2020-11-16T13:44:35-06:00 2019-12-31 271235638 MCM CPAS & ADVISORS LLP 462 S FOURTH ST SUITE 2600 LOUISVILLE KY 402023445 990 2019-01-01 611297707 CCMH CORPORATION CCMH 5027323200 309 ELEVENTH ST CARROLLTON KY 41008 KIM HAVERLY CFO 5027323200 2020-11-16 1 ELEANOR A LIVINGSTON CPA MST P00226461 5027491900 2020-11-16 69.135.99.226 2020-11-16 07:14:39 ES P A9E73B062129935174CB771FC93B1B2751F22327 25CD8C5A137E7D8E1B84DA6E8784CD1FBFED8EAA 2019 2021-01-29 14:40:06Z KIM HAVERLY 309 ELEVENTH ST CARROLLTON KY 41008 21836219 0 X WWW.CCMHOSP.COM X 2007 KY PROVIDE A HEALTHCARE FACILITY OFFERING ACUTE CARE, SKILLED CARE, OUTPATIENT SERVICES, AND EMERGENCY MEDICAL SERVICES TO RESIDENTS OF CARROLL COUNTY, KENTUCKY AND SURROUNDING AREAS. 11 11 259 18 0 0 89513 94236 17529715 19445042 11296 46454 2310927 2250487 19941451 21836219 0 0 0 0 10690163 10786773 0 0 0 9100934 10781604 19791097 21568377 150354 267842 10498620 10718130 9158561 9110126 1340059 1608004 PROVIDE A HEALTHCARE FACILITY OFFERING ACUTE CARE, SKILLED CARE, OUTPATIENT SERVICES, AND EMERGENCY MEDICAL SERVICES TO RESIDENTS OF CARROLL COUNTY, KENTUCKY AND SURROUNDING AREAS. 0 0 20103475 21548598 SERVICED 64,935 PATIENTS THIS YEAR. APPROXIMATELY 8,784 PATIENTS WERE SERVICED IN EMERGENCY ROOMS. ALSO HAD 24,035 PHYSICIAN CLAIMS.PROVIDED MEDICAL CARE FOR THOSE UNABLE TO PAY.PROVIDED RURAL HEALTH CLINIC TO SERVE THE INDIGENT OF THE COMMUNITY. 20103475 1 1 0 0 0 0 0 0 0 0 1 0 0 1 1 1 1 0 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 0 0 0 0 1 62 0 1 259 1 0 0 0 0 0 0 0 0 0 0 0 0 X 11 11 0 1 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 KY X KIMBERLY ADAMS 5027323200 309 ELEVENTH ST CARROLLTON KY 41008 DENNIS RAISOR PRESIDENT 1.00 X X 0 0 0 JAMES STEVENSON SECRETARY 1.00 X X 0 0 0 VALERIE HINES TRUSTEE 1.00 X 0 0 0 NICK MARSH TRUSTEE 1.00 X 0 0 0 ROBERT YOWLER TRUSTEE 1.00 X 0 0 0 HAROLD TOMLINSON TRUSTEE 1.00 X 0 0 0 SCOTT NAB TRUSTEE 1.00 X 0 0 0 LAMAN STARK TRUSTEE 1.00 X 0 0 0 VICKY RAND TRUSTEE 1.00 X 0 0 0 JOHN WRIGHT TRUSTEE 1.00 X 0 0 0 CASEY ELLIS TRUSTEE 1.00 X 0 0 0 AMANDA KINMAN CFO 40.00 X 72916 0 2215 KIMBERLY HAVERLY CFO 40.00 X 16750 0 442 KIM DEES CEO 40.00 X 107242 0 5003 HARRY HAYS CEO 40.00 X 45034 0 0 FAROOQ MIRZA PHYSICIAN 40.00 X 352824 0 28563 SHERRELL NUNNELLEY PHYSICIAN 40.00 X 265956 0 27068 WINSTON YAP PHYSICIAN 40.00 X 238699 0 23177 RANJHAN GOPANG PHYSICIAN 40.00 X 471026 0 37728 SAMER HUSSEIN PHYSICIAN 40.00 X 302222 0 31109 1872669 0 155305 13 0 1 0 EMCARE PHYSICIAN SERVICES 7032 COLLECTION CENTER DRIVE CHICAGO IL 60693 EMERGENCY ROOM PHYSICIANS 829704 NUMED INC PO BOX 1098 DENTON TX 76202 IMAGING SERVICES 385658 NEXIGEN 16 EAST 11TH STREET NEWPORT KY 41071 IT SERVICES 242977 ULTRA GROUP VENTURES LLC 651 EAST 4TH STREET STE 100 CHATTANOOGA TN 37403 MANAGEMENT SERVICES 224176 TRISTATE BIOMEDICAL SOLUTIONS 201 INDUSTRIAL DRIVE SUITE A FRANKLIN OH 45005 EQUIPMENT SERVICING 194383 9 93802 434 94236 PATIENT SERVICE REVENUE 621110 19445042 19445042 19445042 46454 46454 111720 0 111720 111720 111720 340B PROGRAM 900099 1948533 1948533 MISCELLANEOUS 900099 129523 129523 CAFETERIA SALES 722210 35211 35211 25500 25500 2138767 21836219 21548598 0 193385 X 249603 157281 92322 8855934 8763642 92292 1057757 1049760 7997 623479 592305 31174 45830 45830 7044 7044 40047 40047 3151402 2016898 1134504 18740 7683 11057 75171 74419 752 1059453 1059453 13426 11546 1880 163499 163499 593610 593610 290521 290521 BAD DEBT 2658244 2658244 MEDICAL SUPPLIES AND DR 2184885 2184885 PROVIDER TAX 282859 282859 RAW FOOD 82281 82281 114592 114589 3 21568377 20103475 1464902 0 797858 903126 21849 28246 1870984 1745755 104707 103995 441852 440417 21028120 14192369 6600530 6835751 660840 660840 10498620 10718130 7758582 2611897 723075 6287214 676904 211015 9158561 9110126 X 1340059 1608004 1340059 1608004 10498620 10718130 267842 103 0 X X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 376450 376450 8750677 5000321 3750356 11117223 9070502 2046721 783770 121546 662224 6835751 CERTIFICATE OF NEED 660840 660840 ESTIMATED THIRD PARTY SETTLEMENTS 211015 211015 X 19177975 0 19177975 2658244 2658244 21836219 18910133 0 18910133 2658244 2658244 21568377 PART X, LINE 2: THE HOSPITAL IS A NOT-FOR-PROFIT CORPORATION AND HAS BEEN RECOGNIZED AS A TAX-EXEMPT PURSUANT TO SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. THE HOSPITAL RECOGNIZES UNCERTAIN TAX POSITIONS USING THE "MORE LIKELY-THAN-NOT" APPROACH AS DEFINED IN THE ACCOUNTING STANDARDS CODIFICATION. NO LIABILITY FOR UNCERTAIN TAX POSITIONS HAS BEEN RECORDED IN THE ACCOMPANYING FINANCIAL STATEMENTS. PART XI, LINE 4B - OTHER ADJUSTMENTS: BAD DEBT EXPENSE 2,658,244. PART XII, LINE 4B - OTHER ADJUSTMENTS: BAD DEBT EXPENSE 2,658,244. 1 1 X 1 X 1 X 1 1 0 1 1 3763758 2316541 1447217 0.06710 6940529 4717056 2223473 0.10310 10704287 7033597 3670690 0.17020 10704287 7033597 3670690 0.17020 1 2658244 4812516 5244733 -432217 X 1 1 1 1 CARROLL COUNTY MEMORIAL HOSPITAL 309 ELEVENTH ST CARROLLTON KY 41008 X X X X CARROLL COUNTY MEMORIAL HOSPITAL 1 0 0 1 X X X X X X X X X 19 1 0 0 1 X HTTPS://WWW.CCMHOSP.COM/HOSPITAL-INFORMATION/ X 1 19 1 HTTPS://WWW.CCMHOSP.COM/HOSPITAL-INFORMATION/ 0 1 X 100.000000000000 200.000000000000 X X X X 1 1 X X X 1 X HTTP://WWW.CCMHOSP.COM/FINANCIAL-INFORMATION/ 1 X 0 X X X 1 0 0 CARROLL COUNTY MEMORIAL HOSPITAL PART V, SECTION B, LINE 5: THE COMMUNITY STEERING COMMITTEE IS A VITAL PART TO THE CHNA PROCESS. THESE INDIVIDUALS REPRESENT ORGANIZATIONS AND AGENCIES FROM THE SERVICE AREA AND IN PARTICULAR, THE INDIVIDUALS WHO WERE WILLING TO VOLUNTEER ENABLED THE HOSPITAL TO GET INPUT FROM POPULATIONS THAT WERE OFTEN NOT ENGAGED IN CONVERSATIONS ABOUT THEIR HEALTH NEEDS. CEDIK PROVIDED A LIST OF POTENTIAL AGENCIES AND ORGANIZATIONS THAT WOULD FACILITATE BROAD INPUT. THE COMMUNITY STEERING COMMITTEE MET TWICE AS A GROUP AND EACH TIME A HOSPITAL REPRESENTATIVE WELCOMED AND THANKED THE INDIVIDUALS FOR ASSISTING IN THE PROCESS AND THEN EXCUSED THEMSELVES IF FOCUS GROUP DISCUSSION WAS BEING CONDUCTED. CEDIK ASKED THE HOSPITAL REPRESENTATIVES NOT BE PRESENT DURING ANY FOCUS GROUP DISCUSSIONS OR DEBRIEFING WITH THE COMMUNITY STEERING COMMITTEE.COMMUNITY STEERING COMITTEE MEMBERS:FLOYD BOWLING - CARROLL COUNTY MAGISTRATEGREG GOFF OF FIRST NATIONAL BANK OF KENTUCKYPAT BAKER - DIRECTOR OF HOUSING AUTHORITYDENISE HALL OF DRUG FREE COMMUNITIES/TRIMBLE COUNTYKATHY BEIGER OF CARROLL COUNTY SCHOOOL SYSTEMTRACY MILES OF GALLATIN COUNTY CLERK'S OFFICEJEFF MOORE OF THE NEWS DEMOCRATLISA DRODDY OF INTERIM HEALTH CAREYVONNE POE OF THREE RIVERS DISTRICT HEALTH DEPARTMENT CARROLL COUNTY MEMORIAL HOSPITAL PART V, SECTION B, LINE 11: MORE PRIMARY CARE PROVIDERS - THE CEO HAS RECENTLY RETAINED A RECRUITING FIRM TO LOOK FOR INTERNAL MEDICINE AND/OR FAMILY PRACTICE FOR CCFP AND WFP. WE ARE REACHING OUT TO PHYSICIANS THROUGH PERSONAL CONTACTS HERE AT THE HOSPITAL THAT MAY BE INTERESTED IN BECOMING A PART OF OUR TEAM. WE PLAN TO BE PROACTIVE INSTEAD OF REACTIVE WITH RECRUITMENT, SUCH AS NOT JUST FILLING GAPS WHEN PHYSICIANS LEAVE OR RETIRE, BUT ALWAYS LOOKING TO ADD MORE PHYSICIANS TO OUR MEDICAL STAFF.REHABILITATION PROGRAMS FOR ADDICTION/WITHDRAWAL MANAGEMENT - WE HAVE HIRED A LICENSED PROFESSIONAL CLINICAL COUNSELOR AND HAVE BEGUN TRAINING FOR AN INPATIENT MEDICAL STABILIZATION PROGRAM. THIS PROGRAM WILL BE TO MANAGE WITHDRAWAL SYMPTOMS AND EVALUATE THE PATIENT'S NEEDS FOR FURTHER REHAB/COUNSELING WHEN THE PATIENT HAS BEEN DISCHARGED FROM OUR INPATIENT. THIS IS A THREE TO FIVE DAY PROGRAM. GRANTS HAVE BEEN APPLIED FOR TO DEVELOP OUTPATIENT COUNSELING SERVICES THAT WE HOPE TO HAVE UP AND AVAILABLE TO PAITENTS IN MID 2020. WE AIM TO HAVE A REPRESENTATIVE ON THE COMMUNITY PLANNING COALITION THAT HAS A PLANNING GRANT TO DETERMINE NEED AND RESOURCES FOR ADDRESSING EDUCATION/PREVENTION AND TREATMENT OF SUBSTANCE USE IN YOUTH AND ADULTS. WE PLAN TO DEVELOP THESE COMMUNITY RELATIONSHIPS SO THAT WE POOL OUR RESOURCES TO GET SERVICES TO PATIENTS IN NEED.TRANSPORTATION - WE CURRENTLY HAVE A WELLNESS TRANSIT THAT IS AVAILABLE FROM 8AM TO 4PM MONDAY THROUGH THURSDAY AND 8AM TO 12PM ON FRIDAY. SCHEDULED APPOINTMENTS FOR TRANSFERS ARE TO BE MADE 72 HOURS IN ADVANCE AND ARE ONLY AVAILABLE TO CARROLL COUNTY RESIDENTS. WE WOULD LIKE TO INCREASE THIS SERVICE TO OUT OF TOWN APPOINTMENTS IN THE CITY BY INCREASING THE NUMBER OF PAID AND VOLUNTEER DRIVERS. WE CURRENTLY HAVE THREE VANS FOR TRANSPORT BUT HAVE ORDERED ANOTHER ONE THAT HAS BEEN PAID FOR WITH A GRANT. WE NEED TO REACH OUT TO OUR REGIONAL COUNTY OFFICIALS TO WORK ON WAYS TO EXPAND THIS SERVICE TO THEIR COUNTIES.THE AREAS THAT WERE SUGGESTED AS NEEDS THAT WE DID NOT CHOOSE TO ADDRESS AT THIS TIME WERE:EDUCATION - WE WILL BE INCORPORATING EDUCATIONAL PROGRAMMING INTO THE REHAB FOR ADDICTION/WITHDRAWAL PROGRAMS STRATEGY.CANCER SERVICES (SUPPORT SERVICES) - CANCER TREATMENT IS AVAILABLE WITHIN 25 MILES TO THE SOUTH AND WEST OF THE HOSPITAL. CANCER SERVICES ARE VERY COSTLY TO START UP AND WE HAVE HAD ONE IN THE PAST AND WAS POORLY UTILIZED. THERE ARE SUPPORT SERVICES THAT ARE PROVIDED HERE SUCH AS PORT FLUSHES, BLOOD DRAWS, AND TRANSFUSIONS ON MED/SURG OUTPATIENT AREA. IT IS EVIDENT THAT WE NEED TO ADVERTISE THESE SERVICES AND THEIR AVAILABILITY TO THE COMMUNITY.BASIC LIFE SKILLS - WE WOULD OFFER TO SUPPORT THE SCHOOLS WITH THEIR ENDEAVORS TO PROVIDE THIS EDUCATION AND TRAINING WITH RESOURCES AND STAFF AS NEEDED. 3 1 - BEDFORD FAMILY PRACTICE 470 HIGHWAY 421 NORTH BEDFORD KY 40006 PROVIDER BASED RURAL HEALTH CLINIC 2 - WARSAW FAMILY PRACTICE 202 FRANKLIN STREET WARSAW KY 41095 PROVIDER BASED RURAL HEALTH CLINIC 3 - CARROLL COUNTY RURAL HEALTH CLINIC 309 ELEVENTH ST CARROLLTON KY 41008 PROVIDER BASED RURAL HEALTH CLINIC PART I, LINE 7: THE ORGANIZATION USED THE MEDICARE COST TO CHARGE RATIO TO COMPLETE PART I, LINE 7. PART III, LINE 2: IN DETERMINING THE AMOUNT OF BAD DEBT AT COST, THE ORGANIZATION USED THE MEDICARE COST REPORT (MCR), COST TO CHARGE RATIO OF 30%. PART III, LINE 3: PATIENT ACCOUNTS RECEIVABLE ARE STATED AT NET REALIZABLE AMOUNTS FROM PATIENTS, THIRD-PARTY PAYORS AND OTHERS FOR SERVICES RENDERED. THE HOSPITAL PROVIDES AN ALLOWANCE FOR DOUBTFUL ACCOUNTS, WHICH IS MANAGEMENT'S ESTIMATE BASED UPON HISTORICAL COLLECTION INFORMATION AND OTHER INDUSTRY TRENDS. PATIENT ACCOUNTS RECEIVABLE ARE BILLED UPON DISCHARGE AND ARE OFDINARILY DUE WITHIN 30 DAYS OF BILLING. BALANCES MORE THAN 120 DAYS PAST DUE ARE CONSIDERED DELINQUENT. DELINQUENT RECEIVABLES ARE TURNED OVER TO A COLLECTION AGENCY. PART III, LINE 4: A SEPARATE FOOTNOTE FOR BAD DEBT EXPENSE IS NOT INCLUDED IN THE AUDITED FINANCIAL STATEMENTS.PATIENT ACCOUNTS RECEIVABLE ARE STATED AT NET REALIZABLE AMOUNTS FROM PATIENTS, THIRD-PARTY PAYORS AND OTHERS FOR SERVICES RENDERED. THE HOSPITAL PROVIDES AN ALLOWANCE FOR DOUBTFUL ACCOUNTS, WHICH IS MANAGEMENT'S ESTIMATE BASED UPON HISTORICAL COLLECTION INFORMATION AND OTHER INDUSTRY TRENDS. PATIENT ACCOUNTS RECEIVABLE ARE BILLED UPON DISCHARGE AND ARE ORDINARILY DUE WITHIN 30 DAYS OF BILLING. BALANCES MORE THAN 120 DAYS PAST DUE ARE CONSIDERED DELINQUENT. DELINQUENT RECEIVABLES ARE TURNED OVER TO A COLLECTION AGENCY. IN DETERMINING THE AMOUNT OF BAD DEBT AT COST, THE ORGANIZATION USED THE MEDICARE COST REPORT (MCR), COST TO CHARGE RATIO OF 30%. PART III, LINE 9B: THE ORGANIZATION'S COLLECTION POLICY STATES THAT ANY PERSON INDICATING AN INABILITY TO PAY WILL BE SCREENED FOR FINANCIAL ASSISTANCE. PART VI, LINE 2: INPUT FROM COMMUNITY LEADERS, BOARD MEMBERS, EMPLOYEES AND PATIENTS. CEO IS MEMBER OF SEVERAL LOCAL ORGANIZATIONS (ROTARY, ECONOMIC DEVELOPMENT, ETC.). PART VI, LINE 3: FINANCIAL COUNSELORS ASSIST THOSE WITHOUT INSURANCE INCLUDING THOSE WITH INSURANCE THAT EXPRESS A NEED FOR FINANCIAL ASSISTANCE. PART VI, LINE 4: THE ORGANIZATION SERVES A LARGELY RURAL POPULATION. COMMERCE IS CENTERED AROUND THE OHIO RIVER AND INDUSTRIES RELATED TO SUCH. THE POPULATION IS GENERALLY POORER THAN THE STATE AVERAGE WITH HIGHER THAN AVERAGE UNEMPLOYMENT. PART VI, LINE 5: HOSPITAL SPONSORED COMMUNITY HEALTH FAIR OFFERING SCREENINGS, PREVENTATIVE EDUCATION, AND INFORMATION TO PROMOTE GOOD HEALTH.BOARD OF DIRECTORS REPRESENT THE ENTIRE COMMUNITY AND WORK WITH THE HOSPITAL TO PROMOTE AND PROVIDE HEALTHY COMMUNITY BENEFITS.HOSPITAL WORKS WITH COUNTY HEALTH DEPARTMENT TO PROMOTE HEALTHY LIVING AND PREVENTION. X X 0 0 0 0 0 0 0 1 0 FAROOQ MIRZA PHYSICIAN 352824 0 0 0 0 0 25000 0 3563 0 381387 0 0 0 SHERRELL NUNNELLEY PHYSICIAN 256341 0 0 0 9615 0 25000 0 2068 0 293024 0 0 0 WINSTON YAP PHYSICIAN 234449 0 1625 0 2625 0 23177 0 0 0 261876 0 0 0 RANJHAN GOPANG PHYSICIAN 367850 0 61927 0 41249 0 25000 0 12728 0 508754 0 0 0 SAMER HUSSEIN PHYSICIAN 302222 0 0 0 0 0 25000 0 6109 0 333331 0 0 0 PART I, LINE 7 PHYSICIANS ARE ELIGIBLE FOR BONUSES BASED ON PRODUCTIVITY (RVU'S). FORM 990, PART VI, SECTION A, LINE 3 ALLIANT MANAGEMENT SERVICES PROVIDES MANAGEMENT GUIDANCE. FORM 990, PART VI, SECTION B, LINE 11B THE CFO REVIEWS THE 990 AND THEN THE 990 IS DISTRIBUTED TO THE GOVERNING BODY PRIOR TO ITS FILING. FORM 990, PART VI, SECTION B, LINE 12C CARROLL COUNTY MEMORIAL HOSPITAL'S ADVISORY BOARD; CCMH CORPORATION; OWE A DUTY OF CARE AND A DUTY OF LOYALTY TO CARROLL COUNTY MEMORIAL HOSPITAL, WHICH REQUIRE EACH DIRECTOR TO ACT IN GOOD FAITH, ON AN INFORMED BASIS, AND IN A MANNER THAT THE DIRECTOR HONESTLY BELIEVES TO BE IN THE BEST INTEREST OF CARROLL COUNTY MEMORIAL HOSPITAL. EACH MEMBER OF THE ADVISORY BOARD OF CARROLL COUNTY MEMORIAL HOSPITAL AND ITS AFFILIATED ORGANIZATIONS, CARROLL COUNTY MEMORIAL HOSPITAL OR SUBCOMMITTEES OF THESE BOARDS THAT HAVE BOARD DELEGATED POWERS SHALL FULLY AND ACCURATELY COMPLETE CARROLL COUNTY MEMORIAL HOSPITAL'S CONFLICT OF INTEREST DISCLOSURE FORM. THE FORM IS COMPLETED ANNUALLY. FORM 990, PART VI, SECTION B, LINE 15 THE COMPENSATION OF THE CEO IS REVIEWED, DETERMINED AND APPROVED BY THE CCMH BOARD OF DIRECTORS. IT IS PART OF AN EMPLOYMENT CONTRACT FOR THE CEO. COMPARATIVE DATA FOR A HOSPITAL OF THIS SIZE AND IN THIS GEOGRAPHIC AREA ARE USED AMONG OTHER FACTORS. SALARY ADJUSTMENT IS REVIEWED ANNUALLY BY THE BOARD. THE CONTRACT IS REVIEWED EVERY TWO YEARS. COMPENSATION FOR THE CFO, CNO, AND DEPARTMENT MANAGER SALARY AND WAGES ARE BASED ON A SALARY SCALE CONSIDERING YEARS OF EXPERIENCE AND YEARS OF SERVICE AT THE HOSPITAL. ANNUAL INCREASES ARE REVIEWED AND APPROVED BY THE CCMH BOARD AS PART OF THE BUDGETARY PROCESS AND AT THE TIME OF THE SALARY AND WAGE INCREASE. THE SALARY SCALE IS REVIEWED ANNUALLY THROUGH A MARKET ANALYSIS WITH COMPARATIVE DATA FOR HOSPITALS OF THIS SIZE IN THE GEOGRAPHIC AREA. 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 IX, LINE 11G PURCHASED SERVICES: PROGRAM SERVICE EXPENSES 1,428,329. MANAGEMENT AND GENERAL EXPENSES 803,435. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 2,231,764. PHYSICIAN FEES: PROGRAM SERVICE EXPENSES 534,129. MANAGEMENT AND GENERAL EXPENSES 300,447. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 834,576. COLLECTION FEES: PROGRAM SERVICE EXPENSES 54,440. MANAGEMENT AND GENERAL EXPENSES 30,622. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 85,062. FORM 990, PART XII, LINE 2C: THE PROCESS HAS NOT CHANGED FROM PRIOR YEAR. THE ORGANIZATION HAS A FINANCE COMMITTEE THAT OVERSEES THE AUDIT OF THE FINANCIAL STATEMENTS AND SELECTION OF AN INDEPENDENT AUDITOR. THE INDEPENDENT AUDITOR MEETS WITH THE FINANCE COMMITTEE AT THE CONCLUSION OF THE AUDIT.