Eastern States Veterinary Association Inc.

“During the tax year, the Organization made the following changes to its bylaws: Board of Directors: Under the revised bylaws, the Board must now include at least one and up to two non-veterinarians, one of which must be a credentialed veterinary technician. Additionally, under the revised bylaws, the specific timetable for nominating, evaluating, and electing Board members is now maintained in a separate set of procedures administered by the Director Nominating Committee rather than directly outlined within the bylaws. The initial term for Directors of the Organization is increased from three years to three years and four months. Compensation of Directors: The revised bylaws permit the Organization to compensate one or more members of the Board, in compliance with applicable law and at the discretion of the Board. Quorum: The Executive Officer of the Organization is no longer considered to constitute part of the quorum. Voting: Voting by proxy is now allowed in accordance with applicable law and in compliance with Board policies and procedures. Committees: The composition and duties of standing committees of the Board were updated. The composition and duties of each committee are articulated in the bylaws.”

“The Organization's top management official and top financial official each review the Form 990 prior to its filing with the IRS. A copy of the final Form 990 is also provided to the voting members of the Organization's governing body prior to its filing with the IRS.”

“The Organization's conflict of interest policy is distributed to each member of the Organization's governing body, its officers, and its key employees on an annual basis. Each such individual provides an annual disclosure statement indicating that they have received, read, understood and agreed to comply with the policy, certifying that: (1) they have no relationships or interests that present a conflict of interest, (2) they have one or more conflicts of interest that have been fully disclosed as required by the policy and have been properly administered in conformity with the policy, or (3) they have previously undisclosed conflicts of interest and disclosing the details of such conflicts. Any disclosure statements with previously undisclosed conflicts of interest are forwarded to appropriate Organization officials to take appropriate actions as required by the policy.”

“The Organization has adopted an executive compensation setting policy applicable to all disqualified persons, including the Organization's CEO, officers and key employees. Under the policy, an independent committee of the Board of Directors annually reviews and approves the compensation levels of all individuals subject to the policy. The deliberations and decisions of the committee are contemporaneously substantiated. The committee utilizes comparability data in its deliberations, including Forms 990 of comparable organizations and other available compensation surveys and studies from independent outside organizations.”

“The Organization provides, upon request, copies of its Articles of Incorporation, bylaws, conflict of interest policy, and its financial statements.”

“The total amount paid to Carol Walton Expeditions in the 2014 calendar year includes expense reimbursements for expenses incurred on behalf of the Organization.”

“The net loss reported at Form 990, Part VIII, Line 11b is the Organization's share of the net loss generated by the VetFolio, LLC activity for the tax year. The activities of VetFolio, LLC are conducted in furtherance of the Organization's exempt educational activities, and therefore the net loss from VetFolio, LLC is considered to be program service revenue of the Organization. See disclosure in response to Form 990, Part III, Line 3 for more information regarding VetFolio, LLC.”

“Doing Business As: North American Veterinary Community”

“During the year ended September 30, 2015, the Organization established VetFolio, LLC in partnership with the American Animal Hospital Association, an unrelated tax-exempt organization, for the purpose of conducting activities that support the veterinary profession by providing resources, training, and other support to individuals in the profession. Specifically, VetFolio, LLC will conduct the VetFolio activities described in Part III, Line 4d, that were previously directly conducted by the Organization. This change allows for expansion of VetFolio's educational activities. VetFolio, LLC is treated as a partnership for tax purposes.”

“The Organization's contribution revenue consists primarily of non-cash contributions of medical supplies and qualified sponsorships received in connection with its program activities. There are no significant fundraising expenses associated with the generation of these contribution or qualified sponsorship revenues due to the unique nature of the contribution revenue.”

“Change in FMV of interest rate swap contract 59,301. Book-tax difference for VetFolio investment -26,015.”

“The Organization's Board of Directors, or a committee thereof, assumes responsibility for the oversight of the audit of its financial statements and the selection of an independent accountant. This process has not changed from the prior year.”