T HE T - RUST FOR P UBLIC L

In making those risk assessments, the auditor considers internal control relevant to the Trust for Public Land’s preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Trust for Public Land’s internal control. [...] If the terms of the specific award permit using the mitigation funds to advance the Trust for Public Land’s conservation mission, the advances are recorded as project fees and other income at the time the funds are used to support a Trust for Public Land project. [...] Interpretation of Relevant Law The Board of Directors of the Trust for Public Land has interpreted SPMIFA as requiring the preservation of the fair value of the original gift as of the gift date of the donor-restricted endowment funds absent explicit donor stipulations to the contrary. [...] As a result of this interpretation, the Trust for Public Land classifies as net assets with perpetual donor restrictions: (a) the original value of gifts donated to the endowment, (b) the original value of subsequent gifts to the endowment, and (c) accumulations to the endowment made in accordance with the direction of the applicable donor gift instrument at the time the accumulation is added to t. [...] In accordance with UPMIFA, the Trust for Public Land considers the following factors in deciding to appropriate or accumulate donor-restricted endowment funds: the duration and preservation of the funds the purpose of the Trust for Public Land and donor-restricted endowment funds general economic conditions the possible effects of inflation and deflation the expected total return from in.