Preservation Worcester Inc.

“PART II, LINE 9 - ACCOUNTING FOR CONSERVATION EASEMENTS Any costs incurred to enforce the provisions of the easements are expensed as incurred. As a result of the limited market value and due to the obligations inherent in easement ownership, the Organization's preservation easement holdings are not reflected in the accompanying financial statements as assets or liabilities.”

“The Organization's collection of artifacts, documents, newspapers, pictures, paintings and books is not capitalized. The Organization's collections and publications are held for educational research and curatorial purposes and donated values are not readily determinable. Items purchased for the collection are expensed when acquired.”

“Part v, line 4 intended use of endowment fundsalden educational fund - $137,121principal invested, investment income to be used to promote educational program expensescather scholarship fund - $5,000principal invested, investment income to be used for scholarships to worcester high school students pursuing demonstrated interest in architecture, historic preservation or urban planningpreservation worcester endowment fund - $19,805principal invested, investment income to be used to support the charitable purposes and mission of the organization”

“Footnote in the financial statements is as follows:"the organization is a nonprofit organization as described in section 501(c)(3) of the internal revenue code and is exempt from federal and state income taxes. The organization is not a private foundation.the organization reports uncertain tax positions, related interest and penalties, and records unrecognized tax liabilities and accrues interest and penalties according to gaap. As of december 31, 2019, the organization determined that there are no material unrecognized tax liabilities to report.information returns filed for the years ended december 31, 2019, 2018, 2017 and 2016 remain subject to examination by the internal revenue service and massachusetts. The organization does not expect to recognize any tax liabilities within the next twelve months."”