Frederick Health Inc

Nonprofit profile at a glance

EIN
454133096
IRS 990 coverage
2013–2024
Forms available
Form 990 2024, Form 990-T 2020
Location
Frederick, MD, USA
Phone
2405663300
Rating
81
Verdict
STRONG
Rating confidence
Moderate
Sector
Community Health Systems

Official website

Reported finances

Revenue
$3,777,510
Expenses
$7,112,920
Assets
$342,893,843
Liabilities
$28,146,553

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

Leadership & pay

25 people listed

Executive titles in this filing

  • Thomas A Kleinhanzl (President and CEO)
  • Hon John Tisdale (Auxiliary President)

Highest reported compensation

  • Thomas A Kleinhanzl (President and CEO): $3,982,901 total reported compensation
  • Cheryl L Cioffi (EVP & Chief Admin Officer): $831,244 total reported compensation
  • Hannah R Jacobs (SVP and CFO): $699,873 total reported compensation

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

Overview

Mission

To positively impact the well-being of every individual in our community.

What it reported doing in 2024

Establish, maintain, supervise, coordinate, receive and administer funds for, assist and perform planning and other functions for, or to carry out the charitable, health, and educational purposes of Frederick Health Hospital, Inc., Frederick Health Hospice, Inc., and Frederick Health Medical Group, LLC.

Operating model

Revenue model
Other-operating. 100% 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

STRONG - 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: 89
  • Transparency & Controls: 67
  • Accountability: 91
  • Sustainability: 43
  • 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: 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: 85%; rating input score 85; 17th percentile among comparable filings
  • Governance controls: 9 of 9 controls in place; rating input score 100
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: Pass
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: -88.3%; rating input score 1; 1st percentile among comparable filings
  • Total-asset coverage ratio: 48.21; rating input score 99; 99th percentile among comparable filings
  • Liabilities to assets ratio: 0.08; rating input score 62; 62nd percentile among comparable filings
  • Officer compensation ratio: 4.7%; rating input score 56; 56th percentile among comparable filings

Growth

  • Program expense growth: 18.5% per year; rating input score 100; 83rd percentile among comparable filings
  • Revenue growth: 15.8% per year; rating input score 100; 83rd percentile among comparable filings
  • Asset growth: 5.5% per year; rating input score 100; 37th percentile among comparable filings

Details

  • Where the money goes: 100% of revenue deployed · 100% of spending went to programs
  • Governance: 17 of 20 board members independent · 9 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $7.1M in reported program spending
  • Leadership: top reported pay $4M · 25 people listed · 0 of 6 pay-setting controls reported
  • Highest-paid contractors: 1 contractor listed · $418K reported
  • Consistency: 27 of 27 current checks pass
  • Schedules: 5 filed schedules · includes executive pay and related organizations
  • Filing history: 12 filing years from 2013 to 2024
  • Contacts: How to reach this organization
  • Related organizations: 8 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 1/100.
  • Review — Sustainability: Officer compensation ratio scored 56/100.