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Community Benefit

To us, community benefit means engaging in meaningful partnerships, cultivating community relationships and strengthening community capacity. As a nonprofit hospital, community benefit also means that any net income is reinvested into facilities, technology and healthcare services to ensure that our facilities are up-to-date and our equipment and services are state-of-the-art. Finally, and most importantly, community benefit means providing medically necessary healthcare services for all patients, regardless of their financial ability to pay. As a nonprofit, tax-exempt hospital, it is our obligation to provide care for all who come to us.

Community Health Needs Assessments

Every three years, Bozeman Health conducts Community Health Needs Assessments (CHNA) for both Deaconess Regional Medical Center and Big Sky Medical Center to identify major health problems, gaps in services, and other factors which may contribute to less than optimal health for residents of our communities. With this information, we can craft and implement informed, collaborative, and meaningful community benefit strategic plans.

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Financial Summary

Bozeman Health total community benefit provided in 2021 – via subsidized health services, unreimbursed medical costs, charity care, community health improvement services and benefit operations, cash and in-kind contributions to community groups, health professions education, and community building – totaled $36.25 million. Bozeman Health total community benefit represents 8.1% of the total health system operating expense. The 2021 Total Tax Exemption Net Benefit to Bozeman Health is $15,457,672, which includes federal and state income tax on operations, real property tax exemptions, and the favorable interest rates on tax exempt debt issuances. Bozeman Health Community Benefit was 2.3 times higher than the Total Net Benefit in 2021.

Note: Bozeman Health is an integrated healthcare system and, as such, we file multiple 990s and Schedule H forms. The graph above represents the health system as a whole. In 2021, Bozeman Health Deaconess Regional Medical Center reported $36,252,827 in community benefit expense, representing 8.1% of its total operating expense. Our corporate entity, Bozeman Deaconess Health Services, reported $2,016,274 in community benefit expense, representing 1.3% of its total operating expense.

Description of Reported Categories

Subsidized Health Services – clinical programs provided despite incurring a significant financial loss. Subsidized services are provided to meet identified community needs and if not offered either, would not be available in the community or would fall to another agency to provide. Examples are subsidized continuing care and other hospice and palliative care.

Unreimbursed Medicaid Costs – the amount to provide medical care that is not reimbursed via the Medicaid program.

Charity Care – Financial Assistance in the form of free or discounted health services provided to people who cannot afford to pay, but meet eligibility criteria. At Bozeman Health patients at or below 150% of the poverty level are eligible for free care and at or below 250% of the poverty level are eligible for discounted care.

Community Health Improvement Services & Benefit Operations – activities supported by the health care organization that extend beyond patient care with the goal of improving community health. Community health improvement activities can include health education, community-based health screenings for under/uninsured people, support groups, transportation efforts, and initiatives addressing specific health needs. Community Benefit operations include dedicated staff time and the cost of assessing community health needs.

Cash and In-Kind Contributions – assistance to community partners and organization in the form of, among other things, cash donations to tax-exempt entities, grants to other non-profits, staff time, meetings space, and supplies.

Health Professions Education – includes educational programs for physicians and other care providers, interns, and nursing and medical students. Also includes annual scholarships for undergraduate students pursuing health professions degrees.

Community Building – includes the coalition building described in our community benefit programing such as the 5210+ Policy Work Group and ongoing meetings.

Community Grants and Sponsorships

Bozeman Health’s mission is to improve community health and quality of life. We accomplish this, in part, by supporting community-based organizations through grants and sponsorships. The 2022 grants and sponsorship application is now open. Learn more, and apply here.