2019-05-10T15:35:20-05:00 2018-12-31 620713250 KRAFTCPAS PLLC 555 GREAT CIRCLE ROAD NASHVILLE TN 37228 990 2018-01-01 621823596 SOUTHEAST COMMUNITY CAPITAL CORPORATION D/B/A PATHWAY LENDING SOUT 6154257171 201 VENTURE CIRCLE NASHVILLE TN 37228 CLINT GWIN PRESIDENT 6152546113 2019-05-10 1 FRANCES E LEAHY P00713593 6152427351 2019-05-10 65.198.206.98 2019-05-10 11:24:56 CD P 1859125A1FFEB578F7BB16A7BCB2D4782BFF1E26 572DC34321C8E55952FE6A1E0B7461300318CAEB 2018 2019-02-21 02:37:17Z CLINT GWIN 201 VENTURE CIRCLE NASHVILLE TN 37228 12984889 0 X WWW.PATHWAYLENDING.ORG X 1999 TN TO PROVIDE LENDING AND EDUCATIONAL SERVICES TO UNDERSERVED SMALL BUSINESSES. 9 6 43 28 0 0 9866564 6037623 5404133 6529596 163810 417670 0 0 15434507 12984889 0 0 0 0 3423434 4110088 0 0 1198 5436801 9573185 8860235 13683273 6574272 -698384 137085479 155604838 107845470 127063213 29240009 28541625 X TO PROVIDE LENDING SOLUTIONS AND EDUCATIONAL SERVICES THAT SUPPORTS THE DEVELOPMENT, GROWTH, AND PRESERVATION OF UNDERSERVED SMALL BUSINESSES, AFFORDABLE HOUSING, AND SUSTAINABLE COMMUNITIES. 0 0 11656531 6900585 LENDING PROGRAM: AS A COMMUNITY DEVELOPMENT FINANCIAL INSTITUTION (CDFI) CERTIFIED BY THE U.S. DEPARTMENT OF THE TREASURY, SOUTHEAST COMMUNITY CAPITAL DBA PATHWAY LENDING PROVIDES SMALL BUSINESS LOANS TO QUALIFIED SMALL AND DISADVANTAGED BUSINESSES THROUGH VARIOUS GOVERNMENT AND NON-PROFIT LENDING PROGRAMS, INCLUDING: U.S. SMALL BUSINESS ADMINISTRATION (SBA), U.S. TREASURY DEPARTMENT CERTIFIED COMMUNITY DEVELOPMENT FINANCIAL INSTITUTION (CDFI), THE APPALACHIAN REGIONAL COMMISSION (ARC), THE TENNESSEE RURAL OPPORTUNITY FUND, THE TENNESSEE ENERGY EFFICIENCY LOAN PROGRAM, THE TENNESSEE SMALL BUSINESS JOB OPPORTUNITY FUND AND THE ALABAMA SMALL BUSINESS JOB OPPORTUNITY FUND, ETC.WE FOCUS OUR ACTIVITIES ON UNDERSERVED TARGET MARKETS THAT INCLUDE BUSINESSES LOCATED IN QUALIFIED INVESTMENT AREAS (AS DEFINED BY LOW-INCOME CENSUS TRACTS, POVERTY RATES, AND UNEMPLOYMENT STATISTICS), AFRICAN-AMERICAN OWNED BUSINESSES, AND LOW-INCOME OWNED BUSINESSES. OUR SERVICE AREA INCLUDES TENNESSEE AND ALABAMA, AS WELL AS PORTIONS OF MISSISSIPPI, ARKANSAS, AND KENTUCKY.IN 2018, SOUTHEAST COMMUNITY CAPITAL CORPORATION ORIGINATED $44.7MM IN NEW LOANS, OF WHICH 61.7% LENDING ACTIVITY WAS IN QUALIFIED CDFI TARGET MARKETS. 4,090 JOBS IMPACTED AND 361 JOBS CREATED. SOUTHEAST COMMUNITY CAPITAL CORPORATION MADE 121 LOANS AND LINES OF CREDIT TOTALING MORE THAN $37.8MM TO SUPPORT THE CREATION, PRESERVATION, AND GROWTH OF SMALL BUSINESSES, AND 29 LOANS TOTALING APPROXIMATELY $6.9MM TO SUPPORT THE IMPLEMENTATION OF ENERGY EFFICIENCY AND RENEWABLE ENERGY PROJECTS AT BUSINESSES ACROSS TENNESSEE. TOTAL ANNUAL ENERGY SAVINGS FROM THE ENERGY LOANS WERE $1,403,107 WITH 12,857,062 KWH SAVED. 1454925 46681 EDUCATIONAL PROGRAM: SOUTHEAST COMMUNITY CAPITAL CORPORATION PROVIDES BUSINESS EDUCATION AND TECHNICAL ASSISTANCE TO SMALL AND DISADVANTAGED BUSINESSES THROUGH VARIOUS GOVERNMENT AND NON-PROFIT SUPPORT PROGRAMS, INCLUDING: THE U.S. SMALL BUSINESS ADMINISTRATION, THE METROPOLITAN DEVELOPMENT HOUSING AGENCY AND VARIOUS FOUNDATIONS. SOUTHEAST COMMUNITY CAPITAL CORPORATION PROVIDES THIS THROUGH VARIOUS INTERNAL PROGRAMS, SUCH AS THE PATHWAY LENDING BUSINESS ADVISORY SERVICES TEAM, WOMEN'S BUSINESS CENTER, AND VETERANS BUSINESS OUTREACH CENTER. THE ASSISTANCE INCLUDES ACCESS TO FINANCIAL SERVICES, ACCESS TO CAPITAL NEEDS AND INCLUDES CLASSROOM EDUCATION, 1-ON-1 ASSISTANCE AND PEER LEARNING.IN 2018 SOUTHEAST COMMUNITY CAPITAL CORPORATION PROVIDED 14,413 HOURS OF EDUCATION; 8,329 WERE IN CLASSROOM/EVENTS SETTINGS, 5,750 WERE ONE-ON-ONE COUNSELING SESSIONS, AND 334 WERE IN GROUP COACHING SESSIONS. THERE WERE 1,287 UNIQUE CLIENTS SERVED, 62% WERE REPRESENTATIVE OF PATHWAY LENDING'S CDFI TARGET MARKETS, WITH 58% BEING FEMALE, 33% BEING AFRICAN AMERICAN, AND 44% WERE IN CDFI QUALIFIED INVESTMENT AREAS (AS DEFINED BY LOW-INCOME CENSUS TRACTS). THERE WERE 216 CLASSES, NETWORKING EVENTS, AND COHORT-BASED LEARNING SESSIONS CONDUCTED THAT FOCUSED ON ENTREPRENEURIAL EDUCATION IN AREAS SUCH AS CASH FLOW MANAGEMENT, FINANCIAL PREPARATION, REVENUE AND EXPENSE PROJECTIONS, ACCOUNTING SYSTEMS, AND MANAGEMENT. 13111456 1 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 0 0 0 1 0 0 0 0 0 0 0 0 0 1 64 0 1 43 1 0 0 0 0 0 0 0 0 0 0 0 0 X 9 6 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 0 1 1 0 TN X X BARBARA HARRIS 6154257171 201 VENTURE CIRCLE NASHVILLE TN 37228 X HUGH QUEENER DIRECTOR 1.50 X 0 0 0 TOM HUNTER CHAIRMAN 1.50 X X 0 0 0 JON DAVIES VICE CHAIRMAN 1.50 X X 0 0 0 DAVE BEREZOV DIRECTOR 1.50 X 0 0 0 CINDY HERRON DIRECTOR 1.50 X 0 0 0 ANDRE GIST DIRECTOR 1.50 X 0 0 0 IVANETTA DAVIS-SAMUELS DIRECTOR 1.50 X 0 0 0 KELLY MAGILL DIRECTOR 1.50 X 0 0 0 HERB BYRD III DIRECTOR 1.50 X 0 0 0 CLINT GWIN PRESIDENT 60.00 X 369948 0 12830 HANK HELTON SENIOR VICE PRESIDENT 60.00 X 246009 0 18511 AMY BUNTON SENIOR VICE PRESIDENT 60.00 X 241211 0 15009 BARBARA HARRIS CFO 60.00 X 238929 0 15066 JOE AGNETTA CHIEF CREDIT OFFICER 50.00 X 178985 0 12582 DANIEL WILSON SVP OF LENDING OPERATIONS 50.00 X 133617 0 7831 ROBERT LANCASTER DIRECTOR OF ADVISORY SERVI 50.00 X 115942 0 5148 PAUL HOFFMAN DIRECTOR OF POLICY AND IMP 50.00 X 119064 0 10070 LESLIE HAYES VP OF EDUCATION 50.00 X 102201 0 14300 BRIAN DENNEY REGIONAL DIRECTOR ALABAMA 50.00 X 106333 0 14870 1852239 0 126217 11 0 1 0 ADVANCED NETWORK SOLUTIONS PO BOX 40686 NASHVILLE TN 37204 TECHNOLOGY SUPPORT AND EQUIPMENT 133069 1 3155254 2882369 6037623 LOAN INTEREST 900099 5934474 5934474 FINANCING FEES AND CHARGES 900099 506655 506655 FEE INCOME 900099 88467 88467 6529596 417670 417670 12984889 6947266 0 0 1349082 956256 392736 90 2315621 2264905 50413 303 56656 56394 254 8 155357 140878 14461 18 233372 205784 27563 25 116739 116677 62 40079 36071 4008 417675 401060 16615 68889 68886 3 218639 208718 9921 122267 111627 10640 226775 214633 12142 161172 153607 6811 754 1769902 1768880 1022 79262 71583 7679 126555 113911 12644 LOAN LOSS PROVISION REC 5980774 5980774 FORECLOSURE CARRYING CO 138682 138682 MISCELLANEOUS 66992 65345 1647 DUES, LICENSES & PERMIT 37378 35520 1858 1405 1265 140 13683273 13111456 570619 1198 804996 590100 46114124 53890136 2639553 2302645 453049 557689 77827 44871 84862885 95283671 113152 175724 2145254 628215 1535357 1517039 164300 484536 1078663 137085479 155604838 1718494 1282084 5000 5000 12847979 12435091 66979354 86030577 26294643 27310461 107845470 127063213 X 28595723 26099969 644286 2441656 29240009 28541625 137085479 155604838 -698384 0 X X 0 1 X 1 1 1 X 4881676 3225797 1439642 9866564 6037623 25451302 4881676 3225797 1439642 9866564 6037623 25451302 2422922 23028380 25451302 24041948 0.90480 0.93630 X 1908824 486092 1422732 236430 142123 94307 1517039 LINES OF CREDIT 27000000 NET UNAMORTIZED LOAN FEES 310461 27310461 X 13016173 31284 31284 12984889 0 12984889 13714557 31284 31284 13683273 0 13683273 PART X, LINE 2: MANAGEMENT PERFORMS AN EVALUATION OF ALL INCOME TAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN THE COURSE OF PREPARING THE CORPORATION'S INCOME TAX RETURNS TO DETERMINE WHETHER THE INCOME TAX POSITIONS MEET A "MORE LIKELY THAN NOT" STANDARD OF BEING SUSTAINED UNDER EXAMINATION BY THE APPLICABLE TAXING AUTHORITIES. MANAGEMENT HAS PERFORMED ITS EVALUATION OF ALL INCOME TAX POSITIONS TAKEN ON ALL OPEN INCOME TAX RETURNS AND HAS DETERMINED THAT THERE WERE NO POSITIONS TAKEN THAT DO NOT MEET THE "MORE LIKELY THAN NOT" STANDARD. ACCORDINGLY, THERE IS NO PROVISION FOR INCOME TAXES, PENALTIES OR INTEREST RECEIVABLE OR PAYABLE RELATING TO UNCERTAIN INCOME TAX POSITIONS IN THE ACCOMPANYING FINANCIAL STATEMENTS. X X X X 0 0 0 0 0 0 0 0 0 CLINT GWIN PRESIDENT 278990 0 90958 0 0 0 11000 0 1830 0 382778 0 0 0 HANK HELTON SENIOR VICE PRESIDENT 199550 0 46459 0 0 0 8026 0 10485 0 264520 0 0 0 AMY BUNTON SENIOR VICE PRESIDENT 194752 0 46459 0 0 0 3651 0 11358 0 256220 0 0 0 BARBARA HARRIS CFO 195786 0 43143 0 0 0 9498 0 5568 0 253995 0 0 0 JOE AGNETTA CHIEF CREDIT OFFICER 163080 0 15905 0 0 0 7126 0 5456 0 191567 0 0 0 ANDRE GIST DIRECTOR OF THE ORGANIZATION LOAN TO MIG, A COMPANY MAJORITY OWNED BY ANDRE GIST. X 154790 44871 0 1 1 44871 HUGH QUEENER DIRECTOR OF THE ORGANIZATION 331652 INTEREST PAID ON NOTE PAYABLE: MR. QUEENER IS THE EXECUTIVE VICE PRESIDENT AND CHIEF ADMINISTRATIVE OFFICER FOR PINNACLE BANK AND WAS INVOLVED WITH THE LOAN ON THE BUILDING AND IN THE NOTES PAYABLE IN TNROF, KCTJF, NOF AND TNSBJOF. THE TRANSACTIONS DURING THE YEAR INVOLVED INTEREST PAYMENTS MADE TO THE BANK UNDER THE NORMAL COURSE OF BUSINESS; NO PERSONAL GAIN OR PAYMENTS WERE MADE TO MR. QUEENER. 0 HUGH QUEENER DIRECTOR OF THE ORGANIZATION 187110 BANK ACCOUNTS HELD AT BANK: MR. QUEENER IS THE EXECUTIVE VICE PRESIDENT AND CHIEF ADMINISTRATIVE OFFICER FOR PINNACLE BANK WHERE SOUTHEAST COMMUNITY CAPITAL MAINTAINS INTEREST BEARING ACCOUNTS AND RECEIVED INTEREST IN THE NORMAL COURSE OF DOING BUSINESS. 0 HUGH QUEENER DIRECTOR OF THE ORGANIZATION 122261 PRINCIPAL AND INTEREST PAYMENT ON THE MORTGAGE ON THE BUILDING: MR. QUEENER IS THE EXECUTIVE VICE PRESIDENT AND CHIEF ADMINISTRATIVE OFFICER FOR PINNACLE BANK WHERE SOUTHEAST COMMUNITY CAPITAL MADE PRINCIPAL AND INTEREST PAYMENTS TO THE BANK IN THE NORMAL COURSE OF DOING BUSINESS. 0 JON DAVIES DIRECTOR OF THE ORGANIZATION 310500 INTEREST PAID ON LOAN: MR. DAVIES IS THE SENIOR VICE PRESIDENT/COMPLIANCE EXECUTIVE, COMMUNITY AFFAIRS AND CONTRIBUTIONS FOR REGIONS FINANCIAL CORPORATION AND WAS INVOLVED WITH THE LOAN RECEIVED BY SOUTHEAST COMMUNITY CAPITAL. THE TRANSACTIONS DURING THE YEAR INVOLVED INTEREST PAYMENTS MADE TO THE BANK UNDER THE NORMAL COURSE OF BUSINESS; NO PERSONAL GAIN OR PAYMENTS WERE MADE TO MR. DAVIES. 0 HUGH QUEENER DIRECTOR OF THE ORGANIZATION 1000000 PRINCIPAL FORGIVEN ON NOTE PAYABLE: MR. QUEENER IS THE EXECUTIVE VICE PRESIDENT AND CHIEF ADMINISTRATIVE OFFICER FOR PINNACLE BANK WHERE SOUTHEAST COMMUNITY CAPITAL HAD TN-ROF NOTES PAYABLE FORGIVEN DUE TO THE 10 YEAR ANNIVERSARY OF THE TN-ROF LOANS WHICH OCCURRED UNDER THE NORMAL COURSE OF BUSINESS. 0 0 FORM 990, PART VI, SECTION B, LINE 11B THE PRESIDENT AND CFO REVIEW THE 990 BEFORE IT IS FILED WITH THE IRS. THEY COMPARE EACH LINE ITEM TO THE PRIOR YEAR FORM 990 AS WELL AS COMPARABLE FORM 990S FOR OTHER NOT-FOR-PROFIT ENTITIES. THE CURRENT YEAR FORM IS ALSO RECONCILED TO THE CURRENT YEAR FINANCIAL STATEMENTS. THE FORM 990 IS PRESENTED TO ALL BOARD MEMBERS BEFORE IT IS FILED FOR THEIR REVIEW. FORM 990, PART VI, SECTION B, LINE 12C ALL NEW EMPLOYEES ARE GIVEN AND REQUIRED TO SIGN AN EMPLOYEE HANDBOOK UPON HIRING. IT ADDRESSES A CODE OF CONDUCT INCLUDING A CONFLICT OF INTEREST STATEMENT AND A WHISTLEBLOWER POLICY. EACH EMPLOYEE IS ALSO REQUIRED TO SIGN ANNUALLY A STATEMENT THAT THEY HAVE NO CONFLICTS OF INTEREST. FORM 990, PART VI, SECTION B, LINE 15 SCC HAS A COMPENSATION COMMITTEE THAT MEETS AS NEEDED TO SET THE SALARIES OF THE PRESIDENT, SENIOR VICE PRESIDENTS, AND THE CHIEF FINANCIAL OFFICER. THE PRESIDENT WAS GIVEN DISCRETIONARY POWERS TO SET THE SALARIES OF ALL OTHER PERSONNEL AND TO GIVE THE BOARD AN OVERVIEW OF THOSE DECISIONS. THE PRESIDENT WAS ALSO GIVEN THE AUTHORITY TO INCREASE SALARIES WITHIN SET PARAMETERS FOR THE SVP AND CFO. ALL SALARIES ARE DISCLOSED TO THE COMMITTEE. A COMPENSATION POLICY WAS PUT INTO EFFECT ON 01/16/2008 IN ORDER TO COMPLY WITH INTERNAL REVENUE CODE SECTION 4958. WHEN THE SALARIES ARE PUT IN PLACE FOR ALL EMPLOYEES, A COMPARISON WITH OTHER SIMILAR ORGANIZATONS IS MADE AND REVIEWED BY THE COMMITTEE. THE SALARIES ARE COMPILED FROM TAX RETURNS OF OTHER 990 ORGANIZATIONS THAT ARE PUBLISHED WITH GUIDESTAR. SALARY INQUIRIES OF SIMILAR JOBS ARE REVIEWED ON CAREERBUILDER AND SALARY.COM AND OTHER FORMAL SALARY SURVEYS. FORM 990, PART VI, SECTION C, LINE 19 SCC MAINTAINS A WEBSITE AT WWW.PATHWAYLENDING.ORG WHERE THE PUBLIC IS GIVEN A CONTACT NAME FOR FURTHER INFORMATION REGARDING AVAILABILITY OF DISCLOSURES. THE 990 IS ALSO AVAILABLE ON THE GUIDESTAR WEBSITE. FORM 990, PART VII, SECTION B AS PART OF THEIR LOAN PROGRAM, PATHWAY SOMETIMES REMITS PAYMENTS TO CERTAIN THIRD PARTY CREDITORS ON BEHALF OF THE LOAN CLIENT AS PART OF THE SERVICING OF THE LOAN OR AT THE TIME OF THE LOAN CLOSING. THESE CREDITORS THEN RECEIVE A FORM 1099 MISC FROM PATHWAY FOR SERVICES RENDERED TO THE LOAN CLIENT, NOT FOR SERVICES RENDERED TO PATHWAY. THUS, PATHWAY DOES NOT LIST THOSE CREDITORS AS PAYMENTS FOR SERVICES ON FORM 990, PART VII, SECTION B.