2015-11-12T11:54:59-06:00 2015-06-30 232932984 BAKER TILLY VIRCHOW KRAUSE LLP 1650 MARKET STREET SUITE 4500 PHILADELPHIA PA 19103 990 2014-07-01 231458000 MESSIAH HOME MESS 7176974666 100 MT ALLEN DRIVE MECHANICSBURG PA 17055 CAROLYN N BURKE SECRETARY/TREASURER 7176974666 2015-11-12 1 JULIUS C GREEN CPA JD P00350393 2159720701 2015-11-12 2014 2016-02-25 16:41:14Z MESSIAH LIFEWAYS AT MESSIAH VILLAGE CURTIS STUTZMAN 100 MT ALLEN DRIVE MECHANICSBURG PA 17055 52952966 0 X WWW.MESSIAHVILLAGE.ORG X 1896 PA MINISTRY THAT RESPONSIBLY ENHANCES THE LIVES OF OLDER ADULTS WITH CHRIST-LIKE LOVE. 4 1 636 425 0 0 1270025 868413 36400080 36967495 2632132 4329585 1228616 1319021 41530853 43484514 147800 0 0 0 16342132 17308156 0 0 0 20887167 21833597 37377099 39141753 4153754 4342761 106598553 115378667 60619710 67666362 45978843 47712305 X THE ORGANIZATION'S MISSION IS TO BE "A MINISTRY THAT RESPONSIBLY ENHANCES THE LIVES OF OLDER ADULTS WITH CHRIST-LIKE LOVE." INTENTIONAL AND MEANINGFUL COMMUNITY LIFE IS CENTRAL TO ACHIEVING THE ORGANIZATION'S MISSION OF LIVING "LIFE.EMBRACED." WE BELIEVE LIFE CAN BE ENHANCED WHEN PERSONS HAVE OPPORTUNITIES TO PURSUE THEIR OWN GROWTH WITH AN INWARD JOURNEY OF THE BODY, MIND AND SOUL, HAVE OPPORTUNITIES TO JOURNEY OUTWARD AND CARE FOR AND SHARE THEIR HEARTS AND HANDS WITH OTHERS, AND HAVE OPPORTUNITIES TO JOYOUSLY JOURNEY TOGETHER WITH OTHERS AND BUILD RESPECTFUL, PARTICIPATORY RELATIONSHIPS.OUR DREAM IS TO INSPIRE EVERYONE 55 AND BETTER TO MORE FULLY EMBRACE LIFE; TO NOT FEAR GROWING OLDER, BUT TO RE-IMAGINE THE JOURNEY OF AGING AS A TIME OF PURPOSE, ZEST, AND FAITH-FILLED LIVING. 0 0 29601191 36967495 THE YEAR ENDING JUNE 30, 2015 WAS ONE OF POSITIVE GROWTH AND NEW ACCOMPLISHMENTS AS THE ORGANIZATION CELEBRATED ITS 119-YEAR ANNIVERSARY. MESSIAH LIFEWAYS AT MESSIAH VILLAGE ("MESSIAH VILLAGE") COMPLETED THE INSTALLATION OF A NEW HVAC SYSTEM WITHIN THE 124 APARTMENTS ON CAMPUS. THIS WAS A HUGE UNDERTAKING WHICH REQUIRED MOVING EACH RESIDENT OUT OF THEIR APARTMENT FOR ONE WEEK WHILE THE WORK WAS COMPLETED. THE NEW SYSTEM ALLOWS FOR TEMPERATURE CONTROLS TO BE MANAGED WITHIN INDIVIDUAL APARTMENTS. NEW FULL-SIZED WASHER AND VENTED DRYERS WERE ALSO ADDED TO FURTHER ENHANCE MANY OF THE APARTMENTS. THE GIFT DEVELOPMENT OFFICE FUNDRAISED THROUGH THE FRUIT OF THE VINE DINNER TO RAISE $5,480.00 FOR A SPECIAL ACTIVITIES FUND FOR THE ENHANCED LIVING NEIGHBORHOOD AT MESSIAH VILLAGE. A SPECIAL GIFT OF $453,961.75 WAS GIVEN BY A FAMILY BEQUEST. THIS GENEROUS GIFT HAS BEEN DESIGNATED FOR ONE OF THE NEW NURSING NEIGHBORHOODS THAT WILL BE BUILT AND IS PROJECTED TO OPEN IN 2017. THIS YEAR, $793,000 WAS THE COST OF PROVIDING BENEVOLENT CARE IN ENHANCED LIVING, AND $1,518,000 WAS THE COST IN NURSING.ANOTHER ENTHUSIASTIC GROUP ON THE CAMPUS IS THE MESSIAH VILLAGE AUXILIARY. FOR MANY YEARS THEY HAVE GENEROUSLY SUPPORTED THE ENDOWMENT FUND BY DONATING TO ANNUAL APPEAL EFFORTS AND BY DONATING MONEY FROM THEIR GIFT SHOP AND COFFEE SHOP SALES, QUILT SALES, AND CLOTHING SALES TO SUPPORT BENEVOLENT CARE. BEHIND THE SCENES, AUXILIARY MEMBERS SERVE QUIETLY BUT CONFIDENTLY, KNOWING THAT THEIR EFFORTS MAKE A DIFFERENCE TO THIS COMMUNITY. FROM TRANSPORTING RESIDENTS TO REHAB AND HAIR APPOINTMENTS, TO PLANTING FLOWERS AND HOSTING AT THE FIRESIDE GRILLE, VOLUNTEERS' GENEROSITY OF GIVING TIME AND TALENT IMPACT NEARLY EVERY ASPECT OF LIFE AT MESSIAH VILLAGE. THIS YEAR 425 VOLUNTEERS GAVE 32,099 HOURS OF SERVICE TO MESSIAH VILLAGE. BASED ON THE BUREAU OF LABOR AND STATISTICS FIGURES, VOLUNTEERS PROVIDED $685,635 WORTH OF SERVICE. ONE OF THE MOST NOTABLE WAYS IN WHICH MESSIAH VILLAGE ENHANCES THE LIVES OF ITS RESIDENTS IN RESIDENTIAL LIVING IS THROUGH THE PATHWAYS INSTITUTE FOR LIFELONG LEARNING. THE PATHWAYS INSTITUTE PROVIDES RESIDENTS WITH OPPORTUNITIES TO ENGAGE IN MENTAL, CULTURAL AND SPIRITUAL ACTIVITIES PROMOTING THEIR OVERALL WELLNESS. APPROXIMATELY 60% OF ITS MEMBERS ARE RESIDENTS OF MESSIAH VILLAGE. DESIGN WORK AND PRELIMINARY PRICING WAS ESTABLISHED FOR PHASE 1 OF "PROJECT ENVISION: A 20-YEAR PLAN FOR A MISSION-DRIVEN MESSIAH VILLAGE." THIS PROJECT HAS DEFINED A CLEAR COURSE TO ENSURE MESSIAH VILLAGE MEETS THE CHANGING NEEDS OF FUTURE GENERATIONS OF RESIDENTS WHILE REMAINING FISCALLY STRONG AND MISSION-FOCUSED. THE PROJECT AIMS TO INCREASE RESIDENTIAL LIVING AND ENHANCED LIVING OPTIONS, OFFER SMALLER NURSING NEIGHBORHOODS WITH PRIVATE ROOMS, AND ADD NUMEROUS LIFESTYLE AMENITIES. THE CENTERPIECE OF PHASE ONE IS THE VILLAGE SQUARE, WHICH FEATURES A BLEND OF LIVELY COMMON SPACES THAT PROMOTE VITALITY AND 84 PRIVATE APARTMENTS WITH UNDERGROUND PARKING. IT WILL INCLUDE A WELLNESS CENTER, SPA, ENRICHMENT CENTER, A CAFE AND AN UPSCALE CASUAL RESTAURANT. THE VILLAGE SQUARE WILL NOT ONLY BE THE HUB OF ENRICHMENT ACTIVITY FOR RESIDENTS, BUT IT WILL HOUSE THE PATHWAYS INSTITUTE FOR LIFELONG LEARNING AND MESSIAH LIFEWAYS WELLNESS, WHICH HUNDREDS OF COMMUNITY MEMBERS FROM ACROSS OUR REGION ENJOY ON A WEEKLY BASIS. THE FIRST PHASE OF PROJECT ENVISION WILL ALSO INCLUDE THE ADDITION OF 26 NEW LARGE APARTMENTS IN ENHANCED LIVING AND A NEW ADDITION ONTO NURSING THAT WILL INCLUDE TWO NURSING NEIGHBORHOODS, WHICH SERVE 16 RESIDENTS EACH. WITH THIS ADDITION, MESSIAH LIFEWAYS WILL BE ABLE TO OFFER 64 PRIVATE ACCOMMODATIONS THROUGHOUT ITS NURSING NEIGHBORHOODS. GROUNDBREAKING IS SLATED FOR FALL 2015 WITH THE COMPLETION OF THIS FIRST PHASE PROJECTED THE SUMMER OF 2017. IN LATE MAY 2015, THE WELCOME CENTER STARTED ACCEPTING RESERVATIONS FOR THE NEW APARTMENTS. BY JUNE 30, 2015, 33 RESERVATIONS WERE RECEIVED FOR THE NEW VILLAGE SQUARE APARTMENT HOMES.MARKETING & COMMUNICATION CONTINUED TO MARKET THIS CONTINUING CARE RETIREMENT COMMUNITY THROUGH PRINT ADVERTISEMENTS, DIRECT MAIL, WEB ADVERTISING AND EVENT PROMOTION. A NEW WEBSITE, MESSIAHVILLAGE.ORG, WAS LAUNCHED IN MARCH 2015.AGAIN, MESSIAH VILLAGE WAS RECOGNIZED BY HARRISBURG MAGAZINE AS "SIMPLY THE BEST" LONG-TERM CARE FACILITY IN THE REGION. IN ADDITION, MESSIAH VILLAGE WAS RECOGNIZED BY SUSQUEHANNA STYLE MAGAZINE AS THE BEST RETIREMENT COMMUNITY IN THE "BEST OF THE BURG."TO LEARN MORE, VISIT MESSIAHVILLAGE.ORG. 29601191 1 1 0 0 0 0 0 0 1 1 1 0 0 1 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 148 0 1 636 1 0 0 0 0 0 0 0 0 0 0 X 4 1 0 1 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 PA X X CAROLYN N BURKE 7176974666 100 MT ALLEN DRIVE MECHANICSBURG PA 17055 CURTIS D STUTZMAN CHAIR/PRESIDENT/CEO 10.00 30.00 X X 0 205703 15117 NICOLE M SARVER VICE CHAIR/VP OF CAMPUS OPERATIONS 15.00 25.00 X X 0 114065 7796 CAROLYN N BURKE BEGIN 82014 SECRETARY/TREASURER/CFO 12.00 28.00 X X 0 47148 2176 MONA S ENGLE ML BOARD REPRESENTATIVE 1.00 X 0 0 0 JULIA A STOUT CPA END 62014 SECRETARY/TREASURER/CFO 0.00 0.00 X 0 69840 7379 KRISTEN M HEISEY VP STRATEGIC DVMT & MKTNG 25.00 15.00 X 0 110255 18153 KARL BRUMMER VP OF HR, COMMUNITY SUPPORT 9.00 31.00 X 0 100441 7379 0 647452 58000 0 0 1 0 MESSIAH LIFEWAYS 100 MT ALLEN DRIVE MECHANICSBURG PA 17055 MANAGEMENT SERVICES 5060004 CURA HOSPITALITY PO BOX 827276 PHILADELPHIA PA 19182 DINING SERVICES PROVIDER 2849364 EDWIN L HEIM CO PO BOX 644091 PITTSBURGH PA 15264 CONSTRUCTION SERVICES 2812975 REHABCARE GROUP INC PO BOX 503534 ST LOUIS MO 63105 THERAPY SERVICES 1376772 WAGMAN CONSTRUCTION INC 231 N GEORGE ST YORK PA 17401 CONSTRUCTION SERVICES 950118 27 868413 14670 868413 NET RESIDENT SERVICE 623000 36967495 36967495 36967495 2439664 2439664 280072 11038 269034 269034 269034 10708606 638729 8887405 570009 1821201 68720 1889921 1889921 MEAL REVENUE 722210 489263 489263 BARBER-BEAUTY SHOP 812900 247828 247828 INTERDEPARTMENT CHARGES/REIMB 900099 99497 99497 213399 213399 1049987 43484514 36967495 0 5648606 13592337 10681202 2911135 317511 249508 68003 2391809 1879544 512265 1006499 790932 215567 5165950 105946 5060004 166932 166932 3460939 3460939 1018809 949223 69586 31146 31146 1695423 1695423 9496 4973 4523 28623 20207 8416 1176196 1176196 4786210 4687264 98946 382265 382265 FOOD EXPENSE 1358983 1358983 MEDICAL SUPPLIES 997253 997253 REPAIRS AND MAINTENANCE 430426 25728 404698 NURSING HOME ASSESSMENT 428540 428540 696406 675919 20487 39141753 29601191 9540562 0 3350 3350 4057402 3084336 34131 114927 4693197 4443230 180078 185432 434429 369203 106164977 56160444 46684641 50004533 43675883 51392858 6835442 5780798 106598553 115378667 4264338 3272741 19562169 20020373 27390160 35102628 56329 25720 9346714 9244900 60619710 67666362 X 28503527 30099311 5365334 5335944 12109982 12277050 45978843 47712305 106598553 115378667 X 4342761 -2505575 -103724 X 0 1 X 1 0 X 638778 798306 608801 1168929 868413 4083227 32871100 34076326 34919149 36400080 36967495 175234150 33509878 34874632 35527950 37569009 37835908 179317377 15140 15140 0 15140 15140 179302237 567295 750098 1058102 1319012 2719736 6414243 567295 750098 1058102 1319012 2719736 6414243 762571 969467 761517 1065272 1049987 4608814 34839744 36594197 37347569 39953293 41605631 190340434 0.94200 0.95300 0.03370 0.02270 X SCHEDULE A, PART III, LINE 12, EXPLANATION OF OTHER INCOME: OTHER REVENUE - 2010 AMOUNT: $ 236,437. 2011 AMOUNT: $ 293,111. 2012 AMOUNT: $ 196,073. 2013 AMOUNT: $ 274,758. 2014 AMOUNT: $ 129,439. MEAL REVENUE - 2010 AMOUNT: $ 351,846. 2011 AMOUNT: $ 364,570. 2012 AMOUNT: $ 394,285. 2013 AMOUNT: $ 453,062. 2014 AMOUNT: $ 489,263. BARBER-BEAUTY - 2013 AMOUNT: $ 212,673. 2014 AMOUNT: $ 247,828. PATHWAYS - 2010 AMOUNT: $ 95,466. 2011 AMOUNT: $ 93,300. 2012 AMOUNT: $ 84,960. 2013 AMOUNT: $ 81,637. 2014 AMOUNT: $ 83,960. INTERDEPENDENT CHARGES/REIMBURSEMENTS - 2010 AMOUNT: $ 78,822. 2011 AMOUNT: $ 218,486. 2012 AMOUNT: $ 86,199. 2013 AMOUNT: $ 43,142. 2014 AMOUNT: $ 99,497. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 X 17475317 167068 686159 886688 17441856 15216966 313858 2691669 747176 17475317 13995438 232566 1667684 678722 15216966 13846675 498792 148227 498256 13995438 11538544 412666 2312389 416924 13846675 1.00000 0 0 1687156 1687156 71491138 34331118 37160020 24795319 18244295 6551024 8191364 3585031 4606333 50004533 DEFERRED FINANCING COSTS, NET 1039830 CASH SURRENDER VALUE OF LIFE INSURANCE 695164 SPLIT INTEREST AGREEMENT 68679 INTERCOMPANY RECEIVABLES 3977125 5780798 DERIVATIVE FINANCIAL INSTRUMENT 1097233 REFUNDABLE ENTRANCE FEES 7607225 SPLIT INTEREST OBLIGATIONS 540442 9244900 X 40549296 -2505575 -273749 -2779324 43328620 166932 -11038 155894 43484514 38815834 11038 11038 38804796 166932 170025 336957 39141753 PART IV, LINE 2B: MESSIAH LIFEWAYS AT MESSIAH VILLAGE MAINTAINS TRUST FUND ACCOUNTS, PRIMARILY FOR ANY RESIDENT WHO HAS EXHAUSTED THEIR FUNDS AND ARE BENEVOLENT OR ON MEDICAL ASSISTANCE. EACH RESIDENT HAS AN INDIVIDUAL BANK ACCOUNT IN HIS OR HER NAME AND ANY SOCIAL SECURITY OR PENSION MONEY THEY RECEIVE IS DEPOSITED INTO THAT ACCOUNT. FUNDS IN THE INDIVIDUAL RESIDENT ACCOUNTS ARE THEN SWEPT OR PULLED INTO A MESSIAH VILLAGE ACCOUNT AND THE APPROPRIATE FUNDS ARE APPLIED TO THE COST OF THE RESIDENTS' CARE. ANY REMAINING FUNDS ARE AVAILABLE FOR THE RESIDENTS' PERSONAL USE. THE VILLAGE ALSO MAINTAINS AN ESCROW ACCOUNT WHICH HOLDS FUNDS ON DEPOSIT FROM PROSPECTIVE RESIDENTS FOR RESIDENTIAL LIVING UNITS UNDER CONSTRUCTION. FUNDS ARE HELD IN THE ESCROW ACCOUNT UNTIL 50% OF ANTICIPATED ENTRANCE FEES ARE RECEIVED AND THE VILLAGE RECEIVES PERMISSION FROM THE DEPARTMENT OF INSURANCE TO TRANSFER THE FUNDS TO THE VILLAGE'S OPERATING ACCOUNT AND APPLY THEM TO THE RESIDENT'S ENTRANCE FEE. IF THE PROSPECTIVE RESIDENT CHANGES HIS OR HER MIND AND WANTS THE DEPOSIT BACK, THE FUNDS ARE RETURNED TO THEM. PART V, LINE 4: INVESTMENT RETURN ON THE PERMANENTLY RESTRICTED ENDOWMENT FUNDS ARE AVAILABLE FOR TRANSFER TO OPERATIONS TO HELP OFFSET CHARITY CARE. THE INVESTMENT POLICY OF MESSIAH VILLAGE ESTABLISHES THE METHOD FOR DETERMINING THE AMOUNT THAT CAN BE TRANSFERRED WHICH MUST BE APPROVED BY THE BOARD PRIOR TO THE BEGINNING OF THE YEAR. PART X, LINE 2: THE CORPORATION ACCOUNTS FOR UNCERTAINTY IN INCOME TAXES BY PRESCRIBING A RECOGNITION THRESHOLD OF MORE-LIKELY-THAN-NOT TO BE SUSTAINED UPON EXAMINATION BY THE APPROPRIATE TAXING AUTHORITY. MEASUREMENT OF THE TAX UNCERTAINTY OCCURS IF THE RECOGNITION THRESHOLD HAS BEEN MET. MANAGEMENT DETERMINED THAT THERE WERE NO TAX UNCERTAINTIES THAT MET THE RECOGNITION THRESHOLD IN 2015 AND 2014. THE FEDERAL RETURNS OF ORGANIZATIONS EXEMPT FROM INCOME TAX FOR YEARS ENDED PRIOR TO JUNE 30, 2011 ARE NO LONGER SUBJECT TO EXAMINATION BY THE INTERNAL REVENUE SERVICE. PART XI, LINE 2D - OTHER ADJUSTMENTS: CHANGE IN VALUE OF SPLIT-INTEREST OBLIGATIONS -39,388. CHANGE IN FAIR VALUE OF DERIVATIVE FINANCIAL INSTRUMENT -59,376. CHANGE IN CASH SURRENDER VALUE OF LIFE INSURANCE -4,960. LOSS ON REFINANCING OF DEBT -170,025. PART XI, LINE 4B - OTHER ADJUSTMENTS: RENTAL EXPENSES -11,038. FUNDRAISING EVENT EXPENSES PART XII, LINE 2D - OTHER ADJUSTMENTS: RENTAL EXPENSES 11,038. FUNDRAISING EVENT EXPENSES PART XII, LINE 4B - OTHER ADJUSTMENTS: LOSS ON REFINANCING OF DEBT 170,025. X 1 1 0 0 0 0 0 0 0 0 0 CURTIS D STUTZMAN CHAIR/PRESIDENT/CEO 0 205703 0 0 0 0 0 1716 0 13401 0 220820 0 0 PART I, LINE 1A PER EMPLOYMENT CONTRACT, CURTIS STUTZMAN WAS REIMBURSED $15,165 IN CLOSING COSTS INCURRED IN THE SALE OF HIS FORMER RESIDENCE IN VIRGINIA. THE GROSSED UP AMOUNT OF $26,737 WAS PAID AS TAXABLE WAGES ON 1/10/14. PART I, LINE 1B THIS IS NOT A TYPICAL TRANSACTION FOR MESSIAH LIFEWAYS; IT WAS INCLUDED AS PART OF THE EMPLOYEE CONTRACT, WHICH WAS APPROVED BY THE BOARD OF DIRECTORS. PART I, LINE 3 THE PRESIDENT'S COMPENSATION IS DETERMINED BY MESSIAH LIFEWAYS (RELATED ORGANIZATION) USING THE FOLLOWING METHOD: COMPENSATION SURVEY/STUDY, COMPENSATION COMMITTEE, BOARD/COMPENSATION COMMITTEE APPROVED. A CUMBERLAND COUNTY MUNICIPAL AUTHORITY 236003119 230614CX5 2008-02-14 10005536 CCRC RENOVATION AND EXPANSION 0 0 0 B WEST SHORE AREA AUTHORITY 232179305 95581QAL3 2015-05-01 25999920 SEE PART VI 0 0 0 A 870000 10320164 1020624 713857 200000 8379157 6451 75 2010 0 0 1 1 B 26000051 1908405 519998 6000 17554941 6010706 1 0 0 1 A 0 1 1 1 0 0.00100 0.00000 0.00100 0 0 1 B 0 1 1 1 0 0.00000 0.00000 0.00000 0 0 1 A 0 0 0 1 0 0 0 0 1 B 0 1 0 0 0 0 0 0 1 A 1 B 1 DATE REBATE COMPUTATION PERFORMED ISSUER NAME: CUMBERLAND COUNTY MUNICIPAL AUTHORITY DATE THE REBATE COMPUTATION WAS PERFORMED: 02/14/2013 SCHEDULE K, PART II, LINE 3: TOTAL PROCEEDS OF ISSUE FOR BONDS A & B REPORTED ON PART II LINE 3 EXCEED THE ISSUE PRICE LISTED IN PART I DUE TO INVESTMENT EARNINGS. SCHEDULE K, PART I, COLUMN F, BOND B PURPOSE OF BOND: REFINANCE SERIES B 2008 AND 2009 BANK QUALIFIED DEBT; CAPITAL RENOVATIONS FORM 990, PART VI, SECTION A, LINE 3 REHAB CARE IS UNDER CONTRACT TO PERFORM ALL REHABILITATIVE SERVICES FOR RESIDENTS OF MESSIAH HOME AND IS UNDER THE SUPERVISION OF THE VP OF CAMPUS OPERATIONS. CURA HOSPITALITY IS UNDER CONTRACT TO PERFORM ALL DINING SERVICES FOR MESSIAH HOME AND IS UNDER THE SUPERVISION OF THE VP OF CAMPUS OPERATIONS. THERE IS A MANAGEMENT AGREEMENT BETWEEN MESSIAH HOME AND ITS PARENT, MESSIAH LIFEWAYS, FOR CERTAIN MANAGEMENT FUNCTIONS, INCLUDING ACCOUNTING, HR, ADMINISTRATION, INFORMATION SERVICES, ETC. FORM 990, PART VI, SECTION A, LINE 6 MESSIAH LIFEWAYS ("ML") IS THE SOLE MEMBER OF MESSIAH HOME. FORM 990, PART VI, SECTION A, LINE 7A MESSIAH LIFEWAYS IS THE SOLE MEMBER OF MESSIAH HOME AND ELECTS THE BOARD OF DIRECTORS. THE CEO OF ML SERVES AS CHAIR OF THE BOARD AND THE CFO OF ML SERVES AS SECRETARY-TREASURER ACCORDING TO BY-LAWS. A VICE CHAIR IS ELECTED ANNUALLY FROM THE REMAINING BOARD MEMBERS WHICH CURRENTLY INCLUDE 1 INDEPENDENT MEMBER AND 1 ADDITIONAL OFFICER OF ML. FORM 990, PART VI, SECTION A, LINE 7B SOLE MEMBER, MESSIAH LIFEWAYS, MUST APPROVE CERTAIN TRANSACTIONS (IE BORROWING, BUDGETS, PURCHASES, FUNDRAISING, CHANGE IN OPERATIONS ETC), AMENDMENTS TO ARTICLES AND BY LAWS ETC. AS LISTED IN ARTICLE IV SECTION 4.2. FORM 990, PART VI, SECTION B, LINE 11 MANAGEMENT REVIEWED THE FORM 990 IN DETAIL. THE FORM 990 WAS THEN POSTED ON THE BOARD WEBSITE FOR MEMBER ACCESS AND REVIEW. DURING THEIR NOVEMBER MEETING OF THE FINANCE & SHARED SERVICES COMMITTEE OF THE MESSIAH LIFEWAYS BOARD, THE FORMS 990 OF MESSIAH LIFEWAYS AND EACH OF ITS CONTROLLED ENTITIES WERE REVIEWED BEFORE BEING FILED WITH THE IRS. THE REVIEW WAS LED BY THE CFO. FORM 990, PART VI, SECTION B, LINE 12C ANNUALLY BOARD MEMBERS AND EXECUTIVE TEAM AFFIRM IN WRITING THEIR AWARENESS AND COMPLIANCE WITH THE CODE OF ETHICS AND CONDUCT POLICY AND CONFLICT OF INTEREST POLICY. ALL ARE ASKED TO DISCLOSE ANY CONFLICTS OF INTEREST AND AGREE TO REFRAIN FROM PARTICIPATING IN ANY DELIBERATIONS, DECISIONS, OR VOTING RELATING TO THE MATTER. THE POLICY IS MONITORED BY MANAGEMENT OF MESSIAH LIFEWAYS (KARL BRUMMER, VP OF HR, CSS & ENRICHMENT) BY VERIFYING ALL FORMS ARE COMPLETED AND SIGNED ANNUALLY. ANY VIOLATIONS OF THE POLICY WILL BE HANDLED AS DEEMED NECESSARY IN ACCORDANCE WITH THE POLICY. ANY MEMBER WHO INTENTIONALLY VIOLATES THE POLICY MAY BE REMOVED FROM THE BOARD. FORM 990, PART VI, SECTION B, LINE 15 THE MESSIAH LIFEWAYS BOARD OF DIRECTORS HAS A "PRESIDENTIAL RELATIONS COMMITTEE" WHICH CONDUCTS AN ANNUAL REVIEW OF THE PRESIDENT. THIS COMMITTEE HAS THE SAME COMPOSITION AS THE EXECUTIVE COMMITTEE. IN ADDITION TO ESTABLISHING THIS COMMITTEE THE BOARD HAS ESTABLISHED A POLICY TO GUIDE THE WORK OF THE COMMITTEE. THE PURPOSE OF THE COMMITTEE IS TO CONDUCT THE ANNUAL PERFORMANCE EVALUATION OF THE PRESIDENT, REVIEW PAST GOALS AND ESTABLISH FUTURE GOALS, SHARE A SUMMARY OF THE EVALUATION WITH THE FULL BOARD, AND RECOMMEND TERMS OF COMPENSATION TO THE FULL BOARD. IN DETERMINING COMPENSATION, THE BOARD REVIEWS SALARY DATA FROM VARIOUS SOURCES SUCH AS TRADE ASSOCIATION AND HEALTHCARE ALLIANCES. REGARDING OTHER OFFICERS OF THE ORGANIZATION, THE PRESIDENT CONDUCTS AN ANNUAL PERFORMANCE EVALUATION. IN DETERMINING THE OFFICERS' COMPENSATION, THE PRESIDENT REVIEWS SALARY DATA FROM APPROPRIATE TRADE ASSOCIATIONS AND ALLIANCES. THE BOARD OF DIRECTORS GIVES FINAL APPROVAL OF THE COMPENSATION OF THESE OFFICERS INDIRECTLY THROUGH REVIEW AND APPROVAL OF THE ANNUAL BUDGET. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION'S GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE AVAILABLE FOR INSPECTION UPON REQUEST. THE ORGANIZATION'S FINANCIAL STATEMENTS ARE AVAILABLE ON ITS WEBSITE (WWW.MESSIAHLIFEWAYS.ORG), AND UPON REQUEST. ADDITIONALLY THE FINANCIAL STATEMENTS ARE INCORPORATED INTO THE DISCLOSURE STATEMENT PREPARED FOR MESSIAH HOME AND MESSIAH FAMILY SERVICES, AS REQUIRED BY THE DEPARTMENT OF INSURANCE. MESSIAH ALSO POSTS THE AUDITED STATEMENTS OUT TO THE EMMA WEBSITE (WWW.EMMA.MSRB.ORG) FORM 990, PART XI, LINE 9: CHANGE IN VALUE OF SPLIT-INTEREST OBLIGATIONS -39,388. CHANGE IN FAIR VALUE OF DERIVATIVE FINANCIAL INSTRUMENT -59,376. CHANGE IN CASH SURRENDER VALUE OF LIFE INSURANCE -4,960. MESSIAH FAMILY SERVICES DBA MESSIAH LIFEWAYS AT MOUNT JOY COUNTRY HOMES 106 BAYBERRY DRIVE MOUNT JOY PA 17552 231484171 HOUSING FOR SENIOR ADULTS PA 501(C)(3) 9 MESSIAH LIFEWAYS 0 CAPITAL AREA HEALTH ASSOCIATES 100 MOUNT ALLEN DRIVE MECHANICSBURG PA 17055 202199588 SENIOR HEALTHCARE PA 501(C)(3) 11A MESSIAH HOME DBA MESSIAH LIFEWAYS AT MESSIAH VILLLAGE 1 MESSIAH LIFEWAYS COMMUNITY SUPPORT SERVICES 100 MOUNT ALLEN DRIVE MECHANICSBURG PA 17055 320375859 SENIOR HEALTHCARE PA 501(C)(3) 9 MESSIAH LIFEWAYS 0 MESSIAH LIFEWAYS 100 MOUNT ALLEN DRIVE MECHANICSBURG PA 17055 352443724 SENIOR HEALTHCARE PA 501(C)(3) 11B N/A 0 1 0 0 1 0 0 0 0 0 1 0 0 1 1 1 1 0 0 0 CAPITAL AREA HEALTH ASSOCIATES D 962500 COST CAPITAL AREA HEALTH ASSOCIATES A 28800 COST