Wellstar Authority Board

Wellstar currently operates nine hospitals, five which are leased to Wellstar by their respective hospital authority. The hospital authorities retain ownership of the hospitals and ensure that Wellstar meets the conditions set forth in the leases. Each Hospital Authority is independent of Wellstar, and the board members of each authority are appointed according to bylaws of each authority. Some authority members are appointed by county commissioners and some are appointed by the authority itself.

The hospital operating entities of Wellstar were structured as wholly owned, non-profit subsidiaries of Wellstar Health System and were organized for the benefit of and to carry out the purposes of their respective hospital authorities. The subsidiary operating entities for each hospital is exempt from federal income taxation as organizations whose purposes are exclusively charitable, educational, and scientific as described in section 501(c)(3) of the code, and are also exempt from certain state and local taxes. None of the Authorities are subject to taxes, and none has taxing power.