TY 2015 Form 990

(A) Name and Title	(B) Average hours per week (list any hours for related organizations below dotted line)	(C) Position (do not check more than one box, unless person is both an officer and a director/trustee)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)
(1) KIM J PIMLEY...................................................................... CHAIR - TRUSTEE	1.0 ................. 0.0	X	X
(2) SUBHA V BARRY...................................................................... VICE CHAIR - TRUSTEE	1.0 ................. 0.0	X	X
(3) RUBY SHARMA...................................................................... VICE CHAIR - TRUSTEE	1.0 ................. 0.0	X	X
(4) HONORABLE DEBORAH T PORITZ...................................................................... VICE CHAIR/SEC - TRUSTEE	1.0 ................. 0.0	X	X
(5) JOHN F DELORENZO...................................................................... TREASURER - TRUSTEE	1.0 ................. 0.0	X	X
(6) STEVEN R ATKINSON...................................................................... TRUSTEE	1.0 ................. 0.0	X
(7) PAUL VON AUTENRIED...................................................................... TRUSTEE	1.0 ................. 0.0	X
(8) ALICIA BRENNAN MD...................................................................... TRUSTEE	1.0 ................. 0.0	X
(9) GERARD A COMPITO MD...................................................................... TRUSTEE	1.0 ................. 0.0	X
(10) DOUGLAS P CORAZZA MD...................................................................... TRUSTEE	1.0 ................. 0.0	X
(11) ROBERT C DOLL JR...................................................................... TRUSTEE	1.0 ................. 0.0	X
(12) JAMES L DOMINICK...................................................................... TRUSTEE	1.0 ................. 0.0	X
(13) CONRAD DRUKER CPA...................................................................... TRUSTEE	1.0 ................. 0.0	X
(14) BARRY L GOLDBLATT...................................................................... TRUSTEE	1.0 ................. 0.0	X
(15) KENNETH A GOLDMAN MD FACS...................................................................... TRUSTEE	1.0 ................. 0.0	X
(16) JOSEPH L HERRING...................................................................... TRUSTEE	1.0 ................. 0.0	X
(17) MARIA JUEGA...................................................................... TRUSTEE	1.0 ................. 0.0	X

(A) Name and Title	(B) Average hours per week (list any hours for related organizations below dotted line)	(C) Position (do not check more than one box, unless person is both an officer and a director/trustee)	(E) Reportable compensation from related organizations (W- 2/1099-MISC)
(18) MARGARET LANCEFIELDMDPHD........................................................................ TRUSTEE	5.0 .......................0.0	X			7,750	0
(19) MARK POLLARD........................................................................ TRUSTEE	1.0 .......................0.0	X			0	0
(20) HEATHER M VAN RAALTE MD........................................................................ TRUSTEE	5.0 .......................0.0	X			16,104	0
(21) BARRY S RABNER........................................................................ TRUSTEE - PRESIDENT/CEO	55.0 .......................0.0	X	X		886,361	32,760
(22) BRIDGET M RUSCITO MD........................................................................ TRUSTEE	10.0 .......................0.0	X			30,000	0
(23) RICHARD O SCRIBNER ESQ........................................................................ TRUSTEE	1.0 .......................0.0	X			0	0
(24) JESSE I TREU PHD........................................................................ TRUSTEE	1.0 .......................0.0	X			0	0
(25) PETER I YI MD........................................................................ TRUSTEE	1.0 .......................0.0	X			0	0
(26) CRAIG GRONCZEWSKI MD........................................................................ TRUSTEE (1/1/15 - 3/23/15)	1.0 .......................0.0	X			0	0
(27) ROSEMARIE COSTAGLIOLA........................................................................ ASST SEC-DIR CORP COMP SR PARA	55.0 .......................0.0		X		96,451	32,873
(28) GLENN A ZIRBSER........................................................................ ASST TREASURER - SVP/CFO	55.0 .......................0.0		X		376,373	44,022
(29) JANET L READY RN FACHE........................................................................ PRESIDENT UMCPP/SVP PHCS	55.0 .......................0.0		X		414,124	31,240
(30) RICHARD E WOHL MSW MBA........................................................................ PRESIDENT PHBH/SVP PHCS	55.0 .......................0.0		X		402,053	46,962
(31) MARK T JONES........................................................................ SVP NETWORK DEVELOPMENT	55.0 .......................0.0		X		377,111	15,631
(32) DONALD F DENNY JR MD........................................................................ SVP MEDICAL AFFAIRS	55.0 .......................0.0		X		286,936	28,543
(33) TIMOTHY MATHIASEN........................................................................ SVP DEVELOPMENT PHCS FDN	55.0 .......................0.0		X		190,124	37,980
(34) ANNE C SEARLE MBA........................................................................ VP/CHIEF INFORMATION OFFICER	55.0 .......................0.0		X		376,355	30,967
(35) JAMES G DEMETRIADES MBA........................................................................ VP OPERATIONS	55.0 .......................0.0		X		308,888	31,999
(36) MARCIA M TELTHORSTERMEDCCP........................................................................ VP HUMAN RESOURCES	55.0 .......................0.0		X		275,235	20,586
(37) GUILHERME VALLADARES MBA........................................................................ VP FINANCE	55.0 .......................0.0		X		268,405	40,723
(38) BARBARA A YOST RN BSN MBA........................................................................ VP CONT. OF CARE SVCS&NTWK DEV	55.0 .......................0.0		X		259,490	31,753
(39) PETER J THOMAS PHD........................................................................ VP OUTPATIENT SERVICES	55.0 .......................0.0		X		248,616	29,931
(40) BARBARA CHRISTIANORNMSBSN........................................................................ VP PATIENT CARE SVCS/CNO	55.0 .......................0.0		X		232,488	20,151
(41) JAMES B HOGLE III........................................................................ VP SUPPORT SERVICES	55.0 .......................0.0		X		211,309	40,957
(42) CAROL NORRIS-SMITH........................................................................ VP MARKETING & PUBLIC AFFAIRS	55.0 .......................0.0		X		200,321	39,982
(43) NANCY C FLETCHER ESQ........................................................................ VP CORP COMPLIANCE&REG AFFAIRS	55.0 .......................0.0		X		179,741	36,442
(44) MARGUERITE PEDLEY PHD........................................................................ VP INPATIENT SERVICES	55.0 .......................0.0		X		159,832	24,179
(45) SIMRAN R SEDANI........................................................................ CHIEF MEDICAL INFO. OFFICER	55.0 .......................0.0		X		153,696	29,683
(46) SIDDIQ A FAISAL MD MPH........................................................................ MEDICAL DIRECTOR, OCC HEALTH	55.0 .......................0.0			X	215,901	38,583
(47) JANET VISCOMI RN........................................................................ REGISTERED NURSE	55.0 .......................0.0			X	190,404	13,577
(48) LAURIE S GREY........................................................................ EXEC DIR REVENUE CYCLE MGMT	55.0 .......................0.0			X	189,602	31,318
(49) KEVIN EDUSEI........................................................................ NUCLEAR MEDICAL TECHNICIAN	55.0 .......................0.0			X	182,430	15,701
(50) JANET ALEXANDER-JAMES........................................................................ IMAGING SUPERVISOR NUCLEAR MED	55.0 .......................0.0			X	181,651	25,805

(A) Name and business address	(B) Description of services	(C) Compensation
RUTGERS UNIVERSITY, PO BOX 265 NEW BRUNSWICK,NJ089032685	MEDICAL - RESIDENCY	3,686,447
MORRISON MANAGEMENT SPECIALISTS, PO BOX 102289 ATLANTA,GA30368	NUTRITION SERVICES	2,488,484
VOLLERS EXCAVATING CONSTRUCTION, 3311 US HIGHWAY 22 NORTH BRANCH,NJ08876	CONSTRUCTION	1,828,150
PREMIER HEALTHCARE SOLUTIONS, 5882 COLLECTIONS CENTER DRIVE CHICAGO,IL60693	CONSULTING	1,734,866
CIELO INC, 200 SOUTH EXECUTIVE DRIVE BROOKFIELD,WA53005	RECRUITMENT	1,673,047
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 86

- TIN:

SCHEDULE A
(Form 990 or 990EZ)

Department of the Treasury
Internal Revenue Service

Public Charity Status and Public Support

Complete if the organization is a section 501(c)(3) organization or a section 4947(a)(1) nonexempt charitable trust.
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Attach to Form 990 or Form 990-EZ.
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Information about Schedule A (Form 990 or 990-EZ) and its instructions is at www.irs.gov/form990.

OMB No. 1545-0047

2015

Open to Public
Inspection

Name of the organization

PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

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 (Form 990 or 990-EZ))

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 in lines 11a through 11d that describes the type of supporting organization and complete lines 11e, 11f, and 11g.

Type I. A supporting organization operated, supervised, or controlled by its supported organization(s), typically by giving the supported organization(s) the power to regularly appoint or elect a majority of the directors or trustees of the supporting organization. You must complete Part IV, Sections A and B.

Type II. A supporting organization supervised or controlled in connection with its supported organization(s), by having control or management of the supporting organization vested in the same persons that control or manage the supported organization(s). You must complete Part IV, Sections A and C.

Type III functionally integrated. A supporting organization operated in connection with, and functionally integrated with, its supported organization(s) (see instructions). You must complete Part IV, Sections A, D, and E.

Type III non-functionally integrated. A supporting organization operated in connection with its supported organization(s) that is not functionally integrated. The organization generally must satisfy a distribution requirement and an attentiveness requirement (see instructions). You must complete Part IV, Sections A and D, and Part V.

Check this box if the organization received a written determination from the IRS that it is a Type I, Type II, Type III functionally integrated, or Type III non-functionally integrated supporting organization.

Enter the number of supported organizations ..............

Provide the following information about the supported organization(s).

(i)Name of supported organization	(ii) EIN	(iv) Is the organization listed in your governing document?		(v) Amount of monetary support (see instructions)	(vi) Amount of other support (see instructions)
(i)Name of supported organization	(ii) EIN	Yes	No	(v) Amount of monetary support (see instructions)	(vi) Amount of other support (see instructions)


Total

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

Cat. No. 11285F

Schedule A (Form 990 or 990-EZ) 2015

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) 2011	(b) 2012	(c) 2013	(d) 2014	(e) 2015	(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) 2011	(b) 2012	(c) 2013	(d) 2014	(e) 2015	(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 VI.)..
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 section 501(c)(3) organization, check this box and stop here........................................ right arrow

Section C. Computation of Public Support Percentage

Public support percentage for 2015 (line 6, column (f) divided by line 11, column (f)) .........

Public support percentage for 2014 Schedule A, Part II, line 14 ...............

16a

33 1/3% support test—2015. 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—2014. 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—2015. 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 VI how the organization meets the "facts-and-circumstances" test. The organization qualifies as a publicly supported
organization ..................................................... right arrow

10%-facts-and-circumstances test—2014. 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 VI 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) 2015

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) 2011	(b) 2012	(c) 2013	(d) 2014	(e) 2015	(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) 2011	(b) 2012	(c) 2013	(d) 2014	(e) 2015	(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 VI.) ..
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 section 501(c)(3) organization,
check this box and stop here............................................. right arrow

Section C. Computation of Public Support Percentage

Public support percentage for 2015 (line 8, column (f) divided by line 13, column (f)) .........

Public support percentage from 2014 Schedule A, Part III, line 15 ...............

Section D. Computation of Investment Income Percentage

Investment income percentage for 2015 (line 10c, column (f) divided by line 13, column (f)) ......

Investment income percentage from 2014 Schedule A, Part III, line 17 .............

19a

331/3% support tests—2015. 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—2014. 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) 2015

Page 4

Part IV

Supporting Organizations

(Complete only if you checked a box on line 11 of Part I. If you checked 11a of Part I, complete Sections A and B. If you checked 11b of Part I, complete Sections A and C. If you checked 11c of Part I, complete Sections A, D, and E. If you checked 11d of Part I, complete Sections A and D, and complete Part V.)

Section A. All Supporting Organizations

Yes

Are all of the organization’s supported organizations listed by name in the organization’s governing documents?
If "No," describe in Part VI how the supported organizations are designated. If designated by class or purpose,
describe the designation. If historic and continuing relationship, explain.

Did the organization have any supported organization that does not have an IRS determination of status under section 509(a)(1) or (2)? If "Yes," explain in Part VI how the organization determined that the supported organization was described in section 509(a)(1) or (2).

Did the organization have a supported organization described in section 501(c)(4), (5), or (6)? If "Yes," answer (b) and (c) below.

Did the organization confirm that each supported organization qualified under section 501(c)(4), (5), or (6) and satisfied the public support tests under section 509(a)(2)? If "Yes," describe in Part VI when and how the organization made the determination.

Did the organization ensure that all support to such organizations was used exclusively for section 170(c)(2)(B) purposes? If "Yes," explain in Part VI what controls the organization put in place to ensure such use.

Was any supported organization not organized in the United States ("foreign supported organization")? If “Yes” and if you checked 11a or 11b in Part I, answer (b) and (c) below.

Did the organization have ultimate control and discretion in deciding whether to make grants to the foreign supported organization? If “Yes,” describe in Part VI how the organization had such control and discretion despite being controlled or supervised by or in connection with its supported organizations.

Did the organization support any foreign supported organization that does not have an IRS determination under sections 501(c)(3) and 509(a)(1) or (2)? If “Yes,” explain in Part VI what controls the organization used to ensure that all support to the foreign supported organization was used exclusively for section 170(c)(2)(B) purposes.

Did the organization add, substitute, or remove any supported organizations during the tax year? If “Yes,” answer (b) and (c) below (if applicable). Also, provide detail in Part VI, including (i) the names and EIN numbers of the supported organizations added, substituted, or removed; (ii) the reasons for each such action; (iii) the authority under the organization's organizing document authorizing such action; and (iv) how the action was accomplished (such as by amendment to the organizing document).

Type I or Type II only. Was any added or substituted supported organization part of a class already designated in the organization's organizing document?

Substitutions only. Was the substitution the result of an event beyond the organization's control?

Did the organization provide support (whether in the form of grants or the provision of services or facilities) to anyone other than (i) its supported organizations, (ii) individuals that are part of the charitable class benefited by one or more of its supported organizations, or (iii) other supporting organizations that also support or benefit one or more of the filing organization’s supported organizations? If “Yes,” provide detail in Part VI.

Did the organization provide a grant, loan, compensation, or other similar payment to a substantial contributor (defined in section 4958(c)(3)(C)), a family member of a substantial contributor, or a 35% controlled entity with regard to a substantial contributor? If “Yes,” complete Part I of Schedule L (Form 990 or 990-EZ) .

Did the organization make a loan to a disqualified person (as defined in section 4958) not described in line 7? If “Yes,” complete Part I of Schedule L (Form 990 or 990-EZ).

Was the organization controlled directly or indirectly at any time during the tax year by one or more disqualified persons as defined in section 4946 (other than foundation managers and organizations described in section 509(a)(1) or (2))? If “Yes,” provide detail in Part VI.

Did one or more disqualified persons (as defined in line 9a) hold a controlling interest in any entity in which the supporting organization had an interest? If “Yes,” provide detail in Part VI.

Did a disqualified person (as defined in line 9a) have an ownership interest in, or derive any personal benefit from, assets in which the supporting organization also had an interest? If “Yes,” provide detail in Part VI.

10a

Was the organization subject to the excess business holdings rules of section 4943 because of section 4943(f) (regarding certain Type II supporting organizations, and all Type III non-functionally integrated supporting organizations)? If “Yes,” answer line 10b below.

10a

Did the organization have any excess business holdings in the tax year? (Use Schedule C, Form 4720, to determine whether the organization had excess business holdings).

10b

Schedule A (Form 990 or 990-EZ) 2015

Page 5

Part IV

Supporting Organizations (continued)

Yes

Has the organization accepted a gift or contribution from any of the following persons?

A person who directly or indirectly controls, either alone or together with persons described in (b) and (c) below, the governing body of a supported organization?

11a

A family member of a person described in (a) above?

11b

A 35% controlled entity of a person described in (a) or (b) above? If “Yes” to a, b, or c, provide detail in Part VI.

11c

Section B. Type I Supporting Organizations

Yes

Did the directors, trustees, or membership of one or more supported organizations have the power to regularly appoint or elect at least a majority of the organization’s directors or trustees at all times during the tax year? If “No,” describe in Part VI how the supported organization(s) effectively operated, supervised, or controlled the organization’s activities. If the organization had more than one supported organization, describe how the powers to appoint and/or remove directors or trustees were allocated among the supported organizations and what conditions or restrictions, if any, applied to such powers during the tax year.

Did the organization operate for the benefit of any supported organization other than the supported organization(s) that operated, supervised, or controlled the supporting organization? If “Yes,” explain in Part VI how providing such benefit carried out the purposes of the supported organization(s) that operated, supervised or controlled the supporting organization.

Section C. Type II Supporting Organizations

Yes

Were a majority of the organization’s directors or trustees during the tax year also a majority of the directors or trustees of each of the organization’s supported organization(s)? If “No,” describe in Part VI how control or management of the supporting organization was vested in the same persons that controlled or managed the supported organization(s).

Section D. All Type III Supporting Organizations

Yes

Did the organization provide to each of its supported organizations, by the last day of the fifth month of the organization’s tax year, (i) a written notice describing the type and amount of support provided during the prior tax year, (ii) a copy of the Form 990 that was most recently filed as of the date of notification, and (iii) copies of the organization’s governing documents in effect on the date of notification, to the extent not previously provided?

Were any of the organization’s officers, directors, or trustees either (i) appointed or elected by the supported organization(s) or (ii) serving on the governing body of a supported organization? If "No," explain in Part VI how the organization maintained a close and continuous working relationship with the supported organization(s).

By reason of the relationship described in (2), did the organization’s supported organizations have a significant voice in the organization’s investment policies and in directing the use of the organization’s income or assets at all times during the tax year? If "Yes," describe in Part VI the role the organization’s supported organizations played in this regard.

Section E. Type III Functionally-Integrated Supporting Organizations

Check the box next to the method that the organization used to satisfy the Integral Part Test during the year (see instructions):

The organization satisfied the Activities Test. Complete line 2 below.

The organization is the parent of each of its supported organizations. Complete line 3 below.

The organization supported a governmental entity. Describe in Part VI how you supported a government entity (see instructions)

Activities Test. Answer (a) and (b) below.

Yes

Did substantially all of the organization’s activities during the tax year directly further the exempt purposes of the supported organization(s) to which the organization was responsive? If "Yes," then in Part VI identify those supported organizations and explain how these activities directly furthered their exempt purposes, how the organization was responsive to those supported organizations, and how the organization determined that these activities constituted substantially all of its activities.

Did the activities described in (a) constitute activities that, but for the organization’s involvement, one or more of the organization’s supported organization(s) would have been engaged in? If "Yes," explain in Part VI the reasons for the organization’s position that its supported organization(s) would have engaged in these activities but for the organization’s involvement.

Parent of Supported Organizations. Answer (a) and (b) below.

Did the organization have the power to regularly appoint or elect a majority of the officers, directors, or trustees of each of the supported organizations? Provide details in Part VI.

Did the organization exercise a substantial degree of direction over the policies, programs and activities of each of its supported organizations? If "Yes," describe in Part VI. the role played by the organization in this regard.

Schedule A (Form 990 or 990-EZ) 2015

Page 6

Part V

Type III Non-Functionally Integrated 509(a)(3) Supporting Organizations

Check here if the organization satisfied the Integral Part Test as a qualifying trust on Nov. 20, 1970. See instructions. All other Type III non-functionally integrated supporting organizations must complete Sections A through E.

	Section A - Adjusted Net Income		(A) Prior Year	(B) Current Year (optional)
1	Net short-term capital gain	1
2	Recoveries of prior-year distributions	2
3	Other gross income (see instructions)	3
4	Add lines 1 through 3	4
5	Depreciation and depletion	5
6	Portion of operating expenses paid or incurred for production or collection of gross income or for management, conservation, or maintenance of property held for production of income (see instructions)	6
7	Other expenses (see instructions)	7
8	Adjusted Net Income (subtract lines 5, 6 and 7 from line 4)	8

	Section B - Minimum Asset Amount		(A) Prior Year	(B) Current Year (optional)
1	Aggregate fair market value of all non-exempt-use assets (see instructions for short tax year or assets held for part of year):	1
a	Average monthly value of securities	1a
b	Average monthly cash balances	1b
c	Fair market value of other non-exempt-use assets	1c
d	Total (add lines 1a, 1b, and 1c)	1d
e	Discount claimed for blockage or other factors (explain in detail in Part VI):
2	Acquisition indebtedness applicable to non-exempt use assets	2
3	Subtract line 2 from line 1d	3
4	Cash deemed held for exempt use. Enter 1-1/2% of line 3 (for greater amount, see instructions).	4
5	Net value of non-exempt-use assets (subtract line 4 from line 3)	5
6	Multiply line 5 by .035	6
7	Recoveries of prior-year distributions	7
8	Minimum Asset Amount (add line 7 to line 6)	8

	Section C - Distributable Amount		Current Year
1	Adjusted net income for prior year (from Section A, line 8, Column A)	1
2	Enter 85% of line 1	2
3	Minimum asset amount for prior year (from Section B, line 8, Column A)	3
4	Enter greater of line 2 or line 3	4
5	Income tax imposed in prior year	5
6	Distributable Amount. Subtract line 5 from line 4, unless subject to emergency temporary reduction (see instructions)	6

Check here if the current year is the organization's first as a non-functionally-integrated Type III supporting organization (see instructions)

Schedule A (Form 990 or 990-EZ) 2015

Page 7

Part V

Type III Non-Functionally Integrated 509(a)(3) Supporting Organizations (continued)

Section D - Distributions		Current Year
1 Amounts paid to supported organizations to accomplish exempt purposes
2 Amounts paid to perform activity that directly furthers exempt purposes of supported organizations, in excess of income from activity
3 Administrative expenses paid to accomplish exempt purposes of supported organizations
4 Amounts paid to acquire exempt-use assets
5 Qualified set-aside amounts (prior IRS approval required)
6 Other distributions (describe in Part VI). See instructions
7Total annual distributions. Add lines 1 through 6.
8 Distributions to attentive supported organizations to which the organization is responsive (provide details in Part VI). See instructions
9 Distributable amount for 2015 from Section C, line 6
10 Line 8 amount divided by Line 9 amount

Section E - Distribution Allocations (see instructions)		(i) Excess Distributions	(ii) Underdistributions Pre-2015	(iii) Distributable Amount for 2015
1 Distributable amount for 2015 from Section C, line 6
2 Underdistributions, if any, for years prior to 2015 (reasonable cause required--see instructions)
3 Excess distributions carryover, if any, to 2015:
a
b
c
d From 2013.......
e From 2014.......
fTotal of lines 3a through e
g Applied to underdistributions of prior years
h Applied to 2015 distributable amount
i Carryover from 2010 not applied (see instructions)
j Remainder. Subtract lines 3g, 3h, and 3i from 3f.
4Distributions for 2015 from Section D, line 7:
$
a Applied to underdistributions of prior years
b Applied to 2015 distributable amount
c Remainder. Subtract lines 4a and 4b from 4.
5 Remaining underdistributions for years prior to 2015, if any. Subtract lines 3g and 4a from line 2 (if amount greater than zero, see instructions)
6 Remaining underdistributions for 2015. Subtract lines 3h and 4b from line 1 (if amount greater than zero, see instructions)
7 Excess distributions carryover to 2016. Add lines 3j and 4c.
8 Breakdown of line 7:
a
b
c Excess from 2013.......
d From 2014.......
e From 2015.......

Schedule A (Form 990 or 990-EZ) (2015)

Schedule A (Form 990 or 990-EZ) 2015

Page 8

Part VI

Supplemental Information. Provide the explanations required by Part II, line 10; Part II, line 17a or 17b; Part III, line 12; Part IV, Section A, lines 1, 2, 3b, 3c, 4b, 4c, 5a, 6, 9a, 9b, 9c, 11a, 11b, and 11c; Part IV, Section B, lines 1 and 2; Part IV, Section C, line 1; Part IV, Section D, lines 2 and 3; Part IV, Section E, lines 1c, 2a, 2b, 3a and 3b; Part V, line 1; Part V, Section B, line 1e; Part V Section D, lines 5, 6, and 8; and Part V, Section E, lines 2, 5, and 6. Also complete this part for any additional information. (See instructions).

Facts And Circumstances Test

Return Reference	Explanation

Schedule A (Form 990 or 990-EZ) 2015

Additional Data

Software ID:
Software Version:

- TIN:

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

Department of the Treasury
Internal Revenue Service

Schedule of Contributors

Attach to Form 990, 990-EZ, or 990-PF.

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

OMB No. 1545-0047

2015

Name of the organization

PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

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, contributions totaling $5,000 or more (in money or other property) from any one contributor. Complete Parts I and II. See instructions for determining a contributor's total contributions.

Special Rules

For an organization described in section 501(c)(3) 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), that checked Schedule A (Form 990 or 990-EZ), Part II, line 13, 16a, or 16b, and that received from any one contributor, during the year, total contributions 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 an organization described in section 501(c)(7), (8), or (10) filing Form 990 or 990-EZ that received from any one contributor,
during the year, total contributions of more than $1,000 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 an organization described in section 501(c)(7), (8), or (10) filing Form 990 or 990-EZ that received from any one contributor,
during the year, contributions exclusively for religious, charitable, etc., purposes, but no such contributions totaled 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 totaling $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) (2015)

Schedule B (Form 990, 990-EZ, or 990-PF) (2015) Page 2

Name of organization PRINCETON HEALTHCARE SYSTEM A NEW JERSEY NONPROFIT CORPORATION

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	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) (2015)

Schedule B (Form 990, 990-EZ, or 990-PF) (2015)

Page 3

Name of organization PRINCETON HEALTHCARE SYSTEM A NEW JERSEY NONPROFIT CORPORATION		Employer identification number 21-0635009

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) (2015)

Schedule B (Form 990, 990-EZ, or 990-PF) (2015)

Page 4


Name of organization PRINCETON HEALTHCARE SYSTEM A NEW JERSEY NONPROFIT CORPORATION			Employer identification number 21-0635009
Part III Exclusively religious, charitable, etc., contributions to organizations described in section 501(c)(7), (8), or (10) that total more than $1,000 for the year from any one contributor. 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.) $ 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) (2015)

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

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

OMB No. 1545-0047

2015

Open to Public
Inspection

If the organization answered "Yes" on 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" on 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" on Form 990, Part IV, Line 5 (Proxy Tax) (see separate instructions) or Form 990-EZ, Part V, line 35c (Proxy Tax) (see separate instructions), then
Round Bullet

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

Name of the organization

PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

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-.
1
2
3
4
5
6

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

Cat. No. 50084S

Schedule C (Form 990 or 990-EZ) 2015

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 separate instructions for lines 2a through 2f.)
Lobbying Expenditures During 4-Year Averaging Period
	Calendar year (or fiscal year beginning in)	(a) 2012	(b) 2013	(c) 2014	(d) 2015	(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) 2015

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 on 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? ..................

Yes

21,112

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

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

21,112

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, lines 1 and 2 (see instructions), and Part ll-B, line 1. Also, complete this part for any additional information.

Return Reference	Explanation
SCHEDULE C, PART II-B; LINE 1H	PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION IS A MEMBER OF THE AMERICAN HOSPITAL ASSOCIATION AND THE NEW JERSEY HOSPITAL ASSOCIATION WHICH BOTH ENGAGE IN LOBBYING EFFORTS ON BEHALF OF THEIR MEMBER HOSPITALS. A PORTION OF THE DUES PAID TO THESE ORGANIZATIONS HAS BEEN ALLOCATED TO LOBBYING ACTIVITES PERFORMED ON BEHALF OF THE ORGANIZATION. THIS ALLOCATION AMOUNTED TO $21,112 in 2015. ADDITIONALLY, THE ORGANIZATION IS A MEMBER OF FAIR SHARE HOSPITALS COLLABORATIVE, INC. TO WHICH IT PAID DUES IN THE AMOUNT OF $15,000 IN 2015. ONE OF THE FUNCTIONS OF FAIR SHARE HOSPITALS COLLABORATIVE, INC. IS TO ENGAGE IN LOBBYING ACTIVITIES PERFORMED ON BEHALF OF ITS MEMBER HOSPITALS.

Return Reference

Explanation

SCHEDULE C, PART II-B; LINE 1H

PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION IS A MEMBER OF THE AMERICAN HOSPITAL ASSOCIATION AND THE NEW JERSEY HOSPITAL ASSOCIATION WHICH BOTH ENGAGE IN LOBBYING EFFORTS ON BEHALF OF THEIR MEMBER HOSPITALS. A PORTION OF THE DUES PAID TO THESE ORGANIZATIONS HAS BEEN ALLOCATED TO LOBBYING ACTIVITES PERFORMED ON BEHALF OF THE ORGANIZATION. THIS ALLOCATION AMOUNTED TO $21,112 in 2015. ADDITIONALLY, THE ORGANIZATION IS A MEMBER OF FAIR SHARE HOSPITALS COLLABORATIVE, INC. TO WHICH IT PAID DUES IN THE AMOUNT OF $15,000 IN 2015. ONE OF THE FUNCTIONS OF FAIR SHARE HOSPITALS COLLABORATIVE, INC. IS TO ENGAGE IN LOBBYING ACTIVITIES PERFORMED ON BEHALF OF ITS MEMBER HOSPITALS.

Schedule C (Form 990 or 990EZ) 2015

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

OMB No. 1545-0047

2015

Open to Public Inspection

Name of the organization

PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

Part I

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

			(a) Donor advised funds	(b) Funds and other accounts

1	Total number at end of year ....
2	Aggregate value of contributions to (during year)
3	Aggregate value of 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" on 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, handling of violations, and enforcing conservation easements during the year
SchDMd Bullet

Amount of expenses incurred in monitoring, inspecting, handling of violations, 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" on 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)

Revenue included on 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:

Revenue included on 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) 2015

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" on 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


b	If "Yes," explain the arrangement in Part XIII and complete the following table:		Amount
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, for escrow or custodial account liability?

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" on Form 990, Part IV, line 10.

		(a)Current year	(b)Prior year	(c)Two years back	(d)Three years back	(e)Four years back

1a	Beginning of year balance ....	250,000	250,000	250,000	250,000	250,000
b	Contributions ...
c	Net investment earnings, gains, and losses
d	Grants or scholarships ...
e	Other expenditures for facilities and programs ...
f	Administrative expenses ....
g	End of year balance ......	250,000	250,000	250,000	250,000	250,000

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

Board designated or quasi-endowment SchDMd Bullet

Permanent endowment SchDMd Bullet

100.000 %

Temporarily restricted endowment SchDMd Bullet

The percentages on 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" on 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' on Form 990, Part IV, line 11a. See Form 990, Part X, line 10.

Description of property		(a) Cost or other basis (investment)	(b)Cost or other basis (other)	(c) Accumulated depreciation	(d) Book value

1a	Land ...	10,554,804	39,812,286		50,367,090
b	Buildings		450,838,000	97,149,860	353,688,140
c	Leasehold improvements		21,246,035	5,038,692	16,207,343
d	Equipment ...		132,951,964	86,573,370	46,378,594
e	Other ...		29,303,669	5,136,008	24,167,661
Total. Add lines 1a through 1e. (Column (d) must equal Form 990, Part X, column (B), line 10(c).)..					490,808,828

Schedule D (Form 990) 2015

Page 3

Part VII

InvestmentsOther Securities. Complete if the organization answered 'Yes' on 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
(3)Other
(A)
(B)
(C)
(D)
(E)
(F)
(G)
(H)
Total. (Column (b) must equal Form 990, Part X, col. (B) line 12.)

Part VIII

InvestmentsProgram Related. Complete if the organization answered 'Yes' on 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
(1)FIXED INCOME SECURITIES	23,953,945	F
(2)FIXED INCOME MUTUAL FUNDS	27,640,347	F
(3)DOMESTIC EQUITY MUTUAL FUNDS	11,400,619	F
(4)MUTUAL FUNDS	6,993,544	F
(5)ALTERNATIVE INVESTMENTS	6,078,475	F
(6)ACCRUED INTEREST	33,000	F
(7)PROGRAM RELATED INVESTMENTS	1,490,913	F
(8)BOND PROCEEDS HELD BY TRUSTEE	450,986	F
(9)OTHER INVESTMENTS	1,672,053	F
Total. (Column (b) must equal Form 990, Part X, col.(B) line 13.)	79,713,882

Part IX

Other Assets. Complete if the organization answered 'Yes' on Form 990, Part IV, line 11d. See Form 990, Part X, line 15.

(a) Description				(b) Book value

(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
Total. (Column (b) must equal Form 990, Part X, col.(B) line 15.)...........

Part X

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

1.(a) Description of liability	(b) Book value
(1) Federal income taxes	0
ACCRUED INTEREST PAYABLE	2,345,336
DUE TO AFFILIATES	3,234,462
ACCRUED BENEFIT LIABILITY	46,349,832
RETROACTIVE PAYABLE, NET	4,792,178
OTHER LIABILITIES	17,446,258
(6)
(7)
(8)
(9)
Total. (Column (b) must equal Form 990, Part X, col.(B) line 25.)	74,168,066
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) 2015

Page 4

Part XI Reconciliation of Revenue per Audited Financial Statements With Revenue per Return Complete if the organization answered 'Yes' on Form 990, Part IV, line 12a.
1	Total revenue, gains, and other support per audited financial statements .......		1
2	Amounts included on line 1 but not on Form 990, Part VIII, line 12:
a	Net unrealized gains (losses) 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
e	Add lines 2a through 2d .....................		2e
3	Subtract line 2e from line 1..................		3
4	Amounts included on Form 990, Part VIII, line 12, but not on line 1:
a	Investment expenses not included on Form 990, Part VIII, line 7b .	4a
b	Other (Describe in Part XIII.) ...........	4b
c	Add lines 4a and 4b....................		4c
5	Total revenue. Add lines 3 and 4c. (This must equal Form 990, Part I, line 12.) ......		5

Part XII Reconciliation of Expenses per Audited Financial Statements With Expenses per Return. Complete if the organization answered 'Yes' on Form 990, Part IV, line 12a.
1	Total expenses and losses per audited financial statements ...........		1
2	Amounts included on line 1 but not on Form 990, Part IX, line 25:
a	Donated services and use of facilities .........	2a
b	Prior year adjustments ............	2b
c	Other losses ................	2c
d	Other (Describe in Part XIII.) ............	2d
e	Add lines 2a through 2d....................		2e
3	Subtract line 2e from line 1...................		3
4	Amounts included on Form 990, Part IX, line 25, but not on line 1:
a	Investment expenses not included on Form 990, Part VIII, line 7b ..	4a
b	Other (Describe in Part XIII.) ............	4b
c	Add lines 4a and 4b.....................		4c
5	Total expenses. Add lines 3 and 4c. (This must equal Form 990, Part I, line 18.) ......		5

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

SCHEDULE D, PART V; QUESTION 4

PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION ("PHCS") AND ITS AFFILIATES CONSTITUTE A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM ("SYSTEM"). PRINCETON HEALTHCARE SYSTEM HOLDING, INC. IS THE TAX-EXEMPT PARENT ENTITY OF THE SYSTEM. AN INDEPENDENT CPA FIRM AUDITED THE CONSOLIDATED FINANCIAL STATEMENTS OF PRINCETON HEALTHCARE SYSTEM HOLDING, INC. AND ITS AFFILIATES ("PHCSH") FOR THE YEARS ENDED DECEMBER 31, 2015 AND DECEMBER 31, 2014; RESPECTIVELY. THE FOLLOWING FOOTNOTE IS INCLUDED IN THE SYSTEM'S 2015 AUDITED CONSOLIDATED FINANCIAL STATEMENTS THAT REPORT THE ORGANIZATION'S ENDOWMENTS: PHCSHs endowment consists of TWELVE donor permanently restricted individual funds established for a variety of purposes. As required by Generally Accepted Accounting Principals ("GAAP"), net assets associated with endowment funds, are classified and reported based on the existence of donor-imposed restrictions. The Board of Trustees of the System has interpreted the State of New Jerseys enacted version of THE UNIFORM PRUDENT MANAGEMENT OF INSTITUTIONAL FUNDS ACT OF 2006 ("UPMIFA") as requiring the preservation of the historic dollar value of donor-restricted endowment funds (absent explicit donor stipulations to the contrary). As a result of this interpretation, PHCSH classifies as permanently restricted net assets (a) the original value of gifts donated to the permanently restricted net assets (b) the original value of subsequent gifts to the permanent endowment (c) the net realizable value of future payments to permanently restricted net assets in accordance with the donors gift instrument (outstanding endowment pledges net of applicable discount) and (d) appreciation (depreciation), gains (losses) and income earned on the fund when the donor states that such increases or decreases are to be treated as changes in permanently restricted net assets. The Board of Trustees further understands that expenditure from a donor-restricted fund is limited to the uses and purposes for which the endowment fund is established and the use of net appreciation, realized gains (with respect to all assets) and unrealized gains (with respect only to readily marketable assets). Gains are limited to the extent that the fair value of a donor-restricted fund exceeds the historic dollar value of the fund (unless the applicable gift instrument indicates that net appreciation shall not be expended) subject to the following considerations. The expenditure is CONSIDERED TO BE PRUDENT IF the long and short term needs of PHCSH in carrying out its purposes, its present and anticipated financial requirements, expected total return on its investments, price level trends and general economic conditions. PHCSHs endowment investments fall under the investment policy guidelines as established, and reviewed annually, by the Systems Investment Committee. PHCSH intends to expend a 4% drawdown from 2015 earnings in 2016, as approved by the Systems Investment Committee.

SCHEDULE D, PART X

Schedule D (Form 990) 2015

Additional Data

Software ID:
Software Version:

- TIN:

SCHEDULE F(Form 990)

Department of the Treasury
Internal Revenue Service

Statement of Activities Outside the United States

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

Attach to Form 990. Right pointing arrow large image

See separate instructions. Right pointing arrow large image

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

OMB No. 1545-0047

2015

Open to Public Inspection

Name of the organization
PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

Part I

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

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

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

to award the grants or assistance? . . . . . . . . . . . . . . . . . . . . . . . . .

Yes

For grantmakers. Describe in Part V the organization’s procedures for monitoring the use of its grants and other assistance outside the United States.

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

(a) Region		(d) Activities conducted in region (by type) (e.g., fundraising, program services, investments, grants to recipients located in the region)	(f) Total expenditures for and investments in region
	Central America and the Caribbean	Investments	1,021,950
















3a	Sub-total .....		1,021,950
b	Total from continuation sheets to Part I ...
c	Totals (add lines 3a and 3b)		1,021,950

For Paperwork Reduction Act Notice, see the Instructions for Form 990.Cat. No. 50082W Schedule F (Form 990) 2015

Schedule F (Form 990) 2015

Page 2

Part II

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

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

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

Schedule F (Form 990) 2015

Schedule F (Form 990) 2015Page 3

Part III

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

Part III can be duplicated if additional space is needed.

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

Schedule F (Form 990) 2015

Page 4

Part IV

Foreign Forms

Schedule F (Form 990) 2015

Page 5

Part V

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

ReturnReference	Explanation

Schedule F (Form 990) 2015

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" on Form 990, Part IV, question 20.
MediumBullet

Attach to Form 990.
MediumBullet

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

OMB No. 1545-0047

2015

Open to Public Inspection

Name of the organization

PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

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 500 %

If the organization used factors other than FPG in determining eligibility, describe in Part VI the criteria used 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? . . . . . . . . .

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

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) . . .	8,213,993	2,352,371	5,861,622	1.460 %
b	Medicaid (from Worksheet 3, column a) . . . . .	21,449,008	9,724,694	11,724,314	2.920 %
c	Costs of other means-tested government programs (from Worksheet 3, column b) . .
d	Total Financial Assistance and Means-Tested Government Programs . . . . .	29,663,001	12,077,065	17,585,936	4.380 %
Other Benefits
e	Community health improvement services and community benefit operations (from Worksheet 4).	884,479	102,399	782,080	0.200 %
f	Health professions education (from Worksheet 5) . . .	10,082,938	3,329,839	6,753,099	1.680 %
g	Subsidized health services (from Worksheet 6) . . . .
h	Research (from Worksheet 7) .
i	Cash and in-kind contributions for community benefit (from Worksheet 8) . . . .	356,425		356,425	0.090 %
j	Total. Other Benefits . .	11,323,842	3,432,238	7,891,604	1.970 %
k	Total. Add lines 7d and 7j .	40,986,843	15,509,303	25,477,540	6.350 %

For Paperwork Reduction Act Notice, see the Instructions for Form 990. Cat. No. 50192T Schedule H (Form 990) 2015

Schedule H (Form 990) 2015

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. ......

11,765,141

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

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

Section B. Medicare

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

91,826,284

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

129,270,943

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

-37,444,659

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 %	(e) Physicians' profit % or stock ownership %
1UMCP SURGICENTER
2PARTNERS LLC	MEDICAL SERVICES	26.47 %	73.53 %
3
4
5
6
7
8
9
10
11
12
13

Schedule H (Form 990) 2015

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 (and if a group return, the name and EIN of the subordinate hospital organization that operates the hospital facility)						Facility reporting group
1	UNIV MED CTR OF PRINCETON PLAINSBORO ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 www.princetonhcs.org 11103	X	X	X	X	1

Schedule H (Form 990) 2015

Page 4

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)

	UNIV MED CTR OF PRINCETON PLAINSBORO
Name of hospital facility or letter of facility reporting group

Line number of hospital facility, or line numbers of hospital facilities in a facility
reporting group (from Part V, Section A):

Yes

Community Health Needs Assessment

Was the hospital facility first licensed, registered, or similarly recognized by a state as a hospital facility in the current tax year or the immediately preceding tax year?........................

Was the hospital facility acquired or placed into service as a tax-exempt hospital in the current tax year or the immediately preceding tax year? If “Yes,” provide details of the acquisition in Section C...............

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 12......................

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 significant 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 Section C)

Indicate the tax year the hospital facility last conducted a CHNA: 20 15

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 Section C how the hospital facility took into account input from persons who represent the community, and identify the persons the hospital facility consulted .................

Yes

6 a

Was the hospital facility’s CHNA conducted with one or more other hospital facilities? If "Yes," list the other hospital facilities in Section C..................................

Was the hospital facility’s CHNA conducted with one or more organizations other than hospital facilities?” If “Yes,” list the other organizations in Section C. ............................

Yes

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): WWW.PRINCETONHCS.ORG

Other website (list url):

Made a paper copy available for public inspection without charge at the hospital facility

Other (describe in Section C)

Did the hospital facility adopt an implementation strategy to meet the significant community health needs
identified through its most recently conducted CHNA? If "No," skip to line 11. ..............

Yes

Indicate the tax year the hospital facility last adopted an implementation strategy: 20 16

Is the hospital facility's most recently adopted implementation strategy posted on a website?.........

If "Yes" (list url):

If "No," is the hospital facility’s most recently adopted implementation strategy attached to this return? ......

10b

Yes

Describe in Section C how the hospital facility is addressing the significant needs identified in its most recently conducted CHNA and any such needs that are not being addressed together with the reasons why such needs are not being addressed.

12a

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)?...............................

12a

If "Yes" on line 12a, did the organization file Form 4720 to report the section 4959 excise tax?........

12b

If "Yes" on line 12b, 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) 2015

Page 5

Part VFacility Information (continued)

Financial Assistance Policy (FAP)

	UNIV MED CTR OF PRINCETON PLAINSBORO
Name of hospital facility or letter of facility reporting group

Yes

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 included free or discounted care?

Yes

If “Yes,” indicate the eligibility criteria explained in the FAP:

Federal poverty guidelines (FPG), with FPG family income limit for eligibility for free care of 200.% and FPG family income limit for eligibility for discounted care of 500.%

Income level other than FPG (describe in Section C)

Asset level

Medical indigency

Insurance status

Underinsurance discount

Residency

Other (describe in Section C)

Explained the basis for calculating amounts charged to patients?.................

Yes

Explained the method for applying for financial assistance?...................

Yes

If “Yes,” indicate how the hospital facility’s FAP or FAP application form (including accompanying instructions) explained the method for applying for financial assistance (check all that apply):

Described the information the hospital facility may require an individual to provide as part of his or her application

Described the supporting documentation the hospital facility may require an individual to submit as part of his or
her application

Provided the contact information of hospital facility staff who can provide an individual with information about the
FAP and FAP application process

Provided the contact information of nonprofit organizations or government agencies that may be sources of
assistance with FAP applications

Other (describe in Section C)

Included measures to publicize the policy within the community served by the hospital facility?........

Yes

If "Yes," indicate how the hospital facility publicized the policy (check all that apply):

The FAP was widely available on a website (list url):

The FAP application form was widely available on a website (list url):

A plain language summary of the FAP was widely available on a website (list url):

The FAP was available upon request and without charge (in public locations in the hospital facility and by mail)

The FAP application form was available upon request and without charge (in public locations in the hospital facility
and by mail)

A plain language summary of the FAP was available upon request and without charge (in public locations in the
hospital facility and by mail)

Notice of availability of the FAP was conspicuously displayed throughout the hospital facility

Notified members of the community who are most likely to require financial assistance about availability of the FAP

Other (describe in Section C)

Billing and Collections

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 all of the actions the hospital facility or other authorized party may take upon non-payment?..................................

Yes

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:

Reporting to credit agency(ies)

Selling an individual’s debt to another party

Actions that require a legal or judicial process

Other similar actions (describe in Section C)

None of these actions or other similar actions were permitted

Schedule H (Form 990) 2015

Page 6

Part VFacility Information (continued)

	UNIV MED CTR OF PRINCETON PLAINSBORO
Name of hospital facility or letter of facility reporting group

Yes

Did the hospital facility or other authorized 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?............

If "Yes," check all actions in which the hospital facility or a third party engaged:

Reporting to credit agency(ies)

Selling an individual’s debt to another party

Actions that require a legal or judicial process

Other similar actions (describe in Section C)

Indicate which efforts the hospital facility or other authorized party made before initiating any of the actions listed (whether or not checked) in line 19. (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)

None of these efforts were made

Policy Relating to Emergency Medical Care

Did the hospital facility have in place during the tax year a written policy relating to emergency medical care that required 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 Section C)

Other (describe in Section C)

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 Section C)

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 Section C.

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 Section C.

Schedule H (Form 990) 2015

Page 7

Part V

Facility Information (continued)

Section C. Supplemental Information for Part V, Section B. Provide descriptions required for Part V, Section B, lines 2, 3j, 5, 6a, 6b, 7d, 11, 13b, 13h, 15e, 16i, 18d, 19d, 20e, 21c, 21d, 22d, 23, and 24. If applicable, provide separate descriptions for each hospital facility in a facility reporting group, designated by facility reporting group letter and hospital facility line number from Part V, Section A (“A, 1,” “A, 4,” “B, 2,” “B, 3,” etc.) and name of hospital facility.
Form and Line Reference	Explanation
SCH H,PT V,SECT B,Q's 2,3J,6a,7D,13b,13h,15e,18d,19d,20e,21c,21d,23&24	NOT APPLICABLE.
SCHEDULE H, PART V, SECTION B, QUESTION 5	THE FOLLOWING DESCRIBES HOW PRINCETON HEALTHCARE SYSTEM ("PHCS") took into account input from persons who represent the BROAD INTERESTS OF THE community WHILE CONDUCTING ITS 2015 COMMUNITY HEALTH NEEDS ASSESSMENT ("CHNA"). PHCS engaged in a community health planning process to improve the health of residents in PHCS's three county region (Mercer, Middlesex and Somerset). CHNA Methods ------------ The CHNA was guided by a participatory, collaborative approach, which examined health in its broadest sense. This process included integrating existing secondary data on social, economic and health issues in the region with quantitative information from a community health survey and qualitative information from 6 focus groups with community residents and service providers and 13 interviews with community stakeholders. Focus groups and interviews were conducted with individuals from the three counties that comprise the PCHS service region, with individuals representing public health, seniors, PHCS staff and providers, EMS providers, social service, healthcare, and mental health providers and the local government. The survey was administered online and disseminated through multiple channels to individuals who either live or work in Mercer, Middlesex and Somerset Counties. A TOTAL OF 1,308 PEOPLE COMPLETED THE SURVEY. Secondary Data -------------- The CHNA incorporates data on important social, economic and health indicators pulled from various sources, including: - U.S. Census; - Centers for Disease Control and Prevention; - U.S. Bureau of Labor; - New Jersey Department of Health and Senior Services; - the New Jersey Department of Education; and - national databases that compile county-level data, such as University of Wisconsins County Health Rankings and Community Commons CHNA.org. Types of data include self-reporting of health behaviors from large, population- based surveys such as the Behavioral Risk Factor Surveillance System ("BRFSS"), as well as vital statistics based on birth and death records. Most of the social, economic and health data IN THE CHANA are provided for each of the three counties as well as the state overall. However, county-level data were not available for all measures. Community Health Survey ----------------------- In order to gather quantitative data that were not provided by secondary sources and to understand public perceptions around health issues, a brief 20-item community survey was developed and administered online to residents within the three counties during five weeks from mid-May 2015 through mid-June 2015. The survey explored key health concerns of community residents as well as their primary priorities for services and programming. PHCS reviewed and provided feedback on the survey. The survey was disseminated online through the following channels: - Princeton HealthCare System all-employee Listserv; - Princeton HealthCare System community education database; - Princeton HealthCare System fitness center membership; and - South Brunswick Township School District employees. A total of 1,308 respondents who live and/or work in Mercer, Middlesex, or Somerset County completed the survey. An additional 69 respondents who worked and lived in other counties completed the survey, but were not included in the survey analyses since they were not part of the geographic scope of this assessment. Qualitative Data: Focus Groups and Interviews --------------------------------------------- From April August 2015, focus groups and interviews were conducted with leaders from wide range of organizations in different sectors. In total, 6 focus groups and 13 key informant discussions were conducted with individuals from PHCSs service area. Focus groups were held with seniors, parents, EMTs, health officers, non-profit board members and members of the Princeton Fitness & Wellness Center Medical Advisory Board. Thirteen key informant discussions were conducted with individuals including: - local public health officials; - social service providers; - healthcare providers; - community leaders; and - PHCS staff. A full list of the different sectors engaged during the focus group and interview process can be found in Appendix A of the organizations CHNA. Focus group and interview discussions explored participants perceptions of their communities, priority health concerns, perceptions of public health, prevention and healthcare services, suggestions for future programming and services to address these issues. A semi-structured moderators guide was used across all discussions to ensure consistency in the topics covered. Each focus group and interview was facilitated by a trained moderator, and detailed notes were taken during conversations. On average, focus groups lasted 90 minutes and included 6-12 participants, while interviews lasted approximately 30-60 minutes. Participants for the focus groups were recruited by PHCS, working with clinical and community partners. The collected qualitative data were coded and analyzed thematically, where data analysis identified themes that emerged across all groups and interviews. Frequency and intensity of discussion on a specific topic were key indicators used for extracting main themes.
SCHEDULE H, PART V, SECTION B, QUESTION 6B	As a way to ensure that PHCS is achieving its mission and meeting the needs of the community, and in furtherance of its obligations under the Affordable Care Act, PHCS undertook a CHNA process in the spring of 2015. Health Resources in Action ("HRiA"), a non-profit public health consultancy organization, was engaged to conduct the CHNA. HRiA conducted a similar assessment for PHCS in spring 2012.
SCHEDULE H, PART V, SECTION B, QUESTION 11	In October 2015, HRiA led a facilitated conversation with Princeton HealthCare Systems Medical Advisory Panel ("MAP"). This conversation included a presentation of the priorities identified by the CHNA, including the magnitude and severity of these issues and their impact on priority populations. The session includED mapping current and emerging programs and initiatives against these needs. The MAP determined that all of the community needs identified in the CHNA were being addressed by the hospital and would be included in the Strategic Implementation Plan in the following clustered priority categories: - Priority 1: Chronic Disease, Obesity and Healthy Eating and Active Living ("HEAL"); - Priority 2: Behavioral Health; - Priority 3: Health Care Access; - Priority 4: Maternal Child Health; and - Priority 5: Elder Health. The organization's implementation strategy outlines each of the above identified health needs and includes the following strategic iniatives which will address each need. Priority 1: Chronic Disease, Obesity and HEAL --------------------------------------------- Goal: Promote optimal health, including optimized body weight, to reduce the impact of chronic disease and obesity, and enhance overall outcomes and quality of life. Strategic Initatives: 1) Add a medically supervised Metabolic Weight Management Program (non-surgical component) to the Bariatric Program (surgical component) for outpatient and BMS clinic patients; 2) Consolidate and expand the bariatric program in the new Center for Bariatric Surgery and Metabolic Medicine consisting of surgeons, dietary, social work, psychologist, and nurse practitioner, and including physical fitness pre and post op; 3) Enhance the partnership between the Center for Bariatric Surgery and Metabolic Medicine and the Joint Center of Excellence to improve outcomes; 4) Conduct community events to build awareness and reach out to families to address obesity; 5) Conduct ongoing nutrition and physical exercise programs, health fair screenings, etc. for children and adults; 6) Continue to utilize partnerships with the fitness centers to identify special population needs and collaborate around programming. In consultation with the new medical advisory board (2016-2019), develop and enhance programs for specialty populations (e.g., MS, Parkinsons, orthopedics, cardiac rehab, bariatrics, cancer, diabetes, etc.); 7) Continue to collaborate with the Ys in Princeton and Hamilton to develop and enhance the Healthy Living Program; 8) Continue Oncology Nurse Navigation Program to identify and address barriers to care, including access, transportation, healthy lifestyles, stress reduction, weight loss, language, etc. and expand the program by developing tumor specific pathways for breast, lung, and colorectal cancer patients; 9) Expand Cancer Survivorship Program (Treatment Summary ("TS") and Survivorship Care Plan ("SCP")) to promote good self-care, reduce risk of further health issues, and understand the impact cancer can have on health by offering TS/SCP to 75% of Stage I-III UMCP cancer patients by 2018; 10) Expand current Psycho-social Distress Screening to include survivorship population for UMCP cancer patients. Develop on-site support group for cancer caregivers and/or cancer patients with children; 11) Expand the Cancer Program Support Services to enhance the patient-centered model of care, by hiring an oncology registered dietitian and oncology social worker; 12) Continue to provide community based screenings for prostate, skin, and lung cancers. 13) Offer mammograms at no-cost through the clinic; 14) Conduct Cancer Survivors Day event annually in the community; 15) Continue to offer community education events to raise cancer awareness; 16) Conduct annual Kids Marathon for children K-8, including pre-race offerings of cooking classes, nutrition classes, exercise, and gardening; 17) Conduct community education lectures, webinars and health screenings to raise awareness and educate community about chronic diseases; 18) Develop a Pre-diabetes Education Program; 19) Continue to provide comprehensive Diabetes Self- Management Education in the ADA Recognized OP Diabetes Management Program since 1997; 20) Develop consistent protocols for addressing areas identified as high-risk among the population; 21) Continue to assess patients for psycho-social distress in relation to their cancer treatment and make appropriate referrals; and 22) Strategy for integrating behavioral health with those suffering from chronic illnesses. Community Resources (partners, financial contributions) to address this identified health need include: - American Cancer Society; - American Heart Association; - Cancer Support Community; - Hamilton Area YMCA; - Local Libraries; - Local places of worship; - Local Senior Centers; - Pharma Support; - Princeton YWCA; - Private philanthropy; - South Brunswick Wellness Center; and - Susan G. Komen Breast Cancer Foundation. Priority 2: Behavioral Health ----------------------------- Goal: Integrate behavioral health principles and practices into medical-based treatment and practices. Strategic Initatives: 1) Continue inpatient HepC Program at Princeton House, including full-time social worker for community follow up; 2) Continue inpatient program to address behavioral health stressors among first responders (police, fire, EMS, corrections officers, etc.); 3) Provide inpatient medical detoxification and intensive outpatient aftercare for primary addictions in adults and young adults; 4) Provide transportation at no additional cost via a fleet of vehicles to reduce the barrier to treatment for those who are eligible; 5) Offer psych appointments for available outpatient care within 2-3 days to address access needs; 6) Provide behavioral health Community Education programs to educate and raise awareness of mental health services available to the community; 7) Provide services that meet the unique needs of the populations in the community; - New location for Womens Specialized Services (specialized treatment for women who have experiences trauma in their lives). - New Mens Trauma Program in North Brunswick. - Teen Girls Trauma Program (family violence, sexual abuse). - Maintain and explore expansion of partnerships with the Middlesex County schools to provide alternate educational settings for Middle and High School students to treat those students who are behaviorally disruptive in traditional educational settings. 8) Continue to integrate behavioral health nurse practitioners into medical practices (the Primary Care Initiative); 9) maintain the dedicated behavioral health specialty area within the emergency department; 10) Maintain integrated medical and behavioral health Eating Disorders Unit; 11) Implement a clinical initiative to educate the units (nurses, doctors, and medical/surgical residents) to help them better assess, intervene and treat the behavioral health issues that accompany the medical issues they are treating; 12) Conduct annual community education program (Lets Talk) for parents, children and seniors to raise awareness about addiction; 13) Continue the Community Alliance on Medication Safety program in schools, troops, churches, senior centers, and other community venues which provides targeted presentations on medication safety; and 14) Provide behavioral health Community Education programs to educate and raise awareness of substance abuse services available to the community. Community Resources (partners, financial contributions) to address this identified health need include: - Community Education - Grants from corporations and foundations in alignment with key priorities including things like diabetes, clinic, nursing education, etc; - Grateful Patient Fundraising; - Hamilton Area YMCA; - Infectious Diseases/Nahass; - Local Libraries; - Local places of worship; - Local Senior Centers; - Logisticare; - Middlesex Regional Educational Services Commissions; - Prevention Coalition of Mercer County; - Prevention Coalition of Middlesex County; - Princeton Medicine; - Princeton YWCA; - Private/Corporate Insurance; - South Brunswick Wellness Center; and - State and Federal Dollars. Priority 3: Healthcare Access ----------------------------- Goal: Identify and overcome barriers for patients getting appropriate, high quality, and cost effective care when they need and where they need it. Strategic Initatives: 1) Expand primary care practice hours and expand practices to additional locations; 2) Accept all current ACA plans in all practices; 3) Continue to serve as a site for Certified Application Counselors to assist people in securing ACA health insurance; 4) Expand access to care coordinators at Princeton HealthCare primary care practices to provide a direct line of communication between high risk patients and RN, navigating system and identifying and addressing barriers; 5) Provide centralized access to outpatient services in behavioral health, triaging, and redir
SCHEDULE H, PART V, SECTION B, QUESTION 16I	IN ADDITION TO THOSE ACTIONS LISTED IN QUESTION 16, THE ORGANIZATION PUBLICIZES THE AVAILABILITY OF FINANCIAL ASSISTANCE BY REFERENCING THE POLICY IN THE BILLING STATEMENTS SENT TO PATIENTS.
SCHEDULE H, PART V, SECTION B, QUESTION 22D	THE FACILITY USES 115% OF THE MEDICARE RATE AS THE MAXIMUM AMOUNT THAT CAN BE CHARGED TO FAP-ELIGIBLE INDIVIDUALS FOR EMERGENCY OR OTHER MEDICALLY NECESSARY CARE.

Schedule H (Form 990) 2015

Page 8

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?15
Name and address		Type of Facility (describe)
1	PRINCETON HOUSE BEHAVIORAL HEALTH 905 HERRONTOWN ROAD PRINCETON,NJ08540	OUTPATIENT BEHAVIORAL PROGRAM
2	PRINCETON HOMECARE SERVICES 88 PRINCETON HIGHTSTOWN ROAD WEST WINDSOR,NJ08542	HOMECARE & VISITING NURSE
3	PRINCETON HOUSE BEHAVIORAL HEALTH 351 NEW ALBANY ROAD MOORESTOWN,NJ08057	OUTPATIENT BEHAVIORAL PROGRAM
4	PRINCETON HOUSE BEHAVIORAL HEALTH 741 MOUNT LUCAS ROAD PRINCETON,NJ08542	OUTPATIENT BEHAVIORAL PROGRAM
5	PRINCETON HOUSE BEHAVIORAL HEALTH 1460 LIVINGSTON AVENUE NORTH BRUNSWICK,NJ08902	OUTPATIENT BEHAVIORAL PROGRAM
6	PRINCETON BEHAVIORAL HEALTH 300 CLOCKTOWER ROAD SUITE 101 HAMILTON,NJ08690	OUTPATIENT BEHAVIORAL PROGRAM
7	BREAST HEALTH CENTER 300B PRINCETON HIGHSTOWN ROAD EAST WINDSOR,NJ08512	OUTPATIENT DIAGNOSIS & TREATMENT
8	UMCPP OUTPATIENT REHABILITATION 1225 STATE ROAD PRINCETON,NJ08542	PHYSICAL THERAPY & OCCUPATIONAL MEDICINE
9	PRINCETON HOUSE BEHAVIORAL HEALTH 1000 HERRONTOWN ROAD PRINCETON,NJ08542	OUTPATIENT BEHAVIORAL PROGRAM
10	UMCPP OUTPATIENT REHABILITATION MONROE 2 CENTRE DRIVE SUITE 500 MONROE,NJ08831	PHYSICAL THERAPY & OCCUPATIONAL MEDICINE
11	UMCPP OUTPATIENT REHAB AT HAMILTON 1315 WHITEHORSE-MERCERVILLE ROAD S HAMILTON,NJ08619	OUTPATIENT REHABILITATION
12	UMCPP OUTPATIENT REHAB 540 RIDGE ROAD MONMOUTH JUNCTION,NJ08852	OUTPATIENT BEHAVIORAL HEALTH
13	PRINCETON HOUSE BEHAVIORAL HEALTH 615 HOPE ROAD EATONTOWN,NJ07742	OUTPATIENT BEHAVIORAL HEALTH
14	UMCPP JAMESBURG PATIENT SERVICE CENTER 11 CENTER DRIVE JAMESBURG,NJ08831	LAB DRAW CENTER
15	UMCPP LAWRENCEVILLE PATIENT SERVICE CTR 132 FRANKLIN CORNER LAWRENCEVILLE,NJ08648	LAB DRAW CENTER

Schedule H (Form 990) 2015

Page 9

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
PART I, LINE 3C	INCOME-BASED CRITERIA USED TO DETERMINE ELIGIBILITY ARE IN ACCORDANCE WITH THE NJ ADMINISTRATIVE CODE 10:52 SUB-CHAPTERS 11, 12 AND 13. FEDERAL POVERTY GUIDELINES ARE INCLUDED IN THE CRITERIA FOR DETERMINING ELIGIBILITY FOR CHARITY AND DISCOUNTED CARE. IN ADDITION TO THE FEDERAL POVERTY GUIDELINES, THE FOLLOWING CRITERIA ARE USED IN DETERMINING ELIGIBILITY FOR FREE OR DISCOUNTED CARE: - ASSET LEVEL; - INSURANCE STATUS; - UNDERINSURANCE STATUS; AND - RESIDENCY.
SCHEDULE H, PART I; QUESTION 6A	THE ORGANIZATION IS NOT REQUIRED TO PREPARE A COMMUNITY BENEFIT REPORT. HOWEVER, THE ORGANIZATION DOES RELEASE A PROGRESS REPORT TO THE COMMUNITY ON AN ANNUAL BASIS. THIS PROGRESS REPORT CAN BE FOUND ON THE ORGANIZATION'S WEBSITE. THE PROGRESS REPORT INCLUDES INFORMATION REGARDING COMMUNITY HEALTH AND DESCRIBES SOME OF THE COMMUNITY PROGRAMS AND SERVICES COMPLETED THROUGHOUT THE YEAR.
SCHEDULE H, PART I; QUESTION 7	WORKSHEET 2 WAS USED FOR THE COST TO CHARGE RATIO.
SCHEDULE H, PART I, QUESTION 7G	NO COSTS RELATING TO SUBSIDIZED HEALTHCARE SERVICES ARE ATTRIBUTABLE TO ANY PHYSICIAN CLINICS.
SCHEDULE H, PART II	COMMUNITY BUILDING ACTIVITIES UNDERTAKEN BY THIS ORGANIZATION IMPROVE THE MEDICAL AND SOCIOECONOMIC WELL-BEING OF THE COMMUNITIES IN ITS CARE. THIS IS ACCOMPLISHED THROUGH SERVICE ON STATE AND REGIONAL ADVOCACY COMMITTEES AND BOARDS, VOLUNTEERISM WITH LOCAL COMMUNITY-BASED NON-PROFIT ADVOCACY GROUPS, PARTICIPATION IN CONFERENCES AND OTHER EDUCATIONAL ACTIVITIES TO PROMOTE UNDERSTANDING OF THE ROOT CAUSES OF HEALTH CONCERNS. THIS ORGANIZATION PROVIDES EDUCATIONAL MATERIALS, CONDUCTS COMMUNITY HEALTH FAIRS AND HOLDS HEALTH EDUCATION SEMINARS AND OUTREACH SESSIONS FOR ITS PATIENTS AND FOR COMMUNITY PROVIDERS. PRESENTATIONS ARE PROVIDED BY PHYSICIANS, NURSES AND OTHER HEALTHCARE PROFESSIONALS. IN ADDITION TO PROVIDING DIRECT PATIENT CHARITY CARE AND IN FURTHERANCE OF ITS EXEMPT PURPOSE TO BENEFIT THE COMMUNITY, THE SYSTEM PROVIDES COMMUNITY EDUCATION, HEALTH SCREENINGS AND OUTREACH PROGRAMS TO PATIENTS RESIDING IN MERCER, MIDDLESEX AND SOMERSET COUNTIES. MAJOR PROGRAMS INCLUDE AN ANNUAL WOMEN'S CONFERENCE AND A CONFERENCE ADDRESSING THE HEALTH NEEDS OF THE AFRICAN-AMERICAN COMMUNITY. OTHER SPECIAL HEALTH OUTREACH EFFORTS HAVE BEEN DIRECTED TO THE LATINO, INDIAN-AMERICAN, AND KOREAN-AMERICAN COMMUNITIES. THE SYSTEM IS ALSO INVOLVED WITH PARTNERSHIPS WITH THE PRINCETON, HOPEWELL VALLEY, AND WEST WINDSOR/PLAINSBORO REGIONAL SCHOOL DISTRICTS FOR CHILDHOOD AND ADOLESCENT HEALTH ISSUES INCLUDING UNDERAGE DRINKING, SMOKING AND EATING DISORDERS. OTHER PROGRAM VENUES INCLUDE AREA SENIOR CENTERS AND PUBLIC LIBRARIES.
SCHEDULE H, PART III, SECTION A; QUESTIONS 2, 3 & 4	Bad debt expense was calculated using the providers' bad debt expense from its audited financial statements. Bad debt expense includes unpaid balances from patients without insurance and unpaid balances due relating to copayments, coinsurances and deductibles. Under our self-pay policy all uninsured patient bills are discounted to 115% of the medicare allowable amount which approximates less than costs. The discount is recorded as contra revenue. Only the difference between the net amount (charges less discount) and amount paid is recorded as bad debt. Hence the bad debt reported on the audited financial statements approximates costs. PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION ("PHCS") AND ITS AFFILIATES CONSTITUTE A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM. PRINCETON HEALTHCARE SYSTEM HOLDING, INC. IS THE TAX-EXEMPT PARENT ENTITY OF THE SYSTEM. AN INDEPENDENT CPA FIRM AUDITED THE CONSOLIDATED FINANCIAL STATEMENTS OF PRINCETON HEALTHCARE SYSTEM HOLDING, INC. AND ITS AFFILIATES ("PHCSH") FOR THE YEARS ENDED DECEMBER 31, 2015 AND DECEMBER 31, 2014; RESPECTIVELY. THE FOLLOWING FOOTNOTES, WHICH ADDRESS THE ORGANIZATION'S BAD DEBT AND CHARITY CARE, ARE INCLUDED IN THE ORGANIZATION'S 2015 AUDITED CONSOLIDATED FINANCIAL STATEMENTS: Reimbursement ------------- PHCSH records gross patient service revenue on an accrual basis at established rates, with contractual and other allowances deducted from such amounts to determine net patient service revenue, before provision for bad debts. PHCSH maintains policies and records to identify and monitor these contractual allowances and its level of charity care. These records include the amount of deductions from gross revenue due to qualified services provided under the State of New Jerseys charity care guidelines. The process for estimating the collection of receivables involves significant assumptions and judgments. For each business entity, the System has implemented a monthly standardized approach to estimate and review the collectability of receivables by services based on (inpatient versus outpatient) the payer classification and the period from which the receivables have been outstanding. Account balances are written off against the allowance or bad debt expense (for self-pay balances) when management feels it is probable the receivable will not be recovered. Historical collection and payer reimbursement experience is an integral part of the estimation process related to reserves for doubtful accounts. In addition, the System assesses the current state of its billing functions in order to identify any known collection or reimbursement issues and assess the impact, if any, on reserve estimates. Charity Care ------------ The System provides care to patients who meet certain criteria defined by the New Jersey Department of Health and Senior Services ("DOHSS") without charge or at amounts less than its established rates. The majority of patients qualify for charity care where household income is less than 200% of the family federal poverty guidelines or their financial condition is such that requiring payment would impose a hardship on the patient. Because the System does not pursue collection of amounts determined to qualify as charity care, they are not reported as revenue. The Systems records identify and monitor the level of charity care it provides and the amount of charges foregone for services and supplies furnished. The costs associated with charity care during the years ended December 31, 2015 and 2014 were approximately $7,321,000 and $8,539,000; respectively. The estimated cost of providing charity services is based on valuing all charity care claims using the Systems decision support system that utilizes cost to charge ratios derived from the most recently filed Medicare cost reports. DOHSS charity care guidelines require participation and specific documentation of the patient in order to be identified as a charity care account. In addition to charity care, the System provides a significant amount of community benefit that includes community outreach programs, subsidized medical education costs and unreimbursed costs of providing care to Medicare and Medicaid beneficiaries. The New Jersey Health Care Subsidy Fund was established for various purposes including the distribution of charity care and hospital relief fund payments to hospitals statewide. As of December 31, 2015 and 2014, the System received subsidy amounts of $1,519,000 and $1,738,000; respectively, which are included in net patient service revenue. Additionally, the State of New Jersey established a Mental Health Subsidy Fund to pay for specific behavioral health services. The System received $1,257,000 for these services in both 2015 and 2014.
SCHEDULE H, PART III, SECTION B; QUESTION 8	MEDICARE COSTS WERE DERIVED FROM THE 2015 MEDICARE COST REPORT. THE ORGANIZATION'S POSITION IS THAT MEDICARE UNDERPAYMENTS (SHORTFALL) AND BAD DEBT ARE COMMUNITY BENEFIT AND ASSOCIATED COSTS SHOULD BE INCLUDABLE ON THE FORM 990, SCHEDULE H, PART I BUT ARE NOT. AS OUTLINED MORE FULLY BELOW THE ORGANIZATION BELIEVES THAT THESE SERVICES AND RELATED COSTS PROMOTE THE HEALTH OF THE COMMUNITY AS A WHOLE AND ARE RENDERED IN CONJUNCTION WITH THE ORGANIZATION'S CHARITABLE TAX-EXEMPT PURPOSES AND MISSION IN PROVIDING MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUAL'S IN A NON-DISCRIMINATORY MANNER WITHOUT REGARD TO RACE, COLOR, CREED, SEX, NATIONAL ORIGIN OR ABILITY TO PAY AND CONSISTENT WITH THE COMMUNITY BENEFIT STANDARD PROMULGATED BY THE IRS. THE COMMUNITY BENEFIT STANDARD IS THE CURRENT STANDARD FOR A HOSPITAL FOR RECOGNITION AS A TAX-EXEMPT AND CHARITABLE ORGANIZATION UNDER INTERNAL REVENUE CODE ("IRC") 501(C)(3). THE ORGANIZATION IS RECOGNIZED AS A TAX-EXEMPT ENTITY AND CHARITABLE ORGANIZATION UNDER 501(C)(3) OF THE IRC. ALTHOUGH THERE IS NO DEFINITION IN THE TAX CODE FOR THE TERM "CHARITABLE" A REGULATION PROMULGATED BY THE DEPARTMENT OF THE TREASURY PROVIDES SOME GUIDANCE AND STATES THAT "[T]HE TERM CHARITABLE IS USED IN SECTION 501(C)(3) IN ITS GENERALLY ACCEPTED LEGAL SENSE,PROVIDES EXAMPLES OF CHARITABLE PURPOSES, INCLUDING THE RELIEF OF THE POOR OR UNPRIVILEGED; THE PROMOTION OF SOCIAL WELFARE; AND THE ADVANCEMENT OF EDUCATION, RELIGION, AND SCIENCE. NOTE IT DOES NOT EXPLICITLY ADDRESS THE ACTIVITIES OF HOSPITALS. IN THE ABSENCE OF EXPLICIT STATUTORY OR REGULATORY REQUIREMENTS APPLYING THE TERM "CHARITABLE" TO HOSPITALS, IT HAS BEEN LEFT TO THE IRS TO DETERMINE THE CRITERIA HOSPITALS MUST MEET TO QUALIFY AS IRC 501(C)(3) CHARITABLE ORGANIZATIONS. THE ORIGINAL STANDARD WAS KNOWN AS THE CHARITY CARE STANDARD. THIS STANDARD WAS REPLACED BY THE IRS WITH THE COMMUNITY BENEFIT STANDARD WHICH IS THE CURRENT STANDARD. CHARITY CARE STANDARD IN 1956, THE IRS ISSUED REVENUE RULING 56-185, WHICH ADDRESSED THE REQUIREMENTS HOSPITALS NEEDED TO MEET IN ORDER TO QUALIFY FOR IRC 501(C)(3) STATUS. ONE OF THESE REQUIREMENTS IS KNOWN AS THE "CHARITY CARE STANDARD." UNDER THE STANDARD, A HOSPITAL HAD TO PROVIDE, TO THE EXTENT OF ITS FINANCIAL ABILITY, FREE OR REDUCED-COST CARE TO PATIENTS UNABLE TO PAY FOR IT. A HOSPITAL THAT EXPECTED FULL PAYMENT DID NOT, ACCORDING TO THE RULING, PROVIDE CHARITY CARE BASED ON THE FACT THAT SOME PATIENTS ULTIMATELY FAILED TO PAY. THE RULING EMPHASIZED THAT A LOW LEVEL OF CHARITY CARE DID NOT NECESSARILY MEAN THAT A HOSPITAL HAD FAILED TO MEET THE REQUIREMENT SINCE THAT LEVEL COULD REFLECT ITS FINANCIAL ABILITY TO PROVIDE SUCH CARE. THE RULING ALSO NOTED THAT PUBLICLY SUPPORTED COMMUNITY HOSPITALS WOULD NORMALLY QUALIFY AS CHARITABLE ORGANIZATIONS BECAUSE THEY SERVE THE ENTIRE COMMUNITY, AND A LOW LEVEL OF CHARITY CARE WOULD NOT AFFECT A HOSPITAL'S EXEMPT STATUS IF IT WAS DUE TO THE SURROUNDING COMMUNITY'S LACK OF CHARITABLE DEMANDS. COMMUNITY BENEFIT STANDARD IN 1969, THE IRS ISSUED REVENUE RULING 69-545, WHICH "REMOVE[D]" FROM REVENUE RULING 56-185 "THE REQUIREMENTS RELATING TO CARING FOR PATIENTS WITHOUT CHARGE OR AT RATES BELOW COST." UNDER THE STANDARD DEVELOPED IN REVENUE RULING 69-545, WHICH IS KNOWN AS THE "COMMUNITY BENEFIT STANDARD," HOSPITALS ARE JUDGED ON WHETHER THEY PROMOTE THE HEALTH OF A BROAD CLASS OF INDIVIDUALS IN THE COMMUNITY. THE RULING INVOLVED A HOSPITAL THAT ONLY ADMITTED INDIVIDUALS WHO COULD PAY FOR THE SERVICES (BY THEMSELVES, PRIVATE INSURANCE, OR PUBLIC PROGRAMS SUCH AS MEDICARE), BUT OPERATED A FULL-TIME EMERGENCY ROOM THAT WAS OPEN TO EVERYONE. THE IRS RULED THAT THE HOSPITAL QUALIFIED AS A CHARITABLE ORGANIZATION BECAUSE IT PROMOTED THE HEALTH OF PEOPLE IN ITS COMMUNITY. THE IRS REASONED THAT BECAUSE THE PROMOTION OF HEALTH WAS A CHARITABLE PURPOSE ACCORDING TO THE GENERAL LAW OF CHARITY, IT FELL WITHIN THE "GENERALLY ACCEPTED LEGAL SENSE" OF THE TERM "CHARITABLE," AS REQUIRED BY TREAS. REG. 1.501(C)(3)-1(D)(2). THE IRS RULING STATED THAT THE PROMOTION OF HEALTH, LIKE THE RELIEF OF POVERTY AND THE ADVANCEMENT OF EDUCATION AND RELIGION, IS ONE OF THE PURPOSES IN THE GENERAL LAW OF CHARITY THAT IS DEEMED BENEFICIAL TO THE COMMUNITY AS A WHOLE EVEN THOUGH THE CLASS OF BENEFICIARIES ELIGIBLE TO RECEIVE A DIRECT BENEFIT FROM ITS ACTIVITIES DOES NOT INCLUDE ALL MEMBERS OF THE COMMUNITY, SUCH AS INDIGENT MEMBERS OF THE COMMUNITY, PROVIDED THAT THE CLASS IS NOT SO SMALL THAT ITS RELIEF IS NOT OF BENEFIT TO THE COMMUNITY. THE IRS CONCLUDED THAT THE HOSPITAL WAS "PROMOTING THE HEALTH OF A CLASS OF PERSONS THAT IS BROAD ENOUGH TO BENEFIT THE COMMUNITY" BECAUSE ITS EMERGENCY ROOM WAS OPEN TO ALL AND IT PROVIDED CARE TO EVERYONE WHO COULD PAY, WHETHER DIRECTLY OR THROUGH THIRD-PARTY REIMBURSEMENT. OTHER CHARACTERISTICS OF THE HOSPITAL THAT THE IRS HIGHLIGHTED INCLUDED THE FOLLOWING: ITS SURPLUS FUNDS WERE USED TO IMPROVE PATIENT CARE, EXPAND HOSPITAL FACILITIES, AND ADVANCE MEDICAL TRAINING, EDUCATION, AND RESEARCH; IT WAS CONTROLLED BY A BOARD OF TRUSTEES THAT CONSISTED OF INDEPENDENT CIVIC LEADERS; AND HOSPITAL MEDICAL STAFF PRIVILEGES WERE AVAILABLE TO ALL QUALIFIED PHYSICIANS. THE ORGANIZATION'S POSITION IS THAT MEDICARE UNDERPAYMENTS AND BAD DEBT ARE COMMUNITY BENEFIT AND ASSOCIATED COSTS SHOULD BE INCLUDBALE ON THE FORM 990, SCHEUDLE H, PART I BUT ARE NOT. THE AMERICAN HOSPITAL ASSOCIATION'S ("AHA") POSITION IS THAT MEDICARE UNDERPAYMENTS (SHORTFALL) AND BAD DEBT ARE COMMUNITY BENEFIT AND THUS INCLUDABLE ON THE FORM 990, SCHEDULE H, PART I. THIS ORGANIZATION AGREES WITH THE AHA POSITION. AS OUTLINED IN THE AHA LETTER TO THE IRS DATED AUGUST 21, 2007 WITH RESPECT TO THE FIRST PUBLISHED DRAFT OF THE NEW FORM 990 AND SCHEDULE H, THE AHA FELT THAT THE IRS SHOULD INCORPORATE THE FULL VALUE OF THE COMMUNITY BENEFIT THAT HOSPITALS PROVIDE BY COUNTING MEDICARE UNDERPAYMENTS (SHORTFALL) AS QUANTIFIABLE COMMUNITY BENEFIT FOR THE FOLLOWING REASONS: - PROVIDING CARE FOR THE ELDERLY AND SERVING MEDICARE PATIENTS IS AN ESSENTIAL PART OF THE COMMUNITY BENEFIT STANDARD. - MEDICARE, LIKE MEDICAID, DOES NOT PAY THE FULL COST OF CARE. RECENTLY REPORTS INDICATE THAT MEDICARE REIMBURSES HOSPITALS ON AVERAGE APPROXIMATELY 92 CENTS FOR EVERY DOLLAR THEY SPEND TO TAKE CARE OF MEDICARE PATIENTS. THE SYSTEM'S EXPERIENCE IS 85.1%. THE MEDICARE PAYMENT ADVISORY COMMISSION ("MEDPAC") IN ITS MARCH 2007 REPORT TO CONGRESS CAUTIONED THAT UNDERPAYMENT WILL GET EVEN WORSE, WITH MARGINS REACHING A 10-YEAR LOW AT NEGATIVE 5.4 PERCENT. - MANY MEDICARE BENEFICIARIES, LIKE THEIR MEDICAID COUNTERPARTS, ARE POOR. MORE THAN 46 PERCENT OF MEDICARE SPENDING IS FOR BENEFICIARIES WHOSE INCOME IS BELOW 200 PERCENT OF THE FEDERAL POVERTY LEVEL. MANY OF THOSE MEDICARE BENEFICIARIES ARE ALSO ELIGIBLE FOR MEDICAID -- SO CALLED ELIGIBLES." THERE IS EVERY COMPELLING PUBLIC POLICY REASON TO TREAT MEDICARE AND MEDICAID UNDERPAYMENTS SIMILARLY FOR PURPOSES OF A HOSPITAL'S COMMUNITY BENEFIT AND INCLUDE THESE COSTS ON FORM 990, SCHEDULE H, PART I. MEDICARE UNDERPAYMENT MUST BE SHOULDERED BY THE HOSPITAL IN ORDER TO CONTINUE TREATING THE COMMUNITY'S ELDERLY AND POOR. THESE UNDERPAYMENTS REPRESENT A REAL COST OF SERVING THE COMMUNITY AND SHOULD COUNT AS A QUANTIFIABLE COMMUNITY BENEFIT. BOTH THE AHA AND THIS ORGANIZATION ALSO FEEL THAT PATIENT BAD DEBT IS A COMMUNITY BENEFIT AND THUS INCLUDABLE ON THE FORM 990, SCHEDULE H, PART I. LIKE MEDICARE UNDERPAYMENT (SHORTFALLS), THERE ALSO ARE COMPELLING REASONS THAT PATIENT BAD DEBT SHOULD BE COUNTED AS QUANTIFIABLE COMMUNITY BENEFIT AS FOLLOWS: - A SIGNIFICANT MAJORITY OF BAD DEBT IS ATTRIBUTABLE TO LOW-INCOME PATIENTS, WHO, FOR MANY REASONS, DECLINE TO COMPLETE THE FORMS REQUIRED TO ESTABLISH ELIGIBILITY FOR HOSPITALS' CHARITY CARE OR FINANCIAL ASSISTANCE PROGRAMS. A 2006 CONGRESSIONAL BUDGET OFFICE ("CBO") REPORT, NONPROFIT HOSPITALS AND THE PROVISION OF COMMUNITY BENEFITS, CITED TWO STUDIES INDICATING THAT "THE GREAT MAJORITY OF BAD DEBT WAS ATTRIBUTABLE TO PATIENTS WITH INCOMES BELOW 200% OF THE FEDERAL POVERTY LINE." - THE REPORT ALSO NOTED THAT A SUBSTANTIAL PORTION OF BAD DEBT IS PENDING CHARITY CARE. UNLIKE BAD DEBT IN OTHER INDUSTRIES, HOSPITAL BAD DEBT IS COMPLICATED BY THE FACT THAT HOSPITALS FOLLOW THEIR MISSION TO THE COMMUNITY AND TREAT EVERY PATIENT THAT COMES THROUGH THEIR EMERGENCY DEPARTMENT, REGARDLESS OF ABILITY TO PAY. PATIENTS WHO HAVE OUTSTANDING BILLS ARE NOT TURNED AWAY, UNLIKE OTHER INDUSTRIES. BAD DEBT IS FURTHER COMPLICATED BY THE AUDITING INDUSTRY'S STANDARDS ON REPORTING CHARITY CARE. MANY PATIENTS CANNOT OR DO NOT PROVIDE THE NECESSARY, EXTENSIVE DOCUMENTATION REQUIRED TO BE DEEMED CHARITY CARE BY AUDITORS. AS A RESULT, THE REPORT STATES ROUGHLY 40% OF BAD DEBT IS PENDING CHARITY CARE. - THE CBO CONCLUDED THAT ITS FINDINGS "SUPPORT THE VALIDITY OF THE USE OF UNCOMPENSATED CARE [BAD DEBT AND CHARITY CARE] AS A MEASURE OF COMMUNITY BENEFITS" ASSUMING THE
SCHEDULE H, PART III, SECTION B; QUESTION 9B	ACCOUNTS CONSIDERED TO BE CHARITY CARE ARE NOT INCLUDED IN THE BAD DEBT EXPENSE, BUT RATHER, ACCOUNTED FOR AS AN ALLOWANCE. IT IS THE POLICY OF THE SYSTEM AND ALL ITS AFFILIATES, TO TREAT ALL PATIENTS EQUALLY REGARDLESS OF INSURANCE AND THEIR ABILITY TO PAY. THE PRIMARY MISSION OF THE UNIVERSITY MEDICAL CENTER OF PRINCETON AT PLAINSBORO ("UMCPP") IS TO IMPROVE the overall health status of the community it serves. UMCPP is committed to providing high quality and affordable healthcare to all individuals who seek services. THEREFORE, THE ORGANIZATION makes every effort to work with ITS patients to help in the payment of bills. This assistance includes providing PATIENTS with access to a financial counselor, assisting New Jersey State residents obtain Charity Care and establishing payment plans for ease of payment. UMCPP HAS A CHARITY CARE POLICY (FINANCIAL ASSISTANCE POLICY) TO ASSURE PATIENTS ARE PROVIDED WITH CHARITY CARE ASSISTANCE DETERMINED BY STATE AND FEDERAL REGULATIONS. IT IS THE POLICY TO INFORM ALL PATIENTS DEEMED SELF-PAY OF THE APPROPRIATE ASSISTANCE PROGRAMS AVAILABLE. PATIENTS APPLYING FOR CHARITY CARE ASSISTANCE WILL BE FINANCIALLY SCREENED BY A FINANCIAL COUNSELOR TO DETERMINE ELIGIBILITY ACCORDING TO STATE AND FEDERAL GUIDELINES AND WILL BE INFORMED OF DOCUMENTATION NEEDED TO COMPLETE A CHARITY CARE APPLICATION. PATIENTS NOT ELIGIBLE FOR CHARITY CARE WILL BE FINANCIALLY COUNSELED FOR ALL OTHER OPTIONS. QUALIFIED PATIENTS WILL BE REFERRED TO ALL APPROPRIATE AGENCIES OR PROGRAMS TO MEET OTHER FINANCIAL NEEDS. IN ADDITION, UMCPP HAS ESTABLISHED A SELF-PAY ASSISTANCE PROGRAM FOR OUR UNINSURED PATIENTS THAT DO NOT QUALIFY FOR MEDICAID OR THE NEW JERSEY STATE CARE PAYMENT ASSISTANCE PROGRAM. THE SELF-PAY ASSISTANCE PROGRAM RATES ARE REFLECTIVE OF MEDICARE REIMBURSEMENT, AS REFERRED BY THE STATE OF NEW JERSEY. The Patient Financial Services department adhereS to all Federal, State, Local and PFS deemed contractual regulations and standards to ensure proper and legal operations. This encompasses, but is not limited to, the following: 1. Billing Procedures, both insurance and inpatient; 2. Collections, both Bad Debt and Medicare Bad Debt; 3. Bad Debt Recovery, both "regular" Bad Debt and Medicare Bad Debt; and 4. Maintenance of the Confidentiality and Security of Protected Health Information. UMCPP will not engage in any actions that discourage individuals from seeking emergency medical care, such as by demanding the emergency department patients pay before receiving treatment for emergency medical conditions or by permitting debt collection activities in the emergency department or other areas where such activities could interfere with the provision of emergency care on a non-Discriminatory basis. IF UMCPP COLLECTION ACTIONS ARE NOT SUCCESSFUL, THE ORGANIZATION may ULTIMATELY authorize third parties to initiate collection actions on delinquent patient accounts.
SCHEDULE H, PART VI; QUESTION 2	IN AN EFFORT TO ASSESS THE HEALTHCARE NEEDS OF THE COMMUNITY PHCS CONDUCTED ITS SECOND COMMUNITY HEALTH NEEDS ASSESSMENT ("CHNA") IN 2015. The CHNA was guided by a participatory, collaborative approach, which examined health in its broadest sense. This process included integrating existing secondary data on social, economic and health issues in the region with quantitative information from a community health survey and qualitative information from 6 focus groups with community residents and service providers and 13 interviews with community stakeholders. Focus groups and interviews were conducted with individuals from the three counties that comprise the PCHS service region, with individuals representing public health, seniors, PHCS staff and providers, EMS providers, social service, healthcare, and mental health providers and the local government. The survey was administered online and disseminated through multiple channels to individuals who either live or work in Mercer, Middlesex and Somerset Counties. IN ADDITION TO THE CHNA PROCESS DESCRIBED ABOVE AND IN SCHEDULE H, SECTION B, QUESTIONS 1-12 AND SECTION C, PRINCETON HEALTHCARE SYSTEM HAS PREVIOUSLY HIRED AN OUTSIDE FIRM TO CONDUCT A QUANTITATIVE CONSUMER RESEARCH STUDY OF CURRENT AND FUTURE COMMUNITY HEALTHCARE NEEDS AROUND PRINCETON, NEW JERSEY AREA. THE INTENT OF THE STUDY WAS TO UNCOVER CONSUMER INSIGHTS THAT WILL AID THE HOSPITAL'S PLANNING AND STRATEGIC DIRECTION THROUGH BETTER UNDERSTANDING OF THE CHANGING POPULATION - PARTICULARLY FROM THE STANDPOINT OF THE POPULATION'S RACIAL/ETHNIC MIX. THIS WAS A FORWARD-LOOKING STUDY THAT WOULD SUPPORT OTHER PRINCETON HEALTHCARE SYSTEM INITIATIVES THAT ADDRESS A POTENTIAL SHIFT IN THE POPULATION'S CULTURAL DYNAMICS WHEN IT MOVED TO THE NEW UNIVERSITY MEDICAL CENTER OF PRINCETON AT PLAINSBORO. AS WELL, PRINCETON HEALTHCARE SYSTEM ANTICIPATED THE COMPETITIVE COMPLEXION TO CHANGE AND INTENSIFY. IT IS THEREFORE THE HOPE THAT THESE AND OTHER INSIGHTS WILL AID PRINCETON HEALTHCARE SYSTEM TO DEVELOP MORE COMMUNITY-CENTERED HEALTHCARE SERVICES WHICH WILL IN TURN INSPIRE A SUSTAINABLE LEADERSHIP POSITION. PHCS CONTINUALLY ASSESSES ITS COMMUNITY AND THE NEEDS WITHIN ITS PRIMARY SERVICE AREA. IN ITS 2015 PROGRESS REPORT TO THE COMMUNITY PHCS REPORTED WITHIN ITS CAMPUS UPDATE THAT The Childrens Hospital of Philadelphia ("CHOP") opened an outpatient specialty center on the Princeton Health Campus in early 2015. The 25,000-square-Foot pediatric outpatient facility offers more than 20 pediatric specialties and subspecialties, as well as other services including therapy, testing and diagnostic imaging. ADDITIONALLY, THE ORGANIZATION REPORTED THE FOLLOWING INIATIVES PLANNED FOR THE FUTURE: 1) Adult Day Care - A 13,000-square-foot medical adult day care facility will provide care for up to 150 seniors, along with round-trip transportation for clients. A registered nurse and experienced staff on site will offer a range of programs and activities including low-impact exercise and medication management. 2) Child Care - A 13,000-square-foot center will serve up to 120 children between the ages of 2 months and 5 years, and offer a before and after-school program for children ages 6 through 12. 3) Independent Living - A total of 315 rental and for-sale independent living units are planned for a 38-acre site adjacent to the Merwick Rehabilitation and Nursing Care Center. Plans include a six-story building with rental apartments wrapped around a central parking garage, a mix of townhomes and attached dwelling units with private parking. The site will feature high-end amenities such as dining venues, a fitness center and spa. 4) Assisted Living - A senior assisted living community in a three-Story, 104,544-square-foot facility on 6.1 acres will consist of approximately 100 units. It will serve residents with early-, mid-stage, and late-stage Alzheimers disease and dementia. In addition to a traditional assisted living component, the project will be designed to include two memory care neighborhoods: one for residents with early stage dementia, and another for those with advanced memory loss. THESE ARE JUST A FEW EXAMPLES OF ACTIONS TAKEN BY THE ORGANIZATION TO IMPLEMENT PROGRAMS AND SERVICES TO ADDRESS NEEDS WITHIN THE COMMUNITY.
SCHEDULE H, PART VI; QUESTION 3	PHCS ACTIVELY PROMOTES ITS PATIENT FRIENDLY BILLING AND COLLECTION PROCESS THROUGH MULTIPLE CHANNELS AND IS AN INTEGRAL PART OF ITS CODE OF ETHICS AND VALUE STATEMENT. THE PHCS WEBSITE AND OTHER MATERIALS INFORMS PATIENTS THAT PHCS MAKES EVERY EFFORT TO WORK WITH OUR PATIENTS TO HELP THEM IN THE PAYMENT OF BILLS. ALSO, DURING THE INTAKE PROCESS DURING SCHEDULING AND/OR REGISTRATION INSURANCE/FINANCIAL RESPONSIBILITY IS COVERED. IF THE PATIENT IS WITHOUT COVERAGE WE HAVE A DEDICATED TEAM OF PROFESSIONALS THAT WILL ASSIST AND ASSESS WHETHER HE/SHE MAY QUALITY FOR ANY GOVERNMENT PROGRAMS. IN PARALLEL WE WILL ASSESS WHETHER THE PATIENT QUALIFIES FOR CHARITY CARE. PHCS PATIENT BILLS, WHERE APPLICABLE, MAKE REFERENCE TO OUR CHARITY CARE POLICY AND ALL PATIENT BILLS HAVE CONTACT INFORMATION. CHARITY CARE SIGNS ARE POSTED THROUGHOUT THE FACILITY, MAINLY IN PATIENT REGISTRATION AREAS. SIGNS ARE POSTED IN BOTH ENGLISH AND SPANISH. ALL PATIENTS DEEMED SELF-PAY ARE SCREENED FOR FINANCIAL ASSISTANCE BY A RESOURCE ADVISOR ACCORDING TO THE FEDERAL POVERTY GUIDELINES AND REFERRED TO APPROPRIATE AGENCIES OR PROGRAMS.
SCHEDULE H, PART VI; QUESTION 4	IN ITS CHNA, CONDUCTED IN 2015, THE ORGANIZATION REPORTED THE FOLLOWING DEMOGRAPHICS FOR THE COMMUNITY THE ORGANIZATION SERVES: Overall Population: In 2012, the total population of the three counties served by PHCS was over 1.5 million, about 17% of New Jerseys total population. The population has grown over the past fifteen years, with Somerset and Middlesex Counties experiencing a higher growth rate than Mercer County or the state (about 8%) between the 2000 and 2010 censuses. The population in all three counties is expected to continue to grow, with Somerset and Middlesex Counties expected to increase at a rate higher than Mercer County and the state. Age Distribution: The age distribution for the region is similar to that of New Jersey; however, Somerset County has a slightly higher proportion of residents under the age of 18 than the other two counties and the state overall. Population projections indicate that the proportion of residents overall age 65 in the region is expected to increase substantially over the next decade, with Somerset County expected to experience the greatest increase. The proportion of residents under the age of 19 is expected to decline slightly in all three counties over the coming 20 years. Racial and Ethnic Diversity: Focus group and interview participants reported that the region is racially and ethnically diverse and see this as an important asset. Middlesex County is the most diverse of the three counties with the largest proportion of Asian (22.2%) and Hispanic (18.8%) residents. Mercer County has the highest proportion of black residents (19.5%) while Somerset has the highest proportion of white residents (61.3%). The proportion of residents from diverse racial and ethnic backgrounds is projected to continue to increase in the coming two decades. Income, Poverty and Employment: The PHCS service region is largely affluent, with household incomes in each of the three counties exceeding the state median. However, the cost of living is very high, pricing some people out of the community. Residents also report that there are pockets of poverty. The poverty rate in Mercer County (11.2%) is the highest of the three counties and also higher than the state overall. Focus group members and interviewees expressed concern about income disparity in this affluent region, which they saw as growing. Educational Attainment: The quality of the schools was cited by many as a significant asset in the region. All three counties have a higher proportion of adult residents with a college degree or higher than the state; over half of Somerset County adults have a bachelors degree or higher. Housing: As a generally affluent region, housing in the three counties is fairly expensive. Median housing costs for monthly mortgages and rent exceed that of the state in Somerset County but are similar to the state in Mercer and Middlesex Counties. Transportation: Transportation was described as a substantial concern for the region. There are few public transportation options for transit within the region making access to health and other services more difficult for seniors and lower income residents. Crime and Violence: Overall, the region is relatively safe according to focus group members and interviewees. The overall crime rate, as well as violent and nonviolent crime, is higher in Mercer County than in the other two counties or the state overall. Environmental Quality: Quantitative data about air pollution indicate that the levels of air pollution Are similar across the three counties and New Jersey overall, slightly over 11 micrograms per cubic meter. SINCE THE HOSPITAL FACILITY IS LOCATED IN AN AFFLUENT COMMUNITY THE ORGANIZATION AIMS TO DEVELOP PROGRAMS TO MEET THE NEEDS OF THE LESS FORTUNATE. FOR EXAMPLE, THE ORGANIZATION PREVIOUSLY INVESTED $3M IN AN OUTPATIENT CENTER (CLINIC) THAT CATERS TO PATIENTS WITHOUT INSURANCE OR MEDICAID. THIS OUTPATIENT CENTER PROVIDES ADULT, PEDIATRICS, OB/GYN AND SPECIALTY CARE. ADDITIONALLY, PHCS PROVIDES AND SUBSIDIZES 24/7 OBSETRICAL COVERAGE TO ENSURE ALL PATIENTS RECEIVE IMMEDIATE ACCESS TO QUALTY CARE. PHCS ALSO DEVELOPED INPATIENT BEHAVIORAL HEALTH PROGRAMS (E.G., SHORT TERM CARE INVOLUNTARY PROGRAMS) THAT PROVIDE CARE TO A MUCH LARGER CATCHMENT AREA AND SERVICE PRIMARILY AN INDIGENT POPULATION.
SCHEDULE H, PART VI; QUESTION 5	THIS ORGANIZATION OPERATES CONSISTENTLY WITH THE FOLLOWING CRITERIA OUTLINED IN IRS REVENUE RULING 69-545: 1. THE ORGANIZATION PROVICES MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS REGARDLESS OF ABILITY TO PAY, INCLUDING CHARITY CARE, SELF-PAY, MEDICARE AND MEDICAID PATIENTS; 2. THE ORGANIZATION OPERATES AN ACTIVE EMERGENCY DEPARTMENT FOR ALL PERSONS; WHICH IS OPEN 24 HOURS A DAY, 7 DAYS A WEEK, 365 DAYS PER YEAR; 3. THE ORGANIZATION MAINTAINS AN OPEN MEDICAL STAFF, WITH PRIVILEGES AVAILABLE TO ALL QUALIFIED PHYSICIANS; 4. CONTROL OF THE ORGANIZATION RESTS WITH ITS BOARD OF DIRECTORS; WHICH IS COMPRISED OF INDEPENDENT CIVIC LEADERS AND OTHER PROMINENT MEMBERS OF THE COMMUNITY; AND 5. SURPLUS FUNDS ARE USED TO IMPROVE THE QUALITY OF PATIENT CARE, EXPAND AND RENOVATE FACILITIES AND ADVANCE MEDICAL CARE; PROGRAMS AND ACTIVITIES. IN ADDITION TO PROVIDING DIRECT PATIENT CHARITY CARE AND IN FURTHERANCE OF ITS EXEMPT PURPOSE TO BENEFIT THE COMMUNITY, THE SYSTEM PROVIDES COMMUNITY EDUCATION, HEALTH SCREENINGS AND OUTREACH PROGRAMS TO PATIENTS RESIDING IN MERCER, MIDDLESEX, AND SOMERSET COUNTIES. MAJOR PROGRAMS INCLUDE AN ANNUAL WOMEN'S CONFERENCE AND A CONFERENCE ADDRESSING THE HEALTH NEEDS OF THE AFRICAN-AMERICAN COMMUNITY. OTHER SPECIAL HEALTH OUTREACH EFFORTS HAVE BEEN DIRECTED TO THE LATINO, INDIAN-AMERICAN, AND KOREAN-AMERICAN COMMUNITIES. THE SYSTEM IS ALSO INVOLVED WITH PARTNERSHIPS WITH THE PRINCETON, HOPEWELL VALLEY, AND WEST WINDSOR/PLAINSBORO REGIONAL SCHOOL DISTRICTS FOR CHILDHOOD AND ADOLESCENT HEALTH ISSUES INCLUDING UNDERAGE DRINKING, SMOKING AND EATING DISORDERS. OTHER PROGRAM VENUES INCLUDE AREA SENIOR CENTERS AND PUBLIC LIBRARIES.
SCHEDULE H, PART VI; QUESTION 6	PRINCETON HEALTHCARE SYSTEM HOLDING, INC. IS THE TAX-EXEMPT PARENT ENTITY OF THE PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION AND AFFILIATES ("SYSTEM"). ALL AFFILIATES CONSTITUTE A TAX-EXEMPT HEALTHCARE DELIVERY SYSTEM COMMITTED TO ENHANCING THE OVERALL HEALTH STATUS OF THE COMMUNITY BY PROVIDING THE HIGHEST QUALITY HEALTHCARE AND RELATED SERVICES. THE SYSTEM STRIVES TO EXCEED THE PATIENTS' EXPECTATIONS EMPHASIZING COMMITMENT, COMPETENCE, COLLABORATION, COMMUNICATION, AND COMPASSION. OUTLINED BELOW IS A SUMMARY OF THE ENTITIES WHICH COMPRISE THE PRINCETON HEALTHCARE SYSTEM AND AFFILIATES. NOT-FOR-PROFIT PRINCETON HEALTHCARE SYSTEM AND AFFILIATES ENTITIES ================================================================== PRINCETON HEALTHCARE SYSTEM HOLDING, INC. ----------------------------------------- PRINCETON HEALTHCARE SYSTEM HOLDING, INC. ("PHCS HOLDING") IS THE TAX-EXEMPT PARENT OF THE PRINCETON HEALTHCARE SYSTEM AND AFFILIATES ("SYSTEM"). THIS INTEGRATED HEALTHCARE DELIVERY SYSTEM CONSISTS OF A GROUP OF AFFILIATED HEALTHCARE ORGANIZATIONS. THE SOLE MEMBER OR STOCKHOLDER OF EACH ENTITY IS EITHER PHCS HOLDING OR ANOTHER SYSTEM AFFILIATE CONTROLLED BY PHCS HOLDING. THE SYSTEM IS AN INTEGRATED NETWORK OF HEALTHCARE PROVIDERS IN THE STATE OF NEW JERSEY. PRINCETON HEALTHCARE SYSTEM HOLDING, INC. IS AN ORGANIZATION RECOGNIZED BY THE INTERNAL REVENUE SERVICE AS TAX-EXEMPT PURSUANT TO INTERNAL REVENUE CODE 501(C)(3) AND AS A SUPPORTING ORGANIZATION PURSUANT TO INTERNAL REVENUE CODE 509(A)(3). PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION --------------------------------------------------------------- PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION ("PHCS") IS COMPRISED OF THREE DIVISIONS; UNIVERSITY MEDICAL CENTER OF PRINCETON AT PLAINSBORO ("UMCPP"), PRINCETON HOUSE BEHAVIORAL HEALTH AND PRINCETON HOMECARE SERVICES. UMCPP is an acutecare facility licensed for 319 acute care beds (including 14 special care nursery bassinets and 17 physical rehabilitation beds). princeton House Behavioral Health is a 110-bed psychiatric and behavioral health facility. Princeton HomeCare Services provides home nursing care, home rehabilitation, homemaker services and operates a hospice program. PHCS IS RECOGNIZED BY THE INTERNAL REVENUE SERVICE AS AN INTERNAL REVENUE CODE SECTION 501(C)(3) TAX-EXEMPT ORGANIZATION. PURSUANT TO ITS CHARITABLE PURPOSES, PHCS PROVIDES MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS IN A NON-DISCRIMINATORY MANNER REGARDLESS OF RACE, COLOR, CREED, SEX, NATIONAL ORIGIN OR ABILITY TO PAY. MOREOVER, PHCS OPERATES CONSISTENTLY WITH THE CRITERIA OUTLINED IN IRS REVENUE RULING 69-545. 1. PHCS PROVIDES MEDICALLY NECESSARY HEALTHCARE SERVICES TO ALL INDIVIDUALS REGARDLESS OF ABILITY TO PAY, INCLUDING CHARITY CARE, SELF- PAY, MEDICARE AND MEDICAID PATIENTS; 2. PHCS OPERATES AN ACTIVE EMERGENCY DEPARTMENT FOR ALL PERSONS; WHICH IS OPEN 24 HOURS A DAY, 7 DAYS A WEEK, 365 DAYS PER YEAR; 3. PHCS MAINTAINS AN OPEN MEDICAL STAFF, WITH PRIVILEGES AVAILABLE TO ALL QUALIFIED PHYSICIANS; 4. CONTROL OF PHCS RESTS WITH ITS BOARD OF TRUSTEES WHICH IS COMPRISED OF INDEPENDENT CIVIC LEADERS, MEMBERS OF THE COMMUNITY AND MEDICAL STAFF REPRESENTATION; AND 5. SURPLUS FUNDS ARE USED TO IMPROVE THE QUALITY OF PATIENT CARE, EXPAND AND RENOVATE FACILITIES AND ADVANCE MEDICAL CARE; PROGRAMS AND ACTIVITIES. PRINCETON CAREGIVERS, INC. -------------------------- PRINCETON CAREGIVERS, INC. IS AN ORGANIZATION RECOGNIZED BY THE INTERNAL REVENUE SERVICE AS TAX-EXEMPT PURSUANT TO INTERNAL REVENUE CODE 501(C)(3). THE ORGANIZATION PROVIDES PRIVATE DUTY HOME CARE SERVICES. PRINCETON HEALTHCARE SYSTEM FOUNDATION, INC. -------------------------------------------- PRINCETON HEALTHCARE SYSTEM FOUNDATION, INC. IS AN ORGANIZATION RECOGNIZED BY THE INTERNAL REVENUE SERVICE AS TAX-EXEMPT PURSUANT TO INTERNAL REVENUE CODE 501(C)(3) AND AS A NON-PRIVATE FOUNDATION PURSUANT TO INTERNAL REVENUE CODE 509(A)(1). The Foundation supports and maintains programs, services and facilities through the solicitation, receipt, administration and distribution of philanthropic gifts for the sole benefit of the system. PRINCETON MEDICAL PROPERTIES, INC. ---------------------------------- PRINCETON MEDICAL PROPERTIES, INC. IS AN ORGANIZATION RECOGNIZED BY THE INTERNAL REVENUE SERVICE AS TAX-EXEMPT PURSUANT TO INTERNAL REVENUE CODE 501(C)(2). THE ORGANIZATION IS A TITLE HOLDING COMPANY WHICH WAS FORMED FOR THE PURPOSE OF ACQUIRING, CONSTRUCTING, FINANCING AND HOLDING PROPERTY FOR THE BENEFIT OF PRINCETON HEALTHCARE SYSTEM HOLDING, INC. AND ITS AFFILIATES. PRINCETON HEALTHCARE AFFILIATED PHYSICIANS, P.C. (D/B/A PRINCETON MEDICINE) --------------------------------------------------------------------- PRINCETON HEALTHCARE AFFILIATED PHYSICIANS, P.C. IS AN ORGANIZATION RECOGNIZED BY THE INTERNAL REVENUE SERVICE AS TAX-EXEMPT PURSUANT TO INTERNAL REVENUE CODE 501(C)(3) AND AS A NON-PRIVATE FOUNDATION PURSUANT TO INTERNAL REVENUE CODE 509(A)(2). THE ORGANIZATION IS STRUCTURED AS A PROFESSIONAL CORPORATION PURSUANT TO THE PROVISIONS OF THE PROFESSIONAL SERVICES CORPORATION ACT OF NEW JERSEY. THE ORGANIZATION'S PURPOSE IS TO PROVIDE PHYSICIAN SERVICES TO FURTHER THE CHARITABLE AND HEALTHCARE PURPOSES OF THE PRINCETON HEALTHCARE SYSTEM HOLDING, INC. AND ITS AFFILAITES. BY PRACTICING MEDICINE, ENGAGING IN MEDICAL EDUCATION AND WORKING TO IMPROVE THE WELFARE OF INDIVIDUALS IN NEW JERSEY, THE ORGANIZATION COMPRISES A COMPONENT OF THE CLINICAL SERVICE PHYSICIAN PRACTICE PLANS OF PRINCETON HEALTHCARE SYSTEM AND IS AN INTEGRAL PART OF PRINCETON HEALTHCARE SYSTEM. FOR PROFIT PRINCETON HEALTHCARE SYSTEM AND AFFILIATES ENTITIES ============================================================== PHI PHARMACY, INC. ------------------ PHI PHARMACY, INC. IS AN INACTIVE FOR-PROFIT ENTITY WHOSE SOLE SHAREHOLDER IS PHCS HOLDING. PRINCETON HEALTH, INC. ---------------------- PRINCETON HEALTH, INC. IS A FOR-PROFIT ENTITY WHOSE SOLE SHAREHOLDER IS PHCS HOLDING. THE ORGANIZATION IS THE SOLE SHAREHOLDER OF PRINCEOTN HEALTHCARE MANAGEMENT SERVICES, INC. AND IS LOCATED IN PRINCETON, MERCER COUNTY, NEW JERSEY. THE ORGANIZATION IS AN INVESTMENT VEHICLE THAT SUPPORTS THE CHARITABLE TAX-EXEMPT PURPOSES, PROGRAMS AND SERVICES OF PHCS. PRINCETON HEALTHCARE MANAGEMENT SERVICES, INC. ---------------------------------------------- PRINCETON HEALTHCARE MANAGEMENT SERVICES, INC. IS A FOR-PROFIT ENTITY WHOSE SOLE SHAREHOLDER IS PRINCETON HEALTH, INC. THE ORGANIZATION IS LOCATED IN PRINCETON, MERCER COUNTY, NEW JERSEY. THE ORGANIZATION PROVIDES MANAGEMENT AND ADMINISTRATIVE SUPPORT TO PHYSICIAN PRACTICES OWNED BY THE SYSTEM AND TO PRIVATE PHYSICIAN PRACTICES. PRINCETON HEALTHCARE MEDICAL EQUIPMENT CO. ------------------------------------------ PRINCETON HEALTHCARE MEDICAL EQUIPMENT CO. IS AN INACTIVE FOR-PROFIT ENTITY WHOSE SOLE SHAREHOLDER IS PRINCETON HEALTH, INC.
SCHEDULE H, PART VI; QUESTION 7	NOT APPLICABLE. THE ENTITY AND RELATED PROVIDER ORGANIZATIONS ARE LOCATED IN NEW JERSEY. THE STATE OF NEW JERSEY DOES NOT REQUIRE HOSPITALS TO ANNUALLY FILE A COMMUNITY BENEFIT REPORT WITH THE STATE OF NEW JERSEY.

Schedule H (Form 990) 2015

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" on Form 990, Part IV, line 23.
SchJMediumBullet

Attach to Form 990.
SchJMediumBullet

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

OMB No. 1545-0047

2015

Open to Public Inspection

Name of the organization

PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

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 on Form
990, Part VII, Section A, line 1a. Complete Part III to provide any relevant information regarding these items.

First-class or charter travel Housing allowance or residence for personal use

Travel for companions Payments for business use of personal residence

Tax idemnification and gross-up payments Health or social club dues or initiation fees

Discretionary spending account Personal services (e.g., maid, chauffeur, chef)

If any of the boxes in line 1a are checked, did the organization follow a written policy regarding payment or reimbursement or provision of all of the expenses described above? If "No," complete Part III to explain .........

Yes

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

Yes

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

Compensation committee Written employment contract

Independent compensation consultant Compensation survey or study

Form 990 of other organizations Approval by the board or compensation committee

During the year, did any person listed on 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), 501(c)(4), and 501(c)(29) organizations must complete lines 5-9.

For persons listed on 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," on line 5a or 5b, describe in Part III.

For persons listed on 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," on line 6a or 6b, describe in Part III.

For persons listed on Form 990, Part VII, Section A, line 1a, did the organization provide any non-fixed
payments not described in lines 5 and 6? If "Yes," describe in Part III ............

Yes

Were any amounts reported on 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" on 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) 2015

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 on 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 in column(B) reported as deferred on 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)
1BARRY S RABNERTRUSTEE - PRESIDENT/CEO	(i) (ii)	713,209 ------------- 0	136,481 ------------- 0	36,671 ------------- 0	13,529 ------------- 0	19,231 ------------- 0	919,121 ------------- 0	27,829 ------------- 0
2GLENN A ZIRBSERASST TREASURER - SVP/CFO	(i) (ii)	324,243 ------------- 0	49,050 ------------- 0	3,080 ------------- 0	12,204 ------------- 0	31,818 ------------- 0	420,395 ------------- 0	0 ------------- 0
3JANET L READY RN FACHEPRESIDENT UMCPP/SVP PHCS	(i) (ii)	400,948 ------------- 0	0 ------------- 0	13,176 ------------- 0	12,204 ------------- 0	19,036 ------------- 0	445,364 ------------- 0	0 ------------- 0
4RICHARD E WOHL MSW MBAPRESIDENT PHBH/SVP PHCS	(i) (ii)	303,444 ------------- 0	88,968 ------------- 0	9,641 ------------- 0	16,179 ------------- 0	30,783 ------------- 0	449,015 ------------- 0	0 ------------- 0
5MARK T JONESSVP NETWORK DEVELOPMENT	(i) (ii)	304,423 ------------- 0	66,783 ------------- 0	5,905 ------------- 0	12,204 ------------- 0	3,427 ------------- 0	392,742 ------------- 0	0 ------------- 0
6DONALD F DENNY JR MDSVP MEDICAL AFFAIRS	(i) (ii)	264,701 ------------- 0	22,235 ------------- 0	0 ------------- 0	12,204 ------------- 0	16,339 ------------- 0	315,479 ------------- 0	0 ------------- 0
7TIMOTHY MATHIASENSVP DEVELOPMENT PHCS FDN	(i) (ii)	183,076 ------------- 0	4,374 ------------- 0	2,674 ------------- 0	7,957 ------------- 0	30,023 ------------- 0	228,104 ------------- 0	0 ------------- 0
8ANNE C SEARLE MBAVP/CHIEF INFORMATION OFFICER	(i) (ii)	315,362 ------------- 0	55,711 ------------- 0	5,282 ------------- 0	12,204 ------------- 0	18,763 ------------- 0	407,322 ------------- 0	0 ------------- 0
9JAMES G DEMETRIADES MBAVP OPERATIONS	(i) (ii)	263,863 ------------- 0	42,420 ------------- 0	2,605 ------------- 0	13,529 ------------- 0	18,470 ------------- 0	340,887 ------------- 0	0 ------------- 0
10MARCIA M TELTHORSTERMEDCCPVP HUMAN RESOURCES	(i) (ii)	237,555 ------------- 0	33,140 ------------- 0	4,540 ------------- 0	10,771 ------------- 0	9,815 ------------- 0	295,821 ------------- 0	0 ------------- 0
11GUILHERME VALLADARES MBAVP FINANCE	(i) (ii)	235,024 ------------- 0	31,080 ------------- 0	2,301 ------------- 0	10,795 ------------- 0	29,928 ------------- 0	309,128 ------------- 0	0 ------------- 0
12BARBARA A YOST RN BSN MBAVP CONT. OF CARE SVCS&NTWK DEV	(i) (ii)	218,562 ------------- 0	36,762 ------------- 0	4,166 ------------- 0	13,202 ------------- 0	18,551 ------------- 0	291,243 ------------- 0	0 ------------- 0
13PETER J THOMAS PHDVP OUTPATIENT SERVICES	(i) (ii)	204,592 ------------- 0	40,716 ------------- 0	3,308 ------------- 0	12,232 ------------- 0	17,699 ------------- 0	278,547 ------------- 0	0 ------------- 0
14BARBARA CHRISTIANORNMSBSNVP PATIENT CARE SVCS/CNO	(i) (ii)	197,654 ------------- 0	29,520 ------------- 0	5,314 ------------- 0	9,672 ------------- 0	10,479 ------------- 0	252,639 ------------- 0	0 ------------- 0
15JAMES B HOGLE IIIVP SUPPORT SERVICES	(i) (ii)	188,113 ------------- 0	21,209 ------------- 0	1,987 ------------- 0	8,371 ------------- 0	32,586 ------------- 0	252,266 ------------- 0	0 ------------- 0
16CAROL NORRIS-SMITHVP MARKETING & PUBLIC AFFAIRS	(i) (ii)	166,424 ------------- 0	31,942 ------------- 0	1,955 ------------- 0	9,704 ------------- 0	30,278 ------------- 0	240,303 ------------- 0	0 ------------- 0
17NANCY C FLETCHER ESQVP CORP COMPLIANCE&REG AFFAIRS	(i) (ii)	179,741 ------------- 0	0 ------------- 0	0 ------------- 0	8,111 ------------- 0	28,331 ------------- 0	216,183 ------------- 0	0 ------------- 0
18MARGUERITE PEDLEY PHDVP INPATIENT SERVICES	(i) (ii)	151,200 ------------- 0	6,912 ------------- 0	1,720 ------------- 0	6,982 ------------- 0	17,197 ------------- 0	184,011 ------------- 0	0 ------------- 0
19SIMRAN R SEDANICHIEF MEDICAL INFO. OFFICER	(i) (ii)	127,607 ------------- 0	24,000 ------------- 0	2,089 ------------- 0	12,204 ------------- 0	17,479 ------------- 0	183,379 ------------- 0	0 ------------- 0
20SIDDIQ A FAISAL MD MPHMEDICAL DIRECTOR, OCC HEALTH	(i) (ii)	205,886 ------------- 0	9,702 ------------- 0	313 ------------- 0	10,138 ------------- 0	28,445 ------------- 0	254,484 ------------- 0	0 ------------- 0
21JANET VISCOMI RNREGISTERED NURSE	(i) (ii)	185,287 ------------- 0	4,000 ------------- 0	1,117 ------------- 0	4,583 ------------- 0	8,994 ------------- 0	203,981 ------------- 0	0 ------------- 0
22LAURIE S GREYEXEC DIR REVENUE CYCLE MGMT	(i) (ii)	183,344 ------------- 0	4,908 ------------- 0	1,350 ------------- 0	10,898 ------------- 0	20,420 ------------- 0	220,920 ------------- 0	0 ------------- 0
23KEVIN EDUSEINUCLEAR MEDICAL TECHNICIAN	(i) (ii)	181,814 ------------- 0	0 ------------- 0	616 ------------- 0	6,704 ------------- 0	8,997 ------------- 0	198,131 ------------- 0	0 ------------- 0
24JANET ALEXANDER-JAMESIMAGING SUPERVISOR NUCLEAR MED	(i) (ii)	181,252 ------------- 0	0 ------------- 0	399 ------------- 0	8,137 ------------- 0	17,668 ------------- 0	207,456 ------------- 0	0 ------------- 0

Schedule J (Form 990) 2015

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
SCHEDULE J, PART I; QUESTION 1	BARRY S. RABNER, THE ORGANIZATION'S PRESIDENT/CHIEF EXECUTIVE OFFICER, 2015 FORM W-2, BOX 5, TAXABLE MEDICARE WAGES INCLUDES A TAX GROSS-UP PAYMENT OF $2,806 RELATED TO HIS PERSONAL USAGE OF AUTO. JANET L. READY, RN, FACHE, PRESIDENT OF UNIVERSITY MEDICAL CENTER PRINCETON AT PLAINSBORO AND SENIOR VICE PRESIDENT OF PRINCETON HEALTHCARE SYSTEM, RELOCATED TO THE STATE OF NEW JERSEY FOR PRINCETON HEALTHCARE SYSTEM WORK PURPOSES. IN ORDER TO FACILITATE THE RELOCATION OF HER PRIMARY RESIDENCE, THE ORGANIZATION PROVIDED HER WITH A HOUSING ALLOWANCE IN THE AMOUNT OF $10,445 WHICH WAS INCLUDED IN HER 2015 FORM W-2, BOX 5, AS TAXABLE MEDICARE WAGES.
SCHEDULE J, PART I; QUESTION 4B	THE AMOUNT REFLECTED IN COLUMN B(III) FOR THE FOLLOWING INDIVIDUAL INCLUDES PARTICIPATION IN A SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN AS THE AMOUNT WAS NO LONGER SUBJECT TO A SUBSTANTIAL RISK OF COMPLETE FORFEITURE. THE AMOUNT OUTLINED HEREIN WAS INCLUDED IN HIS 2015 FORM W-2, BOX 5, AS TAXABLE MEDICARE WAGES: BARRY S. RABNER, $27,829.
SCHEDULE J, PART I; QUESTION 7	CERTAIN INDIVIDUALS INCLUDED IN SCHEDULE J, PART II RECEIVED A BONUS DURING CALENDAR YEAR 2015 WHICH AMOUNTS WERE INCLUDED IN COLUMN B(II) HEREIN AND IN EACH INDIVIDUAL'S 2015 FORM W-2, BOX 5, AS TAXABLE MEDICARE WAGES. PLEASE REFER TO THIS SECTION OF THE FORM 990, SCHEDULE J FOR THIS INFORMATION BY PERSON BY AMOUNT.
SCHEDULE J, PART II; COLUMN F	THE AMOUNT REPORTED IN SCHEDULE J, PART II, COLUMN (F) FOR THE FOLLOWING INDIVIDUAL REPRESENTS UNVESTED BENEFITS IN A SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN THAT BECAME TAXABLE IN 2015 BECAUSE IT WAS NO LONGER SUBJECT TO A SUBSTANTIAL RISK OF COMPLETE FORFEITURE, AND WERE REPORTED AS RETIREMENT AND OTHER DEFERRED COMPENSATION ON PRIOR FORMS 990 OF THE ORGANIZATION. THE AMOUNT OUTLINED HEREIN WAS INCLUDED IN HIS 2015 W-2, BOX 5, AS TAXABLE MEDICARE WAGES: BARRY S. RABNER, $27,829.

Schedule J (Form 990) 2015

Additional Data

Software ID:
Software Version:

- TIN:

Schedule K
(Form 990)

Department of the Treasury
Internal Revenue Service

Supplemental Information on Tax Exempt Bonds

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

Attach to Form 990.
SchKMediumBullet

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

OMB No. 1545-0047

2015

Open to Public
Inspection

Name of the organization
PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number
21-0635009

Part I

Bond Issues

(a) Issuer name		(b) Issuer EIN	(c) CUSIP #	(d) Date issued	(e) Issue price	(f) Description of purpose	(g) Defeased		(h) On behalf of issuer		(i) Pool financing
(a) Issuer name		(b) Issuer EIN	(c) CUSIP #	(d) Date issued	(e) Issue price	(f) Description of purpose	Yes	No	Yes	No	Yes	No
A	New Jersey Health Care Facilities Authority	22-1487148	64579fb93	05-01-2010	230,000,000	CONSTRUCTION OF HOSPITAL,REFINANCE		X		X		X

Part II

Proceeds

	A		B		C		D
	1 Amount of bonds retired ..................	0
2 Amount of bonds legally defeased ..............	0
3 Total proceeds of issue ..................	230,752,000
4 Gross proceeds in reserve funds .............	0
5 Capitalized interest from proceeds .............	0
6 Proceeds in refunding escrows ...............	0
7 Issuance costs from proceeds ...............	1,884,000
8 Credit enhancement from proceeds .............	0
9 Working capital expenditures from proceeds .............	0
10 Capital expenditures from proceeds .............	226,455,000
11 Other spent proceeds .............	0
12 Other unspent proceeds .............	27,000
13 Year of substantial completion .............	2012
	Yes	No	Yes	No	Yes	No	Yes	No
14 Were the bonds issued as part of a current refunding issue? ....	X
15 Were the bonds issued as part of an advance refunding issue? .....		X
16 Has the final allocation of proceeds been made? ..........	X
17 Does the organization maintain adequate books and records to support the final allocation of proceeds? ..................	X

Part III

Private Business Use

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

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

Cat. No. 50193E

Schedule K (Form 990) 2015

Page 2

Part III

Private Business Use (Continued)

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
3a Are there any management or service contracts that may result in private business use of bond-financed property? .............	X
b If "Yes" to line 3a, does the organization routinely engage bond counsel or other outside counsel to review any management or service contracts relating to the financed property?	X
c Are there any research agreements that may result in private business use of bond-financed property? .............		X
d If "Yes" to line 3c, does the organization routinely engage bond counsel or other outside counsel to review any research agreements relating to the financed property?
4 Enter the percentage of financed property used in a private business use by entities other than a section 501(c)(3) organization or a state or local government ....	0 %
5 Enter the percentage of financed property used in a private business use as a result of unrelated trade or business activity carried on by your organization, another section 501(c)(3) organization, or a state or local government .........
6 Total of lines 4 and 5 .............
7 Does the bond issue meet the private security or payment test? ...	X
8a Has there been a sale or disposition of any of the bond-financed property to a nongovernmental person other than a 501(c)(3) organization since the bonds were issued?.............		X
b If "Yes" to line 8a, enter the percentage of bond-financed property sold or disposed of. ..
c If "Yes" to line 8a, was any remedial action taken pursuant to Regulations sections 1.141-12 and 1.145-2? .............		X
9 Has the organization established written procedures to ensure that all nonqualified bonds of the issue are remediated in accordance with the requirements under Regulations sections 1.141-12 and 1.145-2? ........	X

Part IV

Arbitrage

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
1 Has the issuer filed Form 8038-T, Arbitrage Rebate, Yield Reduction and Penalty in Lieu of Arbitrage Rebate? ...		X
2 If "No" to line 1, did the following apply? ....
a Rebate not due yet? .......	X
b Exception to rebate? ........		X
c No rebate due? .........		X
If "Yes" to line 2c, provide in Part VI the date the rebate computation was performed ......
3 Is the bond issue a variable rate issue? .....	X
4a Has the organization or the governmental issuer entered into a qualified hedge with respect to the bond issue?		X
b Name of provider ..........	0
c Term of hedge .........
d Was the hedge superintegrated? ......
e Was the hedge terminated? ........

Schedule K (Form 990) 2015

Page 3

Part IV

Arbitrage (Continued)

	A		B		C		D
	Yes	No	Yes	No	Yes	No	Yes	No
5a Were gross proceeds invested in a guaranteed investment contract (GIC)?		X
b Name of provider ..........	0
c Term of GIC .........
d Was the regulatory safe harbor for establishing the fair market value of the GIC satisfied? ........
6 Were any gross proceeds invested beyond an available temporary period?		X
7 Has the organization established written procedures to monitor the requirements of section 148? ...	X

Part V

Procedures To Undertake Corrective Action

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

Part VI

Supplemental Information. Provide additional information for responses to questions on Schedule K (see instructions).

Return Reference	Explanation

Schedule K (Form 990) 2015

Additional Data

Software ID:
Software Version:

- TIN:

Schedule L
(Form 990 or 990-EZ)

Department of the Treasury
Internal Revenue Service

Transactions with Interested Persons

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

Attach to Form 990 or Form 990-EZ.
MediumBullet

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

OMB No. 1545-0047

2015

Open to Public Inspection

Name of the organization

PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

Part I

Excess Benefit Transactions (section 501(c)(3), section 501(c)(4), and 501(c)(29) organizations only).
Complete if the organization answered "Yes" on Form 990, Part IV, line 25a or 25b, or Form 990-EZ, Part V, line 40b.

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

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

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

Part II

Loans to and/or From Interested Persons.
Complete if the organization answered "Yes" on Form 990-EZ, Part V, line 38a, or Form 990, Part IV, line 26; or if the organization reported an amount on Form 990, Part X, line 5, 6, or 22

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










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

Part III

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

(a) Name of interested person	(b) Relationship between interested person and the organization	(c) Amount of assistance	(d) Type of assistance	(e) Purpose of assistance

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

Cat. No. 50056A

Schedule L (Form 990 or 990-EZ) 2015

Page 2

Part IV

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

(a) Name of interested person	(b) Relationship between interested person and the organization	(c) Amount of transaction	(d) Description of transaction	(e) Sharing of organization's revenues?
(a) Name of interested person		(c) Amount of transaction	(d) Description of transaction	Yes	No
(1) PRINCETON SURGICAL ASSOCAITES PA	TRUSTEE - GOLDMAN	511,845	MEDICAL SERVICES		No
(2) PRINCETON MEDICAL GROUP PA	TRUSTEE - YI	110,283	MEDICAL SERVICES		No

Part V

Supplemental Information
Provide additional information for responses to questions on Schedule L (see instructions).

Return Reference

Explanation

SCHEDULE L, PART IV

KENNETH A. GOLDMAN, M.D., FACS IS A TRUSTEE OF THE ORGANIZATION. DR. GOLDMAN IS A SHAREHOLDER AND PRESIDENT OF PRINCETON SURGICAL ASSOCIATES, P.A. THE ORGANIZATION UTILIZED THE SERVICES OF PRINCETON SURGICAL ASSOCIATES, P.A., DURING 2015. TOTAL FEES PAID TO PRINCETON SURGICAL ASSOCIATES, P.A. DURING 2015 WERE $511,845. SERVICES WERE RENDERED AT FAIR MARKET VALUE RATES PURSUANT TO ARM'S LENGTH NEGOTIATIONS. PETER I. YI, M.D., IS A TRUSTEE OF THE ORGANIZATION. DR. YI A SHAREHOLDER OF PRINCETON MEDICAL GROUP, P.A. THE ORGANIZATION UTILIZED THE SERVICES OF PRINCETON MEDICAL GROUP, P.A., DURING 2015. TOTAL FEES PAID TO PRINCETON MEDICAL GROUP, P.A. DURING 2015 WERE $110,283. SERVICES WERE RENDERED AT FAIR MARKET VALUE RATES PURSUANT TO ARM'S LENGTH NEGOTIATIONS.

Schedule L (Form 990 or 990-EZ) 2015

Additional Data

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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 990-EZ or to provide any additional information.
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Attach to Form 990 or 990-EZ.
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Information about Schedule O (Form 990 or 990-EZ) and its instructions is at
www.irs.gov/form990.

OMB No. 1545-0047

2015

Open to Public
Inspection

Name of the organization

PRINCETON HEALTHCARE SYSTEM A NEW JERSEY
NONPROFIT CORPORATION

Employer identification number

21-0635009

Return Reference	Explanation
CORE FORM, PART III; STATEMENT OF PROGRAM SERVICE ACCOMPLISHMENTS	Princeton HealthCare System, a New Jersey nonprofit corporation ("PHCS") offers a full continuum of care which includes acute care hospital services, behavioral healthcare, rehabilitation, home care, hospice care, ambulatory surgery and fitness and wellness services. PHCS is recognized by the Internal Revenue Service ("IRS") as an Internal Revenue Code 501(c)(3) tax-exempt organization. In accordance with its charitable mission, PHCS provides healthcare services to all individuals in a non-discriminatory manner regardless of race, color, creed, sex, national origin or ability to pay. Moreover, PHCS operates consistently with the following criteria outlined in IRS Revenue Ruling 69-545: 1. PHCS provides medically necessary healthcare services to all individuals regardless of ability to pay, including charity care, self-pay, Medicare and Medicaid patients; 2. PHCS operates for all persons an active emergency department, which is open 24 hours a day, 7 days a week, 365 days per year; 3. PHCS maintains an open medical staff, with privileges available to all qualified physicians; 4. Control of PHCS rests with its Board of Trustees, which is composed of independent civic leaders, members of the community and medical staff members; and 5. Surplus funds are used to improve the quality of patient care, expand and renovate facilities, and advance medical care, programs and activities. The operations of PHCS, as shown through the factors outlined above and other information contained herein, clearly demonstrate that the use and control of PHCS is for the benefit of the public and that no part of the income or net earnings of the organization inures to the benefit of any private individual nor is any private interest being served other than incidentally. BACKGROUND ---------- PHCS is a leading provider of healthcare services. A respected nonprofit, community teaching system, we offer compassionate care supported by advanced technologies and an outstanding medical staff. Ninety-seven percent of our 1,258 medical staff members have achieved board certification, the hallmark of professional excellence. The balance are board eligible. Through PHCS' affiliations with academic institutions, PHCS is setting new standards in diagnostic and treatment protocols and achieving successful clinical outcomes for our patients. The mission of PHCS is to be the focal point of a comprehensive community health system that responds to the healthcare needs of our service area residents. PHCS will provide inpatient and outpatient care, community health education and medical education and should promote medical and scientific research when appropriate. It is integral to the mission of PHCS to continually improve quality of service to our patients and community and to provide appropriate healthcare to all. PHCS includes the following: University Medical Center of Princeton --------------------------------------- University Medical Center of Princeton ("UMCP") is a teaching hospital that provides comprehensive patient care and support services relating to patient care to all individuals in a non-discriminatory manner regardless of ability to pay. It is an acute care facility with 319 beds which include 288 acute care beds, 17 physical rehabilitation beds and 14 neonatal bassinets. In 2015, patient days totaled 63,256. Outpatient patient visits/encounters totaled 149,637 DURING 2015. UMCP features single-site access to services in the following Centers for Care: - Center for Emergency Care features 24/7 care and access to such potentially life-saving procedures as emergency angioplasty, emergency neurosurgery and therapeutic hypothermia. - Institute for Surgical Care includes the Center for Bariatric Surgery & Metabolic Medicine; Jim Craigie Center for Joint Replacement; interventional lab; peri-operative services; pre-admission testing; surgical services; the vascular lab; hybrid OR; and minimally invasive surgical capabilities, including the da Vinci Surgical System. - Center for Neuroscience Care, which includes the Epilepsy Program and Neurophysiology Lab, enables patients to complete diagnostic testing, consult with physicians, and begin treatment in one convenient location. The center joins two specialized programs, one focusing on seizure disorders and another on neurological conditions in one designated care center designed to provide comprehensive inpatient and outpatient diagnostic and treatment services for adults and children experiencing such conditions as: epilepsy (seizure disorders), dizziness, head injuries, back pain, lower extremity weakness and degenerative diseases such as Parkinson's, dementia and Alzheimer's. Inpatient care includes in-room diagnostics and 24/7 personalized observation. - Edward & Marie Matthews Center for Cancer Care includes Cancer Program services, radiation oncology, the JoAnn Heffernan Heisen Infusion Therapy Suite, genetic counseling through an affiliation with Rutgers Cancer Institute of New Jersey's LIFE Center, comprehensive support services and clinical trials. The center unites the Cancer Program's cutting-edge services in one specially designed space, allowing our multidisciplinary team to give patients high quality clinical care and compassionate support in a modern, yet warm, setting. By providing a complete continuum of care, the center gives patients full access to the specialized clinical services, rehabilitative care, and support they need during treatment and recovery from cancer. - George & Estelle Sands Center for Cardiac and Pulmonary Care includes cardiac services, cardiac catheterization lab, cardiac and pulmonary rehabilitation, respiratory services and the pulmonary function lab. - Center for Eating Disorders Care offers an integrated continuum of care for individuals with anorexia, bulimia and other eating disorders. It provides featuring medical, psychotherapeutic and nutritional care in inpatient and partial hospital programs. The Center for Eating Disorders Care provides treatment for adults, adolescents and children as young as eight years old who are suffering from anorexia, bulimia and other eating disorders. Our patients not only benefit from treatment for the physical, psychosocial and nutritional aspects of their eating disorder, but they also have immediate access to full-service care for other medical needs. - Llura & Gordon Gund Center for Critical Care provides 24-hour intensive care services under the coordination of multi-board certified intensivists, in collaboration with specially trained nurses. - Center for Testing & Treatment includes hospital imaging services and laboratory services. - Center for Maternal & Newborn Care includes The Children's Hospital of Philadelphia ("CHOP") Newborn and Pediatric Care at UMCP; Labor and Delivery Unit; Mother-Baby Unit; Nursery and Neonatal Intensive Care Unit and Penn Maternal Fetal Medicine at UMCP (a partnership with Penn Medicine/the Hospital of the University of Pennsylvania). - Regan Family Center for Pediatric Care includes 24/7 care from board certified pediatric hospitalists from The Children's Hospital of Philadelphia ("CHOP"). It is designed with the understanding that children have very specialized healthcare needs. It includes bright, kid-friendly color accents and separate treatment room. Each child has his or her own room in this dedicated pediatric unit that is focused on exceptional care and comfort for young patients and their families. Care in the Center is provided by pediatric hospitalists (physicians who are specially trained to treat hospitalized children) from CHOP, who are on-site at the hospital 24/7, working with UMCP physicians and other healthcare professionals.
CORE FORM, PART III; STATEMENT OF PROGRAM SERVICE ACCOMPLISHMENTS	UMCP provides comprehensive medical care for you and your family through a wide range of clinical programs and services. Our programs are led by board certified physicians and skilled administrative directors and staffed by specially trained nurses, therapists and other healthcare professionals. Programs include: - Acute Care of the Elderly ("ACE"): Provides specialized care to acutely ill older adults with the goal of helping them recover from illness or injury, maintain strength and mobility and avoid additional health problems during their hospital stay. UMCP is proud to be among a select number of hospitals nationwide with an ACE unit. - Acute Rehabilitation Unit: Cares for individuals with disabilities resulting from strokes, craniotomies, neurological conditions, multiple sclerosis, Guillain-Barre syndrome, Parkinson's disease, complex joint replacements (including bilateral knee and hip replacements), debilitating rheumatoid arthritis, amputations, fractured hip and major multiple trauma. - Anesthesia & Pain Management Services: Care provided by a group of board certified anesthesiologists, including physicians with specialized fellowship training in areas including obstetric, pediatric, cardiothoracic and regional anesthesia as well as pain management. - Diabetes Management Program: UMCP provides expert care to adults and children to help them learn how to live with and manage diabetes. - Breast Health Center: The state-of-the-art facility offers outstanding clinical care under the medical direction of a board certified, fellowship-trained breast surgeon; sophisticated breast care technologies, including 3-D mammography; genetic counseling and testing services, available through Rutgers Cancer Institute of New Jersey LIFE Center; breast health education; and support services. The National Accreditation Program for Breast Centers ("NAPBC"), a program administered by the American College of Surgeons, awarded the program a three-year full accreditation. UMCP Breast Health Center also has been designated a Breast Imaging Center of Excellence by the American College of Radiology, signifying that UMCP meets the highest standards of the radiology profession. - The Centers for Ambulatory Surgery: UMCP's outpatient surgical units are designed to provide same-day surgical care for patients who can recuperate safely and comfortably at home. The new Plainsboro center, the Stephen & Roxanne Distler Center for Ambulatory Surgery, features four state-of-the-art operating rooms, a minor procedures room and three endoscopy rooms. - The Bristol-Myers Squibb Community Health Center: Provides comprehensive community healthcare services to uninsured and underinsured residents, including mental health services for patients whose physical illnesses are complicated by mental health problems. - GI Services: UMCP offers access to services to help diagnose and treat conditions and disorders affecting the gastrointestinal system. - Inpatient Hospice: A unique partnership between UMCP, Princeton HomeCare and volunteers committed to providing highly skilled and compassionate inpatient care for hospice patients. - Nutrition Program: Provides assistance to individuals who would like to lose weight or improve their health by eating better. Staffed by registered dietitians, our program can provide knowledgeable nutritional support for those with special health conditions - cancer, obesity, diabetes, hypertension and heart disease that can be prevented or managed through lifestyle changes and healthier habits. - Outpatient Rehabilitation: Offers therapeutic and rehabilitative services designed to reduce discomfort or pain caused by an illness or injury and restore function. - Pharmacy Services: Provides pharmaceutical care to patients throughout PHCS and is open 24 hours a day, 365 days per year. - Sleep Center: Committed to the study, diagnosis and treatment of sleep-related problems, the Sleep Center offers adults and children expert care from a experienced, compassionate team of professionals. The UMCP Sleep Center is fully accredited by the American Academy of Sleep Medicine ("AASM"), a professional organization dedicated to assuring quality care for patients with sleep disorders, advancement of sleep research, and public and professional education. UMCP Major Achievements: - The clinical care at UMCP earned an "A" in patient safety in Fall 2016 from The Leapfrog Group, a national nonprofit organization working to improve the safety, quality and affordability of healthcare. The top grade was awarded as part of The Leapfrog Group's Hospital Safety Grades, which are calculated and published twice yearly based on data related to preventable medical errors, injuries, accidents and infections. - In August 2016, U.S. News & World Report recognized UMCP as a Best Regional Hospital in Central New Jersey and ranked UMCP at No. 8 in New Jersey and No. 18 in the entire New York metropolitan region. UMCP also was rated high performing in hip replacement, knee replacement, heart failure, COPD and colon cancer surgery. - UMCP is among 444 hospitals worldwide to achieve Magnet status, the highest institutional recognition available for nursing excellence. Less than 9 percent of the nations approximately 4,900 hospital hold Magnet recognition, which was developed by the American Nurses Credentialing Center to acknowledge superior patient care and innovations in professional nursing practice. - Inpatient satisfaction at UMCP ranks at the 95th percentile year-to-date in 2016 among 46 New Jersey hospitals that participate in patient experience surveys administered by Press Ganey. Inpatient satisfaction has at UMCP has consistently ranked among the best in New Jersey since the new hospital opened in May 2012. - UMCP is one of only 94 hospitals in North America designated as an Exemplar Hospital by NICHE (Nurses Improving Care for Health System Elders), an international program that promotes patient-centered care for older adults. - The UMCP Cancer Program has received two consecutive Outstanding Achievement Awards from the American College of Surgeons Commission on Cancer ("CoC"). The awards, which recognize CoC-accredited programs that strive for excellence in providing patient-centered care, were presented following UMCPs most recent accreditation surveys in 2011 and 2014. Only 31 other cancer programs nationwide earned the award in both years. - The Jim Craigie Center for Joint Replacement, located in the Institute for Surgical Care at UMCP, has earned The Joint Commissions Gold Seal of Approval for hip and knee replacements. The special certification was awarded following a rigorous on-site review addressing three core areas: compliance with consensus-based standards; effective use of evidence-based clinical practice guidelines to manage and optimize care; and an organized approach to performance measurement and improvement activities. - The Acute Rehabilitation Unit at UMCP has earned three-year accreditation from CARF International, the premier accrediting agency for rehabilitation programs nationwide. Only 10 inpatient hospital programs in New Jersey hold accreditation, which is earned on the results of a rigorous on-site survey. - UMCP is one of only 17 New Jersey hospitals to earn Quality Respiratory Care Recognition, which is presented by the American Association for Respiratory Care ("AARC") to hospitals that meet advanced standards for quality and efficiency. - UMCP earned state designation as a Community Perinatal Center - Intensive, allowing for the operation of a Neonatal Intensive Care Unit within the Center for Newborn & Maternal Care. The center is now authorized to care for babies born at 28 weeks (nine weeks premature) who weigh at least one kilogram. - The Center for Bariatric Surgery & Metabolic Medicine at UMCP is designated an "Accredited Center - Comprehensive" by the Metabolic and Bariatric Surgery Accreditation and Quality Improvement Program ("MBSAQIP"). The center offers the latest surgical weight-loss procedures, including sleeve gastrectomy and gastric bypass, for the treatment of severe obesity and related conditions such as diabetes, high blood pressure, sleep apnea and infertility. - The Bristol-Myers Squibb Community Health Center provided 32,343 total primary and specialty care visits. Of these visits, 19,064 were for pediatrics. The center also continued a health literacy initiative, in which pediatric nurses and medical assistants teach parents about good health and the care and treatment of minor illnesses and injuries. - UMCP received the Get With the Guidelines - Stroke Bronze Quality Achievement Award for implementing specific quality improvement measures outlined by the American Heart Association/Stroke Association for the treatment of stroke patients.
CORE FORM, PART III; STATEMENT OF PROGRAM SERVICE ACCOMPLISHMENTS	Princeton HomeCare ------------------ Princeton HomeCare, a unit of PHCS, provides comprehensive in-home nursing and rehabilitation, hospice care and support services. We offer temporary care for those recovering from surgery or short-term conditions, as well as extended care for individuals with chronic conditions or illnesses. Each year, our highly skilled nurses, allied health professionals and homemakers make nearly 90,000 visits to patients and clients throughout the Greater Central New Jersey region. Princeton HomeCare is a home care and visiting nurse service providing healthcare services to all individuals in a non-discriminatory manner regardless of ability to pay. In 2015 there were 44,451 homecare visits recorded. The Palliative Care Program focuses on comfort and support providing 20,960 Hospice visits in 2015. Princeton HomeCare provides patients with outstanding and compassionate home healthcare. Exemplary of our exceptional level of caring, Princeton HomeCare receives high patient satisfaction scores and continuous referrals from our patients who praise the quality of their care as well as our personal commitment to caring. As a unit of PHCS, Princeton HomeCare is accredited by The Joint Commission. Princeton HomeCare is licensed by The State of New Jersey and is a Medicare/Medicaid certified provider. Princeton House Behavioral Health --------------------------------- Princeton House Behavioral Health ("PHBH") is a leading provider of highly skilled and compassionate behavioral healthcare. A multidisciplinary team of board certified psychiatrists and highly qualified professionals provide a high level of treatment and care for people who need psychiatric support, have chemical dependencies or who struggle with a combination of emotional and addiction problems. PHBH offers innovative programs that are customized to individual needs for children, adolescents, young adults, adults, older adults, men and women. In addition to our main campus in Princeton, we also have outpatient sites in Princeton, North Brunswick, Eatontown, Hamilton and Moorestown. Our outpatient sites primarily offer partial hospitalization and intensive outpatient treatment for those requiring acute care. PHBH is a unit licensed by The State of New Jersey and is accredited by The Joint Commission. PHBH now has 110 beds that produced 34,719 patient days in 2015. Outpatient visits and treatments across multiple sites amounted to 88,651. - Year-to-date in 2016, inpatient satisfaction at Princeton House Behavioral Health ranks in the top 4 percent among 66 freestanding hospitals nationwide participating in patient experience surveys administered by Press Ganey. Princeton House ranked in the top 6 percent nationally in 2015. Community Activities and Programs ================================= The PHCS Community Education & Outreach Program is another example of how PHCS is redefining care by offering a dynamic curriculum of innovative health- and lifestyle-related programming, screenings and support at little or no cost to the communities we serve. PHCS is dedicated to promoting healthy living at every stage of life and to enhancing quality of life by addressing the unique needs of women, men, seniors, children, adolescents and diverse populations. Programs are developed and facilitated by the outstanding physicians, nurses and health professionals of PHCS. We also work closely with leading health organizations - the American Cancer Society, the American Heart Association and the Susan G. Komen Breast Cancer Foundation, among others to raise funds and heighten awareness. 2015 Community Needs Assessment ------------------------------- Princeton HealthCare System affirms its commitment to the community by way of a dynamic curriculum and innovative health and lifestyle-related services offered through its Community Education and Outreach Program. To ensure that these activities are meeting the health needs in the community, Princeton HealthCare System conducted a comprehensive community needs assessment. The reports provide an overview of the key findings of the community health assessment, which explores a range of health behaviors and outcomes, social and economic issues, health care access, and gaps and strengths of existing resources and services with a primary focus on Princeton HealthCare System as a whole. The community health assessment utilized a particularly, collaborative approach to look at health in its broadest context. The assessment process included synthesizing existing data on social, economic and health indicators in the region as well as information from focus groups conducted with community residents, interviews with community stakeholders, and an online survey examining larger external factors that affect health. Provider Taxes -------------- All New Jersey acute care hospitals are required to pay a percentage of their total operating revenue to the Department of Health for deposit into the Health Care Subsidy Fund. We also pay the State of New Jersey an adjusted admission fee. In 2015 PHCS paid a total of $1,999,620 to the State of New Jersey for these assessments. Assistance Provided to Patients without Insurance ------------------------------------------------- PHCS provides emergent care irrespective of a patient's ability to pay. Often patients require follow-up care after hospitalization and encounter disposition/access problems because of no insurance coverage. PHCS often pays for these needed services. In 2015 PHCS paid other healthcare providers $35,000 for such services until alternative coverage could be obtained or care was no longer indicated. Medical Education ----------------- PHCS has a longstanding relationship with the Rutgers Robert Wood Johnson Medical School to provide training for medical residents and students. PHCS trained the equivalent of 33 full-time medical and surgical residents. The direct costs associated with these programs in 2015 approximated $10.1 million dollars, which was partially offset by Medicare and Medicaid funds of $3.3 million dollars, resulting in a shortfall of $6.8 million dollars. Also, PHCS is actively involved in the training of approximately 50 medical students a year for which it receives no reimbursement. PHCS is also committed to support the education and training of nursing students. PHCS has longstanding affiliation agreements with The College of New Jersey, Rutgers University, Mercer County Community College, Drexel University and St. Francis School of Nursing to provide training experiences for their nursing students.
CORE FORM, PART III; STATEMENT OF PROGRAM SERVICE ACCOMPLISHMENTS	Charity Care ------------ PHCS provides care to patients who meet certain criteria defined by the New Jersey Department of Health ("DOH") without charge or at amounts less than its established rates. Because PHCS does not pursue collection of amounts determined to qualify as charity care, they are not reported as revenue. PHCS' records identify and monitor the level of charity care it provides and the amount of charges foregone for services and supplies furnished. Charges foregone for charity care during 2014 were approximately $29,553,000. This amount is higher than the amount reported in the audited financial statements because many patients subsequently qualified for charity care. The full costs (less some minor payments) associated to provide charity care approximated $7,321,000. DOH charity care guidelines require participation and specific documentation of the patient in order to be identified as a charity care account. Management believes that the present charity care guidelines understate PHCS' charity care amounts and overstate the level of bad debts reported, because of the difficulties involved with obtaining patient participation and specific documentation. The New Jersey Health Care Subsidy Fund ("HCSF") was established for various purposes including the distribution of charity care payments to hospitals statewide. In 2015, PHCS received subsidy amounts of $1,738,000 which are included in net patient service revenue. Additionally, the state of New Jersey has established a Mental Health Subsidy Fund to pay for specific behavioral health services. Since inception, PHCS received $1,257,000 for this program. The state created the fund in recognition of the need to support Short Term Care Facility ("STCF") and Child Community Inpatient Services ("CCIS") beds. This fund is not specifically targeted to underfunding related to Charity Care and Medicaid patients but for all patients in need of these services. Approximately 57 percent of Princeton House's STCF days are Charity Care or Medicaid. Governmental Shortfalls ----------------------- PHCS participates with most governmental programs including, but not limited to, Medicare and Medicaid. In 2015 PHCS received approximately $91.8 million from the Medicare program. The costs associated with these revenues in accordance with Medicare rules and reported on the Medicare cost report was $129.2 million, resulting in a shortfall of $37.4 million or 29 percent. In 2015, PHCS received approximately $9.7 million from the Medicaid and Medicaid managed care programs. The costs associated with these revenues in accordance with Medicare rules were $21.4 million, resulting in a shortfall of $11.7 million or 55%.
CORE FORM, PART VI, SECTION A; QUESTIONS 6 & 7	PRINCETON HEALTHCARE SYSTEM HOLDING, INC. ("HOLDING") IS THE SOLE MEMBER OF THIS ORGANIZATION. HOLDING HAS THE RIGHT TO ELECT THE MEMBERS OF THIS ORGANIZATION'S BOARD OF TRUSTEES AND HAS CERTAIN RESERVED POWERS AS DEFINED IN THIS ORGANIZATION'S BYLAWS.
CORE FORM, PART VI, SECTION B; QUESTION 11B	PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION ("PHCS") AND ITS AFFILIATES CONSTITUTE A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM ("SYSTEM"). PRINCETON HEALTHCARE SYSTEM HOLDING, INC. IS THE TAX-EXEMPT PARENT ENTITY OF THE SYSTEM. THIS ORGANIZATION'S FEDERAL FORM 990 WAS PROVIDED TO EACH VOTING MEMBER OF ITS GOVERNING BODY, ITS BOARD OF TRUSTEES, PRIOR TO FILING WITH THE INTERNAL REVENUE SERVICE ("IRS"). PHCS' AUDIT AND COMPLIANCE COMMITTEE has ASSUMED THE RESPONSIBILITY TO OVERSEE AND COORDINATE THE FEDERAL FORM 990 PREPARATION, REVIEW AND FILING PROCESS FOR ALL TAX-EXEMPT AFFILIATES OF THE SYSTEM AND PERFORMED A DETAILED REVIEW OF THIS FORM 990 AT ITS NOVEMBER MEEETING. AS PART OF THE FEDERAL FORM 990 TAX RETURN PREPARATION PROCESS THE ORGANIZATION HIRED A PROFESSIONAL CPA FIRM WITH EXPERIENCE AND EXPERTISE IN BOTH HEALTHCARE AND NOT-FOR-PROFIT TAX RETURN PREPARATION TO PREPARE THE FEDERAL FORM 990. THE CPA FIRM'S TAX PROFESSIONALS WORKED CLOSELY WITH THE SYSTEMS FINANCE PERSONNEL AND OTHER SYSTEM INDIVIDUALS INCLUDING, but not limited to, THE CHIEF FINANCIAL OFFICER and CONTROLLER ("INTERNAL WORKING GROUP") TO OBTAIN THE INFORMATION NEEDED IN ORDER TO PREPARE A COMPLETE AND ACCURATE TAX RETURN. THE CPA FIRM PREPARED A DRAFT FORM 990 AND FURNISHED IT TO THE SYSTEM'S INTERNAL WORKING GROUP FOR REVIEW. THE SYSTEM'S INTERNAL WORKING GROUP REVIEWED THE DRAFT FORM 990 AND DISCUSSED QUESTIONS AND COMMENTS WITH THE CPA FIRM. REVISIONS WERE MADE TO THE DRAFT FORM 990 WHERE NECESSARY AND A FINAL DRAFT WAS FURNISHED BY THE CPA FIRM TO THE SYSTEM'S INTERNAL WORKING GROUP FOR FINAL REVIEW AND APPROVAL PRIOR TO PROVIDING IT TO EACH VOTING MEMBER OF THE ORGANIZATION'S GOVERNING BODY AND BEFORE FILING WITH THE IRS.
CORE FORM, PART VI, SECTION B; QUESTION 12	PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION ("PHCS") AND ITS AFFILIATES CONSTITUTE A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM ("SYSTEM"). PRINCETON HEALTHCARE SYSTEM HOLDING, INC. IS THE TAX-EXEMPT PARENT ENTITY OF THE SYSTEM. THE ORGANIZATION AND THE SYSTEM REGULARLY MONITOR AND ENFORCE COMPLIANCE WITH ITS CONFLICT OF INTEREST POLICY. ANNUALLY ALL MEMBERS OF THE BOARD OF TRUSTEES, OFFICERS AND SENIOR MANAGEMENT PERSONNEL ARE REQUIRED TO REVIEW THE EXISTING CONFLICT OF INTEREST POLICY AND COMPLETE A QUESTIONNAIRE. THE COMPLETED QUESTIONNAIRES FROM THE ORGANIZATION'S BOARD OF TRUSTEES ARE RETURNED TO THE ASSISTANT SECRETARY OF THE BOARD. THE COMPLETED QUESTIONNAIRES FOR PHCS' OFFICERS AND SENIOR MANAGEMENT ARE RETURNED TO PHCS' VICE PRESIDENT OF CORPORATE COMPLIANCE AND REGULATORY AFFAIRS WHO REVIEWS THE COMPLETED QUESTIONAIRES FOR POTENTIAL CONFLICTS OF INTEREST. THEREAFTER, ANY CONFLICTS OF INTEREST FOR BOARD OF TRUSTEE MEMBERS AND MEMBERS OF SENIOR MANAGEMENT ARE REPORTED TO PHCS' GOVERNANCE COMMITTEE AND CORPORATE COMPLIANCE COMMITTEE; RESPECTIVELY, FOR REVIEW, DISCUSSION AND IMPLEMENTATION OF ANY NECESSARY MITIGATING BEHAvIOR.
CORE FORM, PART VI, SECTION B; QUESTION 15	PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION'S ("PHCS") BOARD OF TRUSTEES HAS AN EXECUTIVE COMPENSATION COMMITTEE ("COMMITTEE"). THE COMMITTEE HAS ADOPTED A WRITTEN EXECUTIVE COMPENSATION PHILOSOPHY WHICH IT FOLLOWS WHEN IT REVIEWS AND APPROVES OF THE COMPENSATION AND BENEFITS OF PHCS' SENIOR MANAGEMENT INCLUDING, BUT NOT LIMITED TO, THE PRESIDENT/CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER. THE COMMITTEE REVIEWS THE "TOTAL COMPENSATION" OF THE INDIVIDUALS WHICH IS INTENDED TO INCLUDE BOTH CURRENT AND DEFERRED COMPENSATION AND ALL EMPLOYEE BENEFITS, BOTH QUALIFIED AND NON-QUALIFIED. THE COMMITTEE'S REVIEW IS DONE ON AT LEAST AN ANNUAL BASIS AND ENSURES THAT THE "TOTAL COMPENSATION" OF SENIOR MANAGEMENT OF THE ORGANIZATION IS REASONABLE. THE ACTIONS TAKEN BY THE COMMITTEE ENABLE PHCS TO RECEIVE THE REBUTTABLE PRESUMPTION OF REASONABLENESS FOR PURPOSES OF INTERNAL REVENUE CODE SECTION 4958 WITH RESPECT TO THE TOTAL COMPENSATION OF CERTAIN MEMBERS OF THE SENIOR MANAGEMENT TEAM INCLUDING, BUT NOT LIMITED TO, THE PRESIDENT/CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER. THE THREE FACTORS WHICH MUST BE SATISFIED IN ORDER TO RECEIVE THE REBUTTABLE PRESUMPTION OF REASONABLENESS ARE THE FOLLOWING: 1. THE COMPENSATION ARRANGEMENT IS APPROVED IN ADVANCE BY AN "AUTHORIZED BODY" OF THE APPLICABLE TAX-EXEMPT ORGANIZATION WHICH IS COMPOSED ENTIRELY OF INDIVIDUALS WHO DO NOT HAVE A "CONFLICT OF INTEREST" WITH RESPECT TO THE COMPENSATION ARRANGEMENT; 2. THE AUTHORIZED BODY OBTAINED AND RELIED UPON "APPROPRIATE DATA AS TO COMPARABILITY" PRIOR TO MAKING ITS DETERMINATION; AND 3. THE AUTHORIZED BODY "ADEQUATELY DOCUMENTED THE BASIS FOR ITS DETERMINATION" CONCURRENTLY WITH MAKING THAT DETERMINATION. THE COMMITTEE IS COMPRISED OF MEMBERS OF THE BOARD OF TRUSTEES EACH OF WHOM ARE INDEPENDENT AND ARE FREE FROM ANY CONFLICTS OF INTEREST. THE COMMITTEE RELIED UPON APPROPRIATE COMPARABLE DATA; SPECIFICALLY THE COMMITTEE OBTAINED A WRITTEN COMPENSATION STUDY FROM AN INDEPENDENT FIRM WHICH SPECIALIZES IN REVIEWING OF HOSPITAL AND HEALTHCARE SYSTEM EXECUTIVE COMPENSATION AND BENEFITS THROUGHOUT THE UNITED STATES. THIS STUDY USED COMPARABLE GEOGRAPHIC AND DEMOGRAPHIC MARKET DATA INCLUDING BUT NOT LIMITED TO SIMILAR SIZED HOSPITALS, number OF LICENSED BEDS AND NET PATIENT SERVICE REVENUE. THE COMMITTEE ADEQUATELY DOCUMENTED ITS BASIS FOR ITS DETERMINATION THROUGH THE TIMELY PREPARATION OF WRITTEN MINUTES OF THE COMPENSATION COMMITTEE MEETINGS DURING WHICH THE EXECUTIVE COMPENSATION AND BENEFITS WAS REVIEWED AND SUBSEQUENTLY APPROVED. THE ACTIONS OUTLINED ABOVE WITH RESPECT TO THE COMMITTEE AND THE ESTABLISHMENT OF THE REBUTTABLE PRESUMPTION OF REASONABLENESS ONLY APPLIES TO CERTAIN SENIOR MANAGEMENT PERSONNEL INCLUDING, BUT NOT LIMITED TO, THE PRESIDENT/CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER. THE COMPENSATION AND BENEFITS OF CERTAIN OTHER INDIVIDUALS CONTAINED IN THIS FORM 990 ARE REVIEWED ANNUALLY BY THE PRESIDENT/CHIEF EXECUTIVE OFFICER WITH ASSISTANCE FROM PHCS' HUMAN RESOURCES DEPARTMENT IN CONJUNCTION WITH THE INDIVIDUAL'S JOB PERFORMANCE DURING THE YEAR AND IS BASED UPON OTHER OBJECTIVE FACTORS DESIGNED TO ENSURE THAT REASONABLE AND FAIR MARKET VALUE COMPENSATION IS PAID BY PHCS. OTHER OBJECTIVE FACTORS INCLUDE MARKET SURVEY DATA FOR COMPARABLE POSITIONS, INDIVIDUAL GOALS AND OBJECTIVES, PERSONNEL REVIEWS, EVALUATIONS, SELF-EVALUATIONS AND PERFORMANCE FEEDBACK MEETINGS.
CORE FORM, PART VI, SECTION C; QUESTION 19	THE ORGANIZATION HAS ISSUED TAX-EXEMPT BONDS TO FINANCE VARIOUS CAPITAL IMPROVEMENT PROJECTS, RENOVATIONS AND EQUIPMENT. IN CONJUNCTION WITH THE ISSUANCE OF THESE TAX-EXEMPT BONDS, THE ORGANIZATION'S FINANCIAL STATEMENTS WERE INCLUDED WITH THE TAX-EXEMPT BOND PROSPECTUS WHICH WAS MADE AVAILABLE TO THE GENERAL PUBLIC FOR REVIEW. IN ADDITION, THE ORGANIZATION'S FILED CERTIFICATE OF INCORPORATION AND ANY AMENDMENTS CAN BE OBTAINED AND REVIEWED THROUGH THE STATE OF NEW JERSEY DEPTARTMENT OF TREASURY.
CORE FORM, PART VII AND SCHEDULE J	PART VII AND SCHEDULE J REFLECT CERTAIN BOARD MEMBERS AND OFFICERS RECEIVING COMPENSATION AND BENEFITS FROM THIS ORGANIZATION. PLEASE NOTE THIS REMUNERATION WAS FOR SERVICES RENDERED AS FULL-TIME EMPLOYEES OF THIS ORGANIZATION AND NOT FOR SERVICES RENDERED AS A VOTING MEMBER OR OFFICER OF THIS ORGANIZATION'S BOARD OF TRUSTEES.
CORE FORM, PART VII, SECTION A, COLUMN B	PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION ("PHCS") AND ITS AFFILIATES CONSTITUTE A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM. PRINCETON HEALTHCARE SYSTEM HOLDING, INC. IS THE TAX-EXEMPT PARENT ENTITY OF THE SYSTEM. THE SYSTEM INCLUDES BOTH FOR-PROFIT AND NOT FOR-PROFIT ORGANIZATIONS. CERTAIN BOARD OF trustee MEMBERS AND OFFICERS LISTED ON CORE FORM, PART VII AND SCHEDULE J OF THIS FORM 990, MAY HOLD SIMILAR POSITIONS WITH BOTH THIS ORGANIZATION AND OTHER AFFILIATES WITHIN THE SYSTEM. THE HOURS SHOWN ON THIS FORM 990, FOR BOARD MEMBERS WHO RECEIVE NO COMPENSATION FOR SERVICES RENDERED IN A NON-BOARD CAPACITY, REPRESENT THE ESTIMATED HOURS DEVOTED PER WEEK FOR THIS ORGANIZATION. TO THE EXTENT THESE INDIVIDUALS SERVE AS A MEMBER OF THE BOARD OF TRUSTEES OF OTHER RELATED ORGANIZATIONS IN THE SYSTEM, THEIR RESPECTIVE HOURS PER WEEK PER ORGANIZATION ARE APPROXIMATELY THE SAME AS REFLECTED ON CORE FORM, PART VII OF THIS FORM 990. THE HOURS REFLECTED ON CORE FORM, PART VII OF THIS FORM 990, FOR BOARD MEMBERS WHO RECEIVE COMPENSATION FOR SERVICES RENDERED IN A NON-BOARD CAPACITY, PAID OFFICERS, REFLECT TOTAL HOURS WORKED PER WEEK ON BEHALF OF THE SYSTEM; NOT SOLELY THIS ORGANIZATION.
CORE FORM, PART X; BALANCE SHEET RESTATEMENT	CERTAIN RECLASSIFICATIONS HAVE BEEN MADE TO THE PRIOR YEAR BALANCES PREVIOUSLY REPORTED TO CONFORM TO THE CURRENT YEAR PRESENTATION IN THE ORGANIZATION'S AUDITED CONSOLIDATED FINANCIAL STATEMENTS. THIS RESTATEMENT HAD NO EFFECT ON THE ORGANIZATION'S NET ASSETS.
CORE FORM, PART XI; QUESTION 9	OTHER CHANGES IN NET ASSETS OR FUND BALANCE INCLUDE: - FORGIVENESS OF DEBT OF RELATED PARTY - ($6,393,830); - TRANSFER OF ASSETS FROM PRINCETON HEALTHCARE SYSTEM FOUNDATION, INC.; A RELATED INTERNAL REVENUE CODE SECTION 501(C)(3) TAX-EXEMPT ORGANIZATION - ($49,325); - CHANGE IN MINIMUM PENSION LIABILITY - $4,580,803; - CHANGE IN TEMPORARILY RESTRICTED NET ASSETS - $209,628 AND - CHANGE IN PERMANENTLY RESTRICTED NET ASSETS - $44,626.
CORE FORM, PART XII; QUESTION 2	PRINCETON HEALTHCARE SYSTEM, A NEW JERSEY NONPROFIT CORPORATION ("PHCS") AND ITS AFFILIATES CONSTITUTE A TAX-EXEMPT INTEGRATED HEALTHCARE DELIVERY SYSTEM. PRINCETON HEALTHCARE SYSTEM HOLDING, INC. IS THE TAX-EXEMPT PARENT ENTITY OF THE SYSTEM. AN INDEPENDENT CPA FIRM, AUDITED THE CONSOLIDATED FINANCIAL STATEMENTS OF PRINCETON HEALTHCARE SYSTEM HOLDING, INC. and its affiliates FOR THE YEARS ENDED DECEMBER 31, 2015 AND DECEMBER 31, 2014; RESPECTIVELY. THE AUDITED CONSOLIDATED FINANICAL STATEMENTS INCLUDE CONSOLIDATING SCHEDULES ON AN ENTITY BY ENTITY BASIS. THE INDEPENDENT CPA FIRM ISSUED AN UNQUALIFIED OPINION WITH RESPECT TO THE AUDITED CONSOLIDATED FINANCIAL STATEMENTS EACH YEAR. phcs' AUDIT AND COMPLIANCE COMMITTEE HAS ASSUMED RESPONSIBILITY FOR THE OVERSIGHT OF THE AUDIT OF THE CONSOLIDATED FINANCIAL STATEMENTS AND THE SELECTION OF AN INDEPENDENT AUDITOR.
FORM 990 PART IX LINE 11G	DESCRIPTION:CONTRACTED SERVICES TOTAL FEES:18809285
FORM 990 PART IX LINE 11G	DESCRIPTION:PROFESSIONAL FEES TOTAL FEES:11247545
FORM 990 PART IX LINE 11G	DESCRIPTION:CONSULTING FEES TOTAL FEES:5776968
FORM 990 PART IX LINE 11G	DESCRIPTION:TEMP EMPLOYMENT FEES TOTAL FEES:4162590
FORM 990 PART IX LINE 11G	DESCRIPTION:BILLING & COLLECTION FEES TOTAL FEES:2532117
FORM 990 PART IX LINE 11G	DESCRIPTION:OTHER FEES TOTAL FEES:151237

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

Cat. No. 51056K

Schedule O (Form 990 or 990-EZ) 2015

Additional Data

Software ID:
Software Version:

1	Briefly describe the organization’s mission or most significant activities: THE MISSION OF PRINCETON HEALTHCARE SYSTEM IS TO BE THE FOCAL POINT OF IS TO BE THE FOCAL POINT OF A COMPREHENSIVE COMMUNITY HEALTH SYSTEM THAT RESPONDS TO THE HEALTHCARE NEEDS OF OUR SERVICE AREA RESIDENTS.
2	Check this box
3	Number of voting members of the governing body (Part VI, line 1a) ........	3	25
4	Number of independent voting members of the governing body (Part VI, line 1b) .....	4	20
5	Total number of individuals employed in calendar year 2015 (Part V, line 2a) ......	5	3,878
6	Total number of volunteers (estimate if necessary) .............	6	754
7a	Total unrelated business revenue from Part VIII, column (C), line 12 ........	7a	0
b	Net unrelated business taxable income from Form 990-T, line 34 .........	7b

		Prior Year	Current Year
8	Contributions and grants (Part VIII, line 1h) .........	6,325,976	3,522,338
9	Program service revenue (Part VIII, line 2g) .........	367,035,283	404,273,464
10	Investment income (Part VIII, column (A), lines 3, 4, and 7d ) ....	-7,794,950	3,322,454
11	Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)	880,374	465,519
12	Total revenue—add lines 8 through 11 (must equal Part VIII, column (A), line 12)	366,446,683	411,583,775
13	Grants and similar amounts paid (Part IX, column (A), lines 1–3 )...	0	0
14	Benefits paid to or for members (Part IX, column (A), line 4).....	0	0
15	Salaries, other compensation, employee benefits (Part IX, column (A), lines 5–10)	176,671,236	190,203,403
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)....	202,695,281	211,182,207
18	Total expenses. Add lines 13–17 (must equal Part IX, column (A), line 25)	379,366,517	401,385,610
19	Revenue less expenses. Subtract line 18 from line 12.......	-12,919,834	10,198,165
		Beginning of Current Year	End of Year
20	Total assets (Part X, line 16).............	704,303,845	708,434,805
21	Total liabilities (Part X, line 26).............	436,610,372	433,425,676
22	Net assets or fund balances. Subtract line 21 from line 20.....	267,693,473	275,009,129

Sign Here

	Signature of officer	Date

	Type or print name and title


4a	(Code: ) (Expenses $ 294,454,549 including grants of $ 0 ) (Revenue $ 328,374,454 )
	THE UNIVERSITY MEDICAL CENTER OF PRINCETON AT PLAINSBORO PROVIDES COMPREHENSIVE PATIENT CARE AND SUPPORT SERVICES RELATING TO PATIENT CARE. IT IS AN ACUTE CARE FACILITY WITH 319 BEDS COMPRISED OF 288 ACUTE CARE, 17 PHYSICAL REHABILIATION AND 14 SPECIAL CARE NURSERY BASSINETS. IN 2015, PATIENT DAYS TOTALED 63,256 AND OUTPATIENT VISITS/ENCOUNTERS TOTALED 149,637. PLEASE REFER TO SCHEDULE O FOR THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT.

4b	(Code: ) (Expenses $ 55,529,723 including grants of $ 0 ) (Revenue $ 64,313,369 )
	PRINCETON HOUSE BEHAVIORAL HEALTH IS A PSYCHIATRIC AND BEHAVIORAL HEALTH FACILITY. IT PROVIDES COMPREHENSIVE PSYCHIATRIC AND SUBSTANCE ABUSE RECOVERY PROGRAMS. ITS 110 BEDS PRODUCED 34,719 PATIENT DAYS IN 2015. OUTPATIENT VISITS AND TREATMENTS ACROSS MULTIPLE SITES AMOUNTED TO 88,651. PLEASE REFER TO SCHEDULE O FOR THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT.

4c	(Code: ) (Expenses $ 11,262,777 including grants of $ 0 ) (Revenue $ 11,585,641 )
	PRINCETON HOMECARE SERVICES PROVIDES HOME NURSING CARE, HOME REHABILITATION, HOMEMAKER SERVICES AND OPERATES A HOSPICE PROGRAM. IN 2015, THERE WERE 44,451 OCCASIONS OF SERVICE AND 20,960 HOSPICE VISITS RECORDED. THIS GROWING SERVICE IS VITAL IN THE CAPACITY TO PROVIDE CARE AT THE PATIENT'S HOME RATHER THAN REQUIRING A STAY IN THE HOSPITAL. PRINCETON HOMECARE SERVICES ALSO OPERATES A HOSPICE. PLEASE REFER TO SCHEDULE O FOR THE ORGANIZATION'S COMMUNITY BENEFIT STATEMENT.

4d	Other program services (Describe in Schedule O.)
	(Expenses $ 0 including grants of $ 0 ) (Revenue $ 0 )
4e	Total program service expenses361,247,049

1b	Sub-Total................
c	Total from continuation sheets to Part VII, Section A....
d	Total (add lines 1b and 1c)...........	6,917,751	0	772,348

1a	Federated campaigns..		1a
b	Membership dues..		1b
c	Fundraising events..		1c
d	Related organizations		1d	3,522,338
e	Government grants (contributions)		1e

f	All other contributions, gifts, grants, and similar amounts not included above		1f

g	Noncash contributions included in lines 1a-1f:$
h Total.Add lines 1a-1f.......		3,522,338

			Business Code
2a	NET PATIENT SERVICE REVENUE	541900	400,969,901	400,969,901
b	OTHER HEALTHCARE RELATED REVENUE	621500	3,303,563	3,303,563
c
d
e
f	All other program service revenue.
g Total.Add lines 2a–2f.....			404,273,464

3 Investment income (including dividends, interest, and othersimilar amounts) ..........			3,129,217			3,129,217
4 Income from investment of tax-exempt bond proceeds			49			49
5 Royalties...........			0
		(ii) Personal	(i) Real
6a	Gross rents		426,267
b	Less: rental expenses
c	Rental income or (loss)	0	426,267
d	Net rental income or (loss)......			426,267			426,267
		(ii) Other	(i) Securities
7a	Gross amount from sales of assets other than inventory		193,188
b	Less: cost or other basis and sales expenses
c	Gain or (loss)		193,188
d	Net gain or (loss).....			193,188			193,188
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..			0
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..			0
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..			0
Business Code			Miscellaneous Revenue
11a	VENDING MACHINE		900099	30,281			30,281
b	PARKING		900099	8,971			8,971
c
d	All other revenue ....
e	Total. Add lines 11a–11d ......			39,252
12	Total revenue. See Instructions......			411,583,775	404,273,464		3,787,973

1	Grants and other assistance to domestic organizations and domestic governments. See Part IV, line 21	0
2	Grants and other assistance to individuals in the United States. See Part IV, line 22	0
3	Grants and other assistance to governments, organizations, and individuals outside the United States. See Part IV, lines 15 and 16	0
4	Benefits paid to or for members	0
5	Compensation of current officers, directors, trustees, and key employees ....	6,573,308	5,915,977	657,331	0
6	Compensation not included above, to disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B) ....	0
7	Other salaries and wages	141,191,337	127,072,203	14,119,134
8	Pension plan accruals and contributions (include section 401(k) and 403(b) employer contributions) ....	8,345,215	7,510,694	834,521
9	Other employee benefits .......	22,433,377	20,190,040	2,243,337
10	Payroll taxes ...........	11,660,166	10,494,149	1,166,017
11	Fees for services (non-employees):
a	Management ......	1,944,469	1,750,022	194,447
b	Legal .........	901,284	811,156	90,128
c	Accounting ...........	436,344	392,710	43,634
d	Lobbying ...........	21,112	19,000	2,112
e	Professional fundraising services. See Part IV, line 17	0
f	Investment management fees ......	137,056	123,350	13,706
g	Other (If line 11g amount exceeds 10% of line 25, column (A) amount, list line 11g expenses on Schedule O)	42,679,742	38,411,767	4,267,975
12	Advertising and promotion ....	1,812,460	1,631,214	181,246
13	Office expenses .......	4,991,484	4,492,335	499,149
14	Information technology ......	7,969,539	7,172,585	796,954
15	Royalties ..	0
16	Occupancy ...........	19,968,558	17,971,702	1,996,856
17	Travel ............	736,879	663,191	73,688
18	Payments of travel or entertainment expenses for any federal, state, or local public officials .	0
19	Conferences, conventions, and meetings ....	278,225	250,403	27,822
20	Interest ...........	6,984,804	6,286,324	698,480
21	Payments to affiliates .......	0
22	Depreciation, depletion, and amortization ..	40,725,559	36,653,003	4,072,556
23	Insurance ...	3,731,540	3,358,386	373,154
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	57,487,963	51,739,167	5,748,796
b	REPAIRS & MAINTENANCE	7,618,090	6,856,281	761,809
c	RESIDENCY EXPENSES	3,686,447	3,317,802	368,645
d	RECRUITMENT EXPENSES	1,978,275	1,780,448	197,827
e	All other expenses	7,092,377	6,383,140	709,237
25	Total functional expenses. Add lines 1 through 24e	401,385,610	361,247,049	40,138,561	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).

1	Cash–non-interest-bearing ........			4,647,660	1	372,404
2	Savings and temporary cash investments .........			50,157,455	2	53,962,320
3	Pledges and grants receivable, net ......			0	3	0
4	Accounts receivable, net .............			49,559,634	4	48,016,903
5	Loans and other receivables from current and former officers, directors, trustees, key employees, and highest compensated employees. Complete Part II of Schedule L
				0	5	0
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
				0	6	0
7	Notes and loans receivable, net ....			0	7	0
8	Inventories for sale or use ........			3,581,810	8	4,079,686
9	Prepaid expenses and deferred charges ......			4,539,097	9	4,422,359
10a	Land, buildings, and equipment: cost or other basis. Complete Part VI of Schedule D	10a	684,706,758
b	Less: accumulated depreciation	10b	193,897,930	519,427,254	10c	490,808,828
11	Investments—publicly traded securities .			0	11	0
12	Investments—other securities. See Part IV, line 11 .....			0	12	0
13	Investments—program-related. See Part IV, line 11 ..			43,939,331	13	79,713,882
14	Intangible assets ...............			614,837	14	613,647
15	Other assets. See Part IV, line 11 ...........			27,836,767	15	26,444,776
16	Total assets. Add lines 1 through 15 (must equal line 34)...			704,303,845	16	708,434,805

17	Accounts payable and accrued expenses .....	46,143,140	17	52,892,718
18	Grants payable ...	0	18	0
19	Deferred revenue .........	7,165,358	19	7,020,427
20	Tax-exempt bond liabilities .........	197,675,000	20	193,505,000
21	Escrow or custodial account liability. Complete Part IV of Schedule D	0	21	0
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..	0	22	0
23	Secured mortgages and notes payable to unrelated third parties ..	108,899,018	23	105,839,465
24	Unsecured notes and loans payable to unrelated third parties ..	0	24	0
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	76,727,856	25	74,168,066
26	Total liabilities. Add lines 17 through 25..	436,610,372	26	433,425,676

	Organizations that follow SFAS 117 (ASC 958), check here and complete lines 27 through 29, and lines 33 and 34.
27	Unrestricted net assets	249,956,878	27	257,018,281
28	Temporarily restricted net assets ...........	8,718,546	28	8,928,174
29	Permanently restricted net assets	9,018,049	29	9,062,675
	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 ...........	267,693,473	33	275,009,129
34	Total liabilities and net assets/fund balances ........	704,303,845	34	708,434,805

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

(a) Name, address, and EIN (if applicable) of disregarded entity	(b) Primary activity	(c) Legal domicile (state or foreign country)	(d) Total income	(e) End-of-year assets	(f) Direct controlling entity
(1) PRINCETON HEALTHCARE PROVIDER GROUP LLC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 47-4753400	INACTIVE	NJ	0	0	PHCS
(2) PRINCETON HEALTHCARE PARTNERS LLC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 47-4066602	INACTIVE	NJ	0	0	PHCS
(3) PRINCETON HEALTHCARE PARTNERS CIN LLC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 47-5164472	INACTIVE	NJ	0	0	PHCS
(4) PRINCETON HOUSE PROVIDER GROUP LLC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 47-4341060	INACTIVE	NJ	0	0	PHCS

(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)PRINCETON HEALTHCARE SYSTEM FDN INC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 22-2225911	SUPPORT PHS	NJ	501(C)(3)	509(A)(1)	PHCS HOLDING		No
(2)PRINCETON HLTHCARE SYSTEM HOLDING INC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 22-3493256	HOLDING CO.	NJ	501(C)(3)	509(A)(3)	na		No
(3)PRINCETON MEDICAL PROPERTIES INC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 22-0022702	REAL ESTATE	NJ	501(C)(2)	N/A	PHCS HOLDING		No
(4)PRINCETON CAREGIVERS INC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 22-2842773	HOMECARE SVCS	NJ	501(C)(3)	HOSPITAL	PHCS HOLDING		No
(5)PRINCETON HEALTHCARE AFFILIATED PHYS PC ONE PLAINSBORO ROAD PLAINSBORO,NJ08536 26-4203938	HLTHCARE SVCS	NJ	501(C)(3)	509(A)(2)	PHCS	Yes

(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

(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