TY 2010 Form 990

(A) Name and Title	(B) Average hours per week (describe hours for related organizations in Schedule O)	(C) Position (check all that apply)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)
(1) Patrick Durick Chair	1.00	X	X	0	0
(2) Dr Alan VanNorman Vice Chair/Physician	40.00	X	X	636,410	24,176
(3) Gerald Willer Secretary/Treasurer	1.00	X	X	0	0
(4) Dr Craig Lambrecht President/CEO	40.00	X	X	656,851	62,682
(5) Dr Biron Baker Director/Physician	40.00	X		423,431	25,638
(6) Dr Kimber Boyko Director/Physician	40.00	X		623,237	53,576
(7) Wes Engbrecht Director	1.00	X		0	0
(8) Dr David Field Director/Physician	40.00	X		364,684	53,576
(9) Richard Hedahl Director	1.00	X		0	0
(10) Claire Ann Holmberg Director	1.00	X		0	0
(11) Ellen Huber Director	1.00	X		0	0
(12) Niles Hushka Director	1.00	X		0	0
(13) Lowell Jensen Director	1.00	X		0	0
(14) George Keiser Director	1.00	X		0	0
(15) James Laducer Director	1.00	X		0	0
(16) Sister Paula Larson Director	1.00	X		0	0
(17) Susan Lundberg Director	1.00	X		0	0

(A) Name and Title	(B) Average hours per week (describe hours for related organizations in Schedule O)	(C) Position (check all that apply)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)	(F) Estimated amount of other compensation from the organization and related organizations
(18) Dr Kent Martin Director/Physician	40.00	X					287,734	58,240
(19) Dr David O'Regan Director/Physician	40.00	X					509,103	25,376
(20) Dr Mark Rodacker Director/Physician	40.00	X					456,326	22,789
(21) Dr Sean Russell Director/Physician	40.00	X					612,690	56,802
(22) Robert Schulte Director	1.00	X					0	0
(23) Dr Larry Skogen Director	1.00	X					0	0
(24) DuWayne Ternes Director	1.00	X					0	0
(25) Jim Volk Director	1.00	X					0	0
(26) Irene Wentz Director	1.00	X					0	0
(27) Jim Wheeler Director	1.00	X					0	0
(28) Dr William Canham Director/Physician	40.00	X					510,302	27,605
(29) Dr David Pengilly Director/Physician	40.00	X					347,521	20,440
(30) Paul Morth Chief Financial Officer	40.00		X				243,910	57,539
(31) Karen Paul Vice President	40.00			X			167,884	33,487
(32) John Miller Vice President	40.00			X			250,587	0
(33) Jan Kamphuis Vice President	40.00			X			244,923	17,868
(34) Scott Boehm Vice President	40.00			X			201,157	38,777
(35) Dr Anthony Tello Chief Medical Officer	40.00			X			448,210	24,176
(36) Dr Douglas Berglund Physician	40.00				X		1,039,198	51,980
(37) Dr William Cain Physician	40.00				X		1,008,975	45,152
(38) Dr Matthew Iwamota Physician	40.00				X		1,017,263	42,389
(39) Dr Michael McIntee Physician	40.00				X		1,047,285	24,176
(40) Dr Tarek Dufan Physician	40.00				X		1,441,599	53,544
(41) Claudia Eisenmann Former Vice President	40.00					X	240,932	13,549
(42) Evy Olson Former Vice President	40.00					X	141,046	14,135
(43) Pam Hopkins Former Vice President	40.00					X	130,867	19,327
(44) James Cooper Former Officer	40.00					X	100,368	0
(45) Dr Guy Connell Former Director	40.00					X	0	0
(46) Dr Lawrence daSilva Former Director	40.00					X	0	0
(47) Dr Brenda Miller Former Director	40.00					X	0	0

(A) Name and business address	(B) Description of services	(C) Compensation
United Blood Services PO Box 53022 Phoenix,AZ85072	Blood Products	1,236,941
Capital City Construction PO Box 7337 Bismarck,ND58507	Construction Services	1,025,366
McKesson PO Box 98347 Chicago,IL606938347	Technology Services	994,737
Mayo Medical Labs Inc PO Box 9146 Minneapolis,MN554809146	Lab Services	923,052
Weatherby Locums PO Box 972633 Dallas,TX753972633	Physician Services	642,333
2 Total number of independent contractors (including but not limited to those listed above) who received more than $100,000 in compensation from the organization 40

Do not include amounts reported on lines 6b, 7b, 8b, 9b, and 10b of Part VIII.	(A) Total expenses	(B) Program service expenses	(C) Management and general expenses	(D) Fundraising expenses
1	Grants and other assistance to governments and organizations in the U.S. See Part IV, line 21	21,400	21,400
2	Grants and other assistance to individuals in the U.S. See Part IV, line 22
3	Grants and other assistance to governments, organizations, and individuals outside the U.S. See Part IV, lines 15 and 16
4	Benefits paid to or for members
5	Compensation of current officers, directors, trustees, and key employees ....	7,424,610	5,126,967	2,297,643
6	Compensation not included above, to disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B) ....
7	Other salaries and wages	134,374,347	118,082,056	16,292,291
8	Pension plan contributions (include section 401(k) and section 403(b) employer contributions) ....	4,867,379	3,369,123	1,498,256
9	Other employee benefits .......	10,131,444	8,169,101	1,962,343
10	Payroll taxes ...........	8,309,326	7,040,189	1,269,137
11	Fees for services (non-employees):
a	Management ......
b	Legal .........	219,993		219,993
c	Accounting ...........	79,377		79,377
d	Lobbying ...........
e	Professional fundraising. See Part IV, line 17..
f	Investment management fees ......
g	Other ..........	14,282,649	10,023,535	4,259,114
12	Advertising and promotion ....	916,665	37,359	879,306
13	Office expenses .......	51,344,892	48,287,310	3,057,582
14	Information technology ......	1,834,224	418,505	1,415,719
15	Royalties ..
16	Occupancy ...........	5,255,412	4,417,758	837,654
17	Travel ............	144,087	137,495	6,592
18	Payments of travel or entertainment expenses for any federal, state, or local public officials ......
19	Conferences, conventions, and meetings ....	1,076,708	823,034	253,674
20	Interest ...........	1,226,042		1,226,042
21	Payments to affiliates .......
22	Depreciation, depletion, and amortization .....	6,563,340	3,815,954	2,747,386
23	Insurance ..............	2,126,496		2,126,496
24	Other expenses. Itemize expenses not covered above. (Expenses grouped together and labeled miscellaneous may not exceed 5% of total expenses shown on line 25 below.)
a	Provision for Bad Debts	6,535,460	6,535,460
b	Equipment Rental & Main	3,441,725	3,184,589	257,136
c	Repairs and Maintenance	2,536,394	1,817,557	718,837
d
e
f	All other expenses	2,765,745	506,698	2,259,047
25	Total functional expenses. Add lines 1 through 24f	265,477,715	221,814,090	43,663,625	0
26	Joint costs. Check here if following SOP 98-2 (ASC 958-720). Complete this line only if the organization reported in column (B) joint costs from a combined educational campaign and fundraising solicitation

Part X Balance Sheet
	1	Cashnon-interest-bearing ..........		1
2	Savings and temporary cash investments .......	40,239,311	2	48,330,920
3	Pledges and grants receivable, net .........		3
4	Accounts receivable, net .........	35,786,460	4	36,934,689
5	Receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of
	Schedule L ..........		5
6	Receivables from other disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B). Complete Part II of
	Schedule L ..........		6
7	Notes and loans receivable, net .............		7
8	Inventories for sale or use ..............	4,358,208	8	4,582,145
9	Prepaid expenses and deferred charges ............	1,576,004	9	1,697,942
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	165,507,309
b	Less: accumulated depreciation. .....	10b	108,618,292	46,655,489	10c	56,889,017
11	Investments—publicly traded securities ..........	11,853,165	11	11,719,996
12	Investments—other securities. See Part IV, line 11 ......		12
13	Investments—program-related. See Part IV, line 11 ..	2,850,143	13	3,007,761
14	Intangible assets .........		14
15	Other assets. See Part IV, line 11 ...........	2,165,247	15	2,642,458
16	Total assets. Add lines 1 through 15 (must equal line 34)...	145,484,027	16	165,804,928
	17	Accounts payable and accrued expenses .	28,877,540	17	31,385,217
18	Grants payable ..........		18
19	Deferred revenue ..........		19	704,746
20	Tax-exempt bond liabilities ..........	21,149,826	20	16,748,072
21	Escrow or custodial account liability. Complete Part IV of Schedule D..		21
22	Payables to current and former officers, directors, trustees, key employees, highest compensated employees, and disqualified
	persons. Complete Part II of Schedule L..........		22
23	Secured mortgages and notes payable to unrelated third parties ..	545,546	23	446,666
24	Unsecured notes and loans payable to unrelated third parties ....	992,000	24	6,702,565
25	Other liabilities. Complete Part X of Schedule D.....	28,391,705	25	29,693,918
26	Total liabilities. Add lines 17 through 25.....	79,956,617	26	85,681,184
		Organizations that follow SFAS 117, check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets .....	64,039,801	27	78,703,635
28	Temporarily restricted net assets .....	1,487,609	28	1,420,109
29	Permanently restricted net assets .....		29
	Organizations that do not follow SFAS 117, check here and complete lines 30 through 34.
30	Capital stock or trust principal, or current funds .....		30
31	Paid-in or capital surplus, or land, building or equipment fund .....		31
32	Retained earnings, endowment, accumulated income, or other funds		32
33	Total net assets or fund balances .....	65,527,410	33	80,123,744
34	Total liabilities and net assets/fund balances .....	145,484,027	34	165,804,928

- TIN:

SCHEDULE A
(Form 990 or 990EZ)

Department of the Treasury
Internal Revenue Service

Public Charity Status and Public Support

Complete if the organization is a section 501(c)(3) organization or a section
4947(a)(1) nonexempt charitable trust.

Attach to Form 990 or Form 990-EZ. right arrow

See separate instructions.

OMB No. 1545-0047

2010

Open to Public
Inspection

Name of the organization

Medcenter One Inc

Employer identification number

45-0226700

Part I

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.)

A church, convention of churches, or association of churches. section 170(b)(1)(A)(i).

A school described in section 170(b)(1)(A)(ii). (Attach Schedule E.)

A hospital or a cooperative hospital service organization described in section 170(b)(1)(A)(iii).

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 state:

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.)

A federal, state, or local government or governmental unit described in section 170(b)(1)(A)(v).

An organization that normally receives a substantial part of its support from a governmental unit or from the general public described in

section 170(b)(1)(A)(vi). (Complete Part II.)

A community trust described in section 170(b)(1)(A)(vi). (Complete Part II.)

An organization that normally receives: (1) more than 331/3% of its support from contributions, membership fees, and gross

receipts from activities related to its exempt functions—subject to certain exceptions, and (2) no more than 331/3% of

its support from gross investment income and unrelated business taxable income (less section 511 tax) from businesses

acquired by the organization after June 30, 1975. See section 509(a)(2). (Complete Part III.)

An organization organized and operated exclusively to test for public safety. Seesection 509(a)(4).

An organization organized and operated exclusively for the benefit of, to perform the functions of, or to carry out the purposes of one or more publicly supported organizations described in section 509(a)(1) or section 509(a)(2). See section 509(a)(3). Check the box that describes the type of supporting organization and complete lines 11e through 11h.

Type I

Type II

Type III - Functionally integrated

Type III - Other

By checking this box, I certify that the organization is not controlled directly or indirectly by one or more disqualified persons other than foundation managers and other than one or more publicly supported organizations described in section 509(a)(1) or section 509(a)(2).

If the organization received a written determination from the IRS that it is a Type I, Type II or Type III supporting organization, check this box ..................................................

Since August 17, 2006, has the organization accepted any gift or contribution from any of the
following persons?

(i) a person who directly or indirectly controls, either alone or together with persons described in (ii)

Yes

and (iii) below, the governing body of the the supported organization? ................

11g(i)

(ii) a family member of a person described in (i) above? ......................

11g(ii)

(iii) a 35% controlled entity of a person described in (i) or (ii) above? ................

11g(iii)

Provide the following information about the supported organization(s).

(i) Name of supported organization	(ii) EIN	(iv) Is the organization in col. (i) listed in your governing document?		(v) Did you notify the organization in col. (i) of your support?		(vi) Is the organization in col. (i) organized in the U.S.?		(vii) Amount of support?
(i) Name of supported organization	(ii) EIN	Yes	No	Yes	No	Yes	No	(vii) Amount of support?


Total

For Paperwork Reduction Act Notice, see the Instructions for Form 990.

Cat. No. 11285F

Schedule A (Form 990 or 990-EZ) 2010

Page 2

Part II

Support Schedule for Organizations Described in IRC 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 under Part 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) 2006	(b) 2007	(c) 2008	(d) 2009	(e) 2010	(f) Total
1	Gifts, grants, contributions, and membership fees received. (Do not include any "unusual grants.") ....
2	Tax revenues levied for the organization's benefit and either paid to or expended on its behalf.......
3	The value of services or facilities furnished by a governmental unit to the organization without charge..
4	Total. Add lines 1 through 3..
5	The portion of total contributions by each person (other than a governmental unit or publicly supported organization) included on line 1 that exceeds 2% of the amount shown on line 11, column (f)..
6	Public Support. Subtract line 5 from line 4.

Section B. Total Support

Calendar year(or fiscal year beginning in)		(a) 2006	(b) 2007	(c) 2008	(d) 2009	(e) 2010	(f) Total
7	Amounts from line 4..
8	Gross income from interest, dividends, payments received on securities loans, rents, royalties and income from similar sources..
9	Net income from unrelated business activities, whether or not the business is regularly carried on..
10	Other income. (Explain in Part IV.) Do not include gain or loss from the sale of capital assets..
11	Total support (Add lines 7 through 10).

Gross receipts from related activities, etc. (See instructions.) ..................

First Five Years If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a 501(c)(3) organization,
check this box and stop here.......................................... right arrow

Section C. Computation of Public Support Percentage

Public Support Percentage for 2010 (line 6 column (f) divided by line 11 column (f)) .........

Public Support Percentage for 2009 Schedule A, Part II, line 14 ...............

16a

33 1/3% support test—2010. If the 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 ...................... right arrow

33 1/3% support test—2009. If the organization did not check the 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 ..................... right arrow

17a

10%-facts-and-circumstances test—2010. If the 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. Explain
in Part IV how the organization meets the "facts and circumstances" test. The organization qualifies as a publicly supported
organization .................................................. right arrow

10%-facts-and-circumstances test—2009. If the 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 IV how the organization meets the "facts and circumstances" test. The organization qualifies as a publicly
supported organization .............................................. right arrow

Private Foundation If the organization did not check a box on line 13, 16a, 16b, 17a or 17b, check this box and see
instructions ................................................... right arrow

Schedule A (Form 990 or 990-EZ) 2010

Page 3

Part III

Support Schedule for Organizations Described in IRC 509(a)(2)
(Complete only if you checked the box on line 9 of Part I or if the organization failed to qualify under Part II. If the organization fails to qualify under the tests listed below, please complete Part II.)

Section A. Public Support

Calendar year(or fiscal year beginning in)		(a) 2006	(b) 2007	(c) 2008	(d) 2009	(e) 2010	(f) Total
1	Gifts, grants, contributions, and membership fees received. (Do not include any "unusual grants.") .
2	Gross receipts from admissions, merchandise sold or services performed, or facilities furnished in any activity that is related to the organization's tax-exempt purpose......
3	Gross receipts from activities that are not an unrelated trade or business under section 513..
4	Tax revenues levied for the organization's benefit and either paid to or expended on its behalf...
5	The value of services or facilities furnished by a governmental unit to the organization without charge..
6	Total. Add lines 1 through 5.
7a	Amounts included on lines 1, 2, and 3 received from disqualified persons...
b	Amounts included on lines 2 and 3 received from other than disqualified persons that exceed the greater of $5,000 or 1% of the amount on line 13 for the year.
c	Add lines 7a and 7b..
8	Public Support (Subtract line 7c from line 6.)

Section B. Total Support

Calendar year (or fiscal year beginning in)		(a) 2006	(b) 2007	(c) 2008	(d) 2009	(e) 2010	(f) Total
9	Amounts from line 6...
10a	Gross income from interest, dividends, payments received on securities loans, rents, royalties and income from similar sources..
b	Unrelated business taxable income (less section 511 taxes) from businesses acquired after June 30, 1975.
c	Add lines 10a and 10b.
11	Net income from unrelated business activities not included in line 10b, whether or not the business is regularly carried on.
12	Other income. Do not include gain or loss from the sale of capital assets (Explain in Part IV.)
13	Total support (Add lines 9, 10c, 11 and 12.).

Section C. Computation of Public Support Percentage

Public Support Percentage for 2010 (line 8 column (f) divided by line 13 column (f)) .........

Public support percentage from 2009 Schedule A, Part III, line 15 ...............

Section D. Computation of Investment Income Percentage

Investment income percentage for 2010 (line 10c column (f) divided by line 13 column (f)) ......

Investment income percentage from 2009 Schedule A, Part III, line 17 .............

19a

33 1/3% support tests—2010. If the 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 .......... right arrow

33 1/3% support tests—2009. If the 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 .... right arrow

Private Foundation If the organization did not check a box on line 14, 19a or 19b, check this box and see instructions ..... right arrow

Schedule A (Form 990 or 990-EZ) 2010

Page 4

Part IV

Supplemental Information. Supplemental Information. Complete this part to provide the explanation required by Part II, line 10; Part II, line 17a or 17b; or Part III, line 12. Also complete this part for any additional information. (See instructions).

Facts And Circumstances Test

Explanation

Schedule A (Form 990 or 990-EZ) 2010

Additional Data

Software ID:
Software Version:

- TIN:

Schedule B
(Form 990, 990-EZ,
or 990-PF)

Department of the Treasury
Internal Revenue Service

Schedule of Contributors

Attach to Form 990, 990-EZ, or 990-PF.

OMB No. 1545-0047

2010

Name of organization

Medcenter One Inc

Employer identification number

45-0226700

Organization type (check one):

Filers of:

Section:

Form 990 or 990-EZ

501(c)( ) (enter number) organization

4947(a)(1) nonexempt charitable trust not treated as a private foundation

527 political organization

Form 990-PF

501(c)(3) exempt private foundation

4947(a)(1) nonexempt charitable trust treated as a private foundation

501(c)(3) taxable private foundation

Check if your organization is covered by the General Rule or a Special Rule.
Note. Only a section 501(c)(7), (8), or (10) organization can check boxes for both the General Rule and a Special Rule. See instructions.

General Rule

For an organization filing Form 990, 990-EZ, or 990-PF that received, during the year, $5,000 or more (in money or
property) from any one contributor. Complete Parts I and II.

Special Rules

For a section 501(c)(3) organization filing Form 990 or 990-EZ, that met the 33¹/3% support test of the regulations
under sections 509(a)(1) and 170(b)(1)(A)(vi), and received from any one contributor, during the year, a contribution of the
greater of (1) $5,000 or (2) 2% of the amount on (i) Form 990, Part VIII, line 1h, or (ii) Form 990-EZ, line 1. Complete Parts I and II.

For a section 501(c)(7), (8), or (10) organization filing Form 990, or 990-EZ, that received from any one contributor,
during the year, aggregate contributions of more than $1,000 for use exclusively for religious, charitable,
scientific, literary, or educational purposes, or the prevention of cruelty to children or animals. Complete Parts I, II, and
III.

For a section 501(c)(7), (8), or (10) organization filing Form 990, or 990-EZ, that received from any one contributor,
during the year, contributions for use exclusively for religious, charitable, etc., purposes, but these contributions did
not aggregate to more than $1,000. If this box is checked, enter here the total contributions that were received during
the year for an exclusively religious, charitable, etc., purpose. Do not complete any of the parts unless the General Rule
applies to this organization because it received nonexclusively religious, charitable, etc., contributions of $5,000 or more
during the year. ......................... Arrow Bullet

Caution. An Organization that is not covered by the General Rule and/or the Special Rules does not file Schedule B (Form 990,
990-EZ, or 990-PF), but it must answer “No” on Part IV, line 2 of its Form 990, or check the box in the heading of its
Form 990-EZ, or on line 2 of its Form 990-PF, to certify that it does not meet the filing requirements of Schedule B (Form 990,
990-EZ, or 990-PF).

For Paperwork Reduction Act Notice, see the Instructions
for Form 990, 990-EZ, or 990-PF.

Cat. No. 30613XSchedule B (Form 990, 990-EZ, or 990-PF) (2010)

Name of organization Medcenter One Inc
Schedule B (Form 990, 990-EZ, or 990-PF) (2010) Page 1 of 1 of Part I
Part I	Contributors (see Instructions)
(a) No.	(b) Name, address, and ZIP + 4	(c) Aggregate contributions	(d) Type of contribution
RESTRICTED	RESTRICTED RESTRICTED RESTRICTED RESTRICTED, RESTRICTED RESTRICTED	$RESTRICTED	Person Payroll Noncash (Complete Part II if there is a noncash contribution.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Aggregate contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II if there is a noncash contribution.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Aggregate contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II if there is a noncash contribution.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Aggregate contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II if there is a noncash contribution.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Aggregate contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II if there is a noncash contribution.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Aggregate contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II if there is a noncash contribution.)
Schedule B (Form 990, 990-EZ, or 990-PF) (2010)

Name of organization Medcenter One Inc
Schedule B (Form 990, 990-EZ, or 990-PF) (2010) Page 1 of 1 of Part II
Part II	Noncash Property (see Instructions)
(a) No. from Part I	(b) Description of noncash property given	(c) FMV (or estimate) (see instructions)	(d) Date received
		$
(a) No. from Part I	(b) Description of noncash property given	(c) FMV (or estimate) (see instructions)	(d) Date received
		$
(a) No. from Part I	(b) Description of noncash property given	(c) FMV (or estimate) (see instructions)	(d) Date received
		$
(a) No. from Part I	(b) Description of noncash property given	(c) FMV (or estimate) (see instructions)	(d) Date received
		$
(a) No. from Part I	(b) Description of noncash property given	(c) FMV (or estimate) (see instructions)	(d) Date received
		$
(a) No. from Part I	(b) Description of noncash property given	(c) FMV (or estimate) (see instructions)	(d) Date received
		$
Schedule B (Form 990, 990-EZ, or 990-PF) (2010)

Schedule B (Form 990, 990-EZ, or 990-PF) (2010)

Page 1 of 1 of Part III

Name of organization
Medcenter One Inc

Employer identification number

45-0226700

Part III

Exclusively religious, charitable, etc., individual contributions to section 501(c)(7), (8), or (10) organizations
aggregating more than $1,000 for the year. (Complete columns (a) through (e) and the following line entry.)
For organizations completing Part III, enter the total of exclusively religious, charitable, etc.,
contributions of $1,000 or less for the year. (Enter this information once. See instructions.) Arrow Bullet

(a) No.
from
Part I

(b)
Purpose of gift

(d)
Description of how gift is held

(e) Transfer of gift
Transferee's name, address, and ZIP 4	Relationship of transferor to transferee

(a) No.
from
Part I

(b)
Purpose of gift

(d)
Description of how gift is held

(e) Transfer of gift
Transferee's name, address, and ZIP 4	Relationship of transferor to transferee

(a) No.
from
Part I

(b)
Purpose of gift

(d)
Description of how gift is held

(e) Transfer of gift
Transferee's name, address, and ZIP 4	Relationship of transferor to transferee

(a) No.
from
Part I

(b)
Purpose of gift

(d)
Description of how gift is held

(e) Transfer of gift
Transferee's name, address, and ZIP 4	Relationship of transferor to transferee

Schedule B (Form 990, 990-EZ, or 990-PF) (2010)

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE C
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Political Campaign and Lobbying Activities

For Organizations Exempt From Income Tax Under section 501(c) and section 527
SchCMd Bullet

Complete if the organization is described below.
SchCMd Bullet

Attach to Form 990 or Form 990-EZ. SchCMd Bullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public
Inspection

If the organization answered “Yes,” to Form 990, Part IV, Line 3, or Form 990-EZ, Part V, line 46 (Political Campaign Activities), then
Round Bullet

Section 501(c)(3) organizations: Complete Parts I-A and B. Do not complete Part I-C.
Round Bullet

Section 501(c) (other than section 501(c)(3)) organizations: Complete Parts I-A and C below. Do not complete Part I-B.
Round Bullet

Section 527 organizations: Complete Part I-A only.
If the organization answered “Yes,” to Form 990, Part IV, Line 4, or Form 990-EZ, Part VI, line 47 (Lobbying Activities), then
Round Bullet

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.
Round Bullet

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,” to Form 990, Part IV, Line 5 (Proxy Tax) or Form 990-EZ, Part V, line 35a (Proxy Tax), then
Round Bullet

Section 501(c)(4), (5), or (6) organizations: Complete Part III.

Name of the organization

Medcenter One Inc

Employer identification number

45-0226700

Part I-A

Complete if the organization is exempt under section 501(c) or is a section 527 organization.

Provide a description of the organization's direct and indirect political campaign activities on behalf of or in opposition to candidates for public office in Part IV.

Political expenditures .................................... SchCMd Bullet

Volunteer hours ........................................

Part I-B

Complete if the organization is exempt under section 501(c)(3).

Enter the amount of any excise tax incurred by the organization under section 4955 ......... SchCMd Bullet

Enter the amount of any excise tax incurred by organization managers under section 4955 ...... SchCMd Bullet

If the organization incurred a section 4955 tax, did it file Form 4720 for this year? ..............

Yes No

Was a correction made? .........................................

Yes No

If "Yes," describe in Part IV.

Part I-C

Complete if the organization is exempt under section 501(c) except section 501(c)(3).

Enter the amount directly expended by the filing organization for section 527 exempt function activities SchCMd Bullet

Enter the amount of the filing organization's funds contributed to other organizations for section 527 exempt funtion activities .................................... SchCMd Bullet

Total exempt function expenditures. Add lines 1 and 2. Enter here and on Form 1120-POL, line 17b.. SchCMd Bullet

Did the filing organization file Form 1120-POL for this year? ..........................

Yes No

Enter the names, addresses and employer identification number (EIN) of all section 527 political organizations to which the filing
organization made payments. For each organization listed, enter the amount paid from the filing organization’s funds. Also enter the amount of political contributions received that were promptly and directly delivered to a separate political organization, such as a separate 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 filing organization's funds. If none, enter -0-.	(e) Amount of political contributions received and promptly and directly delivered to a separate political organization. If none, enter -0-.

For Privacy Act and Paperwork Reduction Act Notice, see the instructions for Form 990.

Cat. No. 50084S

Schedule C (Form 990 or 990-EZ) 2010

Page 2

Part II-A

Complete if the organization is exempt under section 501(c)(3) and filed Form 5768 (election under section 501(h)).

A Check if the filing organization belongs to an affiliated group.
B Check if the filing organization checked box A and "limited control" provisions apply.

Limits on Lobbying Expenditures (The term "expenditures" means amounts paid or incurred.)		(b) Affiliated Group Totals
1a	Total lobbying expenditures to influence public opinion (grass roots lobbying) ......
b	Total lobbying expenditures to influence a legislative body (direct lobbying) .......
c	Total lobbying expenditures (add lines 1a and 1b) ...................
d	Other exempt purpose expenditures ........................
e	Total exempt purpose expenditures (add lines 1c and 1d) ...............
f	Lobbying nontaxable amount. Enter the amount from the following table in both columns.
	If the amount on line 1e, column (a) or (b) is:The lobbying nontaxable amount is:
	Not over $500,00020% of the amount on line 1e.
	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.

g	Grassroots nontaxable amount (enter 25% of line 1f) .................
h	Subtract line 1g from line 1a. If zero or less, enter -0-. ................
i	Subtract line 1f from line 1c. If zero or less, enter -0-. ................
j	If there is an amount other than zero on either line 1h or line 1i, did the organization file Form 4720 reporting section 4911 tax for this year? ......................................	Yes 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 instructions for lines 2a through 2f on page 4.)
Lobbying Expenditures During 4-Year Averaging Period
	Calendar year (or fiscal year beginning in)	(a) 2007	(b) 2008	(c) 2009	(d) 2010	(e) Total

2a	Lobbying non-taxable amount

b	Lobbying ceiling amount (150% of line 2a, column(e))

c	Total lobbying expenditures

d	Grassroots non-taxable amount

e	Grassroots ceiling amount (150% of line 2d, column (e))

f	Grassroots lobbying expenditures

Schedule C (Form 990 or 990-EZ) 2010

Page 3

Part II-B

Complete if the organization is exempt under section 501(c)(3) and has NOT filed Form 5768 (election under section 501(h)).

(a)

Yes

(b)

Amount

During the year, did the filing organization attempt to influence foreign, national, state or local legislation, including any attempt to influence public opinion on a legislative matter or referendum, through the use of:

Volunteers? .........................................

Paid staff or management (include compensation in expenses reported on lines 1c through 1i)? ....

Yes

Media advertisements? ....................................

Mailings to members, legislators, or the public? .........................

Publications, or published or broadcast statements? .......................

Grants to other organizations for lobbying purposes? .......................

Yes

42,378

Direct contact with legislators, their staffs, government officials, or a legislative body? ........

Yes

75,330

Rallies, demonstrations, seminars, conventions, speeches, lectures, or any similar means? ......

Other activities? If "Yes," describe in Part IV ..........................

Total. lines 1c through 1i ...................................

117,708

Did the activities in line 1 cause the organization to be not described in section 501(c)(3)? .....

If "Yes," enter the amount of any tax incurred under section 4912 .................

If "Yes," enter the amount of any tax incurred by organization managers under section 4912 .....

If the filing organization incurred a section 4912 tax, did it file Form 4720 for this year? .......

Part III-A

Complete if the organization is exempt under section 501(c)(4), section 501(c)(5), or section 501(c)(6).

Yes

Were substantially all (90% or more) dues received nondeductible by members? ................

Did the organization make only in-house lobbying expenditures of $2,000 or less? ................

Did the organization agree to carryover lobbying and political expenditures from the prior year? ..........

Part III-B

Complete if the organization is exempt under section 501(c)(4), section 501(c)(5), or section 501(c)(6) if BOTH Part III-A, lines 1 and 2 are answered “No” OR if Part III-A, line 3 is answered “Yes”.

Dues, assessments and similar amounts from members .....................

Section 162(e) non-deductible lobbying and political expenditures (do not include amounts of political
expenses for which the section 527(f) tax was paid).

Current year .........................................

Carryover from last year ....................................

Total ...........................................

Aggregate amount reported in section 6033(e)(1)(A) notices of nondeductible section 162(e) dues .

If notices were sent and the amount on line 2c exceeds the amount on line 3, what portion of the excess does the organization agree to carryover to the reasonable estimate of nondeductible lobbying and political expenditure next year? ................................

Taxable amount of lobbying and political expenditures (see instructions) ..............

Part IV

Supplemental Information

Complete this part to provide the descriptions required for Part l-A, line 1; Part l-B, line 4; Part l-C, line 5; and Part ll-B, line 1i.
Also, complete this part for any additional information.

Identifier	Return Reference	Explanation

Schedule C (Form 990 or 990EZ) 2010

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE D
(Form 990)

Department of the Treasury
Internal Revenue Service

Supplemental Financial Statements

Complete if the organization answered "Yes," to Form 990,
Part IV, line 6, 7, 8, 9, 10, 11, or 12.
SchDMd Bullet

Attach to Form 990. SchDMd Bullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization

Medcenter One Inc

Employer identification number

45-0226700

Part I

Organizations Maintaining Donor Advised Funds or Other Similar Funds or Accounts. Complete if the organization answered "Yes" to Form 990, Part IV, line 6.

		(a) Donor advised funds	(b) Funds and other accounts
1	Total number at end of year .......
2	Aggregate contributions to (during year) ...
3	Aggregate grants from (during year) ...
4	Aggregate value at end of year .......

Did the organization inform all donors and donor advisors in writing that the assets held in donor advised
funds are the organization's property, subject to the organization's exclusive legal control? ............

Yes No

Did the organization inform all grantees, donors, and donor advisors in writing that grant funds may be
used only for charitable purposes and not for the benefit of the donor or donor advisor, or for any other purpose conferring impermissible private benefit. ...................................

Yes No

Part II

Conservation Easements. Complete if the organization answered "Yes" to Form 990, Part IV, line 7.

Purpose(s) of conservation easements held by the organization (check all that apply).

Preservation of land for public use (e.g., recreation or pleasure) Preservation of an historically importantly land area

Protection of natural habitat Preservation of a certified historic structure

Preservation of open space

Complete lines 2a–2d if the organization held a qualified conservation contribution in the form of a conservation easement on the last day of the tax year.


a	Total number of conservation easements .......................	2a
b	Total acreage restricted by conservation easements ..................	2b
c	Number of conservation easements on a certified historic structure included in (a) .....	2c
d	Number of conservation easements included in (c) acquired after 8/17/06 ........	2d

Number of conservation easements modified, transferred, released, extinguished, or terminated by the organization during
the taxable year SchDMd Bullet

Number of states where property subject to conservation easement is located SchDMd Bullet

Does the organization have a written policy regarding the periodic monitoring, inspection, handling of violations, and
enforcement of the conservation easements it holds? .............................

Yes No

Staff and volunteer hours devoted to monitoring, inspecting and enforcing conservation easements during the year SchDMd Bullet

Amount of expenses incurred in monitoring, inspecting, and enforcing conservation easements during the year SchDMd Bullet

Does each conservation easement reported on line 2(d) above satisfy the requirements of section
170(h)(4)(B)(i) and 170(h)(4)(B)(ii)? ....................................

Yes No

In Part XIV, describe how the organization reports conservation easements in its revenue and expense statement, and
balance sheet, and include, if applicable, the text of the footnote to the organization’s financial statements that describes
the organization’s accounting for conservation easements.

Part III

Organizations Maintaining Collections of Art, Historical Treasures, or Other Similar Assets.
Complete if the organization answered "Yes" to Form 990, Part IV, line 8.

If the organization elected, as permitted under SFAS 116, not to report in its revenue statement and balance sheet works of
art, historical treasures, or other similar assets held for public exhibition, education or research in furtherance of public service,
provide, in Part XIV, the text of the footnote to its financial statements that describes these items.

If the organization elected, as permitted under SFAS 116, to report in its revenue statement and balance sheet works of art,
historical treasures, or other similar assets held for public exhibition, education, or research in furtherance of public service,
provide the following amounts relating to these items:

(i)

Revenues included in Form 990, Part VIII, line 1 ........................ SchDMd Bullet

(ii)

Assets included in Form 990, Part X .............................. SchDMd Bullet

If the organization received or held works of art, historical treasures, or other similar assets for financial gain, provide the
following amounts required to be reported under SFAS 116 relating to these items:

Revenues included in Form 990, Part VIII, line 1 .......................... SchDMd Bullet

Assets included in Form 990, Part X ............................... SchDMd Bullet

For Privacy Act and Paperwork Reduction Act Notice, see the Intructions for Form 990

Cat. No. 52283D

Schedule D (Form 990) 2010

Page 2

Part III

Organizations Maintaining Collections of Art, Historical Treasures, or Other Similar Assets (continued)

Using the organization’s accession and other records, check any of the following that are a significant use of its collection
items (check all that apply):

Public exhibition

Loan or exchange programs

Scholarly research

Other

Preservation for future generations

Provide a description of the organization’s collections and explain how they further the organization’s exempt purpose in
Part XIV.

During the year, did the organization solicit or receive donations of art, historical treasures or other similar
assets to be sold to raise funds rather than to be maintained as part of the organization’s collection?........

Yes No

Part IV

Escrow and Custodial Arrangements. Complete if the organization answered "Yes" to Form 990,
Part IV, line 9, or reported an amount on Form 990, Part X, line 21.

Is the organization an agent, trustee, custodian or other intermediary for contributions or other assets not
included on Form 990, Part X? ....................................

Yes No

If "Yes," explain the arrangement in Part XIV and complete the following table:


c	Beginning balance .................................	1c
d	Additions during the year ..............................	1d
e	Distributions during the year .............................	1e
f	Ending balance ...................................	1f

Did the organization include an amount on Form 990, Part X, line 21? .....................

Yes No

If “Yes,” explain the arrangement in Part XIV.

Part V

Endowment Funds. Complete if the organization answered "Yes" to Form 990, Part IV, line 10.

		(a)Current Year	(b)Prior Year	(c)Two Years Back	(d)Three Years Back	(e)Four Years Back
1a	Beginning of year balance ....
b	Contributions ........
c	Investment earnings or losses ...
d	Grants or scholarships .....
e	Other expenditures for facilities and programs ........
f	Administrative expenses ....
g	End of year balance ......

Provide the estimated percentage of the year end balance held as:

Board designated or quasi-endowment: SchDMd Bullet

Permanent endowment: SchDMd Bullet

Term endowment: SchDMd Bullet

Are there endowment funds not in the possession of the organization that are held and administered for the
organization by:

Yes

(i) unrelated organizations ........................

3a(i)

(ii) related organizations ........................

3a(ii)

If "Yes" to 3a(ii), are the related organizations listed as required on Schedule R? .........

Describe in Part XIV the intended uses of the organization's endowment funds.

Part VI

InvestmentsLand, Buildings, and Equipment. See Form 990, Part X, line 10.

Description of investment		(a) Cost or other basis (investment)	(b)Cost or other basis (other)	(c) Accumulated depreciation	(d) Book value
1a	Land .................	1,297,510	7,038,321		8,335,831
b	Buildings ................		82,730,030	60,489,569	22,240,461
c	Leasehold improvements ............
d	Equipment ................		62,278,510	46,547,535	15,730,975
e	Other .................		12,162,938	1,581,188	10,581,750
Total. Add lines 1a-1e. (Column (d) should equal Form 990, Part X, column (B), line 10(c).)........					56,889,017

Schedule D (Form 990) 2010

Page 3

Part VII

InvestmentsOther Securities. See Form 990, Part X, line 12.

(a) Description of security or category (including name of security)		(b)Book value	(c) Method of valuation: Cost or end-of-year market value
(1)Financial derivatives
(2)Closely-held equity interests
Other








Total. (Column (b) should equal Form 990, Part X, col.(B) line 12.)

Part VIII

InvestmentsProgram Related. See Form 990, Part X, line 13.

(a) Description of investment type		(b) Book value	(c) Method of valuation: Cost or end-of-year market value









Total. (Column (b) should equal Form 990, Part X, col.(B) line 13.)

Part IX

Other Assets. See Form 990, Part X, line 15.

(a) Description				(b) Book value









Total. (Column (b) should equal Form 990, Part X, col.(B) line 15.)...........

Part X

Other Liabilities. See Form 990, Part X, line 25.

1.(a) Description of Liability		(b) Amount
Federal Income Taxes
Pension Plans		11,762,952
Advances for Student Loans		228,587
Estimated Third Party Settlements		12,825,299
Due to Related Parties		53,919
Capitalized Lease Obligation		4,823,161




Total. (Column (b) should equal Form 990, Part X, col.(B) line 25.)		29,693,918
2. Fin 48 (ASC 740) Footnote. In Part XIV, provide the text of the footnote to the organization's financial statements that reports the organization's liability for uncertain tax positions under FIN 48 (ASC740).

Schedule D (Form 990) 2010

Page 4

Part XI Reconciliation of Change in Net Assets from Form 990 to Financial Statements
1	Total revenue (Form 990, Part VIII, column (A), line 12) ....................	1	280,741,228
2	Total expenses (Form 990, Part IX, column (A), line 25) .....................	2	265,477,715
3	Excess or (deficit) for the year. Subtract line 2 from line 1 .............	3	15,263,513
4	Net unrealized gains (losses) on investments ..........................	4	12,114
5	Donated services and use of facilities .............................	5
6	Investment expenses ...................................	6
7	Prior period adjustments ..................................	7
8	Other (Describe in Part XIV) .................................	8	-679,293
9	Total adjustments (net). Add lines 4 - 8 .............................	9	-667,179
10	Excess or (deficit) for the year per financial statements. Combine lines 3 and 9 .........	10	14,596,334

Part XII Reconciliation of Revenue per Audited Financial Statements With Revenue per Return
1	Total revenue, gains, and other support per audited financial statements .......			1	280,690,127
2	Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a	Net unrealized gains on investments ..........	2a	12,114
b	Donated services and use of facilities .........	2b
c	Recoveries of prior year grants ...........	2c
d	Other (Describe in Part XIV): ............	2d	-63,215
e	Add lines 2a through 2d .....................			2e	-51,101
3	Subtract line 2e from line 1.....................			3	280,741,228
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 XIV): ...........	4b
c	Add lines 4a and 4b.......................			4c	0
5	Total Revenue. Add lines 3 and 4c. (This should equal Form 990, Part I, line 12.) ......			5	280,741,228

Part XIII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return
1	Total expenses and losses per audited financial statements .............			1	265,414,500
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 XIV): ............	2d
e	Add lines 2a through 2d......................			2e	0
3	Subtract line 2e from line 1.....................			3	265,414,500
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 XIV): ............	4b	63,215
c	Add lines 4a and 4b.......................			4c	63,215
5	Total expenses. Add lines 3 and 4c. (This should equal Form 990, Part I, line 18.) ......			5	265,477,715

Part XIV

Supplemental Information

Complete this part to provide the descriptions required for Part II, lines 3, 5, and 9; Part III, lines 1a and 4; Part lV, lines 1b and 2b;
Part V, line 4; Part X; Part XI, line 8; Part XII, lines 2d and 4b; and Part XIII, lines 2d and 4b. Also complete this part to provide any additional information.

Identifier	Return Reference	Explanation
Description of Uncertain Tax Positions Under FIN 48:	Part X:	MCO is organized as a North Dakota nonprofit corporation and has been recognized by the Internal Revenue Service as exempt from federal income taxes under Internal Revenue Code Section 501(c)(3). MCO undergoes an annual analysis of its various tax positions, assessing the likelihood of these positions being upheld upon examination with relevant tax authorities, as defined by generally accepted accounting principles. MCO believes they are compliant with all IRS tax regulations and as of December 31, 2010 and 2009 has not recorded liabilities for income taxes. MCO will recognize future accrued interest and penalties related to unrecognized tax liabilities in income tax expense if incurred. MCO is no longer subject to federal or state tax examinations by tax authorities for years before 2008.
Part XI, Line 8 - Other Adjustments:		Pension-related changes other than net periodic pension cost -611,793. Change in interest in net assets of Medcenter One Foundation -67,500.
Part XII, Line 2d - Other Adjustments:		Related party rental expenses recorded in revenues for financial statements -63,215.
Part XIII, Line 4b - Other Adjustments:		Related party rental expenses recorded in revenues for financial statements 63,215.

Schedule D (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE H
(Form 990)

Department of the Treasury
Internal Revenue Service

Hospitals

Complete if the organization answered "Yes" to Form 990, Part IV, question 20.
MediumBullet

Attach to Form 990. MediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization

Medcenter One Inc

Employer identification number

45-0226700

Part I

Charity Care and Certain Other Community Benefits at Cost

Yes

Does the organization have a charity care policy? If "No," skip to question 6a...........

Yes

If "Yes," is it a written policy? .......................

Yes

If the organization has multiple hospitals, indicate which of the following best describes application of the charity care policy to the various hospitals.

Applied uniformly to all hospitals Applied uniformly to most hospitals Generally tailored to individual hospitals

Answer the following based on the charity care eligibility criteria that applies to the largest number of the organization's patients.

Does the organization use Federal Poverty Guidelines (FPG) to determine eligibility for providing free care to low

income individuals? If "Yes," indicate which of the following is the FPG family income limit for eligibility for free care:

Yes

100% 150% 200% Other

Does the organization use FPG to determine eligibility for providing discounted care to low income individuals? If

"Yes," indicate which of the following is the family income limit for eligibility for discounted care: .....

Yes

200% 250% 300% 350% 400% Other 27500.0000000000 %

If the organization does not use FPG to determine eligibility, describe in Part VI the income based criteria for determining eligibility for free or discounted care. Include in the description whether the organization uses an asset test or other threshold, regardless of income, to determine eligibility for free or discounted care.

Does the organization's policy provide free or discounted care to the "medically indigent"? ......

Does the organization budget amounts for free or discounted care provided under its charity care policy? ...

Yes

If "Yes," did the organization's charity care expenses exceed the budgeted amount?.........

Yes

If "Yes" to line 5b, as a result of budget considerations, was the organization unable to provide free or discounted
care to a patient who was eligibile for free or discounted care?...............

Does the organization prepare an annual community benefit report?.............

If "Yes," does the organization make it available to the public? ..............

Complete the following table using the worksheets provided in the Schedule H instructions. Do not submit these worksheets with the Schedule H.

Charity Care and Certain Other Community Benefits at Cost

	(c) Total community benefit expense	(d) Direct offsetting revenue	(e) Net community benefit expense	(f) Percent of total expense
a Charity care at cost (from Worksheets 1 and 2) ..	5,301,966	0	5,301,966	2.050 %
b Unreimbursed Medicaid (from Worksheet 3, column a) .	20,644,120	20,482,118	162,002	0.060 %
c Unreimbursed costs—other means-tested government programs (from Worksheet 3, column b) ....
dTotal Charity Care and Means-Tested Government Programs .....	25,946,086	20,482,118	5,463,968	2.110 %
Other Benefits e Community health improvement services and community benefit operations (from (Worksheet 4) ....
f Health professions education (from Worksheet 5) ..	4,417,390	2,159,481	2,257,909	0.870 %
g Subsidized health services (from Worksheet 6) ..	19,062,815	16,673,547	2,389,268	0.920 %
h Research (from Worksheet 7)
i Cash and in-kind contributions to community groups (from Worksheet 8) ..	180,661	0	180,661	0.070 %
jTotal Other Benefits ...	23,660,866	18,833,028	4,827,838	1.860 %
kTotal. Add lines 7d and 7j. ..	49,606,952	39,315,146	10,291,806	3.970 %

For Privacy Act and Paperwork Reduction Act Notice, see the Instructions for Form 990. Cat. No. 50192T Schedule H (Form 990) 2010

Schedule H (Form 990) 2010

Page 2

Part II

Community Building Activities Complete this table if the organization conducted any community building activities.

		(c) Total community building expense	(e) Net community building expense	(f) Percent of total expense
1	Physical improvements and housing
2	Economic development
3	Community support	5,280	5,280	0 %
4	Environmental improvements
5	Leadership development and training for community members
6	Coalition building
7	Community health improvement advocacy	14,460	14,460	0.010 %
8	Workforce development
9	Other	42,500	42,500	0.020 %
10	Total	62,240	62,240	0.030 %

Part III

Bad Debt, Medicare, & Collection Practices

Section A. Bad Debt Expense

Yes

Does the organization report bad debt expense in accordance with Heathcare Financial Management Association Statement No. 15? ..........................

Enter the amount of the organization's bad debt expense (at cost).....

3,717,152

Enter the estimated amount of the organization's bad debt expense (at cost) attributable to patients eligible under the organization's charity care policy ..

557,573

Provide in Part VI the text of the footnote to the organization's financial statements that describes bad debt expense. In addition, describe the costing methodology used in determining the amounts reported on lines 2 and 3, and rationale for including a portion of bad debt amounts as community benefit.

Section B. Medicare

Enter total revenue received from Medicare (including DSH and IME).....

66,222,358

Enter Medicare allowable costs of care relating to payments on line 5.....

68,113,097

Subtract line 6 from line 5. This is the surplus or (shortfall)........

-1,890,739

Describe in Part VI the extent to which any shortfall reported in line 7 should be treated as community benefit.
Also describe in Part VI the costing methodology or source used to determine the amount reported on line 6.
Check the box that describes the method used:

Cost accounting system Cost to charge ratio Other

Section C. Collection Practices

Does the organization have a written debt collection policy? ...............

Yes

If "Yes," does the organization's collection policy contain provisions on the collection practices to be followed for patients who are known to qualify for charity care or financial assistance? Describe in Part VI......

Yes

Part IV

Management Companies and Joint Ventures

(a) Name of entity	(b) Description of primary activity of entity	(c) Organization's profit % or stock ownership %	(d) Officers, directors, trustees, or key employees' profit % or stock ownership%	(e) Physicians' profit % or stock ownership %
1
2
3
4
5
6
7
8
9
10
11
12
13

Schedule H (Form 990) 2010

Page 3

Part VFacility Information

Section A. Hospital Facilities (list in order of size, measured by total revenue per facility, from largest to smallest) How many hospital facilities did the organization operate during the tax year?1 Name and address		Other (Describe)
1	Medcenter One Inc 300 N 7th St Bismarck,ND58501	X	X	X	X	X

Schedule H (Form 990) 2010

Page 4

Part VFacility Information (continued)

Section B. Facility Policies and Practices.

(Complete a separate Section B for each of the hospital facilities listed in Part V, Section A)

Name of Hospital Facility:Not Required

Line Number of Hospital Facility (from Schedule H, Part V, Section A):1

				Yes	No
Community Health Needs Assessment (Lines 1 through 7 are optional for 2010)
1	During the tax year or any prior tax year, did the hospital facility conduct a community health needs assessment (“Needs Assessment”)? If “No,” skip to question 8. .....................		1
	If “Yes,” indicate what the Needs Assessment describes (check all that apply):
	a	A definition of the community served by the hospital facility
	b	Demographics of the community
	c	Existing health care facilities and resources within the community that are available to respond to the health needs of the community
	d	How data was obtained
	e	The health needs of the community
	f	Primary and chronic disease needs and other health issues of uninsured persons, low-income persons, and minority groups
	g	The process for identifying and prioritizing community health needs and services to meet those needs
	h	The process for consulting with persons representing the community’s interests
	i	Information gaps that limit the hospital facility’s ability to assess all of the community’s health needs
	j	Other (describe in Part VI)
2	Indicate the tax year the hospital facility last conducted a Needs Assessment: 20
3	In conducting its most recent Needs Assessment, did the hospital facility take into account input from persons who represent the community served by the hospital facility? If “Yes,” describe in Part VI how the hospital facility took into account input from persons who represent the community, and identify the persons the hospital facility consulted.		3
4	Was the hospital facility’s Needs Assessment conducted with one or more other hospital facilities? If “Yes,” list the other hospital facilities in Part VI............................		4
5	Did the hospital facility make its Needs Assessment widely available to the public? ...........		5
	If “Yes,” indicate how the Needs Assessment was made widely available (check all that apply):
	a	Hospital facility’s website
	b	Available upon request from the hospital facility
	c	Other (describe in Part VI)
6	If the hospital facility addressed needs identified in its most recently conducted Needs Assessment, indicate how (check all that apply):
	a	Adoption of an implementation strategy to address the health needs of the hospital facility’s community
	b	Execution of the implementation strategy
	c	Development of a community benefit plan for the facility
	d	Participation in community-wide community benefit plan
	e	Inclusion of a community benefit section in operational plans
	f	Adoption of a budget for provision of services that address the needs identified in the CHNA
	g	Prioritization of health needs in the community
	h	Prioritization of services that the hospital facility will undertake to meet health needs in its community
	i	Other (describe in Part VI)
7	Did the hospital facility address all of the needs identified in its most recently conducted Needs Assessment? If “No,” explain in Part VI which needs it has not addressed together with the reasons why it has not addressed such needs.		7
Financial Assistance Policy
	Did the hospital facility have in place during the tax year a written financial assistance policy that:
8	Explains eligibility criteria for financial assistance, and whether such assistance includes free or discounted care?		8
9	Used federal poverty guidelines (FPG) to determine eligibility for providing free care to low incomeindividuals?..		9
	If “Yes,” indicate the FPG family income limit for eligibility for free care: %

Schedule H (Form 990) 2010

Page 5

Part VFacility Information (continued)

				Yes	No
10	Used FPG to determine eligibility for providing discounted care to low income individuals?.........		10
	If “Yes,” indicate the FPG family income limit for eligibility for discounted care: %
11	Explained the basis for calculating amounts charged to patients?.................		11
	If “Yes,” indicate the factors used in determining such amounts (check all that apply):
	a	Income level
	b	Asset level
	c	Medical indigency
	d	Insurance status
	e	Uninsured discount
	f	Medicaid/Medicare
	g	State regulation
	h	Other (describe in Part VI)
12	Explained the method for applying for financial assistance?...................		12
13	Included measures to publicize the policy within the community served by the hospital facility?.......		13
	If “Yes,” indicate how the hospital facility publicized the policy (check all that apply):
	a	The policy was posted at all times on the hospital facility’s web site
	b	The policy was attached to all billing invoices
	c	The policy was posted in the hospital facility’s emergency rooms or waiting rooms
	d	The policy was posted in the hospital facility’s admissions offices
	e	The policy was provided, in writing, to patients upon admission to the hospital facility
	f	The policy was available upon request
	g	Other (describe in Part VI)
Billing and Collections
14	Did the hospital facility have in place during the tax year a separate billing and collections policy, or a written financial assistance policy that explained actions the hospital facility may take upon non-payment?........		14
15	Check all of the following collection actions against a patient that were permitted under the hospital facility's policies at any time during the tax year:
	a	Reporting to credit agency
	b	Lawsuits
	c	Liens on residences
	d	Body attachments or arrests
	e	Other (describe in Part VI)
16	Did the hospital facility engage in or authorize a third party to engage in any of the following collection actions during the tax year?...................................		16
	If “Yes,” check all collection actions in which the hospital facility or a third party engaged (check all that apply):
	a	Reporting to credit agency
	b	Lawsuits
	c	Liens on residences
	d	Body attachments
	e	Other (describe in Part VI)
17	Indicate which actions the hospital facility took before initiating any of the collection actions checked in question 16 (check all that apply):
	a	Notified patients of the financial assistance policy upon admission
	b	Notified patients of the financial assistance policy prior to discharge
	c	Notified patients of the financial assistance policy in communications with the patients regarding the patients’ bills
	d	Documented its determination of whether a patient who applied for financial assistance under the financial assistance policy qualified for financial assistance
	e	Other (describe in Part VI)

Schedule H (Form 990) 2010

Page 6

Part VFacility Information (continued)

Policy Relating to Emergency Medical Care
				Yes	No
18	Did the hospital facility have in place during the tax year a written policy relating to emergency medical care that requires the hospital facility to provide, without discrimination, care for emergency medical conditions to individuals regardless of their eligibility under the hospital facility’s financial assistance policy?..........		18
	If “No,” indicate the reasons why (check all that apply):
	a	The hospital facility did not provide care for any emergency medical conditions
	b	The hospital facility did not have a policy relating to emergency medical care
	c	The hospital facility limited who was eligible to receive care for emergency medical conditions (describe in Part VI)
	d	Other (describe in Part VI)
Charges for Medical Care
19	Indicate how the hospital facility determined the amounts generally billed to individuals who had insurance covering emergency or other medically necessary care (check all that apply):
	a	The hospital facility used the lowest negotiated commercial insurance rate for those services at the hospital facility
	b	The hospital facility used the average of the three lowest negotiated commercial insurance rates for those services at the hospital facility
	c	The hospital facility used the Medicare rate for those services
	d	Other (describe in Part VI)
20	Did the hospital facility charge any of its patients who were eligible for assistance under the hospital facility’s financial assistance policy, and to whom the hospital facility provided emergency or other medically necessary services, more than the amounts generally billed to individuals who had insurance covering such care?.........		20
	If “Yes,” explain in Part VI.
21	Did the hospital facility charge any of its patients an amount equal to the gross charge for services provided to that patient?...................................		21
	If “Yes,” explain in Part VI.

Schedule H (Form 990) 2010

Page 7

Part VFacility Information (continued)

Section C. Other Facilities That Are Not Licensed, Registered, or Similarly Recognized as a Hospital Facility (list in order of size, measured by total revenue per facility, from largest to smallest) How many non-hospital facilities did the organization operate during the tax year?20
Name and address		Type of Facility (Describe)
1	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
2	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
3	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
4	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
5	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
6	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
7	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
8	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
9	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
10	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
11	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
12	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
13	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
14	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
15	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
16	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
17	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
18	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
19	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic
20	MCO - Q&R Clinic 222 N 7th St Bismarck,ND58501	Provider-based clinic

Schedule H (Form 990) 2010

Page 8

Part VI

Supplemental Information

Complete this part to provide the following information.

1	Required descriptions. Provide the description required for Part I, lines 3c, 6a, and 7; Part II; Part III, lines 4, 8, and 9b; and Part V, Section B, lines 1j, 2, 4c, 6i, 7, 11i, 13i, 17l, 18l, 19e, 21d, 25, and 26.
2	Community health needs assessment. Describe how the organization assesses the health care needs of the communities it serves, in addition to any community health needs assessments reported in Part V, Section B.
3	Patient education of eligibility for assistance. Describe how the organization informs and educates patients and persons who may be billed for patient care about their eligibility for assistance under federal, state, or local government programs or under the organization’s financial assistance policy.
4	Community information. Describe the community the organization serves, taking into account the geographic area and demographic constituents it serves.
5	Promotion of community health. Provide any other information important to describing how the organization’s hospital facilities or other health care facilities further its exempt purpose by promoting the health of the community (e.g., open medical staff, community board, 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 the organization 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, files a community benefit report.

Identifier	ReturnReference	Explanation
		Part I, Line 3c: Medcenter One does use the FPG to help determine financial assistance eligibility if the information is available. However, if an application is not completed and the guarantor/patient has a recovery credit score of 500 or less with no available credit they may be eligible for a discount up to 100%. The recovery score is the measurement of the ability of the guarantor/patient's ability to repay current and past due balances.
		Part I, Line 7: Community health improvement services and community benefit operations as well as cash and in-kind contributions were determined using actual costs in the general ledger or specific detail in subledgers. Health professions education was determined using the medicare cost report total cost of these programs and offsetting reimbursement from the medicare cost report.The cost to charge ratio used for bad debt, charity care, and public programs was based on the ratio of operating costs for the clinic and hospital operations based on the 2010 audited financial statements divided by the gross patient charges posted during the year to our four patient account receivable systems for the hospital, clinic, home health, and occupational health. Operating costs were reduced by non-operating revenue and the community health improvement, community benefit operations, and health professional education costs reported above.The costs and net patient care revenues associated with subsidized health services were calculated based on a study of inpatient and outpatient (including clinic services) costs and reimbursements attributed to the performing or attending physician at the patient account level. Physicians and non-physician providers were categorized into service categories, i.e. infectious disease, based on their primary specialty area.Direct patient care costs for hospital inpatient and outpatient care were allocated to the physician based on separate cost to charge ratios for supply and non-supply charges on the patient account. Overhead costs were stepped down to the revenue producing departments based on the statistics used for the Medicare Cost Report.Direct patient care costs for physician clinic services are maintained in the physicians cost center in the general ledger. Departmental expenses were allocated to the individual physicians based on various statistics depending on the type of expense. Statistics used included clinic visits, work RVU's, malpractice RVU's, lines transcribed, FTE status, and salary expense. Overhead expenses were also allocated to the individual physicians based on these statistics.Offsetting inpatient and outpatient patient care revenue were those reimbursements for the account attributed to the attending physician. Offsetting professional reimbursements were those reimbursements for which the physician or non-physician provider was the billing provider.
		Part I, Line 7g: The organization included $5,854,558 of costs attributable to physician clinics as part of subsidized health services.
		Part I, L7 Col(f): Bad debt expense reported on Form 990, Part IX, Line 25, Column (A) of $6,535,460 was removed from the denominator prior to the calculation.
		Part II: COMMUNITY SUPPORT:Medcenter One operates the Dakota Children's Advocacy Center, which is a program that is committed to improving the response to child abuse. The Advocacy Center is a community partnership that utilizes a comprehensive multidisciplinary team approach to investigating child abuse. Professionals from social services, law enforcement, prosecution, victim advocacy and the medical and mental health communities come together under one roof, so that a child only has to tell of his or her abuse one time.Medcenter One staff members also participate on local violence prevention councils, promote and train community members in self-defense and work closely with local law enforcement to ensure victim rights. COALITION BUILDING:Medcenter One is active in the local Chamber of Commerce, North Dakota Chamber of Commerce, Bismarck-Mandan Development Association, YMCA, North Dakota Department of Health programs, University of North Dakota Medical School, local and statewide disaster and flu response planning, Bis-Man Transit and other health advisory councils.Medcenter One is the local Meals on Wheels provider and is active on its board of directors.Disaster readiness: Medcenter One takes disaster readiness very seriously and has responded to this call beyond what is required for licensure. Our staff actively participates in local, regional and statewide readiness planning and activities. In 2009, we made the following changes related to prospective disasters: * Provided man hours for emergency planning * Improved lockdown capabilities, enhanced security measures * Added disaster-related communication equipment * Purchased additional personal protective equipment (PPE) for stockpiles * Participated in community preparedness drills and exercises * Purchased medical, surgical and pharmaceutical supplies * Conducted specialized emergency training for staff * Volunteered storage space for statewide stockpiled suppliesCOMMUNITY HEALTH IMPROVEMENT ADVOCACY:Medcenter One works with the North Dakota Department of Health, North Dakota Rural Healthcare Association, North Dakota Nurses Association, North Dakota Medical Association and other North Dakota health advocacy groups to impact public policy to improve the health of the community. Medcenter One will also provide vouchers and financial assistance to low-income families for transportation and lodging expense to facilitate medical treatment and safe travel conditions home when necessary.Due to small operating margins, Medcenter One has limited reinvestment even in its own plant and equipment. The average age of plant for Medcenter One is 17.1 years as compared to 11.93 for North Dakota hospitals. This reduced margin has also limited financial support of community building activities over the last 10 years.OTHERMedcenter One is leasing land with a Fair Market Value of $768,000 to UND Family Practice Center (UND FPC). UND FPC is constructing, and will own, a building on the land. The lease is for 50 years with a total lease payment of $1.00. The land size is Lots 1-24 of Block 98, which equals 34,000 square feet. Using a comparative lease value for similar land in the the local Bismarck market the comparative lease value equaled $42,500 for the annual lease that Medcenter One is providing to UND FPC.
		Part III, Line 4: Medcenter One posts payments and discounts to individual patient accounts. For every patient account, a guarantor or finacially responsible party is determined. Accounts with the same guarantor are aggregated when determining bad debt expense.Worksheet 2 was used to determine line 2.To determine if the amount of bad debt expense that we reasonably believe would qualify as charity care if we had received the proper documentation, we performed the following calculation. For accounts sent to collection agency and therefore initially determined to be bad debt, we calculated the ratio of the collection agency's average collection recovery percentage and the number of accounts with payment arrangements and/or in legal compared to the total. Accounts without recovery or without payment arrangements we felt would have qualified for Community Care. For 2010 the percentage is 15%. This 15% was applied to line 2 to calculate line 3. The notes to the organization's audited financial statements state: "Management reviews patient receivables by payor class and applies percentages to determine estimated amounts that will not be collected from third parties under contractual agreements and amounts that will not be collected from patients due to bad debts. Management considers historical write off and recovery information in determining the estimated bad debt provision."
		Part III, Line 8: Medicare cost report step-down methodology resulting in cost to charge ratio applied to appropriate revenue codes.
		Part III, Line 9b: Statements for patient balances due are sent to patients on a monthly basis. If the individual contacts Medcenter One and provides information that they are eligible for charity care, the account balance is written off immediately and no further collection action is taken. If the account was already turned over to a third party collection agency, the agency is notified, the account is written off and no further collection action is taken. Patient contact and communication is recorded in the patient accounting system for customer account representatives and collection representatives to view and keep current.
		Part VI, Line 2: Medcenter One employs a variety of tools and vehicles to assess the healthcare needs of the communities it serves. Medcenter One's Board of Directors and Strategic Planning Committee continually review the organization's subsidized programs and the needs of the community. Information is gathered from Medcenter One data as well as external data sources including North Dakota Department of Health, North Dakota Department of Human Services, North Dakota Courts and Law Enforcement, North Dakota State Data Center, North Dakota Vital Statistics, North Dakota Center for Rural Health, United Way, United States Census Bureau and the Centers for Disease Control and Prevention. Data from each agency is used to determine the healthcare-related needs and changes in the community. Information from these various sources is compiled and shared with the Senior Management Team and the Strategic Planning Committee. The Senior Management Team reviews volume of services provided to determine if there are changes in volume that impact access. To ensure access to healthcare services that experience increased demand, Medcenter One strives to add new access points and increased staffing.
		Part VI, Line 3: The Medcenter One Community Care brochures are distributed at each Medcenter One registration desk including the emergency room registration area. Patients who may not have the ability to pay may also meet directly with a financial counselor to determine whether they will qualify for the charity care program. Additionally, financial counselors meet directly with patients during their in-patient stay to inform them of the charity care program. A recently added online credit scoring process to determine eligibility has allowed Medcenter One to better capture eligible charges that patients are unable to pay. Intake and financial staff also discuss the availability of various government benefits such as Medicaid, SCHIP and state high-risk insurance programs. Medcenter One contracts with an external agency to provide assistance for patients when completing eligibility form; this service helps low-income patients qualify for government medical aid programs which can otherwise be intimidating to patients.
		Part VI, Line 4: POPULATION SERVED: Medcenter One serves residents of central and western North Dakota. The service area is approximately 2/3 of the 68,976 square miles of the state's land mass. The service area includes 35 counties of which 28 have a frontier designation (less than 6 people per square mile). The population is 93 percent white and 7 percent Native American. The leading causes of death are heart disease and cancer. Native Americans experience health disparities especially related to diabetes, obesity and substance abuse. According to county-specific data available through the North Dakota Data Center, the population of Medcenter One's primary service area is expected to remain fairly stable through 2020. Recent oil industry growth, however, has altered predictions towards a trend of growth. The counties with the strongest oil development may see population jumps as great as 20 percent. Overall, the Medcenter One's service area may jump from the current 240,000 to as many as 300,000 by 2012. MIGRATION TO URBAN AREAS, LOSS OF POPULATION IN RURAL AREAS: Even though the total population of the Medcenter One service area is stable with pockets of growth, studies conducted by the US Census Bureau and the North Dakota Data Center show the population will continue to migrate from smaller communities toward the urban centers. This movement into Bismarck will further limit access to primary care and hospital services in rural/frontier areas in the future.AGE: Besides migration of the population, the North Dakota Data Center population estimates show an aging of the population of the service area. From 2005 to 2020, it is anticipated that the Medcenter One service area will see a decrease of 12 percent in the number of residents age zero to 64 and a 32 percent increase in those people 65 years of age and older. This shifting will have an impact on the healthcare needs of the population. It is anticipated that the types of services and the volume of services required by the population will change with the aging of the population in the Medcenter One service area.Elderly patients experience more healthcare issues and have statistically higher healthcare spending than other age categories. When age categories are compared in a relative spending grid, people ages 0-24 have a relative spending of 0.5, whereas, elderly aged 75 years and older have a relative spending of 5.5. So as a population ages, there is a statistically significant increase in the amount of healthcare services demanded, including intensive care services. RACE: Native Americans comprise 7 percent of the population of North Dakota, but Medcenter One has a higher percent of hospitalized patients from the Native American race than is seen in the general population. Because Native Americans experience health disparities, this race makes up 14.9 percent of Medcenter One's inpatient stays and 17.3 percent of all ICU admissions. SOCIO-ECONOMIC STATUS: The socioeconomic status of the service area residents is fairly stable but lower than the national median. According to information from National Council on State Legislatures (NCSL), it is estimated that 50.1 percent of North Dakota residents are at or below 300 percent FPL. According to the NCSL data specific to adults with incomes up to 133 percent FPL, 23 percent have employer coverage, 17 percent have individual coverage, 23 percent are on Medicaid, and 38 percent are uninsured. Single adults in North Dakota do not qualify for Medicaid unless they are elderly or disabled. The 2009 US Census indicates that the median income for a North Dakota household was $47,898 as compared to $50,221 median household income in the United States. The 2009 annual per capita income was $24,978; the national per capita income was $27,041. Statewide, it is estimated that 11.7 percent of persons are below the poverty level. Native Americans in the service area have higher unemployment and lower median incomes than those of their white counterparts. The socio-economic status of Native Americans further complicates their ability to access health services.PAYER MIX: The largest segment of Medcenter One's payer mix is Medicare with 40.9 percent, Blue Cross Blue Shield is at 34.1 percent and commercial and other governmental payers (Workforce Safety and Insurance, CHAMPUS-North Dakota high risk insurance program, and Public Health System) at 12.6 percent. Medicaid makes up 8.8 percent, and self-pay accounts for only 3.6 percent.PRESENCE OF FEDERALLY-DESIGNATATED UNDERSERVED AREAS:Most of the counties in Medcenter One's service area are designated as health professional shortage areas (HPSA) except parts of Morton and Burleigh counties, where the Medcenter One hub resides, and portions of Stutsman and Barnes counties. Primary care physicians are in short supply throughout the state; specialty care physicians including psychiatrists, urologists and neurologists are in short supply across the state including the communities with the state's largest healthcare systems. OTHER HOSPITALS:There is only one other level II trauma center that serves the same service area. Medcenter One and the other facility serve as tertiary care centers for 13 critical access hospitals in the service area.
		Part VI, Line 6: Medcenter One furthers its exempt status purpose by working to promote the health and well-being of the patients it serves. Medcenter One's broad-based, volunteer Board of Directors consists of 29 members. Membership includes 11 employees (the Medcenter One CEO and 10 physicians) and 18 community members who are not employed by Medcenter One. All 29 Board members reside in the Medcenter One service area. The board's size, diversity and geographic representation enable Medcenter One to say in touch with the needs of the vast service area. The volunteer board is also effective in monitoring the changing needs of the population and working to ensure that health needs are met. Medcenter One reinvests any profit back into the corporation, so Medcenter One can continue to provide the highest quality and broadest array of services available in western and central North Dakota.Safety net services provided by Medcenter One include: -Level II trauma services and emergency care-Neonatal intensive care unit-Only pediatric intensive care unit and oncology services in western North Dakota-Children's advocacy center-Home care/hospice-Kidney dialysis (3 sites)-Only kidney transplant program in western North Dakota-Mental Health - outpatient and inpatient-College of Nursing-Outpatient services in audiology and diabetes care-Rehabilitation services-Wound care servicesMany of the safety net services listed above need to be subsidized to continue their existence. Subsidized health services that are a substantial cost to Medcenter One include: nephrology/diabetes care center, mental health, trauma and critical care services, acute rehabilitation, infectious disease, and wound care.NURSING/NURSING STUDENTS:Medcenter One College of Nursing: Medcenter One was one of the first healthcare organizations in the country to operate a single purpose school. It has owned, operated and financially supported its own college of nursing since 1908. Medcenter One's College of Nursing is a fully accredited, upper-division institution awarding its graduates a four-year bachelor of science degree in nursing. Forty-three students graduated from the Medcenter One College of Nursing in spring 2010. The net cost of this program in 2010 was $1.5 million. OTHER HEALTH PROFESSION EDUCATION:Radiologic Technology Program subsidy: Medcenter One operates a School of Radiography. This program graduated four students in 2010. The net loss of this program is estimated at $74,634 in 2010. Professional healthcare training: Medcenter One supports medical education programs for pharmacists, radiologists and laboratory technicians. Medcenter One works in coordination with other state institutions to offer laboratory training for North Dakota students. In 2010, there was two phlebotomy student (technical) and seven students in the medical laboratory technologist program (2-year) from Bismarck State College and three medical technology students (4-year) from the University of North Dakota in Grand Forks. Medcenter One has 29 clinical affiliation agreements with ND colleges/universities and 27 agreements with out-of-state programs. During the 2009-2010 school term (August 2009 to July 2010), 289 students acquired increase knowledge and healthcare skills from staff on the Medcenter One campuses.Emergency medical services (EMS) education: Medcenter One EMS education is responsible for training emergency personnel from western and central North Dakota. Classes in CPR (certification and recertification), use of automatic external defibrillators (AED), first aid, pediatric first aid, advanced cardiac life support, pediatric advanced life support, American Heart Association instructor, first responder, emergency medical technician-basic/intermediate, paramedic, international trauma life support, nebulizer and EPI-pen training are offered. In 2010, 1,399 community participants were trained by Medcenter One EMS staff. Net cost of the program for 2010 community outreach was $68,288.COMMUNITY HEALTH IMPROVEMENT SERVICES, COMMUNITY BENEFIT OPERATIONS, DONATIONS/SPONSORSHIPS AND IN-KIND SUPPORTHealth information and screening programs are promoted through a monthly publication sent to 150,000 households within Medcenter One's community area. The publication includes a calendar that highlights health information and screening programs available for the coming month and feature stories that focus on new treatments available in our service area. Medcenter One also produces and distributes Trauma Times to service area emergency personnel and critical access hospital staff yearly. Health promotional events such as presentations, health fairs and educational events are offered on a regular basis. One program called Doc Talk features a free educational session for the general public led by a Medcenter One physician. Participants are encouraged to ask health questions following the presentation. In 2010, Medcenter One hosted 12 Doc Talks with a total of 439 community members in attendance. Other health educational events and classes highlight topics such as prepared childbirth, sibling adjustment, breastfeeding, infant massage and nurturing. Some of the classes charge a nominal fee for participation.Support groups: Medcenter One sponsors support groups with a donation of space and/or leadership. Medcenter One offers several support groups for patients and families dealing with Alzheimer's disease, cancer, diabetes, gastric bypass surgery, hepatitis, infant death, multiple sclerosis, sleep disturbances, prostate cancer and stroke and brain injury. Safety and prevention services: Staff within the trauma services department at Medcenter One work closely with the North Dakota Safety Council to provide two week-long educational camps for 5 and 6-year-old children in the Bismarck-Mandan area. Activities include games and songs that emphasize safety risks and appropriate responses, so that children understand how to maintain their safety in various environments. Children take turns driving pedal cars to learn traffic rules for drivers and walking across intersections to adopt safe practices for pedestrians. Playground and bike safety are also highlighted. Medcenter One provides instruction and materials on safety to each student. Other Trauma Services community outreach programs include:* Trauma services staff promote bike helmet use and conduct car seat safety checks in coordination with other local agencies. * Participate in a special program entitled Teen Maze that promotes safety with middle school children.* In 2010, Trauma Services began work on adult fall prevention programs. Western North Dakota has an above-average elderly population and so addressing critical health risks like falling down have become increasingly important. Women's Health Center: A medically sound fitness and exercise program where physical therapists provide free injury screenings and make recommendations for personal workout routines. Physical fitness and healthy lifestyles are promoted to women at every stage of their lives. Educational and promotional events are scheduled on a regular basis and the Center hosts the regional Breast Cancer Walk/Run event annually, which includes a multipurpose health fair. Parish Nurse Program: Parish nurses minister to the physical, spiritual and emotional needs of the congregation through health education, health screenings, making referrals, serving as a personal health counselor, offering flu shot clinics and visiting people who are homebound, hospitalized or in a nursing home. The parish nurses program partners with eight congregations that represent three denominations. Medcenter One provided $17,323 of support in 2010.Screenings include Well Baby Clinic, prostate cancer, hearing and athletic screenings throughout the year. The Well Baby Clinics are held weekly, and parents can bring their baby to be weighed and measured by a registered nurse who also answers any questions parents may have. Speech therapy partners with the Scottish Rite to provide free speech screening and therapy services to children with speech issues. Sponsorships and donations: In 2010, Medcenter One provided $10,825 of donations and sponsorships for community non-profit agencies.Additional in-kind support and services: In 2010, Medcenter One College of Nursing faculty and students spent 6,114 hours providing school and community nursing, presentations and health career information to elementary and junior high students providing in-kind services valued at $127,721.Statement continued on Sch H, Other Information...
		Part VI, Line 7: Medcenter One is a division of Medcenter One Health Systems. A complete continuum of care is provided under the Medcenter One Health Systems umbrella agency. Long-term care services, laboratory (including histocompatibility services for organ transplant surgery) and radiology services, a joint owned air ambulance service and laundry service, and a durable medical equipment service are a few of the supporting services provided by Medcenter One Health Systems. The living centers division provides care to long-term care residents who occupy 339 nursing home beds. The nursing homes operate at a 98% occupancy rate. The division also operates 77 assisted living apartments.Joint ownership of air ambulance and laundry services are cost-effective ways to support other Medcenter One operations. The laboratory and radiology services provide technical support to the physicians and patients served by Medcenter One and allow Medcenter One to be the only facility in western North Dakota that provides transplant services. Profits from the laboratory and radiology division support subsidized programs of Medcenter One.
	Sch H, Part VI, Line 5:	OTHER INFORMATIONcontinued from Sch H, Part VI, Line 5:Besides providing space for many support groups and community events, Medcenter One allows the local police and sheriff departments to use the Medcenter One security training facility and equipment for their training needs. In 2010, 610 hours of facility meeting and training space was provided to these groups. Medcenter One provides free food and beverages for many of the support groups and community meetings hosted at our facility as well as door prizes and other giveaways to promote non-profit and other fundraising activities.In-kind support includes the value of medical supplies that are donated to other non-profits, area ambulance and firefighting organizations and healthcare providers.

Schedule H (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

Schedule I
(Form 990)

Department of the Treasury
Internal Revenue Service

Grants and Other Assistance to Organizations,
Governments and Individuals in the United States

Complete if the organization answered "Yes," to Form 990, Part IV, line 21 or 22.
lBullet

Attach to Form 990

OMB No. 1545-0047

2010

Open to Public
Inspection

Name of the organization
Medcenter One Inc

Employer identification number
45-0226700

Part I

General Information on Grants and Assistance

Does the organization maintain records to substantiate the amount of the grants or assistance, the grantees' eligibility for the grants or assistance, and
the selection criteria used to award the grants or assistance? ....................................

Yes No

Describe in Part IV the organization's procedures for monitoring the use of grant funds in the United States.

Part II

Grants and Other Assistance to Governments and Organizations in the United States. Complete if the organization answered "Yes" to
Form 990, Part IV, line 21 for any recipient that received more than $5,000. Check this box if no one recipient received more than $5,000. Use
Part IV and Schedule I-1 (Form 990) if additional space is needed ......................... lBullet

(a) Name and address of organization or government	(b) EIN	(c) IRC Code section if applicable	(e) Amount of non-cash assistance	(f) Method of valuation (book, FMV, appraisal, other)	(g) Description of non-cash assistance	(h) Purpose of grant or assistance
(1) God's Child721 Memorial Highway Bismarck,ND58504	45-0459314	501(c)(3)	15,000	FMV	Medical supplies & scrubs	Overstock and nearing outdate, the supplies were donated to a charitable mission.
(2) Univeristy of North Dakota School of Medicine515 East Broadway Bismarck,ND58501	45-6002491	Government	6,400	FMV	Medical supplies & scrubs	Overstock and nearing outdate, the supplies were donated to the residency program.

Enter total number of section 501(c)(3) and government organizations ......................... Bullet Image

Enter total number of other organizations ................................ . Bullet Image

For Privacy Act and Paperwork Reduction Act Notice, see the Instructions for Form 990.

Cat. No. 50055P

Schedule I (Form 990) 2010

Page 2

Part III

Grants and Other Assistance to Individuals in the United States. Complete if the organization answered "Yes" to Form 990, Part IV, line 22.
Use Schedule I-1 (Form 990) if additional space is needed.

(a)Type of grant or assistance	(b)Number of recipients	(c)Amount of cash grant	(d)Amount of non-cash assistance	(e)Method of valuation (book, FMV, appraisal, other)	(f)Description of non-cash assistance

Part IV

Supplemental Information. Complete this part to provide the information required in Part I, line 2, and any other additional information.

Identifier	Return Reference	Explanation
Procedure for Monitoring Grants in the U.S.:	Part I, Line 2:	Schedule I, Part I, Line 2: The organization only makes charitable distributions to other 501(c)(3) organizations. Once funds are distributed no further monitoring is done.

Schedule I (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

Schedule J
(Form 990)

Department of the Treasury
Internal Revenue Service

Compensation Information

For certain Officers, Directors, Trustees, Key Employees, and Highest
Compensated Employees
SchJMediumBullet

Complete if the organization answered "Yes" to Form 990,
Part IV, question 23.
SchJMediumBullet

Attach to Form 990. SchJMediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization

Medcenter One Inc

Employer identification number

45-0226700

Part I

Questions Regarding Compensation

Yes

Check the appropiate box(es) if the organization provided any of the following to or for a person listed in Form
990, Part VII, Section A, line 1a. 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 Payments for business use of personal residence

Tax idemnification and gross-up payments Health or social club dues or initiation fees

Discretionary spending account Personal services (e.g., maid, chauffeur, chef)

If any of the boxes in line 1a are checked, did the organization follow a written policy regarding payment or reimbursement orprovision of all the expenses described above? If "No," complete Part III to explain....

Yes

Did the organization require substantiation prior to reimbursing or allowing expenses incurred by all
officers, directors, trustees, and the CEO/Executive Director, regarding the items checked in line 1a? ....

Yes

Indicate which, if any, of the following the organization uses to establish the compensation of the
organization's CEO/Executive Director. Check all that apply.

Compensation committee Written employment contract

Independent compensation consultant Compensation survey or study

Form 990 of other organizations Approval by the board or compensation committee

During the year, did any person listed in Form 990, Part VII, Section A, line 1a with respect to the filing organization or a related organization:

Receive a severance payment or change-of-control payment? ...............

Yes

Participate in, or receive payment from, a supplemental nonqualified retirement plan? ........

Participate in, or receive payment from, an equity-based compensation arrangement? ........

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) and 501(c)(4) organizations only must complete lines 5-9.

For persons listed in form 990, Part VII, Section A, line 1a, did the organization pay or accrue any
compensation contingent on the revenues of:

The organization? ...........................

Any related organization? .........................

If "Yes," to line 5a or 5b, describe in Part III.

For persons listed in form 990, Part VII, Section A, line 1a, did the organization pay or accrue any
compensation contingent on the net earnings of:

The organization? ...........................

Any related organization? .........................

If "Yes," to line 6a or 6b, describe in Part III.

For persons listed in Form 990, Part VII, Section A, line 1a, did the organization provide any non-fixed
payments not described in lines 5 and 6? If "Yes," describe in Part III ............

Yes

Were any amounts reported in Form 990, Part VII, paid or accured pursuant to a contract that was
subject to the initial contract exception described in Regs. section 53.4958-4(a)(3)? If "Yes," describe
in Part III .............................

If "Yes" to line 8, did the organization also follow the rebuttable presumption procedure described in Regulations section 53.4958-6(c)? .........................

For Privacy Act and Paperwork Reduction Act Notice, see the Intructions for Form 990

Cat. No. 50053T

Schedule J (Form 990) 2010

Page 2

Part II

Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees. Use Schedule J-1 if additional space needed.

For each individual whose compensation must be reported in Schedule J, report compensation from the organization on row (i) and from related organizations, described in the
instructions on row (ii). Do not list any individuals that are not listed on Form 990, Part VII.

Note. The sum of columns (B)(i)-(iii) must equal the applicable column (D) or column (E) amounts on Form 990, Part VII, line 1a.

(A) Name		(B) Breakdown of W-2 and/or 1099-MISC compensation			(C) Retirement and other deferred compensation	(D) Nontaxable benefits	(E) Total of columns (B)(i)-(D)	(F) Compensation reported in prior Form 990 or Form 990-EZ
(A) Name		(i) Base compensation	(ii) Bonus & incentive compensation	(iii) Other reportable compensation	(C) Retirement and other deferred compensation	(D) Nontaxable benefits	(E) Total of columns (B)(i)-(D)
(1) Dr Alan VanNorman	(i) (ii)	617,588 0	0 0	18,822 0	9,800 0	16,393 0	662,603 0	0 0
(2) Dr Craig Lambrecht	(i) (ii)	517,023 0	77,454 0	62,374 0	45,900 0	25,711 0	728,462 0	0 0
(3) Dr Biron Baker	(i) (ii)	178,546 0	238,075 0	6,810 0	9,800 0	17,475 0	450,706 0	0 0
(4) Dr Kimber Boyko	(i) (ii)	517,082 0	104,913 0	1,242 0	39,200 0	17,216 0	679,653 0	0 0
(5) Dr David Field	(i) (ii)	245,405 0	101,537 0	17,742 0	39,200 0	16,177 0	420,061 0	0 0
(6) Dr Kent Martin	(i) (ii)	239,074 0	38,766 0	9,894 0	39,200 0	20,730 0	347,664 0	0 0
(7) Dr David O'Regan	(i) (ii)	507,861 0	0 0	1,242 0	9,800 0	17,593 0	536,496 0	0 0
(8) Dr Mark Rodacker	(i) (ii)	385,110 0	70,406 0	810 0	9,800 0	15,006 0	481,132 0	0 0
(9) Dr Sean Russell	(i) (ii)	595,380 0	0 0	17,310 0	39,200 0	19,619 0	671,509 0	0 0
(10) Dr William Canham	(i) (ii)	490,238 0	0 0	20,064 0	9,800 0	19,822 0	539,924 0	0 0
(11) Dr David Pengilly	(i) (ii)	230,056 0	116,925 0	540 0	9,800 0	12,876 0	370,197 0	0 0
(12) Paul Morth	(i) (ii)	182,075 0	37,741 0	24,094 0	44,435 0	21,552 0	309,897 0	0 0
(13) Karen Paul	(i) (ii)	122,886 0	33,227 0	11,771 0	19,490 0	21,282 0	208,656 0	0 0
(14) John Miller	(i) (ii)	250,587 0	0 0	0 0	0 0	0 0	250,587 0	0 0
(15) Jan Kamphuis	(i) (ii)	182,313 0	37,282 0	25,328 0	8,442 0	17,894 0	271,259 0	0 0
(16) Scott Boehm	(i) (ii)	153,120 0	29,581 0	18,456 0	31,261 0	15,428 0	247,846 0	0 0
(17) Dr Anthony Tello	(i) (ii)	372,252 0	74,716 0	1,242 0	9,800 0	17,856 0	475,866 0	0 0
(18) Dr Douglas Berglund	(i) (ii)	849,178 0	172,278 0	17,742 0	39,200 0	15,623 0	1,094,021 0	0 0
(19) Dr William Cain	(i) (ii)	713,457 0	276,696 0	18,822 0	39,200 0	10,161 0	1,058,336 0	0 0
(20) Dr Matthew Iwamota	(i) (ii)	734,262 0	280,500 0	2,501 0	29,400 0	15,006 0	1,061,669 0	0 0
(21) Dr Michael McIntee	(i) (ii)	743,208 0	286,767 0	17,310 0	9,800 0	16,393 0	1,073,478 0	0 0
(22) Dr Tarek Dufan	(i) (ii)	417,592 0	1,013,521 0	10,486 0	29,400 0	14,144 0	1,485,143 0	0 0
(23) Claudia Eisenmann	(i) (ii)	194,799 0	40,281 0	5,852 0	8,056 0	9,039 0	258,027 0	0 0
(24) Evy Olson	(i) (ii)	107,220 0	23,900 0	9,926 0	4,861 0	15,536 0	161,443 0	0 0
(25) Pam Hopkins	(i) (ii)	93,842 0	21,561 0	15,464 0	14,791 0	10,236 0	155,894 0	0 0
(26) James Cooper	(i) (ii)	100,368 0	0 0	0 0	0 0	0 0	100,368 0	0 0

Schedule J (Form 990) 2010

Page 3

Part III

Supplemental Information

Complete this part to provide the information, explanation, or descriptions required for Part I, lines 1a, 1b, 4c, 5a, 5b, 6a, 6b, 7, and 8. Also complete this part for any additional information.

Identifier	Return Reference	Explanation
	Part I, Line 1a	Companion travel was provided for Craig Lambrecht's (CEO) wife. These amounts were reported as taxable income on his W-2.
	Part I, Line 4a	Claudia Eisenmann, key employee/Vice President, received severance compensation from April through the end of the year and into FY 2011. The amount of severance from April through December included $139,435 in compensation and $15,061 in benefits (including Social Security, Medicare, Health Insurance, and 401 (a) money purchase pension contributions).
	Part I, Line 7	Medcenter One, Inc. has a senior management incentive compensation plan. There are various payout levels, depending on where the bottom line is at, using the consolidated total margin percentage as the measurement. Actual payment is subject to recommendation by the CEO to the chairman of the board and may not be made even if minimum thresholds are met.
Supplemental Information	Part III	Part II: John Miller provides project management services to Medcenter One, Inc., but is compensated by an independent management company for those services.

Schedule J (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

Schedule L
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Transactions with Interested Persons

Complete if the organization answered
"Yes" on Form 990, Part IV, lines 25a, 25b, 26, 27, 28a, 28b, or 28c,
or Form 990-EZ, Part V lines 38a or 40b.
MediumBullet

Attach to Form 990 or Form 990-EZ. MediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization

Medcenter One Inc

Employer identification number

45-0226700

Part I

Excess Benefit Transactions (section 501(c)(3) and section 501 (c)(4) organizations only).
Complete if the organization 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) Description of transaction	(c) Corrected?
1(a) Name of disqualified person	(b) Description of transaction	Yes	No

Enter the amount of tax imposed on the organization managers or disqualified persons during the year under section 4958. ......................... Bullet Image

Enter the amount of tax, if any, on line 2, above, reimbursed by the organization ....... Bullet Image

Part II

Loans to and/or From Interested Persons.
Complete if the organization answered "Yes" on Form 990, Part IV, line 26, or Form 990-EZ, Part V, line 38a.

(a) Name of interested person and purpose	(b) Loan to or from the organization?		(c)Original principal amount	(d)Balance due	(e) In default?		(f) Approved by board or committee?		(g)Written agreement?
(a) Name of interested person and purpose	To	From	(c)Original principal amount	(d)Balance due	Yes	No	Yes	No	Yes	No






Total ............... $

Part III

Grants or Assistance Benefitting Interested Persons.
Complete if the organization answered "Yes" on Form 990, Part IV, line 27.

(a) Name of interested person	(b)Relationship between interested person and the organization	(c)Amount of grant or type of assistance
(1) John Miller II	Son of John Miller, Key Employee	18,000
(2) Jessica Miller	Daughter-in-law of John Miller, Key Employee	18,000
(3) Stephanie Miller	Daughter of John Miller, Key Employee	18,000

For Privacy Act and Paperwork Reduction Act Notice, see the
Instructions for Form 990 or 990-EZ.

Cat. No. 50056A

Schedule L (Form 990 or 990-EZ) 2010

Page 2

Part IV

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 interested person and the organization	(c) Amount of transaction	(d) Description of transaction	(e) Sharing of organization's revenues?
(a) Name of interested person		(c) Amount of transaction	(d) Description of transaction	Yes	No
(1) Associated Land Development	Partnership of which a board member has more than a 5% ownership	290,740	MCO, Inc. leases property for Bismarck South Clinic from Associated Land Development of which Mr. Ternes is a 33 1/3% owner.		No
(2) Information Technologies Inc	Entity owned more than 35% by a key employee	617,565	Mr. Miller is owner of Information Technologies Inc. which is contracted by Medcenter One to provide the CIO and other information services employees and expertise.		No
(3) Kimberly A VanNorman	Family of board member - Alan VanNorman	23,335	Employment Compensation		No
(4) Megan J Suchy	Family of officer - Paul Morth	50,252	Employment Compensation		No
(5) Brenda Miller	Wife of officer - John Miller	385,999	Employment Compensation		No
(6) Susan K Boehm	Wife of key employee - Scott Boehm	37,862	Employment Compensation		No
(7) John Durick	Brother of key employee - Patrick Durick	97,893	Employee Compensation		No
(8) Cheryl Page	Family of board member - Robert Schulty	58,944	Employee Compensation		No
(9) Lisa Clairmont	Daughter of board member - Irene Wentz	71,674	Employee Compensation		No
(10) Allison Sadowski	Family of key employee - Anthony Telo	39,997	Employee Compensation		No
(11) John Miller II	Son of key employee - John Miller	36,821	Contracted physician services		No
(12) Laura Boehm	Family of key employee - Scott Boehm	12,454	Employee Compensation		No

Part V

Supplemental Information

Complete this part to provide additional information for responses to questions on Schedule L (see instructions).

Identifier	Return Reference	Explanation

Schedule L (Form 990 or 990-EZ) 2010

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE O
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Supplemental Information to Form 990 or 990-EZ

Complete to provide information for responses to specific questions on
Form 990 or to provide any additional information.
MediumBullet

Attach to Form 990 or 990-EZ.

OMB No. 1545-0047

2010

Open to Public
Inspection

Name of the organization

Medcenter One Inc

Employer identification number

45-0226700

Identifier	Return Reference	Explanation
Changes in Program Services	Form 990, Part III, line 3	Medcenter One's charity program enrollment was altered to capture a greater percentage of eligible charges. In addition to the written application process, Medcenter One added an online credit checking program which streamlines the Charity Care process for qualified patients' unpaid charges. The net result was a 55% increase in charity care ($9.3 million in 2010 versus $6 million in 2009) based on charges foregone.
Form 990, Part VI, Section A, line 1		The Hospital has an Executive Committee that can make a decision on the Board of Directors behalf in an emergency. The Executive Committee consists of the Chair, Vice Chair, Secretary/Treasurer, CEO, and eight board members.
Form 990, Part VI, Section A, line 3		Project management services are provided by John Miller, who is compensated by an independent management company for those services.
Form 990, Part VI, Section A, line 6		The sole member of the organization is Medcenter One Health Systems.
Form 990, Part VI, Section A, line 7a		The sole member, Medcenter One Health Systems, has the powers and rights to fix the number of, elect, appoint, fill vacancies in and remove, with or without cause, the directors of the corporation; and elect, appoint, and remove the chair of the Board of Directors of the corporation.
Form 990, Part VI, Section A, line 7b		The member, Medcenter One Health Systems, approves all governing decisions of the board.
Form 990, Part VI, Section B, line 11		The draft Form 990 is reviewed by the CFO and Controller. A high-level overview of the return activity was presented to the Executive Committee. Comments and questions are addressed and the final draft is available for the Board in the administration office for review prior to the filing date. However, occasionally the timing of the filing deadline and finalizing the draft does not allow appropriate time for presentation to the governing body before the filing. The finance committee and board members will be notified of a filed copy to review in administration. If requests are made for changes an amended return will be sent. The Board was given a presentation regarding the current Form 990 by an Eide Bailly representative and our CFO.
	Form 990, Part VI, Section B, line 12c	Annually a letter is distributed explaining our conflict of interest policy with examples of what may be considered a conflict of interest. Officers, directors or trustees, and key employees are asked to complete a survey which would disclose any conflicts. These surveys are to be signed and returned to the finance department. Any individuals who do not return the survey in a reasonable time are contacted again to return the survey. Officers and directors with a conflict of interest are asked to remove themselves from applicable discussions and voting.
	Form 990, Part VI, Section B, line 15	The CEO's compensation is determined by the board's Executive Committee. They receive input on salary survey information which is documented in the minutes of the Executive Committee. Any adjustment that the Board determines is then documented on an internal compensation change form in which the Chairman of the Board signs off. Compensation consultants are used once a year for the CEO, VP's and Medical Director. This process is done on an annual basis. Compensation for other officers and key employees (non-physicians) is based on salary survey information. The CEO makes a recommendation to the Chairman of the Board and the Chairman approves and signs off. A Bonus system is in place and is approved by the Executive Committee. This process is done on an annual basis. Compensation of top highly compensated employees, who are physicians, is determined by a compensation committee that considers compensation plans and uses guidelines from the Executive Committee. The Board votes on the compensation plans (minus the physicians on the board). Legal counsel also reviews compliance with board guidelines and reasonable market rates. The last full review was completed four years ago. In 2010 a consultant was hired to do a fair market value comparison. Medcenter One is currently waiting to receive the final report on that assessment.
	Form 990, Part VI, Section C, line 19	Documents are not available for public disclosure; however the financial statements will become part of the documents available at GuideStar.org.
Changes in Net Assets or Fund Balances:	Form 990, Part XI, line 5:	Net unrealized gains on investments: 12,114. Pension-related changes other than net periodic pension cost -611,793. Change in interest in net assets of Medcenter One Foundation -67,500. Total to Form 990, Part XI, Line 5: -667,179.
	Form 990, Page 7, Part VIII, Column B:	Hours reported on Part VII are for services performed for the organization. The following individuals also devoted time to Mecenter One Living Centers (MCOLC), Medcenter One Foundation (FDTN), and Medcenter One Health System (SYSTEM). Approximate number of hours per week devoted to each entity are as follows: MCOLC FDTN SYSTEM Total Patrick Durick 1.0 0.0 1.0 2.0 Dr. Alan VanNorman 0.0 0.0 1.0 1.0 Gerald Willer 0.0 0.0 1.0 1.0 Dr. Craig Lambrecht 0.0 1.0 1.0 2.0 Dr. Biron Baker 0.0 0.0 1.0 1.0 Wes Engbrecht 0.0 0.0 1.0 1.0 Claire Anne Holmberg 0.0 0.0 1.0 1.0 Ellen Huber 0.0 0.0 1.0 1.0 Lowell Jensen 0.0 0.0 1.0 1.0 George Keiser 1.0 0.0 1.0 2.0 James Laducer 0.0 0.0 1.0 1.0 Sister Paula Larson 0.0 0.0 1.0 1.0 Susan Lundberg 1.0 0.0 1.0 2.0 Dr. Kimber Boyko 0.0 0.0 1.0 1.0 Dr. David Field 0.0 0.0 1.0 1.0 Dr. Sean Russell 0.0 0.0 1.0 1.0 Dr. Mark Rodacker 0.0 0.0 1.0 1.0 Robert Schulte 0.0 0.0 1.0 1.0 Dr. Larry Skogen 0.0 0.0 1.0 1.0 Richard Hedahl 0.0 0.0 1.0 1.0 Niles Hushka 0.0 0.0 1.0 1.0 Duwayne Ternes 0.0 0.0 1.0 1.0 Jim Volk 0.0 0.0 1.0 1.0 Jim Wheeler 0.0 0.0 1.0 1.0 Dr. Kent Martin 0.0 0.0 1.0 1.0 Dr. David O'Regan 0.0 0.0 1.0 1.0 Dr. David Pengilly 0.0 0.0 1.0 1.0 Irene Wentz 0.0 0.0 1.0 1.0 Dr. William Canham 0.0 0.0 1.0 1.0 Paul Morth 0.0 1.0 1.0 2.0

For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.

Cat. No. 51056K

Schedule O (Form 990 or 990-EZ) 2010

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE R
(Form 990)

Department of the Treasury
Internal Revenue Service

Related Organizations and Unrelated Partnerships

Complete if the organization answered "Yes" to Form 990, Part IV, line 33, 34, 35, 36, or 37.
MediumBullet

Attach to Form 990. MediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization

Medcenter One Inc

Employer identification number

45-0226700

Part I

Identification of Disregarded Entities (Complete if the organization answered "Yes" on Form 990, Part IV, line 33.)

(a) Name, address, and EIN of disregarded entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Total income	(e) End-of-year assets	(f) Direct controlling entity
(1) Medequip One LLC 300 North 7th Street Bismarck,ND58501 45-0452639	Provide durable medical equipment to patients	ND	4,062,424	3,184,822	Medcenter One Health Systems

Part II

Identification of Related Tax-Exempt Organizations (Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related tax-exempt organizations during the tax year.)

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or 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 organization
(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Exempt Code section	(e) Public charity status (if section 501(c)(3))	(f) Direct controlling entity	Yes	No
(1) Medcenter One Health Systems 300 North 7th Street Bismarck,ND58501 45-0397195	Promotion of Health	ND	501(c)(3)	3	N/A		No
(2) Medcenter One Foundation 300 North 7th Street Bismarck,ND58501 45-0397196	Promotion of Health Through Fundraising	ND	501(c)(3)	7	Medcenter One Health Systems		No
(3) Medcenter One Living Centers 1000 18th ST NW Suite 1 Mandan,ND58554 45-0416454	Long-term Care Facility	ND	501(c)(3)	9	Medcenter One Health Systems		No
(4) Bismarck Cancer Center 500 North 8th Street Bismarck,ND58501 45-0454363	Theraputic Radiation Treatment of Cancer and Other Diseases	ND	501(c)(3)	9	Medcenter One Health Systems		No
(5) Central Dakota Hospital Laundry 1300 Industrial Drive Bismarck,ND58501 45-0317366	Laundry Service Cooperative	ND	501(e)		Medcenter One Health Systems		No

For Privacy Act and Paperwork Reduction Act Notice, see the Instructions for Form 990.

Cat. No. 50135Y

Schedule R (Form 990) 2010

Page 2

Part III

Identification of Related Organizations Taxable as a Partnership (Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related organizations treated as a partnership during the tax year.)

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(f) Share of total income	(g) Share of end-of-year assets	(h) Disproprtionate allocations?		(i) Code VUBI amount in box 20 of Schedule K-1 (Form 1065)	(j) General or managing partner?
(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(f) Share of total income	(g) Share of end-of-year assets	Yes	No	(i) Code VUBI amount in box 20 of Schedule K-1 (Form 1065)	Yes	No
(1) Bismarck Air Medical 2940 N 19TH ST Bismarck,ND58503 72-1538378	Air ambulance service	ND	N/A

Part IV

Identification of Related Organizations Taxable as a Corporation or Trust (Complete if the organization answered "Yes" on Form 990, Part IV, line 34 because it had one or more related organizations treated as a corporation or trust during the tax year.)

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(e) Type of entity (C corp, S corp, or trust)
(1) Medcenter One Affiliated Services Inc 300 North 7th Street Bismarck,ND58501 45-0403146	investment activity	ND	N/A	C

Schedule R (Form 990) 2010

Page 3

Part V

Transactions With Related Organizations (Complete if the organization answered "Yes" on Form 990, Part IV, line 34, 35, 35A, or 36.)

Note. Complete line 1 if any entity is listed in Parts II, III or IV.

Yes

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 (iv) rent from a controlled entity . . . . . . . . . . . . . . . . . . . . . . .

b Gift, grant, or capital contribution to other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

c Gift, grant, or capital contribution from other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Yes

d Loans or loan guarantees to or for other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

e Loans or loan guarantees by other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

f Sale of assets to other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Yes

g Purchase of assets from other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

h Exchange of assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

i Lease of facilities, equipment, or other assets to other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . .

j Lease of facilities, equipment, or other assets from other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . .

Yes

k Performance of services or membership or fundraising solicitations for other organization(s) . . . . . . . . . . . . . . . . . . . . . .

Yes

l Performance of services or membership or fundraising solicitations by other organization(s) . . . . . . . . . . . . . . . . . . . . . .

Yes

m Sharing of facilities, equipment, mailing lists, or other assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

n Sharing of paid employees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Yes

o Reimbursement paid to other organization for expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

p Reimbursement paid by other organization for expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

q Other transfer of cash or property to other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Yes

r Other transfer of cash or property from other organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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 other organization	(b) Transaction type(a-r)	(c) Amount involved	(d) Method of determining amount involved
(1)
(2)
(3)
(4)
(5)
(6)

Schedule R (Form 990) 2010

Page 4

Part VI

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 gross revenue) 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 or foreign country)	(d) Are all partners section 501(c)(3) organizations?		(e) Share of end-of-year assets	(f) Disproprtionate allocations?		(g) Code VUBI amount in box 20 of Schedule K-1 (Form 1065)	(h) General or managing partner?
(a) Name, address, and EIN of entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	Yes	No	(e) Share of end-of-year assets	Yes	No	(g) Code VUBI amount in box 20 of Schedule K-1 (Form 1065)	Yes	No

Schedule R (Form 990) 2010

Page 5

Part VII

Supplemental Information

Complete this part to provide additional information for responses to questions on Schedule R (see instructions).

Identifier	Return Reference	Explanation

Additional Data

Software ID:
Software Version:

1	Briefly describe the organization’s mission or most significant activities: Committed to caring-one life at a time.
2	Check this box
3	Number of voting members of the governing body (Part VI, line 1a) ....	3	29
4	Number of independent voting members of the governing body (Part VI, line 1b) ....	4	13
5	Total number of individuals employed in calendar year 2010 (Part V, line 2a) ...	5	2,933
6	Total number of volunteers (estimate if necessary) ....	6	200
7a	Total unrelated business revenue from Part VIII, column (C), line 12 ..	7a	1,175,586
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 1h) .........	610,506	1,945,656
9	Program service revenue (Part VIII, line 2g) .........	265,080,664	278,162,119
10	Investment income (Part VIII, column (A), lines 3, 4, and 7d ) ....	472,360	481,269
11	Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)	126,083	152,184
12	Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)...................	266,289,613	280,741,228
13	Grants and similar amounts paid (Part IX, column (A), lines 1–3 )...	34,065	21,400
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), lines 5–10)	157,141,473	165,107,106
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, 11f–24f)....	93,018,916	100,349,209
18	Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25)	250,194,454	265,477,715
19	Revenue less expenses. Subtract line 18 from line 12......	16,095,159	15,263,513
		Beginning of Current Year	End of Year
20	Total assets (Part X, line 16)............	145,484,027	165,804,928
21	Total liabilities (Part X, line 26)............	79,956,617	85,681,184
22	Net assets or fund balances. Subtract line 21 from line 20 .....	65,527,410	80,123,744

Sign Here

	Signature of officer	Date

	Type or print name and title.

Paid Preparer's Use Only	Preparer's signature	Date	Check if self- employed	Preparer’s taxpayer identification number (see instructions)
	Firm’s name (or yours if self-employed), address, and ZIP + 4			EIN
				Phone no.


4a	(Code: ) (Expenses $ 212,046,296 including grants of $ 21,400 ) (Revenue $ 284,267,788 )
	INTEGRATED HEALTHCARE SYSTEMMedcenter One is a fully integrated healthcare system that consists of six primary care clinics covering western and central North Dakota; a home health/hospice agency, in- and out-patient rehabilitation services, sub-acute hospital, in- and out-patient psychiatric services, two urgent care clinics, three kidney dialysis centers, a MRI center, a women's heath/fitness center, a multi-specialty clinic, a college of nursing and a hospital.The Medcenter One main campus is located in Bismarck, N.D. with additional clinics in Bismarck, Dickinson, Jamestown and Mandan, N.D. Medcenter One is committed to providing professional and personal healthcare. We focus on the relationship between the physician and the patient: the one-to-one relationship that is central to our philosophy of healthcare delivery and mission: Committed to caring--one life at a time. Medcenter One includes a 210-bed hospital, 22-skilled nursing beds, and primary and physician multi-specialty clinic. Medcenter One has 380 credentialed providers including 244 physicians. In 2010, Medcenter One had 10,143 hospital admissions, 717 births, 24,843 emergency department visits, and 391,983 total outpatient visits.

4b	(Code: ) (Expenses $ 6,535,460 including grants of $ ) (Revenue $ -9,320,079 )
	CHARITY CARE AND CARE UNDER PUBLIC INSURANCE PROGRAMSCHARITY CARE:Medcenter One's Community Care brochures are available at each registration desk including the emergency room registration area. Patients who may not have the ability to pay can also meet directly with a financial counselor to determine whether they will qualify for the charity care program. Medcenter One's charity care policy allows patients at 200% FPL to receive free care and patients up to 275% FPL are eligible for discounted care. Financial counselors also meet directly with patients during their in-patient stay to inform them of the charity care program. The program is highlighted on the Medcenter One website.In 2010, Medcenter One provided $9,320,079 in charity care (charges foregone). Medcenter One also provided care to patients who did not pay their bill. In 2010, Medcenter One provided $6,535,460 of care in bad debt. It is estimated that 15% of the care provided was to patients who would have been eligible under the organization's charity care policy .

4c	(Code: ) (Expenses $ 3,232,334 including grants of $ ) (Revenue $ 2,038,824 )
	EDUCATION:Medcenter One provides learning environments and financial support for many programs that train healthcare professionals and ensure adequate workforce for our community in the future.PHYSICIAN/MEDICAL STUDENTS:Medcenter One contracted a total of $508,261 to the University of North Dakota School of Medicine at Bismarck.Stipend agreements with physician residents: Physician stipends are offered to individuals who have completed medical school, declared a specialty and have committed to working for Medcenter One following their residency or fellowship experiences. In 2010, $422,700 was paid to physician residents to further their education as part of this program.

4d	Other program services. (Describe in Schedule O.)
	(Expenses $ including grants of $ ) (Revenue $ )
4e	Total program service expenses$ 221,814,090

1b	Sub-Total................
c	Total from continuation sheets to Part VII, Section A....
d	Total (add lines 1b and 1c)............	13,152,493	0	866,999

				(A) Total revenue	(B) Related or exempt function revenue	(C) Unrelated business revenue	(D) Revenue excluded from tax under sections 512, 513, or 514
1a	Federated campaigns..1a
b	Membership dues....1b
c	Fundraising events....1c
d	Related organizations...1d		648,663
e	Government grants (contributions)1e		60,020

f	All other contributions, gifts, grants, and similar amounts not included above1f		1,236,973
g	Noncash contributions included in lines 1a-1f:$
h	Total. Add lines 1a-1f.......			1,945,656
			Business Code
2a	Net Patient Service Re		621,400	264,878,459	264,878,459
b	Pharmacy Sales		446,110	9,631,358	9,433,666	197,692
c	Reference Lab		621,500	824,741		824,741
d	Purchase Discounts		621,400	733,859	733,859
e	Cafeteria Revenue		722,320	709,177	606,556	102,621
f	All other program service revenue .			1,384,525	1,333,993	50,532
g	Total. Add lines 2a–2f........			278,162,119
3	Investment income (including dividends, interest
	and other similar amounts).....			456,214			456,214
4	Income from investment of tax-exempt bond proceeds..
5	Royalties............
		(i) Real	(ii) Personal
6a	Gross Rents	160,237
b	Less: rental expenses	8,053
c	Rental income or (loss)	152,184
d	Net rental income or (loss).......			152,184			152,184
		(i) Securities	(ii) Other
7a	Gross amount from sales of assets other than inventory		29,800
b	Less: cost or other basis and sales expenses		4,745
c	Gain or (loss)		25,055
d	Net gain or (loss)..........			25,055			25,055
8a	Gross income from fundraising events (not including $ of contributions reported on line 1c). See Part IV, line 18 ...
	a
b	Less: direct expenses ...b
c	Net income or (loss) from fundraising events..
9a	Gross income from gaming activities. See Part IV, line 19 ...
	a
b	Less: direct expenses ...b
c	Net income or (loss) from gaming activities...
10a	Gross sales of inventory, less returns and allowances .
	a
b	Less: cost of goods sold ..b
c	Net income or (loss) from sales of inventory..
Miscellaneous Revenue			Business Code
11a
b
c
d	All other revenue ....
e	Total. Add lines 11a–11d ......
12	Total revenue. See Instructions....			280,741,228	276,986,533	1,175,586	633,453


				(A) Beginning of year		(B) End of year
1	Cashnon-interest-bearing ..........				1
2	Savings and temporary cash investments .......			40,239,311	2	48,330,920
3	Pledges and grants receivable, net .........				3
4	Accounts receivable, net .........			35,786,460	4	36,934,689
5	Receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of
	Schedule L ..........				5
6	Receivables from other disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B). Complete Part II of
	Schedule L ..........				6
7	Notes and loans receivable, net .............				7
8	Inventories for sale or use ..............			4,358,208	8	4,582,145
9	Prepaid expenses and deferred charges ............			1,576,004	9	1,697,942
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	165,507,309
b	Less: accumulated depreciation. .....	10b	108,618,292	46,655,489	10c	56,889,017
11	Investments—publicly traded securities ..........			11,853,165	11	11,719,996
12	Investments—other securities. See Part IV, line 11 ......				12
13	Investments—program-related. See Part IV, line 11 ..			2,850,143	13	3,007,761
14	Intangible assets .........				14
15	Other assets. See Part IV, line 11 ...........			2,165,247	15	2,642,458
16	Total assets. Add lines 1 through 15 (must equal line 34)...			145,484,027	16	165,804,928
17	Accounts payable and accrued expenses .			28,877,540	17	31,385,217
18	Grants payable ..........				18
19	Deferred revenue ..........				19	704,746
20	Tax-exempt bond liabilities ..........			21,149,826	20	16,748,072
21	Escrow or custodial account liability. Complete Part IV of Schedule D..				21
22	Payables to current and former officers, directors, trustees, key employees, highest compensated employees, and disqualified
	persons. Complete Part II of Schedule L..........				22
23	Secured mortgages and notes payable to unrelated third parties ..			545,546	23	446,666
24	Unsecured notes and loans payable to unrelated third parties ....			992,000	24	6,702,565
25	Other liabilities. Complete Part X of Schedule D.....			28,391,705	25	29,693,918
26	Total liabilities. Add lines 17 through 25.....			79,956,617	26	85,681,184
	Organizations that follow SFAS 117, check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets .....			64,039,801	27	78,703,635
28	Temporarily restricted net assets .....			1,487,609	28	1,420,109
29	Permanently restricted net assets .....				29
	Organizations that do not follow SFAS 117, check here and complete lines 30 through 34.
30	Capital stock or trust principal, or current funds .....				30
31	Paid-in or capital surplus, or land, building or equipment fund .....				31
32	Retained earnings, endowment, accumulated income, or other funds				32
33	Total net assets or fund balances .....			65,527,410	33	80,123,744
34	Total liabilities and net assets/fund balances .....			145,484,027	34	165,804,928