Partners in Recovery LLC

“and Part VII, Line 15. Mr. Jay Roundy of P2 Performance Plus, LLC was brought in as a consultant to help integrate related organizations, Marc Community Resources MCR and Partners in Recovery PIR. The organizations need for an Interim CEO occurred before Mr. Roundy could execute the plan for integration so Mr. Roundy fulfilled the role of Interim CEO for the period October 2018 through May 2019, until a new CEO could be in place. P2 Performance Plus, LLC was paid 85,000 by MCR and 30,000 by Partners in Recovery for the 2018 calendar year for organization-wide leadership training, integration consulting, and Interim CEO services. As Mr. Roundy is one of the principal member-managers of P2 Performance Plus, LLC, all compensation paid by MCR and PIR to P2 Performance Plus, LLC was received by Mr. Roundy as flow-through compensation. Mr. Roundy received a total of 115,000 for services in this capacity during the calendar year from all related entities.”

“Marc Community Resources is the sole member of the filing organization and Marc Community Resources appoints the board members to serve on the filing organizations board.”

“The following acts require approval from the Membership Body 1 Amendments to the Organizations Operating Agreement, 2 Sale or Disposition of substantially all of the assets, 3 Assignment for the benefit of creditors, file a voluntary petition in bankruptcy or consent to appointment of a receiver for the Organization, 4 Approval of a plan of merger or consolidation, 5 Contract or agreement with any Member, Interest Holder or Affiliate Member, 6 Acquisition or sale of real property, 7 Borrowing money from any lender or Member in excess of 50,000, 8 Issuance of further Membership Interests, 9 Decisions that affect the tax liability of the Organization or Members as well as any elections that would affect the Organization or Members, 10 Institution of fringe benefits for Organization employees, 11 Distributions to Members except as otherwise provided, 12 Expanding into new business area such as providing different products or services that exceed 5 of the amount set forth in the budget or any line thereof, and 13 Adoption or Modification of the annual budget.”

“Copies of the 990 and all related schedules are sent out to the entire Board of Directors for review. Any questions the Board might have are directed back to the Chief Financial Officer. The 990 is then discussed at a full board meeting and approved by the Board of Directors.”

“Enforcing the policy on conflicts of interest is the responsibility of Partners in Recoverys Governance committee. This committee dedicates one meeting per year to 1 Ensure all conflict of interest statements have been received, 2 Ensure conflicts are fully understood and implications discussed and disposition agreed upon, 3 Ensure the board members with conflicts, if any, follow policy with respect to voting on matters that they may have a conflict with, and 4 Recommend enhancements to existing forms, policies and training related to conflicts of interest.”

“Partners in Recovery used market data from the Forms 990 of comparable organizations and market data from the Regional Behavioral Health Authority that reflected what comparable positions were being paid to determine the compensation of officers. All decisions and support information was contemporaneously documented.”

“The Organization will provide in a timely manner, copies of all policies, procedures, annual financial audits and Forms 990 when requested.”

“Ms. Shar Najafi-Piper has hired as CEO of Marc Community Resources and Partners in Recovery as of May 2019. She was not employed or compensated by the organization during the calendar year 2018, and as such, no compensation is listed on the Form 990 Part 7 for Ms. Shar Najafi-Piper.”

“Column A beginning balance, for Line 12 Other Investment - other securities and Line 15 Other Assets, was adjusted to reflect a 29,738 investment reclassified from Other Assets to Other Investment - other securities.”

“Column A beginning balance, Line 17 Accounts Payable and Line 25 Other Liabilities, was adjusted to reclassify related-party liabilities from Line 17, Accounts Payable, to Line 25, Other Liabilities Related parties.”

“Prior period adjustment 10,133 Audit adjustments for fiscal year 9-30-2018 were made after the tax return was filed, correcting Net Assets and Deferred Revenue.”

“Other Change in Net Assets 1,486 K-1 passthrough net loss a tax-to-book adjustment.”

“The board of directors of Marc Community Resources the supported organization has a Risk and Audit Committee that is tasked to oversee the consolidated financial statement audit and select the independent auditor.”