TY 2010 Form 990

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	6,667,048	6,667,048
2	Grants and other assistance to individuals in the U.S. See Part IV, line 22	18,600	18,600
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 ....	7,821,002	837,426	6,983,576
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	381,729,382	323,636,126	58,093,256
8	Pension plan contributions (include section 401(k) and section 403(b) employer contributions) ....	19,382,651	15,031,691	4,350,960
9	Other employee benefits .......	67,217,489	63,446,230	3,771,259
10	Payroll taxes ...........	27,353,663	23,195,962	4,157,701
11	Fees for services (non-employees):
a	Management ......
b	Legal .........	5,744,849		5,744,849
c	Accounting ...........	572,446		572,446
d	Lobbying ...........	427,803		427,803
e	Professional fundraising. See Part IV, line 17..
f	Investment management fees ......	7,995,660		7,995,660
g	Other ..........	60,668,191	49,261,691	11,406,500
12	Advertising and promotion ....	8,698,795	2,576,965	6,121,830
13	Office expenses .......	25,786,932	18,512,483	7,274,449
14	Information technology ......	18,736,803	193,730	18,543,073
15	Royalties ..
16	Occupancy ...........	21,556,399	20,493,545	1,062,854
17	Travel ............	1,684,472	980,408	704,064
18	Payments of travel or entertainment expenses for any federal, state, or local public officials ......
19	Conferences, conventions, and meetings ....	363,241	29,417	333,824
20	Interest ...........	21,495,508		21,495,508
21	Payments to affiliates .......
22	Depreciation, depletion, and amortization .....	85,067,344	58,638,302	26,429,042
23	Insurance ..............	16,070,262		16,070,262
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	Medical Supplies	248,080,564	247,835,044	245,520
b	Prof. Services (Net)	77,802,117	77,802,117
c	Bad Debt Expense	34,693,838	34,693,838
d	Property Taxes	1,031,568	31,192	1,000,376
e
f	All other expenses	1,627,407		1,627,407
25	Total functional expenses. Add lines 1 through 24f	1,148,294,034	943,881,815	204,412,219	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 ..........	14,192,530	1	43,977,213
2	Savings and temporary cash investments .......		2
3	Pledges and grants receivable, net .........		3
4	Accounts receivable, net .........	167,343,738	4	163,566,566
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 .............	989,141	7
8	Inventories for sale or use ..............	18,198,026	8	18,686,352
9	Prepaid expenses and deferred charges ............	32,971,915	9	33,500,214
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	2,022,745,169
b	Less: accumulated depreciation. .....	10b	988,412,844	643,521,344	10c	1,034,332,325
11	Investments—publicly traded securities ..........	2,595,805,534	11	2,602,818,008
12	Investments—other securities. See Part IV, line 11 ......		12
13	Investments—program-related. See Part IV, line 11 ..		13
14	Intangible assets .........	17,999,567	14	17,999,567
15	Other assets. See Part IV, line 11 ...........	1,126,037,951	15	957,072,851
16	Total assets. Add lines 1 through 15 (must equal line 34)...	4,617,059,746	16	4,871,953,096
	17	Accounts payable and accrued expenses .	229,550,476	17	231,584,311
18	Grants payable ..........		18
19	Deferred revenue ..........		19
20	Tax-exempt bond liabilities ..........	1,746,024,401	20	1,741,831,967
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 ..		23
24	Unsecured notes and loans payable to unrelated third parties ....		24
25	Other liabilities. Complete Part X of Schedule D.....	67,119,135	25	65,570,160
26	Total liabilities. Add lines 17 through 25.....	2,042,694,012	26	2,038,986,438
		Organizations that follow SFAS 117, check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets .....	2,574,358,233	27	2,832,966,658
28	Temporarily restricted net assets .....	7,501	28	0
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 .....	2,574,365,734	33	2,832,966,658
34	Total liabilities and net assets/fund balances .....	4,617,059,746	34	4,871,953,096

- 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

THE METHODIST HOSPITAL

Employer identification number

74-1180155

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

THE METHODIST HOSPITAL

Employer identification number

74-1180155

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 THE METHODIST HOSPITAL
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 THE METHODIST HOSPITAL
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
THE METHODIST HOSPITAL

Employer identification number

74-1180155

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

THE METHODIST HOSPITAL

Employer identification number

74-1180155

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.)		(a) Filing Organization's Totals	(b) Affiliated Group Totals
1a	Total lobbying expenditures to influence public opinion (grass roots lobbying) ......	0
b	Total lobbying expenditures to influence a legislative body (direct lobbying) .......	523,844
c	Total lobbying expenditures (add lines 1a and 1b) ...................	523,844
d	Other exempt purpose expenditures ........................	1,047,370,201
e	Total exempt purpose expenditures (add lines 1c and 1d) ...............	1,047,894,045
f	Lobbying nontaxable amount. Enter the amount from the following table in both columns.	1,000,000
	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) .................	250,000
h	Subtract line 1g from line 1a. If zero or less, enter -0-. ................	0
i	Subtract line 1f from line 1c. If zero or less, enter -0-. ................	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	1,000,000	1,000,000	1,000,000	1,000,000	4,000,000

b	Lobbying ceiling amount (150% of line 2a, column(e))					6,000,000

c	Total lobbying expenditures	349,456	383,566	496,653	523,844	1,753,519

d	Grassroots non-taxable amount	250,000	250,000	250,000	250,000	1,000,000

e	Grassroots ceiling amount (150% of line 2d, column (e))					1,500,000

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)? ....

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

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

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

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

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

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

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

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

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

THE METHODIST HOSPITAL

Employer identification number

74-1180155

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
1a	Beginning of year balance ....	75,239,145	51,416,692	66,192,765
b	Contributions ........	18,783,033	12,203,792	3,958,630
c	Investment earnings or losses ...	8,564,737	11,116,253	-16,297,997
d	Grants or scholarships .....
e	Other expenditures for facilities and programs ........	-10,035,029	-502,408	2,436,710
f	Administrative expenses ....
g	End of year balance ......	92,551,886	75,239,145	51,416,688

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

Board designated or quasi-endowment: SchDMd Bullet

0 %

Permanent endowment: SchDMd Bullet

100.000 %

Term endowment: SchDMd Bullet

0 %

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)

Yes

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 .................	56,253,156	91,168,936		147,422,092
b	Buildings ................		1,116,676,980	430,285,399	686,391,581
c	Leasehold improvements ............		11,159,016	4,332,225	6,826,791
d	Equipment ................		747,487,081	553,795,220	193,691,861
e	Other .................
Total. Add lines 1a-1e. (Column (d) should equal Form 990, Part X, column (B), line 10(c).)........					1,034,332,325

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
(1) Due from Affiliates				908,017,941
(2) Construction in Progress				40,747,783
(3) Deposits and Miscellaneous Receivables				6,338,948
(4) Deferred Financing Costs				1,968,179





Total. (Column (b) should equal Form 990, Part X, col.(B) line 15.)...........				957,072,851

Part X

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

1.(a) Description of Liability		(b) Amount
Federal Income Taxes
Reserve for Contingencies		57,570,160
Asset Retirement Obligation		8,000,000







Total. (Column (b) should equal Form 990, Part X, col.(B) line 25.)		65,570,160
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
2	Total expenses (Form 990, Part IX, column (A), line 25) .....................	2
3	Excess or (deficit) for the year. Subtract line 2 from line 1 .............	3
4	Net unrealized gains (losses) on investments ..........................	4
5	Donated services and use of facilities .............................	5
6	Investment expenses ...................................	6
7	Prior period adjustments ..................................	7
8	Other (Describe in Part XIV) .................................	8
9	Total adjustments (net). Add lines 4 - 8 .............................	9
10	Excess or (deficit) for the year per financial statements. Combine lines 3 and 9 .........	10

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
2	Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a	Net unrealized gains on investments ..........	2a
b	Donated services and use of facilities .........	2b
c	Recoveries of prior year grants ...........	2c
d	Other (Describe in Part XIV): ............	2d
e	Add lines 2a through 2d .....................		2e
3	Subtract line 2e from line 1.....................		3
4	Amounts included on Form 990, Part VIII, line 12, but not on line 1:
a	Investment expenses not included on Form 990, Part VIII, line 7b .	4a
b	Other (Describe in Part XIV): ...........	4b
c	Add lines 4a and 4b.......................		4c
5	Total Revenue. Add lines 3 and 4c. (This should equal Form 990, Part I, line 12.) ......		5

Part XIII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return
1	Total expenses and losses per audited financial statements .............		1
2	Amounts included on line 1 but not on Form 990, Part IX, line 25:
a	Donated services and use of facilities ..........	2a
b	Prior year adjustments ..............	2b
c	Other losses ................	2c
d	Other (Describe in Part XIV): ............	2d
e	Add lines 2a through 2d......................		2e
3	Subtract line 2e from line 1.....................		3
4	Amounts included on Form 990, Part IX, line 25, but not on line 1:
a	Investment expenses not included on Form 990, Part VIII, line 7b ..	4a
b	Other (Describe in Part XIV): ............	4b
c	Add lines 4a and 4b.......................		4c
5	Total expenses. Add lines 3 and 4c. (This should equal Form 990, Part I, line 18.) ......		5

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 Intended Use of Endowment Funds:	Part V, Line 4:	The Methodist Hospital Foundation, a related organization of The Methodist Hospital, holds permanently restricted net assets which consist of 49 individual endowment accounts. Unless otherwise directed by the donor, gifts received for endowment accounts are invested consistent with The Methodist Hospital's approved investment policy. Unless otherwise directed by the donor, The Foundation has a policy of annually appropriating a certain percentage of each endowment account, which is then available to be spent consistent with donor intent. In order to preserve the real value of a donor's gift and to sustain funding consistent with donor intent, the annual appropriation rate is set to strike a reasonable balance between long-term objectives of preserving and growing each endowment fund for the future and providing stable, year-to-year appropriation amounts.
Description of Uncertain Tax Positions Under FIN 48:	Part X:	Part X, Line 2: The Methodist Hospital's financial statements were audited by an independent accountant as part of a consolidated financial statement. Methodist did not recognize any adjustments related to uncertain tax positions as of December 31, 2010.

Schedule D (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE F
(Form 990)

Department of the Treasury
Internal Revenue Service

Statement of Activities Outside the United States

Complete if the organization answered "Yes" to Form 990,
Part IV, line 14b, 15, or 16.
Right pointing arrow large image

Attach to Form 990. Right pointing arrow large image

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization
THE METHODIST HOSPITAL

Employer identification number

74-1180155

Part I

General Information on Activities Outside the United States. Complete if the organization answered
“Yes” to Form 990, Part IV, line 14b.

For grantmakers. 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

For grantmakers. Describe in Part V the organization’s procedures for monitoring the use of grant funds outside the
United States.

Activites per Region. (Use Part V if additional space is needed.)

(a) Region		(b) Number of offices in the region	(c) Number of employees or agents in region or independent contractors	(d) Activities conducted in region (by type) (e.g., fundraising, program services, investments, grants to recipients located in the region)	(f) Total expenditures for region/investments in region
	CENTRAL AMERICA & THE CARIBBEAN	0	0	OFFSHORE CAPTIVE INSURANCE OPERATIONS	0
	EAST ASIA AND THE PACIFIC	0	0	PASSIVE INVESTMENT	0
	EUROPE	0	0	PASSIVE INVESTMENT	0
	MIDDLE EAST AND NORTH AFRICA	0	0	PASSIVE INVESTMENT	0
	SOUTH AMERICA	0	0	PASSIVE INVESTMENT	0












3a	Sub-total .....		0		0
b	Total from continuation sheets to Part I ...		0		0
c	Totals (add lines 3a and 3b)		0		0

For Privacy Act and Paperwork Reduction Act Notice, see the Instructions for Form 990.Cat. No. 50082W Schedule F (Form 990) 2010

Schedule F (Form 990) 2010

Page 2

Part II

Grants and Other Assistance to Organizations or Entities Outside the United States. Complete if the organization answered "Yes" to Form 990,

Part IV, line 15, for any recipient who received more than $5,000. Check this box if no one recipient received more than $5,000 ........ MediumBullet

Use Part V if additional space is needed.

1 (a) Name of organization		(b) IRS code section and EIN (if applicable)	(c) Region	(d) Purpose of grant	(e) Amount of cash grant	(f) Manner of cash disbursement	(g) Amount of of non-cash assistance	(h) Description of non-cash assistance	(i) Method of valuation (book, FMV, appraisal, other)

Enter total number of recipient organizations listed above that are recognized as charities by the foreign country, recognized as tax-exempt by the IRS, or for which the grantee or counsel has provided a section 501(c)(3) equivalency letter ..... MediumBullet

Enter total number of other organizations or entities ........................ MediumBullet

Schedule F (Form 990) 2010

Schedule F (Form 990) 2010Page 3

Part III

Grants and Other Assistance to Individuals Outside the United States. Complete if the organization answered "Yes" to Form 990, Part IV, line 16.

Use Part V if additional space is needed.

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

Schedule F (Form 990) 2010

Page 4

Part IV

Foreign Forms

Schedule F (Form 990) 2010

Page 5

Part V

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

Identifier	ReturnReference	Explanation

Schedule F (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

THE METHODIST HOSPITAL

Employer identification number

74-1180155

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

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"? ......

Yes

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

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

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?.............

Yes

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

Yes

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) ..	26,137,711		26,137,711	2.350 %
b Unreimbursed Medicaid (from Worksheet 3, column a) .	43,317,616	19,377,385	23,940,231	2.150 %
c Unreimbursed costs—other means-tested government programs (from Worksheet 3, column b) ....	428,300	98,955	329,345	0.030 %
dTotal Charity Care and Means-Tested Government Programs .....	69,883,627	19,476,340	50,407,287	4.530 %
Other Benefits e Community health improvement services and community benefit operations (from (Worksheet 4) ....
f Health professions education (from Worksheet 5) ..	41,620,495	9,193,901	32,426,594	2.910 %
g Subsidized health services (from Worksheet 6) ..
h Research (from Worksheet 7)	58,917,940	18,616	58,899,324	5.290 %
i Cash and in-kind contributions to community groups (from Worksheet 8) ..	6,058,670		6,058,670	0.540 %
jTotal Other Benefits ...	106,597,105	9,212,517	97,384,588	8.740 %
kTotal. Add lines 7d and 7j. ..	176,480,732	28,688,857	147,791,875	13.270 %

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.

		(a) Number of activities or programs (optional)	(b) Persons served (optional)	(c) Total community building expense	(d) Direct offsetting revenue	(e) Net community building expense	(f) Percent of total expense
1	Physical improvements and housing
2	Economic development
3	Community support
4	Environmental improvements
5	Leadership development and training for community members
6	Coalition building
7	Community health improvement advocacy
8	Workforce development
9	Other
10	Total

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? ..........................

Yes

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

8,062,824

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

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).....

279,615,618

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

362,808,100

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

-83,192,482

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	The Methodist Hospital 6565 Fannin Houston,TX77030	X	X	X	X	Skilled Nursing Facility, Psych, Rehab Units

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 Applicable

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?
Name and address		Type of Facility (Describe)
1
2
3
4
5
6
7
8
9
10

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: The Methodist Hospital uses Federal Poverty Guidelines (FPG) and other information to determine eligibility for providing free care and discounted care to low income individuals.
		Part I, Line 6a: The Methodist Hospital System (The Methodist Hospital is the flagship hospital of the System) prepares an annual community benefit report which is made available to the public. This report includes charity care and community benefits provided by The Methodist Hospital and three other related acute care community hospitals in Harris County and in neighboring Fort Bend County, Texas. A fourth community hospital opened in West Houston on December 17, 2010. As expected, charity care and community benefits provided were minimal in 2010; therefore, this hospital was not included in the annual community benefit report made available to the public.
		Part I, Line 7g: The Methodist Hospital has not reported any subsidized health services in Part I, line 7(g).
		Part I, L7 Col(f): The amount of bad debt expense that was included in Form 990, Part IX, line 25, column (A), but removed from this figure for purposes of calculating the percentage in Schedule H, Part I, line 7, column (f) was $34,693,838.Part I, Ln 7: The costing methodology used to calculate the amounts reported in the Table in Part I was a cost to charge ratio derived from Worksheet 2 (Ratio of Patient Care Cost to Charges), as provided in the instructions to Form 990 Schedule H.
Community Benefit Activities:	Part II	The Methodist Hospital has not reported any community benefit activities in Part II, lines 1-10.
	Part III, Line 4	The text of the footnote that describes bad debt expense from the audited consolidated financial statements of The Methodist Hospital System, which includes accounts of The Methdodist Hospital, is as follows:Uncollectible, uncompensated care generally represents standard charges that are unrealizable due to an unwillingness to pay by those responsible for payment (bad debt). Uncollectible, uncompensated care is reflected as an expense in the consolidated statements of operations and changes in net assets.The costing methodology used in determining the amount of bad debt expense (at cost) reported on line 2 (no amount was reported on line 3) was derived from Worksheet A, as provided in the instructions to Form 990 Schedule H.Part III, Line 8:Medicare allowable costs were derived from The Methodist Hospital's filed Medicare Cost Report for the year ended December 31, 2010. The entire Medicare shortfall ($83.2 million) as reported in Part III, line 7 as well as the unreimbursed cost of the Medicare managed care program ($10.6 million) should be treated as a community benefit, since these shortfalls, or subsidies, reduce the federal government's burden in providing health care to Medicare beneficiaries.Part III, Line 9b:The Methodist Hospital System has a written debt collection policy; However, no collection efforts are put forth for patients who are known to qualify for financial assistance under the charity care policy.
	Part V, Section B:	The Methodist Hospital has not completed this section since it is optional for the 2010 Schedule H Form 990.
		Part VI, Line 2: The Methodist Hospital System utilized several different methods to identify its Community Health priorities (health care needs) of the communities it serves. These methods include but are not limited to the review of the Texas Institute of Health Policy research community data; Harris County Public Health & Environmental Services community data; Texas State Data Center and Office of the State Demographer; Texas Department of State Health Services; Texas Cancer Registry; Healthy People 2010; community advisory group committee reports for nonprofit clinics and agencies (e.g., Harris County Healthcare Alliance Primary Health Needs Assessment); Texas Department of Public Health selected health data; and community health status report for Harris, Liberty, Fort Bend and Montgomery counties. Additionally, The Methodist Hospital System performs an annual Community Health Needs Assessment that evaluates the population of The Methodist Hospital service area by looking at demographics, current health characteristics in the community and access to healthcare.
		Part VI, Line 3: Financial Assistance is provided in multiple locations within The Methodist Hospital System; at the point of registration, during case management and at the time of collections post discharge. Every check-in location has information posted in both English and Spanish stating how the patient can access financial assistance. Additionally, this information is posted on The Methodist Hospital System website and is included in the patient guide provided to the patient at the time of registration. The Methodist Hospital System financial counselors actively seek all uninsured inpatients and outpatients with scheduled services for a personal visit. During these visits, the financial counselors will screen the patient for financial assistance and will provide the patient with the financial assistance application. The patient will then be provided a list of resources with contact information should the patient require further assistance in completing the application. The Methodist Hospital System utilizes an eligibility partner to work closely with patients to quality for State and Federal assistance programs (e.g., Medicaid, SCHIP, Crime Victims, etc.). This eligibility partner will meet with all uninsured inpatients to discuss State and Federal assistance programs; where the patient is not eligible for these programs, The Methodist Hospital System's internal financial assistance program is introduced. The Methodist Hospital System's case management unit works closely with the patient during patient discharge management to ensure the patient is introduced to all resources that may be needed post discharge (e.g., home health, skilled nursing, etc.). The case management unit works with the patient to qualify the patient and to gain access to these resources. Additionally, the case management unit works closely with the financial counselors when the patient is identified as having a need for financial assistance.The Methodist Hospital System's patient accounting unit works closely with all uninsured patients post discharge during the billing and collections process. The Methodist Hospital System's collections personnel will verbally screen patients for financial assistance during collection calls; where applicable, the patient will be sent a financial assistance application either in English or Spanish. Additionally, all billing statements provide the patient with a phone number for customer service to obtain payment options. The Methodist Hospital System utilizes outside collection assistance, for both early out and bad debt collections. Each collection agency must adhere to The Methodist Hospital System's financial assistance policy and philosophy during all communication and collection events with The Methodist Hospital System patients. The Methodist Hospital System's financial assistance application is reviewed periodically; additionally, The Methodist Hospital System personnel are provided with educational inservices in the administering of the financial assistance policy as needed.
		Part VI, Line 4: The Methodist Hospital is a Texas non- profit corporation which owns and operates a tertiary care hospital and related medical office buildings, research, outpatient and other facilities in and near the Texas Medical Center in Houston, Texas.The Methodist Hospital's primary services area is comprised of 8 counties - Brazoria, Chambers, Fort Bend, Galveston, Harris, Liberty, Montgomery and Waller with a population estimated at more than 5.8 million for 2010. Harris County has the largest population with an estimated 4.15 million as of January 1, 2010. From 2000 to 2010 the population has increased at a rate of 25%. The population is expected to grow 10% in the next five years. The specific make-up of the service area includes Caucasian 41%, Hispanic 35%, African American 16%, Asian 6% and other 2%. Economically, the median household income is $40,600 and the average household income is $72,800. Examining the service area at the insurance level, the area consists of 76% insured and 24% uninsured.
		Part VI, Line 6: The Methodist Hospital, an acute care complex with 851 operating beds, 70 operating rooms, 1,725 affiliated physicians and 5489 employees, is the flagship of The Methodist Hospital System. Affiliated with the Texas Annual Conference of the United Methodist Church, The Methodist Hospital works closely with local church leaders to bring compassion and spirituality to all of its endeavors and to help meet the health needs of the community it serves. The Methodist Hospital's primary academic affiliates are Weill Cornell Medical College and New York Presbyterian Hospital. The Methodist Hospital also has affiliations with the University of Houston, Rice University, Baylor College of Medicine and others. The Methodist Hospital is a teaching hospital and as part of its teaching program it sponsored 180 medical residents in 26 accredited programs and 8 non-accredited programs in 2010. Governing BodyThe Methodist Hospital is governed by a board of directors comprised of members of the community where it is located. The Methodist Hospital's board of directors includes members from the community as well as the System's President/CEO, The Methodist Hospital's medical staff president and the bishop of the Texas Annual Conference of the United Methodist Church. Community CouncilsThe Methodist Hospital also has community involvement through advisory councils comprised of community members, including members of The Methodist Hospital Board of Directors, who volunteer to create health-related programs for Houstonians. One example is The Methodist DeBakey Heart & Vascular Center Council, which is a group of Houston's leaders who advise the DeBakey Heart & Vascular Center on how it can best serve our patients and our community. The group is comprised of opinion leaders whose experience in business and non-profit boards help shape our future direction and use of resources. One way the council directs these resources to promote the health of the community is through the Save a Life CPR/AED Training Sessions. For the last three years, The Methodist DeBakey Heart & Vascular Center has partnered with the Houston Texans, American Red Cross, and Texas Arrhythmia Institute to offer mass CPR/AED training days to the Houston community. The effort is spearheaded by the DeBakey Heart & Vascular Center's council members and has successfully trained more than 1,800 individuals since its inception.Other councils include the Neurological Institute Council and the Center for Performing Arts Medicine.The Methodist Hospital Young Leaders for Medicine are an auxiliary group of young professionals dedicated to improving patient care, education, and research at The Methodist Hospital and in the Houston community. When The Methodist Hospital System began its Taking Strides4Stroke Community Stroke Awareness Campaign, the Young Leaders took an active role in educating the public about stroke symptoms, treatment and prevention. Since 2007, the Young Leaders have provided volunteer leadership at the Stride4Stroke 5K Run/Walk in addition to raising more than $140,000 for The Methodist Hospital System's community stroke education efforts. Medical Staff ModelThe Methodist Hospital has an open medical staff model. The open model gives patients access to physicians of all affiliations. Health EducationThe Methodist Hospital Education Institute (TMHEI) was established by The Methodist Hospital System in 2006 upon the recommendation of an interdisciplinary team of health care practitioners charged by The Methodist Hospital Board of Directors with creating a vision for health professions education and training in The Methodist Hospital System. The purpose of TMHEI is to provide the best education and training to all disciplines in the hospital, enabling the best patient care. The Office of Continuing Medical Education provides local, national and international education concentrated in areas where our clinicians and scientists have recognized excellence and where our community has the greatest need.Since 2005, The Methodist Hospital has trained physicians in various medical and surgical specialties. Methodist sponsored 26 ACGME-accredited and 8 non-accredited programs in 2010. Additional specialty programs have been developed since then. The Methodist Institute for Technology, Innovation and Education (MITIE) is a comprehensive, state-of-the-art education and research center for physicians who wish to acquire new procedural skills and integrate new technologies into their practices. Its research mission is to enhance the use of image guided technology to guide procedures, incorporate robotic surgery into the image guided platform and develop new technology and procedural techniques.The Methodist Hospital also offers a medical laboratory science program with a 12-month track for professionals in pathology and laboratory medicine; an administrative fellowship and internship program for future health care leaders; professional development programs for nursing; a pharmacy residency program and a postgraduate residency for cardiovascular surgery physician assistants. The Methodist Hospital has created the Finger Fellowship Program in Sustainable Health to allow young people to experience the nexus of health science, policy, and community. This fellowship gives exceptional young people an opportunity to pursue individualized interdisciplinary research and to use that experience to lead improvements in health at the national, state or local level.Medical ResearchThe Methodist Hospital Research Institute, a subsidiary of The Methodist Hospital, was established in 2004 to conduct essential translational research. It is home to more than 1,000 credentialed physicians, faculty and staff and more than 700 ongoing clinical trials. The Methodist Hospital Research Institute is directly tied to clinicians and patients to help move the best in medical technology to the patient faster - for better prevention, diagnosis and treatment of disease. The Methodist Hospital Research Institute is one way The Methodist Hospital integrates its services, by bringing the research conducted in the laboratory to the patients bedside. The discoveries made by our researchers quickly filter down to our hospitals in the form of new treatments and improved procedures. Use of Surplus FundsAn internal charity care program provides services to the indigent at The Methodist Hospital and through affiliated organizations. The majority of patients who qualified for charity care were educated about the program through signs posted throughout the hospital. Other patients were referred by their physicians, hospital staff, other patients and through funded community agencies. Surplus funds are also used each year to strengthen community service outreach to support low-income and uninsured patients to help them attain access to comprehensive health care. Approximately 183,621 patient contact visits were reported in 2010 from 30 charity care agencies supported by The Methodist Hospital System Community Benefits program. Services provided include primary health care, emergency and routine care, immunizations, dental care, psychological and case management services, well child examinations, sick visits, health education, health screenings, well woman exams and in-kind lab services and X-rays. The Methodist Hospital's support allowed these organizations to enhance their services to low-income patients with diverse health needs. Methodist provided direct funding and/or in-kind services including lab tests, X-rays, immunizations, human resources consultation and other services. With The Methodist Hospital's support, agencies like Denver Harbor Clinic and Good Neighbor Healthcare Center were positioned to meet Federally Qualified Health Center designee qualifications, thereby allowing them to qualify for enhanced Medicare and Medicaid reimbursement.Programs at The Methodist Hospital helped to improve awareness of stroke signs, risk factors and prevention. In 2010 the numbers of people educated through our programs exceeded 11,000, more than double the activity from 2009; that amount is in addition to the participants of the Stride4Stroke walk. Programs addressed health disparities through our presence in minority communities and through outreach to women.For further information regarding what The Methodist Hospital is doing to benefit the communities it serves, see the response to Part VI, Line 6.
		Part VI, Line 7: Located in the heart of the Texas Medical Center, The Methodist Hospital is the flagship hospital of The Methodist Hospital System and serves patients from all over the world. The Methodist Hospital System includes Methodist Sugar Land Hospital in Fort Bend County, San Jacinto Methodist Hospital in Baytown, Methodist Willowbrook Hospital in northwest Houston and Methodist West Houston Hospital which opened in December 2010. The Methodist Hospital shares the greater mission of The Methodist Hospital System to provide high quality, cost-effective health care that delivers the best value to the people we serve in a spiritual environment of caring in association with internationally recognized teaching and research. The Methodist Hospital is among the country's largest non-profit health care providers and is certified by the Joint Commission of Accreditation of Healthcare Organizations. In 2010, The Methodist Hospital treated 37,536 inpatients and 306,329 outpatients. It received 45,254 emergency room visits. In order to better serve the growing needs of the communities served by The Methodist Hospital System, the System completed over $1.6 billion in construction projects comprising a total of 4 million new square feet in 2010. Expansion projects included an outpatient center and a research institute at The Methodist Hospital and two new patient facility and bed expansions at Methodist Sugar Land Hospital and Methodist Willowbrook Hospital. In addition, two imaging centers and an emergency care clinic opened in Summer 2009 to further serve the community. A new 100-bed licensed hospital in West Houston opened in December 2010 (with a future capacity of 193 total beds) and includes a breast center, heart services and radiation oncology. The Methodist Hospital promotes the health of the community and the mission of The Methodist Hospital System by delivering the highest quality and safest health care to our patients. Quality initiatives range from hand hygiene programs (with exceptionally good results), to patient fall and infection reduction programs. The Methodist Hospital was the first hospital in the Texas Medical Center to require its employees, vendors and volunteers to receive the seasonal flu shot to protect our patients, those typically most vulnerable to complications from the flu. The Methodist Hospital is the academic medical center in The Methodist Hospital System, bringing the community an institution dedicated to patient care, research and education. By serving as a leading academic medical center, it provides the community quality patient care, leading research that can be quickly translated into treatments and the training of our country's future doctors. While all System hospitals provide quality patient care, The Methodist Hospital expands the vision to include research and a comprehensive residency program. Aside from promoting the health of our community by delivering exceptional leading care to our patients, The Methodist Hospital System makes significant contributions through community benefits programs as descibed below. Community Benefit Activities and Health ServicesThe Methodist Hospital System in 2010 provided medical care to patients who were medically and/or financially indigent as well as patients who qualified for government sponsored indigent care. In 2010, The Methodist Hospital Community Benefits Program funded grassroots agencies across the Greater Houston area, including those communities served by our community hospitals. In 2010, The Methodist Hospital System's cash and in-kind contributions totaling approximately $10.0 million supported the following grassroots agencies across the Greater Houston area:-Bering Omega Community Services-Boys and Girls Country of Houston, Inc-Breath of Life Children's Center, Inc-Casa De Esperanza de los Ninos, Inc -Catholic Charities of the Diocese of Galveston-Houston-CHRISTUS HomeCare-Communities in Schools Houston, Inc-El Centro de Corazon-Eye Care for Kids Foundation-Fort Bend Family Healthcare Center-Good Neighbor Healthcare Center-Healthcare for the Homeless - Houston-HOPE Clinic-Houston Area Women's Center-Houston Comm Health Centers,Inc (Denver Harbor Clinic)-Houston Hospice-IBN Sina Foundation-Jewish Community Center of Houston-Krist Samaritan Center for Counseling and Education-Legacy Community Health Services-Matagorda Episcopal Hospital Outreach Program-Montrose Counseling Center, Inc-Northwest Assistance Ministries-San Jose Clinic-Service Organization of Greater Houston-Seven Acres Jewish Senior Care-Shalom Mobile Health Ministry-Star of Hope Mission-The Community Clinic-The Fort Bend County Women's Center, Inc-The Women's Home-TOMAGWA Health Care MinistriesThis support allowed these organizations to leverage dollars and enhance their services to low-income patients with diverse health needs. The Methodist Hospital System provided direct funding and/or in-kind services including lab tests, X-rays, immunizations, human resources consultation and other services. With Methodist's support, agencies like Denver Harbor Clinic and Good Neighbor Healthcare Center were positioned to meet Federally Qualified Health Center designee qualifications, thereby allowing them to qualify for enhanced Medicare and Medicaid reimbursement. EducationThe Methodist Hospital's primary academic partner is Weill Cornell Medical College in New York. The two institutions share best practices and collaborate on research, education and clinical care. More than 300 Methodist physicians have Weill Cornell faculty positions, and The Methodist Hospital sponsors almost 180 of its own medical residents in various specialties - ranging from neurosurgery to pathology to gynecology - and hosts 100 more from other medical institutions. In addition, The Methodist Hospital collaborates with many other academic and medical institutions to promote the health of the community, including New York-Presbyterian Hospital, Rice University, Baylor College of Medicine, University of Houston, Texas A&M University, Texas Children's Hospital, University of Texas Health Science Center, Texas Woman's University and Prairie View A&M, among others. Community InvolvementThe Methodist Hospital actively develops awareness initiatives, sponsorships and programs that promote health and wellness, prevention and early detection. The Methodist Hospital staff and volunteers can be seen at health screenings, exercise and nutrition promotions, stress management clinics and other health promotion activities throughout the year. For example, The Methodist Hospital participated in The Methodist Hospital System's fourth annual Stride4Stroke 5K Walk/Run, which raised more than $380,000 in 2010. The walk/run is part of The Methodist Hospital System's community stroke awareness campaign aimed at increasing stroke awareness and education in the community. More than 1,200 employees participated in this drive to raise public awareness and funds for an event that clearly has an impact on the community.In 2010, Methodist established the Methodist Concussion Center to provide comprehensive services and a dedicated team of concussion specialists to educate athletes, especially student-athletes, about the importance of concussion awareness. Through the center, student athletes have access to ImPACT (Immediate, Post Concussion Assessment and Cognitive Testing) testing, at their schools or at the Concussion Center. ImPACT is the first computerized concussion evaluation system. In addition to providing clinical care, the concussion center staff educates the community about signs and symptoms, dangers and proper medical management. The Center conducts outreach activities which benefit more than 1,000 Houston-area residents monthly. Methodist also created the Nantz National Alzheimer Center to advance research and treatment of Alzheimer's disease, one of the biggest threats to the elderly population in our country. It is projected that as many as 16 million people will have Alzheimer's by 2050. The center, dedicated to finding a cure for Alzheimer's, addresses one of the biggest health crises affecting Americans today. The Methodist Hospital promotes the health of the community by fulfilling The Methodist Hospital System's mission through exceptional, high-quality patient care, education and research, affiliations with academic and medical partners for improved community health care, charity care and community involvement. The Methodist Hospital also cooperates with local entities to identify community needs. Members of The Methodist Hospital's executive team are on the boards of the Greater Houston Health Care Alliance and the Greater Houston Partnership which both advocate for educational, environmental and health care issues that affect public policy and international
Reports Filed With States	Part VI, Line 7	TX
Continuation of Affiliated Health Care, Schedule H	Schedule H, Part VI, Line 6	companies that do business in Houston.The Methodist Hospital System's employees have a longstanding tradition of supporting efforts to improve the health and well being of our community. Our employees donate time, talent and money to many great community causes.Hospital administration also allocates hours to coordinate and support voluntary employee projects to meet specific community needs. As a result of administrative support, hospital employees participated in or provided a service for the following: United Way Campaign, American Heart Association's Houston Heart Walk and Stroke Continuum of Care, National Multiple Sclerosis 150 Bike Tour (Houston-to-Austin), Komen Race for the Cure, ADA Diabetes Walk, Stride4Stroke 5K Run/Walk, PAWS, Star of Hope, Save a Life Community Heart Training Day, Adopt-a-Child/Family holiday program, emergency funds for food and transportation vouchers for patients, employee blood drive (donations of blood, plasma and platelets), Career Day - Talks, Houston Food Bank - Texas Medical Center Food Drive, Houston Area Women's Shelter, Medical Bridges, Habitat for Humanity, House Renovation based at Ripley Center, MI Lewis Social Services, San Jose Clinic - Art for Heart, DeBakey High School, African American Health Coalition, Texas Woman's University, The House of Amos and the Houston Museum of Natural Science Texas Clinics Are Responding Event (TCARE).The Methodist Hospital System also encourages its employees to volunteer for the good of their respective communities. A program, called MCAT, Methodist Community Action team, supports employees who volunteer in the community. Through MCAT, employees volunteer at various community events supported by the hospital. Employees participate in local health fairs, serve on committee groups to help organize and coordinate events and activities for the community, provide assistance at local walk/run events, provide assistance at several hurricane relief centers, and sort and organize medical supplies for medical mission trips.Other beneficial efforts are organized by smaller groups within the hospital. For example, a group of nurses volunteer at a dental clinic for AIDS patients. The Methodist Hospital supports this clinic financially and employees are also engaged. A group of Filipino nurses who are members of the Philippines Nurses Association of Metropolitan Houston participate in various community outreach programs. They participate at the annual health fair for the underserved populations in Houston and neighboring counties. The nurses take blood pressure as well as blood sugar readings. They also provide health teachings to clients that speak Spanish only with a Spanish interpreter. They provide clients with verbal and written educational materials on healthy food groups, importance of exercise, smoking cessation, prevention of diabetes, hypertension, coronary heart disease and cardiovascular conditions. The Methodist Hospital operates a thriving volunteer program that offers members of the outside community an opportunity to participate in a number of patient-oriented activities including hospital visits; collecting and/or creating items to distribute to patients and wayfinding help for patients and families visiting the complex for doctors appointments and tests. Identifying Community Health IssuesThe Methodist Hospital identified its community health priorities for 2010 using several methods including, but not limited to, review of the Texas Institute for Health Policy Research community data, Texas Department of Public Health selected health data, community health status reports for Harris, Liberty, Fort Bend and Montgomery counties and community advisory groups committee reports for nonprofit clinics and agencies. The review indicated that chronic diseases, including heart disease and stroke, are acute in our service area, exceeding the overall mortality rates in Texas and peer counties. Because stroke was identified as a primary killer and health care issue for people in our region, The Methodist Hospital System in 2006 created the Stride4Stroke initiative to raise awareness about stroke and to raise funds for community stroke education. A 5K Run/Walk each spring allows members of the community to participate alongside hospital employees. The Methodist Hospital System has initiated community education efforts by training and providing nurse-educators to the community for public events, particularly in minority communities and for outreach to women. The Methodist Hospital System also works to assist smaller hospitals in the community in developing their own stroke programs and achievement of Primary Stroke Center status, while we offer a venue for comprehensive stroke care to those patients from community hospitals that are not equipped to offer more than basic stroke care.Another initiative has sought to increase early detection and community awareness of cancer. The Methodist Hospital annually stages a Men's Health Expo for community awareness and education on men's health issues. At a Men's Health Expo in 2010, The Methodist Hospital screened 285 men for prostate cancer. The Methodist Hospital also sponsors and/or coordinates a number of events spotlighting women's health issues. The Methodist Hospital sponsored the Komen Race/Walk and Pink Ribbons campaign to promote breast cancer awareness as well as to communicate the importance of early detection of breast cancer.Summary As a System, Methodist made significant contributions through its community benefits and charity care program which have been a resource for patients in the community. Based on IRS cost definitions The Methodist Hospital System provided $183.5 million in Charity Care and Certain other Community Benefits for the year ended December 31, 2010, which included $77.3 million in connection with Charity Care and Means-tested Government Programs and $106.2 million in Other Benefits (e.g., health professions education, research and cash and in-kind contributions to community groups). In addition, based on IRS cost definitions The Methodist Hospital System provided $144.2 million in care to Medicare and TRICARE program beneficiaries for the year ended December 31, 2010.

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
THE METHODIST HOSPITAL

Employer identification number
74-1180155

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	(d) Amount of cash grant	(h) Purpose of grant or assistance
(1) BeringOmega Community Service Foundation1429 Hawthorne Street Houston,TX770063711	76-0589592	501(c)3	310,000	Dental Services
(2) Boys and Girls Country of Houston Inc18806 Roberts Road Hockley,TX774479327	74-6026198	501(c)3	15,000	Mental Health Services
(3) Breath of Life Children's Center Inc21715 Kingsland Blvd Ste 103 Katy,TX77450	76-0626159	501(c)3	50,000	Children's Clinic
(4) Casa de Esperanza de los Ninos Inc2911 Corder St Houston,TX77054	76-0105306	501(c)3	50,000	Mental Health Services
(5) Catholic Charities of the Doicese of Galveston-Houston2900 Louisiana Street Houston,TX770063435	74-1109733	501(c)3	50,000	Mental Health Services
(6) Christus Home Care (CHRISTUS Foundation for HealthCare)2045 Space Park Dr 185 Houston,TX770586306	74-6074210	501(c)3	1,083,333	Home Care Services
(7) Communities in Schools Houston Inc1235 North Loop West Suite 300 Houston,TX77008	76-0031827	501(c)3	25,000	Mental Health Services
(8) The Community Clinic101 Pine Manor Oak Ridge North,TX77385	75-2634623	501(c)3	50,000	Health Care Services
(9) El Centro de CorazonEastwood Health Clinic5001 Navigation Houston,TX77011	76-0442781	501(c)3	275,000	Health Care Services
(10) Eye Care for Kids Foundation9660 Hillcroft St 325 Houston,TX77096	76-0573182	501(c)3	25,000	Children's Ophthalmology Services
(11) Fort Bend Family Health Center Inc400 Austin Street Richmond,TX774694498	74-1951476	501(c)3	170,000	Health Care Services
(12) Good Neighbor Healthcare Center190 Heights Blvd Houston,TX77007	20-4881280	501(c)3	225,000	Health Care Services
(13) Healthcare for the Homeless - Houston2505 Fannin St Houston,TX77002	76-0647934	501(c)3	290,000	Health Care Services
(14) Asian American Health Coalition - HOPE Clinic7001 Corporate Dr Suite 120 Houston,TX77036	31-1756818	501(c)3	50,000	Health Care Services
(15) Houston Area Women's Center1010 Waugh Drive Houston,TX770193996	74-2029166	501(c)3	25,000	Mental Health Services
(16) Houston Community Health Centers Inc424 Hahlo Street Houston,TX770203022	76-0622208	501(c)3	727,000	Health Care Services
(17) Houston Hospice1905 Holcombe Blvd Houston,TX77030	74-2092951	501(c)3	30,000	Hospice Services
(18) IBN Sina Foundation11226 S Wilcrest Dr Houston,TX77099	76-0698464	501(c)3	15,000	Dental/Health Care Services
(19) Jewish Community Center of Houston5601 S Braeswood Houston,TX770963907	74-1198298	501(c)3	28,000	Senior Health Care Services
(20) Krist Samaritan Center of Counseling & Ed17555 El Camino Real Houston,TX770583031	76-0173176	501(c)3	80,000	Mental Health Services
(21) Matagorda Episcopal Hospital Outreach Program101 Avenue F North Bay City,TX77414	20-0537948	501(c)3	40,000	Dental/Health Care Services
(22) Montrose Counseling Center Inc401 Branard Street 2nd Floor Houston,TX77006	74-2050245	501(c)3	30,000	Mental Health Services
(23) Northwest Assistance Ministries15555 Kuykendahl Road Houston,TX770903651	76-0088702	501(c)3	325,000	Children's Clinic Support
(24) San Jose Clinic301 Hamilton St Houston,TX77002	76-6071951	501(c)3	250,000	Health Care Services
(25) Service Organization of Greater Houston2950 50th St Lubbock,TX79413	80-0357284	501(c)3	1,420,337	Health Care Services
(26) Seven Acres Jewish Senior Care Services6200 North Braeswood Boulevard Houston,TX77074	74-1143086	501(c)3	35,000	Senior Health Care Services
(27) Shalom Mobile Health Ministry2220 Broadway Houston,TX77012	76-0570086	501(c)3	190,000	Health Care Services
(28) Star of Hope Mission6897 Ardmore Houston,TX77054	74-1152599	501(c)3	25,000	Homeless care
(29) The Fort Bend County Women's Center Inc905 3rd Street Rosenberg,TX77471	76-0032451	501(c)3	25,000	Mental health services
(30) TOMAGWA Health Care Ministries13414 Medical Complex Dr 1 Tomball,TX773753333	76-0280324	501(c)3	95,000	Health Care Services
(31) The Women's Home811 Westheimer Road Houston,TX770063917	74-1467811	501(c)3	50,000	Mental Health Services
(32) American Academy of Otolaryngology-Head and Neck Surgery1650 Diagonal Road Alexandria,VA22314	52-1219434	501(c)3	25,000	Medical Research
(33) American Heart AssociationPO Box 15186 Austin,TX78761	13-5613797	501(c)3	25,000	Medical Research
(34) Arthritis Foundation3120 Southwest Frwy Ste 215 Houston,TX77098	95-1885447	501(c)3	15,000	Medical Research
(35) Can Care of Houston9575 Katy Freeway Ste 428 Houston,TX77024	76-0305357	501(c)3	23,000	Medical Research
(36) Golfers Against Cancer Inc1700 Lake Kingwood Trail Kingwood,TX77345	76-0574871	501(c)3	25,000	Medical Research
(37) Good Samaritan Foundation5615 Kirby Drive Ste 610 Houston,TX77005	74-1235398	501(c)3	9,500	Community Service
(38) Harris County Hospital District FoundationPO Box 301168 Houston,TX77230	76-0408224	501(c)3	50,000	Community Service
(39) Houston Ballet1921 West Bell PO Box 130487 Houston,TX77019	74-1394920	501(c)3	25,000	Community Service
(40) Houston Livestock Show and RodeoPO Box 20070 Houston,TX77225	74-1142851	501(c)3	5,000	Community Service
(41) Houston Symphony Society615 Louisiana Jones Hall Houston,TX77002	74-1157373	501(c)3	50,000	Community Service
(42) Inprint1520 West Main Houston,TX77006	76-0127748	501(c)3	5,000	Life Writing Workshop
(43) Komen Houston5433 Westheimer Rd Ste 325 Houston,TX77056	76-0360372	501(c)3	20,650	Medical Research
(44) Marine Corps Scholarship Foundation4715 N 32nd Street Ste 104 Phoenix,AZ85018	22-1905062	501(c)3	5,000	Education Assistance
(45) Muscular Dystrophy Association5615 Kirby Dr Suite 500 Houston,TX77005	13-1665552	501(c)3	7,700	Medical Research
(46) The Periwinkle Foundation3000 Richmond Suite 340 Houston,TX77098	76-0093914	501(c)3	7,000	Community Service
(47) Rice University6100 Main St Houston,TX77005	74-1109620	501(c)3	10,000	Community Service
(48) Texas Annual ConferenceHaiti Relief5215 Main Street Houston,TX77002	74-1491628	501(c)3	65,493	Disaster Relief
(49) Victory - American Cancer SocietyPO Box 572915 Houston,TX772572915	75-6198499	501(c)3	25,000	Community Service
(50) White Oak Gives Back12941 N Frwy Ste 550 Houston,TX77060	26-2753368	501(c)3	5,000	Community Service

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
(1) Scholarships for TMH Clinical Laboratory Science Program	4	9,600
(2) Continuing Education Scholarship	9	9,000

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: Prior to The Methodist Hospital's approval of a grant to a requesting organization, the following criteria must be met: (1) The requesting organization must be an organization exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code; (2) The requesting organization must provide a recognizable or demonstrable benefit to the community; (3) The mission of the requesting organization must augment the mission of The Methodist Hospital; (4) The requesting organization's mission and services should not duplicate and must not conflict with those of The Methodist Hospital. Periodic reports were reviewed to ensure the funds were used to support indigent care service of the community. Grants to Individuals: Everyone accepted into The Methodist Hospital Clinical Laboratory Science Program receives a $2,400 scholarship. Acceptance into that program is based upon GPA, letters of recommendation, and interview scores.

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

THE METHODIST HOSPITAL

Employer identification number

74-1180155

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? ...............

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

Yes

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) Methodist Hospital Group	(i) (ii)	85,092 62,601	0 0	0 0	0 0	0 0	85,092 62,601	0 0
(2) Methodist Hospital Group	(i) (ii)	1,822,151 0	971,603 0	795,474 0	51,200 0	55,676 0	3,696,104 0	0 0
(3) Methodist Hospital Group	(i) (ii)	2,228,114 0	1,229,017 0	293,611 0	120,905 0	168,162 0	4,039,809 0	0 0
(4) Methodist Hospital Group	(i) (ii)	918,600 0	392,642 0	120,971 0	61,678 0	62,069 0	1,555,960 0	0 0
(5) Methodist Hospital Group	(i) (ii)	0 40,683	0 102,014	0 4,480	0 3,800	0 1,591	0 152,568	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
Supplemental Information	Part III	SCHEDULE J, PAGE 1, LINE 1A: Travel for Companions Methodist requires all employees including officers to provide written substantiation of all expenses related to their business travel through the provision of detailed receipts in order to receive approval from their direct superiors for reimbursement in accordance with our corporate policy on travel and other business expenses. In 2010, the President/CEO had three trips approved for attendance at out of state meetings where it was deemed appropriate by the Chair of our Board that the attendance of the President/CEO's spouse (and the related expenses for her travel to these meetings) was integral to conducting effective Methodist business at these meetings. SCHEDULE J, PAGE 1, LINE 1A: Health or Social Club Dues As stipulated by the employment contract of the CEO, he is entitled to annual membership in the Houston City Club paid for by The Methodist Hospital in support of Methodist related business development activities. This amount is not included in the taxable income of the CEO as it directly relates to the hospital's tax exempt business purpose. SCHEDULE J, PAGE 1, LINE 1A: Compensation Reporting Pursuant to Treasury Reg Section 1 6033-2(D)(5), The Methodist Hospital has elected to report information about contributions, gifts & grants, compensation and other information about Officers, Directors, Trustees, Key Employees, Former Employees, certain other highly paid employees, certain professional contractors and certain other contrators on a consolidated basis for all of the members of the group, including the parent organization, on the Group Return of Methodist Hospital Group, EIN 35-2410801. SCHEDULE J, PAGE 1, QUESTION 4A: Severance Plan The Methodist Hospital System has a formal severance plan. Eligible employees include all staff including hourly staff up through senior vice presidents provided they work at least 20 hours per week and are not otherwise covered by a physician employment agreement. The plan only provides salary and benefits in the event an eligible employee is involuntarily terminated due to the elimination of their position or if their current position is significantly impacted by an organizational restructuring or change in requirement and a comparable position is not available within the organization. The eligible person must also sign a termination agreement in order to receive salary continuation and benefits under the plan to which they would not normally be eligible to receive under a voluntary resignation. SCHEDULE J, PAGE 1, QUESTION 4A: Compensation Reporting Pursuant to Treasury Reg Section 1 6033-2(D)(5), The Methodist Hospital has elected to report information about contributions, gifts & grants, compensation and other information about Officers, Directors, Trustees, Key Employees, Former Employees, certain other highly paid employees, certain professional contractors and certain other contrators on a consolidated basis for all of the members of the group, including the parent organization, on the Group Return of Methodist Hospital Group, EIN 35-2410801. SCHEDULE J, PAGE 1, QUESTION 4B: The Methodist Hospital has a Supplemental Executive Retirement Plan, a non-qualified employer funded plan. Contributions are made annually into a tax deferred account and are considered taxable upon vesting (i.e. completion of three years of vesting service). Once vested, each year's subsequent contribution is taxable within the calendar year in which the deposit was made. Account balances cannot be accessed until retirement or termination (whichever occurs first) and may be subject to non-revocable distribution options selected upon employment. SCHEDULE J, PAGE 1, QUESTION 4B: Pursuant to Treasury Reg Section 1 6033-2(D)(5), The Methodist Hospital has elected to report information about contributions, gifts & grants, compensation and other information about Officers, Directors, Trustees, Key Employees, Former Employees, certain other highly paid employees, certain professional contractors and certain other contrators on a consolidated basis for all of the members of the group, including the parent organization, on the Group Return of Methodist Hospital Group, EIN 35-2410801. SCHEDULE J, PAGE 1, QUESTION 7: This organization provides variable compensation opportunity through an annual management incentive plan. Executives at the Assistant Vice President level and above may be eligible to participate. The annual incentive program is based on system and operating entity level performance in the areas of quality improvement outcomes, patient satisfaction and financial performance. In addition, a portion of the payout percentage is based on goals that are specific to the participants' management roles at the division or department level including but not limited to such metrics as operating results, quality and safety improvements, customer satisfaction measures, growth and innovation initiatives. Determination of a participant's percentage of the potential bonus payout (paid as a percent of base salary) is based on whether the individual attains agreed upon goals for their area of responsibility as determined by their immediate supervisor.

Schedule J (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

Schedule K
(Form 990)

Department of the Treasury
Internal Revenue Service

Supplemental Information on Tax Exempt Bonds

Complete if the organization answered "Yes" to Form 990, Part IV, line 24a. Provide descriptions,
explanations, and any additional information in Schedule O (Form 990).
SchKMediumBullet

Attach to Form 990. SchKMediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public
Inspection

Name of the organization
THE METHODIST HOSPITAL

Employer identification number
74-1180155

Part I

Bond Issues

(a) Issuer Name		(b) Issuer EIN	(c) CUSIP #	(d) Date Issued	(e) Issue Price	(f) Description of Purpose	(g) Defeased		(h) On Behalf of Issuer		(i) Pool financing
(a) Issuer Name		(b) Issuer EIN	(c) CUSIP #	(d) Date Issued	(e) Issue Price	(f) Description of Purpose	Yes	No	Yes	No	Yes	No
A	Harris County Health Facilities Development Corp	52-1284201	41315RGV0	04-10-2008	350,000,000	See Part V Refunding Bonds for Series 2006B issued 5/10/06		X		X		X
B	Harris County Cultural Education Facilities Finance Corporation	76-0337885	414009AS9	08-21-2008	257,239,185	See Part V Refunding Bonds for portion of Ser. 2006A issued 4/4/06		X		X		X
C	Harris County Cultural Education Facilities Finance Corporation	76-0337885	414009AW0	08-21-2008	692,760,000	See Part V Refunding Bonds for portion of Ser. 2006A issued 4/4/06		X		X		X
D	Harris County Cultural Education Facilities Finance Corporation	76-0337885	414009BQ2	06-02-2009	149,993,979	See Part V Ref Ser 2006C issued 5/10/06 & Ser 2008C issued 8/21/08		X		X		X
	Harris County Cultural Education Facilities Finance Corporation	76-0337885	414009BS8	06-02-2009	586,480,000	See Part V Ref Ser 2005A issued 1/20/05 & Ser 2008C issued 8/21/08		X		X		X

Part II

Proceeds

	A		B		C		D
	1 Amount of bonds retired. . . . .	286,480,000				286,480,000
2 Amount of bonds defeased . . . .
3 Total proceeds of issue . . . .	350,000,000		257,239,185		692,760,000		149,993,979
4 Gross proceeds in reserve funds . .
5 Capitalized interest from proceeds.
6 Proceeds in refunding escrow. . . . .
7 Issuance costs from proceeds . . .
8 Credit enhancement from proceeds.
9 Working capital expenditures from proceeds . .
10 Capital expenditures from proceeds . .
11 Other spent proceeds . .	350,000,000		257,239,185		692,760,000		149,993,979
12 Other unspent proceeds. . .
13 Year of substantial completion . . .
	Yes	No	Yes	No	Yes	No	Yes	No
14 Were the bonds issued as part of a current refunding issue?	X		X			X
15 Were the bonds issued as part of an advance refunding issue?		X		X		X		X
16 Has the final allocation of proceeds been made? . .	X		X		X		X
17 Does the organization maintain adequate books and records to support the final allocation of proceeds? .	X		X		X		X

Part III

Private Business Use

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
1 Was the organization a partner in a partnership, or a member of an LLC, which owned property financed by tax-exempt bonds? . . .		X		X
2 Are there any lease arrangements that may result in private business use of bond-financed property? . . . . .	X		X

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

Cat. No. 50193E

Schedule K (Form 990) 2010

Page 2

Part III

Private Business Use (Continued)

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
3a Are there any management or service contracts that may result in private business use?	X		X
b Are there any research agreements that may result in private business use of bond-financed property? . .	X		X
c Does the organization routinely engage bond counsel or other outside counsel to review any management or service contracts or research agreements relating to the financed property? .	X		X
4 Enter the percentage of financed property used in a private business use by entities other than a section 501(c)(3) organization or a state or local government . . . . . . . . . . . . .	3.700 %		3.700 %
5 Enter the percentage of financed property used in a private business use as a result of unrelated trade or business activity carried on by your organization, another section 501(c)(3) organization, or a state or local government .	0 %		0 %
6 Total of lines 4 and 5 . . .. . . . . .	3.700 %		3.700 %
7 Has the organization adopted management practices and procedures to ensure the post-issuance compliance of its tax-exempt bond liabilities?	X		X

Part IV

Arbitrage

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
1 Has a Form 8038-T, Arbitrage Rebate, Yield Reduction and Penalty in Lieu of Arbitrage Rebate, been filed with respect to the bond issue? . . .		X		X		X		X
2 Is the bond issue a variable rate issue?	X			X	X		X
3a Has the organization or the governmental issuer entered into a hedge with respect to the bond issue?		X		X		X		X
b Name of provider .
c Term of hedge . .
d Was the hedge superintegrated? .
e Was a hedge terminated? .
4a Were gross proceeds invested in a GIC? .		X		X		X		X
b Name of provider .
c Term of GIC . .
d Was the regulatory safe harbor for establishing the fair market value of the GIC satisfied? .
5 Were any gross proceeds invested beyond an available temporary period? .		X		X		X		X
6 Did the bond issue qualify for an exception to rebate? . . .	X		X		X		X

Schedule K (Form 990) 2010

Page 3

Part V

Supplemental Information

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

Identifier	Return Reference	Explanation
Schedule K, Part II, Line 13, (Issues A through E)	Year of Substantial Completion:	All outstanding bonds of the Methodist Hospital as of 12-31-10 are refunding bonds. The Methodist Hospital assumes that Line 13 does not address refunding bonds.
Schedule K-Part III, Line 4 (Issue D)	Enter % of Business use by entities other than 501(c)(3):	The reported private use percentage of 3.7% has been calculated on the portion of the Series 2009A-B refunding bonds that refunded the Series 2006C bonds issued in the amount of $100,000,000. The remaining amount of the Series 2009A-B bonds that refunded bonds issued prior to December 31, 2002 in the amount of $49,993,979 were excluded from determining the reported 3.7% private use calculation for 2010.
Schedule K, Part III, Line 4 (Issue E)	Enter % of Business use by entities other than 501(c)(3):	The reported private use percentage of 1.8% has been calculated on the portion of the Series 2009C refunding bonds that refunded the Series 2005A bonds issued in the amount of $350,000,000. The remaining amount of the Series 2009C bonds that refunded bonds issued prior to December 31,2002 in the amount of $236,480,000 were excluded from determining the reported 1.8% private use calculation for 2010.

Schedule K (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

Schedule K
(Form 990)

Department of the Treasury
Internal Revenue Service

Supplemental Information on Tax Exempt Bonds

Complete if the organization answered "Yes" to Form 990, Part IV, line 24a. Provide descriptions,
explanations, and any additional information in Schedule O (Form 990).
SchKMediumBullet

Attach to Form 990. SchKMediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public
Inspection

Name of the organization
THE METHODIST HOSPITAL

Employer identification number
74-1180155

Part I

Bond Issues

(a) Issuer Name		(b) Issuer EIN	(c) CUSIP #	(d) Date Issued	(e) Issue Price	(f) Description of Purpose	(g) Defeased		(h) On Behalf of Issuer		(i) Pool financing
(a) Issuer Name		(b) Issuer EIN	(c) CUSIP #	(d) Date Issued	(e) Issue Price	(f) Description of Purpose	Yes	No	Yes	No	Yes	No
A	Harris County Health Facilities Development Corp	52-1284201	41315RGV0	04-10-2008	350,000,000	See Part V Refunding Bonds for Series 2006B issued 5/10/06		X		X		X
B	Harris County Cultural Education Facilities Finance Corporation	76-0337885	414009AS9	08-21-2008	257,239,185	See Part V Refunding Bonds for portion of Ser. 2006A issued 4/4/06		X		X		X
C	Harris County Cultural Education Facilities Finance Corporation	76-0337885	414009AW0	08-21-2008	692,760,000	See Part V Refunding Bonds for portion of Ser. 2006A issued 4/4/06		X		X		X
D	Harris County Cultural Education Facilities Finance Corporation	76-0337885	414009BQ2	06-02-2009	149,993,979	See Part V Ref Ser 2006C issued 5/10/06 & Ser 2008C issued 8/21/08		X		X		X
	Harris County Cultural Education Facilities Finance Corporation	76-0337885	414009BS8	06-02-2009	586,480,000	See Part V Ref Ser 2005A issued 1/20/05 & Ser 2008C issued 8/21/08		X		X		X

Part II

Proceeds

	A		B		C		D
	1 Amount of bonds retired. . . . .	286,480,000				286,480,000
2 Amount of bonds defeased . . . .
3 Total proceeds of issue . . . .	350,000,000		257,239,185		692,760,000		149,993,979
4 Gross proceeds in reserve funds . .
5 Capitalized interest from proceeds.
6 Proceeds in refunding escrow. . . . .
7 Issuance costs from proceeds . . .
8 Credit enhancement from proceeds.
9 Working capital expenditures from proceeds . .
10 Capital expenditures from proceeds . .
11 Other spent proceeds . .	350,000,000		257,239,185		692,760,000		149,993,979
12 Other unspent proceeds. . .
13 Year of substantial completion . . .
	Yes	No	Yes	No	Yes	No	Yes	No
14 Were the bonds issued as part of a current refunding issue?	X		X			X
15 Were the bonds issued as part of an advance refunding issue?		X		X		X		X
16 Has the final allocation of proceeds been made? . .	X		X		X		X
17 Does the organization maintain adequate books and records to support the final allocation of proceeds? .	X		X		X		X

Part III

Private Business Use

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
1 Was the organization a partner in a partnership, or a member of an LLC, which owned property financed by tax-exempt bonds? . . .		X		X
2 Are there any lease arrangements that may result in private business use of bond-financed property? . . . . .	X		X

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

Cat. No. 50193E

Schedule K (Form 990) 2010

Page 2

Part III

Private Business Use (Continued)

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
3a Are there any management or service contracts that may result in private business use?	X		X
b Are there any research agreements that may result in private business use of bond-financed property? . .	X		X
c Does the organization routinely engage bond counsel or other outside counsel to review any management or service contracts or research agreements relating to the financed property? .	X		X
4 Enter the percentage of financed property used in a private business use by entities other than a section 501(c)(3) organization or a state or local government . . . . . . . . . . . . .	3.700 %		3.700 %
5 Enter the percentage of financed property used in a private business use as a result of unrelated trade or business activity carried on by your organization, another section 501(c)(3) organization, or a state or local government .	0 %		0 %
6 Total of lines 4 and 5 . . .. . . . . .	3.700 %		3.700 %
7 Has the organization adopted management practices and procedures to ensure the post-issuance compliance of its tax-exempt bond liabilities?	X		X

Part IV

Arbitrage

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
1 Has a Form 8038-T, Arbitrage Rebate, Yield Reduction and Penalty in Lieu of Arbitrage Rebate, been filed with respect to the bond issue? . . .		X		X		X		X
2 Is the bond issue a variable rate issue?	X			X	X		X
3a Has the organization or the governmental issuer entered into a hedge with respect to the bond issue?		X		X		X		X
b Name of provider .
c Term of hedge . .
d Was the hedge superintegrated? .
e Was a hedge terminated? .
4a Were gross proceeds invested in a GIC? .		X		X		X		X
b Name of provider .
c Term of GIC . .
d Was the regulatory safe harbor for establishing the fair market value of the GIC satisfied? .
5 Were any gross proceeds invested beyond an available temporary period? .		X		X		X		X
6 Did the bond issue qualify for an exception to rebate? . . .	X		X		X		X

Schedule K (Form 990) 2010

Page 3

Part V

Supplemental Information

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

Identifier	Return Reference	Explanation
Schedule K, Part II, Line 13, (Issues A through E)	Year of Substantial Completion:	All outstanding bonds of the Methodist Hospital as of 12-31-10 are refunding bonds. The Methodist Hospital assumes that Line 13 does not address refunding bonds.
Schedule K-Part III, Line 4 (Issue D)	Enter % of Business use by entities other than 501(c)(3):	The reported private use percentage of 3.7% has been calculated on the portion of the Series 2009A-B refunding bonds that refunded the Series 2006C bonds issued in the amount of $100,000,000. The remaining amount of the Series 2009A-B bonds that refunded bonds issued prior to December 31, 2002 in the amount of $49,993,979 were excluded from determining the reported 3.7% private use calculation for 2010.
Schedule K, Part III, Line 4 (Issue E)	Enter % of Business use by entities other than 501(c)(3):	The reported private use percentage of 1.8% has been calculated on the portion of the Series 2009C refunding bonds that refunded the Series 2005A bonds issued in the amount of $350,000,000. The remaining amount of the Series 2009C bonds that refunded bonds issued prior to December 31,2002 in the amount of $236,480,000 were excluded from determining the reported 1.8% private use calculation for 2010.

Schedule K (Form 990) 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

THE METHODIST HOSPITAL

Employer identification number

74-1180155

Identifier	Return Reference	Explanation
Form 990, Part VI, Section A, line 1		The Executive Committee consists of the officers who are members of the Board of Directors as defined in the Bylaws; the Resident Bishop; and one Physician Director. In the event of an emergency when there is insufficient time to convene the Board of Directors, the Executive Committee has and may exercise all the powers of the Board of Directors in the management of the business and affairs of the Corporation in such a manner as the Executive Committee may deem to be in the best interest of the Corporation in all cases in which specific directions have been given by the Board of Directors, provided any action which the Committee may take does not conflict with the mission of the Corporation and the policies and directives of the Board of Directors. The Chairperson of the Board of Directors, upon the calling of any Executive Committee meeting, as the first item of business, is required to state the nature of the emergency and the fact that there was insufficient time to convene the Board of Directors, which is recorded in the minutes before any action is deemed valid and on behalf of the Board of Directors. Vacancies in the membership of said Committee are filled by appointment of the Chairperson and approval by the Board of Directors. The Executive Committee meets upon the call of the Chairperson. The Committee keeps regular minutes of its proceedings and forthwith delivers by mail, facsimile, email, or in person, a written report of the same to all members of the Board of Directors. All Acts or resolutions of the Executive Committee are subject to the approval of, or revision by, the Board of Directors, but no rights of third parties are affected by any such revision. The Secretary of the Corporation acts as Secretary of the Executive Committee.
Form 990, Part VI, Section A, line 7a		The Texas Annual Conference of the South Central Jurisdiction of the United Methodist Church ("Conference") elects the Board of Directors.
Form 990, Part VI, Section A, line 7b		The Conference has the authority to approve any amendments to the following provisions of The Methodist Hospital's Bylaws or the Articles of Incorporation: i) the provision that the Conference elects all Directors of this organization from nominees recommended by the committee on Nominations of the Conference from nominations made by the Board of Directors, (ii) the provision that a sufficient number of Directors be members of The United Methodist Church to comply with the membership requirements set forth in the Book of Discipline of The United Methodist Church, (iii) the provision that four Methodist Ministers, including the Resident Bishop be members of the Board of Directors, (iv) the provision that the Board of Directors shall consist of no more than twenty-six and no fewer than fifteen members, or (v) the provision that amend the purpose clauses (Article II and VI) of the Articles of Incorporation of the Corporation or the dissolution clause (Article VII) of the Articles of Incorporation of the Corporation.
Form 990, Part VI, Section B, line 11		Management, including certain Officers, works diligently to complete the Form 990 and attached schedules ("return") in a thorough manner. The return is prepared by a Paid Preparer. Prior to filing the return, Board members are provided a copy of the Form 990 (including required schedules), and management team members are available to answer any Board Members' questions.
	Form 990, Part VI, Section B, line 12c	All Individuals serving in a significant decision making capacity complete a Conflict of Interest (COI) questionnaire annually. A comprehensive evaluation and thorough review of all disclosures is performed by a 6-member COI Committee comprised of executives, management, and staff. The results of the COI disclosures are reported to the Audit & Compliance Committee and The Methodist Hospital Board of Directors, including the actions being taken to protect the integrity of decision-making. In addition, disclosure results are also communicated to management and to affected committee chairs to promote transparency and to ensure that actions are taken and restrictions are imposed where appropriate. Conflicted individuals may not vote or exert self-serving influence on the disclosed matter.
	Form 990, Part VI, Section B, line 15	This organization follows IRS regulations as it relates to establishing a rebuttable presumption of reasonableness related to total compensation of key employees and compensated officers of the organization listed below. It has established a process that includes the following elements: A separate committee (the Board Committee) comprised of independent directors meets at least annually to review, deliberate and make recommendations to the Board as it relates to any changes in total compensation including base pay, bonus awards from incentive programs or benefits and perquisites of the CEO and other officers and some key employees (typically those who report directly to the CEO). For 2010, the Board Committee reviewed and recommended compensation packages for the following positions: - President/CEO, The Methodist Hospital System - EVP, Chief Financial Officer/Chief Administrative Officer, The Methodist Hospital System - EVP, Chief Medical Officer/Chief Academic Officer, The Methodist Hospital System - EVP, The Methodist Hospital - SVP, President & CEO of Methodist International - EVP, Chief Legal Officer, The Methodist Hospital System The Board Committee establishes that no member has any conflict of interest with regard to the executive compensation arrangements being approved. The Board Committee reviews and considers information provided by an external consultant engaged to ensure it has direct access to: - Compensation information paid by comparable organizations, for functionally comparable positions. - Compensation norms in the organization's immediate locale and from other independent compensation surveys by nationally recognized independent firms that represent the organization's logical peer group; - Compensation information that includes information on base salary, incentives, benefits and perquisites for total compensation comparison purposes to ensure reasonable competitive ranking. The committee relies on the comparability data to reach consensus that its recommendations to the Board regarding executive compensation changes are reasonable and in line with this organization's overall total compensation philosophy for executive pay. The deliberation and decisions of the committee are contemporaneously substantiated. The compensation for positions held by Key Employees not included in the process above, specifically the SVP, Nursing and SVP, Operations for The Methodist Hospital, is determined based on a thorough review of numerous compensation studies conducted by nationally recognized, independent firms that provide market data for total compensation for similar positions. The compensation information considered includes information on base salary, incentives, and benefits for total compensation purposes to ensure reasonable competitive ranking in order to meet recruitment and retention objectives that secure the talent required to contribute to organizational success.
	Form 990, Part VI, Section C, line 19	The governing documents (except for the Articles of Incorporation, which are on file with the Secretary of the State of Texas), conflict of interest policy, and financial statements of the organization are not made available to the general public.
Compensation of Officers, Directors, Key Employees, Highest Compensated:	Part VII, Section A	Pursuant to Treasury Reg Section 1 6033-2(D)(5), The Methodist Hospital has elected to report information about contributions, gifts & grants, compensation and other information about Officers, Directors, Trustees, Key Employees, Former Employees, certain other highly paid employees, certain professional contractors and certain other contrators on a consolidated basis for all of the members of the group, including the parent organization, on the Group Return of Methodist Hospital Group, EIN 35-2410801. Form 990, Part VII, Section B Highest Pd Independent Contractors: Pursuant to Treasury Reg Section 1 6033-2(D)(5), The Methodist Hospital has elected to report information about contributions, gifts & grants, compensation and other information about Officers, Directors, Trustees, Key Employees, Former Employees, certain other highly paid employees, certain professional contractors and certain other contrators on a consolidated basis for all of the members of the group, including the parent organization, on the Group Return of Methodist Hospital Group, EIN 35-2410801.
Professional Service:	Form 990, Part IX, Line 24b	Professional Service 140,347,344 Corporate Management fee allocation -62,545,227 Professional Service Net 77,802,117
Changes in Net Assets or Fund Balances:	Form 990, Part XI, line 5:	Net unrealized gains on investments: 216,392,859. Prior period adjustments: -10,583,660. Transfer to Methodist Hospital Foundation -1,609,372. Donated Equipment 7,114,523. Transfer from Donor Restricted Funds (Net) 149,474. Total to Form 990, Part XI, Line 5: 211,463,824.
Included in Group Return	Schedule B, Detail	Pursuant to Treasury Reg Section 1 6033-2(D)(5), The Methodist Hospital has elected to report information about contributions, gifts & grants, compensation and other information about Officers, Directors, Trustees, Key Employees, Former Employees, certain other highly paid employees, certain professional contractors and certain other contrators on a consolidated basis for all of the members of the group, including the parent organization, on the Group Return of Methodist Hospital Group, EIN 35-2410801.

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

THE METHODIST HOSPITAL

Employer identification number

74-1180155

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

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) METHODIST HOSPITAL SELF INSURANCE TRUST 6565 FANNIN HOUSTON,TX77030 74-1948396	INSURANCE TRUST	TX	501(c)(3)	Line 11a, I	THE METHODIST HOSPITAL	Yes
(2) SAN JACINTO FAMILY PRACTICE EDUCATION FOUNDATION 4401 GARTH ROAD BAYTOWN,TX77521 76-0556120	HEALTH CARE EDUCATION	TX	501(c)(3)	Line 11a, I	SAN JACINTO METHODIST HOSPITAL		No
(3) SAN JACINTO MEDICAL GROUP 4401 GARTH ROAD BAYTOWN,TX77521 76-0516915	HEALTH CARE	TX	501(c)(3)	Line 11a, I	SAN JACINTO METHODIST HOSPITAL		No
(4) THE METHODIST HEALTH CARE SYSTEM STD PLAN TRUST 6565 FANNIN HOUSTON,TX77030 76-6161019	INSURANCE TRUST	TX	SECTION 671	N/A	THE METHODIST HOSPITAL	Yes
(5) METHODIST RADIOLOGY ASSOCIATES PLLC 6565 FANNIN HOUSTON,TX77030 38-3768845	HEALTH CARE	TX	501(c)(3)	Line 11b, II	TMH PHYSICIAN ORGANIZATION		No
(6) TMH PHYSICIAN ASSOCIATES PLLC 6565 FANNIN HOUSTON,TX77030 30-0520570	HEALTH CARE	TX	501(c)(3)	Line 11b, II	TMH PHYSICIAN ORGANIZATION		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	(e) Predominant income(related, unrelated, excluded from tax under sections 512-514)	(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) MEDVEST 1 LIMITED PARTNERSHIP 6565 FANNIN HOUSTON,TX77030 76-0534067	HEALTH CARE INVESTMENT	TX	N/A	N/A				No			No

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)	(f) Share of total income	(h) Percentage ownership
(1) ALLIED METHODIST HOSPITAL PHYSICIANS 6565 FANNIN HOUSTON,TX77030 76-0551274	PHYSICIAN GROUP	TX	N/A	C
(2) MEDVEST HOLDINGS INC 6565 FANNIN HOUSTON,TX77030 76-0667765	HEALTHCARE INVESTMENT	TX	N/A	C
(3) MEDVEST INCORPORATED 6565 FANNIN HOUSTON,TX77030 76-0182470	PHARMACY	TX	N/A	C
(4) METHODIST INTERNATIONAL 6565 FANNIN HOUSTON,TX77030 30-0347273	HEALTHCARE CONSULTING	TX	N/A	C
(5) METHODIST WILLOWBROOK MOB CONDO ASSOCIATION 6565 FANNIN HOUSTON,TX77030 68-0500294	CONDO ASSOCIATION	TX	N/A	C
(6) METHODIST WILLOWBROOK MOB CONDO ASSOCIATION II 6565 FANNIN HOUSTON,TX77030 26-2137993	CONDO ASSOCIATION	TX	N/A	C
(7) SAN JACINTO METHODIST-ALEXANDER CONDOMINIUM ASSOCIATION 6565 FANNIN HOUSTON,TX77030 47-0921764	CONDO ASSOCIATION	TX	N/A	C
(8) SJMH CONDOMINIUM ASSOCIATION 6565 FANNIN HOUSTON,TX77030 41-2096917	CONDO ASSOCIATION	TX	N/A	C
(9) THE METHODIST HOSPITAL CONDOMINIUM ASSOCIATION 6565 FANNIN HOUSTON,TX77030 86-1065871	CONDO ASSOCIATION	TX	N/A	C
(10) TMH MEDICAL OFFICE BUILDINGS CONDOMINIUM ASSOCIATION 6565 FANNIN HOUSTON,TX77030 76-0287893	CONDO ASSOCIATION	TX	N/A	C
(11) METHODIST WEST HOUSTON MOB CONDOMINIUM ASSOC 6565 FANNIN HOUSTON,TX77030 30-0655123	CONDO ASSOCIATION	TX	N/A	C
(12) WELSEY INSURANCE COMPANY SPC LTD 6565 FANNIN HOUSTON,TX77030 98-0405036	INSURANCE	CJ	THE METHODIST HOSPITAL	C	449,178	100.000 %

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 . . . . . . . . . . . . . . . . . . . . . . .

Yes

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

Yes

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) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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) . . . . . . . . . . . . . . . . . . . . . . . . . . .

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) . . . . . . . . . . . . . . . . . . . . . .

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

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

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

Yes

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

Yes

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

Yes

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

Yes

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) Methodist Hospital Foundation	K	436,200	Fair Market Value
(2) Methodist Hospital Foundation	Q	11,592,056	Fair Market Value
(3) Methodist Hospital Foundation	C	8,938,744	Fair Market Value
(4) Methodist International	O	3,154,431	Fair Market Value
(5) Methodist International	P	116,392	Fair Market Value
(6) Methodist International	K	74,400	Fair Market Value
(7) Methodist International	A	50,846	Fair Market Value
(8) Methodist International	Q	2,929,804	Fair Market Value
(9) Allied Methodist Hospital Physicians	O	677,307	Fair Market Value
(10) Allied Methodist Hospital Physicians	K	88,900	Fair Market Value
(11) Allied Methodist Hospital Physicians	A	35,857	Fair Market Value
(12) Allied Methodist Hospital Physicians	Q	563,285	Fair Market Value
(13) Methodist Hospital Self Insurance Trust	O	8,000,000	Fair Market Value
(14) TMH Physician Organization	O	64,275,956	Fair Market Value
(15) TMH Physician Organization	P	4,916,515	Fair Market Value
(16) TMH Physician Organization	K	1,020,000	Fair Market Value
(17) TMH Physician Organization	A	6,105,958	Fair Market Value
(18) TMH Physician Organization	Q	64,831,367	Fair Market Value
(19) Medvest Incorporated	K	198,999	Fair Market Value
(20) Medvest Incorporated	A	88,503	Fair Market Value
(21) Medvest Incorporated	R	1,640,132	Fair Market Value
(22) Methodist Health Centers	O	312,558	Fair Market Value
(23) Methodist Health Centers	P	3,510,117	Fair Market Value
(24) Methodist Health Centers	K	35,321,300	Fair Market Value
(25) Methodist Health Centers	R	129,429,394	Fair Market Value
(26) Diagnostic Center Hospital	O	1,730,769	Fair Market Value
(27) Diagnostic Center Hospital	Q	1,038,469	Fair Market Value
(28) TMH Medical Office Buildings	O	6,370,300	Fair Market Value
(29) TMH Medical Office Buildings	A	564,527	Fair Market Value
(30) TMH Medical Office Buildings	P	529,480	Fair Market Value
(31) TMH Medical Office Buildings	K	1,196,000	Fair Market Value
(32) TMH Medical Office Buildings	Q	43,746,388	Fair Market Value
(33) The Methodist Hospital Research Institute	O	41,049,580	Fair Market Value
(34) The Methodist Hospital Research Institute	P	1,127,035	Fair Market Value
(35) The Methodist Hospital Research Institute	K	830,568	Fair Market Value
(36) The Methodist Hospital Research Institute	A	7,850,533	Fair Market Value
(37) The Methodist Hospital Research Institute	Q	219,247,120	Fair Market Value
(38) San Jacinto Methodist Hospital	P	340,893	Fair Market Value
(39) San Jacinto Methodist Hospital	K	14,607,720	Fair Market Value
(40) San Jacinto Methodist Hospital	A	540,934	Fair Market Value
(41) San Jacinto Methodist Hospital	R	18,662,085	Fair Market Value

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: PROVIDE MEDICAL CARE (SEE MISSION STATEMENT ON PAGE 2)
2	Check this box
3	Number of voting members of the governing body (Part VI, line 1a) ....	3	24
4	Number of independent voting members of the governing body (Part VI, line 1b) ....	4	21
5	Total number of individuals employed in calendar year 2010 (Part V, line 2a) ...	5	7,786
6	Total number of volunteers (estimate if necessary) ....	6	1,489
7a	Total unrelated business revenue from Part VIII, column (C), line 12 ..	7a	447,901
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) .........	10,670,118	8,808,654
9	Program service revenue (Part VIII, line 2g) .........	1,185,216,495	1,187,213,665
10	Investment income (Part VIII, column (A), lines 3, 4, and 7d ) ....	50,593,825	-24,794,667
11	Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)	113,537,283	24,203,482
12	Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)...................	1,360,017,721	1,195,431,134
13	Grants and similar amounts paid (Part IX, column (A), lines 1–3 )...	5,891,051	6,685,648
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)	500,139,242	503,504,187
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)....	707,671,822	638,104,199
18	Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25)	1,213,702,115	1,148,294,034
19	Revenue less expenses. Subtract line 18 from line 12......	146,315,606	47,137,100
		Beginning of Current Year	End of Year
20	Total assets (Part X, line 16)............	4,617,059,746	4,871,953,096
21	Total liabilities (Part X, line 26)............	2,042,694,012	2,038,986,438
22	Net assets or fund balances. Subtract line 21 from line 20 .....	2,574,365,734	2,832,966,658

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 $ 943,881,815 including grants of $ 6,685,648 ) (Revenue $ 1,187,213,665 )
	SEE SCHEDULE OCurrently The Methodist Hospital operates 934 staffed beds in its Texas Medical Center facilities. The Methodist Hospital recorded 389,119 visits during 2010 which was comprised of 306,329 outpatient visits, 45,254 emergency room visits and 37,536 inpatient visits and performed 16,245 inpatient surgeries and 17,173 outpatient surgeries in 2010.The principal medical services available at The Methodist Hospital are Anesthesiology, Cardiovascular Surgery, Oral & Maxillofacial-Hospital Dentistry, Dermatology, Family Medicine, General Surgery, Internal Medicine, Atherosclerosis/Lipoprotein, Cardiology, Clinical Immunology, Gastroenterology, General Medicine, Hematology, Hypertension, Infectious Diseases, Medical Genetics, Metabolic and Endocrine Diseases, Nuclear Medicine, Oncology, Pharmacology, Pulmonary Diseases, Renal Diseases, Rheumatology, Neurophysiology, Neurosurgery, Obstetrics and Gynecology, Ophthalmology, Orthopedic Surgery, Otolaryngology-Head & Neck Surgery, Pathology, Pediatrics, Physical Medicine and Rehabilitation, Plastic Surgery, Psychiatry, Radiology, Radiotherapy, and Urology. The Methodist Hospital also offers a range of additional patient services, including ambulatory surgery, a blood donor center, diabetes treatment in a dedicated inpatient unit, a rehabilitation center, a skilled nursing facility, and a broad range of preventive health care instruction, including smoking cessation, stress management, weight control, and cardiac and pulmonary rehabilitation.General outpatient services offered by The Methodist Hospital include audiology, speech pathology, psychiatric services, diagnostic cardiology (including nuclear cardiology, echocardiography, electrocardiography, pacemaker evaluation, and coronary catheterization), chronic renal dialysis, endoscopy, emergency services, general and diagnostic radiology (including fluoroscopy, ultrasound, mammography, myelography, CT scanning, and MRI), nuclear medicine, pathology, peripheral vascular laboratory, dermatology, physical medicine, radiotherapy, sleep studies and neurophysiologic evaluations, and surgery.The Methodist Hospital operates a multi-organ transplant center. Transplants being performed at present include kidney, heart, lungs, liver, pancreas, islet cell and bone marrow. The Methodist Hospital performed the first islet cell transplant in Texas of liver cells from a donor's pancreas to the liver of a diabetic patient resulting in donor cells producing insulin.The Methodist Hospital responds to the community's needs not only through the provision of medical care, but also through education of health professionals and patients, community health education, donations to health care related events and other services, and medical and health research.

4b	(Code: ) (Expenses $ including grants of $ ) (Revenue $ )
	SEE SCHEDULE O

4c	(Code: ) (Expenses $ including grants of $ ) (Revenue $ )












4d	Other program services. (Describe in Schedule O.)
	(Expenses $ including grants of $ ) (Revenue $ )
4e	Total program service expenses$ 943,881,815

(A) Name and Title	(B) Average hours per week (describe hours for related organizations in Schedule O)	(C) Position (check all that apply)					(D) Reportable compensation from the organization (W- 2/1099-MISC)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)	(F) Estimated amount of other compensation from the organization and related organizations
(A) Name and Title
(1) Methodist Hospital Group See Schedule O	2.00	X					85,092	62,601	22,016
(2) Methodist Hospital Group See Schedule O	43.00		X				3,589,228	0	106,876
(3) Methodist Hospital Group See Schedule O	48.00			X			3,750,742	0	289,067
(4) Methodist Hospital Group See Schedule O	50.00				X		1,432,213	0	123,747
(5) Methodist Hospital Group See Schedule O	0.00					X	0	147,177	5,391

1b	Sub-Total................
c	Total from continuation sheets to Part VII, Section A....
d	Total (add lines 1b and 1c)............	8,857,275	209,778	547,097

(A) Name and business address	(B) Description of services	(C) Compensation
Methodist Hospital Group See Schedule O Houston,TX77030	See Schedule O	91,851,643




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 107

				(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		8,781,769
e	Government grants (contributions)1e

f	All other contributions, gifts, grants, and similar amounts not included above1f		26,885
g	Noncash contributions included in lines 1a-1f:$
h	Total. Add lines 1a-1f.......			8,808,654
			Business Code
2a	Patient Care Services		900,099	1,168,068,037	1,168,068,037
b	Related Org. Rent		531,390	19,145,628	19,145,628
c
d
e
f	All other program service revenue .
g	Total. Add lines 2a–2f........			1,187,213,665
3	Investment income (including dividends, interest
	and other similar amounts).....			36,749,962			36,749,962
4	Income from investment of tax-exempt bond proceeds..
5	Royalties............
		(i) Real	(ii) Personal
6a	Gross Rents
b	Less: rental expenses
c	Rental income or (loss)
d	Net rental income or (loss).......
		(i) Securities	(ii) Other
7a	Gross amount from sales of assets other than inventory	3,936,665,000	529,400
b	Less: cost or other basis and sales expenses	3,956,979,718	41,759,311
c	Gain or (loss)	-20,314,718	-41,229,911
d	Net gain or (loss)..........			-61,544,629			-61,544,629
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	Other Income		900,099	13,831,826		85,602	13,746,224
b	Patient Food Services		900,099	9,923,541			9,923,541
c	Management Fee Income		541,200	362,299		362,299
d	All other revenue ....			85,816			85,816
e	Total. Add lines 11a–11d ......			24,203,482
12	Total revenue. See Instructions....			1,195,431,134	1,187,213,665	447,901	-1,039,086


				(A) Beginning of year		(B) End of year
1	Cashnon-interest-bearing ..........			14,192,530	1	43,977,213
2	Savings and temporary cash investments .......				2
3	Pledges and grants receivable, net .........				3
4	Accounts receivable, net .........			167,343,738	4	163,566,566
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 .............			989,141	7
8	Inventories for sale or use ..............			18,198,026	8	18,686,352
9	Prepaid expenses and deferred charges ............			32,971,915	9	33,500,214
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	2,022,745,169
b	Less: accumulated depreciation. .....	10b	988,412,844	643,521,344	10c	1,034,332,325
11	Investments—publicly traded securities ..........			2,595,805,534	11	2,602,818,008
12	Investments—other securities. See Part IV, line 11 ......				12
13	Investments—program-related. See Part IV, line 11 ..				13
14	Intangible assets .........			17,999,567	14	17,999,567
15	Other assets. See Part IV, line 11 ...........			1,126,037,951	15	957,072,851
16	Total assets. Add lines 1 through 15 (must equal line 34)...			4,617,059,746	16	4,871,953,096
17	Accounts payable and accrued expenses .			229,550,476	17	231,584,311
18	Grants payable ..........				18
19	Deferred revenue ..........				19
20	Tax-exempt bond liabilities ..........			1,746,024,401	20	1,741,831,967
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 ..				23
24	Unsecured notes and loans payable to unrelated third parties ....				24
25	Other liabilities. Complete Part X of Schedule D.....			67,119,135	25	65,570,160
26	Total liabilities. Add lines 17 through 25.....			2,042,694,012	26	2,038,986,438
	Organizations that follow SFAS 117, check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets .....			2,574,358,233	27	2,832,966,658
28	Temporarily restricted net assets .....			7,501	28	0
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 .....			2,574,365,734	33	2,832,966,658
34	Total liabilities and net assets/fund balances .....			4,617,059,746	34	4,871,953,096

1	Was the organization a U.S. transferor of property to a foreign corporation during the tax year? If "Yes," the organization may be required to file Form 926 (see instructions for Form 926).................	Yes	No
2	Did the organization have an interest in a foreign trust during the tax year? If " Yes," the organization may be required to file Form 3520 and/or Form 3520-A. (see instructions for Forms 3520 and 3520-A)..........	Yes	No
3	Did the organization have an ownership interest in a foreign corporation during the tax year? If "Yes," the organization may be required to file Form 5471, Information Return of U.S. Persons with respect to Certain Foreign Corporations. (see instructions for Form 5471)..............................	Yes	No
4	Was the organization a direct or indirect shareholder of a passive foreign investment company or a qualified electing fund during the tax year? If "Yes," the organization may be required to file Form 8621, Return by a Shareholder of a Passive Foreign Investment Company or Qualified Electing Fund. (see instructions for Form 8621)	Yes	No
5	Did the organization have an ownership interest in a foreign partnership during the tax year? If "Yes," the organization may be required to file Form 8865, Return of U.S. Persons with respect to Certain Foreign Partnerships. (see instructions for Form 8865)....................................	Yes	No
6	Did the organization have any operations in or related to any boycotting countries during the tax year? If "Yes," the organization may be required to file Form 5713, International Boycott Report (see instructions for Form 5713)................................................	Yes	No