Document:

EX-10.1

 Exhibit 10.1 

EXECUTION VERSION 
  

 
  

AMENDED AND RESTATED CREDIT AGREEMENT 

dated as of December 19, 2013 

among 
 WALTER INVESTMENT
MANAGEMENT CORP., 
 as Borrower, 

THE LENDERS PARTY HERETO 
 and

 CREDIT SUISSE AG, 
 as
Administrative Agent and Collateral Agent 
 CREDIT SUISSE SECURITIES (USA) LLC, 

MORGAN STANLEY SENIOR FUNDING, INC., 

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED and 

BARCLAYS BANK PLC, 
 as Joint
Bookrunners 
 CREDIT SUISSE SECURITIES (USA) LLC, 

MORGAN STANLEY SENIOR FUNDING, INC., 

MERRILL LYNCH, PIERCE, FENNER & SMITH INCORPORATED, 

BARCLAYS BANK PLC, 
 RBS SECURITIES
INC. and 
 UBS SECURITIES LLC, 

as Joint Lead Arrangers 
 MORGAN
STANLEY SENIOR FUNDING, INC., 
 as Syndication Agent 

BANK OF AMERICA, N.A., 
 BARCLAYS
BANK PLC, 
 THE ROYAL BANK OF SCOTLAND PLC and 

UBS SECURITIES LLC, 
 as
Co-Documentation Agents 
  
  

 

 TABLE OF CONTENTS 

 
  

 

							
	 	 	 	  	Page	 
		 	 ARTICLE 1

DEFINITIONS
	  			
			
	Section 1.01.	 	 Defined Terms
	  	 	1	  
	Section 1.02.	 	 Terms Generally
	  	 	54	  
	Section 1.03.	 	 Classification of Loans and Borrowings
	  	 	54	  
	Section 1.04.	 	 Designated Senior Indebtedness
	  	 	55	  
	Section 1.05.	 	 Letter of Credit Amounts
	  	 	55	  
			
		 	 ARTICLE 2

THE CREDITS
	  			
			
	Section 2.01.	 	 Commitments
	  	 	55	  
	Section 2.02.	 	 Loans
	  	 	55	  
	Section 2.03.	 	 Borrowing Procedure
	  	 	57	  
	Section 2.04.	 	 Evidence of Debt; Repayment of Loans
	  	 	58	  
	Section 2.05.	 	 Fees
	  	 	59	  
	Section 2.06.	 	 Interest on Loans
	  	 	60	  
	Section 2.07.	 	 Default Interest
	  	 	60	  
	Section 2.08.	 	 Alternate Rate of Interest
	  	 	60	  
	Section 2.09.	 	 Termination and Reduction of Commitments
	  	 	61	  
	Section 2.10.	 	 Conversion and Continuation of Borrowings
	  	 	61	  
	Section 2.11.	 	 Repayment of Term Borrowings
	  	 	63	  
	Section 2.12.	 	 Voluntary Prepayment
	  	 	64	  
	Section 2.13.	 	 Mandatory Prepayments
	  	 	64	  
	Section 2.14.	 	 Reserve Requirements; Change in Circumstances
	  	 	67	  
	Section 2.15.	 	 Change in Legality
	  	 	69	  
	Section 2.16.	 	 Breakage
	  	 	69	  
	Section 2.17.	 	 Pro Rata Treatment
	  	 	70	  
	Section 2.18.	 	 Sharing of Setoffs
	  	 	70	  
	Section 2.19.	 	 Payments
	  	 	71	  
	Section 2.20.	 	 Taxes
	  	 	71	  
	Section 2.21.	 	 Assignment of Commitments Under Certain Circumstances; Duty to Mitigate
	  	 	75	  
	Section 2.22.	 	 Letters of Credit
	  	 	76	  
	Section 2.23.	 	 Cash Collateral
	  	 	83	  
	Section 2.24.	 	 Defaulting Lenders
	  	 	84	  
	Section 2.25.	 	 Incremental Facilities
	  	 	86	  
	Section 2.26.	 	 Amend and Extend Transactions
	  	 	88	  
	Section 2.27.	 	 Credit Agreement Refinancing Facilities
	  	 	91	  

  
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		 	 ARTICLE 3

REPRESENTATIONS AND WARRANTIES
	  			
			
	Section 3.01.	 	 Company Status
	  	 	93	  
	Section 3.02.	 	 Power and Authority
	  	 	93	  
	Section 3.03.	 	 No Violation
	  	 	93	  
	Section 3.04.	 	 Approvals
	  	 	93	  
	Section 3.05.	 	 Financial Statements; Financial Condition; Undisclosed Liabilities
	  	 	94	  
	Section 3.06.	 	 Litigation
	  	 	95	  
	Section 3.07.	 	 True and Complete Disclosure
	  	 	95	  
	Section 3.08.	 	 Use of Proceeds; Margin Regulations
	  	 	96	  
	Section 3.09.	 	 Tax Returns and Payments
	  	 	96	  
	Section 3.10.	 	 Compliance with ERISA
	  	 	96	  
	Section 3.11.	 	 Security Documents
	  	 	96	  
	Section 3.12.	 	 Properties
	  	 	97	  
	Section 3.13.	 	 Capitalization
	  	 	97	  
	Section 3.14.	 	 Subsidiaries
	  	 	97	  
	Section 3.15.	 	 Compliance with Statutes, Etc
	  	 	98	  
	Section 3.16.	 	 Investment Company Act
	  	 	98	  
	Section 3.17.	 	 Insurance
	  	 	98	  
	Section 3.18.	 	 Environmental Matters
	  	 	98	  
	Section 3.19.	 	 Employment and Labor Relations
	  	 	99	  
	Section 3.20.	 	 Intellectual Property, Etc
	  	 	99	  
	Section 3.21.	 	 Indebtedness
	  	 	99	  
	Section 3.22.	 	 Anti-Terrorism Law
	  	 	100	  
	Section 3.23.	 	 [Reserved].
	  	 	101	  
	Section 3.24.	 	 [Reserved].
	  	 	101	  
	Section 3.25.	 	 [Reserved].
	  	 	101	  
	Section 3.26.	 	 Foreign Corrupt Practices Act
	  	 	101	  
	Section 3.27.	 	 Subordination of Convertible Notes
	  	 	101	  
			
		 	 ARTICLE 4

CONDITIONS OF LENDING
	  			
			
	Section 4.01.	 	 All Credit Events
	  	 	101	  
	Section 4.02.	 	 First Credit Event
	  	 	102	  
			
		 	 ARTICLE 5

AFFIRMATIVE COVENANTS
	  			
			
	Section 5.01.	 	 Information Covenants
	  	 	105	  
	Section 5.02.	 	 Books, Records and Inspections
	  	 	108	  
	Section 5.03.	 	 Maintenance of Property; Insurance
	  	 	108	  
	Section 5.04.	 	 Existence; Franchises
	  	 	110	  
	Section 5.05.	 	 Compliance with Statutes, Etc
	  	 	110	  

  
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	Section 5.06.	 	 Compliance with Environmental Laws
	  	 	110	  
	Section 5.07.	 	 ERISA
	  	 	111	  
	Section 5.08.	 	 End of Fiscal Years; Fiscal Quarters
	  	 	111	  
	Section 5.09.	 	 [Reserved].
	  	 	111	  
	Section 5.10.	 	 Payment of Taxes
	  	 	111	  
	Section 5.11.	 	 Use of Proceeds
	  	 	112	  
	Section 5.12.	 	 Additional Security; Further Assurances; Etc
	  	 	112	  
	Section 5.13.	 	 [Reserved].
	  	 	113	  
	Section 5.14.	 	 [Reserved].
	  	 	113	  
	Section 5.15.	 	 [Reserved].
	  	 	113	  
	Section 5.16.	 	 [Reserved].
	  	 	113	  
	Section 5.17.	 	 [Reserved].
	  	 	113	  
	Section 5.18.	 	 Maintenance of Company Separateness
	  	 	113	  
	Section 5.19.	 	 [Reserved].
	  	 	113	  
	Section 5.20.	 	 Maintenance of Ratings
	  	 	113	  
	Section 5.21.	 	 Designation of Subsidiaries
	  	 	114	  
			
		 	 ARTICLE 6

NEGATIVE COVENANTS
	  			
			
	Section 6.01.	 	 Liens
	  	 	114	  
	Section 6.02.	 	 Consolidation, Merger, Sale of Assets, Etc
	  	 	119	  
	Section 6.03.	 	 Dividends
	  	 	123	  
	Section 6.04.	 	 Indebtedness
	  	 	124	  
	Section 6.05.	 	 Advances, Investments and Loans
	  	 	128	  
	Section 6.06.	 	 Transactions with Affiliates
	  	 	132	  
	Section 6.07.	 	 [Reserved].
	  	 	133	  
	Section 6.08.	 	 Interest Expense Coverage Ratio
	  	 	133	  
	Section 6.09.	 	 Total Leverage Ratio
	  	 	133	  
	Section 6.10.	 	 Modifications of Certain Agreements
	  	 	134	  
	Section 6.11.	 	 Limitation on Certain Restrictions on Subsidiaries
	  	 	134	  
	Section 6.12.	 	 Limitation on Issuance of Equity Interests
	  	 	135	  
	Section 6.13.	 	 Business; Etc
	  	 	135	  
	Section 6.14.	 	 Limitation on Creation of Subsidiaries
	  	 	135	  
	Section 6.15.	 	 Prepayments of Other Indebtedness
	  	 	136	  
			
		 	 ARTICLE 7

EVENTS OF DEFAULT
	  			
			
	Section 7.01.	 	 Events of Default
	  	 	137	  

  
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		 	 ARTICLE 8

THE ADMINISTRATIVE AGENT AND THE COLLATERAL
AGENT
	  			
			
		 	 ARTICLE 9

MISCELLANEOUS
	  			
			
	Section 9.01.	 	 Notices; Electronic Communications
	  	 	144	  
	Section 9.02.	 	 Survival of Agreement
	  	 	147	  
	Section 9.03.	 	 Binding Effect
	  	 	147	  
	Section 9.04.	 	 Successors and Assigns
	  	 	147	  
	Section 9.05.	 	 Expenses; Indemnity
	  	 	154	  
	Section 9.06.	 	 Right of Setoff
	  	 	156	  
	Section 9.07.	 	 Applicable Law
	  	 	157	  
	Section 9.08.	 	 Waivers; Amendment
	  	 	157	  
	Section 9.09.	 	 Interest Rate Limitation
	  	 	159	  
	Section 9.10.	 	 Entire Agreement
	  	 	159	  
	Section 9.11.	 	 WAIVER OF JURY TRIAL
	  	 	160	  
	Section 9.12.	 	 Severability
	  	 	160	  
	Section 9.13.	 	 Counterparts
	  	 	160	  
	Section 9.14.	 	 Headings
	  	 	160	  
	Section 9.15.	 	 Jurisdiction; Consent to Service of Process
	  	 	160	  
	Section 9.16.	 	 Confidentiality
	  	 	161	  
	Section 9.17.	 	 Lender Action
	  	 	162	  
	Section 9.18.	 	 USA PATRIOT Act Notice
	  	 	162	  
	Section 9.19.	 	 Amendment and Restatement; No Novation
	  	 	162	  

  

			
	 SCHEDULE 1.01(a)
	  	Lenders and Commitments
	SCHEDULE 1.01(b)	  	Lender Addresses
	SCHEDULE 1.01(c)	  	Continuing Letters of Credit
	SCHEDULE 1.01(e)	  	Unrestricted Subsidiaries
	SCHEDULE 3.06	  	Litigation
	SCHEDULE 3.09	  	Certain Tax Matters
	SCHEDULE 3.11(c)	  	Mortgage Filing Offices
	SCHEDULE 3.12	  	Real Property
	SCHEDULE 3.14	  	Subsidiaries
	SCHEDULE 3.17	  	Insurance
	SCHEDULE 3.21	  	Existing Indebtedness
	SCHEDULE 4.02(a)	  	List of Counsel
	SCHEDULE 5.01	  	Reporting
	SCHEDULE 6.01	  	Existing Liens
	SCHEDULE 6.04	  	Existing Indebtedness
	SCHEDULE 6.05	  	Existing Investments
	SCHEDULE 6.11	  	Certain Restrictive Agreements

  
 iv 

			
	EXHIBIT A	  	Form of Borrowing Request
	EXHIBIT B	  	Form of Reaffirmation Agreement
	EXHIBIT C	  	[Reserved]
	EXHIBIT D	  	[Reserved]
	EXHIBIT E	  	[Reserved]
	EXHIBIT F	  	[Reserved]
	EXHIBIT G	  	Form of Compliance Certificate
	EXHIBIT H	  	Form of Assignment and Acceptance
	EXHIBIT I	  	Form of Intercompany Note
	EXHIBIT J	  	Form of Administrative Questionnaire
	EXHIBIT K	  	Form of Solvency Certificate
	EXHIBIT L	  	Procedures for Dutch Auction

  
 v 

 AMENDED AND RESTATED CREDIT AGREEMENT dated as of December 19, 2013, among WALTER INVESTMENT
MANAGEMENT CORP., a Maryland corporation (the “Borrower”), the Lenders (such term and each other capitalized term used but not defined in this introductory statement having the meaning given it in Article 1), and CREDIT SUISSE AG,
as administrative agent (in such capacity, including any successor thereto, the “Administrative Agent”) and as collateral agent (in such capacity, including any successor thereto, the “Collateral Agent”) for the
Lenders. This Agreement amends and restates the Specified Credit Agreement in its entirety. 
 The Borrower has requested the Lenders to
extend credit in the form of (a) Tranche B Term Loans on the Closing Date, in an aggregate principal amount not in excess of $1,500,000,000 and (b) Revolving Loans at any time and from time to time after the Closing Date and prior to the
Revolving Credit Maturity Date, in an aggregate principal amount at any time outstanding not in excess of $125,000,000. The Borrower has requested the Issuing Banks to issue Letters of Credit, in an aggregate face amount at any time outstanding not
in excess of $25,000,000, to support payment obligations incurred in the ordinary course of business by the Borrower and its Restricted Subsidiaries. The proceeds of the Tranche B Term Loans are to be used solely (i) to repay all amounts
outstanding under the Specified Credit Agreement, (ii) to pay fees and expenses in connection with the Transactions and (iii) for working capital and general corporate purposes of the Borrower and its Subsidiaries, including Permitted
Acquisitions. The proceeds of the Revolving Loans are to be used after the Closing Date solely for working capital and general corporate purposes of the Borrower and its Subsidiaries, including Permitted Acquisitions. 

The Lenders are willing to extend such credit to the Borrower, and the Issuing Banks are willing to issue Letters of Credit for the account of
the Borrower, in each case on the terms and subject to the conditions set forth herein. Accordingly, the parties hereto agree as follows: 

ARTICLE 1 

DEFINITIONS 

Section 1.01. Defined Terms. As used in this Agreement, the following terms shall have the following meanings: 

“ABR”, when used in reference to any Loan or Borrowing, refers to whether such Loan, or the Loans comprising such Borrowing,
are bearing interest at a rate determined by reference to the Alternate Base Rate. 
 “Acquired Entity” shall have the
meaning assigned to such term in Section 6.05(xii). 
 “Additional Credit Extension Amendment” shall mean an amendment
to this Agreement (which may, at the option of the Administrative Agent, be in the form of an amendment and restatement of this Agreement) providing for any Incremental Commitments pursuant to Section 2.25, Extended Term Loans and/or Extended
Revolving Credit 

  
 1 

 
Commitments pursuant to Section 2.26 or Refinancing Term Loans pursuant to Section 2.27, which shall be consistent with the applicable provisions of this Agreement and otherwise
satisfactory to the parties thereto. Each Additional Credit Extension Amendment shall be executed by the Administrative Agent, the Issuing Bank (to the extent Section 9.08 would require the consent of the Issuing Bank for the amendments
effected in such Additional Credit Extension Amendment), the Credit Parties and the other parties specified in the applicable Section of this Agreement (but not any other Lender). Any Additional Credit Extension Amendment may include conditions for
delivery of opinions of counsel and other documentation consistent with the conditions in Section 4.01 or 4.02, all to the extent reasonably requested by the Administrative Agent or the other parties to such Additional Credit Extension
Amendment. 
 “Additional Lender” shall mean, at any time, any Person that is not an existing Lender and that agrees to
provide any portion of any (a) Incremental Term Loans or Incremental Commitments in accordance with Section 2.25 or (b) Refinancing Term Loans pursuant to an Additional Credit Extension Amendment in accordance with Section 2.27;
provided that such Additional Lender shall be (x) with respect to Incremental Term Loan Commitments or Refinancing Term Loans, an Eligible Assignee with respect to Term Loans and (y) with respect to Incremental Revolving Credit
Commitments, an Eligible Assignee with respect to Revolving Credit Commitments. 
 “Additional Security Documents” shall
have the meaning assigned to such term in Section 5.12. 
 “Adjusted Consolidated Net Income” shall mean, for any
period, Consolidated Net Income for such period plus (a) the sum (without duplication) of: 
 (i) non-cash charges or non-cash losses
(including, but not limited to share-based non-cash compensation and non-cash fair value adjustments and non-cash interest expense) which were included in arriving at Consolidated Net Income for such period; 

(ii) servicing income earned during such period for servicing of assets in any Securitization Entity (other than any such income attributable
to a Heritage Walter Securitization Trust) to the extent consolidated on the balance sheet and carried at fair value; 
 (iii) principal
payments received during such period by any Heritage Walter Securitization Trust from borrowers to the extent consolidated on the balance sheet; 

(iv) net cash proceeds received during such period from sales of REO Assets by any Heritage Walter Securitization Trust to the extent
consolidated on the balance sheet; 
 (v) the amount of all cash received during such period from the initial or tail issuance of reverse
mortgage securities (HMBS) less any cash payments made during such period to originate, acquire or fund the related loans and subsequent additions to such loans to the extent not included in Consolidated Net Income for such period; and 

  
 2 

 (vi) any cash received for servicing of reverse mortgages to the extent not included in
Consolidated Net Income for such period; 
 less (b) the sum of: 

(i) non-cash gains and non-cash income, including but not limited to non-cash fair value adjustments, which were included in arriving at
Consolidated Net Income for such period; 
 (ii) the amount of all cash gains on Asset Sales the Net Sale Proceeds of which were applied as a
mandatory repayment of Term Loans pursuant to Section 2.13(c) or reinvested (or to be reinvested) as permitted by such Section 2.13(c) to the extent that such cash gains were included in arriving at Consolidated Net Income for such period;
and 
 (iii) principal payments during such period on Indebtedness of any Heritage Walter Securitization Trust to the extent consolidated on
the balance sheet. 
 “Adjusted LIBO Rate” shall mean, with respect to any Eurodollar Borrowing for any Interest Period, an
interest rate per annum equal to the product of (i) the LIBO Rate in effect for such Interest Period and (ii) Statutory Reserves; provided that, in the case of the Tranche B Term Loans, if the Adjusted LIBO Rate as so determined for
any Interest Period is less than 1.00% per annum, then Adjusted LIBO Rate with respect to the Tranche B Term Loans for such Interest Period shall be deemed to be 1.00% per annum. 

“Administrative Agent” shall have the meaning assigned to such term in the introductory statement to this Credit Agreement.

 “Administrative Agent Fees” shall have the meaning assigned to such term in Section 2.05(b). 

“Administrative Questionnaire” shall mean an Administrative Questionnaire substantially in the form of Exhibit J, or such
other form as may be supplied from time to time by the Administrative Agent. 
 “Affiliate” shall mean, with respect to any
Person, any other Person directly or indirectly controlling (including, but not limited to, all directors and officers of such Person), controlled by, or under direct or indirect common control with, such Person. A Person shall be deemed to control
another Person if such Person possesses, directly or indirectly, the power (i) to vote 10% or more of the securities having ordinary voting power for the election of directors (or equivalent governing body) of such Person or (ii) to direct
or cause the direction of the management and policies of such other Person, whether through the ownership of voting securities, by contract or otherwise. 

“Agents” shall have the meaning assigned to such term in Article 8. 

  
 3 

 “Aggregate Incremental Amount” shall mean, at any time, the sum of the aggregate
principal amount of Incremental Loans incurred at or prior to such time (assuming all Incremental Commitments established at or prior to such time are fully drawn). 

“Aggregate Revolving Credit Exposure” shall mean the aggregate amount of the Lenders’ Revolving Credit Exposures. 

“Agreement” shall mean this Credit Agreement, as modified, supplemented, amended, restated (including any amendment and
restatement hereof), extended or renewed from time to time. 
 “All-in Yield” shall mean, as to any Indebtedness, the
effective yield thereon as determined in good faith by the Borrower and the Administrative Agent taking into account the applicable interest rate, margin, original issue discount and upfront fees; provided that original issue discount and
upfront fees shall be equated to interest rate assuming a four-year life to maturity (or, if less, the life of such Indebtedness); provided further that any eurodollar rate floor or base rate floor (“new floor”) that is
greater than the comparable eurodollar rate floor or base rate floor applicable to the Tranche B Term Loans at such time shall only be taken into account in determining the All-in-Yield with respect to the Tranche B Term Loans to the extent an
increase in any interest rate floor applicable to the Tranche B Term Loans to the corresponding new floor would cause an increase in the yield applicable to the Tranche B Term Loans then in effect; provided further that “All-in
Yield” shall not include arrangement, commitment, underwriting, amendment, structuring or similar fees paid to any agent, underwriter or arranger or fees that are not paid ratably to the market with respect to such Indebtedness. 

“Alternate Base Rate” shall mean, for any day, a rate per annum equal to the greatest of (a) the Prime Rate in effect on
such day, (b) the Federal Funds Effective Rate in effect on such day plus 1/2 of 1% and (c) the Adjusted LIBO Rate on such day (or if such day is not a Business Day, the immediately preceding Business Day) for a Eurodollar Borrowing with
an Interest Period of one month plus 1.00%; provided that, for the avoidance of doubt, the Adjusted LIBO Rate for any day shall be based on the rate determined on such day at approximately 11 a.m. (London time) by reference to the British
Bankers’ Association Interest Settlement Rates (or by reference to any successor or substitute entity or other quotation service providing comparable quotations to such British Bankers’ Association Interest Settlement Rates) for deposits
in Dollars (as set forth by any service selected by the Administrative Agent that has been nominated by the British Bankers’ Association (or any successor or substitute agency) as an authorized vendor for the purpose of displaying such rates).
If the Administrative Agent shall have determined (which determination shall be conclusive absent manifest error) that it is unable to ascertain the Federal Funds Effective Rate for any reason, including the inability or failure of the
Administrative Agent to obtain sufficient quotations in accordance with the terms of the definition thereof, the Alternate Base Rate shall be determined without regard to clause (b) of the preceding sentence until the circumstances giving rise
to such inability no longer exist. Any change in the Alternate Base Rate due to a change in the Prime Rate, the Federal Funds Effective Rate or the Adjusted LIBO Rate shall be effective on the effective date of such change in the Prime Rate, the
Federal Funds Effective Rate or the Adjusted LIBO Rate, as the case may be. 

  
 4 

 “Amend and Extend Transaction” shall mean an extension of maturity transaction
described in and effected pursuant to Section 2.26. 
 “Anti-Terrorism Laws” shall have the meaning assigned to such
term in Section 3.22(a). 
 “Applicable Excess Cash Flow Prepayment Percentage” shall mean, at any time, 50%;
provided that, so long as no Default or Event of Default is in existence on the respective Excess Cash Flow Payment Date, if the Total Net Leverage Ratio (as set forth in the officer’s certificate delivered pursuant to
Section 5.01(f)) for the fiscal year of the Borrower then last ended is (x) less than or equal to 2.50:1.00 but greater than 2.00:1.00, the Applicable Excess Cash Flow Prepayment Percentage shall instead be 25% and (y) less than or
equal to 2.00:1.00, the Applicable Excess Cash Flow Prepayment Percentage shall instead be 0%. 
 “Applicable Margin” shall
mean (a) with respect to any Eurodollar Loan, 3.75% per annum and (b) with respect to any ABR Loan, 2.75% per annum. 

“Asset Sale” shall mean any sale, transfer or other disposition by the Borrower or any Restricted Subsidiary to any Person
(including by way of redemption by such Person) other than to the Borrower or a Subsidiary Guarantor of any asset (including, without limitation, any capital stock or other securities of, or Equity Interests in, another Person), but excluding
(x) sales, transfers or other dispositions of assets permitted pursuant to Section 6.02 (other than pursuant to Section 6.02(iv), Section 6.02(xiv), Section 6.02(xxiii) or Section (xxv)) and (y) any other sale, transfer
or disposition (for such purpose, treating any series of related sales, transfers or dispositions as a single such transaction) that generates Net Sale Proceeds of less than $250,000. 

“Assignment and Acceptance” shall mean an assignment and acceptance entered into by a Lender and an Eligible Assignee, and
accepted by the Administrative Agent, substantially in the form of Exhibit H or such other form as shall be approved by the Administrative Agent. 

“Authorized Officer” shall mean the chief executive officer, president, any vice-president, chairman, vice chairman,
secretary, any assistant secretary, treasurer, any assistant treasurer, chief operating officer or chief financial officer of the Borrower. 

“Auto-Extension Letter of Credit” shall have the meaning assigned to such term in Section 2.22(b)(iii). 

“Auto-Reinstatement Letter of Credit” shall have the meaning assigned to such term in Section 2.22(b)(iv). 

“Available Amount” shall mean, on any date (the “Determination Date”), an amount equal to: 

(a) the sum, without duplication, of (I) (x) solely for calculating the Available Amount for purposes of Section 6.03(vi) and
clause (y) of Section 6.15 (except for purposes of calculating the Available Amount for payments of cash by the Borrower or any Restricted Subsidiary to a holder of Convertible Notes upon conversion or exchange of such Convertible

  
 5 

 
Notes or in connection with the right of a holder of Convertible Notes to require the Borrower to repurchase such Convertible Notes in accordance with Section 6.15(y)(B)(2)), $50,000,000 and
(y) solely for calculating the Available Amount for purposes of Section 6.05(xii), Section 6.05(xxii) and for purposes of calculating the Available Amount for payments of cash by the Borrower or any Restricted Subsidiary to a holder
of Convertible Notes upon conversion or exchange of such Convertible Notes or in connection with the right of a holder of Convertible Notes to require the Borrower to repurchase such Convertible Notes in accordance with Section 6.15(y)(B)(2),
an amount equal to the aggregate Net Equity Proceeds received by the Borrower as a result of the issuance of common stock of the Borrower on October 23, 2012, plus (II) an amount equal to the aggregate Net Equity Proceeds received by the
Borrower after the Closing Date pursuant to a Permitted Equity Issuance plus (III) the cumulative amount equal to the remainder of (x) 100% of Excess Cash Flow for each Excess Cash Flow Payment Period (commencing with the Excess Cash
Flow Payment Period ending December 31, 2014) less (y) in respect of each Excess Cash Flow Payment Period, the Applicable Excess Cash Flow Prepayment Percentage of the Excess Cash Flow for such Excess Cash Flow Payment Period; provided
that, in the case of clause (III), financial statements and a compliance certificate have been delivered in accordance with Section 5.01(c) and Section 5.01(f), respectively, with respect to such Excess Cash Flow Payment Period;
minus 
 (b) the portion of the amount calculated pursuant to clause (a) above that is used after the Closing Date and prior to the
respective Determination Date to (i) effect any acquisitions of Persons that do not become Credit Parties or of assets by Subsidiaries that are not or do not become Credit Parties pursuant to clause (B) of the second proviso of
Section 6.05(xii), (ii) make Investments permitted pursuant to Section 6.05(xxii), (iii) pay Dividends permitted pursuant to Section 6.03(vi) or (iv) make payments permitted pursuant to clause (y) of
Section 6.15. 
 “Bankruptcy Code” shall mean Title 11 of the United States Code entitled “Bankruptcy,” as
now or hereafter in effect, or any successor thereto. 
 “Borrower” shall have the meaning assigned to such term in the
introductory statement to this Agreement. 
 “Borrower Materials” shall have the meaning assigned to such term in
Section 9.01. 
 “Borrower Notice” shall have the meaning assigned to such term in Section 5.12(c). 

“Borrowing” shall mean Loans of the same Class and Type made, converted or continued on the same date and, in the case of
Eurodollar Loans, as to which a single Interest Period is in effect. 
 “Borrowing Request” shall mean a request by the
Borrower in accordance with the terms of Section 2.03 and substantially in the form of Exhibit A, or such other form as shall be approved by the Administrative Agent. 

“Breakage Event” shall have the meaning assigned to such term in Section 2.16. 

  
 6 

 “Business Day” shall mean any day other than a Saturday, Sunday or day on which
banks in New York City are authorized or required by law to close; provided, however, that when used in connection with a Eurodollar Loan, the term “Business Day” shall also exclude any day on which banks are not open for dealings
in Dollar deposits in the London interbank market. 
 “Calculation Period” shall mean, with respect to any Permitted
Acquisition, any Significant Asset Sale or any other event expressly required to be calculated on a Pro Forma Basis pursuant to the terms of this Agreement, the Test Period most recently ended prior to the date of such Permitted Acquisition,
Significant Asset Sale or other event for which financial statements have been delivered to the Lenders pursuant to Section 4.02(k) or Section 5.01(b) or (c), as applicable. 

“Capital Expenditures” shall mean, with respect to any Person, all expenditures (without duplication) by such Person which
should be capitalized in accordance with GAAP and, without duplication, the amount of Capitalized Lease Obligations incurred by such Person. 

“Capitalized Lease Obligations” shall mean, with respect to any Person, all rental obligations of such Person which, under
GAAP, are required to be capitalized on the books of such Person, in each case taken at the amount thereof accounted for as indebtedness in accordance with such principles. 

“Cash Collateralize” shall mean to pledge and deposit with or deliver to the Collateral Agent, for the benefit of one or more
of the Issuing Banks or Lenders, as collateral for L/C Exposure or obligations of Lenders to fund participations in respect of L/C Exposure, cash or deposit account balances or, if the Collateral Agent and each applicable Issuing Bank shall agree in
their sole discretion, other credit support, in each case pursuant to documentation in form and substance satisfactory to the Collateral Agent and each applicable Issuing Bank. “Cash Collateral” shall have a meaning correlative to
the foregoing and shall include the proceeds of such cash collateral and other credit support. 
 “Cash Equivalents” shall
mean, as to any Person, (i) securities issued or directly and fully guaranteed or insured by the United States or any agency or instrumentality thereof (provided that the full faith and credit of the United States is pledged in support
thereof) having maturities of not more than one year from the date of acquisition, (ii) marketable direct obligations issued by any state of the United States or any political subdivision of any such state or any public instrumentality thereof
maturing within one year from the date of acquisition thereof and, at the time of acquisition, having one of the two highest ratings obtainable from either S&P or Moody’s, (iii) Dollar denominated time deposits, certificates of deposit
and bankers acceptances of any Lender or any commercial bank having, or which is the principal banking subsidiary of a bank holding company having, a combined capital and surplus of at least $1,000,000,000 with maturities of not more than one year
from the date of acquisition by such Person, (iv) repurchase obligations with a term of not more than 30 days for underlying securities of the types described in clause (i) above entered into with any bank meeting the qualifications
specified in clause (iii) above, (v) commercial paper issued by any Person incorporated in the United States rated at least A-1 or the equivalent thereof by S&P or at least P-1 or the equivalent

  
 7 

 
thereof by Moody’s and in each case maturing not more than one year after the date of acquisition by such Person, and (vi) investments in money market funds substantially all of whose
assets are comprised of securities of the types described in clauses (i) through (v) above. 
 “CERCLA” shall
mean the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as the same has been amended and may hereafter be amended from time to time, 42 U.S.C. § 9601 et seq. 

“Change in Adjusted Consolidated Working Capital” shall mean, for a given period, without duplication, the sum of the changes
(plus or minus) during such period in: (a) Servicing Advances net of the change in applicable borrowings under Permitted Servicing Advance Facility Indebtedness, (b) finance receivable purchases or repurchases of Residential Mortgage Loans
net of collections and liquidation proceeds on purchased receivables or repurchased Residential Mortgage Loans, (c) new loan originations net of proceeds received from the sale of new loans, collections on new loans and the change in related
borrowings under Permitted Warehouse Indebtedness, (d) cash and Cash Equivalents required to be maintained (i) at any Restricted Subsidiary pursuant to bona fide legal or regulatory requirements, (ii) by any Non-Recourse Entities
related to non-recourse financing or (iii) by the Borrower or any Restricted Subsidiary in the ordinary course of business pursuant to any line of credit permitted to be maintained hereunder, and (e) other assets (excluding cash and Cash
Equivalents) and liabilities (excluding the current portion of any Indebtedness under this Agreement and the current portion of any other long term Indebtedness which would otherwise be included therein), to the extent the impact of such changes are
reflected in the consolidated statement of cash flows of the Borrower and the Restricted Subsidiaries, excluding for this purpose Securitization Entities (other than Heritage Walter Securitization Trusts) to the extent consolidated. 

“Change in Law” shall mean (a) the adoption of any law, rule or regulation after the Closing Date, (b) any change
in any law, rule or regulation or in the interpretation or application thereof by any Governmental Authority or the NAIC after the Closing Date or (c) compliance by any Lender or any Issuing Bank (or, for purposes of Section 2.14, by any
lending office of such Lender or by such Lender’s or such Issuing Bank’s holding company, if any) with any request, guideline or directive (whether or not having the force of law) of any Governmental Authority made or issued after the
Closing Date; provided that notwithstanding anything herein to the contrary, (x) the Dodd-Frank Wall Street Reform and Consumer Protection Act and all requests, rules, guidelines or directives thereunder or issued in connection therewith
and (y) all requests, rules, guidelines or directives promulgated by the Bank for International Settlements, the Basel Committee on Banking Supervision (or any successor or similar authority) or United States or foreign regulatory authorities,
in each case pursuant to Basel III, shall in each case be deemed to be a “Change in Law”, regardless of the date enacted, adopted or issued. 

“Change of Control” shall mean (i) any “person” or “group” (as such terms are used in Sections 13(d)
and 14(d) of the Exchange Act as in effect on the Closing Date) shall have obtained the power (whether or not exercised) to elect a majority of the board of directors (or equivalent governing body) of the Borrower, (ii) any “person”
or “group” (as such terms are used in Sections 13(d) and 14(d) of the Exchange Act as in effect on the Closing Date) is or shall 

  
 8 

 
become the “beneficial owner” (as defined in Rules 13(d)-3 and 13(d)-5 under the Exchange Act as in effect on the Closing Date), directly or indirectly, of 35% or more on a fully
diluted basis of the voting interests in the Borrower’s Equity Interests, (iii) the board of directors (or equivalent governing body) of the Borrower shall cease to consist of a majority of Continuing Directors or (iv) a “change
of control” or similar event howsoever denominated shall occur as provided in any Equity Interests of the Borrower (other than Qualified Equity Interests of the Borrower) or any Indebtedness of the Borrower or any Restricted Subsidiary with an
aggregate principal amount of at least $5,000,000 (or the documentation governing the same) and such “change of control” or similar event shall not be waived in writing by the holders of such Equity Interests or Indebtedness. 

“Charges” shall have the meaning assigned to such term in Section 9.09. 

“Claims” shall have the meaning assigned to such term in the definition of “Environmental Claims”. 

“Class”, when used in reference to any Loan or Borrowing, refers to whether such Loan, or the Loans comprising such
Borrowing, are Revolving Loans, Extended Revolving Loans (of the same Extension Series), Tranche B Term Loans, Incremental Term Loans, Extended Term Loans (of the same Extension Series) or Refinancing Term Loans and, when used in reference to any
Commitment, refers to whether such Commitment is a Revolving Credit Commitment, an Extended Revolving Credit Commitment (of the same Extension Series), a Tranche B Term Loan Commitment, an Incremental Term Loan Commitment or a Refinancing Term Loan
Commitment, and when used in reference to any Lender, refers to whether such Lender has a Loan or Commitment with respect to the applicable Class. 

“Closing Date” shall mean the date on which the conditions specified in Section 4.01 and Section 4.02 are satisfied
(or waived in accordance with Section 9.08). 
 “Co-Documentation Agents” shall mean Bank of America, N.A., Barclays
Bank PLC, The Royal Bank of Scotland plc and UBS Securities LLC, each in their capacity as documentation agents. 
 “Code”
shall mean the Internal Revenue Code of 1986. 
 “Collateral” shall mean all property (whether real or personal) with
respect to which any security interests or liens have been granted (or purported to be granted) pursuant to any Security Document, including all Pledge Agreement Collateral, all Security Agreement Collateral, all Mortgaged Properties and all cash
and Cash Equivalents delivered as collateral pursuant to Section 2.22 or Section 2.23. 
 “Collateral Agent”
shall have the meaning assigned to such term in the introductory statement to this Credit Agreement. 

  
 9 

 “Commitment” shall mean, with respect to any Lender, such Lender’s
Revolving Credit Commitment, Extended Revolving Credit Commitment, Tranche B Term Loan Commitment, Incremental Term Loan Commitment or Refinancing Term Loan Commitment. 

“Commitment Fee” shall have the meaning assigned to such term in Section 2.05(a). 

“Communications” shall have the meaning assigned to such term in Section 9.01. 

“Company” shall mean any corporation, limited liability company, partnership or other business entity (or the adjectival form
thereof, where appropriate). 
 “Confidential Information Memorandum” shall mean the Confidential Information Memorandum of
the Borrower dated December 2013. 
 “Connection Taxes” shall mean, with respect to the Administrative Agent, any Lender or
any Issuing Bank, Taxes imposed as a result of a present or former connection between such Administrative Agent, Lender or Issuing Bank and the jurisdiction imposing such Tax (other than connections arising solely from such Administrative Agent,
Lender or Issuing Bank having executed, delivered, become a party to, performed its obligations under, received payments under, received or perfected a security interest under, engaged in any other transaction pursuant to, or enforced, any Credit
Document, or sold or assigned an interest in any Loan or Credit Document). 
 “Consolidated EBITDA” shall mean, for any
period, Consolidated Net Income for such period, adjusted by: 
 (a) deducting therefrom (to the extent included in determining Consolidated
Net Income for such period except for payments referred to in clause (a)(vi) and (viii) below), without duplication, the amount (determined on a consolidated basis for the Borrower and the Restricted Subsidiaries for such period) of: 

(i) interest income with respect to Unrestricted cash and Cash Equivalents of the Borrower and the Restricted Subsidiaries,

 (ii) non-recurring or unusual gains or net after-tax extraordinary gains, 

(iii) non-cash gains and other non-cash income, including but not limited to non-cash fair value adjustments, 

(iv) gains realized upon the disposition of assets outside of the ordinary course of business, 

(v) income (less all fees and expenses or charges relating thereto) attributable to the early extinguishment of Indebtedness,

  
 10 

 (vi) the amount of all cash payments or cash charges made (or incurred) on
account of a non-cash charge or non-cash loss added back to Consolidated EBITDA pursuant to clause (b)(iv) or (b)(vii) below in a previous period, 

(vii) net after-tax income attributable to discontinued operations, but only so long as such discontinued operations meet the
requirements therefor under GAAP and such discontinued operations were actually disposed of as of the relevant date of calculation of Consolidated EBITDA, 

(viii) gains on non-recourse assets held by any Securitization Entity or Heritage Walter Securitization Trust to the extent
consolidated on the balance sheet, and 
 (ix) principal payments on any Indebtedness of the Heritage Walter Securitization
Trust to the extent consolidated on the balance sheet; and 
 (b) adding thereto (to the extent deducted in determining Consolidated Net
Income for such period except for payments referred to in clause (b)(xiii) below and gains referred to in clauses (b)(xvi) and (b)(xvii) below), without duplication, the amount (determined on a consolidated basis for the Borrower and the Restricted
Subsidiaries for such period) of: 
 (i) total interest expense (inclusive of amortization of deferred financing fees (other
than arrangement, commitment, underwriting, amendment, structuring or similar fees paid to any agent, underwriter or arranger or fees that are not paid ratably to the market) and other original issue discount and banking fees, charges and
commissions (e.g., letter of credit fees and commitment fees)), excluding without duplication (x) interest expense attributable to Non-Recourse Indebtedness, Excess Spread Sales and Permitted Securitization Indebtedness and interest expense
attributable to Permitted Funding Indebtedness other than MSR Indebtedness and (y) interest expense related to non-recourse debt held by any Heritage Walter Securitization Trust to the extent consolidated on the balance sheet, 

(ii) without duplication among periods, provision for taxes paid or accrued based on income or capital, withholding, franchise
and similar taxes, 
 (iii) all depreciation and amortization expense, 

(iv) non-cash charges or non-cash losses (including but not limited to share based non-cash compensation and non-cash fair
value adjustments), 
 (v) fees and expenses incurred in connection with the Transactions on or prior to the first
anniversary of the Closing Date, 
 (vi) fees and expenses incurred in connection with any Investment (including any
Permitted Acquisition), issuance of Equity Interests or incurrence of Indebtedness (in each case, whether or not consummated), except to the extent that such fees and expenses were financed with proceeds of equity or Indebtedness, 

  
 11 

 (vii) non-recurring or unusual losses or charges or net after-tax extraordinary
losses or charges (including without limitation any such charges attributable to the implementation of cost-savings initiatives, severance, restructuring charges, relocation costs and one-time compensation charges (in each case relating to any
Permitted Acquisitions)), 
 (viii) losses realized upon the disposition of assets outside of the ordinary course of
business, 
 (ix) losses (less all fees and expenses or charges relating thereto) attributable to the early extinguishment of
Indebtedness, 
 (x) net after-tax losses attributable to discontinued operations, but only so long as such discontinued
operations meet the requirements therefor under GAAP and such discontinued operations were actually disposed of as of the relevant date of calculation of Consolidated EBITDA, 

(xi) the amount of all cash received on account of any non-cash gains on non-cash income deducted from Consolidated EBITDA
pursuant to clause (a)(iii) above in a previous period; 
 (xii) servicing income earned for servicing of assets in any
Securitization Entity (other than any such income attributable to a Heritage Walter Securitization Trust) to the extent consolidated on the balance sheet and accounted for at fair value, 

(xiii) principal payments received by any Heritage Walter Securitization Trust from borrowers to the extent consolidated on the
balance sheet, 
 (xiv) losses on non-recourse assets held by any Securitization Entity or Heritage Walter Securitization
Trust to the extent consolidated on the balance sheet, 
 (xv) net cash proceeds received from sales of REO Assets owned by
any Heritage Walter Securitization Trust to the extent consolidated on the balance sheet, 
 (xvi) the amount of all cash
received during such period from the initial or tail issuance of reverse mortgage securities (HMBS) less any cash payments made during such period to originate, acquire or fund the related loans and subsequent additions to such loans to the extent
not included in Consolidated Net Income for such period, and 
 (xvii) any cash received for servicing of reverse mortgages
to the extent not included in Consolidated Net Income for such period. 
 For the avoidance of doubt, it is understood and agreed that, to
the extent any amounts are excluded from Consolidated Net Income by virtue of the proviso to the definition thereof contained herein, any add backs to Consolidated Net Income in determining Consolidated EBITDA as provided above shall be limited (or
denied) in a fashion consistent with the proviso to the definition of Consolidated Net Income contained herein. 

  
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 “Consolidated Indebtedness” shall mean, at any time, the sum of (without
duplication) (i) all Indebtedness of the Borrower and the Restricted Subsidiaries (on a consolidated basis) as would be required to be reflected as debt or Capitalized Lease Obligations on a consolidated balance sheet of the Borrower and the
Restricted Subsidiaries in accordance with GAAP, (ii) all Indebtedness of the Borrower and the Restricted Subsidiaries of the type described in clause (ii) of the definition of Indebtedness and (iii) all Contingent Obligations of the
Borrower and the Restricted Subsidiaries in respect of Indebtedness of any third Person of the type referred to in preceding clauses (i) and (ii); provided that no determination of “Consolidated Indebtedness” shall include
(x) the aggregate amount available to be drawn or paid (i.e., unfunded amounts) under all letters of credit, bankers’ acceptances, bank guaranties, surety and appeal bonds and similar obligations issued for the account of the
Borrower or any Restricted Subsidiary (but excluding, for avoidance of doubt, all unpaid drawings or other matured monetary obligations owing in respect of such letters of credit, bankers’ acceptances, bank guaranties, surety and appeal bonds
and similar obligations), (y) Non-Recourse Indebtedness, Permitted Securitization Indebtedness of any Securitization Entity, obligations under Excess Spread Sales or Permitted Funding Indebtedness other than MSR Indebtedness or
(z) Specified Contingent Liabilities (but only until such time, if any, as the Borrower or any Restricted Subsidiary is required to fund or otherwise honor any such Specified Contingent Liability, at which time such liabilities shall be
included in the determination of Consolidated Indebtedness). For the avoidance of doubt, Consolidated Indebtedness shall not include Indebtedness of the Borrower or any Restricted Subsidiary to Government National Mortgage Association trusts. 

“Consolidated Interest Expense” shall mean, for any period, (i) the total cash consolidated interest expense of the
Borrower and the Restricted Subsidiaries (including, without limitation, all commissions and other commitment and banking fees and charges (e.g., fees with respect to letters of credit, Interest Rate Protection Agreements and Other Hedging
Agreements, but excluding, to the extent included therein, arrangement, commitment, underwriting, amendment, structuring, original issue discounts or similar fees paid to any agent, underwriter or arranger or fees that are not paid ratably to the
market), but excluding, to the extent included therein, cash interest expense attributable to Non-Recourse Indebtedness, Excess Spread Sales, Permitted Securitization Indebtedness and Permitted Funding Indebtedness other than MSR Indebtedness) for
such period (calculated without regard to any limitations on payment thereof), plus (ii) without duplication, that portion of Capitalized Lease Obligations of the Borrower and the Restricted Subsidiaries on a consolidated basis
representing the interest factor for such period. For purposes of the foregoing, interest expense shall be determined after giving effect to any net payments made or received by the Borrower or any Restricted Subsidiary with respect to Interest Rate
Protection Agreements. 
 “Consolidated Net Income” shall mean, for any period, the net income (or loss) of the Borrower
and the Restricted Subsidiaries determined on a consolidated basis for such period (taken as a single accounting period) in accordance with GAAP, provided that (A) the following items shall be excluded in computing Consolidated Net
Income (without duplication): (i) the net 

  
 13 

 
income of any Person (other than Borrower) in which a Person or Persons other than the Borrower and its Wholly-Owned Restricted Subsidiaries has an Equity Interest or Equity Interests, except to
the extent of the amount of cash dividends or other cash distributions of net income actually paid to the Borrower or a Wholly-Owned Restricted Subsidiary by such Person during such period, (ii) except for determinations expressly required to
be made on a Pro Forma Basis, the net income (or loss) of any Person prior to the date it becomes a Restricted Subsidiary or all or substantially all of the property or the net income related to assets of such Person are acquired by the
Borrower or a Restricted Subsidiary and (iii) the net income of any Restricted Subsidiary to the extent that the declaration or payment of cash dividends or similar cash distributions by such Restricted Subsidiary of such net income is not at
the time permitted by the operation of the terms of its charter or any agreement, instrument, judgment, decree, order, statute, rule or governmental regulation applicable to such Restricted Subsidiary, and (B) any interest expense on Permitted
Servicing Advance Facility Indebtedness and Permitted Warehouse Indebtedness for such period shall reduce Consolidated Net Income for such period to the extent that such amounts did not otherwise reduce Consolidated Net Income for such period. 

“Contingent Obligation” shall mean, as to any Person, any obligation of such Person as a result of such Person being a
general partner of any other Person, unless the underlying obligation is expressly made non-recourse as to such general partner, and any obligation of such Person guaranteeing, having the economic effect of guaranteeing or intended to guarantee any
Indebtedness, leases, dividends or other obligations (“primary obligations”) of any other Person (the “primary obligor”) in any manner, whether directly or indirectly, including, without limitation, any obligation
of such Person, whether or not contingent, (i) to purchase any such primary obligation or any property constituting direct or indirect security therefor, (ii) to advance or supply funds (x) for the purchase or payment of any such
primary obligation or any property constituting direct or indirect security therefor or (y) to maintain working capital or equity capital of the primary obligor or otherwise to maintain the net worth, solvency or other financial statement
condition of the primary obligor, (iii) to purchase or lease property, securities or services primarily for the purpose of assuring the owner of any such primary obligation of the ability of the primary obligor to make payment of such primary
obligation or (iv) otherwise to assure or hold harmless the holder of such primary obligation against loss in respect thereof; provided, however, that the term Contingent Obligation shall not include endorsements of instruments for
deposit or collection in the ordinary course of business or any customary carve-out matters for which such Person acts as a guarantor, such as fraud, misappropriation, breach of representation and warranty and misapplication, unless and until a
claim for payment or performance has been made in respect thereof (which has not been satisfied). The amount of any Contingent Obligation shall be deemed to be an amount equal to the stated or determinable amount of the primary obligation in respect
of which such Contingent Obligation is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof (assuming such Person is required to perform thereunder) as determined by such Person in good faith. 

“Continuing Directors” shall mean the directors (or equivalent governing body) of the Borrower on the Closing Date and each
other director (or equivalent Person) if such director’s (or equivalent Person’s) nomination for election to the board of directors (or equivalent governing body) of the Borrower is recommended by a majority of the then Continuing
Directors. 

  
 14 

 “Continuing Letters of Credit” shall mean each of the letters of credit listed
on Schedule 1.01(c). 
 “Convertible Notes” shall mean the Borrower’s 4.50% Convertible Senior Subordinated Notes due
2019 issued pursuant to the First Supplemental Indenture dated as of October 23, 2012 to Subordinated Indenture dated as of January 13, 2012. 

“Credit Documents” shall mean this Agreement, the Subsidiaries Guaranty, the Pledge Agreement, the Security Agreement, the
Intercompany Subordination Agreement and, after the execution and delivery thereof pursuant to the terms of this Agreement, each Note, each other Security Document and each Additional Credit Extension Amendment. 

“Credit Enhancement Agreements” shall mean, collectively, any documents, instruments, guarantees or agreements entered into
by the Borrower, any Restricted Subsidiary, or any Securitization Entity for the purpose of providing credit support (that is reasonably customary as determined by the Borrower’s senior management) with respect to any Permitted Funding
Indebtedness or Permitted Securitization Indebtedness. 
 “Credit Event” shall have the meaning assigned to such term in
Section 4.01. 
 “Credit Facilities” shall mean the revolving credit, letter of credit and term loan facilities
provided for by this Agreement. 
 “Credit Party” shall mean the Borrower and each Subsidiary Guarantor. 

“Debtor Relief Laws” shall mean the Bankruptcy Code, and all other liquidation, conservatorship, bankruptcy, assignment for
the benefit of creditors, moratorium, rearrangement, receivership, insolvency, reorganization, or similar debtor relief laws of the United States or other applicable jurisdictions from time to time in effect. 

“Default” shall mean any event, act or condition which with notice or lapse of time, or both, would constitute an Event of
Default. 
 “Defaulting Lender” shall mean, subject to Section 2.24(b), any Lender that (a) has failed to
(i) fund all or any portion of its Loans within two Business Days of the date such Loans were required to be funded hereunder, or (ii) pay to the Administrative Agent, any Issuing Bank or any other Lender any other amount required to be
paid by it hereunder (including in respect of its participation in Letters of Credit) within two Business Days of the date when due, (b) has notified the Borrower, the Administrative Agent or any Issuing Bank in writing that it does not intend
to comply with its funding obligations hereunder, or has made a public statement to that effect, (c) has failed, within three Business Days after written request by the Administrative Agent or the Borrower, to confirm in writing to the
Administrative Agent and the Borrower that it will comply with its prospective funding obligations hereunder (provided that such Lender 

  
 15 

 
shall cease to be a Defaulting Lender pursuant to this clause (c) upon receipt of such written confirmation by the Administrative Agent and the Borrower), or (d) has, or has a direct or
indirect parent company that has, (i) become the subject of a proceeding under any Debtor Relief Law, or (ii) had appointed for it a receiver, custodian, conservator, trustee, administrator, assignee for the benefit of creditors or similar
Person charged with reorganization or liquidation of its business or assets, including the Federal Deposit Insurance Corporation or any other state or federal regulatory authority acting in such a capacity; provided that a Lender shall not be
a Defaulting Lender solely by virtue of the ownership or acquisition of any equity interest in that Lender or any direct or indirect parent company thereof by a Governmental Authority so long as such ownership interest does not result in or provide
such Lender with immunity from the jurisdiction of courts within the United States or from the enforcement of judgments or writs of attachment on its assets or permit such Lender (or such Governmental Authority) to reject, repudiate, disavow or
disaffirm any contracts or agreements made with such Lender. Any determination by the Administrative Agent that a Lender is a Defaulting Lender under clauses (a) through (d) above shall be conclusive and binding absent manifest error, and
such Lender shall be deemed to be a Defaulting Lender (subject to Section 2.24(b)) upon delivery of written notice of such determination to the Borrower, each Issuing Bank and each Lender. 

“Designated Non-Cash Consideration” shall mean any non-cash consideration received by the Borrower or any Restricted
Subsidiary in connection with an asset sale that is so designated as “Designated Non-Cash Consideration” pursuant to an officer’s certificate delivered to the Administrative Agent, which certificate shall set forth the Fair Market
Value of such non-cash consideration and the basis for determining such Fair Market Value. 
 “Determination Date” shall
have the meaning assigned to such term in the definition of “Available Amount”. 
 “Dividend” shall mean, with
respect to any Person, that such Person has, directly or indirectly, declared or paid a dividend, distribution or returned any other amount with respect to any Equity Interests to its stockholders, shareholders, partners or members or authorized or
made any other distribution, payment or delivery of property or cash to its stockholders, shareholders, partners or members in their capacity as such, or redeemed, retired, purchased or otherwise acquired or terminated or cancelled, directly or
indirectly, for a consideration (whether in cash, securities or other property) any shares of any class of its capital stock or any other Equity Interests outstanding on or after the Closing Date (or any options or warrants issued by such Person
with respect to its capital stock or other Equity Interests), or set aside any funds for any of the foregoing purposes, or shall have permitted any of the Restricted Subsidiaries to purchase or otherwise acquire for a consideration any shares of any
class of the capital stock or any other Equity Interests of such Person outstanding on or after the Closing Date (or any options or warrants issued by such Person with respect to its capital stock or other Equity Interests). 

“Dollars” and the sign “$” shall each mean freely transferable lawful money of the United States. 

  
 16 

 “Domestic Subsidiary” of any Person shall mean any Subsidiary of such Person
incorporated or organized in the United States or any State thereof or the District of Columbia. 
 “Dutch Auction” shall
mean an auction conducted by the Borrower to purchase Term Loans as contemplated by Section 9.04(l) substantially in accordance with the procedures set forth in Exhibit L. 

“Eligible Assignee” shall mean (a) in the case of Term Loans, (i) a Lender, (ii) an Affiliate of a Lender,
(iii) a Related Fund of a Lender and (iv) any other Person (other than a natural person) approved by the Administrative Agent and, unless an Event of Default has occurred and is continuing or in the case of assignments during the initial
syndication of the Commitments and Loans to Persons identified in writing to the Borrower prior to the Closing Date and acceptable to the Borrower, the Borrower and (b) in the case of any assignment of a Revolving Credit Commitment, (i) a
Revolving Credit Lender, (ii) an Affiliate of a Revolving Credit Lender, (iii) a Related Fund of a Revolving Credit Lender and (iv) any other Person (other than a natural person) approved by the Administrative Agent, each Issuing Bank
and, unless an Event of Default has occurred and is continuing or in the case of assignments during the initial syndication of the Commitments and Loans to Persons identified in writing to the Borrower prior to the Closing Date and acceptable to the
Borrower, the Borrower (each such approval not to be unreasonably withheld or delayed and, in the case of the Borrower, any such approval shall be deemed to have been given if the Borrower has not responded within five Business Days of a request for
such approval); provided that notwithstanding the foregoing, “Eligible Assignee” shall not include (x) the Borrower or any of the Borrower’s Affiliates (it being understood and agreed that assignments to the Borrower may
be made pursuant to Section 9.04(l)) or (y) any Defaulting Lender or any of its Subsidiaries, or any Person who, upon becoming a Lender hereunder, would constitute any of the foregoing Persons described in this clause (y). 

“Engagement Letter” shall mean the Engagement Letter dated December 2, 2013 among the Borrower, Credit Suisse Securities
(USA) LLC, Morgan Stanley Senior Funding, Inc., Merrill Lynch, Pierce, Fenner & Smith Incorporated, Barclays Bank PLC, RBS Securities Inc. and UBS Securities LLC. 

“Environmental Claims” shall mean any and all administrative, regulatory or judicial actions, suits, demands, demand letters,
orders, claims, liens, notices of noncompliance, violation, or liability investigations or proceedings relating in any way to any Environmental Law or any permit issued, or any approval given, under any such Environmental Law (hereafter,
“Claims”), including, without limitation, (a) any and all Claims by Governmental Authorities for enforcement, cleanup, removal, response, remedial or other actions or damages pursuant to any applicable Environmental Law, and
(b) any and all Claims by any third party seeking damages, contribution, indemnification, cost recovery, compensation or injunctive relief in connection with alleged injury or threat of injury to health, safety or the environment due to the
presence of Hazardous Materials. 
 “Environmental Law” shall mean any federal, state, foreign or local statute, law, rule,
regulation, ordinance, code and rule of common law now or hereafter in effect and in each case 

  
 17 

 
as amended, including any judicial or administrative order, consent decree or judgment, relating to the environment, natural resources, human health and safety or Hazardous Materials, including,
without limitation, CERCLA; the Resource Conservation and Recovery Act, 42 U.S.C. § 6901 et seq.; the Federal Water Pollution Control Act, 33 U.S.C. § 1251 et seq.; the Toxic Substances Control Act, 15 U.S.C. § 2601
et seq.; the Clean Air Act, 42 U.S.C. § 7401 et seq.; the Safe Drinking Water Act, 42 U.S.C. § 300f et seq.; the Oil Pollution Act of 1990, 33 U.S.C. § 2701 et seq.; the Emergency Planning and the
Community Right-to-Know Act of 1986, 42 U.S.C. § 11001 et seq.; the Hazardous Material Transportation Act, 49 U.S.C. § 5101 et seq.; the Occupational Safety and Health Act, 29 U.S.C. § 651 et seq.; and any
state and local or foreign counterparts or equivalents, in each case as amended from time to time. 
 “Equity Interests” of
any Person shall mean any and all shares, interests, rights to purchase, warrants, options, participation or other equivalents of or interest in (however designated) equity of such Person, including any common stock, preferred stock, any limited or
general partnership interest and any limited liability company membership interest; provided that, for the avoidance of doubt and without limitation, “Equity Interests” shall exclude the Convertible Notes and any other Indebtedness
convertible into or exchangeable for Equity Interests. 
 “ERISA” shall mean the Employee Retirement Income Security Act of
1974, as amended from time to time, and the regulations promulgated and rulings issued thereunder. Section references to ERISA are to ERISA, as in effect at the Closing Date and any subsequent provisions of ERISA, amendatory thereof, supplemental
thereto or substituted therefor. 
 “ERISA Affiliate” shall mean any trade or business (whether or not incorporated) that,
together with Borrower or a Restricted Subsidiary of Borrower is treated as a “single employer” within the meaning of Section 414(b), (c), (m) or (o) of the Code. 

“ERISA Event” shall mean (a) any Reportable Event, (b) with respect to any Plan or Multiemployer Plan, the failure
to satisfy the minimum funding standard (as defined in Section 412 or 430 of the Code or Section 302 of ERISA), whether or not waived, (c) the filing pursuant to Section 412(c) of the Code or Section 402(c) of ERISA of an
application for a waiver of the minimum funding standard with respect to any Plan or Multiemployer Plan, (d) the filing of a notice to terminate any Plan if such termination would require material additional contributions in order to be
considered a standard termination within the meaning of Section 4041(b) of ERISA, (e) a determination that any Plan is in “at-risk status” or any Multiemployer Plan is in “endangered status” or “critical
status” (as each is defined in Section 303 and 305 of ERISA, respectively), (f) the incurrence by the Borrower or any of its ERISA Affiliates of any liability under Title IV of ERISA with respect to the termination of any Plan or the
withdrawal or partial withdrawal of the Borrower or any of its ERISA Affiliates from any Plan or Multiemployer Plan, (g) proceedings have been instituted to terminate or appoint a trustee to administer any Plan which is subject to Title IV of
ERISA, (h) the receipt by the Borrower or any of its ERISA Affiliates of any notice, or the receipt by any Multiemployer Plan from the Borrower or any of its ERISA Affiliates of any notice, concerning the imposition of Withdrawal Liability or a
determination that a Multiemployer Plan is, or is expected to be, insolvent or in reorganization, 

  
 18 

 
within the meaning of Title IV of ERISA or (i) the occurrence of a non-exempt “prohibited transaction” with respect to which the Borrower or any ERISA Affiliate is a
“disqualified person” (each within the meaning of Section 4975 of the Code) that is reasonably likely to result in material liability to the Borrower. 

“Eurodollar”, when used in reference to any Loan or Borrowing, refers to whether such Loan, or the Loans comprising such
Borrowing, are bearing interest at a rate determined by reference to the Adjusted LIBO Rate. 
 “Event of Default” shall
have the meaning assigned to such term in Section 7.01. 
 “Evidence of Flood Insurance” shall have the meaning
assigned to such term in Section 5.12(c). 
 “Excess Cash Flow” shall mean, for any period, the remainder of
(a) the sum of, without duplication, (i) Adjusted Consolidated Net Income for such period and (ii) Change in Adjusted Consolidated Working Capital (if negative) for such period, minus (b) the sum of, without duplication,
(i) without duplication of amounts deducted pursuant to clause (v) below, the aggregate amount of all Capital Expenditures made by the Borrower and the Restricted Subsidiaries in cash during such period and the aggregate amount of cash
used to consummate Permitted Acquisitions during such period or to acquire MSR during such period (including, for this purpose, the aggregate amount of all principal prepayments and repayments of Permitted MSR Indebtedness during such period the
proceeds of which were previously used to purchase MSR) (other than such Capital Expenditures, Permitted Acquisitions and acquisitions of MSR to the extent financed with equity proceeds, Equity Interests, asset sale proceeds (other than from sales
of inventory in the ordinary course of business), insurance or condemnation proceeds or Indebtedness (other than Revolving Loans) or other proceeds that would not be included in Adjusted Consolidated Net Income or utilizing the Available Amount),
(ii) the aggregate amount of permanent principal payments in cash of Indebtedness of the types described in clauses (i), (iii), (iv) and (vii) of the definition of Indebtedness of the Borrower and the Restricted Subsidiaries during
such period (other than (1) repayments of Permitted Funding Indebtedness, Non-Recourse Indebtedness and Securitization Indebtedness, (2) repayments of revolving loans unless such repayment is accompanied by a corresponding permanent
reduction in commitments in respect thereof, (3) repayments made with the proceeds of asset sales (other than from sales of inventory in the ordinary course of business), sales or issuances of Equity Interests, capital contributions, insurance
or condemnation events or Indebtedness or other proceeds that would not be included in Adjusted Consolidated Net Income or utilizing the Available Amount and (4) payments of Loans and/or other Obligations, provided that repayments of
Term Loans shall be deducted in determining Excess Cash Flow to the extent such repayments were required pursuant to Section 2.11(a)), (iii) Change in Adjusted Consolidated Working Capital (if positive) for such period, (iv) the
aggregate amount of Investments made in cash in any Permitted Funds during such period (other than such Investments to the extent financed with equity proceeds, Equity Interests, asset sale proceeds (other than from sales of inventory in the
ordinary course of business), insurance or condemnation proceeds or Indebtedness (other than Revolving Loans) or other proceeds that would not be included in Adjusted Consolidated Net Income or utilizing the

  
 19 

 
Available Amount) and (v) without duplication of amounts deducted from Excess Cash Flow in other periods, the aggregate consideration required to be paid in cash by the Borrower or any of
the Restricted Subsidiaries pursuant to binding contracts with an entity that is not an Affiliate (the “Contract Consideration”) entered into during such period relating to Permitted Acquisitions, acquisitions of MSRs or Capital
Expenditures to be consummated or made during the period of 120 days following the end of such period, provided that to the extent the aggregate amount of cash actually utilized to finance such Permitted Acquisitions, acquisitions of MSRs or
Capital Expenditures during such 120-day period (other than to the extent financed with equity proceeds, Equity Interests, asset sale proceeds (other than from sales of inventory in the ordinary course of business), insurance or condemnation
proceeds or Indebtedness (other than Revolving Loans) or other proceeds that would not be included in Adjusted Consolidated Net Income or utilizing the Available Amount) is less than the Contract Consideration, the Borrower shall apply such
shortfall as a mandatory prepayment of the Loans pursuant to Section 2.13(d) no later than the earliest to occur of the (A) abandonment of such planned expenditure, (B) making of such planned expenditure and (C) last day of such
120-day period. 
 “Excess Cash Flow Payment Date” shall mean the earlier of (a) the date occurring 90 days after
the last day of each fiscal year of the Borrower (commencing with the fiscal year of the Borrower ending December 31, 2014) and (b) the third Business Day following the date on which financial statements with respect to such period are
delivered pursuant to Section 5.01(c). 
 “Excess Cash Flow Payment Period” shall mean with respect to the repayment
required on each Excess Cash Flow Payment Date, the immediately preceding fiscal year of the Borrower. 
 “Excess Spread
Sale” shall mean any sale in the ordinary course of business and for Fair Market Value of any excess servicing fee spread under any MSR. 

“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated
thereunder. 
 “Existing Lenders Agreement” shall mean the cashless roll letter dated as of December 19, 2013, among
the Borrower, certain of the lenders party to the Specified Credit Agreement and Credit Suisse AG, Cayman Islands Branch, as administrative agent under the Specified Credit Agreement. 

“Excluded Collateral” shall have the meaning assigned to such term in the Security Agreement. 

“Excluded Subsidiary” shall mean each (a) Non-Recourse Entity, (b) Securitization Entity, (c) Restricted
Subsidiary that is prohibited by any applicable law from guaranteeing the Obligations or that would require the consent, approval, license or authorization of any Governmental Authority (other than a Government Sponsored Entity) or any Regulatory
Supervising Organization to guarantee the Obligations (unless such consent, approval, license or authorization has been received), (d) Unrestricted Subsidiary, (e) Immaterial Subsidiary, (f) REIT Subsidiary, (g) MSR Facility
Trust, (h) Foreign Subsidiary, (i) Domestic Subsidiary 

  
 20 

 
substantially all of the direct assets of which consist of Equity Interests in one or more Foreign Subsidiaries, (j) Domestic Subsidiary of a Foreign Subsidiary, (k) Subsidiary that is
not a Wholly-Owned Subsidiary of the Borrower and (l) special purpose Subsidiary established for the purpose of incurring Permitted Securitization Indebtedness or Permitted Servicing Advance Facility Indebtedness so long as such Subsidiary
continues to be utilized solely for such purpose. 
 “Excluded Taxes” shall mean, with respect to the Administrative Agent,
any Lender, any Issuing Bank or any other recipient of any payment to be made by or on account of any obligation of the Borrower or any other Credit Party hereunder, (a) income or franchise taxes imposed on (or measured by) its net income by
the United States of America, or by the jurisdiction under the laws of which such recipient is organized or in which its principal office is located or, in the case of any Lender, in which its applicable lending office is located, or that are
Connection Taxes (b) any branch profits taxes imposed by the United States of America or any similar tax imposed by any other jurisdiction described in clause (a) above or in which the Borrower is located, (c) in the case of a Lender
(other than an assignee pursuant to a request by the Borrower under Section 2.21(a)), any withholding tax that is imposed on amounts payable to such Lender under applicable law in effect at the time such Lender acquires any interest in a Loan
or a Commitment or designates a new lending office, except to the extent that such Lender (or its assignor, if any) was entitled, at the time of acquisition of such interest in a Loan or Commitment, designation of a new lending office or assignment,
to receive additional amounts from the Borrower with respect to such withholding tax pursuant to Section 2.20(a), (d) any Tax attributable to such Lender’s failure to comply with Section 2.20(e) and (e) any Taxes imposed
pursuant to FATCA. 
 “Executive Order” shall have the meaning assigned to such term in Section 3.22(a). 

“Existing Indebtedness” shall have the meaning assigned to such term in Section 3.21. 

“Extended Revolving Credit Commitment” shall mean any Class of Revolving Credit Commitments the maturity of which shall have
been extended pursuant to Section 2.26. 
 “Extended Revolving Loans” shall mean any Loans made pursuant to the
Extended Revolving Credit Commitments. 
 “Extended Term Loans” shall mean any Class of Term Loans the maturity of which
shall have been extended pursuant to Section 2.26. 
 “Extension” shall have the meaning assigned to such term in
Section 2.26. 
 “Extension Offer” shall have the meaning assigned to such term in Section 2.26(b). 

“Extension Series” shall mean all Extended Term Loans and Extended Revolving Credit Commitments that are established pursuant
to the same Additional Credit Extension Amendment (or any subsequent Additional Credit Extension Amendment to the extent such Additional Credit Extension Amendment expressly provides that the Extended Term Loans or Extended Revolving

  
 21 

 
Credit Commitments, as applicable, provided for therein are intended to be a part of any previously established Extension Series) and that provide for the same interest margins, extension fees,
if any, and amortization schedule. 
 “Fair Market Value” shall mean, with respect to any asset (including any Equity
Interests of any Person), the price at which a willing buyer that is not an Affiliate of the seller, and a willing seller, would reasonably be expected to agree to purchase and sell such asset, as determined in good faith by the Borrower or the
Restricted Subsidiary selling such asset. 
 “Fannie Mae” shall mean the Federal National Mortgage Association, in its
corporate capacity, and any majority owned and controlled affiliate thereof. 
 “FATCA” shall mean Sections 1471 through
1474 of the Code, as of the Closing Date (or any amended or successor version that is substantively comparable and not materially more onerous to comply with), any current or future regulations or official interpretations thereof and any agreements
entered into pursuant to Section 1471(b)(1) of the Code. 
 “Federal Funds Effective Rate” shall mean, for any day,
the weighted average of the rates on overnight federal funds transactions with members of the Federal Reserve System arranged by federal funds brokers, as published on the next succeeding Business Day by the Federal Reserve Bank of New York, or, if
such rate is not so published for any day that is a Business Day, the average of the quotations for the day for such transactions received by the Administrative Agent from three federal funds brokers of recognized standing selected by it. 

“Fee Letter” shall mean the Agent Fee Letter, dated December 2, 2013, among the Borrower, Credit Suisse Securities (USA)
LLC and the Administrative Agent. 
 “Fees” shall mean the Commitment Fees, the Administrative Agent Fees, the L/C
Participation Fees, the Issuing Bank Fees and any fee payable in connection with a Repricing Transaction. 
 “Financial
Covenants” shall mean the covenants set forth in Section 6.08 and 6.09. 
 “Financial Covenant Default” shall
mean (i) a failure to comply with either (or both) of the Financial Covenants or (ii) the taking of any action by the Borrower or any Restricted Subsidiary if such action was prohibited hereunder solely due to the existence of a Financial
Covenant Default of the type described in clause (i) of this definition. It is understood and agreed that this definition may not be amended without the written consent of the Required Revolving Credit Lenders. 

“FINRA” shall mean the Financial Industry Regulatory Authority, Inc. or any other self-regulatory body which succeeds to the
functions of the Financial Industry Regulatory Authority, Inc. 
 “First Lien Indebtedness” shall mean Consolidated
Indebtedness that is secured by a Lien that is pari passu with (or not junior to) the Liens securing the Tranche B Term Loans and 

  
 22 

 
the Revolving Loans (and any extension, renewal, replacement or refinancing thereof that is pari passu therewith or any other Indebtedness that is required to be pari passu
therewith hereunder) (including, for the avoidance of doubt, the Tranche B Term Loans and the Revolving Loans). 
 “First Lien Net
Leverage Ratio” shall mean, on any date of determination, the ratio of (x) First Lien Indebtedness on such date minus the lesser of (i) the aggregate amount of Unrestricted cash and Cash Equivalents of the Borrower and its
Restricted Subsidiaries on such date and (ii) $200,000,000 to (y) Consolidated EBITDA for the Test Period most recently ended on or prior to such date; provided that, for purposes of any calculation of the First Lien Net Leverage
Ratio pursuant to this Agreement, Consolidated EBITDA shall be determined on a Pro Forma Basis in accordance with the definition of “Pro Forma Basis” contained herein. 

“Flood Determination Form” shall have the meaning assigned to such term in Section 5.12(c). 

“Flood Documents” shall have the meaning assigned to such term in Section 5.12(c). 

“Foreign Lender” shall mean any Lender that is not a “United States person” within the meaning of
Section 7701(a)(30) of the Code. 
 “Foreign Pension Plan” shall mean any plan, fund (including, without limitation,
any superannuation fund) or other similar program established or maintained outside the United States by the Borrower or any one or more of the Restricted Subsidiaries primarily for the benefit of employees of the Borrower or such Restricted
Subsidiaries residing outside the United States, which plan, fund or other similar program provides, or results in, retirement income, a deferral of income in contemplation of retirement or payments to be made upon termination of employment, and
which plan is not subject to ERISA or the Code. 
 “Foreign Subsidiary” of any Person shall mean any Subsidiary of such
Person that is not a Domestic Subsidiary. 
 “Fronting Exposure” shall mean, at any time there is a Defaulting Lender, with
respect to any Issuing Bank, such Defaulting Lender’s Pro Rata Percentage of the outstanding L/C Exposure with respect to Letters of Credit issued by such Issuing Bank other than L/C Exposure as to which such Defaulting Lender’s
participation obligation has been reallocated to other Lenders or Cash Collateralized in accordance with the terms hereof. 

“GAAP” shall mean generally accepted accounting principles in the United States as in effect from time to time. 

“Government Sponsored Entity” shall mean (i) Fannie Mae, the Federal Home Loan Mortgage Corporation and the Government
National Mortgage Association and (ii) any other entity that is “sponsored”, chartered or controlled by the federal government of the United States. 

“Governmental Authority” shall mean the government of the United States of America, any other nation or any political
subdivision thereof, whether state, provincial or local, and any 

  
 23 

 
agency, authority, instrumentality, regulatory body, court, central bank, Government Sponsored Entity or other entity exercising executive, legislative, judicial, taxing, regulatory or
administrative powers or functions of or pertaining to government. 
 “Granting Lender” shall have the meaning assigned to
such term in Section 9.04(i). 
 “Green Tree Servicing LLC” shall mean Green Tree Servicing LLC, a Delaware limited
liability company and a Wholly-Owned Domestic Restricted Subsidiary. 
 “Hazardous Materials” shall mean (a) any
petroleum or petroleum products, radioactive materials, asbestos in any form that is or could become friable, lead, mold, urea formaldehyde foam insulation, polychlorinated biphenyls, and radon gas; (b) any chemicals, materials or substances
defined as or included in the definition of “hazardous substances,” “hazardous waste,” “hazardous materials,” “extremely hazardous substances,” “restricted hazardous waste,” “toxic
substances,” “toxic pollutants,” “contaminants,” or “pollutants,” or words of similar import, under any applicable environmental law; and (c) any other chemical, material or substance, the exposure to, or
Release of which is prohibited, limited or regulated by any Governmental Authority. 
 “Heritage Walter Securitization
Trust” shall mean any Securitization Entity of the Borrower or the Restricted Subsidiaries and any installment sale contract, chattel paper or loan contract and related promissory note and mortgage and any REO Asset owned by the Borrower or
the Restricted Subsidiaries, in each case in existence immediately prior to the acquisition by the Borrower on July 1, 2011 of GTCS Holdings LLC, a Delaware limited liability company. 

“Immaterial Subsidiary” shall mean, at any date of determination, a Restricted Subsidiary of the Borrower that, together with
all other Immaterial Subsidiaries, does not have (i) Consolidated EBITDA (determined on a Pro Forma Basis in accordance with the definition of “Pro Forma Basis” contained herein) for the period of four consecutive fiscal
quarters ended on the last day of the most recent fiscal period for which financial statements have been delivered pursuant to Section 5.01 that equal or exceed 5% of the Consolidated EBITDA (determined on a Pro Forma Basis in accordance
with the definition of “Pro Forma Basis” contained herein) of the Borrower and its Restricted Subsidiaries for such period, (ii) any material intellectual property or (iii) any material real property. The Borrower shall
notify the Administrative Agent quarterly as to all Immaterial Subsidiaries as provided in Section 5.01(f). The Borrower may designate and re-designate a Restricted Subsidiary as an Immaterial Subsidiary at any time, subject to the terms set
forth in this definition. 
 “Incremental Commitment” shall mean an Incremental Revolving Credit Commitment or an
Incremental Term Loan Commitment. 
 “Incremental Lender” shall mean an Incremental Revolving Credit Lender or an
Incremental Term Loan Lender, as applicable. 

  
 24 

 “Incremental Loans” shall mean the Incremental Term Loans or the Incremental
Revolving Loans, as applicable. 
 “Incremental Pro Forma Basis” shall mean, with respect to any financial ratio test
hereunder, that compliance with such test at any time shall be determined (a) on a Pro Forma Basis giving effect to any Permitted Incremental Equivalent Debt or Incremental Loans incurred at or prior to such time, (b) assuming any
Incremental Commitments established at or prior to such time are fully drawn and (c) without netting the proceeds of Permitted Incremental Equivalent Debt or Incremental Loans to be incurred at such time in reliance upon such financial ratio
test. 
 “Incremental Revolver Cap” shall mean $75,000,000. 

“Incremental Revolving Credit Commitment” shall mean the commitment of any Lender, established pursuant to Section 2.25,
to make Incremental Revolving Loans to the Borrower. 
 “Incremental Revolving Credit Lender” shall mean a Lender with an
Incremental Revolving Credit Commitment or an outstanding Incremental Revolving Loan. 
 “Incremental Revolving Loan” shall
mean Revolving Loans made by one or more Lenders to the Borrower pursuant to their Incremental Revolving Credit Commitments. Incremental Revolving Loans may only be made in the form of additional Revolving Loans. 

“Incremental Term Loan Commitment” shall mean the commitment of any Incremental Term Loan Lender, established pursuant to
Section 2.25, to make Incremental Term Loans to the Borrower. 
 “Incremental Term Loan Lender” shall mean a Lender
with an Incremental Term Loan Commitment or an outstanding Incremental Term Loan. 
 “Incremental Term Loans” shall mean
additional Term Loans made by one or more Lenders to the Borrower pursuant to their Incremental Term Loan Commitment. 
 “Incurrence
Total Leverage Ratio” shall mean, in the case of any period of four consecutive fiscal quarters of the Borrower ending with any fiscal quarter set forth below, the ratio set forth below opposite such fiscal quarter: 

 

					
	 Fiscal Quarter Ending
	  	Incurrence Total
Leverage Ratio	 
	 December 31, 2013
	  	 	5.75:1.00	  
	 March 31, 2014
	  	 	5.75:1.00	  
	 June 30, 2014
	  	 	5.75:1.00	  
	 September 30, 2014
	  	 	5.75:1.00	  
	 December 31, 2014
	  	 	5.75:1.00	  
	 March 31, 2015
	  	 	5.50:1.00	  

  
 25 

					
	 June 30, 2015
	  	 	5.50:1.00	  
	 September 30, 2015
	  	 	5.50:1.00	  
	 December 31, 2015
	  	 	5.50:1.00	  
	 March 31, 2016
	  	 	5.25:1.00	  
	 June 30, 2016
	  	 	5.25:1.00	  
	 September 30, 2016
	  	 	5.25:1.00	  
	 December 31, 2016
	  	 	5.25:1.00	  
	 March 31, 2017 and the last day of each fiscal quarter of the Borrower thereafter
	  	 	5.00:1.00	  

 Any provision of this Agreement that requires the Borrower to be in compliance or compliance on a Pro
Forma Basis with the Incurrence Total Leverage Ratio prior to December 31, 2013 shall be deemed to require that the Incurrence Total Leverage Ratio not be greater than 5.75:1.00. 

“Indebtedness” shall mean, as to any Person, without duplication, (i) all indebtedness of such Person for borrowed money
or for the deferred purchase price of property or services and all obligations of such Person evidenced by bonds, debentures, notes or similar instruments, (ii) the maximum amount available to be drawn or paid under all letters of credit,
bankers’ acceptances, bank guaranties, surety and appeal bonds and similar obligations issued for the account of such Person and all unpaid drawings and unreimbursed payments in respect of such letters of credit, bankers’ acceptances, bank
guaranties, surety and appeal bonds and similar obligations, (iii) all indebtedness of the types described in clause (i), (ii), (iv), (v), (vi) or (vii) of this definition secured by any Lien on any property owned by such Person,
whether or not such indebtedness has been assumed by such Person (provided that, if the Person has not assumed or otherwise become liable in respect of such indebtedness, such indebtedness shall be deemed to be in an amount equal to the fair
market value of the property to which such Lien relates), (iv) all Capitalized Lease Obligations of such Person, (v) all Contingent Obligations of such Person in respect of indebtedness and other obligations described in another clause of
this definition, (vi) all obligations under any Interest Rate Protection Agreement, any Other Hedging Agreement or under any similar type of agreement and (vii) all obligations of such Person under conditional sale or other title retention
agreements relating to property or assets purchased by such Person. The Indebtedness of any Person shall include the Indebtedness of any other entity (including any partnership in which such Person is a general partner) to the extent such Person is
directly liable therefor as a result of such Person’s ownership interest in or other relationship with such entity, except to the extent the terms of such Indebtedness provide that such Person is not liable therefor. Notwithstanding the
foregoing, Indebtedness shall not include trade payables, accrued expenses and deferred tax and other credits incurred by any Person in accordance with customary practices and in the ordinary course of business of such Person. 

“Indemnified Taxes” shall mean Taxes imposed on or with respect to any payment made by any Credit Party under any Credit
Document other than Excluded Taxes. 
 “Indemnitee” shall have the meaning assigned to such term in Section 9.05(b).

  
 26 

 “Information” shall have the meaning assigned to such term in Section 9.16.

 “Installment Payment” shall mean an installment payment in an amount not to exceed $200,000,000 to be made by the
Borrower in connection with an acquisition by the Borrower of certain MSR assets previously identified to the Lead Arrangers. 

“Intercompany Debt” shall mean any Indebtedness, payables or other obligations, whether now existing or hereafter incurred,
owed by the Borrower or any Restricted Subsidiary to the Borrower or any other Restricted Subsidiary. 
 “Intercompany
Loans” shall have the meaning assigned to such term in Section 6.05(viii). 
 “Intercompany Note” shall mean
a promissory note evidencing Intercompany Loans, duly executed and delivered substantially in the form of Exhibit I (or such other form as shall be reasonably satisfactory to the Administrative Agent), with blanks completed in conformity herewith.

 “Intercompany Subordination Agreement” shall mean, collectively, (i) the Intercompany Subordination Agreement dated
as of November 28, 2012 among the Borrower and certain subsidiaries of the Borrower and Credit Suisse AG, as collateral agent, for the benefit of the Senior Creditors (as therein defined) and (ii) the Intercompany Subordination Agreement
dated as of April 30, 2013 among the Borrower and certain subsidiaries of the Borrower and Credit Suisse AG, as collateral agent, for the benefit of the Senior Creditors (as therein defined). 

“Intercreditor Agreement” shall have the meaning assigned to such term in Article 8. 

“Interest Expense Coverage Ratio” shall mean, for any period, the ratio of (a) Consolidated EBITDA for such period to
(b) Consolidated Interest Expense (reduced, to the extent included in such Consolidated Interest Expense, by the amount of any cash interest income with respect to Unrestricted cash and Cash Equivalents of the Borrower and the Restricted
Subsidiaries) for such period; provided that for purposes of any calculation of the Interest Expense Coverage Ratio, Consolidated EBITDA and Consolidated Interest Expense shall be determined on a Pro Forma Basis in accordance with the
requirements of the definition of “Pro Forma Basis” contained herein. 
 “Interest Payment Date” shall
mean (a) with respect to any ABR Loan, the last Business Day of each March, June, September and December, and (b) with respect to any Eurodollar Loan, the last day of the Interest Period applicable to the Borrowing of which such Loan is a
part and, in the case of a Eurodollar Borrowing with an Interest Period of more than three months’ duration, each day that would have been an Interest Payment Date had successive Interest Periods of three months’ duration been applicable
to such Borrowing. 
 “Interest Period” shall mean, with respect to any Eurodollar Borrowing, the period commencing on the
date of such Borrowing and ending on the numerically corresponding day 

  
 27 

 
(or, if there is no numerically corresponding day, on the last day) in the calendar month that is 1, 2, 3 or 6 months thereafter, as the Borrower may elect; provided, however, that
(a) if any Interest Period would end on a day other than a Business Day, such Interest Period shall be extended to the next succeeding Business Day unless such next succeeding Business Day would fall in the next calendar month, in which case
such Interest Period shall end on the next preceding Business Day, (b) any Interest Period that begins on the last Business Day of a calendar month (or on a day for which there is no numerically corresponding day in the calendar month at the
end of such Interest Period) shall end on the last Business Day of the calendar month at the end of such Interest Period and (c) no Interest Period for any Loan shall extend beyond the maturity date of such Loan. Interest shall accrue from and
including the first day of an Interest Period to but excluding the last day of such Interest Period. For purposes hereof, the date of a Borrowing initially shall be the date on which such Borrowing is made and thereafter shall be the effective date
of the most recent conversion or continuation of such Borrowing. 
 “Interest Rate Protection Agreement” shall mean any
interest rate swap agreement, interest rate cap agreement, interest collar agreement, interest rate hedging agreement or other similar agreement or arrangement. 

“Investments” shall have the meaning assigned to such term in Section 6.05. 

“Issuer Documents” shall mean with respect to any Letter of Credit, the Letter of Credit Application, and any other document,
agreement and instrument entered into by the Issuing Bank and the Borrower (or any Subsidiary) or in favor of the Issuing Bank and relating to such Letter of Credit. 

“Issuing Bank” shall mean, as the context may require, (a) Bank of America, N.A. and (b) any other Lender that may
become an Issuing Bank pursuant to Section 2.22(i) or Section 2.22(k), with respect to Letters of Credit issued by such Lender. Each Issuing Bank may, in its discretion, arrange for one or more Letters of Credit to be issued by Affiliates
or branches of such Issuing Bank, in which case the term “Issuing Bank” shall include any such Affiliate or branch with respect to Letters of Credit issued by such Affiliate or branch. 

“Issuing Bank Fees” shall have the meaning assigned to such term in Section 2.05(c). 

“Joint Bookrunners” shall mean Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc., Merrill Lynch, Pierce,
Fenner & Smith Incorporated and Barclays Bank PLC, each in their capacity as joint bookrunners of the Credit Facilities. 

“Knowledge of the Borrower”, “Knowledge of the Borrower or any of its Subsidiaries” or “Knowledge of
the Borrower or each Credit Party” shall mean the actual knowledge of any of the chief executive officer, president, any vice-president, secretary, any assistant secretary, treasurer, chief operating officer, chief financial officer, chief
strategic officer, general counsel, any assistant general counsel, chief information officer or chief human resources officer, or any other Person performing functions that would customarily be performed by a person holding any of the foregoing
positions, in each case of the Borrower. 

  
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 “Latest Maturity Date” shall mean, at any date of determination, the latest
maturity or expiration date applicable to any Loan or Commitment (or, if so specified, applicable to the specified Loans or Commitments or Class thereof) hereunder at such time, including the latest maturity or expiration date of any Incremental
Term Loan, any Extended Term Loan, any Refinancing Term Loan or any Extended Revolving Credit Commitment, as applicable. 
 “L/C
Commitment” shall mean the commitment of each Issuing Bank to issue Letters of Credit pursuant to Section 2.22. 

“L/C Credit Extension” shall mean, with respect to any Letter of Credit, the issuance thereof or extension of the expiry date
thereof, or the increase of the amount thereof. 
 “L/C Disbursement” shall mean a payment or disbursement made by any
Issuing Bank pursuant to a Letter of Credit issued by such Issuing Bank. 
 “L/C Exposure” shall mean at any time the sum
of (a) the aggregate undrawn amount of all outstanding Letters of Credit at such time and (b) the aggregate amount of all L/C Disbursements that have not yet been reimbursed by or on behalf of the Borrower at such time. The L/C Exposure of
any Revolving Credit Lender at any time shall equal its Pro Rata Percentage of the aggregate L/C Exposure at such time. For purposes of computing the amount available to be drawn under any Letter of Credit, the amount of such Letter of Credit shall
be determined in accordance with Section 1.05. For all purposes of this Agreement, if on any date of determination a Letter of Credit has expired by its terms but any amount may still be drawn thereunder by reason of the operation of Rule 3.14
of the ISP, such Letter of Credit shall be deemed to be “outstanding” in the amount so remaining available to be drawn. 

“L/C Participation Fee” shall have the meaning assigned to such term in Section 2.05(c). 

“Lead Arrangers” shall mean Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc., Merrill Lynch, Pierce,
Fenner & Smith Incorporated, Barclays Bank PLC, RBS Securities Inc. and UBS Securities LLC, each in their capacity as joint lead arrangers of the Credit Facilities. 

“Leaseholds” of any Person shall mean all the right, title and interest of such Person as lessee or licensee in, to and under
leases or licenses of land, improvements and/or fixtures. 
 “Lenders” shall mean (a) the Persons listed on Schedule
1.01(a) and (b) any Person that has become a party hereto pursuant to an Additional Credit Extension Amendment or Assignment and Acceptance, other than any such Person that has ceased to be a party hereto pursuant to an Assignment and
Acceptance. 
 “Letter of Credit” shall mean any letter of credit issued pursuant to Section 2.22. 

“Letter of Credit Application” shall mean an application and agreement for the issuance or amendment of a Letter of Credit in
the form from time to time in use by the Issuing Bank. 

  
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 “Letter of Credit Expiration Date” means the day that is seven days prior to the
Revolving Credit Maturity Date then in effect (or, if such day is not a Business Day, the next preceding Business Day). 
 “LIBO
Rate” shall mean, with respect to any Eurodollar Borrowing for any Interest Period, the rate per annum determined by the Administrative Agent at approximately 11:00 a.m. (London time) on the date that is two Business Days prior to the
commencement of such Interest Period by reference to the British Bankers’ Association Interest Settlement Rates (or by reference to any successor or substitute entity or other quotation service providing comparable quotations to such British
Bankers’ Association Interest Settlement Rates) for deposits in Dollars (as set forth by the Bloomberg Information Service or any successor thereto or any other service selected by the Administrative Agent which has been nominated by the
British Bankers’ Association (or any successor or substitute agency) as an authorized information vendor for the purpose of displaying such rates) for a period equal to such Interest Period; provided that, to the extent that an interest rate is
not ascertainable pursuant to the foregoing provisions of this definition, the “LIBO Rate” shall be the interest rate per annum determined by the Administrative Agent to be the average of the rates per annum at which deposits in Dollars
are offered for such relevant Interest Period to major banks in the London interbank market in London, England by the Administrative Agent at approximately 11:00 a.m. (London time) on the date that is two Business Days prior to the beginning of such
Interest Period. 
 “Lien” shall mean any mortgage, deed of trust, pledge, hypothecation, assignment, deposit arrangement,
encumbrance, charge, lien (statutory or other), preference, priority or other security agreement of any kind or nature whatsoever (including, without limitation, the interest of a vendor or a lessor under any capital lease, conditional sale
agreement or other title retention agreement or any financing lease having substantially the same economic effect as any of the foregoing). 

“Loans” shall mean any Revolving Loan, Tranche B Term Loan, Incremental Term Loan, Extended Term Loan, Extended Revolving
Loan or Refinancing Term Loan made by any Lender hereunder. 
 “Margin Stock” shall have the meaning assigned to such term
in Regulation U. 
 “Material Adverse Effect” shall mean a material adverse effect on (i) the business, operations,
property, assets or financial condition of the Borrower and its Restricted Subsidiaries taken as a whole, (ii) the rights or remedies of or benefits available to the Lenders, the Administrative Agent or the Collateral Agent hereunder or under
any other material Credit Document or (iii) the ability of the Borrower or the other Credit Parties, taken as a whole, to perform its or their obligations to the Lenders, the Administrative Agent or the Collateral Agent hereunder or under any
other material Credit Document. 
 “Maturity Date” shall mean the Tranche B Term Loan Maturity Date (in the case of Tranche
B Term Loans), any maturity date related to any tranche of Incremental Term Loans or Refinancing Term Loans, the Revolving Credit Maturity Date (in the case of Revolving Loans) and, as applicable, any maturity date related to any Extension Series of
Extended Term Loans or Extended Revolving Credit Commitments, in each case as such date may be extended pursuant to Section 2.26. 

  
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 “Maximum Rate” shall have the meaning assigned to such term in
Section 9.09. 
 “Minimum Collateral Amount” shall mean, at any time, (i) with respect to Cash Collateral
consisting of cash or deposit account balances, an amount equal to 103% of the Fronting Exposure of all Issuing Banks with respect to Letters of Credit issued and outstanding at such time and (ii) otherwise, an amount determined by the
Collateral Agent and the Issuing Banks in their sole discretion. 
 “Moody’s” shall mean Moody’s Investors
Service, Inc., or any successor thereto. 
 “Mortgage” shall mean a mortgage, deed of trust, deed to secure debt or similar
security instrument made by any Credit Party in favor of, or for the benefit of, the Collateral Agent for the benefit of the Secured Creditors in such form or forms as are reasonably satisfactory to the Collateral Agent. 

“Mortgage Policy” shall mean a lender’s title insurance policy (Form 2006). 

“Mortgaged Property” shall mean any Real Property owned by the Borrower or any Restricted Subsidiary which is encumbered (or
required to be encumbered) by a Mortgage pursuant to the terms hereof. 
 “MSR” of any Person shall mean any and all of the
following: (a) all rights of such Person to service Residential Mortgage Loans, (b) all rights of such Person as “Servicer” (or similar designation) in such Person’s capacity as servicing rights owner with respect to such
Residential Mortgage Loans under the related Servicing Agreement, including, without limitation (but subject to the restrictions set forth therein) directing who may service such Residential Mortgage Loans, (c) any and all rights of such Person
to servicing fees and other compensation for servicing such Residential Mortgage Loans, (d) any late fees, penalties or similar payments with respect to such Residential Mortgage Loans, (e) all accounts and rights to payment related to any
of the property described in this definition and (f) the right to possess and use any and all servicing files, servicing records, data tapes, computer records, or other information pertaining to such Residential Mortgage Loans to the extent
relating to the past, present or prospective servicing of such Residential Mortgage Loans. 
 “MSR Acknowledgement
Agreement” shall mean an Acknowledgement Agreement, in a form reasonably satisfactory to the Collateral Agent, among the Collateral Agent, the respective owner of the Residential Mortgage Loans to which the applicable MSR relate and the
applicable Credit Party pursuant to which the Collateral Agent acknowledges and agrees that its security interest in the MSR described in such Acknowledgement Agreement is subject and subordinate to all rights, powers and prerogatives of such owner
on the terms (and subject to the conditions) set forth in such Acknowledgement Agreement. 

  
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 “MSR Call Option” shall mean the right of an MSR Lender which is a Government
Sponsored Entity to repurchase MSR from the Borrower or any Restricted Subsidiary the purchase of which was initially financed by such MSR Lender with proceeds of Permitted MSR Indebtedness so long as the purchase price in respect thereof is at Fair
Market Value and for cash. 
 “MSR Facility” shall mean any financing arrangement of any kind, including, but not limited
to, financing arrangements in the form of repurchase facilities, loan agreements, note issuance facilities and commercial paper facilities, with a financial institution or other lender (including, without limitation, Fannie Mae or any other
Government Sponsored Entity) or purchaser, in each case, exclusively to finance or refinance the purchase or origination by the Borrower or a Restricted Subsidiary of MSRs originated or purchased by the Borrower or any Restricted Subsidiary. 

“MSR Facility Trust” shall mean any Person (whether or not a Restricted Subsidiary of the Borrower) established for the
purpose of issuing notes or other securities in connection with an MSR Facility, which (i) notes and securities are backed by specified MSRs originated or purchased by, and/or contributed to, such Person from the Borrower or any Restricted
Subsidiary or (ii) notes and securities are backed by specified MSRs purchased by, and/or contributed to, such Person from the Borrower or any Restricted Subsidiary. 

“MSR Indebtedness” shall mean Indebtedness in connection with an MSR Facility; the amount of any particular MSR Indebtedness
as of any date of determination shall be calculated in accordance with GAAP. 
 “MSR Lender” shall mean a third party
financing source (including, without limitation, Fannie Mae) which provides financing to the Borrower or a Restricted Subsidiary the proceeds of which are used exclusively to purchase MSR relating to Residential Mortgage Loans. 

“Multiemployer Plan” shall mean a multiemployer plan as defined in Section 4001(a)(3) of ERISA to which the Borrower or
any ERISA Affiliate currently makes or is obligated to make contributions or to which the Borrower or any ERISA Affiliate has made or was obligated, within the preceding six years, to make contributions. 

“NAIC” shall mean the National Association of Insurance Commissioners. 

“Net Cash Proceeds” shall mean, for any event requiring a repayment of Term Loans pursuant to Section 2.13(b) or (e), as
the case may be, the gross cash proceeds (including any cash received by way of deferred payment pursuant to a promissory note, receivable or otherwise, but only as and when received) received from such event, net of reasonable transaction costs
(including, as applicable, any underwriting, brokerage or other customary commissions and reasonable legal, advisory and other fees and expenses associated therewith) received from any such event and, in the case of a Recovery Event, net of the
amount of such gross cash proceeds required to be used to permanently repay any Indebtedness (other than Indebtedness secured by the Security Documents, Permitted External Refinancing Debt, Permitted Incremental Equivalent Debt and any Permitted
Refinancing thereof) which is secured by the respective property or assets destroyed, damaged, taken or otherwise underlying such Recovery Event. 

  
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 “Net Equity Proceeds” shall mean, with respect to each capital contribution to
any Person or sale or issuance by any Person of its Equity Interests, the cash proceeds received by such Person therefrom net of reasonable transaction costs (including, as applicable, any underwriting, brokerage or other customary discounts and
commissions and reasonable legal, advisory and other fees and expenses associated therewith). 
 “Net Sale Proceeds” shall
mean for any sale or other disposition of assets, the gross cash proceeds (including any cash received by way of deferred payment pursuant to a promissory note, receivable or otherwise, but only as and when received) received from such sale or other
disposition of assets, net of (i) reasonable transaction costs (including, without limitation, any underwriting, brokerage or other customary selling commissions, reasonable legal, advisory and other fees and expenses (including title and
recording expenses), associated therewith and sales, VAT and transfer taxes arising therefrom), (ii) payments of unassumed liabilities relating to the assets sold or otherwise disposed of at the time of, or within 30 days after, the date of
such sale or other disposition, (iii) the amount of such gross cash proceeds required to be used to permanently repay any Indebtedness (other than Indebtedness secured by the Security Documents, Permitted External Refinancing Debt, Permitted
Incremental Equivalent Debt and any Permitted Refinancing thereof) which is secured by the respective assets which were sold or otherwise disposed of, and (iv) the estimated net marginal increase in income taxes which will be payable by the
Borrower’s consolidated group or any Restricted Subsidiary with respect to the fiscal year of the Borrower in which the sale or other disposition occurs as a result of such sale or other disposition; provided, however, that such gross
proceeds shall not include any portion of such gross cash proceeds which the Borrower determines in good faith should be reserved for post-closing adjustments (to the extent the Borrower delivers to the Administrative Agent a certificate signed by
an Authorized Officer of the Borrower as to such determination), it being understood and agreed that on the day that all such post-closing adjustments have been determined (which shall not be later than 12 months following the date of the respective
asset sale), the amount (if any) by which the reserved amount in respect of such sale or disposition exceeds the actual post-closing adjustments payable by the Borrower or any Restricted Subsidiary shall constitute Net Sale Proceeds on such date
received by the Borrower and/or any Restricted Subsidiary from such sale or other disposition. 
 “NFIP” shall have the
meaning assigned to such term in Section 5.12(c). 
 “Non-Credit Party Investment Amount” shall mean, at any time, an
amount equal to $50,000,000 minus the aggregate amount of all Investments made after the Closing Date in reliance on Section 6.05(iii), Section 6.05(ix)(C) or clause (A) of the second proviso of Section 6.05(xii). 

“Non-Defaulting Lender” shall mean, at any time, each Lender that is not a Defaulting Lender at such time. 

  
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 “Non-Extension Notice Date” shall have the meaning assigned to such term in
Section 2.22(b)(iii). 
 “Non-Recourse Entities” shall mean, collectively, each Non-Recourse Servicer Advance Debt
Entity, each Non-Recourse Warehouse Debt Entity and each Securitization Entity. 
 “Non-Recourse Indebtedness” shall mean,
with respect to any specified Person or any of its Subsidiaries, Indebtedness that is specifically advanced to finance the acquisition of investment assets and secured only by the assets to which such Indebtedness relates without recourse to such
Person or any of its Subsidiaries (other than subject to such customary carve-out matters for which such Person or its Subsidiaries acts as a guarantor in connection with such Indebtedness, such as fraud, misappropriation, breach of representation
and warranty and misapplication, unless, until and for so long as a claim for payment or performance has been made thereunder against such Person (which has not been satisfied) at which time the obligations with respect to any such customary
carve-out shall not be considered Non-Recourse Indebtedness, to the extent that such claim is a liability of such Person for GAAP purposes). 

“Non-Recourse Servicer Advance Debt Entity” shall mean any special purpose bankruptcy remote Restricted Subsidiary of the
Borrower that is exclusively engaged in making Servicing Advances and the incurrence of Permitted Servicing Advance Facility Indebtedness that constitutes Non-Recourse Indebtedness in connection therewith and activities relating directly thereto.

 “Non-Recourse Warehouse Debt Entity” shall mean any special purpose bankruptcy remote Restricted Subsidiary of the
Borrower that is exclusively engaged in the origination of residential mortgage loans and the incurrence of Permitted Warehouse Indebtedness that constitutes Non-Recourse Indebtedness in connection therewith and activities relating directly thereto.

 “Non-Reinstatement Deadline” shall have the meaning assigned to such term in Section 2.22(b)(iv). 

“Non-Wholly Owned Subsidiary” shall mean, as to any Person, each Subsidiary of such Person which is not a Wholly-Owned
Subsidiary of such Person. 
 “Notes” shall mean any promissory notes issued from time to time pursuant to
Section 2.04(e). 
 “Obligations” shall mean all amounts owing to the Administrative Agent, the Collateral Agent, any
Issuing Bank or any Lender pursuant to the terms of this Agreement or any other Credit Document, including, without limitation, all amounts in respect of any principal, premium, interest (including any interest accruing after the commencement of any
bankruptcy, insolvency, receivership or similar proceeding (or which would accrue but for the operation of applicable bankruptcy or insolvency laws) at the rate provided for herein, whether or not such interest is an allowed or allowable claim in
any such proceeding), penalties, fees, expenses, indemnifications, reimbursements (including L/C Disbursements with respect to Letters of Credit), damages and other liabilities, and guarantees of the foregoing amounts. 

  
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 “OFAC” shall have the meaning assigned to such term in Section 3.22(a).

 “Other Hedging Agreements” shall mean any foreign exchange contracts, currency swap agreements, commodity agreements or
other similar arrangements, or arrangements designed to protect against fluctuations in currency values or commodity prices. 

“Other Taxes” shall mean any and all present or future stamp or documentary taxes, mortgage recording taxes or any other
similar excise or property taxes, charges or levies arising from any payment made under any Credit Document or from the execution, delivery or enforcement of, or otherwise with respect to, any Credit Document, except any such Taxes that are
Connection Taxes imposed with respect to any assignment (other than an assignment made pursuant to Section 2.21). 

“PBGC” shall mean the Pension Benefit Guaranty Corporation established pursuant to Section 4002 of ERISA, or any
successor thereto. 
 “Permitted Acquisition” shall have the meaning assigned to such term in Section 6.05(xii). 

“Permitted Encumbrance” shall mean, with respect to any Mortgaged Property, such exceptions to title as are set forth in the
Mortgage Policy delivered with respect thereto, all of which exceptions must be acceptable to the Administrative Agent in its reasonable discretion. 

“Permitted Equity Issuance” shall mean any sale or issuance of any Qualified Equity Interests of the Borrower or a cash
capital contribution to the Borrower in respect of its common Equity Interests. 
 “Permitted External Refinancing Debt”
shall mean any Indebtedness incurred by the Borrower in the form of one or more series of unsecured or junior lien loans or unsecured or pari passu or junior secured notes to refinance all or a portion of any existing Class of Term Loans;
provided that (i) the final maturity date of any such Indebtedness shall be no earlier than 91 days following the Latest Maturity Date, (ii) such Indebtedness shall not have a Weighted Average Life to Maturity that is shorter than
the Weighted Average Life to Maturity of the Term Loans being refinanced, (iii) in the case of loans, such Indebtedness shall not provide for any prepayment or amortization terms that are more favorable to the lenders providing such
Indebtedness than the corresponding provisions of the Term Loans being refinanced, (iv) in the case of notes, such Indebtedness shall not provide for any scheduled repayment, mandatory redemption, sinking fund obligations or other payment
(other than periodic interest payments) prior to the date that is 91 days following the Latest Maturity Date, other than customary offers to purchase upon a change of control, asset sale or casualty or condemnation event and customary acceleration
rights upon an event of default, (v) such Indebtedness shall be unsecured or may either (A) solely in the case of notes, be secured by the Collateral on a pari passu basis 

  
 35 

 
(but without regard to the control of remedies) with the Obligations, and a Senior Representative acting on behalf of the holders of such Indebtedness shall have become party to a first lien
intercreditor or collateral trust agreement reasonably satisfactory to the Administrative Agent reflecting the pari passu status of the Liens securing such Indebtedness or (B) be secured by the Collateral on a junior, subordinated lien
basis (including with respect to the control of remedies) to the Obligations, and a Senior Representative acting on behalf of the holders of such Indebtedness shall have become party to or otherwise subject to the provisions of a junior lien
intercreditor agreement or collateral trust agreement reasonably satisfactory to the Administrative Agent reflecting the second (or more junior) lien status of the Liens securing such Indebtedness, (vi) if such Indebtedness is secured, such
Indebtedness shall not be secured by any property or assets of the Borrower or any Restricted Subsidiary other than Collateral and the collateral documents shall be substantially the same as the applicable Security Documents (with such changes,
including, if applicable, to reflect the junior lien nature thereof and any changes customarily requested by an indenture trustee, as are reasonably satisfactory to the Administrative Agent), (vii) no Person, other than a Credit Party, shall be
an obligor or guarantor in respect of such Indebtedness, (viii) the other terms and conditions of such Indebtedness (excluding pricing, premiums and optional prepayment or redemption terms) are no more favorable (taken as a whole), as
reasonably determined by the Borrower, to the investors providing such Indebtedness than those applicable to the Term Loans being refinanced (except for covenants or other provisions applicable only to periods after the Latest Maturity Date),
(ix) the principal amount (or accreted value, if applicable) of such Indebtedness shall not exceed the principal amount (or accreted value, if applicable) of the Term Loans being refinanced except by an amount equal to any interest capitalized
in connection with, any premium or other reasonable amount paid, and fees and expenses reasonably incurred, in connection with such refinancing and (x) substantially concurrently with the incurrence or issuance of such Indebtedness, 100% of the
net cash proceeds thereof shall be applied to repay the refinanced Term Loans, including accrued interest, fees, costs and expenses relating thereto. Permitted External Refinancing Debt shall include any Registered Equivalent Notes issued in
exchange therefor. 
 “Permitted Funding Indebtedness ” shall mean (i) any Permitted Servicing Advance Facility
Indebtedness, (ii) any Permitted Warehouse Indebtedness, (iii) any Permitted Residual Indebtedness, (iv) any Permitted MSR Indebtedness, (v) any Indebtedness of the type set forth in clauses (i) – (iv) of this
definition that is acquired by the Borrower or any Restricted Subsidiary in connection with a Permitted Acquisition or Servicing Acquisition, (vi) any facility that combines any Indebtedness under clauses (i), (ii), (iii), (iv) or
(v) of this definition and (vii) any Permitted Refinancing of the Indebtedness under clauses (i), (ii), (iii), (iv), (v) or (vi) of this definition and advanced to the Borrower or any Restricted Subsidiary based upon, and secured
by, Servicing Advances (and/or reimbursement rights therefor), mortgage related securities, loans, MSRs, consumer receivables, REO Assets or Residual Interests; provided , however, that the excess (determined as of the most recent date for
which internal financial statements are available), if any, of (x) the amount of any Indebtedness incurred in accordance with this clause (vii) for which the holder thereof has contractual recourse to the Borrower or any Restricted
Subsidiary to satisfy claims with respect thereto (excluding customary carve-out matters such as fraud, misappropriation, breaches of representations and warranties and misapplication) over (y)

  
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the aggregate (without duplication of amounts) Realizable Value of the assets that secure such Indebtedness shall not be Permitted Funding Indebtedness (but shall not be deemed to be a new
incurrence, assumption, or sufferance or permission to exist of Indebtedness subject to Section 6.04 except with respect to, and solely to the extent of, any such excess that exists upon the initial incurrence of such Indebtedness incurred
under this clause (vii)). 
 “Permitted Funds” shall mean, collectively, (i) SerVertis Fund I L.P., a Delaware limited
partnership, (ii) SerVertis Master Fund I L.P., an exempted limited partnership registered under the Exempted Limited Partnership Law (Revised) of the Cayman Islands, (iii) SerVertis Fund I Ltd., an exempted company incorporated and
existing under the laws of the Cayman Islands, (iv) SerVertis REO LLC, a Delaware limited liability company, (v) SerVertis Depositor, LLC, a Delaware limited liability company, (vi) SerVertis SPV Holdings, LLC, a Delaware limited
liability company, (vii) SerVertis Grantor Trust Holdings, LLC, a Delaware limited liability company, (viii) SerVertis GP, LLC, a Delaware limited liability company, (ix) any trust or similar Person, the beneficial interests of which
are owned by the entities described in (i) – (viii) of this definition, (x) any Person electing to be treated as a real estate investment trust under the Code or any fund (or group of related funds) (which, in each case, may be
managed by the Borrower or any Restricted Subsidiary) that has as its primary investment objective (a) the origination or acquisition of Residential Mortgage Loans (performing or non-performing) or interests therein, including mortgage backed
securities and/or (b) the acquisition and/or origination of MSR or interest therein (including excess servicing fee spread) and (xi) any similarly structured Affiliate or Subsidiary of any of the foregoing. 

“Permitted Incremental Equivalent Debt” shall mean any Indebtedness incurred by the Borrower in the form of one or more
series of unsecured or junior lien loans or unsecured or secured notes; provided that (i) the final maturity date of any such Indebtedness shall be no earlier than 180 days following the Latest Maturity Date, (ii) in the case of
loans, such Indebtedness shall not provide for any prepayment or amortization terms that are more favorable to the lenders providing such Indebtedness than the corresponding provisions hereof, (iii) in the case of notes, such Indebtedness shall
not provide for any scheduled repayment, mandatory redemption, sinking fund obligations or other payment (other than periodic interest payments) prior to the date that is 180 days following the Latest Maturity Date, other than customary offers to
purchase upon a change of control, asset sale or casualty or condemnation event and customary acceleration rights upon an event of default, (iv) such Indebtedness shall be unsecured or may either (A) solely in the case of notes, be secured
by the Collateral on a pari passu basis (but without regard to the control of remedies) with the Obligations, and a Senior Representative acting on behalf of the holders of such Indebtedness shall have become party to a first lien
intercreditor or collateral trust agreement reasonably satisfactory to the Administrative Agent reflecting the pari passu status of the Liens securing such Indebtedness or (B) be secured by the Collateral on a junior, subordinated lien
basis (including with respect to the control of remedies) to the Obligations, and a Senior Representative acting on behalf of the holders of such Indebtedness shall have become party to or otherwise subject to the provisions of a junior lien
intercreditor agreement or collateral trust agreement reasonably satisfactory to the Administrative Agent reflecting the second (or more junior) lien status of the Liens securing such Indebtedness, (v) if such Indebtedness is secured, such
Indebtedness shall not be secured by any 

  
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property or assets of the Borrower or any Restricted Subsidiary other than Collateral and the collateral documents shall be substantially the same as the applicable Security Documents (with such
changes, including, if applicable, to reflect the junior lien nature thereof and any changes customarily requested by an indenture trustee, as are reasonably satisfactory to the Administrative Agent), (vi) no Person, other than a Credit Party,
shall be an obligor or guarantor in respect of such Indebtedness and (vii) the covenants and events of default of such Indebtedness, taken as a whole, shall not be more restrictive on the Credit Parties than the covenants and events of default
hereof (as reasonably determined by the Borrower), except for covenants and events of default applicable only to periods after the Latest Maturity Date. Permitted Incremental Equivalent Debt shall include any Registered Equivalent Notes issued in
exchange therefor. 
 “Permitted Liens” shall have the meaning assigned to such term in Section 6.01. 

“Permitted MSR Indebtedness” shall mean MSR Indebtedness; provided that the excess (determined as of the most recent
date for which internal financial statements are available), if any, of (x) the amount of any such MSR Indebtedness for which the holder thereof has contractual recourse to the Borrower or any Restricted Subsidiary to satisfy claims with
respect to such MSR Indebtedness (excluding pursuant to customary carve-out matters such as fraud, misappropriation, breaches of representations and warranties and misapplication) over (y) the aggregate (without duplication of amounts)
Realizable Value of the assets that secure such MSR Indebtedness shall not be Permitted MSR Indebtedness (but shall not be deemed to be a new incurrence, assumption, or sufferance or permission to exist, of Indebtedness subject to Section 6.04
except with respect to, and solely to the extent of, any such excess that exists upon the initial incurrence of such Indebtedness). The amount of any particular Permitted MSR Indebtedness as of any date of determination shall be calculated in
accordance with GAAP. 
 “Permitted Refinancing” shall mean any Indebtedness (the “refinancing
Indebtedness”) issued in exchange for, or the net proceeds of which are used to refinance, renew, replace, defease, discharge or refund, other Indebtedness (the “refinanced Indebtedness”); provided that: 

(a) the principal amount of such refinancing Indebtedness does not exceed the principal amount of the refinanced Indebtedness (plus all
accrued interest thereon and the amount of all reasonable fees, expenses and premiums incurred in connection with such exchange, refinancing, renewal, replacement, defeasance, discharge or refunding); 

(b) such refinancing Indebtedness has a final maturity date later than the final maturity date of, and has a Weighted Average Life to Maturity
equal to or greater than the Weighted Average Life to Maturity of, the refinanced Indebtedness; 
 (c) the terms of such refinancing
Indebtedness (including as to collateral), taken as a whole (as reasonably determined by the Borrower), are not more restrictive to the Credit Parties than the refinanced Indebtedness (other than with respect to interest rates, fees, premiums and no
call periods); 

  
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 (d) no person, other than a Credit Party, shall be an obligor in respect of such refinancing
Indebtedness; 
 (e) if the refinanced Indebtedness is subordinated in right of payment or in lien priority to the Obligations, the
refinancing Indebtedness shall be subordinated in right of payment or in lien priority, as applicable, to the Obligations on terms at least as favorable to the Lenders as those contained in the documentation governing the refinanced Indebtedness;
and 
 (f) no Default or Event shall have occurred and be continuing at the time of such exchange, refinancing, renewal, replacement,
defeasance, discharge or refunding. 
 “Permitted Residual Indebtedness” shall mean any Indebtedness of the Borrower or any
Restricted Subsidiary under a Residual Funding Facility; provided that the excess (determined as of the most recent date for which internal financial statements are available), if any of (x) the amount of any such Permitted Residual
Indebtedness for which the holder thereof has contractual recourse to the Borrower or any Restricted Subsidiary to satisfy claims with respect to such Permitted Residual Indebtedness (excluding pursuant to customary carve-out matters such as fraud,
misappropriation, breaches of representations and warranties and misapplication) over (y) the aggregate (without duplication of amounts) Realizable Value of the assets that secure such Permitted Residual Indebtedness shall be deemed not to be
Permitted Residual Indebtedness (but shall not be deemed to be a new incurrence, assumption, or sufferance or permission to exist of Indebtedness subject to Section 6.04 except with respect to, and solely to the extent of, any such excess that
exists upon the initial incurrence of such Indebtedness). 
 “Permitted Securitization Indebtedness ” shall mean
Securitization Indebtedness; provided that (i) in connection with any Securitization, any Warehouse Indebtedness or MSR Indebtedness used to finance the purchase or origination of any receivables subject to such Securitization is repaid
in connection with such Securitization to the extent of the net proceeds received by the Borrower and its Restricted Subsidiaries from the applicable Securitization Entity and (ii) the excess (determined as of the most recent date for which
internal financial statements are available), if any, of (x) the amount of any such Securitization Indebtedness for which the holder thereof has contractual recourse to the Borrower or any Restricted Subsidiary to satisfy claims with respect to
such Securitization Indebtedness (excluding pursuant to customary carve-out matters such as fraud, misappropriation, breaches of representations and warranties and misapplication) over (y) the aggregate (without duplication of amounts)
Realizable Value of the assets that secure such Securitization Indebtedness shall not be Permitted Securitization Indebtedness (but shall not be deemed to be a new incurrence, assumption or sufferance or permission to exist of Indebtedness subject
to Section 6.04 except with respect to, and solely to the extent of, any such excess that exists upon the initial incurrence of such Indebtedness). 

“Permitted Servicing Advance Facility Indebtedness” shall mean any Indebtedness of the Borrower or any Restricted Subsidiary
incurred under a Servicing Advance Facility; provided, however, that the excess (determined as of the most recent date for which internal financial statements are available), if any of (x) the amount of any such Permitted Servicing
Advance 

  
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Facility Indebtedness for which the holder thereof has contractual recourse to the Borrower or any Restricted Subsidiary to satisfy claims with respect to such Permitted Servicing Advance
Facility Indebtedness (excluding pursuant to customary carve-out matters such as fraud, misappropriation, breaches of representations and warranties and misapplication) over (y) the aggregate (without duplication of amounts) Realizable Value of
the assets that secure such Permitted Servicing Advance Facility Indebtedness shall not be Permitted Servicing Advance Facility Indebtedness (but shall not be deemed to be a new incurrence, assumption or sufferance or permission to exist of
Indebtedness subject to Section 6.04 except with respect to, and solely to the extent of, any such excess that exists upon the initial incurrence of such Indebtedness). 

“Permitted Warehouse Indebtedness” shall mean Warehouse Indebtedness; provided that the excess (determined as of the
most recent date for which internal financial statements are available), if any, of (x) the amount of any such Warehouse Indebtedness for which the holder thereof has contractual recourse to the Borrower or any Restricted Subsidiary to satisfy
claims with respect to such Warehouse Indebtedness (excluding pursuant to customary carve-out matters such as fraud, misappropriation, breaches of representations and warranties and misapplication) over (y) the aggregate (without duplication of
amounts) Realizable Value of the assets that secure such Warehouse Indebtedness shall not be Permitted Warehouse Indebtedness (but shall not be deemed to be a new incurrence, assumption, or sufferance or permission to exist of Indebtedness subject
to Section 6.04 except with respect to, and solely to the extent of, any such excess that exists upon the initial incurrence of such Indebtedness). The amount of any particular Permitted Warehouse Indebtedness as of any date of determination
shall be calculated in accordance with GAAP. 
 “Person” shall mean any individual, partnership, joint venture, firm,
corporation, association, limited liability company, trust or other enterprise or any Governmental Authority. 
 “Plan”
shall mean any employee pension benefit plan (other than a Multiemployer Plan) subject to the provisions of Title IV of ERISA or Section 412 of the Code or Section 302 of ERISA, and in respect of which the Borrower or any ERISA Affiliate
is (or, if such plan were terminated, would under Section 4069 of ERISA be deemed to be) an “employer” as defined in Section 3(5) of ERISA. 

“Platform” shall have the meaning assigned to such term in Section 9.01. 

“Pledge Agreement” shall mean the Pledge Agreement dated as of November 28, 2012 among each of the pledgors from time to
time party thereto and Credit Suisse AG, as collateral agent. 
 “Pledge Agreement Collateral” shall mean all
“Collateral” as defined in the Pledge Agreement. 
 “Pledgee” shall have the meaning assigned to such term in the
Pledge Agreement. 

  
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 “Preferred Equity”, as applied to the Equity Interests of any Person, means
Equity Interests of such Person (other than common Equity Interests of such Person) of any class or classes (however designed) that ranks prior, as to the payment of dividends or as to the distribution of assets upon any voluntary or involuntary
liquidation, dissolution or winding up of such Person, to shares of Equity Interests of any other class of such Person. 
 “Prime
Rate” shall mean the rate of interest per annum determined from time to time by Credit Suisse AG as its prime rate in effect at its principal office in New York City and notified to the Borrower. The prime rate is a rate set by Credit
Suisse AG based upon various factors including Credit Suisse AG’s costs and desired return, general economic conditions and other factors, and is used as a reference point for pricing some loans, which may be priced at, above, or below such
rate. 
 “Pro Forma Basis” shall mean, in connection with any calculation of compliance with any financial covenant or
financial term, the calculation thereof after giving effect on a pro forma basis to (without duplication) (x) the incurrence, assumption, guarantee, redemption, repayment, retirement or extinguishment of any Indebtedness (other than
(A) revolving Indebtedness, except, in the case of an incurrence, assumption or guarantee, to the extent same is incurred, assumed or guaranteed to refinance other outstanding Indebtedness or to finance a Permitted Acquisition, any purchase of
MSRs, Servicing Advances or servicing rights permitted hereunder or a transaction permitted hereunder that utilizes the Available Amount or, in the case of a redemption, repayment, retirement or extinguishment, to the extent all commitments under
such revolving Indebtedness are permanently and correspondingly terminated, and (B) any Permitted MSR Indebtedness) after the first day of the relevant Calculation Period or Test Period, as the case may be, as if such Indebtedness had been
incurred, assumed, guaranteed, redeemed, repaid, retired or extinguished (and the proceeds thereof applied) on the first day of such Test Period or Calculation Period, as the case may be) and (y) any Permitted Acquisition, any purchase of MSRs,
Servicing Advances or servicing rights permitted hereunder, entry into a bona fide subservicing agreement in respect of MSRs or any Significant Asset Sale then being consummated (each, a “Subject Transaction”) as well as any other
Subject Transaction if consummated after the first day of the relevant Test Period or Calculation Period, as the case may be, and on or prior to the date of the respective Subject Transaction then being effected, as if each such transaction had been
effected on the first day of such Test Period or Calculation Period, as the case may be with the following rules to apply in connection therewith: 

(i) all Indebtedness (x) (other than revolving Indebtedness, except to the extent same is incurred, assumed or guaranteed
to refinance other outstanding Indebtedness or to finance a Permitted Acquisition, any purchase of MSRs, Servicing Advances or servicing rights permitted hereunder or a transaction permitted hereunder that utilizes the Available Amount, and other
than Permitted MSR Indebtedness) incurred, assumed or guaranteed after the first day of the relevant Test Period or Calculation Period (whether incurred, assumed or guaranteed to finance a Permitted Acquisition, any purchase of MSRs, Servicing
Advances or servicing rights permitted hereunder, to refinance Indebtedness or otherwise) shall be deemed to have been incurred, assumed or guaranteed (and the proceeds thereof applied) on the first day of such Test Period or

  
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Calculation Period, as the case may be, and remain outstanding through the date of determination and (y) (other than revolving Indebtedness, except to the extent accompanied by a
corresponding permanent commitment reduction) permanently redeemed, repaid, retired or extinguished after the first day of the relevant Test Period or Calculation Period, as the case may be, shall be deemed to have been retired or redeemed on the
first day of such Test Period or Calculation Period, as the case may be, and remain redeemed, repaid, retired or extinguished through the date of determination; 

(ii) all Indebtedness assumed to be outstanding pursuant to preceding clause (i) shall be deemed to have borne interest at
(x) the rate applicable thereto, in the case of fixed rate indebtedness or (y) the rates which would have been applicable thereto during the respective period when same was deemed outstanding, in the case of floating rate Indebtedness
(although interest expense with respect to any Indebtedness for periods while same was actually outstanding during the respective period shall be calculated using the actual rates applicable thereto while same was actually outstanding);
provided that all Indebtedness (whether actually outstanding or deemed outstanding) bearing interest at a floating rate of interest shall be tested on the basis of the rates applicable at the time the determination is made pursuant to said
provisions; and 
 (iii) whenever pro forma effect is given to any Subject Transaction, the pro forma calculations shall be
made in good faith by an Authorized Officer of the Borrower and, except as set forth in the next sentence, in a manner consistent with Article 11 of Regulation S-X of the Securities Act, as set forth in a certificate of an Authorized Officer of the
Borrower (with supporting calculations) delivered to the Administrative Agent. In addition to any adjustments consistent with Regulation S-X, such certificate may set forth additional pro forma adjustments arising out of factually supportable and
identifiable cost savings or business optimization initiatives (including cost saving synergies) attributable to any such transaction (net of any additional costs associated with such transaction) and expected in good faith to be realized within 12
months following such transaction, including, but not limited to, (w) reduction in personnel expenses, (x) reduction of costs related to administrative functions, (y) reductions of costs related to leased or owned properties and
(z) reductions from the consolidation of operations and streamlining of corporate overhead (taking into account, for purposes of determining such calculation, any historical financial statements of the business or entities acquired or disposed
of, assuming such transaction and all other such transaction that have been consummated since the beginning of such period, and any Indebtedness or other liabilities repaid or incurred in connection therewith had been consummated and incurred or
repaid at the beginning of such period); provided, that, unless the Administrative Agent shall otherwise agree in its reasonable discretion, the aggregate amount of adjustments made pursuant to this sentence shall at no time exceed 10% of
Consolidated EBITDA prior to giving pro forma effect thereto. 
 “Pro Rata Percentage” of any Revolving Credit Lender at
any time shall mean the percentage of the Total Revolving Credit Commitment represented by such Lender’s Revolving Credit Commitment. In the event the Revolving Credit Commitments shall have expired or been terminated, the Pro Rata Percentages
shall be determined on the basis of the Revolving Credit Commitments most recently in effect, giving effect to any subsequent assignments. 

  
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 “Property” shall mean the Real Property, including the improvements thereon, or
the personal property (tangible and intangible), in either case which are encumbered pursuant to a Securitization Assets. 
 “Public
Lender” shall have the meaning assigned to such term in Section 9.01. 
 “Qualified Equity Interests” shall
mean any Equity Interests of the Borrower so long as the terms of any such Equity Interests (or the terms of any security into which it is convertible or for which it is exchangeable) (a) do not contain any maturity, mandatory put, redemption,
repayment, sinking fund or other similar provision (whether as a result of an asset sale, change of control or otherwise), (b) do not require the payment of dividends or distributions that would otherwise be prohibited by the terms of this
Agreement and (c) do not provide that such Equity Interests are or will become convertible into or exchangeable for Indebtedness or any other Equity Interests (other than Qualified Equity Interests), in each case of (a), (b) and
(c) before the date that is one year after the Latest Maturity Date. 
 “Reaffirmation Agreement” shall mean a
Reaffirmation Agreement executed by each Credit Party on the Closing Date in favor of the Administrative Agent and the Lenders, substantially in the form of Exhibit B. 

“Real Property” of any Person shall mean all the right, title and interest of such Person in and to land, improvements and
fixtures, including Leaseholds. 
 “Realizable Value” of an asset shall mean (i) with respect to any REO Asset, the
value realizable upon the disposition of such asset as determined by the Borrower in its reasonable discretion and consistent with customary industry practice and (ii) with respect to any other asset, the lesser of (x) if applicable, the
face value of such asset and (y) the market value of such asset as determined by the Borrower in accordance with the agreement governing the applicable Permitted Servicing Advance Facility Indebtedness, Permitted Warehouse Indebtedness,
Permitted MSR Indebtedness or Permitted Residual Indebtedness, as the case may be (or, if such agreement does not contain any related provision, as determined by senior management of the Borrower in good faith); provided, however, that the
realizable value of any asset described in clause (i) or (ii) above which an unaffiliated third party has a binding contractual commitment to purchase from the Borrower or any Restricted Subsidiaries shall be the minimum price payable to
the Borrower or such Restricted Subsidiary for such asset pursuant to such contractual commitment. 
 “Recovery Event”
shall mean the receipt by the Borrower or any Restricted Subsidiary of any cash insurance proceeds or condemnation awards payable (i) by reason of theft, loss, physical destruction, damage, taking or any other similar event with respect to any
property or assets of the Borrower or any Restricted Subsidiary or (ii) under any policy of insurance required to be maintained under Section 5.03 (excluding, for the avoidance of doubt, business interruption insurance). 

  
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 “Refinanced Term Loans” shall have the meaning assigned to such term in
Section 2.27. 
 “Refinancing Term Loan Commitment” shall mean the commitment of any Lender, established pursuant to
Section 2.27, to make Refinancing Term Loans to the Borrower. 
 “Refinancing Term Loan Lender” shall mean a Lender
with a Refinancing Term Loan Commitment or an outstanding Refinancing Term Loan. 
 “Refinancing Term Loans” shall mean one
or more new Classes of Term Loans that result from an Additional Credit Extension Amendment in accordance with Section 2.27. 

“Register” shall have the meaning assigned to such term in Section 9.04(d). 

“Registered Equivalent Notes” shall mean, with respect to any note originally issued in a Rule 144A or other private
placement transaction under the Securities Act, substantially identical notes (having the same guarantees) issued in a dollar-for-dollar exchange therefore pursuant to an exchange offer registered with the SEC. 

“Regulation D” shall mean Regulation D of the Board of Governors of the Federal Reserve System as from time to time in effect
and any successor to all or a portion thereof establishing reserve requirements. 
 “Regulation T” shall mean Regulation T
of the Board of Governors of the Federal Reserve System as from time to time in effect and any successor to all or a portion thereof. 

“Regulation U” shall mean Regulation U of the Board of Governors of the Federal Reserve System as from time to time in effect
and any successor to all or a portion thereof. 
 “Regulation X” shall mean Regulation X of the Board of Governors of the
Federal Reserve System as from time to time in effect and any successor to all or a portion thereof. 
 “Regulatory Supervising
Organization” shall mean any of (a) the SEC, (b) FINRA, (c) the New York Stock Exchange, (d) state securities commissions and (e) any other U.S. or foreign governmental or self-regulatory organization, exchange,
clearing house or financial regulatory authority of which the Borrower or any Restricted Subsidiary is a member or to whose rules it is subject. 

“REIT Subsidiary” shall mean a Restricted Subsidiary that is intended by the Borrower to qualify as a real estate investment
trust under the Code. 
 “Related Fund” shall mean, with respect to any Lender that is a fund or commingled investment
vehicle that invests in bank loans, any other fund that invests in bank loans and is managed or advised by the same investment advisor as such Lender or by an Affiliate of such investment advisor. 

  
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 “Related Parties” shall mean, with respect to any specified Person, such
Person’s Affiliates and the respective directors, trustees, officers, employees, agents, representatives and advisors of such Person and such Person’s Affiliates. 

“Release” shall mean actively or passively disposing, discharging, injecting, spilling, pumping, leaking, leaching, dumping,
emitting, escaping, emptying, pouring, seeping, migrating or the like, into or upon any land or water or air, or otherwise entering into the environment. 

“REO Assets” of a Person shall mean any real property owned by such Person and acquired as a result of the foreclosure or
other enforcement of a lien on such asset securing a loan, Servicing Advance or other mortgage-related receivables. 
 “Repayment
Date” shall have the meaning given such term in Section 2.11(a). 
 “Reportable Event” shall mean an event
described in Section 4043(c) of ERISA with respect to a Plan that is subject to Title IV of ERISA other than those events as to which the 30-day notice period is waived. 

“Repricing Transaction” shall mean the prepayment, refinancing, substitution or replacement of all or any portion of the
Tranche B Term Loans concurrently with the incurrence by the Borrower or any of its Subsidiaries of any Indebtedness (including, for the avoidance of doubt, Indebtedness incurred pursuant to Section 2.26 or 2.27) having a lower All-in Yield
than, or any amendment (including, for the avoidance of doubt, any Additional Credit Extension Amendment) that has the effect of reducing the All-in Yield then applicable to, the Tranche B Term Loans (including any mandatory assignment in connection
therewith), but excluding a prepayment, refinancing, substitution or replacement in connection with a Change of Control. 

“Required Lenders” shall mean, at any time, Lenders having Loans, L/C Exposure, and unused Revolving Credit Commitments and
Term Loan Commitments representing more than 50% of the sum of all Loans outstanding, L/C Exposure, and unused Revolving Credit Commitments and Term Loan Commitments at such time; provided that “Required Lenders” shall exclude the
Term Lenders (in their capacities as such) and shall be determined without giving effect to outstanding Term Loans, in each case solely in connection with any amendment, waiver, consent or approval with respect to (i) Section 4.01 for
extensions of credit under the Revolving Credit Facility, (ii) any Financial Covenant or any Financial Covenant Default, (iii) any extension of the maturity date for the Revolving Credit Facility, (iv) the termination of the Revolving
Credit Commitments, any acceleration of Revolving Loans and any requirement to Cash Collateralize the L/C Exposure, (v) interest rates or fees payable in connection with the Revolving Credit Facility, (vi) any provision of Article 2
relating to payments required to be made (including any Cash Collateral required to be provided) by the Borrower or any of its Subsidiaries solely with respect to the Revolving Credit Facility and (vii) any provision requiring that any payments
be made or shared on a pro rata basis solely between or among Revolving 

  
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Credit Lenders. The Revolving Loans, L/C Exposure, and unused Revolving Credit Commitments and Term Loan Commitments of any Defaulting Lender shall be disregarded in the determination of the
Required Lenders at any time. 
 “Required Revolving Credit Lenders” shall mean, at any time, Lenders having Revolving
Loans, L/C Exposure and unused Revolving Credit Commitments representing more than 50% of the sum of all Revolving Loans outstanding, L/C Exposure and unused Revolving Credit Commitments at such time. The Revolving Loans, L/C Exposure, and unused
Revolving Credit Commitments of any Defaulting Lender shall be disregarded in the determination of the Required Revolving Credit Lenders at any time. 

“Residential Mortgage Loan” shall mean any residential mortgage loan, manufactured housing installment sale contract and loan
agreement, home equity loan, home improvement loan, consumer installment sale contract or similar loan evidenced by a Residential Mortgage Note, and any installment sale contract, loan contract or chattel paper. 

“Residential Mortgage Note” shall mean a promissory note, bond or similar instrument evidencing indebtedness of an obligor
under a Residential Mortgage Loan, including, without limitation, all related security interests and any and all rights to receive payments due thereunder. 

“Residual Funding Facility” shall mean any funding arrangement with a financial institution or institutions or other lenders
or purchasers under which advances are made to the Borrower or any Restricted Subsidiary secured by Residual Interests. 
 “Residual
Interests” shall mean any residual, subordinated, reserve accounts and retained ownership interest held by the Borrower or a Restricted Subsidiary in Securitization Assets, Securitization Entities, Warehouse Facility Trusts and/or MSR
Facility Trusts, regardless of whether required to appear on the face of consolidated financial statements in accordance with GAAP. 

“Restricted” shall mean, when referring to cash or Cash Equivalents of the Borrower or any Restricted Subsidiary, that such
cash or Cash Equivalents (i) appears (or would be required to appear) as “restricted” on a consolidated balance sheet of the Borrower or of any such Restricted Subsidiary (unless such appearance is related to Liens on the Collateral
securing Indebtedness permitted hereunder to be secured by Liens on the Collateral), (ii) are subject to any Lien in favor of any Person other than the Collateral Agent for the benefit of the Secured Creditors and Liens securing Permitted
External Refinancing Debt or Permitted Incremental Equivalent Debt or (iii) are not otherwise generally available for use by the Borrower or such Restricted Subsidiary. 

“Restricted Subsidiary” shall mean a Subsidiary other than an Unrestricted Subsidiary. 

“Returns” shall have the meaning assigned to such term in Section 3.09. 

“Revolving Credit Borrowing” shall mean a Borrowing comprised of Revolving Loans. 

  
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 “Revolving Credit Commitment” shall mean, with respect to each Lender, the
commitment of such Lender to make Revolving Loans hereunder (and to acquire participations in Letters of Credit as provided for herein) as set forth on Schedule 1.01(a), or in the Assignment and Acceptance pursuant to which such Lender assumed its
Revolving Credit Commitment, as applicable, as the same may be (a) reduced from time to time pursuant to Section 2.09 and (b) reduced or increased from time to time pursuant to assignments by or to such Lender pursuant to
Section 9.04. 
 “Revolving Credit Exposure” shall mean, with respect to any Lender at any time, the aggregate
principal amount at such time of all outstanding Revolving Loans of such Lender, plus the aggregate amount at such time of such Lender’s L/C Exposure. 

“Revolving Credit Facility” shall mean the Revolving Credit Commitments and the extensions of credit made thereunder. 

“Revolving Credit Lender” shall mean a Lender with a Revolving Credit Commitment or an outstanding Revolving Loan. 

“Revolving Credit Maturity Date” shall mean the day that is five years after the Closing Date; provided that if such
day is not a Business Day, the Revolving Credit Maturity Date shall be the immediately preceding Business Day. 
 “Revolving
Loans” shall mean the revolving loans made by the Lenders to the Borrower pursuant to Section 2.01(b). 

“S&P” shall mean Standard & Poor’s Ratings Service, or any successor thereto. 

“SEC” shall have the meaning assigned to such term in Section 5.01(h). 

“Secured Creditors” shall have the meaning assigned that term in the respective Security Documents. 

“Securities Act” shall mean the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

 “Securitization” shall mean a public or private transfer, sale or financing of (i) Servicing Advances,
(ii) mortgage loans, (iii) installment contracts and/or (iv) other loans and related assets (clauses (i) – (iv) above, collectively, the “Securitization Assets”) by which the Borrower or any Restricted
Subsidiary directly or indirectly securitizes a pool of specified Securitization Assets including, without limitation, any such transaction involving the sale of specified Servicing Advances or mortgage loans to a Securitization Entity or a
Government Sponsored Entity (including a Securitization Entity established by such Government Sponsored Entity). 
 “Securitization
Assets” has the meaning specified in the definition of “Securitization.” 

  
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 “Securitization Entity” shall mean (i) any Person (whether or not a
Restricted Subsidiary of the Borrower) established for the purpose of issuing asset-backed or mortgaged-backed or mortgage pass-through securities of any kind (including collateralized mortgage obligations and net interest margin securities),
(ii) any special purpose Subsidiary established for the purpose of selling, depositing or contributing Securitization Assets into a Person described in clause (i) or holding securities in any related Securitization Entity, regardless of
whether such person is an issuer of securities; provided that such Person is not an obligor with respect to any Indebtedness of the Borrower or any Subsidiary Guarantor and (iii) any special purpose Restricted Subsidiary of the Borrower
formed exclusively for the purpose of satisfying the requirements of Credit Enhancement Agreements and regardless of whether such Restricted Subsidiary is an issuer of securities; provided that such Person is not an obligor with respect to
any Indebtedness of the Borrower or any Subsidiary Guarantor other than under Credit Enhancement Agreements. 
 “Securitization
Indebtedness” shall mean (i) Indebtedness of the Borrower or any Restricted Subsidiary incurred pursuant to on-balance sheet Securitizations and (ii) any Indebtedness consisting of advances made to the Borrower or any Restricted
Subsidiary based upon securities issued by a Securitization Entity pursuant to a Securitization and acquired or retained by the Borrower or any Restricted Subsidiary. 

“Security Agreement” shall mean the Security Agreement, dated as of November 28, 2012, among the Borrower, certain other
Subsidiaries of the Borrower from time to time party thereto and Credit Suisse AG, as collateral agent. 
 “Security Agreement
Collateral” shall mean all “Collateral” as defined in the Security Agreement. 
 “Security Document”
shall mean and include each of the Security Agreement, the Pledge Agreement, each Mortgage and, after the execution and delivery thereof, each Additional Security Document. 

“Senior Representative” shall mean, with respect to any Indebtedness, the trustee, administrative agent, collateral agent,
security agent or similar agent under the indenture or other agreement pursuant to which such Indebtedness is issued, incurred or otherwise obtained, as the case may be, and each of their successors in such capacities. 

“Senior Unsecured Notes” shall mean the 7.875% Senior Unsecured Notes due 2021, issued by the Borrower pursuant to the Senior
Unsecured Notes Indenture and any notes issued by the Borrower in exchange for, and as contemplated by, the Senior Unsecured Notes and the related registration rights agreement with substantially identical terms as the Senior Unsecured Notes. Unless
the context requires otherwise, any reference to the Senior Unsecured Notes shall include any Permitted Refinancing thereof (and any further Permitted Refinancing thereof). 

“Senior Unsecured Notes Documents” shall mean the Senior Unsecured Notes and the Senior Unsecured Notes Indenture. 

  
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 “Senior Unsecured Notes Indenture” shall mean the Indenture dated as of
December 17, 2013, under which the Senior Unsecured Notes were issued, among the Borrower, as issuer, certain of the Subsidiary Guarantors party thereto, as guarantors, and Wells Fargo Bank, National Association, as trustee, and as amended,
restated, supplemented or otherwise modified from time in accordance with the terms hereof. 
 “Servicing Acquisition”
shall mean an acquisition permitted under this Agreement of MSRs, Servicing Advances or servicing rights. 
 “Servicing Advance
Facility” shall mean any funding arrangement with lenders collateralized in whole or in part by Servicing Advances (and/or reimbursement rights therefor) under which advances are made to the Borrower or any Restricted Subsidiaries based on
such collateral. 
 “Servicing Advances” shall mean advances made by the Borrower or any Restricted Subsidiary in its
capacity as servicer of any mortgage-related receivables to fund principal, interest, escrow, foreclosure, insurance, tax or other payments or advances when the borrower on the underlying receivable is delinquent in making payments on such
receivable; to enforce remedies, manage and liquidate REO Assets; or that the Borrower or any Restricted Subsidiary otherwise advances in its capacity as servicer pursuant to any Servicing Agreement. 

“Servicing Agreements” shall mean any servicing agreements (including whole loan servicing agreements for portfolios of whole
mortgage loans), pooling and servicing agreements, interim servicing agreements and other servicing agreements, and any other agreement governing the rights, duties and obligations of either the Borrower or any Restricted Subsidiary, as a servicer,
under such servicing agreements. 
 “Significant Asset Sale” shall mean each Asset Sale (or series of related Asset Sales)
which generates Net Sale Proceeds of at least $2,500,000. 
 “Specified Credit Agreement” shall mean the Credit Agreement
dated as of November 28, 2012 among the Borrower, the lenders party thereto and Credit Suisse AG, as administrative agent and collateral agent (as in effect on the Closing Date). 

“Specified Contingent Liabilities” shall mean those contingent liabilities of Green Tree Servicing LLC existing as of the
Closing Date commonly referred to as the MBIA clean-up call obligation, the Freddie Mac repurchase obligation and the LOC payment amount and related solely to the acquisition by Green Tree Servicing LLC of Green Point Credit, LLC in 2004. 

“SPV” shall have the meaning assigned to such term in Section 9.04(i). 

“Statutory Reserves” shall mean a fraction (expressed as a decimal), the numerator of which is the number one and the
denominator of which is the number one minus the aggregate of the maximum reserve percentages (including any marginal, special, emergency or supplemental reserves) expressed as a decimal established by the Board and any other banking authority,

  
 49 

 
domestic or foreign, to which the Administrative Agent or any Lender (including any branch, Affiliate or other fronting office making or holding a Loan) is subject for Eurocurrency Liabilities
(as defined in Regulation D of the Board). Eurodollar Loans shall be deemed to constitute Eurocurrency Liabilities (as defined in Regulation D of the Board) and to be subject to such reserve requirements without benefit of or credit for proration,
exemptions or offsets that may be available from time to time to any Lender under such Regulation D. Statutory Reserves shall be adjusted automatically on and as of the effective date of any change in any reserve percentage. 

“Subject Transaction” has the meaning specified in the definition of “Pro Forma Basis”. 

“Subsidiaries Guaranty” shall mean the Subsidiaries Guaranty dated as of November 28, 2012 made by the Subsidiary
Guarantors from time to time party thereto in favor of Credit Suisse AG, as Administrative Agent for the benefit of the Secured Creditors (as therein defined). 

“Subsidiary” shall mean, as to any Person, (i) any corporation more than 50% of whose stock of any class or classes
having by the terms thereof ordinary voting power to elect a majority of the directors of such corporation (irrespective of whether or not at the time stock of any class or classes of such corporation shall have or might have voting power by reason
of the happening of any contingency) is at the time owned by such Person and/or one or more Subsidiaries of such Person and (ii) any partnership, limited liability company, association or other entity in which such Person and/or one or more
Subsidiaries of such Person has more than a 50% equity interest at the time. Unless otherwise qualified, all references to a “Subsidiary” or to “Subsidiaries” in this Agreement shall refer to a Subsidiary or Subsidiaries of the
Borrower. 
 “Subsidiary Guarantor” shall mean each Wholly-Owned Domestic Restricted Subsidiary (other than the Excluded
Subsidiaries) (in each case, whether existing on the Closing Date or established, created or acquired after the Closing Date), unless and until such time as the respective Wholly-Owned Domestic Restricted Subsidiary is released from all of its
obligations under the Subsidiaries Guaranty in accordance with the terms and provisions thereof. 
 “Syndication Agent”
shall mean Morgan Stanley Senior Funding, acting in its capacity as syndication agent. 
 “Taxes” shall mean any and all
present or future taxes, levies, imposts, duties, deductions, charges or withholdings imposed by any Governmental Authority. 

“Term Borrowing” shall mean a Borrowing comprised of Term Loans. 

“Term Lender” shall mean a Lender with a Term Loan Commitment or an outstanding Term Loan. 

“Term Loan” shall mean a Tranche B Term Loan, an Incremental Term Loan, a Refinancing Term Loan or an Extended Term Loan, as
applicable. 

  
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 “Term Loan Commitments” shall mean the Tranche B Term Loan Commitments, any
Incremental Term Loan Commitments and any Refinancing Term Loan Commitments. 
 “Test Period” shall mean each period of
four consecutive fiscal quarters of the Borrower then last ended, in each case taken as one accounting period; provided that in the case of determinations of the Total Leverage Ratio, Total Net Leverage Ratio, First Lien Net Leverage Ratio
and the Interest Expense Coverage Ratio pursuant to this Agreement, such further adjustments (if any) as described in the provisos to such definitions contained herein shall be made to the extent applicable. 

“Testing Condition” shall be satisfied at any time if at such time (i) the sum of (x) the aggregate amount of
Revolving Loans outstanding at such time and (y) the aggregate L/C Exposure (other than any portion thereof that has been Cash Collateralized) at such time exceeds (ii) an amount equal to 20% of the aggregate amount of Revolving Credit
Commitments at such time. 
 “Total Leverage Ratio” shall mean, on any date of determination, the ratio of
(x) Consolidated Indebtedness on such date to (y) Consolidated EBITDA for the Test Period most recently ended on or prior to such date; provided that, for purposes of any calculation of the Total Leverage Ratio pursuant to this
Agreement, Consolidated EBITDA shall be determined on a Pro Forma Basis in accordance with the definition of “Pro Forma Basis” contained herein. 

“Total Net Leverage Ratio” shall mean, on any date of determination, the ratio of (x) Consolidated Indebtedness on such
date minus the lesser of (i) the aggregate amount of Unrestricted cash and Cash Equivalents of the Borrower and its Restricted Subsidiaries on such date and (ii) $200,000,000 to (y) Consolidated EBITDA for the Test Period most
recently ended on or prior to such date; provided that, for purposes of any calculation of the Total Net Leverage Ratio pursuant to this Agreement, Consolidated EBITDA shall be determined on a Pro Forma Basis in accordance with the
definition of “Pro Forma Basis” contained herein. 
 “Total Revolving Credit Commitment” shall mean, at
any time, the aggregate amount of the Revolving Credit Commitments, as in effect at such time. The initial Total Revolving Credit Commitment is $125,000,000. 

“Tranche B Term Lender” shall mean each Lender that has a Tranche B Term Loan Commitment or that holds a Tranche B Term Loan.

 “Tranche B Term Loan Commitment” shall mean, with respect to each Lender, the commitment of such Lender to make Tranche
B Term Loans hereunder as set forth on Schedule 1.01(a), or in the Assignment and Acceptance pursuant to which such Lender assumed its Tranche B Term Loan Commitment, as applicable, as the same may be (a) reduced from time to time pursuant to
Section 2.09 and (b) reduced or increased from time to time pursuant to assignments by or to such Lender pursuant to Section 9.04. 

  
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 “Tranche B Term Loan Maturity Date” shall mean the day that is seven years after
the Closing Date; provided that if such day is not a Business Day, the Tranche B Term Loan Maturity Date shall be the immediately preceding Business Day. 

“Tranche B Term Loans” shall mean the term loans made by the Lenders to the Borrower pursuant to Section 2.01(a). The
aggregate outstanding principal amount of the Tranche B Term Loans as of the Closing Date is $1,500,000,000. 

“Transactions” shall mean, collectively, (a) the execution, delivery and performance by the Credit Parties of the Credit
Documents to which they are a party and the making of the Borrowings hereunder, (b) the repayment of all amounts due or outstanding under or in respect of the Specified Credit Agreement and (c) the payment of related fees and expenses.

 “Type”, when used in respect of any Loan or Borrowing, shall refer to the Rate by reference to which interest on such
Loan or on the Loans comprising such Borrowing is determined. For purposes hereof, the term “Rate” shall mean the Adjusted LIBO Rate and the Alternate Base Rate. 

“UCC” shall mean the Uniform Commercial Code as from time to time in effect in the relevant jurisdiction. 

“Uniform Customs” shall have the meaning assigned to such term in Section 9.07. 

“United States” and “U.S.” shall each mean the United States of America. 

“Unrestricted” shall mean, when referring to cash or Cash Equivalents of the Borrower or any Restricted Subsidiary, that such
cash or Cash Equivalents are not Restricted. 
 “Unrestricted Subsidiary” shall mean (a) each Subsidiary of the
Borrower listed on Schedule 1.01(e), (b) a Subsidiary of the Borrower designated by the Borrower as an Unrestricted Subsidiary pursuant to Section 5.21 subsequent to the Closing Date and (c) a Subsidiary of an Unrestricted Subsidiary.

 “USA PATRIOT Act” shall mean The Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept
and Obstruct Terrorism Act of 2001 (Title III of Pub. L. No. 107-56 (signed into law October 26, 2001)). 
 “Warehouse
Facility” shall mean any financing arrangement of any kind, including, but not limited to, financing arrangements in the form of repurchase facilities, loan agreements, note issuance facilities and commercial paper facilities (excluding in
all cases, Securitizations), with a financial institution or other lender or purchaser exclusively to (i) finance or refinance the purchase or origination by the Borrower or a Restricted Subsidiary of, or provide funding to the Borrower or a
Restricted Subsidiary through the transfer of, loans, mortgage-related securities and other mortgage-related receivables purchased or originated by the Borrower or any Restricted Subsidiary of the Borrower in the ordinary course of business,
(ii) finance the funding of or refinance Servicing Advances; or (iii) finance or refinance the carrying of REO Assets related to loans and other mortgage-related receivables purchased or originated by the Borrower or any Restricted
Subsidiary; provided that such purchase or origination is in the ordinary course of business. 

  
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 “Warehouse Facility Trusts” shall mean any Person (whether or not a Restricted
Subsidiary of the Borrower) established for the purpose of issuing notes or other securities in connection with a Warehouse Facility, which notes and securities are backed by (i) specified loans, mortgage-related securities and other
mortgage-related receivables purchased by, and/or contributed to, such Person from the Borrower or any Restricted Subsidiary; (ii) specified Servicing Advances purchased by, and/or contributed to, such Person from the Borrower or any other
Restricted Subsidiary; or (iii) the carrying of REO Assets related to loans and other mortgage-related receivables purchased by, and/or contributed to, such Person or any Restricted Subsidiary. 

“Warehouse Indebtedness” shall mean Indebtedness in connection with a Warehouse Facility; provided that the amount of
any particular Warehouse Indebtedness as of any date of determination shall be calculated in accordance with GAAP. 
 “Weighted
Average Life to Maturity” shall mean, when applied to any Indebtedness at any date, the number of years obtained by dividing: (a) the sum of the products obtained by multiplying (i) the amount of each then remaining installment,
sinking fund, serial maturity or other required payments of principal, including payment at final maturity, in respect thereof, by (ii) the number of years (calculated to the nearest one-twelfth) that will elapse between such date and the
making of such payment; by (b) the then outstanding principal amount of such Indebtedness; provided that for purposes of determining the Weighted Average Life to Maturity of any Indebtedness that is being modified, refinanced, refunded,
renewed, replaced or extended (the “Applicable Indebtedness”), the effects of any prepayments made on such Applicable Indebtedness prior to the date of the applicable modification, refinancing, refunding, renewal, replacement or
extension shall be disregarded. 
 “Withdrawal Liability” shall mean liability to a Multiemployer Plan as a result of a
complete or partial withdrawal by the Borrower or an ERISA Affiliate from such Multiemployer Plan, as such terms are defined in Part I of Subtitle E of Title IV of ERISA. 

“Wholly-Owned Domestic Restricted Subsidiary” shall mean, as to any Person, any Wholly Owned Restricted Subsidiary of such
Person which is a Domestic Subsidiary. 
 “Wholly-Owned Foreign Restricted Subsidiary” shall mean, as to any Person, any
Wholly Owned Restricted Subsidiary of such Person which is a Foreign Subsidiary. 
 “Wholly-Owned Restricted Subsidiary”
shall mean a Wholly Owned Subsidiary of the Borrower that is a Restricted Subsidiary. 
 “Wholly-Owned Subsidiary” shall
mean, as to any Person, (i) any corporation 100% of whose capital stock is at the time owned by such Person and/or one or more Wholly-Owned 

  
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Subsidiaries of such Person, and (ii) any partnership, limited liability company, association, joint venture or other entity in which such Person and/or one or more Wholly-Owned Subsidiaries
of such Person has a 100% equity interest at such time (other than, in the case of a Foreign Subsidiary of the Borrower with respect to the preceding clauses (i) and (ii), director’s qualifying shares and/or other nominal amount of shares
required to be held by Persons other than the Borrower and its Subsidiaries under applicable law). 
 “Yield Differential”
shall have the meaning assigned to such term in Section 2.25(c). 
 Section 1.02. Terms Generally. The definitions in
Section 1.01 shall apply equally to both the singular and plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. The words “include”,
“includes” and “including” shall be deemed to be followed by the phrase “without limitation”. The word “will” shall be construed to have the same meaning and effect as the word “shall”; and the words
“asset” and “property” shall be construed as having the same meaning and effect and to refer to any and all tangible and intangible assets and properties, including cash, securities, accounts and contract rights. All references
herein to Articles, Sections, Exhibits and Schedules shall be deemed references to Articles and Sections of, and Exhibits and Schedules to, this Agreement unless the context shall otherwise require. Except as otherwise expressly provided herein,
(a) any reference in this Agreement to any Credit Document shall mean such document as amended, restated, supplemented or otherwise modified from time to time, in each case, in accordance with the express terms of this Agreement, (b) any
reference to any law shall include all statutory and regulatory provisions consolidating, amending, replacing or interpreting such law and any reference to any law or regulation shall, unless otherwise specified, refer to such law or regulation as
amended, modified or supplemented from time to time and (c) all terms of an accounting or financial nature shall be construed in accordance with GAAP as in effect from time to time; provided, however, that if the Borrower notifies the
Administrative Agent that the Borrower wishes to amend any covenant in Article 6 or any related definition to eliminate the effect of any change in GAAP occurring after the Closing Date on the operation of such covenant (or if the Administrative
Agent notifies the Borrower that the Required Lenders wish to amend Article 6 or any related definition for such purpose), then the Borrower’s compliance with such covenant shall be determined on the basis of GAAP in effect immediately before
the relevant change in GAAP became effective, until either such notice is withdrawn or such covenant is amended in a manner satisfactory to the Borrower and the Required Lenders. Notwithstanding anything to the contrary contained herein, all
financial covenants contained herein or in any other Credit Document shall be calculated without giving effect to any election under Accounting Standards Codification 825-10-25 or 470-20 (or any similar accounting principle) permitting a Person to
value its financial liabilities at the fair value thereof or at any amount other than the outstanding principal amount thereof. Notwithstanding anything to the contrary in this Agreement or any Credit Document, whenever it is necessary to determine
whether a lease is a capital lease or an operating lease, such determination shall be made on the basis of GAAP as in effect on January 1, 2013. 

Section 1.03. Classification of Loans and Borrowings. For purposes of this Agreement, Loans may be classified and referred to by
Class (e.g., a “Revolving Loan”) or by Type (e.g., a 

  
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“Eurodollar Loan”) or by Class and Type (e.g., a “Eurodollar Revolving Loan”). Borrowings also may be classified and referred to by Class (e.g., a
“Revolving Credit Borrowing”) or by Type (e.g., a “Eurodollar Borrowing”) or by Class and Type (e.g., a “Eurodollar Revolving Credit Borrowing”). 

Section 1.04. Designated Senior Indebtedness. The Obligations hereunder are hereby designated by the Borrower as “Designated
Senior Indebtedness” (or similar term) for all purposes of the Convertible Notes, any other subordinated indebtedness of the Borrower or any Restricted Subsidiary and any Permitted Refinancing thereof. 

Section 1.05. Letter of Credit Amounts. Unless otherwise specified herein, the amount of a Letter of Credit at any time shall be
deemed to be the stated amount of such Letter of Credit in effect at such time; provided, however, that with respect to any Letter of Credit that, by its terms or the terms of any Issuer Document related thereto, provides for one or more
automatic increases in the stated amount thereof, the amount of such Letter of Credit shall be deemed to be the maximum stated amount of such Letter of Credit after giving effect to all such increases, whether or not such maximum stated amount is in
effect at such time. 
 ARTICLE 2 

THE CREDITS 

Section 2.01. Commitments. Subject to the terms and conditions and relying upon the representations and warranties herein set
forth, each Lender agrees, severally and not jointly, (a) to make a Tranche B Term Loan to the Borrower on the Closing Date in a principal amount not to exceed its Tranche B Term Loan Commitment, and (b) to make Revolving Loans to the
Borrower, at any time and from time to time after the Closing Date, and until the earlier of the Revolving Credit Maturity Date and the termination of the Revolving Credit Commitment of such Lender in accordance with the terms hereof, in an
aggregate principal amount at any time outstanding that will not result in such Lender’s Revolving Credit Exposure exceeding such Lender’s Revolving Credit Commitment. Within the limits set forth in clause (b) of the preceding
sentence and subject to the terms, conditions and limitations set forth herein, the Borrower may borrow, pay or prepay and reborrow Revolving Loans. Amounts paid or prepaid in respect of Tranche B Term Loans may not be reborrowed. 

Section 2.02. Loans. (a) Each Loan shall be made as part of a Borrowing consisting of Loans made by the Lenders ratably in
accordance with their applicable Commitments; provided, however, that the failure of any Lender to make any Loan shall not in itself relieve any other Lender of its obligation to lend hereunder (it being understood, however, that no Lender
shall be responsible for the failure of any other Lender to make any Loan required to be made by such other Lender). Except for Loans deemed made pursuant to Section 2.02(f), the Loans comprising any Borrowing shall be in an aggregate principal
amount that is (i) an integral multiple of $1,000,000 and not less than $5,000,000 in the case of a Term Borrowing and an integral multiple of $100,000 and not less than $1,000,000 in the case of a Revolving Borrowing or (ii) equal to the
remaining available balance of the applicable Commitments. 

  
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 (b) Subject to Sections 2.02(f), 2.08 and 2.15, each Borrowing shall be comprised entirely of ABR
Loans or Eurodollar Loans as the Borrower may request pursuant to Section 2.03. Each Lender may at its option make any Eurodollar Loan by causing any domestic or foreign branch or Affiliate of such Lender to make such Loan; provided that
any exercise of such option shall not affect the obligation of the Borrower to repay such Loan in accordance with the terms of this Agreement. Borrowings of more than one Type may be outstanding at the same time; provided, however, that the
Borrower shall not be entitled to request any Borrowing that, if made, would result in more than seven Eurodollar Borrowings outstanding hereunder at any time. For purposes of the foregoing, Borrowings having different Interest Periods, regardless
of whether they commence on the same date, shall be considered separate Borrowings. 
 (c) Except with respect to Loans made pursuant to
Section 2.02(f), each Lender shall make each Loan to be made by it hereunder on the proposed date thereof by wire transfer of immediately available funds to such account in New York City as the Administrative Agent may designate not later than
1:00 p.m., New York City time, and the Administrative Agent shall promptly credit the amounts so received to an account designated by the Borrower in the applicable Borrowing Request or, if a Borrowing shall not occur on such date because any
condition precedent herein specified shall not have been met, return the amounts so received to the respective Lenders. 
 (d) Unless the
Administrative Agent shall have received notice from a Lender prior to the date of any Borrowing that such Lender will not make available to the Administrative Agent such Lender’s portion of such Borrowing, the Administrative Agent may assume
that such Lender has made such portion available to the Administrative Agent on the date of such Borrowing in accordance with paragraph (c) above and the Administrative Agent may, in reliance upon such assumption, make available to the Borrower
on such date a corresponding amount. If the Administrative Agent shall have so made funds available then, to the extent that such Lender shall not have made such portion available to the Administrative Agent, such Lender and the Borrower severally
agree to repay to the Administrative Agent forthwith on demand such corresponding amount together with interest thereon, for each day from the date such amount is made available to the Borrower to but excluding the date such amount is repaid to the
Administrative Agent at (i) in the case of the Borrower, a rate per annum equal to the interest rate applicable at the time to the Loans comprising such Borrowing and (ii) in the case of such Lender, a rate determined by the Administrative
Agent to represent its cost of overnight or short-term funds (which determination shall be conclusive absent manifest error). If such Lender shall repay to the Administrative Agent such corresponding amount, such amount shall constitute such
Lender’s Loan as part of such Borrowing for purposes of this Agreement. 
 (e) Notwithstanding any other provision of this Agreement,
the Borrower shall not be entitled to request any Revolving Credit Borrowing if the Interest Period requested with respect thereto would end after the Revolving Credit Maturity Date. 

(f) If the applicable Issuing Bank shall not have received from the Borrower the payment required to be made by Section 2.22(e) within
the time specified in such Section, such Issuing Bank will promptly notify the Administrative Agent of the L/C Disbursement and the 

  
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Administrative Agent will promptly notify each Revolving Credit Lender of such L/C Disbursement and its Pro Rata Percentage thereof. Each Revolving Credit Lender shall pay by wire transfer of
immediately available funds to the Administrative Agent not later than 2:00 p.m., New York City time, on such date (or, if such Revolving Credit Lender shall have received such notice later than 12:00 (noon), New York City time, on any day, not
later than 10:00 a.m., New York City time, on the immediately following Business Day), an amount equal to such Lender’s Pro Rata Percentage of such L/C Disbursement (it being understood that (i) if the conditions precedent to borrowing set
forth in Sections 4.01(b) and (c) have been satisfied, such amount shall be deemed to constitute an ABR Revolving Loan of such Lender and, to the extent of such payment, the obligations of the Borrower in respect of such L/C Disbursement shall
be discharged and replaced with the resulting ABR Revolving Credit Borrowing, and (ii) if such conditions precedent to borrowing have not been satisfied, then any such amount paid by any Revolving Credit Lender shall not constitute a Loan and
shall not relieve the Borrower from its obligation to reimburse such L/C Disbursement), and the Administrative Agent will promptly pay to such Issuing Bank amounts so received by it from the Revolving Credit Lenders. The Administrative Agent will
promptly pay to such Issuing Bank any amounts received by it from the Borrower pursuant to Section 2.22(e) prior to the time that any Revolving Credit Lender makes any payment pursuant to this paragraph (f); any such amounts received by the
Administrative Agent thereafter will be promptly remitted by the Administrative Agent to the Revolving Credit Lenders that shall have made such payments and to such Issuing Bank, as their interests may appear. If any Revolving Credit Lender shall
not have made its Pro Rata Percentage of such L/C Disbursement available to the Administrative Agent as provided above, such Lender and the Borrower severally agree to pay interest on such amount, for each day from and including the date such amount
is required to be paid in accordance with this paragraph to but excluding the date such amount is paid, to the Administrative Agent for the account of such Issuing Bank at (i) in the case of the Borrower, a rate per annum equal to the interest
rate applicable to Revolving Loans pursuant to Section 2.06(a), and (ii) in the case of such Lender, for the first such day, the Federal Funds Effective Rate, and for each day thereafter, the Alternate Base Rate. 

(g) Notwithstanding any other provision contained herein, the obligations of the Tranche B Term Lenders to make Tranche B Term Loans to the
Borrower on the Closing Date and the obligations of the Administrative Agent to make such Tranche B Term Loans available to the Borrower shall be subject to the terms and conditions set forth in the Existing Lenders Agreement. 

Section 2.03. Borrowing Procedure. In order to request a Borrowing (other than a deemed Borrowing pursuant to
Section 2.02(f), as to which this Section 2.03 shall not apply), the Borrower shall notify the Administrative Agent of such request by telephone (a) in the case of a Eurodollar Borrowing, not later than 12:00 (noon), New York City
time, three Business Days before a proposed Borrowing, and (b) in the case of an ABR Borrowing, not later than 12:00 (noon), New York City time, one Business Day before a proposed Borrowing. Each such telephonic Borrowing Request shall be
irrevocable, and shall be confirmed promptly by hand delivery, e-mail or facsimile transmission to the Administrative Agent of a written Borrowing Request and shall specify the following information: (i) whether the Borrowing then being

  
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requested is to be a Term Borrowing or a Revolving Credit Borrowing, and whether such Borrowing is to be a Eurodollar Borrowing or an ABR Borrowing (provided that, until the Administrative
Agent shall have notified the Borrower that the primary syndication of the Commitments has been completed (which notice shall be given as promptly as practicable and, in any event, within 30 days after the Closing Date), the Borrower shall not be
permitted to request a Eurodollar Borrowing with an Interest Period in excess of one month); (ii) the date of such Borrowing (which shall be a Business Day); (iii) the number and location of the account to which funds are to be disbursed;
(iv) the amount of such Borrowing; and (v) if such Borrowing is to be a Eurodollar Borrowing, the Interest Period with respect thereto; provided, however, that, notwithstanding any contrary specification in any Borrowing Request,
each requested Borrowing shall comply with the requirements set forth in Section 2.02. If no election as to the Type of Borrowing is specified in any such notice, then the requested Borrowing shall be an ABR Borrowing. If no Interest Period
with respect to any Eurodollar Borrowing is specified in any such notice, then the Borrower shall be deemed to have selected an Interest Period of one month’s duration. The Administrative Agent shall promptly advise the applicable Lenders of
any notice given pursuant to this Section 2.03 (and the contents thereof), and of each Lender’s portion of the requested Borrowing. 

Section 2.04. Evidence of Debt; Repayment of Loans. (a) The Borrower hereby unconditionally promises to pay to the
Administrative Agent for the account of each Lender (i) the principal amount of each Term Loan of such Lender as provided in Section 2.11 and (ii) the then unpaid principal amount of each Revolving Loan of such Lender on the Revolving
Credit Maturity Date. 
 (b) Each Lender shall maintain in accordance with its usual practice an account or accounts evidencing the
indebtedness of the Borrower to such Lender resulting from each Loan made by such Lender from time to time, including the amounts of principal and interest payable and paid to such Lender from time to time under this Agreement. 

(c) The Administrative Agent shall maintain accounts in which it will record (i) the amount of each Loan made hereunder, the Class and
Type thereof and, if applicable, the Interest Period applicable thereto, (ii) the amount of any principal or interest due and payable or to become due and payable from the Borrower to each Lender hereunder and (iii) the amount of any sum
received by the Administrative Agent hereunder from the Borrower or any Subsidiary Guarantor and each Lender’s share thereof. 
 (d)
The entries made in the accounts maintained pursuant to paragraphs (b) and (c) above shall be prima facie evidence of the existence and amounts of the obligations therein recorded; provided, however, that the failure of any
Lender or the Administrative Agent to maintain such accounts or any error therein shall not in any manner affect the obligations of the Borrower to repay the Loans in accordance with their terms. 

(e) Any Lender may request that Loans made by it hereunder be evidenced by a promissory note. In such event, the Borrower shall execute and
deliver to such Lender a promissory note payable to such Lender and its registered assigns and in a form and substance 

  
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reasonably acceptable to the Administrative Agent and the Borrower. Notwithstanding any other provision of this Agreement, in the event any Lender shall request and receive such a promissory
note, the interests represented by such note shall at all times (including after any assignment of all or part of such interests pursuant to Section 9.04) be represented by one or more promissory notes payable to the payee named therein or its
registered assigns. 
 Section 2.05. Fees. (a) The Borrower agrees to pay to each Lender, through the Administrative Agent,
on the last Business Day of March, June, September and December in each year and on each date on which any Commitment of such Lender shall expire or be terminated as provided herein, a commitment fee (a “Commitment Fee”) equal to
0.50% per annum on the daily unused amount of the Revolving Credit Commitment of such Lender during the preceding quarter (or other period commencing with the Closing Date or ending with the Revolving Credit Maturity Date or the date on which
the Commitments of such Lender shall expire or be terminated). All Commitment Fees shall be computed on the basis of the actual number of days elapsed in a year of 360 days. 

(b) The Borrower agrees to pay to the Administrative Agent, for its own account, the administrative fees set forth in the Fee Letter at the
times and in the amounts specified therein (the “Administrative Agent Fees”). 
 (c) The Borrower agrees to pay (i) to
each Revolving Credit Lender, through the Administrative Agent, on the last Business Day of March, June, September and December of each year and on the date on which the Revolving Credit Commitment of such Lender shall be terminated as provided
herein, a fee (an “L/C Participation Fee”) calculated on such Lender’s Pro Rata Percentage of the daily aggregate L/C Exposure (excluding the portion thereof attributable to unreimbursed L/C Disbursements) during the preceding
quarter (or shorter period commencing with the Closing Date or ending with the Revolving Credit Maturity Date or the date on which all Letters of Credit have been canceled or have expired and the Revolving Credit Commitments of all Lenders shall
have been terminated) at a rate per annum equal to the Applicable Margin from time to time used to determine the interest rate on Revolving Credit Borrowings comprised of Eurodollar Loans pursuant to Section 2.06 and (ii) to each Issuing
Bank with respect to each Letter of Credit issued by such Issuing Bank a fronting fee equal to 0.25% (or such other amount as may be agreed to by such Issuing Bank) of the aggregate face amount of outstanding Letters of Credit (due and payable
quarterly in arrears on the last Business Day of each March, June, September and December, commencing with the first such date to occur after the issuance of any Letter of Credit, and on the Revolving Credit Maturity Date) and the standard issuance
and drawing fees specified from time to time by such Issuing Bank (the “Issuing Bank Fees”). All L/C Participation Fees and Issuing Bank Fees shall be computed on the basis of the actual number of days elapsed in a year of 360 days.

 (d) In the event that, prior to the six-month anniversary of the Closing Date, the Borrower (x) prepays, refinances, substitutes or
replaces any Tranche B Term Loans in connection with a Repricing Transaction (including, for the avoidance of doubt, with any Indebtedness incurred pursuant to Section 2.27 or any Permitted External Refinancing Indebtedness) or (y) effects
any amendment to this Agreement resulting in a Repricing 

  
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Transaction, the Borrower shall pay to the Administrative Agent for the ratable account of each of the applicable Lenders, (I) in the case of clause (x), a prepayment premium of 1.0% of the
aggregate principal amount of the applicable Tranche B Term Loans so prepaid, refinanced, substituted or replaced and (II) in the case of clause (y), a prepayment fee equal to 1.0% of the aggregate principal amount of the applicable Tranche B Term
Loans which are the subject of such amendment. Such amounts shall be due and payable on the date of effectiveness of such Repricing Transaction. 

(e) All Fees shall be paid on the dates due, in immediately available funds, to the Administrative Agent for distribution, if and as
appropriate, among the Lenders, except that the Issuing Bank Fees shall be paid directly to the applicable Issuing Bank. Once paid, none of the Fees shall be refundable under any circumstances. 

Section 2.06. Interest on Loans. (a) Subject to the provisions of Section 2.07, the Loans comprising each ABR Borrowing
shall bear interest (computed on the basis of the actual number of days elapsed over a year of 365 or 366 days, as the case may be, at all times and calculated from and including the date of such Borrowing to but excluding the date of repayment
thereof) at a rate per annum equal to the Alternate Base Rate plus the Applicable Margin. 
 (b) Subject to the provisions of
Section 2.07, the Loans comprising each Eurodollar Borrowing shall bear interest (computed on the basis of the actual number of days elapsed over a year of 360 days) at a rate per annum equal to the Adjusted LIBO Rate for the Interest Period in
effect for such Borrowing plus the Applicable Margin. 
 (c) Interest on each Loan shall be payable on the Interest Payment Dates applicable
to such Loan except as otherwise provided in this Agreement. The applicable Alternate Base Rate or Adjusted LIBO Rate for each Interest Period or day within an Interest Period, as the case may be, shall be determined by the Administrative Agent, and
such determination shall be conclusive absent manifest error. 
 Section 2.07. Default Interest. If the Borrower shall default
in the payment of any principal of or interest on any Loan or any other amount due hereunder or under any other Credit Document, by acceleration or otherwise, then, until such defaulted amount shall have been paid in full, to the extent permitted by
law, such defaulted amount shall bear interest (after as well as before judgment), payable on demand, (a) in the case of principal, at the rate otherwise applicable to such Loan pursuant to Section 2.06 plus 2.00% per annum and
(b) in all other cases, at a rate per annum (computed on the basis of the actual number of days elapsed over a year of 365 or 366 days, as the case may be, at all times) equal to the rate that would be applicable to an ABR Revolving Loan plus
2.00% per annum. 
 Section 2.08. Alternate Rate of Interest. In the event, and on each occasion, that on the day two
Business Days prior to the commencement of any Interest Period for a Eurodollar Borrowing the Administrative Agent shall have determined that Dollar deposits in the principal amounts of the Loans comprising such Borrowing are not generally available
in the London interbank market, or that the rates at which such Dollar deposits are being offered will not 

  
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adequately and fairly reflect the cost to the Lenders holding more than 50% in principal amount of the Loans which are to be included in such Eurodollar Borrowing of making or maintaining such
Eurodollar Loans during such Interest Period, or that reasonable means do not exist for ascertaining the Adjusted LIBO Rate, the Administrative Agent shall, as soon as practicable thereafter, give written or fax notice of such determination to the
Borrower and the Lenders. In the event of any such determination, until the Administrative Agent shall have advised the Borrower and the Lenders that the circumstances giving rise to such notice no longer exist, any request by the Borrower for a
Eurodollar Borrowing pursuant to Section 2.03 or Section 2.10 shall be deemed to be a request for an ABR Borrowing. Each determination by the Administrative Agent under this Section 2.08 shall be conclusive absent manifest error. 

Section 2.09. Termination and Reduction of Commitments. (a) The Tranche B Term Loan Commitments shall automatically terminate
upon the making of the Tranche B Term Loans on the Closing Date. The Revolving Credit Commitments shall automatically terminate on the Revolving Credit Maturity Date. The L/C Commitment shall automatically terminate on the earlier to occur of
(i) the termination of the Revolving Credit Commitments and (ii) the date 30 days prior to the Revolving Credit Maturity Date. Notwithstanding the foregoing, all the Commitments shall automatically terminate at 5:00 p.m., New York City
time, on December 19, 2013, if the initial Credit Event shall not have occurred by such time. 
 (b) Upon at least three Business
Days’ prior irrevocable written or fax notice to the Administrative Agent, the Borrower may at any time in whole permanently terminate, or from time to time in part permanently reduce, the Term Loan Commitments or the Revolving Credit
Commitments; provided, however, that (i) each partial reduction of the Term Loan Commitments or the Revolving Credit Commitments shall be in an integral multiple of $1,000,000 and in a minimum amount of $5,000,000 and
(ii) the Total Revolving Credit Commitment shall not be reduced to an amount that is less than the Aggregate Revolving Credit Exposure at the time. 

(c) Each reduction in the Term Loan Commitments or the Revolving Credit Commitments hereunder shall be made ratably among the Lenders in
accordance with their respective applicable Commitments. The Borrower shall pay to the Administrative Agent for the account of the applicable Lenders, on the date of each termination or reduction, the Commitment Fees on the amount of the Commitments
so terminated or reduced accrued to but excluding the date of such termination or reduction. 
 Section 2.10. Conversion and
Continuation of Borrowings. The Borrower shall have the right at any time upon prior irrevocable written notice to the Administrative Agent (a) not later than 12:00 (noon), New York City time, one Business Day prior to conversion, to
convert any Eurodollar Borrowing into an ABR Borrowing, (b) not later than 12:00 (noon), New York City time, three Business Days prior to conversion or continuation, to convert any ABR Borrowing into a Eurodollar Borrowing or to continue any
Eurodollar Borrowing as a Eurodollar Borrowing for an additional Interest Period, and (c) not later than 12:00 (noon), New York City time, three Business Days prior to conversion, to convert the Interest Period with respect to any Eurodollar
Borrowing to another permissible Interest Period, subject in each case to the following: 

  
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 (i) until the Administrative Agent shall have notified the Borrower that the
primary syndication of the Commitments has been completed (which notice shall be given as promptly as practicable and, in any event, within 30 days after the Closing Date), no ABR Borrowing may be converted into a Eurodollar Borrowing with an
Interest Period in excess of one month; 
 (ii) each conversion or continuation shall be made pro rata among the Lenders in
accordance with the respective principal amounts of the Loans comprising the converted or continued Borrowing; 
 (iii) if
less than all the outstanding principal amount of any Borrowing shall be converted or continued, then each resulting Borrowing shall satisfy the limitations specified in Sections 2.02(a) and 2.02(b) regarding the principal amount and maximum number
of Borrowings of the relevant Type; 
 (iv) each conversion shall be effected by each Lender and the Administrative Agent by
recording for the account of such Lender the new Loan of such Lender resulting from such conversion and reducing the Loan (or portion thereof) of such Lender being converted by an equivalent principal amount; accrued interest on any Eurodollar Loan
(or portion thereof) being converted shall be paid by the Borrower at the time of conversion; 
 (v) if any Eurodollar
Borrowing is converted at a time other than the end of the Interest Period applicable thereto, the Borrower shall pay, upon demand, any amounts due to the Lenders pursuant to Section 2.16; 

(vi) any portion of a Borrowing maturing or required to be repaid in less than one month may not be converted into or continued
as a Eurodollar Borrowing; 
 (vii) any portion of a Eurodollar Borrowing that cannot be converted into or continued as a
Eurodollar Borrowing by reason of the immediately preceding clause shall be automatically converted at the end of the Interest Period in effect for such Borrowing into an ABR Borrowing; 

(viii) no Interest Period may be selected for any Eurodollar Term Borrowing that would end later than a Repayment Date
occurring on or after the first day of such Interest Period if, after giving effect to such selection, the aggregate outstanding amount of (A) the Eurodollar Term Borrowings with Interest Periods ending on or prior to such Repayment Date and
(B) the ABR Term Borrowings would not be at least equal to the principal amount of Term Borrowings to be paid on such Repayment Date; and 

(ix) upon notice to the Borrower from the Administrative Agent given at the request of the Required Lenders, after the
occurrence and during the continuance of a Default or Event of Default, no outstanding Loan may be converted into, or continued as, a Eurodollar Loan. 

  
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 Each notice pursuant to this Section 2.10 shall be irrevocable and shall refer to this
Agreement and specify (i) the identity and amount of the Borrowing that the Borrower requests be converted or continued, (ii) whether such Borrowing is to be converted to or continued as a Eurodollar Borrowing or an ABR Borrowing,
(iii) if such notice requests a conversion, the date of such conversion (which shall be a Business Day) and (iv) if such Borrowing is to be converted to or continued as a Eurodollar Borrowing, the Interest Period with respect thereto. If
no Interest Period is specified in any such notice with respect to any conversion to or continuation as a Eurodollar Borrowing, the Borrower shall be deemed to have selected an Interest Period of one month’s duration. The Administrative Agent
shall promptly advise the Lenders of any notice given pursuant to this Section 2.10 and of each Lender’s portion of any converted or continued Borrowing. If the Borrower shall not have given notice in accordance with this Section 2.10
to continue any Borrowing into a subsequent Interest Period (and shall not otherwise have given notice in accordance with this Section 2.10 to convert such Borrowing), such Borrowing shall, at the end of the Interest Period applicable thereto
(unless repaid pursuant to the terms hereof), automatically be converted into an ABR Borrowing. 
 Section 2.11. Repayment of Term
Borrowings. (a) (i) The Borrower shall pay to the Administrative Agent, for the account of the Lenders, on the last Business Day of each March, June, September and December, commencing on the last Business Day of March 2014 (each such
date being called a “Repayment Date”), a principal amount of the Tranche B Term Loans (as adjusted from time to time pursuant to Section 2.12(b), Section 2.13(g) and Section 9.04(l)) equal to 0.25% of the aggregate
outstanding principal amount of the Tranche B Term Loans immediately after closing on the Closing Date, together in each case with accrued and unpaid interest on the principal amount to be paid to but excluding the date of such payment. 

(ii) Incremental Term Loans. In the event any Incremental Term Loans are made, such Incremental Term Loans shall be repaid in amounts
and on dates as agreed between the Borrower and the relevant Lenders of such Incremental Term Loans, subject to the requirements set forth in Section 2.25 and to adjustment from time to time pursuant to Section 2.12(b),
Section 2.13(g) and Section 9.04(l), together in each case, with accrued and unpaid interest on the principal amount to be paid to but excluding the date of such payment. 

(iii) Refinancing Term Loans. In the event any Refinancing Term Loans are made, such Refinancing Term Loans shall be repaid in amounts
and on dates as agreed between the Borrower and the relevant Lenders of such Refinancing Term Loans, subject to the requirements set forth in Section 2.27 and to adjustment from time to time pursuant to Section 2.12(b),
Section 2.13(g) and Section 9.04(l), together in each case, with accrued and unpaid interest on the principal amount to be paid to but excluding the date of such payment. 

(b) To the extent not previously paid, all Term Loans of any Class shall be due and payable on the Maturity Date applicable to the Term Loans
of such Class (or, in the case of Incremental Term Loans, the Maturity Date for such tranche of Incremental Term Loans), together with accrued and unpaid interest on the principal amount to be paid to but excluding the date of payment. 

  
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 (c) All repayments pursuant to this Section 2.11 shall be subject to Section 2.16, but
shall otherwise be without premium or penalty. 
 Section 2.12. Voluntary Prepayment. (a) The Borrower shall have the right
at any time and from time to time to prepay any Borrowing, in whole or in part, upon at least three Business Days’ prior written or fax notice (or telephone notice promptly confirmed by written or fax notice) in the case of Eurodollar Loans, or
written or fax notice (or telephone notice promptly confirmed by written or fax notice) at least one Business Day prior to the date of prepayment in the case of ABR Loans, to the Administrative Agent before 12:00 (noon), New York City time;
provided, however, that each partial prepayment shall be in an amount that is an integral multiple of $1,000,000 and not less than $5,000,000 in the case of a Term Borrowing and an integral multiple of $100,000 and not less than
$1,000,000 in the case of a Revolving Borrowing. 
 (b) Voluntary prepayments of any Class of Term Loans shall be applied against the
remaining scheduled installments of principal due in respect of the applicable Class of Term Loans under Section 2.11 as may be specified by the Borrower, or if not so specified, in direct order of maturity; provided that such
prepayments shall be allocated to the Tranche B Term Loans on a pro rata basis (or on a greater than pro rata basis) determined by reference to all Term Loans then outstanding. 

(c) Each notice of prepayment shall specify the prepayment date and the principal amount of each Borrowing (or portion thereof) to be prepaid,
shall be irrevocable and shall commit the Borrower to prepay such Borrowing by the amount stated therein on the date stated therein; provided, however, that if such prepayment is for all of the then outstanding Loans, then the Borrower may
(x) revoke such notice prior to the proposed date of prepayment and/or (y) extend the prepayment date by not more than five Business Days; provided further, however, that the provisions of Section 2.16 shall apply with respect
to any such revocation or extension. All prepayments under this Section 2.12 shall be subject to Section 2.05(d) and to Section 2.16 but otherwise without premium or penalty. All prepayments under this Section 2.12 (other than
prepayments of ABR Revolving Loans that are not made in connection with the termination or permanent reduction of the Revolving Credit Commitments) shall be accompanied by accrued and unpaid interest on the principal amount to be prepaid to but
excluding the date of payment. 
 Section 2.13. Mandatory Prepayments. (a) In the event of any termination of all the
Revolving Credit Commitments, the Borrower shall, on the date of such termination, repay or prepay all its outstanding Revolving Credit Borrowings and replace or cause to be canceled or Cash Collateralized (or make other arrangements satisfactory to
the Administrative Agent and each Issuing Bank with respect to) all outstanding Letters of Credit issued by such Issuing Bank. If, after giving effect to any partial reduction of the Revolving Credit Commitments or at any other time, the Aggregate
Revolving Credit Exposure would exceed the Total Revolving Credit Commitment, then the Borrower shall, on the date of such reduction or at such other time, repay or prepay Revolving Credit Borrowings and, after the Revolving Credit Borrowings shall
have been repaid or prepaid in full, replace or cause to be canceled or Cash Collateralized (or make other arrangements satisfactory to the Administrative Agent and each Issuing Bank with respect to) Letters of Credit issued by such Issuing Bank in
an amount sufficient to eliminate such excess. 

  
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 (b) In addition to any other mandatory repayments pursuant to this Section 2.13, on each
date on or after the Closing Date upon which the Borrower or any Restricted Subsidiary receives any cash proceeds from any issuance or incurrence by the Borrower or any Restricted Subsidiary of Indebtedness for borrowed money (other than
Indebtedness permitted to be incurred pursuant to Section 6.04, other than Permitted External Refinancing Indebtedness and Refinancing Term Loans), an amount equal to 100% of the Net Cash Proceeds of the respective issuance or incurrence of
such Indebtedness shall be applied on such date as a mandatory repayment in accordance with the requirements of Section 2.13(g). 
 (c)
In addition to any other mandatory repayments pursuant to this Section 2.13, on each date on or after the Closing Date upon which the Borrower or any Restricted Subsidiary receives any cash proceeds from any Asset Sale, an amount equal to 100%
of the Net Sale Proceeds therefrom shall be applied on such date as a mandatory repayment in accordance with the requirements of Section 2.13(g); provided, however, that with respect to any Net Sale Proceeds received by the Borrower or
the Restricted Subsidiaries from an Asset Sale permitted hereunder (other than in connection with an Asset Sale pursuant to Section 6.02(xiv) the Net Sale Proceeds of which shall be applied as provided in this Section 2.13(c) without
regard to this proviso or the following proviso), such Net Sale Proceeds shall not be required to be so applied on such date so long as no Default or Event of Default then exists and an Authorized Officer of the Borrower shall have delivered a
certificate to the Administrative Agent setting forth the Borrower’s or such Restricted Subsidiary’s intention to reinvest such Net Sale Proceeds as permitted pursuant to this proviso and such Net Sale Proceeds shall be reinvested (or
contractually committed to be reinvested pursuant to a written binding agreement with a Person that is not an Affiliate of the Borrower or any Restricted Subsidiary) in the businesses permitted of the Borrower and its Restricted Subsidiaries
pursuant to Section 6.13 within 365 days following the date of such Asset Sale, and provided further, that (I) if all or any portion of such Net Sale Proceeds not required to be so applied as provided above in this
Section 2.13(c) are not so reinvested (or contractually committed to be so reinvested) within such 365-day period (or such earlier date, if any, as the Borrower or the relevant Restricted Subsidiary determines not to reinvest the Net Sale
Proceeds from such Asset Sale as set forth above), such remaining portion shall be applied on the last day of such period (or such earlier date, as the case may be) as provided above in this Section 2.13(c) without regard to the immediately
preceding proviso period and (II) if all or any portion of such Net Sale Proceeds are not required to be applied on the last day of such 365-day period referred to in clause (I) of this proviso because such amount is contractually committed
within such period to be reinvested and then either (A) subsequent to such date such contract is terminated or expires without such portion being so reinvested or (B) such contractually committed portion is not so reinvested within 180
days after the date of such commitment, such remaining portion, in the case of either of preceding clause (A) or (B), shall be applied as a mandatory repayment as provided above in this Section 2.13(c) without regard to the immediately
preceding proviso. 
 (d) In addition to any other mandatory repayments pursuant to this Section 2.13, on each Excess Cash Flow Payment
Date, an amount equal to the remainder of (if positive) (i) the Applicable Excess Cash Flow Prepayment Percentage of the Excess Cash Flow for the related Excess Cash Flow Payment Period minus (ii) the aggregate amount of principal
prepayments of 

  
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Loans to the extent (and only to the extent) that such prepayments were made as a voluntary prepayment pursuant to Section 2.12(a) other than with proceeds of asset sales (other than from
sales of inventory in the ordinary course of business), sales or issuances of Equity Interests, capital contributions, insurance or condemnation events or Indebtedness or other proceeds that would not be included in Adjusted Consolidated Net Income
or utilizing the Available Amount (but in the case of a voluntary prepayment of Revolving Loans, only to the extent accompanied by a voluntary reduction to the Total Revolving Credit Commitment in an amount equal to such prepayment) during the
relevant Excess Cash Flow Payment Period, shall be applied as a mandatory repayment in accordance with the requirements of Section 2.13(g). Notwithstanding the foregoing, at the option of the Borrower, all or any portion of any mandatory
repayment required pursuant to this clause (d) for any Excess Cash Flow Payment Period may be paid or applied prior to the related Excess Cash Flow Payment Date (but no earlier than January 1 of the fiscal year in which the related Excess
Cash Flow Payment Date occurs), provided that (x) no such mandatory repayment shall be added to the aggregate amount of principal prepayments described in subclause (ii) above for any succeeding Excess Cash Flow Payment Period and
(y) the Borrower shall pay such additional amounts (if any) as necessary to pay the full amount of any mandatory repayment required pursuant to this clause (d) no later than the applicable Excess Cash Flow Payment Date (it being understood
that if such initial prepayment exceeds such requirement, such excess shall be treated as a voluntary prepayment pursuant to Section 2.12(a) in the fiscal year in which such prepayment was made). 

(e) In addition to any other mandatory repayments pursuant to this Section 2.13, within one Business Day following each date on or after
the Closing Date upon which the Borrower or any Restricted Subsidiary receives any cash proceeds from any Recovery Event (other than Recovery Events where the Net Cash Proceeds therefrom do not exceed $250,000), an amount equal to 100% of the Net
Cash Proceeds from such Recovery Event shall be applied on such date as a mandatory repayment in accordance with the requirements of Section 2.13(g); provided, however, that such Net Cash Proceeds shall not be required to be so applied
on such date so long as no Default or Event of Default then exists and the Borrower has delivered a certificate to the Administrative Agent on such date stating that such Net Cash Proceeds shall be reinvested (or contractually committed to be
reinvested pursuant to a written binding agreement with a Person that is not an Affiliate of the Borrower or any Restricted Subsidiary) in the businesses permitted of the Borrower and its Restricted Subsidiaries pursuant to Section 6.13 within
365 days following the date of the receipt of such Net Cash Proceeds, and provided further, that (I) if all or any portion of such Net Cash Proceeds not required to be so applied pursuant to the preceding proviso are not so reinvested
(or contractually committed to be so reinvested) within 365 days after the date of the receipt of such Net Cash Proceeds (or such earlier date, if any, as the Borrower or the relevant Restricted Subsidiary determines not to reinvest the Net Cash
Proceeds relating to such Recovery Event as set forth above), such remaining portion shall be applied on the last day of such period (or such earlier date, as the case may be) as provided above in this Section 2.13(e) without regard to the
immediately preceding proviso and (II) if all or any portion of such proceeds are not required to be applied on the last day of such 365-day period referred to in clause (I) of this proviso because such amount is contractually committed to be
reinvested and then either (A) subsequent to such date such contract is terminated or expires without such 

  
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portion being so reinvested or (B) such contractually committed portion is not so reinvested within 180 days after the date of such commitment, such remaining portion, in the case of either
of preceding clause (A) or (B), shall be applied as a mandatory repayment as provided above in this Section 2.13(e) without regard to the immediately preceding proviso. 

(f) [Reserved]. 
 (g) Each
amount required to be applied pursuant to Section 2.13(b) through Section 2.13(e) in accordance with this Section 2.13(g) shall be applied pro rata according to the respective outstanding principal amounts of the Term Loans then held
by the Term Lenders (except to the extent that any applicable Additional Credit Extension Amendment for any Class of Term Loans provides that such Term Loans shall be entitled to less than pro rata treatment); provided that any prepayment of
Term Loans required as a result of the incurrence of Permitted External Refinancing Indebtedness or Refinancing Term Loans in respect of any such Class shall be applied solely to such Class. Each such prepayment of the Tranche B Term Loans shall be
applied first, in direct order of maturity to the next eight scheduled installments of principal due in respect of Tranche B Term Loans and second, on a pro rata basis against the remaining scheduled installments of principal due in
respect of the Tranche B Term Loans under Section 2.11(a). Each prepayment of any other Class of Term Loans shall be applied as agreed between the Borrower and the Lenders in respect of such Term Loans. 

(h) The Borrower shall deliver to the Administrative Agent, at the time of each prepayment required under this Section 2.13, (i) a
certificate signed by an Authorized Officer of the Borrower setting forth in reasonable detail the calculation of the amount of such prepayment and (ii) at least three Business Days prior written notice of such prepayment. Each notice of
prepayment shall specify the prepayment date, the Type of each Loan being prepaid and the principal amount of each Loan (or portion thereof) to be prepaid. All prepayments of Borrowings under this Section 2.13 shall be subject to
Section 2.16 and, in the case of any prepayment pursuant to Section 2.13(b), Section 2.05(d), but shall otherwise be without premium or penalty, and (other than prepayments of ABR Revolving Loans that are not made in connection with
the termination or permanent reduction of the Revolving Credit Commitments) shall be accompanied by accrued and unpaid interest on the principal amount to be prepaid to but excluding the date of payment. 

Section 2.14. Reserve Requirements; Change in Circumstances. (a) Notwithstanding any other provision of this Agreement, if
any Change in Law shall impose, modify or deem applicable any reserve, special deposit or similar requirement against assets of, deposits with or for the account of or credit extended by any Lender or any Issuing Bank (except any such reserve
requirement which is reflected in the Adjusted LIBO Rate), shall subject a Lender to Taxes (other than Indemnified Taxes, Other Taxes and Excluded Taxes) on its loans, loan principal, letters of credit, commitments or other obligations, or on its
deposits, reserves, other liabilities or capital attributable thereto or shall impose on such Lender or such Issuing Bank or the London interbank market any other condition (other than Taxes) affecting this Agreement or Eurodollar Loans made by such
Lender or any Letter of Credit or participation therein, and the result of any of the foregoing shall be to increase the cost to such Lender or such Issuing Bank of making or 

  
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maintaining any Eurodollar Loan or increase the cost to any Lender or any Issuing Bank of issuing or maintaining any Letter of Credit or purchasing or maintaining a participation therein or to
reduce the amount of any sum received or receivable by such Lender or such Issuing Bank hereunder (whether of principal, interest or otherwise) by an amount deemed by such Lender or such Issuing Bank to be material, then the Borrower will pay to
such Lender or such Issuing Bank, as the case may be, upon demand such additional amount or amounts as will compensate such Lender or such Issuing Bank, as the case may be, for such additional costs incurred or reduction suffered. 

(b) If any Lender or any Issuing Bank shall have determined that any Change in Law regarding capital adequacy has or would have the effect of
reducing the rate of return on such Lender’s or such Issuing Bank’s capital or on the capital of such Lender’s or such Issuing Bank’s holding company, if any, as a consequence of this Agreement or the Loans made or participations
in Letters of Credit purchased by such Lender pursuant hereto or the Letters of Credit issued by such Issuing Bank pursuant hereto to a level below that which such Lender or such Issuing Bank or such Lender’s or such Issuing Bank’s holding
company could have achieved but for such Change in Law (taking into consideration such Lender’s or such Issuing Bank’s policies and the policies of such Lender’s or such Issuing Bank’s holding company with respect to capital
adequacy) by an amount deemed by such Lender or such Issuing Bank to be material, then from time to time the Borrower shall pay to such Lender or such Issuing Bank, as the case may be, such additional amount or amounts as will compensate such Lender
or such Issuing Bank or such Lender’s or such Issuing Bank’s holding company for any such reduction suffered. 
 (c) A certificate
of a Lender or an Issuing Bank setting forth the amount or amounts necessary to compensate such Lender or such Issuing Bank or its holding company, as applicable, as specified in paragraph (a) or (b) above shall be delivered to the
Borrower and shall be conclusive absent manifest error. The Borrower shall pay such Lender or such Issuing Bank the amount shown as due on any such certificate delivered by it within 10 days after its receipt of the same. 

(d) Failure or delay on the part of any Lender or any Issuing Bank to demand compensation for any increased costs or reduction in amounts
received or receivable or reduction in return on capital shall not constitute a waiver of such Lender’s or such Issuing Bank’s right to demand such compensation; provided that the Borrower shall not be under any obligation to
compensate any Lender or any Issuing Bank under paragraph (a) or (b) above with respect to increased costs or reductions with respect to any period prior to the date that is 180 days prior to such request if such Lender or such Issuing
Bank knew or could reasonably have been expected to know of the circumstances giving rise to such increased costs or reductions and of the fact that such circumstances would result in a claim for increased compensation by reason of such increased
costs or reductions; provided further that the foregoing limitation shall not apply to any increased costs or reductions arising out of the retroactive application of any Change in Law within such 180-day period. The protection of this
Section shall be available to each Lender and each Issuing Bank regardless of any possible contention of the invalidity or inapplicability of the Change in Law that shall have occurred or been imposed. 

  
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 Section 2.15. Change in Legality. (a) Notwithstanding any other provision of
this Agreement, if any Change in Law shall make it unlawful for any Lender to make or maintain any Eurodollar Loan or to give effect to its obligations as contemplated hereby with respect to any Eurodollar Loan, then, by written notice to the
Borrower and to the Administrative Agent: 
 (i) such Lender may declare that Eurodollar Loans will not thereafter (for the
duration of such unlawfulness) be made by such Lender hereunder (or be continued for additional Interest Periods) and ABR Loans will not thereafter (for such duration) be converted into Eurodollar Loans, whereupon any request for a Eurodollar
Borrowing (or to convert an ABR Borrowing to a Eurodollar Borrowing or to continue a Eurodollar Borrowing for an additional Interest Period) shall, as to such Lender only, be deemed a request for an ABR Loan (or a request to continue an ABR Loan as
such for an additional Interest Period or to convert a Eurodollar Loan into an ABR Loan, as the case may be), unless such declaration shall be subsequently withdrawn; and 

(ii) such Lender may require that all outstanding Eurodollar Loans made by it be converted to ABR Loans, in which event all
such Eurodollar Loans shall be automatically converted to ABR Loans as of the effective date of such notice as provided in paragraph (b) below. 
 In
the event any Lender shall exercise its rights under (i) or (ii) above, all payments and prepayments of principal that would otherwise have been applied to repay the Eurodollar Loans that would have been made by such Lender or the
converted Eurodollar Loans of such Lender shall instead be applied to repay the ABR Loans made by such Lender in lieu of, or resulting from the conversion of, such Eurodollar Loans. 

(b) For purposes of this Section 2.15, a notice to the Borrower by any Lender shall be effective as to each Eurodollar Loan made by such
Lender, if lawful, on the last day of the Interest Period then applicable to such Eurodollar Loan; in all other cases such notice shall be effective on the date of receipt by the Borrower. 

Section 2.16. Breakage. The Borrower shall indemnify each Lender against any loss or expense that such Lender may sustain or incur
as a consequence of (a) any event, other than a default by such Lender in the performance of its obligations hereunder, which results in (i) such Lender receiving or being deemed to receive any amount on account of the principal of any
Eurodollar Loan prior to the end of the Interest Period in effect therefor, (ii) the conversion of any Eurodollar Loan to an ABR Loan, or the conversion of the Interest Period with respect to any Eurodollar Loan, in each case other than on the
last day of the Interest Period in effect therefor, or (iii) any Eurodollar Loan to be made by such Lender (including any Eurodollar Loan to be made pursuant to a conversion or continuation under Section 2.10) not being made after notice
of such Loan shall have been given by the Borrower hereunder (any of the events referred to in this clause (a) being called a “Breakage Event”) or (b) any default in the making of any payment or prepayment required to be
made hereunder. In the case of any Breakage Event, such loss shall include an amount equal to the excess, as reasonably determined by such Lender, of (i)its cost of obtaining funds for the Eurodollar Loan that is the subject of such Breakage Event

  
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for the period from the date of such Breakage Event to the last day of the Interest Period in effect (or that would have been in effect) for such Loan over (ii) the amount of interest likely
to be realized by such Lender in redeploying the funds released or not utilized by reason of such Breakage Event for such period. A certificate of any Lender setting forth any amount or amounts which such Lender is entitled to receive pursuant to
this Section 2.16 shall be delivered to the Borrower and shall be conclusive absent manifest error. 
 Section 2.17. Pro Rata
Treatment. Subject to the express provisions of this Agreement which require, or permit, differing payments to be made to Non-Defaulting Lenders as opposed to Defaulting Lenders, and as permitted pursuant to the terms of any Additional Credit
Extension Amendment, permitted under Section 9.04(l) or required under Section 2.15, each Borrowing, each payment or prepayment of principal of any Borrowing, each payment of interest on the Loans, each payment of the Commitment Fees, each
reduction of the Term Loan Commitments or the Revolving Credit Commitments and each conversion of any Borrowing to or continuation of any Borrowing as a Borrowing of any Type shall be allocated pro rata among the Lenders in accordance with their
respective applicable Commitments (or, if such Commitments shall have expired or been terminated, in accordance with the respective principal amounts of their outstanding Loans). Each Lender agrees that in computing such Lender’s portion of any
Borrowing to be made hereunder, the Administrative Agent may, in its discretion, round each Lender’s percentage of such Borrowing to the next higher or lower whole Dollar amount. 

Section 2.18. Sharing of Setoffs. Each Lender agrees that if it shall, through the exercise of a right of banker’s lien,
setoff or counterclaim against the Borrower or any other Credit Party, or pursuant to a secured claim under Section 506 of Title 11 of the United States Code or other security or interest arising from, or in lieu of, such secured claim,
received by such Lender under any applicable bankruptcy, insolvency or other similar law or otherwise, or by any other means, obtain payment (voluntary or involuntary) in respect of any Loan or Loans or L/C Disbursement as a result of which the
unpaid principal portion of its Loans and participations in L/C Disbursements shall be proportionately less than the unpaid principal portion of the Loans and participations in L/C Disbursements of any other Lender, it shall be deemed simultaneously
to have purchased from such other Lender at face value, and shall promptly pay to such other Lender the purchase price for, a participation in the Loans and L/C Exposure of such other Lender, so that the aggregate unpaid principal amount of the
Loans and L/C Exposure and participations in Loans and L/C Exposure held by each Lender shall be in the same proportion to the aggregate unpaid principal amount of all Loans and L/C Exposure then outstanding as the principal amount of its Loans and
L/C Exposure prior to such exercise of banker’s lien, setoff or counterclaim or other event was to the principal amount of all Loans and L/C Exposure outstanding prior to such exercise of banker’s lien, setoff or counterclaim or other
event; provided, however, that (i) if any such purchase or purchases or adjustments shall be made pursuant to this Section 2.18 and the payment giving rise thereto shall thereafter be recovered, such purchase or purchases or
adjustments shall be rescinded to the extent of such recovery and the purchase price or prices or adjustment restored without interest, and (ii) the provisions of this Section 2.18 shall not be construed to apply to any payment made by the
Borrower pursuant to and in accordance with the express terms of this Agreement (including any application of funds arising from the existence of a Defaulting Lender) or any payment obtained by a Lender as

  
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consideration for the assignment of or sale of a participation in any of its Loans to any assignee or participant, other than, unless such assignment was made pursuant to Section 9.04(l), to
the Borrower or any of its Affiliates (it being understood that, unless such assignment was made pursuant to Section 9.04(l), the provisions of this Section 2.18 shall apply). The Borrower expressly consents to the foregoing arrangements
and agree that any Lender holding a participation in a Loan or L/C Disbursement deemed to have been so purchased may exercise any and all rights of banker’s lien, setoff or counterclaim with respect to any and all moneys owing by the Borrower
to such Lender by reason thereof as fully as if such Lender had made a Loan directly to the Borrower in the amount of such participation. 

Section 2.19. Payments. (a) The Borrower shall make each payment (including principal of or interest on any Borrowing or any
L/C Disbursement or any Fees or other amounts) hereunder and under any other Credit Document not later than 12:00 (noon), New York City time, on the date when due in immediately available Dollars, without setoff, defense or counterclaim. Any amounts
received after such time on any date may, in the discretion of the Administrative Agent, be deemed to have been received on the next succeeding Business Day for purposes of calculating interest thereon. Each such payment (other than Issuing Bank
Fees, which shall be paid directly to the applicable Issuing Bank) shall be made to the Administrative Agent at its offices at Eleven Madison Avenue, New York, NY 10010. The Administrative Agent shall promptly distribute to each Lender any payments
received by the Administrative Agent on behalf of such Lender. 
 (b) Except as otherwise expressly provided herein, whenever any payment
(including principal of or interest on any Borrowing or any Fees or other amounts) hereunder or under any other Credit Document shall become due, or otherwise would occur, on a day that is not a Business Day, such payment may be made on the next
succeeding Business Day, and such extension of time shall in such case be included in the computation of interest or Fees, if applicable. 

Section 2.20. Taxes. (a) Any and all payments by or on account of any obligation of the Borrower or any other Credit Party
hereunder or under any other Credit Document shall be made free and clear of and without deduction for any Indemnified Taxes or Other Taxes except as required by law; provided that, if the Borrower or any other Credit Party shall be required to
deduct any Indemnified Taxes or Other Taxes from such payments, then (i) the sum payable shall be increased as necessary so that after making all required deductions for Indemnified Taxes or Other Taxes (including deductions for Indemnified
Taxes or Other Taxes applicable to additional sums payable under this Section) the Administrative Agent, each Lender and each Issuing Bank (as the case may be) receives an amount equal to the sum it would have received had no such deductions been
made, (ii) the Borrower or such Credit Party shall make such deductions and (iii) the Borrower or such Credit Party shall pay the full amount deducted to the relevant Governmental Authority in accordance with applicable law. 

(b) In addition, the Borrower shall pay any Other Taxes to the relevant Governmental Authority in accordance with applicable law. 

  
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 (c)(i) Indemnification by the Borrower. The Borrower shall indemnify the Administrative
Agent, each Lender and each Issuing Bank, within 10 days after written demand therefor, for the full amount of any Indemnified Taxes or Other Taxes paid by the Administrative Agent, such Lender or such Issuing Bank, as the case may be, on or with
respect to any payment by or on account of any obligation of the Borrower or any other Credit Party hereunder or under any other Credit Document (including Indemnified Taxes or Other Taxes imposed or asserted on or attributable to amounts payable
under this Section) and any penalties, interest and reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes or Other Taxes were correctly or legally imposed or asserted by the relevant Governmental
Authority. A certificate as to the amount of such payment or liability delivered to the Borrower by a Lender or an Issuing Bank, or by the Administrative Agent on behalf of itself, a Lender or an Issuing Bank, shall be conclusive absent manifest
error. 
 (ii) Indemnification by Lenders. Each Lender shall severally indemnify the Administrative Agent, within 10 days after demand
therefor, for (x) any Indemnified Taxes attributable to such Lender (but only to the extent that the Borrower has not already indemnified the Administrative Agent for such Indemnified Taxes and without limiting the obligation of the Borrower to
do so) (y) any Taxes attributable to such Lender’s failure to comply with the provisions of Section 9.04(f) relating to the maintenance of the Participant Register and (z) any Excluded Taxes attributable to such Lender, in each
case, that are payable or paid by the Administrative Agent in connection with any Credit Document, and any reasonable expenses arising therefrom or with respect thereto, whether or not such Taxes were correctly or legally imposed or asserted by the
relevant Governmental Authority. A certificate as to the amount of such payment or liability delivered to any Lender by the Administrative Agent shall be conclusive absent manifest error. Each Lender hereby authorizes the Administrative Agent to set
off and apply any and all amounts at any time owing to such Lender under any Credit Document or otherwise payable by the Administrative Agent to the Lender from any other source against any amount due to the Administrative Agent under this paragraph
(c)(ii). 
 (d) As soon as practicable after any payment of Indemnified Taxes or Other Taxes by the Borrower or any other Credit Party to a
Governmental Authority, the Borrower shall deliver to the Administrative Agent the original or a certified copy of a receipt issued by such Governmental Authority evidencing such payment, a copy of the return reporting such payment or other evidence
of such payment reasonably satisfactory to the Administrative Agent. 
 (e)(i) Any Lender that is entitled to an exemption from or reduction
of withholding tax with respect to payments under this Agreement or any other Credit Document shall deliver to the Borrower (with a copy to the Administrative Agent), at the time or times prescribed by applicable law or reasonably requested by the
Borrower or the Administrative Agent, such properly completed and executed documentation prescribed by applicable law or reasonably requested by the Borrower or the Administrative Agent as will permit such payments to be made without withholding or
at a reduced rate. In addition, any Lender, if requested by the Borrower or the Administrative Agent, shall deliver such other documentation prescribed by law or reasonably requested by the Borrower or the Administrative Agent as will enable the
Borrower or the Administrative Agent to determine whether or not such Lender is subject to any 

  
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withholding (including backup withholding) or information reporting requirements. Upon the reasonable request of such Borrower or the Administrative Agent, any Lender shall update any form or
certification previously delivered pursuant to this Section 2.20(e). If any form or certification previously delivered pursuant to this Section expires or becomes obsolete or inaccurate in any respect with respect to a Lender, such Lender shall
promptly (and in any event within 10 days after such expiration, obsolescence or inaccuracy) notify such Borrower and the Administrative Agent in writing of such expiration, obsolescence or inaccuracy and update the form or certification if it is
legally eligible to do so. 
 (ii) Without limiting the generality of the foregoing, if the Borrower is a “United States
person” within the meaning of Section 7701(a)(30) of the Code, any Lender with respect to such Borrower shall, if it is legally eligible to do so, deliver to such Borrower and the Administrative Agent (in such number of copies reasonably
requested by such Borrower and the Administrative Agent) on or prior to the date on which such Lender becomes a party hereto, duly completed and executed copies of whichever of the following is applicable: 

(A) in the case of a Lender that is not a Foreign Lender, IRS Form W-9 certifying that such Lender is exempt from U.S. federal
backup withholding tax; 
 (B) in the case of a Foreign Lender claiming the benefits of an income tax treaty to which the
United States is a party (1) with respect to payments of interest under any Credit Document, IRS Form W-8BEN establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the “interest” article of such tax
treaty and (2) with respect to any other applicable payments under any Credit Document, IRS Form W-8BEN establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the “business profits” or “other
income” article of such tax treaty; 
 (C) in the case of a Foreign Lender for which payments under any Credit Document
constitute income that is effectively connected with such Lender’s conduct of a trade or business in the United States, IRS Form W-8ECI; 

(D) in the case of a Foreign Lender claiming the benefits of the exemption for portfolio interest under Section 881(c) of
the Code both (1) IRS Form W-8BEN and (2) a certificate to the effect that such Lender is not (a) a “bank” within the meaning of Section 881(c)(3)(A) of the Code, (b) a “10 percent shareholder” of the
Borrower within the meaning of Section 881(c)(3)(B) of the Code (c) a “controlled foreign corporation” described in Section 881(c)(3)(C) of the Code and (d) conducting a trade or business in the United States with which
the relevant interest payments are effectively connected; 
 (E) in the case of a Foreign Lender that is not the beneficial
owner of payments made under any Credit Document (including a partnership or a 

  
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participating Lender) (1) an IRS Form W-8IMY on behalf of itself and (2) the relevant forms prescribed in clauses (A), (B), (C), (D) and (F) of this paragraph (e)(ii) that
would be required of each such beneficial owner or partner of such partnership if such beneficial owner or partner were a Lender; provided, however, that if the Lender is a partnership and one or more of its partners are claiming the exemption for
portfolio interest under Section 881(c) of the Code, such Lender may provide the certificate described in (D)(2) above on behalf of such partners; or 

(F) any other form prescribed by law as a basis for claiming exemption from, or a reduction of, U.S. federal withholding Tax
together with such supplementary documentation necessary to enable the Borrower or the Administrative Agent to determine the amount of Tax (if any) required by law to be withheld. 

(iii) If a payment made to a Lender under any Credit Document would be subject to U.S. federal withholding Tax imposed by FATCA
if such Lender were to fail to comply with the applicable reporting requirements of FATCA (including those contained in Section 1471(b) or 1472(b) of the Code, as applicable), such Lender shall deliver to the applicable withholding agent, at
the time or times prescribed by law and at such time or times reasonably requested by such withholding agent, such documentation prescribed by applicable law (including as prescribed by Section 1471(b)(3)(C)(i) of the Code) and such additional
documentation reasonably requested by the withholding agent as may be necessary for the withholding agent to comply with its obligations under FATCA, to determine that such Lender has or has not complied with such Lender’s obligations under
FATCA or to determine the amount to deduct and withhold from such payment. Solely for purposes of this Section 2.20(e)(iii), “FATCA” shall include any amendments made to FATCA after the date of this Agreement. 

(f) If any party determines, in its sole discretion exercised in good faith, that it has received a refund of any Taxes as to which it has
been indemnified pursuant to this Section 2.20 (including additional amounts pursuant to this Section 2.20), it shall pay to the indemnifying party an amount equal to such refund (but only to the extent of indemnity payments made under
this Section with respect to the Taxes giving rise to such refund), net of all out-of-pocket expenses (including Taxes) of such indemnified party and without interest (other than any interest paid by the relevant Governmental Authority with respect
to such refund). Such indemnifying party, upon the request of such indemnified party, shall repay to such indemnified party the amount paid over pursuant to this paragraph (f) (plus any penalties, interest or other charges imposed by the
relevant Governmental Authority) in the event that such indemnified party is required to repay such refund to such Governmental Authority. Notwithstanding anything to the contrary in this paragraph (f), in no event will the indemnified party be
required to pay any amount to an indemnifying party pursuant to this paragraph (f) the payment of which would place the indemnified party in a less favorable net after-Tax position than the indemnified party would have been in if the Tax
subject to indemnification and giving rise to such refund had not been deducted, withheld or otherwise imposed and the indemnification payments or 

  
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additional amounts with respect to such Tax had never been paid. This paragraph shall not be construed to require any indemnified party to make available its Tax returns (or any other information
relating to its Taxes that it deems confidential) to the indemnifying party or any other Person. 
 (g) For purposes of this
Section 2.20, the term “Lender” includes the Issuing Lender. 
 Section 2.21. Assignment of Commitments Under Certain
Circumstances; Duty to Mitigate. (a) In the event (i) any Lender or any Issuing Bank delivers a certificate requesting compensation pursuant to Section 2.14, (ii) any Lender or any Issuing Bank delivers a notice described in
Section 2.15, (iii) the Borrower is required to pay any additional amount to any Lender or any Issuing Bank or any Governmental Authority on account of any Lender or any Issuing Bank pursuant to Section 2.20, (iv) any Lender
refuses to consent to any amendment, waiver or other modification of any Credit Document requested by the Borrower that requires the consent of a greater percentage of the Lenders than the Required Lenders and such amendment, waiver or other
modification is consented to by the Required Lenders, or (v) any Lender becomes a Defaulting Lender, then, in each case, the Borrower may, at its sole expense and effort (including with respect to the processing and recordation fee referred to
in Section 9.04(b)), upon notice to such Lender or such Issuing Bank, as the case may be, and the Administrative Agent, require such Lender or such Issuing Bank to transfer and assign, without recourse (in accordance with and subject to the
restrictions contained in Section 9.04), all of its interests, rights and obligations under this Agreement (or, in the case of clause (iv) above, all of its interests, rights and obligation with respect to the Class of Loans or Commitments
that is the subject of the related consent, amendment, waiver or other modification) to an Eligible Assignee that shall assume such assigned obligations and, with respect to clause (iv) above, shall consent to such requested amendment, waiver
or other modification of any Credit Documents (which assignee may be another Lender, if a Lender accepts such assignment); provided that (x) such assignment shall not conflict with any law, rule or regulation or order of any court or
other Governmental Authority having jurisdiction, (y) the Borrower shall have received the prior written consent of the Administrative Agent (and, if a Revolving Credit Commitment is being assigned, of each Issuing Bank), which consents shall
not unreasonably be withheld or delayed, and (z) the Borrower or such assignee shall have paid to the affected Lender or the affected Issuing Bank in immediately available funds an amount equal to the sum of the principal of and interest
accrued to the date of such payment on the outstanding Loans or L/C Disbursements of such Lender or such Issuing Bank, respectively, plus all Fees and other amounts accrued for the account of such Lender or such Issuing Bank hereunder with respect
thereto (including any amounts under Sections 2.14 and 2.16 and, if applicable, the fee pursuant to Section 2.05(d) (with such assignment being deemed to be a voluntary prepayment for purposes of determining the applicability of
Section 2.05(d), such amount to be payable by the Borrower)); provided further that, if prior to any such transfer and assignment the circumstances or event that resulted in such Lender’s or such Issuing Bank’s claim for
compensation under Section 2.14, notice under Section 2.15 or the amounts paid pursuant to Section 2.20, as the case may be, cease to cause such Lender or such Issuing Bank to suffer increased costs or reductions in amounts received
or receivable or reduction in return on capital, or cease to have the consequences specified in Section 2.15, or cease to result in amounts being payable under Section 2.20, as the case may be

  
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(including as a result of any action taken by such Lender or such Issuing Bank pursuant to paragraph (b) below), or if such Lender or such Issuing Bank shall waive its right to claim further
compensation under Section 2.14 in respect of such circumstances or event or shall withdraw its notice under Section 2.15 or shall waive its right to further payments under Section 2.20 in respect of such circumstances or event or
shall consent to the proposed amendment, waiver, consent or other modification, as the case may be, then such Lender or such Issuing Bank shall not thereafter be required to make any such transfer and assignment hereunder. Each Lender and each
Issuing Bank hereby grants to the Administrative Agent an irrevocable power of attorney (which power is coupled with an interest) to execute and deliver, on behalf of such Lender or such Issuing Bank, as the case may be, as assignor, any Assignment
and Acceptance necessary to effectuate any assignment of such Lender’s or such Issuing Bank’s interests hereunder in the circumstances contemplated by this Section 2.21(a). 

(b) If (i) any Lender or any Issuing Bank shall request compensation under Section 2.14, (ii) any Lender or any Issuing Bank
delivers a notice described in Section 2.15 or (iii) the Borrower is required to pay any additional amount to any Lender or any Issuing Bank or any Governmental Authority on account of any Lender or any Issuing Bank, pursuant to
Section 2.20, then such Lender or such Issuing Bank shall use reasonable efforts (which shall not require such Lender or such Issuing Bank to incur an unreimbursed loss or unreimbursed cost or expense or otherwise take any action inconsistent
with its internal policies or legal or regulatory restrictions or suffer any disadvantage or burden deemed by it to be significant) (x) to file any certificate or document reasonably requested in writing by the Borrower or (y) to assign
its rights and delegate and transfer its obligations hereunder to another of its offices, branches or affiliates, if such filing or assignment would reduce its claims for compensation under Section 2.14 or enable it to withdraw its notice
pursuant to Section 2.15 or would reduce amounts payable pursuant to Section 2.20, as the case may be, in the future. The Borrower hereby agrees to pay all reasonable costs and expenses incurred by any Lender or any Issuing Bank in
connection with any such filing or assignment, delegation and transfer. 
 Section 2.22. Letters of Credit.
(a) General. The Borrower may request the issuance of a Letter of Credit for its own account or for the account of any of its Wholly Owned Restricted Subsidiaries (in which case the Borrower and such Wholly Owned Restricted
Subsidiary shall be co-applicants with respect to such Letter of Credit), in a form reasonably acceptable to the Administrative Agent and the applicable Issuing Bank, at any time and from time to time while the L/C Commitment remains in effect as
set forth in Section 2.09(a). This Section shall not be construed to impose an obligation upon any Issuing Bank to issue any Letter of Credit that is inconsistent with the terms and conditions of this Agreement. A Letter of Credit shall be
issued, amended, renewed or extended only if, and upon issuance, amendment, renewal or extension of each Letter of Credit the Borrower shall be deemed to represent and warrant that, after giving effect to such issuance, amendment, renewal or
extension (i) the L/C Exposure shall not exceed $25,000,000 and (ii) the Aggregate Revolving Credit Exposure shall not exceed the Total Revolving Credit Commitment. 

(b) Notice of Issuance, Amendment, Renewal, Extension; Certain Conditions. 

  
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 (i) Each Letter of Credit shall be issued or amended, as the case may be, upon
the request of the Borrower delivered to the Issuing Bank (with a copy to the Administrative Agent) in the form of a Letter of Credit Application, appropriately completed and signed by an Authorized Officer of the Borrower. Such Letter of Credit
Application may be sent by facsimile, by United States mail, by overnight courier, by electronic transmission using the system provided by the Issuing Bank, by personal delivery or by any other means acceptable to the Issuing Bank. Such Letter of
Credit Application must be received by the Issuing Bank and the Administrative Agent not later than 11:00 a.m. at least two Business Days (or such later date and time as the Administrative Agent and the Issuing Bank may agree in a particular
instance in their sole discretion) prior to the proposed issuance date or date of amendment, as the case may be. In the case of a request for an initial issuance of a Letter of Credit, such Letter of Credit Application shall specify in form and
detail satisfactory to the Issuing Bank: (A) the proposed issuance date of the requested Letter of Credit (which shall be a Business Day); (B) the amount thereof; (C) the expiry date thereof; (D) the name and address of the
beneficiary thereof; (E) the documents to be presented by such beneficiary in case of any drawing thereunder; (F) the full text of any certificate to be presented by such beneficiary in case of any drawing thereunder; (G) the purpose
and nature of the requested Letter of Credit; and (H) such other matters as the Issuing Bank may require. In the case of a request for an amendment of any outstanding Letter of Credit, such Letter of Credit Application shall specify in form and
detail satisfactory to the Issuing Bank (A) the Letter of Credit to be amended; (B) the proposed date of amendment thereof (which shall be a Business Day); (C) the nature of the proposed amendment; and (D) such other matters as
the Issuing Bank may require. Additionally, the Borrower shall furnish to the Issuing Bank and the Administrative Agent such other documents and information pertaining to such requested Letter of Credit issuance or amendment, including any Issuer
Documents, as the Issuing Bank or the Administrative Agent may require. 
 (ii) Promptly after receipt of any Letter of
Credit Application, the Issuing Bank will confirm with the Administrative Agent (by telephone or in writing) that the Administrative Agent has received a copy of such Letter of Credit Application from the Borrower and, if not, the Issuing Bank will
provide the Administrative Agent with a copy thereof. Unless the Issuing Bank has received written notice from any Lender, the Administrative Agent or any Credit Party, at least one Business Day prior to the requested date of issuance or amendment
of the applicable Letter of Credit, that one or more applicable conditions contained in Article 4 shall not then be satisfied, then, subject to the terms and conditions hereof, the Issuing Bank shall, on the requested date, issue a Letter of Credit
for the account of the Borrower or enter into the applicable amendment, as the case may be, in each case in accordance with the Issuing Bank’s usual and customary business practices. Immediately upon the issuance of each Letter of Credit, each
Lender shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from the Issuing Bank a risk participation in such Letter of Credit in an amount equal to the product of such Lender’s Pro Rata Percentage times the
amount of such Letter of Credit. 

  
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 (iii) If the Borrower so requests in any applicable Letter of Credit Application,
the Issuing Bank may, in its sole discretion, agree to issue a Letter of Credit that has automatic extension provisions (each, an “Auto-Extension Letter of Credit”); provided that any such Auto-Extension Letter of Credit must
permit the Issuing Bank to prevent any such extension at least once in each twelve-month period (commencing with the date of issuance of such Letter of Credit) by giving prior notice to the beneficiary thereof not later than a day (the
“Non-Extension Notice Date”) in each such twelve-month period to be agreed upon at the time such Letter of Credit is issued. Unless otherwise directed by the Issuing Bank, the Borrower shall not be required to make a specific
request to the Issuing Bank for any such extension. Once an Auto-Extension Letter of Credit has been issued, the Lenders shall be deemed to have authorized (but may not require) the Issuing Bank to permit the extension of such Letter of Credit at
any time to an expiry date not later than the Letter of Credit Expiration Date; provided, however, that the Issuing Bank shall not permit any such extension if (A) the Issuing Bank has determined that it would not be permitted, or would
have no obligation, at such time to issue such Letter of Credit in its revised form (as extended) under the terms hereof, or (B) it has received notice (which may be by telephone or in writing) on or before the day that is seven Business Days
before the Non-Extension Notice Date (1) from the Administrative Agent that the Required Lenders have elected not to permit such extension or (2) from the Administrative Agent, any Lender or the Borrower that one or more of the applicable
conditions specified in Section 4.01 is not then satisfied, and in each such case directing the Issuing Bank not to permit such extension. 

(iv) If the Borrower so requests in any applicable Letter of Credit Application, the Issuing Bank may, in its sole discretion,
agree to issue a Letter of Credit that permits the automatic reinstatement of all or a portion of the stated amount thereof after any drawing thereunder (each, an “Auto-Reinstatement Letter of Credit”). Unless otherwise directed by
the Issuing Bank, the Borrower shall not be required to make a specific request to the Issuing Bank to permit such reinstatement. Once an Auto-Reinstatement Letter of Credit has been issued, except as provided in the following sentence, the Lenders
shall be deemed to have authorized (but may not require) the Issuing Bank to reinstate all or a portion of the stated amount thereof in accordance with the provisions of such Letter of Credit. Notwithstanding the foregoing, if such
Auto-Reinstatement Letter of Credit permits the Issuing Bank to decline to reinstate all or any portion of the stated amount thereof after a drawing thereunder by giving notice of such non-reinstatement within a specified number of days after such
drawing (the “Non-Reinstatement Deadline”), the Issuing Bank shall not permit such reinstatement if it has received a notice (which may be by telephone or in writing) on or before the day that is seven Business Days before the
Non-Reinstatement Deadline (A) from the Administrative Agent that the Required Lenders have elected not to permit such reinstatement or (B) from the Administrative Agent, any Lender or the Borrower that one or more of the applicable
conditions specified in Section 4.01 is not then satisfied (treating such reinstatement as an L/C Credit Extension for purposes of this clause) and, in each case, directing the Issuing Bank not to permit such reinstatement. 

  
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 (v) Promptly after its delivery of any Letter of Credit or any amendment to a
Letter of Credit to an advising bank with respect thereto or to the beneficiary thereof, the Issuing Bank will also deliver to the Borrower and the Administrative Agent a true and complete copy of such Letter of Credit or amendment. 

(vi) The Issuing Bank shall not be under any obligation to issue any Letter of Credit if: (i) any order, judgment or
decree of any Governmental Authority or arbitrator shall by its terms purport to enjoin or restrain the Issuing Bank from issuing the Letter of Credit, or any Law applicable to the Issuing Bank or any request or directive (whether or not having the
force of law) from any Governmental Authority with jurisdiction over the Issuing Bank shall prohibit, or request that the Issuing Bank refrain from, the issuance of letters of credit generally or the Letter of Credit in particular or shall impose
upon the Issuing Bank with respect to the Letter of Credit any restriction, reserve or capital requirement (for which the Issuing Bank is not otherwise compensated hereunder) not in effect on the Closing Date, or shall impose upon the Issuing Bank
any unreimbursed loss, cost or expense which was not applicable on the Closing Date and which the Issuing Bank in good faith deems material to it; or (ii) the issuance of the Letter of Credit would violate one or more policies of the Issuing
Bank applicable to letters of credit generally. Unless otherwise expressly agreed by the Issuing Bank and the Borrower when a Letter of Credit is issued, (i) the rules of the ISP shall apply to each standby Letter of Credit, and (ii) the
rules of the UCP shall apply to each commercial Letter of Credit. Notwithstanding the foregoing, the Issuing Bank shall not be responsible to the Borrower for, and the Issuing Bank’s rights and remedies against the Borrower shall not be
impaired by, any action or inaction of the Issuing Bank required or permitted under any law, order, or practice that is required or permitted to be applied to any Letter of Credit or this Agreement, including the law or any order of a jurisdiction
where the Issuing Bank or the beneficiary is located, the practice stated in the ISP or UCP, as applicable, or in the decisions, opinions, practice statements, or official commentary of the ICC Banking Commission, the Bankers Association for Finance
and Trade - International Financial Services Association (BAFT-IFSA), or the Institute of International Banking Law & Practice, whether or not any Letter of Credit chooses such law or practice. 

(c) Expiration Date. Each Letter of Credit shall expire at the close of business on the earlier of the date one year after the date of
the issuance of such Letter of Credit and the date that is five Business Days prior to the Revolving Credit Maturity Date, unless such Letter of Credit expires by its terms on an earlier date; provided, however, that a Letter of Credit may
include a provision whereby such Letter of Credit shall be renewed automatically for additional consecutive periods as provided in clause (b) of this Section 2.22. 

(d) Participations. By the issuance of a Letter of Credit and without any further action on the part of the applicable Issuing Bank or
the Lenders, such Issuing Bank hereby grants to each Revolving Credit Lender, and each such Lender hereby acquires from such Issuing Bank, a participation in such Letter of Credit equal to such Lender’s Pro Rata Percentage of the aggregate
amount available to be drawn under such Letter of Credit, effective upon the issuance of such Letter of Credit (or, in the case of the Continuing Letters of Credit, effective upon the 

  
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Closing Date). In consideration and in furtherance of the foregoing, each Revolving Credit Lender hereby absolutely and unconditionally agrees to pay to the Administrative Agent, for the account
of the applicable Issuing Bank, such Lender’s Pro Rata Percentage of each L/C Disbursement made by such Issuing Bank and not reimbursed by the Borrower (or, if applicable, another party pursuant to its obligations under any other Credit
Document) forthwith on the date due as provided in Section 2.02(f). Each Revolving Credit Lender acknowledges and agrees that its obligation to acquire participations pursuant to this paragraph in respect of Letters of Credit is absolute and
unconditional and shall not be affected by any circumstance whatsoever, including the occurrence and continuance of a Default or an Event of Default, and that each such payment shall be made without any offset, abatement, withholding or reduction
whatsoever. 
 (e) Reimbursement. Upon receipt from the beneficiary of any Letter of Credit of any notice of a drawing under such
Letter of Credit, the Issuing Bank shall notify the Borrower and the Administrative Agent thereof. The Borrower shall pay to the Administrative Agent an amount equal to such L/C Disbursement by not later than 12:00 noon, New York City time, on the
Business Day immediately following the day that the Borrower shall have received notice from such Issuing Bank that payment of such draft will be made. 

(f) Obligations Absolute. The Borrower’s obligations to reimburse L/C Disbursements as provided in paragraph (e) above shall
be absolute, unconditional and irrevocable, and shall be performed strictly in accordance with the terms of this Agreement, under any and all circumstances whatsoever, and irrespective of: 

(i) any lack of validity or enforceability of any Letter of Credit or any Credit Document, or any term or provision therein;

 (ii) any amendment or waiver of or any consent to departure from all or any of the provisions of any Letter of Credit or
any Credit Document; 
 (iii) the existence of any claim, setoff, defense or other right that the Borrower, any other party
guaranteeing, or otherwise obligated with, the Borrower, any Restricted Subsidiary or other Affiliate thereof or any other Person may at any time have against the beneficiary under any Letter of Credit, the applicable Issuing Bank, the
Administrative Agent or any Lender or any other Person, whether in connection with this Agreement, any other Credit Document or any other related or unrelated agreement or transaction; 

(iv) any draft or other document presented under a Letter of Credit proving to be forged, fraudulent, invalid or insufficient
in any respect or any statement therein being untrue or inaccurate in any respect; 
 (v) payment by the applicable Issuing
Bank under a Letter of Credit against presentation of a draft or other document that does not comply with the terms of such Letter of Credit; and 

  
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 (vi) any other act or omission to act or delay of any kind of the applicable
Issuing Bank, the Lenders, the Administrative Agent or any other Person or any other event or circumstance whatsoever, whether or not similar to any of the foregoing, that might, but for the provisions of this Section, constitute a legal or
equitable discharge of the Borrower’s obligations hereunder. 
 Without limiting the generality of the foregoing, it is expressly
understood and agreed that the absolute and unconditional obligation of the Borrower hereunder to reimburse L/C Disbursements will not be excused by the gross negligence or willful misconduct of the applicable Issuing Bank. However, the foregoing
shall not be construed to excuse such Issuing Bank from liability to the Borrower to the extent of any direct damages (as opposed to consequential damages, claims in respect of which are hereby waived by the Borrower to the extent permitted by
applicable law) suffered by the Borrower that are caused by such Issuing Bank’s gross negligence or willful misconduct in determining whether drafts and other documents presented under a Letter of Credit comply with the terms thereof. It is
further understood and agreed that the applicable Issuing Bank may accept documents that appear on their face to be in order, without responsibility for further investigation, regardless of any notice or information to the contrary and, in making
any payment under any Letter of Credit issued by such Issuing Bank (i) such Issuing Bank’s exclusive reliance on the documents presented to it under such Letter of Credit as to any and all matters set forth therein, including reliance on
the amount of any draft presented under such Letter of Credit, whether or not the amount due to the beneficiary thereunder equals the amount of such draft and whether or not any document presented pursuant to such Letter of Credit proves to be
insufficient in any respect, if such document on its face appears to be in order, and whether or not any other statement or any other document presented pursuant to such Letter of Credit proves to be forged or invalid or any statement therein proves
to be inaccurate or untrue in any respect whatsoever and (ii) any noncompliance in any immaterial respect of the documents presented under such Letter of Credit with the terms thereof shall, in each case, be deemed not to constitute gross
negligence or willful misconduct of such Issuing Bank. 
 (g) Disbursement Procedures. The applicable Issuing Bank shall, promptly
following its receipt thereof, examine all documents purporting to represent a demand for payment under a Letter of Credit. Such Issuing Bank shall as promptly as possible give telephonic notification, confirmed by fax, to the Administrative Agent
and the Borrower of such demand for payment and whether such Issuing Bank has made or will make an L/C Disbursement thereunder; provided that any failure to give or delay in giving such notice shall not relieve the Borrower of its obligation
to reimburse such Issuing Bank and the Revolving Credit Lenders with respect to any such L/C Disbursement. 
 (h) Interim Interest.
If any Issuing Bank shall make any L/C Disbursement in respect of a Letter of Credit issued by such Issuing Bank, then, unless the Borrower shall reimburse such L/C Disbursement in full on such date, the unpaid amount thereof shall bear interest for
the account of such Issuing Bank, for each day from and including the date of such L/C Disbursement, to but excluding the earlier of the date of payment by the Borrower or the date on which interest shall commence to accrue thereon as provided in
Section 2.02(f), at the rate per annum that would apply to such amount if such amount were an ABR Revolving Loan. 

  
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 (i) Resignation or Removal of an Issuing Bank. Any Issuing Bank may resign at any time by
giving 30 days’ prior written notice to the Administrative Agent, the Lenders and the Borrower, and may be removed at any time by the Borrower by notice to such Issuing Bank, the Administrative Agent and the Lenders. Upon the acceptance of any
appointment as an Issuing Bank hereunder by a Lender that shall agree to serve as a successor Issuing Bank, such successor shall succeed to and become vested with all the interests, rights and obligations of such retiring Issuing Bank. At the time
such removal or resignation shall become effective, the Borrower shall pay all accrued and unpaid fees pursuant to Section 2.05(c)(ii). The acceptance of any appointment as an Issuing Bank hereunder by a successor Lender shall be evidenced by
an agreement entered into by such successor, in a form satisfactory to the Borrower and the Administrative Agent, and, from and after the effective date of such agreement, (i) such successor Lender shall have all the rights and obligations of
such previous Issuing Bank under this Agreement and the other Credit Documents and (ii) references herein and in the other Credit Documents to the term “Issuing Bank” shall be deemed to refer to such successor or to any previous
Issuing Bank, or to such successor and all previous Issuing Banks, as the context shall require. After the resignation or removal of an Issuing Bank hereunder, the retiring Issuing Bank shall remain a party hereto and shall continue to have all the
rights and obligations of an Issuing Bank under this Agreement and the other Credit Documents with respect to Letters of Credit issued by it prior to such resignation or removal, but shall not be required to issue additional Letters of Credit. 

(j) Cash Collateralization. If the Revolving Loans have become due and payable (whether at stated maturity, by acceleration or
otherwise) and Letters of Credit are outstanding, the Borrower shall, following notice from the Administrative Agent or Revolving Credit Lenders holding participations in outstanding Letters of Credit representing greater than 50% of the aggregate
undrawn amount of all outstanding Letters of Credit) thereof and of the amount to be deposited, deposit in an account with the Collateral Agent, for the benefit of the Revolving Credit Lenders, an amount in cash equal to 103% of L/C Exposure as of
such date; provided that the obligation to deposit such cash will become effective immediately, and such deposit will become immediately payable in immediately available funds, without demand or notice of any kind, upon the occurrence of an
Event of Default described in Section 7.01(e) with respect to the Borrower. Such deposit shall be held by the Collateral Agent as collateral for the payment and performance of the Obligations. The Collateral Agent shall have exclusive dominion
and control, including the exclusive right of withdrawal, over such account. Other than any interest earned on the investment of such deposits in Cash Equivalents, which investments shall be made at the option and sole discretion of the Collateral
Agent, such deposits shall not bear interest. Interest or profits, if any, on such investments shall accumulate in such account. Moneys in such account shall (i) automatically be applied by the Administrative Agent to reimburse the applicable
Issuing Bank for L/C Disbursements for which it has not been reimbursed, (ii) be held for the satisfaction of the reimbursement obligations of the Borrower for the L/C Exposure at such time and (iii) if the maturity of the Loans has been
accelerated (but subject to the consent of Revolving Credit Lenders holding participations in outstanding Letters of Credit representing 

  
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greater than 50% of the aggregate undrawn amount of all outstanding Letters of Credit), be applied to satisfy the Obligations. If the Borrower is required to provide an amount of cash collateral
hereunder as a result of the occurrence of an Event of Default, such amount (to the extent not applied as aforesaid) shall be returned to the Borrower within three Business Days after the earlier of (x) all Events of Default have been cured or
waived and (y) all Letters of Credit have expired and the L/C Exposure has been reduced to zero. 
 (k) Additional Issuing
Banks. The Borrower may, at any time and from time to time with the consent of the Administrative Agent (which consent shall not be unreasonably withheld or delayed) and such Lender, designate one or more additional Lenders to act as an issuing
bank under the terms of this Agreement, subject to reporting requirements reasonably satisfactory to the Administrative Agent with respect to issuances, amendments, extensions and terminations of Letters of Credit by such additional issuing bank.
Any Lender designated as an issuing bank pursuant to this paragraph (k) shall be deemed to be an “Issuing Bank” (in addition to being a Lender) in respect of Letters of Credit issued or to be issued by such Lender, and, with respect
to such Letters of Credit, such term shall thereafter apply to the other Issuing Bank and such Lender. 
 (l) Continuing Letters of
Credit. All Continuing Letters of Credit shall remain outstanding hereunder on the terms set forth herein. Each Revolving Credit Lender’s risk participation in each Continuing Letter of Credit shall be determined in accordance with such
Lender’s Pro Rata Percentage, as if such Continuing Letter of Credit had been issued on the Closing Date. 
 Section 2.23. Cash
Collateral. At any time that there shall exist a Defaulting Lender, within one Business Day following the written request of the Administrative Agent or any Issuing Bank (with a copy to the Administrative Agent) the Borrower shall Cash
Collateralize the Issuing Banks’ Fronting Exposure with respect to such Defaulting Lender (determined after giving effect to Section 2.24(a)(iv) and any Cash Collateral provided by such Defaulting Lender) in an amount not less than the
Minimum Collateral Amount. 
 (a) The Borrower, and to the extent provided by any Defaulting Lender, such Defaulting Lender, hereby grants
to the Collateral Agent, for the benefit of the Issuing Banks, and agrees to maintain, a first priority security interest in all such Cash Collateral as security for the Defaulting Lender’s obligation to fund participations in respect of L/C
Exposure, to be applied pursuant to clause (b) below. If at any time the Collateral Agent determines that Cash Collateral is subject to any right or claim of any Person other than the Collateral Agent and the Issuing Banks as herein provided,
or that the total amount of such Cash Collateral is less than the Minimum Collateral Amount, the Borrower will, promptly upon demand by the Collateral Agent, pay or provide to the Collateral Agent additional Cash Collateral in an amount sufficient
to eliminate such deficiency (after giving effect to any Cash Collateral provided by the Defaulting Lender). 
 (b) Notwithstanding anything
to the contrary contained in this Agreement, Cash Collateral provided under this Section 2.23 or Section 2.24 in respect of Letters of Credit shall be applied to the satisfaction of the Defaulting Lender’s obligation to fund
participations in respect 

  
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of L/C Exposure (including, as to Cash Collateral provided by a Defaulting Lender, any interest accrued on such obligation) for which the Cash Collateral was so provided, prior to any other
application of such property as may otherwise be provided for herein. 
 (c) Cash Collateral (or the appropriate portion thereof) provided
to reduce any Issuing Bank’s Fronting Exposure shall no longer be required to be held as Cash Collateral pursuant to this Section 2.23 following (i) the elimination of the applicable Fronting Exposure (including by the termination of
Defaulting Lender status of the applicable Lender), or (ii) the determination by the Administrative Agent and each Issuing Bank that there exists excess Cash Collateral; provided that, subject to Section 2.24 the Person providing
Cash Collateral and each Issuing Bank may agree that Cash Collateral shall be held to support future anticipated Fronting Exposure or other obligations and provided further that to the extent that such Cash Collateral was provided by the
Borrower, such Cash Collateral shall remain subject to the security interest granted pursuant to the Credit Documents. 

Section 2.24. Defaulting Lenders. (a) Notwithstanding anything to the contrary contained in this Agreement, if any Lender
becomes a Defaulting Lender, then, until such time as such Lender is no longer a Defaulting Lender, to the extent permitted by applicable law: 

(i) Such Defaulting Lender’s right to approve or disapprove any amendment, waiver or consent with respect to this
Agreement shall be restricted as set forth in the definition of Required Lenders. 
 (ii) Any payment of principal, interest,
fees or other amounts received by the Administrative Agent for the account of such Defaulting Lender (whether voluntary or mandatory, at maturity, pursuant to Article 8 or otherwise) or received by the Administrative Agent from a Defaulting Lender
pursuant to Section 9.06 shall be applied at such time or times as may be determined by the Administrative Agent as follows: first, to the payment of any amounts owing by such Defaulting Lender to the Administrative Agent hereunder;
second, to the payment on a pro rata basis of any amounts owing by such Defaulting Lender to any Issuing Bank hereunder; third, to Cash Collateralize the Issuing Banks’ Fronting Exposure with respect to such Defaulting Lender in
accordance with Section 2.23; fourth, as the Borrower may request (so long as no Default or Event of Default exists), to the funding of any Loan in respect of which such Defaulting Lender has failed to fund its portion thereof as
required by this Agreement, as determined by the Administrative Agent; fifth, if so determined by the Administrative Agent and the Borrower, to be held in a deposit account and released pro rata in order to (x) satisfy such Defaulting
Lender’s potential future funding obligations with respect to Loans under this Agreement and (y) Cash Collateralize the Issuing Banks’ future Fronting Exposure with respect to such Defaulting Lender with respect to future Letters of
Credit issued under this Agreement, in accordance with Section 2.23; sixth, to the payment of any amounts owing to the Lenders or the Issuing Banks as a result of any judgment of a court of competent jurisdiction obtained by any Lender
or the Issuing Banks against such Defaulting Lender as a result of such Defaulting Lender’s breach of its obligations under this Agreement; seventh, so long as no Default or Event of Default exists, to the payment

  
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of any amounts owing to the Borrower as a result of any judgment of a court of competent jurisdiction obtained by the Borrower against such Defaulting Lender as a result of such Defaulting
Lender's breach of its obligations under this Agreement; and eighth, to such Defaulting Lender or as otherwise directed by a court of competent jurisdiction; provided that if (x) such payment is a payment of the principal amount
of any Loans or L/C Disbursements in respect of which such Defaulting Lender has not fully funded its appropriate share, and (y) such Loans were made or the related Letters of Credit were issued at a time when the conditions set forth in
Section 4.01 were satisfied or waived, such payment shall be applied solely to pay the Loans of, and L/C Disbursements owed to, all Non-Defaulting Lenders on a pro rata basis prior to being applied to the payment of any Loans of, or L/C
Disbursements owed to, such Defaulting Lender until such time as all Loans and funded and unfunded participations in L/C Obligations are held by the Lenders pro rata in accordance with the Commitments under the applicable Credit Facility without
giving effect to Section 2.24(a)(iv). Any payments, prepayments or other amounts paid or payable to a Defaulting Lender that are applied (or held) to pay amounts owed by a Defaulting Lender or to post Cash Collateral pursuant to this
Section 2.24(a)(ii) shall be deemed paid to and redirected by such Defaulting Lender, and each Lender irrevocably consents hereto. 

(iii)(A) No Defaulting Lender shall be entitled to receive any Commitment Fee for any period during which that Lender is a
Defaulting Lender (and the Borrower shall not be required to pay any such fee that otherwise would have been required to have been paid to that Defaulting Lender). 

(B) Each Defaulting Lender shall be entitled to receive L/C Participation Fees for any period during which that Lender is a
Defaulting Lender only to the extent allocable to its Pro Rata Percentage of the stated amount of Letters of Credit for which it has provided Cash Collateral pursuant to Section 2.23. 

(C) With respect to any Commitment Fee or L/C Participation Fee not required to be paid to any Defaulting Lender pursuant to
clause (A) or (B) above, the Borrower shall (x) pay to each Non-Defaulting Lender that portion of any such fee otherwise payable to such Defaulting Lender with respect to such Defaulting Lender’s participation in L/C Exposure
that has been reallocated to such Non-Defaulting Lender pursuant to clause (iv) below, (y) pay to each Issuing Bank the amount of any such fee otherwise payable to such Defaulting Lender to the extent allocable to such Issuing Bank’s
Fronting Exposure to such Defaulting Lender, and (z) not be required to pay the remaining amount of any such fee. 

(iv) All or any part of such Defaulting Lender’s participation in L/C Exposure shall be reallocated among the
Non-Defaulting Lenders that are Revolving Credit Lenders in accordance with their respective Pro Rata Percentages (calculated without regard to such Defaulting Lender’s Commitment) but only to the extent that (x) the

  
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conditions set forth in Section 4.01 are satisfied at the time of such reallocation (and, unless the Borrower shall have otherwise notified the Administrative Agent at such time, the
Borrower shall be deemed to have represented and warranted that such conditions are satisfied at such time), and (y) such reallocation does not cause the aggregate Revolving Credit Exposure of any Non-Defaulting Lender to exceed such
Non-Defaulting Lender’s Revolving Credit Commitment. No reallocation hereunder shall constitute a waiver or release of any claim of any party hereunder against a Defaulting Lender arising from that Lender having become a Defaulting Lender,
including any claim of a Non-Defaulting Lender as a result of such Non-Defaulting Lender’s increased exposure following such reallocation. 

(v) If the reallocation described in clause (iv) above cannot, or can only partially, be effected, the Borrower shall,
without prejudice to any right or remedy available to it hereunder or under law, Cash Collateralize the Issuing Banks’ Fronting Exposure in accordance with the procedures set forth in Section 2.23. 

(b) If the Borrower, the Collateral Agent and each Issuing Bank agree in writing that a Lender is no longer a Defaulting Lender, the
Administrative Agent will so notify the parties hereto, whereupon as of the effective date specified in such notice and subject to any conditions set forth therein (which may include arrangements with respect to any Cash Collateral), that Lender
will, to the extent applicable, purchase at par that portion of outstanding Loans of the other Lenders or take such other actions as the Administrative Agent may determine to be necessary to cause the Loans and funded and unfunded participations in
Letters of Credit to be held pro rata by the Lenders in accordance with the Commitments under the applicable Credit Facility (without giving effect to Section 2.24(a)(iv), whereupon such Lender will cease to be a Defaulting Lender;
provided that no adjustments will be made retroactively with respect to fees accrued or payments made by or on behalf of the Borrower while that Lender was a Defaulting Lender; and provided, further, that except to the extent otherwise
expressly agreed by the affected parties, no change hereunder from Defaulting Lender to Lender will constitute a waiver or release of any claim of any party hereunder arising from that Lender’s having been a Defaulting Lender. 

(c) So long as any Lender is a Defaulting Lender, no Issuing Bank shall be required to issue, extend, renew or increase any Letter of Credit
unless it is satisfied that it will have no Fronting Exposure after giving effect thereto. 
 Section 2.25. Incremental Facilities.
(a) The Borrower may, by written notice to the Administrative Agent from time to time, request Incremental Commitments in an amount such that, after giving effect thereto, (i) the Aggregate Incremental Amount does not exceed the sum of
(A) $200,000,000 and (B) an additional amount such that the First Lien Net Leverage Ratio, determined on an Incremental Pro Forma Basis after giving effect thereto (including the application of proceeds thereof, but without netting the
proceeds thereof), does not exceed 3.00 to 1.00 as of the last day of the most recently ended Calculation Period and (ii) the aggregate amount of Incremental Revolving Credit Commitments and Incremental Revolving Loans does not exceed the
Incremental Revolver Cap. Such notice shall set forth (i) the amount of the 

  
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Incremental Commitments being requested (which shall be in minimum increments of $1,000,000 and a minimum amount of $5,000,000), (ii) the date on which such Incremental Commitments are
requested to become effective (which shall not be less than 10 Business Days nor more than 60 days after the date of such notice (or such shorter periods as the Administrative Agent shall agree)) and (iii) whether such Incremental Commitments
are Incremental Revolving Credit Commitments or Incremental Term Loan Commitments. The Borrower may seek Incremental Commitments from existing Lenders (each of which shall be entitled to agree or decline to participate in its sole discretion) or any
Additional Lender. 
 (b) It shall be a condition precedent to the effectiveness of any Incremental Commitment and the incurrence of the
Incremental Loans that (i) except as otherwise agreed by the lenders providing such Incremental Loans to finance a Permitted Acquisition, no Default or Event of Default shall have occurred and be continuing immediately prior to or immediately
after giving effect to such Incremental Commitment or the incurrence of such Incremental Term Loans, as applicable, (ii) (A) the Total Leverage Ratio of the Borrower as of the last day of the most recently ended Calculation Period
(determined on an Incremental Pro Forma Basis) shall not exceed the applicable ratio for such period set forth in the definition of Incurrence Total Leverage Ratio and (B) the Total Net Leverage Ratio as of the last day of the most recently
ended Calculation Period (determined on an Incremental Pro Forma Basis, including giving effect to the application of proceeds thereof, but without netting the proceeds thereof) shall not exceed 4.00:1.00 and (iii) the terms of such Incremental
Commitments and the Incremental Loans thereunder shall comply with Section 2.25(c). 
 (c) Each Incremental Revolving Credit Commitment
(and the Incremental Revolving Loans thereunder) shall be implemented as an increase to the Total Revolving Credit Commitments and shall be on terms identical to the existing Revolving Credit Commitments (and the Revolving Loans thereunder) (it
being understood that, if required to consummate an Incremental Revolving Credit Commitment, the interest rate margins, rate floors and undrawn fees on the Revolving Facility may be increased). The terms of the Incremental Term Loans shall be
determined by the Borrower and the Incremental Term Loan Lenders and set forth in an Additional Credit Extension Amendment; provided that (i) the final maturity date of any Incremental Term Loans shall be no earlier than the Tranche B
Term Loan Maturity Date, (ii) the Weighted Average Life to Maturity of the Incremental Term Loans shall be no shorter than the remaining Weighted Average Life to Maturity of the Term Loans, (iii) the Incremental Term Loans will rank
pari passu in right of payment and with respect to security with the Tranche B Term Loans and the Revolving Loans and none of the obligors or guarantors with respect thereto shall be a Person that is not a Credit Party, (iv) any
Incremental Term Loans may participate on a pro rata basis or on a less than pro rata basis (but not on a greater than pro rata basis) in any voluntary or mandatory prepayments or commitment reductions hereunder, as specified in the applicable
Additional Credit Extension Amendment, (v) if the All-in Yield on such Incremental Term Loans exceeds the All-in Yield for the Tranche B Term Loans by more than 50 basis points (the amount of such excess above 50 basis points being referred to
herein as the “Yield Differential”), then the Applicable Margin for Tranche B Term Loans shall automatically be increased by the Yield Differential, effective upon the making of the Incremental Term Loans and (vi) to the extent
the terms of the Incremental Term Loans are inconsistent with the terms set forth herein (except as set forth in clause (i) through (v) above), such terms shall be reasonably satisfactory to the Administrative Agent. 

  
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 (d) In connection with any Incremental Commitments, the Borrower, the Administrative Agent and
each applicable Incremental Lender shall execute and deliver to the Administrative Agent an Additional Credit Extension Amendment and such other documentation as the Administrative Agent shall reasonably specify to evidence the Incremental
Commitment of each Incremental Lender. The Administrative Agent shall promptly notify each Lender as to the effectiveness of each Additional Credit Extension Amendment. Any Additional Credit Extension Amendment may, without consent of any other
Lender, effect such amendments to this Agreement and the other Credit Documents as may be necessary or appropriate, in the reasonable opinion of the Administrative Agent and the Borrower, to effect the provisions of this Section 2.25, including
any amendments necessary to establish the Incremental Term Loans and/or Incremental Term Commitments as a new Class or tranche of Term Loans and such other technical amendments as may be necessary or appropriate in the reasonable opinion of the
Administrative Agent and the Borrower in connection with the establishment of such new Class or tranche, in each case on terms consistent with this Section 2.25. Upon each increase in the Revolving Credit Commitments pursuant to this
Section 2.25, each Revolving Credit Lender with a Revolving Credit Commitment immediately prior to such increase will automatically and without further act be deemed to have assigned to each Incremental Revolving Credit Lender in respect of
such increase, and each such Incremental Revolving Credit Lender will automatically and without further act be deemed to have assumed, a portion of such existing Revolving Credit Lender’s participations hereunder in outstanding Letters of
Credit such that, after giving effect to each such deemed assignment and assumption of participations, the percentage of the aggregate outstanding participations hereunder in Letters of Credit held by each Revolving Credit Lender (including each
such Incremental Revolving Credit Lender) will equal its Pro Rata Percentage. If, on the date of such increase, there are any Revolving Loans outstanding, such Revolving Loans shall upon the effectiveness of such Incremental Revolving Credit
Commitment be prepaid from the proceeds of additional Revolving Loans made hereunder (reflecting such increase in Revolving Credit Commitments), which prepayment shall be accompanied by accrued interest on the Revolving Loans being prepaid and any
costs incurred by any Revolving Credit Lender in accordance with Section 2.16. The Administrative Agent and the Lenders hereby agree that the minimum borrowing, pro rata borrowing and pro rata payment requirements contained elsewhere in this
Agreement shall not apply to the transactions effected pursuant to the immediately preceding sentence. 
 (e) This Section 2.25 shall
supersede any provisions in Section 2.17 or Section 9.08 to the contrary. 
 Section 2.26. Amend and Extend Transactions.
(a) The Borrower may, by written notice to the Administrative Agent from time to time, request an extension (each, an “Extension” and each such notice, an “Extension Request”) of Revolving Credit Commitments of
a Class (which term, for purposes of this provision, shall also include any tranche of Revolving Credit Commitments outstanding hereunder pursuant to a previous Amend and Extend Transaction 

  
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and/or Term Loans of a Class (which term, for purposes of this provision, shall also include any term loans outstanding hereunder pursuant to a previous Amend and Extend Transaction or any
Refinancing Term Loans, or any tranche of Incremental Term Loans) to the extended maturity date specified in such notice. Such notice shall set forth (i) the amount of the applicable Class of Revolving Credit Commitments and/or Term Loans to be
extended (which shall be in minimum increments of $1,000,000 and a minimum amount of $5,000,000), (ii) the date on which such Extension is requested to become effective (which shall be not less than 10 Business Days nor more than 60 days after
the date of such Extension Request (or such longer or shorter periods as the Administrative Agent shall agree)) and (iii) the relevant Class or Classes of Revolving Credit Commitments and/or Term Loans to which the Extension Request relates.
Each Lender of the applicable Class shall be offered (an “Extension Offer”) an opportunity to participate in such Extension on a pro rata basis and on the same terms and conditions as each other Lender of such Class pursuant to
procedures established by, or reasonably acceptable to, the Administrative Agent. If the aggregate principal amount of Term Loans (calculated on the face amount thereof) or Revolving Credit Commitments in respect of which Lenders shall have accepted
the relevant Extension Offer shall exceed the maximum aggregate principal amount of Term Loans or Revolving Credit Commitments, as applicable, offered to be extended by the Borrower pursuant to such Extension Offer, then the Term Loans or Revolving
Credit Commitments, as applicable, of Lenders of the applicable Class shall be extended ratably up to such maximum amount based on the respective principal amounts (but not to exceed actual holdings of record) with respect to which such Lenders have
accepted such Extension Offer. 
 (b) It shall be a condition precedent to the effectiveness of any Extension that (i) no Default or
Event of Default shall have occurred and be continuing immediately prior to and immediately after giving effect to such Extension, (ii) the representations and warranties set forth in Article 3 and in each other Credit Document shall be true
and correct in all material respects on and as of the date of such Extension, (iii) the Issuing Bank shall have consented to any Extension of the Revolving Credit Commitments, to the extent that such extension provides for the issuance of
Letters of Credit at any time during the extended period and (iv) the terms of such Extended Revolving Credit Commitments and Extended Term Loans shall comply with Section 2.26(c). 

(c) The terms of each Extension shall be determined by the Borrower and the applicable extending Lender and set forth in an Additional Credit
Extension Amendment; provided that (i) the final maturity date of any Extended Term Loan or Extended Revolving Credit Commitment shall be no earlier than the then Latest Maturity Date applicable to the original Term Loans or Revolving
Credit Commitments, respectively, at the time of Extension, (ii)(A) there shall be no scheduled amortization of the Extended Revolving Credit Commitments, (B) the Weighted Average Life to Maturity of any Extended Term Loans shall be no shorter
than the remaining Weighted Average Life to Maturity of the Term Loans under the applicable Credit Facility not extended pursuant to such Extension Offer and (C) any Extended Term Loans may participate on a pro rata basis or on a less than pro
rata basis (but not on a greater than pro rata basis) in any voluntary or mandatory prepayments or commitment reductions hereunder, as specified in the applicable Extension Offer, (iii) the Extended Revolving Loans and the Extended Term Loans
will rank pari passu in right of payment and with respect to security with the 

  
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Revolving Loans and the Term Loans and none of the obligors or guarantors with respect thereto shall be a Person that is not a Credit Party, (iv) the interest rate margin, rate floors, fees,
original issue discounts and premiums applicable to any Extended Term Loans or Extended Revolving Credit Commitments (and the Extended Revolving Loans thereunder) shall be determined by the Borrower and the lenders providing such Extended Term Loans
or Extended Revolving Credit Commitments, as applicable and (v) to the extent the terms of the Extended Term Loans or the Extended Revolving Credit Commitments are inconsistent with the terms set forth herein (except as set forth in clause
(i) through (iv) above), such terms shall be reasonably satisfactory to the Administrative Agent. 
 (d) In connection with any
Extension, the Borrower, the Administrative Agent and each applicable extending Lender shall execute and deliver to the Administrative Agent an Additional Credit Extension Amendment and such other documentation as the Administrative Agent shall
reasonably specify to evidence the Extension. The Administrative Agent shall promptly notify each Lender as to the effectiveness of each Extension. Any Additional Credit Extension Amendment may, without the consent of any other Lender, effect such
amendments to this Agreement and the other Credit Documents as may be necessary or appropriate, in the reasonable opinion of the Administrative Agent and the Borrower, to implement the terms of any such Extension Offer, including any amendments
necessary to establish Extended Term Loans or Extended Revolving Credit Commitments as a new Class or tranche of Term Loans or Revolving Credit Commitments, as applicable, and such other technical amendments as may be necessary or appropriate in the
reasonable opinion of the Administrative Agent and the Borrower in connection with the establishment of such new Class or tranche (including to preserve the pro rata treatment of the extended and non-extended Classes or tranches and to provide for
the reallocation of L/C Exposure upon the expiration or termination of the commitments under any Class or tranche), in each case on terms not inconsistent with this Section 2.26). 

(e) In the event that the Administrative Agent determines in its sole discretion that the allocation of Extended Term Loans of a given
Extension Series or the Extended Revolving Credit Commitments of a given Extension Series, in each case to a given Lender was incorrectly determined as a result of manifest administrative error, then the Administrative Agent, the Borrower and such
affected Lender may (and hereby are authorized to), in their sole discretion and without the consent of any other Lender, enter into an amendment to this Agreement and the other Credit Documents (each, a “Corrective Extension
Amendment”) within 15 days following the determination of such error, as the case may be, which Corrective Extension Amendment shall (i) provide for the conversion and extension of Term Loans under the existing Term Loan Class or
existing Revolving Credit Commitments, as the case may be, in such amount as is required to cause such Lender to hold Extended Term Loans or Extended Revolving Credit Commitments (and related Revolving Extensions of Credit) of the applicable
Extension Series into which such other Term Loans or Revolving Commitments were initially converted, as the case may be, in the amount such Lender would have held had such administrative error not occurred and had such Lender received the minimum
allocation of the applicable Loans or Commitments to which it was entitled under the terms of such Extension Amendment, in the absence of such error, (ii) be subject to the satisfaction of such conditions as the Administrative Agent, the
Borrower and such Lender may agree, and (iii) effect such other amendments of the type (with appropriate reference and nomenclature changes) described in the penultimate sentence of Section 2.26(d). 

  
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 (f) This Section 2.26 shall supersede any provisions in Section 2.17 or
Section 9.08 to the contrary. 
 Section 2.27. Credit Agreement Refinancing Facilities. (a) The Borrower may, by written notice
to the Administrative Agent from time to time, request Refinancing Term Loans to refinance all or a portion of any existing Class of Term Loans (the “Refinanced Term Loans”) in an aggregate principal amount not to exceed the
aggregate principal amount of the Refinanced Term Loans plus any accrued interest, fees, costs and expenses related thereto (including any original issue discount or upfront fees). Such notice shall set forth (i) the amount of the applicable
Refinanced Term Loans (which shall be in minimum increments of $1,000,000 and a minimum amount of $5,000,000) and (ii) the date on which the applicable Additional Credit Extension Amendment is to become effective (which shall not be less than
10 Business Days nor more than 60 days after the date of such notice (or such longer or shorter periods as the Administrative Agent shall agree)). The Borrower may seek Refinancing Term Loans from existing Lenders (each of which shall be entitled to
agree or decline to participate in its sole discretion) or any Additional Lender. 
 (b) It shall be a condition precedent to the
effectiveness of each Additional Credit Extension Amendment and the incurrence of any Refinancing Term Loans thereunder that (i) no Default or Event of Default shall have occurred and be continuing immediately prior to or immediately after
giving effect to the incurrence of such Refinancing Term Loans, (ii) the representations and warranties set forth in Article 3 and in each other Credit Document shall be true and correct in all material respects on and as of the date such
Additional Credit Extension Amendment becomes effective and the Refinancing Term Loans are made, (iii) the terms of the Refinancing Term Loans shall comply with Section 2.27(c) and (iv) substantially concurrently with the incurrence
of any such Refinancing Term Loans, 100% of the proceeds thereof shall be applied to repay the Refinanced Term Loans (including accrued interest, fees and premiums (if any) payable in connection therewith). 

(c) The terms of any Refinancing Term Loans shall be determined by the Borrower and the applicable lenders providing such Refinancing Term
Loans and set forth in an Additional Credit Extension Amendment; provided that (i) the final maturity date of any Refinancing Term Loans shall not be earlier than 91 days after the maturity or termination date of the applicable
Refinanced Term Loans, (ii) the Weighted Average Life to Maturity of the Refinancing Term Loans shall be no shorter than the remaining Weighted Average Life to Maturity of the Refinanced Term Loans, (iii) the Refinancing Term Loans will
rank pari passu in right of payment and of security with the Revolving Loans and the Term Loans, none of the obligors or guarantors with respect thereto shall be a Person that is not a Credit Party, and such Refinancing Term Loans shall not be
secured by any assets other than the Collateral, (iv) the Refinancing Term Loans may participate on a pro rata basis or on a less than pro rata basis (but not on a greater than pro rata basis) in any voluntary or mandatory prepayments or
commitment reductions hereunder, as specified in the applicable Additional Credit Extension Amendment, (v)

  
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the interest rate margin, rate floors, fees, original issue discount and premiums applicable to the Refinancing Term Loans shall be determined by the Borrower and the applicable lenders providing
such Refinancing Term Loans and (vi) to the extent the terms of the Credit Agreement Refinancing Facilities are inconsistent with the terms set forth herein (except as set forth in clause (i) through (v) above), such terms shall be
reasonably satisfactory to the Administrative Agent. 
 (d) In connection with any Refinancing Term Loans incurred pursuant to this
Section 2.27, the Borrower, the Administrative Agent and each applicable Lender or Additional Lender shall execute and deliver to the Administrative Agent an Additional Credit Extension Amendment and such other documentation as the
Administrative Agent shall reasonably specify to evidence such Refinancing Term Loans. The Administrative Agent shall promptly notify each Lender as to the effectiveness of each Additional Credit Extension Amendment. Any Additional Credit Extension
Amendment may, without the consent of any other Lenders, effect such amendments to this Agreement and the other Credit Documents as may be necessary or appropriate, in the reasonable opinion of the Administrative Agent and the Borrower, to effect
the provisions of this Section 2.27, including any amendments necessary to establish the applicable Refinancing Term Loans as a new Class or tranche of Term Loans and such other technical amendments as may be necessary or appropriate in the
reasonable opinion of the Administrative Agent and the Borrower in connection with the establishment of such Classes or tranches (including to preserve the pro rata treatment of the refinanced and non-refinanced tranches), in each case on terms
consistent with this Section 2.27. The Administrative Agent and the Lenders hereby agree that the minimum borrowing, pro rata borrowing and pro rata payment requirements contained elsewhere in this Agreement shall not apply to the transactions
effected pursuant to the immediately preceding sentence. 
 (e) This Section 2.27 shall supersede any provisions in Section 2.17
or Section 9.08 to the contrary. 
 ARTICLE 3 

REPRESENTATIONS AND WARRANTIES 

In order to induce the Lenders to enter into this Agreement and to make the Loans, and issue (or participate in) the Letters of Credit as
provided herein, the Borrower makes the following representations and warranties, in each case after giving effect to the Transactions, all of which shall survive the execution and delivery of this Agreement and the Notes and the making of the Loans
and the issuance of the Letters of Credit, with the occurrence of each Credit Event on or after the Closing Date being deemed to constitute a representation and warranty that the matters specified in this Article 3 are true and correct in all
material respects on and as of the Closing Date and on the date of each such other Credit Event (it being understood and agreed that any representation or warranty which by its terms is made as of a specified date shall be required to be true and
correct in all material respects only as of such specified date). 

  
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 Section 3.01. Company Status. The Borrower and each of the Restricted Subsidiaries
(i) is a duly organized and validly existing Company in good standing under the laws of the jurisdiction of its organization, (ii) has the Company power and authority to own its property and assets and to transact the business in which it
is engaged and presently proposes to engage and (iii) is duly qualified and is authorized to do business and is in good standing in each jurisdiction where the ownership, leasing or operation of its property or the conduct of its business
requires such qualifications, except to the extent all failures with respect to the foregoing clauses (i) and (ii) (other than, in the case of clauses (i) and (ii), with respect to the Borrower) and (iii) could not, either
individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 
 Section 3.02. Power and Authority.
Each Credit Party has the Company power and authority to execute, deliver and perform its obligations under each of the Credit Documents to which it is party and, in the case of the Borrower, to borrow hereunder, and has taken all necessary
Company action to authorize the execution, delivery and performance by it of each of such Credit Documents. Each Credit Party has duly executed and delivered each of the Credit Documents to which it is party, and each of such Credit Documents
constitutes its legal, valid and binding obligation enforceable in accordance with its terms, except as enforceability thereof may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or other similar laws affecting
creditors’ rights generally and by general equitable principles (regardless of whether enforcement is sought by proceedings in equity or at law). 

Section 3.03. No Violation. The execution, delivery and performance of this Agreement and the other Credit Documents, the issuance
of Letters of Credit hereunder, the borrowings hereunder and the use of the proceeds thereof will not (i) contravene any provision of any law, statute, rule or regulation or any order, writ, injunction or decree of any court or Governmental
Authority, (ii) (x) violate or result in any breach of any of the terms, covenants, conditions or provisions of, or constitute a default under, or give rise to any right to accelerate or to require the prepayment, repurchase of redemption
of any obligation under, or (y) result in the creation or imposition of (or the obligation to create or impose) any Lien (except pursuant to the Security Documents) upon any of the property or assets of any Credit Party or any Restricted
Subsidiary pursuant to the terms of, any indenture, mortgage, deed of trust, credit agreement or loan agreement, or any other agreement, contract or instrument, in each case to which any Credit Party or any Restricted Subsidiary is a party or by
which it or any its property or assets is bound or to which it may be subject or (iii) violate any provision of the certificate or articles of incorporation, certificate of formation, limited liability company agreement or by-laws (or
equivalent organizational documents), as applicable, of any Credit Party or any Restricted Subsidiary, except to the extent all violations or contraventions with respect to the foregoing clauses (i) and (ii)(x) could not, either individually or
in the aggregate, reasonably be expected to have a Material Adverse Effect. 
 Section 3.04. Approvals. Except as could not
reasonably be expected to have a Material Adverse Effect, no order, consent, approval, license, authorization or validation of, or filing, 

  
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recording or registration with (except for (x) those that have otherwise been obtained or made on or prior to the Closing Date and which remain in full force and effect on the Closing Date
and (y) filings which are necessary to perfect the security interests or liens created under the Security Documents), or exemption or other action by, any Governmental Authority is required to be obtained or made by, or on behalf of, any Credit
Party to authorize, or is required to be obtained or made by, or on behalf of, any Credit Party in connection with, the execution, delivery and performance of any Credit Document or the legality, validity, binding effect or enforceability of any
such Credit Document. 
 Section 3.05. Financial Statements; Financial Condition; Undisclosed Liabilities. (a) (i) The
audited consolidated balance sheets of the Borrower and its Subsidiaries at December 31, 2010, December 31, 2011 and December 31, 2012 and the related consolidated statements of income and cash flows and changes in
stockholder’s equity of the Borrower for the three fiscal years of the Borrower ended on such dates, in each case furnished to the Administrative Agent for delivery to the Lenders prior to the Closing Date, present fairly in all material
respects the consolidated financial position of the Borrower and its Subsidiaries at the dates of said financial statements and the results of operations for the respective periods covered thereby and (ii) the unaudited consolidated balance
sheet of the Borrower as at September 30, 2013 and the related consolidated statements of income and cash flows and changes in stockholders’ equity of the Borrower for the nine-month period ended on such date, in each case furnished to the
Lenders prior to the Closing Date, present fairly in all material respects the consolidated financial condition of the Borrower and its Subsidiaries at the date of said financial statements and the results of operations for the respective periods
covered thereby, subject to normal year-end adjustments and the absence of footnotes. All such financial statements have been prepared in accordance with GAAP consistently applied except to the extent provided in the notes to said financial
statements and subject, in the case of the unaudited financial statements, to normal year-end audit adjustments and the absence of footnotes. 

(b) The assumptions used to prepare the financial information contained in the Confidential Information Memorandum (which assumptions are
believed by the Borrower on the date thereof and on the Closing Date to be reasonable), are based on the best information available to the Borrower as of the date of delivery thereof, accurately reflect all adjustments required to be made to give
effect to the Transactions and present fairly the estimated financial position of the Borrower and its consolidated Subsidiaries as of such date and for such period, assuming that the Transactions had actually occurred at such date or at the
beginning of such period, as the case may be. 
 (c) On and as of the Closing Date, and after giving effect to the Transactions and to all
Indebtedness (including the Loans and the Senior Unsecured Notes) being incurred or assumed and Liens created by the Credit Parties in connection therewith, (i) the sum of the fair value of the assets, at a fair valuation, of the Credit Parties
(taken as a whole) will exceed their debts, (ii) the sum of the present fair salable value of the assets of the Credit Parties (taken as a whole) will exceed the amount that will be required to pay their debts as such debts become absolute and
matured, (iii) the Credit Parties (taken as a whole) have not incurred and do not intend to incur debts beyond their ability to pay such debts as such debts mature, and (iv) the Credit Parties

  
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(taken as a whole) will have sufficient capital with which to conduct their businesses. For purposes of this Section 3.05(c), “debt” means any liability on a claim, and
“claim” means (a) right to payment, whether or not such a right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured, or unsecured or (b) right
to an equitable remedy for breach of performance if such breach gives rise to a payment, whether or not such right to an equitable remedy is reduced to judgment, fixed, contingent, matured, unmatured, disputed, undisputed, secured or unsecured. 

(d) Except as reflected in the financial statements delivered pursuant to Section 3.05(a), and except for the Indebtedness incurred under
this Agreement or otherwise incurred in the ordinary course of business, there were as of the Closing Date no liabilities or obligations that would be required to be reflected in the consolidated financial statements of the Borrower and its
Subsidiaries by GAAP with respect to the Borrower or any of its Subsidiaries of any nature whatsoever (whether absolute, accrued, contingent or otherwise and whether or not due) which, either individually or in the aggregate, could reasonably be
expected to have a Material Adverse Effect. 
 (e) [Reserved]. 

(f) After giving effect to the Transactions, since December 31, 2012, there has been no change in the business, operations, property,
assets or financial condition of the Borrower or any of its Restricted Subsidiaries that either, individually or in the aggregate, has had, or could reasonably be expected to have, a Material Adverse Effect. 

Section 3.06. Litigation. Except as set forth on Schedule 3.06, there are no actions, suits or proceedings at law or in equity
pending or, to the Knowledge of the Borrower, threatened (i) with respect to any Credit Document or (ii) that has had, or could reasonably be expected to have, either individually or in the aggregate, a Material Adverse Effect. 

Section 3.07. True and Complete Disclosure. The Confidential Information Memorandum and all other written information (taken as a
whole) (including, without limitation, all information contained in the Credit Documents) for purposes of or in connection with this Agreement, the other Credit Documents or any transaction contemplated herein or therein is, and all other such
factual information (taken as a whole) hereafter furnished by or on behalf of the Borrower in writing to the Administrative Agent, any Lead Arranger or any Lender will be, complete and correct in all material respects on the date as of which such
information is dated or certified and does not or will not contain any untrue statement of a material fact or omit a material fact necessary to make such information (taken as a whole) not misleading in any material respect at such time in light of
the circumstances under which such information was provided (giving effect to all supplements and updates provided thereto prior to the Closing Date); provided that no representation is made with respect to information of a general economic
or general industry nature. 

  
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 Section 3.08. Use of Proceeds; Margin Regulations. (a) All proceeds of the Loans
and all Letters of Credit will be used by the Borrower only for the purposes specified in the introductory statement to the Agreement. 

(b) No part of any Credit Event (or the proceeds thereof) will be used to purchase or carry any Margin Stock or to extend credit for the
purpose of purchasing or carrying any Margin Stock. Neither the making of any Loan nor the use of the proceeds thereof nor the occurrence of any other Credit Event will, whether directly or indirectly, and whether immediately, incidentally or
ultimately, violate or be inconsistent with the provisions of Regulation T, U or X. 
 Section 3.09. Tax Returns and Payments.
Except as set forth on Schedule 3.09, (i) the Borrower and each of the Restricted Subsidiaries has timely filed or caused to be timely filed with the appropriate taxing authority all material federal, state, local and foreign returns,
statements, forms and reports for taxes (the “Returns”) required to be filed by, or with respect to the income, properties or operations of, the Borrower and/or any Restricted Subsidiary, (ii) the Borrower and each of the
Restricted Subsidiaries has paid all material taxes and assessments payable by it which have become due, other than those that are being contested in good faith and adequately disclosed and fully provided for on the financial statements of the
Borrower and the Restricted Subsidiaries in accordance with GAAP and (iii) except as could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect, there is no action, suit, proceeding, investigation,
audit or claim now pending or, to the Knowledge of the Borrower or any Restricted Subsidiary, threatened by any authority regarding any taxes relating to the Borrower or any Restricted Subsidiary. 

Section 3.10. Compliance with ERISA. Each Plan is in compliance in all material respects with the applicable provisions of ERISA
and the Code except for non-compliance which, in the aggregate, would not have a Material Adverse Effect. No ERISA Event has occurred within the past five years or is reasonably expected to occur that, when taken together with all other ERISA Events
that have occurred or are reasonably likely to occur, could reasonably be expected to have a Material Adverse Effect. 

Section 3.11. Security Documents. (a) The provisions of the Security Agreement are effective to create in favor of the
Collateral Agent for the benefit of the Secured Creditors a legal, valid and enforceable security interest in all right, title and interest of the Credit Parties in the Security Agreement Collateral described therein, and the Collateral Agent, for
the benefit of the Secured Creditors, has a fully perfected security interest in all right, title and interest in all of the Security Agreement Collateral described therein to the extent required thereunder (other than (i) any Security
Agreement Collateral consisting of cash not contained in a deposit account or securities account not subject to the “control” (as defined under the UCC) of the Collateral Agent, (ii) any Security Agreement Collateral consisting of
deposit accounts not subject to the “control” (as defined under the UCC) of the Collateral Agent and (iii) any other Security Agreement Collateral to the extent perfection steps are not required to be taken pursuant to the Security
Agreement with respect to such Security Agreement Collateral), subject to no other Liens other than Permitted Liens. The recordation of (x) the Grant of Security Interest in U.S. Patents, if applicable and (y) the Grant of Security
Interest in U.S. Trademarks, if applicable, in the 

  
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respective form attached to the Security Agreement, in each case in the United States Patent and Trademark Office, together with filings on Form UCC-1 made pursuant to the Security Agreement,
will create, as may be perfected by such filings and recordation, a perfected security interest in the United States trademarks and patents covered by the Security Agreement, and the recordation of the Grant of Security Interest in U.S. Copyrights,
if applicable, in the form attached to the Security Agreement with the United States Copyright Office, together with filings on Form UCC-1 made pursuant to the Security Agreement, will create, as may be perfected by such filings and recordation, a
perfected security interest in the United States copyrights covered by the Security Agreement. 
 (b) The security interests created under
the Pledge Agreement in favor of the Collateral Agent, as Pledgee, for the benefit of the Secured Creditors, constitute perfected security interests in the Pledge Agreement Collateral described in the Pledge Agreement, subject to no security
interests of any other Person, other than Liens in favor of holders of Permitted External Refinancing Debt, Permitted Incremental Equivalent Debt and any Permitted Refinancing thereof. 

(c) After the execution, delivery and recordation thereof, in the offices specified on Schedule 3.11(c), or, if delivered pursuant to
Section 5.12, in the recording office specified by Borrower, each Mortgage will create, as security for the obligations purported to be secured thereby, a valid and enforceable perfected security interest in and mortgage lien on all right,
title and interest of the Credit Parties in and to the respective Mortgaged Property (to the extent such Mortgaged Property constitutes real property or any interest in real property) in favor of the Collateral Agent (or such other trustee as may be
required or desired under local law) for the benefit of the Secured Creditors, superior and prior to the rights of all third Persons (except that the security interest and mortgage lien created on such Mortgaged Property may be subject to the
Permitted Encumbrances related thereto) and subject to no other Liens (other than Permitted Encumbrances related thereto). 

Section 3.12. Properties. All Real Property (other than REO Assets) owned by a Credit Party as of the Closing Date, with a book
value as of September 30, 2013 of at least $5,000,000, is set forth on Schedule 3.12. Except as set forth on Schedule 3.12, the Borrower and each of the Restricted Subsidiaries has a valid and marketable title to all material properties (and to
all buildings, fixtures and improvements located thereon) owned by it, and a valid leasehold interest in the material properties leased by it, in each case free and clear of all Liens other than Permitted Liens. 

Section 3.13. Capitalization. The authorized Equity Interests of the Borrower consists solely of Qualified Equity Interests. All
outstanding Equity Interests of the Borrower have been duly and validly issued, are fully paid and non-assessable and have been issued free of preemptive rights. 

Section 3.14. Subsidiaries. On and as of the Closing Date, (a) the Borrower has no Subsidiaries other than those Subsidiaries
listed on Schedule 3.14 and (b) Schedule 3.14 sets forth the percentage ownership (direct and indirect) of the Borrower in each class of Equity 

  
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Interests of each of its Subsidiaries and also identifies the direct owner thereof. All outstanding Equity Interests of each Subsidiary of the Borrower have been duly and validly issued and are
fully paid (except as such rights may arise under mandatory provisions of applicable statutory law that may not be waived or otherwise agreed) and have been issued free of preemptive rights, and no Subsidiary of the Borrower has outstanding any
securities convertible into or exchangeable for its Equity Interests or outstanding any right to subscribe for or to purchase, or any options or warrants for the purchase of, or any agreement providing for the issuance (contingent or otherwise) of
or any calls, commitments or claims of any character relating to, its Equity Interests or any stock appreciation or similar rights except as set forth on Schedule 3.14. 

Section 3.15. Compliance with Statutes, Etc. The Borrower and each of the Restricted Subsidiaries is in compliance with all
applicable statutes, regulations and orders of, and all applicable restrictions imposed by, all Governmental Authorities in respect of the conduct of its business and the ownership of its property (including, without limitation, applicable statutes,
regulations, orders and restrictions relating to environmental standards and controls), except such non-compliances as could not, either individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 

Section 3.16. Investment Company Act. Neither the Borrower nor any Restricted Subsidiary is required to register as an
“investment company”, or is subject to regulation, under the Investment Company Act of 1940, as amended. 
 Section 3.17.
Insurance. Schedule 3.17 sets forth a listing of all material insurance maintained by the Borrower and the Restricted Subsidiaries as of the Closing Date, with the amounts insured (and any deductibles) set forth therein. As of the Closing Date,
such insurance is in full force and effect and all premiums have been duly paid. The Borrower and the Restricted Subsidiaries have insurance in such amounts and covering such risks and liabilities as are in accordance with normal industry practice.

 Section 3.18. Environmental Matters. (a) The Borrower and each of its Subsidiaries is and has been in compliance with
all applicable Environmental Laws and the requirements of any permits issued under such Environmental Laws. There are no pending or, to the Knowledge of the Borrower, threatened Environmental Claims against the Borrower or any of its Subsidiaries or
any Real Property owned, leased or operated by the Borrower or any of its Subsidiaries (including any such claim arising out of the ownership, lease or operation by the Borrower or any of its Subsidiaries of any Real Property formerly owned, leased
or operated by the Borrower or any of its Subsidiaries). To the Knowledge of the Borrower there are no facts, circumstances, conditions or occurrences with respect to the Borrower or any of its Subsidiaries, or any Real Property owned, leased or
operated by the Borrower or any of its Subsidiaries (including any Real Property formerly owned, leased or operated by the Borrower or any of its Subsidiaries) or any other property that could be reasonably expected (i) to form the basis of any
liability under Environmental Law or an Environmental Claim against the Borrower or any of its Subsidiaries or any such Real Property owned, leased or operated by the Borrower or any of its Subsidiaries or (ii) to cause any Real Property owned,
leased or operated by the Borrower or any of its Subsidiaries to be subject to any restrictions on the ownership, lease, occupancy, use or transferability of such Real Property by the Borrower or any of its Subsidiaries under any applicable
Environmental Law. 

  
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 (b) Hazardous Materials have not at any time been generated, used, treated or stored on, or
transported to or from, or Released on, to, or from, any Real Property presently or formerly owned, leased or operated by the Borrower or any of its Subsidiaries or, to the Knowledge of the Borrower, any other property, where such generation, use,
treatment, storage, transportation or Release has violated or could be reasonably expected to violate any applicable Environmental Law or give rise to an Environmental Claim or any liability under Environmental Law. 

(c) Notwithstanding anything to the contrary in this Section 3.18, the representations and warranties made in this Section 3.18
shall be untrue only if the effect of any or all facts, circumstances, occurrences, conditions, violations, claims, restrictions, failures, liabilities or noncompliances of the types described above could, either individually or in the aggregate,
reasonably be expected to have a Material Adverse Effect. 
 Section 3.19. Employment and Labor Relations. Neither the Borrower
nor any Restricted Subsidiary is engaged in any unfair labor practice that could reasonably be expected, either individually or in the aggregate, to have a Material Adverse Effect. There is (i) no unfair labor practice complaint pending against
the Borrower or any Restricted Subsidiary or, to the Knowledge of the Borrower, threatened against any of them, before the National Labor Relations Board, and no grievance or arbitration proceeding arising out of or under any collective bargaining
agreement is so pending against the Borrower or any Restricted Subsidiary or, to the Knowledge of the Borrower, threatened against any of them, (ii) no strike, labor dispute, slowdown or stoppage pending against the Borrower or any Restricted
Subsidiary or, to the Knowledge of the Borrower, threatened against the Borrower or any Restricted Subsidiary, (iii) no union representation question exists with respect to the employees of the Borrower or any Restricted Subsidiary,
(iv) no equal employment opportunity charges or other claims of employment discrimination are pending or, to the Knowledge of the Borrower, threatened against the Borrower or any Restricted Subsidiary and (v) no wage and hour department
investigation has been made of the Borrower or any Restricted Subsidiary, except (with respect to any matter specified in clauses (i) – (v) above, either individually or in the aggregate) such as could not reasonably be expected to
have a Material Adverse Effect. 
 Section 3.20. Intellectual Property, Etc. The Borrower and each of the Restricted
Subsidiaries owns or has the right to use all the patents, permits, trademarks, domain names, service marks, trade names, copyrights, licenses, franchises, inventions, trade secrets, proprietary information and know-how of any type, whether or not
written (including, but not limited to, rights in computer programs and databases) and formulas, or rights with respect to the foregoing, necessary for the present conduct of its business, without any known conflict with the rights of others which,
or the failure to own or have which, as the case may be, could reasonably be expected, either individually or in the aggregate, to have a Material Adverse Effect. 

Section 3.21. Indebtedness. Schedule 3.21 sets forth a list of all Indebtedness (including Contingent Obligations, but excluding
intercompany Indebtedness solely between or among the 

  
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Credit Parties and Indebtedness that is otherwise permitted under this Agreement (other than under Section 6.04(ii)) (it being understood that the representation set forth in this
Section 3.21 shall not be deemed to be incorrect to the extent that Indebtedness in an aggregate amount not exceeding $10,000,000 is not reflected on Schedule 3.21)) of the Borrower and the Restricted Subsidiaries as of the Closing Date and
which is to remain outstanding after giving effect to the Transactions (excluding the Loans and the Letters of Credit, the “Existing Indebtedness”), in each case showing the aggregate principal amount thereof and the name of the
respective borrower and any Credit Party or any Restricted Subsidiary which directly or indirectly guarantees such debt. 

Section 3.22. Anti-Terrorism Law. (a) Neither the Borrower nor any Restricted Subsidiary is in violation of any legal
requirement relating to any laws with respect to terrorism or money laundering (“Anti-Terrorism Laws”), including Executive Order No. 13224 on Terrorist Financing effective September 24, 2001 (the “Executive
Order”) and the USA PATRIOT Act. Neither the Borrower nor any Restricted Subsidiary and, to the Knowledge of the Borrower, no agent of the Borrower or any Restricted Subsidiary acting on behalf of the Borrower or any Restricted Subsidiary
or any director, officer, employee or Affiliate of the Borrower or any of its Restricted Subsidiaries, as the case may be, is any of the following: 

(i) a Person that is listed in the annex to, or is otherwise subject to the provisions of, the Executive Order; 

(ii) a Person owned or controlled by, or acting for or on behalf of, any Person that is listed in the annex to, or is otherwise
subject to the provisions of, the Executive Order; 
 (iii) a Person with which any Lender is prohibited from dealing or
otherwise engaging in any transaction by any Anti-Terrorism Law; 
 (iv) a Person that commits, threatens or conspires to
commit or supports “terrorism” as defined in the Executive Order; or 
 (v) a Person that is named as a
“specially designated national and blocked person” on the most current list published by the U.S. Treasury Department Office of Foreign Assets Control (“OFAC”) at its official website or any replacement website or other
replacement official publication of such list. 
 (b) Neither the Borrower nor any of the Restricted Subsidiaries and, to the Knowledge of
the Borrower, no agent of the Borrower or any Restricted Subsidiary acting on behalf of the Borrower or any Restricted Subsidiary, as the case may be, (i) conducts any business or engages in making or receiving any contribution of funds, goods
or services to or for the benefit of a Person described in Section 3.22(a), (ii) deals in, or otherwise engages in any transaction relating to, any property or interests in property blocked pursuant to the Executive Order, or
(iii) engages in or conspires to engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or attempts to violate, any of the prohibitions set forth in any Anti-Terrorism Law. 

  
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 (c) The Borrower will not directly or indirectly use the proceeds of the Loans or the Letters of
Credit or otherwise make available such proceeds to any Person, for the purpose of financing the activities of any Person currently subject to any U.S. sanctions administered by OFAC. 

Section 3.23. [Reserved]. 

Section 3.24. [Reserved]. 

Section 3.25. [Reserved]. 

Section 3.26. Foreign Corrupt Practices Act. The Borrower, each Restricted Subsidiary and each of their directors, officers,
agents, employees, and any person acting for or on behalf of the Borrower or any Restricted Subsidiary has complied with, and will comply with, the U.S. Foreign Corrupt Practices Act, as amended from time to time, or any other applicable
anti­bribery or anti­corruption law, and it and they have not made, offered, promised, or authorized, and will not make, offer, promise, or authorize, whether directly or indirectly, any payment, of anything of value to: (i) an
executive, official, employee or agent of a governmental department, agency or instrumentality, (ii) a director, officer, employee or agent of a wholly or partially government-owned or -controlled company or business, (iii) a political
party or official thereof, or candidate for political office, or (iv) an executive, official, employee or agent of a public international organization (e.g., the International Monetary Fund or the World Bank) (“Government
Official”); while knowing or having a reasonable belief that all or some portion will be used for the purpose of: (a) influencing any act, decision or failure to act by a Government Official in his or her official capacity,
(b) inducing a Government Official to use his or her influence with a government or instrumentality to affect any act or decision of such government or entity, or (c) securing an improper advantage; in order to obtain, retain, or direct
business. 
 Section 3.27. Subordination of Convertible Notes. The Obligations constitute “Designated Senior
Indebtedness” (or any comparable term) for all purposes of the Convertible Notes, any other subordinated indebtedness of the Borrower or any Restricted Subsidiary and any Permitted Refinancing thereof. 

ARTICLE 4 

CONDITIONS OF LENDING 

The obligations of the Lenders to make Loans and of the Issuing Banks to issue Letters of Credit hereunder are subject to the satisfaction of
the following conditions: 
 Section 4.01. All Credit Events. On the date of each Borrowing (other than a conversion or a
continuation of a Borrowing), and on the date of each issuance, amendment, extension or renewal of a Letter of Credit (each such event being called a “Credit Event”), in each case including on the Closing Date: 

  
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 (a) The Administrative Agent shall have received a notice of such Borrowing as required by
Section 2.03 (or such notice shall have been deemed given in accordance with Section 2.02) or, in the case of the issuance, amendment, extension or renewal of a Letter of Credit, the applicable Issuing Bank and the Administrative Agent
shall have received a notice requesting the issuance, amendment, extension or renewal of such Letter of Credit as required by Section 2.22(b). 

(b) Except in the case of any amendment to a Letter of Credit that is adverse to the beneficiary thereof or any extension or renewal of a
Letter of Credit without any increase in the stated amount of such Letter of Credit, the representations and warranties set forth in Article 3 and in each other Credit Document shall be true and correct in all material respects on and as of the date
of such Credit Event with the same effect as though made on and as of such date, except to the extent such representations and warranties expressly relate to an earlier date. 

(c) Except in the case of any amendment to a Letter of Credit that is adverse to the beneficiary thereof or any extension or renewal of a
Letter of Credit without any increase in the stated amount of such Letter of Credit, at the time of and immediately after such Credit Event, no Default or Event of Default shall have occurred and be continuing. 

(d) In the case of any Credit Event with respect to the Revolving Credit Facility, if the Testing Condition would be satisfied after giving
effect to such Credit Event, then the Borrower shall have been in compliance with the Financial Covenants as of the last day of the immediately preceding fiscal quarter after giving pro forma effect to such Credit Event (regardless of whether the
Testing Condition was required to be satisfied as of the last day of such prior fiscal quarter). 
 Each Credit Event (other than an
amendment to a Letter of Credit that is adverse to the beneficiary thereof or any extension or renewal of a Letter of Credit without any increase in the stated amount of such Letter of Credit) shall be deemed to constitute a representation and
warranty by the Borrower on the date of such Credit Event as to the matters specified in paragraphs (b), (c) and (d) of this Section 4.01. 

Section 4.02. First Credit Event. On the Closing Date: 

(a) The Administrative Agent shall have received, on behalf of itself, the Lenders and the Issuing Banks, a favorable written opinion of
(i) Simpson Thacher & Bartlett LLP, counsel for the Borrower, (ii) Jonathan Pedersen, the Chief Legal Officer, General Counsel and Secretary of the Borrower, and (iii) each counsel listed on Schedule 4.02(a), each such
opinion to be in form and substance reasonably satisfactory to the Administrative Agent, in each case (A) dated the Closing Date, (B) addressed to the Issuing Banks, the Administrative Agent and the Lenders, and (C) covering such
matters relating to the Credit Documents and the Transactions as the Administrative Agent shall reasonably request, and the Borrower hereby requests such counsel to deliver such opinions. 

(b) The Administrative Agent shall have received (i) a copy of the certificate or articles of incorporation or other equivalent formation
document, including all amendments thereto, of 

  
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each Credit Party, certified as of a recent date by the Secretary of State (or other similar official) of the state of its organization, and a certificate as to the good standing of each Credit
Party as of a recent date, from such Secretary of State; (ii) a certificate of the Secretary or Assistant Secretary of each Credit Party dated the Closing Date and certifying (A) that attached thereto is a true and complete copy of the
by-laws, partnership agreement, limited liability company agreement, memorandum and articles of association or other equivalent governing document of such Credit Party as in effect on the Closing Date and at all times since a date prior to the date
of the resolutions described in clause (B) below, (B) that attached thereto is a true and complete copy of resolutions duly adopted by the Board of Directors (or equivalent governing body) of such Credit Party authorizing the execution,
delivery and performance of the Credit Documents to which such Person is a party and, in the case of the Borrower, the borrowings hereunder, and that such resolutions have not been modified, rescinded or amended and are in full force and effect on
the Closing Date, (C) that the certificate or articles of incorporation or other equivalent formation document of such Credit Party has not been amended since the date of the last amendment thereto furnished pursuant to clause (i) above,
and (D) as to the incumbency and specimen signature of each officer executing any Credit Document or any other document delivered in connection herewith on behalf of such Credit Party; and (iii) the certificate referred to in the foregoing
clause (ii) shall contain a certification by an Authorized Officer of such Credit Party as to the incumbency and specimen signature of the Secretary or Assistant Secretary executing such certificate pursuant to clause (ii) above. 

(c) The Administrative Agent shall have received a certificate, dated the Closing Date and signed by an Authorized Officer of the Borrower,
confirming compliance with the conditions precedent set forth in Section 4.01 and in paragraphs (h), (i) and (j) (second sentence only) of Section 4.02. 

(d) The Administrative Agent, each Lead Arranger and each Lender shall have received all Fees and other amounts due and payable on or prior to
the Closing Date, including, to the extent invoiced, reimbursement or payment of all out of pocket expenses required to be reimbursed or paid by the Borrower hereunder, under any other Credit Document or under the Engagement Letter or the Fee Letter
referred to therein (including reasonable fees and expenses of counsel). 
 (e) The Borrower shall have duly authorized, executed and
delivered this Agreement, and each other party to this Agreement shall have executed and delivered this Agreement, and this Agreement shall be in full force and effect. 

(f) The Administrative Agent (or its counsel) shall have received from each Credit Party either (i) a counterpart of the Reaffirmation
Agreement signed on behalf of such party or (ii) written evidence satisfactory to the Administrative Agent (which may include facsimile or other electronic transmission of a signed counterpart of the Reaffirmation Agreement) that such party has
signed a counterpart of the Reaffirmation Agreement. 
 (g) The Administrative Agent shall have received: 

  
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 (i) evidence reasonably satisfactory to it as to the proper filing of financing
statements (Form UCC-1 or the equivalent) in each jurisdiction as may be necessary or, in the reasonable opinion of the Collateral Agent, desirable, to perfect the security interests purported to be created by the Security Agreement; 

(ii) certified copies of requests for information or copies (Form UCC-11), or equivalent reports as of a recent date, listing
all effective financing statements that name the Borrower or any Restricted Subsidiary as debtor and that are filed in the jurisdictions referred to in clause (i) above and in such other jurisdictions in which Collateral is located on the
Closing Date, together with copies of such other financing statements that name the Borrower or any Restricted Subsidiary as debtor (none of which shall cover any of the Collateral except (x) to the extent evidencing Permitted Liens or
(y) those in respect of which the Collateral Agent shall have received termination statements (Form UCC-3) or such other termination statements as shall be required by local law fully executed for filing); 

(iii) evidence of the completion of all other recordings and filings of, or with respect to, the Security Agreement (other than
to the extent such actions are required or permitted to be performed after the Closing Date) as may be necessary or, in the reasonable opinion of the Collateral Agent, desirable, to perfect the security interests intended to be created by the
Security Agreement; and 
 (iv) evidence that all other actions necessary or, in the reasonable opinion of the Collateral
Agent, desirable to perfect and protect the security interests purported to be created by the Security Agreement have been taken (other than to the extent such actions are required or permitted to be performed after the Closing Date), and the
Security Agreement shall be in full force and effect. 
 (h) The Installment Payment shall have been made prior to or substantially
simultaneously with the funding of Loans on the Closing Date. 
 (i) [Reserved]. 

(j) All principal, premium, if any, interest, fees and other amounts due or outstanding under the Specified Credit Agreement (after giving
effect to the Existing Lenders Agreement) shall have been (or substantially simultaneously with the funding of Loans on the Closing Date shall be) paid in full and the commitments thereunder terminated, and the Administrative Agent shall have
received reasonably satisfactory evidence thereof. Immediately after giving effect to the Transactions and the other transactions contemplated hereby, the Borrower and the Restricted Subsidiaries shall have outstanding no Indebtedness for borrowed
money or Preferred Equity other than Indebtedness outstanding under this Agreement, the Senior Unsecured Notes, indebtedness listed on Schedule 3.21, other Indebtedness permitted to be incurred under this Agreement and Qualified Equity Interests.

 (k) The Lenders shall have received the financial statements referred to in Section 3.05. 

  
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 (l) The Administrative Agent shall have received a certificate from the chief financial officer
of the Borrower substantially in the form attached hereto as Exhibit K certifying that the Borrower and its subsidiaries, on a consolidated basis after giving effect to the Transactions to occur on the Closing Date, are solvent. 

(m) The Administrative Agent shall have received, at least five Business Days prior to the Closing Date, to the extent requested, all
documentation and other information required by regulatory authorities under applicable “know your customer” and anti-money laundering rules and regulations, including the USA PATRIOT Act. 

(n) The Administrative Agent shall have received a notice of such Credit Event as required by Section 2.03. 

(o) The Administrative Agent shall have received a copy of, or a certificate as to coverage under, the insurance policies required by
Section 5.03 and the applicable provisions of the Security Documents, each of which shall be endorsed or otherwise amended to include a customary lender’s loss payable endorsement and to name the Collateral Agent as additional insured, in
form and substance reasonably satisfactory to the Administrative Agent. 
 ARTICLE 5 

AFFIRMATIVE COVENANTS 

The Borrower covenants and agrees with each Lender that so long as this Agreement shall remain in effect and until the Commitments have been
terminated and the principal of and interest on each Loan, all Fees and all other expenses or amounts payable under any Credit Document shall have been paid in full (other than contingent indemnification obligations for which no claim has been made)
and all Letters of Credit have been canceled or have expired and all amounts drawn thereunder have been reimbursed in full or have been Cash Collateralized or backstopped in a manner reasonably satisfactory to the applicable Issuing Bank, unless the
Required Lenders shall otherwise consent in writing: 
 Section 5.01. Information Covenants. The Borrower will furnish to the
Administrative Agent which will promptly furnish to each Lender: 
 (a) [Reserved]. 

(b) Quarterly Financial Statements. Within 45 days after the end of the first three fiscal quarters of each fiscal year of the Borrower,
(i) its consolidated balance sheet and related statements of comprehensive income as of the end of and for such fiscal quarter and the then elapsed portion of the fiscal year and related statements of stockholders’ equity and cash flows as
of the then elapsed portion of the fiscal year, setting forth in each case in comparative form the figures for the corresponding prior period or periods (or in the case of the balance sheet, as of the end of the previous fiscal year, and, in the
case of the statement of shareholders’ equity, no comparative disclosure), all of which shall be certified by an Authorized Officer of the Borrower 

  
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that they fairly present in all material respects in accordance with GAAP the financial condition of the Borrower and its Subsidiaries as of the dates indicated and the results of their
operations for the periods indicated, subject to normal year-end audit adjustments and the absence of footnotes and (ii) the information set forth on Schedule 5.01 for such quarterly period, which shall be certified as being true and correct in
all material respects by an Authorized Officer of the Borrower. 
 (c) Annual Financial Statements. Within 90 days after the end of
each fiscal year of the Borrower, (i) the consolidated balance sheet of the Borrower and its Subsidiaries as at the end of such fiscal year and the related consolidated statements of income and stockholders’ equity and statement of cash
flows for such fiscal year setting forth comparative figures where applicable for the preceding fiscal year and reported on by Ernst & Young LLP or other independent certified public accountants of recognized national standing (which report
shall be without a “going concern” or like qualification or exception and without any qualification or exception as to scope of audit), together with a report of such accounting firm stating that in the course of its regular audit of the
financial statements of the Borrower and its Subsidiaries, which audit was conducted in accordance with generally accepted auditing standards, such accounting firm obtained no knowledge of any Default or an Event of Default relating to financial or
accounting matters which has occurred and is continuing or, if such accounting firm obtained knowledge of such a Default or an Event of Default, a statement as to the nature thereof, in each case only to the extent that such accounting firm is not
restricted or prohibited from doing so by its internal policies or accounting rules or guidelines generally) and (ii) the information set forth on Schedule 5.01 for such fiscal year, which shall be certified as being true and correct in all
material respects by an Authorized Officer of the Borrower. 
 (d) Unrestricted Subsidiaries. At any time the Borrower has designated
any of its Subsidiaries as Unrestricted Subsidiaries pursuant to Section 5.21, simultaneously with the delivery of each set of consolidated financial statements referred to in Sections 5.01(b) and (c), the related consolidating financial
statements reflecting the adjustments necessary to eliminate the accounts of Unrestricted Subsidiaries (if any) from such consolidated financial statements. 

(e) [Reserved]. 
 (f)
Officer’s Certificates. At the time of the delivery of the financial statements provided for in Sections 5.01(b) and (c), a compliance certificate from an Authorized Officer of the Borrower substantially in the form of Exhibit G
certifying on behalf of the Borrower that, to such officer’s knowledge after due inquiry, no Default or Event of Default has occurred and is continuing or, if any Default or Event of Default has occurred and is continuing, specifying the nature
and extent thereof, which certificate shall (i) set forth in reasonable detail the calculations required to establish whether the Borrower and the Restricted Subsidiaries were in compliance with the provisions of Sections 2.13(b), 2.13(c) and
2.13(e) and Section 6.08 and 6.09, inclusive, at the end of such fiscal quarter or year, as the case may be, (ii) if delivered with the financial statements required by Section 5.01(c), set forth in reasonable detail the amount of
(and the calculations required to establish the amount of) Excess Cash Flow for the respective Excess Cash Flow Payment Period, (iii) set forth in reasonable detail the amount of (and the calculations

  
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required to establish the amount of) the Available Amount and the Non-Credit Party Investment Amount at the end of such fiscal quarter or year, as the case may be (which calculations also include
(x) the amount of transactions effected pursuant to clause (B) of the second proviso of Section 6.05(xii), Section 6.05(xxii), Section 6.03(vi) or clause (y) of Section 6.15 (in each case, to the extent utilizing
the Available Amount) and (y) the amount of transactions effected pursuant to Section 6.05(iii), Section 6.05(ix)(C) or clause (A) of the second proviso of Section 6.05(xii) (in each case to the extent utilizing the
Non-Credit Party Investment Amount)), (iv) set forth a list of all Immaterial Subsidiaries and Unrestricted Subsidiaries and (v) certify that there have been no changes to Schedules 1 through 8 of the Security Agreement and Annexes A
through G of the Pledge Agreement, in each case since the Closing Date or, if later, since the date of the most recent certificate delivered pursuant to this Section 5.01(f), or if there have been any such changes, a list in reasonable detail
of such changes (but, in each case with respect to this clause (v), only to the extent that such changes are required to be reported to the Collateral Agent pursuant to the terms of such Security Documents) and whether the Borrower and the other
Credit Parties have otherwise taken all actions required to be taken by them pursuant to such Security Documents in connections with any such changes. 

(g) Notice of Default, Litigation and Material Adverse Effect. Promptly, and in any event within three Business Days after any
Authorized Officer obtains knowledge thereof, notice of (i) the occurrence of any event which constitutes a Default or an Event of Default, specifying the nature and extent thereof and the corrective action (if any) taken or proposed to be
taken with respect thereto, (ii) any litigation or governmental investigation or proceeding pending, or any threat or notice of intention of any Person to file or commence any litigation or governmental investigation or proceeding, against the
Borrower or any of its Subsidiaries (x) which, either individually or in the aggregate, has had, or could reasonably be expected to have, a Material Adverse Effect or (y) with respect to any Credit Document and (iii) any other event,
change or circumstance that has had, or could reasonably be expected to have, a Material Adverse Effect. 
 (h) Other Reports and
Filings. Promptly after the filing or delivery thereof, copies of all financial information, proxy materials and reports, if any, which the Borrower or any of its Subsidiaries shall publicly file with the Securities and Exchange Commission or
any successor thereto (the “SEC”) (which delivery requirement shall be deemed satisfied by the posting of such information, materials or reports on EDGAR or any successor website maintained by the SEC so long as the Administrative
Agent shall have been promptly notified in writing by the Borrower of the posting thereof) or deliver to holders (or any trustee, agent or other representative therefor) of any Qualified Equity Interests of the Borrower, or any of its other material
Indebtedness pursuant to the terms of the documentation governing the same. 
 (i) [Reserved]. 

(j) Patriot Act Information. Promptly following the Administrative Agent’s or any Lender’s request therefor, all documentation
and other information that the Administrative Agent or any Lender reasonably requests in order to comply with its on-going obligations under applicable “know your customer” and anti-money laundering rules and regulations, including the
Patriot Act. 

  
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 (k) [Reserved]. 

(l) [Reserved]. 
 (m)
[Reserved]. 
 (n) Other Information. From time to time, such other information or documents (financial or otherwise) with
respect to the Borrower or any of its Subsidiaries as the Administrative Agent or the Required Lenders (through the Administrative Agent) may reasonably request. 

Section 5.02. Books, Records and Inspections. The Borrower will, and will cause each of the Restricted Subsidiaries to, keep
proper books of record and accounts in which full, true and correct entries in conformity with GAAP and all requirements of law shall be made of all dealings and transactions in relation to its business and activities. The Borrower will, and will
cause each of the Restricted Subsidiaries to, permit officers and designated representatives of the Administrative Agent or the Required Lenders to visit and inspect, under guidance of officers of the Borrower or such Restricted Subsidiary, any of
the properties of the Borrower or such Restricted Subsidiary, and to examine the books of account of the Borrower or such Restricted Subsidiary and discuss the affairs, finances and accounts of the Borrower or such Restricted Subsidiary with, and be
advised as to the same by, its and their officers and independent accountants, all upon reasonable prior notice and at such reasonable times and intervals and to such reasonable extent as the Administrative Agent or the Required Lenders may
reasonably request; provided that, excluding any such visits and inspections during the continuation of an Event of Default, only the Administrative Agent on behalf of the Lenders may exercise visitation and inspection rights of the
Administrative Agent and the Lenders under this sentence. 
 Section 5.03. Maintenance of Property; Insurance. (a) The
Borrower will, and will cause each of the Restricted Subsidiaries to, (i) keep all material property necessary to the business of the Borrower and the Restricted Subsidiaries in good working order and condition, ordinary wear and tear excepted
and subject to the occurrence of casualty events, (ii) maintain with financially sound and reputable insurance companies insurance on all such property and against all such risks as is consistent and in accordance with industry practice for
companies similarly situated owning similar properties and engaged in similar businesses as the Borrower and the Restricted Subsidiaries, and (iii) furnish to the Administrative Agent, upon its request therefor, full information as to the
insurance carried. Such insurance to the extent consistent with the foregoing shall include physical damage insurance on all real and personal property (whether now owned or hereafter acquired) on an all risk basis and business interruption
insurance. 
 (b) The Borrower will, and will cause each of the Restricted Subsidiaries to, at all times keep its material property insured
in favor of the Collateral Agent, and shall ensure (or, with respect of clauses (ii) and (iii) below, use commercially reasonable efforts to ensure) that all policies or certificates (or certified copies thereof) with respect to such
insurance (and any other insurance maintained by the Borrower and/or such Restricted Subsidiaries) (i) be endorsed to the 

  
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Collateral Agent’s reasonable satisfaction for the benefit of the Collateral Agent (including, without limitation, by naming the Collateral Agent as loss payee and/or additional insured),
(ii) state that the insurers under such insurance policies shall endeavor to provide at least 15 days’ prior written notice of the cancellation thereof by the respective insurer to the Collateral Agent, (iii) provide that the
respective insurers irrevocably waive any and all rights of subrogation with respect to the Collateral Agent and the other Secured Creditors, and (iv) be delivered to the Collateral Agent. 

(c) If the Borrower or any Restricted Subsidiary shall fail to maintain insurance in accordance with this Section 5.03, or if the
Borrower or any Restricted Subsidiary shall fail to so endorse and deposit all policies or certificates with respect thereto, the Administrative Agent shall have the right (but shall be under no obligation) to procure such insurance and the Borrower
agrees to reimburse the Administrative Agent for all costs and expenses of procuring such insurance, provided that the Administrative Agent shall furnish written notice to the Borrower of its intent to procure such insurance. 

(d) If at any time the area in which the buildings or other improvements (as defined in the applicable Mortgages) in respect of any Mortgaged
Property are located is designated (1) a “flood hazard area” in any Flood Insurance Rate Map published by the Federal Emergency Management Agency (or any successor agency), the Borrower shall obtain flood insurance in such
total amount as the Administrative Agent, the Collateral Agent or the Required Lenders may from time to time reasonably require, and otherwise comply with the NFIP as set forth in the Flood Disaster Protection Act of 1973, as it may be amended from
time to time, or (2) a “Zone 1” area, the Borrower shall obtain earthquake insurance in such total amount as the Administrative Agent, the Collateral Agent or the Required Lenders may from time to time reasonably require.
Following the Closing Date, the Borrower shall deliver to the Collateral Agent annual renewals of each flood insurance policy or annual renewals of each force-placed flood insurance policy, as applicable. In connection with any amendment to this
Agreement pursuant to which any increase, extension, or renewal of Loans is contemplated, the Borrower shall cause to be delivered to the Collateral Agent for any Mortgaged Property, a Flood Determination Form, Borrower Notice and Evidence of Flood
Insurance, as applicable. 
 (e) With respect to any Mortgaged Property, carry and maintain commercial general liability insurance and
coverage on an occurrence basis against claims made for personal injury (including bodily injury, death and property damage) and umbrella liability insurance against any and all claims, in no event for a combined single limit of less than that which
is customary for companies in the same or similar businesses operating in the same or similar locations, naming the Collateral Agent as an additional insured, on forms reasonably satisfactory to the Collateral Agent. 

(f) The Borrower shall notify the Administrative Agent and the Collateral Agent promptly whenever any separate insurance concurrent in form or
contributing in the event of loss with that required to be maintained under this Section 5.03 is taken out by any Credit Party; and promptly deliver to the Administrative Agent and the Collateral Agent a duplicate original copy of such policy
or policies. 

  
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 Section 5.04. Existence; Franchises. The Borrower will, and will cause each of the
Restricted Subsidiaries to, (x) do or cause to be done all things necessary to preserve and keep in full force and effect its organizational existence and (y) take all reasonable action to maintain all rights, privileges, franchises,
licenses, permits, copyrights, trademarks, trade names, and patents necessary or desirable in the normal conduct of its business; provided, however, that nothing in this Section 5.04 shall prevent (i) sales of assets and other
transactions by the Borrower or any Restricted Subsidiary in accordance with Section 6.02, (ii) the discontinuation, abandonment or expiration of any right, franchise, license, permit, copyright, trademark or patent if such
discontinuation, abandonment or expiration could not, either individually or in the aggregate, reasonably be expected to have a Material Adverse Effect or (iii) the withdrawal by the Borrower or any Restricted Subsidiary of its qualification as
a foreign Company in any jurisdiction if such withdrawal could not, either individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 

Section 5.05. Compliance with Statutes, Etc. The Borrower will, and will cause each of the Restricted Subsidiaries to, comply with
all applicable statutes, regulations and orders of, and all applicable restrictions imposed by, all Governmental Authorities in respect of the conduct of its business and the ownership of its property (including applicable statutes, regulations,
orders and restrictions relating to environmental standards and controls), except such non-compliances as could not, either individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 

Section 5.06. Compliance with Environmental Laws. (a) The Borrower will comply, and will cause each of its Subsidiaries to
comply, with all Environmental Laws and permits applicable to, or required by, its operations or the ownership, lease, occupancy, or use of its Real Property now or hereafter owned, leased or operated by the Borrower or any of its Subsidiaries,
except such noncompliances as could not, either individually or in the aggregate, reasonably be expected to have a Material Adverse Effect, and will promptly pay or cause to be paid all costs and expenses incurred in connection with such compliance,
and will keep or cause to be kept all such Real Property free and clear of any Liens imposed pursuant to such Environmental Laws except, in each case, for Permitted Liens related thereto. Neither the Borrower nor any of its Subsidiaries will
generate, use, treat, store, Release or dispose of Hazardous Materials on any Real Property now or hereafter owned, leased or operated by the Borrower or any of its Subsidiaries, or transport Hazardous Materials to or from any such Real Property,
except for Hazardous Materials generated, used, treated, stored, Released or disposed of at or transported from, any such Real Properties (x) in compliance in all respects with all applicable Environmental Laws and as required in connection
with the normal operation, use and maintenance of the business or operations of the Borrower or any of its Subsidiaries or (y) as could not, either individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 

(b)(i) At any time that the Borrower or any of its Subsidiaries are not in compliance with Section 5.06(a), or (ii) in the event
that the Administrative Agent or the Lenders have exercised any of the remedies pursuant to the last paragraph of Section 7.01, the Borrower will (in each case) provide, at the sole expense of the Borrower and at the request of the

  
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Administrative Agent, a non-invasive environmental site assessment report concerning the Real Property owned, leased or operated by the Borrower or any of its Subsidiaries that is in question,
prepared by an environmental consulting firm reasonably approved by the Administrative Agent, indicating the presence or absence of Hazardous Materials or noncompliance and the potential cost of any removal or remedial action required by a
Governmental Authority in connection with such Hazardous Materials or noncompliance on such Real Property. If the Borrower fails to provide the same within 60 days after such request was made, the Administrative Agent may order the same, the cost of
which shall be borne by the Borrower, and the Borrower shall grant and hereby grants to the Administrative Agent and the Lenders and their respective agents access to such Real Property and specifically grants the Administrative Agent and the
Lenders an irrevocable non-exclusive license, subject to the rights of tenants, to undertake such an assessment at any reasonable time upon reasonable notice to the Borrower, all at the sole expense of the Borrower. 

Section 5.07. ERISA. (a) Furnish written notice to the Administrative Agent promptly, and in any event within ten days after
any responsible officer of Borrower or any ERISA Affiliate knows, or has reason to know, that any ERISA Event has occurred or is reasonably likely to occur that, alone or together with any other ERISA Event could reasonably be expected to result in
liability of the Borrower or any ERISA Affiliate in an aggregate amount exceeding $10,000,000. 
 (b) The Borrower and each of its
applicable Subsidiaries shall ensure that all Foreign Pension Plans administered by it or into which it makes payments obtains or retains (as applicable) registered status under and as required by applicable law and is administered in a timely
manner in all respects in compliance with all applicable laws except where the failure to do any of the foregoing, either individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect. 

Section 5.08. End of Fiscal Years; Fiscal Quarters. The Borrower will cause (i) its and each of its Domestic
Subsidiaries’ fiscal years to end on December 31 of each calendar year and (ii) its and each of its Domestic Subsidiaries’ fiscal quarters to end on March 31, June 30, September 30 and December 31 of
each calendar year. 
 Section 5.09. [Reserved]. 

Section 5.10. Payment of Taxes. The Borrower will pay and discharge, and will cause each of the Restricted Subsidiaries to pay and
discharge, all material taxes, assessments and governmental charges or levies imposed upon it or upon its income or profits or upon any properties belonging to it, prior to the date on which penalties attach thereto, and all material lawful claims
which, if unpaid, might become a Lien or charge upon any properties of the Borrower or any Restricted Subsidiary not otherwise permitted under Section 6.01(i); provided that neither the Borrower nor any Restricted Subsidiary shall be
required to pay any such tax, assessment, charge, levy or claim which is being contested in good faith and by proper proceedings if it has maintained adequate reserves with respect thereto in accordance with GAAP. 

  
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 Section 5.11. Use of Proceeds. The Borrower will use the proceeds of the Loans and
request the issuance of Letters of Credit only for the purposes specified in the introductory statement to this Agreement. 

Section 5.12. Additional Security; Further Assurances; Etc. (a) The Borrower will, and will cause each other Credit Party to,
grant to the Collateral Agent for the benefit of the Secured Creditors security interests and Mortgages in such assets and Real Property of the Borrower and such other Credit Party as are not covered by the original Security Documents and as may be
reasonably requested from time to time by the Administrative Agent or the Required Lenders (collectively, the “Additional Security Documents”). All such security interests and Mortgages shall be granted pursuant to documentation
reasonably satisfactory in form and substance to the Collateral Agent and shall constitute valid and enforceable perfected security interests, hypothecations and Mortgages superior to and prior to the rights of all third Persons and enforceable
against third parties and subject to no other Liens except for Permitted Liens or, in the case of Real Property, the Permitted Encumbrances related thereto. The Additional Security Documents or instruments related thereto shall be duly recorded or
filed in such manner and in such places as are required by law to establish, perfect, preserve and protect the Liens in favor of the Collateral Agent required to be granted pursuant to the Additional Security Documents and all taxes, fees and other
charges payable in connection therewith shall be paid in full. Notwithstanding the foregoing, this Section 5.12(a) shall not (i) apply to any Excluded Collateral or (ii) require any Credit Party to grant a Mortgage in (x) any
Leasehold, (y) any owned Real Property the book value of which is less than $5,000,000 or (z) any REO Assets. 
 (b) [Reserved].

 (c) With respect to any owned Real Property with respect to which a Mortgage is delivered pursuant to this Section 5.12, Borrower
will promptly (i) if requested by the Collateral Agent, provide the Lenders with a Mortgage Policy covering such real property in an amount at least equal to the purchase price of such real property (or such other amount as shall be reasonably
specified by the Collateral Agent) as well as an ALTA survey thereof certified to the Collateral Agent in form reasonably satisfactory to the Collateral Agent and (ii) if requested by the Collateral Agent, deliver to the Collateral Agent legal
opinions relating to the matters described above, which opinions shall be in form and substance, and from counsel, reasonably satisfactory to the Collateral Agent. No later than three Business Days prior to the date on which a Mortgage is executed
and delivered pursuant to this Section 5.12(c), in order to comply with the Flood Laws, the Collateral Agent shall have received the following documents (collectively, the “Flood Documents”): (A) a completed standard
“life of loan” flood hazard determination form (a “Flood Determination Form”), (B) if the improvement(s) to the applicable improved real property is located in a special flood hazard area, a notification to the
Borrower (“Borrower Notice”) and (if applicable) notification to the Borrower that flood insurance coverage under the National Flood Insurance Program (“NFIP”) is not available because the community does not
participate in the NFIP, (C) documentation evidencing the Borrower’s receipt of the Borrower Notice (e.g., countersigned Borrower Notice, return receipt of certified U.S. Mail, or overnight delivery), and (D) if the Borrower
Notice is required to be given and flood insurance is available in the community in which the property is located, a copy of one of the following: the flood 

  
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insurance policy, the borrower’s application for a flood insurance policy plus proof of premium payment, a declaration page confirming that flood insurance has been issued, or such other
evidence of flood insurance reasonably satisfactory to the Collateral Agent (any of the foregoing being “Evidence of Flood Insurance”). 

(d) The Borrower agrees that each action required by clauses (a) through (c) of this Section 5.12 shall be completed as soon as
possible, but in no event later than 60 days after such action is requested to be taken by the Administrative Agent or the Required Lenders; provided that, in no event will the Borrower or any Restricted Subsidiary be required to take any
action, other than using its commercially reasonable efforts, to obtain consents from third parties with respect to its compliance with this Section 5.12. 

Section 5.13. [Reserved]. 

Section 5.14. [Reserved]. 

Section 5.15. [Reserved]. 

Section 5.16. [Reserved].  

Section 5.17. [Reserved]. 

Section 5.18. Maintenance of Company Separateness. The Borrower will cause each Non-Recourse Entity and each Securitization Entity
to satisfy customary formalities for such entity, including, as applicable, (i) to the extent required by law, the holding of regular board of directors’ and shareholders’ meetings or action by directors or shareholders without a
meeting, (ii) the maintenance of separate records and (iii) the maintenance of separate bank accounts in its own name. Neither the Borrower nor any of the Restricted Subsidiaries shall make any payment to a creditor of any Non-Recourse
Entity or any Securitization Entity in respect of any liability of any Non-Recourse Entity or any Securitization Entity, and no bank account of any Non-Recourse Entity or any Securitization Entity shall be commingled with any bank account of the
Borrower or any of the Restricted Subsidiaries. Any financial statements distributed to any creditors of any Non-Recourse Entity or any Securitization Entity shall clearly establish or indicate the corporate separateness of such Non-Recourse Entity
or such Securitization Entity from the Borrower and the other Restricted Subsidiaries. Neither the Borrower nor any of the Restricted Subsidiaries shall take any action, or conduct its affairs in a manner, which is likely to result in the separate
legal existence of the Borrower or any Restricted Subsidiary being ignored, or in the assets and liabilities of the Borrower or any Restricted Subsidiary being substantively consolidated with those of any other Person in a bankruptcy, reorganization
or other insolvency proceeding. 
 Section 5.19. [Reserved]. 

Section 5.20. Maintenance of Ratings. The Borrower will use its commercially reasonable efforts to maintain at all times public
ratings (of any level) for the Credit Facilities and public corporate ratings or corporate family ratings (as applicable) of any level with respect to the Borrower, in each case from each of S&P and Moody’s. 

  
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 Section 5.21. Designation of Subsidiaries. The Borrower may at any time designate any
Subsidiary as an Unrestricted Subsidiary or any Unrestricted Subsidiary as a Restricted Subsidiary; provided that (a) immediately before and after such designation, no Default or Event of Default shall have occurred and be continuing,
(b) the Total Leverage Ratio of the Borrower as of the last day of the most recently ended Calculation Period (determined on a Pro Forma Basis after giving effect to such designation) shall not exceed the applicable ratio for such period set
forth in the definition of Incurrence Total Leverage Ratio (and, as a condition precedent to the effectiveness of any such designation, the Borrower shall deliver to the Administrative Agent a certificate of an Authorized Officer setting forth in
reasonable detail the calculations demonstrating such compliance) and (c) no Subsidiary may be designated as or continue as an Unrestricted Subsidiary if it is a “Restricted Subsidiary” for the purposes of any other Indebtedness
(including, for the avoidance of doubt, under the Senior Unsecured Notes). The designation of any Subsidiary as an Unrestricted Subsidiary shall constitute an Investment by the Borrower therein at the date of designation in an amount equal to the
fair market value of the Borrower’s or its Subsidiary’s (as applicable) investment therein. No Unrestricted Subsidiary shall at any time own any Equity Interests or Indebtedness of, or own or hold any Lien on, any property of the Borrower
or any Restricted Subsidiary. The designation of any Unrestricted Subsidiary as a Restricted Subsidiary shall constitute the incurrence at the time of designation of any Investment, Indebtedness or Liens of such Subsidiary existing at such time. Any
such designation shall be notified by the Borrower to the Administrative Agent by promptly delivering to the Administrative Agent a certificate of an Authorized Officer certifying that such designation complied with the foregoing provisions. 

ARTICLE 6 

NEGATIVE COVENANTS 

The Borrower covenants and agrees with each Lender that, so long as this Agreement shall remain in effect and until the Commitments have been
terminated and the principal of and interest on each Loan, all Fees and all other expenses or amounts payable under any Credit Document have been paid in full (other than contingent indemnification obligations for which no claim has been made) and
all Letters of Credit have been cancelled or have expired and all amounts drawn thereunder have been reimbursed in full or have been Cash Collateralized or backstopped in a manner reasonably satisfactory to the applicable Issuing Bank, unless the
Required Lenders shall otherwise consent in writing: 
 Section 6.01. Liens. The Borrower will not, and will not permit any of
the Restricted Subsidiaries to, create, incur, assume or suffer to exist any Lien upon or with respect to any property or assets (real or personal, tangible or intangible and including Equity Interests or other securities of any Person, including
any Restricted Subsidiary) of the Borrower or any Restricted Subsidiary, whether now owned or hereafter acquired, or on any income or revenues or rights in respect of any thereof; provided that the provisions of this Section 6.01 shall
not prevent the creation, incurrence, assumption or existence of the following (Liens described below are herein referred to as “Permitted Liens”): 

  
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 (i) Liens for taxes, assessments or governmental charges or levies not yet due or
Liens for taxes, assessments or governmental charges or levies being contested in good faith and by appropriate proceedings for which adequate reserves have been established in accordance with GAAP; 

(ii) Liens in respect of property or assets of the Borrower or any Restricted Subsidiary imposed by law, which were incurred in
the ordinary course of business and do not secure Indebtedness for borrowed money, such as carriers’, warehousemen’s, materialmen’s and mechanics’ liens and other similar Liens arising in the ordinary course of business, and in
each case (x) which are for amounts that are not past-due and do not in the aggregate materially detract from the value of the Borrower’s or such Restricted Subsidiary’s property or assets or materially impair the use thereof in the
operation of the business of the Borrower or such Restricted Subsidiary or (y) which are being contested in good faith by appropriate proceedings, which proceedings have the effect of preventing the forfeiture or sale of the property or assets
subject to any such Lien, and for which adequate reserves have been established in accordance with GAAP; 
 (iii) Liens in
existence on the Closing Date which are listed, and the property subject thereto described, in Schedule 6.01, plus renewals, replacements and extensions of such Liens, provided that (x) the aggregate principal amount of the Indebtedness,
if any, or obligations secured by such Liens does not increase from that amount outstanding at the time of any such renewal, replacement or extension and (y) any such renewal, replacement or extension does not encumber any additional assets or
properties of the Borrower or any Restricted Subsidiary; 
 (iv) Liens created by or pursuant to this Agreement and the
Security Documents; 
 (v)(x) licenses, sublicenses, leases or subleases granted by the Borrower or any Restricted Subsidiary
to other Persons in the ordinary course of business and not materially interfering with the conduct of the business of the Borrower or any Restricted Subsidiary or materially detracting from the value of the Borrower’s or such Restricted
Subsidiary’s property, rights or assets and (y) any interest or title of a lessor, sublessor or licensor under any operating lease or license agreement entered into by the Borrower or any Restricted Subsidiary in the ordinary course of
business and covering only the assets so leased or licensed; 
 (vi) Liens upon assets of the Borrower or any Restricted
Subsidiary subject to Capitalized Lease Obligations to the extent such Capitalized Lease Obligations are permitted by Section 6.04(iv), provided that (x) such Liens only serve to secure the payment of Indebtedness arising under such
Capitalized Lease Obligation and (y) the Lien encumbering the asset giving rise to the Capitalized Lease Obligation does not encumber any other asset of the Borrower or any Restricted Subsidiary; 

  
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 (vii) Liens placed upon fixed or capital assets used in the ordinary course of
business of the Borrower or any Restricted Subsidiary and placed at the time of the acquisition thereof by the Borrower or such Restricted Subsidiary or within 90 days thereafter to secure Indebtedness incurred to pay all or a portion of the
purchase price thereof or to secure Indebtedness incurred solely for the purpose of financing the acquisition of any such assets, or extensions, renewals or replacements of any of the foregoing for the same or a lesser amount, provided that
(x) the Indebtedness secured by such Liens is permitted by Section 6.04(iv) and (y) in all events, the Lien encumbering the assets so acquired does not encumber any other asset of the Borrower or such Restricted Subsidiary (other than
property financed by such Indebtedness and proceeds thereof); 
 (viii) easements, rights-of-way, restrictions, encroachments
and other similar charges or encumbrances, and minor title deficiencies, in each case not securing Indebtedness and not materially interfering with the conduct of the business of the Borrower or any Restricted Subsidiary; 

(ix) Liens arising from precautionary UCC financing statement filings regarding operating leases entered into or dispositions
of assets consummated in the ordinary course of business; 
 (x) Liens arising out of the existence of judgments or awards
not constituting an Event of Default under Section 7.01(i) and in respect of which the Borrower or any Restricted Subsidiary shall in good faith be prosecuting an appeal or proceedings for review and in respect of which there shall have been
secured a subsisting stay of execution pending such appeal or proceedings; 
 (xi) statutory and common law landlords’
liens under leases entered into in the ordinary course of business by the Borrower or any Restricted Subsidiary; 
 (xii)(A)
Liens (other than Liens imposed under ERISA) incurred in the ordinary course of business in connection with workers compensation claims, unemployment insurance and other social security legislation and (B) Liens securing the performance of
bids, trade contracts, performance and completion guarantees, tenders, leases and contracts in the ordinary course of business, statutory obligations, surety bonds, performance bonds and other obligations of a like nature incurred in the ordinary
course of business (in each case exclusive of obligations in respect of Indebtedness); 
 (xiii) Permitted Encumbrances; 

(xiv) Liens on property or assets acquired pursuant to a Permitted Acquisition, or on property or assets of a Restricted
Subsidiary in existence at the time such Restricted 

  
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Subsidiary is acquired pursuant to a Permitted Acquisition, provided that (x) any Indebtedness that is secured by such Liens is permitted to exist under Section 6.04(vii), and
(y) such Liens are not incurred in connection with, or in contemplation or anticipation of, such Permitted Acquisition and do not attach to any other asset of the Borrower or any Restricted Subsidiary; 

(xv) Liens arising out of any conditional sale, title retention, consignment or other similar arrangements for the sale of
goods entered into by the Borrower or any Restricted Subsidiary in the ordinary course of business to the extent such Liens do not attach to any assets other than the goods subject to such arrangements; 

(xvi) Liens (x) incurred in the ordinary course of business in connection with the purchase or shipping of goods or assets
(or the related assets and proceeds thereof), which Liens are in favor of the seller or shipper of such goods or assets and only attach to such goods or assets, and (y) in favor of customs and revenue authorities arising as a matter of law to
secure payment of customs duties in connection with the importation of goods in the ordinary course of business; 
 (xvii)(A)
bankers’ Liens, rights of setoff and other similar Liens existing solely with respect to cash and Cash Equivalents on deposit in one or more accounts maintained by the Borrower or any Restricted Subsidiary, in each case granted in the ordinary
course of business and are customary in the banking industry in favor of the bank or banks with which such accounts are maintained, securing amounts owing to such bank or banks with respect to cash management and operating account arrangements and
(B) Liens of a collection bank arising under Section 4-210 of the UCC on items in the course of collection; 

(xviii) Liens securing Non-Recourse Indebtedness so long as any such Lien shall encumber only (i) the assets originated,
acquired or funded with the proceeds of such Non-Recourse Indebtedness and (ii) any intangible contract rights and other accounts, documents, records and other property directly related to the assets set forth in clause (i) and any
proceeds thereof; 
 (xix) (A) Liens securing Permitted Funding Indebtedness other than Permitted Servicing Advance
Facility Indebtedness so long as any such Lien shall encumber only (i) the assets originated, acquired or funded with the proceeds of such Indebtedness and (ii) any intangible contract rights and other accounts, documents, records and
other property directly related to the assets set forth in clause (i) and any proceeds thereof and (B) Liens in any cash collateral or restricted accounts securing Permitted Funding Indebtedness other than Permitted Servicing Advance
Facility Indebtedness; 
 (xx)(A) Liens on Servicing Advances, any intangible contract rights, reimbursement rights for
Servicing Advances and other accounts, documents, records and property directly related to the foregoing assets and any proceeds thereof securing Permitted Servicing Advance Facility Indebtedness, Permitted Securitization

  
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Indebtedness or Non-Recourse Indebtedness and (B) Liens in any cash collateral or restricted accounts securing Permitted Servicing Advance Facility Indebtedness, or, if used to finance
Servicing Advances, Permitted Securitization Indebtedness or Non-Recourse Indebtedness, in each case only to the extent required by the debt provider or Government Sponsored Entity and limited to an amount that is customary in the industry; 

(xxi) Liens on Servicing Advances (and/or reimbursement rights therefor), Residential Mortgage Loans or MSR and any intangible
contract rights and other accounts, documents, records and property directly related to the foregoing assets and any proceeds thereof, in each case that are the subject of an Excess Spread Sale entered into in the ordinary course of business
securing obligations under such Excess Spread Sale; 
 (xxii) Liens on the Equity Interests of any Unrestricted Subsidiary
and the proceeds thereof securing Non-Recourse Indebtedness of such Unrestricted Subsidiary; 
 (xxiii) Liens on insurance
policies and the proceeds thereof securing the financing of premiums with respect thereto; provided such Liens shall not exceed the amount of such premiums so financed; 

(xxiv) Liens on any cash earnest money deposits made by the Borrower or any Restricted Subsidiary in connection with any letter
of intent or purchase agreement permitted hereunder; 
 (xxv) Liens on Securitization Assets, any intangible contract rights
and other accounts, documents, records and assets directly related to the foregoing assets and any proceeds thereof incurred in connection with Permitted Securitization Indebtedness or permitted guarantees thereof; 

(xxvi) Liens on the Collateral securing Permitted Incremental Equivalent Debt, Permitted External Refinancing Debt or any
Permitted Refinancing thereof; 
 (xxvii) additional Liens of the Borrower or any Restricted Subsidiary not otherwise
permitted by this Section 6.01 so long as the aggregate outstanding principal amount of the obligations secured thereby (determined as of the date such Lien is incurred) does not exceed the greater of (x) $75,000,000 and (y) 15% of
Consolidated EBITDA (determined on a Pro Forma Basis in accordance with the definition of “Pro Forma Basis” contained herein) of the Borrower and the Restricted Subsidiaries for the period of four consecutive fiscal quarters
ended on the last day of the most recent fiscal period for which financial statements have been delivered pursuant to Section 5.01 in the aggregate for all such Liens at any time; 

(xxviii) Liens in any cash collateral or restricted accounts (containing only cash or cash equivalent securities, including
securities issued or directly and fully guaranteed or insured by the United States or any agency or instrumentality thereof, including, without limitation, GNMA, FNMA or FHLMC mortgage backed securities) securing any Interest Rate Protection
Agreement permitted under the Credit Documents; and 

  
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 (xxix) Liens on cash, Cash Equivalents and restricted accounts containing cash
and Cash Equivalents in connection with the defeasance, discharge or redemption of Indebtedness; provided that such defeasance, discharge or redemption is permitted hereunder. 

In connection with the granting of Liens of the type described in clauses (iii), (vi), (vii), (xiv), (xviii), (xix), (xx), (xxi), (xxv), (xxviii) and
(xxix) of this Section 6.01 by the Borrower of any of the Restricted Subsidiaries, the Administrative Agent and the Collateral Agent shall be authorized to take any actions deemed appropriate by it in connection therewith without approval
of any Lender (including, without limitation, by executing appropriate lien releases or lien subordination agreements in favor of the holder or holders of such Liens, in either case solely with respect to the item or items of equipment or other
assets subject to such Liens). 
 Section 6.02. Consolidation, Merger, Sale of Assets, Etc. The Borrower will not, and will not
permit any of the Restricted Subsidiaries to, wind up, liquidate or dissolve its affairs or consummate any merger or consolidation, or convey, sell, lease or otherwise dispose of all or any part of its property or assets (other than sales of
inventory in the ordinary course of business), or consummate any sale-leaseback transactions with any Person, except that: 

(i) Capital Expenditures made in the ordinary course of business shall be permitted; 

(ii) the Borrower and the Restricted Subsidiaries may liquidate or otherwise dispose of obsolete or worn-out property in the
ordinary course of business; 
 (iii) Investments may be made to the extent permitted by Section 6.05; 

(iv) the Borrower and the Restricted Subsidiaries may sell assets (provided that any sale of less than all the capital
stock or other Equity Interests of any Restricted Subsidiary in accordance with this clause (iv) shall be deemed to be an Investment by the Borrower or the applicable Restricted Subsidiary in the capital stock or other Equity Interests not so
sold in an amount equal to the Fair Market Value of such capital stock or other Equity Interests and upon such sale the Borrower or such Restricted Subsidiary shall be deemed to have made an Investment in the applicable Subsidiary pursuant to
Section 6.05(ix)(C) in an amount equal to all Investments in such Subsidiary outstanding at such time), so long as (v) no Default or Event of Default then exists or would result therefrom (including as a result of any such deemed
investment), (w) the Borrower or the respective Restricted Subsidiary receives at least Fair Market Value, (x) the consideration received by the Borrower or such Restricted Subsidiary consists of at least 75% cash or Cash Equivalents and
is paid at the time of the closing of such sale; provided that, solely for the purposes of this clause (x), up to $50,000,000 in the aggregate of Designated Non-Cash Consideration for all asset sales received by the Borrower or such
Restricted 

  
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Subsidiary after the Closing Date and not disposed of (and without giving effect to any subsequent change in value thereof), shall be deemed to be cash, (y) the Net Sale Proceeds therefrom
are applied and/or reinvested as (and to the extent) required by Section 2.13(c) and (z) the aggregate amount of the cash and non-cash proceeds received from all assets sold pursuant to this clause (iv) shall not exceed the greater of
(x) $100,000,000 and (y) 20% of Consolidated EBITDA (determined on a Pro Forma Basis in accordance with the definition of “Pro Forma Basis” contained herein) of the Borrower and the Restricted Subsidiaries for the period
of four consecutive fiscal quarters ended on the last day of the most recent fiscal period for which financial statements have been delivered pursuant to Section 5.01 in any fiscal year of the Borrower (for this purpose, using the Fair Market
Value of property other than cash); provided that clause (z) shall not apply to any such sale if, after giving effect to such sale, the Total Net Leverage Ratio, on a Pro Forma Basis, is less than 3.00 to 1.00; 

(v) the Borrower and each of the Restricted Subsidiaries may lease (as lessee) or license (as licensee) real or personal
property in the ordinary course of business (so long as any such lease or license does not create a Capitalized Lease Obligation except to the extent permitted by Section 6.04(iv)); 

(vi) the Borrower and each of the Restricted Subsidiaries may sell or discount, in each case without recourse and in the
ordinary course of business, accounts receivable arising in the ordinary course of business, but only in connection with the compromise or collection thereof and not as part of any financing transaction; 

(vii) the Borrower and each of the Restricted Subsidiaries may grant licenses, sublicenses, leases or subleases to other
Persons in the ordinary course of business and not materially interfering with the conduct of the business of the Borrower or any Restricted Subsidiary; 

(viii) the Borrower or any Restricted Subsidiary may convey, sell or otherwise transfer all or any part of its business,
properties and assets to the Borrower or to any Wholly-Owned Domestic Restricted Subsidiary which is a Subsidiary Guarantor; 

(ix) any Restricted Subsidiary that is a Subsidiary Guarantor may merge or consolidate with and into, or be dissolved or
liquidated into, the Borrower or any Wholly-Owned Domestic Restricted Subsidiary which is a Subsidiary Guarantor, so long as (A) in the case of any such merger, consolidation, dissolution or liquidation involving the Borrower, the Borrower is
the surviving or continuing entity of any such merger, consolidation, dissolution or liquidation and (B) in all other cases, a Subsidiary Guarantor is the surviving or continuing entity of any such merger, consolidation, dissolution or
liquidation; 
 (x) any Restricted Subsidiary that is not a Subsidiary Guarantor (other than a Non-Recourse Entity) may
convey, sell, lease or otherwise dispose of all or any part of its property or assets to, or merge or consolidate with and into, or be dissolved or liquidated 

  
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into, the Borrower or any other Restricted Subsidiary, in each case so long as (A) no Event of Default shall result therefrom, (B) in the case of any such merger, consolidation,
dissolution or liquidation involving the Borrower, the Borrower is the surviving or continuing entity of any such merger, consolidation, dissolution or liquidation and (C) in the case of any such merger, consolidation, dissolution or
liquidation involving a Subsidiary Guarantor (but not involving the Borrower), such Subsidiary Guarantor is the surviving or continuing entity of any such merger, consolidation, dissolution or liquidation; 

(xi) Permitted Acquisitions may be consummated in accordance with the requirements of Section 6.05(xii); 

(xii) the Borrower and the Restricted Subsidiaries may liquidate or otherwise dispose of Cash Equivalents in the ordinary
course of business for cash or Cash Equivalents; 
 (xiii) sales, contributions, assignments or other transfers in the
ordinary course of business and for Fair Market Value of Servicing Advances or Residential Mortgage Loans pursuant to the terms of Permitted Funding Indebtedness or Non-Recourse Indebtedness shall be permitted; 

(xiv) to the extent that any MSR Lender which is a Government Sponsored Entity exercises its MSR Call Option, the Borrower or
the applicable Restricted Subsidiary may sell the MSR subject to such MSR Call Option so long as the Net Sale Proceeds therefrom are applied in accordance with Section 2.13(c); 

(xv) Green Tree SerVertis Acquisition LLC or a similarly structured Restricted Subsidiary may acquire Residential Mortgage
Loans for the sole purpose of, simultaneously with such acquisition, assigning (and may assign) all of its right, title and interest in such Residential Mortgage Loans to either (x) a trust or other securitization entity or a similarly
structured entity created on behalf of the Permitted Funds or a similarly structured entity or (y) any Affiliate of the Permitted Funds or a similarly structured entity (other than the Borrower or any Restricted Subsidiary), including without
limitation, SerVertis REO LLC, a Delaware limited liability company, provided that such acquisition is funded solely with cash or other proceeds received, either directly or indirectly, by Green Tree SerVertis Acquisition LLC or such other
similarly structured Restricted Subsidiary from the Permitted Funds or any Affiliate of the Permitted Funds or a similarly structured entity (other than the Borrower or any Restricted Subsidiary); 

(xvi) sales, contributions, assignments or other transfers (in one or more transactions) for Fair Market Value of Servicing
Advances, Residential Mortgage Loans or MSR or any parts thereof (a) in the ordinary course of business, (b) in connection with the transfer or termination of the related MSRs or (c) in connection with Excess Spread Sales in the
ordinary course of business shall be permitted; 

  
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 (xvii) sales, contributions, assignments or other transfers in the ordinary
course of business and for Fair Market Value of Servicing Advances, Residential Mortgage Loans or MSRs to Securitization Entities and Warehouse Facility Trusts in connection with Securitizations or Warehouse Facilities shall be permitted; 

(xviii) sales, contributions, assignments or other transfers of Investments or other assets and disposition or compromise of
loans or other receivables, in each case, in connection with the workout, compromise, settlement or collection thereof or exercise of remedies with respect thereto, in the ordinary course of business or in bankruptcy, foreclosure or similar
proceedings, including foreclosure, repossession and disposition of REO Assets and other collateral for loans serviced and/or originated by the Borrower or any of the Restricted Subsidiaries shall be permitted; 

(xix) the modification of any loans owned by the Borrower or any of the Restricted Subsidiaries in the ordinary course of
business shall be permitted; 
 (xx) sales, contributions, assignments or other transfers of Securitization Assets in the
ordinary course of business and for Fair Market Value by the Borrower or any of the Restricted Subsidiaries in connection with the origination, acquisition, securitization and/or sale of loans that are purchased, insured, guaranteed, or securitized
shall be permitted; 
 (xxi) sales, contributions, assignments or other transfers in the ordinary course of business of MSRs
in connection with MSR Facilities and Warehouse Facilities and of REO Assets shall be permitted; 
 (xxii) sales,
contributions, assignments or other transfers of Residual Interests in the ordinary course of business and for Fair Market Value shall be permitted; provided that the Fair Market Value of Residual Interests sold, contributed, assigned or
otherwise transferred pursuant to this clause (xxii) shall not exceed $125,000,000 in the aggregate; 
 (xxiii) sales or
other transfers of a minority interest in any Investment otherwise permitted under Section 6.05; provided that (x) the majority interests in such Investment shall also be concurrently sold or transferred on the same terms and the
holder or holders of such majority interests shall have required such sale or disposition of such minority interest pursuant to the exercise of any applicable drag-along rights and (y) the Net Sale Proceeds from the sale or transfer of such
minority interest are applied in accordance with Section 2.13(c); 
 (xxiv) the Borrower and each Restricted Subsidiary
may contribute assets to any joint venture in exchange for Equity Interests in such joint venture; provided (x) such transaction is on an arm’s length basis, (y) the Borrower or such Restricted Subsidiary, as applicable,
receives fair value for the assets so contributed and (z) such contributions shall constitute, on the date of such contribution, an Investment by the Borrower or such Restricted Subsidiary, as applicable, in an amount equal to the fair market
value of the assets so contributed; 

  
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 (xxv) sales, contributions, assignments or other transfers of any assets or
rights required or advisable as a result of statutory or regulatory changes as determined in good faith by the senior management of the Borrower, in each case so long as the Net Sale Proceeds therefrom are applied and/or reinvested as (and to the
extent) required by Section 2.13(c); and 
 (xxvi) sales, contributions, assignments or other transfers of Equity
Interests of an Unrestricted Subsidiary. 
 For the avoidance of doubt, any sale, contribution, assignment or other transfer otherwise permitted pursuant to
Section 6.02(xiii), (xvi) or (xvii) shall not be deemed to be for less than Fair Market Value solely because such sale, contribution, assignment or transfer was made at a discount to par. 

To the extent the Required Lenders waive the provisions of this Section 6.02 with respect to the sale of any Collateral, or any
Collateral is sold as permitted by this Section 6.02 (other than to the Borrower or a Restricted Subsidiary), such Collateral shall be sold free and clear of the Liens created by the Security Documents and, in the case of the sale of all of the
Equity Interests of a Subsidiary Guarantor permitted by this Section 6.02 (other than to the Borrower or a Restricted Subsidiary), such Subsidiary Guarantor shall be released from the Subsidiaries Guaranty, and the Administrative Agent and the
Collateral Agent shall be authorized without any further action on behalf of any Lender or other Secured Creditor to take any actions deemed appropriate in order to effect the foregoing release. 

Section 6.03. Dividends. The Borrower will not, and will not permit any of the Restricted Subsidiaries to, directly or indirectly,
authorize, declare or pay any Dividends with respect to the Borrower or any Restricted Subsidiary, except that: 
 (i) any
Restricted Subsidiary may pay Dividends to the Borrower or to any Wholly-Owned Domestic Restricted Subsidiary and any Subsidiary of the Borrower that is not a Credit Party may pay Dividends to any Wholly-Owned Restricted Subsidiary; 

(ii) any Non-Wholly-Owned Restricted Subsidiary may pay Dividends to its shareholders, members or partners generally so long as
the Borrower or a Restricted Subsidiary which owns the Equity Interests in the Restricted Subsidiary paying such Dividends receives at least its proportionate share thereof (based upon its relative holding of the Equity Interests in the Restricted
Subsidiary paying such Dividends and taking into account the relative preferences, if any, of the various classes of Equity Interests of such Restricted Subsidiary); 

(iii) the Borrower may redeem, repurchase or otherwise acquire for value, outstanding shares of its Qualified Equity Interests
(or options or warrants to purchase its 

  
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Qualified Equity Interests) following the death, disability or termination of employment of officers, directors or employees of the Borrower or any Restricted Subsidiary, provided that
(x) the aggregate amount of all Dividends paid or made pursuant to this clause (iii) shall not exceed $10,000,000 in any fiscal year of the Borrower and (y) at the time of any Dividend permitted to be made pursuant to this clause
(iii), no Default or Event of Default shall then exist or would result therefrom; 
 (iv) the Borrower may pay Dividends on
its Qualified Equity Interests solely through the issuance of additional shares of Qualified Equity Interests of the Borrower (but not in cash), provided that in lieu of issuing additional shares of Qualified Equity Interests as Dividends,
the Borrower may increase the liquidation preference of the shares of Qualified Equity Interests in respect of which such Dividends have accrued; 

(v) the Borrower may pay cash Dividends so long as (A) the aggregate amount of Dividends paid pursuant to this clause (v),
plus the aggregate amount of payments made pursuant to clause (x) of Section 6.15, does not exceed $25,000,000 in any fiscal year of the Borrower; provided that any unused portion of this basket may be utilized in any succeeding
fiscal year of the Borrower and (B) no Default or Event of Default then exists or would result therefrom; and 
 (vi)
the Borrower may pay additional cash Dividends pursuant to this clause (vi) in an aggregate amount not to exceed the Available Amount at such time (as determined immediately before giving effect to the making of such Dividend) so long as
(A) no Default or Event of Default then exists or would result therefrom, (B) the Total Leverage Ratio at the time of such Dividend, determined on a Pro Forma Basis, is no greater than 3.00 to 1.00 and (C) prior to the payment
of such Dividend, the Borrower shall have delivered to the Administrative Agent a certificate of an Authorized Officer of the Borrower certifying compliance with preceding sub-clauses (A) and (B) and containing the calculations (in
reasonable detail) required to establish compliance with preceding sub-clause (B). 
 Section 6.04. Indebtedness. The Borrower
will not, and will not permit any of the Restricted Subsidiaries to, contract, create, incur, assume or suffer to exist any Indebtedness, except: 

(i) Indebtedness incurred pursuant to this Agreement and the other Credit Documents; 

(ii) Existing Indebtedness outstanding on the Closing Date and listed on Schedule 6.04 (as reduced by any permanent repayments
of principal thereof) and in respect of any Continuing Letter of Credit and, in each case, any subsequent extension, renewal or refinancing thereof, provided that the aggregate principal amount of the Indebtedness to be extended, renewed or
refinanced does not increase from that amount outstanding (or, in the case of a revolving line of credit, the amount committed on the Closing Date (as reduced by any permanent commitment reductions thereunder)) at the

  
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time of any such extension, renewal or refinancing, and neither the final maturity nor the Weighted Average Life to Maturity of such Indebtedness is decreased, such Indebtedness, if subordinated
to the Obligations, remains so subordinated on terms no less favorable to the Lenders, and the original obligors in respect of such Indebtedness remain the only obligors thereon; 

(iii) Indebtedness of the Borrower and the Restricted Subsidiaries under Interest Rate Protection Agreements or Other Hedging
Agreements, so long as the entering into of such Interest Rate Protection Agreements or Other Hedging Agreements are bona fide hedging activities and are not for speculative purposes; 

(iv) Indebtedness of the Borrower and the Restricted Subsidiaries evidenced by Capitalized Lease Obligations and purchase money
Indebtedness described in Section 6.01(vii), provided that in no event shall the sum of the aggregate principal amount of all Capitalized Lease Obligations and purchase money Indebtedness permitted by this clause (iv) exceed
$50,000,000 at any time outstanding; 
 (v) Indebtedness constituting Intercompany Loans to the extent permitted by
Section 6.05(viii); 
 (vi) Indebtedness consisting of guaranties or other Contingent Obligations (x) by the
Borrower and the Wholly-Owned Restricted Subsidiaries that are Subsidiary Guarantors of each other’s Indebtedness and other obligations permitted under this Agreement (other than guaranties of Non-Recourse Indebtedness, Permitted Funding
Indebtedness or any Indebtedness permitted under Section 6.04(xvii); provided that the Borrower (but no other Credit Party) may, on an unsecured basis, guarantee the Permitted Funding Indebtedness of a Subsidiary Guarantor), (y) by
Wholly-Owned Restricted Subsidiaries that are not Credit Parties of each other’s Indebtedness or other contractual obligations permitted under this Agreement (in each case other than guaranties of Non-Recourse Indebtedness or Securitization
Indebtedness) and (z) of Indebtedness and other obligations (including any Permitted Funding Indebtedness) so long as such guaranty or other Contingent Obligation is otherwise permitted as an Investment under Section 6.05 (other than
Section 6.05(xi)); 
 (vii) Indebtedness of a Restricted Subsidiary acquired pursuant to a Permitted Acquisition (or
Indebtedness assumed at the time of a Permitted Acquisition of an asset securing such Indebtedness), provided that (x) such Indebtedness was not incurred in connection with, or in anticipation or contemplation of, such Permitted
Acquisition, (y) such Indebtedness is not guaranteed in any respect by the Borrower or any Restricted Subsidiary (other than any acquired Person that becomes a Restricted Subsidiary) and (z) the aggregate principal amount of all
Indebtedness permitted by this clause (vii) (other than Permitted Funding Indebtedness) shall not exceed the greater of (x) $100,000,000 and (y) 15% of Consolidated EBITDA (determined on a Pro Forma Basis in accordance with the
definition of “Pro Forma Basis” contained herein) of the Borrower and the Restricted Subsidiaries for the period of four consecutive fiscal quarters ended on the last day of the most recent fiscal period for which financial
statements have been delivered pursuant to Section 5.01 at any one time outstanding; 

  
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 (viii) Indebtedness arising from the honoring by a bank or other financial
institution of a check, draft or similar instrument drawn against insufficient funds in the ordinary course of business, so long as such Indebtedness is extinguished within three Business Days of its incurrence; 

(ix) Indebtedness of the Borrower and the Restricted Subsidiaries with respect to performance bonds, surety bonds, appeal bonds
or customs bonds required in the ordinary course of business or in connection with the enforcement of rights or claims of the Borrower or any Restricted Subsidiary or in connection with judgments that do not result in a Default or an Event of
Default; 
 (x) Indebtedness of the Borrower or any Restricted Subsidiary which may be deemed to exist in connection with
customary agreements providing for indemnification, purchase price adjustments and similar obligations in connection with the acquisition or disposition of assets in connection with transactions otherwise permitted hereunder, so long as any such
obligations are those of the Person making the respective acquisition or sale, and are not guaranteed by any other Person except as permitted by Section 6.04(vi); 

(xi) Permitted Funding Indebtedness; 

(xii) Non-Recourse Indebtedness; 

(xiii) to the extent constituting Indebtedness, Indebtedness under Excess Spread Sales incurred in the ordinary course of
business; 
 (xiv)(A) Indebtedness of the Borrower or any Restricted Subsidiary which may be deemed to exist pursuant to
earn-out arrangements upon the achievement of certain future performance goals of the respective Acquired Entity in connection with Permitted Acquisitions, so long as any such obligations are those of the Person making the respective Permitted
Acquisition and are not guaranteed by any other Person except as permitted by Section 6.04(vi) and (B) any Indebtedness of the Borrower or any Restricted Subsidiary which may be deemed to exist pursuant to any deferred purchase price,
installment payment or similar arrangement in connection with the purchase of MSR, Servicing Advances, REO Assets, servicing rights, Residual Interests Excess Spreads, residential or commercial mortgage loans or Securitization Assets, provided such
Indebtedness is on terms consistent with standards acceptable to the industry; 
 (xv) Indebtedness of the Credit Parties in
respect of the Convertible Notes in an aggregate principal amount of up to $290,000,000 at any time outstanding, less the aggregate amount of any principal payments made thereon after the Closing Date (other than in connection with a refinancing or
replacement thereof permitted hereunder) and any portion thereof converted to common stock of the Borrower, and any Permitted Refinancing thereof; 

  
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 (xvi) Indebtedness of Restricted Subsidiaries that are not Credit Parties;
provided that the aggregate amount of Indebtedness incurred pursuant to this clause (xvi) shall not exceed $50,000,000 at any one time; 

(xvii) Indebtedness of any Restricted Subsidiary that is a general partner of a Permitted Fund solely as a result of such
Restricted Subsidiary being a general partner of a Permitted Fund but only so long as such Restricted Subsidiary is in compliance with Section 6.13; 

(xviii) Permitted Securitization Indebtedness and Indebtedness under Credit Enhancement Agreements, in each case incurred in
the ordinary course of business; 
 (xix) so long as no Default or Event of Default then exists or would result therefrom,
additional unsecured Indebtedness incurred by the Borrower and the Restricted Subsidiaries (other than a Non-Recourse Entity) in an aggregate principal amount not to exceed the greater of (x) $100,000,000 and (y) 15% of Consolidated EBITDA
(determined on a Pro Forma Basis in accordance with the definition of “Pro Forma Basis” contained herein) of the Borrower and the Restricted Subsidiaries for the period of four consecutive fiscal quarters ended on the last day of
the most recent fiscal period for which financial statements have been delivered pursuant to Section 5.01 at any one time outstanding; 

(xx)(A)Permitted Incremental Equivalent Debt of any Credit Party; provided that (x) immediately prior to and
immediately after giving effect to the incurrence thereof, no Default or Event of Default shall exist and (y) on a Pro Forma Basis after giving effect to the incurrence of such Indebtedness (including the application of proceeds thereof,
but without netting the proceeds thereof), (1) the Total Leverage Ratio of the Borrower as of the last day of the most recently ended Calculation Period shall not exceed the applicable ratio for such period set forth in the definition of
Incurrence Total Leverage Ratio, (2) the First Lien Net Leverage Ratio shall not exceed 3.00:1.00 as of the last day of the most recently ended Calculated Period and (3) the Total Net Leverage Ratio shall not exceed 4.00:1.00 as of the
last day of the most recently ended Calculation Period, and (B) any Permitted Refinancing thereof; 
 (xxi) Permitted
External Refinancing Debt of any Credit Party, and any Permitted Refinancing thereof; and 
 (xxii) unsecured Indebtedness of
the Loan Parties in respect of the Senior Unsecured Notes in an aggregate principal amount of up to $575,000,000 at any time outstanding, less the aggregate amount of any principal payments made thereon (other than in connection with a Permitted
Refinancing thereof), and any Permitted Refinancing thereof. 

  
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 Section 6.05. Advances, Investments and Loans. The Borrower will not, and will not
permit any of the Restricted Subsidiaries to, directly or indirectly, make or permit to exist any advance, loan, extension of credit (by way of guaranty or otherwise) or capital contribution to, or purchase, hold or acquire any Equity Interest,
bonds, notes, debentures, evidence of indebtedness or other securities of, or acquire any assets constituting all or substantially all of the assets of or assets constituting all or substantially all of the assets of a business, division or product
line of, or make or permit to exist any investment or any other interest in, any Person (each of the foregoing an “Investment” and, collectively, “Investments”), except that the following shall be permitted: 

(i) the Borrower and the Restricted Subsidiaries may acquire and hold accounts or notes receivables owing to any of them, if
created or acquired in the ordinary course of business; 
 (ii) the Borrower and the Restricted Subsidiaries may acquire and
hold cash and Cash Equivalents; 
 (iii) Investments in Persons that are not Credit Parties (other than Unrestricted
Subsidiaries) in an aggregate amount not to exceed the Non-Credit Party Investment Amount available at such time; 
 (iv) the
Borrower and the Restricted Subsidiaries may acquire and own REO Assets and other investments (including debt obligations) received in connection with the bankruptcy or reorganization of suppliers and customers and in good faith settlement of
delinquent obligations of, and other disputes with, customers and suppliers arising in the ordinary course of business; 

(v) the Borrower and the Restricted Subsidiaries may make loans and advances to their officers and employees in the ordinary
course of business (including for travel, entertainment and relocation expenses) in an aggregate amount not to exceed $3,500,000 at any time outstanding; 

(vi) the Borrower and the Restricted Subsidiaries may acquire and hold obligations of their officers and employees in
connection with such officers’ and employees’ acquisition of shares of Qualified Equity Interests of the Borrower (so long as no cash is actually advanced by the Borrower or any Restricted Subsidiary in connection with the acquisition of
such obligations); 
 (vii) the Borrower and the Restricted Subsidiaries may enter into Interest Rate Protection Agreements
and Other Hedging Agreements to the extent permitted by Section 6.04(iii); 
 (viii)(A) the Borrower and the Subsidiary
Guarantors may make intercompany loans and advances between or among one another and (B) any Restricted Subsidiary which is not a Credit Party may make intercompany loans and advances to the Borrower

  
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or a Wholly-Owned Restricted Subsidiary (such intercompany loans and advances referred to in preceding clauses (A) and (B), collectively, the “Intercompany Loans”),
provided that (v) each Intercompany Loan made by a Credit Party shall be evidenced by an Intercompany Note, (w) each such Intercompany Note owned or held by a Credit Party shall be pledged to the Collateral Agent pursuant to the
Pledge Agreement, (x) each Intercompany Loan made by any Restricted Subsidiary that is not a Credit Party to a Credit Party shall be subject to the subordination provisions contained in the Intercompany Subordination Agreement and (y) any
Intercompany Loans made to any Subsidiary Guarantor or any Wholly-Owned Restricted Subsidiary pursuant to this clause (viii) shall cease to be permitted by this clause (viii) if such Subsidiary Guarantor or Wholly-Owned Restricted
Subsidiary, as the case may be, ceases to constitute a Subsidiary Guarantor that is a Wholly-Owned Domestic Restricted Subsidiary or a Wholly-Owned Restricted Subsidiary, as the case may be; 

(ix)(A) the Borrower and any Subsidiary Guarantor may make capital contributions to, or acquire Equity Interests of, any
Subsidiary Guarantor which is a Wholly-Owned Restricted Subsidiary, (B) any Restricted Subsidiary which is not a Credit Party may make capital contributions to, or acquire Equity Interests of, any other Wholly-Owned Restricted Subsidiary, and
may capitalize or forgive any Indebtedness owed to it by a Wholly-Owned Restricted Subsidiary and (C) the Borrower and any Restricted Subsidiary may make Investments in any Subsidiary that is not a Credit Party; provided that the
aggregate amount of Investments made (or deemed pursuant to Section 6.02(iv) to have been made) at any time after the Closing Date pursuant to the preceding subclause (C) shall not exceed the Non-Credit Party Investment Amount at such
time; 
 (x) the Borrower and the Restricted Subsidiaries may own the Equity Interests of their respective Restricted
Subsidiaries created or acquired in accordance with the terms of this Agreement (so long as all amounts invested in such Restricted Subsidiaries are independently justified under another provision of this Section 6.05); 

(xi) Contingent Obligations permitted by Section 6.04, to the extent constituting Investments; 

(xii) the Borrower or any Restricted Subsidiary may acquire all or substantially all the assets of a Person or line of business
or business unit of such Person, or not less than the majority of the Equity Interests of a Person (referred to herein as the “Acquired Entity”; and any acquisition of an Acquired Entity meeting all the criteria of this
Section 6.05(xii) being referred to herein as a “Permitted Acquisition”)); provided that (A) no Default or Event of Default shall have occurred and be continuing at the time of the consummation of the proposed
acquisition or immediately after giving effect thereto, (B) calculations are made by the Borrower for the respective Calculation Period on a Pro Forma Basis as if the respective acquisition (as well as all other Subject Transactions
theretofore consummated after the first day of such Calculation Period) had occurred on the first day of such Calculation Period, and such calculations shall show that the Total Leverage Ratio of the Borrower as of the last day of such Calculation
Period does not 

  
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exceed the applicable ratio for such period set forth in the definition of Incurrence Total Leverage Ratio, (C) in the case of any acquisition with respect to which the aggregate
consideration (including any Indebtedness that is assumed by the Borrower or any Restricted Subsidiary following such acquisition and any payments following such acquisition pursuant to earn-out provisions or similar obligations) to be incurred is
expected to be $25,000,000 or more, the Borrower shall have delivered to the Administrative Agent a certificate executed by an Authorized Officer, certifying to the best of such officer’s knowledge, compliance with the requirements of preceding
clauses (A) and (B), inclusive, and containing the calculations (in reasonable detail) required to establish compliance with preceding clause (B), (D) the Acquired Entity shall be in a business permitted by Section 6.13 and
(E) the Borrower will cause each Restricted Subsidiary (except any Excluded Subsidiary) which is formed to effect, or is acquired pursuant to, such acquisition to comply with, and to execute and deliver all of the documentation as and to the
extent required by, Section 5.12 and 6.14; provided further that the aggregate amount of such consideration paid or provided by or on behalf of any Credit Party (including any Indebtedness incurred or assumed by any such Person to
finance any portion of such consideration) at any time after the Closing Date in reliance on this Section 6.05(xii) attributable to acquisitions of Persons that do not become Credit Parties or of assets by Subsidiaries that are not or do not
become Credit Parties (including as a result of a merger or consolidation) shall not exceed an amount in the aggregate equal to the sum of (A) the Non-Credit Party Investment Amount at such time plus (B) the Available Amount at such
time (as determined immediately before making such acquisition); provided that the Available Amount may be used for such purpose only if (1) the Total Leverage Ratio at the time of such acquisition, determined on a Pro Forma
Basis, is no greater than the Incurrence Total Leverage Ratio for the applicable Calculation Period and (2) prior to the making of such acquisition, the Borrower shall have delivered to the Administrative Agent a certificate of an Authorized
Officer of the Borrower certifying compliance with preceding sub-clause (1) and containing the calculations (in reasonable detail) required to establish compliance with preceding sub-clause (1); 

(xiii) the Borrower and the Restricted Subsidiaries may receive and hold promissory notes and other non-cash consideration
received in connection with any asset sale permitted by Section 6.02(iv); 
 (xiv) the Borrower and the Restricted
Subsidiaries may in the ordinary course of business make advances in the form of a prepayment of expenses to vendors, suppliers and trade creditors, so long as such expenses were incurred in the ordinary course of business of the Borrower or such
Restricted Subsidiary; 
 (xv) Investments by the Borrower or any Restricted Subsidiary in Securitization Entities, Warehouse
Facility Trusts, MSR Facility Trusts, Investments in mortgage-related securities or charge-off receivables, in each case in the ordinary course of business; 

  
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 (xvi) Investments arising out of purchases in the ordinary course of business of
all remaining outstanding asset-backed securities of any Securitization Entity and/or Securitization Assets of any Securitization Entity; 

(xvii) Investment in MSRs (including in the form of repurchases of MSRs), in each case in the ordinary course of business; 

(xviii) Investments in Residual Interests in connection with any Securitization, Warehouse Facility or MSR Facility in the
ordinary course of business; 
 (xix) Investments in and making or origination of Servicing Advances, residential or
commercial mortgage loans and Securitization Assets (whether or not made in conjunction with the acquisition of MSRs) (including in the form of repurchases of any of the foregoing), in each case in the ordinary course of business; 

(xx) the contribution, assignment or other transfer of Equity Interests of an Unrestricted Subsidiary; 

(xxi) Green Tree SerVertis Acquisition LLC or a similarly structured Restricted Subsidiary may assign all of its right, title
and interest in Residential Mortgage Loans simultaneously with the purchase of such Residential Mortgage Loans permitted by Section 6.02(xv) to either (x) a trust or other securitization entity or a similarly structured entity created on
behalf of the Permitted Funds or a similarly structured entity, or (y) any Affiliate of the Permitted Funds or a similarly structured entity (other than the Borrower or any Restricted Subsidiary), including without limitation, SerVertis REO
LLC; 
 (xxii) the Borrower and the Restricted Subsidiaries may make additional Investments in an aggregate amount not to
exceed at any time outstanding (determined without regard to any write-downs or write-offs of such Investments) the Available Amount at such time (as determined immediately before giving effect to the making of such Investment) so long as
(A) no Default or Event of Default then exists or would result therefrom, (B) the Total Leverage Ratio as of the last day of the most recently ended Calculation Period (determined on a Pro Forma Basis after giving effect to such
Investment), is no greater than the Incurrence Total Leverage Ratio for the applicable Calculation Period and (C) prior to the making of such Investment, the Borrower shall have delivered to the Administrative Agent a certificate of an
Authorized Officer of the Borrower certifying compliance with preceding sub-clauses (A) and (B) and containing the calculations (in reasonable detail) required to establish compliance with preceding sub-clause (B); 

(xxiii) in addition to Investments permitted by clauses (i) through (xxii) of this Section 6.05, the Borrower
and the Restricted Subsidiaries may make additional loans, advances and other Investments to or in a Person (other than a Non-Recourse Entity) in an aggregate amount for all loans, advances and other Investments made pursuant to this clause
(xxiii) (determined without regard to any write-downs or write-offs thereof), net of 

  
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cash repayments of principal in the case of loans, sale proceeds in the case of Investments in the form of debt instruments and cash equity returns (whether as a distribution, dividend,
redemption or sale) in the case of equity investments, not to exceed the greater of (x) $75,000,000 and (y) 25% of Consolidated EBITDA (determined on a Pro Forma Basis in accordance with the definition of “Pro Forma
Basis” contained herein) of the Borrower and the Restricted Subsidiaries for the period of four consecutive fiscal quarters ended on the last day of the most recent fiscal period for which financial statements have been delivered pursuant
to Section 5.01; 
 (xxiv)(A) Investments in UFG Holdings LLC (or any successor thereof) in an amount not to exceed
$15,000,000 at any time and (B) Investments in Walter Capital Opportunity Corp., Walter Capital Opportunity, GP, LLC and/or Walter Capital Opportunity, LP (or any successor of any of the foregoing) in an amount not to exceed $20,000,000 at any
time; and 
 (xxv) Investments by the Borrower or any Restricted Subsidiary existing on the Closing Date and set forth on
Schedule 6.05. 
 The amount, as of any date of determination, of (i) any Investment in the form of a loan, advance or extension of
credit shall be the principal amount thereof outstanding on such date, minus any cash payments actually received by the applicable investor representing a payment or prepayment of in respect of principal of such Investment, but without any
adjustment for write-downs or write-offs (including as a result of forgiveness of any portion thereof) with respect to such loan, advance or extension after the date of such loan, advance or extension, (ii) any Investment in the form of a
guarantee shall be equal to the stated or determinable amount of the related primary obligation, or portion thereof, in respect of which such guarantee is made or, if not stated or determinable, the maximum reasonably anticipated liability in
respect thereof, as determined in good faith by the Borrower, (iii) any Investment in the form of a transfer of Equity Interests or other non-cash property by the investor to the investee, including any such transfer in the form of a capital
contribution, shall be the Fair Market Value of such Equity Interests or other property as of the time of the transfer or capital contribution, minus any payments actually received by such investor representing a return of capital of such
Investment, but without any other adjustment for increases or decreases in value of, or write-ups, write-downs or write-offs with respect to, such Investment after the date of such Investment, and (iv) any Investment (other than any Investment
referred to in clause (i), (ii) or (iii) above) by the specified Person in the form of a purchase or other acquisition of any Equity Interests, bonds, notes, debentures, evidences of Indebtedness or other securities of any other Person
shall be the original cost of such Investment (including any Indebtedness assumed in connection therewith), minus the amount of any portion of such Investment that has been repaid to the investor in cash as a repayment of principal or a return of
capital, but without any other adjustment for increases or decreases in value of, or write-ups, write-downs or write-offs with respect to, such Investment after the date of such Investment. 

Section 6.06. Transactions with Affiliates. The Borrower will not, and will not permit any of the Restricted Subsidiaries to,
enter into any transaction or series of related transactions 

  
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with any Affiliate (other than the Borrower or any Wholly-Owned Restricted Subsidiary), other than on terms and conditions substantially as favorable to the Borrower or such Restricted Subsidiary
as would reasonably be obtained by the Borrower or such Restricted Subsidiary at that time in a comparable arm’s-length transaction with a Person other than an Affiliate, except that the following in any event shall be permitted: 

(i) Dividends may be paid to the extent provided in Section 6.03; 

(ii) loans may be made and other transactions may be entered into by the Borrower and the Restricted Subsidiaries to the extent
permitted by Section 6.02, 6.04 and 6.05; 
 (iii) customary fees, indemnities and reimbursements may be paid to
non-officer directors of the Borrower and the Restricted Subsidiaries; and 
 (iv) the Borrower and the Restricted
Subsidiaries may enter into, and may make payments under, employment agreements, employee benefits plans, stock option plans, indemnification provisions and other similar compensatory arrangements with officers, employees and directors of the
Borrower and the Restricted Subsidiaries in the ordinary course of business. 
 Section 6.07. [Reserved]. 

Section 6.08. Interest Expense Coverage Ratio. Prior to the Revolving Credit Maturity Date, commencing with the fiscal quarter of
the Borrower ending on December 31, 2013, if the Testing Condition is satisfied on the last day of any fiscal quarter of the Borrower after giving effect to any Credit Event that occurs on such day, the Borrower will not permit the Interest
Expense Coverage Ratio for the Test Period ending on such day to be less than 3.25:1.00. Any provision of this Agreement that requires the Borrower to be in compliance or compliance on a Pro Forma Basis with the Interest Expense Coverage
Ratio prior to December 31, 2013 shall be deemed to require that the Interest Expense Coverage Ratio not be greater than 3.25:1.00. 

Section 6.09. Total Leverage Ratio. Prior to the Revolving Credit Maturity Date, if the Testing Condition is satisfied on the last
day of a fiscal quarter of the Borrower set forth below after giving effect to any Credit Event that occurs on such day, the Borrower will not permit the Total Leverage Ratio for the Test Period ending on such day to be greater than the ratio set
forth opposite such fiscal quarter below: 
  

					
	 Fiscal Quarter Ending
	  	Total Leverage Ratio	 
	 December 31, 2013
	  	 	5.75:1.00	  
	 March 31, 2014
	  	 	5.75:1.00	  
	 June 30, 2014
	  	 	5.75:1.00	  
	 September 30, 2014
	  	 	5.75:1.00	  
	 December 31, 2014
	  	 	5.75:1.00	  
	 March 31, 2015
	  	 	5.50:1.00	  

  
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	 June 30, 2015
	  	 	5.50:1.00	  
	 September 30, 2015
	  	 	5.50:1.00	  
	 December 31, 2015
	  	 	5.50:1.00	  
	 March 31, 2016
	  	 	5.25:1.00	  
	 June 30, 2016
	  	 	5.25:1.00	  
	 September 30, 2016
	  	 	5.25:1.00	  
	 December 31, 2016
	  	 	5.25:1.00	  
	March 31, 2017 and the last day of each fiscal quarter of the Borrower thereafter	  	 	5.00:1.00	  

 Any provision of this Agreement that requires the Borrower to be in compliance or compliance on a Pro
Forma Basis with the Total Leverage Ratio prior to December 31, 2013 shall be deemed to require that the Total Leverage Ratio not be greater than 5.75:1.00. 

Section 6.10. Modifications of Certain Agreements. The Borrower will not, and will not permit any of the Restricted Subsidiaries
to, amend, modify, change or waive, or permit the amendment, modification or changing of, any terms of (x) any Permitted Incremental Equivalent Debt, Permitted External Refinancing Debt or any Permitted Refinancing thereof, if, after giving
effect to such amendment, modification, change or waiver, such Indebtedness would not constitute Permitted Incremental Equivalent Debt or Permitted External Refinancing Debt, as applicable or (y) the Senior Unsecured Notes Documents, the
Convertible Notes or any respective Permitted Refinancing thereof if such amendment, modification, change or waiver could reasonably be expected to materially increase the obligations of the obligors thereunder, confer any additional material rights
on the holders thereof or any Permitted Refinancing thereof or result in any subordination provisions thereof (if applicable) being less favorable in any material respect to the Lenders, in each case other than in connection with a Permitted
Refinancing thereof. 
 Section 6.11. Limitation on Certain Restrictions on Subsidiaries. The Borrower will not, and will not
permit any of the Restricted Subsidiaries to, directly or indirectly, create or otherwise cause or suffer to exist or become effective any encumbrance or restriction on the ability of any such Restricted Subsidiary to (a) pay dividends or make
any other distributions on its capital stock or any other Equity Interest or participation in its profits owned by the Borrower or any Restricted Subsidiary, or pay any Indebtedness owed to the Borrower or any Restricted Subsidiary, (b) make
loans or advances to the Borrower or any Restricted Subsidiary or (c) transfer any of its properties or assets to the Borrower or any Restricted Subsidiary, except for such encumbrances or restrictions existing under or by reason of
(i) applicable law, (ii) this Agreement and the other Credit Documents, (iii) agreements which (x) exist on the Closing Date and (to the extent not otherwise permitted by this Section 6.11) are listed on Schedule 6.11 and
(y) to the extent agreements permitted by preceding sub-clause (x) are set forth in an agreement evidencing Indebtedness, are set forth in any agreement evidencing any permitted renewal, extension or refinancing of such Indebtedness so long as
such renewal, extension or refinancing does not expand the scope of the restrictions described in clause (a), (b) or (c) that are contained in such existing agreement, (iv) agreements that are binding on a Restricted Subsidiary at the

  
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time such Restricted Subsidiary is acquired by the Borrower or any Restricted Subsidiary, so long as such agreements were not entered into in contemplation of such Person becoming a Restricted
Subsidiary, (v) customary provisions restricting subletting or assignment of any lease governing any leasehold interest of the Borrower or any Restricted Subsidiary, (vi) customary provisions restricting assignment of any licensing
agreement (in which the Borrower or any Restricted Subsidiary is the licensee) or other contract entered into by the Borrower or any Restricted Subsidiary in the ordinary course of business, (vii) restrictions on the transfer of any asset or
any Restricted Subsidiary pending the close of the sale of such asset or such Restricted Subsidiary, (viii) restrictions on the transfer of any asset subject to a Lien permitted by Section 6.01(iii), (vi), (vii), (xv), (xvi), (xviii),
(xix), (xx), (xxv), (xxvii), (xxviii) and (xxix)); provided that such restrictions are limited to the applicable individual agreements and/or the property or assets subject to such agreements, (ix) customary provisions applicable to
a Securitization Entity; provided that such restrictions are limited to the applicable individual agreements and/or the property or assets subject to such agreements, (x) provisions in documentation with respect to the Senior Unsecured
Notes, Permitted Incremental Equivalent Debt, Permitted External Refinancing Debt or any Permitted Refinancing thereof, in each case so long as such provisions are no more restrictive than the corresponding provisions hereof and (xi) provisions
pursuant to the terms of any Permitted Funding Indebtedness or any Non-Recourse Indebtedness providing for financial covenants or limitations on affiliate transactions, mergers, consolidations, transfers of all or substantially all assets or other
fundamental changes, in each case so long as such provisions are determined in good faith by the Borrower to be customary for such financing and the applications of such provisions will not materially affect the ability of the Borrower to pay the
principal or interest on the Loans. 
 Section 6.12. Limitation on Issuance of Equity Interests. The Borrower will not, and will
not permit any of the Restricted Subsidiaries to, issue (i) any Preferred Equity (other than (x) in the case of the Borrower, Preferred Equity that constitutes Qualified Equity Interests and (y) in the case of any such Restricted
Subsidiary, Preferred Equity issued to the Borrower or a Subsidiary Guarantor) or (ii) any redeemable common stock or other redeemable common Equity Interests other than (x) in the case of the Borrower, common Qualified Equity Interests
and (y) in the case of any such Restricted Subsidiary, common stock or other redeemable common Equity Interests that is or are redeemable at the sole option of such Restricted Subsidiary. 

Section 6.13. Business; Etc. The Borrower will not, and will not permit any of the Restricted Subsidiaries to, engage directly or
indirectly in any business other than the businesses engaged in by the Borrower and the Restricted Subsidiaries as of the Closing Date and reasonable extensions and developments thereof and businesses reasonably similar, ancillary or complimentary
thereto. 
 Section 6.14. Limitation on Creation of Subsidiaries. (a) The Borrower will not, and will not permit any of the
Restricted Subsidiaries to, establish, create or acquire after the Closing Date any Restricted Subsidiary, provided that the Borrower and its Wholly-Owned Restricted Subsidiaries (other than Non-Recourse Entities) shall be permitted to
establish, create and, to the extent permitted by this Agreement, acquire Wholly-Owned Restricted Subsidiaries, so long as, 

  
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in each case, (i) the capital stock or other Equity Interests of such new Restricted Subsidiary are promptly pledged pursuant to, and to the extent required by, the Pledge Agreement and the
certificates, if any, representing such stock or other Equity Interests, together with stock or other appropriate powers duly executed in blank, are promptly delivered to the Collateral Agent, (ii) each such new Wholly-Owned Domestic Restricted
Subsidiary (other than an Excluded Subsidiary) promptly executes a counterpart of the Subsidiaries Guaranty, the Security Agreement and the Pledge Agreement, (iii) each such new Wholly-Owned Domestic Restricted Subsidiary (other than any
Non-Recourse Entity or Securitization Entities) promptly executes a counterpart of the Intercompany Subordination Agreement and (iv) each such new Wholly-Owned Domestic Restricted Subsidiary (other than an Excluded Subsidiary), to the extent
requested by the Administrative Agent or the Required Lenders, promptly takes all actions required pursuant to Section 5.12. In addition, each new Wholly-Owned Restricted Subsidiary that is required to execute any Credit Document shall promptly
execute and deliver, or cause to be promptly executed and delivered, all other relevant documentation (including opinions of counsel) of the type described in Section 4.02 as such new Restricted Subsidiary would have had to deliver if such new
Restricted Subsidiary were a Credit Party on the Closing Date, in each case to the extent reasonably requested by the Administrative Agent; provided further that Non-Wholly Owned Subsidiaries may be established, created or acquired in
accordance with the requirements of Section 6.14(b). 
 (b) In addition to Restricted Subsidiaries created pursuant to preceding clause
(a), the Borrower and the Restricted Subsidiaries may establish, acquire or create, and make Investments in, Non-Wholly Owned Subsidiaries after the Closing Date as a result of Permitted Acquisitions (subject to the limitations contained in the
definitions thereof) and Investments expressly permitted to be made pursuant to Section 6.05, provided that all of the capital stock or other Equity Interests of each such Non-Wholly Owned Subsidiary shall be pledged by any Credit Party
which owns same as, and to the extent, required by the Pledge Agreement. 
 Section 6.15. Prepayments of Other Indebtedness. So
long as any Term Loans remain outstanding, the Borrower will not, and will not permit any of the Restricted Subsidiaries to, directly or indirectly, voluntarily or optionally prepay, repurchase, redeem or otherwise optionally or voluntarily satisfy
or defease, or make any payment in violation of any subordination terms of, whether in cash, property, securities or a combination thereof, or otherwise acquire for consideration (including as a result of any asset sale, change of control or similar
event or any purchase or assignment pursuant to any provision similar to Section 9.04(l) hereunder), or set apart any sum for the aforesaid purposes (it being agreed that any payment in cash in connection with the conversion or exchange of any
Convertible Notes or any Permitted Refinancing thereof shall be deemed to be a voluntary prepayment thereof for purposes hereof), any Indebtedness constituting Senior Unsecured Notes, Convertible Notes, Permitted Incremental Equivalent Debt,
Permitted External Refinancing Debt or any Permitted Refinancing thereof, except (v) pursuant to a Permitted Refinancing thereof, (w) the conversion or exchange of any such Indebtedness to or for Qualified Equity Interests of the Borrower,
(x) additional payments so long as (A) the aggregate amount of payments made pursuant to this clause (x), plus the aggregate amount of Dividends paid pursuant to Section 6.03(v), does not exceed $25,000,000 in any fiscal year of the
Borrower; provided that any unused portion of this basket 

  
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may be utilized in any succeeding fiscal year of the Borrower and (B) no Default or Event of Default then exists or would result therefrom, (y) additional payments in an aggregate
amount not to exceed the Available Amount at such time (as determined immediately before giving effect to the making of such payment) so long as (A) no Default or Event of Default then exists or would result therefrom, (B) the Total
Leverage Ratio at the time of and immediately after giving effect to such payment, determined on a Pro Forma Basis, is not (1) greater than 3.00 to 1.00 or (2) in the case of any payment of cash by the Borrower or any Restricted
Subsidiary to a holder of Convertible Notes upon conversion or exchange of such Convertible Notes or in connection with the right of a holder of Convertible Notes to require the Borrower to repurchase such Convertible Notes, greater than 3.50 to
1.00, and (C) prior to the making of such payment, the Borrower shall have delivered to the Administrative Agent a certificate of an Authorized Officer of the Borrower certifying compliance with preceding sub-clauses (A) and (B) and
containing the calculations (in reasonable detail) required to establish compliance with preceding sub-clause (B) and (z) additional payments so long as (A) no Default or Event of Default then exists or would result therefrom,
(B) the Total Leverage Ratio at the time of and immediately after giving effect to such payment, determined on a Pro Forma Basis, is no greater than 1.75 to 1.00, (C) after giving effect to such payment, the Aggregate Revolving
Credit Exposure shall not exceed 25.0% of the Total Revolving Credit Commitments at such time and (D) prior to the making of such payment, the Borrower shall have delivered to the Administrative Agent a certificate of an Authorized Officer of
the Borrower certifying compliance with preceding sub-clauses (A), (B) and (C) and containing the calculations (in reasonable detail) required to establish compliance with preceding sub-clause (B). 

ARTICLE 7 

EVENTS OF DEFAULT 

Section 7.01. Events of Default. Upon the occurrence of any of the following specified events (each, an “Event of
Default”): 
 (a) Payments. (i) Default shall be made in the payment of any principal of any Loan or the reimbursement
with respect to any L/C Disbursement when and as the same shall become due and payable, whether at the due date thereof or at a date fixed for prepayment thereof or by acceleration thereof or otherwise or (ii) default shall be made in the
payment of any interest on any Loan or any Fee or L/C Disbursement or any other amount (other than an amount referred to in clause (i)) due under any Credit Document, when and as the same shall become due and payable, and in the case of this clause
(ii) such default shall continue unremedied for a period of three Business Days; or 
 (b) Representations, etc. Any
representation, warranty or statement made or deemed made by any Credit Party herein or in any other Credit Document or in any report, certificate, financial statement or other instrument delivered to the Administrative Agent or any Lender pursuant
hereto or thereto shall prove to be untrue in any material respect on the date as of which made or deemed made or delivered; or 

  
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 (c) Covenants. The Borrower or any Restricted Subsidiary shall (i) default in the due
performance or observance by it of any term, covenant or agreement contained in Section 5.01(g)(i), 5.04 (with respect to the existence of the Borrower or any material Subsidiary Guarantor), 5.11, 5.18 or Article 6, or (ii) default in the
due performance or observance by it of any other term, covenant or agreement contained in this Agreement (other than those set forth in Section 7.01(a) and 7.01(b)) and such default shall continue unremedied for a period of 30 days after the
earlier of (x) written notice thereof to the Borrower by the Administrative Agent or the Required Lenders and (y) knowledge thereof by the Borrower or any Authorized Officer of the Borrower; provided, that, any Financial Covenant
Default shall not constitute an Event of Default with respect to the Term Loans until the date on which any Revolving Loans have been declared to be due and payable pursuant to this Article 7 on account of a Financial Covenant Default; or 

(d) Default Under Other Agreements. (i) The Borrower or any Restricted Subsidiary (other than a Securitization Entity) shall
(x) default in any payment of any Indebtedness (other than the Obligations) beyond the period of grace, if any, provided in an instrument or agreement under which such Indebtedness was created or (y) default in the observance or
performance of any agreement or condition relating to any Indebtedness (other than the Obligations or obligations under any Interest Rate Protection Agreement or Other Hedging Agreement (it being understood that clause (i)(x) shall only apply to any
failure to make any payment in respect of any Interest Rate Protection Agreement or Other Hedging Agreement as a result of such default)) or contained in any instrument or agreement evidencing, securing or relating thereto, or any other event shall
occur or condition exist, the effect of which default or other event or condition is to cause, or to permit the holder or holders of such Indebtedness (or a trustee or agent on behalf of such holder or holders) to cause, any such Indebtedness to
become due, or to require the prepayment, repurchase, redemption or defeasance thereof, prior to its stated maturity, or (ii) any Indebtedness (other than the Obligations or obligations under any Interest Rate Protection Agreement or Other
Hedging Agreement (it being understood that clause (i)(x) shall only apply to any failure to make any payment in respect of any Interest Rate Protection Agreement or Other Hedging Agreement as a result of such event)) of the Borrower or any
Restricted Subsidiary shall be declared to be (or shall become) due and payable, or required to be prepaid other than by a regularly scheduled required prepayment, prior to the stated maturity thereof, provided that it shall not be a Default
or an Event of Default under this Section 7.01(d) unless the aggregate principal amount of all Indebtedness as described in preceding clauses (i) and (ii) is at least $50,000,000; provided, further, that neither the conversion
of any Convertible Notes into cash or shares of common stock of the Borrower (or any combination thereof), in each case, to the extent permitted by this Agreement, nor the occurrence of an event that would permit such a conversion pursuant to the
terms of such Convertible Notes, shall constitute a Default or an Event of Default under this Section 7.01(d); or 
 (e) Bankruptcy,
etc. (i) An involuntary proceeding shall be commenced or an involuntary petition shall be filed in a court of competent jurisdiction seeking (x) relief in respect of the Borrower or any Restricted Subsidiary (other than a
Securitization Entity), or of a substantial part of the property or assets of the Borrower or a Restricted Subsidiary (other than a Securitization Entity), under Title 11 of the United States Code, as now constituted or hereafter

  
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amended, or any other federal, state or foreign bankruptcy, insolvency, receivership or similar law, (y) the appointment of a receiver, trustee, custodian, sequestrator, conservator or
similar official for the Borrower or any Restricted Subsidiary (other than a Securitization Entity) or for a substantial part of the property or assets of the Borrower or a Restricted Subsidiary (other than a Securitization Entity) or (z) the
winding-up or liquidation of the Borrower or any Restricted Subsidiary (other than a Securitization Entity); and such proceeding or petition shall continue undismissed for 60 days or an order or decree approving or ordering any of the foregoing
shall be entered; or (ii) the Borrower or any Restricted Subsidiary (other than a Securitization Entity) shall (t) voluntarily commence any proceeding or file any petition seeking relief under Title 11 of the United States Code, as now
constituted or hereafter amended, or any other federal, state or foreign bankruptcy, insolvency, receivership or similar law, (u) consent to the institution of, or fail to contest in a timely and appropriate manner, any proceeding or the filing
of any petition described in (i) above, (v) apply for or consent to the appointment of a receiver, trustee, custodian, sequestrator, conservator or similar official for the Borrower or any such Restricted Subsidiary or for a substantial
part of the property or assets of the Borrower or any such Restricted Subsidiary, (w) file an answer admitting the material allegations of a petition filed against it in any such proceeding, (x) make a general assignment for the benefit of
creditors, (y) become unable, admit in writing its inability or fail generally to pay its debts as they become due or (z) take any action for the purpose of effecting any of the foregoing; or 

(f) ERISA. An ERISA Event shall have occurred that, in the reasonable opinion of the Required Lenders, when taken together with all
other such ERISA Events that have occurred, could reasonably be expected to result in a Material Adverse Effect; or 
 (g) Security
Documents. Any of the Security Documents shall cease to be in full force and effect, or shall cease to give the Collateral Agent for the benefit of the Secured Creditors the Liens, rights, powers and privileges purported to be created thereby
(including, without limitation, a perfected security interest in, and Lien on, all of the Collateral (other than, in the aggregate, immaterial portions of the Collateral), in favor of the Collateral Agent, superior to and prior to the rights of all
third Persons (except as permitted by Section 6.01), and subject to no other Liens (except as permitted by Section 6.01), or any Credit Party shall default in the due performance or observance of any term, covenant or agreement on its part
to be performed or observed pursuant to any such Security Document and such default shall continue beyond the period of grace, if any, specifically applicable thereto pursuant to the terms of such Security Document or the Borrower or any other
Credit Party shall assert that any security interest purported to be created by any Security Document is not a valid, perfected, first priority (except as otherwise expressly provided in this Agreement or such Security Document) security interest in
the securities, assets or properties covered thereby; or 
 (h) Guaranties. Any Subsidiaries Guaranty or any provision thereof shall
cease to be in full force or effect as to any Subsidiary Guarantor (except as a result of a release of any Subsidiary Guarantor in accordance with the terms thereof), or any Subsidiary Guarantor or any Person acting for or on behalf of such
Subsidiary Guarantor shall deny or disaffirm such Subsidiary Guarantor’s obligations under the Subsidiaries Guaranty or any Subsidiary Guarantor shall default in the due performance or observance of any term, covenant or agreement on its part
to be performed or observed pursuant to the Subsidiaries Guaranty; or 

  
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 (i) Judgments. One or more judgments or decrees shall be entered against the Borrower or
any Restricted Subsidiary (other than any Securitization Entity) involving in the aggregate for the Borrower and the Restricted Subsidiaries a liability (not paid or to the extent not covered by a reputable and solvent insurance company) and such
judgments and decrees either shall be final and non-appealable or shall not be vacated, discharged or stayed or bonded pending appeal for any period of 30 consecutive days, and the aggregate amount of all such judgments equals or exceeds
$50,000,000; or 
 (j) Intercreditor Agreement. Any Intercreditor Agreement shall, in whole or in part, cease to be effective or cease
to be legally valid, binding and enforceable against the holders of any Indebtedness whose Liens are subject to such Intercreditor Agreement; or 

(k) Change of Control. A Change of Control shall occur; 

then, and in any such event, and at any time thereafter, if any Event of Default shall then be continuing, the Administrative Agent may, and
upon the written request of the Required Lenders shall, by written notice to the Borrower, take any or all of the following actions (provided that, if an Event of Default specified in Section 7.01(e) shall occur with respect to the
Borrower, the result which would occur upon the giving of written notice by the Administrative Agent as specified in clauses (i) and (ii) below shall occur automatically without the giving of any such notice): (i) declare the
Commitments terminated, whereupon all Commitments of each Lender shall forthwith terminate immediately and any Commitment Fees shall forthwith become due and payable without any other notice of any kind; (ii) declare the principal of and any
accrued interest and Fees in respect of all Loans and the Notes and all Obligations owing hereunder and thereunder to be, whereupon the same shall become, forthwith due and payable without presentment, demand, protest or other notice of any kind,
all of which are hereby waived by each Credit Party, anything contained herein or in any other Credit Document to the contrary notwithstanding; (iii) terminate any Letter of Credit which may be terminated in accordance with its terms;
(iv) direct the Borrower to pay (and the Borrower agrees that upon receipt of such notice, or upon the occurrence of an Event of Default specified in Section 7.01(e) with respect to the Borrower, it will pay) to the Collateral Agent cash
or Cash Equivalents, to be held as security by the Collateral Agent as contemplated in Section 2.22(j); (v) enforce, as Collateral Agent, all of the Liens and security interests created pursuant to the Security Documents; (vi) enforce
the Subsidiaries Guaranty; and (vii) apply any cash collateral held by the Administrative Agent pursuant to Section 2.22 or Section 2.23 to the repayment of the Obligations. 

ARTICLE 8 

THE ADMINISTRATIVE AGENT AND THE COLLATERAL
AGENT 
 Each Lender and each Issuing Bank hereby irrevocably appoints the Administrative Agent and the Collateral Agent (for
purposes of this Article 8, the Administrative Agent and the 

  
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Collateral Agent are referred to collectively as the “Agents”) its agent and authorizes the Agents to take such actions on its behalf and to exercise such powers as are delegated
to such Agents by the terms of the Credit Documents, together with such actions and powers as are reasonably incidental thereto. Without limiting the generality of the foregoing, the Agents are hereby expressly authorized to (i) execute any and
all documents (including releases) with respect to the Collateral and the rights of the Secured Creditors with respect thereto, as contemplated by and in accordance with the provisions of this Agreement and the Security Documents and
(ii) negotiate, enforce or settle any claim, action or proceeding affecting the Lenders in their capacity as such, at the direction of the Required Lenders, which negotiation, enforcement or settlement will be binding upon each Lender. Without
limiting the generality of the foregoing, the Lenders hereby specifically authorize the Agents to enter into one or more MSR Acknowledgement Agreements in connection with the Agents’ security interest, for the benefit of the Secured Creditors,
in those MSR relating to Residential Mortgage Loans owned or held by the respective owner of the Residential Mortgage Loans to which such MSR relate (in each case to the extent required to do so by such owner). If any provision hereof permits the
Borrower or any Restricted Subsidiary to incur any secured Indebtedness so long as any Liens securing such Indebtedness are subject to an intercreditor agreement that is reasonably satisfactory to the Administrative Agent (each, an
“Intercreditor Agreement”), then (x) each such intercreditor agreement shall be deemed to also be satisfactory to the Lenders and the Issuing Bank if the same is not objected to in writing by the Required Lenders within five
Business Days after notice thereof and (y) each Lender and each Issuing Bank hereby authorizes any Agent from time to time to enter into and perform its obligations under any such intercreditor agreement. Each of the Lenders and the Issuing
Bank acknowledges and agrees that an Agent may also act as the collateral agent or as collateral trustee for the lenders under certain other Indebtedness permitted hereunder and each Lender and the Issuing Bank hereby waives any conflict of
interest, now contemplated or arising hereafter, in connection therewith and agrees not to assert against Credit Suisse AG or any of its Related Parties any claims, causes of action, damages or liabilities of whatever kind or nature relating
thereto. The Administrative Agent may perform any of its respective duties hereunder by or through its officers, directors, agents, employees or affiliates. 

The institution serving as the Administrative Agent and/or the Collateral Agent hereunder shall have the same rights and powers in its
capacity as a Lender as any other Lender and may exercise the same as though it were not an Agent, and such bank and its Affiliates may accept deposits from, lend money to and generally engage in any kind of business with the Borrower or any
Subsidiary or other Affiliate thereof as if it were not an Agent hereunder. 
 Neither Agent shall have any duties or obligations except
those expressly set forth in the Credit Documents. Without limiting the generality of the foregoing, (a) neither Agent shall be subject to any fiduciary or other implied duties, regardless of whether a Default or Event of Default has occurred
and is continuing, (b) neither Agent shall have any duty to take any discretionary action or exercise any discretionary powers, except discretionary rights and powers expressly contemplated hereby that such Agent is instructed in writing to
exercise by the Required Lenders (or such other number or percentage of the Lenders as shall be necessary under the circumstances as provided in Section 9.08); provided that no Agent shall be required to take any action that, in its
opinion or the opinion of its counsel, may expose such Agent to 

  
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liability or that is contrary to any Credit Document or applicable law, including for the avoidance of doubt any action that may be in violation of the automatic stay under any Debtor Relief Law
or that may effect a forfeiture, modification or termination of property of a Defaulting Lender in violation of any Debtor Relief Law, and (c) except as expressly set forth in the Credit Documents, neither Agent shall have any duty to disclose,
nor shall it be liable for the failure to disclose, any information relating to the Borrower or any of the Subsidiaries that is communicated to or obtained by the bank serving as Administrative Agent and/or Collateral Agent or any of its Affiliates
in any capacity. Neither Agent shall be liable for any action taken or not taken by it with the consent or at the request of the Required Lenders (or such other number or percentage of the Lenders as shall be necessary under the circumstances as
provided in Section 9.08) or in the absence of its own gross negligence or willful misconduct. Neither Agent shall be deemed to have knowledge of any Default or Event of Default unless and until written notice thereof is given to such Agent by
the Borrower or a Lender, and neither Agent shall be responsible for or have any duty to ascertain or inquire into (i) any statement, warranty or representation made in or in connection with any Credit Document, (ii) the contents of any
certificate, report or other document delivered thereunder or in connection therewith, (iii) the performance or observance of any of the covenants, agreements or other terms or conditions set forth in any Credit Document, (iv) the
validity, enforceability, effectiveness or genuineness of any Credit Document or any other agreement, instrument or document, or (v) the satisfaction of any condition set forth in Article 4 or elsewhere in any Credit Document, other than to
confirm receipt of items expressly required to be delivered to such Agent. 
 Each Agent shall be entitled to rely upon, and shall not incur
any liability for relying upon, any notice, request, certificate, consent, statement, instrument, document or other writing believed by it to be genuine and to have been signed or sent by the proper Person. Each Agent may also rely upon any
statement made to it orally or by telephone and believed by it to have been made by the proper Person, and shall not incur any liability for relying thereon. Each Agent may consult with legal counsel (who may be counsel for the Borrower),
independent accountants and other experts selected by it, and shall not be liable for any action taken or not taken by it in accordance with the advice of any such counsel, accountants or experts. 

Each Agent may perform any and all its duties and exercise its rights and powers by or through any one or more sub-agents appointed by it.
Each Agent and any such sub-agent may perform any and all its duties and exercise its rights and powers by or through their respective Related Parties. The exculpatory provisions of the preceding paragraphs shall apply to any such sub-agent and to
the Related Parties of each Agent and any such sub-agent, and shall apply to their respective activities in connection with the syndication of the Credit Facilities as well as activities as Agent. 

Subject to the appointment and acceptance of a successor Agent as provided below, either Agent may resign at any time by notifying the
Lenders, the Issuing Banks and the Borrower. Upon any such resignation, the Required Lenders shall have the right, in consultation with the Borrower, to appoint a successor. If no successor shall have been so appointed by the Required Lenders and
shall have accepted such appointment within 30 days after the retiring Agent gives notice of its resignation, then the retiring Agent may, on behalf of the Lenders and the Issuing 

  
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Banks, appoint a successor Agent which shall be a bank with an office in the United States, or an Affiliate of any such bank. If no successor Agent has been appointed pursuant to the immediately
preceding sentence by the 30th day after the date such notice of resignation was given by such Agent, such Agent’s resignation shall become effective and the Required Lenders shall thereafter perform all the duties of such Agent hereunder
and/or under any other Credit Document until such time, if any, as the Required Lenders appoint a successor Administrative Agent and/or Collateral Agent, as the case may be. Any such resignation by such Agent hereunder shall also constitute, to the
extent applicable, its resignation as an Issuing Bank, in which case such resigning Agent (x) shall not be required to issue any further Letters of Credit hereunder and (y) shall maintain all of its rights as Issuing Bank with respect to
any Letters of Credit issued by it prior to the date of such resignation. Upon the acceptance of its appointment as Agent hereunder by a successor, such successor shall succeed to and become vested with all the rights, powers, privileges and duties
of the retiring Agent, and the retiring Agent shall be discharged from its duties and obligations hereunder. The fees payable by the Borrower to a successor Agent shall be the same as those payable to its predecessor unless otherwise agreed between
the Borrower and such successor. After an Agent’s resignation hereunder, the provisions of this Article and Section 9.05 shall continue in effect for the benefit of such retiring Agent, its sub-agents and their respective Related Parties
in respect of any actions taken or omitted to be taken by any of them while acting as Agent. 
 Each Lender acknowledges that it has,
independently and without reliance upon the Agents or any other Lender and based on such documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into this Agreement. Each Lender also acknowledges
that it will, independently and without reliance upon the Agents or any other Lender and based on such documents and information as it shall from time to time deem appropriate, continue to make its own decisions in taking or not taking action under
or based upon this Agreement or any other Credit Document, any related agreement or any document furnished hereunder or thereunder. 
 Each
Lender authorizes and directs the Collateral Agent to enter into the Security Documents for the benefit of the Lenders and the other Secured Creditors. Each Lender hereby agrees, and each holder of any Note by the acceptance thereof will be deemed
to agree, that, except as otherwise set forth herein, any action taken by the Required Lenders in accordance with the provisions of this Agreement or the Security Documents, and the exercise by the Required Lenders of the powers set forth herein or
therein, together with such other powers as are reasonably incidental thereto, shall be authorized and binding upon all of the Lenders. The Collateral Agent is hereby authorized on behalf of all of the Lenders, without the necessity of any notice to
or further consent from any Lender, from time to time prior to an Event of Default, to take any action with respect to any Collateral or Security Documents which may be necessary to perfect and maintain perfected the security interest in and liens
upon the Collateral granted pursuant to the Security Documents. 
 The Lenders hereby authorize the Collateral Agent, at its option and in
its discretion, to release any Lien granted to or held by the Collateral Agent upon any Collateral (i) upon termination of the Commitments and payment and satisfaction of all of the Obligations (other

  
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than inchoate indemnification obligations) at any time arising under or in respect of this Agreement or the Credit Documents or the transactions contemplated hereby or thereby,
(ii) constituting property being sold or otherwise disposed of (to Persons other than the Borrower and its Subsidiaries) upon the sale or other disposition thereof in compliance with Section 6.02, (iii) if approved, authorized or
ratified in writing by the Required Lenders (or all of the Lenders hereunder, to the extent required by Section 9.08) or (iv) as otherwise may be expressly provided in the relevant Security Documents. Upon request by the Administrative
Agent at any time, the Lenders will confirm in writing the Collateral Agent’s authority to release particular types or items of Collateral pursuant to this Article 9. 

Notwithstanding any other provision of this Agreement or any provision of any other Credit Document, each of the Lead Arrangers and the Joint
Bookrunners, the Syndication Agent and each of the Co-Documentation Agents are named as such for recognition purposes only, and in their respective capacities as such shall have no duties, responsibilities or liabilities with respect to this
Agreement or any other Credit Document and are entitled to the benefit of the Lender acknowledgment made in paragraph seven of this Article 8; it being understood and agreed that each of the Lead Arrangers and the Joint Bookrunners, the Syndication
Agent and each of the Co-Documentation Agents and each of their respective Related Parties shall be entitled to all indemnification and reimbursement rights in favor of the Agents provided herein and in the other Credit Documents. Without limitation
of the foregoing, none of the Lead Arrangers, the Joint Bookrunners, the Syndication Agent or the Co-Documentation Agents in their respective capacities as such shall, by reason of this Agreement or any other Credit Document, have any fiduciary
relationship in respect of any Lender, Credit Party or any other Person. 
 ARTICLE 9 

MISCELLANEOUS 

Section 9.01. Notices; Electronic Communications. Notices and other communications provided for herein shall be in writing and
shall be delivered by hand or overnight courier service, mailed by certified or registered mail or sent by facsimile transmission, as follows: 

(a) if to the Borrower, to Walter Investment Management Corp., Attention of: Cheryl Collins, Senior Vice President and Treasurer, 345 St. Peter
Street, St. Paul, MN 55102 Fax Number 866-210-6192, Phone: 651-293-3410 Email: cheryl.collins@greentreecreditsolutions.com; 
 (b) if
to the Administrative Agent, to Credit Suisse AG, Attention of: Sean Portrait, Eleven Madison Avenue, New York, NY 10010, Fax Number 212-322-2291, Email: agency.loanops@credit-suisse.com; 

(c) if to the Collateral Agent, to Credit Suisse AG, Attention of: Loan Operations – Boutique Management, Primary Contact: Nirmala
Durgana, Eleven Madison Avenue, New York, NY 10010, Fax Number 212-325-8315, Email: ops-collateral@credit-suisse.com; and 

  
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 (d) if to a Lender, to it at its address (including email address or facsimile number) set forth
on Schedule 1.01(b) or in the Assignment and Acceptance pursuant to which such Lender shall have become a party hereto. 
 All notices and
other communications given to any party hereto in accordance with the provisions of this Agreement shall be deemed to have been given on the date of receipt if delivered by hand or overnight courier service or sent by facsimile transmission (except
that, if not given during the normal business hours of the recipient, shall be deemed to have been given at the opening of business on the next Business Day for the recipient) or on the date five Business Days after dispatch by certified or
registered mail if mailed, in each case delivered, sent or mailed (properly addressed) to such party as provided in this Section 9.01 or in accordance with the latest unrevoked direction from such party given in accordance with this
Section 9.01. As agreed to among the Borrower, the Administrative Agent and the applicable Lenders from time to time, notices and other communications may also be delivered by e-mail to the e-mail address of a representative of the applicable
Person provided from time to time by such Person. 
 The Borrower hereby agrees, unless directed otherwise by the Administrative Agent or
unless the electronic mail address referred to below has not been provided by the Administrative Agent to the Borrower, that it will, or will cause the Restricted Subsidiaries to, provide to the Administrative Agent all information, documents and
other materials that it is obligated to furnish to the Administrative Agent pursuant to the Credit Documents or to the Lenders under Article 5, including all notices, requests, financial statements, financial and other reports, certificates and
other information materials, but excluding any such communication that (i) is or relates to a Borrowing Request, a notice pursuant to Section 2.10 or a notice requesting the issuance, amendment, extension or renewal of a Letter of Credit
pursuant to Section 2.22, (ii) relates to the payment of any principal or other amount due under this Agreement prior to the scheduled date therefor, (iii) provides notice of any Default or Event of Default under this Agreement or any
other Credit Document or (iv) is required to be delivered to satisfy any condition precedent to the effectiveness of this Agreement and/or any Borrowing or other extension of credit hereunder (all such non-excluded communications being referred
to herein collectively as “Communications”), by transmitting the Communications in an electronic/soft medium that is properly identified in a format acceptable to the Administrative Agent to an electronic mail address as directed by
the Administrative Agent. In addition, the Borrower agrees, and agrees to cause the Restricted Subsidiaries, to continue to provide the Communications to the Administrative Agent or the Lenders, as the case may be, in the manner specified in the
Credit Documents but only to the extent requested by the Administrative Agent. 
 The Borrower hereby acknowledges that (a) the
Administrative Agent will make available to the Lenders and the Issuing Bank materials and/or information provided by or on behalf of the Borrower hereunder (collectively, the “Borrower Materials”) by posting the Borrower Materials
on Intralinks or another similar electronic system (the “Platform”) and (b) certain of the Lenders may be “public-side” Lenders (i.e., Lenders that do not wish to receive material non-public information with respect
to the Borrower or its securities) (each, a “Public Lender”). The Borrower hereby agrees that (w) all Borrower Materials that are to be made available to Public Lenders shall be clearly and conspicuously marked
“PUBLIC” which, at a 

  
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minimum, shall mean that the word “PUBLIC” shall appear prominently on the first page thereof; (x) by marking Borrower Materials “PUBLIC,” the Borrower shall be deemed to
have authorized the Administrative Agent and the Lenders to treat such Borrower Materials as not containing any material non-public information with respect to the Borrower or its securities for purposes of United States federal and state securities
laws (provided, however, that to the extent such Borrower Materials constitute Information, they shall be treated as set forth in Section 9.16); (y) all Borrower Materials marked “PUBLIC” are permitted to be made available
through a portion of the Platform designated as “Public Investor;” and (z) the Administrative Agent shall be entitled to treat any Borrower Materials that are not marked “PUBLIC” as being suitable only for posting on a
portion of the Platform not marked as “Public Investor.” Notwithstanding the foregoing, the following Borrower Materials shall be marked “PUBLIC”, unless the Borrower notifies the Administrative Agent promptly that any such
document contains material non-public information: (1) the Credit Documents and (2) notification of changes in the terms of the Credit Facilities. 

Each Public Lender agrees to cause at least one individual at or on behalf of such Public Lender to at all times have selected the
“Private Side Information” or similar designation on the content declaration screen of the Platform in order to enable such Public Lender or its delegate, in accordance with such Public Lender’s compliance procedures and applicable
law, including United States federal and state securities laws, to make reference to Communications that are not made available through the “Public Side Information” portion of the Platform and that may contain material non-public
information with respect to the Borrower or its securities for purposes of United States federal or state securities laws. 
 THE PLATFORM
IS PROVIDED “AS IS” AND “AS AVAILABLE”. NEITHER THE ADMINISTRATIVE AGENT NOR ANY OF ITS RELATED PARTIES WARRANTS THE ACCURACY OR COMPLETENESS OF THE COMMUNICATIONS OR THE ADEQUACY OF THE PLATFORM AND EACH EXPRESSLY DISCLAIMS
LIABILITY FOR ERRORS OR OMISSIONS IN THE COMMUNICATIONS. NO WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY, INCLUDING ANY WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS OR FREEDOM FROM
VIRUSES OR OTHER CODE DEFECTS IS MADE BY THE ADMINISTRATIVE AGENT OR ANY OF ITS RELATED PARTIES IN CONNECTION WITH THE COMMUNICATIONS OR THE PLATFORM. IN NO EVENT SHALL THE ADMINISTRATIVE AGENT OR ANY OF ITS RELATED PARTIES HAVE ANY LIABILITY TO ANY
CREDIT PARTY, ANY LENDER OR ANY OTHER PERSON FOR DAMAGES OF ANY KIND, WHETHER OR NOT BASED ON STRICT LIABILITY AND INCLUDING DIRECT OR INDIRECT, SPECIAL, INCIDENTAL OR CONSEQUENTIAL DAMAGES, LOSSES OR EXPENSES (WHETHER IN TORT, CONTRACT OR
OTHERWISE) ARISING OUT OF ANY CREDIT PARTY’S OR THE ADMINISTRATIVE AGENT’S TRANSMISSION OF COMMUNICATIONS THROUGH THE INTERNET, EXCEPT TO THE EXTENT THE LIABILITY OF ANY SUCH PERSON IS FOUND IN A FINAL RULING BY A COURT OF COMPETENT
JURISDICTION TO HAVE RESULTED PRIMARILY FROM SUCH PERSON’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT. 

  
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 The Administrative Agent agrees that the receipt of the Communications by the Administrative
Agent at its e-mail address set forth above shall constitute effective delivery of the Communications to the Administrative Agent for purposes of the Credit Documents. Each Lender agrees that receipt of notice to it (as provided in the next
sentence) specifying that the Communications have been posted to the Platform shall constitute effective delivery of the Communications to such Lender for purposes of the Credit Documents. Each Lender agrees to notify the Administrative Agent in
writing (including by electronic communication) from time to time of such Lender’s e-mail address to which the foregoing notice may be sent by electronic transmission and that the foregoing notice may be sent to such e-mail address. 

Nothing herein shall prejudice the right of the Administrative Agent or any Lender to give any notice or other communication pursuant to any
Credit Document in any other manner specified in such Credit Document. 
 Section 9.02. Survival of Agreement. All covenants,
agreements, representations and warranties made by the Borrower herein and in the certificates or other instruments prepared or delivered in connection with or pursuant to this Agreement or any other Credit Document shall be considered to have been
relied upon by the Lenders and the Issuing Banks and shall survive the making by the Lenders of the Loans and the issuance of Letters of Credit by the Issuing Banks, regardless of any investigation made by the Lenders or the Issuing Banks or on
their behalf, and shall continue in full force and effect as long as the principal of or any accrued interest on any Loan or any Fee or any other amount payable under this Agreement or any other Credit Document is outstanding and unpaid or any
Letter of Credit is outstanding and so long as the Commitments have not been terminated. The provisions of Sections 2.14, 2.16, 2.20 and 9.05 shall remain operative and in full force and effect regardless of the expiration of the term of this
Agreement, the consummation of the transactions contemplated hereby, the repayment of any of the Loans, the expiration of the Commitments, the expiration of any Letter of Credit, the invalidity or unenforceability of any term or provision of this
Agreement or any other Credit Document, or any investigation made by or on behalf of the Administrative Agent, the Collateral Agent, any Lender or any Issuing Bank. 

Section 9.03. Binding Effect. This Agreement shall become effective when it shall have been executed by the Borrower, the Agents,
the Lenders and the Issuing Bank and when the Administrative Agent shall have received counterparts hereof which, when taken together, bear the signatures of each of the other parties hereto. 

Section 9.04. Successors and Assigns. (a) Whenever in this Agreement any of the parties hereto is referred to, such reference
shall be deemed to include the permitted successors and assigns of such party; and all covenants, promises and agreements by or on behalf of the Borrower, the Administrative Agent, the Collateral Agent, the Issuing Banks or the Lenders that are
contained in this Agreement shall bind and inure to the benefit of their respective successors and assigns. 
 (b) Each Lender may assign to
one or more Eligible Assignees all or a portion of its interests, rights and obligations under this Agreement (including all or a portion of its 

  
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Commitment and the Loans at the time owing to it), with the prior consent of the Borrower (which consent shall not be unreasonably withheld or delayed) and with notice to the Administrative Agent
and, in the case of any assignment of a Revolving Credit Commitment, the prior written consent of the Administrative Agent (not to be unreasonably withheld or delayed); provided, however, that (i) (A) in the case of an assignment of
a Revolving Credit Commitment, each Issuing Bank must also give its prior written consent to such assignment (which consent shall not be unreasonably withheld or delayed), (B) the consent of the Borrower (1) shall not be required to any
such assignment made (x) to another Lender, an Affiliate of a Lender or a Related Fund of a Lender, (y) in connection with the initial syndication of the Credit Facilities to institutions previously identified to the Borrower and
acceptable to the Borrower or (z) after the occurrence and during the continuance of any Event of Default and (2) shall be deemed to have been given if the Borrower has not responded with five Business Days of a request for such consent),
(C) the amount of the Commitment or Loans of the assigning Lender subject to each such assignment (determined as of the date the Assignment and Acceptance with respect to such assignment is delivered to the Administrative Agent) shall be in an
integral multiple of, and not less than, $1,000,000 in the case of Term Loans and in an integral multiple of $500,000 and not less than $2,500,000 in the case of Revolving Credit Commitments (or, if less, the entire remaining amount of such
Lender’s Commitment or Loans of the relevant Class); provided that simultaneous assignments by two or more Related Funds shall be combined for purposes of determining whether the minimum assignment requirement is met, (ii) the
parties to each assignment shall (A) execute and deliver to the Administrative Agent an Assignment and Acceptance via an electronic settlement system acceptable to the Administrative Agent or (B) if previously agreed with the
Administrative Agent, manually execute and deliver to the Administrative Agent an Assignment and Acceptance, and, in each case, shall pay to the Administrative Agent a processing and recordation fee of $3,500 (which fee may be waived or reduced in
the sole discretion of the Administrative Agent), and (iii) the assignee, if it shall not be a Lender, shall deliver to the Administrative Agent an Administrative Questionnaire (in which the assignee shall designate one or more credit contacts
to whom all syndicate-level information (which may contain material non-public information about the Credit Parties and their Related Parties or their respective securities) will be made available and who may receive such information in accordance
with the assignee’s compliance procedures and applicable laws, including federal and state securities laws) and all applicable forms described in Section 2.20(e). Upon acceptance and recording pursuant to paragraph (e) of this
Section 9.04, from and after the effective date specified in each Assignment and Acceptance, (A) the assignee thereunder shall be a party hereto and, to the extent of the interest assigned by such Assignment and Acceptance, have the rights
and obligations of a Lender under this Agreement and (B) the assigning Lender thereunder shall, to the extent of the interest assigned by such Assignment and Acceptance, be released from its obligations under this Agreement (and, in the case of
an Assignment and Acceptance covering all or the remaining portion of an assigning Lender’s rights and obligations under this Agreement, such Lender shall cease to be a party hereto but shall continue to be entitled to the benefits of Sections
2.14, 2.16, 2.20 and 9.05, as well as to any Fees accrued for its account and not yet paid); provided, that except to the extent otherwise expressly agreed by the affected parties, no assignment by a Defaulting Lender will constitute a waiver
or release of any claim of any party hereunder arising from that Lender having been a Defaulting Lender. In 

  
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connection with any assignment of rights and obligations of any Defaulting Lender hereunder, no such assignment shall be effective unless and until, in addition to the other conditions thereto
set forth herein, the parties to the assignment shall make such additional payments to the Administrative Agent in an aggregate amount sufficient, upon distribution thereof as appropriate (which may be outright payment, purchases by the assignee of
participations or subparticipations, or other compensating actions, including funding, with the consent of the Borrower and the Administrative Agent, the applicable pro rata share of Loans previously requested but not funded by the Defaulting
Lender, to each of which the applicable assignee and assignor hereby irrevocably consent), to (x) pay and satisfy in full all payment liabilities then owed by such Defaulting Lender to the Administrative Agent, each Issuing Bank and each Lender
hereunder (and interest accrued thereon), and (y) acquire (and fund as appropriate) its full pro rata share of all Loans and participations in Letters of Credit in accordance with its Pro Rata Percentage. Notwithstanding the foregoing, in the
event that any assignment of rights and obligations of any Defaulting Lender hereunder shall become effective under applicable law without compliance with the provisions of this paragraph, then the assignee of such interest shall be deemed to be a
Defaulting Lender for all purposes of this Agreement until such compliance occurs. 
 (c) By executing and delivering an Assignment and
Acceptance, the assigning Lender thereunder and the assignee thereunder shall be deemed to confirm to and agree with each other and the other parties hereto as follows: (i) such assigning Lender warrants that it is the legal and beneficial
owner of the interest being assigned thereby free and clear of any adverse claim and that its Term Loan Commitment and Revolving Credit Commitment, and the outstanding balances of its Term Loans and Revolving Loans, in each case without giving
effect to assignments thereof which have not become effective, are as set forth in such Assignment and Acceptance, (ii) except as set forth in (i) above, such assigning Lender makes no representation or warranty and assumes no
responsibility with respect to any statements, warranties or representations made in or in connection with this Agreement, or the execution, legality, validity, enforceability, genuineness, sufficiency or value of this Agreement, any other Credit
Document or any other instrument or document furnished pursuant hereto, or the financial condition of the Borrower or any Restricted Subsidiary or the performance or observance by the Borrower or any Restricted Subsidiary of any of its obligations
under this Agreement, any other Credit Document or any other instrument or document furnished pursuant hereto; (iii) such assignee represents and warrants that it is an Eligible Assignee legally authorized to enter into such Assignment and
Acceptance; (iv) such assignee confirms that it has received a copy of this Agreement, together with copies of the most recent financial statements referred to in Section 3.05 or delivered pursuant to Section 5.01 and such other
documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into such Assignment and Acceptance; (v) such assignee will independently and without reliance upon the Administrative Agent, the
Collateral Agent, such assigning Lender or any other Lender and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under this Agreement;
(vi) such assignee appoints and authorizes the Administrative Agent and the Collateral Agent to take such action as agent on its behalf and to exercise such powers under this Agreement as are delegated to the Administrative Agent and the
Collateral Agent, respectively, by the terms hereof, together with such powers as are reasonably incidental thereto; (vii) [reserved]; and (viii) such assignee agrees that it will perform in accordance with their terms all the obligations
which by the terms of this Agreement are required to be performed by it as a Lender. 

  
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 (d) The Administrative Agent, acting for this purpose as an agent of the Borrower, shall maintain
at one of its offices in The City of New York a copy of each Assignment and Acceptance delivered to it and a register for the recordation of the names and addresses of the Lenders, and the Commitment of, and principal amount (and stated interest) of
the Loans owing to, each Lender pursuant to the terms hereof from time to time (the “Register”). The entries in the Register shall be conclusive and the Borrower, the Administrative Agent, the Issuing Banks, the Collateral Agent and
the Lenders shall treat each Person whose name is recorded in the Register pursuant to the terms hereof as a Lender hereunder for all purposes of this Agreement, notwithstanding notice to the contrary. The Register shall be available for inspection
by the Borrower, any Issuing Bank, the Collateral Agent and any Lender, at any reasonable time and from time to time upon reasonable prior notice. 

(e) Upon its receipt of, and consent to, a duly completed Assignment and Acceptance executed by an assigning Lender and an assignee, an
Administrative Questionnaire completed in respect of the assignee (unless the assignee shall already be a Lender hereunder), the processing and recordation fee referred to in paragraph (b) above, if applicable, and the written consent of the
Administrative Agent and, if required, the Borrower and each Issuing Bank to such assignment and any applicable forms described in Section 2.20(e), the Administrative Agent shall promptly (i) accept such Assignment and Acceptance and
(ii) record the information contained therein in the Register. No assignment shall be effective unless it has been recorded in the Register as provided in this paragraph (e). 

(f) Each Lender may without the consent of the Borrower, any Issuing Bank or the Administrative Agent sell participations to one or more banks
or other Persons in all or a portion of its rights and obligations under this Agreement (including all or a portion of its Commitment and the Loans owing to it); provided, however, that (i) such Lender’s obligations under
this Agreement shall remain unchanged, (ii) such Lender shall remain solely responsible to the other parties hereto for the performance of such obligations, (iii) the participating banks or other Persons shall be entitled to the benefit of
the cost protection provisions contained in Sections 2.14, 2.16 and 2.20 (subject to the requirements and limitations therein, including the requirements under Section 2.20(e) (it being understood that the documentation required under
Section 2.20(e) shall be delivered to the participating Lender)) to the same extent as if they were Lenders (but, with respect to any particular participant, to no greater extent than the Lender that sold the participation to such participant)
and (iv) the Borrower, the Administrative Agent, the Issuing Banks and the Lenders shall continue to deal solely and directly with such Lender in connection with such Lender’s rights and obligations under this Agreement, and such Lender
shall retain the sole right to enforce the obligations of the Borrower relating to the Loans or L/C Disbursements and to approve any amendment, modification or waiver of any provision of this Agreement (other than amendments, modifications or
waivers decreasing any fees payable to such participating bank or Person hereunder or the amount of principal of or the rate at which interest is payable on the Loans in which such participating bank or Person has an interest,

  
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extending any scheduled principal payment date or date fixed for the payment of interest on the Loans in which such participating bank or Person has an interest, increasing or extending the
Commitments in which such participating bank or Person has an interest or releasing any Subsidiary Guarantor (other than in connection with the sale of such Subsidiary Guarantor in a transaction permitted by Section 6.02) or all or
substantially all of the Collateral). To the extent permitted by law, each participating bank or other Person also shall be entitled to the benefits of Section 9.06 as though it were a Lender, provided such participating bank or other Person
agrees to be subject to Section 2.18 as though it were a Lender. Each Lender that sells a participation shall, acting solely for this purpose as a non-fiduciary agent of the Borrower, maintain a register on which it enters the name and address
of each participant and the principal amounts (and stated interest) of each participant’s interest in the Loans or other obligations under this Agreement (the “Participant Register”); provided that no Lender shall have
any obligation to disclose all or any portion of the Participant Register to any Person (including the identity of any participant or any information relating to a participant's interest in any Commitments, Loans, Letters of Credit or its other
obligations under any Credit Document) except to the extent that such disclosure is necessary to establish that such Commitment, Loan, Letter of Credit or other obligation is in registered form under Section 5f.103-1(c) of the United States
Treasury Regulations. The entries in the Participant Register shall be conclusive absent manifest error, and the Borrower, the Lenders and the Administrative Agent shall treat each Person whose name is recorded in the Participant Register as the
owner of such participation for all purposes of this Agreement, notwithstanding any notice to the contrary. 
 (g) Any Lender or participant
may, in connection with any assignment or participation or proposed assignment or participation pursuant to this Section 9.04, disclose to the assignee or participant or proposed assignee or participant any information relating to the Borrower
furnished to such Lender by or on behalf of the Borrower; provided that, prior to any such disclosure of information designated by the Borrower as confidential, each such assignee or participant or proposed assignee or participant shall execute an
agreement whereby such assignee or participant shall agree (subject to customary exceptions) to preserve the confidentiality of such confidential information on terms no less restrictive than those applicable to the Lenders pursuant to
Section 9.16. 
 (h) Any Lender may at any time assign all or any portion of its rights under this Agreement to secure extensions of
credit to such Lender or in support of obligations owed by such Lender (including any such assignment or pledge in support of obligations owed to a Federal Reserve Bank or any other central banking authority); provided that no such assignment
shall release a Lender from any of its obligations hereunder or substitute any such assignee for such Lender as a party hereto. 
 (i)
Notwithstanding anything to the contrary contained herein, any Lender (a “Granting Lender”) may grant to a special purpose funding vehicle (an “SPV”), identified as such in writing from time to time by the Granting
Lender to the Administrative Agent and the Borrower, the option to provide to the Borrower all or any part of any Loan that such Granting Lender would otherwise be obligated to make to the Borrower pursuant to this Agreement; provided that
(i) nothing herein shall constitute a commitment by any SPV to make any Loan 

  
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and (ii) if an SPV elects not to exercise such option or otherwise fails to provide all or any part of such Loan, the Granting Lender shall be obligated to make such Loan pursuant to the
terms hereof. The making of a Loan by an SPV hereunder shall utilize the Commitment of the Granting Lender to the same extent, and as if, such Loan were made by such Granting Lender. Each party hereto hereby agrees that no SPV shall be liable for
any indemnity or similar payment obligation under this Agreement (all liability for which shall remain with the Granting Lender). In furtherance of the foregoing, each party hereto hereby agrees (which agreement shall survive the termination of this
Agreement) that, prior to the date that is one year and one day after the payment in full of all outstanding commercial paper or other senior indebtedness of any SPV, it will not institute against, or join any other Person in instituting against,
such SPV any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings under the laws of the United States or any State thereof. In addition, notwithstanding anything to the contrary contained in this Section 9.04, any SPV
may (i) with notice to, but without the prior written consent of, the Borrower and the Administrative Agent and without paying any processing fee therefor, assign all or a portion of its interests in any Loans to the Granting Lender or to any
financial institutions (consented to by the Borrower and Administrative Agent) providing liquidity and/or credit support to or for the account of such SPV to support the funding or maintenance of Loans and (ii) disclose on a confidential basis
any non-public information relating to its Loans to any rating agency, commercial paper dealer or provider of any surety, guarantee or credit or liquidity enhancement to such SPV. 

(j) The Borrower shall not assign or delegate any of its rights or duties hereunder without the prior written consent of the Administrative
Agent, each Issuing Bank and each Lender, and any attempted assignment without such consent shall be null and void. 
 (k) In the event that
any Revolving Credit Lender shall become a Defaulting Lender or S&P, Moody’s and Thompson’s BankWatch (or InsuranceWatch Ratings Service, in the case of Lenders that are insurance companies (or Best’s Insurance Reports, if such
insurance company is not rated by Insurance Watch Ratings Service)) shall, after the date that any Lender becomes a Revolving Credit Lender, downgrade the long term certificate deposit ratings of such Lender, and the resulting ratings shall be below
BBB-, Baa3 and C (or BB, in the case of a Lender that is an insurance company (or B, in the case of an insurance company not rated by InsuranceWatch Ratings Service)) (or, with respect to any Revolving Credit Lender that is not rated by any such
ratings service or provider, any Issuing Bank shall have reasonably determined that there has occurred a material adverse change in the financial condition of any such Lender, or a material impairment of the ability of any such Lender to perform its
obligations hereunder, as compared to such condition or ability as of the date that any such Lender became a Revolving Credit Lender) then such Issuing Bank shall have the right, but not the obligation, at its own expense, upon notice to such Lender
and the Administrative Agent, to replace such Lender with an assignee (in accordance with and subject to the restrictions contained in paragraph (b) above), and such Lender hereby agrees to transfer and assign without recourse (in accordance
with and subject to the restrictions contained in paragraph (b) above) all its interests, rights and obligations in respect of its Revolving Credit Commitment to such assignee; provided, however, that (i) no such assignment shall
conflict with any law, rule and regulation or order of any Governmental Authority and (ii) such Issuing Bank or such assignee, as the case may be, shall 

  
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pay to such Lender in immediately available funds on the date of such assignment the principal of and interest accrued to the date of payment on the Loans made by such Lender hereunder and all
other amounts accrued for such Lender’s account or owed to it hereunder. 
 (l) So long as no Default or Event of Default has occurred
or is continuing or would result therefrom, any Lender may, at any time, assign all or a portion of its rights and obligations under this Agreement in respect of its Term Loans to the Borrower on a non-pro rata basis through (and solely through)
Dutch Auctions open to all Lenders, subject to the following limitations and other provisions: 
 (i) the maximum principal
amount (calculated on the face amount thereof) of all Term Loans that the Borrower may offer to purchase or take assignment of shall not exceed 10% of the aggregate principal amount of Term Loans made on the Closing Date; 

(ii) the Borrower will not be entitled to receive, and will not receive, information provided solely to Lenders by the
Administrative Agent or any Lender and will not be permitted to attend or participate in, and will not attend or participate in, meetings or conference calls attended solely by the Lenders and the Administrative Agent; 

(iii) no proceeds of any Revolving Loans may be used to directly or indirectly fund any such purchase or assignment; 

(iv) any Term Loans purchased by the Borrower shall be automatically and permanently cancelled immediately upon acquisition by
the Borrower; 
 (v) notwithstanding anything to the contrary contained herein (including in the definitions of
“Consolidated Net Income” and “Consolidated EBITDA”) any noncash gains in respect of “cancellation of indebtedness” resulting from the cancellation of any Term Loans purchased by the Borrower shall be excluded from the
determination of Consolidated Net Income and Consolidated EBITDA; 
 (vi) the cancellation of Term Loans in connection with a
Dutch Auction shall not constitute a voluntary or mandatory prepayment for purposes of Section 2.12 or Section 2.13, but the face amount of Term Loans cancelled as provided for in clause (iv) above shall be applied on a pro rata basis
to the remaining scheduled installments of principal due in respect of the Term Loans; 
 (vii) the Borrower shall represent
and warrant as of the date of any such purchase and assignment that neither the Borrower nor any of its officers has any material non-public information with respect to the Borrower or any of its Subsidiaries or securities that has not been
disclosed to the assigning Lender (other than because such assigning Lender does not wish to receive material non-public information with respect to the Borrower and its Subsidiaries or securities) prior to such date to the extent such information
could reasonably be expected to have a material effect upon, or otherwise be material, to a Term Lender’s decision to assign Term Loans to the Borrower; 

  
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 (viii) after giving effect to any purchase or assignment of Term Loans pursuant
to this Section 9.04(l), the sum of (x) the excess of the Revolving Credit Commitments over the Aggregate Revolving Credit Exposure as of such date and (y) the aggregate amount of all Unrestricted cash and Cash Equivalents of the
Borrower and the Restricted Subsidiaries as of such date shall not be less than $15,000,000; and 
 (ix) at the time of the
consummation of each purchase and assignment of Term Loans pursuant to this Section 9.04(l), the Borrower shall have delivered to the Administrative Agent a certificate of an Authorized Officer as to compliance with the preceding clauses (iii),
(vii) and (viii). 
 Section 9.05. Expenses; Indemnity. (a) The Borrower agrees to pay (i) all reasonable
out-of-pocket expenses incurred by the Administrative Agent, the Collateral Agent, each Issuing Bank, each Lead Arranger and each Related Party of any of the foregoing Persons in connection with the syndication of the Credit Facilities and the
preparation, execution, delivery and administration of this Agreement and the other Credit Documents or in connection with any amendments, modifications or waivers of the provisions hereof or thereof (whether or not the transactions hereby or
thereby contemplated shall be consummated) (but limited, with respect to legal expenses, to the reasonable and documented fees, disbursements and other charges of one single firm of primary counsel, one single firm of special counsel and one firm of
additional local counsel for each applicable jurisdiction) and (ii) all out-of-pocket expenses incurred by the Administrative Agent, the Collateral Agent, each Issuing Bank, each Lead Arranger, each Lender and each Related Party of any of the
foregoing Persons in connection with the enforcement or protection of its rights in connection with this Agreement and the other Credit Documents or in connection with the Loans made or Letters of Credit issued hereunder or in connection with any
refinancing or restructuring of the credit arrangements provided under this Agreement in the nature of a “work-out” or pursuant to any insolvency or bankruptcy proceedings (but limited, with respect to legal expenses, to the reasonable and
documented fees, disbursements and other charges of one single firm of primary counsel, one firm of special counsel and one firm of additional local counsel for each applicable jurisdiction to the Administrative Agent, the Collateral Agent, each
Issuing Bank and each Lead Arranger, taken as a whole, and one additional single firm of primary counsel and one firm of additional local counsel for each applicable jurisdiction to the Lenders, taken as a whole). 

(b) The Borrower agrees to indemnify the Administrative Agent, the Collateral Agent, each Lead Arranger, each Lender, each Issuing Bank and
each Related Party of any of the foregoing Persons (each such Person being called an “Indemnitee”) against, and to hold each Indemnitee harmless from, any and all losses, penalties, claims, damages, liabilities, obligations, fines
and related expenses, including reasonable counsel fees, charges and disbursements (but limited, with respect to legal expenses, to the reasonable and documented fees, disbursements and other charges of one single firm of primary counsel, one firm
of special counsel and one additional firm of local counsel for each applicable jurisdiction for all similarly situated Indemnitees (it being agreed that, in the case of any actual or perceived conflict of interest between or among any Indemnitees,
such Indemnitees shall be deemed not to be similarly situated and each such group of Indemnitees shall be entitled to additional counsel as set forth 

  
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herein), incurred by or asserted against any Indemnitee arising out of, in any way connected with, or as a result of or by reason of (i) the execution or delivery of this Agreement or any
other Credit Document or any agreement or instrument contemplated thereby, the performance by the parties thereto of their respective obligations thereunder or the consummation of the Transactions and the other transactions contemplated thereby
(including the syndication of the Credit Facilities), (ii) the use of the proceeds of the Loans or issuance of Letters of Credit, (iii) any claim, litigation, investigation or proceeding relating to any of the foregoing, whether or not any
Indemnitee is a party thereto (and regardless of whether such matter is initiated by a third party or by the Borrower, any other Credit Party or any of their respective Affiliates) or (iv) the actual or alleged presence of or exposure to
Hazardous Materials in the indoor or outdoor air, surface water or groundwater or on the surface or subsurface of any Real Property at any time owned, leased or operated by the Borrower or any of its Subsidiaries, the generation, storage,
transportation, handling, Release or disposal of Hazardous Materials by the Borrower or any of its Subsidiaries at any location, whether or not owned, leased or operated by the Borrower or any of its Subsidiaries, the non-compliance by, or liability
of or relating to, the Borrower, any of its Subsidiaries or any Real Property at any time owned, leased or operated by the Borrower or any of its Subsidiaries with, relating to, or under any Environmental Law (including applicable permits
thereunder), or any Environmental Claim threatened or asserted against or relating to the Borrower, any of its Subsidiaries or any Real Property at any time owned, leased or operated by the Borrower or any of its Subsidiaries; provided that
such indemnity shall not, as to any Indemnitee, be available to the extent that such losses, claims, damages, liabilities or related expenses are determined by a court of competent jurisdiction by final and nonappealable judgment to have resulted
primarily from the gross negligence, bad faith or willful misconduct of such Indemnitee. 
 (c) To the extent that the Borrower fails to pay
any amount required to be paid by it to the Administrative Agent, the Collateral Agent, any Issuing Bank or any Lead Arranger under paragraph (a) or (b) of this Section (including, without limitation, as a result of entering into of one or
more MSR Acknowledgement Agreements), each Lender severally agrees to pay to the Administrative Agent, the Collateral Agent, such Issuing Bank or such Lead Arranger, as the case may be, such Lender’s pro rata share (determined as of the time
that the applicable unreimbursed expense or indemnity payment is sought) of such unpaid amount; provided that the unreimbursed expense or indemnified loss, claim, damage, liability or related expense, as the case may be, was incurred by or
asserted against the Administrative Agent, the Collateral Agent, such Issuing Bank or such Lead Arranger in its capacity as such. For purposes hereof, a Lender’s “pro rata share” shall be determined based upon its share of the sum of
the Aggregate Revolving Credit Exposure, outstanding Term Loans and unused Commitments at the time (in each case, determined as if no Lender were a Defaulting Lender). 

(d) To the extent permitted by applicable law, the Borrower shall not assert, and hereby waives, any claim against any Indemnitee, on any
theory of liability, for special, indirect, consequential, incidental or punitive damages (as opposed to direct or actual damages) arising out of, in connection with, or as a result of, this Agreement, any other Credit Document or any agreement or
instrument contemplated hereby or thereby, the Transactions, any Loan or Letter of Credit or the use of the proceeds thereof. 

  
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 (e) All amounts due under this Section 9.05 shall be payable on written demand therefor.

 Section 9.06. Right of Setoff. (a) If an Event of Default shall have occurred and be continuing, each Lender is hereby
authorized at any time and from time to time, except to the extent prohibited by law, without presentment, demand, protest or other notice of any kind to any Credit Party or to any other Person, any such notice being hereby expressly waived, to set
off and apply any and all deposits (general or special, time or demand, provisional or final) at any time held and other indebtedness at any time owing by such Lender (including, without limitation, by branches and agencies of such Lender wherever
located) to or for the credit or the account of the Borrower (for the avoidance of doubt, excluding any deposits held by the Borrower in a custodial account for the benefit of a third party or any property which constitutes Excluded Collateral)
against any of and all the obligations of the Borrower now or hereafter existing under this Agreement and other Credit Documents held by such Lender, irrespective of whether or not such Lender shall have made any demand under this Agreement or such
other Credit Document and although such obligations may be unmatured; provided that in the event that any Defaulting Lender shall exercise any such right of setoff, (x) all amounts so set off shall be paid over immediately to the
Administrative Agent for further application in accordance with the provisions of Section 2.24 and, pending such payment, shall be segregated by such Defaulting Lender from its other funds and deemed held in trust for the benefit of the
Administrative Agent, the Issuing Banks and the Lenders, and (y) the Defaulting Lender shall provide promptly to the Administrative Agent a statement describing in reasonable detail the Obligations owing to such Defaulting Lender as to which it
exercised such right of setoff. The rights of each Lender under this Section 9.06 are in addition to other rights and remedies (including other rights of setoff) which such Lender may have. 

(b) NOTWITHSTANDING THE FOREGOING SUBSECTION (a), AT ANY TIME THAT THE LOANS OR ANY OTHER OBLIGATION SHALL BE SECURED BY REAL PROPERTY LOCATED
IN CALIFORNIA, NO LENDER SHALL EXERCISE A RIGHT OF SETOFF, LIEN OR COUNTERCLAIM OR TAKE ANY COURT OR ADMINISTRATIVE ACTION OR INSTITUTE ANY PROCEEDING TO ENFORCE ANY PROVISION OF THIS AGREEMENT OR ANY NOTE UNLESS IT IS TAKEN WITH THE CONSENT OF THE
REQUIRED LENDERS OR APPROVED IN WRITING BY THE ADMINISTRATIVE AGENT, IF SUCH SETOFF OR ACTION OR PROCEEDING WOULD OR MIGHT (PURSUANT TO CALIFORNIA CODE OF CIVIL PROCEDURE SECTIONS 580a, 580b, 580d AND 726 OF THE CALIFORNIA CODE OF CIVIL PROCEDURE OR
SECTION 2924 OF THE CALIFORNIA CIVIL CODE, IF APPLICABLE, OR OTHERWISE) AFFECT OR IMPAIR THE VALIDITY, PRIORITY OR ENFORCEABILITY OF THE LIENS GRANTED TO THE COLLATERAL AGENT PURSUANT TO THE SECURITY DOCUMENTS OR THE ENFORCEABILITY OF THE NOTES AND
OTHER OBLIGATIONS HEREUNDER, AND ANY ATTEMPTED EXERCISE BY ANY LENDER OF ANY SUCH RIGHT WITHOUT OBTAINING SUCH CONSENT OF THE REQUIRED LENDERS OR THE ADMINISTRATIVE AGENT SHALL BE NULL AND VOID. THIS SUBSECTION (B) IS FOR THE SOLE BENEFIT OF
THE LENDERS AND SHALL NOT AFFORD ANY RIGHT TO, OR CONSTITUTE A DEFENSE AVAILABLE TO, ANY CREDIT PARTY. 

  
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 Section 9.07. Applicable Law. THIS AGREEMENT AND THE OTHER CREDIT DOCUMENTS (OTHER
THAN LETTERS OF CREDIT AND AS EXPRESSLY SET FORTH IN OTHER CREDIT DOCUMENTS) AND ANY CLAIM, CONTROVERSY OR DISPUTE ARISING UNDER OR RELATED TO THIS AGREEMENT OR ANY SUCH OTHER CREDIT DOCUMENTS (INCLUDING, WITHOUT LIMITATION, ANY CLAIMS SOUNDING IN
CONTRACT LAW OR TORT LAW ARISING OUT OF THE SUBJECT MATTER HEREOF) SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK. EACH LETTER OF CREDIT SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED IN ACCORDANCE WITH, THE
LAWS OR RULES DESIGNATED IN SUCH LETTER OF CREDIT, OR IF NO SUCH LAWS OR RULES ARE DESIGNATED, THE UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS MOST RECENTLY PUBLISHED AND IN EFFECT, ON THE DATE SUCH LETTER OF CREDIT WAS ISSUED, BY THE
INTERNATIONAL CHAMBER OF COMMERCE (THE “UNIFORM CUSTOMS”) AND, AS TO MATTERS NOT GOVERNED BY THE UNIFORM CUSTOMS, THE LAWS OF THE STATE OF NEW YORK. 

Section 9.08. Waivers; Amendment. (a) No failure or delay of the Administrative Agent, the Collateral Agent, any Lender or
any Issuing Bank in exercising any power or right hereunder or under any other Credit Document and no course of dealing between the Borrower or any other Credit Party and the Administrative Agent, the Collateral Agent, any Issuing Bank or any Lender
shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such a right or power, preclude any other or further exercise thereof or the exercise of
any other right or power. The rights and remedies of the Administrative Agent, the Collateral Agent, the Issuing Banks and the Lenders hereunder and under the other Credit Documents are cumulative and are not exclusive of any rights or remedies that
they would otherwise have. No waiver of any provision of this Agreement or any other Credit Document or consent to any departure by the Borrower or any other Credit Party therefrom shall in any event be effective unless the same shall be permitted
by paragraph (b) below, and then such waiver or consent shall be effective only in the specific instance and for the purpose for which given. No notice or demand on the Borrower in any case shall entitle the Borrower to any other or further
notice or demand in similar or other circumstances. 
 (b) Neither this Agreement nor any provision hereof may be waived, amended or
modified except pursuant to an agreement or agreements in writing entered into by the Borrower and the Required Lenders; provided, however, that no such agreement shall (i) decrease the principal amount of, or extend the maturity of or
any scheduled principal payment date or any date for the payment of any interest on any Loan or any date for reimbursement of an L/C Disbursement, or waive or excuse any such payment or any part thereof, or decrease the rate of interest on any Loan
or L/C Disbursement, without the prior written consent of each Lender directly adversely affected thereby, (ii) increase or extend the Commitment or decrease or extend the date for payment of any Fees of any Lender without the prior written
consent of such Lender, (iii) amend or modify the pro rata requirements of Section 2.17, the provisions of Section 9.04(j) or the provisions of this Section or release any Subsidiary Guarantor (other than in connection

  
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with the sale of such Subsidiary Guarantor in a transaction permitted by Section 6.02) or all or substantially all of the Collateral, without the prior written consent of each Lender,
(iv) change the provisions of any Credit Document in a manner that by its terms adversely affects the rights in respect of payments due to Lenders holding Loans of one Class differently from the rights of Lenders holding Loans of any other
Class without the prior written consent of Lenders holding a majority in interest of the outstanding Loans and unused Commitments of each adversely affected Class, (v) modify the protections afforded to an SPV pursuant to the provisions of
Section 9.04(i) without the written consent of such SPV or (vi) reduce the percentage contained in the definition of the term “Required Lenders” without the prior written consent of each Lender; provided further that no
such agreement shall amend, modify or otherwise affect the rights or duties of the Administrative Agent, the Collateral Agent or any Issuing Bank hereunder or under any other Credit Document without the prior written consent of the Administrative
Agent, the Collateral Agent or such Issuing Bank. 
 (c) Notwithstanding the foregoing, this Agreement may be amended (or amended and
restated) with the written consent of the Required Lenders, the Administrative Agent and the Borrower (i) to add one or more additional credit facilities to this Agreement and to permit the extensions of credit from time to time thereunder and
the accrued interest and fees in respect thereof to share ratably in the benefits of this Agreement and the other Credit Documents with the Term Loans and Revolving Credit Exposure and the accrued interest and fees in respect thereof, (ii) to
include appropriately the Lenders holding such credit facilities in any determination of the Required Lenders and (iii) to permit any such additional credit facilities which are term facilities to share ratably with the Term Loans in the
application of prepayments and to permit any such credit facilities which are revolving credit facilities to share ratably with any revolving credit facility hereunder in the application of prepayments (it being understood that the foregoing shall
not restrict any amendments effected pursuant to an Additional Credit Extension Amendment). 
 (d) Notwithstanding anything to the contrary
contained in this Section 9.08, the Borrower and the Administrative Agent may, without the input or consent of any Lender, effect such amendments to this Agreement and the other Credit Documents as may be necessary or appropriate in the opinion
of the Administrative Agent to effect the provisions of Section 2.25, Section 2.26 and Section 2.27. 
 (e) In addition,
notwithstanding the foregoing, if the Administrative Agent and the Borrower shall have jointly identified an obvious error or any error or omission of a technical or immaterial nature in any provision of the Credit Documents, then the Administrative
Agent and the Borrower shall be permitted to amend such provision and such amendment shall become effective without any further action or consent of any other party to any Credit Document if the same is not objected to in writing by the Required
Lenders within five Business Days after notice thereof. 
 (f) Notwithstanding anything to the contrary set forth herein or in any other
Credit Document but subject to the proviso in clause (c) of Article 7, (i) no Term Lender shall have any right to exercise, or direct the Administrative Agent to exercise or refrain from exercising, any

  
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right or remedy arising or available hereunder or under any other Credit Document upon the occurrence or during the continuance of a Default or an Event of Default if the only such Default or
Event of Default that shall have occurred and be continuing is a Financial Covenant Default, (ii) no Term Lender shall have any right to approve or disapprove (X) any amendment or modification to Section 6.08 or Section 6.09,
(Y) any waiver of a Financial Covenant Default or (Z) any amendment, waiver, consent or approval referred to in the proviso to the definition of “Required Lenders” and (iii) it is understood and agreed that any Term Loans
held by any Term Lender shall be excluded from any vote of the Lenders (and shall be deemed to not be outstanding) for the purposes described in clause (i) above and clause (ii) above, including in determining whether the “Required
Lenders” have directed the Administrative Agent to exercise or refrain from exercising any such rights or remedies or to approve or disapprove any such amendment, modification or waiver. For the avoidance of doubt, nothing in this paragraph
shall in any way limit or restrict the rights or remedies of the Term Lenders in connection with any Default or Event of Default other than a Financial Covenant Default (whether arising before or after the occurrence of the Financial Covenant
Default) or the right of any Term Lenders to approve or disapprove any amendment or modification to any other provision hereof or of any other Credit Document or to waive any Default or Event of Default other than a Financial Covenant Default. 

Section 9.09. Interest Rate Limitation. Notwithstanding anything herein to the contrary, if at any time the interest rate
applicable to any Loan or participation in any L/C Disbursement, together with all fees, charges and other amounts which are treated as interest on such Loan or participation in such L/C Disbursement under applicable law (collectively the
“Charges”), shall exceed the maximum lawful rate (the “Maximum Rate”) which may be contracted for, charged, taken, received or reserved by the Lender holding such Loan or participation in accordance with applicable
law, the rate of interest payable in respect of such Loan or participation hereunder, together with all Charges payable in respect thereof, shall be limited to the Maximum Rate and, to the extent lawful, the interest and Charges that would have been
payable in respect of such Loan or participation but were not payable as a result of the operation of this Section 9.09 shall be cumulated and the interest and Charges payable to such Lender in respect of other Loans or participations or
periods shall be increased (but not above the Maximum Rate therefor) until such cumulated amount, together with interest thereon at the Federal Funds Effective Rate to the date of repayment, shall have been received by such Lender. 

Section 9.10. Entire Agreement. This Agreement, the Fee Letter and the other Credit Documents constitute the entire contract
between the parties relative to the subject matter hereof. Any other previous agreement among the parties with respect to the subject matter hereof is superseded by this Agreement and the other Credit Documents. Nothing in this Agreement or in the
other Credit Documents, expressed or implied, is intended to confer upon any Person (other than the parties hereto and thereto, their respective successors and assigns permitted hereunder (including any Affiliate of any Issuing Bank that issues any
Letter of Credit) and, to the extent expressly contemplated hereby, the Related Parties of each of the Administrative Agent, the Collateral Agent, the Issuing Banks, the Lead Arrangers and the Lenders) any rights, remedies, obligations or
liabilities under or by reason of this Agreement or the other Credit Documents. 

  
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 Section 9.11. WAIVER OF JURY TRIAL. EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST
EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY OF THE OTHER CREDIT DOCUMENTS. EACH PARTY HERETO
(A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT
IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE OTHER CREDIT DOCUMENTS, AS APPLICABLE, BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 9.11. 

Section 9.12. Severability. In the event any one or more of the provisions contained in this Agreement or in any other Credit
Document should be held invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein and therein shall not in any way be affected or impaired thereby (it being understood
that the invalidity of a particular provision in a particular jurisdiction shall not in and of itself affect the validity of such provision in any other jurisdiction). The parties shall endeavor in good-faith negotiations to replace the invalid,
illegal or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions. 

Section 9.13. Counterparts. This Agreement may be executed in counterparts (and by different parties hereto on different
counterparts), each of which shall constitute an original but all of which when taken together, along with the Existing Lenders Agreement, shall constitute a single contract, and shall become effective as provided in Section 9.03. Delivery of
an executed signature page to this Agreement by facsimile or other form of electronic transmission shall be as effective as delivery of a manually signed counterpart of this Agreement. 

Section 9.14. Headings. Article and Section headings and the Table of Contents used herein are for convenience of reference only,
are not part of this Agreement and are not to affect the construction of, or to be taken into consideration in interpreting, this Agreement. 

Section 9.15. Jurisdiction; Consent to Service of Process. (a) The Borrower hereby irrevocably and unconditionally submits,
for itself and its property, to the exclusive jurisdiction of any New York state court or federal court of the United States of America sitting in New York City, and any appellate court from any thereof, in any action or proceeding arising out of or
relating to this Agreement or the other Credit Documents, or for recognition or enforcement of any judgment, and each of the parties hereto hereby irrevocably and unconditionally agrees that all claims in respect of any such action or proceeding may
be heard and determined in such New York state or, to the extent permitted by law, in such federal court; provided that suit for the recognition or enforcement of any judgment obtained in any such New York state or federal court may be
brought in any other court of competent jurisdiction. Each of the parties hereto agrees that a final judgment in any such action or proceeding shall be conclusive and may be 

  
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enforced in other jurisdictions by suit on the judgment or in any other manner provided by law. Nothing in this Agreement shall affect any right that the Administrative Agent, the Collateral
Agent, any Issuing Bank or any Lender may otherwise have to bring any action or proceeding relating to this Agreement or the other Credit Documents against the Borrower or its properties in the courts of any jurisdiction. 

(b) The Borrower hereby irrevocably and unconditionally waives, to the fullest extent it may legally and effectively do so, any objection
which it may now or hereafter have to the laying of venue of any suit, action or proceeding arising out of or relating to this Agreement or the other Credit Documents in any New York state or federal court. Each of the parties hereto hereby
irrevocably waives, to the fullest extent permitted by law, the defense of an inconvenient forum to the maintenance of such action or proceeding in any such court. 

(c) Each party to this Agreement irrevocably consents to service of process in the manner provided for notices in Section 9.01. Nothing
in this Agreement will affect the right of any party to this Agreement to serve process in any other manner permitted by law. 

Section 9.16. Confidentiality. Each of the Administrative Agent, the Collateral Agent, the Issuing Banks and the Lenders agrees to
maintain the confidentiality of the Information (as defined below), except that Information may be disclosed (a) to its and its Affiliates’ officers, directors, employees and agents, including accountants, legal counsel and other advisors,
and to numbering, administration and settlement service providers (it being understood that the Persons to whom such disclosure is made will be informed of the confidential nature of such Information and instructed to keep such Information
confidential), (b) to the extent requested by any regulatory authority or quasi-regulatory authority (such as the National Association of Insurance Commissioners), (c) to the extent required by applicable laws or regulations or by any
subpoena or similar legal process, (d) in connection with the exercise of any remedies hereunder or under the other Credit Documents or any suit, action or proceeding relating to the enforcement of its rights hereunder or thereunder,
(e) subject to an agreement containing provisions substantially the same as those of this Section 9.16 to (i) any actual or prospective assignee of or participant in any of its rights or obligations under this Agreement and the other
Credit Documents (it being agreed that any such actual or prospective assignee or participant shall be deemed to have entered into such an agreement if such assignee or participant “clicks through” or takes other affirmative action to
electronically acknowledge its agreement to any electronic notification containing provisions substantially the same as those in this Section 9.16 in accordance with the standard syndication processes of the Person disclosing such Information
or customary market standards for dissemination of such type of information) or (ii) any actual or prospective counterparty (or its advisors) to any swap or derivative transaction relating to the Borrower or any Restricted Subsidiary or any of
their respective obligations, (f) with the consent of the Borrower or (g) to the extent such Information becomes publicly available other than as a result of a breach of this Section 9.16. For the purposes of this Section,
“Information” shall mean all information received from the Borrower and related to the Borrower or its business, other than any such information that was available to the Administrative Agent, the Collateral Agent, any Issuing Bank
or any Lender on a nonconfidential basis prior to its disclosure by the Borrower; provided that, in the case of Information received from the Borrower after the Closing Date, such 

  
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information is clearly identified at the time of delivery as confidential. Any Person required to maintain the confidentiality of Information as provided in this Section 9.16 shall be
considered to have complied with its obligation to do so if such Person has exercised the same degree of care to maintain the confidentiality of such Information as such Person would accord its own confidential information. 

Section 9.17. Lender Action. Each Lender agrees that it shall not take or institute any actions or proceedings, judicial or
otherwise, for any right or remedy against any Credit Party or any other obligor under any of the Credit Documents (including the exercise of any right of setoff, rights on account of any banker’s lien or similar claim or other rights of
self-help), or institute any actions or proceedings, or otherwise commence any remedial procedures, with respect to any Collateral or any other property of any such Credit Party, unless expressly provided for herein or in any other Credit Document,
without the prior written consent of the Administrative Agent. The provisions of this Section 9.17 are for the sole benefit of the Lenders and shall not afford any right to, or constitute a defense available to, any Credit Party. 

Section 9.18. USA PATRIOT Act Notice. Each Lender and the Administrative Agent (for itself and not on behalf of any Lender) hereby
notifies the Borrower that pursuant to the requirements of the USA PATRIOT Act, it is required to obtain, verify and record information that identifies the Borrower, which information includes the name and address of the Borrower and other
information that will allow such Lender or the Administrative Agent, as applicable, to identify the Borrower in accordance with the USA PATRIOT Act. 

Section 9.19. Amendment and Restatement; No Novation. This Agreement constitutes for all purposes an amendment and restatement of
the Specified Credit Agreement. The Specified Credit Agreement, as amended and restated hereby, continues in full force and effect as so amended and restated by this Agreement. Nothing contained in this Agreement or any other Credit Document shall
constitute or be construed as a novation of any of the Obligations. 

  
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 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed by their
respective authorized officers as of the day and year first above written. 
  

			
	 WALTER INVESTMENT
 MANAGEMENT CORP.,
as Borrower

		
	By:	 	 /s/ Cheryl A. Collins

		 	Name: Cheryl A. Collins
		 	Title:   Senior Vice President and Treasurer

  
  
  

 
  
  

[ Signature Page – Amended and Restated Credit Agreement ] 

 
			
	CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH, as Administrative Agent, Collateral Agent, Term Lender, a Revolving Lender and an Issuing Bank
		
	By:	 	 /s/ Doreen Barr

		 	Name: Doreen Barr
		 	Title: Authorized Signatory

  

			
	BY:	 	 /s/ Alex Verdone

		 	Name: Alex Verdone
		 	Title: Authorized Signatory

  
  

 
  
 [
Signature Page – Amended and Restated Credit Agreement ] 

 
			
	BANK OF AMERICA, N.A., as a Revolving Lender and an Issuing Bank
		
	By	 	 /s/ William Soo

		 	Name: William Soo
		 	Title:   Vice President

  
  

 
  
  

[ Signature Page – Amended and Restated Credit Agreement ] 

 
			
	MORGAN STANLEY BANK, N.A., as a Revolving Lender
		
	By	 	 /s/ Nehal Abdel Hakim

		 	Name: Nehal Abdel Hakim
		 	Title:   Authorized Signatory

  
  

 
  
  

[ Signature Page – Amended and Restated Credit Agreement ] 

 
			
	BARCLAYS BANK PLC, as a Revolving Lender
		
	By	 	 /s/ Craig Malloy

		 	Name: Craig Malloy
		 	Title:   Director

  
  

 
  
  

[ Signature Page – Amended and Restated Credit Agreement ] 

 
			
	THE ROYAL BANK OF SCOTLAND PLC, as a Revolving Lender
		
	By	 	/s/ Karen Beatty
		 	Name: Karen Beatty
		 	Title:   Director

  
  

 
  
  

[ Signature Page – Amended and Restated Credit Agreement ] 

 Schedule 1.01(a) 

Lenders and Commitments 
  

			
	 Revolving Credit Lender
	  	 Revolving Credit Commitment

	 Credit Suisse AG, Cayman Islands Branch
	  	$25,000,000
	 Morgan Stanley Bank, N.A.
	  	$25,000,000
	 Bank of America, N.A.
	  	$25,000,000
	 Barclays Bank PLC
	  	$25,000,000
	 The Royal Bank of Scotland plc
	  	$25,000,000
	 TOTAL
	  	$125,000,000

  

			
	 Term Lender
	  	 Term Loan Commitment

	 Credit Suisse AG, Cayman Islands Branch
	  	$1,500,000,000
	 TOTAL
	  	$1,500,000,000

 Schedule 1.01(b) 

Lender Addresses 
 Credit Suisse AG,
Cayman Islands Branch 
 11 Madison Avenue 
 New York, NY 10010

 Morgan Stanley Senior Funding, Inc. 
 1585 Broadway 

New York, NY 10036 
 Merrill Lynch, Pierce, Fenner &
Smith Incorporated 
 One Bryant Park 
 New York, NY 10036 

Barclays Bank PLC 
 745 Seventh Avenue 

New York, NY 10019 
 The Royal Bank of Scotland plc 

600 Washington Boulevard 
 Stamford, CT 06901 

 Schedule 1.01(c) 

Continuing Letters of Credit 
  

			
	 	  	Aggregate Principal Amount
Available (as of
September 30,2013)
	Irrevocable Standby Letter of Credit Number 68088698 between Green Tree Credit Solutions LLC and Bank of America, N.A. with beneficiary American Bankers Insurance Company of Florida	  	$300,000

 Schedule 1.01(e) 

Unrestricted Subsidiaries 
 Green Tree
Home Lending LLC 
 Marix Servicing LLC 
 WIMC Real Estate
Investment LLC 
 Walter Capital Opportunity Corp. 
 Walter
Capital Opportunity GP, LLC 
 Walter Capital Opportunity, LP 

 Schedule 3.06 

Litigation 
 1. See the matters scheduled
in Schedule 3.09 (Certain Tax Matters). 

 Schedule 3.09 

Certain Tax Matters 
 1. Disputes with the
Internal Revenue Service with regard to the U.S. federal income taxes allegedly owed by Walter Energy, Inc. (“Walter Energy”; Vida Walter Industries, Inc.) for the fiscal years ended August 31, 1983 through May 31, 1994
and the years ended May 31, 2000 through December 31, 2009. 
 Pursuant to a tax separation agreement dated April 17, 2009, Walter Energy is
responsible for the payment of all federal incomes taxes (including any interest or penalties applicable thereto) owed by the Borrower and its consolidated subsidiaries during such time periods, but in the event that Walter Energy is unable to pay
any unpaid taxes, interest or penalties assessed as a result of the foregoing disputes, the Borrower and certain of its consolidated subsidiaries would be liable. 

2. Dispute with the Alabama Department of Revenue for the years 2004 through 2008 — the State of Alabama is claiming approximately $4.2 million in
allegedly unpaid taxes (including interest and penalties). 
 3. Tax exposure on uncertain tax positions that results in a potential liability estimated at
$22.0 million as of September 30, 2013 (as disclosed in the Form 10-Q filed by the Borrower for the fiscal quarter ended September 30, 2013). 

 Schedule 3.11(c) 

Mortgage Filing Offices 

None. 

 Schedule 3.12 

Real Property 
 None. 

 Schedule 3.14 

Subsidiaries 
 Note: Borrower holds a 100%
(direct or indirect) ownership interest in each of the Subsidiaries listed below. Each direct owner of each of the Subsidiaries set forth below holds a 100% ownership interest in each such Subsidiary, unless otherwise indicated. 

 

			
	 Subsidiary
	  	 Direct Owner

	Walter Investment Properties, LLC	  	Walter Investment Holding Company, LLC
		
	Walter Investment Holding Company, LLC	  	Walter Investment Management Corp.
		
	Walter Reverse Acquisition LLC	  	Walter Investment Management Corp.
		
	Green Tree Asset Acquisition LLC	  	Green Tree Credit Solutions LLC
		
	Green Tree CL LLC	  	Green Tree Investment Holdings II LLC
		
	Green Tree Consumer Discount Company	  	Green Tree Licensing LLC
		
	Green Tree Credit LLC	  	Green Tree Licensing LLC
		
	Green Tree Credit Solutions LLC	  	Walter Investment Holding Company, LLC
		
	Green Tree HE/HI Corp.	  	Green Tree CL LLC
		
	Green Tree HE/HI LLC	  	 Green Tree CL LLC (100%)

Green Tree HE/HI Corp. (non-economic)

		
	Green Tree Insurance Agency of Nevada, Inc.	  	Green Tree Investment Holdings III LLC
		
	Green Tree Insurance Agency, Inc. (d.b.a. Green Tree Agency, Inc. in PA)	  	Green Tree Investment Holdings III LLC
		
	Green Tree Investment Holdings II LLC	  	Green Tree Credit Solutions LLC
		
	Green Tree Investment Holdings III LLC	  	Green Tree Credit Solutions LLC
		
	Green Tree Investment Management LLC	  	Green Tree Credit Solutions LLC
		
	Green Tree Licensing LLC	  	Green Tree MH LLC
		
	Green Tree Loan Acquisition II LLC	  	 Green Tree Investment Holdings II LLC (99%)

Green Tree MH Corp. (1%)

		
	Green Tree Loan Company	  	Green Tree Licensing LLC
		
	Green Tree MH Corp.	  	Green Tree HE/HI LLC
		
	Green Tree MH LLC	  	 Green Tree HE/HI LLC (100%)

Green Tree MH Corp. (non-economic)

		
	Green Tree SerVertis GP LLC	  	Green Tree Investment Management LLC

			
	Green Tree SerVertis Acquisition LLC	  	Green Tree Investment Management LLC
		
	Green Tree Servicing Corp.	  	Green Tree Licensing LLC
		
	Green Tree Servicing LLC	  	 Green Tree Licensing LLC

Green Tree Servicing Corp. (non-economic)

		
	Landmark Asset Receivables Management LLC	  	Green Tree Investment Holdings II LLC
		
	Mortgage Asset Systems, LLC	  	Reverse Mortgage Solutions, Inc.
		
	REO Management Solutions, LLC	  	Reverse Mortgage Solutions, Inc.
		
	Specialty Servicing Solutions, LLC	  	Reverse Mortgage Solutions, Inc.
		
	REO Leasing Solutions, LLC	  	Reverse Mortgage Solutions, Inc.
		
	Central Asset Review, LLC	  	Reverse Mortgage Solutions, Inc.
		
	Mortgage Consultants of America Corporation	  	Reverse Mortgage Solutions, Inc.
		
	Reverse Mortgage Solutions, Inc.	  	Walter Reverse Acquisition LLC
		
	Ditech Mortgage Corp	  	DT Holdings LLC
		
	DT Holdings LLC	  	Walter Investment Holding Company, LLC
		
	Mid-State Capital, LLC	  	Walter Investment Management Corp.
		
	Hanover SPC-A, Inc.	  	Walter Investment Management Corp.
		
	WIMC Real Estate Investment LLC	  	Walter Investment Management Corp.
		
	Walter Investment Reinsurance Company, Ltd	  	Walter Investment Holding Company, LLC
		
	Marix Servicing LLC	  	Walter Investment Holding Company, LLC
		
	Green Tree Advance Receivables II LLC	  	Green Tree Servicing LLC
		
	Green Tree Home Lending LLC	  	Green Tree Credit Solutions LLC
		
	Green Tree Insurance Agency Reinsurance Limited	  	Green Tree Investment Holdings III LLC
		
	Walter Capital Opportunity Corp.	  	Walter Investment Management Corp.
		
	Walter Capital Opportunity, LP	  	 Walter Capital Opportunity GP, LLC,

General Partner
 Walter Capital
Opportunity Corp.,
 Limited Partner

		
	Walter Capital Opportunity GP, LLC	  	Walter Capital Opportunity Corp.
		
	Green Tree Advance Receivables III LLC	  	Green Tree Servicing LLC
		
	Green Tree Agency Advance Funding Trust I	  	Green Tree Advance Receivables III LLC

 Schedule 3.17 

Insurance 
 WIMC and
Subsidiaries Combined Insurance Summary 2013-2014 
  

					
	 Line of Coverage
	  	 Carrier

Policy #
 Policy Period
	  	Limit
Deductible
	Property	  	 Zurich Insurance Company
 Policy CPO
9384956-06
 04/17/13-04/17/14
	  	Per Schedule
 Wind/Hail/Flood EQ Limit &
Deductible varies by location

			
	General Liability	  	 Zurich Insurance Company
 CPO 9384956-06

4/17/2013-4/17/2014
	  	$1,000,000/2,000,000
 No Deductible

			
	 Auto Liability (Hired/Non-
 Owned &
Repossessed
 Autos Only)
	  	 Zurich Insurance Company
 CPO 9384956-06

4/17/2013-4/17/2014
	  	$1,000,000 Auto Liability &
 Repossessed Auto LiabilityHired Autos Only:

Physical Damage Limit: ACV
Deductibles:
 $100 Comp/$1,000
Collission

			
	Workers Comp	  	 Zurich Insurance Company
 WC 9384955-05

4/17/2013-4/17/2014
	  	$1,000,000/$1,000,000/$1,000,000
 Workers’ Comp StatutoryEmployers Liability

			
	Umbrella Liability	  	 Zurich Insurance Company
 AUC 9263800-03

4/17/13-4/17/14
	  	25,000,000
 Excess of Primary

			
	Excess Umbrella Liability	  	 Chubb Insurance Company
 9364-16-04

04/17/13-04/17/14
	  	$25,000,000
 $25M & Primary

			
	 Mortgage Impairment and
 Errors &
Omissions
 (Mortgage Protection)
	  	 Zurich
 MPP5099352-00

9/01/2013-09/01/2014
	  	$20,000,000 Limit
 $50,000 Deductible

			
	 Directors & Officers
 Primary
	  	 XL Specialty
 ELU130076-13

6/01/2013-8/01/2014
	  	$10,000,000 Limit
 $2,000,000 SIR

			
	 Directors & Officers
 Excess
	  	 National Union (AIG)
 02-829-67-80

06/01/2013-08/01/2014
	  	$10M x $10M Limit
			
	 Directors & Officers
 Excess
	  	 Berkley
 11193219

06/01/2013-08/01/2014
	  	$10M x $20M Limit

					
	 Line of Coverage
	  	 Carrier

Policy #
 Policy Period
	  	Limit
Deductible
	 Directors & Officers
 Excess
	  	 Axis
 MAN747409/01/2013

06/01/2013-08/01/2014
	  	$10M x $30M Limit
			
	 Directors & Officers
 Excess
	  	 CNA insurance
 425568474

06/01/2013-08/01/2014
	  	$10M x $40M Limit
			
	 Directors & Officers
 Excess
	  	 Argo Insurance
 MLX700520-00

06/01/2013-08/01/2014
	  	$10M x $50M Limit
			
	 Directors & Officers
 Excess
	  	 Everest
 FL5O00062-131

06/01/2013-08/01/2014
	  	$10M x $60M Limit
			
	 Directors & Officers
 Excess
	  	 Starr
 SISIXFL21121313

06/01/2013-08/01/2014
	  	$5M x $70M Limit
			
	 Directors & Officers
 Excess
	  	 AIG
 02-832-60-96

06/01/2013-08/01/2014
	  	$10M x $75M Limit
			
	 Directors & Officers
 Excess
	  	 Hudson
 HN 0303-3319-060113

06/01/2013-08/01/2014
	  	$10M x $85M Limit
			
	 Directors & Officers
 Excess
	  	 Starr
 SISIXFL21121513

06/01/2013-08/01/2014
	  	$5M x $95M Limit
			
	Fiduciary	  	 Chartis Specialty
 01-354-15-44

9/1/2013-9/1/2014
	  	$5,000,000 Limit
 $100,000 Deductible

			
	Fiduciary Excess Layer	  	 RLI Insurance Co. EPG 0008584

9/1/2013-9/1-2014
	  	$5M x $5M
			
	EPLI	  	 Chartis Specialty Insurance
 Company

01-354-15-44
 9/1/13-9/1/2014
	  	$5,000,000 Limit
 $250,000 Deductible

					
	 Line of Coverage
	  	 Carrier

Policy #
 Policy Period
	  	Limit
Deductible
	 Bankers Professional
 Liability
(E&O)
	  	 Chartis Specialty insurance
 Company

01-354-15-44
 9/1/13-9/1/2014
	  	$5,000,000 Per Claim & $15M
 Annual Aggregate Retentions:
$100,000 Dividend Disbursing Agent

$100,000 Fiscal or Paying Agent
$100,000 Custodian or Depository
$100,000 Escrow Agent E&O
$500,000 Loan Servicing E&O
$500,000 Investment
Advisor $100,000
Ins Agents E&O

			
	Fidelity Primary	  	 AIG-National Union
 01-354-29-59

9/1/2013-9/1/2014
	  	$10,000,000 Limit
 $250,000 Deductible

			
	Fidelity Layer 2	  	 X.L. Insurance Co.
 ELU131192-13

9/1/2013-9/1/2014
	  	$10MX$10M
			
	Fidelity Layer 3	  	 Starr Indemnity
 SISIXFL21076013

9/1/2013-9/1/2014
	  	$10MX$20M
			
	Fidelity Layer 4	  	 Great American
 FS 024-41-95-02

9/1/2013-9/1/2014
	  	$20MX$30M
			
	Fidelity Layer 5	  	 Hanover
 BDA1021971

09/01/2013-09/01/2014
	  	$15Mx$50M
			
	Fidelity Layer 6	  	 Berkley
 BFI81000130-13

09/01/2013-09/01/2014
	  	$10Mx$65M
			
	Fidelity Layer 7	  	 National Union
 013578392

09/01/2013-09/01/2014
	  	$10Mx$75M
			
	Fidelity Layer 8	  	 Starr Indemnity & Liability Co

SISIXFL2l094913
 09/01/2013-09/01/2014
	  	$5MX$85M
			
	Fidelity Layer 9	  	 RLI
 BND0100950

09/01/2013-09/0112014
	  	$10M x $90M
			
	Fidelity Layer 10	  	 Beazley
 V13787130201

09/01/2013-09/0112014
	  	$15M p/o $150M x $100M

					
	 Line of Coverage
	  	 Carrier

Policy #
 Policy Period
	  	Limit
Deductible
	Fidelity Layer 11	  	 Carolina Casualty(Berkley)
 BFI81000171-13

09/01/2013-09/01/2014
	  	$10M p/o $150M x $100M
			
	Fidelity Layer 12	  	 US Fire insurance Co
 6260342634

09/01/2013-09/01/2014
	  	$10M p/o $150M x $100M
			
	Fidelity Layer 13	  	 Continental Casualty -CNA
 425657123

09/01/2013-09/01/2014
	  	$10M p/o $150M x $100M
			
	Fidelity Layer 14	  	 Lloyd’s Syndicates
 B080123161013

09/01/2013-09/01/2014
	  	$105M p/o $150M x $100M
			
	Kidnap & Ransom	  	 National Union Fire
 21-566-827

6/23/13-09/01/2015
	  	$5,000,000
 No Deductible

			
	 Cyber Liability/Privacy
 Breach
Response
	  	 Beazley Insurance
 Co./Lloyd’s

W12EDC130201
 9/1/2013-9/1/2014
	  	$10,000,000 Liability Limit;
 $250,000 Retention.

2,000,000 individuals/no dollar limit
for breach

notification/$10,000 retention.
$500,000 legal & forensic

expense

			
	Excess Cyber Liability	  	 XL Specialty
 MTE00042053

09/01/2013-09/01/2014
	  	$10MX$10M
			
	 Insurance Agency E & 0
 (Best Insurors Run
off)
	  	 Landmark American
 Insurance Co.

LHR728616
 01/31/12-01/31/15
	  	S3,000,000/$6,000,000 Retention:
$25,000/$50,000
			
	 Green Tree D&O Primary
 Run Off (WIMC

Acquisition)
	  	 Chartis Specialty Insurance
 Company

02-524-65-87
 7/1/2011-7/1/2017
	  	$15,000,000 Limit
 $500,000 Retention

			
	 Green Tree D&O Primary
 Run Off (WIMC

Acquisition)
	  	 XL Specialty Insurance Co.
 ELU122109-11

7/1/2011-7/1/2017
	  	$10MX$15M
			
	 DT Holding LLC
 Errors &
Omissions
	  	 Indian Harbor Ins. Co.
 ELU128941-13

02/01/2013-02/01/2014
	  	$1,000,000 Limit
 $500,000 Retention

					
	 Line of Coverage
	  	 Carrier

Policy #
 Policy Period
	  	Limit
Deductible
	 DT Holding LLC
 Directors &
Officers
	  	 XL Specialty Insurance Co
 ELU128942-13

02/01/2013-14
	  	$5,000,000 Limit
 $250,000 Retention

			
	 DT Holding LLC
 Financial Institution
Bond
	  	 National Union
 01-691-58-60

02/01/2013-14
	  	$1,000,000 Limit
 $100,000 Deductible

 Schedule 3.21 

Indebtedness 
 Capital Lease Schedule

 As of September 30, 2013 
  

							
	No	  	Description	  	Balance	 
	 1
	  	Capital Lease Obligation, dated September, 2011 between Green Tree Servicing LLC and IBM Credit LLC (Tempe).	  	$	183,261	  
	 2
	  	Capital Lease Obligation, dated September, 2011 between Green Tree Servicing LLC and IBM Credit LLC (St. Paul)	  	 	151,102	  
	 3
	  	Capital Lease Obligation, dated March, 2011 between Green Tree Servicing LLC and Cisco System Capital Corp.	  	 	205,567	  
	 4
	  	Capital Lease Obligation, dated August, 2011 between Green Tree Servicing LLC and Cisco Systems Capital Corp.	  	 	11,102	  
	 5
	  	Capital Lease Obligation, dated August, 2012 between Green Tree Servicing LLC and Cisco Systems Capital Corp.	  	 	139,363	  
	 6
	  	Capital Lease Obligation, dated December, 2012 between Green Tree Servicing LLC and IBM Credit LLC (St. Paul).	  	 	916,174	  
	 7
	  	Capital Lease Obligation, dated December, 2012 between Green Tree Servicing LLC and IBM Credit LLC (Tempe).	  	 	996,088	  
	 8
	  	Capital Lease Obligation, dated February, 2012 between Reverse Mortgage Solutions, Inc and De Lage Landen Financial Services, Inc	  	 	93,680	  
	 9
	  	Capital Lease Obligation, dated August, 2013 between Reverse Mortgage Solutions, Inc and Cisco System Capital Corp.	  	 	149,473	  
	 10
	  	Capital Lease Obligation, dated September, 2013 between Reverse Mortgage Solutions, Inc and NFS Leasing/De Lage Landen Financial Services, Inc.	  	 	898,538	  
		  		  	  
	  
	 
		  	Total	  	$	3,744,348	  

 Schedule 4.02(a) 

Certain Counsel Delivering Opinions 

Porter Hedges LLP 
 Venable LLP 

Dorsey & Whitney LLP 

 Schedule 5.01 

Reporting 
  

	1.	Loan Servicing 

  

	 	(a)	Ending UPB by 

  

	 	(i)	Asset class (Manufactured Housing, Residential Mortgages and Other) 

  

	 	(ii)	Contract type (sub-servicing vs. MSR purchased) 

  

	 	(b)	New servicing portfolio UPB added by 

  

	 	(i)	Asset class (including Average loan size and contractual fee) 

  

	 	(ii)	Contract type (sub-servicing vs. MSR purchased) 

  

	 	(c)	Consolidated disappearance rate on portfolio by Asset class (broken out by Default rate and Voluntary prepayment rate) 

  

	 	(d)	Ending number of accounts by Asset class 

  

	 	(e)	Servicing Fees by Asset class (contractual) 

  

	2.	Insurance Agency 

  

	 	(a)	Number of 1st Lien accounts serviced 

  

	 	(b)	Ending number of insurance policies in force 

  

	 	(i)	Lender-placed 

  

	 	(ii)	Voluntary 

  

	 	(c)	Average revenue and average premium per policy 

  

	3.	Deficiency Collections 

  

	 	(a)	Notional balance added for the period 

  

	 	(b)	Gross collections 

  

	 	(c)	Percentage of Gross collections payable to 3rd parties for the period 

  

	4.	Investment Management 

  

	 	(a)	Total Assets Under Management 

	 	(b)	Management Fee 

  

	5.	Originations of Forward Mortgages 

  

	 	(a)	Number of loan originations 

  

	 	(b)	Average loan size 

  

	 	(c)	Fees earned (% of originations) 

  

	6.	Reverse Mortgages 

  

	 	(a)	Ending UPB serviced 

  

	 	(b)	Originations for the period by channel 

 Note: Definitions of all operating metrics would be consistent with
the Confidential Information Memorandum and Projections that were prepared by or on behalf of the Borrower in connection with the Transaction. 

 Schedule 6.01 

Existing Liens 
  

											
	 Number
	 	 Jurisdiction
	 	 Debtor
	 	 Secured

Party
	  	 File Type

File Number
 File
Date
	  	 Collateral Description

	1	 	Delaware	 	Green Tree
Servicing LLC	 	Bank of America, N.A.	  	 UCC-1 2011 2551680

07/01/2011
	  	Liens on the Collateral Accounts described below, together with all of Debtor’s right, title, and interest (whether now existing or hereafter created or arising) in and to the Collateral Accounts, all amounts now or at any time
hereafter on deposit therein, credited thereto, or payable thereon, all proceeds and products thereof (including without limitation any interest paid thereon), and all instruments, documents, general intangibles, causes of action, certificates, and
other writing evidencing the Collateral Accounts or related thereto. “Collateral Accounts” means (i) that certain segregated deposit account, Account No.1233195143, designated as “Bank of America for the benefit of Green
Tree Servicing LLC (Green Tree Credit LLC)”, any renewals or rollovers thereof, and any successor or substitute deposit accounts relating thereto, including, without limitation, any such deposit account as it may have been renumbered or
retitled, maintained by Debtor with Secured Party; and (ii) that certain segregated deposit account, Account No. 1233195162, designated as “Bank of America for the benefit of Green Tree Servicing LLC”, any renewals or rollovers
thereof, and any successor or substitute deposit accounts relating thereto, including, without limitation, any such deposit account as it may have been renumbered or retitled, maintained by Debtor with Secured Party. The Collateral Account described
in (i) above shall at all times be required to maintain no less than $1,050,000 on deposit. The Collateral Account described in (ii) above shall at all times be required to maintain no less than $420,000 on deposit.
						
	2	 	Delaware	 	Green Tree HE/HI LLC	 	Wells Fargo Capital Finance, LLC, as agent; Green Tree Advance Receivables II LLC	  	UCC-1 2009 2464045 
7/31/2009 as amended 4/27/2010	  	All receivables sold under that certain Purchase and Sale Agreement dated as of July 31, 2009 by and between the Debtor and the Secured Party.

											
	 Number
	 	 Jurisdiction
	 	 Debtor
	 	 Secured

Party
	  	 File Type

File Number
 File
Date
	  	 Collateral Description

	3	 	Delaware	 	Green Tree MH LLC	 	Wells Fargo Capital Finance, LLC, as agent; Green Tree Advance Receivables II LLC	  	UCC-1 2009 2464078
7/31/2009 as amended 4/27/2010	  	All receivables sold under that certain Purchase and Sale Agreement dated as of July 31, 2009 by and between the Debtor and the Secured Party.
						
	4	 	Delaware	 	Green Tree Servicing LLC	 	Wells Fargo Capital Finance, LLC, as agent; Green Tree Advance Receivables II LLC	  	 UCC-1 2009 2464136

7/31/2009 as amended 4/27/2010
	  	All receivables sold under that certain Purchase and Sale Agreement dated as of July 31, 2009 by and between the Debtor and the Secured Party.
						
	5	 	Delaware	 	Green Tree Servicing LLC	 	The Royal Bank of Scotland PLC	  	 UCC-1 2013

30446535
 2/4/2013
	  	Certain loans as defined and described in the UCC-1 Financing Statement.
						
	6	 	Delaware	 	Green Tree Servicing LLC	 	Barclays Bank PLC, Barclays Capital Inc.	  	 UCC-1 2013

30972019
 3/13/13
	  	Certain mortgage loans and servicing rights as defined and described in the UCC-1 Financing Statement.
						
	7	 	Delaware	 	Green Tree Servicing LLC	 	Barclays Bank PLC,	  	 UCC-1 2013

30972225
 3/13/13
	  	Certain mortgage loans and servicing rights as defined and described in the UCC-1 Financing Statement.
						
	8	 	Delaware	 	Green Tree Servicing LLC	 	Barclays Bank PLC,	  	 UCC-1 2013

30972282
 3/13/13
	  	Certain participation certificates and servicing rights with respect to related mortgage loans as defined and described in the UCC-1 Financing Statement.
						
	9	 	Delaware	 	Green Tree Servicing LLC	 	Credit Suisse First Boston Mortgage Capital LLC	  	 UCC-1 2013

31179192
 3/27/12, as amended
8/30/13
	  	All of the Seller's/Debtor's right, title and interest in Purchased Mortgage Loans and other Repurchase Assets, and any and all replacements, or substitutions for distributions on or proceeds of any and all of the foregoing all as
more particularly described on Annex A attached to the UCC-1 Financing Statement.
						
	10	 	Delaware	 	Green Tree Servicing LLC	 	Bank of America, N.A.	  	 UCC-1 2013

3207555
 5/31/13, as amended
11/5/13
	  	All of the Debtor's right, title and interest in the Purchased Mortgage Loans and the other Purchased Items and any and all replacements, or substitutions for, distributions on or proceeds of any and all of the foregoing, all as
more particularly described on Exhibit A attached to the UCC-1 Financing Statement.
						
	11	 	Delaware	 	Green Tree Servicing LLC	 	Flagstar Bank, FSB	  	n/a	  	The Servicing Advances receivables, the proceeds thereof and other collateral, all as described in more particularity on Exhibit A attached to the UCC-1 Financing
Statement.

											
	 Number
	 	 Jurisdiction
	 	 Debtor
	 	 Secured

Party
	  	 File Type

File Number
 File
Date
	  	 Collateral Description

	12	 	Delaware	 	Reverse Mortgage Solutions, Inc.	 	Texas Capital Bank	  	 UCC-1

3850330, 11/3/2010;
 UCC-2,

2140087, 6/5/12; UCC-2 4197010, 10/31/12
	  	Certain accounts, mortgage loans and mortgage servicing rights as defined and described in the UCC-1 Financing Statement, amendments and addendums thereof.
						
	13	 	Delaware	 	Reverse Mortgage Solutions, Inc.	 	UBS Real Estate Securities, Inc.	  	 UCC-1 2012

3188788,
 8/16/12;

UCC-2 2012
 4210094,
11/1/12
	  	Certain Repurchased Assets as defined and described in the UCC-1 Financing Statement.
						
	14	 	Delaware	 	Reverse Mortgage Solutions, Inc.	 	Community Trust Bank	  	 UCC-1 2012

24412229
 11/2/2012
	  	Purchased Assets, all now existing and hereafter arising right, title and interest of Compnay as described in Exhibit A to the UCC-1 Financing Statement.
						
	15	 	Delaware	 	Reverse Mortgage Solutions, Inc.	 	Royal Bank of Scotland PLC	  	 UCC-1 2013

30798059
 2/28/2013
	  	All of the Debtor’s right, title and interest in, to and under each of the items of property, whether now owned or hereafter acquired, now existing or hereafter created and wherever located, as described in Exhibit A to the
UCC-1 Financing Statement.
						
	16	 	Minnesota	 	Green Tree Servicing LLC	 	Federal National Mortgage Association (aka “Fannie Mae”)	  	UCC-1 2009 3501613
10/30/2009	  	Certain Loans as defined and described in the UCC-1 Financing Statement transferred or to be transferred to Fannie Mae.
						
	17	 	Maryland	 	 Walter Investment

Management Corp.
	 	 The Bank of New

York Mellon
	  	 UCC-1 2010

181408674
 12/09/2010
	  	All of the Debtor’s right, title and interest in and to the following described property: (a) the Mortgage Collateral and the related Mortgage Asset Files; (b) all cash, instruments or other property owned by the Debtor and
relating to the Mortgage Collateral held or required to be deposited on the Closing Date or thereafter in the Holding Account or the Collection Account, including all investments made with such funds and all income from such investments; (c) all
“accounts,” “general intangibles,” “instruments,” “chattel paper,” “deposit accounts” and “investment property” (as such terms are defined in the Uniform Commercial Code) constituting or
relating to the foregoing; and (d) all proceeds of the foregoing, including, without limitation, all new Mortgage Assets originated in connection with the sale of property acquired in respect of the Mortgage Collateral, all insurance proceeds and
condemnation awards.

											
	 Number
	 	 Jurisdiction
	 	 Debtor
	 	 Secured

Party
	  	 File Type

File Number
 File
Date
	  	 Collateral Description

	18	 	Maryland	 	 Walter Investment

Management Corp.
	 	 Hanover Capital

Trust 1999-B
	  	 UCC-1 2011

181412737
 01/20/2011
	  	The attached financing statement covers all of the Debtor’s right (including the power to convey title thereto), title and interest, whether now owned or hereafter acquired, in and to the following: (i) the Mortgage Assets;
(ii) the other assets comprising the Mortgage Loan Files and Participation Files; (iii) the Master Servicing Agreement in respect of the Mortgage Assets; (iv) the related Servicing Agreements; (v) the Seller’s Agreements in respect of such
rights relating to the Mortgage Assets (including the Issuer’s right to cause the related Seller to repurchase Mortgage Assets from the Issuer under the circumstances described therein); (vi) all investment property, cash proceeds, accounts,
accounts receivable, notes, drafts, acceptances, chattel paper, checks, deposit accounts, insurance proceeds, condemnation awards, rights to payment of any and every kind and other forms of obligations and receivables, instruments and other property
which at any time constitute all or part of; or are included in the proceeds of, any of the foregoing; (vii) all funds on deposit from time to time in the Collection Account, the Holding Account, the Reserve Fund and the Note Accounts in respect of
the Mortgage Loans; (viii) as the context requires, any “security entitlement” (as defined in Section 8-102(a)(17) of the UCC) with respect to any of the foregoing; and (ix) all present and future claims, demands, causes of action and
choices in action in respect of any or all of the foregoing and all payments on or under and all proceeds of every kind and nature whatsoever in respect of any or all of the foregoing, including all proceeds of the conversion thereof, voluntary or
involuntary, into cash or other liquid property.
						
	19	 	Maryland	 	 Walter Investment

Management Corp.
	 	The Bank of New York Mellon	  	 UCC-1 2011

181423449
 06/24/2011
	  	All of the Debtor’s right, title and interest in and to the following described property: (a) the Mortgage Collateral and the related Mortgage Asset Files contributed by it; (b) all cash, instruments or other property owned by
the Debtor and relating to the Mortgage Collateral held or required to be deposited on the Closing Date or thereafter in the applicable Holding Account or the applicable Collection Account, including all investments made with such funds and all
income from such investments; and (c) all “accounts,” “general intangibles,” “instruments,” “chattel paper,” “deposit accounts” and “investment property” (as such terms are defined in the
Uniform Commercial Code) constituting or relating to the foregoing; and (d) all proceeds of the foregoing, including, without limitation, all new Mortgage Assets originated in connection with the sale of property acquired in respect of the Mortgage
Collateral, all insurance proceeds and condemnation awards.

											
	 Number
	 	 Jurisdiction
	 	 Debtor
	 	 Secured

Party
	  	 File Type

File Number
 File
Date
	  	 Collateral Description

	20	 	California	 	Ditech Mortgage Corp	 	Bank of America, N.A.	  	n/a	  	Deposit Account no. 1291339942 designated as “Bank of America for the benefit of Ditech Mortgage Corp.”

 Schedule 6.04 

Existing Indebtedness 
 Capital Lease
Schedule 
 As of September 30, 2013 
  

							
	No	  	Description	  	Balance	 
	 1
	  	Capital Lease Obligation, dated September, 2011 between Green Tree Servicing LLC and IBM Credit LLC (Tempe).	  	$	183,261	  
	 2
	  	Capital Lease Obligation, dated September, 2011 between Green Tree Servicing LLC and IBM Credit LLC (St. Paul)	  	 	151,102	  
	 3
	  	Capital Lease Obligation, dated March, 2011 between Green Tree Servicing LLC and Cisco System Capital Corp.	  	 	205,567	  
	 4
	  	Capital Lease Obligation, dated August, 2011 between Green Tree Servicing LLC and Cisco Systems Capital Corp.	  	 	11,102	  
	 5
	  	Capital Lease Obligation, dated August, 2012 between Green Tree Servicing LLC and Cisco Systems Capital Corp.	  	 	139,363	  
	 6
	  	Capital Lease Obligation, dated December, 2012 between Green Tree Servicing LLC and IBM Credit LLC (St. Paul).	  	 	916,174	  
	 7
	  	Capital Lease Obligation, dated December, 2012 between Green Tree Servicing LLC and IBM Credit LLC (Tempe).	  	 	996,088	  
	 8
	  	Capital Lease Obligation, dated February, 2012 between Reverse Mortgage Solutions, Inc and De Lage Landen Financial Services, Inc	  	 	93,680	  
	 9
	  	Capital Lease Obligation, dated August, 2013 between Reverse Mortgage Solutions, Inc and Cisco System Capital Corp.	  	 	149,473	  
	 10
	  	Capital Lease Obligation, dated September, 2013 between Reverse Mortgage Solutions, Inc and NFS Leasing/De Lage Landen Financial Services, Inc.	  	 	898,538	  
		  		  	  
	  
	 
		  	Total	  	$	3,744,348	  

 Schedule 6.05 

Existing Investments 
 SerVertis
Investments: 
 Green Tree Asset Acquisition LLC (“GTAA”) has invested $5,000,000 in the limited partnership interests of SerVertis Fund I LP
(the “On-shore Feeder”). The On-shore Feeder is a limited partner in SerVertis Master Fund I LP. GTAA’s commitment represents approximately 3.7% of the limited partnership interest in the On-shore Feeder. 

Green Tree SerVertis GP LLC (Master Fund GP) — is a co-general partner in SerVertis Master Fund I LP. Master Fund GP's total general partner investment
is $100,000 
 Green Tree Investment Management LLC — made a $7,000 capital contribution to SerVertis GP LLC, the general partner of the SerVertis Fund
I LP (the domestic feeder). Green Tree Investment Management LLC owns 50% of the membership interests of SerVertis GP LLC 
 SerVertis Fund I Ltd. —
granted 50 Management Shares to Green Tree Investment Management LLC (representing 50% of the Management Shares issued by SerVertis Fund I Ltd.) 
 Other
Investments: 
 Walter Investment Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Trust IV pursuant to a trust
agreement dated as of March 1, 1995 as further amended and restated from time to time, between Mid-State Homes, Inc. and Wilmington Trust Company 

Walter Investment Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Trust VI pursuant to a trust agreement dated as of
March 1, 1995 as further amended and restated from time to time, between Mid-State Homes, Inc. and Wilmington Trust Company 
 Walter Investment
Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Trust VII pursuant to a trust agreement dated as of November 19, 1998 as further amended and restated from time to time, between Mid-State Homes, Inc. and
Wilmington Trust Company 
 Walter Investment Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Trust VIII pursuant to a
trust agreement dated as of April 12, 2000 as further amended and restated from time to time, between Mid-State Homes, Inc. and Wilmington Trust Company 

Walter Investment Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Trust X pursuant to a trust agreement dated as of
October 31, 2001 as further amended and restated from time to time, between Mid-State Homes, Inc. and Wilmington Trust Company 
 Walter Investment
Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Capital Corporation 2004-1 Trust pursuant to a trust agreement dated as of July 13, 2004 as further amended and restated from time to time, between Mid-State
Homes, Inc. and Wilmington Trust Company 

 Walter Investment Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Capital
Corporation 2006-1 Trust pursuant to a trust agreement dated as of July 14, 2004 as further amended and restated from time to time, between Mid-State Homes, Inc. and Wilmington Trust Company 

Walter Investment Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Trust XI pursuant to a trust agreement dated as of
July 24, 2003 as further amended and restated from time to time, between Mid-State Homes, Inc. and Wilmington Trust Company 
 Walter Investment
Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Capital Corporation 2005-1 Trust pursuant to a trust agreement dated as of November 22, 2005 as further amended and restated from time to time, between Mid-State
Homes, Inc. and Wilmington Trust Company 
 Walter Investment Management Corp. owns a 100% undivided beneficial ownership interest in WIMC Capital Trust
2011-1 pursuant to a trust agreement dated as of June 8, 2011 as further amended and restated from time to time, between Mid-State Capital, LLC and Wilmington Trust Company 

Walter Investment Management Corp. owns a 100% undivided beneficial ownership interest in Mid-State Capital Trust 2010-1 pursuant to a trust agreement dated
as of November 23, 2010 as further amended and restated from time to time, between Mid-State Capital, LLC and Wilmington Trust Company 
 Mid-State
Capital, LLC holds a Class CE Asset-Backed Note issued by WIMC Capital Trust 2011-1, governed by a trust agreement dated as of June 8, 2011 maturing October 2050. 

Walter Investment Management Corp. holds a Class R Asset-Backed Note issued by WIMC Capital Trust 2011-1, governed by a trust agreement dated as of
June 8, 2011 
 Investment by Walter Investment Management Corp. in single, fixed-rate security with a 8.0% coupon and a contractual maturity of 2038

 Corporate Guarantee, dated as of October 30, 2012, between Walter Investment Management, Corp., as Guarantor, and Ginnie Mae on behalf of Reverse
Mortgage Solutions, Inc, as Subsidiary 
 Investment by Walter Investment Holding Company LLC in beneficial interests of Hanover Capital Trust 2001-A 

Reverse Mortgage Solutions, Inc. owns a 49% membership interest in Performance Title of Mississippi, LLC (“the LLC”), a Limited Liability Company
organized to operate as a title insurance agent. 

 Schedule 6.11 

Certain Restrictive Agreements 

None. 

 EXHIBIT A 

FORM OF BORROWING REQUEST 
 [Date]

 Credit Suisse AG, as 
 Administrative Agent
(the “Administrative Agent”) 
 for the Lenders party to the Amended and Restated 

Credit Agreement referred to below 
 Eleven
Madison Avenue 
 New York, NY 10010 Attention: [            ] 

Ladies and Gentlemen: 
 The undersigned, Walter
Investment Management Corp. (the “Borrower”), refers to the Amended and Restated Credit Agreement, dated as of December 19, 2013 (as amended, restated, modified and/or supplemented from time to time, the “Credit
Agreement”, the capitalized terms defined therein being used herein as therein defined), among the Borrower, the lenders from time to time party thereto (each, a “Lender” and collectively, the “Lenders”),
and you, as Administrative Agent for such Lenders, and hereby gives you notice, irrevocably, pursuant to Section 2.03 of the Credit Agreement, that the undersigned hereby requests a Borrowing under the Credit Agreement, and in that connection
sets forth below the information relating to such Borrowing (the “Proposed Borrowing”) as required by Section 2.03 of the Credit Agreement: 

(i) The Business Day of the Proposed Borrowing is             ,
            .1 

(ii) The aggregate principal amount of the Proposed Borrowing is
$            . 
 (iii) The Loans to be made pursuant to the Proposed
Borrowing shall consist of [Term Loans] [Revolving Loans]. 
 (iv) The Loans to be made pursuant to the Proposed Borrowing shall be initially
maintained as [ABR Loans] [Eurodollar Loans]. 
  

	1 	Shall be a Business Day at least one Business Day in the case of an ABR Borrowing and at least three Business Days in the case of a Eurodollar Borrowing, in each case, after the date hereof, provided that (in
each case) any such notice shall be deemed to have been given on a certain day only if given before 12:00 (noon), New York time, on such day. 

  
 A-1 

 [(v) The initial Interest Period for the Proposed Borrowing is [one month] [two months] [three
months] [six months]].2 

(vi) The funds shall be disbursed to the following account: 

[                 ] 

The undersigned hereby certifies that the following statements are true on the date hereof, and will be true on the date of the Proposed
Borrowing: 
 (A) the representations and warranties set forth in Article 3 of the Credit Agreement and in each other Credit
Document are true and correct in all material respects on and as of the date hereof and will be true and correct in all material respects on and as of the date of the Proposed Borrowing with the same effect as though made on and as of such date,
except to the extent such representations and warranties expressly relate to an earlier date (in which case such representations and warranties shall be true and correct in all material respects as of such earlier date); and 

(B) at the time of and immediately after giving effect to the Proposed Borrowing, no Default or Event of Default shall have
occurred and be continuing. 
  

			
	 Very truly yours,
  

WALTER INVESTMENT MANAGEMENT CORP.

		
	 By:
	 	  

		 	Name:
		 	Title:

  

	2 	To be included for a Proposed Borrowing of Eurodollar Loans (provided that, until the Administrative Agent shall have notified the Borrower that the primary syndication of the Commitments has been completed
(which notice shall be given as promptly as practicable and, in any event, within 30 days after the Closing Date), the Borrower shall not be permitted to request a Eurodollar Borrowing with an Interest Period in excess of one month).

  
 A-2 

 EXHIBIT B 

FORM OF REAFFIRMATION AGREEMENT 

[Attached] 

  
 B-1 

 EXHIBIT C 

[RESERVED] 

  
 C-1 

 EXHIBIT D 

[RESERVED] 

  
 D-1 

 EXHIBIT E 

[RESERVED] 

  
 E-1 

 EXHIBIT F 

[RESERVED] 

  
 F-2 

 EXHIBIT G 

FORM OF COMPLIANCE CERTIFICATE 

This Compliance Certificate is delivered to you pursuant to Section 5.01(f) of the Amended and Restated Credit Agreement, dated as of
December 19, 2013 (as amended, restated, supplemented or modified from time to time, the “Credit Agreement”), among Walter Investment Management Corp. (the “Borrower”), the lenders from time to time party
thereto, and Credit Suisse AG, as Administrative Agent and Collateral Agent. Terms defined in the Credit Agreement and not otherwise defined herein are used herein as therein defined. 

1. I am the duly elected, qualified and acting [chief financial officer] [treasurer] of the Borrower. 

2. I have reviewed and am familiar with the contents of this Compliance Certificate. I am providing this Compliance Certificate solely in my
capacity as an Authorized Officer of the Borrower. The matters set forth herein are true to the best of my knowledge after due inquiry. 

3. I have reviewed the terms of the Credit Agreement and the other Credit Documents and have made or caused to be made under my supervision a
review in reasonable detail of the transactions and condition of the Borrower and its Subsidiaries during the accounting period covered by the financial statements attached hereto as ANNEX 1 (the “Financial Statements”). Such review
did not disclose the existence during or at the end of the accounting period covered by the Financial Statements, and I have no knowledge of the existence, as of the date of this Compliance Certificate, of the occurrence and continuation of any
Default or Event of Default[, except for             ]. 
 4. Attached hereto as
ANNEX 2 is the information required to establish compliance with Sections 6.08 and 6.09 of the Credit Agreement for the Test Period ended on [            ]3 (the “Computation Date”) (including computations showing (in reasonable
detail) such compliance). 
 5. Attached hereto as ANNEX 3 is the information required to establish compliance with Sections 2.13(b),
2.13(c) and 2.13(e) of the Credit Agreement as of the Computation Date or the applicable period ending on such date (including computations showing (in reasonable detail) such compliance). 

 

	3 	Insert the last day of the respective fiscal quarter or year covered by the financial statements which are required to be accompanied by this Compliance Certificate. 

  
 G-1 

 6. Attached hereto as ANNEX 4 is the information in reasonable detail required to evidence the
amount of (and the calculations required to establish the amount of) the Available Amount at the Computation Date (which calculations also include the amount of transactions effected pursuant to clause (B) of the second proviso of
Section 6.05(xii), Section 6.05(xxii), Section 6.03(vi) or clause (y) of Section 6.15 (in each case, to the extent utilizing the Available Amount) of the Credit Agreement). 

7. Attached hereto as ANNEX 5 is the information in reasonable detail required to evidence the amount of (and the calculations required to
establish the amount of) the Non-Credit Party Investment Amount at the Computation Date (which calculations also include the amount of transactions effected pursuant to Section 6.05(iii), Section 6.05(ix)(C) or clause (A) of the
second proviso of Section 6.05(xii) (in each case to the extent utilizing the Non-Credit Party Investment Amount) of the Credit Agreement). 

[8. Attached hereto as ANNEX 6 is the information in reasonable detail required to evidence the amount of (and the calculations required to
establish the amount of) Excess Cash Flow for the fiscal year ended on December 31, [        ].]4 
 9. Attached hereto as ANNEX 7 is a list of all Immaterial Subsidiaries and Unrestricted
Subsidiaries. 
 [10. There have been no changes to Schedules 1 through 8 of the Security Agreement and Annexes A through G of the Pledge
Agreement, in each case since [the Closing Date][the date of the most recent certificate delivered pursuant to Section 5.01(f) of the Credit Agreement] [other than as set forth in Annex [8][9] attached hereto, and the Borrower and the other
Credit Parties have taken all actions required to be taken by them pursuant to such Security Documents in connections with the changes set forth in Annex [8][9]].] 

* * * 
  

	4 	To be included for any Compliance Certificate being delivered pursuant to Section 5.01(f)(ii) of the Credit Agreement. 

  
 G-2 

 IN WITNESS WHEREOF, in my capacity as an officer of the Borrower and not in my individual
capacity, I have executed this Compliance Certificate this             day of             . 

 

			
	Walter Investment Management Corp.
		
	By:	 	 
		 	Name:
		 	Title:

  
 G-3 

 ANNEX 1 

[Applicable Financial Statements To Be Attached] 

  
 G-4 

 ANNEX 2 

[Information demonstrating compliance with Sections 6.08 and 6.09 of the Credit Agreement To Be Attached] 

 

	 	A.	Interest Expense Coverage Ratio for the applicable Test Period ending on the Computation Date 

(i)             :1.00; minimum Interest Expense Coverage Ratio required under
Section 6.08 of the Credit Agreement for the applicable Test Period: [ ].00:1.00. 
  

	 	B.	Total Leverage Ratio for the applicable Test Period ending on the Computation Date5 

(i)             :1.00; maximum Total Leverage Ratio permitted under
Section 6.09 of the Credit Agreement for the applicable Test Period:[            ]:1.00. 

 

	5 	Attached hereto in reasonable detail are the relevant components (and the calculations thereof) of the Total Leverage Ratio. 

  
 G-5 

 ANNEX 3 

The information described herein is as of [            ,
            ]6 (the “Computation Date”) and, except as otherwise indicated below, pertains to the period from [the
Closing Date][January 1, 20    ] to the Computation Date (the “Relevant Period”). 
 Mandatory Prepayments 

1. [During the Test Period ended on the Computation Date, neither the Borrower nor any of its Restricted Subsidiaries has received any Net Cash
Proceeds from any issuance or incurrence by the Borrower or any of its Restricted Subsidiaries of Indebtedness for borrowed money (other than Indebtedness permitted to be incurred pursuant to Section 6.04, other than Permitted External
Refinancing Indebtedness and Refinancing Term Loans) which would require a mandatory repayment pursuant to Section 2.13(b) of the Credit Agreement.]7 
 2. [During such Test Period ended on the Computation Date, neither the Borrower nor any
of its Restricted Subsidiaries has received any Net Sale Proceeds from any Asset Sale which would require a mandatory repayment pursuant to Section 2.13(c) of the Credit Agreement.]8 

3. [During such Test Period ended on the Computation Date, neither the Borrower nor any of its Restricted Subsidiaries has received any Net
Cash Proceeds from any Recovery Event which would require a mandatory repayment pursuant to Section 2.13(e) of the Credit Agreement.]9 

 

	6 	Insert the last day of the respective fiscal quarter or year covered by the financial statements which are required to be accompanied by this Compliance Certificate. 

	7 	If the Borrower or any of its Restricted Subsidiaries has received such cash proceeds, the certificate should describe the same and state amounts and dates of the receipt thereof, as well as the amounts and dates of the
required mandatory repayments pursuant to Section 2.13(b), together with sufficient information as to mandatory repayments to determine compliance with Section 2.13(b) and a statement that the Borrower is in compliance with the
requirements of Section 2.13(b). 

	8 	If the Borrower or any of its Restricted Subsidiaries has received such cash proceeds from any Asset Sales, the certificate should describe the same and state amounts and dates of the receipt thereof, as well as amounts
and dates of the required mandatory repayments pursuant to Section 2.13(c), together with sufficient information as to mandatory repayments and/or reinvestments thereof to determine compliance with Section 2.13(c) of the Credit Agreement
and a statement that the Borrower is in compliance with the requirements of said Section 2.13(c). 

	9 	If the Borrower or any of its Subsidiaries has received such cash proceeds from any Recovery Event, the certificate should describe the same and state amounts and dates of the receipt thereof, as well as amounts and
dates of the required mandatory repayments pursuant to Section 2.13(e), together with sufficient information as to mandatory repayments and/or reinvestments thereof to determine compliance with Section 2.13(e) of the Credit Agreement and a
statement that the Borrower is in compliance with the requirements of said Section 2.13(e). 

  
 G-6 

 ANNEX 4 

[Information evidencing the amount of the Available Amount]10 
  

	10 	Such information to include calculations required to establish the amount of the Available Amount (including the amount of transactions effected pursuant to clause (B) of the second proviso of
Section 6.05(xii), Section 6.05(xxii), Section 6.03(vi) or clause (z) of Section 6.15 (in each case, to the extent utilizing the Available Amount) of the Credit Agreement). 

  
 G-7 

 ANNEX 5 

[Information evidencing the amount of the Non-Credit Party Investment Amount]11 
  

	11 	Such information to include calculations required to establish the amount of the Non-Credit Party Investment Amount (including the amount of transactions effected pursuant to Section 6.05(iii),
Section 6.05(ix)(C) or clause (A) of the second proviso of Section 6.05(xii) (in each case to the extent utilizing the Non-Credit Party Investment Amount) of the Credit Agreement). 

  
 G-8 

 ANNEX 6 

[Information evidencing the amount of Excess Cash Flow] 

  
 G-9 

 ANNEX 7 

[Immaterial Subsidiaries and Unrestricted Subsidiaries] 

  
 G-10 

 ANNEX [8][9] 

[Information regarding changes to Schedules to the Security Agreement and/or Annexes to Pledge Agreement] 

  
 G-11 

 EXHIBIT H 

FORM OF ASSIGNMENT AND ACCEPTANCE 

This Assignment and Acceptance (the “Assignment and Acceptance”) is dated as of the Effective Date set forth below and is
entered into by and between [the][each]12 Assignor identified in item 1 below ([the][each,
an] “Assignor”) and [the][each]13 Assignee identified in item 2 below ([the][each, an] “Assignee”). [It is
understood and agreed that the rights and obligations of [the Assignors][the Assignees]14 hereunder are several and not joint.]15 Capitalized
terms used but not defined herein shall have the meanings given to them in the Amended and Restated Credit Agreement identified below (as amended, the “Credit Agreement”), receipt of a copy of which is hereby acknowledged by
[the][each] Assignee. The Standard Terms and Conditions set forth in Annex 1 attached hereto are hereby agreed to and incorporated herein by reference and made a part of this Assignment and Acceptance as if set forth herein in full. 

For an agreed consideration, [the][each] Assignor hereby irrevocably sells and assigns to [the Assignee][the respective Assignees], and
[the][each] Assignee hereby irrevocably purchases and assumes from [the Assignor][the respective Assignors], subject to and in accordance with the Standard Terms and Conditions and the Credit Agreement, as of the Effective Date inserted by the
Administrative Agent as contemplated below (i) all of [the Assignor’s][the respective Assignors’] rights and obligations in [its capacity as a Lender][their respective capacities as Lenders] under the Credit Agreement and any other
documents or instruments delivered pursuant thereto to the extent related to the amount and percentage interest identified below of all of such outstanding rights and obligations of [the Assignor][the respective Assignors] under the respective
facilities identified below (including without limitation any letters of credit, and guarantees included in such facilities), and (ii) to the extent permitted to be assigned under applicable law, all claims, suits, causes of action and any
other right of [the Assignor (in its capacity as a Lender)][the respective Assignors (in their respective capacities as Lenders)] against any Person, whether known or unknown, arising under or in connection with the Credit Agreement, any other
documents or instruments delivered pursuant thereto or the loan transactions governed thereby or in any way based on or related to any of the foregoing, including, but not limited to, contract claims, tort claims, malpractice claims, statutory
claims and all other claims at law or in equity related to the rights and obligations sold and assigned pursuant to clause (i) above (the rights and obligations sold and assigned by [the][any] Assignor to [the][any] Assignee pursuant to clauses
(i) and (ii) above being referred to herein collectively as [the][an] “Assigned Interest”). Each such sale and assignment is without recourse to [the][any] Assignor and, except as expressly provided in this Assignment and
Acceptance, without representation or warranty by [the][any] Assignor. 
  

	12 	For bracketed language here and elsewhere in this form relating to the Assignor(s), if the assignment is from a single Assignor, choose the first bracketed language. If the assignment is from multiple Assignors, choose
the second bracketed language. 

	13 	For bracketed language here and elsewhere in this form relating to the Assignee(s), if the assignment is to a single Assignee, choose the first bracketed language. If the assignment is to multiple Assignees, choose the
second bracketed language. 

	14 	Select as appropriate. 

	15 	 Include bracketed language if there are either multiple Assignors or multiple Assignees.

  
 H-1 

							
	1.	  	Assignor[s]:	  	  
	  	
				
		  		  	  
	  	
		  	[Assignor [is] [is not] a Defaulting Lender]	  	
				
	2.	  	Assignee[s]:	  	  
	  	
				
		  		  	  
	  	

					
		  	[for each Assignee, indicate [Affiliate][Related Fund] of [identify Lender]
			
	3.	  	Borrower(s):	  	Walter Investment Management Corp., a Maryland corporation
			
	4.	  	Administrative Agent:	  	Credit Suisse AG, as the administrative agent under the Credit Agreement
			
	5.	  	Credit Agreement:	  	The Amended and Restated Credit Agreement dated as of December 19, 2013 among Walter Investment Management Corp., as Borrower, the Lenders party thereto, Credit Suisse AG, as Administrative Agent and Collateral Agent, and the
other agents party thereto
			
	6.	  	Assigned Interest[s]:	  	

  

																			
	
Assignor[s]16
	  	Assignee[s]17	  	Facility Assigned18	  	Aggregate
Amount of
Commitment/
Loans for all
Lenders19	 	  	Amount of
Commitment/
Loans Assigned8	 	  	Percentage
Assigned
of
Commitment/
Loans20	 	 	CUSIP Number
		  		  		  	$	            	  	  	$	            	  	  	 	            	% 	 	
		  		  		  	$	 	  	  	$	 	  	  	 	            	% 	 	
		  		  		  	$	 	  	  	$	 	  	  	 	            	% 	 	

  

	16 	List each Assignor, as appropriate. 

	17 	List each Assignee, as appropriate. 

	18 	Fill in the appropriate terminology for the types of facilities under the Credit Agreement that are being assigned under this Assignment (e.g., “Revolving Credit Commitment,” “Term Loan Commitment,”
etc.) 

	19 	Amount to be adjusted by the counterparties to take into account any payments or prepayments made between the Trade Date and the Effective Date. 

	20 	Set forth, to at least 9 decimals, as a percentage of the Commitment/Loans of all Lenders thereunder. 

  
 H-2 

	[7.	Trade Date:             ]21 

 

	21 	To be completed if the Assignor(s) and the Assignee(s) intend that the minimum assignment amount is to be determined as of the Trade Date. 

  
 H-3 

 Effective Date:             ,
20            [TO BE INSERTED BY ADMINISTRATIVE AGENT AND WHICH SHALL BE THE EFFECTIVE DATE OF RECORDATION OF TRANSFER IN THE REGISTER THEREFOR.] 

The terms set forth in this Assignment and Acceptance are hereby agreed to: 

 

			
	 ASSIGNOR[S]22

[NAME OF ASSIGNOR]

		
	By:	 	 
		 	Name:
		 	Title:

  

			
	[NAME OF ASSIGNOR]
		
	By:	 	 
		 	Name:
		 	Title:

  

			
	 ASSIGNEE[S]23

[NAME OF ASSIGNEE]

		
	By:	 	 
		 	Name:
		 	Title:

  

			
	[NAME OF ASSIGNEE]
		
	By:	 	 
		 	Name:
		 	Title:

  

	22 	Add additional signature blocks as needed. Include both Fund/Pension Plan and manager making the trade (if applicable). 

	23 	Add additional signature blocks as needed. Include both Fund/Pension Plan and manager making the trade (if applicable). 

  
 H-4 

 Consented to and Accepted: 
  

			
	CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH, as Administrative Agent
		
	By:	 	 
		 	Name:
		 	Title:

  

			
		
	By:	 	 
		 	Name:
		 	Title:

 [Consented to:24

  

			
	[ ], as Issuing Bank
		
	By:	 	 
		 	Name:
		 	Title:

  

			
		
	By:	 	 
		 	Name:
		 	Title:

 ] 
 [Consented to:25 
  

			
	 WALTER INVESTMENT
 MANAGEMENT
CORP.

		
	By:	 	 
		 	Name:
		 	Title:

 ] 
  

	24 	To be added only if the consent of the Issuing Banks is required by the terms of the Credit Agreement.  

	25 	To be added only if the consent of the Borrower is required by the terms of the Credit Agreement.  

  
 H-5 

 ANNEX 1 

STANDARD TERMS AND CONDITIONS FOR 

ASSIGNMENT AND ACCEPTANCE 
 1.
Representations and Warranties. 
 1.1 Assignor[s]. [The][Each] Assignor (a) represents and warrants that (i) it is
the legal and beneficial owner of [the][the relevant] Assigned Interest, (ii) [the][such] Assigned Interest is free and clear of any lien, encumbrance or other adverse claim, (iii) it has full power and authority, and has taken all action
necessary, to execute and deliver this Assignment and Acceptance and to consummate the transactions contemplated hereby and (iv) it is [not] a Defaulting Lender; and (b) assumes no responsibility with respect to (i) any statements,
warranties or representations made in or in connection with the Credit Agreement or any other Credit Document, (ii) the execution, legality, validity, enforceability, genuineness, sufficiency or value of the Credit Documents or any collateral
thereunder, (iii) the financial condition of the Borrower, any of its Subsidiaries or Affiliates or any other Person obligated in respect of any Credit Document, or (iv) the performance or observance by the Borrower, any of its
Subsidiaries or Affiliates or any other Person of any of their respective obligations under any Credit Document. 
 1.2. Assignee[s].
[The][Each] Assignee (a) represents and warrants that (i) it has full power and authority, and has taken all action necessary, to execute and deliver this Assignment and Acceptance and to consummate the transactions contemplated hereby and
to become a Lender under the Credit Agreement, (ii) it meets all the requirements to be an assignee under Sections 9.04(b) and (c) of the Credit Agreement (subject to such consents, if any, as may be required under Sections 9.04(b) and
(c) of the Credit Agreement), (iii) from and after the Effective Date, it shall be bound by the provisions of the Credit Agreement as a Lender thereunder and, to the extent of [the][the relevant] Assigned Interest, shall have the
obligations of a Lender thereunder, (iv) it is sophisticated with respect to decisions to acquire assets of the type represented by the Assigned Interest and either it, or the Person exercising discretion in making its decision to acquire the
Assigned Interest, is experienced in acquiring assets of such type, (v) it has received a copy of the Credit Agreement, and has received or has been accorded the opportunity to receive copies of the most recent financial statements referred to
in Section 3.05 thereof or delivered pursuant to Section 5.01 thereof, as applicable, and such other documents and information as it deems appropriate to make its own credit analysis and decision to enter into this Assignment and
Acceptance and to purchase [the][such] Assigned Interest, (vi) it has, independently and without reliance upon the Administrative Agent, any other Agent or any other Lender and based on such documents and information as it has

  
 H-6 

 
deemed appropriate, made its own credit analysis and decision to enter into this Assignment and Acceptance and to purchase [the][such] Assigned Interest, and (vii) if it is a Foreign Lender,
attached to the Assignment and Acceptance is any documentation required to be delivered by it pursuant to the terms of the Credit Agreement, duly completed and executed by [the][such] Assignee; and (b) agrees that (i) it will,
independently and without reliance on the Administrative Agent, any other Agent, [the][any] Assignor or any other Lender, and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions
in taking or not taking action under the Credit Documents, and (ii) it will perform in accordance with their terms all of the obligations which by the terms of the Credit Documents are required to be performed by it as a Lender. 

2. Payments. From and after the Effective Date, the Administrative Agent shall make all payments in respect of [the][each] Assigned
Interest (including payments of principal, interest, fees and other amounts) to [the][the relevant] Assignor for amounts which have accrued to but excluding the Effective Date and to [the][the relevant] Assignee for amounts which have accrued from
and after the Effective Date. Notwithstanding the foregoing, the Administrative Agent shall make all payments of interest, fees or other amounts paid or payable in kind from and after the Effective Date to [the][the relevant] Assignee. 

3. Effect of Assignment. Upon the delivery of a fully executed original hereof to the Administrative Agent, as of the Effective Date,
(i) [the][each] Assignee shall be a party to the Credit Agreement and, to the extent provided in this Assignment, have the rights and obligations of a Lender thereunder and under the other Credit Documents and (ii) [the][each] Assignor
shall, to the extent provided in this Assignment, relinquish its rights and be released from its obligations under the Credit Agreement and the other Credit Documents. 

4. General Provisions. This Assignment and Acceptance shall be binding upon, and inure to the benefit of, the parties hereto and their
respective successors and assigns. This Assignment and Acceptance may be executed in any number of counterparts, which together shall constitute one instrument. Delivery of an executed counterpart of a signature page of this Assignment and
Acceptance by telecopy shall be effective as delivery of a manually executed counterpart of this Assignment and Acceptance. This Assignment and Acceptance shall be governed by, and construed in accordance with, the law of the State of New York. 

  
 H-7 

 EXHIBIT I 

FORM OF INTERCOMPANY NOTE 
 [This
Note, and the obligations of [            ], a [            ] [corporation] [limited liability company] (the
“Payor”), hereunder, shall be subordinate and junior in right of payment to all Senior Indebtedness (as defined in Section 7 of (i) the First Intercompany Subordination Agreement and (ii) the Second Lien Intercompany
Subordination Agreement, each dated as of November [ ], 2012 by and among Walter Investment Management Corp. (the “Borrower”) and each subsidiary of the Borrower from time to time party thereto (as amended, modified, restated and/or
supplemented from time to time, the “Intercompany Subordination Agreements”) on the terms and conditions set forth in the Intercompany Subordination Agreements.]26 

New York, New York 

                    
            ,              

FOR VALUE RECEIVED, the Payor hereby promises to pay [on demand] [on [DATE]] to the order of
                    , or its assigns (the “Payee”), in lawful money of the United States of America in immediately available
funds, at such location in the United States of America as the Payee shall from time to time designate, the unpaid principal amount of all loans and advances made by the Payee to the Payor. 

The Payor also promises to pay interest on the unpaid principal amount hereof in like money at said location from the date hereof until paid
at such rate per annum as shall be agreed upon from time to time by the Payor and the Payee. 
 Upon the earlier to occur of (x) the
commencement of any bankruptcy, reorganization, receivership, arrangement, adjustment of debt, relief of debtors, dissolution, insolvency or liquidation or similar proceeding of any jurisdiction relating to the Payor or (y) any exercise of
remedies (including the termination of the Commitments (as defined in the Credit Agreement)) pursuant to Article 7 of the Credit Agreement referred to below, the unpaid principal amount hereof and any applicable accrued but unpaid interest thereon
shall become immediately due and payable without presentment, demand, protest or notice of any kind in connection with this Note. 
  

	26 	EACH PROMISSORY NOTE EVIDENCING AN INTERCOMPANY LOAN INCURRED BY ANY CREDIT PARTY OWING TO ANY SUBSIDIARY OF THE BORROWER THAT IS NOT A CREDIT PARTY THAT IS PERMITTED BY THE CREDIT AGREEMENT SHALL HAVE INCLUDED ON ITS
FACE THIS BRACKETED LEGEND. 

  
 I-1 

 This Note is one of the Intercompany Notes referred to in the Amended and Restated Credit
Agreement, dated as of December 19, 2013 among Walter Investment Management Corp., the lenders from time to time party thereto (the “Lenders”), and Credit Suisse AG, as Administrative Agent and Collateral Agent (as amended,
restated, modified and/or supplemented from time to time, the “Credit Agreement”) and is subject to the terms thereof[, and shall be pledged by the Payee pursuant to the Pledge Agreement (as defined in the Credit Agreement). The
Payor hereby acknowledges and agrees that the Pledgee (as defined in the Pledge Agreement) may, pursuant to the Pledge Agreement as in effect from time to time, exercise all rights provided therein with respect to this Note].27 
 The Payee is hereby authorized (but shall not be required) to record all loans and
advances made by it to the Payor (all of which shall be evidenced by this Note), and all repayments or prepayments thereof, in its books and records, such books and records constituting prima facie evidence of the accuracy of the information
contained therein. 
 All payments under this Note shall be made without offset, counterclaim or deduction of any kind. 

The Payor hereby waives presentment, demand, protest or notice of any kind in connection with this Note. 

*            *           
 * 
  

	27 	INSERT IN EACH INTERCOMPANY NOTE UNDER WHICH THE PAYEE IS A CREDIT PARTY (AS DEFINED IN THE CREDIT AGREEMENT). 

  
 I-2 

 THIS NOTE SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAW OF THE STATE OF NEW
YORK. 
  

			
	[NAME OF PAYOR]
		
	By:	 	  

		 	Name:
		 	 Title:

  

	
	Pay to the order of
	
	[NAME OF PAYEE]

  

			
	By:	 	  

		 	Name:
		 	 Title:

  
 I-3 

 

 
 EXHIBIT J 

ADMINISTRATIVE QUESTIONNAIRE 

WALTER INVESTMENT MANAGEMENT 
  

			
	Agent Information	  	Agent Closing Contact
	Credit Suisse	  	 Fay Rollins

	Eleven Madison Avenue	  	Tel: (212) 325-9041
	New York, NY 10010	  	Fax: (212) 743-1422
		  	E-Mail: Fay.Rollins@credit-suisse.com

 Agent Wire Instructions 

Bank of New York 
 ABA 021000018 

Account Name: CS Agency Cayman Account 
 Account Number:
8900492627 
  

It is very important that all of the requested information be completed accurately and that
this questionnaire be returned promptly. If your institution is sub-allocating its allocation, please fill out an administrative questionnaire for each legal entity. 

Legal Name of Lender to appear in Documentation: 
  

 

Signature Block Information:                   
                                         
                                         
                                         
                                         
                   
  

											
		 	 •   Signing Credit Agreement
	  	 ̈	    	Yes	 	 ̈	  	No
						
		 	 •   Coming in via Assignment
	  	 ̈	    	Yes	 	 ̈	  	No

Type of Lender:                     
                                         
                                         
                                         
                                         
                                         

 (Bank, Asset Manager, Broker/Dealer, CLO/CDO; Finance Company, Hedge Fund, Insurance, Mutual Fund, Pension Fund, Other Regulated Investment Fund, Special
Purpose Vehicle, Other-please specify) 

Lender Parent:                      
                                         
                                         
                                         
                                         
                                         
   
  

					
	Lender Domestic Address	  		  	Lender Eurodollar Address
			
	 	  		  	 
			
	 	  		  	 
			
	 	  		  	 

  
 J-1 

 Page 2

Contacts/Notification Methods: Borrowings, Paydowns, Interest, Fees, etc. 

 

							
	Primary Credit Contact	  		  	Secondary Credit Contact
				
	Name:	  	 	  		  	 
				
	Company:	  	 	  		  	 
				
	Title:	  	 	  		  	 
				
	Address:	  	 	  		  	 
				
		  	 	  		  	 
				
	Telephone:	  	 	  		  	 
				
	Facsimile:	  	 	  		  	 
				
	E-Mail Address:	  	 	  		  	 
			
	Primary Operations Contact	  		  	Secondary Operations Contact
				
	Name:	  	 	  		  	 
				
	Company:	  	 	  		  	 
				
	Title:	  	 	  		  	 
				
	Address:	  	 	  		  	 
				
		  	 	  		  	 
				
	Telephone:	  	 	  		  	 
				
	Facsimile:	  	 	  		  	 
				
	E-Mail Address:	  	 	  		  	 

  

Lender’s Domestic Wire Instructions 

 

			
	Bank Name:	  	 
		
	ABA/Routing No.:	  	 
		
	Account Name:	  	 
		
	Account No.:	  	 
		
	FFC Account Name:	  	 
		
	FFC Account No.:	  	 
		
	Attention:	  	 
		
	Reference:	  	 

  
 J-2 

 Page 3 

Tax Documents 
 Pursuant to Section 2.20 of the
Credit Agreement, the applicable tax forms and other required documentation for your institution must be completed and returned prior to the first payment to you under any of the Credit Documents. Failure to provide the proper tax form or other
required documentation when requested may subject your institution to tax withholding. 

  
 J-3 

 EXHIBIT K 

FORM OF SOLVENCY CERTIFICATE 
 OF

 WALTER INVESTMENT MANAGEMENT CORP. 

AND ITS SUBSIDIARIES 
 Pursuant to
the Amended and Restated Credit Agreement dated as of December 19, 2013 (as amended, restated, modified and/or supplemented from time to time, the “Credit Agreement”) among Walter Investment Management Corp., as borrower (the
“Borrower”), the lenders party thereto, Credit Suisse AG, as administrative agent and collateral agent (the “Administrative Agent”), and the other agents party thereto, the undersigned hereby certifies,
solely in such undersigned’s capacity as [chief financial officer] [specify other officer with equivalent duties] of the Borrower, and not individually, as follows: 

 

	 	1.	I have made such investigation and inquiries as to the financial condition of the Borrower and its subsidiaries as I have deemed necessary and prudent for the purposes of providing this Solvency Certificate. I
acknowledge that the Administrative Agent, the Issuing Banks and the Lenders are relying on the truth and accuracy of this Solvency Certificate in connection with the making of Loans and the issuance of Letters of Credit under the Credit Agreement.
I further certify that the financial information, projections and assumptions which underlie and form the basis for the representations made in this Solvency Certificate were made in good faith and were based on assumptions reasonably believed by
the Borrower to be fair in light of the circumstances existing at the time made and continue to be fair as of the date hereof. 

  

	 	2.	As of the date hereof, after giving effect to the consummation of the Transactions, including the making of the Loans and the issuance of Letters of Credit (if any) under the Credit Agreement on the date hereof, and
after giving effect to the application of the proceeds of such Loans: 

  

	 	a.	The fair value of the assets of the Borrower and its subsidiaries, on a consolidated basis, exceeds, on a consolidated basis, their debts and liabilities, subordinated, contingent or otherwise; 

 

	 	b.	The present fair saleable value of the assets of the Borrower and its subsidiaries, on a consolidated basis, is greater than the amount that will be required to pay the probable liability, on a consolidated basis, of
their debts and other liabilities, subordinated, contingent or otherwise, as such debts and other liabilities become absolute and matured; 

  

	 	c.	The Borrower and its subsidiaries, on a consolidated basis, are able to pay their debts and liabilities, subordinated, contingent or otherwise, as such liabilities become absolute and matured; and 

  
 K-1 

	 	d.	The Borrower and its subsidiaries, on a consolidated basis, are not engaged in, and are not about to engage in, business for which they have unreasonably small capital. 

For purposes of this Solvency Certificate, the amount of any contingent liability at any time shall be computed as the amount that would
reasonably be expected to become an actual and matured liability. Capitalized terms used but not otherwise defined herein shall have the meanings assigned to them in the Credit Agreement. 

IN WITNESS WHEREOF, the undersigned has executed this Solvency Certificate in such undersigned’s capacity as [chief financial officer]
[specify other officer with equivalent duties] of the Borrower, on behalf of the Borrower, and not individually, as of the date first stated above. 
  

			
	WALTER INVESTMENT MANAGEMENT CORP.
		
	By: 	 	 

 
			
	 Name:
 Title
	 	

  
 K-2 

 EXHIBIT L 

PROCEDURES FOR DUTCH AUCTION 

This outline is intended to summarize certain basic terms and procedures with respect to Auctions pursuant to and in accordance with the
terms and conditions of Section 9.04(l) of the Amended and Restated Credit Agreement, of which this Exhibit L is a part (the “Credit Agreement”). It is not intended to be a definitive list of all of the terms and
conditions of an Auction and all such terms and conditions shall be set forth in the applicable Auction Procedures set for each Auction (the “Offer Documents”). None of the Administrative Agent, the auction manager28, any other Agent or any of their respective affiliates makes any recommendation pursuant to the Offer Documents as to whether or not any Lender should sell by assignment any of its Term Loans
pursuant to the Offer Documents (including, for the avoidance of doubt, by participating in the Auction as a Lender) or whether the Borrower should purchase by assignment any Term Loans from any Lender pursuant to any Auction. Each Lender should
make its own decision as to whether to sell by assignment any of its Term Loans and, if so, the principal amount of and price to be sought for such Term Loans. In addition, each Lender should consult its own attorney, business advisor or tax advisor
as to legal, business, tax and related matters concerning any Auction and the Offer Documents. Capitalized terms not otherwise defined in this Exhibit have the meanings assigned to them in the Credit Agreement. 

Summary. The Borrower may purchase (by assignment) Term Loans on a non-pro rata basis by conducting one or more
auctions (each, an “Auction”) pursuant to the procedures described herein; provided, that no more than one Auction may be ongoing at any one time and no more than four Auctions may be made in any period
of four consecutive fiscal quarters of the Borrower. 
 Notice Procedures. In connection with each Auction, the
Borrower (in such capacity, the “Offeror”) will provide notification to the auction manager (for distribution to the Lenders) of the Term Loans that will be the subject of the Auction by delivering to the auction manager a written
notice in form and substance reasonably satisfactory to the auction manager (an “Auction Notice”). Each Auction Notice shall contain (i) the maximum principal amount of Term Loans the Offeror is willing to purchase (by
assignment) in the Auction (the “Auction Amount”), which shall be no less than $10,000,000 or an integral 
  

	28 	 To be a financial institution selected by the Borrower and reasonably acceptable to the Administrative Agent.

  
 L-1 

 
multiple of $1,000,000 in excess of thereof; (ii) the range of discounts to par (the “Discount Range”), expressed as a range of prices per $1,000, at which the Offeror would
be willing to purchase Term Loans in the Auction; and (iii) the date on which the Auction will conclude, on which date Return Bids (defined below) will be due at the time provided in the Auction Notice (such time, the “Expiration
Time”), as such date and time may be extended upon notice by the Offeror to the auction manager not less than 24 hours before the original Expiration Time. 

Reply Procedures. In connection with any Auction, each Lender holding Term Loans wishing to participate in such Auction shall,
prior to the Expiration Time, provide the auction manager with a notice of participation in form and substance reasonably satisfactory to the auction manager (the “Return Bid”, to be included in the Offer Documents) which shall
specify (i) a discount to par that must be expressed as a price per $1,000 of Term Loans (the “Reply Price”) within the Discount Range and (ii) the principal amount of Term Loans, in an amount not less than $1,000,000,
that such Lender is willing to offer for sale at its Reply Price (the “Reply Amount”); provided, that each Lender may submit a Reply Amount that is less than the minimum amount and incremental amount requirements described
above only if the Reply Amount comprises the entire amount of the Term Loans held by such Lender at such time. A Lender may only submit one Return Bid per Auction, but each Return Bid may contain up to three component bids, each of which may result
in a separate Qualifying Bid (as defined below) and each of which will not be contingent on any other component bid submitted by such Lender resulting in a Qualifying Bid. In addition to the Return Bid, a participating Lender must execute and
deliver, to be held by the auction manager, an Assignment and Acceptance in the form included in the Offer Documents which shall be in form and substance reasonably satisfactory to the auction manager and the Administrative Agent (the
“Auction Assignment and Acceptance”). The Offeror will not purchase any Term Loans at a price that is outside of the applicable Discount Range, nor will any Return Bids (including any component bids specified therein) submitted at a
price that is outside such applicable Discount Range be considered in any calculation of the Applicable Threshold Price (as defined below). 

Acceptance Procedures. Based on the Reply Prices and Reply Amounts received by the auction manager, the auction manager, in
consultation with the Offeror, will calculate the lowest purchase price (the “Applicable Threshold Price”) for the Auction within the Discount Range for the Auction that will allow the Offeror to complete the Auction by purchasing
the full Auction Amount (or such lesser amount of Term Loans for which the Offeror has received Qualifying Bids). The Offeror shall purchase (by assignment) Term Loans from each Lender whose Return Bid is within the Discount Range and contains a
Reply Price that is equal to or less than the Applicable Threshold Price (each, a “Qualifying Bid”). 

  
 L-2 

 
All principal amount of Term Loans included in Qualifying Bids received at a Reply Price lower than the Applicable Threshold Price will be purchased at a purchase price equal to the applicable
Reply Price and shall not be subject to proration. If a Lender has submitted a Return Bid containing multiple component bids at different Reply Prices, then all Term Loans of such Lender offered in any such component bid that constitutes a
Qualifying Bid with a Reply Price lower than the Applicable Threshold Price shall also be purchased at a purchase price in cash equal to the applicable Reply Price and shall not be subject to proration. 

Proration Procedures. All Term Loans offered in Return Bids (or, if applicable, any component bid thereof) constituting
Qualifying Bids equal to the Applicable Threshold Price will be purchased at a purchase price equal to the Applicable Threshold Price; provided that if the aggregate principal amount of all Term Loans for which Qualifying Bids have been
submitted in any given Auction equal to the Applicable Threshold Price would exceed the remaining portion of the Auction Amount (after deducting all Term Loans purchased below the Applicable Threshold Price), the Offeror shall purchase the Term
Loans for which the Qualifying Bids submitted were at the Applicable Threshold Price ratably based on the respective principal amounts offered and in an aggregate amount up to the amount necessary to complete the purchase of the Auction Amount. For
the avoidance of doubt, no Return Bids (or any component thereof) will be accepted above the Applicable Threshold Price. 

Notification Procedures. The auction manager will calculate the Applicable Threshold Price no later than the Business Day
immediately after the date that the Return Bids were due. The auction manager will insert the amount of Term Loans to be assigned and the applicable settlement date determined by the auction manager in consultation with the Offeror onto each
applicable Auction Assignment and Acceptance received in connection with a Qualifying Bid. Upon written request of the submitting Lender, the auction manager will promptly return any Auction Assignment and Acceptance received in connection with a
Return Bid that is not a Qualifying Bid. 
 Additional Procedures. Once initiated by an Auction Notice, the Offeror may
withdraw an Auction by written notice to the auction manager no later than 24 hours before the original Expiration Time so long as no Qualifying Bids have been received by the auction manager at or prior to the time the auction manager receives such
written notice from the Borrower. Any Return Bid (including any component bid thereof) delivered to the auction manager may not be modified, revoked, terminated or cancelled; provided that a Lender may modify a Return Bid at any time prior to
the Expiration Time solely to reduce the Reply Price included in such Return Bid. However, an Auction shall become void if the Offeror fails to satisfy one or more of the conditions to the purchase of Term Loans set forth in Section 9.04(l) of
the Credit Agreement or to otherwise comply 

  
 L-3 

 
with any of the provisions of such Section 9.04(l). The purchase price for all Term Loans purchased in an Auction shall be paid in cash by the Offeror directly to the respective assigning
Lender on a settlement date as determined by the auction manager in consultation with the Offeror (which shall be no later than ten (10) Business Days after the date Return Bids are due), along with accrued and unpaid interest (if any) on the
applicable Term Loans up to the settlement date. The Offeror shall execute each applicable Auction Assignment and Acceptance received in connection with a Qualifying Bid. 

All questions as to the form of documents and validity and eligibility of Term Loans that are the subject of an Auction will be determined by
the auction manager, in consultation with the Offeror, and, absent manifest error, the auction manager’s determination will be final and binding. Absent manifest error, the auction manager’s interpretation of the terms and conditions of
the Offer Document, in consultation with the Offeror, will be final and binding. 
 None of the Administrative Agent, the auction manager,
any other Agent or any of their respective affiliates assumes any responsibility for the accuracy or completeness of the information concerning the Borrower, the Credit Parties, or any of their affiliates contained in the Offer Documents or
otherwise or for any failure to disclose events that may have occurred and may affect the significance or accuracy of such information. 

Immediately upon the consummation of an Auction pursuant to Section 9.04(l) of the Credit Agreement, the Term Loans subject to such
Auction and all rights and obligations as a Lender related to such Term Loans shall for all purposes (including under the Credit Agreement, the other Credit Documents and otherwise) be deemed to be irrevocably prepaid, terminated, extinguished,
cancelled and of no further force and effect, and the Borrower shall neither obtain nor have any rights as a Lender under the Credit Agreement or under the other Credit Documents by virtue of the acquisition of any Term Loans subject to such
Auction. 
 The auction manager acting in its capacity as such under an Auction shall be entitled to the benefits of the provisions of
Article 8 and Section 9.05 of the Credit Agreement to the same extent as if each reference therein to the “Administrative Agent” were a reference to the auction manager, and the Administrative Agent shall cooperate with the auction
manager as reasonably requested by the auction manager in order to enable it to perform its responsibilities and duties in connection with each Auction. 

This Exhibit L shall not require the Borrower to initiate any Auction, nor shall any Lender be obligated to participate in any Auction. 

  
 L-4EX-10.3

 Exhibit 10.3 

 

	
	Contract No. YH14-0001

  

 
  

 TABLE OF CONTENTS 

 

							
	SECTION A. CONTRACT AMENDMENT	  	 	1	  
		
	SECTION B: CAPITATION RATES AND CONTRACTOR SPECIFIC REQUIREMENTS	  	 	4	  
		
	SECTION C: DEFINITIONS	  	 	25	  
			
	 PART 1.
	 	 DEFINITIONS PERTAINING TO ALL AHCCCS CONTRACTS
	  	 	25	  
	 PART 2.
	 	 DEFINITIONS PERTAINING TO ONE OR MORE AHCCCS CONTRACTS
	  	 	39	  
		
	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	 	47	  
			
	 1.
	 	 PURPOSE, APPLICABILITY, AND INTRODUCTION
	  	 	47	  
	 2.
	 	 ELIGIBILITY CATEGORIES
	  	 	48	  
	 3.
	 	 ENROLLMENT AND DISENROLLMENT
	  	 	50	  
	 4.
	 	 ANNUAL AND OPEN ENROLLMENT CHOICE
	  	 	52	  
	 5.
	 	 RESERVED
	  	 	52	  
	 6.
	 	 AUTO-ASSIGNMENT ALGORITHM
	  	 	52	  
	 7.
	 	 AHCCCS MEMBER IDENTIFICATION CARDS
	  	 	53	  
	 8.
	 	 MAINSTREAMING OF AHCCCS MEMBERS
	  	 	53	  
	 9.
	 	 TRANSITION ACTIVITIES
	  	 	54	  
	 10.
	 	 SCOPE OF SERVICES
	  	 	55	  
	 11.
	 	 SPECIAL HEALTH CARE NEEDS
	  	 	65	  
	 12.
	 	 BEHAVIORAL HEALTH SERVICES
	  	 	66	  
	 13.
	 	 AHCCCS GUIDELINES, POLICIES AND MANUALS
	  	 	69	  
	 14.
	 	 MEDICAID SCHOOL BASED CLAIMING PROGRAM (MSB)
	  	 	69	  
	 15.
	 	 PEDIATRIC IMMUNIZATIONS AND THE VACCINES FOR CHILDREN PROGRAM
	  	 	70	  
	 16.
	 	 STAFF REQUIREMENTS AND SUPPORT SERVICES
	  	 	70	  
	 17.
	 	 WRITTEN POLICIES AND PROCEDURES
	  	 	75	  
	 18.
	 	 MEMBER INFORMATION
	  	 	75	  
	 19.
	 	 SURVEYS
	  	 	77	  
	 20.
	 	 CULTURAL COMPETENCY
	  	 	77	  
	 21.
	 	 MEDICAL RECORDS
	  	 	77	  
	 22.
	 	 ADVANCE DIRECTIVES
	  	 	78	  
	 23.
	 	 QUALITY MANAGEMENT AND PERFORMANCE IMPROVEMENT (QM/PI)
	  	 	79	  
	 24.
	 	 MEDICAL MANAGEMENT (MM)
	  	 	85	  
	 25.
	 	 TELEPHONE PERFORMANCE STANDARDS
	  	 	87	  
	 26.
	 	 GRIEVANCE SYSTEM
	  	 	87	  
	 27.
	 	 NETWORK DEVELOPMENT
	  	 	88	  
	 28.
	 	 PROVIDER AFFILIATION TRANSMISSION
	  	 	89	  
	 29.
	 	 NETWORK MANAGEMENT
	  	 	89	  
	 30.
	 	 PRIMARY CARE PROVIDER STANDARDS
	  	 	91	  
	 31.
	 	 MATERNITY CARE PROVIDER STANDARDS
	  	 	92	  
	 32.
	 	 REFERRAL MANAGEMENT PROCEDURES AND STANDARDS
	  	 	92	  
	 33.
	 	 APPOINTMENT STANDARDS
	  	 	93	  
	 34.
	 	 FEDERALLY QUALIFIED HEALTH CENTERS AND RURAL HEALTH CLINICS
	  	 	94	  
	 35.
	 	 PROVIDER MANUAL
	  	 	94	  
	 36.
	 	 PROVIDER REGISTRATION
	  	 	95	  
	 37.
	 	 SUBCONTRACTS
	  	 	95	  
	 38.
	 	 CLAIMS PAYMENT/HEALTH INFORMATION SYSTEM
	  	 	97	  
	 39.
	 	 SPECIALTY CONTRACTS
	  	 	100	  
	 40.
	 	 HOSPITAL SUBCONTRACTING AND REIMBURSEMENT
	  	 	101	  
	 41.
	 	 RESPONSIBILITY FOR NURSING FACILITY REIMBURSEMENT
	  	 	101	  
	 42.
	 	 INCENTIVES/PAY FOR PERFORMANCE
	  	 	102	  
	 43.
	 	 MANAGEMENT SERVICES AGREEMENT AND COST ALLOCATION PLAN
	  	 	102	  

  

					
		  	2	  	Acute Care Contract
		  		  	10/01/2013

	
	Contract No. YH14-0001

  

 
  

							
	 44.
	 	 MATERIAL CHANGE TO OPERATIONS
	  	 	103	  
	 45.
	 	 MINIMUM CAPITALIZATION
	  	 	103	  
	 46.
	 	 PERFORMANCE BOND OR BOND SUBSTITUTE
	  	 	103	  
	 47.
	 	 AMOUNT OF PERFORMANCE BOND
	  	 	104	  
	 48.
	 	 ACCUMULATED FUND DEFICIT
	  	 	104	  
	 49.
	 	 ADVANCES, DISTRIBUTIONS, LOANS AND INVESTMENTS
	  	 	104	  
	 50.
	 	 FINANCIAL VIABILITY STANDARDS
	  	 	105	  
	 51.
	 	 SEPARATE INCORPORATION
	  	 	106	  
	 52.
	 	 MERGER, REORGANIZATION AND CHANGE OF OWNERSHIP
	  	 	106	  
	 53.
	 	 COMPENSATION
	  	 	106	  
	 54.
	 	 PAYMENTS TO CONTRACTORS
	  	 	109	  
	 55.
	 	 CAPITATION ADJUSTMENTS
	  	 	109	  
	 56.
	 	 MEMBER BILLING AND LIABILITY FOR PAYMENT
	  	 	110	  
	 57.
	 	 REINSURANCE
	  	 	111	  
	 58.
	 	 COORDINATION OF BENEFITS/THIRD PARTY LIABILITY
	  	 	114	  
	 59.
	 	 COPAYMENTS
	  	 	117	  
	 60.
	 	 MEDICARE SERVICES AND COST SHARING
	  	 	117	  
	 61.
	 	 MARKETING
	  	 	117	  
	 62.
	 	 CORPORATE COMPLIANCE
	  	 	118	  
	 63.
	 	 RECORDS RETENTION
	  	 	120	  
	 64.
	 	 SYSTEMS AND DATA EXCHANGE REQUIREMENTS
	  	 	121	  
	 65.
	 	 ENCOUNTER DATA REPORTING
	  	 	123	  
	 66.
	 	 ENROLLMENT AND CAPITATION TRANSACTION UPDATES
	  	 	125	  
	 67.
	 	 PERIODIC REPORT REQUIREMENTS
	  	 	126	  
	 68.
	 	 REQUESTS FOR INFORMATION
	  	 	126	  
	 69.
	 	 DISSEMINATION OF INFORMATION
	  	 	126	  
	 70.
	 	 OPERATIONAL AND FINANCIAL READINESS REVIEWS
	  	 	126	  
	 71.
	 	 OPERATIONAL REVIEWS
	  	 	127	  
	 72.
	 	 SANCTIONS
	  	 	127	  
	 73.
	 	 BUSINESS CONTINUITY AND RECOVERY PLAN
	  	 	128	  
	 74.
	 	 MEDICARE REQUIREMENTS
	  	 	128	  
	 75.
	 	 PENDING LEGISLATION/OTHER ISSUES
	  	 	129	  
		
	SECTION E: CONTRACT TERMS AND CONDITIONS	  	 	216	  
			
	 1.
	 	 ADVERTISING AND PROMOTION OF CONTRACT
	  	 	216	  
	 2.
	 	 APPLICABLE LAW
	  	 	216	  
	 3.
	 	 ARBITRATION
	  	 	216	  
	 4.
	 	 ASSIGNMENT AND DELEGATION
	  	 	216	  
	 5.
	 	 ASSIGNMENT OF CONTRACT AND BANKRUPTCY
	  	 	216	  
	 6.
	 	 AUDITS AND INSPECTIONS
	  	 	216	  
	 7.
	 	 AUTHORITY
	  	 	216	  
	 8.
	 	 CHANGES
	  	 	216	  
	 9.
	 	 CHOICE OF FORUM
	  	 	217	  
	 10.
	 	 COMPLIANCE WITH APPLICABLE LAWS, RULES AND REGULATIONS
	  	 	217	  
	 11.
	 	 CONFIDENTIALITY AND DISCLOSURE OF CONFIDENTIAL INFORMATION
	  	 	217	  
	 12.
	 	 CONFLICT OF INTEREST
	  	 	217	  
	 13.
	 	 CONTINUATION OF PERFORMANCE THROUGH TERMINATION
	  	 	218	  
	 14.
	 	 CONTRACT
	  	 	218	  
	 15.
	 	 CONTRACT INTERPRETATION AND AMENDMENT
	  	 	218	  
	 16.
	 	 COOPERATION WITH OTHER CONTRACTORS
	  	 	218	  
	 17.
	 	 COVENANT AGAINST CONTINGENT FEES
	  	 	218	  
	 18.
	 	 DATA CERTIFICATION
	  	 	218	  
	 19.
	 	 DISPUTES
	  	 	218	  
	 20.
	 	 E-VERIFY REQUIREMENTS
	  	 	219	  
	 21.
	 	 EFFECTIVE DATE
	  	 	219	  
	 22.
	 	 FEDERAL IMMIGRATION AND NATIONALITY ACT
	  	 	219	  

  

					
		  	3	  	Acute Care Contract
		  		  	10/01/2013

	
	Contract No. YH14-0001

  

 
  

							
	 23.
	 	 GRATUITIES
	  	 	219	  
	 24.
	 	 INCORPORATION BY REFERENCE
	  	 	219	  
	 25.
	 	 INDEMNIFICATION
	  	 	219	  
	 26.
	 	 INDEMNIFICATION - PATENT AND COPYRIGHT
	  	 	220	  
	 27.
	 	 INSURANCE
	  	 	220	  
	 ATTACHMENT E-1
	  	 	221	  
	 ATTACHMENT E-2
	  	 	225	  
	 28.
	 	 IRS W9 FORM
	  	 	229	  
	 29.
	 	 LOBBYING
	  	 	229	  
	 30.
	 	 NO GUARANTEED QUANTITIES
	  	 	229	  
	 31.
	 	 NON-DISCRIMINATION
	  	 	229	  
	 32.
	 	 NON-EXCLUSIVE REMEDIES
	  	 	229	  
	 33.
	 	 OFF-SHORE PERFORMANCE OF WORK PROHIBITED
	  	 	229	  
	 34.
	 	 ORDER OF PRECEDENCE
	  	 	229	  
	 35.
	 	 OWNERSHIP OF INFORMATION AND DATA
	  	 	229	  
	 36.
	 	 RESERVED
	  	 	230	  
	 37.
	 	 RELATIONSHIP OF PARTIES
	  	 	230	  
	 38.
	 	 RIGHT OF OFFSET
	  	 	230	  
	 39.
	 	 RIGHT TO ASSURANCE
	  	 	230	  
	 41.
	 	 SCRUTINIZED BUSINESSES
	  	 	230	  
	 42.
	 	 SEVERABILITY
	  	 	230	  
	 43.
	 	 SUSPENSION OR DEBARMENT
	  	 	231	  
	 44.
	 	 TEMPORARY MANAGEMENT/OPERATION OF A CONTRACTOR AND TERMINATION
	  	 	231	  
	 45.
	 	 TERM OF CONTRACT AND OPTION TO RENEW
	  	 	232	  
	 46.
	 	 TERMINATION - AVAILABILITY OF FUNDS
	  	 	233	  
	 47.
	 	 TERMINATION FOR CONFLICT OF INTEREST
	  	 	233	  
	 48.
	 	 TERMINATION FOR CONVENIENCE
	  	 	233	  
	 49.
	 	 THIRD PARTY ANTITRUST VIOLATIONS
	  	 	233	  
	 50.
	 	 TYPE OF CONTRACT
	  	 	233	  
	 51.
	 	 WARRANTY OF SERVICES
	  	 	233	  
		
	SECTION F: ATTACHMENTS	  	 	217	  
		
	 ATTACHMENT F1. ENROLLEE GRIEVANCE SYSTEM STANDARDS
	  	 	217	  
	 ATTACHMENT F2. PROVIDER CLAIM DISPUTE STANDARDS
	  	 	222	  
	 ATTACHMENT F3. CONTRACTOR CHART OF DELIVERABLES
	  	 	242	  
		
	SECTION G: RESERVED	  	 	266	  
		
	SECTION H: RESERVED	  	 	267	  
		
	SECTION I: RESERVED	  	 	268	  

  

					
		  	4	  	Acute Care Contract
		  		  	10/01/2013

			
	SECTION B:	  	
	CAPITATION RATES AND CONTRACTOR SPECIFIC REQS	  	Contract No. YH14-0001

  

 
  

 SECTION B: CAPITATION RATES AND CONTRACTOR SPECIFIC REQUIREMENTS 

The Contractor shall provide services as described in this contract. In consideration for these services, the Contractor will be paid Contractor-specific rates
per member per month for the term October 1, 2013 through September 30, 2014. 
 See Separate Rate Sheet 

Health Choice Arizona Specific Language: 
 None 

  

					
		  	 Contract Section B

Health Choice Arizona
	  	
		  	5	  	Effective October 1, 2013

			
	SECTION B:	  	
	CAPITATION RATES AND CONTRACTOR SPECIFIC REQS	  	Contract No. YH14-0001

  

 ARIZONA HEALTH CARE COST CONTAINMENT SYSTEM 

CAPITATION RATE SUMMARY - ACUTE RATES 

Health Choice Arizona 

10/01/13 - 9/30/14 
  

																																															
	 Title XIX Rates:
	  	TANF
<1, M/F	 	  	TANF
1-13, M/F	 	  	TANF
14-44, F	 	  	TANF
14-44, M	 	  	TANF
45+, M/F	 	  	SSI
w/ Med	 	  	SSI
w/o Med	 	  	SFPEP	 	  	Delivery
Supplement	 	  	AHCCCS
Care	 	  	Newly
Eligible
Adults	 
	4	  	Apache/Coconino/Mohave/Navajo	  	$	402.86	  	  	$	99.23	  	  	$	239.04	  	  	$	163.73	  	  	$	392.21	  	  	$	108.65	  	  	$	840.83	  	  	$	13.09	  	  	$	5,626.74	  	  	$	396.38	  	  	$	312.22	  
	8	  	Gila/Pinal	  	$	458.18	  	  	$	95.86	  	  	$	249.57	  	  	$	155.83	  	  	$	436.00	  	  	$	124.51	  	  	$	688.49	  	  	$	15.77	  	  	$	5,767.71	  	  	$	394.71	  	  	$	311.51	  
	10	  	Pima	  	$	427.12	  	  	$	81.81	  	  	$	208.17	  	  	$	125.96	  	  	$	349.89	  	  	$	121.02	  	  	$	702.07	  	  	$	14.96	  	  	$	5,722.89	  	  	$	320.87	  	  	$	252.08	  
	12	  	Maricopa	  	$	467.08	  	  	$	101.25	  	  	$	232.75	  	  	$	146.77	  	  	$	405.97	  	  	$	154.76	  	  	$	750.40	  	  	$	12.50	  	  	$	6,078.29	  	  	$	416.27	  	  	$	300.76	  
												
	 KidsCare Rates:
	  	KidsCare
<1 M/F	 	  	KidsCare
1-13, M/F	 	  	KidsCare
14-44, F	 	  	KidsCare
14-44, M	 	  	 	 	  	 	 	  	 	 	  	 	 	  	 	 	  	 	 	  	 	 
	4	  	Apache/Coconino/Mohave/Navajo	  	$	406.92	  	  	$	100.24	  	  	$	241.46	  	  	$	165.39	  	  				  				  				  				  				  				  			
	8	  	Gila/Pinal	  	$	462.81	  	  	$	96.83	  	  	$	252.09	  	  	$	157.40	  	  				  				  				  				  				  				  			
	10	  	Pima	  	$	431.43	  	  	$	82.64	  	  	$	210.27	  	  	$	127.23	  	  				  				  				  				  				  				  			
	12	  	Maricopa	  	$	471.79	  	  	$	102.27	  	  	$	235.10	  	  	$	148.25	  	  				  				  				  				  				  				  			
												
	 PPC Rates:
	  	TANF
<1, M/F	 	  	TANF
1-13, M/F	 	  	TANF
14-44, F	 	  	TANF
14-44, M	 	  	TANF
45+, M/F	 	  	SSI
w/ Med	 	  	SSI
w/o Med	 	  	AHCCCS
Care	 	  	Eligible
Adults	 	  	 	 	  	 	 
	4	  	Apache/Coconino/Mohave/Navajo	  	$	1,157.15	  	  	$	60.55	  	  	$	241.52	  	  	$	207.53	  	  	$	512.78	  	  	$	74.59	  	  	$	498.37	  	  	$	868.77	  	  	$	416.01	  	  				  			
	8	  	Gila/Pinal	  	$	707.97	  	  	$	60.58	  	  	$	196.98	  	  	$	161.22	  	  	$	399.89	  	  	$	52.57	  	  	$	450.60	  	  	$	697.08	  	  	$	335.81	  	  				  			
	10	  	Pima	  	$	1,104.07	  	  	$	44.32	  	  	$	190.16	  	  	$	151.11	  	  	$	316.38	  	  	$	89.00	  	  	$	342.55	  	  	$	529.46	  	  	$	275.63	  	  				  			
	12	  	Maricopa	  	$	1,072.93	  	  	$	56.74	  	  	$	191.92	  	  	$	163.21	  	  	$	438.47	  	  	$	102.69	  	  	$	516.06	  	  	$	683.56	  	  	$	336.78	  	  				  			
												
	 Other Rates:
	  	Option 1
Transplant	 	  	Option 2
Transplant	 	  	 	 	  	 	 	  	 	 	  	 	 	  	 	 	  	 	 	  	 	 	  	 	 	  	 	 
	4	  	Apache/Coconino/Mohave/Navajo	  	$	16.50	  	  	$	16.50	  	  				  				  				  				  				  				  				  				  			
	8	  	Gila/Pinal	  	$	16.50	  	  	$	16.50	  	  				  				  				  				  				  				  				  				  			
	10	  	Pima	  	$	16.50	  	  	$	16.50	  	  				  				  				  				  				  				  				  				  			
	12	  	Maricopa	  	$	16.50	  	  	$	16.50	  	  				  				  				  				  				  				  				  				  			

  

					
		  	6	  	
		  		  	

			
	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

 SECTION C: DEFINITIONS 

PART 1. DEFINITIONS PERTAINING TO ALL AHCCCS CONTRACTS 

The definitions specified in Part 1 below refer to terms found in all AHCCCS contracts. The definitions specified in Part 2 below refer to terms that exist in
one or more contracts but do not appear in all contracts. 
  

			
	638 TRIBAL FACILITY	  	A facility that is operated by an Indian Tribe and that is authorized to provide services pursuant to Public Law (P.L.) 93-638, as amended.
		
	ABUSE (OF MEMBER)	  	Intentional infliction of physical, emotional or mental harm, caused by negligent acts or omissions, unreasonable confinement, sexual abuse or sexual assault as defined by A.R.S. §46-451 and
A.R.S. §13-3623.
		
	ABUSE (BY PROVIDER)	  	Provider practices that are inconsistent with sound fiscal, business or medical practices, and result in an unnecessary cost to the AHCCCS program, or in reimbursement for services that are not medically necessary or that fail to
meet professionally recognized standards for health care. It also includes recipient practices that result in unnecessary cost to the AHCCCS program as defined by 42 CFR 455.2.
		
	ACUTE CARE SERVICES	  	Medically necessary services as specified in Paragraph 10, Scope of Services.
		
	AHCCCS CONTRACTOR OPERATIONS MANUAL (ACOM)	  	The ACOM provides information related to AHCCCS Contractor operations and is available on the AHCCCS website at www.azahcccs.gov.
		
	ADJUDICATED CLAIM	  	A claim that has been received and processed by the Contractor which resulted in a payment or denial of payment.
		
	AHCCCS MEDICAL POLICY MANUAL (AMPM)	  	The AMPM provides information regarding covered health care services and is available on the AHCCCS website at www.azahcccs.gov.
		
	AHCCCS MEMBER	  	See “MEMBER.”
		
	AHCCCS RULES	  	See “ARIZONA ADMINISTRATIVE CODE.”
		
	AMERICAN INDIAN HEALTH PROGRAM (AIHP)	  	An acute care fee-for-service program administered by AHCCCS for eligible American Indians which reimburses for services provided by and through the Indian Health Service (IHS), tribal health programs operated under 638 or any other
AHCCCS registered provider. AIHP was formerly known as AHCCCS IHS.

  

					
		  	25	  	Acute Care Contract
		  		  	10/01/2013

			
	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	AMERICANS with DISABILITIES ACT (ADA)	  	The ADA prohibits discrimination on the basis of disability and ensures equal opportunity for persons with disabilities in employment, State and local government services, public accommodations, commercial facilities transportation,
and telecommunications. Refer to the Americans with Disabilities Act of 1990, as amended, in 42 U.S.C. 126 and 47 U.S.C. 5.
		
	APPEAL RESOLUTION	  	The written determination by the Contractor concerning an appeal.
		
	ARIZONA ADMINISTRATIVE CODE (A.A.C.)	  	State regulations established pursuant to relevant statutes. Referred to in Contract as “Rules.” AHCCCS Rules are State regulations which have been promulgated by the AHCCCS Administration and published by the Arizona
Secretary of State.
		
	ARIZONA DEPARTMENT OF ECONOMIC SECURITY/COMPREHEN SIVE MEDICAL AND DENTAL PROGRAM (DES/CMDP)	  	A department within the Arizona Department of Economic Security that is responsible for managing the medical needs of foster children in Arizona under A.R.S. §8-512.
		
	ARIZONA DEPARTMENT OF ECONOMIC SECURITY/DIVISION OF DEVELOPMENTAL DISABILITIES (DES/DDD)	  	The Division of a State agency, as defined in A.R.S. Title 36, Chapter 5.1, which is responsible for licensure/certification of facilities that specifically serve individuals with a developmental/intellectual disability, contracting
with providers that serve individuals with developmental disabilities, and provide services for eligible Arizona residents with a developmental/intellectual disability. AHCCCS contracts with ADES to serve eligible individuals with a
developmental/intellectual disability.
		
	ARIZONA DEPARTMENT OF HEALTH SERVICES (ADHS)	  	The state agency that has the powers and duties set forth in A.R.S. §36-104 and A.R.S. Title 36, Chapters 5 and 34.
		
	ARIZONA HEALTH CARE COST CONTAINMENT SYSTEM (AHCCCS)	  	A State agency, as described in A.R.S. Title 36, Chapter 29, which is responsible for the provision of hospitalization and medical care to members through contracts with Contractors. AHCCCS is Arizona’s Medicaid program,
approved by the Centers for Medicare and Medicaid Services as a Section 1115 Waiver Demonstration Program.
		
	ARIZONA LONG TERM CARE SYSTEM (ALTCS)	  	An AHCCCS program which delivers long-term, acute, behavioral health and case management services as authorized by A.R.S. §36-2931 et seq., to eligible members who are either elderly and/or have physical disabilities, and to
members with developmental disabilities, through contractual agreements and other arrangements.
		
	ARIZONA REVISED STATUTES (A.R.S.)	  	Laws of the State of Arizona.

  

					
		  	26	  	Acute Care Contract
		  		  	10/01/2013

			
	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	AUTHORIZED REPRESENTATIVE	  	Authorized representative means a person who is authorized to apply for medical assistance or act on behalf of another person (R9-22-101).
		
	BALANCED BUDGET ACT (BBA)	  	See “MEDICAID MANAGED CARE REGULATIONS.”
		
	BEHAVIORAL HEALTH PROFESSIONAL	  	An Arizona licensed psychologist, a registered nurse with at least one year of full time behavioral health work experience, or a behavioral health medical practitioner, or an Arizona licensed social worker, counselor, marriage and
family therapist or substance abuse counselor licensed according to A.R.S. Title 32, Chapter 33, or an out of State individual who is licensed or certified to practice social work, counseling or marriage and family therapy by a government entity in
another state if the individual has documentation of submission of an application for Arizona licensure per A.R.S. Title 32, Chapter 33 and is licensed within one year after submitting the application.
		
	BEHAVIORAL HEALTH RECIPIENT	  	A Title XIX or Title XXI acute care member who is receiving behavioral health services through ADHS and the subcontractors.
		
	BEHAVIORAL HEALTH SERVICES	  	Behavioral Health Services means the assessment, diagnosis, or treatment of an individual’s behavioral health issue and include services for both mental health and substance abuse conditions.
		
		  	See also “COVERED SERVICES.”
		
	BOARD CERTIFIED	  	An individual who has successfully completed all prerequisites of the respective specialty board and successfully passed the required examination for certification.
		
	BORDER COMMUNITIES	  	Cities, towns or municipalities located in Arizona and within a designated geographic service area whose residents typically receive primary or emergency care in adjacent Geographic Service Areas (GSA) or neighboring states,
excluding neighboring countries, due to service availability or distance.
		
	CAPITATION	  	Payment to a Contractor by AHCCCS of a fixed monthly payment per person in advance, for which the Contractor provides a full range of covered services as authorized under A.R.S. §36-2904 and §36-2907.
		
	CENTERS FOR MEDICARE AND MEDICAID SERVICES (CMS)	  	An organization within the United States Department of Health and Human Services, which administers the Medicare and Medicaid programs and the State Children’s Health Insurance
Program.

  

					
		  	27	  	Acute Care Contract
		  		  	10/01/2013

			
	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	CHILDREN with SPECIAL HEALTH CARE NEEDS (CSHCN)	  	Children under age 19 who are: Blind/Disabled Children and Related Populations (eligible for SSI under Title XVI). Children eligible under section 1902(e)(3) of the Social Security Act (Katie Beckett); in foster care or other
out-of-home placement; receiving foster care or adoption assistance; or receiving services through a family-centered, community-based coordinated care system that receives grant funds under section 501(a)(1)(D) of Title V (CRS).
		
	CLAIM DISPUTE	  	A dispute, filed by a provider or Contractor, whichever is applicable, involving a payment of a claim, denial of a claim, imposition of a sanction or reinsurance.
		
	CLEAN CLAIM	  	A claim that may be processed without obtaining additional information from the provider of service or from a third party but does not include claims under investigation for fraud or abuse or claims under review for medical
necessity, as defined by A.R.S. §36-2904.
		
	CODE OF FEDERAL REGULATIONS (CFR)	  	The general and permanent rules published in the Federal Register by the departments and agencies of the Federal Government.
		
	CONTRACT SERVICES	  	See “COVERED SERVICES.”
		
	CONTRACT YEAR (CY)	  	Corresponds to the contract year as specified in Section A of the contract.
		
	CONTRACT YEAR ENDING (CYE)	  	Corresponds to the contract ending year as specified in Section A of the contract.
		
	CONTRACTOR	  	An organization or entity that has a prepaid capitated contract with the AHCCCS administration pursuant to A.R.S. §36-2904 to provide goods and services to members either directly or through subcontracts with providers, in
conformance with contractual requirements, AHCCCS Statute and Rules, and Federal law and regulations.
		
	CONVICTED	  	A judgment of conviction has been entered by a Federal, State or local court, regardless of whether an appeal from that judgment is pending.
		
	COPAYMENT	  	A monetary amount that the member pays directly to a provider at the time covered services are rendered, as defined in 9 A.A.C. 22, Article 7.
		
	COST AVOIDANCE	  	The process of identifying and utilizing all confirmed sources of first or third-party benefits before payment is made by the Contractor.

  

					
		  	28	  	Acute Care Contract
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	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	COVERED SERVICES	  	The health and medical services to be delivered by the Contractor as described in Section D, Program Requirements.
		
	DAY	  	A day means a calendar day unless otherwise specified.
		
	DAY – BUSINESS/WORKING	  	A business day means a Monday, Tuesday, Wednesday, Thursday, or Friday unless a legal holiday falls on Monday, Tuesday, Wednesday, Thursday, or Friday.
		
	DELEGATED AGREEMENT	  	A type of subcontract agreement with a qualified organization or person to perform one or more functions required to be performed by the Contractor pursuant to this contract.
		
	DISCLOSING ENTITY	  	An AHCCCS provider or a fiscal agent.
		
	DISENROLLMENT	  	The discontinuance of a member’s ability to receive covered services through a Contractor.
		
	DIVISION OF HEALTH CARE MANAGEMENT (DHCM)	  	The division responsible for Contractor oversight regarding AHCCCS Contractor operations, quality, maternal and child health, behavioral health, medical management, rate setting, encounters, and financial/operational
oversight.
		
	DUAL ELIGIBLE	  	A member who is eligible for both Medicare and Medicaid.
		
	DURABLE MEDICAL EQUIPMENT (DME)	  	An item or appliance that is not an orthotic or prosthetic and that is: designed for a medical purpose, is generally not useful to a person in the absence of an illness or injury, can withstand repeated use, and is generally
reusable by others.

  

					
		  	29	  	Acute Care Contract
		  		  	10/01/2013

			
	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	EARLY AND PERIODIC SCREENING, DIAGNOSTIC, AND TREATMENT (EPSDT)	  	EPSDT is a comprehensive child health program of prevention, treatment, correction, and improvement (amelioration) of physical and mental health problems for AHCCCS members under the age of 21. The purpose of EPSDT is to ensure the
availability and accessibility of health care resources as well as to assist Medicaid recipients in effectively utilizing these resources. EPSDT services provide comprehensive health care through primary prevention, early intervention, diagnosis,
medically necessary treatment, and follow-up care of physical and behavioral health problems for AHCCCS members less than 21 years of age. EPSDT services include screening services, vision services, dental services, hearing services and all other
medically necessary mandatory and optional services listed in Federal Law 42 U.S.C. 1396d(a) to correct or ameliorate defects and physical and mental illnesses and conditions identified in an EPSDT screening whether or not the services are covered
under the AHCCCS State Plan. Limitations and exclusions, other than the requirement for medical necessity and cost effectiveness, do not apply to EPSDT services.
		
	EMERGENCY MEDICAL CONDITION	  	A medical condition manifesting itself by acute symptoms of sufficient severity (including severe pain) such that a prudent layperson who possesses an average knowledge of health and medicine could reasonably expect the absence of
immediate medical attention to result in: a) placing the patient’s health (or, with respect to a pregnant woman, the health of the woman or her unborn child) in serious jeopardy, b)serious impairment to bodily functions, or c) serious
dysfunction of any bodily organ or part [42 CFR 438.114(a)].
		
	EMERGENCY MEDICAL SERVICE	  	Covered inpatient and outpatient services provided after the sudden onset of an emergency medical condition as defined above. These services must be furnished by a qualified provider, and must be necessary to evaluate or stabilize
the emergency medical condition [42 CFR 438.114(a)].
		
	ENCOUNTER	  	A record of a health care-related service rendered by a provider or providers registered with AHCCCS to a member who is enrolled with a Contractor on the date of service.
		
	ENROLLEE	  	A Medicaid recipient who is currently enrolled with a Contractor [42 CFR 438.10(a)].
		
	ENROLLMENT	  	The process by which an eligible person becomes a member of a Contractor’s plan.
		
	EXHIBITS	  	All items attached as part of the solicitation.

  

					
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	FEDERAL FINANCIAL PARTICIPATION (FFP)	  	FFP refers to the contribution that the Federal government makes to the Title XIX and Title XXI program portions of AHCCCS, as defined in 42 CFR 400.203.
		
	FEE-FOR-SERVICE MEMBER	  	A Title XIX or Title XXI eligible individual who is not enrolled with an AHCCCS Contractor.
		
	FRAUD	  	An intentional deception or misrepresentation made by a person with the knowledge that the deception could result in some unauthorized benefit to himself or some other person. It includes any act that constitutes fraud under
applicable State or Federal law, as defined in 42 CFR 455.2.
		
	GEOGRAPHIC SERVICE AREA (GSA)	  	An area designated by AHCCCS within which a Contractor of record provides, directly or through subcontract, covered health care service to a member enrolled with that Contractor of record, as defined in 9 A.A.C. 22, Article
1.
		
	GRIEVANCE SYSTEM	  	A system that includes a process for enrollee grievances, enrollee appeals, provider claim disputes, and access to the state fair hearing system.
		
	HEALTH CARE PROFESSIONAL	  	A physician, podiatrist, optometrist, chiropractor, psychologist, dentist, physician assistant, physical or occupational therapist, therapist assistant, speech language pathologist, audiologist, registered or practical nurse
(including nurse practitioner, clinical nurse specialist, certified registered nurse anesthetist and certified nurse midwife), licensed social worker, registered respiratory therapist, licensed marriage and family therapist and licensed professional
counselor.
		
	HEALTH INSURANCE PORTABILITY AND ACCOUNTABILITY ACT (HIPAA)	  	The Health Insurance Portability and Accountability Act (P.L. 104-191); also known as the Kennedy-Kassebaum Act, signed August 21, 1996 addresses issues regarding the privacy and security of member confidential
information.
		
	HEALTH PLAN	  	See “CONTRACTOR.”
		
	INCURRED BUT NOT REPORTED LIABILITY (IBNR)	  	Incurred but not reported liability for services rendered for which claims have not been received.
		
	INDIAN HEALTH SERVICES (IHS)	  	A Federal agency pursuant to 25 U.S.C. 1661.

  

					
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	INFORMATION SYSTEMS	  	The component of the Offeror’s organization which supports the Information Systems, whether the systems themselves are internal to the organization (full spectrum of systems staffing), or externally contracted (internal
oversight and support).
		
	INTERGOVERNMENTAL AGREEMENT (IGA)	  	When authorized by legislative or other governing bodies, two or more public agencies or public procurement units by direct contract or agreement may contract for services or jointly exercise any powers common to the contracting
parties and may enter into agreements with one another for joint or cooperative action or may form a separate legal entity, including a nonprofit corporation to contract for or perform some or all of the services specified in the contract or
agreement or exercise those powers jointly held by the contracting parties. A.R.S. Title 11, Chapter 7, Article 3 (A.R.S. §11-952.A).
		
	LIABLE PARTY	  	An individual, entity, or program that is or may be liable to pay all or part of the medical cost of injury, disease or disability of an AHCCCS applicant or member as defined in R9-22-1001.
		
	LIEN	  	A legal claim, filed with the County Recorder’s office in which a member resides and in the county an injury was sustained for the purpose of ensuring that AHCCCS receives reimbursement for medical services paid. The lien is
attached to any settlement the member may receive as a result of an injury.
		
	MAJOR UPGRADE	  	Any systems upgrade or changes that may result in a disruption to the following: loading of contracts, providers or members, issuing prior authorizations or the adjudication of claims.
		
	MANAGED CARE	  	Systems that integrate the financing and delivery of health care services to covered individuals by means of arrangements with selected providers to furnish comprehensive services to members; establish explicit criteria for the
selection of health care providers; have financial incentives for members to use providers and procedures associated with the plan; and have formal programs for quality, medical management and the coordination of care.
		
	MANAGEMENT SERVICES AGREEMENT	  	A type of subcontract with an entity in which the owner of the Contractor delegates some or all of the comprehensive management and administrative services necessary for the operation of the Contractor.
		
	MANAGING EMPLOYEE	  	A general manager, business manager, administrator, director, or other individual who exercises operational or managerial control over or who directly or indirectly conducts the day-to-day operation of an institution, organization
or agency.

  

					
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	MATERIAL CHANGE	  	An alteration or development within a provider network that may reasonably be foreseen to affect the quality or delivery of services provided under this contract.
		
	MATERIAL OMISSION	  	A fact, data or other information excluded from a report, contract, etc., the absence of which could lead to erroneous conclusions following reasonable review of such report, contract, etc.
		
	MEDICAID	  	A Federal/State program authorized by Title XIX of the Social Security Act, as amended.
		
	MEDICAID MANAGED CARE REGULATIONS	  	The Federal law mandating, in part, that States ensure the accessibility and delivery of quality health care by their managed care Contractors. These regulations were promulgated pursuant to the Balanced Budget Act (BBA) of
1997.
		
	MEDICARE	  	A Federal program authorized by Title XVIII of the Social Security Act, as amended.
		
	MEDICAL MANAGEMENT (MM)	  	An integrated process or system that is designed to assure appropriate utilization of health care resources, in the amount and duration necessary to achieve desired health outcomes, across the continuum of care (from prevention to
end of life care).
		
	MEDICAL SERVICES	  	Medical care and treatment provided by a Primary Care Provider (PCP), attending physician or dentist or by a nurse or other health related professional and technical personnel at the direction/order of a licensed physician or
dentist.
		
	MEDICALLY NECESSARY	  	As defined in 9 A.A.C. 22 Article 1. Medically necessary means a covered service provided by a physician or other licensed practitioner of the health arts within the scope of practice under State law to prevent disease, disability
or other adverse conditions or their progression, or prolong life.
		
	MEDICALLY NECESSARY SERVICES	  	Those covered services provided by qualified service providers within the scope of their practice to prevent disease, disability and other adverse health conditions or their progression or to prolong life.
		
	MEMBER	  	An eligible person who is enrolled in AHCCCS, as defined in A.R.S. §36- 2931, §36-2901, §36-2901.01 and A.R.S. §36-2981.

  

					
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	MEMBER INFORMATION MATERIALS	  	Any materials given to the Contractor’s membership. This includes, but is not limited to: member handbooks, member newsletters, surveys, on hold messages and health related brochures/reminders and videos, form letter templates,
and website content. It also includes the use of other mass communication technology such as e-mail and voice recorded information messages delivered to a member’s phone.
		
	NATIONAL PROVIDER IDENTIFIER (NPI)	  	A unique identification number for covered health care providers, assigned by the CMS contracted national enumerator.
		
	NON-CONTRACTING PROVIDER	  	A person or entity that provides services as prescribed in A.R.S. §36-2901 who does not have a subcontract with an AHCCCS Contractor.
		
	NOTICE OF APPEAL RESOLUTION	  	The written determination by the Contractor concerning an appeal.
		
	OFFEROR	  	An organization or other entity that submits a proposal to AHCCCS in response to a Request For Proposal as defined in 9 A.A.C. 22, Article 1.
		
	PARENT	  	A biological, adoptive, or custodial mother or father of a child, or an individual who has been appointed as a legal guardian or custodian of a child by a court of competent jurisdiction.
		
	PERFORMANCE IMPROVEMENT PROJECT (PIP)	  	A planned process of data gathering, evaluation and analysis to determine interventions or activities that are projected to have a positive outcome. A PIP includes measuring the impact of the interventions or activities toward
improving the quality of care and service delivery. Formerly referred to as Quality Improvement Projects (QIP).
		
	PERFORMANCE STANDARDS	  	A set of standardized measures designed to assist AHCCCS in evaluating, comparing and improving the performance of its Contractors.
		
	PREPAID MEDICAL MANAGEMENT INFORMATION SYSTEM (PMMIS)	  	An integrated information infrastructure that supports AHCCCS operations, administrative activities and reporting requirements.
		
	POST STABILIZATION CARE SERVICES	  	Medically necessary services, related to an emergency medical condition provided after the member’s condition is sufficiently stabilized in order to maintain, improve or resolve the member’s condition so that the member
could alternatively be safely discharged or transferred to another location [42 CFR 438-114(a)].

  

					
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	POTENTIAL ENROLLEE	  	A Medicaid-eligible recipient who is not yet enrolled with a Contractor [42 CFR 438.10(a)].
		
	PRIMARY CARE PROVIDER (PCP)	  	An individual who meets the requirements of A.R.S. §36-2901, and who is responsible for the management of the member’s health care. A PCP may be a physician defined as a person licensed as an allopathic or osteopathic
physician according to A.R.S. Title 32, Chapter 13 or Chapter 17, or a practitioner defined as a physician assistant licensed under A.R.S. Title 32, Chapter 25, or a certified nurse practitioner licensed under A.R.S. Title 32, Chapter 15.
		
	PRIOR PERIOD	  	See “PRIOR PERIOD COVERAGE.”
		
	PRIOR PERIOD COVERAGE (PPC)	  	The period of time prior to the member’s enrollment, during which a member is eligible for covered services. The timeframe is from the effective date of eligibility to the day a member is enrolled with a Contractor. Refer to 9
A.A.C. 22 Article 1.
		
	PROVIDER	  	Any person or entity that contracts with AHCCCS or a Contractor for the provision of covered services to members according to the provisions A.R.S. §36-2901 or any subcontractor of a provider delivering services pursuant to
A.R.S. §36-2901.
		
	PROVIDER GROUP	  	Two or more health care professionals who practice their profession at a common location (whether or not they share facilities, supporting staff, or equipment).
		
	 PRUDENT LAYPERSON
 (for purposes of
determining whether an emergency medical condition exists)
	  	A person without medical training who relies on the experience, knowledge and judgment of a reasonable person to make a decision regarding whether or not the absence of immediate medical attention will result in: 1) placing the
health of the individual in serious jeopardy, 2) serious impairment to bodily functions, or 3) serious dysfunction of a bodily part or organ.
		
	QUALIFIED MEDICARE BENEFICIARY DUAL ELIGIBLE (QMB DUAL)	  	A person determined eligible under Title 9 Chapter 29 Article 2 of A.A.C. for Qualified Medicare Beneficiary (QMB) and eligible for acute care services provided for in 9 A.A.C. 22 or ALTCS services provided for in 9 A.A.C. 28. A QMB
dual person receiving both Medicare and Medicaid services and cost sharing assistance.
		
	REFERRAL	  	A verbal, written, telephonic, electronic or in-person request for health services.

  

					
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	REGIONAL BEHAVIORAL HEALTH AUTHORITY (RBHA)	  	An organization under contract with the ADHS to administer covered behavioral health services in a geographically specific area of the state. Refer to A.R.S. §36-3401 and A.R.S. Title 9, Chapter 22,
Article 12.
		
	REINSURANCE	  	A risk-sharing program provided by AHCCCS to Contractors for the reimbursement of certain contract service costs incurred for a member beyond a predetermined monetary threshold.
		
	RELATED PARTY	  	A party that has, or may have, the ability to control or significantly influence a Contractor, or a party that is, or may be, controlled or significantly influenced by a Contractor. “Related parties” include, but are not
limited to, agents, managing employees, persons with an ownership or controlling interest in the Offeror and their immediate families, subcontractors, wholly-owned subsidiaries or suppliers, parent companies, sister companies, holding companies, and
other entities controlled or managed by any such entities or persons.
		
	REQUEST FOR PROPOSAL (RFP)	  	A RFP includes all documents, whether attached or incorporated by references that are used by the Administration for soliciting a proposal under 9 A.A.C. 22 Article 6.
		
	ROOM AND BOARD (or ROOM)	  	The amount paid for food and/or shelter. Medicaid funds can be expended for room and board when a person lives in an institutional setting (e.g. NF, ICF). Medicaid funds cannot be expended for room and board when a member resides in
an alternative residential setting (e.g. Assisted Living Home, Behavioral Health Residential Facilities) or an apartment like setting that may provide meals.
		
	SCOPE OF SERVICES	  	See “COVERED SERVICES.”
		
	SERVICE LEVEL AGREEMENT	  	A type of subcontract with a corporate owner or any of its Divisions or Subsidiaries that requires specific levels of service for administrative functions or services for the Contractor specifically related to fulfilling the
Contractor’s obligations to AHCCCS under the terms of this contract.
		
	SERVICE PLAN	  	A document that is developed consistent with applicable Evidence Based Practice Guidelines, which combines the various elements of treatment plans with needed family support services and care coordination activities to provide a map
of the steps to be taken for each member in achieving treatment and quality of life goals.

  

					
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	SPECIAL HEALTH CARE NEEDS	  	Serious or chronic physical, developmental and/or behavioral health conditions. Members with special health care needs require medically necessary services of a type or amount beyond that generally required by
members.
		
	SPECIALTY PHYSICIAN	  	A physician who is specially trained in a certain branch of medicine related to specific services or procedures, certain age categories of patients, certain body systems, or certain types of diseases.
		
	STATE	  	The State of Arizona.
		
	STATEWIDE	  	Of sufficient scope and breadth to address the health care service needs of members throughout the State of Arizona.
		
	STATE FISCAL YEAR	  	The budget year-State fiscal year: July 1 through June 30.
		
	STATE PLAN	  	The written agreements between the State and CMS, which describes how the AHCCCS program meets CMS requirements for participation in the Medicaid program and the State Children’s Health Insurance Program.
		
	SUBCONTRACT	  	An agreement entered into by the Contractor with any of the following: a provider of health care services who agrees to furnish covered services to member; or with any other organization or person who agrees to perform
any administrative function or service for the Contractor specifically related to fulfilling the Contractor’s obligations to AHCCCS under the terms of this contract, as defined in 9 A.A.C. 22 Article 1.
			
	SUBCONTRACTOR	  	1.	  	A provider of health care who agrees to furnish covered services to members.
			
		  	2.	  	A person, agency or organization with which the Contractor has contracted or delegated some of its management/administrative functions or responsibilities.
			
		  	3.	  	A person, agency or organization with which a fiscal agent has entered into a contract, agreement, purchase order or lease (or leases of real property) to obtain space, supplies equipment or services provided under the AHCCCS
agreement.
		
	SUPPLEMENTAL SECURITY INCOME (SSI) AND SSI RELATED GROUPS	  	Eligible individuals receiving income through Federal cash assistance programs under Title XVI of the Social Security Act who are aged, blind or disabled and have household income levels at or below 100% of the
FPL.

  

					
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	THIRD PARTY LIABILITY (TPL)	  	See “LIABLE PARTY.”
		
	TITLE XIX	  	Means Medicaid as defined in 42 U.S.C. 1396 et seq.
		
	TITLE XIX MEMBER	  	Title XIX members include those eligible under 1931 provisions of the Social Security Act (previously AFDC), Sixth Omnibus Budget Reconciliation Act (SOBRA), Supplemental Security Income (SSI) or SSI-related groups, Medicare Cost
Sharing groups, Title XIX Waiver groups, Breast and Cervical Cancer Treatment program, Title IV-E Foster Care and Adoption Subsidy, Young Adult Transitional Insurance, and Freedom to Work.
		
	TREATMENT	  	The range of health care received by a member that is consistent with the therapeutic goals.
		
	TRIBAL/REGIONAL BEHAVIORAL HEALTH AUTHORITY (T/RBHA)	  	An organization under contract with ADHS/DBHS that administers covered behavioral health services in a geographically specific area of the state. Tribal governments, through an agreement with ADHS, may operate a Tribal Regional
Behavioral Health Authority for the provision of behavioral health services to American Indian members.
		
	YEAR	  	See “CONTRACT YEAR.”

 [END OF PART 1 DEFINITIONS] 

  

					
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	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

 SECTION C: DEFINITIONS 

PART 2. DEFINITIONS PERTAINING TO ONE OR MORE AHCCCS CONTRACTS 
  

			
	1931 (also referred to as TANF related)	  	Eligible individuals and families under Section 1931 of the Social Security Act, with household income levels at or below 100% of the Federal Poverty Level (FPL).
		
		  	See also “TEMPORARY ASSISTANCE TO NEEDY FAMILIES (TANF).”
		
	ACUTE CARE ONLY (ACO)	  	ACO refers to the enrollment status of a member who is otherwise financially and medically eligible for ALTCS but who either 1) refuses HCBS offered by the case manager; 2) has made an uncompensated transfer that makes him or her
ineligible; 3) resides in a setting in which Long Term Care Services cannot be provided; or 4) has equity value in a home that exceeds $525,000. These ALTCS enrolled members are eligible to receive acute medical services but not eligible to receive
LTC institutional, alternative residential or HCBS.
		
	ADMINISTRATIVE OFFICE OF THE COURTS (AOC)	  	The Arizona Constitution authorizes an administrative director and staff to assist the Chief Justice with administrative duties. Under the direction of the Chief Justice, the administrative director and the staff of the
Administrative Office of the Courts (AOC) provide the necessary support for the supervision and administration of all State courts.
		
	AGENT	  	Any person who has been delegated the authority to obligate or act on behalf of another person or entity.
		
	AHCCCS BENEFITS	  	See “Section D, Scope of Services”.
		
	AHCCCS CARE	  	Eligible individuals and childless adults whose income is less than or equal to 100% of the FPL, and who are not categorically linked to another Title XIX program. Also known as Childless Adults (Formerly Non-MED).
		
		  	See also “Title XIX WAIVER GROUP MEMEBR.”
		
	AID FOR FAMILIES WITH DEPENDENT CHILDREN (AFDC)	  	See “TEMPORARY ASSISTANCE TO NEEDY FAMILIES (TANF).”
		
	AMBULATORY CARE	  	Preventive, diagnostic and treatment services provided on an outpatient basis by physicians, nurse practitioners physician assistants and other health care providers.

  

					
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	ANNIVERSARY DATE	  	The anniversary date is 12 months from the date the member enrolled with the Contractor and annually thereafter. In some cases, the anniversary date will change based on the last date the member changed Contractors or the last date
the member was given an opportunity to change.
		
	ANNUAL ENROLLMENT CHOICE (AEC)	  	The opportunity for a person to change Contractors every 12 months; effective on their anniversary date.
		
	ARIZONA DEPARTMENT OF JUVENILE CORRECTION (ADJC)	  	Arizona Department of Juvenile Correction.
		
	BED HOLD	  	A 24 hour per day unit of service that is authorized by an ALTCS member’s case manager or the behavioral health case manager or a subcontractor for an acute care member, which may be billed despite the member’s absence
from the facility. Refer to the Arizona Medicaid State Plan, 42 C.F.R. §§447.40 and 483.12, and 9 A.A.C. 28 for more information on the bed hold service.
		
	BEHAVIORAL HEALTH MEDICAL PRACTITIONER	  	A medical practitioner, i.e., a physician, physician assistant, nurse practitioner, with one year of full-time behavioral health experience as specified in A.A.C. Title 9, Chapter 22, Article 12.
		
	BEHAVIORAL HEALTH PARAPROFESSIONAL	  	A staff member of a licensed behavioral health service agency as specified in A.A.C. Title 9, Chapter 10.
		
	BEHAVIORAL HEALTH TECHNICIAN	  	A staff member of a licensed behavioral health service agency as specified in A.A.C. Title 9, Chapter 10.
		
	BREAST AND CERVICAL CANCER TREATMENT PROGRAM (BCCTP)	  	Eligible individuals under the Title XIX expansion program for women with income up to 250% of the FPL, who are diagnosed with and need treatment for breast and/or cervical cancer or cervical lesions and are not eligible for other
Title XIX programs providing full Title XIX services. Qualifying individuals cannot have other creditable health insurance coverage, including Medicare.
		
	CASH MANAGEMENT IMPROVEMENT ACT (CMIA)	  	Cash Management Improvement Act of 1990 [31 CFR Part 205]. Provides guidelines for the drawdown and transfer of Federal funds.

  

					
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	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	CHILD PROTECTIVE SERVICES (CPS)	  	Child Protective Services (CPS) is a program mandated under ARS §8-802 for the protection of children alleged to be abused and neglected. This program provides specialized welfare services that seek to prevent dependency, abuse
and neglect of children. The Child Protective Services program receives, screens and investigates allegations of child abuse and neglect, performs assessments of child safety, assesses the imminent risk of harm to the children and evaluates
conditions that support or refute the alleged abuse or neglect and need for emergency intervention. This program also provides services designed to stabilize a family in crisis and to preserve the family unit by reducing safety and risk
factors.
		
	CHILDREN’S REHABILITATIVE SERVICES (CRS)	  	A program that provides medical treatment, rehabilitation, and related support services to Title XIX and Title XXI members who have completed the CRS application and have met the eligibility criteria to receive CRS-related
services as specified in 9 A.A.C. 22.
		
	CLIENT ASSESSMENT AND TRACKING SYSTEM (CATS)	  	A component of AHCCCS’ data management information system that supports ALTCS and that is designed to provide key information to, and receive key information from DES/DDD.
		
	COMPREHENSIVE MEDICAL AND DENTAL PROGRAM (CMDP)	  	A Contractor that is responsible for the provision of covered, medically necessary AHCCCS services for foster children in Arizona. Refer to A.R.S. §8-512.
		
	COMPETITIVE BID PROCESS	  	A state procurement system used to select Contractors to provide covered services on a geographic basis.
		
	COUNTY OF FISCAL RESPONSIBILITY	  	The county of fiscal responsibility is the Arizona county that is responsible for paying the state’s funding match for the member’s ALTCS Service Package. The county of physical presence (the county in which the member
physically resides) and the county of fiscal responsibility may be the same county or different counties.
		
	CRS-ELIGIBLE	  	An individual AHCCCS member who has completed the CRS application process, as delineated in the CRS Policy and Procedure Manual, and has met all applicable criteria to be eligible to receive CRS-related services as specified in 9
A.A.C. 22.
		
	CRS RECIPIENT	  	An individual who has completed the CRS application process, and has met all applicable criteria to be eligible to receive CRS related covered Services.
		
	DEPARTMENT OF ECONOMIC SECURITY (DES)	  	Department of Economic Security.

  

					
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	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	DEVELOPMENTALLY/IN TELLECTUALLY DISABLED (DD)	  	A member who meets the Arizona definition as outlined in A.R.S. §36-551 and is determined eligible for services through the DES Division of Developmental Disabilities (DDD). AHCCCS-enrolled acute and long term care members with
developmental/intellectual disabilities are managed through the DES Division of Developmental Disabilities.
		
	DIVISION OF CHILDREN, YOUTH, and FAMILIES (DCYF)	  	The Division of Children, Youth and Families within DES.
		
	FAMILY-CENTERED	  	Care that recognizes and respects the pivotal role of the family in the lives of members. It supports families in their natural care-giving roles, promotes normal patterns of living, and ensures family collaboration and choice in
the provision of services to the member.
		
	FAMILY OR FAMILY MEMBER	  	A biological, adoptive, or custodial mother or father of a child, or an individual who has been appointed as a legal guardian or custodian of a child by a court of competent jurisdiction, or other member representative responsible
for making health care decisions on behalf of the member. Family members may also include siblings, grandparents, aunts and uncles.
		
	FEDERAL EMERGENCY SERVICES (FES)	  	A program delineated in R9-22-217, to treat an emergency condition for a member who is determined eligible under A.R.S. §36-2903.03(D).
		
	FEDERALLY QUALIFIED HEALTH CENTER (FQHC)	  	A public or private non-profit health care organization that has been identified by the HRSA and certified by CMS as meeting criteria under Sections 1861(aa)(4) and 1905(1)(B) of the Social Security Act and received funds under
Section 330 of the Public Health Service Act.
		
	FEDERALLY QUALIFIED HEALTH CENTER LOOK-ALIKE	  	A public or private non-profit health care organization that has been identified by the HRSA and certified by CMS as meeting the definition of “health center” under Section 330 of the Public Health Service Act, but does
not receive grant funding under Section 330.
		
	FIELD CLINIC	  	A “clinic” consisting of single specialty health care providers who travel to health care delivery settings closer to members and their families than the Multi-Specialty Interdisciplinary Clinics (MSICs) to provide a
specific set of services including evaluation, monitoring, and treatment for CRS-related conditions on a periodic basis.

  

					
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	FREEDOM OF CHOICE (FC)	  	The opportunity given to each member who does not specify a Contractor preference at the time of enrollment to choose between the Contractors available within the Geographic Service Area (GSA) in which the member is
enrolled.
		
	HOME	  	A residential dwelling that is owned, rented, leased, or occupied at no cost to the member, including a house, a mobile home, an apartment or other similar shelter. A home is not a facility, a setting or an institution, or a portion
and any of these, licensed or certified by a regulatory agency of the state as a defined in R9-28-101.
		
	HOME AND COMMUNITY BASED SERVICES (HCBS)	  	Home and community-based services, as defined in A.R.S. §36-2931 and §36-2939.
		
	INTEGRATED MEDICAL RECORD	  	A single document in which all of the medical information listed in Chapter 900 of the AMPM is recorded to facilitate the coordination and quality of care delivered by multiple providers serving a single patient in multiple
locations and at varying times.
		
	INTEGRATED REGIONAL BEHAVIORAL HEALTH AUTHORITY (INTEGRATED RBHA)	  	Organization or entity contracted with ADHS to provide, manage and coordinate all medically necessary behavioral healthcare services either directly or through subcontracts with providers for Title XIX eligible adults. In addition,
the organization provides, manages and coordinates all medically necessary physical health services for individuals with Serious Mental Illness.
		
	INTERDISCIPLINARY CARE	  	A meeting of the interdisciplinary team members or coordination of care among interdisciplinary treatment team members to address the totality of the treatment and service plans for the member based on the most current information
available.
		
	INTERMEDIATE CARE FACILITY FOR PERSONS WITH INTELLECTUAL DISABILITIES (ICF)	  	A placement setting for persons with intellectual disabilities.
		
	JUVENILE PROBATION OFFICE (JPO)	  	Juvenile Probation Office.

  

					
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	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	KIDSCARE	  	Federal and State Children’s Health Insurance Program (Title XXI – CHIP) administered by AHCCCS. The KidsCare I program offers comprehensive medical, preventive, treatment services, and behavioral health care services
statewide to eligible children under the age of 19, in households with income at or below 200% Federal Poverty Level (FPL). The KidsCare II program has the same benefits and premium requirements as KidsCare I, however household income limits cannot
be greater than 175% FPL.
		
	MEDICARE MANAGED CARE PLAN	  	A managed care entity that has a Medicare contract with CMS to provide services to Medicare beneficiaries, including Medicare Advantage Plan (MAP), Medicare Advantage Prescription Drug Plan (MAPDP), MAPDP Special Needs Plan, or
Medicare Prescription Drug Plan.
		
	MULTI-SPECIALTY INTERDISCIPLINARY CLINIC (MSIC)	  	An established facility where specialists from multiple specialties meet with members and their families for the purpose of providing interdisciplinary services to treat members.
		
	NON-MEDICAL EXPENSE DEDUCTION (FORMERLY NON-MED) MEMBER	  	See “AHCCCS CARE.”
		
	PRE-ADMISSION SCREENING (PAS)	  	A process of determining an individual’s risk of institutionalization at a NF or ICF level of care as specified in 9 A.A.C. 28 Article 1.
		
	RATE CODE	  	Eligibility classification for capitation payment purposes.
		
	RISK GROUP	  	Grouping of rate codes that are paid at the same capitation rate.
		
	ROSTER BILLING	  	Any claim that does not meet the standardized claim requirements of 9 A.A.C. 22, Article 7 is considered roster billing.
		
	RURAL HEALTH CLINIC (RHC)	  	A clinic located in an area designated by the Bureau of Census as rural, and by the Secretary of the DHHS as medically underserved or having an insufficient number of physicians, which meets the requirements under 42 CFR
491.
		
	SERIOUSLY MENTALLY ILL (SMI)	  	A person 18 years of age or older who is seriously mentally ill as defined in A.R.S. §36-550.

  

					
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	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	SIXTH OMNIBUS BUDGET AND RECONCILATION ACT (SOBRA)	  	Eligible pregnant women under Section 9401 of the Sixth Omnibus Budget and Reconciliation Act of 1986, amended by the Medicare Catastrophic Coverage Act of 1988, 42 U.S.C. 1396(a)(10)(A)(ii)(IX), November 5, 1990, with
individually budgeted incomes at or below 150% of the FPL, and children in families with individually budgeted incomes ranging from below 100% to 140% of the FPL, depending on the age of the child.
		
	SOBRA FAMILY PLANNING EXTENSION PROGRAM	  	A program that provides family planning services only, for a maximum of two consecutive 12-month periods to a SOBRA woman whose pregnancy has ended and who is not otherwise eligible for full Title XIX services (Also referred to as
Family Planning Services Extension Program).
		
	STATE CHILDREN’S HEALTH INSURANCE PROGRAM (SCHIP)	  	State Children’s Health Insurance Program under Title XXI of the Social Security Act (Also known as CHIP). The Arizona version of CHIP is referred to as “KidsCare.” See also “KIDSCARE.”
		
	STATE ONLY TRANSPLANT MEMBERS	  	Individuals who are eligible under one of the Title XIX eligibility categories and found eligible for a transplant, but subsequently lose Title XIX eligibility due to excess income become eligible for one of two extended eligibility
options as specified in A.R.S. §36-2907.10 and A.R.S. §36-2907.11.
		
	SUBSTANCE ABUSE	  	The chronic, habitual, or compulsive use of any chemical matter which, when introduced into the body, is capable of altering human behavior or mental functioning and, with extended use, may cause psychological dependence and
impaired mental, social or educational functioning. Nicotine addiction is not considered substance abuse.
		
	TELEMEDICINE	  	The practice of health care delivery, diagnosis, consultation and treatment and the transfer of medical data through interactive audio, video or data communications that occur in the physical presence of the patient, including audio
or video communications sent to a health care provider for diagnostic or treatment consultation. Refer to A.R.S. §36-3601.
		
	TEMPORARY ASSISTANCE TO NEEDY FAMILIES (TANF)	  	A Federal cash assistance program under Title IV of the Social Security Act established by the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (P.L. 104-193). It replaced Aid To Families With Dependent
Children (AFDC).
		
	TITLE XIX WAIVER GROUP MEMBER	  	Eligible individuals and couples whose income is at or below 100% of the Federal Poverty Level who are not categorically linked to another Title XIX program. Formerly known as Non-MED members.
		
		  	See also “AHCCCS CARE.”

  

					
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	SECTION C: DEFINITIONS	  	Contract No. YH14-0001

  

 
  

			
	TITLE XXI MEMBER	  	Member eligible for acute care services under Title XXI of the Social Security Act, referred to in Federal legislation as the “Children’s Health Insurance Program” (CHIP ). The Arizona version of CHIP is referred to
as “KidsCare.”
		
	TRANSITION PLAN	  	A plan developed for each member in accordance with AHCCCS Policy, which includes developmentally-appropriate strategies to transition from a pediatric to an Adult system of health care and a plan that addresses changing work,
education, recreation and social needs.
		
	TREATMENT PLAN	  	A written plan of services and therapeutic interventions based on a complete assessment of a member’s developmental and health status, strengths and needs that are designed and periodically updated by the multi-specialty,
interdisciplinary team.
		
	VIRTUAL CLINICS	  	Integrated services provided in community settings through the use of innovative strategies for care coordination such as Telemedicine, integrated medical records and virtual interdisciplinary treatment team meetings.

 [END OF PART 2 DEFINITIONS] 

[END OF SECTION C] 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 SECTION D: ACUTE CARE PROGRAM REQUIREMENTS 

 

	1.	PURPOSE, APPLICABILITY, AND INTRODUCTION 

 PURPOSE AND APPLICABILITY 

The purpose of the contract between AHCCCS and the Contractor is to implement and operate the Arizona Acute Care Program pursuant to A.R.S. §36-2901 et
seq. 
 In the event that a provision of Federal or State law, regulation, or policy is repealed or modified during the term of this contract, effective on
the date the repeal or modification by its own terms takes effect: 
  

	 	1.	The provisions of this contract shall be deemed to have been amended to incorporate the repeal or modification; and 

  

	 	2.	The Contractor shall comply with the requirements of the contract as amended, unless AHCCCS and the Contractor otherwise stipulate in writing. 

INTRODUCTION 
 AHCCCS Mission and Vision

 AHCCCS’ mission and vision are to reach across Arizona to provide comprehensive quality healthcare to those in need while shaping tomorrow’s
managed health care from today’s experience, quality and innovation. AHCCCS is dedicated to continuously improving the efficiency and effectiveness of the Acute Care Program while supporting member choice in the delivery of the highest quality
care to its customers. 
 AHCCCS expects the Contractor to implement program innovation and best practices on an ongoing basis. Furthermore, it is important
for the Contractor to continuously develop mechanisms to reduce administrative cost and improve program efficiency. Over the term of the contract, AHCCCS will work collaboratively with the Contractor to evaluate ways to reduce program complexity,
improve care coordination and chronic disease management, reduce administrative burdens, leverage joint purchasing power, and reduce unnecessary administrative and medical costs. 

AHCCCS has remained a leader in Medicaid Managed Care through the diligent pursuit of excellence and cost effective managed care by its collaboration with
Contractors. 
 The Contractor must continue to add value to the program. A Contractor adds value when it: 

 

	•	 	Recognizes that Medicaid members are entitled to care and assistance navigating the service delivery system and demonstrates special effort throughout its operations to assure members receive necessary services.

  

	•	 	Recognizes that Medicaid members with special health care needs or chronic health conditions require care coordination, and provides that coordination. 

 

	•	 	Recognizes that health care providers are an essential partner in the delivery of health care services, and operates the Health Plan in a manner that is efficient and effective for health care providers as well as the
Contractor. 

  

	•	 	Recognizes that performance improvement is both clinical and operational in nature and self-monitors and self-corrects as necessary to improve contract compliance or operational excellence. 

 

	•	 	Recognizes that the program is publicly funded, is subject to public scrutiny, and operates in a manner consistent with the public trust. 

The Acute Care Program 
 In 1982 Arizona introduced its
innovative Medicaid program by establishing the Arizona Health Care Cost Containment System (AHCCCS), a demonstration program based on principles of managed care. In doing so, AHCCCS became the first statewide Medicaid managed care system in the
nation. As of October 1, 2012, AHCCCS, through its Managed Care Organizations (MCOs) serves 1,062,361 members under the Acute Care Program. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 AHCCCS contracts for acute care services in seven geographic service areas that include the 15 Arizona
counties. Contractors are responsible for coordinating, managing and providing acute care services to members and coordinating carved out behavioral health services delivered by the Regional Behavioral Health Authorities through the Arizona
Department of Health Services. 
 Additional information may be obtained by visiting the AHCCCS website: www.azahcccs.gov. 

 

	2.	ELIGIBILITY CATEGORIES 

 AHCCCS is Arizona’s Title XIX Medicaid program operating under an 1115
Waiver and Title XXI program operating under Title XXI State Plan authority. Arizona has the authority to require mandatory enrollment in managed care. All Acute Care Program members eligible for AHCCCS benefits, with exceptions as identified below,
are enrolled with acute care Contractors that are paid on a capitated basis. AHCCCS pays for health care expenses on a fee-for-service (FFS) basis for Title XIX- and Title XXI- eligible members who receive services through the American Indian Health
Program; for Title XIX eligible members who are entitled to emergency services under the Federal Emergency Services (FES) program; and for Medicare cost sharing beneficiaries under the QMB-Only program. 

The following describes the eligibility groups enrolled in the managed care program and covered under this contract [42 CFR 434.6(a)(2)]: 

Title XIX 
 1931 (Also referred to
as TANF-related): Eligible individuals and families under the 1931 provision of the Social Security Act, with income at or below 100% of the FPL. 

SSI Cash: Eligible individuals receiving Supplemental Security Income through Federal cash assistance programs under Title XVI of
the Social Security Act who are aged, blind or disabled and have income at or below 100% of the Federal Benefit Rate (FBR). 
 SSI
Medical Assistance Only (SSI MAO) and Related Groups: Eligible individuals who are aged, blind or disabled and have household income levels at or below 100% of the FPL. 

Freedom to Work (Ticket to Work): Eligible individuals under the Title XIX program that extends eligibility to individuals
16 through 64 years old who meet SSI disability criteria, and whose earned income after allowable deductions is at or below 250% of the FPL, and who are not eligible for any other Medicaid program. These members must pay a premium to AHCCCS,
depending on income. 
 SOBRA: Under the Sixth Omnibus Budget Reconciliation Act of 1986, eligible pregnant women, with income
at or below 150% of the FPL, and children with individually budgeted incomes ranging from below 100% to 140% of the FPL, depending on the age of the child. 

SOBRA Family Planning: Family Planning Extension Program that covers the costs for family planning services only, for a maximum
of two consecutive 12-month periods following the loss of SOBRA eligibility. 
 Breast and Cervical Cancer Treatment Program
(BCCTP): Eligible individuals under the Title XIX expansion program for women with incomes at or below 250% of the FPL, who are diagnosed with and need treatment for breast and/or cervical cancer or cervical lesions and are not eligible for
other Title XIX programs. Eligible members cannot have other creditable health insurance coverage, including Medicare. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 Title IV-E Foster Care and Adoption Subsidy: Children who are in State foster
care or are receiving Federally funded adoption subsidy payments. 
 Young Adult Transitional Insurance (YATI): Individuals age
18 through age 21 who choose to remain enrolled in the foster care program under jurisdiction of Department of Economic Security (DES) Division of Children Youth and Families (DCYF) in Arizona on their 18th birthday or are in the DCYF Young Adults
Program. 
 Title XIX Waiver Group 

AHCCCS Care (also known as Childless Adults): Eligible individuals and couples whose income is at or below 100% of the FPL, and
who are not categorically linked to another Title XIX program. Formerly known as Non-MED members. 
 Title XXI 

KidsCare: Federal and State Children’s Health Insurance Program (Title XXI – CHIP) administered by AHCCCS. The KidsCare I
program offers comprehensive medical, preventive, treatment services, and behavioral health care services statewide to eligible children under the age of 19, in households with income at or below 200% Federal Poverty Level (FPL). The KidsCare II
program has the same benefits and premium requirements as KidsCare I, however household income limits cannot be greater than 175% FPL. 
 State-Only

 State-Only Transplants: Title XIX individuals, for whom medical necessity for a transplant has been established and who
subsequently lose Title XIX eligibility may become eligible for and select one of two extended eligibility options as specified in A.R.S. §36-2907.10 and A.R.S. §36-2907.11. The extended eligibility is authorized only for those individuals
who have met all of the following conditions:  
  

	 	1.	The individual has been determined ineligible for Title XIX due to excess income; 

  

	 	2.	The individual had been placed on a donor waiting list before eligibility expired; and 

  

	 	3.	The individual has entered into a contractual arrangement with the transplant facility to pay the amount of income which is in excess of the eligibility income standards (referred to as transplant share of cost).

 The following options for extended eligibility are available to these members: 

Option 1: Extended eligibility is for one 12-month period immediately following the loss of AHCCCS eligibility. The member is eligible
for all AHCCCS covered services as long as they continue to be medically eligible for a transplant. If determined medically ineligible for a transplant at any time during the period, eligibility will terminate at the end of the calendar month in
which the determination is made. 
 Option 2: The member loses AHCCCS eligibility but maintains transplant candidacy status as long as
medical eligibility for a transplant is maintained. At the time that the transplant is scheduled to be performed the transplant candidate will reapply and will be re-enrolled with his/her previous Contractor to receive all covered transplant
services. Option 2-eligible individuals are not eligible for any non-transplant related health care services from AHCCCS. 
 Eligibility for the various
AHCCCS coverage groups is determined by one of the following agencies: 
  

			
	Social Security Administration (SSA)	  	SSA determines eligibility for the Supplemental Security Income (SSI) cash program. SSI cash recipients are automatically eligible for AHCCCS coverage.
		
	Department of Economic Security (DES)	  	DES determines eligibility for families with children under section 1931 of the Social Security Act, pregnant women and

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

			
		  	children under SOBRA, the Adoption Subsidy Program, Title IV-E foster care children, Young Adult Transitional Insurance Program, and Title XIX Waiver Members (AHCCCS Care).
		
	AHCCCS	  	AHCCCS determines eligibility for the SSI-Medical Assistance Only (SSI-MAO) groups, the Arizona Long Term Care System (ALTCS), the Children’s Rehabilitative Services (CRS), the Medicare Savings Programs, BCCTP, the Freedom
to Work program, the Title XXI KidsCare program, and the State-Only Transplant program.

  

	3.	ENROLLMENT AND DISENROLLMENT 

 AHCCCS Acute Care members are enrolled with the Contractor in accordance
with the rules set forth in 9 A.A.C. 22 Article 17, and 9 A.A.C. 31 Articles 3 and 17. AHCCCS has the exclusive authority to enroll and disenroll members. The Contractor shall not disenroll any member for any reason unless directed to do so by
AHCCCS [42 CFR 438.56(d)(5)(iii)]. The Contractor may request AHCCCS to change the member’s enrollment in accordance with the ACOM Policy 401. The Contractor may not request disenrollment because of an adverse change in the enrollee’s
health status, nor because of the enrollee’s utilization of medical services, diminished mental capacity, or uncooperative or disruptive behavior resulting from his or her special needs. An AHCCCS member may request disenrollment from the
Contractor for cause at any time. Please refer to ACOM Policy 401. 
 AHCCCS will disenroll the member from the Contractor when: 

 

	 	•	 	The member becomes ineligible for the AHCCCS program; 

  

	 	•	 	In limited situations when the member moves out of the Contractor’s service areas; 

  

	 	•	 	The member changes Contractors during the member’s open enrollment/annual enrollment choice period; 

  

	 	•	 	The Contractor does not, because of moral or religious objections, cover the service the member seeks unless the Contractor offered a solution that was accepted by AHCCCS in accordance with the requirements in Section
D, Paragraph 10, Scope of Services; 

  

	 	•	 	The member is approved for a Contractor change through the ACOM Policy 401 [42 CFR 438.56]; or 

  

	 	•	 	The member is eligible to transition to another AHCCCS program. 

 Members may submit plan change requests to
the Contractor or AHCCCS. A denial of any plan change request must include a description of the member’s right to appeal the denial. 
 Member
Choice of Contractor: AHCCCS members eligible for services covered under this contract have a choice of available Contractors, except those populations described below. 

 

	a.	Previously enrolled members who have been disenrolled for less than 90 days will be automatically enrolled with the same Contractor, if still available. 

 

	b.	Women who become eligible for the SOBRA Family Planning Extension Program will remain assigned to their current Contractor. 

  

	c.	Members residing in a Geographic Service Area where only one Contractor is available will be automatically enrolled with that Contractor and will be given a choice of PCPs. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 AHCCCS members eligible under this contract who become eligible for another AHCCCS program will be enrolled
as follows: 
  

	a.	Members eligible for Children’s Rehabilitative Services will be enrolled in the statewide integrated Contractor, unless they choose to use private insurance for the CRS covered condition. 

 

	b.	Adult members in Maricopa County with Serious Mental Illness will be enrolled in the Maricopa Integrated RBHA (upon implementation). 

 

	c.	Children in State custody will be enrolled in CMDP. 

 Members who do not choose a Contractor prior to AHCCCS
being notified of their eligibility are automatically assigned to a Contractor based on re-enrollment rules, family continuity, or the auto-assignment algorithm. If a member is auto-assigned, AHCCCS sends a Choice Notice to the member and allows the
member 30 days to choose a different Contractor. See Section D, Paragraph 6, Auto-Assignment Algorithm, for further explanation. 
 The effective date of
enrollment for a new Title XIX member with the Contractor is the day AHCCCS takes the enrollment action. The Contractor is responsible for payment of medically necessary covered services retroactive to the member’s beginning date of
eligibility, as reflected in PMMIS. 
 The effective date of enrollment for a Title XXI member will be the first day of the month following notification to
the Contractor. In the event that eligibility is determined on or after the 25th day of the month, eligibility will begin on the first day of the second month following the determination. 

Prior Period Coverage: AHCCCS provides prior period coverage for the period of time prior to the Title XIX member’s enrollment
during which the member is eligible for covered services. Prior Period Coverage refers to the time frame from the effective date of eligibility to the day the member is enrolled with the Contractor. The Contractor receives notification from AHCCCS
of the member’s enrollment. The Contractor is responsible for payment of all claims for medically necessary covered services, excluding most behavioral health services, provided to members during prior period coverage. This may include services
provided prior to the contract year and in a Geographic Service Area where the Contractor was not contracted at the time of service delivery. 

Newborns: Newborns born to AHCCCS eligible mothers enrolled at the time of the child’s birth will be enrolled with the mother’s
Contractor (except as noted in the following paragraph), when newborn notification is received by AHCCCS. The Contractor is responsible for notifying AHCCCS of a child’s birth to an enrolled member. Capitation for the newborn will be
retroactive to the date of birth if notification is received no later than one day from the date of birth. In all other circumstances, capitation for the newborn will begin on the date notification is received by AHCCCS. The effective date of AHCCCS
eligibility for the newborn will be the newborn’s date of birth, and the Contractor is responsible for all covered services to the newborn, whether or not AHCCCS has received notification of the child’s birth. AHCCCS is available to
receive notification 24 hours a day, seven days a week via the AHCCCS website. Each eligible mother of a newborn is sent a Choice notice advising her of her right to choose a different Contractor for her child; the date of the change will be the
date of processing the request from the mother. If the mother does not request a change within 30 days, the child will remain with the mother’s Contractor. 

Babies born to mothers enrolled in the Federal Emergency Services program (FES), the Integrated RBHA (upon implementation), CRS, or CMDP are auto-assigned to
a Contractor. Mothers of these newborns are sent a Choice Notice advising them of their right to choose a different Contractor for their children, which allows them 30 days to make a choice. In the event the mother chooses a different Contractor,
AHCCCS will recoup all capitation paid to the originally assigned Contractor and the baby will be enrolled retroactive to the date of birth with the second Contractor. The second Contractor will receive prior period capitation from the date of birth
to the day before assignment and prospective capitation from the date of assignment forward. The second Contractor will be responsible for all covered services to the newborn from date of birth. 

Enrollment Guarantees: Upon initial capitated enrollment as a Title XIX-eligible member, the member is guaranteed a minimum of five full months
of continuous enrollment. Upon initial capitated enrollment as a Title XXI-eligible member, the member is guaranteed a minimum of 12 full months of continuous enrollment. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 The enrollment guarantee is a one-time benefit. If a member changes from one Contractor to another within the
enrollment guarantee period, the remainder of the guarantee period applies to the new Contractor. AHCCCS rules at 9 A.A.C 22 Article 17, and 9 A.A.C. 31 Article 3, describe other reasons for which the enrollment guarantee may not apply. 

American Indians: American Indians, on- or off-reservation, may choose to receive services from Indian Health Service (IHS), a 638 tribal
facility or any available Contractor. If a choice is not made prior to AHCCCS being notified of their eligibility, American Indian Title XIX members living on-reservation will be assigned to the AHCCCS American Indian Health Program (AIHP) as FFS
members. American Indian Title XIX members living off-reservation who do not make a Contractor choice will be assigned to an available Contractor using the AHCCCS protocol for family continuity and the auto-assignment algorithm. The designation of a
zip code as a ‘reservation zip code’, not the physical location of the residence, is the factor that determines whether a member is considered on or off-reservation for these purposes. Further, if the member resides in a zip code that
contains land on both sides of a reservation boundary and the zip code is assigned as off-reservation, the physical location of the residence does not change the off-reservation designation for the member. American Indian Title XXI members may
change from AHCCCS AIHP FFS to a Contractor or from a Contractor to AHCCCS AIHP FFS at any time. 
  

	4.	ANNUAL AND OPEN ENROLLMENT CHOICE 

 AHCCCS conducts an Annual Enrollment Choice (AEC) for members on
their annual anniversary date [42 CFR 438.56(c)(2)(ii)]. During AEC, members may change Contractors subject to the availability of other Contractors within their GSA. AHCCCS provides enrollment and other information required by Medicaid Managed Care
Regulations 60 days prior to the member’s AEC date. The member may choose a new Contractor by contacting AHCCCS to complete the enrollment process. If the member does not participate in the AEC, no change of Contractor will be made (except for
approved changes under the ACOM Policy 401) during the new anniversary year. This holds true if a Contractor’s contract is renewed and the member continues to live in a Contractor’s service area. The Contractor shall comply with the ACOM
Policy 402, and the AMPM. 
 AHCCCS may hold an open enrollment in any GSA or combination of GSAs as deemed necessary. 

 

	5.	RESERVED 

  

	6.	AUTO-ASSIGNMENT ALGORITHM 

 Members who do not exercise their right to choose and do not have family
continuity are assigned to a Contractor through an auto-assignment algorithm. The algorithm is a mathematical formula used to distribute members to the various Contractors in a manner that is predictable and consistent with AHCCCS goals. 

Assignment by the algorithm applies to the following members who do not exercise their right to choose a Contractor within the prescribed time limits: 

 

	1.	New members and members re-enrolling outside the 90-day re-enrollment window. 

  

	2.	Members enrolled with a Contractor that is not available after the member moves to a new geographic service area (GSA). 

  

	3.	Infants born to a mother who is enrolled with the Maricopa County Integrated RBHA (upon implementation) and diagnosed as Seriously Mentally Ill (SMI) and who has no family continuity with an AHCCCS Acute Care Contractor
in Maricopa County. 

  

	4.	Members who were enrolled with the Maricopa County Integrated RBHA (upon implementation) and diagnosed as SMI but who have been determined to no longer qualify as SMI and who do not have family continuity with an AHCCCS
Acute Care Contractor in Maricopa County. 

  

	5.	Members who are disenrolled from the CRS Contractor and who do not have family continuity with an AHCCCS Acute Care Contractor. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 Once auto-assigned, AHCCCS sends a Choice notice to the member, allowing the member 30 days to choose a
different Contractor from the auto-assigned Contractor. 
 AHCCCS may change the algorithm at any time during the term of the contract in response to
Contractor-specific issues (e.g. imposition of an enrollment cap) or in the best interest of the AHCCCS Program and/or the State. 
 Maximum
Enrollment: A Contractor in Maricopa or Pima County will no longer be eligible for auto assignment of members once the Contractor’s membership reaches 45% of the County’s total enrollment. Member choices will not be impacted by the
auto assignment algorithm freeze. 
 For further details on the AHCCCS Auto-Assignment Algorithm, refer to ACOM Policy 314. 

 

	7.	AHCCCS MEMBER IDENTIFICATION CARDS 

 The Contractor is responsible for the production, distribution and
costs of AHCCCS member identification cards and the AHCCCS Notice of Privacy Practices in accordance with ACOM Policy 433. See also Attachment F3, Contractor Chart of Deliverables. 

 

	8.	MAINSTREAMING OF AHCCCS MEMBERS 

 To ensure mainstreaming of AHCCCS members, the Contractor shall take
affirmative action so that members are provided covered services without regard to payer source, race, color, creed, gender, religion, age, national origin (to include those with limited English proficiency), ancestry, marital status, sexual
preference, genetic information, or physical or mental illnesses. The Contractor must take into account a member’s literacy and culture when addressing members and their concerns, and must take reasonable steps to ensure subcontractors to do
the same. The Contractor must also make interpreters, including assistance for the visual- or hearing-impaired, available to members at no cost to ensure appropriate delivery of covered services. 

Examples of prohibited practices include, but are not limited to, the following, in accordance with 42 CFR 438.6(f): 

 

	a.	Denying or not providing a member any covered service or access to an available facility; 

  

	b.	Providing to a member any medically necessary covered service which is different, or is provided in a different manner or at a different time from that provided to other members, other public or private patients or the
public at large, except where medically necessary; 

  

	c.	Subjecting a member to segregation or separate treatment in any manner related to the receipt of any covered service; restricting a member in any way in his or her enjoyment of any advantage or privilege enjoyed by
others receiving any covered service; and 

  

	d.	Assigning times or places for the provision of services on the basis of the race, color, creed, religion, age, gender, national origin, ancestry, marital status, sexual preference, income status, AHCCCS membership, or
physical or mental illnesses of the participants to be served. 

 If the Contractor knowingly executes a subcontract with a provider with the
intent of allowing or permitting the subcontractor to implement barriers to care (i.e. the terms of the subcontract act to discourage the full utilization of services by some members) the Contractor will be in default of its contract. 

If the Contractor identifies a problem involving discrimination by one of its providers, it shall promptly intervene and require a corrective action plan from
the provider. Failure to take prompt corrective measures may place the Contractor in default of its contract. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

	9.	TRANSITION ACTIVITIES 

 Member Transition: The Contractor shall comply with the AMPM and
the ACOM standards for member transitions between Contractors or Geographical Service Areas (GSAs), Children’s Rehabilitative Services (CRS), the Comprehensive Medical and Dental Program (CMDP), or to the Arizona Long Term Care System (ALTCS)
Contractor, and upon termination or expiration of a contract. The Contractor shall develop and implement policies and procedures which include but are not limited to: 
  

	a.	Members with significant medical conditions such as, a high-risk pregnancy or pregnancy within the last trimester, the need for organ or tissue transplantation, chronic illness resulting in hospitalization or nursing
facility placement, etc.; 

  

	b.	Members who are receiving ongoing services such as dialysis, home health, chemotherapy and/or radiation therapy, or who are hospitalized at the time of transition; 

 

	c.	Members who have conditions requiring ongoing monitoring or screening such as elevated blood lead levels and members who were in the Neonatal Intensive Care Unit (NICU) after birth; 

 

	d.	Members who frequently contact AHCCCS, State and local officials, the Governor’s Office and/or the media; 

  

	e.	Members who have received prior authorization for services such as scheduled surgeries, post-surgical follow-up visits, out-of-area specialty services, or nursing home admission; 

 

	f.	Continuing prescriptions, Durable Medical Equipment (DME) and medically necessary transportation ordered for the transitioning member by the relinquishing Contractor; and 

 

	g.	Medical records of the transitioning member (the cost, if any, of reproducing and forwarding medical records shall be the responsibility of the relinquishing AHCCCS Contractor). 

The Contractor shall designate a person with appropriate training and experience to act as the Transition Coordinator. This staff person shall interact
closely with the AHCCCS transition staff and staff from other Contractors to ensure a safe, timely, and orderly transition. 
 A new Contractor who receives
members from another Contractor as a result of a contract award shall ensure a smooth transition for members by continuing previously approved prior authorizations for 30 days after the member transition unless mutually agreed to by the member or
member’s representative. 
 When relinquishing members, the Contractor is responsible for timely notification to the receiving Contractor regarding
pertinent information related to any special needs of transitioning members. When receiving a transitioning member with special needs, the Contractor is responsible for coordinating care with the relinquishing Contractor in order that services are
not interrupted, and for providing the new member with Contractor and service information, emergency numbers and instructions about how to obtain services. See ACOM Policy 402 and AMPM Chapter 500. 

Contract Termination: In the event that the contract or any portion thereof is terminated for any reason, or expires, the Contractor shall
assist AHCCCS in the transition of its members to other Contractors. In addition, AHCCCS reserves the right to extend the term of the contract on a month-to-month basis to assist in any transition of members. AHCCCS may discontinue enrollment of new
members with the Contractor three months prior to the contract termination date. The Contractor shall make provisions for continuing all management and administrative services until the transition of all members is completed and all other
requirements of this contract are satisfied. The Contractor shall submit a detailed plan to AHCCCS for approval regarding the transition of members in the event of contract expiration or termination. The name and title of the Contractor’s
transition coordinator shall be included in the transition plan. The Contractor shall be responsible for providing all reports set forth in this contract and necessary for the transition process, and shall be responsible for the following [42 CFR
438.610(c)(3); 42 CFR 434.6(a)(6)]: 
  

	a.	Notifying subcontractors and members; 

  

					
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	b.	Paying all outstanding obligations for medical care rendered to members until AHCCCS is satisfied that the Contractor has paid all such obligations. The Contractor shall provide a monthly claims aging report including
IBNR amounts (due the 15th day of the month, for the prior month); 

  

	c.	Providing Quarterly and Audited Financial Statements up to the date of contract termination. The financial statement requirement will not be absolved without an official release from AHCCCS; 

 

	d.	Continuing encounter reporting until all services rendered prior to contract termination have reached adjudicated status and data validation of the information has been completed, as communicated by a letter of release
from AHCCCS; 

  

	e.	Cooperating with reinsurance audit activities on prior contract years until release has been granted by AHCCCS; 

  

	f.	Cooperating with AHCCCS to complete and finalize any open reconciliations, until release has been granted by AHCCCS. AHCCCS will work to complete any pending reconciliations as timely as can be completed, allowing for
appropriate lag time for claims run-out and/or changes to be entered into the system; 

  

	g.	Submitting quarterly Quality Management and Medical Management reports as required by Section D, Paragraphs 23, Quality Management, and 24, Medical Management, as appropriate to provide AHCCCS with information on
services rendered up to the date of contract termination. This will include quality of care (QOC) concern reporting based on the date of service; 

  

	h.	Participating in and closing out Performance Measures and Performance Improvement Projects as requested by AHCCCS; 

  

	i.	Maintaining a Performance Bond in accordance with Section D, Paragraph 46, Performance Bond or Bond Substitute. A formal request to release the performance bond, as well as a balance sheet, must be submitted when
appropriate; 

  

	j.	Indemnifying AHCCCS for any claim by any third party against the State or AHCCCS arising from the Contractor’s performance of this contract and for which the Contractor would otherwise be liable under this
contract; 

  

	k.	Returning to AHCCCS, any funds advanced to the Contractor for coverage of members for periods after the date of termination. Funds must be returned to AHCCCS within 30 days of termination of the contract;

  

	l.	Providing a monthly accounting of Member Grievances and Claim Disputes and their disposition; and 

  

	m.	Preserving and making available all records for a period of five years from the date of final payment under contract. Records covered under HIPAA must be preserved and made available for six years per 45 CFR
164.530(j)(2). 

 The above list is not exhaustive and additional information may be requested to ensure that all operational and reporting
requirements have been met. Any dispute by the Contractor, with respect to termination or suspension of this contract by AHCCCS, shall be exclusively governed by the provisions of Section E, Contract Terms and Conditions, Paragraph 19, Disputes.

  

	10.	SCOPE OF SERVICES 

 The Contractor shall provide covered services to AHCCCS members in accordance with
all applicable Federal and State laws, regulations and policies, including those listed by reference in attachments and this contract. The services are described in detail in AHCCCS rules R9-22 Article 2, the AHCCCS Medical Policy Manual (AMPM) and
the AHCCCS Contractor Operations Manual (ACOM), all of which are incorporated herein by reference, and may be found on the AHCCCS website [42 CFR 400(a)(1)]. To be covered, services must be medically necessary and cost effective. The covered
services are briefly described below. Except for annual well woman exams, behavioral health and children’s dental services, and consistent with the terms of the demonstration, covered services must be provided by or coordinated with a primary
care provider. 
 The Contractor must ensure the coordination of services it provides with services the member receives from other entities, including
behavioral health services the member receives through an ADHS/RBHA provider. The Contractor shall ensure that, in the process of coordinating care, each member’s privacy is protected in 

  

					
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accordance with the privacy requirements including, but not limited to, 45 CFR Parts 160 and 164, Subparts A and E, and Arizona statute, to the extent that they are applicable [42 CFR 438.208
(b)(2) and (b)(4) and 438.224]. 
 Services must be rendered by providers that are appropriately licensed or certified, operating within their scope of
practice, and registered as an AHCCCS provider. The Contractor shall provide the same standard of care for all members, regardless of the member’s eligibility category. The Contractor shall ensure that the services are sufficient in amount,
duration and scope to reasonably be expected to achieve the purpose for which the services are furnished [42 CFR 434.6(a)(4)]. The Contractor shall not arbitrarily deny or reduce the amount, duration, or scope of a required service solely because of
diagnosis, type of illness, or condition of the member. The Contractor may place appropriate limits on a service on the basis of criteria such as medical necessity; or for utilization control, provided the services furnished can reasonably be
expected to achieve their purpose [42 CFR 438.210(a)(3); 42 CFR 438.210(a)(4)]. 
 Moral or Religious Objections 

The Contractor must notify AHCCCS if, on the basis of moral or religious grounds, it elects to not provide or reimburse for a covered service. The Contractor
may propose a solution to allow members’ access to the services. AHCCCS does not intend to offer the services on a fee-for-service basis to the Contractor’s enrollees. If AHCCCS does not approve the Contractor’s proposed solution,
AHCCCS will disenroll members who are seeking these services from the Contractor and assign them to another Contractor [42 CFR 438.56]. That proposal must: 
  

	•	 	Be submitted to AHCCCS in writing prior to entering into a contract with AHCCCS or at least 60 days prior to the intended effective date of the change in the scope of services based on moral or religious grounds;

  

	•	 	Place no financial or administrative burden on AHCCCS; 

  

	•	 	Place no significant burden on members’ access to the services; 

  

	•	 	Be accepted by AHCCCS in writing; and 

  

	•	 	Acknowledge an adjustment to capitation, depending on the nature of the proposed solution. 

 If AHCCCS approves
the Contractor’s proposed solution for its members to access the services, the Contractor must notify members how to access these services when directed by AHCCCS. The notification and policy must be consistent with the provisions of 42 CFR
438.10, must be provided to newly assigned members within 12 days of enrollment, and must be provided to all current members at least 30 days prior to the effective date of the approved policy [42 CFR 438.102(a)(2) and (b)(1)]. 

Authorization of Services 
 The Contractor shall have in
place and follow written policies and procedures for the processing of requests for initial and continuing authorizations of services. The Contractor shall have mechanisms in place to ensure consistent application of review criteria for
authorization decisions. Any decision to deny a service authorization request or to authorize a service in an amount, duration or scope that is less than requested, shall be made by a health care professional who has appropriate clinical expertise
in treating the member’s condition or disease [42 CFR 438.210(b)]. 
 Notice of Action 

The Contractor shall notify the requesting provider and give the member written notice of any decision by the Contractor to deny, reduce, suspend or terminate
a service authorization request, or to authorize a service in an amount, duration, or scope that is less than requested [42 CFR 438.400(b)]. The notice shall meet the requirements of 42 CFR 438.404, AHCCCS rules and ACOM Policy 414. The notice to
the provider must also be in writing as specified in Attachment F1, Enrollee Grievance System Standards of this contract [42 CFR 438.210(c)]. The Contractor must comply with all decision timelines outlined in ACOM Policy 414. 

  

					
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 The Contractor shall ensure that its providers, acting within the lawful scope of their practice are not
prohibited or otherwise restricted from advising or advocating, on behalf of a member who is his or her patient, for [42 CFR 438.102]: 
  

	a.	The member’s health status, medical care or treatment options, including any alternative treatment that may be self-administered [42 CFR 438.100(b)(2)]; 

 

	b.	Any information the member needs in order to decide among all relevant treatment options; 

  

	c.	The risks, benefits, and consequences of treatment or non-treatment; and, 

  

	d.	The member’s right to participate in decisions regarding his or her behavioral health care, including the right to refuse treatment, and to express preferences about future treatment decisions [42 CFR
438.100(b)(2)(iv)]. 

 Covered Services 

Please refer to the AHCCCS Medical Policy Manual (AMPM) for a comprehensive list of Covered Services. 

Ambulatory Surgery: The Contractor shall provide surgical services for either emergency or scheduled surgeries when provided in an
ambulatory or outpatient setting, such as a freestanding surgical center or a hospital-based outpatient surgical setting. 
 American Indian Health
Program (AIHP): The AHCCCS, Division of Fee For Service Management (DFSM) will reimburse claims for acute care services that are medically necessary, and are provided to Title XIX members enrolled with the Contractor by an IHS or a tribal
638 facility, eligible for 100% Federal reimbursement, when the member is eligible to receive services through an IHS or a tribally operated 638 program. Encounters for Title XIX services billed by an IHS or tribal facilities will not be accepted by
AHCCCS or considered in capitation rate development. 
 The Contractor is responsible for reimbursement to IHS or tribal facilities for services provided to
Title XXI American Indian members enrolled with the Contractor. The Contractor may choose to subcontract with an IHS or 638 tribal facility as part of its provider network for the delivery of Title XXI covered services. Expenses incurred by the
Contractor for Title XXI services billed by an IHS or a 638 tribal facility shall be encountered and considered in capitation rate development. 

Anti-hemophilic Agents and Related Services: The Contractor shall provide services for the treatment of hemophilia and Von Willebrand’s
disease. See Section D, Paragraph 57, Reinsurance. 
 Audiology: The Contractor shall provide medically necessary audiology services to
evaluate hearing loss for all members, on both an inpatient and outpatient basis. Hearing aids are covered only for members under the age of 21 receiving EPSDT services. 

Behavioral Health: The Contractor shall provide behavioral health services as described in Section D, Paragraph 12, Behavioral Health Services.

 Children’s Rehabilitative Services (CRS): The CRS program is administered by AHCCCS utilizing a CRS Contractor for children
with special health care needs who meet CRS eligibility criteria. The CRS Contractor provides various combinations of acute, behavioral health and specialty CRS services for these children. The Contractor shall refer children to AHCCCS Division of
Member Services (DMS) who are potentially eligible for services related to CRS-covered conditions, as specified in R9-22 Article 13, and A.R.S. Title 36. In addition, the Contractor shall notify the member when a referral to CRS has been made. The
Contractor is responsible for care of members until those members are determined eligible for CRS by AHCCCS, Division of Member Services. In addition, the Contractor is responsible for CRS covered services for CRS-eligible members unless and until
the Contractor has received confirmation from AHCCCS that the member has transitioned to the CRS Contractor. For more detailed information regarding eligibility criteria, referral practices, and Contractor-CRS coordination issues, refer to the
AHCCCS Medical Policy Manual (AMPM) and the AHCCCS Contractor’s Operation Manual (ACOM) located on the AHCCCS website. 

  

					
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 A member with private insurance is not required to utilize CRS. This includes members with Medicare whether
they are enrolled in Medicare FFS or a Medicare Managed Care Plan. If the member uses a private insurance network for a CRS covered condition, the Contractor is responsible for all applicable deductibles and copayments. When private insurance or
Medicare is exhausted, or certain annual or lifetime limits are reached with respect to the CRS covered conditions, the Contractor shall refer the member to DMS for determination of eligibility. If the member with private insurance or Medicare
chooses to enroll with CRS, CRS becomes the secondary payer responsible for all applicable deductibles and copayments. The Contractor is not responsible to provide services in instances when a member with a CRS covered condition has no primary
insurance or Medicare, refuses to participate in the CRS application process, or refuses to receive CRS covered services through the CRS program. The member may be billed by the provider in accordance with AHCCCS regulations regarding billing for
unauthorized services. 
 Chiropractic Services: The Contractor shall provide chiropractic services to members under age 21 when prescribed by
the member’s PCP and approved by the Contractor in order to ameliorate the member’s medical condition. For Qualified Medicare Beneficiaries, regardless of age, Medicare approved chiropractic services shall be covered subject to limitations
specified in 42 CFR 410.21. 
 Dialysis: The Contractor shall provide medically necessary dialysis, supplies, diagnostic testing and
medication for all members when provided by Medicare-certified hospitals or Medicare-certified end stage renal disease (ESRD) providers. Services may be provided on an outpatient basis or on an inpatient basis if the hospital admission is not solely
to provide chronic dialysis services. 
 Early and Periodic Screening, Diagnostic and Treatment (EPSDT): The Contractor shall provide
comprehensive health care services through primary prevention, early intervention, diagnosis and medically necessary treatment to correct or ameliorate defects and physical or mental illnesses discovered by the screenings for members under age 21.
The Contractor shall ensure that these members receive required health screenings, including developmental and behavioral health screenings, in compliance with the AHCCCS EPSDT Periodicity Schedule, and the AHCCCS Dental Periodicity Schedule
(Exhibit 430-1 & 430-1A in the AMPM). 
 The Contractor shall ensure the initiation and coordination of a referral as indicated on the EPSDT forms
received, to the T/RBHA system for members in need of behavioral health services. The Contractor shall have processes in place to follow up with the T/RBHA to monitor whether members have received these EPSDT services. The Contractor will ensure the
coordination of referrals and follow-up collaboration, as necessary, for members identified by the T/RBHA as needing acute care services. 
 Early
Detection Health Risk Assessment, Screening, Treatment and Primary Prevention: The Contractor shall provide health care services through screening, diagnostic and medically necessary treatment for members 21 years of age and older. These
services include, but are not limited to, screening and treatment for hypertension; elevated cholesterol; colon cancer; sexually transmitted diseases; tuberculosis; HIV/AIDS; breast cancer, cervical cancer; and prostate cancer. Nutritional
assessment and treatment are covered when medically necessary to meet the needs of members who may have a chronic debilitating disease. Physical examinations, diagnostic work-ups and medically necessary immunizations are also covered as specified in
R9-22-205. 
 Emergency Services: The Contractor shall provide emergency services per the following: 

 

	a.	 Emergency services facilities adequately staffed by qualified medical professionals to provide pre-hospital, emergency care on a 24-hour-a-day,
seven-day-a-week basis, for an emergency medical condition as defined by R9-22 Article 1. Emergency medical services are covered without prior authorization. The Contractor is encouraged to contract with emergency service facilities for the
provision of emergency services. The 

  

					
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Contractor shall be responsible for educating members and providers regarding appropriate utilization of emergency room services including behavioral health emergencies. The Contractor shall
monitor emergency service utilization (by both provider and member) and shall have guidelines for implementing corrective action for inappropriate utilization. For utilization review, the test for appropriateness of the request for emergency
services shall be whether a prudent layperson, similarly situated, would have requested such services. For the purposes of this contract, a prudent layperson is a person who possesses an average knowledge of health and medicine. 

 

	b.	All medical services necessary to rule out an emergency condition; and 

  

	c.	Emergency transportation. 

 Per the Medicaid Managed Care regulations, 42 CFR 438.114, 422.113, 422.133 the
following conditions apply with respect to coverage and payment of emergency services: 
 The Contractor must cover and pay for emergency services
regardless of whether the provider that furnishes the service has a contract with the Contractor. 
 The Contractor may not deny payment for treatment
obtained under either of the following circumstances: 
  

	a.	A member had an emergency medical condition, including cases in which the absence of medical attention would not have resulted in the outcomes identified in the definition of emergency medical condition under 42 CFR
438.114. 

  

	b.	A representative of the Contractor (an employee or subcontracting provider) instructs the member to seek emergency medical services. 

Additionally, the Contractor may not: 
  

	a.	Limit what constitutes an emergency medical condition as defined in 42 CFR 438.114, on the basis of lists of diagnoses or symptoms. 

  

	b.	Refuse to cover emergency services based on the failure of the emergency room provider, hospital, or fiscal agent to notify the Contractor of the member’s screening and treatment within 10 calendar days of
presentation for emergency services. Claims submission by the hospital within 10 calendar days of the member’s presentation for the emergency services constitutes notice to the Contractor. This notification stipulation is only related to the
provision of emergency services. 

  

	c.	Require notification of Emergency Department treat and release visits as a condition of payment unless the plan has prior approval from AHCCCS. 

A member who has an emergency medical condition may not be held liable for payment of subsequent screening and treatment needed to diagnose the specific
condition or stabilize the patient. 
 The attending emergency physician, or the provider actually treating the member, is responsible for determining when
the member is sufficiently stabilized for transfer or discharge, and such determination is binding on the Contractor responsible for coverage and payment. The Contractor shall comply with Medicaid Managed Care guidelines regarding the coordination
of post-stabilization care. 
 For additional information and requirements regarding emergency services, refer to AHCCCS rules R9-22-201 et seq. and
42 CFR 438.114. 
 Family Planning: The Contractor shall provide family planning services in accordance with the AMPM, and
consistent with the terms of the demonstration, for all members who choose to delay or prevent pregnancy. These include medical, surgical, pharmacological and laboratory services, as well as contraceptive devices. Information and counseling, which
allow members to make informed decisions regarding family planning methods, are also included. If the Contractor does not provide family planning services, it must contract for these services through another health care delivery system or have an
approved alternative in place, or AHCCCS will disenroll members who are seeking these services from the Contractor and assign them to another Contractor. 

  

					
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 The Contractor shall provide services to members enrolled in the SOBRA Family Planning Extension Program, a
program that provides family planning services only, for a maximum of two consecutive 12-month periods, to women whose SOBRA eligibility has terminated. The Contractor is responsible for notifying AHCCCS when a SOBRA woman is sterile in order to
ensure that the member is not enrolled in the SOBRA Family Planning Extension Program R9-22-1431. Notification should be made at the time the newborn is reported or after the sterilization procedure is completed. 

Foot and Ankle Services: 

Children: The Contractor shall provide foot and ankle services for members under the age of 21 to include bunionectomies, casting for
the purpose of constructing or accommodating orthotics, medically necessary orthopedic shoes that are an integral part of a brace, and medically necessary routine foot care for patients with a severe systemic disease that prohibits care by a
non-professional person. 
 Adults: The Contractor shall provide foot and ankle care services to include wound care, treatment of
pressure ulcers, fracture care, reconstructive surgeries, and limited bunionectomy services. Medically necessary routine foot care services are only available for members with a severe systemic disease that prohibits care by a non-professional
person as described in the AMPM. Services are not covered for members 21 years of age and older, when provided by a podiatrist or podiatric surgeon. 

Home and Community Based Services (HCBS): Assisted living facility, alternative residential setting, or home and community based services (HCBS)
as defined in R9-22 Article 2, and R9-28 Article 2 that meet the provider standards described in R9-28 Article 5, and subject to the limitations set forth in the AMPM. These services are covered in lieu of a nursing facility. 

Home Health: This service shall be provided under the direction of a physician to prevent hospitalization or institutionalization and may
include nursing, therapies, supplies and home health aide services. It shall be provided on a part-time or intermittent basis. 
 Hospice:
These services are covered for members who are certified by a physician as being terminally ill and having six months or less to live. See the AMPM for details on covered hospice services. 

Hospital: Inpatient services include semi-private accommodations for routine care, intensive and coronary care, surgical care, obstetrics and
newborn nurseries, and behavioral health emergency/crisis services. If the member’s medical condition requires isolation, private inpatient accommodations are covered. Nursing services, dietary services and ancillary services such as
laboratory, radiology, pharmaceuticals, medical supplies, blood and blood derivatives, etc. are also covered. Outpatient hospital services include any of the above services which may be appropriately provided on an outpatient or ambulatory basis
(i.e., laboratory, radiology, therapies, ambulatory surgery, etc.). Observation services may be provided on an outpatient basis, if determined reasonable and necessary to decide whether the member should be admitted for inpatient care. Observation
services include the use of a bed and periodic monitoring by hospital nursing staff and/or other staff to evaluate, stabilize or treat medical conditions of a significant degree of instability and/or disability. Refer to the AMPM for limitations on
hospital stays. 
 Immunizations: The Contractor shall provide medically necessary immunizations for adults 21 years of age and older. Human
Papilloma virus (HPV) is covered only for EPSDT aged male and female members (through age 20). (Refer to the AMPM for current immunization requirements). The Contractor is required to meet specific immunization rates for members under the age of 21,
which are described in Section D, Paragraph 23, Quality Management and Performance Improvement. 

  

					
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 Incontinence Briefs: In general, incontinence briefs (diapers) are not covered unless medically
necessary to treat a medical condition. For AHCCCS members over three years of age and under 21 years of age incontinence briefs, including pull-ups, are covered to prevent skin breakdown and to enable participation in social community, therapeutic,
and educational activities under limited circumstances. See R9-22-212 and AMPM Chapter 400. 
 Laboratory: Laboratory services for diagnostic,
screening and monitoring purposes are covered when ordered by the member’s PCP, other attending physician or dentist, and provided by a Clinical Laboratory Improvement Act (CLIA) approved free-standing laboratory or hospital laboratory, clinic,
physician office or other health care facility laboratory. 
 Upon written request, the Contractor may obtain laboratory test data on members from a
laboratory or hospital-based laboratory subject to the requirements specified in A.R.S. §36-2903(Q) and (R). The data shall be used exclusively for quality improvement activities and health care outcome studies required and/or approved by
AHCCCS. 
 Maternity: The Contractor shall provide pregnancy identification, prenatal care, treatment of pregnancy related conditions, labor
and delivery services, and postpartum care for members. Services may be provided by physicians, physician assistants, nurse practitioners, certified nurse midwives, or licensed midwives. Members may select or be assigned to a PCP specializing in
obstetrics while they are pregnant. Members anticipated to have a low-risk delivery, may elect to receive labor and delivery services in their home from their maternity provider if this setting is included in the allowable settings for the
Contractor, and the Contractor has providers in its network that offer home labor and delivery services. Members anticipated to have a low-risk prenatal course and delivery may elect to receive maternity services of prenatal care, labor and delivery
and postpartum care provided by certified nurse midwives or licensed midwives, if they are in the Contractor’s provider network. Members receiving maternity services from a certified nurse midwife or a licensed midwife must also be assigned to
a PCP for other health care and medical services. A certified nurse midwife may provide those primary care services that they are willing to provide and that the member elects to receive from the certified nurse midwife. Members receiving care from
a certified nurse midwife may also elect to receive some or all her primary care from the assigned PCP. Licensed midwives may not provide any additional medical services as primary care is not within their scope of practice. 

The Contractor shall allow women and their newborns to receive up to 48 hours of inpatient hospital care after a routine vaginal delivery and up to 96 hours
of inpatient care after a cesarean delivery. The attending health care provider, in consultation with the mother, may discharge the mother or newborn prior to the minimum length of stay. A normal newborn may be granted an extended stay in the
hospital of birth when the mother’s continued stay in the hospital is beyond the 48 or 96 hour stay. However, for payment purposes, inpatient limits will apply to the extent consistent with EPSDT. 

The Contractor shall inform all assigned AHCCCS pregnant women of voluntary prenatal testing and the availability of medical counseling if the test is
positive. The Contractor shall provide information in the Member Handbook and annually in the member newsletter, to encourage pregnant women to be tested and instructions about where to be tested. Semi-annually, the Contractor shall report to
AHCCCS, Division of Health Care Management (DHCM) the number of pregnant women who have been identified as HIV/AIDS-positive for each quarter during the contract year. This report is due as specified in Attachment F3, Contractors Chart of
Deliverables. 
 Medical Foods: Medical foods are covered within limitations defined in the AMPM for members diagnosed with a metabolic
condition included under the ADHS Newborn Screening Program and as specified in the AMPM. The medical foods, including metabolic formula and modified low protein foods, must be prescribed or ordered under the supervision of a physician. 

  

					
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 Medical Supplies, Durable Medical Equipment (DME), and Prosthetic Devices: These services are
covered when prescribed by the member’s PCP, attending physician or practitioner, or by a dentist as described in the AMPM. Prosthetic devices must be medically necessary and meet criteria as described in the AMPM. For persons age 21 or older,
AHCCCS will not pay for microprocessor controlled lower limbs and microprocessor controlled joints for lower limbs. Medical equipment may be rented or purchased only if other sources are not available which provide the items at no cost. The total
cost of the rental must not exceed the purchase price of the item. Reasonable repairs or adjustments of purchased equipment are covered to make the equipment serviceable and/or when the repair cost is less than renting or purchasing another unit.

 Nursing Facility: The Contractor shall provide services in nursing facilities, including religious non-medical health care institutions,
for members who require short-term convalescent care not to exceed 90 days per contract year. In lieu of a nursing facility, the member may be placed in an assisted living facility, an alternative residential setting, or receive home and community
based services (HCBS) as defined in R9-22 Article 2 and R9-28 Article 2 that meet the provider standards described in R9-28 Article 5, and subject to the limitations set forth in the AMPM.  

Nursing facility services must be provided in a dually-certified Medicare/Medicaid nursing facility, which includes in the per-diem rate: nursing services;
basic patient care equipment and sickroom supplies; dietary services; administrative physician visits; non-customized DME; necessary maintenance and rehabilitation therapies; over-the-counter medications; social, recreational and spiritual
activities; and administrative, operational medical direction services. See Section D, Paragraph 41, Responsibility for Nursing Facility Reimbursement, for further details. 

The Contractor shall notify the Assistant Director of the Division of Member Services, by Email, when a member has been residing in a nursing facility,
alternative residential facility or receiving home and community based services for 45 days. This will allow AHCCCS time to follow-up on the status of the ALTCS application and to consider potential fee-for-service coverage, if the stay goes beyond
the 90 day per contract year maximum. The notice should be sent via e-mail to HealthPlan45DayNotice@azahcccs.gov. 
 Notifications must include: 

 

	a.	Member Name 

  

	b.	AHCCCS ID 

  

	c.	Date of Birth 

  

	d.	Name of Facility 

  

	e.	Admission Date to the Facility 

  

	f.	Date the member will reach the 90 days 

  

	g.	Name of Contractor of enrollment 

 Nutrition: Nutritional assessments are conducted as a part of
the EPSDT screenings for members under age 21, and to assist members 21 years of age and older whose health status may improve with over- and under-nutritional intervention. Assessment of nutritional status on a periodic basis may be provided as
determined necessary, and as a part of the health risk assessment and screening services provided by the member’s PCP. Assessments may also be provided by a registered dietitian when ordered by the member’s PCP. AHCCCS covers nutritional
therapy on an enteral, parenteral or oral basis, when determined medically necessary, according to the criteria specified in the AMPM, to provide either complete daily dietary requirements or to supplement a member’s daily nutritional and
caloric intake. 
 Oral Health: The Contractor shall provide all members under the age of 21 years with all medically necessary dental
services including emergency dental services, dental screening, preventive services, therapeutic services and dental appliances in accordance with the AHCCCS Dental Periodicity Schedule. The Contractor shall monitor compliance with the AHCCCS Dental
Periodicity Schedule for dental screening services. The Contractor is required to meet specific utilization rates for members as described in Section D, Paragraph 23, Quality Management and Performance Improvement. The Contractor shall ensure that
members are notified 

  

					
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when dental screenings are due if the member has not been scheduled for a visit. If a dental screening is not received by the member, a second notice must be sent. Members under the age of 21 may
request dental services without referral and may choose a dental provider from the Contractor’s provider network. 
 Pursuant to R9-22-207, for members
who are 21 years of age and older, the Contractor shall cover medical and surgical services furnished by a dentist only to the extent such services may be performed under State law either by a physician or by a dentist. These services would be
considered physician services if furnished by a physician. Limited dental services are covered for pre-transplant candidates and for members with cancer of the jaw, neck or head. See AMPM for specific details. 

Orthotics: These services are covered for members under the age of 21 when prescribed by the member’s PCP, attending physician,
practitioner, or by a dentist as described in the AMPM. Medical equipment may be rented or purchased only if other sources, which provide the items at no cost, are not available. The total cost of the rental must not exceed the purchase price of the
item. 
 Reasonable repairs or adjustments of purchased equipment are covered for all members over and under the age of 21 to make the equipment serviceable
and/or when the repair cost is less than renting or purchasing another unit. The component will be replaced if at the time authorization is sought documentation is provided to establish that the component is not operating effectively. 

Physician: The Contractor shall provide physician services to include medical assessment, treatments and surgical services provided by licensed
allopathic or osteopathic physicians. 
 Post-stabilization Care Services: Pursuant to R9-22-210 and 42 CFR 438.114, 422.113(c) and 422.133,
the following conditions apply with respect to coverage and payment of emergency and of post-stabilization care services, except where otherwise noted in the contract: 

The Contractor must cover and pay for post-stabilization care services without authorization, regardless of whether the provider that furnishes the service
has a contract with the Contractor, for the following situations: 
  

	a.	Post-stabilization care services that were pre-approved by the Contractor; 

  

	b.	Post-stabilization care services were not pre-approved by the Contractor because the Contractor did not respond to the treating provider’s request for pre-approval within one hour after being requested to approve
such care or could not be contacted for pre-approval; 

  

	c.	The Contractor representative and the treating physician cannot reach agreement concerning the member’s care and a Contractor physician is not available for consultation. In this situation, the Contractor must give
the treating physician the opportunity to consult with a Contractor physician and the treating physician may continue with care of the patient until a Contractor physician is reached or one of the criteria in 42 CFR 422.113(c)(3) is met.

 Pursuant to 42 CFR 422.113(c)(3), the Contractor’s financial responsibility for post-stabilization care services that have not been
pre-approved ends when: 
  

	a.	A Contractor physician with privileges at the treating hospital assumes responsibility for the member’s care; 

  

	b.	A Contractor physician assumes responsibility for the member’s care through transfer; 

  

	c.	A Contractor representative and the treating physician reach an agreement concerning the member’s care; or 

  

	d.	The member is discharged. 

 Pregnancy Terminations: AHCCCS covers pregnancy termination if the
pregnant member suffers from a physical disorder, physical injury, or physical illness, including a life endangering physical condition caused by or arising from the pregnancy itself, that would, as certified by a physician, place the member in
danger of death unless the pregnancy is terminated, or the pregnancy is a result of rape or incest. 

  

					
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 The attending physician must acknowledge that a pregnancy termination has been determined medically necessary
by submitting the Certificate of Necessity for Pregnancy Termination. This certificate must be submitted to the Contractor’s Medical Director and meet the requirements specified in the AMPM. The Certificate must certify that, in the
physician’s professional judgment, one or more of the previously mentioned criteria have been met. 
 Prescription Medications:
Medications ordered by a PCP, attending physician, dentist or other authorized prescriber and dispensed under the direction of a licensed pharmacist are covered subject to limitations related to prescription supply amounts, Contractor formularies
and prior authorization requirements. An appropriate over-the-counter medication may be prescribed as defined in the AMPM when it is determined to be a lower-cost alternative to a prescription medication. 

Medicare Part D: AHCCCS covers those drugs ordered by a PCP, attending physician, dentist or other authorized prescriber and dispensed
under the direction of a licensed pharmacist subject to limitations related to prescription supply amounts, and the Contractor’s prior authorization requirements if they are excluded from Medicare Part D coverage. Medications that are covered
by Part D, but are not on a specific Part D Health Plan’s formulary are not considered excluded drugs and will not be covered by AHCCCS. This applies to members who are enrolled in Medicare Part D or are eligible for Medicare Part D. See AMPM
Chapter 300, Section 310-V. 
 Primary Care Provider (PCP): PCP services are covered when provided by a physician, physician
assistant or nurse practitioner selected by, or assigned to, the member. The PCP provides primary health care and serves as a coordinator in referring the member for specialty medical services [42 CFR 438.208(b)]. The PCP is responsible for
maintaining the member’s primary medical record, which contains documentation of all health risk assessments and health care services of which they are aware whether or not they were provided by the PCP. 

Radiology and Medical Imaging: These services are covered when ordered by the member’s PCP, attending physician or dentist and are provided
for diagnosis, prevention, treatment or assessment of a medical condition. 
 Rehabilitation Therapy: The Contractor shall provide
occupational, physical and speech therapies. Therapies must be prescribed by the member’s PCP or attending physician for an acute condition and the member must have the potential for improvement due to the rehabilitation. 

Occupational and Speech therapy is covered for all members receiving inpatient hospital (or nursing facility services). Occupational Therapy and Speech
therapy services provided on an outpatient basis are only covered for members under the age of 21. Physical Therapy is covered for all members in both inpatient and outpatient settings. Outpatient physical therapy for members 21 years of age or
older are subject to a 15 visit limit per contract year as described in the AMPM. 
 Respiratory Therapy: Respiratory therapy is covered when
prescribed by the member’s PCP or attending physician, and is necessary to restore, maintain or improve respiratory functioning. 

Transplantation of Organs and Tissue, and Related Immunosuppressant Drugs: These services are covered within limitations defined in the AMPM for
members diagnosed with specified medical conditions. Services include: pre-transplant inpatient or outpatient evaluation; donor search; organ/tissue harvesting or procurement; preparation and transplantation services; and convalescent care. In
addition, if a member receives a transplant covered by a source other than AHCCCS, medically necessary non-experimental services are provided, within limitations, after the discharge from the acute care hospitalization for the transplantation. 

  

					
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 AHCCCS maintains specialty contracts with transplantation facility providers for the Contractor’s use or
the Contractor may select its own transplantation provider. Refer to Section D, Paragraph 57, Reinsurance. 
 Transportation: These
services include emergency and non-emergency medically necessary transportation. Emergency transportation, including transportation initiated by an emergency response system such as 911, may be provided by ground, air or water ambulance to manage an
AHCCCS member’s emergency medical condition at an emergency scene and transport the member to the nearest appropriate medical facility. Non-emergency transportation shall be provided for members who are unable to provide or secure their own
transportation for medically necessary services using the appropriate mode based on the needs of the member. The Contractor shall ensure that members have coordinated, reliable, medically necessary transportation to ensure members arrive on-time for
regularly scheduled appointments and are picked up upon completion of the entire scheduled treatment. 
 Triage/Screening and Evaluation:
These are covered services when provided by acute care hospitals, IHS facilities, 638 tribal facilities and after-hours settings to determine whether or not an emergency exists, assess the severity of the member’s medical condition and
determine services necessary to alleviate or stabilize the emergent condition. Triage/screening services must be reasonable, cost effective and meet the criteria for severity of illness and intensity of service. 

Vision Services/Ophthalmology/Optometry: The Contractor shall provide all medically necessary emergency eye care, vision examinations,
prescriptive lenses, frames, and treatments for conditions of the eye for all members under the age of 21. For members who are 21 years of age and older, the Contractor shall provide emergency care for eye conditions which meet the definition of an
emergency medical condition. Vision examinations and the provision of prescriptive lenses are covered for adults when medically necessary following cataract removal. Medically necessary vision examinations and prescriptive lenses and frames are
covered if required following cataract removal. Refer to AMPM Chapter 300. 
 Members shall have full freedom to choose, within the Contractor’s
network, a practitioner in the field of eye care, acting within the scope of their practice, to provide the examination, care or treatment for which the member is eligible. A “practitioner in the field of eye care” is defined to be either
an ophthalmologist or an optometrist. 
 Well Exams: Effective October 1, 2013 well visits/well exams for adult members 21 years of age
and older have been reinstated as a covered service. Well visits, such as, but not limited to, well woman exams, breast exams, and prostate exams are covered for members 21 years of age and older. For members under 21 years of age, AHCCCS continues
to cover medically necessary services under the EPSDT Program. 
  

	11.	SPECIAL HEALTH CARE NEEDS 

 AHCCCS has specified in its Quality Strategy certain populations with special
health care needs including members enrolled in DDD, CRS and those receiving behavioral health services. 
 The Contractor shall have in place a mechanism
to identify all members with special health care needs [42 CFR 438.240(b)(4)]. The Contractor shall implement mechanisms to assess each member identified as having special health care needs, in order to identify any ongoing special conditions of the
member which require a course of treatment, regular care monitoring, or transition to another AHCCCS program. The assessment mechanisms shall use appropriate health care professionals [42 CFR 438.208(c)(2)]. The Contractor shall share with other
entities providing services to the member the results of its identification and assessment of that member’s needs so that those activities need not be duplicated [42 CFR 438.208(b)(3)]. 

For members with special health care needs determined to need a specialized course of treatment or regular care monitoring, the Contractor must have
procedures in place to allow members to directly access a specialist (for example through a standing referral or an approved number of visits) as appropriate for the member’s condition and identified needs [42 CFR 438.208(c)(4)]. For members
transitioning, see Section D, Paragraph 9, Transition Activities. 

  

					
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 The Contractor shall have a methodology to identify providers willing to provide medical home services and
make reasonable efforts to offer access to these providers. 
 The American Academy of Pediatrics (AAP) describes care from a medical home as: 

 

	 	•	 	Accessible 

  

	 	•	 	Continuous 

  

	 	•	 	Coordinated 

  

	 	•	 	Family-centered 

  

	 	•	 	Comprehensive 

  

	 	•	 	Compassionate 

  

	 	•	 	Culturally effective 

 The Contractor shall ensure that populations with ongoing medical needs, including but
not limited to dialysis, radiation and chemotherapy, have coordinated, reliable, medically necessary transportation to ensure members arrive on-time for regularly scheduled appointments and are picked up upon completion of the entire scheduled
treatment. See Section D, Paragraph 33, Appointment Standards. 
  

	12.	BEHAVIORAL HEALTH SERVICES 

 With the exception of certain behavioral health conditions referenced below,
AHCCCS members receive the behavioral health benefit through the Arizona Department of Health Services/Division of Behavioral Health Services (ADHS/DBHS) or for American Indians, through the Tribal/Regional Behavioral Health Authority (T/RBHA)
system. These benefits include but are not limited to screening, treatment and assistance in coordinating care between the Acute and behavioral health providers. 

The Integrated RBHA will provide the full continuum of care including all outpatient and inpatient medical and behavioral health care as well as supportive
services, such as peer and family support, patient education, engagement and follow up for TXIX eligible adults with SMI. As a result of legal challenges to the award for Solicitation ADHS 13-00002257, the implementation effective date of the
Integrated RBHA, originally scheduled for October 1, 2013, will be delayed. All AHCCCS Policy and Contractual requirements delineated for ADHS specific to the Integrated RBHA will be implemented consistent with administrative and/or judicial
determinations in this matter. 
 SOBRA Family Planning Extension Program members are not eligible for behavioral health services. For more detailed
information about Contractor responsibility for payment of behavioral health services refer to ACOM Policy 432. 
 Member Education: The
Contractor shall be responsible for including information in the Member Handbook and other materials to inform members how to access covered behavioral health services. Materials shall include information about behavioral health conditions that may
be treated by the member’s primary care physician (PCP) which includes anxiety, depression and ADHD.Refer to the AMPM for covered behavioral health services. 

Access to Behavioral Health Services: Members may self–refer to the T/RBHA system for screening, evaluation or treatment or be referred by
schools, State agencies, providers, or other parties. The Contractor is responsible for providing transportation to a member’s first T/RBHA evaluation appointment if the member is unable to provide their own transportation. 

  

					
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 EPSDT: As specified in Section D, Paragraph 10, Scope of Services, EPSDT, the Contractor must
provide behavioral health screenings for members under 21 years of age in compliance with the AHCCCS EPSDT Periodicity Schedule. The Contractor shall initiate and coordinate behavioral health referrals to the T/RBHA when determined necessary through
the screening process. 
 Emergency Services: When members present in an emergency room setting, the Contractor is responsible for all
emergency medical services including triage, physician assessment and diagnostic tests. The Contractor is responsible for reimbursement of ambulance transportation and/or other medically necessary transportation provided to a member. Refer to ACOM
Policy 432. ADHS is responsible for medically necessary professional psychiatric consultations in either emergency room or inpatient settings. ADHS is responsible for reimbursement of ambulance transportation and/or other medically necessary
transportation provided to a member who requires behavioral services after medical stabilization. 
 Coordination of Care: The Contractor
shall meet with the Regional Behavioral Health Authorities to improve and address coordination of care issues. 
 Medical Records: The
Contractor is responsible for ensuring that a medical record is established by the PCP when behavioral health information is received from the T/RBHA or the behavioral health provider about a member assigned to the PCP even if the PCP has not yet
seen the assigned member. In lieu of establishing a medical record, the information may be kept in an appropriately labeled file but must be associated with the member’s medical record as soon as one is established. 

Sharing of Data: On a recurring basis (no less than quarterly based on adjudication date), AHCCCS shall provide the Contractor an
electronic file of claims and encounter data for members enrolled with the Contractor who have received services, during the member’s enrollment period, from another contractor or through AHCCCS FFS for purposes of member care coordination.
Data sharing will comply with Federal privacy regulations.  
 Sharing of Records: The Contractor shall within 10 business days of
receiving the request, require the PCP to coordinate care and respond to T/RBHA and/or behavioral health provider information requests pertaining to members receiving services through the behavioral health system. The response should include, but is
not limited to, current diagnoses, medications, laboratory results, most recent PCP visit, and information about recent hospital and emergency room visits. The Contractor will ensure coordination of referrals and follow-up collaboration, as
necessary, for members identified by the behavioral health provider as needing acute care services. For guidance in addressing the needs of members with multi system involvement and complex behavioral health and co-occurring conditions, refer to
AMPM Policy 570, Community Collaborative Care Teams. 
 Arizona State Hospital Discharges: The Contractor must ensure that members diagnosed
with diabetes who are being discharged from the Arizona State Hospital (AzSH) are issued the same brand and model of both glucometer and supplies that the member was trained to use while in the AzSH. Care must be coordinated with the AzSH prior to
discharge to ensure that all supplies are authorized and available to the member upon discharge. 
 For enrolled members who are inpatient at the Arizona
State Hospital, the Contractor is required to follow ACOM Policy 422 regarding medical care coordination for these members. 
 Home Health
Services: In the event that a member’s mental health status renders them incapable or unwilling to manage their medical condition and the member has a skilled medical need, the Contractor must arrange ongoing medically necessary nursing
services. The Contractor shall also have a mechanism in place for tracking members for whom ongoing medically necessary services are required. 

  

					
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 Medication Management Services: The Contractor shall allow PCPs to treat members diagnosed with
anxiety, depression and attention deficit hyperactivity disorder (ADHD). PCPs who choose to treat members with these behavioral health conditions may provide medication management services including prescriptions, laboratory and other diagnostic
tests necessary for diagnosis, and treatment. The Contractor shall make available, on the Contractor’s formulary, medications for the treatment of these disorders. The Contractor is responsible for these services both in the prospective and
prior period coverage timeframes. 
 Tool Kits: Clinical tool kits for the treatment of anxiety, depression, and ADHD are available in the
AMPM. These tool kits are a resource only and may not apply to all patients and all clinical situations. The tool kits are not intended to replace clinical judgment. The Contractor shall ensure that PCPs who have an interest or are actively treating
members with these disorders are aware of these resources and/or are utilizing other recognized, clinical tools/evidence-based guidelines. The Contractor shall develop a monitoring process to ensure that PCPs utilize evidence-based
guidelines/recognized clinical tools when prescribing medications to treat depression, anxiety, and ADHD. 
 Step Therapy: The Contractor may
implement step therapy for behavioral health medications used for treating anxiety, depression and ADHD disorders. The Contractor shall provide education and training for providers regarding the concept of step therapy. If the T/RBHA/behavioral
health provider provides documentation to the Contractor that step therapy has already been completed for the conditions of anxiety, depression or ADHD, or that step therapy is medically contraindicated; the Contractor shall continue to provide the
medication at the dosage at which the member has been stabilized by the behavioral health provider. In the event the PCP identifies a change in the member’s condition, the PCP may utilize step therapy until the member is stabilized for the
condition of anxiety, depression or ADHD. The Contractor shall monitor PCPs to ensure that they prescribe medication at the dosage at which the member has been stabilized. 

Transfer of Care: When a PCP has initiated medication management services for a member to treat a behavioral health disorder, and it is
subsequently determined by the PCP that the member should be transferred to a T/RBHA prescriber for evaluation and/or continued medication management services, the Contractor shall require and ensure that the PCP coordinates the transfer of care.
All affected subcontracts shall include this provision. The Contractor shall establish policies and procedures for the transition of members to the T/RBHA for ongoing treatment. The Contractor shall ensure that PCPs maintain continuity of care for
these members. The policies and procedures must address, at a minimum, the following: 
  

	1.	Guidelines for when a transition of the member to the T/RBHA for ongoing treatment is indicated; 

  

	2.	Protocols for notifying the T/RBHA of the member’s transfer, including reason for transfer, diagnostic information, and medication history; 

 

	3.	Protocols and guidelines for the transfer or sharing of medical records information and protocols for responding to T/RBHA requests for additional medical record information; 

 

	4.	Protocols for transition of prescription services, including but not limited to notification to the T/RBHA of the member’s current medications and timeframes for dispensing and refilling medications during the
transition period. This coordination must ensure at a minimum, that the member does not run out of prescribed medications prior to the first appointment with a T/RBHA prescriber and that all relevant member medical information including the reason
for transfer is forwarded to the receiving T/RBHA prescriber prior to the member’s first scheduled appointment with the T/RBHA prescriber; and 

  

	5.	Contractor monitoring activities to ensure that members are appropriately transitioned to the T/RBHA for care. 

Integrated Services: The Contractor is encouraged to develop specific strategies to promote care integration activities. These strategies may
include but are not limited to contracting with T/RBHAs or behavioral health providers as well as establishing integrated settings which serve members’ primary care and behavioral health needs. The Contractor should consider the behavioral
health needs, in addition to the primary health care needs, of members during network development to improve member access to care, care coordination and to reduce duplication of services. 

  

					
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 Court Ordered Treatment: Reimbursement for court ordered screening and evaluation services are
the responsibility of the County pursuant to A.R.S. §36-545. For additional information regarding behavioral health services refer to Title 9 Chapter 22 Articles 2 and 12. 

Monitoring, Training and Education: The Contractor shall ensure that information and training is available to PCPs regarding behavioral health
coordination of care processes. The Contractor shall establish policies and processes for coordination of care and shall describe them in its provider manual. Policies for referral must include, at a minimum, criteria, processes, responsible parties
and minimum requirements no less stringent than those specified in this contract for the forwarding of member medical information. 
 The Contractor shall
ensure that its quality management program incorporates monitoring of the PCP’s management of behavioral health disorders, coordination of care with, and transfer of care to T/RBHA providers as required under this contract. 

 

	13.	AHCCCS GUIDELINES, POLICIES AND MANUALS 

 All AHCCCS guidelines, policies and manuals, including but not
limited to, ACOM, AMPM, Reporting Guides, and Manuals are hereby incorporated by reference into this contract. Guidelines, policies and manuals are available on the AHCCCS website. The Contractor is responsible for complying with all requirements
set forth in these sources as well as with any updates. In addition, linkages to AHCCCS rules, statutes and other resources are available through the AHCCCS website. Upon adoption by AHCCCS, updates will be available on the AHCCCS website. 

 

	14.	MEDICAID SCHOOL BASED CLAIMING PROGRAM (MSB) 

 Pursuant to an Intergovernmental Agreement with the
Department of Education, and a contract with a Third Party Administrator, AHCCCS pays participating school districts for specifically identified Medicaid services when provided to Medicaid eligible children who are included under the Individuals
with Disabilities Education Act (IDEA). The Medicaid services must be identified in the member’s Individual Education Plan (IEP) as medically necessary for the child to obtain a public school education. 

MSB services are provided in a school setting or other approved setting specifically to allow children to receive a public school education. They do not
replace medically necessary services provided outside the school setting or other MSB approved alternative setting. Currently, services include audiology, therapies (OT, PT and speech/language); behavioral health evaluation and counseling; nursing
and attendant care (health aid services provided in the classroom); and specialized transportation to and from school on days when the child receives an AHCCCS-covered MSB service. 

The Contractor’s evaluations and determinations of medical necessity shall be made independent of the fact that the child is receiving MSB services. If a
request is made for services that also are covered under the MSB program for a child enrolled with the Contractor, the request shall be evaluated on the same basis as any request for a covered service. 

The Contractor and its providers should coordinate with schools and school districts that provide MSB services to the Contractor’s enrolled members.
Services should not be duplicative. Contractor case managers, working with special needs children, should coordinate with the appropriate school staff working with these members. Transfer of member medical information and progress toward treatment
goals between the Contractor and the member’s school or school district is required as appropriate and should be used to enhance the services provided to members. 

  

					
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	15.	PEDIATRIC IMMUNIZATIONS AND THE VACCINES FOR CHILDREN PROGRAM 

 Through the Vaccines for Children (VFC)
program, the Federal and State governments purchase, and make available to providers at no cost, vaccines for AHCCCS children under age 19. The Contractor shall not utilize AHCCCS funding to purchase vaccines for members under the age of 19. If
vaccines are not available through the VFC program, the Contractor shall contact the AHCCCS Division of Health Care Management, Clinical Quality Management Unit for guidance. Any provider licensed by the State to administer immunizations, may
register with Arizona Department of Health Services (ADHS) as a VFC provider to receive these free vaccines. The Contractor shall not reimburse providers for the administration of the vaccines in excess of the maximum allowable as set by CMS. The
Contractor shall comply with all VFC requirements and monitor contracted providers to ensure that physicians are registered as VFC providers when acting as primary care physicians (PCP) for members under the age of 19 years. 

Due to low numbers of children in their panels providers in certain geographic service areas (GSAs) may choose not to provide vaccinations. Whenever possible,
members should be assigned to VFC registered providers within the same or a nearby community. When that is not possible, the Contractor must develop processes to ensure vaccinations are available through a VFC enrolled provider or through the
appropriate County Health Department. In all instances, the vaccines are to be provided through the VFC program. The Contractor must develop processes to pay the administration fee to whoever administers the vaccine regardless of their contract
status with the Contractor. 
 Arizona State law requires the reporting of all immunizations given to children under the age of 19. Immunizations must be
reported at least monthly to the ADHS Immunization Registry. Reported immunizations are held in a central database known as ASIIS (Arizona State Immunization Information System), which can be accessed by providers to obtain complete, accurate
immunization records. Software is available from ADHS to assist providers in meeting this reporting requirement. The Contractor must educate its provider network about these reporting requirements and the use of this resource. 

 

	16.	STAFF REQUIREMENTS AND SUPPORT SERVICES 

 The Contractor shall have in place the organizational,
operational, managerial and administrative systems capable of fulfilling all contract requirements. For the purposes of this contract, the Contractor shall not employ or contract with any individual who has been debarred, suspended or otherwise
lawfully prohibited from participating in any public procurement activity or from participating in non-procurement activities under regulations issued under Executive Order No. 12549 or under guidelines implementing Executive Order 12549 [42
CFR 438.610 (a) & (b), 42 CFR §1001.1901(b), 42 CFR §1003.102(a)(2)]. The Contractor is obligated to screen all employees and Contractors to determine whether any of them have been excluded from participation in Federal health
care programs. The HHS-OIG website can be searched by the names of any individuals. The database can be accessed at www.oig.hhs.gov. 
 The Contractor must
employ sufficient staff and utilize appropriate resources to achieve contractual compliance. The Contractor’s resource allocation must be adequate to achieve outcomes in all functional areas within the organization. Adequacy will be evaluated
based on outcomes and compliance with contractual and AHCCCS policy requirements. If the Contractor does not achieve the desired outcomes or maintain compliance with contractual obligations, additional monitoring and regulatory action may be
employed by AHCCCS. This action may include, but is not limited to, requiring the Contractor to hire additional staff and actions specified in Section D, Paragraph 72, Sanctions. 

The Contractor shall have local staff available 24 hours per day, seven days per week to work with AHCCCS and/or other State agencies, such as Arizona
Department of Health Services (ADHS)/Office of Licensure, on urgent issue resolutions. Urgent issue resolutions include Immediate Jeopardies (IJ), fires, or other public emergency situations. These staff shall have access to information necessary to
identify members who may be 

  

					
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at risk and their current health/service status, the ability to initiate new placements/services, and have the ability to perform status checks at affected facilities and perform ongoing
monitoring, if necessary. The Contractor shall supply AHCCCS, Clinical Quality Management (CQM) with the contact information for these staff. At a minimum the contact information shall include a current 24/7 telephone number. CQM must be notified
and provided back up contact information when the primary contact person will be unavailable. 
 For functions not required to be in State, the Contractor
must notify AHCCCS as specified in Attachment F3, Contractor Chart of Deliverables, prior to moving functions outside the State of Arizona. The notification must include an implementation plan for the transition. 

The Contractor shall be responsible for costs associated with on-site audits or other oversight activities which result when functions are located outside of
the State of Arizona. 
 An individual staff member is limited to occupying a maximum of two of the Key Staff positions listed below, unless prior approval
is obtained by AHCCCS, Division of Health Care Management (DHCM). When submitting its functional organizational chart, as specified in Attachment F3, Contractor Chart of Deliverables, the Contractor must document, for each Key Staff position, the
portion of time allocated to each Medicaid contract as well as all other lines of business. The Contractor shall also inform AHCCCS DHCM in writing as specified in Attachment F3, Contractor Chart of Deliverables, when an employee leaves one of the
Key Staff positions listed below. The name of the interim contact person should be included with the notification. The name and resume of the permanent employee should be submitted as soon as the new hire has taken place along with a revised
Organization Chart complete with Key Staff. If, at any point, the Contractor fails to maintain compliance with contractual obligations, AHCCCS reserves the right to evaluate staffing allocations and require staffing enhancements in order to ensure
adherence to established requirements. 
 At a minimum, the following staff is required: 

Key Staff Positions 
  

	a.	Administrator/CEO/COO who is located in Arizona, oversees the entire operation of the Contractor, and have the authority to direct and prioritize work, regardless of where performed. 

 

	b.	Medical Director/CMO who is located in Arizona and who is an Arizona-licensed physician in good standing. The Medical Director shall be actively involved in all major clinical programs and Quality
Management and Medical Management components of the Contractor. The Medical Director shall ensure timely medical decisions, including after-hours consultation as needed (see Section D, Paragraph 27, Network Development). 

 

	c.	Chief Financial Officer/CFO who is available to fulfill the responsibilities of the position and to oversee the budget, accounting systems, and financial reporting implemented by the Contractor.

  

	d.	Pharmacy Director/Coordinator who is an Arizona licensed pharmacist or physician who oversees and administers the prescription drug and pharmacy benefits. The Pharmacy Coordinator/Director may be an
employee or Contractor of the Plan. 

  

	e.	Dental Director/Coordinator who is responsible for coordinating dental activities of the Contractor and providing required communication between the Contractor and AHCCCS. The Dental Director/Coordinator
may be an employee or Contractor of the plan and must be a licensed dentist in Arizona if they are required to review or deny dental services. 

  

	f.	Corporate Compliance Officer who is located in Arizona and who will implement and oversee the Contractor’s compliance program. The Corporate Compliance Officer shall be a management official,
available to all employees, with designated and recognized authority to access records and make independent referrals to the AHCCCS Office of the Inspector General. See Section D, Paragraph 62, Corporate Compliance. 

 

	g.	Dispute and Appeal Manager who is located in Arizona and who will manage and adjudicate member and provider disputes arising under the Grievance System including member grievances, appeals, and requests
for hearing and provider claim disputes. 

  

	h.	Business Continuity Planning Coordinator as noted in the ACOM Policy 104. 

  

					
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	i.	Contract Compliance Officer who is located in Arizona and who will serve as the primary point-of-contact for all Contractor operational issues. The primary functions of the Contract Compliance Officer may
include but are not limited to coordinate the tracking and submission of all contract deliverables, fielding and coordinating responses to AHCCCS inquiries, and coordinating the preparation and execution of contract requirements such as Operational
and Financial Reviews (OFRs), random and periodic audits and ad hoc visits. 

  

	j.	Quality Management Coordinator who is an Arizona-licensed registered nurse, physician or physician’s assistant or a Certified Professional in Healthcare Quality (CPHQ) by the National Association for
Health Care Quality (NAHQ) and/or Certified in Health Care Quality and Management (CHCQM) by the American Board of Quality Assurance and Utilization Review Providers. The QM Coordinator must be located in Arizona and have experience in quality
management and quality improvement. Sufficient local staffing under this position must be in place to meet quality management requirements. The primary functions of the Quality Management Coordinator position are: 

 

	 	•	 	Ensure individual and systemic quality of care 

  

	 	•	 	Integrate quality throughout the organization 

  

	 	•	 	Implement process improvement 

  

	 	•	 	Resolve, track and trend quality of care grievances 

  

	 	•	 	Ensure a credentialed provider network 

  

	k.	Performance/Quality Improvement Coordinator who has a minimum qualification as a CPHQ or CHCQM or comparable education and experience in health plan data and outcomes measurement. The primary functions of
the Performance/Quality Improvement Coordinator are: 

  

	 	•	 	Focus organizational efforts on improving clinical quality performance measures 

  

	 	•	 	Develop and implement performance improvement projects 

  

	 	•	 	Utilize data to develop intervention strategies to improve outcomes 

  

	 	•	 	Report quality improvement/performance outcomes 

  

	l.	Maternal Child Health/EPSDT Coordinator who is an Arizona licensed nurse, physician or physician’s assistant; or has a Master’s degree in health services, public health, health care
administration or other related field, and/or a CPHQ or CHCQM certification and is located in Arizona. Sufficient local staffing under this position must be in place to meet quality and performance measure goals. The primary functions of the
MCH/EPSDT Coordinator are: 

  

	 	•	 	Ensure receipt of EPSDT services 

  

	 	•	 	Ensure receipt of maternal and postpartum care 

  

	 	•	 	Promote family planning services 

  

	 	•	 	Promote preventive health strategies 

  

	 	•	 	Identify and coordination assistance for identified member needs 

  

	 	•	 	Interface with community partners 

  

	m.	Medical Management Coordinator who is an Arizona licensed registered nurse, physician or physician’s assistant if required to make medical necessity determinations; or have a Master’s degree in
health services, health care administration, or business administration if not required to make medical necessity determinations. This position is located in Arizona and manages all required medical management requirements under AHCCCS policies,
rules, and contract. Sufficient local staffing under this position must be in place to meet medical management requirements. The primary functions of the Medical Management Coordinator are: 

 

	 	•	 	Ensure adoption and consistent application of appropriate inpatient and outpatient medical necessity criteria 

  

	 	•	 	Ensure appropriate concurrent review and discharge planning of inpatient stays is conducted 

  

	 	•	 	Develop, implement and monitor the provision of care coordination, disease management and case management functions 

  

	 	•	 	Monitor, analyze and implement appropriate interventions based on utilization data, including identifying and correcting over or under utilization of services 

 

	 	•	 	Monitor prior authorization functions and assure that decisions are made in a consistent manner based on clinical criteria and meet timeliness standards 

  

					
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	n.	Behavioral Health Coordinator who is a behavioral health professional as described in Health Services R9-20, and is located in Arizona. The Behavioral Health Coordinator shall ensure AHCCCS behavioral
health requirements are implemented. The primary functions of the Behavioral Health Coordinator are: 

  

	 	•	 	Coordinate member behavioral care needs with the RBHA system 

  

	 	•	 	Develop processes to coordinate behavioral health care between PCPs and RBHAs 

  

	 	•	 	Participate in the identification of best practices for behavioral health in a primary care setting 

  

	 	•	 	Coordinate behavioral care with medically necessary services 

  

	o.	Member Services Manager who shall coordinate communications with members; serve in the role of member advocate; coordinate issues with appropriate areas within the organization; resolve member
inquiries/problems and meet standards for resolution, telephone abandonment rates and telephone hold times. 

  

	p.	Provider Services Manager who coordinates communications between the Contractor and its subcontractors and providers. This position is located in Arizona and ensures that providers receive prompt
resolution to their problems or inquiries, appropriate education about participation in the AHCCCS program and maintain a sufficient provider network. Sufficient local staffing under this position must be in place to ensure appropriate provider
responsiveness. 

  

	q.	Claims Administrator who shall ensure prompt and accurate provider claims processing. The primary functions of the Claims Administrator are: 

 

	 	•	 	Develop and implement claims processing systems capable of paying claims in accordance with State and Federal requirements 

  

	 	•	 	Develop processes for cost avoidance 

  

	 	•	 	Ensure minimization of claims recoupments 

  

	 	•	 	Meet claims processing timelines 

  

	 	•	 	Meet AHCCCS encounter reporting requirements 

  

	r.	Provider Claims Educator who is located in Arizona and facilitates the exchange of information between the grievance, claims processing, and provider relations systems. The primary functions of the
Provider Claims Educator are: 

  

	 	•	 	Educate contracted and non-contracted providers (i.e., professional and institutional) regarding appropriate claims submission requirements, coding updates, electronic claims transactions and electronic fund transfer,
and available Contractor resources such as provider manuals, website, fee schedules, etc. 

  

	 	•	 	Interface with the Contractor’s call center to compile, analyze, and disseminate information from provider calls 

  

	 	•	 	Identify trends and guides the development and implementation of strategies to improve provider satisfaction. Frequently communicate (i.e.: telephonic and on-site) with providers to assure the effective exchange of
information and gain feedback regarding the extent to which providers are informed about appropriate claims submission practices 

Additional Required Staff: 
  

	s.	Prior Authorization staff to authorize health care 24 hours per day, seven days per week. This staff shall include but is not limited to Arizona-licensed nurses, physicians and/or physician’s assistants.

  

	t.	Concurrent Review staff who is located in Arizona and who conduct inpatient concurrent review. This staff shall consist of Arizona-licensed nurses, physicians, and/or physician’s assistants.

  

	u.	Member Services staff to enable members to receive prompt resolution of their inquiries/problems. 

  

	v.	Provider Services staff who is located in Arizona and who enable providers to receive prompt responses and assistance. See Section D, Paragraph 29, Network Management. 

 

	w.	Claims Processing staff to ensure the timely and accurate processing of original claims, resubmissions and overall adjudication of claims. 

 

	x.	Encounter Processing staff to ensure the timely and accurate processing and submission to AHCCCS of encounter data and reports. 

 

	y.	Case Management staff who is located in Arizona and who provide care coordination for members with special health care needs. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 The Contractor must submit the following items as specified in Attachment F3, Contractor Chart of
Deliverables, and when there is a change in staffing or organizational functions: 
  

	1.	The name, Social Security Number and date of birth of the staff members performing the duties of the Key Staff listed as a, b and c. AHCCCS will compare this information against Federal databases to confirm that those
individuals have not been banned or debarred from participating in Federal programs [42 CFR 455.104]. 

  

	2.	An organization chart complete with the Key Staff positions. The chart must include the person’s name, title, location and portion of time allocated to each Medicaid contract and other lines of business.

  

	3.	A functional organization chart of the key program areas, responsibilities and reporting lines. 

  

	4.	A listing of key staff positions including the person’s name, title, telephone number, and email address. 

  

	5.	A listing of all functions and their locations; and a list of any functions that have moved outside of the State of Arizona in the past contract year. 

The Contractor is responsible for maintaining a significant local presence within the State of Arizona. Positions performing functions related to this
contract must have a direct reporting relationship to the local Administrator/Chief Executive Officer (CEO). The local CEO shall have the authority to direct, implement and prioritize work to ensure compliance with contract requirements. The local
CEO shall have the authority and ability to prioritize and direct work performed by Contractor staff and work performed under this contract through a management service agreement or through a delegated agreement. This significant presence includes
staff listed below. 
 In State Positions: 
  

	 	•	 	Administrator/CEO/COO 

  

	 	•	 	Behavioral Health Coordinator 

  

	 	•	 	Case Managers 

  

	 	•	 	Concurrent Review Staff 

  

	 	•	 	Contract Compliance Officer 

  

	 	•	 	Corporate Compliance Officer 

  

	 	•	 	Dispute and Appeal Manager 

  

	 	•	 	Maternal Child Health/EPSDT Coordinator 

  

	 	•	 	Medical Director/CMO 

  

	 	•	 	Medical Management Coordinator 

  

	 	•	 	Provider Claims Educator 

  

	 	•	 	Provider Services Manager 

  

	 	•	 	Provider Services Staff 

  

	 	•	 	Quality Management Coordinator 

 Staff Training and Meeting Attendance: The Contractor shall
ensure that all staff members have appropriate training, education, experience and orientation to fulfill the requirements of the position. AHCCCS may require additional staffing for a Contractor that has substantially failed to maintain compliance
with any provision of this contract and/or AHCCCS policies. 
 The Contractor must provide initial and ongoing staff training that includes an overview of
AHCCCS; AHCCCS Policy and Procedure Manuals, and contract requirements and State and Federal requirements specific to individual job functions. The Contractor shall ensure that all staff members having contact with members or providers receive
initial and ongoing training with regard to the appropriate identification and handling of quality of care/service concerns. 
 All transportation, prior
authorization and member services representatives must be trained in the geography of any/all GSA(s) in which the Contractor holds a contract and have access to mapping search engines (e.g. MapQuest, Yahoo Maps, Google Maps, etc.) for the purposes
of authorizing services in, recommending providers in, and transporting members to, the most geographically appropriate location. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 The Contractor shall provide the appropriate staff representation for attendance and participation in
meetings and/or events scheduled by AHCCCS. AHCCCS may require attendance by subcontracted entities, as defined in Section D, Paragraph 37, Subcontracts, when deemed necessary. All meetings shall be considered mandatory unless otherwise indicated.

  

	17.	WRITTEN POLICIES AND PROCEDURES 

 The Contractor shall develop and maintain written policies and
procedures for each functional area consistent in format and style. The Contractor shall maintain written guidelines for developing, reviewing and approving all policies and procedures. All policies and procedures shall be reviewed at least annually
to ensure that the Contractor’s written policies reflect current practices. Reviewed policies shall be dated and signed by the Contractor’s appropriate manager, coordinator, director or administrator. Minutes reflecting the review and
approval of the policies by an appropriate committee are also acceptable documentation. All medical and quality management policies must be approved and signed by the Contractor’s Medical Director. 

If AHCCCS deems a Contractor policy or process to be inefficient and/or place an unnecessary burden on the members or providers, the Contractor must work with
AHCCCS to change the policy or procedure within a time period specified by AHCCCS. In addition, if AHCCCS deems a Contractor lacks a policy or process necessary to fulfill the terms of this contract, the Contractor must work with AHCCCS to adopt a
policy or procedure within a time period specified by AHCCCS. 
  

	18.	MEMBER INFORMATION 

 The Contractor shall be accessible by phone for general member information during
normal business hours. All enrolled members will have access to a toll free phone number. All informational materials, prepared by the Contractor, shall be approved by AHCCCS prior to distribution to members. The reading level and name of the
evaluation methodology used shall be included. The Contractor should refer to the ACOM Policy 404 for further information and requirements. See also Attachment F3, Contractor Chart of Deliverables. 

All materials shall be translated when the Contractor is aware that a language is spoken by 3,000 or 10%, whichever is less, of the Contractor’s members,
who also have Limited English Proficiency (LEP). 
 All vital materials shall be translated when the Contractor is aware that a language is spoken by 1,000
or 5%, whichever is less, of the Contractor’s members, who also have LEP. Vital materials must include, at a minimum, Notices of Action, vital information from the Member Handbooks and consent forms. 

All written notices informing members of their right to interpretation and translation services in a language shall be translated when the Contractor is aware
that 1,000 or 5%, whichever is less, of the Contractor’s members speak that language and have LEP [42 CFR 438.10(c)(3)]. 
 Oral interpretation
services must be available and free of charge to all members and potential members regardless of the prevalence of the language. The Contractor must notify all members and potential members of their right to access oral interpretation services and
how to access them. Refer to the ACOM Policy 404 [42 CFR 438.10(c)(4) and (5)]. 
 The Contractor shall make every effort to ensure that all information
prepared for distribution to members is written using an easily understood language and format and as further described in the ACOM Policy 404 [42 CFR. 438.10(b)(1)]. Regardless of the format chosen by the Contractor, the member information must be
printed in a type, style and size, which can easily be read by members with varying degrees of visual impairment. The Contractor must notify its members that alternative formats are available and how to access them [42 CFR 438.10(d)]. The Contractor
shall adhere to the requirements for Social Networking and Broadcast activities as described in ACOM Policy 425. 

  

					
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 When there are program changes, notification shall be provided to the affected members at least 30 days
before implementation. 
 The Contractor has the option of providing each new member/representative or household the Member Handbook and Network
Description/Provider Directory with the new member packet in hardcopy format, or providing written notification that the information is available on the Contractor’s website, by electronic mail or by postal mailing. The information shall be
available within 12 business days of receipt of notification of the enrollment date [42 CFR 438.10(f)(3)]. Should the Contractor elect not to provide the hard copy, the contents of the written notification must be approved per the requirements
listed in ACOM Policy 404. 
 The Member Handbook, at a minimum, shall include the items listed in the ACOM Policy 404. The Contractor shall review and
update the Member Handbook at least once a year. The Handbook must be submitted to AHCCCS, Division of Health Care Management for approval as specified in Attachment F3, Contractor Chart of Deliverables. 

In addition, the Member Handbook shall provide a description of the Contractor’s provider network, which at a minimum, includes those items listed in the
ACOM Policy 404. 
 The Contractor must give written notice about termination of a contracted provider, within 15 days after receipt or issuance of
the termination notice, to each member who received their primary care from, or is seen on a regular basis by, the terminated provider. Affected members must be informed of any other changes in the network 30 days prior to the implementation date of
the change [42 CFR 438.10(f)(4) and (5)]. The Contractor shall have information available for potential enrollees as described in the ACOM Policy 404. 

The Contractor must develop and distribute, at a minimum, semi-annual newsletters during the contract year. 

The following types of information are to be contained in the newsletter: 
  

	1.	Educational information on chronic illnesses and ways to self-manage care 

  

	2.	Reminders of flu shots and other prevention measures at appropriate times 

  

	3.	Medicare Part D issues 

  

	4.	Cultural Competency, other than translation services 

  

	5.	Contractor specific issues (in each newsletter) 

  

	6.	Tobacco cessation information 

  

	7.	HIV/AIDS testing for pregnant women 

  

	8.	Other information as required by AHCCCS 

 The Contractor will, on an annual basis, inform all members of their
right to request the following information [42 CFR 438.10(f)(6) and 42 CFR 438.100(a)(1) and (2)]: 
  

	1.	An updated Member Handbook at no cost to the member 

  

	2.	The network description as described in the ACOM Policy 404 

 This information may be sent in a separate
written communication or included with other written information such as in a member newsletter. 
 The Contractor shall ensure compliance with any
applicable Federal and State laws that pertain to member rights and ensure that its staff and subcontractors take those rights into account when furnishing services to members. 

  

					
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 The Contractor shall ensure that each member is guaranteed the right to request and receive one copy of the
member’s medical record at no cost to the member and to request that the record be amended or corrected, as specified in 45 CFR Part 164. 
 The
Contractor shall ensure that each member is free to exercise their rights and that the exercise of those rights does not adversely affect the way the Contractor or its subcontractors treat the member [42 CFR 438.100(c)]. 

 

	19.	SURVEYS 

 The Contractor may be required to perform surveys at AHCCCS’ request. AHCCCS may provide
the survey tool or require the Contractor to develop the survey tool. The final survey tool shall be approved in advance by AHCCCS as specified in Attachment F3, Contractor Chart of Deliverables. The results and the analysis of the results shall be
submitted to the Division of Health Care Management as specified in Attachment F3, Contractor Chart of Deliverables. 
 For non-AHCCCS required surveys, the
Contractor shall provide notification as specified in Attachment F3, Contractor Chart of Deliverables, prior to conducting any Contractor initiated member or provider survey. The notification must include a project scope statement, project timeline
and a copy of the survey. The results and analysis of the results of any Contractor initiated surveys shall be submitted to the Division of Health Care Management as specified in Attachment F3, Contractor Chart of Deliverables. 

AHCCCS may conduct surveys of a representative sample of the Contractor’s membership and providers. The results of AHCCCS conducted surveys will become
public information and available to all interested parties on the AHCCCS website. The Contractor will be responsible for reimbursing AHCCCS for the cost of such surveys based on its share of AHCCCS enrollment. 

As specified in Attachment F3, Contractor Chart of Deliverables, the Contractor is required to survey a sample of its membership that have received services
to verify that services the Contractor paid for were delivered as outlined in ACOM Policy 424 [42 CFR 455.20 and 433.116]. 
  

	20.	CULTURAL COMPETENCY 

 The Contractor shall ensure compliance with a Cultural Competency Plan which meets
the requirements of the ACOM Policy 405. An annual assessment of the effectiveness of the plan, along with any modifications to the plan, must be submitted to the DHCM Operations Unit, as specified in Attachment F3, Contractor Chart of Deliverables.
This plan shall address cultural considerations and limited English proficiency for all services and settings [42 CFR 438.206(c)(2)]. 
  

	21.	MEDICAL RECORDS 

 The member’s medical record is the property of the provider who generates the
record. Medical records include those maintained by PCPs or other providers as well as but not limited to those kept in placement settings such as nursing facilities, assisted living facilities and other home and community based providers. Each
member is entitled to one copy of his or her medical record at no cost annually. The Contractor shall have written policies and procedures to maintain the confidentiality of all medical records. 

The Contractor is responsible for ensuring that a medical record (hard copy or electronic) is established when information is received about a member. If the
PCP has not yet seen the member such information may be kept temporarily in an appropriately labeled file, in lieu of establishing a medical record, but must be associated with the member’s medical record as soon as one is established. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 The Contractor shall have written policies and procedures for the maintenance of medical records to ensure
those records are documented accurately and in a timely manner, are readily accessible, and permit prompt and systematic retrieval of information. Medical records shall be maintained in a detailed and comprehensive manner, which conforms to
professional standards, permits effective medical review and audit processes, and which facilitates an adequate system for follow-up treatment. 
 The
Contractor shall have written standards for documentation on the medical record for legibility, accuracy and plan of care, which comply with the AMPM. 

When a member changes PCPs, his or her medical records or copies of medical records must be forwarded to the new PCP within 10 business days from receipt of
the request for transfer of the medical records. 
 AHCCCS is not required to obtain written approval from a member before requesting the member’s
medical record from the PCP or any other organization or agency. The Contractor may obtain a copy of a member’s medical records without written approval of the member if the reason for such request is directly related to the administration of
the AHCCCS program. AHCCCS shall be afforded access to all members’ medical records whether electronic or paper within 20 business days of receipt of request or more quickly if necessary. 

Information related to fraud and abuse may be released, however, HIV-related information shall not be disclosed except as provided in A.R.S. §36-664, and
substance abuse information shall only be disclosed consistent with Federal and State law, including but not limited to 42 CFR 2.1 et seq. 
  

	22.	ADVANCE DIRECTIVES 

 The Contractor shall maintain policies and procedures addressing advanced directives
for adult members as specified in 42 CFR 422.128: 
  

	1.	Each contract or agreement with a hospital, nursing facility, home health agency, hospice or organization responsible for providing personal care, must comply with Federal and State law regarding advance directives for
adult members [42 CFR 438.6(i)(1)]. Requirements include: 

  

	 	a.	Maintain written policies that address the rights of adult members to make decisions about medical care, including the right to accept or refuse medical care, and the right to execute an advance directive.

 If the agency/organization has a conscientious objection to carrying out an advance directive, it must be explained in
policies. A health care provider is not prohibited from making such objection when made pursuant to A.R.S. §36-3205.C.1; 
  

	 	b.	Provide written information to adult members regarding an individual’s rights under State law to make decisions regarding medical care, and the health care provider’s written policies concerning advance
directives, including any conscientious objections [42 CFR 438.6(i)(3)]; 

  

	 	c.	Documenting in the member’s medical record whether or not the adult member has been provided the information, and whether an advance directive has been executed; 

 

	 	d.	Not discriminating against a member because of his or her decision to execute or not execute an advance directive, and not making it a condition for the provision of care; and 

 

	 	e.	Providing education to staff on issues concerning advance directives including notification of direct care providers of services, such as home health care and personal care, if any advanced directives are executed by
members to whom they are assigned to provide services. 

  

	2.	The Contractor shall require PCPs, which have agreements with the entities described above, to comply with the requirements of subparagraphs 1 (a) through (e) above. The Contractor shall also encourage health
care providers specified in subparagraph a. to provide a copy of the member’s executed advanced directive, or documentation of refusal, to the member’s PCP for inclusion in the member’s medical record. 

  

					
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	3.	The Contractor shall provide written information to adult members that describe the following: 

  

	 	a.	A member’s rights under State law, including a description of the applicable State law; 

  

	 	b.	The organization’s policies respecting the implementation of those rights, including a statement of any limitation regarding the implementation of advance directives as a matter of conscience; 

 

	 	c.	The member’s right to file complaints directly with AHCCCS; and 

  

	 	d.	Changes to State law as soon as possible, but no later than 90 days after the effective date of the change [42 CFR 438.6(i)(4)]. 

  

	23.	QUALITY MANAGEMENT AND PERFORMANCE IMPROVEMENT (QM/PI) 

 The Contractor shall provide quality medical
care and services to members, regardless of payer source or eligibility category. The Contractor shall promote improvement in the quality of care provided to enrolled members through established quality management and performance improvement (QM/PI)
processes. The Contractor shall execute processes to assess, plan, implement, and evaluate QM/PI activities [42 CFR 438.240]. At a minimum, the Contractor’s QM/PI programs shall comply with the requirements outlined in the AMPM Chapters 400 and
900. See also Attachment F3, Contractor Chart of Deliverables. 
 The Contractor must ensure that the QM/PI Unit within the organizational structure is
separate and distinct from any other units or departments such as Medical Management or Case Management. The Contractor is expected to integrate quality management processes, such as tracking and trending of issues, throughout all areas of the
organization. Ultimate responsibility for QM/PI activities resides within the QM/PI Unit. 
 QM/QI positions performing work functions related to the
contract must have a direct reporting relationship to the local Chief Medical Officer (CMO) and the local Chief Executive Officer (CEO). The local CMO and CEO shall have the ability to direct, implement and prioritize interventions resulting from
quality management and quality improvement activities and investigations. Contractor staff, including administrative services subcontractors’ staff, that performs functions under this contract related to QM and QI shall have the work directed
and prioritized by the Contractor’s local CEO and CMO. 
 Federal regulation 42 CFR 447.26 prohibits payment for Provider-Preventable Conditions that
meet the definition of a Health Care-Acquired Condition (HCAC) or an Other Provider — Preventable Condition (OPPC) (refer to AMPM Chapter 900 requirements). If an HCAC or OPPC is identified, the Contractor must report the occurrence to AHCCCS
and conduct a quality of care investigation. 
 Quality Management Program: 

The Contractor shall have an ongoing quality management program for the services it furnishes to members. The quality management program shall include but is
not limited to: 
  

	1.	A written QM/PI plan and an evaluation of the previous year’s QM/PI program; 

  

	2.	Quality management quarterly reports that address strategies for QM/PI activities; 

  

	3.	QM/PI program monitoring and evaluation activities which include Peer Review and Quality Management Committees which are chaired by the Contractor’s local Chief Medical Officer; 

 

	4.	Protection of medical records and any other personal health and enrollment information that identifies a particular member, or subset of members, in accordance with Federal and State privacy requirements;

  

	5.	Member rights and responsibilities [42 CFR 238.100(b)(2)(iv)]; 

  

	6.	Uniform provisional credentialing, initial credentialing, re-credentialing and organizational assessment verification [42 CFR 438.206(b)(6)]. The Contractor shall demonstrate that its providers are credentialed and
reviewed through the Contractor’s Credentialing Committee that is chaired by the Contractor’s local Medical Director [42 CFR 438.214]. The Contractor should refer to the AMPM and Attachment F3, Contractor Chart of Deliverables for
reporting requirements. The process: 

  

	 	a.	Shall follow a documented process for provisional credentialing, initial credentialing, re-credentialing and organizational credentialing verification of providers who have signed contracts or participation agreements
with the Contractor; 

  

					
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	 	b.	Shall not discriminate against particular providers that serve high-risk populations or specialize in conditions that require costly treatment; and 

 

	 	c.	Shall not employ or contract with providers excluded from participation in Federal health care programs. 

  

	7.	Tracking and trending of member and provider issues, which includes, but is not limited to, investigation and analysis of quality of care issues, abuse, neglect, exploitation and unexpected deaths. The resolution
process must include: 

  

	 	a.	Acknowledgement letter to the originator of the concern; 

  

	 	b.	Documentation of all steps utilized during the investigation and resolution process; 

  

	 	c.	Follow-up with the member to assist in ensuring immediate health care needs are met; 

  

	 	d.	Closure/resolution letter that provides sufficient detail to ensure that the member has an understanding of the resolution of their issue, any responsibilities they have in ensuring all covered, medically necessary care
needs are met, and a Contractor contact name/telephone number to call for assistance or to express any unresolved concerns; 

  

	 	e.	Documentation of implemented corrective action plan(s) or action(s) taken to resolve the concern; and 

  

	 	f.	Analysis of the effectiveness of the interventions taken. 

  

	8.	Mechanisms to assess the quality and appropriateness of care furnished to members with special health care needs; 

  

	9.	Participation in community initiatives including applicable activities of the Medicare Quality Improvement Organization (QIO); and 

  

	10.	Performance improvement programs including performance measures and performance improvement projects. 

Credential Verification Organization Contract: The Arizona Association of Health Plans (AzAHP) has established a contract with a Credential
Verification Organization (CVO) that is responsible for receiving completed applications, attestations and primary source verification documents. The CVO is also responsible for conducting annual entity site visits to ensure compliance with AHCCCS
requirements. The AHCCCS Contractor must utilize the contracted CVO as part of its credentialing and recredentialing process regardless of membership in the AzAHP. This requirement eases the administrative burden for providers that contract with
AHCCCS Contractors which often results in duplicative submission of information used for credentialing purposes. The Contractor shall follow the AHCCCS recredentialing timelines for providers that submit their credentialing data and forms to the
AzAHP CVO. The Contractor is responsible for completing the credentialing process. The Contractor shall continue to include utilization, performance, complaint, and quality of care information, as specified in the AMPM, to complete the credentialing
or recredentialing files that are brought to the Credentialing Committee for a decision. In addition, the Contractor must also meet the AMPM requirements for provisional/temporary credentialing. 

Credentialing Timelines: The Contractor is required to process credentialing applications in a timely manner. To assess the timeliness of
provisional and initial credentialing a Contractor shall calculate and report to AHCCCS a completion percentage. This percentage is calculated by dividing the number of complete applications processed (approved/denied) during the time period
by the number of complete applications that were received during the time period. 
 The standards for processing are listed by category below: 

 

																	
	 Type of Credentialing
	  	 	  14 days	  	 	 	  90 days	  	 	 	120 days	  	 	 	180 days	  
	 Provisional
	  	 	100	% 	 				 				 			
	 Initial
	  				 	 	90	% 	 	 	95	% 	 	 	100	% 

 The Contractor must report the credentialing information with regard to all credentialing applications as specified in
Attachment F3, Contractor Chart of Deliverables. 

  

					
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 Quality Improvement: The Contractor’s quality management program shall be designed to
achieve and sustain, through ongoing measurements and intervention, significant improvement in the areas of clinical care and nonclinical care which are expected to have a favorable effect on health outcomes and member satisfaction. The Contractor
must [42 CFR 438.240(b)(2) and (c)]: 
  

	1.	Measure and report to the State its performance, using standard measures required by the AHCCCS, or as required by CMS; 

  

	2.	Submit specified data to the State that enables the State to measure the Contractor’s performance; or 

  

	3.	Perform a combination of the above activities. 

 The Contractor shall have an ongoing program of performance
improvement projects that focus on clinical and non-clinical areas, as specified in the AMPM, and that involve the following [42 CFR 438.240(b)(1) and (d)(1)]: 
  

	1.	Measurement of performance using objective quality indicators 

  

	2.	Implementation of system interventions to achieve improvement in quality 

  

	3.	Evaluation of the effectiveness of the interventions 

  

	4.	Planning and initiation of activities for increasing or sustaining improvement 

 Performance Measures

 The Contractor shall comply with AHCCCS quality management requirements to improve performance for all AHCCCS established performance measures.
Descriptions of the AHCCCS Clinical Quality Performance Measures can be found in the most recently published reports of acute care Performance Measures located on the AHCCCS website. The EPSDT Participation performance measure description utilizes
the methodology established in CMS “Form 416” which can also be found on the AHCCCS website at: 

http://www.azahcccs.gov/reporting/quality/performancemeasures.aspx. 

The Contractor must comply with Federal performance measures and levels that may be identified and developed by CMS in consultation with AHCCCS and/or other
relevant stakeholders. CMS has been working in partnership with states in developing core performance measures for Medicaid and CHIP programs. As the Core Measure sets are implemented, performance measures required by AHCCCS may be updated to
include these measures. 
 AHCCCS may utilize a hybrid or other methodologies for collecting and reporting performance measure rates, as allowed by the
National Committee of Quality Assurance NCQA, for selected Healthcare Effectiveness Data and Information Set (HEDIS) measures or as allowed by other entities for nationally recognized measure sets. The Contractor shall collect data from medical
records, electronic records or through approved processes such as those utilizing a health information exchange and provide these data with supporting documentation, as instructed by AHCCCS, for each hybrid measure. The number of records that each
Contractor collects will be based on HEDIS, External Quality Review Organization (EQRO) or other sampling guidelines and may be affected by the Contractor’s previous performance rate for the measure being collected. 

The Contractor must have a process in place for monitoring performance measure rates. The Contractor shall utilize a standard methodology established or
adopted by AHCCCS for measurement of each required performance measure. The Contractor’s QM/PI Program will report its measured performance on an ongoing basis to its Administration. The Contractor performance measure monitoring results shall
also be reported to AHCCCS in conjunction with its Quarterly EPSDT Improvement and Adult Quarterly Monitoring Report. 
 The Contractor must meet AHCCCS
stated Minimum Performance Standards (MPS) for each population/eligibility category for which AHCCCS reports results. It is equally important that, in addition to meeting the contractual MPS, the Contractor continually improve performance measure
outcomes from year to year. The Contractor shall strive to meet the goal established by AHCCCS. 

  

					
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 Minimum Performance Standard – MPS is the minimal expected level of performance
by the Contractor. If a Contractor does not achieve this standard, the Contractor will be required to submit a corrective action plan and may be subject to a sanction of up to $100,000 dollars for each deficient measure. 

Goal – If the Contractor has already met or exceeded the AHCCCS MPS for any measure, the Contractor must strive to meet the
established goal for the measure(s). 
 A Contractor must show demonstrable and sustained improvement toward meeting AHCCCS Performance Standards. AHCCCS
may impose sanctions on Contractors that do not show statistically significant improvement in a measure rate. AHCCCS may require the Contractor to demonstrate that they are allocating increased administrative resources to improving rates for a
particular measure or service area. AHCCCS also may require a corrective action plan and may sanction any Contractor that shows a statistically significant decrease in its rate even if it meets or exceeds the MPS. 

An evidence-based corrective action plan must be received by AHCCCS within 30 days of receipt of notification of the deficiency from AHCCCS. This plan must be
approved by AHCCCS prior to implementation. AHCCCS may conduct one or more follow-up desktop or on-site reviews to verify compliance with a corrective action plan. 

All Performance Measures apply to all member populations [42 CFR 438.240(a)(2), (b)(2) and (c)]. AHCCCS may analyze and report results by line of business,
Geographical Service Area (GSA), or County, as well as applicable demographic factors. 
 AHCCCS has established standards for the measures listed below.

 The following table identifies the MPS and Goals for each measure: 

Acute Care Performance Measures: 
  

									
	 Performance Measure
	  	Minimum Performance
Standard (MPS)	 	 	Goal	 
	 ADULT MEASURES
	  				 			
	 Inpatient Utilization (days/1,000)
	  	 	<480	  	 	 	<430	  
	 ED Utilization (visits/1,000)
	  	 	<725	  	 	 	<600	  
	 Readmissions within 30 days of discharge
	  	 	<11.5	% 	 	 	<9	% 
	 Adult asthma Admission Rate*
	  	 	TBD	  	 	 	TBD	  
	 Use of Appropriate Medications for People with Asthma
	  	 	86	% 	 	 	93	% 
	 Follow-up After Hospitalization (all cause) within 7 Days
	  	 	50	% 	 	 	80	% 
	 Follow-up After Hospitalization (all cause) within 30 Days
	  	 	70	% 	 	 	90	% 
	 Comprehensive Diabetes Management
	  				 			
	 HbA1c Testing
	  	 	77	% 	 	 	89	% 
	 LDL-C Screening
	  	 	70	% 	 	 	91	% 
	 Eye Exam
	  	 	49	% 	 	 	68	% 
	 Flu Shots for Adults
	  				 			
	 Ages 50-64
	  	 	75	% 	 	 	90	% 
	 Ages 65+
	  	 	                            75	% 	 	 	90	% 

  

					
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	 Diabetes Admissions, short-term complications*
	  	 	TBD	  	 	 	TBD	  
	 Chronic obstructive pulmonary disease admissions*
	  	 	TBD	  	 	 	TBD	  
	 Congestive heart failure admissions*
	  	 	TBD	  	 	 	TBD	  
	 HIV/AIDS: Medical visit*
	  	 	TBD	  	 	 	90	% 
	 Annual monitoring for patients on persistent medications: Combo Rate
	  	 	                            75	% 	 	 	80	% 
	 Timeliness of prenatal care — prenatal care visit in the first trimester or within 42 days of enrollment
	  	 	80	% 	 	 	90	% 
	 Prenatal and Postpartum Care: Postpartum Care Rate (second component to CHIPRA core measure “Timeliness of Prenatal
Care)*
	  	 	TBD	  	 	 	90	% 
	 CAHPS Health Plan Survey v 4.0 - Adult Questionnaire*
	  	 	TBD	  	 	 	TBD	  
	 NCQA Supplemental items for CAHPS® 4.0 Adult Questionnaire (CAHPS 4.0H)*
	  	 	TBD	  	 	 	TBD	  
	 CHILDRENS MEASURES
	  				 			
	 Children’s Access to PCPs, by age: 12 - 24 mo.
	  	 	93	% 	 	 	97	% 
	 Children’s Access to PCPs, by age: 25 mo. - 6 yrs.
	  	 	84	% 	 	 	90	% 
	 Children’s Access to PCPs, by age: 7 - 11 yrs.
	  	 	83	% 	 	 	90	% 
	 Children’s Access to PCPs, by age: 12 - 19 yrs.
	  	 	82	% 	 	 	90	% 
	 Well-Child Visits: 15 mo.
	  	 	65	% 	 	 	90	% 
	 Well-Child Visits: 3 - 6 yrs.
	  	 	66	% 	 	 	80	% 
	 Adolescent Well-Child Visits: 12 - 21 yrs.
	  	 	41	% 	 	 	50	% 
	 Children’s Dental Visits (ages 2 - 21)
	  	 	60	% 	 	 	75	% 
			
	 EPSDT Participation
	  	 	68	% 	 	 	80	% 
	 EPSDT Dental Participation
	  	 	46	% 	 	 	54	% 
	 Annual number of asthma patients (3 1 year old) with
3 1 asthma related ER visit*
	  	 	TBD	  	 	 	TBD	  
	 Annual hemoglobin A1C testing (all children and adolescents diagnosed with diabetes)*
	  	 	TBD	  	 	 	89	% 
	 Emergency Department (ED) Utilization (visits/1,000)
	  	 	<700	  	 	 	<560	  

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

									
	 Inpatient Utilization (days/1,000)
	  	 	TBD	  	 	 	TBD	  
	 Hospital Readmission Rate
	  	 	<11.5	% 	 	 	<9	% 
	 CAHPS Health Plan Survey 4.0, Child Version including Medicaid and Children with Chronic Conditions supplemental items*
	  	 	TBD	  	 	 	TBD	  
	 Childhood Immunization Status
	  				 			
	 DTaP
	  	 	85	% 	 	 	90	% 
	 IPV (1)
	  	 	91	% 	 	 	95	% 
	 MMR (1)
	  	 	91	% 	 	 	95	% 
	 Hib (1)
	  	 	90	% 	 	 	95	% 
	 HBV (1)
	  	 	90	% 	 	 	95	% 
	 VZV (1)
	  	 	88	% 	 	 	95	% 
	 PCV (1)
	  	 	82	% 	 	 	95	% 
	 4:3:1:3:3:1 Series
	  	 	74	% 	 	 	80	% 
	 4:3:1:3:3:1:4 Series
	  	 	68	% 	 	 	80	% 
	 Hepatitis A (HAV)
	  	 	40	% 	 	 	60	% 
	 Rotovirus
	  	 	60	% 	 	 	80	% 
	 Influenza
	  	 	45	% 	 	 	80	% 
	 Immunizations for Adolescents
	  				 			
	 Adolescent Meningococcal
	  	 	75	% 	 	 	90	% 
	 Adolescent Tdap
	  	 	75	% 	 	 	90	% 
	 Adolescent Combo
	  	 	75	% 	 	 	90	% 

 Notes: 
  

	(*)	AHCCCS will develop Minimum Performance Standards and Goals once baseline data has been analyzed for these measures. 

	(1)	AHCCCS will continue to measure and report results of these individual antigens; however, a Contractor may not be held accountable for specific Performance Standards unless AHCCCS determines that completion of a
specific antigen or antigens is affecting overall completion of the childhood immunization series. 

 Rates by Contractor for each measure
will be compared with the MPS specified in the contract in effect during the measurement period; Performance Standards in the CYE 14 contract apply to results calculated by AHCCCS for the CYE 14 measurement period. 

Contractor performance is evaluated annually on the AHCCCS-reported rate for each measure. Rates for measures that include only members less than 21 years of
age are reported and evaluated separately for Title XIX and Title XXI eligibility groups. 
 The Contractor shall participate in immunization audits, at
intervals specified by AHCCCS, based on random sampling to verify the immunization status of members at 24 months of age and by 13 years of age. If records are missing for more than 5 percent of the Contractor’s final sample, the Contractor is
subject to sanctions by AHCCCS. An EQRO may conduct a study to validate the Contractor’s reported rates. 
 AHCCCS will measure and report the
Contractor’s EPSDT Participation Rate, utilizing the CMS 416 methodology. The Contractor must take affirmative steps to increase EPSDT Participation rates, including the EPSDT Dental Participation Rate. The Contractor is required to improve
dental participation rates, as specified in the Performance Measure table, by 10 percentage points by 2015 (compared to 2011 rates). 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 The Contractor must monitor rates for postpartum visits and low/very low birth weight deliveries and
implement interventions as necessary to improve or sustain these rates. The Contractor must implement processes to reduce non-medically necessary elective or induced deliveries prior to 39 weeks gestation. 

Performance Improvement Projects: (PIPs) are mandated by AHCCCS, the Contractor may also self-select additional projects based on opportunities
for improvement identified by internal data and information. The Contractor shall report the status and results of each project to AHCCCS as requested using the AHCCCS PIP Reporting Template included in the AMPM. Each PIP must be completed in a
reasonable time period to allow information on the success of PIPs in the aggregate to produce new information on quality of care every year [42 CFR 438.240(d)(2)]. 

Data Collection Procedures: When requested by AHCCCS, the Contractor must submit data for standardized Performance Measures and/or PIPs within
specified timelines and according to AHCCCS procedures for collecting and reporting the data. The Contractor is responsible for collecting valid and reliable data and using qualified staff and personnel to collect the data. Data collected for
Performance Measures and/or PIPs must be returned by the Contractor in a format specified by AHCCCS, and by the due date specified. Any extension for additional time to collect and report data must be made in writing in advance of the initial due
date and is subject to approval by AHCCCS. Failure to follow the data collection and reporting instructions that accompany the data request may result in sanctions imposed on the Contractor. 

 

	24.	MEDICAL MANAGEMENT (MM) 

 The Contractor shall implement processes to assess, plan, implement, evaluate,
and as mandated, report Medical Management (MM) monitoring activities as specified in the AMPM Chapter 1000. This shall include the Quarterly Inpatient Hospital Showings report, HIV Specialty Provider List, Transplant Report and Prior Authorization
Requirements report as specified in the AMPM and Attachment F3, Contractor Chart of Deliverables. The Contractor shall evaluate MM activities, as specified in the AMPM Chapter 1000, including: 

 

	1.	Pharmacy Management; including the evaluation, reporting, analysis and interventions based on the data and reported through the MM Committee, which is chaired by the Contractor’s Chief Medical Officer.

  

	2.	Prior authorization and Referral Management; for the processing of requests for initial and continuing authorizations of services the Contractor shall: 

 

	 	a.	Have in effect mechanisms to ensure consistent application of review criteria for authorization decisions; 

  

	 	b.	Consult with the requesting provider when appropriate [42 CFR 438.210(b)(2)]; 

  

	 	c.	Monitor and ensure that all enrollees with special health care needs have direct access to care; 

  

	 	d.	Review all prior authorization requirements for services, items or medications annually. The review will be reported through the MM Committee and will include the rationale for changes made to prior authorization
requirements. A summary of the prior authorization requirement changes and the rationale for those changes must be included in the annual MM/UM Plan and Evaluation submission; and 

 

	 	e.	Comply with all decision timelines as outlined in the ACOM and the AMPM. 

  

	3.	Development and/or Adoption of Practice Guidelines [42 CFR 438.236(b)] that: 

  

	 	a.	Are based on valid and reliable clinical evidence or a consensus of health care professionals in the particular field; 

  

	 	b.	Consider the needs of the Contractor’s members; 

  

	 	c.	Are adopted in consultation with contracting health care professionals; 

  

	 	d.	Are reviewed and updated periodically as appropriate; 

  

	 	e.	Are disseminated by the Contractor to all affected providers and, upon request, to enrollees and potential enrollees [42 CFR 438.236(c)]; and 

 

	 	f.	Provide a basis for consistent decisions for utilization management, member education, coverage of services, and other areas to which the guidelines apply [42 CFR 438.236(d)]. 

  

					
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	4.	Concurrent review: 

  

	 	a.	Consistent application of review criteria; provide a basis for consistent decisions for utilization management, coverage of services, and other areas to which the guidelines apply; 

 

	 	b.	Contractors must have policies and procedures in place that govern the process for proactive discharge planning when members have been admitted into acute care facilities. The intent of the discharge planning policy and
procedure would be to increase the utilization management of inpatient admissions and decrease readmissions within 30 days of discharge; and 

  

	 	c.	In addition, 42 CFR 447.26 prohibits payment for Provider-Preventable Conditions that meet the definition of a Health Care-Acquired Condition (HCAC) or an Other Provider—Preventable Condition (OPPC) (refer to AMPM
Chapter 1000). If an HCAC or OPPC is identified, the Contractor must report the occurrence to AHCCCS and conduct a quality of care investigation. 

  

	5.	Continuity and coordination of care: 

  

	 	a.	Establish a process to ensure coordination of member care needs across the continuum based on early identification of health risk factors or special care needs; 

 

	 	b.	Establish a process for timely and confidential communication of clinical information among providers; 

  

	 	c.	Must proactively provide care coordination for members who have multiple complaints regarding services or the AHCCCS Program. This includes, but is not limited to, members who do not meet the Contractor’s criteria
for case management; and 

  

	 	d.	Meet with the Regional Behavioral Health Authorities to improve and address coordination of care issues. Meetings shall occur at least quarterly or more frequently if needed. 

 

	6.	Monitor and evaluate over and/or underutilization of services [42 CFR 438-240(b)(3)]; 

  

	7.	Evaluate new medical technologies, and new uses of existing technologies; and 

  

	8.	Disease Management or Chronic Care Program that reports results and provides for analysis of the program through the MM Committee. 

AHCCCS will provide a new Contractor (including an Incumbent Contractor new to a GSA) with three years of historical Acute Care Program encounter data for
members enrolled with the Contractor as of December 1, 2013. Contractors should use this data to assist with identifying members in need of medical management. 

On a recurring basis (no less than quarterly based on adjudication date),, AHCCCS shall provide the Contractor an electronic file of claims and encounter data
for members enrolled with the Contractor who have received services, during the member’s enrollment period, from another contractor or through AHCCCS FFS for purposes of member care coordination. 

The Contractor shall develop a plan outlining short- and long-term strategies for improving care coordination using the physical and behavioral health care
data available for members with behavioral health needs. In addition, the Contractor shall develop an outcome measurement plan to track the progress of the strategies. The plan outlining the strategies for improving care coordination and the outcome
measurement must be reported in the annual MM/UM Plan and Evaluation submitted to AHCCCS as specified in Attachment F3, Contractor Chart of Deliverables. 

The Contractor shall have a process to report MM data and management activities through a MM Committee. The Contractor’s MM Committee will analyze the
data, make recommendations for action, monitor the effectiveness of actions and report these findings to the Committee. The Contractor shall have in effect mechanisms to assess the quality and appropriateness of care furnished to members with
special health care needs [42 CFR 438.240(b)(4)]. 
 The Contractor will assess, monitor and report quarterly through the MM Committee medical decisions to
assure compliance with timeliness, language, Notice of Action intent, and that the decisions comply with all Contractor coverage criteria. This includes quarterly evaluation of all Notice of Action decisions that are made by a subcontracted entity.

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 The Contractor shall maintain a written MM plan and work plan that addresses the monitoring of MM activities
(AMPM Chapter 1000). The plan and work plan must be submitted for review within timelines specified in Attachment F3, Contractor Chart of Deliverables. 
  

	25.	TELEPHONE PERFORMANCE STANDARDS 

 The Contractor must meet and maintain established telephone performance
standards to ensure member and provider satisfaction as specified in ACOM Policy 435. The Contractor shall report on compliance with these standards as specified in Attachment F3, Contractor Chart of Deliverables and the policy identified above. All
reported data is subject to validation through periodic audits and/or operational reviews. 
  

	26.	GRIEVANCE SYSTEM 

 The Contractor shall have in place a written grievance system process for
subcontractors, enrollees and non-contracted providers, which define their rights regarding disputed matters with the Contractor. The Contractor’s grievance system for enrollees includes a grievance process (the procedures for addressing
enrollee grievances), an appeals process and access to the State’s fair hearing process as outlined in Attachment F1, Enrollee Grievance System Standards. The Contractor’s dispute process for subcontractors and non-contracted providers
includes a claim dispute process and access to the State’s fair hearing process as outlined in Attachment F2, Provider Claim Dispute Standards. The Contractor shall remain responsible for compliance with all requirements set forth in
Attachments F1, Enrollee Grievance System Standards, F2, Provider Claim Dispute Standards, and 42 CFR Part 438 Subpart F. 
 Information to enrollees must
meet cultural competency and limited English proficiency requirements as specified in Section D, Paragraph 18, Member Information and Paragraph 20, Cultural Competency. The Contractor shall provide the appropriate professional, paraprofessional and
clerical personnel for the representation of the Contractor in all issues relating to the grievance system and any other matters arising under this contract which rise to the level of administrative hearing or a judicial proceeding. Unless there is
an agreement with the State in advance, the Contractor shall be responsible for all attorney fees and costs awarded to the claimant in a judicial proceeding. 

The Contractor may delegate the grievance system process to subcontractors, however, the Contractor must ensure that the delegated entity complies with
applicable Federal and State laws, regulations and policies, including, but not limited to 42 CFR Part 438 Subpart F. The Contractor shall remain responsible for compliance with all requirements. The Contractor shall also ensure that it timely
provides written information to both enrollees and providers, which clearly explains the grievance system requirements. This information must include a description of: the right to a State fair hearing, the method for obtaining a State fair hearing,
the rules that govern representation at the hearing, the right to file grievances, appeals and claim disputes, the requirements and timeframes for filing grievances, appeals and claim disputes, the availability of assistance in the filing process,
the toll-free numbers that the enrollee can use to file a grievance or appeal by phone, that benefits will continue when requested by the enrollee in an appeal or State fair hearing request concerning certain actions which are timely filed, that the
enrollee may be required to pay the cost of services furnished during the appeal/hearing process if the final decision is adverse to the enrollee, and that a provider may file an appeal on behalf of an enrollee with the enrollee’s written
consent. 
 The Contractor must provide reports on the Grievance System as required in the AHCCCS Grievance System Reporting Guide available on the AHCCCS
website. See also Attachment F3, Contractor Chart of Deliverables. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

	27.	NETWORK DEVELOPMENT 

 The Contractor shall develop and maintain a provider network that is supported by
written agreements which is sufficient to provide all covered services to AHCCCS members. The Contractor shall ensure covered services are reasonably accessible in terms of location and hours of operation. The Contractor must provide a comprehensive
provider network that ensures its membership has access at least equal to community norms. Services shall be as accessible to AHCCCS members in terms of timeliness, amount, duration and scope as those services are available to non-AHCCCS persons
within the same service area [42 CFR 438.210(a)(2)]. The Contractor is encouraged to have available non-emergent after-hours physician or primary care services within its network. If the Contractor’s network is unable to provide medically
necessary services required under contract, the Contractor must adequately and timely cover these services through an out of network provider until a network provider is contracted. The Contractor shall ensure coordination with respect to
authorization and payment issues in these circumstances [42 CFR 438.206(b)(4) and (5)]. 
 The Contractor is expected to design a network that provides a
geographically convenient flow of patients among network providers. The provider network shall be designed to reflect the needs and service requirements of AHCCCS’ culturally and linguistically diverse member population. The Contractor shall
design its provider networks to maximize the availability of community based primary care and specialty care access and that reduces utilization of emergency services, one day hospital admissions, hospital based outpatient surgeries when lower cost
surgery centers are available, and hospitalization for preventable medical problems. 
 There shall be sufficient personnel for the provision of covered
services, including emergency medical care on a 24-hour-a-day, seven-days-a-week basis [42 CFR 438.206(c)(1)(iii)]. 
 The Contractor shall develop and
maintain a Provider Network Development and Management Plan which ensures that the provision of covered services will occur as stated above [42 CFR 438.207(b)]. The requirements for the Network Development and Management Plan are found in ACOM
Policy 415. The Network Development and Management Plan shall be evaluated, updated annually and submitted to AHCCCS as specified in Attachment F3, Contractor Chart of Deliverables. The submission of the network management and development plan to
AHCCCS is an assurance of the adequacy and sufficiency of the Contractor’s provider network. The Contractor shall also submit, as needed, an assurance when there has been a significant change in operations that would affect adequate capacity
and services. These changes would include, but would not be limited to, changes in services, covered benefits, geographic service areas, payments or eligibility of a new population. 

In accordance with the requirements specified in the ACOM Policy 436 the network shall be sufficient to provide covered services within designated time and
distance limits. This includes a network such that 90% of its members residing within Pima and Maricopa counties do not have to travel more than 15 minutes or 10 miles to visit a PCP, dentist or pharmacy, unless accessing those services through a
Multi-Specialty Interdisciplinary Clinic (MSIC). The Contractor must obtain hospital contracts as specified in ACOM Policy 436. 
 The Contractor shall
not discriminate with respect to participation in the AHCCCS program, reimbursement or indemnification against any provider based solely on the provider’s type of licensure or certification [42 CFR 438.12(a)(1)(2)]. In addition, the Contractor
must not discriminate against particular providers that service high-risk populations or specialize in conditions that require costly treatment [42 CFR 438.214(c)]. This provision, however, does not prohibit the Contractor from limiting provider
participation to the extent necessary to meet the needs of the Contractor’s members. This provision also does not interfere with measures established by the Contractor to control costs and quality consistent with its responsibilities under this
contract nor does it preclude the Contractor from using different reimbursement amounts for different specialists or for different practitioners in the same specialty [42 CFR 438.12(b)(1)]. If a Contractor declines to include individuals or groups
of providers in its network, it must give the affected providers timely written notice of the reason for its decision [42 CFR 438.12(a)(1)]. The Contractor may not include providers excluded from participation in Federal health care programs, under
either section 1128 or section 1128A of the Social Security Act [42 CFR 438.214(d)]. 

  

					
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 MSICs are established facilities providing interdisciplinary services for members with qualifying CRS
conditions and are under contract with the CRS Contractor. Contractors are encouraged to contract with MSICs for specialty care. Pediatric specialists that work in the MSIC are in limited quantity in Arizona. Contracting with the MSICs provides
Contractors an opportunity to increase access to these pediatric specialists. 
 The Contractor must pay all AHCCCS registered Arizona Early Intervention
Program (AzEIP) providers, regardless of their contract status with the Contractor, when Individual Family Service Plans identify and meet the requirement for medically necessary EPSDT covered services. 

The Contractor is also encouraged to develop non-financial incentive programs to increase participation in its provider network. 

AHCCCS is committed to workforce development and support of the medical residency and dental student training programs in the State of Arizona. AHCCCS expects
the Contractor to support these efforts. AHCCCS encourages plans to contract with or otherwise support the many Graduate Medical Education (GME) Residency Training Programs currently operating in the State and to investigate opportunities for
resident participation in Contractor medical management and committee activities. In the event of a contract termination between the Contractor and a GME Residency Training Program or training site, the Contractor may not remove members from that
program in such a manner so as to harm the stability of the program. AHCCCS reserves the right to determine what constitutes risk to the program. Further, the Contractor must attempt to contract with graduating residents and providers that are
opening new practices in, or relocating to, Arizona, especially in rural or underserved areas. 
 Homeless Clinics: Contractors in
Maricopa and Pima County must contract with homeless clinics at the AHCCCS Fee-for-Service rate for Primary Care services. Contracts must stipulate that: 
  

	 	1.	Only those members who request a homeless clinic as a PCP may be assigned to them; and 

  

	 	2.	Members assigned to a homeless clinic may be referred out-of-network for needed specialty services. 

 The
Contractor must make resources available to assist homeless clinics with administrative issues such as obtaining prior authorization, and resolving claims issues. 
  

	28.	PROVIDER AFFILIATION TRANSMISSION 

 The Contractor must submit information quarterly regarding its
provider network. This information must be submitted in the format described in the Provider Affiliation Transmission (PAT) User Manual which can be found on the AHCCCS website. The Contractor shall also validate its compliance with minimum network
requirements against the network information provided in the PAT through the submission of a completed Minimum Network Requirements Verification Template (see ACOM 436 for Template). The PAT and the Minimum Network Requirements Verification Template
must be submitted as specified in Attachment F3, Contractor Chart of Deliverables. 
  

	29.	NETWORK MANAGEMENT 

 The Contractor shall have policies on how the Contractor will [AMPM, 42 CFR
438.214(a)]: 
  

	a.	Communicate with the network regarding contractual and/or program changes and requirements; 

  

	b.	Monitor network compliance with policies and rules of AHCCCS and the Contractor, including compliance with all policies and procedures related to the grievance/appeal processes and ensuring the member’s care is not
compromised during the grievance/appeal processes; 

  

					
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	c.	Evaluate the quality of services delivered by the network; 

  

	d.	Provide or arrange for medically necessary covered services should the network become temporarily insufficient within the contracted service area; 

 

	e.	Monitor the adequacy, accessibility and availability of its provider network to meet the needs of its members, including the provision of care to members with limited proficiency in English; 

 

	f.	Process provisional credentials; 

  

	g.	Recruit, select, credential, re-credential and contract with providers in a manner that incorporates quality management, utilization, office audits and provider profiling; 

 

	h.	Provide training for its providers and maintain records of such training; 

  

	i.	Track and trend provider inquiries/complaints/requests for information and take systemic action as necessary and appropriate; and 

  

	j.	Ensure that provider calls are acknowledged within three business days of receipt, resolved and/or state the result communicated to the provider within 30 business days of receipt (this includes referrals from AHCCCS).

 Contractor policies shall be subject to approval by AHCCCS, Division of Health Care Management, and shall be monitored through operational
audits. 
 The Contractor shall hold a Provider Forum no less than quarterly. The forum must be chaired by the Contractor’s Administrator/CEO or
designee. The purpose of the forum is to improve communication between the Contractor and its providers. The forum shall be open to all providers including dental providers. The Provider Forum shall not be the only venue for the Contractor to
communicate and participate in the issues affecting the provider network. Provider Forum meeting agendas and minutes must be made available to AHCCCS upon request. The Contractor shall report information discussed during these Forums to Executive
Management within the organization. 
 Material Change to Provider Network 

All material changes in the Contractor’s provider network that are initiated by the Contractor must be approved in advance by AHCCCS, Division of Health
Care Management. A material change to the provider network is defined as one which affects, or can reasonably be foreseen to affect, the Contractor’s ability to meet the performance and network standards as described in this contract. It also
includes any change that would cause more than 5% of members in the GSA to change the location where services are received or rendered. The Contractor must submit the request for approval of a material change in their provider network, including
notification to affected members, as specified in Attachment F3, Contractor Chart of Deliverables. The request must include a description of any short-term gaps identified as a result of the change and the alternatives that will be used to fill
them. AHCCCS will respond to the Contractor within 30 days. A material change in the Contractor’s provider network requires 30 days advance written notice to affected members. For emergency situations, AHCCCS will expedite the approval process.

 The Contractor shall notify AHCCCS, Division of Health Care Management, of any unexpected changes that would impair its provider network, as specified in
Attachment F3, Contractor Chart of Deliverables [42 CFR 438.207 (c)]. This notification shall include (1) information about how the provider network change will affect the delivery of covered services, and (2) the Contractor’s plans
for maintaining the quality of member care, if the provider network change is likely to affect the delivery of covered services. 
 See Section D, Paragraph
55, Capitation Adjustments regarding material changes by the Contractor that may impact capitation rates. 
 The Contractor shall give hospitals and
provider groups 90 days’ notice prior to a contract termination without cause. Contracts between the Contractor and single practitioners are exempt from this requirement. 

Provider/Network Changes Report: The Contractor must submit a Quarterly Provider/Network Changes Due to Rates Report as described in ACOM Policy
415 and Attachment F3, Contractor Chart of Deliverables. 

  

					
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	30.	PRIMARY CARE PROVIDER STANDARDS 

 The Contractor shall include in its provider network a sufficient
number of PCPs to meet the requirements of this contract. Health care providers designated by the Contractor as PCPs shall be licensed in Arizona as allopathic or osteopathic physicians who generally specialize in family practice, internal medicine,
obstetrics, gynecology, or pediatrics; certified nurse practitioners or certified nurse midwives; or physician’s assistants [42 CFR 438.206(b)(2)]. 

The Contractor shall assess the PCP’s ability to meet AHCCCS appointment availability and other standards when determining the appropriate number of its
members to be assigned to a PCP. The Contractor shall adjust the size of a PCP’s panel, as needed, for the PCP to meet AHCCCS appointment and clinical performance standards. AHCCCS shall inform the Contractor when a PCP has a panel of more than
1,800 AHCCCS members, to assist in the assessment of the size of their panel. This information will be provided on a quarterly basis. 
 The Contractor
shall have a system in place to monitor and ensure that each member is assigned to an individual PCP and that the Contractor’s data regarding PCP assignments is current. The Contractor is encouraged to assign members with complex medical
conditions, who are age 12 and younger, to board certified pediatricians. PCPs with assigned members diagnosed with AIDS or as HIV positive, shall meet criteria and standards set forth in the AMPM. 

The Contractor shall ensure that providers serving EPSDT-aged members utilize AHCCCS-approved EPSDT Tracking forms and standardized developmental screening
tools and are trained in the use of the tools. EPSDT-aged members shall be assigned to providers who are trained on and who use AHCCCS approved developmental screening tools. 

The Contractor shall offer members freedom of choice within its network in selecting a PCP consistent with 42 CFR 438.6(m) and 438.52(d) and this contract.
The Contractor may restrict this choice when a member has shown an inability to form a relationship with a PCP, as evidenced by frequent changes, or when there is a medically necessary reason. When a new member has been assigned to the Contractor,
the Contractor shall inform the member in writing of his enrollment and of his PCP assignment within 12 business days of the Contractor’s receipt of notification of assignment by AHCCCS. See ACOM Policy 404. 

At a minimum, the Contractor shall hold the PCP responsible for the following activities [42 CFR 438.208(b)(1)]: 

 

	a.	Supervising, coordinating and providing care to each assigned member (except for well woman exams and children’s dental services when provided without a PCP referral); 

 

	b.	Initiating referrals for medically necessary specialty care; 

  

	c.	Maintaining continuity of care for each assigned member; 

  

	d.	Maintaining the member’s medical record, including documentation of all services provided to the member by the PCP, as well as any specialty or referral services including behavioral health; 

 

	e.	Utilizing the AHCCCS approved EPSDT Tracking form; 

  

	f.	Providing clinical information regarding member’s health and medications to the treating provider (including behavioral health providers) within 10 business days of a request from the provider; and

  

	g.	If serving children, for enrolling as a Vaccines for Children (VFC) provider. 

 The Contractor shall establish
and implement policies and procedures to monitor PCP activities and to ensure that PCPs are adequately notified of, and receive documentation regarding, specialty and referral services provided to assigned members by specialty physicians, and other
health care professionals. 

  

					
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	31.	MATERNITY CARE PROVIDER STANDARDS 

 The Contractor shall ensure that a maternity care provider is
designated for each pregnant member for the duration of her pregnancy and postpartum care and that those maternity services are provided in accordance with the AMPM. The Contractor may include in its provider network the following maternity care
providers: 
  

	a.	Arizona licensed allopathic and/or osteopathic physicians who are obstetricians or general practice/family practice providers who provide maternity care services 

 

	b.	Physician Assistants 

  

	c.	Nurse Practitioners 

  

	d.	Certified Nurse Midwives 

  

	e.	Licensed Midwives 

 Pregnant members may choose, or be assigned, a PCP who provides obstetrical care. Such
assignment shall be consistent with the freedom of choice requirements for selecting health care professionals while ensuring that the continuity of care is not compromised. Members receiving maternity services from a certified nurse midwife or a
licensed midwife must also be assigned to a PCP for other health care and medical services. A certified nurse midwife may provide primary care services that he or she is willing to provide and that the member elects to receive from the certified
nurse midwife. Members receiving care from a certified nurse midwife may elect to receive some or all of her primary care from the assigned PCP. Licensed midwives may not provide any additional medical services as primary care is not within their
scope of practice. 
 All physicians and certified nurse midwives who perform deliveries shall have hospital privileges for obstetrical services.
Practitioners performing deliveries in alternate settings shall have a documented hospital coverage agreement. Licensed midwives perform deliveries only in the member’s home. Labor and delivery services may be provided in the member’s home
by physicians, nurse practitioners, and certified nurse midwives who include such services within their practice. 
  

	32.	REFERRAL MANAGEMENT PROCEDURES AND STANDARDS 

 The Contractor shall have adequate written procedures
regarding referrals to specialists, to include, at a minimum, the following: 
 Use of referral forms clearly identifying the Contractor; 

 

	a.	A process in place that ensures the member’s PCP receives all specialist and consulting reports and a process to ensure PCP follow-up of all referrals including EPSDT referrals for behavioral health services;

  

	b.	A referral plan for any member who is about to lose eligibility and who requests information on low-cost or no-cost health care services; 

 

	c.	Referral to Medicare; 

  

	d.	Women shall have direct access to in-network gynecological providers, including physicians, physician assistants and nurse practitioners within the scope of their practice [42 CFR 438.206(b)(2)]; 

 

	e.	For members with special health care needs determined to need a specialized course of treatment or regular care monitoring, the Contractor must have a mechanism in place to allow such members to directly access a
specialist (for example through a standing referral or an approved number of visits) as appropriate for the member’s condition and identified needs; and 

  

	f.	Allow for a second opinion from a qualified health care professional within the network, or if one is not available in network, arrange for the member to obtain one outside the network, at no cost to the member [42 CFR
438.206(b)(3)]. 

 The Contractor shall comply with all applicable physician referral requirements and conditions defined in Sections 1903(s)
and 1877 of the Social Security Act and their implementing regulations which include, but are not limited to, 42 CFR Part 411, Part 424, Part 435 and Part 455. Sections 1903(s) and 1877 of the Act prohibits physicians from making referrals for
designated health services to health care entities with which the physician or a member of the physician’s family has a financial relationship. Designated health services include: 

 

	a.	Clinical laboratory services 

  

					
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	b.	Physical therapy services 

  

	c.	Occupational therapy services 

  

	d.	Radiology services 

  

	e.	Radiation therapy services and supplies 

  

	f.	Durable medical equipment and supplies 

  

	g.	Parenteral and enteral nutrients, equipment and supplies 

  

	h.	Prosthetics, orthotics and prosthetic devices and supplies 

  

	i.	Home health services 

  

	j.	Outpatient prescription drugs 

  

	k.	Inpatient and outpatient hospital services 

  

	33.	APPOINTMENT STANDARDS 

 The Contractor shall monitor appointment availability utilizing the methodology
found in the ACOM Policy 417. For purposes of this section, “urgent” is defined as an acute, but not necessarily life-threatening disorder, which, if not attended to, could endanger the patient’s health. The Contractor shall have
procedures in place that ensure the following standards are met. 
 For Primary Care Appointments, the Contractor shall be able to provide:

  

	a.	Emergency appointments the same day or within 24 hours of the member’s phone call or other notification 

  

	b.	Urgent care appointments within 2 days of request 

  

	c.	Routine care appointments within 21 days of request 

 For Specialty Referrals, the Contractor
shall be able to provide: 
  

	a.	Emergency appointments within 24 hours of referral 

  

	b.	Urgent care appointments within 3 days of referral 

  

	c.	Routine care appointments within 45 days of referral 

 For Dental Appointments, the Contractor
shall be able to provide: 
  

	a.	Emergency appointments within 24 hours of request 

  

	b.	Urgent care appointments within 3 days of request 

  

	c.	Routine care appointments within 45 days of request 

 For Maternity Care, the Contractor shall be
able to provide initial prenatal care appointments for enrolled pregnant members as follows: 
  

	a.	First trimester - within 14 days of request 

  

	b.	Second trimester - within 7 days of request 

  

	c.	Third trimester - within 3 days of request 

  

	d.	High risk pregnancies - within 3 days of identification of high risk by the Contractor or maternity care provider, or immediately if an emergency exists 

The Contractor shall actively monitor provider compliance with appointment standards as required in ACOM Policy 417. 

For wait time in the office, the Contractor shall actively monitor and ensure that a member’s waiting time for a scheduled appointment at the
PCP’s or specialist’s office is no more than 45 minutes, except when the provider is unavailable due to an emergency. 

  

					
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 For medically necessary non-emergent transportation, the Contractor shall schedule transportation so
that the member arrives on time for the appointment, but no sooner than one hour before the appointment; nor have to wait more than one hour after the conclusion of the treatment for transportation home; nor be picked up prior to the completion of
treatment. Also see Section D, Paragraph 11, Special Health Care Needs. The Contractor must develop and implement a quarterly performance auditing protocol to evaluate compliance with the standards above for all subcontracted transportation
vendors/brokers and require corrective action if standards are not met. 
 The Contractor must use the results of appointment standards monitoring to assure
adequate appointment availability in order to reduce unnecessary emergency department utilization. The Contractor is also encouraged to contract with or employ the services of non-emergency facilities to address member non-emergency care issues
occurring after regular office hours or on weekends. 
 The Contractor shall establish processes to monitor and reduce the appointment “no-show”
rate by provider and service type. As best practices are identified, AHCCCS may require implementation by the Contractor. 
 The Contractor shall have
written policies and procedures about educating its provider network regarding appointment time requirements. The Contractor must develop a corrective action plan when appointment standards are not met; if appropriate, the corrective action plan
should be developed in conjunction with the provider [42 CFR 438.206(c)(1)(iv), (v) and (vi)]. Appointment standards shall be included in the Provider Manual. The Contractor is encouraged to include the standards in the provider subcontracts.

  

	34.	FEDERALLY QUALIFIED HEALTH CENTERS (FQHCs) AND RURAL HEALTH CLINICS (RHCs) 

 The Contractor is encouraged
to use FQHCs/RHCs and FQHC Look-Alikes in Arizona to provide covered services. AHCCCS requires the Contractor to negotiate rates of payment with FQHCs/RHCs and FQHC Look-Alikes for non-pharmacy services that are comparable to the rates paid to
providers that provide similar services. AHCCCS reserves the right to review a Contractor’s negotiated rates with an FQHC/RHC and FQHC Look-Alikes for reasonableness and to require adjustments when negotiated rates are found to be substantially
less than those being paid to other, non-FQHC/RHC/FQHC Look-Alikes providers for comparable services. 
 For FQHC and FQHC Look-Alike pharmacies, all drugs
identified in the 340B Drug Pricing Program are required to be billed at the lesser of: 1) the actual acquisition cost of the drug or 2) the 340B ceiling price. These drugs shall be reimbursed at the lesser of the two amounts above plus a dispensing
fee. See AHCCCS rule R9-22-710 (C) for further details. 
 The Contractor is required to submit member information for Title XIX and Title XXI members
for each FQHC/RHC/FQHC Look-Alikes as specified in Attachment F3, Contractor Chart of Deliverables. AHCCCS will perform periodic audits of the member information submitted. The Contractor should refer to the AHCCCS Financial Reporting Guide for
Acute Care Contractors with the Arizona Health Care Cost Containment System for further guidance. The FQHCs/RHCs/FQHC Look-Alikes registered with AHCCCS are listed on the AHCCCS website. 

 

	35.	PROVIDER MANUAL 

 The Contractor shall develop, distribute and maintain a provider manual as described in
ACOM Policy 416. 

  

					
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	36.	PROVIDER REGISTRATION 

 The Contractor shall ensure that all of its subcontractors register with AHCCCS
as an approved service provider. For specific requirements on Provider Registration refer to the AHCCCS website at: 

http://www.azahcccs.gov/commercial/ProviderRegistration/registration.aspx. 

The National Provider Identifier (NPI) is required on all claim submissions and subsequent encounters from providers who are eligible for an NPI. The
Contractor shall work with providers to obtain their NPI. 
 Except as otherwise required by law or as otherwise specified in a contract between a
Contractor and a provider, the AHCCCS fee-for-service provisions referenced in the AHCCCS Provider Participation Agreement located on the AHCCCS website (e.g. billing requirements, coding standards, payment rates) are in force between the provider
and Contractor. 
  

	37.	SUBCONTRACTS 

 The Contractor shall be legally responsible for contract performance whether or not
subcontracts are used [42 CFR 438.230(a) and 434.6(c)]. No subcontract shall operate to terminate the legal responsibility of the Contractor to assure that all activities carried out by the subcontractor conform to the provisions of this contract.
Subject to such conditions, any function required to be provided by the Contractor pursuant to this contract may be subcontracted to a qualified person or organization [42 CFR 438.6]. All such subcontracts must be in writing [42 CFR 438.6(l)]. See
ACOM Policy 203.  
 All subcontracts entered into by the Contractor are subject to prior review and written approval by AHCCCS, Division of Health
Care Management, and shall incorporate by reference the applicable terms and conditions of this contract. The following types of Administrative Services subcontracts shall be submitted to AHCCCS, Division of Health Care Management for prior approval
as specified in Attachment F3, Contractor Chart of Deliverables. 
 Administrative Services Subcontracts: 

 

	1.	Delegated agreements that subcontract; 

  

	 	a.	Any function related to the management of the contract with AHCCCS, 

  

	 	b.	Claims processing, including pharmacy claims, 

  

	 	c.	Credentialing including those for only primary source verification (CVO). 

  

	2.	All Management Service Agreements; 

  

	3.	All Service Level Agreements with any Division or Subsidiary of a corporate parent owner. 

 AHCCCS may, at its
discretion, communicate directly with the governing body or Parent Corporation of the Contractor regarding the performance of a subcontractor or Contractor respectively. 

The Contractor shall maintain a fully executed original or electronic copy of all subcontracts, which shall be accessible to AHCCCS within two business days
of the request by AHCCCS. All requested subcontracts must have full disclosure of all terms and conditions and must fully disclose all financial or other requested information. Information may be designated as confidential but may not be withheld
from AHCCCS as proprietary. Information designated as confidential may not be disclosed by AHCCCS without the prior written consent of the Contractor except as required by law. All subcontracts shall comply with the applicable provisions of Federal
and State laws, regulations and policies. 
 Before entering into a subcontract which delegates duties or responsibilities to a subcontractor the Contractor
must evaluate the prospective subcontractor’s ability to perform the activities to be delegated. If the Contractor 

  

					
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delegates duties or responsibilities then the Contractor shall establish a written agreement that specifies the activities and reporting responsibilities delegated to the subcontractor. The
written agreement shall also provide for revoking delegation or imposing other sanctions if the subcontractor’s performance is inadequate. The Contractor’s local CEO must retain the authority to direct and prioritize any delegated contract
requirements. In order to determine adequate performance, the Contractor shall monitor the subcontractor’s performance on an ongoing basis and subject it to formal review at least annually or more frequently if requested by AHCCCS. As a result
of the performance review, any deficiencies must be communicated to the subcontractor in order to establish a corrective action plan [42 CFR 438.230(b)]. The results of the performance review and the correction plan shall be communicated to AHCCCS
upon completion. 
 A merger, reorganization or change in ownership of an Administrative Services subcontractor of the Contractor shall require a contract
amendment and prior approval of AHCCCS. 
 The Contractor must submit the Administrative Services Annual Subcontractor Assignment and Evaluation Report as
specified in Attachment F3, Contractor Chart of Deliverables, detailing any Contractor duties or responsibilities that have been subcontracted as described under Administrative Services Subcontracts previously in this section. The Administrative
Services Annual Subcontractor Assignment and Evaluation Report will include the following: 
  

	 	•	 	Subcontractor’s name 

  

	 	•	 	Delegated duties and responsibilities 

  

	 	•	 	Most recent review date of the duties, responsibilities and financial position of the subcontractor 

  

	 	•	 	A comprehensive summary of the evaluation of the performance (operational and financial) of the subcontractor. The full report shall be made available upon request from AHCCCS. 

 

	 	•	 	Next scheduled review date 

  

	 	•	 	Identified areas of deficiency 

  

	 	•	 	Corrective action plans as necessary 

 If the subcontractor is in significant non-compliance with the
subcontract, the Contractor shall notify AHCCCS as specified in Attachment F3, Contractor Chart of Deliverables. The Contractor will submit this in writing and provide the corrective action plan and any measures taken by the Contractor to bring the
subcontractor into compliance. 
 Provider Agreements: The Contractor shall not include covenant-not-to-compete requirements in its provider
agreements. Specifically, the Contractor shall not contract with a provider and require that the provider not provide services for any other AHCCCS Contractor. In addition, the Contractor shall not enter into subcontracts that contain compensation
terms that discourage providers from serving any specific eligibility category. 
 The Contractor must make reasonable efforts to enter into a written
agreement with any provider providing services at the request of the Contractor more than 25 times during the previous contract year and/or are anticipated to continue providing services for the Contractor. The Contractor must follow ACOM Policy 415
and consider the repeated use of providers operating without a written agreement when assessing the adequacy of its network. 
 For all subcontracts in
which the Contractor and subcontractor have a capitated arrangement/risk sharing arrangement, the following provision must be included verbatim in every contract: 

If <the Subcontractor> does not bill <the Contractor>, < the subcontractor’s> encounter data that is required to be
submitted to <the Contractor> pursuant to contract is defined for these purposes as a “claim for payment”. <The Subcontractor’s> provision of any service results in a “claim for payment” regardless of whether
there is any intention of payment. All said claims shall be subject to review under any and all fraud and abuse statutes, rules and regulations, including but not limited to Arizona Revised Statute (A.R.S.) §36-2918. 

  

					
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 All subcontracts must reference and require compliance with the Minimum Subcontract Provisions. See Minimum
Subcontract Provisions on the AHCCCS Website at: 
 http://www.azahcccs.gov/commercial/MinimumSubcontractProvisions.aspx 

In addition, each subcontract must contain the following: 
  

	1.	Full disclosure of the method and amount of compensation or other consideration to be received by the subcontractor; 

  

	2.	Identification of the name and address of the subcontractor; 

  

	3.	Identification of the population, to include patient capacity, to be covered by the subcontractor; 

  

	4.	The amount, duration and scope of medical services to be provided, and for which compensation will be paid; 

  

	5.	The term of the subcontract including beginning and ending dates, methods of extension, termination and re-negotiation; 

  

	6.	The specific duties of the subcontractor relating to coordination of benefits and determination of third-party liability; 

  

	7.	A provision that the subcontractor agrees to identify Medicare and other third-party liability coverage and to seek such Medicare or third party liability payment before submitting claims to the Contractor;

  

	8.	A description of the subcontractor’s patient, medical, dental and cost record keeping system; 

  

	9.	Specification that the subcontractor shall cooperate with quality management programs, and comply with the utilization control and review procedures specified in 42 CFR Part 456, as specified in the AMPM;

  

	10.	A provision stating that a merger, reorganization or change in ownership of an Administrative Services subcontractor of the Contractor shall require a contract amendment and prior approval of AHCCCS; 

 

	11.	A provision that indicates that AHCCCS is responsible for enrollment, re-enrollment and disenrollment of the covered population; 

  

	12.	A provision that the subcontractor shall be fully responsible for all tax obligations, Worker’s Compensation Insurance, and all other applicable insurance coverage obligations which arise under this subcontract,
for itself and its employees, and that AHCCCS shall have no responsibility or liability for any such taxes or insurance coverage; 

  

	13.	A provision that the subcontractor must obtain any necessary authorization from the Contractor or AHCCCS for services provided to eligible and/or enrolled members; 

 

	14.	A provision that the subcontractor must comply with encounter reporting and claims submission requirements as described in the subcontract; 

 

	15.	Provision(s) that allow the Contractor to suspend, deny, refuse to renew or terminate any subcontractor in accordance with the terms of this contract and applicable law and regulation; 

 

	16.	A provision that the subcontractor may provide the member with factual information, but is prohibited from recommending or steering a member in the member’s selection of a Contractor; and 

 

	17.	A provision that compensation to individuals or entities that conduct utilization management and concurrent review activities is not structured so as to provide incentives for the individual or entity to deny, limit or
discontinue medically necessary services to any enrollee [42 CFR 438.210(e)]. 

  

	38.	CLAIMS PAYMENT/HEALTH INFORMATION SYSTEM 

 The Contractor shall develop and maintain claims processes
that ensure the correct collection and processing of claims, analyzes, integrates, and reports data. The processes shall result in information on areas including, but not limited to, service utilization, claim disputes and appeals [42 CFR
438.242(a)]. 

  

					
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 General Claims Processing Requirements 

The Contractor must include nationally recognized methodologies to correctly pay claims including but not limited to: 

 

	a.	Medicaid Correct Coding Initiative (NCCI) for Professional, ASC and Outpatient services 

  

	b.	Multiple Procedure/Surgical Reductions 

  

	c.	Global Day E & M Bundling standards 

 The Contractor claims payment system must be able to assess and/or
apply data related edits including but not limited to: 
  

	a.	Benefit Package Variations 

  

	b.	Timeliness Standards 

  

	c.	Data Accuracy 

  

	d.	Adherence to AHCCCS Policy 

  

	e.	Provider Qualifications 

  

	f.	Member Eligibility and Enrollment 

  

	g.	Over-Utilization Standards 

 The Contractor must produce a remittance advice related to the Contractor’s
payments and/or denials to providers and each must include at a minimum: 
  

	a.	The reasons for denials and adjustments 

  

	b.	An adequate description of all denials and adjustments 

  

	c.	The amount billed 

  

	d.	The amount paid 

  

	e.	Application of COB and copays 

  

	f.	Provider rights for claim disputes 

 The related remittance advice must be sent with the payment, unless the
payment is made by electronic funds transfer (EFT). Any remittance advice related to an EFT must be sent to the provider, no later than the date of the EFT. See Section D, Paragraph 64, Systems and Data Exchange Requirements, for specific standards
related to remittance advice and EFT payment. 
 AHCCCS requires the Contractor to attend and participate in AHCCCS workgroups including Technical
Consortium meetings to review upcoming initiatives and other technical issues. 
 Per A.R.S. §36-2904, unless a shorter time period is specified in
contract, the Contractor shall not pay a claim initially submitted more than six months after the end date of service, inpatient claim date of discharge or date of eligibility posting whichever is later, or pay a clean claim submitted more than 12
months after date of service; except as directed by AHCCCS or otherwise noted in this contract. Claim payment requirements pertain to both contracted and non-contracted providers. The receipt date of the claim is the date stamp on the claim or the
date electronically received. The receipt date is the day the claim is received at the Contractor’s specified claim mailing address. The paid date of the claim is the date on the check or other form of payment [42 CFR 447.45(d)]. Claims
submission deadlines shall be calculated from the claim end date of service, inpatient claim date of discharge or the effective date of eligibility posting, whichever is later as stated in A.R.S. §36-2904. 

Additionally, unless a subcontract specifies otherwise, the Contractor shall ensure that for each form type (Dental/Professional/Institutional), 95% of all
clean claims are adjudicated within 30 days of receipt of the clean claim and 99% are adjudicated within 60 days of receipt of the clean claim. 
 In
accordance with the Deficit Reduction Act of 2005, Section 6085, the Contractor is required to reimburse non-contracted emergency services providers at the AHCCCS Fee-For-Service rate. This applies to in State as well as out of State providers.

  

					
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 In accordance with A.R.S. §36-2903 and §36-2904, in the absence of a written negotiated rate and
when directed out of network by the Contractor, the Contractor is required to reimburse non-contracted non-emergent in State providers at the AHCCCS fee schedule and methodology, or pursuant to A.R.S. §36-2905.01, at 95% of the AHCCCS
Fee-For-Service rates for urban hospital days. All payments are subject to other limitations that apply, such as provider registration, prior authorization, medical necessity, and covered service. 

Effective for all non-hospital clean claims, in the absence of a contract specifying other late payment terms, a Contractor is required to pay interest
on late payments. Late claims payments are those that are paid after 45 days of receipt of the clean claim (as defined in this contract). In grievance situations, interest shall be paid back to the date interest would have started to accrue beyond
the applicable 45 day requirement. Interest shall be at the rate of 10% per annum, unless a different rate is stated in a written contract. In the absence of interest payment terms in a subcontract, interest shall accrue starting on the first
day after a clean claim is contracted to be paid. For hospital clean claims, a Contractor shall apply quick pay discounts and slow payment penalties, when appropriate, in accordance with A.R.S. §6-2903.01. When interest is paid, the Contractor
must report the interest as directed in the AHCCCS Encounter Manual. 
 Recoupments: The Contractor’s claims processes, as well as
its prior authorization and concurrent review process, must minimize the likelihood of having to recoup already-paid claims. 
 Any individual recoupment in
excess of $50,000 per provider, or Tax Identification Number within a contract year or greater than 12 months after the date of the original payment must be approved as specified in Attachment F3, Contractor Chart of Deliverables and, as further
described in ACOM Policy 412. Upon submission of a request for approval, AHCCCS will respond within 30 days of the recoupment request. 
 The Contractor is
required to reimburse providers for previously denied or recouped claims if the provider was subsequently denied payment by the primary insurer based on timely filing limits or lack of prior authorization and the member failed to initially disclose
additional insurance coverage other than AHCCCS. 
 The provider shall have 90 days from the date they become aware that payment will not be made to submit
a new claim to the Contractor which includes the documentation from the primary insurer that payment will not be made. Documentation includes but is not limited to any of the following items establishing that the primary insurer has or would deny
payment based on timely filing limits or lack of prior authorization; an EOB, policy or procedure, Provider Manual excerpt, etc. 
 The Contractor must void
encounters for claims that are recouped in full. For recoupments that result in a reduced claim value or adjustments that result in an increased claim value, replacement encounters must be submitted. AHCCCS may validate the submission of applicable
voids and replacement encounters upon completion of any approved recoupment that meets the qualifications of this section. All replaced or voided encounters must reach adjudicated status within 120 days of the approval of the recoupment. The
Contractor should refer to the ACOM Policy 412 and AHCCCS Encounter Manual for further guidance. 
 Appeals: If the Contractor or a
Director’s Decision reverses a decision to deny, limit, or delay authorization of services, and the member received the disputed services while an appeal was pending, the Contractor shall process a claim for payment from the provider in a
manner consistent with the Contractor’s or Director’s Decision and applicable statutes, rules, policies, and contract terms. The provider shall have 90 days from the date of the reversed decision to submit a clean claim to the Contractor
for payment. For all claims submitted as a result of a reversed decision, the Contractor is prohibited from denying claims for untimeliness if they are submitted within the 90 day timeframe. The Contractor is also prohibited from denying claims
submitted as a result of a reversed decision because the member failed to request continuation of services during the appeals/hearing process: a member’s failure to request continuation of services during the appeals/hearing process is not a
valid basis to deny the claim. 

  

					
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 Claims Processing Related Reporting: The Contractor shall submit a monthly Claims Dashboard as
specified in the AHCCCS Claims Dashboard Reporting Guide and Attachment F3, Contractor Chart of Deliverables. 
 AHCCCS may require the Contractor to review
claim requirements, including billing rules and documentation requirements, and submit a report to AHCCCS that will include the rationale for specified requirements. AHCCCS shall determine and provide a format for the reporting of this data at the
time of the request. 
 Claims System Audits: The Contractor shall develop and implement an internal ongoing claims audit function that will
include, at a minimum, the following: 
  

	a.	Verification that provider contracts are loaded correctly 

  

	b.	Accuracy of payments against provider contract terms 

 Audits of provider contract terms must be performed on a
regular and periodic basis and consist of a random, statistically significant sampling of all contracts in effect at the time of the audit. The audit sampling methodology must be documented in policy and the Contractor should review the contract
loading of both large groups and individual practitioners at least once every five year period in addition to any time a contract change is initiated during that timeframe. The findings of the audits described above must be documented and any
deficiencies noted in the resulting reports must be met with corrective action. 
 In addition, in the event of a system change or upgrade, as specified in
Attachment F3, Contractor Chart of Deliverables, the Contractor may also be required to initiate an independent audit of the Claim Payment/Health Information System. The Division of Health Care Management will approve the scope of this audit, and
may include areas such as a verification of eligibility and enrollment information loading, contract information management (contract loading and auditing), claims processing and encounter submission processes, and will require a copy of the final
audit findings. 
 Recovery Audit Contractor (RAC) Audits: A Recovery Audit Contractor (RAC) is a private entity that is contracted to
identify underpayments and overpayments, and to recoup overpayments made to providers. The Affordable Care Act of 2010 required States to establish Medicaid RAC programs. CMS promulgated rules regarding the implementation of the Medicaid RAC
requirements (42 CFR 455.500 et seq.), including the provision that Medicaid RACs are only required to review fee-for-service claims until a permanent Medicare managed care RAC program is fully operational or a viable State managed care model is
identified and CMS undertakes rules regarding managed care RAC efforts. 
 AHCCCS is exploring what opportunities may exist in the marketplace regarding a
methodology for conducting a recovery audit of its services delivered through its managed care contracts (excluding reinsurance). The Contractor shall participate in any RAC activities mandated by AHCCCS, via contract amendment or policy, upon
determination of the method of approach. 
  

	39.	SPECIALTY CONTRACTS 

 AHCCCS may at any time negotiate or contract on behalf of the Contractor and AHCCCS
for specialized hospital and medical services. AHCCCS will consider existing Contractor resources in the development and execution of specialty contracts. AHCCCS may require the Contractor to modify its delivery network to accommodate the provisions
of specialty contracts. AHCCCS may consider waiving this requirement in particular situations if such action is determined to be in the best interest of the State; however, in no case shall reimbursement exceeding that payable under the relevant
AHCCCS specialty contract be considered in capitation rate development or risk sharing arrangements, including reinsurance. 
 During the term of specialty
contracts, AHCCCS may act as an intermediary between the Contractor and specialty Contractors to enhance the cost effectiveness of service delivery, medical management, and 

  

					
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adjudication of claims related to payments provided under specialty contracts shall remain the responsibility of the Contractor. AHCCCS may provide technical assistance prior to the
implementation of any specialty contracts. 
 AHCCCS has specialty contracts, including but not limited to, transplant services, anti-hemophilic agents and
pharmaceutical related services. AHCCCS shall provide at least 60 days advance written notice to the Contractor prior to the implementation of any specialty contract. 
  

	40.	HOSPITAL SUBCONTRACTING AND REIMBURSEMENT 

 Maricopa and Pima counties Only: The Inpatient
Hospital Reimbursement Program is defined in the A.R.S. §36-2905.01, and requires hospital subcontracts to be negotiated between Contractors in Maricopa and Pima counties to establish reimbursement levels, terms and conditions. Subcontracts
shall be negotiated by the Contractor and hospitals to cover operational concerns, such as timeliness of claims submission and payment, payment of discounts or penalties and legal resolution, which may, as an option, include establishing arbitration
procedures. These negotiated subcontracts shall remain under close scrutiny by AHCCCS to insure availability of quality services within specific service districts, equity of related party interests and reasonableness of rates. The general provisions
of this program encompass acute care hospital services and outpatient hospital services that result in an admission. The Contractor, upon request, shall make available to AHCCCS, all hospital subcontracts and amendments. For non-emergency
patient-days, the Contractor shall ensure that at least 65% of its members use contracted hospitals. AHCCCS reserves the right to subsequently adjust the 65% standard. Further, if in AHCCCS’ judgment the number of non-emergency inpatient days
at a particular non-contracted hospital becomes significant, AHCCCS may require a subcontract at that hospital. In accordance with R9-22-718, unless otherwise negotiated by both parties, the reimbursement for inpatient services, including outliers,
provided at a non-contracted hospital shall be based on the rates as defined in A.R.S. §36-2903.01, multiplied by 95%. 
 All Counties
EXCEPT Maricopa and Pima: The Contractor shall reimburse hospitals for member care in accordance with AHCCCS rule R9-22 Article 7. The Contractor is encouraged to obtain subcontracts with hospitals in all GSAs. The Contractor, upon
request, shall make available to AHCCCS, all hospital subcontracts and amendments. 
 For Out-of-State Hospitals: The Contractor shall
reimburse out of State hospitals in accordance with R9-22 Article 7. A Contractor serving border communities (excluding Mexico) is strongly encouraged to establish contractual agreements with those out of State hospitals that are identified by GSA
in ACOM Policy 436. 
 Outpatient Hospital Services: In the absence of a contract, the default payment rate for outpatient
hospital services billed on a UB-04 will be based on the AHCCCS outpatient hospital fee schedule pursuant to A.R.S. §36-2904.  
 Hospital
Recoupments: The Contractor may conduct prepayment and post-payment medical reviews of all hospital claims including outlier claims. Erroneously paid claims are subject to recoupment. If the Contractor fails to identify lack of medical
necessity through concurrent review and/or prepayment medical review, lack of medical necessity identified during post-payment medical review shall not constitute a basis for recoupment by the Contractor. See also Section D, Paragraph 38, Claims
Payment/Health Information System. For a more complete description of the guidelines for hospital reimbursement, please consult the applicable statutes and rules. 
  

	41.	RESPONSIBILITY FOR NURSING FACILITY REIMBURSEMENT 

 The Contractor shall provide medically necessary
nursing facility services as outlined in Section D, Paragraph 10, Scope of Services. The Contractor shall also provide medically necessary nursing facility services for any enrolled member who has a pending ALTCS application who is currently
residing in a nursing facility and is 

  

					
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eligible for services provided under this contract. If the member becomes ALTCS eligible and is enrolled with an ALTCS Contractor before the end of the maximum 90 days per contract year of
nursing facility coverage, the Contractor is only responsible for nursing facility reimbursement during the time the member is enrolled with the Contractor as shown in the PMMIS. Nursing facility services covered by another liable party (including
Medicare) while the member is enrolled with the Contractor, shall be applied to the 90 day per contract year limitation. 
 The Contractor shall not deny
nursing facility services when the member’s eligibility, including prior period coverage, had not been posted at the time of admission. In such situations the Contractor shall impose reasonable authorization requirements. There is no ALTCS
enrollment, including prior period coverage that occurs concurrently with AHCCCS acute enrollment. 
 The Contractor shall notify the Assistant Director of
the Division of Member Services when a member has been residing in a nursing facility, alternative residential facility or receiving home and community based services for 45 days as specified in Section D, Paragraph 10, Scope of Services, under the
heading Nursing Facility. This will allow AHCCCS time to follow-up on the status of the ALTCS application and to consider potential fee-for-service coverage if the stay goes beyond the 90 day per contract year maximum. 

 

	42.	INCENTIVES/PAY FOR PERFORMANCE 

 Physician Incentives 

The reporting requirements under 42 CFR 417.479 have been suspended. No reporting to CMS is required until the suspension is lifted. 

The Contractor must comply with all applicable physician incentive requirements and conditions defined in 42 CFR 417.479. These regulations prohibit physician
incentive plans that directly or indirectly make payments to a doctor or a group as an inducement to limit or refuse medically necessary services to a member. The Contractor is required to disclose all physician incentive agreements to AHCCCS and to
AHCCCS members who request them. 
 The Contractor shall not enter into contractual arrangements that place providers at significant financial risk as
defined in 42 CFR 417.479 unless specifically approved in advance by the AHCCCS, Division of Health Care Management. In order to obtain approval, the following must be submitted to the AHCCCS, Division of Health Care Management 45 days prior to the
implementation of the contract [42 CFR 438.6(g)]: 
  

	1.	A complete copy of the contract; 

  

	2.	A plan for the member satisfaction survey; 

  

	3.	Details of the stop-loss protection provided; and 

  

	4.	A summary of the compensation arrangement that meets the substantial financial risk definition. 

 The
Contractor shall disclose to AHCCCS the information on physician incentive plans listed in 42 CFR 417.479(h)(1) through 417.479(I) as specified in Attachment F3, Contractor Chart of Deliverables. 

The Contractor shall also comply with all physician incentive plan requirements as set forth in 42 CFR 422.208, 422.210 and 438.6(h). These regulations apply
to contract arrangements with subcontracted entities that provide utilization management services. 
 Any Contractor-selected and/or developed pay for
performance initiative that meets the requirements of 42 CFR 417.479 must be approved by AHCCCS, Division of Health Care Management prior to implementation. 
  

	43.	MANAGEMENT SERVICES AGREEMENT AND COST ALLOCATION PLAN 

 If a Contractor has subcontracted for management
services, the management service agreement must be approved in advance by AHCCCS, Division of Health Care Management. If there is a cost allocation plan as part of the 

  

					
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management services agreement, it is subject to review by AHCCCS as specified in Attachment F3, Contractor Chart of Deliverables. AHCCCS reserves the right to perform a thorough review of actual
management fees charged and/or corporate allocations made. 
 If there is a change in ownership of the entity with which the Contractor has contracted for
management services, AHCCCS must review and provide prior approval of the assignment of the subcontract to the new owner. AHCCCS may offer open enrollment to the members assigned to the Contractor should a change in ownership occur. AHCCCS will not
permit two Acute Care Contractors to utilize the same management service company in the same GSA. 
 The performance of management service subcontractors
must be evaluated and included in the Annual Subcontractor Assignment and Evaluation Report required by Section D, Paragraph 37, Subcontracts and as specified in Attachment F3, Contractor Chart of Deliverables. 

 

	44.	MATERIAL CHANGE TO OPERATIONS 

 A material change to operations is defined as any change in overall
business operations (i.e., policy, process, protocol, such as prior authorization or retrospective review) which affects, or can reasonably be foreseen to affect, the Contractor’s ability to meet the performance standards as described in this
contract. It also includes any change that would impact more than 5% of total membership and/or provider network in a specific GSA. 
 The Contractor must
submit the request for approval of a material change to operations, including draft notification to affected members and providers, as specified in Attachment F3, Contractor Chart of Deliverables. The request should contain, at a minimum,
information regarding the nature of the operational change; the reason for the change; methods of communication to be used; and the anticipated effective date. AHCCCS will respond to the Contractor within 30 days. A material change in Contractor
operations requires 30 days advance written notice to affected providers and members. The requirements regarding material changes to operations do not extend to contract negotiations between the Contractor and a provider. 

The Contractor may be required to conduct meetings with providers to address issues (or to provide general information, technical assistance, etc.) related to
Federal and State requirements, changes in policy, reimbursement matters, prior authorization and other matters as identified or requested by the AHCCCS. 
  

	45.	MINIMUM CAPITALIZATION 

 The Contractor is required to meet a minimum capitalization requirement within
30 days after contract award. Details regarding this requirement are included in AHCCCS’ solicitation, released prior to the expiration of the current contract period. Once the new contract period commences, the minimum capitalization may be
applied to the Contractor’s equity per member standard, which continues throughout the contract period. See Section D, Paragraph 50, Financial Viability Standards. 
  

	46.	PERFORMANCE BOND OR BOND SUBSTITUTE 

 In addition to the minimum capitalization requirements, the
Contractor shall be required to establish and maintain a performance bond for as long as the Contractor has AHCCCS-related liabilities of $50,000 or more outstanding, or 15 months following the termination date of this contract, whichever is later,
to guarantee: (1) payment of the Contractor’s obligations to providers, and (2) performance by the Contractor of its obligations under this contract [42 CFR 438.116]. The Performance Bond shall be in a form acceptable to AHCCCS. See
ACOM Policy 306. 
 In the event of a default by the Contractor, AHCCCS shall, in addition to any other remedies it may have under this contract, obtain
payment under the Performance Bond or substitute security for the purposes of the following: 
  

	a.	Paying any damages sustained by providers, non-contracting providers and non-providers by reason of a breach of the Contractor’s obligations under this contract; 

  

					
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	b.	Reimbursing AHCCCS for any payments made by AHCCCS on behalf of the Contractor; and 

  

	c.	Reimbursing AHCCCS for any extraordinary administrative expenses incurred by reason of a breach of the Contractor’s obligations under this contract, including, but not limited to, expenses incurred after
termination of this contract for reasons other than the convenience of the State by AHCCCS. 

 In the event AHCCCS agrees to accept substitute
security in lieu of the security types outlined in ACOM Policy 306, the Contractor agrees to execute any and all documents and perform any and all acts necessary to secure and enforce AHCCCS’ security interest in such substitute security
including, but not limited to, security agreements and necessary UCC filings pursuant to the Arizona Uniform Commercial Code. The Contractor must request approval from AHCCCS before a substitute security in lieu of the security types outlined in the
ACOM Policy 306 is established. In the event such substitute security is agreed to and accepted by AHCCCS, the Contractor acknowledges that it has granted AHCCCS a security interest in such substitute security to secure performance of its
obligations under this contract. The Contractor is solely responsible for establishing the credit-worthiness of all forms of substitute security. AHCCCS may, after written notice to the Contractor, withdraw its permission for substitute security, in
which case the Contractor shall provide AHCCCS with a form of security described in ACOM Policy 306. 
 The Contractor may not change the amount, duration
or scope of the performance bond without prior written approval from AHCCCS, Division of Health Care Management. The Contractor shall not leverage the bond for another loan or create other creditors using the bond as security. 

 

	47.	AMOUNT OF PERFORMANCE BOND 

 The initial amount of the Performance Bond shall be equal to 100% of the
total capitation payment expected to be paid to the Contractor in the first month of the contract year, or as determined by AHCCCS. The total capitation amount (including delivery supplement) excludes premium tax. This requirement must be satisfied
by the Contractor no later than 30 days after notification by AHCCCS of the amount required. Thereafter, AHCCCS shall review the capitation amounts of the Contractor on a monthly basis to determine if the Performance Bond must be increased. The
Contractor shall have 30 days following notification by AHCCCS to increase the amount of the Performance Bond. The Performance Bond amount that must be maintained after the contract term shall be sufficient to cover all outstanding liabilities and
will be determined by AHCCCS. The Contractor may not change the amount of the performance bond without prior written approval from AHCCCS, Division of Health Care Management. Refer to ACOM Policy 305 for more details. 

 

	48.	ACCUMULATED FUND DEFICIT 

 The Contractor and its owners must review for accumulated fund deficits on a
quarterly and annual basis. In the event the Contractor has a fund deficit, the Contractor and its owners shall fund the deficit through capital contributions in a form acceptable to AHCCCS. The capital contributions must be for the period in which
the deficit is reported and shall occur within 30 days of the financial statement due to AHCCCS. AHCCCS at its sole discretion may impose a different timeframe other than the 30 days required in this paragraph. AHCCCS may, at its option, impose
enrollment caps in any or all GSA’s as a result of an accumulated deficit, even if unaudited. 
  

	49.	ADVANCES, DISTRIBUTIONS, LOANS AND INVESTMENTS 

 The Contractor shall not, without the prior approval of
AHCCCS, make any advances, distributions, loans or loan guarantees to related parties or affiliates including another fund or line of business within its organization. The Contractor shall not, without prior approval of AHCCCS, make loans or
advances to providers in excess of $50,000. All requests for prior approval are to be submitted to the AHCCCS, Division of Health Care Management, as specified in Attachment F3, Contractor Chart of Deliverables. Refer to the ACOM Policy 418 for
further information. 

  

					
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	50.	FINANCIAL VIABILITY STANDARDS 

 The Contractor must comply with the AHCCCS-established financial
viability standards. On a quarterly basis, AHCCCS will review the following ratios with the purpose of monitoring the financial health of the Contractor: current ratio; equity per member; medical expense ratio; and the administrative cost
percentage. These same standards will be reviewed for the financial statements applicable to the Contractor’s Medicare line of business if the Contractor is certified by AHCCCS. 

Sanctions may be imposed if the Contractor does not meet these financial viability standards. AHCCCS will take into account the Contractor’s unique
programs for managing care and improving the health status of members when analyzing medical expense and administrative ratio results. However, if a critical combination of the financial viability standards is not met, or if the Contractor’s
experience differs significantly from other Contractors, additional monitoring, such as monthly reporting, may be required. 
 FINANCIAL VIABILITY
STANDARDS – Acute Care 
  

			
	 Current Ratio
	  	Current assets divided by current liabilities. “Current assets” includes any long-term investments that can be converted to cash within 24 hours without significant penalty (i.e., greater than 20%).
		
		  	Standard: At least 1.00
		
		  	If current assets include a receivable from a parent company, the parent company must have liquid assets that support the amount of the intercompany loan.
		
	 Equity per Member
	  	Unrestricted equity, less on-balance sheet performance bond, divided by the number of non-SOBRA Family Planning Extension members enrolled at the end of the period.
		
		  	Standard: At least        $170 for Contractors with enrollment < 100,000
		
		  	               $115 for Contractors with enrollment of 100,000+

		
		  	Additional information regarding the Equity per Member requirement may be found in the ACOM Policy 305.
		
	 Medical Expense Ratio
	  	Total medical expenses less TPL divided by the sum of total PPC and prospective capitation + Delivery Supplement + All Reconciliation Settlements + Reinsurance less premium tax
		
		  	Standard: At least 85%
		
	 Administrative Cost Percentage
	  	Total administrative expenses divided by the sum of total PPC and prospective capitation + Delivery Supplement + All Reconciliation Settlements + Reinsurance less premium tax
		
		  	Standard: No greater than 10%

  

					
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 FINANCIAL VIABILITY STANDARD – Medicare Advantage Plan Certified by AHCCCS 

 

			
	 Equity per Member
	  	Unrestricted equity, less on-balance sheet performance bond, divided by the number of Medicare Advantage Plan dual eligible members enrolled at the end of the period.
		
		  	Standard: At least $350

 Additional information regarding the Equity per Member requirement may be found in the ACOM Policy 313. 

The Contractor shall comply with all financial reporting requirements contained in Attachment F3, Contractor Chart of Deliverables for the Acute Care line of
business. The Contractor shall also comply with all financial reporting requirements contained in the AHCCCS Financial Reporting Guide for Acute Care Contractors, a copy of which may be found on the AHCCCS website. This reporting is required for
both the Acute Care and Medicare lines of business, regardless of the licensing or certifying entity for the Medicare Advantage Plan. If the Contractor is a Medicare Advantage Plan licensed through the Department of Insurance, quarterly reporting to
AHCCCS is required for informational purposes only. The required reports are subject to change during the contract term and are summarized in Attachment F3, Contractor Chart of Deliverables. See ACOM Policy 305 for more detail. 

 

	51.	SEPARATE INCORPORATION 

 Within 120 days of contract award, a non-governmental Contractor shall have
established a separate corporation for the purposes of this contract, whose sole activity is the performance of the requirements of this contract or other contracts with AHCCCS. 

 

	52.	MERGER, REORGANIZATION AND CHANGE OF OWNERSHIP 

 A proposed merger, reorganization, change in ownership,
change in articles of incorporation, and joint ventures of the Contractor shall require prior approval of AHCCCS, as specified in Attachment F3, Contractor Chart of Deliverables, and may require a contract amendment. AHCCCS may terminate this
contract pursuant to Section E, Contract Terms and Conditions, Paragraph 44, Temporary Management/Operation of a Contractor and Termination. If the Contractor does not obtain prior approval or AHCCCS determines that a merger, reorganization or
change in ownership is not in the best interest of the State, AHCCCS may offer open enrollment to the members assigned to the Contractor should a merger, reorganization or change in ownership occur. AHCCCS will not permit one organization to own or
manage more than one contract within the same program in the same GSA. 
 The Contractor must submit notification to AHCCCS, Division of Health Care
Management, of a merger, reorganization or change of ownership at least 180 days prior to the effective date. The Contractor must also submit a detailed merger, reorganization and/or transition plan to AHCCCS, Division of Health Care Management, for
review at least 90 days prior to the effective date of the proposed change. The purpose of the plan review is to ensure uninterrupted services to members, evaluate the new entity’s ability to maintain and support the contract requirements, and
to ensure that services to members are not diminished and that major components of the organization and AHCCCS programs are not adversely affected by such merger, reorganization or change in ownership. 

 

	53.	COMPENSATION 

 The method of compensation under this contract will be Prior Period Coverage (PPC)
capitation, prospective capitation, delivery supplement, and reinsurance, as described and defined within this contract and appropriate laws, regulations or policies. 

  

					
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 Actuaries establish the capitation rates using practices established by the Actuarial Standards Board. AHCCCS
provides the following data to its actuaries for the purposes of rebasing and/or updating the capitation rates: 
  

	a.	Utilization and unit cost data derived from adjudicated encounters 

  

	b.	Both audited and unaudited financial statements reported by the Contractor 

  

	c.	Market basket inflation trends 

  

	d.	AHCCCS fee-for-service schedule pricing adjustments 

  

	e.	Programmatic or Medicaid covered service changes that affect reimbursement 

  

	f.	Other changes to medical practices or administrative requirements that affect reimbursement 

 AHCCCS adjusts
its rates to best match payment to risk. This further ensures the actuarial basis for the capitation rates. AHCCCS utilizes a national episodic/diagnostic risk adjustment model that will be applied to all prospective capitation rates for all risk
groups (excluding supplemental payments and SOBRA Family Planning). Additional risk factors that may be considered in capitation rate development include: 
  

	a.	Reinsurance (as described in Section D, Paragraph 57, Reinsurance) 

  

	b.	Age/Gender 

  

	c.	Medicare enrollment 

  

	d.	Delivery supplemental payment 

  

	e.	Geographic Service Area adjustments 

  

	f.	Risk sharing arrangements for specific populations 

  

	g.	Member specific statistics, e.g. member acuity, member choice, member diagnosis, etc. 

 The above information
is reviewed by AHCCCS’ actuaries in renewal years to determine if adjustments are necessary. A Contractor may cover services that are not covered under the State Plan; however those services are not included in the data provided to actuaries
for setting capitation rates [42 CFR 438.6(e)]. 
 In instances in which AHCCCS has specialty contracts or legislation/policy limits the allowable
reimbursement for certain services or pharmaceuticals, the amount to be used in the capitation rate setting process and reconciliations will be the lesser of the contracted/mandated amount or the Contractor paid amount. 

Prospective Capitation: The Contractor will be paid capitation for all prospective member months, including partial member months. This
capitation includes the cost of providing medically necessary covered services to members during the prospective period coverage. 
 Prior Period
Coverage (PPC) Capitation: Except for SOBRA Family Planning services, and KidsCare, the Contractor will be paid capitation for all PPC member months, including partial member months. This capitation includes the cost of providing medically
necessary covered services to members during prior period coverage. The PPC capitation rates will be set by AHCCCS and will be paid to the Contractor along with the prospective capitation described above. The Contractor will not receive PPC
capitation for newborns of members who are enrolled at the time of delivery. 
 Reconciliation of Prospective Costs to Reimbursement: AHCCCS
will reconcile the Contractor’s prospective medical cost expenses to prospective net capitation paid to the Contractor. Refer to the ACOM Policy 311 for further details. This reconciliation will limit the Contractor’s profits and losses as
follows: 
  

																	
	 	  	 	 	 	 	 	 	Max MCO	 	 	Cumulative	 
	 Profit
	  	MCO Share	 	 	State Share	 	 	Profit	 	 	MCO Profit	 
	 <= 3%
	  	 	100	% 	 	 	0	% 	 	 	3	% 	 	 	3	% 
	 > 3% and <= 6 %
	  	 	50	% 	 	 	50	% 	 	 	1.5	% 	 	 	4.5	% 
	 > 6%
	  	 	0	% 	 	 	100	% 	 	 	0	% 	 	 	4.5	% 

  

					
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	 	  	 	 	 	 	 	 	Max MCO	 	 	Cumulative	 
	 Loss
	  	MCO Share	 	 	State Share	 	 	Loss	 	 	MCO Loss	 
	 <= 3%
	  	 	100	% 	 	 	0	% 	 	 	3	% 	 	 	3	% 
	 > 3%
	  	 	0	% 	 	 	100	% 	 	 	0	% 	 	 	3	% 

 Reconciliation of PPC Costs to Reimbursement: AHCCCS will reconcile the Contractor’s PPC medical cost
expenses to PPC capitation paid to the Contractor during the year. This reconciliation will limit the Contractor’s profits and losses to 2%. Any losses in excess of 2% will be reimbursed to the Contractor, and likewise, profits in excess of 2%
will be recouped. Refer to the ACOM Policy 302-I for further details. 
 Cost Settlement for Primary Care Payment Parity: The Patient
Protection and Affordable Care Act (ACA) requires that the Contractor pay qualified primary care providers (and other providers specified in ACA) fees that are no less than the Medicare fee schedule in effect for 2013 and 2014, or the fee schedule
rate that would result from applying the 2009 Medicare conversion factor, whichever is greater, for certain services designated by specific Current Procedural Terminology (CPT) codes. AHCCCS has developed an enhanced fee schedule containing the
qualifying codes using the 2009 Medicare conversion factor in compliance with the greater-of requirement. The enhanced payments apply only to services provided on and after January 1, 2013 by qualified providers, who self-attest to AHCCCS as
defined in the federal regulations. 
 The Contractor shall reprocess all qualifying claims for qualifying providers back to January 1, 2013 dates of
service with no requirements that providers re-submit claims or initiate any action. The Contractor shall not apply any discounts to the enhanced rates. 

In the event that a provider retroactively loses his/her qualification for enhanced payments, the Contractor shall identify impacted claims and automatically
reprocess for the recoupment of enhanced payments. It is expected that this reprocessing will be conducted by the Contractor without requirement of further action by the provider. 

AHCCCS will make quarterly cost-settlement payments to the Contractor based upon adjudicated/approved encounter data. The Contractor will be required to
refund payments to AHCCCS for any reduced claim payments in the event that a provider is subsequently “decertified” for enhanced payments due to audit or other reasons. 

Refer to ACOM Draft Policy for further details. 
 Delivery
Supplement: When the Contractor has an enrolled woman who delivers during a prospective enrollment period, the Contractor will be entitled to a supplemental payment. Supplemental payments will not apply to women who deliver in a prior period
coverage time period, or State Only Transplant members. AHCCCS reserves the right at any time during the term of this contract to adjust the amount of this payment for women who deliver at home. See ACOM Policy 310. 

Payment Reform – Shared Savings: The Contractor shall participate in payment reform efforts as delineated by ACOM Policy 315 and as
specified in Attachment F3, Contractor Chart of Deliverables. Quality distributions to Contractors will be funded by deducting 1 percent from Prospective Gross Capitation (Quality Withhold) exclusive of Delivery Supplemental, SOBRA Family Planning
Extension Program, KidsCare and State Only Transplant payments. 100% of the Quality Withhold will be paid to one or more Contractors according to the Contractors’ performance on selected Quality Management Performance Measures relative to
minimum performance standards established by CQM and the Contractors’ ranking on QMPMs. 
 State Only Transplants Option 1 and Option 2:
The Contractor will only be paid capitation for an administrative component for those member months the member is enrolled with the Contractor. For Option 1 members the Contractor will be paid the administrative component up to a 12-month continuous
period of extended eligibility. For Option 2 members the administrative component will be paid for the period of time the 

  

					
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 transplant is scheduled or performed. All medically necessary covered services will be reimbursed 100% with
no deductible through Reinsurance payments based on adjudicated encounters. Delivery supplemental payments will not apply to women who deliver during the 12 month continuous period of extended eligibility specified as Option 1. 

 

	54.	PAYMENTS TO CONTRACTORS 

 Subject to the availability of funds, AHCCCS shall make payments to the
Contractor in accordance with the terms of this contract provided that the Contractor’s performance is in compliance with the terms and conditions of this contract. Payment must comply with requirements of A.R.S. Title 36. AHCCCS reserves the
option to make payments to the Contractor by wire or National Automated Clearing House Association (NACHA) transfer and will provide the Contractor at least 30 days’ notice prior to the effective date of any such change. 

Where payments are made by electronic funds transfer, AHCCCS shall not be liable for any error or delay in transfer or indirect or consequential damages
arising from the use of the electronic funds transfer process. Any charges or expenses imposed by the bank for transfers or related actions shall be borne by the Contractor. Except for adjustments made to correct errors in payment, and as otherwise
specified in this contract, any savings remaining to the Contractor as a result of favorable claims experience and efficiencies in service delivery at the end of the contract term may be kept by the Contractor. 

All funds received by the Contractor pursuant to this contract shall be separately accounted for in accordance with generally accepted accounting principles.

 Except for monies received from the collection of third-party liabilities, the only source of payment to the Contractor for the services provided
hereunder is from funds under the control of the AHCCCS. An error discovered by the State, in the amount of fees paid to the Contractor, with or without an audit, will be subject to adjustment or repayment by AHCCCS via a recoupment from future
payment(s) to the Contractor, or by making an additional payment to the Contractor. When the Contractor identifies an overpayment, AHCCCS must be notified and reimbursed within 30 days of identification. 

No payment due the Contractor by AHCCCS may be assigned or pledged by the Contractor. This section shall not prohibit AHCCCS at its sole option from making
payment to a fiscal agent hired by the Contractor. 
  

	55.	CAPITATION ADJUSTMENTS 

 Except for changes made specifically in accordance with this contract, the rates
set forth in Section B shall not be subject to re-negotiation during the contract period. AHCCCS may, at its option, review capitation rates to determine if a capitation adjustment is needed for reasons including, but not limited to, the following:

  

	 	•	 	Program changes 

  

	 	•	 	Legislative requirements 

  

	 	•	 	Changes in trend assumptions 

  

	 	•	 	Updated encounter experience 

  

	 	•	 	Actuarial assumptions 

 If a capitation rate adjustment is determined necessary, the adjustment and assumptions
may be discussed with the Contractor prior to modifying capitation rates. The Contractor may request a review of a program change if it believes the program change was not equitable; AHCCCS will not unreasonably withhold such a review. 

The Contractor is responsible for notifying AHCCCS of program and/or expenditure changes initiated by the Contractor during the contract period that may
result in material changes to the current or future capitation rates. 

  

					
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 Contractor Default: If the Contractor is in any manner in default in the performance of any
obligation under this contract, AHCCCS may, at its option and in addition to other available remedies, adjust the amount of payment until there is satisfactory resolution of the default. 

Change in Member Status: The Contractor shall reimburse AHCCCS and/or AHCCCS may deduct from future monthly capitation for any portion of a
month during which the Contractor was not at risk due to, for example: 
  

	 	a.	Death of a member 

  

	 	b.	Inmate of a public institution 

  

	 	c.	Duplicate capitation to the same Contractor 

  

	 	d.	Adjustment based on change in member’s contract type 

  

	 	e.	Voluntary withdrawal 

 Upon becoming aware that a member may be an inmate of a public institution, the
Contractor must notify AHCCCS for an eligibility determination. Notifications must be sent via email to one of the following two email addresses as applicable: 

For children under age 18: DMSJUVENILEIncarceration@azahcccs.gov 

For adults age 18 and older: DMSADULTIncarceration@azahcccs.gov 

Notifications must include: 
  

	 	•	 	AHCCCS ID 

  

	 	•	 	Name 

  

	 	•	 	Date of Birth (DOB) 

  

	 	•	 	When incarcerated 

  

	 	•	 	Where incarcerated 

 The Contractor does not need to report members incarcerated with the Arizona
Department of Corrections. 
 Several counties are submitting daily files of all inmates entering their jail and all inmates released. AHCCCS will match
these files against the database of active AHCCCS members. AHCCCS members who become incarcerated will be disenrolled from their Contractor and placed in a “no-pay” status for the duration of their incarceration. The Contractor will see
the “IE” code for ineligible associated with the disenrollment. Upon release from jail, the member will be re-enrolled with their previous Contractor. A member is eligible for covered services until the effective date of the member’s
“no-pay” status. 
 If a member is enrolled twice with the same Contractor, recoupment will be made as soon as the double capitation is
identified. AHCCCS reserves the right to modify its policy on capitation recoupments at any time during the term of this contract. 
  

	56.	MEMBER BILLING AND LIABILITY FOR PAYMENT 

 AHCCCS registered providers may charge AHCCCS members for
services which are excluded from AHCCCS coverage or which are provided in excess of AHCCCS limits according to the guidelines set forth in R9-22-702. 
 The
Contractor must ensure that members are not held liable for: 
  

	 	a.	The Contractor’s or any subcontractor’s debts in the event of Contractor’s or the subcontractor’s insolvency [42 CFR 438.106(a)]; 

 

	 	b.	Covered services provided to the member except as permitted under R9-22-702, [42 CFR 438.106(b)(1)]; or, 

  

	 	c.	Payments to the Contractor or any subcontractors for covered services furnished under a contract, referral or other arrangement, to the extent that those payments are in excess of the amount the member would owe if the
Contractor or any subcontractor provided the services directly [42 CFR 438.106(b)(2); 42 CFR 438.106(c); 42 CFR 438.6(l); 42 CFR 438.230]. 

  

					
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	57.	REINSURANCE 

 Reinsurance is a stop-loss program provided by AHCCCS to the Contractor for the partial
reimbursement of covered medical services incurred for a member beyond an annual deductible level. AHCCCS is self-insured for the reinsurance program which is characterized by an initial deductible level and a subsequent coinsurance percentage. The
coinsurance percentage is the rate at which AHCCCS will reimburse the Contractor for covered services incurred above the deductible. The deductible is the responsibility of the Contractor. Deductible levels are subject to change by AHCCCS during the
term of this contract. Any change would have a corresponding impact on capitation rates. Refer to the AHCCCS Reinsurance Processing Manual for further details on the Reinsurance Program. 

The table below represents deductible and coinsurance levels. See specific case types below for coverage details. 

 

									
	 Reinsurance Case Type
	  	Deductible	 	  	Coinsurance	 
	 Regular Reinsurance
	  	$	25,000	  	  	 	75	% 
	 Catastrophic Reinsurance
	  	 	NA	  	  	 	85	% 
	 Transplant and Other Case Types
	  	 
 	See specific
paragraphs below	  
  	  	 
 	See specific
paragraphs below	  
  

 Annual deductible levels apply to all members except for State Only Transplant and SOBRA Family Planning Extension Program
members. Beginning October 1, 2014 and annually thereafter, the regular reinsurance deductible levels above may increase by $5,000. 
 PPC expenses are
not covered for any members under the reinsurance program unless they qualify under catastrophic or transplant reinsurance. 
 Reinsurance Case Types

 For all reinsurance case types, in the instances in which AHCCCS has specialty contracts or legislation/policy limits the allowable reimbursement for
certain services or pharmaceuticals the amount to be used in the computation of reinsurance will be the lesser of the contracted/mandated amount or the Contractor paid amount. 

Regular Reinsurance: Regular reinsurance covers partial reimbursement of covered inpatient facility medical services. This coverage applies to
prospective enrollment periods. In certain situations as outlined in the AHCCCS Reinsurance Processing Manual, per diem rates paid for nursing facility services provided within 30 days of an acute hospital stay, including room and board, provided in
lieu of hospitalization for up to 90 days in any contract year shall be eligible for reinsurance coverage. Same-day admit-and-discharge services do not qualify for reinsurance. 

  

					
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 Catastrophic Reinsurance: The Catastrophic Reinsurance program encompasses members receiving
certain biotech drugs and those members diagnosed with hemophilia, non-DDAVP responding Von Willebrand’s Disease or Gaucher’s Disease, as follows: 

Biotech Drugs: Catastrophic reinsurance is available to cover the cost of certain biotech drugs when medically necessary. The biotech
drugs covered under reinsurance may be reviewed by AHCCCS at the start of each contract year. Refer to the AHCCCS Reinsurance Processing Manual for a complete list of the approved biotech drugs. When a generic equivalent of a biotech drug is
available, AHCCCS will reimburse at the lesser of the biotech drug or its generic equivalent for reinsurance purposes, unless the generic equivalent is contra-indicated for a specific member. 

Hemophilia: Catastrophic reinsurance coverage is available for all members diagnosed with Hemophilia (ICD9 codes 286.0, 286.1,
286.2). 
 Von Willebrand’s Disease: Catastrophic reinsurance coverage is available for all members diagnosed with von
Willebrand’s Disease who are non-DDAVP responders and dependent on Plasma Factor VIII. 
 Gaucher’s Disease: Catastrophic
reinsurance is available for members diagnosed with Gaucher’s Disease classified as Type I and are dependent on enzyme replacement therapy. 
 For
additional detail and restrictions refer to the AHCCCS Reinsurance Processing Manual and the AMPM. There are no deductibles for catastrophic reinsurance cases. For member’s receiving biotech drugs, AHCCCS will reimburse at 85% of the cost of
the drug only. For those members diagnosed with hemophilia, Von Willebrand’s Disease and Gaucher’s Disease, all medically necessary covered services provided during the contract year shall be eligible for reimbursement at 85% of the AHCCCS
allowed amount or the Contractor’s paid amount, whichever is lower, depending on the subcap/CN1 code indicated on the encounter. 
 AHCCCS holds a
specialty contract for anti-hemophilic agents and related services for hemophilia. The Contractor may access anti-hemophilic agents and related pharmaceutical services for hemophilia or Von Willebrand’s under the terms and conditions of the
specialty contract for members enrolled in their plans. In that instance, the Contractor is the authorizing payor. As such, the Contractor will provide prior authorization, care coordination, and reimbursement for all components covered under the
contract for their members. A Contractor utilizing the contract will comply with the terms and conditions of the contract. A Contractor may use the AHCCCS contract or contract with a provider of their choice. Reinsurance coverage for anti-hemophilic
blood factors will be limited to 85% of the AHCCCS contracted amount or the Contractor’s paid amount, whichever is lower. 
 The Contractor must notify
AHCCCS, DHCM, Medical Management Unit, of cases identified for catastrophic reinsurance coverage, as specified in Attachment F3, Contractor Chart of Deliverables. Catastrophic reinsurance will be paid for a maximum 30-day retroactive period from the
date of notification to AHCCCS. 
 All catastrophic claims are subject to medical review by AHCCCS. 

Transplant Reinsurance: This program covers members who are eligible to receive covered major organ and tissue transplantation. Refer to the
AMPM and the AHCCCS Reinsurance Processing Manual for covered services for organ and tissue transplants. Reinsurance coverage for transplants received at an AHCCCS contracted facility is paid at the lesser of 85% of the AHCCCS contract amount for
the transplantation services rendered or 85% of the Contractor’s paid amount. Reinsurance coverage for transplants received at a non-AHCCCS contracted facility is paid the lesser of 85% of the lowest AHCCCS contracted rate, for the same organ
or tissue, or the Contractor paid amount. The AHCCCS contracted transplantation rates may be found on the AHCCCS website. The Contractor must notify AHCCCS, DHCM, Medical Management Unit when a member is referred to a transplant facility for
evaluation for an AHCCCS-covered organ transplant. In order to qualify for reinsurance benefits, the notification must be received by AHCCCS Medical Management Unit within 30 days of referral to the transplant facility for evaluation. 

  

					
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 If a Contractor intends to use an out of State transplant facility for a covered transplant and AHCCCS
already holds an in State contract for that transplant type, the Contractor must obtain prior approval from the AHCCCS Medical Director. If no prior approval is obtained, and the Contractor incurs costs at the out of State facility, those costs will
not be eligible for either transplant or regular reinsurance. 
 Option 1 and Option 2 Transplant Services: Reinsurance coverage for State
Only Option 1 and Option 2 members (as described in Section D, Paragraph 2, Eligibility Categories) for transplants received at an AHCCCS contracted facility is paid at the lesser of 100% of the AHCCCS contract amount for the transplantation
services rendered, or the Contractor paid amount, less the transplant share of cost. For transplants received at a facility not contracted with AHCCCS, payment is made at the lesser of 100% of the lowest AHCCCS contracted amount for the
transplantation services rendered, or the Contractor paid amount, less the transplant share of cost. All Option 1 and Option 2 transplants are subject to the terms regarding out of State transplants set forth above and in the AHCCCS Reinsurance
Processing Manual. The AHCCCS contracted transplantation rates may be found on the AHCCCS website. When a member is referred to a transplant facility for evaluation for an AHCCCS-covered organ transplant, the Contractor shall notify AHCCCS, DHCM,
Medical Management Unit as specified in the AMPM Chapter 300. 
 Option 1 Non-transplant Reinsurance: All medically
necessary covered services provided to Option 1 members, unrelated to the transplant, shall be eligible for reimbursement, with no deductible, at 100% of the Contractor’s paid amount based on adjudicated encounters. 

Other Reinsurance: For all reinsurance case types other than transplants, the Contractor will be reimbursed 100% for all medically necessary
covered expenses provided in a contract year, after the Contractor paid amount in the reinsurance case reaches $650,000. It is the responsibility of the Contractor to notify AHCCCS, DHCM, Reinsurance Supervisor, once a reinsurance case reaches
$650,000. The Contractor is required to split encounters as necessary once the reinsurance case reaches $650,000. Failure to notify AHCCCS or failure to split and adjudicate encounters appropriately within 15 months from the end date or service will
disqualify the related encounters for 100% reimbursement consideration. 
 Encounter Submission and Payments for Reinsurance 

Encounter Submission: All reinsurance associated encounters, except as provided below for “Disputed Matters,” must reach a clean claim
status within 15 months from the end date of service, or date of eligibility posting, whichever is later. 
 Disputed Matters: For encounters
which are the subject of a member appeal, provider claim dispute, or other legal action, including an informal resolution originating from a request for a formal claim dispute or member appeal, the Contractor has the greater of: 1) 90 days
from the date of the final decision in that proceeding/action or 2) 15 months from the end date of service/date of eligibility posting to file the reinsurance claim AND for the reinsurance claim to reach clean claim status. Therefore, reinsurance
claims for disputed matters will be considered timely if the Contractor files such claims in clean claim status no later than 90 days from the date of the final decision in that proceeding/action even though the 15 month deadline has expired. 

Failure to submit encounters in clean claim status within the applicable timeframes specified above will result in the denial of reinsurance. The association
of an encounter to a reinsurance case does not automatically qualify the encounter for reinsurance reimbursement. 
 The Contractor must void encounters for
any claims that are recouped in full. For recoupments that result in a reduced claim value or any adjustments that result in an increased claim value, replacement encounters must be submitted. See the AHCCCS Reinsurance Processing Manual for further
details. The Contractor should refer to Section D, Paragraph 65, Encounter Data Reporting, for additional encounter reporting requirements. 

  

					
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 Payment of Regular and Catastrophic Reinsurance Cases: AHCCCS will reimburse a Contractor for
costs incurred in excess of the applicable deductible level, subject to coinsurance percentages and Medicare/TPL payment, less any applicable quick pay discounts, slow payment penalties and interest. Amounts in excess of the deductible level shall
be paid based upon costs paid by the Contractor, minus the coinsurance and Medicare/TPL payment, unless the costs are paid under a subcapitated arrangement. In subcapitated arrangements, AHCCCS shall base reimbursement of reinsurance encounters on
the lower of the AHCCCS allowed amount or the reported health plan paid amount, minus the coinsurance and Medicare/TPL payment and applicable quick pay discounts, slow payment penalties and interest. 

When a member with an annual enrollment choice changes Contractors within a contract year, for reinsurance purposes, costs incurred for that member do not
follow the member to the receiving Contractor. Encounters from the Contractor the member is leaving (for dates of service within the current contract year) will not be applied toward the receiving Contractor’s deductible level. For further
details regarding this policy and other reinsurance policies refer to the AHCCCS Reinsurance Processing Manual. 
 Payment of Transplant
Reinsurance Cases: Reinsurance benefits are based upon the lower of the AHCCCS contract amount or the Contractor’s paid amount, subject to coinsurance percentages. The Contractor is required to submit all supporting encounters
for transplant services. Reinsurance payments are linked to transplant encounter submissions. In order to receive reinsurance payment for transplant stages, billed amounts and health plan paid amounts for adjudicated encounters must agree with
related claims and/or invoices. Timeliness for each stage payment will be calculated based on the latest adjudication date for the complete set of encounters related to the stage. Please refer to the AHCCCS Reinsurance Processing Manual for the
appropriate billing of transplant services.  
 Reinsurance Audits 

AHCCCS may, at a later date, perform medical audits on reinsurance cases. Terms of the audit process will be disclosed prior to implementation of the audits
providing the Contractor with appropriate advance notice. 
  

	58.	COORDINATION OF BENEFITS/THIRD PARTY LIABILITY 

 Pursuant to Federal and State law, AHCCCS is the payor
of last resort, except under limited situations. This means AHCCCS shall be used as a source of payment for covered services only after all other sources of payment have been exhausted. The Contractor shall coordinate benefits in accordance with 42
CFR 433.135 et seq., A.R.S. §36-2903, and R9-22-1001 et seq., so that costs for services otherwise payable by the Contractor are cost avoided or recovered from a liable party [42 CFR 434.6(a)(9)]. The term “State” shall be interpreted
to mean “Contractor” for purposes of complying with the Federal regulations referenced above. The Contractor may require subcontractors to be responsible for coordination of benefits for services provided pursuant to this contract. 

The two methods used in the coordination of benefits are cost avoidance and post-payment recovery. The Contractor shall use these methods as described in
A.A.C. R9-22-1001 et seq. and Federal and State law. See also Section D, Paragraph 60, Medicare Services and Cost Sharing. 
 Cost Avoidance:
The Contractor shall take reasonable measures to determine all legally liable parties. This refers to any individual, entity or program that is or may be liable to pay all or part of the expenditures for covered services. The Contractor shall
cost-avoid a claim if it has established the probable existence of a liable party at the time the claim is filed. Establishing liability takes place when the Contractor receives confirmation that another party is, by statute, contract, or agreement,
legally responsible for the payment of a claim for a healthcare item or service delivered to a member. If the probable existence of a party’s liability cannot be established the Contractor must adjudicate the claim. The Contractor must then
utilize post-payment recovery which is described in further detail below. If AHCCCS determines that the Contractor is not actively engaged in cost avoidance activities the Contractor shall be subject to sanctions. 

  

					
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 The Contractor shall not deny a claim for timeliness if the untimely claim submission results from a
provider’s efforts to determine the extent of liability. 
 If a third party insurer other than Medicare requires the member to pay any copayment,
coinsurance or deductible, the Contractor is responsible for making these payments. See ACOM Policy 434. 
 Members with CRS condition: A
member with private insurance or Medicare coverage is not required to be enrolled with or utilize the CRS Contractor. This includes members with Medicare whether they are enrolled in Medicare FFS or a Medicare Managed Care Plan. When the member
elects to be enrolled with the Acute Care Contractor and when the private insurance or Medicare is exhausted, or certain annual or lifetime limits are reached with respect to CRS-covered conditions, the Contractor shall refer the member to AHCCCS
for determination of CRS eligibility. The Contractor is not responsible to provide CRS services in instances when a member with a CRS covered condition refuses to participate in the CRS application process, or refuses to receive CRS covered services
through the CRS program. The member may be billed by the provider in accordance with AHCCCS regulations regarding billing for unauthorized services. 

Post-payment Recoveries: Post-payment recovery (pay and chase) is necessary in cases where the Contractor has not established the probable
existence of a liable party at the time services were rendered or paid for, or was unable to cost-avoid. The following sections set forth requirements for Contractor recovery actions including recoupment activities, other recoveries and total plan
case requirements. 
 Recoupments: The Contractor must follow the protocols established in the ACOM Policy 412. The Contractor must void
encounters for claims that are recouped in full. For recoupments that result in an adjusted claim value, the Contractor must submit replacement encounters. 

Other Recoveries: The Contractor shall identify the existence of potentially liable parties through the use of trauma code edits, utilizing
diagnostic codes 800 to 999.9 (excluding code 994.6) external causes of injury codes E000 through E999, and other procedures. The Contractor shall not pursue recovery in the following circumstances, unless the case has been referred to the
Contractor by AHCCCS or AHCCCS’ authorized representative: 
  

			
	 •     Uninsured/underinsured motorist insurance
	  	 •     Restitution Recovery

		
	 •     First-and third-party liability insurance
	  	 •     Worker’s Compensation

		
	 •     Tort feasors, including casualty
	  	 •     Estate Recovery

		
	 •     Special Treatment Trust Recovery
	  	

 Upon identification of any of the above situations, the Contractor shall promptly report any cases involving the above
circumstances to AHCCCS’ authorized representative for determination of a “total plan” case.A total plan case is a case where payments for services rendered to the member are exclusively the responsibility of the Contractor; no
reinsurance or fee-for-service payments are involved. By contrast, a “joint” case is one where fee-for-service payments and/or reinsurance payments are involved. In joint cases, the Contractor shall notify AHCCCS’ authorized
representative within 10 business days of the identification of a liable party case with reinsurance or fee-for-service payments made by AHCCCS. Failure to report these cases may result in one of the remedies specified in Section D, Paragraph 72,
Sanctions. The Contractor shall cooperate with AHCCCS’ authorized representative in all collection efforts. 
 Total Plan Case Requirements 

In “total plan” cases, the Contractor is responsible for performing all research, investigation, the mandatory filing of initial liens on cases that
exceed $250, lien amendments, lien releases, and payment of other related costs in accordance with A.R.S. §36-2915 and A.R.S. §36-2916. The Contractor shall use the AHCCCS-approved casualty recovery correspondence when filing liens and
when corresponding to others in regard to casualty recovery. The Contractor may retain up to 100% of its recovery collections if all of the following conditions exist: 
  

	 	a.	Total collections received do not exceed the total amount of the Contractor’s financial liability for the member; 

  

					
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	 	b.	There are no payments made by AHCCCS related to fee-for-service, reinsurance or administrative costs (i.e., lien filing, etc.); and, 

 

	 	c.	Such recovery is not prohibited by State or Federal law. 

 Prior to negotiating a settlement on a total plan
case, the Contractor shall notify AHCCCS to ensure that there is no reinsurance or fee-for-service payment that has been made by AHCCCS. Failure to report these cases prior to negotiating a settlement amount may result in one of the remedies
specified in Section D, Paragraph 72, Sanctions. 
 Total Plan Cases: The Contractor shall report settlement information to AHCCCS, utilizing
the AHCCCS-approved casualty recovery Notification of Settlement form, within 10 business days from the settlement date. Failure to report these cases may result in one of the remedies specified in Section D, Paragraph 72, Sanctions. 

Joint Cases: AHCCCS’ authorized representative is responsible for performing all research, investigation and payment of lien-related costs,
subsequent to the referral of any and all relevant case information to AHCCCS’ authorized representative by the Contractor. In joint cases, AHCCCS’ authorized representative is also responsible for negotiating and acting in the best
interest of all parties to obtain a reasonable settlement and may compromise a settlement in order to maximize overall reimbursement, net of legal and other costs. The Contractor will be responsible for their prorated share of the contingency fee.
The Contractor’s share of the contingency fee will be deducted from the settlement proceeds prior to AHCCCS remitting the settlement to the Contractor. 

Retroactive Recoveries: The Contractor shall engage in retroactive third party recovery efforts for members for which a claim was paid, for up
to two years from the date of service, to determine if there are other payor sources that were not known at the time of payment. The Contractor is prohibited from recouping related payments from providers, requiring providers to take action, or
requiring the involvement of providers in any way. 
 After two years from the service date, AHCCCS will direct recovery efforts for retroactive recovery of
claims not previously identified by the Contractor as having a reasonable expectation of recovery. Any recoveries obtained by AHCCCS through its recovery efforts will be retained exclusively by AHCCCS and will not be shared with the Contractor. The
total recovery period for the Contractor and AHCCCS combined is limited to three years after the date of service as defined in A.R.S. §36-2923 and the Deficit Reduction Act of 2005 (Public Law 109-171). 

See ACOM Policy 434 for details regarding encounter adjustments as a result of retroactive recoveries. Additionally, AHCCCS will develop an automated process
allowing the Contractor to “tag” claims that have a reasonable expectation of recovery. 
 Other Reporting Requirements 

If a Contractor discovers the probable existence of a liable party that is not known to AHCCCS, or any change in coverage, the Contractor must report the
information to the AHCCCS contracted vendor as specified in Attachment F3, Contractor Chart of Deliverables. Notification by the Contractor must occur electronically through the Third Party Leads submission process. Refer to AHCCCS Technical
Interface Guidelines at: 
 http://www.azahcccs.gov/commercial/ContractorResources/manuals/TIG/HealthPlan/TPLleads.aspx. 

Failure to report these cases may result in one of the remedies specified in Section D, Paragraph 72, Sanctions. 

Upon AHCCCS’ request, the Contractor shall provide an electronic extract of the casualty cases, including open and closed cases. Data elements include,
but are not limited to: the member’s first and last name; 

  

					
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 AHCCCS ID; date of incident; claimed amount; paid/recovered amount; and case status. The AHCCCS TPL Section
shall provide the format and reporting schedule for this information to the Contractor. AHCCCS will provide the Contractor with a file of all other coverage information, for the purpose of updating the Contractor’s files, as described in the
Technical Interface Guidelines. 
 Title XXI (KidsCare), BCCTP, and SOBRA Family Planning Extension Program: Eligibility for KidsCare,
BCCTP, and SOBRA Family Planning Extension benefits require that the applicant/member not be enrolled with any other creditable health insurance plan. If the Contractor becomes aware of any such coverage, the Contractor shall notify AHCCCS
immediately. AHCCCS will determine if the other insurance meets the creditable coverage definition in A.R.S. §36-2982(G). 
 Cost
Avoidance/Recovery Report: The Contractor shall report, as specified in Attachment F3, Contractor Chart of Deliverables, a summary of their cost avoidance/recovery activity. The report shall be submitted in a format as specified in the
AHCCCS Program Integrity Reporting Guide. 
 Contract Termination: Upon termination of this contract, the Contractor will complete the
existing third party liability cases or make any necessary arrangements to transfer the cases to AHCCCS’ authorized TPL representative. 
  

	59.	COPAYMENTS 

 The Contractor is required to comply with R9-22-711, the ACOM Policy 431 and other
directives by AHCCCS. Most AHCCCS members remain exempt from copayments while others may be subject to optional or mandatory copayments for certain services. 

Those populations exempt or subject to optional copayments may not be denied services due to the inability to pay the copayment [42 CFR 438.108]. However, for
those populations subject to mandatory copayments services may be denied for the inability to pay the copayment. 
  

	60.	MEDICARE SERVICES AND COST SHARING 

 The Contractor must pay most Medicare coinsurance and/or deductibles
for covered services provided to dual eligible members within the Contractor’s network. However, there are different cost-sharing responsibilities that apply to dual eligible members based on a variety of factors. The Contractor must limit
their cost sharing responsibility according to ACOM Policy 201. The Contractor shall have no cost sharing obligation if the Medicare payment exceeds what the Contractor would have paid for the same service of a non-Medicare member. Please refer to
Section D, Paragraph 10, Scope of Services, for information regarding prescription medication for Medicare Part D. 
 Dual eligible members shall have
choice of all providers in the network and shall not be restricted to those that accept Medicare. 
 When a dual eligible member is in a medical institution
and that stay is funded by Medicaid for a full calendar month, the dual eligible person is not required to pay copayments for their Medicare covered prescription medications for the remainder of the calendar year. To ensure appropriate information
is communicated for these members to CMS, the Contractor must notify AHCCCS pursuant to ACOM Policy 201. 
  

	61.	MARKETING 

 The Contractor shall comply with all Federal and State provisions regarding marketing
including the ACOM Policy 101 [42 CFR 438.104]. The Contractor shall submit all proposed marketing, outreach and retention activities and participation in events that will involve the general public to the AHCCCS Marketing Committee as specified in
Attachment F3, Contractor Chart of Deliverables and as outlined in the ACOM Policy 101. All marketing materials that have been approved by the Marketing Committee must be resubmitted every two years for re-approval. 

  

					
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	62.	CORPORATE COMPLIANCE 

 In accordance with A.R.S. §36-2918.01 and ACOM Policy 103, the Contractor and
its subcontractors and providers is required to immediately notify the AHCCCS Office of Inspector General (OIG) regarding any suspected fraud or abuse [42 CFR 455.17]. The Contractor agrees to immediately (within 10 business days of discovery)
inform the OIG in writing of instances of suspected fraud or abuse [42 CFR 455.1(a)(1)] by completing the confidential AHCCCS Referral for Preliminary Investigation form. This shall include acts of suspected fraud or abuse that were resolved
internally but involved AHCCCS funds, Contractors, or subcontractors. 
 As stated in A.R.S. §13-2310, incorporated herein by reference, any person who
knowingly obtains any benefit by means of false or fraudulent pretenses, representations, promises, or material omissions is guilty of a Class 2 felony. 

The Contractor agrees to permit and cooperate with any onsite review. A review by the OIG may be conducted without notice and for the purpose of ensuring
program compliance. The Contractor also agrees to respond to electronic, telephonic or written requests for information within the timeframe specified by AHCCCS. The Contractor agrees to provide documents, including original documents, to
representatives of the OIG upon request and at no cost. The OIG shall allow a reasonable time for the Contractor to copy the requested documents, not to exceed 20 business days from the date of the OIG request. 

The Contractor shall be in compliance with 42 CFR 438.608. The Contractor must have a mandatory compliance program, supported by other administrative
procedures, that is designed to guard against fraud and abuse. The Contractor shall have written criteria for selecting a Compliance Officer and job description that clearly outlines the responsibilities and authority of the position. The Compliance
Officer shall have the authority to assess records and independently refer suspected member fraud, provider fraud and member abuse cases to the OIG or other duly authorized enforcement agencies. 

The compliance program shall be designed to both prevent and detect suspected fraud or abuse. The compliance program must include: 

 

	 	1.	Written policies, procedures, and standards of conduct that articulates the organization’s commitment to and processes for complying with all applicable Federal and State standards. 

 

	 	2.	The written designation of a compliance committee who are accountable to the Contractor’s top management. 

  

	 	3.	The Compliance Officer must be an onsite management official who reports directly to the Contractor’s top management. Any exceptions must be approved by AHCCCS. 

 

	 	4.	Effective training and education. 

  

	 	5.	Effective lines of communication between the compliance officer and the organization’s employees. 

  

	 	6.	Enforcement of standards through well-publicized disciplinary guidelines. 

  

	 	7.	Provision for internal monitoring and auditing. 

  

	 	8.	Provision for prompt response to problems detected. 

  

	 	9.	A Compliance Committee which shall be made up of, at a minimum, the Compliance Officer, a budgetary official and other executive officials with the authority to commit resources. The Compliance Committee will assist the
Compliance Officer in monitoring, reviewing and assessing the effectiveness of the compliance program and timeliness of reporting. 

  

	 	10.	Pursuant to the Deficit Reduction Act of 2005 (DRA), Contractors, as a condition for receiving payments shall establish written policies for employees detailing: 

 

	 	a.	The Federal False Claims Act provisions; 

  

	 	b.	The administrative remedies for false claims and statements; 

  

					
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	 	c.	Any State laws relating to civil or criminal penalties for false claims and statements; 

  

	 	d.	The whistleblower protections under such laws. 

  

	 	11.	The Contractor must establish a process for training existing staff and new hires on the compliance program and on the items in 10 above. All training must be conducted in such a manner that can be verified by AHCCCS.

  

	 	12.	The Contractor must require, through documented policies and subsequent contract amendments, that providers train their staff on the following aspects of the Federal False Claims Act provisions: 

 

	 	a.	The administrative remedies for false claims and statements; 

  

	 	b.	Any State laws relating to civil or criminal penalties for false claims and statements; 

  

	 	c.	The whistleblower protections under such laws. 

  

	 	13.	The Contractor must notify AHCCCS of any CMS compliance issues related to HIPAA transaction and code set complaints or sanctions. 

Once the Contractor has referred a suspected case of fraud or abuse to AHCCCS, the Contractor shall take no action to recoup or otherwise offset any suspected
overpayments until AHCCCS provides written notice to the Contractor that the fraud or abuse case has been closed or otherwise dispositioned. At that time, and after conducting a cost benefit analysis to determine if such action is warranted, the
Contractor should attempt to recover any overpayments identified. The OIG shall be advised of the final disposition of the research and advised of actions, if any, taken by the Contractor. 

In addition, the Contractor must furnish to AHCCCS or CMS within 35 days of receiving the request, full and complete information, pertaining to business
transactions [42 CFR 455.105]: 
  

	 	•	 	The ownership of any subcontractor with whom the Contractor has had business transaction totaling more than $25,000 during the 12-month period ending on the date of request; and 

 

	 	•	 	Any significant business transactions between the Contractor and wholly owned supplier, or between the Contractor and any subcontractor ending on the date of the request. 

In the event that OIG, either through a civil monetary penalty, a global civil settlement or judgment, or any other form of civil action, receives a monetary
recovery from an entity, the entirety of such monetary recovery belongs exclusively to AHCCCS and the Contractor has no claim to any portion of this recovery. Furthermore, the Contractor is fully subrogated to AHCCCS for all civil recoveries. 

Disclosure of Ownership and Control [42 CFR 455.104)(SMDL09-001] 

A. The Contractor must provide the following information to AHCCCS: 
  

					
	1.	  	(a)	  	The Name and Address of any person (individual or corporation) with an ownership or control interest in the Contractor. The address for corporate entities must include as applicable primary business address, every business location,
and P.O. Box address;
			
		  	(b)	  	The Date of Birth and Social Security Numbers of any person with an ownership or control interest in the Contractor;
			
		  	(c)	  	The Tax Identification Number of any corporation with an ownership or control interest in the Contractor;

  

	 	2.	Whether the person (individual or corporation) with an ownership or control interest in the Contractor is related to another person with ownership or control interest in the Contractor as a spouse, parent, child, or
sibling; or whether the person (individual or corporation) with an ownership or control interest in any subcontractor of the Contractor has a 5% or more interest is related to another person with ownership or control interest in the Contractor as a
spouse, parent, child, or sibling; 

  

	 	3.	The name of any other disclosing entity as defined in 42 CFR 455.101 in which an owner of the Contractor has an ownership or control interest; 

 

	 	4.	The Name, Address, Date of Birth and Social Security Number of any managing employee of the Contractor as defined in 42 CFR 455.101. 

  

					
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 The Contractor shall provide the above-listed information to AHCCCS at any of the following
times: 
  

	 	1.	Upon the Contractor submitting the proposal in accordance with the State’s procurement process; 

  

	 	2.	Upon the Contractor executing the contract with the State; 

  

	 	3.	Upon renewal or extension of the contract; 

  

	 	4.	Within 35 days after any change in ownership of the Contractor. 

  

	B.	The Contractor shall also, with regard to its fiscal agents, obtain the following information regarding ownership and control: 

  

					
	1.	  	(a)	  	The Name and Address of any person (individual or corporation) with an ownership or control interest in the Fiscal Agent. The address for corporate entities must include as applicable primary business address, every business
location, and P.O. Box address;
			
		  	(b)	  	The Date of Birth and Social Security Numbers of any person with an ownership or control interest in the fiscal agent;
			
		  	(c)	  	The Tax Identification Number of any corporation with an ownership or control interest in the fiscal agent;

  

	 	2.	Whether the person (individual or corporation) with an ownership or control interest in the fiscal agent is related to another person with ownership or control interest in the fiscal agent as a spouse, parent, child, or
sibling; or whether the person (individual or corporation) with an ownership or control interest in any subcontractor of the fiscal agent has a 5% or more interest is related to another person with ownership or control interest in the fiscal agent
as a spouse, parent, child, or sibling; 

  

	 	3.	The name of any other disclosing entity as defined in 42 CFR 455.101 in which an owner of the fiscal agent has an ownership or control interest; 

 

	 	4.	The Name, Address, Date of Birth and Social Security Number of any managing employee of the fiscal agent as defined in 42 CFR 455.101. 

Disclosure of Information on Persons Convicted of Crimes [42 CFR 455.101; 106; 436] [SMDL09-001] The Contractor must identify all persons
associated with the Contractor and its fiscal agents which have an ownership or control interest or managing employee interest and determine if they have been convicted of a criminal offense related to that person’s involvement in any
program under Medicare, Medicaid, or the Title XX services program. The Contractor shall, on a monthly basis, confirm the identity and determine the exclusion status through routine checks of: 

 

	 	a.	The List of Excluded Individuals (LEIE) 

  

	 	b.	The System of Award Management (SAM) formerly known as The Excluded Parties List (EPLS) 

  

	 	c.	Any other databases directed by AHCCCS or CMS 

 The Contractor must immediately notify AHCCCS of any person who
has been excluded through these checks. 
 The results of the Disclosure of Ownership and Control and the Disclosure of Information on
Persons Convicted of Crimes shall be held by the Contractor. The Contractor shall submit an annual attestation that the above-listed information has been requested and obtained. Refer to Attachment F3, Contractor Chart of Deliverables for
further information. Upon request, the Contractor shall provide AHCCCS with the above-listed information. 
  

	63.	RECORDS RETENTION 

 The Contractor shall maintain records relating to covered services and expenditures
including reports to AHCCCS and documentation used in the preparation of reports to AHCCCS. The Contractor shall comply with all specifications for record keeping established by AHCCCS. All records shall be maintained to the extent and

  

					
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in such detail as required by AHCCCS rules and policies. Records shall include but not be limited to financial statements, records relating to the quality of care, medical records, prescription
files and other records specified by AHCCCS. 
 The Contractor agrees to make available, at all reasonable times during the term of this contract, any of
its records for inspection, audit or reproduction by any authorized representative of AHCCCS, State or Federal government. The Contractor shall be responsible for any costs associated with the reproduction of requested information. 

The Contractor shall preserve and make available all records for a period of five years from the date of final payment under this contract. 

All records must be maintained until three years after the member has exceeded the age of 18 years or for at least six years after the last date the child
received medical or health care services from the provider, whichever date occurs later, as specified in A.R.S. §12-2297. 
 HIPAA related documents
must be retained for a period of six years per 45 CFR 164.530(j)(2). 
 If this contract is completely or partially terminated, the records relating to the
work terminated shall be preserved and made available for a period of five years from the date of any such termination. Records which relate to grievances, disputes, litigation or the settlement of claims arising out of the performance of this
contract, or costs and expenses of this contract to which exception has been taken by AHCCCS, shall be retained by the Contractor for a period of five years after the date of final disposition or resolution thereof. 

 

	64.	SYSTEMS AND DATA EXCHANGE REQUIREMENTS 

 The Contractor is required to exchange data with AHCCCS relating
to the information requirements of this contract and as required to support the data elements to be provided to AHCCCS. All data exchanged must be in the formats prescribed by AHCCCS, which include those required/covered by the Health Insurance
Portability and Accountability Act (HIPAA). Details for the formats may be found in the HIPAA Transaction Companion Guides, Trading Partner Agreements, the AHCCCS Encounter Manual and in the AHCCCS Technical Interface Guidelines, available on the
AHCCCS website. 
 The information exchanged with AHCCCS shall be in accordance with all procedures, policies, rules, or statutes in effect during the term
of this contract. If any of these procedures, policies, rules, regulations or statutes are hereinafter changed, both parties agree to conform to these changes following notification by AHCCCS. 

Electronic Transactions: The Contractor is required to accept and generate all required HIPAA compliant electronic transactions from or to any
provider or their assigned representative interested in and capable of electronic submission of eligibility verifications, claims, claims status verifications or prior authorization requests; or the receipt of electronic remittance. The Contractor
must be able to make claims payments via electronic funds transfer and have the capability to accept electronic claims attachments. 
 Contractor Data
Exchange: Before a Contractor may exchange data with AHCCCS, certain agreements, authorizations and control documents are required. The Contractor must have completed and submitted the EDI Trading Partner Agreement in order to exchange data
with AHCCCS. 
 Each Contractor is assigned a Transmission Submitter Number (TSN) for encounter submissions. The Contractor may elect to obtain additional
TSNs based upon processing or tracking needs. 
 Contractor Responsibilities: The Contractor is responsible for any incorrect data, delayed
submission or payment (to the Contractor or its subcontractors), and/or penalty applied due to any error, omission, deletion, or erroneous insert caused by Contractor-submitted data. Any data that does not meet the standards required by AHCCCS shall
not be accepted by AHCCCS. 

  

					
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 The Contractor is required to provide an attestation that any data transmitted is accurate and truthful, to
the best of the Contractor’s Chief Executive Officer, Chief Financial Officer or designee’s knowledge [42 CFR 438.606] as outlined by AHCCCS. 

The Contractor further agrees to indemnify and hold harmless the State of Arizona and AHCCCS from any and all claims or liabilities, including but not limited
to consequential damages, reimbursements or erroneous billings and reimbursements of attorney fees incurred as a consequence of any error, omission, deletion or erroneous insert caused by the Contractor in the submitted input data. Neither the State
of Arizona nor AHCCCS shall be responsible for any incorrect or delayed payment to the Contractor’s providers (subcontractors) resulting from such error, omission, deletion, or erroneous input data caused by the Contractor in the submission of
AHCCCS claims. 
 The Contractor is also responsible for identifying any inconsistencies immediately upon receipt of data from AHCCCS. If any unreported
inconsistencies are subsequently discovered, the Contractor shall be responsible for the necessary adjustments to correct its records at its own expense. 

Member Data: The Contractor shall accept from AHCCCS original evidence of eligibility and enrollment in the AHCCCS prescribed electronic data
exchange formats. Upon request, the Contractor shall provide to AHCCCS PCP assignments in an AHCCCS prescribed electronic data exchange format. 

Claims Data: This system must be capable of collecting, storing and producing information for the purposes of financial, medical and operational
management. 
 The Contractor shall develop and maintain a HIPAA compliant claims processing and payment system capable of processing, cost avoiding and
paying claims in accordance with A.R.S. §36-2903 and 2904 and AHCCCS rules R9-22 Article 7. The system must be adaptable to updates in order to support future AHCCCS claims related policy requirements on a timely basis as needed. 

On a recurring basis (no less than quarterly based on adjudication date), AHCCCS shall provide the Contractor an electronic file of claims and encounter data
for members enrolled with the Contractor who have received services, during the member’s enrollment period, from another contractor or through AHCCCS FFS for purposes of member care coordination. Data sharing will comply with Federal privacy
regulations. 
 In addition, the Contractor shall implement and meet the following milestones in order to make claims processing and payment more efficient
and timely: 
  

	1.	Receive 60% of each claim type (professional, institutional and dental) based on volume of actual claims excluding claims processed by Pharmacy Benefit Managers (PBMs) electronically. 

 

	2.	Produce and distribute 60% of remittances electronically. 

  

	3.	Provide 60% of claims payments via EFT. 

 System Changes and Upgrades: The costs of software
changes are included in administrative costs paid to the Contractor. There is no separate payment for software changes. A PMMIS systems contact will be assigned after contract award. AHCCCS will work with the Contractor as they evaluate Electronic
Data Interchange options. 
 The Contractor will ensure that changing or making major upgrades to the information systems affecting claims processing,
payment or any other major business component, will be accompanied by a plan which includes a timeline, milestones, and outlines adequate testing to be completed before implementation. The Contractor shall notify and provide the system change plan
to AHCCCS for review and comment as specified in Attachment F3, Contractor Chart of Deliverables. 
 Health Insurance Portability and Accountability
Act (HIPAA): The Contractor shall comply with the Administrative Simplification requirements of Subpart F of the HIPAA of 1996 (Public Law 107-191, 110 

  

					
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Statutes 1936) and all Federal regulations implementing that Subpart that are applicable to the operations of the Contractor by the dates required by the implementing Federal regulations as well
as all subsequent requirements and regulations as published. 
 Data Security: The Contractor is required to have a security audit performed
by an independent third party on an annual basis. The annual audit report must be submitted to AHCCCS as specified in Attachment F3, Contractor Chart of Deliverables. 

The audit must include, at a minimum, a review of Contractor compliance with all security requirements as outlined in the AHCCCS Security Rule Compliance
Summary Checklist, as specified in ACOM Policy 108. In addition, the audit must include a review of Contractor policies and procedures to verify that appropriate security requirements have been adequately incorporated into the Contractor’s
business practices, and the production processing systems. 
 The audit must result in a findings report and as necessary a corrective action plan,
detailing all issues and discrepancies between the security requirements and the Contractor’s policies, practices and systems. The corrective action plan must also include timelines for corrective actions related to all issues or discrepancies
identified. The annual report must include the findings and corrective action plan and must be submitted to AHCCCS for review and approval.AHCCCS will verify that the required audit has been completed and the approved corrective action plan is in
place and being followed as part of Operational Reviews. 
 Health Information Exchange: The Contractor is required to contract with Health
Information Network of Arizona (HINAz) or its successor, as a data user. 
  

	65.	ENCOUNTER DATA REPORTING 

 Complete, accurate and timely reporting of encounter data is crucial to the
success of the AHCCCS program. AHCCCS uses encounter data to pay reinsurance benefits, set fee-for-service and capitation rates, determine reconciliation amounts, determine disproportionate share payments to hospitals, and to determine compliance
with performance standards. The Contractor shall submit encounter data to AHCCCS for all services for which the Contractor incurred a financial liability and claims for services eligible for processing by the Contractor where no financial liability
was incurred including services provided during prior period coverage. This requirement is a condition of the CMS grant award [42 CFR 438.242(b)(1)][42 CFR 455.1 (a)(2)]. 

The Contractor must successfully exchange encounter data for all applicable form types with AHCCCS no later than 120 days after the start of the contract or
be subject to possible corrective actions up to and including sanctions and enrollment caps. 
 Encounter Submissions: Encounters must
be submitted in the format prescribed by AHCCCS. Encounter data must be provided to AHCCCS as outlined in the HIPAA Transaction Companion Guides, Trading Partner Agreements and the AHCCCS Encounter Manual.  

Professional, Institutional and Dental Encounters not involving services eligible for Federal Drug Rebate processing should be received by AHCCCS no later
than 240 days after the end of the month in which the service was rendered, or the effective date of the enrollment with the Contractor, whichever date is later.Pharmacy related encounter data and other encounters involving services eligible for
Federal Drug Rebate processing must be provided to AHCCCS no later than 30 days after the end of the quarter in which the pharmaceutical item was dispensed. 

A Contractor shall prepare, review, verify, certify, and submit, encounters for consideration to AHCCCS. Upon submission, the Contractor must provide
attestation that the services listed were actually rendered. 

  

					
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 The Contractor may be assessed sanctions for noncompliance with encounter submission completeness, accuracy
and timeliness requirements. 
 Payment Modernization Initiative – E-prescribing: E-prescribing is an effective tool to improve
members’ health outcomes and reduce costs. Benefits afforded by the electronic transmission of prescription-related information include, but are not limited to: reduced medication errors, reductions of drug and allergy interactions and
therapeutic duplication, and increased prescription accuracy. AHCCCS encourages increased utilization of e-prescribing and, effective October 1, 2014, will require the Contractor to participate in an e-prescribing initiative as delineated by
AHCCCS. 
 Effective October 1, 2013, the Contractor is required to collect, and submit to AHCCCS, prescription origination information on all Pharmacy
encounter records, as outlined in the AHCCCS NCPDP Post Adjudicated History Transaction Companion Guide. AHCCCS will begin hard-editing for the appropriate completion of this data element beginning January 1, 2014. Origination information
reported prior to October 1, 2014, will be used by AHCCCS and the Contractor to determine provider compliance with e-prescribing standards that will be established by AHCCCS for utilization in the e-prescribing initiative effective
October 1, 2014. Implementation of the e-prescribing initiative on October 1, 2014 may include incentive payments and/or the assessment of penalties to provider. The initiative may also include penalties assessed against the Contractor.

 AHCCCS will provide a draft policy with details regarding the e-prescribing initiative no later than six months prior to the implementation date. 

Encounter Reporting: The Contractor must produce reports for the purposes of tracking, trending, reporting process improvement and monitoring
submissions and revisions of encounters. The Contractor will submit these reports to AHCCCS as required per the AHCCCS Encounter Manual or as directed by AHCCCS and as further specified in Attachment F3, Contractor Chart of Deliverables. 

On a monthly basis AHCCCS will produce encounter reconciliation files containing the prior 18 months of approved, voided, plan-denied, pended and
AHCCCS-denied encounters received and processed by AHCCCS. These files must be utilized to compare the encounter financial data reported with plan claims data, and to compare submitted encounters to processed claims to validate completeness of
encounter submissions. 
 Encounter Supporting Data Files: AHCCCS provides the Contractor with periodic (no less than twice monthly) full
replacement files containing provider and medical coding information as stored in PMMIS. These files should be used by the Contractor to ensure accurate Encounter Reporting. Refer to the AHCCCS Encounter Manual for further information regarding the
content and layouts of these files. 
 Encounter Corrections: The Contractor is required to monitor and resolve pended encounters and
encounters denied by AHCCCS. 
 The Contractor is further required to submit replacement or voided encounters in the event that claims are subsequently
corrected following the initial encounter submission. This includes corrections as a result of inaccuracies identified by fraud and abuse audits or investigations conducted by AHCCCS or the Contractor. The Contractor must void encounters for claims
that are recouped in full. For recoupments that result in a reduced claim value or adjustments that result in an increased claim value, replacement encounters must be submitted. Refer to the AHCCCS Encounter Manual for instructions regarding the
submission of corrected, replaced or voided encounters. 
 Encounter Performance Standards: AHCCCS has established encounter
performance standards as detailed in the AHCCCS Encounter Manual. All encounters including approved, pended, denied and voided encounters, impact completeness, accuracy, and timeliness rates. Rates below the established
standards (pended encounters that have pended for more than 120 days for example), or poor encounter performance overall, may result in Corrective Action Plans and/or sanctions.  

  

					
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 Encounter Validation Studies: Per CMS requirements, AHCCCS will conduct encounter validation
studies of the Contractor’s encounter submissions. These studies may result in sanctions of the Contractor and/or require a corrective action plan for noncompliance with related encounter submission requirements. 

The purpose of encounter validation studies is to compare recorded utilization information from a medical record or other source with the Contractor’s
submitted encounter data. Any and all covered services may be validated as part of these studies. The criteria used in encounter validation studies may include timeliness, correctness and omission of encounters. Refer to the AHCCCS Data Validation
Technical Document for further information. 
 AHCCCS may revise study methodology, timelines and sanction amounts based on agency review or as a result of
consultations with CMS. The Contractor will be notified in writing of any significant change in study methodology. 
  

	66.	ENROLLMENT AND CAPITATION TRANSACTION UPDATES 

 AHCCCS produces daily enrollment transaction updates
identifying new members and changes to existing members’ demographic, eligibility and enrollment data as outlined in the HIPAA Transaction Companion Guides, Trading Partner Agreements, and the AHCCCS Technical Interface Guidelines available on
the AHCCCS website. These files shall be utilized by the Contractor to update its member records on a timely and consistent basis. The daily enrollment transaction update, that is run immediately prior to the monthly enrollment and capitation
transaction, is referred to as the “last daily” and will contain all rate code changes made for the prospective month, as well as any new enrollments and disenrollments as of the first of the prospective month. 

AHCCCS also produces a daily Manual Payment Transaction as outlined in the AHCCCS Technical Interface Guidelines, available on the AHCCCS website,
which identifies enrollment or disenrollment activity that was not included on the daily enrollment transaction update due to internal edits. The Contractor shall use the Manual Payment Transaction in addition to the daily enrollment transaction
update to update its member records. 
 A weekly capitation transaction as outlined in the HIPAA Transaction Companion Guides, and Trading Partner
Agreements, will be produced to provide the Contractor with member-level capitation payment information. This file will show changes to the prospective capitation payments, as sent in the monthly file, resulting from enrollment changes that occur
after the monthly file is produced. This file will also identify mass adjustments to and/or manual capitation payments that occurred at AHCCCS after the monthly file is produced. 

On a daily and monthly basis AHCCCS provides the Contractor with the Rate Code Summary electronic file as outlined in the AHCCCS Technical Interface
Guidelines, available on the AHCCCS website, which summarizes the capitation activity for the processing cycle. 
 The enrollment and capitation transaction
updates distributed monthly are generally produced two days before the end of every month. The update will identify the total active population for the Contractor as of the first day of the next month. These updates contain the information used by
AHCCCS to produce the monthly capitation payment for the next month. The Contractor must reconcile the member files (including the member’s Medicare status, TPL information, etc.) with the AHCCCS monthly update. After reconciling the monthly
update information, the Contractor will work to resolve any discrepancies and record the results of the reconciliation. Results of the reconciliation will be made available to AHCCCS upon request. After completion of the reconciliation the
Contractor will resume posting daily updates beginning with the last two days of the month. The last two daily updates are different from the regular daily updates in that they pay and/or recoup capitation for the next month. If the Contractor
detects an error through the monthly update process, the Contractor shall notify AHCCCS, Information Services Division. 

  

					
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	67.	PERIODIC REPORT REQUIREMENTS 

 Under the terms and conditions of its CMS grant award, AHCCCS requires
periodic reports, encounter data and other information from the Contractor. The submission of late, inaccurate, or otherwise incomplete reports shall constitute failure to report subject to the penalty provisions described in Section D, Paragraph
72, Sanctions and Attachment F3, Contractor Chart of Deliverables. 
 Standards applied for determining adequacy of required reports are as follows [42 CFR
438.242(b)(2)]: 
  

	a.	Timeliness: Reports or other required data shall be received on or before scheduled due dates. 

  

	b.	Accuracy: Reports or other required data shall be prepared in strict conformity with appropriate authoritative sources and/or AHCCCS defined standards. 

 

	c.	Completeness: All required information shall be fully disclosed in a manner that is both responsive and pertinent to report intent with no material omissions. 

The Contractor shall comply with all reporting requirements contained in this contract. AHCCCS requirements regarding reports, report content and frequency of
submission of reports are subject to change at any time during the term of the contract. The Contractor shall comply with all changes specified by AHCCCS. The Contractor shall be responsible for continued reporting beyond the term of the contract.

  

	68.	REQUESTS FOR INFORMATION 

 AHCCCS may, at any time during the term of this contract, request financial or
other information from the Contractor. Responses shall fully disclose all financial or other information requested. Information may be designated as confidential but may not be withheld from AHCCCS as proprietary. Information designated as
confidential may not be disclosed by AHCCCS without the prior written consent of the Contractor except as required by law. Upon receipt of such requests for information from AHCCCS, the Contractor shall provide complete information to AHCCCS as
requested no later than 20 days after the receipt of the request unless otherwise specified in the request itself. 
 If the Contractor believes the
requested information is confidential and may not be disclosed to third parties, the Contractor shall provide a detailed legal analysis to AHCCCS, within the timeframe designated by AHCCCS, setting forth the specific reasons why the information is
confidential and describing the specific harm or injury that would result from disclosure. In the event that AHCCCS withholds information from a third party as a result of the Contractor’s statement, the Contractor shall be responsible for all
costs associated with the nondisclosure, including but not limited to legal fees and costs. 
  

	69.	DISSEMINATION OF INFORMATION 

 Upon request, the Contractor shall disseminate information prepared by
AHCCCS or the Federal government to its members and all costs shall be the responsibility of the Contractor. All advertisements, publications and printed materials that are produced by the Contractor and refer to covered services shall state that
such services are funded under contract with AHCCCS. 
  

	70.	OPERATIONAL AND FINANCIAL READINESS REVIEWS 

 AHCCCS will conduct an Operational and Financial Readiness
Review of the Contractor and will, subject to the availability of resources, provide technical assistance as appropriate. The Readiness Review will be conducted prior to the start of business. The purpose of a Readiness Review is to assess the
Contractor’s operational readiness and its ability to provide covered services to members at the start of the contract year. The Contractor will be permitted to commence operations only if the Readiness Review factors are met to AHCCCS’
satisfaction. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

	71.	OPERATIONAL REVIEWS 

 In accordance with CMS requirements [42 CFR 434.6(a)(5)] and Arizona Administrative
Code [Title 9, A.A.C. Chapter 22 Article 5], AHCCCS, or an independent agent, will conduct periodic Operational Reviews to ensure program compliance and identify best practices [42 CFR 438.204]. The reviews will identify and make recommendations for
areas of improvement, monitor the Contractor’s progress towards implementing mandated programs or operational enhancements, and provide the Contractor with technical assistance when necessary. The type and duration of the review will be solely
at the discretion of AHCCCS. 
 Except in cases where advance notice is not possible or advance notice may render the review less useful, AHCCCS will give
the Contractor at least three weeks advance notice of the date of the scheduled Operational Review. AHCCCS reserves the right to conduct reviews without notice to monitor contractual requirements and performance as needed. 

AHCCCS may request, at the expense of the Contractor, to conduct on-site reviews of functions performed at out of State locations and will coordinate travel
arrangements and accommodations with the Contractor. 
 In preparation for the reviews, the Contractor shall cooperate with AHCCCS by forwarding in advance
policies, procedures, job descriptions, contracts, records, logs and other material upon request. Documents not requested in advance shall be made available during the course of the review. Contractor personnel shall be available at all times during
review activities. The Contractor shall provide an appropriate private workspace and internet access. 
 The Contractor will be furnished a copy of the
draft Operational Review report and given an opportunity to comment on any review findings prior to AHCCCS issuing the final report. The Contractor must develop corrective action plans based on these recommendations. The corrective action plans and
modifications to the corrective action plans must be approved by AHCCCS. Unannounced follow-up reviews may be conducted at any time after the initial Operational Review to determine the Contractor’s progress in implementing recommendations and
achieving compliance. 
 The Contractor shall not distribute or otherwise make available the Operational Review Tool, draft Operational Review Report or
final report to other Contractors. 
  

	72.	SANCTIONS 

 In accordance with applicable Federal and State regulations, R9-22-606, ACOM Policy 408 and
the terms of this contract, AHCCCS may impose sanctions for failure to comply with any provision of this contract. Written notice will be provided to the Contractor specifying the sanction to be imposed, the grounds for such sanction and either the
length of suspension or the amount of capitation to be withheld. The Contractor may dispute the decision to impose a sanction in accordance with the process outlined in R9-34-401 et seq. 

Cure Notice Process: AHCCCS may provide a written cure notice to the Contractor regarding the details of the non-compliance. If a notice to cure
is provided to the Contractor, the cure notice will specify the period of time during which the Contractor must bring its performance back into compliance with contract requirements. If, at the end of the specified time period, the Contractor has
complied with the cure notice requirements, AHCCCS will not impose a sanction. 
 AHCCCS may impose sanctions including but not limited to: 

 

	a.	Civil monetary penalties. 

  

	b.	Appointment of temporary management for a Contractor as provided in 42 CFR 438.706 and A.R.S. §36-2903 (M). 

  

					
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	c.	Granting members the right to terminate enrollment without cause and notifying the affected members of their right to disenroll [42 CFR 438.702(a)(3); 42 CFR 438.722]. 

 

	d.	Suspension of all new enrollments, including auto assignments after the effective date of the sanction. 

  

	e.	Suspension of payment for recipients enrolled after the effective date of the sanction until CMS or AHCCCS is satisfied that the reason for imposition of the sanction no longer exists and is not likely to recur.

  

	f.	Additional sanctions allowed under statute or regulation that address areas of noncompliance. 

 Refer to the
ACOM Policy 408 for details. 
 Automatic Sanctions: AHCCCS will assess the sanctions listed in Attachment F3, Contractor Chart of
Deliverables on deliverables listed under DHCM Operations, Clinical Quality Management and Medical Management that are not received by 5:00 PM on the due date indicated. If the due date falls on a weekend or a State Holiday, sanctions will be
assessed on deliverables not received by 5:00 PM on the next business day. 
  

	73.	BUSINESS CONTINUITY AND RECOVERY PLAN 

 The Contractor shall develop a Business Continuity and Recovery
Plan as detailed in the ACOM Policy 104, to deal with unexpected events that may affect its ability to adequately serve members. All staff shall be trained on, and familiar with, the Plan. This Plan shall, at a minimum, include planning and
training for: 
  

	 	•	 	Electronic/telephonic failure at the Contractor’s main place of business 

  

	 	•	 	Complete loss of use of the main site and satellite offices out of State 

  

	 	•	 	Loss of primary computer system/records 

  

	 	•	 	Communication between the Contractor and AHCCCS in the event of a business disruption 

  

	 	•	 	Periodic Testing (at least annually) 

 The Business Continuity and Recovery Plan shall be updated annually. The
Contractor shall submit a summary of the Plan to AHCCCS as specified in Attachment F3, Contractor Chart of Deliverables. 
  

	74.	MEDICARE REQUIREMENTS 

 Medicare Coordination for Dual Eligible Members 

Background Information: In an effort to improve care coordination for AHCCCS dual eligible members, AHCCCS requires the Contractor, or its
corporate affiliate, to be a Medicare Advantage Dual Eligible Special Needs Plan in all GSAs in which they hold a contract. To match the population served, the D-SNP Type must be a D-SNP subset non-zero cost share that matches this contract. 

Medicare Structure: As required by A.R.S. §36-2906.01, the awarded Contractor must establish a separate corporation whose only authorized
business is to provide services under this contract or other contracts with AHCCCS and the Medicare product to the extent necessary to ensure integration of AHCCCS and Medicare services for persons enrolled with the Contractor for both programs. The
Contractor must have, and assure AHCCCS it has, the legal and actual authority to direct, manage, and control the operations of both the corporation established under this contract and the Medicare product to the extent necessary to ensure
integration of AHCCCS and Medicare services for persons enrolled with the Contractor for both programs. The Contractor must ensure the integration of Medicare and Medicaid services within the following key functional areas of the organization or
when utilizing administrative services subcontracts: 
  

	 	•	 	Network Management/Provider Relations; 

  

	 	•	 	Member Services; 

  

	 	•	 	Quality Management; 

  

	 	•	 	Medical Management; 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

	 	•	 	Corporate Compliance; and 

  

	 	•	 	Grievance System. 

 Medicare Branding: The Contractor must establish branding for the Medicare
product that ensures it is easily identifiable to members and providers as an integrated plan for both Medicare and Medicaid. 
 Medicare State
Certification: Medicare Advantage plans are required to be licensed under State law. As outlined in A.R.S 36-2903(B)(2) AHCCCS has the authority to certify its Contractors for Medicare purposes. Contractors are able to apply for
certification through AHCCCS or apply and receive licensure through the Arizona Department of Insurance. The AHCCCS certification process is detailed in ACOM 313. 

State Contracting with D-SNPs: Per ACOM Policy 107, AHCCCS will not contract with any D-SNP to serve the Acute Care Medicaid population outside
of awarded Acute Care contracts. Detailed D-SNP responsibilities are outlined in Medicare Advantage D SNP Health Plan Agreement. 
 Alignment
Efforts: On October 1, 2013, dual eligible members may be assigned to a Medicaid plan based on their Medicare D-SNP enrollment. Aligning Medicare and Medicaid plans ensures a more coordinated process for members and providers. AHCCCS
will continue to pursue policies and practices which improve the system for dual eligible members including, but not limited to: 
  

	 	•	 	On an ongoing basis, aligning Medicaid enrollment with Medicare; 

  

	 	•	 	Working with community stakeholders for outreach and education; 

  

	 	•	 	Conducting state sponsored outreach and education; 

  

	 	•	 	Requiring plan outreach and education. 

  

	75.	PENDING LEGISLATION/OTHER ISSUES 

 The following constitute pending items that may be resolved after the
issuance of this contract. Any program changes due to the resolution of the issues will be reflected in future amendments to the contract. Capitation rates may also be adjusted to reflect the financial impact of program changes. The items in this
paragraph are subject to change and should not be considered all-inclusive. 
 Federal and State Legislation: AHCCCS and its
Contractors are subject to legislative mandates that may result in changes to the program. AHCCCS will either amend the contract or incorporate changes in policies incorporated in the contract by reference.  

Health Information Technology for Economic and Clinical Health Act (HITECH): In February 2009, as part of the Federal stimulus package, Congress
enacted the Health Information Technology for Economic and Clinical Health Act (HITECH). The legislation included a number of provisions designed to encourage the adoption and use of health information technology including electronic health records
(EHRs) and the development of a health information exchange (HIE) infrastructure. The underlying rationale for the Act is the belief that the adoption on a nationwide basis would reduce total spending on health care by diminishing the number of
inappropriate tests and procedures, reducing paperwork and administrative overhead, and decreasing the number of adverse events resulting from medical errors. 

The Health Information Technology for Economic and Clinical Health Act (HITECH) includes provisions designed to encourage the adoption and use of health
information technology including electronic health records (EHRs), e-prescribing and the development of a health information exchange (HIE) infrastructure. AHCCCS and its Contractors support these new evolving technologies, designed to create
efficiencies and improve effectiveness of care resulting in improved patient satisfaction with the health care experience, the provision of optimal care outcomes and cost efficiencies. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 To further the integration of technology based solutions and the meaningful use of electronic health records
within provider offices, AHCCCS anticipates increasing opportunities for providers and Contractors to utilize technological functions for processes that are necessary to meet Medicaid requirements. Expanding the adoption may reduce total spending on
health care by diminishing the number of inappropriate tests and procedures, reducing paperwork and administrative overhead, and decreasing the number of adverse events resulting from medical errors. The Contractor will actively participate in
offering information and providing provider support and education to further expand provider adoption and use of health information technology. It is AHCCCS’ expectation that the Contractor review operational processes to reduce provider hassle
factors by implementing technological solutions for those providers utilizing electronic health records and to incentivize providers to implement and meaningfully use health information technology as a standard of doing business with the AHCCCS
program. AHCCCS also anticipates establishing minimum standards, goals and requirements related to operational areas where improved efficiencies or effectiveness could be achieved. AHCCCS anticipates expanding utilization of health information
technology as it relates to health care management and Contractor deliverables in the following, but not limited to, areas: 
  

	 	•	 	Access to care 

  

	 	•	 	Care coordination 

  

	 	•	 	Pharmacy, including but not limited to polypharmacy 

  

	 	•	 	Evidence based care 

  

	 	•	 	Disease management 

  

	 	•	 	EPSDT services 

  

	 	•	 	Coordination with community services 

  

	 	•	 	Referral management 

  

	 	•	 	Discharge planning 

  

	 	•	 	Performance measures 

  

	 	•	 	Performance improvement projects 

  

	 	•	 	Medical record review 

  

	 	•	 	Quality of care review processes 

  

	 	•	 	Quality improvement 

  

	 	•	 	Claims review 

  

	 	•	 	Prior authorization 

  

	 	•	 	Claims 

 Payment Methodology For Hospital Inpatient Claims: AHCCCS currently uses a tiered per
diem methodology for the payment of acute care hospital inpatient claims.This payment structure is the default methodology, as required by Arizona State law that must be used by AHCCCS’ Managed Care Organizations (MCOs) when no contract exists
between an MCO and a hospital. Laws 2012, Second Regular Session, Chapter 122 ends the tiered per diem methodology effective September 30, 2013.AHCCCS is required to obtain legislative approval of an alternative reimbursement methodology for
inpatient dates of service on and after October 1, 2013. Based in part on stakeholder input, AHCCCS is moving to an APR-DRG payment methodology and will be establishing workgroups to seek stakeholder input on such a methodology. AHCCCS will be
unable to implement the new methodology by October 1, 2013, and will seek a one-year extension of the tiered per diem methodology through September 30, 2014, with an effective date of October 1, 2014 for the new inpatient
reimbursement system (pursuant to Chapter 122). MCOs will be required to utilize the AHCCCS inpatient payment methodology for all non-contracted inpatient hospital stays. 

ICD-10 Readiness: In 2009 the Federal government published the final regulation that adopted the ICD-10 code sets as HIPAA standards (45 CFR
162.1002). As HIPAA covered entities, State Medicaid programs must comply with use of the ICD-10 code sets by the deadline established by CMS. The compliance date published in the final rule is October 1, 2013. However, in October 2012, the
ICD-10 compliance date was amended through a correction of final rule (originally published in September 2012), delaying the effective date to October 1, 2014; this indicates the dates of service for which these codes must be used. The
Contractor shall comply with the use of ICD-10 code sets for all claims with dates of services on and after October 1, 2014. The Contractor shall meet all AHCCCS deadlines for communication, testing, and implementation planning with AHCCCS and
providers. Failure to meet deadlines may result in regulatory action. 

  

					
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	SECTION D: ACUTE CARE PROGRAM REQUIREMENTS	  	Contract No. YH14-0001

  

 
  

 Patient Protection and Affordable Care Act: The Contractor shall comply with the applicable
sections of the Patient Protection and Affordable Care Act (PPACA) including, but not limited to, the Health Insurer Fee effective January 1, 2014, and including those provisions as adopted by AHCCCS in the Arizona State Plan. The Contractor
shall provide services to Medicaid eligible individuals who will be covered by the Medicaid restoration and expansion starting January 1, 2014. Additionally, there will be modifications to the populations currently subject to mandatory and
optional (nominal) copayments, copayment amounts, and services for which copays are required. Implementation of these provisions is anticipated to begin in early 2014. 

Greater Arizona Integrated Services for Individuals with Serious Mental Illness: Pursuant to A.R.S. §36-2901 et seq, AHCCCS and Arizona
Department of Health Services will continue to design and implement an integrated physical and behavioral health care delivery system for eligible adults with SMI outside of Maricopa County. AHCCCS and ADHS will also consider other potential
populations for future integration of physical and behavioral health services. 
 Integrated Behavioral Health Services for Dual Eligible
Members: As part of Arizona’s Medicaid Reform Plan, AHCCCS is reviewing continued opportunities to further integrate behavioral and physical health care services for individuals with Medicare and AHCCCS. AHCCCS is working with the
Arizona Department of Health Services/Division of Behavioral Health and anticipates the integration of behavioral health services for dual eligible members to be provided by Acute Care Contractors beginning October 1, 2015. 

Prior Quarter Coverage: Beginning January 1 2014, AHCCCS will implement Prior Quarter Coverage eligibility consistent with Federal
Regulation 42 CFR 435.914. AHCCCS is required to expand the time period during which AHCCCS pays for covered services for eligible individuals to include services provided during any of the three months prior to the month the individual applied for
AHCCCS, if the individual met AHCCCS eligibility requirements during that month. Prior Quarter Coverage eligibility will begin January 1, 2014 which means that only individuals applying for AHCCCS in and after February 2014 may be determined to
qualify for Prior Quarter Coverage. AHCCCS Contractors are not responsible for payment for covered services received during the prior quarter. Upon verification or notification of Prior Quarter Coverage eligibility, providers will be required to
bill AHCCCS for services provided during a prior quarter eligibility period. 
 [END OF SECTION D] 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 SECTION E: CONTRACT TERMS AND CONDITIONS 

 

	 	1.	ADVERTISING AND PROMOTION OF CONTRACT 

 The Contractor shall not advertise or publish information for
commercial benefit concerning this contract without the prior written approval of the Contracting Officer. 
  

	 	2.	APPLICABLE LAW 

 Arizona Law - The law of Arizona applies to this contract including, where applicable,
the Uniform Commercial Code, as adopted in the State of Arizona. 
 Implied Contract Terms - Each provision of law and any terms required by law to be in
this contract are a part of this contract as if fully stated in it. 
  

	 	3.	ARBITRATION 

 The parties to this contract agree to resolve all disputes arising out of or relating to
this contract through arbitration, after exhausting applicable administrative review, to the extent required by A.R.S. §12-1518 except as may be required by other applicable statutes. 

 

	 	4.	ASSIGNMENT AND DELEGATION 

 The Contractor shall not assign any rights nor delegate all of the duties
under this contract. Delegation of less than all of the duties of this contract must conform to the requirements of Section D, Subcontracts. 
  

	 	5.	ASSIGNMENT OF CONTRACT AND BANKRUPTCY 

 This contract is voidable and subject to immediate cancellation
by AHCCCS upon the Contractor becoming insolvent or filing proceedings in bankruptcy or reorganization under the United States Code, or assigning rights or obligations under this contract without the prior written consent of AHCCCS. 

 

	 	6.	AUDITS AND INSPECTIONS 

 The Contractor shall comply with all provisions specified in applicable A.R.S.
§35-214 and §35-215 and AHCCCS rules and policies and procedures relating to the audit of the Contractor’s records and the inspection of the Contractor’s facilities. The Contractor shall fully cooperate with AHCCCS staff and
allow them reasonable access to the Contractor’s staff, subcontractors, members, and records [42 CFR 438.6(g)]. 
 At any time during the term of this
contract, and five (5) years thereafter unless a longer time is otherwise required by law, the Contractor’s or any subcontractor’s books and records shall be subject to audit by AHCCCS and, where applicable, the Federal government, to
the extent that the books and records relate to the performance of the contract or subcontracts [42 CFR 438.242(b)(3)]. 
 AHCCCS, or its duly authorized
agents, and the Federal government may evaluate through on-site inspection or other means, the quality, appropriateness and timeliness of services performed under this contract. 

 

	 	7.	AUTHORITY 

 This contract is issued under the authority of the Contracting Officer who signed this
contract. Changes to the contract, including the addition of work or materials, the revision of payment terms, or the substitution of work or materials, directed by an unauthorized state employee or made unilaterally by the Contractor are violations
of the contract and of applicable law. Such changes, including unauthorized written contract amendments, shall be void and without effect, and the Contractor shall not be entitled to any claim under this contract based on those changes. 

 

	 	8.	CHANGES 

 AHCCCS may at any time, by written notice to the Contractor, make changes within the general
scope of this contract. If any such change causes an increase or decrease in the cost of, or the time required for, performance of any part of the work under this contract, the Contractor may assert its right to an adjustment in

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 
compensation paid under this contract. The Contractor must assert its right to such adjustment within 30 days from the date of receipt of the change notice. Any dispute or disagreement caused by
such notice shall constitute a dispute within the meaning of Section E, Disputes, and be administered accordingly. 
 When AHCCCS issues an amendment to
modify the contract, the provisions of such amendment will be deemed to have been accepted 30 days after the date of mailing by AHCCCS, even if the amendment has not been signed by the Contractor, unless within that time the Contractor notifies
AHCCCS in writing that it refuses to sign the amendment. If the Contractor provides such notification, AHCCCS will initiate termination proceedings. 
  

	 	9.	CHOICE OF FORUM 

 The parties agree that jurisdiction over any action arising out of or relating to this
contract shall be brought or filed in a court of competent jurisdiction located in the State of Arizona. 
  

	 	10.	COMPLIANCE WITH APPLICABLE LAWS, RULES AND REGULATIONS 

 The Contractor shall comply with all applicable
Federal and State laws and regulations including Title VI of the Civil Rights Act of 1964; Title IX of the Education Amendments of 1972 (regarding education programs and activities); the Age Discrimination Act of 1975; the Rehabilitation Act of 1973
(regarding education programs and activities), and the Americans with Disabilities Act; EEO provisions; Copeland Anti-Kickback Act; Davis-Bacon Act; Contract Work Hours and Safety Standards; Rights to Inventions Made Under a Contract or Agreement;
Clean Air Act and Federal Water Pollution Control Act; Byrd Anti-Lobbying Amendment. The Contractor shall maintain all applicable licenses and permits. 
  

	 	11.	CONFIDENTIALITY AND DISCLOSURE OF CONFIDENTIAL INFORMATION 

 The Contractor shall safeguard confidential
information in accordance with Federal and State laws and regulations, including but not limited to, 42 CFR 431, Subpart F, A.R.S. §36-107, §36-2903 (for Acute), §36-2932 (for ALTCS), §41-1959 and §46-135, the Health
Insurance Portability and Accountability Act (Public Law 107-191 Statutes 1936), 45 CFR parts 160 and 164, and AHCCCS Rules. 
 The Contractor shall
establish and maintain procedures and controls that are acceptable to AHCCCS for the purpose of assuring that no information contained in its records or obtained from AHCCCS or others carrying out its functions under the contract shall be used or
disclosed by its agents, officers or employees, except as required to efficiently perform duties under the contract. Except as required or permitted by law, the Contractor also agrees that any information pertaining to individual persons shall not
be divulged other than to employees or officers of the Contractor as needed for the performance of duties under the contract, unless otherwise agreed to, in writing, by AHCCCS. 

The Contractor shall not, without prior written approval from AHCCCS, either during or after the performance of the services required by this contract, use,
other than for such performance, or disclose to any person other than AHCCCS personnel with a need to know, any information, data, material, or exhibits created, developed, produced, or otherwise obtained during the course of the work required by
this contract. This nondisclosure requirement shall also pertain to any information contained in reports, documents, or other records furnished to the Contractor by AHCCCS. 
  

	 	12.	CONFLICT OF INTEREST 

 The Contractor shall not undertake any work that represents a potential conflict
of interest, or which is not in the best interest of AHCCCS or the State without prior written approval by AHCCCS. The Contractor shall fully and completely disclose any situation that may present a conflict of interest. If the Contractor is now
performing or elects to perform during the term of this contract any services for any AHCCCS health plan, provider or Contractor or an entity owning or controlling same, the Contractor shall disclose this relationship prior to accepting any
assignment involving such party. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

	 	13.	CONTINUATION OF PERFORMANCE THROUGH TERMINATION 

 The Contractor shall continue to perform, in accordance
with the requirements of the contract, up to the date of termination and as directed in the termination notice. 
  

	 	14.	CONTRACT 

 The contract between AHCCCS and the Contractor shall consist of (1) the Request for
Proposal (RFP) including AHCCCS policies and procedures incorporated by reference as part of the RFP and (2) the proposal submitted by the Contractor in response to the RFP including any Best and Final Offers. In the event of a conflict in
language between the proposal (including any Best and Final Offers) and the RFP (including AHCCCS policies and procedures incorporated by reference), the provisions and requirements set forth and/or referenced in the RFP(including AHCCCS policies
and procedures incorporated by reference) shall govern. 
 The contract shall be construed according to the laws of the State of Arizona. The State of
Arizona is not obligated for the expenditures under the contract until funds have been encumbered. 
  

	 	15.	CONTRACT INTERPRETATION AND AMENDMENT 

 No Parol Evidence - This contract is intended by the
parties as a final and complete expression of their agreement. No course of prior dealings between the parties and no usage of the trade shall supplement or explain any term used in this contract. 

No Waiver - Either party’s failure to insist on strict performance of any term or condition of the contract shall not be deemed a waiver of that
term or condition even if the party accepting or acquiescing in the non-conforming performance knows of the nature of the performance and fails to object to it. 

Written Contract Amendments - The contract shall be modified only through a written contract amendment within the scope of the contract signed by the
procurement officer on behalf of the State and signed by a duly authorized representative of the Contractor. 
  

	 	16.	COOPERATION WITH OTHER CONTRACTORS 

 AHCCCS may award other contracts for additional work related to this
contract and Contractor shall fully cooperate with such other contractors and AHCCCS employees or designated agents. The Contractor shall not commit or permit any act which will interfere with the performance of work by any other Contractor or by
AHCCCS employees. 
  

	 	17.	COVENANT AGAINST CONTINGENT FEES 

 The Contractor warrants that no person or agency has been employed or
retained to solicit or secure this contract upon an agreement or understanding for a commission, percentage, brokerage or contingent fee. For violation of this warranty, AHCCCS shall have the right to annul this contract without liability. 

 

	 	18.	DATA CERTIFICATION 

 The Contractor shall certify that financial and encounter data submitted to AHCCCS
is complete, accurate and truthful. Certification of financial and encounter data must be submitted concurrently with the data. Certification may be provided by the Contractor CEO, CFO or an individual who is delegated authority to sign for, and who
reports directly to the CEO or CFO [42 CFR 438.604 et seq.]. 
  

	 	19.	DISPUTES 

 Contract claims and disputes shall be adjudicated in accordance with State Law, AHCCCS Rules
and this contract. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 Except as provided by 9 A.A.C. Chapter 22, Article 6, the exclusive manner for the Contractor to assert any
dispute against AHCCCS shall be in accordance with the process outlined in 9 A.A.C. Chapter 34 and A.R.S. §36-2932. All disputes except as provided under 9 A.A.C. Chapter 22, Article 6 shall be filed in writing and be received by AHCCCS no
later than 60 days from the date of the disputed notice. All disputes shall state the factual and legal basis for the dispute. Pending the final resolution of any disputes involving this contract, the Contractor shall proceed with performance of
this contract in accordance with AHCCCS’ instructions, unless AHCCCS specifically, in writing, requests termination or a temporary suspension of performance. 
  

	 	20.	E-VERIFY REQUIREMENTS 

 In accordance with A.R.S §41-4401, the Contractor warrants compliance with
all Federal immigration laws and regulations relating to employees and warrants its compliance with Section A.R.S. §23-214, Subsection A. 
  

	 	21.	EFFECTIVE DATE 

 The effective date of this contract shall be the Offer and Acceptance date referenced on
page 1 of this contract. 
  

	 	22.	FEDERAL IMMIGRATION AND NATIONALITY ACT 

 The Contractor shall comply with all Federal, State and local
immigration laws and regulations relating to the immigration status of their employees during the term of the contract. Further, the Contractor shall flow down this requirement to all subcontractors utilized during the term of the contract. The
State shall retain the right to perform random audits of Contractor and subcontractor records or to inspect papers of any employee thereof to ensure compliance. Should the State determine that the Contractor and/or any subcontractors be found
noncompliant, the State may pursue all remedies allowed by law, including, but not limited to; suspension of work, termination of the contract for default and suspension and/or debarment of the Contractor. 

 

	 	23.	GRATUITIES 

 AHCCCS may, by written notice to the Contractor, immediately terminate this contract if it
determines that employment or a gratuity was offered or made by the Contractor or a representative of the Contractor to any officer or employee of the State for the purpose of influencing the outcome of the procurement or securing the contract, an
amendment to the contract, or favorable treatment concerning the contract, including the making of any determination or decision about contract performance. AHCCCS, in addition to any other rights or remedies, shall be entitled to recover exemplary
damages in the amount of three times the value of the gratuity offered by the Contractor. 
  

	 	24.	INCORPORATION BY REFERENCE 

 This solicitation and all attachments and amendments, the Contractor’s
proposal, best and final offer accepted by AHCCCS, and any approved subcontracts are hereby incorporated by reference into the contract. 
  

	 	25.	INDEMNIFICATION 

 Contractor/Vendor Indemnification (Not Public Agency): 

The parties to this contract agree that the State of Arizona, its departments, agencies, boards and commissions shall be indemnified and held harmless by the
Contractor for the vicarious liability of the State as a result of entering into this contract. The Contractor agrees to indemnify, defend, and hold harmless the State from and against any and all claims, losses, liability, costs, and expenses,
including attorney’s fees and costs, arising out of litigation against AHCCCS including, but not limited to, class action lawsuits challenging actions by the Contractor. The requirement for indemnification applies irrespective of whether or not
the Contractor is a party to the lawsuit. Each Contractor shall indemnify the State, on a pro rata basis based on population, attorney’s fees and costs awarded against the State as well as the attorney’s fees and costs incurred by the
State in defending the lawsuit. The Contractor shall also indemnify AHCCCS, on a pro rata basis based on population, the administrative expenses incurred by AHCCCS to address Contractor deficiencies arising out of

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 
the litigation. The parties further agree that the State of Arizona, its departments, agencies, boards and commissions shall be responsible for its own negligence and/or willful misconduct. Each
party to this contract is responsible for its own negligence and/or willful misconduct. 
 Contractor/Vendor Indemnification (Public Agency): 

Each party (“as indemnitor”) agrees to indemnify, defend, and hold harmless the other party (“as indemnitee”) from and against any and all
claims, losses, liability, costs, or expenses (including reasonable attorney’s fees) (hereinafter collectively referred to as ‘claims’) arising out of bodily injury of any person (including death) or property damage but only to the
extent that such claims which result in vicarious/derivative liability to the indemnitee, are caused by the act, omission, negligence, misconduct, or other fault of the indemnitor, its officers, officials, agents, employees, or volunteers. 

 

	 	26.	INDEMNIFICATION - PATENT AND COPYRIGHT 

 To the extent permitted by applicable law the Contractor shall
defend, indemnify and hold harmless the State against any liability including costs and expenses for infringement of any patent, trademark or copyright arising out of contract performance or use by the State of materials furnished or work performed
under this contract. The State shall reasonably notify the Contractor of any claim for which it may be liable under this paragraph. 
  

	 	27.	INSURANCE 

 The Contractor is required to maintain insurance, at a minimum, as specified in Attachment
E-1 Standard Professional Service Contracts and E-2 Standard Professional Service Contracts – Under $50,000. For policies for insurance for professional service contracts working with children or vulnerable adults the policy shall be endorsed
to include coverage for sexual abuse and molestation. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 ATTACHMENT E-1 

STANDARD PROFESSIONAL SERVICE CONTRACT 

INDEMNIFICATION CLAUSE: 
 Contractor shall indemnify,
defend, save and hold harmless the State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees (hereinafter referred to as “Indemnitee”) from and against any and all
claims, actions, liabilities, damages, losses, or expenses (including court costs, attorneys’ fees, and costs of claim processing, investigation and litigation) (hereinafter referred to as “Claims”) for bodily injury or personal
injury (including death), or loss or damage to tangible or intangible property caused, or alleged to be caused, in whole or in part, by the negligent or willful acts or omissions of Contractor or any of its owners, officers, directors, agents,
employees or subcontractors. This indemnity includes any claim or amount arising out of or recovered under the Workers’ Compensation Law or arising out of the failure of such Contractor to conform to any Federal, State or local law, statute,
ordinance, rule, regulation or court decree. It is the specific intention of the parties that the Indemnitee shall, in all instances, except for Claims arising solely from the negligent or willful acts or omissions of the Indemnitee, be indemnified
by Contractor from and against any and all claims. It is agreed that Contractor will be responsible for primary loss investigation, defense and judgment costs where this indemnification is applicable. In consideration of the award of this contract,
the Contractor agrees to waive all rights of subrogation against the State of Arizona, its officers, officials, agents and employees for losses arising from the work performed by the Contractor for the State of Arizona. 

This indemnity shall not apply if the Contractor or subcontractor(s) is/are an agency, board, commission or university of the State of Arizona. 

INSURANCE REQUIREMENTS: 
 Contractor and subcontractors
shall procure and maintain until all of their obligations have been discharged, including any warranty periods under this Contract, are satisfied, insurance against claims for injury to persons or damage to property which may arise from or in
connection with the performance of the work hereunder by the Contractor, his agents, representatives, employees or subcontractors. 
 The insurance
requirements herein are minimum requirements for this Contract and in no way limit the indemnity covenants contained in this Contract. The State of Arizona in no way warrants that the minimum limits contained herein are sufficient to protect the
Contractor from liabilities that might arise out of the performance of the work under this contract by the Contractor, its agents, representatives, employees or subcontractors, and Contractor is free to purchase additional insurance. 

 

	A.	MINIMUM SCOPE AND LIMITS OF INSURANCE: Contractor shall provide coverage with limits of liability not less than those stated below. 

 

	 	1.	Commercial General Liability – Occurrence Form 

 Policy shall include bodily injury,
property damage, personal injury and broad form contractual liability coverage. 
  

					
	 • General Aggregate
	  	$	2,000,000	  
	 • Products – Completed Operations Aggregate
	  	$	1,000,000	  
	 • Personal and Advertising Injury
	  	$	1,000,000	  
	 • Blanket Contractual Liability – Written and Oral
	  	$	1,000,000	  
	 • Fire Legal Liability
	  	$	50,000	  
	 • Each Occurrence
	  	$	1,000,000	  

  

	 	a.	If applicable, the policy shall be endorsed to include coverage for sexual abuse and molestation. 

  

					
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	 	b.	The policy shall be endorsed to include the following additional insured language: “The State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and
employees shall be named as additional insureds with respect to liability arising out of the activities performed by or on behalf of the Contractor”. 

 

	 	c.	Policy shall contain a waiver of subrogation against the State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees for losses arising from work
performed by or on behalf of the Contractor. 

  

	 	2.	Business Automobile Liability 

 Bodily Injury and Property Damage for any owned, hired,
and/or non-owned vehicles used in the performance of this Contract. 
  

					
	 Combined Single Limit (CSL)
	  	$	1,000,000	  

  

	 	a.	The policy shall be endorsed to include the following additional insured language: “The State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and
employees shall be named as additional insureds with respect to liability arising out of the activities performed by or on behalf of the Contractor, involving automobiles owned, leased, hired or borrowed by the Contractor”.

  

	 	b.	Policy shall contain a waiver of subrogation against the State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees for losses arising from work
performed by or on behalf of the Contractor. 

  

	 	3.	Worker’s Compensation and Employers’ Liability 

  

					
	 Workers’ Compensation
	  	 	Statutory	  
	 Employers’ Liability
	  			
	 Each Accident
	  	$	500,000	  
	 Disease – Each Employee
	  	$	500,000	  
	 Disease – Policy Limit
	  	$	1,000,000	  

  

	 	a.	Policy shall contain a waiver of subrogation against the State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees for losses arising from work
performed by or on behalf of the Contractor. 

  

	 	b.	This requirement shall not apply to: Separately, EACH Contractor or subcontractor exempt under A.R.S. §23-901, AND when such Contractor or subcontractor executes the appropriate waiver (Sole Proprietor/Independent
Contractor) form. 

  

	 	4.	Professional Liability (Errors and Omissions Liability) 

  

					
	 Each Claim
	  	$	1,000,000	  
	 Annual Aggregate
	  	$	2,000,000	  

  

	 	a.	In the event that the professional liability insurance required by this Contract is written on a claims-made basis, Contractor warrants that any retroactive date under the policy shall precede the effective date of this
Contract; and that either continuous coverage will be maintained or an extended discovery period will be exercised for a period of two (2) years beginning at the time work under this Contract is completed. 

 

	 	b.	The policy shall cover professional misconduct or lack of ordinary skill for those positions defined in the Scope of Work of this contract. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

	B.	ADDITIONAL INSURANCE REQUIREMENTS: 

 The policies shall include, or be endorsed to
include, the following provisions: 
  

	 	1.	The State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees wherever additional insured status is required. Such additional insured shall be
covered to the full limits of liability purchased by the Contractor, even if those limits of liability are in excess of those required by this Contract. 

  

	 	2.	The Contractor’s insurance coverage shall be primary insurance with respect to all other available sources. 

  

	 	3.	Coverage provided by the Contractor shall not be limited to the liability assumed under the indemnification provisions of this Contract. 

 

	C.	NOTICE OF CANCELLATION: With the exception of (10) day notice of cancellation for non-payment of premium, any changes material to compliance with this contract in the insurance policies above shall require
written notice to the State of Arizona as specified in Attachment F3, Contractor Chart of Deliverables. Such notice shall be sent directly to AHCCCS Contracts Unit, Mail Drop 5700, Division of Business and Finance, 701 E. Jefferson St., Phoenix, AZ
85034, and shall be sent by certified mail, return receipt requested. 

  

	D.	ACCEPTABILITY OF INSURERS: Insurance is to be placed with duly licensed or approved non-admitted insurers in the state of Arizona with an “A.M. Best” rating of not less than A- VII. The State of Arizona
in no way warrants that the above-required minimum insurer rating is sufficient to protect the Contractor from potential insurer insolvency. 

  

	E.	VERIFICATION OF COVERAGE: Contractor shall furnish the State of Arizona with certificates of insurance (ACORD form or equivalent approved by the State of Arizona) as required by this Contract and as specified in
Attachment F3, Contractor Chart of Deliverables. The certificates for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. 

All certificates and endorsements are to be received and approved by the State of Arizona before work commences. Each insurance policy required
by this Contract must be in effect at or prior to commencement of work under this Contract and remain in effect for the duration of the project. Failure to maintain the insurance policies as required by this Contract, or to provide evidence of
renewal, is a material breach of contract. 
 All certificates required by this Contract shall be sent directly to AHCCCS Contracts Unit,
Mail Drop 5700, Division of Business and Finance, 701 E. Jefferson St., Phoenix, AZ 85034. All subcontractors are required to maintain insurance and to provide verification upon request. The State of Arizona project/contract number and project
description shall be noted on the certificate of insurance. The State of Arizona reserves the right to require complete, certified copies of all insurance policies required by this Contract at any time. DO NOT SEND CERTIFICATES OF INSURANCE TO
THE STATE OF ARIZONA’S RISK MANAGEMENT DIVISION. 
  

	F.	SUBCONTRACTORS: Contractors’ certificate(s) shall include all subcontractors as insureds under its policies or upon request, the Contractor shall furnish to the State of Arizona separate certificates
and endorsements for each subcontractor upon request. All coverages for subcontractors shall be subject to the minimum requirements identified above. 

  

	G.	APPROVAL: Any modification or variation from the insurance requirements in this Contract shall be made by the contracting agency in consultation with the Department of Administration, Risk Management
Division. Such action will not require a formal Contract amendment, but may be made by administrative action. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

	H.	EXCEPTIONS: In the event the Contractor or subcontractor(s) is/are a public entity, then the Insurance Requirements shall not apply. Such public entity shall provide a Certificate of Self-Insurance. If the
Contractor or subcontractor(s) is/are a State of Arizona agency, board, commission, or university, none of the above shall apply. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 ATTACHMENT E-2 

STANDARD PROFESSIONAL SERVICE CONTRACT – UNDER $50,000 

INDEMNIFICATION CLAUSE: 
 Contractor shall indemnify,
defend, save and hold harmless the State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees (hereinafter referred to as “Indemnitee”) from and against any and all
claims, actions, liabilities, damages, losses, or expenses (including court costs, attorneys’ fees, and costs of claim processing, investigation and litigation) (hereinafter referred to as “Claims”) for bodily injury or personal
injury (including death), or loss or damage to tangible or intangible property caused, or alleged to be caused, in whole or in part, by the negligent or willful acts or omissions of Contractor or any of its owners, officers, directors, agents,
employees or subcontractors. This indemnity includes any claim or amount arising out of or recovered under the Workers’ Compensation Law or arising out of the failure of such Contractor to conform to any Federal, State or local law, statute,
ordinance, rule, regulation or court decree. It is the specific intention of the parties that the Indemnitee shall, in all instances, except for Claims arising solely from the negligent or willful acts or omissions of the Indemnitee, be indemnified
by Contractor from and against any and all claims. It is agreed that Contractor will be responsible for primary loss investigation, defense and judgment costs where this indemnification is applicable. In consideration of the award of this contract,
the Contractor agrees to waive all rights of subrogation against the State of Arizona, its officers, officials, agents and employees for losses arising from the work performed by the Contractor for the State of Arizona. 

This indemnity shall not apply if the Contractor or subcontractor(s) is/are an agency, board, commission or university of the State of Arizona. 

INSURANCE REQUIREMENTS: 
 Contractor and subcontractors
shall procure and maintain until all of their obligations have been discharged, including any warranty periods under this contract, are satisfied, insurance against claims for injury to persons or damage to property which may arise from or in
connection with the performance of the work hereunder by the Contractor, his agents, representatives, employees or subcontractors. 
 The insurance
requirements herein are minimum requirements for this contract and in no way limit the indemnity covenants contained in this contract. The State of Arizona in no way warrants that the minimum limits contained herein are sufficient to protect the
Contractor from liabilities that might arise out of the performance of the work under this contract by the Contractor, its agents, representatives, employees or subcontractors, and Contractor is free to purchase additional insurance. 

 

	A.	MINIMUM SCOPE AND LIMITS OF INSURANCE: Contractor shall provide coverage with limits of liability not less than those stated below. 

 

	 	1.	Commercial General Liability – Occurrence Form 

 Policy shall include bodily injury,
property damage, personal injury and broad form contractual liability coverage. 
  

					
	 • General Aggregate
	  	$	1,000,000	  
	 • Products – Completed Operations Aggregate
	  	$	500,000	  
	 • Personal and Advertising Injury
	  	$	500,000	  
	 • Blanket Contractual Liability – Written and Oral
	  	$	500,000	  
	 • Fire Legal Liability
	  	$	25,000	  
	 • Each Occurrence
	  	$	500,000	  

  

	 	a.	The policy shall be endorsed to include the following additional insured language: “The State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and
employeesshall be named as additional insureds with respect to liability arising out of the activities performed by or on behalf of the Contractor”.  

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

	 	b.	Policy shall contain a waiver of subrogation against the State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees for losses arising from work
performed by or on behalf of the Contractor. 

  

	 	2.	Business Automobile Liability 

 Bodily Injury and Property Damage for any owned, hired,
and/or non-owned vehicles used in the performance of this contract. 
  

					
	 Combined Single Limit (CSL)
	  	$	500,000	  

  

	 	a.	The policy shall be endorsed to include the following additional insured language: “The State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and
employees shall be named as additional insureds with respect to liability arising out of the activities performed by or on behalf of the Contractor, involving automobiles owned, leased, hired or borrowed by the Contractor”.

  

	 	b.	Policy shall contain a waiver of subrogation against the State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees for losses arising from work
performed by or on behalf of the Contractor. 

  

	 	3.	Worker’s Compensation and Employers’ Liability 

  

					
	 Workers’ Compensation
	  	 	Statutory	  
	 Employers’ Liability
	  			
	 Each Accident
	  	$	100,000	  
	 Disease – Each Employee
	  	$	100,000	  
	 Disease – Policy Limit
	  	$	100,000	  

  

	 	a.	Policy shall contain a waiver of subrogation against the State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees for losses arising from work
performed by or on behalf of the Contractor. 

  

	 	b.	This requirement shall not apply to: Separately, EACH Contractor or subcontractor exempt under A.R.S. §23-901, AND when such Contractor or subcontractor executes the appropriate waiver (Sole Proprietor/Independent
Contractor) form. 

  

	 	4.	Professional Liability (Errors and Omissions Liability) 

  

					
	 Each Claim
	  	$	 500,000	  
	 Annual Aggregate
	  	$	1,000,000	  

  

	 	a.	In the event that the professional liability insurance required by this contract is written on a claims-made basis, Contractor warrants that any retroactive date under the policy shall precede the effective date of this
contract; and that either continuous coverage will be maintained or an extended discovery period will be exercised for a period of two (2) years beginning at the time work under this contract is completed. 

 

	 	b.	The policy shall cover professional misconduct or lack of ordinary skill for those positions defined in the Scope of Work of this contract. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

	B.	ADDITIONAL INSURANCE REQUIREMENTS: The policies shall include, or be endorsed to include, the following provisions: 

  

	 	1.	The State of Arizona, its departments, agencies, boards, commissions, universities and its officers, officials, agents, and employees wherever additional insured status is required. Such additional insured shall be
covered to the full limits of liability purchased by the Contractor, even if those limits of liability are in excess of those required by this contract. 

  

	 	2.	The Contractor’s insurance coverage shall be primary insurance with respect to all other available sources. 

  

	 	3.	Coverage provided by the Contractor shall not be limited to the liability assumed under the indemnification provisions of this contract. 

 

	C.	NOTICE OF CANCELLATION: With the exception of (10) day notice of cancellation for non- payment of premium, any changes material to compliance with this contract in the insurance policies above shall require
written notice to the State of Arizona as specified in Attachment F3, Contractor Chart of Deliverables. Such notice shall be sent directly to AHCCCS Contracts Unit, Mail Drop 5700, Division of Business and Finance, 701 E. Jefferson St., Phoenix, AZ
85034 and shall be sent by certified mail, return receipt requested. 

  

	D.	ACCEPTABILITY OF INSURERS: Insurance is to be placed with duly licensed or approved non- admitted insurers in the state of Arizona with an “A.M. Best” rating of not less than A- VII. The State of
Arizona in no way warrants that the above-required minimum insurer rating is sufficient to protect the Contractor from potential insurer insolvency. 

  

	E.	VERIFICATION OF COVERAGE: Contractor shall furnish the State of Arizona with certificates of insurance (ACORD form or equivalent approved by the State of Arizona) as required by this contract and as specified in
Attachment F3, Contractor Chart of Deliverables. The certificates for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. 

All certificates and endorsements are to be received and approved by the State of Arizona before work commences. Each insurance policy required
by this contract must be in effect at or prior to commencement of work under this contract and remain in effect for the duration of the project. Failure to maintain the insurance policies as required by this contract, or to provide evidence of
renewal, is a material breach of contract. 
 All certificates required by this contract shall be sent directly to AHCCCS Contracts Unit,
Mail Drop 5700, Division of Business and Finance, 701 E. Jefferson St., Phoenix, AZ 85034. All subcontractors are required to maintain insurance and to provide verification upon request. The State of Arizona project/contract number and project
description shall be noted on the certificate of insurance. The State of Arizona reserves the right to require complete, certified copies of all insurance policies required by this contract at any time. DO NOT SEND CERTIFICATES OF INSURANCE TO
THE STATE OF ARIZONA’S RISK MANAGEMENT DIVISION. 
  

	F.	SUBCONTRACTORS: Contractors’ certificate(s) shall include all subcontractors as insureds under its policies or upon request, the Contractor shall furnish to the State of Arizona separate certificates
and endorsements for each subcontractor upon request. All coverages for subcontractors shall be subject to the minimum requirements identified above. 

  

	G.	APPROVAL: Any modification or variation from the insurance requirements in this contract shall be made by the contracting agency in consultation with the Department of Administration, Risk Management
Division. Such action will not require a formal contract amendment, but may be made by administrative action. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

	H.	EXCEPTIONS: In the event the Contractor or subcontractor(s) is/are a public entity, then the Insurance Requirements shall not apply. Such public entity shall provide a Certificate of Self-Insurance. If the
Contractor or subcontractor(s) is/are a State of Arizona agency, board, commission, or university, none of the above shall apply. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

	 	28.	IRS W9 FORM 

 In order to receive payment under any resulting contract, the Contractor shall have a
current IRS W9 Form on file with the State of Arizona. 
  

	 	29.	LOBBYING 

 No funds paid to the Contractor by AHCCCS, or interest earned thereon, shall be used for the
purpose of influencing or attempting to influence an officer or employee of any Federal or State agency, a member of the United States Congress or State Legislature, an officer or employee of a member of the United States Congress or State
Legislature in connection with awarding of any Federal or State contract, the making of any Federal or State grant, the making of any Federal or State loan, the entering into of any cooperative agreement, and the extension, continuation, renewal,
amendment or modification of any Federal or State contract, grant, loan, or cooperative agreement. The Contractor shall disclose if any funds paid to the Contractor by AHCCCS have been used or will be used to influence the persons and entities
indicated above and will assist AHCCCS in making such disclosures to CMS. 
  

	 	30.	NO GUARANTEED QUANTITIES 

 AHCCCS does not guarantee the Contractor any minimum or maximum quantity of
services or goods to be provided under this contract. 
  

	 	31.	NON-DISCRIMINATION 

 In accordance with A.R.S. 41-1461 et seq. and Executive Order 2009-09, the
Contractor shall provide equal employment opportunities for all persons, regardless of race, color, religion, creed, sex, age, national origin, disability or political affiliation. The Contractor shall comply with the Americans with Disabilities
Act. 
  

	 	32.	NON-EXCLUSIVE REMEDIES 

 The rights and the remedies of AHCCCS under this contract are not exclusive.

  

	 	33.	OFF-SHORE PERFORMANCE OF WORK PROHIBITED 

 Any services that are described in the specifications or scope
of work that directly serve the State of Arizona or its clients and involve access to secure or sensitive data or personal client data shall be performed within the defined territories of the United States. Unless specifically stated otherwise in
the specifications, this paragraph does not apply to indirect or “overhead” services, redundant back-up services or services that are incidental to the performance of the contract. This provision applies to work performed by subcontractors
at all tiers. 
  

	 	34.	ORDER OF PRECEDENCE 

 The parties to this contract shall be bound by all terms and conditions contained
herein. For interpreting such terms and conditions the following sources shall have precedence in descending order: The Constitution and laws of the United States and applicable Federal regulations; the terms of the CMS 1115 waiver for the State of
Arizona; the Constitution and laws of Arizona, and applicable State Rules; the terms of this contract which consists of the RFP, the proposal of the successful Offeror, and any Best and Final Offer including any attachments, executed amendments and
modifications; and AHCCCS policies and procedures. 
  

	 	35.	OWNERSHIP OF INFORMATION AND DATA 

 Materials, reports and other deliverables created under this contract
are the sole property of AHCCCS. The Contractor is not entitled to any rights to those materials and may not transfer any rights to anyone else. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 Except as necessary to carry out the requirements of this contract, as otherwise allowed under this contract,
or as required by law, the Contractor shall not use or release data, information or materials, reports, or deliverables derived from that data or information without the prior written consent of AHCCCS. Data, information and reports collected or
prepared by the Contractor in the course of performing its duties and obligations under this contract shall not be used by the Contractor for any independent project of the Contractor or publicized by the Contractor without the prior written
permission of AHCCCS. Subject to applicable state and Federal laws and regulations, AHCCCS shall have full and complete rights to reproduce, duplicate, disclose and otherwise use all such information. 

At the termination of the contract, the Contractor shall make available all such data to AHCCCS within 30 days following termination of the contract or such
longer period as approved by AHCCCS, Office of the Director. For purposes of this subsection, the term “data” shall not include member medical records. 

Except as otherwise provided in this section, if any copyrightable or patentable material is developed by the Contractor in the course of performance of this
contract, the Federal government, AHCCCS and the State of Arizona shall have a royalty-free, nonexclusive, and irrevocable right to reproduce, publish, or otherwise use, and to authorize others to use, the work for state or Federal government
purposes. The Contractor shall additionally be subject to the applicable provisions of 45 CFR Part 74. 
  

	 	36.	RESERVED 

  

	 	37.	RELATIONSHIP OF PARTIES 

 The Contractor under this contract is an independent Contractor. Neither party
to this contract shall be deemed to be the employee or agent of the other party to the contract. 
  

	 	38.	RIGHT OF OFFSET 

 AHCCCS shall be entitled to offset against any sums due the Contractor any expenses or
costs incurred by AHCCCS or damages assessed by AHCCCS concerning the Contractor’s non-conforming performance or failure to perform the contract, including but not limited to expenses, costs and damages. 

 

	 	39.	RIGHT TO ASSURANCE 

 If AHCCCS, in good faith, has reason to believe that the Contractor does not intend
to perform or is unable to continue to perform this contract, the procurement officer may demand in writing that the Contractor give a written assurance of intent to perform. The demand shall be sent to the Contractor by certified mail, return
receipt required. Failure by the Contractor to provide written assurance within the number of days specified in the demand may, at the State’s option, be the basis for terminating the contract. 

 

	 	40.	RIGHT TO INSPECT PLANT OR PLACE OF BUSINESS 

 AHCCCS may, at reasonable times, inspect the part of the
plant or place of business of the Contractor or subcontractor that is related to the performance of this contract, in accordance with A.R.S. 41-2547. 
  

	 	41.	SCRUTINIZED BUSINESSES 

 In accordance with A.R.S. 35-391 and A.R.S. 35-393, Contractor certifies that
the Contractor does not have scrutinized business operations in Sudan or Iran. 
  

	 	42.	SEVERABILITY 

 The provisions of this contract are severable. Any term or condition deemed illegal or
invalid shall not affect any other term or condition of the contract. 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

	 	43.	SUSPENSION OR DEBARMENT 

 The Contractor shall not employ, consult, subcontract or enter into any
agreement for Title XIX services with any person or entity who is debarred, suspended or otherwise excluded from Federal procurement activity or from participating in non-procurement activities under regulations issued under Executive Order 12549
[42 CFR 438.610(a)(b)] or under guidelines implementing Executive Order 12549. This prohibition extends to any entity which employs, consults, subcontracts with or otherwise reimburses for services any person substantially involved in the management
of another entity which is debarred, suspended or otherwise excluded from Federal procurement activity. The Contractor is obligated to screen all employees and contractors to determine whether any of them have been excluded from participation in
Federal health care programs. The Contractor can search the HHS-OIG website by the names of any individuals. The database can be accessed at http://www.oig.hhs.gov/fraud/exclusions.asp. 

The Contractor shall not retain as a director, officer, partner or owner of 5% or more of the Contractor entity, any person, or affiliate of such a person,
who is debarred, suspended or otherwise excluded from Federal procurement activity. 
 AHCCCS may, by written notice to the Contractor, immediately
terminate this contract if it determines that the Contractor has been debarred, suspended or otherwise lawfully prohibited from participating in any public procurement activity. 

 

	 	44.	TEMPORARY MANAGEMENT/OPERATION OF A CONTRACTOR AND TERMINATION 

 Temporary Management/Operation by
AHCCCS: Pursuant to the Medicaid Managed Care Regulations, 42 CFR 438.700 et seq. and State Law A.R.S. 36-2903, AHCCCS is authorized to impose temporary management for a Contractor under certain conditions. Under Federal law, temporary
management may be imposed if AHCCCS determines that there is continued egregious behavior by the Contractor, including but not limited to the following: substantial failure to provide medically necessary services the Contractor is required to
provide; imposition on enrollees premiums or charges that exceed those permitted by AHCCCS, discrimination among enrollees on the basis of health status or need for health care services; misrepresentation or falsification of information to AHCCCS or
CMS; misrepresentation or falsification of information furnished to an enrollee or provider; distribution of marketing materials that have not been approved by AHCCCS or that are false or misleading; or behavior contrary to any requirements of
Sections 1903(m) or 1932 of the Social Security Act. Temporary management may also be imposed if AHCCCS determines that there is substantial risk to enrollees’ health or that temporary management is necessary to ensure the health of enrollees
while the Contractor is correcting the deficiencies noted above or until there is an orderly transition or reorganization of the Contractor. Under Federal law, temporary management is mandatory if AHCCCS determines that the Contractor has repeatedly
failed to meet substantive requirements in Sections 1903(m) or 1932 of the Social Security Act. In these situations, AHCCCS shall not delay imposition of temporary management to provide a hearing before imposing this sanction. 

State law A.R.S. 36-2903 authorizes AHCCCS to operate a Contractor as specified in this contract. In addition to the bases specified in 42 CFR 438.700 et
seq., AHCCCS may directly operate the Contractor if, in the judgment of AHCCCS, the Contractor’s performance is in material breach of the contract or the Contractor is insolvent. Under these circumstances, AHCCCS may directly operate the
Contractor to assure delivery of care to members enrolled with the Contractor until cure by the Contractor of its breach, by demonstrated financial solvency or until the successful transition of those members to other Contractors. Prior to operation
of the Contractor by AHCCCS pursuant to state statute, the Contractor shall have the opportunity for a hearing. If AHCCCS determines that emergency action is required, operation of the Contractor may take place prior to hearing. Operation by AHCCCS
shall occur only as long as it is necessary to assure delivery of uninterrupted care to members, to accomplish orderly transition of those members to other Contractors, or until the Contractor reorganizes or otherwise corrects contract performance
failure. If AHCCCS undertakes direct operation of the Contractor, AHCCCS, through designees appointed by the Director, shall be vested with full and exclusive power of management and control of the Contractor as necessary to ensure the uninterrupted
care to persons and accomplish the orderly transition of persons to a new or existing Contractor, or until the 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 Contractor corrects the contract performance failure to the satisfaction of AHCCCS. AHCCCS shall have the
power to employ any necessary assistants, to execute any instrument in the name of the Contractor, to commence, defend and conduct in its name any action or proceeding in which the Contractor may be a party; such powers shall only apply with respect
to activities occurring after AHCCCS undertakes direct operation of the Contractor in connection with this Section. 
 All reasonable expenses of AHCCCS
related to the direct operation of the Contractor, including attorney fees, cost of preliminary or other audits of the Contractor and expenses related to the management of any office or other assets of the Contractor, shall be paid by the Contractor
or withheld from payment due from AHCCCS to the Contractor. 
 Termination: AHCCCS reserves the right to terminate this contract in whole or
in part due to the failure of the Contractor to comply with any term or condition of the contract and as authorized by the Balanced Budget Act of 1997 and 42 CFR 438.708. If the Contractor is providing services under more than one contract with
AHCCCS, AHCCCS may deem unsatisfactory performance under one contract to be cause to require the Contractor to provide assurance of performance under any and all other contracts. In such situations, AHCCCS reserves the right to seek remedies under
both actual and anticipatory breaches of contract if adequate assurance of performance is not received. The Contracting Officer shall mail written notice of the termination and the reason(s) for it to the Contractor by certified mail, return receipt
requested. Pursuant to the Balanced Budget Act of 1997 and 42 CFR 438.708, AHCCCS shall provide the Contractor with a pre-termination hearing before termination of the contract. 

Upon termination, all documents, data, and reports prepared by the Contractor under the contract shall become the property of and be delivered to AHCCCS on
demand. 
 AHCCCS may, upon termination of this contract, procure on terms and in the manner that it deems appropriate, materials or services to replace
those under this contract. The Contractor shall be liable for any excess costs incurred by AHCCCS in re-procuring the materials or services. 
  

	 	45.	TERM OF CONTRACT AND OPTION TO RENEW 

 The initial term of this contract shall be for three
(3) initial years, with two (2) one-year options to extend, not to exceed a total contracting period of five (5) years. The terms and conditions of any such contract extension shall remain the same as the original contract, as
amended. Any contract extension shall be through contract amendment, and shall be at the sole option of AHCCCS. 
 If the Contractor has been awarded a
contract in more than one GSA, each such contract will be considered separately renewable. AHCCCS may renew the Contractor’s contract in one GSA, but not in another. In the event AHCCCS determines there are issues of noncompliance by the
Contractor in one GSA, AHCCCS may request an enrollment cap for the Contractor’s contracts in all other GSAs. Further, AHCCCS may require the Contractor to renew all currently awarded GSAs, or may terminate the contract if the Contractor does
not agree to renew all currently awarded GSAs. 
 When the Contracting Officer issues an amendment to extend the contract, the provisions of such extension
will be deemed to have been accepted 30 days after the date of mailing by the Contracting Officer, unless a different time period is specified by AHCCCS, even if the extension amendment has not been signed by the Contractor, unless within that time
the Contractor notifies the Contracting Officer in writing that it refuses to sign the extension amendment. Failure of an existing Contractor to accept an amendment (or renew) may result in immediate suspension/ termination of member assignment. If
the Contractor provides such notification, the Contracting Officer will initiate contract termination proceedings. 
 If the Contractor chooses not to renew
this contract, the Contractor may be liable for certain costs associated with the transition of its members to a different Contractor. The Contractor is required to provide 180 days advance written notice to the Contracts and Purchasing
Administrator of its intent not to renew the contract. If 

  

					
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	SECTION E: CONTRACT TERMS AND CONDITIONS	  	Contract No. YH14-0001

  

 
  

 the Contractor provides the Contracts and Purchasing Administrator written notice of its intent not to renew
this contract at least 180 days before its expiration, this liability for transition costs may be waived by the Contracting Officer. 
  

	 	46.	TERMINATION - AVAILABILITY OF FUNDS 

 Funds are not presently available for performance under this
contract beyond the current fiscal year. No legal liability on the part of AHCCCS for any payment may arise under this contract until funds are made available for performance of this contract. 

Notwithstanding any other provision in the Agreement, this Agreement may be terminated by Contractor, if, for any reason, there are not sufficient
appropriated and available monies for the purpose of maintaining this Agreement. In the event of such termination, the Contractor shall have no further obligation to AHCCCS. 
  

	 	47.	TERMINATION FOR CONFLICT OF INTEREST 

 AHCCCS may cancel this contract without penalty or further
obligation if any person significantly involved in initiating, negotiating, securing, drafting or creating the contract on behalf of AHCCCS is, or becomes at any time while the contract or any extension of the contract is in effect, an employee of,
or a consultant to, any other party to this contract with respect to the subject matter of the contract. The cancellation shall be effective when the Contractor receives written notice of the cancellation unless the notice specifies a later time.

 If the Contractor is a political subdivision of the State, it may also cancel this contract as provided by A.R.S. 38-511. 

 

	 	48.	TERMINATION FOR CONVENIENCE 

 AHCCCS reserves the right to terminate the contract in whole or in part at
any time for the convenience of the State without penalty or recourse. The Contracting Officer shall give written notice by certified mail, of the termination at least 90 days before the effective date of the termination. Upon receipt of written
notice, the Contractor shall stop all work, as directed in the notice, notify all subcontractors of the effective date of the termination and minimize all further costs to the State. In the event of termination under this paragraph, all documents,
data and reports prepared by the Contractor under the contract shall become the property of and be delivered to AHCCCS. The Contractor shall be entitled to receive just and equitable compensation for work in progress, work completed and materials
accepted before the effective date of the termination. 
  

	 	49.	THIRD PARTY ANTITRUST VIOLATIONS 

 The Contractor assigns to the State any claim for overcharges
resulting from antitrust violations to the extent that those violations concern materials or services supplied by third parties to the Contractor toward fulfillment of this contract. 

 

	 	50.	TYPE OF CONTRACT 

 Fixed-Price, stated as capitated per member per month, except as otherwise provided.

  

	 	51.	WARRANTY OF SERVICES 

 The Contractor warrants that all services provided under this contract will
conform to the requirements stated herein. AHCCCS’ acceptance of services provided by the Contractor shall not relieve the Contractor from its obligations under this warranty. In addition to its other remedies, AHCCCS may, at the
Contractor’s expense, require prompt correction of any services failing to meet the Contractor’s warranty herein. Services corrected by the Contractor shall be subject to all of the provisions of this contract in the manner and to the same
extent as the services originally furnished. 
 [END OF SECTION E] 

  

					
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	 SECTION F: ATTACHMENTS

 

	ATTACHMENT F1:	  	
	ENROLLEE GRIEVANCE SYSTEM STANDARDS	  	Contract No. YH14-0001

  
  

SECTION F: ATTACHMENTS 
 ATTACHMENT F1.
ENROLLEE GRIEVANCE SYSTEM STANDARDS 
 The Contractor shall have a written policy delineating its Grievance System which shall be in accordance with
applicable Federal and State laws, regulations and policies, including, but not limited to 42 CFR Part 438 Subpart F. The Contractor shall furnish Grievance System information to enrollees no later than 12 days after the Contractor receives notice
of the enrollment and annually thereafter. The Contractor shall also provide this information to all providers and subcontractors at the time of contract. Additionally, the Contractor shall provide written notification of any significant change in
this policy at least 30 days before the intended effective date of the change. 
 The written information provided to enrollees describing the Grievance
System including the grievance process, the appeals process, enrollee rights, the grievance system requirements and timeframes, shall be in each prevalent non-English language occurring within the Contractor’s service area and in an easily
understood language and format. Written documents, including but not limited to, the Notice of Action, the Notice of Extension of Notice of Action, the Notice of Appeal Resolution and Notice of Extension for Resolution, shall contain information in
the prevalent non-English language(s), prominently displayed in large bold print on the first page of the document, advising the enrollee that the written document is available in the prevalent non-English language(s) and in alternative formats
along with an explanation of how enrollees may obtain this written information in the prevalent non-English language(s) and alternative formats. However, if prior to issuing a document in English, the Contractor receives information orally or in
writing that the enrollee has a limited English proficiency in a prevalent non-English language, the Contractor shall translate the document in the applicable prevalent non-English language before providing it to the enrollee. The Contractor shall
also inform enrollees that oral interpretation services are available in any language. 
 For additional information regarding the enrollee Notice of
Action process, the Contractor should refer to the ACOM Policy 414 and 42 CFR Part 438. Failure to comply with any of these provisions may result in an imposition of sanctions. 

At a minimum, the Contractor’s Grievance System Standards and Policy shall specify: 

 

	1.	That the Contractor shall maintain records of all grievances, appeals and requests for hearing. 

  

	2.	That the Contractor has a mechanism for tracking receipt, acknowledgement, investigation and resolution of grievances, appeals and requests for hearing within the required timeframes. 

 

	3.	Information explaining the grievance, appeal, and fair hearing procedures and timeframes. This information shall include a description of the circumstances when there is a right to a hearing, the method for obtaining a
hearing, the requirements which govern representation at the hearing, the right to file grievance and appeals and the requirements and timeframes for filing a grievance, appeal, or request for hearing. 

 

	4.	The availability of assistance in the filing process and the Contractor’s toll-free numbers that an enrollee can use to file a grievance or appeal by phone. 

 

	5.	That the Contractor shall acknowledge receipt of each grievance and appeal. For grievances, the Contractor is not required to acknowledge receipt of the Grievance in writing, however, if the enrollee requests written
acknowledgement, the acknowledgement must be made within five business days of receipt of the request. For Appeals, the Contractor shall acknowledge receipt of standard appeals in writing within five business days of receipt and within one business
day of receipt of expedited appeals. 

  

					
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	 ATTACHMENT F1:
 ENROLLEE GRIEVANCE
SYSTEM STANDARDS
	 	Contract No. YH14-0001

  

 
  

	6.	That the Contractor shall permit both oral and written appeals and grievances and that oral inquiries appealing an action are treated as appeals. 

 

	7.	The definition of action [42 CFR 438.400(b)] and that an enrollee, or their designated representative, may file an appeal of an action taken by the Contractor. Actions include: 

 

	 	a.	Denial or limited authorization of a requested service, including the type or level of service; 

  

	 	b.	Reduction, suspension, or termination of a previously authorized service; 

  

	 	c.	Denial, in whole or in part, of payment for a service; 

  

	 	d.	Failure to provide services in a timely manner, as defined by the State; 

  

	 	e.	Failure to act within the timeframes provided in 42 CFR 438.408(b) required for standard and expedited resolution of appeals and standard disposition of grievances; or 

 

	 	f.	Denial of a rural enrollee’s request to obtain services outside the Contractor’s network under 42 CFR 438.52(b)(2)(ii), when the Contractor is the only Contractor in the rural area. 

 

	8.	That the Contractor shall ensure that individuals who make decisions regarding grievances and appeals are individuals not involved in any previous level of review or decision making and that individuals who make
decisions regarding: 1) appeals of denials based on lack of medical necessity, 2) a grievance regarding denial of expedited resolution of an appeal or 3) grievances or appeals involving clinical issues are health care professionals as defined in 42
CFR 438.2 with the appropriate clinical expertise in treating the enrollee’s condition or disease. 

  

	9.	The definition of grievance as a member’s expression of dissatisfaction with any aspect of their care, other than the appeal of actions. There are no time limits for filing an enrollee grievance. 

 

	10.	That an enrollee must file a grievance with the Contractor and that the enrollee is not permitted to file a grievance directly with AHCCCS. 

 

	11.	That the Contractor must resolve each grievance within 10 business days of receipt, absent extraordinary circumstances. However, no grievances shall exceed 90 days for resolution. Contractor decisions on enrollee
grievances cannot be appealed. 

  

	12.	That the Contractor responds in writing, if an enrollee requests a written explanation of the resolution, and the response must be mailed within 10 business days of resolution of the grievance. 

 

	13.	That an enrollee shall be given 60 days from the date of the Contractor’s Notice of Action to file an appeal. 

  

	14.	Information explaining that a provider acting on behalf of an enrollee and with the enrollee’s written consent, may file an appeal. 

 

	15.	That the Contractor include, as parties to the appeal, the enrollee, the enrollee’s legal representative, or the legal representative of a deceased enrollee’s estate. 

 

	16.	That the Contractor must ensure that punitive action is not taken against a provider who either requests an expedited resolution or supports an enrollee’s appeal. 

 

	17.	The resolution timeframes for standard appeals and expedited appeals may be extended up to 14 days if the enrollee requests the extension or if the Contractor establishes a need for additional information and that the
delay is in the enrollee’s interest. 

  

					
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	 ATTACHMENT F1:
 ENROLLEE GRIEVANCE
SYSTEM STANDARDS
	 	Contract No. YH14-0001

  

 
  

	18.	That if the Contractor extends the timeframe for resolution of an appeal when not requested by the enrollee, the Contractor shall provide the enrollee with written notice of the reason for the delay. 

 

	19.	The definition of a service authorization request as an enrollee’s request for the provision of a service [42 CFR 431.201]. 

  

	20.	The definition of a standard authorization request. For standard authorization decisions, the Contractor must provide a Notice of Action to the enrollee as expeditiously as the enrollee’s health condition requires,
but not later than 14 days following the receipt of the authorization request with a possible extension of up to 14 days if the enrollee or provider requests an extension or if the Contractor establishes a need for additional information and delay
is in the enrollee’s best interest [42 CFR 438.210(d)(1)]. The Notice of Action must comply with the advance notice requirements when there is a termination or reduction of a previously authorized service OR when there is a denial of an
authorization request and the physician asserts that the requested service/treatment is a necessary continuation of a previously authorized service. 

  

	21.	The definition of an expedited authorization request. For expedited authorization decisions, the Contractor must provide a Notice of Action to the enrollee as expeditiously as the enrollee’s health condition
requires, but not later than three business days following the receipt of the authorization request with a possible extension of up to 14 days if the enrollee or provider requests an extension or if the Contractor establishes a need for additional
information and delay is in the enrollee’s interest [42 CFR 438.210(d)(2)]. 

  

	22.	That the Notice of Action for a service authorization decision not made within the standard or expedited timeframes, whichever is applicable, will be made on the date that the timeframes expire. If the Contractor
extends the timeframe to make a standard or expedited authorization decision, the Contractor must give the enrollee written notice of the reason to extend the timeframe and inform the enrollee of the right to file a grievance if the enrollee
disagrees with the decision. The Contractor must issue and carry out its decision as expeditiously as the enrollee’s health condition requires and no later than the date the extension expires. 

 

	23.	That the Contractor shall notify the requesting provider of the decision to deny or reduce a service authorization request. The notice to the provider must be written. 

 

	24.	That the Contractor shall mail a Notice of Action: 1) at least 10 days before the date of a termination, suspension or reduction of previously authorized AHCCCS services, except as provided in (a)-(e) below; 2) at
least five days before the date of action in the case of suspected fraud; 3) at the time of any action affecting the claim when there has been a denial of payment for a service, in whole or in part; 4) within 14 days from receipt of a standard
service authorization request and within three business days from receipt of an expedited service authorization request, unless an extension is in effect. For service authorization decisions, the Contractor shall also ensure that the Notice of
Action provides the enrollee with advance notice and the right to request continued benefits for all terminations and reductions of a previously authorized service and for denials when the physician asserts that the requested service/treatment which
has been denied is a necessary continuation of a previously authorized service. As described below, the Contractor may elect to mail a Notice of Action no later than the date of action when: 

 

	 	a.	The Contractor receives notification of the death of an enrollee 

  

	 	b.	The enrollee signs a written statement requesting service termination or gives information requiring termination or reduction of services (which indicates understanding that the termination or reduction will be the
result of supplying that information) 

  

	 	c.	The enrollee is admitted to an institution where he is ineligible for further services 

  

					
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	 ATTACHMENT F1:
 ENROLLEE GRIEVANCE
SYSTEM STANDARDS
	 	Contract No. YH14-0001

  

 
  

	 	d.	The enrollee’s address is unknown and mail directed to the enrollee has no forwarding address 

  

	 	e.	The enrollee has been accepted for Medicaid in another local jurisdiction 

  

	25.	That the Notice of Action must explain: 1) the action the Contractor has taken or intends to take, 2) the reasons for the action, 3) the enrollee’s right to file an appeal with the Contractor, 4) the procedures for
exercising these rights, 5) circumstances when expedited resolution is available and how to request it and 6) the enrollee’s right to receive continued benefits pending resolution of the appeal, how to request continued benefits and the
circumstances under which the enrollee may be required to pay for the cost of these services. The Notice of Action shall comply with ACOM Policy 414. 

  

	26.	The definition of a standard appeal and that the Contractor shall resolve standard appeals no later than 30 days from the date of receipt of the appeal unless an extension is in effect. If a Notice of Appeal Resolution
is not completed when the timeframe expires, the member’s appeal shall be considered to be denied by the Contractor, and the member can file a request for hearing. 

 

	27.	The definition of an expedited appeal and that the Contractor shall resolve all expedited appeals no later than three business days from the date the Contractor receives the appeal (unless an extension is in effect)
where the Contractor determines (for a request from the enrollee), or the provider (in making the request on the enrollee’s behalf indicates) that the standard resolution timeframe could seriously jeopardize the enrollee’s life or health
or ability to attain, maintain or regain maximum function. The Contractor shall make reasonable efforts to provide oral notice to an enrollee regarding an expedited resolution appeal. If a Notice of Appeal Resolution is not completed when the
timeframe expires, the member’s appeal shall be considered to be denied by the Contractor, and the member can file a request for hearing. 

  

	28.	That if the Contractor denies a request for expedited resolution, it must transfer the appeal to the 30-day timeframe for a standard appeal. The Contractor must make reasonable efforts to give the enrollee prompt oral
notice and follow-up within two days with a written notice of the denial of expedited resolution. 

  

	29.	That benefits shall continue until a hearing decision is rendered if: 1) the enrollee files an appeal before the later of a) 10 days from the mailing of the Notice of Action or b) the intended date of the
Contractor’s action, 2) a) the appeal involves the termination, suspension, or reduction of a previously authorized course of treatment or b) the appeal involves a denial and the physician asserts that the requested service/treatment is a
necessary continuation of a previously authorized service, 3) the services were ordered by an authorized provider and 4) the enrollee requests a continuation of benefits. 

For purposes of this paragraph, benefits shall be continued based on the authorization which was in place prior to the denial, termination,
reduction, or suspension which has been appealed. 
  

	30.	That the Contractor continues extended benefits originally provided to the enrollee until any of the following occurs: 1) the enrollee withdraws the appeal, 2) the enrollee has not specifically requested continued
benefits pending a hearing decision within 10 days of the Contractor mailing of the appeal resolution notice, or 3) AHCCCS issues a state fair hearing decision adverse to the enrollee. 

 

	31.	That for appeals, the Contractor provides the enrollee a reasonable opportunity to present evidence and allegations of fact or law in person and in writing and that the Contractor informs the enrollee of the limited
time available in cases involving expedited resolution. 

  

	32.	That for appeals, the Contractor provides the enrollee and his representative the opportunity before and during the appeals process to examine the enrollee’s case file including medical records and other documents
considered during the appeals process. 

  

					
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	 ATTACHMENT F1:
 ENROLLEE GRIEVANCE
SYSTEM STANDARDS
	 	Contract No. YH14-0001

  

 
  

	33.	That the Contractor shall provide written Notice of Appeal Resolution to the enrollee and the enrollee’s representative or the representative of the deceased enrollee’s estate which must contain: 1) the
results of the resolution process, including the legal citations or authorities supporting the determination, and the date it was completed, and 2) for appeals not resolved wholly in favor of enrollees: a) the enrollee’s right to request a
State fair hearing (including the requirement that the enrollee must file the request for a hearing in writing) no later than 30 days after the date the enrollee receives the Contractor’s notice of appeal resolution and how to do so, b) the
right to receive continued benefits pending the hearing and how to request continuation of benefits and c) information explaining that the enrollee may be held liable for the cost of benefits if the hearing decision upholds the Contractor.

  

	34.	That if the enrollee files a request for hearing the Contractor must ensure that the case file and all supporting documentation is received by the AHCCCS Office of Administrative Legal Services (OALS) as specified by
OALS. The file provided by the Contractor must contain a cover letter that includes: 

  

	 	a.	Enrollee’s name 

  

	 	b.	Enrollee’s AHCCCS I.D. number 

  

	 	c.	Enrollee’s address 

  

	 	d.	Enrollee’s phone number (if applicable) 

  

	 	e.	Date of receipt of the appeal 

  

	 	f.	Summary of the Contractor’s actions undertaken to resolve the appeal and summary of the appeal resolution 

  

	35.	The following material shall be included in the file sent by the Contractor: 

  

	 	a.	The Enrollee’s written request for hearing 

  

	 	b.	Copies of the entire appeal file which includes all supporting documentation including pertinent findings and medical records 

  

	 	c.	The Contractor’s Notice of Appeal Resolution 

  

	 	d.	Other information relevant to the resolution of the appeal 

  

	36.	That if the Contractor or the State fair hearing decision reverses a decision to deny, limit or delay services not furnished during the appeal or the pendency of the hearing process, the Contractor shall authorize or
provide the services promptly and as expeditiously as the enrollee’s health condition requires irrespective of whether the Contractor contests the decision. 

  

	37.	That if the Contractor or State fair hearing decision reverses a decision to deny authorization of services and the disputed services were received pending appeal, the Contractor shall pay for those services, as
specified in policy and/or regulation. 

  

	38.	That if the Contractor or the Director’s Decision reverses a decision to deny, limit, or delay authorization of services, and the member received the disputed services while the appeal was pending, the Contractor
shall process a claim for payment from the provider in a manner consistent with the Contractor’s or Director’s Decision and applicable statutes, Rules, policies, and contract terms. The provider shall have 90 days from the date of the
reversed decision to submit a clean claim to the Contractor for payment. For all claims submitted as a result of a reversed decision, the Contractor is prohibited from denying claims for un-timeliness if they are submitted within the 90 day
timeframe. The Contractor is also prohibited from denying claims submitted as a result of a reversed decision because the member failed to request continuation of services during the appeals/hearing process: a member’s failure to request
continuation of services during the appeals/hearing process is not a valid basis to deny the claim. 

  

					
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 SECTION F: ATTACHMENTS 

 

			
	 ATTACHMENT F1:
 ENROLLEE GRIEVANCE
SYSTEM STANDARDS
	 	Contract No. YH14-0001

  

 
  

	39.	That if the Contractor or State fair hearing decision upholds a decision to deny authorization of services and the disputed services were received pending appeal, the Contractor may recover the cost of those services
from the enrollee. 

 [END OF ATTACHMENT F1] 

  

					
		  	222	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F2 PROVIDER CLAIM DISPUTE STANDARDS	 	Contract No. YH14-0001

  

 
  

 ATTACHMENT F2. PROVIDER CLAIM DISPUTE STANDARDS 

The Contractor shall have in place a written claim dispute policy for its subcontractors and non-contracted providers. The policy shall be in accordance with
applicable Federal and State laws, regulations and policies. Failure to comply with any of these provisions may result in an imposition of sanctions. 

The claim dispute policy shall include the following provisions: 
  

	 	1.	That the Provider Claim Dispute Policy shall be provided to all subcontractors at the time of contract. For providers without a contract, the claim dispute policy may be mailed with a remittance advice, provided the
remittance is sent within 45 days of receipt of a claim. 

  

	 	2.	That the Provider Claim Dispute Policy must specify that all claim disputes challenging claim payments, denials or recoupments must be filed in writing with the Contractor no later than 12 months from the date of
service, 12 months after the date of eligibility posting or within 60 days after the payment, denial or recoupment of a timely claim submission, whichever is later. 

 

	 	3.	That specific individuals are appointed with authority to require corrective action and with requisite experience to administer the claim dispute process. 

 

	 	4.	That the Contractor shall develop and maintain a tracking log for all claim disputes containing sufficient information to identify the Complainant, date of receipt, nature of the claim dispute, resolution of the claim
dispute and the date of resolution. 

  

	 	5.	That claim disputes are acknowledged in writing and within five business days of receipt. 

  

	 	6.	Claim disputes are thoroughly investigated using the applicable statutory, regulatory, contractual and policy provisions, ensuring that relevant facts are obtained from all parties. 

 

	 	7.	All documentation received by the Contractor during the claim dispute process is dated upon receipt. 

  

	 	8.	Claim disputes are filed in a secure, designated area and are retained for five years following the Contractor’s decision, the AHCCCS decision, judicial appeal or close of the claim dispute, whichever is later,
unless otherwise provided by law. 

  

	 	9.	A copy of the Contractor’s Notice of Decision “Decision” shall be mailed to all parties no later than 30 days after the provider files a claim dispute with the Contractor, unless the provider and
Contractor agree to a longer period. The Decision must include and describe in detail, the following: 

  

	 	a.	The nature of the claim dispute. 

  

	 	b.	The specific factual and legal basis for the dispute, including but not limited to, an explanation of the specific facts that pertain to the claim dispute, the identification of the member name, pertinent dates of
service, dates and specific reasons for Contractor denial / payment of the claim, and whether or not the provider is a contracted provider. 

  

	 	c.	The reasons supporting the Contractor Decision, including an explanation of 1) how the Contractor applies the relevant and specific facts in the case to the relevant laws to support the Contractor’s decision and 2)
the applicable statutes, rules, contractual provisions, policies, and procedures, if applicable. Reference to general legal authorities alone is not acceptable. 

  

	 	d.	The Provider’s right to request a hearing by filing a written request to the Contractor no later than 30 days after the date the provider receives the Decision. 

  

					
		  	222	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F2 PROVIDER CLAIM DISPUTE STANDARDS	 	Contract No. YH14-0001

  

 
  

	 	e.	If the claim dispute is overturned, in full or in part, the requirement that the Contractor shall reprocess and pay the claim(s) in a manner consistent with the decision within 15 business days of the date of the
Decision. 

  

	 	10.	If the provider files a written request for hearing, the Contractor must ensure that all supporting documentation is received by the AHCCCS Office of Administrative Legal Services (OALS), no later than five business
days from the date the Contractor receives the provider’s written hearing request. The file sent by the Contractor must contain a cover letter that includes: 

 

	 	a.	The provider’s name 

  

	 	b.	The provider’s address 

  

	 	c.	The member’s name and AHCCCS Identification Number 

  

	 	d.	The provider’s phone number (if applicable) 

  

	 	e.	The date that the claim dispute was received by the Contractor 

  

	 	f.	A summary of the actions undertaken by the Contractor to resolve the claim dispute and basis for the determination 

If the Contractor upholds a claim dispute and a request for hearing is subsequently filed, the Contractor must review the matter to determine
why the request for hearing was filed and resolve the matter when appropriate. 
  

	 	11.	The following material shall be included in the file sent by the Contractor: 

  

	 	a.	The written request for hearing filed by the provider 

  

	 	b.	Copies of the entire file which includes pertinent records; and the Decision 

  

	 	c.	Other information relevant to the Decision 

  

	 	12.	If the Contractor’s Decision regarding a claim dispute is reversed, in full or in part, through the appeal process, the Contractor shall reprocess and pay the claim(s) in a manner consistent with the Decision along
with any applicable interest within 15 business days of the date of the Decision. 

 If the Contractor or the State fair hearing decision
reverses a decision to deny, limit or delay services not furnished during the claim dispute or the pendency of the hearing process, the Contractor shall authorize or provide the services promptly and as expeditiously as the enrollee’s health
condition requires irrespective of whether the Contractor contests the decision. 
 [END OF ATTACHMENT F2] 

  

					
		  	223	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3 CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

 ATTACHMENT F3. CONTRACTOR CHART OF DELIVERABLES 

The following table is a summary of the periodic reporting requirements for the Contractor and is subject to change at any time during the term of the
contract. The table is presented for convenience only and should not be construed to limit the Contractor’s responsibilities in any manner. Content for all deliverables is subject to review. AHCCCS may assess sanctions if it is determined that
late, inaccurate or incomplete data is submitted. 
 The deliverables listed below are due by 5:00 PM on the due date indicated, if the due date falls on a
weekend or a State Holiday the due date is 5:00 PM on the next business day. 
 If a Contractor is in compliance with the contractual standards on the
deliverables below marked with an asterisk (*), for a period of three consecutive months, the Contractor may request to submit data on a quarterly basis. However, if the Contractor is non-compliant with any standard on the deliverable or AHCCCS has
concerns during the reporting quarter, the Contractor must immediately begin to submit on a monthly basis until three consecutive months of compliance are achieved. 

AHCCCS will assess the following sanctions on the deliverables listed below, under DHCM, Acute Care Operations, Clinical Quality Management and Medical
Management that are not received by 5:00 PM on the due date indicated, if the due date falls on a weekend or a State Holiday, sanctions will be assessed on deliverables not received by 5:00 PM on the next business day. 

 

					
	 Late Deliverables
	  	 	 
	 1st time “late” sanction/ 1-10 days:
	  	$	5,000	  
	 1st time “late” sanction/ 11-20 days:
	  	$	10,000	  
	 1st time “late” sanction/ over 21 days:
	  	$	15,000	  
		
	 2nd time “late” sanction/ 1-10 days:
	  	$	10,000	  
	 2nd time “late” sanction/ 11-20 days:
	  	$	20,000	  
	 2nd time “late” sanction/over 21 days:
	  	$	30,000	  
		
	 3rd time “late” sanction/ 1-10 days:
	  	$	20,000	  
	 3rd time “late” sanction/ 11-20 days:
	  	$	40,000	  
	 3rd time “late” sanction/over 21 days:
	  	$	60,000	  

 The sanctions outlined above are deliverable specific. For example, if the Contractor submits its claims dashboard five days
late in January, a $5,000 sanction will be assessed. The next month, if the Contractor submits its administrative measures five days late, it will be assessed a 1st time late sanction of $5,000.
However if the Contractor submits the claims dashboard five days late again in March AHCCCS will assess a 2nd time late sanction of $10,000. 

  

					
		  	242	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DBF CONTRACTS & PURCHASING	  	Ad Hoc	  	Certifications of Insurance	  	Within 10 days of notification of contract award and prior to commencement of any services under this contract.	  	Section E	  	Paragraph 27	  	N/A	  	DBF Contracts Manager	  	FTP server with email notification and Mail to: AHCCCS Contracts Unit, Mail Drop 5700, Division of Business and Finance, 701 E. Jefferson St., Phoenix, AZ 85034
									
	DBF CONTRACTS & PURCHASING	  	Ad Hoc	  	Insurance Material Change	  	Within 30 days of event	  	Section E	  	Paragraph 27	  	N/A	  	DBF Contracts Manager	  	FTP server with email notification and Mail to: AHCCCS Contracts Unit, Mail Drop 5700, Division of Business and Finance, 701 E. Jefferson St., Phoenix, AZ 85034

  

					
		  	243	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DBF CONTRACTS & PURCHASING	  	Ad Hoc	  	Third Party Liability Reporting	  	Within 10 days of discovery	  	Section D	  	Paragraph 58	  	AHCCCS Technical Interface Guidelines	  	AHCCCS TPL Administrator	  	FTP server with email notification
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Ad Hoc	  	Advise of Significant Incidents/Accidents Including Abuse, Neglect and Unexpected Death	  	Within 1 day of awareness	  	Section D	  	Paragraph 23	  	AMPM Chapter 900	  	DHCM Clinical Quality Management Unit	  	Secure email to CQM@azahcc cs.gov with notification to CQM Administrator
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Ad Hoc	  	HCAC and OPPC	  	Upon identification by Contractor	  	Section D	  	Paragraph 23; Paragraph 24	  	AMPM Chapter 900; AMPM Chapter 1000	  	DHCM Clinical Quality Management Unit	  	Secure email to CQM@azahcc cs.gov with notification to CQM Administrator
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Ad Hoc	  	Pediatric Immunization Audit	  	As requested by AHCCCS	  	Section D	  	Paragraph 23	  	AMPM Chapter 400	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM Administrator

  

					
		  	244	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Ad Hoc	  	Performance Improvement Project Final	  	Refer to AMPM	  	Section D	  	Paragraph 23	  	AMPM Chapter 900	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM Administrator
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Ad Hoc	  	Stillbirth Supplement Request	  	Immediately following procedure	  	Section D	  	Paragraph 23	  	AMPM Chapter 400	  	DHCM Clinical Quality Management Unit	  	Secure email to CQM@azahcc cs.gov with notification to CQM Administrator
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Annually	  	EPSDT Annual Plan	  	December 15th	  	Section D	  	Paragraph 23	  	AMPM Chapter 400	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM Administrator

  

					
		  	245	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Annually	  	Maternity Care Plan	  	December 15th	  	Section D	  	Paragraph 23	  	AMPM Chapter 400	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Annually	  	Performance Improvement Project Baseline	  	December 15th	  	Section D	  	Paragraph 23	  	AMPM Chapter 900	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Annually	  	Performance Improvement Project Re-Measurement	  	December 15th	  	Section D	  	Paragraph 23	  	AMPM Chapter 900	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM

  

					
		  	246	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Annually	  	Quality Assessment/Performance Improvement Plan and Evaluation	  	December 15th	  	Section D	  	Paragraph 23	  	AMPM Chapter 900	  	DHCM Clinical Quality Management Unit	  	 FTP server
 with secure

email
 notification to

CQM@azahcc
 cs.gov with

notification to
 CQM

									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Monthly	  	Monthly Pregnancy Termination	  	The last day of the month following the pregnancy termination	  	Section D	  	Paragraph 23	  	AMPM Chapter 400	  	DHCM Clinical Quality Management Unit	  	Secure email to CQM@azahcc cs.gov with notification to CQM Administrator
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Quarterly	  	Credentialing Quarterly Report	  	30 days after the end of each quarter	  	Section D	  	Paragraph 23	  	AMPM Chapter 900	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Quarterly	  	EPSDT Improvement and Adult Quarterly Monitoring	  	15 days after the end of each quarter	  	Section D	  	Paragraph 23	  	AMPM Chapter 400	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM

  

					
		  	247	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Quarterly	  	QM Quarterly	  	45 days after the end of each quarter	  	Section D	  	Paragraph 23	  	AMPM Chapter 900	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM
									
	DHCM CLINICAL QUALITY MANAGEMENT	  	Semi-Annually	  	Semi-Annual Report of Number of Pregnant Women who are HIV/AIDS Positive	  	30 days after the reporting periods of: [10/1 through 3/31] & [4/1 through 9/30]	  	Section D	  	Paragraph 10	  	AMPM Chapter 400	  	DHCM Clinical Quality Management Unit	  	FTP server with secure email notification to CQM@azahcc cs.gov with notification to CQM
									
	DHCM DATA ANALYSIS AND RESEARCH	  	Ad Hoc	  	Medical Records or Supporting Documentation	  	As specified in the requesting letter	  	Section D	  	Paragraph 65	  	AHCCCS Data Validation User Manual	  	DHCM Encounter Administrator and AHCCCS Encounter Email	  	FTP server
									
	DHCM DATA ANALYSIS AND RESEARCH	  	Monthly	  	Corrected Pended Encounter Data	  	Monthly, according to established schedule	  	Section D	  	Paragraph 65	  	AHCCCS Encounter Manual	  	DHCM Encounter Administrator and AHCCCS Encounter Email	  	FTP server

  

					
		  	248	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM DATA ANALYSIS AND RESEARCH	  	Monthly	  	New Day Encounter	  	Monthly, according to established schedule	  	Section D	  	Paragraph 65	  	AHCCCS Encounter Manual	  	DHCM Encounter Administrator and AHCCCS Encounter Email	  	FTP server
									
	DHCM DATA ANALYSIS AND RESEARCH	  	Annually	  	AHCCCS Security Rule Compliance Report	  	June 1st	  	Section D	  	Paragraph 64	  	ACOM Policy 108	  	DHCM Operations and Compliance Officer	  	FTP server
									
	DHCM DATA ANALYSIS AND RESEARCH	  	Quarterly	  	Encounter Submission and Tracking	  	15 days after the end of each quarter	  	Section D	  	Paragraph 65	  	AHCCCS Encounter Manual	  	DHCM Encounter Administrator and AHCCCS Encounter Email	  	FTP server
									
	DHCM DATA ANALYSIS AND RESEARCH	  	Quarterly	  	Plan Overrides	  	15 days after the end of each quarter	  	Section D	  	Paragraph 65	  	AHCCCS Encounter Manual	  	DHCM Encounter Administrator and AHCCCS Encounter Email	  	FTP server

  

					
		  	249	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM DATA ANALYSIS AND RESEARCH	  	Quarterly	  	Plan Voids	  	15 days after the end of each quarter	  	Section D	  	Paragraph 65	  	AHCCCS Encounter Manual	  	DHCM Encounter Administrator and AHCCCS Encounter mail	  	FTP server
									
	DHCM FINANCE	  	Ad Hoc	  	Advances/Loans/Equity Distributions	  	Submit for approval prior to effective date	  	Section D	  	Paragraph 49	  	ACOM Policy 418	  	DHCM Finance Manager	  	FTP server with email notification
									
	DHCM FINANCE	  	Ad Hoc	  	Corporate Cost Allocation Plans and Adjustment in Management Fees	  	Prior approval required	  	Section D	  	Paragraph 43	  	N/A	  	DHCM Finance Manager	  	FTP server with email notification
									
	DHCM FINANCE	  	Ad Hoc	  	Performance Bond or Bond Substitute	  	30 days after notification from AHCCCS of the amount required	  	Section D	  	Paragraph 46; Paragraph 47	  	ACOM Policy 305; ACOM Policy 306	  	DHCM Program Compliance Auditor	  	Secure email
									
	DHCM FINANCE	  	Annually	  	Annual Disclosure Statement	  	120 days after year end	  	Section D	  	Paragraph 50	  	AHCCCS Financial Reporting Guide For Acute Care Contractors	  	DHCM Program Compliance Auditor	  	FTP server with email notification

  

					
		  	250	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM FINANCE	  	Annually	  	Annual Reconciliation to Draft Audit	  	90 days after year end	  	Section D	  	Paragraph 50	  	AHCCCS Financial Reporting Guide For Acute Care Contractors	  	DHCM Program Compliance Auditor	  	FTP server with email notification
									
	DHCM FINANCE	  	Annually	  	Annual Reconciliation to Final Audit	  	120 days after year end	  	Section D	  	Paragraph 50	  	AHCCCS Financial Reporting Guide For Acute Care Contractors	  	DHCM Program Compliance Auditor	  	FTP server with email notification
									
	DHCM FINANCE	  	Annually	  	Draft Annual Financial Reporting Package	  	90 days after the end of each fiscal year	  	Section D	  	Paragraph 50	  	AHCCCS Financial Reporting Guide For Acute Care Contractors	  	DHCM Program Compliance Auditor	  	FTP server with email notification
									
	DHCM FINANCE	  	Annually	  	Final Annual Financial Reporting Package	  	120 days after the end of each fiscal year	  	Section D	  	Paragraph 50	  	AHCCCS Financial Reporting Guide For Acute Care Contractors	  	DHCM Program Compliance Auditor	  	FTP server with email notification

  

					
		  	251	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM FINANCE	  	Annually	  	Final Management Letter	  	120 days after year end	  	Section D	  	Paragraph 50	  	AHCCCS Financial Reporting Guide For Acute Care Contractors	  	DHCM Program Compliance Auditor	  	FTP server with email notification
									
	DHCM FINANCE	  	Annually	  	Payment Reform Initiative Shared Savings Arrangement Certification	  	Within 60 days of the start of the measurement year	  	Section D	  	Paragraph 53	  	ACOM Policy 315	  	DHCM Finance Manager	  	FTP server with email notification

  

					
		  	252	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM FINANCE	  	Quarterly	  	Cost Avoidance/Recovery	  	Due 45 days after the reporting quarter: (Oct – Dec: Due Feb 14) (Jan – March: Due May 15) (Apr – June: Due August 14) (July – Sept: Due Nov 14)	  	Section D	  	Paragraph 58	  	AHCCCS Program Integrity Reporting Guide	  	DHCM Program Compliance Auditor	  	FTP server with email notification
									
	DHCM FINANCE	  	Quarterly	  	FQHC Member Information	  	60 days after the end of each quarter	  	Section D	  	Paragraph 34	  	AHCCCS Financial Reporting Guide For Acute Care Contractors	  	DHCM Program Compliance Auditor	  	FTP server with email notification
									
	DHCM FINANCE	  	Quarterly	  	Premium Tax Reporting	  	March 15th, June 15th, September 15th, December 15th	  	Section D	  	Paragraph 50	  	ACOM Policy 304	  	DHCM Finance Program Monitor	  	FTP server with email notification

  

					
		  	253	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM FINANCE	  	Quarterly	  	Quarterly Financial Reporting Package	  	60 days after the end of each quarter	  	Section D	  	Paragraph 50	  	AHCCCS Financial Reporting Guide For Acute Care Contractors	  	DHCM Program Compliance Auditor	  	FTP server with email notification
									
	DHCM FINANCE	  	Quarterly	  	Verification of Receipt of Paid Services	  	15th day after the end of the quarter that follows the reporting quarter (Oct – Dec: Due April 15) (Jan – March: Due July 15) (April – June: Due Oct 15) (July – Sept: Due Jan 15)	  	Section D	  	Paragraph 19	  	ACOM Policy 424	  	DHCM Program Compliance Auditor	  	FTP server with email notification
									
	DHCM MEDICAL MANAGEMENT	  	Annually	  	HIV Specialty Provider List	  	December 15th	  	Section D	  	Paragraph 24	  	AMPM Chapter 1000	  	DHCM Medical Management Unit	  	FTP server with email notification
									
	DHCM MEDICAL MANAGEMENT	  	Annually	  	MM/UM Plan and Evaluation	  	December 15th	  	Section D	  	Paragraph 24	  	AMPM Chapter 1000	  	DHCM Medical Management Unit	  	FTP server with email notification

  

					
		  	254	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM MEDICAL MANAGEMENT	  	Annually	  	Non-Transplant and Catastrophic Reinsurance	  	By October 30 of each contract year and when newly enrolled in the plan or newly diagnosed.	  	Section D	  	Paragraph 57	  	AMPM Chapter 1000; AHCCCS Reinsurance Processing Manual	  	DHCM Medical Management Unit	  	FTP server with email notification
									
	DHCM MEDICAL MANAGEMENT	  	Quarterly	  	Quarterly Inpatient Hospital Showings	  	15 days after the end of each quarter	  	Section D	  	Paragraph 24	  	AMPM Chapter 1000	  	DHCM Medical Management Unit	  	FTP server with email notification
									
	DHCM MEDICAL MANAGEMENT	  	Quarterly	  	Transplant Report	  	15 days after the end of each quarter	  	Section D	  	Paragraph 24	  	AMPM Chapter 1000	  	DHCM Medical Management Unit	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Administrative Services Subcontracts	  	60 days prior to the beginning date of the subcontract	  	Section D	  	Paragraph 37	  	ACOM Policy 106	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	AHCCCS Required Survey Results	  	45 days after the completion	  	Section D	  	Paragraph 19	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	255	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM OPERATIONS	  	Ad Hoc	  	All Physician Incentive Agreements Upon Contract Renewal	  	Prior to initiation of new contract or upon request form AHCCCS or CMS	  	Section D	  	Paragraph 42	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Claim Recoupments >12 Months from Original Payment	  	Upon identification by Contractor	  	Section D	  	Paragraph 38	  	ACOM Policy 412	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Cumulative Claim Recoupments >$50,000	  	Upon identification by Contractor	  	Section D	  	Paragraph 38	  	ACOM Policy 412	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Data Processes for Recoupments	  	120 days from receipt of approval	  	Section D	  	Paragraph 38	  	ACOM Policy 412	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Final Survey Tool	  	90 days prior to the intended start	  	Section D	  	Paragraph 19	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	256	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM OPERATIONS	  	Ad Hoc	  	ID Cards requiring AHCCCS Approval	  	30 days prior to dissemination	  	Section D	  	Paragraph 7	  	ACOM Policy 433	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Independent Audits of Claims Payment/Health Information Systems	  	Upon request by AHCCCS	  	Section D	  	Paragraph 38	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Key Position Change	  	Within 7 days of learning of resignation	  	Section D	  	Paragraph 16	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Marketing and Outreach Materials	  	30 days prior to dissemination	  	Section D	  	Paragraph 61	  	ACOM Policy 101	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Material Change to Provider Network	  	60 days prior to expected implementation of the change	  	Section D	  	Paragraph 29	  	ACOM Policy 416	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	257	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM OPERATIONS	  	Ad Hoc	  	Material Change to Operations	  	60 days prior to expected implementation of the change	  	Section D	  	Paragraph 44	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Non-AHCCCS Required Survey Notification and Results	  	Notification: 15 days prior to conducting the survey. Results: 45 days after the completion	  	Section D	  	Paragraph 19	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Notification of Moving Functions Out of State	  	60 days prior to proposed change	  	Section D	  	Paragraph 16	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Proposed Merger, Reorganization, Ownership Change, Change in Articles of Incorporation, and Joint Ventures	  	Prior approval required	  	Section D	  	Paragraph 52	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Provider Advances	  	10 days prior to disbursement of funds	  	Section D	  	Paragraph 49	  	ACOM Policy 418	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	258	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM OPERATIONS	  	Ad Hoc	  	Report of Subcontractor Non-Compliance	  	Within 30 days of discovery	  	Section D	  	Paragraph 37	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Single Claim Recoupments >$50,000	  	30 days prior to initiating the recoupment, or earlier if the information is available	  	Section D	  	Paragraph 38	  	ACOM Policy 412	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Social Networking Applications and Broadcasts	  	30 days prior to launch of any new or significantly modified Social Networking initiative	  	Section D	  	Paragraph 18	  	ACOM Policy 425	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	System Change Plan	  	Six months prior to expected implementation	  	Section D	  	Paragraph 64	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Ad Hoc	  	Unexpected Change to Provider Network	  	Within one business day	  	Section D	  	Paragraph 29	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	259	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM OPERATIONS	  	Annually	  	Annual Subcontractor Assignment and Evaluation	  	Within 90 days of the start of the contract year	  	Section D	  	Paragraph 37	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Annually	  	Annual Website Certification	  	45 days after the start of the contract year	  	Section D	  	Paragraph 18	  	ACOM Policy 404	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Annually	  	Attestation of Disclosure Information: Ownership & Control and Persons Convicted of a Crime	  	15 days after the start of the contract year	  	Section D	  	Paragraph 62	  	ACOM Policy 103	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Annually	  	Business Continuity and Recovery Plan Summary	  	15 days after the start of the contract year	  	Section D	  	Paragraph 73	  	ACOM Policy 104	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Annually	  	Cultural Competency Plan Assessment	  	45 days after the start of the contract year	  	Section D	  	Paragraph 20	  	ACOM Policy 405	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	260	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM OPERATIONS	  	Annually	  	Functional Organization Chart with Key Program Areas	  	15 days after the start of the contract year	  	Section D	  	Paragraph 16	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Annually	  	Listing of All Key Staff Functions and Locations Including Those Outside of Arizona	  	15 days after the start of the contract year	  	Section D	  	Paragraph 16	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Annually	  	Marketing Attestation Statement	  	45 days after the start of the contract year	  	Section D	  	Paragraph 61	  	ACOM Policy 101	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Annually	  	Member Handbook	  	October 1, and 30 days prior to any changes	  	Section D	  	Paragraph 18	  	ACOM Policy 404	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	261	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM OPERATIONS	  	Annually	  	Organization Chart with Key Staff Positions	  	15 days after the start of the contract year	  	Section D	  	Paragraph 16	  	N/A	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Annually	  	Provider Network Development and Management Plan	  	45 days after the start of the contract year	  	Section D	  	Paragraph 27	  	ACOM Policy 415	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Monthly	  	*Claims Dashboard	  	15th day of the month following the reporting period	  	Section D	  	Paragraph 38	  	AHCCCS Claims Dashboard Reporting Guide	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Monthly	  	Grievance System Report	  	First day of the 2nd Month following the month Being Reported	  	Section D	  	Paragraph 26	  	AHCCCS Grievance System Reporting Guide	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Monthly	  	Marketing Report	  	10th of the month for the previous months activities	  	Section D	  	Paragraph 61	  	ACOM Policy 101	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	262	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	DHCM OPERATIONS	  	Quarterly	  	Minimum Network Requirements Verification Template	  	October 15, January 15, April 15, July 15	  	Section D	  	Paragraph 28	  	ACOM Policy 436	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Quarterly	  	Provider Affiliation Transmission	  	October 15, January 15, April 15, July 15	  	Section D	  	Paragraph 28	  	AHCCCS Provider Affiliation Transmission Manual	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Quarterly	  	Provider/Network Changes Due to Rates Report	  	15 days after the end of each quarter	  	Section D	  	Paragraph 29	  	ACOM Policy 415 Attachment D and Attachment E	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Quarterly	  	Telephone Performance Measures	  	15th day of the month following the reporting quarter	  	Section D	  	Paragraph 25	  	ACOM Policy 435	  	DHCM Operations and Compliance Officer	  	FTP server with email notification
									
	DHCM OPERATIONS	  	Semi-Annually	  	Member Newsletter	  	30 days prior to intended publication date	  	Section D	  	Paragraph 18	  	ACOM Policy 404	  	DHCM Operations and Compliance Officer	  	FTP server with email notification

  

					
		  	263	  	 Acute Care Contract

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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

																	
	 Area
	  	 Timeframe
	  	 Report
	  	 When Due
	  	 Contract
Section
	  	 Contract
Paragraph
	  	 Reference/Policy
	  	 Send To
	  	 Submitted Via

									
	OFFICE OF INSPECTOR GENERAL	  	Ad Hoc	  	Eligible Person Fraud/Abuse	  	Within 10 business days of discovery	  	Section D	  	Paragraph 62	  	ACOM Policy 103	  	Office of Inspector General Manager	  	Secure email or web portal
									
	OFFICE OF INSPECTOR GENERAL	  	Ad Hoc	  	Provider Fraud/Abuse	  	Within 10 business days of discovery	  	Section D	  	Paragraph 62	  	ACOM Policy 103	  	Office of Inspector General Manager	  	Secure email or web portal
									
	OFFICE OF INSPECTOR GENERAL	  	Annually	  	Key Staff Name, Social Security Number, Date of Birth	  	15 days after the start of the contract year	  	Section D	  	Paragraph 16	  	N/A	  	OIG/Provider Relations Program Manager	  	Secure email

 Suspensions and Modifications 

The following describes suspensions and modifications made during the current contract or renewal period. The following suspensions and modifications will be
in effect for the period from October 1, 2013 through September 30, 2014. 
 Suspensions: Suspensions are defined as a temporary
release from the deliverable requirement as presented in contract for the term shown in this Attachment. 
 There are no suspensions at
this time. 
 Modifications : Modifications are defined as a reduction in the frequency or content of a deliverable requirement that will
remain in place throughout the temporary term shown in this Attachment. 
 There are no modifications at this time. 

  

					
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 SECTION F: ATTACHMENTS 

 

			
	ATTACHMENT F3: CONTRACTOR CHART OF DELIVERABLES	 	Contract No. YH14-0001

  

 
  

 [END OF ATTACHMENT F3] 

[END OF SECTION F] 

  

					
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	 SECTION G:
 REPRESENTATIONS AND
CERTIFICATIONS OF OFFEROR
	  	Contract No. YH14-0001

  

 
  

 SECTION G: RESERVED 

  

					
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	SECTION H: INSTRUCTIONS TO OFFERORS	  	Contract No. YH14-0001

  

 
  

 SECTION H: RESERVED 

  

					
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	SECTION I: EXHIBITS	  	Contract No. YH14-0001

  

 
  

 SECTION I: RESERVED 

  

					
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