2023-11-15T09:14:30-06:00 2022-12-31 450250958 EIDE BAILLY LLP 2355 E CAMELBACK RD STE 900 PHOENIX AZ 850169065 990 2022-01-01 562514122 EXITO INC EXIT 6026871000 3877 N 7TH ST STE 400 PHOENIX AZ 85014 PAUL MAGALLANEZ BOARD CHAIR 6026871000 2023-11-15 1 PAUL MAGALLANEZ 999009999 0 BRENDA ANN BLUNT CPA CGMA P00075126 4803151040 2023-11-15 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z PAUL MAGALLANEZ 3877 N 7TH ST STE 400 PHOENIX AZ 85014 140845 0 X N/A X 2005 AZ PROVIDING SOCIAL SERVICES FOR, AND PROMOTING THE BEHAVIORAL HEALTH AND WELL BEING (CONT'D ON SCH O) OF FAMILIES AND INDIVIDUALS IN THE HISPANIC COMMUNITY. 6 6 0 6 0 0 0 0 320378 140840 31 5 0 0 320409 140845 0 1421221 0 0 24000 0 0 0 0 383129 215631 407129 1636852 -86720 -1496007 6106180 1472441 3149521 11789 2956659 1460652 X THE CORPORATION WILL SERVE AND PRIMARILY BENEFIT THE HISPANIC COMMUNITY IN THE STATE OF ARIZONA THROUGH PARTICIPATION IN THE ACQUISITION, OWNERSHIP, LEASING AND MANAGEMENT OF REAL ESTATE AND RELATED INVESTMENTS IN CONNECTION WITH PROVIDING HOUSING AND COMMUNITY AND ECONOMIC DEVELOPMENT OPPORTUNITIES TO SERVICE-BASED ORGANIZATIONS DEDICATED TO PROMOTING SOCIAL SERVICES AND THE BEHAVIORAL HEALTH AND WELL BEING OF FAMILIES AND INDIVIDUALS. 0 1 1517293 1421221 65824 COMMERCIAL RENTAL PROGRAM 96529 75016 NEIGHBORHOOD STABILIZATION PROGRAM 1613822 1 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 X 6 6 0 0 0 0 0 1 1 1 0 0 0 1 1 1 1 1 1 1 1 0 X JOSEPH LOSADA 6026871000 3877 N 7TH ST STE 400 PHOENIX AZ 85014 X RANDY DELGADO PART YEAR CHAIRMAN 0.50 X X 0 0 0 NICOLAS R RODRIGUEZ VICE CHAIRMAN 0.50 X X 0 0 0 EDWARD CELAYA SECRETARY 0.50 X X 0 0 0 KURT SHEPPARD PRESIDENT/DIRECTOR 0.50 X 0 0 0 ART RUIZ DIRECTOR 0.50 X 0 0 0 ANDREW MESQUITA DIRECTOR 0.50 X 0 0 0 PAUL MAGALLANEZ PART YEAR CHAIRMAN 0.50 X 0 0 0 0 0 0 0 0 0 0 0 RESIDENTIAL REAL ESTAT 531110 75016 75016 COMMERCIAL REAL ESTATE 531120 59846 59846 MANAGEMENT FEES 531110 5978 5978 140840 5 5 140845 140840 0 5 1421221 1421221 20100 20100 14050 14050 16675 16675 39940 39940 78608 78608 9255 3500 5755 MAINTENANCE & REPAIR 31926 31926 LICENSES AND PERMITS 3000 3000 DUES AND SUBSCRIPTIONS 1477 1477 OTHER EXPENSES 600 600 1636852 1613822 23030 0 178617 190658 310926 310932 33416 141 5187 1579760 609050 5578034 970710 6106180 1472441 8537 6222 2374788 0 5567 5567 760629 0 3149521 11789 X -431339 489942 3387998 970710 2956659 1460652 6106180 1472441 -1496007 0 X 0 0 0 X X 1 VALLE DEL SOL 860251255 10 0 0 1620177 1 0 1620177 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 X 1 1 PART IV, SECTION A, LINE 1 IN ORDER TO QUALIFY AS AN ORGANIZATION THAT IS NOT A PRIVATE FOUNDATION UNDER INTERNAL REVENUE CODE SECTION 509(A), AN ORGANIZATION "MUST BE ORGANIZED, AND AT ALL TIMES THEREAFTER OPERATED, EXCLUSIVELY FOR THE BENEFIT OF, TO PERFORM THE FUNCTIONS OF, OR TO CARRY OUT THE PURPOSES OF ONE OR MORE SPECIFIED ORGANIZATIONS DESCRIBED IN SECTION 509(A)(1 OR (2)". EXITO SUPPORTS THE PROGRAMS OF VALLE DEL SOL, A 509(A)(2) ORGANIZATION. AS PROVIDED FOR UNDER TREASURY REGULATION 1.509(A)-4(D)(2)(IV), THE ORGANIZATION MEETS THIS REQUIREMENT BECAUSE THERE HAS BEEN AN HISTORIC AND CONTINUING RELATIONSHIP BETWEEN THE ORGANIZATION AND THE ORGANIZATION IT SUPPORTS, VALLE DEL SOL, INC. VALLE DEL SOL OFFERS OUTPATIENT BEHAVIORAL HEALTH TREATMENT AND SOCIAL SERVICES OF INDIVIDUALS OF ALL AGES ACROSS THE PHOENIX METRO AREA. EXITO, INC HOLDS AND MAINTAINS BUILDINGS THAT ARE USED BY VALLE DEL SOL TO PROVIDE A VARIETY OF SERVICES. THIS HISTORIC RELATIONSHIP HAS CONTINUED UNINTERRUPTED FROM 2005 TO TODAY. BECAUSE THE ORGANIZATION COULD NOT FULFILL ITS EXEMPT PURPOSE WITHOUT VALLE DEL SOL, INC, AND VALLE DEL SOL INC, COULD NOT EXPAND ITS PROGRAMS IN PHOENIX AND NEW MEXICO WITHOUT THE ORGANIZATION, IT IS CLEAR THERE ALSO IS A SUBSTANTIAL IDENTITY OF INTERESTS BETWEEN THE ORGANIZATIONS, A SECOND, AND FINAL, REQUIREMENT UNDER TREASURY REGULATION 1.509(A)-4(D)(2)(IV). PART IV, SECTION E, LINE 2A THE SUPPORTED ORGANIZATION IS VALLE DEL SOL, A 509(A)(1) ORGANIZATION WHOSE MISSION IS TO INSPIRE POSITIVE CHANGE BY INVESTING IN HEALTH AND HUMAN SERVICES TO STRENGTHEN FAMILIES WITH TOOLS AND SKILLS FOR SELF-SUFFICIENCY. VALLE DEL SOL OFFERS OUTPATIENT BEHAVIORAL HEALTH SERVICES IN ARIZONA AND NEW MEXICO. EXITO, INC HOLDS AND MAINTAINS THE BUILDINGS THAT VALLE DEL SOL USES FOR ITS PROGRAMS, WHICH ARE SUBSTANTIALLY ALL OF THE PROGRAMS OF VALLE DEL SOL, INC. PART IV, SECTION E, LINE 2B VALLE DEL SOL, INC COULD NOT EXPAND ITS PROGRAMS IN PHOENIX AND NEW MEXICO BUT FOR EXITO, INC'S INVOLVEMENT AND SUPPORT IN HOLDING AND MAINTAINING THE BUILDINGS USED. PART IV, SECTION D, LINE 3 VALLE DEL SOL APPOINTS TWO OF EXITO'S SIX-MEMBER BOARD, HAS THE RIGHT TO REMOVE ANY OFFICER AT WILL, AND OCCUPIES THE COMMERCIAL RENTAL PROPERTIES AND PROVIDES SOCIAL SERVICES FOR THE RESIDENTS OF THE RESIDENTIAL PROPERTIES REQUIRING NEARLY DAILY INTERACTION BETWEEN THE TWO ORGANIZATIONS RELATED TO ISSUES RANGING FROM REGULAR MAINTENANCE TO SIGNIFICANT REMODELING AND UPGRADE WORK. AS A RESULT, VALLE DEL SOL HAS A SIGNIFICANT AND CONTINUAL VOICE IN THE OPERATIONS OF EXITO AND EXITO MUST BE RESPONSIVE TO THE NEEDS OF VALLE DEL SOL TO CONTINUE IN OPERATION. 0 1 X 188754 188754 1372109 590153 781956 18897 18897 0 970710 PART IV, LINE 2B: THE ORGANIZATION HOLDS DEPOSITS IN TRUST FOR ITS RESIDENTS. 0 VALLE DE SOL 3877 N 7TH ST STE 400 PHOENIX AZ 85014 860251255 501(C)(3) 0 1421221 BOOK VALUE COMMERCIAL PROPERTIES PROPERTIES AND LAND TO USE FOR PROGRAMS 1 FORM 990, PART III, LINE 3 EXITO SOLD ITS COMMERCIAL BUILDING TO A RELATED TAX-EXEMPT ENTITY IN MARCH 2022 AND CEASED ALL COMMERCIAL RENTAL ACTIVITIES. FORM 990, PART VI, SECTION A, LINE 7A AT LEAST TWO OF THE DIRECTORS MUST BE APPOINTED BY THE BOARD OF DIRECTORS OF VALLE DEL SOL. FORM 990, PART VI, SECTION A, LINE 7B ALTHOUGH APPOINTED BY THE BOARD, ANY OFFICER MAY BE REMOVED FROM OFFICE BY THE AFFIMATIVE VOTE OF TWO-THIRDS OF THE FULL BOARD OF DIRECTORS WITH OR WITHOUT CAUSE AND/OR BY THE BOARD OF VALLE DEL SOL. FORM 990, PART VI, SECTION A, LINE 8B THE BOARD HAS NOT DELEGATED ANY OF ITS AUTHORITY TO A COMMITTEE. FORM 990, PART VI, SECTION B, LINE 11B LINE 11B EXPLANATION - ALL MEMBERS OF THE BOARD ARE PROVIDED A COPY OF THE FORM 990 PRIOR TO THE RETURN BEING FILED. FORM 990, PART VI, SECTION B, LINE 12C ALL MEMBERS OF THE BOARD, THE EXECUTIVE DIRECTOR AND ASSET MANAGER ARE ASKED TO DISCLOSURE ANY CONFLICTS OF INTEREST. PERIODICALLY, MEMBERS COMPLETE A CONFLICT-OF-INTEREST FORM, DISCLOSING ANY CONFLICTS. MEMBERS ARE TO REFRAIN FROM VOTING OR PARTICIPATING IN DISCUSSION WHEN THERE IS A CONFLICT. TO DATE, THERE HAVE NOT BEEN ANY SIGNIFICANT CONFLICTS OF INTEREST. THIS PROCESS IS COMPLETED YEARLY. FORM 990, PART VI, SECTION B, LINE 15 THE COMPENSATION FOR THE EXECUTIVE DIRECTOR AND ASSET MANAGER WAS DETERMINED IN 2010 AND APPROVED BY THE BOARD. THE EXECUTIVE DIRECTOR'S AND ASSET MANAGER'S COMPENSATION HAS REMAINED THE SAME SINCE 2010. FORM 990, PART VI, SECTION C, LINE 19 THE GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS ARE MADE AVAILABLE UPON REQUEST. PRIMER PASO LLC 4117 NORTH 17TH STREET PHOENIX AZ 85016 COMMERCIAL PROPERTY LEASE AZ 65824 448639 EXITO INC SEGUNDO PASO LLC 4117 N 17TH STREET PHOENIX AZ 85016 LOW-INCOME HOUSING AZ 75016 1023801 EXITO INC VALLE DEL SOL INC 3877 N 7TH STREET SUITE 400 PHOENIX AZ 85014 860251255 HUMAN SERVICES AZ 501(C)(3) LINE 5 0 0 1 0 0 0 0 0 0 0 1 0 0 1 0 0 0 0 0 0