2011 CareSource Annual Report

The majority of our members are women and children who depend on us for help in their time of greatest need – a baby born prematurely, a child with diabetes, a teenager facing cancer or a mother struggling with heart disease. And we’re growing to provide care for some of the most vulnerable young people including those with mental illness, physical disabilities and foster children. Our programs help families with many of life’s challenges like high-risk pregnancy, traumatic illness, hospital transition and well-baby check-ups.

Our Neonatal Intensive Care Unit (NICU) Care Transitions Program was recognized by the Ohio Association of Health Plans for its innovation in helping ease a baby’s transition from the NICU to their home. By pairing experienced NICU case managers with parents and providers, this program creates a comprehensive plan to safely reduce hospital stays and send high-risk infants home sooner.

We are continually working to improve our members’ health through partnerships that address prenatal care, prematurity, asthma, diabetes, childhood obesity and other health concerns.

Poverty is one of the strongest predictors of poor health for individuals, families and communities and a major focus for CareSource. It heavily influences stress levels and increases the likelihood of developing diabetes, obesity and heart disease.

By supporting anti-poverty resources and opportunities, we commit to transforming our members’ health for generations to come by addressing immediate needs—safety, food, housing and access to care. And then we reach further to provide a safety net of ongoing support by educating community leaders, connecting with human service networks and being a strong voice for those who need us most.

The CareSource Foundation, in partnership with Think Tank, Inc., supported the statewide "Cost of Poverty Experience," simulations that take leaders from business, education, government, faith, non-profit and philanthropy through real-life situations of actual families living in poverty. As a result, there has been increased awareness, changes in public policy and the promise of greater focus on the plight of the poor.

Home foreclosures in Ohio stand at record rates with a majority attributed to overwhelming medical costs. With more than 1.2 million Ohioans without health insurance, the parallels are unmistakable.

Without access to regular preventive care, patients turn to hospital emergency rooms. According to the American Hospital Association, ER usage in Ohio is 34% higher than the U.S. average. That means higher costs for everyone.

CareSource partners with non-profit organizations and providers to help Ohioans get the health care they need. For example the Montgomery County Care program, our two-year partnership with Montgomery County and Community Health Centers of Greater Dayton, has strengthened the safety net for underserved residents in the Dayton region by providing free and reduced co-pay medical services, medications, care supplies, and chronic disease case management. Members report using emergency departments less often due to the affordability of our primary care co-pays.

Fiscally responsible. Faithful stewards.

In 2011, CareSource served more members than ever before which allowed us to understand the needs of Ohio’s Medicaid population more clearly. As a result, more than 91% of our revenue was reinvested to expand health services for our members. We worked with critical partners—state legislators, community health advocates, providers and board members—to implement innovative strategies that support the most vulnerable populations. And our hard work paid off. In the 2011 Consumer Assessment of Healthcare Providers and Systems survey (CAHPS), CareSource was deemed the highest rated Medicaid health plan in Ohio for connecting children, families, people with disabilities and the elderly to quality care. We were also named AMVETS Department of Ohio Veterans "Employer of the Year" for our job training program with war veterans.

Community Outreach

CareSource is clearly passionate about our members—both on and off the clock. Our employees and board members contribute and volunteer in record numbers to create a positive impact in our communities.

In 2011, our 1125 employees and 15 board members:

• Contributed more than $125,000 to United Way – a 9% increase from 2010
• Collected more than two tons of canned goods for food banks throughout Ohio and Michigan
• Volunteered on boards, committees and events for more than 120 non-profit organizations
• Provided 88 volunteers for the annual Rebuilding Together home rehab day
• Participated in the annual United Way Day of Action
• Earned the Lifesaving Ambassadors Club award for donating more than a hundred pints of blood
• Contributed $201,000 to 52 organizations through the Charitable Board Credits program
• Reached out in multiple, meaningful ways to the most needy in their neighborhoods, churches, schools and communities
• Gave $60,000 through the employee-driven People’s Choice grant program

Strength in community

The CareSource Foundation reached an exciting milestone in 2011—our fifth anniversary! Since 2006, the Foundation has invested more than $4.2 million in grants to 428 non-profit organizations throughout Ohio and Michigan. Our grantees have been amazing, strategic partners as we work together on critical health and human issues.

The individual outcomes of our grants truly inspire us the most. We are excited to reunite families. Master innovative approaches for keeping children healthy. Feed the newly poor. Provide shelter to families in transition. Give our senior adults the care and respect they have earned. Send low-income students to college and foster their success. Create opportunities for people living with disabilities. And educate entire communities on the implications of poverty.

Five years ago we could only imagine it. Today, we are working together to create a world of hope and possibilities.

Cathy Ponitz
CareSource Foundation
Executive Director

• Adaptive Sports Program of Ohio $5,000
• Abilities First Foundation $8,000
• Achievement Centers for Children $5,000
• Adoption Network Cleveland $5,000
• Advocates for Basic Legal Equality (ABLE) $5,000
• AIDS Resource Center Ohio $12,500
• Akron Children's Hospital $5,000
• Alzheimer's Association: Cleveland $5,000
• American Diabetes Association: Michigan $4,500
• American Heart Association $5,000
• Asian Services in Action $10,000
• Aurora Project $5,000
• Battered Women's Shelter: Akron $5,000
• Baxter Community Center $6,000
• Berrien County Health Department $2,000
• Boonshoft Museum of Discovery $5,000
• Boys and Girls Club of Dayton $7,500
• Brigther Beginnings $5,000
• Catholic Charities of Cleveland $5,000
• Catholic Charities of Toledo $5,000
• Charitable Union $5,000
• Cherry Street Mission $7,500
• CHOICES, Inc. $7,500
• Clothes that Work $8,000
• College Mentors for Kids $5,000
• Columbus Speech & Hearing Center $7,000
• Communication Service for the Deaf $5,000
• Crayons to Classrooms $3,000
• Crossover Downtown Outreach Ministries $5,000
• Cystic Fibrosis Foundation of Cincinnati $5,000
• Elderly Persons in Community (EPIC) $5,000
• Enroll America $200,000
• Fairview Hospital/Westown Physician's Center $5,000
• Family & Community Resource Center $7,500
• Family Futures $5,000
• Family Outreach Center $7,500
• FOCUS (Family Outreach Community United Services) $5,000
• Food Bank of South Central Michigan $5,000
• Free Medical Clinic of Cleveland $15,000
• Goodwill Easter Seals of the Miami Valley $15,000
• Greenleaf Family Center $8,000
• Hannah's Treasure Chest $8,000
• Healthy Beginnings $10,000
• Healthy Homes Coalition of West Michigan $7,500
• Hearing, Speech & Deaf Center $5,000
• Hospice of NW Michigan $5,000
• House of Bread $7,500
• Humility of Mary Health Partners $7,500
• Joseph's Home $6,000
• Kids' Food Basket $8,000
• LEAP (Linking Employment, Abilities and Potential) $5,000
• Leukemia & Lymphoma Society: Tri-State Chapter $8,500
• LifeCare Alliance $8,000
• LifeSpan $5,000
• Linda Vista Project $7,500
• Little Brothers/Friends of the Elderly $5,000
• Local Matters $5,000
• Madison County Health Partners $7,000
• Manna Food Project $7,000
• Meals on Wheels of Stark & Wayne Counties $5,000
• Mercy Medical Center $5,000
• MetroHealth Foundation $7,500
• Mid-Michigan Medical Center $5,000
• MLK Kitchen for the Poor $6,000
• Mom's House Toledo $5,000
• Montgomery County College Promise $150,000

• National Alliance on Mental Illness (NAMI) $5,000
• National Multiple Sclerosis Society: Ohio Buckeye $5,000
• National Multiple Sclerosis Society: Ohio Valley $5,000
• Nationwide Children's Hospital Foundation $8,000
• Near Northside Material Assistance Program $6,000
• Neighborhood Church Clinic $5,000
• New Creation Counseling Center $10,000
• Ohio Association of Free Clinics $5,000
• Ohio Domestic Violence Network $8,000
• Ohio Health Foundation/Grady Memorial Hospital $8,000
• Ohio Parkinson Foundation, SW Ohio $5,000
• Omega Community Development $8,000
• One Way Farm of Fairfield $6,500
• Otterbein Homes $5,000
• PLACES, $5,000
• Planned Parenthood: Central Ohio $5,000
• Portage Community Center $5,000
• Portsmouth City Health Department $5,000
• Pregnancy Care of Summit County $5,000
• Prevent Blindness Ohio $10,000
• Project Chatter $5,000
• Project Woman $6,000
• Providence House $6,000
• Reach Out of Montgomery County $10,000
• RiverScape River Run $250,000
• Rockford Center $7,500
• Ronald McDonald House of the Miami Valley $7,500
• Ronald McDonald House of West Michigan $5,000
• South Community $10,000
• Spanish American Committee $5,000
• Suicide Prevention $5,000
• Suicide Prevention Alliance $4,500
• SW Ohio Hemophilia Foundation $2,000
• The Drop Inn Center $5,000
• The Hope Foundation $8,000
• The Potter's House $7,000
• TOPS (Training on Prevention Services) $2,500
• UHCAN (Universal Health Care Action Network) $15,000
• United Rehabilitation Services of Greater Dayton $10,000
• Valley Counseling Services $5,000
• Visiting Nurse Association of Ohio $5,000
• Visser YMCA Grand Rapids $5,000
• Voices for Ohio's Children $5,000
• VSA Arts of Michigan $5,000
• Warren County Community Services $5,000
• Women's Center: Cleveland $5,000
• YMCA of Greater Dayton $7,000
• Youth Challenge $5,000
• YWCA Cincinnati $5,000
• YWCA of Dayton $15,000

2011 CareSource Highlights

As one of the top 20 fastest growing companies in the Dayton region, CareSource has grown to be the largest Medicaid managed care plan in Ohio and the 2nd largest in the country. 2011 was indeed a memorable year.

Key Facts

• Highest rated Medicaid health plan in Ohio according to 2011 results from the Consumer Assessment of Healthcare Providers and Systems survey (CAHPS)
• More than 910,000 members in Ohio and Michigan
• Low administrative rates with more than 91% of revenue spent on medical services
• #10 on Training magazine’s Top 125 training organizations list
• 1,200 employees in offices in Dayton, Columbus and Cleveland
• 13% increase of new hires from 2010 to 2011; adding 415 new jobs in 2012 (Ohio)
• Dayton Business Journal’s Top 10 Healthiest Employers
• $2 billion spent statewide with key vendors and suppliers
• Nearly 1 in 5 children in Ohio are covered by CareSource
• AMVETS Department of Ohio Veterans "Employer of the Year"
• More than 25,000 providers in our network, including 203 hospitals
• Foundation awarded 114 grants for $1.42 million
• Strong HEDIS performance measures in prenatal care, preventative health and access to primary care

2011 Financial Statistics*

Revenue	$2,792,274,000
Net Income	$125,977,000
Total Net Worth	$432,843,000

*Includes Ohio and Michigan