Mercy Health System Corporation

What it reported doing in 2024

Hospital discharges 7,132, nursing home admissions 201, births 698, outpatient and inpatient surgeries 10,805.mhsc continues its tradition of giving back to each of the communities served in a wide variety of fashions. Mhsc contributes to the area of public health services. This includes extensive donations of time and supplies to healthnet of rock county, a large free primary care clinic serving the region. More than eighty percent of the physician services provided at the clinic are supplied through mhsc. In addition, mhsc assists open arms free clinic, a not-for-profit that serves low-income residents in walworth county, Wisconsin. Additionally, mhsc and its affiliates' staff provide health screening and related services at numerous events in rock and walworth counties in Wisconsin and mchenry, boone and winnebago county in Illinois.mhsc also provides financial and in-kind contributions to other private and not for profit health related agencies and organizations in our service area. Beneficiaries included but are not limited to the american heart association, american cancer society, united way organizations in rock, walworth, and mchenry counties, ymca care house, ymca, american lung association, walworth county alliance for children, turning point women's center in mchenry, open arms free clinic, and the red cross, to name just a few recipients. Mhsc also encourages its partners (employees) to donate their time and energy to support community based causes. Thousands of hours each year are donated to not for profit and public agencies throughout our service area. Examples of volunteer activities being supported include nursing services at community and free clinics throughout the region, meals on wheels delivery activities, active involvement as governing board members for such organizations as united way, crime stoppers, rotary botanical gardens, healthnet, and many other organizations.the community benefit priorities for mhtc are mental health, maternal and child health, and access to care. In fy24 mercyhealth focused on recruiting new providers in primary care and psychiatry, expanding services in response to community demand for autism and dialysis, and adding new mental health programs including an ed bridge clinic and transcranial magnetic stimulation. We launched a community healthcare financial literacy campaign. The obstetrics department adopted birth equity initiatives including implicit bias training and social determinants of health screening for all prenatal patients.the community benefit priorities for walworth are mental health and nutrition, physical activity, and obesity. In fy24 mercyhealth expanded mental health services in walworth county by adding new providers and an autism program. In addition, mercyhealth is increasing community awareness of the importance of weight management and cardiac rehabilitation.another example of mhsc's commitment to the community is its support of the operations through offering safe residence to homeless families at the house of mercy homeless center. It opened in 1996 and serves about 255 individuals a year, many who are children. The center offers a safe harbor for these individuals as well as case management, assistance with job searches, finding permanent housing and education.

Financial Efficiency

• Mission deployment rate: 73.7%; rating input score 74
• Program expense ratio: 75.2%; rating input score 75
• Fundraising efficiency: Limited

Transparency & Controls

• Consistency checks: 100%; rating input score 100; 68th percentile among comparable filings
• Pay-setting controls: 5 of 6 controls in place; rating input score 83
  • Compensation committee: Pass
  • Independent consultant: Pass
  • Other Form 990s reviewed: Pass
  • Written employment contract: Missing
  • Compensation survey or study: Pass
  • Board or committee approval: Pass
• Foreign activity oversight: Limited
• Grant itemization coverage: 99.5%; rating input score 100; 41st percentile among comparable filings
• Major donor itemization: Yes; rating input score 100
• Related-party transparency: Yes; rating input score 100

Accountability

• Independent voting board: 75%; rating input score 75; 24th percentile among comparable filings
• Governance controls: 8 of 9 controls in place; rating input score 89
  • 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: Fail
  • Board meeting minutes documented: Pass
  • Audit committee oversight: Pass
  • Independent financial-statement audit: Pass

Sustainability

• Operating margin: 6.6%; rating input score 62; 62nd percentile among comparable filings
• Total-asset coverage ratio: 1.37; rating input score 50; 50th percentile among comparable filings
• Liabilities to assets ratio: 0.39; rating input score 46; 46th percentile among comparable filings
• Officer compensation ratio: 4.6%; rating input score 20; 20th percentile among comparable filings

Growth

• Program expense growth: 2.5% per year; rating input score 100; 18th percentile among comparable filings
• Revenue growth: 3.7% per year; rating input score 100; 29th percentile among comparable filings
• Asset growth: 6.5% per year; rating input score 100; 47th percentile among comparable filings