Essentia Health

What it reported doing in 2024

Smdc medical center, dba essentia health duluth, is created and organized exclusively for charitable, religious, educational, and scientific purposes. More specifically, essentia health duluth shall own, maintain, operate and conduct health care and related activities and facilities for the promotion of health within its community, including charitable care to persons unable to pay.essentia health duluth has a joint commission accredited hospital with 165 licensed beds and 10 multi-specialty clinics serving st. Louis county. Essentia health duluth offers a broad range of inpatient and outpatient services for its patients, including imaging/radiology, surgery, lab, neurosciences, cancer services, orthopedics, family and pediatrics services, behavioral health, rehabilitation, and heart and vascular.essentia health duluth employs approximately 1,825 full time equivalents. The hospital provided nearly 30,000 hospital patient days and 44,000 outpatient visits during the fiscal year ended june 30, 2025. The clinics had nearly 673,000 encounters during the same time period.during the fiscal year ended june 30, 2025, essentia health duluth provided the following community benefits: $2.1 million in charity care, $40.6 million costs in excess of medicaid payments, $1.8 million in community services, and $162,000 in health profession education.essentia health duluth is the sole member of essentia health Virginia, llc dba essentia health Virginia. Essentia health Virginia is organized and shall be operated exclusively for charitable, scientific, and educational purposes. Essentia health Virginia has a joint commission accredited hospital with 83 licensed beds and six clinics serving northern st. Louis county. The hospital is a level iv trauma center and offers emergency care 24 hours a day. Essentia health Virginia offers inpatient and outpatient services including obstetrics and birthing services, intensive care, urgent care, imaging/radiology, surgery, lab, cancer services, heart and vascular, and rehabilitation.essentia health Virginia has a 40-bed skilled nursing facility within its medical campus allowing residents and their families easy access to a full range of hospital, clinic, and other related services.essentia health Virginia employs approximately 485 full time equivalents. The hospital provided nearly 7,000 patient days and 57,000 outpatient visits during the fiscal year ended june 30, 2025. The clinics had over 133,000 encounters and the skilled nursing facility provided 8,000 resident days during the same time period.during the fiscal year ended june 30, 2025, essentia health Virginia provided the following community benefits: $881,000 in charity care, $7.4 million costs in excess of medicaid payments, $211,000 in community services, and $47,000 in health profession education.essentia health is the parent organization of an integrated health system that includes this organization and all entities that are owned or controlled, directly or indirectly, by essentia health (collectively, the "system or "essentia health").

Financial Efficiency

• Mission deployment rate: 93.3%; rating input score 93
• Program expense ratio: 95.2%; rating input score 95
• Fundraising efficiency: Limited

Transparency & Controls

• Consistency checks: 92.3%; rating input score 92; 12th percentile among comparable filings
• Pay-setting controls: 3 of 6 controls in place; rating input score 50
  • Compensation committee: Pass
  • Independent consultant: Missing
  • 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: 91.5%; 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: 83.3%; rating input score 83; 31st 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: 2.1%; rating input score 43; 43rd percentile among comparable filings
• Total-asset coverage ratio: 1.32; rating input score 49; 49th percentile among comparable filings
• Liabilities to assets ratio: 0.76; rating input score 19; 19th percentile among comparable filings
• Officer compensation ratio: 1.1%; rating input score 73; 73rd percentile among comparable filings

Growth

• Program expense growth: 6.8% per year; rating input score 100; 55th percentile among comparable filings
• Revenue growth: 5.5% per year; rating input score 100; 48th percentile among comparable filings
• Asset growth: 7.6% per year; rating input score 100; 56th percentile among comparable filings