Lahey Health System Inc
Nonprofit profile at a glance
- EIN
- 611665701
- IRS 990 coverage
- 2013–2017
- Forms available
- Form 990 2017
- Location
- Burlington, MA, USA
- Phone
- 7817445100
- Rating
- 40
- Verdict
- MIXED
- Rating confidence
- Moderate
- Sector
- Community Health Systems
Reported finances
- Revenue
- $15,650,404
- Expenses
- $15,650,404
- Assets
- $6,291,767
- Liabilities
- $6,291,767
Source: IRS Form 990. Selected filing: tax year 2017. Amounts in USD.
Leadership & pay
23 people listed
Executive titles in this filing
- howard r grant jd md (TRUSTEE/OFFICER/PRESIDENT/CEO)
- Michael Jellinek md (EVP LHS & CEO LHS COmm network)
- Barbara Lamont (Special Assistant to CEO)
Highest reported compensation
- howard r grant jd md (TRUSTEE/OFFICER/PRESIDENT/CEO): $2,726,457 total reported compensation
- timothy o'connor (officer/EVP/CFO & TReasurer): $847,178 total reported compensation
- Richard William Nesto MD (cmo lahey health): $844,020 total reported compensation
Source: IRS Form 990. Selected filing: tax year 2017. Names and roles reflect this filing, not necessarily current officeholders.
Overview
Mission
See Schedule O.
What it reported doing in 2017
Lahey health system, inc. (lhs) is the sole corporate member of lahey clinic foundation, inc., northeast health system, inc. And winchester healthcare management, inc. As such, lhs is the parent corporation of an affiliated healthcare system consisting of lahey clinic hospital, inc., northeast hospital corporation, winchester hospital and several other affiliated healthcare and support organizations. For a complete list of all related organizations please refer to schedule r.
Operating model
- Revenue model
- Earned-program. 91% of the money available for current operations came from fees and other program revenue.
- Distribution model
- No current program activity. The filing reports no program spending for the current year.
The verdict
MIXED - The filed numbers largely add up and most voting board members are independent. A relatively small share of available resources goes toward mission work and a relatively small share of total spending goes to programs.
Rating breakdown
- Financial Efficiency: 0
- Transparency & Controls: 65
- Accountability: 85
- Sustainability: 20
- Growth: 60
Detailed rating inputs
Financial Efficiency
- Mission deployment rate: 0%; rating input score 0
- Program expense ratio: 0%; rating input score 0
- Fundraising efficiency: Limited
Transparency & Controls
- Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
- Pay-setting controls: 6 of 6 controls in place; rating input score 100
- Compensation committee: Pass
- Independent consultant: Pass
- Other Form 990s reviewed: Pass
- Written employment contract: Pass
- Compensation survey or study: Pass
- Board or committee approval: Pass
- Foreign activity oversight: Scored; rating input score 0
- Grant itemization coverage: Scored; rating input score 0
- Major donor itemization: Limited
- Related-party transparency: Yes; rating input score 100
Accountability
- Independent voting board: 75%; rating input score 75; 14th 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: 0%; rating input score 30; 30th percentile among comparable filings
- Total-asset coverage ratio: 0.4; rating input score 16; 16th percentile among comparable filings
- Liabilities to assets ratio: 1; rating input score 7; 7th percentile among comparable filings
- Officer compensation ratio: 39.6%; rating input score 0; 0th percentile among comparable filings
Growth
- Program expense growth: -100% per year; rating input score 0; 0th percentile among comparable filings
- Revenue growth: 17.9% per year; rating input score 100; 91st percentile among comparable filings
- Asset growth: 1.2% per year; rating input score 100; 26th percentile among comparable filings
Details
- Where the money goes: 0% of revenue deployed · 0% of spending went to programs
- Governance: 12 of 16 board members independent · 9 of 9 filing controls reported
- Programs: 1 filed program accomplishment
- Leadership: top reported pay $2.7M · 23 people listed · 6 of 6 pay-setting controls reported
- Highest-paid contractors: 1 contractor listed
- Consistency: 25 of 25 current checks pass
- Schedules: 7 filed schedules · includes foreign activity, executive pay, and related organizations
- Filing history: 5 filing years from 2013 to 2017
- Contacts: How to reach this organization
- Money network: 7 filed money-flow records
- Related organizations: 24 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.
Grant-readiness screening is separate from the live rating, not a measure of program quality. Review the source records before making a grant decision.
- High — Financial Efficiency: Mission deployment rate scored 0/100.
- High — Financial Efficiency: Program expense ratio scored 0/100.
- High — Transparency & Controls: Foreign activity oversight scored 0/100.
- High — Transparency & Controls: Grant itemization coverage scored 0/100.
- High — Growth: Program expense growth scored 0/100.
- Moderate — Sustainability: Operating margin scored 30/100.
- High — Sustainability: Total-asset coverage ratio scored 16/100.
- High — Sustainability: Officer compensation ratio scored 0/100.
- High — Sustainability: Liabilities to assets ratio scored 7/100.
- High — Grant Readiness: Automatic revocation: this organization had its federal tax-exempt status automatically revoked.