2023-05-11T18:28:50-05:00 2022-06-30 366055558 GRANT THORNTON LLP 2001 MARKET STREET SUITE 700 PHILADELPHIA PA 19103 990 2021-07-01 208544021 ST JOSEPH MEDICAL GROUP STJO 6103782300 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 PAULA TINCH EVP & CFO 6103782300 2023-05-11 1 PAULA TINCH 999009999 RUSSLEE ARMSTRONG P00288383 2155614200 3 AAL1 IAL1 2021 2023-04-26 12:10:37Z X JOSEPH FRANK 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 70757836 0 X WWW.PENNSTATEHEALTH.ORG/LOCATIONS/ST-JOSEPH X 2007 PA PROVIDE PHYSICIAN HEALTHCARE SERVICES IN AN ACUTE CARE HOSPITAL AND OPERATE A PHYSICIAN WOUND CARE CLINIC. 3 1 82 1 0 0 36024630 37558271 28042502 32355457 1471 -5451 616478 841816 64685081 70750093 0 0 0 0 31481376 57389448 0 0 0 32446398 11552326 63927774 68941774 757307 1808319 5215799 7542079 3072847 3590808 2142952 3951271 X THE MISSION OF THE CORPORATION IS TO NURTURE THE HEALING MINISTRY OF THE CHURCH, SUPPORTED BY EDUCATION AND RESEARCH. FIDELITY TO THE GOSPEL URGES THE CORPORATION TO EMPHASIZE HUMAN DIGNITY AND SOCIAL JUSTICE AS IT CREATES HEALTHIER COMMUNITIES. (CONTINUED IN SCH O)(CONTINUED):THE CORPORATION, SPONSORED BY A LAY-RELIGIOUS PARTNERSHIP, CALLS OTHER CATHOLIC SPONSORS AND SYSTEMS TO UNITE TO ENSURE THE FUTURE OF CATHOLIC HEALTH CARE. TO FULFILL THIS MISSION, THE CORPORATION, AS A VALUES-BASED ORGANIZATION, WILL ASSURE THE INTEGRITY OF THE MINISTRY IN BOTH CURRENT AND DEVELOPING ORGANIZATIONS AND ACTIVITIES; RESEARCH AND DEVELOP NEW MINISTRIES THAT INTEGRATE HEALTH, EDUCATION, PASTORAL, AND SOCIAL SERVICES; PROMOTE LEADERSHIP DEVELOPMENT AND FORMATION FOR MINISTRY THROUGHOUT THE ENTIRE ORGANIZATION; ADVOCATE FOR SYSTEMIC CHANGES WITH SPECIFIC CONCERN FOR PERSONS WHO ARE POOR, ALIENATED, AND UNDERSERVED; AND STEWARD RESOURCES BY GENERAL OVERSIGHT OF THE ENTIRE ORGANIZATION. 0 0 66771681 33197273 ST. JOSEPH MEDICAL GROUP (SJMG) PROVIDES QUALITY PROFESSIONAL MEDICAL SERVICES TO ITS COMMUNITY IN CONJUNCTION WITH, AND IN SUPPORT OF, ST. JOSEPH REGIONAL HEALTH NETWORK, IN READING, PENNSYLVANIA, WHICH IS ALSO A 501(C)(3) CHARITABLE, TAX EXEMPT ORGANIZATION. SJMG PROVIDES THESE SERVICES TO THE CITIZENS OF ITS COMMUNITY WITHOUT REGARD TO RACE, CREED, SEX, NATIONAL ORIGIN, HANDICAP OR AGE. IT IS RECOGNIZED THAT NOT ALL INDIVIDUALS POSSESS THE ABILITY TO PAY FOR ESSENTIAL MEDICAL SERVICES AND MEDICAL EDUCATION. THEREFORE, IN KEEPING WITH THE COMMITMENT OF SJMG AND ST. JOSEPH REGIONAL HEALTH NETWORK TO SERVE ALL MEMBERS OF THE COMMUNITY, FREE CARE AND/OR SUBSIDIZED CARE, CARE PROVIDED TO PERSONS COVERED BY GOVERNMENT PROGRAMS AT BELOW COST, AND HEALTH ACTIVITIES AND PROGRAMS TO SUPPORT THE COMMUNITY WILL BE CONSIDERED WHERE THE NEED AND INDIVIDUAL'S INABILITY TO PAY COEXIST. SJMG PROVIDES THE FOLLOWING PROFESSIONAL MEDICAL SERVICES TO ITS COMMUNITY. 66771681 1 1 0 0 0 0 0 0 0 0 1 0 0 0 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 X 0 0 82 1 0 0 0 0 0 0 0 0 0 0 0 0 X 3 1 1 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 0 0 0 PA X PAULA TINCH EVP CFO 7177632100 100 CRYSTAL A DR MC CA210 HERSHEY PA 17033 PETER DILLON MD DIR / PSH CHAIR OF SURGERY 1.00 39.00 X 0 1224046 53126 JEFFREY HELD MD CHAIR (THRU 7/21),VP MED. AFF. SJRHN 1.00 49.00 X X 0 475206 38410 MARC ROVITO CHAIR (BEG 7/21) / DIR, VP MED AFF. SJRHN 1.00 39.00 X X 0 0 0 HEIDI B MASANO VICE CHAIR 1.00 1.00 X X 0 0 0 JIM BENNETT VP & COO SJRHN 1.00 49.00 X 0 248854 33548 KIMBERLY WOLF EXECUTIVE DIRECTOR 1.00 49.00 X 0 231224 28459 CHRIS SCHENKEL SEC/TREAS / PSH DIR OF FINANCE 1.00 39.00 X 0 147951 41227 WARQAA MAJEED PHYSICIAN 40.00 0.00 X 669622 0 39278 JORGE BUSTILLO PHYSICIAN 40.00 0.00 X 588302 0 59201 ANDRE ROBINSON PHYSICIAN 40.00 0.00 X 541791 0 58228 RICKIE MONROE PHYSICIAN 40.00 0.00 X 526040 0 52529 ZHI-GANG ZHU MD PHYSICIAN 40.00 0.00 X 461761 0 38780 JORGE ARBOLEDA PHYSICIAN 40.00 0.00 X 417161 0 60324 3204677 2327281 503110 53 0 1 0 WEATHERBY LOCUMS INC PO BOX 972633 DALLAS TX 75397 LOCUMS 1413378 COMPHEALTH PO BOX 972670 DALLAS TX 75397 LOCUMS 936957 VISTA STAFFING SOLUTIONS INC 275 E 200 SOUTH SALT LAKE CITY UT 84111 LOCUMS 585783 LOCUMTENENSCOM LLC 2655 NORTHWINDS PARKWAY ALPHARETTA GA 30009 LOCUMS 189248 4 37558271 37558271 NET PATIENT SERVICE REVENUE 621111 32355457 32355457 32355457 1792 1792 500 7743 -7243 -7243 -7243 INCENTIVE INCOME 900099 834044 834044 OTHER REVENUE 900099 7772 7772 841816 70750093 33197273 0 -5451 X 54719082 54027398 691684 660699 660699 1307301 1307301 702366 702366 7560 7560 4637053 4499479 137574 723 723 147422 117895 29527 3350532 3348374 2158 32123 31806 317 7558 7308 250 202548 132937 69611 86018 86018 MEDICAL SUPPLIES 1616169 1616169 ALLOC. CORP. SERVICES 1158322 1158322 LICENSES 164493 159093 5400 USE TAX 75250 75250 66555 66555 68941774 66771681 2170093 0 1241739 1133586 2501926 4210835 20566 238084 3664623 1705049 1451568 1959574 0 0 5215799 7542079 1514401 3094277 1025066 0 533380 496531 3072847 3590808 X 2142952 3951271 2142952 3951271 5215799 7542079 1808319 0 X 0 1 X 1 0 X 23113482 28125391 39675612 36024630 37558271 164497386 24529785 27370802 26502642 28042502 32355457 138801188 47643267 55496193 66178254 64067132 69913728 303298574 0 0 0 303298574 6300 236 3282 1471 1792 13081 6300 236 3282 1471 1792 13081 406090 295263 394863 616478 841816 2554510 48055657 55791692 66576399 64685081 70757336 305866165 0.99160 0.99290 0.00000 0.00010 X SCHEDULE A, PART III, LINE 12, EXPLANATION OF OTHER INCOME: MISCELLANEOUS REVENUE - 2017 AMOUNT: $ 406,090. 2018 AMOUNT: $ 295,263. 2019 AMOUNT: $ 394,863. 2020 AMOUNT: $ 616,478. 2021 AMOUNT: $ 841,816. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1863343 947589 915754 818446 757460 60986 982834 982834 1959574 PATIENT A/R CREDIT BALANCES 444092 ROU OPERATING LEASE 52439 496531 1 1 0 0 0 0 0 1 0 PETER DILLON MD DIR / PSH CHAIR OF SURGERY 0 823876 0 333653 0 66517 0 36360 0 16766 0 1277172 0 0 WARQAA MAJEED PHYSICIAN 260538 0 405618 0 3466 0 36976 0 2302 0 708900 0 0 0 JORGE BUSTILLO PHYSICIAN 565137 0 20000 0 3165 0 36360 0 22841 0 647503 0 0 0 ANDRE ROBINSON PHYSICIAN 430829 0 109003 0 1959 0 36360 0 21868 0 600019 0 0 0 RICKIE MONROE PHYSICIAN 409682 0 114449 0 1909 0 36360 0 16169 0 578569 0 0 0 JEFFREY HELD MD CHAIR (THRU 7/21),VP MED. AFF. SJRHN 0 204898 0 88223 0 182085 0 25815 0 12595 0 513616 0 0 ZHI-GANG ZHU MD PHYSICIAN 435508 0 11654 0 14599 0 36360 0 2420 0 500541 0 0 0 JORGE ARBOLEDA PHYSICIAN 195834 0 217052 0 4275 0 36360 0 23964 0 477485 0 0 0 JIM BENNETT VP & COO SJRHN 0 216372 0 30074 0 2408 0 31772 0 1776 0 282402 0 0 KIMBERLY WOLF EXECUTIVE DIRECTOR 0 193793 0 27987 0 9444 0 27393 0 1066 0 259683 0 0 CHRIS SCHENKEL SEC/TREAS / PSH DIR OF FINANCE 0 122245 0 20935 0 4771 0 17995 0 23232 0 189178 0 0 PART I, LINE 3 ARRANGEMENT USED TO ESTABLISH THE CEO'S COMPENSATION: COMPENSATION FOR THE CEO THAT WAS ESTABLISHED AND PAID BY PENN STATE HEALTH USED THE FOLLOWING TO ESTABLISH THE TOP MANAGEMENT OFFICIAL'S COMPENSATION: (1) COMPENSATION COMMITTEE; (2) INDEPENDENT COMPENSATION CONSULTANT; (3) COMPENSATION SURVEY OR STUDY; (4) APPROVAL BY THE BOARD OR COMPENSATION COMMITTEE. PART I, LINES 4A-B THE FOLLOWING INDIVIDUAL RECEIVED A SEVERANCE PAYMENT DURING THE CALENDAR YEAR ENDING WITHIN THIS FISCAL YEAR ENDED JUNE 30, 2022: - JEFFREY HELD - $137,312 DURING THE CALENDAR YEAR ENDING WITHIN THIS FISCAL YEAR ENDED JUNE 30, 2022, A DIRECTOR PARTICIPATED IN A RELATED ORGANIZATION'S SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN. THE BELOW LISTED INDIVIDUAL'S CONTRIBUTIONS HAVE NOT YET VESTED; UNVESTED CONTRIBUTIONS ARE REPORTED ON SCHEDULE J, PART II, COLUMN C, RETIREMENT AND OTHER DEFERRED COMPENSATION. - PETER DILLON - $55,892 SCHEDULE J, PART I, LINE 7 BONUSES, PAID BY A RELATED ORGANIZATION THAT EMPLOYS THE INDIVIDUALS, ARE BASED ON A NUMBER OF VARIABLES INCLUDING BUT NOT LIMITED TO INDIVIDUAL GOAL ACHIEVEMENTS AS WELL AS ORGANIZATION OPERATION ACHIEVEMENTS. THE FINAL DETERMINATION OF THE BONUS AMOUNT IS DETERMINED AND APPROVED BY THE APPLICABLE BOARD AS PART OF THE OVERALL COMPENSATION REVIEW OF THE OFFICERS, KEY EMPLOYEES AND HIGHEST COMPENSATED. FORM 990, PART V, LINE 1A: FORMS 1096: FORM 1096 FOR THE FILING ORGANIZATION IS PROCESSED AND REPORTED BY ITS RELATED ORGANIZATION PENN STATE HEALTH (EIN: 47-3769205). FORM 990, PART VI, SECTION A, LINE 2 CERTAIN LISTED OFFICERS AND BOARD MEMBERS ALSO SERVE AS OFFICERS AND BOARD MEMBERS OF A TAXABLE ENTITY. FORM 990, PART VI, SECTION A, LINE 6 CLASSES OF MEMBERS OR STOCKHOLDERS: THE FILING ORGANIZATION'S SOLE MEMBER IS PENN STATE HEALTH, A PENNSYLVANIA NONPROFIT CORPORATION. FORM 990, PART VI, SECTION A, LINE 7A ELECTING MEMBERS OF GOVERNING BODY: DIRECTORS SHALL BE ELECTED BY THE CORPORATE MEMBER, PENN STATE HEALTH. THE CORPORATE MEMBER MAY AT ANY TIME REMOVE, WITH OR WITHOUT CAUSE, ANY MEMBER OF THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION A, LINE 7B DECISIONS REQUIRING APPROVAL BY MEMBERS OR STOCKHOLDERS: PURSUANT TO SPECIFICATIONS DEFINED IN THE BYLAWS THE CORPORATE MEMBERS HAVE RESERVED POWERS. NOTWITHSTANDING ANY OTHER PROVISIONS OF THESE BYLAWS, THE SOLE MEMBER MUST APPROVE THE FOLLOWING ITEMS, AS APPLICABLE, BEFORE THEY MAY BE IMPLEMENTED BY THIS CORPORATION. THE SOLE MEMBER SHALL HAVE THE AUTHORITY: (A) TO DETERMINE THE NUMBER OF AND TO ELECT AND REMOVE, WITH OR WITHOUT CAUSE, THE DIRECTORS OF THE CORPORATION; (B) TO APPOINT AND REMOVE, WITH OR WITHOUT CAUSE, AND TO DETERMINE THE COMPENSATION OF, THE PRESIDENT; (C) TO ELECT AND REMOVE, WITH OR WITHOUT CAUSE, THE CHAIR AND VICE CHAIR OF THE BOARD, THE SECRETARY (INCLUDING ANY ASSISTANT OR ASSOCIATE SECRETARY), AND THE TREASURER (INCLUDING ANY ASSISTANT TREASURER); (D) TO APPROVE ANY AND ALL AMENDMENTS TO THE ARTICLES OF INCORPORATION OR BYLAWS OF THE CORPORATION; (E) TO ADOPT OR MODIFY THE MISSION, VISION, OR OBJECTIVES OF THE CORPORATION; (F) TO ADOPT ALL LONG-RANGE AND STRATEGIC PLANS; (G) TO APPROVE ALL OPERATING AND CAPITAL BUDGETS; (H) TO APPROVE ALL UNBUDGETED CAPITAL EXPENDITURES AND ALL UNBUDGETED OPERATING EXPENDITURES IN EXCESS OF SUCH AMOUNT AS IS DETERMINED BY OR PURSUANT TO THE POLICIES OF THE SOLE MEMBER; (I) TO APPROVE THE INCURRENCE OF DEBT OR GUARANTEE OF INDEBTEDNESS FOR BORROWED MONEY, OR THE PLEDGE OR MORTGAGE OF ASSETS TO SECURE THE SAME AND TO ESTABLISH AN OBLIGATED GROUP FOR FINANCING PURPOSES; (J) TO DETERMINE ANNUAL DISTRIBUTIONS TO BE MADE TO OR FOR THE BENEFIT OF THE PENNSYLVANIA STATE UNIVERSITY COLLEGE OF MEDICINE AS ACADEMIC SUPPORT PAYMENTS; (K) TO REQUIRE THE CORPORATION TO PARTICIPATE IN A CENTRALIZED FINANCIAL AND CASH MANAGEMENT SYSTEM FOR PENN STATE HEALTH AND ONE OR MORE OF ITS CONTROLLED AFFILIATES (THE "SYSTEM"); (L) TO APPROVE ANY DONATION OR TRANSFER OF THE CORPORATION'S ASSETS IN EXCESS OF SUCH AMOUNT AS IS DETERMINED BY OR PURSUANT TO THE POLICIES OF THE SOLE MEMBER, OTHER THAN DONATIONS OR TRANSFERS TO THE SOLE MEMBER OR ANOTHER ENTITY IN THE SYSTEM, UNLESS AUTHORIZED IN THE CORPORATION'S APPROVED BUDGET; (M) TO APPROVE AND AUTHORIZE ADDITIONS AND ELIMINATIONS OF CLINICAL SERVICES OF THE CORPORATION AND TO DETERMINE THE DISTRIBUTION OF CLINICAL AND SUPPORT SERVICES ACROSS THE SYSTEM; (N) TO APPROVE THE CREATION OR DISSOLUTION OF, INVESTMENT IN, OR DISPOSITION OF ANY SUBSIDIARY OR JOINT VENTURE AND TO APPROVE ANY OTHER STRATEGIC ALIGNMENT OR FUNDAMENTAL CHANGE TRANSACTION, INCLUDING (I) JOINT OPERATING AGREEMENTS OR MANAGEMENT AGREEMENTS, (II) ACQUISITIONS, DISPOSITIONS OR TRANSFERS OF MATERIAL OPERATIONS, (III) CLOSURE OF FACILITIES, (IV) MERGERS, CONSOLIDATIONS, AND DIVISIONS, (V) THE SALE, PLEDGING, LEASING OR TRANSFER OF ASSETS WITH A VALUE IN EXCESS OF SUCH AMOUNT AS IS DETERMINED BY OR PURSUANT TO THE POLICIES OF THE SOLE MEMBER, AND (VI) THE LIQUIDATION OR DISSOLUTION OF THE CORPORATION; (O) TO ADOPT EMPLOYEE BENEFIT PLANS; (P) TO ADOPT OR APPROVE THE INVESTMENT POLICIES OF THE CORPORATION; (Q) TO SELECT AND APPOINT AUDITORS FOR, AND TO DESIGNATE THE FISCAL YEAR OF, THE CORPORATION; (R) TO RETAIN COUNSEL ON BEHALF OF AND SETTLE ANY LITIGATION AGAINST THE CORPORATION; (S) TO ENTER INTO SYSTEM-WIDE AGREEMENTS ON BEHALF OF THE CORPORATION; AND (T) EXCEPT AS OTHERWISE PROVIDED IN THESE BYLAWS, TO GIVE SUCH APPROVALS AND TAKE SUCH OTHER ACTIONS AS ARE SPECIFICALLY RESERVED TO THE MEMBERS OF A PENNSYLVANIA NONPROFIT CORPORATION UNDER THE PENNSYLVANIA NONPROFIT CORPORATION LAW OF 1988, AS AMENDED (THE "PENNSYLVANIA NONPROFIT CORPORATION LAW"). FORM 990, PART VI, SECTION B, LINE 11B REVIEW OF FORM 990 BY GOVERNING BODY: THE FORM 990 IS PREPARED BY AN EXTERNAL ACCOUNTING FIRM; IT IS REVIEWED BY ACCOUNTING/FINANCE DEPARTMENT PERSONNEL AND THE CHIEF FINANCIAL OFFICER, AND THEN DISTRIBUTED TO ALL MEMBERS OF THE BOARD FOR REVIEW AND COMMENT BEFORE IT IS FILED WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C CONFLICT OF INTEREST POLICY: THE FILING ORGANIZATION REGULARLY AND CONSISTENTLY MONITORS AND ENFORCES COMPLIANCE WITH ITS CONFLICT OF INTEREST (COI) POLICIES FOR OFFICERS, DIRECTORS, AND KEY EMPLOYEES (COVERED PERSONS). PER THE POLICY, NO COVERED PERSONS MAY ENGAGE IN ANY TRANSACTION OR ARRANGEMENT OR UNDERTAKE POSITIONS WITH OTHER ORGANIZATIONS THAT INVOLVE A CONFLICT OF INTEREST, EXCEPT IN COMPLIANCE WITH THE POLICY. EVERY COVERED PERSON SHALL DISCLOSE ALL ACTUAL AND POTENTIAL CONFLICTS THROUGH AN ANNUAL WRITTEN DISCLOSURE STATEMENT AND AS MATTERS INVOLVING AN ACTUAL OR POTENTIAL CONFLICT ARISE. THE BOARD WILL EVALUATE THE DISCLOSURES AND THE MATERIAL FACTS RELATING TO THE TRANSACTION OR ARRANGEMENT GIVING RISE TO THE POTENTIAL CONFLICT TO DETERMINE WHETHER THEY INVOLVE ACTUAL CONFLICTS OF INTEREST AND MAY ATTEMPT TO DEVELOP ALTERNATIVES TO REMOVE THE CONFLICT FROM THE TRANSACTION OR ARRANGEMENT. A COVERED PERSON WHO HAS AN ACTUAL OR POTENTIAL CONFLICT OF INTEREST SHALL NOT BE PRESENT FOR OR SHALL LEAVE ANY PORTION OF A MEETING AT WHICH THE BOARD OF DIRECTORS OR A COMMITTEE IS VOTING TO DETERMINE WHETHER A CONFLICT EXISTS, BUT MAY BE PRESENT PRIOR TO THE VOTE TO MAKE PRESENTATION TO THE BOARD OR COMMITTEE TO DISCLOSE ADDITIONAL FACTS, OR TO RESPOND TO QUESTIONS. THE FILING ORGANIZATION MAY ENTER INTO A TRANSACTION OR ARRANGEMENT IN WHICH A COVERED PERSON HAS AN ACTUAL CONFLICT OF INTEREST IF A MAJORITY OF DIRECTORS WHO HAVE NO INTEREST IN THE TRANSACTION OR ARRANGEMENT APPROVE THE TRANSACTION OR ARRANGEMENT AT A BOARD OR COMMITTEE MEETING AFTER DETERMINING THAT THE TRANSACTION OR ARRANGEMENT IS FAIR AND REASONABLE TO THE CORPORATION, ANY COVERED PERSON WHO HAS A CONFLICT WITH RESPECT TO THE TRANSACTION OR ARRANGEMENT DOES NOT PARTICIPATE IN AND IS NOT PRESENT FOR THE VOTE REGARDING SUCH TRANSACTION OR ARRANGEMENT (EXCEPT THAT THE COVERED PERSON MAY APPEAR AT A MEETING TO ANSWER QUESTIONS), AND IF THE TRANSACTION OR ARRANGEMENT INVOLVES COMPENSATION OR OTHER FINANCIAL BENEFIT TO THE COVERED PERSON, THE BOARD RELIES ON APPROPRIATE COMPARABILITY DATA TO DETERMINE REASONABLENESS. THE FILING ORGANIZATION WILL DOCUMENT THE FOREGOING IN THE MINUTES OF BOARD AND COMMITTEE MEETINGS, AS APPLICABLE. EACH COVERED PERSON MUST SIGN A STATEMENT THAT AFFIRMS THAT HE OR SHE HAS RECEIVED A COPY OF THE COI POLICY, HAS READ AND UNDERSTANDS IT, AND HAS AGREED TO COMPLY WITH IT. IF THE BOARD OF DIRECTORS HAS REASONABLE CAUSE TO BELIEVE THAT A COVERED PERSON HAS FAILED TO COMPLY WITH THE POLICY, THE BOARD MAY COUNSEL THE COVERED PERSON REGARDING SUCH FAILURE AND, IF THE ISSUE IS NOT RESOLVED TO THE BOARD'S SATISFACTION, MAY CONSIDER ADDITIONAL CORRECTIVE ACTION, INCLUDING REMOVAL FROM THE BOARD OF DIRECTORS OR OTHER POSITION WITH THE FILING ORGANIZATION, AS APPROPRIATE. FORM 990, PART VI, SECTION B, LINES 13 & 14 WHISTLEBLOWER POLICY AND DOCUMENT RETENTION/DESTRUCTION POLICY: THE FILING ORGANIZATION FOLLOWS THE WHISTLEBLOWER POLICY AND DOCUMENT RETENTION AND DESTRUCTION POLICY OF A RELATED ORGANIZATION. FORM 990, PART VI, SECTION B, LINE 15 PROCESS USED TO ESTABLISH COMPENSATION OF CEO, OFFICERS, AND KEY EMPLOYEES: THE FILING ORGANIZATION IS PART OF A MULTI-ENTITY HEALTH SYSTEM AND MAY OR MAY NOT DESIGNATE ONE OR MORE OF ITS EMPLOYEES AS A CEO (OR PRESIDENT), OFFICER, OR KEY EMPLOYEE. IF THE FILING ORGANIZATION DOES NOT DESIGNATE INDIVIDUALS TO THESE ROLES, THE ROLE IS HANDLED BY AN INDIVIDUAL FROM THE PARENT ENTITY, PENN STATE HEALTH, OR AN AFFILITATE. PENN STATE HEALTH HAS ESTABLISHED A SYSTEM-WIDE PROCESS FOR ESTABLISHING COMPENSATION AS FOLLOWS: ANNUALLY, THE COMPENSATION COMMITTEE OF THE PARENT BOARD ENGAGES AN INDEPENDENT COMPENSATION CONSULTANT TO CONDUCT A COMPENSATION ANALYSIS FOR THE ORGANIZATION'S CHIEF EXECUTIVE OFFICER (CEO), OFFICERS, AND KEY EMPLOYEES. AS PART OF THE ANALYSIS, THE INDEPENDENT COMPENSATION CONSULTANT IDENTIFIES, GATHERS, AND ANALYZES APPROPRIATE COMPARABILITY DATA UPON WHICH THE COMMITTEE AND THE FULL BOARD WILL RELY TO ASSESS THE REASONABLENESS OF THE TOTAL PROPOSED COMPENSATION (INCLUDING BENEFITS) OF THE CEO, OFFICERS, AND KEY EMPLOYEES. ONCE THE COMPENSATION ANALYSIS IS COMPLETE AND DOCUMENTED IN REPORTS, THE REPORTS ARE PROVIDED TO THE BOARD FOR REVIEW AND CONSIDERATION, TOGETHER WITH WRITTEN OPINIONS FROM THE COMPENSATION CONSULTANT THAT THE PROPOSED COMPENSATION ARRANGEMENTS FOR THE CEO, OFFICERS, AND KEY EMPLOYEES ARE REASONABLE WITHIN THE MEANING OF TREASURY REGULATION 53.4958-4(B)(1)(II)(A). WITH INPUT FROM THE COMPENSATION COMMITTEE, THE FULL BOARD MAKES ANNUAL DECISIONS WITH RESPECT TO COMPENSATION FOR THE CEO, OFFICERS, AND KEY EMPLOYEES BASED UPON THE DATA IN THE REPORT AND THE OPINION OF THE COMPENSATION CONSULTANT THAT THE PROPOSED COMPENSATION IS REASONABLE. THESE DECISIONS, THE BASIS FOR THESE DECISIONS, THE BOARD MEMBERS' NAMES WHO VOTE ON COMPENSATION, AND THAT NONE OF THE BOARD MEMBERS HAVE A CONFLICT OF INTEREST WITH RESPECT TO THESE COMPENSATION ARRANGEMENTS IS ALL CONTEMPORANEOUSLY DOCUMENTED IN THE MINUTES. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION'S CONFLICT OF INTEREST POLICY AND GOVERNING DOCUMENTS ARE AVAILABLE TO THE PUBLIC UPON REQUEST. THE AUDITED CONSOLIDATED FINANCIAL STATEMENTS OF THE PENNSYLVANIA STATE UNIVERSITY AND ITS SUBSIDIARIES (WHICH INCLUDE PENN STATE HEALTH) ARE AVAILABLE AT WWW.PSU.EDU. FORM 990, PART IX, LINE 11G PHYSICIAN FEES: PROGRAM SERVICE EXPENSES 2,941,881. TOTAL EXPENSES 2,941,881. CONTRACTED STAFF: PROGRAM SERVICE EXPENSES 788,183. TOTAL EXPENSES 788,183. OTHER PURCHASED SERVICES: PROGRAM SERVICE EXPENSES 769,415. MANAGEMENT AND GENERAL EXPENSES 137,574. TOTAL EXPENSES 906,989. ST JOSEPH REGIONAL HEALTH NETWORK 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 231352211 HEALTHCARE PA 501(C)(3) LINE 3 PSH 0 ST JOSEPH MEDICAL CENTER FOUNDATION 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 232649362 FUNDRAISING PA 501(C)(3) LINE 10 SJRHN 0 PENN STATE HEALTH 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 473769205 MGMT/SUPPORT PA 501(C)(3) LINE 12A, I PSU 0 THE PENNSYLVANIA STATE UNIVERSITY 201 OLD MAIN UNIVERSITY PARK PA 16802 246000376 EDUCATION PA 115 N/A 0 THE MILTON S HERSHEY MEDICAL CENTER 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 251854772 HEALTHCARE PA 115 PSH 0 PENN STATE HEALTH HAMPDEN MEDICAL CENTER 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 851608328 HEALTHCARE PA 501(C)(3) LINE 3 PSH 0 PENN STATE HEALTH LANCASTER MEDICAL CENTER 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 851620990 HEALTHCARE PA 501(C)(3) LINE 3 PSH 0 PENN STATE HEALTH HOLY SPIRIT MEDICAL CENTER 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 231512747 HEALTHCARE PA 501(C)(3) LINE 3 PSH 0 SPIRIT PHYSICIAN SERVICES INC 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 251766971 PHYSN SVCS PA 501(C)(3) LINE 10 PSH 0 HOLY SPIRIT CORPORATION 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 232214540 HOLDING CO PA 501(C)(2) PSHHSMC 0 HERSHEY OUTPATIENT SURGERY CENTER LP 15305 DALLAS PKWY ADDISON TX 75001 200469951 HEALTHCARE PA NITTANY HLTH 0 0 NITTANY HEALTH - VALUEHEALTH JOINT 11221 ROE AVE LEAWOOD KS 66211 851154159 HEALTHCARE PA NITTANY HLTH 0 0 NITTANY HEALTH INC 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 251769611 HOMECARE INTEGRATION PA N/A C 0 CGH REALTY CO INC 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 232326801 REAL ESTATE PA N/A C 0 HOLY SPIRIT VENTURES INC 100 CRYSTAL A DRIVE MC CA210 HERSHEY PA 17033 232407709 MED. SERV. PA N/A C 0 0 0 1 0 0 0 0 0 1 0 1 0 1 0 1 1 0 0 0 SUPPLEMENTAL INFORMATION SCHEDULE R LISTS ONLY THOSE RELATED ORGANIZATIONS THAT RELATE TO THE HEALTH CARE OPERATIONS UNDER THE COMMON CONTROL OF THE PENNSYLVANIA STATE UNIVERSITY.