Asbury Atlantic Inc.

“The executive committee of the board of directors can act in place of the board between meetings. All members of the executive committee are members of the board of directors. We have reported seven independent voting members of the governing body. The non-independent board members consist of one employee of asbury communities, inc., and investment advisory to the asbury communities, inc. 401(k) plan, one resident of asbury solomons, inc., one resident of bethany village and one resident of asbury methodist village.”

“Asbury atlantic has one member. The sole member is asbury communities, inc.”

“Asbury communities, inc is the sole member of asbury atlantic and elects the governing body.”

“Only certain decisions of the governing body are subject to asbury community inc's approval. These decisions include: (1) management services relationships and contracts; (2) any organizational change in general, including mergers, sales, leases, etc, of substantially all of the assets and the creation of new entities; (3) amendments to mission or vision statements; (4) amendments to the articles of incorporation or bylaws.”

“Asbury communities, inc. Is the sole member of asbury atlantic, inc., asbury-solomons, inc., inverness village, an oklahoma not for profit corporation, calvert county nursing center, inc., asbury, inc., and asbury hcbs, inc. Asbury communities, inc. Has a system wide audit committee. The asbury communities, inc. Board of directors has delegated a review of the form 990 to the system audit committee which performed their review on 10/25/17. The asbury communities, inc., foundation, asbury atlantic, asbury solomons, asbury communities hcbs, calvert county nursing center, asbury, inc., and inverness village board of directors were forwarded a copy of their respective draft form 990 for their review and provided a link to a recording of the audit committee meeting if members chose to listen to the meetings as they reviewed any of the form 990s. All directors may pose questions or ask for clarification from staff and audit committee.”

“The asbury communities conflict of interest policy was approved by the board of directors. The compliance officer is responsible for the policy and oversees the implementation of the process. All the entities within the asbury communities system are subject to the policy. Annually, the compliance officer conducts a comprehensive conflict disclosure process covering all members of the governing boards, system wide committees, and individuals in management positions. Each person completes a conflict of interest disclosure form and is advised of their fiduciary obligations. The compliance officer, who had a direct reporting line to the chair of the audit and compliance committee and reports quarterly to the audit and compliance committee, analyzes all disclosure forms for potential conflicts, and prepares a report for the system-wide audit and compliance committee. A report was made to the board that there were no conflicts during 2016. When an actual or potential conflict of interest arises involving a board or committee member, the audit and compliance committee is informed and will follow specific protocal outlined in the conflict of interest policies and procedures.”

“The system wide compensation committee meets with the independent compensation consultant, and based on information provided to the committee makes recommendations regarding compensation and benefits to the executive committee which is charged by the full board with decisions regarding compensation. The independent compensation consultants and attorney are also present at the meeting of the executive committee at which the executive committee considers the recommendation of the compensation committee. At this meeting the executive committee receives all of the same information which was presented to the compensation committee and has the opportunity to ask questions and evaluate the materials. The full board(s) of asbury communities has a presentation once a year on executive compensation and benefits. The president is present to give board members an opportunity to ask questions and to provide salaries and grade levels for their review. The system wide compensation committee is composed of 5 voting members, the vice-president of human resources (non-voting), a retained attorney (non-voting; records proceedings in minutes), and is advised by sullivan cotter (a compensation consulting firm). The system wide compensation committee has developed and uses a compensation philosophy document which establishes guidelines for compensation and identifies comparable data. The committee holds a minimum of 4 meetings each year. At the fall meeting they review sullivan cotter data and reports in order to make recommendations regarding salaries and benefits. This annual review also ensures compliance with irs intermediate sanctions requirements. The board of directors ultimately reviews/approves/ and or adjusts recommendations from the system-wide compensation committee and sets compensation. The process was last reviewed in 2016.”

“The governing documents are available in the resident libraries. The conflict of interest policy is available upon request. The audited financial statements are available for public viewing on our website.”

“The officers that have compensation from related organizations reported in part vii, section a, column e of the form 990 provide executive management support and overall guidance to asbury atlantic, inc. As well as the other related and supported organizations of asbury communities, inc. There are over 2,200 total employees in the asbury communities, inc. System. The 2016 consolidated audited financial statements for asbury communities, inc. Had total revenues of $212.4 million and total assets in excess of $642 million.”

“Beginning with year 2014, foundation associate salaries and benefits, which were previously reported on the asbury foundation irs form 990, will be reported by the asbury entity where they dedicated their time. Asbury foundation assists with the mission of the non profit entities within the asbury communities system.”

“As part of asbury communities, asbury atlantic pledges each day to make a difference in the lives of those we serve and to serve as a partner for good in the community at large. We honor our legacy through supporting and partnering with charitable and community organizations, educational institutions, and aging services and health providers. At asbury atlantic, our contributions are primarily focused on: - supporting senior wellness in the regions where we operate; and - training the next generation of aging services professionals. Providing peace of mind for residents - benevolent care a cornerstone of living our mission is ensuring that residents who outlive their financial resources can remain in their home at asbury. The asbury foundation, a 501(c)(3) not-for-profit organization that secures philanthropic support to support the mission and enhance quality of life for older adults served by the asbury system, was established to support these efforts. Asbury provides financial support to residents who outlive their resources through no fault of their own. Highlights of this year's community benefit accomplishments at each asbury atlantic community include the following: asbury methodist village in the area of training future generations of caregivers, asbury methodist village(amv) provided mentoring and training in administrative, social work and pastoral care services for students at montgomery college, loyola, and the university of maryland. Amv hosted 14 howard university doctoral physical therapy students and provided seminar on wellness services and how it partners with physical therapy services on campus. Amv donated meeting space for more than 20 non-profit, community organizations throughout the year. Though the majority of this group's efforts benefit youth, this resident-created and run collaboration with gaithersburg and montgomery county(gaithersburg beloved community initiative) devoted hundreds of hours to mentoring area at risk children, hosting parties at asbury's pool and other structured fitness activities. This intergenerational mentoring program is focused on the development of character in the young people. Asbury methodist village hosted a conversational english group with 15 latino mothers from the gaithersburg area whereby they met weekly to study their english with asbury residents. Students from gaithersburg elementary school were transported to amv to participate in an inter-generational mentoring program whose focus is the development of character in the young people. Supported meals on wheels and the montgomery county coalition for the homeless shelter with food preparation and strategic planning space. Amv associates volunteered 2 times during 2016 at the manna food bank where they helped sort donated food. Amv donated $5,000 to the gaithersburg-washington grove volunteer fire department. Amv associates collected school supplies and backpacks for students that attend summit hall elementary school in gaithersburg. Collected enough to fill 150 backpacks and donated 48 christmas gifts for children in the program. Asbury methodist village earned a gold level city of gaithersburg environmental award for the second year in a row for its robust recycling program and ongoing wildlife habitat council certification. Bethany village in the area of training the next generation of professionals, the following occurred. Provided training for certified nursing assistants, licensed practical nurses, registered nurses, marketing, social work and healthcare management students at bloomsburg, harrisburg area community college, messiah college and penn state and slippery rock and temple universities. Organized and raised $6,891 for the area chapter of the alzheimer's association though a rock-a-thon and donated $2,000 for the association's walk to end alzheimer's. Hosted support groups for family members and other caregivers of people with alzheimer's disease. Bethany village donated meeting space for more than 20”

“Net unrealized loss on change in market value of derivative instruments 1,421,032. Change in beneficial interest in net assets of asbury foundation, inc 1,173,154. Change in value of obligations under charitable gift annuities -43,267. Transfer to acomm -2,378,841. Net assets released from restrictions used for purchase of capital items 172,510.”

“There has been no change in oversight process from the prior year.”