TY 2010 Form 990

(A) Name and Title	(B) Average hours per week (describe hours for related organizations in Schedule O)	(C) Position (check all that apply)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)	(F) Estimated amount of other compensation from the organization and related organizations
(1) CHRISTOPHER ARISMENDI MD CEO/PRESIDENT/DIRECTOR	40.00	X	X			313,923	133,629
(2) SAM L TOCCOLI VICE PRESIDENT/DIRECTOR	10.00	X				0	0
(3) DAN DIXON SECRETARY/DIRECTOR	10.00	X				0	0
(4) DR PHILIP RUHL DIRECTOR	10.00	X				0	0
(5) DR CORKY HULL DIRECTOR	10.00	X				0	0
(6) DR ROBERT LAWRENCE DIRECTOR	10.00	X				0	0
(7) WILLIAM TREZZA DIRECTOR	10.00	X				0	0
(8) CYRUS DAH CFO	40.00		X			396,587	118,500
(9) NICHOLAS ARISMENDI COO	40.00			X		245,845	112,118
(10) JANINE HAWKINS CNO	40.00			X		198,405	59,270
(11) GLENN WHIPPLE CIO	40.00			X		190,236	43,327
(12) WILLIAM CHASE DIRECTOR OF FINANCE	40.00			X		317,706	124,953
(13) SANDRA MAYER DIR, SURG & CARD SVC	40.00				X	222,371	38,910
(14) CHRIS PETERSON SUPV, CARDIAC CATH	40.00				X	185,691	41,408
(15) CHAD DAVIS REGISTERED NURSE	40.00				X	175,143	11,239
(16) TERRENCE THOMAS REGISTERED NURSE	40.00				X	166,494	26,268
(17) DEBORAH WARE CARDIAC CATH TECH	40.00				X	165,173	22,135

(A) Name and business address	(B) Description of services	(C) Compensation
CALIFORNIA HOSPITALISTS PHYSICIANS INC 530 WEST ACACIA STREET STOCKTON,CA95203	PHYSICIAN COVERAGE, MGMT AND PROFESSIONA	841,762
DIALYSIS & PHERESIS TECHNOLOGIES INC PO BOX 692312 STOCKTON,CA952692312	RENAL DIALYSIS SERVICES	808,922
REHAB PRACTICE MANAGEMENT 9364 ANSLEY LANE BRENTWOOD,TN370273312	PHYSICAL AND OCCUPATIONAL THERAPY	779,437
CORKY HULL MEDICAL ASSOCIATES PO BOX 1779 STOCKTON,CA95201	PHYSICIAN SERVICES	294,699
ANESTHESIOLOGY CONSULTANTS MED GROUP PO BOX 13728 STOCKTON,CA95853	ANESTHESIOLOGY SERVICES	237,361
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 12

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
2	Grants and other assistance to individuals in the U.S. See Part IV, line 22
3	Grants and other assistance to governments, organizations, and individuals outside the U.S. See Part IV, lines 15 and 16
4	Benefits paid to or for members
5	Compensation of current officers, directors, trustees, and key employees ....	1,952,614		1,952,614
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	64,997,264	61,939,034	3,058,230
8	Pension plan contributions (include section 401(k) and section 403(b) employer contributions) ....	2,852,248	2,671,526	180,722
9	Other employee benefits .......	20,441,824	19,317,809	1,124,015
10	Payroll taxes ...........	5,889,141	5,547,091	342,050
11	Fees for services (non-employees):
a	Management ......	2,304,610	2,123,610	181,000
b	Legal .........	453,596		453,596
c	Accounting ...........	436,550		436,550
d	Lobbying ...........
e	Professional fundraising. See Part IV, line 17..
f	Investment management fees ......	64,324		64,324
g	Other ..........	19,568,693	15,858,309	3,710,384
12	Advertising and promotion ....
13	Office expenses .......	29,312,159	29,064,970	247,189
14	Information technology ......	4,914,221	4,914,221
15	Royalties ..
16	Occupancy ...........	1,664,425	1,410,010	254,415
17	Travel ............	108,826	92,658	16,168
18	Payments of travel or entertainment expenses for any federal, state, or local public officials ......
19	Conferences, conventions, and meetings ....	141,848	114,689	27,159
20	Interest ...........	725,937	725,937
21	Payments to affiliates .......
22	Depreciation, depletion, and amortization .....	8,479,737	8,479,737
23	Insurance ..............	1,306,754		1,306,754
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	BAD DEBTS PROVISION	10,635,856	10,635,856
b	MEDI-CAL HOSPITAL FEE E	9,177,339	9,177,339
c	PHARMACY EXPENSES	255,902	255,902
d	DUES & SUBSCRIPTIONS	82,468	48,185	34,283
e
f	All other expenses	47,919	16,322	31,597
25	Total functional expenses. Add lines 1 through 24f	185,814,255	172,393,205	13,421,050	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 ..........	3,336	1	3,369
2	Savings and temporary cash investments .......	1,720,763	2	1,154,943
3	Pledges and grants receivable, net .........		3
4	Accounts receivable, net .........	28,318,768	4	27,519,384
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 .............	1,203,626	7	1,468,498
8	Inventories for sale or use ..............	3,115,633	8	3,002,323
9	Prepaid expenses and deferred charges ............	2,396,193	9	2,585,645
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	170,041,610
b	Less: accumulated depreciation. .....	10b	91,174,383	76,521,666	10c	78,867,227
11	Investments—publicly traded securities ..........	64,461,645	11	61,955,053
12	Investments—other securities. See Part IV, line 11 ......	398,390	12	398,390
13	Investments—program-related. See Part IV, line 11 ..		13
14	Intangible assets .........		14
15	Other assets. See Part IV, line 11 ...........	2,943,204	15	9,606,936
16	Total assets. Add lines 1 through 15 (must equal line 34)...	181,083,224	16	186,561,768
	17	Accounts payable and accrued expenses .	14,370,522	17	13,637,367
18	Grants payable ..........		18
19	Deferred revenue ..........		19
20	Tax-exempt bond liabilities ..........	13,120,000	20	12,760,003
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 ..	18,404,891	23	14,556,281
24	Unsecured notes and loans payable to unrelated third parties ....		24
25	Other liabilities. Complete Part X of Schedule D.....	3,684,893	25	4,815,588
26	Total liabilities. Add lines 17 through 25.....	49,580,306	26	45,769,239
		Organizations that follow SFAS 117, check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets .....	131,128,894	27	140,389,848
28	Temporarily restricted net assets .....	374,024	28	402,681
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 .....	131,502,918	33	140,792,529
34	Total liabilities and net assets/fund balances .....	181,083,224	34	186,561,768

- 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

DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

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

DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

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 DAMERON HOSPITAL ASSOCIATION
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 DAMERON HOSPITAL ASSOCIATION
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
DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

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 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

DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

Part I

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

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

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

Yes No

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

Yes No

Part II

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

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

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

Protection of natural habitat Preservation of a certified historic structure

Preservation of open space

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


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

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

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

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

Yes No

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

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

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

Yes No

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

Part III

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

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

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

(i)

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

(ii)

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

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

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

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

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

Cat. No. 52283D

Schedule D (Form 990) 2010

Page 2

Part III

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

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

Public exhibition

Loan or exchange programs

Scholarly research

Other

Preservation for future generations

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

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

Yes No

Part IV

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

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

Yes No

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


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

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

Yes No

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

Part V

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

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

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

Board designated or quasi-endowment: SchDMd Bullet

Permanent endowment: SchDMd Bullet

Term endowment: SchDMd Bullet

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

Yes

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

3a(i)

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

3a(ii)

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

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

Part VI

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

Description of investment		(a) Cost or other basis (investment)	(b)Cost or other basis (other)	(c) Accumulated depreciation	(d) Book value
1a	Land .................		2,858,678		2,858,678
b	Buildings ................	1,980,008	74,485,259	36,817,586	39,647,681
c	Leasehold improvements ............		1,347,500	672,908	674,592
d	Equipment ................		79,044,800	53,683,889	25,360,911
e	Other .................		10,325,365		10,325,365
Total. Add lines 1a-1e. (Column (d) should equal Form 990, Part X, column (B), line 10(c).)........					78,867,227

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) BOND ISSUANCE COSTS				89,037
(2) OTHER RECEIVABLES				54,619
(3) COST REPORT SETTLEMENT RECEIVABLE				7,487,791
(4) DEFERRED COMPENSATION FUND				1,684,766
(5) ACCRUED INTEREST ON INVESTMENTS				290,723




Total. (Column (b) should equal Form 990, Part X, col.(B) line 15.)...........				9,606,936

Part X

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

1.(a) Description of Liability		(b) Amount
Federal Income Taxes
RISK MANAGEMENT PROGRAMS		4,815,588








Total. (Column (b) should equal Form 990, Part X, col.(B) line 25.)		4,815,588
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	196,437,503
2	Total expenses (Form 990, Part IX, column (A), line 25) .....................	2	185,814,255
3	Excess or (deficit) for the year. Subtract line 2 from line 1 .............	3	10,623,248
4	Net unrealized gains (losses) on investments ..........................	4	-215,181
5	Donated services and use of facilities .............................	5
6	Investment expenses ...................................	6
7	Prior period adjustments ..................................	7
8	Other (Describe in Part XIV) .................................	8	-1,118,456
9	Total adjustments (net). Add lines 4 - 8 .............................	9	-1,333,637
10	Excess or (deficit) for the year per financial statements. Combine lines 3 and 9 .........	10	9,289,611

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	195,969,621
2	Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a	Net unrealized gains on investments ..........	2a	-215,181
b	Donated services and use of facilities .........	2b
c	Recoveries of prior year grants ...........	2c
d	Other (Describe in Part XIV): ............	2d	1,287,893
e	Add lines 2a through 2d .....................			2e	1,072,712
3	Subtract line 2e from line 1.....................			3	194,896,909
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	64,324
b	Other (Describe in Part XIV): ...........	4b	1,476,270
c	Add lines 4a and 4b.......................			4c	1,540,594
5	Total Revenue. Add lines 3 and 4c. (This should equal Form 990, Part I, line 12.) ......			5	196,437,503

Part XIII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return
1	Total expenses and losses per audited financial statements .............			1	186,680,010
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	1,287,893
e	Add lines 2a through 2d......................			2e	1,287,893
3	Subtract line 2e from line 1.....................			3	185,392,117
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	64,324
b	Other (Describe in Part XIV): ............	4b	357,814
c	Add lines 4a and 4b.......................			4c	422,138
5	Total expenses. Add lines 3 and 4c. (This should equal Form 990, Part I, line 18.) ......			5	185,814,255

Part XIV

Supplemental Information

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

Identifier	Return Reference	Explanation
DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48:	PART X:	THE HOSPITAL ADOPTED THE PROVISIONS OF FASB ACCOUNTING STANDARDS CODIFICATION (ASC) 740-10, INCOME TAXES, RELATING TO ACCOUNTING FOR UNCERTAIN TAX POSITIONS ON JANUARY 1, 2007, WHICH HAD NO FINANCIAL STATEMENT IMPACT TO THE HOSPITAL. THE HOSPITAL RECOGNIZES THE TAX BENEFIT FROM UNCERTAIN TAX POSITIONS ONLY IF IT IS MORE LIKELY THAN NOT THAT THE TAX POSITIONS WILL BE SUSTAINED ON EXAMINATION BY THE TAX AUTHORITIES, BASED ON THE TECHNICAL MERITS OF THE POSITION. THE TAX BENEFIT IS MEASURED BASED ON THE LARGEST BENEFIT THAT HAS A GREATER THAN 50% LIKELIHOOD OF BEING REALIZED UPON ULTIMATE SETTLEMENT. THE HOSPITAL RECOGNIZES INTEREST AND PENALTIES RELATED TO INCOME TAX MATTERS IN OPERATING EXPENSES.
PART XI, LINE 8 - OTHER ADJUSTMENTS:		COST ASSOCIATED WITH SELF INSURED PHARMACY REVENUE -1,115,100. BOOK/TAX DIFFERENCE IN S CORP K-1 INCOME -3,356.
PART XII, LINE 2D - OTHER ADJUSTMENTS:		INTERCOMPANY PHARMACY REVENUE 1,183,494. RENTAL PROP DEPRECIATION NETTED AGAINST REVENUE ON FORM 990 104,399.
PART XII, LINE 4B - OTHER ADJUSTMENTS:		INTERCOMPANY PHARMACY EXPENSES NETTED AGAINST REVENUE ON F/S 1,115,100. FOUNDATION EXPENSES NETTED AGAINST REVENUE ON F/S 31,597. PHARMACY EXPENSES NETTED AGAINST REVENUE ON F/S 255,902. BOOK/TAX DIFFERENCE IN S CORP K-1 INCOME 3,356. REVENUE NETTED AGAINST EXPENSES ON BOOKS 25,337. INTEREST INCOME RECORDED IN NET ASSETS 890. DEPOSITS RECORDED IN NET ASSETS 44,088.
PART XIII, LINE 2D - OTHER ADJUSTMENTS:		INTERCOMPANY EMPLOYEE BENEFITS 1,183,494. RENTAL PROP DEPRECIATION NETTED AGAINST REVENUE ON 990 104,399.
PART XIII, LINE 4B - OTHER ADJUSTMENTS:		PHARMACY EXPENSES NETTED AGAINST REVENUE ON F/S 255,902. FOUNDATION EXPENSES NETTED AGAINST REVENUE ON F/S 31,597. REVENUE NETTED AGAINST EXPENSES ON BOOKS 25,336. WITHDRAWALS RECORDED IN NET ASSETS 44,979.

Schedule D (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE H
(Form 990)

Department of the Treasury
Internal Revenue Service

Hospitals

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

Attach to Form 990. MediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization

DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

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 25000.0000000000 %

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? ...

Yes

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

Yes

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

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

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

	(b) Persons served (optional)	(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) ..	804	2,406,500		2,406,500	1.370 %
b Unreimbursed Medicaid (from Worksheet 3, column a) .		38,396,280	26,503,644	11,892,636	6.790 %
c Unreimbursed costs—other means-tested government programs (from Worksheet 3, column b) ....
dTotal Charity Care and Means-Tested Government Programs .....	804	40,802,780	26,503,644	14,299,136	8.160 %
Other Benefits e Community health improvement services and community benefit operations (from (Worksheet 4) ....		101,354		101,354	0.060 %
f Health professions education (from Worksheet 5) ..		72,679		72,679	0.040 %
g Subsidized health services (from Worksheet 6) ..
h Research (from Worksheet 7)
i Cash and in-kind contributions to community groups (from Worksheet 8) ..
jTotal Other Benefits ...		174,033		174,033	0.100 %
kTotal. Add lines 7d and 7j. ..	804	40,976,813	26,503,644	14,473,169	8.260 %

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

Schedule H (Form 990) 2010

Page 2

Part II

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

		(c) Total community building expense	(e) Net community building expense	(f) Percent of total expense
1	Physical improvements and housing
2	Economic development
3	Community support	616,103	616,103	0.350 %
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	616,103	616,103	0.350 %

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).....

10,635,856

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

198,511

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).....

34,046,468

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

48,306,894

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

-14,260,426

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	DAMERON HOSPITAL ASSOCIATION 525 WEST ACACIA STREET STOCKTON,CA95203	X	X	X

Schedule H (Form 990) 2010

Page 4

Part VFacility Information (continued)

Section B. Facility Policies and Practices.

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

Name of Hospital Facility:DAMERON HOSPITAL ASSOCIATION

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: CONSISTENT WITH OUR MISSION TO OPERATE AND FURNISH CARE, TREATMENT, HOSPITALIZATION AND OTHER SERVICES, WITH OR WITHOUT COMPENSATION, THE HOSPITAL WILL PROVIDE A FULL CHARITY OR CHARITY DISCOUNT PROGRAM.IN ORDER TO BALANCE A PATIENT'S NEED FOR FINANCIAL ASSISTANCE AND THE HOSPITAL'S BROADER FISCAL RESPONSIBILITIES TO THE COMMUNITY OF MAINTAINING A FINANCIALLY HEALTHY FACILITY, THE HOSPITAL MUST DETERMINE THE PATIENT'S ABILITY TO CONTRIBUTE TO THE COST OF THEIR CARE, BASED ON THEIR INDIVIDUAL ABILITY TO PAY AS WELL AS THE REQUIREMENTS OF CALIFORNIA HEALTH & SAFETY CODE 127400-127462.EFFECTIVE JANUARY 1, 2011, PATIENTS THAT ARE UNINSURED OR HAVE HIGH MEDICAL COSTS WHO ARE AT OR BELOW 350% OF THE FEDERAL POVERTY LEVEL MAY BE ELIGIBLE FOR CHARITY CARE AND DISCOUNTED PAYMENTS FROM EMERGENCY ROOM PHYSICIAN THAT PROVIDE EMERGENCY MEDICAL SERVICES IN A GENERAL ACUTE CARE HOSPITAL. PROCEDUREPATIENTS MAY APPLY FOR CHARITY UNDER SECTION I OR SECTION II AS DESCRIBED BELOW.A. SECTION I: CHARITY DISCOUNT REQUIREMENTS OF CALIFORNIA HEALTH & SAFETY CODE 127400-127462THERE ARE TWO TYPES OF PATIENTS WHO SHALL BE ELIGIBLE TO APPLY FOR PARTICIPATION UNDER THE CHARITY DISCOUNT PROVISION OF THE CHARITY POLICY; SELF-PAY PATIENTS AND PATIENTS WITH HIGH MEDICAL COSTS. PATIENTS SEEKING QUALIFICATION OF COVERAGE UNDER THE CHARITY DISCOUNTED PROVISION OF CALIFORNIA HEALTH & SAFETY CODE 127400-127462 MUST PROVIDE DOCUMENTATION OF ELIGIBILITY BY SUBMITTING EITHER RECENT CHECK STUBS OR RECENT INCOME TAX RETURNS. FAILURE TO RETURN A COMPLETE APPLICATION WITHIN 30 DAYS SHALL RESULT IN DENIAL OF THE REQUEST FOR CHARITY CONSIDERATION. SUBSEQUENT REQUESTS FOR CONSIDERATION WILL BE PROCESSED AT THE SOLE DISCRETION OF THE HOSPITAL.1. SELF-PAY PATIENT: IF AN UNINSURED PATIENT'S DOCUMENTED INCOME FALLS AT OR BELOW 350% OF THE FEDERAL POVERTY LEVEL, THE PATIENT WILL RECEIVE CHARITY DISCOUNTED RATES IN ACCORDANCE WITH THE MEDICARE FEE SCHEDULE FOR THE SERVICES RECEIVED BY THE PATIENT. IF THE HOSPITAL PROVIDES A SERVICE FOR WHICH THERE IS NO ESTABLISHED PAYMENT BY MEDICARE OR OTHER GOVERNMENT-SPONSORED PROGRAM OF HEALTH BENEFITS IN WHICH THE HOSPITAL PARTICIPATES, THE HOSPITAL SHALL ESTABLISH AN APPROPRIATE CHARITY DISCOUNT AMOUNT.2. A PATIENT WITH HIGH MEDICAL COSTS: IF A PATIENT FALLS AT OR BELOW 350% OF THE FEDERAL POVERTY LEVEL AND DOES NOT RECEIVE A DISCOUNTED RATE AS A RESULT OF THIRD PARTY COVERAGE, AND HAS ANNUAL OUT OF POCKET COSTS INCURRED AT THE HOSPITAL OR OTHER MEDICAL PROVIDERS IN THE PRIOR 12 MONTHS THAT EXCEED 10% OF FAMILY INCOME, THE PATIENT SHALL QUALIFY FOR A CHARITY DISCOUNT. THE PATIENT SHALL BE LIABLE FOR THE LESSER OF THE BALANCE AFTER THE INSURANCE PAYMENT, OR THE APPLICABLE MEDICARE RATE.PATIENTS THAT PROVIDE REQUIRED DOCUMENTATION AND QUALIFY UNDER THE INCOME REQUIREMENTS OF THIS SECTION MAY ALSO QUALIFY FOR AN EXTENDED, INTEREST FREE, PAYMENT PLAN THAT SHALL BE REASONABLE AND MAY BE NEGOTIATED BY THE PATIENT AND THE HOSPITAL. PATIENTS ATTEMPTING TO QUALIFY FOR ELIGIBILITY IN GOOD FAITH OR TO SETTLE AN OUTSTANDING BILL WITH THE HOSPITAL BY NEGOTIATING A REASONABLE PAYMENT PLAN OR BY MAKING REGULAR PARTIAL PAYMENTS OF A REASONABLE AMOUNT SHALL NOT BE SENT TO AN OUTSIDE COLLECTION AGENCY OR OTHER ASSIGNEE, UNLESS THAT ENTITY HAS AGREED TO COMPLY WITH THE PROVISIONS OF THIS POLICY. THE HOSPITAL OR HOSPITAL'S ASSIGNEE SHALL NOT REPORT ADVERSE INFORMATION TO A CONSUMER CREDIT REPORTING AGENCY OR COMMENCE CIVIL ACTION AGAINST THE PATIENT FOR NONPAYMENT AT ANY TIME PRIOR TO 150 DAYS AFTER INITIAL BILLING.B. SECTION II: OTHER CHARITY CARENOTWITHSTANDING THE ELIGIBILITY REQUIREMENTS OF THE CHARITY DISCOUNT PROGRAM, THE HOSPITAL WILL ALSO PROVIDE A CHARITY PROGRAM TO THOSE WHO DEMONSTRATE AN INABILITY TO PAY REGARDLESS OF INSURANCE STATUS.IN DETERMINING AN INDIVIDUAL'S ABILITY TO PAY, IT IS IMPORTANT TO DISTINGUISH BETWEEN AN INDIVIDUALS INABILITY TO PAY VERSUS UNWILLINGNESS TO PAY. IN ORDER TO EVALUATE INABILITY VERSUS UNWILLINGNESS, THE FOLLOWING CRITERIA, IF AVAILABLE, SHOULD BE USED:1. THE EMPLOYMENT STATUS OF THE PATIENT, SPOUSE, OR PARENTS ALONG WITH THE PROSPECT OF FUTURE EARNINGS BEING SUFFICIENT TO MEET THE OBLIGATION WITHIN A REASONABLE PERIOD OF TIME.2. FAMILY SIZE.3. NET WORTH SHOULD BE CONSIDERED INCLUDING ALL LIQUID AND NON-LIQUID ASSETS OWNED, LESS LIABILITIES AND CLAIMS AGAINST ASSETS. RETIREMENT AND DEFERRED-COMPENSATIONS PLANS QUALIFIED UNDER THE INTERNAL REVENUE CODE AS WELL AS NONQUALIFIED DEFERRED-COMPENSATION PLANS SHALL NOT BE USED IN DETERMINING NET WORTH. FURTHERMORE, THE FIRST $10,000 OF PATIENT'S MONETARY ASSETS SHALL NOT BE COUNTED IN DETERMINING ELIGIBILITY NOR SHALL 50% OF A PATIENT'S MONETARY ASSETS OVER THE FIRST $10,000. NOTE: THE HOSPITAL MAY REQUIRE WAIVERS OR RELEASES FROM THE PATIENT AUTHORIZING THE HOSPITAL TO OBTAIN VERIFYING INFORMATION FROM FINANCIAL OR COMMERCIAL INSTITUTIONS, OR OTHER ENTITIES THAT HOLD OR MAINTAIN THE MONETARY ASSETS TO VERIFY THEIR VALUE.4. THE AMOUNT(S) AND FREQUENCY OF THE HOSPITAL BILL(S) IN RELATION TO THE FACTORS OUTLINED ABOVE.5. ALL OTHER RESOURCES SHOULD FIRST BE APPLIED, INCLUDING MEDI-CAL, MEDICARE, VICTIM OF VIOLENT CRIME, AND ALL OTHER THIRD-PARTY SOURCES.6. PATIENT'S FINANCIAL REPORTS (I.E. TAX RETURNS, W2 FORMS, PAY STUBS, ETC.) MAY BE USED TO VERIFY INABILITY TO PAY AS WELL AS INVESTIGATIVE TOOLS BY THE CREDIT DEPARTMENT (I.E. CREDIT REPORTS, SKIP TRACING, ETC.).7. BANKRUPTCY COURT DETERMINATION OF INABILITY TO PAY ALL OR A PORTION OF THE ACCOUNT.8. HOMELESSNESS (NO DEMOGRAPHIC INFORMATION GIVEN AT TIME OF SERVICE; I.E., ADDRESS, CITY, STATE, ZIP, SOCIAL SECURITY NUMBER, DATE OF BIRTH, ETC.).THE CREDIT AND COLLECTIONS DEPARTMENT WILL BE RESPONSIBLE FOR DETERMINING AN INDIVIDUAL'S ABILITY TO PAY UTILIZING ALL OR A PORTION OF THE FACTORS OUTLINED ABOVE.THE DETERMINATION OF A PATIENT'S ELIGIBILITY FOR CHARITY CARE SHOULD BE MADE AS CLOSE TO THE TIME OF ADMISSION AS POSSIBLE, BUT MAY BE MADE AT ANY TIME ADEQUATE ELIGIBILITY INFORMATION IS AVAILABLE. IN MANY INSTANCES CONSIDERABLE TIME AND EFFORT IS REQUIRED TO ADEQUATELY DETERMINE A PATIENT'S FINANCIAL CONDITION.IF AN INDIVIDUAL IS DETERMINED TO BE UNABLE TO PAY FOR ALL OR PART OF THE ACCOUNT, AND THERE ARE NO OTHER AVENUES AVAILABLE TO COLLECT ON THE ACCOUNT, THEN THE UNCOLLECTED AMOUNT WILL BE WRITTEN OFF AS CHARITY CARE. OTHERWISE, THE ACCOUNT WILL BE PURSUED AS OUTLINED IN THE HOSPITAL'S COLLECTION POLICY AND PROCEDURE. UNDER NO CIRCUMSTANCES WILL CONTRACTUAL WRITE-OFFS, DISCOUNTS OR ANY OTHER ADMINISTRATIVE OR COURTESY ALLOWANCES BE WRITTEN OFF AS CHARITY CARE.THE HOSPITAL OR OTHER ASSIGNEE WHICH IS AN AFFILIATE OR SUBSIDIARY OF THE HOSPITAL SHALL NOT, IN DEALING WITH PATIENTS ELIGIBLE UNDER ANY PORTION OF THIS POLICY, USE WAGE GARNISHMENTS OR LIENS ON PRIMARY RESIDENCES AS A MEANS OF COLLECTION.A COLLECTION AGENCY OR OTHER ASSIGNEE THAT IS NOT A SUBSIDIARY OR AFFILIATE OF THE HOSPITAL SHALL NOT, IN DEALING WITH PATIENTS ELIGIBLE UNDER ANY PORTION OF THIS POLICY, USE AS A MEANS OF COLLECTING UNPAID HOSPITAL BILLS, ANY OF THE FOLLOWING:1. A WAGE GARNISHMENT, EXCEPT BY ORDER OF THE COURT.2. NOTICE OR CONDUCT A SALE OF THE PATIENT'S PRIMARY RESIDENCE.NOTHING IN THIS POLICY SHALL PRECLUDE THE HOSPITAL, COLLECTION AGENCY OR OTHER ASSIGNEE FROM PURSUING REIMBURSEMENT AND ANY ENFORCEMENT REMEDY OR REMEDIES FROM THIRD-PARTY LIABILITY SETTLEMENTS, TORTFEASORS, OR OTHER LEGALLY RESPONSIBLE PARTIES.IN THE EVENT OF A DISPUTE, A PATIENT MAY SEEK REVIEW FROM THE HOSPITAL'S PATIENT RELATIONS AND SERVICE EXCELLENCE COORDINATOR.
		PART I, LINE 7, COLUMN (F): THE BAD DEBT EXPENSE INCLUDED ON FORM 990, PART IX, LINE 25, COLUMN (A), BUT SUBTRACTED FOR PURPOSES OF CALCULATING THE PERCENTAGE IN THIS COLUMN IS $ 10635856.
		PART II: BASED ON THE NEEDS OF THE RESIDENTS OF SAN JOAQUIN COUNTY, DAMERON HOSPITAL BELIEVES A SUBSTANTIAL PART OF OUR COMMUNITY BENEFIT PLAN SHOULD CONTINUE TO FOCUS ON INCREASING ACCESS TO HEALTH CARE. DAMERON HOSPITAL HAS BEEN SERVING THE SPECIFIC MEDICAL NEEDS OF SAN JOAQUIN COUNTY FOR ALMOST 100 YEARS AND LOOKS FORWARD TO CONTINUING TO SERVE OUR LOCAL COMMUNITY.THREE LARGEST COMMUNITY HEALTH IMPROVEMENT SERVICES ACTIVITY OR PROGRAM BY NET COMMUNITY BENEFIT EXPENSE: A. AMERICAN HEART ASSOCIATION: THERE ARE TWO AHA EVENTS DAMERON PARTICIPATES IN ON A YEARLY BASIS. THE AHA HEART WALK: DAMERON HAD OVER 100 WALKERS IN 2010 AND RAISED $10,335 FOR THE EVENT. THE AHA GO RED FOR WOMEN EVENT: DAMERON DONATED $5,000 TO SPONSOR THIS EVENT, IN ADDITION TO PROVIDING LITERATURE AND A PICTURE AND A PROMISE TO REMIND WOMEN TO LOVE THEIR HEART BY MAKING LIFESTYLE CHANGES. DAMERON HAS BEEN A CONSISTENT PARTNER WITH THE AMERICAN HEART ASSOCIATION THROUGH THE YEARS, WORKING TOGETHER TO IMPROVE HEALTH CARE IN SAN JOAQUIN COUNTY. THE GO RED FOR WOMEN EVENT CELEBRATES THE ENERGY, PASSION AND POWER WOMEN HAVE TO BAND TOGETHER TO WIPE OUT HEART DISEASE AND STROKE. NUMBER OF PERSONS SERVED: UNKNOWN; COUNTY-WIDE.B. OUTPATIENT DIABETES MAP CLASS: THE JOURNEY TO CONTROL USING US DEPARTMENT OF HEALTH "DIABETES CONVERSATION MAPS" CLASS MEETS EVERY MONDAY FROM 5:30PM-7:30PM. THE CLASSES ARE OPEN TO THE PUBLIC AND REGISTRATION IS FREE. DAMERON'S ON-SITE PROGRAM COVERS EVERY STAGE OF DIABETES. DAMERON HAS A FULL STAFF OF DIETICIANS, REGISTERED NURSES, CERTIFIED DIABETES EDUCATORS, SOCIAL WORKERS AND PHYSICIANS TO ASSIST LOCAL RESIDENTS IN MAINTAINING A NORMAL, ACTIVE CENTRAL VALLEY LIFESTYLE. 162 PEOPLE ATTENDED THESE CLASSES IN 2010.C. SCHOOL MENTORING PROGRAMS: THE HEAL (HEALTH, EDUCATE AND LEADERSHIP) PROGRAM AIMS TO HELP YOUNG PEOPLE REALIZE THAT A CAREER IN HEALTH CAN BE EXCITING AND FULFILLING. THE PROGRAM EDUCATES YOUTH ABOUT VARIOUS HEALTHCARE CAREER PATHWAYS. THE STUDENTS ARE EXPOSED TO MEDICAL PROFESSIONALS, TELEMEDICINE AND MENTORING. AREA HOSPITALS ADOPT AN ENTIRE CLASS OF STUDENTS AND EXPOSE THEM TO HEALTH CARE NEEDS IN A REGION CONSISTENTLY SHORT OF QUALIFIED MEDICAL PERSONNEL. DECISION MEDICINE, A PROGRAM OF THE SAN JOAQUIN MEDICAL SOCIETY, IS A TWO WEEK PROGRAM DESIGNED TO INTRODUCE HIGH-ACHIEVING STUDENTS TO THE FIELD OF MEDICINE THROUGH INTENSIVE HANDS-ON FIELD STUFFY OPPORTUNITIES. THE PROGRAM CHALLENGES STUDENTS WITH REAL WORLD DECISIONS AS THEY EXPLORE THE MANY FACETS OF A CAREER IN THE HEALTH CARE INDUSTRY. WHILE VISITING DAMERON HOSPITAL, STUDENTS EXPLORE THE MANY SPECIALTIES OFFERED AT THE HOSPITAL. THEY ALSO GET TO LISTEN TO A LECTURE AND VIEW A DEMONSTRATION IN THE FIELD OF FORENSIC PATHOLOGY AS WELL AS HAVE LUNCH WITH PARTICIPATING PHYSICIANS. DAMERON WAS HOST TO 24 STUDENTS IN JULY 2010.THREE LARGEST COMMUNITY BENEFIT OPERATIONS ACTIVITY OR PROGRAM BY NET COMMUNITY BENEFIT EXPENSE:A. DONATIONS OF TIME, MONEY AND EQUIPMENT: DAMERON DONATED $426,735.19 IN TIME, MONEY AND EQUIPMENT IN 2010. SPONSORSHIPS INCLUDE WOMEN'S CENTER, STOCKTON DELTA ROTARY, ST. MARY'S INTERFAITH, STOCKTON CHILDREN'S HOME, SAN JOAQUIN COUNTY'S FAMILY FUN DAY IN THE PARK, AMERICAN CANCER SOCIETY, BIRTH, BABY, AND BONDING FAIR, ETC...B. HEALTH RESEARCH, EDUCATION AND TRAINING: DAMERON HOSPITAL OFFERS CONTINUING MEDICAL EDUCATION CLASSES EVERY FRIDAY AT NOON. THE CLASSES ARE OPEN TO ALL PHYSICIANS THROUGHOUT THE COMMUNITY. DAMERON IS ACCREDITED BY THE INSTITUTE FOR MEDICAL QUALITY/CALIFORNIA MEDICAL ASSOCIATION (IMQ/CMA) TO PROVIDE CONTINUING MEDICAL EDUCATION FOR PHYSICIANS. ON AVERAGE, 42 MDS ATTENDED THE CME CLASSES.C. PHYSICIAN RECRUITMENT: PHYSICIAN SUPPLY VARIES BY REGION. SOME AREAS OF CALIFORNIA, INCLUDING THE SAN JOAQUIN VALLEY, DO NOT HAVE SUFFICIENT NUMBERS OF PHYSICIANS. SAN JOAQUIN COUNTY IS DESIGNATED AS A HEALTH PROFESSIONAL SHORTAGE AREA (HPSA) BY THE U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES. HEALTH PROFESSIONAL SHORTAGE AREAS ARE DESIGNATED BY THE U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES AS HAVING SHORTAGES OF PRIMARY MEDICAL CARE, DENTAL OR MENTAL HEALTH PROVIDERS AND MAY BE GEOGRAPHIC (A COUNTY OR SERVICE AREA) OR DEMOGRAPHIC (LOW INCOME POPULATION) OR INSTITUTIONAL (COMPREHENSIVE HEALTH CENTER, FEDERALLY QUALIFIED HEALTH CENTER OR OTHER PUBLIC FACILITY). SAN JOAQUIN COUNTY IS DESIGNATED AS A PRIMARY CARE HEALTH PROFESSIONAL SHORTAGE AREA. PHYSICIAN RECRUITMENT HAS BECOME A PRIORITY OF DAMERON HOSPITAL. FOR THE MANY NEW INDIVIDUALS WHO WILL BECOME INSURED THROUGH THE EXPANSION OF PUBLIC HEALTH PROGRAMS DUE TO HEALTH CARE REFORM, MORE AND MORE PHYSICIANS WILL BE NEEDED TO PROVIDE CARE. DAMERON HOSPITAL INVESTED MORE THAN $1 MILLION IN PHYSICIAN RECRUITMENT IN 2010 AND WILL CONTINUE TO RECRUIT PHYSICIANS TO SAN JOAQUIN COUNTY IN 2011.
		PART III, LINE 4: PATIENT ACCOUNTS RECEIVABLE - THE HOSPITAL PROVIDES FOR ESTIMATED LOSSES ON PATIENT ACCOUNTS RECEIVABLE BASED ON PRIOR BAD DEBT EXPERIENCE. INTEREST OF 10% PER ANNUM IS CHARGED ON PAST BALANCES UNTIL COLLECTED OR WRITTEN OFF AND IS RECORDED WHEN PAID. PAST DUE STATUS IS BASED ON THE DATE OF SERVICES PROVIDED. UNCOLLECTIBLE RECEIVABLES ARE CHARGED-OFF WHEN DEEMED UNCOLLECTIBLE. RECOVERIES FROM PREVIOUSLY CHARGED-OFF ACCOUNTS ARE RECORDED WHEN RECEIVED.BAD DEBT EXPENSE IS NOT INCLUDED AS A COMMUNITY BENEFIT IN THE HOSPITAL'S COMMUNITY BENEFIT REPORT.
		PART III, LINE 8: IF MEDICARE DOES NOT REIMBURSE OUR COSTS FOR PATIENT CARE, THE EXCESS OF COST OVER REIMBURSEMENT SHOULD BE CONSIDERED A BENEFIT TO THE COMMUNITY WE SERVE.MEDICARE USES THE MEDICARE COST REPORT PROGRAM IN COMPUTING THE COST IN PROVIDING MEDICAL CARE SERVICES FOR MEDICARE BENEFICIARIES. THE MEDICARE COST REPORT CALCULATES ROUTINE COSTS USING PER DIEM METHODOLGY AND THE ANCILLARY COST IS CALCULATED USING COST TO CHARGE RATIOS.
		PART III, LINE 9B: THE ACCOUNT AUTOMATICALLY SETS A FOLLOW-UP DATE FOR THE COLLECTOR TO WORK. WHEN THE COLLECTOR WORKS THE ACCOUNT, THE COLLECTOR DETERMINES THE COLLECTIBILITY OF THE ACCOUNT. THIS CAN BE DETERMINED THROUGH CONTACT WITH THE PATIENT, PATIENT'S PERSONAL FINANCIAL STATEMENT, EMPLOYMENT STATUS, CBI CREDIT REPORTS, PROPERTY LISTINGS, SKIP TRACING, ETC.
		PART VI, LINE 2: DAMERON HOSPITAL PARTICIPATES IN THE SAN JOAQUIN COUNTY COMMUNITY HEALTH ASSESSMENT COLLABORATIVE (SJC2HAC), WHICH IS RESPONSIBLE FOR PREPARING AND RELEASING THE HEALTHIER SAN JOAQUIN COUNTY COMMUNITY ASSESSMENT EVERY THREE YEARS. COLLABORATIVE PARTNERS INCLUDE: DAMERON HOSPITAL, ST. JOSEPH'S MEDICAL CENTER, SUTTER TRACY COMMUNITY HOSPITAL, SAN JOAQUIN COUNTY PUBLIC HEALTH SERVICES, SAN JOAQUIN COUNTY OFFICE OF EDUCATION, FIRST 5 SAN JOAQUIN, KAISER PERMANENTE, COMMUNITY MEDICAL CENTERS, ST. MARY'S INTERFAITH COMMUNITY SERVICES, COMMUNITY PARTNERSHIP FOR FAMILIES OF SAN JOAQUIN COUNTY, HEALTH PLAN OF SAN JOAQUIN, AND THE BREASTFEEDING COALITION OF SAN JOAQUIN COUNTY. THE COLLABORATIVE ALSO PARTNERS WITH APPLIED SURVEY RESEARCH (ASR), A CONSULTING FIRM LOCATED IN NORTHERN CALIFORNIA'S BAY AREA WITH PRIOR EXPERIENCE IN CONDUCTING NEEDS ASSESSMENTS, TO COMPLETE THE 2011 ASSESSMENT. THE COLLABORATIVE HAD PREVIOUSLY PARTNERED WITH ASR TO COMPILE AND RELEASE THE 2005 AND 2008 HEALTHIER SAN JOAQUIN COUNTY COMMUNITY ASSESSMENTS. THE SAN JOAQUIN COUNTY COMMUNITY ASSESSMENT COLLABORATIVE MET IN SEPTEMBER 2004 AND DEVELOPED OVER FIFTY-FIVE QUALITY-OF-LIFE INDICATORS. THE COMMITTEE WAS REPRESENTED BY A MIXTURE OF PROFESSIONALS AND ADVOCATES, ALL OF WHOM WERE EXPERTS IN THE RESPECTIVE AREAS UNDER REVIEW. THE GROUP USED SPECIAL CRITERIA TO DEVELOP THE QUALITY OF LIFE INDICATORS USED FOR THIS PROJECT. THESE CRITERIA STIPULATED THAT INDICATORS NEED TO BE UNDERSTANDABLE TO THE GENERAL PUBLIC, RESPOND QUICKLY AND NOTICEABLY TO REAL CHANGES, BE RELEVANT FOR POLICY DECISIONS AND AVAILABLE ANNUALLY. IN 2010, ALL OF THE INDICATORS WERE REVIEWED FOR RELEVANCY AND ADDITIONAL INDICATORS AND SOURCES WERE ADDED FOR THE 2011 COMMUNITY ASSESSMENT.PRIMARY DATA IS OBTAINED FROM FACE-TO-FACE SURVEYS AND TELEPHONE SURVEYS. FACE-TO-FACE SURVEYS ARE CONDUCTED BY COLLABORATIVE MEMBERS AT DIFFERENT SITES THROUGHOUT SAN JOAQUIN COUNTY, INCLUDING FIRST 5 SAN JOAQUIN, COMMUNITY MEDICAL CENTERS, HEALTH FAIRS, HOSPITALS, AND CLINICS. OVER 1,980 FACE-TO-FACE SURVEYS WERE COMPLETED BY ADULT (AGE 18 YEARS AND OLDER) COUNTY RESIDENTS IN NOVEMBER 2007 AND 1,950 FACE-TO-FACE SURVEYS WERE COMPLETED IN AUGUST AND SEPTEMBER OF 2010. ASR CONDUCTED A TELEPHONE SURVEY (BOTH IN ENGLISH AND SPANISH) OF 430 RANDOMLY SELECTED ADULT RESIDENTS IN DECEMBER OF 2007 AND IN SEPTEMBER 2010; THE 2010 TELEPHONE SURVEY ALSO INCLUDED CALLING CELLULAR PHONE NUMBERS. THE SURVEY SAMPLE WAS PULLED FROM WIRELESS-ONLY AND WIRELESS/LAND-LINE RANDOM DIGIT DIAL PREFIXES IN SAN JOAQUIN COUNTY. CELLULAR PHONE RESPONDENTS WERE SCREENED FOR GEOGRAPHY, AS CELL PHONES ARE NOT NECESSARILY LOCATED WHERE THE NUMBER ORIGINALLY CAME FROM. CALLING CELL PHONE USERS YIELDED AN ADDITIONAL 1,110 SURVEY RESPONDENTS IN THE COUNTY.SECONDARY DATA IS COLLECTED FOR FIFTY-FIVE HEALTH INDICATORS FROM A VARIETY OF SOURCES, INCLUDING BUT NOT LIMITED TO: THE US CENSUS BUREAU, THE CALIFORNIA HEALTH INTERVIEW SURVEY (CHIS), ACADEMIC INSTITUTIONS, HEALTH CARE INSTITUTIONS, THE INTERNET, AND THE U.S. HEALTH AND HUMAN SERVICES DEPARTMENT.A COMPREHENSIVE COPY OF THE ASSESSMENT CAN BE FOUND AT WWW.HEALTHIERSANJOAQUIN.ORG.
		PART VI, LINE 3: DAMERON HOSPITAL ENCOURAGES ITS UNINSURED AND PARTIALLY INSURED PATIENTS TO APPLY FOR FINANCIAL ASSISTANCE PROGRAMS. A FINANCIAL COUNSELOR IS AVAILABLE ON SITE TO ASSIST PATIENTS THROUGH THE PROCESS OF DETERMINING PROGRAMS FOR WHICH THEY MAY QUALIFY. SIGNAGE IN ENGLISH AND SPANISH IS POSTED IN THE HOSPITAL REGISTRATION AREAS TO PROVIDE PATIENTS WITH FINANCIAL ASSISTANCE PROGRAM INFORMATION. THE FINANCIAL COUNSELOR PROVIDES ASSISTANCE WITH PROGRAMS SUCH AS MEDICAL, VICTIMS OF CRIME, HOSPITAL UNINSURED DISCOUNT, HOSPITAL CHARITY AND COUNTY MIAP, ETC.
		PART VI, LINE 4: HISPANICS MADE UP 36% OF SAN JOAQUIN COUNTY'S 2010 POPULATION, WHILE CAUCASIANS MADE UP 40%. ASIANS MADE UP 15% OF THE POPULATION. OVER THE NEXT FIVE YEARS, THE PERCENTAGE OF ASIANS AND AFRICAN-AMERICANS WILL REMAIN AT ABOUT 15% AND 7%, RESPECTIVELY. BY 2020, CAUCASIANS ARE PROJECTED TO COMPRISE 33% OF THE COUNTY POPULATION WHILE HISPANICS ARE PROJECTED TO INCREASE TO 39% AND ASIANS ARE PROJECTED TO INCREASE TO 17% OF THE TOTAL POPULATION. IN CALIFORNIA, SIMILAR POPULATION TRENDS ARE PREDICTED FROM 2010 TO 2020. CAUCASIANS ARE PROJECTED TO DECREASE FROM 42% TO 37% WHILE HISPANICS ARE ESTIMATED TO INCREASE FROM 37% TO 41% AND THE ASIAN POPULATION IS PROJECTED TO INCREASE SLIGHTLY FROM 12% TO 13%.SAN JOAQUIN COUNTY'S DIVERSITY IS ALSO REFLECTED IN THE LANGUAGES COMMONLY USED BY RESIDENTS. IN 2009, 39% OF RESIDENTS OVER AGE FIVE SPOKE A LANGUAGE OTHER THAN ENGLISH IN THEIR HOME. OF THE TOTAL POPULATION, 26% SPOKE SPANISH.ACCORDING TO THE U.S. DEPARTMENT OF LABOR, UNEMPLOYMENT ROSE TO 17.4% IN JULY 2010. THIS RATE IS HIGHER THAN JULY 2009'S UNEMPLOYMENT RATE OF 15.7%. UNEMPLOYMENT RATES HAVE BEEN RISING SINCE 2008. THE CALIFORNIA EMPLOYEE DEVELOPMENT DEPARTMENT LISTS SAN JOAQUIN COUNTY AS HAVING AN 18% UNEMPLOYMENT RATE FOR DECEMBER 2010.THE SUBPRIME MORTGAGE CRISIS IS A HIGHLY PERTINENT COMPONENT THAT IS AFFECTING COUNTY RESIDENTS' ACCESS TO AFFORDABLE HOUSING. SAN JOAQUIN COUNTY WAS NUMBER TWO IN THE NATION FOR FORECLOSURES IN 2010 BUT HOUSING COSTS REMAINED RELATIVELY UNCHANGED WITH AN AVERAGE HOME PRICE OF $181,000. THE NUMBER OF DEFAULT NOTICES IN SAN JOAQUIN COUNTY INCREASED 308% BETWEEN 2006 AND 2009, FROM 3,381 TO 13,798. IN 2008, THE COUNTY EXPERIENCED THE HIGHEST NUMBER OF DEFAULTS AT 15,430, BUT THE NUMBER OF DEFAULT NOTICES HAS DECREASED SINCE THEN.
		PART VI, LINE 6: DAMERON HOSPITAL'S GOVERNING BOARD AND THE MEDICAL STAFF ARE ACTIVE PARTICIPANTS IN COMMUNITY BENEFIT ACTIVITIES, INCLUDING DECISION MEDICINE, THE ONGOING HEALTH, EDUCATE AND LEADERSHIP (HEAL) PROGRAM, THE AMERICAN HEART ASSOCIATION'S GO RED FOR WOMEN EVENT, UNIVERSITY OF THE PACIFIC'S BEYOND OUR GATES FORUM, THE STOCKTON UNIFIED SCHOOL DISTRICT CAREERS ACADEMY COMMITTEE, THE SAN JOAQUIN COUNTY LEADERSHIP PRAYER BREAKFAST, AND DAMERON'S NICU GRADUATION CHRISTMAS PARTY, JUST TO NAME A FEW. THE HOSPITAL'S MEDICAL STAFF OPERATES ACCORDING TO ITS BYLAWS. THE MEDICAL STAFF IS DIRECTED BY AN ELECTED CHIEF-OF-STAFF AND ELECTED OR APPOINTED COMMITTEE CHAIRS. MEDICAL STAFF TERMS ARE FOR TWO YEARS.
		PART VI, LINE 7: (NOT PART OF AFFILIATED HEALTHCARE SYSTEM)
REPORTS FILED WITH STATES	PART VI, LINE 7	CA

Schedule H (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

DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

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....

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? ....

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

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) CHRISTOPHER ARISMENDI MD	(i) (ii)	313,923 0	0 0	0 0	107,920 0	25,709 0	447,552 0	0 0
(2) CYRUS DAH	(i) (ii)	246,613 0	0 0	149,974 0	105,095 0	13,405 0	515,087 0	149,974 0
(3) NICHOLAS ARISMENDI	(i) (ii)	245,845 0	0 0	0 0	104,821 0	7,297 0	357,963 0	0 0
(4) JANINE HAWKINS	(i) (ii)	198,405 0	0 0	0 0	52,208 0	7,062 0	257,675 0	0 0
(5) GLENN WHIPPLE	(i) (ii)	190,236 0	0 0	0 0	30,298 0	13,029 0	233,563 0	0 0
(6) WILLIAM CHASE	(i) (ii)	155,265 0	0 0	162,441 0	99,859 0	25,094 0	442,659 0	162,441 0
(7) SANDRA MAYER	(i) (ii)	222,371 0	0 0	0 0	25,684 0	13,226 0	261,281 0	0 0
(8) CHRIS PETERSON	(i) (ii)	185,691 0	0 0	0 0	4,908 0	36,500 0	227,099 0	0 0
(9) CHAD DAVIS	(i) (ii)	175,143 0	0 0	0 0	5,156 0	6,083 0	186,382 0	0 0
(10) TERRENCE THOMAS	(i) (ii)	166,494 0	0 0	0 0	8,018 0	18,250 0	192,762 0	0 0
(11) DEBORAH WARE	(i) (ii)	165,173 0	0 0	0 0	9,968 0	12,167 0	187,308 0	0 0

Schedule J (Form 990) 2010

Page 3

Part III

Supplemental Information

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

Identifier	Return Reference	Explanation
	PART I, LINE 4B	THE 457(F) PLAN IS OPEN TO HIGHLY COMPENSATED EXECUTIVE OR MANAGERIAL PERSONNEL DETERMINED TO BE ELIGIBLE BY THE PLAN COMMITTEE. THERE ARE CURRENTLY FOUR PARTICIPANTS. PARTICIPANTS MAY DEFER UP TO 100% OF THEIR COMPENSATION UNDER THE PLAN. AMOUNTS REPORTED IN PART II, COLUMN (B)(III) ARE DISTRIBUTIONS OF PRIOR YEAR 457(F) CONTRIBUTIONS.

Schedule J (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

Schedule L
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Transactions with Interested Persons

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

Attach to Form 990 or Form 990-EZ. MediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization

DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

Part I

Excess Benefit Transactions (section 501(c)(3) and section 501 (c)(4) organizations only).
Complete if the organization answered "Yes" on Form 990, Part IV, line 25a or 25b, or Form 990-EZ, Part V, line 40b.

1(a) Name of disqualified person	(b) Description of transaction	(c) Corrected?
1(a) Name of disqualified person	(b) Description of transaction	Yes	No

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

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

Part II

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

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






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

Part III

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

(a) Name of interested person	(b)Relationship between interested person and the organization	(c)Amount of grant or type of assistance

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

Cat. No. 50056A

Schedule L (Form 990 or 990-EZ) 2010

Page 2

Part IV

Business Transactions Involving Interested Persons.
Complete if the organization answered "Yes" on Form 990, Part IV, line 28a, 28b, or 28c.

(a) Name of interested person	(b) Relationship between interested person and the organization	(c) Amount of transaction	(d) Description of transaction	(e) Sharing of organization's revenues?
(a) Name of interested person		(c) Amount of transaction	(d) Description of transaction	Yes	No
(1) LUIS ARISMENDI	FAMILY MEMBER OF CHRISTOPHER AND NICHOLAS ARISMENDI	141,872	EMPLOYMENT		No

Part V

Supplemental Information

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

Identifier	Return Reference	Explanation

Schedule L (Form 990 or 990-EZ) 2010

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE O
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Supplemental Information to Form 990 or 990-EZ

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

Attach to Form 990 or 990-EZ.

OMB No. 1545-0047

2010

Open to Public
Inspection

Name of the organization

DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

Identifier	Return Reference	Explanation
FORM 990, PART VI, SECTION A, LINE 2		THE CEO (CHRISTOPHER ARISMENDI, M.D.) AND THE COO (NICHOLAS ARISMENDI) ARE SIBLINGS. THE DIRECTOR OF FINANCE (WILLIAM CHASE) IS THE BROTHER-IN-LAW OF BOTH THE CEO AND COO.
FORM 990, PART VI, SECTION B, LINE 11		FORM 990 IS REVIEWED BY THE CFO, DIRECTOR OF FINANCE, AND ACCOUNTING SUPERVISOR PRIOR TO FILING.
	FORM 990, PART VI, SECTION B, LINE 12C	ALL POLICIES AND PROCEDURES TO MONITOR AND ENFORCE COMPLIANCE THAT ARE OUTLINED IN THE CONFLICT OF INTEREST MANUAL ARE FOLLOWED ROUTINELY BY THE ORGANIZATION.
	FORM 990, PART VI, SECTION B, LINE 15	THE ORGANIZATION USES RANGES PROVIDED BY WATSON WYATT AND SALARY/COMPENSATION SURVEYS PROVIDED BY HEALTHCARE HR SOURCE INC. THE ORGANIZATION'S COO PUTS TOGETHER COMPENSATION PACKAGES EACH YEAR FOR THE PEOPLE ELIGIBLE FOR THE 457(B) AND 457(F) PLANS, WHICH ENCOMPASS THE OFFICERS AND KEY EMPLOYEES, BASED ON THE WATSON WYATT AND HEALTHCARE HR SOURCE INFORMATION. THOSE PACKAGES ARE THEN GIVEN TO AN INDEPENDENT COMPENSATION COMMITTEE TO REVIEW AND EITHER APPROVE OR REJECT. THE INDEPENDENT COMPENSATION COMMITTEE IS MADE UP OF TWO MEMBERS FROM THE BOARD OF DIRECTORS. FINAL APPROVAL OR REJECTION OF THE COMPENSATION PACKAGE IS SUBSEQUENTLY DETERMINED BY THE BOARD OF DIRECTORS.
	FORM 990, PART VI, SECTION C, LINE 19	THESE ITEMS ARE MADE AVAILABLE UPON REQUEST.
CHANGES IN NET ASSETS OR FUND BALANCES:	FORM 990, PART XI, LINE 5:	NET UNREALIZED LOSSES ON INVESTMENTS: -215,181. COST ASSOCIATED WITH SELF INSURED PHARMACY REVENUE -1,115,100. BOOK/TAX DIFFERENCE IN S CORP K-1 INCOME -3,356. TOTAL TO FORM 990, PART XI, LINE 5: -1,333,637.

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

DAMERON HOSPITAL ASSOCIATION

Employer identification number

94-1201197

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) DAMERON HOSPITAL FOUNDATION 525 WEST ACACIA STREET STOCKTON,CA95203 94-2811364	PROCUREMENT OF FUNDS TO BE EXTENDED TO DAMERON HOSPITAL AS FINANCIAL AID	CA	501(C)(3)	LINE 11B, II	N/A	Yes

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

Cat. No. 50135Y

Schedule R (Form 990) 2010

Page 2

Part III

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

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(f) Share of total income	(g) Share of end-of-year assets	(h) Disproprtionate allocations?		(i) Code VUBI amount in box 20 of Schedule K-1 (Form 1065)	(j) General or managing partner?
(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(f) Share of total income	(g) Share of end-of-year assets	Yes	No	(i) Code VUBI amount in box 20 of Schedule K-1 (Form 1065)	Yes	No

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	(g) Share of end-of-year assets	(h) Percentage ownership

Schedule R (Form 990) 2010

Page 3

Part V

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

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

Yes

1 During the tax year, did the orgranization engage in any of the following transactions with one or more related organizations listed in Parts II-IV?

a Receipt of (i) interest (ii) annuities (iii) royalties (iv) rent from a controlled entity . . . . . . . . . . . . . . . . . . . . . . .

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

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

Yes

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

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

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

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

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

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

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

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

If the answer to any of the above is "Yes," see the instructions for information on who must complete this line, including covered relationships and transaction thresholds.

(a) Name of other organization	(b) Transaction type(a-r)	(c) Amount involved	(d) Method of determining amount involved
(1) DAMERON HOSPITAL FOUNDATION	C	112,497	FMV
(1)
(2)
(3)
(4)
(5)
(6)

Schedule R (Form 990) 2010

Page 4

Part VI

Unrelated Organizations Taxable as a Partnership (Complete if the organization answered "Yes" on Form 990, Part IV, line 37.)

Provide the following information for each entity taxed as a partnership through which the organization conducted more than five percent of its activities (measured by total assets or gross revenue) that was not a related organization. See instructions regarding exclusion for certain investment partnerships.

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

Schedule R (Form 990) 2010

Page 5

Part VII

Supplemental Information

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

Identifier	Return Reference	Explanation

Additional Data

Software ID:
Software Version:

1	Briefly describe the organization’s mission or most significant activities: WE SUPPORT PHYSICIANS AND OUR EMPLOYEES IN PROVIDING QUALITY CARE IN A SAFE, CARING ENVIRONMENT.
2	Check this box
3	Number of voting members of the governing body (Part VI, line 1a) ....	3	7
4	Number of independent voting members of the governing body (Part VI, line 1b) ....	4	3
5	Total number of individuals employed in calendar year 2010 (Part V, line 2a) ...	5	1,323
6	Total number of volunteers (estimate if necessary) ....	6	92
7a	Total unrelated business revenue from Part VIII, column (C), line 12 ..	7a	44,416
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) .........	25,000	120,357
9	Program service revenue (Part VIII, line 2g) .........	185,381,142	190,761,636
10	Investment income (Part VIII, column (A), lines 3, 4, and 7d ) ....	764,402	5,123,811
11	Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)	256,884	431,699
12	Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)...................	186,427,428	196,437,503
13	Grants and similar amounts paid (Part IX, column (A), lines 1–3 )...	0	0
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)	86,895,053	96,133,091
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)....	85,543,220	89,681,164
18	Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25)	172,438,273	185,814,255
19	Revenue less expenses. Subtract line 18 from line 12......	13,989,155	10,623,248
		Beginning of Current Year	End of Year
20	Total assets (Part X, line 16)............	181,083,224	186,561,768
21	Total liabilities (Part X, line 26)............	49,580,306	45,769,239
22	Net assets or fund balances. Subtract line 21 from line 20 .....	131,502,918	140,792,529

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 $ 172,393,205 including grants of $ 0 ) (Revenue $ 190,761,636 )
	DAMERON HOSPITAL ASSOCIATION IS A NON-PROFIT FACILITY PROVIDING A FULL RANGE OF MEDICAL, SURGICAL AND HEALTH MAINTENANCE SERVICES FOR EMERGENCY AND ACUTE CARE.DAMERON EXISTS SOLELY TO SERVE THE HEALTHCARE NEEDS OF THE SURROUNDING COMMUNITIES, PROVIDING ADVANCED TECHNOLOGY AND STATE-OF-THE-ART DIAGNOSTIC AND THERAPEUDIC EQUIPMENT, AS WELL AS FACILITIES FOR INPATIENT, OUTPATIENT AND OCCUPATIONAL PATIENT CARE.HOSPITAL SERVICES INCLUDE CARDIOLOGY, EMERGENCY/URGENT CARE, HOME HEALTH, RADIOLOGY, OCCUPATIONAL HEALTH CARE. BEGINNING WITH ITS FOUNDER, DAMERON HOSPITAL HAS CONTINUED AN UNCOMPROMISED APPROACH TO PATIENT CARE AND HEALTH CARE ATTITUDES BELIEVING NOT ONLY IN SERVING THE COMMUNITY BUT BEING A PART OF IT. THE HOSPITAL OFFERS OUTREACH AND SCHOLARSHIP PROGRAMS THROUGH YOUNG SCRUBS AND PRECEPTOR PROGRAMS FOR YOUNG NURSES.THE MISSION IS TO SUPPORT THE PHYSICIANS AND EMPLOYEES IN PROVIDING QUALITY PATIENT CARE IN A SAFE AND CARING ENVIRONMENT. THE VISION IS TO BE THE HOSPITAL THAT PHYSICIANS PREFER, PATIENTS REQUEST AND EMPLOYEES CHOOSE.

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












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$ 172,393,205

1b	Sub-Total................
c	Total from continuation sheets to Part VII, Section A....
d	Total (add lines 1b and 1c)............	2,577,574	0	731,757

				(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		112,497
e	Government grants (contributions)1e		7,860

f	All other contributions, gifts, grants, and similar amounts not included above1f
g	Noncash contributions included in lines 1a-1f:$
h	Total. Add lines 1a-1f.......			120,357
			Business Code
2a	PATIENT SERVICE REV.		621,110	114,953,810	114,953,810
b	MEDICAL/MEDICARE PYMTS		621,110	59,146,039	59,146,039
c	HOSPITAL FEE		621,110	14,896,498	14,896,498
d	CAFETERIA		722,210	1,102,169	1,102,169
e	REBATES/REFUNDS		621,110	250,430	250,430
f	All other program service revenue .			412,690	412,690
g	Total. Add lines 2a–2f........			190,761,636
3	Investment income (including dividends, interest
	and other similar amounts).....			3,849,527			3,849,527
4	Income from investment of tax-exempt bond proceeds..
5	Royalties............
		(i) Real	(ii) Personal
6a	Gross Rents	174,792
b	Less: rental expenses	194,390
c	Rental income or (loss)	-19,598
d	Net rental income or (loss).......			-19,598			-19,598
		(i) Securities	(ii) Other
7a	Gross amount from sales of assets other than inventory	72,393,101	20,178
b	Less: cost or other basis and sales expenses	71,133,835	5,160
c	Gain or (loss)	1,259,266	15,018
d	Net gain or (loss)..........			1,274,284			1,274,284
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		961,386
b	Less: cost of goods sold ..b		712,856
c	Net income or (loss) from sales of inventory..			248,530			248,530
Miscellaneous Revenue			Business Code
11a	OTHER INCOME		900,099	158,351			158,351
b	INCOME FROM K-1		541,900	44,416		44,416
c
d	All other revenue ....
e	Total. Add lines 11a–11d ......			202,767
12	Total revenue. See Instructions....			196,437,503	190,761,636	44,416	5,511,094


				(A) Beginning of year		(B) End of year
1	Cashnon-interest-bearing ..........			3,336	1	3,369
2	Savings and temporary cash investments .......			1,720,763	2	1,154,943
3	Pledges and grants receivable, net .........				3
4	Accounts receivable, net .........			28,318,768	4	27,519,384
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 .............			1,203,626	7	1,468,498
8	Inventories for sale or use ..............			3,115,633	8	3,002,323
9	Prepaid expenses and deferred charges ............			2,396,193	9	2,585,645
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	170,041,610
b	Less: accumulated depreciation. .....	10b	91,174,383	76,521,666	10c	78,867,227
11	Investments—publicly traded securities ..........			64,461,645	11	61,955,053
12	Investments—other securities. See Part IV, line 11 ......			398,390	12	398,390
13	Investments—program-related. See Part IV, line 11 ..				13
14	Intangible assets .........				14
15	Other assets. See Part IV, line 11 ...........			2,943,204	15	9,606,936
16	Total assets. Add lines 1 through 15 (must equal line 34)...			181,083,224	16	186,561,768
17	Accounts payable and accrued expenses .			14,370,522	17	13,637,367
18	Grants payable ..........				18
19	Deferred revenue ..........				19
20	Tax-exempt bond liabilities ..........			13,120,000	20	12,760,003
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 ..			18,404,891	23	14,556,281
24	Unsecured notes and loans payable to unrelated third parties ....				24
25	Other liabilities. Complete Part X of Schedule D.....			3,684,893	25	4,815,588
26	Total liabilities. Add lines 17 through 25.....			49,580,306	26	45,769,239
	Organizations that follow SFAS 117, check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets .....			131,128,894	27	140,389,848
28	Temporarily restricted net assets .....			374,024	28	402,681
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 .....			131,502,918	33	140,792,529
34	Total liabilities and net assets/fund balances .....			181,083,224	34	186,561,768