Parmer County Community Hospital

“Parmer medical center has a management agreement with preferred management corporation for the day-to-day management of the hospital. Preferred management provides technical assistance and management personnel (hospital administrator) to the board of directors of parmer medical center. Additional services were added in a new financial services agreement in july 2020 to include a cfo, accounting, a/p andpayroll services. Per irs guidance, the compensation paid by the management company is not shown on form 990, part vii, for the 2023 calendar year for these individuals: gayla quillin $175,229 joshua tucker $29,498”

“There are no committees that can act on behalf of the governing board.”

“The form 990 is reviewed by the administrator and presented to the board of directors to be approved by the board before it is filed.”

“All officers and key employees are covered by the policy. Auditors, administration, board of directors, officers or any key employee can determine whether a conflict exists. Persons with conflicts are not allowed to work within the same department or with authority over another. The board of directors reviews for potential conflicts and reports on the conflicts at the next board meeting. The individuals who have conflicts are not present during discussions by the board or vote regarding conflicts.”

“Governing documents, conflict of interest policy and financial statements are available upon request.”

“PARMER COUNTY COMMUNITY HOSPITAL DOES NOT PAY COMPENSATION TO THE ADMINISTRATOR DIRECTLY. THE ADMINISTRATOR IS COMPENSATED BY AN UNRELATED MANAGEMENT COMPANY, PREFERRED MANAGEMENT CORPORATION. THE HOSPITAL BOARD OF DIRECTORS USES ONE OR MORE OF THE PROCESSES DESCRIBED IN PART I, QUESTION 3 TO DETERMINE APPROPRIATE COMPENSATION FOR THE ADMINISTRATOR. THE BOARD OF DIRECTORS ALSO APPROVES THE ORGANIZATION'S CONTRACT WITH THE MANAGEMENT COMPANY. Accordingly, and pursuant to the Form 990 instructions, the organization has answered Part VI, Lines 15a and 15b as "No".”

“Physician Fees - Total Expense: 1091352, Program Service Expense: 1091352, Management and General Expenses: , Fundraising Expenses: ; Contract Labor - Total Expense: 1189921, Program Service Expense: 1158191, Management and General Expenses: 31730, Fundraising Expenses: ; Professional Fees - Total Expense: 400582, Program Service Expense: 310169, Management and General Expenses: 90413, Fundraising Expenses: ; Telemedicine - Total Expense: 154428, Program Service Expense: 154428, Management and General Expenses: , Fundraising Expenses: ; Administrative Fees - Total Expense: 10784, Program Service Expense: 1042, Management and General Expenses: 9742, Fundraising Expenses: ;”

“The board of directors assumes the responsibility for oversight of the audit of the financial statements and selection of an independent accountant.”