Executive Compensation at Piedmont Healthcare (2020)
Piedmont Healthcare is a tax-exempt, non -profit healthcare provider based in Atlanta, Georgia with 22 hospitals, 55 urgent care centers, 25 “QuickCare” centers, and more than 1875 clinic physician offices that employ more than 34,000 employees that serve communities that comprise 80% of Georgia’s population.
Made up of dozens of other organizations that include non-profits, taxable corporations, and taxable trusts, Piedmont Healthcare has one organization – Piedmont Healthcare, Inc. (PHI) – whose mission is to manage all the affiliated/related and subsidiary organizations in the system.
PHI has 21 voting members of its governing body, 15 of whom are independent. 18 of the 21 (86%) board members are male while 3 of the 21 (14%) are female.
In 2020, PHI reported total revenue of $178 million, most of which came from the affiliate organizations as a management fee and what PHI refers to as “Cost of Capital Allocation.”
Expenses totaled $179 million (including $41 million in depreciation) with the 3 largest expenses reported to be compensation ($38 million), fees for services – primarily contract and administrative ($28 million), and office-related expenses ($43 million).
3,967 employees received $38 million in compensation, which equates to an average compensation of less than $10,000 (low). 437 employees received more than $100,000 in compensation with the 13 most highly compensated reported to be:
- $2,989,640: Kevin Brown, Board Member and CEO, PHC
- $1,639,522: Sidney Kirschner, Chief Philanthropy Officer
- $1,454,882: Michael Mandl, EVP
- $1,223,846: Leigh Hamby, PHC Chief Medical Officer
- $1,166,902: Michael McAnder, CFO and Treasurer
- $1,101,575: Jeffrey Brown, CIO
- $1,062,252: Christopher Lloyd, President, Piedmont Clinic
- $1,041,033: Michelle Fisher, President, Prim Care and Ret Services
- $ 950,761: Elizabeth Leddy, Chief Legal Officer, Secretary
- $ 822,419: Thomas Arnold, VP Financial Operations
- $ 775,230: Vicki Cansler, Chief HR Officer
- $ 642,188: John Henson, Chief of Oncology
- $ 499,844: Shannon Glover, VP, Managed Care
The 13 most highly compensated employees received more than $15 million in compensation. 9 of the 13 (69%) most highly compensated employees are male while 4 of the 13 (31%) are female.
The most highly compensated employee was Kevin Brown, who received $14 million in compensation over the past 5 years:
- 2020: $2,989,640
- 2019: $4,160,372
- 2018: $2,422,464
- 2017: $2,165,460
- 2016: $2,153,708
PHI paid for first class travel, companion travel and provided discretionary spending accounts. To read details about these expenses and payments from the Supplemental Executive e Retirement Plans (SERP), please go to the Form 990, Schedule J, Part III, Supplemental Information.
99 independent contractors received more than $100,000 in compensation with the five most highly compensated reported to be:
- $7.0 million: Leido Health, of Westfield, IN for healthcare IT
- $5.7 million: Cumberland Group, of Atlanta, GA for consulting services
- $3.1 million: Healthcare Financial Resources, of Schaumburg, IL for revenue cycle management
- $2.7 million: Medlytix, of Roswell, GA for healthcare consulting
- $2.5 million: Dell Financial, of Round Rock, TX for payment services
To review the Form 990 (2019 for the year ending June 30, 2020), click here.