Bslc II

“independent voting members Effective January 2014, the method for compensating directors changed. Directors are now compensated as non-employees and will receive 1099s for their role as director. For 990 purposes, the following individuals were not independent for the entire FISCAL YEAR, however, they did become independent as of January 2014 due to the change in nature of reporting: Daniel C. Vagle, Don A. Morgan, Lyle G. Arent, and Dale Turner.”

“Business & Family Relationships DAN VAGLE AND DALE TURNER ARE BROTHERS-IN-LAW. Dana Rasic, Nathan Merrill, Lyle Arent, Dale Turner, Daniel Vagle, and Sean Rice have a business relationship because they are directors or officers of the indirectly-owned subsidiary disclosed on Schedule R, Part IV.”

“PART VI, LINE 3 BSLC II's communities are managed by Bethesda Foundation under a management contract.”

“PART VI, LINE 6 For purposes of Form 990 Part VI, Bethesda Foundation is the sole member of BSLC II.”

“PART VI, LINE 7A The Board of Directors of Bethesda Foundation appoints the Directors of BSLC II.”

“Part VI, Line 9 Tom Workman, 11404 Dodge Road Omaha, NE 68154”

“Part VI, Line 11b The Form 990 is prepared by a third party and is reviewed by the CFO and Controller. The final version of the Form 990 is distributed via email to the organization's Board of Directors. Management answers all questions and incorporates the changes, if necessary, into the Form 990 prior to filing.”

“Part VI, Line 12c Conflict of Interest forms are completed annually by officers, directors, and key employees and are presented to the Board of Directors for approval. When a potential conflict arises during the year, the officer, director, or key employee is responsible for updating the conflict of interest form and the revised form is provided to the Board of Directors for approval.”

“Part VI, Line 15a & 15b BSLC II does not have employees or officers that receive compensation through BSLC II. All functions of running BSLC II communities have been delegated to Bethesda Foundation under a management contract.”

“Part VI, Line 19 The organization's governing documents, Conflict of Interst Policy, and Audited Financial Statements are available upon request.”

“Part VII Many of the officers and directors provide services to affiliated organizations. The hours shown are specific to this organization but the compensation is total compensation for services provided to all of the affiliated organizations.”

“Part IX, Lines 7-9 The amounts on Part IX, Lines 7-9 are for expenses paid to BSLC II's management company, Bethesda Foundation, appropriately categorized on their respective lines for 990 purposes.”