2011-11-14T17:52:51-06:00 2010-12-31 DELOITTE TAX LLP 555 MISSION STREET SAN FRANCISCO CA 94105 990 2010-01-01 941461843 JOHN MUIR HEALTH JOHN 9259393000 1400 TREAT BOULEVARD NO 300 WALNUT CREEK CA 94597 MICHAEL MOODY 9259393000 2011-11-14 1 MICHAEL P WALTON 4157834000 2010 2016-02-24 21:20:13Z MICHAEL MOODY 1400 TREAT BOULEVARD NO 300 WALNUT CREEK CA 94597 1591124205 0 X WWW.JOHNMUIRHEALTH.COM X 1958 CA TO IMPROVE THE HEALTH OF THE COMMUNITIES WE SERVE WITH QUALITY AND COMPASSION 15 10 5937 1650 7368762 -970047 20161115 1794009 1093131115 1146185471 31988656 53547881 37895474 36333502 1183176360 1237860863 1687250 1906408 0 0 598966990 609300343 0 0 0 458984543 495026653 1059638783 1106233404 123537577 131627459 1819374312 1968202814 942951458 939750501 876422854 1028452313 X THE MISSION OF JOHN MUIR HEALTH IS TO IMPROVE THE HEALTH OF THE COMMUNITIES WE SERVE WITH QUALITY AND COMPASSION. JOHN MUIR HEALTH OFFERS A WIDE ARRAY OF CLINICAL SERVICES AT ITS TWO HOSPITALS IN WALNUT CREEK AND CONCORD, AND OUTPATIENT FACILITIES IN BRENTWOOD AND ROSSMOOR. KEY PROGRAMS INCLUDE TRAUMA, CARDIAC, CANCER, NEUROSCIENCES, ORTHOPEDICS, OBSTETRICS, AND REHABILITATION. 0 0 375160656 390559623 HOSPITAL SERVICES - GENERAL MEDICINE AND SURGERY. THE CORE OF JOHN MUIR HEALTH'S SERVICE TO THE COMMUNITY IS IN ITS GENERAL MEDICINE AND SURGERY PROGRAM, WHICH PROVIDES COMPREHENSIVE CARE FROM EMERGENCY SERVICES TO HIGH LEVEL CRITICAL CARE TO DISCHARGE SUPPORT AND HOME HEALTH, FOR PATIENTS WITH A VARIETY OF CONDITIONS. JOHN MUIR MEDICAL CENTER, WALNUT CREEK SERVES AS THE ONLY COUNTY-DESIGNATED TRAUMA CENTER FOR THE AREA, WORKING CLOSELY WITH LOCAL EMERGENCY SERVICES LEADERS. NATIONAL RECOGNITIONS RECEIVED IN 2010 INCLUDED (1) RECOGNITION OF JOHN MUIR MEDICAL CENTER, WALNUT CREEK BY U.S. NEWS & WORLD REPORT FOR THE FOURTH YEAR IN A ROW AS ONE OF "AMERICA'S BEST HOSPITALS" FOR GASTROENTEROLOGY AND ORTHOPEDICS; (2) U.S. NEWS AND WORLD REPORT ALSO RANKED JOHN MUIR MEDICAL CENTER, WALNUT CREEK #2 AND JOHN MUIR MEDICAL CENTER, CONCORD #3 OUT OF ALL 45 HOSPITALS IN THE SAN FRANCISCO METROPOLITAN AREA BASED ON PATIENT SURVIVAL, PATIENT SAFETY, CARE-RELATED FACTORS SUCH AS NURSING AND PATIENT SERVICES, AND REPUTATION; (3) JOHN MUIR HEALTH'S WALNUT CREEK AND CONCORD MEDICAL CENTERS WERE RANKED AMONG THE TOP FIVE PERCENT OF HOSPITALS NATIONALLY FOR QUALITY OF CARE BY HEALTHGRADES. IN ADDITION TO THE CLINICAL EXCELLENCE AWARDS FOR EACH MEDICAL CENTER, FIVE-STAR RATINGS WERE AWARDED FOR PATIENT EXPERIENCE AND GENERAL SURGERY, AS WELL AS CARDIAC, PULMONARY, STROKE, GASTROINTESTINAL, WOMEN'S HEALTH AND CRITICAL CARE SERVICES. THE MEDICAL CENTERS ALSO RANKED IN THE TOP 5 OR 10% IN THE NATION FOR SEVERAL SPECIFIC PROCEDURES AND TREATMENTS. OUR PROGRAM EMPHASIS IN 2010 WAS ON CONTINUED OUTREACH TO UNINSURED, UNDERSERVED, AND VULNERABLE POPULATIONS IN OUR SERVICE AREA THROUGH COMMUNITY PARTNERSHIPS TO PROVIDE DIRECT SERVICES INCLUDING GERIATRIC CARE COORDINATION, MOBILE DENTAL CLINIC, MOBILE HEALTH CLINIC, SUPPORT FOR TEEN PREGNANCY PROGRAMS, OPERATION ACCESS, VIOLENCE PREVENTION, AND PARISH-BASED NURSING. ON THE HOSPITAL CAMPUSES, WE COMPLETED CONSTRUCTION OF THE $212 MILLION HOFMANN FAMILY PATIENT CARE TOWER IN CONCORD AND PREPARED TO OPEN THE ESTIMATED $600 MILLION TOM AND BILLIE LONG PATIENT CARE TOWER IN WALNUT CREEK. THESE BUILDING PROJECTS REPRESENT A SUBSTANTIAL INVESTMENT IN OUR COMMUNITY AND ARE IN COMPLIANCE WITH CALIFORNIA'S HOSPITAL SEISMIC REQUIREMENTS (WELL BEFORE THE 2013 DEADLINE) TO BE FULLY OPERATIONAL AFTER A MAJOR EARTHQUAKE. 111239652 120649888 CARDIAC CARE IS THE SECOND LARGEST HOSPITAL-BASED SERVICE OF JOHN MUIR HEALTH. ACHIEVEMENTS IN 2010 INCLUDED: (1) RECOGNITION BY HEALTHGRADES FOR EXCELLENCE IN CARDIAC SURGERY; (2) THE AMERICAN HEART ASSOCIATION AWARDED JOHN MUIR HEALTH'S CONCORD AND WALNUT CREEK MEDICAL CENTERS TRIPLE GOLD PERFORMANCE ACHIEVEMENT AWARDS FOR IMPLEMENTING PROVEN EVIDENCE BASED GUIDELINES AND PROCEDURES FOR TREATMENT AND DISCHARGE OF PATIENTS WITH CORONARY ARTERY DISEASE, STROKE AND HEART FAILURE; (3) BOTH MEDICAL CENTERS HOLD THE HIGHEST LEVEL OF ACCREDITATION FROM THE SOCIETY OF CHEST PAIN CENTERS AND ARE DESIGNATED AS HIGH-RISK HEART ATTACK (STEMI) RECEIVING CENTERS BY THE COUNTY DEPARTMENT OF EMERGENCY MEDICAL SERVICES. THE NEW HOFMANN FAMILY PATIENT CARE TOWER OPENED IN NOVEMBER 2010 WITH 61 PRIVATE CARDIOVASCULAR PATIENT ROOMS AND A CENTRALIZED CARDIOVASCULAR INSTITUTE. THE CARDIOVASCULAR INSTITUTE ALSO FEATURES FIVE CATHETERIZATION LABS, 12 PREOPERATIVE AND RECOVERY BEDS, FOUR PREOPERATIVE AND RECOVERY LOUNGE CHAIRS, A DEDICATED 12-BED CARDIOVASCULAR INTENSIVE CARE UNIT, AND 49 MONITORED TELEMETRY BEDS. 80785653 119804073 WOMEN'S AND CHILDREN'S IS THE THIRD LARGEST PROGRAM WITHIN JOHN MUIR HEALTH. ACHIEVEMENTS IN 2010 INCLUDED: (1) REDUCED THE NUMBER OF TIMES CRITICALLY ILL NEWBORNS WERE TRANSFERRED TO HOSPITALS OUTSIDE THE COMMUNITY FOR PEDIATRIC SPECIALTY CARE BY ARRANGING FOR LOCAL CONSULTATIONS BY PEDIATRIC SPECIALISTS; (2) OPENED CENTER FOR WOMEN'S CONTINENCE AND PELVIC HEALTH AND TREATED MORE THAN 100 WOMEN; (3) FINALIZED A BUSINESS PLAN FOR A 16-BED PEDIATRIC COMPLEX CARE INPATIENT UNIT AND OPENED A PEDIATRIC SPECIALTY CLINIC TO PROVIDE CONVENIENT LOCAL SPECIALTY CARE IN SURGERY AND UROLOGY; (4) ESTABLISHED CHILD-FRIENDLY EMERGENCY DEPARTMENTS INCLUDING DECOR, TREATMENT PROTOCOLS, AND FOLLOW-UP COMMUNICATION TO PRIMARY CARE PHYSICIANS; (5) ACHIEVED RECOGNITION FROM SEVERAL NATIONAL ORGANIZATIONS FOR SUSTAINING A LOW RATE OF ELECTIVELY INDUCED BIRTH AT LESS THAN 39 WEEKS GESTATION. 440911556 1906408 515171887 ORTHOPEDICS IS THE FOURTH LARGEST PROGRAM AT JOHN MUIR HEALTH. IN 2010, JOHN MUIR MEDICAL CENTER, WALNUT CREEK WAS RECOGNIZED FOR THE FOURTH YEAR IN A ROW BY U.S. NEWS AND WORLD REPORT AS ONE OF "AMERICA'S BEST HOSPITALS" FOR ORTHOPEDICS. BOTH OF JOHN MUIR HEALTH'S MEDICAL CENTERS WERE RECOGNIZED AS BLUE CROSS/BLUE SHIELD CENTERS OF EXCELLENCE FOR OUR HIP AND KNEE REPLACEMENT PROGRAMS. JOHN MUIR MEDICAL CENTER, WALNUT CREEK ALSO RECEIVED THE DISTINCTION FOR SPINE SURGERY. FOR THE COMMUNITY, WE PROVIDED A PHYSICIAN-LED WORKSHOP ON DIAGNOSIS, AND MANAGEMENT OF UPPER EXTREMITY INJURIES IN BASEBALL AND A CONTINUING MEDICAL EDUCATION CONFERENCE FEATURING ORTHOPEDIC UPDATES ATTENDED BY MORE THAN 400 PEOPLE. 440911556 1906408 515171887 1008097517 1 1 0 0 0 0 0 0 1 1 0 0 0 1 0 0 1 0 0 0 0 0 0 1 0 1 0 1 1 1 1 0 0 0 0 0 1 0 0 0 1 0 0 0 0 0 1 1 1 0 0 1 532 0 1 5937 1 1 1 1 CJ 0 0 0 1 1 0 0 0 0 X 15 10 0 0 0 0 1 0 1 1 1 0 0 1 1 1 1 1 1 1 1 1 1 CA X X MICHAEL MOODY 9259393000 1400 TREAT BLVD WALNUT CREEK CA 94597 HOWARD L JENKINS 5.00 X X 0 0 0 CATHERINE O KUTSURIS 5.00 X X 0 0 0 DAVID L GOLDSMITH 5.00 X X 0 0 0 MALCOLM MCAULEY 5.00 X X 0 0 0 J KENDALL ANDERSON 60.00 X X 1615016 0 778553 PHILIP J BATCHELOR 5.00 X 0 0 0 STEPHEN L DAVENPORT 5.00 X 0 0 0 MARILYN M GARDNER 5.00 X 0 0 0 PATRICK E KAVANAUGH MD 5.00 X 5217 0 0 WILLIAM F CRONK 5.00 X 0 0 0 THOMAS RUNDALL PHD 5.00 X 0 0 0 RONALD K MULLIN 5.00 X 0 0 0 STUART B SHIKORA MD 5.00 X 7433 0 0 F RYAN ANDERSON MD 5.00 X 0 0 0 SAN S YUAN MD 5.00 X 0 0 0 MICHAEL MOODY 60.00 X 579564 0 250786 KENNETH MEEHAN 60.00 X 912126 0 523759 PAUL SWENSON 60.00 X 879887 0 509278 JANE WILLEMSEN 60.00 X 732745 0 338609 MICHAEL THOMAS 60.00 X 514230 0 225041 ERIC SAFF 60.00 X 532099 0 223143 NEIL MILLER 60.00 X 527789 0 210736 ALICE VILLANUEVA 60.00 X 488250 0 255676 NANCY OLSON 60.00 X 485425 0 210149 R SCOTT LIFF 60.00 X 0 0 0 MARTI TARNOWSKI 60.00 X 438617 0 191068 THOMAS HARLAN 60.00 X 85915 0 0 7804313 0 3716798 1819 1 1 0 CROSS COUNTRY STAFFING LA LOCKBOX FILE 50941 LOS ANGELES CA 90074 STAFFING SERVICES 3666986 MEDICAL ANESTHESIA CONSULTANTS MEDICAL PO BOX 512107 LOS ANGELES CA 90051 MEDICAL SERVICES 3588630 NURSEFINDERS PO BOX 910738 DALLAS TX 75391 STAFFING SERVICES 3259252 ARUP LABORATORIES PO BOX 2794 SALT LAKE CITY UT 84127 MEDICAL SERVICES 2856212 DIABLO NEUROSURGICAL 1455 MONTEGO 220 WALNUT CREEK CA 94598 MEDICAL SERVICES 2016744 97 39600 1754409 1794009 PATIENT REVENUE 900099 909018317 909018317 MEDICARE REVENUE 900099 230823123 230823123 PREMIUM REVENUE 900099 6344031 6344031 1146185471 13106450 13106450 7203541 742889 6460652 6460652 6460652 392603264 352161833 40441431 40441431 40441431 151395 39600 56140 95255 95255 506479 302480 203999 203999 OTHER OPERATING REVENU 900099 29573596 22204834 7368762 29573596 1237860863 1209035735 7368762 19662357 1858408 1858408 48000 48000 7705749 3852874 3852875 459708985 424718525 34990460 23466832 20665392 2801440 94995267 84976704 10018563 23423510 21227901 2195609 1663378 749242 914136 561566 280783 280783 15841081 14963394 877687 1278074 1161593 116481 4412090 4412090 44716202 42502507 2213695 6031303 6031303 SUPPLIES 125348845 123254121 2094724 PURCHASED SERVICES 110955671 87347255 23608416 BAD DEBT EXPENSE 83285309 83285309 PROFESSIONAL FEES 39298246 38670585 627661 OTHER EXPENSES 20034135 27338361 -7304226 41600753 26784473 14816280 1106233404 1008097517 98135887 0 56764450 45803917 152432989 173512530 3589790 6324361 17330283 18346038 1453400203 513553841 766492238 939846362 655656629 697623422 167107933 86746184 1819374312 1968202814 200649153 200504887 526580074 521887942 115562 215606669 217357672 942951458 939750501 X 874171475 1026989999 2251379 1462314 876422854 1028452313 1819374312 1968202814 X 131627459 20402000 X 0 1 1 X 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 28132000 9915590 599321 0 1249446 37397465 33638031 12706231 1333441 19545703 28132000 33409949 3165122 -2340525 596515 33638031 0.12000 0.88000 0 1 1 31461453 31461453 537177546 209294019 327883527 5821585 1371225 4450360 423884830 302888597 120996233 455054789 455054789 939846362 WORKERS COMPENSATION 32875366 PENSION LIABILITY 76301013 POST RETIREMENT COMP BENEFITS 47820677 OTHER NON-CURRENT LIABILITIES 60360616 217357672 DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: THE ORGANIZATION'S ENDOWMENT FUNDS (TERM AND PERMANENT) HELD BY THE JOHN MUIR HEALTH FOUNDATION ARE USED FOR RESTRICTED PURPOSES AS DIRECTED BY THE DONOR. INCOME EARNED FROM PERMANENT ENDOWMENT FUNDS WITHOUT RESTRICTION AS TO PURPOSE ARE USED TO SUPPORT PATIENT CARE PROGRAMS AND SERVICES OF JOHN MUIR HEALTH. TERM ENDOWMENTS AND INCOME EARNED FROM OTHER PERMANENT ENDOWMENTS ARE RESTRICTED BY THE DONOR FOR USE IN PROGRAMS INCLUDING NURSING EDUCATION, CARDIAC CARE EQUIPMENT, RADIATION ONCOLOGY, WOMEN'S HEALTH CENTER EDUCATION, AND THE JOHN MUIR HEALTH BUILDING PROGRAM. GOLF TOURNAMENT 190995 39600 151395 43905 12235 190995 39600 151395 43905 12235 56140 95255 1 1 X 1 X 400.000000000000 0 1 1 1 0 1 1 11440497 11440497 0.01120 11132663 11132663 0.01090 22573160 22573160 0.02210 7939992 539833 7400159 0.00730 1728027 34845 1693182 0.00170 797976 797976 0.00080 759479 759479 0.00070 3584895 3584895 0.00350 14810369 574678 14235691 0.01400 37383529 574678 36808851 0.03610 117706 117706 0.00010 2613 2613 0.00000 480807 480807 0.00050 601126 601126 0.00060 0 19801851 230823123 377958551 -147135428 X 1 1 2 1 JOHN MUIR MEDICAL CENTER WALNUT CREEK

1601 YGNACIO VALLEY ROAD WALNUT CREEK CA 94598

X X X 2 JOHN MUIR MEDICAL CENTER CONCORD

2540 EAST STREET CONCORD CA 94520

X X X NA 1 NA 2 PART I, LINE 3C: THE MAJORITY OF CHARITY CARE IS GIVEN BASED EITHER ON THE FEDERAL POVERTY GUIDELINES ("FPG") AS CALCULATED FROM DOCUMENTATION AND STATEMENTS MADE ON AN INTERNAL JOHN MUIR HEALTH CHARITY CARE APPLICATION, OR ON THE FPG AS ESTIMATED BY A CONTRACTED THIRD PARTY. THE THIRD PARTY HAS DEVELOPED AN ALGORITHM BASED ON ESTIMATED HOUSEHOLD INCOME, WHICH IS THEN TRANSLATED INTO FPG FOR THE HOUSEHOLD. JOHN MUIR HEALTH HAS NO INPUT INTO THE CRITERIA USED FOR THE ALGORITHM, WHICH IS THE SAME CALCULATION USED BY THE CONTRACTED THIRD PARTY FOR ALL OF THEIR CLIENTS NATIONWIDE. OTHER CRITERIA USED IS BASED ON THE PATIENT'S ELIGIBILITY FOR LOW-INCOME PROGRAMS THAT HAVE THE SAME OR MORE STRICT (LOWER) INCOME CRITERIA AS THE JOHN MUIR HEALTH CHARITY CARE PROGRAM. THIS INCLUDES PATIENTS WHO ARE QUALIFIED WITHIN SIX MONTHS OF THE DATE OF SERVICE FOR THE CALIFORNIA MEDICAID (MEDI-CAL) PROGRAM, OR FOR THE COUNTY'S MEDICALLY INDIGENT PROGRAM. IN ADDITION TO FORMAL QUALIFICATION IN A RECOGNIZED PROGRAM SERVING THE LOW-INCOME AND INDIGENT POPULATION, CHARITY CARE IS ALSO EXTENDED TO PATIENTS SEEN IN OUR EMERGENCY DEPARTMENTS AND WHO HAVE BEEN DOCUMENTED IN THE MEDICAL RECORD AS BEING HOMELESS, OR HAVE A LACK OF HOUSING. CHARITY CARE IS ALSO APPLIED TO OUTSTANDING BALANCES FOR EMERGENCY SERVICES RENDERED TO DOCUMENTED MINOR AND ELDERLY VICTIMS OF ABUSE, BASED ON COMPASSION AS JOHN MUIR HEALTH HAS NO KNOWLEDGE OF THE CURRENT HOME ENVIRONMENT OF THESE PATIENTS. WE ALSO HAVE A PARTNERSHIP WITH A COMMUNITY PROGRAM, OPERATION ACCESS, WHICH SERVES THE LOW-INCOME INDIVIDUALS IN OUR COUNTY, TO PROVIDE FREE CARE ON A REFERRED, CASE-BY-CASE BASIS. OPERATION ACCESS HAS ALREADY PERFORMED THE SCREENING OF THEIR REFERRED PATIENTS FOR INCOME ELIGIBILITY. PART I, LINE 4: DOES THE ORGANIZATION'S POLICY PROVIDE FREE OR DISCOUNTED CARE TO THE "MEDICALLY INDIGENT". WE PROVIDE HEALTH CARE TO THE MOST VULNERABLE INDIVIDUALS OF OUR COMMUNITY REGARDLESS OF THEIR ABILITY TO PAY THROUGH OUR MEDICAL CENTERS IN WALNUT CREEK AND CONCORD AND THE BEHAVIORAL HEALTH CENTER. THIS INCLUDES THE CRITICAL EMERGENCY AND TRAUMA SERVICES AT OUR MEDICAL CENTER CAMPUSES. JOHN MUIR HEALTH HAS A NUMBER OF PROGRAMS TO HELP OUR PATIENTS WITH THEIR MEDICAL BILLS FOR SERVICES THEY RECEIVE AT ONE OF OUR MEDICAL CENTERS. THESE PROGRAMS INCLUDE A PATIENT ASSISTANCE PROGRAM TO ABSORB PART, OR ALL, OF THE BILL BASED ON INCOME AND OTHER PROGRAM GUIDELINES, ASSISTANCE ENROLLING IN A NUMBER OF INSURANCE PROGRAMS, AND EXTENDED PAYMENT PLANS.JOHN MUIR HEALTH MAY ALSO ASSIGN ACCOUNTS TO PRESUMPTIVE CHARITY, WITHOUT A PATIENT ASSISTANCE APPLICATION SUBMITTED BY THE PATIENT, BASED ON PREDETERMINED CRITERIA COLLECTED FROM APPROVED SOURCES. THIS CRITERIA INCLUDES:THE PATIENT HAVING DOCUMENTED IN HIS/HER MEDICAL RECORD AS BEING HOMELESS OR VERIFICATION RECEIVED THROUGH THE MEDICAL CENTER OR A FAMILY MEMBER THAT THE PATIENT IS CURRENTLY INCARCERATED.ORTHE PATIENT QUALIFIES FOR A GOVERNMENT PROGRAM WITH ELIGIBILITY REQUIREMENTS THAT REASONABLY MEET THE QUALIFICATIONS FOR THE JOHN MUIR HEALTH CHARITY CARE PROGRAM WITHIN SIX (6) MONTHS OF THE DATE THE PATIENT RECEIVED SERVICES AT THE MEDICAL CENTER.ORAFTER NORMAL COLLECTION EFFORTS HAVE NOT PRODUCED ANY PAYMENT, AND JOHN MUIR HEALTH HAS IDENTIFIED WITH REASONABLE EFFORT AND ASSURANCE THAT THE PATIENT'S ESTIMATED INCOME IS AT 250 PERCENT OR LESS OF THE FPL (FEDERAL POVERTY LEVEL). PART I, LINE 7: JOHN MUIR HEALTH HAS ADOPTED THE GUIDELINES DEVELOPED BY THE CATHOLIC HEALTHCARE ASSOCIATION AND VHA INC. FOR REPORTING THE ECONOMIC VALUE OF ITS COMMUNITY BENEFITS CONTRIBUTIONS. PART I, L7 COL(F): INCLUDED ON FORM 990, PART IX LINE 25 IS BAD DEBT EXPENSE TOTALING $83,285,309. THIS AMOUNT WAS EXCLUDED BEFORE CALCULATING THE PERCENTAGES FOUND IN COLUMN (F). PART II: AS A NOT-FOR-PROFIT HEALTH SYSTEM, JOHN MUIR HEALTH HAS AN OBLIGATION TO MAKE A CHARITABLE CONTRIBUTION TO THE COMMUNITY AND OUR COMMITMENT TO KEEPING THE COMMUNITIES WE SERVE HEALTHY GOES FAR DEEPER THAN THAT. JOHN MUIR HEALTH'S MISSION - TO IMPROVE THE HEALTH OF THE COMMUNITIES WE SERVE WITH QUALITY AND COMPASSION - ACCURATELY REFLECTS OUR COMMUNITY HEALTH EFFORTS AS A CORPORATE LEADER AND COMMUNITY PARTNER. IN 2010, JOHN MUIR HEALTH PROVIDED $39.2 MILLION IN COMMUNITY BENEFIT PROGRAMS AND SERVICES TO COMMUNITIES IN CONTRA COSTA COUNTY. THE PROVISION OF THESE SERVICES REPRESENTS JOHN MUIR HEALTH'S COMMITMENT TO MEET THE HEALTH NEEDS OF INDIVIDUALS AND FAMILIES, INCREASE THE CAPACITY OF COMMUNITIES TO BUILD PARTNERSHIPS AND ENSURE ACCESS TO MEDICAL CARE BROADLY, ESPECIALLY FOR OUR COUNTY'S MOST VULNERABLE RESIDENTS. LAST YEAR, 82 PERCENT OF JOHN MUIR HEALTH'S COMMUNITY BENEFIT ACTIVITIES WERE SPECIFICALLY TARGETED TO THOSE INDIVIDUALS AND FAMILIES THAT EXPERIENCE SOCIAL AND ECONOMIC BARRIERS THAT PRECLUDE THEIR ACCESS TO NECESSARY HEALTH CARE SERVICES. JOHN MUIR HEALTH'S MEDICAL CENTERS ALSO SERVED MORE THAN 159,390 RESIDENTS THROUGH OUR COMMUNITY BENEFIT PROGRAMS IN 2010. THE VAST MAJORITY OF THESE PROGRAMS FOCUS ON HEALTH CARE, HEALTH EDUCATION, EARLY DETECTION AND EARLY INTERVENTION SERVICES. READ DESCRIPTIONS OF OUR PROGRAMS FOR VULNERABLE POPULATIONS AND EXCERPTS FROM THE PROGRAM EVALUATIONS AT WWW.JOHNMUIRHEALTH.COM. PART III, LINE 4: THE ORGANIZATION DOES NOT ISSUE SEPARATE, INDEPENDENT AUDITED FINANCIAL STATEMENTS. THE ORGANIZATION IS INCLUDED IN CONSOLIDATED, INDEPENDENT AUDITED FINANCIAL STATEMENTS THAT DO NOT INCLUDE A DESCRIPTION OF BAD DEBT EXPENSE. BAD DEBT COST IS DETERMINED USING THE COST-TO-CHARGE METHODOLOGY. THE ORGANIZATION DOES NOT INCLUDE BAD DEBT IN COMMUNITY BENEFIT. PART III, LINE 8: THE ORGANIZATION DOES NOT TREAT MEDICARE SHORTFALL AS COMMUNITY BENEFIT. THE COST TO CHARGE RATIOS USED TO COMPUTE THE MEDICARE SHORTFALLS ARE FROM THE 2010 MEDICARE COST REPORT FILED WITH CENTERS FOR MEDICARE & MEDICAID SERVICES (CMS). PART III, LINE 9B: OTHER THAN SENDING STATEMENTS AND NOTIFICATIONS TO THE PATIENT, JOHN MUIR HEALTH DOES NOT CONDUCT PATIENT-OWED COLLECTIONS INTERNALLY. THESE TYPES OF FUNCTIONS ARE OUTSOURCED TO AN OUTSIDE AGENCY. THE COLLECTION POLICY IS IN THE FORM OF, AND INCORPORATED INTO, THE CONTRACT AGREEMENT WITH THE OUTSIDE AGENCY AS A FULL ADDENDUM TO THE CONTRACT, WITH A SEPARATE SIGNATURE LINE FOR JOHN MUIR HEALTH AND THE AGENCY AS PART OF THE ADDENDUM. IN ADDITION TO THE CUSTOMIZED, JOHN MUIR HEALTH COLLECTION GUIDELINES, THE ADDENDUM ALSO CONTAINS THE COLLECTION CRITERIA AND REQUIREMENTS FOUND IN CALIFORNIA LAW UNDER ASSEMBLY BILL 774. PART VI, LINE 2: HOW DO WE DETERMINE THE NEEDS OF OUR COMMUNITY?AS PART OF THE CALIFORNIA SB697, WHICH REQUIRES REGULAR HEALTH SYSTEM/HOSPITAL COMMUNITY BENEFIT REPORTING, A COMPREHENSIVE COMMUNITY ASSESSMENT WAS COMPLETED IN 2010. THE ASSESSMENT WAS COMPLETED THROUGH A COLLABORATIVE PROCESS INITIATED BY THE HOSPITAL COUNCIL OF NORTHERN AND CENTRAL CALIFORNIA, COMMUNITY HOSPITALS IN CONTRA COSTA COUNTY AND THE COUNTY HEALTH SERVICE DEPARTMENT (CCHS). IT CAN BE FOUND AT WWW.JOHNMUIRHEALTH.COM AND WWW.CCHEALTH.ORG. IN ADDITION, JOHN MUIR HEALTH AND KAISER PERMANENTE JOINTLY CONDUCTED A SEPARATE SURVEY OF LOW INCOME RESIDENTS THROUGH SEVERAL COMMUNITY ORGANIZATIONS THAT SERVE VULNERABLE POPULATIONS. DURING 2010, JOHN MUIR HEALTH ALSO KEPT ABREAST OF CURRENT HEALTH ISSUES OF IMPORTANCE TO THE COMMUNITY THROUGH ACTIVE PARTICIPATION WITH VARIOUS COMMUNITY-BASED ORGANIZATIONS. THESE SOURCES OF INFORMATION PROVIDED INFORMATION REGARDING COMMUNITY HEALTH STATUS AND ALSO HELPED IDENTIFY EMERGING NEEDS IN THE SERVICE AREA POPULATION. COMBINED WITH THE COMMUNITY ASSESSMENTS, THE INFORMATION GATHERED CONTRIBUTED TO DEVELOPMENT OF OUR ANNUAL COMMUNITY BENEFIT PLAN. JOHN MUIR HEALTH IS ALSO FORTUNATE TO BENEFIT FROM THE INPUT AND EXPERTISE OF CONTRA COSTA COUNTY HEALTH SERVICES IN A NUMBER OF WAYS. CCHS IS A PARTICIPANT IN MANY OF OUR PARTNERSHIPS, INCLUDING OUR MOBILE HEALTH CLINIC, MOBILE DENTAL CLINIC, BEYOND VIOLENCE PROGRAM FOR TRAUMA PATIENTS, TEL-ASSURANCE REMOTE MONITORING FOR LOW INCOME SENIORS WITH CHRONIC ILLNESSES, FALL PREVENTION PROGRAM OF CONTRA COSTA, JOHN MUIR MEDICAL CENTER, CONCORD EMERGENCY DEPARTMENT REFERRAL LIAISON AND THE MONUMENT COMMUNITY PARTNERSHIP. MORE INFORMATION ON THESE PROGRAMS CAN BE FOUND AT WWW.JOHNMUIRHEALTH.COM.WHERE IS JOHN MUIR FOCUSING ITS COMMUNITY BENEFIT EFFORTS?JOHN MUIR HEALTH SELECTS ITS FOCUS AREAS BASED ON THE COMMUNITY ASSESSMENT DISCUSSED PREVIOUSLY, INTERNAL DATA AND COMMUNITY PARTNER INPUT. SINCE 2007, NEW PROGRAMS HAVE SPECIFICALLY FOCUSED ON PROGRAMS THAT ADDRESS THE NEEDS OF VULNERABLE POPULATIONS USING THREE FUNDING CRITERIA: THE PROGRAM MUST SERVE VULNERABLE POPULATIONS, DEFINED AS THOSE WITH EVIDENCED-BASED DISPARITIES IN HEALTH OUTCOMES, SIGNIFICANT BARRIERS TO CARE AND THE ECONOMICALLY DISADVANTAGED. PROGRAMS MUST BE DELIVERED THROUGH PARTNERSHIPS WITH COMMUNITY-BASED ORGANIZATIONS, OTHER PROVIDERS, PUBLIC AGENCIES OR BUSINESS ORGANIZATIONS. PROGRAMS MUST, IN OUR ESTIMATION, POSITIVELY IMPACT THE HEALTH OF THE COMMUNITY IN A MEASURABLE WAY. READ DESCRIPTIONS OF OUR PROGRAMS FOR VULNERABLE POPULATIONS AND EXCERPTS FROM THE PROGRAM EVALUATIONS AT WWW.JOHNMUIRHEALTH.COM. PART VI, LINE 3: JOHN MUIR HEALTH HAS SIGNAGE POSTED IN PATIENT ACCESS AREAS/LOBBIES INFORMING PATIENTS OF THE AVAILABILITY OF FINANCIAL ASSISTANCE FOR THEIR HEALTH CARE BILLS AND ELIGIBILITY SERVICES TO AID THE PATIENT IN QUALIFYING FOR AN APPROPRIATE ASSISTANCE PROGRAM.IN THE EMERGENCY DEPARTMENT, ALL PATIENTS RECEIVE A "PATIENT ASSISTANCE" BROCHURE, WHICH IDENTIFIES VARIOUS FINANCIAL ASSISTANCE PROGRAMS AVAILABLE TO THE PATIENT, INCLUDING THE JOHN MUIR HEALTH CHARITY CARE PROGRAM AS WELL AS PROGRAMS THROUGH GOVERNMENT AGENCIES (STATE, COUNTY, ETC). THE BROCHURE ALSO LISTS CONTACT INFORMATION FOR THESE PROGRAMS. PATIENTS IN THE EMERGENCY DEPARTMENT TALK TO A TRAINED FINANCIAL COUNSELOR, AND, IF APPROPRIATE, ARE ALSO ASKED TO SIGN A FORM ACKNOWLEDGING RECEIPT OF THE PATIENT ASSISTANCE MATERIALS, OR DECLINING TO ACCEPT THE MATERIAL. TRAINED FINANCIAL COUNSELORS ARE ALSO AVAILABLE FOR PATIENTS WHO DO NOT PRESENT FOR SERVICES THROUGH THE EMERGENCY DEPARTMENT. THE APPLICATION FORM AND A COPY OF THE POLICY FOR THE JOHN MUIR HEALTH CHARITY CARE PROGRAM IS ALSO AVAILABLE IN THE EMERGENCY DEPARTMENT AS WELL AS THE MAJOR PATIENT ACCESS AREAS AND THE BUSINESS OFFICE.NOTIFICATION THAT PROGRAMS, INCLUDING CHARITY CARE, ARE AVAILABLE IS ALSO PRINTED ON PATIENT BILLING STATMENTS, ACCOMPANIED BY THE ABILITY FOR A PATIENT TO REQUEST THE VARIOUS PROGRAM MATERIALS BE SENT TO HIS/HER HOME. CONTACT INFORMATION IS ALSO LISTED ON THE PATIENT STATMENT. INFORMATION ON THE HEALTH SYSTEM'S CHARITY CARE PROGRAM IS POSTED ON THE JOHN MUIR HEALTH INTERNET WEBSITE AS WELL.PATIENTS ADMITTED TO THE HOSPITAL, AND WHO HAVE NO THIRD PARTY INSURANCE LISTED, ARE INTERVIEWED BY TRAINED FINANCIAL COUNSELORS DURING THEIR HOSPITAL STAY TO INFORM THEM OF THE VARIOUS PROGRAMS WHICH ARE AVAILABLE, AND DETERMINE IF THE PATIENT WOULD LIKE ASSISTANCE TO OBTAIN ELIGIBILITY FOR THE STATE MEDICAID (MEDI-CAL) PROGRAM, STATE DISABILITY, CHARITY CARE OR OTHER AVAILABLE PROGRAMS IN THE COUNTY. THIS ELIGIBILITY ASSISTANCE, WHICH INCLUDES HELP IN FILLING OUT THE APPLICATIONS, GATHERING REQUIRED DOCUMENTS, AND TRANSPORTAION TO ELIGIBILITY APPOINTMENTS, IF NECESSARY, IS OFFERED AT NO CHARGE TO THE PATIENT. IN ADDITION, PATIENT ACCOUNTING REPRESENTATIVES MAY ALSO CONTACT PATIENTS AFTER DISCHARGE TO ASK ABOUT PAYMENT ARRANGEMENTS AND TO INFORM THEM OF THE CHARITY CARE PROGRAM IF THE PATIENT NEEDS ASSISTANCE IN PAYING FOR THE MEDICAL BILLS. PART VI, LINE 4: HOW DO WE DEFINE OUR COMMUNITY? JOHN MUIR HEALTH'S PRIMARY AND SECONDARY SERVICE AREA EXTENDS FROM SOUTHERN SOLANO COUNTY INTO EASTERN CONTRA COSTA COUNTY AND SOUTH TO SAN RAMON IN SOUTHERN CONTRA COSTA COUNTY. THE COMMUNITIES THAT COMPRISE THE PRIMARY SERVICE AREA INCLUDE CONCORD, WALNUT CREEK, PLEASANT HILL, MARTINEZ, LAFAYETTE, DANVILLE, ALAMO, ORINDA, MORAGA AND CLAYTON. THE COMMUNITIES THAT COMPRISE THE SECONDARY SERVICE AREA INCLUDE BRENTWOOD, OAKLEY, DISCOVERY BAY, BYRON, KNIGHTSEN, BETHEL ISLAND, BENICIA, PITTSBURG, BAY POINT, ANTIOCH AND SAN RAMON. JOHN MUIR HEALTH'S TRAUMA CENTER SERVES ALL OF CONTRA COSTA COUNTY, AS WELL AS SOUTHERN SOLANO COUNTY AND PARTS OF MARIN COUNTY AND IS A BACKUP TRAUMA CENTER FOR ALAMEDA COUNTY.USING THE FUNDING CRITERIA MENTIONED ABOVE, OUR PRIMARY COMMUNITY BENEFIT SERVICE AREA INCLUDES THE MONUMENT NEIGHBORHOOD AREA IN CONCORD AND THE EASTERN CONTRA COSTA COUNTY CITIES OF BAY POINT, PITTSBURG, ANTIOCH, OAKLEY, BRENTWOOD AND PARTS FARTHER EAST OF UNINCORPORATED CONTRA COSTA COUNTY. PART VI, LINE 6: JOHN MUIR HEALTH IS A COMMUNITY-BASED ORGANIZATION, GOVERNED LOCALLY BY THOSE WHO LIVE IN THE COMMUNITIES WE SERVE. COMMUNITY RESIDENTS ARE ACTIVELY INVOLVED IN OUR VARIOUS BOARDS AND BOARD COMMITTEES. OUR FOCUS REMAINS FIRMLY ON IMPROVING THE HEALTH OF THE PEOPLE OF CONTRA COSTA COUNTY. AS A NOT-FOR-PROFIT ORGANIZATION, THERE ARE NO SHAREHOLDERS WHO BENEFIT FROM OUR FINANCIAL SURPLUSES. INSTEAD, WE REINVEST ANY SURPLUSES INTO THE COMMUNITY WITH NEW PROGRAM IMPLEMENTATION, WORKFORCE DEVELOPMENT, ADVANCED TECHNOLOGY, COMMUNITY SERVICES AND BUILDING PROJECTS. WE RECENTLY INVESTED APPROXIMATELY $800 MILLION IN NEW BUILDINGS TO HELP MEET THE CURRENT AND FUTURE HEALTH CARE NEEDS OF THE COMMUNITIES WE SERVE. IN ADDITION TO THE INVESTMENT MADE IN OUR COMMUNITY THROUGH THE BUILDING PROJECTS, JOHN MUIR HEALTH IS ONE OF THE LARGEST EMPLOYERS IN THE COUNTY WITH NEARLY 6,000 EMPLOYEES. THEREFORE, WE CONTRIBUTE SIGNIFICANTLY TO THE ECONOMIC VITALITY OF THE COUNTY. JOHN MUIR MEDICAL CENTER, WALNUT CREEK ALSO SERVES AS CONTRA COSTA COUNTY'S ONLY TRAUMA CENTER, WHICH REPRESENTS AN ENORMOUS FINANCIAL AND SERVICE COMMITMENT TO THE ENTIRE REGION. OUR EMERGENCY DEPARTMENTS IN CONCORD AND WALNUT CREEK SERVE RESIDENTS REGARDLESS OF THEIR ABILITY TO PAY. WE ALSO ARE THE SOLE PROVIDER OF SEVERAL SPECIALTY SERVICES IN CONTRA COSTA COUNTY, INCLUDING HIGH RISK NEONATAL SERVICES, INPATIENT PSYCHIATRIC SERVICES, INCLUDING CHILD AND ADOLESCENT SERVICES, AND SUBSTANCE ABUSE SERVICES. OUR MEDICAL STAFFS ARE OPEN TO ALL QUALIFIED PHYSICIANS IN THE COMMUNITY. PART VI, LINE 7: JOHN MUIR/MT. DIABLO COMMUNITY HEALTH FUND1399 YGNACIO VALLEY ROAD, SUITE 36, WALNUT CREEK, CATHE JOHN MUIR/MT. DIABLO COMMUNITY HEALTH FUND IS THE COMMUNITY BENEFIT GRANT-MAKING ARM OF JOHN MUIR HEALTH. ITS GOAL IS TO FOSTER SYSTEMIC CHANGE THAT IMPROVES THE HEALTH OF PEOPLE IN CENTRAL AND EAST CONTRA COSTA COUNTY WHO ARE UN- OR UNDER-INSURED, HAVE LIMITED ACCESS TO HEALTH CARE, ARE MOST AT-RISK FOR POOR HEALTH, AND ARE MOST LIKELY TO EXPERIENCE HEALTH CARE DISPARITIES. TO ACCOMPLISH THIS GOAL, THE COMMUNITY HEALTH FUND HAS DEVELOPED A FUNDING PROCESS THAT NURTURES LONG-TERM PARTNERSHIPS WITH AND AMONG COMMUNITY-BASED ORGANIZATIONS. THIS LEADS TO VISIONARY HEALTH INITIATIVES THAT BUILD AND SUSTAIN THE CAPACITY TO DELIVER ON THE PROMISE OF GOOD HEALTH AND AFFORDABLE HEALTH CARE FOR ALL. FROM 1997, THE YEAR THE COMMUNITY HEALTH FUND WAS FORMED, THROUGH 2010, THE FUND HAS GRANTED MORE THAN $19 MILLION IN JOHN MUIR HEALTH COMMUNITY BENEFIT DOLLARS INTO LOCAL COMMUNITY-BASED HEALTH PROJECTS. MORE DETAILED INFORMATION ABOUT THE FUND, ITS GOVERNANCE, GRANT PROGRAM AND COMMUNITY BENEFIT REPORTS CAN FOUND ON ITS WEBSITE: WWW.JMMDCOMMUNITYHEALTHFUND.COM. PRESIDENT IS GRACE CALIENDO.JOHN MUIR PHYSICIAN NETWORK1350 TREAT BOULEVARD, SUITE 450, WALNUT CREEK, CA THE JOHN MUIR PHYSICIAN NETWORK IS A NOT-FOR-PROFIT PUBLIC BENEFIT CORPORATION, WHOSE SOLE CORPORATE MEMBER IS JOHN MUIR HEALTH. SINCE ITS INCEPTION IN 1996, IT HAS BECOME ONE OF THE LARGEST PROVIDERS OF PHYSICIAN AND ALLIED HEALTH SERVICES IN NORTHERN CALIFORNIA, WITH MORE THAN 900 PRIMARY CARE AND SPECIALTY PHYSICIANS WHO DELIVER COORDINATED PATIENT CARE. PHYSICIANS ASSOCIATED WITH THE PHYSICIAN NETWORK BELONG TO EITHER JOHN MUIR MEDICAL GROUP (JMMG) OR MUIR MEDICAL GROUP IPA, INC. THE PHYSICIAN NETWORK OWNS AND OPERATES PRIMARY CARE CENTERS STAFFED BY JMMG PHYSICIANS IN 23 LOCATIONS FROM BRENTWOOD TO PLEASANTON. THE GROUP ALSO PROVIDES HOSPITALISTS (IN-PATIENT MEDICAL SERVICES) AT JOHN MUIR HEALTH'S HOSPITALS. THE PHYSICIAN NETWORK IS ACTIVE IN COMMUNITY SERVICE, HEALTH EDUCATION AND CLINICAL RESEARCH. THE PHYSICIAN NETWORK CURRENTLY HOLDS CONTRACTS WITH SIX MAJOR HEALTH PLANS FOR MORE THAN 78,000 COMMERCIAL AND SENIOR HMO MEMBERS. ADDITIONALLY, THE PHYSICIAN NETWORK PROVIDES A PHYSICIAN PANEL, MEDICAL MANAGEMENT AND CLAIMS SERVICES FOR MORE THAN 8,600 JOHN MUIR HEALTH EMPLOYEES AND DEPENDENTS PARTICIPATING IN THE EXCLUSIVE PROVIDER ORGANIZATION HEALTH PLAN. THE PHYSICIAN NETWORK MANAGES HEALTH PLAN CONTRACTING FOR JOHN MUIR HEALTH AND ITS HOSPITALS AND ENGAGES IN PHYSICIAN RECRUITMENT TO MEET COMMUNITY NEEDS. PAUL SWENSON IS THE PRESIDENT AND CHIEF EXECUTIVE OFFICER OF THE JOHN MUIR PHYSICIAN NETWORK, AND REPORTS TO A BOARD OF DIRECTORS COMPRISED OF 12 VOTING MEMBERS. JOHN MUIR BEHAVIORAL HEALTH CENTER2740 GRANT STREET, CONCORD, CAJOHN MUIR HEALTH OFFERS COMPLETE INPATIENT AND OUTPATIENT BEHAVIORAL HEALTH PROGRAMS AND SERVICES THROUGH THE JOHN MUIR HEALTH BEHAVIORAL HEALTH CENTER, OUR FULLY ACCREDITED, 73-BED PSYCHIATRIC HOSPITAL LOCATED IN CONCORD. THE JOHN MUIR HEALTH BEHAVIORAL HEALTH CENTER OFFERS PSYCHIATRIC TREATMENT FOR ADULTS, CHILDREN AND ADOLESCENTS WHO EXPERIENCE EMOTIONAL OR BEHAVIORAL PROBLEMS. FOR THOSE WHO ARE DEPENDENT ON ALCOHOL OR DRUGS, WE OFFER A FULL ARRAY OF CHEMICAL DEPENDENCY TREATMENT PROGRAMS. JOHN MUIR HEALTH BEHAVIORAL HEALTH CENTER IS ACCREDITED BY THE JOINT COMMISSION. JOHN MUIR HEALTH FOUNDATION1400 TREAT, WALNUT CREEK, CATHE JOHN MUIR HEALTH FOUNDATION RAISES FUNDS TO OFFSET THE COST OF CAPITAL AND OPERATING EXPENSES FOR JOHN MUIR HEALTH PROGRAMS, INCLUDING VARIOUS EDUCATION PROGRAMS, OPERATIONS, BUILDINGS AND EQUIPMENT. IN THIS WAY, THE FOUNDATION HELPS TO MITIGATE THE COST OF CARE PROVIDED AND ASSISTS JOHN MUIR HEALTH IN MAINTAINING STATE-OF-THE-ART FACILITIES, EQUIPMENT AND PROGRAMS FOR THE COMMUNITY. JOHN MUIR HEALTH IS THE SOLE CORPORATE MEMBER OF THE JOHN MUIR HEALTH FOUNDATION. REPORTS FILED WITH STATES PART VI, LINE 7 CA 1 JOHN MUIRMT DIABLO COMMUNITY HEALTH FUND 1399 YGNACIO VALLEY ROAD SUITE 36 WALNUT CREEK CA 94598 911788973 501(C)(3) 1858408 CASH VALUE CHF UTILIZES THESE FUNDS TO AWARD GRANTS TO OUTSIDE AGENCIES IN OUR COMMUNITIES TO FURTHER THE HEALTH OF THE COMMUNITY. 1 0 SCHOLARSHIPS 16 48000 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: GRANTS MADE TO JOHN MUIR/MT. DIABLO COMMUNITY HEALTH FUND IN FURTHERANCE OF THE ORGANIZATION'S EXEMPT PURPOSE ARE MONITORED IN ACCORDANCE WITH THE COMMUNITY HEALTH FUND'S ESTABLISHED PROCEDURES FOR MONITORING THE PERFORMANCE OF FUNDED ORGANIZATIONS. THE COMMUNITY HEALTH FUND REPORTS GRANT MAKING ACTIVITY TO A REPRESENTATIVE OF JOHN MUIR HEALTH'S BOARD OF DIRECTORS ON A PERIODIC BASIS. SCHOLARSHIPS MADE IN FURTHERANCE OF THE ORGANIZATION'S EXEMPT PURPOSE ARE SUBJECT TO CONDITIONS ESTABLISHED TO ENSURE THAT INDIVIDUALS RECEIVING SCHOLARSHIPS ARE ADEQUATELY INVESTIGATED TO VERIFY THAT THEY ARE QUALIFIED RECIPIENTS. SCHOLARSHIPS MADE TO INDIVIDUALS ARE NOT MATERIAL IN NATURE AND DO NOT REQUIRE FURTHER MONITORING OF THE USE OF SCHOLARSHIP FUNDS. X X X 1 1 X X X X X 0 1 0 0 0 1 1 0 0 J KENDALL ANDERSON 838108 0 749244 0 27664 0 750461 0 28092 0 2393569 0 749244 0 MICHAEL MOODY 378736 0 192966 0 7862 0 222808 0 27978 0 830350 0 192966 0 KENNETH MEEHAN 503658 0 379522 0 28946 0 492235 0 31524 0 1435885 0 379522 0 PAUL SWENSON 503658 0 359087 0 17142 0 483445 0 25833 0 1389165 0 359087 0 JANE WILLEMSEN 405050 0 289715 0 37980 0 315560 0 23049 0 1071354 0 289715 0 MICHAEL THOMAS 369216 0 136562 0 8452 0 195840 0 29201 0 739271 0 136562 0 ERIC SAFF 339701 0 178483 0 13915 0 197995 0 25148 0 755242 0 178483 0 NEIL MILLER 331098 0 173372 0 23319 0 190109 0 20627 0 738525 0 173372 0 ALICE VILLANUEVA 307660 0 159998 0 20592 0 233887 0 21789 0 743926 0 159998 0 NANCY OLSON 317076 0 159416 0 8933 0 185915 0 24234 0 695574 0 159416 0 MARTI TARNOWSKI 274801 0 125690 0 38126 0 168999 0 22069 0 629685 0 0 0 THOMAS HARLAN 0 0 75079 0 10836 0 0 0 0 0 85915 0 162261 0 PART I, LINE 1A THE COMPANY HAS A POLICY WHEREBY CERTAIN PAYMENTS TO EMPLOYEES AND MEMBERS OF THE BOARD OF DIRECTORS ARE GROSSED UP. THESE PAYMENTS ARE NOT A USUAL OCCURRENCE AND ARE EVALUATED AND APPROVED BY THE CEO OR A KEY EMPLOYEE AND THE CFO. ADDITIONALLY, FOR CERTAIN MEMBERS OF MANAGEMENT THAT ARE RECRUITED FROM OUTSIDE OF THE AREA A HOUSING ALLOWANCE CAN BE PROVIDED AS PART OF THE RECRUITMENT PROCESS. EACH RECRUITMENT IS EVALUATED ON A CASE-BY-CASE BASED ON THE CURRENT MARKET AND THE QUALIFICATIONS OF THE CANDIDATE TO DETERMINE WHETHER OR NOT THE INCLUSION OF A HOUSING ALLOWANCE WILL BE PART OF THE RECRUITMENT PACKAGE. FOR CERTAIN MEMBERS OF MANAGEMENT A REIMBURSEMENT OF UP TO 50% OF HEALTH CLUB DUES IS AVAILABLE. THIS PERQUISITE IS INCLUDED AS PART OF THE EVALUATION OF THE ANNUAL COMPENSATION EVALUATION PROCESS. ALL COMPONENTS DISCUSSED IN THIS SECTION ARE TREATED AS TAXABLE INCOME FOR THE EMPLOYEE RECEIVING THE PAYMENT. PART I, LINE 6 THE CORPORATION, WITH THE OVERSIGHT AND APPROVAL OF THE COMPENSATION COMMITTEE OF THE BOARD OF DIRECTORS, BASES A PORTION OF ANNUAL MANAGEMENT INCENTIVE PAYMENTS ON THE CONSOLIDATED NET EARNINGS TARGETS OF JOHN MUIR HEALTH. ADDITIONALLY, WHERE APPROPRIATE MANAGEMENT OVERSIGHT EXISTS, A PORTION OF AN EXECUTIVE'S MANAGEMENT INCENTIVE CAN ALSO BE BASED ON THE NET EARNINGS TARGETS OF THE RESPECTIVE OPERATING UNITS WITHIN THE CORPORATION. PAYMENTS TO MANAGEMENT PERSONNEL ARE MADE IN THE SUBSEQUENT YEAR BASED ON THE LEVEL OF ACHIEVEMENT OF ALL ELEMENTS OF THE INCENTIVE PROGRAM, OF WHICH NET EARNINGS TARGETS ARE A COMPONENT. THEREFORE, EACH YEAR AN ACCRUAL OF THE ESTIMATED PAYMENTS FOR MANAGEMENT INCENTIVES IS INCLUDED IN THE CALCULATION OF NET EARNINGS TARGETS FOR THAT YEAR. THE INCENTIVE PROGRAMS FOR THE MANAGEMENT OF JOHN MUIR HEALTH ARE DEVELOPED AND REVIEWED BY AN OUTSIDE CONSULTANT WHOSE EXPERTISE IS IN COMPENSATION AND WHO DEVELOPS MARKET DATA FOR SIMILAR ORGANIZATIONS AS A BASIS FOR THE CORPORATION'S INCENTIVE PROGRAM. THE INCENTIVE PROGRAM AND MARKET DATA IS REVIEWED WITH THE COMPENSATION COMMITTEE OF THE BOARD OF DIRECTORS. SUPPLEMENTAL INFORMATION PART III COMPENSATION FOR THE CHIEF EXECUTIVE OFFICER, OTHER OFFICERS AND KEY EMPLOYEES ARE ESTABLISHED ANNUALLY BY THE COMPENSATION COMMITTEE. THE COMPENSATION COMMITTEE UTILIZES AN OUTSIDE CONSULTANT WHO IS A COMPENSATION EXPERT. THE OUTSIDE CONSULTANT PROVIDES MARKET DATA FOR EACH INDIVIDUAL BASED UPON THEIR LEVEL OF RESPONSIBILITIES AND THAT DATA IS USED BY THE COMPENSATION COMMITTEE TO ESTABLISH THE ANNUAL COMPENSATION PACKAGE FOR EACH INDIVIDUAL. IT IS THE PHILOSOPHY OF THE ORGANIZATION TO ESTABLISH A COMPENSATION PACKAGE FOR EACH INDIVIDUAL THAT REFLECTS THE MEDIAN OF THE MARKET AS ESTABLISHED BY THE OUTSIDE CONSULTANT. CALIFORNIA STATEWIDE COMMUNITY DEVELOPMENT AUTHORITY 680164610 130911J84 2005-05-10 50290253 SEE SCHEDULE O 0 0 0 CALIFORNIA STATEWIDE COMMUNITY DEVELOPMENT AUTHORITY 680164610 130911Y87 2006-06-14 203016972 SEE SCHEDULE O 0 0 0 CALIFORNIA STATEWIDE COMMUNITY DEVELOPMENT AUTHORITY 680164610 130795UC9 2008-05-02 145800000 SEE SCHEDULE O 0 0 0 CALIFORNIA STATEWIDE COMMUNITY DEVELOPMENT AUTHORITY 680164610 130795N86 2009-10-29 101911852 SEE SCHEDULE O 0 0 0 50290253 1552703 1 0 1 1 231090613 2140116 23598317 205352180 0 0 0 1 145800000 1634836 1 0 1 1 101922259 1911852 99935019 75388 0 0 0 1 0 0 0 0 0 1 0 0 0 1 JP MORGAN CHASE BANK 4.000000000000 1 0 0 0 1 0 0 0 1 0 0 0 0 0 0 SCHEDULE K SUPPLENTAL INFORMATION PART I, LINE A, COLUMN (F) - TO PAY THE OUTSTANDING PRINCIPAL AMOUNT OF THE CITY OF WALNUT CREEK CERTIFICATES OF PARTICIPATION REFUNDING SERIES 1994, ORIGINALLY ISSUED 2/17/1994. PART I, LINE B, COLUMN (F) - THE BONDS WERE ISSUED FOR THE PURPOSE OF (I) FINANCING AND REFINANCING THE COST OF ACQUISITION, CONSTRUCTION, IMPROVEMENT, EQUIPPING, RENOVATION, REHABILITATION, REMODELING AND OTHER CAPITAL PROJECTS ON OR ABOUT THE JOHN MUIR MEDICAL CENTER-WALNUT CREEK CAMPUS, (II) FINANCING VARIOUS ROUTINE CAPITAL EXPENDITURES AND THE COST OF ACQUISITION OF EQUIPMENT TO BE LOCATED ON THE JOHN MUIR MEDICAL CENTER-CONCORD CAMPUS, (III) PROVIDING FOR PAYMENT OF A PORTION OF INTEREST ON THE BONDS, AND (IV) PAYING CERTAIN COSTS INCURRED IN CONNECTION WITH THE ISSUANCE OF THE BONDS. PART I, LINE C, COLUMN (D) - 5/2/08 AND 5/13/08. PART I, LINE C, COLUMN (F) - 2008 A AND B TO (I) REFUND AND PAY IN FULL THE OUTSTANDING PRINCIPAL AMOUNT OF THE $100,000,000 AGGREGATE PRINCIPAL AMOUNT CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY INSURED REVENUE BONDS (JOHN MUIR HEALTH) SERIES 2006 B AND SERIES 2006 C (THE "SERIES 2006 BONDS") ORIGINALLY ISSUED 6/14/2006 AND (II) TO PAY CERTAIN COSTS INCURRED IN CONNECTION WITH THE ISSUANCE OF THE BONDS. 2008 C TO (I) REFUND AND PAY IN FULL THE VARIABLE RATE PORTION OF THE CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY $90,000,000 CERTIFICATES OF PARTICIPATION, JOHN MUIR/MT. DIABLO HEALTH SYSTEM (1997) ORIGINALLY ISSUED 10/29/2007, IN THE OUTSTANDING PRINCIPAL AMOUNT OF $44,000,000 AND (II) TO PAY CERTAIN COSTS INCURRED IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2008 C BONDS. PART I, LINE D, COLUMN (F) - THE BONDS WERE ISSUED FOR THE PURPOSES OF (1) FINANCING THE CONSTRUCTION, IMPROVEMENT, EQUIPPING, RENOVATION, REHABILITATION, REMODELING AND OTHER CAPITAL PROJECTS ON OR ABOUT THE JOHN MUIR MEDICAL CENTER - WALNUT CREEK CAMPUS AND ON OR ABOUT THE JOHN MUIR MEDICAL CENTER - CONCORD CAMPUS AND (2) PAYING CERTAIN COSTS OF ISSUANCE. PART II, LINE 5, COLUMN (A) - COST OF ISSUANCE: 908,703; CREDIT ENHANCEMENT 644,000 PART II, LINE 5, COLUMN (C) - COST OF ISSUANCE: 1,155,297; CREDIT ENHANCEMENT 479,539 PART II, LINE 8 - THIS LINE IS BLANK BECAUSE ISSUE A AND ISSUE C EACH REPRESENTS A REFUNDING OF PRIOR ISSUES AND THE PROCEEDS FROM ISSUE B AND ISSUE D ARE FINANCING CAPITAL PROJECTS THAT HAVE NOT REACHED SUBSTANTIAL COMPLETION. PART II, LINE 11 - ISSUE A AND ISSUE C EACH REPRESENTS A REFUNDING OF PRIOR ISSUES AND FINAL ALLOCATION OF PROCEEDS OCCURRED ON THE DATE OF ISSUANCE. THE PROCEEDS FROM ISSUE B AND ISSUE D ARE FINANCING CAPITAL PROJECTS THAT HAVE NOT REACHED SUBSTANTIAL COMPLETION AND THUS FINAL ALLOCATION OF PROCEEDS HAS NOT BEEN MADE. PART II, LINE 12 - WHILE FINAL ALLOCATION OF PROCEEDS HAS NOT BEEN MADE FOR ISSUE B AND ISSUE D, THE ORGANIZATION MAINTAINS BOOKS AND RECORDS TO SUPPORT THE FINAL ALLOCATION OF PROCEEDS WHEN REQUIRED. JANE WILLEMSEN HOUSING RELOCATION X 100000 36667 0 1 1 MARTI TARNOWSKI HOUSING RELOCATION X 100000 58333 0 1 1 95000 CONTRA COSTA CARDIOLOGY COMMOM BOARD MEMBER 266405 CONTRACT FOR PROFESSIONAL SERVICES 0 WOMEN'S PRIMARY HEALTH PHYSICIANS COMMOM BOARD MEMBER 753641 CONTRACT FOR PROFESSIONAL SERVICES 0 BETA HEALTH CARE GROUP KEY EMPLOYEE IS BOARD MEMBER 4850782 CONTRACT FOR INSURANCE SERVICES 0 FORM 990, PART VI, SECTION A, LINE 6 MT. DIABLO HEALTHCARE DISTRICT AND JOHN MUIR ASSOCIATION HAVE THE RIGHT TO APPROVE CERTAIN SIGNIFICANT CORPORATE ACTIONS (AS DESCRIBED IN SCHEDULE O). FORM 990, PART VI, SECTION A, LINE 7B THE BYLAWS OF JOHN MUIR HEALTH PROVIDE THAT JOHN MUIR HEALTH MAY NOT, WITHOUT THE PRIOR WRITTEN CONSENT OF THE MT. DIABLO HEALTHCARE DISTRICT, A POLITICAL SUBDIVISION OF THE STATE OF CALIFORNIA, AND THE JOHN MUIR ASSOCIATION, A CALIFORNIA NONPROFIT CORPORATION: (I) SELL, TRANSFER, OR OTHERWISE DISPOSE OF ALL OR SUBSTANTIALLY ALL THE ASSETS OF JOHN MUIR HEALTH; (II) ISSUE A MEMBERSHIP IN JOHN MUIR HEALTH TO ANY PERSON OR ENTITY; (III) MERGE WITH ANY OTHER PERSON OR ENTITY, UNLESS JOHN MUIR HEALTH IS THE SURVIVING CORPORATION IN THE MERGER; OR (IV) AMEND SECTION 5.6 OF THE BYLAWS OF JOHN MUIR HEALTH (WHICH OBLIGATES JOHN MUIR HEALTH TO, AMONG OTHER THINGS, PROVIDE AT LEAST ONE MILLION DOLLARS ($1,000,000) ANNUALLY TO FUND CERTAIN COMMUNITY BENEFIT PROJECTS SPONSORED BY THE JOHN MUIR/MT. DIABLO COMMUNITY HEALTH FUND). FORM 990, PART VI, SECTION B, LINE 11 THE COMPLETED FORM 990 IS PROVIDED TO THE BOARD OF DIRECTORS SUFFICIENTLY IN ADVANCE OF THE FILING DEADLINE TO ENABLE A DETAILED AND CONSCIENTIOUS REVIEW BY ALL MEMBERS. AN OVERVIEW OF THE FORM 990, WITH SUFFICIENT DETAIL, IS PRESENTED TO THE BOARD WITH THE COMPLETED FORM 990. ALL QUESTIONS AND CONCERNS OF THE BOARD OF DIRECTORS WILL BE ADDRESSED BY THE CHIEF FINANCIAL OFFICER OR THEIR DESIGNEE AND INCORPORATED INTO THE FORM 990 AS APPROPRIATE. AFTER ALL OF THE INPUT FROM THE BOARD OF DIRECTORS HAS BEEN APPROPRIATELY ADDRESSED, SENIOR MANAGEMENT OF JOHN MUIR HEALTH WILL FILE THE FINAL FORM 990 AS REQUIRED. FORM 990, PART VI, SECTION B, LINE 12C ANNUALLY, THE JOHN MUIR HEALTH ("JMH") BOARD CONFLICT OF INTEREST POLICY IS DISTRIBUTED TO BOARD MEMBERS, ALONG WITH A CONFLICT OF INTEREST DISCLOSURE FORM REQUIRED TO BE COMPLETED AND SIGNED. FOLLOWING DISTRIBUTION OF THE POLICY, THE GENERAL COUNSEL PROVIDES AN EDUCATIONAL SESSION RELATING TO BOARD MEMBER FIDUCIARY DUTIES AND CONFLICTS OF INTEREST COVERING, AMONG OTHER THINGS, REQUIRED DISCLOSURES AND THE PROCESS FOR APPROVAL OF TRANSACTIONS INVOLVING A POTENTIAL CONFLICT. DISCLOSED CONFLICTS ARE COMPILED IN A DOCUMENT AND REVIEWED BY THE BOARD CHAIR, PRESIDENT/CEO AND GENERAL COUNSEL. TOGETHER, THESE INDIVIDUALS MONITOR ANY POTENTIAL CONFLICTS AND THE GENERAL COUNSEL ATTENDS BOARD MEETINGS TO ENSURE COMPLIANCE WITH THE POLICY. TRANSACTIONS INVOLVING A POTENTIAL CONFLICT ARE REVIEWED AND APPROVED IN ADVANCE BY THE GENERAL COUNSEL, A BOARD PHYSICIAN TRANSACTIONS COMPLIANCE SUBCOMMITTEE AND THE BOARD. THE POLICY ALSO REQUIRES BOARD MEMBERS TO DISCLOSE ANY POTENTIAL CONFLICTS DURING THE YEAR. AS QUESTIONS ABOUT POTENTIAL CONFLICTS ARISE DURING THE YEAR, THE GENERAL COUNSEL REVIEWS THEM WITH THE AFFECTED BOARD MEMBER, THE PRESIDENT/CEO AND THE BOARD CHAIR. FORM 990, PART VI, SECTION B, LINE 15 COMPENSATION FOR THE CHIEF EXECUTIVE OFFICER, OTHER OFFICERS AND KEY EMPLOYEES IS ESTABLISHED ANNUALLY BY THE COMPENSATION COMMITTEE. THE COMPENSATION COMMITTEE UTILIZES AN OUTSIDE CONSULTANT WHO IS A COMPENSATION EXPERT. THE OUTSIDE CONSULTANT PROVIDES MARKET DATA FOR EACH INDIVIDUAL BASED UPON THEIR LEVEL OF RESPONSIBILITIES AND THAT DATA IS USED BY THE COMPENSATION COMMITTEE TO ESTABLISH THE ANNUAL COMPENSATION PACKAGE FOR EACH INDIVIDUAL. IT IS THE PHILOSOPHY OF THE ORGANIZATION TO ESTABLISH A COMPENSATION PACKAGE FOR EACH INDIVIDUAL THAT REFLECTS THE MEDIAN OF THE MARKET AS ESTABLISHED BY THE OUTSIDE CONSULTANT. FORM 990, PART VI, SECTION C, LINE 19 JOHN MUIR HEALTH PROVIDES FINANCIAL INFORMATION ON A QUARTERLY BASIS THROUGH VARIOUS BOND DISCLOSURE DATABASES. THIS FINANCIAL INFORMATION IS AVAILABLE FOR JOHN MUIR HEALTH ON A CONSOLIDATED AND CONSOLIDATING BASIS, INCLUDING SUBSIDIARIES. REQUESTS FOR THE PROVISION OF GOVERNING DOCUMENTS AND THE CONFLICT OF INTEREST POLICY ARE DIRECTED TO OUR LEGAL DEPARTMENT FOR THE APPROPRIATE RESPONSE. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED GAINS ON INVESTMENTS: 16,064,000. CHANGE IN PENSION FUND LIABILITY 4,338,000. TOTAL TO FORM 990, PART XI, LINE 5: 20,402,000. 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