Aultman Health Foundation Group Return

“Edward j. Roth iii and harry c.c. Macnealy have a business relationship. Jacqueline degarmo and chris remark have a business relationship.”

“Aultman hospital (ah), the aultman foundation (taf), aultman orrville hospital (aoh), aultman north canton medical group (ancmg), aultman alliance community hospital (aach) and caring hands, inc. (chi) have a single member, aultman health foundation (ahf). Ahf has a right to participate in each organizations' goverance and approve significant decisions of each organizations' board of directors. Aultman college of nursing and health sciences (acon) has a single member, aultman hospital (ah). Ah has the right to participate in acon's governance and approve significant decisions of the acon's board of directors.”

“Ah's sole member, ahf, has the right to elect the ceo of ah, who shall be the president of ah and an ex-officio voting member of the board of directors of ah. Ahf also elects its own members, from which it nominates members for the ah board of directors. Ah directors shall be members of the ahf board of directors. Ahf also has the power to ratify ah's board of directors selection or removal of officers. Acon's sole member, ah, has the right to elect, evaluate, reappoint, and remove all directors of the acon board including the filling of any vacancies. Taf's sole member, ahf, has the right to appoint all the directors of the taf's board. Aoh's sole member, ahf, has the right to appoint or replace the directors of aoh's board from a slate of candidates presented by aoh's board. Aach's sole member, ahf, has the right to appoint or replace the directors of aach's board. Chi's sole member, ahf, has the right to appoint or replace the directors of chi's board. The sole member of ancmg is ahf. Ahf, as sole member, has the reserved power to elect or appoint board members.”

“Ah's sole member, ahf, has the following approval rights, whether reserved to it or subject to approval by it: approval of the annual budget, bylaws, articles of incorporation, borrowing, lending, all mergers and acquisitions, and executive compensation; election of a ceo, who serves as the president of ah and an ex-officio voting member of the board of directors of ah; ratification of the election and removal of officers, except for vice presidents; and the election of the ahf directors, from which it nominates directors for ah's board. Acon's sole member, ah, has the following approval rights: the sale of substantially all of the assets of acon, mergers or affiliations; the formation of subsidiaries and the dissolution or divestiture of the same; any action or failure to act that could adversely impact the tax-exempt status of acon, the dissolution or divestiture of the same; any action or failure to act that could adversely impact the tax-exempt status of acon, compliance with federal or state law, or the ability of the member to obtain payment of certain costs under applicable medicare reimbursement regulations; the borrowing of money for capital purposes or for any purpose not involving day-to-day operations of acon; the purchase, sale, lease (as lessee or lessor) or disposition of real property of acon; the appointment of fiscal auditors; the adoption, altering, amending, or repealing of the articles of incorporation and code of regulations; the liquidation, dissolution, winding up or abandonment of acon; the approval of the acon's strategic plan, upon the recommendation of the acon board; the review and approval of all yearly capital and operational budgets of acon, upon the recommendation of the acon board; and any other matters reserved for the member under ohio law. Taf's sole member, ahf, must approve by resolution of the ahf board or executive committee of the board, the following actions of taf's board: adoption of the strategic plan; approval of the annual budget; amendment or restatement of the articles of incorporation; incurrence of debt outside of the financial thresholds established by the sole member; and indemnification of an officer or director of taf. Aoh's sole member, ahf, has the right to approve the following action of aoh's board: amending or restating the articles of incorporation or the code of regulations; effecting a merger, consolidation, affiliation or change in control with an entity not affiliated with the member; executing the sale, transfer, exchange or other disposition of greater than 5% of aoh's assets; effecting partial or total dissolution; and incurring any debt or indebtness on behalf of the hospital. Only the sole member has the authority to take the following actions: approving appointment or termination of the president and ceo of aoh and giving the final approval of the annual operating and capital budget of aoh. Aach's sole member, ahf, has the right to approve the following action of aach's board: amending or restating the articles of incorporation or the code of regulations; effecting a merger, consolidation, affiliation or change in control with an entity not affiliated with the member; effecting a sale, pledge, hypothecation, transfer, exchange or other disposition of assets having a fair market value in excess of 5% of the book value of aach's assets; effecting partial or total dissolution; and incurring any debt or indebtedness on behalf of the hospital. Only the sole member has the authority to take the following actions: approving appointment or termination of the president and ceo of aach and giving the final approval of the annual operating and capital budget of aach. Chi's sole member is ahf. Chi's board must seek the prior approval of the member to take any action or practice or cause. Ahf, as sole member of ancmg, has the reserved power to approve any change in the organization's mission or purpose, approve any amendment to the organization's articles of incorporat”

“The form 990 was prepared by an independent cpa firm based on information provided by aultman health foundation's finance department. Ahf's finance department carefully reviewed and analyzed the tax return. The department reconciled the general ledger amounts to the appropriate schedules on the form 990 and compared those amounts to the audited financial statements. In addition, the finance department did a comparative analysis to the prior year return. The analysis and reconciliation schedules along with a complete copy of the 990 were provided to the chief financial officer for review and approval. A complete copy of the 990 was then made available to the boards of directors through a secure internet portal prior to the filing date.”

“The boards of directors have a conflict of interest policy. As a result of this policy, each year board members, officers, and senior staff complete a form disclosing any conflicts of interest they may have. The compliance officer reviews these disclosure forms and informs the board chairman, and other appropriate officers, of notable conflicts, if any. Those with conflicts are asked to recuse themselves from discussions relating to the conflict.”

“The aultman health foundation and its affiliated entities use the following reference materials for the development of executive compensation: ohio hospital association (oha), mercer integrated health network, including survey data for both hospitals and health plans, and sullivan cotter and associates (sca) and college and university professional association for human resources (cupa). Additional sources of salary survey data are available for use where appropriate including compdatasurveys.com, salary.com, and champs. In these cases, the survey is referenced where applicable. Executive performance, wage recommendations and bonus payments are reviewed by the ceo prior to review and approval by the compensation committee of the aultman health foundation board of directors. The ceo's compensation is also reviewed and approved by the compensation committee of the aultman health foundation board of directors. The aultman health foundation has engaged sullivan cotter and associates, inc., an independent compensation consulting firm, for review of executive compensation practices. The aultman health foundation and its affiliated entities use the following reference materials for the development of physician compensation: medical group management associates (mgma), american medical group association (amga), hospital and healthcare compensation service (hhcs) and sullivan cotter and associates (sca). In addition to salary surveys, aultman hospital also retains an independent consulting firm for physician compensation services. All physician compensation recommendations are sent to the ceo for final approval.”

“Aultman health foundation and subordinate organizations make their governing documents, conflict of interest policies, and financial statements available to the public upon request.”

“(continued from form 990, page 2.) aultman continuously invests in facilities and technology to improve patient care. Aultman provides educational opportunities for students in high school, college, medical school and residency programs. Through outreach efforts including the working on wellness (wow) mobile health unit, aultman offers health and wellness education for our community. Aultman is one of the lowest-cost health care providers in northeastern ohio, helping local businesses stay financially healthy and maintain good jobs in our community. In recognition of the hospital's low-cost and high-quality philosophy, aultman has earned accolades including being ranked as one of the best hospitals for 2018-2019 in ohio by u.s. News and world report, being named one of the nation's 50 top cardiovascular hospitals by truven health analytics and earning the "magnet" designation for nursing excellence three times. The mission of aultman orrville hospital is "to lead our community to improved health." aultman orrville hospital has been meeting the health care needs of eastern wayne county for more than sixty years. Aultman orrville hospital cares for all patients, regardless of their ability to pay. Aultman orrville hospital continuously invests in facilities and technology to improve patient care. Through outreach efforts, including the working on wellness mobile health unit, aultman orrville hospital offers health and wellness education for our community. Aultman orrville hospital is a low-cost health care provider in northeast ohio, helping local businesses stay financially healthy while fostering employment jobs in our community. Aultman alliance community hospital (aach) has been leading alliance and its surrounding communities to improved health for more than a century. Since 1901, aach has been dedicated to providing quality care, close to home, through a wide array of general and specialty services that's always expanding and improving and administered by more than 150 active and covering physicians. In order to strengthen the local services, aach entered into a member substitution agreement to become a subsidiary of the aultman health foundation in 2018. Aach services center around holistic, compassionate health care in a homelike, healing setting. Aultman college of nursing and health sciences (acon) is a health-system affiliated institution of higher learning committed to meeting the needs of nursing and allied health students by providing a coherent, general and professional educational experience to prepare individuals for service and leadership roles. With more than 100 years of nursing education experience, acon offers multiple accredited programs; as/bs in health sciences, as in nursing, as/aas in radiography, bachelors of social work and bsn (pre- and post-licensure). The aultman foundation (taf) will raise and administer funds in order to support and promote education and wellness outreach programming that will improve the health of the community. The aultman foundation partners with other nonprofit organizations to provide grants to help support projects that promote wellness, health education, and human services. Aultman north canton medical group (ancmg) leads our community to improved health through providers dedicated to delivering high-quality, compassionate care. Aultman north canton medical group is a multispecialty group dedicated to the betterment of the health and well-being of patients, community, and health system. Caring hands inc. (chi) provides basic, cost efficient, community-based home care aide services which enable our clients to remain in their homes to live a full and satisfying life. Qualified personnel anticipate and respond to client needs through existing services and the development of new programs and services in an ever-changing environment. Personal care and home-making services, including 24/7 care, errand running, prescription pick-up and maintaining an emergency response system ar”

“The organization acquired alliance community hospital (aultman alliance community hospital) and caring hands inc. During 2018.”

“Other fees: program service expenses 62,420,178. Management and general expenses 13,681,569. Fundraising expenses 0. Total expenses 76,101,747.”

“Interfund transfers 520,014. Aultman alliance community hospital net assets 66,648,917. Caring hands net assets -130,000.”

“This group return contains the activity of all the subordinate organizations included under group exemption number 6141 of the aultman health foundation. These subordinates are as follows: aultman hospital (34-0714538) aultman college of nursing and health sciences (20-1359433) the aultman foundation (20-8090459) orrville hospital foundation dba aultman orrville hospital (34-0733138) aultman north canton medical group (34-1088530) alliance community hospital (34-0714581) caring hands, inc. (34-1505340)”

“Aultman health foundation group return employer identification number: 32-0483994 for the year ending december 31, 2018 aultman health foundation group return is making the de minimis safe harbor election under reg. Sec. 1.263(a)-1(f).”