Saint Alphonsus Health System Inc.

“The sole member of saint alphonsus health system, inc. Is trinity health corporation. See line 7 for additional information.”

“Trinity health corporation is the sole member of saint alphonsus health system, inc. Trinity health corporation has the right to appoint all persons to the board of trustees of saint alphonsus health system, inc.”

“As sole member, trinity health corporation must approve certain decisions of the governing body, including the strategic plan, annual capital plan, and annual operating budget. Trinity health corporation must also approve significant changes such as a merger, dissolution, sale of assets in excess of certain limits, a material change in mission, and modifications to governing documents.”

“Prior to filing, the form 990 for saint alphonsus health system, inc. Is reviewed by senior management. In addition, certain key sections of the form are reviewed by the finance committee as well as the board of trustees. The board receives a copy of the return in its final form before it is filed with the internal revenue service.”

“Saint alphonsus health system, inc. Has adopted a conflict of interest policy which contains the elements in the model conflict of interest policy issued by the irs. It applies to all "interested persons" of saint alphonsus health system, inc., which includes trustees, principal officers and executives, and members of committees with board designated powers. Interested persons are required to act at all times in a manner consistent with saint alphonsus health system inc.'s charitable purpose and service to the community and to avoid conflicts of interest. Interested persons are required to make full disclosure to saint alphonsus health system, inc. Of any financial or business interests that might result in or have the appearance of a conflict of interest. Interested persons are required to recuse themselves from discussion and voting on matters involving a conflict of interest. The board of trustees of saint alphonsus health system, inc. Is responsible for the review and approval of transactions with interested persons, including determining that such transactions are fair and reasonable to saint alphonsus health system, inc. On an annual basis, interested persons are required to complete a conflict of interest disclosure statement and to affirm their receipt of the conflict of interest policy, compliance with its requirements, and agree to notify the organization of changes impacting their annual disclosure in accordance with the policy. The annual disclosures are reviewed with the board of trustees of saint alphonsus health system, inc. On a yearly basis.”

“Questions 15a and 15b are answered "no" because the compensation for saint alphonsus health system, inc's ceo, officers, and key management officials is established and paid by trinity health, a related organization. Trinity health follows a process and policy that is intended to mirror the irc section 4958 guidelines for obtaining a "rebuttable presumption of reasonableness" with regard to compensation and benefits. As part of that process, the compensation and benefits of certain officers and key management officials of saint alphonsus health system, inc. Are reviewed at least annually by the trinity health board or the trinity health human resources and compensation committee (hrcc) of the board, authorized to act on behalf of the board with respect to certain compensation matters. As part of its review process, the hrcc retains an independent firm experienced in compensation and benefit matters for not-for-profit healthcare organizations to advise it in the determinations it makes on the reasonableness of proposed compensation and benefits arrangements.”

“Saint alphonsus health system, inc. Is a subsidiary organization in the trinity health system. Trinity health makes certain of its key documents available to the public on its website, www.trinity-health.org, in the "about us" section. In this section, the consolidated audited financial statements are publicly available. Saint alphonsus health system, inc's governing documents and conflict of interest policy are available upon request.”

“Saint alphonsus health system, inc.'s financial statements were included in the fy14 consolidated financial statements of trinity health, which were audited by an independent public accounting firm.”