Carl N. Frost, CPA, CVA



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Professional Contact Information Carl N. Frost, CPA, CVA Present Title: President of Frost & Company, P.C. Business Information: 50 Briar Hollow Lane, Ste 300E Houston, Texas 77027 Phone: 713.963.8644 Fax: 713.963.0315 E-mail: cfrost@frostcopc.com Website: www.frostcopc.com Education College: Trinity University San Antonio, Texas Bachelor of Science 1974 Post Graduate: Certified Public Accountant July 1977 State of Texas - Certificate Number: 14552 Certified Valuation Analyst December 1995 Employment History / Positions Held Certified Public Accountant - Tax Department Arthur Andersen and Company, Houston, Texas December 1974 - December 1977 Certified Public Accountant - Tax Department Vokel, Cabaniss and Company, Houston, Texas December 1977 - February 1978 Consultant/Certified Public Accountant Practice Management Services & Medical Management Consulting Firm, Houston, Texas February 1978 - August 1981 Consultant/Certified Public Accountant Balanow and Associates - Medical Management Consulting Firm, Houston, Texas August 1981 - July 1984 Page 1 of 7

Consultant/Certified Public Accountant - President Frost & Company, P.C., Houston, Texas July, 1984 - Present Professional Organizations The American Institute of Certified Public Accountants Texas Society of Certified Public Accountants Houston Chapter of TSCPA Medical Group Management Association Gulf Coast Medical Group Management Association Houston Healthcare Alliance Sigma Iota Epsilon National Association of Certified Valuation Analysts Client Base Affiliations Hospitals: Not For Profit Entities Memorial Hermann Hospital System Cook-Fort Worth Children's Physician Network Memorial Health Care System Miami Children's Hospital St. Anthony's Health Corporation The Methodist Hospital San Jacinto Methodist Hospital Driscoll Children s Hospital Texas Children s Hospital, Inc. Baylor Med Care For Profit Entities Epic Healthcare Group HCA Healthcare Corporation of America Health Trust, Inc. Mid America Healthcare Group Bay Area Medical Center Hospital Sharpstown General Hospital, Houston, Texas Golden Glades Hospital, Miami Florida South Park Hospital, Lubbock, Texas Tenet Healthcare Corporation Page 2 of 7

Physicians Numerous physician groups ranging from solo to large multi specialty groups: Anesthesiology Bariatric Surgery Cardiology Electrophysiology General Cardiology Interventional Invasive Interventional Non-Invasive Cardiothoracic Surgery Chiropractics Colon/Rectal Surgery Dentistry/T.M.J. Dermatology Endocrinology Emergency Medicine and Trauma Family Practice Gastroenterology General Practice General Surgery Geriatrics Hematology Internal Medicine Neonatology Nephrology Neurology Neurosurgery Nuclear Imaging Obstetrics/Gynecology Oncology Surgical Oncology Ophthalmology/Vitreoretinal Orthopedic Sports Medicine Spine Surgery Otolaryngology Pain Management Pediatrics Intensivist Internal Medicine Pulmonology Physiatry/Rehabilitation Medicine Physical Therapy Plastic and Reconstructive Surgery Podiatry Psychiatry Psychology Pulmonology Radiology Rheumatology Sclerotherapy Urology Vascular Surgery Wound Care Practice Areas of Expertise and Concentration Hospital/Physician Affiliations: Assist in establishment of management service organizations Performance of total management function in operation of Management Service Organization Assist in establishment of Not-For-Profit corporations enabling hospital purchase of physician practices In depth analysis of physician practices including formal asset valuation Page 3 of 7

Consultation with hospital relative to most advantageous method to facilitate practice purchases Privatization of university specialty groups Analysis of university billing system Analysis and restructure of practice groups Establishment of turnkey new physician office Practice Acquisitions, Mergers or Sales: Assessment/Valuation of Practice Assist with process of obtaining practice financing Structure tax aspects of acquisitions, mergers and sale of practice Prepare Buy-Sell Agreements Establishment of Group Practice Without Walls (GPWW) Billing and Collections: Evaluate and review office/clinical procedures to determine non-productive aspects Ensure coding/billing guidelines are followed to receive maximum reimbursement Assure Medicare, Medicaid and Workers' Compensation regulations are obeyed to prevent filing fraudulent claims Monitor Accounts Receivable to maximize collections Develop and implement stringent practice procedures Evaluate and establish practice Fee Schedule Consultation and assist with implementation of practice EMR selection Compose Practice Procedures Manual Embezzlement: Analysis of risk Examination of past and current financial activities Personnel Services: Review, hire and train personnel Maximize staff efficiency and utilization Keep the practitioner abreast of Labor Laws Prepare Personnel Policies Business Management: Review and revise Profit-Splitting Agreement and Associate Contracts Analyze or prepare Partnership, Group and/or Hospital Contracts, and Associate Employment Contract, as well as recommendations concerning physician retention or termination Evaluate purchasing practice, or joining two or more separate practices Mediate between partners when structuring compensation agreements Page 4 of 7

Assess the economic viability of establishing expanded office space Consult with banks and hospitals on behalf of the client Examine payables, and assist in scheduling and developing Pay-Out Plan Develop Retirement Plans Perform Monthly Practice Analysis Other: Expert witness regarding fraud and abuse/safe Harbor Regulations Expert witness regarding physician contract covenants not to compete Consultation with physician and Hospital entities relative to Stark I & II Legislation Management Consulting: Personal financial management Tax planning and financial consulting Financial management of new or on-going practice Establishing, structuring and coordinating banking relationships Retirement planning Financial Statements: Compiled monthly or quarterly financial statements Comparative financial statements Budgeted financial statements Graphic Illustrations of: Year-to-Date Charges, Receipts and Adjustments Reports Year-to-Date Income and Expense Reports Overall financial review of Medical Practice Federal Tax Reporting: Individual Income Tax Return Partnership Return of Income Trust Tax Return Corporation Income Tax Return Return of Organization Exempt from Income Tax Payroll Reporting: Quarterly preparations (federal/state) Federal Employment Return State Employment Tax Return Annual preparations (federal/state): Federal Unemployment Tax Return Wage and Tax Statement Page 5 of 7

Specialized Study Professional Mediation Training. Accredited by the State Bar of Texas. August 29, 1998. Seminars and Presentations So You Want to Start a Practice. Memorial Healthcare Systems Family Practice ResidentSeminar. May 1989. So You Want to Start a Practice. Memorial Healthcare Systems Family Practice Resident Seminar. May 1990. Establishing Your New Practice. Texas Association of Pediatric Residents. September 1991. How to Review a Contract Offer. Career Management Week, University of Texas, Pediatric Residents. September 1991. Bringing in an Associate. Seminar on Physician Staff Development. September 1991. Management Service Organizations - Alternative Methods to Hospital Physician Staff: Success or Madness. Houston Healthcare Alliance. March 1993. Life After Residency - Contract Negotiations. October 1993. Healthcare Reform: Planning for New Managed Competition and New Forms of Medical Practice. October 1993. Winds of Change: Alternatives for Physician/Hospital Arrangements. Healthtrust, Inc. - Houston, CEO Presentation. December 1993. Make Your Practice Irresistible to Health Plans. Baylor College of Medicine Urology Group. May 1994. Alphabet Soup - What's Going On? Hermann Hospital Ambulatory Services, Physician/Office Manager Luncheon. May 1994. Managed Care Contracts: To Sign or Not to Sign - Solving the Puzzle. Hermann Hospital Ambulatory Services, Physician/ Office Manager Luncheon. August 1994. The Medical Highway: In What Direction Are We Headed Now? Nations Bank Conference Call Seminar. January 1995. Page 6 of 7

So You Want to Practice Medicine. Bay Area Medical Center Resident Program, Corpus Christi, Texas. March 1996. Evaluating Medical Practices in 1997. Houston Chapter Texas Certified Public Accountants. May 9, 1997. Employee Embezzlement in the Medical Practice. Houston Chapter Texas Certified Public Accountants. April 23, 2003. Budgets, Banking and Internal Controls for the Medical Practice. Baylor College of Medicine Pediatric Residency Program. May 9, 2003. Physician Compensation: Current Trends and Legal Issues. 2003 Healthcare Symposium. Houston Chapter Texas Certified Public Accountants. December 12, 2003. Family Practice Residents: Starting Your Own Medical Practice. February 28, 2005. Memorial Hermann Healthcare System. Memorial Family Practice Residency Program. Family Practice Residents: Starting Your Own Medical Practice. March 28, 2006. Memorial Hermann Healthcare System. Memorial Family Practice Residency Program. Publications Embezzlement in the Medical Practice. Are you at Risk? The Employee Profile, Methodology and Processes. March 2003. Southern Medical Association. Page 7 of 7