Hcch Holding Corporation

“The organization is a member of health choice network of florida, inc., an association of federally qualified for health centers, which provides substantial support services to the center's operations in terms of information technology, finance, electronic health records, managed care, and other clinical services.”

“The organization's federal form 990 was provided to each voting member of its governing body, its board of directors, prior to filing with the internal service revenue ("irs"). The board of directors has been delegated the responsibility to oversee, review and approve the federal form 990, including the preparation, review and filing process. As part of the tax return preparation process the organization hired a professional certified public accounting ("cpa") firm with experience and expertise in healthcare and not-for-profit tax return preparation to prepare the federal form 990. The cpa firm's tax professionals worked closely with the organization's finance personnel, including, but not limited to, the president & chief financial officer ("internal working group"), to obtain information needed in order to prepare a complete and accurate tax return. The cpa firm prepared a draft federal form 990 and furnished it to the organization's internal working group for review. The organization's internal working group reviewed the draft federal form 990 and discussed questions and comments with the cpa firm. Revisions were made to the draft federal form 990 where necessary and a final draft was furnished by the cpa firm to the organization's internal working group for final review and approval prior to providing it to the members of the board of directors and filing with the irs.”

“The organization regularly monitors and enforces compliance with its conflict of interest policy. Annually all members of the board of directors and officers, are required to review the existing conflict of interest policy and complete a questionnaire. The signed questionnaires are returned to the president/chief executive officer who reviews them for potential conflicts of interest. Any potential conflicts are reported to the board of directors where any necessary mitigating behavior is taken.”

“The organization's officers of the board of directors review and approve the compensation arrangement of the president and chief executive officer ("ceo"). This review is based on job functions and requirements of the ceo position to determine an appropriate wage or salary range. Compensation is also based on the following factors: 1. Prevailing rates for similar work in other nonprofit and commercial organizations; 2. National as well as local salary patterns; 3. Applicable legal requirements; 4. Standards established by professional organizations; and 5. The financial ability of the center to compensate the ceo. The actions taken by the board enable the organization to receive the rebuttable presumption of reasonableness for purposes of internal revenue code section 4958 with respect to the total compensation of the chief executive officer. The three factors which must be satisfied in order to receive the rebuttable presumption of reasonableness are the following: 1. The compensation arrangement is approved in advance by an "authorized body" of the applicable tax-exempt organization which is composed entirely of individuals who do not have a "conflict of interest" with respect to the compensation arrangement; 2. The authorized body obtained and relied upon "appropriate data as to comparability" prior to making its determination; and 3. The authorized body "adequately documented the basis for its determination" concurrently with making that determination. The board is comprised entirely of individuals who are independent and free from any conflicts of interest. The organization has no other officers or key employees other than the chief executive officer.”

“The organization makes its governing documents, conflict of interest policy and financial statements available to the public upon request and also on its website at www.hcch.org.”