General Health System

“During preparation of the 990, senior administrative and finance leaders are consulted to provide any additional information on certain, various transactions on an as-needed basis. Upon completion of the 990 but prior to filing, said leaders are provided with a draft copy of all forms/schedules for their review and comments. Upon clearing any review comments, revised draft copies are emailed to all members of the board via secure board network. The executive committee has been tasked by the board to fully review the form 990 at their next meeting and forward their recommendations to the full board.”

“As part of its annual work plan, the internal audit & corporate compliance department administers a mandatory electronic conflict of interest (coi) survey through which all leadership employees (ranging from supervisors to executive management), ghs foundation board members and trustees of the organzation are prompted to timely disclose any interests that could give rise to conflicts. After the 2 week coi survey period is over, members of the internal audit & corporate compliance department sort through & organize all survey responses received and conduct an initial review of all disclosures flagged as potential conflicts and obtains additional information/documentation as necessary from key stakeholders to clarify or rectify (through appropriate mitigation) any conflicts noted so as to ensure business decisions are driven by the best interests of the organization. Upon completion, the corporate compliance officer formally communicates conflict results to the chief financial officer, chief executive officer and the chairman of the audit/finance committee of the board.”

“The compensation committee of the board of trustees oversees all executive compensation matters. The committee engages an independent third party consulting firm to conduct an annual independent market-based compensation review of executives in comparable healthcare systems and uses this data in determining reasonable and appropriate executive compensation levels. All compensation committee members are independent with no conflict of interest with regard to executive compensation matters. The compensation committee considers many factors in determining executive pay levels. Some of these factors are, but are not limited to, the knowledge, experience and competencies of the executive, performance of the executive, areas of responsibility, importance of executive retention and peer calibration and talent management rating. The committee documents its decisions and the process it follows in detailed and contemporaneous minutes. It diligently follows the prescribed process for establishing a presumption of reasonableness.”

“The taxpayer makes all governing documents, conflict of interest policies and tax returns available to the general public on an as-requested basis.”

“Column d-compensation paid to the former president/ceo (holman) includes a lump sump vesting payment of retirement benefits earned in previous years including calendar year 2013. Column f-other compensation to officers and designated executives includes 401k and deferred compensation benefits subject to future vesting.”

“The general health system (ghs) board of trustees also serves as the board of trustees for its wholly-owned, 501c3 hospital affiliate, baton rouge general medical center ein 72-1025017.”

“Equity in earnings of subsidiary -10,046,426. Adjustment of prior yr pension svc cost liability”

“No change in the organization's audit oversight process or auditor selection process. The audit committee of the board of trustees is tasked with the oversight of the annual audit and selection of the independent accountant.”