Adirondack Land Trust Inc.

“Easements are recorded as a separate item on the trust's balance sheet. The trust records land for conservation, including easements, at cost if purchased, or fair value, which is usually determined by appraisal if the land or easement was donated, at the date of acquisition. Land acquisition costs incurred in conjunction with a land purchase are recorded as a component of the cost of the land. Conservation land and easements may be sold or donated to governmental agencies or other conservation organizations. The proceeds from the sale of land and easements are reflected as revenue. The carrying cost, and any loss arising from such dispositions, is reflected in conservation program expenses in the accompanying statement of activities.”

“The endowment provides stable financial support, playing a critical role in enabling the trust to achieve its mission.”

“The trust is exempt from federal income tax under section 501(c)(3) of the internal revenue code. The trust qualifies for the charitable contribution deduction under section 170 (b)(1)(a) and has been classified as an organization other than a private foundation under section 509(a)(2). Under accounting standards codification (asc) section 740, the tax status of tax-exempt entities is an uncertain tax position, since events could potentially occur that jeopardize tax-exempt status. Management is not aware of any events that could jeopardize the trust's tax-exempt status. Therefore, no liability or provision for income tax has been reflected in the financial statements. Information returns filed by the trust are subject to examination by the internal revenue service up to three years from the extended due date of each return. The returns filed by the trust are no longer subject to examination for the fiscal years ended june 30, 2010 and prior.”

“Investment expense netted against investment income 8,037.”

“Investment expense netted against investment income 8,037.”

“Part ii, line 5 - written monitoring policy the trust's easements are monitored in the following manner: the easement, monitoring report and photos from the previous year are reviewed. An appointment is made with the land owner to meet on site. The property is inspected paying particular attention to any changes that have taken place over the past year. A map is used to document the route. Notes and photos provide additional documentation. The landowner is asked if any changes may take place over the up coming year. Follow up with the landowner with a cover letter, monitoring form and map of the route taken and photos.”