2017-10-24T08:58:01-05:00 2016-12-31 560747981 DIXON HUGHES GOODMAN LLP 500 RIDGEFIELD COURT ASHEVILLE NC 28806 990 2016-01-01 562277623 GALLOWAY RIDGE INC GALL 9195452215 3000 GALLOWAY RIDGE PITTSBORO NC 27312 PEGI BRADY TREASURER 9195452215 2017-10-24 1 Amy Bibby P00445891 8282542254 2017-10-10 12.25.12.224 2017-10-24 08:54:08 ED P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 3C4A73C7F70BFF54BAAC11A85090BDFB39FC8B01 2016 2021-01-29 14:40:06Z RICHARD KAHLER 3000 GALLOWAY RIDGE PITTSBORO NC 27312 28623978 0 X WWW.GALLOWAYRIDGE.COM X 2001 NC OPERATION OF CONTINUING CARE RETIREMENT COMMUNITY 12 12 517 8 0 0 583938 560543 27922077 27365079 21505 480243 280081 218113 28807601 28623978 85000 145758 0 0 11159200 11904085 0 0 0 18362051 18284857 29606251 30334700 -798650 -1710722 143514364 141398390 179201811 179071516 -35687447 -37673126 X THE MISSION OF GALLOWAY RIDGE IS TO PROVIDE EACH RESIDENT WITH A SUPERIOR QUALITY OF LIFE AND CARE. 0 0 26207172 145758 26876085 GALLOWAY RIDGE, INC. PROVIDED HOUSING, HEALTHCARE, AND OTHER RELATED SERVICES TO RESIDENTS THROUGH THE OPERATION OF A RESIDENT FACILITY CONTAINING 301 INDEPENDENT LIVING UNITS, 36 ASSISTED LIVING UNITS, 15 MEMORY CARE UNITS AND 40 SKILLED NURSING UNITS. GALLOWAY RIDGE WELCOMED ITS FIRST RESIDENTS IN 2005 WITH A MISSION OF PROVIDING ITS RESIDENTS SUPERIOR SERVICES AT A REASONABLE COST AND STRIVING TO PROVIDE A COMPLEMENT OF SERVICES TO SUPPORT THE RESIDENT'S HEALTH, SOCIAL, SPIRITUAL AND RECREATIONAL NEEDS. SINCE INCEPTION, GALLOWAY RIDGE HAS PAID PROPERTY TAXES TO CHATHAM COUNTY IN A TOTAL AMOUNT EQUAL TO $6,136,559, $775,266 OF WHICH WAS PAID MOST RECENTLY IN 2016. IN ADDITION TO PAYING PROPERTY TAXES, GALLOWAY RIDGE HAS CONSISTENTLY ENGAGED IN A VARIETY OF OTHER CHARITABLE EFFORTS AND CONTRIBUTIONS. IN 2016, GALLOWAY RIDGE ASSISTED RESIDENTS WHO COULD NOT PAY THEIR MONTHLY SERVICE FEE AND MADE CASH DONATIONS TO LOCAL NONPROFITS ($145,758).SOON AFTER OPENING, IN 2006, THE GALLOWAY RIDGE CHARITABLE FUND WAS ESTABLISHED AT THE RECOMMENDATION OF THE BOARD OF DIRECTORS' SOCIAL ACCOUNTABILITY COMMITTEE, A STANDING COMMITTEE OF THE BOARD. THE CHARITABLE FUND WAS ORGANIZED AND CONTINUES TO OPERATE FOR THE FOLLOWING PURPOSES:(A) TO CARRY OUT THE MISSION OF GALLOWAY RIDGE AS STATED IN THE GALLOWAY RIDGE BYLAWS.(B) TO PROVIDE OR FUND "CHARITY CARE," DEFINED AS THE UNREIMBURSED COSTS TO GALLOWAY RIDGE OF PROVIDING HEALTHCARE, HOUSING OR OTHER SERVICES TO RESIDENTS WHO ARE UNABLE TO PAY FOR ALL OR PART OF THE SERVICES RENDERED.(C) TO PROVIDE OR FUND "COMMUNITY BENEFITS," DEFINED AS THE UNREIMBURSED COSTS TO GALLOWAY RIDGE OF PROVIDING THE FOLLOWING:I. SERVICES, INCLUDING HEALTH, RECREATION, COMMUNITY RESEARCH, AND EDUCATION ACTIVITIES PROVIDED TO THE COMMUNITY AT LARGE, INCLUDING THE ELDERLY.II. CHARITABLE DONATIONS.III. DONATED VOLUNTEER SERVICES.IV. DONATIONS AND VOLUNTARY PAYMENTS TO GOVERNMENT AGENCIES.(D) TO SOLICIT, RECEIVE, ADMINISTER, INVEST AND DISTRIBUTE FUNDS FOR THE PURPOSES LISTED ABOVE.CONTRIBUTIONS TO THE GALLOWAY RIDGE CHARITABLE FUND MAY BE DESIGNATED THESE PURPOSES: I) SUPPORT FOR GALLOWAY RIDGE RESIDENTS WHO MAY NEED ASSISTANCE WITH FEES IN THE FUTURE BECAUSE OF DIFFICULT FINANCIAL CIRCUMSTANCES; II) SUPPORT OF THE CHATHAM COMMUNITY; GALLOWAY RIDGE AND ITS RESIDENTS HAVE FOSTERED AND ESTABLISHED RELATIONSHIPS WITH NUMEROUS AGENCIES AND ORGANIZATIONS THROUGHOUT THE COMMUNITY INCLUDING THE FOLLOWING:Alzheimer's of NC 5K, Agape Corner School, Ackland Museum, American Red CrossBahama Ruritan Club, Bellevue School, C.A.S.T., Camp Royall, Campbell University Choral, Care Project, Carolina Tiger Rescue, Center for Literacy & Disability Studies, Chapel Hill Meals on Wheels, Chapel of the Cross, Chapel in the Pines, Chatham County Alzheimer'sChatham County Democrats, Chatham County Line, Chatham County Schools, Chatham Council on Aging, Chatham County Government, Chatham County Science FairChatham Hospice, Chatham Literacy Council, Christ United Methodist Church, Cinderella Closet,County Line Newspaper, Coupons for the Troops, CORA, CRSA-LCS-RAC, Duke Research Project, Duplin County Historical Society, Earth Echo International, East Chathan Elementary School,East Cary Middle School, Farm at Penny Lane, Friends of the Pittsboro Library, Guilford CollegeHabitat for Humanity, Happening Inc., Healthcare Works, Holy Trinity Lutheran Church, Home Health Foundation, InterFaith Council, International Council on Active Living, Justice United of Orange County, Kingswood Elementary School, Leading Age,Linas Blanket Project, Lystra Baptist Church, Mariposa School, Milo Holt Western Festival Committee,NC Botanical Garden, NCCS System: Economic Workforce Development, Neighbors Helping Neighbors,NCCCRA, Nearly Nice Shop, North Chatham Elementary School, Odyesy Stage, PEO, Pittsboro United Methodist Church, ReStore, Salvation Army-Bell Ringers, Salvation Army - Angel Tree Tags, Sierra Club, Spence Scholarship, Stop Hunger Now,Synagogue, St Bart's, St Johns Lutheran Church, St Thomas More Church, Triangle J Council of Governments, United Methodist Woman, United Way of Chatham County,University Woman's Club, University United Methodist Church, UNC Allied Health Campaign,UNC Alumni Assoc., UNC Hillel, UNC-Hospice, UNC-Hospital Elves & Angels, UNC Hospital, UNC - Medical School-Mentoring, Universal Design Institute, US National Park Service, US Naval Academy Blue & Gold Officers, VITA 26207172 1 1 0 0 0 0 0 0 0 0 1 0 0 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 0 1 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 45 0 1 517 1 0 0 0 0 1 1 1 1 0 0 0 1 0 X 12 12 0 1 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 X X DANA BOYLAN-WALKER 9195452608 3000 GALLOWAY RIDGE PITTSBORO NC 27312 G RICHARD KAHLER PRESIDENT AND CHAIRMAN 5.00 X X 0 0 0 JOHN P ZAREMBA VICE CHAIRMAN 5.00 X X 0 0 0 ALEX WELLER SECRETARY 5.00 X X 0 0 0 PEGI BRADY Treasurer & Director 5.00 X X 0 0 0 LINDA BROWER-ISABEL BOARD MEMBER 1.00 X 0 0 0 PAM HERNDON BOARD MEMBER 1.00 X 0 0 0 STANLEY R MANDEL BOARD MEMBER 1.00 X 0 0 0 Todd Peterson BOARD MEMBER 1.00 X 0 0 0 ALAN RIMER BOARD MEMBER 1.00 X 0 0 0 SAM WILLIAMSOM BOARD MEMBER 1.00 X 0 0 0 Jim Anderson Board Member 1.00 X 0 0 0 Rupe Gill Board Member 1.00 X 0 0 0 ROBERT ZIMMER EXECUTIVE DIRECTOR 50.00 X 177025 0 9085 Dana Boylan-Walker director of finance 50.00 X 95295 0 6926 DANIEL CAMARA DIRECTOR OF FACILITIES 50.00 X 101441 0 13601 DEBBIE KNIGHT DIRECTOR OF WELLNESS 50.00 X 111110 0 10617 Kathy Turner DiRECTOR OF Healthcare 50.00 X 102119 0 6926 586990 0 47155 4 0 1 0 Life Care Services LLC 400 LOCUST STREET deS MOINES IA 50309 ConsulTING SERVICES 414559 Bland LANCSCAPING po bOX 727 apEX NC 27505 Landscaping Services 346285 UNC chapel hill dept of medicine CB #700 125 MACNIDER cHAPEL HILL NC 27599 Medical SERVICES 270036 Painting enterprise of chapel hill 50 KENTVIEW pitTSBORO NC 27312 painting services 216682 gmk associates interior design 1201 Main Suite 2100 columbia SC 29201 Architecutural & Remodeling Design Servi 211131 7 560543 54339 560543 RESIDENT SERVICES 623000 27365079 27365079 27365079 480243 480243 77539 0 77539 77539 77539 GUEST/EMPLOYEE/OTHER DINING SERVI 900099 140574 140574 140574 28623978 27365079 0 698356 145758 145758 290410 290410 8815263 7225722 1589541 89354 70906 18448 2622416 2080994 541422 86642 68754 17888 397602 397602 82793 82793 146547 146547 69781 69781 1512853 1086868 425985 247678 8337 239341 917599 793001 124598 83659 13841 69818 2581885 2581885 38765 12176 26589 78795 6068 72727 4105377 4105377 5228695 5228695 276185 276185 MEDICAL SUPPLIES 1292635 1292635 DIETARY EXPENSE 1143076 1143076 MISCELLANEOUS 80932 66894 14038 0 30334700 26207172 4127528 0 2848134 3270912 5409512 5601581 447419 494345 117858 96971 453271 373598 127498918 35697430 93604119 91801488 17860387 18636556 10928279 9297023 11845385 11825916 143514364 141398390 3420884 3154266 100629417 101223312 73016214 71642565 2135296 3051373 179201811 179071516 X -37417797 -39395623 1730350 1722497 -35687447 -37673126 143514364 141398390 X -1710722 219704 -494661 X X 0 1 X 1 0 X 194438 375390 1457251 527499 560543 3115121 20962036 22060908 25001431 28053922 26876085 122954382 142084 153047 160959 148236 148427 752753 21298558 22589345 26619641 28729657 27585055 126822256 9550 388367 396307 219636 167509 1181369 0 9550 388367 396307 219636 167509 1181369 125640887 108757 104403 113943 21505 557782 906390 108757 104403 113943 21505 557782 906390 88336 21451 23871 56439 190097 21495651 22715199 26757455 28807601 28142837 127918743 0.98220 0.98590 0.00710 0.00380 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 4934777 4934777 108615654 31719726 76895928 4306127 1257546 3048581 8504178 2483530 6020648 1138182 236628 901554 91801488 RESERVE REQUIRED BY STATE STATUTE 5663434 DEFERRED FINANCING COSTS 2159636 DEFERRED MARKETING COSTS 2222749 SALES TAX RECEIVABLE 57600 CHARITABLE FUND 1722497 11825916 REFUNDABLE ENTRANCE FEES 2533373 REFUNDABLE PARKING DEPOSITS 518000 3051373 X 28843682 219704 219704 28623978 0 28623978 30829361 494661 494661 30334700 0 30334700 Part X, Line 2: The Company is exempt from federal income taxes under Section 501(c)(3) of the Internal Revenue Code and applicable state statues. Accordingly, the accompanying financial statements do not reflect a provision or liability for federal and state income taxes. The Company has determined that it does not have any material unrecognized tax obligations at December 31, 2016. Part XII, Line 2d - Other Adjustments: NET ASSETS RELEASED FROM RESTRICTION 494,661. 1 Chatham Cares Community Pharmacy 127 E Raleigh St Siler City NC 27344 412170926 501(C)(3) 5000 OPERATIONS Chatham Council on Aging 365 NC Hwy 87 N Pittsboro NC 27312 561084260 501(C)(3) 7000 OPERATIONS CORA Food Pantry 40 Campt Drive Pittsboro NC 27312 942481188 501(C)(3) 5000 OPERATIONS El Futuro Inc 136 E Chapel Hill Street Durham NC 27701 800122334 501(C)(3) 5000 OPERATIONS Family Violence & Rape Crisis Serv PO Box 1105 Pittsboro NC 27312 561345420 501(C)(3) 7000 OPERATIONS Legal Aid of NC Inc PO Box 26087 Raleigh NC 27611 311784161 501(C)(3) 5000 OPERATIONS Rebuilding Together of the Triangle 324 S Wilmington Street 118 Raleigh NC 27601 561955629 501(C)(3) 3000 OPERATIONS West Chatham Food Pantry 126 Village Lake Road Siler City NC 27344 510634273 501(C)(3) 6000 OPERATIONS Chatham Habitat of Humanity 467 West Street Pittsboro NC 27312 561689599 501(C)(3) 20000 OPERATIONS Chatham education foundation po box 1218 pittsboro NC 27312 561796990 501(C)(3) 3000 operations chatham county literacy council inc po box 1696 pittsboro NC 27312 581870076 501(C)(3) 3000 operations community in schols of chatham county 208 north chatham avenue silver city NC 27344 581849144 501(C)(3) 5000 operations fuel up at perry harrison school 41 amity court pittsboro NC 27312 371592640 501(C)(3) 3000 operations girl Scouts- north carolina coastal pines 6901 pinecrest road raleigh NC 27613 560791500 501(C)(3) 5000 operations nc medical assist 4428 taggart creed road suite 101 charlotte NC 28208 562018957 501(C)(3) 3000 operations boys & girls club of eastern piedmont po box 1788 pittsboro NC 27312 260100585 501(C)(3) 5000 operations medical foundation of nc inc 880 mlk jr blvd cb 7565 chapel hill NC 27514 566057494 501(C)(3) 55000 operations 17 Part I, Line 2: THE ORGANIZATION PROVIDES FUNDS TO IDENTIFIED COMMUNITY GROUPS IN NEED OF ADDITIONAL SUPPORT. IN THE EVENT THAT THE ORGANIZATION LEARNS THAT FUNDS ARE NOT UTILIZED FOR THE INTENDED PURPOSES, FUTURE AWARDS WOULD BE RESTRICTED TO THOSE ORGANIZATIONS. X 0 0 0 0 0 0 0 1 0 ROBERT ZIMMER EXECUTIVE DIRECTOR 143819 0 22179 0 11027 0 3630 0 5455 0 186110 0 0 0 Part I, Line 7 THE EXECUTIVE DIRECTOR AND DEPARTMENTAL HEADS ARE ELIGIBLE FOR PERFORMANCE BONUSES BASED ON AGREED UPON GOALS FOR THE YEAR. A NORTH CAROLINA MEDICAL CARE COMMISSION 521309402 65820YJJ6 2010-10-21 75989731 SEE PART VI 0 0 0 B NORTH CAROLINA MEDICAL CARE COMMISSION 521309402 2010-10-21 19930000 SEE PART VI 0 0 0 C NORTH CAROLINA MEDICAL CARE COMMISSION 521309402 65820YKU9 2014-09-10 15495000 SEE PART VI 0 0 0 A 2695000 61024408 8231416 2396890 1454692 1157571 26423121 23755000 559359 2012 0 0 0 1 B 19930000 558593 398600 1258461 17714346 2012 0 0 1 1 C 10000 15495192 1223896 309859 15002641 2014 1 0 0 1 A 0 0 0 0 0 0 1 B 0 0 0 0 0 0 1 C 0 0 0 0 0 0 1 A 0 1 0 0 1 0 0 0 1 B 0 1 0 0 1 0 0 0 1 C 0 1 0 0 1 0 0 0 1 A 0 B 0 C 0 SCHEDULE K, PART I, LINE A, COLUMN F, DESCRIPTION OF PURPOSE: THE PROCEEDS OF THE 2010A AND 2010B BONDS ARE BEING USED TO CONSTRUCT THE EXPANSION OF 67 INDEPENDENT LIVING UNITS (66 INDEPENDENT LIVING APARTMENTS AND 1 INDEPENDENT LIVING VILLA), 29 ASSISTED LIVING UNITS, OF WHICH 15 ARE DESIGNATED FOR DEMENTIA CARE, AND 24 SKILLED NURSING UNITS, AS WELL AS ADDITIONAL AND RENOVATED SUPPORTIVE COMMON AREAS OF THE PROJECT. ADDITIONALLY, PROCEEDS FROM THE 2010A AND 2010B BONDS WERE USED TO PAY A PORTION OF THE OUTSTANDING LOANS FROM THE BANK OF SCOTLAND AND TO FUND CERTAIN DEBT SERVICE RESERVES AND OTHER COSTS ASSOCIATED WITH ISSUANCE OF THE 2010A AND 2010B BONDS. THE SERIES 2010A BONDS WERE ISSUED AT A DISCOUNT OF $190,269. SCHEDULE K, PART I, LINE B, COLUMN F, DESCRIPTION OF PURPOSE: IN OCTOBER 2010, THE ORGANIZATION ISSUED $19,930,000 RETIREMENT FACILITIES FIRST MORTGAGE REVENUE BONDS (GALLOWAY RIDGE PROJECT) SERIES 2010C AS A BANK QUALIFIED LOAN THROUGH THE NORTH CAROLINA MEDICAL CARE COMMISSION. THIS LOAN IS DRAWN UPON AS NEEDED BY THE COMPANY. PROCEEDS WERE USED TO PAY A PORTION OF THE OUTSTANDING LOANS FROM THE BANK OF SCOTLAND, REIMBURSE THE COMPANY FOR COSTS INCURRED FOR PHASE II CONSTRUCTION AND PAY OTHER COSTS ASSOCIATED WITH ISSUANCE OF THE 2010C BONDS. SCHEDULE K, PART I, LINE C, COLUMN F, DESCRIPTION OF PURPOSE: IN SEPTEMBER 2014, THE ORGANIZATION ISSUED $15,495,000 OF TAX-EXEMPT, ADJUSTABLE RATE FIRST MORTGAGE REVENUE REFUNDING BONDS THROUGH THE NORTH CAROLINA MEDICAL CARE COMMISSION. OF THE TOTAL AMOUNT, $15,000,000 WAS USED TO REFUND THE SERIES 2010b BONDS. THE REMAINING AMOUNTS WERE USED FOR COSTS OF ISSUANCE AND TO SET UP A DEBT SERVICE REFUND. SCHEDULE K, PART II, LINE 3, TOTAL PROCEEDS: THE AMOUNT OF TOTAL PROCEEDS PRESENTED ON LINE 3 FOR BOND [A] INCLUDES EARNINGS ON INVESTMENTS AS FOLLOWS: PROCEEDS FROM ISSUANCE (NET OF DISCOUNT): $ 75,989,731 INVESTMENT EARNINGS TO DATE: 34,677 LESS REFUNDED AMOUNT: <$ 15,000,000> TOTAL TO LINE 3: $ 61,024,408 SCHEDULE K, PART II, LINE 11, OTHER SPENT PROCEEDS: THE AMOUNT ON PART II, LINE 11 FOR BOND [A] REPRESENTS AMOUNTS USED TO CURRENTLY REFUND A CONSTRUCTION LOAN RELATED TO THE 2010 PROJECT THAT IS NOT CLASSIFIED AS A TAX-EXEMPT BOND ISSUE. SCHEDULE K, PART II, LINE 12, OTHER UNSPENT PROCEEDS: THE AMOUNT ON PART II, LINE 12 FOR BOND [B] REPRESENTS AMOUNTS NOT YET DRAWN DOWN FROM THE ORIGINAL AGREED ISSUANCE PRICE. THESE FUNDS ARE NOT HELD BY THE ORGANIZATION UNTIL SUCH TIME AS IT REQUISITIONS THEM FOR CONSTRUCTION REIMBURSEMENT. SCHEDULE K, PART II, LINE 12, OTHER UNSPENT PROCEEDS: THE AMOUNT ON PART II, LINE 11 FOR BOND [C] REPRESENTS AMOUNTS USED TO CURRENTLY REFUND A CONSTRUCTION LOAN RELATED TO THE 2010 PROJECT THAT IS NOT CLASSIFIED AS A TAX-EXEMPT BOND ISSUE. X 1 48000 X 5 6339 0 0 0 Form 990, Part VI, Section A, line 1 THE PRIMARY FUNCTION OF THE EXECUTIVE COMMITTEE WILL BE TO EXECUTE THE POLICIES PRESCRIBED BY THE BOARD AND CARRY OUT THE RESPONSIBILITIES ASSIGNED TO IT BY THE BOARD AND THESE BYLAWS, INCLUDING, WITHOUT LIMITATION, CONDUCTING STRATEGIC PLANNING FOR THE CORPORATION, ESTABLISHING CRITERIA TO EVALUATE THE EXECUTIVE DIRECTION AND OTHER OFFICERS AND EMPLOYEES OF THE CORPORATION, AND OVERSEEING RELATIONSHIPS WITH THE CORPORATION'S OUTSIDE SERVICE PROVIDERS. THE BOARD MANAGEMENT COMMITTEE WILL ALSO BE RESPONSIBLE FOR REVIEWING AND MAKING RECOMMENDATIONS REGARDING CONFLICTS OF INTEREST OF DIRECTORS, OFFICERS, EMPLOYEES AND INDEPENDENT CONTRACTORS AND THEIR EMPLOYEES ASSOCIATED WITH THE CORPORATION. DURING THE INTERVALS BETWEEN THE MEETINGS OF THE BOARD, THE EXECUTIVE COMMITTEE WILL HAVE AND EXERCISE ALL OF THE POWERS OF THE BOARD THAT MAY BE LAWFULLY DELEGATED IN THE MANAGEMENT OF THE BUSINESS AND AFFAIRS OF THE CORPORATION. THE EXECUTIVE COMMITTEE WILL BE COMPRISED OF THE FOLLOWING: (1) SUCH OFFICERS OF THE CORPORATION AS MAY HOLD OFFICE FROM TIME TO TIME; (2) THE CHAIRPERSONS OF SUCH COMMITTEES OF THE CORPORATION AS MAY EXIST FROM TIME TO TIME; AND (3) SUCH OTHER DIRECTORS AS MAY BE NOMINATED BY THE PRESIDENT AND APPOINTED BY THE BOARD FROM TIME TO TIME. THE PRESIDENT OF THE CORPORATION WILL BE THE CHAIRPERSON OF THE EXECUTIVE COMMITTEE. EACH MEMBER OF THE EXECUTIVE COMMITTEE WILL HOLD OFFICE FOR THE DURATION OF SUCH PERSON'S TERM IN AN OFFICE THAT QUALIFIES SUCH PERSON FOR MEMBERSHIP ON THE EXECUTIVE COMMITTEE. Form 990, Part VI, Section A, line 3 In April of 2015, a management services agreement was entered into with Life Care Services LLC (LCS), dated April 29, 2015 for consultation and support services regarding the strategies, for day to day operations of the Community and to provide relevant information regarding operations; and making recommendations regarding further direction and operation of the Community. The Company incurred approximately $716,000 of expense, included in administration expense on the statements of operations, under terms of the CRSA/LCS management agreements for years ended December 31, 2016. Form 990, Part VI, Section B, line 11b THE RETURN WAS PREPARED BY AN INDEPENDENT ACCOUNTANT WITH ASSISTANCE AND OVERSIGHT BY MANAGEMENT. UPON COMPLETION, THE RETURN WAS REVIEWED BY MANAGEMENT AND DISTRIBUTED ELECTRONICALLY TO THE MEMBERS OF THE BOARD OF DIRECTORS. THE BOARD OF DIRECTORS WERE GIVEN TIME TO REVIEW, DISCUSS, AND COMMENT PRIOR TO THE FORM BEING ELECTRONICALLY FILED WITH THE IRS. Form 990, Part VI, Section B, line 12c THE CONFLICT OF INTEREST POLICY IS REVIEWED BY ALL BOARD MEMBERS ANNUALLY. EACH BOARD MEMBER SIGNS A STATEMENT INDICATING THE UNDERSTANDING OF AND COMPLIANCE WITH THE POLICY. THE CONFLICT OF INTEREST POLICY IS BASED UPON THE IRS MODEL CONFLICT OF INTEREST POLICY. Form 990, Part VI, Section B, line 15 For 2014, the Executive Director's compensation is reviewed by the management company, LCS, annually using industry data for comparison. The ED's position is also reviewed by the President and Board Chaiman. Other key employees have an annual review by the ED & comparability data is reviewed on a regular basis. Form 990, Part VI, Section C, line 18 PHOTOCOPIES OF THE ORGANIZATION'S FORM 1023, FORM 990 AND FORM 990-T ARE AVAILABLE UPON REQUEST. RECENT FILINGS OF THE FORM 990 CAN BE ACCESSED THROUGH GUIDESTAR.ORG, A NON-PROFIT WEBSITE. Form 990, Part VI, Section C, line 19 BYLAWS, WITH ANY CHANGES OR UPDATES, ARE MAINTAINED IN THE RESIDENT LIBRARY AND ARE ALSO AVAILABLE BY REQUEST. THE CONFLICT OF INTEREST POLICY IS INCLUDED IN THE ANNUAL DISCLOSURE STATEMENT. FINANCIAL STATEMENTS ARE PROVIDED QUARTERLY TO THE PRIMARY CREDITOR, BOARD AUDIT & FINANCE COMMITTEE, AND THE RESIDENT FINANCE COMMITTEE AND PROVIDED QUARTERLY TO THE BOARD. THE ANNUAL AUDIT IS PROVIDED ANNUALLY IN THE DISCLOSURE STATEMENT. Form 990, Part XI, line 9: NET ASSETS RELEASED FROM RESTRICTION -494,661. FORM 990, PART XII, LINE 2C: For 2015, the CEO/Executive Director's position was reviewed by the President and Board Chairmain and approved by the board. Other key employees have an annual review by the CEO/Executive Director & comparability data is reviewed on an annual basis.