2024-07-12T17:49:59-05:00 2023-08-31 346565596 Ernst & Young US LLP 221 E 4th Street Suite 2900 Cincinnati OH 45202 990 2022-09-01 205497203 Baptist Health Medical Group Inc BAPT 5028965000 1901 Campus Place Louisville KY 402992038 Richard F Carrico VP and Treasurer 5028965000 2024-07-12 1 Richard Carrico 999009999 0 Julie L Sparks P01268401 5136121400 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z Isaac J Myers MD 1901 Campus Place Louisville KY 402992038 801166606 0 X WWW.BAPTISTHEALTH.COM X 2006 KY Employs physicians to provide excellent medical care for individuals and families. 5 5 6635 10 0 0 13170376 188973274 560236998 600790024 48843 -448585 11798677 11246420 585254894 800561133 0 0 0 0 726718861 793371364 0 0 0 149194543 169261051 875913404 962632415 -290658510 -162071282 163915115 243671773 141420392 175151123 22494723 68520650 X See Schedule O. 0 0 892418376 612036444 Baptist Health Medical Group, Inc. ("BHMG") is a professional medical services company organized and operated to benefit the member hospitals of Baptist Healthcare System, Inc. ("BHS"). BHMG is a comprehensive network of primary and specialty physician practices in Kentucky and Indiana that includes approximately 700 physicians and more than 750 advanced practice clinicians. Providers represent more than 85 specialties, including primary care and family medicine, internal medicine, osteopathic medicine, emergency medicine, general surgery and a wide range of surgical specialties offering advanced treatments and care. During fiscal year 2023, BHMG had over 4,600,000 patient visits at 375 locations. BHMG also operates urgent care centers, rural health clinics and occupational medicine facilities. The primary care and specialty care physician services support the hospitals operated by Baptist Healthcare System, Inc. by staffing emergency departments, providing hospitalist services and surgical care services for patients. BHMG's primary and specialty care physicians, urgent care centers, occupational medicine facilities and rural health centers offer more convenient and less costly quality care services to patients and help to maintain sufficient physician expertise and capacity to deliver efficient, appropriate and compassionate patient care in the communities BHMG serves. Our physicians play key leadership roles in determining the direction and development of patient services, they spearhead innovation by leading clinical research and they help to bring advanced treatments and technology to our facilities.In order to meet the health and wellness needs of our communities throughout Kentucky and Indiana, Baptist Healthcare System, Inc. (BHS) provides grants to Baptist Health Medical Group, Inc. (BHMG). BHS is a nonprofit Section 501(c)(3) related entity and the sole member of BHMG. These grants allow BHMG to continue to provide support and care for Medicaid and charity care patients through primary care centers, rural health centers, urgent care centers and specialty health centers that meet a demonstrated community need. BHS makes these grants on the condition that BHMG use the grant funds only for the following activities:1. To provide care for patients participating in Medicaid and other means-tested government health programs, including but not limited to the Kentucky Children's Health Insurance (KCHIP) program.2. To provide care, for free or at discounted rates, to low-income patients who cannot afford the cost of care.3. To fund the operations of rural health clinics that provide care for the patients described above.4. To engage in community activities and programs in response to demonstrated community needs to improve community health, including but not limited to health screenings; COVID testing; vaccinations and community health education. Baptist Healthcare System, Inc. reports the grants related to the above activities on its respective IRS Form 990, Schedule H, Part I, Line 7. Impact of COVID-19:Clinical leaders from Baptist Health, the largest health system in the Commonwealth of Kentucky, played a principal role as advisors to the Commissioner for Public Health, the Cabinet for Health and Family Services ("CHFS"), Office of Inspector General, and other state agencies in response to the unprecedented needs of our community during the COVID-19 pandemic. In conjunction with leadership teams from other health systems and the Kentucky Hospital Association, Baptist Health played a lead role in advising and developing the State's COVID-19 policies and its guidelines on multiple matters.Baptist Health acted swiftly and efficiently to the COVID-19 pandemic by responding to the needs of our communities, our patients and our staff members by implementing disaster readiness protocols, securing critical PPE and distribution networks, and developing system-wide warehousing and logistics plans. Our quick pivot to digital healthcare solutions, with the creation of new processes and procedures and the enhancement of existing services, allowed us to provide healthcare services for patients to address their immediate medical needs, all while ensuring the safety of the patients, staff and physicians. Video teleconferencing services proved to be a valuable tool as it became a lifeline for our behavioral health patients. In just a few months, we advanced digital health services by years and have seen our patients embrace this change. We made access to healthcare more convenient and more readily available, and eased our patients and their caretakers' concerns about exposure to COVID-19. Because of these innovations, we will be able to continue to utilize and enhance digital solutions well in to the future. Navigating the COVID-19 pandemic has accelerated the growth and development of innovations in the delivery of healthcare services that will positively affect how care is provided in the future. Baptist Health Medical Group continuously monitors COVID-19 health data, statistics, trends, clinical information and research in order to reevaluate and reassess current policies and procedures so that we can maintain the highest safety standards and provide peak levels of care to our patients.Baptist Health continues to make a concerted effort to support our communities by providing frequent education and assistance to community members and local businesses who have questions regarding operating in a COVID-19 environment. Telehealth and telemedicine continue to be utilized effectively to better protect patients and improve patient experience, and high quality PPE inventories are closely monitored to ensure the safety of patients and staff. 892418376 1 1 0 0 0 0 0 0 0 0 1 0 0 1 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 X 0 0 6635 0 0 0 0 0 0 0 0 0 0 0 0 0 X 5 5 1 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 0 0 0 KY X Richard F Carrico 5028965000 1901 Campus Place Lousiville KY 40299 X Claude A Foreit Director 1.00 0.00 X 0 0 0 Frank R Purdy III Chair (Effective 4/12/23) & Director 1.00 0.00 X X 0 0 0 Janet Berry Director (Through 12/31/22) 1.00 0.00 X 0 0 0 Linda Hopgood Director (Through 12/31/22) 1.00 0.00 X 0 0 0 Rob Schreiner MD Director 1.00 0.00 X 0 0 0 Robert L Hook Jr Chair & Director (Through 12/31/22) 1.00 0.00 X X 0 3000 0 Staci Dawn Farner Rogers MD Director 1.00 0.00 X 0 0 0 Victoria D Buster Director (Effective 1/1/23) 1.00 0.00 X 0 3000 0 Isaac J Myers MD President 20.00 20.00 X 0 1753719 145878 Janet M Norton Vice President & Secretary 1.00 40.00 X 0 1039221 43714 Stephen R Oglesby VP & Treasurer (Through 1/6/23) 1.00 40.00 X 0 1445051 42974 Thomas Reynolds Vice President (Through 7/28/23) 40.00 0.00 X 0 433597 43834 Richard F Carrico VP & Treasurer (Effective 4/12/23) 1.00 40.00 X 0 0 0 Bapineedu Gondi MD Physician 40.00 0.00 X 1649418 0 31680 John Blankenship MD Physician 40.00 0.00 X 1342920 0 42734 Srini Manchikalapudi MD Physician 40.00 0.00 X 1334190 0 38403 Steven Kiefer MD Physician 40.00 0.00 X 1385858 0 33032 John Oldham MD Physician 40.00 0.00 X 1370409 0 42441 7082795 4677588 464690 1314 0 1 0 0 188487798 485476 188973274 Ins & Patient Payments 621111 347501303 347501303 Medicare/Medicaid Pmts 621111 191461752 191461752 Other Patient Related 621999 60427038 60427038 Care Coordination Fees 621999 1299012 1299012 MOB Rent 531120 100919 100919 600790024 156888 156888 605473 -605473 -605473 -605473 Physician Services 900099 6310380 6310380 Other Revenue 541900 4663467 4663467 Leased Employees 900099 272573 272573 11246420 800561133 612036444 0 -448585 685104700 655590537 29514163 16247046 15473078 773968 56802598 52356507 4446091 35217020 31645120 3571900 603570 86077 517493 865792 496925 368867 165915 65535 100380 13586477 10515814 3070663 1112005 909503 202502 35183874 33673124 1510750 3214213 2223320 990893 9149007 8495945 653062 18876911 18876911 Medical Supplies 38776141 38464490 311651 Administrative 24310944 4521043 19789901 Purchased Svcs Non-Med 20049591 16662907 3386684 Dues & Licenses 3119433 2231610 887823 247178 129930 117248 962632415 892418376 70214039 0 54989 43649 1022599 35417 59941508 57274097 2410940 2124146 63285520 30120347 27994669 33165173 4139785 3486409 68350625 147542882 163915115 243671773 87213820 97118019 50570503 78033104 3636069 0 141420392 175151123 X 22526672 68520650 -31949 0 22494723 68520650 163915115 243671773 X -162071282 208097209 X 0 1 X 1 0 X Part I: Reason for Public Charity Status: Baptist Health Medical Group's public charity status is a hospital; however, BHMG does not have a hospital license or operate hospital facilities for purposes of Schedule H reporting. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 6703020 2544748 4158272 18376421 7716126 10660295 30713825 19825142 10888683 7492254 34331 7457923 33165173 Other Current Assets 15000 ROU Assets - Operating Leases 75428504 Due from Affiliates 66301554 Third Party Settlements 5797824 147542882 X Part X, Line 2: Baptist Healthcare System, Inc. evaluates its uncertain tax positions on an annual basis in their audited consolidated financial statements that include this reporting entity. A tax benefit from an uncertain position may be recognized when it is more likely than not that the position will be sustained upon examination, including the resolution of any related appeals or litigation processes, based on the technical merit of the position. Baptist has determined that it has no uncertain tax positions that are required to be recorded as of August 31, 2023. Tax years that are open include the years from 2018 to 2022. 0 1 0 0 0 0 0 0 0 Isaac J Myers MD President 0 675054 0 333826 0 744839 0 120578 0 25300 0 1899597 0 0 Bapineedu Gondi MD Physician 772188 0 865215 0 12015 0 12200 0 19480 0 1681098 0 0 0 Stephen R Oglesby VP & Treasurer (Through 1/6/23) 0 736985 0 573685 0 134381 0 12200 0 30774 0 1488025 0 0 Steven Kiefer MD Physician 763560 0 617486 0 4812 0 12200 0 20832 0 1418890 0 0 0 John Oldham MD Physician 735275 0 630322 0 4812 0 12200 0 30241 0 1412850 0 0 0 John Blankenship MD Physician 801408 0 539472 0 2040 0 12200 0 30534 0 1385654 0 0 0 Srini Manchikalapudi MD Physician 764715 0 564663 0 4812 0 12200 0 26203 0 1372593 0 0 0 Janet M Norton Vice President & Secretary 0 617783 0 304599 0 116839 0 12200 0 31514 0 1082935 0 0 Thomas Reynolds Vice President (Through 7/28/23) 0 359448 0 67385 0 6764 0 12200 0 31634 0 477431 0 0 Part I, Line 3 Baptist Healthcare System, Inc., a related organization of Baptist Health Medical Group, Inc., uses the following to establish the compensation of the organization's CEO: - Compensation committee - Independent compensation consultant - Form 990 of other organizations - Written employment contract - Compensation survey or study - Approval by the Board or Compensation Committee. Part I, Line 4b Five officers and executives of Baptist Healthcare System, Inc., (BHS), (one of which is an officer and/or director of Baptist Health Medical Group, Inc.), who participated in the Supplemental Executive Retirement Plan accrued amounts for 2022 which is a portion of the amount reported as deferred compensation in Schedule J, Column C. Other retirement and deferred compensation reported in Schedule J, Column C include amounts for the Retirement Accumulation Plan and Thrift Plan. The following individual participated in and accrued amounts from the Supplemental Executive Retirement Plan: Isaac J. Myers, MD $108,378 The following individuals received a payout from the Supplemental Executive Retirement Plan, a nonqualified deferred compensation plan, as they are fully vested in the plan: Stephen R. Oglesby $116,637 Isaac J. Myers, MD $721,241 Janet Norton $93,341 Part III, Line 1 Description of Organization Mission: Baptist Health Medical Group, Inc. is organized and operated to provide healthcare facilities and services including but not limited to physician services, primary care centers, specialty health clinics and urgent care centers. It also serves as an instrument to assist, advance and strengthen Baptist Health Louisville, Baptist Health LaGrange, Baptist Health Richmond, Baptist Health Corbin, Baptist Health Paducah, Baptist Health Lexington, Baptist Health Hardin and Baptist Health Floyd hospitals in their mission and ministry of healing and to support the charitable activities and operations of Baptist Healthcare System, Inc. Part V, Line 1 Form 1096 is filed by Baptist Healthcare System, Inc., FEIN 61-0444707. Part V, Line 2B All employment tax returns are filed by Baptist Healthcare System, Inc., FEIN 61-0444707. Form 990, Part VI, Section A, line 2 Four of the current or former Baptist Health Medical Group directors, Janet Berry, Robert L. Hook, Jr., Victoria Buster and Linda Hopgood, were also either an officer or director of a related organization. The following individuals have a business relationship in that they serve on the Board of Directors or are officers of the organization and are directors and/or officers of a related organization: Stephen Oglesby, Janet Norton, Richard Carrico, Victoria Buster, Robert L. Hook, Jr., Linda Hopgood and Janet Berry. Form 990, Part VI, Section A, line 6 Baptist Healthcare System, Inc. (EIN:61-0444707) is the sole member of the corporation. Form 990, Part VI, Section A, line 7a The sole member appoints all directors. Form 990, Part VI, Section A, line 7b The consent & approval of the sole member shall be required for all major corporate actions, and any act the result of which would be to: (a) amend, repeal or alter the Articles of Incorporation or Bylaws; (b) merge or consolidate or agree to merge or consolidate the corporation with or into any other organization; (c) liquidate, reorganize or recapitalize the corporation; (d) adopt the corporation's annual operating budget & capital expenditures budget; (e) create or incur any unbudgeted indebtedness which exceeds $100,000; (f) make any unbudgeted capital expenditure which exceeds $100,000; (g) other than acquiring marketable securities held for investment purposes, acquire the stock of any corporation or invest in or acquire an interest in any business enterprise; (h) sell or agree to sell or otherwise dispose of all or a substantial part of the assets of the corporation or any investment or interest in any business enterprise, other than marketable securities disposed of in the ordinary course of the corporation's activities. Form 990, Part VI, Section B, line 11b The internally prepared Form 990 is reviewed and approved by an outside accounting firm. A copy of the Form 990 is provided to the Board of Directors prior to the filing of the return. Any questions or comments are addressed by explanation or a change to the form. Form 990, Part VI, Section B, line 12c Annually, the Secretary of Baptist Healthcare System, Inc. (BHS) sends out a Conflict of Interest questionnaire to each of the officers and directors serving on the Board of BHMG. After completion, they are returned to the Secretary and reviewed by the Board or the Governance Effectiveness Committee for any potential conflicts. A conflict of interest is any circumstance, relationship (financial or otherwise), activity or decision (made in the course of governance, management or professional responsibilities or otherwise) that adversely influences or appears to adversely influence the ability of a Covered Person to: 1) make objective decisions on behalf of BHMG and/or 2) act in the best interests of BHMG in a manner consistent with the tax-exempt purposes of BHMG. The Board or Committee will determine by a majority vote of disinterested directors whether the disclosed financial or special interest may result in a conflict of interest. Form 990, Part VI, Section B, line 15 The President of Baptist Health Medical Group, Inc. is not an employee of Baptist Health Medical Group, Inc. but is an employee of Baptist Healthcare System, Inc., a tax-exempt 501(c)(3) organization which is the sole member of Baptist Health Medical Group, Inc. The President is compensated by Baptist Healthcare System, Inc. Annually in December, the Baptist Healthcare System, Inc. Compensation Committee reviews the compensation, including base compensation and incentive compensation for the President. The Baptist Healthcare System, Inc. Compensation Committee is comprised of independent Board Members. The Committee retains a Compensation Consultant to advise the Committee and who provides data as to comparable compensation for similarly qualified persons in functionally comparable positions at similarly situated healthcare organizations. The Committee reviews this information in approving annual base and incentive compensation and other items of reportable compensation described on Schedule J of the IRS Form 990. The decisions of the Committee regarding compensation are contemporaneously documented in the minutes of the Committee. Annually, the Committee Chairperson and the Compensation Consultant provide a report on executive compensation to the full Board of Directors of Baptist Healthcare System, Inc. Officers of Baptist Health Medical Group, Inc. are not employees of Baptist Health Medical Group, Inc. nor are they compensated by Baptist Health Medical Group, Inc. The Baptist Health Medical Group, Inc. officers are employees of Baptist Healthcare System, Inc. and are compensated by Baptist Healthcare System, Inc. The compensation of these officers is either reviewed and approved by the Compensation Committee of the Baptist Healthcare System, Inc. Board or are reviewed and approved by the Baptist Healthcare System, Inc. President and CEO. The organization makes every effort to ensure that the compensation of all employees is reasonable and appropriate for the value of the services received by the organization. Form 990, Part VI, Section C, line 19 The organization will provide any requested documents open to public inspection upon request. Form 990, Part VII Officers for Baptist Health Medical Group, Inc. provide services to Baptist Healthcare System, Inc. and its subsidiaries. Hours worked are not tracked on an entity by entity basis. Therefore, all officers and directors hours reported on Form 990, Part VII, Compensation of Officers, Directors, Trustees, Key Employees, Highest Compensated Employees, and Independent Contractors represent aggregate hours worked per week for all entities. Form 990, Part XI, line 9: Unrestricted Capital 9,022. Physician Entity Funding 177,877,493. IS Depreciation 2,458,176. BS Transfer 27,652,222. Capitalized Interest 68,347. Other 31,949. Baptist Health Foundation Corbin Inc 1901 Campus Place Louisville KY 40299 473033550 Fundraising KY 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Baptist Health Foundation Lexington Inc 1901 Campus Place Louisville KY 40299 611480774 Fundraising KY 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Baptist Health Foundation Greater Louisville Inc 1901 Campus Place Louisville KY 40299 200292291 Fundraising KY 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Baptist Health Foundation Paducah Inc 1901 Campus Place Louisville KY 40299 264057759 Fundraising KY 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Baptist Health Foundation Richmond Inc 1901 Campus Place Louisville KY 40299 311506378 Fundraising KY 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Baptist Healthcare Foundation Inc 1901 Campus Place Louisville KY 40299 311122867 Fundraising KY 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Baptist Healthcare System Inc 1901 Campus Place Louisville KY 40299 610444707 Hospital KY 501(c)(3) Schedule A, Line 3 N/A 0 Baptist Health Foundation Floyd Inc 1901 Campus Place Louisville KY 40299 922389529 Fundraising IN 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Mercy Regional Emergency Medical System LLC 3551 Coleman Road Paducah KY 42001 611310466 Ambulance Services KY 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Pattie A Clay Hospital Auxiliary PO Box 1600 Richmond KY 40476 510172717 Support Hospital KY 501(c)(3) Schedule A, Line 12a Baptist Healthcare System Inc 1 Baptist EastMilestone LLC 750 Cypress Station Dr Louisville KY 40207 611355065 Fitness Center KY N/A N/A 0 0 Baptist-Physicians' Surgery Center LLC 1720 Nicholasville Rd 101 Lexington KY 405031490 043665929 Ambulatory Surgery Center KY N/A N/A 0 0 Medical Associates of Middletown LLC 4000 Kresge Way Louisville KY 40207 200399400 Medical Office Building KY N/A N/A 0 0 Baptist Health Cumberland Valley Surgical Center LLC 275 Hwy 770 Corbin KY 40701 611348280 Ambulatory Surgery Center KY N/A N/A 0 0 0 0 1 0 0 0 0 0 0 0 1 0 0 0 1 1 1 0 1 Baptist Healthcare System Inc K 9266675 Cost Baptist Healthcare System Inc O 316485 Cost Baptist Healthcare System Inc P 35237851 Cost Baptist Healthcare System Inc Q 3432266 Cost Baptist Healthcare System Inc S 100000 Cost Baptist Healthcare System Inc C 188435003 Cost Baptist Health Foundation Richmond Inc C 52795 Cost