Franklin Owid Birmingham Trust 1

“There are no committees and therefore no board authority delegated to any committee. The Mayor of the city of Wylie is the Board Chairman. The Mayor has no vote except in the case of a tie.”

“Board meetings are documented with contemporaneous minutes taken by the Executive Director. They are presented to the Board at the next meeting for approval. There are no additional committees or meetings so there is no contemporaneous documentation of other meetings.”

“See Schedule R, part VII, page 5 for further explanation. Taxpayer, Birmingham Land Trust #1,and Birmingham Land Trust #2 are affiliated by the fact that their assets, income and expenses are commingled and have been since the establishment of Trust #2. The Trusts also have the same Board as designated in the Trust documents. There are not separate written policies other than the Trust documents and the court orders specifying the ownership of the Trust assets as further described in Schedule R.The Trust documents for the separate Trusts specify which programs at WISD each specific Trust is required to support. Trust #1's contributions are limited to the benefit of classes in the areas of manual training and domestic economy. Trust #2's contributions are limited to the benefit of classis in the areas of American history and chemistry. When the annual contributions are made the executive director and the Board send directions to Wylie Independent School District (WISD) to document how the contributions are to be used. WISD reports the expenditures to the Trusts to demonstrate compliance with the donation restrictions.”

“Form 990 is presented to the Treasurer as a draft prior to filing.”

“Each board member and the key employee is required to sign a conflict of interest policy on an annual basis.”

“Disclosure of documents and policies are made upon request as required by state and federal law.”

“Client Note 1 - 2012 Items for Board1. Annual conflict of interest statement - have they been signed?2. Jon - do you have a written document retention an ddestruction policy?3.”