2023-11-10T18:07:49-06:00 2023-06-30 910189318 MOSS ADAMS LLP 4747 EXECUTIVE DR SUITE 1300 SAN DIEGO CA 92121 990 2022-07-01 330123550 AMERICAN COUNCIL ON EXERCISE AMER 8582798227 4933 PARAMOUNT DRIVE SAN DIEGO CA 92123 ALEX MIRNEZAM C.F.O. 8582798227 2023-11-10 1 ALEX MIRNEZAM XXX-XX-XXXX 0 PATRICIA J MAYER P00188643 8586271400 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z ALEX MIRNEZAM 4933 PARAMOUNT DRIVE SAN DIEGO CA 92123 32945138 0 X WWW.ACEFITNESS.COM X 1986 CA THE NONPROFIT ORGANIZATION AMERICAN COUNCIL ON EXERCISE IS COMMITTED TO GETTING PEOPLE MOVING. 14 13 107 17 56398 6466 50 31407 14052930 13844770 6786159 473518 5857904 5205892 26697043 19555587 0 0 0 0 12479466 14100594 0 0 0 11865435 10568035 24344901 24668629 2352142 -5113042 27869166 25573027 11054325 13297594 16814841 12275433 X OUR MISSION IS TO GET PEOPLE MOVING. 0 0 8346012 0 9666597 CERTIFICATION AND PREPARATORY EDUCATION:THE CERTIFICATION OF WELL-QUALIFIED EXERCISE PROFESSIONALS AND HEALTH COACHES IS THE FOUNDATION OF ACE'S APPROACH TO GET PEOPLE MOVING. ACE DEVELOPS, REVIEWS, AND MAINTAINS ACE CERTIFICATION EXAMS, STUDY MATERIALS AND TRAINING MANUALS. IN 2022, THERE WERE MORE THAN 90,000 ACE CERTIFIED PROFESSIONALS WHO HELD MORE THAN 100,000 CERTIFICATIONS. THESE PROFESSIONALS ARE LOCATED ACROSS THE WORLD IN MORE THAN 115 DIFFERENT COUNTRIES.IN THE 2022 CALENDAR YEAR, THE NUMBER OF ACE CERTIFIED PROFESSIONALS INCLUDED APPROXIMATELY 63,000 ACE CERTIFIED PERSONAL TRAINERS; 21,000 ACE CERTIFIED GROUP FITNESS INSTRUCTORS; 7,000 ACE CERTIFIED HEALTH COACHES; AND 900 ACE CERTIFIED MEDICAL EXERCISE SPECIALISTS. COLLECTIVELY, ACE CERTIFIED PROFESSIONALS HELD APPROXIMATELY 57 MILLION CLIENT SESSIONS IN 2022.IN 2022, ACE EXPANDED ITS HEALTH COACHING EDUCATION AND TRAINING VIA THE ACQUISITION OF SUBSTANTIALLY ALL THE ASSETS OF THE LEAN GROUP, LLC DBA DR. SEARS WELLNESS INSTITUTE. 7867725 0 9149868 CONTINUING EDUCATION AND RENEWALS:ACE DEVELOPED AND UPDATED APPROXIMATELY 40 EDUCATION PROGRAMS AND COURSES IN 2022, INCLUDING THE SIZE CLUSIVE FITNESS SPECIALIST PROGRAM AND THE ACE GROUP FITNESS INSTRUCTOR STUDY PROGRAM UPDATE.ACE ALSO LAUNCHED A SUITE OF ACE LIFECYCLE CAREER SUPPORT TOOLS INCLUDING ACE PRO COMPASS, ACE PRO CONNECT APP AND THE ACE JOB BOARD. EXERCISE PROFESSIONALS AND HEALTH COACHES ARE ABLE TO RENEW THEIR CERTIFICATIONS WITH ACE THROUGH CONTENT BY ACE AND ITS APPROVED PARTNERS.IN 2022, ACE STRENGTHENED ITS FOCUS ON EQUITY, DIVERSITY AND INCLUSION (EDI) BY OFFERING MULTIPLE NEW COURSES TO HELP EXERCISE PROFESSIONALS SUPPORT AND WORK WITH CLIENTS WHO MAY HAVE DIFFERENT BACKGROUNDS, ABILITIES, IDENTITIES, AND BODY SIZES. ACE ALSO HOSTED MULTIPLE EDI-RELATED DISCUSSIONS ON FACEBOOK LIVE, ZOOM, AND TWITTER RADIO TO INCREASE AWARENESS AND KNOWLEDGE, SUCH AS "RECOGNIZING RACIAL MICROAGGRESSIONS AND CREATING AN INCLUSIVE HEALTH AND FITNESS SPACE." ACE'S KEYSTONE ONLINE EDI COURSE, TAKING ACTION WITH ACE, IS OFFERED TO ACE CERTIFIED PROFESSIONALS FOR FREE AND WAS AWARDED THE BRANDON HALL GROUP AWARD FOR EXCELLENCE IN THE BEST ADVANCE IN DIVERSITY AND INCLUSION INNOVATION CATEGORY.ACE ALSO OFFERS EXERCISE PROFESSIONALS AND HEALTH COACHES THE OPPORTUNITY TO RENEW THEIR CERTIFICATION. ACE PARTNERS WITH OTHER ORGANIZATIONS WHO PROVIDE ACE- APPROVED EDUCATION OPPORTUNITIES FOR CERTIFIED PROFESSIONALS. CERTIFICATION RENEWALS AND ACE-APPROVED PARTNER EDUCATION OPPORTUNITIES HELP CERTIFIED PROFESSIONALS REMAIN INFORMED AND QUALIFIED TO SAFELY AND EFFECTIVELY LEAD INDIVIDUALS TO HEALTHLIER AND MORE ACTIVE LIVES. 4081553 0 87506 RESEARCH:ACE CONTINUES TO PROVIDE THE PUBLIC WITH SCIENCE-BASED INFORMATION TO EDUCATE AND ENCOURAGE PEOPLE FROM ALL WALKS OF LIFE TO ACHIEVE SUSTAINABLE HEALTH CHANGES. IN 2022, ACE INVESTED MORE THAN $100,000 INTO ORIGINAL RESEARCH, INCLUDING A STUDY WHICH REVIEWED DEVELOPMENTAL AND HEALTH MEASURES COMPARED ACROSS SEX, SOCIOECONOMIC STATUS AND URBAN/RURAL LOCATION. IN ADDITION, ACE PARTNERED WITH MORE THAN 30 ORGANIZATIONS, ADVOCACTED FOR FITNESS PROFESSIONALS AND INCREASED PHYSICAL ACTIVITY OPPORTUNITIES FOR THE PUBLIC, AND DEVELOPED MULTIPLE COURSES, EVENTS, AND RESOURCES TO SUPPORT INCREASED EQUITY, DIVERSITY AND INCLUSION IN THE FITNESS INDUSTRY. ACE ALSO CONTINUED ITS #ACESCIENCESATURDAY SOCIAL MEDIA SERIES, WHICH HIGHLIGHTS RECENT RESEARCH AND SHARES HOW CURRENT FITNESS PROFESSIONALS CAN APPLY SCIENCE INTO THEIR DAILY SESSIONS WITH CLIENTS. PHYSICAL ACTIVITY PROMOTION:ACE REMAINS COMMITTED TO PROVIDING THE PUBLIC, FITNESS ENTHUSIASTS, AND CERTIFIED PROFESSIONALS WITH FREE, SCIENCE-BASED CONTENT TO SUPPORT MORE ACTIVE LIFESTYLES. IN 2022, ACE GENERATED MORE THAN 160 UNIQUE NEWS STORIES THAT WERE CITED IN MORE THAN 4,500 ARTICLES. ACE HAD MORE THAN 5 MILLION UNIQUE INDIVIDUALS VISIT THE ACE WEBSITE AND BLOGS IN 2022.ACE ALSO PARTNERED WITH LIKE-MINDED ORGANIZATIONS TO PROMOTE INCREASED PHYSICAL ACTIVITY. SOME OF THESE PARTNERS INCLUDE THE CDC'S ACTIVE PEOPLE HEALTHY NATION INITIATIVE, ARTHRITIS FOUNDATION, PARKINSON'S FOUNDATION, PHYSICAL ACTIVITY ALLIANCE (PAA), AND THE PHYSICAL ACTIVITY POLICY RESEARCH AND EVALUATION NETWORK (PAPREN). THROUGH THESE PARTNERSHIPS AND COLLABORATIONS, ACE PROVIDED ADDITIONAL EDUCATIONAL RESOURCES FOR HEALTH AND FITNESS PROFESSIONALS AND ORGANIZATIONS NATIONWIDE WITH TIPS AND IDEAS TO HELP INCREASE PHYSICAL ACTIVITY.COVID-19:IN 2022, ACE CONTINUED TO PROVIDE RESOURCES AND ADVICE ABOUT PHYSICAL ACTIVITY AND COVID. THESE ARTICLE TOPICS INCLUDED THE LINK BETWEEN PHYSICAL INACTIVITY AND COVID- 19 OUTCOMES AND COLLABORATIVE ADVOCACY EFFORTS TO INCREASE SUPPORT FOR HEALTH AND FITNESS BUSINESSES AFFECTED BY CLOSURES AND REGULATIONS.ADVOCACY:ACE CONTINUED TO ADVOCATE FOR INCREASED OPPORTUNITIES FOR PHYSICAL ACTIVITY AND SUPPORT FOR FITNESS PROFESSIONALS. THESE EFFORTS INCLUDED COLLABORATIVE UNDERTAKINGS WHICH SOUGHT INCREASED FOCUS ON PHYSICAL ACTIVITY AND ITS BENEFITS AT THE FEDERAL LEVEL, LEGISLATION TO REDUCE COST BARRIERS TO PHYSICAL ACTIVITY NATIONWIDE, AND AN ADVOCACY AWARENESS COMMUNICATIONS CAMPAIGN CALLED "MOVING TOGETHER OUTSIDE," WHICH AIMED TO INCREASE AWARENESS OF SHARED-USE AGREEMENTS BETWEEN FITNESS PROFESSIONALS AND PARK OWNERS, SO ADDITIONAL OUTDOOR PHYSICAL OPPORTUNITIES COULD BE CREATED. IN 2022, ACE WORKED DIRECTLY WITH THE PHYSICAL ACTIVITY ALLIANCE, AN ORGANIZATION THAT STRIVES TO MAKE THE ACTIVE CHOICE THE EASY CHOICE, TO AMPLIFY COLLABORATIVE ADVOCACY APPROACHES TO ENCOURAGE INCREASED PHYSICAL ACTIVITY AND IMPROVED HEALTH FOR AMERICANS.EQUITY, DIVERSITY AND INCLUSION:IN 2022, ACE DEVELOPED EDUCATIONAL RESOURCES, HOSTED PUBLIC DIALOGUES, AND SECURED MEDIA PLACEMENTS TO ELEVATE THE EDI DISCUSSION IN THE FITNESS INDUSTRY. ACE ALSO PARTNERED WITH LIKE-MINDED ORGANIZATIONS TO HELP CREATE A MORE EQUITABLE, DIVERSE, AND INCLUSIVE HEALTH AND FITNESS INDUSTRY AND INCREASED ACCESSIBILITY TO THE ACE WEBSITE.IN ADDITION TO DEVELOPING COURSES FOR HEALTH PROFESSIONALS AND FITNESS BUSINESS OWNERS, ACE HOSTED MULTIPLE PUBLIC DIALOGUES, WITH TOPICS INCLUDING "BLACK HISTORY MONTH: PUBLIC HEALTH AND EXERCISE PROFESSIONALS, AND PLACES OF WORSHIP AND "LGBTQIA+ YOUTH AND PHYSICAL ACTIVITY." ACE WAS ALSO FEATURED IN MEDIA ARTICLES ABOUT EDI AND THE FITNESS INDUSTRY IN PUBLICATIONS FOR NATIONAL OUTLETS (E.G., U.S. NEWS AND WORLD REPORT, SELF, MARIE CLAIRE) AND INDUSTRY-RELATED OUTLETS (E.G., CLUB INDUSTRY, A SWEAT LIFE, THE HEALTH PROJECT PODCAST).IN 2022, ACE ALSO CONVENED ITS FIRST EDI COUNCIL, AN INTERNAL EMPLOYEE-LED GROUP OF 10-12 STAFF MEMBERS WHO PROVIDE RECOMMENDATIONS TO ACE LEADERSHIP AND CONTRIBUTES TO THE PLANNING AND EVALUATION OF ORGANIZATIONAL ACTIVITIES RELATED TO EDI. 20295290 1 1 0 1 0 0 0 0 0 0 1 0 0 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 1 110 0 1 107 1 1 1 0 0 0 0 0 0 0 0 0 0 0 X 14 13 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA AZ CO FL ID IN KS ME MD MI MN MO TX WI WA X ALEX MIRNEZAM 8582798227 4933 PARAMOUNT DRIVE SAN DIEGO CA 92123 ANTONIO WILLIAMS BOARD MEMBER 3.00 X 0 0 0 JAY BLAHNIK BOARD MEMBER 3.00 X 0 0 0 DAVID NIXON BOARD CHAIR 5.00 X X 0 0 0 TUAYO LOUIS BOARD MEMBER 3.00 X 0 0 0 FRED HOFFMAN BOARD MEMBER 3.00 X 0 0 0 GREGORY DEGNAN BOARD MEMBER 3.00 X 0 0 0 JENNY LEE BOARD MEMBER 3.00 X 0 0 0 JIM FORSON BOARD TREASURER 3.00 X X 0 0 0 JOHN LALLY BOARD SECRETARY 3.00 X X 0 0 0 KIMBERLY WELLS BOARD MEMBER 1.00 X 0 0 0 LAURIE WHITSEL BOARD VICE CHAIR 3.00 X X 0 0 0 SCOTT GOUDESEUNE CEO BOARD MEMBER 60.00 X X 605193 0 82379 BECKY ROSEBERRY BOARD MEMBER 3.00 X 0 0 0 FRED SHERMAN BOARD MEMBER (THRU 06/22) 2.00 X 0 0 0 SCOTT ALARCON BOARD MEMBER 3.00 X 0 0 0 ALEX MIRNEZAM CHIEF FINANCIAL OFFICER 60.00 X 498001 0 88495 AMANDA CASS CHIEF OPERATING OFFICER 60.00 X 351201 0 52742 CEDRIC BRYANT PRESIDENT & CHIEF SCIENCE OFFICER 60.00 X 471837 0 73819 DAVID FISCHER SVP, ONLINE BUSINESS TECHNOLOGY 40.00 X 239313 0 36046 GRAHAM MELSTRAND EVPCOMMUNITY HEALTH & WELLNESS SERVICES 40.00 X 318305 0 42108 TODD GALATI SEN DIRECTOR CREDENTIALING & PRACTICE ADVANCEMENT 40.00 X 209837 0 45698 SARAH BEAVINS VP, SALES & MARKETING 40.00 X 259674 0 37279 CHRISTOPHER GOUDESEUNE VP, OPERATIONS 40.00 X 210890 0 28747 3164251 0 487313 38 0 1 0 SCANTRON CORPORATION PO BOX 93038 CHICAGO IL 60673 TESTING SERVICES 1285787 IMPACT TECH INC 223 EAST DE LA GUERRA SANTA BARBARA CA 93101 PAID MEDIA & SEO 426948 ZION & ZION LLC 74 E RIO SALADO PRWY STE 200 TEMPE AZ 85281 MARKETING AGENCY SERVICES 404719 PROCTORU INC MS121 MEAZURE LEARNING PO BOX 98974 SACRAMENTO CA 95798 TESTING SERVICES 381163 FEDERAL EXPRESS PO BOX 7221 PASADENA CA 91109 SHIPPING 328873 27 31407 31407 CONTINUING EDUCATION 900099 5304543 5304543 CERTIFICATION FEES 900099 4608432 4608432 RENEWAL FEES 900099 3845325 3845325 OTHER INCOME 900099 82480 82480 CONSUMER OUTREACH 900099 3990 3990 13844770 338307 338307 90293 90293 11793585 11658374 135211 135211 135211 6790378 1731177 5059201 5059201 PROFESSIONAL TOOLS & SUPPORT 541519 55362 55362 ADVERTISING 541800 1036 1036 56398 19555587 18903971 56398 563811 2219726 598890 1620836 9872491 8455701 1416790 333835 333835 913035 869299 43736 761507 601561 159946 167909 9 167900 84044 5 84039 56603 56603 1845694 1694888 150806 2392789 2380615 12174 142994 136301 6693 201345 165042 36303 87251 55713 31538 275567 216456 59111 680740 558001 122739 244754 198877 45877 TESTING SERVICES 1295737 1295737 ONLINE SERVICES 1130383 1079899 50484 MERCHANT FEES 597357 597357 PROFESSIONAL DEVELOPMEN 282618 236647 45971 1082250 820457 261793 24668629 20295290 4373339 0 600 600 5465169 1942509 24336 24336 407617 1308525 262536 365872 2045674 1804132 10447849 3640390 7184251 6807459 10402229 9026470 2003964 2076754 2289160 27869166 25573027 2747520 2349019 1979776 2857366 4254991 4532665 2072038 3558544 11054325 13297594 X 16731741 12206446 83100 68987 16814841 12275433 27869166 25573027 -5113042 573634 0 X 0 1 X 1 0 X 14483 1465586 653813 50 31407 2165339 28360104 25710449 27557113 21728755 20635148 123991569 28374587 27176035 28210926 21728805 20666555 126156908 0 0 0 126156908 247720 310820 282022 284744 428600 1553906 247720 310820 282022 284744 428600 1553906 28622307 27486855 28492948 22013549 21095155 127710814 0.98780 0.98760 0.01220 0.01000 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 0 0 0 0 1 4000 0 0 4000 0 PART II-B, LINE 1: THE AMERICAN COUNCIL ON EXERCISE PARTICIPATED IN ADVOCACY EFFORTS ON HEALTH POLICY IN THE FOLLOWING AREAS: -FEDERAL AND STATE POLICY THAT PROMOTES, INCENTIVIZES OR ENCOURAGES ENGAGING IN PHYSICAL ACTIVITY AND ADOPTING HEALTHY LIFESTYLE BEHAVIORS, INCLUDING THE PERSONAL HEALTH INVESTMENT TODAY (PHIT) ACT, PHYSICAL ACTIVIITY GUIDELINES FOR AMERICANS, TREAT AND REDUCE OBESITY ACT, INVEST ACT. -FEDERAL POLICY THAT WOULD PROVIDE PANDEMIC RELATED RELIEF FOR THE FITNESS SECTOR GYMS ACT. -LOCAL POLICY THAT SUPPORTS SHARED USED AGREEMENTS AND SAFE, ACCESSIBLE EXERCISE OUTDOORS. ACE ATTENDED THE WHITE HOUSE CONFERENCE ON HUNGER, NUTRITION AND HEALTH WHICH WAS HELD ON SEPTEMBER 28TH IN WASHINGTON DC TO ADVOCATE FOR INVESTMENT IN PHYSICAL ACTIVITY IN ALL POLICIES, INFRASTRUCTURE AND MILITARY READINESS. 67037 14747 52290 517516 492556 24960 8433023 1430273 3133087 6730209 6807459 DEFERRED COMPENSATION PLAN ASSETS - 457B 1968303 RIGHT OF USE ASSETS - OPERATING LEASES 320857 2289160 DEFERRED COMPENSATION PAYABLE 1962232 OPERATING LEASE LIABILITIES 329812 CONSIDERATION PAYABLE 1266500 3558544 X 21860398 573634 1731177 2304811 19555587 0 19555587 26399806 1731177 1731177 24668629 0 24668629 PART X, LINE 2: ACE IS EXEMPT FROM INCOME TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE ("IRC") AND SECTION 23701(D) OF THE CALIFORNIA REVENUE AND TAXATION CODE, EXCEPT TO THE EXTENT OF UNRELATED BUSINESS TAXABLE INCOME AS DEFINED UNDER IRC SECTIONS 511 THROUGH 515. ACE HAD NO UNRECOGNIZED TAX BENEFITS OR LIABILITIES AS OF JUNE 30, 2023 AND 2022. ACE FILES AN EXEMPT ORGANIZATION RETURN IN THE UNITED STATES FEDERAL JURISDICTION AND WITH THE FRANCHISE TAX BOARD IN THE STATE OF CALIFORNIA. PART XI, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD 1,731,177. PART XII, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD 1,731,177. X X X X X 0 0 0 0 0 0 0 1 0 SCOTT GOUDESEUNE CEO BOARD MEMBER 594688 0 10505 0 0 0 20567 0 61812 0 687572 0 0 0 ALEX MIRNEZAM CHIEF FINANCIAL OFFICER 458862 0 39139 0 0 0 14047 0 74448 0 586496 0 0 0 CEDRIC BRYANT PRESIDENT & CHIEF SCIENCE OFFICER 463760 0 8077 0 0 0 15791 0 58028 0 545656 0 0 0 AMANDA CASS CHIEF OPERATING OFFICER 347345 0 3856 0 0 0 11717 0 41025 0 403943 0 0 0 GRAHAM MELSTRAND EVPCOMMUNITY HEALTH & WELLNESS SERVICES 305539 0 12766 0 0 0 10980 0 31128 0 360413 0 0 0 SARAH BEAVINS VP, SALES & MARKETING 256295 0 3379 0 0 0 10425 0 26854 0 296953 0 0 0 DAVID FISCHER SVP, ONLINE BUSINESS TECHNOLOGY 235855 0 3458 0 0 0 8478 0 27568 0 275359 0 0 0 TODD GALATI SEN DIRECTOR CREDENTIALING & PRACTICE ADVANCEMENT 207292 0 2545 0 0 0 8393 0 37305 0 255535 0 0 0 CHRISTOPHER GOUDESEUNE VP, OPERATIONS 208130 0 2760 0 0 0 8304 0 20443 0 239637 0 0 0 PART I, LINE 7 NON-FIXED PAYMENTS RECEIVED BY LISTED PERSONS ON SCHEDULE J, PART II REPRESENT DISCRETIONARY BONUSES BASED ON MEETING GOALS AND OBJECTIVES WHICH ARE SET BY THE COMPENSATION COMMITTEE AND APPROVED BY THE BOARD OF DIRECTORS. SCOTT GOUDESEUNE SON OF CEO 210890 WAGES 0 SCOTT GOUDESEUNE DAUGHTER-IN-LAW OF CEO 133190 WAGES 0 AMANDA CASS HUSBAND OF COO 132426 WAGES 0 FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 IS REVIEWED INTERNALLY BY THE EXECUTIVE TEAM AND EXTERNALLY BY THE AUDIT COMMITTEE. THE FORM 990 IS MADE AVAILABLE TO THE BOARD OF DIRECTORS PRIOR TO SUBMISSION. FORM 990, PART VI, SECTION B, LINE 12C ALL BOARD MEMBERS AND ACE STAFF ARE REQUIRED TO ANNUALLY COMPLETE A CONFLICT OF INTEREST DISCLOSURE FORM. THE BOARD REVIEWS ALL BOARD MEMBER DISCLOSURES AS WELL AS THE CEO AND CFO. CEO AND CFO REVIEW ACE EMPLOYEE DISCLOSURES. AT EACH BOARD MEETING, MEMBERS ARE REMINDED OF CONFLICT OF INTEREST POLICIES AND ASKED IF THEY ARE AWARE OF ANY CONFLICTS. IF A CONFLICT ARISES, THAT BOARD MEMBER CANNOT VOTE ON THE TRANSACTION. FORM 990, PART VI, SECTION B, LINE 15 WITH RESPECT TO THE PRESIDENT AND OFFICERS (PRESIDENT & CSO, CEO, CFO), A COMPENSATION ANALYSIS IS PERFORMED BY AN INDEPENDENT PARTY ANNUALLY WHICH TAKES MARKET DATA FROM SEVERAL PUBLISHED SURVEYS AND MARKET PRICES THE POSITIONS BASED ON JOB RESPONSIBILITIES AND CORPORATE INFORMATION. TOTAL COMPENSATION AND BENEFITS ARE INCLUDED IN THE REVIEW. THE COMPENSATION COMMITTEE REVIEWS THE REPORT AND MAKES RECOMMENDATIONS TO THE BOARD OF DIRECTORS. COMPENSATION IS APPROVED BY INDEPENDENT BOARD MEMBERS AND IS CONTEMPORANEOUSLY DOCUMENTED. THIS PROCESS WAS LAST DONE JUNE 2023 DURING THE ANNUAL BOARD MEETING. A COMPENSATION ANALYSIS IS PERFORMED BY AN INDEPENDENT PARTY ANNUALLY WHICH TAKES MARKET DATA FROM SEVERAL PUBLISHED SURVEYS AND MARKET PRICES ALL OF OUR STAFF INCLUDING KEY EMPLOYEE POSITIONS BASED ON JOB RESPONSIBILITIES AND CORPORATE INFORMATION. THE CFO AND PRESIDENT REVIEW THE REPORT AND MAKE RECOMMENDATIONS TO THE BOARD OF DIRECTORS. COMPENSATION FOR KEY EMPLOYEES AND STAFF ARE APPROVED DURING THE BUDGETED PROCESS BY INDEPENDENT BOARD MEMBERS AND IS CONTEMPORANEOUSLY DOCUMENTED. THIS PROCESS WAS LAST DONE IN JUNE 2023 DURING THE ANNUAL BOARD MEETING. FORM 990, PART VI, SECTION C, LINE 19 GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE AVAILABLE UPON REQUEST. FINANCIAL STATEMENTS ARE AVAILABLE ON THE ORGANIZATION'S WEBSITE. STATEMENT WITH REGARD TO FUNDRAISING EXPENSE: THIS ORGANIZATION RECEIVES THE MAJORITY OF ITS INCOME FROM PROGRAM SERVICES, THUS, THE ORGANIZATION DOES NOT INCUR FUNDRAISING EXPENSES.