2013-08-13T08:17:03-05:00 2012-09-30 381357951 PLANTE & MORAN PLLC 750 TRADE CENTRE WAY STE 300 PORTAGE MI 49002 990 2011-10-01 382397643 MCLAREN HEALTH CARE CORPORATION MCLA 8103422000 401 S BALLENGER HIGHWAY FLINT MI 48532 DAVID MAZURKIEWICZ 8103422000 2013-08-09 1 CAROL LALONDE CPA P00181637 2695674500 2011 2016-02-24 21:20:13Z DAVID MAZURKIEWICZ 401 S BALLENGER HIGHWAY FLINT MI 48532 118263812 0 X WWW.MCLAREN.ORG X 1981 MI TO PROVIDE PLANNING AND ADMINISTRATIVE SERVICES TO RELATED ENTITIES. 14 13 125 0 0 52241 7150994 6851915 100395268 105256027 2414339 556770 638669 194997 110599270 112859709 1424412 4577932 0 0 24278024 24290626 0 0 0 74100860 77089653 99803296 105958211 10795974 6901498 272766733 304797012 213091373 221153181 59675360 83643831 MCLAREN HEALTH CARE, THROUGH ITS SUBSIDIARIES, WILL BE MICHIGAN'S BEST VALUE IN HEALTHCARE AS DEFINED BY QUALITY OUTCOMES AND COST. 0 0 105958211 4577932 105256027 PLANNING, ADMINISTRATIVE AND SUPPORT SERVICES PROVIDED TO RELATED HEALTH CARE ORGANIZATIONS. 105958211 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 0 1 0 1 1 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 1 1 1 0 0 1 159 0 1 125 1 1 1 1 CJ 0 0 0 0 0 0 0 0 0 X 14 13 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 1 1 X DAVID MAZURKIEWICZ 8103422000 401 S BALLENGER HWY FLINT MI 48532 X DANIEL BOGE 1.00 X 0 0 0 DAVID BUZZELLI 1.00 X 0 0 0 DAVID MCCREDIE 1.00 X X 14250 0 0 DAVID MCSHERRY 1.00 X 9250 0 0 DOM MONASTIERE 1.00 X 8000 0 0 E JAMES BARRETT 1.00 X 10500 4900 0 GEORGE DUNN 1.00 X 10500 0 0 H JAMES FITZGERALD 1.00 X 10500 5000 0 JAMES GEORGE 1.00 X 8000 0 0 KATHRYN LAWTER 1.00 X 10500 0 0 MIKE ROBINET 1.00 X 10500 0 0 PHILIP INCARNATI 40.00 X X 5512732 0 837545 TONY HAIN 1.00 X 10500 0 0 WILLIAM BOWEN 1.00 X 10500 0 0 DAVID MAZURKIEWICZ 40.00 X 901856 0 214095 GAYLE CONSIGLIO 40.00 X 365235 0 8050 GREGORY LANE 40.00 X 1900182 0 -701963 KEVIN TOMPKINS 40.00 X 617766 0 115022 WILLIAM PETERSON 40.00 X 839950 0 24929 DANNY BORTON 40.00 X 197583 0 40494 DAVID DICKEY 40.00 X 204613 0 44073 JANIS RIZZO 40.00 X 337114 0 42844 RICHARD SARDELLI 40.00 X 222792 0 47676 ROZLYN KELLY 40.00 X 207124 0 43694 11419947 9900 716459 45 0 1 0 ANTHELIO 5400 LBJ FREEWAY SUITE 200 DALLAS TX 75240 IT SERVICES 106088789 DCC CONSTRUCTION 9100 LAPEER RD SUITE A DAVISON MI 48423 CONSTRUCTION 5170871 THE INTEGRATED NETWORK SOLUTIONS GROUP 23425 BLACKSTON AVE WARREN MI 48089 IT NETWORKS DESIGN AND EQUIPMENT 996869 PLANTE & MORAN 16060 COLLECTIONS CTR DR CHICAGO IL 60693 AUDIT, TAX AND CONSULTING SERVICES 674699 PAYNE BRODER & FOSSEE PC 32100 TELEGRAPH RD SUITE 200 BINGHAM FARMS MI 48025 LEGAL SERVICES 568273 24 6851915 6851915 ALLOCATION REVENUE 900099 105256027 105256027 105256027 742743 742743 2930008 2696800 3448262 1711751 -518254 985049 466795 466795 58117 16756 227334 41361 -227334 -185973 -185973 MISCELLANEOUS 900099 -271798 -271798 -271798 112859709 105256027 0 751767 4577932 4577932 163000 163000 19408365 19408365 2941409 2941409 951099 951099 826753 826753 371434 371434 176670 176670 334190 334190 58424610 58424610 1013412 1013412 433330 433330 110727 110727 814747 814747 184853 184853 206600 206600 600665 600665 13865977 13865977 184844 184844 OTHER EXPENSE 211777 211777 UBI 100000 100000 REPAIRS AND MAINTENANCE 42562 42562 DUES, LICENSES, MEMBERS 13255 13255 105958211 105958211 0 0 11005055 58700181 45028660 16172593 14373835 24399310 827375 1225421 160191487 45343534 105038628 114847953 32232342 42889682 14905722 2918775 42158246 34197520 7196870 9445577 272766733 304797012 28730941 29280188 10953499 11097738 173406933 180775255 213091373 221153181 X 59675360 83643831 59675360 83643831 272766733 304797012 X 6901498 17066973 X X 0 1 1 X 0 X X X 0 0 0 MCLAREN REGIONAL MEDICAL CENTER 382383119 3 1 1 1 0 MCLAREN MEDICAL MANAGEMENT INC 382988086 LINE 11, TYPE I 0 1 1 0 INGHAM REGIONAL MEDICAL CENTER 381434090 3 1 1 1 0 BAY REGIONAL MEDICAL CENTER 381976271 3 1 1 1 0 LAPEER REGIONAL MEDICAL CENTER 382689033 3 1 1 1 0 VISITING NURSE SERVICES OF MICHIGAN 383491714 9 1 1 1 0 MCLAREN HEALTH PLAN 383383640 501(C)(4) 0 1 1 0 MOUNT CLEMENS REGIONAL MEDICAL CENTER 381218516 3 1 1 1 0 CENTRAL MICHIGAN COMMUNITY HOSPITAL 381420305 3 1 1 1 4000000 PONTIAC OSTEOPATHIC HOSPITAL 381428164 3 1 1 1 2500000 NORTHERN MICHIGAN REGIONAL HOSPITALS 382445613 3 1 1 1 10000000 11 16500000 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 334190 334190 0 EXPLANATION OF LOBBYING ACTIVITIES: PART II-B, LINE 1: CONTRACTED WITH CONSULTING FIRMS ON A FEDERAL AND STATE LEVEL REGARDING VARIOUS HEALTHCARE LEGISLATION. 22103323 22103323 5195896 3826879 1369017 9302926 1825210 7477716 119055901 38911757 80144144 4533441 779688 3753753 114847953 EQUITY INTEREST 34197520 F 34197520 ACCRUED PENSION COSTS 15797717 DEFERRED EQUIPMENT COSTS TO SUBSIDIARIES 100291568 FAIR VALUE OF INTEREST RATE SWAP AGREEMENT 45085856 OBLIGATION UNDER SECURITIES LENDING 16330239 DEFERRED COMPENSATION 3269875 180775255 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: THE CORPORATION AND SUBSTANTIALLY ALL OF ITS SUBSIDIARIES ARE NONPROFIT, TAX-EXEMPT ORGANIZATIONS; ACCORDINGLY, NO TAX PROVISION IS REFLECTED IN THE CONSOLIDATED FINANCIAL STATEMENTS. SOME SUBSIDIARIES ARE FOR-PROFIT CORPORATIONS. INCOME TAX PROVISIONS ARE NOT MATERIAL TO THE CONSOLIDATED FINANCIAL STATEMENTS. THE ACCOUNTING STANDARD THAT REFERS TO ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES ADDRESSES THE DETERMINATION OF HOW TAX BENEFITS CLAIMED OR EXPECTED TO BE CLAIMED ON A TAX RETURN SHOULD BE RECORDED ON THE CONSOLIDATED FINANCIAL STATEMENTS. COMPANIES MUST RECOGNIZE THE TAX BENEFIT FROM AN UNCERTAIN TAX POSITION ONLY IF IT IS MORE LIKELY THAN NOT THAT THE TAX POSITION WILL BE SUSTAINED ON EXAMINATION BY THE TAXING AUTHORITIES, BASED ON THE TECHNICAL MERITS OF THE POSITION. THE STANDARD ALSO PROVIDES GUIDANCE ON DERECOGNITION, CLASSIFICATION, INTEREST AND PENALTIES ON INCOME TAXES, AND ACCOUNTING IN INTERIM PERIODS, AND REQUIRES INCREASED DISCLOSURES. THE EVALUATED POTENTIAL EXPOSURE RELATED TO UNCERTAIN TAX POSITIONS WAS FOUND TO BE IMMATERIAL. THE CORPORATION IS SUBJECT TO EXAMINATION BY TAXING AUTHORITIES; HOWEVER, NO EXAMINATIONS ARE IN PROGRESS. MANAGEMENT BELIEVES THE CORPORATION IS NOT SUBJECT TO TAX EXAMINATIONS FOR YEARS PRIOR TO SEPTEMBER 30, 2009. SUBSEQUENT TO THE TAX YEAR ENDING 9/30/2012, THE ORGANIZATION HAS BEEN SELECTED FOR EXAMINATION. 1 GREAT LAKES CANCER INSTITUTE 401 S BALLENGER HWY FLINT MI 48532 383584572 501(C)(3) 2077932 N/A N/A GENERAL SUPPORT POH REGIONAL MEDICAL CENTER 50 NORTH PERRY STREET PONTIAC MI 48342 381428164 501(C)(3) 2500000 N/A N/A GENERAL SUPPORT 1 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: CLIENT REVIEWS TAX-EXEMPT STATUS AND MONITORS OVERALL STANDING OF ORGANIZATION IN DETERMINING GRANTS. X X X X 1 1 X X X X X X 0 1 0 0 0 0 0 0 0 PHILIP INCARNATI 1366791 0 1303195 0 2842746 0 823518 0 14027 0 6350277 0 0 0 DAVID MAZURKIEWICZ 536761 0 211950 0 153145 0 196715 0 17380 0 1115951 0 0 0 GAYLE CONSIGLIO 226000 0 0 0 139235 0 0 0 8050 0 373285 0 0 0 GREGORY LANE 654969 0 274500 0 970713 0 -716394 0 14431 0 1198219 0 492124 0 KEVIN TOMPKINS 369523 0 141040 0 107203 0 102091 0 12931 0 732788 0 0 0 WILLIAM PETERSON 336308 0 156000 0 347642 0 12250 0 12679 0 864879 0 182521 0 DANNY BORTON 158651 0 38932 0 0 0 25000 0 15494 0 238077 0 0 0 DAVID DICKEY 166939 0 37674 0 0 0 28000 0 16073 0 248686 0 0 0 JANIS RIZZO 275863 0 61251 0 0 0 30000 0 12844 0 379958 0 0 0 RICHARD SARDELLI 179566 0 43226 0 0 0 30000 0 17676 0 270468 0 0 0 ROZLYN KELLY 175101 0 32023 0 0 0 28000 0 15694 0 250818 0 0 0 PART I, LINE 1A THE CORPORATE CEO, SUBSIDIARY CEO'S AND CORPORATE VICE-PRESIDENTS IN SOME INSTANCES HAVE RECEIVED TAX INDEMNIFICATION FOR THE FOLLOWING BENEFITS: VEHICLE COSTS, GROUP TERM LIFE INSURANCE, SUPPLEMENTAL NONQUALIFIED RETIREMENT PLANS, AND HEALTH CLUB OR SOCIAL DUES. THESE BENEFITS HAVE BEEN INCLUDED IN TAXABLE COMPENSATION. THE FOLLOWING INDIVIDUALS LISTED IN PART VII HAVE RECEIVED THESE BENEFITS: PHILIP INCARNATI, GREG LANE, KEVIN TOMPKINS, WILLIAM PETERSON, DAVID MAZURKIEWICZ AND GAYLE CONSIGLIO. PART I, LINE 4B MCLAREN MAINTAINS TWO SUPPLEMENTAL NONQUALIFIED RETIREMENT PLANS FOR A SELECT GROUP OF MANAGEMENT OR HIGHLY COMPENSATED EMPLOYEES (THE "SERPS"). THE OLD SERP WAS CLOSED TO NEW PARTICIPANTS ON OCTOBER 1, 2006, AND THE NEW SERP BECAME EFFECTIVE AS OF JANUARY 1, 2007. NO EMPLOYEE MAY PARTICIPATE IN BOTH OF THE SERPS. THE OLD SERP IS STRUCTURED AS A DEFINED BENEFIT PLAN THAT ESSENTIALLY REPLACES THE BENEFITS THE PARTICIPANT IS NOT PERMITTED TO RECEIVE UNDER MCLAREN'S QUALIFIED RETIREMENT PLAN DUE TO IRS LIMITATIONS APPLICABLE TO QUALIFIED PLANS. THE BENEFIT UNDER THE OLD SERP IS PAYABLE AS EITHER A LUMP SUM DISTRIBUTION OR MONTHLY PAYMENTS EQUAL TO THE ACTUARIAL EQUIVALENT OF THE PARTICIPANT'S ACCRUED BENEFIT. THE BENEFIT IS PAID AT AGE 55, AND IF THE PARTICIPANT REMAINS EMPLOYED, THE BENEFIT IS PAID UPON TERMINATION OF EMPLOYMENT, REDUCED TO TAKE INTO ACCOUNT THE BENEFIT PREVIOUSLY PAID. THE NEW SERP IS STRUCTURED AS A DEFINED CONTRIBUTION PLAN, AND MCLAREN CONTRIBUTES 15 PERCENT OF EACH PARTICIPANT'S COMPENSATION TO THE PLAN EACH YEAR FOR ALLOCATION TO THE PARTICIPANT'S ACCOUNT. PARTICIPANTS IN THE NEW SERP BECOME VESTED IN THEIR ACCOUNTS UPON THE EARLIER OF FIVE YEARS OF PARTICIPATION IN THE PLAN OR ATTAINMENT OF AGE 60. PARTICIPANTS IN THE NEW SERP SELF-DIRECT THE INVESTMENT OF THEIR ACCOUNTS AND HAVE THE ACTUAL INVESTMENT RETURN CREDITED OR DEBITED TO THEIR ACCOUNTS. THE BENEFIT UNDER THE NEW SERP IS EQUAL TO THE PARTICIPANT'S ACCOUNT BALANCE, AND THE BENEFIT IS PAID IN A SINGLE SUM WITHIN 60 DAYS OF THE PARTICIPANT'S TERMINATION DATE. BENEFITS UNDER BOTH SERPS ARE PROVIDED ON A TAX-NEUTRAL BASIS. BOTH SERPS ARE DESIGNED TO COMPLY WITH INTERNAL REVENUE CODE SECTIONS 457(F) AND 409A. THE INDIVIDUALS LISTED IN PART VII WHO PARTICIPATED IN THE OLD SERP ARE: PHILIP INCARNATI, GREG LANE AND KEVIN TOMPKINS THE INDIVIDUALS LISTED IN PART VII WHO PARTICIPATED IN THE NEW SERP ARE: WILLIAM PETERSON AND DAVID MAZURKIEWICZ PART I, LINE 6 MCLAREN HEALTH CARE CORPORATION (MHCC) HAS AN INCENTIVE PROGRAM FOR LEADERS OF THE CORPORATION, SUBSIDIARY EXECUTIVES AND DIRECTORS, AND CORPORATE MANAGERS. THE PROGRAM IS COMPRISED OF QUALITY, OPERATIONAL AND FINANCIAL GOALS. THE PURPOSE OF THE PLAN IS TO ENHANCE THE ORGANIZATION'S ABILITY TO ACHIEVE ITS GOALS BY PROVIDING TOP OFFICIALS AND THE BOARD OF DIRECTORS WITH A TOOL FOR (A) CLEARLY COMMUNICATING PERFORMANCE ON THE PART OF KEY LEADERS, (B) STIMULATING AND REWARDING SUPERIOR LEVELS OF PERFORMANCE ON THE PART OF KEY LEADERS WHICH WILL ULTIMATELY BENEFIT THE COMMUNITIES MHCC SERVES, AND (C) PROTECTING MHCC'S ABILITY TO COMPETE WITH OTHER EMPLOYERS FOR HIGH-TALENT LEADERS. MICHIGAN STATE HOSPITAL FINANCE AUTHORITY 382889417 59465HBM7 2005-06-29 156349826 HOSPITAL EQUIPMENT & CONSTRUCTION 0 0 0 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY 382889417 59465HJJ6 2008-08-06 219233396 REFUND PRIOR BONDS ISSUED 1994, 2006, 2003 & 2005. CONSTRUCTION 0 0 0 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY 382889417 59465HJM9 2008-08-06 168110000 REFUND PRIOR BONDS ISSUED 3/6/2008 AND 6/29/2005. 0 0 0 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY 382889417 59465HRJ7 2012-07-10 120819128 HOSPITAL EQUIPMENT & BUILDINGS. REFUND PRIOR BONDS ISSUED 0 0 0 4065000 75000000 166741323 1313889 165427435 2008 0 0 1 1 11145000 226636939 8096872 90224452 1940658 108818757 13781263 2843331 2010 1 1 1 1 9615000 168110000 420275 167062045 331724 645497 2008 1 0 1 1 120819128 1201399 11130746 108486983 2012 1 0 1 1 0 1 0 0 0.02100 0.02100 1 0 1 1 1 0 0.00900 0.00900 1 0 1 1 1 0 0.02100 0.02100 1 0 1 1 1 0 0.00000 0.00000 1 0 0 1 WELLS FARGO 33.600000000000 0 0 0 1 0 0 0 0 0 1 0 0 1 1 PNC BANK 33.600000000000 0 0 0 1 0 0 0 0 0 0 0 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY 382889417 NONEAVAIL 2010-12-01 67125000 HOSPITAL EQUIPMENT & BUILDINGS 0 0 0 67125000 3272344 118355 61040612 2668689 2012 0 0 0 1 0 0 0 0 0.00000 0.00000 1 0 0 0 0 0 0 ANTHELIO PHILIP INCARNATI,BOARD MEMBER & SHAREHOLDER OF ANTHELIO 74175137 MHCC IS THE CO-FOUNDER AND HAS A MINORITY INTEREST IN ANTHELIO. AS PART OF THE AGREEMENT MHCC IS ENTITLED TO APPOINT TWO DIRECTORS TO THE ANTHELIO BOARD. MHCC APPOINTED JAMES FITZGERALD AND PHILIP INCARNATI TO HOLD THOSE POSITIONS. FEES PAID TO ANTHELIO FOR INFORMATION TECHNOLOGY SERVICES, MEDICAL RECORDS, TRANSCRIPTION, CODING, AND SYSTEM INSTALLATION. 0 ANTHELIO H. JAMES FITZGERALD, BOARD MEMBER OF ANTHELIO 74175137 MHCC IS THE CO-FOUNDER AND HAS A MINORITY INTEREST IN ANTHELIO. AS PART OF THE AGREEMENT MHCC IS ENTITLED TO APPOINT TWO DIRECTORS TO THE ANTHELIO BOARD. MHCC APPOINTED JAMES FITZGERALD AND PHILIP INCARNATI TO HOLD THOSE POSITIONS. FEES PAID TO ANTHELIO FOR INFORMATION TECHNOLOGY SERVICES, MEDICAL RECORDS, TRANSCRIPTION, CODING, AND SYSTEM INSTALLATION. 0 FORM 990, PART VI, SECTION B, LINE 11 THE FORM 990 DATA IS PREPARED INTERNALLY AND SUBMITTED TO OUR AUDITING FIRM FOR RETURN PREPARATION. ONCE THE RETURNS HAVE BEEN COMPLETED, THE FORMS ARE REVIEWED BY THE CORPORATE DIRECTOR OF BUDGET, THE CORPORATE SENIOR VICE PRESIDENT AND CFO OF MCLAREN HEALTH CARE CORPORATION (MHCC). COPIES OF THE RETURNS ARE MADE AVAILABLE TO THE MHCC BOARD MEMBERS, WHO SERVE AS THE OVERALL GOVERNING BOARD. RETURNS ARE AVAILABLE FOR ALL CORPORATIONS OF WHICH MHCC IS THE SOLE MEMBER AS WELL AS OTHER RELATED ENTITIES OF THOSE CORPORATIONS FOR REVIEW RATHER THAN HAVING THE LOCAL BOARDS REVIEW THE RETURNS. THE BOARD OF MHCC IS THE ULTIMATE ACCOUNTABLE ORGANIZATION FOR THE SYSTEM; AS SUCH IT IS THE OVERALL GOVERNING BOARD OF OUR SYSTEM WHOSE RESPONSIBILITIES INCLUDES BUT ARE NOT LIMITED TO: APPROVING ALL SUBSIDIARY BOARD MEMBERS, FINANCIAL BUDGETS, AND ISSUANCE OF DEBT. FORM 990, PART VI, SECTION B, LINE 12C THE CORPORATE COMPLIANCE DEPARTMENT, IN ACCORDANCE WITH THE MCLAREN HEALTH CARE (MHC) BOARD CONFLICT OF INTEREST POLICY, ANNUALLY DISTRIBUTES THE CONFLICT OF INTEREST DISCLOSURE SURVEY TO ALL MHC CORPORATE AND SUBSIDIARY ORGANIZATION BOARD MEMBERS, EXECUTIVES AND OTHER LEADERSHIP EMPLOYEES. THE CORPORATE COMPLIANCE DEPARTMENT, THROUGH THE GOVERNANCE COMMITTEE, COMPILES AND ANALYZES SURVEY DATA BY ORGANIZATION, INVESTIGATES, AND REVIEWS POTENTIAL CONFLICTS WITH THE ORGANIZATION'S CEO AND BOARD CHAIR, AND WHEN NECESSARY, RECOMMENDS ACTIONS TO BE TAKEN TO RESOLVE IDENTIFIED CONFLICTS. A COMPLETE REPORT OF ALL CORPORATE AND SUBSIDIARY BOARD MEMBER AND EXECUTIVE DISCLOSURES, CONFLICTS IDENTIFIED AND ACTIONS TAKEN IS REVIEWED BY THE MHC GOVERNANCE COMMITTEE AND EACH SUBSIDIARY CEO AND BOARD CHAIR RECEIVES A REPORT SPECIFIC TO THEIR ORGANIZATION'S BOARD MEMBERS AND EXECUTIVES. CONFLICTS ARE DISCLOSED TO THE FULL BOARD AND BOARD COMMITTEES SO APPROPRIATE ACTIONS CAN BE TAKEN. ACTIONS MAY INCLUDE PROHIBITING A BOARD MEMBER FROM PARTICIPATING IN DELIBERATIONS INVOLVING TRANSACTIONS WITH A COMPANY WITH WHICH THEY CONDUCT FINANCIAL TRANSACTIONS; BOARD MEMBERS FAILING TO COMPLETE A DISCLOSURE SURVEY OR INTENTIONALLY FAILING TO REPORT A KNOWN CONFLICT OF INTEREST ARE ASKED TO RESIGN. FORM 990, PART VI, SECTION B, LINE 15 THE COMPENSATION COMMITTEE IS APPOINTED BY THE BOARD OF DIRECTORS TO REVIEW THE PERFORMANCE AND RECOMMEND THE TOTAL COMPENSATION PACKAGE OF THE CORPORATION'S CEO TO THE BOARD. FURTHER THE COMMITTEE ESTABLISHES THE SALARY RANGES AND PREREQUISITES OF THE CORPORATION'S OTHER MOST HIGHLY COMPENSATED OFFICERS (MHC VICE-PRESIDENTS AND MHC HOSPITAL/SUBSIDIARY CEO'S) TO THE BOARD. THE MEMBERS OF THE COMMITTEE MUST MEET THE INDEPENDENCE REQUIREMENTS OF THE APPLICABLE PROVISIONS OF SECTION 4958 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED AND FINAL TREASURY REGULATIONS SECTION 53.4956-6(C)(1)(III). THE COMMITTEE RETAINS THE SERVICES OF AN INDEPENDENT FIRM WITH SIGNIFICANT QUALIFICATIONS AND EXPERIENCE TO CONDUCT A REVIEW OF THE CORPORATION'S EXECUTIVE COMPENSATION PROGRAM. THE RETAINED FIRM UTILIZES APPROPRIATE COMPENSATION COMPARABILITY DATA. THE RETAINED FIRM CONDUCTS ANALYSIS OF THE COMPETITIVENESS OF THESE PROGRAMS AND EXPRESSES AN OPINION AS TO THE REASONABLENESS OF THESE COMPENSATION PROGRAMS. ALL DATA UTILIZED BY THE COMMITTEE, DELIBERATIONS OF THE COMMITTEE, AND FINAL COMPENSATION DECISIONS BY THE COMMITTEE ARE DOCUMENTED IN FORMAL REPORTS AND MINUTES. THE CORPORATE COMPENSATION COMMITTEE WORKS UNDER AND ANNUALLY REVIEWS THE MCLAREN HEALTH CARE CORPORATION COMPENSATION COMMITTEE CHARTER AND MCLAREN HEALTH CARE CORPORATION COMPENSATION PHILOSOPHY. THE MOST RECENT TIME THIS PROCESS WAS UNDERTAKEN WAS IN 2012. FORM 990, PART VI, SECTION C, LINE 19 ALL DOCUMENTS ARE AVAILABLE UPON REQUEST. FORM 990, PART VII, SECTION A: THESE INDIVIDUALS DEVOTE THE FOLLOWING AVERAGE HOURS PER WEEK TO A RELATED ORGANIZATION: DANIEL BOGE 4.6 HOURS DAVID BUZZELLI 2.5 HOURS DAVID MAZURKIEWICZ 3.5 HOURS DAVID MCSHERRY 2.5 HOURS DOMINIC MONASTIERE 3.0 HOURS E. JAMES BARRETT 1.6 HOURS GEORGE DUNN 1.0 HOUR GREGORY LANE 0.25 HOUR H. JAMES FITZGERALD 0.5 HOUR JAMES GEORGE 2.0 HOURS JANIS RIZZO 0.3 HOUR KATHRYN LAWTER 1.0 HOUR KEVIN TOMPKINS 0.25 HOUR MIKE ROBINET 1.0 HOUR PHILIP INCARNATI 12.3 HOURS TONY HAIN 1.0 HOUR CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED GAINS ON INVESTMENTS: 8,852,424. DISTRIBUTION FROM MCLAREN HEALTH PLAN 21,900,000. MINIMUM PENSION LIABILITY ADJUSTMENT 314,549. CAPITAL CONTRIBUTION FOR CMCH -4,000,000. CAPITAL CONTRIBUTION FOR NORTHERN -10,000,000. TOTAL TO FORM 990, PART XI, LINE 5: 17,066,973. FORM 990, PART XI, LINE 2C: THE PROCESS HAS NOT CHANGED FROM THE PRIOR YEAR. MCLAREN INSURANCE COMPANY LTD 10 MAIN ST GRAND CAYMAN CJ INSURANCE CJ MCLAREN HEALTH CARE CORPORATION MICHIGAN MOBILE PET LLC 401 SOUTH BALLENGER HIGHWAY FLINT MI 48532 382397643 HEALTH CARE SERVICES MI MCLAREN HEALTH CARE CORPORATION BAY MEDICAL FOUNDATION 1900 COLUMBUS AVE BAY CITY MI 48708 382156534 FOUNDATION MI 501(C)(3) LINE 11A, I BAY REGIONAL MEDICAL CENTER 1 BAY REGIONAL MEDICAL CENTER 1900 COLUMBUS AVE BAY CITY MI 48708 381976271 HOSPITAL MI 501(C)(3) LINE 3 MCLAREN HEALTH CARE CORPORATION 1 BAY REGIONAL MEDICAL CENTER AUXILIARY 1908 COLUMBUS AVENUE BAY CITY MI 48708 386081235 SUPPORTING ORGANIZATION MI 501(C)(3) LINE 11A, I BAY REGIONAL MEDICAL CENTER 1 BAY SPECIAL CARE HOSPITAL 1900 COLUMBUS AVE BAY CITY MI 48708 383161753 HOSPITAL MI 501(C)(3) LINE 3 BAY REGIONAL MEDICAL CENTER 1 CENTRAL MICHIGAN COMMUNITY HOSPITAL 1221 SOUTH DRIVE MT PLEASANT MI 48858 381420304 HOSPITAL MI 501(C)(3) LINE 3 MCLAREN HEALTH CARE CORPORATION 1 CENTRAL MICHIGAN COMMUNITY HOSPITAL RADIATION ONCOLOGY 1000 HARRINGTON MT PLEASANT MI 48858 300312172 HOSPITAL MI 501(C)(3) LINE 3 MCLAREN HEALTH CARE CORPORATION 1 CHARLEVOIX NURSING HOME CORPORATION DBA BOULDER PARK TERRACE 14676 WEST UPRIGHT CHARLEVOIX MI 49720 383038683 SKILLED NURSING FACILITY MI 501(C)(3) LINE 9 NORTHERN MICHIGAN REGIONAL HEALTH SYSTEM 1 GREAT LAKES CANCER INSTITUTE 401 S BALLENGER HWY FLINT MI 48532 383584572 CANCER CARE CENTER MI 501(C)(3) LINE 7 MCLAREN HEALTH CARE CORPORATION 1 HEALTHSHARE REAL ESTATE 416 CONNABLE AVENUE PETOSKEY MI 49770 382492223 REAL ESTATE HOLDINGS MI 501(C)(2) NORTHERN MICHIGAN REGIONAL HEALTH SYSTEM 1 INGHAM REGIONAL HEALTHCARE FOUNDATION 401 S GREENLAWN AVE LANSING MI 48910 382463637 FOUNDATION MI 501(C)(3) LINE 7 INGHAM REGIONAL MEDICAL CENTER 1 INGHAM REGIONAL MEDICAL CENTER 401 S GREENLAWN AVE LANSING MI 48910 381434090 HOSPITAL MI 501(C)(3) LINE 3 MCLAREN HEALTH CARE CORPORATION 1 LAPEER REGIONAL MEDICAL CENTER 1375 N MAIN ST LAPEER MI 48446 382689033 HOSPITAL MI 501(C)(3) LINE 3 MCLAREN HEALTH CARE CORPORATION 1 LAPEER REGIONAL MEDICAL CENTER FOUNDATION 1375 N MAIN ST LAPEER MI 48446 382689603 FOUNDATION MI 501(C)(3) LINE 11A, I LAPEER REGIONAL MEDICAL CENTER 1 MCLAREN HEALTH CARE VILLAGE FOUNDATION 401 S BALLENGER HIGHWAY FLINT MI 48532 262693350 SUPPORTING ORG MI 501(C)(3) LINE 11A, I MCLAREN HEALTH CARE CORPORATION 1 MCLAREN HEALTH PLAN G-3245 BEECHER ROAD FLINT MI 48532 383383640 HEALTH CARE SERVICES MI 501(C)(4) MCLAREN HEALTH CARE CORPORATION 1 MCLAREN MEDICAL MANAGEMENT INC 401 S BALLENGER HWY FLINT MI 48532 382988086 MANAGEMENT COMPANY MI 501(C)(3) LINE 11A, I MCLAREN HEALTH CARE CORPORATION 1 MCLAREN REGIONAL MEDICAL CENTER 401 S BALLENGER HWY FLINT MI 48532 382383119 HOSPITAL MI 501(C)(3) LINE 3 MCLAREN HEALTH CARE CORPORATION 1 MOUNT CLEMENS REGIONAL HEALTHCARE FOUNDATION PO BOX 326 MOUNT CLEMENS MI 48046 382578873 FOUNDATION MI 501(C)(3) LINE 9 MOUNT CLEMENS REGIONAL MEDICAL CENTER 1 MOUNT CLEMENS REGIONAL MEDICAL CENTER 1000 HARRINGTON MOUNT CLEMENS MI 48043 381218516 HOSPITAL MI 501(C)(3) LINE 3 MCLAREN HEALTH CARE CORPORATION 1 NORTH OAKLAND NORTH MACOMB IMAGING INC 355 BARCLAY CIR STE A ROCHESTER HILLS MI 48307 382807040 MRI IMAGING MI 501(C)(3) LINE 3 POH REGIONAL MEDICAL CENTER 1 NORTHERN MICHIGAN HEMATOLOGY AND ONCOLOGY 416 CONNABLE AVENUE PETOSKEY MI 49770 320020293 PHYSICIAN PRACTICE MI 501(C)(3) LINE 3 NORTHERN MICHIGAN REGIONAL HEALTH SYSTEM 1 NORTHERN MICHIGAN HOSPITALS DBA NORTHERN MICHIGAN REGIONAL HOSP 416 CONNABLE AVENUE PETOSKEY MI 49770 382146751 ACUTE CARE HOSPITAL MI 501(C)(3) LINE 3 NORTHERN MICHIGAN REGIONAL HEALTH SYSTEM 1 NORTHERN MICHIGAN MEDICAL MANAGEMENT 416 CONNABLE AVENUE PETOSKEY MI 49770 208458840 PHYSICIAN PRACTICE MI 501(C)(3) LINE 3 NORTHERN MICHIGAN REGIONAL HEALTH SYSTEM 1 NORTHERN MICHIGAN REGIONAL HEALTH SYSTEM 416 CONNABLE AVENUE PETOSKEY MI 49770 382445613 HEALTH SERVICES MI 501(C)(3) LINE 11A, I MCLAREN HEALTH CARE CORPORATION 1 NORTHERN MICHIGAN REGIONAL HEALTH SYSTEM 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