2017-11-13T10:11:24-06:00 2017-06-30 113518842 MARKS PANETH LLP 685 THIRD AVENUE NEW YORK NY 10017 990 2016-07-01 237148333 THE SCENIC HUDSON LAND TRUST INC SCEN 8454734440 ONE CIVIC CENTER PLAZA NO 200 POUGHKEEPSIE NY 12601 STEVEN ROSENBERG EXECUTIVE DIRECTOR 8454734440 2017-11-13 1 ROBERT R LYONS CPA P00227472 2125038800 69.74.165.34 2017-11-13 10:52:50 ES P B8E8917F0931719FE7A109CCAA1C726E9AF7A481 11762B5AEB021AEC01C7E1D1EC00D827E8D02294 2016 2017-02-10 21:41:12Z STEVEN ROSENBERG ONE CIVIC CENTER PLAZA NO 200 POUGHKEEPSIE NY 12601 25212961 0 X WWW.SCENICHUDSON.ORG X 1936 NY SCENIC HUDSON PRESERVES LAND AND FARMS AND CREATES PARKS THAT CONNECT PEOPLE WITH THE INSPIRATIONAL POWER OF THE HUDSON RIVER, WHILE FIGHTING THREATS TO THE RIVER AND NATURAL RESOURCES THAT ARE THE FOUNDATION OF THE VALLEY'S PROSPERITY. 15 14 0 420 0 0 3342555 14611629 0 0 7563419 8125262 138352 137474 11044326 22874365 10280 256500 0 0 140176 0 0 0 55187 13444789 13748435 13595245 14004935 -2550919 8869430 234355217 261091902 4067108 2961043 230288109 258130859 SCENIC HUDSON PRESERVES LAND AND FARMS AND CREATES PARKS THAT CONNECT PEOPLE WITH THE INSPIRATIONAL POWER OF THE HUDSON RIVER, WHILE FIGHTING THREATS TO THE RIVER AND NATURAL RESOURCES THAT ARE THE FOUNDATION OF THE VALLEY'S PROSPERITY. 0 0 13110192 256500 THE SCENIC HUDSON LAND TRUST, INC. PROTECTS LAND THAT IS OF ECOLOGICAL, SCENIC, HISTORIC, AGRICULTURAL OR RECREATIONAL SIGNIFICANCE. SERVICES INCLUDE CREATING PUBLIC ACCESS TO THE LAND, PROMOTING APPROPRIATE COMPATIBLE USE OF LAND, AND EDUCATING THE PUBLIC ABOUT THE LANDS' SIGNIFICANCE. 13110192 1 1 0 0 0 0 1 0 0 1 1 1 0 1 0 1 0 1 0 0 1 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 1 14 0 0 0 1 EI CJ 0 0 0 0 0 0 0 0 X 15 14 0 1 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 NY PA NJ X X JASON CAMPORESE 8454734440 ONE CIVIC CENTER PLAZA SUITE 200 POUGHKEEPSIE NY 12601 FREDERIC C RICH CHAIR (FORMER) 1.00 1.00 X X 0 0 0 SIMON ROOSEVELT CHAIR 1.00 1.00 X X 0 0 0 W PATRICK MCMULLAN III TREASURER 1.00 1.00 X X 0 0 0 WHEELOCK WHITNEY III SECRETARY 1.00 0.00 X X 0 0 0 EDWARD O SULLIVAN ASSISTANT SECRETARY 5.00 37.00 X X 0 389469 96266 JAMES CLARK DIRECTOR 1.00 1.00 X 0 0 0 KRISTIN GAMBLE DIRECTOR 1.00 1.00 X 0 0 0 ANDREW GUNDLACH DIRECTOR 1.00 0.00 X 0 0 0 MARJORIE L HART DIRECTOR 1.00 1.00 X 0 0 0 DAVID H MORTIMER DIRECTOR 1.00 1.00 X 0 0 0 RUDOLPH RAUCH III DIRECTOR 1.00 0.00 X 0 0 0 ALEXANDER REESE VICE CHAIR 1.00 1.00 X X 0 0 0 LEIGH SEIPPEL DIRECTOR 1.00 1.00 X 0 0 0 JAMES C GOODFELLOW DIRECTOR 1.00 0.00 X 0 0 0 SARAH AW FITTS DIRECTOR 1.00 0.00 X 0 0 0 KIM TAYLOR DIRECTOR 1.00 0.00 X 0 0 0 STEVEN ROSENBERG EXECUTIVE DIRECTOR 20.00 28.00 X 0 535632 126944 JOSEPH KAZLAUSKAS CHIEF FIN. & OPER. (FORMER) 7.00 38.00 X 0 139677 11174 JASON CAMPORESE CHIEF FINANCE & OPERATIONS OFFICER 7.00 38.00 X 0 162336 33687 ERIN RILEY VP - EXTERNAL RELATIONS 2.00 40.00 X 0 222244 38240 JAMES BURGESS DIRECTOR OF COMMUNICATIONS 39.00 1.00 X 0 148992 12747 SETH MCKEE LAND CONSERVATION DIRECTOR 39.00 1.00 X 0 123333 30339 RITA SHAHEEN DIR. PARKS & COMM. ENGAGEMENT 39.00 1.00 X 0 112557 10673 0 1834240 360070 0 0 1 0 SCENIC HUDSON INC ONE CIVIC CENTER PLAZA SUITE 200 POUGHKEEPSIE NY 12601 SERVICE AGREEMENT 1899475 1 731664 13879965 14611629 3545684 3545684 136408 0 136408 136408 136408 4363674 2554500 244295 2094301 4119379 460199 4579578 4579578 MISCELLANEOUS 900099 1066 1066 1066 22874365 0 0 8262736 X 256500 256500 2041812 1895191 91434 55187 4813 4813 701722 701722 46400 46400 257122 257122 9451 9451 148533 148533 SALES/DONATIONS OF LAND 6243986 6243986 CONSERVATION EASEMENTS 2715994 2715994 LAND PROJECT EXPENSES 1359265 1359265 PROPERTY TAXES 195333 195333 24004 24004 14004935 13110192 839556 55187 14207206 16500231 2680347 12095240 422162 434680 124953 91140 30427 33813 109130577 122836933 47507526 55346852 60376972 53844153 234355217 261091902 649917 561730 100000 325000 3317191 2074313 4067108 2961043 X 72705222 70668149 157582887 187462710 230288109 258130859 234355217 261091902 8869430 18973320 0 X X 0 1 X 1 0 X X 1 SCENIC HUDSON INC 132898799 7 1 1899475 0 1 1899475 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED X X X X X 134 13458.00 2 1 1 1 2912.00 128784 168420197 1251720 28262427 8489900 189444444 178554564 917329 -2845896 8205800 168420197 182909191 289100 3076273 7720000 178554564 158031429 5192544 26729409 7044400 182909191 143968542 244162 20388963 6570238 158031429 0.09680 0.90320 0 1 1 104733 70920 33813 20220 20220 0 33813 POOLED INVESTMENT FUNDS - EX U.S. COMMINGLED FUNDS 38339785 F POOLED INVESTMENT FUNDS - ALTERNATIVE INVESTMENT FUNDS 17007067 F 55346852 LAND AREAS 53812044 DUE FROM RELATED PARTY 32109 53844153 X PART II, LINE 3: SECURED GREATER CONSERVATION PROTECTION, CLARIFIED STRUCTURE RESTRICTIONS, AND REDUCED VISIBILITY OF PERMITTED STRUCTURES. INDEPENDENT LEGAL AND APPRAISAL REVIEW CONFIRMED NET CONSERVATION BENEFITS AND NO IMPERMISSIBLE PRIVATE BENEFIT. NO TAX DEDUCTION WAS CLAIMED FOR THIS PURCHASED CONSERVATION EASEMENT. PART II, LINE 5: THE ORGANIZATION(S) POLICIES ON CONSERVATION EASEMENT MONITORING AND VIOLATIONS CONFORM TO LAND TRUST ALLIANCE STANDARDS AND PRACTICES. THE POLICIES REQUIRE THAT EACH CONSERVATION EASEMENT IS MONITORED ANNUALLY BY A PHYSICAL INSPECTION OF THE PROPERTY. IF ANY VIOLATION OF THE CONSERVATION EASEMENT HAS OCCURRED, THE LANDOWNER IS NOTIFIED BY CERTIFIED LETTER OF THE VIOLATION. WHEN APPROPRIATE, THE LETTER OUTLINES CORRECTIVE MEASURES THAT WILL MITIGATE THE PROBLEMS. LEGAL ACTION, AUTHORIZED BY THE BOARD, MAY BE TAKEN IN THE EVENT THAT A LANDOWNER DISREGARDS THE TERMS OF THE EASEMENT AND/OR REFUSES TO TAKE CORRECTIVE MEASURES. PART II, LINE 9: PURCHASED EASEMENTS ARE EXPENSED IN THE PERIOD ACQUIRED. CONTRIBUTIONS FOR THE PURPOSE OF PURCHASING CONSERVATION EASEMENTS ARE TEMPORARILY RESTRICTED AT YEAR-END IF THE PURCHASE OF THE CONSERVATION EASEMENT HAS NOT BEEN COMPLETED. DONATED CONSERVATION EASEMENTS ARE NOT RECORDED AS REVENUE OR EXPENSE BY THE ORGANIZATION, EXCEPT THOSE CONSERVATION EASEMENTS DONATED (IN FULL OR IN PART) BY THIRD PARTIES TO SATISFY THE REQUIREMENTS OF GOVERNMENTAL FUNDING PROGRAMS. THE ORGANIZATION RECOGNIZES THAT IS IT THE RESPONSIBILITY OF THE DONOR TO REPORT THE APPRAISED VALUE OF A DONATED CONSERVATION EASEMENT TO THE INTERNAL REVENUE SERVICE; THE ORGANIZATION DOES NOT PARTICIPATE IN THE APPRAISAL OR REPORTING OF THESE VALUES. PART V, LINE 4: THE SCENIC HUDSON LAND TRUST IS A SUPPORTING ORGANIZATION OF SCENIC HUDSON (THE ORGANIZATIONS"). SCENIC HUDSON HAS TWO OF THE ORGANIZATIONS' FOUR ENDOWMENTS; THE SCENIC HUDSON, INC. BOARD DESIGNATED (QUASI-ENDOWMENT) AND THE KATHRYN W. DAVIS FUND FOR PARK PLANNING AND COMMUNITY LAND USE. THE SCENIC HUDSON LAND TRUST, INC. HAS THE LILA ACHESON AND DEWITT WALLACE HUDSON VALLEY LAND PRESERVATION ENDOWMENT AND THE EASEMENT ENFORCEMENT FUND. AS REQUIRED, THE COMBINED FAIR VALUE OF THESE ENDOWMENTS IS REPORTED ON SCHEDULE D, PART V OF THE 990 FOR BOTH SCENIC HUDSON AND THE SCENIC HUDSON LAND TRUST. THE BOARD DESIGNATED (QUASI-ENDOWMENT) WAS ESTABLISHED TO ENSURE SCENIC HUDSON'S FISCAL STABILITY AND PROVIDE EMERGENCY FUNDS FOR PURPOSES APPROVED BY THE BOARD. SCENIC HUDSON, INC. ESTABLISHED THE KATHRYN W. DAVIS FUND FOR PARK PLANNING AND COMMUNITY LAND USE, FUNDED WITH A DONOR-RESTRICTED GIFT OF $5 MILLION FROM THE SHELBY CULLOM DAVIS FOUNDATION. EXPENDITURES FROM THIS FUND SHALL BE USED TO SUPPORT THE ORGANIZATION'S STAFF, CONSULTANTS, AND OTHER COSTS FOR PARK DESIGN, PARK MANAGEMENT AND/OR ACQUISITION AND LAND USE PLANNING. THE LILA ACHESON AND DEWITT WALLACE HUDSON VALLEY LAND PRESERVATION ENDOWMENT (THE "WALLACE ENDOWMENT") IS A TERM ENDOWMENT HELD BY THE SCENIC HUDSON LAND TRUST, INC. THAT SHALL CONTINUE TO BE USED FOR THE PURPOSES OF ACQUIRING AND HOLDING LAND IN THE HUDSON RIVER VALLEY IN ORDER TO PRESERVE AND PROTECT SUCH LAND FOR THE BENEFIT OF THE PUBLIC, AND SECONDARILY FOR OTHER PURPOSES THAT ARE IN FURTHERANCE OF THE CONSERVATION OF THE SCENIC BEAUTY, HISTORIC VALUES, AND RESOURCES OF THE HUDSON RIVER VALLEY. THE BOARD OF DIRECTORS OF THE SCENIC HUDSON LAND TRUST, INC. HAS ALSO ESTABLISHED A BOARD DESIGNATED EASEMENT ENFORCEMENT FUND AS A RESERVE TO PAY LEGAL AND OTHER EASEMENT ENFORCEMENT AND MONITORING COSTS THAT MAY BE INCURRED TO DEFEND THE ORGANIZATION'S CONTRACTUAL RIGHTS AND PRIVILEGES ESTABLISHED THROUGH CONSERVATION EASEMENTS OWNED. PART X, LINE 2: INCOME TAXES - THE ORGANIZATION BELIEVES IT HAD NO UNCERTAIN TAX POSITIONS AS OF JUNE 30, 2017 AND 2016 IN ACCORDANCE WITH ACCOUNTING STANDARDS CODIFICATION ("ASC") TOPIC 740, "INCOME TAXES," WHICH PROVIDES STANDARDS FOR ESTABLISHING AND CLASSIFYING ANY TAX PROVISIONS FOR UNCERTAIN TAX POSITIONS. CENTRAL AMERICA AND THE CARIBBEAN - 0 0 PASSIVE FOREIGN INVESTMENTS N/A;LISTTOTAL 0 14047662 EUROPE (INCLUDING ICELAND & GREENLAND) - 0 0 PASSIVE FOREIGN INVESTMENTS N/A;LISTTOTAL 0 2959405 0 0 0 0 0 0 17007067 0 17007067 0 0 0 0 0 0 0 UNTERMYER GARDENS CONSERVANCY 945 NORTH BROADWAY YONKERS NY 10701 274323490 501 (C) (3) 250000 CASH TO SUPPORT THE RESTORATION OF UNTERMYER GARDENS. 0 1 0 0 0 0 0 0 0 EDWARD O SULLIVAN ASSISTANT SECRETARY 0 320922 0 60000 0 8547 0 94970 0 1296 0 485735 0 0 STEVEN ROSENBERG EXECUTIVE DIRECTOR 0 231198 0 35000 0 269434 0 106184 0 20760 0 662576 0 0 JOSEPH KAZLAUSKAS CHIEF FIN. & OPER. (FORMER) 0 111969 0 27708 0 0 0 11174 0 0 0 150851 0 0 JASON CAMPORESE CHIEF FINANCE & OPERATIONS OFFICER 0 149836 0 12500 0 0 0 12987 0 20700 0 196023 0 0 ERIN RILEY VP - EXTERNAL RELATIONS 0 187244 0 35000 0 0 0 17780 0 20460 0 260484 0 0 JAMES BURGESS DIRECTOR OF COMMUNICATIONS 0 133992 0 15000 0 0 0 11919 0 828 0 161739 0 0 SETH MCKEE LAND CONSERVATION DIRECTOR 0 115962 0 7371 0 0 0 9867 0 20472 0 153672 0 0 PART I, LINE 4B DURING THE YEAR ENDED JUNE 30, 2015, SCENIC HUDSON, INC. AND EDWARD SULLIVAN ENTERED INTO A LONG-TERM EMPLOYMENT AGREEMENT UNDER IRC SECTION 457(F). THE TERMS OF THE AGREEMENT RUN THROUGH JANUARY 31, 2020 AT WHICH TIME MR. SULLIVAN WILL COMPLETE HIS COMMITMENT AND RECEIVE A ONE-TIME LUMP SUM PAYMENT OF $500,000. SINCE MR. SULLIVAN ALSO PROVIDES ESSENTIAL SERVICES TO THE SCENIC HUDSON LAND TRUST, INC. (THE "LAND TRUST"), THE LAND TRUST HAS AGREED TO PROVIDE SCENIC HUDSON, INC. WITH FUNDS SUFFICIENT TO ENABLE SCENIC HUDSON, INC. TO MAKE PAYMENTS DUE UNDER THE PLAN. ACCORDINGLY, THE LAND TRUST WILL RECOGNIZE THIS OBLIGATION OVER THE TERM OF THE AGREEMENT. DURING THE YEAR ENDED JUNE 30, 2017, THE LAND TRUST RECOGNIZED $98,361 OF EXPENSE RELATED TO THIS AGREEMENT. DURING THE YEAR ENDED JUNE 30, 2010, SCENIC HUDSON, INC. AND STEVEN ROSENBERG ENTERED INTO A LONG-TERM EMPLOYMENT AGREEMENT UNDER IRC SECTION 457(F). THE TERMS OF THE AGREEMENT RAN THROUGH MAY 29, 2016 AT WHICH TIME MR. ROSENBERG RECEIVED A ONE-TIME LUMP SUM PAYMENT OF $275,000. THIS ONE-TIME PAYMENT IS INCLUDED IN PART VII, SECTION A, LINE 38D AND SCHEDULE J, PART II LINE 2(III). DURING THE YEAR ENDED JUNE 30, 2016, SCENIC HUDSON, INC. AND MR. ROSENBERG ENTERED INTO A LONG-TERM EMPLOYMENT AGREEMENT UNDER IRC SECTION 457(F). THE AGREEMENT IS FOR A FIVE-YEAR TERM AND WILL PROVIDE FOR A PAYMENT OF $230,000 UPON MATURITY. SINCE MR. ROSENBERG ALSO PROVIDES ESSENTIAL SERVICES TO THE SCENIC HUDSON LAND TRUST, INC. (THE "LAND TRUST"), THE LAND TRUST HAS AGREED TO PROVIDE SCENIC HUDSON, INC. WITH FUNDS SUFFICIENT TO ENABLE SCENIC HUDSON, INC. TO MAKE PAYMENTS DUE UNDER THE PLANS. ACCORDINGLY, THE LAND TRUST WILL RECOGNIZE THIS OBLIGATION OVER THE TERM OF THE AGREEMENT. DURING THE YEAR ENDED JUNE 30, 2017, THE LAND TRUST RECOGNIZED $41,815 OF EXPENSE RELATED TO THE AGREEMENT. SCHEDULE J, PART II: THE PERSONS LISTED IN PART II OF SCHEDULE J PERFORM SERVICES FOR THE SCENIC HUDSON LAND TRUST, INC. IN THEIR CAPACITIES AS EMPLOYEES OF SCENIC HUDSON, INC; THE SCENIC HUDSON LAND TRUST, INC. HAS NO EMPLOYEES. TOTAL COMPENSATION TO EACH OF SUCH PERSONS IS REQUIRED TO BE REPORTED ON SCHEDULE J BY BOTH SCENIC HUDSON, INC. AND THE SCENIC HUDSON LAND TRUST, INC. NOTWITHSTANDING THAT EACH OF THESE DIRECTORS, OFFICERS AND EMPLOYEES ARE PAID DIRECTLY AND ONLY BY SCENIC HUDSON. AS NOTED IN SCHEDULE R PART V, THE SCENIC HUDSON LAND TRUST, INC. IS PARTY TO A SERVICES AGREEMENT WITH SCENIC HUDSON, INC. PURSUANT TO WHICH SCENIC HUDSON, INC., AMONG OTHER THINGS, MAKES THE SERVICES OF SUCH PERSONS AVAILABLE TO THE SCENIC HUDSON LAND TRUST, INC. AND THE SCENIC HUDSON LAND TRUST, INC. MAKES A SINGLE AGGREGATE PAYMENT TO SCENIC HUDSON, WHICH IN FISCAL YEAR 2017 WAS $1,899,475. FORM 990, PART VI, SECTION A, LINE 3 SCENIC HUDSON, INC. PROVIDES THE ORGANIZATION WITH THE SERVICES OF ITS EMPLOYEES, SPACE AND GENERAL ADMINISTRATIVE SUPPORT FOR WHICH THE ORGANIZATION PROVIDES PAYMENT TO SCENIC HUDSON, INC. FOR THE ACTUAL COST OF THE AGREED SERVICES ON A QUARTERLY BASIS. FORM 990, PART VI, SECTION A, LINE 6 SCENIC HUDSON, INC. IS THE SOLE CORPORATE MEMBER OF THE ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 7A THE TOTAL NUMBER OF DIRECTORS SHALL INCLUDE THREE (3) PERSONS WHO SHALL SERVE EX OFFICIO, WITH FULL VOTING RIGHTS, IN THEIR CAPACITIES AS THE CHAIR, TREASURER AND PRESIDENT OF SCENIC HUDSON, INC. THE REMAINING NUMBER OF DIRECTORS SHALL BE ELECTED BY THE SOLE MEMBER (SCENIC HUDSON, INC.) AT THE ANNUAL MEETING. FORM 990, PART VI, SECTION A, LINE 7B THE FOLLOWING ACTIONS MAY BE TAKEN ONLY IF AUTHORIZED BY THE SOLE MEMBER (I) THE DISPOSITION OF ALL OR SUBSTANTIALLY ALL OF THE ASSETS OF THE CORPORATION; (II) A PLAN OF MERGER OR CONSOLIDATION OF THE CORPORATION; AND (III) A PLAN OF DISSOLUTION AND DISTRIBUTION OF ASSETS OF THE CORPORATION. THE SOLE MEMBER SHALL HAVE THE EXCLUSIVE POWER TO AMEND THE CORPORATION'S CERTIFICATE OF INCORPORATION AND BYLAWS. FORM 990, PART VI, SECTION B, LINE 11B THE ORGANIZATION'S 990 IS REVIEWED BY THE AUDIT COMMITTEE AND DISCUSSED WITH THE FULL BOARD AT THE ANNUAL MEETING BEFORE THE RETURN IS FILED. PRINTED COPIES OF THE 990 ARE DISTRIBUTED TO THE FULL BOARD IN PREPARATION OF THE ANNUAL MEETING. COPIES OF THE 990 ARE AVAILABLE ON THE ORGANIZATION'S BOARD EXTRA-NET AND ON THE ORGANIZATION'S WEBSITE (WWW.SCENICHUDSON.ORG). FORM 990, PART VI, SECTION B, LINE 12C BOARD MEMBERS AND ALL STAFF ARE REQUIRED TO ANNUALLY REVIEW AND SIGN THE ORGANIZATION'S CONFLICT OF INTEREST POLICY. BOARD MEMBERS WHO MAY HAVE ANY REAL OR PERCEIVED CONFLICTS OF INTEREST ABSTAIN FROM DISCUSSION AND VOTING. CONFLICTS OF INTEREST INVOLVING STAFF SITUATIONS WHICH MAY ARISE (REAL OR PERCEIVED) ARE REVIEWED BY THE BOARD OF DIRECTORS. ISSUES INVOLVING EXECUTIVES ARE REVIEWED BY THE EXECUTIVE COMMITTEE OR FULL BOARD AND/OR LEGAL COUNSEL. FORM 990, PART VI, SECTION B, LINE 15 THE ORGANIZATION RELIED ON SCENIC HUDSON, INC., A RELATED ORGANIZATION, THAT DETERMINED THE EXECUTIVE COMPENSATION AS FOLLOW: EXECUTIVE COMPENSATION IS DETERMINED BY THE EXECUTIVE COMPENSATION COMMITTEE IN CONSULTATION WITH THE BOARD OF DIRECTORS. THIS COMMITTEE ENGAGES A THIRD PARTY COMPENSATION CONSULTANT WHO PROVIDES A MARKET ANALYSIS WITH RECOMMENDATIONS. THE COMMITTEE ALSO INCORPORATES FIRST HAND RESEARCH DATA ON COMPARABLE ORGANIZATIONS IN SCENIC HUDSON'S GEOGRAPHIC AREA IN THEIR RECOMMENDATIONS. FORM 990, PART VI, SECTION C, LINE 19 THE FOLLOWING CORPORATE GOVERNANCE DOCUMENTS ARE AVAILABLE TO THE PUBLIC ON THE ORGANIZATION'S WEBSITE (HTTP://WWW.SCENICHUDSON.ORG/ABOUT/FINANCIALS): * FORM 1023 * FORM 990 * AUDITED FINANCIAL STATEMENTS * CERTIFICATE OF INCORPORATION * CORPORATE BY-LAWS * WHISTLEBLOWER POLICY * CONFLICT OF INTEREST POLICY FORM 990 PART IX: ACTIVITIES THAT OCCUR IN THE SCENIC HUDSON LAND TRUST, A SUPPORTING ORGANIZATION OF SCENIC HUDSON, DIRECTLY IMPACT THE EXPENSES OF SCENIC HUDSON. SUCH ACTIVITIES INCLUDE THE PURCHASE OF CONSERVATION EASEMENTS AND LAND IN FEE TITLE. WITH THIS IN MIND, THE MOST RELEVANT CALCULATION OF THE PROGRAM EXPENSE RATIO OF SCENIC HUDSON AND THE SCENIC HUDSON LAND TRUST IS TO CONSIDER THESE EXPENSES ON A CONSOLIDATED BASIS. ON A CONSOLIDATED BASIS, THE PROGRAM EXPENSE RATIO FOR SCENIC HUDSON AND THE SCENIC HUDSON LAND TRUST WAS 83.2% AND 82.6%, RESPECTIVELY, FOR THE FISCAL YEARS ENDED JUNE 30, 2017 AND 2016. PART IX, LINE 24 - SALES/DONATIONS OF LAND AREAS: DURING THE YEAR ENDED JUNE 30, 2017, THE ORGANIZATION SOLD/DONATED FOUR PROPERTIES WITH A CARRYING VALUE OF $8,338,287, TO STATE AND LOCAL GOVERNMENT AGENCIES, UNAFFILIATED NONPROFIT ENTITIES, AND PRIVATE INDIVIDUALS FOR PROCEEDS OF $2,554,500 RESULTING IN A NET LOSS OF $5,783,787, WHICH IS INCLUDED IN THE ACCOMPANYING FORM 990 AS GAIN ON SALE OF LAND AREAS OF $460,199 AND PROGRAM SERVICES EXPENSE OF $6,243,986. FORM 990, PART XII, LINE 2C: THE PROCESS OF OVERSEEING THE AUDIT AND SELECTION OF INDEPENDENT ACCOUNTANT HAS NOT BEEN CHANGED FROM THE PRIOR YEAR. THE INDEPENDENT AUDITORS ARE APPOINTED BY THE BOARD BASED ON THE RECOMMENDATION OF THE AUDIT COMMITTEE. FORM 990, PART I, LINE 5 AND PART V, LINE 1A: CLARIFICATION RELATED TO NUMBER OF EMPLOYEES: THE ORGANIZATION HAS NO EMPLOYEES OF ITS OWN AS THE MANAGEMENT OF THE ORGANIZATION IS PROVIDED BY SCENIC HUDSON, INC. SCENIC HUDSON, INC. IS REIMBURSED FOR THE PAYROLL AND OPERATING COSTS PAID ON BEHALF OF THE ORGANIZATION. BEACON WATERFRONT LLC ONE CIVIC CENTER PLAZA SUITE 200 POUGHKEEPSIE NY 12601 261107386 LIMITED LIABILITY COMPANY NY 0 1593163 N/A HIGHLANDS BATTLESITE PROPERTIES LLC ONE CIVIC CENTER PLAZA SUITE 200 POUGHKEEPSIE NY 12601 020668682 LIMITED LIABILITY COMPANY NY 0 0 N/A SCENIC HUDSON INC ONE CIVIC CENTER PLAZA SUITE 200 POUGHKEEPSIE NY 12601 132898799 PROTECTING AND RESTORING THE HUDSON RIVER NY 501(C)(3) LINE 7 N/A 0 0 0 1 0 0 0 0 0 1 0 0 0 0 0 1 1 1 1 1 SCENIC HUDSON INC O 1899475 COST SCENIC HUDSON INC P 341285 CASH PAYMENTS SCENIC HUDSON INC P 537969 CASH PAYMENTS SCENIC HUDSON INC Q 53500 CASH PAYMENTS SCENIC HUDSON INC Q 409827 CASH PAYMENTS