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HomeMy WebLinkAbout10-26-10 (2) 505610148 RSV-1500 Ex (01-10) PA Department of Revenue OFFICIAL USE ONLY Bureau of Individual Taxes County Code Year File Number Po Box zsosot INHERITANCE TAX RETURN 21 10 0115 Harrisburg, PA 17128-0601 RESIDENT DECEDENT ENTER DECEDENT INFORMATION BELOW Social Security Number Date of Death MMDDYYYY Date of Birth MMDDYYYY 177-24-6501 01282010 01151926 Decedent's Last Name Suffix Decedent's First Name M I LEHMAN, JR SIMON A (If Applicable) Enter Surviving Spouse's Information Below Spouse's Last Name Suffix Spouse's First Name M I LEHMAN BETTY G Spouse's Social Security Number THIS RETURN MUST BE FILED IN DUPLICATE WITH THE REGISTER OF WILLS FILL IN APPROPRIATE BOXES BELOW ® 1. Original Return ^ 2. Supplemental Return ^ 3. Remainder Return (date of death prior to 12-13-82) ^ 4. Limited Estate ^ 4a. Future Interest Compromise (date of ^ 5. Federal Estate Tax Return Required death after 12-12-82) X^ 6. Decedent Died Testate ^ 7. Decedent Maintained a Living Trust _ 8. Total Number of Safe Deposit Boxes (Attach Copy of Will) (Attach Copy of Trust) ^ ^ 10 l P di f d h S C d ^ 11 i El 9. Litigation Proceeds Received . overty re ate o eat pousa t ( . ect on to tax under Sec. 9113(A) between 12-31-91 and 1-1-95) (Attach Sch. O) CORRESPONDENT - THIS SECTION MUST BE COMPLETED. ALL CORRESPONDENCE AND CONFIDENTIAL TAX INFORMATION SHOULD BE DIRECTED TO: Name Daytime Telephone Number RICHARD C• SNELBAKER, ESQ 717-697-8528 >`.~ First line of address 44 WEST MAIN STREET Second line of address P•0• BOX 318 City or Post Office MECHANICSBURG State ZIP Code PA 17055 REGISTE tll~jl.LS USE f>t~Y -' -~~ t~ ~ ; iTJ ~1 l-3 '.. ~ ; r-n -,- n ---i ~ -ate .:.~_, ~' ~ - .-rn r,~ r- -. rnr-.~~ t'~ - i~ ~ C l y ~~ -T? J -~~ ° - (-. - -- ~ _r~ ~ ~ ~ DATE FILED 43 Correspondent's e-mail address: 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~s'I~ue, correct and complete. Declaration of preparer other than the personal representative is based on all information of which preparer wledge. d P• Kf~VETH LEHMAN, EXECUTOR 3872 HENRY ROAD, CHAMBERSBURG SIG DER OTHER THAN REPRESENTATIVE QATE, blahilt~ RICHARD C• SNELBAKER, ESQUIRE 44 WEST MAIN STREET, MECHANICSBURG PLEASE USE ORIGINAL FORM ONLY PA 17 55 1505610148 Side 1 9M4647 4.000 1505610148 J 1505610248 REV-1500 EX Decedent's Social Security Number 177-24-6501 Decedent'sName: LEHMAN, JR SIMON A RECAPITULATION 1. Real Estate (Schedule A) 1 0 • 0 0 2. Stocks and Bonds (Schedule B) . 2 3. Closely Held Corporation, Partnership or Sole-Proprietorship (Schedule C) , 3 60.04 0.00 4. Mortgages and Notes Receivable (Schedule D) 4 0 • 0 0 5. Cash, Bank Deposits and Miscellaneous Personal Property (Schedule E) 5. 3 2 0 , 3 7 9.6 3 6. Jointly Owned Property (Schedule F) ~ Separate Billing Requested g. 0 , 0 0 7. Inter-Vivos Transfers 8 Miscellaneous Non-Probate Property (Schedule G) ~ Separate Billing Requested 7. 7 2 , 4 5 6.51 8. Total Gross Assets (total Lines 1 through 7) 8 3 9 2 , 8 9 6.18 9. Funeral Expenses and Administrative Costs (Schedule H) , , 9 2 2 , 8 9 2.7 0 10. Debts of Decedent, Mortgage Liabilities, and Liens (Schedule I) 10 4 , 8 5 5.9 8 11. Total Deductions (total Lines 9 and 10) , 11 2 7 , 7 4 8.6 8 12. Net Value of Estate (Line 8 minus Line 11) 12 3 6 5 ,14 7.5 0 13. Charitable and Governmental Bequests/Sec 9113 Trusts for which an election to tax has not been made (Schedule J) , , 13. 2 7 5 , 0 0 9.6 3 14. Net Value Subject to Tax (Line 12 minus Line 13) . 14 9 0 , 13 7 • 8 7 TAX COMPUTATION -SEE INSTRUCTIONS FOR APPLICABLE RATES 15. Amount of Line 14 taxable at the spousal tax rate, or transfers un~er Sec. 9116 (a)(1.2)x.o- 63, 032.81 15. 0.00 16. Amount of Line 14 xable o 4~ at linealratex . 27,105.06 1s. 1,219.73 17. Amount of Line 14 taxable at sibling rate X .12 0 • 0 0 17. 0.0 0 18. Amount of Line 14 taxable at collateral rate X .15 0. 0 0 18. 0. 0 0 19. TAX DUE 19. 1, 219.7 3 20. FILL IN THE BOX IF YOU ARE REQUESTING A REFUND OF AN OVERPAYMENT X^ Side 2 1505610248 1505610248 9M4648 4.000 REV-1500 EX Page 3 Decedent's Comulete Address: File Number 21 10 0115 DECEDENTS NAME L HMAN, JR SIMON A STREET ADDRESS TOWNSHIP CUM R A 0 TY CITY STATE ZIP M HAN CS URG PA 17050- Tax Payments and Credits: 1. Tax Due (Page 2, Line 19) 2. Credits/Payments A. Prior Payments (J • ~ ~ B. Discount ~ • ~ ~ 3. Interest (1> 1, 219.73 Total Credits (A + B) (2) 4. If Line 2 is greater than Line 1 + Line 3, enter the difference. This is the OVERPAYMENT. Fill in box on Page 2, Line 20 to request a refund. ~•~~ (3) ~ • ~ (] (4) ~ • ~~ 5. If Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. (5) ], , 219.7 3 Make check payable to: REGISTER OF WILLS, AGENT. PLEASE ANSWER THE FOLLOWING QUESTIONS BY PLACING AN "X" IN THE APPROPRIATE BLOCKS 1. Did decedent make a transfer and: Yes ^ No a. retain the use or income of the property transferred; i i f ^ erred or ncome; , ts b. retain the right to designate who shall use the property trans c. retain a reversionary interest; or . . ^ d. receive the promise for life of either payments, benefits or care? . 2. If death occurred after Dec. 12, 1982, did decedent transfer property within one year of death without receiving adequate consideration? . . " " ^ or payable-upon-death bank account or security at his or her death? in trust for 3. Did decedent own an 4. Did decedent own an individual retirement account, annuity, or other non-probate property, which ® ^ contains a beneficiary designation? IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. For dates of death on or after July 1, 1994, and before Jan. 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is 3 percent (72 P.S. §9116 (a) (1.1) (i)]. For dates of death on or after Jan. 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is 0 percent [72 P.S. §9116 (a) (1.1) (ii)]. The statute does not exempt a transfer to a surviving spouse from tax, and the statutory requirements for disclosure of assets and filing a tax return are still applicable even if the surviving spouse is the only beneficiary. For dates of death on or after July 1, 2000: • The tax rate imposed on the net value of transfers from a deceased child 21 years of age or younger at death to or for the use of a natural parent, an adoptive parent or a stepparent of the child is 0 percent [72 P.S. §9116(a)(1.2)]. • The tax rate imposed on the net value of transfers to or for the use of the decedent's lineal beneficiaries is 4.5 percent, except as noted in 72 P.S. §9116(1.2) [72 P.S. §9116(a)(1)]. • The tax rate imposed on the net value of transfers to or for the use of the decedent's siblings is 12 percent [72 P.S. §9116(a)(1.3)j. A sibling is defined, under Section 9102, as an individual who has at least one parent in common with the decedent, whether by blood or adoption. 9M4671 2.000 REV-1503 EX + (8-98) SCHEDULE B COMMONWEALTH OF PENNSYLVANIA STOCKS & BONDS INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF FILE NUMBER Simon A Lehman Jr 21 10 0115 All property jointly-owned with right of survivorship must be disclosed on Schedule F. VALUE AT DATE ITEM NUMBER DESCRIPTION OF DEATH 1.U.S. Savings Bonds 60.04 Series EE savings bond with $50.00 face value. Bond #L478112167EE. TOTAL (Also enter on line 2, Recapitulation) I $ 60.04 3wasss ~.ooo (If more space is needed, insert additional sheets of the same size) REV-1508 EX+ (6_g8) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN SCHEDULE E CASH, BANK DEPOSITS, ~ MISC. PERSONAL PROPERTY ESTATE OF FILE NUMBER Simon A Lehman Jr 21 10 0115 Include the proceeds of litigation and the date the proceeds were received by the estate. All property jointJyowned with the right of survivorship must be disclosed on Schedule F. ITEM VALUE AT DATE NUMBER DESCRIPTION OF DEATH 1 2008 Honda automobile sale value 2 (Bankers Life refund unused premium on long term care policy 3 Decedent's one-half interest in the Brethren In Christ Charitable Remainder Trust which created three separate interests: (a) The first interest is to the surviving spouse and is taxable at a 0~ rate. (b) The second interest is a remainder trust for three grandchildren and is taxable at a 4.5$ rate. The remainder interest value is $27,105.06. (c) The third interest is a remainder trust for the Brethren In Christ Foundation and is non-taxable due to the foundation being a charity. See attached trust agreements and calculations for remainder interest. 4 (Coventry Health Product Services refund due the decedent 5 Decedent's one-half interest in the Mennonite Foundation Charitable Remainder Unitrust created 12/28/2004. See attached unitrust agreement. 6 Mennonite Mutual Aid Association refund unused premium on health insurance policy 7 Orrstown Bank checking account #111001647. Funds held in the account are proceeds from sale of book written by the decedent. All profits from the book sales will be donated to two church institutions (see attached flyer) 17,300.00 684.37 27,105.06 16.70 273,947.25 263.87 1,062.38 3W46AD 1.000 Also enter on line 5, Reca (If more space is needed, insert additional sheets of the same size) 320,379.63 REV-1510 EX + (08-09) pennsylvania DEPARTMENT OF REVENUE INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE G INTER-VIVOS TRANSFERS AND MISC. NON-PROBATE PROPERTY Simon A Lehman, Jr 10 0115 This schedule must be completed and filed if the answer to any of questions 1 through 4 on page three of the REV-1500 is yes. ITEM NUMBE DESCRIP110N OF PROPERTY INCLIAETFENMIEOFTFETRMSFEREE,TFEIRREIATIONSF#PTODECEDEMAPD 'fl-EDAiEOF7RM5FFRATfPCHACOPYOFTFEDEEDFORREALESTATE. DATE OF DEATH VALUE OF ASSET %OFDECD'S INTEREST EXCLUSION IF APPLICABLE TAXABLE VALUE ~~ Equitrust Life Insurance Co. 72,456.51 100.0000 0.00 72,456.51 annuity #EQ0001027359F. Surviving spouse is beneficiary . TOTAL (Also enter on line 7, Recapitulation) $ 72,456.51 If more space is needed, use additional sheets of paper of the same size. 9W46AF 2.000 REV-1511 EX+(10-09) Pennsylvania DEPPR'rMENTOF REVENUE INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE H FUNERAL EXPENSES AND ADMINISTRATIVE COSTS ESTATE OF FILE NUMBER Simon A Lehman Jr 21 10 0115 Decedent's debts must be reported on Schedule I. ITEM NUMBER DESCRIPTION AMOUNT A. FUNERAL EXPENSES: ~ Funeral expenses for pastor, bishop and musicans 435.00 Total from continuation schedules B. 1 ADMINISTRATIVE COSTS: Personal Representative Commissions: Name(s) of Personal Representative(s) Street Address 2 3 4. 5. 6. 7. 1 City Year(s) Commission Paid: Attorney Fees: Family Exemption: (If decedent's address is not the same as claimant's, attach explanation.) Claimant Bettv G. Lehman Street Address 233 Skyline Drive City Mechanicsburg State PA ZIP 17050 Relationship of Claimant to Decedent SURVIVING SPOUSE Probate Fees: Accountant Fees: Tax Return Preparer Fees: McNees, Wallace & Nurcik, LLC attorney services Total from continuation schedules . 11,937.00 3,700.00 3,500.00 102.50 2,203.20 1,015.00 TOTAL (Also enter on Line 9, Recapitulation) I $ _ 22 , 8 92.7 0 State ZIP swasA~ z.ooo If more space is needed, use additional sheets of paper of the same size. Estate of: Simon A Lehman, Jr Schedule H Part 1 (Page 2) Item No. Description 2 Gingrich Memorials inscription on marker 3 Myers Funeral Home, Inc. funeral sevices 21 10 0115 Amount 140.00 11,797.00 Total (Carry forward to main schedule) 11,937.00 Estate of: Simon A Lehman, Jr 21 10 0115 Schedule H Part 7 (Page 2) 2 Register of Wills filing fee for Inheritance Tax Return 15.00 3 Reserve reserve for filing fees and other miscellaneous costs associated with the administration of the Decedent's estate. 1,000.00 Total (Carry forward to main schedule) 1,015.00 REV-1512 EX + (12-08) Pennsylvania SCHEDULE I DEPPRTN~NTOF REVENUE DEBTS OF DECEDENT, INHERITANCE TAX RETURN MORTGAGE LIABILITIES $ LIENS RESIDENT DECEDENT ESTATE OF FILE NUMBER Simon A Lehman, Jr 21 10 0115 Report debts incurred by the decedent prior to death that remained unpaid at the date of death, including unreimbursed medical expenses. BW46AH 2.000 If more space is needed, insert additional sheets of the same size. REV-1513 EX+(01-10) SCHEDULE J pennsyfvania DEPARTMENT OF REVENUE BEN EFt CIARI ES INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF: FILE NUMBER: Simon A Lehman Jr 21 10 0115 RELATIONSHIP TO DECEDENT AMOUNT OR SHARE NUMBER NAME AND ADDRESS OF PERSON(S) RECEIVING PROPERTY Do Not List Trustee(s) OF ESTATE I TAXABLE DISTRIBUTIONS [Indude outright spousal distributions and transfers under Sec. 9116 (a) (1.2}.] 1. Betty G. Lehman Surviving Spouse 63,032.81 233 Skyline Drive Mechanicsburg, PA 17050 All of Residue to Betty G. Lehman: 2 Curtis G. Lehman Grandson 9,035.02 One-third of Brethren In Christ Charitable Remainder Trust ENTER DOLLAR AMOUNTS FOR pISTRIBUTIONS SHOWN ABOVE ON LINES 15 THROUGH 18 OF REV-1500 COVER SHEET, AS APPROPRIATE. [[ NON-TAXABLE DISTRIBUTIONS A. SPOUSAL DISTRIBUTIONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX 1S NOT TAKEN: 1. B. CHARITABLE AND GOVERNMENTAL DISTRIBUTIONS: 1. See Attached 1 TOTAL OF PART II -ENTER TOTAL NON-TAXABLE DISTRIBUTIONS ON LVNE 13 OF REV-1500 COVER SHEET. ~ $ 275 , 009.63 If more space is needed, use additional sheets of paper of the same size. 9WA6AI 2.000 Estate of: Simon A Lehman, Jr Schedule J Part 1 (Page 2) Item No. Description 3 Tandi R. Lehman One-Third of Brethren In Christ Charitable Remainder Trust 4 Traci L. Lehman One-Third of Brethren In Christ Charitable Remainder Trust 21 10 0115 Relation Amount Granddaughter 9,035.02 Granddaughter 9,035.02 Estate of: Simon A Lehman, Jr Schedule J Part 2B (Page 1} 21 10 0115 Item No. Description Amount 1 Brethren in Christ Foundation 531.19 Orrstown Bank 2 Mennonite Foundation 273,947.25 Decedent's one-half interest in the Mennonite Foundation Charitable Remainder Unitrust 3 Mowersville Christian Academy 531.19 Orrstown Bank Charitable Remainder Unitrust Trust Type: Life Transfer Date: 1/2010 §7520 Rate: 3.00% fMV of Trust: $108,513 ~" Growth Rates Before Change: 3.00°l° After Change: 3.00% {ncome Rates Before Change: 5.00% After Change: 0.00% Percentage Payout: 6.000% Payment Period: Monthly Months Val. Precedes Payout: 1 Lives: 1 Ages: 84 CRUT Type: NfMCRUT Year to Changel'Flip': _ 10 Payout Sequence Factor: 0.984152 Adjusted Payout Rake: 5.905°!° Interpolation: 8%: Factor at 5 0.69830 . Factor at 6.0%: 0.69029 Difference: 0.00801 {5.905% - 5.8%} / 0.2% = X 10.00801; Therefore X = 0.00421 Life Remainder Factor =Factor at 5.8% Less X: 0.69409 Present Value of Remainder Interest = $108,512.50 x 0.69409: $75,317.44 Donor's Deduction: $75,317.44 Donor's Deduction as Percentage of Amount Transferred: 69.409°l° 10!7/2010 G',~i~(y Life Expectancy Based on Sec 1.401(a)(9) (2002) Age of Person 1 (to nearest birthday): 84 Mortality Table: Sec 1.401(a)(9) (2002) Individual Statistics Your Additional Life Expectancy (Yrs.) Should Be: Your Age at Life Expectancy Should Be: The Probability of Living to Life Expectancy is: The Median Age of Death for Your Current Age is: Probability You Will Live to Median Age of Death: Your Median Age of Death Minus Your Life Expectancy: $.1 92.1 45.890% 91.4 52.535% -0.7 10/7/2010 ~~c 2 ~ `f Present Value of a Lump Sum 10!7/2010 Expected Future Lump Sum: $75,317 Projected interest Rate: 3.000% Number of Time Periods: 8 Present Value: $59,456 ~~,~ 3 ~ ~ Charitable Remainder Unitrust 10/7!2010 Trust Type: Term Transfer Date: 1/2010 §7520 Rate: 3.00% FMV of Trust: $59,457 Growth Rate: 3.00% Income Rate: 5.00% Percentage Payout: 6.000% Payment Period: Monthly Months Vaf. Precedes Payout: 1 Term: 10 CRUT Type: Normal Payout Sequence Factor: 0.984152 Adjusted Payout Rate: 5.905% Interpolation: Factor at 5.8%: 0.550185 Factor at 6.0°l0: 0.538615 Difference: 0.011570 (5.905% - 5.8%) / 0.2% = X / 0.011570; Therefore X = 0.006074 Term Remainder Factor =Factor at 5.8% Less X: 0.544111 Present Value of Remainder Interest = $59,456.50 x 0.544111: $32,350.94 Donor`s Deduction: $32,350.94 Donor's Deduction as Percentage of Amount Transferred: 54.411 ~,°l, ~'sCfl. ~~ ~7+r~s..oG.- ~~~ ~ d;,t..xcx~cus ~~~~~ .. ~ ~ - ~.. ~; ~ ~ ~,,. ~~+.A ~ ~~ ~,. ~~F~. b, ;~ ~ f H_ARITABLE REMAINDER UNITRUST On this 19th day of March, 1999, we, SIMON A. LEHMAN, JR. and BETTY G. LEHMAN (Donors), of 607 Evergreen Road, New Cumberland, PA 17070-2820, desiring to establish a charitable remainder unitrust, within the meaning of section 6 of Rev. Proc. 90-31 and section 664(d}(2) and (3) of the Internal Revenue Code (hereinafter referred to as "the Code") hereby create the SIMON A. LEHMAN, JR. AND BETTY G. LEHMAN CHARITABLE REMAINDER UNITRUST and designate THE JACOB ENGLE FOUNDATION INC. as initial Trustee. 1. Funding of Trust. The donors transfer to the Trustee the property described in Schedule A., and the Trustee accepts such property and agrees to hold, manage, and distribute such property of the Trust under the terms set forth in this Trust instrument. ~. Payment of Unitrust Amount. In each taxable year of the Trust, the Trustee shall pay to SIMON A. LEHMAN, 7R. AND BETTY G. LEHMAN (hereinafter referred to as "the Recipients") in equal shares during their lifetimes, a unitrust amount equal to the lesser of: (a) the Trust income for the taxable year, as defined in section 643(b) of the Code and the regulations thereunder, or (b) six per cent (6.0%) of the net fair market value of the assets of the Trust valued as of the first day of each taxable year of the Trust (the "valuation date"). The unitrust amount for any year shall also include any amount of Trust income for such years that is in excess of the amount required to be distributed under (b) (above) to the extent that the aggregate of the amounts paid in prior years was less than the aggregate of the amounts computed as six per cent (6.0%) of the net fair market value of the Trust assets on the valuation dates. Upon the death of the first of the Recipients to die, the survivor Recipient shall be entitled to receive the entire unitrust amount. The unitrust amount shall be paid in monthly installments. Any income of the Trust for a taxable year in excess of the unitrust amount shall be added to the principal. If for any year the net fair market value of the Trust assets is incorrectly determined, then within a reasonable period after the value is finally determined for federal tax purposes, the Trustee shall pay to the Recipients (in the case of an undervaluation) or receive from the Recipients (in the case of an overvaluation) an amount equal to the difference between the unitrust amount properly payable and the unitrust amount actually paid. For aten-year period following the death of both Recipients, Simon A. Lehman, Jr. and Betty G. Lehman, payments in equal amounts shall be made to Tandi R. Lehman, granddaughter; Curtis G. Lehman, grandson; and Traci L. Lehman, granddaughter. If any of these three die before the end of the ten-year period following the death of the second Recipient, payment of that grandchild's share shall pass unto his or her issue per stirpes. If said grandchild leaves no issue, said share shall lapse and be added to the shares passing to the other grandchildren or their issues per stirpes. 3. Payment of Federal Estate Taxes and State Death Taxes. The lifetime unitrust interest of the survivor Recipient will continue in effect upon the death of the first Recipient to die only if the survivor Recipient furnishes the funds for payment of any federal estate taxes or state death taxes for which the Trustee may be liable upon the death of the first Recipient to die. 4. Proration of the Unitrust Amount. In determining the unitrust amount, the Trustee shall prorate the same on a daily basis for a short taxable year and for the taxable year ending with the survivor's death. 5. Distribution to Charity. No amount other than a Unitrust amount shall be paid to or for the use of any person other than an organization described in each of Section 170(b)(1)(A), Section 170(c), Section 2055(a) and Section 2522(a) of the Internal Revenue Code (described hereinafter as "qualified exempt" organizations). Upon the death of the survivor Recipient, the Trustee shall distribute all of the then principal and income of the Trust (other than any amount due either of the Recipients or their estates under the provisions above) equally unto The Jacob Engle Foundation, Inc, to distribute such principal or income to such one or more organizations described in sections 170(c}, 2055(a), and 2522(a) as the Trustee shall select in its sole discretion. 6. Additional Contributions. The donors and other persons may at any time contribute additional property to the Trust, provided that such property is acceptable to the Trustee. If any additional contributions are made to the Trust after the initial contribution, the unitrust amount for the year in which the additional contribution is made shall be equal to the lesser of (a) the Trust income for the taxable year, as defined in section 643(b) of the Code and the regulations thereunder, or (b) six per cent (6.0%) of the sum of (1) the net fair market value of the Trust assets as of the valuation date (excluding the assets so added and any income from, or appreciation on, such assets) and (2) that proportion of the fair market value of the assets so added that was excluded under (1) that the number of days in the period that begins with the date of contribution and ends with the earlier of the Last day of the taxable year or the date of death of the survivor Recipient bears to the number of days in the period that begins on the first day of such taxable year and ends with the earlier of the last day in such taxable year or the date of death of the survivor Recipient. In the case where there is no valuation date after the time of contribution, the assets so added shall be valued as of the time of contribution. The unitrust amount for any such year shall also include any amount of Trust income for such year that is in excess of the amount required to be distributed under (b) above to the extent that the aggregate of the amounts paid in prior years was less than the aggregate of the amounts computed as six percent (6.0%) of the net fair market value of the Trust assets on the valuation dates. 7. Prohibited Transactions. The Trustee shall make distributions at such time and in such manner as not to subject the Trust to tax under section 4942 of the Code. Except for the payment of the unitrust amount to the Recipients, the Trustee shall not engage in any act of self-dealing, as defined in section 4941(d), and shall not make any taxable expenditures, as defined in section 4945(d}. The Trustee shall not make any investments that jeopardize the charitable purpose of the Trust, within the meaning of section 4944 and the regulations thereunder, or retain any excess business holdings, within the meaning of section 4943(c). 8. Taxable Year. The taxable year of the Trust shall be the calendar year. 9. Governing Law. The operation of the Trust shall be governed by the laws of the State of Pennsylvania. The Trustee, however, is prohibited from exercising any power of discretion granted under said laws that would be inconsistent with the qualification of the Trust under section 664(d)(2) and (3) of the Code and the corresponding regulations. 10. Limited Power of Amendment. The Trust is irrevocable. However, Donors do retain the right by written instrument or by Wi11 to add qualified charities to and/or remove charities from the Schedule set forth in Paragraph 5 above, and to change percentage allocations to the charities. In addition, the Trustee shall have the power, acting alone, to amend the Trust in any manner required for the sole purpose of ensuring that the Trust qualifies and continues to qualify as a charitable remainder unitrust within the meaning of section 664(d)(2) and (3) of the Code. 11. Investment Decisions. In addition to the powers conferred upon the Trustee by law, the Trustee is authorized to invest and reinvest the Unitrust in any kind of property, without diversification as to kind or amount and without regard to the limitations imposed by law on investments. Nothing in this Trust instrument shall be construed to restrict the Trustee from investing in trust assets in a manner that could result in the annual realization of a reasonable amount or income or gain from the sale or disposition of Trust assets. 12. Trustee. The Jacob Engle Foundation, Inc. of Grantham, Pennsylvania, shall serve as initial Trustee of the Unitrust herein established. If no Independent Trustee as defined under Sections 664, 674, and 672 of the Code is acting with respect to this trust and the trust holds any asset that does not have a readily ascertainable fair market value, or holds any insurance contract or annuity contract, then an Independent Special Trustee as defined under the above Code sections shall be appointed by the Trustee in a written document referring to this paragraph. The Independent Special Trustee shall have sole responsibility for valuation of assets without readily ascertainable fair market value, and shall make all decisions regarding withdrawals, surrender, options, elections, allocations to income or principal, and dispositions with respect to any insurance or annuity contract. The Independent Special Trustee shall have no powers other than those specified in this paragraph. A Trustee shall be entitled to compensation for services hereunder according to the Trustee's schedule of fees in effect at the time such services are rendered. No bond or security shall be required of the Trustee in any jurisdiction. The Trustee shall not be required to file an inventory or annual report with any court with proper jurisdiction. If at any time a Trustee is a corporation, the position of trustee may be assumed by a successor corporation with trust powers. A successor trustee shall not be required to examine the administration or actions of any prior trustee and shall not be liable far such administration or actions. Donors retain the right by written instrument submitted to the Trustee to remove any Trustee and designate any successor Trustee, except that a Donor shall not at any time be appointed or act as a successor Trustee. IN WITNESS WHEREOF, this Trust Agreement has been signed by the Donors and Trustee the day and year first above written. ATTEST: Simon A. Lehman, Jr. Betty Lelunan THE JACOB ENGLE FOUNDATION, INC. B -w~ SEAL ° a.. b ,~, ~ ~,~ ~*t ~ ...,i ~ 7 ~~'~`~ L..r~ ~°~."'' ~y INSTALLMENT PURCHA4F A REEMENT THIS AGREEMENT made this 19th day of March, 1999, between Simon A. Lehman, Jr. and Betty G. Lehman of 607 Evergreen Road, New Cumberland, PA 17070-2820 (hereinafter referred to as "GRANTOR"), and Jacob Engle Foundation, Inc., aNot-for-Profit Corporation, ____having-its~prirrcipal_piace--of-business- n-Cuinberland ~Cou~nt~; ~'ertnsy-l-v~rix-(her-eiAafter--r-efeFr~ed --- to_as "GRANTEE"). _ _ WITNESSETH, that in consideration of the mutual covenants contained herein, and intending~to Iie~ legally bound hereby the patie5~ agree as follows: :~;':~~ . ~~ ~-~~ -"-~"- - -R---- °~~-° " 1. " DESCRIPTION: GRANTOR a reel to sell to GRANTEE and GRANTEE a gees to purchase the following described real property (hereinafter referred to as "the Premises"). ALL THAT CERTAIN tract or parcel of land, .BEING Lot No . 1 _on the" Limited Final . , __ Subdivision Plan for Simon A. Lehman, Jr., which said Plan is recorded in the Cumberland County Recorder's Office in Plan Book No. 57, Page 125. BEING a part of the same premises which Paul C. Gibble and Helen E. Gibble, his wife, by their Deed dated January 11, 1973 and recorded in the Cumberland County Recorder's_ Office in Deed Book "Z", Volume 34, Page 30, granted and conveyed unto Simon A. Lehman, Jr. and Betty G. Lehman, his wife, the grantors herein. 2. TERMS. GRANTORS do hereby agree to convey to GRANTEE for the consideration of a Charitable Remainder Uni-trust for the lifetimes of Simon A. Lehman, Jr. and Betty G. Lehman, said Uni-trust to be executed contemporaneously with the execution of this agreement. GRANTEE shall be the Trustee of said Trust. The terms of said Uni-trust are set forth in the Uni-trust Agreement which is attached hereto and made a part hereof and marked Exhibit "B" . The purchase price value for the premises is one hundred sixty thousand dollars ($160,000.00). The remaining sixty thousand dollars shall be paid to the GRANTOR by the GRANTEE. 3. POSSESSION: GRANTOR shall deliver possession of the Premises to GRANTEE at a settlement on or before March 25, 1999. Record title shall remain in GRANTOR until such time as GRANTEE shall find a purchaser as outlined in Paragraph Four. 4. DISPOSITION: GRANTOR and GRANTEE acknowledge that GRANTEE shall have the right to actively seek a purchaser for the premises. When GRANTEE has secured a purchaser for the premises, GRANTOR shall execute a deed conveying the premises to said purchaser, and GRANTOR shall be responsible to pay one-half of the transfer tax, said amount to be deducted from the net proceeds used to fund the aforementioned Uni-trust. 5. PAYMENT OF TAKES; CHARGES FOR MUNICIPAL SERVICES; AND ~F Y~~ a) All real property taxes levied` on the premises shall be apportioned-pro-rata on a fiscal year basis at the time of settlement. b) All charges for municipal services and current rents received or due upon the premises shall be apportioned pro-rata at the time of settlement. __ __ , , _ __ _ , _ .. _.. __ c} _ ___ All, real property, taxes: levied after the date_of_settlement shall_be paid. by _ _ the GRANTEE as follows:. .- .. _ (~ Said taxes -shall be paid by GRANTEE directly to tax collectors prior to ~ -~ ~~--- the time said taxes become delinquent. GRANTEE shall provide to GRANTOR at least annually, photocopies of paid receipts or canceled checks indicating payment of said taxes. _ - - - - __ _ _ __ _ d) All charges for municipal services accruing after the date of possession settlement shall be paid by GRANTEE directly to the suppliers of municipal -services prior to the __ _ __ -- time said charges become delinquent. GRANTEE shall provide to GRANTOR at least aruiually, photocopies of paid receipts and/or canceled checks indicating payment of these billings. 6. ASSESSMENTS AND NOTICES: GRANTOR represents that as of the date of this agreement no assessments for public improvements have been made against the premises which remain unpaid and that no notice by any governmental or other public authority has been served upon GRANTOR or anyone on GRANTOR's behalf, including notices relating to violation of housing, buildings, safety or fire ordinances which remain uncorrected, unless otherwise specified herein. GRANTEE will be responsible for any notices served upon GRANTOR after the date of the Agreement; GRANTOR will be responsible for any such improvements, assessments or notices received prior to the date of this Agreement. 7. STRUCTURAL CHANGES AND IMPROVEMENTS: GRANTEE shall make no structural alterations to or upon the Premises without first obtaining GRANTOR's written consent. 8. LEASING AND ASSIGNMENT: GRANTEE shall have the right to assign, lease or transfer this agreement or any rights hereunder. 9 . HEIRS~.SUCCESSOR A_ND ASSIGNS: This agreement shall be binding upon the parties hereto, their heirs; executors, administrators, and assigns: ~ ~ - ~ ~ -~ IN WITNESS WHEREOF, the parties have hereunto set their hands and seals the day and year first above written. .._ _..._...._ __ __.__._ _._.. ____~____._.___.___-_,_-_._--- -_..... _._,~n_ .-----__.-__ GRANTEE: Please Print Name and Title Fee ~~ ~~.~~~~~~~ ~C1.tP ~ Q 19TH da of . Y March in the year of our Lord one thousand nine hundred and ninety nine (19 9 9 ) ~Q~fuQQrt SIMON A. LEHMAN, JR. AND BETTY G. LEHMAN, HIS WIFE, RECORD OWNERS THE JACOB ENGLE FOUNDATION, INC., A PENNSYLVANIA NOT-FOR-PROFIT CORPORATION, EQUITABLE OWNERS (hereinafter called the Grantor(s), of the one part, and JOHN J. AMSLEY, SR. AND CATHERINE B. AMSLEY, HUSBAND AND WIFE, (hereinafter called the Grantee(s), of the other part; Y~XC$$'$Q~~ That the said Grantor(s) for and in consideration of the sum of One hundred sixty thousand and 00/100 {$160,000.00) Dollars lawful money of the United States of America, unto them well and truly paid by the said Grantee(s), at and before the seating and delivery of these presents, the receipt whereof is hereby acknowledged, have granted, bargained, svld, aliened, enfeoffed, released and cotafrmed, and by these presents do grant, bargain, sell, alien, enfeoff, release and confirrre unty the .raid Grantee(s) their Heirs and Assigns, as tenants by the entireties. ALL THAT CERTAIN tract and parcel of land situate in the Township of Silver spring, County of Cumberland and State of Pennsylvania, mare particularly bounded and described as follows, to wit: BEGINNING at a point in the Northern line of Skyline Drive {T-581), which said point is in the division line between Lots Nos. 1 and 2 on the hereinafter mentioned Plan of Lots; thence along the Northern line of Skyline Drive (T-581), South 67 degrees 35 minutes 30 seconds West, 510.00 feet to a point in the Eastern dedicated right-of-way line of Rich Valley Road (L.R. 21019}; thence along the Eastern dedicated right-of-way line of Rich Valley Road (L.R. 21019), North 20 degrees 49 minutes 30 seconds West, 376.99 feet to a point at corner of lands now or formerly of Jerry Simpson; thence along the line of said lands now or formerly of Jerry Simpson, North 68 degrees 15 minutes 00 seconds East, 499.58 feet to a point in the division line between Lots Nos. 1 and 2 on the hereinafter mentioned Plan of Lots; thence along the division line between Lots Nos. 1 and 2 on said Plan, South 22 degrees 24 minutes 30 seconds East, 379.07 feet to a point in the Northern line of Skyline Drive {T-581), first above mentioned, at the point and place of BEGINNING. BEING Lot No. 1 on the Limited Final Subdivision Plan for Simon A. Lehman, Jr., which said Plan is recorded in the Cumberland County Recorder's Office in Plan Book No. 57, Page 125. :BEING PART OF THE SAME PREMISES which Helen E. Gibble, widow, by her ,. •,•'~ deed dated March 13, 1979 and recorded March 13, 1979 in t he ' ~,~ Cumberland County Office of the Recorder of Deeds in Deed Book I, '~~ .'`~~ ~ Volume 28, Page 92 granted and conveyed to Simon A. Lehman, Jr. and Betty G. Lehman, his wife. ~~ ~II~E~~~~ with all and singular the buildings and improvements, ways, streets, alleys, driveways, passages, waters, water-courses, rights, liberties, privileges, hereditaments and appurtenances, whatsoever unto the hereby granted premises belonging, or in any wise appertaining, and the reversions and remainders, rents, issues and profits thereof; and all the estate, right, title, interest, property, claim and demand whatsoever, of the said Grantor(s), as well at law as in equity, or otherwise howsoever, of, in, and to the same and every part thereof. ~II ~~~E ~nli ~II ~IIlLt the said lot or piece of ground described hereditaments and premises hereby granted, or mentioned and intended so to be, with the appurtenances, unto the said Grantee(s), their Heirs and Assigns, to and for the only proper use and behoof of the said Grantee(s), their Heirs and Assigns forever, as tenants by the entireties . .Z~.~t~ the said Grantor(s), for themselves and their Heirs, Executors, and Administrators do by these presents, covenant, grant, promise and agree, to and with the said Grantee(s), their Heirs and Assigns, that the said Grantor(s) and their Heirs, all and singular the hereditaments and premises herein described and granted, or mentioned and intended so to be, with the appurtenances, unto the said Grantee(s), their Heirs and Assigns, against the said Grantor(s) and their Heirr, and against all and every other Person and Persons whomsoever lawfutly claiming or tv claim the same or any part thereof, by, from or under him, leer, it, or any of them, shall and will BY THESE PRESENTS SPECIALLY WARRANT and,forever DEFEND. ~ri auat~T[E8S ~jErEit'~, the said parties of the ,first part to tJzese presents have hereunto set their hand(s) and seal(s). Dated the day and year first above written. d''~$nC~, ~E2T~E~I tTYt~t ~E~i~t'.I'C~ IN THE PRESENCE OP US: THE JACOB ENGLE FOUNDATI p c ~ ~~~ ~~ ~' ' C'vLc,.~~~ lG. ,.C- (Attest r LEHMAN, H ~etx1 SILVER SPRING Township CUMBERLAND County ~ The address of the above-named Crantee ~s I vd' ~ e_ ,~z i Zr,~~~u _~. ~C~ ir7C7/ On behalf of .t a Grantee. A. U.S. DEPARTMENT OF HOUSING and URBAN DEVELOPMENT SETTLEMENT STATEMENT OMB No. 2502-0265 TITL P CORNERSTONE E RO Laserprinl LAND TRANSFER, INC. B. TYPE OF LOAN 5 West Main Street Shiremanstown, PA 17011 1. [ f FHA 2. [ ] FMHA 3. [ ] CONV. UNINS. 4. ( j VA 5. [ ] CONV. INS. Phone: (717) 730-9664 Fax: (717) 730-9665 6. FILE NUMBER: 990212 7. LOAN NUMBER: 8. MORT. INS. CASE NO.: C. NOTE: This form is furnished to give you a statement of actual settlement costs. Amounts paid to and by the settlement agent are shown. Items marked '(p.o.c.)' were paid outside the closing; [hey are shown here for informational purposes and are not included in the totals. D. NAME AND ADDRESS OF BORROWER: JOHN J. AMSLEY, SR. CATHERINE B. AMSLEY E. NAME AND ADDRESS OF SELLER: SIMON A. LEHMAN, JR. BETTY G. LEHMAN AND THE JACOB ENGLE FOUNDATION F. NAME AND ADDRESS OF LENDER: ~~G//. PROPERTY LOCATION: "7• ~ d >~:-5- ACRES - SKYLINE DRIVE H. SETTLEMENT AGENT: CORNERSTONE LAND TRANSFER I. SETTLEMENT DATE: 03/19/99 SILVER SPRING TOWNSHIP CUMBERLAND County PLACE OF SETTLEMENT: 5 W. MAIN STREET, SHIREMANSTOWN PA 17011 J. SUMMARY OF BORROWER'S TRANSACTION: K. SUMMARY OF SELLER'S TRANSACTION: too. GROSS AMOUNT DUE FROM BORROWER 400. GROSS AMOUNT DUE TO SELLER 101. Contract sales price 16 0 0 0 0. 0 0 aol.Contract sales price 16 0 0 0 0. 0 0 102. Personal property aoz.Personal property 103. Settlement charges to borrower (line 1400) 2 7 5 4 . 2 5 ao3. 104. 404. 105. 405. Adjustments for items paid by seller in advance Adjustments for items paid by seller in advance to6. City/Town tax to 4os.CityjTown tax to t o7. County tax 0 3 19 9 9to l 2 31 9 9 5 8. 0 9 a07. county tax 0 3 19 9 9to 12 31 9 9 5 8. 0 9 10&. Assessments to aos.Assessments to 109. SCHOOL 0 3 19 9 9to 0 6 3 0 9 9 6 9 0 2 409. SCHOOL 0 3 19 9 9to 0 6 3 0 9 9 6 9 0 2 110 to 410. to 111. 411. 112. 412. 1zo. GROSS AMOUNT DUE FROM BORROWER 162 8 81.3 6 42o.GROSS AMOUNT DUE TO SELLER 16012 7.11 eon. AMOUNTS PAID BY OR IN BEHALF OF BORROWER Sao. REDUCTIONS IN AMOUNT DUE TO SELLER zo1. Deposit or earnest money So1.Excess deposit (see instructions) zoz. Principal amount of new loan(s) Soz.Settlement charges to seller (line 1400) 16 97.91 203. Existing loan(s) taken subject to 5o3.Existing loan(s) taken subject to zoo. Soa.Payoff of First Mortgage Loan SIMON AND BETTY LEHMAN 60000.00 zo5. soS.Payoff of Second Mortgage Loan 206. 506. 207. 507. 208. 508. 209. 509. Adjustments for items unpaid by sel ler Adjustments for items unpaid by seller 2to. City/Town tax to 51o.CityRown tax to 211. County tax to 511. County tax to z12. Assessments to 51z.Assessments to 213. SCHOOL [O 513. SCHOOL 10 214. 514. 21 S. 515. 216. 516. 217. _ 517. 218. 518. 219. 519. 220. TOTAL PAID BY/FOR BORROWER 52o.TOTAL REDUCTION AMOUNT DUE SELLER 616 97 .91 I, 300. CASH A7 SETTLEMENT FROM OR TO BORROWER soo.CASH AT SETTLEMENT TO OR FROM SELLER 301. Gross amount due from borrower (line 120) 162 8 81.3 6 sol.Gross amount due to seller (line 420) 16 012 7.11 3oz. Less amount paid by/for borrower (line 220) so2.Less reduction amount due seller (line 520) 616 9 7.91 303. CASH (~[ FROMj ([ ] TOj BORROWER 162881.36 so3.CASH ([X] TOj ([ ]FROM) SELLER 8429 .20 Buyer or Borrower's Signature J ~ca2t/ Seller's Signatu HUD-i Rev. 5/86 ~, , ~" 4 ~~~ ~~~ INSTALLMENT SALE AGREEMENT FOR REAL ESTATE ND THIS INSTALLMENT SALE AGREEMENT made this as day of ~QLex~n~~c-, 2000, by and among SIMON A. LEHMAN, JR. and BETTY G. LEHMAN (hereinafter called "Seller" or "Sellers") and BRETHREN IN CHRIST FOUNDATION, an Indiana not-for-profit corporation (hereinafter called "Buyer" or "Purchaser"). WITNESSETH: WHEREAS, Seller is the owner of real estate which is more particularly bounded and described in Exhibit "A" attached hereto, and WHEREAS, Seller agrees to sell and Buyer agrees to purchase said real estate under and subject to the terms and conditions set forth below; and WHEREAS, this Agreement is actually intended to facilitate the gift of the Premises described in Exhibit "A" by Sellers to Buyer as described hereinbelow, and WHEREAS, the parties desire to confirm their understanding in writing. NOW, THEREFORE, the parties hereto, intending to be legally bound hereby, agree as follows: 1. RECITALS. The recitals set forth above are incorporated hereuz by reference. 2. PROPERTY. Seller agrees to sell to Buyer and Buyer agrees to purchase from Seller the premises particularly described in Exhibit "A," which said Exhibit is attached hereto and made a part hereof together with all trees, shrubbery, plantings now in or an premises, and easements and rights appurtenant thereto. The premises and the foregoing personal property and fixtures hereinafter collectively called the "Property." 3. PURCHASE PRICE. The purchase price for the Property is payable as follows: A. The purchase price for the Property is a $206,750.00 addition to a Charitable Remainder Unitrust f or Simon A. Lehman, Jr. and Betty G. Lehman dated March 19,1999 between Seller, as Settlor, and Buyer, as Trustee. B. The balance of $100.00 together with interest at 8% percent simple interest payable on or before December 31, 2002. Said payment date shall be the closing date, as defined hereinafter. Buyer may prepay without penalty. 4. PAYMENT OF TAXES AND INSURANCE. Buyex shall be responsible to pay all taxes, to include, but not limited to, township, county and school district real estate taxes, together with insurance, to include flood insurance, if applicable, on account of the premises described in Exhibit "A." 5. FINAL SETTLEMENT. It is agreed by and among the parties hereto that this Agreement and settlement thereon shall lie signed and held on or before eLd 1 3 d~ 0 and that final settlement shall be held on or before the day of December 31, 2002 (TIME SHALL BE OF THE ESSENCE), or earlier if Buyer exercises its right of prepayment. Said settlement shall be held at the offices of Brethren in Christ Foundation, Grantham, Pennsylvania, or at such other place mutually agreed upon by the parties hereto and at a time contained in the written notice by the Buyer to Seller or the written notice by Seller to Buyer. Seller agrees at the time of final settlement that Seller will furnish to Buyer upon payment of the principal balance and interest then due and owing, a special warranty deed conveying good and marketable title to the property to Buyer, free of all liens and encumbrances, except existing restrictions of record, and such title as will be insurable, at regular rates by a responsible title insurance company. Further, Buyer shall pay all of the then-applicable realty transfer taxes, and Seller shall pay no realty transfer taxes. 6. EXISTING OR FUTURE ENCUMBRANCES. The property described in Exhibit "A" is not subject to any existing lien or encumbrance, except existing easements and restrictions, if any. Seller agrees that Seller will not, without the prior written consent of Buyer, further encumber or allow to be encumbered the subject real estate. 7. RISK OF LOSS. Destruction of, or damage to any building or other improvement now or hereafter erected or to be placed on the subject property, whether said damage or destruction is caused by fire or other casualty, 2 shall not release Buyer from any of its obligations under this Agreement, it being expressly understood by and between the parties that Buyer shall bear all risk of loss to or damage to the subject property on or after the date of this Agreement. 8. INDEMNITY AND INSURANCE. Buyer agrees to indemnify and save harmless the Seller from any and all claims for'damages arising out of injury to person or property on the subject property. Buyer agrees to maintain liability coverage insurance on the subject property from the date of this Agreement until final settlement in an amount of at least $50,OOO.QO. Said insurance shall be with a company or companies satisfactory to Seller and such policy or policies of insurance shall contain provisions that any proceeds shall be payable to the Buyex and Seller as their interests may appear, and such coverage or coverages shall not be canceled or altered without giving thirty (30) days prior written notice to Seller and getting Seller's written approval thereto. It shall be the responsibility of Buyer to pay the premium for such insurance. 9. CONDITION OF PROPERTY AND MAINTENANCE. Buyer agrees that it has personally inspected or caused to be inspected the subject property and that Buyer is buying said property as is. Buyer shall be responsible for the payment of any municipal assessment against the subject property, except those, if any, resulting from work done or ordered to be done by the municipality prior to the date hereof, and any such assessments which Buyer is required to pay shall not be deemed an encumbrance on the title agreed to be conveyed hereby. Buyer shall indemnify and hold the Seller and the property of the Seller, including the Seller's interest in the property, free and harmless from liability from any and all mechanic's liens or other expenses or damages resulting from any renovation, alteration, buildings, repairs or other work placed on the property by Buyer. 10. ASSESSMENTS AND UTILITIES. Buyer shall pay timely all charges .and assessments (including benefit assessments) assessed and levied upon the subject property after the date hereof. Further, Buyer shall pay all utilities, including, but not limited to, heat, water, light, fuel and othex expenses in connection with the operation and maintenance of the property. 3 11. ASSIGNMENT. Buyer shall have the right to assign this Agreement or alI or any part of their right, title and interest herein without the prior written consent of Seller. Seller shall have the right to assign this Agreement or all of or any part of her right, title and interest herein. 12. DEFAULT. Payment of all monies becoming due hereunder by Buyer and in the performance of all covenants and conditions of this Agreement to be kept and performed timely by Buyer are conditions precedent to the performance by Seller of covenants and conditions of the Agreement to be kept and performed by Seller. In the event that Buyer should'fail for a period of thirty (30) days after written notice by Seller to make any of the payments required by this Agreement, or should Buyer fail to comply with any of the covenants or conditions of this Agreement on its part to be performed, Seller may at her option, declare the unpaid balance the purchase price and any accrued and unpaid interest immediately due and payable. Seller may not elect to retake possession but may only look to payment of the remaining balance due hereunder from the Buyer or its assignee. 13. SELLER'S WARRANTY AND MUNICIPAL CLAIM. Seller warrants that no notice of any governmental authority has been issued or served upon the subject property or any occupant thereof or upon the Seller or agents of Seller. prior to the signing of this Agreement calling attention to any violation of any building, fire, safety or other ordinance or requirement or calling attention to the need of any curbing, recurbing, paving, repaving or other construction or improvement on or about the subject property or removal of any nuisance. No municipal or other governmental improvements affecting the subject property are, as of the date of this Agreement, in the course of construction or installation and to the best of the knowledge of Seller, no such improvements have been ordered to be made. Buyer shall be responsible for the payment of any municipal assessment against the property except those, if any, resulting from work done or ordered to be done by any municipality prior to the date of this Agreement. Any such assessment which Buyer is required to pay shall not be deemed an encumbrance on the title agreed to be conveyed by the terms of this Agreement. _. _ ... . __ __ , T....,~..A.-~ __. 14. CONDEMNATION. To Seller's knowledge there are no pending or threatened or contemplated condemnation or similar proceedings or assessments affecting any part of the Property. 15. DEED IN ESCROW. Upon the execution of this Agreement, Seller shall execute a special warranty deed conveying all of their right, title and interest in the Property to Buyer. Said deed shall be delivered by Seller to Buyer's attorney. Buyer's attorney shall hold said deed in escrow until such time as the purchase price, together with any unpaid interest, is paid in full. At that time, Buyer's attorney shall, deliver said deed to Buyer for recording. Said deed shall be recorded at Buyer's expense. 16. NOTICE. Except for any notice required under applicable law to be given in another manner, any notice to Buyer provided for in this Agreement shall be given by mailing such notice by Certified Mail, Return Receipt Requested, addressed to Buyer at P.O. box 290, Grantham, Pennsylvania 17027, or at such other place as Buyer may designate by notice to Seller as provided herein. Except for any notice required under applicable Iaw to be given in another manner, any notice to Seller shall be given by Certified Mail, Return Receipt Requested, to Seller's address, 233 Skyline Drive, Mechanicsburg, Pennsylvania 17050, or to such other address as Seller may designate by notice to Buyer as provided herein. Any notice provided for in this Agreement shall be deemed to have been given to Buyer or Seller when given in the manner designated herein. 17. POSSESSTON. Buyer shall be entitled to possession of said Property immediately upon the signing of this Agreement. 18. ENTIRE AGREEMENT. This is the entire Agreement by and between the parties hereto, and this Agreement shall be binding on and shall inure to the benefit of the successors, heirs, personal representatives and assigns of the parties hereto. Nothing in this paragraph shall be construed as a consent by Seller to any assignment of this Agreement. 19. RECORDING. It is understood by and between the parties hereto that this Agreement may be recorded in the Office of the 'Recorder of Deeds of Cumberland County at the expense of Buyer. IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, hereunto set their hands and seals the day and year first above written. SELLER: .~ Simon A. Lehman, Jr. r Betty G. L hman BUYER: BRETHREN IN CHRIST FOUNDATION, INC. By: is A. Stout, Chief Executive Officer COMMONWEALTH OF PENNSYLVANIA \ SS. COUNTY OF CU.~~2~~o..~nC1 N~ l On this, the ~_ day of ~ 2C,e.,w~ b Q„ C` , 2000, before me, a Notary Public, personally appeared JULIA A. STOUT, who acknowledged herself to be the Chief Executive Officer of Brethren in Christ Foundation, Inc., and that she as such officer, being authorized to do so, executed the foregoing Installment Sale Agreement for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. ~a1:~,1~ ~~ ~. Notary Pu is .~.....~...~- (SEAL) Not~ria! Seal tCimberiy R. Jaanbs, Notary Pub9ic My Commission Expires: ~y ~,~~~s T~ E,~ r~~ ~ ~ , ~E'2~~~ Memtaer, Pannsytvania Association of Natarias ~~a~- Oa COMMONWEALTH OF PENNSYLVANIA 1 \ SS. COUNTY OF Cwm lpQ~ c' l Gc v~ C1 N~ On this, the ~. day of ~ e~2~~ , t` , 2000, before me, a Notary Public, personally appeared SIMON A. LEHMAN, JR. and BETTY G. LEHMAN and known to me (or satisfactorily proven) to be the persons whose names are subscribed to the within Installment Sale Agreement, and acknowledged that they executed the same for the purposes therein contained. IN WITNESS WHEREOF, I hereunto set my hand and official seal. R. -~~, Notary P lic ~~.. (SEAL) Notar[a.! sr~ai Kimberly R. Jacobs, Notary F'ub4ic Upper A11enTwp., Cumberland County ~yT Commission Expires: lwy Commission Expires Sept. 26, 2002 ~~ Memt~er, PennsyNanla Association at Notaries 7 EXHIBIT "A" ALL THAT CERTAIN tract or parcel of land situate in the Township of Silver Spring, County of Cumberland and State of Pennsylvania, more particularly bounded and described as follows, to wit: BEGINNING at a point in the western dedicated right-of-way line of Rich Valley Road (S.R.1009), which said point is on the division line between Lots Nos. l and 2 on the hereinafter mentioned Plan of Lots; thence extending along the division line between Lots Nos.1 and 2 on said Plan, South 64 degrees 42 minutes 36 seconds West a distance of 1268.81 feet to an iron pin in the line of land of the Cumberland Valley School District; thence extending along the line of said land of the Cumberland Valley School District and the line of lands now or late of Max C. Hempt, Ntirth 24 degrees 27 minutes 14 seconds West, a distance of 847.57 feet to an iron pin; thence along the line of lands now or late of R.F. Fager Company, Gary A. Anderson, et al., North 80 degrees 43 minutes 16 seconds East, a distance of 1371.63 feet to an iron pin in the western dedicated right-of-way of Rich Valley Road (S.R.1009), aforesaid; thence extending along the western dedicated right-of-way line of the Rich Valley Road (S.R.1009), South 16 degrees 26 minutes 44 seconds East, a distance of 259.31 feet to an iron pin; thence continuing along the western dedicated right-of-way line of the Rich Valley Road (S.R. 1009) in a southerly direction by the arc of a circle curving to the left having a radius of 1530.00 feet, the arc distance of 111.76 feet to an iron pin on the division line between Lots Nos.1 and 2 on the hereinafter mentioned Plan of Lots, at the point and place of BEGINNING. BEING Lot No.1 on the Fina16 Lot Subdivision Plan for Simon A. Lehman, Jr., which said Plan is recorded in the Office of the Recorder of Deeds of Cumberland County, Pennsylvania, in Plan Book No. 64, Page 81. BEING a part of the same premises which Paul C. Gibble and Helen E. Gibble, his wife, by their deed dated January 11,1973 and recorded in the Cumberland County Recorder's Office in Deed Book "Z", Volume 30, Page 30, granted and conveyed unto Simon A. Lehman, Jr. and Betty G. Lehman, his wife, the Grantors herein. 8 09/14/2010 Page 1 _ ...... _ .SIMUhT A. AlYD BETTY.G.-LE~IlYI~N CHARITABLE REMAINDER TJNITRUST THIS AGREEMENT is wade this 28~~ day of ~cen~~e r2t?04, between SIlVIQN A. LEHMAN and BETTY C. LEYIMA:N residing at 233 Skyline Drive, Mechanicsburg, Pennsylvania {hereinafter called the 'Donors") and THE MENNQNITE FOUNDATION, INC., anot-far-profit corporation, located at 1110 North Main Street, Goshen, Indiana (hereinafter called "Trustee"). 1. The Donors hereby transfer and deliver to the Foundation, as Trustee, the property described in the annexed SCHEDULE A, upaz< the following terms. This property arid all receipts of every kind shall be managed and invested by the Trustee as a single fund {Hereinafter called the "Unitrust'") without distinction between principal and income. 2.(a) The Trustee shall pay annually in equal quarterly installments in each taxable year of the Trust to the Donors for their lifetimes, a Unitnzst amount equal to the lesser of {a) the trust income for such taxable year (as defined in Section 643(b) of the luternal Revenue Cade of 1986 and the regulations thereunder) and (b) Six percent (~ %) of the net fair market value of the trust assets valued as of the first day of such taxable years. If 50% ar more of the initial f=ast assets qualify as °Unmarketable Assets" under Section 664 and applicable regulations, defined as assets that are not cases, cash equivalents or assets that can be readily sold or exchanged for cash or cash equivalents {within the Tr+: MF C1ienC file - 1001953 - CORR$BPONAENCE 09/14/2010 Page 2 ,, meaning of Section 731(c)), then for all purposes ofthis Agreement unless otherwise specif ed herein, the .unitrust amount shat] be an amount equal to the lesser of (a) the trust - income for the respective taxable year (as defined in Section 643(b) of the lntemal Revenue Code of 19$6 and the regulations thereunder) and (b) S+K percent ((, °/a) multiplied by the net fair market value of the crust assets valued as of the first day of each taxable year. However, the obligation of the Trustee to pay such unitrust amount shelf terminate with the payment next preceding the death of the last surviving individual recipient. The unitrust amount shall be paid from trust income, Any net income of the uraitrust for auy taxable year in excess of the unitrust amount shall be added to corpus at the end of such year, The above payout method shall be used until the end of the earliest year in which occurs the sale of the unmarketable assets specified in SCHEDULE A to the extent that, •immediately following such sale, the xemaining uzunaxketable assets total 50% or less of the total fair market value of all trust assets. As of January 1 immediately _........_.following.such.sale,..ihere.shall then..be.a..change_of...payoutmethod_fram.the above... _.,..._...._._......._....._...__.... _ .... _. income exception method to a Section b64(d){2) payout method as described below. Qn that January Y or upon the trust creation if the value of unmarketable assets is less than 50% immediately after the initial contribu#ion, the unitrust amount shall thereafter for all purposes of tlus agreement, be aza amount equal #o u i K percent ( (a %) of the net fair market value of the tract assets valued as of the first day of each taxable year. Unitrust amounts shall be paid in equal quarterly installments from income and, to the extent that income is not sufficient, from principal, Any net income of the unitrust for any taxable year in excess of the unitrust amount shall be added to fihe corpus at the end 2 TF: MF Client file - 1001953 - CORRESPONDENCE D9/lA/ZO10 Page 3 of such year. ... . .........2.,{b)_ If the net, fair market value. of.the.Trust assets is incorrectly. determined by the . fiduciary for any taxable year, then within a reasonable period after the final determination of the correct value, the Trust shall pay to the recipient (in the case of an under-valuation} or be repaid by ttte recipient {in the case of an aver-valuation} an amount equaE to the difference between the unitrust amount properly payable and th.e unitrust `' amount actually paid. 2.{c) Iu determining the unitrust amount, the Trustee shall prorate the same, on a • daily basis, for a short taxable year and for the taxable year of the death of the last surviving individual recipient. 2.{d) No funount other than the amount a5 described above may be paid to or i`or the use of any person other than an organization described in Section 170(0) of the Internal Revenue Code of 1986. No federal estate_taxes, sta#e.death taxes_ar any_ o#11er.estate,.death_or . __... . inheritance taxes with respect to this trust shall be allocated to or be recoverable from the trusf. The Donors impose an obligation on their estates to pay any death taxes from sources other than this trust and agree to so provide in their wills or in another way. This provision maybe enforced by the successor beneficiary, the trustee or the charitable rernainderman, acting alone or together. The Donors have provided for the payluent of any death taxes from sources other than this trust. Nevertheless, if for any reason, the trust becomes liable for death 3 'i'I': MT' Client file - 1001953 - CORRESF'ONDENC~ pg/14/~O1D Page 9 tares on the Donors' deaths, the life interest of the successor beneficiary shall take effect only. ifthe successor beneficiary furnishes the funds.far payment of any death taxes far ... which the tract maybe liable. If the successor beneficiary fails to filrnish (hose funds, the successar beneficiary shall be deemed to have predeceased the Donors for all purposes of this agreement. 2.(e) Upon the death of the last surviving individual recipient, this agreement shall r terminate and the then principal of the urlitrust, together with any accrued income, shall be irrevocably transferred to The Mennonite Foundation, Iuc., Goshen, Indiana, an organization described in Section 170{c) of the Internal Revenue Code of 1986; provided, however, that if tl~e Foundation is not an organization described in each of Section 170{b}{1)(A), Section 170(c), Section 2055{a} and Section 2522(a) at the time when any principal or income is #a be distributed to it, the Trustee shall distribute such principal or income to one or more argani~ations then so described as the Trustee shall select in its .._sole.,discretian.and.iR.aucJ~.shares..as.it.shall_determine _.........._ 3. Except where otherwise provided herein, in determining which amounts are income and principal during the life afthis unitrust, all such determinations shall be made based upon governing Indiana state law in effect at the time this Trost is entered into, and all later Indiana law amendatory thereof ar supplemental thereto except, however, where such. state law is superseded by or contrary to provisions of the Internal Revenue Code of t 986 or the Regulations thereunder, or correspauding provisions of any subsequent Federal Tax Law or Regulations, dealing with Charitable Rernaiuder Unitrusts, in which event the latter provisions shall control. 4 TF: Mp' Clienk file - 1001953 - CORRESPONDENCE 09/19/2010 Page 5 4. In addition to the powers conferred upon the Trustee by taw, the Trustee is authorized to continue the investment of the unitrust in the property described in S CHEDLJi,E A, or may sell the property and invest and reinvest the unitrust in any kind of property, without diversification as to kind or amount and without regard to the limitations imposed by law on investments and is specifically permitted (by way of example and not limitation) to invest in stacks of any class, bonds and debentures; shares or interests in one or mare common investment funds (or "jointly managed" funds) administered by the Trustee, and shares of regulated investment companies ("mutual funds"). No restrictions on investing Set forth in this document shall in any way restrict the Trustee from investing in trust assets in a manner wluch could result in the annual realisation of a reasonable amount of income ox gain from the sale or disposition of trust assets. Notwithstandingany provision herein to the contrary, except for the payment _... __ . _ _.......af_the..unitrust amountta..recipient,..the_Trustee..is..prnhibited..from.-engagmg.in any act of --- ___ ._ ___ _ . _ self-dealing as defiuod. in Section 4941(d) of the Internal Revenue Code of 1986, from retaining any excess business holdings as defined in Section 4943(c) of the Code which would subject the trust to tax under Section 4943 of the Code, from malting any investments which would subject the trust to tax under Section 4944 of the Code, and from making any taxable expenditures as defined in Section 4445(d) of the Code. The 5 TF: MI' Client file - 1001953 - CORRESPONDENCE 09/14/2010 Page 6 i . Trustee shall make distributions at such time and in such manner as not to subject the trust to tax under Section 4942 of the Code. The Trustee shall administer this Trust in all respects to insure this Trust's continued quaIi.f cation as a Charitable Remainder Unitrust, and shall make aII the calculations, payments, accountings, and all other actions whatsoever consistent with the Internal Revenue Code Statutes and Regulations governing such unitrusts to the end that such status ofthis Trust is.continued. S. Additional contributions may be made to this Charitable Remainder tlnitrust after the initial contribution. If any additional contributions are made to the trust afer the initial contribution in trust, the unitrust amount for the taxable year in which the assets are added to the trust sha11 be S j}C percent { (o °lo) of the sum of {a) the net fair market value of the trust assets {excluding the assets so added and any income from, or appreciation an, such assets) and (b) that proportion of the value of the assets so added _......... __ __...... tl~iat was e~ccluded..under..(a)..which,.the..number of.days in..tiie_period.whiah..begins._with the _ _ . . date of contribution and ends with the earlier of the last day of the taxable year or the death of the last surviving individual recipient bears to the number of days in the period which begins on the first day of such taxable year and ends with the earlier of the last day of such taxable year or the death of the last surviving individual recipient. In the case where there is no valuation date after the time of contribution, the assets so added shall be valued at the time of contribution. It is expressly provided, with respect to any property which may be payable or distributable to the trust hereunder from the estates of the Donors, that the obligation to 6' TF: MF C1.ient file - 1001953 - CORRESPONDENCE 09/19/2010 Page 7 1 pay the unitrust amount as to such property shall commence with the date of such Donors' deaths, Payment of-such unitrust amount-maybe deferred from the date of such Donors' deaths until the end of the taxable yeaz of the trust in which the complete funding of such gift to this trust occurs. Within a reasonable tin;ae after the occurrence of said event, the Trustee shall pay to the appropriate beneficiary or beneficiaries, in the case of an underpayment, ar must receive from said beneficiary or beneficiaries, in the case of an r overpayment, the dii~'erence between: (a) Any amounts actually paid, plus interest, compounded annually, computed far any period at the rate of interest that the federal income tax regulations under Section 664 of the Internal Revenue Code prescribe far the trust for such computation for such period; and (b) The amounts payable, determined under the method described in Section 1.664-1(a)(5}(ii) of the federal income tax regulations, plus interest, _ ......... .... _......................................._..._compounded-annually,..computed-for.any-periodat-the-rate of interest.that..the--.-..._...._.......... . . federal income tax regulations under Section 664 of the Code prescribe for the trust far such computation far such period, Notwithstanding anything to the contrary, in computing any underpayments or overpayments the percentage rate to be used is to be that specif ed in the Internal Revenue Code, Treasury regulations or other Treasury or IItS pronouncements which then govern the percentage rate to be used in makuag the corrective payments. 6. The Trustee shall be entitled to receive reasonable compensation from time to time, for its services as Trustee. 7 TF; MF Client file - 1601953 - CORRESPONDENCE 09/14/203D Page 8 7. The Trustee, in respect of this Trust, shall be excused from performing any of the duties imposed upon it and shall be_exempC from. all.liability for failure to perform any of the duties imposed upon it by the terms of the Indiana Trust Code as adapted by the 1971 Indiana General Assembly, and all acts amendatory thereof and supplemental there#o, unless from time to time duetted in writing so to comply by an adult beneficiary then entitled to receive or enjoy the benefits of net income thereunder, or who, in the discretion of the Trustee, would be entitled to receive the same. The Trustee, however, shall keep and maintain accura#e and full books and records of account and at least once in each calendar year shall render a full accounting to each beneficiary then entitled or who, in the discretion of the Trustee, might be entitled to receive and enjoy the benefits of net income under this Trust. $. This agreement is irrevocable, and the Donors retain no power over this Trust, expressed, implied, or otherwise, except as herein provided. The Donors specifically reserye_the_pawer to terminate.the. Trust partiahy,.or_~ompletaly, at, any,tim~,.by_directing,. __. __ ..__ the Trustee to make distribution of all or a portion of the trust corpus to the charitable beneficiary named in numbered paragraph 2.{e) above. If the Trustee, acting upon such direction of the Donors, makes a distribution in ]dad upon a partial termination, the adjusted basis far federal income talc purposes of the property distributed shall be fairly representative of the adjusted basis for such purposes of all trust property available for distribution on the date of distribution- It is the Donors' intention that this unitrust shall qualify as a Charitable Remainder Unitrust under the applicable provisions of the Internal Revenue Cade and regulations. However, in recognition of the fact that interpretation of 8 TF: MF C11ent f11e - 1001953 - CORRESPONDENCE 09/19/2010 Page 9 Statutes and R.egulatians concerning Charitable Remainder Unitrusts-may be subject to change, and far the sole purpose that this Trust may comply with the statutes and regulations as a Charitable Remainder Unitrust, the Trustee shall have the power to amend this Trust as deemed necessary by said Trustee upon advice of counsel or upon request by the Internal Revenue Service for the sole purpose of preserving the status as a Charitable Remainder Unitrust, providing, however, that no such amendment shall in any ' ~ way increase the interest of the Donor recipients herein nor decrease the interest of the Charitable Remainder beneficiary, nor be far the beneficial use of a person other than an organization described in Section 170(c} of the Internal Revenue Code of 1986. Notwithstanding any other provisions of this trust, the Trustee is prohibited from exercising ally power or discretion in such matvner as to cause this Unitnlst to fail to qualify as a Charitabte Remainder Unitrust as defined in Section 664 of the Internal Revenue Code. _..9.:........Tlle.individualxecipients may remove any Trustee upon thirty (30} days written notice to the Trustee. Such action must be taken with the unanimous consent of aA competent individual recipients. Any replacement Tnlstee may not include, and nZUSt be independent of, the donor and/or any individual recipient, and mustbe pernzissible under federal and state requirements governing charitable remainder trusts. I4. The references contained herein to the Internal. Revenue Cods, and regulations, are to the Internal Revenue Code of 1986, as amended, and as may from time to time hereafter amended, and to the Treasury Department Regulations, as amended, and as maybe from time to time hereafter published and amended. 9 TF: MF Client file - 1001953 - CORRESPONDENCE 09/14/2010 Page 10 r 11. This agreement is made pursuant to, and shelf be interpreted in accordance with, the laws of the State of Indiana. However, in any conflict with Section 664 of the Internal Revenue Coda of 1986, the regulations thereunder or any other existing or hereafter promulgated legislative or Treasury requirements for the qualifications of the trust and for the Donors obtaining the fiill benefit of any income, gift and estate tax charitable deductions to which they (and their es#a#es) maybe entitled, Section 654 of the Code, the regulations thereunder and the legislative and Treasury xequirement shall govern. IN WITAlESS WIdEREOF, the parties hereto have executed this agreement the day and year first above written. D01'~TORS: ~ ~ Simon A.. Lehman ~~ Betty G. ehman TRUSTEE: - THE MENNONITE FOUNDATION, INC. ~ \~n~+` ld TF: MF Client file - 1001953 - CORRESPONDENCE D9/iRJ2D10 Page 11 SCHEDULE A An undivided 80°l° interest in Lot 3B, Rich Valley Road and Skyline Aoad, Mecbanicsburg, Pennsylvania. 11 TF: MF Client file - 10D1953 - CORRESPONDENCE AVAILABLE JANUARY 2010 The story of life as a bi-vocational pastor. The Autobiography of Simon Arthur Lehman, Jr. Pastor Si shares many personal stories plus over 250 pictures of his family and church life from his past 84 years since birth. He has farmed and preached over 60 years. ~~ 4.95 plus $5.00 shipping & handling soft bound There will also be a limited number of hard bound copies available. Please direct all orders and make checks payable to: Simon A. Lehman, Jr., 233 Skyline Drive, Mechanicsburg, PA 17050, si.lehman@verizon.net All profits from the sale of his books will be equally shared between two church institutions: The Brethren in Christ Foundation for "Equipping Leaders For Tomorrow" and the "Mowersville Christian Academy." LAST WILL AND TESTAMENT I, SIMON A. LEHMAN, JR., of the Township of Silver Spring, County of Cumberland, uid Commonwealth of Pennsylvania, being of sound and disposing mind, memory and understanding, do make, publish and declare this as acid for my Last Will and Testament, hereby revoking and nicking void all former wills and codicils by me at anytime heretofore made. FIRST. I order and direct that all my just debts and funeral expenses be paid by my Executrix or Executor, as the case maybe, hereinafter named, as soon as conveniently may be 3one after m}~ decease. SECOND. I give, devise and bequeath all the rest, residue and remainder of my Estate, real, personal and mixed, whatsoever acid wheresoever situated, unto my wife, namely, BETTY G. LEHMAN, absolutely and in fee simple, if she survives me by as many as sixty (60) days. TH1RD. If my wife, namely, BETTY G. LEHMAN, does not survive me by as many as sixty (60) days, then and in that event, I order aild direct that my Estate be distributed and disposed of in the following manner: A. I give and devise my residential real estate known and numbered as 233 Skyline Drive in the Township of Silver Spring, Cuumberland County, Pennsylvania (containin.g approximately 1.4 acres of land), unto my son and daughter-in-law, namely, P. KENNETH LEHMAN and PHYLLIS JEAN LEHMAN, husband and wife, or the survivor of them if either should predecease me, in fee simple. B. I give, devise and bequeath all the rest, residue and remainder of zny Estate, real, personal and mixed, whatsoever and wheresoever situated, in equal shares unto my three (3) grandchildren, namely, TANDI RENAE LAFRANC, CURTIS GIBBLE LEHIv1AN and TRACI LYN SI-IELDON, share and share alike, absolutely and in fee simple. If any of my said grandchildren should predecease me and not leave issue to survive me, I order and direct that the foregoing share of my residuary estate attributable to such deceased person shall lapse and abate and my residuary estate shall be distributed unto those who survive ine. If any of my said grandchildren should predecease me and leave issue to survive me, I order and direct that the foregoing share of my residuary estate attributable to such deceased beneficiary shall be distributed unto his or her issue perstirpes by representation ~~ and not per capita, subject, however, to the protective trust provisions in paragraph C below with respect to any beneficiary who has not attained the age of twenty-four (24) years at the time for distribution of my estate. C. I order and direct that the share of any beneficiary who has not attained the age of twenty-fotur (24) years at the time for distribution of my estate shall be paid over and delivered unto the surviving parent of such beneficiary as my testamentary trustee, IN TRUST, NEVERTHELESS, to hold, manage, invest, accumulate income and reinvest until the beneficiary attains the age of twenty-four (24) years, upon which event the trust shall be terminated and the then remaining net balance thereof shall be paid over to the beneficiary, absolutely. During the existence of any such trust, I authorize and empower my said trustee in the sole exercise of his ox her discretion tc; use, consume, expend and apply from tinge to time such amounts of income and principal as he or she shall deem to be necessary and reasonable for the beneficiary's education. The term "education" shall be interpreted and construed to mean college or other post-highschool training which is intended to increase the beneficiary's productivity as an adult or e~illance the quality of his or her life. In considering what is necessary and reasonable, my said Trustee shall take into consideration the primary responsibility of the beneficiary's surviving parent to provide such education. It is my will and intention that the foregoing discretionary provision for education shall be supplementary to the parent's primary responsibility. LASTLY. I nominate, constitute and appoint my wife, namely, BETTY G: LEHMAN, to be the Executrix of this, my Last Will and Testament, but if for any reason she should fail to LAW OFFICES pSNELBAKER 8C _ 9RENNEMAN, P.C. -~ qualify as such Executrix, or cease so to serve, then and in that event, I nominate, constitute and appoint my son, namely, P. KENNETH LEHMAN, to be the Executor hereof. If both of the above named persons should fail to qualify as such personal representative or cease so to serve, :hen and in such ultimate event, I nominate, constitute and appoint my grandson, namely, CURTIS GIBBLE LEHIv1AN, to be the Executor of this my Last Will and Testament. 1 order and direct that none of the above named persons shall be required to post bond or other security as a condition of qualification as my personal representative. IN WITNESS WHEREOF, I, SIMON A. LEHMAN, JR., have hereunto set my hand and peal to this my Last Will and Testament, which consists of thxee (3j typewritten pages to each of which I have affixed my signature this First (lst) day of July, Two Thousand Eight (2Q08). ~~ (SEAL) SIMON A. LEH , J . The preceding instrument, consisting of this and two (2) other typewritten page, each identified by the signature of the Testator, was on the date thereof signed, sealed, published and declared by SIMON A. LEHMAN, JR., the Testator therein named, as and for his Last Will and Testament, in the presence of us, who, at his request, in his presence and in the presence of each other, have subscribed our names as witnesses hereto. ~~-- LAW OFFICES SNELBAKER EC HRENNEMAN, P.C, -3- CO1ViMONWEALTH OF PENNSYLVANIA) COt1NTY OF CUMBERLAND SS. We, SIMON A. LEHMAN, JR., RICHARD C. SNELBAKER and SANE J. GOONEY, the Testator and the witnesses, respectively, whose names are signed to the attached or foregoing instrument, being first duly swoni, do hereby declare to the undersigned authority that the Testator signed and executed the instrument as his Last Will and Testament and that he had signed willingly, acid that he executed it as his free and voluntary act for the purposes therein expressed, and that each of the witnesses, in the presence and hearing of the Testator, signed the Will as a witness and that to the best of his or her knowledge, the Testator was at that time eighteen years of age or older, of sound mind and under no constraint or undue influence. Testator i Hess fitness Subscribed, sworn to and acknowledged before me by SIMON A. LEHMAN, JR., the LAW OFFICES SNELBAKER 8c BRENNEMAN, P.C. `testator, and subscribed and sworn to before me by RICHARD C. SNELBAKER and JANE J. GOONEY, the witnesses, this First (Ist) day of July, 2008. J r otary Public CflM1~9ta~lWEAI.'fM QF PENi`1SYlVANIti Notarial Seri Susan L Matraal, Notary Pubpa Mecftanicsbur~ Barn, Cumbadand County My Commisslan Bxpfrss Nav. ~a, Zt111 Member, Pennsyivartia Assaelatian of Notaries