Nycha III Parent Housing Development Fund Corporation

“The organization entered into a shared services agreement with its parent organization, new york city housing authority ("nycha"). Nycha shall provide the following services to the organization: (a) development related services: services relating to the development of affordable and other related housing development activities. (b) accounting and recordkeeping services, which includes establishing and maintaining the books and records for the operations of the hdfc (c) purchasing services: account services, including coordination of the acquisition and maintenance of necessary supplies, equipment, and materials needed for the construction and rehabilitation of each project. (d) office services (e) information services (f) human resources services: provide qualified personnel, including property management and maintenance personnel, to perform all of the services required by the shared service agreement. Nycha shall be responsible for hiring such employees, directing work of employees, maintaining employee records, and complying with all applicable employment laws.”

“The sole member of the corporation shall be the new york city housing authority (nycha).”

“The directors shall be appointed at a meeting of the member. Directors are limited to individuals who are either members of the board of trustees of nycha, the sole member, or who have been approved pursuant to a resolution of the board of trustees of nycha. Any director may be removed with or without cause by the member.”

“A vacancy on the board arising at any time and from any cause may be filled for the unexpired term upon appointment by the chair of the new york city housing authority.”

“The organization does not have a committee with authority to act on behalf of the governing body.”

“Members of the management team at the organization's parent, new york city housing authority (nycha), reviewed the return prior to filing.”

“The conflict of interest policy covers any director, principal officer, or member of the governing board or a committee with governing board delegated powers, who has a direct or indirect financial interest, is an interested person. After disclosure of the financial interest and all material facts, and after any discussion with the interested person, he/she shall leave the governing board or committee meeting while the determination of a conflict of interest is discussed and voted upon. The remaining board or committee members shall decide if a conflict of interest exists. After exercising due diligence, the governing board or committee shall determine whether the organization can obtain with reasonable efforts a more advantageous transaction or arrangement from a person or entity that would not give rise to a conflict of interest. An interested person may make a presentation at the governing board or committee meeting, but after the presentation he/she shall leave the meeting during the discussion of, and the vote on, the transaction or arrangement involving the possible conflict of interest. Each director, principal officer and member of a governing board or committee with governing board delegated powers shall annually sign a statement which affirms such person: a. Has received a copy of the conflicts of interest policy, b. Has read and understands the policy, c. Has agreed to comply with the policy, and d. Understands the organization is charitable and in order to maintain its federal tax exemption it must engage primarily in activities which accomplish one or more of its tax-exempt purposes.”

“The organization makes its form 990 available for public inspection as required under section 6104 of the internal revenue code. The return is posted on guidestar.org and other similar types of websites. In addition, the conflict of interest policy, articles of incorporation and by-laws are also available upon written request or by calling the organization directly.”

“Election to be treated as other than a tax-exempt controlled entity under internal revenue code section 168(h)(6) the taxpayer ("nycha sh pact llc", ein: 30-1279293) is owned/controlled by one or more tax-exempt entities. Nycha sh pact llc hereby makes an election in accordance with code section 168 (h)(6)(f)(ii), to be treated as other than a tax-exempt controlled entity for purposes of using the alternative depreciation system for certain property specified in section 168 (g)(2). This property includes residential rental property specified in section 168 (g)(2). This property includes residential rental property which the entity will be depreciating over a recovery period of 30 years. The tax-exempt organizations which have an ownership interest in the controlled entity have agreed, as mandated in section 168 (h)(6)(f)(ii)(ii), to treat the gain from any disposition of their ownership interests (and any dividend received or accrued by the tax-exempt entity from the controlled entity) as unrelated business taxable income for purposes of code section 511 of the internal revenue code. This election shall apply to all of the company's property for the year that property is placed in service and all subsequent years. The company is entitled to make this election because it is a tax-exempt controlled entity that is timely filing the election.”