Mercy Street Inc.

“Mercy street does not have any committees authorized to act on behalf of the board of directors.”

“The executive director is provided a copy of the form 990 that has been prepared by the same independent cpa firm that completes an audit of the organization's financial statements. The executive director has been given the responsibility by the board of directors to review and approve the return before it is filed.”

“The organization monitors their conflict of interest policy for key employees, offiers, and directors by verbally addressing the issue on an annual basis. In addition the nature of the transactions and the nature of the ministry lends itself to self-policing by key employees. Directors and officers are keenly aware of the policy regarding any possible conflict of interest.”

“The governing documents, policies and financial statements of the organization are available for public review upon request during normal business hours at the organization's office.”

“Mercy street is amending its 2015 form 990 to include adjustments made to the financial statements subsequent to the completion of the organization's audit for the fiscal year ending august 31, 2016. Significant changes from the originally filed 2015 form 990 are summarized below: 1) $19,167 of additional contributions and the related accounts receivable are being recognized on form 990, part viii, line 1h and part x, line 4. Related adjustments to schedule a, part iii and schedule b, part i, and schedule d, part xi are also being reported. 2) $17,303 of additional other income and the related increase in savings is being recognized on form 990, part viii, line 11a and part x, line 2. Related adjustments to schedule a, part iii and schedule d, part xi are also being reported. 3) $15,512 of additional expenses, $1,188 of those being grants to domestic organizations, and the related decrease in prepaid expenses are being recognized on form 990, part ix and part x, line 9. Related adjustments to form 990, part iii, schedule d, part xii and schedule i, part ii are also being reported. 4) $9,343,236 of notes receivable are being included on form 990, part x, line 7. The notes receivable represents the present value of the organization's in-kind 25 year lease receivable donated by the housing authority of city of dallas. Total contributions as a result of the donated lease is $9,507,477. Related adjustments to form 990, part xi, line 6, schedule a, part iii, and schedule d, part xi & part xii are also being reported. 5) $9,364,194 of addiontal unrestricted net assets are being reported on form 990, part x, line 27 and part xi, line 10 as a result of the adjustments above. 6) lines 11f & 12a on form 990, part iv have been checked yes to indicate the organization's obtainment of separate, indepently audited financial statements for the tax year which included a footnote addressing liabilities for uncertain tax positions under fin 48. As a result, parts xi & xii of schedule d have been completed.”