Shore Road Radiology Associates PC

“The organization is a professional service corporation ("pc") with one shareholder. Under applicable nys law, only a licensed physician may hold shares in the pc. Dr. Jayanth rao, chair of radiology of nyu lutheran medical center/nyu hospitals center is the sole shareholder of the pc, and pursuant to a shareholder agreement among dr. Rao, the pc and the medical center, the shareholder has very limited authority. In particular, the shareholder may not transfer or encumber the shares or declare distributions without the express consent of the medical center.”

“The sole shareholder has the authority to appoint the directors and officers of the pc.”

“Pursuant to the shareholder agreement, dr. Jayanth rao has limited authority and all decisions are controlled by nyu lutheran medical center/nyu hospitals center.”

“The organization has answered this question "no" as there are no committees with authority to act on behalf of the governing body.”

“Description of the process used by management and/or governing body to review the form 990: 1. The organization's finance department gathers the supporting information based on the fiscal year's financial activity and prior year reporting. 2. The supporting information is provided to the organization's external tax advisor for review and comments. 3. The external tax advisor prepares a draft return which is then reviewed by the organization's finance department and director of tax for completeness and accuracy. This is an iterative process which may involve more than one review by the organization's external tax advisor. 4. The reviewed draft is presented to the nyu lutheran medical center/nyu hospital center's board of trustees' audit committee, as well as certain other officers for review. 5. Once approved by the audit committee, the form 990 is made available to the full board and then it is forward to the irs. Form 990, part vi, section b, line 12: the organization operates under the conflict of interest policy of its parent organization, nyu luthern medical center/nyu hospitals center. The president and sole director, dr. Jayanth rao, is required to disclose potential conflicts of interest on an annual survey/questionnaire submitted by the medical center's general counsel. The submitted questionnaire is reviewed by the medical center's general counsel to ensure compliance with the conflict of interest policy.”

“The organization operates under the conflict of interest policy of its parent organization, nyu hospitals center. The president and sole director, dr. Jayanth rao, is required to disclose potential conflicts of interest on an annual survey/questionnaire submitted by the hospital center's general counsel. The submitted questionnaire is reviewed by the hospital center's general counsel to ensure compliance with the conflict of interest policy.”

“Senior management at nyu langone medical center regularly reviews various objective data sources that factor into compensation for employed and contracted physicians and groups providing services to the organization. These sources include national and regional survey samples by physician clinical specialty, as published by sullivan cotter and as purchased from other consultants, which guide the establishment of fair market value for each physician's/group's compensation level in the organization. With respect to certain physicians who might be considered "luminaries or whose compensation falls into an outlier category in the clinical specialty, the organization seeks advice and opinions from outside consultants who specialize in this work. In addition, all employed and contracted physicians in the pc are required to have written contracts, signed by the physician and the director of the organization, delineating the duties for which they are being compensated. On a monthly basis, the physicians are required to submit time reports which document the time spent on various administrative, supervisory, teaching and clinical activities.”

“The taxpayer makes its form 990 and form 1023 available to the public by retaining a copy of each at its head offices. Any individual requesting a copy of these documents is provided that copy on the same business day. The organization's governing documents and confict of interest policy are available to the public upon request. The organization does not obtain audited financial statements so these are not made available to the public.”

“The organization operates under the whistleblower and document retention policy of its parent organization, nyu hospitals center center.”

“The compensation paid by the organization reported on part vii, section a & schedule j, part ii is for calendar year 2015 purposes, but only covers compensation from january 1, 2015 - august 31, 2015, which were reported as expenses on the organization's prior period form 990. The related party compensation includes compensation paid for the period covering september 1, 2015 - december 31, 2015, when the individuals were performing services for the faculty group practice at nyu school of medicine.”

“Shore road radiology associates, pc ("pc") is formed for the sole purpose of promoting health for the benefit of the community by serving a large and indefinite class. The organization promotes health by engaging in the profession of medicine and providing medical services, in a manner that is exclusively charitable within the meaning of section 501(c)(3) of the internal revenue code. The provision of medical services has been carried on since the inception of the organization in 1983. The pc operates in support of nyu lutheran medical center/nyu hospitals center. Nyu lutheran medical center/nyu hospitals center is a not-for-profit corporation organized under the laws of the state of new york, and a charitable, tax-exempt organization under section 501(c)(3) of the internal revenue code. Nyu lutheran medical center/nyu hosptials center is an acute care hospital that conducts charitable and hospital activities. The pc provides professional medical services to patients, without regard for the patient's ability to pay. The organization has adopted the charity care policy of nyu lutheran medical center/nyu hospitals center.”

“The organization's approved purposes are to engage as a professional service corporation in the rendering of those professional services that a physician duly authorized under the laws of the state of new york is authorized to render, including but not limited to rendering physician services at nyu lutheran, fka lutheran medical center, a division of nyu hospitals center, a new york not-for-profit corporation exempt from federal income tax under section 501(c)(3) of the internal revenue code.”

“Shore road radiology associates, pc ("radiology") was operated exclusively to support nyu lutheran medical center ("lutheran") by promoting health for the benefit of the community served by lutheran. Following lutheran's affiliation with nyu hospitals center ("nyuhc") on april 1, 2015, planning commenced to combine radiology's operations with the faculty group practice ("fgp") of the nyu school of medicine, an administrative unit of new york university, which is the sole member of nyu langone health system which is the sole member of nyu hospitals center. Effective september 1, 2015, radiology's operations were transferred to fgp. Additionally, on january 1, 2016, lutheran merged with and into nyuhc at which time radiology commenced operating exclusively to support nyuhc.”

“Shore road radiology associates, pc is a professional corporation that provides radiological services to nyu lutheran medical center/nyu hospitals center and the surrounding southwest brooklyn communities. Procedures include both diagnostic and therapeutic services, ranging from x-ray, ct, mri, nuclear medicine, ultrasound, mammography and vascular and other special procedures.”

“Shore road radiology associates, p.c. Is included in a combined audited financial statement for the year ending august 31st, 2016. The combined financial statements are prepared in accordance with generally accepted accounting principles in the united states of america ("gaap"). The combined financial statements include the accounts of nyu lutheran medical center/nyu hospitals center and all of its affiliated organizations. Per the instructions to the form 990, the organization is required to respond "yes" to part iv, question 12b if the organization is part of a consolidated financial statement. Since selecting "yes" to this question may be misconstrued, the taxpayer is attaching this explanation to its form 990.”

“Transfer from affiliate 482,988.”