East Baltimore Development Inc.

“Nicole m. Harrell, cpa, llc performs accounting consulting responsibilities which includes bank reconciliations, supervising of the accounts payable and receivable activity, financial reporting preparation, completion of annual audit and form 990 procedures and reports to the ceo. She also performs the review of monthly financial statements and completion of ebdi finance committee and board packages for quarterly meetings. Ebdi paid harrell cpa $93,800 for the above services during the tax year. Rudolph isaacs, cpa, performs the review of financial statements and completion of greystar management/929 portion ebdi finance committee and board packages for quarterly meetings. Isaacs also provided technical assistance and knowledge in completing the annual audit of ebdi. Isaacs provides management support relating to greystar management and reports relating to 929. This includes review weekly leasing activity and work with greystar to develop leasing strategies. Reporting to ebdi management on the results of 929 activity. Ebdi paid isaacs $22,725 for the above services during the tax year.”

“The form 990 was prepared by rsm us in consultation with an accounting consultant engaged by ebdi to assist with financial reporting, audit and form 990. The form was then reviewed with the president and chief executive officer as well as the finance/audit committee of the board of directors in may 2022 prior to submission. The finance/audit committee includes senior managers from several foundations and partners with national and local accounting firms. The comments of the review team were incorporated into the final document and emailed to the full board of directors prior to submission.”

“Ebdi has a written conflict of interest policy. Key employees, officers and directors update their disclosure statement annually. Whenever there is reason to believe that an actual or potential conflict of interest exists between ebdi and an interested party, the board of directors shall determine the appropriate organizational response. Where the actual or potential conflict exists, the ceo shall review the matter and take appropriate action as necessary to protect the interests of ebdi. The ceo shall report to the chairman the results of any review and the action proposed to be taken. The chairman, in consultation with the executive committee, shall determine if any further board review or action is required. An interested party who has an actual or potential conflict of interest with respect to a proposed action or transaction with ebdi shall not participate in any way in, or be present during, the deliberations and decision making related to the proposed action or transaction.”

“The compensation of the president and ceo is established by the board of directors and is determined and documented annually based upon comparable compensation data. Bonuses for the previous year are determined based upon achievement of specific organizational goals. The compensation of officers and key employees is established by the president and ceo with approval of the board of directors through the budget process.”

“Organizational documents, the conflict of interest policy, and the financial statements are available to the public, for the same period of disclosure as set forth in section 6104(d), upon written request to the organization. The organization will arrange a mutually convenient time for review at the main office of ebdi at 929 n. Wolfe street, baltimore, maryland.”

“As planned, ebdi funded operations with new markets tax credit loans, which creates a timing difference in the recognition of expenses and corresponding revenue. The revenue was recognized when the loans were retired with existing commitments of tax increment bonds issued by the city of baltimore and the funding of a memorandum of understanding from the annie e. Casey foundation. The planned use of nmtc loans described above resulted in positive net assets for ebdi, and when combined with the negative net assets of 929 after depreciation and interest, resulted in negative net assets for the consolidated entities as of june 30, 2021.”

“Infrastructure contractors: program service expenses 648,587. Management and general expenses 0. Fundraising expenses 0. Total expenses 648,587. Professional services: program service expenses 2,315,290. Management and general expenses 0. Fundraising expenses 0. Total expenses 2,315,290. Engineering services: program service expenses 15,889. Management and general expenses 0. Fundraising expenses 0. Total expenses 15,889. Security services: program service expenses 382,712. Management and general expenses 0. Fundraising expenses 0. Total expenses 382,712.”

“Gain on interest rate swap agreement 505,367.”