Healthcare nonprofits spend millions in federal funds, operate in secrecy

In a two-part series, Clark Kauffman of The Des Moines Register examined the Iowa Foundation for Medical Care, the largest of 53 federally funded Quality Improvement Organizations. The newspaper found that the tax-exempt Iowa foundation, which investigates complaints of poor patient care received by Iowa's 500,000 Medicare beneficiaries, reviewed only 12 complaints in 2005. That same year, the foundation spent $85 million and handed out more than half a million dollars to two former executives as severance pay. The Register also reported on the salaries and complaint investigations at all of the nation's QIOs, many of which operate as tax-exempt nonprofits.