Proctor Hospital

“James C. Leonard, MD (Officer), Matthew Kolb, JD, MHA (Officer), and Napoleon Knight, MD, MBA (Officer) - Business relationship, James C. Leonard, MD (Officer) and James Stevenson (Board Chair) - Business relationship, James C. Leonard, MD (Officer) and Napoleon Knight, MD, MBA (Officer) - Business relationship, James C. Leonard, MD (Officer), Dennis Hesch (Officer), and Lauren Schmid, MBA (Key Employee) - Business relationship, Dennis Hesch (Officer), Matthew Kolb, JD, MHA (Officer), and Nicholas Crompton (Key Employee) - Business relationship, KEITH KNEPP, MD (OFFICER), DEBBIE SIMON (BOARD VICE CHAIR), DENNIS TRIGGS, JD (BOARD SECRETARY/TREASURER), DIRK ROECKER (Board Member), JAMES STEVENSON (BOARD CHAIR), AND MELISSA YODER, CPA (Board Member)) - Business relationship, Keith Knepp, MD (Officer), Ken Dicken, MBA (Officer), and Jeannette Murray (Key Employee) - Business relationship”

“Carle health - west region, a tax-exempt illinois not-for-profit corporation, is the sole member.”

“PROCTOR HOSPITAL'S sole member, carle health - WEST region, acting through its governing board, has the exclusive power to elect and remove board members as well as fill vacancies.”

“PROCTOR HOSPITAL must have the approval of its sole member, carle health - WEST region, through its governing board, when voting on matters including the amending of governing documents, recommending the president to the Board, approving any annual or long-term capital or operational budgets, approving payment to the members of the proctor hospital governing Board for their expenses or compensation, approving any new, long-term or master institutional plan or changes to such plans, approving the addition of any new member and any dissolution, merger, consolidation, or sale or other disposition or encumbrance of all or substantially all of the assets of the corporation or any disposition of real property or relocation of the hospital and/or clinic, approving any organization or acquisition of a subsidiary or affiliate, approving any initiative requiring certificate of need (CON) approval, approving any pledge of all or any part of the corporation's assets as security for a debt, liability or other obligation, approving any loan to or for the corporation or any other indebtedness; and approving non-budgeted expenditures or sale exceeding the president's authorized spending authority.”

“Form 990 was prepared by staff and an external tax advisor and reviewed by management. Prior to filing this form 990, a full and complete copy was provided to the governing body by posting to the organization's director communication portal. Also, before filing, each board member received notification that the form 990 was posted and available for review at his/her discretion. Each board member has the opportunity to contact management or discuss and address concerns at subsequent board meetings.”

“The organization's established conflict of interest policies require annual disclosure of actual and potential conflicts of interest for officers, directors, members of the governing board, members of board committees, administrative and managerial employees as well as all employees of the purchasing department. If circumstances change during the course of a year, interim disclosure is also required of the same individuals. The disclosures of employees are reviewed initially by the compliance department and any identified conflicts are referred to and addressed by the organization's internal legal counsel and/or corporate integrity officer. The disclosures of members of the governing board and members of the board committees are reviewed by the chair of the board. The entire board, absent the subject board or committee member determines whether a conflict exists. Board members and/or board committee members with identified conflicts are required to recuse themselves from deliberating and voting on matters that may present a conflict. The organization also maintains purchasing policies requiring counter signatures to further minimize the risk associated with actual and/or potential conflicts of interest.”

“The carle foundation, the system parent organization of proctor hospital, publishes through www.dacbond.com and https://emma.msrb.org/ its quarterly unaudited financial statements, annual audited financial statements, a management's discussion & analysis to accompany the financial statements, and an annual report of certain operating and financial information. Additionally, official statements for outstanding municipal bond issues for which the carle foundation is obligated are available at these websites. These documents include extensive information about the organization's health care delivery system model, recent highlights/accomplishments, governance and administration, strategic plan, facilities, clinical programs, medical staff, service area, competitive environment, demographic data, utilization statistics, summary financial information, academic affiliations and educational programs, medical research, accreditations, and its employees. This information is available at no charge to those who register at the www.dacbond.com website or by searching at https://emma.msrb.org/. In addition, forms 990 of the organization's filing entities are available through dacbond. Quarterly financial statements are also available upon request delivered to the organization's administrative offices. The organization's governing documents and conflict of interest policies are also available upon request to the organization's administrative offices.”

“The average estimated hours per week listed for the reporting organization and related organizations are based on a standard 40-hour week. Members may frequently devote more than 40 hours of service to the entire organization during an average week.”

“All other revenue - Total Revenue: 193499, Related or Exempt Function Revenue: 193499, Unrelated Business Revenue: , Revenue Excluded from Tax Under Sections 512, 513, or 514: ;”

“Proctor hospital does not compensate its officers. Employee compensation for these individuals is paid by the system parent organization, the carle foundation. The governing board of the carle foundation, the system parent organization of proctor hospital through its compensation committee comprised of independent members free of conflict, annually reviews executive compensation levels and establishes appropriate salary ranges and other features of the compensation plan in accordance with the organization's approved compensation philosophy and strategy: -the committee is comprised of members of the governing board; who are independent of the carle foundation management; have no personal interest in the compensation arrangements; are not related to, or under the control of any individual whose compensation arrangement is being reviewed; and have no material business relationship with the carle foundation. -the chief executive officer's compensation is determined by the compensation committee in relation to appropriate comparability data. Compensation for other members of the executive staff is developed by the ceo, evaluated against market data, and reviewed and approved by the committee. -the committee approves all annual compensation decisions in advance of their implementation and documents its determinations and discussions. -the compensation committee relies upon a number of external resources and comparisons, and its analysis includes total compensation (cash compensation plus benefits provided by the carle foundation) in relation to organizational performance and prevailing industry practices for like responsibilities at comparably sized organizations. The committee has engaged the services of a compensation consulting firm specializing in the not-for-profit sector, which has worked with the carle foundation and makes its reports directly available to the compensation committee.”

“Billing Fees - Total Expense: 2312, Program Service Expense: 2312, Management and General Expenses: , Fundraising Expenses: ; Document Storage & Destruction - Total Expense: 1789, Program Service Expense: 1789, Management and General Expenses: , Fundraising Expenses: ; External Contract Labor - Total Expense: 7568198, Program Service Expense: 7568198, Management and General Expenses: , Fundraising Expenses: ; External Physician Contract Labor - Total Expense: 1645328, Program Service Expense: 1645328, Management and General Expenses: , Fundraising Expenses: ; External Printing Services - Total Expense: 202, Program Service Expense: 202, Management and General Expenses: , Fundraising Expenses: ; Interpreters - Total Expense: 300, Program Service Expense: 300, Management and General Expenses: , Fundraising Expenses: ; Outsourced Linen - Total Expense: 365882, Program Service Expense: 365850, Management and General Expenses: 32, Fundraising Expenses: ; Lab Services - Total Expense: 1008120, Program Service Expense: 1005310, Management and General Expenses: 2810, Fundraising Expenses: ; Physician Leadership Fees - Total Expense: -2000, Program Service Expense: -2000, Management and General Expenses: , Fundraising Expenses: ; Other Professional Fees - Total Expense: 1087, Program Service Expense: 1087, Management and General Expenses: , Fundraising Expenses: ; Other Purchased Services - Total Expense: 7466467, Program Service Expense: 7188744, Management and General Expenses: 277723, Fundraising Expenses: ;”

“INTERCOMPANY RECEIVABLE/PAYABLE SETTLEMENTS - -9737185; Total - -9737185;”

“Form 990 part xii, question 2a, b, c and part iv, lines 12, 12a the financial statements for proctor hospital were audited on a consolidated basis. The carle foundation has an audit committee consisting of members of the governing board and the chief financial officer who together assume responsibility for the audit of its financial statements and selection of an independent accountant or auditor.”