Cedar Lakes Conservation Foundation Inc.

“Land and deed restrictions which are purchased by the Foundation are recorded as an asset on the Statement of Financial Position at the cost at the time of acquisition. Donated land and deed restrictions are recorded at fair value at the time of donation as an asset on the Statement of Financial Position and a contribution on the Statement of Activities.”

“The fund will make annual distributions (without regard to income or principal classifications) to the foundation in an amount not to exceed five percent (5%) of the average fail market value of the fund assets determined on the last business day of the preceding three (3) calendar years, the exact amount to be determined annually by the board of directors (the "annual distribution amount"). The first annual distribution amount will not be distributed to the foundation prior to january 1, 2014, in order to allow the fund to grow. The annual distribution amount shall be made in equal quarterly installments at the end of each calendar quarter and will be allocated to and utilized by the foundation only for the purposes intended. In addition to the annual distribution amount, up to twenty-five percent (25%) of the fair market value of the fund may be used in any calendar year for capital expenditures, and up to seventy-five percent (75%) of the fair market value of the fund may be used in any calendar year to meet an emergency need for funds upon the affirmative vote of at least seventy-five percent (75%) of the entire board of directors. No further use of the fund principal for capital expenditures or to meet emergency needs (other than is necessary to distribute the annual distribution amount) shall be permitted until the amount withdrawn has been replaced through other gifts to the fund, through board approved transfers of operating surplus or through investment growth of the fund.”

“The Organization has a written policy regarding periodic monitoring, inspection, handling of violations and enforcement of easements.”