2015-08-03T08:18:55-05:00 2014-12-31 521855942 TATE AND TRYON 2021 L STREET NW SUITE 400 WASHINGTON DC 20036 990 2014-01-01 131088150 HEALTHCARE DISTRIBUTION MANAGEMENT ASSOCIATION HEAL 7038850268 901 NORTH GLEBE ROAD NO 1000 ARLINGTON VA 22203 ANN BITTMAN EVP AND COO 7037870000 2015-08-03 1 DOUGLAS BOEDEKER P00366180 2022932200 2014 2016-02-25 16:41:14Z JOHN M GRAY 901 NORTH GLEBE ROAD NO 1000 ARLINGTON VA 22203 16672885 0 X WWW.HEALTHCAREDISTRIBUTION.ORG X 1944 VA MISSION STATEMENT:PROTECT PATIENT SAFETY AND ACCESS TO MEDICINES THROUGH THE SAFE AND EFFICIENT DISTRIBUTION OF HEALTHCARE PRODUCTS AND SERVICES.CREATE AND EXCHANGE INDUSTRY KNOWLEDGE AND BEST PRACTICES TO ENHANCE THE VALUE OF THE HEALTHCARE SUPPLY CHAIN.ADVOCATE FOR STANDARDS, PUBLIC POLICIES AND BUSINESS PROCESSES THAT PRODUCE SAFE, INNOVATIVE AND COST-EFFECTIVE HEALTHCARE SOLUTIONS. 27 27 49 175 6500 -500 0 0 11638815 12107433 1199417 1000342 102526 102524 12940758 13210299 224105 113784 0 0 6966670 7256293 0 0 0 5602773 6016667 12793548 13386744 147210 -176445 16365670 19679558 2959798 6813373 13405872 12866185 X SEE SCHEDULE O: 0 0 GOVERNMENT AFFAIRS: THROUGH ITS GOVERNMENT AFFAIRS INITIATIVES, HDMA ADDRESSES LEGISLATIVE AND REGULATORY ISSUES AT THE FEDERAL AND STATE LEVELS. IT ADVOCATES FOR THE HEALTHCARE DISTRIBUTION INDUSTRY AS WELL AS FOR THE LARGER INTERESTS OF NATIONAL HEALTHCARE. MEETINGS & CONFERENCES: THROUGH ITS MEETINGS, HDMA DISSEMINATES INFORMATION TO MEMBERS, CREATES OPPORTUNITIES FOR MEMBER AND TRADING PARTNER INTERACTION AND FOSTERS ALLIANCES AND COALITIONS BETWEEN THE HDMA AND ITS CONSTITUENCIES. MEETINGS INCLUDE THE DISTRIBUTION MANAGEMENT CONFERENCE (DMC), THE BUSINESS & LEADERSHIP CONFERENCE (BLC) AND THE ANNUAL BOARD & MEMBERSHIP MEETING (ABMM). AT DMC ATTENDEES ATTEND EDUCATIONAL SESSIONS AND DISCUSS OPERATIONAL ISSUES, INCLUDING MANAGEMENT PROCEDURES, INNOVATION IN TECHNOLOGY AND IMPROVEMENTS IN PRODUCTIVITY AND COST REDUCTION. THE BLC IS ATTENDED BY DISTRIBUTORS, MANUFACTURERS AND SERVICE PROVIDER EXECUTIVES AND SENIOR MANAGERS WHO MANAGE NEW PRODUCT INTRODUCTIONS, THE RESUPPLY PROCESS, CREDIT AND FINANCE, ELECTRONIC COMMERCE, CONTRACT MANAGEMENT, MARKET DEVELOPMENT PROGRAMS, INFORMATION SYSTEMS AND SPECIFIC CUSTOMER SEGMENTS. ATTENDEES MEET IN ONE-ON-ONE SCHEDULED MEETINGS TO DISCUSS STRATEGIC AND OPERATIONAL TRADING PARTNER ISSUES.THE ABMM IS ATTENDED BY KEY EXECUTIVES FROM DISTRIBUTOR AND MANUFACTURER COMPANIES. IN ADDITION TO CONDUCTING EXECUTIVE COMMITTEE AND BOARD OF DIRECTOR BUSINESS, ATTENDEES DISCUSS BUSINESS, STRATEGIC PLANNING AND OPERATIONAL ISSUES WITH THEIR TRADING PARTNERS AND ATTEND HIGH LEVEL EDUCATIONAL AND INFORMATION SESSIONS. INDUSTRY RELATIONS & EDUCATION: THESE ACTIVITIES FOCUS ON INFORMATION SYSTEMS, OPERATIONAL INTEGRATION AND THE IMPACT OF E-COMMERCE ON THE EFFICIENT DISTRIBUTION OF HEALTHCARE AND THE IMPROVEMENT OF BUSINESS PROCESSES. IN ADDITION, THROUGHOUT THE YEAR PROGRAMS ARE CONDUCTED TO EDUCATE MEMBERS AND OTHER INDUSTRY PARTNERS IN CRITICAL INDUSTRY ISSUES, EMERGING TRENDS, LEGISLATION AND OTHER TOPICS OF INTEREST. THESE PROGRAMS INCLUDE LIVE IN-PERSON SEMINARS AND REMOTELY BROADCAST SEMINARS (WEBINARS). EDUCATIONAL PROGRAMS -- PERIODICALLY THROUGHOUT THE YEAR PROGRAMS ARE CONDUCTED TO EDUCATE MEMBERS AND OTHER INDUSTRY PARTNERS IN SUCH AREAS AS CRITICAL INDUSTRY ISSUES, EMERGING TRENDS, LEGISLATION, AND MANY OTHER TOPICS OF INTEREST. THESE PROGRAMS INCLUDE LIVE IN-PERSON SEMINARS AND REMOTELY BROADCAST SEMINARS (WEBINARS). 0 0 0 1 0 0 0 0 0 1 0 0 0 1 1 0 1 0 0 1 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 1 1 0 0 1 46 0 1 49 1 1 1 0 0 0 1 1 0 X 27 27 0 0 0 0 1 1 0 1 1 0 0 0 1 1 1 1 1 1 1 0 VA X THE ASSOCIATION 7037870000 901 NORTH GLEBE ROAD SUITE 1000 ARLINGTON VA 22203 TED SCHERR CHAIR 1.00 0.00 X X 0 0 0 JON GIACOMIN VICE CHAIR 1.00 0.00 X X 0 0 0 TIMOTHY BOOTH DIRECTOR 0.50 0.00 X 0 0 0 DAWN BOYTER DIRECTOR 0.50 0.00 X 0 0 0 MARIA BURNS DIRECTOR 0.50 0.00 X 0 0 0 KENNETH COUCH DIRECTOR 0.50 0.00 X 0 0 0 GREGORY DREW DIRECTOR 0.50 1.00 X 0 0 0 LOUIS FERRARO DIRECTOR 0.50 0.00 X 0 0 0 SCOTT FRANKLIN DIRECTOR 0.50 0.00 X 0 0 0 TERRANCE HAAS DIRECTOR 0.50 0.00 X 0 0 0 GAYLE JOHNSTON DIRECTOR 0.50 1.00 X 0 0 0 MICHAEL KAUFMANN DIRECTOR 0.50 0.00 X 0 0 0 SAM LAZICH DIRECTOR 0.50 0.00 X 0 0 0 DAVID MOODY DIRECTOR 0.50 0.00 X 0 0 0 DAVID NEU DIRECTOR 0.50 0.00 X 0 0 0 ALBERT PAONESSA DIRECTOR (PART-YEAR) 0.50 1.00 X 0 0 0 ANTHONY RATTINI DIRECTOR 0.50 0.00 X 0 0 0 GEORGE GK RICHARDS DIRECTOR 0.50 0.00 X 0 0 0 LENNY RODRIGUEZ DIRECTOR 0.50 0.00 X 0 0 0 RAUL RODRIGUEZ-FONT DIRECTOR 0.50 0.00 X 0 0 0 CHRISTOPHER SCHOEN DIRECTOR 0.50 0.00 X 0 0 0 WALTER SHIKANY DIRECTOR 0.50 0.00 X 0 0 0 DALE SMITH DIRECTOR 0.50 0.00 X 0 0 0 MARY TIM SMITH DIRECTOR 0.50 0.00 X 0 0 0 NICHOLAS SMOCK DIRECTOR 0.50 0.00 X 0 0 0 TODD SZEWC DIRECTOR 0.50 0.00 X 0 0 0 ALBERT THOMAS DIRECTOR 0.50 0.00 X 0 0 0 MARK WALCHIRK DIRECTOR 0.50 0.00 X 0 0 0 JOHN GRAY PRESIDENT & CEO 39.20 0.80 X 1002269 20454 76574 ANN BITTMAN EVP & COO 38.40 1.60 X 345902 14412 62323 PATRICK KELLY EVP, GOVERNMENT AFFAIRS 40.00 0.00 X 403485 0 64666 PERRY FRI EVP, INDUSTRY REL., MEMBER 40.00 0.00 X 353699 0 63455 BROOKE NAYLOR VP, MEETINGS & CONFERENCES 40.00 0.00 X 183117 0 40313 ELIZABETH GALLENAGH SVP, GA & GENERAL COUNSEL 40.00 0.00 X 321013 0 35782 JOHN PARKER SVP, COMMUNICATIONS 40.00 0.00 X 211617 0 42174 ANITA DUCCA VP, REGULATORY AFFAIRS 40.00 0.00 X 191516 0 28078 EDWARD PEZZULLO VP, ITS 40.00 0.00 X 182017 0 38680 KRISTIN FRIETAS SR. DIRECTOR, FEDERAL GA 40.00 0.00 X 160558 0 35847 3355193 34866 487892 19 0 1 0 ARENT FOX PO BOX 644672 PITTSBURGH PA 15264 LEGAL SERVICES 405101 OLSSON FRANK AND WEEDA PC 600 NEW HAMPSHIRE AVENUE NW 500 WASHINGTON DC 20037 LEGAL SERVICES 405101 TARPLIN DOWNS & YOUNG LLC 1212 NEW YORK AVENUE NW SUITE 1050 WASHINGTON DC 20005 FEDERAL LOBBYING 325000 BROWN RUDNICK ONE FINANCIAL CENTER BOSTON MA 02111 FEDERAL LOBBYING 222000 THORSEN FRENCH ADVOCACY 405 1ST STREET SE WASHINGTON DC 20003 FEDERAL LOBBYING 142500 5 MEMBERSHIP DUES 900099 7933585 7933585 MEETINGS & ACTIVITIES 900099 4163423 3119096 1044327 PUBLICATIONS 541800 10425 3925 6500 12107433 482659 482659 3976710 3559 3458901 3685 517809 -126 517683 517683 MISCELLANEOUS 900099 70524 70524 MISCELLANEOUS GAIN 900099 32000 32000 102524 13210299 11088606 6500 2115193 113784 2312028 3662029 635043 352182 295011 747441 25647 510294 64103 877937 465936 125760 689868 419289 1737122 539 107603 46356 GOVERNMENT AND PROFESSI 162396 DUES & MEMBERSHIPS 108930 AWARDS, PROMOTIONAL ITE 32426 TRAINING 26123 -131103 13386744 1998354 4361655 16667 16978 1337350 1873714 2183863 1448176 114968 735687 12840467 12498411 57864 193113 16365670 19679558 561108 784212 1332609 4004820 1066081 2024341 2959798 6813373 X 13405872 12866185 13405872 12866185 16365670 19679558 -176445 -363242 0 X X 0 1 X 1 0 1 HEALTHCARE DISTRIBUTION MGT PAC 901 NORTH GLEBE RD ARLINGTON VA 22203 541559237 30030 0 0 1 7933585 1505303 -194621 1310682 1824725 -514043 PART I-A, LINE 1: INDIRECT POLITICAL CAMPAIGN ACTIVITIES ARE MADE THROUGH THE HEALTHCARE DISTRIBUTION MANAGEMENT ASSOCIATION POLITICAL ACTION COMMITTEE (HDMA PAC) WHICH WAS ORGANIZED AS A VOLUNTARY, NON-PROFIT, UNINCORPORATED ASSOCIATION TO FURTHER THE INTERESTS OF HDMA AND THE DRUG DISTRIBUTION INDUSTRY AND TO PROMOTE GOOD CITIZENSHIP THROUGH PERSONAL AND FINANCIAL PARTICIPATION IN THE ELECTIVE PROCESS. 463273 38606 424667 1720590 1409570 311020 735687 DEFERRED COMPENSATION 1457264 DUE TO CENTER 525 DEFERRED RENTAL INCENTIVE 566552 2024341 X 12847269 -363242 212 -363030 13210299 0 13210299 13386956 212 212 13386744 0 13386744 PART X, LINE 2: MANAGEMENT DID NOT IDENTIFY ANY UNCERTAIN INCOME TAX POSITIONS. AT A MINIMUM, THE ORGANIZATION'S INCOME TAX RETURNS FOR 2011 THROUGH 2014 ARE SUBJECT TO EXAMINATION BY THE IRS. PART XI, LINE 2D - OTHER ADJUSTMENTS: LOSS ON DISPOSAL OF ASSETS 212. PART XII, LINE 2D - OTHER ADJUSTMENTS: LOSS ON DISPOSAL OF ASSETS 212. EAST ASIA AND THE PACIFIC 0 0 PROGRAM SERVICES INTERNATIONAL PHARMACEUTICAL DISTRIBUTION CONFERENCE IN BEIJING 371504 0 0 0 0 0 0 371504 0 371504 0 0 0 0 0 0 1 CENTER FOR HEALTHCARE SUPPLY CHAIN RESEARCH 901 NORTH GLEBE ARLINGTON VA 22203 521225130 501(C)(3) 108334 GENERAL SUPPORT 1 PART I, LINE 2: HDMA MONITORS THE USE OF GRANT FUNDS MADE THROUGH REPORTS FROM THE CENTER'S EXECUTIVE VICE PRESIDENT AND CHIEF OPERATING OFFICER. X 1 1 X X X X X X 0 1 0 JOHN GRAY PRESIDENT & CEO 781848 15956 197960 4040 22461 458 42630 870 41412 845 1086311 22169 0 0 ANN BITTMAN EVP & COO 314212 13092 24000 1000 7690 320 41760 1740 26497 1104 414159 17256 0 0 PATRICK KELLY EVP, GOVERNMENT AFFAIRS 370043 0 25000 0 8442 0 43500 0 33264 0 480249 0 0 0 PERRY FRI EVP, INDUSTRY REL., MEMBER 320689 0 25000 0 8010 0 43500 0 31935 0 429134 0 0 0 BROOKE NAYLOR VP, MEETINGS & CONFERENCES 174250 0 8000 0 867 0 19000 0 30351 0 232468 0 0 0 ELIZABETH GALLENAGH SVP, GA & GENERAL COUNSEL 295402 0 25000 0 611 0 26000 0 16301 0 363314 0 0 0 JOHN PARKER SVP, COMMUNICATIONS 200958 0 10000 0 659 0 21820 0 28177 0 261614 0 0 0 ANITA DUCCA VP, REGULATORY AFFAIRS 181475 0 7500 0 2541 0 19290 0 12970 0 223776 0 0 0 EDWARD PEZZULLO VP, ITS 176150 0 5000 0 867 0 18700 0 27668 0 228385 0 0 0 KRISTIN FRIETAS SR. DIRECTOR, FEDERAL GA 154190 0 6000 0 368 0 16644 0 26672 0 203874 0 0 0 PART I, LINE 1A HDMA PAYS FOR JOHN GRAY'S CLUB MEMBERSHIP. THE TAXABLE AMOUNT IS INCLUDED IN HIS W-2. THE ORGANIZATION PAID $7,355 IN TAXABLE CLUB DUES FOR 2014. PART I, LINE 4B CONTRIBUTIONS WERE MADE TO A 457(F) PLAN ON BEHALF OF JOHN GRAY IN THE AMOUNT OF $322,500. PART III, LINE 1 MISSION STATEMENT: PROTECT PATIENT SAFETY AND ACCESS TO MEDICINES THROUGH THE SAFE AND EFFICIENT DISTRIBUTION OF HEALTHCARE PRODUCTS AND SERVICES. CREATE AND EXCHANGE INDUSTRY KNOWLEDGE AND BEST PRACTICES TO ENHANCE THE VALUE OF THE HEALTHCARE SUPPLY CHAIN. ADVOCATE FOR STANDARDS, PUBLIC POLICIES AND BUSINESS PROCESSES THAT PRODUCE SAFE, INNOVATIVE AND COST-EFFECTIVE HEALTHCARE SOLUTIONS. FORM 990, PART VI, SECTION A, LINE 6 MEMBERSHIP SECTION 1. CLASSES OF MEMBERS. (A) ACTIVE MEMBERS. THE ACTIVE MEMBERSHIP OF THE ASSOCIATION CONSISTS OF FULL-SERVICE HEALTHCARE DISTRIBUTORS. TO BE ELIGIBLE FOR ACTIVE MEMBERSHIP, AN INDIVIDUAL OR BUSINESS ENTITY SHALL MEET ALL OF THE FOLLOWING CRITERIA: 1. IT MUST (I) SELL PREDOMINANTLY TO INDIVIDUALS AND BUSINESS ENTITIES THAT ARE PHARMACIES OR HEALTHCARE PROVIDERS NOT UNDER COMMON DIRECT OR INDIRECT OWNERSHIP WITH THE DISTRIBUTOR; AND (II) MAINTAIN AND OWN ADEQUATE LOCAL INVENTORIES CONSISTING PRIMARILY OF DRUG AND HEALTH-RELATED ITEMS PREDOMINANTLY PURCHASED DIRECTLY FROM MANUFACTURERS. 2. IT MUST OFFER CREDIT TO CUSTOMERS WHOSE FINANCIAL CONDITIONS WARRANT THE EXTENSION OF CREDIT. 3. IT MUST OFFER ON-GOING REGULAR SALES, CUSTOMER SERVICE, AND OTHER VALUE-ADDED SERVICES CUSTOMARILY OFFERED BY FULL-SERVICE HEALTHCARE DISTRIBUTORS. 4. IT MUST PROVIDE REASONABLE AND RELIABLE DELIVERY SERVICE. 5. ITS PRIMARY BUSINESS MUST BE LOCATED IN THE UNITED STATES. 6. IT MUST COMPLY WITH FEDERAL, STATE, AND LOCAL LAWS AND REGULATIONS OR, AS APPLICABLE, THE LAWS AND REGULATIONS OF THE UNITED STATES, AND MUST DEMONSTRATE THAT IT HAS RIGOROUS COMPLIANCE PROGRAMS IN PLACE, INCLUDING BEST PRACTICES TO ENSURE THE SAFETY AND SECURITY OF DRUG PRODUCTS. THIS INCLUDES THE REQUIREMENT THAT A DISTRIBUTOR LOCATED IN THE UNITED STATES OR ITS TERRITORIES HOLDS A VALID LICENSE UNDER THE PRESCRIPTION DRUG MARKETING ACT AND, IF APPROPRIATE, REGISTRATION WITH THE DRUG ENFORCEMENT ADMINISTRATION UNDER THE CONTROLLED SUBSTANCES ACT. 7. IT MUST PROMOTE THE OBJECTIVES OF THE ASSOCIATION, AND BE COMMITTED TO PARTICIPATE IN THE ASSOCIATION'S PROGRAMS AND ACTIVITIES. 8. IT MUST HAVE AN ESTABLISHED BUSINESS AS A FULL-SERVICE HEALTHCARE DISTRIBUTOR. (B) INTERNATIONAL MEMBERS. ANY INDIVIDUAL OR BUSINESS ENTITY ENGAGED IN THE DISTRIBUTION OF HEALTHCARE PRODUCTS IN A GEOGRAPHICAL TERRITORY OTHER THAN THAT DESCRIBED IN SECTION 1(A) (5) BUT OTHERWISE ELIGIBLE FOR ACTIVE MEMBERSHIP UNDER SECTION 1(A) MAY APPLY FOR INTERNATIONAL MEMBERSHIP. INTERNATIONAL MEMBERS SHALL ENJOY SUCH PRIVILEGES AND ENTITLEMENTS OF MEMBERSHIP AS THE BOARD OF DIRECTORS DEEMS APPROPRIATE FROM TIME TO TIME, BUT SHALL NOT BE ENTITLED TO VOTE UNDER ARTICLE IV, SECTION 4. (C) ASSOCIATE MEMBERS. ANY INDIVIDUAL OR BUSINESS ENTITY ENGAGED IN DEVELOPING, MANUFACTURING, OR LABELING OF HEALTHCARE, BEAUTY CARE, AND/OR CONSUMER PRODUCTS MAY APPLY FOR ASSOCIATE MEMBERSHIP. AN ASSOCIATE MEMBER SHALL COMPLY WITH FEDERAL, STATE, AND OTHER LAWS AND LOCAL LICENSING REGULATIONS, OR AS APPLICABLE, THE LAWS AND REGULATIONS OF THE COUNTRY IN WHICH THE MEMBER IS LOCATED. IN THE EVENT THAT A SUBSIDIARY, DIVISION, OR BRANCH OF AN ASSOCIATE MEMBER WISHES TO JOIN THE ASSOCIATION, A SEPARATE APPLICATION FOR MEMBERSHIP SHALL BE SUBMITTED FOR EACH SUCH SUBSIDIARY, DIVISION, OR BRANCH. A SEPARATE MEMBERSHIP SHALL BE MAINTAINED FOR EACH SUBSIDIARY, DIVISION, OR BRANCH THAT SEPARATELY MARKETS TO, SEPARATELY SHIPS TO, OR SEPARATELY INVOICES ACTIVE MEMBERS AND OTHER DISTRIBUTORS. AN ASSOCIATE MEMBER'S CORPORATE HEADQUARTERS MAY MAINTAIN AN ADDITIONAL MEMBERSHIP, SEPARATE FROM ITS OPERATING SUBSIDIARIES, DIVISIONS, OR BRANCHES, AT THE MINIMUM DUES LEVEL FOR THE ASSOCIATE MEMBER CATEGORY. ASSOCIATE MEMBERS SHALL ENJOY SUCH PRIVILEGES AND ENTITLEMENTS OF MEMBERSHIP AS THE BOARD OF DIRECTORS DEEMS APPROPRIATE FROM TIME TO TIME, BUT SHALL NOT BE ENTITLED TO VOTE UNDER ARTICLE IV, SECTION 4. (D) ALLIED MEMBERS. ANY INDIVIDUAL OR BUSINESS ENTITY, OTHER THAN DISTRIBUTORS NOT ELIGIBLE FOR ACTIVE MEMBERSHIP IN THE ASSOCIATION UNDER SECTION 1(A), ENGAGED IN PROVIDING SERVICES TO DISTRIBUTORS AND MANUFACTURERS RELATED TO THE BUSINESS OF HEALTHCARE, BEAUTY CARE, OR CONSUMER PRODUCTS THAT IS OTHERWISE INELIGIBLE FOR ACTIVE, INTERNATIONAL, OR ASSOCIATE MEMBERSHIP MAY APPLY FOR MEMBERSHIP AS AN ALLIED MEMBER. ALLIED MEMBERS SHALL ENJOY SUCH PRIVILEGES AND ENTITLEMENTS OF MEMBERSHIP AS THE BOARD OF DIRECTORS DEEMS APPROPRIATE FROM TIME TO TIME, BUT SHALL NOT BE ENTITLED TO VOTE UNDER ARTICLE IV, SECTION 4. FORM 990, PART VI, SECTION A, LINE 7A BOARD OF DIRECTORS. (A) THE ASSOCIATION SHALL BE GOVERNED BY A BOARD OF DIRECTORS. THE BOARD OF DIRECTORS SHALL BE RESPONSIBLE FOR IDENTIFICATION AND DEVELOPMENT OF THE PRIORITIES, POLICIES, AND POSITIONS OF THE ASSOCIATION. (B) THE BOARD OF DIRECTORS SHALL BE COMPRISED OF A CORPORATE OFFICER OF EACH ACTIVE MEMBER THAT CHOOSES TO BE REPRESENTED ON THE BOARD OF DIRECTORS. EACH ACTIVE MEMBER CHOOSING TO BE REPRESENTED ON THE BOARD OF DIRECTORS SHALL DESIGNATE ITS QUALIFIED REPRESENTATIVE IN WRITING TO THE SECRETARY, TO SERVE UNTIL A QUALIFIED REPLACEMENT IS DESIGNATED. FORM 990, PART VI, SECTION B, LINE 11 INFORMATION NEEDED TO COMPLETE FORM 990 IS PULLED TOGETHER AND COMPILED BY THE EXECUTIVE VICE PRESIDENT & COO AND REVIEWED WITH HDMA'S AUDITING FIRM. HDMA'S CEO AND EVP & COO, REVIEW THE SIGNIFICANT FORM 990 INFORMATION AND MEET WITH THE TAX MANAGER FROM OUR AUDITING FIRM TO AGREE ON HOW TO ADDRESS ANY QUESTIONS OR CHANGES IN REQUIREMENTS. FORM 990, PART VI, SECTION B, LINE 12C HDMA HAS A WRITTEN CONFLICT OF INTEREST POLICY. ALL EMPLOYEES AND BOARD MEMBERS ARE COVERED BY THE POLICY. A CONFLICT OF INTEREST COMPLIANCE CERTIFICATION IS REQUIRED TO BE SIGNED BY BOTH BOARD MEMBERS AND STAFF ANNUALLY. IF A CONFLICT OR POTENTIAL CONFLICT IS IDENTIFIED, HDMA'S CEO AND COO WILL DETERMINE WHAT RESTRICTIONS WILL BE IMPOSED ON THE PERSONS INVOLVED. FORM 990, PART VI, SECTION B, LINE 15 COMPENSATION SETTING PROCESS FOR HDMA CEO HDMA'S CEO HAS A FIVE-YEAR EMPLOYMENT CONTRACT. THIS AGREEMENT IS REVIEWED AND AGREED TO BY THE EXECUTIVE COMMITTEE OF THE BOARD OF DIRECTORS AND SIGNED BY THE CHAIRMAN OF THE BOARD. EACH YEAR, THE CHAIR AND VICE CHAIR OF THE BOARD REVIEW THE CEO'S PERFORMANCE, PREPARE A WRITTEN PERFORMANCE REVIEW AND DETERMINE THE AMOUNT OF ANY BONUS AND ANNUAL SALARY INCREASE. ANY COMPENSATION CHANGES ARE COMMUNICATED IN WRITING TO THE EXECUTIVE VICE PRESIDENT & COO FOR IMPLEMENTATION. IN SETTING THE CEO'S COMPENSATION, THE EXECUTIVE COMMITTEE UTILIZES AN INDEPENDENT COMPENSATION CONSULTANT AND THE FORM 990 OF OTHER ORGANIZATIONS. COMPENSATION SETTING PROCESS FOR OTHER HDMA KEY EMPLOYEES THE CEO, EVP & COO, AND THE VP OF HUMAN RESOURCES REVIEW ALL OTHER STAFF COMPENSATION AT THE END OF EACH CALENDAR YEAR. A WRITTEN PERFORMANCE APPRAISAL IS REQUIRED FOR EACH EMPLOYEE. THE OVERALL PERFORMANCE RATINGS FOR ALL EMPLOYEES ARE REVIEWED BY THE SENIOR MANAGEMENT TEAM TO ENSURE AS MUCH CONSISTENCY IN RATINGS ACROSS DEPARTMENTS AS POSSIBLE. EACH POSITION HAS A SALARY RANGE, WHICH IS UPDATED BY AN INDEPENDENT OUTSIDE CONSULTANT APPROXIMATELY EVERY THREE YEARS. THE CEO, EVP & COO, AND THE VP OF HUMAN RESOURCES ALSO LOOKS AT WHERE EMPLOYEES' COMPENSATION FALLS WITHIN THEIR SALARY RANGES (BASED UPON THE MOST RECENT JOB DESCRIPTIONS) AND MAKE RECOMMENDATIONS TO THE CEO ON ANY "PARITY" ADJUSTMENTS, ON A CASE-BY-CASE BASIS. IN ADDITION, ALL SUPERVISORS WHO REQUEST ANNUAL BONUSES FOR ANY OF THEIR EMPLOYEES MUST SUBMIT A WRITTEN PROPOSAL. THESE PROPOSALS ARE REVIEWED BY THE CEO, EVP & COO, AND THE VP OF HUMAN RESOURCES AND APPROVED BY THE CEO. FORM 990, PART VI, SECTION C, LINE 19 THEY ARE NOT MADE AVAILABLE TO THE PUBLIC. FORM 990, PART XII, LINE 2C THE AUDIT OVERSIGHT PROCESS HAS NOT CHANGED FROM THE PRIOR YEAR. HDMA SERVICE CORPORATION 901 NORTH GLEBE ROAD SUITE 1000 ARLINGTON VA 22203 521191833 NO ACTIVITY/DORMANT VA HDMA CENTER FOR HEALTHCARE SUPPLY CHAIN RESEARCH 901 NORTH GLEBE ROAD ARLINGTON VA 22203 521225130 RESEARCH AND EDUCATION VA 501(C)(3) LINE 11A, I HEALTHCARE DISTRIBUTION MANAGEMENT ASSOCIATION 0 HEALTHCARE DISTRIBUTION MANAGEMENT PAC 901 NORTH GLEBE ROAD ARLINGTON VA 22203 541559237 POLITICAL VA 527 HEALTHCARE DISTRIBUTION MANAGEMENT ASSOCIATION 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 CENTER FOR HEALTHCARE SUPPLY CHAIN RESEARCH B 108334 FMV CENTER FOR HEALTHCARE SUPPLY CHAIN RESEARCH Q 150000 FMV CENTER FOR HEALTHCARE SUPPLY CHAIN RESEARCH O 41804 FMV