Chesapeake Hospital Corporation

Nonprofit profile at a glance

EIN
237424835
IRS 990 coverage
2009–2019
Forms available
Form 990 2019
Location
Kilmarnock, VA, USA
Phone
8044358582
Rating
67
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Hospital, General

Official website

Reported finances

Revenue
$13,682,871
Expenses
$14,759,042
Assets
$0
Liabilities
$0

Source: IRS Form 990. Selected filing: tax year 2019. Amounts in USD.

Leadership & pay

33 people listed

Source: IRS Form 990. Selected filing: tax year 2019. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

The organization operates an acute care general hospital. The hospital has a community based Board of Directors, has an open medical staff, operates an emergency room providing care to all regardless of ability to pay, and provides non-emergency services to any with the ability to pay including Medicare and Medicaid covered individuals. The organization is dedicated to the provision of quality, compassionate care to all patients in the most cost effective manner. This will be accomplished through the most effective use of available resources and will reflect ethical decisions, including the effective management of pain, made jointly by the patients, the family, and health care professionals involved in its care.

What it reported doing in 2019

Rappahannock General Hospital, which is the only provider of inpatient and outpatient acute care services within a five county area, provides medical care to patients without regard to their ability to pay. Please refer to the Community Benefit information on Schedule H.

Operating model

Revenue model
Other-operating. 97% of the money available for current operations came from other operating 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. Few specific pay-setting methods are documented in the filing; unanswered boxes are not proof of absence and expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 74
  • Transparency & Controls: 65
  • Accountability: 87
  • Sustainability: 6
  • Growth: 0

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 85.8%; rating input score 86
  • Program expense ratio: 79.5%; rating input score 79
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 62nd 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: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 94.1%; rating input score 94; 29th 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: Pass
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: -7.9%; rating input score 11; 11th 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: 16.7%; rating input score 5; 5th percentile among comparable filings

Growth

  • Program expense growth: -7.1% per year; rating input score 0; 4th percentile among comparable filings
  • Revenue growth: -3.1% per year; rating input score 0; 5th percentile among comparable filings
  • Asset growth: -5.7% per year; rating input score 0; 4th percentile among comparable filings

Details

  • Where the money goes: 85.8% of revenue deployed · 79.5% of spending went to programs
  • Governance: 16 of 17 board members independent · 7 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $11.7M in reported program spending
  • Leadership: top reported pay $1M · 33 people listed · 0 of 6 pay-setting controls reported
  • Highest-paid contractors: 5 contractors listed · $2.9M reported
  • Consistency: 29 of 29 current checks pass
  • Schedules: 9 filed schedules · includes major donors and executive pay
  • Filing history: 11 filing years from 2009 to 2019
  • Contacts: How to reach this organization
  • Money network: 7 filed money-flow records
  • Related organizations: 136 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 — Transparency & Controls: Pay-setting controls scored 0/100.
  • High — Sustainability: Operating margin scored 11/100.
  • 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.
  • High — Growth: Asset growth scored 0/100.
  • High — Sustainability: Officer compensation ratio scored 5/100.