2015-08-12T10:27:59-05:00 2014-09-30 420714325 MCGLADREY LLP ONE SOUTH WACKER STE 800 CHICAGO IL 60606 990 2013-10-01 331075317 NCHMD Inc NCHM 2396246338 PO Box 413029 Naples FL 341013029 KEVIN D COOPER CHIEF OF STAFF 2396244003 2015-08-11 1 WAYNE HARDER P00294296 3126343400 2013 2016-02-25 16:41:14Z NCH PHYSICIAN GROUP KEVIN D COOPER PO Box 413029 Naples FL 341013029 69388133 0 X WWW.NCHMD.ORG X 2003 FL THROUGH THE PROVISION OF CHARITABLE HEALTHCARE, OUR MISSION IS HELPING EVERYONE LIVE A LONGER, HAPPIER, AND HEALTHIER LIFE. 11 2 496 5 0 0 0 0 59487869 68075529 -4596 -262 911015 1088652 60394288 69163919 0 0 0 0 54077197 58912616 0 0 0 20366167 22204966 74443364 81117582 -14049076 -11953663 19098498 18449997 10147140 13190615 8951358 5259382 X THROUGH THE PROVISION OF CHARITABLE HEALTHCARE, OUR MISSION IS HELPING EVERYONE LIVE A LONGER, HAPPIER, AND HEALTHIER LIFE. 0 0 13114120 10219847 CARDIOLOGY SERVICES WERE NCH PHYSICIAN GROUP'S LARGEST PROGRAM SERVICE ACCOMPLISHMENT IN 2014. NCHMD, INC., IN CONJUNCTION WITH THE NCH DOWNTOWN NAPLES HOSPITAL, IS HOME TO ONE OF THE MOST SUCCESSFUL CARDIAC PROGRAMS IN THE NATION. WE HAVE BEEN RANKED AMONG THE TOP 5% IN THE NATION FOR OVERALL CARDIAC SERVICES AND CARDIOLOGY SERVICES FOR 6 CONSECUTIVE YEARS. OUR SERVICES INCLUDE INVASIVE AND NON-INVASIVE CARDIAC PROCEDURES, CARDIAC REHABILITATION AND WELLNESS PROGRAMS.WITHIN THIS SERVICE LINE, NCHMD EMPLOYED 23 LICENSED INDEPENDENT PRACTITIONERS AND 30 FULL-TIME EQUIVALENT EMPLOYEES WHO SERVICED 40,374 ARRIVED APPOINTMENTS, PROVIDED $344,443 OF CHARITY CARE AND ALSO WROTE OFF $491,927 OF BAD DEBT. 9028410 7152816 FAMILY PRACTICE SERVICES WERE NCH PHYSICIAN GROUP'S SECOND LARGEST PROGRAM SERVICE ACCOMPLISHMENT IN 2014. THIS PROGRAM SERVICE OFFERS CARE TO THE WHOLE FAMILY, BY TREATING NOT ONLY ILLNESSES, BUT BY HELPING YOU FIND WAYS TO IMPROVE YOUR HEALTH AND PREVENT DISEASE. OUR FAMILY MEDICINE OFFICES PROVIDE COMPLETE CARE TO INFANTS, CHILDREN, ADOLESCENTS, ADULTS AND THE ELDERLY.WITHIN THIS SERVICE LINE, NCHMD EMPLOYED 29 LICENSED INDEPENDENT PRACTITIONERS AND 42 FULL-TIME EQUIVALENT EMPLOYEES WHO SERVICED 63,992 ARRIVED APPOINTMENTS, PROVIDED $4,373 OF CHARITY CARE AND ALSO WROTE OFF $55,778 OF BAD DEBT. 7501617 6576348 SEE SCHEDULE OINTERNAL MEDICINE SERVICES WERE NCH PHYSICIAN GROUP'S THIRD LARGEST PROGRAM SERVICE ACCOMPLISHMENT IN 2014. THE NCH PHYSICIAN GROUP'S INTERNAL MEDICINE PHYSICIANS FOCUS ON ADULT MEDICINE BY EMPHASIZING PREVENTION AND TREATMENT OF ADULT DISEASES WITH STATE OF THE ART TECHNOLOGY IN A COMPASSIONATE ENVIRONMENT. THESE PHYSICIANS WORK CLOSELY WITH ALL OUR SPECIALISTS AS WELL AS OUR ANCILLARY TESTING DEPARTMENTS SUCH AS RADIOLOGY, LABORATORY AND PHYSICAL THERAPY TO HELP SOLVE DIAGNOSTIC PROBLEMS. WITHIN THIS SERVICE LINE, NCHMD EMPLOYED 27 LICENSED INDEPENDENT PRACTITIONERS AND 27 FULL-TIME EQUIVALENT EMPLOYEES WHO SERVICED 37,872 ARRIVED APPOINTMENTS, PROVIDED $27,568 OF CHARITY CARE AND ALSO WROTE OFF $61,929 OF BAD DEBT. 45871516 45212325 IN PROVIDING THE OTHER PROGRAM SERVICE LINES, NCHMD EMPLOYED 65 LICENSED INDEPENDENT PRACTITIONERS AND 299 FTES WHO SERVICED 129,621 ARRIVED APPOINTMENTS, PROVIDED $969,084 OF CHARITY CARE AND ALSO WROTE OFF $1,688,475 OF BAD DEBT.NCH PHYSICIAN'S GROUP OTHER PROGRAM SERVICE LINES ARE: EXPENSE REVENUEINFECTIOUS DISEASE $7,240,764 $6,997,253PULMONARY 6,911,114 6,283,614LAB & RADIOLOGY 6,641,867 8,977,202 ORTHOPEDICS 5,685,648 4,779,634PEDIATRICS 4,049,897 4,493,568GENERAL SURGERY 2.995,997 2,613,883 GASTROENTEROLOGY 2,710,466 2,501,088GERIATRICS 2,149,971 1,768,783URGENT CARE 1,793,953 1,994,563PSYCHIATRY 1,583,388 882,947RHEUMATOLOGY 1,546,149 1,454,895 PAIN MANAGEMENT 1,520,748 1,488,632PHYSICAL THERAPY 514,383 471,039 PRO TIME 411,846 424,956WOUND HEALING 115,325 80,268 45871516 45212325 75515663 1 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 1 71 0 1 496 1 0 0 0 0 0 0 0 0 0 0 X 11 2 1 0 0 0 1 1 1 1 1 0 1 1 1 1 1 1 1 1 1 1 0 FL X X KEVIN D COOPER CHIEF OF STAFF 2396244003 350 SEVENTH STREET NORTH NAPLES FL 34102 MARIANN MACDONALD TRUSTEE 0.50 1.50 X 0 0 0 THOMAS J GAZDIC TRUSTEE 0.50 1.50 X 0 0 0 DAVID R AXLINE MD PHYSICIAN/TRUSTEE 40.00 0.00 X 887014 0 34212 DOREEN CASSARINO ARNP NURSE PRACTITIONER/TRUSTEE 40.00 0.00 X 123763 0 20738 JON S DOUNCHIS MD PHYSICIAN/TRUSTEE 40.00 0.00 X 1493608 0 33011 KAREN HENRICHSEN DO PHYSICIAN/TRUSTEE CHAIR 40.00 0.00 X X 423685 0 25846 ROBERT HANSON MD PHYSICIAN/TRUSTEE/FORMER CHAIR 40.00 0.00 X 445744 0 33173 DAVID LINDNER DO PHYSICIAN/TRUSTEE 40.00 0.00 X 475736 0 33173 MARYANN LOMONACO MD PHYSICIAN/TRUSTEE 40.00 0.00 X 252630 0 33173 GARY SWAIN MD PHYSICIAN/TRUSTEE VICE CHAIR 40.00 0.00 X X 59145 34723 0 DAVID LAMON MD PHYSICIAN/TRUSTEE 40.00 0.00 X 61716 0 3831 DAMIAN M MCGOVERN MD PHYSICIAN/TRUSTEE 40.00 0.00 X 608787 0 33173 KEVIN D COOPER SEC/TREAS-GEN COUNSEL/CHIEF OF STAFF 1.00 44.00 X X 0 467082 34195 MICHELE THOMAN RN CNO, NCH HEALTHCARE SYSTEM 1.00 44.00 X X 0 328420 34971 JOHN MCGIRL CHIEF HR OFFICER - TERMED 8/30/2014 1.00 44.00 X 0 247097 29456 HELEN THOMPSON CIO - TERMED 10/18/2013 1.00 44.00 X 0 278107 16108 ALLEN S WEISS MD PRESIDENT/CEO 1.00 44.00 X 0 801974 26886 PHILLIP DUTCHER COO, NCH HEALTHCARE SYSTEM 1.00 44.00 X 0 471580 11240 CHARLES D ARDOIN MD CHIEF MEDICAL OFFICER-START 10/20/13 1.00 44.00 X 0 64893 233 MICHAEL STEPHENS CFO, NCH HEALTHCARE SYSTEM 1.00 44.00 X 0 224747 7628 ELIZABETH MARTIN ASSISTANT SECRETARY 1.00 44.00 X 0 57714 15435 MICHAEL RILEY CHIEF STRATEGY OFFICER 1.00 44.00 X 0 250765 34971 JAMES K MARTIN CHIEF DEVELOPMENT OFFICER 1.00 44.00 X 0 299519 34213 RENEE M THIGPEN INTERIM CHIEF HR OFF-START 9/1/2014 1.00 44.00 X 0 181591 23964 ZACHARY BOSTOCK CHIEF ADMINISTRATIVE OFFICER 40.00 5.00 X 300261 0 32491 GARY PARSONS MD CHIEF MEDICAL OFF-TERMED 12/30/2013 40.00 0.00 X 387282 0 18851 HOWARD KAPP MD PHYSICIAN 40.00 0.00 X 2169348 0 26604 JAN BARRIOS MD PHYSICIAN 40.00 0.00 X 914187 0 33173 CARLO SANTOS-OCAMPO MD PHYSICIAN 40.00 0.00 X 724917 0 33173 GUY WINZENRIED MD PHYSICIAN TERMED 9/26/14 40.00 0.00 X 731676 0 33532 GARY BERGEN MD PHYSICIAN 40.00 0.00 X 689945 0 32653 AURORA ESTEVEZMDTERM 032013 FORMER CHIEF MEDICAL OFFICER 0.00 0.00 X 0 194550 7953 VICKI D ORR TERM 052013 FORMER CHIEF FINANCIAL OFFICER 0.00 0.00 X 0 454077 33172 10749444 4356839 771232 83 1 1 0 F & S RADIOLOGY PO BOX 674360 DETROIT MI 482674360 RADIOLOGY SERVICES 668234 GE HEALTHCARE PO BOX 402076 ATLANTA GA 303842076 EQUIPMENT MAINTENANCE 649668 GE HEALTHCARE IITS 15724 COLLECTIONS CENTER DRIVE CHICAGO IL 60693 PATIENT BILLING MAINTENANCE 389485 CERNER CORPORATION PO BOX 412702 KANSAS CITY MO 64141 IT CONSULTING SERVICES & SUPPORT 324996 LOCUMTENENS COM LLC PO BOX 405547 ATLANTA GA 303845547 STAFFING 276137 8 Offices of Physicians 621110 68075529 68075529 68075529 223952 223952 0 0 262 -262 -262 -262 PHYSICIAN ON-CALL REV 900099 1085355 1085355 EMPLOYEE SALES 900099 2845 0 2845 452 452 1088652 69163919 69161336 0 2583 X 6057877 5477993 579884 48265110 45820700 2444410 1258115 1188038 70077 923837 872379 51458 2407677 2273569 134108 3713 3713 3262188 2429707 832481 114007 114007 2000928 1203975 796953 483712 456769 26943 3842608 3242782 599826 114749 113997 752 2697457 2670116 27341 1305830 1272997 32833 MEDICAL SUPPLIES 6078834 6077735 1099 BAD DEBT 2298109 2298109 0 2831 2790 41 81117582 75515663 5601919 0 4224625 4271598 671501 828721 283722 512761 20306282 10677054 9188949 9629228 4174707 3087969 554994 119720 19098498 18449997 9752364 12350895 0 588500 394776 251220 10147140 13190615 X 8951358 5259382 8951358 5259382 19098498 18449997 X -11953663 8261687 X 0 1 X 1 0 X 5074301 59422838 58705784 59487869 66237299 248928091 5074301 59422838 58705784 59487869 66237299 248928091 0 0 0 248928091 -28315 -43979 -4596 -262 -77152 -28315 -43979 -4596 -262 -77152 798247 939411 911014 1088652 3737324 5074301 60192770 59601216 60394287 67325689 252588263 0.98550 0.98610 0.00000 0.00000 X Schedule A, Part III, Line 12, Explanation of Other Income: PHYSICIAN ON CALL REVENUE - 2010 Amount: $ 572,899. 2011 Amount: $ 910,408. 2012 Amount: $ 802,140. 2013 Amount: $ 1,085,355. MISC ACCOUNTS REC RECEIPTS - 2010 Amount: $ 212,499. 2011 Amount: $ 10,860. 2012 Amount: $ 5,478. 2013 Amount: $ 452. EMPLOYEE SALES - 2010 Amount: $ 3,320. 2011 Amount: $ 3,070. 2012 Amount: $ 2,943. 2013 Amount: $ 2,845. MISC VENDOR RECEIPTS - 2010 Amount: $ 9,529. 2011 Amount: $ 15,073. PHYSICIAN CONTRACT BUYOUT - 2012 Amount: $ 100,453. 5117366 514336 4603030 3100824 3002607 98217 10516360 7160111 3356249 1571732 1571732 9629228 LONG-TERM LEASE LIABILITY 251220 251220 X Part X, Line 2: THE SYSTEM AND ALL OF ITS NOT-FOR-PROFIT SUBSIDIARIES ARE EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(a) OF THE INTERNAL REVENUE CODE (THE CODE) AS ORGANIZATIONS DESCRIBED IN SECTION 501(C)(3) OF THE CODE, AND ARE EXEMPT FROM FEDERAL INCOME TAXES ON RELATED INCOME PURSUANT TO SECTION 501(a) OF THE CODE. THE SYSTEM AND ALL OF ITS NOT-FOR-PROFIT SUBSIDIARIES DO NOT HAVE SIGNIFICANT UNRELATED BUSINESS INCOME; HOWEVER, SUCH STATUS IS SUBJECT TO FINAL DETERMINATION UPON EXAMINATION OF THE RELATED INCOME TAX RETURNS BY THE APPROPRIATE TAXING AUTHORITIES. THE SYSTEM IS NO LONGER SUBJECT TO TAX EXAMINATIONS IN THE MAJOR U.S. TAXING JURISDICTIONS IN WHICH THEY OPERATE FOR TAX YEARS PRIOR TO 2010. X X X X 1 0 0 0 0 0 0 1 0 DAVID R AXLINE MD PHYSICIAN/TRUSTEE 555669 0 313845 0 17500 0 10200 0 24012 0 921226 0 0 0 JON S DOUNCHIS MD PHYSICIAN/TRUSTEE 1111180 0 364928 0 17500 0 10200 0 22811 0 1526619 0 0 0 KAREN HENRICHSEN DO PHYSICIAN/TRUSTEE CHAIR 260540 0 145645 0 17500 0 10200 0 15646 0 449531 0 0 0 ROBERT HANSON MD PHYSICIAN/TRUSTEE/FORMER CHAIR 341682 0 86562 0 17500 0 10200 0 22973 0 478917 0 0 0 DAVID LINDNER DO PHYSICIAN/TRUSTEE 441080 0 17156 0 17500 0 10200 0 22973 0 508909 0 0 0 MARYANN LOMONACO MD PHYSICIAN/TRUSTEE 196299 0 38831 0 17500 0 10200 0 22973 0 285803 0 0 0 DAMIAN M MCGOVERN MD PHYSICIAN/TRUSTEE 448336 0 142951 0 17500 0 10200 0 22973 0 641960 0 0 0 KEVIN D COOPER SEC/TREAS-GEN COUNSEL/CHIEF OF STAFF 0 382756 0 66826 0 17500 0 10182 0 24013 0 501277 0 0 MICHELE THOMAN RN CNO, NCH HEALTHCARE SYSTEM 0 264605 0 46315 0 17500 0 10200 0 24771 0 363391 0 0 JOHN MCGIRL CHIEF HR OFFICER - TERMED 8/30/2014 0 219172 0 10425 0 17500 0 4850 0 24606 0 276553 0 0 HELEN THOMPSON CIO - TERMED 10/18/2013 0 214784 0 9284 0 54039 0 2935 0 13173 0 294215 0 0 ALLEN S WEISS MD PRESIDENT/CEO 0 668806 0 115668 0 17500 0 10200 0 16686 0 828860 0 0 PHILLIP DUTCHER COO, NCH HEALTHCARE SYSTEM 0 387254 0 66826 0 17500 0 10200 0 1040 0 482820 0 0 MICHAEL STEPHENS CFO, NCH HEALTHCARE SYSTEM 0 198974 0 15000 0 10773 0 0 0 7628 0 232375 0 0 MICHAEL RILEY CHIEF STRATEGY OFFICER 0 198242 0 35023 0 17500 0 10200 0 24771 0 285736 0 0 JAMES K MARTIN CHIEF DEVELOPMENT OFFICER 0 240076 0 41943 0 17500 0 10200 0 24013 0 333732 0 0 RENEE M THIGPEN INTERIM CHIEF HR OFF-START 9/1/2014 0 154199 0 23140 0 4252 0 7358 0 16606 0 205555 0 0 ZACHARY BOSTOCK CHIEF ADMINISTRATIVE OFFICER 244899 0 37862 0 17500 0 10200 0 22291 0 332752 0 0 0 GARY PARSONS MD CHIEF MEDICAL OFF-TERMED 12/30/2013 315228 0 54554 0 17500 0 10200 0 8651 0 406133 0 0 0 HOWARD KAPP MD PHYSICIAN 1566153 0 585695 0 17500 0 10200 0 16404 0 2195952 0 0 0 JAN BARRIOS MD PHYSICIAN 483845 0 412842 0 17500 0 10200 0 22973 0 947360 0 0 0 CARLO SANTOS-OCAMPO MD PHYSICIAN 524057 0 183360 0 17500 0 10200 0 22973 0 758090 0 0 0 GUY WINZENRIED MD PHYSICIAN TERMED 9/26/14 502607 0 211569 0 17500 0 10200 0 23332 0 765208 0 0 0 GARY BERGEN MD PHYSICIAN 511217 0 161228 0 17500 0 10200 0 22453 0 722598 0 0 0 AURORA ESTEVEZMDTERM 032013 FORMER CHIEF MEDICAL OFFICER 0 118364 0 70802 0 5384 0 7953 0 0 0 202503 0 0 VICKI D ORR TERM 052013 FORMER CHIEF FINANCIAL OFFICER 0 160312 0 66826 0 226939 0 9719 0 23453 0 487249 0 0 Part I, Line 4a VICKI D. ORR, CHIEF FINANCIAL OFFICER/ASSISTANT TREASURER RESIGNED 5/22/2013 AND RECEIVED A SEVERANCE PAYMENT OF $219,536 FOR CALENDAR YEAR 2013. Part I, Line 7 PROVISION OF NON-FIXED PAYMENTS THIS ORGANIZATION IS AN AFFILIATE OF NAPLES COMMUNITY HOSPITAL, INC. ("NCH"). ALL COMPENSATION ARRANGEMENTS ARE DETERMINED AND PAID THROUGH NCH. NCH MAY PROVIDE DISCRETIONARY BONUS AND/OR INCENTIVE COMPENSATION PAYMENTS TO ELIGIBLE EMPLOYEES. PAYMENTS MADE TO ANY DISQUALIFIED PERSON IS APPROVED BY THE NCH COMPENSATION COMMITTEE THROUGH THE PROCESS DESCRIBED IN FORM 990, PART VI, SECTION B, LINE 15. GMANCHOR EAGLEVIEW DEVELOPMENT LLC TRUSTEE/PARTNER 695573 NCHMD LEASES BUILDING 0 LDCH REAL ESTATE HOLDINGS LLC TRUSTEE/PARTNER 129458 NCHMD LEASES BUILDING 0 FORM 990, SCHEDULE L, PART IV MARYANN LOMONACO M.D., BOARD TRUSTEE, AND GARY PARSONS M.D., CHIEF MEDICAL OFFICER, HAVE A PARTNERSHIP INTEREST IN GM/ANCHOR EAGLEVIEW DEVELOPMENT, LLC THAT NCHMD LEASES OFFICE SPACE FROM.DAVID LINDNER D.O., BOARD TRUSTEE, HAS A PARTNERSHIP INTEREST IN LDCH REAL ESTATE HOLDINGS THAT NCHMD LEASES OFFICE SPACE FROM. FORM 990, PART III LINE 4, PROGRAM SERVICES NCHMD, INC. ("NCH PHYSICIAN GROUP") PROVIDES OUTPATIENT HEALTHCARE SERVICES WITHOUT REGARD TO A PATIENT'S ABILITY TO PAY. DURING 2014, NCHMD, INC. PROVIDED $1,345,468 OF CHARITY CARE TO PATIENTS WHO WERE UNABLE TO PAY AND NOT COVERED BY ANY GOVERNMENTAL OR PRIVATE INSURANCE PROGRAM. ADDITIONALLY, NCHMD, INC. WROTE OFF $2,298,109 CLASSIFIED AS BAD DEBTS. THE SERVICES OFFERED WITHIN THE NCH PHYSICIAN GROUP ARE EXTENSIVE AND INCLUDE A VARIETY OF MEDICAL SPECIALTIES SUCH AS CARDIOLOGY, PULMONARY, FAMILY MEDICINE, PEDIATRICS, INTERNAL MEDICINE AND URGENT CARE. A TOTAL OF 398 FULL-TIME EQUIVALENT EMPLOYEES, WHICH INCLUDE 144 LICENSED INDEPENDENT PRACTITIONERS, COMPRISE THE OUTSTANDING MEDICAL TEAM WORKING TOGETHER TO PROVIDE THESE SERVICES TO 271,829 ARRIVED APPOINTMENTS IN 2014. Form 990, Part VI, Section A, line 2 DETAIL OF BUSINESS RELATIONSHIPS MARYANN LOMONACO M.D., BOARD TRUSTEE, DAVID LINDNER D.O., BOARD TRUSTEE, AND GARY PARSONS M.D., CHIEF MEDICAL OFFICER, HAVE A BUSINESS RELATIONSHIP. Form 990, Part VI, Section A, line 6 GOVERNING BODY AND MANAGEMENT NCH HEALTHCARE SYSTEM,INC. IS THE SOLE CORPORATE MEMBER OF THE ORGANIZATION. Form 990, Part VI, Section A, line 7a GOVERNING BODY AND MANAGEMENT NCH HEALTHCARE SYSTEMS, INC. SOLE MEMBER OF THIS ORGANIZATION, ELECTS THIS ORGANIZATION'S DIRECTORS. Form 990, Part VI, Section A, line 7b GOVERNING BODY AND MANAGEMENT ALL OF THE GOVERNANCE DECISIONS FOR NCHMD, INC. ARE RESERVED TO THE GOVERNING BODY OF NCH HEALTHCARE SYSTEM, INC. Form 990, Part VI, Section B, line 11 FORM 990 REVIEW PROCESS INFORMATION RELATED TO NCHMD, INC.'S ("NCHMD") FORM 990 FILING IS GATHERED BY FINANCE STAFF AND PROVIDED TO MCGLADREY LLP FOR REVIEW. THE 2013 FORM 990 FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2014 WAS REVIEWED AND APPROVED BY THE CHAIRMAN OF THE NCH FINANCE COMMITTEE, NCH HEALTHCARE SYSTEM CHIEF OF STAFF, AND OUTSIDE COUNSEL FOR THE BOARD PRIOR TO FILING WITH THE IRS. Form 990, Part VI, Section B, line 12c CONFLICT OF INTEREST POLICY ANNUALLY, ALL NCH HEALTHCARE SYSTEM, INC. OFFICERS, DIRECTORS, TRUSTEES AND KEY EMPLOYEES ARE REQUIRED TO DISCLOSE INTERESTS THAT COULD POTENTIALLY GIVE RISE TO CONFLICTS. AFTER DISCLOSURE OF THE FINANCIAL INTEREST AND ALL MATERIAL FACTS, AND AFTER ANY DISCUSSION WITH THE INTERESTED PERSON, HE/SHE SHALL LEAVE THE BOARD OR COMMITTEE MEETING WHILE THE DETERMINATION OF A CONFLICT OF INTEREST IS DISCUSSED AND VOTED UPON. THE REMAINING BOARD OR COMMITTEE MEMBERS SHALL DECIDE IF A CONFLICT OF INTEREST EXISTS. MANAGEMENT SHALL DISCLOSE OTHER POTENTIAL CONFLICTS WITH THE COMPLIANCE OFFICER. AFTER EXERCISING DUE DILIGENCE, THE BOARD OR COMMITTEE SHALL DETERMINE WHETHER THE CORPORATION CAN OBTAIN A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT WITH REASONABLE EFFORTS FROM A PERSON OR ENTITY THAT WOULD NOT GIVE RISE TO A CONFLICT OF INTEREST. IF A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT IS NOT REASONABLY ATTAINED UNDER CIRCUMSTANCES THAT WOULD NOT GIVE RISE TO A CONFLICT OF INTEREST, THE BOARD OR COMMITTEE SHALL DETERMINE BY A MAJORITY VOTE OF THE DISINTERESTED TRUSTEES WHETHER THE TRANSACTION OR ARRANGEMENT IS IN THE CORPORATION'S BEST INTEREST AND FOR ITS OWN BENEFIT AND WHETHER THE TRANSACTION IS FAIR AND REASONABLE TO THE CORPORATION AND SHALL MAKE ITS DECISION AS TO WHETHER TO ENTER INTO THE TRANSACTION OR ARRANGEMENT IN CONFORMITY WITH SUCH DETERMINATION. THE COMPLIANCE OFFICER WILL DETERMINE IF A MANAGEMENT TEAM MEMBER OR EMPLOYEE SHOULD BE EXCUSED FROM A DISCUSSION OR PARTICIPATE IN A DECISION IN WHICH THERE MAY BE A CONFLICT OF INTEREST. Form 990, Part VI, Section B, line 15 COMPENSATION PROCESS THIS ORGANIZATION IS AN AFFILIATE OF NAPLES COMMUNITY HOSPITAL, INC. ("NCH"). ALL COMPENSATION ARRANGEMENTS ARE DETERMINED BY AND PAID THROUGH NCH. COMPENSATION ARRANGEMENTS INVOLVING OUR CEO AND SENIOR LEADERSHIP TEAM ARE ESTABLISHED BY NCH PURSUANT TO A PROCESS THAT SATISFIES THE REBUTTABLE PRESUMPTION PROCEDURE AVAILABLE FOR SECTION 4958 EXCESS BENEFIT TRANSACTION TAX PURPOSES (WHICH REQUIRES A REVIEW OF COMPENSATION DETERMINATION BY DISINTERESTED PERSONS, USE OF APPROPIATE COMPARABILITY DATA, AND CONTEMPORANEOUS DOCUMENTATION OF THE PROCESS). Form 990, Part VI, Section C, line 19 DOCUMENTS AVAILABLE TO THE PUBLIC THE FORMS 1023 AND 990, GOVERNING DOCUMENTS, AUDITED FINANCIAL STATEMENTS, AND CONFLICT OF INTEREST POLICY OF NHSI ARE AVAILABLE TO THE PUBLIC UPON REQUEST. FINANCIAL STATEMENTS ARE ALSO AVAILABLE VIA OUR WEBSITE: WWW.NCHMD.ORG. DOCUMENTS AVAILABLE FOR REQUEST ARE AVAILABLE PURSUANT TO THE PERIOD OF DISCLOSURE PROVIDED IN SECTION 6104(d). FORM 990, PART IX, LINE 9, OTHER EMPOYEE BENEFITS BENEFIT EXPENSES CONTAIN A NON-CASH PAYMENT TRANSFER FROM NAPLES COMMUNITY HOSPITAL OF $1,838,229.49 Form 990, Part XI, line 9: TRANSFERS FROM AFFILIATES 8,261,687. NCH HEALTHCARE SYSTEM INC PO BOX 413029 NAPLES FL 34101 592314655 HOLDING CO FL 501(C) (3) Line 11b, II N/A 0 NAPLES COMMUNITY HOSPITAL INC PO BOX 413029 NAPLES FL 34101 590694358 HEALTHCARE FL 501(C) (3) Line 3 NCH SYSTEM 0 MARCO ISLAND HOSPITAL INC 40 HEATHWOOD DRIVE MARCO ISLAND FL 34145 592315435 HEALTHCARE FL 501(C) (3) Line 3 NCH SYSTEM 0 COMMUNITY HOME SERVICES INC PO BOX 413029 NAPLES FL 34101 592440516 SUPPORT ORG. FL 501(C) (3) Line 11b, II NCH SYSTEM 0 COLLIER HEALTH CARE INC PO BOX 413029 NAPLES FL 34101 650244276 HEALTHCARE FL 501(C) (3) Line 3 NCH SYSTEM 0 HEALTH RESOURCES CORPORATION 350 7TH STREET NORTH NAPLES FL 34102 592568003 HOLDING COMPANY FL NCH SYSTEM C 0 AMBULATORY SURGICAL CARE CENTER INC 350 7TH STREET NORTH NAPLES FL 34102 592568029 OUTPAT. SURGERY FL HRC C 0 COMMUNITY HOME CARE INC 350 7TH STREET NORTH NAPLES FL 34102 592372966 HOME HEALTH FL HRC C 0 COMMUNITY IMAGING INC 350 7TH STREET NORTH NAPLES FL 34102 592446336 RADIOLOGY LAB FL HRC C 0 1 1 1 0 0 0 0 0 1 1 1 1 1 1 1 1 1 1 1 RENT AND ROYALTY SUMMARY PROPERTY TOTAL DEPLETION/ OTHER ALLOWABLE INCOME DEPRECITAION EXPENSES NET INCOME RENTAL INCOME 223,952. 223,952.