Alternative Learning Center Inc

“Audit Committee reviews and approves before filing.”

“Disclosures are done during yearly evaluations”

“The Board of Director's Committee on executive compensation conducts an annual performance review of our Chief Executive Officers and our Chief Financial Officer. In setting compensation increases over 5%, the Board is to be guided by the nonprofit integrity act of 2004 which was effective January 1, 2005. The Act provides for review and approval by the Board of Directors of non profit corporations regarding the compensation paid to the Chief Executive Officer and the Chief Financial Officer of the charitable organization. It provides the compensation, including benefits of two offices shall be reviewed and approved by the Board of Directors or an authorized committee of a charitable organization. The standard of review is to be determined whether the compensation is just and reasonable. In setting the current compensation of both positions the Board in making its determination of reasonableness reviewed relevant comparables in compensation according to job classifications, experience, size of organizations and other relevant elements. It consulted compensation survey data for both positions from the 18th, 2005 edition of Abbott Langer and Associates, Inc. publication of "Compensation of Non Profit Corporations in California". It also reviewed companies of both positions from the County of Santa Clara Public Defenders Office. Finally it received the 2004 salary survey conducted by Mr. John O'Toole from the National Center for Youth in Law in Oakland, CA.”

“All of our public documents are subject to availability to the public upon request. A notice of availability of public documents is prominately posted in the lobby area of our office.”

“= -$617240”

“Reported in prior years = -$524131”