Fayette County Community Action Agency Inc.

“After the annual audit has been finalized, a preliminary draft of the form 990 is prepared and provided to the board. The form is then reviewed by the board and the organization's ceo. Once the board determines that the form is complete and accurate, the form is finalized and signed by the ceo prior to filing with the internal revenue service.”

“Enforcement of conflicts policy, employees and board members are required annually to complete and sign a confilct of interest statement or when there is a change in a staff or board member's status regarding conflict of interest.”

“Conpensation process for top offical ceo compensation is based on an employment agreement with the executive director that was originally dated july 1, 2003, and extended july 1, 2008 through june 30, 2013. The ceo's annual salary is increased 4% as of the first day of each following year of the agreement which begins july 1. In addition, the ceo will receive a bonus equal to 1% of of his annual salary for the prior year and be eligible for an additional bonus of up to 4% of his annual salary based on net asset growth and net cash growth, not including cash from incurring additional debt. Compensation process for officers and key employees, the organization uses comparability studies including other caap (community action agencies of pa), other such positions in the area and check information online for the regional area.”

“Governing documents disclosure explanation is available to the public by request and appointment.”

“Transfer to affiliate: program service expenses 315,857. Management and general expenses 0. Fundraising expenses 0. Total expenses 315,857. Other expenses: program service expenses 146,893. Management and general expenses 108,752. Fundraising expenses 7,147. Total expenses 262,792. Repairs and maintenance: program service expenses 133,908. Management and general expenses 14,879. Fundraising expenses 0. Total expenses 148,787. Dues and fees: program service expenses 35,255. Management and general expenses 36,556. Fundraising expenses 0. Total expenses 71,811. Contracted services: program service expenses 62,156. Management and general expenses 4,762. Fundraising expenses 0. Total expenses 66,918. Real estate taxes: program service expenses 39,649. Management and general expenses 0. Fundraising expenses 0. Total expenses 39,649. Printing: program service expenses 30,019. Management and general expenses 8,639. Fundraising expenses 904. Total expenses 39,562. Equipment and software (purchase/rental): program service expenses 25,589. Management and general expenses 3,303. Fundraising expenses 0. Total expenses 28,892. Transportation: program service expenses 25,124. Management and general expenses 0. Fundraising expenses 0. Total expenses 25,124. Satellite center: program service expenses 20,604. Management and general expenses 0. Fundraising expenses 0. Total expenses 20,604. Security deposit assistance: program service expenses 12,932. Management and general expenses 480. Fundraising expenses 0. Total expenses 13,412. Postage: program service expenses 4,193. Management and general expenses 7,880. Fundraising expenses 703. Total expenses 12,776. Return to funding source: program service expenses 3,875. Management and general expenses 0. Fundraising expenses 0. Total expenses 3,875. Client disbursements: program service expenses 3,572. Management and general expenses 0. Fundraising expenses 0. Total expenses 3,572. Books and subscriptions: program service expenses 2,131. Management and general expenses 0. Fundraising expenses 0. Total expenses 2,131. Insurance claim reimbursement: program service expenses -84,779. Management and general expenses 0. Fundraising expenses 0. Total expenses -84,779.”

“The audit committee assumes responsibility for oversight of the audit and selection of an independent accountant.”