Who is legally responsible for establishing and implementing policies regarding the management and operation of a facility?

• A. Medical Director
• B. Chief Financial Officer
• C. Governing Board
• D. State Regulator

Answer: (C)

The governing board holds the responsibility for establishing and guiding policies that govern a facility’s management and operation. They set the organization’s direction, approve policies, ensure compliance with laws and regulations, and oversee the chief executive who implements those policies in daily operations. The medical director contributes to clinical leadership and policy input, but the board is the ultimate authority over governance. The chief financial officer handles budgeting and financial controls within approved policies, not the overarching policy framework. State regulators enforce compliance with laws, but they do not establish the facility’s internal policies.