| FORM 990, PART VI, SECTION A, LINE 5 |
THE ORGANIZATION FIRST BECAME AWARE OF THE LOSS ON APRIL 12, 2022 AND WAS DISCOVERED BY CEO ANITA MALDONADO. SUSPECTED CHARGES TO THE COMPANY CREDIT CARD WAS DISCOVERED BETWEEN AUGUST 2017 TO MAY 2022. AFTER CONDUCTING AN INTERNAL INVESTIGATION, IT WAS DETERMINED THAT A TRUSTED MEMBER OF THE MANAGEMENT TEAM WAS USING THE COMPANY CREDIT CARD FOR HER PERSONAL USE. THE CHARGES INCLUDED FOOD, PERSONAL ITEMS, RESTAURANTS, FURNITURE, PERSONAL CELL PHONE, ELECTRIC AND WATER BILLS, GIFT CARDS THAT WERE USED FOR PERSONAL TRAVEL FOR HERSELF AND HER FAMILY. IT WAS ALSO DISCOVERED THE SHE SUBMITTED FALSE TIMESHEETS/PAYROLL FOR AN EMPLOYEE WHO NO LONGER WORKED AT SAY. CORRECTIVE ACTION TAKEN SAY REVIEWED SEVERAL POLICIES AND PROCEDURES AND ADDED ADDITIONAL LANGUAGE TO STRENGTHEN THEM. WE ALSO ADDED AN EXTRA REVIEWER TO THE REVIEW PROCESS. BELOW ARE THE POLICIES THAT WERE REVIEWED AND STRENGTHENED WITH ADDITIONAL CONTROLS: OUT OF AREA TRAVEL EXPENSE & EXPENSE REIMBURSEMENT POLICY DIRECT CLIENT ASSISTANCE POLICY INCLUDING GIFT CARDS FOOD PURCHASING POLICY ONCE SAY DISCOVERED THE LOSS, AN INTERNAL INVESTIGATION TOOK PLACE AND THE EMPLOYEE WAS TERMINATED ON MAY 25, 2022. A POLICE REPORT WAS FILED ON MAY 29, 2022 AND THE DEFENDANT ENTERED A PLEA OF "NO CONTEST". THE DEFENDANT WAS CONVICTED AND ORDERED TO PAY RESTITUTION IN THE AMOUNT OF $53,482 ON AUGUST 15, 2023 AT THE SENTENCING. |
| FORM 990, PART VI, SECTION B, LINE 11B |
FORM 990 IS PREPARED BY AN OUTSIDE FIRM OF TAX PROFESSIONALS. THE DRAFT FORM PREPARED IS THEN REVIEWED BY THE CHIEF FINANCIAL OFFICER AND THE FINANCE COMMITTEE. THIS GROUP OF INDIVIDUALS THEN DISCUSSES THE CONTENTS OF THE RETURN WITH THE OUTSIDE TAX PROFESSIONALS. AFTER A FULL REVIEW (WITH MODIFICATIONS WHERE NECESSARY), THE FINAL VERSION OF THE TAX RETURN IS PROVIDED TO ALL MEMBERS OF THE ORGANIZATION'S VOTING BODY. A REPRESENTATIVE OF THE BOARD AUTHORIZES THE FINAL FORM 990, WHICH IS THEN ELECTRONICALLY FILED WITH THE INTERNAL REVENUE SERVICE. |
| FORM 990, PART VI, SECTION B, LINE 12C |
IF A CONFLICT OF INTEREST OCCURS, A DISCUSSION TAKES PLACE AT EACH BOARD MEETING AND IT IS DOCUMENTED IN THE MINUTES. |
| FORM 990, PART VI, SECTION B, LINE 15 |
COMPENSATION IS PRESENTED ANNUALLY FOR REVIEW AND APPROVAL BY THE BOARD. |
| FORM 990, PART VI, SECTION C, LINE 19 |
THE ORGANIZATION MAKES ITS FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. |
| FORM 990, PART XI, LINE 9: |
CHANGE IN VALUE OF SPLIT INTEREST 25,788. PLEDGE DISCOUNT 2,873. CHANGE IN PRIOR YEAR COST SETTLEMENTS -31,478. |
Attach to Form 990 or 990-EZ.