Executive Compensation at the Federation of American Hospitals (2019)
The Federation of American Hospitals – a tax-exempt, non-profit 501 (c) (6) – is a trade association for tax-paying hospitals in the US. Based in Washington, DC with a staff of 23, the Federation of American Hospitals (FAH) is a very small non-profit that raises about $15 million annually but compensates its employees very well, including the President (Charles Kahn III who has been President since 2001) who received more than $2.3 million in 2019.
There are 9 independent voting members (directors) of the governing body (board of directors); all of whom are male.
In 2019, FAH reported total revenue of $15.5 million (compared to $14.9 million in 2018) most of which ($13 million) came from dues.
Expenses totaled $15.8 million in 2019 with the largest expenses reported to be compensation ($8 million) and fees for services ($4 million).
23 employees received $8 million in compensation, which equates to an average compensation of $348,000 (high by most standards). 17 of the 23 employees received more than $100,000 in compensation with the 10 most highly compensated reported to be:
- $2,341,284: Charles Kahn III, President
- $ 783,291: Steve Speil, EVP
- $ 684,474: Kathleen Tenoever, SVP
- $ 621,774: Jeffrey Cohen, EVP
- $ 424,344: Kerry Price, SVP
- $ 343,122: Erin Richardson, VP and Assoc General Counsel
- $ 297,893: Paul Kidwell, VP, Policy
- $ 282,686: Leah Evangelista, VP, Public Relations
- $ 267,566: Sean Brown, VP, Communications
- $ 253,996: Patrick Velliky, VP, Legislation
As illustrated above, the 10 most highly compensated employees received more than $6 million in compensation. The remaining 13 employees received $2 million in compensation , which equates to an average compensation of $154,000.
6 of the 10 most highly compensated employees are male while 4 are female (note: The Form 990 does not report gender identity; conclusions were made based on name and google searches).
FAH paid for companion travel, tax indemnifications and gross-up payments, and health or social club dues and/or initiation fees. Specifically, Charles Kahn receives travel compensation for his spouse, gross up payments for his insurance premiums, and social club dues membership (note: this benefit is also available to other employees).
16 independent contractors received more than $100,000 in compensation with the five most highly compensated reported to be:
- $304,920: Health Policy Alts, Inc, of Wash, DC for reg and gov’t analysis, tech pyt
- $300,000: Fierce Gov’t Relations, of Wash, DC for gov’t relations analysis
- $267,000: Hooper Lundy and Bookman, of LA, CA for legal/reg analysis
- $240,000: Elmendorf Strategies, of Wash, DC for lobbying task reg and analysis
- $220,000: FTI Consulting, Inc., of NY, NY for public affairs/policy res services
To read the IRS Form 990 (2019), click here.