990 Return ofOrganization Exempt FromIncomeTax990s.foundationcenter.org/990_pdf_archive/860/... ·...
Transcript of 990 Return ofOrganization Exempt FromIncomeTax990s.foundationcenter.org/990_pdf_archive/860/... ·...
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
Form990 Return of Organization Exempt From Income Tax OMB No 1545-0047
ij Under section 501 ( c), 527, or 4947 ( a)(1) of the Internal Revenue Code ( except private2p 1 5foundations)
Department of the ► Do not enter social security numbers on this form as it may be made public
Treasury ► Information about Form 990 and its instructions is at www IRS gov/form990
Internal Revenue Service
A For the 2015 calendar year, or tax year beg inning 01-01 -2015 , and ending 12-31-2015
B Check if applicableC Name of organization D Employer identification numberSCOTTSDALE HEALTHCARE HOSPITALS
F Address change 86-0181654%F Name change
ALICE POPEDoing business as
Initial return HONORHEALTH
1 Final E Telephone numberreturn/terminated Number and street (or P 0 box if mail is not delivered to street address) Room/suite
8125 N Hayden RoadAmended return (480) 882-4000
[Application pending City or town, state or province, country, and ZIP or foreign postal codeSrnttcriala A7 RS75R
F Name and address of principal officerThomas J Sadvary8125 N Hayden Rd
Scottsdale,AZ 85258
I Tax -exempt status1 501(c)(3) F_ 501( c) ( ) 1 (insert no ) F_ 4947(a)(1) or F 527
3 Website : ► www honorhealth CO M
K Form of organization [ Corporation [ Trust [ Association 1 Other ►
w
G Gross receipts $ 1,558 ,706,225
H(a) Is this a group return for
subordinates? [ YesNo
H(b) Are all subordinatesEYes [ No
included?
If"No," attach a list (see instructions)
H(c) GrouD exemotlon number ►L Year of formation 1964 1 M State of legal domicile AZ
© Summary
1Briefly describe the organization's mission or most significant activitiesHONORHEALTH'S MISSION IS TO IMPROVE THE HEALTH AND WELL-BEING OF THOSE WE SERVE
2 Check this box ► [ If the organization discontinued its operations or disposed of more than 25% of Its net assets
,6 3 Number of voting members of the governing body (Part VI, line 1a) . . . . . . . 3 21
S!4 Number of independent voting members of the governing body (Part VI, line 1b) . . . . 4 15
5 Total number of individuals employed in calendar year 2015 (Part V, line 2a) . . . . . 5 12,584
Q 6 Total number of volunteers (estimate if necessary) . 6 2,145
7a Total unrelated business revenue from Part VIII, column (C), line 12 . . . . . . . 7a 18,319
b Net unrelated business taxable income from Form 990-T, line 34 . . . . . . . . 7b 0
Prior Year Current Year
8 Contributions and grants (Part VIII, line Ih) . 10,714,856 11,876,813
9 Program service revenue (Part VIII, line 2g) . . . . . . . . 888,542,146 1,535,928,354
10 Investment income (Part VIII, column (A), lines 3, 4, and 7d ) . . . . 150,240 7,592,166
11 Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and l le) 649,330 2,145,350
12 Total revenue-add lines 8 through 11 (must equal Part VIII, column (A), line 900,056,572 1,557,542,68312)
13 Grants and similar amounts paid (Part IX, column (A), lines 1-3 . 0 975,918
14 Benefits paid to or for members (Part IX, column (A ), line 4) . 0 0
15 Salaries, other compensation, employee benefits (Part IX, column (A ), lines348 468 288 662 971 321
5-10), , , ,
16a Professional fundraising fees (Part IX, column (A), line 11e) 0 0
b Total fundraising expenses (Part IX, column (D), line 25) ► 0
17 Other expenses (Part IX, column (A), lines 11a-11d, 1if-24e) . . . . 525,705,604 837,425,548
18 Total expenses Add lines 13-17 (must equal Part IX, column (A), line 25) 874,173,892 1,501,372,787
19 Revenue less expenses Subtract line 18 from line 12 . 25,882,680 56,169,896
T8 Beginning of Current Year End of Year
m20 Total assets (Part X , l i n e 1 6 ) . . . . . . . . . . . . 1,482,002,989 1,447,432,360
Q21 Total liabilities (Part X, line 26) . . . . . . . . . . 630,175,211 558,080,536
Z1 22 Net assets or fund balances Subtract line 21 from line 20 . . . . 851,827,778 889,351,824
VftfW Si g nature BlockUnder penalties of perjury, I declare that I have examined this return, 1my knowledge and belief, it is true, correct, and complete Declarationpreparer has any knowledge
SignSignature of officer
Here ALICE POPE SVP/CFO, HONORHEALTH
Type or print name and title
Print/Type preparer's name Preparer's signature
PaidBRENDA GRIESEMER BRENDA GRIESEMER
PreparerFirm's name ► ERNST & YOUNG US LLP
Firm's address NORTH CENTRAL AVENUE STE 2300
Use OnlyPHOENIX, AZ 85004
May the IRS discuss this return with the preparer shown above? (see in
For Paperwork Reduction Act Notice , see the separate instructions.
Form 990 (2015) Page 2
Statement of Program Service Accomplishments
Check if Schedule 0 contains a response or note to any line in this Part III W/1 Briefly describe the organization's mission
HONORHEALTH'S MISSION IS TO IMPROVE THE HEALTH AND WELL-BEING OF THOSE WE SERVE
2
3
4
Did the organization undertake any significant program services during the year which were not listed on
the prior Form 990 or 990-EZ? . . . . . . . . . . . . . . . . . . . . . EYes [No
If "Yes," describe these new services on Schedule 0
Did the organization cease conducting, or make significant changes in how it conducts, any program
services? . . . . . . . . . . . . . . . . . . . . . . . . . . . Eyes [No
If "Yes," describe these changes on Schedule 0
Describe the organization's program service accomplishments for each of its three largest program services, as measured byexpenses Section 501(c)(3) and 501(c)(4) organizations are required to report the amount of grants and allocations to others,the total expenses, and revenue, if any, for each program service reported
4a (Code ) (Expenses $ 1,298,873,005 including grants of $ 975,918 ) (Revenue $
SEE SCHEDULE 0
1,536,468,040
4b (Code ) (Expenses $ including grants of $ ) (Revenue $
4c (Code ) (Expenses $ including grants of $ ) (Revenue $
4d Other program services (Describe in Schedule 0
(Expenses $ including grants of $ ) (Revenue $
4e Total program service expenses 00, 1,298,873,005
Form 990 (2015)
Form 990 (2015) Page 3
Checklist of Re q uired Schedules
Yes No
1 Is the organization described in section 501(c)(3) or4947(a)(1) (other than a private foundation)? If "Yes," Yes
complete Schedule A . . . . . . . . . . . . . . . . . . . . . . 1
2 Is the organization required to complete Schedule B, Schedule of Contributors (see instructions)? IJ . 2 Yes
3 Did the organization engage in direct or indirect political campaign activities on behalf of or in opposition to No
candidates for public office? If "Yes," complete Schedule C, Part I . . . . . . . . . . . . .
4 Section 501(c )( 3) organizations.Did the organization engage in lobbying activities, or have a section 501(h) election in effect during the tax year?
If "Yes, " complete Schedule C, Part II 1i . . . . . . . . . . . . . . 4 Yes
5 Is the organization a section 501(c)(4), 501 (c)(5), or 501(c)(6) organization that receives membership dues,assessments, or similar amounts as defined in Revenue Procedure 98-197
If "Yes," complete Schedule C, Part III ij . . . . . . . . . . . . . . . . . 5 N o
6 Did the organization maintain any donor advised funds or any similar funds or accounts for which donors have theright to provide advice on the distribution or investment of amounts in such funds or accounts?
If "Yes," complete Schedule D, Part I ^^ . . . . . . . . . . . . . . . . . 6N o
7 Did the organization receive or hold a conservation easement, including easements to preserve open space,
the environment, historic land areas, or historic structures? If "Yes," complete Schedule D, Part II °^ 7No
8 Did the organization maintain collections of works of art, historical treasures, or other similar assets?
If "Yes," complete Schedule D, Part III ^^ . . . . . . . . . . . . 8 N o
9 Did the organization report an amount in Part X, line 21 for escrow or custodial account liability, serve as acustodian for amounts not listed in Part X, or provide credit counseling, debt management, credit repair, or debt
negotiation services?If "Yes," complete Schedule D, Part IV 1i . . . . . . . . . . . . 9 No
10 Did the organization, directly or through a related organization, hold assets in temporarily restricted endowments, 10 Yespermanent endowments, or quasi-endowments? If "Yes," complete Schedule D, Part V ij . .
11 Ifthe organization's answer to any of the following questions is "Yes," then complete Schedule D, Parts VI, VII,VIII, IX, or X as applicable
a Did the organization report an amount for land, buildings, and equipment in Part X, line 10?Yes
If "Yes," complete Schedule D, Part VI ij Sla
b Did the organization report an amount for investments-other securities in Part X, line 12 that is 5% or more of
its total assets reported in Part X, line 167 If "Yes," complete Schedule D, Part VII . . . . . . . Slb No
c Did the organization report an amount for investments-program related in Part X, line 13 that is 5% or more of
its total assets reported in Part X, line 167 If "Yes," complete Schedule D, Part VIII tj . Ilc No
d Did the organization report an amount for other assets in Part X, line 15 that is 5% or more of its total assets
reported i n Part X , l i n e 16? If 'Yes, 'complete ScheduleD, Part IX . . . . . . . . . . . lid Yes
e Did the organization report an amount for other liabilities in Part X, line 25? If "Yes," complete Schedule D, Part Xtj Ile Yes
f Did the organization's separate or consolidated financial statements for the tax year include a footnote thatllf No
addresses the organization's liability for uncertain tax positions under FIN 48 (ASC 740)?
If "Yes," complete Schedule D, Part X tj
12a Did the organization obtain separate, independent audited financial statements for the tax year?
If "Yes," complete Schedule D, Parts XI and XII . . . . . . . . . . . . . . . . . 12a No
b Was the organization included in consolidated, independent audited financial statements for the tax year?12b Yes
If "Yes,"and if the organization answered "No" to line 12a, then completing Schedule D, Parts XI and XII is optional
13 Is the organization a school described in section 170(b)(1)(A)(ii)? If "Yes," complete Schedule E13 No
14a Did the organization maintain an office, employees, or agents outside of the United States? . 14a No
b Did the organization have aggregate revenues or expenses of more than $10,000 from grantmaking, fundraising,business, investment, and program service activities outside the United States, or aggregate foreign investments
valued at $100,000 or more? If "Yes," complete Schedule F, Parts I and IV . . . . . . . . .tj 14b Yes
15 Did the organization report on Part IX, column (A), line 3, more than $5,000 of grants or other assistance to or
for any foreign organization? If "Yes, " complete Schedule F, Parts II and IV . . °^ 15 No
16 Did the organization report on Part IX, column (A), line 3, more than $5,000 of aggregate grants or other
assistance to or for foreign individuals? If "Yes, " complete Schedule F, Parts III and IV . . °^ 16 No
17 Did the organization report a total of more than $15,000 of expenses for professional fundraising services on Part 17 NoIX, column (A), lines 6 and 11e? If "Yes," complete Schedule G, Part I (see instructions) . .
18 Did the organization report more than $15,000 total offundraising event gross income and contributions on PartVIII, lines lc and 8a'' If "Yes," complete Schedule G, PartIl . . . . . . . . . . . 18 No
19 Did the organization report more than $15,000 of gross income from gaming activities on Part VIII, line 9a? If"Yes, " complete Schedule G, Part III . . . . . . . . . . . . . . . . . 19 No
20a Did the organization operate one or more hospital facilities? If "Yes," complete Schedule H . . tj 20a Yes
b If "Yes" to line 20a, did the organization attach a copy of its audited financial statements to this return? tj20b Yes
Form 990(2015)
Form 990 (2015) Page 4
Checklist of Required Schedules (continued)
21 Did the organization report more than $5,000 of grants or other assistance to any domestic organization or 21 Yes
domestic government on Part IX, column ( A), line 1z If " Yes," complete Schedule I , Parts I and II . . . . Ij
22 Did the organization report more than $ 5,000 of grants or other assistance to or for domestic individuals on Part 22IX, column ( A), line 2? If " Yes," complete Schedule I , Parts I and III . . . . . . . . Ij
23 Did the organization answer " Yes" to Part VII, Section A, line 3 , 4, or 5 about compensation of the organization'scurrent and former officers , directors , trustees , key employees , and highest compensated employees? If "Yes," 23 Yes
complete Schedule 3 . . . . . . . . . . . . . . . . . . . . . . .
24a Did the organization have a tax - exempt bond issue with an outstanding principal amount of more than $100,000as of the last day of the year, that was issued after December 31, 20027 If " Yes," answer lines 24b through 24d
and complete Schedule K If "No," go to line 25a . . . . . . . . . . . . . . 24aYes
b Did the organization invest any proceeds oftax-exempt bonds beyond a temporary period exception?24b
c Did the organization maintain an escrow account other than a refunding escrow at any time during the yearto defease any tax - exempt bonds? . . . . . . . . . . . . . . 24c
d Did the organization act as an " on behalf of issuer for bonds outstanding at any time during the year? 24d
25a Section 501(c )( 3), 501 ( c)(4), and 501(c )( 29) organizations.Did the organization engage in an excess benefit transaction with a disqualified person during the year? If "Yes,"
25acomplete Schedule L, Part I . 1i
b Is the organization aware that it engaged in an excess benefit transaction with a disqualified person in a prioryear, and that the transaction has not been reported on any of the organization's prior Forms 990 or 990-EZ? 25b
If "Yes," complete Schedule L, Part I . . 1i
26 Did the organization report any amount on Part X, line 5, 6, or 22 for receivables from or payables to any currentor former officers, directors, trustees, key employees, highest compensated employees, or disqualified persons? 26
If "Yes," complete Schedule L, Part II . . 1i
27 Did the organization provide a grant or other assistance to an officer, director, trustee, key employee, substantialcontributor or employee thereof, a grant selection committee member, or to a 35% controlled entity or family 27
member of any of these persons? If "Yes," complete Schedule L, Part III .
28 Was the organization a party to a business transaction with one of the following parties (see Schedule L, Part IVinstructions for applicable filing thresholds, conditions, and exceptions)
a A current or former officer, director, trustee, or key employee? If "Yes," complete Schedule L,
Part IV . . . . . . . . . . . . . . . . . . . . . . tj 28a
b A family member of a current or former officer, director, trustee, or key employee? If "Yes," complete Schedule L,
Part IV . . . . . . . . . . . . . . . . . . . 28b Yes
c A n entity of which a current or former officer, director, trustee, or key employee (or a family member thereof) was
an officer, director, trustee, or direct or indirect owner? If "Yes," complete Schedule L, Part IV . 28c Yes
29 Did the organization receive more than $25,000 in non-cash contributions? If "Yes," complete Schedule M 29
30 Did the organization receive contributions of art, historical treasures, or other similar assets, or qualifiedconservation contributions? If "Yes," complete Schedule M . . . . . . . . . . . . 30
31 Did the organization liquidate, terminate, or dissolve and cease operations? If "Yes," complete Schedule N, Part I31
32 Did the organization sell, exchange, dispose of, or transfer more than 25% of its net assets?If "Yes," complete Schedule N, Part II . 32
33 Did the organization own 100% of an entity disregarded as separate from the organization under Regulations
sections 301 7701-2 and 301 7701-3'' If "Yes," complete Schedule R, PartI . . . . . . .. 33 Yes
34 Was the organization related to any tax-exempt or taxable entity' If "Yes, " complete Schedule R, Part II, III, or IV,
and Part V, line 1 . . . . . . . . . . . . . . . . . . . . . . oF^ 34 Yes
35a Did the organization have a controlled entity within the meaning of section 512(b)(13)? 35a Yes
No
No
No
No
No
No
No
No
No
No
No
b If'Yes'to line 35a, did the organization receive any payment from or engage in any transaction with a controlled
entity within the meaning of section 512(b)(13)? If "Yes," complete Schedule R, Part V, Ime 2 . . ^^l 35b Yes
36 Section 501(c )( 3) organizations . Did the organization make any transfers to an exempt non-charitable related
organization? If "Yes," complete Schedule R, Part V, line 2 . 36 Yes
37 Did the organization conduct more than 5% of its activities through an entity that is not a related organizationNo
and that is treated as a partnership for federal income tax purposes? If "Yes," complete Schedule R, Part VI 37
38 Did the organization complete Schedule 0 and provide explanations in Schedule O for Part VI, lines 11b and 19?Note . All Form 990 filers are required to complete Schedule 0 . . . . . . . . . . . 38 Yes
Form 990 (201 5 )
Form 990 (2015) Page 5
Statements Regarding Other IRS Filings and Tax Compliance
Check if Schedule 0 contains a res ponse or note to an y line in this Part V
la Enter the number reported in Box 3 of Form 1096 Enter -0- if not applicable la 947
b Enter the number of Forms W-2G included in line la Enter -0- if not applicable lb 0
c Did the organization comply with backup withholding rules for reportable payments to vendors and reportablegaming (gambling) winnings to prize winners? . .
2a Enter the number of employees reported on Form W-3, Transmittal of Wage andTax Statements, filed for the calendar year ending with or within the year coveredby this return . . . . . . . . . . . . . . . . . . ^ 2a 12,584
b If at least one is reported on line 2a, did the organization file all required federal employment tax returns?Note .Ifthe sum of lines la and 2a is greater than 250, you may be required to e-file (see instructions)
3a Did the organization have unrelated business gross income of $1,000 or more during the year? . .
b If"Yes," has it filed a Form 990-T for this year?If "No"toline3b, provide an explanation in Schedule 0 . .
4a At any time during the calendar year, did the organization have an interest in, or a signature or other authorityover, a financial account in a foreign country (such as a bank account, securities account, or other financialaccount)? . .
b If "Yes," enter the name of the foreign country ►CJSee instructions for filing requirements for FinC EN Form 114, Report of Foreign Bank and Financial Accounts(FBA R)
5a Was the organization a party to a prohibited tax shelter transaction at any time during the tax year?
b Did any taxable party notify the organization that it was or is a party to a prohibited tax shelter transaction?
c If "Yes," to line 5a or 5b, did the organization file Form 8886-T''
6a Does the organization have annual gross receipts that are normally greater than $100,000, and did theorganization solicit any contributions that were not tax deductible as charitable contributions? . .
b If "Yes," did the organization include with every solicitation an express statement that such contributions or giftswere not tax deductible? . .
7 Organizations that may receive deductible contributions under section 170(c).
a Did the organization receive a payment in excess of $75 made partly as a contribution and partly for goods andservices provided to the payor?
b If "Yes," did the organization notify the donor of the value of the goods or services provided?
c Did the organization sell, exchange, or otherwise dispose of tangible personal property for which it was required tofile Form 8282? . .
d If "Yes," indicate the number of Forms 8282 filed during the year . . . . I 7d
e Did the organization receive any funds, directly or indirectly, to pay premiums on a personal benefit contract?
f Did the organization, during the year, pay premiums, directly or indirectly, on a personal benefit contract? . .
g If the organization received a contribution of qualified intellectual property, did the organization file Form 8899 asrequired? . .
h If the organization received a contribution of cars, boats, airplanes, or other vehicles, did the organization file aForm 1098-C? . .
8 Sponsoring organizations maintaining donor advised funds.Did a donor advised fund maintained by the sponsoring organization have excess business holdings at any timeduring the year? . .
9a Did the sponsoring organization make any taxable distributions under section 4966? . .
b Did the sponsoring organization make a distribution to a donor, donor advisor, or related person?
10 Section 501(c )( 7) organizations. Enter
a Initiation fees and capital contributions included on Part VIII, line 12 . 10a
b Gross receipts, included on Form 990, Part VIII, line 12, for public use of club 10bfacilities
11 Section 501(c )( 12) organizations. Enter
a Gross income from members or shareholders . . . . . . . . 11a
b Gross income from other sources (Do not net amounts due or paid to other sourcesagainst amounts due or received from them ) . . . . . . . . . 11b
12a Section 4947 ( a)(1) non -exempt charitable trusts.Is the organization filing Form 990 in lieu of Form 1041?
b If "Yes," enter the amount of tax-exempt interest received or accrued during theyear 12b
13 Section 501(c)(29) qualified nonprofit health insurance issuers.
a Is the organization licensed to issue qualified health plans in more than one state''Note . See the instructions foradditional information the organization must report on Schedule 0
b Enter the amount of reserves the organization is required to maintain by the statesin which the organization is licensed to issue qualified health plans 13b
c Enter the amount of reserves on hand 13c
14a Did the organization receive any payments for indoor tanning services during the tax year?
b If "Yes," has it filed a Form 720 to report these payments''If "No," provide an explanation in Schedule 0
Yes No
1c Yes
2b Yes
3a Yes
3b Yes
4a Yes
5a N o
5b N o
Sc
6a N o
6b
7a N o
7b
7c N o
7e N o
7f N o
7g
7h
8
9a
9b
12a
13a
14a N o
14b
Form 990 (2015)
Form 990 (2015) Page 6
LQ&W Governance , Management, and Disclosure
For each "Yes" response to lines 2 through 7b below, and for a "No" response to lines 8a, 8b, or 10b below,describe the circumstances, processes, or changes in Schedule 0. See instructions.
Check if Schedule 0 contains a response or note to any line in this Part VI
Section A. Governina Bodv and Manaaement
la Enter the number of voting members of the governing body at the end of the taxla 21
year
If there are material differences in voting rights among members of the governingbody, or if the governing body delegated broad authority to an executive committeeor similar committee, explain in Schedule 0
b Enter the number of voting members included in line la, above, who areindependent lb 15
2 Did any officer, director, trustee, or key employee have a family relationship or a business relationship with anyother officer, director, trustee, or key employee?
3 Did the organization delegate control over management duties customarily performed by or under the directsupervision of officers, directors or trustees, or key employees to a management company or other person?
4 Did the organization make any significant changes to its governing documents since the prior Form 990 wasfiled? . .
5 Did the organization become aware during the year of a significant diversion of the organization's assets?
6 Did the organization have members or stockholders?
7a Did the organization have members, stockholders, or other persons who had the power to elect or appoint one ormore members of the governing body? . .
b Are any governance decisions of the organization reserved to (or subject to approval by) members, stockholders,or persons other than the governing body?
8 Did the organization contemporaneously document the meetings held or written actions undertaken during theyear by the following
a The governing body? . .
b Each committee with authority to act on behalf of the governing body?
9 Is there any officer, director, trustee, or key employee listed in Part VII, Section A, who cannot be reached at theorganization's mailing address? If "Yes," provide the names and addresses in Schedule O . . . . . . .
Yes I No
2 No
3 No
4 No
5 No
6 No
7a N o
7b N o
8a Yes
8b Yes
9 No
Section B. Policies ( This Section B requests information about policies not re quired b y the Internal Revenue Code.)
Yes No
10a Did the organization have local chapters, branches, or affiliates?
b If "Yes," did the organization have written policies and procedures governing the activities of such chapters,affiliates, and branches to ensure their operations are consistent with the organization's exempt purposes?
Ila Has the organization provided a complete copy of this Form 990 to all members of its governing body before filingthe form? . .
b Describe in Schedule 0 the process, if any, used by the organization to review this Form 990
12a Did the organization have a written conflict of interest policy? If "No," go to line 13
b Were officers, directors, or trustees, and key employees required to disclose annually interests that could giverise to conflicts? . .
c Did the organization regularly and consistently monitor and enforce compliance with the policy? If "Yes," describein Schedule 0 how this was done . . . . . . . . . . . . . . . . . . .
13 Did the organization have a written whistleblower policy?
14 Did the organization have a written document retention and destruction policy?
15 Did the process for determining compensation of the following persons include a review and approval byindependent persons, comparability data, and contemporaneous substantiation of the deliberation and decision?
a The organization's CEO, Executive Director, or top management official . .
b Other officers or key employees of the organization
If "Yes" to line 15a or 15b, describe the process in Schedule 0 (see instructions)
16a Did the organization invest in, contribute assets to, or participate in a joint venture or similar arrangement with ataxable entity during the year? . .
b If "Yes," did the organization follow a written policy or procedure requiring the organization to evaluate itsparticipation in joint venture arrangements under applicable federal tax law, and take steps to safeguard theorganization's exempt status with respect to such arrangements?
Section C. Disclosure
10a N o
10b
Ila Yes
12a Yes
12b Yes
12c Yes
13 Yes
14 Yes
15a Yes
S5b Yes
16a Yes
S6b Yes
17 List the States with which a copy of this Form 990 is required to beAZ
18 Section 6104 requires an organization to make its Form 1023 (or 1024 if applicable), 990, and 990-T (501(c)(3)s only) available for public inspection Indicate how you made these available Check all that apply
[Own website F-Another's website [Upon request F-Other (explain in Schedule 0)
19 Describe in Schedule 0 whether (and if so, how) the organization made its governing documents, conflict ofinterest policy, and financial statements available to the public during the tax year
20 State the name, address, and telephone number of the person who possesses the organization's books and recordsPOPE 8125 N HAYDEN ROAD Scottsdale, AZ 85258 (480)882-4000
Form 990(2015)
Form 990 (2015) Page 7
Liga= Compensation of Officers, Directors ,Trustees , Key Employees, Highest Compensated
Employees , and Independent Contractors
Check if Schedule 0 contains a response or note to any line in this Part VII E
Section A. Officers , Directors, Trustees , Key Employees , and Highest Compensated Employees
la Complete this table for all persons required to be listed Report compensation for the calendar year ending with or within the organization'stax year
• List all of the organization's current officers, directors, trustees (whether individuals or organizations), regardless of amountof compensation Enter -0- in columns (D), (E), and (F) if no compensation was paid
• List all of the organization's current key employees, if any See instructions for definition of"key employee
• List the organization's five current highest compensated employees (other than an officer, director, trustee or key employee)who received reportable compensation (Box 5 of Form W-2 and/or Box 7 of Form 1099-MISC) of more than $ 100,000 from theorganization and any related organizations
• List all of the organization's former officers, key employees, or highest compensated employees who received more than $100,000of reportable compensation from the organization and any related organizations
• List all of the organization's former directors or trustees that received, in the capacity as a former director or trustee of theorganization, more than $10,000 of reportable compensation from the organization and any related organizations
List persons in the following order individual trustees or directors, institutional trustees, officers, key employees, highestcompensated employees, and former such persons
Check this box if neither the organization nor any related organization compensated any current officer, director, or trustee
(A)Name and Title
(B)Averagehours perweek (listany hours
(C)Position (do not check
more than one box, unlessperson is both an officerand a director/trustee)
(D)Reportable
compensationfrom the
organization (W-
(E)Reportable
compensationfrom relatedorganizations
(F)Estimated
amount of othercompensation
from thefor related
organizationsbelow
dotted line)
_c
`-1
Co
I•
1
;r
^r
rt.
-in
D
2, =
i,n .i•
^
L
-n
3
2/1099-MISC) (W- 2/1099-MISC)
organization andrelated
organizations
See Additional Data Table
Form 990 (2015)
Form 990 (2015) Page 8
Section A . Officers, Directors , Trustees, Key Employees, and Highest Compensated Employees (continued)
(A)Name and Title
(B)Averagehours perweek (listany hours
(C)Position (do not check
more than one box, unlessperson is both an officerand a director/trustee)
(D)Reportable
compensationfrom the
organization (W-
(E)Reportable
compensationfrom related
organizations (W-
(F)Estimated
amount of othercompensation
from thefor related
organizationsbelow
dotted line)
_1' :z,`-1
^o
I•
a
T
;i
_.
rt.
D
T, =Z)
n .i•
^^
T
I
2/1099-MISC) 2/1099-MISC) organization andrelated
organizations
See Additional Data Table
lb Sub-Total . . . . . . . . . . . . . . . . ►c Total from continuation sheets to Part VII, Section A . . . . ►d Total ( add lines lb and 1c) ► 20,908,018 0 1,023,170
2 Total number of individuals (including but not limited to those listed above) who received more than$ 100,000 of reportable compensation from the organization ► 1,356
No
3 Did the organization list any former officer, director or trustee, key employee, or highest compensated employee
on line la? If "Yes," complete ScheduleI for such individual . . . . . . . . . . . . . 3 No
4 For any individual listed on line la, is the sum of reportable compensation and other compensation from theorganization and related organizations greater than $150,000? If "Yes," complete Schedule I for such
individual . . . . . . . . . . . . . . . . . . . . . . . . . .
5 Did any person listed on line la receive or accrue compensation from any unrelated organization or individual for
services rendered to the organization?If "Yes," complete Schedule] forsuch person . . . . . . . 5 No
Section B. Independent Contractors
1 Complete this table for your five highest compensated independent contractors that received more than $100,000 ofcompensation from the organization Report compensation for the calendar year ending with or within the organization's tax year
(A) (B) (C)Name and business address Description of services Compensation
ConvergeOne Inc, IT Consulting 11,402,359NW 5806 PO BOX 1450MINNEAPOLIS, MN 55485
EPIC SYSTEMS CORP, IT Consulting 8,226,8951979 Mily WayVERONA, WI 53593
DPR CONSTRUCTION, Contruction services 5,754,281222 N 44th SteetPHOENIX, AZ 85034
Kitchell Contractors Inc of AZ, Contruction services 5,730,0101707 E Highland Suite 200PHOENIX, AZ 85016
Crothall Laundry Services, Laundry Services 4,184,196PO BOX 742268ATLANTA, GA 30374
2 Total number of independent contractors (including but not limited to those listed above) who received more than$ 100,000 of compensation from the organization ► 241
Form 990 (201 5 )
Form 990 (2015) Page 9
Statement of Revenue
Check if Schedule 0 contains a response or note to any line in this Part VIII T
(A) (B) (C) (D)Total revenue Related or Unrelated Revenue
exempt business excluded fromfunction revenue tax underrevenue sections
512-514
la Federated campaigns la
b Membership dues . . . . lb
E c Fundraising events . . . . 1cya
d Related organizations . ld 11,011,579
Ey
e Government grants (contributions) le 865,234..
O f All other contributions, gifts, grants, and ify similar amounts not included above
^ 0g Noncash contributions included in lines
. . la-1f $c -O h Total . Add lines la-If . 11,876,813V ►
Business Code
2a NET PATIENT REVENUE 622110 771,336,402 771,336,402ti
a b MEDICARE/MEDICAID PAYMENTS 900099 712,809,840 712,809,840
c OTHER OPERATING & COMMUNITY SVC 900099 29,626,233 29,626,233REVENUE
C
d FOOD SERVICE REVENUE 900099 4,260,313 4,260,313
E e AFFILIATE RENTAL INCOME 531120 2,970,673 2,970,673M
f All other program service revenue 14,924,893 14,906,574 18,319O
g Total . Add lines 2a-2f . . ► 1,535,928,354
3 Investment income (including dividends, interest,and other similar amounts) . , ► 2,415,824 2,415,824
4 Income from investment of tax-exempt bond proceeds ► 0
5 Royalties . . . . . . . . . . . ► 0
(i) Real (ii) Personal
6a Gross rents 2,054,366
b Less rental 448,702expenses
c Rental income 1,605,664 0or (loss)
d Net rental inco me or (loss) . . ► 1,605,664 1,605,664
(i) Securities (ii) Other
7a Gross amountfrom sales of 5,217,454 -41,112assets otherthan inventory
b Less cost orother basis andsales expenses
c Gain or (loss) 5,217,454 -41,112
d Net gain or (los s) ► 5,176,342 5,176,342
8a Gross income from fundraising4)
events (not including
of contributions reported on line 1c)
cc See Part IV, line 18
a
b Less direct expenses . lb ,
c Net income or (loss) from fundraising events . . ► 0
9a Gross income from gaming activitiesSee Part IV, line 19 . .
a
b Less direct expenses . b
c Net income or (loss) from gaming acti vities . . . 0
00,10a Gross sales of inventory, less
returns and allowances .
a 1,254,526
b Less cost of goods sold . b 714,840
c Net income or (loss) from sales of inventory . ► 539,686 539,686
Miscellaneous Revenue Business Code
11a
b
C
d All other revenue . .
e Total . Add lines lla- lld . ►0
12 Total revenue . See Instructions . ►1,557,542,683 1,536,449,721 18,319 9,197,830
Form 990 (2015)
Form 990 (2015) Page 10
Ligg= Statement of Functional Expenses
Section 501(c)(3) and 501(c)(4) organizations must complete all columns All other organizations must complete column (A)
Check if Schedule 0 contains a response or note to any line in this Part IX
T
Do not include amounts reported on lines 6b,
7b, 8b, 9b, and 10b of Part VIII .
(A)
Total expenses
(e )Program service
expenses
( C)Management andgeneral expenses
(D)Fundraisingexpenses
1 Grants and other assistance to domestic organizations and
domestic governments See Part IV, line 21 . . . . 975,918 975,918
2 Grants and other assistance to domesticindividuals See Part IV, line 22 . 0
3 Grants and other assistance to foreign organizations, foreigngovernments, and foreign individuals See Part IV, lines 15and 16 . . . . . . . . . . . 0
4 Benefits paid to or for members . 0
5 Compensation of current officers, directors, trustees, and
key employees . . . . 17,849,938 17,849,938
6 Compensation not included above, to disqualified persons
(as defined under section 4958(f)(1 )) and persons
described in section 4958(c)(3)(B) 464,160 464,160
7 Other salaries and wages 540,852,687 455,416,005 85,436,682
8 Pension plan accruals and contributions (include section 401(k)
and 403(b) employer contributions) 17,014,813 14,327,040 2,687,773
9 Other employee benefits 47,730,375 40,190,568 7,539,807
10 Payroll taxes39,059,348 32,889,274 6,170,074
11 Fees for services (non-employees)
a Management 158,156,778 133,173,283 24,983,495
b Legal 4,244,984 4,244,984
c Accounting . . . . . . . . . . 185,901 185,901
d Lobbying 126,265 126,265
e Professional fundraising services See Part IV, line 17 0
f Investment management fees . 0
g Other (If line 11g amount exceeds 10% of line 25, column (A)
amount, list line 11g expenses on Schedule O) . 149,852,920 126,181,158 23,671,762
12 Advertising and promotion 2,664,917 2,243,949 420,968
13 Office expenses 14,542,756 12,245,486 2,297,270
14 Information technology 2,605,755 2,194,133 411,622
15 Royalties . 0
16 Occupancy 27,620,906 23,257,724 4,363,182
17 Travel . . . . . . . . . . . 1,368,424 1,152,259 216,165
18 Payments of travel or entertainment expenses for any federal,state, or local public officials 0
19 Conferences, conventions, and meetings 402,562 338,971 63,591
20 Interest . 24,540,509 20,663,927 3,876,582
21 Payments to affiliates 0
22 Depreciation, depletion, and amortization 67,524,854 56,858,180 10,666,674
23 Insurance 3,093,786 2,605,071 488,715
24 Other expenses Itemize expenses not covered above (Listmiscellaneous expenses in line 24e If line 24e amount exceeds10% of line 25, column (A) amount, list line 24e expenses onSchedule 0 )
a MEDICAL SUPPLIES 323,433,367 323,433,367
b EQUIPMENT RENTAL 16,913,852 14,242,028 2,671,824
c PROVIDER TAX 13,225,046 13,225,046
d REPAIRS 5,441,832 4,582,204 859,628
e All other expenses 21,480,134 18,086,989 3,393,145
25 Total functional expenses . Add lines 1 through 24e 1,501,372,787 1,298,873,005 202,499,782 0
26 Joint costs.Complete this line only if the organizationreported in column (B) joint costs from a combinededucational campaign and fundraising solicitation
Check here ► F- iffollowing SOP 98-2 (ASC 958-720)
Form 990 (2015)
Form 990 (2015) Page 11
Balance Sheet
Check if Schedule 0 contains a response or note to any line in this Part X P
(A) (B)Beginning of year End of year
1 Cash-non-interest-bearing 5,790,082 1 0
2 Savings and temporary cash investments 81,368,500 2 23,378,036
3 Pledges and grants receivable, net . 324,462 3 0
4 Accounts receivable, net . 206,368,343 4 262,173,150
5 Loans and other receivables from current and former officers, directors,trustees, key employees, and highest compensated employees Complete PartII ofSchedule L . .
0 5 0
6 Loans and other receivables from other disqualified persons (as defined undersection 4958(f)(1)), persons described in section 4958(c)(3)(B), andcontributing employers and sponsoring organizations of section 501(c)(9)voluntary employees' beneficiary organizations (see instructions) CompletePart II of Schedule L
0 6 0
Q 7 Notes and loans receivable, net . 2,757,268 7 1,039,622
8 Inventories for sale or use 44,184,793 8 44,665,229
9 Prepaid expenses and deferred charges 14,038,736 9 20,109,020
10a Land, buildings, and equipment cost or other basisComplete Part VI of Schedule D 10a 1,478,655,599
b Less accumulated depreciation . 10b 849,950,984 645,206 ,127 10c 628,704,615
11 Investments-publicly traded securities 166,886,309 11 173,059,507
12 Investments-other securities See Part IV, line 11 14,685,627 12 7,288,088
13 Investments-program-related See Part IV, line 11 22,174,425 13 22,416,617
14 Intangible assets . . . . . . . . . . . . . . 0 14 0
15 Other assets See Part IV, line 11 278,218,317 15 264,598,476
16 Total assets.Add lines 1 through 15 (must equal line 34) . 1,482,002, 989 16 1,447,432,360
17 Accounts payable and accrued expenses 156,313,381 17 121,416,535
18 Grants payable . . . . . . . . . . . . . . . . 0 18 0
19 Deferred revenue 4,681,017 19 4,470,437
20 Tax-exempt bond liabilities . . . . . . . . . . . . 423,332,758 20 336,809,742
21 Escrow or custodial account liability Complete Part IV of Schedule D . 0 21 0V,
22 Loans and other payables to current and former officers, directors, trustees,key employees, highest compensated employees, and disqualified
persons Complete Part II of Schedule L . . . . . . . . . 0 22 0
23 Secured mortgages and notes payable to unrelated third parties 608,922 23 80,962,147
24 Unsecured notes and loans payable to unrelated third parties 0 24 0
25 Other liabilities (including federal income tax, payables to related third parties,and other liabilities not included on lines 17-24)Complete Part X of Schedule D
45,239,133 25 14,421,675
26 Total liabilities .Add lines 17 through 25 . 630,175,211 26 558,080,536
Organizations that follow SFAS 117 ( ASC 958 ), check here ► Wand complete
lines 27 through 29, and lines 33 and 34.
2 27 Unrestricted net assets 844,757,272 27 883,472,774MC3 28 Temporarily restricted net assets 3,696, 159 28 2,514,703
29 Permanently restricted net assets 3,374,347 29 3,364,347
Organizations that do not follow SFAS 117 (ASC 958), check here ► F and
complete lines 30 through 34.
un 30 Capital stock or trust principal, or current funds 30
's 31 Paid-in or capital surplus, or land, building or equipment fund 31
32 Retained earnings, endowment, accumulated income, or other funds 32
Z 33 Total net assets or fund balances . . . . . . . . . . 851,827,778 33 889,351,824
34 Total liabilities and net assets/fund balances 1,482,002,989 34 1,447,432,360
Form 990 (2015)
Form 990 (2015) Page 12
Reconcilliation of Net Assets
Check if Schedule 0 contains a response or note to any line in this Part XI
1 Total revenue (must equal Part VIII, column (A), line 12) . .
2 Total expenses (must equal Part IX, column (A), line 25) . .
3 Revenue less expenses Subtract line 2 from line 1
4 Net assets or fund balances at beginning of year (must equal Part X, line 33, column (A))
5 Net unrealized gains (losses) on investments
6 Donated services and use of facilities
7 Investment expenses . .
8 Prior period adjustments . .
9 Other changes in net assets or fund balances (explain in Schedule 0)
10 Net assets or fund balances at end of year Combine lines 3 through 9 (must equal Part X, line 33,column (B))
Financial Statements and Reporting
Check if Schedule 0 contains a response or note to any line in this Part XII .
1 1,557,542,683
2 1,501 ,372,787
3 56,169,896
4 851 ,827,778
5 -11,086,204
6
7
8
9 -7,559,646
10 889,351,824
Yes No
1 Accounting method used to prepare the Form 990 F-Cash [Accrual F-OtherIf the organization changed its method of accounting from a prior year or checked "Other," explain inSchedule 0
2a Were the organization's financial statements compiled or reviewed by an independent accountant? 2a No
If'Yes,'check a box below to indicate whether the financial statements for the year were compiled or reviewed ona separate basis, consolidated basis, or both
F- Separate basis F- Consolidated basis F- Both consolidated and separate basis
b Were the organization's financial statements audited by an independent accountant? 2b Yes
If'Yes,'check a box below to indicate whether the financial statements for the year were audited on a separatebasis, consolidated basis, or both
F- Separate basis [7 consolidated basis F- Both consolidated and separate basis
c If "Yes," to line 2a or 2b, does the organization have a committee that assumes responsibility for oversightof the audit, review, or compilation of its financial statements and selection of an independent accountant? 2c Yes
If the organization changed either its oversight process or selection process during the tax year, explain inSchedule 0
3a As a result of a federal award, was the organization required to undergo an audit or audits as set forth in theSingle Audit Act and OMB CircularA-133? 3a Yes
b If "Yes," did the organization undergo the required audit or audits? If the organization did not undergo therequired audit or audits, explain why in Schedule 0 and describe any steps taken to undergo such audits 3b Yes
Form 990 (201 5 )
Additional Data
Software ID:
Software Version:
EIN: 86-0181654
Name : SCOTTSDALE HEALTHCARE HOSPITALS
Form 990, Part VII - Compensation of Officers, Directors,Trustees, Key Employees, HighestCompensated Employees, and Independent Contractors
(A) (B) (C) (D ) ( E) (F)Name and Title Average Position (do not check Reportable Reportable Estimated
hours per more than one box, unless compensation compensation amount of otherweek (list person is both an officer from the from related compensationany hours and a director/trustee) organization organizations from thefor related
7c 'I' = T(W- 2/1099- (W- 2/1099- organization
organizations MISC) MISC) and relatedbelow = a t organizations
dotted line) F _r. 0
.1 :5
';D
'I• ^^
THOMAS Sadvary 35 0
...................................................................... "•'•'•'•'•'•'••' X X 2,423,818 0 32,88-DIRECTOR/CEO, HONORHEALTH 5 0
Rhonda Forsyth 38 0
...................................................................... "•'•'•'•'•'•'••' X X 1,184,999 0 101,25EDIRECTOR/PRES, HONORHEALTH 2 0
Steve Wheeler 1 0
...................................................................... •••••••••••••••• X X 45,600 0Director/Chairman 1 0
Frank Pugh 1 0
...................................................................... "•'•'•'•'•'•'••' X X 42,560 0Director/Vice Chair 1 0
John Grotting 1 0
...................................................................... "•'•'•'•'•'•'••' X X 38,000 0Director/Secretary 1 0
Michael Stanley 1 0
...................................................................... "•'•'•'•'•'•'••' X X 42,560 0Director/Treasurer 1 0
Raymond Barton 1 0
...................................................................... •••••••••••••••• X 38,000 0Director 1 0
Drew Brown 1 0
...................................................................... •••••••••••••••• X 42,560 0Director 1 0
Richard P Fox 1 0
...................................................................... •••••••••••••••• X 40,280 0Director 1 0
Karrie Francois MD 1 0
................................................................... ................ X 48,325 0DiDrector 1 0
Form 990, Part VII - Compensation of Officers, Directors,Trustees, Key Employees, HighestCompensated Employees, and Independent Contractors
(A) (B) (C) (D ) ( E) (F)Name and Title Average Position (do not check Reportable Reportable Estimated
hours per more than one box, compensation compensation amount ofweek (list unless person is both an from the from related otherany hours officer and a organization organizations compensationfor related director/trustee) (W- 2/1099- (W- 2/1099- from the
organizations7c 'I' = T
MISC) MISC) organizationbelow ZI^ and related
dotted line) t ^11, organizations'
D
'I• ^^
Brad Gazaway 1 0
...................................................................... "•'•'•'•'•'•"•' X 40,280 0 0Director 1 0
Pete Hathaway 1 0
...................................................................... •••••••••••••••• X 42,560 0 0Director 1 0
Kathryn Jo Lincoln 1 0
...................................................................... "•'•'•'•'•'•"•' X 38,000 0 0Director 1 0
Julie Arvo MacKenzie 1 0
...................................................................... "•'•'•'•'•'•"•' X 38,000 0 0Director 3 0
Larry Seay 1 0
...................................................................... "•'•'•'•'•'•"•' X 38,000 0 0Director 2 0
Elena Sibley MD 1 0
...................................................................... "•'•'•'•'•'•"•' X 62,000 0 0Director 1 0
Richard Silverman 1 0
...................................................................... •••••••••••••••• X 42,560 0 0Director 1 0
Maria Divina Soriano MD 1 0
...................................................................... "•'•'•'•'•'•"•' X 42,560 0 0Director 1 0
Margie Traylor 1 0
...................................................................... "•'•'•'•'•'•"•' X 38,000 0 0Director 1 0
Kathleen Wade 1 0
...................................................................... ................. X 38,000 0 0Director 1 0
Form 990, Part VII - Compensation of Officers, Directors,Trustees, Key Employees, HighestCompensated Employees, and Independent Contractors
(A) (B) (C) (D ) ( E) (F)Name and Title Average Position (do not check Reportable Reportable Estimated
hours per more than one box, compensation compensation amount ofweek (list unless person is both an from the from related otherany hours officer and a organization organizations compensationfor related director/trustee) (W- 2/1099- (W- 2/1099- from the
organizations7c 'I' = T
MISC) MISC) organizationbelow ZI^ and related
dotted line) t ^11, organizations
D
'I• ^^
Mike Welborn 1 0
...................................................................... "•'•'•'•'•'•"•' X 38,000 0 0Director 1 0
James Burke MD 38 0
...................................................................... •••••••••••••••• X 634,354 0 19,817SVP/CHIEF PHYSICIAN EXECUTIVE 2 0
Alan Kelly 35 0
...................................................................... "•'•'•'•'•'•..•' X 835,705 0 14,346SVP/General Counsel 5 0
Todd LaPorte 36 0
...................................................................... "•'•'•'•'•'•"•' X 1,877,062 0 90,936EVP/CHIEF ADMIN OFFICER 4 0
Carol Henderson MCCUNE 38 0
...................................................................... "•'•'•'•'•'•"•' X 812,574 0 16,224SVP/CHIEF TALENT OFFICER 2 0
Nathan Anspach 39 0
...................................................................... "•'•'•'•'•'•"•' X 551,451 0 69,874SVP/CEO Physician Network 1 0
Gary Baker 39 0
...................................................................... •••••••••••••••• X 2,122,780 0 71,916SVP/OPERATIONS 1 0
Alaina Chabrier 39 0
...................................................................... "•'•'•'•'•'•"•' X 336,770 0 54,795VP Marketing & Communications 1 0
Joanne Clavelle 39 0
...................................................................... "•'•'•'•'•'•"•' X 440,034 0 48,256SVP/CCO 1 0
John Harrington JR 39 0
................................................... "•'•'•'•'•'•"•' X 558,104 0 69,787SVP/Operations 1 0
Form 990, Part VII - Compensation of Officers, Directors,Trustees, Key Employees, HighestCompensated Employees, and Independent Contractors
(A) (B) (C) (D) (E) (F)Name and Title Average Position (do not check Reportable Reportable Estimated
hours per more than one box, compensation compensation amount ofweek (list unless person is both an from the from related otherany hours officer and a organization organizations compensationfor related director/trustee) (W- 2/1099- (W- 2/1099- from the
organizations7c 'I' = T
MISC) MISC) organizationbelow ZI^ and related
dotted line) t ^11, organizations
D
'I• ^^
Stephanie Jackson MD 39 0
...................................................................... "•'•'•'•'•'•..•' X 220,765 0 10,259VP Quality/CMO 1 0
David Lamparter 39 0
...................................................................... •••••••••••••••• X 751,989 0 38,424INTEGRATION OFFICER 1 0
John Neil MD 39 0
...................................................................... "•'•'•'•'•'•..•' X 189,033 0 19,913SVP/CPE 1 0
Bruce Pearson 39 0
...................................................................... "•'•'•'•'•'•"•' X 697,819 0 76,379SVP/COO 1 0
Kimberly A Post 39 0
...................................................................... "•'•'•'•'•'•"•' X 1,493,338 0 64,269SVP/CCO 1 0
Chuck Scully 39 0
...................................................................... "•'•'•'•'•'•"•' X 470,718 0 18,783SVP/CIO 1 0
Rich Silver MD 39 0
...................................................................... •••••••••••••••• X 571,921 0 73,069SVP POPULATION MANAGEMENT 1 0
DAVID RIZIK MD 40 0
...................................................................... "•'•'•'•'•'•"•' X 986,384 0 37,098MEDICAL DIRECTOR 0 0
JOSEPH FARES MD 40 0
...................................................................... "•'•'•'•'•'•"•' X 784,239 0 13,038PHYSICIAN 0 0
FRANK MITCHELL MD 40 0
"•'•'•'•'•'•"•' X 742,959 0 35,435MEDICAL DIRECTOR
Form 990, Part VII - Compensation of Officers, Directors,Trustees, Key Employees, HighestCompensated Employees, and Independent Contractors
(A) (B) (C) (D ) ( E) (F)Name and Title Average Position (do not check Reportable Reportable Estimated
hours per more than one box, compensation compensation amount ofweek (list unless person is both an from the from related otherany hours officer and a organization organizations compensationfor related director/trustee) (W- 2/1099- (W- 2/1099- from the
organizations MISC) MISC) organizationbelow ZI^ and related
dotted line) t ^11, organizations
D
'I• ^^
JEFFREY VAN LIER RIBBINK MD 40 0
...................................................................... "•'•'•'•'•'•"•' X 736,184 0 33,311SURGICAL ONCOLOGIST 0 0
JAMES SWAIN MD 40 0
•••••••••••••••• X 689,173 0 13,103BARIATRIC SURGEON
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
SCHEDULE A Public Charity Status and Public SupportOMB No 1545-0047
(Form 990 or Complete if the organization is a section 501(c)( 3) organization or a section
20 1 5990EZ) 4947 ( a)(1) nonexempt charitable trust.► Attach to Form 990 or Form 990-EZ.
Open to Public -Department of the ► Information about Schedule A (Form 990 or 990-EZ) and its instructions is at
InspectionTreasury www.irs.gov /form990.
Internal Ravenna Semite
Name of the organization Employer identification numberSCOTTSDALE HEALTHCARE HOSPITALS
86-0181654
Mi^ Reason for Public Charity Status (All organizations must complete this part.) See instructions.
The organization is not a private foundation because it is (For lines 1 through 11, check only one box )
1 F- A church, convention of churches, or association of churches described in section 170(b )( 1)(A)(i).
2 F A school described in section 170(b )(1)(A)(ii).(Attach Schedule E (Form 990 or 990-EZ))
3 A hospital or a cooperative hospital service organization described in section 170(b )( 1)(A)(iii).
4 p A medical research organization operated in conjunction with a hospital described in section 170(b )(1)(A)(iii). Enter the
hospital's name, city, and state5 p An organization operated for the benefit of a college or university owned or operated by a governmental unit described in section
170(b )(1)(A)(iv). (Complete Part II )6 p A federal, state, or local government or governmental unit described in section 170 ( b)(1)(A)(v).
7 p A n organization that normally receives a substantial part of its support from a governmental unit or from the general publicdescribed in section 170(b )(1)(A)(vi). (Complete Part II )
8 p A community trust described in section 170(b )(1)(A)(vi) (Complete Part II )
9 p An organization that normally receives (1) more than 331/3% of its support from contributions, membership fees, and grossreceipts from activities related to its exempt functions-subject to certain exceptions, and (2) no more than 331/3% of its supportfrom gross investment income and unrelated business taxable income (less section 511 tax) from businesses acquired by theorganization after June 30, 1975 Seesection 509(a )(2). (Complete Part III )
10 p A n organization organized and operated exclusively to test for public safety See section 509(a)(4).
11 p An organization organized and operated exclusively for the benefit of, to perform the functions of, or to carry out the purposes ofone or more publicly supported organizations described in section 509(a)(1) or section 509(a)(2) See section 509(a)(3). Checkthe box in lines 1la through l Id that describes the type of supporting organization and complete lines l le, 11f, and 11g
a p Type I. A supporting organization operated, supervised, or controlled by its supported organization(s), typically by giving thesupported organization(s) the power to regularly appoint or elect a majority of the directors or trustees of the supportingorganization You must complete Part IV, Sections A and B.
b p Type II. A supporting organization supervised or controlled in connection with its supported organization(s), by having control ormanagement of the supporting organization vested in the same persons that control or manage the supported organization(s) Youmust complete Part IV, Sections A and C.
c p Type III functionally integrated . A supporting organization operated in connection with, and functionally integrated with, itssupported organization(s) (see instructions) You must complete Part IV, Sections A , D, and E.
d p Type III non -functionally integrated . A supporting organization operated in connection with its supported organization(s) that isnot functionally integrated The organization generally must satisfy a distribution requirement and an attentiveness requirement(see instructions) You must complete Part IV , Sections A and D, and Part V.
e p Check this box if the organization received a written determination from the IRS that it is a Type I, Type II, Type III functionallyintegrated, or Type III non-functionally integrated supporting organization
f Enter the number of supported organizations . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
g Provide the following information about the supported organization(s)
(i)Name of supported organization
(ii)EIN (iii)Type of
organization(described on lines1- 9 above (seeinstructions))
(iv)Is the organization
listed in your governingdocument?
(v)Amount of
monetary support(see instructions)
(vi)Amount of othersupport (seeinstructions)
Yes No
Total
For Paperwork Reduction Act Notice , see the Instructions for Form 990 or 990EZ . Cat No 11285FSchedule A (Form 990 or 990-EZ) 2015
Schedule A (Form 990 or 990-EZ) 2015 Page 2
Support Schedule for Organizations Described in Sections 170(b )( 1)(A)(iv) and 170(b )( 1)(A)(vi)(Complete only if you checked the box on line 5, 7, or 8 of Part I or if the organization failed to qualify underPart III. If the organization fails to qualify under the tests listed below, please complete Part III.)
Section A. Public Support
Calendar year(or fiscal year beginning in) ►
(a)2011 (b)2012 (c)2013 (d)2014 (e)2015 (f)Total
1 Gifts, grants, contributions, andmembership fees received (Donot include any unusual grants
2 Tax revenues levied for theorganization's benefit and eitherpaid to or expended on its behalf
3 The value of services or facilitiesfurnished by a governmental unitto the organization without charge
4 Total . Add lines 1 through 3
5 The portion of total contributionsby each person (other than agovernmental unit or publiclysupported organization) includedon line 1 that exceeds 2% of theamount shown on line 11, column(f)
6 Public support . Subtract line 5from line 4
Section B. Total Support
Calendar year(or fiscal year beginning in) ►7 Amounts from line 4
8 Gross income from interest,dividends, payments received onsecurities loans, rents, royaltiesand income from similar sources
9 Net income from unrelatedbusiness activities, whether ornot the business is regularlycarried on
10 Other income Do not includegain or loss from the sale ofcapital assets (Explain in PartVI)
11 Total support . Add lines 7through 10
(a)2011 (b)2012 (c)2013 (d)2014 (e)2015 (f)Total
12 Gross receipts from related activities, etc (see instructions) 12
13 First five years .If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a section 501(c)(3) organization,
check this box and stop here ► E. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section C . Computation of Public Support Percentage
14 Public support percentage for 2015 (line 6, column (f) divided by line 11, column (f)) 14
15 Public support percentage for 2014 Schedule A, Part II, line 14 15
16a 331 / 3% support test - 2015 .Ifthe organization did not check the box on line 13, and line 14 is 33 1/3% or more, check this box
and stop here . The organization qualifies as a publicly supported organization ► Fb 331 / 3% support test - 2014.Ifthe organization did not check a box on line 13 or 16a, and line 15 is 33 1/3% or more, check this
box and stop here . The organization qualifies as a publicly supported organization ► F17a 10%-facts-and-circumstances test -2015.Ifthe organization did not check a box on line 13, 16a, or 16b, and line 14
is 10% or more, and if the organization meets the facts-and-circumstances test, check this box and stop here . Explainin Part VI how the organization meets the "facts -and-circumstances" test The organization qualifies as a publicly supported
organization ► Fb 10%-facts-and-circumstances test -2014.Ifthe organization did not check a box on line 13, 16a, 16b, or 17a, and line
15 is 10% or more, and if the organization meets the "facts -and-circumstances" test, check this box and stop here.Explain in Part VI how the organization meets the "facts -and-circumstances" test The organization qualifies as a publicly
supported organization ► p18 Private foundation .If the organization did not check a box on line 13, 16a, 16b, 17a, or 17b, check this box and see
instructions ► F
Schedule A (Form 990 or 990-EZ) 2015
Schedule A (Form 990 or 990-EZ) 2015 Page 3
IMMISTM Support Schedule for Organizations Described in Section 509(a)(2)(Complete only if you checked the box on line 9 of Part I or if the organization failed to qualify under PartII. If the organization fails to qualify under the tests listed below, please complete Part II.)
Section A. Public SupportCalendar year
(a)2011 (b)2012 (c)2013 (d)2014 (e)2015 (f)Total(or fiscal year beginning in) ►1 Gifts, grants, contributions, and
membership fees received (Donot include any "unusual grants ')
2 Gross receipts from admissions,merchandise sold or servicesperformed, or facilities furnishedin any activity that is related tothe organization's tax-exemptpurpose
3 Gross receipts from activitiesthat are not an unrelated trade orbusiness under section 513
4 Tax revenues levied for theorganization's benefit and eitherpaid to or expended on its behalf
5 The value of services or facilitiesfurnished by a governmental unitto the organization without charge
6 Total . Add lines 1 through 5
7a Amounts included on lines 1, 2,and 3 received from disqualifiedpersons
b Amounts included on lines 2 and3 received from other thandisqualified persons that exceedthe greater of $5,000 or 1% ofthe amount on line 13 for the year
c Add lines 7a and 7b
8 Public support . (Subtract line 7cfrom line 6 )
Section B. Total Support
Calendar year(a)2011 (b)2012 (c)2013 (d)2014 (e)2015 (f)Total
(or fiscal year beginning in) ►9 Amounts from line 6
10a Gross income from interest,dividends, payments received onsecurities loans, rents, royaltiesand income from similar sources
b Unrelated business taxableincome (less section 511 taxes)from businesses acquired afterJune 30, 1975
c Add lines 10a and 10b
11 Net income from unrelatedbusiness activities not includedin line lob, whether or not thebusiness is regularly carried on
12 Other income Do not includegain or loss from the sale ofcapital assets (Explain in PartVI )
13 Total support . (Add lines 9, 10c,11, and 12 )
14 First five years .If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a section 501(c)(3) organization,
check this box and stop here ► ESection C. Computation of Public Support Percentage
15 Public support percentage for 2015 (line 8, column (f) divided by line 13, column (f))
16 Public support percentage from 2014 Schedule A, Part III, line 15
Section D. Computation of Investment Income Percentage
17 Investment income percentage for 2015 (line l Oc, column (f) divided by line 13, column (f))
18 Investment income percentage from 2014 Schedule A, Part III, line 17
19a 331 / 3% support tests- 2015 .Ifthe organization did not check the box on line 14 , and line 15 is more than 33 1/3 %, and line 17 is not
more than 33 1/3%, check this box and stop here . The organization qualifies as a publicly supported organization ► Fb 331 / 3% support tests- 2014.Ifthe organization did not check a box on line 14 or line 19a, and line 16 is more than 33 1/3% and line
18 is not more than 33 1/3%, check this box and stop here. The organization qualifies as a publicly supported organization ► F20 Private foundation . Ifthe organization did not check a box on line 14, 19a, or 19b, check this box and see instructions ► F
Schedule A (Form 990 or 990-EZ) 2015
Schedule A (Form 990 or 990-EZ) 2015 Page 4
Supporting Organizations
(Complete only if you checked a box on line 11 of Part I If you checked 11a of Part I, complete Sections A and B If you checked1lb of Part I, complete Sections A and C If you checked 1Ic of Part I, complete Sections A, D, and E If you checked l ld of PartI, complete Sections A and D, and complete Part V
Section A. All Supportincl Organizations
No
1 Are all of the organization's supported organizations listed by name in the organization's governing documents?If "No," describe in Part VI how the supported organizations are designated If designated by class or purpose,describe the designation If historic and continuing relationship, explain
2 Did the organization have any supported organization that does not have an IRS determination of status undersection 509(a)(1 ) or (2 )?If "Yes," explain in Part VZ how the organization determined that the supported organization was described in section509(a)(1) or (2)
3a Did the organization have a supported organization described in section 501(c)(4), (5), or (6)?If "Yes," answer (b) and (c) below
b Did the organization confirm that each supported organization qualified under section 501(c)(4), (5), or (6) andsatisfied the public support tests under section 509(a)(2)''If "Yes," describe in Part VZ when and how the organization made the determination
c Did the organization ensure that all support to such organizations was used exclusively for section 170(c)(2)(B)purposes?If "Yes," explain in Part VZ what controls the organization put rn place to ensure such use
4a Was any supported organization not organized in the United States ("foreign supported organization")?If "Yes"and if you checked 11a or 11b rn Part I, answer (b) and (c) below 4a
b Did the organization have ultimate control and discretion in deciding whether to make grants to the foreignsupported organization?If "Yes,"describe in Part VI how the organization had such control and discretion despite being controlled or supervised 4b
by or in connection with Its supported organizations
c Did the organization support any foreign supported organization that does not have an IRS determination undersections 501(c)(3) and 509(a)(1) or (2)?If "Yes,"explain in Part VI what controls the organization used to ensure that all support to the foreign supportedorganization was used exclusively for section 170(c)(2)(B) purposes
5a Did the organization add, substitute, or remove any supported organizations during the tax year?If "Yes,"answer (b) and (c) below (if applicable) Also, provide detail in Part VI, including (r) the names and EINnumbers of the supported organizations added, substituted, or removed, (n) the reasons for each such action, (III) theauthority under the organization's organizing document authorizing such action, and (iv) how the action wasaccomplished (such as by amendment to the organizing document)
b Type I or Type II only . Was any added or substituted supported organization part of a class already designated itthe organization's organizing document?
c Substitutions only. Was the substitution the result of an event beyond the organization's control?
6 Did the organization provide support (whether in the form of grants or the provision of services or facilities) toanyone other than (a) its supported organizations, (b) individuals that are part of the charitable class benefited bone or more of its supported organizations, or (c) other supporting organizations that also support or benefit oneor more of the filing organization's supported organizations? If "Yes, "provide detail in Part VI.
7 Did the organization provide a grant, loan, compensation, or other similar payment to a substantial contributor(defined in IRC 4958(c)(3)(C)), a family member ofa substantial contributor, or a 35-percent controlled entitywith regard to a substantial contributor? If "Yes,"complete Part l of Schedule L (Form 990)
8 Did the organization make a loan to a disqualified person (as defined in section 4958) not described in line 7?If "Yes," complete Part II of Schedule L (Form 990)
9a Was the organization controlled directly or indirectly at any time during the tax year by one or more disqualifiedpersons as defined in section 4946 (other than foundation managers and organizations described in section 509(a)(1) or (2))? If "Yes,"provide detail rn Part VI.
b Did one or more disqualified persons (as defined in line 9(a)) hold a controlling interest in any entity in which thesupporting organization had an interest? If "Yes,"provide detail rn Part V7.
c Did a disqualified person (as defined in line 9(a)) have an ownership interest in, or derive any personal benefitfrom, assets in which the supporting organization also had an interest? If "Yes,"provide detail rn Part V7.
10a Was the organization subject to the excess business holdings rules of IRC 4943 because of IRC 4943(f)(regarding certain Type II supporting organizations, and all Type III non-functionally integrated supportingorganizations)? If "Yes,"answer b below
b Did the organization have any excess business holdings in the tax year? (Use Schedule C, Form 4720, to determinewhether the organization had excess business holdings)
11 Has the organization accepted a gift or contribution from any of the following persons?
a A person who directly or indirectly controls, either alone or together with persons described in (b) and (c) below,the governing body of a supported organization?
b A family member of a person described in (a) above?
c A 35% controlled entity of a person described in (a) or (b) above''If "Yes "to a, b, or c, provide detail in Part VI
Schedule A (Form 990 or 990-EZ) 2015
4c
Schedule A (Form 990 or 990-EZ) 2015 Page 5
Supporting organizations (continued)
Section B. Type I Supporting Organizations
Did the directors, trustees, or membership of one or more supported organizations have the power to regularlyappoint or elect at least a majority of the organization's directors or trustees at all times during the tax year?If "No,"describe rn Part VI how the supported organization(s) effectively operated, supervised, or controlled theorganization's activities If the organization had more than one supported organization, describe how the powers toappoint and/or remove directors or trustees were allocated among the supported organizations and what conditions orrestrictions, if any, applied to such powers during the tax year
2 Did the organization operate for the benefit of any supported organization other than the supported organization(sthat operated, supervised, or controlled the supporting organization?If "Yes,"explain in Part VZ how providing such benefit carried out the purposes of the supported organization(s) thatoperated, supervised or controlled the supporting organization
No
Section C. Type II Supporting Organizations
Were a majority of the organization's directors or trustees during the tax year also a majority of the directors ortrustees of each of the organization's supported organization(s)'If "No,"describe rn Part VI how control or management of the supporting organization was vested in the same personsthat controlled or managed the supported organization(s)
No
Did the organization provide to each of its supported organizations, by the last day of the fifth month of theorganization's tax year, (1) a written notice describing the type and amount of support provided during the priortax year, (2) a copy of the Form 990 that was most recently filed as of the date of notification, and (3) copies ofthe organization's governing documents in effect on the date of notification, to the extent not previously provided?
2 Were any of the organization's officers, directors, or trustees either (i) appointed or elected by the supportedorganization(s) or (ii) serving on the governing body of a supported organization?If "No," explain rn Part VI how the organization maintained a close and continuous working relationship with thesupported organization(s)
No
3 By reason of the relationship described in (2), did the organization's supported organizations have a significantvoice in the organization's investment policies and in directing the use of the organization's income or assets atall times during the tax year?If "Yes,"describe in Part VZ the role the organization's supported organizations played rn this regard 3
Section E. Tvne III Functionally-Integrated Sunnortina Oraanizations
Check the box next to the method that the organization used to satisfy the Integral Part Test during the year ( see instructions)
F- The organization satisfied the Activities Test Complete line 2 below
p The organization is the parent of each of its supported organizations Complete line 3 below
p The organization supported a governmental entity Describe in Part VI how you supported a government entity (seeinstructions)
Activities Test Answer ( a) and ( b) below.
a Did substantially all of the organization's activities during the tax year directly further the exempt purposes oftFsupported organization(s) to which the organization was responsive?If "Yes,"then rn Part VI identify those supported organizations and exp lain how these activities directlyfurthered their exempt purposes, how the organization was responsive to those supported organizations, and how theorganization determined that these activities constituted substantially all of Its activities
b Did the activities described in (a) constitute activities that, but for the organization's involvement, one or more cthe organization's supported organization(s) would have been engaged in?If "Yes," explain in Part VZ the reasons for the organization's position that Its supported organization(s) would haveengaged rn these activities but for the organization's involvement
3 Parent of Supported Organizations Answer ( a) and ( b) below.
a Did the organization have the power to regularly appoint or elect a majority of the officers, directors, or trusteeseach of the supported organizations? Provide details in Part VI
b Did the organization exercise a substantial degree of direction over the policies, programs and activities of eachof its supported organizations? If "Yes," describe in Part VI the role played by the organization rn this regard
Schedule A (Form 990 or 990-EZ) 2015
Schedule A (Form 990 or 990-EZ) 2015 Page 6
Type III Non - Functionally Integrated 509(a )( 3) Supporting Organizations
1 Check here if the organization satisfied the Integral Part Test as a qualifying trust on Nov 20, 1970 See instructions . All other
Type III non-functionally integrated supporting organizations must complete Sections A through E E
Section A - Adjusted Net Income (A) Prior Year(B) Current Year
(optional)
1 Net short-term capital gain 1
2 Recoveries of prior-year distributions 2
3 Other gross income (see instructions) 3
4 Add lines 1 through 3 4
5 Depreciation and depletion 5
Portion of operating expenses paid or incurred for production or collection of6 gross income or for management, conservation, or maintenance of property
held for production of income (see instructions) 6
7 Other expenses (see instructions) 7
8 Adjusted Net Income (subtract lines 5, 6 and 7 from line 4) 8
Section B - Minimum Asset Amount (A) Prior Year(B) Current Year
(optional)
1 Aggregate fair market value of all non-exempt-use assets (seeinstructions for short tax year or assets held for part of year) 1
a Average monthly value of securities la
b Average monthly cash balances lb
c Fair market value of other non-exempt-use assets Sc
d Total (add lines la, lb, and lc) Id
Discount claimed for blockage or other factorse (explain in detail in Part VI)
2 Acquisition indebtedness applicable to non-exempt use assets 2
3 Subtract line 2 from line Id 3
4 Cash deemed held for exempt use Enter 1-1/2% of line 3 (for greateramount, see instructions) 4
5 Net value of non-exempt-use assets (subtract line 4 from line 3) 5
6 Multiply line 5 by 035 6
7 Recoveries of prior-year distributions 7
8 Minimum Asset Amount (add line 7 to line 6) 8
Section C - Distributable Amount Current Year
1 Adjusted net income for prior year (from Section A, line 8, Column A) 1
2 Enter 85% of line 1 2
3 Minimum asset amount for prior year (from Section B, line 8, Column A) 3
4 Enter greater of line 2 or line 3 4
5 Income tax imposed in prior year 5
6 Distributable Amount . Subtract line 5 from line 4, unless subject toemergency temporary reduction (see instructions) 6
7 Check here if the current year is the organization's first as a non-functionally-integrated Type III supporting organization (see
instructions)
Schedule A (Form 990 or 990-EZ) 2015
Schedule A (Form 990 or 990-EZ) 2015 Page 7
Type III Non - Functionally Integrated 509(a )( 3) Supporting Organizations ( continued)
Section D - Distributions Current Year
1 Amounts paid to supported organizations to accomplish exempt purposes
2 Amounts paid to perform activity that directly furthers exempt purposes of supported organizations, inexcess of income from activity
3 Administrative expenses paid to accomplish exempt purposes ofsupported organizations
4 Amounts paid to acquire exempt-use assets
5 Qualified set-aside amounts (priorIRS approval required)
6 Other distributions (describe in Part VI) See instructions
7 Total annual distributions . Add lines 1 through 6
8 Distributions to attentive supported organizations to which the organization is responsive (providedetails in Part VI) See instructions
9 Distributable amount for 2015 from Section C, line 6
10 Line 8 amount divided by Line 9 amount
Section E - Distribution Allocations ( see
instructions )M
Excess Distributions
(ii)Underdistributions
Pre-2015
(iii)Distributable
Amount for 2015
1 Distributable amount for 2015 from Section C, line6
2 U nderdistributions, if any, for years prior to 2015(reasonable cause required--see instructions)
3 Excess distributions carryover, if any, to 2015
a
b
c
d From 2013.
e From 2014.
f Total of lines 3a through e
g Applied to underdistributions of prior years
h Applied to 2015 distributable amount
i Carryover from 2010 not applied (seeinstructions)
j Remainder Subtract lines 3g, 3h, and 3i from 3f
4 Distributions for 2015 from Section D, line 7
a Applied to underdistributions of prior years
b Applied to 2015 distributable amount
c Remainder Subtract lines 4a and 4b from 4
5 Remaining underdistributions for years prior to2015, if any Subtract lines 3g and 4a from line 2(if amount greater than zero, see instructions)
6 Remaining underdistributions for 2015 Subtractlines 3h and 4b from line 1 (if amount greater thanzero, see instructions)
7 Excess distributions carryover to 2016 . Add lines3j and 4c
8 Breakdown of line 7
a
b
c Excess from 2013. . . . . . .
d From 2014.
e From 2015.
Schedule A (Form 990 or 990-EZ) (2015)
Schedule A (Form 990 or 990-EZ) 2015 Page 8
ff^ Supplemental Information.
Provide the explanations required by Part II, line 10; Part II, line 17a or 17b; Part III, line 12; Part IV,Section A, lines 1, 2, 3b, 3c, 4b, 4c, 5a, 6, 9a, 9b, 9c, 11a, 11b, and 11c; Part IV, Section B, lines 1 and 2;Part IV, Section C, line 1; Part IV, Section D, lines 2 and 3; Part IV, Section E, lines 1c, 2a, 2b, 3a and 3b;Part V, line 1; Part V, Section B, line le; Part V Section D, lines 5, 6, and 8; and Part V, Section E, lines 2, 5,and 6. Also complete this part for any additional information. (See instructions).
Facts And Circumstances Test
Return Reference Explanation
Schedule A (Form 990 or 990-EZ) 2015
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
o 1545-0047SCHEDULE C Political Campaign and Lobbying Activities
Oi(Form 990 orFor Organizations Exempt From Income Tax Under section 501 ( c) and section 527 015990-EZ ) ►Complete if the organization is described below . 110- Attach to Form 990 or Form 990-EZ.
about Schedule C (Form 990 or 990- EZ) and its instructions is at Ope nDepartment of the www.irs . gov/form990 . InspectionTreasuryInternal RevenueService
If the organization answered "Yes" on Form 990, Part IV, Line 3 , or Form 990 - EZ, Part V , line 46 ( Political Campaign Activities), then
• Section 501(c)(3) organizations Complete Parts I-A and B Do not complete Part I-C
• Section 501(c) (other than section 501(c)(3)) organizations Complete Parts I-A and C below Do not complete Part I-B• Section 527 organizations Complete Part I-A only
If the organization answered "Yes" on Form 990, Part IV, Line 4, or Form 990 - EZ, Part VI , line 47 (Lobbying Activities), then
• Section 501(c)(3) organizations that have filed Form 5768 (election under section 501(h)) Complete Part II-A Do not complete Part II-B• Section 501(c)(3) organizations that have NOT filed Form 5768 (election under section 501(h)) Complete Part II-B Do not complete Part II-A
If the organization answered "Yes" on Form 990, Part IV, Line 5 (Proxy Tax) ( see separate instructions ) or Form 990-EZ , Part V,
line 35c ( Proxy Tax) (see separate instructions), then• Section 501(c)(4), (5), or (6) organizations Complete Part III
Name of the organization I Employer identification numberSCOTTSDALE HEALTHCARE HOSPITALS
86-0181654
Complete if the organization is exempt under section 501(c) or is a section 527 organization.
1 Provide a description of the organization's direct and indirect political campaign activities in Part IV
2 Political expenditures ► $
3 Volunteer hours
Complete if the organization is exempt under section 501(c)(3).
1 Enter the amount of any excise tax incurred by the organization under section 4955 ► $
2 Enter the amount of any excise tax incurred by organization managers under section 4955 ► $
3 If the organization incurred a section 4955 tax, did it file Form 4720 for this year? [ Yes [ No
4a Was a correction made? [ Yes [ No
b If "Yes," describe in Part IV
Complete if the organization is exempt under section 501 ( c), except section 501(c)(3).
1 Enter the amount directly expended by the filing organization for section 527 exempt function activities ► $
2 Enter the amount of the filing organization's funds contributed to other organizations for section 527exempt function activities ► $
3 Total exempt function expenditures Add lines 1 and 2 Enter here and on Form 1120-PO L, line 17b ► $
4 Did the filing organization fileForm 1120-POL for this year? [ Yes [ No
5 Enter the names, addresses and employer identification number (EIN) of all section 527 political organizations to which the filingorganization made payments For each organization listed, enter the amount paid from the filing organization's funds A Iso enter theamount of political contributions received that were promptly and directly delivered to a separate political organization, such as aseparate segregated fund or a political action committee (PAC) If additional space is needed, provide information in Part IV
(a) Name (b) Address ( c) EIN (d ) Amount paid from (e) Amount of politicalfiling organization's contributions received
funds If none, enter -0- and promptly anddirectly delivered to a
separate politicalorganization If none,
enter -0-
2
3
4
5
6
ror raperworK Keauction Act notice, see cne instructions or rorm 99U or 99U-tc. Cat No 50084S Schedule C (Form 990 or 990-EZ) 2015
Schedule C (Form 990 or 990- EZ) 2015 Page 2
Complete if the organization is exempt under section 501(c)(3) and filed Form 5768 ( electionunder section 501(h)).
A Check ► [ if the filing organization belongs to an affiliated group (and list in Part IV each affiliated group member's name, address, EIN,expenses, and share of excess lobbying expenditures)
Limits on Lobbying Expenditures( a) Filing (b) Affiliated
organization's group totals(The term "expenditures" means amounts paid or incurred.) totals
laTotal lobbying expenditures to influence public opinion (grass rootslobbying)
b Total lobbying expenditures to influence a legislative body (direct lobbying)
Total lobbying expenditures ( add lines la and 1b)c
d Other exempt purpose expenditures
Total exempt purpose expenditures ( add lines lc and 1d)e
f Lobbying nontaxable amount Enter the amount from the following table in both columns
If the amount on line le, column ( a) or (b) is: The lobbying nontaxable amount is:
Not over $500,000 20% of the amount on line le
Over $500,000 but not over $1,000,000 $100,000 plus 15% of the excess over $500,000
Over $1,000,000 but not over $1,500,000 $175,000 plus 10% of the excess over $1,000,000
Over $1,500,000 but not over $17,000,000 $225,000 plus 5% of the excess over $1,500,000
Over $17,000,000 $1,000,000
gGrassroots nontaxable amount (enter 25% of line 1f)
h Subtract line 1g from line la If zero or less, enter -0-
Subtract line if from line 1c If zero or less, enter -0-i
If there is an amount other than zero on either line 1h or line li, did the organization file Form 4720reporting section 4911 tax for this year?
F- Y e s F- No
4-Year Averaging Period Under section 501(h)(Some organizations that made a section 501(h) election do not have to complete all of the five
columns below. See the separate instructions for lines 2a through 2f.)
Lobbvina Expenditures During 4-Year Averaaina Period
Calendar year (or fiscal yearbeginning in)
(a)2012 (b)2013 (c)2014 (d)2015 (e) Total
2a Lobbying nontaxable amount
b Lobbying ceiling amount150% of line 2a, column e
c Total lobbying expenditures
d Grassroots nontaxable amount
e Grassroots ceiling amount(150% of line 2d, column (e))
f Grassroots lobbying expenditures
Schedule C (Form 990 or 990-EZ) 2015
Schedule C (Form 990 or 990-EZ) 2015 Pa g e 3
Complete if the organization is exempt under section 501 ( c)(3) and has NOT
filed Form 5768 ( election under section 501 ( h )) .
For each "Yes "response on lines la through li below, provide in Part IV a detailed description of the lobbying(a (b)
activity No AmountYes
1 During the year, did the filing organization attempt to influence foreign, national, state or locallegislation, including any attempt to influence public opinion on a legislative matter or referendum,through the use of
a Volunteers? No
b Paid staff or management (include compensation in expenses reported on lines 1c through 1i)? Yes
c Media advertisements? No
d Mailings to members, legislators, or the public? No
e Publications, or published or broadcast statements? No
f Grants to other organizations for lobbying purposes? Yes 10,000
g Direct contact with legislators, their staffs, government officials, or a legislative body? Yes 155,607
h Rallies, demonstrations, seminars, conventions, speeches, lectures, or any similar means? No
i Other activities? No
j Total Add lines lc through 11 165,607
2a Did the activities in line 1 cause the organization to be not described in section 501(c)(3)? No
b If "Yes," enter the amount of any tax incurred under section 4912
c If "Yes," enter the amount of any tax incurred by organization managers under section 4912
d If the filing organization incurred a section 4912 tax, did it file Form 4720 for this year?
MVISTrUT Complete if the organization is exempt under section 501 ( c)(4), section 501(c)(5), or section501 ( c )( 6 ) .
Yes No
1 Were substantially all (90% or more) dues received nondeductible by members? 1
2 Did the organization make only in-house lobbying expenditures of $2,000 or less? 2 ::::#
3 Did the organization agree to carry over lobbying and political expenditures from the prior year? 3
Complete if the organization is exempt under section 501 ( c)(4), section 501(c )( 5), or section501(c )( 6) and if either ( a) BOTH Part III-A, lines 1 and 2 , are answered " No" OR (b) Part III-A,line 3, is answered "Yes."
1 Dues, assessments and similar amounts from members 1
2 Section 162(e) nondeductible lobbying and political expenditures ( do not include amounts of politicalexpenses for which the section 527(f ) tax was paid).
a Current year 2a
b Carryover from last year 2b
c Total 2c
3 Aggregate amount reported in section 6033(e)(1)(A) notices of nondeductible section 162(e) dues 3
4 If notices were sent and the amount on line 2c exceeds the amount on line 3, what portion of the excessdoes the organization agree to carryover to the reasonable estimate of nondeductible lobbying andpolitical expenditure next year? 4
5 Taxable amount of lobbying and political expenditures (see instructions) 5
Supplemental Information
Provide the descriptions required for Part I-A, line 1, Part I-B, line 4, Part I-C, line 5, Part II -A (affiliated group list), Part II-A, lines 1 and2 (see instructions), and Part II-B, line 1 Also, complete this Dart for any additional information
Return Reference Explanation
SCHEDULE C, PART II-B, LINEs lb The SCOTTSDALE HEALTHCARE HOSPITALS (DBA HonorHealth) board approves an annualand lg advocacy agenda which outlines priorities and provides direction on issues HonorHealth engaged two
independent contractors to provide lobbying services at the federal, state and local level in support ofits mission Additionally, a portion of HonorHealths V P of Government & Community Affairs time isdedicated to advancing HonorHealths priorities by regularly meeting with representatives of thefederal agencies, the United states congress, the A rizona state legislature, the governors office, theArizona department of health services and city government
SCHEDULE C, PART II-B, LINE 1F HonorHealth contributed $10,000 in support of the passage of Phoenix Ballot Proposition 104Proposition 104, which was approved by the citizens of Phoenix in 2015, increased transportationfunding for new light rail lines, bus expansion and street improvements over the next several decadesHonorHealth felt that passage of this measure would improve the quality of life of Phoenix residentsand allow Datients and visitors to better access healthcare facilities
Schedule C (Form 990 or 990EZ) 2015
lefile GRAPHIC print - DO NOT PROCESS As Filed Data - DLN: 93493316011686
SCHEDULE D OMB No 1545-0047
(Form 990)Supplemental Financial Statements
► Complete if the organization answered "Yes," on Form 990,20 1 5
Part IV, line 6, 7, 8, 9, 10, I l a , llb, 11c, lid, Ile, ilf, 12a, or 12b.Department of the ► Attach to Form 990. Ope n to Pu b licTreasury Information about Schedule D (Form 990) and its instructions is at www.irs.gov/form990 . Ins pe cti o nInternal Revenue Service
Name of the organization Employer identification numberSCOTTSDALE HEALTHCARE HOSPITALS
86-0181654
Organizations Maintaining Donor Advised Funds or Other Similar Funds or Accounts.
Complete if the organization answered "Yes" on Form 990, Part IV, line 6.
1 Total number at end of year
2 Aggregate value of contributions to (duringyear)
3 Aggregate value of grants from (during year)
4 Aggregate value at end of year
5 Did the organization inform all donors and donor advisors in writing that the assets held in donor advisedfunds are the organization 's property, subject to the organization ' s exclusive legal control ? [Yes [ No
6 Did the organization inform all grantees , donors, and donor advisors in writing that grant funds can beused only for charitable purposes and not for the benefit of the donor or donor advisor , or for any other purposeconferring impermissible private benefit? [Yes [No
Conservation Easements. Complete if the organization answered " Yes" on Form 990, Part IV, line 7.
1 Purpose ( s) of conservation easements held by the organization ( check all that apply)
Preservation of land for public use ( e g , recreation oreducation ) [ Preservation of an historically important land area
Protection of natural habitat [ Preservation of a certified historic structure
Preservation of open space
2 Complete lines 2a through 2d if the organization held a qualified conservation contribution in the form ofa conservationeasement on the last day of the tax year
Held at the End of the Year
a Total number of conservation easements 2a
b Total acreage restricted by conservation easements 2b
c N umber of conservation easements on a certified historic structure included in (a) 2c
d N umber of conservation easements included in (c) acquired after 8/17/06, and not on ahistoric structure listed in the National Register 2d
3 Number of conservation easements modified, transferred, released, extinguished, or terminated by the organization during the
tax year ►
4 Number of states where property subject to conservation easement is located ►
5 Does the organization have a written policy regarding the periodic monitoring, inspection, handling ofviolations, and enforcement of the conservation easements it holds? [ Yes [ No
6 Staff and volunteer hours devoted to monitoring, inspecting, handling of violations, and enforcing conservation easements during theyear
00,
7 A mount of expenses incurred in monitoring, inspecting, handling of violations, and enforcing conservation easements during the year
8 Does each conservation easement reported on line 2(d) above satisfy the requirements of section 170(h)(4)(B)(i) and section 170(h)(4)(B)(ii)? [ Yes [ No
9 In Part XIII, describe how the organization reports conservation easements in its revenue and expense statement, andbalance sheet, and include, if applicable, the text of the footnote to the organization's financial statements that describesthe organization's accounting for conservation easements
Organizations Maintaining Collections of Art, Historical Treasures , or Other Similar Assets.ComDlete if the oraanization answered "Yes" on Form 990. Part IV. line S.
la Ifthe organization elected, as permitted under SFAS 116 (ASC 958), not to report in its revenue statement and balance sheetworks of art, historical treasures, or other similar assets held for public exhibition, education, or research in furtherance of publicservice, provide, in Part XIII, the text of the footnote to its financial statements that describes these items
b Ifthe organization elected, as permitted under SFAS 116 (ASC 958), to report in its revenue statement and balance sheetworks of art, historical treasures, or other similar assets held for public exhibition, education, or research in furtherance of publicservice, provide the following amounts relating to these items
(i) Revenue included on Form 990, Part VIII, line 1
(ii) Assets included in Form 990 , Part X ► $
2 If the organization received or held works of art , historical treasures, or other similar assets for financial gain, provide thefollowing amounts required to be reported under SFAS 116 (ASC 958) relating to these items
a Revenue included on Form 990, Part VIII, line 1
b Assets included in Form 990, Part X
For Paperwork Reduction Act Notice, see the Instructions for Form 990. Cat No 52283D Schedule D ( Form 990) 2015
Schedule D (Form 990) 2015 Page 2
171 Organizations Maintaining Collections of Art, Historical Treasures , or Other Similar Assets
(continued)
3 Using the organization's acquisition, accession, and other records, check any of the following that are a significant use of itscollection items (check all that apply)
a [ Public exhibition d [ Loan or exchange programs
b _ Scholarly research e [ Other
c [ Preservation for future generations
4 Provide a description of the organization's collections and explain how they further the organization's exempt purpose inPart XIII
5 During the year, did the organization solicit or receive donations of art, historical treasures or other similarassets to be sold to raise funds rather than to be maintained as part of the organization's collection? Yes No
Escrow and Custodial Arrangements.
Complete if the organization answered "Yes" on Form 990, Part IV, line 9, or reported an amount on Form 990,Part X, line 21.
la Is the organization an agent, trustee, custodian or other intermediary for contributions or other assets notincluded on Form 990, Part X7 E Yes F_ No
b If "Yes ," explain the arrangement in Part XIII and complete the following table Amount
c Beginning balance Sc
d Additions during the year ld
e Distributions during the year le
f Ending balance if
2a Did the organization include an amount on Form 990, Part X , line 21 , for escrow or custodial account liability? F-Yes [ No
b If"Yes," explain the arrangement in Part XIII Check here if the explanation has been provided in Part XIII . . . . . . . . q
IMIMIT-Endowment Funds . Complete if the organization answered "Yes" to Form 990, Part IV, line 10.
(a)Current year (b)Prior year b (c)Two years back (d)Three years back (e)Four years back
la Beginning of year balance 6,213,603 6,186,252 5,321,536 5,370,303 5,854,813
b Contributions 225 25 350 2,285
c Net investment earnings, gains, andlosses
56,175 215,407 992,659 342,048 237,069
d Grants or scholarships
e Other expenditures for facilitiesand programs
1,113,842 177,466 117,734 380,070 236,868
f Administrative expenses 9,437 10,815 10,234 11,095 12,858
g End of year balance 5,034,149 6,213,603 6,186,252 5,321,536 5,370,303
2 Provide the estimated percentage of the current year end balance (line 1g, column (a)) held as
a Board designated or quasi-endowment ► 25 530 %
b Permanent endowment ► 66 830 %
c Temporarily restricted endowment ► 7 640 %
The percentages on lines 2a, 2b, and 2c should equal 100%
3a Are there endowment funds not in the possession of the organization that are held and administered for theorganization by Yes No
(i) unrelated organizations . . . . . . . . . . . . . . . . 3a(i) No
(ii) related organizations . . . . . . . . . . . . . . . 3a(ii) Yes
b If "Yes" on 3a(ii), are the related organizations listed as required on Schedule R7 . . I 3b I Yes
4 Describe in Part XIII the intended uses of the organization's endowment funds
LQ1W Land , Buildings , and Equipment.CmmirilPtP if the nrnanizatmn answered 'Yes' to Fnrm 990 Part TV line 11aSPP Fnrm 990 Part X line 1 (1.
Description of property (a)Cost or other basis
(investment)
(b)Cost or other basis
(other)
Accumulated(c)depreciation
(d)Book value
la Land . . . . . . . . . . . . . . 60,395,385 60,395,385
b Buildings812,331,695 443,826,536 368,505,159
c Leasehold improvements 14,925,898 9,567,597 5,358,301
d Equipment . 505,062,882 353,262,663 151,800,219
e Other
. 85,939,739 43,294,188 42,645,551
Total . Add lines la through le (Column (d) must equal Form 990, Part X, column (B), line 10(c)) . . ► 628,704,615
Schedule D (Form 990) 2015
Schedule D (Form 990) 2015 Page 3
Investments-Other Securities . Complete if the organization answered 'Yes' on Form 990, Part IV, line 11b.See Form 990 , Part X line 12.
(a) Description of security or category (b)Book value (c)Method of valuation(including name of security) Cost or end-of-year market value
(1)Financial derivatives
(2)Closely-held equity interests
(3)0 ther
Total . (Column (b) must equal Form 990, Part X, col (B) line 12) ►
Investments -Program Related.
Complete if the organization answered 'Yes' on Form 990, Part IV, line 11c-See Form 990, Part X, line 13.
(a) Description of investmentI I
(b) Book value (c) Method of valuationCost or end-of-year market value
Total . (Column (b) must equal Form 990, Part X, col (B) line 13)
Other Assets . Cmmnlete if the ornan17ation answered 'Yes' on Form 990. Part TV . line 1 1 d See Form 990. Part X. line 1 5
(a) Description (b) Book value
(1) INTERCOMPANY RECEIVABLES 255,109,675
(2) LONG TERM CAPITAL LEASE 2,251,355
(3) BOND ISSUE COST 3,513,014
(4) INSURANCE RECOVERIES 3,400,000
(5) PREPAID SECURITY DEPOSIT 21,082
(6) ALL OTHER ASSETS 303,350
Total . (Column (b) must equal Form 990, Part X, col (B) line 15) . ► 264,598,476
Other Liabilities . Complete if the oraanization answered 'Yes' on Form 990. Part IV. line 11e or 11f.See Form 990 , Part X line 25.
(a) Description of liability (b) Book value
Federal income taxes
DUE TO AFFILIATES
0
9,223,303
GRADUATE NURSE EDUCATION SETTL 4,897,791
MED CAP LEASE /CREDIT FACILITY 7,244,858
MEDICARE SETTLEMENT
ACCRUED INTEREST
-7,647,945
703.668
Total . (Column (b) must equal Form 990, Part X, col ( B) line 25 ) ► 14,421,6 7 5
2. Liability for uncertain tax positions In Part XIII , provide the text of the footnote to the organization's financial statements that reports theorganization's liability for uncertain tax positions under FIN 48 (ASC 740) Check here if the text of the footnote has been provided in Part
XIII F
Schedule D (Form 990) 2015
Schedule D (Form 990) 2015 Page 4
Reconciliation of Revenue per Audited Financial Statements With Revenue per Return
Com p lete if the org anization answered 'Yes' on Form 990 , Part IV line 12a.
1 Total revenue, gains, and other support per audited financial statements . 1
2 Amounts included on line 1 but not on Form 990, Part VIII, line 12
a Net unrealized gains (losses) on investments 2a
b Donated services and use of facilities . 2b
c Recoveries of prior year grants 2c
d Other (Describe in Part XIII ) . . . . . . . . . 2d
e Add lines 2a through 2d . . . . . . . . . . . . . . . . . . . . 2e
3 Subtract line 2e from line 1 . . . . . . . . . . . . . . . . . 3
4 Amounts included on Form 990, Part VIII, line 12, but not on line 1
a Investment expenses not included on Form 990, Part VIII, line 7b . 4a
b Other (Describe in Part XIII ) . . . . . . . . . . 4b
c Add lines 4a and 4b . . . . . . . . . . . . . . . . . . . 4c
5 Total revenue Add lines 3 and 4c.(This must equal Form 990, Part I, line 12 ) . . . . . 5
Reconciliation of Expenses per Audited Financial Statements With Expenses per Return.
Com p lete if the org anization answered 'Yes' on Form 990 , Part IV line 12a.
1 Total expenses and losses per audited financial statements . . . . . . . . . . 1
2 Amounts included on line 1 but not on Form 990, Part IX, line 25
a Donated services and use of facilities . 2a
b Prior year adjustments 2b
c Other losses . . . . . . . . . . . . . . . 2c
d Other (Describe in Part XIII . . . . . . . . . . . 2d
e Add lines 2a through 2d . . . . . . . . . . . . . . . . . . . 2e
3 Subtract line 2e from line 1 . . . . . . . . . . . . . . . . . . 3
4 Amounts included on Form 990, Part IX, line 25, but not on line 1:
a Investment expenses not included on Form 990, Part VIII, line 7b 4a
b Other (Describe in Part XIII ) . . . . . . . . . . . 4b
c Add lines 4a and 4b . . . . . . . . . . . . . . . . . . . . 4c
5 Total expenses Add lines 3 and 4c. (This must equal Form 990, Part I, line 18 ) 5
Supplemental Information
Provide the descriptions required for Part II, lines 3, 5, and 9, Part III, lines la and 4, Part IV, lines lb and 2b,Part V, line 4, Part X, line 2, Part XI, lines 2d and 4b, and Part XII, lines 2d and 4b Also complete this part to provide any additionalinformation
Return Reference Explanation
SCHEDULE D, PART V, LINE 4 THE ENDOWMENT FUNDS CONSIST OF INDIVIDUAL FUNDS ESTABLISHED FOR A VARIETY OFPURPOSES RELATED TO THE EXEMPT PURPOSE OF THE ORGANIZATION THE FUNDS ARE TOBE USED TO SUPPORT THE ACTIVITIES WITHIN THE HOSPITALS AND ADMINISTRATIONTHE TERM ENDOWMENTS HAVE BEEN RESTRICTED BY THE DONOR FOR A SPECIFIC TIMEPERIOD OR PURPOSE
Schedule D (Form 990) 2015
Schedule D (Form 990) 2015 Page 5
Supplemental Information (continued)
Return Reference I Explanation
Schedule D (Form 990) 2015
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
SCHEDULE F Statement of Activities Outside the United StatesOMB No 1545-0047
(Form 990)
2015► Complete if the organization answered "Yes" to Form 990,
Part IV, line 14b , 15, or 16.
► Attach to Form 990.Department of the Treasury ► Information about Schedule F (Form 990) and its instructions is at www.irs.gov/form990. • 'Internal Revenue Service
Name of the organization
SCOTTSDALE HEALTHCARE HOSPITALSEmployer identification number
86-0181654
General Information on Activities Outside the United States.Complete if the organization answered "Yes" to Form 990, Part IV, line 14b.
i Forgrantmakers . Does the organization maintain records to substantiate the amount of its grants
and other assistance, the grantees' eligibility for the grants or assistance, and the selection criteria
used to award the grants or assistance? [ Yes [ No
2 Forgrantmakers . Describe in Part V the organization's procedures for monitoring the use of its grants and otherassistance outside the United States
3 Activites per Region (The following Part I, line 3 table can be duplicated if additional space is needed )
(a) Region ( b) Number of ( c) Number of ( d) Activities conducted in (e) If activity listed in (d) is a ( f) Total expendituresoffices in the employees, region (by type) ( e g , program service, describe for and investments
region agents, and fundraising, program specific type of in regionindependent services, investments, grants service(s) in regioncontractors in to recipients located in the
region region)
( 1) Central America and the InvestmentsCaribbean
( 2) Central America and the Program Services CAPTIVE INSURANCE 18,210,174Caribbean
(3)
(4)
(5)
3a Sub - total 18 ,210,174
b Total from continuation sheetsto Part I
c Totals add lines 3a and 3b ) 18,210,174
For Paperwork Reduction Act Notice, see the Instructions for Form 990 . Cat N o 50082W Schedule F (Form 990) 2015
Schedule F (Form 990) 2015 Page 2
Grants and Other Assistance to Organizations or Entities Outside the United States.
Complete if the organization answered "Yes" to Form 990, Part IV, line 15, for any recipient who received more than $5,000. Part II can be duplicated ifadditional space is needed.
1 (a) Name oforganization
(b) IRS codesection
and EIN (ifapplicable)
(c) Region (d) Purpose ofgrant
(e) Amount ofcash grant
(f) Manner ofcash
disbursement
(g) Amountof non-cashassistance
(h) Descriptionof non-cashassistance
(i) Method ofvaluation
(book, FMV,appraisal, other)
( 1)
( 2)
(3)
(4)
2 Enter total number of recipient organizations listed above that are recognized as charities by the foreign country, recognized astax-exempt by the IRS, or for which the grantee or counsel has provided a section 501(c)(3) equivalency letter . . . . ►
3 Enter total number of other organizations or entities 10.
Schedule F (Form 990) 2015
Schedule F (Form 990) 2015 Page 3
Grants and Other Assistance to Individuals Outside the United States . Complete if the organization answered "Yes" to Form 990, Part IV, line 16.
Part III can be duplicated if additional space is needed.
(a) Type of grant orassistance
(b) Region (c) Number ofrecipients
(d) Amount ofcash grant
(e) Manner of cashdisbursement
(f) Amount ofnon-cashassistance
(g) Descriptionof non-cashassistance
(h) Method ofvaluation
(book, FMV,
a pp raisal, other )( 1)
( 2)
( 3)
(4)
( 5)
( 6)
( 7)
( 8)
(9)
( 10)
( 11)
( 12)
( 13)
( 14)
( 15)
( 16)
( 17)
( 18)
Schedule F (Form 990) 2015
Schedule F (Form 990) 2015 Page 4
Foreign Forms
1 Was the organization a U S transferor of property to a foreign corporation during the tax year? If "Yes,"theorganization may be required to file Form 926, Return by a U S Transferor of Property to a Foreign Corporation (seeInstructions for Form 926)
2 Did the organization have an interest in a foreign trust during the tax year? If "Yes,"the organization may berequired to file Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain ForeignGifts, and/or Form 3520-A, Annual Information Return of Foreign Trust With a U S Owner (see Instructions forForms 3520 and 3520-A, do not file with Form 990)
3 Did the organization have an ownership interest in a foreign corporation during the tax year? If "Yes," theorganization may be required to file Form 5471, Information Return of U S Persons with Respect to Certain ForeignCorporations (see Instructions for Form 5471)
Fq- Yes F- No
F- Yes [ No
Yes F- No
4 Was the organization a director indirect shareholder of a passive foreign investment company or a qualifiedelecting fund during the tax year? If "Yes ," the organization may be required to file Form 8621 , Information Returnby a Shareholder of a Passive Foreign Investment Company or Qualified Electing Fund (see Instructions for Form8621 ) F- Yes [ No
5 Did the organization have an ownership interest in a foreign partnership during the tax year? If "Yes," theorganization may be required to file Form 8865, Return of U S Persons with Respect to Certain Foreign Partnerships(see Instructions for Form 8865)
6 Did the organization have any operations in or related to any boycotting countries during the tax year? If"Yes," the organization may be required to file Form 5713, International Boycott Report (see Instructions for Form5713, do not file with Form 990)
F- Yes No
F- Yes No
Schedule F (Form 990) 2015
Schedule F (Form 990) 2015 Page 5
Supplemental Information
Provide the information required by Part I, line 2 (monitoring of funds); Part I, line 3, column (f) (accountingmethod; amounts of investments vs. expenditures per region); Part II, line 1 (accounting method); Part III(accounting method); and Part III, column (c) (estimated number of recipients), as applicable. Also completethis part to provide any additional information (see instructions).
990 Schedule F, Supplemental Information
Return Reference Explanation
SCHEDULE F, PART I, LINE 3, LINE SCHEDULE F, PART I HAS BEEN COMPLETED BECAUSE SCOTTSDALE HEALTHCARE HOSPITALS (DBA
1 HONORHEALTH) HELD FOREIGN INVESTMENTS OF $100,000 OR MORE DURING 2015 HONORHEALTH WITHDREW
FROM
THE INVESTMENT PRIOR TO YEAR END, RESULTING IN AN ENDING BALANCE OF ZERO SCHEDULE F,PART
I, LINE 3, COLUMN (F) THE AMOUNT REPORTED IN COLUMN (F) IS DETERMINED BASED ON THE ACCRUAL METHOD OF ACCOUNTING
lefile GRAPHIC print - DO NOT PROCESS As Filed Data - DLN: 93493316011686
SCHEDULE H(Form 990)
Hospitals
► Complete if the organization answered "Yes" on Form 990, Part IV, question 20.Department of the ► Attach to Form 990.TreasuryInternal Revenue 110, Information about Schedule H (Form 990 ) and its instructions is at www.irs.gov /form990.
Service OMB No 1545-0047
2015
Name of the organizationSCOTTSDALE HEALTHCARE HOSPITALS
Employer identification number
Financial Assistance and Certain Other Community Benefits at Cost
la Did the organization have a financial assistance policy during the tax year? If "No," skip to question 6a
b If "Yes," was it a written policy? .
2 Ifthe organization had multiple hospital facilities, indicate which of the following best describes application of thefinancial assistance policy to its various hospital facilities during the tax year
r.-Applied uniformly to all hospital facilities rApplied uniformly to most hospital facilitiesr Generally tailored to individual hospital facilities
3 Answer the following based on the financial assistance eligibility criteria that applied to the largest number of theorganization's patients during the tax year
a Did the organization use Federal Poverty Guidelines (FPG) as a factor in determining eligibility for providing free care?
If "Yes," indicate which of the following was the FPG family income limit for eligibility for free care
Yes No
la Yes
lb Yes
3a I Yes
r 100% r 150% r 200% r Other %
b Did the organization use FPG as a factor in determining eligibility for providing discounted care? If "Yes," indicate
which of the following was the family income limit for eligibility for discounted care 3b Yes
r 200% r 250% r 300% r 350% r 400% r Other 500 %
c If the organization used factors other than FPG in determining eligibility, describe in Part VI the criteriaused for determining eligibility for free or discounted care Include in the description whether the organizationused an asset test or other threshold, regardless of income, as a factor in determining eligibility for free ordiscounted care
4 Did the organization's financial assistance policy that applied to the largest number of its patients during the tax yeaprovide for free or discounted care to the "medically indigent"?
5a Did the organization budget amounts for free or discounted care provided under its financial assistance policy duringthe tax year?
b If "Yes," did the organization's financial assistance expenses exceed the budgeted amount?
c If "Yes" to line 5b, as a result of budget considerations, was the organization unable to provide free or discountedcare to a patient who was eligibile for free or discounted care?
6a Did the organization prepare a community benefit report during the tax year?
b If "Yes," did the organization make it available to the public?
Complete the following table using the worksheets provided in the Schedule H instructions Do not submit theseworksheets with the Schedule H
4 1 1 No
5a N o
5b
Sc
6a Yes
6b Yes
7 Financial Assistance and Certain Other Community Benefits at Cost
Financial Assistance and (a ) Number of (b) Persons served (c) Total community (d) Direct offsetting (e) Net community (f) Percent of
Means-Tested activities or programs (optional) benefit expense revenue benefit expense total expense
Government Programs (optional)
Financial Assistance at costa(from Worksheet 1) 46,558,710 46,558,710 3 100 %
b Medicaid (from Worksheet 3,column a) 244,867,924 183,460,700 61,407,224 4 090 %
Costs of other means-testedc government programs (from
Worksheet 3, column b)
Total Financial Assistance andd Means-Tested Government
Programs 291,426,634 183,460,700 107,965,934 7 190 %
Other Benefits
Community health improvemente services and community benefit
operations (from Worksheet 4) 2,176,410 995 2,175,415 0 140 %
f Health professions education(from Worksheet 5) 6,018,040 6,018,040 0 400 %
Subsidized health services (from9 Worksheet 6) 5,867 5,867
h Research (from Worksheet 7) 529,821 529,821 0 040 %
Cash and in-kind contributions fori community benefit (from
Worksheet 8) 4,544,855 4,544,855 0 300 %
j Total . Other Benefits 13,274,993 995 13,273,998 0 880 %
k Total . Add lines 7d and 7j 304,701,627 183,461,695 121,239,932 8 070 %
For Paperwork Reduction Act Notice, see the Instructions for Form 990 . Cat No 50192T Schedule H ( Form 990) 2015
Schedule H (Form 990) 2015 Page 2
LjjLM Community Building Activities
Complete this table if the organization conducted any community building activities during the tax year, anddescribe in Part VI how its community building activities promoted the health of the communities it serves.
(a) Number ofactivities or programs
(optional)
(b) Persons served(optional)
(c) Total communitybuilding expense
(d) Direct offsettingrevenue
(e) Net communitybuilding expense
(f) Percent oftotal expense
1 Physical improvements and housing
2 Economic development
3 Community support
4 Environmental improvements 179,921 179,921 0 010 %
5 Leadership development andtraining for community members
6 Coalition building 2,110,997 2,110,997 0 140 %
7 Community health improvementadvocacy 49,650 49,650
8 Workforce development 208,761 , 208,761 , 0 010 %
9 Other
10 Total 2,549,329 1 1 2,549,329 0 170
^ Bad Debt, Medicare, & Collection Practices
Section A . Bad Debt Expense Yes No
1 Did the organization report bad debt expense in accordance with Heathcare Financial Management AssociationStatement No 15'' . . . . . . . . . . . . . . . . . . . . 1 No
2 Enter the amount of the organization's bad debt expense Explain in Part VI themethodology used by the organization to estimate this amount . . . .
.. ^ 2 15,569,231
3 Enter the estimated amount of the organization's bad debt expense attributable topatients eligible under the organization's financial assistance policy Explain in Part VIthe methodology used by the organization to estimate this amount and the rationale, ifany, for including this portion of bad debt as community benefit . . . . 3 9,652,923
4 Provide in Part VI the text of the footnote to the organization's financial statements that describes bad debt expenseor the page number on which this footnote is contained in the attached financial statements
Section B . Medicare
5 Enter total revenue received from Medicare (including DSH and IME) . . 5 288,234,496
6 Enter Medicare allowable costs of care relating to payments on line 5 . 6 368,579,909
7 Subtract line 6 from line 5 This is the surplus (or shortfall) . 7 -80,345,413
8 Describe in Part VI the extent to which any shortfall reported in line 7 should be treated as community benefitAlso describe in Part VI the costing methodology or source used to determine the amount reported on line 6Check the box that describes the method used
r Cost accounting system r Cost to charge ratio r- Other
Section C. Collection Practices
9a Did the organization have a written debt collection policy during the tax year? . 9a Yes
b If "Yes," did the organization's collection policy that applied to the largest number of its patients during the tax yearcontain provisions on the collection practices to be followed for patients who are known to qualify for financialassistance? Describe in Part VI 9b Yes
Management Companies and Joint Ventures(owned 10% or more by officers, directors, trustees, key employees, and physicians-see instructions)
(a) Name of entity (b) Description of primaryactivity of entity
(c) Organization'sprofit % or stockownership %
(d) Officers, directors,trustees, or key
employees' profit %or stock ownership
(e) Physicians'profit % or stockownership %
1 SLCS LLC HEALTHCARE 51 % 0 % 49 %
2
3
4
5
6
7
8
9
10
11
12
13
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 2
Facility Information
Section A. Hospital Facilities77 m
?^m
(list in order of size from largest to
J. q1
2
1
A.r^ o
smallest-see instructions)How many hospital facilities did the 1P oorganization operate during the tax years TI _0 4 (
7 - Qv aName, address, primary website address,and state license number (and if a groupreturn, the name and EIN of the subordinatehospital organization that operates the Facility reporting
hospital fac lity) Other ( Describe) group
See Additional Data Table
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 4
Facility Information (continued)
Section B. Facility Policies and Practices
(Complete a separate Section B for each of the hospital facilities or facility reporting groups listed in Part V, Section A)A
Name of hospital facility or letter of facility reporting group
Line number of hospital facility, or line numbers of hospital facilities in a facilityreporting group (from Part V, Section A):
Community Health Needs Assessment
1 Was the hospital facility first licensed, registered, or similarly recognized by a state as a hospital facility in the currenttax year or the immediately preceding tax year?. . . . . . . . . . . . . . . . . . . . . . . . .
2 Was the hospital facility acquired or placed into service as a tax-exempt hospital in the current tax year or theimmediately preceding tax year? If"Yes," provide details of the acquisition in Section C. . . . . . . . . . . . . .
3 During the tax year or either of the two immediately preceding tax years, did the hospital facility conduct a communityhealth needs assessment (CHNA)? If "No," skip to line 12. . . . . . . . . . . . . . . . . . . . .
If "Yes," indicate what the CHNA report describes (check all that apply)
a rA definition of the community served by the hospital facility
b 1 Demographics of the community
c r--Existing health care facilities and resources within the community that are available to respond to the health needsof the community
d r How data was obtained
e 1-The significant health needs of the community
f EPrimary and chronic disease needs and other health issues of uninsured persons, low-income persons, and minoritygroups
g r.-The process for identifying and prioritizing community health needs and services to meet the community healthneeds
h r.-The process for consulting with persons representing the community's interests
i r Information gaps that limit the hospital facility's ability to assess the community's health needs
j 1- Other (describe in Section C)
4 Indicate the tax year the hospital facility last conducted a CHNA 20 15
5 In conducting its most recent CHNA, did the hospital facility take into account input from persons who represent thebroad interests of the community served by the hospital facility, including those with special knowledge of or expertisein public health? If "Yes," describe in Section C how the hospital facility took into account input from persons whorepresent the community, and identify the persons the hospital facility consulted. . . . . . . . . . . . . . . . .
6 a Was the hospital facility's CHNA conducted with one or more other hospital facilities? If "Yes," list the other hospitalfacilities in Section C
No
1 I I No
3 1 Yes
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6a Yes
b Was the hospital facility's CHNA conducted with one or more organizations other than hospital facilities?"If"Yes," listthe other organizations in Section C. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6b N o
7 Did the hospital facility make its CHNA report widely available to the public? . . . . . . . . . . . . . . 7 Yes
If "Yes," indicate how the CH NA report was made widely available (check all that apply)
a 1- Hospital facility's website (list url) SEE SCHEDULE H, PART V, SECTION C
b r Other website (list url)
c r Made a paper copy available for public inspection without charge at the hospital facility
d 1- Other (describe in Section C)
8 Did the hospital facility adopt an implementation strategy to meet the significant community health needsidentified through its most recently conducted CHNA? If "No," skip to line 11 . . . . . . . . . . . 8 Yes
9 Indicate the tax year the hospital facility last adopted an implementation strategy 20 16
10 Is the hospital facility's most recently adopted implementation strategy posted on a website''. . . . . . . . . 10
a If "Yes" (list url)
b If "No ," is the hospital facility's most recently adopted implementation strategy attached to this return?SOb Yes
11 Describe in Section C how the hospital facility is addressing the significant needs identified in its most recentlyconducted CHNA and any such needs that are not being addressed together with the reasons why such needs are notbeing addressed
12a Did the organization incur an excise tax under section 4959 for the hospital facility's failure to conduct a CHNA asrequired by section 501(r)(3)?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12a N o
b If "Yes" on line 12a, did the organization file Form 4720 to report the section 4959 excise tax?12b
c If "Yes" on line 12b, what is the total amount of section 4959 excise tax the organization reported on Form 4720 for
all of its hospital facilities? $
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 5
Facility Information (continued)
Financial Assistance Policy (FAP)
A
Name of hospital facility or letter of facility reporting group
Did the hospital facility have in place during the tax year a written financial assistance policy that
13 Explained eligibility criteria for financial assistance, and whether such assistance included free or discounted care? 13 Yes
If"Yes," indicate the eligibility criteria explained in the FA P
a r Federal poverty guidelines (FPG), with FPG family income limit for eligibility for free care of
200 % and FPG family income limit for eligibility for discounted care of500 0/0
b r Income level other than FPG (describe in Section C)
c r Asset level
d r Medical indigency
e r Insurance status
f r Underinsurance discount
g r Residency
h r Other (describe in Section C)
14 Explained the basis for calculating amounts charged to patients? . . . . . . . . . . . . . . . . . 14 Yes
15 Explained the method for applying for financial assistance? . . . . . . . . . . . . . . . . . . . 15 Yes
If"Yes,"indicate how the hospital facility's FAP or FAP application form (including accompanying instructions)explained the method for applying for financial assistance (check all that apply)
a r Described the information the hospital facility may require an individual to provide as part of his or her application
b r Described the supporting documentation the hospital facility may require an individual to submit as part of his or
her application
c r Provided the contact information of hospital facility staff who can provide an individual with information about the
FAP and FAP application process
d Provided the contact information of nonprofit organizations or government agencies that may be sources of
assistance with FAP applications
e r O ther (describe in Section C )
16 Included measures to publicize the policy within the community served by the hospital facility? . . . . . 16 Yes
If "Yes," indicate how the hospital facility publicized the policy (check all that apply)
a 1-The FAP was widely available on a website (list url)
SEE SCHEDULE H, PART V, SECTION C
b 1-The FAP application form was widely available on a website (list url)
SEE SCHEDULE H, PART V, SECTION C
c rA plain language summary of the FAP was widely available on a website (list url)
SEE SCHEDULE H, PART V, SECTION C
d The FA P was available upon request and without charge (in public locations in the hospital facility and by mail)
e The FA P application form was available upon request and without charge (in public locations in the hospital facility
and by mail)
f -A plain language summary of the FAP was available upon request and without charge (in public locations in the
hospital facility and by mail)
g r- Notice of availability of the FAP was conspicuously displayed throughout the hospital facility
h r Notified members of the community who are most likely to require financial assistance about availability of the FAP
r.-Other ( describe in Section C)
No
Billin g and Collections
17 Did the hospital facility have in place during the tax year a separate billing and collections policy, or a written financialassistance policy (FAP) that explained all of the actions the hospital facility or other authorized party may take uponnon-payment? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Yes
18 Check all of the following actions against an individual that were permitted under the hospital facility's policies duringthe tax year before making reasonable efforts to determine the individual's eligibility under the facility's FA P
a r Reporting to credit agency(ies)
b r Selling an individual's debt to another party
c r-Actions that require a legal or judicial process
d r-Othersimilar actions (describe in Section C)
e r None of these actions or other similar actions were permitted
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 6
Facility Information (continued)
A
Name of hospital facility or letter of facility reporting group
No
19 Did the hospital facility or other authorized party perform any of the following actions during the tax year before makingreasonable efforts to determine the individual's eligibility under the facility's FAP? . . . . . . . . . . . . 19 No
If "Yes," check all actions in which the hospital facility or a third party engaged
a r Reporting to credit agency(ies)
b Selling an individual's debt to another party
c r- Actions that require a legal or judicial process
d r- Other similar actions (describe in Section C)
20 Indicate which efforts the hospital facility or other authorized party made before initiating any of the actions listed(whether or not checked) in line 19 (check all that apply)
a r Notified individuals of the financial assistance policy on admission
b r Notified individuals of the financial assistance policy prior to discharge
c r Notified individuals of the financial assistance policy in communications with the individuals regarding the
individuals' bills
d EDocumented its determination of whether individuals were eligible for financial assistance under the hospitalfacility's financial assistance policy
e r Other (describe in Section C)
f r None of these efforts were made
Poli cy Relating to Emergency Medical Care
21 Did the hospital facility have in place during the tax year a written policy relating to emergency medical care thatrequired the hospital facility to provide , without discrimination , care for emergency medical conditions to individualsregardless of their eligibility under the hospital facility's financial assistance policy?. . . . . . . . . . . . . . . . . .
If "No," indicate why
a 1-The hospital facility did not provide care for any emergency medical conditions
b 1-The hospital facility 's policy was not in writing
c 1-The hospital facility limited who was eligible to receive care for emergency medical conditions (describe in Section
C)
d r Other ( describe in Section C)
Charges to Individuals Eli g ible for Assistance Under the FAP ( FAP - Eli g ible Individuals )
22 Indicate how the hospital facility determined, during the tax year, the maximum amounts that can be charged to FAP-eligible individuals for emergency or other medically necessary care
a EThe hospital facility used its lowest negotiated commercial insurance rate when calculating the maximum amountsthatcan be charged
b EThe hospital facility used the average of its three lowest negotiated commercial insurance rates when calculatingthe maximum amounts that can be charged
c 1-The hospital facility used the Medicare rates when calculating the maximum amounts that can be charged
d r Other (describe in Section C)
23 During the tax year, did the hospital facility charge any FAP-eligible individual to whom the hospital facility providedemergency or other medically necessary services more than the amounts generally billed to individuals who hadinsurance covering such care?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 N o
If "Yes," explain in Section C
24 During the tax year, did the hospital facility charge any FA P-eligible individual an amount equal to the gross charge forany service provided to that individual? . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 No
If "Yes," explain in Section C
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 4
Facility Information (continued)
Section B. Facility Policies and Practices
(Complete a separate Section B for each of the hospital facilities or facility reporting groups listed in Part V, Section A)HONORHEALTH REHABILITATION HOSPITAL
Name of hospital facility or letter of facility reporting group
Line number of hospital facility, or line numbers of hospital facilities in a facility 6reporting group ( from Part V, Section A):
Community Health Needs Assessment
1 Was the hospital facility first licensed, registered, or similarly recognized by a state as a hospital facility in the currenttax year or the immediately preceding tax year?. . . . . . . . . . . . . . . . . . . . . . . . .
2 Was the hospital facility acquired or placed into service as a tax-exempt hospital in the current tax year or theimmediately preceding tax year? If"Yes," provide details of the acquisition in Section C. . . . . . . . . . . . . .
3 During the tax year or either of the two immediately preceding tax years, did the hospital facility conduct a communityhealth needs assessment (CHNA)? If "No," skip to line 12. . . . . . . . . . . . . . . . . . . . .
If "Yes," indicate what the CHNA report describes (check all that apply)
a rA definition of the community served by the hospital facility
b 1 Demographics of the community
c r--Existing health care facilities and resources within the community that are available to respond to the health needsof the community
d r How data was obtained
e 1-The significant health needs of the community
f EPrimary and chronic disease needs and other health issues of uninsured persons, low-income persons, and minoritygroups
g r.-The process for identifying and prioritizing community health needs and services to meet the community healthneeds
h r.-The process for consulting with persons representing the community's interests
i r Information gaps that limit the hospital facility's ability to assess the community's health needs
j 1- Other (describe in Section C)
4 Indicate the tax year the hospital facility last conducted a CHNA 20 15
5 In conducting its most recent CHNA, did the hospital facility take into account input from persons who represent thebroad interests of the community served by the hospital facility, including those with special knowledge of or expertisein public health? If "Yes," describe in Section C how the hospital facility took into account input from persons whorepresent the community, and identify the persons the hospital facility consulted. . . . . . . . . . . . . . . . .
6 a Was the hospital facility's CHNA conducted with one or more other hospital facilities? If "Yes," list the other hospitalfacilities in Section C
No
1 I I No
3 1 Yes
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6a Yes
b Was the hospital facility's CHNA conducted with one or more organizations other than hospital facilities?"If"Yes," listthe other organizations in Section C. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6b N o
7 Did the hospital facility make its CHNA report widely available to the public? . . . . . . . . . . . . . . 7 Yes
If "Yes," indicate how the CH NA report was made widely available (check all that apply)
a 1- Hospital facility's website (list url) SEE SCHEDULE H, PART V, SECTION C
b r Other website (list url)
c r Made a paper copy available for public inspection without charge at the hospital facility
d 1- Other (describe in Section C)
8 Did the hospital facility adopt an implementation strategy to meet the significant community health needsidentified through its most recently conducted CHNA? If "No," skip to line 11 . . . . . . . . . . . 8 Yes
9 Indicate the tax year the hospital facility last adopted an implementation strategy 20 16
10 Is the hospital facility's most recently adopted implementation strategy posted on a website''. . . . . . . . . 10
a If "Yes" (list url)
b If "No ," is the hospital facility's most recently adopted implementation strategy attached to this return?SOb Yes
11 Describe in Section C how the hospital facility is addressing the significant needs identified in its most recentlyconducted CHNA and any such needs that are not being addressed together with the reasons why such needs are notbeing addressed
12a Did the organization incur an excise tax under section 4959 for the hospital facility's failure to conduct a CHNA asrequired by section 501(r)(3)?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12a N o
b If "Yes" on line 12a, did the organization file Form 4720 to report the section 4959 excise tax?12b
c If "Yes" on line 12b, what is the total amount of section 4959 excise tax the organization reported on Form 4720 for
all of its hospital facilities? $
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 5
Facility Information (continued)
Financial Assistance Policy (FAP)
HONORHEALTH REHABILITATION HOSPITAL
Name of hospital facility or letter of facility reporting group
Did the hospital facility have in place during the tax year a written financial assistance policy that
13 Explained eligibility criteria for financial assistance, and whether such assistance included free or discounted care? 13 Yes
If"Yes," indicate the eligibility criteria explained in the FA P
a r Federal poverty guidelines (FPG), with FPG family income limit for eligibility for free care of
175 % and FPG family income limit for eligibility for discounted care of250 0/0
b r Income level other than FPG (describe in Section C)
c r Asset level
d r Medical indigency
e r Insurance status
f r Underinsurance discount
g r Residency
h r Other (describe in Section C)
14 Explained the basis for calculating amounts charged to patients ? . . . . . . . . . . . . . . . . . 14 Yes
15 Explained the method for applying for financial assistance? . . . . . . . . . . . . . . . . . . . 15 Yes
If"Yes,"indicate how the hospital facility's FAP or FAP application form (including accompanying instructions)explained the method for applying for financial assistance (check all that apply)
a r Described the information the hospital facility may require an individual to provide as part of his or her application
b r Described the supporting documentation the hospital facility may require an individual to submit as part of his or
her application
c r Provided the contact information of hospital facility staff who can provide an individual with information about the
FAP and FAP application process
d Provided the contact information of nonprofit organizations or government agencies that may be sources of
assistance with FAP applications
e r O ther (describe in Section C )
16 Included measures to publicize the policy within the community served by the hospital facility? . . . . . 16
If "Yes," indicate how the hospital facility publicized the policy (check all that apply)
a 1-The FAP was widely available on a website (list url)
b 1-The FAP application form was widely available on a website (list url)
c r- A plain language summary of the FAP was widely available on a website (list url)
d The FA P was available upon request and without charge (in public locations in the hospital facility and by mail)
e The FA P application form was available upon request and without charge (in public locations in the hospital facility
and by mail)
f rA plain language summary of the FAP was available upon request and without charge (in public locations in the
hospital facility and by mail)
g r Notice of availability of the FAP was conspicuously displayed throughout the hospital facility
h r Notified members of the community who are most likely to require financial assistance about availability of the FAP
1- Other ( describe in Section C)
No
Billin g and Collections
17 Did the hospital facility have in place during the tax year a separate billing and collections policy, or a written financialassistance policy (FAP) that explained all of the actions the hospital facility or other authorized party may take uponnon-payment? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 No
18 Check all of the following actions against an individual that were permitted under the hospital facility's policies duringthe tax year before making reasonable efforts to determine the individual's eligibility under the facility's FA P
a r Reporting to credit agency(ies)
b Selling an individual's debt to another party
c r-Actions that require a legal or judicial process
d r-Othersimilar actions (describe in Section C)
e r None of these actions or other similar actions were permitted
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 6
Facility Information (continued)
HONORHEALTH REHABILITATION HOSPITAL
Name of hospital facility or letter of facility reporting group
No
19 Did the hospital facility or other authorized party perform any of the following actions during the tax year before makingreasonable efforts to determine the individual's eligibility under the facility's FAP? . . . . . . . . . . . . 19 No
If "Yes," check all actions in which the hospital facility or a third party engaged
a r Reporting to credit agency(ies)
b Selling an individual's debt to another party
c r- Actions that require a legal or judicial process
d r- Other similar actions (describe in Section C)
20 Indicate which efforts the hospital facility or other authorized party made before initiating any of the actions listed(whether or not checked) in line 19 (check all that apply)
a r Notified individuals of the financial assistance policy on admission
b r Notified individuals of the financial assistance policy prior to discharge
c r Notified individuals of the financial assistance policy in communications with the individuals regarding the
individuals' bills
d EDocumented its determination of whether individuals were eligible for financial assistance under the hospitalfacility's financial assistance policy
e r Other (describe in Section C)
f None of these efforts were made
Poli cy Relating to Emergency Medical Care
21 Did the hospital facility have in place during the tax year a written policy relating to emergency medical care thatrequired the hospital facility to provide , without discrimination , care for emergency medical conditions to individualsregardless of their eligibility under the hospital facility's financial assistance policy?. . . . . . . . . . . . . . . . . .
If "No," indicate why
a 1-The hospital facility did not provide care for any emergency medical conditions
b 1-The hospital facility 's policy was not in writing
c 1-The hospital facility limited who was eligible to receive care for emergency medical conditions ( describe in Section
C)
d r Other (describe in Section C)
No
Charges to Individuals Eli g ible for Assistance Under the FAP ( FAP - Eli g ible Individuals )
22 Indicate how the hospital facility determined, during the tax year, the maximum amounts that can be charged to FAP-eligible individuals for emergency or other medically necessary care
a EThe hospital facility used its lowest negotiated commercial insurance rate when calculating the maximum amountsthatcan be charged
b EThe hospital facility used the average of its three lowest negotiated commercial insurance rates when calculatingthe maximum amounts that can be charged
c 1-The hospital facility used the Medicare rates when calculating the maximum amounts that can be charged
d r Other (describe in Section C)
23 During the tax year, did the hospital facility charge any FAP-eligible individual to whom the hospital facility providedemergency or other medically necessary services more than the amounts generally billed to individuals who hadinsurance covering such care?. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 N o
If "Yes," explain in Section C
24 During the tax year, did the hospital facility charge any FA P-eligible individual an amount equal to the gross charge forany service provided to that individual? . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 No
If "Yes," explain in Section C
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 7
Facility Information (continued)
Section C . Supplemental Information for Part V, Section B.Provide descriptions required for Part V, Section B, lines 2, 3j, 5, 6a, 6b, 7d, 11, 13b, 13h, 15e, 161, 18d, 19d, 20e, 21c,21d, 22d, 23, and 24. If applicable, provide separate descriptions for each hospital facility in a facility reporting group,designated by facility reporting group letter and hospital facility line number from Part V, Section A ("A, 1," "A, 4," "B, 2,""B, 3," etc.) and name of hospital facility.
Form and Line Reference I Explanation
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 8
Facility Information (continued)
Section D. Other Health Care Facilities That Are Not Licensed, Registered, or Similarly Recognized as aHospital Facility(list in order of size, from largest to smallest)
How many non-hospital health care facilities did the organization operate during the tax year? 81
Name and address Type of Facility ( describe )1 See Additional Data Table
2
3
4
5
6
7
8
9
10
Schedule H (Form 990) 2015
Schedule H (Form 990) 2015 Page 9
Supplemental Information
Provide the following information
1 Required descriptions . Provide the descriptions required for Part I, lines 3c, 6a, and 7, Part II and Part III, lines 2, 3, 4, 8 and 9b
2 Needs assessment . Describe how the organization assesses the health care needs of the communities it serves, in addition to anyCHNAs reported in Part V, Section B
3 Patient education of eligibility for assistance . Describe how the organization informs and educates patients and persons who maybe billed for patient care about their eligibility for assistance under federal, state, or local government programs or under theorganization's financial assistance policy
4 Community information . Describe the community the organization serves, taking into account the geographic area and demographicconstituents it serves
5 Promotion of community health . Provide any other information important to describing how the organization's hospital facilities orother health care facilities further its exempt purpose by promoting the health of the community (e g , open medical staff, communityboard, use of surplus funds, etc )
6 Affiliated health care system . If the organization is part of an affiliated health care system, describe the respective roles of theorganization and its affiliates in promoting the health of the communities served
7 State filing of community benefit report . If applicable, identify all states with which the organization, or a related organization, filesa community benefit report
Form and Line Reference Explanation
SCHEDULE H, PART I, LINE 6A SCOTTSDALE HEALTHCARE HOSPITALS (DBA HONORHEALTH) PREPARED A COMMUNITYBENEFIT REPORT FOR THE PERIOD BEGINNING JANUARY 1, 2015 AND ENDING DECEMBER31, 2015 THE ANNUAL REPORT HIGHL IGHTS SOME OF THE COMMUNITY BENEFITACTIVITIES DONE THROUGHOUT THE FISCAL YEAR HONORHEALT H PROVIDESCOMPREHENSIVE CANCER TREATMENT, CLINICAL TRIALS, AND PREVENTION, ANDSUPPORT SE RVICES IN COLLABORATION WITH LEADING SCIENTIFIC RESEARCHERSAND COMMUNITY ONCOLOGISTS AT T HE VIRGINIA G PIPER CANCER AND CENTER ANDTHE BREAST HEALTH RESEARCH CENTER MORE THAN 17 5 COMMUNITY PROGRAMSWERE PROVIDED IN 2015 SERVING OVER 6,800 INDIVIDUALS INCLUDING CANCER RISK,CANCER PREVENTION AND EDUCATION, CANCER SUPPORT GROUPS,AND NUTRITIONALEDUCATION THE CENTER'S CANCER CARE COORDINATORS HELP PATIENTS ANDFAMILIES AT NO CHARGE BY PROVIDING NEW PATIENT RESOURCES, ONGOING SUPPORT,EDUCATIONAL INFORMATION, AND REFERRALS TO MORE TH AN 275 PEOPLE EACH WEEKTHE CENTER ALSO OFFERS AN IN-DEPTH CANCER SURVIVORSHIP PROGRAM FINALLY,THE CENTER'S CREATIVE ARTS BODY, MIND, AND SPIRIT PROGRAM SAW MORE THAN5,000 PART ICIPANTS IN 2015 HONORHEALTHS MILITARY PARTNERSHIP ENABLESMEDICAL PERSONNEL FROM ALL BRA NCHES OF THE ARMED FORCES TO GAIN SKILLSAND EXPERIENCE NEEDED TO PERFORM SUCCESSFULLY ON COMBAT OR HUMANITARIANMISSIONS SINCE ITS BEGINNING IN 2004,THE MILITARY PARTNERSHIP HAS PROVIDEDTRAINING TO MORE THAN 2,200 PARTICIPANTS THE TRAINING INCLUDES HANDS-ONLEARNIN G THROUGH HIGH-TECH HUMAN PATIENT SIMULATORS, EXPERT LECTURES BYSPECIALIST PHYSICIANS AND CLINICIANS, CLINICAL ROTATIONS AT HONORHEALTH,MARICOPA INTEGRATED HOSPITAL SYSTEMS, AND LUKE AIR FORCE BASE THEPARTNERSHIP ENSURES THAT MEDICAL PROFESSIONALS ARE READY AND ABLE TOASSIST AT DISASTER SITES AND HUMANITARIAN MISSIONS AROUND THE WORLD ANDBUILDS RELATIO NSHIPS BETWEEN HONORHEALTH AND MILITARY BRANCHES THAT CANBE BENEFICIAL IN POTENTIAL LOCAL EMERGENCY RESPONSE SITUATIONS THEPROGRAM ALSO PROVIDES TRAINING TO LOCAL PARAMEDICS AND FIREFIGHTERSHONORHEALTH PROVIDES HEALTH CAREER EDUCATION THROUGH ITS WORKFORCEDEVELOPM ENT, PROFESSIONAL NURSING EDUCATION, INVESTMENT IN NURSINGEXCELLENCE (SHINE),AND GRADUATE MEDICAL EDUCATION THROUGH PARTNERSHIPSWITH EIGHT COLLEGIATE PARTNERS, INCLUDING SCOTTS DALE COMMUNITY COLLEGEAND GRAND CANYON UNIVERSITY, 494 NURSES PURSUED A BACHELOR'S DEGREE INNURSING, 182 MASTER'S DEGREES IN NURSING, 143 NURSE PRACTITIONER DEGREES,AND 34 WERE PURSUING A DOCTORATE IN NURSING IN TOTAL $4,219,104 IN TUITIONASSISTANCE BENEFITS WERE P ROVIDED TO STAFF MEMBERS MORE THAN 244 FAMILYPHYSICIANS HAVE GRADUATED FROM OUR FAMILY M EDICINE RESIDENCY PROGRAM,WITH MANY OF THEM REMAINING IN ARIZONA TO PRACTICE 2015 SAWTH E ADDITIONOF 2 ADDITIONAL RESIDENTS IN THE GENERAL SURGERY RESIDENCY PROGRAM THATBEGAN I N 2014 HONORHEALTH HAS A PHARMACY RESIDENCY PROGRAM THATPROVIDES VALUABLE LEARNING TO LI CENSED PHARMACISTS INTERESTED INBECOMING HOSPITAL PHARMACISTS OR CLINICAL PHARMACY SPECIA LISTS WOMEN'SHEALTH SERVICES IS A DEPARTMENT THAT FOCUSES ON THE UNIQUE NEEDS OFWOMEN MOMS ON THE MOVE (M 0 M) IS A PROGRAM FOR SOCIAL INTERACTION,SUPPORT AND PRACTICAL INFORM ATION FOR NEW MOTHERS IN 2015, MORE THAN2,000 NEW MOMS PARTICIPATED WOMEN'S HEALTH SERV ICES ALSO CONDUCTSSCREENINGS FOR OSTEOPOROSIS AND HEART DISEASE, CONDUCTING 63 BONE DENSITY SCREENINGS AND 115 HEART SCREENINGS IN 2015 FINALLY, THIS DEPARTMENTOFFERS SUPPORT AN D EDUCATION FORUMS TO EMPOWER WOMEN TO ENGAGE IN THEIRHEALTH THROUGH EDUCATION TO INCREAS E UNDERSTANDING OF DISEASES ANDOTHER HEALTH CONDITIONS UNIQUE TO WOMEN THE THREE HONORHE ALTH TRAUMACENTERS PROVIDED INJURY PREVENTION EDUCATION AND TRAININGS AT HEALTHFAIRS AND OTHER GATHERINGS TO NUMEROUS INDIVIDUALS THE TRAUMA PROGRAMSWERE A SPONSOR FOR THE TACK LE TRAUMA 5K THAT OCCURRED THE MORNING OFSUPER BOWL XLIX IN 2015, HONORHEALTH BEGAN A PI LOT PROJECT TO REDUCE 911CALLS AND EMERGENCY DEPARTMENT VISITS THROUGH A PARTNERSHIP WITH THE CITYOF SCOTTSDALE FIRE DEPARTMENT TO ACHIEVE THE GOAL OF REDUCINGOVERUTILIZATION 0 FTHE EMS AND HOSPITAL SYSTEM,THE SOCIAL NEEDS OFINDIVIDUALS ARE IDENTIFIED AND ADDRESSED BY CONNECTING THE INDIVIDUAL TOAVAILABLE RESOURCES THIS PILOT WILL CONTINUE IN 2016 H ONORHEALTHFOUNDATION PROVIDES FINANCIAL SUPPORT FOR MANY OF THE EFFORTS PUT FORTHBY HONO RHEALTH THE FOUNDATIONS SUPPORT PROVIDES ASSISTANCE TO PATIENTSAND THEIR FAMILIES THROUG H THE VIRGINIA G PIPER CANCER CENTER,NEIGHBORHOOD OUTREACH ACCESS TO HEALTH(NOAH), AND D ESERT MISSIONDESERT MISSION, INC ,ADDRESSES THE COMMUNITY'S BROADER HEALTH NEEDS IN RETURN, THE NETWORK PROVIDES IN-KIND ADMINISTRATIVE SUPPORT FOR SERVICESSUCH AS INFORMATION TECHNOLOGY, HUMAN RESOURCES, FUNDRAISING, ANDACCOUNTING DESERT MISSION FOOD BANK PROVID ES EMERGENCY FOOD AND FOODSECURITY PROGRAMS TO MORE THAN 15,000 FAMILIES WITH CHILDREN, R EACHINGMORE THAN 41,000 INDIVIDUALS IN 2015,THE FOOD BANK SERVED 3,200 INDIVIDUALSPER MONTH AND DISTRIBUTED 2 7 MILLION POUNDS OF DONATE
Form and Line Reference Explanation
SCHEDULE H, PART I, LINE 6A D FOOD TO THE COMMUNITY, INCLUDING 46,801 EMERGENCY FOOD BOXES AREASCHOOL CHILDREN RECEI VED 39,875 SNACK PACS LINCOLN LEARNING CENTER OFFERSQUALITY CHILDCARE FOR CHILDREN AGES 6 WEEKS TO 12 YEARS LINCOLN LEARNINGCENTER IS ACCREDITED BY THE NATIONAL ACADEMY OF EARLY CHILDHOOD PROGRAMS(NAEYC) IN 2015, LINCOLN LEARNING CENTER HAD 435 CHILDREN ENROLLED, 133CHILDREN RECEIVED FINANCIAL ASSISTANCE DESERT MISSION NEIGHBORHOODRENEWAL (DMNR) IS COMMITTED TO FACILITATING THE DEVELOPMENT OF COMMUNITY,HOUSING AND BUSINESS IN THE NORTH VALLEY OF PHOENIX, ARIZONA DMNRPRIMARILY FOCUSES ON NEIGHBORHOOD REVITALIZATION THROUGH AFFORDABLEHOUSING DEVELOPMENT, BLIGHT ELIMINATION AND OWNER-OCCUPIED HOMEREHABILITATION DMNR ALSO PROVIDES LEADERSHIP AND SUPPORT IN DEVELOPINGTHE BUSINESS CORRIDOR AROUND THE JOHN C LINCOLN MEDICAL CENTER CAMPUS
Form and Line Reference Explanation
SCHEDULE H, PART I, LINE 7 LINE 7A/7B THE COST-TO-CHARGE WORKSHEETS FROM THE FORM 990 SCHEDULEINSTRUCTIONS WERE USED TO COMPLETE THESE LINES LINE 7E COMMUNITY HEALTHIMPROVEMENT COSTS WERE BASED ON AVERAGE SALARIES FOR EACH DEPARTMENT ANDHE NUMBER OF EMPLOYEE HOURS DEVOTED TO COMMUNITY HEALTH IMPROVEMENTPROGRAMS NON-SALARY DIRECT AND INDIRECT COSTS WERE ADDED WHEN APPLICABLELINE 7F HEALTH PROFESSION EDUCATION COSTS WERE BASED ON AVERAGE SALARIESAND HOURS DEVOTED BY STAFF IN TRAINING STUDENTS STUDENTS INCLUDE NURSES,PHYSICIANS, PHARMACISTS, THERAPISTS LINE 7G SUBSIDIZED HEALTH CARE INCLUDESHE LOST INCOME FROM THE SERVICES LOST INCOME MAY INCLUDE THE COST OF
SALARIES AND THE COST OF EQUIPMENT LINE 7H RESEARCH INCLUDES THE SALARIES OFRESEARCH STAFF LINE 71 CASH AND IN-KIND SERVICES INCLUDE ANY DONATIONS,GRANTS, OR SPONSORSHIPS IF A DONATION IS NON-MONETARY,A PRICE IS ESTIMATEDFOR THE GOOD
Form and Line Reference Explanation
SCHEDULE H, PART II HE COMMUNITY BUILDING ACTIVITIES THAT HONORHEALTH PROVIDES SEEK TOIMPROVE THE HEALTH OF THE COMMUNITIES SERVED BY ADDRESSING BOTH THE SOCIALAND HEALTHCARE NEEDS DESERT MISSION NEIGHBORHOOD RENEWAL HELPS FACILITATEHE DEVELOPMENT OF COMMUNITY, HOUSING, AND BUSINESS IN THE NORTH VALLEY OF
PHOENIX ARIZONA DMNR PRIMARILY FOCUSES ON NEIGHBORHOOD REVITALIZATIONHROUGH AFFORDABLE HOUSING DEVELOPMENT, BLIGHT ELIMINATION, AND OWNER
OCCUPIED- HOME REHABILITATION DMNR ALSO PROVIDES LEADERSHIP AND SUPPORT INDEVELOPING THE BUSINESS CORRIDOR AROUND THE JOHN C LINCOLN MEDICAL CENTERCAMPUS HONORHEALTH EXECUTIVE STAFF PROVIDES LEADERSHIP ON BOARDS ANDCOMMITTEES THROUGH THE PHOENIX METROPOLITAN COMMUNITY THEIR LEADERSHIPHELPS WITH THE ECONOMIC GROWTH OFTHE METROPOLITAN AREA, MAKING IT ANATTRACTIVE SITE FOR BUSINESS IN ADDITION, HONORHEALTH SUPPORTED INITIATIVESAND ORGANIZATIONS WITH A FOCUS ON THE SOCIAL DETERMINANTS OF HEALTH, LIKE ARECENT TRANSPORTATION PLAN FOR THE CITY OF PHOENIX THE MILITARY PARTNERSHIPDEMONSTRATES HONORHEALTHS CONTINUAL COMMITMENT TO TRAINING THE MILITARYFOR SUCCESSFUL COMBAT MISSIONS AT OUR LEVEL I TRAUMA AT SCOTTSDALE OSBORNMEDICAL CENTER HONORHEALTH ALSO PROVIDES SUPPORT AND TRAINING TO PREPARESTUDENTS FOR CAREERS IN THE HEALTHCARE SECTOR THROUGH THE JOBS FOR ARIZONAGRADUATES PROGRAM, HIGH SCHOOL STUDENTS FROM TITLE 1 SCHOOLS ARE GIVEN THEOPPORTUNITY TO LEARN ABOUT THE HEALTHCARE SECTOR HONORHEALTH STAFF ACT ASMENTORS AND PRECEPTORS TO STUDENT INTERNS, FELLOWS, AND RESIDENTS
Form and Line Reference Explanation
SCHEDULE H, PART III, LINE 2 NET PATIENT ACCOUNTS RECEIVABLE AND NET PATIENT SERVICE REVENUE HAVE BEENADJUSTED TO THE ESTIMATED AMOUNTS EXPECTED TO BE RECEIVED THESE ESTIMATEDAMOUNTS ARE SUBJECT TO FURTHER ADJUSTMENTS UPON REVIEW BY THIRD-PARTYPAYORS BAD DEBT IS DETERMINED BY THE PATIENT'S OUTSTANDING ACCOUNT BALANCEON THE DAY THEIR ACCOUNT IS TRANSFERRED TO A BAD DEBT STATUS THEOUTSTANDING ACCOUNT BALANCE CONSISTS OF GROSS REVENUE LESS ANYCONTRACTUAL ADJUSTMENTS AND PAYMENTS POSTED TO THE ACCOUNT PAYMENTSMADE AFTER THE ACCOUNT IS IN A BAD DEBT STATUS ARE CONSIDERED RECOVERIES ANDWILL REDUCE THE BAD DEBT AMOUNT WHEN PAYMENTS ARE RECEIVED SCHEDULE H, PARTIII, LINE 3 THE COST OF BAD DEBT EXPENSE IS DETERMINED USING THE NETWORK'SCALCULATED COST TO CHARGE RATIO APPLIED TO REPORTED GROSS CHARGES WRITTENOFF DURING THE YEAR USING A SAMPLE OF ACCOUNTS WRITTEN OFF DURING THE YEAR,HE NETWORK HAS ESTIMATED THAT APPROXIMATELY 62% OF BAD DEBT WAS
ATTRIBUTED TO PATIENTS ELIGIBLE UNDER THE NETWORK'S FINANCIAL ASSISTANCEPOLICY A NUMBER OF PATIENTS ARE TRULY UNABLE TO PAY THEIR OUT-OF-POCKETLIABILITY, BUT DO NOT COMPLETE THE PROCESS REQUIRED TO APPLY FOR FINANCIALASSISTANCE UNDER THE HOSPITAL'S FINANCIAL ASSISTANCE POLICY THESE PATIENTSWOULD QUALIFY FOR CHARITY CARE IF THEY COMPLETED THE PAPERWORK, SO THE BADDEBT EXPENSE ASSOCIATED WITH TREATING THEM IS TREATED AS COMMUNITY BENEFIT
Form and Line Reference Explanation
SCHEDULE H, PART III, LINE 4 HE FOOTNOTE THAT DESCRIBES BAD DEBT IS ON PAGE 10 OF THE ATTACHED AUDITEDFINANCIAL STATEMENTS
Form and Line Reference Explanation
SCHEDULE H, PART III, LINE 8 HE AMOUNT ON PART III, LINE 6 IS FROM THE MEDICARE COST REPORTS FILED BY THEORGANIZATION THE ENTIRE SHORTFALL REPORTED ON PART III, LINE 7 IS A COMMUNITYBENEFIT THE RATIONALE FOR INCLUDING MEDICARE LOSSES AS COMMUNITY BENEFITLIES IN THE NETWORK'S BELIEF THAT, BASED ON IRS REVENUE RULING 69-545, SERVINGPATIENTS WITH GOVERNMENT HEALTH BENEFITS SUCH AS MEDICARE IS AN INDICATORTHAT THE NETWORK'S HOSPITALS OPERATE TO PROMOTE THE HEALTH OF THECOMMUNITY AND THEREFORE PROVIDES A COMMUNITY BENEFIT THE NETWORK ALSOBELIEVES THAT TAX-EXEMPT HOSPITALS PLAY A VITAL ROLE IN PROVIDING THE ELDERLYWITH ACCESS TO HEALTHCARE SERVICES THEY MIGHT OTHERWISE BE DENIED BY FOR-PROFIT AND SPECIALTY HOSPITALS THAT FOCUS ON HIGH-MARGIN SERVICES OR THATWOULD HAVE TO BE PROVIDED DIRECTLY BY THE FEDERAL GOVERNMENT
Form and Line Reference Explanation
SCHEDULE H, PART III, LINE 9B PURSUANT TO HONORHEALTH'S FINANCIAL ASSISTANCE POLICY, HONORHEALTH WILLNOT PURSUE LEGAL ACTION FOR NON-PAYMENT OF BILLS AGAINST CHARITY CAREPATIENTS WHO HAVE CLEARLY DEMONSTRATED THAT THEY HAVE NEITHER SUFFICIENTINCOME NOR ASSETS TO MEET THEIR FINANCIAL OBLIGATION HONORHEALTH WILL NOTPLACE A LIEN ON A CHARITY CARE PATIENT'S PRIMARY RESIDENCE IF THIS IS THEPATIENT'S SOLE REAL ESTATE ASSET UNLESS THE VALUE OF THE PROPERTY CLEARLYINDICATES AN ABILITY TO ASSUME SIGNIFICANT FINANCIAL OBLIGATIONSHONORHEALTH WILL NOT EXECUTE A LIEN BY FORCING THE SALE OR FORECLOSURE OF ACHARITY CARE PATIENT'S PRIMARY RESIDENCE TO PAY FOR AN OUTSTANDING MEDICALBILL HONORHEALTH WILL NOT USE BODY ATTACHMENT TO REQUIRE THE CHARITY CAREPATIENT OR RESPONSIBLE PARTY TO APPEAR IN COURT
Form and Line Reference Explanation
SCHEDULE H, PART VI, LINE 2 HONORHEALTH PARTNERED WITH THE FEDERALLY QUALIFIED HEALTH CENTERNEIGHBORHOOD OUTREACH ACCESS TO HEALTH (NOAH)TO CONDUCT A NEEDSASSESSMENT FOR EACH NOAH CLINIC IN 2015 THE METHOD TO CONDUCT THEASSESSMENT WAS IDENTICAL TO THE COMMUNITY HEALTH NEEDS ASSESSMENT PROCESSUSED FOR EACH HOSPITAL AS REPORTED IN PART V, SECTION B THE NOAH NEEDSASSESSMENT INVOLVED FOCUS GROUPS THAT INCLUDED PARTICIPANTS THAT WEREMORE LIKELY TO BE UNINSURED, HISPANIC, AND NON-ENGLISH SPEAKING REVIEWING THERESULTS FROM THESE FOCUS GROUPS HELPS HONORHEALTH BETTER UNDERSTAND THENEEDS OF VULNERABLE POPULATIONS HONORHEALTH HAS PARTICIPATED IN THECOUNTY-WIDE HEALTH IMPROVEMENT PARTNERSHIP OF MARICOPA COUNTY (HIPMC)SINCE 2012 THE HIPMC INVOLVES PARTNERS FROM ACROSS THE COUNTY AND ACROSSSECTORS BEGINNING IN 2015, MARICOPA COUNTY DEPARTMENT OF PUBLIC HEALTHBEGAN THE PROCESS OF THE NEXT COMMUNITY HEALTH ASSESSMENT WHILE NOTFORMALLY INVOLVED WITH THIS PROCESS, HONORHEALTH REMAINS INVOLVE THROUGHHE HIPMC HONORHEALTH CONDUCTS REGULAR ANALYSES WHILE DEVELOPING BUSINESS
PLANS WHEN DETERMINING WHERE TO LOCATE SERVICES OR ADD NEW FACILITIES,HONORHEALTH CONSIDERS HISTORICAL HOSPITAL UTILIZATION AS WELL ASFORECASTED UTILIZATION TO DETERMINE COMMUNITY NEEDS NOW AND IN THE FUTUREPOPULATION ESTIMATES AND FORECASTS ARE ALSO ANALYZED TO ASSESS FUTURENEEDS OFTHE COMMUNITIES AT DESERT MISSION LINCOLN LEARNING CENTER,DEVELOPMENTAL ASSESSMENTS ARE PROVIDED TO STUDENTS BETWEEN 3 AND 5 YEARSOF AGE TO IDENTIFY ANY DEVELOPMENTAL DELAYS AND VISION OR HEARING ISSUES IFANYTHING IS IDENTIFIED,THE CHILD IS REFERRED TO A SPECIALIST FOR FURTHERASSESSMENT THE SCREENING TOOLS USED INCLUDE TEACHING STRATEGIES GOLD,ASQ,AND ASQ-SE (AGES AND STAGES QUESTIONNAIRES FOR BOTH DEVELOPMENT AND SOCIALAND EMOTIONAL)AND DEVELOPMENTAL PEDIATRIC CHECKLISTS AS RECOMMENDED BYHE AMERICAN ACADEMY OF PEDIATRICS ABOUT 1 IN 8 INDIVIDUALS IN THEHONORHEALTH SERVICE AREA IS OVER THE AGE OF 65 TO HELP THIS GROWINGPOPULATION AGE HEALTHILY, THE LONGEVITY INSTITUTE WAS ESTABLISHED IN LATE2015 THIS PROGRAM WILL WORK WITH SENIORS AND THEIR COMMUNITIES TO IDENTIFYAREAS OF NEED TO ENSURE THEY CONTINUE TO LIVE HEALTHY LIVES THIS ISACCOMPLISHED THROUGH SEMINARS, WORKSHOPS,AND TRAINING HONORHEALTH WORKSWITH A SENIOR ADVISORY BOARD TO IDENTIFY WHAT SENIORS PERCEIVE TO BE THEIRGREATEST NEEDS
Form and Line Reference Explanation
SCHEDULE H, PART VI, LINE 3 HONORHEALTH,THROUGH ITS FINANCIAL ASSISTANCE POLICIES, PROVIDES ASSISTANCEFOR THOSE FROM 100-500% OF THE FEDERAL POVERTY LEVEL BASED ON THE
VERIFICATION OF THE PATIENT'S FINANCIAL STATUS ALL PATIENTS ARE NOTIFIEDDURING THEIR ADMISSION PROCESS OF SCOTTSDALE HEALTHCARE'S FINANCIALSSISTANCE POLICY THE FINANCIAL ASSISTANCE POLICY IS AVAILABLE THROUGH
HONORHEALTH'S WEBSITE WWW HONORHEALTH COM BROCHURES ARE AVAILABLE IN ALLPUBLIC AREAS OF THE HOSPITALS OUR PATIENTS MAY REQUEST TO SPEAK WITH AFINANCE REPRESENTATIVE AT ANY TIME BEFORE, DURING OR AFTER THEIR STAY IN ONEOF HONORHEALTH'S FACILITIES
Form and Line Reference Explanation
SCHEDULE H, PART VI, LINE 4 HONORHEALTH HAS ALWAYS BEEN A LOCALLY OWNED NOT-FOR-PROFIT HEALTH CAREORGANIZATION WE PROVIDE THE HIGHEST QUALITY EMERGENCY MEDICAL CAREHROUGH OUR LEVEL I AND LEVEL III TRAUMA CENTERS, OUR VIRGINIA G PIPER
PEDIATRIC CENTER OF EXCELLENCE, WHICH INCLUDES OUR CHILDREN'S EMERGENCYCENTER, MENDY'S PLACE,AND KIDSZONE INPATIENT PEDIATRIC UNIT, OUR VIRGINIA GPIPER CANCER CENTER, OUR HONORHEALTH RESEARCH INSTITUTE, AND A COMPLETERANGE OF PERSONALIZED INPATIENT AND OUTPATIENT CARE ALL FIVE ACUTE-CAREHOSPITALS HAVE BEEN DESIGNATED AS MAGNET HOSPITALS, MAKING US ONE OFTHE FEWMAGNET SYSTEMS IN THE COUNTRY HONORHEALTHS GEOGRAPHIC AREA IS COMPRISEDOF 47 ZIP CODES THAT COVER THE NORTHEAST QUADRANT OF METROPOLITAN PHOENIXHE BORDERS INCLUDE THE TONTO NATIONAL FOREST TO THE NORTH, HIGHWAY 202 ANDHE I-10 TO THE SOUTH,THE SALT-RIVER PIMA COMMUNITY TO THE EAST, AND EXTENDSBEYOND THE 1-17 TO THE WEST SPECIFIC CITIES AND TOWNS SERVED INCLUDESCOTTSDALE, PARADISE VALLEY, NORTHEAST PHOENIX, CAREFREE, CAVE CREEK,GLENDALE, ANTHEM, PEORIA, RIO VERDE, FOUNTAIN HILLS, NORTHWEST MESA,ANDNORTHEAST TEMPE IN ADDITION,THE SERVICE AREA INCLUDES THE SALT-RIVER PIMAAND FORT MCDOWELL NATIVE AMERICAN COMMUNITIES IN 2014, THE ESTIMATEDPOPULATION OF THE SERVICE AREA WAS GREATER THAN 1 6 MILLION PEOPLE THEPOPULATION IS 50% FEMALE, 64% WHITE NON-HISPANIC, 25% HISPANIC, 3 6% BLACK,1 9% AMERICAN INDIAN, 3 6% ASIAN/PACIFIC ISLANDER,AND 2 2% REPORTING 2 ORMORE RACES AGE WISE,THE POPULATION IS 22% UNDER 18 YEARS OF AGE, 10% 18-24,14% 25-34, 27% 35-54, 12% 55-64,AND 13% 65 AND OLDER THE DEPENDENCY RATIO IN2014 WAS 0 58,THIS IS AN INDICATOR OF HOW MANY PEOPLE ARE LIKELY IN THEWORKFORCE (20-64) COMPARED TO THE NUMBER UNLIKELY TO BE IN THE WORKFORCE(UNDER 20 AND OVER 65) WHILE 34% OFTHE POPULATION HAS A BACHELOR'S DEGREE ORGREATER, ANOTHER 34% HAS A HIGH SCHOOL DIPLOMA OR LESS THE DISTRIBUTION OFINCOME SHOWS A WIDE RANGE WITH 26% MAKING LESS THAN $25,000/YEAR WHILE 20%HAVE AN INCOME OVER $100,000 RESIDENTS IN THE JOHN C LINCOLN AND SCOTTSDALEOSBORN MEDICAL CENTER SERVICE AREA TEND TO BE LESS EDUCATED AND LESSAFFLUENT COMPARED TO THE SERVICE AREAS OF THE OTHER HOSPITALS THAT MAKE UPHONORHEALTH AN ESTIMATED 17 1% OF FAMILIES IN THE SERVICE AREA LIVE AT ORBELOWTHE FEDERAL POVERTY LEVEL BESIDES HONORHEALTH,THERE ARE SEVERALOTHER HOSPITALS LOCATED WITHIN THE SERVICE AREA AND ADDITIONAL HOSPITALSTHAT, WHILE NOT IN THE SERVICE AREA, HAVE OVERLAPPING SERVICE AREAS HOSPITALSLOCATED WITHIN THE SERVICE AREA INCLUDE MAYO CLINIC HOSPITAL, ABRAZOSCOTTSDALE (FORMERLY PARADISE VALLEY HOSPITAL), AND TEMPE ST LUKE'SHOSPITALS THAT SHARE SERVICE AREA INCLUDE MARICOPA MEDICAL CENTER ANDBANNER GOOD SAMARITAN FINALLY,THERE ARE THREE SPECIAL POPULATION HOSPITALSHAT MAY PROVIDE SERVICES TO RESIDENTS LIVING IN THE HONORHEALTH SERVICE
AREA THOSE ARE PHOENIX CHILDREN'S HOSPITAL, CARL T HAYDEN VETERAN'SADMINISTRATION HOSPITAL, AND PHOENIX INDIAN MEDICAL CENTER WITHIN THEHONORHEALTH SERVICE AREAS THERE ARE SEVEN FEDERALLY DESIGNATED MEDICALLYUNDERSERVED AREAS/POPULATIONS THE PHOENIX CENTRAL, SOUTH CENTRAL PHOENIXAND NORTH TEMPE SERVICE AREAS ARE WITHIN THE SCOTTSDALE OSBORN MEDICALCENTER SERVICE AREA THE PARADISE VALLEY DESIGNATED AREA IS WITHIN THEHONORHEALTH SHEA MEDICAL CENTER SERVICE AREA AND THE SCOTTSDALE THOMPSONPEAK MEDICAL CENTER SERVICE AREA THE JOHN C LINCOLN MEDICAL CENTER SERVICEAREA INCLUDES GLENDALE, PHOENIX CENTRAL, AND SUNNYSLOPE DEER VALLEY MEDICALCENTER ALSO SERVES THE SUNNYSLOPE MEDICALLY UNDERSERVED AREA WE PROVIDEOUTREACH SERVICES TO THE MOST VULNERABLE MEMBERS OF OUR COMMUNITY THROUGHHONORHEALTH DESERT MISSION FOOD BANK AND NEIGHBORHOOD RENEWAL IN 2015,HE FOOD BANK SERVED 40,186 INDIVIDUALS BY PROVIDING 46,801 EMERGENCY FOOD
BOXES AND 39,875 SNAC PACS TO SCHOOLCHILDREN HONORHEALTH PARTNERS WITH THEFEDERALLY QUALIFIED HEALTH CENTER NEIGHBORHOOD OUTREACH ACCESS TO HEALTH(NOAH)TO ENSURE THAT OUR VULNERABLE COMMUNITY MEMBERS RECEIVE QUALITYHEALTHCARE MEDICAL, DENTAL, AND BEHAVIORAL
Form and Line Reference Explanation
SCHEDULE H, PART VI, LINE 5 HONORHEALTH PROMOTES COMMUNITY HEALTH THOUGH AN ONGOING SERIES OF FREEMEDICAL SEMINARS ON TOPICS SUCH AS BREAST CANCER, DIABETES SELF-MANAGEMENT,AND SCREENINGS FOR CONDITIONS INCLUDING STROKE AND CARDIAC FREE SUPPORTGROUPS THAT MEET MONTHLY IN HONORHEALTH FACILITIES SERVE PATIENTS ANDCAREGIVERS FOR DIFFERENT DISEASES INCLUDING DIABETES, CANCER, AND STROKE INADDITION, SUPPORT GROUPS FOR NEW PARENTS ARE AVAILABLE HONORHEALTH ALSOPARTNERS WITH OTHER COMMUNITY ORGANIZATIONS TO PROMOTE SAFETY, DISEASEPREVENTION AND HEALTH EDUCATION OUR TRAUMA SERVICES PROGRAM PROVIDESSAFETY EDUCATION FOR TEENAGERS AND CONTINUING MEDICAL EDUCATION FORPHYSICIANS AND FIRST RESPONDERS SUPPORT AT THE HIGH SCHOOL LEVEL FORGRADUATES TO SEEK JOB PLACEMENT AT HONORHEALTH IS A HIGH PRIORITY GIVINGHOSE GRADUATES ACCESS TO HONORHEALTHS TUITION REIMBURSEMENT PROGRAM TO
FURTHER THEIR EDUCATION ADDITIONALLY, OUR DESERT MISSION PROGRAMS SINCE THELATE 1920S HAVE PROVIDED OUTREACH SERVICES TO ADDRESS THE PHYSICAL ANDSOCIAL NEEDS OF FAMILIES IN PHOENIX THIS INCLUDES PROVIDING FOOD THROUGH THEDESERT MISSION FOOD BANK, EARLY CHILDHOOD EDUCATION AT THE LINCOLN LEARNINGCENTER, AND FINANCIAL SUPPORT AND EDUCATION THROUGH DESERT MISSIONNEIGHBORHOOD RENEWAL
Form and Line Reference Explanation
SCHEDULE H, PART VI, LINE 7 HONORHEALTH PUBLISHES A COMMUNITY BENEFIT REPORT ONLY IN THE STATE OFARIZONA THE STATE OF ARIZONA DOES NOT REQUIRE FILING
Schedule H (Form 990) 2015
Additional Data
Software ID:
Software Version:
EIN: 86-0181654
Name : SCOTTSDALE HEALTHCARE HOSPITALS
Form 990 Schedule H. Part V Section A. Hospital Facilities
Section A. Hospital Facilities0 -4 C :7
?^m
q11
(list in order of size from largest tosmallest-see instructions)How many hospital facilities did theorganization operate during the tax year?
1PT? -
og
(P(P
7 , o r_
Name, address, primary website address,and state license number n F ilit tiac y repor ng
- Other ( Describe) group
SCOTTSDALE SHEA MEDICAL CENTER9003 E SHEA BOULEVARDSCOTTSDALE,AZ 85260 X X X X X A
WWWHONORHEALTH COMH0154
2 SCOTTSDALE OSBORN MEDICALCENTER7400 E OSBORN ROAD
X X X X ASCOTTSDALE,AZ 85251WWWHONORHEALTH COMH0107
3JOHN C LINCOLN MEDICAL CENTER250 E DUNLAP AVENUEPHOENIX,AZ 85020 X X X AWWW HONORHEALTH COMH0077
4DEER VALLEY MEDICAL CENTER19829 N 27TH AVENUEPHOENIX,AZ 85027 X X X AWWWHONORHEALTH COMH0167
5 SCOTTSDALE THOMPSON PEAKMEDICAL CTR7400 E THOMPSON PEAK PKWY
x x X ASCOTTSDALE,AZ 85255WWW HONORHEALTH COMH4267
6 HONORHEALTH REHABILITATIONHOSPITAL8850 E PIMA CENTER PKWY SPECIALTY CARE -xSCOTTSDALE,AZ 85258 REHABILITATIONHONORHEALTH COMSH5682
7 HONORHEALTH GREENBAUMSPECIALTY SURG3535 N SCOTTSDALE ROAD
x x ASCOTTSDALE,AZ 85251HONORHEALTH COMSH3394
Form 990 Schedule H, Part V Section D. Other Facilities That Are Not Licensed, Registered, or SimilarlyRecognized as a Hospital Facility
Section D. Other Health Care Facilities That Are Not Licensed, Registered, or Similarly Recognized as aHos pital Facility
(list in order of size, from largest to smallest)
How many non-hospital health care facilities did the organization operate during the tax year?
Name and address Type of Facility (describe)
1 North Valley Surgery Center Specialty Care8901 E Raintree Dr Ste 100Scottsdale,AZ 85258
1 Biltmore Surgical Center Specialty Care2222 E Highland ave Ste 100Phoenix,AZ 85016
2 Scottsdale Medical Imaging MTV Specialty Care9220 E Mountain View rd Ste 100Scottsdale,AZ 85258
3 Paramount Surgery Center Specialty Care1114 S Higley rd Ste 101Mesa,AZ 85206
4 Scottsdale Medical Imaging TPK Specialty Care20201 N Scottsdale Healthcare DrStScottsdale,AZ 85255
5 Scottsdale Medical Imaging SIC Specialty Care3501 N Scottsdale rd Ste 130Scottsdale,AZ 85251
6 Scottsdale Medical Imaging TAS Specialty Care10575 N Tatum blvd Ste C-128Paradise Valley,AZ 85253
7 Scottsdale Medical Imaging Gilbert Mercy Specialty Care3645 S Rome st Ste 101Gilbert,AZ 85297
8 HonorHealth Heart Institute - JCL Specialty Care9250 N 3rd st Ste 3010Phoenix,AZ 85020
9 Scottsdale Medical Imaging -N Highland Specialty Care2222 E Highland ave Ste 120Phoenix,AZ 85016
10 Scottsdale Medical Imaging TC Specialty Care7301 E 2nd st Ste 112Scottsdale,AZ 85251
11 HonorHealth Heart Group - Shea Specialty Care10101 N 92nd st Ste 101Scottsdale,AZ 85258
12 HonorHealth Medical Group-Saguaro Specialty Care18404 N Tatum Blvd Ste 101Phoenix,AZ 85032
13 Scottsdale Medical Imaging FH Specialty Care16838 E Palisades blvd Ste 151Fountain Hills,AZ 85268
14 Scottsdale Medical Imaging NMRI Specialty Care9003 E Shea blvdScottsdale,AZ 85258
Form 990 Schedule H, Part V Section D. Other Facilities That Are Not Licensed, Registered, or SimilarlyRecognized as a Hospital Facility
Section D. Other Health Care Facilities That Are Not Licensed, Registered, or Similarly Recognized as aHos pital Facility
(list in order of size, from largest to smallest)
How many non-hospital health care facilities did the organization ope rate during the tax year?
Name and address Type of Facility (describe)
16 Virginia G Piper Cancer Center Specialty Care10460 N 92nd st Ste 206Scottsdale,AZ 85258
1 HonorHealth Gastroenterology-N Valley Specialty Care19646 N 27th Ave Ste 201Phoenix,AZ 85027
2 HonorHealth Surgical &Trauma Specialist Specialty Care7351 E Osborn Rd Ste 200BScottsdale,AZ 85251
3 HonorHealth Heart Institute - Arrowhead Specialty Care6220 W Bell rd Ste 120Glendale,AZ 85308
4 HonorHealth Bariatric Center Specialty Care10210 N 92nd st Ste 101Scottsdale,AZ 85258
5 HonorHealth Medical Group - Gavilan Peak Specialty Care3648 W Anthem Way Bldg A-100Anthem,AZ 85086
6 HonorHealth Gastroenterology-Shea Specialty Care10210 N 92nd st Ste 202Scottsdale,AZ 85258
7 HonorHealth Medical Group-Deer Valley Specialty Care19636 N 27th Ave Ste 308Phoenix,AZ 85027
8 BHRC - Breast Imaging Specialists AZ Specialty Care19646 N 27th Ave Ste 205Phoenix,AZ 85027
9 HonorHealth Gastroenterology-Thompson Pk Specialty Care20401 N 73rd st Ste 210Scottsdale,AZ 85255
10 HonorHealth Medical Group-Thompson Peak Specialty Care20401 N 73rd st Ste 105Scottsdale,AZ 85255
11 HonorHealth Medical Group-Indian School Specialty Care4131 N 24th st Ste B-102Phoenix,AZ 85016
12 HonorHealth Med Group-W Union Hills dr Specialty Care6320 W Union Hills dr Bldg B Ste 2Glendale,AZ 85308
13 HonorHealth Medical Group-Osborn Specialty Care7351 E Osborn rd Ste 100Scottsdale,AZ 85251
14 HonorHealth Gastroenterology - Osborn Specialty Care3501 N Scottsdale rd Ste 320Scottsdale,AZ 85251
Form 990 Schedule H, Part V Section D. Other Facilities That Are Not Licensed, Registered, or SimilarlyRecognized as a Hospital Facility
Section D. Other Health Care Facilities That Are Not Licensed , Registered, or Similarly Recognized as aHos pital Facility
(list in order of size, from largest to smallest)
How many non-hospital health care facilities did the organization operate during the tax year?
Name and address Type of Facility (describe)
31 HonorHealth Medical Group-West Bell Specialty Care6220 W Bell rd Ste 100Glendale,AZ 85308
1 HonorHealth Medical Group - Shea Specialty Care10301 N 92nd st Ste B201Scottsdale,AZ 85258
2 HonorHealth Medical Group-North Phoenix Specialty Care9100 N 2nd st Ste 121Phoenix,AZ 85020
3 HonorHealth Medical Group-Hatcher Specialty Care9327 N 3rd st Ste 100Phoenix,AZ 85020
4 HonorHealth Medical Group-Dynamite Specialty Care4712 E Dynamite BlvdCave Creek,AZ 85331
5 HonorHealth Medical Group-Arcadia 100 Specialty Care4840 E Indian School Rd suite 100Phoenix,AZ 85018
6 Scottsdale Medical Imaging DSR Specialty Care20940 N Tatum Blvd Bldg B Ste 390Scottsdale,AZ 85255
7 HonorHealth Cntr Endocrine & Pancreas Specialty Care10460 N 92nd st Ste 401Scottsdale,AZ 85258
8 HonorHealth Medical Group-McKellips Specialty Care1124 E McKellips rd Ste 110Mesa,AZ 85203
9 HonorHealth Med Group - Paradise Valley Specialty Care5010 E Shea Blvd Ste D100Scottsdale,AZ 85254
10 HonorHealth Medical Group-Glendale Specialty Care6677 W Thunderbird Rd Ste A124Glendale,AZ 85306
11 HonorHealth Medical Group-27th ave Specialty Care19841 N 27th Ave Ste 101Phoenix,AZ 85027
12 HonorHealth Medical Group-Arcadia 101 Specialty Care4840 E Indian School Rd Ste 101Phoenix,AZ 85018
13 HonorHealth Urgent Care Plus Specialty Care13843 N Tatum Blvd Unit 1Phoenix,AZ 85032
14 HonorHealth Care for Women Specialty Care19646 N 27th ave Ste 301Phoenix AZ 85027
Form 990 Schedule H, Part V Section D. Other Facilities That Are Not Licensed, Registered, or SimilarlyRecognized as a Hospital Facility
Section D. Other Health Care Facilities That Are Not Licensed, Registered , or Similarly Recognized as aHos pital Facility
(list in order of size, from largest to smallest)
How many non-hospital health care facilities did the organization operate during the tax year?
Name and address Type of Facility (describe)
46 HonorHealth Medical Group-North Peoria Specialty Care21681 N 77th Ave Ste 1410Peoria,AZ 85382
1 HonorHealth Medical Group-Mescal Specialty Care10900 N Scottsdale Rd Ste 603Scottsdale,AZ 85254
2 HonorHealth Medical Group-Tatum Specialty Care18404 N Tatum Blvd Ste 102Phoenix,AZ 85032
3 Scottsdale Medical Imaging NIC Specialty Care10290 N 92nd st Ste 100Scottsdale,AZ 85258
4 HonorHealth Medical Group-Chaparral Specialty Care5111 N Scottsdale Rd Ste 143Scottsdale,AZ 85250
5 HonorHealth Medical Group-East Tempe Specialty Care1845 E Brdway Rd Ste 116Tempe,AZ 85282
6 HonorHealth Medical Group-Tramonto Specialty Care34975 N North Valley Parkway Ste 1Phoenix,AZ 85086
7 HonorHealth Medical Group-Del Lago Specialty Care10230 W Happy Valley ParkwayPeoria,AZ 85383
8 HonorHealth Heart Institute - Tatum Specialty Care18404 N Tatum Blvd Ste 201Phoenix,AZ 85032
9 HonorHealth Pulmonology Specialty Care9100 N 2nd st Ste 121Phoenix,AZ 85020
10 HonorHealth Medical Group-Cave Creek Specialty Care20330 N Cave Creek Rd Ste 160Phoenix,AZ 85024
11 HonorHealth Neurology - Shea Specialty Care10250 N 92nd St Ste 304Scottsdale,AZ 85258
12 HonorHealth Medical Group-W Thunderbird Specialty Care9191 W Thunderbird rd Ste D-105Peoria,AZ 85381
13 HonorHealth Medical Group-West Tempe Specialty Care1626 S Priest dr Ste 104Tempe,AZ 85281
14 HonorHealth Medical Group-Harbor Pointe Specialty Care5859 W Talavi Blvd Ste 165Glendale,AZ 85306
Form 990 Schedule H, Part V Section D. Other Facilities That Are Not Licensed, Registered, or SimilarlyRecognized as a Hospital Facility
Section D. Other Health Care Facilities That Are Not Licensed, Registered, or Similarly Recognized as aHos pital Facility
(list in order of size, from largest to smallest)
How many non-hospital health care facilities did the organization operate during the tax year?
Name and address Type of Facility (describe)
61 HonorHealth Neurology - John C Lincoln Specialty Care250 E DunlapPhoenix,AZ 85020
1 HonorHealth Medical Group-Calavar Specialty Care3525 W Calavar rdPhoenix,AZ 85053
2 HonorHealth Inpatient Psychiatry Specialty Care10250 N 92nd st Ste 304Scottsdale,AZ 85258
3 HonorHealth Medical Group-Seventh st Specialty Care5333 N Seventh st Ste 305BPhoenix,AZ 85014
4 HonorHealth Audiology Specialty Care18404 N Tatum Blvd Ste 101Phoenix,AZ 85032
5 HonorHealth Palliative Care - JCL Specialty Care250 E DUNLAP AVEPHOENIX,AZ 85020
6 HonorHealth Medical Group-Wellness Ctr Specialty Care750 E Thunderbird rd Ste 3Phoenix,AZ 85022
7 Scottsdale Medical Imaging Greyhawk Specialty Care20401 N 73rd stScottsdale,AZ 85255
8 HonorHealth Anthem Radiology Specialty Care3648 W Anthem Way Bldg A-100Anthem,AZ 85086
9 HonorHealth Medical Group-Beatitudes Specialty Care1668 W Glendale Ave Ste 128Phoenix,AZ 85021
10 HonorHealth Medical Group-Second st Specialty Care3330 N 2nd st Sute 500Phoenix,AZ 85012
11 Scottsdale Medical Imaging CF Specialty Care33755 N Scottsdale rd Ste 120Scottsdale,AZ 85262
12 Scottsdale Medical Imaging Mallin Specialty Care9701 N 91st st Ste B-108Scottsdale,AZ 85258
13 HonorHealth Heart Institute-Deer Valley Specialty Care19829 N 27TH AVEPHOENIX,AZ 85027
14 JCL Cactus Family Medicine Specialty Care12335 N Cave Creek rd Ste 9Phoenix AZ 85022
Form 990 Schedule H, Part V Section D. Other Facilities That Are Not Licensed, Registered, or SimilarlyRecognized as a Hospital Facility
Section D. Other Health Care Facilities That Are Not Licensed, Registered, or Similarly Recognized as aHospital Facility
(list in order of size, from largest to smallest)
How many non-hospital health care facilities did the organization operate during the tax year?
Name and address Type of Facility (describe)
76 HonorHealth Medical Group-92nd st Specialty Care10277 N 92nd st Ste 101Scottsdale,AZ 85258
1 Scottsdale Medical Imaging North Family Specialty Care6501 E Greenway Parkway Ste 6-160Scottsdale,AZ 85254
2 HonorHealth Medical Group - E Bell Specialty Care5426 E Bell rd Ste 125Phoenix,AZ 85254
3 HonorHealth Medical Group-Youngtown Specialty Care10800 N 115th ave Ste 94Youngtown,AZ 85363
4 HonorHealth Medical Group-Behavioral Med Specialty Care4131 N 24th st Ste B-102Phoenix,AZ 85016
5 HonorHealth Palliative Care-Deer Valley Specialty Care19829 N 27TH AVEPHOENIX,AZ 85027
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
Schedule I OMB No 1545-0047
(Form 990 ) Grants and Other Assistance to Organizations,
2p 1 5Governments and Individuals in the United StatesComplete if the organization answered "Yes," on Form 990, Part IV, line 21 or 22.
Department of the ► Attach to Form 990.Treasury ► Information about Schedule I (Form 990) and its instructions is at www.irs.gov/form990 .Internal Revenue Service
Name of the organization Employer identification number
SCOTTSDALE HEALTHCARE HOSPITALS86-0181654
JL^ General information on Grants and Assistance
1 Does the organization maintain records to substantiate the amount of the grants or assistance, the grantees' eligibility for the grants or assistance, andthe selection criteria used to award the grants or assistance? . . . . . . . . . . . . . . . . . . . . . . . . [ Yes [ No
2 Describe in Part IV the organization's procedures for monitoring the use of grant funds in the United States
Grants and Other Assistance to Domestic Organizations and Domestic Governments . Complete if the organization answered "Yes" on Form 990, Part IV, line 21, for any recipient
that raraivari more than & r n n n Part TT can ha riiinliratari if ariditinnal c nary is naariari
(a) Name and address oforganization
or government
( b) EIN (c ) IRC sectionif applicable
(d) Amount ofcashgrant
(e) Amount of non-cash
assistance
(f ) Method ofvaluation
(book, FMV,appraisal,
other)
(g) Description ofnon-cash assistance
(h) Purpose of grantor assistance
See Additional Data Table
2 Enter total number of section 501(c)(3) and government organizations listed in the line 1 table . ► 8
3 Enter total number of other organizations listed in the line 1 table . ► 1
For Paperwork Reduction Act Notice, see the Instructions for Form 990 . Cat No 50055P Schedule I ( Form 990) 2015
Schedule I (Form 990) 2015
Grants and Other Assistance to Domestic Individuals . Complete if the organization answered "Yes" on Form 990, Part IV, line 22Part III can be duplicated if additional space is needed
Pace 2
(a)Type of grant or assistance (b)Number of
reci p ients
(c)Amount ofcash g rant
(d)Amount ofnon-cash assistance
(e)Method of valuation (book,FMV, a pp raisal, other )
(f)Description of non-cash assistance
Supplemental Information . Provide the information required in Part I, line 2, Part III, column (b), and any other additional information.
Return Reference
SCHEDULE I, PART I, LINE 2 SCOTTSDALE HEALTHCARE HOSPITALS (DBA HONORHEALTH)ALLOCATES FUNDS TO THE COMMUNITY STEWARDSHIP DIVISION FOR USEOF SPONSORSHIPS THROUGHOUT THE COMMUNITY EXECUTIVES, DIRECTORS, AND MANAGERS SEND REQUESTS FOR APPROVAL THESPONSORSHIPS ARE GENERALLY THROUGH THE CHARITY'S FUND RAISING ACTIVITIES HONORHEALTH ATTENDS THE EVENTS TOENSURE MONEY IS BEING UTILIZED AS REQUESTED
Schedule I (Form 990) 2015
Additional Data
Software ID:
Software Version:
EIN: 86-0181654
Name : SCOTTSDALE HEALTHCARE HOSPITALS
Form 990,Schedule I, Part II, Grants and Other Assistance to Domestic Organizations and Domestic Governments.
(a) Name and address of (b) EIN (c) IRC section (d) Amount of cash (e) Amount of non- (f) Method of valuation (g) Description of (h) Purpose of grantorganization if applicable grant cash (book, FMV, appraisal, non-cash assistance or assistance
or government assistance other)
AMERICAN HEART 13-5613797 501(C)(3) 10,000 COMMUNITYASSOCIATION SUPPORT727 GREENVILLE AVEDALLAS,TX 75231
ARIZONA DIAMONDBACKS 86-0901615 501(C)(3) 10,000 COMMUNITYFOUNDATION SUPPORT401 E JEFFERSON STPHOENIX,AZ 85004
ARTHRITIS FOUNDATION 58-1341679 501(C)(3) 10,000 COMMUNITY1330 W PEACHTREE ST SUPPORTATLANTA,GA 30309
Form 990.Schedule I. Part II. Grants and Other Assistance to Domestic Organizations and Domestic Governments.
(a) Name and address of ( b) EIN (c ) IRC section (d) Amount of cash (e) Amount of non- (f ) Method of valuation (g) Description of (h) Purpose of grantorganization if applicable grant cash (book, FMV, appraisal, non-cash assistance or assistance
or government assistance other)
DESERT MISSION 86-0096941 501(C)(3) 590,519 PROGRAM SUPPORT8125 N HAYDEN RDSCOTTSDALE,AZ 85251
DESERT MISSION 86-0746598 501(C)(3) 218,199 COMMUNITYNEIGHBORHOOD RENEWAL SUPPORT2500 W UTOPIA RD STE 100PHOENIX,AZ 85027
HONORHEALTH 74-2355411 501(C)(3) 8,000 PROGRAM SUPPORTFOUNDATION8125 N HAYDEN RDSCOTTSDALE,AZ 85258
Form 990.Schedule I. Part II. Grants and Other Assistance to Domestic Organizations and Domestic Governments.
(a) Name and address of (b) EIN (c) IRC section (d) Amount of cash (e) Amount of non- (f) Method of valuation (g) Description of (h) Purpose of grantorganization if applicable grant cash (book, FMV, appraisal, non-cash assistance or assistance
or government assistance other)
MOVE PHX 47-3385136 501(C)(4) 10,000 COMMUNITY4340 E INDIAN SCHOOL RD SUPPORTPHOENIX,AZ 85004
PROJECT CURE 84-1568566 501(C)(3) 20,000 PROGRAM SUPPORT10377 E Geddes AveCentennial,CO 80112
STARS 23-7395103 501(C)(3) 15,000 PROGRAM SUPPORT7507 E Osborn RdPHOENIX,AZ 85251
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
Schedule J Compensation Information OMB No 1545-0047
(Form 990)For certain Officers, Directors , Trustees, Key Employees, and Highest
Compensated EmployeesComplete if the organization answered "Yes" on Form 990, Part IV, line 23.00, 20 15
► Attach to Form 990.Department of the ► Information about Schedule I ( Form 990 ) and its instructions is at www.irs.gov/form990 . Open to PublicTreasury , , , ,
Name of the organization Employer identification numberSCOTTSDALE HEALTHCARE HOSPITALS
86-0181654
Questions Regarding Compensation
Yes No
la Check the appropiate box(es) if the organization provided any of the following to or fora person listed on Form990, Part VII, Section A, line la Complete Part III to provide any relevant information regarding these items
First-class or charter travel Housing allowance or residence for personal use
Travel for companions F_ Payments for business use of personal residence
Fq- Tax idemnification and gross-up payments F_ Health or social club dues or initiation fees
F_ Discretionary spending account [ Personal services (e g , maid, chauffeur, chef)
b Ifany of the boxes in line la are checked, did the organization follow a written policy regarding payment orreimbursement or provision of all of the expenses described above? If "No," complete Part III to explain lb Yes
2 Did the organization require substantiation prior to reimbursing or allowing expenses incurred by alldirectors, trustees, officers, including the CEO/Executive Director, regarding the items checked in line la? 2 Yes
3 Indicate which, if any, of the following the filing organization used to establish the compensation of theorganization's CEO/Executive Director Check all that apply Do not check any boxes for methodsused by a related organization to establish compensation of the CEO/Executive Director, but explain in Part III
Fq- Compensation committee [ Written employment contract
Fq_ Independent compensation consultant Compensation survey or study
Form 990 of other organizations Approval by the board or compensation committee
4 During the year, did any person listed on Form 990, Part VII, Section A, line la with respect to the filing organizationor a related organization
a Receive a severance payment or change-of-control payment? 4a No
b Participate in, or receive payment from, a supplemental nonqualified retirement plan? 4b Yes
c Participate in, or receive payment from, an equity-based compensation arrangement? 4c No
If "Yes" to any of lines 4a-c, list the persons and provide the applicable amounts for each item in Part III
Only 501 ( c)(3), 501 ( c)(4), and 501(c)(29) organizations must complete lines 5-9.
5 For persons listed on Form 990, Part VII, Section A, line la, did the organization pay or accrue anycompensation contingent on the revenues of
a The organization? 5a No
b Any related organization? 5b No
If "Yes," on line 5a or 5b, describe in Part III
6 For persons listed on Form 990, Part VII, Section A, line la, did the organization pay or accrue anycompensation contingent on the net earnings of
a The organization? 6a No
b Any related organization? 6b No
If "Yes," on line 6a or 6b, describe in Part III
7 For persons listed on Form 990, Part VII, Section A, line la, did the organization provide any non-fixedpayments not described in lines 5 and 6? If "Yes," describe in Part III 7 Yes
8 Were any amounts reported on Form 990, Part VII, paid or accured pursuant to a contract that wassubject to the initial contract exception described in Regulations section 53 4958-4(a)(3)? If "Yes," describein Part III 8 No
9 If "Yes" on line 8, did the organization also follow the rebuttable presumption procedure described in Regulationssection 53 4958-6(c)? 9
For Paperwork Reduction Act Notice , see the Instructions for Form 990 . Cat N o 50053T Schedule 3 (Form 990) 2015
Schedule J (Form 990) 2015 Page 2
Officers , Directors, Trustees , Key Employees , and Highest Compensated Employees . Use duplicate copies if additional space is needed.
For each individual whose compensation must be reported on Schedule 1, report compensation from the organization on row (i) and from related organizations, described in theinstructions, on row (ii) Do not list any individuals that are not listed on Form 990, Part VIINote . The sum of columns (B)(i)-(iii) for each listed individual must equal the total amount of Form 990, Part VII, Section A, line la, applicable column (D) and (E) amounts for that individual
(A) Name and Title (B) Breakdown of W-2 and/or 1099-MISC compensation (C) Retirement and (D) Nontaxable (E) Total of columns (F) Compensation in(ii) (iii) other deferred benefits (B)(i)-(D) column(B) reported
Base(i) compensation
Bonus & incentive Other reportable compensation as deferred on prior
compensation compensation Form 990
See Additional Data Table
Schedule 3 (Form 990) 2015
Schedule J (Form 990) 2015 Page 3
Supplemental Information
Provide the information, explanation, or descriptions reouired for Part I, lines la, 1b, 3, 4a, 4b, 4c, 5a, 5b, 6a, 6b, 7, and 8, and for Part II Also complete this Dart for any additional information
Return Reference Explanation
SCHEDULE J, PART I, LINE 1 HOUSING ALLOWANCE - THE HOUSING ALLOWANCE IS A TEMPORARY ALLOWANCE WHICH IS TAXABLE AND PAID THROUGH PAYROLL ONTHE FIRST PAYCHECK OF EACH MONTH DURING THE PERIOD OF THE TEMPORARY HOUSING THIS IS PART OF THE RELOCATION PACKAGEFOR MANAGERS AND ABOVE AS WELL AS PHYSICIANS THE AMOUNT PAID PER MONTH AND THE LENGTH IS DETERMINED BY THE LEVEL OFTHE POSITION TAX GROSS-UP PAYMENTS - THESE ARE PAYMENTS FOR 1) EMPLOYEES RECEIVING A TAXABLE AWARD, GIFT, OR GIFTCERTIFICATE, 2) PAYMENTS MADE ON BEHALF OF STAFF TO VENDORS DUE TO A CRISIS, 3) GROUP TERM LIFE EXCESS BENEFIT OF $50,000IT IS AVAILABLE TO ANY RANK OF EMPLOYEE, OR 4) A DOMESTIC PARTNER IT IS AVAILABLE AT OPEN ENROLLMENT FOR INDIVIDUALSWHO WANT TO COVER THEIR NON-MARRIED PARTNER WITH MEDICAL AND/OR DENTAL COVERAGE
Schedule J, Part I, Line 4B HONORHEALTH OFFERS CERTAIN EXECUTIVES A NON-QUALIFIED SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN (SERP) IT IS INTENDEDTHAT THIS PLAN BE AN INELIGIBLE DEFERRED COMPENSATION PLAN UNDER THE PROVISIONS OF CODE SECTION 457(F) AND BEOPERATED IN COMPLIANCE WITH CODE SECTION 409A THE DESIGN OF THE SERP IS SUCH THAT IT PROVIDES A MECHANISM FORRESTORATION OF DEFERRED RETIREMENT THAT OTHERWISE WOULD BE LOST TO THE EXECUTIVES DUE TO MANDATORY CAP ONDEFERRALS WITHIN THE QUALIFIED RETIREMENT PLAN OFFERED TO OTHER EMPLOYEES OF HONORHEALTH THE SERP IS ALSO DESIGNEDTO DISCOURAGE EXECUTIVE TURNOVER, WHICH COULD HAMPER ORGANIZATIONAL STABILITY AND SUSTAINABILITY,THROUGH THE AGEAND SERVICE REQUIREMENTS THAT AN EXECUTIVE MUST MEET IN ORDER TO RECEIVE BENEFITS FROM THIS PLAN THE ANNUAL VALUE OFEACH EXECUTIVE'S PARTICIPATION IN THE PLAN IS TAKEN INTO CONSIDERATION AS PART OF THE CALCULATION OF TOTALCOMPENSATION WHEN TESTED AGAINST THE MARKET FOR REASONABLENESS DEFERRED COMPENSATION, REPORTED IN SCHEDULE J,PART II, COLUMN (C), INCLUDES THE INCREASE IN VALUE OF THE SERP ACCOUNT FOR THE FOLLOWING INDIVIDUALS NATHAN ANSPACHGARY BAKER JAMES BURK, MD ALAINA CHABRIER JOANNE CLAVELLE RHONDA FORSYTH JOHN HARRINGTON, JR ALAN KELLY DAVIDLAMPARTER TODD LAPORTE CAROL HENDERSON MCCUNE BRUCE PEARSON THOMAS SADVARY RICH SILVER, MD CHUCK SCULLY KIMBERLYPOST THE FOLLOWING INDIVIDUALS EXPERIENCED A TAXABLE VESTING EVENT DURING THE YEAR AS FOLLOWS THESE AMOUNTS WEREINCLUDED IN COLUMN (B)(III) AS TAXABLE WAGES AND COLUMN (F) AS AMOUNTS PREVIOUSLY REPORTED ON THE 990 AS DEFERRED NOTETHAT THESE AMOUNTS WERE ACCUMULATED OVER MANY YEARS OF SERVICE TO THE ORGANIZATION THOMAS SADVARY $868,255 JAMESBURKE $149,937 ALAN KELLY $254,909 TODD LAPORTE $1,071,100 CAROL HENDERSEN MCCUNE $303,532 GARY BAKER $1,559,881 DAVIDLAMPARTER $181,410 KIMBERLY POST $1,029,502
SCHEDULE J, PART I, LINE 7
I
CERTAIN EXECUTIVES AND MANAGEMENT TEAM MEMBERS ARE ELIGIBLE FOR DISCRETIONARY INCENTIVE BONUSES DETERMINEDTHROUGH A REVIEW OF SYSTEM AND INDIVIDUAL ACCOMPLISHED GOALS
Schedule 3 (Form 990) 2015
Additional Data
Software ID:
Software Version:
EIN: 86-0181654
Name : SCOTTSDALE HEALTHCARE HOSPITALS
Form 990, Schedule J, Part II - Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees
(A) Name and Title (B) Breakdown of W-2 and/or 1099-MISC compensation (C) Retirement and (D) Nontaxable (E) Total of columns (F) Compensation in(i) (ii) (iii) other deferred benefits (B)(i)-(D) column (B)
Base Bonus & Other compensation reported as deferred
Compensation incentive reportable on prior Form 990
compensation compensation
1T1OMASSadvary (I) 1,061,565 456,423 905,830 28,648 4,235 2,456,701 868,255DIRECTOR/CEO,
-------------HONORHEALTH
(II) 0- - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - -
0 0 0 - - 00 0
1Rhonda Forsyth (I) 875,923 280,192 28,884 95,995 5,260 1,286,254 0DIRECTOR/PRES,
-------------HONORHEALTH
(II) 0- - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - -
0 0 0 - - 00 0
23ames Burke MD (I) 17,715 164,044 452,595 17,859 1,958 654,171 149,937SVP/CHIEF PHYSICIAN
-------------EXECUTIVE
(II) 0- - - - - - - - - - - - - - - - - -
0 0 0 - - 00 0
3Alan Kelly (I) 425,969 141,082 268,654 10,609 3,737 850,051 254,909SVP/General Counsel - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -------------
(II) 0 0 0 0 - - 00 0
4Todd LaPorte (I) 628,281 167,626 1,081,155 80,065 10,871 1,967,998 1,071,100EVP/CHIEF ADMIN OFFICER _ _ _ _ _ _ _ _ _ _ _ _ _
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -------------(II) 0 0 0 0 0
0 0
SCarol Henderson MCCUNE (I) 103,705 133,611 575,258 10,486 5,738 828,798 303,532SVP/CHIEF TALENT OFFICER _ _ _ _ _ _ _ _ _ _ _ _ _
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -------------(II) 0 0 0 0 - - 0
0 0
6Nathan Anspach (I) 440,204 97,339 13,908 64,808 5,066 621,325 0SVP/CEO Physician Network - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -------------
(II) 0 0 0 0 - - 00 0
7Gary Baker (I) 434,505 118,225 1,570,050 64,940 6,976 2,194,696 1,559,881SVP/OPERATIONS - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - ------------
(II) 0 0 0 0 - - 00 0
BAlalna Chabrler (I) 277,721 54,839 4,210 49,384 5,411 391,565 0VP Marketing &
-------------Communlcatlons
(II) 0- - - - - - - - - - - - - - -
0 0 0 - - 00 0
93oanne ClavelleSVP/CCO (I) 346,486
-------------84,068 9,480 42,450 5,806 488,290 0
(II) 0-------------
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - -
-
- - - - - - - - - - - -
--------------
00 0
10John Harrington JR (I) 426,594 118,225 13,285 69,001 786 627,891 0SVP/Operations - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -------------
(II) 0 0 0 0 - - 00 0
11Stephanle Jackson MD (I) 187,392 15,000 18,373 7,700 2,559 231,024 0VP Quality/CMO - - - - - - - - - - - - -
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
- - - - - - - - - - - - - - - - - - - - - - - - -------------(II) 0 0 0 0 - - 0
0 0
d Lamparter (I) 443,291 106,087 202,611 34,038 4,386 790,413 181,410INTEGRATIONION OFFICER
------------- ------------- ------------- ------------- ------------ ------------ -------------(II) 0 0 0 0 - - 0
0 0
133ohn Neil MDSVP/CPE (I) 187,182
-------------0 1,851 18,000 1,913 208,946 0
(II) 0-------------
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - -
-
- - - - - - - - - - - -
--------------
00 0
14Bruce PearsonSVP/COO (I) 555,910
-------------129,317 12,592 67,881 8,498 774,198 0
(II) 0-------------
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - -
-
- - - - - - - - - - - -
--------------
00 0
15Klmberly A PostSVP/CCO (I) 377,098
-------------77,313 1,038,927 58,834 5,435 1,557,607 1,029,502
(II) 0-------------
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - -
-
- - - - - - - - - - - -
--------------
00 0
16Chuck ScullySVP/CIO (I) 382,144
-------------77,843 10,731 13,965 4,818 489,501 0
(II) 0-------------
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - - -
0
- - - - - - - - - - - -
-
- - - - - - - - - - - -
--------------
00 0
17RIchSilver MD (I) 472,299 89,478 10,144 69,214 3,855 644,990 0SVP POPULATION
-------------MANAGEMENT
(II) 0--- --- --- - - --- --- --- -- ---- --- - - --- --- -- --- --- --- --- --- --- -
0 0 0 - - 00 0
18DAVID RIZIK MD (I) 962,271 10,500 13,613 28,600 8,498 1,023,482 0MEDICAL DIRECTOR
------------- ------------- ------------- ------------- ------------ ------------ -------------(II) 0 0 0 0 - - 0
0 0
19JOSEPH FARES MD (I) 778,496 0 5,743 10,600 2,438 797,277 0PHYSICIAN
------------- ------------- ------------- ------------ ------------ -------------(II) 0 0 0 0 - - 0
0 0
Form 990. Schedule J. Part II - Officers. Directors. Trustees. Kev EmDlovees. and Hiahest Compensated Emolovees
(A) Name and Title (B ) Breakdown of W-2 and /or 1099-MISC compensation (C) Retirement and (D) Nontaxable ( E) Total ofcolumns (F) Compensation in(i) (ii) (iii) other deferred benefits (B)(I)-(D) column (B)
Base Bonus & Other compensation reported as deferred
Compensation incentive reportable on prior Form 990
compensation compensation
21FRANK MITCHELL MD (I) 533,165 199,194 10,600 28,600 6,835 778,394 0MEDICAL DIRECTOR _ _ _ _ _ _ _ _ _ _ _ _
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
- - - - - - - - - - - - ------------(II) 0 0 0 0 - - 0
0 0
JEFFREY VAN HER RIBBINK ( I) 465,910 261 156 9 118 28 600 4 711 769 495 01MD
-- ---- --- -, , , , ,
SURGICAL ONCOLOGIST(II) 0
- --- --- --- --- --- --- -- --- ---- - - ---- --- - --- --- --- --- --- --- -
0 0 0 - - 00 0
23AMES SWAIN MD (I) 366 ,727 317, 836 4 , 610 10,600 2 , 503 702,276 0BARIATRIC SURGEON
------------- ------------- ------------- ------------ ------------ -------------(II) 0 0 0 0 - - 0
0 0
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
Schedule K OMB No 1545-0047
(Form 990 ) Supplemental Information on Tax Exempt Bonds
2p 1 5► Complete if the organization answered "Yes" to Form 990, Part IV, line 24a . Provide descriptions,
explanations, and any additional information in Part VI.
Department of the Treasury ► Attach to Form 990.Open to Public
about Schedule K (Form 990 ) and its instructions is at www.irs.gov/form990. , ,
Name of the organization Employer identification number
SCOTTSDALE HEALTHCARE HOSPITALS86-0181654
Bond Issues
(a) Issuer name ( b) Issuer EIN (c) CUSIP # ( d) Date issued (e) Issue price (f) Description of purpose ( g) Defeased (h) O n (i) Poolbehalf of financingissuer
Yes No Yes No Yes No
A ARIZONA HEALTH 86-0453292 040507ps8 12-23-2014 342,354,232 SEE PART VI X X XFACILITIES AUTHORITY
Proceeds
A B C D
1 Amount of bonds retired . 4,175,000
2 Amount of bonds legally defeased . . . . . . . . . . . . . 0
3 Total proceeds of issue. . . . . . . . . . . . . . . . . .
342,354,232
4 Gross proceeds in reserve funds . 0
5 Capitalized interest from proceeds . 0
6 Proceeds in refunding escrows . 0
7 Issuance costs from proceeds . 3,330,985
8 Credit enhancement from proceeds . . . . . . . . . . . . 0
9 Working capital expenditures from proceeds 0
10 Capital expenditures from proceeds . . . . . . . . . . . . 75,000,000
11 Other spent proceeds . 264,023,247
12 Other unspent proceeds 0
13 Year of substantial completion . 2015
Yes No Yes No Yes No Yes No
14 Were the bonds issued as part ofa current refunding issue? . X
15 Were the bonds issued as part of an advance refunding issue's X
16 Has the final allocation of proceeds been made? . X
17 Does the organization maintain adequate books and records to support the finalallocation of proceeds?
Private Business Use
A B C D
Yes No Yes No Yes No Yes No
1 Was the organization a partner in a partnership, or a member of an LLC, which owned Xproperty financed by tax-exempt bonds? .
2 Are there any lease arrangements that may result in private business use of bond- Xfinanced property? .
For Paperwork Reduction Act Notice, see the Instructions for Form 990 . Cat N o 50193E Schedule K (Form 990) 2015
Schedule K (Form 990) 2015 Pa g e 2
Private Business Use (Continued)
A B C D
Yes No Yes No Yes No Yes No
3a Are there any management or service contracts that may result in private business use Xof bond-financed property? .
b If "Yes" to line 3a, does the organization routinely engage bond counsel or other outsidecounsel to review any management or service contracts relating to the financed X
property?
c Are there any research agreements that may result in private business use ofbond-financed property? X
d If "Yes" to line 3c, does the organization routinely engage bond counsel or other outsidecounsel to review any research agreements relating to the financed property?
4 Enter the percentage of financed property used in a private business use by entitiesother than a section 501(c)(3) organization or a state or local government . . . 0 360 %
5 Enter the percentage of financed property used in a private business use as a result ofunrelated trade or business activity carried on by your organization, another section501(c)(3) organization, or a state or local government . .110.
6 Total of lines 4 and 5 . . . . . . . . . . . . 0 360 %
7 Does the bond issue meet the private security or payment test? . . . X
8a Has there been a sale or disposition of any of the bond-financed property to anongovernmental person other than a 501(c)(3) organization since the bonds were Xissued?.
b If "Yes" to line 8a, enter the percentage of bond-financed property sold or disposed of
c If "Yes" to line 8a, was any remedial action taken pursuant to Regulations sections X1 141-12 and 1 145-27 .
g Has the organization established written procedures to ensure that all nonqualifiedbonds of the issue are remediated in accordance with the requirements under XRegulations sections 1 141-12 and 1 145-2''.
Arbitrage
A B C D
Yes No Yes No Yes No Yes No
1 Has the issuer filed Form 8038-T, Arbitrage Rebate, YieldReduction and Penalty in Lieu ofArbitrage Rebate? .
X
2 If "No" to line 1, did the following apply? . . .
a Rebate not due yeti . X
b Exception to rebate? X
c No rebate due? . X
If "Yes" to line 2c, provide in Part VI the date the rebatecomputation was performed .
3 Is the bond issue a variable rate issue? . X
4a Has the organization or the governmental issuer enteredinto a qualified hedge with respect to the bond issue?
X
b Name of provider . . . . . . . . . 0
c Term of hedge . . . . . . . . .
d Was the hedge superintegrated? . . . . . .
e Was the hedge terminated? . . . . . . . .
Schedule K (Form 990) 2015
Schedule K (Form 990) 2015 Page 3
Arbitrage (Continued)
A B c D
Yes No Yes No Yes No Yes No
5a Were gross proceeds invested in a guaranteed investment Xcontract (GIC)7
b Name of provider . . . . . . . . . 0
c Term ofGIC . . . . . . . . .
d Was the regulatory safe harbor for establishing the fair marketvalue of the GIC satisfied? .
6 Were any gross proceeds invested beyond an available temporary Xperiod?
7 Has the organization established written procedures to monitor Xthe requirements of section 1487
Procedures To Undertake Corrective Action
Yes I No I Yes I No I Yes I No I Yes I No
Has the organization established written procedures to ensurethat violations of federal tax requirements are timely identified Xand corrected through the voluntary closing agreement program ifself-remediation is not available under applicable regulations?
Supplemental Information . Provide additional information for responses to questions on Schedule K (see instructions).
I Return Reference I Explanation
Schedule K, Part I, COLUMN (F) FINANCE CAPITAL IMPROVEMENTS and refund the following bondissuances Series 2005. 2005B. 2007 and 2012 and a Dortion of 2008A
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
Schedule L Transactions with Interested Persons OMB No 1545-0047
(Form 990 or 990 - EZ) ► Complete if the organization answered"Yes" on Form 990, Part IV, lines 25a , 25b, 26, 27, 28a , 28b, or 28c,
2p 15or Form 990-EZ, Part V, line 38a or 40b.► Attach to Form 990 or Form 990-EZ.
Department of the ►Information about Schedule L (Form 990 or 990-EZ ) and its instructions is at Ope n to Pu b licTreasury www.irs.gov /form990. , . , ,
Name of the organizationSCOTTSDALE HEALTHCARE HOSPITALS
Employer identification number
86-0181654
Excess Benefit Transactions (section 501(c)(3), section 501(c)(4), and 501(c)(29) organizations only)
Com p lete if the org anization answered "Yes" on Form 990, Part IV, line 25a or 25b, or Form 990-EZ, Part V, line 40b
1 (a) Name of disqualified person (b) Relationship between disqualified person and (c) Description of (d) Corrected?organization transaction Yes No
2 Enter the amount of tax incurred by organization managers or disqualified persons during the year under section4958 . . . . . . . . . . . . . . . . . . . . . . . . . . . ► $
3 Enter the amount of tax, if any, on line 2, above, reimbursed by the organization . ► $
Loans to and / or From Interested Persons.Complete if the organization answered "Yes" on Form 990-EZ, Part V, line 38a, or Form 990, Part IV, line 26, or if theorganization reported an amount on Form 990, Part X, line 5, 6, or 22
(a) Name ofinterestedperson
( b) Relationshipwith
organization
( c)Purpose of
loan
(d) Loan toor from the
organization?
(e)Originalprincipalamount
( f)Balancedue
( g) Indefault?
(h)Approvedby board orcommittee?
(i)Writtenagreement?
To From Yes No Yes No Yes No
Total ► $
Grants or Assistance Benefiting Interested Persons.Complete if the org anization answered "Yes" on Form 990 , Part IV, line 27.
(a) Name of interested (b) Relationship between (c) Amount of assistance (d) Type of assistance (e) Purpose of assistanceperson interested person and the
organization
uction Act Notice, see the Instructions for Form 990 or 990-EZ. Cat No 50056A Schedule L (Form 990 or 990-EZ) 2015
Schedule L (Form 990 or 990-EZ) 2015 Page 2
Business Transactions Involving Interested Persons.
Complete if the organization answered "Yes" on Form 990, Part IV, line 28a, 28b, or 28c.(a) Name of interested person ( b) Relationship
between interestedperson and theorganization
( c) Amount oftransaction
( d) Description of transaction (e) Sharingof
organization'srevenues?
Yes No
(1) ELIZABETH FARHART SPOUSE OF BOARDMEMBER
193,058 EMPLOYEE COMPENSATION No
(2) KAREN BURKE SPOUSE OF OFFICER 94,762 EMPLOYEE COMPENSATION No
(3) LAUREN MCCUNE DAUGHTER OFOFFICER
38,185 EMPLOYEE COMPENSATION No
(4) JOHN MCCUNE SON OF OFFICER 50,747 EMPLOYEE COMPENSATION No
(5) LEE SILVER DAUGHTER OF KEYEMPLOYEE
52,704 EMPLOYEE COMPENSATION No
(6) Lindsey Wright DAUGHTER OF KEYEMPLOYEE
34,704 EMPLOYEE COMPENSATION No
(7) INDEPENDENT HOSPITALISTS LLC SEE PART VII 1,490,415 PHYSICIAN SERVICES No
Supplemental InformationProvide additional information for responses to questions on Schedule L (see instructions)
Return Reference I Explanation
SCHEDULE L, PART IV, COLUMN INDEPENDENT HOSPITALISTS, PLLC IS AN ENTITY WHICH IS MORE THAN 35% OWNED BY A(B), LINE 7 BOARD MEMBER
Schedule L (Form 990 or 990-EZ) 2015
l efile GRAPHIC p rint - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
SCHEDULE 0 Supplemental Information to Form 990 or 990-EZOMB No 1545-0047
(Form 990 or 2015990- EZ )Complete to provide information for responses to specific questions on
Form 990 or 990-EZ or to provide any additional information.► Attach to Form 990 or 990-EZ. Open to Public
Department of the ► Information about Schedule 0 (Form 990 or 990-EZ) and its instructions is at InspectionTreasury www. irs.gov / f orm990.Internal RevenueService
Name of the organizationSCOTTSDALE HEALTHCARE HOSPITALS
Employer identification number
86-0181654
Return Explanation
Reference
FORM 990, SCOTTSDALE HEALTHCARE HOSPITALS (DBA HONORHEALTH) VOLUNTEERS PARTNER WITH OUR HOSPITAL STAFF TO
PART I, LINE 6 PROVIDE PATIENT AND FAMILY SERVICES AT OUR THREE CAMPUSES THEIR PERSONALIZED SERVICE TO EACH PATIENT
AND FAMILY MEMBERS CONTRIBUTES TO THEIR WORLD CLASS HEALTHCARE EXPERIENCE
Return
Reference
Explanation
FORM 990, Formed after the merger of Scottsdale Healthcare and John C Lincoln Health Netw ork, HonorHealth is a non-for-profit healthPART III, system with five acute-care hospitals, six emergency departments - one of them a freestanding center in north Phoenix - and
LINE 4A two Level I trauma centers HonorHealth's mission is to improve the health and well-being of those we serve HonorHealths five
hospitals are Magnet-recognized by the American Nurses Credentialing Center This prestigious recognition ensures that patientsreceive the gold standard for nursing care, an honor earned by only 6 percent of the nation's hospitals Magnet is considered the
highest recognition for nursing excellence The health system encompasses more than 12,500 employees, approximately 3,000
physicians on its medical staff and approximately 3,000 volunteers HonorHealths hospital campuses are John C Lincoln MedicalCenter With 262 beds, this hospital serves north central Phoenix, is a leader in robotic and scarless surgery and offers
extensive cardiac imaging and heart services An American College of Surgeons-verified Level I Trauma Center serving severely
injured patients, the hospital also provides a care program for trauma patients age 60 and older The hospital is a Primary StrokeCenter and an accredited Chest Pain Center Other services include medical/surgical care, intensive care unit, cardiovascular
intensive and progressive care, cardiac, orthopedic and cardiac surgery, neurosurgery, urology, neurology, reconstructive
surgery, and inpatient and outpatient medical imaging On the campus are o Inpatient and outpatient rehabilitation services o Anoutpatient surgery center o A satellite Breast Health and Research Center o A general surgery residency program Deer Valley
Medical Center The 204-bed hospital serves the rapidly expanding northern Phoenix area as well as communities to the north
along Interstate 17, including Anthem, New River and Black Canyon City Deer Valley Medical Center is accredited as a HeartFailure Center, a Cardiac Arrest Center, a Chest Pain Center and a Primary Stroke Center The facility provides a wide range of
state-of-the-art inpatient and outpatient services including a Level III trauma center, a care program for trauma patients age 60
and older, a 24/7 children's emergency center and inpatient pediatric unit, a complete range of personalized inpatient andoutpatient care, emergency care, a critical care unit, a progressive cardiac care unit, an orthopedic unit, cancer care, and
medical/surgical and telemetry units and outpatient surgery center General surgery residents train here and at John C Lincoln
Medical On the campus are o The Breast Health and Research Center Offers advanced diagnostic and technology that includes3-D digital mammography, an on-site MRI, bone density screenings, body composition assessments and AND CARE
COORDINATION o An outpatient surgery center Scottsdale Osborn Medical Center This 338-bed, full-service hospital is know n
for its trauma, orthopedics, neurosurgery, neurosciences, cardiovascular services and critical care The hospital is an American
College of Surgeons-verified Level I Trauma Center, a certified Chest Pain Center and a Primary Stroke Center The hospital offersa complete range of personalized inpatient and outpatient care including medical/surgical care, emergency room, intensive care,
cardiovascular intensive and progressive care, cardiac, orthopedic and cardiac surgery, neurosurgery, urology, cancer care,
neurology, reconstructive surgery, inpatient and outpatient rehabilitation services, home healthcare, wound management, andinpatient and outpatient medical imaging On the campus are o A family birthing center and neonatal unit o The Greenbaum
Surgical Specialty Hospital, focusing on such general surgeries as ear , nose and throat, urology and gynecology o A family
medicine residency program o A trauma/medical training center for the U S military Scottsdale Shea Medical Center With 421beds, the Shea hospital is known for its oncology care, total point replacement center, and for its cardiology and orthopedic
services The facility also has a bariatric surgery center of excellence The hospital is a certified Chest Pain Center and Heart
Attack Center The facility offers a complete range of personalized inpatient and outpatient care including medical/surgical care,emergency room, intensive care, cardiovascular intensive and progressive care, cardiac, orthopedic and cardiac surgery,
neurosurgery, urology, cancer care, neurology, home healthcare, inpatient and outpatient rehabilitation services, diabetes
education, and inpatient and outpatient medical imaging The hospital has a dedicated pediatric emergency department andpediatric ICU Women's services include maternity, a Level III neonatal ICU and a wellness spa On the campus are o The Virginia
G Piper Cancer Center Accredited by the Commission on Cancer of the American College of Surgeons, it offers an innovative
combination of community oncology services and academic medicine o The Research Institute, which does genomic cancerresearch at the Research Institute Other major focus areas of research are cancer, heart, bariatrics, neurology, trauma and
nursing o The Virginia G per Surgery Center Offers a range of outpatient surgeries and short inpatient stays when needed
Scottsdale Thompson Peak Medical Center With 92 beds, the hospital provides intensive care as well as cancer, urology,gynecology, orthopedics and emergency care The facility is a Cardiac Arrest Center and provides minimally invasive general
surgery, vascular surgery, urology, gynecology/oncology, and spinal surgery It also has an orthopedic institute and an internal
medicine residency program Sonoran Health and Emergency Center The freestanding emergency center in north Phoenix, offInterstate 17, offers emergency care 24 hours a day, seven days a week, to people of all ages In addition to emergency care,
the center provides breast health and medical imaging The satellite Breast Health and Research Center location offers state-of-
the-art diagnostic tools with 3-D mammography and interventional technologies Other services include bone density screenings,
body composition assessments and care coordination The HonorHealth Medical Group Encompasses more than 60 primary careand specialty practices in the metro Phoenix area Accountable care organizations HonorHealth has two ACOs - John C Lincoln
Accountable Care Organization and Scottsdale Health Partners An ACO is an organization that includes a group of health care
providers who collaborate and agree to share responsibility for the total cost and quality of care for a designated group ofpatients over a period of time HonorHealth has more than 140 years of combined experience serving its communities through
outreach programs such as Desert Mission, NOAH and the HonorHealth Foundation Desert Mission Provides community
services for the vulnerable in the community, including a food bank, Lincoln Learning Center, Adult Day Healthcare andNeighborhood Renewal Neighborhood Outreach Access to Health Provides affordable, quality care for underserved individuals
at community health centers HonorHealth Foundation Provides the philanthropy to support, enhance and grow HonorHealth
HonorHealths board of directors is made up of community leaders HonorHealth maintains an open medical staff policy,participates in Medicare and Medicaid programs as well as other government health programs HonorHealths emergency rooms
and trauma care centers are open to patients regardless of ability to pay, pursuant to its financial assistance policy
Return
Reference
Explanation
FORM 990, THERE IS AN EXECUTIVE COMMITTEE WHICH IS COMPRISED OF THE SAME INDIVIDUALS SERVING AS MEMBERS OFPART VI, LINE HONORHEALTH'S EXECUTIVE COMMITTEE HONORHEALTH'S CHAIR AND VICE CHAIR SERVE AS CHAIR AND VICE CHAIR OF
1a THE EXECUTIVE COMMITTEE, RESPECTIVELY THE EXECUTIVE COMMITTEE HAS THE POWER AND AUTHORITY OF THE
BOARD OF DIRECTORS TO TRANSACT ALL REGULAR BUSINESS OF THE CORPORATION AND SUCH OTHER MATTERS ASMAY BE DELEGATED TO IT BY THE BOARD DIRECTORS IN THE INTERVALS BETWEEN MEETINGS OF THE BOARD OF
DIRECTORS
Return
Reference
Explanation
FORM 990, THE TAX RETURN INFORMATION IS GATHERED BY THE FINANCE TEAM FROM VARIOUS SOURCES WITHIN THEPART VI, ORGANIZATION INCLUDING HUMAN RESOURCES, PAYROLL, DEVELOPMENT AND THE LEGAL DEPARTMENT THE
LINE 11 B INFORMATION IS REVIEWED BY THE HONORHEALTH CONTROLLER AND PROVIDED TO AN ACCOUNTING FIRM THAT
PREPARES THE TAX RETURNS AN INITIAL DRAFT OF THE FORM 990 IS SUBMITTED TO THE HONORHEALTH CONTROLLERAND HONORHEALTH CHIEF FINANCIAL OFFICER FOR REVIEW COMMENTS FROM THOSE INDIVIDUALS ARE CONSIDERED AND
INCORPORATED INTO A REVISED DRAFT THAT IS PRESENTED TO THE BOARD OF DIRECTORS PRIOR TO FILING THE BOARD
OF DIRECTORS REVIEWS THE REVISED DRAFT AND SUBMITS COMMENTS TO THE HONORHEALTH CONTROLLER COMMENTSFROM THOSE INDIVIDUALS ARE CONSIDERED AND INCORPORATED INTO A FINAL DRAFT PREPARED FOR FILING THE FINAL
DRAFT IS THEN MADE AVAILABLE TO ALL BOARD MEMBERS PRIOR TO FILING
Return
Reference
Explanation
FORM 990 , EACH BOARD MEMBER, OFFICER OF THE CORPORATION AND BOARD COMMITTEE MEMBER COMPLETES A CONFLICT OFPART VI, INTEREST DISCLOSURE STATEMENT ANNUALLY THE COMPLIANCE OFFICE, ALONG WITH HONORHEALTH GENERAL
LINE 12C COUNSEL, EXAMINES EACH DISCLOSURE STATEMENT WHERE POTENTIAL CONFLICTS HAVE BEEN DISCLOSED
RECOMMENDATIONS ARE MADE TO THE CHAIR OF THE BOARD ON HOW TO APPROPRIATELY REMEDIATE, MONITOR, ORELIMINATE ANY CONFLICTS THE COMPLIANCEOFFICE/HONORHEALTH GENERAL COUNSEL THEN PROVIDES TO THE
INTERESTED PERSON, WITH CORES TO THE CHAIR OF THE BOARD, THE HONORHEALTH CEO, AND, IF NEEDED, THE
APPROPRIATE COMMITTEE CHAIR, A CORRESPONDENCE THAT SPECIFIES WHAT ACTIONS, CONDITION, OR MONITORING OFTHE CONFLICT ARE REQUIRED AND WHETHER THE INTERESTED PERSON IS PERMUTED TO GIVE A PRESENTATION TO THE
BOARD OR APPROPRIATE COMMffTEE AFTER FULL DISCLOSURE OF THE CONFLICT IN SUCH AN EV ENT, THE INTERESTED
PERSON LEAVES THE MEETING WHILE THE PROPOSED TRANSACTION IS DISCUSSED THE INTERESTED PERSON IS REQUIREDTO CO-SIGN CORRESPONDENCE SENT BY THE HONORHEALTH GENERAL COUNSEL AND ADHERE TO IT THROUGHOUT THE
YEAR IF A CONFLICT OR FINANCIAL INTEREST ARISES AFTER THE ANNUAL DISCLOSURE PROCESS, THE INTERESTED
PERSON WILL CONSULT WITH THE COMPLIANCE OFFICE OR HONORHEALTH GENERAL COUNSEL AND UPDATE THEDISCLOSURE STATEMENT CONSISTENT WITH THE ADVICE OF THE HONORHEALTH GENERAL COUNSEL A RECORD OF THE
BOARD OR COMMITTEE MEETING WHERE PROPOSED TRANSACTIONS OR ARRANGEMENTS THAT ARE AFFECTED BY
CONFLICT OF INTEREST AND THE MANAGEMENT OF SUCH ARE CONTAINED IN THE BOARD/COMMITTEE MINUTES IFVIOLATIONS OF THE CONFLICT OF INTEREST POLICY/MANAGEMENT ARE REPORTED, THE HONORHEALTH GENERAL COUNSEL
WILL LOOK INTO THE MATTER CONFIRMED VIOLATIONS MAY INCLUDE REMOVAL FROM THE BOARD OR COMMITTEE OR
OFFICER POSITION PURSUANT TO THE REMOVAL PROCEDURES STATED IN THE BYLAWS BYLAWS INCLUDE THEPROVISIONS THAT INTERESTED PERSONS WHO RECEIVE COMPENSATION DIRECTLY OR INDIRECTLY FROM THE
HONORHEALTH NETWORK MAY NOT VOTE IN SUCH MATTERS A VOTING MEMBER OF ANY COMMITTEE WHOSE JURISDICTION
INCLUDES MAKING CHOICES ON GOODS OR SERVICES FOR THE HONORHEALTH NETWORK OR WHAT AMOUNTS SHOULD BEPAID FOR GOODS OR SERVICES SHALL BE PROHIBITED FROM VOTING ON ANY SUCH MATTER AND MAY BE PROHIBITED
FROM DISCUSSING THE MATTER PERIODIC REVIEWS OF THE PROCESS ARE CONDUCTED OUTSIDE EXPERTS MAY, BUT NEED
NOT, BE USED TO EVALUATE POLICIES AND PROCESSES
Return
Reference
Explanation
FORM 990, AN EXECUTIVE COMPENSATION CONSULTANT CONDUCTS DETAILED MARKET ANALYSIS FOR EXECUTIVE CASHPART VI, LINES COMPENSATION THE CONSULTANT UTILIZES AVAILABLE PUBLISHED HEALTHCARE SURVEY SOURCES EXECUTIVE
15A & 15B POSITIONS ARE MATCHED TO APPROPRIATE SURVEY POSITIONS BASED ON JOB CONTENT, DUTIES AND SCOPE OF
RESPONSIBILITY SURVEY DATA IS MATCHED FROM ORGANIZATIONS OF SIMILAR SIZE AND SCOPE RESULTS OF THESTUDY ARE SHARED WITH THE BOARD FOR APPROVAL THE STUDY WAS LAST COMPLETED IN 2015
Return Reference Explanation
FORM 990, PART V I,
LINE 19
DOCUMENTS ARE AVAILABLE FOR PUBLIC INSPECTION UPON REQUEST TO THE HONORHEALTH CORPORATE
CONTROLLER AT 8125 N HAYDEN ROAD, SCOTTSDALE, AZ 85258
Return Explanation
Reference
FORM 990, PART CHANGE IN DONATED EQUITY $ 1,268,875 CHANGE IN PRECEPTORS FUND 35,513 AFFILIATE EQUITY TRANSFERXI, LINE 9 (6,521,685) CHANGE IN FOUNDATION (541,122) CHANGE IN VALUE OF JV'S (1,467,264) K-1 BOOK TO TAX DIFFERENCE
(333,963) -------------- TOTAL $(7,559,646)
l efile GRAPHIC print - DO NOT PROCESS I As Filed Data - I DLN: 93493316011686
SCHEDULER Related Organizations and Unrelated PartnershipsOMB No 1545-0047
(Form 990)► 2Complete if the organization answered "Yes" on Form 990, Part IV, line 33, 34, 35b, 36, or 37.
Department of the Treasury ► Attach to Form 990. ► Information about Schedule R (Form 990 ) and its instructions is at www.irs.aov/form990 . Ope n to Public
Internal Revenue Service Inspection
Name of the organization Employer identification numberSCOTTSDALE HEALTHCARE HOSPITALS
86-0181654
Identification of Disregarded Entities Complete if the organization answered "Yes" on Form 990, Part IV, line 33.
(a)Name, address , and EIN ( if applicable ) of disregarded entity
(b)Primary activity
(c)Legal domicile ( stateor foreign country )
(d)Total income
(e)End-of-year assets
(f)Direct controlling
entity
(1) JOHN C LINCOLN LLC8125 N HAYDEN ROADSCOTTSDALE, AZ 8525886-0828589
PHYS PRACTICE AZ 85,346,982 11,930,338 SHH
(2) JOHN C LINCOLN ACO LLC8125 N HAYDEN ROADSCOTTSDALE, AZ 8525835-2437265
ACO AZ 591,656 209,029 SHH
MiCUM Identification of Related Tax-Exempt Organizations Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had onenr mnra ralatari tax-pyamnt nrnani7atinnc rliirinn tha tay vaar
(a)Name, address, and EIN of related organization
(b)Primary activity
(c)Legal domicile (stateor foreign country)
(d )Exempt Code section
( e)Public charity status
(if section 501(c)(3))
(f)Direct controlling
entity
(g)Section 512(b)(13) controlled
entity?
Yes No
See Additional Data Table
For Paperwork Reduction Act Notice , see the Instructions for Form 990 . Cat No 50135Y Schedule R (Form 990) 2015
Schedule R (Form 990) 2015 Page 2
Identification of Related Organizations Taxable as a Partnership Complete if the organization answered "Yes" on Form 990, Part IV, line 34because it had one or more related organizations treated as a partnership during the tax year.
(a) (b) (c) (d ) ( e) (f) (g) (h) (i) (l) (k)Name, address, and EIN of Primary activity Legal Direct Predominant Share of Share of end- Disproprtionate Code V-UBI General or Percentage
related organization domicile controlling income total income of-year allocations? amount in ownership(state or entity (related, assets box 20 of managingforeign unrelated, Schedule K- partner?country) excluded 1
from tax (Form 1065)under
sections 512-514)
Yes No Yes No
(1) Scottsdale Healthcare ASC LLC Healthcare DE SHC RELATED 0 0 No 0 No
3621 N Wells Fargo AveScottsdale, AZ 8525127-1450828
(2) Globalrehab-Scottsdale LLC Healthcare AZ SHH RELATED 409,549 2,203,840 No 0 No 51 000 %
1420 W Mockingbird Lane Ste 100Dallas, TX 7524727-4160293
(3) SCOTTSDALE SURG PARTNERS LLC HEALTHCARE DE SHC ASC LLC related 0 0 No 0 No
9522 E SAN SALVADORSCOTTSDALE, AZ 8525820-1808351
(4) MESA SURGICAL CENTER LLC HEALTHCARE DE SHC ASC LLC related 0 0 No 0 No
27271 LAS RAMBLAS SUITE 350MISSION VIEJO, CA 9269120-5322697
(5) BILTMORE SURGICAL PARTNERS LLC HEALTHCARE DE SHC ASC LLC related 0 0 No 0 No
27271 LAS RAMBLAS SUITE 350MISSION VIEJO, CA 9269126-4509307
(6) UNION HILLS PAIN PARTNERS LLC HEALTHCARE DE SHC ASC LLC related 0 0 No 0 No
27271 LAS RAMBLAS SUITE 350HEALTHCARE, AZ 9269147-3325492
SCOTTSDALE LINCOLN CLINICAL HEALTHCARE AZ shh related No 0 Yes 51 000 %(7) SPECIALISTS
SEE PART VIISCOTTTSDALE, AZ 8525847-5332541
Identification of Related Organizations Taxable as a Corporation or Trust Complete if the organization answered "Yes" on Form 990, Part IV, line34 because it had one or more related organizations treated as a corporation or trust during the tax year.
(a) (b) (c) (d) (e) (f) (g) (h) (1)Name, address, and EIN of Primary activity Legal Direct controlling Type of entity Share of total Share of end-of- Percentage Section 512
related organization domicile entity (C corp, S corp, income year ownership (b)(13)(state or foreign or trust) assets controlled
country) entity?
Yes No
SCOTTSDALE CAPTIVE CAPTIVE INS CJ SHH FOREIGN 16,200,850 88,602,445 100 000 % Yes(1)INSURANCE COMPANY
PO BOX 1085 5TH FLOORGEORGE TOWN,GRAND CAYMAN KY1-1102CJ
(2)SCOTTSDALE MSO INC MSO, GROUP PURCH AZ SHC C CORP 0 0 Yes
8125 N HAYDEN ROADSCOTTSDALE, AZ 8525886-0512895
Schedule R (Form 990) 2015
Schedule R (Form 990) 2015
Transactions With Related Organizations Complete if the organization answered "Yes" on Form 990, Part IV, line 34, 35b, or 36.
Note . Complete line 1 if any entity is listed in Parts II, III, or IV of this schedule
1 During the tax year, did the orgranization engage in any of the following transactions with one or more related organizations listed in Parts II-IV?
a Receipt of (i) interest, (ii)annuities, (iii)royalties, or(iv)rent from a controlled entity .
b Gift, grant, or capital contribution to related organization(s) . . . . . .
c Gift, grant, or capital contribution from related organization(s) .
d Loans or loan guarantees to or for related organization(s)
e Loans or loan guarantees by related organization(s)
f Dividends from related organization(s)
g Sale of assets to related organization(s) . .
h Purchase of assets from related organization(s) . .
i Exchange of assets with related organization(s) . .
j Lease of facilities, equipment, or other assets to related organization(s)
k Lease of facilities, equipment, or other assets from related organization(s) . . . . .
I Performance of services or membership or fundraising solicitations for related organization(s)
m Performance of services or membership or fundraising solicitations by related organization(s)
n Sharing of facilities, equipment, mailing lists, or other assets with related organization(s)
o Sharing of paid employees with related organization(s) . . . . . . . . . .
p Reimbursement paid to related organization(s) for expenses
q Reimbursement paid by related organization(s) for expenses
r Other transfer of cash or property to related organization(s) .
s Other transfer of cash or property from related organization(s)
Page 3
No
!s
!s
No
No
No
No
No
No
No
No
lm No
in Yes
So Yes
Sp Yes
Sq Yes
Sr Yes
is No
2 If the answer to any of the above is "Yes," see the instructions for information on who must complete this line, including covered relationships and transaction thresholds
(a)Name of related organization
(b)Transactiontype (a-s)
(c)Amount involved
(d)Method of determining amount involved
(1)DESERT MISSION B 590,519 Cost
(2)DESERT MISSION NEIGHBORHOOD RENEWAL B 218,199 Cost
(3)HONORHEALTH FOUNDATION C 8,770,522 COST
(4)JOHN C LINCOLN HEALTH FOUNDATION C 2,241,057 COST
(5)SCOTTSDALE HEALTHCARE CORP 0 555,982,605 COST
(6)SCOTTSDALE CAPTIVE INSURANCE COMPANY R 18,210,174 COST
Schedule R (Form 990) 2015
Schedule R (Form 990) 2015 Page 4
Unrelated Organizations Taxable as a Partnership Complete if the organization answered "Yes" on Form 990, Part IV, line 37.
Provide the following information for each entity taxed as a partnership through which the organization conducted more than five percent of its activities (measured by total assets or grossrevenue) that was not a related organization See instructions regarding exclusion for certain investment partnerships
(a)Name, address, and EIN of entity
(b)Primary activity
(c)Legal
domicile(state orforeigncountry)
(d)Predominant
income(related,unrelated,
excluded fromtax under
sections 512-
(e)Are all partners
section501(c)(3)
organizations?
(f)Share of
totalincome
(9)Share of
end-of-yearassets
(h )Disproprtionateallocations?
(1)Code V-UBIamount inbox 20
of ScheduleK-1
(Form 1065)
(])General ormanagingpartner?
(k)Percentageownership
514)Yes No Yes No Yes No
Schedule R (Form 990) 2015
Schedule R (Form 990) 2015 Page 5
Supplemental Information
Provide additional information for responses to questions on Schedule R (see instructions
I Return Reference I Explanation
SCHEDULE R, PART III, COLUMN SCOTTSDALE HEALTHCARE ASC, LLC EIN 27-1450828 ADDRESS 8125 N HAYDEN ROAD, SCOTTSDALE,AZ 85258 GLOBALREHAB-(A) SCOTTSDALE, LLC EIN 27-4160293 ADDRESS 4714 GETTYSBURG ROAD, MECHANICSBURG, PA 17055 SCOTTSDALE SURGICAL PARTNERS,
LLC EIN 20-1808351 ADDRESS 9522 E SAN SALVADOR, SCOTTSDALE, AZ 85258 MESA SURGICAL CENTER, LLC EIN 20-5322697ADDRESS 27271 LAS RAMBLAS, SUITE 350, MISSION VIEJO, CA 92691 BILTMORE SURGICAL PARTNERS, LLC EIN 26-4509307 ADDRESS27271 LAS RAMBLAS, SUITE 350, MISSION VIEJO, CA 92691 UNION HILLS PAIN PARTNERS, LLC EIN 47-3325492 ADDRESS 27271 LASRAMBLAS, SUITE 350, MISSION VIEJO, CA 92691 SCOTTSDALE LINCOLN CLINICAL SPECIALISTS, LLC EIN 47-5332541 ADDRESS 8125 NHAYDEN ROAD, SCOTTSDALE,AZ 85258
Schedule R (Form 990) 2015
Additional Data
Software ID:
Software Version:
EIN: 86-0181654
Name : SCOTTSDALE HEALTHCARE HOSPITALS
Form 990, Schedule R. Part II - Identification of Related Tax-Exempt Oraanizations
(a) (b) (c) (d) (e) (f) (g)Name, address, and EIN of related organization Primary activity Legal domicile Exempt Code Public charity Direct controlling Section 512
(state section status entity (b)(13)or foreign (if section 501(c) controlledcountry) (3)) entity?
Yes No
Healthcare AZ 501(c)(3) 11, TYPE I SHH YesScottsdale Healthcare Corp8125 N Hayden RoadScottsdale, AZ 8525894-2735850
Foundation AZ 501(c)(3) 7 SHH YesHONORHEALTH Foundation8125 N Hayden RoadScottsdale, AZ 8525874-2355411
Healthcare AZ 501(c)(3) 3 SHH YesScottsdale Memorial Health Services Co8125 N Hayden RoadScottsdale, AZ 8525894-2735859
FUNDRAISING AZ 501(c)(3) 9 SHC YesSCOTTSDALE HEALTHCARE AUXILIARY8125 N Hayden RoadScottsdale, AZ 8525823-7264497
FUNDRAISING AZ 501(c)(3) 7 SHH YesJOHN C LINCOLN HEALTH FDN (THRU 1215)2500 W UTOPIA ROAD SUITE 100PHOENIX, AZ 8502795-3320185
COMMUNITY SVC AZ 501(c)(3) 7 SHH YesDESERT MISSION INC8125 N Hayden RoadSCOTTSDALE, AZ 8525886-0096941
HOUSING/REHAB AZ 501(c)(3) 7 SHH YesDESERT MISSION NEIGHBORHOOD RENEWAL2500 W UTOPIA ROAD SUITE 100PHOENIX, AZ 8502786-0746598
Healthcare AZ 501(c)(3) 3 shh YesLINCOLN AMBULATORY CARE CORPORATION2500 W UTOPIA ROAD SUITE 100PHOENIX, AZ 8502794-2842736
Form 990. Schedule R. Part III - Identification of Related Organizations Taxable as a Partnership
(c) (e) (h)0)
0)
(a) (b)Legal (d) Predominant (f) (g) Disproprtionate Code V-UBI
General(k)
Name address and EIN of Primary activityDomicile Direct income Share of total Share of end-of- allocations? amount in
orPercentage, ,
related organization(State Controlling (related, income year assets
Box 20 of ScheduleManaging
ownershipor Entity unrelated, Partner?
Foreign excluded fromK 1
(Form 1065)Country) tax under
sections512-514) Yes No Yes No
Scottsdale Healthcare ASC Healthcare DE SHC RELATED 0 0 No 0 NoLLC
3621 N Wells Fargo AveScottsdale, AZ 8525127-1450828
Globalrehab-Scottsdale LLC Healthcare AZ SHH RELATED 409,549 2,203,840 No 0 No 51 000 %
1420 W Mockingbird LaneSte 100Dallas, TX 7524727-4160293
SCOTTSDALE SURG HEALTHCARE DE SHC ASC LLC related 0 0 No 0 NoPARTNERS LLC
9522 E SAN SALVADORSCOTTSDALE, AZ 8525820-1808351
MESA SURGICAL CENTER HEALTHCARE DE SHC ASC LLC related 0 0 No 0 NoLLC
27271 LAS RAMBLASSUITE 350MISSION VIEJO, CA9269120-5322697
BILTMORE SURGICAL HEALTHCARE DE SHC ASC LLC related 0 0 No 0 NoPARTNERS LLC
27271 LAS RAMBLASSUITE 350MISSION VIEJO, CA9269126-4509307
UNION HILLS PAIN HEALTHCARE DE SHC ASC LLC related 0 0 No 0 NoPARTNERS LLC
27271 LAS RAMBLASSUITE 350HEALTHCARE, AZ 9269147-3325492
SCOTTSDALE LINCOLN HEALTHCARE AZ shh related No 0 Yes 51 000 %CLINICAL SPECIALISTS
SEE PART VIISCOTTTSDALE, AZ 8525847-5332541
Form 990. Schedule R. Part V - Transactions With Related Organizations
(a) (b) (c) (d)Name of related organization Transaction Amount Involved
Method ofdetermining amounttype(a-s)
involved
(1) DESERT MISSION B 590,519 Cost
(1) DESERT MISSION NEIGHBORHOOD RENEWAL B 218,199 Cost
(2) HONORHEALTH FOUNDATION C 8,770,522 COST
(3) JOHN C LINCOLN HEALTH FOUNDATION C 2,241,057 COST
(4) SCOTTSDALE HEALTHCARE CORP 0 555,982,605 COST
(5) SCOTTSDALE CAPTIVE INSURANCE COMPANY R 18,210,174 COST