Synergy Services Inc.

“The finance director gathers information to prepare the form 990 tax return. This information is then given to an independent cpa firm to prepare the form 990 tax return. The independent cpa firm provides the finance director with a draft of the form 990. The audit committee then reviews the form 990 and provides the cpa firm with a list of comments and suggestions. Once the audit committee and the cpa firm approve the form 990, then the form 990 is presented to the governing board for a final review prior to filing the tax return.”

“At the time of hire or election (in the case of directors) and annually thereafter, the officers, directors, and key employees shall provide the applicable conflict of interest disclosures which shall be completed to identify any relationships, positions, or circumstances in which it is believed a conflict may arise. If a conflict arises, the officer or director abstains from the vote of the conflicted position. Key employees are not allowed to vote on organization's governing policies. Annual monitoring and review procedures shall be part of the organization's compliance plan. An appropriate report shall be submitted to the executive board concerning any interest disclosed.”

“On an annual basis, the board of directors require human resources to perform a survey in the local area for other not-for-profit organizations to compare salaries to the executive director's compensation.”

“The organization's governing documents, conflict of interest policy, and financial statements are available to the public upon request, by walk-in, or on website.”

“During July 2010, Synergy created two new entities, Synergy Real Estate Holdings, Inc. (SREH), a 501(c)2 real estate holding company and Synergy Financial Support Corporation (SFSC) a 501(c)3, both of which are operated exclusively for the benefit of Synergy. The entities were created in conjunction with the New Market Tax Credit transaction discussed below. A separate IRS Form 990 was prepared for each entity; therefore the three forms must be reviewed in conjunction with one another for an accurate picture of Synergy Services, Inc. as a whole. New Market Tax Credit Transaction On July 14, 2010, Synergy Services Inc. (Synergy) and itS newly formed supporting organizations, SREH and SFSC, entered into a transaction which generated tax credits called New Market Tax Credits (NMTCs) under IRC Section 45D. In the transaction, SREH received loans totaling $6,860,000 from an investment account funded primarily by Synergy's other support organization, SFSC. Synergy will have the option to acquire all membership rights of the investment fund which holds the loans and forgive the related debt at the end of the 7 year NMTC compliance period. SREH used a majority of these proceeds to purchase the Youth Resiliency Center and Synergy House facilities from Synergy which significantly reduced the amount of fixed assets on Synergy's books and increased the assets of SREH. Synergy continues to utilize the youth campus facilities in the same manner as prior to the transaction. Synergy transferred $5,289,918 of the $6,500,000 purchase price received to SFSC, which funded the investment account as noted above. On July 18, 2017, the NMTC compliance period concluded and SFSC executed a put purchase to acquire the membership rights of the Investment Fund, assuming the notes payable from SREH. On December 31, 2017, SFSC forgave the intercompany loans and related interest with SREH. SREH cancelled the lease with Synergy (parent) and transferred all youth campus assets back to Synergy, effectively closing all accounts for SREH and SFSC.”

“Family care therapy (clinical services): clients represent a broad cross section of the population spanning gender, age, race and six county lines. Most clients have annual family incomes of less than $25,000 making it difficult to access the variety of services they need through traditional means. Services are provided on sliding scale and no one is turned away for inability to pay. A well functioning family provides success to each of its members. We offer individual, group and family counseling on a stand alone basis as a part of our programs, such as domestic violence prevention and counseling, teen parent support, children's advocacy center (forensic interviewing), and therapy services for all other programming within the agency.”

“Residential program services: residential program services includes synergy house, domestic violence center, children's center, transitional living, permanent housing for homeless and unattached youth, and hotline phone calls. Synergy provides a safe, therapeutic environment for children birth to 22 to begin the healing process and to go on to lead healthy, productive lives. On any given night, there are 2,000 teens living on the streets, sleeping in cars, or couch surfing with friends because they do not have a place to live. The youth resiliency center(yrc) opened in 2009 bringing together comprehensive services to youth for healing relationship violence, synergy provides the safety and support necessary for abused women and their children to move beyond the trauma caused by an abusive relationship.”

“OTHER PROGRAM SERVICES: SYNERGY SERVICES, INC. IS A LIFELINE FOR GREATER KANSAS CITY'S FAMILIES AND INDIVIDUALS IN CRISIS. FOR 40 YEARS, THE ORGANIZATION HAS REACHED OUT TO VICTIMS OF VIOLENCE, ABUSE AND NEGLECT AND PROVIDED CRISIS INTERVENTION, SHELTER, COUNSELING, MENTORING, COURT SERVICES, PREVENTION EDUCATION AND ADVOCACY. THROUGH A SERIES OF MERGERS OF SMALLER AGENCIES, SYNERGY GREW TO BECOME ONE THE KANSAS CITY'S LARGEST AND MOST COMPREHENSIVE SOCIAL SERVICE AGENCIES, PROVIDING A BLEND OF PROGRAMS AND PROJECTS TO OVERCOME DOMESTIC VIOLENCE, CHILD ABUSE, BULLYING, FAMILY DYSFUNCTION AND ADOLESCENT HOMELESSNESS.LOCATED LARGELY IN THE NORTHLAND, THE ORGANIZATION SERVICES CLIENTS OF ALL AGES FROM ACROSS THE METROPOLITAN AREA. TRUE TO ITS NAME, SYNERGY SERVICES DOES PROVIDE SYNERGY...THE INTEGRATED WORK OF THE ORGANIZATION IS STRONGER AND MORE COMPLETE THAN ANY OF THE ORGANIZATION'S COMPONENT PROGRAMS COULD BE ON THEIR OWN. COMMITTED TO QUALITY CARE, SYNERGY SERVICES, INC. IS ACCREDITED BY THE COUNCIL ON ACCREDITATION (COA), LICENSED BY THE STATE OF MISSOURI, ACCREDITED BY THE NATIONAL CHILDREN'S ALLIANCE, CERTIFIED BY THE UNITED WAY, AND APPROVED BY DEPARTMENT OF HEALTH AND HUMAN SERVICES and THE MISSOURI DEPARTMENT OF MENTAL HEALTH. THE ORGANIZATION IS A MEMBER OF THE MISSOURI COALITION AGAINST DOMESTIC AND SEXUAL VIOLENCE, AND THE NATIONAL NETWORK FOR YOUTH.”

“Transfers to affiliate*** $ 4,977,165 ***see discussion of new market tax credit transaction on schedule o”