SHAREHOLDER
GUIDELINES
Oncologist Shareholder Approval Guidelines and Buy-In
New shareholder candidates should meet the following length of service and financial criteria absent the existence of special circumstances:
1. Employment by TxO for at least 12 months
- Cumulative professional collections of 120% of cumulative salary >24 months
- Cumulative professional collections of 135% of cumulative salary 18-23 months
- Cumulative professional collections of 150% of cumulative salary 12-17 months
- plus any physician subsidy deficit payable to USON; and
2. A projected annual bonus of at least $25,000 and an upward trend.
3. Transition to a production model for employed physicians that do not
meet qualification for becoming an oncologist shareholder at 36 months of employment.
These lengths of service and financial criteria would be in addition to board certification in the physician’s sub-specialty and passing the new shareholder due diligence review.
New Shareholder Approval Guidelines
The following procedures will be carried out for all shareholder candidates prior to consideration by the Texas Oncology Board of Directors.
1. The quality of a physician’s care can be assessed through a number of measurements. Colleagues and staff who practice with new physicians everyday will have a sense of the practice style, competence and willingness to work with patients and staff. The physician’s practice patterns can be measured by both clinical and billing data and compared with partners practicing the same specialty. Practices can be measured against standards of care as presented in published guidelines such as ASCO, ASH or NCCN. TxO has disease and condition guidelines generated by specialty specific quality committees. Physician charts will contain information regarding the appropriateness of care related to these standards and documentation of the rationale for treatment. Some or all of these parameters will be utilized to assess the fit of any new physician for TxO partnership.
2. On or near an employed physician’s 6 month anniversary, a designee of the Texas Oncology Quality Oversight Committee (“TOQOC”) or Texas Oncology Board of Directors (“Board”) will interview several shareholders working with the employed physician to obtain a preliminary assessment of the quality of the employed physician’s work and their ability to be a successful member of TxO. If problems are indicated, a chart review or other appropriate follow-up will be conducted. Further action will be at the discretion of the TOQOC or Board.
3. During the employed physician’s 9th through 12th months of employment, a designee of the TOQOC will conduct a review of the physician’s clinical performance utilizing the methods above to include a review of at least 10 medical records. A report will be made to the TOQOC and further action will be at the discretion of the TOQOC.
4. Prior to Board of Director consideration of a shareholder candidate, the Salary & Benefit Committee will review the financial development and prospects of the candidate’s practice. If the Salary & Benefit Committee decides it is appropriate to recommend the candidate, it will notify the Chairman of the Board and the Chairman of the TOQOC.
5. Prior to Board of Director consideration of a shareholder candidate, a designee of the Board will interview a representative number of shareholders practicing with the candidate to determine if the candidate’s associates support the candidate for shareholder.
6. During Board of Director consideration of shareholder candidates, the Chairman of the Board, the Chairman of the TOQOC and the Chairman of the Salary & Benefit Committee, or their designees, will report on each of the evaluations of the candidate. The Board members shall take all of the evaluations and recommendations into consideration in determining whether to approve the candidate for shareholder.
Shareholder Buy-In
Class A Stock
- 1,000 Shares
- Purchase for $50,000
- Non-Voting
- Each physician owns 1,000 shares
- 437,000 Shares outstanding at 12/31/22
- Historically the increase in compensation in the first year as a shareholder has exceeded the $50,000 buy-in.
Class B Stock
- 1 Share
- $100
- Voting
- Subscription for 1 additional share each January 1 until 10 shares owned
- No shareholder has more than 10 shares
- Total Class B outstanding at 12/31/22 : 3,615 shares
TxOPhysiciansAccounting@usoncology.com
(972) 490-2975
12377 Merit Drive Suite 700, Dallas TX 75251
Texas Oncology was founded in 1986 by a forward thinking group of physicians who shared a vision to chart their own course. They believed there was a better way to provide cancer care. Together, they made community-based cancer treatment a reality.
Contact Information
12377 Merit Drive Suite 700
Dallas TX 75251
(972) 490-2975
Information in this document is the confidential proprietary property of Texas Oncology, P.A. ("TxO"). It is intended for internal use only, and access is limited to TxO physicians and other authorized users. Contents should not be printed, saved, forwarded, copied or otherwise shared with any other persons. Unauthorized disclosure or use may result in disciplinary and/or legal action.