Lexcares Inc

“The form 990 is prepared by an independent accounting firm. Once drafted, every member of the board of directors is provided with the 990 at least 7 days prior to the board meeting at which it will be reviewed and considered for acceptance. At that meeting, a full review and discussion, including responding to any questions a director may ask, takes place. If and when all participating directors are comfortable with and understand the content of the 990, they are asked to pass a resolution to accept and file the 990 as presented.”

“From organization bylaws document, article ix: section 3: duty to disclose, determination, and procedures for addressing conflict of interest: after disclosure of financial interest and material facts to the governing board or committee meeting by an interested person, the board will discuss and vote upon the transaction or arrangement involving the possible conflict of interest, with the interested person not present. The chairperson may, if appropriate, appoint a disinterested person or committee to investigate alternatives to proposed transaction/arrangement. After exercising due diligence, board shall determine if the organization can obtain with reasonable efforts a more advantageous arrangement that would not give rise to a conflict of interest. If a more advantageous arrangement is not reasonably feasible under circumstances not producing of conflict of interest, the board or committee shall determine by majority vote of disinterested directors whether the proposed transaction/ arrangement is in the organization's best interest, for its own benefit, and whether fair and reasonable. In conformity with this determination, board shall decide as to whether to enter into the arrangement. Section 6: annual statements each director, principal officer and member of a commmittee with governing board delegated powers shall annually sign a statement which affirms such person: a) has received a copy of conflict of interest policy; b) has read and understands this policy; c) has agreed to comply with this policy; and d) understands the organization is charitable and in order to maintain its federal tax exemption it must engage primarily in activities which accomplish one or more of its tax-exempt purposes.”

“Top management official, joe pepplitsch, is not compensated for his services as president of the board of directors and the organization.”

“Board members are not compensated by the organization for their services as directors.”

“Copies of governing documents, conflict of interest policy, and financial statements are available to the public via written request from the corporate office.”

“Book / tax depreciation difference -482”