Housing and Community Services Inc.

“Delegate control of management duties: the organization contracts with wedge management, inc., a related taxable corporation, to serve as its management agent for the operational activities of its low income housing properties included in the form 990.”

“FORM 990 REVIEW: THE EXECUTIVE DIRECTOR IS CHARGED WITH THE TIMELY AND ACCURATE PREPARATION OF THE ANNUAL FORM 990. AN INDEPENDENT CPA FIRM PREPARES A DRAFT OF THE FORM 990. THE ORGANIZATION CHIEF FINANCIAL OFFICER, VICE PRESIDENT OF FINANCIAL COMPLIANCE, and nonprofit controller REVIEW THE DRAFT. THE executive director reviews and signs the final form 990 and then has it filed. a copy of the form 990 that was filed is provided to the board of directors at the board meeting subsequent to the filing of the form 990.”

“Conflict of interest policy: at the annual meeting of the board members, all members are asked to review and sign a new policy statement and advise the board if any conflicts exist.”

“DETERMINATION OF COMPENSATION: THE ORGANIZATION BOARD OF DIRECTORS ESTABLISHES A COMPENSATION COMMITTEE ANNUALLY TO REVIEW THE EXECUTIVE DIRECTOR (ED) COMPENSATION. SEE SCHEDULE J, PART I, LINE 3 FOR METHODS THAT ARE USED TO ESTABLISH THE COMPENSATION. WEDGE MANAGEMENT, INC. (WMI) AND NHMC-NATIONAL HOUSING MANAGEMENT CORPORATION (NHMC) ARE RELATED TAXABLE CORPORATIONS THAT PROVIDE PROPERTY MANAGEMENT AND ACCOUNTING SERVICES TO THE ORGANIZATION FOR ITS LOW INCOME HOUSING PROPERTIES. THE ED OF THE ORGANIZATION IS THE CEO OF WMI AND THE PRESIDENT OF NHMC. TOGETHER THE ORGANIZATION, WMI, AND Three OTHER ORGANIZATION AFFILIATES PAY THE COMPENSATION AND BENEFITS (C&B) FOR THE ED. M. STEVEN HENDERSON IS THE CHIEF OPERATING OFFICER (COO) FOR THE ORGANIZATION, WMI, AND NHMC. TOGETHER THE ORGANIZATION AND WMI PAY THE COMPENSATION AND BENEFITS (C&B) FOR THE COO. JULIE FARIAS IS THE CHIEF FINANCIAL OFFICER (CFO) FOR THE ORGANIZATION, WMI, AND NHMC. TOGETHER THE ORGANIZATION AND WMI PAY THE COMPENSATION AND BENEFITS (C&B) FOR THE CFO.”

“Disclosure of organizational documents and policy to public: all documents are available upon request. The annual form 990 is available on the guidestar website.”

“empowering families by providing SAFE, HIGH QUALITY, AFFORDABLE HOUSING with SUPPORT SERVICES.”

“Exempt purpose acchievments: to support the organization mission, the organization provided administrative support for the non-profit and for-profit ownership of 3,932 units of low-income housing, provided and supervised social services and resident activities, and engaged in fundraising activities for housing acqusition and rehabilitation and social services and resident activities. The organization has a volunteer board of directors comprised of community and resident participants. The full board meets regularly four times a year to provide guidance and oversight in furtherance of the organization mission. The organization continued to directly own and operate renaissance village apartments, a low-income housing apartment complex. The organization also continued to provide oversight and management of several low-income apartment complexes and to serve as the sole member for the disregarded entities (for income tax purposes) that owned and operated these low-income apartment complexes: hcs 307, llc dba country club village apartments hcs 308, llc dba sherwood apartments hcs 312, llc dba robinhood apartments hcs 313, llc dba north star village apartments hcs 314, llc dba fox run apartments hcs 401, llc dba lantana square apartments hcs 402, llc dba weslaco village apartments hcs 501, llc dba frio apartments hcs 502, llc dba village circle apartments in addition, the organization executive director served as the executive director for 15 affiliated housing boards that operate low-income properties. All board members of the organization and its affiliate boards served without compensation other than reimbursement by the organization of expenses incurred directly related to boards activities (primarily travel expenses associated with board meetings). The organization also provided oversight for resident services and/or community learning center programs at 45 low-income housing properties. A quality assurance program was followed to ensure compliance with company guidelines and with u.s. Department of hud regulations pertaining to neighborhood networks centers. Low-income housing property - exempt purpose achievement 1: the organization, the sole member of hcs 307, llc, owns and operates country club village apartments which consists of 82 units restricted to low-income elderly and handicapped residents. The organization acquired this facility in 2003 with low-interest loans from the tdhca and, during this reporting period, maintained a hud property based section 8 housing assistance payment contract making all 82 units available to seniors and handicapped with incomes less than 50% of the ami. The organization provides on site social and referral services for the senior and disabled population. These include case management and referral services, senior companion programs, health care information and health screenings and education (diabetes, high blood pressure, etc.). The organization maintained a computer lab for residents to use the internet and email. Weekly resident activities include arts and crafts, game days, socials and other activities geared toward the senior population. Low-income housing property - exempt purpose achievement 2: the organization, the sole member of hcs 308, llc, which owns and operates sherwood apartments, 56 units of affordable housing in edinburg, texas. During this reporting period, the organization maintained the hud property based section 8 housing assistance payment contract making all 56 units available to individuals and families with incomes less than 50% of the ami. Low-income housing property - exempt purpose achievement 3: the organization, the sole member of the hcs 312, llc, owns and operates the robinhood apartments, 69 units of affordable housing in harlingen, texas. During this reporting period, maintained a hud property based section 8 housing assistance payment contract making all 69 units available to individuals and families with incomes less than 50% of the ami. The organizatio”

“The organization continued as the sole member of 810/910 north frio street gp, llc, which is the general partner of 810/910 north frio street, lp (lp). The lp owns and operates the vista verde apartments, 192 units of affordable housing in san antonio, texas financed with tax credits awarded by the tdhca. During this reporting period the organization maintained a hud property based section 8 housing assistance payment contract making 190 units available to individuals and families with incomes less than 50% of the area median income (ami). The organization maintained the operations of the property in compliance with hud and tdhca regulations. Further, an on-site hud neighborhood networks center which houses a computer center with internet access was maintained. An after school program was maintained that operated out of the center and provided tutoring and structured activities for property youth. The organization continued as the sole member of west durango gp, llc, which is the general partner of west durango, lp (lp). The lp owns and operates the west durango plaza apartments, 82 units of affordable housing in san antonio, texas, financed with tax credits awarded by the tdhca. During this reporting period the organization maintained a hud property based section 8 housing assistance payment contract making all 82 units available to individuals and families with incomes less than 50% of the ami. The organization maintained the operations of the property in compliance with hud and tdhca regulations. Further, an on-site hud neighborhood networks center which houses a computer center with five computers with internet access was maintained. Additionally, an after school program was maintained that operated out of the center and provided tutoring and structured activities for property youth. The organization continued as the sole member of kingsville lulac manor gp, llc, which is the general partner of kingsville lulac manor, lp (lp). The lp owns and operates the kingsville lulac manor apartments, 88 units of affordable housing in kingsville, texas, financed with tax credits awarded by the tdhca. During this reporting period the organization maintained a hud property based section 8 housing assistance payment contract making all 88 units available to individuals and families with incomes less than 50% of the ami. Additionally, during this period, the organization maintained an on-site hud neighborhood networks center which houses a computer center with internet access. The organization continued as the sole member of guild park gp, llc, which is the general partner of guild park, lp (lp). The lp owns and operates the guild park apartments, 114 units of affordable housing in san antonio, texas, which is financed with tax credits awarded by the tdhca. All 114 of the units are available to individuals and families with income less than 30% to 60% of the ami. The organization continued as the 99.9% limited partner in om/ov, lp, which owns and operates the oak manor apartments, 229 units of affordable housing in san antonio, texas. Acqusition and rehabilitation was financed with tax credit exchange program funding awarded by the tdhca. A hud property based section 8 housing assistance payment contracts is maintained making 220 units available to individuals and families with income less than 50% of the ami. The organization continued as the sole member of hcs montabella pointe, llc, which is the general partner of montabella pointe, ltd. The limited partnership owns and operates the montabella pointe apartments, 144 units of affordable housing in san antonio, texas, which was funded using tax credit assistance program funding and tax credit awards.”

“NUMBER OF EMPLOYEES REPORTED ON W-3: THE ORGANIZATION HAD NO EMPLOYEES DURING THE PERIOD AND DOES NOT EXPECT TO PAY WAGES IN THE FUTURE. THE ORGANIZATION WAS NOT REQUIRED TO FILE A FORM W-3, BECAUSE IT LEASED ALL OPERATING PERSONNEL FROM professional employer services, inc., A PROFESSIONAL EMPLOYER ORGANIZATION. THE ORGANIZATION REPORTED EMPLOYEE LEASING COSTS IN FORM 990, PART IX, LINES 7 TO 10, AS APPLICABLE, AS IF THE LEASED EMPLOYEES WERE DIRECTLY PAID EMPLOYEES OF THE ORGANIZATION.”

“AUDIT COMMITTEE: THE ORGANIZATION FINANCE COMMITTEE PROVIDES OVERSIGHT OF THE ANNUAL AUDIT AND SELECTS AN INDEPENDENT CPA FIRM AS AUDITOR. THE EXECUTIVE DIRECTOR (ED) AND CHIEF FINANCIAL OFFICER (CFO) ARE CHARGED WITH THE TIMELY AND ACCURATE PREPARATION OF THE ANNUAL AUDIT. THE CPA FIRM (AUDITORS) PREPARES AN AUDIT REPORT DRAFT AND SUBMITS IT TO THE ORGANIZATION CHIEF FINANCIAL OFFICER, VICE PRESIDENT OF FINANCIAL COMPLIANCE, and nonprofit controller FOR REVIEW. THE AUDITORS THEN REVIEW THE DRAFT WITH THE ORGANIZATION FINANCE COMMITTEE PRIOR TO PRESENTATION OF A FINAL AUDIT REPORT AT A REGULARLY SCHEDULED MEETING OF THE ORGANIZATION BOARD OF DIRECTORS. THE ED AND CFO INCLUDE A SIGNED MANAGEMENT LETTER IN THE AUDIT REPORT FOR THE ORGANIZATION. PRIOR TO PRESENTATION AT A BOARD MEETING, THE BOARD RECEIVES A COPY OF THE AUDIT REPORT TO BE ISSUED. THEN AT THE MEETING, THE AUDITORS PRESENT THE AUDIT REPORT FOR BOARD REVIEW AND ACCEPTANCE. THE PROCESS HAS NOT CHANGED FROM THE PRIOR YEAR.”

“Housing and Community Services, Inc. 3419 nacogdoches road San Antonio, TX 78217-3376 Identification Number: 74-2685268 Tax Year Ended: June 30, 2019 Taxpayer elects under IRC Sec. 168(k)(2)(D)(iii) not to claim the special depreciation allowance for all eligible classes of property placed in service during the tax year ended June 30, 2019.”