2024-12-04T08:30:53-06:00 2023-12-31 990 2023-01-01 273566344 Adventist Health Policy Association Inc ADVE 2025076216 900 Hope Way Altamonte Springs FL 32714 Michael Griffin President 2025076216 2024-11-25 0 2023 2024-10-15 13:58:12Z X Michael Griffin 900 Hope Way Altamonte Springs FL 32714 381710 0 X www.ADVENTISTHEALTHPOLICY.ORG X 2010 FL To serve as the united advocacy and policy voice for its members. 5 5 0 9 0 0 0 0 269339 381710 0 0 0 0 269339 381710 0 0 0 0 0 0 0 0 0 454409 383889 454409 383889 -185070 -2179 80572 85059 48775 55441 31797 29618 X Adventist Health Policy Association is organized to assist its Members through education and advocacy to advance their common business interest in providing optimal health services and programs to the people and communities served by the Members consistent with and in furtherance of the health ministry of the Seventh-day Adventist Church. 0 0 381003 381710 Analysis of the impact of proposed federal policy and regulations on Adventist hospitals including the preparation of health issues, briefs, policy analysis and position papers. 381003 0 0 0 1 0 0 0 0 0 0 0 0 0 1 0 0 0 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 0 1 0 0 0 0 0 0 0 0 0 0 0 X 5 5 0 0 1 0 1 1 1 1 1 0 0 1 0 0 0 0 0 0 X Heather Haddix 4073572354 900 Hope Way Altamonte Springs FL 32714 X GriffnMichael President 10.00 0.00 X 0 132600 16962 BrommeJeff Sec/Treasurer 0.50 0.00 X 0 14246 1796 HeinrichKerry Director 0.50 0.00 X 0 0 0 ShawTerry Director 1.00 0.00 X 0 0 0 FordeTerry Director/Chairman 0.50 0.00 X 0 0 0 GentryMichael Director (Beg 07/23) 0.50 0.00 X 0 0 0 WrightTrevor Director 0.50 0.00 X 0 0 0 0 146846 18758 0 0 0 1 0 Membership Dues 900099 381710 381710 381710 381710 381710 0 0 X 95000 95000 259072 259072 2646 2076 570 24855 24855 2316 2316 383889 381003 2886 0 53905 58392 26667 26667 80572 85059 48775 55441 48775 55441 X 31797 29618 31797 29618 80572 85059 -2179 0 X 0 0 0 1 0 0 0 Due to Member 55441 55441 0 1 0 GriffnMichael President 0 88786 0 24062 0 19752 0 12621 0 4341 0 149562 0 8264 BrommeJeff Sec/Treasurer 0 9335 0 2753 0 2158 0 1507 0 289 0 16042 0 1237 Part I, Line 3 The individual who serves as the CEO of the filing organization is appointed and compensated by Adventist Health System Sunbelt Healthcare Corporation (AHSSHC). Compensation and benefits provided to this individual are determined pursuant to policies, procedures, and processes of AHSSHC that are designed to ensure compliance with the intermediate sanctions laws as set forth in IRC Section 4958. AHSSHC has taken steps to ensure that processes are in place to satisfy the rebuttable presumption of reasonableness standard as set forth in Treasury Regulation Section 53.4958-6 with respect to its active executive-level positions. The AHSSHC Board Compensation Committee (the Committee) serves as the governing body for all executive compensation matters. The Committee is composed of certain members of the Board of Directors (the Board) of AHSSHC. Voting members of the Committee include only individuals who serve on the Board as independent representatives, who hold no employment positions with AHSSHC and who do not have relationships with any of the individuals whose compensation is under their review that impacts their best independent judgment as fiduciaries of AHSSHC. The Committee's role is to review and approve all components of the executive compensation plan of AHSSHC. As an independent governing body with respect to executive compensation, it should be noted that the Committee will often confer in executive sessions on matters of compensation policy and policy changes. In such executive sessions, no members of management of AHSSHC are present, other than the Chief People Officer, who remains at the request of the Chairman/committee to provide assistance/information as needed. The Committee is advised by an independent third-party compensation advisor. This advisor prepares all the benchmark studies for the Committee. Compensation levels are benchmarked with a national peer group of other not-for-profit healthcare systems and hospitals of similar size and complexity to AdventHealth and each of its affiliated entities. The following principles guide the establishment of individual executive compensation: - The salary of the President/CEO of AdventHealth will not exceed the 50th percentile of comparable salaries paid by similarly situated organizations; and - Other executive salaries shall be established using market medians. The compensation philosophy, policies, and practices of AHSSHC are consistent with the organization's faith-based mission and conform to applicable laws, regulations, and business practices. As a faith-based organization sponsored by the Seventh-day Adventist Church (the Church), AHSSHC's philosophy and principles with respect to its executive compensation practices reflect the conservative approach of the Church's mission of service and were developed in counsel with the Church's leadership. Part I, Line 4b As discussed in Line 1a above, executives on the filing organization's management team that hold the position of Vice-President or above are compensated by and on the payroll of Adventist Health System Sunbelt Healthcare Corporation (AHSSHC), the parent organization of the healthcare system known as AdventHealth. In recognition of the contribution that each executive makes to the success of AdventHealth, AdventHealth provides supplemental executive retirement benefit plans to eligible executives. As the supplemental executive retirement benefit plans were updated in 2020 and certain individuals still participate as grand-fathered participants in certain plans, the narrative below discusses all plans in which there were any participants in 2023. The SERP III plan effectively replaces the prior SERP II plan, the Executive Flex Benefit Program Plan, and the Senior Executive Death Benefit Plan for qualified executives except for certain grandfathered executive employees. SERP III Plan: The SERP III plan provides eligible executives a percentage of their base pay, which is credited to a deferred compensation account. The plan also provides for compensation deferral and selection of life insurance coverage and long-term care insurance. To be eligible to participate in the SERP III plan, executives must be on the AHSSHC corporate payroll and be either a CEO of an AdventHealth entity, an AHSSHC Vice President (VP) or VP of an AdventHealth entity with a base salary of at least $330,000 in 2023 (adjusted annually by the same percentage as IRC Section 401(a)(17) limit increases), or other leader specifically approved by the AdventHealth President. Eligible executives do not include grandfathered executives, meaning those executives who would satisfy all the eligibility requirements of the SERP II plan prior to Dec 31, 2027, had the plan not been amended and restated as of Jan. 1, 2020. Contribution credits will be established and maintained by class year accounts for each participant using tiered contribution credit percentages of annual base compensation. Contribution credit percentages range between 15% and 19% of base compensation. Contribution credits will be made each quarter in 25% increments with reductions in contributions if the executive is also a grandfathered FLEX participant (see below). SERP III provides for a class year vesting and payment schedule (7 years for each class year) with respect to amounts accumulated in the executive's deferred compensation account. Upon attainment of a normal retirement age (age 62), or upon certain other circumstances as defined in the SERP III plan document, all deferred amounts are paid immediately to the participant. For any executives working beyond the normal retirement age, future employer contributions will be made quarterly from SERP III directly to the participant as a taxable cash bonus. SERP II Plan: The SERP II plan is a defined benefit, non-tax-qualified deferred compensation plan for certain executives who have provided lengthy service to AdventHealth and/or to other Seventh-day Adventist Church hospitals or health care institutions. Under the provisions of the SERP II plan, benefits are provided to qualifying executive participants on a pro-rata schedule beginning with 20 years of service as an employee of AdventHealth and/or another hospital or health care institution controlled by the Seventh-day Adventist Church and who satisfy certain other qualifying criteria. Eligible employees are restricted to those executives who, as of January 1, 2020, satisfied, or if employment continues, will satisfy the eligibility requirements of SERP II prior to December 31, 2027. This supplemental executive retirement plan (SERP II) was designed to provide eligible executives with the economic equivalent of an annual income beginning at normal retirement age equal to 60% of the average of the participant's three, five or seven highest years of base salary from AdventHealth active employment inclusive of income from all other Seventh-day Adventist Church healthcare employer-financed retirement income sources and investment income earned on those contributions through social security normal retirement age as defined in the plan. The number of years included in highest average compensation is determined by the individual's year of entry to SERP II and by the individual's year of entry to the AdventHealth Executive FLEX Benefit Program. FLEX Plan: The Flex Plan was originally designed to provide eligible executives an opportunity to select from among a variety of supplemental benefits, including a split dollar life insurance policy and long-term care insurance, to individually tailor a benefits program appropriate to each executive's needs. In 2020, the Flex Plan was amended to exclude employed executives who are hired or promoted after a certain date from being eligible to participate in the Flex Plan except for certain insurance coverage features of the plan. The Flex Plan provides eligible participants a pre-determined benefits allowance credit that is equal to a percentage of the executive's base pay from which the cost of mandatory and elective employee benefits is deducted. The benefits allowance credit percentage for any plan year shall not be greater than the maximum dollar amount or the percentage of compensation as determined by the AdventHealth Benefits Administration Committee. For grandfathered eligible employees, the annual pre-determined Flex allowance is contributed and any funds that remain after the cost of mandatory and elective benefits are subtracted are, at the employee's option, contributed to either an IRC 457(f) deferred compensation account or to an IRC 457(b) eligible deferred compensation plan. Upon attainment of age 65, all previous 457(f) deferred amounts are paid immediately to the participant and any future employer contributions are made quarterly from the Plan directly to the participant. The Plan provides for a class year vesting schedule (2 years for each class year) with respect to amounts accumulated in the executive's 457(f) deferred compensation account. Distributions could also be made from the executive's 457(f) deferred compensation account upon attainment of age 65 or upon an involuntary separation. The account will be forfeited by the executive upon a voluntary separation. With respect to grandfathered participants, the Flex Plan documents define eligible employees to include the Chief Executive Officers of AdventHealth entities and Vice Presidents of all AdventHealth entities whose base salary was at least equal to the Internal Revenue Code Section 401(a)(17) compensation limit each year. FLEX Plan FLEX Plan SERP III SERP III Contr. Distr.* Contr. Distr.* Griffin, Michael $ 12,758 $ 8,395 $ 817 $ 0 Bromme, Jeffrey $ 1,555 $ 1,257 $ 180 $ 180 *Including Investment Earnings Form 990, Part VII, Section A, Line 5: President, Michael Griffin, and Secretary/Treasurer, Jeffrey Bromme were compensated by AHSSHC, an unrelated IRC Section 501(c)(3) entity, during 2023 for services provided to the filing organization and its affiliates. Compensation for Michael Griffin, and Jeffrey Bromme pertaining to the filing organization and it's related affiliates, is disclosed in Schedule J, Part II. Form 990, Part VI, Section A, line 4 Effective January 2023, the bylaws of the filing organization amended and updated. The significant changes are as follows. Section 5 of Article IV related to the process of filing vacancies on the Board of Trustees was deleted in its entirety. Section 6 of Article IV addressing the removal of Trustees was amended to provide that a Trustee who is the CEO of the Member appointing her or him shall be deemed to have resigned when they are no longer carrying our such duties for that Member. Form 990, Part VI, Section A, line 6 Adventist Health Policy Association, Inc. (the filing organization) has five members. The members of the filing organization are Adventist Health System Sunbelt Healthcare Corporation; Adventist Healthcare, Inc.; Adventist Health System/West; Loma Linda University Adventist Health Sciences Center; and Kettering Adventist Healthcare. All members are not-for-profit corporations that are exempt from federal income tax under Internal Revenue Code (IRC) Section 501(c)(3). There are no other classes of membership in the filing organization. Form 990, Part VI, Section A, line 7a Each Adventist Health Policy Association (AHPA) member appoints one member to the Board of Trustees of AHPA. Form 990, Part VI, Section A, line 7b The Members of the filing organization, have certain reserved powers as set forth in the Bylaws of the filing organization. These reserved powers include the following: a) to appoint the members of the Board of Trustees and b) to approve any amendments, modifications, or repealing of the Articles of Incorporation or Bylaws of the filing organization. Form 990, Part VI, Section B, line 11b The filing organization's current year Form 990 was reviewed by the President and the Secretary/Treasurer of the filing organization prior to its filing with the IRS. The review conducted by the President and the Secretary/Treasurer did not include the review of any supporting workpapers that were used in preparation of the Form 990, but did include a review of the entire current year Form 990 and all supporting schedules. Form 990, Part VI, Section B, line 15 The filing organization's CEO, and other officers were not compensated by the filing organization. Such individuals are compensated by Adventist Health System Sunbelt Healthcare Corporation (AHSSHC), an unrelated organization that is a member of the filing organization. Please see the discussion concerning the process followed by AHSSHC in determining executive compensation in our response to Schedule J, Line 3. Form 990, Part VI, Section C, line 19 The filing organization does not generally makes its governing documents, or financial statements available to the public. Form 990, Part VII, Section A, Line 5: The individual who serves as the CEO of the filing organization is compensated by Adventist Health System Sunbelt Healthcare Corporation (AHSSHC) an unrelated IRC Section 501(c)(3) entity that is a member of the filing organization. Compensation and benefits provided to this individual are determined pursuant to policies, procedures, and processes of AHSSHC that are designed to ensure compliance with the intermediate sanctions laws as set forth in IRC Section 4958. See Schedule J for more explanation. Form 990, Part IX, line 11g Professional Fees: Program service expenses 259,072. Management and general expenses 0. Fundraising expenses 0. Total expenses 259,072.