Definitions.

(1)

“Cash contributions” means contributions made by the organization to health care organizations and other community groups restricted, in writing, to one or more of the community benefit activities. “Cash contributions” does not mean any payments that the organization makes in exchange for a service, facility, or product, or that the organization makes primarily to obtain an economic or physical benefit.

(2)

“Charity Care” as defined in Health and Safety Code section 127345(a).

(3)

“Community benefit operations” means activities associated with conducting community health needs assessments, community benefit program administration, and the organization's activities associated with fundraising or grant writing for community benefit programs. “Community benefit operations” does not mean the activities or programs provided primarily for marketing purposes or if they are more beneficial to the organization than to the community.

(4)

“Community health improvement services” means activities or programs subsidized by the health care organization and carried out or supported for the express purpose of improving community health. Such services don't generate inpatient or outpatient revenue, although there may be a nominal patient fee or sliding scale fee for these services.

(5)

“Health Professions Education” means educational programs that result in a degree, a certificate, or training necessary to be licensed to practice as a health professional, as required by state law, or continuing education necessary to retain state license or certification by a board in the individual's health profession specialty. It doesn't include education or training programs available exclusively to the organization's employees and medical staff or scholarships provided to those individuals. It does include education programs if the primary purpose of such programs is to educate health professionals in the broader community. Costs for medical residents and interns can be included, even if they are considered “employees” for purposes of Form W-2, Wage and Tax Statement.

(6)

“In-kind contributions” means contributions made by the organization to health care organizations and other community groups restricted, in writing, to one or more of the community benefit activities. These include the cost of staff hours donated by the organization to the community while on the organization's payroll, indirect cost of space donated to tax-exempt community groups (such as for meetings), and the financial value (generally measured at cost) of donated food, equipment, and supplies. “In-kind contributions” does not include payments that the organization makes in exchange for a service, facility, or product, or that the organization makes primarily to obtain an economic or physical benefit.

(7)

“Means-tested government program” means a government health program for which eligibility depends on the recipient's income or asset level.

(8)

“Other Community Benefits” means any activity, program and/or contribution that meets the definition of Community Benefit and is not already reported under Charity Care, Medi-Cal, Medicare, Other Means-Tested, Community Health Improvement, Community Benefit Operations, Health Professions Education, Subsidized Health Services, Research, Cash, and In-kind contributions.

(9)

“Research” means any study or investigation the goal of which is to generate increased generalizable knowledge made available to the public. “Research” does not mean direct or indirect costs of research funded by an individual or an organization that isn't a tax-exempt or government entity.

(10)

“Subsidized Health Services” means clinical services provided despite a financial loss to the organization. The financial loss is measured after removing losses associated with bad debt, financial assistance, Medi-Cal, and other means-tested government programs. Losses attributable to these items are not included when determining the value of subsidized health services.