Advocate Charitable Foundation

“Discretionary committee the president of acf is a member of the board of directors, but does not have a vote. The bylaws provide for discretionary committe formation, but do not specifically identify an executive committee or similar committee with broad authority to act on behalf of the board. No such executive committee held authority at any time during 2021.”

“Business relationships as james doheny, and dominic nakis are either directors or officers of wholly owned advocate entities, they are deemed to have a business relationship pursuant to the instructions for form 990.”

“Bylaws bylaws provide for corporate members.”

“Advocate health care network is parent corporation under its bylaws, advocate charitable foundation has advocate health care network, a 501 (c)(3) illinois charity, as its "sole member". Advocate health care network is the ultimate parent corporation for the not-for-profit corporations of advocate health care including the foundation.”

“Ahcn has reserve powers over acf the following reserve powers identified in the bylaws require the approval of the corporate member, advocate health care network: approval of enactments/amendments of bylaws; approval of mission statements and their amendments; appointments to the foundation board including designation of officers who are ex officio; removal of members of the foundation board; appointment of the chair of the foundation board; appointment of the president of the foundation; approval, before it becomes effective, of any cessation of operations of the foundation; approval of all operating and capital budgets of the foundation; and approval of any changes ot the goals and programmatic objectives of the foundation.”

“Review of form 990 advocate's tax preparation process includes ongoing consultation with its outside tax consulting firm and tax legal counsel, both of which possess expertise in health care and tax-exempt return preparation, to advise and assist with preparation of the form 990. These advisors worked closely with the organization's finance, tax, and legal associates and other members of the organization's team assembled to participate in the preparation of the form 990. The form 990 is reviewed by finance management, the tax manager, the vp of finance / corporate controller, and advocate's outside tax consulting firm and tax legal counsel. The organization's team, including its advisors, met frequently to discuss and review drafts of the form 990. A complete copy of the final form 990 was provided to each member of the organization's board of directors before the form 990 was filed.”

“Conflict of interest disclosure the organization's conflict of interest policy applies to various people, including members of advocate's board of directors, governing councils, officers, associates, volunteers, and medical staff members with administrative responsibilities. Annually, the compliance department sends this policy and the advocate code of business conduct to a range of individuals who may be in a position to exercise substantial interest over a particular matter (defined as "interested persons"). They are required to read the policies and provide a disclosure statement to the compliance department, which identifies activities and relationships that could potentially give rise to a conflict of interest. The chief compliance officer reviews the disclosures and provides a report to the system business conduct (compliance) committee, executive management team and the audit committee of the board for review. The report is then provided, in relevant part, to the site chief executive officers. Potential conflicts are reviewed by the compliance department on a case by case basis. Follow up procedures conducted are unique to the given circumstance, and may include reviewing the potential conflict with the interested person's supervisor and/or site management. In circumstances where the interested person is not a member of the board, or governing council, or a committee thereof, or a person of interest, if it is determined that there is an actual conflict of interest, the supervisor of the individual is responsible for making an appropriate response, potentially including a restriction of the individual's job duties with respect to the matter giving rise to the conflict.”

“Executive compensation strategy executive compensation at advocate health care network and subsidiaries is based on a board of directors' approved strategy that guides the corporation in establishing compensation opportunities for executives, managers, professionals and all employees. In this strategy, specific market comparisons are identified and the desired level of competitiveness in those markets specified. In addition, linkage of executive pay to performance is articulated and how this relationship is to be maintained is outlined. To support and implement the compensation strategy, five basic elements are utilized. These elements are: - a solid, reliable and tested job evaluation methodology; - accurate, quality and relevant compensation survey information; - a consistent annual process for updating the compensation levels; - an active board review process including review by a compensation committee that ensures compliance with the compensation strategy and on-going review of the performance of the organization, and - active, external review and auditing of compensation by external independent consultants.”

“Availability to the public the organization makes its financial statements available to the public through the following websites: dacbond.com (digital assurance certification llc) emma.msrb.org (electronic municipal market access) the organization does not make its governing documents or conflict of interest policy available to the public.”

“Fair value of assets acquired -25,000.”