORATION false BOTSFORD COMMONS PROPERTY ASSOCIATION 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 383203663 PROPERTY MANAGEME MI BCCCC C CORPORATION false FOUR FLAGS PROPERTIES INC 122 GRANT STREET NILES MI 49120 364501639 PROPERTY MANAGEME MI LHE INC C CORPORATION false HELEN DEVOS WOMENT'S AND CHILDREN'S HEAL 330 BARCLAY NE GRAND RAPIDS MI 49503 383264184 MGMT MI SHS C CORPORATION false LAKELAND HEALTH ENTERPRISES INC 31 NORTH ST JOSEPH AVENUE NILES MI 49120 382669798 ACCOUNTING AND BI MI LRSH INC C CORPORATION false LAKELAND HEALTH VENTURES INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 272313790 HOLDING COMPANY MI LHE INC C CORPORATION false LAKELAND MEDICAL PRACTICES 1234 NAPIER AVENUE ST JOSEPH MI 49085 270381199 MEDICAL ADMINISTR MI LHE INC C CORPORATION false LAKELAND PERSONAL CARE SERVICES INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 272990797 HEALTHCARE SERVIC MI LHE INC C CORPORATION false LAKELAND PHYSICAN CARE NETWORK 1234 NAPIER AVENUE ST JOSEPH MI 49085 208513031 MEDICAL SERVICES MI LHE INC C CORPORATION false LEMMEN-HOLTON CANCER PAVILION CONDOMINIU 145 MICHIGAN ST NE GRAND RAPIDS MI 49503 161734150 MGMT MI SHS C CORPORATION false MUSCULOSKELETAL CENTER CONDOMINIUM ASSOC 230 MICHIGAN NE GRAND RAPIDS MI 49503 383180086 MGMT MI SHS C CORPORATION false OAKWOOD AFFILIATED VENTURES INC 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 371753159 HOLDING COMPANY MI OHI C CORPORATION false PENNOCK PROFESSIONAL BUILDING CONDOMINIU 1009 W GREEN ST HASTINGS MI 49085 384056359 MGMT MI PENNOCK HOSPITA C CORPORATION false PENNOCK VENTURES INC 1009 WEST GREEN STREET HASTINGS MI 49058 382712819 HEALTH CARE MI PENNOCK HOSPITA C CORPORATION false PHMB CAMADS TRUST 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 846496888 TRUST MI PHMB INC C CORPORATION false PRIORITY HEALTH INSURANCE COMPANY 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 201529553 INSURANCE MI PRIORITY HEALTH C CORPORATION false PRIORITY HEALTH MANAGED BENEFITS INC 1231 EAST BELTLINE NE GRAND RAPIDS MI 49525 383085182 THIRD MI COREWELL HEALTH C CORPORATION 345454680 111276971 1.00000 true SOUTHWESTERN MEDICAL CLINIC PHYSICANS I 1234 NAPIER AVENUE ST JOSEPH MI 49085 272589359 PHYSICIAN OFFICE MI LHE INC C CORPORATION false SPECTRUM HEALTH PHYSICIAN ALLIANCE 100 MICHIGAN ST NE GRAND RAPIDS MI 49503 371655728 PHYSICIANS MI COREWELL HEALTH C CORPORATION 803608 0 1.00000 true MICHIGAN STREET PARKING CONDOMINIUM ASSO 100 MICHIGAN ST NE GRAND RAPIDS MI 49503 161734145 MGMT MI SHS C CORPORATION false MICHIGAN STREET PROJECT CONDOMINIUM ASSO 100 MICHIGAN ST NE GRAND RAPIDS MI 49503 364873152 MGMT MI SHH C CORPORATION false MIDWEST MEDICAL CENTER 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 263683446 OFFICE OF PHYSICI MI OAV INC C CORPORATION false OAKWOOD ENTERPRISES INC 26901 BEAUMONT BLVD SOUTHFIELD MI 48033 382601930 NON RESIDENTIAL R MI OAV INC C CORPORATION false THE PHARMACY SHOPPE INC 1234 NAPIER AVENUE ST JOSEPH MI 49085 382929090 PHARMACEUTICALS MI LHE INC C CORPORATION false WEST MICHIGAN HEART 1840 WEALTHY STREET SE GRAND RAPIDS MI 49506 382125186 PHYSICIANS MI COREWELL HEALTH C CORPORATION true GRAND RIVER ABSOLUTE RETURN FUND LTD PO BOX 852 GRAND CAYMAN CJ KY1-1103 POOLED INV FUND CJ COREWELL HEALTH false false false false false false false false false false false false false true true true true false true true