Shared Services Health Plan Trust

“The organizations' trustees have engaged a third-party administrator (tpa) to perform the day-to-day management functions of the trust and the underlying employee benefit plans. The trustees monitor the activities of the tpa as part of four (minimum) board meetings per year and also through financial reporting in the interim.”

“The organization is a trust for federal income tax purposes. Its application for tax exempt status under section 501 (c)(9) of the internal revenue code was approved on may 17, 2011, effective november 1, 2008. The trust was established by three participating member colleges (members) and shared services consortium, llc (ssc), an employer organization. The rights and obligations of each member and ssc are outlined in the shared services health plan trust agreement. Five additional member colleges joined in january 2012, january 2015, february 2015, june 2015, and august 2015. One member college joined in july 2018. One member college joined in july 2019 and another one in june 2020. One member terminated in december 2019. One member college joined in december 2020. Two members terminated in june 2024.”

“The board of directors is comprised of one representative for each participating employer. The participating employers appoint their respective board member.”

“The board currently does not have any committees, therefore, no minutes were prepared.”

“A draft copy of the form 990 was emailed to all board members prior to filing.”

“Board members must sign an annual disclosure form stating whether or not he/she has received a copy of the conflict of interest policy, has read and understands the policy, has agreed to comply with the policy, and understands the charitable nature of the organization. Family and business relationships are expressly stated in the conflict of interest policy as being possible sources of conflicts. The board as a whole monitors the policy although the policy states that outside advisors may also conduct periodic reviews. Any board member who has a conflict or the appearance of a conflict will not vote on matters related to the conflict.”

“The conflict of interest policy, governing documents, and financial statements are provided upon request.”

“The shared services health plan trust (sshpt) trustees are employees of the organizations participating in the shared services health plan. The trustees' compensation paid by these related organizations is attributable to their employment at these organizations and is not considered compensation related to their sshpt trustee function. Each of the participating organizations are institutions filing their own form 990. The compensation of the trustees is subject to the requirements of the participating organizations.”

“The modified cash basis of accounting is a comprehensive basis of accounting other than accounting principles generally accepted in the united states of america. Under the modified cash basis of accounting, only revenues collected, costs and expenses paid, and assets and liabilities arising as a result of cash transactions or from the recognition of income due from insurance companies for claims are recognized.”