Timber Products Manufacturers Trust

“The day-to-day operations of the trust are supervised by a trust health director who reports directly to board of trustees. Additionally, the trust has retained the services of outside contract service providers to provide claims processing, case management, and other administrative services.”

“The trust is administered by a board of trustees. Individual trustee positions are selected as described below: the trust shall be administered by a board of trustees which shall consist of nine (9) trustees appointed by the board of directors of the sponsor (sponsor board). Only directors of the sponsor board whose companies are participating employers may vote on the appointment of trustees. At least seven (7) of the trustees must be individuals who represent participating employers who are covered under the plan. Such individuals may include a covered employee as well as an officer or management representative of a participating employer, even if that officer or management representative is not an actual plan participant. The trustees so appointed shall sign the trust agreement, or a duplicate thereof, or an oath of trustee in a form approved by the board of trustees, and such signatures shall constitute acceptance of office and agreement to act under and be subject to all the terms and conditions of the trust agreement and amemdments thereto.”

“Any changes in the plan document authorized by the board of trustees of this trust must be approved by the sponsor, timber products manufacturers inc.”

“The federal form 990 and schedules were prepared under the guidance of the trust's health plan director by the independent accounting firm cliftonlarsonallen llp. Draft copies of the federal form 990 and schedules were first provided to the health plan director, who reviewed the form 990 and schedules for accuracy and completeness. Any questions, concerns or issues raised by the health plan director were addressed and any necessary revisions were made to the federal form 990 and schedules. The revised federal form 990 and schedules were then provided to the board of trustees for its review. Any additional questions, concerns or issues raised by the board of trustees were addressed and any necessary revisions were made to the federal form 990 and schedules.”

“Trustees, service providers, third-party administrators, or any other person having responsibility for the management or administration of the trust's finances, investments, or other proprietary information concerning the trust are considered interested persons. An interested person is under continuing obligation to disclose any potential conflict of interest to the board of trustees as soon as it is known or reasonably should be known. The interested person is given the opportunity to disclose all material facts to the trustees when considering the proposed transaction or arrangement. After disclosure of the financial, professional, or personal interest and all material facts, and after any discussion with the interested person, he/she leaves the trustees meeting while the determination of a conflict of interest is consisdered. If the disinterested trustees determine a conflict of interest exists, the chairman of the board, if appropriate, appoints a disinterested person or committee to investigate alternatves to the proposed transaction or arrangement. After excercising due dilligence, the trustees determine alternatives to the proposed transaction or arrangement with a person that would not give rise to a conflict of interest. If a more advantageous transaction or arrangement is not reasonably attainable under circumstances that would not give rise to a conflict of interest, the board or committee determines by majority vote of disinterested trustees whether the transaction agreement or arrangement is in the best interest, for its own benefit, and whether it is fair and reasonable. In conformity with the above determination the trustees make a decision as to whether to enter into the transaction agreement or arrangement. The minutes of the meeting reflect the conflict disclosure was made to the board, the vote taken and, where applicable, the abstention from voting and participation by the interested party. Whenever possible, the minutes should frame the decision of the board in such a way to provide guidance for consideration for future conflict of interest situations. To ensure the trust operates in a manner consistent with its tax-exempt purpose and does not engage in activities that could jeopardize its tax-exempt status, the board of trustees conducts periodic reviews, the periodic reviews include, at a minimum, the following subjects: whether contractual arrangements with services providers and services provided are reasonable, based on competent market survey information, and the result of arm's length negotiations. Whether contractual arrangements with service providers and arrangements with other organizations conform to written policies, are properly recorded, reflect reasonable investmentor payments for goods and services, further tax-exempt purposes, and do not result in inurement, impermissible private benefit, or in an excess benefit transaction. Whether any transaction conducted by the trust during the review period involves or could possibly give rise to a conflict of interest.”

“The trust has no compensated management officials, officers, or key employees. If the organization had such compensated indivdiuals, policies and procedures would be developed to determine compensation.”

“The trusts governing documents, conflict of interest policy, financial statements and federal form 990 and schedules are available to the general public upon written request sent to the sponsor of the trust, timber products manufacturers inc, 951 e 3rd ave, spokane, wa 99202.”

“The process and methods used to select the independent auditor have not changed from the process and methods used in prior years.”