Beacon Medical Group Inc.

Form 990, Part VI

“Beacon health system, inc. Is the sole corporate member of beacon medical group,inc. Form 990, part vi, section a, line 4: beacon medical group updated their corporate bylaws in 2019 to align the affiliate entities bylaws with the parent company, beacon health system. Changes included: 1. The treasurer officer position was eliminated 2. Term limits for directors was increased from two terms to three consectuive terms 3. The attendance policy was updated to require directors to attend at least 75% of board meetings (updated from 50%) form 900, part vi, section a, line 7a: the corporate member shall appoint the board of directors of beacon medical group, inc., and shall have such powers of advance approval regarding corporate actions as are delineated in the by-laws of beacon medical group, inc. Form 990, part vi, section a, line 7b: decisions of the board of directors must be approved by the corporate member. The corporate member has such rights and powers as: a. To make and approve changes to the corporation's articles and bylaws b. To appoint and remove the members of the corporation's governing board c. To approve the incurrence of debt d. To approve sales, transfers, dissolution or substantial change in use of corporate assets e. To approve the formation or dissolution of a subsidiary organization f. To approve the material transfer or encumbrance of the corporate assets g. To approve the annual operating budget, capital plan, strategic plan and business plan h. To approve the mission and vision statements i. To approve any material transactions not included in the approved operating budget or capital plan j. To resolve any issues between the corporation and any of the corporate member's other subsidiary organizations k. To approve any management agreement for the management of all or any substantial part of the corporation form 990, part vi, section b, line 11b: the organization incorporates numerous parties in the production and review of the form 990 and associated schedules. Senior accounting staff and management complete the form 990 and schedules. Some forms and schedules are reviewed by the controller. Subsequent to those steps, the organization engaged ernst & young to review the completed form 990 and appropriate schedules. Prior to filing the return, the cfo, the compensation committee of the organization, and the ceo, conduct a general overview of the form 990, including applicable compensation schedules. In addition, each board member receives notification of the irs form 990 placement on the organization's board portals which allows for board member review prior to filing the return. Form 990, part vi, section b, line 12c: there are three separate forms that are sent out through the internal audit department to key employees or board members regarding conflict of interest. They are as follows: 1. The first is a conflict of interest statement that is sent to senior level administration, management, and select staff such as purchasing department employees. The purpose of the statement is to require these employees to disclose any potential conflict of interests they may have. The statements are sent in january of each year for the previous year activities we pursue the replies to get a 100% response rate. In the current year we sent out 353 statements and are working to achieve a 100% response rate. Each response is reviewed by the director of internal audit and the results are reported to the ceo of beacon health system, the audit committee chairman, as well as the audit committee of the board of directors. 2. The second statement is the board duality of interest statement that is sent to current board members, former board members from the last five years, and other key employees. The duality of interest statement is sent using a web based survey tool provided by ernst & young. The replies are reviewed by the director of internal audit. The results of the surveys are summarized using the web based tool, and are”