Kaiser Foundation Health Plan of Washington

“Form 990, part vi, section a, line 6 group health cooperative (ghc) has voting members. The ghc bylaws outline a number of purposes, including to serve the greatest possible number of people under consumer cooperative principles without discrimination. Eligible consumers who believe in this purpose are encouraged to become voting members and participate in governing ghc. To be eligible for membership, a consumer must be eighteen years of age or older and current in monthly premiums.”

“Form 990, part vi, section a, line 7a ghc has voting members. The rights of members are delineated in ghc's bylaws and include the determination of qualifications for membership; the election of members of the board of trustees (ghc's governing body); the election of the chair of the standing nominating committee of the membership (which evaluates and nominates candidates for election to the board); adoption of resolutions that are advisory to the board; approval of extraordinary actions; and amendment of the preamble, membership, and membership rights sections of the bylaws.”

“Form 990, part vi, section a, line 7b ghc bylaws provide that the merger or consolidation of ghc with another entity, the voluntary dissolution of ghc, or the sale, lease, exchange, or other disposition of all or substantially all of the property and assets of ghc must be approved by vote of the members. The board of trustees presents a proposed plan of merger, consolidation, dissolution, or sale, lease, exchange or other disposition of all or substantially all of the property and assets of ghc to the members for approval. Such resolution is first considered at an annual or special meeting. Also, amendments to article 2 of the ghc bylaws (addressing membership and membership rights) may only be approved by vote of the members. The board of trustees may propose amendments to article 2 by resolution.”

“Form 990, part vi, section a, line 11a the form 990 undergoes a robust preparation and review process before it is signed. The organization's finance team works closely with the outside accounting firm it engages to prepare the return and involves many members of management in review of the return. The form 990 is then reviewed by ghc management for accuracy and completeness prior to being presented to ghc's audit and compliance committee of the board of trustees (a duly constituted committee of the board). The final draft form 990 is presented to the audit and compliance committee for review and discussion. The final draft form 990 is also provided to the full board of trustees for review and information before the return is filed.”

“Form 990, part vi, section b, line 12c group health has a conflict of interest policy (board policy 100-202, conflict of interest - board of trustees, cooperative officers, and employees) that applies to trustees, officers, employees and group health permanente (ghp) medical and administrative staff when they are performing work on behalf of group health or are representing group health in any transaction that involves group health. Under this policy: -the group health office of compliance and ethics is responsible for developing compliance procedures for administering this policy, developing procedures for the disclosure statements to be completed by key persons (for the purposes of this policy, key persons include managers, individuals holding certain high-level positions, and those in sensitive roles or positions involving transactions with outside parties that may give rise to potential conflicts of interest or the appearance of conflicts), and for providing general guidance to group health management and employees regarding compliance with this policy. The office of compliance and ethics consults with group health executive management to ensure support for the implementation and administration of this policy. The chief compliance and ethics officer provides periodic reports to the audit and compliance committee on the implementation and administration of this policy. -trustees and cooperative officers provide a written declaration of any actual or potential areas of conflict of interest on an annual basis using forms and procedures developed by the office of compliance and ethics. These declarations are submitted by trustees and officers to the office of compliance and ethics for review. The office of compliance and ethics evaluates the declarations and provides a summary of disclosures that is forwarded to the audit and compliance committee for its consideration. Any apparent conflicts of interest and/or other instances of noncompliance with this policy are referred by the audit and compliance committee to the chair of the cooperative for resolution. -during the year, trustees and cooperative officers report material additions or changes to the information provided on annual conflict of interest declarations. These additions or changes to the declarations are submitted to the office of compliance and ethics for review. If the review indicates that there is a conflict of interest or the appearance of one, a summary of the additions or changes is forwarded to the audit and compliance committee, following the process used for annual declarations. -the chair of the cooperative counsels any trustee or officer about prohibited conflicts of interest and other instances of noncompliance with the policy, including apparent undisclosed conflicts of interest and, if not resolved to his/her satisfaction, places the matter on the agenda of an executive session. The chief compliance and ethics officer supports the chair of the cooperative in fulfilling this responsibility. -trustees disclose an actual conflict of interest, or the appearance of such a conflict, when such an interest becomes a matter for board action. Any trustee having an actual conflict of interest, or the appearance of a conflict of interest, related to a matter at issue does not vote, take other action, or use his/her personal influence on the matter beyond that described below. The minutes of the meeting reflect that a disclosure was made and that the trustee abstained from participation in the discussion except as described below. If any trustee has reason to believe s/he or another trustee may have an actual conflict of interest, or the appearance of such a conflict, the trustee raises the question for consideration. If there is any disagreement regarding the existence of an actual conflict of interest, or the appearance of such a conflict, the chair of the cooperative polls other trustees to determine if the board concludes that an actual conflict or the appeara”

“Form 990, part vi, section b, line 15 group health cooperative (ghc) is governed by an independent board of trustees ("the board"), comprised of 11 consumers elected by ghc's voting members. The board has delegated to the compensation committee of the board (the "committee") the responsibility for negotiating and approving the employment agreement and compensation package for the ghc president and chief executive officer ("ceo"); approving the executive total compensation philosophy that drives all executive compensation decisions; and approving compensation for the executive vice presidents and vice presidents of ghc (except for compensation established in the initial written contracts offered to candidates for vice president positions who are not then employed by ghc and who have not been determined to be a "disqualified person" under applicable irs regulations, as to whom the board has delegated such authority to the ceo). The five members of the committee are the chair of the board of trustees, the vice chair, and three additional trustees selected by the chair. As adopted by the committee, the executive total compensation philosophy provides that ghc will maintain an executive total compensation program designed to facilitate the achievement of its charitable mission, values and organizational goals. Executive compensation is set at a level that enables the organization to attract, retain, motivate and reward the highest caliber executives at a cost that is consistent with our performance and charitable mission. Based upon those principles, the philosophy confirms that compensation will be compared to comparable organizations (hmos and managed care, health care, and health insurance organizations), and that base salary ranges will be built around 50th percentile market base pay levels (with flexibility to recognize individual skills, experience and contributions) , annual and long-term incentives will be targeted at the 50th percentile (with an opportunity to earn above that level based on performance), and benefits and perquisites will be established consistent with market practices. A significant portion of executives' total compensation is contingent on organizational and individual performance. Consistent with ghc's philosophy, the committee reviews and approves the annual performance goals and criteria to be used in determining salary increases and incentive compensation criteria for the ghc ceo, executive vice presidents and vice presidents (which group includes all ghc key employees and ghc officers, excluding the chair of the board and the vice chair, who are not employed by ghc). The committee also hires a qualified independent compensation consultant (an independent expert) to review, analyze and provide benchmarking data for the total compensation and benefits packages of the ceo, executive vice presidents and vice presidents. Appropriate comparability data is obtained from the independent expert, i.e., compensation paid by similarly situated organizations (both taxable and tax- exempt, of similar size and in the same industry) for similar job responsibilities. The committee's written records and minutes include the (1) terms of the arrangement with the disqualified person (including the date the arrangement was approved); (2) a list of members present during the debate on the transaction (and how the members voted when it was approved); and (3) a description of the comparable data relied on by the committee. Key deliberations of the committee are also documented in minutes which are approved at the next committee meeting. The committee's compensation decisions are shared with the board. The following are the offices and positions for which the above-described process was used in 2015 to establish compensation for the persons who held these positions: president & chief executive officer (ceo); vice president (vp), administrative services division; executive vice president (evp), group practice division; evp & s”

“Form 990, part vi, section c, line 19 bylaws, consolidated audited financial statements, and the form 990 and 990-t are made available to the general public through ghc's website and by providing paper copies upon request. Copies of the conflict of interest policy are made available upon request.”

“Part xi, line 9 membership $(50,100) capital dues $(66,800) temp restricted $(990,174) perm restricted $161,392 other comprehensive income $955,745 cma adjustment $6,249,680 retained earnings $(17,069,868) --------------- total other changes in net assets $(10,810,125)”

“Group health cooperative ("group health") is one of the nation's largest consumer governed health care organizations. Group health is governed by an independent board of trustees comprised of 11 consumers elected by group health's voting membership. Any person 18 years and older who is enrolled in a prepaid health plan offered by group health or a designated affiliate or a subsidiary ("enrollee") is eligible to be a voting member. Group health's primary exempt purpose is to provide comprehensive, prevention-oriented health care services to its enrollees and other patients in a manner that reduces cost as a barrier to care and to provide health-related education and research activities that benefit the broader community. To fulfill this purpose, group health provides outpatient primary and specialty care as well as inpatient acute and sub-acute care, through the services of salaried physicians, nurses, and other health care practitioners. The salaried physicians are employed by group health permanente, p.c., an organization with whom group health has an exclusive contract. In 2015, group health operated one hospital, 25 primary care medical centers, six specialty care units, seven behavioral health clinics, 13 eye care clinics, five audiology/hear centers, and eight speech, language and learning clinics. Group health also contracts with community health care providers for services where group health does not operate its own facilities and for sub-specialty medical services not provided at group health facilities.”

“DESCRIPTION:O/S Labor TOTAL FEES:4240607”

“DESCRIPTION:Inpatient Services TOTAL FEES:XXX-XX-XXXX”

“DESCRIPTION:Hospice Services TOTAL FEES:4080216”

“DESCRIPTION:Outpatient Services TOTAL FEES:XXX-XX-XXXX”

“DESCRIPTION:Home Care Services TOTAL FEES:9829947”

“DESCRIPTION:GH Perm Med Services TOTAL FEES:XXX-XX-XXXX”

“DESCRIPTION:Facility Support Services TOTAL FEES:XXX-XX-XXXX”

“DESCRIPTION:Pharmacy TOTAL FEES:72430980”

“DESCRIPTION:Other Fees TOTAL FEES:-37310881”