Middlefork Ranch Incorporated

“Messrs. Hall & hall act as association managers on behalf of the board of directors, on an annual contract cancellable on 30 days' notice.”

“The organization is owned by owners of 21 recreational cabins located within it.”

“Members of the board of directors are elected by shareholders. Ownership or partial ownership in a cabin is qualification for being a shareholder of the organization.”

“A draft copy of the federal form 990 is reviewed by the president and treasurer (both non-executive positions). Upon completion of the review and the resolution of any questions, etc., a copy of the 990 is provided to all board members prior to its signature and mailing to the irs.”

“As the organization exists to provide services to homeowners, and having an interest in a home is a condition of board membership, all members of the governing body are deemed to have an interest in any decision by it, principally the annual setting of fees for services. Board members are required to disclose any direct, personal interest in a financial transaction under consideration. Such situations are very infrequent and emerge through individual disclosure and board investigation.”

“By the bylaws, the principal executive officer is the president, who is a volunteer elected from amongst the cabin owners. He has delegated management to an outside management company whose compensation is negotiated annually based on time involved. The management company is responsible for determining compensation of the ranch manager by agreement with the board based on data for comparable positions at comparable ranches.”

“The organization will provide governing documents and financial statements upon request.”

“The organization has no gambling prize winners and no vendors requiring backup withholding.”

“Livestock - farrier 10,986. Meals & food costs 9,274. Potable water system operation 8,560. Property taxes 7,020. Livestock - transport 6,295. Supplies 4,809. Radio/tv/telephone 2,667. Propane 2,191. Misc admin expenses 1,882. Gas & oil products 1,542. Livestock - veterinarian 1,394. Livestock - fees 913. Livestock - misc 501. Livestock - supplies & medicine 427. Postage 167. Small equipment purchases 70.”