2017-06-06T16:07:12-05:00 2016-09-30 560747981 DIXON HUGHES GOODMAN LLP 500 RIDGEFIELD COURT ASHEVILLE NC 28806 990 2015-10-01 830343789 WRMC HOSPITAL OPERATING CORPORATION WRMC 3366518100 PO BOX 609 NORTH WILKESBORO NC 28659 BARRY WALD VP OF FINANCE/CFO 3366518100 2017-06-05 1 Amy Bibby P00445891 8282542254 2017-06-02 2015 2021-01-29 14:40:06Z WILKES REGIONAL MEDICAL CENTER BARRY WALD PO BOX 609 NORTH WILKESBORO NC 28659 93236302 0 X WWW.WILKESREGIONAL.ORG X 1 1996 NC OUR MISSION IS TO PROVIDE EFFECTIVE, COMPASSIONATE MEDICAL CARE TO PROMOTE HEALTH LIFESTYLES FOR OUR COMMUNITY. 15 14 757 75 0 0 300973 276948 93723041 92461933 -122057 120882 265884 367713 94167841 93227476 0 0 0 0 34928921 37113610 0 0 0 48369419 49745494 83298340 86859104 10869501 6368372 97511728 102004158 37497472 36522014 60014256 65482144 X OUR MISSION IS TO PROMOTE THE HEALTH OF OUR REGION AS AN EXCEPTIONAL COMPASSIONATE PROVIDER OF CARE. 0 0 75390493 0 92461933 WILKES REGIONAL MEDICAL CENTER (WRMC) IS A 130 BED FACILITY SERVING ALLEGHANY, ALEXANDER, ASHE, CALDWELL, IREDELL, SURRY, WATAUGA, AND WILKES COUNTIES. IN FISCAL YEAR 2016 THE HOSPITAL HAD 34,355 EMERGENCY ROOM VISITS AND 19,124 IN-PATIENT DAYS. THE HOSPITAL INCURRED APPROXIMATELY $11.3 MILLION OF CHARITY CARE COSTS IN PROVIDING FREE AND DISCOUNTED CARE TO PATIENTS. THE HOSPITAL ACCEPTS ALL PATIENTS REGARDLESS OF THEIR ABILITY TO PAY.PLEASE SEE SCHEDULE O FOR A CONTINUATION OF THE PROGRAM SERVICE ACCOMPLISHMENTS.Wilkes Regional has expanded its gastroenterology services with the arrival of Dr. Jose Carrasquillo. Dr. Carrasquillo has performed 221 endoscopies and 5 ERCPs since his arrival in December 2015. Dr. Carrasquillo has also done several endoscopies via "Pill Cam," a new endoscopy procedure that is less invasive and appropriate for some patients.Wilkes Regional has expanded our outpatient Dialysis Center, adding 5 dialysis stations bringing our total to 24. This expansion has allowed the opportunity to increase the number of patients served in the community and the surrounding area. Dr. Ewain Wilson, double boarded in Otolaryngology and Sleep Medicine, joined Wilkes Physician Network on June 6, 2016 and has specialized training in ENT & Sleep Medicine. He is providing a full range of pediatric and adult services for Ear, Nose and Throat and Sleep Medicine including performing ENT surgeries. Wilkes Regional Medical Center received its seventh consecutive "A" rating from the LeapFrog Group for Quality and Patient Safety, making us the only hospital in the region to achieve the top spot seven consecutive times. Wilkes Regional continues to reach top scores in the prevention of patient accidents, injuries and infections. Our score of 3.42 was the highest score that we had obtained in the last five years of our participation with the LeapFrog Group. Wilkes Regional had an engagement score of 4.34, an employee response rate of 94% and an overall national ranking at the 88th percentile during the 2016 Employee Survey. This is a significant accomplishment as we were beginning the transition to Wake Forest Baptist Health and we had a Joint Commission survey during the employee survey. 75390493 1 1 0 1 0 0 0 0 0 0 1 0 1 0 1 1 0 1 0 0 0 0 0 0 0 0 1 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 107 0 1 757 1 0 0 0 0 0 0 0 0 0 0 X 15 14 0 1 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 NC X BARRY WALD 3366518510 POX BOX 609 NORTH WILKESBORO NC 28659 ERIC Cramer CHAIRMAN 1.00 X X 0 0 0 DREW Mayberry VICE CHAIRMAN 1.00 1.00 X X 0 0 0 Jim Smoak TREASURER 1.00 X X 0 0 0 Dane Mastin SECRETARY 1.00 X X 0 0 0 MARTHA TOWNES DIRECTOR 1.00 X 0 0 0 LEE HERRING DIRECTOR 1.00 X 0 0 0 ANN ABSHER DIRECTOR 1.00 X 0 0 0 VAUGHN HAYES DIRECTOR 1.00 X 0 0 0 Dr Ashton Molai DIRECTOR 1.00 1.00 X 0 0 0 JIM FAW DIRECTOR 1.00 X 0 0 0 Larry Farthing DIRECTOR 1.00 X 0 0 0 JEAN GRAF DIRECTOR 1.00 X 0 0 0 Melissa Lackey DIRECTOR 1.00 X 0 0 0 Olive Thomas DIRECTOR 1.00 1.00 X 0 0 0 Pat Bumgarner DIRECTOR 1.00 X 0 0 0 J Gene Faile CEO 60.00 1.00 X 343091 0 66705 Barry Wald CFO 55.00 1.00 X 186824 0 34048 Sandy Sheppard CNO (THROUGH 11/15) 55.00 X 166616 0 26910 BARRY NELSON INTERIM CNO (BEGAN 11/15) 55.00 X 0 0 0 Jason Yockey CRNA 40.00 X 211164 0 25189 JOHN WALLER CRNA 40.00 X 196752 0 16645 HEATHER GOODWYN CRNA 40.00 X 192217 0 19405 JOHN RIEDEL JR CRNA 40.00 X 184768 0 24668 Sandy Casey CRNA 40.00 X 184957 0 24722 1666389 0 238292 15 0 1 0 MORRISON MANAGEMENT SPECIALIST PO BOX 102289 ATLANTA GA 30368 CAFETERIA MANAGEMENT 1296648 MEDCOST BENEFIT SERVICES LLC PO BOX 24042 WINSTONSALEM NC 271144042 INSURANCE ADMINISTRATOR 926215 IT1 SOURCE PO BOX 413006 SALT LAKE CITY UT 841413006 IT SERVICES 321303 MCELWEE FIRM PLLC PO BOX 728 NORTH WILKESBORO NC 28659 LEGAL SERVICES 295688 DIXON HUGHES GOODMAN LLP PO BOX 602828 CHARLOTTE NC 282602828 ACCOUNTING FIRM 180404 8 276948 276948 PATIENT SERVICE REVENUE 621110 91932518 91932518 EHR INCENTIVE PROGRAM REVENUE 621110 529415 529415 92461933 125889 125889 198547 0 198547 198547 198547 3819 0 8826 3819 -8826 -5007 -5007 MEDICAL SUPPLY AND PHARMACY SALES 621110 105478 105478 MISCELLANEOUS INCOME 900099 36349 36349 MEDICAL RECORD TRANSCRIPTION FEES 621110 20927 20927 6412 6412 169166 93227476 92461933 0 488595 781174 781174 27334487 22492529 4841958 1414067 1131254 282813 5185266 4148213 1037053 2398616 1918893 479723 1181251 1181251 211982 211982 7387470 6581948 805522 572952 572952 7385071 5908057 1477014 1380370 1104296 276074 1994684 1994684 470237 376190 94047 1323309 1323309 4832006 4832006 682398 682398 BAD DEBT 10748736 10748736 MEDICAL SUPPLIES 9944524 9944524 PHARMACY DRUG EXPENSE 1630504 1630504 86859104 75390493 11468611 0 2 8019365 6728348 9658900 8914374 2304367 2554604 3253807 5836282 107395944 63649054 43802421 43746890 14161757 14383261 16311109 19840399 97511728 102004158 6420824 7077548 515732 754645 23248641 20577873 7312275 8111948 37497472 36522014 X 60014256 65482144 60014256 65482144 97511728 102004158 X 6368372 -1402 -899082 X X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 3400 3400 0 Part II-B, Line 1: THE ORGANIZATION IS A MEMBER OF THE AMERICAN HOSPITAL ASSOCIATION (AHA) AND THE NORTH CAROLINA HOSPITAL ASSOCIATION (NCHA). EACH YEAR, A PORTION OF THE DUES PAID TO THESE ORGANIZATIONS IS ALLOCATED TOWARDS LOBBYING EFFORTS ON BEHALF OF THEIR MEMBERSHIP BODIES. FOR FY 2016, AMOUNTS OF MEMBERSHIP DUES ALLOCATED TO THESE EXPENDITURES WERE APPROXIMATELY $1,981 FOR AHA AND $ 1,419 FOR NCHA. 976902 976902 55237084 24945392 30291692 4391491 2712693 1678798 45124548 35732684 9391864 1665919 258285 1407634 43746890 DUE FROM WPN 19840399 C 19840399 ESTIMATED THIRD PARTY SETTLEMENTS 4377815 NET PENSION OBLIGATION 3734133 8111948 X 82298886 -1402 -1402 82300288 10927188 10927188 93227476 75931916 0 75931916 10927188 10927188 86859104 Part X, Line 2: WRMC HOSPITAL OPERATING CORPORATION IS A TAX-EXEMPT ORGANIZATION UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. THE ORGANIZATION HAS DETERMINED THAT IT DOES NOT HAVE ANY MATERIAL UNRECOGNIZED TAX BENEFITS OR OBLIGATIONS AS OF SEPTEMBER 30, 2016. Part XI, Line 4b - Other Adjustments: REVENUES IN EXPENSES 178,452. PROVISION FOR BAD DEBT 10,748,736. Part XII, Line 4b - Other Adjustments: PROVISION FOR BAD DEBT 10,748,736. REVENUES IN EXPENSES 178,452. 1 1 1 X 125.000000000000 1 X 1 1 1 0 1 1 4927485 128787 4798698 0.06300 10894810 8908403 1986407 0.02610 15822295 9037190 6785105 0.08910 194403 97893 96510 0.00130 194403 97893 96510 0.00130 16016698 9135083 6881615 0.09040 21933 21933 0.00030 21933 21933 0.00030 0 10748736 X 1 1 1 1 WILKES REGIONAL MEDICAL CENTER 1370 W D STREET NORTH WILKESBORO NC 28659 X X X X WILKES REGIONAL MEDICAL CENTER 1 0 0 1 X X X X X X X X X 15 1 0 0 1 X SEE PART V, SECTION C X 1 15 1 SEE PART V, SECTION C 1 0 1 X 125.000000000000 200.000000000000 X X X X 1 1 X X X 1 X http://wilkesregional.com/patients_visitors/financial_assistance.aspx X http://wilkesregional.com/patients_visitors/financial_assistance.aspx X http://wilkesregional.com/patients_visitors/financial_assistance.aspx X X X X X 1 X 0 X X X X 1 X 0 0 WILKES REGIONAL MEDICAL CENTER Part V, Section B, Line 5: One of the goals of the Community Health Assessment (CHA) was to learn about the health and quality of life in Wilkes County, while identifying the strengths and challenges in the community. As part of the larger CHA project, a stakeholder survey was distributed. The purpose of the stakeholder survey was to solicit input on critical issues that influence the health of citizens and decisions to be made by providers and institutions (e.g., Wilkes County Health Department [WCHD], Wilkes Regional Medical Center [WRMC], community organizations, physicians, etc.). The WCHD sought to include a diversity of opinions that were representative of decision makers, health providers, and social and education services to citizens of Wilkes County. A total of 56 responses were received.Additionally, Community Health Opinion Surveys (CHOS) were distributed to residents of Wilkes County, NC. Surveys were completed either online via Survey Monkey or in person at various community locations. A total of 1,019 residents completed the survey. WILKES REGIONAL MEDICAL CENTER Part V, Section B, Line 11: IMPACT MENTAL HEALTH/SUBSTANCE ABUSE: CONTINUE TO HAVE PARTICIPATION IN THE LOCAL MENTAL HEALTH TASKFORCE AND ANNUALLY CONTINUE TO PROVIDE ADDITIONAL MENTAL HEALTH AND SUBSTANCE ABUSE EDUCATIONAL TRAINING FOR THE ER AND ICU/CCU NURSING STAFF. IMPACT CARDIOVASCULAR DISEASE: CONTINUED COMMUNITY AWARENESS AND EDUCATIONAL CAMPAIGN ON SIGNS AND SYMPTOMS OF HEART DISEASE, STROKE, DIABETES AND HIGH BLOOD PRESSURE. ALSO PROVIDED CAMPAIGN AT 22 HEALTH FAIRS REACHING THE BUSINESS AND INDUSTRY IN WILKES AND ALEXANDER COUNTY. IMPACT CANCER: CONTINUED COMMUNITY AWARENESS AND EDUCATIONAL CAMPAIGN ON OPPORTUNITY FOR PREVENTION AND SIGNS AND SYMPTOMS OF VARIOUS FORMS OF CANCER: BREAST, COLON, LUNG, AND SKIN CANCER. ALSO PROVIDED CAMPAIGN AT 22 HEALTH FAIRS REACHING THE BUSINESS AND INDUSTRY IN WILKES AND ALEXANDER COUNTY. IMPACT COORDINATION OF CARE RESOURCES: HIRED A NURSE TO ASSIST WITH CASE MANAGEMENT OF DISCHARGED PATIENTS TO REDUCE READMISSIONS AND TO WORK WITH THE WFBH FAITH HEALTH INITIATIVE. THE WILKES COUNTY RESOURCES GUIDE WAS UPDATED DURING 2015 AND POSTED ON THE HOSPITAL'S INTRANET FOR EASE OF ACCESS BY EMPLOYEES AND PROVIDERS. IMPACT OBESITY/NUTRITIONAL EDUCATION: THE FOCUS OF THIS INITIATIVE HAS BEEN WITH EMPLOYEES OF WILKES REGIONAL. THE "BIGGEST LOSER" PROGRAM WAS OFFERED AGAIN EVERY THREE MONTHS DURING 2015, WITH STRONG PARTICIPATION AND WEIGHT LOSS RESULTS. A DISCOUNTED PROGRAM AT THE YMCA WAS ESTABLISHED BASED ON LEVEL OF EMPLOYEE PARTICIPATION AT THE LOCAL FAMILY YMCA AND EXPRESS YMCA. WILKES REGIONAL MEDICAL CENTER Part V, Section B, Line 22d: THE HOSPITAL DETERMINES AMOUNTS CHARGED TO FINANCIAL ASSISTANCE ELIGIBLE INDIVIDUALS BASED ON THE FINANCIAL ASSISTANCE POLICY. THE HOSPITAL USES THE AVERAGE OF ALL PRIVATE HEALTH INSURERS AND MEDICARE PAID CLAIMS FOR THE PRIOR 12 MONTHS. PATIENTS ELIGIBLE FOR A SLIDING SCALE DISCOUNT ARE CHARGED AT RATES THAT ARE SIGNIFICANTLY LOWER THAN COMMERCIAL RATES. WILKES REGIONAL MEDICAL CENTER Part V, Section B, Line 23: An average discount that reflected the average discount afforded commercial and managed care covered patients. PART V, SECTION B, LINE 4: HTTP://WILKESREGIONAL.COM/SITES/WILKESREGIONAL_ORG/UPLOADS/2015%20WILKES%20COUNTY%20CHNA20COMPREHENSIVE%20REPORT%20-%20FINAL%20%20WRMC.PDF PART V, SECTION B, LINE 10A: HTTP://WILKESREGIONAL.COM/SITES/WILKESREGIONAL_ORG/UPLOADS/CHNA%202016-2019 20IMPLEMENTATION%20PLAN%20FOR%20WILKES%20REGIONAL.PDF 5 1 - WILKES REGIONAL DIALYSIS CENTER 1917 W PARK DRIVE A NORTH WILKESBORO NC 28659 DIALYSIS CENTER 2 - HOME CARE OF WILKES REGIONAL MEDICAL CEN 1907 WEST PARK DRIVE NORTH WILKESBORO NC 28659 HOME CARE 3 - DIAGNOSTIC CENTER 1900 WEST PARK DRIVE NORTH WILKESBORO NC 28659 DIAGNOSTIC CENTER 4 - REHAB SERVICES 1918 WEST PARK DRIVE NORTH WILKESBORO NC 28659 REHAB CENTER 5 - WOUND HEALING CENTER OF WILKES REGIONAL 1900 WEST PARK DRIVE SUITE C NORTH WILKESBORO NC 28659 WOUND HEALING CENTER Part I, Line 7: THE ORGANIZATION USED AN INTERNAL COST TO CHARGE RATIO. Part I, Line 7g: THE ORGANIZATION PROVIDES CERTAIN SERVICES TO THE COMMUNITY AT A LOSS DUE TO THE COMMUNITY NEED. Part I, Ln 7 Col(f): THE TOTAL EXPENSE ON FORM 990, PART XI, LINE 25 CONTAINS A BAD DEBT EXPENSE OF $10,748,736 THAT HAS BEEN REMOVED FOR PURPOSES OF COMPUTING LINE 7, COLUMN R. Part III, Line 4: THE ORGANIZATION'S FINANCIAL STATEMENTS DO NOT INCLUDE A FOOTNOTE ON BAD DEBT. THE ORGANIZATION IS NOT INCLUDING ANY AMOUNT OF BAD DEBT AS COMMUNITY BENEFIT IN THIS REPORT. Part III, Line 8: WRMC TREATS MEDICARE PATIENTS AT A LOSS AND BELIEVES THIS SHOULD BE INCLUDED IN COMMUNITY BENEFIT. WRMC TREATS ALL PATIENTS, REGARDLESS OF THEIR ABILITY TO PAY. WITHOUT THE MEDICARE PROGRAM, A PERCENTAGE OF THE POPULATION RECEIVING MEDICARE WOULD QUALIFY FOR FINANCIAL ASSISTANCE, WHILE OTHERS WOULD FAIL TO PAY AND BE WRITTEN OFF AS BAD DEBT EXPENSE. ALTERNATIVELY, SOME WOULD HAVE COMMERCIAL INSURANCE AND WE WOULD RECEIVE MORE THAN WE DO FROM MEDICARE. BECAUSE OF THESE FACTORS, THE ORGANIZATION TAKES THE POSITION THAT THE ENTIRETY OF THE MEDICARE SHORTFALL SHOULD BE CONSIDERED A COMMUNITY BENEFIT. THE ORGANIZATION UTILIZES A MEDICARE COST REPORT TO OBTAIN THE ALLOWABLE COSTS OF CARE AND MEDICARE REVENUES. Part III, Line 9b: IF PATIENTS MEET THE QUALIFICATIONS IN REGARDS TO OUR FINANCIAL ASSISTANCE POLICY, THEY ARE GIVEN FINANCIAL ASSISTANCE. THE ORGANIZATION USES FINANCIALS COUNSELORS TO DETERMINE THIS ELIGIBILITY. THE HOSPTIAL'S BILLING AND COLLECTIONS POLICY ADDRESSES HOW FINANCIAL ASSISTANCE ELIGIBLE PATIENTS ARE BILLED AND ACTIONS THAT MAY BE TAKEN PURSUANT TO IRC SECTION 501(R). Part VI, Line 2: WILKES REGIONAL MEDICAL CENTER WORKS WITH COUNTY HEALTH DEPARTMENTS AND COUNTY GOVERNMENT AS A HEALTH COALITION TO DETERMINE HEALTH CARE NEEDS IN THE COMMUNITY. INPUT IS ALSO SOLICITED FROM SURROUNDING PHYSICIANS REGARDING APPROPRIATE SERVICES FOR THE AREA Part VI, Line 3: THE HOSPITAL NOTIFIES PATIENTS WHEN THEY REGISTER THAT WE HAVE A FINANCIAL ASSISTANCE POLICY. THE HOSPITAL USES FINANCIAL COUNSELORS TO ASSIST PATIENTS IN DETERMINING IF THEY QUALIFY FOR CHARITY CARE. THE HOSPITAL ALSO DISCUSSES WITH THE PATIENT THE AVAILABILITY OF VARIOUS GOVERNMENT BENEFITS, SUCH AS MEDICAID OR STATE PROGRAMS, AND ASSISTS THE PATIENT WITH QUALIFICATION FOR SUCH PROGRAMS, WHERE APPLICABLE. LANGUAGE BARRIERS ARE TAKEN INTO ACCOUNT WITH ALL PATIENT COMMUNICATIONS. Part VI, Line 4: THE HOSPITAL'S PRIMARY SERVICE AREA IS WILKES COUNTY AND ALSO INCLUDES THE SURROUNDING COUNTIES OF ALLEGHANY, ALEXANDER, ASHE, CALDWELL, IREDELL, SURRY, AND WATAUGA, WITH A TOTAL POPULATION OF APPROXIMATELY 458,000. Part VI, Line 5: THE HOSPITAL FURTHERS ITS EXEMPT PURPOSE BY PROMOTING THE HEALTH OF THE COMMUNITY IN SEVERAL OTHER WAYS. A MAJORITY OF THE HOSPITAL'S GOVERNING BODY IS COMPRISED OF PERSONS WHO RESIDE IN THE HOSPITAL'S PRIMARY SERVICE AREA WHO ARE NEITHER EMPLOYEES, CONTRACTORS OF THE ORGANIZATION, NOR FAMILY MEMBERS THEREOF. FURTHERMORE, THE HOSPITAL EXTENDS MEDICAL STAFF PRIVILEGES TO ALL QUALIFIED PHYSICIANS IN ITS COMMUNITY FOR ALL OF ITS DEPARTMENTS. IF ANY SURPLUS EXISTS AT THE END OF THE FISCAL YEAR, THE HOSPITAL APPLIES SURPLUS FUNDS TO IMPROVEMENTS IN PATIENT CARE AND MEDICAL EDUCATION. THE HOSPITAL HOLDS MULTIPLE HEALTH FAIRS AROUND THE COMMUNITY ON AN ANNUAL BASIS. THE HOSPITAL OPERATES AN EMERGENCY ROOM AVAILABLE TO ALL REGARDLESS OF ABILITY TO PAY. THE HOSPITAL PARTICIPATES IN EDUCATION AND TRAINING OF HEALTHCARE PROFESSIONALS. THE HOSPITAL PARTICIPATES IN GOVERNMENT-SPONSORED HEALTH PROGRAMS. THE HOSPITAL SERVES AS A VEHICLE FOR ATTRACTING AND EFFECTIVELY USING DONATED FUNDS. THE HOSPITAL OFFERS VOLUNTEER OPPORTUNITES TO MEMBERS OF THE COMMUNITY. THE HOSPITAL OPERATES THE CARE CONNECTIONS PHARMACY WHICH PROVIDES FREE AND DISCOUNTED PRESCRIPTION DRUGS TO THOSE UNABLE TO PAY FOR MEDICATIONS. APPROXIMATELY 1000 PRESCRIPTIONS ARE FILLED MONTHLY FOR 258 PLUS PATIENTS. THIS PROGRAM ENABLES PATIENTS TO STAY COMPLIANT WITH THEIR MEDICAL TREATMENT PLAN AND ALSO REDUCE THE OCCURENCE OF READMISSIONS. Part VI, Line 7, Reports Filed With States NC X X X X X 0 0 0 0 0 0 0 0 0 J Gene Faile CEO 240817 0 68703 0 33571 0 34061 0 32644 0 409796 0 0 0 Barry Wald CFO 153527 0 33082 0 215 0 9942 0 24106 0 220872 0 0 0 Sandy Sheppard CNO (THROUGH 11/15) 146111 0 18026 0 2479 0 16720 0 10190 0 193526 0 0 0 Jason Yockey CRNA 210164 0 700 0 300 0 4356 0 20833 0 236353 0 0 0 JOHN WALLER CRNA 195262 0 200 0 1290 0 3996 0 12649 0 213397 0 0 0 HEATHER GOODWYN CRNA 191955 0 200 0 62 0 3036 0 16369 0 211622 0 0 0 JOHN RIEDEL JR CRNA 184124 0 200 0 444 0 3835 0 20833 0 209436 0 0 0 Sandy Casey CRNA 184307 0 200 0 450 0 3889 0 20833 0 209679 0 0 0 Form 990, Part VI, Section A, line 1 THE EXECUTIVE COMMITTEE SHALL BE COMPOSED OF THE CHAIRMAN OF THE BOARD (WHO SHALL ALSO SERVE AS CHAIRMAN OF THE COMMITTEE) AND THE VICE CHAIRMEN. THE EXECUTIVE COMMITTEE SHALL MEET AS NECESSARY. A MAJORITY OF THE EXECUTIVE COMMITTEE SHALL CONSTITUTE A QUORUM, AND A MAJORITY OF THE MEMBERS PRESENT SHALL BE REQUIRED TO TAKE ACTION ON ANY MATTER. THE RESPONSIBILITIES OF THE EXECUTIVE COMMITTEE SHALL INCLUDE, BUT NOT BE LIMITED TO: (A) PARTICIPATION IN THE JOINT CONFERENCE COMMITTEE; (B) LONG RANGE PLANNING; (C) ACQUISITIONS; AND (D) BUSINESS DEVELOPMENT; (E) SETTING GOALS FOR AND EVALUATING THE CEO, CFO, AND CNO, AND (F) APPROVAL OF THE COMPENSATION OF THE CEO, CFO, AND CNO. IN THE EVENT IMMEDIATE BOARD ACTION IS REQUIRED TO AVOID SUBSTANTIAL HARM AND A QUORUM OF THE FULL BOARD CANNOT TIMELY BE CONVENED, THE EXECUTIVE COMMITTEE IS AUTHORIZED TO APPROVE EMERGENCY ACTION; PROVIDED, HOWEVER THAT SUCH ACTION SHALL BE REPORTED TO THE FULL BOARD TO SEEK RATIFICATION OF THE ACTION AT A SPECIAL MEETING CALLED FOR THAT PURPOSE. Form 990, Part VI, Section A, line 3 ON FEBRUARY 7, 2007, THE HOSPITAL SYSTEM ENTERED INTO A SERVICES AND AFFILIATION AGREEMENT WITH THE CHARLOTTE MECKLENBURG HOSPITAL AUTHORITY D/B/A CAROLINAS HEALTHCARE SYSTEM (CHS). THE AGREEMENT APPOINTS CAROLINAS HEALTHCARE SYSTEM AS THE MANAGER OF THE HOSPITAL SYSTEM. THE BOARD OF WILKES REGIONAL MEDICAL CENTER (WRMC) CONTINUES TO OVERSEE THE OPERATIONS OF THE HEALTHCARE FACILITY AND RELATED EXEMPT ACTIVITIES. AS PART OF THE AGREEMENT, WRMC GRANTS CHS THE RESPONSIBILITY FOR MANAGEMENT OF THE HEALTH SYSTEM, SUBJECT TO THE GENERAL APPROVAL OF THE BOARD OF DIRECTORS OF WRMC. BOARD APPROVAL IS REQUIRED FOR LARGE CAPITAL EXPENDITURES, SALE OR DISPOSAL OF SYSTEM ASSETS, AND BORROWING IN EXCESS OF IMMATERIAL AMOUNTS. CHS IS REQUIRED TO PROVIDE KEY MANAGEMENT PERSONNEL. WRMC REIMBURSES CHS THE SALARY AND BENEFITS COST OF THESE INDIVIDUALS. DURING 2015, THESE INDIVIDUALS INCLUDED GENE FAILE, CEO; BARRY WALD, CFO; AND SANDY SHEPPARD, CNO. COMPENSATION DETAILS FOR THESE INDIVIDUALS ARE INCLUDED IN PART VII, SECTION A. Form 990, Part VI, Section B, line 11 THE FORM 990 WAS PREPARED BY AN INDEPENDENT ACCOUNTING FIRM AND REVIEWED BY MANAGEMENT. BOARD MEMBERS RECEIVED A COPY OF THE RETURN FOR PERSONAL REVIEW PRIOR TO FILING WITH THE IRS. THE ORGANIZATION'S EXECUTIVE COMMITTEE AND FINANCE COMMITTEE REVIEWED AND DISCUSSED THE FORM 990 WITH MANAGEMENT PRIOR TO SUBMISSION WITH THE IRS. Form 990, Part VI, Section B, line 12c WHENEVER A BOARD MEMBER MAKES A DISCLOSURE REGARDING A CONFLICT OF INTEREST, OR INFORMATION CONCERNING A POTENTIAL CONFLICT OF INTEREST COMES TO THE ATTENTION OF THE BOARD, THE BOARD MEMBER INVOLVED MAY BE REQUIRED TO PROVIDE FURTHER INFORMATION AND TO WITHDRAW FROM THE MEETING FOR A DISCUSSION AND RECOMMENDATION OR DECISION REGARDING THE CONFLICT. BOARD MEMBERS, AT LEAST ANNUALLY, SHALL INDICATE IN WRITING THAT THEY ARE FAMILIAR WITH THIS ARTICLE REGARDING CONFLICTS OF INTEREST AND THAT THEY HAVE NOT VIOLATED ANY OF ITS PROVISIONS. Form 990, Part VI, Section B, line 15 THE ORGANIZATION UTILIZES AN INDEPENDENT THIRD PARTY COMPENSATION CONSULTANT TO PROVIDE COMPENSATION BENCHMARKING DATA FOR NUMEROUS KEY POSITIONS INCLUDING CEO, CFO AND CNO. THE BOARD USES THIS DATA DURING AN ANNUAL REVIEW AND APPROVAL PROCESS. ALSO, THE BOARD OF DIRECTORS PERFORMS AN ANNUAL ANALYSIS OF WAGE INCREASES OFFERED TO OTHER EMPLOYEES. Form 990, Part VI, Section C, line 18 THE ORGANIZATION MAKES ITS FORM 990 AVAILABLE TO THE PUBLIC UPON REQUEST. Form 990, Part VI, Section C, line 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. Form 990, Part XI, line 9: EQUITY TRANSFER TO AFFILIATE WILKES PHYSICIAN NETWORK -899,082. PART XII, LINE 2C THIS PROCESS HAS NOT CHANGED FROM PRIOR YEARS. WILKES PHYSICIAN NETWORK INC 1370 WEST D STREET NORTH WILKES NC 28659 PHYSICIAN PRACTICES NC 501(c)(3) 3 WRMC HOSPITAL OPERATING CORPORATION 1 0 0 0 1 0 0 0 0 0 1 0 0 0 0 1 1 0 1 0 WILKES PHYSICIAN NETWORK INC P 899082 EQUITY TRANSFER WILKES PHYSICIAN NETWORK INC D 19840399 BALANCE OF A/R WILKES PHYSICIAN NETWORK INC J 73909 FMV