Common use of Allocation Methodology Clause in Contracts

Allocation Methodology. a. Description - Inter-Entity Shared Services is allocated 50% to JHU and 50% to JHHS affiliates. This is because all intercompany transactions have both JHU and JHHS on all entries. Considerations are made each budget period as to changes that might affect the allocation process. b. Allocation Metrics -Allocation is 50% to JHU and 50% to JHHS Affiliates. JHHS allocates their share across the Affiliates based on the matrix provided by the Sr. Manager of Inter-Entity Shared Services on an annual basis at budget time. The matrix used is the average number of KB15Ns processed for each Business Area/Affiliate for a period of three months. The KB15N was picked as the measure because it is the primary document used for intercompany transactions. c. Allocation Changes FY23 to FY24 – allocations are based on number of KB15N documents processed by Inter-Entity Shared Services for each affiliate. PBA PBA Description FY24 Allocation FY23 Allocation 400 BAYVIEW MEDICAL CENTER 9.6% 440 JH COMMUNITY PHYSICIANS 5.5% 455 JH EMPLOYER HEALTH PROGRAMS 0.9% 459 JHHS SUPPLY CHAIN COMPANY 0.0% 460 JHMMC PROP MGMT DIV- GRNSPRG 1.2% 462 JHMMC INTRASTAFF DIVISION 0.0% 480 ▇▇▇▇▇ ▇▇▇▇▇▇▇ HOSPITAL 40.1% 503 HEALTHCARE SC INNOVATIONS LLC 0.0% 517 JH REGIONAL SC NETWORK LLC 0.0% 520 JH INTERNATIONAL LLC 1.1% 522 MEDBIQUITOUS 0.0% 530 JHHCG CORP (GROUP) 2.4% 550 ▇▇▇▇▇ ▇▇▇▇▇▇▇ HEALTHCARE LLC 5.7% 555 ▇▇▇▇▇ ▇▇▇▇▇▇▇ IMAGING LLC 0.5% 575 JH EMERGENCY MEDICAL SERVICES 2.5% 585 JHMI UTILITIES LLC 0.5% 586 ENERGY SERIVCES 1.2% 587 EMRS PROJECT 1.1% 600 SUBURBAN HOSPITAL INC 2.1% 630 ▇▇▇▇▇▇ MEMORIAL HOSPITAL 4.2% 640 ▇▇▇▇▇▇ CNTY GENERAL HOSPITAL 2.6% 650 ALL CHILDRENS HOSPITAL INC 1.8% 670 SURGICAL CENTERS 0.1% 900 JH HOSPITAL ENDOWMENT FUND INC 0.4% 902 CRISP 0.0% 925 MHHEFA PARKING- JHH 1.4% 926 MHHEFA PARKING- BMC 0.6% Chargeback By Affiliate Total 85.5% JHHS RETAINED 14.5% 100.0% 100.0%

Appears in 1 contract

Sources: Service Agreement

Allocation Methodology. a. Description - Inter-Entity Shared Services is allocated 50% to JHU and 50% to JHHS affiliates. This is because all intercompany transactions have both JHU and JHHS on all entries. Considerations are made each budget period as to changes that might affect the allocation process. b. Allocation Metrics -Allocation is 50% to JHU and 50% to JHHS Affiliates. JHHS allocates their share across the Affiliates based on the matrix provided by the Sr. Manager of Inter-Entity Shared Services on an annual basis at budget time. The matrix used is the average number of KB15Ns processed for each Business Area/Affiliate for a period of three months. The KB15N was picked as the measure because it is the primary document used for intercompany transactions. c. Allocation Changes FY23 FY24 to FY24 FY25 – allocations are based on number of KB15N documents processed by Inter-Inter- Entity Shared Services for each affiliate. PBA PBA Description FY24 Allocation FY23 FY25 Allocation 400 BAYVIEW MEDICAL CENTER 9.67.9% 8.6% 440 JH COMMUNITY PHYSICIANS 5.56.2% 6.6% 455 JH EMPLOYER HEALTH PROGRAMS 0.9% 459 JHHS SUPPLY CHAIN COMPANY 0.00.95% 460 JHMMC PROP MGMT DIV- GRNSPRG 1.20.9% 462 JHMMC INTRASTAFF DIVISION 0.01.1% 480 ▇▇▇▇▇ ▇▇▇▇▇▇▇ HOSPITAL 40.144.7% 503 HEALTHCARE SC INNOVATIONS LLC 0.0% 517 JH REGIONAL SC NETWORK LLC 0.043.7% 520 JH INTERNATIONAL LLC 1.10.8% 522 MEDBIQUITOUS 0.0.95% 530 JHHCG CORP (GROUP) 2.43.4% 4.6% 550 ▇▇▇▇▇ ▇▇▇▇▇▇▇ HEALTHCARE LLC 5.73.4% 2.38% 555 ▇▇▇▇▇ ▇▇▇▇▇▇▇ IMAGING LLC 0.50.1% 0.59% 575 JH EMERGENCY MEDICAL SERVICES 2.50.0% 0.0% 585 JHMI UTILITIES LLC 0.50.1% 0.36% 586 ENERGY SERIVCES 1.21.4% 1.43% 587 EMRS PROJECT 1.10.8% .59% 600 SUBURBAN HOSPITAL INC 2.14.5% 3% 630 ▇▇▇▇▇▇ MEMORIAL HOSPITAL 4.26.0% 5.6% 640 ▇▇▇▇▇▇ CNTY GENERAL HOSPITAL 2.61.9% 2.0% 650 ALL CHILDRENS HOSPITAL INC 1.82.0% 670 SURGICAL CENTERS 0.11.1% 900 JH HOSPITAL ENDOWMENT FUND INC 0.40.7% 902 CRISP 0.00.8% 925 MHHEFA PARKING- JHH 1.5% 1.4% 926 MHHEFA PARKING- BMC 0.6% 1.8% Chargeback By Affiliate Total 85.587.9% 86.4% JHHS RETAINED 14.5% 13.6% 100.0% 100.0%

Appears in 1 contract

Sources: Service Agreement