Pauahi Elderly Inc.

“Pauahi elderly, inc. Is managed by foundation property management, inc. A professional property management company. Foundation property management, inc. Has a project owner's and management agent's certification for multifamily housing projects with the u.s. Department of housing and urban development. Under this certification, hud has approved foundation property management, inc. To manage the pauahi elderly, inc. Apartment community. The management contract encompasses the day to day operations of the project including, but not limited to, collection of rents, maintenance of facilities, supervision of staff, and ongoing support for both the owners and tenants as needed in order to establish a sanitary and affordable environment. Stuart j. Hartman and peter oscar peabody are compensated by foundation property management, inc. As follows: base compensation of $284,717 and $230,681, other compensation of $5,400 and $5,400, deferred compensation of $22,933 and $6,758, and nontaxable benefits of $29,031 and $20,602, respectively.”

“There is one class of members, consisting of retirement housing foundation and the hawaii conference of the united church of christ(inactive). Membership is nontransferable and nonassignable.”

“The directors are elected by the members at the annual meeting of the members.”

“The by-laws may not be amended, repealed, added to, nor new by-laws adopted except by the affirmative vote or written consent of each of the two members.”

“The auditing firm sends a draft of the return to the management company. The corporate secretary and director of housing accounting review and approve the return prior to filing.”

“Upon joining the company and annually thereafter, all employees and board members are required to complete and sign a certification acknowledging their understanding and agreement to comply with the company's conflict of interest policy, including disclosing any activities that may appear or may be deemed violations of the policy. Board members and company officers have an additional and more comprehensive conflict of interest policy and certification requirement. Designated management personnel are responsible for tracking the distribution and return of all certifications and for accounting and reporting any disclosures to the company's compliance officer. If further review of any disclosure is merited, the compliance officer forwards the certification to the company's general counsel, ceo, and/or board for final disposition. Individuals who have made disclosures are advised of final dispositions. An employee's failure to submit timely certifications, disclosures, and/or to take the necessary required actions to avoid conflicts may be disciplined, up to and including termination. If the individual is a board member, he or she may be subject to removal from his or her position.”

“The process for determining compensation for the ceo, executive director, top management officials, and other officers or key employees included an extensive review and approval by independent persons.”

“The form 990 and all related financial and policy information are made available to the public upon written request.”

“Average number of hours worked: all of the officers, directors, and employees listed in part vii, section a perform similar duties and have similar responsibilities for related organizations as they do for this organization. Their total hours worked per week for this organization are similar to their hours worked for related organizations both in terms of number of hours and type of work performed.”

“Compensation disclosure: the compensation listed on schedule j and elsewhere in this return is for services provided to and paid by retirement housing foundation which is a related organization that sponsors and manages through subsidiaries approximately 190 tax exempt organizations and partnerships that provide affordable and market-rate housing, skilled nursing and assisted living services for senior adults, low income families and persons with disabilities throughout the united states including the district of columbia, puerto rico and the virgin islands.”

“ROUNDING ADJUSTMENT 10.”

“Oversight of auditing function: foundation property management, inc., the management company, receives a copy of the audit. Prior to the finalization of the audit, the top level executives at foundation property management, inc. Give their approval. When the audit is up for bid, the board discusses the relationship with the current auditors and makes a determination as to whether to maintain this relationship or change to a new auditing firm.”