Childrens Medical Group Inc

“Business relationships exist between the following board members: gil peri and jason jarzembowski, barbara calkins and jason jarzembowski. There are no family relationships.”

“The organization has a sole corporate member which is chhs.”

“Chhs, the sole corporate member of the organization, elects the organization's governing body.”

“The sole corporate member, chhs, has certain reserve powers over the corporation, including amendment of the articles of incorporation and bylaws; approval of merger, consolidation or the creation of any subsidiaries by the corporation; and approval of the annual budget and any debt. The president and chief executive officer of chhs selects the president.”

“The form 990 of cmg was reviewed by the audit and compliance committee of chhs board of directors, and prior to filing, a copy was provided to all directors of cmg.”

“Annually, all members of the board of directors, officers and key employees are requested to submit a conflict of interest disclosure to the director of corporate compliance. The compliance department monitors and periodically reviews transactions between the organization and board members or entities with which they are affiliated.”

“The compensation of the organization's officers was reviewed and approved by the independent compensation committee of chhs (the organization's corporate member). With the assistance of an independent compensation consultant and information from a variety of external sources (as indicated on schedule j), the committee confirmed that total compensation amounts to be paid were reasonable and comparable to amounts paid by similarly situated organizations. The process followed by the committee, including the data relied upon and the committee's decisions, was thoroughly and timely documented. Compensation of the key employees was set by supervisory executives in consultation with chhs human resources leaders. The process included review by independent persons who, using a variety of external sources (as indicated on schedule j), confirmed that total compensation amounts to be paid were reasonable and comparable to amounts paid by similarly situated organizations. The process and data relied on were thoroughly and timely documented.”

“The governing documents, conflict of interest policy and financial information of cmg are available to the public upon request through the chhs marketing and communication department.”

“Children's medical group, inc. ("cmg") is a wisconsin nonstock corporation. Cmg is an affiliate of children's hospital and health system, inc. ("chhs"), a tax-exempt wisconsin corporation serving as the parent entity of an integrated system of provider organizations addressing the health care needs of children in southeastern wisconsin and surrounding areas. As the corporate member of cmg, chhs holds various reserve powers in relation to cmg, including authority to appoint cmg's board of directors. The board of directors of cmg consists of certain physicians who are employed by cmg, along with representatives of chhs's executive leadership. As employees of either cmg or chhs, none of these directors may be considered "independent" for purposes of form 990. However, as acknowledged by the irs in its cpe text for fiscal year 1997, in a multi entity hospital system, the board of a subsidiary non-profit health care organization is considered to be comprised of independent community members if it is controlled by an exempt organization whose board is comprised of a majority of voting members who are independent community members. Cmg meets this standard because it is a controlled subsidiary of chhs, and chhs's governing board includes independent community members as a majority thereof.”

“Children's wisconsin - primary care”

“The organization did not file any forms 1099 during the taxable year. Although the organization did retain independent contractors, the compensation amounts owed to such contractors were processed and paid by a related entity, children's hospital and health system, inc. (chhs), with appropriate intercompany arrangements between the organization and chhs. The forms 1099 for such payments were issued by chhs, as the entity that processed and made the payments to the independent contractors.”

“The organization did not file form w-3 during the taxable year. Although the organization did retain employees and reported salaries on part ix of the form 990, the compensation amounts paid to employees of cmg were processed and paid by a related entity, chhs, with appropriate intercompany arrangements between the organization and chhs. The form w-3 was issued by chhs, as the entity that processed and made the payments to the employees.”