2014-11-17T10:29:52-06:00 2013-12-31 WithumSmithBrown PC 465 South St Ste 200 Morristown NJ 079606497 990 2013-01-01 223548695 CAPITAL HEALTH SYSTEM INC % SHANE F FLEMING CPA CAPI 6092785415 750 BRUNSWICK AVENUE Suite TRENTON NJ 08638 SHANE F FLEMING CPA CFO 9738989494 2014-11-14 true Scott Mariani P00642486 9738989494 2013 2016-02-25 16:41:14Z AL MAGHAZEHE PHD FACHE 750 BRUNSWICK AVENUE TRENTON NJ 08638 563709226 false X WWW.CAPITALHEALTH.ORG X 1997 NJ THE ORGANIZATION IS COMMITTED TO PROVIDING COMPREHENSIVE, QUALITY HEALTHCARE SERVICES WHICH IMPROVE AND SUSTAIN THE HEALTH STATUS OF THE COMMUNITIES IT SERVES. 21 14 4506 304 0 7894663 11776576 516041705 536201817 10350624 10493187 4523278 4029049 538810270 562500629 0 0 0 0 292333398 292736719 0 0 0 304593779 305027141 596927177 597763860 -58116907 -35263231 1125132304 1081018223 884201694 868329110 240930610 212689113 X THE ORGANIZATION IS COMMITTED TO PROVIDING COMPREHENSIVE, QUALITY HEALTHCARE SERVICES WHICH IMPROVE AND SUSTAIN THE HEALTH STATUS OF THE RESIDENTS PRIMARILY IN CENTRAL NEW JERSEY AND LOWER BUCKS COUNTY. THE ORGANIZATION ASSURES ACCESSIBLE, COMPASSIONATE HEALTHCARE SERVICES THAT HONOR THE DIGNITY OF EVERY PERSON. THE ORGANIZATION WILL BE A LEADER IN DEFINING THE COMMUNITY'S HEALTHCARE NEEDS, IN PROVIDING APPPROPRIATE SOLUTIONS, AND DEVELOPING A COMPREHENSIVE CONTINUUM OF CARE INCLUDING EDUCATION, PREVENTION, DISEASE MANAGEMENT AND RESTORATIVE PROGRAMS. PLEASE REFER TO THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT INCLUDED IN SCHEDULE O. false false 255617825 0 182893367 EXPENSES INCURRED IN PROVIDING MEDICALLY NECESSARY GENERAL MEDICAL/SURGICAL SERVICES TO ALL INDIVIDUALS IN A NON-DISCRIMINATORY MANNER REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGIN, RELIGION OR ABILITY TO PAY. PLEASE REFER TO SCHEDULE O FOR THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT. 63112618 0 45754807 EXPENSES INCURRED IN PROVIDING MEDICALLY NECESSARY MATERNAL/CHILD HEALTH SERVICES TO ALL INDIVIDUALS IN A NON-DISCRIMINATORY MANNER REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGIN, RELIGION OR ABILITY TO PAY. PLEASE REFER TO SCHEDULE O FOR THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT. 48965836 0 46730698 EXPENSES INCURRED IN PROVIDING MEDICALLY NECESSARY EMERGENCY SERVICES TO ALL INDIVIDUALS IN A NON-DISCRIMINATORY MANNER REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGIN, RELIGION OR ABILITY TO PAY. PLEASE REFER TO SCHEDULE O FOR THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT. 170289156 0 260822945 537985435 true true false true false false false false false false true false true false true false false true false true true false false false false false true true false false true false false false true false false true true false false false false false true true true false false true 648 0 true 4506 true true true true CJ false false false true true false false false false X 21 14 false false false false false false false true true false false true true true true true true true true false NJ X SHANE F FLEMING CPA 6092785415 750 BRUNSWICK AVENUE TRENTON NJ 08638 X SAMUEL J PLUMERI JR CHAIRMAN - TRUSTEE 5.0 X X 0 0 0 NANCY H BECKER VICE CHAIR - TRUSTEE 5.0 X X 0 0 0 GILBERT W LUGOSSY SECRETARY - TRUSTEE 3.0 X X 0 0 0 JOHN F RICCI TREASURER - TRUSTEE 3.0 X X 0 0 0 CARMEN M GARCIA ESQ ASSISTANT SECRETARY - TRUSTEE 3.0 X X 0 0 0 RANDI A AXELROD MD TRUSTEE 1.0 X 0 0 0 GIOVANNI CAFORIO MD TRUSTEE 1.0 X 0 0 0 LOUIS F DAMELIO MD TRUSTEE 55.0 X 844836 0 24697 KATHLEEN GEKOWSKI MD FACP TRUSTEE 1.0 X 10031 0 0 MARTIN P JOHNSON TRUSTEE 1.0 X 0 0 0 RAMAN KAPUR TRUSTEE 1.0 X 0 0 0 JULIE A KARNS TRUSTEE 1.0 X 0 0 0 DANIEL J LEE MD TRUSTEE 25.0 X 70100 0 0 DONALD J LOFF TRUSTEE 1.0 X 0 0 0 AL MAGHAZEHE PHD FACHE TRUSTEE - PRESIDENT/CEO 55.0 X X 1476147 0 480893 JOSHUA MARKOWITZ ESQ TRUSTEE 1.0 X 0 0 0 SEAN S MURRAY TRUSTEE 1.0 X 0 0 0 CLINTON H OGOLO MD TRUSTEE 1.0 X 0 0 0 MICHAEL L SOMERSTEIN MD TRUSTEE 1.0 X 0 0 0 TELECHERY A SUDHAKAR MD TRUSTEE - VP, MEDICAL STAFF 1.0 X 0 0 0 JOHN P THURBER TRUSTEE 1.0 X 0 0 0 SHANE F FLEMING CPA CHIEF FINANCIAL OFFICER 55.0 X 336686 0 38579 EUGENE W GROCHALA CHIEF INFORMATION OFFICER 55.0 X 429685 0 71235 STEPHEN A MILLER JD CHIEF COMPLIANCE OFFICER 55.0 X 218355 0 28703 LARRY DISANTO EXECUTIVE VICE PRESIDENT/COO 55.0 X 804151 0 337337 ALEXANDER D GLADNEY ESQ GENERAL COUNSEL 55.0 X 323980 0 7863 JOSHUA A EISENBERG MD CHIEF MEDICAL OFFICER 55.0 X 593528 0 26242 MARGARET SULLIVAN VP, QUALITY RESOURCE MGMT. 55.0 X 545596 0 17321 ROBERT REMSTEIN DO VP, ACCOUNTABLE CARE 55.0 X 418553 0 27734 GREGORY N DADAMO VP,SUPPORT & PROFESSIONAL SVCS 55.0 X 348625 0 58819 J SCOTT CLEMMENSEN VP, HUMAN RESOURCES 55.0 X 347765 0 75346 EILEEN M HORTON VP, PATIENT SERVICES/CNO 55.0 X 343841 0 32874 NATHAN BOSK FACHE VP, AMBULATORY SERVICES 55.0 X 340079 0 34446 DENNIS DOOLEY VP, PLANNING/VP, COMM & GOV'T 55.0 X 306651 0 70908 ARLENE WALSH VP, TRANSFORMATION 55.0 X 234214 0 29297 SUZANNE B BORGOS VP, PLANNING (EFF 7/1/13) 55.0 X 115486 0 916 ARLAN H MINTZ MD PHYSICIAN 55.0 X 1062772 0 17349 LEE M BUONO MD PHYSICIAN 55.0 X 897498 0 17649 STEVEN A JOHNSON MD PHYSICIAN 55.0 X 714281 0 25422 GARY A TUMA MD PHYSICIAN 55.0 X 610562 0 21393 JOSEPH E SHERRILL II MD PHYSICIAN 55.0 X 546353 0 11662 RONALD J GUY FORMER CFO 0.0 X 626036 0 7594 JAN GABIN ESQ FORMER GENERAL COUNSEL 0.0 X 307461 0 16996 LINDA DITE FORMER VP, CLINICAL SERVICES 0.0 X 233604 0 13852 13106876 0 1495127 505 true true false TRENTON ANESTHESIOLOGY ASSOC PO BOX 15321 NEWARK NJ 07192 MEDICAL 8976753 SODEXO MANAGEMENT INC PO BOX 360170 PITTSBURGH PA 152516170 MANAGEMENT 5591632 ARAMARK MANAGEMENT SERVICES 12483 COLLECTIONS CENTER DRIVE CHICAGO IL 60693 MANAGEMENT 4677831 EMERGENCY MEDICAL ASSOCIATES OF NJ 3 CENTURY DRIVE PARSIPPANY NJ 07054 MEDICAL 3301650 CAPITAL HEALTH ADVANCE IMAGING PO BOX 223887 PITTSBURGH PA 152512887 MEDICAL 3227198 157 X 9002463 2774113 11776576 NET PATIENT SERVICE REVENUE 541900 520772042 520772042 911 COUNTY SUPPORT & FIRE DISPATCH 541900 112800 112800 OTHER HEALTHCARE RELATED REVENUE 541900 15059352 15059352 AUXILIARY REVENUE 541900 257623 257623 536201817 2714422 2714422 0 0 1710824 1710824 0 1710824 1710824 8987362 0 1208597 8987362 -1208597 7778765 7778765 0 0 0 CAFE/DIETARY 900099 2318225 2318225 2318225 562500629 536201817 14522236 0 0 0 0 9471522 8524369 947153 0 0 245520494 220968445 24552049 432719 389447 43272 19061951 17155756 1906195 18250033 16425030 1825003 0 365912 329321 36591 285923 257331 28592 284249 255824 28425 0 748001 673201 74800 64660399 58194359 6466040 3303026 2972723 330303 14414597 12973137 1441460 2830457 2547411 283046 0 14269156 12842240 1426916 0 0 728523 655671 72852 48136797 43323117 4813680 0 63534770 57181293 6353477 1942189 1747970 194219 MEDICAL SUPPLIES 74943805 67449425 7494380 0 REPAIRS AND MAINTENANCE 7841252 7057127 784125 0 DUES AND SUBSCRIPTIONS 1423325 1280993 142332 0 OTHER EXPENSES 5314760 4781245 533515 0 597763860 537985435 59778425 0 X 0 0 9115996 7072198 0 0 74582682 81682299 142500 445000 0 0 1545273 817740 3077734 10695567 18232763 15586175 1268630571 522847437 800684426 745783134 0 0 0 0 181843460 186728785 13433796 12599362 22473674 19607963 1125132304 1081018223 65355358 68550768 0 0 0 0 0 0 0 0 0 0 755969345 754548494 0 0 62876991 45229848 884201694 868329110 X 240930610 212689113 0 0 0 0 240930610 212689113 1125132304 1081018223 X -35263231 1508734 5513000 X X false true X true true true X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED false false false false false false false false true 284249 284249 false SCHEDULE C, PART II-B; LINE 1I DURING 2013, THE ORGANIZATION PAID TWO OUTSIDE LOBBYING FIRMS A TOTAL OF $240,044 FOR LOBBYING ON A FEDERAL AND STATE LEVEL RELATED TO MEDICARE, MEDICAID AND OTHER HEALTHCARE LEGISLATIVE MATTERS. IN ADDITION, THE ORGANIZATION IS A MEMBER OF THE NEW JERSEY HOSPITAL ASSOCIATION, THE AMERICAN HOSPITAL ASSOCIATION AND NEW JERSEY BUSINESS & INDUSTRY ASSOCIATION WHICH ENGAGE IN LOBBYING EFFORTS ON BEHALF OF THEIR MEMBER HOSPITALS. A PORTION OF THE DUES PAID TO THESE ORGANIZATIONS HAS BEEN ALLOCATED TO LOBBYING ACTIVITES PERFORMED ON BEHALF OF THE ORGANIZATION. THIS ALLOCATION AMOUNTED TO $44,205 IN 2013. 49382285 49382285 520509081 127730320 392778761 0 658883019 384875344 274007675 39856186 10241773 29614413 745783134 SECURITIES 67357923 F SECURITIES 58928496 F INVESTMENT IN SUBSIDIARIES 18845649 F ACCRUED INTEREST 79227 F LIMITED USE 32819485 F SUPPLEMENTAL RETIREMENT PLAN 7716777 F ALTERNATIVE INVESTMENTS 981228 F 186728785 0 NON-CURRENT 0 OTHER LIABILITIES 45168389 CONSTRUCTION AND RETAINAGE PAYABLE 61459 45229848 SCHEDULE D, PART X THE ORGANIZATION IS THE PARENT ORGANIZATION OF THE CAPITAL HEALTH SYSTEM ("SYSTEM"); A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM. THE SYSTEM ISSUES CONSOLIDATED AUDITED FINANCIAL STATEMENTS WHICH INCLUDE ALL RELATED ENTITIES; INCLUDING THIS ORGANIZATION. THE CONSOLIDATED AUDITED FINANCIAL STATEMENTS ALSO CONTAIN CONSOLIDATING SCHEDULES ON AN ENTITY BY ENTITY BASIS. THE FIN 48 (ASC 740) FOOTNOTE BELOW IS FROM THE SYSTEM'S 2007 CONSOLIDATED AUDITED FINANCIAL STATEMENTS. IN JULY 2006, FASB INTERPRETATION NO. 48 (FIN 48), ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES, AN INTERPRETATION OF FASB STATEMENT NO. 109, ACCOUNTING FOR INCOME TAXES, WAS ISSUED. FIN 48 CREATES A SINGLE MODEL TO ADDRESS UNCERTAINTY IN TAX POSITIONS AND CLARIFIES THE ACCOUNTING FOR INCOME TAXES BY PRESCRIBING THE MINIMUM RECOGNITION THRESHOLD A TAX POSITION IS REQUIRED TO MEET BEFORE BEING RECOGNIZED IN THE FINANCIAL STATEMENTS. UNDER THE REQUIREMENTS OF FIN 48, TAX-EXEMPT ORGANIZATIONS COULD BE REQUIRED TO RECORD AN OBLIGATION AS THE RESULT OF A TAX POSITION THEY HAVE HISTORICALLY TAKEN ON VARIOUS TAX EXPOSURE ITEMS. PRIOR TO FIN 48, THE DETERMINATION OF WHEN TO RECORD A LIABILITY FOR A TAX EXPOSURE WAS BASED ON WHETHER A LIABILITY WAS CONSIDERED PROBABLE AND REASONABLY ESTIMABLE IN ACCORDANCE WITH FASB STATEMENT NO. 5, ACCOUNTING FOR CONTINGENCIES. ON JANUARY 1, 2007, THE SYSTEM'S ADOPTED FIN 48. THE IMPACT OF THE ADOPTION OF FIN 48 ON THE SYSTEM'S CONSOLIDATED FINANCIAL STATEMENTS IS NOT SIGNIFICANT. true Central America and the Caribbean 1 1 Investments 17820689 1 1 1 1 17820689 17820689 false false true false false false true true X false false true true true false false 62128646 29170450 32958196 0.05510 20559664 12734663 7825001 0.01310 82688310 41905113 40783197 0.06820 232 48272 139593 2894 136699 0.00020 8765799 7086758 1679041 0.00280 60371 0 60371 0.00010 120 257583 0 257583 0.00040 352 48272 9223346 7089652 2133694 0.00350 352 48272 91911656 48994765 42916891 0.07170 false 43103479 110315567 133879188 -23563621 X true true 2 1 CAPITAL HEALTH MEDICAL CNTR-HOPEWELL ONE CAPITAL WAY PENNINGTON NJ 08534 WWW.CAPITALHEALTH.ORG 11104 X X X X 1 2 CAPITAL HEALTH REGIONAL MEDICAL CNTR 750 BRUNSWICK AVENUE TRENTON NJ 08638 WWW.CAPITALHEALTH.ORG 11102 X X X X 1 CAPITAL HEALTH MEDICAL CENTER 12 true X X X X X X X 13 true true true X WWW.CAPITALHEALTH.ORG X WWW.TRENTONHEALTHTEAM.ORG X X X X X X X false false true false false true X X true true X X true false X true X false false SCHEDULE H, PART V, SECTION B, QS 1J,6I,9,12H,16E,17E,18E,19C,19D,21&22 NOT APPLICABLE. SCHEDULE H, PART V, SECTION B, QUESTION 3 AS A COLLABORATIVE MEMBER OF THE TRENTON HEALTH TEAM, CAPITAL HEALTH CONDUCTED A COMMUNITY HEALTH NEEDS ASSESSMENT AND TOOK INTO ACCOUNT INPUT FROM REPRESENTATIVES OF THE COMMUNITY SERVED, INCLUDING THOSE WITH SPECIAL KNOWLEDGE OR EXPERTISE IN PUBLIC HEALTH, THROUGH 300 INDIVIDUAL INTERVIEWS AND 30 FORUMS HELD IN PLACES OF WORSHIP, COMMUNITY ORGANIZATIONS, AND PUBLIC FACILITIES. AS A FOUNDING MEMBER OF THE GREATER MERCER PUBLIC HEALTH PARTNERSHIP (GMPHP), CAPITAL HEALTH ALONG WITH THE OTHER FOUNDING PARTNERS, ST. LAWRENCE REHABILITATION CENTER, ROBERT WOOD JOHNSON AT HAMILTON MEDICAL CENTER AND THE UNIVERSITY MEDICAL CENTER OF PRINCETON AT PLAINSBORO DIRECTED A PROCESS INVOLVING OVER 400 COMMUNITY MEMBERS THROUGH 28 FOCUS GROUPS, 15 INDIVIDUAL INTERVIEWS WITH COMMUNITY LEADERS, AND SIX DISCUSSION GROUPS CONDUCTED TO TEST OUR PRELIMINARY FINDINGS. SCHEDULE H, PART V, SECTION B, QUESTION 4 THE TRENTON HEALTH TEAM IS A COLLABORATIVE OF TRENTON'S TWO HOSPITALS, ST. FRANCIS MEDICAL CENTER AND CAPITAL HEALTH. GMPHP HAS SUBSEQUENTLY ENGAGED AS MEMBERS OF CAPITAL HEALTH'S POLICY BOARD (GOVERNING BODY WHICH MEETS QUARTERLY) AND CAPITAL HEALTH'S STEERING COMMITTEE (OPERATIONS FOCUSED GROUP WHICH MEETS AT LEAST ONCE A MONTH) THE PUBLIC HEALTH OFFICERS OF FIVE MUNICIPALITIES AS WELL AS THE COUNTY'S PUBLIC HEALTH DIRECTOR. SCHEDULE H, PART V, SECTION B, QUESTION 5D RESULTS OF THE COMMUNITY HEALTH NEEDS ASSESSMENT WERE PRESENTED IN A NUMBER OF PUBLIC FORUMS ARE PUBLISHED ON THE TRENTON HEALTH TEAM WEBSITE: HTTP://WWW.TRENTONHEALTHTEAM.ORG/THT/TRENTONCOMMUNITYHEALTHNEEDSASSESSMENT JULY2013.PDF THE GMPHP CHNA IS AVAILABLE ON CAPITAL HEALTH'S WEBSITE, WITH A LINK ON THE HOMEPAGE. SCHEDULE H, PART V, SECTION B, QUESTION 7 TRENTON'S HEALTH CHALLENGES WHICH FELL BEYOND THE SCOPE INCLUDE: - HIV/AIDS AND HEPATITIS C - TEEN PREGNANCY AND POOR BIRTH OUTCOMES - SEXUALLY TRANSMITTED DISEASES - LEAD POISONING - OTHER CHRONIC CONDITIONS, INCLUDING ASTHMA - TRANSPORTATION THE CHNA WAS A COMPREHENSIVE DOCUMENT THAT DETAILED NUMEROUS ISSUES. WORKING WITH GMPHP PARTNERS, CAPITAL HEALTH PRIORITIZED ACTIONS INTO A SERIES OF WELLNESS AND HEALTH SCREENING ACTIVITIES WHICH ADDRESSED THE MOST CRITICAL AREAS OF CONCERN. MOST RECENTLY, CAPITAL HEALTH CREATED A WEBSITE TO CENTRALIZE ALL INFORMATION REGARDING ALL HEALTH AND WELLNESS ACTIVITIES OCCURRING IN MERCER COUNTY. THIS WAS IN DIRECT RESPONSE TO AN IDENTIFIED PRIORITY NEED AS EXPRESSED THROUGH CAPITAL HEALTH OUTREACH INTERVIEWS. SCHEDULE H, PART V, SECTION B, QUESTIONS 10 AND 11 THE ORGANIZATION UTILIZES NEW JERSEY STATE CHARITY CARE GUIDELINES IN DETERMINING ELIGIBILITY FOR PROVIDING FREE OR DISCOUNTED CARE. CHARGES FOR SELF-PAY PATIENTS ARE REDUCED TO 115% OF THE MEDICARE RATE. PATIENTS WHOSE INCOME AND ASSETS CRITERIA ARE AT OR BELOW TWICE THE CURRENT THRESHOLD FOR ELIGIBILITY FOR NEW JERSEY CHARITY CARE WILL BE PROVIDED WITH A 100% DISCOUNT OFF OF THE ORGANIZATION'S USUAL AND CUSTOMARY CHARGES. THE INCOME BASED CRITERIA USED TO DETERMINE ELIGIBILITY IS PER NEW JERSEY ADMINISTRATIVE CODE 10:52 SUB CHAPTERS 11, 12 AND 13, AND BASED UPON THE 2011 POVERTY GUIDELINES (DEPARTMENT OF HEALTH AND SENIOR SERVICES). FPG ARE INCLUDED IN THE CRITERIA FOR DETERMINING ELIGIBILITY FOR CHARITY AND DISCOUNTED CARE. SCHEDULE H, PART V, SECTION B, QUESTION 14G BILLING STATEMENTS PROVIDED TO PATIENTS INDICATE THAT THE ORGANIZATION'S FINANCIAL ASSISTANCE POLICY IS AVAILABLE UPON REQUEST. SCHEDULE H, PART V, SECTION B, QUESTION 20D THE FACILITY USES 115% OF THE MEDICARE RATE AS THE MAXIMUM AMOUNT THAT CAN BE CHARGED TO FAP-ELIGIBLE INDIVIDUALS FOR EMERGENCY OR OTHER MEDICALLY NECESSARY CARE. 33 CAPITAL HEALTH SYSTEM IN HAMILTON 1401-1445 WHITEHORSE-MERCERVILLE RO HAMILTON NJ 08619 OUTPATIENT FACILITY CAPITAL HEALTH - MEDICAL OFFICE BUILDING 2 CAPITAL WAY PENNINGTON NJ 08534 GENERAL MEDICINE CAPITAL HEALTH-MEDICAL ARTS OFFICE BLDG 40 FULD STREET TRENTON NJ 08638 GENERAL MEDICINE MICU 65 PROSPECT STREET TRENTON NJ 08618 MICU CHS REHABILITATION SERVICES 832 BRUNSWICK AVENUE TRENTON NJ 08618 REHABILITATION SERVICES CAPITAL HEALTH FAMILY HEALTH CENTER 433 BELLEVUE AVENUE TRENTON NJ 08618 FAMILY HEALTH AND ADULT DAY CARE CENTER CHS PARTIAL HOSPITALIZATION SERVICES 832 BRUNSWICK AVENUE TRENTON NJ 08618 MENTAL HEALTH CAPITAL HEALTH PRIMARY CARE - EWING 1230 PARKWAY AVENUE EWING NJ 08628 GENERAL MEDICINE CORPORATE HEALTH CENTER 832 BRUNSWICK AVENUE TRENTON NJ 08618 HEALTH CENTER CAPITAL HEALTH PRIMARY CARE BORDENTOWN 1 THIRD STREET BORDENTOWN NJ 08505 FAMILY MEDICNE CAPITAL HEALTH PRIMARY CARE - PENNINGTON 2480 PENNINGTON ROAD PENNINGTON NJ 08534 GENERAL MEDICINE CAPITAL SURGICAL ASSOCIATES 40 FULD STREET TRENTON NJ 08638 GENERAL MEDICINE CAPITAL ENDOCRINOLOGY 1235 WHITEHORSE-MERCERVILLE ROAD HAMILTON NJ 08619 ENDOCRINOLOGY CAPITAL HEALTH HEARTCARE SPECIALISTS 2 CAPITAL WAY PENNINGTON NJ 08534 CARDIOLOGY CAPITAL HEALTH PRIMARY CARE QUAKERBRIDGE 4056 QUAKERBRIDGE ROAD LAWRENCEVILLE NJ 08648 GENERAL MEDICINE CAPITAL HEALTH PRIMARY CARE PRINCETON MONTGOMERY COMMONS BLDG 8 811 EXEC PRINCETON NJ 08540 GENERAL MEDICINE CAPITAL HEALTH PLASTIC SURGERY ASSOC NJ 850 BEAR TAVERN ROAD EWING NJ 08628 PLASTIC SURGERY CAPITAL HEALTH PRIM CARE LOWERMAKEFIELD 1050 STONY HILL ROAD YARDLEY PA 19067 GENERAL MEDICINE CAPITAL HEALTH CLINICAL CARDIOLOGY 2480 PENNINGTON ROAD PENNINGTON NJ 08534 CARDIOLOGY CAPITAL HEALTH PRIMARY CARE - HAMILTON 1445 WHITEHORSE AVENUE HAMILTON NJ 08619 GENERAL MEDICINE CAPITAL HEALTH CETNER FOR WOMENS HEALTH 1401 WHITEHORSE MERCERVILL ROAD HAMILTON NJ 08619 WOMEN'S MEDICINE CAPITAL HLTH CENTER FOR DIGESTIVE HEALTH 850 BEAR TAVERN ROAD EWING NJ 08628 DIGESTIVE HEALTH CAPITAL HEALTH SURGICAL GROUP 40 FULD STREET TRENTON NJ 08638 SURGICAL MEDICINE CAPITAL HEALTH INSTITUTE NEURO ONCOLOGY 2 CAPITAL WAY PENNINGTON NJ 08534 NEURO ONCOLOGY MEDICINE CAPITAL HEALTH INSTITUTE NEUROSCIENCE 2 CAPITAL WAY PENNINGTON NJ 08534 NEURO MEDICINE CAPITAL HEALTH COMPREHENSIVE SLEEP CTR 1401 WHITEHORSE AVENUE HAMILTON NJ 08619 SLEEP STUDIES CAPITAL HEALTH RADIATION ONCOLOGY ONE CAPITAL WAY PENNINGTON NJ 08534 RADIATION ONCOLOGY MEDICINE CAPITAL HEALTH SPINE CENTER 1401 WHITEHORSE AVENUE HAMILTON NJ 08619 SPINE HEALTH CAPITAL HEALTH CENTER FOR LIVER DISEASE ONE CAPITAL WAY PENNINGTON NJ 08534 LIVER HEALTH CAPITAL HEALTH PATHOLOGY 2 CAPITAL WAY PENNINGTON NJ 08534 PATHOLOGY STUDIES CAPITAL HEALTH MATERNAL FETAL ONE CAPITAL WAY PENNINGTON NJ 08534 WOMEN'S MEDICINE CAPITAL HLTH METABOLIC & WEIGHT LOSS CTR 2 CAPITAL WAY PENNINGTON NJ 08534 WEIGHT LOSS MEDICINE CAPITAL HLTH PRIMARY CARE - MOUNTAINVIEW 850 BEAR TAVERN ROAD EWING NJ 08628 GENERAL MEDICINE SCHEDULE H, PART I, LINE 3C THE ORGANIZATION UTILIZES NEW JERSEY STATE CHARITY CARE GUIDELINES IN DETERMINING ELIGIBILITY FOR PROVIDING FREE OR DISCOUNTED CARE. CHARGES FOR SELF-PAY PATIENTS ARE REDUCED TO 115% OF THE MEDICARE RATE. PATIENTS WHOSE INCOME AND ASSETS CRITERIA ARE AT OR BELOW TWICE THE CURRENT THRESHOLD FOR ELIGIBILITY FOR NEW JERSEY CHARITY CARE WILL BE PROVIDED WITH A 100% DISCOUNT OFF OF THE ORGANIZATION'S USUAL AND CUSTOMARY CHARGES. THE INCOME BASED CRITERIA USED TO DETERMINE ELIGIBILITY IS PER NEW JERSEY ADMINISTRATIVE CODE 10:52 SUB CHAPTERS 11, 12 AND 13, AND BASED UPON THE 2011 POVERTY GUIDELINES (DEPARTMENT OF HEALTH AND SENIOR SERVICES). FPG ARE INCLUDED IN THE CRITERIA FOR DETERMINING ELIGIBILITY FOR CHARITY AND DISCOUNTED CARE. SCHEDULE H, PART I, LINE 6A NOT APPLICABLE. SCHEDULE H, PART I; QUESTION 7G NO COSTS RELATING TO SUBSIDIZED HEALTHCARE SERVICES ARE ATTRIBUTABLE TO ANY PHYSICIAN CLINICS. SCHEDULE H, PART I, QUESTION 7 WORKSHEET 2 WAS USED FOR THE COST TO CHARGE RATIO SCHEDULE H, PART III, SECTION A; QUESTION 1 HEALTHCARE FINANCIAL MANAGEMENT ASSOCIATION STATEMENT NO. 15 ("STATEMENT 15") PROVIDES GUIDELINES FOR DISTINGUISHING CHARITY CARE FROM BAD DEBT EXPENSE. STATEMENT 15 REQUIRES THAT CHARITY CARE IS NOT RECOGNIZED AS RECEIVABLE OR REVENUE IN THE FINANCIAL STATEMENTS. STATEMENT 15 FURTHER EXPLAINS THAT SELF-PAY PATIENTS THAT DO HAVE A REASONABLE LIKELIHOOD OF PAYMENT SHOULD BE REPORTED AS CHARITY CARE AND NOT BAD DEBT EXPENSE. THE HOSPITAL GENERALLY FOLLOWS THE GUIDELINES OUTLINED IN STATEMENT 15. IN ADDITION, THE HOSPITAL FOLLOWS THE STATE OF NEW JERSEY GUIDELINES IN DETERMINING CHARITY CARE ELIGIBILITY. IN CERTAIN INSTANCES, IT IS UNLIKELY THAT UNINSURED PATIENTS WILL PAY FOR THE SERVICES RENDERED, BUT THEY DO NOT QUALIFY FOR THE STATE'S CHARITY CARE PROGRAM BECAUSE OF LACK OF PATIENT COOPERATION OR OTHER REASONS. THE HOSPITAL PURSUES COLLECTION OF THESE AMOUNTS AND UNPAID BALANCES ARE REPORTED AS BAD DEBT EXPENSE. UNDER STATEMENT 15, THESE AMOUNTS WOULD BE RECORDED AS CHARITY CARE RATHER THAN BAD DEBT EXPENSE AND THIS IS THE RATIONALE FOR OUR RESPONSE: "NO". SCHEDULE H, PART III, SECTION A; QUESTION 4 BAD DEBT EXPENSE WAS CALCULATED USING THE PROVIDERS' BAD DEBT EXPENSE FROM ITS AUDITED FINANCIAL STATEMENTS, MULTIPLIED BY ITS COST TO CHARGE RATIO. CAPITAL HEALTH SYSTEM, INC. AND ITS AFFILIATES, INCLUDING ITS HOSPITALS AND SUBSIDIARIES, PREPARE AND ISSUE AUDITED CONSOLIDATED FINANCIAL STATEMENTS. THE SYSTEM'S ALLOWANCE FOR DOUBTFUL ACCOUNTS (BAD DEBT EXPENSE) METHODOLOGY AND CHARITY CARE POLICIES ARE CONSISTENTLY APPLIED ACROSS ALL HOSPITAL AFFILIATES. THE ATTACHED TEXT WAS OBTAINED FROM THE FOOTNOTES TO THE AUDITED FINANCIAL STATEMENTS OF CAPITAL HEALTH SYSTEM. CHARITY CARE CAPITAL HEALTH PROVIDES CARE TO PATIENTS WHO MEET CERTAIN CRITERIA DEFINED BY THE NEW JERSEY DEPARTMENT OF HEALTH AND SENIOR SERVICES ("DOHSS") WITHOUT CHARGE OR AT AMOUNTS LESS THAN ITS ESTABLISHED RATES. BECAUSE CAPITAL HEALTH DOES NOT PURSUE COLLECTION OF AMOUNTS DETERMINED TO QUALIFY AS CHARITY CARE, THEY ARE NOT REPORTED AS REVENUE. CAPITAL HEALTH'S RECORDS IDENTIFY AND MONITOR THE LEVEL OF CHARITY CARE IT PROVIDES AND INCLUDE THE AMOUNT OF CHARGES FORGONE FOR SERVICES AND SUPPLIES FURNISHED. DOHSS ALLOWS RETROACTIVE APPLICATION FOR CHARITY CARE UP TO TWO YEARS FROM THE DATE OF SERVICE. THE COST OF CHARITY CARE IS DERIVED FROM BOTH ESTIMATED AND ACTUAL DATA. THE ESTIMATED COST OF CHARITY CARE INCLUDES THE DIRECT AND INDIRECT COST OF PROVIDING SUCH SERVICES AND IS ESTIMATED UTILIZING CAPITAL HEALTH'S RATIO OF COST TO GROSS CHARGES, WHICH IS THEN MULTIPLIED BY THE GROSS UNCOMPENSATED CHARGES ASSOCIATED WITH PROVIDING CARE TO CHARITY PATIENTS. CHARITY CARE PROVIDED, AT COST, DURING 2013 AND 2012 TOTALED APPROXIMATELY $62,129,000 AND $57,617,000, RESPECTIVELY. CAPITAL HEALTH RECEIVES PAYMENTS FROM THE NEW JERSEY HEALTH CARE SUBSIDY FUNDS FOR CHARITY CARE AND SUCH AMOUNTS TOTALED APPROXIMATELY $29,170,000 AND $28,864,000 FOR THE YEARS ENDED DECEMBER 31, 2013 AND 2012, RESPECTIVELY. SCHEDULE H, PART III, SECTION B; QUESTION 8 MEDICARE COSTS WERE DERIVED FROM THE 2012 MEDICARE COST REPORT. MEDICARE UNDERPAYMENTS AND BAD DEBT ARE COMMUNITY BENEFIT AND ASSOCIATED COSTS ARE INCLUDABLE ON THE FORM 990, SCHEDULE H, PART I. THE ORGANIZATION BELIEVES THAT MEDICARE UNDERPAYMENTS (SHORTFALL) AND BAD DEBT ARE COMMUNITY BENEFIT AND ASSOCIATED COSTS ARE INCLUDABLE ON THE FORM 990, SCHEDULE H, PART I. AS OUTLINED MORE FULLY BELOW THE ORGANIZATION BELIEVES THAT THESE SERVICES AND RELATED COSTS PROMOTE THE HEALTH OF THE COMMUNITY AS A WHOLE AND ARE RENDERED IN CONJUNCTION WITH THE ORGANIZATION'S CHARITABLE TAX-EXEMPT PURPOSES AND MISSION IN PROVIDING MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS IN A NON-DISCRIMINATORY MANNER WITHOUT REGARD TO RACE, COLOR, CREED, SEX, NATIONAL ORIGIN, RELIGION OR ABILITY TO PAY AND CONSISTENT WITH THE COMMUNITY BENEFIT STANDARD PROMULGATED BY THE IRS. THE COMMUNITY BENEFIT STANDARD IS THE CURRENT STANDARD FOR A HOSPITAL FOR RECOGNITION AS A TAX-EXEMPT AND CHARITABLE ORGANIZATION UNDER INTERNAL REVENUE CODE ("IRC") 501(C)(3). THE ORGANIZATION IS RECOGNIZED AS A TAX-EXEMPT ENTITY AND CHARITABLE ORGANIZATION UNDER 501(C)(3) OF THE IRC. ALTHOUGH THERE IS NO DEFINITION IN THE TAX CODE FOR THE TERM "CHARITABLE" A REGULATION PROMULGATED BY THE DEPARTMENT OF THE TREASURY PROVIDES SOME GUIDANCE AND STATES THAT "THE TERM CHARITABLE IS USED IN SECTION 501(C)(3) IN ITS GENERALLY ACCEPTED LEGAL SENSE," AND PROVIDES EXAMPLES OF CHARITABLE PURPOSES, INCLUDING THE RELIEF OF THE POOR OR UNPRIVILEGED; THE PROMOTION OF SOCIAL WELFARE; AND THE ADVANCEMENT OF EDUCATION, RELIGION, AND SCIENCE. NOTE IT DOES NOT EXPLICITLY ADDRESS THE ACTIVITIES OF HOSPITALS. IN THE ABSENCE OF EXPLICIT STATUTORY OR REGULATORY REQUIREMENTS APPLYING THE TERM "CHARITABLE" TO HOSPITALS, IT HAS BEEN LEFT TO THE IRS TO DETERMINE THE CRITERIA HOSPITALS MUST MEET TO QUALIFY AS IRC 501(C)(3) CHARITABLE ORGANIZATIONS. THE ORIGINAL STANDARD WAS KNOWN AS THE CHARITY CARE STANDARD. THIS STANDARD WAS REPLACED BY THE IRS WITH THE COMMUNITY BENEFIT STANDARD WHICH IS THE CURRENT STANDARD. CHARITY CARE STANDARD IN 1956, THE IRS ISSUED REVENUE RULING 56-185, WHICH ADDRESSED THE REQUIREMENTS HOSPITALS NEEDED TO MEET IN ORDER TO QUALIFY FOR IRC 501(C)(3) STATUS. ONE OF THESE REQUIREMENTS IS KNOWN AS THE "CHARITY CARE STANDARD." UNDER THE STANDARD, A HOSPITAL HAD TO PROVIDE, TO THE EXTENT OF ITS FINANCIAL ABILITY, FREE OR REDUCED-COST CARE TO PATIENTS UNABLE TO PAY FOR IT. A HOSPITAL THAT EXPECTED FULL PAYMENT DID NOT, ACCORDING TO THE RULING, PROVIDE CHARITY CARE BASED ON THE FACT THAT SOME PATIENTS ULTIMATELY FAILED TO PAY. THE RULING EMPHASIZED THAT A LOW LEVEL OF CHARITY CARE DID NOT NECESSARILY MEAN THAT A HOSPITAL HAD FAILED TO MEET THE REQUIREMENT SINCE THAT LEVEL COULD REFLECT ITS FINANCIAL ABILITY TO PROVIDE SUCH CARE. THE RULING ALSO NOTED THAT PUBLICLY SUPPORTED COMMUNITY HOSPITALS WOULD NORMALLY QUALIFY AS CHARITABLE ORGANIZATIONS BECAUSE THEY SERVE THE ENTIRE COMMUNITY, AND A LOW LEVEL OF CHARITY CARE WOULD NOT AFFECT A HOSPITAL'S EXEMPT STATUS IF IT WAS DUE TO THE SURROUNDING COMMUNITY'S LACK OF CHARITABLE DEMANDS. COMMUNITY BENEFIT STANDARD IN 1969, THE IRS ISSUED REVENUE RULING 69-545, WHICH "REMOVED" FROM REVENUE RULING 56-185 "THE REQUIREMENTS RELATING TO CARING FOR PATIENTS WITHOUT CHARGE OR AT RATES BELOW COST." UNDER THE STANDARD DEVELOPED IN REVENUE RULING 69-545, WHICH IS KNOWN AS THE "COMMUNITY BENEFIT STANDARD," HOSPITALS ARE JUDGED ON WHETHER THEY PROMOTE THE HEALTH OF A BROAD CLASS OF INDIVIDUALS IN THE COMMUNITY. THE RULING INVOLVED A HOSPITAL THAT ONLY ADMITTED INDIVIDUALS WHO COULD PAY FOR THE SERVICES (BY THEMSELVES, PRIVATE INSURANCE, OR PUBLIC PROGRAMS SUCH AS MEDICARE), BUT OPERATED A FULL-TIME EMERGENCY ROOM THAT WAS OPEN TO EVERYONE. THE IRS RULED THAT THE HOSPITAL QUALIFIED AS A CHARITABLE ORGANIZATION BECAUSE IT PROMOTED THE HEALTH OF PEOPLE IN ITS COMMUNITY. THE IRS REASONED THAT BECAUSE THE PROMOTION OF HEALTH WAS A CHARITABLE PURPOSE ACCORDING TO THE GENERAL LAW OF CHARITY, IT FELL WITHIN THE "GENERALLY ACCEPTED LEGAL SENSE" OF THE TERM "CHARITABLE," AS REQUIRED BY TREAS. REG. 1.501(C)(3)-1(D)(2). THE IRS RULING STATED THAT THE PROMOTION OF HEALTH, LIKE THE RELIEF OF POVERTY AND THE ADVANCEMENT OF EDUCATION AND RELIGION, IS ONE OF THE PURPOSES IN THE GENERAL LAW OF CHARITY THAT IS DEEMED BENEFICIAL TO THE COMMUNITY AS A WHOLE EVEN THOUGH THE CLASS OF BENEFICIARIES ELIGIBLE TO RECEIVE A DIRECT BENEFIT FROM ITS ACTIVITIES DOES NOT INCLUDE ALL MEMBERS OF THE COMMUNITY, SUCH AS INDIGENT MEMBERS OF THE COMMUNITY, PROVIDED THAT THE CLASS IS NOT SO SMALL THAT ITS RELIEF IS NOT OF BENEFIT TO THE COMMUNITY. THE IRS CONCLUDED THAT THE HOSPITAL WAS "PROMOTING THE HEALTH OF A CLASS OF PERSONS THAT IS BROAD ENOUGH TO BENEFIT THE COMMUNITY" BECAUSE ITS EMERGENCY ROOM WAS OPEN TO ALL AND IT PROVIDED CARE TO EVERYONE WHO COULD PAY, WHETHER DIRECTLY OR THROUGH THIRD-PARTY REIMBURSEMENT. OTHER CHARACTERISTICS OF THE HOSPITAL THAT THE IRS HIGHLIGHTED INCLUDED THE FOLLOWING: ITS SURPLUS FUNDS WERE USED TO IMPROVE PATIENT CARE, EXPAND HOSPITAL FACILITIES, AND ADVANCE MEDICAL TRAINING, EDUCATION, AND RESEARCH; IT WAS CONTROLLED BY A BOARD OF TRUSTEES THAT CONSISTED OF INDEPENDENT CIVIC LEADERS; AND HOSPITAL MEDICAL STAFF PRIVILEGES WERE AVAILABLE TO ALL QUALIFIED PHYSICIANS. THE AMERICAN HOSPITAL ASSOCIATION ("AHA") BELIEVES THAT MEDICARE UNDERPAYMENTS (SHORTFALL) AND BAD DEBT ARE COMMUNITY BENEFIT AND THUS INCLUDABLE ON THE FORM 990, SCHEDULE H, PART I. THIS ORGANIZATION AGREES WITH THE AHA POSITION. AS OUTLINED IN THE AHA LETTER TO THE IRS DATED AUGUST 21, 2007 WITH RESPECT TO THE FIRST PUBLISHED DRAFT OF THE NEW FORM 990 AND SCHEDULE H, THE AHA FELT THAT THE IRS SHOULD INCORPORATE THE FULL VALUE OF THE COMMUNITY BENEFIT THAT HOSPITALS PROVIDE BY COUNTING MEDICARE UNDERPAYMENTS (SHORTFALL) AS QUANTIFIABLE COMMUNITY BENEFIT FOR THE FOLLOWING REASONS: - PROVIDING CARE FOR THE ELDERLY AND SERVING MEDICARE PATIENTS IS AN ESSENTIAL PART OF THE COMMUNITY BENEFIT STANDARD. - MEDICARE, LIKE MEDICAID, DOES NOT PAY THE FULL COST OF CARE. RECENTLY, MEDICARE REIMBURSES HOSPITALS ONLY 92 CENTS FOR EVERY DOLLAR THEY SPEND TO TAKE CARE OF MEDICARE PATIENTS. THE MEDICARE PAYMENT ADVISORY COMMISSION ("MEDPAC") IN ITS MARCH 2007 REPORT TO CONGRESS CAUTIONED THAT UNDERPAYMENT WILL GET EVEN WORSE, WITH MARGINS REACHING A 10-YEAR LOW AT NEGATIVE 5.4 PERCENT. - MANY MEDICARE BENEFICIARIES, LIKE THEIR MEDICAID COUNTERPARTS, ARE POOR. MORE THAN 46 PERCENT OF MEDICARE SPENDING IS FOR BENEFICIARIES WHOSE INCOME IS BELOW 200 PERCENT OF THE FEDERAL POVERTY LEVEL. MANY OF THOSE MEDICARE BENEFICIARIES ARE ALSO ELIGIBLE FOR MEDICAID -- SO CALLED "DUAL ELIGIBLES." THERE IS EVERY COMPELLING PUBLIC POLICY REASON TO TREAT MEDICARE AND MEDICAID UNDERPAYMENTS SIMILARLY FOR PURPOSES OF A HOSPITAL'S COMMUNITY BENEFIT AND INCLUDE THESE COSTS ON FORM 990, SCHEDULE H, PART I. MEDICARE UNDERPAYMENT MUST BE SHOULDERED BY THE HOSPITAL IN ORDER TO CONTINUE TREATING THE COMMUNITY'S ELDERLY AND POOR. THESE UNDERPAYMENTS REPRESENT A REAL COST OF SERVING THE COMMUNITY AND SHOULD COUNT AS A QUANTIFIABLE COMMUNITY BENEFIT. BOTH THE AHA AND THIS ORGANIZATION ALSO FEEL THAT PATIENT BAD DEBT IS A COMMUNITY BENEFIT AND THUS INCLUDABLE ON THE FORM 990, SCHEDULE H, PART I. LIKE MEDICARE UNDERPAYMENT (SHORTFALLS), THERE ALSO ARE COMPELLING REASONS THAT PATIENT BAD DEBT SHOULD BE COUNTED AS QUANTIFIABLE COMMUNITY BENEFIT AS FOLLOWS: - A SIGNIFICANT MAJORITY OF BAD DEBT IS ATTRIBUTABLE TO LOW-INCOME PATIENTS, WHO, FOR MANY REASONS, DECLINE TO COMPLETE THE FORMS REQUIRED TO ESTABLISH ELIGIBILITY FOR HOSPITALS' CHARITY CARE OR FINANCIAL ASSISTANCE PROGRAMS. A 2006 CONGRESSIONAL BUDGET OFFICE ("CBO") REPORT, NONPROFIT HOSPITALS AND THE PROVISION OF COMMUNITY BENEFITS, CITED TWO STUDIES INDICATING THAT "THE GREAT MAJORITY OF BAD DEBT WAS ATTRIBUTABLE TO PATIENTS WITH INCOMES BELOW 200% OF THE FEDERAL POVERTY LINE." - THE REPORT ALSO NOTED THAT A SUBSTANTIAL PORTION OF BAD DEBT IS PENDING CHARITY CARE. UNLIKE BAD DEBT IN OTHER INDUSTRIES, HOSPITAL BAD DEBT IS COMPLICATED BY THE FACT THAT HOSPITALS FOLLOW THEIR MISSION TO THE COMMUNITY AND TREAT EVERY PATIENT THAT COMES THROUGH THEIR EMERGENCY DEPARTMENT, REGARDLESS OF ABILITY TO PAY. PATIENTS WHO HAVE OUTSTANDING BILLS ARE NOT TURNED AWAY, UNLIKE OTHER INDUSTRIES. BAD DEBT IS FURTHER COMPLICATED BY THE AUDITING INDUSTRY'S STANDARDS ON REPORTING CHARITY CARE. MANY PATIENTS CANNOT OR DO NOT PROVIDE THE NECESSARY, EXTENSIVE DOCUMENTATION REQUIRED TO BE DEEMED CHARITY CARE BY AUDITORS. AS A RESULT, ROUGHLY 40% OF BAD DEBT IS PENDING CHARITY CARE. - THE CBO CONCLUDED THAT ITS FINDINGS "SUPPORT THE VALIDITY OF THE USE OF UNCOMPENSATED CARE [BAD DEBT AND CHARITY CARE] AS A MEASURE OF COMMUNITY BENEFITS" ASSUMING THE FINDINGS ARE GENERALIZABLE NATIONWIDE; THE EXPERIENCE OF HOSPITALS AROUND THE NATION REINFORCES THAT THEY ARE GENERALIZABLE. AS OUTLINED BY THE AHA, DESPITE THE HOSPITAL SCHEDULE H, PART III, SECTION B; QUESTION 9B ACCOUNTS CONSIDERED TO BE CHARITY CARE ARE NOT INCLUDED IN THE BAD DEBT EXPENSE, BUT RATHER, ACCOUNTED FOR AS AN ALLOWANCE. IT IS THE POLICY OF CAPITAL HEALTH SYSTEM, AND ALL ITS HOSPITAL AFFILIATES, TO TREAT ALL PATIENTS EQUALLY REGARDLESS OF INSURANCE AND THEIR ABILITY TO PAY. FOR ACCOUNTS DETERMINED TO BE "SELF-PAY" AND/OR ACCOUNTS WITH BALANCE AFTER PRIMARY INSURANCE PAYMENTS, THE COLLECTION POLICY REQUIRES: SENDING THREE STATEMENTS, A MINIMUM OF ONE PRE-COLLECTION LETTER, TELEPHONE CONTACT FOR ANY ACCOUNT OVER $5,000.00 OR AT THE DISCRETION OF THE ACCOUNT REPRESENTATIVE AND/OR SUPERVISOR. THE FACILITY ALSO HAS A CHARITY CARE ACCESS POLICY TO ASSURE PATIENTS ARE PROVIDED WITH CHARITY CARE ASSISTANCE DETERMINED BY STATE AND FEDERAL REGULATIONS. IT IS THE POLICY TO INFORM ALL PATIENTS DEEMED SELF-PAY OF THE APPROPRIATE ASSISTANCE PROGRAMS AVAILABLE. PATIENTS APPLYING FOR CHARITY CARE ASSISTANCE WILL BE FINANCIALLY SCREENED BY A RESOURCE ADVISOR TO DETERMINE ELIGIBILITY ACCORDING TO STATE AND FEDERAL GUIDELINES AND WILL BE INFORMED OF DOCUMENTATION NEEDED TO COMPLETE A CHARITY CARE APPLICATION. PATIENTS NOT ELIGIBLE FOR CHARITY CARE WILL BE FINANCIALLY COUNSELED FOR ALL OTHER OPTIONS. QUALIFIED PATIENTS WILL BE REFERRED TO ALL APPROPRIATE AGENCIES OR PROGRAMS TO MEET OTHER FINANCIAL NEEDS. AT THE TIME OF THE PATIENT VISIT AND PART OF THE REGISTRATION PROCESS AT THE FACILITY, THE FOLLOWING OPTIONS ARE MADE AVAILABLE TO PATIENTS: - FINANCIAL COUNSELING FOR POSSIBLE ELIGIBILITY FOR MEDICAL ASSISTANCE INCLUDING MEDICAID AND SSI; - FINANCIAL COUNSELING FOR POSSIBLE ELIGIBILITY FOR THE NEW JERSEY HOSPITAL CARE PAYMENT ASSISTANCE PROGRAM; AND, - FINANCIAL ARRANGEMENTS INCLUDING: - CASH/CREDIT CARD (AMERICAN EXPRESS, DISCOVER, VISA, MASTERCARD). IN ADDITION TO THE ABOVE OPTIONS, THE FACILITY HAS ESTABLISHED A SELF-PAY ASSISTANCE PROGRAM FOR ITS UNINSURED PATIENTS THAT DO NOT QUALIFY FOR MEDICAID OR THE NEW JERSEY HOSPITAL CARE PAYMENT ASSISTANCE PROGRAM. THE SELF-PAY ASSISTANCE PROGRAM RATES ARE REFLECTIVE OF MEDICARE REIMBURSEMENT, AS REFERRED BY THE STATE OF NEW JERSEY. SCHEDULE H, PART VI; QUESTION 2 IN ADDITION TO THE INTERNAL REVENUE CODE 501(R) COMMUNITY HEALTH NEEDS ASSESSMENT INFORMATION OUTLINED IN FORM 990, SCHEDULE H, PART V, SECTION B, CAPITAL HEALTH ROUTINELY MONITORS DEMAND FOR THE SERVICES IT PROVIDES WHILE SIMULTANEOUSLY UTILIZING A VARIETY OF INFORMATION SOURCES TO DETERMINE UNMET OR UNDERSERVED NEEDS OF THE COMMUNITIES IT SERVES. CAPITAL HEALTH MEETS AT LEAST MONTHLY WITH THE OTHER HEALTHCARE PROVIDERS IN ITS SERVICE AREA AS WELL AS A COMMUNITY HEALTH DEPARTMENT DIRECTOR TO DISCUSS UNMET NEEDS AND COLLABORATIVELY STRATEGIZE THE PRIORITIZATION OF NEEDS AND DEVELOP PROGRAMS TO ADDRESS THEM IN A COORDINATED WAY. CAPITAL HEALTH ALSO ROUTINELY REVIEW AVAILABLE DATA REGARDING INCIDENTS OF HEALTH ISSUES AND PROPOSE PROGRAMS TO ADDRESS THESE ISSUES AND ULTIMATELY IMPLEMENT THOSE WHICH WILL HAVE THE GREATEST IMPACT. ADDITIONALLY, WE REGULARLY INTERACT WITH COMMUNITY LEADERS AND RECEIVE FEEDBACK ON THEIR SATISFACTION WITH OUR SERVICES. WE BELIEVE THIS COMPREHENSIVE APPROACH OF MONITORING AND ANALYZING BOTH OBJECTIVE DATA AND SUBJECTIVE FEEDBACK GIVES US A CURRENT UNDERSTANDING OF HOW WE ARE ADDRESSING COMMUNITY NEEDS AND WHAT WE NEED TO DO TO OPTIMIZE OUR IMPACT UPON THE HEALTHCARE STATUS OF OUR REGION. SCHEDULE H, PART VI; QUESTION 3 CAPITAL HEALTH SYSTEM, INC. EDUCATES PATIENTS ABOUT ELIGIBILITY FOR ASSISTANCE WITH THEIR BILLS IN NUMEROUS WAYS. INSURANCE INFORMATION IS OBTAINED AT ALL REGISTRATION POINTS AT EACH VISIT. IF A PATIENT IS FOUND NOT TO HAVE INSURANCE, OR IS UNDERINSURED THE FOLLOWING PROCEDURE IS FOLLOWED; 1. WHEN A PATIENT IS FOUND TO BE UNINSURED AND IN NEED OF FINANCIAL ASSISTANCE, A NEW JERSEY CARE PAYMENT FACT SHEET IS REVIEWED WITH THE PATIENT, AND A WRITTEN COPY IS PROVIDED TO THE PATIENT BY THE HEALTH ACCESS STAFF. THE FACT SHEET EXPLAINS WHO IS ELIGIBLE, HOW TO APPLY WITH THE PHONE NUMBER OF EACH CAMPUS CHARITY CARE OFFICE, AND WHAT DOCUMENTS ARE NEEDED TO DETERMINE ELIGIBILITY. 2. WHEN A PATIENT IS ADMITTED TO THE HOSPITAL, A CHARITY CARE WORKER WILL VISIT THE PATIENT'S BEDSIDE TO START THE CHARITY CARE PROCESS. IF A PATIENT IS FINANCIALLY SCREENED AND FOUND TO BE ELIGIBLE FOR MEDICAID, A REFERRAL IS GIVEN TO THE HOSPITAL'S MEDICAID OUTSTATION WORKER. THE OUTSTATION WORKER WILL VISIT THE PATIENT, AND BEGIN THE MEDICAID PROCESS. 3. WHEN A PATIENT IS FOUND TO BE UNDERINSURED, (EXAMPLE IS A PATIENT WHO HAS MEDICARE ONLY) A REFERRAL IS MADE TO THE CHARITY CARE WORKER, AND THE SAME PROCESS IS FOLLOWED ABOVE. 4. THE PATIENT IS MONITORED FOR COMPLIANCE IN COMPLETING THE APPLICATION INCLUDING VISITING THE PATIENT'S HOME IF NECESSARY TO OBTAIN NECESSARY DOCUMENTATION TO COMPLETE THE APPLICATION. 5. ONCE THE PATIENT HAS BEEN APPROVED, THE CHARITY CARE DETERMINATION INFORMATION IS DOCUMENTED IN THE PATIENT'S REGISTRATION RECORD. PATIENT ACCESS MONITORS AND INSTRUCTS THE PATIENT WHEN THEIR CHARITY CARE APPLICATION IS DUE FOR RENEWAL. ASIDE FROM INFORMING PATIENTS DURING THEIR REGISTRATION PROCESS, ALL OF CAPITAL HEALTH'S DUNNING STATEMENTS CONTAIN THE FOLLOWING LANGUAGE: CAPITAL HEALTH SYSTEM, INC. IS COMMITTED TO PROVIDING CARE TO ALL PATIENTS, REGARDLESS OF THEIR INSURANCE STATUS OR ABILITY TO PAY. UNDER CAPITAL HEALTH'S FINANCIAL ASSISTANCE AND CHARITY CARE PROGRAMS, THE PATIENT MAY BE ELIGIBLE TO RECEIVE FINANCIAL HELP THAT COVERS PART OR ALL OF THE PATIENT'S HOSPITAL BILL. IF THE PATIENT DOES NOT QUALIFY FOR EITHER OF THESE PROGRAMS, CAPITAL HEALTH CAN OFFER PROMPT PAYMENT DISCOUNTS AND DISCOUNTS FOR PATIENTS WHO HAVE BILLS THAT ARE A SIGNIFICANT FINANCIAL BURDEN TO THEM. CAPITAL HEALTH SYSTEM, INC. ALSO PROVIDES, IN ENGLISH AND SPANISH, A PHONE NUMBER FOR THOSE PATIENTS WHO CANNOT AFFORD TO PAY THEIR BILL AND WOULD LIKE TO APPLY FOR FINANCIAL ASSISTANCE. CAPITAL HEALTH SYSTEM, INC. HAS A RECORDED MESSAGE THAT IS PLAYED WHILE A CUSTOMER IS ON HOLD. IT REITERATES THE CAPITAL HEALTH SYSTEM INC. BELIEF THAT EVERYONE DESERVES QUALITY CARE, REGARDLESS OF THEIR ABILITY TO PAY. UNDER ITS FINANCIAL ASSISTANCE AND CHARITY CARE PROGRAMS, ELIGIBILITY TO RECEIVE FINANCIAL SUPPORT TO FULLY OR PARTIALLY COVER HOSPITAL COSTS IS OFFERED. IT ALSO STATES THAT FOR PATIENTS WHO DO NOT QUALIFY FOR EITHER OF THESE PROGRAMS, CAPITAL HEALTH CAN OFFER PROMPT PAY AND OTHER DISCOUNTS FOR PATIENTS WHO HAVE BILLS THAT ARE A SIGNIFICANT FINANCIAL BURDEN TO THEM. SCHEDULE H, PART VI; QUESTION 4 CAPITAL HEALTH PRIMARILY SERVES THE COMMUNITIES IN THE CITY OF TRENTON, MERCER COUNTY AND PARTS OF BURLINGTON, MONMOUTH AND MIDDLESEX COUNTIES IN NEW JERSEY AND BUCKS COUNTY IN PENNSYLVANIA. THERE ARE APPROXIMATELY 2,900,000 RESIDENTS WITHIN THE DEFINED PRIMARY AND SECONDARY SERVICE AREA. THE RACIAL MAKEUP OF MERCER COUNTY, WHICH INCLUDES TRENTON, THE STATE CAPITAL, IS 66.0% WHITE, 21.1% BLACK, AND 16.2% HISPANIC OR LATINO. NEARLY 87.2% OF THE COUNTY'S RESIDENTS WHO ARE 25 YEARS OR OLDER GRADUATED HIGH SCHOOL AND 38.2% HAVE A BACHELOR'S DEGREE. MEDIAN HOUSEHOLD INCOME IN THE COUNTY WAS $73,759 ACCORDING TO THE 2010 US CENSUS. THE RACIAL MAKEUP OF BURLINGTON COUNTY IS 74.7% WHITE, 17.5% BLACK, AND 7.3% HISPANIC OR LATINO. MORE THAN 91.4% OF BURLINGTON COUNTY RESIDENTS WHO ARE 25 YEARS OR OLDER GRADUATED HIGH SCHOOL AND 34.2% HAVE A BACHELOR'S DEGREE. MEDIAN HOUSEHOLD INCOME IN BURLINGTON COUNTY WAS $78,229 ACCORDING TO THE 2010 US CENSUS. THE RACIAL MAKEUP OF BUCKS COUNTY, PENNSYLVANIA IS 89.8% WHITE, 4.0% BLACK AND 4.1% HISPANIC OR LATINO. OF THOSE, 92.9% OF BUCKS COUNTY RESIDENTS WHO ARE 25 YEARS OR OLDER GRADUATED HIGH SCHOOL AND 35.1% HAVE A BACHELOR'S DEGREE. MEDIAN HOUSEHOLD INCOME IN BUCKS COUNTY WAS $76,859 ACCORDING TO THE 2010 US CENSUS. THE RACIAL MAKEUP OF MONMOUTH COUNTY IS 89.4% WHITE, 7.6% BLACK, AND 10.3% HISPANIC OR LATINO. MORE THAN 91.9% OF MONMOUTH COUNTY RESIDENTS WHO ARE 25 YEARS OR OLDER GRADUATED HIGH SCHOOL AND 40.3% HAVE A BACHELOR'S DEGREE. MEDIAN HOUSEHOLD INCOME IN COUNTY WAS $84,746 ACCORDING TO THE 2010 US CENSUS. THE RACIAL MAKEUP OF MIDDLESEX COUNTY IS 62.8% WHITE, 11.0% BLACK, AND 19.5% HISPANIC OR LATINO. MORE THAN 88.8% OF MIDDLESEX COUNTY RESIDENTS WHO ARE 25 YEARS OR OLDER GRADUATED HIGH SCHOOL AND 39.8% HAVE A BACHELOR'S DEGREE. MEDIAN HOUSEHOLD INCOME IN COUNTY WAS $79,442 ACCORDING TO THE 2010 US CENSUS. SCHEDULE H, PART VI; QUESTION 5 THIS ORGANIZATION OPERATES CONSISTENTLY WITH THE FOLLOWING CRITERIA OUTLINED IN IRS REVENUE RULING 69-545: 1. THE ORGANIZATION PROVIDES MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS REGARDLESS OF ABILITY TO PAY, INCLUDING CHARITY CARE, SELF-PAY, MEDICARE AND MEDICAID PATIENTS; 2. THE ORGANIZATION OPERATES AN ACTIVE EMERGENCY DEPARTMENT FOR ALL PERSONS; WHICH IS OPEN 24 HOURS A DAY, 7 DAYS A WEEK, 365 DAYS PER YEAR; 3. THE ORGANIZATION MAINTAINS AN OPEN MEDICAL STAFF, WITH PRIVILEGES AVAILABLE TO ALL QUALIFIED PHYSICIANS; 4. CONTROL OF THE ORGANIZATION RESTS WITH ITS BOARD OF TRUSTEES; WHICH IS COMPRISED OF INDEPENDENT CIVIC LEADERS AND OTHER PROMINENT MEMBERS OF THE COMMUNITY; AND 5. SURPLUS FUNDS ARE USED TO IMPROVE THE QUALITY OF PATIENT CARE, EXPAND AND RENOVATE FACILITIES AND ADVANCE MEDICAL CARE; PROGRAMS AND ACTIVITIES. PLEASE REFER TO SCHEDULE O FOR THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT FOR ADDITIONAL INFORMATION ON HOW THE ORGANIZATION PROMOTES COMMUNITY HEALTH. SCHEDULE H, PART VI; QUESTION 6 OUTLINED BELOW IS A SUMMARY OF THE ENTITIES WHICH COMPRISE THE CAPITAL HEALTH SYSTEM AND AFFILIATES. NOT FOR PROFIT CAPITAL HEALTH SYSTEM AND AFFILIATES ENTITIES CAPITAL HEALTH SYSTEM, INC. CAPITAL HEALTH SYSTEM, INC. ("CHS") IS THE TAX-EXEMPT PARENT OF CAPITAL HEALTH SYSTEM AND AFFILIATES ("SYSTEM"). THIS INTEGRATED HEALTHCARE DELIVERY SYSTEM CONSISTS OF A GROUP OF AFFILIATED HEALTHCARE ORGANIZATIONS. THE SOLE MEMBER OR STOCKHOLDER OF EACH ENTITY IS EITHER CHS OR ANOTHER SYSTEM AFFILIATE CONTROLLED BY CHS. THE SYSTEM IS AN INTEGRATED NETWORK OF HEALTHCARE PROVIDERS IN THE STATE OF NEW JERSEY. CAPITAL HEALTH SYSTEM IS AN ORGANIZATION RECOGNIZED BY THE INTERNAL REVENUE SERVICE AS TAX-EXEMPT PURSUANT TO INTERNAL REVENUE CODE 501(C)(3) AND AS A HOSPITAL UNDER IRC 170(B)(1)(A)(I). AS THE PARENT ORGANIZATION OF A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM IN MERCER COUNTY NEW JERSEY. CAPITAL HEALTH SYSTEM STRIVES TO CONTINUALLY DEVELOP AND OPERATE A MULTI-HOSPITAL HEALTHCARE SYSTEM WHICH PROVIDES SUBSTANTIAL COMMUNITY BENEFIT THROUGH THE PROVISION OF A COMPREHENSIVE SPECTRUM OF HEALTHCARE SERVICES TO THE RESIDENTS OF NEW JERSEY AND SURROUNDING COMMUNITIES. CAPITAL HEALTH SYSTEM, INC. ENSURES THAT ITS SYSTEM PROVIDES MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGINS OR ABILITY TO PAY. NO INDIVIDUALS ARE DENIED NECESSARY MEDICAL CARE, TREATMENT OR SERVICES. CAPITAL HEALTH SYSTEM, INC.'S ACTIVE HOSPITALS ARE CAPITAL HEALTH MEDICAL CENTER - HOPEWELL AND CAPITAL HEALTH REGIONAL MEDICAL CENTER. THE HOSPITALS OPERATE CONSISTENTLY WITH THE FOLLOWING CRITERIA OUTLINED IN IRS REVENUE RULING 69-545: 1. PROVIDE MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS REGARDLESS OF ABILITY TO PAY, INCLUDING CHARITY CARE, SELF-PAY, MEDICARE AND MEDICAID PATIENTS; 2. OPERATE AN ACTIVE EMERGENCY DEPARTMENT FOR ALL PERSONS; WHICH IS OPEN 24 HOURS A DAY, 7 DAYS A WEEK, 365 DAYS PER YEAR; 3. MAINTAIN AN OPEN MEDICAL STAFF, WITH PRIVILEGES AVAILABLE TO ALL QUALIFIED PHYSICIANS; AND 4. CONTROL RESTS WITH ITS BOARD OF TRUSTEES. THE BOARD IS COMPRISED OF INDEPENDENT CIVIC LEADERS AND OTHER PROMINENT MEMBERS OF THE COMMUNITY. 5. SURPLUS FUNDS ARE USED TO IMPROVE THE QUALITY OF PATIENT CARE, EXPAND AND RENOVATE FACILITIES AND ADVANCE MEDICAL CARE, PROGRAMS AND ACTIVITIES. CAPITAL HEALTH SYSTEM FOUNDATION, INC. CAPITAL HEALTH SYSTEM FOUNDATION, INC. IS AN ORGANIZATION RECOGNIZED BY THE INTERNAL REVENUE SERVICE AS TAX-EXEMPT PURSUANT TO INTERNAL REVENUE CODE 501(C)(3) AND AS A NON-PRIVATE FOUNDATION PURSUANT TO INTERNAL REVENUE CODE 509(A)(1). THROUGH FUNDRAISING ACTIVITIES THE ORGANIZATION SUPPORTS THE CHARITABLE PURPOSES, PROGRAMS AND SERVICES OF CAPITAL HEALTH SYSTEM, INC.; A RELATED INTERNAL REVENUE CODE 501(C)(3) TAX-EXEMPT ORGANIZATION, THAT PROVIDES MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS IN A NON-DISCRIMINATORY MANNER REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGIN, RELIGION OR ABILITY TO PAY. FOR PROFIT CAPITAL HEALTH SYSTEM AND AFFILIATES ENTITIES BELLEVUE AVENUE MANAGEMENT, INC. A FOR-PROFIT ENTITY WHOSE SOLE SHAREHOLDER IS MERCER HOLDING CORPORATION. THE ORGANIZATION IS LOCATED IN TRENTON, MERCER COUNTY, NEW JERSEY. THE ORGANIZATION PROVIDES MANAGERIAL ADMINISTRATION AND SUPPORT. CAPITAL HEALTH SYSTEM CONDOMINIUM ASSOCIATION, INC. A FOR-PROFIT ENTITY WHOSE SOLE SHAREHOLDER IS CAPITAL HEALTH SYSTEM, INC. THE ORGANIZATION IS LOCATED IN TRENTON, MERCER COUNTY, NEW JERSEY. THIS ENTITY IS A HOMEOWNERS ASSOCIATION. CAPITAL REGION INSURANCE COMPANY A CONTROLLED FOREIGN CORPORATION OF CAPITAL HEALTH SYSTEM, INC. THE ORGANIZATION WAS FORMED AND OPERATES SOLELY IN CAYMAN ISLANDS. MERCER HOLDING CORPORATION A FOR-PROFIT ENTITY WHOSE SOLE SHAREHOLDER IS CAPITAL HEALTH SYSTEM, INC. THIS ENTITY IS THE SOLE OWNER OF ALL THE OUTSTANDING COMMON STOCK OF BELLEVUE AVENUE MANAGEMENT, INC. AND IS INVOLVED IN VARIOUS ANCILLARY HEALTHCARE RELATED ACTIVITIES. STROKE AND CEREBROVASCULAR CENTER OF NEW JERSEY, P.C. A FOR-PROFIT ENTITY WHOSE SOLE SHAREHOLDER IS CAPITAL HEALTH SYSTEM, INC. THE ORGANIZATION IS LOCATED IN TRENTON, MERCER COUNTY, NEW JERSEY. THIS ENTITY PROVIDES MEDICAL SERVICES TO INDIVIDUALS. SCHEDULE H, PART VI; QUESTION 7 NOT APPLICABLE. THE ENTITY AND RELATED PROVIDER ORGANIZATIONS ARE LOCATED IN NEW JERSEY. THE STATE OF NEW JERSEY DOES NOT REQUIRE HOSPITALS TO ANNUALLY FILE A COMMUNITY BENEFIT REPORT WITH THE STATE OF NEW JERSEY. SCHEDULE H, PART VI; QUESTION 8 THE ORGANIZATION HAS TWO HOSPITAL FACILITIES INCLUDED IN ONE FACILITY REPORTING GROUP. THESE INCLUDE CAPITAL HEALTH MEDICAL CENTER - HOPEWELL AND CAPITAL HEALTH REGIONAL MEDICAL CENTER, AS REFLECTED IN SCHEDULE H, PART V, SECTION A. PLEASE REFER TO OUR RESPONSES IN SCHEDULE H, PART VI, QUESTION 1 ABOVE. X X X X X true true false true false false false true false LOUIS F DAMELIO MD TRUSTEE 836025 0 7500 0 1311 0 3051 0 21646 0 869533 0 0 0 AL MAGHAZEHE PHD FACHE TRUSTEE - PRESIDENT/CEO 1005297 0 441827 0 29023 0 463376 0 17517 0 1957040 0 0 0 SHANE F FLEMING CPA CHIEF FINANCIAL OFFICER 305266 0 29063 0 2357 0 15893 0 22686 0 375265 0 0 0 EUGENE W GROCHALA CHIEF INFORMATION OFFICER 391953 0 15076 0 22656 0 67619 0 3616 0 500920 0 0 0 STEPHEN A MILLER JD CHIEF COMPLIANCE OFFICER 201317 0 15076 0 1962 0 8654 0 20049 0 247058 0 0 0 LARRY DISANTO EXECUTIVE VICE PRESIDENT/COO 565389 0 217060 0 21702 0 318820 0 18517 0 1141488 0 0 0 ALEXANDER D GLADNEY ESQ GENERAL COUNSEL 249063 0 24295 0 50622 0 0 0 7863 0 331843 0 0 0 JOSHUA A EISENBERG MD CHIEF MEDICAL OFFICER 591611 0 0 0 1917 0 2126 0 24116 0 619770 0 0 0 MARGARET SULLIVAN VP, QUALITY RESOURCE MGMT. 138025 0 268238 0 139333 0 473 0 16848 0 562917 0 0 0 ROBERT REMSTEIN DO VP, ACCOUNTABLE CARE 385221 0 29261 0 4071 0 17735 0 9999 0 446287 0 0 0 GREGORY N DADAMO VP,SUPPORT & PROFESSIONAL SVCS 265775 0 79501 0 3349 0 56556 0 2263 0 407444 0 0 0 J SCOTT CLEMMENSEN VP, HUMAN RESOURCES 245749 0 79950 0 22066 0 57224 0 18122 0 423111 0 0 0 EILEEN M HORTON VP, PATIENT SERVICES/CNO 317802 0 23101 0 2938 0 14331 0 18543 0 376715 0 0 0 NATHAN BOSK FACHE VP, AMBULATORY SERVICES 296992 0 23322 0 19765 0 14409 0 20037 0 374525 0 0 0 DENNIS DOOLEY VP, PLANNING/VP, COMM & GOV'T 232621 0 70033 0 3997 0 50339 0 20569 0 377559 0 0 0 ARLENE WALSH VP, TRANSFORMATION 217024 0 15076 0 2114 0 8899 0 20398 0 263511 0 0 0 ARLAN H MINTZ MD PHYSICIAN 894933 0 164923 0 2916 0 0 0 17349 0 1080121 0 0 0 LEE M BUONO MD PHYSICIAN 897228 0 0 0 270 0 2112 0 15537 0 915147 0 0 0 STEVEN A JOHNSON MD PHYSICIAN 598224 0 114167 0 1890 0 0 0 25422 0 739703 0 0 0 GARY A TUMA MD PHYSICIAN 608603 0 0 0 1959 0 0 0 21393 0 631955 0 0 0 JOSEPH E SHERRILL II MD PHYSICIAN 545962 0 0 0 391 0 0 0 11662 0 558015 0 0 0 RONALD J GUY FORMER CFO 0 0 0 0 626036 0 0 0 7594 0 633630 0 0 0 JAN GABIN ESQ FORMER GENERAL COUNSEL 0 0 0 0 307461 0 0 0 16996 0 324457 0 0 0 LINDA DITE FORMER VP, CLINICAL SERVICES 27237 0 0 0 206367 0 0 0 13852 0 247456 0 0 0 SCHEDULE J, PART I; QUESTION 3 THE ORGANIZATION'S BOARD OF TRUSTEES HAS A BOARD COMPENSATION COMMITTEE ("COMMITTEE"). THE COMMITTEE HAS ADOPTED A WRITTEN EXECUTIVE COMPENSATION PHILOSOPHY WHICH IT FOLLOWS WHEN IT REVIEWS AND APPROVES OF THE COMPENSATION AND BENEFITS OF ALL OF THE ORGANIZATION'S SENIOR MANAGEMENT AND OTHERS, INCLUDING THE CHIEF EXECUTIVE OFFICER, CHIEF FINANCIAL OFFICER AND OTHER OFFICERS OF THE ORGANIZATION, PHYSICIANS, AND ANY OTHER DISINTERESTED PERSONS. IT ALSO REVIEWS AND APPROVES EMPLOYMENT AGREEMENTS FOR THE COVERED EMPLOYEES AND DISINTERESTED PERSONS. THE COMMITTEE REVIEWS THE "TOTAL COMPENSATION" OF THE INDIVIDUALS WHICH IS INTENDED TO INCLUDE BOTH CURRENT AND DEFERRED COMPENSATION AND ALL EMPLOYEE BENEFITS, BOTH QUALIFIED AND NON-QUALIFIED. THE COMMITTEE'S REVIEW IS DONE ON AT LEAST AN ANNUAL BASIS AND ENSURES THAT THE "TOTAL COMPENSATION" OF SENIOR MANAGEMENT OF THE ORGANIZATION IS REASONABLE. THE ACTIONS TAKEN BY THE COMMITTEE ENABLE THE ORGANIZATION TO RECEIVE THE REBUTTABLE PRESUMPTION OF REASONABLENESS FOR PURPOSES OF INTERNAL REVENUE CODE SECTION 4958 WITH RESPECT TO THE TOTAL COMPENSATION OF THE SENIOR MANAGEMENT TEAM. REBUTTAL PRESUMPTION REQUIREMENTS HAVE GUIDED THE ACTIVITIES OF THE COMMITTEE IN ALL OF ITS REVIEWS, DELIBERATIONS AND APPROVAL OF EXECUTIVE COMPENSATION ACTIONS FOR ALL OF THE COVERED EMPLOYEES AND DISINTERESTED PERSONS. THE THREE FACTORS WHICH MUST BE SATISFIED IN ORDER TO RECEIVE THE REBUTTABLE PRESUMPTION OF REASONABLENESS ARE THE FOLLOWING: 1. THE COMPENSATION ARRANGEMENT IS APPROVED IN ADVANCE BY AN "AUTHORIZED BODY" OF THE APPLICABLE TAX-EXEMPT ORGANIZATION WHICH IS COMPOSED ENTIRELY OF INDIVIDUALS WHO DO NOT HAVE A "CONFLICT OF INTEREST" WITH RESPECT TO THE COMPENSATION ARRANGEMENT; 2. THE AUTHORIZED BODY OBTAINED AND RELIED UPON "APPROPRIATE DATA AS TO COMPARABILITY" PRIOR TO MAKING ITS DETERMINATION; AND 3. THE AUTHORIZED BODY "ADEQUATELY DOCUMENTED THE BASIS FOR ITS DETERMINATION" CONCURRENTLY WITH MAKING THAT DETERMINATION. THE COMMITTEE IS COMPRISED OF MEMBERS OF THE BOARD OF TRUSTEES EACH OF WHO ARE INDEPENDENT AND ARE FREE FROM ANY CONFLICTS OF INTEREST. THE COMMITTEE RELIED UPON DATA FROM COMPARABLE HEALTHCARE AND HOSPITAL PEERS IN NEW JERSEY AS WELL AS NEIGHBORING STATES BASED ON APPROPRIATE REVENUE, SERVICES, AND OVERALL FINANCIAL PERFORMANCE. IN ADDITION, SPECIFIC SALARY SURVEYS COVERING SIMILAR, REPRESENTATIVE HOSPITAL COMPENSATION DATA WAS USED. ALL DATA WAS WEIGHTED IN ARRIVING AT MARKET CONSENSUS FOR COVERED EMPLOYEE POSITIONS, IN ORDER TO ACCURATELY REFLECT THE RELEVANT LABOR MARKET. CONTEMPORANEOUS MINUTES ARE COMPILED AND APPROVED OF ALL COMMITTEE DELIBERATIONS. THESE ARE SUPPORTED BY THE WRITTEN DOCUMENTATION COVERING ALL COMPENSATION STUDIES AND PLAN DOCUMENTS, AS WELL AS DETAILED PERFORMANCE JUSTIFICATION USED AS THE BASIS FOR AWARDING OF ALL INCENTIVE PROGRAMS. REBUTTAL PRESUMPTION ACTIVITIES OF THE COMMITTEE COVER ALL MEMBERS OF SENIOR MANAGEMENT, AS WELL AS THE COMPENSATION AND CONTRACTS COVERING PHYSICIANS AND OTHER DISINTERESTED PERSONS, ALL OF WHICH ARE SUBJECT TO THE REVIEW AND APPROVAL OF THE COMMITTEE. RECOGNIZING THE NEED TO CONSIDER RETIREMENT PLANNING FOR ITS SENIOR MANAGEMENT AS A MEANS TO AID IN THEIR RETENTION, THE COMMITTEE UNDERTOOK AN EXTENSIVE RESEARCH AND ANALYSIS OF ALTERNATIVE PROGRAMS, AND CREATED AND APPROVED A FORM OF LONG-TERM NON-QUALIFIED DEFERRED COMPENSATION (REFERRED TO AS THE "PERFORMANCE-BASED CAPITAL ACCUMULATION PLAN", OR "PBCAP"). THIS PLAN ALSO PROVIDES THE ORGANIZATION WITH AN ADDITIONAL TOOL TO ASSIST IN THE RECRUITING OF SENIOR MANAGEMENT WITHIN THE HIGHLY COMPETITIVE HEALTHCARE LABOR MARKET. THE PLAN PROVIDES SENIOR MANAGEMENT WITH THE OPPORTUNITY TO QUALIFY FOR ANNUAL DEFERRED CONTRIBUTIONS TO BE PAID AT RETIREMENT, BASED ON ACHIEVING SPECIFIED FINANCIAL PERFORMANCE TARGETS AND MEETING ESTABLISHED CIRCUIT BEAKERS. THIS PLAN COMPLIES WITH AND ADHERES TO ALL RELATED REGULATIONS, WITH AN EMPHASIS ON IRC SECTIONS 409A AND 457(F). THE COMPENSATION AND BENEFITS OF CERTAIN OTHER INDIVIDUALS CONTAINED IN THIS FORM 990 ARE REVIEWED ANNUALLY BY THE PRESIDENT/CHIEF EXECUTIVE OFFICER WITH ASSISTANCE FROM ORGANIZATION'S HUMAN RESOURCES DEPARTMENT IN CONJUNCTION WITH THE INDIVIDUAL'S JOB PERFORMANCE DURING THE YEAR AND IS BASED UPON OTHER OBJECTIVE FACTORS DESIGNED TO ENSURE THAT REASONABLE AND FAIR MARKET VALUE COMPENSATION IS PAID BY THE ORGANIZATION. OTHER OBJECTIVE FACTORS INCLUDE MARKET SURVEY DATA FOR COMPARABLE POSITIONS, INDIVIDUAL GOALS AND OBJECTIVES, PERSONNEL REVIEWS, EVALUATIONS, SELF-EVALUATIONS AND PERFORMANCE FEEDBACK MEETINGS. SCHEDULE J, PART I; QUESTION 4A THE FOLLOWING INDIVIDUALS RECEIVED A SEVERANCE PAYMENT DURING CALENDAR YEAR 2013 WHICH WAS INCLUDED IN EACH INDIVIDUAL'S 2013 FORM W-2, BOX 5 AS TAXABLE MEDICARE WAGES: MARGARET SULLIVAN, $127,664; RONALD J. GUY, $626,036; JAN GABIN, ESQ., $307,461 AND LINDA DITE, $206,367; SCHEDULE J, PART I; QUESTION 4B THE DEFERRED COMPENSATION AMOUNT IN COLUMN C FOR THE FOLLOWING INDIVIDUALS INCLUDES UNVESTED BENEFITS IN AN INTERNAL REVENUE CODE SECTION 457(F) PLAN (NON-QUALIFIED DEFERRED COMPENSATION PLAN) WHICH ARE SUBJECT TO A SUBSTANTIAL RISK OF COMPLETE FORFEITURE. ACCORDINGLY, THE INDIVIDUALS MAY NEVER ACTUALLY RECEIVE THIS UNVESTED BENEFIT AMOUNT. THE AMOUNTS OUTLINED HEREIN WERE NOT INCLUDED IN THESE INDIVIDUAL'S 2013 FORM W-2, BOX 5 AS TAXABLE MEDICARE WAGES: AL MAGHAZEHE, PH.D., FACHE, $456,551; SHANE F. FLEMING, CPA, $13,950; EUGENE W. GROCHALA, $64,878; STEPHEN A. MILLER, J.D., $8,310; LARRY DISANTO, $312,286; ROBERT REMSTEIN, D.O., $15,606; GREGORY N. D'ADAMO, $53,001; J. SCOTT CLEMMENSEN, $53,300; EILEEN M. HORTON, $12,320; NATHAN BOSK, FACHE, $12,439; DENNIS DOOLEY, $46,689 AND ARLENE WALSH, $8,041. SCHEDULE J, PART I; QUESTION 5A CERTAIN INDIVIDUALS INCLUDED IN SCHEDULE J, PART II RECEIVED INCENTIVE COMPENSATION PAYMENTS DURING CALENDAR YEAR 2013 WHICH INCENTIVE COMPENSATION PAYMENTS WERE INCLUDED IN COLUMN B (II) HEREIN AND IN EACH INDIVIDUAL'S 2013 FORM W-2, BOX 5, AS TAXABLE MEDICARE WAGES. THESE INCENTIVE COMPENSATION PAYMENTS WERE BASED UPON A NUMBER OF FACTORS INCLUDING PRODUCTIVITY, PERFORMANCE AND REVENUES COLLECTED BY THE ORGANIZATION FOR PROFESSIONAL PHYSICIAN SERVICES RENDERED BY THESE INDIVIDUALS. PLEASE REFER TO THIS SECTION OF THE FORM 990, SCHEDULE J FOR THIS INFORMATION BY PERSON BY AMOUNT. SCHEDULE J, PART I; QUESTION 7 CERTAIN INDIVIDUALS INCLUDED IN SCHEDULE J, PART II RECEIVED INCENTIVE AWARDS DURING CALENDAR YEAR 2013 WHICH INCENTIVE AWARDS WERE INCLUDED IN COLUMN B (II) HEREIN AND IN EACH INDIVIDUAL'S 2013 FORM W-2, BOX 5, AS TAXABLE MEDICARE WAGES. THESE INCENTIVE AWARDS WERE GIVEN PURSUANT TO THE ORGANIZATION'S 2013 INCENTIVE COMPENSATION PLAN ("ICP"), APPROVED BY THE BOARD COMPENSATION COMMITTEE, BASED ON ACHIEVEMENT OF PRE-ESTABLISHED SYSTEM-WIDE AND BUSINESS UNIT PERFORMANCE CRITERIA AND METRICS, AS WELL AS MEETING OR EXCEEDING SPECIFIC PERFORMANCE ON "CIRCUIT BREAKERS". THE ICP IS AN EXTREMELY ROBUST INCENTIVE PLAN AND IS AN INTEGRAL COMPONENT OF CAPITAL'S EXECUTIVE COMPENSATION PACKAGE. THE BOARD COMPENSATION COMMITTEE USES THE ICP AS A MECHANISM TO REWARD PERFORMANCE AGAINST ESTABLISHED KEY PERFORMANCE REQUIREMENTS, WHILE MAINTAINING APPROPRIATE SAFEGUARDS. THE GOALS COVER FINANCIAL AND OPERATIONAL METRICS AND ARE DEFINED EACH YEAR, BASED ON THE DESIRED CONCENTRATION REQUIRED BY THE COMMITTEE. THE COMMITTEE UNDERTAKES A QUARTERLY REVIEW OF PERFORMANCE TOWARDS ACHIEVEMENT OF EACH GOAL, WHICH ALLOWS THE BOARD TO MAINTAIN COMPLETE KNOWLEDGE OF HOW KEY PROJECTS ARE BEING HANDLED AND TO MAKE ADJUSTMENTS, IF NECESSARY. PLEASE REFER TO THIS SECTION OF THE FORM 990, SCHEDULE J FOR THIS INFORMATION BY PERSON BY AMOUNT. ALEXANDER GLADNEY ESQ OFFICER RETENTION X 190000 95000 false true true SHANE F FLEMING CPA OFFICER RETENTION X 350000 350000 false true true 445000 MERCER MEDICAL ASSOCIATES PA TRUSTEE, SUDHAKAR 209167 MEDICAL SERVICES false WILLIS OF NEW YORK INC TRUSTEE, FAM MEMBER CO. 1096343 INSURANCE SERVICES false RONA H REMSTEIN SPOUSE OF OFFICER 117519 EMPLOYEE false BAHRAM MAGHAZEHE BROTHER OF TRUSTEE/OFF. 87642 EMPLOYEE false KATHLEEN M SULLIVAN DAUGHTER OF OFFICER 58637 EMPLOYEE false PEDIATRIX MEDICAL GROUP PA TRUSTEE, AXELROD 500000 MEDICAL SERVICES false SCHEDULE L, PART IV SAMUEL J. PLUMERI, JR. IS A TRUSTEE OF THE ORGANIZATION. THE ORGANIZATION UTILIZED THE SERVICES OF HIS FAMILY MEMBER'S COMPANY, WILLIS OF NEW YORK, INC., DURING 2013. TOTAL FEES PAID TO WILLIS OF NEW YORK, INC. IN 2013 WERE $1,096,343. SERVICES WERE RENDERED AT FAIR MARKET VALUE RATES PURSUANT TO ARM'S LENGTH NEGOTIATIONS. TELECHERY SUDHAKAR, M.D. IS A TRUSTEE OF THE ORGANIZATION. THE ORGANIZATION UTILIZED THE SERVICES OF HIS COMPANY, MERCER MEDICAL ASSOCIATES, P.A., DURING 2013. TOTAL FEES PAID TO MERCER MEDICAL ASSOCIATES, P.A. IN 2013 WERE $209,167. SERVICES WERE RENDERED AT FAIR MARKET VALUE RATES PURSUANT TO ARM'S LENGTH NEGOTIATIONS. RANDI A. AXELROD, M.D. IS A TRUSTEE OF THE ORGANIZATION. THE ORGANIZATION UTILIZED THE SERVICES OF HIS COMPANY, PEDIATRIX MEDICAL GROUP, P.A., DURING 2013. TOTAL FEES PAID TO PEDIATRIX MEDICAL GROUP, P.A. IN 2013 WERE $500,000. SERVICES WERE RENDERED AT FAIR MARKET VALUE RATES PURSUANT TO ARM'S LENGTH NEGOTIATIONS. CORE FORM, PART III; STATEMENT OF PROGRAM SERVICE ACCOMPLISHMENTS BACKGROUND ========== CAPITAL HEALTH SYSTEM, INC. ("CAPITAL HEALTH") OPERATES A MULTI-HOSPITAL HEALTHCARE SYSTEM WHICH PROVIDES SUBSTANTIAL COMMUNITY BENEFIT THROUGH THE PROVISION OF A COMPREHENSIVE SPECTRUM OF HEALTHCARE SERVICES TO THE RESIDENTS OF NEW JERSEY AND SURROUNDING COMMUNITIES. CAPITAL HEALTH IS RECOGNIZED BY THE IRS AS AN INTERNAL REVENUE CODE SECTION 501(C)(3) TAX-EXEMPT ORGANIZATION. PURSUANT TO ITS CHARITABLE PURPOSES, CAPITAL HEALTH PROVIDES MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS IN A NON-DISCRIMINATORY MANNER REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGIN OR ABILITY TO PAY. MOREOVER, THE HOSPITALS OPERATE CONSISTENTLY WITH THE FOLLOWING CRITERIA OUTLINED IN IRS REVENUE RULING 69-545: 1) CAPITAL HEALTH PROVIDES MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUAL'S REGARDLESS OF ABILITY TO PAY; 2) CAPITAL HEALTH OPERATES EMERGENCY DEPARTMENTS AT BOTH OF ITS HOSPITAL CAMPUSES; REGIONAL AND HOPEWELL; WHICH ARE OPEN 24 HOURS A DAY, 7 DAYS A WEEK, 365 DAYS PER YEAR; 3) CAPITAL HEALTH MAINTAINS AN OPEN MEDICAL STAFF, WITH PRIVILEGES AVAILABLE TO ALL QUALIFIED PHYSICIANS; 4) CONTROL OF CAPITAL HEALTH RESTS WITH ITS BOARD OF DIRECTORS; WHICH IS COMPRISED OF INDEPENDENT CIVIC LEADERS AND OTHER PROMINENT MEMBERS OF THE COMMUNITY; AND 5) SURPLUS FUNDS ARE USED TO IMPROVE THE QUALITY OF PATIENT CARE, EXPAND AND RENOVATE FACILITIES AND ADVANCE MEDICAL CARE, PROGRAMS AND ACTIVITIES. WITH OVER A CENTURY OF SERVICE TO THE GREATER MERCER AND BUCKS COUNTY AREAS, CAPITAL HEALTH IS COMPRISED OF 494 BEDS, EMPLOYS APPROXIMATELY 4,500 INDIVIDUALS, AND GENERATES OVER 563 MILLION DOLLARS IN ANNUAL NET PATIENT SERVICE REVENUE. CAPITAL HEALTH REGIONAL MEDICAL CENTER AND CAPITAL HEALTH MEDICAL CENTER - HOPEWELL ARE SEPARATELY LICENSED ACUTE CARE HOSPITALS WITH 271 AND 223 BEDS; RESPECTIVELY. CAPITAL HEALTH ALSO OPERATES A NEW KIND OF HEALTHCARE CENTER THAT PUTS FAMILY PHYSICIANS AND SPECIALISTS, STATE-OF-THE-ART TECHNOLOGIES, AND SAME-DAY SURGICAL SERVICES ALL IN ONE LOCATION. CAPITAL HEALTH IN HAMILTON, LOCATED AT 1445 WHITEHORSE-MERCERVILLE ROAD, AND SPANNING 46,293 SQUARE FEET, CREATES A "MEDICAL MALL" WHERE PATIENTS CAN SEEK A HOST OF SERVICES SUCH AS OUTPATIENT SURGERY, RADIOLOGICAL TESTING AND SPECIALIZED CARE. THE FAMILY HEALTH CENTER AT CAPITAL HEALTH IS LOCATED AT 433 BELLEVUE AVENUE IN TRENTON. THE 14,000 SQUARE FOOT LOCATION HELPS TO REDUCE PATIENT WAIT TIME AND EXPEDITE THE REGISTRATION PROCESS. THE HENRY J. AUSTIN HEALTH CENTER-BELLEVUE LOCATED AT THE FAMILY HEALTH CENTER ALSO PROVIDES COMPREHENSIVE PRIMARY CARE FOR FAMILIES, INCLUDING EVALUATIONS AND SAME-DAY SICK APPOINTMENTS FOR ADULTS AND CHILDREN, AND PATIENTS HAVE ACCESS TO LOWER COST PRESCRIPTIONS, SOCIAL SERVICE AND PATIENT NAVIGATION. CAPITAL HEALTH IS GUIDED BY ITS DEDICATION TO THE HEALTHCARE NEEDS OF THE COMMUNITIES THAT IT SERVES. THAT LEVEL OF DETERMINATION AND COMMITMENT IS THE VERY SOUL OF CAPITAL HEALTH. CAPITAL HEALTH PROVIDES HEALTHCARE SERVICES TO ALL PERSONS IN A NON-DISCRIMINATORY MANNER, REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGINS OR ABILITY TO PAY. MOREOVER, CAPITAL HEALTH PROVIDES HEALTHCARE SERVICES TO PATIENTS WHO MEET CERTAIN CRITERIA UNDER ITS CHARITY CARE POLICY, AS DEFINED BY THE NEW JERSEY STATE ATTORNEY GENERAL, WITHOUT CHARGE OR AT AMOUNTS LESS THAN ESTABLISHED RATES. CAPITAL HEALTH MAINTAINS RECORDS TO IDENTIFY AND MONITOR THE AMOUNT OF CHARITY CARE IT PROVIDES. THESE RECORDS INCLUDE THE AMOUNT OF CHARGES FOREGONE FOR SERVICES AND SUPPLIES FURNISHED UNDER ITS CHARITY CARE POLICY. MISSION STATEMENT ================= CAPITAL HEALTH IS COMMITTED TO PROVIDING COMPREHENSIVE, QUALITY HEALTHCARE SERVICES, WHICH IMPROVE AND SUSTAIN THE HEALTH STATUS OF THE RESIDENTS PRIMARILY IN CENTRAL NEW JERSEY AND LOWER BUCKS COUNTY, PENNSYLVANIA. CAPITAL HEALTH ASSURES ACCESSIBLE, COMPASSIONATE HEALTHCARE SERVICES THAT HONOR THE DIGNITY OF EVERY PERSON. CAPITAL HEALTH WILL BE A LEADER IN DEFINING THE COMMUNITY'S HEALTHCARE NEEDS, IN PROVIDING APPROPRIATE SOLUTIONS, AND DEVELOPING A COMPREHENSIVE CONTINUUM OF CARE INCLUDING EDUCATION, PREVENTION, DISEASE MANAGEMENT AND RESTORATIVE PROGRAMS. AWARDS AND RECOGNITION ====================== CAPITAL HEALTH HAS RECENTLY RECEIVED THE FOLLOWING AWARDS AND RECOGNITIONS: - JOINT COMMISSION ADVANCED CERTIFICATION FOR COMPREHENSIVE STROKE CENTER - JOINT COMMISSION DISEASE SPECIFIC CERTIFICATION FOR HIV/AIDS - JOINT COMMISSION DISEASE SPECIFIC CERTIFICATION FOR STROKE - JOINT COMMISSION DISEASE SPECIFIC CERTIFICATION FOR RESPIRATORY DISTRESS IN PRETERM INFANTS MAGNET RE-DESIGNATION --------------------- THE AMERICAN NURSES CREDENTIALING CENTER (ANCC) HAS RECOGNIZED CAPITAL HEALTH'S EXEMPLARY NURSING LEADERSHIP AND QUALITY PATIENT CARE BY AWARDING ITS MAGNET RECOGNITION FOR EXCELLENCE IN NURSING SERVICE. MAGNET STATUS IS THE HIGHEST LEVEL OF RECOGNITION THE ANCC CAN EXTEND TO A HEALTHCARE ORGANIZATION. 2013 AWARDS AND ACCREDITATIONS ------------------------------ - CAPITAL HEALTH MEDICAL CENTER-HOPEWELL WAS NAMED A 2012 TOP PERFORMER ON KEY QUALITY MEASURES BY THE JOINT COMMISSION FOR EXEMPLARY PERFORMANCE IN USING EVIDENCE-BASED PROCESSES TO IMPROVE CARE FOR STROKE, HEART ATTACK, HEART FAILURE AND SURGICAL CARE. - ONE OF ONLY TWO HOSPITALS IN THE COUNTRY RECERTIFIED WITH DISEASE-SPECIFIC CARE CERTIFICATION IN RESPIRATORY DISTRESS SYNDROME IN PRETERM INFANTS FROM THE JOINT COMMISSION. - OUR MARJORIE G. ERNEST JOINT REPLACEMENT CENTER OF EXCELLENCE AT CAPITAL HEALTH MEDICAL CENTER-HOPEWELL RECEIVED DISEASE-SPECIFIC CARE CERTIFICATION FOR TOTAL JOINT HIP REPLACEMENT FROM THE JOINT COMMISSION. - CAPITAL HEALTH REGIONAL MEDICAL CENTER WAS ONE OF THE FIRST TWO HOSPITALS IN NEW JERSEY TO RECEIVE ADVANCED CERTIFICATION AS A COMPREHENSIVE STROKE CENTER FROM THE JOINT COMMISSION. - THE BRISTOL-MYERS SQUIBB TRAUMA CENTER AT CAPITAL HEALTH REGIONAL MEDICAL CENTER WAS REVERIFIED AS A LEVEL II TRAUMA CENTER BY THE COMMITTEE ON TRAUMA (COT) OF THE AMERICAN COLLEGE OF SURGEONS (ACS). - COMPREHENSIVE CENTER FOR BREAST CARE WAS ACCREDITED BY THE NATIONAL ACCREDITATION PROGRAM FOR BREAST CENTERS. - CHEST PAIN CENTER ACCREDITATION FROM THE SOCIETY OF CARDIOVASCULAR PATIENT CARE (SCPC). JOINT COMMISSION'S GOLD SEAL OF APPROVAL ---------------------------------------- THE JOINT COMMISSION IS AN INDEPENDENT, NOT-FOR-PROFIT, NATIONAL BODY THAT OVERSEES THE SAFETY AND QUALITY OF HEALTHCARE AND OTHER SERVICES PROVIDED IN ACCREDITED ORGANIZATIONS. BY AWARDING CAPITAL HEALTH THEIR GOLD SEAL OF APPROVAL, THE JOINT COMMISSION CONFIRMED THAT CAPITAL HEALTH IMPROVED THE ACCURACY OF PATIENT IDENTIFICATION, IMPROVED THE EFFECTIVENESS OF COMMUNICATION AMONG CAREGIVERS, AND IMPROVED THE SAFETY OF USING MEDICATIONS. IN ADDITION, THE JOINT COMMISSION CONFIRMED THAT CAPITAL HEALTH REDUCED THE RISK OF HEALTHCARE-ASSOCIATED INFECTIONS, ACCURATELY AND COMPLETELY RECONCILE MEDICATIONS ACROSS THE CONTINUUM OF CARE, REDUCED THE RISK OF PATIENT HARM RESULTING FROM FALLS, ENCOURAGED PATIENTS' ACTIVE INVOLVEMENT IN THEIR OWN CARE AS A PATIENT SAFETY STRATEGY, AND CAPITAL HEALTH IDENTIFIED SAFETY RISKS INHERENT IN THE PATIENT POPULATION. STATEMENT FOR COMMUNITY HEALTH IMPROVEMENT & BENEFITS ===================================================== TO PROMOTE WELLNESS, PREVENT ILLNESS, AND REMOVE BARRIERS THAT HINDER ACCESS TO HEALTHCARE BY WORKING HAND-IN-HAND WITH THE COMMUNITIES SERVED. PRINCIPLES ---------- - CAPITAL HEALTH BELIEVES THAT COMMUNITY HEALTH IMPROVEMENT IS ESSENTIAL TO THE CAPITAL HEALTH MISSION. - CAPITAL HEALTH BELIEVES COMMUNITY-BASED COALITIONS ARE UNIQUELY QUALIFIED TO ACHIEVE COMMUNITY HEALTH GOALS, AND CAPITAL HEALTH VALUES PARTNERSHIPS WITH THEM. - CAPITAL HEALTH VALUES EVIDENCE-BASED PRACTICES AND SEEKS TO MODEL EXCELLENCE IN COMMUNITY HEALTH PRACTICE BASED ON EVIDENCE. - CAPITAL HEALTH BELIEVES IN APPLYING CONTINUOUS QUALITY IMPROVEMENT TO COMMUNITY HEALTH: MEASURING NEED, MATCHING RESOURCES TO NEED, MEASURING OUTCOMES, AND MAKING ADJUSTMENTS IN PROCESSES. OPERATIONAL VALUES ------------------ - INTEGRITY: ADHERES TO AN APPROPRIATE AND EFFECTIVE SET OF CORE BELIEFS INCLUDING HONESTY AND SERVING THE GREATER GOOD. DOES NOT BLAME OTHERS FOR HIS OR HER OWN MISTAKES OR MISREPRESENT HIM OR HER FOR PERSONAL GAIN OR PROTECTION. PERCEIVED BY OTHERS AS A DIRECT, TRUTHFUL INDIVIDUAL AND IS WIDELY TRUSTED, WITH THE ABILITY TO PRESENT THE TRUTH IN AN APPROPRIATE AND HELPFUL MANNER. - EXCELLENCE: PROVIDES THE MOST EFFICIENT AND EFFECTIVE WORK PROCESSES TO MEET THE NEEDS OF PATIENTS AND OTHER CUSTOMERS, WHICH LEADS TO THE HIGHEST QUALITY SERVICES. MAKES SOUND DECISIONS BASED UPON KNOWLEDGE, JUDGMENT, AND EXPERIENCE, AND IS SOUGHT OUT BY OTHERS FOR ADVICE AND SOLUTIONS TO ISSUES AND PROBLEMS. - COMPASSION: DEMONSTRATES CARING AND CONCERN FOR THE WELFARE OF OTHERS, ASSISTING WHEREVER NECESSARY. USES UNDERSTANDING AND INSIGHT WHEN DEALING WITH PATIENTS OR OTHER CUSTOMERS IN ALL ASPECTS OF CARE OR SERVICE DELIVERY. - TEAMWORK: CORE FORM, PART III; STATEMENT OF PROGRAM SERVICE ACCOMPLISHMENTS SERVICE CULTURE INITIATIVE VISION STATEMENT ------------------------------------------- - CAPITAL HEALTH COMMITS TO THE NEEDS OF THE COMMUNITY SERVED. THROUGH EXCELLENT SERVICE AND CARE, CAPITAL HEALTH ACHIEVES SUCCESSFUL PATIENT OUTCOMES. - CAPITAL HEALTH ADHERES TO A STANDARD OR POSITIVE BEHAVIOR. THIS MUST INCLUDE POSITIVE FIRST IMPRESSIONS, APPROPRIATE COMMUNICATION, PROFESSIONAL APPEARANCE AND THE REALIZATION THAT THEY ARE DEALING WITH PEOPLE'S LIVES. - CAPITAL HEALTH CREATES AN ENVIRONMENT CONDUCIVE TO POSITIVE RELATIONSHIPS. BY HAVING EFFICIENT AND EFFECTIVE SYSTEMS, CAPITAL HEALTH IMPROVES QUALITY CARE AND SERVICE DELIVERY. - CAPITAL HEALTH ACCEPTS THE CHALLENGE OF SERVICE CULTURE IMPROVEMENT AS A BUSINESS STRATEGY. IT IS NOT ONLY THE NICE THING TO DO, BUT THE RIGHT THING TO DO TO ASSURE THE GROWTH OF CAPITAL HEALTH. - CAPITAL HEALTH RECOGNIZES EXCELLENT SERVICE CULTURE PERFORMANCE. FEATURED SERVICES ================= DIABETES SERVICES ----------------- DIABETES CARE AT CAPITAL HEALTH IS AN OUTPATIENT COMPREHENSIVE REFERRAL BASED DIABETES EDUCATION PROGRAM THAT EMPOWERS PATIENTS TO TAKE CONTROL IN THE SUCCESSFUL MANAGEMENT OF THEIR DISEASE. CAPITAL HEALTH'S EDUCATION MODEL, WHERE THE PATIENT IS THE CENTRAL PLAYER, IS WIDELY RECOGNIZED AS THE BEST MODEL TO USE TO HELP THE PATIENT ACHIEVE OPTIMAL HEALTH RELATED OUTCOMES. CAPITAL HEALTH WORKS CLOSELY WITH PRIMARY CARE PHYSICIANS WHO CONTINUE TO MONITOR EACH INDIVIDUAL'S MEDICAL PROBLEMS. EMERGENCY SERVICES ------------------ THE BRISTOL-MYERS SQUIBB TRAUMA CENTER, THE LEVEL II TRAUMA CENTER AT CAPITAL HEALTH - REGIONAL MEDICAL CENTER, IS ONE OF ONLY 10 DESIGNATED TRAUMA CENTERS IN NEW JERSEY. CAPITAL HEALTH PROVIDES COMPREHENSIVE CARE FROM THE TIME OF INJURY THROUGH REHABILITATION. THE TRAUMA CENTER MEETS HIGH NATIONAL STANDARDS FOR PATIENT CARE AND TEACHING. THE TRAUMA CENTER IS A NEW JERSEY STATE DESIGNATED TRAUMA CENTER. THE DESIGNATION PROCESS INVOLVES DETAILED REGULAR INSPECTIONS BY NATIONAL AND STATE ORGANIZATIONS TO ASSURE HIGH STANDARDS OF CARE. CAPITAL HEALTH IS THE REGIONAL REFERRAL CENTER FOR INJURED PATIENTS IN MERCER COUNTY AND ADJACENT PARTS OF SOMERSET, HUNTERDON, BURLINGTON, AND MIDDLESEX COUNTIES AS WELL AS NEARBY AREAS OF PENNSYLVANIA. DESIGNATED TRAUMA CENTERS CARE FOR SEVERELY INJURED PATIENTS AS WELL AS VICTIMS OF ACCIDENT TYPES KNOWN TO BE ASSOCIATED WITH A HIGH RISK FOR INJURY. TRAUMA PATIENTS INCLUDE PERSONS INVOLVED IN MOTOR VEHICLE CRASHES, FALLS, AND ASSAULTS WITH KNIVES, GUNS, OR BLUNT OBJECTS. TRAUMA CENTERS HAVE THE LATEST TECHNOLOGY AND EXPERIENCED STAFF AVAILABLE TO CARE FOR YOUR FAMILY MEMBER. BESIDES PROVIDING CARE TO THE INJURED, TRAUMA CENTERS ARE ALSO ACTIVE PARTNERS WITH THE COMMUNITY IN INJURY PREVENTION AND PUBLIC EDUCATION. MATERNITY --------- FROM ROUTINE DELIVERIES TO HIGH-RISK NEEDS, CAPITAL HEALTH'S GREAT EXPECTATIONS PROGRAM PROVIDES A FULL RANGE OF PRENATAL, OBSTETRICAL, POSTPARTUM, AND NEONATAL CARE OPTIONS TO MAKE SURE YOUR NEW FAMILY HAS THE GREATEST CHANCE FOR A HEALTHY BEGINNING. THE MATERNITY UNIT AT CAPITAL HEALTH REGIONAL MEDICAL CENTER IS MERCER COUNTY'S ONLY REGIONAL PERINATAL CENTER AND THE ONLY LEVEL III NEONATAL INTENSIVE CARE UNIT. CAPITAL HEALTH IS THE ONLY HEALTHCARE PROVIDER IN THE REGION TO HAVE IN-HOUSE COVERAGE BY OBSTETRICIANS, MIDWIVES, NEONATOLOGISTS, AND ANESTHESIOLOGISTS 24 HOURS A DAY, SEVEN DAYS A WEEK. AND, CAPITAL HEALTH WAS CHOSEN AS NEW JERSEY'S FIRST SITE TO HOUSE A MARCH OF DIMES FAMILY SUPPORT PROGRAM. THE PROGRAM PROVIDES INFORMATION AND EMOTIONAL SUPPORT TO FAMILIES OF CRITICALLY ILL NEWBORNS BEING CARED FOR IN THE NEONATAL INTENSIVE CARE UNIT. ALSO, COMPREHENSIVE CHILDBIRTH AND PARENT EDUCATION SERVICES ARE OFFERED TO HELP PREPARE INDIVIDUALS TO BE THE BEST PARENTS POSSIBLE BY TEACHING ABOUT THE PROCESS OF BIRTH AND HOW TO CARE FOR THEIR INFANTS. INSTITUTE FOR NEUROSCIENCES --------------------------- THE CAPITAL INSTITUTE FOR NEUROSCIENCES, SUPPORTED BY CAPITAL HEALTH HOSPITALS IN BOTH TRENTON AND HOPEWELL, AND WITH OUTPATIENT OFFICES IN THE MEDICAL OFFICE BUILDING ATTACHED TO CAPITAL HEALTH MEDICAL CENTER - HOPEWELL, HAS ADVANCED THE LEVEL OF CARE AVAILABLE TO PATIENTS IN THE REGION. PROVIDING COMPREHENSIVE, STATE-OF-THE-ART DIAGNOSTICS AND TREATMENTS FOR A WIDE RANGE OF MEDICAL CONDITIONS INVOLVING THE BRAIN, SPINE AND NERVOUS SYSTEM, THE INSTITUTE'S HIGHLY TRAINED PHYSICIANS INCLUDE BOARD-CERTIFIED AND FELLOWSHIP-TRAINED SPECIALISTS, AND AMONG THEM ARE FOUR OF ONLY A VERY SELECT NUMBER OF DUAL-TRAINED NEUROSURGEONS IN THE NATION. AT THE CAPITAL HEALTH INSTITUTE, PATIENTS BENEFIT FROM A MULTI-DISCIPLINARY TEAM OF SPECIALISTS WHICH CAN INCLUDE NEUROLOGISTS, NEUROSURGEONS, AND OTHER SPECIALIZED PHYSICIANS, AS WELL AS ANESTHESIOLOGISTS, PHYSICIAN ASSISTANTS, CRITICAL CARE NURSES, NURSE ANESTHETISTS, SPEECH PATHOLOGISTS, TECHNICIANS, PHYSICAL AND OCCUPATIONAL THERAPISTS, SOCIAL WORKERS, AND OTHER CRITICAL TEAM MEMBERS WHO PROVIDE AN OUTSTANDING CONTINUUM OF CARE FROM DIAGNOSIS TO TREATMENT AND RECOVERY AT CAPITAL HEALTH. THE INSTITUTE, LED BY NEUROSURGEON DR. EROLVEZNEDAROGLU, INCLUDES MANY SPECIALIZED CENTERS OF CARE INCLUDING THE STROKE AND CEREBROVASCULAR CENTER OF NJ, KNOWN AS A CENTER OF EXCELLENCE TO REFERRING PHYSICIANS AS WELL AS PATIENTS AND THEIR FAMILIES. AMONG THE CONDITIONS TREATED: - STROKE AND TRANSIENT ISCHEMIC ATTACKS - CAROTID STENOSIS - ANEURYSM - ARTERIOVENOUS MALFORMATIONS (AVMS) - CHIARI MALFORMATIONS - TRAUMATIC BRAIN INJURY - TUMORS OF THE BRAIN AND SPINE - BOTH MALIGNANT AND BENIGN AND INCLUDING SCHWANNOMAS, MENINGIOMAS, NEUROFIBROMAS, PITUITARY, PINEAL, SKULL BASE, GLIOMAS AND OTHERS - SPINAL DISEASES AND INJURIES - SUCH AS HERNIATED DISCS, SPONDYLOLISTHESIS, SPINAL COMPRESSION FRACTURES AND SPINAL VASCULAR MALFORMATIONS - DEGENERATIVE DISEASES AND SPINAL TRAUMA - NEUROLOGIC CONDITIONS INCLUDING DEMENTIA, MUSCLE AND MOVEMENT DISORDERS, NERVE DISORDERS AND HEADACHES - MOVEMENT DISORDERS, PARKINSON'S, ESSENTIAL TREMOR, ATYPICAL PARKINSON'S (MULTISYSTEM ATROHY, PROGRESSIVE SUPRANUCLEAR PALSY, AND CORTICOBASILAR DEGENERATION), DYSTONIA, ATAXIA AND SPASTICITY - PEDIATRIC NEUROLOGY, INCLUDING DEVELOPMENTAL DELAYS, AUTISM, NEUROMETABOLIC AND GENETIC DISORDERS, AND ATTENTION DEFICIT DISORDERS - ACUTE AND CHRONIC PAIN, INCLUDING PAIN FROM SPINAL STENOSIS, NERVE DISORDERS, CANCER, FIBROMYALGIA, SCIATICA, MIGRAINES, TRIGEMINAL MEURALGIA, MYOFACIAL, SHINGLES AND OTHER CONDITIONS - EPILEPSY - MOVEMENT LIMITATIONS DUE TO STROKE, ARTHRITIS, INJURY, AMPUTATION, OR OTHER CONDITIONS CENTER FOR DIGESTIVE HEALTH --------------------------- THE CAPITAL HEALTH CENTER FOR DIGESTIVE HEALTH IS ADVANCING THE LEVEL OF CARE AVAILABLE TO PATIENTS IN THE REGION BY PROVIDING COMPREHENSIVE, STATE-OF-THE-ART DIAGNOSTICS AND TREATMENTS FOR A WIDE RANGE OF MEDICAL CONDITIONS INVOLVING THE ENTIRE DIGESTIVE SYSTEM ALL IN ONE LOCATION. THE CENTER'S HIGHLY TRAINED AND SPECIALIZED PHYSICIANS UTILIZE CUTTING-EDGE TECHNOLOGY TO DELIVER OUTSTANDING CARE. THE CENTER'S MEDICAL DIRECTOR IS A FELLOWSHIP-TRAINED AND BOARD-CERTIFIED GASTROENTEROLOGIST WITH YEARS OF EXPERIENCE WHO HELPS PATIENTS AND THEIR REFERRING DOCTORS NAVIGATE THE CENTER AND ACCESS THE APPROPRIATE SPECIALIST OR SURGEON FOR THE ADVANCED TESTING OR CARE REQUIRED. THE CENTER'S MEDICAL STAFF INCLUDES THE REGION'S PRE-EMINENT MEDICAL EXPERT IN INTERVENTIONAL GASTROENTEROLOGY AND THERAPEUTIC ENDOSCOPY, WHO HAS UNMATCHED EXPERIENCE USING ADVANCED DIAGNOSTIC TECHNIQUES SUCH AS ENDOSCOPIC ULTRASOUND (EUS) AND NON-SURGICAL TREATMENTS SUCH AS ENDOSCOPIC RETROGRADE CHOLANGIOPANCREATOGRAPHY (ERCP), RADIOFREQUENCY ABLATION (BARRX), ENDOSCOPIC MUCOSAL RESECTION (EMR), AND ENTERAL STENT PLACEMENT. IF SURGERY IS AN OPTION, THE CENTER HAS DIRECT ACCESS TO A ROSTER OF HIGHLY TRAINED LAPAROSCOPIC (MINIMALLY INVASIVE) SURGEONS, INCLUDING THE AREA'S ONLY HEPATOBILIARY SURGEON WHO SPECIALIZES IN ADVANCED LAPAROSCOPIC PROCEDURES OF THE LIVER, PANCREAS, AND BILE DUCTS. CENTER FOR ONCOLOGY ------------------- CAPITAL HEALTH HAS CONSISTENTLY OFFERED PATIENTS A CLOSELY INTEGRATED TEAM OF MEDICAL, SURGICAL, RADIATION, AND ALLIED CANCER SPECIALISTS WHO USE THEIR KNOWLEDGE AND EXPERIENCE TO PROVIDE CUTTING-EDGE CANCER TREATMENT CLOSE TO HOME. WHEN ONE CHOOSES CAPITAL HEALTH FOR CANCER CARE, ONE SELECTS BOARD CERTIFIED PHYSICIANS WHO REMAIN WITH THE PATIENT FROM DIAGNOSIS THROUGH TREATMENT. WORKING TOGETHER, CAPITAL HEALTH OFFERS A COMPASSIONATE APPROACH TO ASSIST PATIENTS WITH EVERY ASPECT OF CANCER CARE, INCLUDING SCREENING, DIAGNOSIS, TREATMENT, RECOVERY, AND SURVIVORSHIP. CORE FORM, PART III; STATEMENT OF PROGRAM SERVICE ACCOMPLISHMENTS THE CAPITAL HEALTH CENTER FOR ONCOLOGY IS COMMITTED TO PROVIDING COMPREHENSIVE QUALITY ONCOLOGY HEALTHCARE SERVICES, TO HELP IMPROVE AND SUSTAIN THE HEALTH STATUS OF RESIDENTS LIVING PRIMARILY IN CENTRAL NEW JERSEY AND LOWER BUCKS COUNTY. CAPITAL HEALTH STRIVES TO IMPROVE AND EXTEND THE QUALITY OF LIFE FOR THE PATIENT WITH CANCER. THE CANCER CENTER IS A LEADER IN DEFINING THE COMMUNITY'S CANCER CARE NEEDS BY PROVIDING APPROPRIATE PLANS THROUGH A COMPREHENSIVE CONTINUUM OF CARE, WHICH INCLUDES EDUCATION, PREVENTION, SCREENING, DIAGNOSIS, TREATMENT, SYMPTOM MANAGEMENT, SUPPORTIVE CARE AND SURVIVORSHIP PROGRAMS. CAPITAL HEALTH'S SUCCESS WILL BE BUILT UPON CARE, COMPASSION, CREATIVITY, INTEGRITY, RESPECT, SERVICE, STATE-OF-THE-ART TECHNOLOGY AND MULTIDISCIPLINARY TEAMWORK. PEDIATRICS ---------- CAPITAL HEALTH MEDICAL CENTER - HOPEWELL IS HOME TO THE ONLY IN-PATIENT PEDIATRIC UNIT IN MERCER COUNTY. CAPITAL HEALTH'S PEDIATRIC EMERGENCY SERVICE IS COMPLETELY SEPARATE FROM THE ADULT EMERGENCY DEPARTMENT AND IS STAFFED BY PEDIATRIC SPECIALISTS. THE PEDIATRIC HOSPITALIST PROGRAM GIVES PEDIATRIC PATIENTS AND THEIR PHYSICIANS AROUND-THE-CLOCK ACCESS TO IN-HOUSE PEDIATRICIANS. RADIOLOGY SERVICES ------------------ CAPITAL HEALTH HAS AN ABUNDANCE OF THE MOST STATE-OF-THE-ART RADIOLOGY SERVICES IN THE REGION. AS THE REGION'S LEADER IN DIAGNOSTIC AND TREATMENT TECHNOLOGY, CAPITAL HEALTH OFFERS FULL-TIME, ONSITE PET SCAN TECHNOLOGY AND RECENTLY BECAME THE FIRST HOSPITAL IN THE COUNTRY TO OFFER A MOLECULAR BREAST IMAGING DEVICE AT CAPITAL HEALTH MEDICAL REGIONAL CENTER-HOPEWELL. FULL-SERVICE IMAGING SUITES AT ALL CAPITAL HEALTH LOCATIONS BOAST THE MOST ADVANCED EQUIPMENT AVAILABLE, INCLUDING LOW DOSE, MULTI-SLICE DUAL ENERGY CT SCANNERS AND LARGE BORE MAGNETIC RESONANCE IMAGING (MRI) MACHINES THAT FEATURES THE SHORTEST HIGH-FIELD MAGNET IN THE INDUSTRY RANGING FROM A 1.5 TO A 3.0 TESLA AND FUNCTIONAL MRI CAPABILITY. SLEEP CENTER ------------ CAPITAL HEALTH HAS BEEN PROVIDING COMPREHENSIVE EVALUATION AND TREATMENT FOR SLEEP RELATED PROBLEMS FOR MORE THAN 20 YEARS AND CAPITAL HEALTH WAS THE FIRST IN MERCER COUNTY. AT THE PRESENT TIME, CAPITAL HEALTH IS THE LARGEST FULLY ACCREDITED SLEEP CENTER IN MERCER AND BUCKS COUNTIES. BETWEEN BOTH CAMPUSES, CAPITAL HEALTH OFFERS FOURTEEN PRIVATE ROOMS DEDICATED TO SLEEP TESTING FOR PATIENTS WHO HAVE A WIDE VARIETY OF PROBLEMS RELATED TO SLEEP AND WAKEFULNESS. AS SLEEP CENTERS FULLY ACCREDITED BY THE AMERICAN ACADEMY OF SLEEP MEDICINE, CAPITAL HEALTH ENSURES THAT ALL PATIENTS TREATED AT CAPITAL HEALTH BENEFIT FROM A COMPLETE SLEEP EVALUATION AND INDIVIDUALIZED TREATMENT PLAN. DEFINITION OF COMMUNITY AND POPULATION SERVED --------------------------------------------- CAPITAL HEALTH DEFINES ITS COMMUNITY AS THE CITY OF TRENTON, MERCER COUNTY AND PARTS OF BURLINGTON, MONMOUTH, MIDDLESEX AND BUCKS COUNTIES. WHILE IT WAS ONCE A CENTER FOR INDUSTRY IN THE LATE 1800'S AND EARLY 1900'S, TRENTON HAS SEEN DRAMATIC ECONOMIC DEVELOPMENT CHALLENGES OVER THE YEARS. ACCORDING TO THE 2010 U.S. CENSUS, ITS MEDIAN HOUSEHOLD INCOME WAS $36,727, BY FAR THE LOWEST IN MERCER COUNTY. BASED ON A POPULATION OF 84,349, TRENTON ALSO HAS THE HIGHEST NUMBER AND PERCENTAGE OF MINORITIES IN MERCER COUNTY WITH A PREDOMINANTLY AFRICAN-AMERICAN POPULATION OF 43,861 RESIDENTS OR 52.0 PERCENT. HISPANICS OR LATINOS OF ANY RACE CONSTITUTED 28,425 RESIDENTS OR 33.7 PERCENT, WHILE CAUCASIANS WERE NUMBERED AT 22,436 OR 26.6 PERCENT. COMMUNITY BENEFITS PROGRAMS =========================== OUTLINED BELOW ARE A NUMBER OF CAPITAL HEALTH COMMUNITY BENEFIT PROGRAMS. THE INFORMATION IS NOT INTENDED TO BE ALL-INCLUSIVE BUT RATHER PROVIDES ADDITIONAL INFORMATION THAT FURTHER DEMONSTRATES HOW CAPITAL HEALTH BENEFITS THE SURROUNDING COMMUNITY IN FURTHERANCE OF ITS CHARITABLE TAX-EXEMPT PURPOSES. CAPITAL HEALTH CHILDBIRTH AND PARENT EDUCATION PROGRAM ------------------------------------------------------ BENEFIT ACTIVITY: PREPARED CHILDBIRTH CLASSES IN SPANISH LANGUAGE THE CHILDBIRTH AND PARENT EDUCATION PROGRAM PROVIDES, FREE OF CHARGE, A FULL-DAY PREPARED CHILDBIRTH CLASS TO SPANISH-SPEAKING EXPECTANT PARENTS FROM THEIR COMMUNITY. THE CLASS IS HELD EVERY OTHER MONTH AND IS TAUGHT BY A CAPITAL HEALTH CERTIFIED CHILDBIRTH AND PARENT EDUCATOR WHO IS FLUENT IN SPANISH. CULTURALLY APPROPRIATE METHODS AND AUDIO-VISUAL MATERIALS ARE UTILIZED IN THE TEACHING OF THIS CLASS. PARTICIPANTS RECEIVE FREE BREAKFAST AND LUNCH. PARTICIPANTS RECEIVE SPANISH LANGUAGE REFERENCE MATERIALS AND AN EXTENSIVE HANDBOOK. REFERRALS TO THIS CLASS COME FROM THE CAPITAL HEALTH, HEALTH START PRENATAL CLINIC, A COMMUNITY PARTNERSHIP WITH CUNA, AND BY WORD-OF-MOUTH. LACTATION SERVICES ------------------ IN 2012, CAPITAL HEALTH MEDICAL CENTER-HOPEWELL WAS DESIGNATED AS A BABY FRIENDLY HOSPITAL, THE SECOND HOSPITAL IN NEW JERSEY TO ATTAIN THIS STATUS. AS A BABY FRIENDLY HOSPITAL, CAPITAL HEALTH FOCUSES ON THE ENTIRE OBSTETRIC POPULATION. IN 2013, CAPITAL HEALTH DEMONSTRATED AN OVERALL 82 PERCENT BREASTFEEDING INITIATION RATE AND A 57 PERCENT AVERAGE EXCLUSIVE BREASTFEEDING RATE. EXCLUSIVITY FOR BREASTFEEDING MOTHERS ONLY WAS HIGHER AT AN AVERAGE 66 PERCENT RATE. CAPITAL HEALTH START CLINIC BREASTFEEDING RATES WERE COMPARABLE TO THE OVERALL OBSTETRIC POPULATION DUE TO ADDITIONAL EDUCATIONAL PROGRAMS AND ONE-TO-ONE SUPPORT WITH INCREASES IN SERVICES INCLUDING PRENATAL GROUP CENTERING AND COLLABORATIVE EFFORTS BETWEEN CAPITAL HEALTH AND SPECIFIC COMMUNITY ORGANIZATIONS DIRECTED TOWARD THIS VULNERABLE POPULATION. FOCUSED PROGRAMS SUCH AS CHILDREN'S FUTURE AND WOMEN'S INFANTS AND CHILDREN (WIC) HAVE BEEN INSTRUMENTAL TO ITS DEMONSTRATED SUCCESS. TRAUMA EDUCATION ---------------- THE BRISTOL-MYERS TRAUMA CENTER AT CAPITAL HEALTH REGIONAL MEDICAL CENTER OFFERS FREE INJURY PREVENTION PROGRAMS TO MEMBERS OF THE COMMUNITY THAT INCLUDE PEDESTRIAN SAFETY, BICYCLE SAFETY, SEAT BELT SAFETY, PROPER USE OF CHILD SAFETY SEATS, AND HOME SAFETY. CONNECTING WITH THE LATINO COMMUNITY ------------------------------------ ENLACE ("LINK" IN SPANISH) IS A NAME FOR AN INNOVATIVE CAPITAL HEALTH PROGRAM DESIGNED TO CREATE CONTACTS AND CONNECTIONS WITHIN THE LATINO COMMUNITY. THROUGH ENLACE, CAPITAL HEALTH PROVIDES MEDICAL INTERPRETING AND HAS TRANSLATED ALL VITAL MEDICAL DOCUMENTS AND ARE NOW DOING THE SAME WITH PATIENT EDUCATION MATERIALS. ENLACE ALSO HELPS EDUCATE THE LATINO COMMUNITY ABOUT AMERICAN CUSTOMS AND HEALTHCARE PRACTICES AND PROVIDES CAPITAL HEALTH STAFF WITH INFORMATION ABOUT LATINO CULTURES. ANOTHER PROGRAM, CUNA (WHICH IS SPANISH FOR "CRIB"), CONNECTS LATINO WOMEN WITH PRE- AND POST-NATAL CARE, AND HELPS NEW MOTHERS OVERCOME LANGUAGE BARRIERS TO BETTER UNDERSTAND HEALTH ISSUES. CUNA ALSO OFFERS HELP WITH NUTRITION, COPING SKILLS AND EVEN BABYSITTING FOR OLDER CHILDREN. COMMUNITY HEALTH EDUCATION -------------------------- CAPITAL HEALTH'S COMMUNITY HEALTH EDUCATION PROGRAM IS DEDICATED TO IMPROVING THE HEALTH AND WELL-BEING OF THE COMMUNITY, AS WELL AS TO THE PREVENTION AND EARLY DETECTION OF DISEASE AMONG PEOPLE LIVING IN OUR COMMUNITY. THESE GOALS ARE ACCOMPLISHED BY PROVIDING HEALTH EDUCATION AND OTHER RELATED SERVICES TO THE GENERAL PUBLIC, AS WELL AS TO BUSINESS ORGANIZATIONS. THESE SERVICES CONSIST OF THE SPEAKER'S BUREAU, HEALTH FAIRS/HEALTH SCREENINGS, HEALTH EDUCATION LECTURE SERIES AND SUPPORT GROUPS, HEALTH INFORMATION CENTER, WELLNESS SPA, AND A PARTNERSHIP WITH THE MERCER COUNTY TOBACCO QUIT CENTER. PROGRAMS ARE HELD IN VARIOUS LOCATIONS THROUGHOUT MERCER AND BUCKS COUNTIES, WITH TOPICS INCLUDING DIABETES EDUCATION, PERIPHERAL VASCULAR DISEASE AWARENESS, HEALTHY EATING, CANCER GENETICS, AND WOMEN'S HEALTH ISSUES. THE COMMUNITY HEALTH EDUCATION PROGRAM PROVIDES A SERIES OF DIVERSE HEALTH EDUCATION PROGRAMS, RELATED TO HEALTH MAINTENANCE, DISEASE PREVENTION, EARLY DETECTION, GENERAL WELLNESS AND PERSONAL DEVELOPMENT. A SCHEDULE OF THE PROGRAMS, SCREENINGS AND SUPPORT GROUPS MAY BE VIEWED ONLINE AT: WWW.CAPITALHEALTH.ORG/EVENTS. CORE FORM, PART III; STATEMENT OF PROGRAM SERVICE ACCOMPLISHMENTS COMMUNITY SPONSORSHIPS ---------------------- CAPITAL HEALTH IS PROUD TO SPONSOR MANY LOCAL ORGANIZATIONS IN MERCER AND BUCKS COUNTIES THROUGH IN-KIND AND MONETARY DONATIONS. CAPITAL HEALTH SUPPORTS A VARIETY OF CIVIC AND CULTURAL ORGANIZATIONS THAT WORK TO IMPROVE THE WELLBEING OF THE COMMUNITY. CONCLUSION ---------- CAPITAL HEALTH IS A NON-PROFIT ORGANIZATION THAT HAS AN "OPEN DOOR" POLICY. THIS POLICY MEANS THAT CAPITAL HEALTH PROVIDES NECESSARY BASIC HOSPITAL CARE TO EVERYONE, REGARDLESS OF THEIR ABILITY TO PAY FOR THEIR CARE. CAPITAL HEALTH IS COMMITTED TO COMMUNITY OUTREACH AND EDUCATION, OFFERING NUMEROUS HEATH CARE RELATED PROGRAMS AND ACTIVITIES, INCLUDING COMMUNITY HEALTH FAIRS, HEALTH SCREENINGS, HEALTH EDUCATION AND MEDICAL LECTURES AND SEMINARS ANNUALLY. CAPITAL HEALTH IS PROUD OF THEIR MANY PARTNERSHIPS WITH LOCAL ORGANIZATIONS. TO FURTHER SHOW HOW CAPITAL HEALTH IS COMMITTED TO BENEFITING ITS COMMUNITY, CAPITAL HEALTH, IN NOVEMBER 2011, OPENED ITS $530 MILLION 223-BED HOSPITAL IN HOPEWELL TOWNSHIP, NEW JERSEY TO REPLACE ITS EXISTING FACILITY, CAPITAL HEALTH - MERCER, IN TRENTON, NEW JERSEY. IN ADDITION, CAPITAL HEALTH REGIONAL MEDICAL CENTER IN TRENTON UNDERWENT A COMPLETE RENOVATION. CAPITAL HEALTH OBTAINED A MORTGAGE LOAN THROUGH THE FEDERAL HOUSING ADMINISTRATION WHICH ENABLED IT TO LOWER ITS COST OF CREDIT. THIS WILL ALLOW CAPITAL HEALTH TO USE MORE OF ITS RESOURCES TO SERVE THE MEDICAL NEEDS OF ITS COMMUNITY. CORE FORM, PART III; QUESTION 4D EXPENSES INCURRED IN PROVIDING VARIOUS OTHER MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS IN A NON-DISCRIMINATORY MANNER REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGIN, RELIGION OR ABILITY TO PAY. PLEASE REFER TO THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT INCLUDED IN SCHEDULE O. CORE FORM, PART VI, SECTION B; QUESTION 11B THE ORGANIZATION IS THE TAX-EXEMPT PARENT ENTITY OF CAPITAL HEALTH SYSTEM AND AFFILIATES ("SYSTEM"); A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM. THE ORGANIZATION'S FEDERAL FORM 990 WAS PROVIDED TO EACH VOTING MEMBER OF ITS GOVERNING BODY (ITS BOARD OF TRUSTEES) PRIOR TO FILING WITH THE INTERNAL REVENUE SERVICE ("IRS"). IN ADDITION THE CAPITAL HEALTH SYSTEM, INC. COMPENSATION COMMITTEE PERFORMED A DETAILED REVIEW OF THE FEDERAL FORM 990 PRIOR TO PROVIDING IT TO EACH VOTING MEMBER OF ITS BOARD OF TRUSTEES. THE CAPITAL HEALTH SYSTEM, INC. BOARD OF TRUSTEES HAS DELEGATED TO THE COMPENSATION COMMITTEE THE RESPONSIBILITY TO OVERSEE AND COORDINATE THE FEDERAL FORM 990 PREPARATION, REVIEW AND FILING PROCESS FOR THE TAX-EXEMPT AFFILIATES OF THE SYSTEM. AS PART OF THE ORGANIZATION'S FEDERAL FORM 990 TAX RETURN PREPARATION PROCESS THE ORGANIZATION HIRED A PROFESSIONAL CPA FIRM WITH EXPERIENCE AND EXPERTISE IN BOTH HEALTHCARE AND NOT-FOR-PROFIT TAX RETURN PREPARATION TO PREPARE THE FEDERAL FORM 990. THE CPA FIRM'S TAX PROFESSIONALS WORKED CLOSELY WITH THE ORGANIZATION'S GENERAL COUNSEL, CHIEF FINANCIAL OFFICER, CHIEF COMPLIANCE OFFICER AND VARIOUS OTHER INDIVIDUALS OF THE SYSTEM TO OBTAIN THE INFORMATION NEEDED IN ORDER TO PREPARE A COMPLETE AND ACCURATE TAX RETURN. THE CPA FIRM PREPARED A DRAFT FEDERAL FORM 990 AND FURNISHED IT TO THE ORGANIZATION'S INTERNAL WORKING GROUP, INCLUDING, BUT NOT LIMITED TO, THOSE INDIVIDUALS OUTLINED ABOVE, FOR THEIR REVIEW. THE ORGANIZATION'S INTERNAL WORKING GROUP AND OTHER INDIVIDUALS REVIEWED THE DRAFT FEDERAL FORM 990 AND DISCUSSED QUESTIONS AND COMMENTS WITH THE CPA FIRM. IN ADDITION, THE ORGANIZATION'S EXTERNAL INDEPENDENT COMPENSATION CONSULTING FIRM REVIEWED THE DRAFT FEDERAL FORM 990, PART VII AND SCHEDULE J. REVISIONS WERE MADE TO THE DRAFT FEDERAL FORM 990 WHERE NECESSARY AND A FINAL DRAFT WAS FURNISHED BY THE CPA FIRM TO THE ORGANIZATION'S INTERNAL WORKING GROUP AND VARIOUS OTHER INDIVIDUALS FOR FINAL REVIEW AND APPROVAL PRIOR TO PRESENTATION OF THE FEDERAL FORM 990 TO THE MEMBERS OF THE CAPITAL HEALTH SYSTEM, INC. COMPENSATION COMMITTEE. FOLLOWING THE COMPENSATION COMMITTEE'S REVIEW THE FINAL FEDERAL FORM 990 WAS PROVIDED TO EACH VOTING MEMBER OF THE ORGANIZATION'S GOVERNING BODY PRIOR TO FILING WITH THE IRS. CORE FORM, PART VI, SECTION B; QUESTION 12 THE ORGANIZATION IS THE TAX-EXEMPT PARENT ENTITY OF CAPITAL HEALTH SYSTEM AND AFFILIATES ("SYSTEM"); A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM. THE ORGANIZATION AND THE SYSTEM REGULARLY MONITOR AND ENFORCE COMPLIANCE WITH ITS CONFLICT OF INTEREST POLICY. ANNUALLY ALL MEMBERS OF THE BOARD OF TRUSTEES, OFFICERS AND SENIOR MANAGEMENT PERSONNEL ARE REQUIRED TO REVIEW THE EXISTING CONFLICT OF INTEREST POLICY AND COMPLETE A QUESTIONNAIRE. THE COMPLETED QUESTIONNAIRES ARE RETURNED TO THE ORGANIZATION AND BOTH THE SYSTEM'S GENERAL COUNSEL AND CHIEF COMPLIANCE OFFICER FOR REVIEW. THEREAFTER THE CHIEF COMPLIANCE OFFICER PREPARES A SUMMARY OF THE COMPLETED QUESTIONNAIRES WHICH CONTAINS INFORMATION DISCLOSED ON AN INDIVIDUAL BY INDIVIDUAL BASIS. THE SYSTEM'S CHIEF COMPLIANCE OFFICER THEN PRESENTS THIS SUMMARY TO THE SYSTEM'S FULL BOARD OF TRUSTEES FOR ITS REVIEW AND DISCUSSION. THIS SUMMARY IS UPDATED BY THE CHIEF COMPLIANCE OFFICER ON A QUARTERLY BASIS. CORE FORM, PART VI, SECTION B; QUESTION 15 THE ORGANIZATION'S BOARD OF TRUSTEES HAS A BOARD COMPENSATION COMMITTEE ("COMMITTEE"). THE COMMITTEE HAS ADOPTED A WRITTEN EXECUTIVE COMPENSATION PHILOSOPHY WHICH IT FOLLOWS WHEN IT REVIEWS AND APPROVES OF THE COMPENSATION AND BENEFITS OF ALL OF THE ORGANIZATION'S SENIOR MANAGEMENT AND OTHERS, INCLUDING THE CHIEF EXECUTIVE OFFICER, CHIEF FINANCIAL OFFICER AND OTHER OFFICERS OF THE ORGANIZATION, PHYSICIANS, AND ANY OTHER DISINTERESTED PERSONS. IT ALSO REVIEWS AND APPROVES EMPLOYMENT AGREEMENTS FOR THE COVERED EMPLOYEES AND DISINTERESTED PERSONS. THE COMMITTEE REVIEWS THE "TOTAL COMPENSATION" OF THE INDIVIDUALS WHICH IS INTENDED TO INCLUDE BOTH CURRENT AND DEFERRED COMPENSATION AND ALL EMPLOYEE BENEFITS, BOTH QUALIFIED AND NON-QUALIFIED. THE COMMITTEE'S REVIEW IS DONE ON AT LEAST AN ANNUAL BASIS AND ENSURES THAT THE "TOTAL COMPENSATION" OF SENIOR MANAGEMENT OF THE ORGANIZATION IS REASONABLE. THE ACTIONS TAKEN BY THE COMMITTEE ENABLE THE ORGANIZATION TO RECEIVE THE REBUTTABLE PRESUMPTION OF REASONABLENESS FOR PURPOSES OF INTERNAL REVENUE CODE SECTION 4958 WITH RESPECT TO THE TOTAL COMPENSATION OF THE SENIOR MANAGEMENT TEAM. REBUTTAL PRESUMPTION REQUIREMENTS HAVE GUIDED THE ACTIVITIES OF THE COMMITTEE IN ALL OF ITS REVIEWS, DELIBERATIONS AND APPROVAL OF EXECUTIVE COMPENSATION ACTIONS FOR ALL OF THE COVERED EMPLOYEES AND DISINTERESTED PERSONS. THE THREE FACTORS WHICH MUST BE SATISFIED IN ORDER TO RECEIVE THE REBUTTABLE PRESUMPTION OF REASONABLENESS ARE THE FOLLOWING: 1. THE COMPENSATION ARRANGEMENT IS APPROVED IN ADVANCE BY AN "AUTHORIZED BODY" OF THE APPLICABLE TAX-EXEMPT ORGANIZATION WHICH IS COMPOSED ENTIRELY OF INDIVIDUALS WHO DO NOT HAVE A "CONFLICT OF INTEREST" WITH RESPECT TO THE COMPENSATION ARRANGEMENT; 2. THE AUTHORIZED BODY OBTAINED AND RELIED UPON "APPROPRIATE DATA AS TO COMPARABILITY" PRIOR TO MAKING ITS DETERMINATION; AND 3. THE AUTHORIZED BODY "ADEQUATELY DOCUMENTED THE BASIS FOR ITS DETERMINATION" CONCURRENTLY WITH MAKING THAT DETERMINATION. THE COMMITTEE IS COMPRISED OF MEMBERS OF THE BOARD OF TRUSTEES EACH OF WHO ARE INDEPENDENT AND ARE FREE FROM ANY CONFLICTS OF INTEREST. THE COMMITTEE RELIED UPON DATA FROM COMPARABLE HEALTHCARE AND HOSPITAL PEERS IN NEW JERSEY AS WELL AS NEIGHBORING STATES BASED ON APPROPRIATE REVENUE, SERVICES, AND OVERALL FINANCIAL PERFORMANCE. IN ADDITION, SPECIFIC SALARY SURVEYS COVERING SIMILAR, REPRESENTATIVE HOSPITAL COMPENSATION DATA WAS USED. ALL DATA WAS WEIGHTED IN ARRIVING AT MARKET CONSENSUS FOR COVERED EMPLOYEE POSITIONS, IN ORDER TO ACCURATELY REFLECT THE RELEVANT LABOR MARKET. CONTEMPORANEOUS MINUTES ARE COMPILED AND APPROVED OF ALL COMMITTEE DELIBERATIONS. THESE ARE SUPPORTED BY THE WRITTEN DOCUMENTATION COVERING ALL COMPENSATION STUDIES AND PLAN DOCUMENTS, AS WELL AS DETAILED PERFORMANCE JUSTIFICATION USED AS THE BASIS FOR AWARDING OF ALL INCENTIVE PROGRAMS. REBUTTAL PRESUMPTION ACTIVITIES OF THE COMMITTEE COVER ALL MEMBERS OF SENIOR MANAGEMENT, AS WELL AS THE COMPENSATION AND CONTRACTS COVERING PHYSICIANS AND OTHER DISINTERESTED PERSONS, ALL OF WHICH ARE SUBJECT TO THE REVIEW AND APPROVAL OF THE COMMITTEE. RECOGNIZING THE NEED TO CONSIDER RETIREMENT PLANNING FOR ITS SENIOR MANAGEMENT AS A MEANS TO AID IN THEIR RETENTION, THE COMMITTEE UNDERTOOK AN EXTENSIVE RESEARCH AND ANALYSIS OF ALTERNATIVE PROGRAMS, AND CREATED AND APPROVED A FORM OF LONG-TERM NON-QUALIFIED DEFERRED COMPENSATION (REFERRED TO AS THE "PERFORMANCE-BASED CAPITAL ACCUMULATION PLAN", OR "PBCAP"). THIS PLAN ALSO PROVIDES THE ORGANIZATION WITH AN ADDITIONAL TOOL TO ASSIST IN THE RECRUITING OF SENIOR MANAGEMENT WITHIN THE HIGHLY COMPETITIVE HEALTHCARE LABOR MARKET. THE PLAN PROVIDES SENIOR MANAGEMENT WITH THE OPPORTUNITY TO QUALIFY FOR ANNUAL DEFERRED CONTRIBUTIONS TO BE PAID AT RETIREMENT, BASED ON ACHIEVING SPECIFIED FINANCIAL PERFORMANCE TARGETS AND MEETING ESTABLISHED CIRCUIT BEAKERS. THIS PLAN COMPLIES WITH AND ADHERES TO ALL RELATED REGULATIONS, WITH AN EMPHASIS ON IRC SECTIONS 409A AND 457(F). THE COMPENSATION AND BENEFITS OF CERTAIN OTHER INDIVIDUALS CONTAINED IN THIS FORM 990 ARE REVIEWED ANNUALLY BY THE PRESIDENT/CHIEF EXECUTIVE OFFICER WITH ASSISTANCE FROM ORGANIZATION'S HUMAN RESOURCES DEPARTMENT IN CONJUNCTION WITH THE INDIVIDUAL'S JOB PERFORMANCE DURING THE YEAR AND IS BASED UPON OTHER OBJECTIVE FACTORS DESIGNED TO ENSURE THAT REASONABLE AND FAIR MARKET VALUE COMPENSATION IS PAID BY THE ORGANIZATION. OTHER OBJECTIVE FACTORS INCLUDE MARKET SURVEY DATA FOR COMPARABLE POSITIONS, INDIVIDUAL GOALS AND OBJECTIVES, PERSONNEL REVIEWS, EVALUATIONS, SELF-EVALUATIONS AND PERFORMANCE FEEDBACK MEETINGS. CORE FORM, PART VI, SECTION C; QUESTION 19 THE ORGANIZATION'S FILED CERTIFICATE OF INCORPORATION AND ANY AMENDMENTS CAN BE OBTAINED AND REVIEWED THROUGH THE STATE OF NEW JERSEY DEPARTMENT OF THE TREASURY. CORE FORM, PART VII AND SCHEDULE J THE ORGANIZATION DOES NOT COMPENSATE ITS BOARD MEMBERS FOR THEIR SERVICES PERFORMED AS A TRUSTEE. ALL TRUSTEES ARE VOLUNTEERS. COMPENSATION AND BENEFITS, WHERE APPLICABLE FOR CERTAIN MEMBERS, IS RELATED TO THE BOARD MEMBER'S SERVICES PERFORMED AS A FULL-TIME EMPLOYEE OR INDEPENDENT CONTRACTOR OF THE ORGANIZATION. CORE FORM, PART VII, SECTION A, COLUMN B THIS ORGANIZATION IS THE TAX-EXEMPT PARENT ENTITY OF CAPITAL HEALTH SYSTEM AND AFFILIATES; A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM ("SYSTEM"). THE SYSTEM INCLUDES BOTH FOR-PROFIT AND NOT FOR-PROFIT ORGANIZATIONS. CERTAIN BOARD OF TRUSTEE MEMBERS, OFFICERS AND/OR DIRECTORS LISTED ON CORE FORM, PART VII AND SCHEDULE J OF THIS FORM 990 MAY HOLD SIMILAR POSITIONS WITH BOTH THIS ORGANIZATION AND OTHER AFFILIATES WITHIN THE SYSTEM. THE HOURS SHOWN ON THIS FORM 990, FOR BOARD MEMBERS WHO RECEIVE NO COMPENSATION FOR SERVICES RENDERED IN A NON-BOARD CAPACITY, REPRESENT THE ESTIMATED HOURS DEVOTED PER WEEK FOR THIS ORGANIZATION. TO THE EXTENT THESE INDIVIDUALS SERVE AS A MEMBER OF THE BOARD OF TRUSTEES OF OTHER RELATED ORGANIZATIONS IN THE SYSTEM, THEIR RESPECTIVE HOURS PER WEEK PER ORGANIZATION ARE APPROXIMATELY ONE HOUR. THE HOURS REFLECTED ON PART VII OF THIS FORM 990, FOR BOARD MEMBERS WHO RECEIVE COMPENSATION FOR SERVICES RENDERED IN A NON-BOARD CAPACITY, PAID OFFICERS AND KEY EMPLOYEES, REFLECT TOTAL HOURS WORKED PER WEEK ON BEHALF OF CAPITAL HEALTH SYSTEM; NOT SOLELY THIS ORGANIZATION. CORE FORM, PART XI; QUESTION 9 OTHER CHANGES IN NET ASSETS OR FUND BALANCES INCLUDE: - PENSION-RELATED CHANGES OTHER THAN NET PERIODIC PENSION COST; $5,513,000. CORE FORM, PART XII; QUESTION 2 THE TAXPAYER IS THE TAX-EXEMPT PARENT ENTITY OF A TAX-EXEMPT, INTEGRATED HEALTHCARE DELIVERY SYSTEM. AN INDEPENDENT CPA FIRM AUDITED THE CONSOLIDATED FINANCIAL STATEMENTS OF THE TAXPAYER AND ALL AFFILIATES FOR THE YEARS ENDED DECEMBER 31, 2013 AND DECEMBER 31, 2012; RESPECTIVELY AND ISSUED A CONSOLIDATED FINANCIAL STATEMENT WITH CONSOLIDATING SCHEDULES BY ENTITY. AN UNQUALIFIED OPINION WAS ISSUED EACH YEAR BY THE INDEPENDENT CPA FIRM. THE TAXPAYER'S AUDIT COMMITTEE ASSUMES RESPONSIBILITY FOR OVERSIGHT OF THE AUDIT OF ITS FINANCIAL STATEMENTS AND THE SELECTION OF AN INDEPENDENT AUDITOR. CORE FORM, PART XII; QUESTION 3 THE ORGANIZATION IS THE TAX-EXEMPT PARENT ENTITY OF CAPITAL HEALTH SYSTEM AND AFFILIATES ("SYSTEM"); A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM. THE SYSTEM ENGAGED AN INDEPENDENT ACCOUNTING FIRM TO PREPARE AND ISSUE A SYSTEM WIDE CONSOLIDATED A-133 AUDIT. THIS ORGANIZATION WAS INCLUDED IN THE SYSTEM WIDE A-133 AUDIT. CHS DEPARTMENTAL EIN LISTING THE ORGANIZATION'S FEDERAL FORM 990 INCLUDES CERTAIN REVENUE RECEIVED AND EXPENSES INCURRED BY VARIOUS CAPITAL HEALTH SYSTEM, INC. RELATED PROGRAMS, DEPARTMENTS, ACTIVITIES AND CAPITAL HEALTH SYSTEM, INC. EMPLOYEES. REVENUE EARNED FROM THESE PROGRAMS AND ACTIVITES WAS RECEIVED BY CAPITAL HEALTH SYSTEM, INC. UTILIZING DIFFERENT FEDERAL IDENTIFICATION NUMBERS OTHER THAN 22-3548695. BELOW IS A LIST OUTLINING THE VARIOUS CAPITAL HEALTH SYSTEM, INC. PROGRAMS, DIVISIONS, DEPARTMENTS AND PHYSICIAN EMPLOYEES AND THEIR RESPECTIVE FEDERAL IDENTIFICATION NUMBERS: CAPITAL ENDOCRINOLOGY 20-1730017 CAPITAL HEALTH CLINICAL CARDIOLOGY 26-3519972 CAPITAL SURGICAL ASSOCIATES 22-3680051 CHS - DR. SCHELL 22-2234088 CHS INSTITUTE FOR NEUROSCIENCES 26-0346624 CHS INSTITUTE FOR NEUROSCIENCES ONCOLOGY 46-0622985 CHS PATHOLOGY 45-4742151 FAMILY HEALTH CENTER 22-3796256 HAMILTON PHYSICIANS GROUP 22-3502175 HPG AT BORDENTOWN FAMILY MEDICAL 22-3502175 HEART CARE SPECIALISTS AT CH 27-0309548 MERCER MATERNAL FETAL SPECIALTY GROUP 20-2886402 MULTISPECIALTY PROVIDER GROUP 22-3628075 STROKE & CEREBROVASCULAR CENTER OF NEW JERSEY 26-3519824 TRENTON NEUROSURGEONS ASSOCIATES 22-2035924 WEST TRENTON MEDICAL ASSOCIATES 20-4643360 PEDIATRIC HOSPITALIST 27-2627834 EMERGENCY PHYSICIANS 27-2232524 REHABILITATION MEDICINE 27-3421189 SPINE CENTER 27-3421008 PLASTIC SURGERY 27-4510784 PRIMARY CARE MOUNTAINVIEW 27-3945093 PRIMARY CARE PENNINGTON 27-3945093 PRIMARY CARE QUAKERBRIDGE 27-3945093 RADIATION ONCOLOGY 27-1366819 HOSPITALIST GROUP 45-1501476 ADVANCED SURGICAL ASSOCIATES 27-4742615 CENTER FOR DIGESTIVE HEALTH 45-2073374 COMPREHENSIVE SLEEP ASSOCIATES 45-2074032 CAPITAL WOMEN'S HEALTH CENTER 27-2715382 CAPITAL HEALTH CENTER FOR LIVER DISEASE 46-3152708 CAPITAL HEALTH SYSTEM FOUNDATION INC 750 BRUNSWICK AVENUE TRENTON NJ 08638 222230681 SUPPORT CHS NJ 501(C)(3) 509(A)(1) CH SYSTEM true BELLEVUE AVENUE MANAGEMENT INC 446 BELLEVUE AVENUE TRENTON NJ 08618 222775694 MANAGEMENT NJ NA C CORP. false CAPITAL REGION INSURANCE COMPANY PO BOX 1085 GRAND CAYMAN CJ KY1-1108 980656385 FINANCIAL VEHICLE CJ CH SYSTEM FOREIGN CORP. 2118769 35997902 1.00000 true MERCER HOLDING CORPORATION 446 BELLEVUE AVENUE TRENTON NJ 08618 222778535 HOLDING CO. NJ CH SYSTEM C CORP. 6122339 3399437 1.00000 true STROKE & CEREBROVASCULAR CENTER OF NJ 750 BRUNSWICK AVENUE TRENTON NJ 08638 274554661 HEALTHCARE SVCS. NJ CH SYSTEM C CORP. 9388528 3089692 1.00000 true TRENTON NEUROLOGICAL SURGEONS ASSOCIATES 3100 PRINCETON PIKE LAWRENCEVILLE NJ 08648 222035924 HEALTHCARE SVCS. NJ CH SYSTEM C CORP. 0 0 1.00000 true false false true true true false false false false false false false false true false false true true MERCER HOLDING CORPORATION E 727533 COST CAPITAL HEALTH SYSTEM FOUNDATION INC C 9002463 COST CAPITAL HEALTH SYSTEM FOUNDATION INC O 302497 COST SCHEDULE R, PART V THE ORGANIZATION IS THE TAX-EXEMPT PARENT ENTITY OF CAPITAL HEALTH SYSTEM AND AFFILIATES ("SYSTEM"); A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM. THE ORGANIZATION ROUTINELY PAYS EXPENSES FOR VARIOUS RELATED AFFILIATES IN THE ORDINARY COURSE OF BUSINESS. THESE RELATED PARTY TRANSACTIONS ARE RECORDED ON THE REVENUE/EXPENSE AND BALANCE SHEET STATEMENTS OF THIS ORGANIZATION AND ITS AFFILIATES. THESE ENTITIES WORK TOGETHER TO DELIVER HIGH QUALITY HEALTHCARE AND WELLNESS SERVICES TO THE COMMUNITIES IN WHICH THEY ARE SITUATED.