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      <Description>Holland Community Hospital's mission is to improve the health of the communities it serves. This unwavering commitment to providing the highest quality medical care has remained steadfast since the hospital began. This 94-year legacy of providing excellent, compassionate and increasingly advanced health care regardless of patients' ability to pay continues unabated.First-Rate Quality Today, Holland Hospital is nationally recognized for quality and excellence and is the proud recipient of 45 state and national quality awards since 2003. In 2007, Holland Hospital received the prestigious Magnet Hospital Designation, a first-in-class distinction awarded by the American Nurses Credentialing Center to hospitals that demonstrate the highest degree of patient-care excellence. For Lakeshore-area residents, our Magnet insignia is assurance that the care patients receive at Holland Hospital is the very best - among the top 3 percent of clinical programs in the nation. 'Top 100 Hospitals' Three Years and CountingThis year was the fifth consecutive year that Holland Hospital was ranked among the nation's "100 Top Hospitals" by Thomson Reuters. This distinction is based on an independent, data-driven review of more than 3,000 hospitals. Hospitals don't apply to be on this list; rather, the study rates them based on a balanced, unbiased comparison. Only those that demonstrate superior performance are considered, and only the best 100 make the list. Our hospital is one of less than 40 hospitals to make the list five times, validating the high quality care Holland Hospital offers - and works daily to achieve.Top 4 Percent for "Best Practices""Process of care measures" (or "core measures") are proven best-practice standards for treating patients with certain medical conditions. How well each hospital applies these life-saving measures is tracked by the U.S. Department of Health &amp; Human Services and can be viewed at www.hospitalcompare.hhs.gov.Recent data place Holland Hospital at the 96th percentile - meaning we're in the top 4 percent of hospitals nationwide in meeting process of care measures. We are also among the first hospitals to lead the way in patient safety through the Michigan Health &amp; Hospital Association Keystone Center for Patient Safety &amp; Quality. Leaders in Innovative PracticesThe hospital continues to meet the growing health care needs of the community by providing experienced specialists, leading-edge technology and exceptional patient care. Although the health care landscape continues to change, Holland Hospital remains ahead of the curve with fiscal discipline, efficient use of resources, and wise investment in new technologies. Many Lakeshore residents are benefiting from our recent facility improvements as well as such cutting-edge technologies as daVinci robot-assisted surgery, digital mammography and interventional radiology. During fiscal year 2010, Holland Hospital's 320-member medical staff, 1,800 employees and 600 volunteers served the community by providing:Patient Days 28,600Discharges 8,000Births 1,700Surgeries 8,200Outpatient Visits 377,200Emergency Room Visits 41,500Urgent Care Visits 30,400Home Health Visits 44,500Lab Tests 604,500Radiology Procedures 107,600Beds 209Innovative Outreach ProgramsImproving the health of the communities we serve means taking our services into the community to offer residents convenient access to health programs and education. More programs and services are reaching beyond hospital walls into the community, whether at schools, neighborhoods or businesses. Residents and employees alike can take advantage of numerous prevention and wellness offerings.Health Education and ServicesRecognizing that men and women have unique health needs, Holland Hospital has responded to the community's request for programs that address gender-related health concerns. Our Women's Midlife Services is devoted entirely to addressing the physical and emotional issues of mature women. Created by women for women and directed by a certified menopause practitioner, Women's Midlife Services offers the latest information on menopause and related issues. Interpretation ServicesOur on-site interpreters, specially trained in medical conditions in accordance with the National Council on Interpreting in Health Care, are available 24 hours a day to facilitate communication between patients and providers. In the past year, staff handled more than 23,500 interpretation requests. A new video conferencing system at the off-site Urgent Care Center connects patients face-to-face with interpreters in minutes eliminating delays due to travel time. Diabetes Education Diabetes is a major health epidemic that we continue to address through our Diabetes Self-Management Education program. We assist those with diabetes by offering individual consultations as well as group classes. Participants learn about diet and nutrition, how to test their blood sugar, and managing the disease with medication. Community Outreach Programs The Center for Good Health offers a wealth of educational classes and presentations for children, adults and seniors. In 2009, the center offered 1,951 classes and events with 91,946 participants. Recently, in response to today's emphasis on improving worker health to boost effectiveness and reduce health care costs, the center joined forces with many area businesses to take its Worksite Wellness program directly to employees. Serving the Underserved with the FACE of Holland ProjectIn Ottawa County, the challenging economic times have left some 30,000 adults and children with no or insufficient health insurance to cover their family's medical expenses. In response, the Holland Hospital Foundation intensified its efforts to "serve the underserved" by focusing financial support on two vital programs: the Holland Community Health Center and the School Nursing Program. The Foundation is the sole source of funding for the School Nursing Program, investing $50,000 per school yearly, and contributes $540,000 to the operation of the Community Health Center. Holland Community Health CenterDemand is rising dramatically (by about 1,000 patients per year) for services of the Holland Community Health Center, which provides health care for people traditionally underserved due to lack of insurance or inability to pay. In 2009, the Community Health Center served nearly 6,000 patients, nearly half of them children. Most of these visits focused on women's and children's health care needs, diabetes management and elder care. Each year the Community Health Center acquires over $345,000 worth of free medications for patients who cannot afford them. The School Nursing ProgramOur school nurses provide health care services and education to students in eight Holland and West Ottawa public schools. Many of the children they serve fall below the poverty line. The school nurse is often a child's only access to health care. School nurses handle 15,000 student visits, make 500 physician referrals, administer 10,000 medications, and help youngsters manage chronic illnesses such as asthma and diabetes. Uncompensated Medical Costs Our commitment to caring for members of our community who are uninsured or underinsured continues to be one of the biggest financial challenges for the hospital. In FY 2009, Holland Hospital provided unreimbursed care to our patients at a cost of $27.7 million, a 17 percent increase over the previous year. Bad debt alone rose over 30 percent in 2010 and 50% in 2009 - a reflection of the economic environment and growth in unemployment.Holland Hospital takes its fiduciary responsibility seriously, and works very hard to balance the current health care needs of the community with our responsibility to remain financially viable for generations to come. Community outreach is an important part of our mission and it takes great effort to free up resources to be able to invest in these programs and cover increasing costs from uncompensated care.2010 Community Benefit Summary - $32.8 Million Total Community Benefit Unpaid Cost of Medicaid $6,500,000Unpaid Cost of Medicare $4,500,000Charity Care $6,600,000 Bad Debt $10,400,000Other Community Benefits (note A) $4,800,000Note A - Other Community Benefits include:- Community Education &amp; Outreach Programs- Cash, In-kind Donations &amp; Contributions- Holland Community Health Center- Health Professional Education &amp; Research</Description>
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        <DirectExpenseSummaryEvents>39400</DirectExpenseSummaryEvents>
        <NetIncomeSummary>17313</NetIncomeSummary>
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      <GamingInformation>
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        <NetGamingIncomeSummary>-6488</NetGamingIncomeSummary>
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      <StatesWhereGamingConducted>MI</StatesWhereGamingConducted>
      <Licensed>1</Licensed>
      <ExplanationIfNo>license is pending approval.</ExplanationIfNo>
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      <PercentageOfGamingOthrFacility>1.00000</PercentageOfGamingOthrFacility>
      <NameOfGamingRecKeeperPerson>Tracey Dowker</NameOfGamingRecKeeperPerson>
      <AddressOfGamingRecKeeperUS>
        <AddressLine1>602 Michigan Ave</AddressLine1>
        <City>Holland</City>
        <State>MI</State>
        <ZIPCode>49423</ZIPCode>
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      <ContractWith3rdPartyForGamRev>0</ContractWith3rdPartyForGamRev>
      <GamingManagerNamePerson>Sue Ann Culp</GamingManagerNamePerson>
      <GamingManagerCompensation>0</GamingManagerCompensation>
      <GamingManagerServicesProvided>Executive Director</GamingManagerServicesProvided>
      <GamingManagerIsDirectorOfficer>X</GamingManagerIsDirectorOfficer>
      <CharitableDistribRequired>0</CharitableDistribRequired>
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    <IRS990ScheduleH documentId="RetDoc1041500001">
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      <WrittenPolicy>1</WrittenPolicy>
      <FPGReferenceFreeCare>1</FPGReferenceFreeCare>
      <Pcent200>X</Pcent200>
      <FPGReferenceDiscountedCare>1</FPGReferenceDiscountedCare>
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      <AnnualCommunityBenefitReport>1</AnnualCommunityBenefitReport>
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        <NetCommunityBenefitExpense>2530852</NetCommunityBenefitExpense>
        <PercentOfTotalExpense>0.01590</PercentOfTotalExpense>
      </CharityCareAtCost>
      <UnreimbursedMedicaid>
        <TotalCommunityBenefitExpense>22263019</TotalCommunityBenefitExpense>
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        <NetCommunityBenefitExpense>6874880</NetCommunityBenefitExpense>
        <PercentOfTotalExpense>0.04310</PercentOfTotalExpense>
      </UnreimbursedMedicaid>
      <TotalCharityCare>
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        <NetCommunityBenefitExpense>9405732</NetCommunityBenefitExpense>
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      </TotalCharityCare>
      <CommunityHealthServices>
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      <TotalCommunityBenefits>
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        <NetCommunityBuildingExpense>1095293</NetCommunityBuildingExpense>
        <PercentOfTotalExpense>0.00690</PercentOfTotalExpense>
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        <NumberOfActivitiesOrPrograms>9</NumberOfActivitiesOrPrograms>
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        <DirectOffsettingRevenue>237467</DirectOffsettingRevenue>
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        <PercentOfTotalExpense>0.00890</PercentOfTotalExpense>
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      <BadDebtExpenseAmount>4041068</BadDebtExpenseAmount>
      <AmountAttributableTo>52534</AmountAttributableTo>
      <AmountReimbursedByMedicare>21500283</AmountReimbursedByMedicare>
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      <MedicareSurplusOrShortfall>-3885020</MedicareSurplusOrShortfall>
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        <CostToChargeRatio>X</CostToChargeRatio>
      </CostingMethodologyUsed>
      <WrittenDebtCollectionPolicy>1</WrittenDebtCollectionPolicy>
      <ProvisionForCharityCare>0</ProvisionForCharityCare>
      <Form990ScheduleHPartV>
        <Name>
          <BusinessNameLine1>Holland Hopsital</BusinessNameLine1>
        </Name>
        <Address>
          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>Holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </Address>
        <LicensedHospital>X</LicensedHospital>
        <GeneralMedicalAndSurgical>X</GeneralMedicalAndSurgical>
      </Form990ScheduleHPartV>
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          <BusinessNameLine1>HH Services LLC</BusinessNameLine1>
        </Name>
        <Address>
          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </Address>
        <Other>Physician Office</Other>
      </Form990ScheduleHPartV>
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        <Name>
          <BusinessNameLine1>HH Services- Stageman LLC</BusinessNameLine1>
        </Name>
        <Address>
          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </Address>
        <Other>physician Office</Other>
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          <BusinessNameLine1>HH SErvices - Bates ET AL LLC</BusinessNameLine1>
        </Name>
        <Address>
          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </Address>
        <Other>physician Office</Other>
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          <BusinessNameLine1>HH Services - Holland Professional Servi</BusinessNameLine1>
        </Name>
        <Address>
          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </Address>
        <Other>physician Office</Other>
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          <BusinessNameLine1>HH Services - ORT LLC</BusinessNameLine1>
        </Name>
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          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
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        <Other>physician Office</Other>
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        <Name>
          <BusinessNameLine1>Holland Hospital Physician Clinic</BusinessNameLine1>
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          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
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        <Other>Not Active</Other>
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          <BusinessNameLine1>HH Services - South Washington</BusinessNameLine1>
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          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
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        <Other>physician Office</Other>
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          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </Address>
        <Other>physician Office</Other>
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          <BusinessNameLine1>HH Services South Washington</BusinessNameLine1>
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          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </Address>
        <Other>physician Office</Other>
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          <BusinessNameLine1>Lakeshore Health Partners- Family Medici</BusinessNameLine1>
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          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
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        <Other>physician Office</Other>
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        <Name>
          <BusinessNameLine1>Lakeshore Health Partners</BusinessNameLine1>
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        <Address>
          <AddressLine1>602 Michigan Ave</AddressLine1>
          <City>holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </Address>
        <Other>physician Office</Other>
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      <Form990ScheduleHPartVI>
        <BadDebtFootnote>Part III, Line 4: An allowance for uncollectible accounts is established on an aggregate basis by using historical write-off rate factors applied to unpaid accounts based on aging. Loss rate factors are based on historical loss experience and adjusted for economic conditions and other trends affecting the Hospital's ability to collect outstanding amounts. Uncollectible amounts are written off against the allowance for doubtful accounts in the period they are determined to be uncollectible. To determine bad debts at cost, the cost to charge ratios from the 3/31/10 Medicare cost report for IP, OP and Psych were applied to each of the respectable bad debt totals from worksheet E from the cost report and an average cost to charge ratio derived. This ratio then was applied to the total bad debt (not including charity care) expense from the trial balance to come up with an estimation of bad debts at cost.The Hospital maintains records to identify and monitor the level of care it provides. These records include the amount of charges forgone for services and supplies furnished under its charity care policy. The Hospital also maintains records of the cost of services provided to Medicare and Medicaid recipients not covered by governmental reimbursement as well as the cost of other programs designed to promote community health not covered by insurance. Traditional charity care covers services provided to people who cannot afford to pay. Charity care is determined based on established policies, using patient income and assets to determine payment abilityThere is a potential that some accounts written off as bad debts could have been eligible under the organizations charity care policy, however due to inadequate applications filed or never returned get written off to bad debts instead. The estimated amount of the organization's bad debt expense (at cost) attributable to patients eligible under the organization's charity care policy was approximately $46,000. This was derived by reviewing notes on files for potential charity care cases for the last quarter of the year and applying that average to the total population and then applying the costing methodology discussed above.</BadDebtFootnote>
        <ShortfallAsCommunityBenefit>Part III, Line 8: Costing methodology is a cost to charge ratio as defined by the IRS 990 instructions. The shortfall should be considered a community benefit due to its representation of cost of a portion of services provided to the community without payment.</ShortfallAsCommunityBenefit>
        <DebtCollectionPolicy>Part III, Line 9b: Any balance deemed patient responsibility (after insurance payment/determination and after any applicable discount or charity) if not paid will receive a minimum of 2 statements. At day 60 an early out agency works the account for Holland Hospital a minimum of 90 days. The account will be held on Holland Hospital's "books" until it has aged to a minimum of 180 days from discharge. At this time the account is eligible and will be reviewed to be sent to a collection agency.</DebtCollectionPolicy>
        <GeneralExplanation>Holland Hospital is committed to serving the health care needs of every person in our community. We do so willingly. It is our responsibility to help individuals prevent illness, recovery from injury, and improve their overall health status. We take that responsibility very seriously. The community benefits we provide through direct medical care, outreach and education are an investment in our community's well being. It's an investment toward a better future for those we serve.</GeneralExplanation>
        <NeedsAssessment>Part VI, Line 2: In collaboration with the Ottawa County Health Department and the United Way, a community assissment is performed. The United Way publishes their assessment every 5 years (last one in 2008) and the Ottawa County Health Department publishes their youth assessment every 2 years (last one in 2008) and every 3 years for adults (last one in 2007)</NeedsAssessment>
        <PatientEducationAssistance>Part VI, Line 3: Our Financial Assistance program is located on our website. Also, our collectors, customer service employees, or any other Holland Hospital employee with whom the patient might have contact, our Medicaid eligibility vendor, and the early out agencies inform patients of the policy. All of the above mentioned sources can and do mail financial assistance applications to the patients for convenience.</PatientEducationAssistance>
        <CommunityInformation>Part VI, Line 4: Holland Hospital's Primary Service Area (PSA) consists of eight zip codes that fall within Allegan and Ottawa Counties of Michigan. We also serve residents in our Extended Service Area (ESA) which together with the PSA comprises a total population of nearly 250,000. Our PSA population comprises all age groups, skewing older in the City of Holland and younger in the growing areas outside the city. The area also encompasses a wide range of racial and ethnic backgrounds. The City of Holland differs substantially from the surrounding counties in racial/ethnic composition. Over 22% of Holland City residents are Hispanic/Latino, contrasted with about 6-8% in Ottawa and Allegan Counties. Holland also shows a greater percentage of Asian residents (3.6%) than other areas of the state and proportionally more Black/African Americans (2.5%) live in Holland than in adjacent counties.</CommunityInformation>
        <CommunityBuildingActivities>Part VI, Line 5: The health of our community is simply a reflection of the health of each individual within our community. To achieve the highest level of personal health, individuals must have access to the appropriate tools, best health information and local medical expertise. Our outreach to the community provides access to these vital components. From health screenings and community presentations to charitable care for the uninsured/underinsured, our goal is to help each individual reach his/her maximum personal health potential and, in the process, create an overall healthier community.</CommunityBuildingActivities>
        <OtherInformation>Part VI, Line 6: Holland Hospital, along with other Michigan hospitals, provides direct patient care to those who cannot afford it. Though the amount of charitable care and bad debt has risen steeply in the past few years due primarily to a struggling economy, Holland Hospital has remained true to its mission to continually improve the health of the communities we serve in the spirit of hope, compassion, respect and dignity. Around-the-clock medical care is available to all in need. Additional urgent care services have been added and community health outreach efforts have been increased. All of this has been done to enhance the well being of the community, with little or no cost to those we serve.</OtherInformation>
        <ReportsFiledWithStates>MI</ReportsFiledWithStates>
      </Form990ScheduleHPartVI>
    </IRS990ScheduleH>
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        <RecipientNameBusiness>
          <BusinessNameLine1>community health center</BusinessNameLine1>
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        <AddressUS>
          <AddressLine1>336 river avenue</AddressLine1>
          <City>Holland</City>
          <State>MI</State>
          <ZIPCode>49423</ZIPCode>
        </AddressUS>
        <IRCSection>501(c)(3)</IRCSection>
        <AmountOfCashGrant>538055</AmountOfCashGrant>
        <PurposeOfGrant>Program Support</PurposeOfGrant>
      </RecipientTable>
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          <BusinessNameLine1>Dale M Sowders</BusinessNameLine1>
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          <BusinessNameLine1>Barbara DePree MD</BusinessNameLine1>
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          <BusinessNameLine1>Charles D Kohlruss</BusinessNameLine1>
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      </Form990ScheduleJPartII>
      <Form990ScheduleJPartIII>
        <ReturnReference>Part I, Line 1a</ReturnReference>
        <Explanation>The CEO, Dale Sowders, receives a country club membership which has an annual cost of $3,000.</Explanation>
      </Form990ScheduleJPartIII>
    </IRS990ScheduleJ>
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        </IssuerName>
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        <DateIssued>2004-08-01</DateIssued>
        <IssuePrice>21744478</IssuePrice>
        <DescriptionOfPurpose>Construction of new building</DescriptionOfPurpose>
        <Defeased>0</Defeased>
        <OnBehalfOfIssuer>0</OnBehalfOfIssuer>
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        <DescriptionOfPurpose>Construction of new building</DescriptionOfPurpose>
        <Defeased>0</Defeased>
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        <TotalProceeds>22000000</TotalProceeds>
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        <CapitalExpenditures>22000000</CapitalExpenditures>
        <YearOfSubstCompletion>2008</YearOfSubstCompletion>
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        <AdvanceRefunding>0</AdvanceRefunding>
        <FinalAllocationMade>1</FinalAllocationMade>
        <AdequateBooksAndRecdsMaintaind>1</AdequateBooksAndRecdsMaintaind>
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        <YearOfSubstCompletion>2008</YearOfSubstCompletion>
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      <GeneralExplanation>
        <Identifier>Form 990, Part VI, Section A, line 2</Identifier>
        <Explanation>barbara depree, a board member and employee, is chuck depree's sister-in-law. Chuck Depree is also a board member.</Explanation>
      </GeneralExplanation>
      <GeneralExplanation>
        <Identifier>Form 990, Part VI, Section B, line 11</Identifier>
        <Explanation>A Copy of the 990 is provided to CFO prior to CEO signing</Explanation>
      </GeneralExplanation>
      <GeneralExplanation>
        <Identifier>Form 990, Part VI, Section B, line 12c</Identifier>
        <Explanation>The Board of Directors, Administration, Directors and Managers fill out a Conflict of Interest Disclosure form annually. These forms are collected by the Compliance Office, investigated and then maintained by Human Resources.</Explanation>
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      <GeneralExplanation>
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        <Explanation>The organization uses consultants to review the executive compensation program annually and recommend updates/increases as dictated by the market. Compensation is set for each position with established targets using national and regional data for similar hospitals. This policy is board approved and has an ongoing review process which is comparative and data-driven.</Explanation>
      </GeneralExplanation>
      <GeneralExplanation>
        <Identifier>Form 990, Part VI, Section C, line 19</Identifier>
        <Explanation>Documents are available upon request</Explanation>
      </GeneralExplanation>
      <GeneralExplanation>
        <Explanation>The process has not changed from the prior year.</Explanation>
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      <OtherTransferFromOtherOrg>0</OtherTransferFromOtherOrg>
      <TransactionsRelatedOrgsTable>
        <NameOfOtherOrganization>
          <BusinessNameLine1>Lakeshore Health Partners</BusinessNameLine1>
        </NameOfOtherOrganization>
        <TransactionType>L</TransactionType>
        <AmountInvolved>875000</AmountInvolved>
      </TransactionsRelatedOrgsTable>
      <TransactionsRelatedOrgsTable>
        <NameOfOtherOrganization>
          <BusinessNameLine1>Lakeside Services</BusinessNameLine1>
        </NameOfOtherOrganization>
        <TransactionType>G</TransactionType>
        <AmountInvolved>150854</AmountInvolved>
      </TransactionsRelatedOrgsTable>
      <TransactionsRelatedOrgsTable>
        <NameOfOtherOrganization>
          <BusinessNameLine1>Holland Community Health Center</BusinessNameLine1>
        </NameOfOtherOrganization>
        <TransactionType>I</TransactionType>
        <AmountInvolved>64744</AmountInvolved>
      </TransactionsRelatedOrgsTable>
    </IRS990ScheduleR>
  </ReturnData>
</Return>