North Country HealthCare

What it reported doing in 2023

North country healthcare, inc. ("nchc") operates a network of community health centers serving more than 55,000 of the residents of counties in northern Arizona, including the counties of coconino, navajo, mohave, apache, and gila. Nchc's vision is to create healthier communities by serving as the primary care provider of choice and ensuring no person is without access to primary care. Nchc's mission is to provide affordable, accessible, quality primary care in an atmosphere of dignity and respect where the health and well-being of patients and community are promoted through direct services, education, outreach, and advocacy. Nchc is the primary community health center organization in the northern Arizona region. Nchc's roots reach back to the flagstaff community free clinic, which was founded in 1991 by a small group of local doctors and nurses, health and human service representatives, and consumers who were concerned about the large number of uninsured people who were going to the emergency room for care because they had no medical home. In 1996, the clinic transitioned from a volunteer organization into a state and federally funded community health center. Today, nchc serves 11 communities across northern Arizona, providing quality medical care to all while building healthier communities. Nchc focuses on integrated healthcare, bringing conventional approaches together in a coordinated way, including behavioral healthcare, care coordination, chronic disease management, diabetes support and management, dental care, internal medicine, obstetrics and gynecology, pediatrics, pharmacy, physical therapy, primary care and family medicine, telemedicine and virtual visits. It also provides healthcare programs and education and research programs. Nchc currently operates 15 clinics (13 physical and two mobile clinics) in its service area, including the cities of bullhead city, flagstaff (4th street), flagstaff (university), flagstaff pediatric (yale), grand canyon, holbrook, kingman, lake havasu city, payson, springerville (round valley), show low, williams, and winslow (collectively, the "series 2025 facilities"). Please refer to series 2025 pledged facilities later in this document. The mobile units serve the flagstaff area with selected care teams.

Financial Efficiency

• Mission deployment rate: 87.3%; rating input score 87
• Program expense ratio: 73%; rating input score 73
• Fundraising efficiency: $1,011.1 raised per $1 spent on fundraising; rating input score 96; 96th percentile among comparable filings

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: Missing
  • Other Form 990s reviewed: Pass
  • Written employment contract: Pass
  • Compensation survey or study: Pass
  • Board or committee approval: Pass
• Foreign activity oversight: Limited
• Grant itemization coverage: Limited
• Major donor itemization: Yes; rating input score 100
• Related-party transparency: Limited

Accountability

• Independent voting board: 100%; rating input score 100; 78th 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: -10.9%; rating input score 8; 8th percentile among comparable filings
• Total-asset coverage ratio: 0.53; rating input score 20; 20th percentile among comparable filings
• Liabilities to assets ratio: 0.5; rating input score 37; 37th percentile among comparable filings
• Officer compensation ratio: 5.9%; rating input score 11; 11th percentile among comparable filings

Growth

• Program expense growth: 6.1% per year; rating input score 100; 51st percentile among comparable filings
• Revenue growth: 5.5% per year; rating input score 100; 49th percentile among comparable filings
• Asset growth: 2.8% per year; rating input score 100; 20th percentile among comparable filings