Mercy Medical Center

What it reported doing in 2024

Mercy medical center (hospital) provides medical health care, including 24 hours a day, seven days a week trauma center service, to all patients accessing the system, regardless of race, creed, sex, national origin, handicap, age or ability to pay. A patient is classified as a charity patient by reference to certain estabilished policies of the hospital. Essentially, these policies define charity services as those services for which no or nominal payment is anticipated. Additionally, each hospital department accepts all patients who are covered by governmental indigent programs. Such indigent programs typically remit amounts substantially less than charges. The following summarizes the hospital's care of the uninsured and underinsured. Costs in excess of medicare reimbursement (costs of providing the services less the amounts received from medicare) - $53,450,000; other community benefits (includes subsidized health services, financial contributions) - $2,571,000; free service (to patients who meet mercy's free-service guidelines) - $5,240,000; costs in excess of medicaid reimbursement (costs of providing the services less the amounts received from medicaid) - $12,900,000, physician education - $(692,000). In addition, charity care and community service are provided through many reduced-price services and free programs offered throughout the year. These programs provide a bona fide community health need, including: a. Public and professional educational seminar are offered on a variety of topics including joint replacement surgery, prenatal education, diabetes, mental health disorders, and numerous other medical conditions of medical and psychosocial nature. Specialized cancer seminars are also offered. B. Hospital meeting facilities which are frequently used without charge by such groups as the american heart association, Iowa breast cancer foundation, healthy linn network advisory committee, overeaters anonymous, catholic laymen, united way, catherine mcauley center for women, the american cancer society. M.s. Support group, eastern Iowa oncology nurses society, the Iowa cancer consortium, the parent education consortium, arc of east central Iowa, and several other groups. C. Contributions of approximately 95,652 hours toward the common purpose of serving the health care of the community. The value of these contributions was approximately $1,507,000 and was given back to the community through lower costs.

Financial Efficiency

• Mission deployment rate: 79.4%; rating input score 79
• Program expense ratio: 80.5%; rating input score 81
• Fundraising efficiency: Limited

Transparency & Controls

• Consistency checks: 93.8%; rating input score 94; 25th 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: Scored; rating input score 0
• Grant itemization coverage: 92.4%; rating input score 92; 24th percentile among comparable filings
• Major donor itemization: Yes; rating input score 100
• Related-party transparency: Yes; rating input score 100

Accountability

• Independent voting board: 70%; rating input score 70; 21st percentile among comparable filings
• Governance controls: 6 of 9 controls in place; rating input score 67
  • Conflict-of-interest policy: Pass
  • Whistleblower policy: Pass
  • Document-retention policy: Pass
  • CEO compensation review process: Fail
  • Other executive compensation review process: Fail
  • Form 990 shared with the board: Fail
  • Board meeting minutes documented: Pass
  • Audit committee oversight: Pass
  • Independent financial-statement audit: Pass

Sustainability

• Operating margin: -0.1%; rating input score 26; 26th percentile among comparable filings
• Total-asset coverage ratio: 1.44; rating input score 52; 52nd percentile among comparable filings
• Liabilities to assets ratio: 0.33; rating input score 52; 52nd percentile among comparable filings
• Officer compensation ratio: 2.7%; rating input score 43; 43rd percentile among comparable filings

Growth

• Program expense growth: 6.4% per year; rating input score 100; 52nd percentile among comparable filings
• Revenue growth: 4.4% per year; rating input score 100; 36th percentile among comparable filings
• Asset growth: 3.7% per year; rating input score 100; 25th percentile among comparable filings