Social Vocational Services Inc

“Board member, sara cox, has family relationship with associate executive director.”

“Procedures for board review of form 990 1.the audit committee shall have the responsibility for reviewing the organization's form 990 (including all pertinent schedules) before it is filed with the internal revenue service. 2.a draft of the form 990 should be ready for review by the audit committee one month prior to the filing deadline. 3.after the draft of the form 990 has been obtained by the audit committee, they will have no more than two weeks to complete their review. 4.in conducting their review of the draft of the form 990, it is preferred that the audit committee shall conduct a top-level or big-picture type of review. However, if the audit committee desires or deems it necessary to conduct a more detailed review of the form 990, then they should contact the preparer of the form 990 to request copies of the relevant detailed tax return workpapers which they would like to see. 5.once the audit committee has completed its initial review of the form 990, a meeting or conference call will be scheduled with the preparer of the form 990 to discuss any questions, comments and suggested revisions identified by the audit committee. 6.the preparer of the form 990 should make any revisions to the form 990 as soon as feasibly possible to ensure that the form 990 is filed with the internal revenue service on a timely basis. 7.all questions, comments and suggested revisions set forth by the audit committee should be documented, along with any responses from the preparer of the form 990, if applicable. 8.after the form 990 has been reviewed by the audit committee and filed with the internal revenue service, the audit committee will make a presentation at the next full board of directors meeting to update the full board regarding its review of the form 990. At this meeting with the full board of directors, it is not required for the audit committee to review all of their questions, comments and suggested revisions; a summary of their more important points will be sufficient.”

“The taxpayer has a corporate compliance meeting held two times per year. The committee is composed of executive director, directors of human resources, directors of regional administration, director of finance, and risk & safety managers.”

“The compensation committee is composed of members of the board of directors and meets every other year to hire external consultants who do a survey of comparable positions. The compensation committee reviews the survey and votes to approve the compensation of the executive director and associate executive director. After the compensation package is approved, it is presented to the board of directors. As a result of irs audit, the compensation committee considers a more narrow range of comparable positions for the compensation survey.”

“These documents are available upon request.”

“The irs conducted an audit that focused on the amount of compensation paid to 2 dps in the 2007, 2008, 2009, and 2010 calendar years. In april 2014, the dispute was settled to avoid the additional cost inherent in continuing to dispute the matter with the irs. Svs did not concede that the compensation paid was excessive (the agreed upon excess amount averaged $75,000 per year per person), although each dp agreed to reimburse the excess amount to svs and to pay a tax imposed by section 4958 as disclosed on schedule l, plus interest, in order to settle the matter. In response to the audit, svs thoroughly examined and strengthened its compensation setting procedures. Svs hired an independent compensation consultant to review the compensation levels for 2011-2014, and to conduct compensation studies for the compensation committee of the board for 2015 and subsequent years. These improvements to the compensation setting procedures, including the hiring of the consultant, were discussed with the irs during the audit.”

“The oversight process has not been changed.”