Beaumont Medical Group - Primary Care Services

Nonprofit profile at a glance

EIN
822796539
IRS 990 coverage
2019–2020
Forms available
Form 990 2020, Form 990-N 2017
Location
Southfield, MI, USA
Phone
9475221049
Rating
62
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Community Health Systems

Official website

Reported finances

Revenue
$31,012,114
Expenses
$28,469,119
Assets
$0
Liabilities
$0

Source: IRS Form 990. Selected filing: tax year 2020. Amounts in USD.

Leadership & pay

6 people listed

Executive titles in this filing

  • David Wood MD (President)
  • Daniel Frattarelli MD (President, BMG)

Highest reported compensation

  • Carolyn Wilson (Secretary): $2,030,949 total reported compensation
  • David Wood MD (President): $1,649,573 total reported compensation
  • John Kerndl (Treasurer): $1,452,277 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2020. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Beaumont Medical Group - Primary Care Services' primary exempt purpose is to meet the community need for primary care physician services and coordinate health care for patients.

What it reported doing in 2020

Beaumont Medical Group - Primary Care Services is the lead point of contact for new and existing patients in the community. Physicians and staff provide regular preventative care to patients by performing annual physical exams, monitoring patient medical goals, and referring patients for specialty and hospital care when needed.Primary care offices are open for both well and sick visits. They are proactive in preventative care by encouraging physical exams, appropriate periodic health tests and vaccinations. They operate as the patient centered medical home for the coordination of a patient's overall health care program.

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 the filed numbers largely add up. 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: 84
  • Transparency & Controls: 67
  • Accountability: 32
  • Sustainability: 28
  • Growth: 0

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 91.8%; rating input score 92
  • Program expense ratio: 100%; rating input score 100
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 63rd 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: Yes; rating input score 100

Accountability

  • Independent voting board: 0%; rating input score 0; 3rd 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: 8.2%; rating input score 50; 50th percentile among comparable filings
  • Total-asset coverage ratio: 0; rating input score 0; 0th percentile among comparable filings
  • Liabilities to assets ratio: Limited
  • Officer compensation ratio: 6.5%; rating input score 34; 34th percentile among comparable filings

Growth

  • Program expense growth: -5% per year; rating input score 0; 6th percentile among comparable filings
  • Revenue growth: -12.9% per year; rating input score 0; 1st percentile among comparable filings
  • Asset growth: Limited

Details

  • Where the money goes: 91.8% 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 · $28.5M in reported program spending
  • Leadership: top reported pay $2M · 6 people listed · 0 of 6 pay-setting controls reported
  • Consistency: 15 of 15 current checks pass
  • Schedules: 5 filed schedules · includes executive pay and related organizations
  • Filing history: 2 filing years from 2019 to 2020
  • Contacts: How to reach this organization
  • Related organizations: 23 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.
  • High — Growth: Program expense growth scored 0/100.
  • High — Growth: Revenue growth scored 0/100.
  • Review — Accountability: Governance controls: 2 of 9 not reported.
  • High — Sustainability: Total-asset coverage ratio scored 0/100.
  • Review — Sustainability: Operating margin scored 50/100.
  • Moderate — Sustainability: Officer compensation ratio scored 34/100.