Morningside Ministries

What it reported doing in 2016

Program services provided by the foundation are as follows: own, hold and maintain land, buildings and other improvements that areoperated by morningside to provide long-term health care services tothe general public. Residents who cannot afford market rate forservices rendered are eligible to receive financial assistance (asdescribed below, charitable services provided).own, hold and manage the investments and other financial assets of thecorporation. A portion of the earnings generated from permanentlyendowed investments are forwarded to morningside to provide financialassistance to the general public.solicit charitable donations from the public and hold and investdonations to be used by morningside to provide capital, supportservices and financial assistance to the general public.long-term health care provided - the mission of morningside is to"enhance the dignity and the quality of life of older adults, theirfamilies and caregivers with compassionate care." to accomplish thismission, morningside provides elderly persons in san antonio andsurrounding communities with personal care in a residential setting, aswell as limited recreational services to non-residents. Major programservices include retirement housing, assisted living services, memorycare, skilled nursing care, and rehabilitation services. Morningsideoperates three facilities in bexar and kendall counties which are hometo over 900 older adults.history and founders - morningside was originally founded in 1959 bythe rio Texas conference of the united methodist church (formerly, thesouthwest Texas conference of the united methodist church). Duringthat same year, morningside was incorporated as a non-profitorganization in the state of Texas and received its federal IRS 501(c)(3) designation. Very soon thereafter, the methodist conferencewas joined by the diocese of west Texas, episcopal church of the usaand the first presbyterian church of san antonio eco: a covenant orderof evangelical presbyterians to help provide care to the elderly.after 56 years of service, morningside's primary goal remains the same: to meet the spiritual, emotional, physical and intellectual needs ofthe residents and their families in a faith-based atmosphere.morningside is open to all elderly persons regardless of religiousfaith.charity care for the aged - as part of its ministry, morningsideprovides charitable care to residents who have outlived theirresources. The covenant endowment fund was specifically established toprovide financial assistance to those residents who years after movingto morningside find that they can no longer pay for the services theyreceive. In addition, state medicaid payments to skilled nursingfacilities are substantially lower than the cost of the high-qualityskilled nursing care provided by morningside. At any one time, approximately 40% of morningside's skilled nursing beds are occupied bymedicaid recipients. In 2016, morningside provided approximately $5.25million of charitable care to more than 235 seniors.independent living - independent living residents come to morningsidewhen they begin to experience problems maintaining and managing theirhomes, as well as driving an automobile on their own. Residents inindependent living are provided apartment or cottage-type housing, meals in restaurant-style dining rooms, housekeeping services, transportation, and recreational activities. During 2016, approximately 450 elderly persons lived in morningside's independentliving facilities.assisted living and memory care - residents in assisted living andmemory care require personal assistance with daily living activitiesbecause of physical debilitation or memory loss. They are provided thesame services as those in independent living, plus assistance withbathing, dressing, meals, laundry, and medication management. During2016, approximately 220 persons resided in assisted living and memorycare facilities.skilled nursing care - residents receive skilled and intermediatenursing c

Financial Efficiency

• Mission deployment rate: 13.6%; rating input score 14
• Program expense ratio: 79.9%; rating input score 80
• Fundraising efficiency: $14,935.99 raised per $1 spent on fundraising; rating input score 100; 100th percentile among comparable filings

Transparency & Controls

• Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
• Pay-setting controls: 0 of 6 controls in place; rating input score 0
  • Compensation committee: Missing
  • Independent consultant: Missing
  • Other Form 990s reviewed: Missing
  • Written employment contract: Missing
  • Compensation survey or study: Missing
  • Board or committee approval: Missing
• Foreign activity oversight: Limited
• Grant itemization coverage: 100%; rating input score 100; 71st percentile among comparable filings
• Major donor itemization: Yes; rating input score 100
• Related-party transparency: Limited

Accountability

• Independent voting board: 85.7%; rating input score 86; 20th percentile among comparable filings
• Governance controls: 7 of 9 controls in place; rating input score 78
  • 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: Pass
  • Board meeting minutes documented: Pass
  • Audit committee oversight: Pass
  • Independent financial-statement audit: Pass

Sustainability

• Operating margin: 86.2%; rating input score 99; 99th percentile among comparable filings
• Total-asset coverage ratio: 20.93; rating input score 97; 97th percentile among comparable filings
• Liabilities to assets ratio: 0; rating input score 98; 98th percentile among comparable filings
• Officer compensation ratio: 1.4%; rating input score 79; 79th percentile among comparable filings

Growth

• Program expense growth: 6.5% per year; rating input score 100; 62nd percentile among comparable filings
• Revenue growth: 40.3% per year; rating input score 100; 98th percentile among comparable filings
• Asset growth: 4.1% per year; rating input score 100; 46th percentile among comparable filings