Mayflower Communities Inc

“Business relationships the following board members maintain a business relationship with each other due to common participation as officers or directors of various other related not-for-profit entities by which one or more of the individuals is compensated: charles brewer david gobble”

“Significant change to governing documents the bylaws for were amended and restated during the year to allow for the appointment of the president of each community's resident council as an ex-officio non-voting director of the corporation.”

“Corporate member senior quality lifestyles corporation (sqlc) is the organization's sole member. Sqlc acts as a supporting organization, providing oversight, direction, and governance support, and will make grants and/or provide other forms of financial assistance as needed. Sqlc, as the sole member, has authority to elect board members of the organization. Sqlc, as the sole member of the organization, has all of the typical rights afforded to a member of a texas nonprofit corporation, such as the right to approve any amendments to the articles of incorporation or bylaws, and the right to approve any proposed dissolution of the organization.”

“See part vi, section a, line 6 for explanation”

“See part vi, section a, line 6 for explanation”

“Documentation of committee meeting line 8b is answered no because there are no committees in place with authority to act on behalf of the governing body at this time.”

“Form 990 review process the board members of mayflower communities, inc., senior quality lifestyles corporation and greystone communities, the management company, review the form 990 upon completion. The board review and approval of the form 990 is completed prior to filing.”

“Conflict of interest policy enforcement and monitoring annually the conflict of interest policy is reviewed during a board meeting, in addition to having the necessary individuals sign the disclosure statement on an annual basis. It is the expectation that management staff (community and corporate) in addition to the management company will bring any questionable activity to the attention of the board or an officer.”

“Compensation review the ceo of senior quality lifestyles corporation, along with the management company, greystone, and aureon hr, inc., an independent payroll processor, set the salary for the executive director. Both greystone and aureon hr provide comparative salary data. The executive director, greystone regionals, and aureon hr set other top management rates based on market wages and years of experience.”

“Documents available upon request governing documents and the conflict of interest policy are available to the public upon request. The financial statements are posted to nationally recognized electronic municipal market access (emma) and are also available upon request.”

“Management company greystone management is an unrelated business organization engaged by the board of directors of mayflower communities, inc. To provide management services. Management duties include hiring and recruiting qualified personnel, preparing annual operating budget for submission to the board of directors, and assisting in the preparation of monthly and annual financial reporting disclosures. The board of directors have final authority over the approval of the annual operating budget, approval of monthly and annual financial reporting disclosures, and oversight of the management company.”

“Top management and financial official the executive director is the top management official and top financial official. Per the form instructions, the top management and financial officials are deemed to be officers.”

“Gross receipts per the irs form instructions, the amount reported in box g for gross receipts includes security sales proceeds of $34,134,377 as reported on form 990, part viii, line 7a.”

“Employees reported through outsourced professional employer organization the organization did not issue form w-2s directly. The individuals that comprise the total listed on line 2(a) are considered employees of the organization for the purposes of part v. However, the organization utilizes a professional employer organization, aureon hr, inc. (ein: 42-1368750), which is the employer of record, issues all w-2s and acts as an outsourced human resources payroll department for the organization.”

“In april 2015, the financial accounting standards board ("fasb") issued accounting standards update ("asu") interest - imputation of interest ("asu 2015-03"). Asu 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in asu 2015-03. The amendments in asu 2015-03 are effective for fiscal periods beginning after december 15, 2015 and may be adopted earlier. The organization adopted asu 2015-03 on january 1, 2015. The organization's adoption of asu no. 2015-03 resulted in the classification of bond issuance costs as an asset to a direct deduction from the related bond payable. The effect of the adoption of asu no. 2015-03 was a reduction of intangible assets and notes payable of $2,841,016 at december 31, 2015. The adoption of asu no. 2015-03 also caused a decrease in amortization of bond issuance costs and a related increase in interest expense of $133,849 for december 31, 2015. The adoption of asu 2015-03 did not result in a change to net deficit for 2015.”