2020 Report to the Community: Challenge and Hope in a Year Like

Challenge and Hope in a Year Like No Other 2020 Report to the Community From the President and CEO From the Chairman of the Board As I look back on 2020, it truly was “a year like no other.” When coronavirus As chairman of Covenant Health’s Board of Directors, it is my cases increased in our region, we joined our communities in a roller-coaster pleasure to extend greetings on behalf of my fellow Board members. of challenges, from preparing our staff and facilities to care for COVID I have served on the Covenant Health Board since 2010 and patients and their families to helping our own employees, many of whom have had the privilege of being the chairman for the last three faced personal losses and unexpected financial needs. years. During this time, I have visited each of our medical centers I want to say a very heartfelt “thank you” to our communities, who lifted our throughout East Tennessee to meet the leadership teams, spirits through prayers, messages of thanks, donations of food and masks, physicians and support teams. I left each visit deeply impressed by and much more. Your kindness and generosity continue to inspire us and their passion for excellence in all that they do, and their dedication remind us of our ongoing mission to improve the quality of life in our region to providing the highest quality of care to the over two million through better health. patients Covenant Health serves annually. Jim VanderSteeg James J. Fitzsimmons As healthcare providers, we learned a great deal during 2020. We have The 2020 COVID-19 pandemic was a true test of Covenant Health’s continually improved our patient care processes, learned how to care commitment to serving our communities by providing the highest more effectively for COVID-19 patients, and at the end of the year, we launched a robust plan quality of care under the most challenging circumstances. Our leadership, physicians, for distributing vaccines to our employees and to our communities. We have implemented new caregivers and support teams rose to this challenge at great personal risk to ensure that technology such as our “Helen” chat feature and telehealth services to help patients even if they are each of our patients received excellent care. unable to leave their homes. Our Board is made up of a talented group of community leaders and physicians who Despite the challenges and difficulties related to COVID-19, in 2020 we announced several exciting donate their time and expertise in service to Covenant Health. I know I speak for all Board partnerships, joint ventures and plans for the future: members when I say that we have a profound dedication to the health system’s not-for- • Covenant Health was named Dollywood’s strategic partner for healthcare. Similar to Covenant profit mission: improving the quality of life in our communities through better health. Health, Dollywood is committed to quality. The theme park welcomes about 3 million visitors each We serve on the Board because we want to be part of an organization that truly makes a year, and we are honored to collaborate with Dollywood to enhance guests’ experiences through difference in the lives of people in our region. support of the park’s safety team and other healthcare initiatives. The Board has a great deal of pride in Covenant Health – its leaders, employees, physicians • We announced a partnership with Acadia Healthcare to build a new inpatient behavioral hospital and volunteers, and its Pledge of Excellence in all endeavors. Covenant Health is well in Knoxville to help meet our region’s ongoing need for mental health services. recognized for achievements in quality and patient safety, for the integrity of our business • We announced a partnership with Encompass Health to renovate and expand the services of the operations, for our financial strength and for reinvesting in facilities and medical resources Patricia Neal Rehabilitation Center at Fort Sanders Regional Medical Center and to build a new in local communities. These achievements have been recognized by Forbes magazine, inpatient rehabilitation hospital on the Fort Sanders West campus in west Knoxville. which has named Covenant Health to several of its “Best Employer” lists six times. As Board • We announced plans for a new outpatient facility in south Knoxville that will include urgent care, members we proudly affirm the health system’s commitment to continued excellence in an outpatient diagnostic center, primary care services and physical rehabilitation. patient care and to making Covenant Health the first and best choice. It is truly a privilege to • Morristown-Hamblen Healthcare System announced plans to build a free-standing emergency serve our patients and communities. department and outpatient diagnostic center that also will include office space for physicians. In 2021 we will celebrate Covenant Health’s 25th anniversary, and I am looking forward to this important observance. As I think about our health system’s past and future, I am most grateful for our employees and their devotion to our patients, families and communities. In the pages of this report you will get a glimpse of this unwavering devotion during “an unprecedented year.” As always, we are James J. Fitzsimmons honored to serve our Tennessee communities and we thank you for trusting us with your care. Jim VanderSteeg Covenant Health 2020 Report to the Community A Year Like No Other 2020 ANNUAL REPORT TO THE COMMUNITY As 2019 drew to a close, Covenant Health hospitals had much to celebrate. Parkwest Medical Center had just opened its new Dogwood Tower, adding operating rooms, establishing a new surgery entrance and patient discharge area, and expanding the footprint of the hospital. Fort Sanders Regional Medical Center was beginning a year-long celebration of the hospital’s 100th anniversary and had completed the first phase of a major project: the opening of an expanded emergency department, with construction Our communities contributed more scheduled to continue on a new than 10,000 masks for patients and critical care unit in 2020. Covenant Health helps employees take extra precautions such as wearing visitors during our “10,000 Masks in The gift of hope arrived just before the holidays in the form of COVID-19 vaccines. personal protective equipment (PPE) to deliver safe care. Then came coronavirus. Health 10 Days” campaign. system administrators and clinical leaders began learning about and In March 2020, Covenant Health innovative ways to meet the settings. Covenant Health’s board of preparing for a possible influx of and other Tennessee hospitals challenges presented by coronavirus. directors and executive leadership COVID-19 patients, and began temporarily paused some outpatient When outpatient services and team acknowledged these challenges establishing procedures to assure services and elective procedures. elective procedures resumed, we and expressed gratitude through that safe care would continue for all Administrators and clinical caregivers had strict screening procedures COVID relief bonuses and additional patients. began meeting regularly, developing and visitation guidelines in place for paid time off for employees. our hospitals, nursing homes and The year ended with hope on physician practices. the horizon: the arrival of COVID-19 Because of the pause in outpatient vaccines. By Dec. 31, front-line services and procedures, many employees and medical staff at our employees’ hours were reduced acute-care facilities had opportunities for a portion of the year. Covenant to receive the vaccine, with distribution Health leaders recognized a need expanding throughout the system and Employees checked temperatures and for emergency assistance and into our communities in 2021. asked COVID-19 established a COVID relief fund While it was a difficult and screening questions of of $2 million for employees facing challenging year for healthcare everyone who entered unexpected financial needs. organizations around the world, our facilities. By the end of 2020, the volume including Covenant Health, it also was of COVID-19 patients across our a year rich in learning and abundant organizations was at an all-time high. blessings. In 2021, Covenant Health COVID-19 created challenges for will celebrate 25 years as a health employees in all areas of the health system. We look forward to that Fort Sanders Regional’s sterile processing department reprocessed N95 masks system, especially front-line workers celebration, and to continuing our for safe reuse. delivering patient care in high-risk care for the people of Tennessee. 2 3 Innovative Care for 2020 ANNUAL REPORT TO THE COMMUNITY Patients and Communities Daunting challenges New Recognition Program and honor that person. When a resulting from the for Veteran and Active patient has been identified as COVID-19 pandemic Military Patients having served, they are offered inspired creative solutions. In November 2020, Covenant a special pin and certificate This year Covenant Health established Health initiated a new program to thanking them for their service several initiatives to make sure our help identify veterans and active and sacrifice,” she said. patients continued to receive safe and military members as part of our “The first few weeks of this compassionate care. hospitals’ admission process. initiative proved very meaningful Clinical social worker for our staff who are veterans,” “Helen” Helps with Medical Cindy Winterberger, LMSW, she added. “I think about all the Appointments, Answers Patients’ has coordinated a military lives we are going to impact. Questions recognition program as part of her People who need and seek In 2020 Covenant Health launched responsibilities at Covenant Hospice, healthcare may receive a special “Helen,” a new interactive chat and was integral in introducing moment of thanks, and that assistant to help people navigate the military recognition program touches my heart. If not for the COVID-19 medical care without throughout Covenant Health. brave men and women who have Methodist Medical Center volunteer having to leave home.

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