Prelude Si Corporation

“The organization has entered into a property management agreement with a related party, new destiny housing corporation, which provides for rental management, repairs and supervision. Please refer to part vii and schedule j for individuals compensated by the management company. Amount paid to management company was $204,000.”

“There are no committees with authority to act on behalf of the governing body.”

“The organization has its form 990 prepared by an outside accounting firm and has established the following review process to ensure that the information reported is complete and accurate. When the form 990 has been prepared, reviewed by management and is ready to be filed with the internal revenue service, it is electronically sent to the board for approval. Once the board has approved the return it is filed with the internal revenue service.”

“Prelude si corporation and all persons either elected or appointed to an office (includes, but not limited to, any board officers, directors, and committee members) shall conscientiously avoid any situations and activities where their personal interest could conflict, or appear to conflict, with the interests of the organization. A conflict of interest is any opportunity for personal gain in dealing with or on behalf of the organization apart from nominal reimbursement of expenses according to organization's policy. In the event that any officer, director or committee member prelude si corporation shall have any direct or indirect interest in, or relationship with, any individual or organization which proposes to work with or transact any business with the organization, such person shall give or notice of such interest or relationship to the board and shall thereafter refrain from discussing or voting on the particular transaction in which she or he has an interest or otherwise attempting to exert any influence on the organization to affect a decision whether to participate in such transaction. Prelude si corporation will disclose the policy to candidates for the board and will obtain re-affirmation of the policy from existing members of the board or committees annually. Failure to comply with the policy may be grounds for removal from the board and/or committees.”

“The organization makes its form 990 available for public inspection as required under section 6104 of the internal revenue code. The return is posted on guidestar.org and other similar types of websites. In addition, the financial statements, conflict of interest policy, articles of incorporation and by-laws are also available upon written request.”