2012-07-13T14:11:49-05:00 2011-08-31 DEAN DORTON ALLEN FORD PLLC 106 W VINE STREET SUITE 600 LEXINGTON KY 40507 990 2010-09-01 800639940 KENTUCKY EASTER SEAL SOCIETY INC GROUP RETURN KENT 8592545701 2050 VERSAILLES ROAD LEXINGTON KY 40504 GLENN NORVELL 8592545701 2012-07-12 1 LEIGH MCKEE 8592552341 2010 2016-02-24 21:20:13Z GARY PAYNE 2050 VERSAILLES ROAD LEXINGTON KY 40504 100265655 1 1 5231 X WWW.CARDINALHILL.ORG X TO HELP PEOPLE WITH DISABILITIES ACHIEVE MAXIMUM INDEPENDENCE. 11 11 1117 254 950402 0 1574574 1704130 63139593 62552658 539504 3746174 451431 385223 65705102 68388185 0 0 0 0 46450718 45494528 0 0 459487 20701663 21598511 67152381 67093039 -1447279 1295146 88126470 101729287 30466569 44376956 57659901 57352331 X THE KENTUCKY EASTER SEAL SOCIETY WAS FOUNDED IN 1923 WITH THE MISSION OF HELPING PEOPLE WITH DISABILITIES ACHIEVE MAXIMUM INDEPENDENCE. IN ACCORDANCE WITH THIS GOAL THE SOCIETY PROVIDES PROGRAMS AND SERVICES AT SITES THROUGHOUT THE STATE. PROGRAMS INCLUDE PHYSICAL, OCCUPATIONAL AND SPEECH THERAPY, REHABILITATION, VOCATIONAL EDUCATION AND TRAINING, CAMPING AND RECREATION, PRE-SCHOOL AND ADULT DAY CARE PROGRAMS, AUDIOLOGY AND A VARIETY OF OTHER PROGRAMS. TO THE EXTENT FINANCIALLY FEASIBLE, THE SOCIETY ACCEPTS PATIENTS WHO ARE UNABLE TO PAY. FOR THE FISCAL YEAR ENDED 8/31/11, CHARITY CARE WAS $3,047,810. 0 0 43008593 45898461 CARDINAL HILL REHABILITATION HOSPITALLEXINGTON, KYCARDINAL HILL BEGAN AS A HOSPITAL FOR CHILDREN WITH POLIO IN 1950. SINCE THAT TIME, IT HAS EVOLVED INTO ONE OF THE PREMIER POST ACUTE PROVIDERS OF PHYSICAL REHABILITATION SERVICES WITH 108 INPATIENT BEDS. TODAY, THE HOSPITAL SPECIALIZES IN THE TREATMENT OF SPINAL CORD INJURY, BRAIN INJURY, STROKE, ORTHOPEDIC AND NEUROLOGICAL CONDITIONS, AMPUTATION AND OTHER DISABLING OR TRAUMATIC CONDITIONS. CARDINAL HILL SERVES MORE THAN 9,000 CHILDREN AND ADULTS ANNUALLY FROM ALL OVER KENTUCKY AND NATIONWIDE. CARDINAL HILL PROVIDES PHYSICAL REHABILITATION FOR PEOPLE NEEDING INPATIENT, OUTPATIENT AND HOME HEALTH CARE SERVICES. CARDINAL HILL ALSO PROVIDES PEDIATRIC SERVICES FOR CHILDREN FROM BIRTH THROUGH ADULTHOOD BY OFFERING PRESCHOOL AND CHILD CARE SERVICES, AND THERAPY FOR ANY DISABLING AND/OR TRAUMATIC CONDITION.THE CARDINAL HILL HEALTHCARE SYSTEM IS A 501(C)3 ORGANIZATION GOVERNED BY THE KENTUCKY EASTER SEAL SOCIETY, INC., AN AFFILIATE OF NATIONAL EASTER SEALS SOCIETY. THE HEALTHCARE SYSTEM PROVIDES SERVICES AT SIX LOCATIONS THROUGHOUT KENTUCKY. SERVICES INCLUDE INPATIENT HOSPITAL CARE FOR PHYSICAL REHABILITATION NEEDS AND MEDICALLY COMPLEX CLIENTS. IN ADDITION TO THE THREE INPATIENT PROGRAMS, OUTPATIENT THERAPY, PRESCHOOL, CHILDCARE, ADULT DAY HEALTH, AND RECREATIONAL PROGRAMS ARE ALSO AVAILABLE. THE HEALTHCARE SYSTEM IS ONE OF THE COMMONWEALTH'S LARGEST PROVIDERS OF PHYSICAL REHABILITATION SERVICES, WITH CORPORATE HEADQUARTERS LOCATED IN LEXINGTON, KY. 7420471 9697948 CARDINAL HILL SPECIALTY HOSPITAL - LONG TERM ACUTE CARE HOSPITAL (LTACH)FORT THOMAS, KYCARDINAL HILL SPECIALTY HOSPITAL OPENED IN 2004 AS A LONG TERM ACUTE CARE HOSPITAL (LTACH) SPECIALIZING IN A TEAM ORIENTED TREATMENT PROGRAM FOR INDIVIDUALS WITH COMPLEX MEDICAL CONDITIONS REQUIRING AN INPATIENT ADMISSION AVERAGING 25 DAYS OR MORE. CARDINAL HILL SPECIALTY HOSPITAL OFFERS 33 BEDS IN A MEDICALLY INTENSE UNIT AND ACCEPTS PATIENTS WITH A VARIETY OF CONDITIONS WHICH MAY INCLUDE, BUT NOT LIMITED TO: VENTILATOR DEPENDENT, PULMONARY/RESPIRATORY CONDITIONS, WOUND CARE, TRAUMA AND/OR POST SURGICAL NEEDS AND ONCOLOGY PATIENTS. 4063547 4592618 CARDINAL HILL REHAB UNIT AT UK GOOD SAMARITANLEXINGTON, KYCARDINAL HILL'S UNIT AT UK GOOD SAMARITAN OPENED IN 2005 AS AN INPATIENT SUB-ACUTE PROGRAM SPECIALIZING IN THE REHABILITATION OF ORTHOPEDIC AND MILD NEUROLOGICAL CONDITIONS, AND DE-CONDITIONED PATIENTS WHO DO NOT QUALIFY FOR ACUTE PHYSICAL REHABILITATION. LOCATED ON THE 7TH FLOOR OF THE UK GOOD SAMARITAN HOSPITAL, THIS UNIT OFFERS 34 SINGLE OCCUPANCY ROOMS. 1923382 1413229 CARDINAL HILL REHABILITATION CENTERLOUISVILLE, KYCARDINAL HILL REHABILITATION CENTER (CHRC) WAS FOUNDED IN 1958. CLIENTS COME FROM A 20 COUNTY AREA SURROUNDING GREATER LOUISVILLE, INCLUDING SOUTHERN INDIANA. THE CENTER PROVIDES OCCUPATIONAL AND SPEECH THERAPIES, AUDIOLOGY SERVICES FOR CHILDREN AND ADULTS AND CREATIVE BEGINNINGS, ONE OF THE REGION'S ONLY INTEGRATED EARLY CHILDHOOD DEVELOPMENT PROGRAMS FOR CHILDREN WITH DISABILITIES AND THEIR TYPICAL PEERS. CARDINAL HILL HOME CARELEXINGTON, KY CARDINAL HILL HOME CARE BEGAN OFFERING A FULL ARRAY OF QUALITY HOME HEALTH SERVICES IN 2004 WITH AN EMPHASIS ON THE INTENSE THERAPY FOR WHICH CARDINAL HILL HOSPITAL IS KNOWN. CARDINAL HILL HOME CARE SERVES PATIENTS IN THE FOLLOWING CENTRAL KENTUCKY COUNTIES: FAYETTE, FRANKLIN, JESSAMINE, MADISON AND WOODFORD. 1923382 1413229 56415993 1 1 0 1 0 0 0 0 1 1 0 0 0 1 1 0 1 0 0 0 0 0 0 1 1 1 1 0 0 1 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 1 135 1 1 1117 1 1 1 0 0 0 0 1 1 0 0 0 0 X 11 11 0 0 1 0 0 0 0 1 1 0 1 1 1 1 1 1 1 1 1 1 0 KY X X MARTY LAUTNER 8592545701 2050 VERSAILLES ROAD LEXINGTON KY 40504 WARREN HOFFMANN 1.00 X 0 0 0 MIKE KANAREK 1.00 X 0 0 0 CHARLOTTE LUNDERGAN 1.00 X 0 0 0 GLENN NORVELL 1.00 X 0 0 0 RICHARD STURGILL 1.00 X 0 0 0 TED RENAKER 1.00 X 0 0 0 GREGG THORNTON 1.00 X 0 0 0 JEFF RATANAPOOL 1.00 X 0 0 0 LARRY J FISHER 1.00 X 0 0 0 BILL SCHEBEN 1.00 X 0 0 0 JIMMY NASH 1.00 X 0 0 0 KERRY G GILLIHAN 40.00 X 304966 0 32729 CYNTHIA WILLIAMS 40.00 X 169183 0 15329 ELIZABETH MONARCH 40.00 X 216711 0 27402 LABAN MILLER 40.00 X 149998 0 22572 KATHLEEN FITZGERALD 40.00 X 144277 0 14087 MARTIN LAUTNER 40.00 X 155871 0 21147 PRISCILLA WYATT 40.00 X 115492 0 13812 JANICE BAUER 40.00 X 118442 0 9252 PAM HEISSENBUTTEL 40.00 X 136218 0 21159 SCOTT FERGUSON 40.00 X 109337 0 11744 STEVEN KINCAID 40.00 X 108084 0 18563 1728579 0 207796 11 0 1 0 BURCHFIELD & THOMAS 1610 OLD FRANKFORT PIKE LEXINGTON KY 40504 CONSTRUCTION SERVICES 11171005 ST ELIZABETH MEDICAL CENTER 401 E 20TH STREET COVINGTON KY 41014 RENT AND ANCILLARY SERVICES 1411738 UK HEALTHCARE 2347 STERLINGTON ROAD SUITE 300 LEXINGTON KY 40517 RENT AND ANCILLARY SERVICES 1245020 CROTHALL HEALTHCARE INC 955 CHESTERBROOK BLVD SUITE 300 WAYNE PA 19087 ENVIRONMENTAL SERVICES 987650 PHS ADVOCATE 24042 NETWORK PLACE CHICAGO IL 60673 PHARMACY STAFFING SERVICES 339243 14 77590 1626540 47618 1704130 PROGRAM SERVICE FEES 623000 61405589 61405589 CHILDCARE FACILITY REV 624410 1147069 196667 950402 62552658 421180 421180 162487 224178 -61691 -61691 -61691 33738371 30397385 15992 3340986 -15992 3324994 3324994 191390 77590 137186 54204 54204 1137997 1082200 55797 55797 32186 20529 11657 11657 CAFETERIA SALES 722210 282176 282176 RECORD TRANSCRIPTION 561000 31362 31362 MISCELLANEOUS 900099 11718 11718 325256 68388185 61602256 950402 4131397 1498152 1498152 36056073 32433158 3382637 240278 1173025 1048051 115385 9589 4126646 3602083 491606 32957 2640632 2292065 336210 12357 160165 160165 19105 19105 4678504 4396034 249344 33126 9863458 7148266 2625275 89917 1308031 1212282 87388 8361 219611 186342 31172 2097 670703 565124 95438 10141 2190328 1855350 315649 19329 PROVIDER TAX 1254375 1254375 0 0 EXPENSES ALLOCATED FROM 755174 755174 RESIDENCY PROGRAM 341522 341522 CHARGEABLE MEDICAL SUPP 145092 145092 0 0 MEMBERSHIP DUES 54395 451 52609 1335 -61952 -64202 2250 67093039 56415993 10217559 459487 6787577 4370126 1975407 4088905 819143 580086 706315 484718 88342112 29528008 41582618 58814104 31535166 28569610 4720244 4821738 88126470 101729287 5010895 6087697 265684 155630 24134243 34938878 156041 1769576 899706 1425175 30466569 44376956 X 48118058 48083796 250880 4504778 9290963 4763757 57659901 57352331 88126470 101729287 X 1295146 -1602716 X X 0 1 1 X 0 X 1544193 1708277 2091874 1574574 1704130 8623048 1544193 1708277 2091874 1574574 1704130 8623048 1188639 7434409 959730 1438142 1085298 727519 583667 4794356 13417404 316587577 0.55410 0.52510 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED X 8262 10843 19105 67073934 67093039 1000000 250000 0 0 1000000 1000000 1000000 1000000 4000000 6000000 46754 44080 43552 19105 153491 250000 250000 250000 250000 1000000 1500000 9199 8080 7552 8262 33093 31888637 102968 4735861 7569428 29158038 37115198 195951 1493002 6915516 31888635 44937704 496107 -4803481 3515132 37115198 0.78170 0.21830 1 0 1015453 1015453 29592462 17235167 12357295 17745201 12292841 5452360 39988996 39988996 58814104 ESTIMATED MEDICARE-MEDICAID COST REPORT SETTLEMENT 1192341 ACCRUED BENEFIT PLAN LIABILITY 222834 BUILDING PLEDGE 10000 1425175 DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: ENDOWMENT FUNDS SUPPORT THE MISSION OF THE KENTUCKY EASTER SEAL SOCIETY, PROVIDING FACILITIES AND QUALITY CARE TO PATIENTS AND CLIENTS. ENDOWMENT FUNDS REPRESENT THE ASSETS HELD IN TRUST BY OTHERS AND RESTRICTIONS PLACED BY DONORS WITH THE GIFT. DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: THE SOCIETY HAS EVALUATED THE TAX POSITIONS TAKEN ON ALL INCOME TAX RETURNS THAT REMAIN OPEN TO EXAMINATION BY THE RESPECTIVE TAXING AUTHORITIES (GENERALLY 2007-2010). THE SOCIETY DOES NOT BELIEVE THAT THERE ARE ANY UNCERTAIN POSITIONS ON THOSE RETURNS THAT REQUIRE RECOGNITION OR DISCLOSURE IN THE FINANCIAL STATEMENTS. KENTUCKY BASH 107741 48649 59092 3080 31370 17450 2025 8791 TASTE OF THE OAKS BOURBON TASTING 69508 12061 57447 3632 23548 6377 4 91731 16880 74851 11255 14046 1287 500 13825 268980 77590 191390 17967 68964 18737 2525 28993 137186 54204 328499 367986 170 32825 74128 1 1.00000 795315 604641 0 0 0 1 1.00000 14183 0 2450 0 0 1 1.00000 1137997 972627 2620 32825 74128 1082200 55797 KY 1 0 0 0 0.01000 0.99000 PHYLLIS SANTOSSHARON DELLECHIAIE 2050 VERSAILLES ROAD LEXINGTON KY 40504 0 GAMING IS MANAGED BY VOLUNTEERS ALL GAMING IS MANAGED BY VOLUNTEERS. 1 49645 1 1 X 1 X 1 X 1 1 1 0 0 2522602 293397 2229205 0.03320 10665163 7971938 2693225 0.04010 13187765 8265335 4922430 0.07330 36150 36150 0.00050 1328553 99580 1228973 0.01830 3861 1541 2320 0.00000 16654 16654 0.00020 1385218 101121 1284097 0.01900 14572983 8366456 6206527 0.09230 293 293 0.00000 16974 16974 0.00030 1059060 1059060 0.01580 10791 10791 0.00020 1087118 1087118 0.01630 1 -50706 0 23800689 19741637 4059052 X 1 1 2 1 CARDINAL HILL REHABILITATION HOSPITAL

2050 VERSAILLES ROAD LEXINGTON KY 40504

X X X INPATIENT REHAB FACILITY 2 CARDINAL HILL SPECIALTY HOSPITAL

85 NORTH GRAND AVENUE FORT THOMAS KY 41075

X LONG TERM ACUTE CARE FACILITY CARDINAL HILL REHABILITATION HOSPITAL 1 1 1 100.000000000000 1 200.000000000000 1 X X X 1 1 X 1 X 1 X X X X 0 X X 0 0 CARDINAL HILL SPECIALTY HOSPITAL 2 1 1 100.000000000000 1 200.000000000000 1 X X X 1 1 X 1 X 1 X X X X 0 X X 0 0 2 CARDINAL HILL REHAB - SAMARITAN HOSPITAL

310 S LIMESTONE LEXINGTON KY 40508

SKILLED NURSING FACILITY CARDINAL HILL REHABILITATION CENTER

9810 BLUEGRASS PARKWAY LOUISVILLE KY 40299

OUTPATIENT PHYSICAL REHABILITATION PART I, LINE 7, COLUMN (F): THE BAD DEBT EXPENSE INCLUDED ON FORM 990, PART IX, LINE 25, COLUMN (A), BUT SUBTRACTED FOR PURPOSES OF CALCULATING THE PERCENTAGE IN THIS COLUMN IS $ -116459. PART II: ALL OF KESS' COMMUNITY BUILDING ACTIVITIES PROMOTE HEALTH BY ENABLING INDIVIDUALS TO REACH THEIR HIGHEST POTENTIAL FOR PHYSICAL, EMOTIONAL AND MENTAL WELL-BEING. THE MOST SIGNIFICANT COMMUNITY BUILDING ACTIVITY IS THE AMPUTEE WALKING SCHOOL. THE CLINIC INTRODUCES TREATMENT APPROACHES FOR IMPROVED FUNCTION AND RETURN TO AN ACTIVE LIFESTYLE. UNDERSTANDING THE DYNAMICS OF HOW ARTIFICIAL DEVICES WORK AND HOW TO USE MUSCLES PROPERLY TO CONTROL THE DEVICES ENABLES INDIVIDUALS WITH DISABILITIES TO RUN, MOVE FROM SIDE TO SIDE, BEND DOWN, JUMP, CLIMB STAIRS AND WALK WITH MORE CONFIDENCE. INCREASED STRENGTH AND FLEXIBILITY HELP PARTICIPANTS TO OPERATE MORE EFFICIENTLY, EXPEND LESS ENERGY AND, THUS, DO MORE EACH DAY WITHOUT FATIGUE. THE SCHOOL FACILITATES ONE-ON-ONE OPPORTUNITIES BETWEEN THE PRESENTERS AND AMPUTEES AND "HANDS-ON" PARTICIPATION TECHNIQUES ASSISTED BY A TRAINED PROFESSIONAL AND/OR FAMILY MEMBER. IN ADDITION, PROFESSIONALS IN THE FIELD OF REHABILITATIVE THERAPY AND SPORTS RECEIVE A HIGH LEVEL TRAINING AND ADVANCED EXERCISES APPROPRIATE FOR USE WITH CLIENTS OF ALL AGES TO IMPROVE AMBULATING. THE CLINIC IS FREE AND OPEN TO ALL AMPUTEES AND FAMILY MEMBERS. PROFESSIONALS RECEIVE NOT ONLY TRAINING, BUT CONTINUING EDUCATION CREDITS THAT MAY BE APPLIED TO THEIR RESPECTIVE DISCIPLINES FOR LICENSURE. CHRH PROVIDES STROKE SCREENINGS AT HEALTH FAIRS THROUGHOUT THE AREA OVER THE COURSE OF THE YEAR. THE HIGHEST POPULATION OF PATIENTS ARE STROKE VICTIMS. THEREFORE, AS A COMMUNITY BENEFIT, WE EDUCATE THE POPULATION ON STROKE RISKS AND PREVENTION, AND PROVIDE FREE STROKE SCREENINGS. THE LOUD CROWD IS AN EXERCISE/SUPPORT GROUP FOR COMMUNITY MEMBERS, FORMER PATIENTS WITH SPEECH RELATED CHALLENGES, AND FAMILY MEMBERS. THE GROUP MEETS AT CHRH, WITH A SPEECH THERAPIST AND A VOLUNTEER, AND ENCOURAGES INTERACTION. PART III, LINE 4: A COST-TO-CHARGE RATIO WAS USED TO DETERMINE THE AMOUNT OF BAD DEBT EXPENSE AT COST. NO AMOUNT OF BAD DEBT EXPENSE WAS ATTRIBUTED TO PATIENTS ELIGIBLE FOR CHARITY CARE BECAUSE THE ORGANIZATION'S BAD DEBT POLICY DISTINGUISHES BETWEEN THOSE WITH THE ABILITY TO PAY BUT WILL NOT, WHO ARE CONSIDERED BAD DEBT, AND THOSE WITHOUT THE ABILITY TO PAY, WHO ARE CONSIDERED CHARITY CARE. THE ORGANIZATION'S FINANCIAL STATEMENT FOOTNOTES DO NOT DIRECTLY ADDRESS THE TREATMENT OF BAD DEBT EXPENSE, ACCOUNTS RECEIVABLE, OR AN ALLOWANCE FOR DOUBTFUL ACCOUNTS, BUT DO DISCUSS THE PRESENTATION OF PROGRAM SERVICE FEES: PROGRAM SERVICE FEES CONSIST OF NET PATIENT SERVICE REVENUE. NET PATIENT SERVICE REVENUE IS REPORTED AT THE ESTIMATED NET REALIZABLE AMOUNTS FROM PATIENTS, THIRD-PARTY PAYORS, AND OTHERS FOR SERVICES RENDERED, INCLUDING ESTIMATED RETROACTIVE ADJUSTMENTS UNDER REIMBURSEMENT AGREEMENTS WITH THIRD-PARTY PAYORS. RETROACTIVE ADJUSTMENTS ARE ACCRUED ON AN ESTIMATED BASIS IN THE PERIOD THE RELATED SERVICES ARE RENDERED AND ADJUSTED IN FUTURE PERIODS AS FINAL SETTLEMENTS ARE DETERMINED. PART III, LINE 8: MEDICARE COSTS WERE DETERMINED USING A COST-TO-CHARGE RATIO, AS INDICATED. PART III, LINE 9B: ALL SELF PAY PATIENTS ARE SENT STATEMENTS. THERE ARE A SERIES OF FIVE STATEMENTS SENT ONE PER MONTH. ALONG WITH THE FOURTH STATEMENT, A FINANCIAL WORKSHEET IS SENT, WITH WORDING THAT FUNDS MAY BE AVAILABLE IF THE PATIENT NEEDS ASSISTANCE. IF NO RESPONSE IS RECEIVED, THEN AFTER THE FIFTH STATEMENT, THERE ARE TWO SUBSEQUENT COLLECTION LETTERS SENT, ALSO REQUESTING THE PATIENT CONTACT THE HOSPITAL IF THEY HAVE FINANCIAL HARDSHIP. THE SECOND COLLECTION LETTER STATES THAT THE ACCOUNT WILL BE SENT TO COLLECTION IF THE PATIENT TAKES NO ACTION. THE MINIMUM ACCOUNT BALANCE SENT TO COLLECTIONS IS $50. IF NO RESPONSE, AND THE ACCOUNT EXCEEDS THIS THRESHOLD, THE ACCOUNT IS SENT TO A COLLECTION AGENCY. AMOUNTS UNDER $50 ARE WRITTEN OFF TO BAD DEBTS, SINCE THE PATIENT HAS NOT DEMONSTRATED AN INABILITY TO PAY. IF THE FINANCIAL WORKSHEET IS RECEIVED BACK FROM THE PATIENT, THE INCOME, EXPENSES, AND RESOURCES ARE EVALUATED, AND MANAGEMENT MAKES A DETERMINATION OF ELIGIBILITY FOR CHARITY CARE. IF DEEMED ELIGIBLE, NO FURTHER COLLECTION ACTIVITY IS TAKEN. THE RECEIVABLE IS THEN WRITTEN OFF TO CHARITY CARE. CARDINAL HILL REHABILITATION HOSPITAL PART V, SECTION B, LINE 11H: OTHER FACTORS USED TO DETERMINE THE AMOUNTS CHARGED TO PATIENTS ARE THE NUMBER OF HOUSEHOLD MEMBERS. CARDINAL HILL SPECIALTY HOSPITAL PART V, SECTION B, LINE 11H: OTHER FACTORS USED TO DETERMINE THE AMOUNTS CHARGED TO PATIENTS ARE THE NUMBER OF HOUSEHOLD MEMBERS. CARDINAL HILL REHABILITATION HOSPITAL PART V, SECTION B, LINE 15E: THE HOSPITAL FACILITY SENDS THE UNCOLLECTED AMOUNTS TO A COLLECTION AGENCY. CARDINAL HILL SPECIALTY HOSPITAL PART V, SECTION B, LINE 15E: THE HOSPITAL FACILITY SENDS THE UNCOLLECTED AMOUNTS TO A COLLECTION AGENCY. CARDINAL HILL REHABILITATION HOSPITAL PART V, SECTION B, LINE 16E: THE HOSPITAL FACILITY SENDS THE UNCOLLECTED AMOUNTS TO A COLLECTION AGENCY. CARDINAL HILL SPECIALTY HOSPITAL PART V, SECTION B, LINE 16E: THE HOSPITAL FACILITY SENDS THE UNCOLLECTED AMOUNTS TO A COLLECTION AGENCY. CARDINAL HILL REHABILITATION HOSPITAL PART V, SECTION B, LINE 17E: THE HOSPITAL SENDS A SERIES OF COLLECTION LETTERS PRIOR TO COLLECTION ACTIONS BY THE THIRD PARTY. CARDINAL HILL SPECIALTY HOSPITAL PART V, SECTION B, LINE 17E: THE HOSPITAL SENDS A SERIES OF COLLECTION LETTERS PRIOR TO COLLECTION ACTIONS BY THE THIRD PARTY. CARDINAL HILL REHABILITATION HOSPITAL PART V, SECTION B, LINE 19D: THE HOSPITAL DETERMINED THE AMOUNTS BILLED TO INDIVIDUALS, WHO DID NOT HAVE INSURANCE, BASED ON THE MEDICAID RATE. CARDINAL HILL SPECIALTY HOSPITAL PART V, SECTION B, LINE 19D: THE HOSPITAL DETERMINED THE AMOUNTS BILLED TO INDIVIDUALS, WHO DID NOT HAVE INSURANCE, BASED ON THE MEDICAID RATE. PART VI, LINE 2: IN COLLABORATION WITH HEALTHCARE ORGANIZATIONS THROUGHOUT THE STATE, CARDINAL HILL FREQUENTLY ASSESSES SERVICES PROVIDED AND THE COMMUNITY NEED FOR ADDITIONAL SERVICES. FOR EXAMPLE, KENTUCKY IS CONSIDERED TO BE IN THE "STROKE BELT" OF AMERICA, MEANING WE ARE AMONG TEN STATES WHERE THE MORTALITY RATE FROM STROKES IS HIGHER THAN THE NATIONAL AVERAGE. WE PROVIDE FREE STROKE SCREENINGS AT THE CARDINAL HILL COMMUNITY HEALTH FAIR AND LOCAL AND REGIONAL HEALTH FAIRS. PART VI, LINE 3: PATIENTS ARE INFORMED ABOUT STATE (KMA) ELIGIBILITY REQUIREMENTS. THIS MAY START AT PRE-ADMISSION SCREENING BY OUR ADMISSION FACILITATOR, OR AT ADMISSION BY OUR ADMISSION COUNSELOR, OR DURING INPATIENT OR OUTPATIENT SERVICES BY THEIR SOCIAL WORKER/CASE MANAGER. A STATEMENT THAT THE FACILITY ACCEPTS PATIENTS WITHOUT REGARD TO RACE, CREED, OR ABILITY TO PAY IS LOCATED AT THE INPATIENT ADMISSION AND OUTPATIENT FINANCIAL COUNSELOR'S OFFICES. IF THE PATIENT INDICATES INABILITY TO PAY, THEY ARE GIVEN A FINANCIAL WORKSHEET TO COMPLETE. PART VI, LINE 4: KESS HAS TWO HOSPITALS, CHRH AND CHSH, BOTH LOCATED IN KENTUCKY, ALTHOUGH CHSH IS ON THE BORDER WITH OHIO. BOTH HOSPITALS ARE IN SUBURBAN AREAS, BUT SERVE A MIX OF RURAL AND SUBURBAN PATIENTS. BOTH SERVE COUNTIES IN THE EASTERN AND SOUTHEASTERN PARTS OF KENTUCKY, MANY OF WHICH ARE DESIGNATED AS MEDICALLY UNDERSERVED AREAS. MOST OF THESE HOSPITALS' PATIENTS ARE FROM KENTUCKY AND 22% AND 27.46% OF CHRH'S AND CHSH'S PATIENTS, RESPECTIVELY, ARE UNINSURED OR MEDICAID RECIPIENTS. CHRH IS THE ONLY FREE-STANDING REHABILITATION-SPECIFIC INPATIENT PROVIDER IN ITS PRIMARY SERVICE AREA. CHSH IS ONE OF ONLY SIX LONG-TERM CARE ACUTE HOSPITALS SERVING THE ENTIRE STATE OF KENTUCKY, AND THE ONLY ONE LOCATED IN THE NORTHERN AND EASTERN PORTION OF THE STATE. OTHER LONG TERM CARE HOSPITALS IN KENTUCKY ARE IN LEXINGTON, LOUISVILLE, BOWLING GREEN, AND CORBIN. PART VI, LINE 6: KESS ORGANIZED COMMUNITY WIDE SUPPORT GROUPS FOR CAREGIVERS AND SURVIVORS OF STROKE, BRAIN INJURY, SPINAL CORD INJURY, AMPUTATION, AND FOR THOSE LIVING WITH PULMONARY DISORDERS OR DISEASE. KESS ALSO PROVIDES A FREE, COMMUNITY-WIDE HEALTH FAIR AND STRETCHING CLINICS BEFORE GOLF TOURNAMENTS AND 5K RUN/WALKS. PART VI, LINE 7: CARDINAL HILL HEALTHCARE SYSTEM IS AN AFFILIATE OF NATIONAL EASTER SEALS SOCIETY. EASTER SEALS HELPS INDIVIDUALS WITH DISABILITIES AND SPECIAL NEEDS, AND THEIR FAMILIES, LIVE BETTER LIVES. EASTER SEALS OFFERS A VARIETY OF SERVICES TO HELP PEOPLE WITH DISABILITIES ADDRESS LIFE'S CHALLENGES AND ACHIEVE PERSONAL GOALS THROUGH DIRECT SERVICES, ADVOCACY AND EDUCATIONAL OPPORTUNITIES. X 1 1 X X X 1 0 0 0 0 0 0 0 0 KERRY G GILLIHAN 304966 0 0 0 0 0 15548 0 17181 0 337695 0 0 0 CYNTHIA WILLIAMS 169183 0 0 0 0 0 10879 0 4450 0 184512 0 0 0 ELIZABETH MONARCH 216711 0 0 0 0 0 14216 0 13186 0 244113 0 0 0 LABAN MILLER 149998 0 0 0 0 0 9944 0 12628 0 172570 0 0 0 KATHLEEN FITZGERALD 144277 0 0 0 0 0 9162 0 4925 0 158364 0 0 0 MARTIN LAUTNER 155871 0 0 0 0 0 10285 0 10862 0 177018 0 0 0 PAM HEISSENBUTTEL 136218 0 0 0 0 0 9115 0 12044 0 157377 0 0 0 KENTUCKY ECONOMIC DEVELOPMENT FINANCE AUTHORITY 610600439 2010-02-12 13000000 HOSPITAL CONSTRUCTION 0 0 0 KENTUCKY ECONOMIC DEVELOPMENT FINANCE AUTHORITY 610600439 2009-12-30 30000000 REFINANCING AND HOSPITAL CONSTRUCTION 0 0 0 13000000 54456 10515736 2012 0 0 0 1 30000000 208983 25024935 2012 0 1 0 1 0 0 0 0 1 0.00000 0.00000 0.00000 1 0 0 0 0 1 0.00000 0.00000 0.00000 1 0 0 0 0 0 0 0 0 0 0 0 0 X 5 740 FAIR MARKET VALUE X WHEELCHAIRS, WALKERS, SCOOTERS, HOSPITAL BEDS, CRU 20 12947 FAIR MARKET VALUE X PLANTS AND TREES 3 4350 FAIR MARKET VALUE X BOX SEATS 4 421 FAIR MARKET VALUE X OTHER MEDICAL SUPPLIES 17 4604 FAIR MARKET VALUE X TOYS 8 2417 FAIR MARKET VALUE X FURNITURE 1 50 FAIR MARKET VALUE X ELECTRONICS 1 500 FAIR MARKET VALUE X QUILTS AND BLANKETS 3 1350 FAIR MARKET VALUE X TELECOMMUNICATION 1 5550 FAIR MARKET VALUE X ADVERTISEMENTS 2 12050 FAIR MARKET VALUE X MEDICAL SERVICE 1 377 FAIR MARKET VALUE X SCHOOL SUPPLIES 1 800 FAIR MARKET VALUE X BOOKS AND MAGAZINES 4 525 FAIR MARKET VALUE X RENTAL EXPENSE WAIVED 1 500 FAIR MARKET VALUE X CARDS 2 300 FAIR MARKET VALUE X PARKING DECALS 1 57 FAIR MARKET VALUE X CLOTHING 1 80 FAIR MARKET VALUE 0 1 0 FORM 990, PART VI, SECTION A, LINE 4 THE ORGANIZATION'S BY-LAWS WERE REVISED TO REMOVE INFORMATION REGARDING CAMP KYSOC, WHICH TERMINATED IN FISCAL YEAR 8/31/10 AND NORTHERN KENTUCKY EASTER SEAL, WHICH TERMINATED AS OF 8/31/11. THE NUMBER OF BOARD MEMBERS REQUIRED AND THE NUMBER OF BOARD MEETINGS WERE REVISED. REQUIREMENTS FOR VARIOUS COMMITTEES WERE ALSO REVISED. FORM 990, PART VI, SECTION B, LINE 11 THE BOARD OF DIRECTORS HAVE BEEN GIVEN THE OPPORTUNITY TO REVIEW FORM 990 IN ITS ENTIRETY. ADDITIONALLY, KEY MEMBERS OF THE BOARD OF DIRECTORS HAVE REVIEWED FORM 990 WITH THE CFO. FORM 990, PART VI, SECTION B, LINE 12C THE ENTITY REQUIRES OFFICERS, DIRECTORS, AND TRUSTEES TO ANNUALLY REVIEW AND DISCLOSE IN WRITING TRANSACTIONS WITH THE ENTITY. FORM 990, PART VI, SECTION B, LINE 15 QUESTION 15A THE OVERSIGHT COMMITTEE, COMPRISED SOLELY OF INDEPENDENT MEMBERS OF THE BOARD OF DIRECTORS SERVING AS A COMPENSATION COMMITTEE, REVIEWS COMPARABILITY AND OTHER COMPENSATION DATA OBTAINED FROM INDEPENDENT COMPENSATION DATA SURVEYS TO DETERMINE THE COMPENSATION OF THE CEO. THE DELIBERATION AND DECISION OF THE CEO'S COMPENSATION IS DOCUMENTED IN THE STANDARD DOCUMENTATION OF COMPENSATION ADJUSTMENTS MAINTAINED IN PERSONNEL RECORDS. THE HUMAN RESOURCE MANAGER ASSISTS THE COMMITTEE IN PREPARING AND EXECUTING THE APPROPRIATE PERSONNEL AND PAYROLL RECORDS. THE HUMAN RESOURCE MANAGER MAINTAINS CONTROL OF THE PERSONNEL RECORDS OF THE CEO. IN 2010 AND 2011, THE CEO DID NOT RECEIVE AN INCREASE IN COMPENSATION, BUT IN THOSE YEARS WAS PROVIDED WITH THE SAME COMPENSATION RATE THAT WAS APPROVED BY THE OVERSIGHT COMMITTEE OF THE BOARD OF DIRECTORS IN 2008. THE CHIEF EXECUTIVE OFFICER AND CHIEF OPERATING OFFICER REVIEW COMPENSATION OF OFFICERS OF THE COMPANY, INCLUDING A REVIEW OF INDUSTRY COMPENSATION PACKAGES PROVIDED BY INDEPENDENT COMPENSATION DATA SURVEYS. IN ADDITION, FORMAL, WRITTEN PERFORMANCE EVALUATIONS ARE COMPLETED ANNUALLY ON THE OFFICERS BY THE CEO AND COO. THE DELIBERATION AND DECISION OF THE OFFICER'S COMPENSATION IS DOCUMENTED IN THE STANDARD DOCUMENTATION OF COMPENSATION ADJUSTMENTS MAINTAINED IN PERSONNEL RECORDS. THE HUMAN RESOURCE MANAGER MAINTAINS THE OFFICERS' PERSONNEL RECORDS AND ARE UNDER HIS CONTROL AND SECURITY. QUESTION 15B THE CHIEF EXECUTIVE OFFICER AND CHIEF OPERATING OFFICER REVIEW COMPENSATION OF OFFICERS OF THE COMPANY, INCLUDING A REVIEW OF INDUSTRY COMPENSATION PACKAGES PROVIDED BY INDEPENDENT COMPENSATION DATA SURVEYS. IN ADDITION, FORMAL, WRITTEN PERFORMANCE EVALUATIONS ARE COMPLETED ANNUALLY ON THE OFFICERS BY THE CEO AND COO. THE DELIBERATION AND DECISION OF THE OFFICER'S COMPENSATION IS DOCUMENTED IN THE STANDARD DOCUMENTATION OF COMPENSATION ADJUSTMENTS MAINTAINED IN PERSONNEL RECORDS. THE HUMAN RESOURCE MANAGER MAINTAINS THE OFFICERS' PERSONNEL RECORDS AND ARE UNDER HIS CONTROL AND SECURITY. FORM 990, PART VI, SECTION C, LINE 19 THE COMPANY MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST, AT THE DISCRETION OF THE BOARD OF DIRECTORS. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED GAINS ON INVESTMENTS: 1,590,447. LOSS ON DISCONTINUANCE OF BUSINESS UNIT -2,657,888. EFFECT OF FASB 108 -535,275. TOTAL TO FORM 990, PART XI, LINE 5: -1,602,716. FORM 990, PART XII, QUESTION 2C THE FINANCE AND AUDIT COMMITTEE IS RESPONSIBLE FOR THE OVERSIGHT OF THE AUDIT AND SELECTION OF THE INDEPENDENT ACCOUNTANT. THIS PROCESS HAS NOT CHANGED FROM THE PRIOR YEAR. CHANGE IN NET ASSETS FORM 990, PART XI UPON CARDINAL HILL NORTHERN KENTUCKY'S TERMINATION, ITS NEGATIVE NET ASSETS WERE TRANSFERRED TO THE PARENT ORGANIZATION. THEREFORE, THE GROUP RETURN'S NET ASSETS SHOWN HAVE DECREASED BY $8,368,690, THE AMOUNT OF CARDINAL HILL NORTHERN KENTUCKY'S NEGATIVE NET ASSETS AT TERMINATION. NUMBER OF EMPLOYEES FORM 990, PART I, LINE 5 AND PART V, LINE 2A. THE NUMBER OF W-2S ISSUED AS REPORTED ON FORM W-3, 1,117, IS NOT REPRESENTATIVE OF THE ACTUAL NUMBER OF EMPLOYEES EMPLOYED BY THE GROUP. THIS NUMBER INCLUDES MULTIPLE W-2S ISSUED TO A SINGLE EMPLOYEE DUE TO WORK IN MULTIPLE STATES OR LOCALITIES. A MORE ACCURATE REPRESENTATION OF THE TOTAL NUMBER OF EMPLOYEES DURING THE YEAR WOULD BE 309. YEAR OF SUBSTANTIAL COMPLETION SCHEDULE K, PART II, LINE 13 THE FACILITY IS PLANNED TO BE COMPLETED IN SEPTEMBER 2011, WHICH IS IN FISCAL YEAR 2012. FORM 990, PART VI, SECTION A, LINE 1A THE EXECUTIVE COMMITTEE OF THE BOARD OF DIRECTORS, LED BY THE BOARD CHAIRPERSON, HAS AUTHORITY TO ACT ON BEHALF OF THE BOARD OF DIRECTORS ON ALL MATTERS WHICH CANNOT BE DELAYED UNTIL THE NEXT REGULARLY SCHEDULED BOARD MEETING, EXCLUDING THE POWER TO AMEND ARTICLES OF INCORPORATION AND BYLAWS. ALL SUCH ACTIONS ARE THEN REPORTED TO THE BOARD OF DIRECTORS AT THE NEXT MEETING.