Sqlc Senior Living Center at Corpus Christi Inc

“FORM 990, PART V, LINE 2(A) 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, MERIT RESOURCES, INC. (EIN: 42-1368750), WHICH IS THE EMPLOYER OF RECORD, ISSUES ALL W-2S AND ACTS AS AN OUTSOURCED HUMAN RESOURCES AND PAYROLL DEPARTMENT FOR THE ORGANIZATION.”

“FORM 990, PART VI, SECTION A, LINE 2 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 B. Brewer C. Scott Sykes Bernie Francis Joe Anderson”

“FORM 990, PART VI, SECTION A, LINE 3 Greystone Management is an unrelated business organization engaged by SQLC SENIOR LIVING CENTER AT CORPUS CHRISTI'S Board of Directors 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 has final authority over the approval of the annual operating budget, approval of monthly and annual financial reporting disclosures, and oversight of the management company.”

“FORM 990, PART VI, SECTION A, LINEs 6, 7(A) AND 7(B) 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.”

“FORM 990, PART VI, SECTION A, LINE 8(B) 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, PART VI, SECTION B, LINE 11 The Board Members of SQLC SENIOR LIVING CENTER AT CORPUS CHRISTI, 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.”

“Form 990, part vi, section b, line 15 the ceo of senior quality lifestyles corporation, along with the management company, greystone, and merit, an independent payroll processor, set the salary for the executive director. Both greystone and merit provide comparative salary data. The executive director, greystone regionals, and merit set other top management rates based on market wages and years of experience.”

“Form 990, part vi, section c, line 19 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.”

“FORM 990, PART VI, SECTION B, LINE 12(C) 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.”

“Form 990, part vii 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.”

“FORM 990, PAGE 1, SECTION G Per the IRS form instructions, the amount reported in Box G for gross receipts includes proceeds of $28,169,629 for sale of securities and $168,251 for disposal of fixed assets.”

“FORM 990, PART XI, LINE 8 Due to a change in accounting principle, a prior period adjustment of $486,470 was made to reverse prior year revenues from the amortization of non-refundable entrance fee deposits. In addition, a prior period adjustment of $8,676,876 was also made to record the liability of a future service obligation. 2013 Adopted Accounting Pronouncement Disclosure In July 2012, the Financial Accounting Standards Board ("FASB") issued Health Care Entities (Topic 954): Continuing Care Retirement Communities-Refundable Advance Fees ("ASU 2012-01"). The amendments in ASU 2012-01 clarify that an entity should classify an advance fee as deferred revenue when a continuing care retirement community has a resident contract that provides for payment of the refundable advance fee upon re-occupancy by a subsequent resident, which is limited to the proceeds of re-occupancy. Refundable advance fees that are contingent upon re-occupancy by a subsequent resident but are not limited to the proceeds of re-occupancy should be accounted for and reported as a liability. The amendments in ASU 2012-01 are effective for fiscal periods beginning after December 15, 2012. The amendments in this Update should be applied retrospectively by recording a cumulative-effect adjustment to net assets as of the earliest period presented. The Organization adopted ASU 2012-01 on January 1, 2013. A prior period adjustment of $486,470 was recorded as a result of the clarification to the accounting treatment of refundable entrance fees. Also due to the clarification of the revenue recognition of refundable entrance fees, a prior period adjustment of $8,676,876 was made to record the liability of a future service obligation.”

“Form 990, part xi, line 9 $5,188,294 future service obligation”