Americans for Prosperity Foundation

“Certain employees of Americans for Prosperity Foundation may perform services for Americans for Prosperity, a related organization, through a service contract between the organizations where the service recipient organization pays the service provider organization arm's length payments for such services; and certain employees of Americans for Prosperity may perform services for Americans for Prosperity Foundation through a service contract between the organizations where the service recipient organization pays the service provider organization arm's length payments for such services. To reflect the service arrangement, compensation has been shown in proportion to the hours provided by respective organization employees in proportion to the hours performed for each organization through the service contracts and aggregate compensation amounts are reported on the employees' Form W-2 issued by his or her employer.”

“The bylaws were updated to reflect the organization's name as changed through resolution in a previous filing year. Board member requirements and officer descriptions were also updated.”

“The members have the right to elect and remove the directors of Americans for Prosperity Foundation.”

“The Form 990 is prepared by an independent CPA firm. The Treasurer and General Counsel review in detail Form 990 prior to sending to the board. The 990 is then distributed to the audit committee, acting on behalf of the board for review and questions prior to filing with the IRS.”

“The organization has in place a conflict of interest policy covering all staff, directors and officers that it monitors through the quarterly meetings of the Board of Directors' Audit Committee and an annual employee survey. Should a conflict be disclosed, it is addressed by company management or the board, as appropriate.”

“Line 15a - The President & Chief Executive Officer's compensation is reviewed and approved by the board. Comparability data is used and this process is documented in the employee's personnel file. Line 15b - The President & Chief Executive Officer reviews compensation for officers and other key employees. Substantiation of compensation is included in personnel files. This process was last completed during the tax year for all officers of the organization.”

“The organization makes available to the public documents required by law to be made publicly available in accordance with IRS procedures.”

“The organization has a policy whereby all contributed securities are immediately sold through the broker that receives those contributions on the organization's behalf.”

“In accordance with the principles of FASB ASU 2016-14 (ASC 958),the organization has implemented required changes to its audited financial statements for the period ended 12/31/18. To date, Form 990 and its associated schedules have not been updated to reflect changes made by this standard. Thus, we have reported the revised net asset categories from the audited financial statements as follows on Form 990, Part X, Lines 27-29: Line 27 - Net assets without donor restrictions $2,288,794 Line 29 - Net assets with donor restrictions $1,068,570 Total net assets $3,357,364”

“The organization's Audit Committee assumes responsibility for oversight of the audit of its financial statements and selection of its independent accountant. This process has not changed since the prior year.”