Burrell-Preferred Inc.

“Business and family relationships: c.j. Davis and adam andreassen have a business relationship. Andrew schwend is the son of michael schwend.”

“Selection of board members: pursuant to the applicant's bylaws, the applicant's governing board is selected by burrell and pfh. More specifically, of the applicant's nine (9) directors, burrell selects five (5), and pfh selects four (4). The bylaws further specify that, at all times, at least one (1) of the applicant's directors shall serve on the board of directors of burrell, and at least one (1) of the applicant's directors shall serve on the board of directors of pfh. At this time, all five (5) burrell appointees to the applicant's board are individuals who also serve on burrell's board, and all four pfh appointees to the applicant's board are individuals who also serve on pfh's board. The applicant's officers are elected by the board of directors. Maintaining a close and continuous relationship with its supported organizations is definitional to the applicant which, as the parent organization for the system, will be the member to both burrell and pfh and will be involved in the operations of both these organizations on a daily basis. The extensive overlap between the governing boards of the applicant, burrell, and pfh likewise will ensure a close and continuous relationship between the organizations.”

“Review of form 990: the form 990 is prepared by an independent accounting firm based on the audited financial statements and information provided by the accounting department of the organization. Prior to filing, a tentative draft of the 990 is reviewed by the system director of finance, the vice president of finance, the executive vice president of finance, the chief financial officer, and the president/ceo before being provided to the board of directors. The 990 is emailed to the board of directors for review before filing.”

“Conflict of interest policy: the organization inquires annually if any of the board members have a conflict of interest. Potential conflicts are reviewed by the board of directors. If a conflict of interest exists, the board member abstains from voting on the matter and the resolution is documented in the board minutes. Corporate compliance is responsible for monitoring and compliance of the conflict-of-interest policy for all employees.”

“Compensation review: burrell inc (a tax exempt related party) hired gallagher to do a compensation review for executives in july 2021. The missouri coalition sponsored a custom compensation and benefits survey performed by cbiz in 2022. The ceo compensation was approved by both the finance committee and the board.”

“Document disclosure: the organization's governing documents, conflict of interest policy, and financial statements are made available upon request. Additionally, financials are made available at each board meeting.”

“Organization's mission: the organizations primary function will be to provide governance, leadership, and other similar support for tax exempt related entities. The organization will engage in administrative, management, and oversight activities that are typical for nonprofit parent organizations. The organization will coordinate the operations of the related entities and facilitate their provision of charitable health care services. This will be accomplished through strategic planning and a focus on future charitable activities by providing overall coordination for the organizations within the system in such matters as approving budgets, strategic planning, marketing, allocating resources, securing tax-exempt bond financing, and providing community education”

“Payroll agent: burrell inc and preferred health care file consolidated payroll forms and reports with the irs under their eins which include its tax-exempt subsidiaries. This includes form 941's, w-2's, 1099's and other related filings.”