I. INVOCATION PLEDGE OF ALLEGIANCE. III. CONSENT AGENDA OPIE BALCH a) Motion to approve the HAAR Consent Agenda/Minutes

HUNTSVILLE AREA ASSOCIATION OF REALTORS BOARD OF DIRECTORS MEETING AGENDA 535 Monroe Street, Huntsville, AL Tuesday, March 31 st, 2015 Immediately following NALMLS O&D Meeting CALL MEETING TO ORDER OPIE BALCH I. INVOCATION II. PLEDGE OF ALLEGIANCE III. CONSENT AGENDA OPIE BALCH a) Motion to approve the HAAR Consent Agenda/Minutes IV. TREASURER S REPORT JIM HOEKENSCHNIEDER a) January Financials V. PRESIDENT REMARKS OPIE BALCH a) Ratify NALMLS Motions VI. CEO UPDATE KIPP COOPER a) REALTOR Day b) AE Institute VII. COMMITTEE REPORTS a) Governmental Affairs SHA JARBOE b) ARPAC GINNY BRANDAU c) Affiliate Director LISA GLISSON d) North Alabama CRS SHARITA WHITEHEAD e) WCR MONICA SANFORD f) YPN Huntsville BRANDI CAGLE g) REALTORS in Action JIM JOHNSON VIII. OTHER BUSINESS a) Professional Standards i. Co-chair ii. Citation Policy ADJOURN MEETING IMPORTANT DATES April 22 nd May 11 th 16 th June 14 th -17 th Sept. 13 th 16 th Nov. 13 th -16 th REALTOR Day, Montgomery, AL REALTORS Legislative Meetings & Trade Expo., Washington, DC AAR Summer Conferences, Hilton Pensacola Beach, FL AAR Annual Convention, Grand Hotel Marriott Resort REALTORS Conference & Expo, San Diego, CA

BOARD OF DIRECTORS MEETING OF THE HUNTSVILLE AREA ASSOCIATION OF REALTORS March 31 st, 2015 CONSENT AGENDA (Items listed on the Consent Agenda are expected to be routine and non controversial and, unless the Board directs that an item be held for further discussion, the entire CONSENT AGENDA will be acted upon for block approval. If the Board directs that an item listed on the CONSENT AGENDA be held for further discussion, the item will be addressed under Other Business. ) 1

HAAR Consent Agenda March 31 st, 2015 ITEM PAGE Approval of February 2015 Minutes 3-7 Approval of Special Called Minutes 8 February Committee Reports 9-10 February- March 2015 Membership Report 11 NALMLS February Statistics 12 2

HUNTSVILLE AREA ASSOCIATION OF REALTORS OFFICERS & DIRECTORS MEETING MINUTES Tuesday, February 24 th, 2015 8:30 am Present: President Opie Balch, President Elect Kathy Mann, Secretary/Treasurer Jim Hoekenschnieder, Attorney Bo Harrison, Ginny Brandau, Paul Buxton, Brandi Cagle, Lisa Glisson, Sha Jarboe, Jim Johnson, Zelda Lanza, Terry Lewis, Valerie Miles, Landa Pennington, Cindi Peters, Monica Sanford, Rod Schumann, Robert Simons, Bill Stewart, Rod Weaver, Sharita Whitehead, Mark Williams Excused Absence: MLS President Larry Carroll, Regina Underwood Absent: Lynn Kilgore, Julie Lockwood Others Present: Bill Ward Staff: CEO Kipp Cooper, Katy Fitzgerald, Arely Jaimes, Rhonda Ricketts, Tammy Owen At a meeting of the Officers and Directors, held at 535 Monroe Street, Huntsville, AL., 35801, the meeting was called to order by President Opie Balch at 8:35 am, Central Standard Time. Invocation led by Sha Jarboe. The Pledge of Allegiance led by Rod Schumann. MOTION: To approve the HAAR Consent Agenda. Motion Carried. TREASURERS REPORT S There were no financial reports presented at this O&D meeting, instead the results of the 2014 Financial Audit were presented. Dent, Baker and Company conducted the 2014 audit in January and presented their results to the Finance Committee on February 16. The results presented at this O&D meeting compared the 2014 results to the 2013 results. For HAAR: Cash, CD s and the Investment Account increased by 12.86% or approximately $105,358. There was an increase of $58,772 in building improvements, furniture and computer equipment. Non dues revenue increased by 37.29% or approximately $34,530. While there was a decrease of $21,498 in lockbox and accessory sales, total revenues increased by 5.97%. HAAR took a higher depreciation in 2014 to help reduce taxes and to lower the depreciation for the next 4 years. As a reminder, deprecation is a non cash expense; it is recognized on paper only. 3

The Total Revenue for HAAR was $715,918 and the Total Expense was $627,684 which produced a Net Income for HAAR for 2014 was $88,234. As a reminder, on 2/5/15 the membership approved taking $40,000 of the profit and using it for the build out of the office space over the reception area. For NALMLS: Cash and CD s increased by 3.74% or approximately $40,182. There was an increase of $53,169 in the ValleyMLS website and replacing the firewall. Non dues revenue increased by 31.85% or approximately $34,774. NALMLS also took a higher depreciation in 2014 which saved approximately $9,000 in taxes and lowered the depreciation for the next 4 years. As a reminder, deprecation is a non cash expense; it is recognized on paper only. The Total Revenue for NALMLS was $1,938,691 and the Total Expense was $1,884,390 which produced a Net Income for NALMLS for 2014 was $54,301. There were not questions following the report. Treasurer/ Secretary, Jim Hoekenschnieder presented the following motions: MOTION: To approve the Investment Policy Rationale: The Investment Policy has been prepared by the Investment Committee and Grant Thomson of Morgan Stanley Thomson, Orton Group. Motion Carried. MOTION: To approve $6,000 of additional funding to the NALMLS budget, line item 2702 Salaries, to bring on a full time member services liaison. This would bring the total line expenditure to an adjusted $757,900. Rationale: In January our staff fielded over 4,500 phone calls. Of those, 1,455 were handled by the member services department. There is a great need for an additional full time position instead of three staff members sharing coverage. This will allow the Education Director to have a full time person and also allow for a third full time position in the MLS Department which will permit more member training and service. Motion Carried. PRESIDENT REMARKS r President, Opie Balch presented the names of the Grievance Committee and ARPAC Committee members for approval by the Board of Directors. (Appendix A) Committees approved by the Board of Directors President, Opie Balch presented the Realtors in Action and Texie Wilson Memorial Fund Signature Cards for approval by the Board of Directors 4

The 2015 Realtors in Action account signers are: Kipp Cooper James Johnson Katy Fitzgerald Executive Vice President Chair Finance Director The 2015 Texie Wilson Memorial Fund account signers are: Kipp Cooper Jim Hoekenschnieder Katy Fitzgerald Executive Vice President Broker Finance Director Signature Cards approved by the Board of Directors. MOTION: To approve the 2015 Strategic Plan. Rationale: The 2015 Strategic Planning Session was held January 12. The facilitator was Donna Garcia of NAR. The proposed Strategic Plan is a requirement of the NAR Core Standards. Amendment: To replace CEO with Association Executive (AE) throughout the document. Amendment: Under Community Investment, REALTOR Connection committees is to be replaced with Realtors in Action Committee. Amendment: Under Community Involvement, change accountability to HAAR President with the AE as backup. Amendment: Under Member Advocacy, Initiative 1 8 change Government Affairs Director to Governmental Affairs Committee. Amendment: Under Member Advocacy, Initiative 9 change accountability to Governmental Affairs Committee, ARPAC Committee and Finance Committee. Amendment: Under Member Advocacy, Initiative 10 change RPAC to ARPAC. Amendment: Under Member Advocacy, Initiative 12 change accountability to Governmental Affairs committee and APAC Committee. Amendment: Under Member Services, Initiative 3 remove ABR and MRP. Amendment: Under Member Services, Objectives: change the to then on the last sentence. Amendment: Under Member Services, Objective: Engage YPNs and promote real estate as career, change accountability for 1 4 from CEO to YPN. Amendment: Under Member Services, Objective: Improve member communication to promote the Association s value proposition, change add Member input to accountability list. Amendment: Under Member Services, Objective: Offer sessions and tools to promote member safety, remove Retired Sheriff from accountability under initiative 1. Amendment: Under Affiliate Partnerships, Initiative 2 the word outdoor. Amendment: Under Finance/Administration, Under Follow up, add the and to read during outreach meetings and expos. Motion as amended Carried. CEO Update u 5

Chief Executive Officer, Kipp Cooper gave an update on the building construction. The floor dividing the first floor from the second floor in the reception area was successfully completed. Construction to finish the new office space upstairs will continue in the following weeks. Motion: HAAR will no longer accept out of Board Supra iboxes to be added to its inventory. Amendment: to add an enforcement date. Motion as Amended: Effective February 28 th 2015, HAAR will no longer accept out of Board Supra iboxes to be added to its inventory. Motion as amended Carried. COMMITTEE REPORTS c Governmental Affairs Chair Sha Jarboe shared with the Directors that the Governmental Affairs committee is working on scheduling Realtor meetings at local high schools. The committee is also working on putting together an event that will take place in May, more information to come. ARPAC Chair Ginny Brandau announced this year s goal is $87,425 which is approximately $11,000 more than last year. As of the end of January $23,500.35 had been raised with approximately 32% of the membership contributing. One of the committee s goals is to get all the Officers and Directors to contribute at least their fair share. Affiliate Director Lisa Glisson reported that due to the recent winter weather the Affiliate Council has not been able to meet. WCR President Monica Sanford announced their next luncheon is scheduled for March 18 th at HAAR; the guest speaker will be Dale Strong. CRS President Sharita Whitehead reported the local CRS Network had held their first official meeting. Realtors in Action Chair Jim Johnson had nothing to report at the time, the first RIA meeting will be in March. Other Business There was a vacant Director seat left when Jim Hoekenschnieder when he was elected 2015 Secretary/ Treasurer. In accordance to HAAR Bylaws Vacancies among the Officers and Directors shall be filled by the Board of Directors until the next annual election, or at its option, a special election may be called to fill the vacancy The O&D meeting moved to Executive Session. The Board of Directors moved to fill the Director vacancy, Betty Hughes will fill the position of Director for 2015. There being no other business the meeting adjourned at 10:26 am. Minutes respectfully submitted by Arely Jaimes for Jim Hoekenschnieder 6

APPEDIX A CHAIR CO CHAIR MEMBERS Grievance John Morley Sharita Whitehead Thelma Dawson Nancy VanValkenburgh Ashley Brown Marsha Buxton Robin Graham Leena Jacobs Michelle Daymond CHAIR CO CHAIR ARPAC Ginny Brandau Ex Officio Comm. Members Opie Balch Jeremy Turner Richard VanValkenburgh Lisa Glisson Melanie Brooks Judy Fudge Jennifer McDaniel Shannon Hoff Phillip Gore Mark Moody Sherry Dinges Brandi Cagle Sha Jarboe Regina Underwood Anne Adams Bourque Kim McDowell Trevor Trainer Lynn Cawthon 7

HUNTSVILLE AREA ASSOCIATION OF REALTORS OFFICERS AND DIRECTORS SPECIAL CALLED MEETING MINUTES Thursday, March 19 th 8:30am ELECTRONIC NOTICE SENT TO: President Opie Balch, President Elect Kathy Mann, MLS President Larry Carroll, Secretary/Treasurer Jim Hoekenschnieder, Attorney Bo Harrison, Ginny Brandau, Paul Buxton, Brandi Cagle, Betty Hughes, Lisa Glisson, Sha Jarboe, Jim Johnson, Lynn Kilgore, Zelda Lanza, Terry Lewis, Julie Lockwood, Valerie Miles, Landa Pennington, Cindi Peters, Monica Sanford, Rod Schumann, Robert Simons, Bill Stewart, Regina Underwood, Rod Weaver, Sharita Whitehead, Mark Williams PRESENT AT MEETING: President Opie Balch, President Elect Kathy Mann, MLS President Larry Carroll, Secretary/Treasurer Jim Hoekenschnieder, Attorney Bo Harrison, Ginny Brandau, Paul Buxton, Betty Hughes, Lisa Glisson, Sha Jarboe, Zelda Lanza, Terry Lewis, Julie Lockwood, Valerie Miles, Landa Pennington, Cindi Peters, Rod Schumann, Robert Simons, Bill Stewart, Regina Underwood, Rod Weaver, Mark Williams Staff Present: CEO Kipp Cooper, Katy Fitzgerald and Arely Jaimes Gomez At a special called meeting of the Officers and Directors, held at 535 Monroe Street, Huntsville, AL., 35801, the meeting was called to order by President Opie Balch at 8:35 am, Central Standard Time. President Opie Balch addressed the directors and asked that a motion from the previous O&D meeting be re stated. The motion was made during executive session and was not reflected in the February O&D meeting minutes. Motion: To hire an HR attorney. Motion Passed. Meeting Moved to Executive Session. There being no other business the meeting adjourned at 10:45 am Minutes respectfully submitted by Arely Jaimes 8

March Committee Reports ARPAC ARPAC met March 19. Tickets are being sold for a Wheelbarrow of Fun. Beer, wine, party favors, gift cards and more. Make sure you get your tickets. Drawing at May luncheon. Planning an event for June 25, brew, food, entertainment and auction. More information to follow. Sha Jarboe was name Co-chair. BYLAWS We reviewed/updated the following eight topics in HAAR Policies: Mission Statement, Director & Officer Descriptions, Officers and Directors Responsibilities, Nominating Committee, Election Committee, Voting Procedures and Use of the Premises, Removal of Officers and Directors and Motions from Committees The Committee agreed to send the 2015 Travel Policy back to the Travel Task Force to rewrite the following sections for clarity: a. National Directors Representing HAAR at NAR Meetings b. HAAR Realtor Members Receiving AAR or NAR Award Two policies were reviewed but postponed for further discussion at the April meeting: a. Board of Directors Vacancies (more in-depth verbiage to be added) b. Election Procedures (pending identification of voting process to ensure voting system has no glitches) After finding several instances of misuse of Association vs Board, the Committee approved use of Association in all references to the Huntsville Area Association of Realtors ; Board will only be used to identify the HAAR/NALMLS Board of Directors. This will provide consistency in all governing documentation. Also, it was noted that Association Executive was established in the past as the proper title for the position and should be used consistently in all documentation. Policies will be submitted to HAAR O&D for approval after all are finalized. CARAVAN No report FINANCE & BUDGET No report FORMS The forms committee had its first meeting of 2015 on 3/17. The goal of the meeting was for all committee members to meet each other and to introduce all committee members to proposed changes to forms anticipated for the year. We watched 5 minute RESPA video on August changes to the real estate industry and then discussed what effect these changes may have on forms. Mike James (Chair) will get together with Kip Cooper very soon to discuss forms changes with the Real Estate Commission attorney. The form of primary concern is the Estimated Closing Statement. GRIEVANCE Nothing to Report. GOVERNMENTAL AFFAIRS No report Education Committee No report ORIENTATION No report PROFESSIONAL STANDARDS Nothing to Report. 9

REALTORS in Action Realtors in Action Committee Report - March 20, 2015 The meeting was held on Tuesday March 17 th and those in attendance were: Jim Johnson Chair, Betty Hughes Co-Chair, Landa Pennington, Lisa Hilton, Loraine Cordule, Melanie Brooks, Pam Rhodes and Arely Jaimes-Gomez The meeting began with reviewing the Scope of Services for the committee and no changes were recommended. The only comment was that it needed to be distributed the membership again. The strategic plan was discussed that was approved by HAAR and the Realtors in Action Committees role with Habitat with Humanity. After discussing the Habitat for Humanity cause, it was decided that CASA could potentially be a better recipient for the support of our committee and HAAR. This was based upon how large the Habitat for Humanity organization is and the amount of support already offered to Habitat from numerous organizations and businesses. Pam Rhodes and I are going to meet with CASA within the next several weeks to identify any support they may need. Fund raising was discussed and our goal for 2015 is to reach a balance of $10,000. Our current balance is $7,007.73. Fund raising events discussed are: Raffle for travel agency certificates Raffle for weekend hotel/resort certificates, i.e. golf, spa, shopping, etc. Raffles to be held monthly at HAAR membership luncheons for smaller prizes, but you still get your ticket into the larger raffle pool Wine tasting event Next meeting in late April. 10

HAAR MEMBERSHIP REPORT New Members from 2/16/2015 3/19/2015 The Huntsville Area Association of REALTORS has received 0 Designated REALTOR Applications, 22 REALTOR Applications and 4 Affiliate Applications from Feb. 16, 2015 thru March 19, 2015 DESIGNATED REALTOR REALTOR Ashley Balch Blackwell Anthony Carbone Haley Charlton Damon Cummings Andrew Earnhart John Graddick Virginia Ginger Hickman Martinez Hurskin Lynda Jones Michael Kinzer Cody Mance Deborah Marrero Ethan S. McClellan Barbara Parks Gary Jason Robinson Sarah Rogers Patricia San Soucie Brandon Staten Steven Stratton Erica Whitt Nathaniel Woodall Natasha Yeager Opie Balch Realty Amanda Howard, LLC Matt Curtis Real Estate Trans Action Real Estate Coldwell Banker of the Valley Ace Realty Breland Homes, LLC Amanda Howard, LLC Exit Total Realty Coldwell Banker of the Valley Ace Realty Ace Realty Coldwell Banker of the Valley Keller Williams Htsv. Keller Williams Htsv. Quest Real Estate @ Home Realty Group Keller Williams-Madison Amanda Howard Real Estate Keller Williams-Madison Rosenblum Realty Re/Max Alliance-Madison AFFILIATE Chad Anderson Jennifer Kouchis Chad Maddox Kim Wright imortgage BBVA Compass Assurance Residential Inspections Stoneridge Homes 11

Alabama Housing Statistics Reporting Form North Alabama Multiple Listing System, Inc. NALMLS Board: Huntsville Area Association of Realtors Monthly Totals (representative of previous form). # Sold in Month Average Sales Price Median Selling Price Average Days on Market # of Units on the Market Total 330 190,193 167,750 109 3274 # Pending this Month Average Pending Price Median Pending Price Average Days on Market # of Units Currently Pending Total 349 191,662 167,000 78 538 By Property Type (Please mark NR if MLS System cannot retrieve these figures) # Sold this Month Median Selling Price Average Days on Market # of Units on the Market Average Selling Price Existing SF (Single Family, Garden and Townhomes) 262 174,831 154,825 113 2294 Condo (New and Existing) 5 132,240 123,000 110 98 New Construction (Single Family, Garden and Townhomes) 75 248,104 224,009 100 497 Price Distribution Price Range # of Total Sales Average DOM # of Current Active Listings $99,999 or UNDER 74 115 471 $100,000 $124,999 30 88 212 $125,000 $149,999 32 85 390 $150,000 $199,999 78 81 673 $200,000 $249,999 54 126 479 $250,000 $299,999 29 128 352 $300,000 $349,999 16 113 202 $350,000 $399,999 17 131 159 $400,000 $449,999 6 321 85 $450,000 $499,999 1 93 69 $500,000 $549,999 2 102 35 $550,000 $599,999 1 114 28 $600,000 $649,999 0 0 15 $650,000 $699,999 1 45 25 $700,000 $749,999 1 59 10 $750,000 $799,999 0 0 15 $800,000 OR OVER 2 278 53 12

Notes to HAAR Financial Statement HUNTSVILLE AREA ASSOCIATION OF REALTORS As of March 2015 HAAR Balance Sheet The HAAR balance sheet currently reflects total assets of $1,377,246 compared to $15,397 in liabilities. 98% of the current assets are in cash, CD, money market or restricted reserves. Line 1226 on the Balance Sheet (located under Other Assets) reflects the Morgan Stanley Investment of $104,756. HAAR Profit and Loss Statement / Income Statement Income line 1503 - Application Fees of $26,200 reflects 66 new members for 2015 (budgeted at 230). Income line 1515 - Member Benefits Partner Program of $2,956 reflects 11 renewing partners. Income line 152515 - HAAR Dues 2015 reflects full dues collection for 1669 members and prorated dues on 60 new members. The 2015 budget was based on 1,657 members paying full dues. The non-dues revenue collected as of March 2015 is $90,225 compared to March 2014 of $101,378. The HAAR Profit & Loss Statement reflects total income of $340,826 and total expense of $184,052 as of March 2015. The Net Income is $156,773 which is $393 more than budgeted for March. CONTRACT RENEGOTIATIONS: none Reserve Goals Update As of March, HAAR has a reserve total of $514,173 which is 71% of the long term reserve goal. The current reserves amount will provide approximately 9 months of operating expenses. Reserves Goal: $ 720,155.67 Reserves Actual: Restricted - Operating Reserves 398,984.15 Restricted - Bldg Maint Reserve 0.00 closed to Renovation payback (approved 7/2013) Restricted - Computer Reserve 10,432.72 Restricted - Morgan Stanley Investment 104,756.67 Reserves Actual as listed above: $ 514,173.54 Difference between Goal and Actual: $ (205,982.13) Percentage of Goal: 71% Page 1 of 12

HUNTSVILLE AREA ASSOCIATION OF REALTORS Summary Balance Sheet As of March 31, 2015 Mar 31, 15 ASSETS Current Assets Checking/Savings 754,890.06 Accounts Receivable 3,680.47 Other Current Assets 6,375.00 Total Current Assets 764,945.53 Fixed Assets 506,543.63 Other Assets 105,757.12 TOTAL ASSETS 1,377,246.28 LIABILITIES & EQUITY Liabilities Current Liabilities Other Current Liabilities 15,397.25 Total Current Liabilities 15,397.25 Total Liabilities 15,397.25 Equity 1,361,849.03 TOTAL LIABILITIES & EQUITY 1,377,246.28 Page 2 of 12

HUNTSVILLE AREA ASSOCIATION OF REALTORS Balance Sheet As of March 31, 2015 Mar 31, 15 ASSETS Current Assets Checking/Savings 1101 Petty Cash 300.00 1102 Petty Cash - Key System 147.00 1103 Regions Operating Account #0700 309,537.18 110594 Regions MM# 0618 26,308.68 1105 Restricted - Operating Reserves 398,984.15 1109 Restricted - Computer Reserve 10,432.72 1112.1 Regions#9286-Realtors in Action 7,007.73 1112.2 RDFCU#5410-Texie Wilson MemFund 2,172.60 Total Checking/Savings 754,890.06 Accounts Receivable 11201 A/R - Membership 104.16 1121 A/R - from MLS 3,576.31 Total Accounts Receivable 3,680.47 Other Current Assets 1190 Prepaid Expenses 6,375.00 Total Other Current Assets 6,375.00 Total Current Assets 764,945.53 Fixed Assets 1202 Building Accessories 3,517.34 1203 Land (Purchased July 1980) 130,722.50 1204 Furniture & Equipment 11,917.83 1215 Land Improvements 3,041.79 1217 Computer Equipment 22,100.80 1218 Original Building 0.12 1219 Building Addition 97,109.71 1220 Trademark 5,131.41 1221 Leasehold Improvements 228,286.69 1230 Copyright 226.14 1245 HAAR Website 2,000.00 1250 HAAR Logo 2,489.30 Total Fixed Assets 506,543.63 Other Assets 1225 Investment in MLS 1,000.45 1226 Morgan Stanley Investment 104,756.67 Total Other Assets 105,757.12 TOTAL ASSETS 1,377,246.28 Page 3 of 12

HUNTSVILLE AREA ASSOCIATION OF REALTORS Balance Sheet As of March 31, 2015 Mar 31, 15 LIABILITIES & EQUITY Liabilities Current Liabilities Other Current Liabilities 1300.1 A/P - Realtors in Action 7,007.73 1300.2 A/P - Texie Wilson MemFund 2,172.07 130415 Payable-NAR Assmt 2015 140.00 130515 Payable-NAR Dues 2015 400.00 130615 Payable-AAR Dues 2015 1,005.85 130715 Payable-AAR New Member 2015 500.00 130915 Payable - ARPAC 2015 90.00 1315 Accrued Income Tax Payable 2,768.00 1316 Payable - Other 0.00 1318 A/P NALMLS 185.00 1324 Building Use - Refundable Dep 1,100.00 1380 Use Taxes Payable 28.60 Total Other Current Liabilities 15,397.25 Total Current Liabilities 15,397.25 Total Liabilities 15,397.25 Equity 3900 Fund Balance 1,205,075.26 Net Income 156,773.77 Total Equity 1,361,849.03 TOTAL LIABILITIES & EQUITY 1,377,246.28 Page 4 of 12

HUNTSVILLE AREA ASSOCIATION OF REALTORS Profit & Loss Budget vs. Actual January through March 2015 Ordinary Income/Expense Income Jan - Mar 15 YTD Budget Variance % of YTD Budget 2015 Adopted Budget 1502 Interest Income 388.36 365.00 23.36 106.4% 8,000.00 1503 Application Fees 26,200.00 24,500.00 1,700.00 106.94% 92,000.00 1511 Gift Card Sponsor Income 0.00 0.00 0.00 0.0% 1,000.00 1515 Member Benefits Partner Program 2,956.25 3,000.00 43.75-98.54% 3,800.00 1516 Newsletter Advertising Income 250.00 750.00 500.00-33.33% 3,000.00 1520 Late Fees 6,950.00 7,184.50 234.50-96.74% 8,584.50 1524 Annual Key Maintenance 3,290.00 3,200.00 90.00 102.81% 37,893.00 152515 HAAR Dues 2015 190,531.61 190,000.00 531.61 100.28% 192,761.50 1526 Rent Income - MLS 20,250.00 20,250.00 0.00 100.0% 81,000.00 1527 Education Income 6,359.00 6,300.00 59.00 100.94% 10,000.00 1527.1 Orientation Income 1,950.00 1,900.00 50.00 102.63% 11,000.00 1527.2 Pre/Post Licensing Income 1,928.44 1,900.00 28.44 101.5% 6,000.00 15291 Banquet Sponsorship & Tickets 31,450.00 31,725.00 275.00-99.13% 31,725.00 1530 Misc Income 208.86 200.00 8.86 104.43% 6,000.00 1531 Building Rental Income 1,455.00 1,400.00 55.00 103.93% 4,000.00 1533 REALTOR Expo 0.00 0.00 0.00 0.0% 12,000.00 1533.1 Technology Expo Income 0.00 0.00 0.00 0.0% 2,500.00 1535 ARPAC Event Income 0.00 0.00 0.00 0.0% 12,000.00 15351 Arbitration/Mediation Fees 0.00 0.00 0.00 0.0% 1,600.00 15352 Ethics Fines 0.00 0.00 0.00 0.0% 100.00 1538 Maps Income 59.40 35.00 24.40 169.71% 350.00 1539 Membership Luncheon Income 6,525.00 6,400.00 125.00 101.95% 20,350.00 1546 Royalties from NALMLS 9,460.00 9,300.00 160.00 101.72% 37,140.00 1547 POC from NALMLS 19,525.00 19,037.50 487.50 102.56% 76,150.00 1552 Supra Lockboxes 7,330.00 7,400.00 70.00-99.05% 47,250.00 1552.1 Lockbox Reprogramming Fee 525.00 475.00 50.00 110.53% 3,000.00 1553 Supra Activekey Car Charger 175.00 175.00 0.00 100.0% 375.00 1554 Supra Ekey Fob 2,580.00 2,500.00 80.00 103.2% 18,000.00 1555 Supra Replacement Key Container 11.00 11.00 0.00 100.0% 110.00 1557 Supra Return Postage Income 262.50 250.00 12.50 105.0% 800.00 Total Income 340,620.42 338,258.00 2,362.42 100.7% 728,489.00 Gross Profit 340,620.42 338,258.00 2,362.42 100.7% 728,489.00 Expense 1735 Accounting 65.38 65.00 0.38 100.59% 250.00 1735.1 Audit 26,000.00 26,000.00 0.00 100.0% 26,000.00 1736 Dues & Subscriptions 825.00 850.00 25.00-97.06% 3,200.00 1740 Advertising 1,629.92 1,650.00 20.08-98.78% 3,000.00 1743 ARPAC (Crystal R $2500) 0.00 0.00 0.00 0.0% 2,500.00 1743.1 ARPAC Event Expense 0.00 0.00 0.00 0.0% 12,000.00 1756 Bank Fees & Ecommerce Fees 2,355.82 2,500.00 144.18-94.23% 6,000.00 1766 Copier/Fax 450.00 450.00 0.00 100.0% 1,800.00 1771 Chamber of Commerce-HREGI $2500 0.00 0.00 0.00 0.0% 2,500.00 1773 Depreciation Expense 10,385.22 8,503.00 1,882.22 122.14% 34,000.00 1774 Amortization Expense 183.18 300.00 116.82-61.06% 1,200.00 1776 Education & Seminars 4,075.54 4,200.00 124.46-97.04% 8,000.00 1777 Pre/Post Licensing Expense 0.00 0.00 0.00 0.0% 2,000.00 1785 Grievance Committee 0.00 0.00 0.00 0.0% 400.00 1786 Installation Banquet 31,450.00 31,065.15 384.85 101.24% 31,065.15 1806 Insurance 3,600.00 3,600.00 0.00 100.0% 6,100.00 18271 Lockbox-SUPRA 0.00 0.00 0.00 0.0% 35,000.00 18272 Lockbox Buyback 4,100.00 3,950.00 150.00 103.8% 6,000.00 18274 ActiveKey Car Charger 0.00 0.00 0.00 0.0% 200.00 18275 EKey Fob 553.12 600.00 46.88-92.19% 13,000.00 1831 Legal 0.00 0.00 0.00 0.0% 4,000.00 1839 Member Relations 21.78 25.00 3.22-87.12% 1,000.00 Page 5 of 12

HUNTSVILLE AREA ASSOCIATION OF REALTORS Profit & Loss Budget vs. Actual January through March 2015 Jan - Mar 15 YTD Budget Variance % of YTD Budget 2015 Adopted Budget 1840 Governmental Affairs 3,200.00 3,000.00 200.00 106.67% 10,000.00 1843 Membership Meetings 3,440.97 3,550.00 109.03-96.93% 15,000.00 1845 Office Expense/Supplies 773.01 800.00 26.99-96.63% 5,680.00 1846 Open House 0.00 0.00 0.00 0.0% 5,000.00 1847 Business Meetings 1,690.68 1,800.00 109.32-93.93% 6,000.00 1848 Network Server Maintenance 1,269.43 1,300.00 30.57-97.65% 6,965.00 1850 Postage 264.17 400.00 135.83-66.04% 1,200.00 1853 Professional Standards Comm 0.00 0.00 0.00 0.0% 400.00 1854 REALTOR Expo Expense 0.00 0.00 0.00 0.0% 8,000.00 1854.1 Technology Expo Expense 0.00 0.00 0.00 0.0% 2,500.00 1855 Printing 45.21-0.00 45.21-100.0% 1,500.00 18560 Security System 203.00 193.00 10.00 105.18% 960.00 18561 Janitorial Services 1,634.35 1,685.00 50.65-96.99% 7,020.00 18562 Landscaping & Lawn Care 1,017.00 1,017.00 0.00 100.0% 5,930.00 18563 Pest Control 393.02 394.00 0.98-99.75% 1,680.00 18564 Electrical 794.99 865.00 70.01-91.91% 2,500.00 18565 Plumbing 177.25 200.00 22.75-88.63% 1,500.00 18566 Heat & A/C 0.00 0.00 0.00 0.0% 2,296.00 18568 Repairs and Maintenance 83.66 300.00 216.34-27.89% 6,538.00 18569 Waste Dumpster Services 234.00 234.00 0.00 100.0% 1,092.00 1861 Special Projects 0.00 0.00 0.00 0.0% 500.00 1864 Orientation 525.33 650.00 124.67-80.82% 4,000.00 1865 Service from MLS 69,681.84 69,681.84 0.00 100.0% 278,727.35 1867 Strategic Planning 2,266.73 1,000.00 1,266.73 226.67% 1,000.00 1869 Taxes & Licenses 0.00 0.00 0.00 0.0% 14,250.00 1873 Travel 2,298.76 2,400.00 101.24-95.78% 89,842.17 1874 Telephone 750.00 750.00 0.00 100.0% 3,360.00 1880 Utilities 4,809.42 4,900.00 90.58-98.15% 21,000.00 1892 Miscellaneous 0.00 0.00 0.00 0.0% 500.00 1990 Provision for Income Tax 2,895.00 3,000.00 105.00-96.5% 16,000.00 Total Expense 184,052.36 181,877.99 2,174.37 101.2% 720,155.67 Net Ordinary Income 156,568.06 156,380.01 188.05 100.12% 8,333.33 Other Income/Expense Other Income 1505 Investment Income 205.71 0.00 205.71 100.0% 0.00 Total Other Income 205.71 0.00 205.71 100.0% 0.00 Net Other Income 205.71 0.00 205.71 100.0% 0.00 Payback of Building Renovation Loan 0.00 0.00 0.00 0.0% 8,333.33 Net Income 156,773.77 156,380.01 393.76 100.25% (0.00) Page 6 of 12

HUNTSVILLE AREA ASSOCIATION OF REALTORS HAAR Membership Count: Other Notes Member Count for HAAR as of 12/16/14 Number of members who terminated 12/31/13-1/31/14 43 Active Primary Realtor/DR 1592 Number of members who terminated 12/31/14-1/31/15 42 Member Benefits Partner 23 Active Primary Realtor/DR count as of 12/31/2013 1575 Active Primary Realtor/DR count as of 12/31/2014 1589 Member Count for NALMLS as of 12/17/14 Active Primary Realtor/DR count as of 3/31/15/2015 1595 Member Benefits Partner as of 3/31/2015 16 Active Realtor/DR 2447 Active Affiliates as of 3/31/2015 84 Suspended Realtor/DR 0 Medical/military leave as of 3/31/2015 2 Active Affiliates 31 Renewable Contracts: Purpose Term Expires Amount UTC (formerly Supra) - Income ActiveKEY 6 years 2/13/2021 ActiveKEY $21/holder annually UTC (formerly Supra) - Income ekey 6 years 2/13/2021 ekey $2/holder monthly UTC (formerly Supra) - Expense Lockboxes 6 years 2/13/2021 $105 new / + s/h & tax UTC (formerly Supra) - Expense Lockbox key container assembly 6 years 2/13/2021 $9.30 + s/h & tax UTC (formerly Supra) - Expense iphone adapter 6 years 2/13/2021 $49.95 + s/h & tax UTC (formerly Supra) - Expense ekey fob 6 years 2/13/2021 $49.95 + s/h & tax Chamber of Commerce HREGI annually 7/1/2015 $ 2,500.00 AON Insurance Professional Liability insurance annually 4/1/2016 $ 4,600.00 Guardian Storage Unit offsite storage monthly monthly $ 2,460.00 Intermedia Exchange Email & shared calendar hosting. Shared w/ NALMLS annually 2/1/2015 $ 936.48 Frank Riddick Governmental Affairs 3 year 5/31/2015 $ 372.00 Elite Pest Control monthly pest control service annually 6/1/2015 $ 900.00 Cooks Pest Control quarterly termite service annually auto renew $ 676.00 Conditioned Air Solutions quarterly preventive maintenace on air units open open $ 3,888.00 Koorsen Fire Protection annual fire extinguisher inspection annually 4/1/2016 $150 basic charge NALMLS Intercompany services & allocation of salaries 3 year 1/1/2016 $ 21,449.38 NALMLS - POC Point of contact fee & royalties 3 year 1/1/2016 POC will start in 2013 Waste Away monthly monthly monthly $ 936.00 Superior Trimmers monthly monthly monthly $ 4,080.00 Captial Items Purchased: Requested Amount Purchased Date Amount Non Budgeted Items Purchased: Vendor Purchased Date Amount HAAR website (requirement of Core Standards) Cevado Technologies 1/15/2015 $2000 + $30/mth Transfers from Reserves Date Approved Date Transferred Amount Used Purpose Page 7 of 12

HUNTSVILLE AREA ASSOCIATION OF REALTORS Name Company Service Bubba Conner Bubba's Silver Spoon Catering Catering Patti Mullins Coleman American Moving Services Moving & Transporting Ben Logan DataPro, LLC Printing & Promotional Items Gary Doran Elite Pest Control Pest Control Virgil Allen Home Financial Services of Huntsville Loan Services Gregory Glass Schlotzskys / 5 Guys / Nothing but Noodles Catering Sasha England Smarter Agent Apps for ValleyMLS Shea Brandon Superior Trimmers Landscaping Kim Warren Tennessee Valley Sign & Printing Printing & Promotional Items Katie England W & R Studios Real Estate web based software (CMA) Jeff Klimek Cornerstone Communities, LLC Home Building & Development Carolyn Battle Lankford/Battle Allstate Insurance Insurance Patricia Lancaster Patricia Lancaster, CPA Accounting Services *Benny Zheng Southern Stone Cabinets Cabinetry & Countertops *Peggy Beach WMG Properties Commercial Property Management *Allison Heartsill Two Men and a Truck Moving & Transporting *New to partnership program Member Benefits Partners Page 8 of 12

Membership Trends 2000 1900 1800 1700 1600 1500 1400 1300 1200 HAAR Membership Trend 2010 2011 2012 2013 2014 2015 January count 2800 2700 2600 2500 2400 2300 2200 2100 NALMLS Membership Trend 2010 2011 2012 2013 2014 2015 January count Page 9 of 12

Membership Trends HAAR 2014 & 2015 Membership Trend 1600 1580 1,588 1,589 1,589 1,592 1,595 1560 1,566 1,574 1,565 1587 1,562 1,573 1540 1,548 1,546 1520 1,523 1,527 1500 1480 Jan.14 Mar.14 May.14 Jul.14 Sep.14 Nov.14 Jan.15 Mar.15 NALMLS 2014 & 2015 Membership Trend 2600 2400 2,4222,447 2,452 2,426 2,409 2200 2,339 2,373 2,385 2,309 2,321 2,324 2,248 2,381 2,405 2,334 2000 Jan.14 Mar.14 May.14 Jul.14 Sep.14 Nov.14 Jan.15 Mar.15 Page 10 of 12

Net Income Trends HAAR Net Income $100,000 $0 -$100,000 -$200,000 2008 2009 2010 2011 2012 2013 2014 NOTE: In 2012, HAAR changed to the Income Tax Basis of Accounting which eliminates the carryover of NALMLS profit or loss. Note for 2014: HAAR took bonus depreciation saving over $? in taxes and reducing taxable NALMLS Net Income $200,000 $150,000 $100,000 $50,000 -$50,000 $0 -$100,000 -$150,000 -$200,000 2008 2009 2010 2011 2012 2013 2014 Note for 2014: NALMLS took Section 179 depreciation saving over $9,000 in taxes and reducing taxable income by $38,000. Page 11 of 12

Cash and Reserves HAAR $104,756, 12% $10,433, 1% $398,984, 47% $309,537, 37% $26,309, 3% Operating Account #0700 MM# 0618 Restricted - Operating Reserves Restricted - Computer Reserve Morgan Stanley Investment NALMLS $92,271, 9% $354,631, 32% $443,560, 40% Operating Account #0596 MM #4778 Restricted - Operating Reserves Restricted - Computer Reserves $211,131, 19%