Lancaster General Medical Group

“Marc s. Russo, md - business relationship, eric l. Esch, md - business relationship, john j. Yoder, md - business relationship”

“The sole member of lancaster general medical group is lancaster general health. The sole member may initiate or implement any proposal with respect to any of the following; amendment of charter, certificate of articles of incorporation or bylaws; sale, purchase, lease or encumbrance with debt; the transfer of any assets of the corporation, excluding equipment; election or removal of the board of trustees of the corporation; the approval of the annual operating and capital budgets of the corporation; the approval of investment advisors, outside legal counsel, and auditors of the corporation; and the approval of non-budgeted expenditures.”

“Lancaster general health elects the board of trustees of lancaster general medical group.”

“The sole member of lancaster general medical group is lancaster general health. The sole member may initiate or implement any proposal with respect to any of the following; amendment of charter, certificate of articles of incorporation or bylaws; sale, purchase, lease or encumbrance with debt; the transfer of any assets of the corporation, excluding equipment; election or removal of the board of trustees of the corporation; the approval of the annual operating and capital budgets of the corporation; the approval of investment advisors, outside legal counsel, and auditors of the corporation; and the approval of non-budgeted expenditures.”

“Lancaster general health (ein# 23-2250941) is the parent organization of multiple affiliates including lancaster general medical group.”

“The cfo, the vice president-controller and the director of accounting reviewed the form 990. In addition, the members of the governing body were given the opportunity to view the 990 online via the board portal system prior to the electronic filing.”

“In order to ascertain and evaluate actual or potential conflicts, certain interested person are required to fill out a conflict of interest disclosure statement upon entering employment or becoming a trustee of lancaster general health or an affiliate, and others are also required to fill out such a statement on an annual basis. In addition to this requirement, all officers and trustees, regardless of whether or not they have filled out or have been asked to fill out a conflict of interest disclosure statement, have an ongoing affirmative duty to bring to the attention of lancaster general health, situations which may give rise to an actual or potential conflict of interest as described in the policy.”

“The organization has the policies and procedures in place as mentioned in form 990, part vi, line 14. However, they are not currently approved by the governing board.”

“Lancaster general health's executive compensation process includes the following review and action by the executive committee of the board of trustees which is comprised of independent trustees. An evaluation of performance against goals is conducted at the close of a fiscal year to determine the level of organizational and individual performance of the ceo and senior executives so as to determine merit and incentive pay actions. Market data for base salary, total cash compensation and total compensation is provided by an independent third party to the committee and reflects a market basket of similarly sized organizations with comparable executive positions. Upon review and discussion of the related data and information the committee takes action which is recorded in the meeting minutes which are then filed for future reference.”

“Lancaster general health's executive compensation process includes the following review and action by the executive committee of the board of trustees which is comprised of independent trustees. An evaluation of performance against goals is conducted at the close of a fiscal year to determine the level of organizational and individual performance of the ceo and senior executives so as to determine merit and incentive pay actions. Market data for base salary, total cash compensation and total compensation is provided by an independent third party to the committee and reflects a market basket of similarly sized organizations with comparable executive positions. Upon review and discussion of the related data and information the committee takes action which is recorded in the meeting minutes which are then filed for future reference.”

“Lancaster general medical group does not make the governing documents, conflict of interest policy, or financial statements available to the public.”

“The hours noted in column (b) relate to the hours dedicated to the filing organization and/or to other organizations within the lancaster general health system. The hours disclosed relate to time served on a board and/or for services provided resulting in compensation paid.”

“Members of the board are not compensated for their position on the board. Compensation disclosed relates to other services performed.”

“In july 2012, lancaster general medical group adopted the provisions of asu 2011-07 "presentation and disclosure of patient service revenue, provision for bad debts, and the allowance for doubtful accounts for certain health care entities." the asu requires health care entities to present the provision for bad debts related to patient service revenue as a deduction from patient service revenue on the face of the combined statements of operations and changes in net assets. With that said, bad debt of $1,299,004 is included on form 990, part i, line 9 for the current reporting year.”

“Related party contribution - 29666250; other non-operating income - 1245700;”

“Lancaster general medical group's financial information was included in a consolidated audit of lancaster general health.”