TY 2013 Form 990

(A) Name and business address	(B) Description of services	(C) Compensation
ADVENTIST HEALTH SYSTEM SUNBELT HEALTHCA900 HOPE WAYALTAMONTE SPRINGSFL32714	MANAGEMENT & IT SERVICES	6,885,468
NORTHSTAR ANESTHESIA PAPO BOX 650252DALLASTX75265	ANESTHESIA SERVICES	2,485,027
NURSEFINDERS INCPO BOX 910738DALLASTX75391	NURSING PERSONNEL	1,048,469
HUGULEY PATHOLOGY CONSULTANTSPO BOX 879BURLESONTX76028	LAB SERVICES	855,802
GENERAL ELECTRIC COPO BOX 843553DALLASTX75284	EQUIPMENT MAINTENANCE	689,670
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 25

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	90,500	90,500
2	Grants and other assistance to individuals in the United States. See Part IV, line 22
3	Grants and other assistance to governments, organizations, and individuals outside the United States. See Part IV, lines 15 and 16
4	Benefits paid to or for members
5	Compensation of current officers, directors, trustees, and key employees ....	21,724		21,724
6	Compensation not included above, to disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B) ....
7	Other salaries and wages
8	Pension plan accruals and contributions (include section 401(k) and 403(b) employer contributions) ....
9	Other employee benefits .......
10	Payroll taxes ...........
11	Fees for services (non-employees):
a	Management ......	6,885,468	4,804,922	2,080,546
b	Legal .........	24,812		24,812
c	Accounting ...........
d	Lobbying ...........
e	Professional fundraising services. See Part IV, line 17
f	Investment management fees ......
g	Other (If line 11g amount exceeds 10% of line 25, column (A) amount, list line 11g expenses on Schedule O) ........	91,150,848	88,687,779	2,463,069
12	Advertising and promotion ....	340,658		340,658
13	Office expenses .......	4,968,671	4,073,922	894,749
14	Information technology ......	614,121	614,121
15	Royalties ..
16	Occupancy ...........	3,175,583	3,175,583
17	Travel ............	339,496		339,496
18	Payments of travel or entertainment expenses for any federal, state, or local public officials ......
19	Conferences, conventions, and meetings ....	25		25
20	Interest ...........	38,318	38,318
21	Payments to affiliates .......
22	Depreciation, depletion, and amortization .....	6,103,971	6,103,971
23	Insurance ..............	756,153	600,688	155,465
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	MEDICAL SUPPLIES	29,174,883	29,174,883
b	REPAIRS & MAINTENA	3,485,063	3,485,063
c	DUES & SUBSCRIPTIONS	265,754		265,754
d	UNRELATED BUSINESS INCO	12,889	12,889
e	All other expenses	291,649	16,904	274,745
25	Total functional expenses. Add lines 1 through 24e	147,740,586	140,879,543	6,861,043	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 or note to any line in this Part X ..............
	1	Cash–non-interest-bearing .............	4,450	1	4,853
2	Savings and temporary cash investments .........	14,036,547	2	21,309,425
3	Pledges and grants receivable, net ...........		3
4	Accounts receivable, net .............	18,135,062	4	22,073,907
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 ..............	3,895,909	8	4,097,391
9	Prepaid expenses and deferred charges ..........	374,818	9	668,717
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	61,080,190
b	Less: accumulated depreciation .....	10b	9,428,028	48,047,348	10c	51,652,162
11	Investments—publicly traded securities ..........		11
12	Investments—other securities. See Part IV, line 11 .....		12
13	Investments—program-related. See Part IV, line 11 .....		13
14	Intangible assets ...............	462,656	14	255,018
15	Other assets. See Part IV, line 11 ...........	12,661,646	15	16,560,975
16	Total assets. Add lines 1 through 15 (must equal line 34)......	97,618,436	16	116,622,448
	17	Accounts payable and accrued expenses .........	7,105,393	17	8,532,734
18	Grants payable .................		18
19	Deferred revenue ................		19	965,541
20	Tax-exempt bond liabilities .............		20
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 ..		23
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....................	17,524,195	25	10,433,791
26	Total liabilities. Add lines 17 through 25.........	24,629,588	26	19,932,066
		Organizations that follow SFAS 117 (ASC 958), check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets ..............	71,353,411	27	94,904,519
28	Temporarily restricted net assets ...........	222,410	28	372,836
29	Permanently restricted net assets ...........	1,413,027	29	1,413,027
	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 ...........	72,988,848	33	96,690,382
34	Total liabilities and net assets/fund balances ........	97,618,436	34	116,622,448

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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.
right arrow

Information about Schedule A (Form 990 or 990-EZ) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2013

Open to Public
Inspection

Name of the organization

TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

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) 2013

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) 2009	(b) 2010	(c) 2011	(d) 2012	(e) 2013	(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) 2009	(b) 2010	(c) 2011	(d) 2012	(e) 2013	(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 2013 (line 6, column (f) divided by line 11, column (f)) .........

Public support percentage for 2012 Schedule A, Part II, line 14 ...............

16a

33 1/3% support test—2013. 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—2012. 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—2013. 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—2012. 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) 2013

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) 2009	(b) 2010	(c) 2011	(d) 2012	(e) 2013	(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) 2009	(b) 2010	(c) 2011	(d) 2012	(e) 2013	(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 2013 (line 8, column (f) divided by line 13, column (f)) .........

Public support percentage from 2012 Schedule A, Part III, line 15 ...............

Section D. Computation of Investment Income Percentage

Investment income percentage for 2013 (line 10c, column (f) divided by line 13, column (f)) ......

Investment income percentage from 2012 Schedule A, Part III, line 17 .............

19a

33 1/3% support tests—2013. 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—2012. 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) 2013

Page 4

Part IV

Supplemental Information. 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) 2013

Additional Data

Software ID:
Software Version:

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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.

Information about Schedule B (Form 990, 990-EZ, or 990-PF) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2013

Name of the organization

TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

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 for 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 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 its Form 990PF, Part I, line 2, 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) (2013)

Schedule B (Form 990, 990-EZ, or 990-PF) (2013)

Page 2

Name of organization TEXAS HEALTH HUGULEY INC

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, RESTRICTEDRESTRICTED	$RESTRICTED	Person Payroll Noncash (Complete Part II for noncash contributions.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Total contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II for noncash contributions.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Total contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II for noncash contributions.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Total contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II for noncash contributions.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Total contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II for noncash contributions.)
(a) No.	(b) Name, address, and ZIP + 4	(c) Total contributions	(d) Type of contribution
		$	Person Payroll Noncash (Complete Part II for noncash contributions.)
Schedule B (Form 990, 990-EZ, or 990-PF) (2013)

Schedule B (Form 990, 990-EZ, or 990-PF) (2013)

Page 3

Name of organization TEXAS HEALTH HUGULEY INC

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) (2013)

Schedule B (Form 990, 990-EZ, or 990-PF) (2013)

Page 4

Name of organization
TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

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) (2013)

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE C
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Political Campaign and Lobbying Activities

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

Complete if the organization is described below. SchCMd Bullet

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

See separate instructions. SchCMd Bullet

Information about Schedule C (Form 990 or 990-EZ) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2013

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

TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

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) 2013

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

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

4-Year Averaging Period Under Section 501(h) (Some organizations that made a section 501(h) election do not have to complete all of the five columns below. See the instructions for lines 2a through 2f on page 4.)
Lobbying Expenditures During 4-Year Averaging Period
	Calendar year (or fiscal year beginning in)	(a) 2010	(b) 2011	(c) 2012	(d) 2013	(e) Total

2a	Lobbying nontaxable amount

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

c	Total lobbying expenditures

d	Grassroots nontaxable amount

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

f	Grassroots lobbying expenditures

Schedule C (Form 990 or 990-EZ) 2013

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

Yes

5,374

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

5,374

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

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.

Return Reference	Explanation
PART II-B, LINE 1:	AMERICAN HOSPITAL ASSOCIATION AND TEXAS HOSPITAL ASSOCIATION DUES

Schedule C (Form 990 or 990EZ) 2013

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE D
(Form 990)

Department of the Treasury
Internal Revenue Service

Supplemental Financial Statements

Complete if the organization answered "Yes," to Form 990,
Part IV, line 6, 7, 8, 9, 10, 11a, 11b, 11c, 11d, 11e, 11f, 12a, or 12b
SchDMd Bullet

Attach to Form 990. SchDMd Bullet

See separate instructions. SchDMd Bullet

Information about Schedule D (Form 990) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2013

Open to Public Inspection

Name of the organization

TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

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) 2013

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
1a	Beginning of year balance ....	1,413,027	1,413,027
b	Contributions ........
c	Net investment earnings, gains, and losses	33,227	3,082
d	Grants or scholarships .....
e	Other expenditures for facilities and programs ........	33,227	3,082
f	Administrative expenses ....
g	End of year balance ......	1,413,027	1,413,027

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

Board designated or quasi-endowment SchDMd Bullet

0 %

Permanent endowment SchDMd Bullet

100.000 %

Temporarily restricted endowment SchDMd Bullet

0 %

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)

(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. Complete if the organization answered 'Yes' to Form 990, Part IV, line 11a. See Form 990, Part X, line 10.

Description of property		(b)Cost or other basis (other)	(c) Accumulated depreciation	(d) Book value
1a	Land .................	6,888,354		6,888,354
b	Buildings ................	33,141,366	4,244,532	28,896,834
c	Leasehold improvements ............
d	Equipment ................	19,198,327	5,019,038	14,179,289
e	Other .................	1,852,143	164,458	1,687,685
Total. Add lines 1a through 1e. (Column (d) must equal Form 990, Part X, column (B), line 10(c).).......				51,652,162

Schedule D (Form 990) 2013

Page 3

Part VII

InvestmentsOther Securities. Complete if the organization answered 'Yes' to Form 990, Part IV, line 11b. See Form 990, Part X, line 12.

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








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

Part VIII

InvestmentsProgram Related. Complete if the organization answered 'Yes' to Form 990, Part IV, line 11c. See Form 990, Part X, line 13.

(a) Description of investment		(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. Complete if the organization answered 'Yes' to Form 990, Part IV, line 11d. See Form 990, Part X, line 15.

(a) Description				(b) Book value
(1) DUE FROM AFFILIATED				550,715
(2) OTHER CURRENT RECEIVABLES				5,311,203
(3) DONOR RESTRICTED ASSETS				1,765,154
(4) INVESTMENT IN COMMUNITY HOSPICE OF				8,918,783
(5) OTHER NON-CURRENT ASSETS				15,120




Total. (Column (b) must equal Form 990, Part X, col.(B) line 15.)...........				16,560,975

Part X

Other Liabilities. Complete if the organization answered 'Yes' to Form 990, Part IV, line 11e or 11f. See Form 990, Part X, line 25.

1.(a) Description of liability		(b) Book value
Federal income taxes
DUE TO AFFILIATED		7,559,385
PAYABLE TO THIRD PARTIES		1,835,444
OTHER CURRENT LIABILITIES		2,564
LEASES PAYABLE		1,036,398





Total. (Column (b) must equal Form 990, Part X, col.(B) line 25.)		10,433,791
2. Liability for uncertain tax positions 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) 2013

Page 4

Part XI Reconciliation of Revenue per Audited Financial Statements With Revenue per Return Complete if the organization answered 'Yes' to Form 990, Part IV, line 12a.
1	Total revenue, gains, and other support per audited financial statements .......			1	184,588,381
2	Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a	Net unrealized gains on investments ..........	2a
b	Donated services and use of facilities .........	2b
c	Recoveries of prior year grants ...........	2c
d	Other (Describe in Part XIII.) ............	2d	12,462,058
e	Add lines 2a through 2d .....................			2e	12,462,058
3	Subtract line 2e from line 1.....................			3	172,126,323
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	1,978,783
c	Add lines 4a and 4b.......................			4c	1,978,783
5	Total revenue. Add lines 3 and 4c. (This must equal Form 990, Part I, line 12.) ......			5	174,105,106

Part XII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return. Complete if the organization answered 'Yes' to Form 990, Part IV, line 12a.
1	Total expenses and losses per audited financial statements ...........			1	161,324,550
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	15,562,748
e	Add lines 2a through 2d......................			2e	15,562,748
3	Subtract line 2e from line 1.....................			3	145,761,802
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	1,978,784
c	Add lines 4a and 4b.......................			4c	1,978,784
5	Total expenses. Add lines 3 and 4c. (This must equal Form 990, Part I, line 18.) ......			5	147,740,586

Part XIII

Supplemental Information

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.

Return Reference	Explanation
PART V, LINE 4:	PART V, LINE 4: THE FILING ORGANIZATION'S ENDOWMENT CONSISTS OF TWO DONOR-RESTRICTED ENDOWMENT FUNDS ESTABLISHED TO SUPPORT A VARIETY OF PURPOSES INCLUDING THE ACQUISITION AND MAINTENANCE OF THE HOSPITAL'S EQUIPMENT, AND ASSISTANCE TO THE HELPING HAND FUND WHICH PROVIDES ASSISTANCE TO ORGANIZATIONS AND NEEDY INDIVIDUALS WITHIN THE COMMUNITY. AN ENDOWNMENT FUND TOTALING $1,313,027 HAS A DONOR-IMPOSED RESTRICTION ON INVESTMENT RETURN TO BE USED EXCLUSIVELY FOR CAPITAL IMPROVEMENTS AND MAINTENANCE OF THE HOSPITAL. THE REMAING FUND HAS NO DONOR-IMPOSED RESTRICTION ON ITS INVESTMENT RETURN.
PART X, LINE 2:	THE CONSOLIDATED AUDITED FINANCIAL STATEMENTS FOR THE TWELVE-MONTH PERIOD ENDED 12/31/13 INCLUDE THE FILING ORGANIZATION AND TWO OF ITS SUBSIDIARIES: HUGULEY MEDICAL ASSOCIATES (HMA), A TAXABLE NONPROFIT PHYSICIAN GROUP, AND JOHNSON COUNTY COMMUNITY CARE CORPORATION (JCCC), A TEXAS NONPROFIT, TAX-EXEMPT CORPORATION. THESE CONSOLIDATED AUDITED FINANCIAL STATEMENTS CONTAIN THE FOLLOWING FIN 48 FOOTNOTE: THE COMPANY, OTHER THAN HMA, IS EXEMPT FROM STATE AND FEDERAL INCOME TAXES. ACCORDINGLY, THE COMPANY AND ITS TAX-EXEMPT AFFILIATES ARE NOT SUBJECT TO FEDERAL, STATE, OR LOCAL INCOME TAXES EXCEPT FOR ANY NET UNRELATED BUSINESS TAXABLE INCOME. FOR THE YEAR ENDED DECEMBER 31, 2013, UNRELATED BUSINESS INCOME ACTIVITIES CONDUCTED BY THE COMPANY AND ITS TAX-EXEMPT AFFILIATES DID NOT GENERATE A MATERIAL AMOUNT OF COMBINED FEDERAL, STATE AND LOCAL INCOME TAX. HMA IS A WHOLLY-OWNED, FOR-PROFIT SUBSIDIARY OF THE COMPANY. HMA IS SUBJECT TO FEDERAL AND STATE INCOME TAXES AND FILES A FEDERAL AND STATE INCOME TAX RETURN. FOR THE YEAR ENDED DECEMBER 31, 2013, HMA GENERATED A TAXABLE LOSS OF APPROXIMATELY $2,394,000. ACCORDINGLY, THERE IS NO PROVISION FOR CURRENT FEDERAL OR STATE INCOME TAX FOR THE YEAR ENDED DECEMBER 31, 2013. HMA ALSO HAS CUMULATIVE TEMPORARY DEDUCTIBLE DIFFERENCES OF APPROXIMATELY $7,855,000 AT DECEMBER 31, 2013, PRIMARILY AS A RESULT OF NET OPERATING LOSS CARRYFORWARDS. AT DECEMBER 31, 2013, HMA HAD NET OPERATING LOSS CARRYFORWARDS OF APPROXIMATELY $6,731,000 OF WHICH APPROXIMATELY $3,919,000 WILL EXPIRE IN 2033, WITH THE REMAINING $2,812,000 EXPIRING BEGINNING IN 2018 THROUGH 2031. SOME OF THESE NET OPERATING LOSSES ARE SUBJECT TO THE SEPARATE RETURN LIMITATION YEAR RULE. DEFERRED TAXES HAVE BEEN PROVIDED FOR THESE AMOUNTS, RESULTING IN A NET DEFERRED TAX ASSET OF APPROXIMATELY $2,671,000 AT DECEMBER 31, 2013. A FULL VALUATION ALLOWANCE HAS BEEN PROVIDED AT DECEMBER 31, 2013 TO OFFSET THE DEFERRED TAX ASSET SINCE THE COMPANY HAS DETERMINED THAT IT IS MORE LIKELY THAN NOT THAT THE BENEFIT OF THE NET OPERATING LOSS CARRYFORWARDS WILL NOT BE REALIZED IN FUTURE YEARS. THE INCOME TAXES TOPIC OF THE ACCOUNTING STANDARDS CODIFICATION (ASC)(ASC 740) PRESCRIBES THE ACCOUNTING FOR UNCERTAINTY IN INCOME TAX POSITIONS RECOGNIZED IN FINANCIAL STATEMENTS. ASC 740 PRESCRIBES A RECOGNITION THRESHOLD AND MEASUREMENT ATTRIBUTE FOR THE FINANCIAL STATEMENT RECOGNITION AND MEASUREMENT OF A TAX POSITION TAKEN, OR EXPECTED TO BE TAKEN, IN A TAX RETURN. THERE WERE NO MATERIAL UNCERTAIN TAX POSITIONS AS OF DECEMBER 31, 2013.
PART XI, LINE 2D - OTHER ADJUSTMENTS:	REVENUE FROM SUBSIDIARIES INCLUDED IN AUDIT 12,410,145. RECLASS LOSS ON SALE 51,840. ROUNDING 73.
PART XI, LINE 4B - OTHER ADJUSTMENTS:	RECLASS MANAGEMENT FEE REVENUE FROM EXPENSE 283,057. REVENUE AND EXPENSE AUDIT RECLASS 1,695,726.
PART XII, LINE 2D - OTHER ADJUSTMENTS:	EXPENSES FROM SUBSIDIARIES INCLUDED IN AUDIT 15,510,908. RECLASS NET LOSS ON SALE 51,840. ROUNDING
PART XII, LINE 4B - OTHER ADJUSTMENTS:	RECLASS MANAGEMENT FEE REVENUE 283,057. REVENUE AND EXPENSE AUDIT RECLASS 1,695,726. ROUNDING 1.

Schedule D (Form 990) 2013

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE H (Form 990)

Department of the Treasury
Internal Revenue Service

Hospitals

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

Attach to Form 990. MediumBullet

See separate instructions.
MediumBullet

Information about Schedule H (Form 990) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2013

Open to Public Inspection

Name of the organization

TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

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? ......

Yes

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		(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) ..	13,076,708		13,076,708	8.850 %
b	Medicaid (from Worksheet 3, column a) ....	15,625,821	9,641,750	5,984,071	4.050 %
c	Costs of other means-tested government programs (from Worksheet 3, column b) .
d	Total Financial Assistance and Means-Tested Government Programs .	28,702,529	9,641,750	19,060,779	12.900 %
Other Benefits		86,132		86,132	0.060 %
e	Community health improvement services and community benefit operations (from Worksheet 4) ..	86,132		86,132	0.060 %
f	Health professions education (from Worksheet 5) ..
g	Subsidized health services (from Worksheet 6) ..
h	Research (from Worksheet 7)
i	Cash and in-kind contributions for community benefit (from Worksheet 8)
j	Total. Other Benefits ..	86,132		86,132	0.060 %
k	Total. Add lines 7d and 7j .	28,788,661	9,641,750	19,146,911	12.960 %

For Paperwork Reduction Act Notice, see the Instructions for Form 990. Cat. No. 50192T Schedule H (Form 990) 2013

Schedule H (Form 990) 2013

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

Part III

Bad Debt, Medicare, & Collection Practices

Section A. Bad Debt Expense

Yes

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. ......

10,811,301

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. ......

2,392,666

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).....

38,756,789

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

38,715,626

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

41,163

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) 2013

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, primary website address, and state license number
1	TEXAS HEALTH HUGULEY HOSPITAL 11801 S FREEWAY FT WORTH,TX76028 WWW.TEXASHEALTHHUGULEY.ORG 100157	X	X	X

Schedule H (Form 990) 2013

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)

	TEXAS HEALTH HUGULEY HOSPITAL
Name of hospital facility or facility reporting group

If reporting on Part V, Section B for a single hospital facility 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....................

Yes

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 13

In conducting its most recent CHNA, did the hospital facility take into account input from persons who represent the broad interests 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 ....................

Yes

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

Yes

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

Hospital facility’s website (list url): HTTP://WWW.TEXASHEALTHHUGULEY.ORG/PORTALS

Other website (list url):

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 as of the end of the tax year):

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) 2013

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: 200.000000000000% 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: 400.000000000000% 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	Residency
i	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 individual’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 Section C)
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 individual’s eligibility under the facility’s FAP?..........	17		No
	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 Section C)

Schedule H (Form 990) 2013

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 individuals regarding the individuals’ bills

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

Other (describe in Section C)

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 individual 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 individual an amount equal to the gross charge for any service provided to that individual? .........................

If "Yes," explain in Part VI.

Schedule H (Form 990) 2013

Page

Part V

Facility Information (continued)

Section C. Supplemental Information for Part V, Section B.Provide descriptions required for Part V, Section B, lines 1j, 3, 4, 5d, 6i, 7, 10, 11, 12i, 14g, 16e, 17e, 18e, 19c, 19d, 20d, 21, and 22. If applicable, provide separate descriptions for each facility in a facility reporting group, designated by "Facility A," "Facility B," etc.
Form and Line Reference	Explanation
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 3: TEXAS HEALTH HUGULEY, INC. (THH OR THE HOSPITAL) OPERATES A 223-BED ACUTE-CARE HOSPITAL FACILITY IN BURLESON, TEXAS IN THE FORT WORTH, TEXAS AREA. THH'S COMMUNITY CONSISTS OF 13 ZIP CODES LOCATED IN JOHNSON AND TARRANT COUNTY, TEXAS AND IS POPULATED BY APPROXIMATELY 355,000 RESIDENTS. APPROXIMATELY 11% OF THE COMMUNITY'S RESIDENTS ARE ABOVE THE AGE OF 65 AND APPROXIMATELY 28% ARE LESS THAN AGE 18. WHITE, NON-HISPANIC INDIVIDUALS COMPRISE APPROXIMATELY 51% OF THE POPULATION, THE HISPANIC POPULATION PERCENTAGE IS APPROXIMATELY 27%, AND THE BLACK NON-HISPANIC POPULATION CONSTITUTES APPROXIMATELY 19% OF THE HOSPITAL'S COMMUNITY. ON AVERAGE, 33% OF THE HOSPITAL'S COMMUNITY LIVES BELOW 200% OF THE FEDERAL POVERTY LEVEL. UNINSURED INDIVIDUALS COMPRISE APPROXIMATELY 23% OF THE HOSPITAL'S COMMUNITY. THE MEMBERSHIP OF THH IS HELD BY TEXAS HEALTH RESOURCES (51%) AND ADVENTIST HEALTH SYSTEM/SUNBELT, INC. (49%), BOTH ORGANIZATIONS EXEMPT FROM FEDERAL INCOME TAX UNDER INTERNAL REVENUE CODE SECTION 501(C)(3).THE COMMUNITY HEALTH NEEDS ASSESSMENT (CHNA) CONDUCTED BY THE HOSPITAL WAS A COLLABORATIVE PROCESS, LED BY TEXAS HEALTH'S COMMUNITY HEALTH IMPROVEMENT DEPARTMENT AND ENTITY COMMUNITY ADVOCATES WITH SIGNIFICANT INPUT FROM TEXAS HEALTH'S COMMUNITY HEALTH ADVISORY COUNCIL. VAST AMOUNTS OF QUALITATIVE AND QUANTITATIVE DATA WERE COLLECTED, REFINED, AND ANALYZED. APPROXIMATELY 200 COMMUNITY MEMBERS PROVIDED INVALUABLE INFORMATION, DATA, AND FEEDBACK THROUGH INTERVIEWS. INFORMATION AND DATA WERE GATHERED FROM OPEN-ENDED DISCUSSIONS AIMED AT SOLICITING INPUT FROM INTERVIEW PARTICIPANTS, INCLUDING THOSE REPRESENTING THE MEDICALLY UNDERSERVED, LOW-INCOME AND MINORITY POPULATIONS IN THE HOSPITAL'S COMMUNITY, AND FROM A SURVEY INSTRUMENT. COMMUNITY REPRESENTATIVES INCLUDED, AMONG OTHERS, THE FOLLOWING ORGANIZATIONS/GOVERNMENT AGENCIES: THE CITY OF BURLESON, THE TEXAS DEPARTMENT OF STATE HEALTH SERVICES, THE BURLESON POLICE DEPARTMENT, AND THE SHORT FAMILY MEDICAL CENTER.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 5D: THE HOSPITAL HAS ADOPTED A POLICY THAT ADDRESSES THE PUBLIC POSTING REQUIREMENTS OF THE COMMUNITY HEALTH NEEDS ASSESSMENT. UNDER THIS POLICY, THE COMMUNITY HEALTH NEEDS ASSESSMENT REPORT MUST BE POSTED ON THE HOSPITAL'S WEBSITE BY THE END OF THE YEAR IN WHICH IT IS CONDUCTED. THE HOSPITAL WILL MAKE A COPY OF ITS COMMUNITY HEALTH NEEDS ASSESSMENT REPORT AVAILABLE UPON REQUEST. THE HOSPITAL WILL ALSO MAKE A PAPER COPY OF THE COMMUNITY HEALTH NEEDS ASSESSMENT REPORT AVAILABLE FOR PUBLIC INSPECTION AT THE HOSPITAL FACILITY.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 6I: AS A PART OF ITS COMMUNITY HEALTH NEEDS ASSESSMENT, THE FILING ORGANIZATION CONDUCTED AN EXTENSIVE AND THOROUGH ANALYSIS AND PRIORITIZATION OF ITS SIGNIFICANT IDENTIFIED HEALTH NEEDS. PLEASE SEE OUR DISCUSSION IN PART V, SECTION B, LINE 7.THE FILING ORGANIZATION ADOPTED ITS INITIAL COMMUNITY HEALTH NEEDS ASSESSMENT BY 12/31/13 AND WAS IN THE PROCESS OF DEVELOPING ITS COMMUNITY HEALTH NEEDS IMPLEMENTATION STRATEGY. THE FILING ORGANIZATION'S IMPLEMENTATION STRATEGY WILL BE DOCUMENTED IN A WRITTEN REPORT CALLED THE "COMMUNITY HEALTH PLAN". THE COMMUNITY HEALTH PLAN (CHP) WILL DESCRIBE HOW THE FILING ORGANIZATION PLANS TO MEET ITS IDENTIFIED PRIORITIZED HEALTH NEEDS OR WILL IDENTIFY THE HEALTH NEED AS ONE THE FILING ORGANIZATION DOES NOT INTEND TO SPECIFICALLY ADDRESS AND PROVIDE AN EXPLANATION AS TO WHY THE FILING ORGANIZATION DOES NOT INTEND TO ADDRESS THAT HEALTH NEED. IN ACCORDANCE WITH PROPOSED REGULATION SECTION 1.501(R)-3(E)(2), THE FILING ORGANIZATION'S CHP WILL BE ADOPTED NO LATER THAN MAY 15, 2014.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 7: AS NOTED IN OUR RESPONSE TO SCHEDULE H, PART V, SECTION B, LINE 3, SIGNIFICANT AMOUNTS OF QUANTITATIVE AND QUALITATIVE DATA WERE COLLECTED IN CONNECTION WITH TEXAS HEALTH HUGULEY, INC,'S (THH OR THE HOSPITAL) COMMUNITY HEALTH NEEDS ASSESSMENT (CHNA). THE IDENTIFICATION OF THE HOSPITAL COMMUNITY'S SIGNIFICANT HEALTH NEEDS WAS DRAWN FROM MORE THAN 90 DATA ELEMENTS. ALL DATA POINTS WERE PLACED INTO A MODEL WHICH OUTLINED ALL IDENTIFIED HEALTH ISSUES AND GROUPED THEM INTO SPECIFIC HEALTH CATEGORIES ADAPTED FROM THE HEALTHY PEOPLE 2020 CATEGORIES. THE COMMUNITY HEALTH ISSUES IDENTIFIED FOR THE HOSPITAL'S COMMUNITY WERE AS FOLLOWS: ACCESS: PROVIDER SUPPLY; AWARENESS, LITERACY, AND NAVIGATION; CANCER; CHRONIC DISEASE; INJURY AND VIOLENCE; MATERNAL, INFANT, AND CHILD HEALTH; MENTAL HEALTH; ORAL HEALTH; OTHER CLINICAL/PREVENTIVE; PREVENTIVE/WELLNESS; SOCIAL DETERMINANTS; TOBACCO USE; AND TRANSPORTATION. BASED UPON A COMPREHENSIVE ANALYSIS OF ALL IDENTIFIED HEALTH NEEDS, THE HOSPITAL IDENTIFIED AND APPROVED THE FOLLOWING TWO ISSUES TO ADDRESS DURING THIS CHNA PERIOD: CHRONIC DISEASE AND AWARENESS, LITERACY, AND NAVIGATION. THE REMAINING IDENTIFIED HEALTH NEEDS WERE NOT ADOPTED WITH RESPECT TO THE 2013 CHNA FOR THE REASONS AS NOTED BELOW:ACCESS: PROVIDER SUPPLY, MENTAL HEALTH, AND SOCIAL DETERMINANTS WERE NOT SELECTED DUE TO RESOURCE CONSTRAINTS.INJURY AND VIOLENCE, ORAL HEALTH, AND TRANSPORTATION WERE NOT SELECTED DUE TO LACK OF EXPERTISE.ACCESS: PROVIDER SUPPLY, MENTAL HEALTH, AND SOCIAL DETERMINANTS WERE NOT SELECTED DUE TO LACK OF EFFECTIVE INTERVENTIONS.CANCER, INJURY AND VIOLENCE, MATERNAL, INFANT, AND CHILD HEALTH, AND PREVENTIVE/WELLNESS WERE NOT CHOSEN AS TOP PRIORITIES AS THESE NEEDS ARE ALREADY BEING ADDRESSED IN THE HOSPITAL'S COMMUNITY.TOBACCO USE WAS GIVEN A LOW PRIORITY RANKING.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 14G: THE FILING ORGANIZATION HAS DEVELOPED A PATIENT-FRIENDLY SUMMARY VERSION OF ITS FINANCIAL ASSISTANCE POLICY (FAP). THE FILING ORGANIZATION'S FAP PROVIDES THAT ITS HOSPITAL FACILITY WILL POST THE PATIENT-FRIENDLY SUMMARY VERSION OF ITS FAP ON THE HOSPITAL'S WEBSITE. IN ADDITION, THE FAP OF THE HOSPITAL FACILITY STATES THAT SIGNAGE REGARDING THE AVAILABILITY OF THE HOSPITAL FACILITY'S FAP WILL BE VISIBLE AT POINTS OF ADMISSION AND REGISTRATION, INCLUDING THE EMERGENCY DEPARTMENT.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 20D: IN DETERMINING THE MAXIMUM AMOUNT THAT CAN BE CHARGED TO FINANCIAL ASSISTANCE POLICY-ELIGIBLE INDIVIDUALS FOR EMERGENCY OR OTHER MEDICALLY NECESSARY CARE, THE HOSPITAL USES THE FOLLOWING METHODOLOGY:THE HOSPITAL IDENTIFIES ALL COMMERCIAL PAYORS THAT HAD ANY ACTIVITY WITH THE HOSPITAL DURING THE TAXABLE YEAR. FOR THOSE IDENTIFIED COMMERCIAL PAYORS, AN AVERAGE OF THE NEGOTIATED COMMERCIAL INSURANCE RATES IS DETERMINED. THE AVERAGE OF ALL OF THE NEGOTIATED COMMERCIAL INSURANCE RATES FOR THOSE IDENTIFIED COMMERCIAL PAYORS DETERMINES THE MAXIMUM AMOUNT THAT CAN BE CHARGED TO PATIENTS ELIGIBLE UNDER THE HOSPITAL'S FINANCIAL ASSISTANCE POLICY.

Schedule H (Form 990) 2013

Page

Part VFacility Information (continued)

Section D. 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?
Name and address		Type of Facility (describe)
1
2
3
4
5
6
7
8
9
10

Schedule H (Form 990) 2013

Page

Part VI

Supplemental Information

Provide the following information.

1	Required descriptions. Provide the descriptions required for Part I, lines 3c, 6a, and 7; Part II and Part III, lines 2, 3, 4, 8 and 9b.
2	Needs assessment. Describe how the organization assesses the health care needs of the communities it serves, in addition to any CHNAs 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.

Form and Line Reference	Explanation
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 3: TEXAS HEALTH HUGULEY, INC. (THH OR THE HOSPITAL) OPERATES A 223-BED ACUTE-CARE HOSPITAL FACILITY IN BURLESON, TEXAS IN THE FORT WORTH, TEXAS AREA. THH'S COMMUNITY CONSISTS OF 13 ZIP CODES LOCATED IN JOHNSON AND TARRANT COUNTY, TEXAS AND IS POPULATED BY APPROXIMATELY 355,000 RESIDENTS. APPROXIMATELY 11% OF THE COMMUNITY'S RESIDENTS ARE ABOVE THE AGE OF 65 AND APPROXIMATELY 28% ARE LESS THAN AGE 18. WHITE, NON-HISPANIC INDIVIDUALS COMPRISE APPROXIMATELY 51% OF THE POPULATION, THE HISPANIC POPULATION PERCENTAGE IS APPROXIMATELY 27%, AND THE BLACK NON-HISPANIC POPULATION CONSTITUTES APPROXIMATELY 19% OF THE HOSPITAL'S COMMUNITY. ON AVERAGE, 33% OF THE HOSPITAL'S COMMUNITY LIVES BELOW 200% OF THE FEDERAL POVERTY LEVEL. UNINSURED INDIVIDUALS COMPRISE APPROXIMATELY 23% OF THE HOSPITAL'S COMMUNITY. THE MEMBERSHIP OF THH IS HELD BY TEXAS HEALTH RESOURCES (51%) AND ADVENTIST HEALTH SYSTEM/SUNBELT, INC. (49%), BOTH ORGANIZATIONS EXEMPT FROM FEDERAL INCOME TAX UNDER INTERNAL REVENUE CODE SECTION 501(C)(3).THE COMMUNITY HEALTH NEEDS ASSESSMENT (CHNA) CONDUCTED BY THE HOSPITAL WAS A COLLABORATIVE PROCESS, LED BY TEXAS HEALTH'S COMMUNITY HEALTH IMPROVEMENT DEPARTMENT AND ENTITY COMMUNITY ADVOCATES WITH SIGNIFICANT INPUT FROM TEXAS HEALTH'S COMMUNITY HEALTH ADVISORY COUNCIL. VAST AMOUNTS OF QUALITATIVE AND QUANTITATIVE DATA WERE COLLECTED, REFINED, AND ANALYZED. APPROXIMATELY 200 COMMUNITY MEMBERS PROVIDED INVALUABLE INFORMATION, DATA, AND FEEDBACK THROUGH INTERVIEWS. INFORMATION AND DATA WERE GATHERED FROM OPEN-ENDED DISCUSSIONS AIMED AT SOLICITING INPUT FROM INTERVIEW PARTICIPANTS, INCLUDING THOSE REPRESENTING THE MEDICALLY UNDERSERVED, LOW-INCOME AND MINORITY POPULATIONS IN THE HOSPITAL'S COMMUNITY, AND FROM A SURVEY INSTRUMENT. COMMUNITY REPRESENTATIVES INCLUDED, AMONG OTHERS, THE FOLLOWING ORGANIZATIONS/GOVERNMENT AGENCIES: THE CITY OF BURLESON, THE TEXAS DEPARTMENT OF STATE HEALTH SERVICES, THE BURLESON POLICE DEPARTMENT, AND THE SHORT FAMILY MEDICAL CENTER.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 5D: THE HOSPITAL HAS ADOPTED A POLICY THAT ADDRESSES THE PUBLIC POSTING REQUIREMENTS OF THE COMMUNITY HEALTH NEEDS ASSESSMENT. UNDER THIS POLICY, THE COMMUNITY HEALTH NEEDS ASSESSMENT REPORT MUST BE POSTED ON THE HOSPITAL'S WEBSITE BY THE END OF THE YEAR IN WHICH IT IS CONDUCTED. THE HOSPITAL WILL MAKE A COPY OF ITS COMMUNITY HEALTH NEEDS ASSESSMENT REPORT AVAILABLE UPON REQUEST. THE HOSPITAL WILL ALSO MAKE A PAPER COPY OF THE COMMUNITY HEALTH NEEDS ASSESSMENT REPORT AVAILABLE FOR PUBLIC INSPECTION AT THE HOSPITAL FACILITY.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 6I: AS A PART OF ITS COMMUNITY HEALTH NEEDS ASSESSMENT, THE FILING ORGANIZATION CONDUCTED AN EXTENSIVE AND THOROUGH ANALYSIS AND PRIORITIZATION OF ITS SIGNIFICANT IDENTIFIED HEALTH NEEDS. PLEASE SEE OUR DISCUSSION IN PART V, SECTION B, LINE 7.THE FILING ORGANIZATION ADOPTED ITS INITIAL COMMUNITY HEALTH NEEDS ASSESSMENT BY 12/31/13 AND WAS IN THE PROCESS OF DEVELOPING ITS COMMUNITY HEALTH NEEDS IMPLEMENTATION STRATEGY. THE FILING ORGANIZATION'S IMPLEMENTATION STRATEGY WILL BE DOCUMENTED IN A WRITTEN REPORT CALLED THE "COMMUNITY HEALTH PLAN". THE COMMUNITY HEALTH PLAN (CHP) WILL DESCRIBE HOW THE FILING ORGANIZATION PLANS TO MEET ITS IDENTIFIED PRIORITIZED HEALTH NEEDS OR WILL IDENTIFY THE HEALTH NEED AS ONE THE FILING ORGANIZATION DOES NOT INTEND TO SPECIFICALLY ADDRESS AND PROVIDE AN EXPLANATION AS TO WHY THE FILING ORGANIZATION DOES NOT INTEND TO ADDRESS THAT HEALTH NEED. IN ACCORDANCE WITH PROPOSED REGULATION SECTION 1.501(R)-3(E)(2), THE FILING ORGANIZATION'S CHP WILL BE ADOPTED NO LATER THAN MAY 15, 2014.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 7: AS NOTED IN OUR RESPONSE TO SCHEDULE H, PART V, SECTION B, LINE 3, SIGNIFICANT AMOUNTS OF QUANTITATIVE AND QUALITATIVE DATA WERE COLLECTED IN CONNECTION WITH TEXAS HEALTH HUGULEY, INC,'S (THH OR THE HOSPITAL) COMMUNITY HEALTH NEEDS ASSESSMENT (CHNA). THE IDENTIFICATION OF THE HOSPITAL COMMUNITY'S SIGNIFICANT HEALTH NEEDS WAS DRAWN FROM MORE THAN 90 DATA ELEMENTS. ALL DATA POINTS WERE PLACED INTO A MODEL WHICH OUTLINED ALL IDENTIFIED HEALTH ISSUES AND GROUPED THEM INTO SPECIFIC HEALTH CATEGORIES ADAPTED FROM THE HEALTHY PEOPLE 2020 CATEGORIES. THE COMMUNITY HEALTH ISSUES IDENTIFIED FOR THE HOSPITAL'S COMMUNITY WERE AS FOLLOWS: ACCESS: PROVIDER SUPPLY; AWARENESS, LITERACY, AND NAVIGATION; CANCER; CHRONIC DISEASE; INJURY AND VIOLENCE; MATERNAL, INFANT, AND CHILD HEALTH; MENTAL HEALTH; ORAL HEALTH; OTHER CLINICAL/PREVENTIVE; PREVENTIVE/WELLNESS; SOCIAL DETERMINANTS; TOBACCO USE; AND TRANSPORTATION. BASED UPON A COMPREHENSIVE ANALYSIS OF ALL IDENTIFIED HEALTH NEEDS, THE HOSPITAL IDENTIFIED AND APPROVED THE FOLLOWING TWO ISSUES TO ADDRESS DURING THIS CHNA PERIOD: CHRONIC DISEASE AND AWARENESS, LITERACY, AND NAVIGATION. THE REMAINING IDENTIFIED HEALTH NEEDS WERE NOT ADOPTED WITH RESPECT TO THE 2013 CHNA FOR THE REASONS AS NOTED BELOW:ACCESS: PROVIDER SUPPLY, MENTAL HEALTH, AND SOCIAL DETERMINANTS WERE NOT SELECTED DUE TO RESOURCE CONSTRAINTS.INJURY AND VIOLENCE, ORAL HEALTH, AND TRANSPORTATION WERE NOT SELECTED DUE TO LACK OF EXPERTISE.ACCESS: PROVIDER SUPPLY, MENTAL HEALTH, AND SOCIAL DETERMINANTS WERE NOT SELECTED DUE TO LACK OF EFFECTIVE INTERVENTIONS.CANCER, INJURY AND VIOLENCE, MATERNAL, INFANT, AND CHILD HEALTH, AND PREVENTIVE/WELLNESS WERE NOT CHOSEN AS TOP PRIORITIES AS THESE NEEDS ARE ALREADY BEING ADDRESSED IN THE HOSPITAL'S COMMUNITY.TOBACCO USE WAS GIVEN A LOW PRIORITY RANKING.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 14G: THE FILING ORGANIZATION HAS DEVELOPED A PATIENT-FRIENDLY SUMMARY VERSION OF ITS FINANCIAL ASSISTANCE POLICY (FAP). THE FILING ORGANIZATION'S FAP PROVIDES THAT ITS HOSPITAL FACILITY WILL POST THE PATIENT-FRIENDLY SUMMARY VERSION OF ITS FAP ON THE HOSPITAL'S WEBSITE. IN ADDITION, THE FAP OF THE HOSPITAL FACILITY STATES THAT SIGNAGE REGARDING THE AVAILABILITY OF THE HOSPITAL FACILITY'S FAP WILL BE VISIBLE AT POINTS OF ADMISSION AND REGISTRATION, INCLUDING THE EMERGENCY DEPARTMENT.
TEXAS HEALTH HUGULEY HOSPITAL	PART V, SECTION B, LINE 20D: IN DETERMINING THE MAXIMUM AMOUNT THAT CAN BE CHARGED TO FINANCIAL ASSISTANCE POLICY-ELIGIBLE INDIVIDUALS FOR EMERGENCY OR OTHER MEDICALLY NECESSARY CARE, THE HOSPITAL USES THE FOLLOWING METHODOLOGY:THE HOSPITAL IDENTIFIES ALL COMMERCIAL PAYORS THAT HAD ANY ACTIVITY WITH THE HOSPITAL DURING THE TAXABLE YEAR. FOR THOSE IDENTIFIED COMMERCIAL PAYORS, AN AVERAGE OF THE NEGOTIATED COMMERCIAL INSURANCE RATES IS DETERMINED. THE AVERAGE OF ALL OF THE NEGOTIATED COMMERCIAL INSURANCE RATES FOR THOSE IDENTIFIED COMMERCIAL PAYORS DETERMINES THE MAXIMUM AMOUNT THAT CAN BE CHARGED TO PATIENTS ELIGIBLE UNDER THE HOSPITAL'S FINANCIAL ASSISTANCE POLICY.

Schedule H (Form 990) 2013

Additional Data

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- 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
lBullet

Information about Schedule I (Form 990) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2013

Open to Public
Inspection

Name of the organization
TEXAS HEALTH HUGULEY INC

Employer identification number
45-2694620

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) SOUTHWESTERN ADVENTIST UNIVERSITY 100 W HILLCREST KEENE,TX76059	75-0891465	501(C)(3)	54,750	GENERAL SUPPORT
(2) BURLESON OPPORTUNITY FUND 141 W RENFRO BURLESON,TX76028	26-2998116	501(C)(3)	27,000	GENERAL SUPPORT
(3) BURLESON AREA CHAMBER OF COMMERCE 1044 SW WILSHIRE BLVD BURLESON,TX76028	75-1228140	501(C)(6)	8,750	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) 2013

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. Provide the information required in Part I, line 2, Part III, column (b), and any other additional information.

Return Reference

Explanation

PART I, LINE 2:

GRANTS ARE GENERALLY MADE ONLY TO AFFILIATED ORGANIZATIONS THAT ARE EXEMPT FROM FEDERAL INCOME TAX UNDER 501(C)(3) AND TO OTHER LOCAL CHARITABLE ORGANIZATIONS THAT ARE EXEMPT FROM FEDERAL INCOME TAX UNDER 501(C)(3). ACCORDINGLY, THE FILING ORGANIZATION HAS NOT ESTABLISHED SPECIFIC PROCEDURES FOR MONITORING THE USE OF GRANT FUNDS IN THE UNITED STATES AS THE FILING ORGANIZATION DOES NOT HAVE A GRANT MAKING PROGRAM THAT WOULD NECESSITATE SUCH PROCEDURES.

Schedule I (Form 990) 2013

Additional Data

Software ID:
Software Version:

- TIN:

Schedule J
(Form 990)

Department of the Treasury
Internal Revenue Service

Compensation Information

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

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

Attach to Form 990. SchJMediumBullet

See separate instructions.
SchJMediumBullet

Information about Schedule J (Form 990) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2013

Open to Public Inspection

Name of the organization

TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

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....

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

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) 2013

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)BARCLAY BERDANCHAIRMAN	(i) (ii)	0 646,567	0 410,936	0 160,959	0 19,125	0 21,972	0 1,259,559	0 0
(2)HAROLD BERENZWEIG MDDIRECTOR	(i) (ii)	0 435,277	0 164,154	0 77,328	0 19,125	0 17,532	0 713,416	0 0
(3)RONALD LONGDIRECTOR	(i) (ii)	0 557,041	0 351,331	0 116,120	0 15,300	0 24,376	0 1,064,168	0 0
(4)JOSEPH PROSSER MDDIRECTOR	(i) (ii)	0 361,207	0 92,805	0 45,203	0 26,250	0 14,748	0 540,213	0 0

Schedule J (Form 990) 2013

Page 3

Part III

Supplemental Information

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.

Return Reference

Explanation

PART I, LINE 3

THE INDIVIDUAL WHO SERVES AS THE CEO OF THE FILING ORGANIZATION IS COMPENSATED BY ADVENTIST HEALTH SYSTEM SUNBELT HEALTHCARE CORPORATION (AHSSHC) FOR THAT INDIVIDUAL'S ROLE IN SERVING AS THE CEO PURSUANT TO THE MANAGEMENT SERVICES AGREEMENT BETWEEN THE FILING ORGANIZATION AND AHSSHC. COMPENSATION AND BENEFITS PROVIDED TO THIS INDIVIDUAL ARE DETERMINED PURSUANT TO POLICIES, PROCEDURES, AND PROCESSES OF AHSSHC THAT ARE DESIGNED TO ENSURE COMPLIANCE WITH THE INTERMEDIATE SANCTIONS LAWS AS SET FORTH IN IRC SECTION 4958. AHSSHC HAS TAKEN STEPS TO ENSURE THAT PROCESSES ARE IN PLACE TO SATISFY THE REBUTTABLE PRESUMPTION OF REASONABLENESS STANDARD AS SET FORTH IN TREASURY REGULATION 53.4958-6 WITH RESPECT TO ITS ACTIVE EXECUTIVE-LEVEL POSITIONS. THE AHSSHC BOARD COMPENSATION COMMITTEE (THE COMMITTEE) SERVES AS THE GOVERNING BODY FOR ALL EXECUTIVE COMPENSATION MATTERS. THE COMMITTEE IS COMPOSED OF CERTAIN MEMBERS OF THE BOARD OF DIRECTORS (THE BOARD) OF AHSSHC. VOTING MEMBERS OF THE COMMITTEE INCLUDE ONLY INDIVIDUALS WHO SERVE ON THE BOARD AS INDEPENDENT REPRESENTATIVES OF THE COMMUNITY, WHO HOLD NO EMPLOYMENT POSITIONS WITH AHSSHC AND WHO DO NOT HAVE RELATIONSHIPS WITH ANY OF THE INDIVIDUALS WHOSE COMPENSATION IS UNDER THEIR REVIEW THAT IMPACTS THEIR BEST INDEPENDENT JUDGMENT AS FIDUCIARIES OF AHSSHC. THE COMMITTEE'S ROLE IS TO REVIEW AND APPROVE ALL COMPONENTS OF THE EXECUTIVE COMPENSATION PLAN OF AHSSHC. AS AN INDEPENDENT GOVERNING BODY WITH RESPECT TO EXECUTIVE COMPENSATION, IT SHOULD BE NOTED THAT THE COMMITTEE WILL OFTEN CONFER IN EXECUTIVE SESSIONS ON MATTERS OF COMPENSATION POLICY AND POLICY CHANGES. IN SUCH EXECUTIVE SESSIONS, NO MEMBERS OF MANAGEMENT OF AHSSHC ARE PRESENT. THE COMMITTEE IS ADVISED BY AN INDEPENDENT THIRD PARTY COMPENSATION ADVISOR. THIS ADVISOR PREPARES ALL THE BENCHMARK STUDIES FOR THE COMMITTEE. COMPENSATION LEVELS ARE BENCHMARKED WITH A NATIONAL PEER GROUP OF OTHER NOT-FOR-PROFIT HEALTHCARE SYSTEMS AND HOSPITALS OF SIMILAR SIZE AND COMPLEXITY TO AHS AND EACH OF ITS AFFILIATED ENTITIES. THE FOLLOWING PRINCIPLES GUIDE THE ESTABLISHMENT OF INDIVIDUAL EXECUTIVE COMPENSATION: - THE SALARY OF THE PRESIDENT/CEO OF AHS WILL NOT EXCEED THE 40TH PERCENTILE OF COMPARABLE SALARIES PAID BY SIMILARLY SITUATED ORGANIZATIONS; AND - OTHER EXECUTIVE SALARIES SHALL BE ESTABLISHED USING MARKET MEDIANS. THE COMPENSATION PHILOSOPHY, POLICIES, AND PRACTICES OF AHSSHC ARE CONSISTENT WITH THE ORGANIZATION'S FAITH-BASED MISSION AND CONFORM TO APPLICABLE LAWS, REGULATIONS, AND BUSINESS PRACTICES. AS A FAITH-BASED ORGANIZATION SPONSORED BY THE SEVENTH-DAY ADVENTIST CHURCH (THE CHURCH), AHSSHC'S PHILOSOPHY AND PRINCIPLES WITH RESPECT TO ITS EXECUTIVE COMPENSATION PRACTICES REFLECT THE CONSERVATIVE APPROACH OF THE CHURCH'S MISSION OF SERVICE AND WERE DEVELOPED IN COUNSEL WITH THE CHURCH'S LEADERSHIP.

PART I, LINE 4B

THE FILING ORGANIZATION IS 51% OWNED BY TEXAS HEALTH RESOURCES (THR). FOUR OF THE INDIVIDUALS LISTED ON PART VII AS BOARD MEMBERS (BARCLAY BERDAN, RONALD LONG, HAROLD BERENZWEIG, AND JOSEPH PROSSER) HOLD EXECUTIVE POSITIONS AND ARE ON THE PAYROLL OF THR. PARTICIPATION IN THR'S SUPPLEMENTAL NON-QUALIFIED RETIREMENT PLAN IS MADE AVAILABLE TO A SELECT GROUP OF MANAGEMENT AND HIGHLY COMPENSATED EMPLOYEES, AS DETERMINED BY THE THR BOARD OF TRUSTEES, WHO ARE PROVIDING SERVICES TO AN EMPLOYER IN KEY POSITIONS OF MANAGEMENT AND RESPONSIBILITY. BENEFITS ARE CALCULATED FOR ELIGIBLE EMPLOYEES WHEN BASE PAY AND INCENTIVES EXCEED THE IRS QUALIFIED PLAN COMPENSATION LIMIT. SERP BENEFITS VEST WHILE THE PARTICIPANT IS EMPLOYED IF THE PARTICIPANT: REACHES AGE 65, BECOMES DISABLED, DIES, OR REACHES THE FOLLOWING YEARS OF SERVICE: 2 YEARS - 25%; 3 YEARS -50%; 4 YEARS - 75%; AND 5 OR MORE - 100%. FOR FROZEN RESTORATION ACCOUNTS (ACCOUNT BALANCES PRIOR TO 1/1/2010), THE PARTICIPANT OR BENEFICIARY SHALL BE TAXED ON HIS OR HER VESTED SERP BENEFITS UPON THE EARLIEST OF: * REMAINING EMPLOYED BY THR TO AGE 68 * TERMINATION OF EMPLOYMENT FOR DISABILITY OR DEATH * INVOLUNTARY TERMINATION OF EMPLOYMENT WITHOUT REASONABLE CAUSE; OR * SATISFYING A 24 MONTH NON-COMPETE PERIOD FOLLOWING HIS OR HER TERMINATION OF EMPLOYMENT. PAYMENT IS MADE FOLLOWING THE BEFORE MENTIONED EVENTS, EXCEPT IN THE CASE OF INVOLUNTARY SEPARATIONS FOR WHICH THE PARTICIPANT MUST WAIT UNTIL AFTER 24 MONTHS TO RECEIVE THE PREVIOUSLY TAXED BENEFIT. FOR THE ACTIVE RESTORATION ACCOUNT (ACCOUNT BALANCES AFTER 12/31/2009) PARTICIPANTS MUST BE EMPLOYED ON DEC 1 TO QUALIFY FOR THE CURRENT YEAR'S SERP AMOUNT UNLESS SEPARATION IS DUE TO DEATH, DISABILITY, RETIREMENT (AGE 65) OR EARLY RETIREMENT (SEPARATION FROM SERVICE AT OR AFTER AGE 55 WITH 75 YEARS OF COMBINED AGE AND CONTINUOUS SERVICE WITH THE SYSTEM). SERP AMOUNTS ARE CALCULATED EACH DEC 1; VESTED BALANCES ARE TAXED; AND THE NET BALANCES CAN BEGIN ACCRUING EARNINGS. VESTED BALANCES ARE PAID IN CASH LUMP SUMS WITHIN THE 90 DAY PERIOD COMMENCING UPON THE EARLIER OF DEATH, DISABILITY, OR SEPARATION FROM SERVICE. THR OWNS ANY INVESTMENTS PURCHASED IN CONNECTION WITH ITS OBLIGATIONS UNDER THE SERP PLAN. IF THR BECOMES INSOLVENT, EXECUTIVES ARE UNSECURED CREDITORS AND WILL HAVE NO PREFERRED CLAIM TO ANY ASSETS.

Schedule J (Form 990) 2013

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE O
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Supplemental Information to Form 990 or 990-EZ

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

Attach to Form 990 or 990-EZ.
MediumBullet

Information about Schedule O (Form 990 or 990-EZ) and its instructions is at
www.irs.gov/form990.

OMB No. 1545-0047

2013

Open to Public
Inspection

Name of the organization

TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

Return Reference	Explanation
FORM 990, PART VI, SECTION A, LINE 1	THE MEMBERS OF THE BOARD OF DIRECTORS LISTED ON PART VII OF THIS FORM 990 INCLUDE THE FILING ORGANIZATION'S GOVERNING BOARD AND THE MEMBERS OF THE FILING ORGANIZATION'S HOSPITAL BOARD. THE HOSPITAL BOARD IS PRIMARILY RESPONSIBLE FOR MATTERS OF THE HOSPITAL INVOLVING THE OVERSIGHT OF MEDICAL STAFF (INCLUDING THE REVIEW AND APPROVAL OF MEDICAL STAFF BYLAWS, AND APPROVAL OF APPOINTMENTS TO AND DISMISSALS FROM THE MEDICAL STAFF), CARE OF PATIENTS, IMPROVEMENTS TO LAND, BUILDINGS AND EQUIPMENT, QUALITY ASSESSMENT AND IMPROVEMENT PROGRAMS IMPLEMENTED AT THE HOSPITAL AND RISK MANAGEMENT FUNCTIONS.
FORM 990, PART VI, SECTION A, LINE 2	RON LONG AND BARCLAY BERDAN - BUSINESS RELATIONSHIP BARCLAY BERDAN AND JOE PROSSER, MD - BUSINESS RELATIONSHIP BARCLAY BERDAN AND HAROLD BERENZWEIG, MD - BUSINESS RELATIONSHIP
FORM 990, PART VI, SECTION A, LINE 3	EFFECTIVE JANUARY 1, 2012, TEXAS HEALTH HUGULEY, INC. (THE FILING ORGANIZATION) ENTERED INTO A MANAGEMENT SERVICES AGREEMENT WITH ADVENTIST HEALTH SYSTEM SUNBELT HEALTHCARE CORPORATION (AHSSHC). AHSSHC IS THE PARENT ORGANIZATION OF A SYSTEM OF TAX-EXEMPT HOSPITALS AND OTHER HEALTH CARE PROVIDER ORGANIZATIONS THAT OPERATE 44 HOSPITALS IN 10 STATES. AHSSHC IS EXEMPT FROM FEDERAL INCOME TAX UNDER INTERNAL REVENUE CODE SECTION 501(C)(3). A 501(C)(3) SUBSIDIARY HOSPITAL ORGANIZATION OF AHSSHC, ADVENTIST HEALTH SYSTEM/SUNBELT, INC. (AHSSI), OWNS A 49% MEMBER INTEREST IN THE FILING ORGANIZATION. UNDER THE MANAGEMENT SERVICES AGREEMENT (THE AGREEMENT), AHSSHC MUST FOLLOW THE POLICIES OF THE FILING ORGANIZATION'S BOARD OF DIRECTORS. MANAGERIAL SERVICES PROVIDED BY AHSSHC INCLUDED OVERSIGHT AND DAY TO DAY MANAGEMENT OF THE FILING ORGANIZATION'S HOSPITAL, INCLUDING THE FOLLOWING FUNCTIONS: PERSONNEL ADMINISTRATION, INCLUDING RECRUITMENT, HIRING, TRAINING, PROMOTING, DIRECTING AND TERMINATING PERSONNEL; PROCUREMENT, INCLUDING THE ACQUISITION OF FOOD AND BEVERAGE ITEMS, SUPPLIES, DEVICES, FURNITURE, AND MEDICAL EQUIPMENT; HEALTH INFORMATION MANAGEMENT; MAINTENANCE AND SECURITY; CONTRACTING FOR SERVICES AND CONSULTING SERVICES; FINANCIAL ACCOUNTING SYSTEMS; DEVELOPMENT OF OPERATIONAL AND CAPITAL BUDGETS; BILLING AND COLLECTION OF RECEIVABLES AND REMITTANCES OF PAYABLES; PATIENT SAFETY AND QUALITY SYSTEMS; MARKETING; REGULATORY COMPLIANCE; ADMINISTRATION POLICIES AND PROCEDURES, INCLUDING APPOINTMENT OF THE CFO, COO, AND CNO. THE INDIVIDUALS WHO SERVE AS OFFICERS OF THE FILING ORGANIZATION IN THE ROLES OF CEO AND CFO ARE LISTED IN PART VII, SECTION A. IN 2013, THESE INDIVIDUALS WERE COMPENSATED BY AND ON THE PAYROLL OF AHSSHC FOR SERVICES RENDERED TO THE FILING ORGANIZATION. THE 2013 REPORTABLE AND OTHER COMPENSATION OF THESE TWO INDIVIDUALS IS AS FOLLOWS: KENNETH FINCH: 2013 REPORTABLE COMPENSATION - $839,062 2013 OTHER COMPENSATION - $118,441 PENNY JOHNSON: 2013 REPORTABLE COMPENSATION - $372,017 2013 OTHER COMPENSATION - $71,735.
FORM 990, PART VI, SECTION A, LINE 6	THE ARTICLES OF INCORPORATION OF THE FILING ORGANIZATION PROVIDE THAT 51% OF THE MEMBERSHIP IN THE FILING ORGANIZATION SHALL BE HELD BY TEXAS HEALTH RESOURCES, THE SOLE CLASS A MEMBER, AND 49% OF THE MEMBERSHIP IN THE FILING ORGANIZATION SHALL BE HELD BY ADVENTIST HEALTH SYSTEM/SUNBELT, INC. (AHSSI), THE SOLE CLASS B MEMBER. BOTH AHSSI AND THR ARE EXEMPT FROM FEDERAL INCOME TAX UNDER INTERNAL REVENUE CODE (IRC) SECTION 501(C)(3). THERE ARE NO OTHER CLASSES OF MEMBERSHIP IN THH.
FORM 990, PART VI, SECTION A, LINE 7A	THE MEMBERS OF THE BOARD OF DIRECTORS (GOVERNING BOARD) OF THE FILING ORGANIZATION ARE APPOINTED BY THR (MAJORITY MEMBER) AND AHSSI (MINORITY MEMBER). THE MAJORITY MEMBER IS ENTITLED TO ELECT THREE DIRECTORS TO THE BOARD OF THE FILING ORGANIZATION AND THE MINORITY MEMBER IS ENTITLED TO ELECT TWO DIRECTORS TO THE BOARD. IN ADDITION, THE MEMBERSHIP SHALL APPOINT FOR THE HOSPITAL A COMMUNITY HOSPITAL BOARD TO OVERSEE THE OPERATIONS OF THE HOSPITAL.
FORM 990, PART VI, SECTION A, LINE 7B	CERTAIN GOVERNANCE POWERS ARE RESERVED TO THE MEMBERS OF THE FILING ORGANIZATION. THE GOVERNING DOCUMENTS OF THE FILING ORGANIZATION DESCRIBE THOSE MATTERS REQUIRING ONLY AN AFFIRMITIVE VOTE OF THE CLASS A MEMBER (THR), THOSE MATTERS REQUIRING ONLY AN AFFIRMATIVE VOTE OF THE CLASS B MEMBER (AHSSI) AND THOSE MATTERS REQUIRING A SUPERMAJORITY VOTE OF THE MEMBERS. A SUPERMAJORITY VOTE REQUIRES AN AFFIRMATIVE VOTE OF NOT LESS THAN 52% OF THE OUTSTANDING MEMBERSHIP INTERESTS. THE RESERVED POWERS REQUIRING AN AFFIRMATIVE VOTE OF ONLY THE CLASS A MEMBER, THR, INCLUDE THE FOLLOWING: 1) TO APPROVE OR AMEND MANAGED CARE CONTRACTS TO WHICH THE FILING ORGANIZATION IS A PARTICIPATING PROVIDER; 2) TO APPROVE THE STRATEGIC PLANS OF THE FILING ORGANIZATION; 3) TO APPROVE THE ANNUAL OPERATING PLANS AND OPERATING AND CAPITAL BUDGET OF THE FILING ORGANIZATION; AND 4) TO APPROVE THE SELECTION, REMOVAL AND/OR MODIFICATION OF THE AUTHORITY AND RESPONSIBILITIES OF LAWYERS, ACCOUNTANTS AND OTHER ADVISORS AND CONSULTANTS TO THE FILING ORGANIZATION THAT ARE NOT OTHERWISE IDENTIFIED IN THE APPROVED ANNUAL OPERATING BUDGET. THE RESERVED POWERS REQUIRING AN AFFIRMATIVE VOTE OF ONLY THE CLASS B MEMBER, AHSSI, INCLUDE THE FOLLOWING: 1) TO APPROVE CHANGES TO THE MISSION, VISION, OR VALUES OF THE HOSPITAL; 2) TO APPROVE CHANGES TO RELIGIOUS AFFILIATION OF HOSPITAL; AND 3) TO APPROVE CHANGES TO OPERATIONAL POLICIES, PLANS, PROCEDURES THAT ARE SPECIFICALLY RELATED TO THE HOSPITAL'S RELIGIOUS AFFILIATION WITH THE SEVENTH-DAY ADVENTIST CHURCH. BOTH THR, THE MAJORITY MEMBER, AND AHSSI, THE MINORITY MEMBER HAVE THE RESERVED POWER TO TERMINATE THE APPOINTMENT OF THE INDIVIDUAL HOLDING THE OFFICE OF PRESIDENT/CEO. THE FOLLOWING MATTERS REQUIRE A SUPERMAJORITY VOTE OF THE MEMBERSHIP: 1) TO AMEND THE ARTICLES OF INCORPORATION OR BYLAWS; 2) TO CHANGE THE NAME OF THE HOSPITAL; 3) TO ADD NEW CORPORATE MEMBERS OF THE FILING ORGANIZATION; 4) TO APPOINT AND REMOVE THE HOSPITAL BOARD; 5) TO APPROVE DISTRIBUTIONS OF CASH AND OTHER PROPERTY; 6) TO APPROVE THE BORROWING OF MONEY OR OTHERWISE COMMITTING THE CREDIT OF THE FILING ORGANIZATION FOR CORPORATE ACTIVITIES, AND THE VOLUNTARY PREPAYMENT OR EXTENSION OF DEBT IN EXCESS OF $200,000; 7) TO ADOPT AND THEREAFTER AMEND QUALITY AND/OR RISK MANAGEMENT PLANS; 8) TO APPROVE THE TRANSFER OF CORPORATE PROPERTY HAVING A VALUE IN EXCESS OF $500,000; 9) TO APPROVE ANY SALE, LEASE, TRANSFER, MERGER OR CONSOLIDATION OF THE FILING ORGANIZATION WITH A THIRD PARTY; 10) TO DISSOLVE THE FILING ORGANIZATION; 11) TO APPROVE THE FORMATION OF ANY SUBSIDIARY OF THE FILING ORGANIZATION OR APPROVE THE FILING ORGANIZATION ENTERING INTO ANY AFFILIATION OR JOINT VENTURE AGREEMENT; AND 12) TO APPROVE ANY SINGLE CAPITAL BUDGET ITEM OF $1,000,000 (OR MORE).
FORM 990, PART VI, SECTION B, LINE 11	THE FILING ORGANIZATION'S CURRENT YEAR FORM 990 WAS REVIEWED BY THE CEO, CFO, BOARD VICE CHAIRMAN, AND TREASURER PRIOR TO ITS FILING WITH THE IRS. THE REVIEW CONDUCTED BY THESE INDIVIDUALS DID NOT INCLUDE THE REVIEW OF ANY SUPPORTING WORKPAPERS THAT WERE USED IN PREPARATION OF THE CURRENT YEAR FORM 990, BUT DID INCLUDE A REVIEW OF THE ENTIRE FORM 990 AND ALL SUPPORTING SCHEDULES.
FORM 990, PART VI, SECTION B, LINE 12C	THE CONFLICT OF INTEREST POLICY OF THE FILING ORGANIZATION APPLIES TO MEMBERS OF ITS BOARD OF DIRECTORS AND ITS PRINCIPAL OFFICERS (TO BE KNOWN AS INTERESTED PERSONS). IN CONNECTION WITH ANY ACTUAL OR POSSIBLE CONFLICT OF INTERESTS, ANY MEMBER OF THE BOARD OF DIRECTORS OF THE FILING ORGANIZATION OR ANY PRINCIPAL OFFICER OF THE FILING ORGANIZATION (I.E. INTERESTED PERSONS) MUST DISCLOSE THE EXISTENCE OF ANY FINANCIAL INTEREST WITH THE FILING ORGANIZATION AND MUST BE GIVEN THE OPPORTUNITY TO DISCLOSE ALL MATERIAL FACTS CONCERNING THE FINANCIAL INTEREST/ARRANGEMENT TO THE BOARD OF DIRECTORS OF THE FILING ORGANIZATION OR TO ANY MEMBERS OF A COMMITTEE WITH BOARD DELEGATED POWERS THAT IS CONSIDERING THE PROPOSED TRANSACTION OR ARRANGEMENT. SUBSEQUENT TO ANY DISCLOSURE OF ANY FINANCIAL INTEREST/ARRANGEMENT AND ALL MATERIAL FACTS, AND AFTER ANY DISCUSSION WITH THE RELEVANT BOARD MEMBER OR PRINCIPAL OFFICER, THE REMAINING MEMBERS OF THE BOARD OF DIRECTORS OR COMMITTEE WITH BOARD DELEGATED POWERS SHALL DISCUSS, ANALYZE, AND VOTE UPON THE POTENTIAL FINANCIAL INTEREST/ARRANGEMENT TO DETERMINE IF A CONFLICT OF INTEREST EXISTS. ACCORDING TO THE FILING ORGANIZATION'S CONFLICT OF INTEREST POLICY, AN INTERESTED PERSON MAY MAKE A PRESENTATION TO THE BOARD OF DIRECTORS (OR COMMITTEE WITH BOARD DELEGATED POWERS), BUT AFTER SUCH PRESENTATION, SHALL LEAVE THE MEETING DURING THE DISCUSSION OF, AND THE VOTE ON, THE TRANSACTION OR ARRANGEMENT THAT RESULTS IN A CONFLICT OF INTEREST. EACH INTERESTED PERSON, AS DEFINED UNDER THE FILING ORGANIZATION'S CONFLICT OF INTEREST POLICY, SHALL ANNUALLY SIGN A STATEMENT WHICH AFFIRMS THAT SUCH PERSON HAS RECEIVED A COPY OF THE CONFLICT OF INTERESTS POLICY, HAS READ AND UNDERSTANDS THE POLICY, HAS AGREED TO COMPLY WITH THE POLICY, AND UNDERSTANDS THAT THE FILING ORGANIZATION IS A CHARITABLE ORGANIZATION THAT MUST PRIMARILY ENGAGE IN ACTIVITIES WHICH ACCOMPLISH ONE OR MORE OF ITS EXEMPT PURPOSES. THE FILING ORGANIZATION'S CONFLICT OF INTEREST POLICY ALSO REQUIRES THAT PERIODIC REVIEWS SHALL BE CONDUCTED TO ENSURE THAT THE FILING ORGANIZATION OPERATES IN A MANNER CONSISTENT WITH ITS CHARITABLE PURPOSES.
FORM 990, PART VI, SECTION C, LINE 19	THE FINANCIAL STATEMENTS OF THE FILING ORGANIZATION, ITS GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE NOT GENERALLY MADE AVAILABLE TO THE PUBLIC AS A WHOLE.
PART VII, SECTION A, COLUMN (B)	FOR THOSE BOARD OF DIRECTOR MEMBERS WHO DEVOTE LESS THAN FULL-TIME TO THE FILING ORGANIZATION (BASED UPON THE AVERAGE NUMBER OF HOURS PER WEEK SHOWN IN COLUMN (B) ON PAGE 7 OF THE RETURN) THE COMPENSATION AMOUNTS SHOWN IN COLUMNS (E) AND (F) ON PAGE 7 WERE PROVIDED IN CONJUNCTION WITH THAT PERSON'S RESPONSIBILITIES AND ROLES IN SERVING IN AN EXECUTIVE LEADERSHIP POSITION WITHIN THR.
FORM 990, PART IX, LINE 11G	PAYMENTS TO HEALTHCARE PROFESSIONAL : PROGRAM SERVICE EXPENSES 7,192,240. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 7,192,240. PROFESSIONAL FEES : PROGRAM SERVICE EXPENSES 579,811. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 579,811. PURCHASED MEDICAL SERVICES : PROGRAM SERVICE EXPENSES 2,406,031. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 2,406,031. ENVIRONMENTAL SERVICES : PROGRAM SERVICE EXPENSES 1,085,879. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 1,085,879. TRANSCRIPTION SERVICES : PROGRAM SERVICE EXPENSES 256,398. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 256,398. RECRUITING : PROGRAM SERVICE EXPENSES 107,139. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 107,139. MISCELLANEOUS PURCHASED SERVICES : PROGRAM SERVICE EXPENSES 4,742,597. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 4,742,597. BILLING & COLLECTION SERVICES : PROGRAM SERVICE EXPENSES 0. MANAGEMENT AND GENERAL EXPENSES 720,448. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 720,448. LEASED PERSONNEL : PROGRAM SERVICE EXPENSES 72,317,684. MANAGEMENT AND GENERAL EXPENSES 1,742,621. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 74,060,305.
FORM 990, PART XI, LINE 9:	CONTRIBUTION TO SUBSIDIARY -2,995,686. RESTRICTED GIFTS AND GRANTS 150,835. INVESTMENT INCOME - RESTRICTED FUNDS 33,228. TRANSFER FROM RESTRICTED TO OPERATING -12,014.

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

Cat. No. 51056K

Schedule O (Form 990 or 990-EZ) 2013

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE R
(Form 990)

Department of the Treasury
Internal Revenue Service

Related Organizations and Unrelated Partnerships

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

Attach to Form 990. MediumBullet

See separate instructions.
MediumBullet

Information about Schedule R (Form 990) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2013

Open to Public Inspection

Name of the organization

TEXAS HEALTH HUGULEY INC

Employer identification number

45-2694620

Part I

Identification of Disregarded Entities Complete if the organization answered "Yes" on 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

Part II

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

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Exempt Code section	(e) Public charity status (if section 501(c)(3))	(f) Direct controlling entity	(g) Section 512(b)(13) controlled 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) HARRIS METHODIST HEALTH SYSTEM 612 E LAMAR BLVD ARLINGTON,TX76011 75-1823547	SUPPORT ORG.	TX	501(C)(3)	11 TYPE 1	N/A		No
(2) JOHNSON COUNTY COMMUNITY CARE CORPORATION 612 E LAMAR BLVD ARLINGTON,TX76011 45-2793120	SUPPORT ORG.	TX	501(C)(3)	11 TYPE 1	TH CLEBURNE		No
(3) NORTH TEXAS HEALTHY COMMUNITIES 612 E LAMAR BLVD ARLINGTON,TX76012 46-4513182	COMM SUPPORT	TX	501(C)(3)	7	TH RESOURCES		No
(4) PRESBYTERIAN HEALTHCARE RESOURCES 612 E LAMAR BLVD ARLINGTON,TX76011 51-0190395	SUPPORT ORG.	TX	501(C)(3)	11 III FI	N/A		No
(5) TEXAS HEALTH ARLINGTON MEMORIAL HOSPITAL 800 WEST RANDOL MILL RD ARLINGTON,TX76012 75-0972805	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(6) TEXAS HEALTH HARRIS METHODIST FOUNDATION 612 E LAMAR BLVD ARLINGTON,TX76011 75-2401033	FUNDRAISING	TX	501(C)(3)	9	TH RESOURCES		No
(7) TEXAS HEALTH HARRIS METHODIST HOSPITAL ALLIANCE 10864 TEXAS HEALTH TRAIL FORT WORTH,TX76244 45-1502252	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(8) TEXAS HEALTH HARRIS METHODIST HOSPITAL AZLE 108 DENVER TRAIL AZLE,TX76020 75-1748586	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(9) TEXAS HEALTH HARRIS METHODIST HOSPITAL CLEBURNE 201 WALLS DR CLEBURNE,TX76033 75-1977850	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(10) TEXAS HEALTH HARRIS METHODIST HOSPITAL FORT WORTH 1301 PENNSYLVANIA AVE FORT WORTH,TX76104 75-6001743	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(11) TEXAS HEALTH HARRIS METHODIST HOSPITAL HURST-EULESS-BEDFORD 1600 HOSPITAL PARKWAY BEDFORD,TX76022 75-1438726	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(12) TEXAS HEALTH HARRIS METHODIST HOSPITAL SOUTHWEST FORT WORTH 6100 HOSPITAL PARKWAY FORT WORTH,TX76132 75-2678857	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(13) TEXAS HEALTH HARRIS METHODIST HOSPITAL STEPHENVILLE 411 BELKNAP STEPHENVILLE,TX76401 75-1752253	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(14) TEXAS HEALTH HUGULEY INC 111 NORTH ORLANDO AVE WINTER PARK,FL32789 45-2694620	HOSPITAL	FL	501(C)(3)	3	TH RESOURCES		No
(15) TEXAS HEALTH OUTPATIENT SURGERY CENTER ALLIANCE 10840 TEXAS HEALTH TRAIL FORT WORTH,TX76244 80-0800294	HOSPITAL	TX	501(C)(3)	3	TH ALLIANCE		No
(16) TEXAS HEALTH PHYSICIANS GROUP 9229 LBJ FREEWAY DALLAS,TX75243 75-2613493	PHYS. CLINIC	TX	501(C)(3)	9	TH RESOURCES		No
(17) TEXAS HEALTH RESOURCES FOUNDATION 612 E LAMAR BLVD ARLINGTON,TX76011 75-2022128	FUNDRAISING	TX	501(C)(3)	9	TH RESOURCES		No
(18) TEXAS HEALTH PRESBYTERIAN HOSPITAL ALLEN 1105 CENTRAL EXPRESSWAY N ALLEN,TX75013 75-2890358	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(19) TEXAS HEALTH PRESBYTERIAN HOSPITAL DALLAS 8200 WALNUT HILL LN DALLAS,TX75231 75-1047527	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(20) TEXAS HEALTH PRESBYTERIAN HOSPITAL DENTON 3000 NORTH INTERSTATE 35 DENTON,TX76201 43-2008974	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(21) TEXAS HEALTH PRESBYTERIAN HOSPITAL KAUFMAN 850 ED HALL DRIVE KAUFMAN,TX75142 75-2771437	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(22) TEXAS HEALTH PRESBYTERIAN HOSPITAL PLANO 6200 W PARKER RD PLANO,TX75093 75-2770738	HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(23) TEXAS HEALTH RESEARCH & EDUCATION INSTITUTE 612 E LAMAR BLVD ARLINGTON,TX76011 75-2562191	EDU& RESEARCH	TX	501(C)(3)	4	TH RESOURCES		No
(24) TEXAS HEALTH RESOURCES 612 E LAMAR BLVD ARLINGTON,TX76011 75-2702388	MGMT SUPP ORG.	TX	501(C)(3)	11 III FI	N/A		No
(25) TEXAS HEALTH RESOURCES SELF-INSURANCE TRUST 612 E LAMAR BLVD ARLINGTON,TX76011 75-6335901	INSUR TRUST	TX	501(C)(3)	11 III FI	TH RESOURCES		No
(26) TEXAS HEALTH SPECIALTY HOSPITAL FORT WORTH 1301 PENNSYLVANIA AVE FORT WORTH,TX76104 75-1648589	LT HOSPITAL	TX	501(C)(3)	3	TH RESOURCES		No
(27) WW WARD ENDOWMENT FUND TRUST 612 E LAMAR BLVD ARLINGTON,TX76011 75-6196065	SUPPORT ORG.	TX	501(C)(3)	11 TYPE 1	TH FT WORTH		No

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

Cat. No. 50135Y

Schedule R (Form 990) 2013

Page 2

Part III

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

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(f) Share of total income	(g) Share of end-of-year assets	(h) Disproprtionate allocations?		(i) Code V-UBI amount in box 20 of Schedule K-1 (Form 1065)	(j) General or managing partner?
(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(f) Share of total income	(g) Share of end-of-year assets	Yes	No	(i) Code V-UBI amount in box 20 of Schedule K-1 (Form 1065)	Yes	No
(1) AMH CATH LABS LLC 811 WRIGHT ST ARLINGTON,TX76012 20-3003947	HOSPITAL	TX	N/A
(2) CLEBURNE IMAGING LLC 6301 ABRAMS ROAD STE 131 DALLAS,TX75231 46-0767278	OUTPATIENT DIAGNOSTIC IMAGING CTR	TX	N/A
(3) CLEBURNE SURGICAL CENTER LLC 2010 W KATHERINE P RAINES BLVD STE CLEBURNE,TX76033 20-3742012	AMB SURG CTR	TX	N/A
(4) DENTON SURGERY CENTER LLC 3000 RIVERCHASE GALLERIA STE 500 BIRMINGHAM,AL35244 47-0926556	AMB SURG CTR	TX	N/A
(5) FLOWER MOUND HOSPITAL PARTNERS LLC 612 E LAMAR BLVD STE 600 ARLINGTON,TX76011 26-0684968	HOSPITAL	TX	N/A
(6) GREENVILLE SURGERY CENTER LLC 3000 RIVERCHASE GALLERIA STE 500 BIRMINGHAM,AL35244 74-2411643	AMB SURG CTR	TX	N/A
(7) HEALTH IMAGING PARTNERS LLC 8610 EXPLORER DRIVE STE 300 COLORADO SPRINGS,CO80920 27-1385885	OUTPATIENT DIAGNOSTIC IMAGING CTR	TX	N/A
(8) PHYSICIAN MEDICAL CENTER LLC 612 E LAMAR BLVD 6TH FLR ARLINGTON,TX76011 48-1281376	HOSPITAL	TX	N/A
(9) PRESBYTERIAN CANCER CENTER-DALLAS LLC 1220 SENLAC DRIVE 2ND FLR CARROLLTON,TX75006 26-0422749	MEDICAL MGMT	TX	N/A
(10) ROCKWALL REGIONAL HOSPITAL LLC 612 E LAMAR BLVD 6TH FLR ARLINGTON,TX76011 20-2848116	HOSPITAL	TX	N/A
(11) SHERMANGRAYSON HEALTHCARE SYSTEM LLC 2400 DALLAS PKWY PLANO,TX75093 27-2025497	HOSPITAL	TX	N/A
(12) SOUTHLAKE SPECIALTY HOSPITAL LLC 612 E LAMAR BLVD 6TH FLR ARLINGTON,TX76011 02-0555370	HOSPITAL	TX	N/A
(13) SURGICAL CAREGIVERS OF FORT WORTH LLC 3000 RIVERCHASE GALLERIA STE 500 BIRMINGHAM,AL35244 75-1925497	AMB SURG CTR	TX	N/A
(14) TEXAS HEALTH CRAIG RANCH SURGERY CENTER LLC 8080 STATE HWY 121 STE 100 MCKINNEY,TX75070 38-3897811	AMB SURG CTR	TX	N/A
(15) TEXAS HEALTH FLOWER MOUND ORTHOPEDIC SURGERY CENTER LLC 5000 LONG PRAIRIE ROAD FLOWER MOUND,TX75028 80-0866449	AMB SURG CTR	TX	N/A
(16) TEXAS HEALTH MEDSYNERGIES LLC 909 HIDDEN RIDGE STE 300 IRVING,TX75038 80-0272951	MGMT SERVICES	TX	N/A
(17) TEXAS INSTITUTE FOR SURGERY LLP 7715 GREENVILLE AVE STE 100 DALLAS,TX75231 77-0628004	HOSPITAL	TX	N/A
(18) THR-STT ROCKWALL ASC LLC 1545 E SOUTHLAKE BLVD SOUTHLAKE,TX76092 26-2429878	AMB SURG CTR	TX	N/A
(19) THR-STT SOUTHLAKE ASC LLC 1545 E SOUTHLAKE BLVD SOUTHLAKE,TX76092 20-1728912	AMB SURG CTR	TX	N/A
(20) USMD HOSPITAL AT ARLINGTON LP 801 I -20 WEST ARLINGTON,TX76017 73-1662763	HOSPITAL	TX	N/A
(21) USMD HOSPITAL AT FORT WORTH LP 6333 NORTH STATE HWY 161 STE 200 IRVING,TX75038 20-3571243	HOSPITAL	TX	N/A
(22) WOMEN'S SPECIALTY SURGERY CENTER 8230 WALNUT HILL LN STE 101 DALLAS,TX75231 26-2310072	AMB SURG CTR	TX	N/A

Part IV

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

(a) Name, address, and EIN of related organization	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Direct controlling entity	(e) Type of entity (C corp, S corp, or trust)	(f) Share of total income	(g) Share of end-of-year assets	(h) Percentage ownership	(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
(1) AMH HEALTH VENTURES INC 800 W RANDOL MILL ROAD ARLINGTON,TX76012 75-2141114	COMP/BILLING SVC	TX	N/A	C					No
(2) FORT WORTH SURGICAL CARE GIVERS INC 3000 RIVERCHASE GALLERIA STE 500 BIRMINGHAM,AL35244 62-1204446	HOLDING CO	TX	N/A	C					No
(3) GREENVILLE SURGERY CENTER INC 3000 RIVERCHASE GALLERIA STE 500 BIRMINGHAM,AL35244 75-2123689	HOLDING CO	TX	N/A	C					No
(4) TEXAS HEALTH BIOMEDICAL ADVANCEMENT CENTER INC 612 E LAMAR BLVD ARLINGTON,TX76011 75-2636884	RESEARCH	TX	N/A	C					No
(5) TEXAS HEALTH RESOURCES CASUALTY COMPANY 612 E LAMAR BLVD ARLINGTON,TX76011 03-0310676	INSURANCE	VT	N/A	C					No
(6) CHARITABLE REMAINDER TRUSTS (4) 612 E LAMAR BLVD ARLINGTON,TX76011	CR TRUST	TX	N/A	T					No
(7) HUGULEY MEDICAL ASSOCIATES INC 11801 SOUTH FREEWAY BURLESON,TX76028 75-2547668	PHYSICIAN CLINICS	TX	TEXAS HEALTH HUGULEY INC	C	13,283,372	1,137,373	100.000 %	Yes

Schedule R (Form 990) 2013

Page 3

Part V

Transactions With Related Organizations Complete if the organization answered "Yes" on 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 . . . . . . . . . . . . . . . . . . . . . . .

Yes

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

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

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

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

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

Yes

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

Yes

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

Yes

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

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

Yes

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 related organization	(b) Transaction type (a-s)	(c) Amount involved	(d) Method of determining amount involved
(1) HUGULEY MEDICAL ASSOCIATES INC	A	593,926	FMV INTEREST RATE
(2) HUGULEY MEDICAL ASSOCIATES INC	P	890,982	COST
(3) HUGULEY MEDICAL ASSOCIATES INC	R	2,995,686	ACTUAL AMOUNT TRANSFERRED
(4) HUGULEY MEDICAL ASSOCIATES INC	O	188,317	COST
(5) TEXAS HEALTH RESOURCES	P	2,678,372	COST
(6) TEXAS HEALTH RESOURCES	N	7,006,841	COST

Schedule R (Form 990) 2013

Page 4

Part VI

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

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

(a) Name, address, and EIN of entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	(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 V?UBI 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 V?UBI amount in box 20 of Schedule K-1 (Form 1065)	Yes	No

Schedule R (Form 990) 2013

Page 5

Part VII

Supplemental Information

Provide additional information for responses to questions on Schedule R (see instructions).

Return Reference	Explanation

Schedule R (Form 990) 2013

Additional Data

Software ID:
Software Version:

1	Briefly describe the organization’s mission or most significant activities: THE PROVISION OF MEDICAL CARE TO THE COMMUNITY THROUGH THE OPERATION OF A 223 BED HOSPITAL.
2	Check this box
3	Number of voting members of the governing body (Part VI, line 1a) ........	3	12
4	Number of independent voting members of the governing body (Part VI, line 1b) .....	4	6
5	Total number of individuals employed in calendar year 2013 (Part V, line 2a) ......	5	0
6	Total number of volunteers (estimate if necessary) .............	6	166
7a	Total unrelated business revenue from Part VIII, column (C), line 12 ........	7a	350,042
b	Net unrelated business taxable income from Form 990-T, line 34 .........	7b	-34,702

		Prior Year	Current Year
8	Contributions and grants (Part VIII, line 1h) .........	163,688	32,899
9	Program service revenue (Part VIII, line 2g) .........	99,381,899	172,459,086
10	Investment income (Part VIII, column (A), lines 3, 4, and 7d ) ....	134,425	505,865
11	Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)	604,841	1,107,256
12	Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)...................	100,284,853	174,105,106
13	Grants and similar amounts paid (Part IX, column (A), lines 1–3 )...	20,000	90,500
14	Benefits paid to or for members (Part IX, column (A), line 4).....	0	0
15	Salaries, other compensation, employee benefits (Part IX, column (A), lines 5–10)	45,387,821	21,724
16a	Professional fundraising fees (Part IX, column (A), line 11e).....	0	0
b	Total fundraising expenses (Part IX, column (D), line 25) 0
17	Other expenses (Part IX, column (A), lines 11a–11d, 11f–24e)....	46,904,462	147,628,362
18	Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25)	92,312,283	147,740,586
19	Revenue less expenses. Subtract line 18 from line 12.......	7,972,570	26,364,520
		Beginning of Current Year	End of Year
20	Total assets (Part X, line 16).............	97,618,436	116,622,448
21	Total liabilities (Part X, line 26).............	24,629,588	19,932,066
22	Net assets or fund balances. Subtract line 21 from line 20.....	72,988,848	96,690,382

Sign Here

	Signature of officer	Date

	Type or print name and title


4a	(Code: ) (Expenses $ 140,879,543 including grants of $ 90,500 ) (Revenue $ 173,201,616 )
	OPERATION OF ACUTE CARE HOSPITAL TOTALING 223 BEDS WITH 9,325 PATIENT ADMISSIONS, 39,559 PATIENT DAYS, AND 126,630 OUTPATIENT VISITS IN THE CURRENT YEAR.

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












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












4d	Other program services (Describe in Schedule O.)
	(Expenses $ including grants of $ ) (Revenue $ )
4e	Total program service expenses140,879,543

(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)		(D) Reportable compensation from the organization (W- 2/1099-MISC)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)	(F) Estimated amount of other compensation from the organization and related organizations
(A) Name and Title
(1) BARCLAY BERDAN........................................................................ CHAIRMAN	.20 .......................50.00	X		0	1,218,462	41,097
(2) RICHARD REINER........................................................................ VICE CHAIRMAN	.20 .......................0.00	X		0	0	0
(3) ERIC ANDERSON PHD........................................................................ DIRECTOR	.20 .......................0.00	X		0	0	0
(4) HAROLD BERENZWEIG MD........................................................................ DIRECTOR	.20 .......................50.00	X		0	676,759	36,657
(5) HENRY CUNNINGHAM MD........................................................................ DIRECTOR	.80 .......................0.00	X		4,857	0	0
(6) BRENDA GAMMON........................................................................ DIRECTOR	.20 .......................0.00	X		0	0	0
(7) RONALD LONG........................................................................ DIRECTOR	.20 .......................50.00	X		0	1,024,492	39,676
(8) LARRY MOORE........................................................................ DIRECTOR	.20 .......................0.00	X		0	0	0
(9) JOSEPH PROSSER MD........................................................................ DIRECTOR	.20 .......................50.00	X		0	499,215	40,998
(10) MEHBOOB QASSAM MD........................................................................ DIRECTOR	2.40 .......................0.00	X		16,867	0	0
(11) BAJAJ MD GURPREET........................................................................ DIRECTOR (BEG 01/13)	.20 .......................0.00	X		0	0	0
(12) PAUL RATHBUN........................................................................ DIRECTOR/TREASURER	.20 .......................0.00	X		0	0	0
(13) KENNETH FINCH........................................................................ CEO	50.00 .......................0.00		X	0	0	0
(14) PENNY JOHNSON........................................................................ CFO	50.00 .......................0.00		X	0	0	0

1b	Sub-Total................
c	Total from continuation sheets to Part VII, Section A....
d	Total (add lines 1b and 1c)............	21,724	3,418,928	158,428

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

f	All other contributions, gifts, grants, and similar amounts not included above1f		32,899

g	Noncash contributions included in lines 1a-1f:$
h	Total. Add lines 1a-1f.......			32,899
			Business Code
2a	NET PATIENT REVENUE		900099	167,076,351	167,076,351
b	MEDICAL OFFICE BLDG		531120	1,687,419	1,687,419
c	FITNESS CENTER		900099	1,126,267	1,126,267
d	LAB REVENUE		621500	1,122,078	830,321	291,757
e	CAFETERIA		900099	750,043	750,043
f	All other program service revenue .			696,928	638,643	58,285
g	Total. Add lines 2a–2f........			172,459,086
3	Investment income (including dividends, interest, and other similar amounts).......			401,422			401,422
4	Income from investment of tax-exempt bond proceeds..
5	Royalties...........
		(i) Real	(ii) Personal
6a	Gross rents	14,684
b	Less: rental expenses	0
c	Rental income or (loss)	14,684
d	Net rental income or (loss).......			14,684			14,684
		(i) Securities	(ii) Other
7a	Gross amount from sales of assets other than inventory	156,283	4,890
b	Less: cost or other basis and sales expenses	0	56,730
c	Gain or (loss)	156,283	-51,840
d	Net gain or (loss)..........			104,443			104,443
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	EQUITY EARNINGS FROM RELATED ENT		900099	1,092,572	1,092,572
b
c
d	All other revenue ....
e	Total. Add lines 11a–11d ......			1,092,572
12	Total revenue. See Instructions......			174,105,106	173,201,616	350,042	520,549


				(A) Beginning of year		(B) End of year
1	Cash–non-interest-bearing .............			4,450	1	4,853
2	Savings and temporary cash investments .........			14,036,547	2	21,309,425
3	Pledges and grants receivable, net ...........				3
4	Accounts receivable, net .............			18,135,062	4	22,073,907
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 ..............			3,895,909	8	4,097,391
9	Prepaid expenses and deferred charges ..........			374,818	9	668,717
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	61,080,190
b	Less: accumulated depreciation .....	10b	9,428,028	48,047,348	10c	51,652,162
11	Investments—publicly traded securities ..........				11
12	Investments—other securities. See Part IV, line 11 .....				12
13	Investments—program-related. See Part IV, line 11 .....				13
14	Intangible assets ...............			462,656	14	255,018
15	Other assets. See Part IV, line 11 ...........			12,661,646	15	16,560,975
16	Total assets. Add lines 1 through 15 (must equal line 34)......			97,618,436	16	116,622,448
17	Accounts payable and accrued expenses .........			7,105,393	17	8,532,734
18	Grants payable .................				18
19	Deferred revenue ................				19	965,541
20	Tax-exempt bond liabilities .............				20
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 ..				23
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....................			17,524,195	25	10,433,791
26	Total liabilities. Add lines 17 through 25.........			24,629,588	26	19,932,066
	Organizations that follow SFAS 117 (ASC 958), check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets ..............			71,353,411	27	94,904,519
28	Temporarily restricted net assets ...........			222,410	28	372,836
29	Permanently restricted net assets ...........			1,413,027	29	1,413,027
	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 ...........			72,988,848	33	96,690,382
34	Total liabilities and net assets/fund balances ........			97,618,436	34	116,622,448