Paso Robles Destination

“The organization contracted with solterra strategies, inc. To provide management duties and public relations services. The organization paid $184,250 of management fees and $79,549 for public relations services for the 6/30/22 fiscal year. Solterra strategies, inc. Is wholly owned by stacie jacob, the executive director. A 1099-nec was not issued for their services, as s corporations are not required to receive a 1099-nec.”

“The 990 is reviewed and approved by the treasurer, executive director, and bookkeeper prior to submission.”

“In addition to reviewing annually, the board members disclose potential conflicts of interest during the year as they arise. The board addresses conflicts of interest immediately upon disclosure.”

“Compensation has historically been determined by comparison to similar organizations and a review of the proposed compensation and benefit payments by the board of directors. Compensation is approved by a vote of the board. Currently, management fees paid to solterra strategies are annually presented and reviewed by the executive committee, then presented to the board of directors for further discussion and approval.”

“Meeting agendas and minutes are posted to the organization's website.”

“Cash to accrual adjustment 341,786.”

“The organization elected to change their accounting method from cash to accrual basis. The adjustment to convert to an accrual basis at the beginning of the tax year was $341,786. There is no unrelated business income and therefore no taxable income. The entire 481(a) adjustment has been reflected in net assets in the current year. See form 3115 filed with this return for additional detail.”

“The 6/30/22 fiscal year was the first year an audit of the financial statements was performed. The audited financial statements are reviewed by the executive committee and then are presented to the board of directors for further discussion and approval.”