Nazareth Family Foundation was established as a nonprofit corporation organized under the laws of Pennsylvania. The corporation was originally incorporated as Mercy Hospital in 1909. Mercy Hospital had been a ministry sponsored by the Sisters of the Holy Family of Nazareth and had as its intended purpose to address the health, education, and welfare needs of people in Altoona and the surrounding counties in Central Pennsylvania.  The work was recognized as a ministry of the Catholic Church and served the people in and around Altoona for 87 years. When the Sisters entered into a co-sponsorship relationship with the Bon Secours Sisters, the proceeds of the transfer of Mercy Hospital assets to the Bon Secours Health System were used to establish Nazareth Family Foundation.