Gillette Children's Hospital Foundation

What it reported doing in 2024

PATIENT CARE: The Foundation raises money to support activities related to the Gillette mission. This includes offering financial aid to patients based on need, whether or not they have health insurance, and offering charity care to patients who are financially unable to pay all or part of their medical bills. Gillette evaluates each situation based on a patient's income, assets and other resources, and the hospital assists with establishing manageable payment plans (including co-pays and co-insurance). For people without insurance, Gillette charges for care in accordance with the 501(r) guidelines. If patients inform Gillette that they will have a difficult time meeting their financial obligations, Gillette helps patients in their efforts to qualify for public assistance or the Gillette charity care program. Income eligibility for the program is based on national poverty guidelines. Gillette will never turn away a family due to an inability to pay for treatment. The Foundation also provides grants to support startup and expansion for new and/or strategic patient care initiatives. This investment includes the Gillette Pediatric Spine Institute, which advances the care of children with spine conditions, including scoliosis. This initiative centers around three pillars: (1) excellence in clinical care and outcomes, (2) research that investigates long-term outcomes, care innovation, and knowledge translation, and (3) education of future experts in spine care. Another area of investment was the Gillette Children's Cerebral Palsy Institute, launched in 2023, harnessing over 125 years of clinical leadership, advocacy, and research to transform care for cerebral palsy. The Cerebral Palsy Institute is one of the world's foremost innovators in clinical care, forward-think research, and patient advocacy. The singular condition focus aligns with specialty care, resulting in personalized, innovative care that guides each patient and family. This includes clinical expertise (with more than 140 specialists spanning nine disciplines), research (with insight from 100+ years of historical and current studies on cerebral palsy), and advocacy (working side by side with families to help each child live their story). These initiatives were made possible through generous donor support for research.Additionally, funds raised by the Foundation support areas of Gillette operations that are unreimbursed or under-reimbursed. For example, Gillette operates outreach clinics in communities in greater (largely rural) Minnesota. However, in providing these services, Gillette incurs losses. Gillette outreach clinics offer appointments with doctors, nurse practitioners, and seating and adaptive equipment specialists. Outreach clinics also help with care coordination and education for community providers in the specialized needs of Gillette patients living in their communities. Similarly, Gillette provides a variety of services to patients through our Child and Family Services area that are unreimbursed or under-reimbursed. Child life specialists, for example, help children and families prepare for and cope with hospital stays and medical procedures. Social workers provide emotional support and help with practical concerns for families of children who have disabilities, such as ordering medical equipment and finding transportation or other resources.

Financial Efficiency

• Mission deployment rate: 84.3%; rating input score 84
• Program expense ratio: 72%; rating input score 72
• Fundraising efficiency: $3.95 raised per $1 spent on fundraising; rating input score 15; 15th percentile among comparable filings

Transparency & Controls

• Consistency checks: 94.1%; rating input score 94; 20th percentile among comparable filings
• Pay-setting controls: 4 of 6 controls in place; rating input score 67
  • Compensation committee: Pass
  • Independent consultant: Pass
  • Other Form 990s reviewed: Missing
  • Written employment contract: Missing
  • Compensation survey or study: Pass
  • Board or committee approval: Pass
• Foreign activity oversight: Limited
• Grant itemization coverage: 100%; rating input score 100; 72nd percentile among comparable filings
• Major donor itemization: Yes; rating input score 100
• Related-party transparency: Limited

Accountability

• Independent voting board: 85.7%; rating input score 86; 19th 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: -9.1%; rating input score 11; 11th percentile among comparable filings
• Total-asset coverage ratio: 3.21; rating input score 77; 77th percentile among comparable filings
• Liabilities to assets ratio: 0.17; rating input score 62; 62nd percentile among comparable filings
• Officer compensation ratio: 7.2%; rating input score 35; 35th percentile among comparable filings

Growth

• Program expense growth: 12.4% per year; rating input score 100; 78th percentile among comparable filings
• Revenue growth: 3.2% per year; rating input score 100; 27th percentile among comparable filings
• Asset growth: 7.6% per year; rating input score 100; 52nd percentile among comparable filings