(a) Contents.— A benefit company must deliver to each member an annual benefit report, including:

1. (1) A narrative description of:

   1. (i) the ways in which the benefit company pursued general public benefit during the year and the extent to which general public benefit was created;
   2. (ii) the ways in which the benefit company pursued any specific public benefit that the certificate of organization states is the purpose of the benefit company to create and the extent to which that specific public benefit was created;
   3. (iii) any circumstances that have hindered the creation by the benefit company of general or specific public benefit; and
   4. (iv) the process and rationale for selecting or changing the third-party standard used to prepare the benefit report.
2. (2) An assessment of the overall social and environmental performance of the benefit company against a third-party standard applied consistently with any application of that standard in prior benefit reports or accompanied by an explanation of the reasons for any inconsistent application. The assessment does not need to be audited or certified by a third-party standards provider.
3. (3) A statement of any connection between the organization that established the third-party standard, or its directors, officers or any holder of 5% or more of the governance interests in the organization, and the benefit company or its members, managers or officers or any holder of 5% or more of the outstanding interests in the benefit company, including any financial or governance relationship which might materially affect the credibility of the use of the third-party standard.

(b) Timing of report.— A benefit company shall annually send a benefit report to each member either:

1. (1) within 120 days following the end of the fiscal year of the benefit company; or
2. (2) at the same time that the benefit company delivers any other annual report to its members.