Christie E. Cuddeback and Lucille M. Cuddeback Memorial Fund - Page 29




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                  The administrative record shows that Keswick discounts              
             the cost of its daycare program for certain needy                        
             individuals.  Keswick refers to these discounts as                       
             "grants", and it refers to this grant program as "charity                
             care".  For example, in 1999, Keswick offered discounts of               
             25, 40, 50, and 60 percent of the full charge of the                     
             program, $60 per day.  Thus, in 1999, the value of the                   
             "grant" or discount of Keswick's charge to each recipient                
             ranged from $15 to $36 per day.  During that year, 5                     
             participants received a 25-percent grant, 12 received a 40-              
             percent grant, 7 received a 50-percent grant, and 7                      
             received a 60-percent grant, for a total of 31 grant                     
             recipients.                                                              
                  On an annual basis, the value of the "grant" extended               
             to one recipient in each "grant" category would be $38,325,              
             and the value of the "grant" for all 31 recipients would be              
             $301,125, as shown below:                                                

             1999                                                                     
             Type of                                                                  
             "grant"   No. of       Daily "grant" per    Annual "grant"   Annual "grants"
             percent   recipients   recipient (at $60)   per recipient    for all recipients
             25          5             $15 $5,475            $27,375                  
             40         12              24 8,760            105,120                   
             50          7              30 10,950             76,650                  
             60          7              36       13,140             91,980            
             Total    31                   38,325            301,125                  









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