Harmony Community Development Corporation

“The board of directors may, by resolution adopted by a majority of the number of directors fixed by the Bylaws, authorize the annual election of an Executive Committee. The Executive Committee consists of no more than 5 board members consisting of the President, Vice President, Secretary, Treasurer and one additional board member. The Executive Committee has the authority to act on behalf of the board of directors as needed between board meetings.”

“Per the Bylaws of the organization, the Chairman of the Board shall be the Senior Pastor of Concord Baptist Church, an unrelated organization.”

“Form 990 is prepared by an independent CPA firm and reviewed in detail by the organization's top management and Finance Committee. The reviewed Form 990 is then provided to the board of directors prior to filing with the IRS.”

“The organization requires all officers and board members to annually complete and sign a conflict of interest questionnaire. The Governance Committee is responsible for reviewing the signed statements and ensuring that interested persons are in compliance with the conflict of interest policy. Should any potential conflicts of interest be disclosed, the board member or officer would be asked to refrain from participation in any deliberation or decision with regard to matters affected by the relationship.”

“Line 15a: The board of directors reviews and evaluates the Executive Director annually. Goals and objectives are set at the beginning of the year. Salary increases are based upon the accomplishment of the goals and objectives. Compensation is determined using comparability data and the process is documented. Line 15b: The organization does not compensate any other officers or key employees. Therefore, this line was answered no in accordance with the instructions.”

“The governing documents, conflict of interest policy and financial statements are available upon request.”

“Compensation reported in Part VII, column D is the amount reported on the individual's W-2, box 1 or 5 (whichever amount is greater) per the IRS instructions. In the case of minister's compensation when box 5 of the W-2 is not applicable, box 1 compensation is used. Employee deferrals to qualified retirement plans are normally captured in box 5, not box 1 of Form W-2. For reporting purposes we have included the minister's retirement plan deferrals in Part VII, column F.”