2011-05-12T10:32:23-05:00 2010-12-31 O'CONNOR DAVIES MUNNS & DOBBINS LLP 500 MAMARONECK AVENUE HARRISON NY 105281633 990 2010-01-01 412055310 HUMANE EDUCATION ADVOCATES REACHING TEACHERS (HEART) HUMA 9143810309 PO BOX 738 MAMARONECK NY 10543 BRAD GOLDBERG 9143810309 2011-05-12 1 9143818900 2010 2016-02-24 21:20:13Z BRAD GOLDBERG PO BOX 738 MAMARONECK NY 10543 424085 0 X WWW.TEACHHUMANE.ORG X 2001 NY SEE SCHEDULE O FOR DESCRIPTION OF MOST SIGNIFICANT ACTIVITIES. 6 6 13 6 0 0 336738 424085 0 0 0 0 8057 0 344795 424085 0 0 0 0 308109 375741 3920 0 25126 31856 38008 343885 413749 910 10336 122199 132219 316 0 121883 132219 X SEE SCHEDULE O 0 0 373932 OUR OVERARCHING PROGRAM IS THE HUMANE LIVING PROGRAM, WHICH IS (1) AN INTEGRATED CHARACTER AND HUMANE EDUCATION INSTRUCTIONAL PROGRAM FOR STUDENTS OF ALL AGES, IN-SCHOOL, AFTER-SCHOOL AND IN SUMMER CAMPS; 2) TEACHER TRAINING WORKSHOPS AND HUMANE EDUCATION CONSULTING FOR SCHOOLTEACHERS, LEGAL PROFESSIONALS AND CONCERNED CITIZENS TO PROVIDE THEM WITH THE TOOLS TO IMPLEMENT THIS INSTRUCTION INTO CLASSROOM LESSONS; AND 3) HUMANE EDUCATION CURRICULUM DEVELOPMENT FOR GRADES K-12.HEART DEVOTED SIGNIFICANT TIME AND ENERGY IN 2010 TO EXPANDING ITS K-12 CURRICULA. THESE NEW LESSONS WERE NOT ONLY IMPLEMENTED DIRECTLY BY HEART'S STAFF OF INSTRUCTORS, BUT ALSO SHARED WITH EDUCATORS TO ASSIST THEM IN INTEGRATING HUMANE EDUCATION INTO THEIR DAILY CLASSROOM LESSONS. WE PREPARED A 20 LESSON ENVIRONMENTAL EDUCATION ELECTIVE FOR MIDDLE AND HIGH SCHOOL STUDENTS CONSISTING OF FIVE PODS OF FOUR INDIVIDUAL LESSONS EACH IN THE FIVE AREAS OF TRANSPORTATION, FOOD, WASTE, AIR AND WATER. THE MAJOR HIGH SCHOOL PROGRAM THAT WE DEVELOPED IN 2010 WAS A COMPREHENSIVE HUMANE EDUCATION ELECTIVE, WHICH HAS BOTH LESSON PLANS AND A STEP-BY-STEP DESCRIPTION OF ACTIVITIES THAT GUIDES TEACHERS THROUGH MULTI-MEDIA, MULTI-MODAL ACTIVITIES. THE ELECTIVE IS GROUPED BY PROGRESSIVELY THEMED PODS THAT BRING STUDENTS ALL THE WAY FROM DEFINING WHAT IT MEANS TO BE HUMAN TO ADMIRING HEROIC SOULS WHO TEACH OTHERS TO BE HUMANE. IN THE FIRST POD, "INHERENT DIGNITY," THE LESSONS ESTABLISH AND QUESTION THE ROLE THAT HUMANS HAVE COME TO HAVE AMONG ONE ANOTHER, OTHER ANIMALS AND WITH OUR RESOURCES. IN "WHO DECIDES?" THE SECOND UNIT EXPLORES THE DISPARITY IN POWER AND RESOURCE DISTRIBUTION THROUGHOUT THE WORLD, INVESTIGATING THE QUESTION OF WHO DECIDES, WHAT WE CAN EAT, WHO SUFFERS, WHOSE RIGHTS ARE RESPECTED, AND WHOSE AREN'T, THROUGH A VARIETY OF LENSES. IN THE THIRD UNIT, "THE HIDDEN STORY," STUDENTS LEARN TO LOOK CRITICALLY AT MANY OF THEIR DAY-TO- DAY CONSUMER CHOICES TO CONSIDER THE HIDDEN COSTS THESE POSE TO OTHER PEOPLE, OTHER SPECIES AND THE PLANET. IN THE FOURTH POD, "NECESSITY VS. LUXURY," STUDENTS CONSIDER THE TRUE COST OF MATERIAL GOODS. THE FINAL UNIT, "ADVOCACY," EXPLORES HUMANE ENERGIZING STORIES THAT REMIND STUDENTS THAT THEY ARE PARTICIPANTS AS WELL AS OBSERVERS. FOR OUR K-3 CURRICULUM, WE BROADENED THE SECOND EARLY ELEMENTARY CURRICULUM WE DEVELOPED CALLED TAKING CARE OF ANIMALS AND EACH OTHER, WHICH EXAMINES STRATEGIES FOR TAKING CARE OF COMPANION ANIMALS AS WELL AS OTHER PEOPLE. WE ADDED AN ANTI-BULLYING COMPONENT AND SESSIONS ON CONFLICT RESOLUTION TECHNIQUES AND ANGER MANAGEMENT. THE ENHANCED PROGRAM INCORPORATES A ONE SESSION SERVICE LEARNING PROJECT INVOLVING LEARNING ABOUT ANIMAL SHELTERS, DISCUSSING THE REASONS THAT DOGS AND CATS END UP IN SHELTERS AND MAKING CAT TOYS FOR SHELTER CATS TO HELP THEM STAY ACTIVE AND HEALTHY. WE WORKED FOR THE FIRST TIME AT A SPECIAL NEEDS SCHOOL WITH 7 IN-SCHOOL CLASSES AND ONE 2-HOUR AFTER-SCHOOL PROGRAM. THIS ENGAGEMENT RESULTED IN SIGNIFICANT ADAPTATION OF OUR CURRICULUM AND DEVELOPMENT OF NEW CURRICULUM SINCE THE MIDDLE SCHOOL AGED STUDENTS WE TAUGHT HAD A WIDE RANGE OF ISSUES, INCLUDING LIMITED MOTOR SKILLS, COGNITIVE DELAYS AND INABILITY TO READ, AND DIFFICULTY WITH TASKS THAT INVOLVED ABSTRACT THINKING, UNDERSTANDING EACH OTHER, SYNTHESIZING, AND CREATIVITY. THE PROGRAM DEVELOPMENT WE DID ON THIS FRONT WAS AN EXCITING CURRICULAR ADVANCEMENT FOR HEART SINCE IT HAS MADE OUR LESSONS EVEN MORE ACCESSIBLE TO A RANGE OF SPECIAL NEEDS STUDENTS AND MORE SUITABLE FOR ENGLISH LANGUAGE LEARNERS AS WELL.EARLY IN 2010 WE ADDED A MAJOR COMPONENT TO OUR CHICAGO PROGRAMMING BY ADDING THE ETHIC PROJECT TO OUR PROGRAM. THE ETHIC PROJECT IS AN AFTER SCHOOL, IN-CLASS WORKSHOP AND SUMMER AND SPRING BREAK PROGRAM FOR MIDDLE AND HIGH SCHOOL STUDENTS THAT IS SPECIFICALLY AIMED AT VIOLENCE PREVENTION AND INTERVENTION. THE ETHIC PROJECT'S FOCUS IS ON PROJECT-BASED ACTIVITIES WHICH EMPOWER STUDENTS BY HELPING THEM UNDERSTAND THEY CAN CREATE POSITIVE CHANGE IN THE WORLD. HEART EXPANDED THE ETHIC PROJECT TO ITS NEW YORK PROGRAMMING AS WELL. 373932 1 1 0 1 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 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 1 13 1 0 0 0 0 0 0 0 0 0 0 X 6 6 0 0 0 0 0 0 0 1 1 0 1 1 1 1 1 1 0 1 1 0 0 NY IL CT X X MR BRADLEY GOLDBERG 9143810309 141 HALSTEAD AVENUE SUITE 301 MAMARONECK NY 10543 BRAD GOLDBERG 1.00 X X 0 0 0 TRACEY COLLINS 1.00 X 0 0 0 ROSEMARY LEE 1.00 X 0 0 0 SHERYL PIPE 1.00 X X 0 0 0 LENA TOWNSEND 1.00 X 0 0 0 ZOE WEIL 1.00 X 0 0 0 MEENA ALAGAPPAN ESQ 40.00 X 78015 0 2340 78015 0 2340 0 0 0 0 0 51366 372719 424085 424085 0 0 0 78015 64362 5851 7802 243695 231195 12500 3122 3122 23224 23224 27685 27305 163 217 1429 1000 143 286 4070 4070 1520 1520 5637 3963 564 1110 4669 3680 467 522 2186 1530 219 437 5478 2739 1972 767 PROGRAM MATERIALS 8595 8595 MARKETING 2000 1000 1000 MISCELLANEOUS 804 563 80 161 LICENSES AND FEES 803 562 80 161 CURRICULUM DEVELOPMENT 457 320 46 91 360 252 36 72 413749 373932 14691 25126 49703 45232 71344 81373 1152 5614 122199 132219 316 316 0 X 96883 107219 25000 25000 121883 132219 122199 132219 10336 X 0 1 0 X 0 X 146827 246258 253608 336738 424085 1407516 146827 246258 253608 336738 424085 1407516 669962 737554 2 2 17753 18503 6805 8057 51118 1458636 0.50560 0.43030 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1520 1520 371031 372551 74510 18628 0 0 41892 51637 68777 74510 236816 355224 3481 3631 2880 1520 11512 10473 12909 17194 18628 59204 88806 EXPLANATION OF OTHER LOBBYING ACTIVITIES: PART II-B, LINE 1I: OUR FOCUS IN THE PAST YEAR WAS ON GARNERING SUPPORT FOR TWO HEART-INSPIRED STATE LEVEL LEGISLATIVE INITIATIVES: 1) NYS ASSEMBLY MEMBER BRIAN KAVANAGH'S BILL A. 5962, WHICH INCLUDES A 2-HOUR HUMANE EDUCATION TEACHER TRAINING CERTIFICATION REQUIREMENT, A NOTIFICATION PROVISION FROM THE STATE DEPARTMENT OF EDUCATION ABOUT THE HUMANE EDUCATION STATUTE, AND A PROVISION AUTHORIZING GRANTS TO TEACHERS FOR COSTS INCURRED WITH HUMANE EDUCATION TRAINING; AND 2) NYS ASSEMBLY MEMBER LINDA ROSENTHAL'S BILL A. 1925 THAT WOULD EXPAND THE HUMANE EDUCATION MANDATE TO MIDDLE SCHOOLS AND HIGH SCHOOLS, INSTEAD OF JUST ELEMENTARY SCHOOLS, SUPPORTING MANDATORY HUMANE EDUCATION AT ALL GRADE LEVELS. 0 424085 413749 10336 0 10336 424085 0 424085 0 424085 413749 0 413749 0 413749 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: HEART IS RECOGNIZED AS TAX EXEMPT PURSUANT TO SECTION 501(C) (3) OF THE INTERNAL REVENUE CODE. HEART RECOGNIZES THE EFFECT OF TAX POSITIONS ONLY WHEN THEY ARE MORE LIKELY THAN NOT OF BEING SUSTAINED. MANAGEMENT HAS DETERMINED THAT HEART HAD NO UNCERTAIN TAX POSITIONS THAT WOULD REQUIRE FINANCIAL STATEMENT RECOGNITION. HEART IS NO LONGER SUBJECT TO AUDITS BY THE APPLICABLE TAXING JURISDICTIONS FOR PERIODS PRIOR TO DECEMBER 31, 2007. ORGANIZATION MISSION STATEMENT FORM 990, PART I, LINE 1 HEART'S MOST SIGNIFICANT ACTIVITIES IN 2010 WERE, IN ORDER OF EMPHASIS, ITS EXTENSIVE STUDENT PROGRAMS, TEACHER TRAINING WORKSHOPS, AND ADVOCACY EFFORTS. STUDENT PROGRAMS: IN NY, WE COMPLETED MULTI-LESSON SEMESTER-LONG PROGRAMS AT THE FOLLOWING SCHOOLS: PS 65 IN THE BRONX; PS 36 IN THE BRONX; PS 119 IN THE BRONX; MS 127 IN THE BRONX; DE WITT CLINTON HIGH SCHOOL IN THE BRONX; MOTHER CABRINI HIGH SCHOOL IN MANHATTAN; PS 15 IN BROOKLYN; PS 171 IN MANHATTAN; BERKELEY CARROLL IN BROOKLYN; BIRCH WATHEN LENOX IN MANHATTAN; IS 126 IN QUEENS; LONG ISLAND CITY HIGH SCHOOL IN QUEENS; PS 206 IN QUEENS; PS 193 IN QUEENS; SUNSET PARK HIGH SCHOOL IN BROOKLYN; PS 98 IN QUEENS; MAMARONECK AVENUE ELEMENTARY SCHOOL IN WESTCHESTER; PS 8 IN BROOKLYN; AND PS 157 IN BROOKLYN. WE ALSO IMPLEMENTED OUR 13 WEEK SERVICE LEARNING CURRICULUM AT PS 36, PS 65, PS 15 AND PS 171. IN CHICAGO WE IMPLEMENTED OUR PROGRAMS AT THE FOLLOWING SCHOOLS: MARQUETTE ELEMENTARY; STOCKTON ELEMENTARY; HANCOCK HIGH; ORR HIGH SCHOOL; JUNGMAN ELEMENTARY; UPLIFT ELEMENTARY; PECK ELEMENTARY; QUEEN OF ANGELS; BYRNE ELEMENTARY; AND STONE ACADEMY. WE CONDUCTED SUMMER PROGRAMS WITH A STRONG EXPERIENTIAL LEARNING COMPONENT AT POINT COMMUNITY DEVELOPMENT CORPORATION, PARK SLOPE DAY CAMP, AND FRIENDS SEMINARY. STUDENTS LEARNED ABOUT VARIOUS ANIMAL WELFARE, HUMAN RIGHTS AND ENVIRONMENTAL PROTECTION ISSUES AND PARTICIPATED IN RELATED HANDS-ON PROJECT-BASED ACTIVITIES. WE ALSO WORKED WITH THE CHICAGO AMERICAN INDIAN EDUCATION PROGRAM ON A SERVICE LEARNING PROJECT WITH NATIVE AMERICAN YOUTH. IN 2010 WE SIGNIFICANTLY EXPANDED OUR AFTER-SCHOOL PROGRAMMING AS WELL. WE BROADENED OUR REACH SUBSTANTIALLY BY WORKING WITH A CORE SET OF LOCAL ORGANIZATIONS THAT REPRESENT THE SUBJECT AREAS OF HUMANE EDUCATION TO OFFER OUR PROGRAMS TO THEIR PARTICIPANTS. HEART PARTNERED WITH, AMONG OTHERS, GOOD SHEPHERD SERVICES, MORNINGSIDE CENTER FOR SOCIAL RESPONSIBILITY, HUNTS POINT ALLIANCE FOR CHILDREN, CITY YEAR, BIG BROTHERS BIG SISTERS, ANIMAL HAVEN, MCBURNEY YMCA AND COMMUNITIES IN SCHOOLS. WE CONDUCTED THE FOLLOWING AFTER-SCHOOL PROGRAMS IN NY: 1) HUNTS POINT ALLIANCE FOR CHILDREN AT MS 424 IN THE BRONX FOR 6TH-8TH GRADERS; 2) THE POINT CDC IN THE BRONX FOR 2ND-4TH GRADERS; 3) JVL WILDCAT ACADEMY CHARTER SCHOOL IN THE BRONX FOR HIGH SCHOOL STUDENTS; 4) PS 24 IN BROOKLYN FOR 4TH GRADERS; 5) PS 27 IN BROOKLYN FOR 3RD GRADERS; 6) ADLAI STEVENSON HIGH SCHOOL IN THE BRONX FOR 9TH - 12TH GRADERS; 7) 82ND STREET ACADEMICS AT PS 69 IN QUEENS FOR K-3RD GRADERS; 8) MS 127 IN THE BRONX FOR 6TH-8TH GRADERS; 9) PS 721 IN QUEENS FOR 6TH-8TH GRADERS; AND 10) MAMARONECK AVENUE ELEMENTARY SCHOOL IN WESTCHESTER FOR 5TH GRADERS. IN ADDITION, IN CHICAGO WE WORKED WITH THE ACADEMY FOR GLOBAL CITIZENSHIP'S AFTER-SCHOOL PROGRAM AND NORTHBROOK'S AFTER-SCHOOL PROGRAM. TEACHER TRAINING: IN ADDITION TO BROADENING OUR PROGRAMS FOR STUDENTS, HEART INCREASED HUMANE EDUCATION TRAINING FOR EDUCATORS BY CONDUCTING WORKSHOPS FOR TEACHERS AT LOCAL SCHOOLS IN NYC AND PROVIDING CONSULTING SERVICES TO TEACHERS TO HELP THEM IMPLEMENT HUMANE EDUCATION INTO THEIR DAILY LESSONS. WE ALSO EXPANDED OUR NATIONAL HUMANE EDUCATION PROJECT WITH THE AMERICAN BAR ASSOCIATION (ABA) FROM NY AND DC TO CHICAGO AND BALTIMORE WHERE WE TRAINED VOLUNTEER ABA ATTORNEYS AND LAW STUDENTS TO DELIVER OUR LESSONS DIRECTLY TO STUDENTS AT LOCAL ELEMENTARY SCHOOLS. WE CONDUCTED SUCCESSFUL DAY-LONG TRAINING WORKSHOPS FOR ABA VOLUNTEERS AT NORTHWESTERN UNIVERSITY SCHOOL OF LAW AND THE UNIVERSITY OF MARYLAND LAW SCHOOL. WE INTEND TO CONTINUE TO EXPAND THIS SERVICE PROJECT GEOGRAPHICALLY OVER TIME. WE CONDUCTED A SUCCESSFUL DAY-LONG WORKSHOP FOR COPAL (COALITION TO PROTECT ANIMALS LOCALLY) IN MA TO TRAIN PARTICIPANTS TO TEACH A 4-LESSON PROGRAM ON ANIMAL PROTECTION ISSUES TO UPPER ELEMENTARY STUDENTS. THE ENTIRE SESSION WAS RECORDED BY ANDOVER PUBLIC ACCESS TELEVISION. FINALLY, WE RECEIVED APPROVAL IN 2010 FROM THE NYC DEPARTMENT OF EDUCATION TO CONDUCT OUR SECOND CREDIT-BEARING PROFESSIONAL DEVELOPMENT COURSE IN HUMANE EDUCATION FOR SCHOOLTEACHERS THROUGH ITS AFTER SCHOOL PROFESSIONAL DEVELOPMENT PROGRAM. THIS 36-HOUR COURSE TO BE OFFERED IN 2011 QUALIFIES TOWARD A SALARY DIFFERENTIAL FOR NYC SCHOOLTEACHERS. ADVOCACY HEART WAS ACTIVE IN ADVOCATING FOR HUMANE EDUCATION IN SCHOOLS. OUR FOCUS IN THE PAST YEAR WAS ON GARNERING SUPPORT FOR TWO HEART-INSPIRED STATE LEVEL LEGISLATIVE INITIATIVES: 1) NYS ASSEMBLY MEMBER BRIAN KAVANAGH'S BILL A. 5962, WHICH INCLUDES A 2-HOUR HUMANE EDUCATION TEACHER TRAINING CERTIFICATION REQUIREMENT, A NOTIFICATION PROVISION FROM THE STATE DEPARTMENT OF EDUCATION ABOUT THE HUMANE EDUCATION STATUTE, AND A PROVISION AUTHORIZING GRANTS TO TEACHERS FOR COSTS INCURRED WITH HUMANE EDUCATION TRAINING; AND 2) NYS ASSEMBLY MEMBER LINDA ROSENTHAL'S BILL A. 1925 THAT WOULD EXPAND THE HUMANE EDUCATION MANDATE TO MIDDLE SCHOOLS AND HIGH SCHOOLS, INSTEAD OF JUST ELEMENTARY SCHOOLS, SUPPORTING MANDATORY HUMANE EDUCATION AT ALL GRADE LEVELS. ORGANIZATION MISSION STATEMENT FORM 990, PART III, LINE 1 HEART'S MISSION IS TO FOSTER COMPASSION AND RESPECT FOR OTHER PEOPLE, ANIMALS AND THE ENVIRONMENT BY EDUCATING YOUTH AND TEACHERS IN HUMANE EDUCATION. OUR SERVICES ARE SPECIALLY DESIGNED TO PROVIDE A COMBINED FOCUS ON HUMAN RIGHTS, ANIMAL PROTECTION AND ENVIRONMENTAL ETHICS. HEART IS DEDICATED TO HELPING SCHOOLS COMPLY WITH STATE HUMANE EDUCATION LAWS, ESPECIALLY SECTION 809 OF NEW YORK STATE'S EDUCATION LAW, WHICH REQUIRES THAT ALL PUBLIC ELEMENTARY SCHOOLS OFFER INSTRUCTION IN THE HUMANE TREATMENT OF ANIMALS. BY LINKING OUR AGE-APPROPRIATE INSTRUCTIONAL PROGRAM TO OUR SERVICE-BASED LEARNING PROGRAM, WE GIVE STUDENTS THE TOOLS TO MAKE POSITIVE CHANGES. HEART'S PROGRAMS HELP: CREATE BETTER STUDENTS, COMPASSIONATE CITIZENS AND CONTRIBUTORS TO THE GREATER COMMUNITY; FOSTER A SENSE OF RESPONSIBILITY FOR CHILDREN TO ACT UPON THEIR PERSONAL BELIEFS; CULTIVATE EMPATHY FOR ANIMALS, AND AS A RESULT, DECREASE ANIMAL ABUSE IN OUR SOCIETY; ENCOURAGE STUDENTS TO STRIVE FOR A SUSTAINABLE SOCIETY WHILE PROTECTING NATURAL RESOURCES AND THE ENVIRONMENT; AND OFFER AN EFFECTIVE WAY TO REDUCE AND PREVENT VIOLENCE IN SCHOOL AND AT HOME. OUR TEACHER TRAINING AND DIRECT STUDENT SERVICE PROGRAMS ARE OFFERED AT NO COST TO SCHOOLS AND OTHER NON-PROFIT AGENCIES. FORM 990, PART VI, SECTION B, LINE 11 HUMANE EDUCATION ADVOCATES REACHING TEACHERS HAS ITS FORM 990 PREPARED BY AN OUTSIDE ACCOUNTING FIRM AND HAS ESTABLISHED THE FOLLOWING REVIEW PROCESS TO ENSURE THAT THE INFORMATION REPORTED IS COMPLETE AND ACCURATE. WHEN THE FORM 990 HAS BEEN PREPARED, REVIEWED BY MANAGEMENT AND IS READY TO BE FILED WITH THE INTERNAL REVENUE SERVICE, IT IS ELECTRONICALLY SENT TO THE BOARD MEMBERS OF THE ORGANIZATION FOR ANY COMMENTS. ANY COMMENTS ARE THEN GROUPED, SUMMARIZED AND PROVIDED TO THE OUTSIDE ACCOUNTANTS. EACH ISSUE IS DOCUMENTED AND ADDRESSED UNTIL THE RETURN IS FINALIZED AND APPROVED FOR FILING. FORM 990, PART VI, SECTION B, LINE 12C EACH BOARD MEMBER AND OFFICER OF HEART, IS REQUIRED TO CONDUCT ALL THE AFFAIRS OF HEART IN THE BEST INTERESTS OF HEART, TO AVOID THE APPEARANCE OF A CONFLICT BETWEEN HIS OR HER PERSONAL INTERESTS AND THE INTERESTS OF HEART AND TO ENSURE THAT HE OR SHE DOES NOT BENEFIT PERSONALLY FROM HIS OR HER POSITION AS A TRUSTEE OR OFFICER. THIS OBLIGATION ALSO REQUIRES THAT THE BOARD OF DIRECTORS BE FULLY INFORMED REGARDING TRANSACTIONS AND ARRANGEMENTS INTO WHICH HEART ENTERS AND WITH RESPECT TO WHICH OFFICERS MAY HAVE AN INTEREST. TO ENSURE FAIRNESS IN THE BOARD'S DECISION-MAKING PROCESSES AND TO PROTECT HEART'S INTERESTS WHEN IT IS CONTEMPLATING ENTERING INTO A TRANSACTION OR ARRANGEMENT THAT MIGHT BENEFIT THE PRIVATE INTEREST OF ANY OF ITS TRUSTEES OF OFFICERS THE BOARD OF DIRECTORS HAS ADOPTED A CONFLICTS OF INTEREST POLICY. EACH DIRECTOR AND OFFICER SHALL ANNUALLY SIGN A STATEMENT WHICH AFFIRMS THAT SUCH PERSON: (A) HAS RECEIVED A COPY OF THE CONFLICTS OF INTEREST POLICY, (B) HAS READ AND UNDERSTOOD THIS POLICY, AND (C) HAS AGREED TO COMPLY WITH THIS POLICY. UPON THE FIRST KNOWLEDGE BY AN INTERESTED PERSON THAT THE BOARD OR A COMMITTEE THEREOF IS CONSIDERING A TRANSACTION OR ARRANGEMENT WITH AN ENTITY OR INDIVIDUAL WITH WHICH THE INTERESTED PERSON HAS AN INTEREST, THE INTERESTED PERSON MUST DISCLOSE THE EXISTENCE AND NATURE OF HIS OR HER INTEREST TO THE BOARD OR THE COMMITTEE OF THE BOARD CONSIDERING THE PROPOSED TRANSACTION OR ARRANGEMENT. AFTER DISCLOSURE OF THE INTEREST, THE INTERESTED PERSON MAY NOT PARTICIPATE IN CONSIDERATION OF THE PROPOSED TRANSACTION OR ARRANGEMENT, SHALL NOT VOTE ON SUCH TRANSACTION OR ARRANGEMENT, AND SHALL NOT BE PRESENT FOR THE CONSIDERATION OF OR VOTE ON SUCH TRANSACTION UNLESS THE BOARD OR COMMITTEE REQUESTS INFORMATION OR INTERPRETATION FROM THE INTERESTED PERSON. THE BOARD OR COMMITTEE SHALL THEN DETERMINE, BY A VOTE SUFFICIENT FOR SUCH PURPOSE WITHOUT COUNTING THE VOTE OF ANY INTERESTED PERSON, WHETHER THE TRANSACTION OR ARRANGEMENT IS IN HEART'S BEST INTERESTS AND IS FAIR AND REASONABLE TO HEART AND SHALL MAKE A DECISION WHETHER TO ENTER INTO THE TRANSACTION OR ARRANGEMENT IN ACCORDANCE WITH SUCH DETERMINATION. IN DETERMINING WHETHER THE TRANSACTION OR ARRANGEMENT IS IN HEART'S BEST INTEREST, HEART SHALL REVIEW AVAILABLE INFORMATION REGARDING THE COST OR BENEFIT OF COMPARABLE TRANSACTIONS OR ARRANGEMENTS, IF ANY. INTERESTED DIRECTORS MAY BE COUNTED IN DETERMINING THE PRESENCE OF A QUORUM AT A MEETING WHICH AUTHORIZES SUCH A TRANSACTION OR ARRANGEMENT. THE MINUTES OF THE BOARD OR THE COMMITTEE CONSIDERING THE INTEREST OF AN INTERESTED PERSON SHALL CONTAIN: - THE NAMES OF THE INTEREST PERSON(S) WHO DISCLOSED OR OTHERWISE WERE FOUND TO HAVE AN INTEREST, - THE NATURE OF THE INTEREST, - A RECORD OF ANY DETERMINATION AS TO WHETHER A TRANSACTION OR ARRANGEMENT WAS IN THE BEST INTERESTS OF AND FAIR AND REASONABLE TO HEART, NOTWITHSTANDING THE INTEREST, AND THE SPECIFIC REASONS SUPPORTING SUCH DETERMINATION, AND - THE NAMES OF THE PERSONS WHO WERE PRESENT FOR THE DISCUSSIONS ON THE TRANSACTION OR ARRANGEMENT AND A RECORD OF ANY VOTES TAKEN IN CONNECTION THEREWITH. FORM 990, PART VI, SECTION B, LINE 15A THE HEART CHAIR MAKES RECOMMENDATION ON THE EXECUTIVE DIRECTOR'S COMPENSATION INCLUDING BASE PAY INCREASE AND BONUS ON AN ANNUAL BASIS AT THE FOURTH QUARTER BOARD MEETING. A CONFIDENTIAL MEMO IS SENT TO THE BOARD WITH THE RECOMMENDED CHANGES AND THE RATIONALE FOR THOSE CHANGES. THE BOARD HAS AN OPPORTUNITY TO GIVE INPUT INTO THE RECOMMENDATION AND SUCH POLICY IS APPROVED BY THE BOARD. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS FORM 990 AVAILABLE FOR PUBLIC INSPECTION AS REQUIRED UNDER SECTION 6104 OF THE INTERNAL REVENUE CODE BY POSTING IT ON GUIDESTAR.ORG AND OTHER SIMILAR TYPES OF WEBSITES. IN ADDITION, THE FINANCIAL STATEMENTS, CONFLICT OF INTEREST POLICY, ARTICLES OF INCORPORATION AND BY-LAWS ARE ALSO AVAILABLE UPON WRITTEN REQUEST AT P.O. BOX 738, MAMARONECK, NY 10543...OR BY CALLING THE ORGANIZATION DIRECTLY AT (914)-381-0309. FORM 990, PART VI, LINE 13 THE ORGANIZATION IMPLEMENTED A WHISTLEBLOWER POLICY AFTER YEAR-END, IN MAY 2011.