Commonwealth Health Corporation Inc.

“Form 990 is placed electronically on a company website used to share information with board members. Each board member is provided access to this website and is asked to review form 990 prior to a designated date on which the return will be filed atleast two weeks of advance notice is given to board members so they may review the return”

“The commonwealth health corporation (chc) (applicable to the corporation and/or its affiliates) code of conduct explicitly states members of the board, administration, the medical staff and all employees are expected to avoid conflicts of interest further, it requires disclosure of any potential conflicts of interest in a timely manner. All individuals sign an acknowledgement upon employment that they have received a copy of the code of conduct, are familiar with its content and understand their responsibilities to avoid non-compliant activity. Chc's regulatory compliance commitiee (rcc) reviews and approves contracts for chc and/or its affiliates. The review is designed to identify potential conflicts of interest by board members and/or officers. Rcc members are prohibited from taking part in decision regarding transactions with which he/she has a conflict of interest. Annually, writien inquiry is made - by questionnaire - of board members and officers seeking disclosure of conflicts of interest or information that relates to family members. Transactions arising are reviewed by management as they occur.”

“Commonwealth health corporation uses independent consultants to annually review compensation of employee officers. Compensation-related determinations are conducted in accordance with applicable requirements of the internal revenue code and regulations to qualify for the presumption that the compensation is reasonable, including but not limited to approval by an authorized committee of the board of directors who do not have a conflict of interest, obtaining and relying on appropriate data as to comparability, and concurrent documentation of the basis for the compensation determinations.”

“Governing documents, conflict of interest policy and financial statements are only made available if required, and in the manner required, by a governing agency.”

“Chc and the medical center sponsor the health and wellness center ("center") on property adjacent to the greenwood mall in bowling green, kentucky. The center provides free health education services to the community and is staffed by registered nurses who answer questions, assist with free health screenings and coordinate other activities. Each month the center features a different free screening such as cholesterol, glucose, depression, hearing, or pulmonary function. Presentations and programs are provided during the week by a variety of healthcare providers. Support groups also meet at the center. Annually, chc and its corporate affiliates promote participation in the american cancer society's relay for life program and the american heart association's heart walk. In addition, chc and the medical center encourage physical activity by sponsoring the medical center 10k classic and children's classic, events which combine separate activities for those who want to walk or run competitively. Annually, over 2,000 individuals participate in the 10k and children's classic events. Annually, chc and the medical center sponsor a community-wide health and wellness expo at a local convention center. This event provides various health screenings and offers citizens concentrated access to both information regarding many community healthcare resources and to the staff who work with these community healthcare agencies. Chc and the medical center sponsor the women's center which provides for the special needs of women including healthcare services, personal education on self-examinations, exercise and nutrition, a luncheon service on women's health and professional concerns, and a newsletter. In addition, chc and the medical center sponsor the men's health alliance which offers members a variety of health-related benefits including annual health screenings. With the support of chc, the medical center is well equipped for the most common cardiac problems including the ability to perform cardiac catheterizations, open heart surgery and to provide cardiac rehabilitation. The medical center also offers chemotherapy and diagnostic radiography for cancer screening and treatment. Other services that can be provided on an outpatient basis include: eeg/emg, ekg, endoscopy, iv therapy, digital mammography, nuclear medicine, physical therapy, radiology (ct, ultrasound) respiratory therapy, and vascular studies. Chc's contribution to our communities ----------------------------------------------------------------------- displayed below is a detailed list of how over $63.3 million in benefits were provided directly to the community by commonwealth health corporation and its affiliates including: the medical center (bowling green and scottsville campuses), the medical center at franklin, commonwealth health free clinic, and commonwealth regional specialty hospital: charity care (free or discounted care for uninsured people whose incomes met certain poverty guidelines): $12,388,210 unpaid cost of medicaid: $9,036,469 health professional education (scholarships and funding for education): $4,998,681 community health services (includes the commonwealth free clinic, free community fairs, screenings, patient education classes and health and wellness projects): $5,100,049 subsidized health services (includes emergency care and behavioral health services for which reimbursements do not cover the full cost and kentucky provider tax to fund care): $5,692,697 financial and in-kind donations: $124,820 unpaid cost of medicare: $17,228,232 bad debt (services provided in which payment is expected, but never received, stated at cost): $7,846,107 community building activities: $892,258 total chc community benefit: $63,307,523”

“Consulting fees: program service expenses 1,639,421. Management and general expenses 0. Fundraising expenses 0. Total expenses 1,639,421. Billing fees: program service expenses 1,137,222. Management and general expenses 0. Fundraising expenses 0. Total expenses 1,137,222. Contract fees: program service expenses 4,986,511. Management and general expenses 780,951. Fundraising expenses 0. Total expenses 5,767,462. Purchased services: program service expenses 133,130. Management and general expenses 0. Fundraising expenses 0. Total expenses 133,130.”

“Transfer of assets -1,850,329.”