Valley Health System Group Return

“Several directors and officers have an employee/ employer relationship with in valley systems (ein 52-1357729).”

“The corporation shall have two classes of members: regular and honorary. The number of regular members shall not exceed 100. In addition, there may be an unlimited number of honorary members. Qualifications for both classes of membership shall be established in the Bylaws of the Corporation. Honorary members have no voting or any other rights whatsoever. Regular members shall have voting rights soley with respect to the election of regular members, honorary members and trustees, as established in the Bylaws of the Corporation.”

“Members elect the governing body (Board of Trustees). They have no other functions with respect to oversight of the governing body.”

“Recommendations for the election of trustees shall be approved by the Board of Trustees.”

“The 990 is prepared by internal staff and reviewed by an outside accounting firm, who is the paid preparer. The return then undergoes several levels of review including the CFO and CEO. Further, the board reviews the 990 during one of its recurring monthly meetings where any issues of concern or question are addressed by Senior Management.”

“All board members sign a conflict of interest policy annually and upon appointment to the board. All employees that are managers, including officers, have purchasing rights with defined limits, or may enter into a contract on behalf of the organization are required to sign a conflict of interest attestation upon employment and annually. All employees can report breaches in VH policy. VH has an employee integrity hotline and a compliance officer. The audit committee is advised of compliance activity on a quarterly basis in addition to monthly follow up by the CEO on any immediate issues. Any infractions can result in disciplinary action or dismissal.”

“The Board of Trustees is responsible for the compensation review. They use compensation literature and outside consultants to determine the appropriate compensation for the CEO, Officers, and Senior Management. As new individuals are hired into management positions, recruiting firms use FMV information to establish salary and general compensation levels.”

“The organization makes all records available as required by law.”

“Gain/loss on int rate swap = $603260”

“Post retirement obligation = $11262433”

“Transfers to affiliates = -$7014161”

“1099s ARE FILED UNDER RELATED ORGANIZATION VALLEY HEALTH SYSTEM'S EIN 52-1357729.”

“Form 990 T cannot be filed under a group EIN. A Form 990T was filed under Winchester Medical Center, Inc. EIN 54-0505979.”

“W-2s and the related form 941's are filed under related organization valley health system's ein 52-1357729. Salaries reflected on this return are based on allocations of payroll.”