2018-11-15T08:41:22-06:00 2017-12-31 410746749 CLIFTONLARSONALLEN LLP 220 SOUTH SIXTH STREET SUITE 300 MINNEAPOLIS MN 55402 990 2017-01-01 300577845 WESLEYLIFE WESL 5152716789 5508 NORTHWEST 88TH STREET JOHNSTON IA 50131 NICK HARSHFIELD CFO 5152716789 2018-11-14 1 KURT BENNION P01469618 6123764500 2018-11-14 67.137.57.251 2018-11-14 12:45:51 PS P 2445D9F23906184C4D8AC5CFB2D61DB567B3B979 9C3E08EBF53FA5FA3C7B2B5BD0B3E335DF999A73 2017 2019-02-21 02:37:17Z ROB KRETZINGER 5508 NORTHWEST 88TH STREET JOHNSTON IA 50131 7942351 0 X WWW.WESLEYLIFE.ORG X 2009 IA SUPPORT THE INDEPENDENCE, HEALTH AND WELL-BEING OF OLDER ADULTS, WHEREVER THEY CALL HOME. 10 10 2176 1193 0 0 755 1929 6386379 7620372 77035 320050 0 0 6464169 7942351 1553645 2467505 0 0 4631287 5141995 0 0 331450 1634751 2036567 7819683 9646067 -1355514 -1703716 8132142 8397392 4596092 6389277 3536050 2008115 X WESLEYLIFE IS THE SUPPORTING ORGANIZATION FOR ITS AFFILIATES: WESLEY RETIREMENT SERVICES AND WESLEY COMMUNITY SERVICES (BOTH 501(C)(3) ORGANIZATIONS), AS WELL AS WESLEY DEVELOPMENT SERVICES, AN LLC DERIVING ITS EXEMPT STATUS FROM WESLEYLIFE. THE MISSION OF WESLEYLIFE IS TO ENHANCE THE INDEPENDENCE, HEALTH AND WELL BEING OF OLDER ADULTS. IT DOES THIS BY PROVIDING SUPPORTING SERVICES SUCH AS ACCOUNTING, FINANCE, HUMAN RESOURCES, MARKETING, INFORMATION TECHNOLOGY, AND PHILANTHROPY THROUGHOUT ITS AFFILIATES. 0 0 2467505 2467505 7620372 WESLEYLIFE WAS ESTABLISHED IN DECEMBER 2010 AS A SUPPORTING ORGANIZATION FOR WESLEY RETIREMENT SERVICES, INC. (WRS) AND WESLEY COMMUNITY SERVICES, INC. (WCS). WRS WAS ESTABLISHED IN 1947 AS A FAITH-BASED, NON-PROFIT ORGANIZATION AND HAS SINCE DEDICATED ITSELF TO PROVIDING HOUSING, HEALTH CARE, AND SUPPORT SERVICES EXCLUSIVELY TO OLDER ADULTS IN WAYS THAT PROMOTE INDEPENDENCE AND A HEALTHY, ACTIVE LIFESTYLE FOR EVERYONE WE SERVE. WCS WAS ESTABLISHED IN 2005 WITH THE FOCUS OF PROVIDING SERVICES TO OLDER PERSONS AND THE INDIGENT REGARDLESS OF FINANCIAL MEANS THROUGH IN-HOME SUPPORT, ASSISTANCE, MEALS, AND COMPANIONSHIP. WESLEY DEVELOPMENT SERVICES WAS CREATED IN FEBRUARY 2011. ITS ROLE IS TO PROVIDE MARKET RESEARCH, AND SERVICES SUCH AS PROJECT DESIGN, MANAGEMENT, MONITORING, AND MARKETING RELATEDTO NEW COMMUNITIES FOR WESLEYLIFE AND ITS AFFILIATES. OUR MISSION IS GUIDED BY CHRISTIAN COMPASSION, TO SUPPORT THE INDEPENDENCE, HEALTH, AND WELL-BEING OF OLDER ADULTS WHEREVER THEY CALL HOME. AS NEEDS AND TRENDS IN RETIREMENT LIVING CONTINUE TO CHANGE, WE HAVE RESPONDED WITH AN ARRAY OF SERVICES THAT PROMOTE AND DELIVER FRIENDSHIP AND FELLOWSHIP, A SLATE OF MEANINGFUL ACTIVITIES, LIFELONG LEARNING, AND COMPREHENSIVE HEALTH AND WELL-BEING PROGRAMS TO EXCEED THE EXPECTATIONS OF RESIDENTS AND THE COMMUNITY AT LARGE THAT HELP OLDER ADULTS LIVE BETTER LONGER.OUR CORE MISSION SUPPORTS THE INDEPENDENCE, HEALTH AND WELLNESS OF OLDER ADULTS WHEREVER THEY CALL HOME. WESLEYLIFE CURRENTLY OWNS AND OPERATES SEVEN RETIREMENT COMMUNITIES IN IOWA THROUGH WESLEY RETIREMENT SERVICES, INC. (WRS) THAT OFFER A FULL CONTINUUM OF SERVICES. THOSE RETIREMENT COMMUNITIES ARE: WESLEY ACRES IN DES MOINES; HALCYON HOUSE IN WASHINGTON; HERITAGE HOUSE IN ATLANTIC; THE VILLAGE IN INDIANOLA; PARK CENTRE IN NEWTON; EDGEWATER, A WESLEY ACTIVE LIFE COMMUNITY, IN WEST DES MOINES; AND HEARTHSTONE, A MINISTRY OF WESLEYLIFE, IN PELLA.WESLEYLIFE ALSO OPERATES HOME AND COMMUNITY BASED SERVICES THROUGH WESLEY COMMUNITY SERVICES, INC. (WCS) THAT AUGMENT OUR TOTAL SERVICE OFFERING. OUR HOME AND COMMUNITY BASED SERVICES ARE FOCUSED ON PROVIDING SERVICES TO OLDER ADULTS AND THE INDIGENT REGARDLESS OF FINANCIAL MEANS. WE CONTINUE TO RESPOND TO STUDIES EXPRESSING A GROWING DESIRE AND NEED OF OLDER ADULTS TO RECEIVE SERVICES IN THEIR HOMES BY PROVIDING MEDICARE, MEDICAID, AND PRIVATE PAY HOME CARE SERVICES; MEALS ON WHEELS (MOW), PERSONAL AND ENVIRONMENTAL SERVICES, TRANSPORTATION SERVICES AND OTHER VOLUNTEER SERVICES WHICH HELP KEEP INDIVIDUALS INDEPENDENT AND ACTIVE IN THEIR HOMES AND THE COMMUNITY. WESLEY ALSO OPERATES THREE ADULT DAY CENTERS - WILLOWBROOK ADULT DAY SERVICES IN NEWTON; DAHL ADULT DAY SERVICES IN DES MOINES; AND LENDING HANDS ADULT DAY SERVICES IN WASHINGTON. FOR THOSE COMMUNITY MEMBERS APPROACHING END OF LIFE AND NEEDING END OF LIFE CARE, WCS ALSO PROVIDES HOSPICE CARE, WHICH ALLOWS US TO EXTEND OUR MINISTRY AND QUALITY OF CARE. IN 2017, WESLEYLIFE'S SUPPORTED ORGANIZATIONS, WRS AND WCS, PROVIDED HOUSING AND SERVICES FOR APPROXIMATELY 9,572 OLDER IOWANS WHO RECEIVED INDIVIDUALIZED ATTENTION FROM OUR MORE THAN 2,176 PASSIONATE TEAM MEMBERS. AS PART OF OUR MISSION, WE BELIEVE IT IS OUR RESPONSIBILITY TO MAKE THE CITIES AND COMMUNITIES IN WHICH WE OPERATE A BETTER PLACE TO LIVE. WE ARE GUIDED BY OUR CORE VALUES TO PROVIDE QUALITY SERVICES, DEMONSTRATE INTEGRITY, MAINTAIN DIGNITY, FOSTER COMMUNITY, AND DELIVER RESPONSIBLE STEWARDSHIP. WE SERVE OLDER IOWANS BY PROVIDING THEM THE QUALITY SERVICES THEY NEED WITH A SERVANT'S HEART. WE ARE COMMITTED TO QUALITY, EXCELLENCE, HOSPITALITY AND INNOVATION. WE FIRMLY BELIEVE THAT IT IS OUR RESPONSIBILITY TO BE GOOD STEWARDS OF THIS MISSION AND ONLY USE THE RESOURCES WE HAVE BEEN PROVIDED IN WAYS THAT WILL BETTER THE LIVES OF OUR CUSTOMERS. AS A NON-PROFIT ORGANIZATION, WE UNDERSTAND THAT OUR RESPONSIBILITY AND OBLIGATION TO OUR COMMUNITIES IS TO OPERATE WITH TOTAL TRANSPARENCY, HONESTY, AND INTEGRITY PROVIDING THE BEST CARE POSSIBLE.BELOW REFLECTS SOME OF THE COMMUNITY BENEFITS FROM 2017:- WESLEYLIFE PROVIDED $2,535,000 IN CHARITY CARE TO OUR RESIDENTS, PARTICIPANTS AND CLIENTS. RESIDENTS RECEIVED $1,231,000 OF CHARITABLE CARE AS SUPPORTED THROUGH THE GOOD SAMARITAN AND GOOD SHEPHERD FUNDS TO ENSURE EACH PERSON COULD THRIVE IN THEIR HOME. CLIENTS AND PARTICIPANTS OF HOME AND COMMUNITY BASED SERVICES RECEIVED $255,000 OF CHARITABLE CARE AS SUPPORTED THROUGH SCHOLARSHIPS TO HELP SUPPORT THEIR INDEPENDENCE, HEALTH AND WELL-BEING. - IN 2017, WE CONTINUED OUR REACH TO UNDERSERVED COMMUNITY MEMBERS; MEDICAID DAYS INCREASED BY 7% OVER LAST YEAR TO 40,561 DAYS.- MORE THAN 800 COMMUNITY MEMBERS PARTICIPATED IN VARIOUS SUPPORT GROUPS OFFERED AT OUR COMMUNITIES INCLUDING ALZHEIMER'S, PARKINSON'S AND BLIND SUPPORT GROUPS.- WE OFFERED 79 EDUCATIONAL SESSIONS AIMED AT IMPROVING THE HEALTH OF OLDER ADULTS BY PROMOTING NUTRITION, WELLNESS, AND QUALITY OF LIFE. IN TOTAL, 1,115 COMMUNITY MEMBERS PARTICIPATED IN THESE EDUCATIONAL SESSIONS.- WE PROVIDED 20,128 HOURS OF VOLUNTEER OPPORTUNITIES TO VARIOUS RESIDENTS AND COMMUNITY MEMBERS OF OUR NETWORKS. WE HAD A TOTAL OF 1,193 VOLUNTEERS FROM THE COMMUNITY.- WE COLLECTED AND DONATED VARIOUS ITEMS, INCLUDING CLOTHING, COATS, BOOKS, AND OTHER SUPPLIES TO AREA CHARITIES. 2467505 1 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 1 0 0 1 14 0 2176 1 0 0 0 0 0 0 0 0 0 0 X 10 10 0 0 0 0 0 0 0 1 1 0 1 1 1 1 1 1 1 1 1 0 0 X X NICK HARSHFIELD CFO 5152716789 5508 NORTHWEST 88TH STREET JOHNSTON IA 50131 CHAD RASMUSSEN CHAIR 2.00 3.00 X X 0 0 0 JODY LORENCE SECRETARY/TREASURER 1.00 2.00 X X 0 0 0 BOB RUCH PAST CHAIR 1.00 2.00 X X 0 0 0 ABBEY GILROY BOARD MEMBER 1.00 2.00 X 0 0 0 KEVIN LAGREE BOARD MEMBER 1.00 2.00 X 0 0 0 JOHN MOENCK BOARD MEMBER 1.00 2.00 X 0 0 0 DAN RENEKER BOARD MEMBER 1.00 2.00 X 0 0 0 DAVID STOUT BOARD MEMBER 1.00 2.00 X 0 0 0 KIRK TYLER BOARD MEMBER 1.00 2.00 X 0 0 0 SUSAN WATSON BOARD MEMBER 1.00 2.00 X 0 0 0 ROB KRETZINGER PRESIDENT & CEO 4.00 36.00 X 65479 589316 52637 FRANK TALLERICO CFO (THROUGH JULY 2017) 4.00 36.00 X 26993 242942 25167 NICK HARSHFIELD CFO (EFFECTIVE OCT 2017) 4.00 36.00 X 5883 52951 1720 DAMON BUSKOHL RVP OPERATIONS COO & WESLEY ACRES EXEC. DIRECTOR 40.00 0.00 X 175623 0 33778 KRISTY VAN DER WIEL VP OF PEOPLE & CULTURE 40.00 0.00 X 194729 0 29237 JANET SIMPSON RVP OPERATIONS/COO 40.00 0.00 X 175072 0 33298 CALVIN SHELANGOSKI FINANCE DIRECTOR 40.00 0.00 X 138824 0 23219 KEITH MOORE VP OF INFORMATION SYSTEMS 40.00 0.00 X 133370 0 14799 915973 885209 213855 8 0 1 0 ROBERT HALF TECHNOLOGY PO BOX 743295 LOS ANGELES CA 900743295 CONTRACT LABOR 174243 CLIFTONLARSONALLEN 220 SOUTH SIXTH ST STE 300 MINNEAPOLIS MN 554021436 ACCOUNTING SERVICES 140139 SPINUTECH 201 WASHINGTON ST CEDAR FALLS IA 50613 WEBSITE MARKETING SERVICES 118102 3 1929 100 1929 MANAGEMENT FEES 561000 7620372 7620372 7620372 210662 210662 109388 0 109388 109388 109388 7942351 7620372 0 320050 2467505 2467505 106307 106307 3860090 3654023 206067 77562 75924 1638 822626 796015 26611 275410 259461 15949 16425 16425 107583 107583 8474 8474 572442 559807 12635 57415 43264 14151 126300 115819 10481 406031 391105 14926 195 195 81009 78568 2441 66234 63014 3220 17459 17459 382484 382484 12172 12172 EMPLOYEE RECRUITING 48134 48134 EMPLOYEE RELATIONS 44947 44947 FUND DEVELOPMENT 31606 9139 22467 57657 56793 864 9646067 2467505 6847112 331450 1647106 347035 495168 521811 10695 123 20828 256470 297702 5111403 1247576 1907801 3863827 3696727 3221641 118175 124425 8132142 8397392 3505622 3964420 513475 1710836 576995 714021 4596092 6389277 X 3529743 1996462 7717 12125 -1410 -472 3536050 2008115 8132142 8397392 -1703716 175781 0 X 0 1 X 1 1 1 X X X 2 WESLEY COMMUNITY SERVICES INC 203970256 10 1 0 0 WESLEY RETIREMENT SERVICES INC 420680440 10 1 2457505 0 2 2457505 0 1 1 0 0 0 1 0 0 0 0 0 0 0 0 0 1 1 1 X 1 1 PART IV, SECTION A, LINE 2: WCS IS A TAX-EXEMPT 501(C)(3) PUBLIC CHARITY WITH AN IRS DETERMINATION LETTER STATING A STATUS OF 509(A)(3). AS SUCH, WCS DOES NOT HAVE AN IRS DETERMINATION STATUS OF 509(A)(1) OR 509(A)(2), BUT HAS SATISFIED THE SUPPORT TEST UNDER 509(A)(2). WCS MAKES ITS SUPPORT TEST CALCULATION AND ACCOMPANYING DOCUMENTATION AVAILABLE TO WESLEYLIFE ANNUALLY AS SUBSTANTIATION OF MEETING THE 509(A)(2) REQUIREMENTS. PART IV, SECTION A, LINE 6: WESLEYLIFE, WRS AND WCS OCCASIONALLY PROVIDE SPACE IN OUR FACILITIES TO OTHER NOT-FOR-PROFIT ORGANIZATIONS TO HOLD MEETINGS, WITHOUT CHARGE. PART IV, SECTION D, LINE 3: WESLEYLIFE AND ITS SUPPORTED ORGANIZATIONS, WRS AND WCS, HAVE COMPLETE BOARD OVERLAP. IN ADDITION TO THE OVERSIGHT AND AUTHORITY THAT THIS PROVIDES, WESLEYLIFE'S ARTICLES OF INCORPORATION EXPRESSLY STATES THE FOLLOWING IN SECTION 2.18 (NAMES HAVE BEEN ABBREVIATED FOR 990 PURPOSES): THE OFFICERS AND DIRECTORS OF WESLEYLIFE SHALL MAINTAIN A CLOSE AND CONTINUOUS RELATIONSHIP WITH THE OFFICERS AND DIRECTORS OF WRS AND WCS. TO THAT END, AN OFFICER OR MEMBER OF THE BOARD OF WRS OR WCS SHALL ATTEND THE BOARD MEETINGS OF WESLEYLIFE AS A NON-VOTING ATTENDEE. SUCH OFFICER OR DIRECTOR OF WRS OR WCS SHALL PROVIDE INPUT IN WESLEYLIFE'S ACTIVITIES, INCLUDING PROVIDING SIGNIFICANT INPUT IN WESLEYLIFE'S INVESTMENT POLICIES, THE TIMING OF GRANTS, THE MANNER OF MAKING GRANTS OR THE SELECTION OF RECIPIENTS FOR GRANTS. PART IV, SECTION E, LINE 3A: WESLEYLIFE IS GRANTED EXCLUSIVE AUTHORITY TO APPOINT ALL MEMBERS OF EACH SUPPORTED ORGANIZATION'S BOARD OF DIRECTORS. THIS AUTHORITY IS EXPRESSLY STATED IN EACH SUPPORTED ORGANIZATION'S GOVERNING DOCUMENTS. PART IV, SECTION E, LINE 3B: THE BUSINESS, PROPERTY, AFFAIRS, AND FUNDS OF EACH OF THE SUPPORTED ORGANIZATIONS ARE MANAGED, SUPERVISED AND CONTROLLED BY ITS BOARD OF DIRECTORS AS OUTLINED IN ITS GOVERNING DOCUMENTS. THE SUPPORTED ORGANIZATIONS AND WESLEYLIFE SHARE COMPLETE OVERLAP IN THEIR BOARD OF DIRECTORS; THEREFORE, WESLEYLIFE IS ABLE TO EXERCISE A SUBSTANTIAL DEGREE OF DIRECTION OVER EACH SUPPORTED ORGANIZATION. 2642980 2642980 2443084 1247576 1195508 25339 25339 3863827 INTERCOMPANY PAYABLES 705221 ASSET RETIREMENT OBLIGATION 8800 714021 X PART X, LINE 2: THE CORPORATION AND ITS AFFILIATES ARE GENERALLY EXEMPT FROM INCOME TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AND APPLICABLE SECTIONS OF THE STATE STATUTES. CONSEQUENTLY, NO PROVISION HAS BEEN MADE FOR INCOME TAXES. HOWEVER, THERE ARE IMMATERIAL AMOUNTS OF UNRELATED BUSINESS INCOME IN CERTAIN AFFILIATES THAT ARE TAXABLE. THE CORPORATION FOLLOWS THE ACCOUNTING STANDARD FOR CONTINGENCIES IN EVALUATING UNCERTAIN TAX POSITIONS. WESLEYLIFE FILES INFORMATION RETURNS AS A TAX-EXEMPT ORGANIZATION. SHOULD THAT STATUS BE CHALLENGED IN THE FUTURE, ALL YEARS SINCE INCEPTION COULD BE SUBJECT TO REVIEW BY THE INTERNAL REVENUE SERVICE (IRS). 1 SIMPSON COLLEGE 701 NORTH C STREET INDIANOLA IA 50125 420680389 501(C)(3) 10000 SUPPORT HEALTH SERVICES LEADERSHIP PROGRAM BRIO OF JOHNSTON LLC 6901 PECKHAM STREET JOHNSTON IA 50131 814615602 501(C)(3) 2457505 EQUITY TRANSFER TO ASSIST WITH CLIENT CARE RESOURCES 2 0 PART I, LINE 2: TRANSFERS TO RELATED ORGANIZATIONS ARE MONITORED THROUGH COMMON MANAGEMENT AND BOARD OVERLAP TO ENSURE ALL FUNDS ARE USED FOR APPROPRIATE CHARITABLE PURPOSES. THE ORGANIZATION DOES NOT HAVE AN ONGOING GRANT PROGRAM, BUT WHEN GRANTS ARE AWARDED POTENTIAL GRANTEES ARE EVALUATED BASED ON MISSION CONNECTIVITY AND ABILITY TO MAINTAIN OVERSITE TO ENSURE PROPER USE OF GRANT FUNDS. THE ORGANIZATION WILL BE ENGAGED IN THE PROGRAMMING THEY ARE SUPPORTING AND WILL ASK FOR FINANCIAL SUPPORT FROM RECIPIENTS TO SHOW PROPER USE OF THE FUNDS. X 1 1 X X X X X 1 1 0 0 0 0 0 0 0 ROB KRETZINGER PRESIDENT & CEO 48963 440670 14326 128930 2190 19716 2210 19888 3054 27485 70743 636689 0 0 FRANK TALLERICO CFO (THROUGH JULY 2017) 16858 151723 0 0 10135 91219 808 7269 1709 15381 29510 265592 0 0 DAMON BUSKOHL RVP OPERATIONS COO & WESLEY ACRES EXEC. DIRECTOR 174161 0 0 0 1462 0 5407 0 28371 0 209401 0 0 0 KRISTY VAN DER WIEL VP OF PEOPLE & CULTURE 176395 0 18000 0 334 0 5336 0 23901 0 223966 0 0 0 JANET SIMPSON RVP OPERATIONS/COO 165301 0 7500 0 2271 0 5140 0 28158 0 208370 0 0 0 CALVIN SHELANGOSKI FINANCE DIRECTOR 138733 0 0 0 91 0 4315 0 18904 0 162043 0 0 0 PART I, LINE 1A ROB KRETZINGER, PRESIDENT & CEO, RECEIVED $3,240 FOR SOCIAL CLUB DUES; THIS BENEFIT WAS INCLUDED IN HIS TAXABLE W-2 COMPENSATION. PART I, LINE 3 WESLEYLIFE DETERMINES THE CEO'S COMPENSATION. WESLEYLIFE, WCS AND WRS HAVE THE SAME BOARD MEMBERS. SEE SCHEDULE O FOR THE NARRATIVE RELATED TO FORM 990, PART VI, LINE 15 FOR FURTHER INFORMATION. PART I, LINES 4A-B FRANK TALLERICO, THE CFO THROUGH JULY 2017, RECEIVED SEVERANCE PAYMENTS OF $100,505 DURING 2017. THE FOLLOWING INDIVIDUALS RECEIVED CONTRIBUTIONS INTO A 457(F) DEFERRED COMPENSATION PLAN IN 2017: KRISTY VANDERWIEL - $10,000 CALVIN SHELANGOSKI - $7,500 JANET SIMPSON - $7,000 FORM 990, PART VI, SECTION A, LINE 1 THE EXECUTIVE COMMITTEE IS COMPRISED OF THE CHAIR OF THE BOARD, THE VICE CHAIR, THE PAST CHAIR, THE CHAIR OF THE PLANNING COMMITTEE, THE CHAIR OF THE FINANCE COMMITTEE, AND THE PRESIDENT/CEO. EXCEPT FOR THE PRESIDENT/CEO, ALL MEMBERS OF THE EXECUTIVE COMMITTEE MUST BE MEMBERS OF THE BOARD OF DIRECTORS. THE EXECUTIVE COMMITTEE HAS ALL THE AUTHORITY OF THE BOARD (EXCEPT AS NOTED BELOW) BUT LIMITS ITSELF TO MATTERS THAT REQUIRE IMMEDIATE ACTION AND CANNOT WAIT UNTIL THE NEXT SCHEDULED BOARD MEETING. THE EXECUTIVE COMMITTEE SHALL HAVE NO AUTHORITY TO AMEND THE ARTICLES OF INCORPORATION, THE BYLAWS, OR ADOPT A PLAN OF MERGER OF CONSOLIDATION. THE EXECUTIVE COMMITTEE SHALL REPORT ON ITS ACTIONS AT THE NEXT MEETING OF THE BOARD OF DIRECTIONS AND SUCH ACTIONS SHALL BE SUBJECT TO REVISION AND ALTERATION OF THE BOARD. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 WAS PREPARED BY AN INDEPENDENT ACCOUNTING FIRM. THE CEO, CFO AND CONTROLLER REVIEWED THE DOCUMENT INTERNALLY. THE FORM 990 WAS THEN REVIEWED BY THE BOARD'S FINANCE COMMITTEE AND MADE AVAILABLE TO ALL VOTING BOARD MEMBERS PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C THE CORPORATION COMMUNICATES THE CONFLICT OF INTEREST POLICY ANNUALLY TO BOARD MEMBERS AND REQUIRES BOARD MEMBERS TO COMPLETE AN ANNUAL STATEMENT DESCRIBING ACTUAL OR PERCEIVED CONFLICTS OF INTEREST. IF ANY CONFLICTS ARISE, THE BOARD MUST FOLLOW THE PROCEDURES SPECIFIED IN THE POLICY TO RESOLVE THE MATTER. WITH RESPECT TO THE BOARD MEMBERS, A PERSON WHO HAS A CONFLICT OF INTEREST IS DEEMED AN INTERESTED DIRECTOR. THE INTERESTED DIRECTOR SHALL NOT PARTICIPATE IN THE VOTE REGARDING HIS/HER POTENTIAL CONFLICT AND, DEPENDING UPON THE CIRCUMSTANCES, MAY NOT BE PERMITTED TO PARTICIPATE IN THE DISCUSSION REGARDING THE ISSUE. NO INTERESTED DIRECTOR SHALL BE PERMITTED TO VOTE IN MATTERS IN WHICH HE/SHE HAS A CONFLICT OF INTEREST. WITH RESPECT TO EMPLOYEES, THE PRESIDENT, IN CONSULTATION WITH OTHER UNBIASED MANAGERS, SHALL DETERMINE WHETHER A CONFLICT OF INTEREST EXISTS. AFTER EXERCISING DUE DILIGENCE, INCLUDING INVESTIGATING ALTERNATIVES TO A TRANSACTION OR ARRANGEMENT THAT GIVES RISE TO A CONFLICT OF INTEREST, THE PRESIDENT SHALL DETERMINE WHETHER THE CORPORATION IS ABLE TO OBTAIN WITH REASONABLE EFFORTS, A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT FROM ANOTHER INDIVIDUAL OR ENTITY THAT WOULD NOT GIVE RISE TO A CONFLICT OF INTEREST. IF A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT IS NOT AVAILABLE, THE ARRANGEMENT OR TRANSACTION MAY GO FORWARD IF THE PRESIDENT DETERMINES THAT THE TRANSACTION IS FAIR AND IN THE BEST INTEREST OF THE CORPORATION. FORM 990, PART VI, SECTION B, LINE 15A THE EXECUTIVE COMMITTEE OF THE BOARD OF DIRECTORS IS EMPOWERED BY THE BOARD OF DIRECTORS, ACCORDING TO ARTICLE VII OF THE ORGANIZATION'S BY-LAWS, TO DETERMINE PERFORMANCE GOALS AND MONITOR AND EVALUATE PERFORMANCE OF THE CHIEF EXECUTIVE OFFICER. THE EXECUTIVE COMMITTEE INCLUDES IN ITS EVALUATION, FEEDBACK FROM OTHER BOARD MEMBERS AND OTHERS NOT ASSOCIATED WITH THE COMMITTEE OR THE BOARD. THE COMMITTEE MONITORS PERFORMANCE OF THE ORGANIZATION AND CEO THROUGHOUT THE YEAR AND PROVIDES ONGOING ASSESSMENTS TO THE CEO USING AN EVALUATION AND RATING TOOL. THE COMMITTEE UTILIZES AN ANNUAL INDEPENDENT COMPENSATION SURVEY TO ASSIST IN DETERMINING COMPENSATION. MULTI-SITE ORGANIZATIONS AND LEADINGAGE, FORMERLY KNOWN AS "THE AMERICAN ASSOCIATION OF HOMES AND SERVICES FOR THE AGING", PROVIDE AN ANNUAL SURVEY OF COMPENSATION FOR CEOS AND OTHER OFFICERS. (WESLEYLIFE HAS SEARCHED FOR OTHER SURVEYS TO SUPPLEMENT THIS ONE BUT NO OTHER SURVEY PROVIDES THE SAME DEGREE OF COMPARABILITY.) THE SURVEY INCLUDES ONLY SENIOR LIVING ORGANIZATIONS AND IS SORTED BY GEOGRAPHIC REGIONS, REVENUE VOLUME, FULL-TIME EQUIVALENT EMPLOYEES, AND ASSET SIZE. IN 2015, THE EXECUTIVE COMMITTEE OF THE BOARD ENGAGED AN INDEPENDENT, THIRD PARTY TO TAKE A DEEPER ANALYSIS INTO THE COMPENSATION DESIGN AS COMPARED TO SIMILAR ORGANIZATIONS. THE INTENT WAS TO GO BEYOND THE INDUSTRY BENCHMARKED STUDY AND DRILL INTO APPROPRIATENESS, COMPETITIVENESS, AND OVERALL DESIGN. IT WAS DETERMINED, THROUGH THIS SECOND OPINION, THAT COMPENSATION WAS APPROPRIATE FOR THE SIZE AND COMPLEXITY OF THE ORGANIZATION. THE EXECUTIVE COMMITTEE DISCLOSES TO THE FULL BOARD OF DIRECTORS, IN CLOSED SESSION, THE RESULTS OF THE PERFORMANCE EVALUATION AND COMPENSATION DECISIONS. MINUTES OF MEETINGS ARE MAINTAINED AND THE BOARD CHAIRMAN PROVIDES WRITTEN NOTIFICATION TO BOTH THE CEO AND THE CORPORATE FINANCE DEPARTMENT REGARDING COMPENSATION DECISIONS. THE EVALUATION AND COMPENSATION SETTING PROCESS IS MUCH THE SAME FOR THE OTHER OFFICERS AS FOR THE CEO WITH SOME EXCEPTIONS. THE CEO DETERMINES THE PERFORMANCE GOALS AND MONITORS RESULTS. THE SAME SURVEY AS DESCRIBED ABOVE IS USED TO ASSIST IN DETERMINING COMPENSATION. THE CEO DISCLOSES ANNUALLY TO THE EXECUTIVE COMMITTEE THE COMPENSATION DECISIONS AND REASONS FOR THOSE DECISIONS IN REGARDS TO OTHER OFFICERS. THE LAST REVIEW PROCESS WAS CONDUCTED IN 2017 AND IS DONE ANNUALLY. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. WESLEY DEVELOPMENT SERVICES LLC 5508 NW 88TH STREET JOHNSTON IA 50131 822839395 DEVELOPMENT SERVICES IA 1061812 2757190 WESLEYLIFE WESLEY COMMUNITY SERVICES INC 5508 NW 88TH STREET JOHNSTON IA 50131 203970256 HOME HEALTH CARE IA 501(C)(3) LINE 10 WESLEYLIFE 1 WESLEY RETIREMENT SERVICES INC 5508 NW 88TH STREET JOHNSTON IA 50131 420680440 LONG TERM CARE IA 501(C)(3) LINE 10 WESLEYLIFE 1 0 1 0 1 0 0 0 0 0 1 0 1 0 1 1 1 1 1 1 WESLEY RETIREMENT SERVICES INC B 2457505 FMV WESLEY COMMUNITY SERVICES INC L 6301801 FMV WESLEY RETIREMENT SERVICES INC L 31654559 FMV