Adventist Health SystemTexas Inc

Nonprofit profile at a glance

EIN: 742578952
IRS 990 coverage: 2010–2024
Forms available: Form 990 2024
Location: Burleson, TX, USA
Phone: 8175512704
Rating: 66
Verdict: SUPPORTED
Rating confidence: Moderate
Affiliation: Christianity

Reported finances

Revenue: $180,634,877
Expenses: $180,634,877
Assets: $12,743,749
Liabilities: $15,897,167

Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.

Leadership & pay

10 people listed

Executive titles in this filing

Johnson Penny (Director/President/CEO)

Highest reported compensation

Banks David (Director/Secretary): $4,869,658 total reported compensation
Bacon Kenneth (Former Officer): $3,110,811 total reported compensation
Randolph Karsten (Director): $1,811,016 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Adventist Health System Sunbelt Healthcare Corporation and all its subsidiary organizations were established by the Seventh-Day Adventist Church to bring a ministry of healing and health to the communities served. Our mission is to extend the healing ministry of Christ.The filing organization and healthcare system whose parent is Adventist Health System Sunbelt Healthcare Corporation is known as AdventHealth. AdventHealth seeks to be widely respected as a consumer-focused organization that engages individuals in their health by delivering wholistic, best practice care across a connected, comprehensive continuum of services. With Christ as our example, AdventHealth cares for and nurtures people: our employees, our communities, our healthcare professionals, and those who trust us for care and healing.

What it reported doing in 2024

The leasing of personnel to supported affiliated exempt organizations.

Operating model

Revenue model: Earned-program. 100% of the money available for current operations came from fees and other program revenue.
Distribution model: Direct operator. The filing allocates 100% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

SUPPORTED - A large share of available resources goes toward mission work and program spending has grown recently. A relatively small share of voting board members are independent and few specific pay-setting methods are documented in the filing; unanswered boxes are not proof of absence.

Rating breakdown

Financial Efficiency: 89
Transparency & Controls: 58
Accountability: 32
Sustainability: 23
Growth: 100

Detailed rating inputs

Financial Efficiency

Mission deployment rate: 100%; rating input score 100
Program expense ratio: 100%; rating input score 100
Fundraising efficiency: Limited

Transparency & Controls

Consistency checks: 90.9%; rating input score 91; 6th percentile among comparable filings
Pay-setting controls: 0 of 6 controls in place; rating input score 0
- Compensation committee: Missing
- Independent consultant: Missing
- Other Form 990s reviewed: Missing
- Written employment contract: Missing
- Compensation survey or study: Missing
- Board or committee approval: Missing
Foreign activity oversight: Limited
Grant itemization coverage: Limited
Major donor itemization: Limited
Related-party transparency: Limited

Accountability

Independent voting board: 0%; rating input score 0; 4th percentile among comparable filings
Governance controls: 7 of 9 controls in place; rating input score 78
- Conflict-of-interest policy: Pass
- Whistleblower policy: Pass
- Document-retention policy: Pass
- CEO compensation review process: Fail
- Other executive compensation review process: Fail
- Form 990 shared with the board: Pass
- Board meeting minutes documented: Pass
- Audit committee oversight: Pass
- Independent financial-statement audit: Pass

Sustainability

Operating margin: 0%; rating input score 29; 29th percentile among comparable filings
Total-asset coverage ratio: 0.07; rating input score 2; 2nd percentile among comparable filings
Liabilities to assets ratio: 1.25; rating input score 3; 3rd percentile among comparable filings
Officer compensation ratio: 1%; rating input score 74; 74th percentile among comparable filings

Growth

Program expense growth: 8.7% per year; rating input score 100; 68th percentile among comparable filings
Revenue growth: 12.6% per year; rating input score 100; 84th percentile among comparable filings
Asset growth: 10.4% per year; rating input score 100; 72nd percentile among comparable filings

Details

Where the money goes: 100% of revenue deployed · 100% of spending went to programs
Governance: 0 of 4 board members independent · 7 of 9 filing controls reported
Programs: 1 filed program accomplishment · $180.6M in reported program spending
Leadership: top reported pay $4.9M · 10 people listed · 0 of 6 pay-setting controls reported
Consistency: 15 of 16 current checks pass · 1 finding to review
Schedules: 5 filed schedules · includes executive pay
Filing history: 14 filing years from 2010 to 2024
Contacts: How to reach this organization
Money network: 5 filed money-flow records
Related organizations: 128 filed related-organization links
Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

High — Accountability: Independent voting board scored 0/100.
High — Transparency & Controls: Pay-setting controls scored 0/100.
Review — Accountability: Governance controls: 2 of 9 not reported.
High — Sustainability: Operating margin scored 29/100.
High — Sustainability: Total-asset coverage ratio scored 2/100.
Review — Transparency & Controls: Schedule R controlled transactions itemized did not reconcile in the filed values.
High — Sustainability: Liabilities to assets ratio scored 3/100.