2024-11-11T16:11:38-06:00 2023-12-31 861065772 DELOITTE TAX LLP 50 SOUTH SIXTH STREET MINNEAPOLIS MN 55402 990 2023-01-01 871858798 HEALTHCARE IN ACTION INC HEAL 5629895100 3800 KILROY AIRPORT WAY 100 LONG BEACH CA 90806 MICHAEL PLUMB TREASURER 5629895100 2024-11-11 1 0 ANNA KOLAKALURI P01275237 6123974000 2023 2024-10-15 13:58:12Z MICHAEL PLUMB 3800 KILROY AIRPORT WAY 100 LONG BEACH CA 90806 15286491 0 X WWW.HEALTHCAREINACTION.ORG X 2021 CA HEALTHCARE IN ACTION, INC PROVIDES HEALTHCARE FOR PATIENTS EXPERIENCING HOMELESSNESS, OLDER ADULTS, AND OTHER VULNERABLE INDIVIDUALS WHO ARE EXPERIENCING HOMELESSNESS. WE SERVE PATIENTS EXPERIENCING HOMELESSNESS THROUGH AN INNOVATIVE "STREET MEDICINE" APPROACH BY CONTRACTING WITH MEDICARE AND MEDICAID HEALTH PLANS AS WELL AS HOSPITALS AND HEALTH SYSTEMS. 5 0 126 6 0 0 4922412 10611405 1085844 4156078 -18005 10418 0 0 5990251 14777901 1653000 902954 0 0 1584252 11743593 0 0 0 1291012 2041523 4528264 14688070 1461987 89831 2455745 4668487 196627 2319538 2259118 2348949 X TO SERVE PATIENTS EXPERIENCING HOMELESSNESS THROUGH AN INNOVATIVE "STREET MEDICINE" APPROACH BY CONTRACTING WITH MEDICARE AND MEDICAID HEALTH PLANS AS WELL AS HOSPITALS AND HEALTH SYSTEMS. 0 0 11930976 902954 4156078 HEALTHCARE IN ACTION, INC (HIA) PROVIDES MEDICAL, BEHAVIORAL HEALTH, ADDICTION, AND CASE MANAGEMENT SERVICES TO UNHOUSED RESIDENTS IN CALIFORNIA. HIA WAS ESTABLISHED IN 2021 AND HAS BEEN SERVING MEDICAID MANAGED CARE MEMBERS AS A MEDICAL SERVICES PROVIDER, AS WELL AS AN ENHANCED CARE MANAGEMENT AND COMMUNITY SUPPORT SERVICES PROVIDER, SINCE JANUARY OF 2022. ONE OF THE UNIQUE FEATURES OF HIA IS ITS MOBILE HEALTH SERVICES, WHICH TRAVELS TO DIFFERENT LOCATIONS IN THE COMMUNITIES TO PROVIDE HEALTHCARE SERVICES TO HOMELESS INDIVIDUALS WHERE THEY RESIDE. THE MOBILE CLINIC IS STAFFED BY HEALTHCARE PROFESSIONALS, INCLUDING MEDICAL PROVIDERS, NURSES, COMMUNITY HEALTH WORKERS, AND SOCIAL WORKERS, WHO PROVIDE CARE TO INDIVIDUALS IN NEED. THE OVERARCHING GOALS OF HIA INCLUDE IMPROVING THE HEALTH OF UNHOUSED POPULATIONS AS WELL AS HELPING THEM OBTAIN SUSTAINABLE HOUSING.HIA IS DIVIDED INTO TWO SERVICE LINES: ENHANCED CARE MANAGEMENT AND COMMUNITY SUPPORTS, WHICH INCLUDES ALL UNLICENSED SERVICES AIMED AT ADDRESSING THE SOCIAL DETERMINANTS OF HEALTH FOR HIA PATIENTS. THESE SERVICES INCLUDE CARE COORDINATION, HOUSING NAVIGATION, TRANSPORTATION, AND SUPPORT WHICH ADDRESS OBTAINING OTHER HEALTH-RELATED SOCIAL SERVICES SUCH AS SUBSIDIZED FOOD, DISABILITY, AND OTHER PUBLIC PROGRAMS. THESE SERVICES ARE LARGELY FUNDED THROUGH CONTRACTS WITH MEDICAID MANAGED CARE PLANS, SUPPORTED BY CALIFORNIA'S ADVANCING AND INNOVATING MEDI-CAL (CALAIM) PROGRAM. HIA'S UNLICENSED CASE MANAGEMENT PROVIDERS ARE EMPLOYED BY HEALTHCARE IN ACTION, INC., A 501(C)(3) NON-PROFIT ORGANIZATION THAT IS A FULLY OWNED SUBSIDIARY OF THE SCAN GROUP. MEDICAL SERVICES INCLUDE: GENERAL MEDICAL CARE, BEHAVIORAL HEALTH SERVICES, AND ADDICTION TREATMENT, PROVIDED BY LICENSED MEDICAL PROVIDERS. THESE SERVICES ARE SUPPORTED THROUGH A MIX OF PHILANTHROPIC FUNDING, MEDICAL SERVICE CONTRACTS WITH MEDICAID MANAGED CARE PLANS, AND DIRECT SERVICE CONTRACTS WITH A VARIETY OF HOSPITALS AND MUNICIPALITIES. HIA'S LICENSED MEDICAL PROVIDERS ARE EMPLOYED BY HEALTHCARE IN ACTION MEDICAL GROUP, A CALIFORNIA PROFESSIONAL MEDICAL CORPORATION OWNED BY HIA PHYSICIANS. 11930976 1 1 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 1 0 1 0 0 0 1 1 0 0 1 1 0 0 0 0 1 1 1 0 0 1 13 0 1 126 1 0 0 0 0 0 0 0 0 0 0 0 0 X 5 0 0 0 0 0 1 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA X VIRGINIA A HAVAI 5629895100 3800 KILROY AIRPORT WAY STE 100 LONG BEACH CA 908065616 JAIN MD SACHIN H DIRECTOR 0.50 39.50 X 0 3268166 1554958 BATRA ROMILLA A CHIEF MED. OFFICER, DIR. (END 09/23) 4.00 36.00 X 0 1930843 32379 PLUMB MICHAEL DIRECTOR, TREASURER (BEG 4/23) 1.00 39.00 X X 0 1101248 666170 SHETH DEEPA DIRECTOR (BEG 3/23) 8.00 32.00 X 0 640414 280435 HOCHMAN MICHAEL CHIEF EXECUTIVE OFFICER 15.00 25.00 X X 0 489940 196073 KAPPEL KEVIN TREASURER (END 4/23) 20.00 20.00 X X 347619 0 153905 BELL KATHLEEN G COO - HIA (BEG 03/23) 35.00 5.00 X 232842 0 103971 KROEKER KEVIN B SECRETARY (END 3/23) 1.00 39.00 X 0 1017186 51046 DELPHIN-RODRIGUEZ RENEE C SECRETARY (BEG 3/23) 1.00 39.00 X 0 435053 374248 SOLARES JESSICA DIRECTOR CLINICAL OPERATIONS 35.00 5.00 X 196121 0 44898 HAWKINS GINETTE SVP, CHIEF RISK OFFICER 1.00 39.00 X 0 420404 95275 JORDAN MICHAEL REGIONAL DIR, CLIN OPS 10.00 30.00 X 150805 0 29363 FLORES JULIA MGR, CARE MGMT 10.00 30.00 X 118034 0 30288 PEREZ MINERVA MGR, CARE MGMT 40.00 0.00 X 104617 0 19419 1150038 9303254 3632428 5 0 1 0 0 1400000 7202701 2008704 508590 10611405 HEALTHCARE RELATED REV 900099 3821765 3821765 MANAGEMENT FEE REVENUE 561000 334313 334313 4156078 10418 10418 508590 508590 0 0 14777901 4156078 0 10418 900000 900000 2954 2954 867340 693872 173468 8644611 6915688 1728923 527155 421724 105431 1034463 827570 206893 670024 536019 134005 44851 35881 8970 43114 34491 8623 435332 348269 87063 893 714 179 113624 90899 22725 820266 656213 164053 60342 48274 12068 221726 177381 44345 10583 8466 2117 215384 172307 43077 3395 2716 679 DUES AND SUBSCRIPTIONS 41584 33267 8317 OTHER EXPENSES 25204 20091 5113 FED, STATE, COUNTY TAX 5225 4180 1045 14688070 11930976 2757094 0 688557 -3632 549164 1344253 2264429 500000 1963 5560 1525027 282488 420972 1242539 0 110427 2455745 4668487 196627 2271487 0 0 48051 196627 2319538 X 2259118 1112388 0 1236561 2259118 2348949 2455745 4668487 89831 0 X 0 1 X 0 0 X 2000000 4922412 10611405 17533817 721876 3821765 4543641 2000000 5644288 14433170 22077458 2000000 4275387 2158590 8433977 0 2000000 4275387 2158590 8433977 13643481 10418 10418 10418 10418 30000 363958 334313 728271 2030000 6008246 14777901 22816147 X SCHEDULE A, PART III, LINE 12, EXPLANATION OF OTHER INCOME: MANAGEMENT FEE - 2021 AMOUNT: $ 30,000. 2022 AMOUNT: $ 363,958. 2023 AMOUNT: $ 334,313. PART III, SHORT YEAR EXPLANATION: THE ORGANIZATION'S INITIAL YEAR WAS A SHORT YEAR BEGINNING ON JULY 20, 2021 AND ENDING ON DECEMBER 31, 2021. THE ORGANIZATION'S TAX YEAR END IS DECEMBER 31. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1525027 282488 1242539 1242539 ROU LEASE LIABILITY L/T 48051 48051 X 13339589 0 13339589 1438312 1438312 14777901 14486321 0 14486321 201749 201749 14688070 PART X, LINE 2: UNDER FASB ASC 740, INCOME TAXES, THE COMPANY IS REQUIRED TO RECOGNIZE A LIABILITY FOR EACH UNCERTAIN TAX POSITION AT THE AMOUNT ESTIMATED TO BE REQUIRED TO SETTLE THE ISSUES. AS OF DECEMBER 31, 2023, THERE WERE NO LIABILITIES RECORDED FOR UNCERTAIN TAX POSITIONS. PART XI, LINE 4B - OTHER ADJUSTMENTS: DEFERRED RESTRICTED GRANT REVENUE 1,227,246. MOLINA SUBAWARD RECEIVED 200,000. GOFUNDME SUPPORT RECEIVED 12,271. REBATE OF EMPLOYEE HEALTH INSURANCE PREMIUMS -1,205. PART XII, LINE 4B - OTHER ADJUSTMENTS: MOLINA SUBAWARD EXPENDED 200,000. GOFUNDME SUPPORT EXPENDED 2,954. REVENUE REBATE -1,205. 1 HEALTHCARE IN ACTION MEDICAL GROUP 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 871942811 700000 0 TO SUPPORT THE OPERATIONS OF HEALTHCARE IN ACTION MEDICAL GROUP SAMARITINS 901 24TH AVE A SEATTLE WA 98144 851534685 501(C)(3) 200000 0 GRANT TO FURNISH SAMARITAN MEMBERSHIP TO 200 MOLINA MEMBERS IN CA TO CLOSE CARE GAPS AND ADDRESS CRITICAL SOCIAL NEEDS. 1 1 PART I, LINE 2: ALL GRANTEES HAVE REGULAR MEETINGS WITH HEALTHCARE IN ACTION, INC (HIA) LEADERSHIP REGARDING METRICS AND OUTCOMES PERTINENT TO THEIR GRANTS. THIS INCLUDES ANY FINANCIAL INFORMATION PERTINENT TO GRANT INFORMATION, BUT IS NOT INCLUDED FOR ALL GRANTS. HIA LEADERSHIP ADDRESSES ANY IDENTIFIED ISSUES WITH THE GRANTEE TO DETERMINE CAUSES AND ANY REMEDIATION REQUIRED. ISSUES WITH COMPLIANCE ARE RAISED TO EXECUTIVE LEADERSHIP OR PROGRAM MANAGEMENT TEAM WHO WILL ASSIST WITH REMEDIATION AND/OR APPROVAL IF A CHANGE TO THE GRANTEE'S SCOPE OF WORK IS REQUIRED. ALL GRANTS FROM HIA THAT ARE SUB-GRANTS FROM OTHER AGENCIES REQUIRE ADDITIONAL REPORTING BACK TO THE CORE AGENCY THAT WILL BE DUALLY COMPLETED BY HIA STAFF AND STAFF FROM THE GRANT ORGANIZATION. THIS INCLUDES REPORTS, PRESENTATIONS, OR FINANCIALS AS REQUIRED IN ANY ORIGINAL GRANT OVERSEEING. ANY AUDIT REQUIREMENTS WITHIN THE ORIGINAL GRANT TO HIA WOULD ALSO BE APPLIED TO ANY SUBGRANT RECIPIENT FOR MANAGEMENT AS NECESSARY. PART I, LINE 2 HIA MADE A RESTRICTED GRANT TO A RELATED ORGANIZATION SUBJECT TO A WRITTEN GRANT AGREEMENT. PER THE TERMS OF THE AGREEMENT, THE GRANTEE IS REQUIRED TO PROVIDE AN ANNUAL REPORT TO HIA DETAILING ALL EXPENDITURES MADE FROM THE GRANT. 1 1 0 0 0 0 0 0 0 JAIN MD SACHIN H DIRECTOR 0 1021668 0 2245658 0 840 0 1538636 0 16322 0 4823124 0 1761300 BATRA ROMILLA A CHIEF MED. OFFICER, DIR. (END 09/23) 0 432525 0 661813 0 836505 0 25339 0 7040 0 1963222 0 513784 PLUMB MICHAEL DIRECTOR, TREASURER (BEG 4/23) 0 586926 0 489890 0 24432 0 638903 0 27267 0 1767418 0 489890 KROEKER KEVIN B SECRETARY (END 3/23) 0 331937 0 591206 0 94043 0 33230 0 17816 0 1068232 0 493571 SHETH DEEPA DIRECTOR (BEG 3/23) 0 417347 0 200000 0 23067 0 252460 0 27975 0 920849 0 0 DELPHIN-RODRIGUEZ RENEE C SECRETARY (BEG 3/23) 0 411923 0 0 0 23130 0 372844 0 1404 0 809301 0 0 HOCHMAN MICHAEL CHIEF EXECUTIVE OFFICER 0 364754 0 124372 0 814 0 155584 0 40489 0 686013 0 124372 HAWKINS GINETTE SVP, CHIEF RISK OFFICER 0 290769 0 120632 0 9003 0 84956 0 10319 0 515679 0 120632 KAPPEL KEVIN TREASURER (END 4/23) 257854 0 81735 0 8030 0 140270 0 13635 0 501524 0 61736 0 BELL KATHLEEN G COO - HIA (BEG 03/23) 222450 0 10000 0 392 0 97577 0 6394 0 336813 0 0 0 SOLARES JESSICA DIRECTOR CLINICAL OPERATIONS 168224 0 27600 0 297 0 43879 0 1019 0 241019 0 27600 0 JORDAN MICHAEL REGIONAL DIR, CLIN OPS 149458 0 0 0 1347 0 21700 0 7663 0 180168 0 0 0 PART I, LINE 3 COMPENSATION FOR MICHAEL HOCHMAN (CHIEF EXECUTIVE OFFICER AND PRESIDENT- HEALTHCARE IN ACTION, INC) WAS ESTABLISHED BY A RELATED ORGANIZATION, SCAN GROUP, AND PAID BY A RELATED ORGANIZATION, HEALTHCARE IN ACTION MEDICAL GROUP, INC. THE RELATED ORGANIZATION USED THE FOLLOWING TO ESTABLISH THE PRESIDENT'S COMPENSATION: 1) COMPENSATION COMMITTEE; 2) INDEPENDENT COMPENSATION CONSULTANT; 3) COMPENSATION SURVEY OR STUDY; 4) APPROVAL BY THE SCAN GROUP COMPENSATION COMMITTEE WITHIN THE AGREED TO PARAMATERS SET BY THE SCAN GROUP BOARD OF DIRECTORS PART I, LINES 4A-B PART I, LINE 4A: DURING 2023, THE EMPLOYMENT RELATIONSHIP OF THE FOLLOWING EMPLOYEE OF SCAN HEALTH PLAN ENDED. IN CONNECTION WITH THE TERMINATION OF EMPLOYMENT, SCAN HEALTH PLAN NEGOTIATED AND PAID SEVERANCE TO THE EMPLOYEE. ROMILLA A BATRA - $ 664,882 DURING 2023, HEALTHCARE IN ACTION NEGOTIATED AND ENTERED INTO A SEVERANCE AGREEMENT WITH THE FOLLOWING EMPLOYEE, TO BE PAID IN 2024. MICHAEL JORDAN PART I, LINE 4B: SCAN GROUP AND SCAN HEALTH PLAN PROVIDE A SUPPLEMENTAL NON-QUALIFIED RETIREMENT PLAN TO OFFICERS AND SENIOR VICE PRESIDENTS VIA ITS SECTION 457(F) PLAN. FOR CONTRIBUTIONS MADE PRIOR TO DECEMBER 31, 2017, A PARTICIPANT BECOMES VESTED IN THE 457(F) PLAN UPON COMPLETION OF ONE OF THE CHOSEN VESTING OPTIONS: 1) FIVE YEARS OF SERVICE AND 62 YEARS OF AGE OR 2) 10 YEARS OF SERVICE. ON JANUARY 1, 2018, A NEW PLAN WAS ADOPTED, FOR CONTRIBUTIONS MADE ON OR AFTER THAT DATE, A PARTICIPANT BECOMES VESTED IN THE 457(F) PLAN FOLLOWING A 4 YEAR CLASS VESTING CYCLE. SUPPLEMENTAL NON-QUALIFIED PLAN PAYMENTS WERE MADE DURING THE YEAR TO THE FOLLOWING LISTED PERSONS IN PART VII: ROMILLA A BATRA $ 147,674 KEVIN KROEKER - $ 68,078 DEFERRED COMPENSATION FOR 2023, REPORTED ON SCHEDULE J, PART II, COLUMN B AND COLUMN C CONSISTS OF THE FOLLOWING: 1) 457(F) EMPLOYER CONTRIBUTIONS ARE SUBJECT TO VESTING TERMS AND CONDITIONS AS NOTED THE PLAN DOCUMENTS. BASED ON THESE VESTING TERMS AND CONDITIONS, THERE IS SUBSTANTIAL RISK OF FORFEITURE. 2) 457(B) IS A DEFERRED COMPENSATION PLAN THAT THE EMPLOYER AND EMPLOYEE CONTRIBUTE TO, UP TO THE SCAN GROUP AND SCAN HEALTH PLAN'S DEFINED AND IRS ANNUAL LIMITS. 3) 401(K) QUALIFIED RETIREMENT PLAN CONTRIBUTIONS (EMPLOYER MATCH AND SAFE HARBOR) UP TO THE IRS ANNUAL LIMITS. 4) SCAN GROUP AND SCAN HEALTH PLAN PROVIDE AN INCENTIVE PLAN TO VICE PRESIDENTS AND ABOVE. THE INCENTIVE PLAN IS BASED ON ORGANIZATION AND INDIVIDUAL PERFORMANCE METRICS. PAYMENTS ARE MADE ON OR AROUND APRIL 1 OF THE SUBSEQUENT CALENDAR YEAR. EFFECTIVE JULY 1, 2020, A NEW STRATEGIC INCENTIVE PLAN WAS DEVELOPED FOR THE CEO AND PAYMENTS ARE PAID ANNUALLY IN DECEMBER. 5) BEGINNING JANUARY 1, 2023, SCAN GROUP AND SCAN HEALTH PLAN PROVIDED A LONG-TERM INCENTIVE PLAN (LTIP) FOR KEY EMPLOYEES OCCUPYING SENIOR VICE PRESIDENT AND ABOVE. THE INCENTIVE PLAN IS GRANTED ANNUALLY BUT IS BASED ON ORGANZATIONAL PERFORMANCE METRICS OVER A THREE YEAR MEASURMENT PERIOD. PAYMENTS ARE MADE ON OR AROUND APRIL 1 OF THE SUBSEQUENT CALENDAR YEAR OF THE PERFORMANCE PERIOD. SCHEDULE J CEO COMPENSATION IT IS IMPORTANT TO NOTE THAT SCHEDULE J REFLECTS ALL COMPENSATION THAT THE CEO "EARNED" IN 2023, WHICH INCLUDES INCENTIVE PAYMENTS RELATED TO 2023 THAT WILL BE PAID IN SUBSEQUENT YEARS AND UNVESTED RETIREMENT BENEFITS. SCHEDULE J ALSO INCLUDES COMPENSATION THAT THE CEO "EARNED" IN 2022 THAT WAS PAID IN 2023. FOR AVOIDANCE OF CONFUSION, THE CEO WAS PAID $3,268,166 IN 2023 [COLUMNS (B)(I), (B)(II), (B)(III)], OF WHICH $1,761,300 WAS "EARNED" IN 2022 [COLUMN (F)] AND PAID IN 2023. THE CEO'S "EARNED" COMPENSATION FOR 2023 IS EQUAL TO ROUGHLY $3,061,824, WHICH REPRESENTS COLUMN (E) MINUS COLUMN (F), SINCE COLUMN (F) IS COMPENSATION EARNED IN A PREVIOUS YEAR AND INCLUDED IN A PREVIOUS 990. HIAMG ENTITY MORE THAN 35% SUPPORT HIAMG CAPITAL NEEDS X 500000 500000 0 1 1 500000 HEALTHCARE IN ACTION MEDICAL GROUP ENTITY MORE THAN 35% OWNED BY DR. MICHAEL HOCHMAN AND DR. ROMILLA BATRA 700000 GRANT SUPPORT HIAMG DELIVERY OF MEDICAL SERVICES TO NEEDY INDIVIDUALS HEALTHCARE IN ACTION MEDICAL GROUP ENTITY MORE THAN 35% OWNED BY DR. MICHAEL HOCHMAN AND DR. ROMILLA BATRA 334313 MANAGEMENT FEES 0 HEALTHCARE IN ACTION MEDICAL GROUP ENTITY MORE THAN 35% OWNED BY DR. MICHAEL HOCHMAN AND DR. ROMILLA BATRA 3821765 HEALTHCARE SERVICE REVENUE 1 X 8000 508590 COST OR SELLING PRICE 0 0 0 0 PART I, COLUMN (B): COLUMN B REPRESENTS THE NUMBER OF SHARES RECEIVED. FORM 990, PART VI, SECTION A, LINE 6 THE SOLE MEMBER OF THE ORGANIZATION IS SCAN GROUP, A CALIFORNIA NONPROFIT PUBLIC BENEFIT CORPORATION. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 IS PREPARED BY THE ACCOUNTING FIRM OF DELOITTE TAX, LLP WORKING IN CONJUNCTION WITH SCAN'S FINANCE DEPARTMENT. SCAN HEALTH PLAN'S DIRECTOR OF ACCOUNTING HAS DIRECT RESPONSIBILITY FOR THIS EFFORT, SUBJECT TO SUPERVISION BY THE VICE PRESIDENT AND CONTROLLER OF SCAN HEALTH PLAN. AFTER AN INITIAL DRAFT OF THE FORM 990 IS PREPARED, IT IS CIRCULATED FOR REVIEW AND COMMENT BY RELEVANT MEMBERS OF THE EXECUTIVE TEAM WHO HAVE RESPONSIBILITY FOR AND/OR KNOWLEDGE REGARDING THE VARIOUS MATTERS DISCLOSED AND/OR DESCRIBED IN THE FORM. THE GENERAL COUNSEL, IN PARTICULAR, REVIEWS THE FORM 990 FOR ACCURACY AND COMPLETENESS. THE FORM 990 IS PROVIDED TO THE HEALTHCARE IN ACTION, INC BOARD FOR REVIEW AFTER IT IS PREPARED, BUT PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C HEALTHCARE IN ACTION, INC (HIA) ORGANIZATIONAL RESOLUTIONS ADOPTED SEPTEMBER 21, 2021 BY THE BOARD OF DIRECTORS SPECIFICALLY STATES THAT HIA ADOPTED THE SCAN HEALTH PLAN CONFLICT OF INTEREST POLICY AND ARE REQUIRED TO COMPLY WITH ITS TERMS. HIA FOLLOWS SCAN HEALTH PLAN'S CONFLICT OF INTEREST PROCESS. A DESCRIPTION OF THE PROCESS IS AS FOLLOWS: SCAN HEALTH PLAN REGULARLY AND CONSISTENTLY MONITORS AND ENFORCES COMPLIANCE WITH ITS CONFLICT OF INTEREST POLICY THROUGH ANNUAL CIRCULATION OF A CONFLICT OF INTEREST POLICY AND DISCLOSURE QUESTIONNAIRE WHICH ALL MEMBERS OF THE BOARD OF DIRECTORS, OFFICERS AND MEMBERS OF EXECUTIVE MANAGEMENT OF EVERY ENTITY UNDER SCAN GROUP ARE REQUIRED TO COMPLETE AND SIGN. IN ADDITION, THERE IS ANNUAL MANDATORY COMPLIANCE EDUCATION AND TRAINING AND SCAN'S COMPLIANCE DEPARTMENT IS RESPONSIBLE FOR ENFORCEMENT OF SCAN'S ROBUST COMPLIANCE PROGRAM, INCLUDING SCAN'S CODE OF CONDUCT AND COMPLIANCE-RELATED POLICIES AND PROCEDURES. MEMBERS OF ALL THE EXECUTIVE TEAMS ALSO HAVE RESPONSIBILITY FOR ENFORCEMENT. THE LEGAL DEPARTMENT OF SCAN GROUP REVIEWS ALL CONTRACTUAL RELATIONSHIPS ENTERED INTO BY THE ORGANIZATION AND GENERAL COUNSEL IS RESPONSIBLE FOR MONITORING THE CONFLICT OF INTEREST QUESTIONNAIRE. THE LEGAL DEPARTMENT OF SCAN GROUP MONITORS AND ENFORCES ADHERENCE TO THESE POLICIES ON AN ONGOING BASIS. FORM 990, PART VI, SECTION B, LINE 15 THE PROCESS FOR DETERMINING COMPENSATION FOR MICHAEL HOCHMAN, CHIEF EXECUTIVE OFFICE AND PRESIDENT OF HEALTHCARE IN ACTION INC (HIA), IS CONDUCTED BY THE HUMAN RESOURCES DEPARTMENT OF SCAN GROUP AND BOARD CHAIR OF HEALTHCARE IN ACTION, INC WITH THE APPROVAL OF THE INDEPENDENT DIRECTORS OF HEALTHCARE IN ACTION, INC. IN DETERMINING THE CEO AND PRESIDENT'S COMPENSATION, THE HUMAN RESOURCES DEPARTMENT AND BOARD RELY ON THE PARAMATERS SET BY THE SCAN GROUP BOARD IN COLLABORATION WITH THE SCAN GROUP COMPENSATION COMMITTEE. THE COMPENSATION COMMITTEE WORKS WITH AND RELIES UPON THE COUNSEL AND EXPERTISE OF AN OUTSIDE COMPENSATION CONSULTANT WITH WELL-ESTABLISHED EXPERIENCE AND EXPERTISE IN THE AREA OF NONPROFIT HEALTH CARE ORGANIZATIONS, EXECUTIVE COMPENSATION, AND COMPLIANCE WITH THE INTERMEDIATE SANCTIONS REQUIREMENTS APPLICABLE TO SUCH COMPENSATION. THE CHIEF EXECUTIVE OFFICER MAKES A RECOMMENDATION TO THE HIA BOARD OF DIRECTORS WITH RESPECT TO EACH EMPLOYEE'S COMPENSATION PACKAGE. THE HIA BOARD MAKES A DECISION REGARDING THE COMPENSATION PACKAGE FOR SUCH EMPLOYEES FOR THE FOLLOWING YEAR. THE MINUTES OF THE HIA BOARD MEETING FOR THIS MEETING ARE PREPARED SUBSTANTIALLY CONTEMPORANEOUSLY AND SUBSTANTIATE SUCH DELIBERATION AND DECISIONS. THE OUTSIDE COMPENSATION CONSULTANT PROVIDING THE EXECUTIVE COMPENSATION REPORT AND GUIDANCE RELATED TO THE EXECUTIVE PAY FOR HEALTHCARE IN ACTION, INC. EXECUTIVES WAS MERCER. FORM 990, PART VI, SECTION C, LINE 19 HEALTHCARE IN ACTION, INC'S GOVERNING DOCUMENTS ARE NOT MADE AVAILABLE TO THE PUBLIC. HEALTHCARE IN ACTION, INC MAKES ITS FORM 990, WHICH CONTAINS FINANCIAL INFORMATION, AVAILABLE FOR PUBLIC INSPECTION. FORM 990, PART VI, SECTION B, LINES 12, 13 AND 14 IN 2021, WHEN FORMED, HEALTHCARE IN ACTION, INC ADOPTED THE SCAN HEALTH PLAN CONFLICT OF INTERST POLICY. IN 2023, HEALTHCARE IN ACTON, INC ADOPTED THE FOLLOWING POLICIES OF SCAN GROUP: WHISTLEBLOWER POLICY, DOCUMENT RETENTION, AND DESTRUCTION POLICY. SCAN GROUP 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 953826037 ADMIN SUPPORT CA 501(C)(3) 12B, II N/A 0 THE SCAN FOUNDATION 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 450552845 GRANT MAKING CA 501(C)(3) 12B, II SCAN GROUP 1 SCAN HEALTH PLAN 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 953858259 MEDICARE ADVANTAGE CA 501(C)(3) 10 SCAN GROUP 1 SCAN HEALTH PLAN NEVADA INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 854288083 MEDICARE ADVANTAGE NV 501(C)(4) SCAN GROUP 1 SCAN DESERT HEALTH PLAN INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 854275186 MEDICARE ADVANTAGE AZ 501(C)(4) SCAN GROUP 1 SCAN HEALTH PLAN TEXAS INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 872944493 MEDICARE ADVANTAGE TX 501(C)(4) SCAN GROUP 1 SCAN HEALTH PLAN NEW MEXICO INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 920651838 MEDICARE ADVANTAGE NM 501(C)(4) SCAN GROUP 1 RESIDENTIALIST HOUSECALL LLC 4190 CITY AVE STE 528 PHILADELPHIA PA 19131 474320252 HEALTHCARE PA N/A 0 0 SCAN HEALTHCHECK ASSESSMENT CENTERS INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 462962358 HEALTHCARE CA N/A C 1 HEALTHCARE IN ACTION MEDICAL GROUP 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 871942811 HEALTHCARE CA N/A C 1 WELCOME HEALTH INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 863730275 MANAGEMENT CA N/A C 1 WELCOME HEALTH MEDICAL GROUP 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 872705807 HEALTHCARE CA N/A C 1 WELCOME HEALTH OF CALIFORNIA INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 920363899 HEALTHCARE CA N/A C 1 THE RESIDENTIALIST GROUP INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 330969912 MANAGEMENT CA N/A C 1 HOUSECALLS DOCTORS MEDICAL GROUP INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 043644245 HEALTHCARE CA N/A C 1 RESIDENTIALIST HOUSECALL MEDICAL GROUP PC 4190 CITY AVE SUITE 528 PHILADELPHIA PA 19131 474053626 HEALTHCARE PA N/A C 1 PROSPER SERVICES LLC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 872979343 MANAGEMENT DE N/A C 1 MYPLACE GREATER LA PACE INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 881512241 HEALTHCARE CA N/A C 1 MYPLACE SOUTH LA PACE INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 923486437 HEALTHCARE CA N/A C 1 MYPLACE CARE PARTNERS PC 121 S MOUNTAIN VIEW AVE LOS ANGELES CA 90057 932403550 HEALTHCARE CA N/A C 1 SCAN CALIFORNIA MANAGEMENT COMPANY 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 462951831 MANAGEMENT CA N/A C 1 PREVENT TRG HOLDINGS INC 3800 KILROY AIRPORT WAY SUITE 100 LONG BEACH CA 90806 880965994 MANAGEMENT DE N/A C 1 0 1 1 1 0 0 0 0 0 0 0 1 0 0 0 1 0 0 0 SCAN HEALTH PLAN C 1400000 BOOK VALUE HEALTHCARE IN ACTION MEDICAL GROUP B 700000 BOOK VALUE HEALTHCARE IN ACTION MEDICAL GROUP D 500000 BOOK VALUE SCAN GROUP P 52619 BOOK VALUE SCAN HEALTH PLAN P 246351 BOOK VALUE HEALTHCARE IN ACTION MEDICAL GROUP L 4156078 BOOK VALUE