2024-07-11T13:59:12+00:00 2023-08-31 346565596 ERNST & YOUNG US LLP 155 N WACKER DRIVE CHICAGO IL 60606 990 2022-09-01 363822010 Almost Home Kids ALMO 6302719155 7 S 721 ROUTE 53 NAPERVILLE IL 60540 ALEX P MILLER SR. VP/CFO 3122277133 2024-07-11 true ALEX MILLER 999009999 Jess Wagener P01622613 3128792000 2024-07-08 2022 2023-04-26 12:10:37Z DEBORAH A GRISKO RN 225 E CHICAGO AVE BOX 282 CHICAGO IL 606112991 10980876 false X WWW.ALMOSTHOMEKIDS.ORG X 1992 IL SEE SCHEDULE O. 19 16 0 1160 0 0 3801419 4202891 5187678 6706227 0 0 -81913 -93949 8907184 10815169 0 0 0 7979202 9367159 0 0 587022 1064174 1115482 9043376 10482641 -136192 332528 3911703 4381535 2508187 2645491 1403516 1736044 ALMOST HOME KIDS PROVIDES A BRIDGE FROM HOSPITAL TO HOME THROUGH AN INNOVATIVE COMMUNITY-BASED CARE SYSTEM FOR CHILDREN WITH MEDICAL COMPLEXITIES. ALMOST HOME KIDS RESPONDS TO THE NEEDS OF FAMILIES, TRAIN CAREGIVERS, OFFER RESPITE CARE, ADVOCATE FOR ACCESSIBILITY AND INCLUSION AND EDUCATE HEALTHCARE PROFESSIONALS. false false 8726929 0 6706227 SEE SCHEDULE O. 0 0 0 0 0 0 8726929 true true false false false false false false false true false false true true false false true false false false false false false true false false false false true false false false false false false false false false false false false false true false false false true X 0 0 0 false false false false false true true false false false false false false X 19 16 false false false false true true true true true false false true true true true true true false false false IL X ALEX P MILLER 3122277133 225 E CHICAGO AVE CHICAGO IL 606112991 Brenda Davis Interim Chief Financial Officer until 2/6/23 1.0 46.0 X X 0 429837 30019 Deborah A Grisko RN Ex-Officio Director/President & Executive Director AHK 40.0 0 X X 0 307297 52286 Bregan Anne Herrold Director 1.0 0 X 0 0 0 Carley Diedrich Director 1.0 0 X 0 0 0 Christopher Schenkenberg Director 1.0 0 X 0 0 0 Jen Horsley Director 1.0 0 X 0 0 0 Jigna Patel Director as of 6/1/23 1.0 0 X 0 0 0 Joshua J Prangley Director & Chair (Chair until 12/12/22) 1.0 2.0 X 0 0 0 Julia Chappell Director until 12/12/22 1.0 0 X 0 0 0 Kyle Olson Director 1.0 0 X 0 0 0 Martin A Koehler Director 1.0 0 X 0 0 0 Matthew Mullarkey Director 1.0 0 X 0 0 0 Michael T Hoffman MD Director until 7/6/23 1.0 0 X 0 0 0 Michelle Baker Director 1.0 0 X 0 0 0 Michelle M Stephenson Director as of 3/23/23 1.0 0.0 X 0 1486813 1116724 Patricia Bellock Director 1.0 0 X 0 0 0 Praveen Adhi Director 1.0 0 X 0 0 0 Sean Barrett Singleton Director 1.0 0 X 0 0 0 Theresa Danko Director, Vice Chair (Term 12/22), Chair (Begin 12/22) 1.0 1.0 X 0 0 0 Thomas P Shanley MD Ex-Officio Director/President & CEO LCH 1.0 47.0 X 0 2019722 380800 William Neustadt Director 1.0 0 X 0 0 0 Yonhee Gordon Director 1.0 0 X 0 0 0 Alex P Miller Chief Financial Officer as of 2/6/23 1.0 46.0 X 0 0 0 Fatema Zanzi Senior VP, Chief Legal Officer, Corporate Secretary 1.0 46.0 X 0 763271 85273 Ron Blaustein Former Chief Financial Officer until 5/6/22 0.0 0.0 X 0 195697 9996 0 5202637 1675098 0 false true false 0 650361 3089761 102455 360314 4202891 PATIENT CARE & PROGRAM SERVICES REVENUE 621111 6706227 6706227 0 0 0 0 6706227 0 0 0 0 71758 650361 165707 -93949 -93949 0 0 0 0 0 10815169 6706227 0 -93949 7708742 6313484 987863 407395 1658417 1410344 142102 105971 41677 21754 19923 0 30840 30840 99971 98203 884 884 10551 9855 348 348 427517 427517 7161 3357 1990 1814 937 533 202 202 107923 107923 MEDICAL ADMIN & TEACHING 184969 184969 MEDICAL SUPPLIES 101728 101728 FUNDRAISING EXPENSES 32498 32498 BAD DEBT PROVISION 69710 47262 15378 7070 10482641 8726929 1168690 587022 575904 1033925 0 0 0 0 57559 55939 2927222 1050611 1622337 1876611 0 0 1655903 1415060 3911703 4381535 622902 849095 0 0 392283 531173 1493002 1265223 2508187 2645491 1403516 1736044 1403516 1736044 3911703 4381535 332528 0 X false true X true false X 4064403 3159998 2129782 3801419 4202891 17358493 0 0 4064403 3159998 2129782 3801419 4202891 17358493 933813 16424680 0 0 0 0 0 0 0 0 17358493 24809518 0.9462 0.9235 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 533574 533574 1744859 521128 1223731 638542 529483 109059 10247 10247 1876611 LEASE-RIGHT TO USE ASSETS 1415060 A/R - MISCELLANEOUS 1415060 LEASE OBLIGATION 1265223 1265223 Chicago Gala 295610 255077 40533 1761 63582 15950 6371 Naperville Gala 209480 195080 14400 517 3667 31513 8767 8279 5 217029 200204 16825 20742 4558 722119 650361 71758 2278 3667 115837 24717 19208 165707 -93949 true true false false false false false Brenda Davis Interim Chief Financial Officer until 2/6/23 0 352466 0 76250 0 1120 0 15250 0 14769 0 459856 0 0 Deborah A Grisko RN Ex-Officio Director/President & Executive Director AHK 0 243497 0 62132 0 1668 0 12795 0 39491 0 359583 0 0 Thomas P Shanley MD Ex-Officio Director/President & CEO LCH 0 1219005 0 689963 0 110755 0 343203 0 37597 0 2400522 0 0 Michelle M Stephenson Director as of 3/23/23 0 437288 0 311854 0 737671 0 1095130 0 21593 0 2603537 0 219556 Ron Blaustein Former Chief Financial Officer until 5/6/22 0 113139 0 0 0 82558 0 9996 0 0 0 205693 0 81970 Fatema Zanzi Senior VP, Chief Legal Officer, Corporate Secretary 0 512241 0 250460 0 570 0 81254 0 4019 0 848544 0 0 Schedule J, Part I, Line 3 Arrangement used to establish the top management official's compensation PURSUANT TO THE BYLAWS OF CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER ("MEDICAL CENTER"), THE COMPENSATION COMMITTEE OF THE BOARD OF DIRECTORS OF THE MEDICAL CENTER IS CHARGED WITH REVIEWING AND APPROVING SENIOR EXECUTIVE COMPENSATION FOR THE MEDICAL CENTER AND ITS AFFILIATES AND THE COMPENSATION FOR ANY PHYSICIAN WHO MEETS THE CRITERIA FOR REVIEW AND APPROVAL BY THE COMMITTEE. THE COMPENSATION COMMITTEE HAS ADOPTED A WRITTEN EXECUTIVE COMPENSATION PHILOSOPHY WHICH IT FOLLOWS WHEN IT REVIEWS AND APPROVES THE COMPENSATION AND BENEFITS OF THE ORGANIZATION'S SENIOR MANAGEMENT. THE COMPENSATION PHILOSOPHY IS SUBJECT TO PERIODIC REVIEW BY THE COMPENSATION COMMITTEE FOR CONTINUED APPROPRIATENESS IN THE CURRENT MARKET. WITH THE ASSISTANCE OF INDEPENDENT COMPENSATION CONSULTANTS AND INFORMATION FROM A VARIETY OF SOURCES (SPECIFIED ON SCHEDULE J), THE COMPENSATION COMMITTEE CONFIRMED THE TOTAL AMOUNTS TO BE PAID TO IDENTIFIED EXECUTIVES AND PHYSICIANS WERE REASONABLE AND COMPARABLE TO AMOUNTS PAID BY SIMILARLY SITUATED ORGANIZATIONS TO INDIVIDUALS IN FUNCTIONALLY SIMILAR POSITIONS. LEGAL COUNSEL PERIODICALLY ADVISES THE COMPENSATION COMMITTEE WITH RESPECT TO FEDERAL TAX REQUIREMENTS IN SETTING COMPENSATION AND THE ESTABLISHMENT OF THE "REBUTTABLE PRESUMPTION OF REASONABLENESS" UNDER THE FEDERAL TAX LAW INTERMEDIATE SANCTIONS RULES. THE PROCESS FOLLOWED BY THE COMPENSATION COMMITTEE, INCLUDING A DESCRIPTION OF THE DATA RELIED UPON AND THE COMPENSATION COMMITTEE'S DECISIONS, WAS THOROUGHLY AND CONTEMPORANEOUSLY DOCUMENTED. THE COMPENSATION COMMITTEE HAS EXPRESSLY REVIEWED THE REASONABLENESS OF COMPENSATION PAID TO IDENTIFIED EXECUTIVES AND PHYSICIANS, AND HAS CONCLUDED, AS THE RESULT OF A PROCESS THAT IS DESIGNED TO QUALIFY FOR THE REBUTTABLE PRESUMPTION OF REASONABLENESS, THAT ALL SUCH AMOUNTS ARE REASONABLE AND DO NOT EXCEED FAIR MARKET VALUE FOR THE SERVICES PROVIDED. THE COMPENSATION COMMITTEE IS COMPRISED OF MEMBERS OF THE MEDICAL CENTER BOARD OF DIRECTORS WHO HAVE BEEN DETERMINED TO BE DISINTERESTED (WHICH MEANS NO COMMITTEE MEMBER HAS A CONFLICT OF INTEREST) FOR THESE PURPOSES. THE COMPENSATION COMMITTEE CONDUCTS AN ONGOING, REGULAR REVIEW OF THE DISINTERESTED STATUS OF ITS MEMBERS, AND WILL TAKE APPROPRIATE ACTION WITH RESPECT TO ANYONE HAVING AN INTEREST WITH RESPECT TO ONE OR MORE EXECUTIVES SO AS TO PRESERVE THE DISINTERESTED STATUS OF THE COMMITTEE AND, AS A RESULT, THE APPLICATION OF THE REBUTTABLE PRESUMPTION OF REASONABLENESS. Schedule J, Part I, Line 4a Severance or change-of-control payment MICHELLE M. STEPHENSON RECEIVED SEVERANCE PAYMENTS DURING THE CALENDAR YEAR PURSUANT TO A CONFIDENTIAL SEVERANCE AGREEMENT. THE PAYMENT IS INCLUDED IN PART VII, COLUMN D AND SCHEDULE J, PART II, COLUMN B(III). Schedule J, Part I, Line 4b Supplemental nonqualified retirement plan ANN & ROBERT H. LURIE CHILDREN'S HOSPITAL OF CHICAGO ("LURIE CHILDREN'S") MAINTAINS A DEFINED BENEFIT SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN ("DB SERP"), WHICH WAS EFFECTIVE ON JANUARY 1, 2001, AND IS CLOSED TO NEW PARTICIPANTS. THE DB SERP IS A DEFERRED COMPENSATION PLAN THAT ASSISTS IN PROVIDING COMPETITIVE TOTAL RETIREMENT BENEFITS TO A VERY LIMITED GROUP OF EXECUTIVE-LEVEL EMPLOYEES OF "LURIE CHILDREN'S" (INCLUDING ONE OR MORE PERSONS LISTED IN THIS FORM 990). THESE BENEFITS ARE PROVIDED IN EXCHANGE FOR ALL OF THE EMPLOYEE'S YEARS OF SERVICE TO THE ORGANIZATION, AND THE COST OF THE BENEFITS WILL VARY FROM YEAR TO YEAR BASED ON INTEREST RATES, AGE, AND OTHER FACTORS. THE AMOUNTS ARE AT RISK AND WILL NOT BE PAID UNLESS AND UNTIL THE EMPLOYEE HAS PROVIDED SUBSTANTIAL FUTURE SERVICES TO THE ORGANIZATION. BENEFITS UNDER THE DB SERP VEST AT AGE 62, AND ARE FORFEITED IF THE EMPLOYEE LEAVES THE ORGANIZATION VOLUNTARILY BEFORE AGE 62 (EXCEPT UNDER THE SOLE DISCRETION OF THE LURIE CHILDREN'S BOARD, AND ONLY IF THE PARTICIPANT HAS REACHED AT LEAST AGE 55 WITH AT LEAST 10 YEARS OF SERVICE). PARTICIPANTS WHO VOLUNTARILY LEAVE THE ORGANIZATION BEFORE AGE 55 FORFEIT THEIR ENTIRE DB SERP BENEFIT UPON TERMINATION. THE FOLLOWING INDIVIDUAL PARTICIPATED IN THE DB SERP AND RECEIVED A VESTED PAYMENT (EARNED OVER MANY YEARS OF EMPLOYMENT) DURING 2022 WHICH IS REPORTED IN COLUMN B (III): MICHELLE M. STEPHENSON $219,556 NOTE THE AMOUNT REPORTED IN COLUMN (F) FOR EACH SERP PAYMENT SHOWN ABOVE. THE COLUMN (F) AMOUNT SHOWS THE PORTION OF THE SERP PAYMENT THAT WAS ALREADY REPORTED ON PREVIOUS 990S WHEN FIRST EARNED. LURIE CHILDREN'S ALSO MAINTAINS A DEFINED CONTRIBUTION SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN ("DC SERP"), WHICH WAS ESTABLISHED ON JANUARY 1, 2017 AND IS A NONQUALIFIED DEFERRED COMPENSATION PLAN FOR CERTAIN EMPLOYEES IN EXECUTIVE POSITIONS, WHO ARE NOT PARTICIPANTS IN THE DB SERP. THE BENEFITS IN THE DC SERP ARE IN THE FORM OF A FIXED ANNUAL CONTRIBUTION RATE AND AN EARNINGS CREDIT. EACH YEAR'S CONTRIBUTION AND EARNINGS ARE AT RISK AND WILL BECOME FULLY VESTED AND TAXABLE ONLY AFTER FIVE YEARS OF FUTURE EMPLOYMENT SERVICE, OR UPON REACHING AGE 62 WITH AT LEAST THREE YEARS OF SERVICE. SEVERAL LISTED PERSONS IN THIS FORM 990 PARTICIPATE IN THE DC SERP, AND THE UNVESTED CONTRIBUTIONS MADE FOR THEM ARE INCLUDED IN SCHEDULE J, PART II, COLUMN (C). THE FOLLOWING INDIVIDUALS PARTICIPATED IN THE DC SERP AND RECEIVED A VESTED PAYMENT DURING 2022 WHICH IS REPORTED IN COLUMN B (III): RON BLAUSTEIN $81,970 THOMAS P. SHANLEY, MD $107,853 CEO DEFERRED COMPENSATION LISTED INDIVIDUAL THOMAS SHANLEY MD IS THE SOLE PARTICIPANT IN AN ADDITIONAL SUPPLEMENTAL RETIREMENT BENEFIT ARRANGEMENT THAT BEGAN IN 2021. HE IS ELIGIBLE TO EARN A BENEFIT THAT WILL NOT BECOME VESTED FOR SEVERAL YEARS. A PRORATED PORTION OF THE BENEFIT (REPRESENTING THE PORTION EARNED IN 2022) IS REPORTED IN COLUMN (C) AS UNVESTED DEFERRED COMPENSATION, AND WILL BE REPORTED AGAIN AS COMPENSATION IF AND WHEN THE FULL BENEFIT BECOMES VESTED AND IS SUBJECT TO TAX. THE INDEPENDENT COMPENSATION COMMITTEE OF THE CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER BOARD, WHOSE DILIGENT REVIEW AND APPROVAL PROCESS IS DESCRIBED ELSEWHERE IN THESE NARRATIVES, HAS REVIEWED AND APPROVED DR. SHANLEY'S TOTAL COMPENSATION IN A MANNER THAT QUALIFIES FOR THE REBUTTABLE PRESUMPTION OF REASONABLENESS UNDER THE FEDERAL TAX LAW INTERMEDIATE SANCTIONS RULES, AND AS PART OF THIS REVIEW PROCESS TOOK INTO ACCOUNT THE BENEFIT BEING EARNED UNDER THIS ADDITIONAL ARRANGEMENT. Schedule J, Part II RELATED COMPENSATION THE FOLLOWING INDIVIDUALS ARE NOT COMPENSATED BY THE REPORTING ORGANIZATION FOR HIS OR HER SERVICE AS A DIRECTOR OR OFFICER. RATHER, THE COMPENSATION REPORTED ON FORM 990, PART VII AND ON SCHEDULE J, PART II REFLECTS COMPENSATION PAID BY ANN & ROBERT H. LURIE CHILDREN'S HOSPITAL OF CHICAGO ("LURIE CHILDREN'S") FOR THE INDIVIDUAL'S SUBSTANTIAL AND FULL-TIME SERVICES AS AN EMPLOYEE. FOR MORE DETAILS, PLEASE REFER TO THE 2022 FORM 990 OF LURIE CHILDREN'S, FEIN 36-2170833. BRENDA DAVIS DEBORAH A. GRISKO, RN FATEMA ZANZI MICHELLE M. STEPHENSON RON BLAUSTEIN THOMAS P. SHANLEY, MD Form 990, Part I, Line 1 ORGANIZATION'S MISSION ALMOST HOME KIDS PROVIDES A BRIDGE FROM HOSPITAL TO HOME THROUGH AN INNOVATIVE COMMUNITY-BASED CARE SYSTEM FOR CHILDREN WITH MEDICAL COMPLEXITIES. ALMOST HOME KIDS RESPONDS TO THE NEEDS OF FAMILIES, TRAIN CAREGIVERS, OFFER RESPITE CARE, ADVOCATE FOR ACCESSIBILITY AND INCLUSION AND EDUCATE HEALTHCARE PROFESSIONALS. Form 990, Part III, Line 4a PROGRAM SERVICE, LINE 4A THE TRANSITIONAL CARE PROGRAM IS THE LINK BETWEEN HOSPITAL AND HOME FOR THE CHILD WHO HAS MEDICAL COMPLEXITIES AND IS CLINICALLY READY FOR DISCHARGE FROM A HOSPITAL, YET IMPORTANT FACTORS NEED TO BE CONSIDERED IN ORDER TO BRING THE CHILD HOME SAFELY. THE FAMILY MAY NEED FURTHER SUPPORT THROUGH TRAINING AND EQUIPMENT EDUCATION REGARDING THE CLINICAL NEEDS OF THE CHILD AND/OR NURSING AGENCY STAFFING PLAN. THE RESPITE CARE PROGRAM IS A SHORT-TERM STAY FOR A CHILD WHO IS MEDICALLY COMPLEX AND/OR MAY BE TECHNOLOGY DEPENDENT. FROM A 24-HOUR STAY TO ONE LASTING UP TO 14 DAYS, A CHILD IS PROVIDED WITH MEDICAL/NURSING CARE AND RECREATIONAL ACTIVITIES IN A SECURE AND THERAPEUTIC ENVIRONMENT. FAMILIES MAY CHOOSE THIS PROGRAM FOR A VARIETY OF CIRCUMSTANCES, SUCH AS TEMPORARY ABSENCE OF PRIVATE DUTY NURSING CARE AT HOME, PARENT ILLNESS, VACATIONS, FAMILY EMERGENCIES AND MUCH NEEDED REST. IN ADDITION, THE FOLLOWING PROGRAM SERVICES OCCUR ONSITE AT BOTH OF OUR 12-BED FACILITIES IN A HOME-LIKE SETTING WITH 24/7 CLINICAL CARE: -TRANSITIONAL CARE, WHICH INCLUDES PARENT/GUARDIAN TRAINING AND A DETAILED HOME PLAN DEVELOPED OVER 120 DAYS, -RESPITE CARE PROGRAMS, WHICH INCLUDES EMERGENCY RESPITE FOR WHEN A FAMILY NEEDS IMMEDIATE AND UNPLANNED RESPITE CARE FOR THEIR CHILD DUE TO A DEATH IN THE FAMILY, ILLNESS OF PRIMARY CARE GIVER OR ANY OTHER UNFORESEEN CIRCUMSTANCE, -RESPITE TRANSPORTATION TO HELP CHILDREN WITH COMPLEX MEDICAL CONDITIONS TRANSPORT THEIR MEDICAL EQUIPMENT AND SUPPLIES WITH THEM TO AHK FOR RESPITE CARE, -CASE MANAGEMENT AND SOCIAL WORK SUPPORT TO HELP FAMILIES CONNECT WITH AND NAVIGATE THE COMPLEX GOVERNMENT SYSTEMS, IN-HOME SHIFT NURSING, PROVIDING A COORDINATED MEDICAL TEAM, COUNSELING COMMUNITY SUPPORT TO THE FAMILY, -PHYSICAL, OCCUPATIONAL AND SPEECH THERAPIES, AS WELL AS MUSIC AND PET THERAPIES VIA ITS CHILD LIFE PROGRAM, ONSITE NUTRITIONIST, AND WOUND CARE CONSULTATION WHICH REDUCE COSTLY AMBULANCE TRANSPORTATIONS TO VISITS. -AN ONSITE CHILD LIFE SPECIALIST HELPS CHILDREN PREPARE FOR AND ADJUST TO PROCEDURES, DEVELOP COMMUNICATION SKILLS INCLUDING WORK WITH THEIR SIBLINGS TO HELP THEM BOND WITH THEIR NEW BROTHER OR SISTER. -MEDICAL EDUCATION PROGRAMS, DESIGNED TO EDUCATE MEDICAL STUDENTS, RESIDENTS AND APRNS ON THE WIDE VARIETY OF CLINICAL AND NON-CLINICAL ISSUES RELATED TO THE CARE OF CHILDREN WITH COMPLEX HEALTHCARE NEEDS. Form 990, Part V, Line 1a FORM 1099/1096 FILING VENDORS FOR THE FILING ORGANIZATION ARE PAID BY ANN & ROBERT H. LURIE CHILDREN'S HOSPITAL OF CHICAGO ("LURIE CHILDREN'S") (EIN 36-2170833). AS SUCH, ALL REQUIRED FORM 1099 AND FORMS 1096 REPORTING IS FILED UNDER THE LURIE CHILDREN'S EIN. Form 990, Part V, Line 2a ALLOCATION OF SALARY EXPENSES ANN & ROBERT H. LURIE CHILDREN'S HOSPITAL OF CHICAGO PAYS AND ISSUES FORMS W-2 TO EMPLOYEES WHO WORK FOR ALMOST HOME KIDS. THE ALLOCATION OF THE SALARY COSTS ARE DISCLOSED ON FORM 990, PART IX, STATEMENT OF FUNCTIONAL EXPENSES. Form 990, Part VI, Line 15 EXECUTIVE COMPENSATION DESCRIPTION OF THE PROCESS BY WHICH THE COMPENSATION OF CERTAIN EXECUTIVES WAS DETERMINED THE AUTHORITY TO REVIEW AND APPROVE EXECUTIVE COMPENSATION HAS BEEN DELEGATED TO THE COMPENSATION COMMITTEE OF CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER BOARD OF DIRECTORS ("COMPENSATION COMMITTEE"). THE COMPENSATION COMMITTEE HAS ADOPTED A WRITTEN EXECUTIVE COMPENSATION PHILOSOPHY WHICH IT FOLLOWS WHEN IT REVIEWS AND APPROVES THE COMPENSATION AND BENEFITS OF THE ORGANIZATION'S SENIOR MANAGEMENT, INCLUDING THE PRESIDENT. THE COMPENSATION PHILOSOPHY IS SUBJECT TO PERIODIC REVIEW FOR CONTINUED APPROPRIATENESS BY THE COMPENSATION COMMITTEE. WITH THE ASSISTANCE OF A COMPENSATION CONSULTANT AND INFORMATION FROM A VARIETY OF EXTERNAL SOURCES (SPECIFIED ON SCHEDULE J), THE COMPENSATION COMMITTEE CONFIRMED THE TOTAL AMOUNTS TO BE PAID WERE REASONABLE AND COMPARABLE TO AMOUNTS PAID BY SIMILARLY SITUATED ORGANIZATIONS FOR FUNCTIONALLY SIMILAR POSITIONS. OUTSIDE LEGAL COUNSEL ADVISES THE COMPENSATION COMMITTEE WITH RESPECT TO FEDERAL TAX REQUIREMENTS IN SETTING COMPENSATION AND THE ESTABLISHMENT OF THE REBUTTABLE PRESUMPTION OF REASONABLENESS. THE PROCESS FOLLOWED BY THE COMPENSATION COMMITTEE, INCLUDING A DESCRIPTION OF THE DATA RELIED UPON AND THE COMPENSATION COMMITTEE'S DECISIONS, WAS THOROUGHLY AND CONTEMPORANEOUSLY DOCUMENTED. THE COMPENSATION COMMITTEE HAS EXPRESSLY REVIEWED THE REASONABLENESS OF COMPENSATION PAID TO IDENTIFIED EXECUTIVES, AND HAS CONCLUDED, AS THE RESULT OF A PROCESS THAT IS DESIGNED TO QUALIFY FOR THE REBUTTABLE PRESUMPTION OF REASONABLENESS UNDER FEDERAL TAX LAW, THAT ALL SUCH AMOUNTS ARE REASONABLE AND DO NOT EXCEED FAIR MARKET VALUE FOR THE SERVICES PROVIDED. THE COMPENSATION COMMITTEE IS COMPRISED OF MEMBERS OF CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER BOARD OF DIRECTORS WHO HAVE BEEN DETERMINED TO BE DISINTERESTED FOR THESE PURPOSES. THE COMPENSATION COMMITTEE CONDUCTS AN ONGOING AND PERIODIC REVIEW OF THE DISINTERESTED STATUS OF ITS MEMBERS, AND WILL TAKE APPROPRIATE ACTION WITH RESPECT TO ANYONE HAVING AN INTEREST WITH RESPECT TO ONE OR MORE EXECUTIVES SO AS TO PRESERVE THE APPLICATION OF THE REBUTTABLE PRESUMPTION OF REASONABLENESS. Form 990, Part VI, Line 6 Classes of members or stockholders CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER IS THE ORGANIZATION'S SOLE CORPORATE MEMBER. Form 990, Part VI, Line 7a Members or stockholders electing members of governing body CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER, THROUGH ITS BOARD OF DIRECTORS OR DESIGNATED COMMITTEE, AS THE SOLE CORPORATE MEMBER OF THE ORGANIZATION, HAS CERTAIN RESERVED POWERS, INCLUDING THE POWER TO APPOINT AND REMOVE ALL DIRECTORS OF THE ORGANIZATION. Form 990, Part VI, Line 7b Decisions requiring approval by members or stockholders CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER, THROUGH ITS BOARD OF DIRECTORS OR DESIGNATED COMMITTEE, AS THE SOLE CORPORATE MEMBER OF THE ORGANIZATION, HAS CERTAIN RESERVED POWERS WITH RESPECT TO APPOINTMENT AND REMOVAL OF DIRECTORS, APPOINTMENT OF CERTAIN OFFICERS, APPROVAL OF AMENDMENTS TO GOVERNING DOCUMENTS, APPROVAL OF FINANCIAL MATTERS, AND APPROVAL OF SIGNIFICANT TRANSACTIONS INCLUDING, BUT NOT LIMITED TO, MERGER, DISSOLUTION, DISPOSITION OF ASSETS OTHER THAN IN THE ORDINARY COURSE OF BUSINESS, AND CREATION OF SUBSIDIARIES. Form 990, Part VI, Line 11b Review of form 990 by governing body A FULL COPY OF THE ORGANIZATION'S FORM 990 WAS PROVIDED TO EACH MEMBER OF THE CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER BOARD'S AUDIT AND COMPLIANCE COMMITTEE ("COMMITTEE") FOR REVIEW AND APPROVAL, AS WELL AS THE RESPECTIVE FILING ORGANIZATION'S BOARD FOLLOWING THE COMMITTEE'S APPROVAL. THE COMMITTEE IS CHARGED WITH THE OVERSIGHT OF AUDIT, TAX AND COMPLIANCE MATTERS FOR THE PARENT AND AFFILIATES. DURING A SPECIAL COMMITTEE MEETING, AND BEFORE FORM 990 WAS FILED, THE COMMITTEE WAS PROVIDED A REVIEW OF FORM 990 BY THE CHIEF FINANCIAL OFFICER ("CFO"). THE CFO AND OUTSIDE TAX ADVISOR ALSO RESPONDED TO THE COMMITTEE MEMBERS' QUESTIONS AND AFFORDED THEM THE OPPORTUNITY FOR DETAILED DISCUSSION OF FORM 990, PRIOR TO THE COMMITTEE TAKING ACTION TO APPROVE THE FILING OF FORM 990. AS PART OF ITS ANNUAL RETURN PREPARATION PROCESS, THE ORGANIZATION, ON AN ONGOING BASIS, CONSULTED ITS TAX CONSULTING FIRM AND OUTSIDE TAX LEGAL COUNSEL, BOTH OF WHICH POSSESS EXPERTISE IN HEALTH CARE AND TAX-EXEMPT RETURN PREPARATION, TO ADVISE AND ASSIST IN THE PREPARATION OF FORM 990. THESE ADVISORS WORKED CLOSELY WITH THE ORGANIZATION'S FINANCE PERSONNEL AND OTHER MEMBERS OF THE ORGANIZATION'S TEAM ASSEMBLED TO PARTICIPATE IN THE PREPARATION OF FORM 990. PRIOR TO PRESENTING FORM 990 TO THE COMMITTEE, THE ORGANIZATION'S TEAM, INCLUDING ITS ADVISORS, MET FREQUENTLY TO DISCUSS AND REVIEW DRAFTS OF THE FORM. SUBSEQUENT TO THE COMMITTEE REVIEW AND APPROVAL, FORM 990 WAS PROVIDED TO THE RESPECTIVE FILING ORGANIZATION'S BOARD OF DIRECTORS. Form 990, Part VI, Line 12c Conflict of interest policy ON AN ANNUAL BASIS, CHILDREN'S HOSPITAL OF CHICAGO MEDICAL CENTER (THE "MEDICAL CENTER") AND ITS AFFILIATES (COLLECTIVELY THE "CORPORATION") PROVIDE A COMPREHENSIVE QUESTIONNAIRE TO ITS BOARD MEMBERS, SENIOR MANAGEMENT AND PURCHASING PERSONNEL POSING QUESTIONS ABOUT ACTUAL OR POTENTIAL CONFLICTS OF INTEREST. THE MEDICAL CENTER INITIATES FOLLOW UP CONTACT TO THOSE WHO DO NOT RESPOND AND TO CLARIFY RESPONSES, WHERE NECESSARY. THE MEDICAL CENTER REVIEWS EACH DISCLOSURE AND PROVIDES A SUMMARY OF RELEVANT DISCLOSURES FOR THE REVIEW AND APPROVAL OF ITS NOMINATING AND GOVERNANCE COMMITTEE. PURSUANT TO THE CONFLICTS OF INTEREST POLICY OF THE CORPORATION, DIRECTORS, OFFICERS, PHYSICIAN LEADERS, AND OTHERS WHO ARE SUBJECT TO THE POLICY ARE REQUIRED TO PROMPTLY AND FULLY DISCLOSE IN WRITING ANY ACTUAL, APPARENT OR POTENTIAL CONFLICT OF INTEREST TO THE PRESIDENT OF THE CORPORATION AND CHIEF LEGAL OFFICER. DISCLOSURES ARE PROVIDED TO THE NOMINATING AND GOVERNANCE COMMITTEE OF THE MEDICAL CENTER BOARD OF DIRECTORS, WHICH CONSIDERS ALL CONFLICTS OF INTEREST ISSUES AND, IF APPROPRIATE, PROVIDES SUCH WRITTEN DISCLOSURE TO THE DIRECTORS AND/OR BOARD COMMITTEES CONSIDERING THE PROPOSED TRANSACTION OR OTHER APPROPRIATE PARTIES. IN ADDITION, ON AN ANNUAL BASIS, THE CORPORATION SURVEYS EACH INDIVIDUAL SUBJECT TO THE POLICY AS TO THE EXISTENCE OF ACTUAL OR POTENTIAL CONFLICTS OF INTEREST. THE CORPORATION WILL NOT ENTER INTO AN AGREEMENT, TRANSACTION OR OTHER ARRANGEMENT INVOLVING A CONFLICT OF INTEREST UNLESS THE DISINTERESTED MEMBERS OF THE NOMINATING AND GOVERNANCE COMMITTEE OF THE CORPORATION'S BOARD OF DIRECTORS DETERMINE BY A MAJORITY VOTE THAT APPROPRIATE SAFEGUARDS TO PROTECT THE CHARITABLE MISSION OF THE CORPORATION HAVE BEEN IMPLEMENTED. THE SUBJECT INTERESTED PERSON MAY NOT BE PRESENT WHEN THE VOTE IS TAKEN. IF IT IS DETERMINED THAT A CONFLICT OF INTEREST EXISTS, A DISINTERESTED PERSON OR COMMITTEE OF DISINTERESTED MEMBERS MAY BE ASSIGNED TO INVESTIGATE ALTERNATIVES TO THE PROPOSED TRANSACTION OR ARRANGEMENT. AFTER EXERCISING DUE DILIGENCE, THE BOARD OR COMMITTEE SHALL DETERMINE WHETHER THE CORPORATION CAN OBTAIN A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT, WITH REASONABLE EFFORTS, FROM A PERSON OR ENTITY THAT WOULD NOT GIVE RISE TO A CONFLICT OF INTEREST. 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 OR COMMITTEE SHALL DETERMINE BY A MAJORITY VOTE OF THE DISINTERESTED DIRECTORS WHETHER THE TRANSACTION IS IN THE CORPORATION'S BEST INTEREST AND FOR ITS OWN BENEFIT AND WHETHER THE TRANSACTION IS FAIR AND REASONABLE TO THE CORPORATION, AND SHALL MAKE ITS DECISION AS TO WHETHER TO ENTER INTO THE TRANSACTION OR ARRANGEMENT. Form 990, Part VI, Line 19 Required documents available to the public THE ORGANIZATION'S ARTICLES OF INCORPORATION AND ANNUAL REPORTS ARE AVAILABLE THROUGH THE ILLINOIS SECRETARY OF STATE. THE ORGANIZATION ALSO MAKES ITS GENERAL GOVERNING DOCUMENTS AVAILABLE TO THE GENERAL PUBLIC UPON REQUEST. Form 990, Part VII, Section B, Line 1 INDEPENDENT CONTRACTORS VENDORS FOR THE FILING ORGANIZATION ARE PAID BY ANN & ROBERT H. LURIE CHILDREN'S HOSPITAL OF CHICAGO ("LURIE CHILDREN'S"). AS SUCH, THE FIVE HIGHEST COMPENSATED INDEPENDENT CONTRACTORS ARE REPORTED ON THE FORM 990 FOR LURIE CHILDREN'S (EIN 36-2170833). STANLEY MANNE CHILDREN'S RESC INSTITUTE 225 E CHICAGO AVE CHICAGO IL 60611 363357005 RESEARCH IL 501(c)(3) 4 MEDICAL CTR false LURIE CHILDREN'S HOSPITAL OF CHICAGO FDN 225 E CHICAGO AVE CHICAGO IL 60611 363357006 FUNDRAISING IL 501(c)(3) 7 MEDICAL CTR false CHILDREN'S HOSPITAL OF CHICAGO MED CTR 225 E CHICAGO AVE CHICAGO IL 60611 363357004 HEALTH CARE IL 501(c)(3) 10 NA false PEDIATRIC FACULTY FOUNDATION INC 225 E CHICAGO AVE CHICAGO IL 60611 363279680 HLTH CRE/RSCH IL 501(c)(3) 10 MEDICAL CTR false LURIE CHILDRENS LIABILITY PROTECTION PRG 225 E CHICAGO AVE CHICAGO IL 60611 366638400 INSURANCE IL 501(c)(3) Type III-FI MEDICAL CTR false MCGAW MEDICAL CTR OF NORTHWESTERN UNIV 645 NORTH MICHIGAN AVE 1058 CHICAGO IL 60611 362656113 SUPPORTNG ORG IL 501(c)(3) Type III-FI NA false LURIE CHILDREN'S 225 E CHICAGO AVE CHICAGO IL 60611 362170833 HOSPITAL IL 501(c)(3) 3 MEDICAL CTR false CHILDREN'S HOSPITAL OF CHICAGO FPP 737 NORTH MICHIGAN AVE 2040 CHICAGO IL 60611 363393780 SUPPORTNG ORG IL 501(c)(3) Type I MEDICAL CTR false LURIE CHILDREN'S PEDIATRIC ANESTHESIA ASSOCIATES 225 E CHICAGO AVE CHICAGO IL 60611 371838535 HEALTH CARE IL 501(c)(3) 3 MEDICAL CTR false LURIE CHILDREN'S SURGICAL FOUNDATION INC 225 E CHICAGO AVE CHICAGO IL 60611 831650513 HLTH CRE/RSCH IL 501(c)(3) 3 MEDICAL CTR false LURIE CHILDRENS CIN LLC 225 E CHICAGO AVE CHICAGO IL 60611 901025439 CONTRACTING SVCS IL NA CMMC INSURANCE CO LTD 225 E CHICAGO AVE CHICAGO IL 60611 981049532 SELF INSURANCE CJ MEDICAL CTR C Corporation false false true false false false false false false false false false false false true true false false false