Form990-PF

Department of the Treasury
Internal Revenue Service

Return of Private Foundation
or Section 4947(a)(1) Trust Treated as Private Foundation
bulletDo not enter social security numbers on this form as it may be made public.
bulletGo to www.irs.gov/Form990PF for instructions and the latest information.
OMB No. 1545-0052
2018
Open to Public Inspection
For calendar year 2018, or tax year beginning 01-01-2018 , and ending 12-31-2018
Name of foundation
THE LOCHLAND FOUNDATION
 
Number and street (or P.O. box number if mail is not delivered to street address)PO BOX 327
  Room/suite
City or town, state or province, country, and ZIP or foreign postal code
MEDINA, WA98039
A Employer identification number

51-0420961
B Telephone number (see instructions)

(425) 453-7464
C bullet
G Check all that apply:

D 1. Foreign organizations, check here............. bullet
2. Foreign organizations meeting the 85%
test, check here and attach computation ... bullet
E bullet
H Check type of organization:
F bullet
I Fair market value of all assets at end
of year (from Part II, col. (c),
line 16)bullet$12,764,030J Accounting method:
 
(Part I, column (d) must be on cash basis.)
Part I Analysis of Revenue and Expenses (The total of amounts in columns (b), (c), and (d) may not necessarily equal the amounts in column (a) (see instructions).) (a) Revenue and
expenses per
books 		(b) Net investment
income 		(c) Adjusted net
income 		(d) Disbursements
for charitable
purposes
(cash basis only)
Revenue 1 Contributions, gifts, grants, etc., received (attach schedule) 0
2 Check bullet.............
3 Interest on savings and temporary cash investments      
4 Dividends and interest from securities... 284,407 284,407  
5a Gross rents............      
b Net rental income or (loss)  
6a Net gain or (loss) from sale of assets not on line 10 66,143
b Gross sales price for all assets on line 6a 3,513,673
7 Capital gain net income (from Part IV, line 2)... 66,143
8 Net short-term capital gain.........  
9 Income modifications...........  
10a Gross sales less returns and allowances  
b Less: Cost of goods sold....  
c Gross profit or (loss) (attach schedule).....    
11 Other income (attach schedule).......      
12 Total. Add lines 1 through 11........ 350,550 350,550  
Operating and Administrative Expenses 13 Compensation of officers, directors, trustees, etc. 0 0   0
14 Other employee salaries and wages......        
15 Pension plans, employee benefits.......        
16a Legal fees (attach schedule)......... Click to see attachment 247 0   247
b Accounting fees (attach schedule)....... Click to see attachment 9,512 4,756   4,756
c Other professional fees (attach schedule)....        
17 Interest...............        
18 Taxes (attach schedule) (see instructions)... Click to see attachment 17,410 2,878   0
19 Depreciation (attach schedule) and depletion...      
20 Occupancy..............        
21 Travel, conferences, and meetings.......        
22 Printing and publications..........        
23 Other expenses (attach schedule)....... Click to see attachment 41,187 40,218   25
24 Total operating and administrative expenses.
Add lines 13 through 23.......... 68,356 47,852   5,028
25 Contributions, gifts, grants paid....... 430,000 430,000
26 Total expenses and disbursements. Add lines 24 and 25 498,356 47,852   435,028
27 Subtract line 26 from line 12:
a Excess of revenue over expenses and disbursements -147,806
b Net investment income (if negative, enter -0-) 302,698
c Adjusted net income (if negative, enter -0-)...  
For Paperwork Reduction Act Notice, see instructions.
Cat. No. 11289X Form 990-PF (2018)
Form 990-PF (2018)
Page 2
Part II Balance Sheets Attached schedules and amounts in the description column
should be for end-of-year amounts only. (See instructions.) 		Beginning of year End of year
(a) Book Value (b) Book Value (c) Fair Market Value
Assets 1 Cash—non-interest-bearing.............      
2 Savings and temporary cash investments......... 3,091,969 1,276,036 1,276,036
3 Accounts receivable bullet  
Less: allowance for doubtful accounts bullet        
4 Pledges receivable bullet  
Less: allowance for doubtful accounts bullet        
5 Grants receivable.................      
6 Receivables due from officers, directors, trustees, and other
disqualified persons (attach schedule) (see instructions).....      
7 Other notes and loans receivable (attach schedule) bullet  
Less: allowance for doubtful accounts bullet        
8 Inventories for sale or use..............      
9 Prepaid expenses and deferred charges..........      
10a Investments—U.S. and state government obligations (attach schedule) 101,335 Click to see attachment75,433 76,595
b Investments—corporate stock (attach schedule)....... 3,870,850 Click to see attachment5,738,191 5,955,182
c Investments—corporate bonds (attach schedule)....... 5,566,545 Click to see attachment5,399,175 5,412,176
11 Investments—land, buildings, and equipment: basis bullet  
Less: accumulated depreciation (attach schedule) bullet        
12 Investments—mortgage loans.............      
13 Investments—other (attach schedule)..........      
14 Land, buildings, and equipment: basis bullet  
Less: accumulated depreciation (attach schedule) bullet        
15 Other assets (describe bullet) Click to see attachment49,983 Click to see attachment44,041 Click to see attachment44,041
16 Total assets (to be completed by all filers—see the
instructions. Also, see page 1, item I) 12,680,682 12,532,876 12,764,030
Liabilities 17 Accounts payable and accrued expenses..........    
18 Grants payable.................    
19 Deferred revenue.................    
20 Loans from officers, directors, trustees, and other disqualified persons    
21 Mortgages and other notes payable (attach schedule)......    
22 Other liabilities (describe bullet)    
23 Total liabilities (add lines 17 through 22)......... 0 0
Net Assets or Fund Balances Foundations that follow SFAS 117, check here bullet
and complete lines 24 through 26 and lines 30 and 31.
24 Unrestricted.................. 12,680,682 12,532,876
25 Temporarily restricted...............    
26 Permanently restricted...............    
Foundations that do not follow SFAS 117, check here bullet
and complete lines 27 through 31.
27 Capital stock, trust principal, or current funds........    
28 Paid-in or capital surplus, or land, bldg., and equipment fund    
29 Retained earnings, accumulated income, endowment, or other funds    
30 Total net assets or fund balances (see instructions)..... 12,680,682 12,532,876
31 Total liabilities and net assets/fund balances (see instructions). 12,680,682 12,532,876
Part III
Analysis of Changes in Net Assets or Fund Balances
1
Total net assets or fund balances at beginning of year—Part II, column (a), line 30 (must agree with end-of-year figure reported on prior year’s return) ...............
1
12,680,682
2
Enter amount from Part I, line 27a .....................
2
-147,806
3
Other increases not included in line 2 (itemize) bullet
3
0
4
Add lines 1, 2, and 3 ..........................
4
12,532,876
5
Decreases not included in line 2 (itemize) bullet
5
0
6
Total net assets or fund balances at end of year (line 4 minus line 5)—Part II, column (b), line 30 .
6
12,532,876
Form 990-PF (2018)
Form 990-PF (2018)
Page 3
Part IV
Capital Gains and Losses for Tax on Investment Income
(a) List and describe the kind(s) of property sold (e.g., real estate,
2-story brick warehouse; or common stock, 200 shs. MLC Co.)		 (b)
How acquired
P—Purchase
D—Donation 		(c)
Date acquired
(mo., day, yr.) 		(d)
Date sold
(mo., day, yr.)
1 a PUBLICLY TRADED SECURITIES      
b
c
d
e
(e)
Gross sales price 		(f)
Depreciation allowed
(or allowable) 		(g)
Cost or other basis
plus expense of sale 		(h)
Gain or (loss)
(e) plus (f) minus (g)
a 3,513,673   3,447,530 66,143
b
c
d
e
Complete only for assets showing gain in column (h) and owned by the foundation on 12/31/69 (l)
Gains (Col. (h) gain minus
col. (k), but not less than -0-) or
Losses (from col.(h))
(i)
F.M.V. as of 12/31/69 		(j)
Adjusted basis
as of 12/31/69 		(k)
Excess of col. (i)
over col. (j), if any
a       66,143
b
c
d
e
2 Capital gain net income or (net capital loss) Bracket If gain, also enter in Part I, line 7
If (loss), enter -0- in Part I, line 7		 Bracket 2 66,143
3 Net short-term capital gain or (loss) as defined in sections 1222(5) and (6):
If gain, also enter in Part I, line 8, column (c) (see instructions). If (loss), enter -0-
in Part I, line 8 ................... 		Bracket 3  
Part V
Qualification Under Section 4940(e) for Reduced Tax on Net Investment Income
(For optional use by domestic private foundations subject to the section 4940(a) tax on net investment income.)

If section 4940(d)(2) applies, leave this part blank.
Was the foundation liable for the section 4942 tax on the distributable amount of any year in the base period?
If "Yes," the foundation does not qualify under section 4940(e). Do not complete this part.
1 Enter the appropriate amount in each column for each year; see instructions before making any entries.
(a)
Base period years Calendar
year (or tax year beginning in) 		(b)
Adjusted qualifying distributions 		(c)
Net value of noncharitable-use assets 		(d)
Distribution ratio
(col. (b) divided by col. (c))
2017 334,260 10,940,627 0.030552
2016 753,671 10,683,122 0.070548
2015 1,247,702 11,467,565 0.108803
2014 811,238 12,374,911 0.065555
2013 644,174 9,278,229 0.069429
2
Total of line 1, column (d) .....................
2
0.344887
3
Average distribution ratio for the 5-year base period—divide the total on line 2 by 5.0, or by the number of years the foundation has been in existence if less than 5 years ......
3
0.068977
4
Enter the net value of noncharitable-use assets for 2018 from Part X, line 5......
4
13,157,077
5
Multiply line 4 by line 3......................
5
907,536
6
Enter 1% of net investment income (1% of Part I, line 27b)...........
6
3,027
7
Add lines 5 and 6........................
7
910,563
8
Enter qualifying distributions from Part XII, line 4,.............
8
435,028
If line 8 is equal to or greater than line 7, check the box in Part VI, line 1b, and complete that part using a 1% tax rate. See the Part VI instructions.
Form 990-PF (2018)
Form 990-PF (2018)
Page 4
Part VI
Excise Tax Based on Investment Income (Section 4940(a), 4940(b), 4940(e), or 4948—see instructions)
1a Exempt operating foundations described in section 4940(d)(2), check here Bullet and enter “N/A" on line 1. Bracket includes lines 1a and 1b
Date of ruling or determination letter:   (attach copy of letter if necessary–see instructions)
b Domestic foundations that meet the section 4940(e) requirements in Part V, check 1 6,054
hereBulletand enter 1% of Part I, line 27b...................
c All other domestic foundations enter 2% of line 27b. Exempt foreign organizations enter 4% of Part I, line 12, col. (b)
2 Tax under section 511 (domestic section 4947(a)(1) trusts and taxable foundations only. Others enter -0-) 2 0
3 Add lines 1 and 2........................... 3 6,054
4 Subtitle A (income) tax (domestic section 4947(a)(1) trusts and taxable foundations only. Others enter -0-) 4 0
5 Tax based on investment income. Subtract line 4 from line 3. If zero or less, enter -0- ..... 5 6,054
6 Credits/Payments:
a 2018 estimated tax payments and 2017 overpayment credited to 2018 6a 11,130
b Exempt foreign organizations—tax withheld at source...... 6b
c Tax paid with application for extension of time to file (Form 8868)... 6c 0
d Backup withholding erroneously withheld ........... 6d 0
7 Total credits and payments. Add lines 6a through 6d.............. 7 11,130
8 Enter any penalty for underpayment of estimated tax. Check here if Form 2220 is attached. 8 0
9 Tax due. If the total of lines 5 and 8 is more than line 7, enter amount owed.......Bullet 9  
10 Overpayment. If line 7 is more than the total of lines 5 and 8, enter the amount overpaid...Bullet 10 5,076
11 Enter the amount of line 10 to be: Credited to 2019 estimated taxBullet5,076 RefundedBullet 11 0
Part VII-A
Statements Regarding Activities
1a
During the tax year, did the foundation attempt to influence any national, state, or local legislation or did
Yes
No
it participate or intervene in any political campaign? ....................
1a
 
No
b
Did it spend more than $100 during the year (either directly or indirectly) for political purposes? (see Instructions
for definition).................................
1b
 
No
If the answer is "Yes" to 1a or 1b, attach a detailed description of the activities and copies of any materials
published or distributed by the foundation in connection with the activities.
c
Did the foundation file Form 1120-POL for this year?.....................
1c
 
No
d
Enter the amount (if any) of tax on political expenditures (section 4955) imposed during the year:
(1) On the foundation. bullet$ 0(2) On foundation managers.bullet$ 0
e
Enter the reimbursement (if any) paid by the foundation during the year for political expenditure tax imposed
on foundation managers.bullet$ 0
2
Has the foundation engaged in any activities that have not previously been reported to the IRS?.......
2
 
No
If "Yes," attach a detailed description of the activities.
3
Has the foundation made any changes, not previously reported to the IRS, in its governing instrument, articles
of incorporation, or bylaws, or other similar instruments? If "Yes," attach a conformed copy of the changes....
3
 
No
4a
Did the foundation have unrelated business gross income of $1,000 or more during the year?........
4a
 
No
b
If "Yes," has it filed a tax return on Form 990-T for this year?...................
4b
 
 
5
Was there a liquidation, termination, dissolution, or substantial contraction during the year?.........
5
 
No
If "Yes," attach the statement required by General Instruction T.
6
Are the requirements of section 508(e) (relating to sections 4941 through 4945) satisfied either:
  • By language in the governing instrument, or
  • By state legislation that effectively amends the governing instrument so that no mandatory directions
    • that conflict with the state law remain in the governing instrument?................
    6
    Yes
     
    7
    Did the foundation have at least $5,000 in assets at any time during the year? If "Yes," complete Part II, col. (c),
    and Part XV..................................
    7
    Yes
     
    8a
    Enter the states to which the foundation reports or with which it is registered (see instructions)
    bulletWA
    b
    If the answer is "Yes" to line 7, has the foundation furnished a copy of Form 990-PF to the Attorney
    General (or designate) of each state as required by General Instruction G? If "No," attach explanation .
    8b
    Yes
     
    9
    Is the foundation claiming status as a private operating foundation within the meaning of section 4942(j)(3)
    or 4942(j)(5) for calendar year 2018 or the taxable year beginning in 2018? See the instructions for Part XIV.
    If "Yes," complete Part XIV .............................
    9
     
    No
    10
    Did any persons become substantial contributors during the tax year? If "Yes," attach a schedule listing their names
    and addresses. ...............................
    10
     
    No
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 5
    Part VII-A
    Statements Regarding Activities (continued)
    11
    At any time during the year, did the foundation, directly or indirectly, own a controlled entity within the
    meaning of section 512(b)(13)? If "Yes," attach schedule. See instructions .............
    11
     
    No
    12
    Did the foundation make a distribution to a donor advised fund over which the foundation or a disqualified person had
    advisory privileges? If "Yes," attach statement. See instructions.................
    12
     
    No
    13
    Did the foundation comply with the public inspection requirements for its annual returns and exemption application?
    13
    Yes
     
    Website addressbulletN/A
    14
    The books are in care ofbulletPHYLLIS LINDSEY Telephone no.bullet (425) 453-7464

    Located atbulletPO BOX 327MEDINAWA ZIP+4bullet98039
    15
    Section 4947(a)(1) nonexempt charitable trusts filing Form 990-PF in lieu of Form 1041 —check here .........bullet
    and enter the amount of tax-exempt interest received or accrued during the year ........bullet
    15
     
    16 At any time during calendar year 2018, did the foundation have an interest in or a signature or other authority over YesNo
    a bank, securities, or other financial account in a foreign country? .................
    16   No
    See the instructions for exceptions and filing requirements for FinCEN Form 114. If "Yes", enter the name of the foreign
    country bullet  
    Part VII-B
    Statements Regarding Activities for Which Form 4720 May Be Required
    File Form 4720 if any item is checked in the "Yes" column, unless an exception applies.
    Yes
    No
    1a
    During the year did the foundation (either directly or indirectly):
    (1) Engage in the sale or exchange, or leasing of property with a disqualified person?
    (2) Borrow money from, lend money to, or otherwise extend credit to (or accept it from)
    a disqualified person?......................
    (3) Furnish goods, services, or facilities to (or accept them from) a disqualified person?
    (4) Pay compensation to, or pay or reimburse the expenses of, a disqualified person?
    (5) Transfer any income or assets to a disqualified person (or make any of either available
    for the benefit or use of a disqualified person)?...............
    (6) Agree to pay money or property to a government official? (Exception. Check "No"
    if the foundation agreed to make a grant to or to employ the official for a period
    after termination of government service, if terminating within 90 days.).......
    b
    If any answer is "Yes" to 1a(1)–(6), did any of the acts fail to qualify under the exceptions described in Regulations
    section 53.4941(d)-3 or in a current notice regarding disaster assistance? See instructions ........
    1b
     
    No
    ........bullet
    c
    Did the foundation engage in a prior year in any of the acts described in 1a, other than excepted acts,
    that were not corrected before the first day of the tax year beginning in 2018?.............
    1c
     
    No
    2
    Taxes on failure to distribute income (section 4942) (does not apply for years the foundation was a private
    operating foundation defined in section 4942(j)(3) or 4942(j)(5)):
    a
    At the end of tax year 2018, did the foundation have any undistributed income (lines 6d
    and 6e, Part XIII) for tax year(s) beginning before 2018?.............
    If "Yes," list the years bullet20, 20, 20, 20
    b
    Are there any years listed in 2a for which the foundation is not applying the provisions of section 4942(a)(2)
    (relating to incorrect valuation of assets) to the year’s undistributed income? (If applying section 4942(a)(2)
    to all years listed, answer "No" and attach statement—see instructions.) ..............
    2b
     
     
    c
    If the provisions of section 4942(a)(2) are being applied to any of the years listed in 2a, list the years here.
    bullet20, 20, 20, 20
    3a
    Did the foundation hold more than a 2% direct or indirect interest in any business enterprise at
    any time during the year?......................
    b
    If "Yes," did it have excess business holdings in 2018 as a result of (1) any purchase by the foundation
    or disqualified persons after May 26, 1969; (2) the lapse of the 5-year period (or longer period approved
    by the Commissioner under section 4943(c)(7)) to dispose of holdings acquired by gift or bequest; or (3)
    the lapse of the 10-, 15-, or 20-year first phase holding period? (Use Schedule C, Form 4720, to determine
    if the foundation had excess business holdings in 2018.)..................
    3b
     
     
    4a
    Did the foundation invest during the year any amount in a manner that would jeopardize its charitable purposes?
    4a
     
    No
    b
    Did the foundation make any investment in a prior year (but after December 31, 1969) that could jeopardize its
    charitable purpose that had not been removed from jeopardy before the first day of the tax year beginning in 2018?
    4b
     
    No
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 6
    Part VII-B
    Statements Regarding Activities for Which Form 4720 May Be Required (continued)
    5a
    During the year did the foundation pay or incur any amount to:
    Yes
    No
    (1) Carry on propaganda, or otherwise attempt to influence legislation (section 4945(e))?
    (2) Influence the outcome of any specific public election (see section 4955); or to carry
    on, directly or indirectly, any voter registration drive?.............
    (3) Provide a grant to an individual for travel, study, or other similar purposes?
    (4) Provide a grant to an organization other than a charitable, etc., organization described
    in section 4945(d)(4)(A)? See instructions................
    (5) Provide for any purpose other than religious, charitable, scientific, literary, or
    educational purposes, or for the prevention of cruelty to children or animals?.....
    b
    If any answer is "Yes" to 5a(1)–(5), did any of the transactions fail to qualify under the exceptions described in
    Regulations section 53.4945 or in a current notice regarding disaster assistance? See instructions ......
    5b
     
     
    .........bullet
    c
    If the answer is "Yes" to question 5a(4), does the foundation claim exemption from the
    tax because it maintained expenditure responsibility for the grant?..........
    If "Yes," attach the statement required by Regulations section 53.4945–5(d).
    6a
    Did the foundation, during the year, receive any funds, directly or indirectly, to pay premiums on
    a personal benefit contract?.....................
    b
    Did the foundation, during the year, pay premiums, directly or indirectly, on a personal benefit contract? ....
    6b
     
    No
    If "Yes" to 6b, file Form 8870.
    7a
    At any time during the tax year, was the foundation a party to a prohibited tax shelter transaction?
    b
    If yes, did the foundation receive any proceeds or have any net income attributable to the transaction? ....
    7b
     
     
    8
    Is the foundation subject to the section 4960 tax on payment(s) of more than $1,000,000 in remuneration or
    excess parachute payment during the year? .................
    Part VIII
    Information About Officers, Directors, Trustees, Foundation Managers, Highly Paid Employees,
    and Contractors
    1 List all officers, directors, trustees, foundation managers and their compensation. See instructions
    (a) Name and address (b) Title, and average
    hours per week
    devoted to position     		(c) Compensation
     (If not paid, enter
    -0-)     		(d) Contributions to employee benefit plans and deferred compensation (e) Expense account,
    other allowances
    PHYLLIS LINDSEY PRESIDENT
    1.00     		0 0 0
    PO BOX 327
    MEDINA,WA98039
    MARK LINDSEY VICE-PRESIDENT
    1.00     		0 0 0
    PO BOX 327
    MEDINA,WA98039
    KATHERINE BINDER SECRETARY/TREASURER
    1.00     		0 0 0
    PO BOX 327
    MEDINA,WA98039
    2 Compensation of five highest-paid employees (other than those included on line 1—see instructions). If none, enter “NONE."
    (a) Name and address of each employee paid more than $50,000 (b) Title, and average
    hours per week
    devoted to position     		(c) Compensation (d) Contributions to
    employee benefit
    plans and deferred
    compensation     		(e) Expense account,
    other allowances
    NONE
    Total number of other employees paid over $50,000...................bullet 0
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 7
    Part VIII
    Information About Officers, Directors, Trustees, Foundation Managers, Highly Paid Employees,
    and Contractors (continued)
    3 Five highest-paid independent contractors for professional services (see instructions). If none, enter "NONE".
    (a) Name and address of each person paid more than $50,000 (b) Type of service (c) Compensation
    NONE
    Total number of others receiving over $50,000 for professional services.............bullet0
    Part IX-A
    Summary of Direct Charitable Activities
    List the foundation’s four largest direct charitable activities during the tax year. Include relevant statistical information such as the number of organizations and other beneficiaries served, conferences convened, research papers produced, etc. Expenses
    1  
    2  
    3  
    4  
    Part IX-B
    Summary of Program-Related Investments (see instructions)
    Describe the two largest program-related investments made by the foundation during the tax year on lines 1 and 2. Amount
    1  
    2  
    All other program-related investments. See instructions.
    3  
    Total. Add lines 1 through 3.........................bullet0
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 8
    Part X
    Minimum Investment Return (All domestic foundations must complete this part. Foreign foundations,see instructions.)
    1
    Fair market value of assets not used (or held for use) directly in carrying out charitable, etc.,
    purposes:
    a
    Average monthly fair market value of securities...................
    1a
    11,139,601
    b
    Average of monthly cash balances.......................
    1b
    2,217,838
    c
    Fair market value of all other assets (see instructions)................
    1c
    0
    d
    Total (add lines 1a, b, and c).........................
    1d
    13,357,439
    e
    Reduction claimed for blockage or other factors reported on lines 1a and
    1c (attach detailed explanation) .............
    1e
    0
    2
    Acquisition indebtedness applicable to line 1 assets..................
    2
    0
    3
    Subtract line 2 from line 1d.........................
    3
    13,357,439
    4
    Cash deemed held for charitable activities. Enter 1 1/2% of line 3 (for greater amount, see
    instructions) .............................
    4
    200,362
    5
    Net value of noncharitable-use assets. Subtract line 4 from line 3. Enter here and on Part V, line 4
    5
    13,157,077
    6
    Minimum investment return. Enter 5% of line 5..................
    6
    657,854
    Part XI
    Distributable Amount (see instructions) (Section 4942(j)(3) and (j)(5) private operating foundations and certain foreign organizations check here bullet and do not complete this part.)
    1
    Minimum investment return from Part X, line 6....................
    1
    657,854
    2a
    Tax on investment income for 2018 from Part VI, line 5......
    2a
    6,054
    b
    Income tax for 2018. (This does not include the tax from Part VI.)...
    2b
     
    c
    Add lines 2a and 2b............................
    2c
    6,054
    3
    Distributable amount before adjustments. Subtract line 2c from line 1............
    3
    651,800
    4
    Recoveries of amounts treated as qualifying distributions................
    4
    0
    5
    Add lines 3 and 4............................
    5
    651,800
    6
    Deduction from distributable amount (see instructions).................
    6
    0
    7
    Distributable amount as adjusted. Subtract line 6 from line 5. Enter here and on Part XIII, line 1 ...
    7
    651,800
    Part XII
    Qualifying Distributions (see instructions)
    1
    Amounts paid (including administrative expenses) to accomplish charitable, etc., purposes:
    a
    Expenses, contributions, gifts, etc.—total from Part I, column (d), line 26 ..........
    1a
    435,028
    b
    Program-related investments—total from Part IX-B..................
    1b
    0
    2
    Amounts paid to acquire assets used (or held for use) directly in carrying out charitable, etc.,
    purposes...............................
    2
     
    3
    Amounts set aside for specific charitable projects that satisfy the:
    a
    Suitability test (prior IRS approval required)....................
    3a
     
    b
    Cash distribution test (attach the required schedule) .................
    3b
     
    4
    Qualifying distributions. Add lines 1a through 3b. Enter here and on Part V, line 8, and Part XIII, line 4
    4
    435,028
    5
    Foundations that qualify under section 4940(e) for the reduced rate of tax on net investment
    income. Enter 1% of Part I, line 27b. See instructions.................
    5
    0
    6
    Adjusted qualifying distributions. Subtract line 5 from line 4..............
    6
    435,028
    Note: The amount on line 6 will be used in Part V, column (b), in subsequent years when calculating whether the foundation qualifies for
    the section 4940(e) reduction of tax in those years.
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 9
    Part XIII
    Undistributed Income (see instructions)
    (a)
    Corpus     		(b)
    Years prior to 2017     		(c)
    2017     		(d)
    2018
    1 Distributable amount for 2018 from Part XI, line 7 651,800
    2 Undistributed income, if any, as of the end of 2018:
    a Enter amount for 2017 only....... 0
    b Total for prior years:20, 20, 20 0
    3 Excess distributions carryover, if any, to 2018:
    a From 2013......  
    b From 2014...... 169,548
    c From 2015...... 677,148
    d From 2016...... 223,825
    e From 2017......  
    fTotal of lines 3a through e........ 1,070,521
    4Qualifying distributions for 2018 from Part
    XII, line 4: bullet$ 435,028
    a Applied to 2017, but not more than line 2a 0
    b Applied to undistributed income of prior years
    (Election required—see instructions).....     		0
    c Treated as distributions out of corpus (Election
    required—see instructions)........     		0
    d Applied to 2018 distributable amount..... 435,028
    e Remaining amount distributed out of corpus 0
    5 Excess distributions carryover applied to 2018. 216,772 216,772
    (If an amount appears in column (d), the
    same amount must be shown in column (a).)
    6Enter the net total of each column as
    indicated below:
    a Corpus. Add lines 3f, 4c, and 4e. Subtract line 5 853,749
    b Prior years’ undistributed income. Subtract
    line 4b from line 2b ..........     		0
    c Enter the amount of prior years’ undistributed
    income for which a notice of deficiency has
    been issued, or on which the section 4942(a)
    tax has been previously assessed......     		0
    d Subtract line 6c from line 6b. Taxable amount
    —see instructions ...........     		0
    e Undistributed income for 2017. Subtract line
    4a from line 2a. Taxable amount—see
    instructions .............     		0
    f Undistributed income for 2018. Subtract
    lines 4d and 5 from line 1. This amount must
    be distributed in 2019 ..........     		0
    7 Amounts treated as distributions out of
    corpus to satisfy requirements imposed by
    section 170(b)(1)(F) or 4942(g)(3) (Election may
    be required - see instructions) .......     		0
    8 Excess distributions carryover from 2013 not
    applied on line 5 or line 7 (see instructions) ...     		0
    9Excess distributions carryover to 2019.
    Subtract lines 7 and 8 from line 6a ......     		853,749
    10 Analysis of line 9:
    a Excess from 2014....  
    b Excess from 2015.... 629,924
    c Excess from 2016.... 223,825
    d Excess from 2017....  
    e Excess from 2018....  
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 10
    Part XIV
    Private Operating Foundations (see instructions and Part VII-A, question 9)
    1a If the foundation has received a ruling or determination letter that it is a private operating
    foundation, and the ruling is effective for 2018, enter the date of the ruling....... bullet
     
    b Check box to indicate whether the organization is a private operating foundation described in section or
    2a Enter the lesser of the adjusted net
    income from Part I or the minimum
    investment return from Part X for each
    year listed ..........     		Tax year Prior 3 years (e) Total
    (a) 2018 (b) 2017 (c) 2016 (d) 2015
             
    b 85% of line 2a .........          
    c Qualifying distributions from Part XII,
    line 4 for each year listed .....     		         
    d Amounts included in line 2c not used directly
    for active conduct of exempt activities ..........     		         
    e Qualifying distributions made directly
    for active conduct of exempt activities.
    Subtract line 2d from line 2c ....     		         
    3 Complete 3a, b, or c for the
    alternative test relied upon:
    a “Assets" alternative test—enter:
    (1) Value of all assets ......          
    (2) Value of assets qualifying
    under section 4942(j)(3)(B)(i)    		          
    b “Endowment" alternative test— enter 2/3
    of minimum investment return shown in
    Part X, line 6 for each year listed...     		         
    c “Support" alternative test—enter:
    (1) Total support other than gross
    investment income (interest,
    dividends, rents, payments
    on securities loans (section
    512(a)(5)), or royalties) ....     		         
    (2) Support from general public
    and 5 or more exempt
    organizations as provided in
    section 4942(j)(3)(B)(iii)....     		         
    (3) Largest amount of support
    from an exempt organization    		          
    (4) Gross investment income          
    Part XV
    Supplementary Information (Complete this part only if the foundation had $5,000 or more in
    assets at any time during the year—see instructions.)
    1Information Regarding Foundation Managers:
    aList any managers of the foundation who have contributed more than 2% of the total contributions received by the foundation
    before the close of any tax year (but only if they have contributed more than $5,000). (See section 507(d)(2).)
    PHYLLIS LINDSEY
    MARK LINDSEY
    KATHERINE BINDER
    bList any managers of the foundation who own 10% or more of the stock of a corporation (or an equally large portion of the
    ownership of a partnership or other entity) of which the foundation has a 10% or greater interest.
    2Information Regarding Contribution, Grant, Gift, Loan, Scholarship, etc., Programs:
    Check here bullet
    aThe name, address, and telephone number or e-mail address of the person to whom applications should be addressed:
    KATHERINE BINDER
    90 CASCADE KEY
    BELLEVUE,WA98006
    (425) 548-3482
    bThe form in which applications should be submitted and information and materials they should include:
    THERE IS A FORMAL APPLICATION FORM TO COMPLETE THAT REQUESTS BASIC INFORMATION ABOUT THE STUDENT INCLUDING THEIR AGE, EXPECTED MAJOR, TRANSCRIPTS, A LIST OF EXTRA CURRICULAR ACTIVITIES AND FAMILY INCOME RANGES. TWO LETTERS OF RECOMMENDATIONS ARE REQUESTED AS WELL AS A BRIEF ESSAY.
    cAny submission deadlines:
    AT THE DISCRETION OF THE BOARD
    dAny restrictions or limitations on awards, such as by geographical areas, charitable fields, kinds of institutions, or other
    factors:
    THE AWARDS ARE LIMITED TO HIGH SCHOOL STUDENTS IN THE SEATTLE AREA WITH DEMONSTRATED FINANCIAL NEED, ACADEMIC ACHIEVEMENT, AND THE APPROPRIATE TEACHER RECOMMENDATIONS. THE STUDENT MUST TAKE CORE CLASSES THAT WILL RESULT IN A FOUR YEAR DEGREE AND TAKE A FULL LOAD OF CLASSES. THE STUDENT MUST ALSO MAINTAIN A 3.0 GPA AND MUST SUPPLY TRANSCRIPTS UPON REQUEST.
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 11
    Part XV
    Supplementary Information (continued)
    3 Grants and Contributions Paid During the Year or Approved for Future Payment
    Recipient If recipient is an individual,
    show any relationship to
    any foundation manager
    or substantial contributor
    		 Foundation
    status of
    recipient     		Purpose of grant or
    contribution     		Amount
    Name and address (home or business)
    aPaid during the year
    SEATTLE - URBAN ACADAMY
    3800 S OTHELLO STREET
    SEATTLE,WA98118     		NONE PC GENERAL FUND 55,000
    ALEXANDERS HOPE
    14018 NORTHEAST 85TH COURT
    REDMOND,WA98052     		NONE PC GENERAL SUPPORT 30,000
    NEW STORY CHARITY
    182 HOWARD STREET 101
    SAN FRANCISCO,CA94105     		NONE PC GENERAL FUND 65,000
    VERDE VALLEY SCHOOL
    3511 VERDE VALLEY SCHOOL ROAD
    SEDONA,AZ86351     		NONE PC GENERAL FUND 80,000
    RECOVERY CAFE
    2022 BOREN AVENUE
    SEATTLE,WA98121     		NONE PC GENERAL FUND 100,000
    CHRIS EVERT CHARITIES
    7200 WEST CAMINO REAL
    BOCA RATON,FL33433     		NONE PC GENERAL FUND 100,000
    Total .................................bullet 3a 430,000
    bApproved for future payment
    Total .................................bullet 3b 0
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 12
    Part XVI-A
    Analysis of Income-Producing Activities
    Enter gross amounts unless otherwise indicated. Unrelated business income Excluded by section 512, 513, or 514 (e)
    Related or exempt
    function income
    (See instructions.)
    1Program service revenue: (a)
    Business code     		(b)
    Amount     		(c)
    Exclusion code     		(d)
    Amount
    a
    b
    c
    d
    e
    f
    gFees and contracts from government agencies          
    2 Membership dues and assessments....          
    3 Interest on savings and temporary cash
    investments ...........     		         
    4 Dividends and interest from securities....     14 284,407  
    5 Net rental income or (loss) from real estate:
    aDebt-financed property......          
    bNot debt-financed property.....          
    6 Net rental income or (loss) from personal property          
    7 Other investment income.....          
    8 Gain or (loss) from sales of assets other than
    inventory ............     		    18 66,143  
    9 Net income or (loss) from special events:          
    10 Gross profit or (loss) from sales of inventory          
    11 Other revenue: a
    b
    c
    d
    e
    12 Subtotal. Add columns (b), (d), and (e).. 0 350,550 0
    13Total. Add line 12, columns (b), (d), and (e)..................
    13
    350,550
    (See worksheet in line 13 instructions to verify calculations.)
    Part XVI-B
    Relationship of Activities to the Accomplishment of Exempt Purposes
    Line No.
    DownArrow     		Explain below how each activity for which income is reported in column (e) of Part XVI-A contributed importantly to
    the accomplishment of the foundation’s exempt purposes (other than by providing funds for such purposes). (See
    instructions.)
    Form 990-PF (2018)
    Form 990-PF (2018)
    Page 13
    Part XVII
    Information Regarding Transfers To and Transactions and Relationships With Noncharitable Exempt Organizations
    1
    Did the organization directly or indirectly engage in any of the following with any other organization described in section 501(c) (other than section 501(c)(3) organizations) or in section 527, relating to political organizations?
    Yes
    No
    a
    Transfers from the reporting foundation to a noncharitable exempt organization of:
    (1) Cash...................................
    1a(1)
     
    No
    (2) Other assets.................................
    1a(2)
     
    No
    b
    Other transactions:
    (1) Sales of assets to a noncharitable exempt organization....................
    1b(1)
     
    No
    (2) Purchases of assets from a noncharitable exempt organization..................
    1b(2)
     
    No
    (3) Rental of facilities, equipment, or other assets.......................
    1b(3)
     
    No
    (4) Reimbursement arrangements...........................
    1b(4)
     
    No
    (5) Loans or loan guarantees.............................
    1b(5)
     
    No
    (6) Performance of services or membership or fundraising solicitations................
    1b(6)
     
    No
    c
    Sharing of facilities, equipment, mailing lists, other assets, or paid employees..............
    1c
     
    No
    d
    If the answer to any of the above is "Yes," complete the following schedule. Column (b) should always show the fair market value
    of the goods, other assets, or services given by the reporting foundation. If the foundation received less than fair market value
    in any transaction or sharing arrangement, show in column (d) the value of the goods, other assets, or services received.

    (a) Line No. (b) Amount involved (c) Name of noncharitable exempt organization (d) Description of transfers, transactions, and sharing arrangements
    2a
    Is the foundation directly or indirectly affiliated with, or related to, one or more tax-exempt organizations
    described in section 501(c) (other than section 501(c)(3)) or in section 527? ...........
    b
    If "Yes," complete the following schedule.

    (a) Name of organization (b) Type of organization (c) Description of relationship
    Sign Here
    Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.
    Bullet Bullet
    May the IRS discuss this return
    with the preparer shown below
    (see instr.)?
    Signature of officer or trustee Date Title
    Paid Preparer Use Only Print/Type preparer's name Preparer's Signature Date PTIN
    Firm's name SmallBullet
    		 Firm's EIN SmallBullet
    Firm's address SmallBullet


    		 Phone no.
    Form 990-PF (2018)
    Additional Data


    Software ID:  
    Software Version:  


    Form 990PF - Special Condition Description:
    Special Condition Description

    TY 2018 AccountingFeesSchedule
    Name:
    THE LOCHLAND FOUNDATION
    EIN:
    51-0420961
    Category Amount Net Investment Income Adjusted Net Income Disbursements for Charitable Purposes
    ACCOUNTING FEES 9,512 4,756   4,756

    TY 2018 InvestmentsCorpBondsSchedule
    Name:
    THE LOCHLAND FOUNDATION
    EIN:
    51-0420961
    Name of Bond End of Year Book Value End of Year Fair Market Value
    APLLE INC 248,972 249,848
    BERKSHIRE BK 99,950 100,000
    BNY MELON 199,920 199,794
    BURLINGTON NORTHERN SANTA FE 405,701 404,876
    CAROLINA PWR & TL CO 275,378 275,184
    DEERE JOHN CAP CORP 250,025 249,510
    DISCOVERY BANK 150,123 149,441
    ENTERGY TX INC 225,956 225,621
    EXPRESS SCRIPTS HLDGS 124,526 124,468
    GOLDMAN SACHS BANK 201,440 198,902
    JP MORGAN CHASE 101,306 100,978
    NEVADA PWR CO GENL & RFDG 50,505 50,417
    PACORP 350,474 350,280
    PECO ENERGY 95,628 96,339
    PEPSICO INC 10,209 10,024
    PORTLAND GENL ELEC CO 101,166 100,932
    PRECISION CASTPARTS CORP 99,562 97,236
    PROCTOR & GAMBLE 270,581 271,368
    PUGET ENERGY INC 104,294 105,783
    REPUBLIC SERVICES 205,446 203,098
    STRYKER CORP 99,975 101,545
    UNION PACIFIC CORP 125,270 125,071
    UNITED PARCEL SVC 215,713 212,480
    UST BOND 1,325,618 1,347,716
    WALGREEN CO NOTES 51,057 51,032
    WASTE MANAGEMENT 10,380 10,233

    TY 2018 InvestmentsCorpStockSchedule
    Name:
    THE LOCHLAND FOUNDATION
    EIN:
    51-0420961
    Name of Stock End of Year Book Value End of Year Fair Market Value
    ALASKA AIR GROUP INC 123,329 98,577
    ALPHABET INC 120,865 119,095
    AMGEN INC 74,636 93,442
    APPLE INC 63,146 90,701
    BANK NEW YORK MELON 268,067 252,295
    BERKSHIRE HATHAWAY INC 184,927 188,867
    CARTERS INC 195,281 179,564
    FARMERS & MERCHANTS BANK 102,000 154,000
    FIRST NATIONAL BANK ALASKA 313,514 478,800
    GILEAD SCIENCES 125,641 96,953
    GLAXOSMITHKLINE ADR 66,950 57,315
    HERSHEY COMPANY 124,912 133,975
    INTEL CORP 43,850 93,860
    ISHARES NASDAQ BIOTECHNOLOGY 278,835 267,589
    M&T BK CORP CUM PERPETUAL 49,500 50,000
    MICROSOFT CORP 43,695 152,355
    ORACLE CORP 159,283 171,570
    PACCAR INC 39,492 42,855
    QUALCOMM INC 114,005 98,454
    SANOFI SPON ADR 245,864 242,228
    SCHLUMBERGER LTD 226,674 114,374
    STARBUCKS CORP 125,539 148,764
    TARGET CORP 103,375 127,223
    UNITED PARCEL SERVICE 125,516 103,187
    US BANCORP 188,047 167,719
    VANECK VECTORS GOLD MINERS 246,565 238,317
    VANGUARD FTSE DEVELOPED MKTS ETF 368,162 329,634
    VANGUARD FTSE EMERGING MARKETS ETF 313,806 289,370
    VANGUARD GTSE DEVELOPED MKTS ETF 2,639 2,597
    VANGUARD GTSE EMERGING MARKETS ETF 4,217 4,191
    VANGUARD S&P 500 INDEX ETF NEW 759,713 719,305
    VERIZON COMMUNICATIONS INC 202,527 235,000
    WAL-MART STORES INC 114,863 160,218
    WASHINGTON FEDERAL INC 150,318 200,325
    WEYERHAEUSER COMPANY 68,438 52,463

    TY 2018 InvestmentsGovtObligationsSch
    Name:
    THE LOCHLAND FOUNDATION
    EIN:
    51-0420961
    US Government Securities - End of Year Book Value:

    0
    US Government Securities - End of Year Fair Market Value:

    0
    State & Local Government Securities - End of Year Book Value:


    75,433
    State & Local Government Securities - End of Year Fair Market Value:


    76,595


    TY 2018 LegalFeesSchedule
    Name:
    THE LOCHLAND FOUNDATION
    EIN:
    51-0420961
    Category Amount Net Investment Income Adjusted Net Income Disbursements for Charitable Purposes
    LEGAL FEES 247 0   247


    TY 2018 OtherAssetsSchedule
    Name:
    THE LOCHLAND FOUNDATION
    EIN:
    51-0420961
    Description Beginning of Year - Book Value End of Year - Book Value End of Year - Fair Market Value
    PURCHASED INTEREST - AMERICAN EXPRESS 99 0 0
    PURCHASED INTEREST - ANHEUSER 1,421 0 0
    PURCHASED INTEREST - ANNHEUSER 1,281 0 0
    PURCHASED INTEREST - ANNHEUSER 1,593 0 0
    PURCHASED INTEREST - APPLE INC 0 1,055 1,055
    PURCHASED INTEREST - APPLE INC 0 214 214
    PURCHASED INTEREST - ATLANTIC CITY ELECTIRC 316 0 0
    PURCHASED INTEREST - BANK OF AMERICA 712 0 0
    PURCHASED INTEREST - BEAR STEARNS 129 0 0
    PURCHASED INTEREST - BMW BANK OF NORTH AMERICA 831 0 0
    PURCHASED INTEREST - BURLINGTON NORTHERN SANTA FE 495 0 0
    PURCHASED INTEREST - BURLINGTON 0 627 627
    PURCHASED INTEREST - CAROLINA P&L 2,944 2,944 2,944
    PURCHASED INTEREST - CAROLINA PWR & LT CO 0 88 88
    PURCHASED INTEREST - COCA COLA 37 0 0
    PURCHASED INTEREST - DISCOVER BK 0 1,370 1,370
    PURCHASED INTEREST - DUKE ENERGY 1,740 0 0
    PURCHASED INTEREST - DUKE ENERGY 272 0 0
    PURCHASED INTEREST - ENTERGY TX 2,667 2,667 2,667
    PURCHASED INTEREST - ENTERGY TX 1,019 1,019 1,019
    PURCHASED INTEREST - GENERAL 373 525 525
    PURCHASED INTEREST - GS BANK USA 422 422 422
    PURCHASED INTEREST - JP MORGAN 2,000 0 0
    PURCHASED INTEREST - JP MORGAN 184 0 0
    PURCHASED INTEREST - JP MORGAN 438 438 438
    PURCHASED INTEREST - MERRILL LYNCH 181 0 0
    PURCHASED INTEREST - MERRILL LYNCH 458 0 0
    PURCHASED INTEREST - MIDAMERICAN ENERGY 497 0 0
    PURCHASED INTEREST - NEVADA POWER 930 0 0
    PURCHASED INTEREST - NEVADA POWER 871 871 871
    PURCHASED INTEREST - PACIFICORP 5,576 5,576 5,576
    PURCHASED INTEREST - PACIFICORP 2,261 2,261 2,261
    PURCHASED INTEREST - PECO ENERGY 0 368 368
    PURCHASED INTEREST - PEPSICO 39 0 0
    PURCHASED INTEREST - PEPSICO 30 0 0
    PURCHASED INTEREST - PORTLAND GENERAL ELECTRIC 983 983 983
    PURCHASED INTEREST - PRECISION 646 646 646
    PURCHASED INTEREST - PROCTOR & GAMBLE 0 963 963
    PURCHASED INTEREST - PROCTOR & GAMBLE 0 933 933
    PURCHASED INTEREST - REPUBLIC SERVICES 3,850 3,850 3,850
    PURCHASED INTEREST - SOUTH CAROLINA ENERGY 3,908 0 0
    PURCHASED INTEREST - TARGET 1,017 0 0
    PURCHASED INTEREST - UNION PACIFIC 1,869 1,869 1,869
    PURCHASED INTEREST - UST BOND 0 1,257 1,257
    PURCHASED INTEREST - UST BOND 0 5,389 5,389
    PURCHASED INTEREST - UST BOND 0 5 5
    PURCHASED INTEREST - UST BOND 0 820 820
    PURCHASED INTEREST - UST BOND 0 2,051 2,051
    PURCHASED INTEREST - UST BOND 0 617 617
    PURCHASED INTEREST - UST BOND 0 411 411
    PURCHASED INTEREST - UST BOND 0 371 371
    PURCHASED INTEREST - UST BOND 0 371 371
    PURCHASED INTEREST - UST BOND 0 742 742
    PURCHASED INTEREST - UST BOND 0 21 21
    PURCHASED INTEREST - UST BOND 0 179 179
    PURCHASED INTEREST - UST BOND 0 1,192 1,192
    PURCHASED INTEREST - UTD PARCEL 791 791 791
    PURCHASED INTEREST - WACHOVIA 6,361 0 0
    PURCHASED INTEREST - WASTE MANAGEMENT 135 135 135
    PURCHASED INTEREST - WELLS FARGO 607 0 0


    TY 2018 OtherExpensesSchedule
    Name:
    THE LOCHLAND FOUNDATION
    EIN:
    51-0420961
    Description Revenue and Expenses per Books Net Investment Income Adjusted Net Income Disbursements for Charitable Purposes
    STATE LICENSES 25 0   25
    INVESTMENT FEES 40,218 40,218   0
    MISCELLANEOUS 944 0   0


    TY 2018 TaxesSchedule
    Name:
    THE LOCHLAND FOUNDATION
    EIN:
    51-0420961
    Category Amount Net Investment Income Adjusted Net Income Disbursements for Charitable Purposes
    FOREIGN TAXES PAID 2,878 2,878   0
    IRS PAYMENTS 14,532 0   0