Baystate Medical Practices Inc

“Baystate medical practices, inc. (bmp) is part of an integrated delivery system including not for profit community hospitals, which have community boards. Bmp is a physician organization, which supports baystate health and its affiliates and is comprised primarily of bmp employees. This board structure has not changed significantly since the organization applied for exempt status.”

“Two or more of the persons listed in this form 990 part vii have a business relationship with each other by virtue of sitting on one or more boards of directors or by serving in an employment relationship with one or more entities in the baystate group of affiliated entities and in the community.”

“Baystate medical practices, inc is affiliated with baystate administrative services, inc. (bas) which is a 501(c)(3) organization. Information technology, human resources, finance, treasury, accounting and other management and support functions are delegated to bas.”

“The members of the filing organization are physicians, all of whom who have medical staff appointments at a baystate health, inc. (bh) hospital affiliate, provide at least 1,000 hours of professional service annually on behalf of the filing organization, and are parties to a membership agreement with the filing organization approved by the board of directors.”

“The board of directors consists of 23 directors, 7 of whom are either appointed by baystate health, inc. (bh) or serve ex officio based on positions they hold with bh, and 16 of whom are at large directors elected by the members of the filing organization.”

“The bylaws of the filing organization provide that the following matters approved by the board of directors are also subject to the approval of baystate health, inc. (bh): (1) the filing organization's annual budget, (2) the form and content of agreements with members and other employees of the filing organization for their compensation and benefits, (3) policies regarding personal time, sick time, leaves of absence, hours of work, and number of working days, (4) the establishment of reserves to meet any unusual expense, loss, or anticipated year-end expense or a discretionary fund to support the filing organization's educational and research programs, (5) any pledge of the filing organization's credit, the borrowing of any money, or the execution of any promissory note by the filing organization, (6) amendments to the bylaws of the filing organization, with the exception of certain technical amendments.”

“Prior to filing the form 990, appropriate sections were reviewed by the tax, finance, and human resources areas of baystate health, inc. (the parent organization of the health care system to which the filing organization belongs) and by outside legal counsel. The form 990 was also reviewed by tax experts from an independent accounting firm and signed-off as a paid preparer. The process, key areas and any new changes were reviewed prior to filing with the baystate health audit and compliance committee (acc). The acc members had an opportunity to ask questions regarding the tax compliance process and the tax filings in general. The form 990 was provided to all members of the baystate health board of trustees prior to filing.”

“Baystate medical practices, inc is an affiliate of baystate health, inc (bh). Bh and its affiliated entities have a comprehensive conflict of interest policy applicable to all of the affiliated entities. All directors, trustees, officers, key employees, and highest compensated employees of bh and its affiliates are asked to complete an annual "conflict of interest" form. We utilize an electronic database to receive and manage all conflict of interest submissions. This information is reviewed by the chief compliance officer, chief executive officer, chair of the board of trustees, chief general counsel and the chair of the audit & compliance committee. A summary of the conflict of interest disclosures is provided to the baystate health board of trustees and the tax department. Potential conflict of interest transactions are reviewed as appropriate under the policy, which provides for recusal from discussion and deliberation by any party with a potential conflict of interest.”

“The compensation of the president is paid by baystate administrative services, inc., an affiliate and related organization of the filing organization. The compensation is reviewed and determined annually by the human resources committee of baystate health, inc. (the parent organization of the health care system to which the filing organization belongs). This committee consists entirely of individuals serving on the board of baystate health, inc. The individuals responsible for deliberating the compensation arrangement for the president would be those individuals who do not have a conflict of interest with respect to the compensation arrangement and would be considered independent for compensation deliberation purposes. The compensation of the president is established based on information provided by independent third party consultants for reasonableness and appropriate comparability data. The compensation is then established, reviewed and approved by the duly authorized compensation committee of baystate health, inc. The compensation of the senior vice president, finance, cfo and treasurer is paid by baystate administrative services, inc., an affiliate and related organization of the filing organization. The compensation is reviewed and determined annually by the human resources committee of baystate health, inc. (the parent organization of the health care system to which the filing organization belongs). This committee consists entirely of individuals serving on the board of baystate health, inc. The individuals responsible for deliberating the compensation arrangement for the senior vice president, finance, cfo and treasurer and of other officers would be those individuals who do not have a conflict of interest with respect to the compensation arrangement and would be considered independent for compensation deliberation purposes. The compensation of the senior vice president, finance, cfo and treasurer is established based on information provided by independent third party consultants for reasonableness and appropriate comparability data. The compensation is then established, reviewed and approved by the duly authorized compensation committee of baystate health, inc. The compensation of other officers and key employees of the filing organization is determined in accordance with the executive compensation philosophy statement, in consultation with human resources, based on the baystate health board approved budget and wage program for each fiscal year.”

“The organization makes its conflict of interest policy and financial statements available to the public at www.baystatehealth.org. Articles of organization and bylaws are generally available at the commonwealth of massachusetts website.”

“Certain officers or directors of the filing organization are paid by an entity, baystate administrative services, inc. (bas) ein 22-2747685, which is part of the health care system to which the filing organization belongs but does not meet the technical requirements as a "related organization" per schedule r. Compensation from bas to the officers and directors of the filing organization therefore, is reported as paid from an unrelated organization in line 5 and according to the instructions reported as though paid by the filing organization.”

“Purchased services-md: program service expenses 78,615,042. Management and general expenses 3,383,417. Fundraising expenses 0. Total expenses 81,998,459. Purchased services-nurse practitioners: program service expenses 317,018. Management and general expenses 13,644. Fundraising expenses 0. Total expenses 330,662. Billing/collection: program service expenses 0. Management and general expenses 602,073. Fundraising expenses 0. Total expenses 602,073. Transcription/access services: program service expenses 5,682,455. Management and general expenses 244,560. Fundraising expenses 0. Total expenses 5,927,015. Purchased services-clerical/temp help: program service expenses 755,656. Management and general expenses 32,522. Fundraising expenses 0. Total expenses 788,178. Purchased services-other health: program service expenses 2,395,640. Management and general expenses 103,103. Fundraising expenses 0. Total expenses 2,498,743.”

“Net transfers (to)/from affiliates 75,000,000. Minimum pension liability adjustment 73,563,912.”