TY 2012 Form 990

(A) Name and Title	(B) Average hours per week (list any hours for related organizations below dotted line)	(C) Position (do not check more than one box, unless person is both an officer and a director/trustee)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)
(1) Carolyn Corvi........................................................................ Chairman	2.00 .......................4.00	X	X	0	0
(2) Joshua Jay Green III........................................................................ Director	2.00 .......................2.00	X		0	0
(3) Tod Hamachek........................................................................ Director	2.00 .......................2.00	X		0	0
(4) Robert Bob Lemon........................................................................ Director	2.00 .......................4.00	X		0	0
(5) Alfred Al E Lopus........................................................................ Director	2.00 .......................2.00	X		0	0
(6) Dorothy H Mann PhD........................................................................ Director	2.00 .......................2.00	X		0	0
(7) David Moffett........................................................................ Treasurer	2.00 .......................2.00	X	X	0	0
(8) James Jamie Orlikoff........................................................................ Director	2.00 .......................4.00	X		0	0
(9) Jane Blodgett........................................................................ Director	2.00 .......................2.00	X		0	0
(10) Evelyn Cruz Sroufe........................................................................ Vice Chairman	2.00 .......................2.00	X	X	0	0
(11) Lonnie Edelheit PhD........................................................................ Director	2.00 .......................2.00	X		0	0
(12) James Jim Young........................................................................ Secretary	2.00 .......................4.00	X	X	0	0
(13) Julie Morath RN........................................................................ Director	2.00 .......................2.00	X		0	0
(14) Richard Rich Martinez........................................................................ Director	2.00 .......................2.00	X		0	0
(15) Kristi Pangrazio........................................................................ Director	2.00 .......................3.00	X		0	0
(16) Gary Kaplan MD........................................................................ Chairman, CEO	50.00 .......................5.00		X	1,507,637	2,230,266
(17) Suzanne Anderson........................................................................ Executive Vice President, CIO/CFO	50.00 .......................4.00		X	669,322	74,812

(A) Name and Title	(B) Average hours per week (list any hours for related organizations below dotted line)	(F) Estimated amount of other compensation from the organization and related organizations
(18) Katerie Chapman........................................................................ Vice President	50.00 .......................	X			313,402	35,662
(19) Lucy Glenn MD........................................................................ Chief of Radiology	50.00 .......................	X			696,867	81,990
(20) Michael Glenn MD........................................................................ Physician in Chief, Medical Director, Clinic	50.00 .......................	X			795,984	101,409
(21) Fred Govier MD........................................................................ Chief of Surgery	50.00 .......................	X			777,150	63,230
(22) Andrew Jacobs MD........................................................................ Chief Medical Officer	50.00 .......................1.00	X			612,928	149,065
(23) Joyce Lammert MD........................................................................ Chief of Medicine	50.00 .......................1.00	X			564,202	48,492
(24) Sarah Patterson........................................................................ Executive Vice President, COO	50.00 .......................4.00	X			912,497	157,715
(25) William Poppy........................................................................ Senior Vice President, CTO	50.00 .......................	X			504,788	58,642
(26) Steve Rupp MD........................................................................ Chief of Perioperative Services and Anesthesiology	50.00 .......................	X			614,933	56,147
(27) Donna Smith MD........................................................................ Medical Director, Hospital	50.00 .......................	X			518,011	89,942
(28) Charleen Tachibana RN........................................................................ Senior Vice President, Hospital Administrator	50.00 .......................	X			493,978	72,823
(29) James P Cote........................................................................ Senior Vice President, Clinic Administrator	50.00 .......................	X			419,751	25,962
(30) Michael P Ondracek........................................................................ Vice President	50.00 .......................	X			279,682	39,447
(31) Catherine Potts........................................................................ Chief, Primary Care	50.00 .......................	X			388,923	63,617
(32) Christopher L Fellows MD........................................................................ Physician	50.00 .......................		X		1,152,957	63,438
(33) Ulrike I Ochs MD........................................................................ Physician	50.00 .......................		X		988,217	103,070
(34) Richard A Kozarek MD........................................................................ Physician	50.00 .......................		X		950,916	137,458
(35) Keith Paige MD........................................................................ Physician	50.00 .......................		X		898,360	61,908
(36) Shayan Irani M D........................................................................ Physician	50.00 .......................		X		815,870	32,467
(37) Brian McDonald MD........................................................................ Physician, Former Key Employee	50.00 .......................			X	269,478	36,409
(38) Robert Mecklenburg MD........................................................................ Physician, Former Board Director	25.00 .......................25.00			X	422,861	46,624
(39) Craig Goodrich........................................................................ Senior Vice President, Former Key Employee	50.00 .......................1.00			X	402,867	41,318

(A) Name and business address	(B) Description of services	(C) Compensation
Pitney Bowes Management SvcP O Box 840851DallasTX75284	Mail Management Services	1,686,344
Skanska USA Building Inc221 Yale Ave N Suite 400SeattleWA98109	Construction Services	7,998,361
Crothall Healthcare Inc955 Chesterbrook Bld Ste 300WaynePA19087	Staffing Services	12,203,580
AMN Healthcare Inc12400 High Bluff DriveSan DiegoCA92130	Staffing Services	2,273,785
Turner Constuction Company830 4th Ave SSeattleWA98134	Construction Services	8,074,297
2 Total number of independent contractors (including but not limited to those listed above) who received more than $100,000 of compensation from the organization 42

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 United States. See Part IV, line 21	9,188,382	9,188,382
2	Grants and other assistance to individuals in the United States. See Part IV, line 22	0
3	Grants and other assistance to governments, organizations, and individuals outside the United States. See Part IV, lines 15 and 16	0
4	Benefits paid to or for members	0
5	Compensation of current officers, directors, trustees, and key employees ....	13,133,240	7,085,181	6,048,059
6	Compensation not included above, to disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B) ....	0
7	Other salaries and wages	449,280,478	389,910,343	59,370,135
8	Pension plan accruals and contributions (include section 401(k) and 403(b) employer contributions) ....	26,117,131	22,665,885	3,451,246
9	Other employee benefits .......	26,630,316	23,111,255	3,519,061
10	Payroll taxes ...........	28,440,463	24,682,200	3,758,263
11	Fees for services (non-employees):
a	Management ......	1,686,451	1,463,595	222,856
b	Legal .........	1,635,347		1,635,347
c	Accounting ...........	487,874		487,874
d	Lobbying ...........	133,874		133,874
e	Professional fundraising services. See Part IV, line 17
f	Investment management fees ......	0
g	Other (If line 11g amount exceeds 10% of line 25, column (A) amount, list line 11g expenses on Schedule O) ........	48,740,631	42,299,804	6,440,827
12	Advertising and promotion ....	4,303,702	3,734,990	568,712
13	Office expenses .......	175,988,389	152,732,417	23,255,972
14	Information technology ......	25,579,837	22,199,591	3,380,246
15	Royalties ..	0
16	Occupancy ...........	20,820,779	18,069,419	2,751,360
17	Travel ............	3,361,281	2,917,105	444,176
18	Payments of travel or entertainment expenses for any federal, state, or local public officials ......	0
19	Conferences, conventions, and meetings ....	523,285	454,136	69,149
20	Interest ...........	12,475,665	10,827,069	1,648,596
21	Payments to affiliates .......	0
22	Depreciation, depletion, and amortization .....	39,760,808	34,468,693	5,292,115
23	Insurance ..............	1,560,727	1,354,485	206,242
24	Other expenses. Itemize expenses not covered above (List miscellaneous expenses in line 24e. If line 24e amount exceeds 10% of line 25, column (A) amount, list line 24e expenses on Schedule O.)
a	Taxes	22,491,794	22,491,794
b	Medical Purchase Services	560,930	486,806	74,124
c	Dues and Subscriptions	2,167,051	1,880,686	286,365
d	Bad Debt Expense	103,500	103,500
e	All other expenses	9,039,829	7,845,260	1,194,569
25	Total functional expenses. Add lines 1 through 24e	924,211,764	799,972,596	124,239,168	0
26	Joint costs. Complete this line only if the organization reported in column (B) joint costs from a combined educational campaign and fundraising solicitation. Check here if following SOP 98-2 (ASC 958-720).

Part X Balance Sheet Check if Schedule O contains a response to any question in this Part X ...............
	1	Cashnon-interest-bearing .............	46,140,605	1	36,980,257
2	Savings and temporary cash investments .........	46,018,726	2	39,350,733
3	Pledges and grants receivable, net ...........		3
4	Accounts receivable, net .............	95,948,616	4	103,217,332
5	Loans and other receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of Schedule L ..................
			5
6	Loans and other receivables from other disqualified persons (as defined under section 4958(f)(1)), persons described in section 4958(c)(3)(B), and contributing employers and sponsoring organizations of section 501(c)(9) voluntary employees' beneficiary organizations (see instructions) Complete Part II of Schedule L
			6
7	Notes and loans receivable, net .............		7
8	Inventories for sale or use ..............	13,052,072	8	13,639,506
9	Prepaid expenses and deferred charges ..........	3,940,998	9	4,014,345
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	899,991,516
b	Less: accumulated depreciation .....	10b	380,047,341	505,919,340	10c	519,944,175
11	Investments—publicly traded securities ..........	152,031,866	11	179,166,776
12	Investments—other securities. See Part IV, line 11 .....	722,801	12
13	Investments—program-related. See Part IV, line 11 .....		13
14	Intangible assets ...............		14
15	Other assets. See Part IV, line 11 ...........	53,240,748	15	53,978,410
16	Total assets. Add lines 1 through 15 (must equal line 34)......	917,015,772	16	950,291,534
	17	Accounts payable and accrued expenses .........	122,772,702	17	127,449,847
18	Grants payable .................		18
19	Deferred revenue ................	43,867	19	52,522
20	Tax-exempt bond liabilities .............	328,704,983	20	325,757,212
21	Escrow or custodial account liability. Complete Part IV of Schedule D..		21
22	Loans and other payables to current and former officers, directors, trustees, key employees, highest compensated employees, and disqualified
	persons. Complete Part II of Schedule L..........		22
23	Secured mortgages and notes payable to unrelated third parties ..	30,737,154	23	29,351,564
24	Unsecured notes and loans payable to unrelated third parties ....		24
25	Other liabilities (including federal income tax, payables to related third parties, and other liabilities not included on lines 17-24). Complete Part X of Schedule D....................	116,387,017	25	116,685,817
26	Total liabilities. Add lines 17 through 25.........	598,645,723	26	599,296,962
		Organizations that follow SFAS 117 (ASC 958), check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets ..............	300,177,790	27	333,336,273
28	Temporarily restricted net assets ...........	14,117,580	28	13,451,315
29	Permanently restricted net assets ...........	4,074,679	29	4,206,984
	Organizations that do not follow SFAS 117 (ASC 958), 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 ...........	318,370,049	33	350,994,572
34	Total liabilities and net assets/fund balances ........	917,015,772	34	950,291,534

- 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

2012

Open to Public
Inspection

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

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 described in 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. See section 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 - Non-functionally integrated

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 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 monetary support
(i) Name of supported organization	(ii) EIN	Yes	No	Yes	No	Yes	No	(vii) Amount of monetary support


Total

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

Cat. No. 11285F

Schedule A (Form 990 or 990-EZ) 2012

Page 2

Part II

Support Schedule for Organizations Described in Sections 170(b)(1)(A)(iv) and 170(b)(1)(A)(vi)
(Complete only if you checked the box on line 5, 7, or 8 of Part I or if the organization failed to qualify 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) 2008	(b) 2009	(c) 2010	(d) 2011	(e) 2012	(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) 2008	(b) 2009	(c) 2010	(d) 2011	(e) 2012	(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. Do not include gain or loss from the sale of capital assets (Explain in Part IV.)..
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 2012 (line 6, column (f) divided by line 11, column (f)) .........

0 %

Public support percentage for 2011 Schedule A, Part II, line 14 ...............

16a

33 1/3% support test—2012. 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—2011. If the organization did not check a box on line 13 or 16a, and line 15 is 33 1/3% or more, check this
box and stop here. The organization qualifies as a publicly supported organization ..................... right arrow

17a

10%-facts-and-circumstances test—2012. 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—2011. 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) 2012

Page 3

Part III

Support Schedule for Organizations Described in Section 509(a)(2)
(Complete only if you checked the box on line 9 of Part I or if the organization failed to qualify under 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) 2008	(b) 2009	(c) 2010	(d) 2011	(e) 2012	(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) 2008	(b) 2009	(c) 2010	(d) 2011	(e) 2012	(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.)..

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 2012 (line 8, column (f) divided by line 13, column (f)) .........

0 %

Public support percentage from 2011 Schedule A, Part III, line 15 ...............

Section D. Computation of Investment Income Percentage

Investment income percentage for 2012 (line 10c, column (f) divided by line 13, column (f)) ......

0 %

Investment income percentage from 2011 Schedule A, Part III, line 17 .............

19a

33 1/3% support tests—2012. 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—2011. 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) 2012

Page 4

Part IV

Supplemental Information. Complete this part to provide the explanations required by Part II, line 10; Part II, line 17a or 17b; and 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) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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

2012

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

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, total 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 total 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 on line H of its
Form 990-EZ or on Part I, 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) (2012)

Schedule B (Form 990, 990-EZ, or 990-PF) (2012)

Page 2

Name of organization Virginia Mason Medical Center

Part I	Contributors (see instructions). Use duplicate copies of Part I if additional space is needed.
(a) No.	(b) Name, address, and ZIP + 4	(c) Total 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) Total 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) Total 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) Total 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) Total 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) Total 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) (2012)

Schedule B (Form 990, 990-EZ, or 990-PF) (2012)

Page 3

Name of organization Virginia Mason Medical Center

Part II	Noncash Property (see instructions). Use duplicate copies of Part II if additional space is needed.
(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) (2012)

Schedule B (Form 990, 990-EZ, or 990-PF) (2012)

Page 4

Name of organization
Virginia Mason Medical Center

Employer identification number

91-0565539

Part III

Exclusively religious, charitable, etc., individual contributions to section 501(c)(7), (8), or (10) organizations
that total 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

$
Use duplicate copies of Part III if additional space is needed.

(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) (2012)

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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

2012

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 35c (Proxy Tax), then
Round Bullet

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

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

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 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 function 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 Paperwork Reduction Act Notice, see the instructions for Form 990 or 990-EZ.

Cat. No. 50084S

Schedule C (Form 990 or 990-EZ) 2012

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 SchCMd Bullet

if the filing organization belongs to an affiliated group (and list in Part IV each affiliated group member's name, address, EIN, expenses, and share of excess lobbying expenditures). Click to see attachment

B Check SchCMd Bullet

if the filing organization checked box A and "limited control" provisions apply.

Limits on Lobbying Expenditures (The term "expenditures" means amounts paid or incurred.)		(a) Filing organization's totals	(b) Affiliated group totals
1a	Total lobbying expenditures to influence public opinion (grass roots lobbying) ......	127,874	127,874
b	Total lobbying expenditures to influence a legislative body (direct lobbying) .......	6,000	6,000
c	Total lobbying expenditures (add lines 1a and 1b) ...................	133,874	133,874
d	Other exempt purpose expenditures ........................	924,077,890	984,166,099
e	Total exempt purpose expenditures (add lines 1c and 1d) ...............	924,211,764	984,299,973
f	Lobbying nontaxable amount. Enter the amount from the following table in both columns.	1,000,000	1,000,000
	If the amount on line 1e, column (a) or (b) is:The lobbying nontaxable amount is:
	Not over $500,00020% of the amount on line 1e.
	Over $500,000 but not over $1,000,000$100,000 plus 15% of the excess over $500,000.
	Over $1,000,000 but not over $1,500,000$175,000 plus 10% of the excess over $1,000,000.
	Over $1,500,000 but not over $17,000,000$225,000 plus 5% of the excess over $1,500,000.
	Over $17,000,000$1,000,000.

g	Grassroots nontaxable amount (enter 25% of line 1f) .................	250,000	250,000
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) 2009	(b) 2010	(c) 2011	(d) 2012	(e) Total

2a	Lobbying nontaxable amount	1,000,000	1,000,000	1,000,000	1,000,000	4,000,000

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

c	Total lobbying expenditures	269,422	270,061	222,311	133,874	895,668

d	Grassroots nontaxable amount	250,001	250,000	250,000	250,000	1,000,001

e	Grassroots ceiling amount (150% of line 2d, column (e))					1,500,002

f	Grassroots lobbying expenditures	152,146	151,772	122,311	127,874	554,103

Schedule C (Form 990 or 990-EZ) 2012

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)).

For each “Yes” response to lines 1a through 1i below, provide in Part IV a detailed description of the lobbying activity.

(a)

Yes

(b)

Amount

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

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

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

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

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

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

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

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

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

Other activities? ..........................

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

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

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

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

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

Part III-A

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

Yes

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

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

Did the organization agree to carry over 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) and if either (a) BOTH Part III-A, lines 1 and 2, are answered “No” OR (b) Part III-A, line 3, is answered “Yes."

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

Section 162(e) nondeductible 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; Part II-A (affiliated group list); Part II-A, line 2; and Part ll-B, line 1. Also, complete this part for any additional information.

Identifier	Return Reference	Explanation
II-A	A	Virginia Mason Medical Center, EIN 91-0565539, 1100 Ninth Avenue, Seattle, WA 98101. Election Member. Grassroots Lobbying Expenditures 127,874 Direct Lobbying Expenditures 6,000. Excess Lobbying Expenditures 0. Tax year ending December 31, 1998 was the first year in which Virginia Mason Medical Center made the election under Section 501h. The election was not revoked before the start of the tax year ending December 31, 2012. Virginia Mason Medical Center pays membership dues to Washington State Hospital Association, a portion of which was used for legislative and lobbying activities. Virginia Mason Medical Center also pays membership dues to other professional health care organizations, a portion of which may be used for legislative and lobbying activities.
II-A	A continued	Virginia Mason Institute, EIN 26-3763656, 1100 Ninth Avenue, Seattle, WA 98101. Non-electing member. 0 Lobbying Expenditures. Excess Lobbying Expenditures 0.
II-A	A continued	Virginia Mason Health System, EIN 91-1351110, 1100 Ninth Avenue, Seattle, WA 98101. Non-electing member. 0 Lobbying Expenditures. Excess Lobbying Expenditures 0.
II-A	A continued	Benaroya Research Institute at Virginia Mason, EIN 91-0653422, 1201 Ninth Avenue, Seattle, WA 98101. Non-electing member. 0 Lobbying Expenditures. Excess lobbying expenditures 0.

Schedule C (Form 990 or 990EZ) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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, 11a, 11b, 11c, 11d, 11e, 11f, 12a, or 12b
SchDMd Bullet

Attach to Form 990. SchDMd Bullet

See separate instructions.

OMB No. 1545-0047

2012

Open to Public Inspection

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

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 can 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 education) Preservation of an historically important land area

Protection of natural habitat Preservation of a certified historic structure

Preservation of open space

Complete lines 2a through 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, and not on a historic structure listed in the National Register ....................	2d

Number of conservation easements modified, transferred, released, extinguished, or terminated by the organization during
the tax 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 section 170(h)(4)(B)(ii)? .......................................

Yes No

In Part XIII, 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 (ASC 958), 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 XIII, the text of the footnote to its financial statements that describes these items.

If the organization elected, as permitted under SFAS 116 (ASC 958), 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 (ASC 958) 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 Paperwork Reduction Act Notice, see the Instructions for Form 990.

Cat. No. 52283D

Schedule D (Form 990) 2012

Page 2

Part III

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

Using the organization’s acquisition, 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 XIII.

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 XIII 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 XIII. Check here if the explanation has been provided in Part XIII ........

Part V

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

		(a)Current year	(b)Prior year	b (c)Two years back	(d)Three years back	(e)Four years back
1a	Beginning of year balance ....	12,043,176	12,672,073	11,663,690	9,444,928	13,624,798
b	Contributions ........	100,706		20	230,704	500,931
c	Net investment earnings, gains, and losses	1,800,839	-146,637	1,423,022	2,265,200	-4,680,801
d	Grants or scholarships .....	491,586	482,260	414,659	277,142
e	Other expenditures for facilities and programs ........
f	Administrative expenses ....
g	End of year balance ......	13,453,135	12,043,176	12,672,073	11,663,690	9,444,928

Provide the estimated percentage of the current year end balance (line 1g, column (a)) held as:

Board designated or quasi-endowment SchDMd Bullet

59.850 %

Permanent endowment SchDMd Bullet

27.480 %

Temporarily restricted endowment SchDMd Bullet

12.660 %

The percentages in lines 2a, 2b, and 2c should equal 100%.

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 XIII the intended uses of the organization's endowment funds.

Part VI

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

Description of property		(b)Cost or other basis (other)	(c) Accumulated depreciation	(d) Book value
1a	Land .................	36,370,602		36,370,602
b	Buildings ................	472,643,791	130,192,177	342,451,614
c	Leasehold improvements ............	20,887,902	10,120,836	10,767,066
d	Equipment ................	339,996,885	239,112,790	100,884,095
e	Other .................	30,092,336	621,538	29,470,798
Total. Add lines 1a through 1e. (Column (d) must equal Form 990, Part X, column (B), line 10(c).).......				519,944,175

Schedule D (Form 990) 2012

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) Financial derivatives and other financial products
(B) Closely-held equity interests







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

Part VIII

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

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









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

Part IX

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

(a) Description				(b) Book value
(1) Funds Held By Trustee				37,167,102
(2) Interest Receivable Swap				200,000
(3) Long Term Receivable				384,800
(4) BB Cemetry Plots/Niches Donated Assets				19,000
(5) Parking Rights				346,926
(6) Winthrop Apartment				227,800
(7) Equity Investment-HSCA				213,734
(8) Deferred Financing Costs				8,402,680
(9) Partnership Interest in National Purchasing Partners				235,256
(10) Beneficial Interest				2,612,267
(11) Start Up Costs-Madison				9,285
(12) Equity Investment in Administrative Resources				3,909,560
(13) Network Group Purchasing				250,000
Total. (Column (b) must equal Form 990, Part X, col.(B) line 15.)...........				53,978,410

Part X

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

1.(a) Description of liability		(b) Book value
Federal income taxes
Federal income taxes
Due to affiliates		2,458,333
Estimated Third Party Payor Settlement		8,568,880
Reserve for Professional Liability Claims		14,700,507
Accrued Retirement Expenses		86,295,352
Asbestos Abatement		964,540
Deferred Rent Credits		3,698,205


Total. (Column (b) must equal Form 990, Part X, col.(B) line 25.)		116,685,817
2. Fin 48 (ASC 740) Footnote. In Part XIII, 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 (ASC 740). Check here if the text of the footnote has been provided in Part XIII .....................................................

Schedule D (Form 990) 2012

Page 4

Part XI Reconciliation of Revenue per Audited Financial Statements With Revenue per Return
1	Total revenue, gains, and other support per audited financial statements .......			1	957,291,265
2	Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a	Net unrealized gains on investments ..........	2a	11,488,701
b	Donated services and use of facilities .........	2b
c	Recoveries of prior year grants ...........	2c
d	Other (Describe in Part XIII.) ............	2d	7,259,330
e	Add lines 2a through 2d .....................			2e	18,748,031
3	Subtract line 2e from line 1.....................			3	938,543,234
4	Amounts included on Form 990, Part VIII, line 12, but not on line 1:
a	Investment expenses not included on Form 990, Part VIII, line 7b .	4a
b	Other (Describe in Part XIII.) ...........	4b	5,018,121
c	Add lines 4a and 4b.......................			4c	5,018,121
5	Total revenue. Add lines 3 and 4c. (This must equal Form 990, Part I, line 12.) ......			5	943,561,355

Part XII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return
1	Total expenses and losses per audited financial statements ...........			1	923,568,931
2	Amounts included on line 1 but not on Form 990, Part IX, line 25:
a	Donated services and use of facilities ..........	2a
b	Prior year adjustments ..............	2b
c	Other losses ................	2c
d	Other (Describe in Part XIII.) ............	2d	4,375,288
e	Add lines 2a through 2d......................			2e	4,375,288
3	Subtract line 2e from line 1.....................			3	919,193,643
4	Amounts included on Form 990, Part IX, line 25, but not on line 1:
a	Investment expenses not included on Form 990, Part VIII, line 7b ..	4a
b	Other (Describe in Part XIII.) ............	4b	5,018,121
c	Add lines 4a and 4b.......................			4c	5,018,121
5	Total expenses. Add lines 3 and 4c. (This must equal Form 990, Part I, line 18.) ......			5	924,211,764

Part XIII

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, line 2; Part XI, lines 2d and 4b; and Part XII, lines 2d and 4b. Also complete this part to provide any additional information.

Identifier	Return Reference	Explanation
V	4	Support health care mission of Virginia Mason Medical Center and research mission of Benaroya Research Institute at Virginia Mason.
X	2	Accounting principles generally accepted in the United States of America require management to evaluate tax positions taken by the Medical Center and recognize a tax liability or asset if the Corporation has taken an uncertain position that more likely than not would not be sustained upon examination by the IRS. Management has analyzed tax positions taken by the Corporation and has concluded that as of December 31, 2012, there are no uncertain positions taken or expected to be taken that would require recognition of a liability or asset or disclosure in the financial statements. The Medical Center is subject to routine audits by taxing jurisdictions however, there are currently no audits for any tax periods in progress. The Medical Centers management believes it is no longer subject to income tax examinations for years prior to 2009.
VIII	2d	Donated Capital 1,075 Restricted Capital Transfers 3,313,902 Additional Pension Adjustment 1,526,596 Virginia Mason Institute Revenues 3,679,331 Donation Transfers 1,793,768
XI	4b	Non-operating expenses 5,419,197 Financial Reclasses 559,403 Rental expenses 961,686 Loss on disposal of equipment 1,207
XII	2d	Donation Transfers 1,793,768 Virginia Mason Instutite Expenses 2,581,520
XII	4b	Non-operating expenses 5,419,197 Financial Reclasses 559,403 Rental expenses 961,686 Loss on disposal of equipment 1,207

Schedule D (Form 990) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- TIN:

SCHEDULE F(Form 990)

Department of the Treasury
Internal Revenue Service

Statement of Activities Outside the United States

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

Attach to Form 990. Right pointing arrow large image

See separate instructions.

OMB No. 1545-0047

2012

Open to Public Inspection

Name of the organization
Virginia Mason Medical Center

Employer identification number

91-0565539

Part I

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

For grantmakers. Does the organization maintain records to substantiate the amount of the grants or

assistance, the grantees’ eligibility for the grants or assistance, and the selection criteria used to award

the grants or assistance? ...................................

Yes

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

Activites per Region. (The following Part I, line 3 table can be duplicated if additional space is needed.)

(a) Region		(d) Activities conducted in region (by type) (e.g., fundraising, program services, investments, grants to recipients located in the region)	(e) If activity listed in (d) is a program service, describe specific type of service(s) in region	(f) Total expenditures for and investments in region
	East Asia and the Pacific	Program Services	Education	24,300
	Europe	Program Services	Education	19,280
	North America	Program Services	Education	1,428














3a	Sub-total .....			45,008
b	Total from continuation sheets to Part I ...
c	Totals (add lines 3a and 3b)			45,008

For Paperwork Reduction Act Notice, see the Instructions for Form 990.Cat. No. 50082W Schedule F (Form 990) 2012

Schedule F (Form 990) 2012

Page 2

Part II

Grants and Other Assistance to Organizations or Entities Outside the United States. Complete if the organization answered “Yes” to Form 990, Part IV, line 15, for any recipient who received more than $5,000. Part II can be duplicated if additional space is needed.

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

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

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

Schedule F (Form 990) 2012

Schedule F (Form 990) 2012Page 3

Part III

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

Part III can be duplicated if additional space is needed.

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

Schedule F (Form 990) 2012

Page 4

Part IV

Foreign Forms

Schedule F (Form 990) 2012

Page 5

Part V

Supplemental Information
Complete this part to provide the information required by Part I, line 2 (monitoring of funds); Part I, line 3, column (f) (accounting method; amounts of investments vs. expenditures per region); Part II, line 1 (accounting method); Part III (accounting method); and Part III, column (c) (estimated number of recipients), as applicable. Also complete this part to provide any additional information (see instructions).

Identifier	ReturnReference	Explanation
I	3	Expenditures are actual expenses incurred in the region based on individual expense reports and tracking of expenditures by the department.

Schedule F (Form 990) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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

2012

Open to Public Inspection

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

Part I

Financial Assistance and Certain Other Community Benefits at Cost

Yes

Did the organization have a financial assistance policy during the tax year? If "No," skip to question 6a ...

Yes

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

Yes

If the organization had multiple hospital facilities, indicate which of the following best describes application of the financial assistance policy to its various hospital facilities during the tax year.

Applied uniformly to all hospital facilities Applied uniformly to most hospital facilities Generally tailored to individual hospital facilities

Answer the following based on the financial assistance eligibility criteria that applied to the largest number of the organization's patients during the tax year.

Did the organization use Federal Poverty Guidelines (FPG) as a factor in determining eligibility for providing free care?

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

Yes

100% 150% 200% Other %

Did the organization use FPG as a factor in determining eligibility for providing discounted care? If "Yes," indicate

which of the following was the family income limit for eligibility for discounted care: .........

Yes

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

If the organization used factors other than FPG in determining eligibility, describe in Part VI the income based criteria for determining eligibility for free or discounted care. Include in the description whether the organization used an asset test or other threshold, regardless of income, as a factor in determining eligibility for free or discounted care.

Did the organization's financial assistance policy that applied to the largest number of its patients during the tax year provide for free or discounted care to the "medically indigent"? ..............

Yes

Did the organization budget amounts for free or discounted care provided under its financial assistance policy during the tax year? ............................

Yes

If "Yes," did the organization's financial assistance expenses exceed the budgeted amount? ......

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

Did the organization prepare a community benefit report during the tax year? ..........

Yes

If "Yes," did 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.

Financial Assistance and Certain Other Community Benefits at Cost

Financial Assistance and Means-Tested Government Programs		(a) Number of activities or programs (optional)	(b) Persons served (optional)	(c) Total community benefit expense	(d) Direct offsetting revenue	(e) Net community benefit expense	(f) Percent of total expense
a	Financial Assistance at cost (from Worksheet 1) ..		5,979	11,042,665		11,042,665	1.190 %
b	Medicaid (from Worksheet 3, column a) ....		4,470	30,673,487	25,398,725	5,274,762	0.570 %
c	Costs of other means-tested government programs (from Worksheet 3, column b) .
d	Total Financial Assistance and Means-Tested Government Programs .		10,449	41,716,152	25,398,725	16,317,427	1.760 %
Other Benefits		8	1,863	906,152	58,007	848,145	0.090 %
e	Community health improvement services and community benefit operations (from Worksheet 4) ..	8	1,863	906,152	58,007	848,145	0.090 %
f	Health professions education (from Worksheet 5) ..	27	804	10,724,870	6,701,964	4,022,906	0.440 %
g	Subsidized health services (from Worksheet 6) ..	2	395	429,197	125,873	303,324	0.030 %
h	Research (from Worksheet 7)
i	Cash and in-kind contributions for community benefit (from Worksheet 8)			5,681,783		5,681,783	0.610 %
j	Total. Other Benefits ..	37	3,062	17,742,002	6,885,844	10,856,158	1.170 %
k	Total. Add lines 7d and 7j .	37	13,511	59,458,154	32,284,569	27,173,585	2.930 %

For Paperwork Reduction Act Notice, see the Instructions for Form 990. Cat. No. 50192T Schedule H (Form 990) 2012

Schedule H (Form 990) 2012

Page

Part II

Community Building Activities Complete this table if the organization conducted any community building activities during the tax year, and describe in Part VI how its community building activities promoted the health of the communities it serves.

		(a) Number of activities or programs (optional)	(c) Total community building expense	(e) Net community building expense	(f) Percent of total expense
1	Physical improvements and housing
2	Economic development
3	Community support	3	527,007	527,007	0.060 %
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	3	527,007	527,007	0.060 %

Part III

Bad Debt, Medicare, & Collection Practices

Section A. Bad Debt Expense

Yes

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

Yes

Enter the amount of the organization's bad debt expense. Explain in Part VI the methodology used by the organization to estimate this amount. ......

5,237,346

Enter the estimated amount of the organization's bad debt expense attributable to patients eligible under the organization's financial assistance policy. Explain in Part VI the methodology used by the organization to estimate this amount and the rationale, if any, for including this portion of bad debt as community benefit. ......

Provide in Part VI the text of the footnote to the organization’s financial statements that describes bad debt expense or the page number on which this footnote is contained in the attached financial statements.

Section B. Medicare

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

156,946,640

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

176,526,686

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

-19,580,046

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

Did the organization have a written debt collection policy during the tax year? ..........

Yes

If "Yes," did the organization’s collection policy that applied to the largest number of its patients during the tax year contain provisions on the collection practices to be followed for patients who are known to qualify for financial assistance? Describe in Part VI.......................

Yes

Part IV

Management Companies and Joint Ventures(owned 10% or more by officers, directors, trustees, key employees, and physicians—see instructions)

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

Schedule H (Form 990) 2012

Page

Part VFacility Information

Section A. Hospital Facilities (list in order of size from largest to smallest—see instructions) How many hospital facilities did the organization operate during the tax year?1 Name, address, and primary website address						Facility reporting group
1	Virginia Mason Medical Center 1100 Ninth Avenue Seattle,WA98101	X	X	X	X	A

Schedule H (Form 990) 2012

Page

Part VFacility Information (continued)

Section B. Facility Policies and Practices

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

	A
Name of hospital facility or facility reporting group

For single facility filers only: line Number of Hospital Facility (from Schedule H, Part V, Section A)

Yes

Community Health Needs Assessment (Lines 1 through 8c are optional for tax years begining on or before March 23, 2012)

During the tax year or either of the two immediately preceding tax years, did the hospital facility conduct a community health needs assessment (CHNA)? If "No," skip to line 9....................

If “Yes,” indicate what the CHNA report describes (check all that apply):

A definition of the community served by the hospital facility

Demographics of the community

Existing health care facilities and resources within the community that are available to respond to the health needs of the community

How data was obtained

The health needs of the community

Primary and chronic disease needs and other health issues of uninsured persons, low-income persons, and minority groups

The process for identifying and prioritizing community health needs and services to meet the community health needs

The process for consulting with persons representing the community’s interests

Information gaps that limit the hospital facility’s ability to assess the community’s health needs

Other (describe in Part VI)

Indicate the tax year the hospital facility last conducted a CHNA: 20

In conducting its most recent CHNA, did the hospital facility take into account input from representatives of the community served by the hospital facility, including those with special knowledge of or expertise in public health? 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 ....................

Was the hospital facility’s CHNA conducted with one or more other hospital facilities? If “Yes,” list the other hospital facilities in Part VI................................

Did the hospital facility make its CHNA report widely available to the public? .............

If “Yes,” indicate how the CHNA report was made widely available (check all that apply):

Hospital facility’s website

Available upon request from the hospital facility

Other (describe in Part VI)

If the hospital facility addressed needs identified in its most recently conducted CHNA, indicate how (check all that apply to date):

Adoption of an implementation strategy that addresses each of the community health needs identified through the CHNA

Execution of the implementation strategy

Participation in the development of a community-wide plan

Participation in the execution of a community-wide plan

Inclusion of a community benefit section in operational plans

Adoption of a budget for provision of services that address the needs identified in the CHNA

Prioritization of health needs in its community

Prioritization of services that the hospital facility will undertake to meet health needs in its community

Other (describe in Part VI)

Did the hospital facility address all of the needs identified in its most recently conducted CHNA? If “No,” explain in Part VI which needs it has not addressed and the reasons why it has not addressed such needs ........

Did the organization incur an excise tax under section 4959 for the hospital facility's failure to conduct a CHNA as required by section 501(r)(3)? ...........................

If "Yes" to line 8a, did the organization file Form 4720 to report the section 4959 excise tax? ......

If "Yes" to line 8b, what is the total amount of section 4959 excise tax the organization reported on Form 4720 for all of its hospital facilities? $

Schedule H (Form 990) 2012

Page

Part VFacility Information (continued)

Financial Assistance Policy			Yes	No
9	Did the hospital facility have in place during the tax year a written financial assistance policy that:
	Explained eligibility criteria for financial assistance, and whether such assistance includes free or discounted care?	9	Yes
10	Used federal poverty guidelines (FPG) to determine eligibility for providing free care?...........	10	Yes
	If "Yes," indicate the FPG family income limit for eligibility for free care: 0000000002.000000000000% If "No," explain in Part VI the criteria the hospital facility used.
11	Used FPG to determine eligibility for providing discounted care?.................	11	Yes
	If “Yes,” indicate the FPG family income limit for eligibility for discounted care: 0000000003.000000000000% If "No," explain in Part VI the criteria the hospital facility used.
12	Explained the basis for calculating amounts charged to patients?.................	12	Yes
	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)
13	Explained the method for applying for financial assistance?...................	13	Yes
14	Included measures to publicize the policy within the community served by the hospital facility?.......	14	Yes
	If “Yes,” indicate how the hospital facility publicized the policy (check all that apply):
a	The policy was posted on the hospital facility’s website
b	The policy was attached to 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 on admission to the hospital facility
f	The policy was available upon request
g	Other (describe in Part VI)
Billing and Collections
15	Did the hospital facility have in place during the tax year a separate billing and collections policy, or a written financial assistance policy (FAP) that explained actions the hospital facility may take upon non-payment?.......	15	Yes
16	Check all of the following actions against an individual that were permitted under the hospital facility's policies during the tax year before making reasonable efforts to determine the patient’s eligibility under the facility’s FAP:
a	Reporting to credit agency
b	Lawsuits
c	Liens on residences
d	Body attachments
e	Other similar actions (describe in Part VI)
17	Did the hospital facility or an authorized third party perform any of the following actions during the tax year before making reasonable efforts to determine the patient’s eligibility under the facility’s FAP?..........	17	Yes
	If “Yes,” check all actions in which the hospital facility or a third party engaged:
a	Reporting to credit agency
b	Lawsuits
c	Liens on residences
d	Body attachments
e	Other similar actions (describe in Part VI)

Schedule H (Form 990) 2012

Page

Part VFacility Information (continued)

Indicate which efforts the hospital facility made before initiating any of the actions listed in line 17 (check all that apply):

Notified individuals of the financial assistance policy on admission

Notified individuals of the financial assistance policy prior to discharge

Notified individuals of the financial assistance policy in communications with the patients regarding the patients’ bills

Documented its determination of whether patients were eligible for financial assistance under the hospital facility’s financial assistance policy

Other (describe in Part VI)

Policy Relating to Emergency Medical Care

Yes

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?..........

Yes

If “No,” indicate why:

The hospital facility did not provide care for any emergency medical conditions

The hospital facility’s policy was not in writing

The hospital facility limited who was eligible to receive care for emergency medical conditions (describe in Part VI)

Other (describe in Part VI)

Charges to Individuals Eligible for Assistance under the FAP (FAP-Eligible Individuals)

Indicate how the hospital facility determined, during the tax year, the maximum amounts that can be charged to FAP-eligible individuals for emergency or other medically necessary care.

The hospital facility used its lowest negotiated commercial insurance rate when calculating the maximum amounts that can be charged

The hospital facility used the average of its three lowest negotiated commercial insurance rates when calculating the maximum amounts that can be charged

The hospital facility used the Medicare rates when calculating the maximum amounts that can be charged

Other (describe in Part VI)

During the tax year, did the hospital facility charge any FAP-eligible individuals 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? ............................

If “Yes,” explain in Part VI.

During the tax year, did the hospital facility charge any FAP-eligible individuals an amount equal to the gross charge for any service provided to that individual? .........................

Yes

If “Yes,” explain in Part VI.

Schedule H (Form 990) 2012

Page

Part VFacility Information (continued)

Section C. Other Health Care Facilities That Are Not Licensed, Registered, or Similarly Recognized as a Hospital Facility (list in order of size, from largest to smallest) How many non-hospital health care facilities did the organization operate during the tax year?8
Name and address		Type of Facility (describe)
1	Virginia Mason Federal Way 33501 First Way S Federal Way,WA98003	Outpatient Clinic
2	Virginia Mason Lynnwood 19116 33rd Ave W Lynnwood,WA98036	Outpatient Clinic
3	Virginia Mason Kirkland 11800 NE 128th St Suite 300 Kirkland,WA98034	Outpatient Clinic
4	Virginia Mason Issaquah 100 NE Gilman Blvd Issaquah,WA98027	Outpatient Clinic
5	Virginia Mason Bellevue 222 112th Ave NE Bellevue,WA98004	Outpatient Clinic
6	Virginia Mason Bainbridge Island 380 Winslow Way E Bainbridge Island,WA98110	Outpatient Clinic
7	Virginia Mason Sand Point Pediatrics 4575 Sand Point Way NE Suite 108 Seattle,WA98105	Outpatient Clinic
8	Bailey Boushay House 2720 East Madison Seattle,WA98112	Skilled Nursing Facility
9
10

Schedule H (Form 990) 2012

Page

Part VI

Supplemental Information

Complete this part to provide the following information.

1	Required descriptions. Provide the descriptions required for Part I, lines 3c, 6a, and 7; Part II; Part III, lines 4, 8, and 9b; Part V, Section A; and Part V, Section B, lines 1j, 3, 4, 5c, 6i, 7, 10, 11, 12h, 14g, 16e, 17e, 18e, 19c, 19d, 20d, 21, and 22.
2	Needs assessment. Describe how the organization assesses the health care needs of the communities it serves, in addition to any 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.
8	Facility reporting group(s). If applicable, for each hospital facility in a facility reporting group provide the descriptions required for Part V, Section B, lines 1j, 3, 4, 5c, 6i, 7, 10, 11, 12h, 14g, 16e, 17e, 18e, 19c, 19d, 20d, 21, and 22.

Identifier	ReturnReference	Explanation
Part I Line 3c		Charity Care discounts that are less than 100 will be taken after any uninsured discounts are applied. Additional full or partial Charity Care may be provided to patients with gross family incomes from 201 to 300 of the federal poverty level when circumstances as determined by the Medical Center indicate that full payment may cause financial hardship so as to significantly harm the patient or patients family. Additional full or partial discounts may be provided to patients who are not otherwise eligible for Charity Care, i.e., with gross family incomes above three hundred percent 300 of the federal poverty guidelines adjusted for family size. Such discounts may be provided to patients with catastrophic costs or conditions when circumstances as determined by the Medical Center indicate that full payment may cause extraordinary financial hardship to the patient or the patients family. The Medical Center shall determine, on a case by case basis, whether a patient qualifies as Medically Indigent pursuant to its policy and shall, through Patient Financial Services, determine the amount of the discount, if any. Determinations shall be made expeditiously after submission of financial information by the patient, but shall not be subject to any appeal rights.
Part I Line 7		The Medical Center used the direct expenses and revenues of the hospital to calculate the cost-to-charges ratio for the amounts included in the table reflected in Part I. The cost-to-charge ratios used was derived using Worksheet 2, Ratio of Patient Care Cost-to-Charge ratio per the instructions.
Part II		The Medical Center supports community building activities by providing operational support to a daycare program which provides daycare for vulnerable populations. The Medical Center supported a Day of Caring at non-profit organizations through United Way. The Medical Center supported a medical recuperation program for homeless people who need health services but no longer need hospital-level care for King County.
Part III Line 4		The Medical Centers financial statement includes the following statement on estimated uncollectibles The Medical Center provides an allowance for potential uncollectible patient accounts receivable whereby such receivables are reduced to their estimated net realizable value. For accounts receivable associated with patients who have insurance coverage, the Medical Center analyzes contractually due amounts based on aging and other relevant factors, if necessary. For accounts receivable associated with self-pay patients, the Medical Center records an allowance for uncollectible accounts in the period of service based on aging, historical collection experience and other relevant factors. There are various factors that can impact the collection trends, such as changes in the economy, which in turn have an impact on unemployment rates and the number of uninsured and underinsured patients, the increased burden of co-payments to be made by patients with insurance, and business practices related to collection efforts. These factors continuously change and can have an impact on collection trends and the estimation process. The difference between the standard or contractual rates and the amounts actually collected after all reasonable collection efforts have been exhausted is charged off against the allowance for uncollectible accounts. The following information summarizes the change in allowance for uncollectible accounts during the year ended December 31, 2011 Allowance for uncollectible accounts at beginning of the year 4,456,000 Write-offs of accounts deemed uncollectible 9,098,000 Provision for bad debt 9,214,000 Allowance for uncollectible accounts at the end of the year 4,572,000. For the year ended December 31, 2012 Allowance for uncollectible accounts at beginning of the year 4,572,000 Write-offs of accounts deemed uncollectible 10,757,000 Provision for bad debt 10,801,000 Allowance for uncollectible accounts at end of year 4,616,000.
Part III Line 8		The Medical Centers calcuation of the Medicare shortfall related to Hospital based inpatient and outpatient services is 19,580,046. The Medical Center employs over 400 physicians who provide professional services to patients which is not covered in this number. In addition, the Medical Center operates satellite clinics and ambulatory surgery centers which are not reported in the Medicare cost report. For all of its patient services, the Medical Center utilizes a comprehensive electronic cost reporting package which uses the directly assigned general ledger costs and allocates all overhead costs to operating costs using a model inspired by the Medicare cost report. This model shows that 42 million of Medicare revenue is not included in the traditional cost report with related costs of 80 million for a shortfall of 38 million primarily due to shortfall of Medicare professional fees versus costs.
Part III Line 9b		Virginia Masons mission is to improve the health and well-being of the patients we serve. To ensure the Medical Center continues to have the resources to fulfill our mission, we must balance the financial needs of our patients with those of the Medical Center. In all instances, we will treat our patients with dignity, compassion and respect. The Medical Center expects payment in full upon receipt of the patients first billing. Patients will receive monthly Medical Center statements upon determination of the patients private responsibility. A Virginia Mason Clinic statement will be sent representing the professional component of services provided. If services were provided or processed at the downtown campus except the Health Resources Building, which is not licensed as part of the hospital, a Hospital statement will also be sent representing the facility/technical component of services. As outstanding balances age, statement messages dunning, collection letters and/or telephone calls may be used at appropriate intervals as determined by the Medical Center. Delinquent accounts may be forwarded to a third party where a series of collection contacts letters and phone calls will be initiated. Delinquent self pay accounts that have not been paid in full or established an approved installment payment plan may be referred to a collection agency. This occurs approximately 130 days from determination of patient responsibility. Patient Financial Services management team has responsibility for determining under what circumstances a balance may be referred for collection agency resolution. The Medical Center recognizes there are occasions when a patient is not financially able to pay their medical bill in full. Those patients who indicate they are experiencing financial hardship will be offered the opportunity to apply for charity care assistance. Collection activity will be suspended pending eligibility determination. If the patients income is greater than 300 of the current years federal poverty guideline FPG, charity is denied and alternative payment arrangement are discussed. If the patients income is less than 300 of the current years FPG, the patient will complete the charity application and send supporting documentation. If charity determination is approved, the charity care discount is applied to the outstanding account balance based on the FPG determination and a confirmatory letter is sent to the patient. If charity is denied, the Medical Center will send a denial letter to the patient. A summary report of collection activities taken will be provided to the Medical Center Board on an annual basis per the Washington State Hospital Association WSHA guidelines.
Part V		Line 20 - Virginia Mason is a participant in the Washington State Hospital Association Voluntary Effort on billing to the Uninsured. These guidelines developed in 2007 created a statewide standard for financial assistance consistent with Washington state law which provides that patients with gross family incomes at or below three hundred percent 300 of the federal poverty guidelines FPG adjusted for family size are eligible for charity care according to a sliding fee schedule. The maximum amount charged to FAP-eligible individuals for emergency or other medically necessary care is based on a sliding fee scale determined by FPG. Charity Care discounts that are less than 100 will be taken after a 25 uninsured discount is applied to the gross charges. Patients who are between 201 and 250 of FPG receive an additional 50 discount for a total reduction in charges of 67.5. Patients who are between 251 and 300 receive an additional 30 discount for a total reduction in charges of 52.5.
Part VI Line 2		Virginia Mason believes in contributing to the communities where patients and staff work and live. We act on this belief by contributing time, energy and money to efforts that benefit the community in the areas of improving health, providing free and subsidized care, and supporting health professionals education and research. Virginia Mason conducts a Community Health Needs Assessment CHNA every three years. In 2009, the Medical Center enhanced its community needs assessment by utilizing data from Public Health - Seattle and King County, United Way of King County, Snohomish County Health District, Kitsap County Health District, Northwest Area Foundation and Washington State Department of Health Local Public Health Indicators, and the United States Department of Health and Human Services Healthy People 2010 leading health indicators. We partnered with The Center for Community Health and Evaluation CCHE in 2012 to begin building our next CHNA, which included gathering secondary data from a variety of local, state, and federal agencies, including Public Health-Seattle and King County, and conducting key informant interviews with individuals representing public health, city government, the healthcare safety net, cultural communities, schools, and health adovacy. Our CHNA drives our community work and serves as a guideline to help us achieve three basic goals 1 Improve the communitys health status and overall quality of life 2 Reduce health disparities within the community and 3 Increase access to preventive services. Our community benefit program focuses our resources on the needs of the community and the strengths of Virginia. Some examples A Subsidized Health Services 1 Bailey-Boushay House BBH is Americas first skilled nursing facility that has planned, funded, built and staffed to meet the needs of people living with AIDS. In 2012, Virginia Mason provided more than 950,000 in community benefit funding to support BBH. 2 Partnership with Public Health - Seattle and King County Health Care for the Homeless Network and other area hospitals to provide The Edward Thomas Respite Care program for homeless adults in King County. 3 Virginia Mason partners with Project Access Northwest PANW to provide specialty medical care for individuals with limited access to health care services. 4 Emergency Department open to all. 5 Tender Loving Care, a subsidized daycare program for mildly ill children. B. Uncompensated Care As a nonprofit organization, Virginia Mason is committed to serving patients who are uninsured, underinsured or otherwise unable to pay for their medical care. C. Research Virginia Mason conducts medical research through its affiliate, Benaroya Research Institute at Virginia Mason BRI. D. Education 1 Virginia Mason is a premier teaching hospital that offers postgraduate education programs through its Graduate Medical Education Department GME. All GME postgraduate training programs are fully approved by the Accreditation Council on Graduate Medical Education ACGME. 2 Virginia Masons GME program partners with Public Health - Seattle and King County Health Services Division, providing 12 residents for the Eastgate Public Health Center. 3 Virginia Mason provides a 0.5 FTE faculty member every fall, winter and spring quarter for undergraduate clinical nursing instruction for the University of Washington School of Nursing. E. Community Partnerships Virginia Mason is a member of the King County Community Health Needs Assessment Collaborative, a partnership that includes all King County hospitals, Public Health-Seattle and King County, and the Washington State Hospital Association. In addition to collaborating on future CHNAs, this partnership is researching and planning collaborative community benefit activities that will have a greater impact on the health of our community.
Part VI Line 2		continued F. Community Health Improvement Services 1 Community health education, such as our bilingual community diabetes prevention program, Nutrition and Fitness for Life program and classes in the Buse Diabetes Teaching Center. 2 Free health screenings and health fair sponsorships in the community. 3 Free flu shots and health screenings for the homeless in conjunction with United Way of King Countys Community Resource Exchange. 4 Sponsorship of many professionally facilitated support groups, including brain tumor, Parkinsons disease, breast cancer, gastric bypass surgery and prostate cancer groups. 5 Bereavement support through our Separation and Loss Services. Because our current and future CHNAs indicate diabetes and obesity to be significant health risks, especially with our most vulnerable populations, Virginia Mason has also developed a comprehensive bilingual diabetes prevention program for the Latino community. This program includes education and outreach at the two largest Latino health fairs each year, interactive presentations six times a month at the Mexican Consulate in Seattle and a one-hour Spanish language radio program on El Ray 1360, with outreach to the entire state.
Part VI Line 3		The Medical Center 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 Medical Centers charity care policy at various points beginning with scheduling and continuing through the patient billing process. At scheduling, if a patient indicates they are without insurance and unable to pay for the services, their account is flagged for a Patient Account Specialist to contact them to discuss assistance. At arrival for an appointment, the Medical Centers admissions lobby areas have signage regarding availability of charity care, a copy of the charity care policy and information regarding who to contact for assistance. During the arrival process, the Medical Centers admissions personnel will confirm ability to pay. If financial need or financial hardship is indicated, the Medical Center Financial Counselors will work with the patient to determine whether Medicaid, state program options, or charity care would be appropriate. The Medical Centers charity policy and financial assistance contact information is also included in patient bills. The Medical Centers Patient Guide to Fees and Billings include information on charity availability and contact information to initiate an assessment. The brochure is available in all patient lobbies for the patient to pick up. The brochure is also sent out by Patient Account Services staff based on a patients expressed concerns either via phone or letter. The Medical Centers website also includes information about charity availability and the contact number to initiate an assessment.
Part VI Line 4		In 2011, Virginia Mason served over 230,000 individuals in its hospital and outpatient clinics. Virginia Masons service area encompasses the communities where it facilities are located and where 75 percent of its patients reside King County, the southwest region of Snohomish County, and Bainbridge Island in Kitsap County. Residents of Virginia Mason patients 2011 data are 1 Seattle 51,282 2 East King County 48,577 3 South King County 38,902 4 Northshore 23,962 5 Bainbridge Island 9,074 6 Service area total 171,797 7 Other Western Washington 39,192 8 Eastern Washington 6,932 9 Other Pacific Northwest 4,719 10 Other 7,668 for a total of 230,308.
Part VI Line 4		continued The service area population in 2010 was 2,188,175. the age and racial/ethnic profile of the total population of the three counties are as follows King County 1 Total population 1,942,600 2 Under 18 years 21 3 Age 18-64 68 4 65 years or older 11 5 White 65 6 Hispanic 9 7 Black 6 8 Asian 14 9 American Indian/Alaska Native 1 10 Native Hawaiian/Pacific Islander 1 11 Two or more races 4. Kitsap County 1 Total population 253,900 2 Under 18 years 23 3 Age 18-64 64 4 65 years or older 13 5 White 79 6 Hispanic 6 7 Black 3 8 Asian 5 9 American Indian/Alaska Native 1 10 Native Hawaiian/Pacific Islander 1 11 Two or more races 5. Snohomish County 1 Total population 717,000 2 Under 18 years 24 3 Age 18-64 65 4 65 years or older 10 5 White 74 6 Hispanic 9 7 Black 2 8 Asian 9 9 American Indian/Alaska Native 1 10 Native Hawaiian/Pacific Islander 0 11 Two or more races 4. Just under a quarter of residents are under age 18, and over 10 percent are 65 or older. The highest proportion of the population that is nonwhite is in King County. According to the Federal Financial Institutions Examination Council, estimated median family income in 2012 in the Seattle-Bellevue-Everett metropolitan area was 88,000. Within King County, median income was lowest for blacks and American Indians/Alaska natives and in urban south King County. In King County, poverty rates are highest in White Center/Boulevard Park, several central and southeast Seattle neighborhoods and Auburn. Enrollment in the free and reduced price meals programs has increased over the past decade and is highest in the Highline, Tukwila and Skykomish school districts. While unemployment has declined from nearly 10 percent in fall 2010 in the Seattle metropolitan area which includes parts of Snohomish County, it is still higher than before the economic downturn - 7.1 percent in May 2012.
Part VI Line 5		Virginia Masons community benefit program is designed to improve our communitys health status and overall quality of life, reduce health disparities within the commounity and increase access to preventive services. To accomplish this, our organization contributes time, energy and money in the areas of improving health, providing free and subsidized care, health professional education and research.
Part VI Line 5		continued Uncompensated Care. As a non-profit organization, Virginia Mason is committed to serving patients who are uninsured, underinsured or otherwise unable to pay for their medical care. Under Virginia Masons charity care policy, free or reduced-cost medically necessary care after all health insurance has been exhausted is provided to individuals making up to 300 percent of the federal poverty level in keeping with the Washington State Hospital Association voluntary guidelines on billing the uninsured. In 2012, Virginia Mason provided charity care to 5,979 patients at a cost of 11,042,665. In addition, Virginia Masons unreimbursed Medicaid was provided at a cost of 20,432,319.
Part VI Line 5		continued Community Health Improvement Services. Improving health and quality of life extends beyond diagnoisis and treatment. It also requires community health education and outreach services. Health improvement and outreach services provided by Virginia Mason include the following 1 community health education, such as classes in the Buse Diabetes Teaching Center 2 free health screenings at community health fairs 3 free flu shots and health screenings for the homeless in conjunction with United Way of King Countys Community Resource Exchange 4 sponsorship of many professionally facilitated support groups, including diabetes prevention and management 5 bereavement support through our Separation and Loss Services and 6 leadership roles in serveral community organizations, which focus on health care.
Part VI Line 5		continued Health Professions Education. Virginia Mason strongly supports medical education to ensure our patients and the community benefit from advances in medical care. Virginia Mason is a premier teaching hospital that offers postgraduate education programs through its Graduate Medical Education Department GME. All GME postgraduate training programs are fully approved by the Accreditation Council on Graduate Medical Education ACGME. Virginia Mason trains more than 120 residents and fellows annually. Virginia Masons GME program is partnered with Public Health - Seattle and King County Health Services Division, providing 12 residents for the Eastgate Public Health Center, as well as providing residents at the Carolyn Downs Family Medical Center, Pike Market Medical Clinic and North Public Health Center. Virginia Masons collaboration with the Eastgate Public Health Center combines the Medical Centers commitment to teaching and community benefit through an innovative public-private program which allows residents to be more involved in the care of the underserved and uninsured. The Eastgate clinic is the largest of three county public health clinics in east King County and offers a variety of primary care services to adults and children. Approximately 50 percent of patients seen at the clinic do not have insurance or the means to pay, and approximately the same percentage do not speak English and require interpretive services. This resident clinic improves overall health in the community and gives back to our community in a meaningful way. Virginia Mason serves as an internship site for students in a variety of other health programs, such as nursing, pharmacy, respiratory therapy and laboratory technology. Also, Virginia Mason provides a 0.5 FTE faculty member every fall, winter and spring quarter for undergraduate clinical nursing instruction for the University of Washington School of Nursing.
Part VI Line 5		continued Subsidized Health Services. Every community needs certain health care services that typically cost more to deliver than the provider of these services receives. These subsidized health services include 1 Bailey-Boushay House BBH, a nursing residence and Adult Day Health center for people living with HIV/AIDS and 2 Tender Loving Care, a day-care program for mildly ill children.
Part VI Line 5		continued Research. Virginia Mason conducts medical research through its affiliate, Benaroya Reserach Institute at Virginia Mason BRI. BRI is a non-profit biomedical research institute that works to unlock the mysteries of the immune sysstem. Its team of world-renowned scientists is focused on identifying causes and cures for devastating diseases including diabetes, arthritis, heart disease and cancer. In 2012, the Medical Center provided 4,976,000 to support research activities at BRI.
Part VI Line 5		continued Environmental Improvements. Virginia Masons environmental stewardship initiative, EnviroMason, provides the framework for making unique energy and waste management decisions, such as setting policies on reliability and use, making efficiency improvements, supporting capital planning and infrastructure design, and encouraging employee participation and innovation. The goal of EnviroMason is to reduce waste, recycle and conserve resources of our community. Virginia Mason became the first hospital in the Pacific Northwest to eliminate garbage cans and Styrofoam use and begin composting food waste. The organization was able to reduce kitchen garbage waste by 75 percent and reduce water use by 72 percent. Virginia Mason composts 15 tons of food and material waste per month, saves about 160,000 gallons of water in the hospitals kichen each year, and recycles about 250 pounds of plastic and tin each day. Cardboard recycling has increased by nearly 300 percent. Also, nearly 100 percent of cafeteria product purchases today are compostable. Our recycling results showed 34 percent of all waste generated at Virginia Mason is recycled, saving nearly 680 tons of waste from the environment. In addition, Virginia Mason has invested more than 3 million in energy conservation endeavors, including efficient lighting, advanced chiller plan installation and upgrades, and extensive water and energy and conservation measures. In 2011, Virginia Mason collaborated with a vendor to install three electric vehicle charging stations in one of our parking lots which helps promote this new technology and gives employees, patients and the general public a location to park and charge vehicles. Virginia Mason has one of the highest medical center surgery volumes in the region and about 30 percent of the organizations waste could be traced to the operating rooms. Even though general perceptions are that operating rooms have unique biohazard and blood contamination challenges, only about 15 percent of surgical waste requires special processing. Virginia Mason was the first hospital in the region to recycle in the Operating Room. Team members sort recyclable products from trash before surgeries even begin. About 80 percent of waste, such as clear plastics, blue surgical wrap, aluminum and other materials generated in Virginia Masons operating room is recycled. This represents about 800 pounds of recycled material each week.
Part VI Line 5		continued Medical Staff. Virginia Mason has 779 members on its active hospital staff, including Virginia Mason physicians, 227 Group Health physicians, 45 Pacific Medical Center physicians, and 42 other community providers.
Part VI Line 5		continued Accountability to the Community. The Medical Center is accountable to the public through its Board, the voting members of which are community members who represent the diverse populations and needs of communities served by the Medical Center. The Medical Center is also accountable to the community through its sole voting member, the Health System whose Board is composed primarily of community members. In futherance of its commitment to responsible governance practices, the Medical Centers Audit and Compliance Committee, composed entirely of community members of the organizations Board , is charged with the overseeing the selection and discharge of the Medical Centers independent financial auditors and oversight of the Medical Centers compliance programs. In addition, the Medical Center has chartered a Governance Committee, responsible for reviewing and evaluating the organizations corporate governance policies and guidelines, and providing oversight of procedures for disclosure and management of conflict of interest. The voting members of the Governance Committee are independent community members of the Medical Centers board. As a further mechanism for community involvement and leadership, Virginia Mason has established a Board of Governors, an advisory body of community representatives. The Board of Governors regularly participates in extensive tours of various areas of the Medical Center facilities and becomes involved in forums for in-depth discussion of issues of importance to these organizations and the communities they serve. Bailey-Boushay House, a division of the Medical Center which provides day health and skilled nursing facility services to individuals living with HIV/AIDS, also has an advisory board comprised primarily of representatives of the community who provide input and guidance on serving the community.
Part VI Line 5		continued Use of Financial Surpluses. All financial surpluses from the operation of the Medical Center are used exclusively to further its charitable purposes. No individual receives any portion of the organizations respective surplus as a result of ownership or any other insider relationship. The Compensation and Benefits Committee of the Medical Center Board, which directes the performance review and approves the compensation and benefits of the Medical Center s senior leadership, is composed entirely of community members of the Board who have no financial ties to the Medical Center, either directly or through family or business relationships.

Schedule H (Form 990) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- TIN:

Schedule I
(Form 990)

Department of the Treasury
Internal Revenue Service

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

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

Attach to Form 990

OMB No. 1545-0047

2012

Open to Public
Inspection

Name of the organization
Virginia Mason Medical Center

Employer identification number
91-0565539

Part I

General Information on Grants and Assistance

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

Yes No

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

Part II

Grants and Other Assistance to Governments and Organizations in the United States. Complete if the organization answered "Yes" to
Form 990, Part IV, line 21, for any recipient that received more than $5,000. Part II can be duplicated if additional space is needed.

(a) Name and address of organization or government	(b) EIN	(c) IRC Code section if applicable	(d) Amount of cash grant	(h) Purpose of grant or assistance
(1) Benaroya Research Institute at Virginia Mason 1201 Ninth Avenue Seattle,WA98101	91-0653422	501c3	4,975,449	Operating Support
(2) Virginia Mason Health System 1100 Ninth Avenue Seattle,WA98101	91-1351110	501c3	3,545,633	Operating Support
(3) Pacific Science Center 200 2nd Ave N Seattle,WA98109	91-7540867	501c3	75,000	General Support
(4) Seafair 2200 Sixth Ave Ste 400 Seattle,WA98121	91-0557448	501c4	75,000	General Support
(5) JDRF Seattle Guild 1200 Sixth Avenue Suite 605 Seattle,WA98101	23-1907729	501c3	61,000	General Support
(6) Project Access Northwest 1111 Harvard Ave Seattle,WA98122	20-4377921	501c3	50,000	General Support
(7) United Way of King County 720 Second Ave Seattle,WA98104	91-0565555	501c3	42,750	General Support
(8) Evergreen State Amateur Athletic Council 701 Pike St Ste 800 Seattle,WA98101	87-0715737	501c3	35,000	General Support
(9) Group Health Foundation PO Box 34015 Seattle,WA98124	91-1246278	501c3	30,000	General Support
(10) American Cancer Society 1313 Broadway Ste 100 Tacoma,WA98402	84-1316555	501c3	25,000	General Support
(11) Country Doctor Community Health Centers 2101 E Yesler Way Ste 210 Seattle,WA98122	23-7100868	501c3	20,000	General Support
(12) Harrison Foundation 2520 Cherry Ave Bremerton,WA98310	91-1197626	501c3	20,000	General Support
(13) American Heart Association 710 Second Ave Ste 900 Seattle,WA98104	13-5613797	501c3	18,500	General Support
(14) City Club 1333 Fifth Ave Ste 24 Seattle,WA98101	91-1148262	501c3	15,000	General Support
(15) Northwest Kidney Center PO Box 3035 Seattle,WA98114	91-6057438	501c3	15,000	General Support
(16) YWCA of Seattle-King County-Snohomish County 1118 Fifth Ave Seattle,WA98101	91-0482890	501c3	15,000	General Support
(17) American Red Cross 1900 25th Ave S Seattle,WA98144	53-0196605	501c3	12,500	General Support
(18) Hearing Speech & Deafness Center 3130 E Madison Ste 205 Seattle,WA98122	91-0681207	501c3	6,250	General Support
(19) Bellevue College 3000 Landerholm Circle SE Bellevue,WA98007	91-1051671	501c3	10,000	General Support
(20) Enterprise Seattle 1301 Fifth Ave Suite 2500 Seattle,WA98101	91-1267597	501c4	10,000	General Support
(21) Foundation for Health Care Quality 705 Second Ave Suite 703 Seattle,WA98104	91-1419327	501c3	10,000	General Support
(22) Zero 515 King St Ste 420 Alexandria,VA22314	59-3400922	501c3	9,000	General Support
(23) American Diabetes Association 1730 Minor Ave Seattle,WA98101	13-1623888	501c3	8,000	General Support
(24) Neighborcare Health 1537 Western Ave Seattle,WA98101	91-0893287	501c3	8,000	General Support
(25) The First Tee of Greater Seattle 2340 Broadmoor Dr E Seattle,WA98112	91-2116912	501c3	7,950	General Support
(26) College Success Foundation 1605 NW Sammamish Rd Ste 200 Issaquah,WA98027	91-2036088	501c3	7,500	General Support
(27) Robert Vasen Foundation 2807 102nd Ave SE Bellevue,WA98004	20-8656415	501c3	7,500	General Support
(28) National Multiple Sclerosis Society 192 Nickerson St Ste 100 Seattle,WA98109	91-0742424	501c3	6,750	General Support
(29) Crohn's & Colitis 9 Lake Bellevue Dr Ste 203 Seattle,WA98005	13-6193105	501c3	5,500	General Support
(30) Bellevue Community College 3000 Landerholm Circle SE Bellevue,WA98007	91-1051671	501c3	5,000	General Support
(31) Chamber Community Foundation 13015 5th Ave Suite 2500 Seattle,WA98101	91-1648680	501c3	5,000	General Support
(32) Encompass 1407 Boalch Ave NW North Bend,WA98045	91-0825232	501c3	5,000	General Support
(33) Girls on the Run Puget Sound 8757 15th Ave NW Seattle,WA98117	84-1618574	501c3	5,000	General Support
(34) King County Sexual Assault Resource Center 200 Mill Ave S Suite 10 Renton,WA98057	91-0967255	501c3	5,000	General Support
(35) Special Olympics Washington 1809 7th Ave Ste 1509 Seattle,WA98101	91-0962383	501c3	5,000	General Support

Enter total number of section 501(c)(3) and government organizations listed in the line 1 table ................ Bullet Image

Enter total number of other organizations listed in the line 1 table ........................ . Bullet Image

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

Cat. No. 50055P

Schedule I (Form 990) 2012

Page 2

Part III

Grants and Other Assistance to Individuals in the United States. Complete if the organization answered "Yes" to Form 990, Part IV, line 22.
Part III can be duplicated if additional space is needed.

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

Part IV

Supplemental Information.

Complete this part to provide the information required in Part I, line 2, Part III, column (b), and any other additional information.

Identifier	Return Reference	Explanation
I	2	The funds provided to the Virginia Mason Health System and Benaroya Research Institute at Virginia Mason are for operational support or specific activities. Assistance provided to other non-profit organizations consisted of donations made to support specific events sponsored by the recipient organizations.

Schedule I (Form 990) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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

2012

Open to Public Inspection

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

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 or provision of all of the expenses described above? If "No," complete Part III to explain....

Yes

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

Yes

Indicate which, if any, of the following the filing organization used to establish the compensation of the
organization's CEO/Executive Director. Check all that apply. Do not check any boxes for methods
used by a related organization to establish compensation of the CEO/Executive Director, but explain in Part III.

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

Cat. No. 50053T

Schedule J (Form 990) 2012

Page 2

Part II

Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees. Use duplicate copies if additional space is needed.

For each individual whose compensation must be reported 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) for each listed individual must equal the total amount of Form 990, Part VII, Section A, line 1a, applicable column (D) and (E) amounts for that individual.

(A) Name and Title		(B) Breakdown of W-2 and/or 1099-MISC compensation			(C) Retirement and other deferred compensation	(D) Nontaxable benefits	(E) Total of columns (B)(i)-(D)	(F) Compensation reported as deferred in prior Form 990
(A) Name and Title		(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)	(F) Compensation reported as deferred in prior Form 990
(1)Gary Kaplan MDChairman, CEO	(i) (ii)	1,039,978	449,871	17,788	2,199,932	30,334	3,737,903
(2)Suzanne AndersonExecutive Vice President, CIO/CFO	(i) (ii)	469,126	174,912	25,284	57,410	17,402	744,134
(3)Katerie ChapmanVice President	(i) (ii)	240,806	68,356	4,240	15,324	20,338	349,064
(4)Lucy Glenn MDChief of Radiology	(i) (ii)	519,988	159,005	17,874	65,910	16,080	778,857
(5)Michael Glenn MDPhysician in Chief, Medical Director, Clinic	(i) (ii)	601,250	177,360	17,374	88,411	12,998	897,393
(6)Fred Govier MDChief of Surgery	(i) (ii)	585,322	173,954	17,874	37,506	25,724	840,380
(7)Andrew Jacobs MDChief Medical Officer	(i) (ii)	454,874	140,180	17,874	112,827	36,238	761,993
(8)Joyce Lammert MDChief of Medicine	(i) (ii)	422,478	123,436	18,288	34,638	13,854	612,694
(9)Brian McDonald MDPhysician, Former Key Employee	(i) (ii)	268,273	17	1,188	15,324	21,085	305,887
(10)Sarah PattersonExecutive Vice President, COO	(i) (ii)	481,104	178,543	252,850	131,458	26,257	1,070,212	120,249
(11)William PoppySenior Vice President, CTO	(i) (ii)	357,020	107,762	40,006	25,887	32,755	563,430
(12)Steve Rupp MDChief of Perioperative Services and Anesthesiology	(i) (ii)	471,900	142,259	774	34,729	21,418	671,080
(13)Donna Smith MDMedical Director, Hospital	(i) (ii)	385,266	116,731	16,014	64,847	25,095	607,953
(14)Charleen Tachibana RNSenior Vice President, Hospital Administrator	(i) (ii)	365,491	108,608	19,879	52,082	20,741	566,801
(15)Christopher L Fellows MDPhysician	(i) (ii)	1,152,166	17	774	40,035	23,403	1,216,395
(16)Ulrike I Ochs MDPhysician	(i) (ii)	987,809	138	270	79,410	23,660	1,091,287
(17)Richard A Kozarek MDPhysician	(i) (ii)	949,728		1,188	114,527	22,931	1,088,374
(18)Keith Paige MDPhysician	(i) (ii)	898,090		270	30,850	31,058	960,268
(19)Shayan Irani M DPhysician	(i) (ii)	815,666	42	162	10,284	22,183	848,337
(20)James P CoteSenior Vice President, Clinic Administrator	(i) (ii)	293,556	108,200	17,995	10,284	15,678	445,713
(21)Robert Mecklenburg MDPhysician, Former Board Director	(i) (ii)	387,575		35,286	29,536	17,088	469,485
(22)Michael P OndracekVice President	(i) (ii)	215,129	63,853	700	10,284	29,163	319,129
(23)Craig GoodrichSenior Vice President, Former Key Employee	(i) (ii)	291,840	91,347	19,680	20,343	20,975	444,185
(24)Catherine PottsChief, Primary Care	(i) (ii)	285,204	85,431	18,288	48,843	14,774	452,540

Schedule J (Form 990) 2012

Page 3

Part III

Supplemental Information

Complete this part to provide the information, explanation, or descriptions required for Part I, lines 1a, 1b, 3, 4a, 4b, 4c, 5a, 5b, 6a, 6b, 7, and 8, and for Part II.
Also complete this part for any additional information.

Identifier	Return Reference	Explanation
I	1a	In recognition of her qualifications and prior experience with Virginia Mason Medical Center, the Medical Center entered into an employment agreement with its CIO/CFO. Pursuant to the terms of the agreement she received a cash payment designed to equal the retirement contributions made to employees with similiar experience. To render it tax neutral to the employee, the payment was increased for the anticipated federal income tax liability. The payment will end April 2013.
I	1a	Social club dues are provided to two members of the senior leadership team who use the club memberships for business purposes. These payments are treated as non-taxable.
I	1b	The payment to the CIO/CFO referred to above was negotiated as part of an employment agreement which was reviewed and approved by the Medical Centers Board of Directors Compensation and Benefits Committee, a committee composed of independent board members to whom the Board has delegated authority to approve compensation and benefits for executive leaders of the Medical Center.
I	1b	All invoices for payment of social club dues and associated monthly expenses are paid pursuant to the Medical Center Business Expense Policy and Social Club Dues Policy.
I	4b	The Medical Center has a Supplemental Executive Retirement Plan SERP. The SERP is a 457f nonqualified deferred compensation plan pursuant to which plan benefits are subject to a substantial risk of forfeiture. The plan was approved by the Boards Compensation and Benefits Committee, a committee composed of independent board members to whom the Board delegates the authority to approve compensation and benefits for the Medical Centers most senior executives. The Committee receives advice from an independent compensation consultant to ensure that compensation and benefits, including the SERP, are market competitive and reasonable. Supplemental Executive Retirement Plans such as this are customary for senior executives in the health care industry.

Schedule J (Form 990) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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 Part VI.
SchKMediumBullet

Attach to Form 990. SchKMediumBullet

See separate instructions.

OMB No. 1545-0047

2012

Open to Public
Inspection

Name of the organization
Virginia Mason Medical Center

Employer identification number
91-0565539

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	Washington Health Care Facilities Authority	91-1108929	93978EH54	12-03-2007	316,302,277	Refund/Redeem, acquire, construct, remodel facility purchase equipment		X		X		X

Part II

Proceeds

	A		B		C		D
	1 Amount of bonds retired . . . . . . . . . . . . . .
2 Amount of bonds legally defeased . . . . . . . . . . .
3 Total proceeds of issue . . . . . . . . . . . . . .	316,302,277
4 Gross proceeds in reserve funds . . . . . . . . . . . .	25,471,181
5 Capitalized interest from proceeds . . . . . . . . . . .	22,315,769
6 Proceeds in refunding escrows . . . . . . . . . . . .	86,774,645
7 Issuance costs from proceeds . . . . . . . . . . . .	6,230,082
8 Credit enhancement from proceeds . . . . . . . . . . .
9 Working capital expenditures from proceeds . . . . . . . . .
10 Capital expenditures from proceeds . . . . . . . . . . .	175,510,600
11 Other spent proceeds . . . . . . . . . . . . . .
12 Other unspent proceeds . . . . . . . . . . . . . .
13 Year of substantial completion . . . . . . . . . . . .	2011
	Yes	No	Yes	No	Yes	No	Yes	No
14 Were the bonds issued as part of a current refunding issue? . . . . .	X
15 Were the bonds issued as part of an advance refunding issue? . . . . .	X
16 Has the final allocation of proceeds been made? . . . . . . . .		X
17 Does the organization maintain adequate books and records to support the final allocation of proceeds? . . . . . . . . . . . . . .	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
2 Are there any lease arrangements that may result in private business use of bond-financed property? . . . . . . . . .		X

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

Cat. No. 50193E

Schedule K (Form 990) 2012

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 of bond-financed property? . . . . . . . . . . . .		X
b If "Yes" to line 3a, does the organization routinely engage bond counsel or other outside counsel to review any management or service contracts relating to the financed property? . . . . . . . . . . . . . . . .
c Are there any research agreements that may result in private business use of bond-financed property? . . . . . . . . . . . . . . .		X
d If "Yes" to line 3c, does the organization routinely engage bond counsel or other outside counsel to review any research agreements relating to the financed property? .
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 . .	%		%		%		%
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 . . . . . . .	%		%		%		%
6 Total of lines 4 and 5 . . . . . . . . . . . . . . .	%		%		%		%
7 Does the bond issue meet the private security or payment test? . . . . .
8a Has there been a sale or disposition of any of the bond financed property to a nongovernmental person other than a 501(c)(3) organization since the bonds were issued?. . . . . . . . . . . . . . . . .
b If “Yes” to line 8a, enter the percentage of bond-financed property sold or disposed of.	%		%		%		%
c If “Yes” to line 8a, was any remedial action taken pursuant to Regulations sections 1.141-12 and 1.145-2? . . . . . . . . . . . . .
9 Has the organization established written procedures to ensure that all nonqualified bonds of the issue are remediated in accordance with the requirements under Regulations sections 1.141-12 and 1.145-2?	X

Part IV

Arbitrage

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
1 Has the issuer filed Form 8038-T? . . . . .		X
2 If "No" to line 1, did the following apply? . . . .
a Rebate not due yet? . . . . . . . .		X
b Exception to rebate? . . . . . . . .		X
c No rebate due? . . . . . . . . . .	X
If you checked "No rebate due" in line 2c, provide in Part VI the date the rebate computation was performed
3 Is the bond issue a variable rate issue? . . . .		X
4a Has the organization or the governmental issuer entered into a qualified hedge with respect to the bond issue?		X
b Name of provider . . . . . . . . .
c Term of hedge . . . . . . . . . .
d Was the hedge superintegrated? . . . . . .
e Was a hedge terminated? . . . . . . .

Schedule K (Form 990) 2012

Page 3

Part IV

Arbitrage (Continued)

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
5a Were gross proceeds invested in a guaranteed investment contract (GIC)? . . . . . . . . .	X
b Name of provider . . . . . . . . .	Trinity Plus Funding Company LLC
c Term of GIC . . . . . . . . . .	0000000017.000000000000
d Was the regulatory safe harbor for establishing the fair market value of the GIC satisfied? . . . . .	X
6 Were any gross proceeds invested beyond an available temporary period? . . . . . . . .		X
7 Has the organization established written procedures to monitor the requirements of section 148? . . .	X

Part V

Procedures To Undertake Corrective Action

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
1 Has the organization established written procedures to ensure that violations of federal tax requirements are timely identified and corrected through the voluntary closing agreement program if self-remediation is not available under applicable regulations?	X

Part VI

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

Identifier	Return Reference	Explanation
I	A, Column C	93978EG30, 93978EH39, 93978EH47, 93978EH70, 93978EH62, 93978EG48, 93978EG55, 993978EG63
I	A, Column F	The proceeds of the reoffered 1997B Bonds together with the proceeds of the Series 2007 Bonds will be used for the purpose of providing part of the funds necessary to 1 refund, on an advanced and current basis, and to redeem the Authoritys Revenue Bonds, Series 1997A, 2 reissue, refund, on a current basis, and replace the Series 1997B Bonds as a variable rate obligation, 3 reimburse the Medical Center for, or pay, the costs of acquiring, constructing, remodeling, renovating and equipping certain health care facilities, 4 pay interest on the Series 2007 Bonds during construction, 5 fund the initial deposits into respective debt service reserves for the Series 2007 Bonds, 6 pay the cost of credit enhancement, if any, and 7 pay issuance costs.
I	A, Column F	The 1997A bonds were originally issued August 1, 1997. These bonds were issued to 1 refund on a current basis all of the Authoritys outstanding Revenue bonds, Series 1987, issued in an original aggregate principle amount of 100,395,000 2 fund the initial deposit to the Reserve account for the Bonds 3 pay the premium for the Insurance Policy and 4 pay certain of other costs of issuing the Bonds. The 1997B bonds were originally issued August 1, 1997. The original bond proceeds were used to 1 finance or reimburse the Medical Center for the costs of constructing, remodeling and/or acquiring Health Care Facilities 2 fund the inital deposit to the Reserve Accounts for the Bonds 3 pay the premium for the Insurance Policy and 4 pay certain of the other costs of issuing the Bonds.
IV	2	The rebate computation was dated December 21, 2012.

Schedule K (Form 990) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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, line 38a or 40b.
MediumBullet

Attach to Form 990 or Form 990-EZ. MediumBullet

See separate instructions.

OMB No. 1545-0047

2012

Open to Public Inspection

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

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

Enter the amount of tax incurred by 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-EZ, Part V, line 38a, or Form 990, Part IV, line 26; or if the organization reported an amount on Form 990, Part X, line 5, 6, or 22

(a) Name of interested person	(b) Relationship with organization	(c) Purpose of loan	(d) Loan to or from the organization?		(e)Original principal amount	(f)Balance due	(g) In default?		(h) Approved by board or committee?		(i)Written agreement?
(a) Name of interested person	(b) Relationship with organization	(c) Purpose of loan	To	From	(e)Original principal amount	(f)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 assistance	(d) Type of assistance	(e) Purpose of assistance

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

Cat. No. 50056A

Schedule L (Form 990 or 990-EZ) 2012

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) Joan Lange	Sister of Robert Lemon	81,296	Employee		No
(2) The Seattle Times	Tod Hamachek	102,846	Goods and Services purchased		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
IV	2	Tod Hamachek, a director of the Medical Center, is also a compensated director of The Seattle Times. The Medical Center purchased advertising and subscriptions from The Seattle Times.

Schedule L (Form 990 or 990-EZ) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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

2012

Open to Public
Inspection

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

Identifier	Return Reference	Explanation
		Form 990 Part III Line 1 The Medical Center also operates Bailey-Boushay House, a skilled nursing facility and day health center serving the HIV/AIDS community. The Medical Center patient care services are integrated with and enhanced by education and research activities which include a graduate medical education program providing training to over 120 residents, fellows and medical students each year. In addition, the Medical Center sponsors training programs for pharmacy and a variety of other health services such as nursing, respiratory therapy, physical therapy, speech and language therapy and laboratory technology.
		Form 990 Part III Line 4a The Medical Center is committed to subsidizing certain health services due to the demonstrated need for these services in the community. Since 1992, the Medical Center has addressed the treatment of HIV/AIDS by operating Bailey-Boushay House Bailey-Boushay, a 35-bed skilled nursing facility. The first facility in the nation built specifically for the care of people living with AIDS, Bailey-Boushay now also serves other individuals who need intensive nursing care, many of whom are Medicaid recipients. In addition to the care provided to its residential population, Bailey-Boushay provides day health services to 258 clients annually, allowing them to live independently with HIV/AIDS. The Medical Center also offers emergency services 24 hours a day, 7 days a week. The department is staffed by board-certified emergency physicians, physician assistants and certified emergency nurses.
		Form 990 Part III Line 4a continued The Medical Center is committed to providing necessary medical services regardless of a patients ability to pay and without discrimination as to race, color, creed, national origin, religion, sex, sexual orientatioin, disability, age, source of income, or any other class protected by federal or Washington state law, or who have an emergency medical condition. The Medical Center is a participating hospital in the Washington State Medicaid Contracting Program. Charity Care is provided according to a sliding fee scale for patients with gross family incomes at or below 300 of the Federal poverty guidelines adjusted for family size as follows 1 Below the Federal Poverty Level Medicaid and/or 100 discount 2 100 - 200 of Poverty Level 100 Discount 3 201 - 250 of Poverty Level 50 Discount 4 251 - 300 of Poverty Level 30 Discount. Full or partial charity care may be provided to patients with gross family incomes from 201 to 300 of the federal poverty level when circumstances indicate that full payment may cause financial hardship so as to significantly harm the patient or patients family. Patients without health insurance are eligible for a twenty-five percent 25 discount on medically necessary services under the Medical Centers Discounts for Uninsured Patients Policy. Charity care was provided at a cost of 11,042,665 during the year, along with 20,432,319 of Medicaid contractual allowances. Charity care does not include bad debts which is the amount the Medical Center is not paid by patients deemed able to pay their bills.
		Form 990 Part III Line 4b The Medical Centers graduate medical education program maintains education affiliation agreements with community clinics under which the Medical Centers residents provide care to patients at clinics serving low-income and uninsured patients. The Medical Center has an affiliation with Eastgate Public Health Clinic operated by Seattle King County Public Health to provide a resident clinic 4-days a week under the supervision of Medical Center physicians. This affiliation has expanded access to health care for King County residents and enhanced the educational opportunities of internal medicine residents.
		Form 990 Part III Line 4b continued The Clinical Nursing Education CNE program offered 32 CNE events in 2012 to 1,398 attendees. Particpants include nurses the primary audience - RNs and LPNs and advanced practice registered nurses CNS, CNL, ARNP, as well as patient care technicians, nursing students, nurse technicians, customer service representatives, surgery schedulers, patient flow coordinators, respiratory terapists, social workers, educators, dietitians, specialized technicians e.g. GI Techs, Donation Techns, Radiaton-Oncology Techs, medical assistants, medical technologists, administrative assistants, chaplains, bereavement coordinators and physicians.
		Form 990 Part III Line 4b continued The Medical Center also serves as an internship site for students in a variety of allied health programs such as nursing, pharmacy, respiratory therapy, physical therapy, occupational therapy, social work, sleep disorders, speech and language therapy, radiology and laboratory technology. Successful relationships have been built with vocational training programs for medical assistants as well.
		Form 990 Part III Line 4b continued The Medical Center provides strong support for continuing medical education CME. The Medical Centers CME program is accredited by the Accreditation Council for Continuing Medical Education ACCME. The program was last reaccredited in 2010, receiving Accrediation with Commendation a designation achieved by the top 25 percent of CME programs in the country. In 2012, the CME department sponsored 37 courses either full-, half-, or multi-day totalling 220.25 hours of instruction. These activities were attended by 1,206 participants, including 700 physicians.
		Form 990 Part III Line 4b continued During 2012, 41 one-hour Grand Rounds presentations were presented at the Medical Center, with the on-site audience averaging 145 attendees. The Grand Rounds series is also broadcast via videoconference to the organizations satellite locations and to 12 off-site health care systems throughout Alaska and Washington State. In 2012, 3,680 AMA PRA Category 1 Credits TM were awarded to participants of this series. The CME department supports 9 additional Regularly Scheduled Series in Cancer Care, Cardiac Catherization, Neuroscience Imaging, Competencies and Incidents, Vascular Surgery, GI Radiology, GI Pathology, Nephrology, and Pharmacy and Therapeutics.
		Form 990 Part III Line 4b continued Approximately 13 of our investigators have faculty appointments at the University of Washington, including 5 at the professorship level. The Medical Center also maintains a medical library to support its education and research activities.
		Form 990 Part III Line 4c The Medical Center provided support of Separation and Loss which provides services for adults and children ages 7-18 whose loved one has died as the result of a sudden, violent death by criminal act homicide, including terrorism, suicide or other types of violent death. Services available include therapy groups, short-term therapy, psychiatric consultation and medication management, community, workplace, family and school crisis response and professional training. In 2012, the Medical Center provided 59,000 toward support of Separation and Loss.
		Form 990 Part III Line 4c continued The Medical Center also supports Tender Loving Care TLC which is a day-care program for mildly ill children in King County. The program offers a cost-effective alternative for working parents with children who are mildly ill. TLC is open to the general public for a set fee and to employees of companies that contract for the service as part of their employee benefit package. The staff at TLC includes a full-time registered nurse and a team of teachers experienced in early childhood education and child development, as well as infection control and caring for mildly ill children. The Medical Center provided 77,000 toward the operating costs of TLC in 2012.
		Form 990 Part III Line 4d The Medical Center provides funds and in-kind services to community organizations which are consistent with the Medical Centers charitable purpose. A list of community donations is included on Schedule I. The following is a description of selected recipients and is not all-inclusive. 1 The Medical Center supported Go Red for Women Heart Awareness and the Annual HeartWalk which benefited the American Heart Association AHA in 2012. AHAs mission is to reduce coronary heart disease, stroke and risk by 25. 2 SEAFAIR and the Medical Center partnered to sponsor the BRI Triathon, benefitting Autoimmune Research. 3 The Medical Center was a sponsor of the JDRF Gala to benefit the Juvenile Diabetes Research Foundation JDRF. The JDRFs mission is to find a cure for diabetes and its complications through the support of research. 4 The Medical Center was a sponsor of Pancreatic Cancer Survivor Gala to benefit Pancreatic Cancer Action Network. Pancreatic Cancer Action Network is a nationwide network of people dedicated to working together to advance research, support patients and create hope for those affected by pancreatic cancer. 5 The mission of United Way is to improve peoples lives by mobilizing the caring power of communities. The Medical Center provides support to the United Ways fundraising effort of 191,000 in 2012.
		Form 990 Part IV Section A Line 1a The governing body delegates to an Officers Committee comprised of the Chairman, Vice Chairman, Secretary and Treasurer the authority of the Board of Directors in the management of the corporation as may be deemed by such Officers Committee to be appropriate, to be exercised in time periods between regularly scheduled meetings of the Board of Directors. All members of the Officers Committee are members of the governing body of the corporation. The Officers Committee does not have the authority to amend, alter or repeal the Bylaws elect, appoint or remove any member of the Officers Committee or any director or officer of the corporation amend the articles of incorporation adopt a plan of merger or adopt a plan of consolidation with another corporation authorize the sale, lease or exchange of all or substantially all the property and assets of the corporation not in the ordinary course of business authorize the voluntary dissolution of the corporation or revoke proceedings therefore adopt a plan for the distribution of the assets of the corporation or amend, alter or repeal any resolution of the Board which by its terms provides that it shall not be amended, altered or repealed by the Officers Committee. The Officers Committee also periodically evaluates the effectiveness of VMMCs systems for resolving internal conflicts. The Board also delegates to the Officers Committee the authority of the Board to make all appointments and reappointments to the Medical Staff of the hospital.
		Form 990 Part VI Section A Line 2 Family relationship between key employees Michael Glenn, MD and Lucy Glenn, MD.
		Form 990 Part VI Section A Line 4 The organization amended its Bylaws to delete a requirement that the Finance Committee Chair serve as an ex officio member of the Audit and Compliance Committee. No change was made to the requirement that all Audit and Compliance Committee member be independent nor to the minimium number of members three.
		Form 990 Part VI Section A Line 6, 7 Virginia Mason Health System VMHS is the sole corporate member of Virginia Mason Medical Center. VMHS as the sole voting member has the following approval rights 1 Election and approval of Directors and Officers of the Board of Directors 2 Approval of the appointment of the Chief Executive Officer 3 Removal of Directors and Officers of the Board of Directors 4 Approval of all long-range plans proposed by the Board of Directors 5 Approval of the annual capital and operating budgets proposed by the Board of Directors 6 Approval of the borrowing of funds where the amount is in excess of Ten Million Dollars 7 Approval of the sale, lease, exchange, mortgage, pledge or disposal of all or substantially all of the property and assets 8 Approval of all amendments to the Articles of Incorporation or Bylaws. All other rights and powers as specified in the Washington Nonprofit Corporation Act.
		Form 990 Part VI Section B Line 11b The Audit and Compliance Committee ACC, a committee composed of independent community members of the Medical Center Board of Directors is responsible for oversight of the annual VMMC Form 990 and 990-T preparation process including 1 selection, engagement, and performance of an independent tax preparer 2 review of the annual draft Form 990 and 990-T tax returns, and 3 recommending the final Form 990 and 990-T tax returns for review to the VMMC Board of Directors. At the ACC September meeting, management provided the ACC with an initial draft of the Form 990 and the tax return reviewer presented an overview of the Form 990 preparation process. Following the September meeting, the ACC Chair updates the VMMC Board on the Form 990 preparation. In October, a revised draft of the Form 990 is provided to the ACC Chair for further review and comment. The final draft Form 990 is reviewed and approved by the ACC in November, and provided to the VMMC Board for review of the final Form 990 prior to filing. The final Form 990 and 990-T tax returns are provided to each member of the VMMC Board of Directors via electronic delivery by posting on a secure website which allows online viewing of Board documents.
		Form 990 Part VI Section B Line 12c The Governance Committee of the Board has accountability for oversight of the process for disclosure, evaluation and management of conflicts of interest involving any member of the Board, executive leadership or key employees Covered Person. Pursuant to the Conflicts of Interest Policy, an annual conflict of interest questionnaire is distributed to all Covered Persons. In addition, a Covered Person has an on-going duty to disclose the existence of a conflict of interest at any time an actual or potential conflict arises. Each Covered Person is required upon appointment and annually thereafter to attest to a statement that affirms that such person has 1 received a copy of the Conflicts of Interest Policy 2 has read and understands the Policy 3 has agreed to comply with the Policy and 4 understands that Virginia Mason is a charitable organization and that in order to maintain its federal tax exemption must engage primarily in activities that accomplish its tax-exempt purposes. Written disclosures are reviewed by the Governance Committee to determine if an actual or potential conflict of interest exists and if so, how it should be managed. The Covered Person is informed in writing regarding the determination the Conflict of Interest Management Plan. No Covered Person with an actual or potential conflict of interest shall engage in an activity on Virginia Masons behalf related to the disclosed actual or potential Conflict of Interest unless such activity is permitted by the Conflict of Interest Management Plan or until the Covered Person has undertaken all steps set forth in the Management Plan to manage, reduce or eliminate the conflict. All Covered Persons have a duty to disclose the existence of any actual or potential conflict of interest with respect to meeting agenda items. The Conflicts of Interest Policy requires that copies of the Conflict of Interest Questionnaires completed annually by each Covered Person and any Conflict of Interest Management Plan be maintained. In addition, the minutes of the board and all committees with board-delegated powers shall document the disclosure and resolution of any actual or potential conflict of interest disclosed at such meeting.
		Form 990 Part VI Section B Line 15 The Compensation and Benefits Board Committee, a committee composed solely of independent directors none of whom have a conflict of interest, is accountable for setting reasonable total compensation packages for each executive, including the CEO, officers and key employees Executives consistent with Virginia Masons philosophy and principles. The Board develops and approves annual goals and performance criteria which are used in determining merit increases and variable compensation opportunities for the Virginia Mason Executives. The Committee assesses performance against these goals. The Committee selects and engages a qualified independent compensation consultant to review and analyze the total compensation and benefits packages to the Executives. The Committee as part of its analysis obtains from the compensation consultant appropriate comparability data including total compensation paid by similarly situated for-profit and non-profit health care organizations for positions that are functionally comparable to each of the Executives. With respect to those Executives below the level of Chair/Chief Executive Officer, the Committee requests that the Chair/Chief Executive Officer work with the compensation consultant to formulate a compensation recommendation for each such Executive, consistent with Virginia Masons compensation philosophy and principles. Consistent with Virginia Masons compensation philosophy and principles, the Committee approves total compensation packages for each of the Executives based on information presented to the Committee, reasonableness and the best interests of Virginia Mason. The Committees decisions regarding compensation for each Executive are documented in written resolutions and minutes of the Committee. The Committee promptly reports its action to the Board which reports are reflected in the Boards minutes. The Executives that were reviewed in 2012 were Chief Executive Officer, Chief Operating Officer and Executive Vice President, Chief Information Officer/Chief Financial Officer and Executive Vice President, Senior Vice Presidents, Vice Presidents, Physician Chiefs, Clinic Medical Director, and Hospital Medical Director.
		Form 990 Part VI Section C Line 19 The organizations Articles, Bylaws and Conflicts of Interest Policy are made available on its public web site. Financial statements are made available upon request.
		Form 990 Part XI Line 9 Donated Capital 1,075, Additional Pension Adjustment 1,526,596, Capital Transfers - Restricted 3,313,902

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

Cat. No. 51056K

Schedule O (Form 990 or 990-EZ) 2012

Additional Data

Software ID:	12000057
Software Version:	12.19.1011.1

- 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

2012

Open to Public Inspection

Name of the organization

Virginia Mason Medical Center

Employer identification number

91-0565539

Part I

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

(a) Name, address, and EIN (if applicable) of disregarded entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Total income	(e) End-of-year assets	(f) Direct controlling entity
(1) 1000 Madison LLC 1100 Ninth Avenue Seattle,WA98101 20-4018216	Real Estate	WA	1,331,415	23,900,604	VMMC
(2) 1005 Spring Street LLC 1100 Ninth Avenue Seattle,WA98101 20-4816736	Real Estate	WA	1,423,103	4,580,784	VMMC
(3) Health Resource Services LLC 1100 Olive Way Seattle,WA98101 26-2800944	Group Purchasing	WA	9,246,250	14,384,882	VMMC

Part II

Identification of Related Tax-Exempt Organizations (Complete if the organization answered "Yes" to 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 entity?
(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) Virginia Mason Health System 1100 Ninth Avenue Seattle,WA98101 91-1351110	Fundraising	WA	501c3	7	N/A	Yes
(2) Virginia Mason Institute 1100 Ninth Avenue Seattle,WA98101 26-3763656	Education/Research	WA	501 c 3	9	VMMC		No

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

Cat. No. 50135Y

Schedule R (Form 990) 2012

Page 2

Part III

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

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(e) Predominant income(related, unrelated, excluded from tax under sections 512-514)	(f) Share of total income	(g) Share of end-of-year assets	(h) Disproprtionate allocations?		(i) Code VUBI amount in box 20 of Schedule K-1 (Form 1065)	(j) General or managing partner?		(k) Percentage ownership
(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity		(f) Share of total income	(g) Share of end-of-year assets	Yes	No	(i) Code VUBI amount in box 20 of Schedule K-1 (Form 1065)	Yes	No
(1) Natl Purchasing Ptns LLC 1100 Olive Wy Seattle,WA98101 20-3470995	Group Purchasing	WA	N/A	Unrelated	12,893,106	1,600,205		No	12,919,572	Yes		50.000 %

Part IV

Identification of Related Organizations Taxable as a Corporation or Trust (Complete if the organization answered "Yes" to 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	(i) Section 512(b)(13) controlled entity?
(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	Yes	No

Schedule R (Form 990) 2012

Page 3

Part V

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

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

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

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

Yes

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

Yes

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

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

f Dividends from related organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

g Sale of assets to related organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

h Purchase of assets from related organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

i Exchange of assets with related organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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

Yes

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

Yes

l Performance of services or membership or fundraising solicitations for related organization(s) . . . . . . . . . . . . . . . . . . . .

m Performance of services or membership or fundraising solicitations by related organization(s) . . . . . . . . . . . . . . . . . . . .

n Sharing of facilities, equipment, mailing lists, or other assets with related organization(s) . . . . . . . . . . . . . . . . . . . . .

o Sharing of paid employees with related organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

p Reimbursement paid to related organization(s) for expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Yes

q Reimbursement paid by related organization(s) for expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Yes

r Other transfer of cash or property to related organization(s) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

s Other transfer of cash or property from related 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-s)	(c) Amount involved	(d) Method of determining amount involved

Schedule R (Form 990) 2012

Page 4

Part VI

Unrelated Organizations Taxable as a Partnership (Complete if the organization answered "Yes" to 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)	(e) Are all partners section 501(c)(3) organizations?		(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 entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	Yes	No	(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

Schedule R (Form 990) 2012

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:	12000057
Software Version:	12.19.1011.1

- TIN:

TY 2012 AffiliatedGroupSchedule

Name:

Virginia Mason Medical Center

EIN: 91-0565539

Software ID:12000057

Software Version:12.19.1011.1

Affiliated Group Business Name:

Virginia Mason Medical Center

Address. Either US or Foreign Type:

1100 Ninth Avenue
Seattle, WA98101

EIN:

91-0565539

Electing Organization Checkbox:

Total Grassroots Lobbying:

127,874

Total Direct Lobbying:

6,000

Total Lobbying Expenditures:

133,874

Other Exempt Purpose Expenditures:

924,077,890

Total Exempt Purpose Expenditures:

924,211,764

Lobbying Nontaxable Amount:

938,953

Grassroots Nontaxable Amount:

234,738

Tot Lobbying Grassroot Minus Non Tx:

Tot Lobby Expend Mns Lobbying Non Tx:

Share Of Excess Lobbying:

Affiliated Group Business Name:

Virginia Mason Institute

Address. Either US or Foreign Type:

1100 Ninth Avenue
Seattle, WA98101

EIN:

26-3763656

Electing Organization Checkbox:

Total Grassroots Lobbying:

Total Direct Lobbying:

Total Lobbying Expenditures:

Other Exempt Purpose Expenditures:

2,575,820

Total Exempt Purpose Expenditures:

2,575,820

Lobbying Nontaxable Amount:

2,617

Grassroots Nontaxable Amount:

654

Tot Lobbying Grassroot Minus Non Tx:

Tot Lobby Expend Mns Lobbying Non Tx:

Share Of Excess Lobbying:

Affiliated Group Business Name:

Virginia Mason Health System

Address. Either US or Foreign Type:

1100 Ninth Avenue
Seattle, WA98101

EIN:

91-1351110

Electing Organization Checkbox:

Total Grassroots Lobbying:

Total Direct Lobbying:

Total Lobbying Expenditures:

Other Exempt Purpose Expenditures:

13,866,754

Total Exempt Purpose Expenditures:

13,866,754

Lobbying Nontaxable Amount:

14,088

Grassroots Nontaxable Amount:

3,522

Tot Lobbying Grassroot Minus Non Tx:

Tot Lobby Expend Mns Lobbying Non Tx:

Share Of Excess Lobbying:

Affiliated Group Business Name:

Benaroya Research Institute at Virginia Mason

Address. Either US or Foreign Type:

1201 Ninth Avenue
Seattle, WA98101

EIN:

91-0653422

Electing Organization Checkbox:

Total Grassroots Lobbying:

Total Direct Lobbying:

Total Lobbying Expenditures:

Other Exempt Purpose Expenditures:

43,645,635

Total Exempt Purpose Expenditures:

43,645,635

Lobbying Nontaxable Amount:

44,342

Grassroots Nontaxable Amount:

11,086

Tot Lobbying Grassroot Minus Non Tx:

Tot Lobby Expend Mns Lobbying Non Tx:

Share Of Excess Lobbying:

1	Briefly describe the organization’s mission or most significant activities: Medical Centers mission is to improve the health and well-being of the patients it serves through the delivery of high quality, cost-effective care to its patients. The Medical Center provides integrated health services through a teaching hospital and multi-specialty group practice, offering both primary and specialized care.
2	Check this box
3	Number of voting members of the governing body (Part VI, line 1a) ........	3	15
4	Number of independent voting members of the governing body (Part VI, line 1b) .....	4	13
5	Total number of individuals employed in calendar year 2011 (Part V, line 2a) ......	5	6,229
6	Total number of volunteers (estimate if necessary) .............	6	1,458
7a	Total unrelated business revenue from Part VIII, column (C), line 12 ........	7a	22,420,674
b	Net unrelated business taxable income from Form 990-T, line 34 .........	7b	12,150,645

		Prior Year	Current Year
8	Contributions and grants (Part VIII, line 1h) .........	6,179,104	6,373,444
9	Program service revenue (Part VIII, line 2g) .........	863,679,342	907,479,662
10	Investment income (Part VIII, column (A), lines 3, 4, and 7d ) ....	14,803,799	21,457,664
11	Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)	7,676,040	8,250,585
12	Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)...................	892,338,285	943,561,355
13	Grants and similar amounts paid (Part IX, column (A), lines 1–3 )...	7,846,671	9,188,382
14	Benefits paid to or for members (Part IX, column (A), line 4).....		0
15	Salaries, other compensation, employee benefits (Part IX, column (A), lines 5–10)	506,728,697	543,601,628
16a	Professional fundraising fees (Part IX, column (A), line 11e).....		0
b	Total fundraising expenses (Part IX, column (D), line 25) 0
17	Other expenses (Part IX, column (A), lines 11a–11d, 11f–24e)....	348,470,951	371,421,754
18	Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25)	863,046,319	924,211,764
19	Revenue less expenses. Subtract line 18 from line 12.......	29,291,966	19,349,591
		Beginning of Current Year	End of Year
20	Total assets (Part X, line 16).............	917,015,772	950,291,534
21	Total liabilities (Part X, line 26).............	598,645,723	599,296,962
22	Net assets or fund balances. Subtract line 21 from line 20.....	318,370,049	350,994,572

Sign Here

	Signature of officer	Date

	Type or print name and title


4a	(Code: ) (Expenses $ 769,553,152 including grants of $ ) (Revenue $ 915,016,940 )
	Health Care Services The Medical Center is a tertiary regional referral center which serves a patient community that includes Seattle and its surrounding suburbs, Western Washington and Alaska. The main campus located in Seattle includes a hospital, an outpatient clinic, centers of excellence including the Center for Hyperbaric Medicine, Digestive Disease Institute, Floyd Delores Jones Cancer Institute, Heart Institute, Neuroscience Institute and Urology. The Medical Center also operates seven regional clinics, and Bailey-Boushay House, a 35-bed skilled nursing facility. During 2012, the Medical Center recorded 16,402 hospital inpatient admissions, 23,095 emergency room visits and 828,823 clinic visits. The Medical Center provided charity care and unreimbursed Medicaid services to a total of 5,979 patients. Continued on Schedule O

4b	(Code: ) (Expenses $ 25,373,509 including grants of $ 4,975,449 ) (Revenue $ 346,781 )
	Education and Research The Medical Center is an independent academic medical center with a graduate medical education program that trains over 120 residents in five accredited programs in internal medicine, surgery, transitional year, radiology, and anesthesiology. In addition, the Medical Center trains a number of fellows in areas such as Pain Management and Female Pelvic Medicine/Reconstructive Surgery. The Medical Center is also affiliated with the University of Washington for the training of subspecialities in the areas of anesthesiology, orthopedics, obstetrics, gynecology and urology. The Medical Center also provides training in clinical nursing education, allied health fields, continuing medical education and grand rounds. In addition, the Medical Center conducts medical research through its affiliate Benaroya Research Institute at Virginia Mason, a scientific research institute qualified under Section 501c3 of the Internal Revenue Code. Continued on Schedule O

4c	(Code: ) (Expenses $ 599,394 including grants of $ ) (Revenue $ 366,526 )
	Community Health Education and Services The Medical Center contributes to improving the health of the community through sponsorship of community health education and services. Community health education includes classes, forums, presentations and other programs held during the day and evening in the Medical Center neighborhood clinic communities and the Seattle main campus. The Buse Diabetes Teaching Center provides a nationally recognized education program which includes classes covering every aspect of diabetes care including how to support long term health lifestyle habits and avoid long-term complications. The education programs are open to everyone with diabetes and their family members. Scholarships are available. In 2012, the Medical Center provided 151,000 of support for the Teaching Center. Continued on Schedule O

4d	Other program services (Describe in Schedule O.)
	(Expenses $ 4,446,541 including grants of $ 4,212,933 ) (Revenue $ )
4e	Total program service expenses799,972,596

1b	Sub-Total................
c	Total from continuation sheets to Part VII, Section A....
d	Total (add lines 1b and 1c)............	15,971,581	3,871,913

				(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		6,373,444
e	Government grants (contributions)1e

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.......			6,373,444
			Business Code
2a	Operating Revenues		561499	975,339,903	966,217,499	9,122,404
b	Medicare/Medicaid payments		621300	295,677,435	295,677,435
c
d
e
f	All other program service revenue .
g	Total. Add lines 2a–2f........			907,479,662
3	Investment income (including dividends, interest, and other similar amounts).......			17,847,831		12,916,978	4,930,853
4	Income from investment of tax-exempt bond proceeds..			-2,727			-2,727
5	Royalties...........
		(i) Real	(ii) Personal
6a	Gross rents	1,312,857
b	Less: rental expenses	961,686
c	Rental income or (loss)	351,171
d	Net rental income or (loss).......			351,171		123,279	227,892
		(i) Securities	(ii) Other
7a	Gross amount from sales of assets other than inventory	83,813,885	73,154
b	Less: cost or other basis and sales expenses	80,247,692	26,787
c	Gain or (loss)	3,566,193	46,367
d	Net gain or (loss)..........			3,612,560			3,612,560
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	Cafeteria		722100	3,598,601			3,598,601
b	Parking		721110	4,030,825		258,013	3,772,812
c	Medical Records		561499	257,470			257,470
d	All other revenue ....			12,518			12,518
e	Total. Add lines 11a–11d ......			7,899,414
12	Total revenue. See Instructions......			943,561,355	898,357,258	22,420,674	16,409,979


				(A) Beginning of year		(B) End of year
1	Cashnon-interest-bearing .............			46,140,605	1	36,980,257
2	Savings and temporary cash investments .........			46,018,726	2	39,350,733
3	Pledges and grants receivable, net ...........				3
4	Accounts receivable, net .............			95,948,616	4	103,217,332
5	Loans and other receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of Schedule L ..................
					5
6	Loans and other receivables from other disqualified persons (as defined under section 4958(f)(1)), persons described in section 4958(c)(3)(B), and contributing employers and sponsoring organizations of section 501(c)(9) voluntary employees' beneficiary organizations (see instructions) Complete Part II of Schedule L
					6
7	Notes and loans receivable, net .............				7
8	Inventories for sale or use ..............			13,052,072	8	13,639,506
9	Prepaid expenses and deferred charges ..........			3,940,998	9	4,014,345
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	899,991,516
b	Less: accumulated depreciation .....	10b	380,047,341	505,919,340	10c	519,944,175
11	Investments—publicly traded securities ..........			152,031,866	11	179,166,776
12	Investments—other securities. See Part IV, line 11 .....			722,801	12
13	Investments—program-related. See Part IV, line 11 .....				13
14	Intangible assets ...............				14
15	Other assets. See Part IV, line 11 ...........			53,240,748	15	53,978,410
16	Total assets. Add lines 1 through 15 (must equal line 34)......			917,015,772	16	950,291,534
17	Accounts payable and accrued expenses .........			122,772,702	17	127,449,847
18	Grants payable .................				18
19	Deferred revenue ................			43,867	19	52,522
20	Tax-exempt bond liabilities .............			328,704,983	20	325,757,212
21	Escrow or custodial account liability. Complete Part IV of Schedule D..				21
22	Loans and other payables to current and former officers, directors, trustees, key employees, highest compensated employees, and disqualified
	persons. Complete Part II of Schedule L..........				22
23	Secured mortgages and notes payable to unrelated third parties ..			30,737,154	23	29,351,564
24	Unsecured notes and loans payable to unrelated third parties ....				24
25	Other liabilities (including federal income tax, payables to related third parties, and other liabilities not included on lines 17-24). Complete Part X of Schedule D....................			116,387,017	25	116,685,817
26	Total liabilities. Add lines 17 through 25.........			598,645,723	26	599,296,962
	Organizations that follow SFAS 117 (ASC 958), check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets ..............			300,177,790	27	333,336,273
28	Temporarily restricted net assets ...........			14,117,580	28	13,451,315
29	Permanently restricted net assets ...........			4,074,679	29	4,206,984
	Organizations that do not follow SFAS 117 (ASC 958), 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 ...........			318,370,049	33	350,994,572
34	Total liabilities and net assets/fund balances ........			917,015,772	34	950,291,534

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