4Th Second

“Richard Fisher and Emily Fisher are married and therefore are not considered independent.”

“The draft Form 990 is sent to the board of directors for review prior to filing. It is then further reviewed and approved by the President and Treasurer and once filed a filed copy is provided to each board member.”

“Any interested person must disclose the existence of the financial interest and be given the opportunity to disclose all material facts to the directors and members of committees with governing board delegated powers considering the proposed transaction or arrangement. Conflicts, if any, are resolved promptly. Further, to ensure the corporation consistent with charitable purposes and does not engage in activities that could jeopardize its tax exempt status, periodic reviews are operates in a manner conducted. The periodic reviews, at a minimum, include the following subjects: (a) Whether compensation arrangements and benefits are reasonable, based on competent survey information and the result of arm's length bargaining. (b) Whether partnerships, joint ventures, and arrangements with management corporations conform to the corporation's written policies, are properly recorded, reflect reasonable investments or payment for goods and services, further charitable purposes and do not result in inurement, impermissible private benefit or in an excess benefit transaction.”

“In the Spring of 2023, 4th Second's Board of Directors conducted a formal evaluation regarding the transition of its President and Executive Director from a completely volunteer position to a part-time paid Executive Director role on an interim basis. This decision was made in recognition of the growing responsibilities required to sustain and expand the organization's mission-driven work. This decision was revisited in Spring of 2024 and the board decided to continue on a more permanent basis at the same part time hourly rate. To determine an appropriate salary, the board conducted a comprehensive compensation review, analyzing IRS Form 990 filings from comparable Solano County nonprofits of similar size and scope to ensure that the salary and benefits offered are reasonable, and aligned with the organization's operational scale. Further the board conducted a market analysis using multiple salary data sources, including Salary.com, Zippia, and ZipRecruiter. These sources, combined with IRS Form 990 benchmarking data from other nonprofit executive roles in Vallejo, provided a comprehensive basis for determining a fair and competitive salary. Furthermore, to avoid conflicts of interest, Richard or Emily Fisher recused themselves from voting on both the hiring decision and the final compensation package, as they are considered interested parties in the decision-making process. All independent and non-interested members of the Board of Directors formally reviewed and approved the final compensation package, carefully documenting the process in official meeting minutes. This documentation includes details of the market research sources, the rationale behind the salary decision, and the names of board members involved in the approval.”

“4th Second provides its Internal Revenue forms, bylaws, conflict of interest policy, and financial statements to the general public for inspection upon request and free of charge.”