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)
(1) IRWIN M BIRNBAUM ESQ TRUSTEE	1.00	X
(2) KATHLEEN CASSIN MD TRUSTEE	1.00	X
(3) STEPHANIE CHAFEE RN MBA TRUSTEE	1.00	X
(4) EDWARD M CIMILLUCA TRUSTEE	1.00	X
(5) DUNCAN COCROFT TRUSTEE	1.00	X
(6) NITIN S DAMLE MD TRUSTEE	1.00	X
(7) LAURA HARRIS TRUSTEE	1.00	X
(8) JOHN P HEFFERNAN MD TRUSTEE	1.00	X
(9) SUSAN KERMES TRUSTEE	1.00	X
(10) DORIS MANGANARO TRUSTEE	1.00	X
(11) MAUREEN W MOAKLEY TRUSTEE	1.00	X
(12) ROBERT PANOFF TRUSTEE	1.00	X
(13) HENRY D SHARPE III TRUSTEE	1.00	X
(14) RUSSELL R SHIPPEE TRUSTEE	1.00	X
(15) MEG SISCO TRUSTEE	1.00	X
(16) JAMES F STONE TRUSTEE	1.00	X
(17) BARBARA TATE TRUSTEE	1.00	X

(A) Name and Title	(B) Average hours per week (describe hours for related organizations in Schedule O)	(C) Position (check all that apply)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)	(F) Estimated amount of other compensation from the organization and related organizations
(18) THE HONORABLE ERNEST C TORRES TRUSTEE	1.00	X				0	0
(19) PAULA VIAU TRUSTEE	1.00	X				0	0
(20) THOMAS WARCUP DO PRESIDENT OF THE MEDICAL STAFF	1.00	X				15,000	0
(21) LEON D PUPPI VICE PRESIDENT OF THE MEDICAL STAFF	1.00	X				168,750	0
(22) EVE KEENAN CHAIRPERSON	1.00	X	X			0	0
(23) M BEVERLY SWAN VICE CHAIRPERSON	1.00	X	X			0	0
(24) CLAIRE WILCOX SECRETARY	1.00	X	X			0	0
(25) JOSEPH MATTHEWS TREASURER	1.00	X	X			0	0
(26) LOUIS R GIANCOLA PRESIDENT AND CEO	40.00		X			281,703	60,504
(27) THOMAS J BREEN CHIEF FINANCIAL OFFICER	40.00		X			318,614	41,927
(28) BARBARA SEAGRAVE VP OF PATIENT CARE SERVICE	40.00			X		156,206	20,347
(29) STEVEN SCHNEIDER PHYSICIAN	40.00				X	259,488	27,471
(30) ALLISON MCATEER PHYSICIAN	40.00				X	257,950	27,393
(31) JEFFREY JOSEPH PHYSICIAN	40.00				X	257,373	27,460
(32) LISA RAMEAKA PHYSICIAN	40.00				X	255,868	27,480
(33) JILL SAMALE PHYSICIAN	40.00				X	241,281	27,159

(A) Name and business address	(B) Description of services	(C) Compensation
EMERGENCY PHYSICIANS ASSOCIATION 307 SO EVERGREEN AVE WOODBURY,NJ08096	ER PHYSICIANS	787,909
SCOT GROUP 110-112 TIERNAN AVE WARWICK,RI02886	HOUSEKEEPING SERVICES	548,549
SOUTH COUNTY PULMONARY MEDICINE 360 KINGSTOWN RD NARRAGANSETT,RI02882	PULMONARY SERVICES- PULMONARY EVALUATION	196,100
LEON PUPPI MD 22 LEONARD BODWELL DR NARRAGANSETT,RI02882	PULMONARY INTENSIVIST SERVICES	168,750
SOUTH COUNTY ORTHOPEDICS & PT 1 HIGH ST WAKEFIELD,RI02879	ORTHOPEDICS AND PHYSICAL THERAPY	123,331
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 6

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 ....	1,014,819	183,750	831,069
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	41,784,673	31,700,065	10,084,608
8	Pension plan contributions (include section 401(k) and section 403(b) employer contributions) ....	922,958	704,922	218,036
9	Other employee benefits .......	6,057,568	4,568,817	1,488,751
10	Payroll taxes ...........	2,928,556	2,183,226	745,330
11	Fees for services (non-employees):
a	Management ......
b	Legal .........	255,032		255,032
c	Accounting ...........	126,000		126,000
d	Lobbying ...........	38,478		38,478
e	Professional fundraising. See Part IV, line 17..
f	Investment management fees ......	87,898		87,898
g	Other ..........	5,617,241	3,521,277	2,095,964
12	Advertising and promotion ....	460,150	428	459,722
13	Office expenses .......	3,196,409	2,456,121	740,288
14	Information technology ......	1,234,326	948,456	285,870
15	Royalties ..
16	Occupancy ...........	2,894,550	2,224,172	670,378
17	Travel ............	42,422	19,553	22,869
18	Payments of travel or entertainment expenses for any federal, state, or local public officials ......
19	Conferences, conventions, and meetings ....	224,706	72,056	152,650
20	Interest ...........	3,008,090		3,008,090
21	Payments to affiliates .......
22	Depreciation, depletion, and amortization .....	6,536,169	5,022,392	1,513,777
23	Insurance ..............	3,400,931	575,528	2,825,403
24	Other expenses. Itemize expenses not covered above. (Expenses grouped together and labeled miscellaneous may not exceed 5% of total expenses shown on line 25 below.)
a	MEDICAL SUPPLIES & DRUG	19,730,678	19,078,701	651,977
b	PROVISION FOR BAD DEBTS	7,540,486	7,540,486
c	STATE LICENSE FEE	4,887,188	4,887,188
d	PHYSICIAN ADMIN	1,048,080	152,427	895,653
e	MAINTENANCE & REPAIR	920,832	445,024	475,808
f	All other expenses	382,031	264,918	117,113
25	Total functional expenses. Add lines 1 through 24f	114,340,271	86,549,507	27,790,764	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 ..........	6,366	1	5,961
2	Savings and temporary cash investments .......	11,339,799	2	6,505,960
3	Pledges and grants receivable, net .........		3
4	Accounts receivable, net .........	6,933,657	4	7,104,439
5	Receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of
	Schedule L ..........		5
6	Receivables from other disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B). Complete Part II of
	Schedule L ..........		6
7	Notes and loans receivable, net .............		7
8	Inventories for sale or use ..............	1,752,283	8	1,873,152
9	Prepaid expenses and deferred charges ............	2,596,203	9	2,462,436
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	129,908,695
b	Less: accumulated depreciation. .....	10b	74,318,765	57,086,529	10c	55,589,930
11	Investments—publicly traded securities ..........		11
12	Investments—other securities. See Part IV, line 11 ......	18,755,158	12	25,013,653
13	Investments—program-related. See Part IV, line 11 ..		13
14	Intangible assets .........	2,461,292	14	2,197,641
15	Other assets. See Part IV, line 11 ...........	1,032,340	15	3,713,276
16	Total assets. Add lines 1 through 15 (must equal line 34)...	101,963,627	16	104,466,448
	17	Accounts payable and accrued expenses .	12,275,273	17	13,105,816
18	Grants payable ..........		18
19	Deferred revenue ..........		19
20	Tax-exempt bond liabilities ..........	53,784,629	20	50,518,221
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 ..	327,730	23	241,735
24	Unsecured notes and loans payable to unrelated third parties ....		24
25	Other liabilities. Complete Part X of Schedule D.....	29,784,283	25	40,871,446
26	Total liabilities. Add lines 17 through 25.....	96,171,915	26	104,737,218
		Organizations that follow SFAS 117, check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets .....	5,746,712	27	-315,770
28	Temporarily restricted net assets .....		28
29	Permanently restricted net assets .....	45,000	29	45,000
	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 .....	5,791,712	33	-270,770
34	Total liabilities and net assets/fund balances .....	101,963,627	34	104,466,448

- 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

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

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

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

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 SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM
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 SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM
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
SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

Part III

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

(a) No.
from
Part I

(b)
Purpose of gift

(d)
Description of how gift is held

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

(a) No.
from
Part I

(b)
Purpose of gift

(d)
Description of how gift is held

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

(a) No.
from
Part I

(b)
Purpose of gift

(d)
Description of how gift is held

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

(a) No.
from
Part I

(b)
Purpose of gift

(d)
Description of how gift is held

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

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

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE C
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Political Campaign and Lobbying Activities

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

Complete if the organization is described below.
SchCMd Bullet

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

See separate instructions.

OMB No. 1545-0047

2010

Open to Public
Inspection

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

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

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

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

Section 501(c)(3) organizations that have filed Form 5768 (election under section 501(h)) Complete Part II-A. Do not complete Part II-B.
Round Bullet

Section 501(c)(3) organizations that have NOT filed Form 5768 (election under section 501(h)): Complete Part II-B. Do not complete Part II-A.
If the organization answered “Yes,” to Form 990, Part IV, Line 5 (Proxy Tax) or Form 990-EZ, Part V, line 35a (Proxy Tax), then
Round Bullet

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

Name of the organization

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

Part I-A

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

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

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

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

Part I-B

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

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

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

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

Yes No

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

Yes No

If "Yes," describe in Part IV.

Part I-C

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

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

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

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

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

Yes No

Enter the names, addresses and employer identification number (EIN) of all section 527 political organizations to which the filing
organization made payments. For each organization listed, enter the amount paid from the filing organization’s funds. Also enter the amount of political contributions received that were promptly and directly delivered to a separate political organization, such as a separate segregated fund or a political action committee (PAC). If additional space is needed, provide information in Part IV.

(a) Name	(b) Address	(c) EIN	(d) Amount paid from filing organization's funds. If none, enter -0-.	(e) Amount of political contributions received and promptly and directly delivered to a separate political organization. If none, enter -0-.

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

Cat. No. 50084S

Schedule C (Form 990 or 990-EZ) 2010

Page 2

Part II-A

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

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

Limits on Lobbying Expenditures (The term "expenditures" means amounts paid or incurred.)		(b) Affiliated Group Totals
1a	Total lobbying expenditures to influence public opinion (grass roots lobbying) ......
b	Total lobbying expenditures to influence a legislative body (direct lobbying) .......
c	Total lobbying expenditures (add lines 1a and 1b) ...................
d	Other exempt purpose expenditures ........................
e	Total exempt purpose expenditures (add lines 1c and 1d) ...............
f	Lobbying nontaxable amount. Enter the amount from the following table in both columns.
	If the amount on line 1e, column (a) or (b) is:The lobbying nontaxable amount is:
	Not over $500,00020% of the amount on line 1e.
	Over $500,000 but not over $1,000,000$100,000 plus 15% of the excess over $500,000.
	Over $1,000,000 but not over $1,500,000$175,000 plus 10% of the excess over $1,000,000.
	Over $1,500,000 but not over $17,000,000$225,000 plus 5% of the excess over $1,500,000.
	Over $17,000,000$1,000,000.

g	Grassroots nontaxable amount (enter 25% of line 1f) .................
h	Subtract line 1g from line 1a. If zero or less, enter -0-. ................
i	Subtract line 1f from line 1c. If zero or less, enter -0-. ................
j	If there is an amount other than zero on either line 1h or line 1i, did the organization file Form 4720 reporting section 4911 tax for this year? ......................................	Yes No

4-Year Averaging Period Under Section 501(h) (Some organizations that made a section 501(h) election do not have to complete all of the five columns below. See the instructions for lines 2a through 2f on page 4.)
Lobbying Expenditures During 4-Year Averaging Period
	Calendar year (or fiscal year beginning in)	(a) 2007	(b) 2008	(c) 2009	(d) 2010	(e) Total

2a	Lobbying non-taxable amount

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

c	Total lobbying expenditures

d	Grassroots non-taxable amount

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

f	Grassroots lobbying expenditures

Schedule C (Form 990 or 990-EZ) 2010

Page 3

Part II-B

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

(a)

Yes

(b)

Amount

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

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

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

Yes

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

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

Yes

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

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

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

Yes

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

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

Yes

38,478

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

38,478

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

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

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

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

Part III-A

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

Yes

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

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

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

Part III-B

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

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

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

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

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

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

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

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

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

Part IV

Supplemental Information

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

Identifier	Return Reference	Explanation
EXPLANATION OF OTHER LOBBYING ACTIVITIES:	PART II-B, LINE 1I:	THE ORGANIZATION PAID OUTSIDE VENDORS FOR THE PERFORMANCE OF LOBBYING ACTIVITIES.

Schedule C (Form 990 or 990EZ) 2010

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE D
(Form 990)

Department of the Treasury
Internal Revenue Service

Supplemental Financial Statements

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

Attach to Form 990. SchDMd Bullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public Inspection

Name of the organization

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

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
1a	Beginning of year balance ....	18,755,158	11,068,232
b	Contributions ........	8,167,639	6,539,170
c	Investment earnings or losses ...	-1,709,144	1,147,756
d	Grants or scholarships .....
e	Other expenditures for facilities and programs ........	200,000
f	Administrative expenses ....
g	End of year balance ......	25,013,653	18,755,158

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

Board designated or quasi-endowment: SchDMd Bullet

99.820 %

Permanent endowment: SchDMd Bullet

0.180 %

Term endowment: SchDMd Bullet

0 %

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

Yes

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

3a(i)

Yes

(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		(b)Cost or other basis (other)	(c) Accumulated depreciation	(d) Book value
1a	Land .................	266,821		266,821
b	Buildings ................	53,051,705	21,807,609	31,244,096
c	Leasehold improvements ............	640,955	243,410	397,545
d	Equipment ................	72,726,174	50,070,760	22,655,414
e	Other .................	3,223,040	2,196,986	1,026,054
Total. Add lines 1a-1e. (Column (d) should equal Form 990, Part X, column (B), line 10(c).)........				55,589,930

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
(3)Other (A) UNITS OF POOLED ENDOWMENT INVESTMENTS	17,983,536	F
(B) ASSETS HELD IN SELF INSURANCE TRUST	5,839,136	F
(C) HELD IN TRUST UNDER BOND INDENTURE	1,190,981	F






Total. (Column (b) should equal Form 990, Part X, col.(B) line 12.)	25,013,653

Part VIII

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

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









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

Part IX

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

(a) Description				(b) Book value









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

Part X

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

1.(a) Description of Liability		(b) Amount
Federal Income Taxes
OTHER CURRENT LIABILITIES		30,251
POSTRETIREMENT BENEFIT OBLIGATION		477,973
ACCRUED PENSION COST		16,596,171
ESTIMATED THIRD-PARTY PAYOR SETTLEMENTS		6,267,162
OTHER LIABILITIES		6,336,229
FAIR VALUE OF SWAP AGREEMENTS		11,163,660



Total. (Column (b) should equal Form 990, Part X, col.(B) line 25.)		40,871,446
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	117,287,175
2	Total expenses (Form 990, Part IX, column (A), line 25) .....................	2	114,340,271
3	Excess or (deficit) for the year. Subtract line 2 from line 1 .............	3	2,946,904
4	Net unrealized gains (losses) on investments ..........................	4	-1,801,063
5	Donated services and use of facilities .............................	5
6	Investment expenses ...................................	6
7	Prior period adjustments ..................................	7
8	Other (Describe in Part XIV) .................................	8	-7,208,323
9	Total adjustments (net). Add lines 4 - 8 .............................	9	-9,009,386
10	Excess or (deficit) for the year per financial statements. Combine lines 3 and 9 .........	10	-6,062,482

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	115,398,214
2	Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a	Net unrealized gains on investments ..........	2a	-1,801,063
b	Donated services and use of facilities .........	2b
c	Recoveries of prior year grants ...........	2c
d	Other (Describe in Part XIV): ............	2d
e	Add lines 2a through 2d .....................			2e	-1,801,063
3	Subtract line 2e from line 1.....................			3	117,199,277
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	87,898
b	Other (Describe in Part XIV): ...........	4b
c	Add lines 4a and 4b.......................			4c	87,898
5	Total Revenue. Add lines 3 and 4c. (This should equal Form 990, Part I, line 12.) ......			5	117,287,175

Part XIII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return
1	Total expenses and losses per audited financial statements .............			1	114,252,373
2	Amounts included on line 1 but not on Form 990, Part IX, line 25:
a	Donated services and use of facilities ..........	2a
b	Prior year adjustments ..............	2b
c	Other losses ................	2c
d	Other (Describe in Part XIV): ............	2d
e	Add lines 2a through 2d......................			2e	0
3	Subtract line 2e from line 1.....................			3	114,252,373
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	87,898
b	Other (Describe in Part XIV): ............	4b
c	Add lines 4a and 4b.......................			4c	87,898
5	Total expenses. Add lines 3 and 4c. (This should equal Form 990, Part I, line 18.) ......			5	114,340,271

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 NOT-FOR-PROFIT ENTITIES (SOUTH COUNTY HEALTHCARE SYSTEM ENDOWMENT, SOUTH COUNTY HOSPITAL AND VNS HOMECARE, INC.) OPERATE AS DESCRIBED IN SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE (CODE) AND ARE EXEMPT FROM FEDERAL INCOME TAXES ON RELATED INCOME PURSUANT TO SECTION 501(A) OF THE CODE. THE TAX PROVISIONS AND RELATED LIABILITIES FOR SILVER SPRING HEALTH CARE MANAGEMENT WHICH IS TAXABLE ENTITY WHICH IS CONTROLLED BY THE HOSPITAL ARE NOT SIGNIFICANT. THE HOSPITAL RECOGNIZES THE EFFECT OF INCOME TAX POSITIONS ONLY IF THOSE POSITIONS ARE MORE LIKELY THAN NOT OF BEING SUSTAINED. RECOGNIZED INCOME TAX POSITIONS ARE MEASURED AT THE LARGEST AMOUNT OF BENEFIT THAT IS GREATER THAN FIFTY PERCENT LIKELY TO BE REALIZED UPON SETTLEMENT. CHANGES IN RECOGNITION IN MEASUREMENT ARE REFLECTED IN THE PERIOD IN WHICH THE CHANGE IN JUDGMENT OCCURS. THE HOSPITAL DID NOT RECOGNIZE THE EFFECT OF ANY INCOME TAX POSITIONS IN EITHER 2011 OR 2010.
PART XI, LINE 8 - OTHER ADJUSTMENTS:		CHANGE IN FUNDED STATUS OF EMPLOYEE BENEFIT PLANS -7,080,646. NET ASSETS RELEASED FOR CAPITAL EXPENDITURES 1,957,766. UNREALIZED LOSS ON INTEREST RATE SWAP -1,815,772. UNREALIZED CHANGE IN EQUITY INTERESTS IN LIMITED PARTNERSHIPS -269,671.

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

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

Part I

Charity Care and Certain Other Community Benefits at Cost

Yes

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

Yes

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

Yes

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

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

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

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

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

Yes

100% 150% 200% Other

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

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

Yes

200% 250% 300% 350% 400% Other

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

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

Yes

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

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

	(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) ..	4,945,535	3,212,405	1,733,130	1.520 %
b Unreimbursed Medicaid (from Worksheet 3, column a) .	1,184,275	1,297,551	-113,276	0 %
c Unreimbursed costs—other means-tested government programs (from Worksheet 3, column b) ....	4,191,857	4,133,531	58,326	0.050 %
dTotal Charity Care and Means-Tested Government Programs .....	10,321,667	8,643,487	1,678,180	1.570 %
Other Benefits e Community health improvement services and community benefit operations (from (Worksheet 4) ....	205,210	197,472	7,738	0.010 %
f Health professions education (from Worksheet 5) ..
g Subsidized health services (from Worksheet 6) ..
h Research (from Worksheet 7)
i Cash and in-kind contributions to community groups (from Worksheet 8) ..	7,140		7,140	0.010 %
jTotal Other Benefits ...	212,350	197,472	14,878	0.020 %
kTotal. Add lines 7d and 7j. ..	10,534,017	8,840,959	1,693,058	1.590 %

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

Schedule H (Form 990) 2010

Page 2

Part II

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

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

Part III

Bad Debt, Medicare, & Collection Practices

Section A. Bad Debt Expense

Yes

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

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

2,438,593

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

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

Section B. Medicare

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

23,685,194

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

30,656,385

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

-6,971,191

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 %
11 SOUTH COUNTY RADIATION THERAPY LLC	RADIATION ONCOLOGY	35.000 %	0 %	0 %
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?2 Name and address		Other (Describe)
1	SOUTH COUNTY HOSPITAL 100 KENYON AVE WAKEFIELD,RI02879	X	X	X
2	SCH MEDICAL & WELLNESS CENTER 3461 SOUTH COUNTY TRAIL EAST GREENWICH,RI02852				X	URGENT CARE CENTER

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:NA

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 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:NA

Line Number of Hospital Facility (from Schedule H, Part V, Section A):2

				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?8
Name and address		Type of Facility (Describe)
1	SOUTH COUNTY HOSPITAL CENTER FOR WOMEN'S 70 KENYON AVE SUITE 103 WAKEFIELD,RI02879	OB/GYN PRACTICE
2	SOUTH COUNTY HOSPITAL CENTER FOR WOMEN'S 70 KENYON AVE SUITE 103 WAKEFIELD,RI02879	OB/GYN PRACTICE
3	SOUTH COUNTY HOSPITAL CENTER FOR WOMEN'S 70 KENYON AVE SUITE 103 WAKEFIELD,RI02879	OB/GYN PRACTICE
4	SOUTH COUNTY HOSPITAL CENTER FOR WOMEN'S 70 KENYON AVE SUITE 103 WAKEFIELD,RI02879	OB/GYN PRACTICE
5	SOUTH COUNTY HOSPITAL CENTER FOR WOMEN'S 70 KENYON AVE SUITE 103 WAKEFIELD,RI02879	OB/GYN PRACTICE
6	SOUTH COUNTY HOSPITAL CENTER FOR WOMEN'S 70 KENYON AVE SUITE 103 WAKEFIELD,RI02879	OB/GYN PRACTICE
7	SOUTH COUNTY HOSPITAL CENTER FOR WOMEN'S 70 KENYON AVE SUITE 103 WAKEFIELD,RI02879	OB/GYN PRACTICE
8	SOUTH COUNTY HOSPITAL CENTER FOR WOMEN'S 70 KENYON AVE SUITE 103 WAKEFIELD,RI02879	OB/GYN PRACTICE
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 6A: THE ORGANIZATION PREPARES AN ANNUAL REPORT DETAILING MAJOR ACCOMPLISHMENTS AND COMMUNITY BENEFITS. IN ADDITION, THE ORGANIZATION MAINTAINS A COMPREHENSIVE WEBSITE INCLUDING INFORMATION ON AVAILABLE SERVICES, RESULTS OF VARIOUS QUALITY SURVEYS, AND GENERAL HEALTH EDUCATIONAL INFORMATION FOR THE COMMUNITY.
		PART II: SOUTH COUNTY HOSPITAL PROVIDES VARIOUS PROGRAMS FREE OF CHARGE OR FOR A NOMINAL FEE TO PROMOTE THE HEALTH OF THE COMMUNITY IT SERVES. THESE PROGRAMS INCLUDE FREQUENT SEMINARS AND PRESENTATIONS ON VARIOUS HEALTH TOPICS, WELLNESS SCREENINGS, LECTURES, AND SUPPORT GROUPS. THESE PROGRAMS ARE PROVIDED TO THE COMMUNITY EITHER FREE OF CHARGE OR FOR A NOMINAL FEE.IN ADDITION, THE HOSPITAL HAS EMBARKED ON THE CREATION OF A "PATIENT CENTERED MEDICAL COMMUNITY" AS DESCRIBED BELOW.
		PART III, LINE 4: SOUTH COUNTY HOSPITAL RECORDS BAD DEBT EXPENSE IN ACCORDANCE WITH U.S. GENERALLY ACCEPTED ACCOUNTING PRINCIPALS (GAAP). THE HOSPITAL UTILIZED A COST TO CHARGE RATIO AS A COSTING METHOD FOR THE AMOUNTS REPORTED IN LINES 2 AND 3.
		PART III, LINE 8: SOUTH COUNTY HOSPITAL UTILZED THE COST TO CHARGES RATIO AS REPORTED IN THE FY 2011 MEDICARE COST REPORT FOR INPATIENT CHARGES AND OUTPATIENT CHARGES.
		PART VI, LINE 2: THE ORGANIZATION CONDUCTS PERIODIC COMMUNITY HEALTH NEEDS ASSESSMENTS OF THE COMMUNITY IT SERVES. THIS ASSESSMENT INCLUDES INPUTS FROM COMMUNITY MEMBERS AND PHYSICIANS. THE RHODE ISLAND DEPARTMENT OF HEALTH SERVES AS AN IMPORTANT SOURCE OF INFORMATION ON POPULATION BASED DISEASE INCIDENCE AND HEALTHCARE NEEDS IN RHODE ISLAND AND IN WASHINGTON COUNTY.
		PART VI, LINE 3: PATIENT FINANCIAL SERVICES SPEAK DIRECTLY WITH EVERY EMERGENCY ROOM SELF-PAY PATIENT AT THE TIME OF SERVICE AND EVERY INPATIENT SELF PAY PATIENT DURING THEIR STAY TO DISCUSS ELIGIBILITY FOR ASSISTANCE. IN ADDITION, ALL SELF-PAY INVOICES ADVISE PATIENTS TO CONTACT THE HOSPITAL REGARDING FINANCIAL ASSISTANCE ELIGIBILITY.
		PART VI, LINE 4: THE CITIES AND TOWNS THAT COMPRISE THE PRIMARY SERVICE AREA OF SOUTH COUNTY HOSPITAL INCLUDE THE TOWNS OF CHARLESTOWN, EXETER, JAMESTOWN, NARRAGANSETT, NORTH KINGSTOWN, AND SOUTH KINGSTOWN. THE TOWNS THAT COMPRISE THE SECONDARY SERVICE AREA INCLUDE THE TOWNS OF BLOCK ISLAND, HOPKINTON, RICHMOND, WESTERLY, AS WELL AS, THE POPULATION FROM ADJOINING COMMUNITIES IN KENT COUNTY (EAST GREENWICH AND WEST GREENWICH).THE 2000 TOTAL POPULATION FOR THE APPLICANT'S PRIMARY AND SECONDARY SERVICE AREA FOR ALL AGES, TAKEN FROM THE 2000 CENSUS IS 147,201. THE SERVICE AREA POPULATION IS EXPECTED TO CONTINUE TO GROW TO 163,063 (10.8%) BY THE YEAR 2015. THIS PROJECTION IS BASED ON INFORMATION IN THE STATEWIDE PLANNING PROGRAM TECHNICAL PAPER, NUMBER 154, DATED AUGUST 2004. THE RI STATEWIDE PLANNING PROGRAM TECHNICAL PAPER IDENTIFIES AN IMPORTANT DEMOGRAPHIC TREND THAT WILL HAVE A POTENTIAL IMPACT ON SOUTH COUNTY HOSPITAL - THE AGING POPULATION IN ITS PRIMARY AND SECONDARY SERVICE AREA. THE NUMBER OF INDIVIDUALS IN THE PRIMARY AND SECONDARY SERVICE AREA THAT ARE 65 YEARS AND OLDER IS PROJECTED TO INCREASE FROM 18,709 RECORDED IN THE 2000 CENSUS TO 24,761 BY 2015, WHICH REPRESENTS A 32.3% INCREASE. IN 2000, THE PERCENT OF INDIVIDUALS OVER 65 YEARS OF AGE COMPARED TO THE TOTAL NUMBER OF INDIVIDUALS IN THE PRIMARY AND SECONDARY SERVICE AREA WAS 12.7% (18,709/147,201). IN 2015, THIS PERCENTAGE IS PROJECTED TO INCREASE TO 15.2% (24,761/163,063). INDIVIDUALS 65 YEARS AND OLDER TEND TO UTILIZE HEALTHCARE SERVICES AT A RATE HIGHER THAN INDIVIDUALS 64 YEARS AND YOUNGER.
		PART VI, LINE 6: THE HOSPITAL AND ITS PHYSICIAN AND COMMUNITY PARTNERS HAVE EMBARKED ON THE CREATION OF A "PATIENT CENTERED MEDICAL COMMUNITY." THE PATIENT CENTERED MEDICAL COMMUNITY (PCMC) WILL OFFER AN INTEGRATED SYSTEM OF CARE THAT IMPROVES THE HEALTH STATUS OF THE POPULATION WE SERVE, PARTICULARLY THOSE WITH AND AT RISK FOR CHRONIC CONDITIONS. TO ACHIEVE THIS VISION, THE PCMC WILL:1. BE BUILT UPON A FOUNDATION OF STRONG PRIMARY CARE PRACTICES WITH ENHANCED LINKAGES TO THE HOSPITAL, SPECIALISTS AND COMMUNITY-BASED RESOURCES2. ADOPT AND IMPLEMENT THE PATIENT CENTERED MEDICAL HOME (PCMH) MODEL BASED ON THE NCQA RECOGNITION STANDARDS AND GUIDELINES, SUPPORTED BY LOCAL MULTIDISCIPLINARY TEAMS AND CHRONIC CARE SERVICES3. FACILITATE ADOPTION OF HEALTH INFORMATION TECHNOLOGY TO ENSURE ELECTRONIC INFORMATION SHARING EIGHTEEN (18) PRIMARY CARE PHYSICIANS IN SEVEN (7) SOUTH COUNTY BASED PRACTICES HAVE ADOPTED AND IMPLEMENTED THE PATIENT CENTERED MEDICAL HOME (PCMH) MODEL. THE SOUTH COUNTY "MEDICAL COMMUNITY" INITIATIVE (PCMC) WILL ADVANCE THAT CONCEPT INTO A BROADER SYSTEM OF COMMUNITY-BASED HEALTHCARE THAT LINKS PRIMARY CARE PHYSICIANS AND THEIR PATIENTS TO DISEASE MANAGEMENT SERVICES, SPECIALISTS, EMERGENCY SERVICES AND INPATIENT HOSPITAL SERVICES, SO THAT CARE IS OPTIMALLY COORDINATED AND INFORMATION FLOWS TO SUPPORT THE BEST OUTCOMES FOR PATIENTS AND SYSTEM EFFICIENCY.THE SOUTH COUNTY CONTINGENT IS A PARTICIPANT IN THE RI CHRONIC CARE SUSTAINABILITY INITIATIVE (CSI) WHICH IS A DEMONSTRATION PILOT OF THE PCMH MODEL. THIS PROVIDES A FOUNDATION BASED ON AN INTEGRATED COLLABORATIVE APPROACH THAT WILL ASSIST PHYSICIAN PRACTICES AND THE HOSPITAL TOWARD ENHANCING THE MANAGEMENT OF PATIENTS WITH CHRONIC DISEASES.
		PART VI, LINE 7: THE HOSPITAL IS PART OF AN AFFILIATED HEALTHCARE SYSTEM INCLUDING VNS HOMECARE, INC. (D/B/A VNS HOME HEALTH SERVICES) THE AFFILIATE'S MISSION IS TO PROVIDE HEALTHCARE, EDUCATION, OTHER THERAPEUTIC AND SUPPORT SERVICES TO MEMBERS OF THE COMMUNITY WITHOUT REGARD TO RACE, COLOR, CREED, OR ABILITY TO PAY.FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2011, VNS HOME HEALTH SERVICES PROVIDED 66,060 VISITS TO 4,023 CLIENTS IN THEIR HOMES. IN ADDITION TO THIS VNS ALSO PROVIDES AT NO CHARGE BLOOD PRESSURE CHECKS AT HEALTH CARE CLINICS AROUND THE SOUTH COUNTY COMMUNITY. OTHER SERVICES SUCH AS CHOLESTEROL SCREENINGS ARE PROVIDED AT A NOMINAL CHARGE.

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

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

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) LEON D PUPPI	(i) (ii)	0 0	0 0	168,750 0	0 0	0 0	168,750 0	0 0
(2) LOUIS R GIANCOLA	(i) (ii)	279,209 0	0 0	2,494 0	43,694 0	16,810 0	342,207 0	0 0
(3) THOMAS J BREEN	(i) (ii)	318,614 0	0 0	0 0	22,622 0	19,305 0	360,541 0	0 0
(4) BARBARA SEAGRAVE	(i) (ii)	156,206 0	0 0	0 0	5,467 0	14,880 0	176,553 0	0 0
(5) STEVEN SCHNEIDER	(i) (ii)	228,599 0	30,889 0	0 0	8,575 0	18,896 0	286,959 0	0 0
(6) ALLISON MCATEER	(i) (ii)	257,950 0	0 0	0 0	8,575 0	18,818 0	285,343 0	0 0
(7) JEFFREY JOSEPH	(i) (ii)	226,484 0	30,889 0	0 0	8,575 0	18,885 0	284,833 0	0 0
(8) LISA RAMEAKA	(i) (ii)	224,979 0	30,889 0	0 0	8,575 0	18,905 0	283,348 0	0 0
(9) JILL SAMALE	(i) (ii)	210,392 0	30,889 0	0 0	8,445 0	18,714 0	268,440 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	LOUIS GIANCOLA - DEFERRED COMPENSATION PLAN - $14,286 THOMAS BREEN - DEFERRED COMPENSATION PLAN - $5,714

Schedule J (Form 990) 2010

Additional Data

Software ID:
Software Version:

- TIN:

Schedule K
(Form 990)

Department of the Treasury
Internal Revenue Service

Supplemental Information on Tax Exempt Bonds

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

Attach to Form 990. SchKMediumBullet

See separate instructions.

OMB No. 1545-0047

2010

Open to Public
Inspection

Name of the organization
SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number
05-0445136

Part I

Bond Issues

(a) Issuer Name		(b) Issuer EIN	(c) CUSIP #	(d) Date Issued	(e) Issue Price	(f) Description of Purpose	(g) Defeased		(h) On Behalf of Issuer		(i) Pool financing
(a) Issuer Name		(b) Issuer EIN	(c) CUSIP #	(d) Date Issued	(e) Issue Price	(f) Description of Purpose	Yes	No	Yes	No	Yes	No
A	2006 RI HEALTH AND EDUCATIONAL BUILDING CORPORATION	52-1300173	762243ST1	09-15-2009	44,950,000	BLDG CONSTRUCTION / REFINANCE EXISTING DEBT		X		X		X
B	2003 RI HEALTH AND EDUCATIONAL BUILDING CORPORATION SERIES B	52-1300173	762243EF6	11-15-2007	7,060,000	BLDG CONSTRUCTION / REFINANCE EXISTING DEBT		X		X		X
C	2003 RI HEALTH AND EDUCATIONAL BUILDING CORPORATION SERIES C	52-1300173	762243EG4	11-15-2007	6,025,000	BLDG CONSTRUCTION / REFINANCE EXISTING DEBT		X		X		X

Part II

Proceeds

	A		B		C		D
	1 Amount of bonds retired. . . . .
2 Amount of bonds defeased . . . .
3 Total proceeds of issue . . . .	38,630,000		6,460,000		5,585,000
4 Gross proceeds in reserve funds . .
5 Capitalized interest from proceeds.
6 Proceeds in refunding escrow. . . . .	44,950,000		7,060,000		6,025,000
7 Issuance costs from proceeds . . .
8 Credit enhancement from proceeds.
9 Working capital expenditures from proceeds . .
10 Capital expenditures from proceeds . .
11 Other spent proceeds . .
12 Other unspent proceeds. . .
13 Year of substantial completion . . .	2009		1999		1997
	Yes	No	Yes	No	Yes	No	Yes	No
14 Were the bonds issued as part of a current refunding issue?		X		X	X
15 Were the bonds issued as part of an advance refunding issue?	X		X		X
16 Has the final allocation of proceeds been made? . .	X		X		X
17 Does the organization maintain adequate books and records to support the final allocation of proceeds? .	X		X		X

Part III

Private Business Use

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

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

Cat. No. 50193E

Schedule K (Form 990) 2010

Page 2

Part III

Private Business Use (Continued)

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

Part IV

Arbitrage

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
1 Has a Form 8038-T, Arbitrage Rebate, Yield Reduction and Penalty in Lieu of Arbitrage Rebate, been filed with respect to the bond issue? . . .		X		X		X
2 Is the bond issue a variable rate issue?	X		X		X
3a Has the organization or the governmental issuer entered into a hedge with respect to the bond issue?	X			X		X
b Name of provider .	MERRILL LYNCH CAPITAL SERVICES
c Term of hedge . .	30.000000000000
d Was the hedge superintegrated? .		X
e Was a hedge terminated? .		X
4a Were gross proceeds invested in a GIC? .		X		X		X
b Name of provider .
c Term of GIC . .
d Was the regulatory safe harbor for establishing the fair market value of the GIC satisfied? .
5 Were any gross proceeds invested beyond an available temporary period? .		X		X		X
6 Did the bond issue qualify for an exception to rebate? . . .		X		X		X

Schedule K (Form 990) 2010

Page 3

Part V

Supplemental Information

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

Identifier	Return Reference	Explanation

Schedule K (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

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

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) LEON D PUPPI	TRUSTEE & VICE PRESIDENT OF THE MEDICAL STAFF	168,750	LEON D. PUPPI PROVIDES PULMONARY INTENSIVIST PHYSICIAN SERVICES TO SOUTH COUNTY HOSPITAL AND IS THE VICE PRESIDENT OF THE MEDICAL STAFF.		No
(2) SUSAN KERMES	TRUSTEE	226,094	SUSAN KERMES IS MARRIED TO KEN KERMES, A TRUSTEE OF HOME & HOSPICE CARE OF RHODE ISLAND. HOME & HOSPICE CARE OF RI UTILIZES TWO ROOMS IN THE HOSPITAL TO PROVIDE INPATIENT HOSPICE CARE.		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

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

Identifier	Return Reference	Explanation
FORM 990, PART VI, SECTION B, LINE 11		THE FORM 990 IS PROVIDED TO THE ORGANIZATION'S AUDIT COMMITTEE APPROXIMATELY 30 DAYS PRIOR TO THE FILING DEADLINE. THE AUDIT COMMITTEE THEN REVIEWS THE FORM 990 AND PROVIDES QUESTIONS AND COMMENTS TO THE ORGANIZATION'S ACCOUNTING DEPARTMENT. BEFORE IT IS FILED, A COPY OF THE FINAL FORM 990, INCLUDING REQUIRED SCHEDULES, IS PROVIDED TO THE MEMBERS OF THE BOARD OF TRUSTEES FOR REVIEW AND DISCUSSION WITH THE CHAIRMAN OF THE AUDIT COMMITTEE AT A BOARD MEETING PRIOR TO THE FILING DEADLINE.
	FORM 990, PART VI, SECTION B, LINE 12C	MEMBERS OF THE GOVERNING BODY, OFFICERS, AND KEY EMPLOYEES ARE REQUIRED TO COMPLETE A CONFLICT OF INTEREST STATEMENT ANNUALLY. IT IS PERIODICALLY REVIEWED AND DISCUSSED AT BOARD MEETINGS.
	FORM 990, PART VI, SECTION B, LINE 15	THE ORGANIZATION'S CEO'S COMPENSATION IS DETERMINED BY THE GOVERNING BODY. THE CEO'S SALARY IS COMPARED TO OTHER CEO'S SALARIES OF SIMILAR ORGANIZATIONS.
	FORM 990, PART VI, SECTION C, LINE 19	THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST.
CHANGES IN NET ASSETS OR FUND BALANCES:	FORM 990, PART XI, LINE 5:	NET UNREALIZED LOSSES ON INVESTMENTS: -1,801,063. CHANGE IN FUNDED STATUS OF EMPLOYEE BENEFIT PLANS -7,080,646. NET ASSETS RELEASED FOR CAPITAL EXPENDITURES 1,957,766. UNREALIZED LOSS ON INTEREST RATE SWAP -1,815,772. UNREALIZED CHANGE IN EQUITY INTERESTS IN LIMITED PARTNERSHIPS -269,671. TOTAL TO FORM 990, PART XI, LINE 5: -9,009,386.
	FORM 990, PART XII, LINE 2C:	FINANCIAL STATEMENTS AND REPORTING THE ORGANIZATION'S AUDIT COMMITTEE IS RESPONSIBLE FOR SELECTING AN INDEPENDENT ACCOUNTANT TO AUDIT THE ORGANIZATION'S FINANCIAL STATEMENTS AND FOR OVERSEEING THE AUDIT OF THE ORGANIZATION'S FINANCIAL STATEMENTS.
DESCRIPTION OF ORGANIZATION MISSION	FORM 990, PART III, LINE 1:	SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM ("THE HOSPITAL") IS DEDICATED TO ENRICHING THE QUALITY OF LIFE OF SOUTHERN RHODE ISLAND COMMUNITY MEMBERS AND VISITORS THROUGH THE DELIVERY OF QUALITY HEALTHCARE SERVICES, THE DEVELOPMENT OF COOPERATIVE RELATIONSHIPS WITH OTHER HEALTH CARE PROVIDERS, AND THE PROMOTION OF WELLNESS THROUGH HEALTH EDUCATION AND AWARENESS. GUIDED BY THIS MISSION, IT IS THE HOSPITAL'S HIGHEST AIM TO BENEFIT THE COMMUNITY. THE HOSPITAL IS MAKING EVERY EFFORT TO:(1) PROVIDE EXCELLENT MEDICAL CARE WITH DIGNITY AND RESPECT IN A TIMELY AND COST-EFFECTIVE MANNER; (2) RESPOND WITH INNOVATION TO THE CHANGING NEEDS OF OUR GOVERNING COMMUNITY; (3) ENCOURAGE TRUSTING PARTNERSHIPS WITH EMPLOYEES, PHYSICIANS, TRUSTEES, VOLUNTEERS, AND OTHERS THROUGHOUT OUR COMMUNITY. THE HOSPITAL IS FULLY ACCREDITED BY THE JOINT COMMISSION ON ACCREDITATION OF HEALTHCARE ORGANIZATIONS. THE HOSPITAL'S FACILITIES AND PROGRAMS ARE LICENSED BY THE STATE OF RHODE ISLAND. THE HOSPITAL'S LABORATORY IS ALSO ACCREDITED BY THE COLLEGE OF AMERICAN PATHOLOGISTS AND THE AMERICAN ASSOCIATION OF BLOOD BANKS. THE ULTRASOUND, MAMMOGRAPHY, AND MRI SERVICES OF SOUTH COUNTY HOSPITAL ARE ALSO ACCREDITED BY THE AMERICAN COLLEGE OF RADIOLOGY. THE CT SCAN SERVICES AND CANCER PROGRAM ARE ACCREDITED BY THE AMERICAN COLLEGE OF SURGEONS. DURING THE FISCAL YEAR ENDING SEPTEMBER 30, 2011, THE HOSPITAL ADMITTED 4,844 ADULT AND PEDIATRIC PATIENTS; HAD 23,107 OUTPATIENT EMERGENCY ROOM VISITS, AND 9,983 URGENT CARE VISITS. THE HOSPITAL ALSO PROVIDED $9,000,000 OF FREE CHARITY CARE AND UNCOMPENSATED CARE TO INDIVIDUALS WHO WERE UNABLE TO PAY THE HOSPITAL FOR ITS SERVICES AS PRESENTED IN THE AUDITED FINANCIAL STATEMENTS. THE HOSPITALS MODERN FACILITIES INCLUDE: - NURSING UNITS PROVIDING MEDICAL AND SURGICAL SERVICES INCLUDING GENERAL MEDICINE, CARDIOLOGY, GASTROENTEROLOGY, PULMONARY, UROLOGY, GYNECOLOGY AND OTHERS AS WELL AS THOSE OFFERING SPECIALIZED SERVICES SUCH AS MATERNITY, INTENSIVE CARE, ORTHOPEDICS, AND CHEMOTHERAPY TREATMENT FOR CANCER PATIENTS. THE NEW 3 STORY 60 PRIVATE INPATIENT ROOMS INCLUDING 2 HOSPICE ROOMS OPENED JANUARY 2008. THE COMPLETION OF THE BED REPLACEMENT TOWERS ALLOWS THE HOSPITAL TO OPERATE ALL 100 LICENSED BEDS, MAKING AN ADDITIONAL 22 BEDS AVAILABLE TO THE REGION TO MEET THE DEMAND PROJECTED IN A PREVIOUSLY PUBLISHED STATE PLANNING ASSESSMENT STUDY. THE RENOVATIONS TO THE EMERGENCY ROOM, DIAGNOSTIC IMAGING, LAB AND THE BED TOWER WERE DESIGNED TO PROVIDE EFFICIENCIES TO THE PATIENT CARE AND ENHANCED PRIVACY. - A TEN-BED INPATIENT CARE UNIT (INCLUDED IN THE 100 BEDS ABOVE) DEVOTED TO ORTHOPEDIC PATIENTS TO MEET THE NEEDS OF THE PATIENT POPULATION. THIS UNIT OFFERS A "HOSPITAL WITHIN A HOSPITAL" CONCEPT AND WAS DEVELOPED IN COLLABORATION WITH THE ORTHOPEDIC SURGEONS AND CARE GIVERS. THE HOSPITAL WAS THE FIRST HOSPITAL IN RHODE ISLAND TO OFFER FDA APPROVED BIRMINGHAM HIP RESURFACING PROCEDURES AND THE FIRST HOSPITAL TO OFFER GENDER SPECIFIC KNEE IMPLANTS. ALSO, THIS UNIT IS THE STATE'S ONLY AIRBORNE INFECTION ISOLATION UNIT (AIIU) AND RESPONDS TO THE DOH IMPERATIVE TO IDENTIFY A 10-BED AIIU FOR THE STATE. - A SURGICAL PAVILION INCLUDING A SAME-DAY SURGERY UNIT, CAPABLE OF APPLYING THE LATEST TECHNOLOGY TO PERFORM A BROAD RANGE OF PROCEDURES. WITH SUCH INNOVATIONS AS LAPAROSCOPIC SURGERY AND NO-STITCH CATARACT SURGERY, PATIENTS' HOSPITALIZATION RECOVERY PERIODS HAVE BEEN SHORTENED DRAMATICALLY. - THE HOSPITAL'S MEDICAL STAFF INCLUDES MORE THAN 230 BOARD CERTIFIED AND BOARD ELIGIBLE PHYSICIANS REPRESENTING MORE THAN 40 SPECIALTIES. - LABORATORY, NEWLY RENOVATED IN THE SPRING OF 2006, AND DIAGNOSTIC IMAGING CENTER, NEW FACILITY COMPLETED IN FEBRUARY 2004, SERVING INPATIENTS AND OUTPATIENTS WITH THE CAPACITY TO PERFORM A WIDE VARIETY OF SOPHISTICATED PROCEDURES, INCLUDING MAGNETIC RESONANCE IMAGING (MRI), CT SCANS, X-RAY, ECHOCARDIOGRAPHY, INTERVENTIONAL RADIOLOGY, NUCLEAR MEDICINE, DIGITAL IMAGING, DIGITAL MAMMOGRAPHY, POSITION EMISSION TOMOGRAPHY SCANNER AND STATE-OF-THE-ART DEXA BONE DENSITOMETER. - A DIAGNOSTIC CARDIAC CATHETERIZATION SERVICE, OPENED IN JANUARY 2009, LOCATED WITHIN THE DIAGNOSTIC IMAGING CENTER. THE SERVICE WAS ADDED TO MEET THE NEEDS OF THE PATIENTS IN THE SERVICE AREA. THE PROGRAM WAS ESTABLISHED IN COLLABORATION WITH RHODE ISLAND HOSPITAL AND IS AFFILIATED WITH ITS CARDIOVASCULAR LABORATORY SERVICES. - OTHER OUTPATIENT SERVICES INCLUDE A WELL EQUIPPED REHABILITATION FACILITY INCLUDING A PHYSICAL THERAPY UNIT AND SPECIAL REHABILITATION PROGRAMS FOR CARDIAC PATIENTS AND DISABLED WORKERS; WOUND CARE CENTER WHICH PROVIDES THE MOST ADVANCED TREATMENTS AND THERAPIES AVAILABLE FOR NON-HEALING WOUNDS CAUSED BY DIABETES, POOR CIRCULATION, PRESSURE OR SURGICAL INCISIONS; SLEEP DISORDER LABORATORY, ANTICOAGULATION MANAGEMENT SERVICE CLINIC, WHICH OFFERS THE VERY LATEST IN ANTICOAGULATION THERAPY; ONCOLOGY AND INFUSION THERAPY, DIABETES & NUTRITION CONSULTING SERVICES, COLONOSCOPY CENTER, AND LYME DISEASE CLINIC. - AN EMERGENCY ROOM FACILITY WITH 24-HOUR AVAILABILITY. THE EMERGENCY DEPARTMENT WAS RENOVATED IN 2003 TO 22 TREATMENT ROOMS, A FOUR-BED OBSERVATION AREA AND A DECONTAMINATION ROOM WITH A SEPARATE EXTERIOR ENTRANCE TO SERVE CHEMICAL OR BIOLOGICAL EXPOSURES. - BESIDES AN EMERGENCY ROOM, AN URGENT CARE SERVICE IS PROVIDED FOR LESS SERIOUS INJURIES AND ILLNESSES AT A SATELLITE LOCATION. IN JANUARY 2009, THE URGENT CARE WAS RELOCATED TO A NEW FACILITY IN THE HOSPITAL'S NORTHERN SERVICE AREA. THE NEW FACILITY INCLUDES DIAGNOSTIC IMAGING, FAMILY MEDICINE, PHYSICAL THERAPY, MEDICAL LABORATORY, AND WOMAN'S HEALTH. - THE HOSPITAL OPENED SOUTH COUNTY RADIATION THERAPY IN COLLABORATION WITH 21ST CENTURY ONCOLOGY, A LEADING DEVELOPER AND RESPECTED NATIONAL PROVIDER OF RADIATION THERAPY SERVICES. BY JOINING WITH 21ST CENTURY ONCOLOGY, THE HOSPITAL IS ABLE TO PROVIDE A FULL SPECTRUM OF PREMIER RADIATION THERAPIES, IMPLEMENTING SOME OF THE MOST ADVANCED RADIATION THERAPY TREATMENTS IN THE STATE INCLUDING INTENSITY MODULATED RADIATION THERAPY, 3-D CONFORMAL BEAM THERAPY, PROSTATE SEED IMPLANTS, AND HDR BRACH THERAPY. THESE VARIOUS MODALITIES ENABLE ONCOLOGISTS TO OPTIMIZE TREATMENT CHOICES BASED ON THE TYPE AND LOCATION OF THE CANCER. - IN ORDER TO STRENGTHEN ITS HOMECARE PROGRAM DURING 1999, THE HOSPITAL AFFILIATED WITH VNS HOME HEALTH SERVICES, A RESPECTED, COMMUNITY BASED HOME HEALTH AGENCY. WITH THIS ADDITION, THE HOSPITAL STRENGTHENED ITS COMMUNITY ROOTS AND FURTHER BRANCHED OUT TO PATIENTS. THE COLLABORATION OF BOTH ORGANIZATIONS IN THIS ACTION WAS FOCUSED ON ENSURING A CONTINUITY OF QUALITY CARE, DELIVERED BY A SKILLED AND MOTIVATED TEAM OF HOME HEALTH PROFESSIONALS. TWENTIETH CENTURY TECHNOLOGY AND THE PROCESS OF MANAGED CARE HAS NOT ONLY INCREASED THE LEVELS OF SERVICE NOW PROVIDED IN THE HOME, BUT ALSO HAS BROADENED THE ROLE OF THE FAMILY AS CAREGIVERS. - IN RESPONSE TO THE CLEAR RECOMMENDATIONS FROM A WIDE CROSS-SECTION OF OUR COMMUNITY, SOUTH COUNTY HOSPITAL REMAINS COMMITTED TO INDEPENDENCE IN FINANCE, OPERATIONS AND GOVERNANCE. COMMUNITY BENEFITS - WE VIEW OUR EFFORTS IN COMMUNITY INVOLVEMENT/COMMUNITY OUTREACH AS A VITAL PART OF OUR MISSION, AND WE BELIEVE IT PLAYS AN ESSENTIAL ROLE IN IMPROVING THE HEALTH OF THE MEMBERS OF OUR COMMUNITY. EDUCATION - THROUGHOUT THE YEAR, SOUTH COUNTY HOSPITAL DEDICATES SUBSTANTIAL RESOURCES TO THE COMMUNITY OUTREACH AT A MULTITUDE OF LOCATIONS THROUGHOUT THE AREA. SOUTH COUNTY HOSPITAL PLACES GREAT IMPORTANCE ON PROVIDING A MULTITUDE OF OPPORTUNITIES FOR MEMBERS OF THE COMMUNITY TO BECOME BETTER INFORMED ABOUT DISEASE PREVENTION, MANAGEMENT, AND TREATMENT AND TO TAKE STEPS TO ACHIEVE AND MAINTAIN OPTIMAL HEALTH.
		THESE COMMUNITY OUTREACH EVENTS ARE FREE (WITH ONE EXCEPTION), OPEN TO ALL, AND TAKE MANY FORMS. THEY INCLUDE: - MONTHLY LECTURE SERIES (FREE). THE LECTURES ARE GIVEN BY PHYSICIANS AND OTHER CLINICIANS ON THE STAFF, AND ARE HELD AT VARIOUS LOCATIONS THROUGHOUT OUR SERVICE AREA TO REACH THE GREATEST NUMBER OF PEOPLE. TOPICS INCLUDE HEART DISEASE, CANCER (BREAST CANCER, COLON CANCER, PROSTATE CANCER, ETC.), DIABETES & WELLNESS, SLEEP DISORDERS, NUTRITION, ARTHRITIS, CHILDBIRTH AND MUCH, MUCH MORE. AT LEAST THREE LECTURES PER MONTH ARE OFFERED THROUGHOUT THE YEAR (A MINIMUM TOTAL OF 36 FREE LECTURES A YEAR), AND AUDIENCE SIZE RANGES FROM 30 TO MORE THAN 140. - PROSTATE CANCER SCREENING CLINIC (A FREE, ANNUAL EVENT). EACH YEAR THIS IS ATTENDED BY MORE THAN 100 MEN. THE CLINIC IS STAFFED BY UROLOGISTS AND PHLEBOTOMISTS. - WOMEN'S WELLNESS DAY (AN ANNUAL EVENT, WITH A SMALL RESERVATION FEE). THE DAY INCLUDES PRESENTATIONS BY PHYSICIANS ON IMPORTANT HEALTH TOPICS, FREE HEALTH SCREENINGS, FREE LITERATURE, AND MORE. EACH YEAR THIS IS ATTENDED BY CLOSE TO 300 WOMEN. - OUTREACH TO LOCAL SCHOOLS - EVERY YEAR, WE REACH OUT TO AREA ELEMENTARY, MIDDLE AND HIGH SCHOOLS WITH DEMONSTRATIONS ON PROPER HAND WASHING TECHNIQUES, AS WELL AS PRESENTATIONS FROM CLINICIANS ON A VARIETY OF HEALTH AND CAREER TOPICS. - A WEBSITE DESIGNED TO SERVE AS A RESOURCE FOR THE LATEST HEALTH CARE INFORMATION AND PROVIDE INFORMATION ON COMMUNITY OUTREACH. - FREE QUARTERLY NEWSLETTER, YOUR HEALTH MATTERS. THIS HEALTH INFORMATION PACKED 8 PAGE NEWSLETTER IS MAILED TO 31,000 HOUSEHOLDS PER ISSUE. - FREE MONTHLY ELECTRONIC NEWSLETTER, E-HEALTH NEWS. THE MAILING LIST FOR THIS HEALTH INFORMATION ELECTRONIC NEWSLETTER HAS MORE THAN 1,800 SUBSCRIBERS. ACCESS THE HOSPITAL OFFERS FREE TRANSPORATION ALL ACROSS SOUTH COUNTY TO MEDICAL APPOINTMENTS, USING OUR WAVE VAN, FOR INDIVIDUALS WHO ARE UNABLE TO DRIVE OR WHO HAVE NO OTHER MEANS OF TRANSPORATION.
	FORM 990, SCHEDULE D, PART V, LINE 1B:	THE AMOUNT OF $8,167,639 ON LINE 1B REPRESENTS A TRANSFER FROM OPERATIONS. THERE WERE NO CONTRIBUTIONS RECEIVED FOR THE YEAR ENDED SEPTEMBER 30, 2011.
	FORM 990, PART VI, LINE 16B:	THE HOSPITAL'S JOINT VENTURE WITH 21ST CENTURY ONCOLOGY TO PROVIDE FULL SPECTRUM OF PREMIER RADIATION THERAPIES IN THE COMMUNITY WAS FULLY REVIEWED BY HOSPITAL LEGAL COUNSEL TO ASSURE FULL TAX COMPLIANCE.

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

SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM

Employer identification number

05-0445136

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) SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM ENDOWMENT 100 KENYON AVE WAKEFIELD,RI02879 05-0259093	TO SUPPORT ADVANCEMENT OF MEDICINE AND HEALTH CARE	RI	501(C)(3)	7	N/A		No
(2) VNS HOMECARE INC 14 WOODRUFF AVE NARRAGANSETT,RI02882 05-6033975	TO PROVIDE HEALTH CARE	RI	501(C)(3)	9	SOUTH COUNTY HOSPITAL HEALTHCARE SYSTEM ENDOWMENT	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
(1) SILVER SPRING HEALTH CARE MANAGEMENT 100 KENYON AVENUE WAKEFIELD,RI02879 05-0459095	HOLDING COMPANY	RI	N/A	C	-10,206	1,454,616	100.000 %
(2) SOUTH COUNTY QUALITY CARE 100 KENYON AVENUE WAKEFIELD,RI02879 05-0491313	HOME BASED PERSONAL CARE	RI	N/A	C	123,296	750,016	100.000 %
(3) SSHM SURGICAL SUPPLY INC 100 KENYON AVENUE WAKEFIELD,RI02879 05-0478937	RETAIL PROVIDER OF MEDICAL EQUIPMENT	RI	N/A	C	-186,277	919,944	100.000 %

Schedule R (Form 990) 2010

Page 3

Part V

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

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

Yes

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

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

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

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

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

Yes

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

Yes

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

Yes

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

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

Yes

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)
(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: TO OPERATE A NOT FOR PROFIT HOSPITAL.
2	Check this box
3	Number of voting members of the governing body (Part VI, line 1a) ....	3	23
4	Number of independent voting members of the governing body (Part VI, line 1b) ....	4	21
5	Total number of individuals employed in calendar year 2010 (Part V, line 2a) ...	5	1,108
6	Total number of volunteers (estimate if necessary) ....	6	320
7a	Total unrelated business revenue from Part VIII, column (C), line 12 ..	7a	465,449
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) .........	785,015	290,042
9	Program service revenue (Part VIII, line 2g) .........	104,896,763	111,471,631
10	Investment income (Part VIII, column (A), lines 3, 4, and 7d ) ....	490,650	908,022
11	Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)	5,244,333	4,617,480
12	Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)...................	111,416,761	117,287,175
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)	51,019,656	52,708,574
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)....	58,756,701	61,631,697
18	Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25)	109,776,357	114,340,271
19	Revenue less expenses. Subtract line 18 from line 12......	1,640,404	2,946,904
		Beginning of Current Year	End of Year
20	Total assets (Part X, line 16)............	101,963,627	104,466,448
21	Total liabilities (Part X, line 26)............	96,171,915	104,737,218
22	Net assets or fund balances. Subtract line 21 from line 20 .....	5,791,712	-270,770

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 $ 86,549,507 including grants of $ ) (Revenue $ 115,194,224 )
	PATIENT CARE SERVICESSOUTH COUNTY HOSPITAL IS A COMMUNITY HOSPITAL SERVING THE COMMUNITIES OF SOUTHERN RHODE ISLAND. ONE OF THE LARGEST PROGRAMS IN SOUTH COUNTY HOSPITAL IS THE INPATIENT CARE PROGRAM WHICH HAD PATIENT DAYS IN THE FISCAL YEAR ENDING SEPTEMBER 30, 2011 OF 18,075 AND DISCHARGES OF 4,844. SPREAD ACROSS SEVERAL NURSING UNITS, THE HOSPITAL IS ABLE TO PROVIDE A HIGH LEVEL OF CARE TO PATIENTS WITH VARIOUS DIFFERENT NEEDS. THE THREE MEDICAL SURGICAL UNITS ARE IN A RELATIVELY NEW STATE OF THE ART BED TOWER. THE HOSPITAL ALSO HAS A DEDICATED STATE OF THE ART ORTHOPEDIC UNIT THAT PROVIDES FOR EXCELLENT CARE FOR ORTHOPEDIC PATIENTS. THE HOSPITAL ROUTINE CARE PROGRAM ALSO INCLUDES A WOMEN'S WING WITH 416 DELIVERIES IN FISCAL YEAR ENDING SEPTEMBER 30, 2011.SOUTH COUNTY HOSPITAL ALSO HAS AN INTENSIVE CARE UNIT THAT PROVIDES FOR PATIENTS WITH MORE SERIOUS CONDITIONS. IN ADDITION TO THE INPATIENT CARE PROGRAM, THE HOSPITAL'S SURGICAL SERVICES ENCOMPASS A WIDE RANGE OF PROCEDURES RANGING FROM COMPLEX PROCEDURES TO MINOR PROCEDURES. THE HOSPITAL HAS A SURGICAL PAVILION INCLUDING A SAME DAY SURGERY UNIT, CAPABLE OF APPLYING THE LATEST TECHNOLOGY TO PERFORM A BROAD RANGE OF PROCEDURES. THE SURGICAL SERVICES PROGRAM PERFORMED 8,762 PROCEDURES IN FISCAL YEAR ENDING SEPTEMBER 30, 2011. THE HOSPITAL'S LABORATORY SERVICES ARE A MAJOR PROGRAM WITHIN SOUTH COUNTY HOSPITAL. WITH A MAIN LAB WITHIN THE HOSPITAL AS WELL AS FOUR SATELLITE LABS IN SURROUNDING TOWNS THE LAB IS ABLE TO EXTEND BEYOND THE HOSPITAL AND HAVE A CONVENIENT PRESENCE IN A NUMBER OF LOCAL COMMUNITIES. THE HOSPITAL'S LABORATORY IS ACCREDITED BY THE COLLEGE OF AMERICAN PATHOLOGIST, THE AMERICAN ASSOCIATION OF BLOOD BANKS, AND THE U.S. HEALTH CARE FINANCING ADMINISTRATION. OTHER PROGRAM SERVICES INCLUDE ALL OTHER SERVICES INVOLVED IN OPERATING A NOT-FOR-PROFIT COMMUNITY HOSPITAL. SUCH SERVICES INCLUDE: EMERGENCY ROOM CARE, PHARMACY SERVICES, DIAGNOSTIC IMAGING SERVICES, AND OTHER ANCILLARY AND OUTPATIENT SERVICES.

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$ 86,549,507

1b	Sub-Total................
c	Total from continuation sheets to Part VII, Section A....
d	Total (add lines 1b and 1c)............	2,212,233	0	259,741

				(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
e	Government grants (contributions)1e		290,042

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.......			290,042
			Business Code
2a	PATIENT SERVICE REVENU		621,500	111,471,631	111,006,182	465,449
b
c
d
e
f	All other program service revenue .
g	Total. Add lines 2a–2f........			111,471,631
3	Investment income (including dividends, interest
	and other similar amounts).....			902,484			902,484
4	Income from investment of tax-exempt bond proceeds..
5	Royalties............
		(i) Real	(ii) Personal
6a	Gross Rents	894,887
b	Less: rental expenses
c	Rental income or (loss)	894,887
d	Net rental income or (loss).......			894,887			894,887
		(i) Securities	(ii) Other
7a	Gross amount from sales of assets other than inventory		5,538
b	Less: cost or other basis and sales expenses
c	Gain or (loss)		5,538
d	Net gain or (loss)..........			5,538			5,538
8a	Gross income from fundraising events (not including $ of contributions reported on line 1c). See Part IV, line 18 ...
	a
b	Less: direct expenses ...b
c	Net income or (loss) from fundraising events..
9a	Gross income from gaming activities. See Part IV, line 19 ...
	a
b	Less: direct expenses ...b
c	Net income or (loss) from gaming activities...
10a	Gross sales of inventory, less returns and allowances .
	a
b	Less: cost of goods sold ..b
c	Net income or (loss) from sales of inventory..
Miscellaneous Revenue			Business Code
11a	HOSPITALIST		621,500	1,646,964	1,646,964
b	JV RADIATION		621,500	485,950	485,950
c	CAFETERIA		621,500	271,982	271,982
d	All other revenue ....			1,317,697	1,317,697
e	Total. Add lines 11a–11d ......			3,722,593
12	Total revenue. See Instructions....			117,287,175	114,728,775	465,449	1,802,909


				(A) Beginning of year		(B) End of year
1	Cashnon-interest-bearing ..........			6,366	1	5,961
2	Savings and temporary cash investments .......			11,339,799	2	6,505,960
3	Pledges and grants receivable, net .........				3
4	Accounts receivable, net .........			6,933,657	4	7,104,439
5	Receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of
	Schedule L ..........				5
6	Receivables from other disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B). Complete Part II of
	Schedule L ..........				6
7	Notes and loans receivable, net .............				7
8	Inventories for sale or use ..............			1,752,283	8	1,873,152
9	Prepaid expenses and deferred charges ............			2,596,203	9	2,462,436
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	129,908,695
b	Less: accumulated depreciation. .....	10b	74,318,765	57,086,529	10c	55,589,930
11	Investments—publicly traded securities ..........				11
12	Investments—other securities. See Part IV, line 11 ......			18,755,158	12	25,013,653
13	Investments—program-related. See Part IV, line 11 ..				13
14	Intangible assets .........			2,461,292	14	2,197,641
15	Other assets. See Part IV, line 11 ...........			1,032,340	15	3,713,276
16	Total assets. Add lines 1 through 15 (must equal line 34)...			101,963,627	16	104,466,448
17	Accounts payable and accrued expenses .			12,275,273	17	13,105,816
18	Grants payable ..........				18
19	Deferred revenue ..........				19
20	Tax-exempt bond liabilities ..........			53,784,629	20	50,518,221
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 ..			327,730	23	241,735
24	Unsecured notes and loans payable to unrelated third parties ....				24
25	Other liabilities. Complete Part X of Schedule D.....			29,784,283	25	40,871,446
26	Total liabilities. Add lines 17 through 25.....			96,171,915	26	104,737,218
	Organizations that follow SFAS 117, check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets .....			5,746,712	27	-315,770
28	Temporarily restricted net assets .....				28
29	Permanently restricted net assets .....			45,000	29	45,000
	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 .....			5,791,712	33	-270,770
34	Total liabilities and net assets/fund balances .....			101,963,627	34	104,466,448