2023-10-31T13:27:16-05:00 2022-12-31 420714325 RSM US LLP 100 INTERNATIONAL DRIVE SUITE 1400 BALTIMORE MD 21202 990 2022-01-01 521315965 CHARLESTOWN COMMUNITY INC CHAR 4102422880 719 MAIDEN CHOICE LANE BALTIMORE MD 21228 GLADSTONE JAMES DIRECTOR OF FINANCE/TREASURER 4102422880 2023-10-26 1 GLADSTONE JAMES 999009999 0 JULIA FLANNERY P00928918 4102469300 2023-10-26 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z DON GROVE 719 MAIDEN CHOICE LANE BALTIMORE MD 21228 124115863 0 X WWW.ERICKSONCOMMUNITIES.COM X 1984 MD PROVIDE A HOME FOR SENIORS THAT SATISFIES THEIR THREE PRIMARY NEEDS. SEE SCHEDULE O. 15 15 1344 855 0 0 3787760 5450439 85470789 93033469 5209046 3057661 391759 415038 94859354 101956607 200176 253643 0 0 44923008 48361781 0 0 292296 58743064 61849506 103866248 110464930 -9006894 -8508323 306805066 302034357 525746934 541307188 -218941868 -239272831 X THE BOARD OF DIRECTORS OF CHARLESTOWN COMMUNITY, INC. IS COMMITTED TO CREATING A COMMUNITIY THAT CELEBRATES LIFE. SEE SCHEDULE O FOR THE COMPLETE MISSION STATEMENT. 0 0 94558283 253643 93033469 CHARLESTOWN COMMUNITY, INC PROVIDES SERVICES NEEDED BY SENIOR RESIDENTS, WHO RESIDE IN 1,398 INDEPENDENT LIVING UNITS, 156 ASSISTED LIVING UNITS, 103 SKILLED NURSING BEDS AND 52 MEMORY CARE UNITS. THE SERVICES WE PROVIDE TO OUR RESIDENTS INCLUDE, BUT ARE NOT LIMITED TO HOUSING, FOOD, MEDICAL, SECURITY AND MAINTENANCE SERVICES, RECREATIONAL AND PASTORAL ACTIVITIES. 94558283 1 1 0 0 0 0 0 0 1 0 1 0 0 0 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 0 0 1 1 1 1 0 0 1 85 0 1 1344 1 0 0 0 0 0 1 1 0 0 0 0 0 0 X 15 15 0 1 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 MD X IBI KHAN 4102422880 701 MAIDEN CHOICE LANE BALTIMORE MD 21228 X RICHARD A GROVE JR CHAIRMAN 3.00 X X 0 0 0 JOANNE E POLLAK ESQ DIRECTOR 1.00 X 0 0 0 BONNIE PHIPPS DIRECTOR (THRU 10/22) 1.00 X 0 0 0 LAURA OSTROFF DIRECTOR 1.00 1.00 X 0 0 0 CHRISTOPHER M MCNALLY ESQ DIRECTOR 1.00 X 0 0 0 NAOMI MCAFEE DIRECTOR 1.00 1.00 X 0 0 0 JAMES M MAUSER DIRECTOR 1.00 X 0 0 0 P LUTHER PETRY DIRECTOR 1.00 1.00 X 0 0 0 CHARLES S GAMBLE DIRECTOR 1.00 X 0 0 0 PATRICIA KASUDA DIRECTOR 1.00 X 0 0 0 REV DAVID S COONEY PHD VICE CHAIRMAN 3.00 X X 0 0 0 DR HEIDI ABDELHADY DIRECTOR 3.00 1.00 X 0 0 0 MICHAEL J STAFFORD JR DIRECTOR 1.00 X 0 0 0 RICHARD M BARNES ESQ DIRECTOR 1.00 X 0 0 0 FATHER PHILLIP J BROWN PSS DIRECTOR 1.00 X 0 0 0 KATIE ECKERT DIRECTOR 1.00 X 0 0 0 CLARA PARKER ED (THRU 6/3/22)/SECRETARY 40.00 1.00 X 207527 0 14356 CHANDRA KUMAR ED (BEG 6/6/22)/SECRETARY 40.00 1.00 X 143298 0 12392 GLADSTONE JAMES DIRECTOR OF FINANCE/TREASURER 40.00 1.00 X 142577 0 16417 LESLIE JOHNSON DIRCTOR, NURSING 40.00 X 158653 0 24085 VICTOR OKENKPA REGISTERED NURSE 40.00 X 166347 0 16615 TAMARA HOLNESS LICENSED PRACTICAL NURSE 40.00 X 159277 0 3561 CORDELIA BAMA LICENSED PRACTICAL NURSE 40.00 X 138094 0 13644 KRISTEN MCGAHA NURSE PRACTIONER, EHWB 40.00 X 136756 0 4555 MOLLY FRICKER SALES COUNSELOR 40.00 X 136067 0 4045 1388596 0 109670 32 0 1 0 ERICKSON SENIOR LIVING LLC 701 MAIDEN CHOICE LANE BALTIMORE MD 21108 MANAGEMENT - SEE SCH. O 11454134 CONSIDINE CONTRACTING GROUP LLC 3036 MONROE ST MANCHESTER MD 21102 CONTRACTOR 4019959 MACKENZIE CONTRACTING CO LLC 2324 WEST JOPPA RD SUITE 600 LUTHERVILLE MD 21093 CONTRACTOR 3742930 KRICK PLUMBING & HEATING CO 5011 46TH AVE HYATTSVILLE MD 20781 HEATING & PLUMBING CONTRACTOR 1357379 THE SHERWIN WILLIAMS CO 6425 BALTIMORE NAITONAL PIKE CATONSVILLE MD 21228 PAINTING 1308830 29 122265 800000 3278923 1249251 10186 5450439 RESIDENT FEES 623000 83266942 83266942 ANCILLARY FEES 623000 9265626 9265626 RESIDENT DEPOSITS 623000 495251 495251 PROCESSING FEES 623000 5650 5650 93033469 1553908 1553908 398940 0 398940 398940 398940 23595824 51026 21973824 169273 1622000 -118247 1503753 1503753 31175 122265 16159 15016 15016 PANDEMIC RELATED RESID 900099 1082 1082 1082 101956607 93033469 0 3472699 50472 50472 203171 203171 719305 719305 37924367 32395472 5300017 228878 667490 541196 120951 5343 6119537 5028991 1069273 21273 2931082 2465598 447388 18096 3377765 3377765 151330 151330 94204 94204 270611 270611 10389011 3936554 6452457 2955728 2955728 8826391 8064683 749857 11851 4276905 4275620 1285 179362 59075 118392 1895 4593167 4593167 21921312 21921312 1389544 1389544 CHARITY CARE 1609538 1609538 EQUIPMENT RENTAL 1566717 1542146 24447 124 RESIDENT RELATIONS 247921 148251 94834 4836 110464930 94558283 15614351 292296 5406 2338 16684986 31270118 2670812 3277359 6661282 5095150 223683 189052 1762324 1940036 445815618 270619723 182894575 175195895 87487692 71822379 8414306 9729460 0 3512570 306805066 302034357 11153708 10192254 140291812 136524077 1739190 1852790 372562224 392738067 525746934 541307188 X -220685904 -240865049 1744036 1592218 -218941868 -239272831 306805066 302034357 X -8508323 -17737259 5914619 X X 0 1 X 1 1 1 X 1522508 2065795 2616484 3787760 5450439 15442986 87706064 88976977 83894449 85508636 93064644 439150770 89228572 91042772 86510933 89296396 98515083 454593756 118200 117725 110650 313650 300350 960575 0 118200 117725 110650 313650 300350 960575 453633181 2947231 3082882 2074548 2925639 1952848 12983148 2947231 3082882 2074548 2925639 1952848 12983148 48022 48022 601 1082 1683 92175803 94125654 88633503 92222636 100469013 467626609 0.97010 0.96830 0.02780 0.02970 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 X 10207587 10207587 405514903 251416345 154098558 3358806 2000855 1357951 18742671 14784323 3958348 7991651 2418200 5573451 175195895 RESIDENT REFUNDS PAYABLE 10823060 RESIDENT DEPOSITS, NET OF ACCUM. AMORT. 380302650 FUNDS HELD FOR RESIDENTS 119388 CLAIMS RESERVE 1257342 DEFERRED MANAGEMENT FEES 168888 CAPITAL LEASE LIABILITY 66739 392738067 X 87956028 -17737259 4194291 -13542968 101498996 270611 187000 457611 101956607 110161517 -32802 -32802 110194319 270611 270611 110464930 PART IV, LINE 2B: PROSPECTIVE RESIDENTS ARE REQUIRED TO MAKE CERTAIN INSTALLMENT PAYMENTS PRIOR TO THE FINAL SETTLEMENT OF THE GIVEN UNIT. THOSE ADVANCE DEPOSITS ARE REPORTED ON FORM 990, PART X, LINE 21. PART X, LINE 2: CCI AND THE FOUNDATION ARE EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AND THE APPLICABLE MARYLAND STATE INCOME TAX REGULATIONS. ST. CHARLES ASSOCIATES, LTD. ("SCA") IS A LIMITED PARTNERSHIP AND HAS ELECTED TO BE DISREGARDED FOR FEDERAL AND STATE INCOME TAX PURPOSES. SCA'S FINANCIAL STATEMENT ACTIVITY IS REFLECTED ON CCI'S BOOKS AND RECORDS. MANAGEMENT HAS EVALUATED CCI'S TAX POSITIONS AND HAS CONCLUDED THAT CCI HAS TAKEN NO UNCERTAIN TAX POSITIONS THAT WOULD REQUIRE RECOGNITION OR DISCLOSURE IN THE CONSOLIDATED FINANCIAL STATEMENTS. PART XI, LINE 2D - OTHER ADJUSTMENTS: REVENUE FROM AFFILIATE REPORTED ON CONSOLIDATED FINANCIAL STATEMENT -1,018,620. ADJUSTMENT TO NET ASSETS WITH DONOR RESTRICTIONS 138,039. SPECIAL EVENT EXPENSES NETTED WITH REVENUE 16,159. BCF EXPENSES NETTED WITH REVENUE -855,907. UNREALIZED GAIN ON SWAP AGREEMENT 5,914,620. PART XI, LINE 4B - OTHER ADJUSTMENTS: ERTC NETTED WITH EXPENSES ON THE FINANCIAL STATEMENTS 187,000. PART XII, LINE 2D - OTHER ADJUSTMENTS: SPECIAL EVENT EXPENSES NETTED WITH REVENUE 16,159. ADJUSTMENT TO NET ASSETS WITH DONOR RESTRICTIONS 138,039. ERTC NETTED WITH EXPENSES ON THE FINANCIAL STATEMENTS -187,000. TELETHON 112948 112948 110 TIN CUP 40492 9317 31175 1390 800 834 4168 8857 153440 122265 31175 1390 800 834 4168 8967 16159 15016 1 CRISTO REY CORPORATE INTERNSHIP PROGRAM INC 420 S CHESTER ST BALTIMORE MD 21231 205300491 501(C)(3) 32000 0 PROGRAM SERVICE FOOD BANK OF THE ROCKIES 10700 EAST 45TH AVE DENVER CO 80239 840772672 501(C)(3) 0 11842 FAIR MARKET VALUE N95 MASKS GENERAL SUPPORT 2 0 EDUCATIONAL SCHOLARSHIPS - SEE PART IV 70 203171 0 SCHEDULE I, PART I, LINE 2 SCHOLAR CANDIDATES MUST BE CURRENTLY EMPLOYED YEAR-ROUND AT CHARLESTOWN COMMUNITY. ONLY MEDICAL LEAVES OF ABSENCE ARE ALLOWABLE DURING THE TWO YEARS. OTHER REQUESTS FOR A LEAVE OF ABSENCE WILL BE REVIEWED AND DETERMINED CASE BY CASE. A SCHOLAR CANDIDATE MUST HAVE BEEN EMPLOYED BY CHARLESTOWN COMMUNITY ON OR BEFORE SEPTEMBER 30, OF THE START OF THEIR JUNIOR YEAR IN HIGH SCHOOL. THE CANDIDATE MUST ALSO ACHIEVE 700 HOURS OF WORK DURING A TIME SPAN THAT BEGINS NO EARLIER THAN JUNE 1, OF THEIR JUNIOR YEAR OF HIGH SCHOOL (300 OF 700 HOURS MUST BE COMPLETED BY THE END OF THEIR JUNIOR YEAR OF HIGH SCHOOL TO QUALIFY). ANY HOURS WORKED PRIOR TO JUNE 1, OF THE START OF THEIR JUNIOR YEAR DO NOT COUNT TOWARDS THE 700 HOURS REQUIREMENT. CANDIDATES MUST ACHIEVE THE 700 HOUR REQUIREMENT AS WELL AS FULFILL THE TWO-YEAR MINIMUM EMPLOYMENT REQUIREMENT. CANDIDATES MUST BE IN "GOOD STANDING" FROM THEIR ORIGINAL DATE OF HIRE THROUGH THEIR LAST DAY OF WORK. TO MAINTAIN "GOOD STANDING," SCHOLAR CANDIDATES, AS EMPLOYEES, MUST ABIDE BY ALL EMPLOYMENT POLICIES AND PROCEDURES, TO INCLUDE GIVING TWO WEEKS NOTICE TO THEIR SUPERVISOR WHEN TERMINATING EMPLOYMENT. SCHOLAR CANDIDATES MUST COMPLETE EACH STEP AS OUTLINED IN THE PROGRAM DESCRIPTION BY THE RESPECTIVE DUE DATE. FURTHERMORE, CANDIDATES MUST TURN IN PROOF OF FULL-TIME STATUS WITHIN THE DATES SPECIFIED IN THE PROGRAM DESCRIPTION FOR EACH SPRING AND FALL SEMESTER THEY ATTEND SCHOOL. FAILURE TO DO SO WILL DISQUALIFY THE SCHOLAR THAT SEMESTER AND WILL COUNT TOWARDS ONE OF THE TWO ALLOWABLE SEMESTER LAPSES. CANDIDATES SHOULD INTEND TO GO TO COLLEGE OR TRADE SCHOOL AFTER HIGH SCHOOL. SCHOLAR CANDIDATES MUST ATTEND SCHOOL FULL-TIME (12 CREDIT HOURS EACH SEMESTER) AFTER HIGH SCHOOL. SCHOLAR CANDIDATES MUST BE ACCEPTED AND/OR REGISTERED IN THE FALL OF 2022 AT A TRADE SCHOOL, COLLEGE, OR UNIVERSITY TO BENEFIT. (IN EXCEPTIONAL CASES, A SCHOLAR CANDIDATE MAY ARRANGE TO START SCHOOL UP TO TWO SEMESTERS AFTER BEING INDUCTED INTO THE PROGRAM, BUT THEY MUST MAKE ARRANGEMENTS WITH THE RESIDENT LIFE DEPARTMENT. THESE TWO SEMESTERS WILL COUNT AS THE TWO ALLOCABLE SEMESTER LAPSES.) SCHOLARS WHO LAPSE FROM THE PROGRAM FOR MORE THAN A TOTAL OF TWO SEMESTERS AFTER BEING INDUCTED INTO THE PROGRAM ARE NO LONGER ELIGIBLE TO RECEIVE THE AWARD. X X X 1 0 0 0 0 0 0 1 0 CLARA PARKER ED (THRU 6/3/22)/SECRETARY 68069 0 41000 0 98458 0 7913 0 6443 0 221883 0 0 0 VICTOR OKENKPA REGISTERED NURSE 160808 0 4800 0 739 0 6085 0 10530 0 182962 0 0 0 LESLIE JOHNSON DIRCTOR, NURSING 134322 0 23780 0 551 0 4816 0 19269 0 182738 0 0 0 TAMARA HOLNESS LICENSED PRACTICAL NURSE 155713 0 3350 0 214 0 3327 0 234 0 162838 0 0 0 GLADSTONE JAMES DIRECTOR OF FINANCE/TREASURER 126493 0 15500 0 584 0 4092 0 12325 0 158994 0 0 0 CHANDRA KUMAR ED (BEG 6/6/22)/SECRETARY 109905 0 31493 0 1900 0 4401 0 7991 0 155690 0 0 0 CORDELIA BAMA LICENSED PRACTICAL NURSE 132537 0 5200 0 357 0 4632 0 9012 0 151738 0 0 0 PART I, LINE 4A PART I, 4.A SEVERANCE PAYMENT, CLARA PARKER - $96,364 PART I, LINE 7 THE EMPLOYEES LISTED ON FORM 990, PART VII, SECTION A, LINE 1A RECEIVED A DISCRETIONARY BONUS DURING THE YEAR. SCHEDULE J, PART II: CLARA PARKER, CHANDRA KUMAR, AND GLADSTONE JAMES ARE LISTED IN SCHEDLE J, PART II AND ARE EMPLOYEES OF ERICKSON SENIOR LIVING, LLC ("ESL"), AN UNRELATED ORGANIZATION TO CHARLESTOWN COMMUNITY, INC., IN ACCORDANCE WITH THE MANAGEMENT AGREEMENT BETWEEN CHARLESTOWN COMMUNITY, INC. AND ESL. SEE SCHEDULE O EXPLANATION FOR FORM 990, PART VI, SECTION A, LINE 3. THEREFORE, FOR IRS MATCHING PURPOSES, ESL IS THE ISSUER OF THE FORM W-2. UNDER THE MANAGEMENT AGREEMENT, CHARLESTOWN COMMUNITY, INC. REIMBURSES ESL FOR THE COST OF SERVICES PERFORMED FOR CHARLESTOWN COMMUNITY, INC. A MARYLAND HEALTH AND HIGHER EDUCATIONAL FACILITIES AUTHORITY 520936091 574218M42 2016-11-02 101413540 REFUND OF PRIOR ISSUE 0 0 0 B MARYLAND HEALTH AND HIGHER EDUCATIONAL FACILITIES AUTHORITY 520936091 2019-01-25 55000000 REFUND OF PRIOR ISSUE 0 0 0 A 8540000 101413540 101413540 0 1 1 1 B 4521000 55000000 30000000 322163 24677837 0 1 1 1 A 1 1 1 1 0 0 0 1 B 1 1 1 1 0 0 0 1 A 0 1 0 0 0 0 0 0 1 B 0 1 0 0 1 1 BB&T 11.000000000000 0 0 0 0 1 A 1 B 1 PART I, LINE A, COLUMN (E): ISSUE PRICE FOR SERIES 2016 A BOND. PART I, LINE B, COLUMN (E): REISSUE PRICE FOR SERIES 2016 B&C BONDS REISSUED IN YEAR 2019 WAS $53,700,000; THE COMBINED ORIGINAL ISSUE PRICE WAS $55,000,000. PART I, LINE B, COLUMN (F): 2019 REISSUE OF BOND SERIES 2016 B & C . PART II, LINE 3, COLUMN B: REFLECTS TOTAL COMBINED PROCEEDS OF ORIGINAL SERIES 2016B AND SERIES 2016C BONDS. PART II, LINE 6, COLUMNS A & B: ESCROW HAS BEEN APPLIED TO REDEEM THE 2010 BONDS ON JANUARY 1, 2021. PART II, LINE 7, COLUMN B: COST OF ISSUANCE PAID IN CONNECTION WITH SERIES 2016C BOND WITH PROCEEDS. PART II, LINE 11, COLUMN B: PROCEEDS USED FOR INTENDED CAPITAL IMPROVEMENTS. PART III, COLUMNS A & B, LINES 4 & 6: THE PERCENTAGE IS LESS THAN 3%. PART IV, LINE 2(C), COLUMNS A & B: REBATE COMPUTATION IS NOT DUE YET. FORM 990, PAGE 1, PART I, LINE 1 AND PART III, LINE 1: MISSION STATEMENT CHARLESTOWN COMMUNITY, INC. IS FORMED EXCLUSIVELY FOR EDUCATIONAL AND CHARITABLE PURPOSES, INCLUDING: THE PROMOTION OF THE HEALTH OF THE ELDERLY THROUGH THE PROVISION OF A RESIDENTIAL COMMUNITY OFFERING VARIOUS LEVELS OF SERVICES FOR ELDERLY PERSONS; CARRYING ON EDUCATIONAL ACTIVITIES RELATED TO THE PROMOTION OF HEALTH OF THE RESIDENTIAL COMMUNITY; AND PERFORMING OTHER ACTIVITIES PERMITTED UNDER THE GENERAL LAWS OF THE STATE OF MARYLAND, TO THE EXTENT SUCH ACTIVITIES ARE PERMITTED BY ORGANIZATIONS WHICH ARE EXEMPT FROM FEDERAL INCOME TAX UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. IN ADDITION, CHARLESTOWN COMMUNITY, INC.'S EXEMPT PURPOSE IS TO PROVIDE A HOME FOR THE AGED THAT SATISFIES THE THREE PRIMARY NEEDS OF AGED PERSONS - - THE NEED FOR HOUSING, THE NEED FOR HEALTH CARE, AND THE NEED FOR FINANCIAL SECURITY. CHARLESTOWN COMMUNITY, INC. PROVIDES HOUSING BY ESTABLISHING RESIDENTIAL FACILITIES THAT ARE SPECIFICALLY DESIGNED TO MEET THE PHYSICAL, EMOTIONAL, RECREATIONAL, SOCIAL, RELIGIOUS, AND SIMILAR NEEDS OF AGED PERSONS. CHARLESTOWN COMMUNITY, INC. PROVIDES HEALTH CARE BY DIRECTLY PROVIDING SOME MEDICAL SERVICES, AND MAINTAINING CONTINUING ARRANGEMENTS WITH OTHER ORGANIZATIONS DESIGNED TO MAINTAIN THE PHYSICAL AND MENTAL WELL-BEING OF ITS RESIDENTS. CHARLESTOWN COMMUNITY, INC. PROVIDES FINANCIAL SECURITY BY HAVING AN ESTABLISHED POLICY THAT PROVIDES FOR THE MAINTAINING OF RESIDENCE OF ANY PERSONS WHO BECOME UNABLE TO PAY THEIR REGULAR CHARGES TO THE EXTENT OF ITS FINANCIAL ABILITY. CHARLESTOWN COMMUNITY, INC. ALSO OPERATES SO AS TO PROVIDE ITS SERVICES TO THE AGED AT THE LOWEST FEASIBLE COSTS. FORM 990, PART VI, SECTION A, LINE 3 DID THE ORGANIZATION DELEGATE CONTROL OVER MANAGEMENT DUTIES CUSTOMARILY PERFORMED BY OR UNDER THE DIRECT SUPERVISION OF OFFICERS, DIRECTORS, OR TRUSTEES, OR KEY EMPLOYEES TO A MANAGEMENT COMPANY OR OTHER PERSON? ON APRIL 30, 2010, CCI AND ERICKSON SENIOR LIVING, LLC ("ESL") ENTERED INTO A MANAGEMENT AND MARKETING AGREEMENT. ESL WILL PROVIDE MANAGEMENT AND MARKETING SERVICES TO CCI DURING THE TERM OF THIS AGREEMENT IN EXCHANGE FOR A MANAGEMENT FEE AND ALLOCATION OF CERTAIN COSTS TO THE COMMUNITY. THE AGREEMENT HAS BEEN AMENDED VARIOUS TIMES SINCE INCEPTION, INCLUDING ON FEBRUARY 22, 2023; THIS CURRENT AGREEMENT EXPIRES ON DECEMBER 31, 2032. CLARA PARKER, EXECUTIVE DIRECTOR (THRU 6/3/22), CHANDRA KUMAR, EXECUTIVE DIRECTOR (BEG 6/6/22), AND GLADSTONE JAMES, DIRECTOR OF FINANCE, ARE LEASED EMPLOYEES FROM THE MANAGEMENT COMPANY. THE FILING ORGANIZATION REIMBURSES THE MANAGEMENT COMPANY FOR THEIR COMPENSATION WHICH IS REPORTED ON FORM 990, PART VII, SECTION A. FORM 990, PART VI, SECTION B, LINE 11B HAS THE ORGANIZATION PROVIDED A COMPLETE COPY OF THIS FORM 990 TO ALL MEMBERS OF ITS GOVERNING BODY BEFORE FILING THE FORM? THE AUDIT COMMITTEE OF THE BOARD HAS THE RESPONSIBILITY TO REVIEW THE FORM 990 PRIOR TO ITS FILING OR TO DESIGNATE ANOTHER BOARD MEMBER TO REVIEW THE FORM. THE FULL BOARD IS GIVEN THE OPPORTUNITY TO REVIEW THE FORM 990 BEFORE IT IS FILED AND ASK QUESTIONS OF THE AUDIT COMMITTEE OR THE REVIEWER REGARDING THE FORM. THE BOARD CHAIR DESIGNATES AN OFFICER TO SIGN FORM 990. FORM 990, PART VI, SECTION B, LINE 12C DID THE ORGANIZATION REGULARLY AND CONSISTENTLY MONITOR AND ENFORCE COMPLIANCE WITH THE POLICY? CHARLESTOWN COMMUNITY, INC.'S CONFLICT OF INTEREST POLICY COVERS ALL DIRECTORS, OFFICERS, KEY EMPLOYEES, EMPLOYEES AND VOLUNTEERS IN A POSITION TO EXERCISE SUBSTANTIAL INFLUENCE OVER CHARLESTOWN COMMUNITY, INC.'S AFFAIRS, COMMITTEE MEMBERS, PROSPECTIVE DIRECTORS, AND SENIOR STAFF PROVIDING SERVICES TO THE ORGANIZATION UNDER A MANAGEMENT AGREEMENT. EACH COVERED PERSON COMPLETES A CONFLICT OF INTEREST DISCLOSURE STATEMENT ANNUALLY AND AS POTENTIAL CONFLICTS ARISE DURING THE YEAR. THESE STATEMENTS ARE REVIEWED BY THE BOARD CHAIR WHO MAY CONSULT WITH THE ORGANIZATION'S MANAGING DIRECTOR FOR GOVERNANCE AND/OR INDEPENDENT LEGAL COUNSEL IN ORDER TO DETERMINE IF THERE IS A CONFLICT OF INTEREST. THE BOARD CHAIR PREPARES A REPORT FOR THE EXECUTIVE COMMITTEE WHICH REVIEWS THE FINDINGS AND RECOMMENDS APPROPRIATE ACTION TO THE FULL BOARD. EITHER THE FULL BOARD OR A COMMITTEE OF DISINTERESTED DIRECTORS WILL DETERMINE WHETHER A CONFLICT ACTUALLY EXISTS. A COVERED PERSON MAY NOT PARTICIPATE IN ANY DISCUSSION OR DEBATE BY THE BOARD BUT MAY ANSWER QUESTIONS OR PROVIDE CLARIFYING INFORMATION UNLESS ANY BOARD MEMBER OBJECTS. FORM 990, PART VI, SECTION B, LINE 15 DID THE PROCESS FOR DETERMINING COMPENSATION OF THE ORGANIZATION'S CEO, EXECUTIVE DIRECTOR, OR TOP MANAGEMENT OFFICIAL, OR OTHER OFFICERS OR KEY EMPLOYEES, INCLUDE A REVIEW AND APPROVAL BY INDEPENDENT PERSONS, COMPARABILITY DATA, AND CONTEMPORANEOUS SUBSTANTIATION OF THE DELIBERATION AND DECISION? REFERENCE TO DIRECTORS IS THE MANAGEMENT DIRECTORS, NOT THE BOARD OF DIRECTORS. THE BOARD HAS APPROVED A DIRECTORS' COMPENSATION POLICY WHICH ESTABLISHES THE PROCESS BY WHICH ALL DIRECTOR COMPENSATION IS DETERMINED. BOARD MEMBERS SERVE WITHOUT COMPENSATION. A REVIEW OF THE MANAGEMENT DIRECTORS' COMPENSATION IS CONDUCTED EACH FISCAL YEAR. COMPENSATION IS APPROACHED ON AN OVERALL BASIS AND THE TOTAL VALUE OF ALL FORMS OF COMPENSATION IS ESTABLISHED AND MONITORED. ERICKSON SENIOR LIVING (ESL) ESTABLISHES BENCHMARK DATA FOR ALL POSITIONS WITHIN EACH DEPARTMENT. VARIOUS MARKET SURVEYS ARE USED IN ANALYZING AND DETERMINING COMPENSATION. IN ADDITION, GEOGRAPHICAL DIFFERENTIALS ARE TAKEN INTO ACCOUNT IN DETERMINING COMPENSATION. MARKET SURVEYS USED INCLUDE BOTH FOR-PROFIT AND NOT-FOR-PROFIT PEERS. AN INDEPENDENT COMPENSATION CONSULTANT IS PERIODICALLY RETAINED TO PERFORM AN ANALYSIS OF CHARLESTOWN'S COMPENSATION. THE GOVERNANCE COMMITTEE OF THE BOARD CONSIDERS ALL OF THE ABOVE DATA IN REVIEWING AND APPROVING COMPENSATION. THE GOVERNANCE COMMITTEE IS A SUBCOMMITTEE OF THE BOARD AND IS COMPRISED OF MEMBERS OF THE BOARD. THIS SUBCOMMITTEE IS DELEGATED WITH CERTAIN DETAILED REVIEW TASKS INCLUDING THIS DETAILED REVIEW OF COMPENSATION. AFTER REVIEWING AND APPROVING COMPENSATION, THE GOVERNANCE COMMITTEE THEN MAKES A RECOMMENDATION TO THE BOARD OF DIRECTORS AS TO APPROPRIATE COMPENSATION. IF REQUESTED, THE BOARD HAS ACCESS TO ALL OF THE COMPENSATION DATA ABOVE AND CAN ASK QUESTIONS OF MANAGEMENT AND THE GOVERNANCE COMMITTEE. THE BOARD REVIEWS AND VOTES ON THE FINAL COMPENSATION RECOMMENDATION AS PART OF THE BUDGET APPROVAL PROCESS. FORM 990, PART VI, SECTION C, LINE 19 DESCRIBE WHETHER (AND IF SO, HOW) THE ORGANIZATION MADE ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC DURING THE TAX YEAR. THE GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND THE FINANCIAL STATEMENTS ARE AVAILABLE UPON REQUEST TO REVIEW AT THE EXECUTIVE DIRECTOR'S OFFICE FOR THE SAME PERIOD OF DISCLOSURE AS SET FORTH IN SECTION 6104(D). FORM 990, PART VII, SECTION B: INDEPENDENT CONTRACTORS COMPENSATION. THE AMOUNT INCLUDED IN COLUMN (C) FOR ERICKSON SENIOR LIVING IS FOR PAYMENTS MADE FOR MANAGEMENT SERVICES AND THE DIRECT AND SHARED COSTS ALLOCATED TO THE COMMUNITY. DIRECT AND SHARED COSTS INCLUDE SALARIES AND BENEFITS FOR MANAGEMENT PERSONNEL, AND THE USE OF SERVICES SUCH AS FINANCE, LEGAL, HUMAN RESOURCES, INFORMATION SERVICES, AND OPERATIONS. FORM 990, PART XI, LINE 9: UNREALIZED GAIN ON SWAP AGREEMENT 5,914,620. NET ASSET ADJUSTMENT BETWEEN RELATED ORGANIZATIONS -1. FORM 990, PART XII, LINE 2C: DOES THE ORGANIZATION HAVE A COMMITTEE THAT ASSUMES RESPONSIBILITY FOR OVERSIGHT OF THE AUDIT, REVIEW, OR COMPILATION OF ITS FINANCIAL STATEMENTS AND SELECTION OF AN INDEPENDENT ACCOUNTANT. HAS THE PROCESS CHANGED DURING THE CURRENT YEAR? THE AUDIT COMMITTEE OF THE BOARD OVERSEES THE FINANCIAL STATEMENT AUDIT PROCESS AS WELL AS THE SELECTION OF AN INDEPENDENT ACCOUNTANT THAT AUDITED THE FINANCIAL STATEMENTS. THE PROCESS HAS BEEN CONSISTENT WITH PRIOR YEARS. ST CHARLES ASSOCIATES LTD 719 MAIDEN CHOICE LANE BALTIMORE MD 21228 592193189 BENEFICIAL LANDOWNER MD 0 0 CHARLESTOWN COMMUNITY INC CHARLESTOWN COMMUNITY REAL ESTATE LLC 719 MAIDEN CHOICE LANE BALTIMORE MD 21228 522199208 DISREGARDED ENTITY MD 0 0 CHARLESTOWN COMMUNITY INC CHARLESTOWN BENEVOLENT CARE FOUNDATION INC 719 MAIDEN CHOICE LANE BALTIMORE MD 21228 522350026 SUPPORTING ORGANIZATION MD 501(C)(3) LINE 12A, I CHARLESTOWN COMMUNITY INC 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 CHARLESTOWN BENEVOLENT CARE FOUNDATION INC C 800000 CASH