Phillips Eye Institute Foundation

“Allina health system is the sole corporate member organization of phillips eye institute foundation. Phillips eye institute foundation is the supporting organization and allina health system is the supported organization. See schedule a and schedule r for further details. Allina health system provides phillips eye institute foundation with administrative and staff services at no cost. The value of the services provided by allina health system to phillips eye institute foundation during 2013 were estimated at $188,600 and have been recorded as contribution revenue from a related organization in the statement of revenue and as administrative and fundraising expenses in the statement of functional expenses. Phillips eye institute foundation has no employees and does not pay compensation. Compensation disclosed as paid by a related organization is determined solely by the related organization.”

“As the sole corporate member organization, allina health system, holds certain reserved powers over phillips eye institute foundation. The reserved powers are fully described in phillips eye institute foundation's governing documents and include such powers as election and approval of directors, final approval of amendments to articles of incorporation or bylaws, approval of strategic plans and capital and operating budgets, approval of plans of merger or consolidation, approval of incurrence of debt or expenditures in excess of certain amounts, and various other reserved powers as described therein.”

“See form 990, part vi, section a, line 7a and its related narrative above in schedule o.”

“Phillips eye institute foundation's form 990 was prepared by the tax services function of allina health system, phillips eye institute foundation's sole corporate member and supported organization. The form 990 filing was subjected to a rigorous review process by allina's tax manager and tax director. Allina's vice president of finance & treasury also performed an executive review of the form 990. After the management review process described above was completed, the final form 990, as ultimately filed with the internal revenue service ["irs"], was provided to each voting member of phillips eye institute foundation's board of directors. A phillips eye institute foundation board of directors meeting was held on september 18,2014 to review and discuss the form 990 filing. Phillips eye institute foundation's board of directors voted on and approved a resolution approving the form 990 and the minnesota charitable organization annual report to be filed with the minnesota attorney general. The board of directors resolution also directed officers to file the form 990 with the irs and the charitable annual report with the charities division of the office of the minnesota attorney general. The above stated review and approval process occurred prior to filing phillips eye institute foundation's form 990 with the irs and minnesota charitable organization annual report with the minnesota attorney general.”

“The organization has several methods of monitoring and enforcing compliance with its conflict of interest policy. First, the organization regularly distributes conflict of interest disclosure questionnaires to its officers, directors, trustees, and key employees. These individuals are required to disclose annually any interest that could give rise to conflicts, including any family or business relationship. Second, the general counsel's office annually delivers a report to allina's board of directors which includes, among other things, the results of the conflict of interest questionnaire, an analysis of potential conflicts, and guidance for satisfactorily resolving conflicts. Third, the organization undertakes mandatory compliance training of all its employees which includes training on conflicts of interest. Fourth, all employees receive, and are expected to conduct themselves in accordance with allina's code of conduct. The code of conduct contains educational materials and guidance to resolve potential conflicts of interest. Fifth, allina maintains a corporate integrity hotline, a confidential 24 hour external resource to help answer questions related to ethical business conduct. All calls to the integrity line are kept confidential.”

“Phillips eye institute foundation has no employees and does not pay compensation. Any compensation disclosed as paid by a related organization is determined solely by the related organization. Therefore, part vi, section b, line 15a and line 15b are not applicable to philips eye institute foundation.”

“Phillips eye institute foundation makes its form 990, form 1023, governing documents, conflict of interest policy, and financial statements available to the public upon request. To arrange an inspection or receive a copy, please contact the following: phillips eye institute foundation tax services mail route 10890 p.o. Box 43 minneapolis, mn 55407-0043 telephone: 612-262-0660 physical address: 2925 chicago avenue minneapolis, mn 55407-1321 the form 990 and form 1023 are also available directly from the internal revenue service. The form 990 and financial statements are also available from the charities division of the office of the minnesota attorney general.”

“This process remains unchanged from prior year.”