2020-07-13T10:19:08-05:00 2019-08-31 560574444 CHERRY BEKAERT LLP 221 W 6TH STREET STE 1900 AUSTIN TX 78701 990 2018-09-01 742481167 SOUTHWEST KEY PROGRAMS INC SOUT 5124622181 6002 JAIN LANE AUSTIN TX 78721 ERIC MARIN CFO 5124622181 2020-07-10 1 KELLY LOGAN P00677048 5124796000 2020-07-10 74.192.142.18 2020-07-10 10:05:51 CD P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 6E7E0E5E43DCF795FC2D0E7EA97D58B532BF5A60 2018 2020-11-19 02:30:22Z JOELLA BROOKS 6002 JAIN LANE AUSTIN TX 78721 469087649 0 X WWW.SWKEY.ORG X 1987 TX THE MISSION IS OPENING DOORS TO OPPORTUNITY, SO INDIVIDUALS CAN ACHIEVE THEIR DREAMS. 6 5 10818 116 0 108298 403847326 463292907 0 0 1503279 1676232 3581365 3036571 408931970 468005710 308914 3816389 0 0 287093010 356849290 0 0 92498 95264615 117955091 382666539 478620770 26265431 -10615060 165450859 140471517 67167500 52803218 98283359 87668299 X THE MISSION IS OPENING DOORS TO OPPORTUNITY, SO INDIVIDUALS CAN ACHIEVE THEIR DREAMS. 0 0 405077040 FOR MORE THAN 20 YEARS, SOUTHWEST KEY HAS BEEN AN INTEGRAL PARTNER IN THE U.S. RESPONSE TO THE IMMIGRATION CRISIS AT OUR SOUTHERN BORDER, SHELTERING IMMIGRANT CHILDREN UNDER 18 YEARS OF AGE WHO ARRIVE IN THIS COUNTRY WITHOUT A PARENT OR GUARDIAN AND REUNIFYING THEM WITH THEIR PARENTS, RELATIVES OR A SPONSOR. NINETY-FIVE PERCENT OF THE CHILDREN IN OUR SHELTERS IN 2018 CAME FROM THE NORTHERN TRIANGLE WHICH INCLUDES GUATEMALA, HONDURAS AND EL SALVADOR. MOST OF THE CHILDREN WERE MALES BETWEEN THE AGES OF 15-17, FLEEING VIOLENCE AND GANG THREATS IN THEIR HOME COUNTRIES. OTHERS WERE ESCAPING POVERTY OR SEEKING REUNIFICATION WITH FAMILY MEMBERS ALREADY IN THE U.S.WITHIN 24-HOURS OF A CHILD'S ARRIVAL AT A SWK FACILITY, OUR CASE MANAGERS BEGIN WORKING ON THE PROCESS OF REUNIFICATION. FIRST CONTACTING THE CHILD'S FAMILY IN HIS OR HER HOME COUNTRY AND THEN REACHING OUT TO THE CHILD'S CONTACT(S) AND PROSPECTIVE SPONSORS IN THE U.S. WHILE POTENTIAL SPONSORS ARE SCREENED, SWK PROVIDES CHILDREN WITH CARE THAT ALLOWS THEM TO THRIVE IN A SAFE, HOMELIKE, NURTURING ENVIRONMENT. AND WITHIN 48-HOURS OF ENTERING OUR FACILITIES, ALL CHILDREN RECEIVE FULL MEDICAL EXAMINATIONS. THEY ARE ALSO SCREENED FOR ANY INFECTIOUS DISEASES AND RECEIVE ALL CDC-RECOMMENDED IMMUNIZATIONS. SOUTHWEST KEY MEDICAL STAFF PROVIDE BASIC MEDICAL CARE 24 HOURS A DAY. CHILDREN WHO REQUIRE EXAMINATIONS BY SPECIALISTS OR HOSPITAL CARE ARE TRANSPORTED BY SWK TO THE APPROPRIATE MEDICAL FACILITIES.IN ADDITION TO REUNIFICATION, MEDICAL AND COUNSELING SERVICES, CHILDREN HAVE ACCESS TO LEGAL SERVICES, RELIGIOUS SERVICES, PHONE CALLS, MAIL SUPPLIES, POSTAGE AND ARE PROVIDED PERSONAL GROOMING AND HYGIENE SERVICES, SUCH AS HAIRCUTS, LAUNDRY AND HOUSEKEEPING. YOUTH HAVE THE OPPORTUNITY TO CONNECT WITH SPONSORS OR FAMILY MEMBERS VIA PHONE AND VIDEO CALLS TO BUILD RELATIONSHIPS WHILE IN OUR CARE.OUR PROGRAMS ARE DEVELOPED TO PROVIDE CHILDREN THE NECESSARY RESOURCES TO THRIVE WHILE IN OUR CARE. EDUCATION IS VITALLY IMPORTANT, SO WE PROVIDE 6 HOURS OF CLASSROOM EDUCATION 5-DAYS A WEEK. WE ALSO UNDERSTAND HOW IMPORTANT RECREATION AND PHYSICAL ACTIVITY IS TO ALL CHILDREN, SO THEY'RE GIVEN AMPLE TIME TO BE OUTSIDE AND PLAY. WHERE POSSIBLE, WE PROVIDE OPPORTUNITIES FOR ARTS AND CRAFTS, MUSIC AND ENTERTAINMENT, AND SPECIAL EVENTS. WE FOLLOW USDA GUIDELINES AND OUR IN-HOUSE COOKS PROVIDE THREE NUTRITIOUS MEALS AND THREE SNACKS EVERY DAY.SOUTHWEST KEY'S UNACCOMPANIED MINOR SHELTERS ARE PART OF A FEDERAL SHELTER SYSTEM THAT WAS CREATED AS A RESULT OF THE 1997 FLORES SETTLEMENT AGREEMENT. OUR PROGRAMS ARE FUNDED BY THE DEPARTMENT OF HEALTH AND HUMAN SERVICES.9/1/2018 TO 8/31/2019UM CHILDREN SERVED 36,422UM EMPLOYEES 6,809UM PROGRAMS - 28 19799667 3816389 SOUTHWEST KEY'S YOUTH JUSTICE PROGRAM IS BASED ON THE CORE PRINCIPLE THAT POSITIVE CHANGE CAN HAPPEN THOUGH THERAPEUTIC, EDUCATIONAL AND COMMUNITY-BASED PROGRAMS. OUR SERVICES ARE SHAPED BY EVIDENCE-BASED PRACTICES AND YOUTH VOICE, AND ACCOMPLISHED THROUGH STAFF THAT COME FROM THE COMMUNITIES WE SERVE. BY PROVIDING ALTERNATIVES TO CHILDREN WHO ARE INVOLVED IN THE COURT SYSTEM, YOUTH JUSTICE ENABLES THEM TO STAY AT HOME WITH THEIR FAMILIES AND INVOLVED IN THEIR COMMUNITIES.THROUGH YOUTH JUSTICE, YOUNG MEN AND WOMEN ARE PROVIDED WITH STRUCTURE AND SERVICES THAT PROMOTE POSITIVE BEHAVIORS AND EXPERIENCES. OUR CASE WORKERS PARTNER WITH FAMILIES TO ADDRESS INDIVIDUAL, FAMILY AND SOCIAL ISSUES, SUCH AS HELPING WITH THE TRANSITION BACK HOME FROM A CORRECTIONAL FACILITY OR INSTITUTION, ASSISTING PARENTS WITH EMPLOYMENT AND CHILDCARE, AND WORKING WITH SCHOOL STAFF TO MEET ACADEMIC AND PERSONAL NEEDS. OUR PROGRAMS TRACK THE PROGRESS YOUTH ARE MAKING WHILE HOLDING THEM ACCOUNTABLE FOR THEIR ACTIONS. THESE COMPONENTS WORK TOGETHER TO SET THE FOUNDATION FOR SUCCESS, NOW AND TOMORROW.9/1/2018 TO 8/31/2019YJ CHILDREN SERVED 6,942YJ EMPLOYEES 261YJ PROGRAMS - 419/1/2018 TO 8/31/2019TOTAL CHILDREN SERVED 64,077TOTAL EMPLOYEES (ACROSS ALL OF SWK, INCLUDING PROMESA AND WFS) 7,636TOTAL PROGRAMS (ACROSS ALL OF SWK, INCLUDING PROMESA AND WFS) 75 424876707 1 1 0 1 0 0 0 0 0 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 1 0 0 1 1 1 0 0 0 0 0 1 1 1 1 0 0 0 0 1 1 1 0 0 1 339 0 1 10818 1 1 1 0 0 0 0 1 1 0 0 0 0 0 0 X 6 5 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA X ERIC MARIN CFO 5125832516 6002 JAIN LANE AUSTIN TX 78721 ANSELMO VILLARREAL CHAIR 1.00 X 0 0 0 ROSA SANTIS VICE CHAIR 1.00 X 0 0 0 DAVID MARSHALL JR SECRETARY 1.00 X 0 0 0 CATALINA GRACIA TREASURER 1.00 X 0 0 0 VICTOR GARZA BOARD MEMBER 1.00 X 0 0 0 ORLANDO MARTINEZ BOARD MEMBER 1.00 X 0 0 0 JUAN SANCHEZ FMR PRESIDENT/CEO UNTIL 4/2/19 40.00 X 1041754 0 56349 MELODY CHUNG FMR CFO UNTIL 02/22/19 40.00 X 869697 0 56344 JOELLA BROOKS INTERIM CEO 40.00 X 392748 0 59085 STEPHEN CALVERT CHIEF LEGAL COUNSEL 40.00 X 64494 0 1108 ERIC MARIN CFO SINCE 5/1/19 40.00 X 0 0 0 ALEXIA RODRIGUEZ FMR VP UM PROGRAMS UNTIL 7/12/19 40.00 X 424799 0 55362 VERONICA DELGADO-SAVAGE VP- YJ SERVICES 40.00 X 409993 0 56325 JENNIFER SANCHEZ FMR VICE-PRESIDENT UNTIL 5/17/19 40.00 X 369866 0 54732 GERALDO G RIVERA VP - UM PROGRAMS 40.00 X 216062 0 32936 JOSE E ARROYO-DAVILA ASSOCIATE VP OF HR 40.00 X 188759 0 20704 YVONNE CHOR DIRECTOR OF FINANCE 40.00 X 241529 0 47631 ISABEL RODRIGUEZ PROGRAM COORDINATOR 40.00 X 177334 0 35886 FRED MUNIZ CONTROLLER 40.00 X 177061 0 39309 DR SALVADOR CAVAZOS VP OF EDUCATION 40.00 40.00 X 168732 52948 15109 ELIZABETH SCHEPEL VP- PQI 40.00 X 132412 0 25497 RACHEL LUNA FMR GENERAL COUNSEL UNTIL 7/27/18 40.00 X 170398 0 32446 5045638 52948 588823 51 1 1 0 MANPOWER 29973 NETWORK PL CHICAGO IL 60673 CONTRACT LABOR 1406029 C&A BUILDERS 28960 LINE 12 RD SAN BENITO TX 78586 CONSTRUCTION 1342176 JCS MILITARY SUPPORT SERVICES INC PO BOX 884 BRYN MAWR PA 19010 SOCIAL SERVICES 988835 MODIS INC DEPT CH 10682 PALATINE IL 60055 CONTRACT LABOR 816756 ABSOLUTE SERVICES 2005 INDUSTRIAL DR MCALLEN TX 78504 SECURITY SERVICES 460823 15 293050 462478690 521167 39387 463292907 1058899 1058899 1195682 0 1195682 1195682 1195682 1675356 1058023 617333 617333 617333 21935 293050 23916 -1981 -1981 OTHER INCOME 900099 1345755 1345755 MANAGEMENT FEES 900099 451561 451561 INSURANCE PROCEEDS 900099 45554 45554 1842870 468005710 1842870 0 2869933 3653027 3653027 163362 163362 4673217 4347710 324665 842 290686435 270439051 20195035 52349 37298760 31976760 5314229 7771 24190878 22595381 1591260 4237 525373 525373 6346972 1908786 4438186 152245 120848 31397 5028158 3186567 1841112 479 2620923 1701588 919332 3 39347014 38192705 1153318 991 8804792 6904265 1899346 1181 2367530 1487934 879006 590 128986 116716 12270 4811049 3541314 1269187 548 2329739 2132960 196779 OTHER EXPENSES 25075681 15214256 9838023 23402 CONTRACT LABOR 6067004 3180997 2886007 PARTICIPANT SUBSIDIES 5448561 5448561 HOUSEHOLD SUPPLIES 4808069 4807590 479 4092995 3756329 336561 105 478620770 424876707 53651565 92498 64857591 54937655 38152098 25194311 5683951 6446872 1483835 3403610 70798725 33289985 37914749 37508740 7792471 6363626 9566164 6616703 165450859 140471517 6950094 5890905 410879 279038 59806527 46633275 67167500 52803218 X 97948321 85500040 335038 2168259 98283359 87668299 165450859 140471517 -10615060 0 X 0 1 X 1 1 1 X 158932787 240900527 315121364 403847326 463292907 1582094911 158932787 240900527 315121364 403847326 463292907 1582094911 1582094911 1133940 1746850 2911680 2254581 8047051 121934 440223 1979319 1391309 3932785 1594074747 1900600 0.99250 0.99140 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 525373 525373 424876707 425402080 1000000 250000 0 0 1000000 1000000 1500000 525373 525373 250000 250000 375000 PART II-A, LINE 1, SECTION 501(H) LOBBYING ACTIVITIES: SOUTHWEST KEY ENGAGED THE SERVICES OF THIRD PARTIES TO ASSIST IN MONITORING LEGISLATION, ADDRESSING STATE REGULATORY AND LICENSING ISSUES, AND BUILDING STRONGER RELATIONSHIPS AND PARTNERSHIPS AT THE LOCAL, STATE, AND NATIONAL LEVELS. 9544721 9544721 28852097 7988011 20864086 7537077 5668967 1868110 7617324 5664368 1952956 17247506 13968639 3278867 37508740 ACCRUED SALARIES 6776957 ACCRUED VACATION EXPENSE 833776 CAPITAL LEASE OBLIGATIONS 950057 OTHER ACCRUED LIABILITIES 13724013 SELF-INSURANCE RESERVE 24348472 46633275 X 468424992 381431 23916 405347 468019645 -13935 -13935 468005710 475937052 381431 23916 405347 475531705 3089065 3089065 478620770 PART X, LINE 2: SOUTHWEST KEY PROGRAMS, INC. IS A NOT-FOR-PROFIT ORGANIZATION EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE, EXCEPT TO THE EXTENT IT HAS UNRELATED BUSINESS ACTIVITIES. FOR THE FISCAL YEARS ENDING AUGUST 31, 2019 AND 2018 THE ORGANIZATION'S UNRELATED BUSINESS ACTIVITIES FOR TAX REPORTING PURPOSES INCLUDED INCOME CREATED BY DISALLOWED PARKING FRINGE BENEFIT COSTS PER SECTION 512(A)(7) OF THE INTERNAL REVENUE CODE RESULTING FROM PASSAGE OF THE TAX CUTS AND JOBS ACT OF 2017. THE ORGANIZATION ALSO HAS UNRELATED BUSINESS ACTIVITIES RESULTING FROM INCOME OR LOSS FROM CERTAIN INVESTMENTS IN PARTNERSHIPS AND SIMILAR LEGAL ENTITIES. AS SUCH, SOUTHWEST KEY PROGRAMS RECOGNIZED INCOME TAX EXPENSE OF $335,581 AND $0 FOR THE YEARS ENDED AUGUST 31, 2019 AND 2018 RESPECTIVELY. INCOME TAX EXPENSE IS INCLUDED IN THE OTHER EXPENSE LINE ITEM IN THE STATEMENT OF FUNCTIONAL EXPENSES. ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA REQUIRE MANAGEMENT TO EVALUATE TAX POSITIONS TAKEN BY THE ORGANIZATION AND RECOGNIZE A TAX LIABILITY (OR ASSET) IF THE ORGANIZATION HAS TAKEN AN UNCERTAIN POSITION THAT MORE LIKELY THAN NOT WOULD NOT BE SUSTAINED UPON EXAMINATION BY THE INTERNAL REVENUE SERVICE. MANAGEMENT HAS ANALYZED THE TAX POSITIONS TAKEN BY THE ORGANIZATION, AND HAS CONCLUDED THAT AS OF AUGUST 31, 2019 AND 2018, THERE ARE NO UNCERTAIN POSITIONS TAKEN OR EXPECTED TO BE TAKEN THAT WOULD REQUIRE RECOGNITION OF A LIABILITY (OR ASSET) OR DISCLOSURE IN THE FINANCIAL STATEMENTS. PART XI, LINE 2D - OTHER ADJUSTMENTS: RECLASS OF FUNDRAISING EXPENSE 23,916. PART XI, LINE 4B - OTHER ADJUSTMENTS: RECLASS OF GAIN ON DISPOSAL OF ASSETS -13,935. PART XII, LINE 2D - OTHER ADJUSTMENTS: RECLASS OF FUNDRAISING EXPENSE 23,916. PART XII, LINE 4B - OTHER ADJUSTMENTS: RECLASS OF GAIN ON DISPOSAL OF ASSETS -13,935. RELATED PARTY CONTRIBUTION 3,103,000. GOLF TOURNAMENT 314985 293050 21935 23916 314985 293050 21935 23916 23916 -1981 1 PROMESA PUBLIC SCHOOLS INC 6002 JAIN LANE AUSTIN TX 78721 261609474 501(C)(3) 3653027 GENERAL SUPPORT 1 EDUCATION AWARDS 125 163362 PART I, LINE 2: SOUTHWEST KEY PROGRAMS, INC IS THE SOLE MEMBER OF PROMESA PUBLIC SCHOOLS, INC. SWK REGULARLY MONITORS ALL USE OF FUNDS BY PROMESA. DEPENDING ON THE EDUCATION AWARD TYPE ELIGIBLE STUDENT APPLICANTS ARE EVALUATED BASED ON CRITERIA INCLUDING GPA, SCHOLASTIC RIGOR AND ACHIEVEMENT, PERSONAL ACHIEVEMENT, PERSONAL AND HISTORICAL DISADVANTAGES AND INTELLECTUAL CURIOSITY. X 1 1 X 0 1 0 0 0 0 0 0 0 JUAN SANCHEZ FMR PRESIDENT/CEO UNTIL 4/2/19 783936 0 159000 0 98818 0 50125 0 6224 0 1098103 0 0 0 MELODY CHUNG FMR CFO UNTIL 02/22/19 521025 0 108174 0 240498 0 50007 0 6337 0 926041 0 0 0 JOELLA BROOKS INTERIM CEO 267991 0 72260 0 52497 0 50125 0 8960 0 451833 0 0 0 ALEXIA RODRIGUEZ FMR VP UM PROGRAMS UNTIL 7/12/19 317800 0 64800 0 42199 0 48500 0 6862 0 480161 0 0 0 VERONICA DELGADO-SAVAGE VP- YJ SERVICES 267565 0 83562 0 58866 0 50125 0 6200 0 466318 0 0 0 JENNIFER SANCHEZ FMR VICE-PRESIDENT UNTIL 5/17/19 267565 0 54000 0 48301 0 48770 0 5962 0 424598 0 0 0 GERALDO G RIVERA VP - UM PROGRAMS 172018 0 33100 0 10944 0 27285 0 5651 0 248998 0 0 0 JOSE E ARROYO-DAVILA ASSOCIATE VP OF HR 155144 0 32700 0 915 0 15383 0 5321 0 209463 0 0 0 YVONNE CHOR DIRECTOR OF FINANCE 159613 0 65700 0 16216 0 41542 0 6089 0 289160 0 0 0 ISABEL RODRIGUEZ PROGRAM COORDINATOR 165790 0 0 0 11544 0 28176 0 7710 0 213220 0 0 0 FRED MUNIZ CONTROLLER 122314 0 41100 0 13647 0 30951 0 8358 0 216370 0 0 0 DR SALVADOR CAVAZOS VP OF EDUCATION 167807 52948 0 0 925 0 8646 410 4768 1285 182146 54643 0 0 ELIZABETH SCHEPEL VP- PQI 94747 0 26600 0 11065 0 19870 0 5627 0 157909 0 0 0 RACHEL LUNA FMR GENERAL COUNSEL UNTIL 7/27/18 111685 0 38600 0 20113 0 29260 0 3186 0 202844 0 0 0 PART I, LINE 1A GROSS-UP FOR FEDERAL TAXES OWED AS A RESULT OF A CASH VALUE LIFE INSURANCE RETIREMENT POLICY; OFFICERS AND KEY EMPLOYEES (7 INDIVIDUALS, SEE PART I, LINE 4B RESPONSES BELOW); TREATED AS TAXABLE COMPENSATION TO LISTED PERSONS. PART I, LINE 3 CONCERNING POLICIES AND PROCEDURES FOR DETERMINING COMPENSATION OF DISQUALIFIED PERSONS FOR THE CURRENT REPORTING YEAR, THE ORGANIZATION BELIEVES THAT IT SUBSTANTIALLY COMPLIED WITH THE IRS'S BEST PRACTICES. PART I, LINE 4B DR. JUAN SANCHEZ OTHER REPORTABLE COMPENSATION INCLUDES $79,500 RELATED TO A CASH VALUE LIFE INSURANCE RETIREMENT POLICY. THE INCOME INCLUDES THE INSURANCE PREMIUMS ALONG WITH THE TAX GROSS UP AND INTEREST ON THE INCOME DUE TO THE LIFE INSURANCE POLICY PREMIUMS WHICH HAS BEEN APPROVED BY THE SWK BOARD. MELODY CHUNG OTHER REPORTABLE COMPENSATION INCLUDES $55,106 RELATED TO A CASH VALUE LIFE INSURANCE RETIREMENT POLICY. THE INCOME INCLUDES THE INSURANCE PREMIUMS ALONG WITH THE TAX GROSS UP AND INTEREST ON THE INCOME DUE TO THE LIFE INSURANCE POLICY PREMIUMS WHICH HAS BEEN APPROVED BY THE SWK BOARD. RACHEL LUNA OTHER REPORTABLE COMPENSATION INCLUDES $19,300 RELATED TO A CASH VALUE LIFE INSURANCE RETIREMENT POLICY. THE INCOME INCLUDES THE INSURANCE PREMIUMS ALONG WITH THE TAX GROSS UP AND INTEREST ON THE INCOME DUE TO THE LIFE INSURANCE POLICY PREMIUMS WHICH HAS BEEN APPROVED BY THE SWK BOARD. ALEXIA RODRIGUEZ OTHER REPORTABLE COMPENSATION INCLUDES $32,400 RELATED TO A CASH VALUE LIFE INSURANCE RETIREMENT POLICY. THE INCOME INCLUDES THE INSURANCE PREMIUMS ALONG WITH THE TAX GROSS UP AND INTEREST ON THE INCOME DUE TO THE LIFE INSURANCE POLICY PREMIUMS WHICH HAS BEEN APPROVED BY THE SWK BOARD. JENNIFER SANCHEZ OTHER REPORTABLE COMPENSATION INCLUDES $27,000 RELATED TO A CASH VALUE LIFE INSURANCE RETIREMENT POLICY. THE INCOME INCLUDES THE INSURANCE PREMIUMS ALONG WITH THE TAX GROSS UP AND INTEREST ON THE INCOME DUE TO THE LIFE INSURANCE POLICY PREMIUMS WHICH HAS BEEN APPROVED BY THE SWK BOARD. JOELLA BROOKS OTHER REPORTABLE COMPENSATION INCLUDES $27,800 RELATED TO A CASH VALUE LIFE INSURANCE RETIREMENT POLICY. THE INCOME INCLUDES THE INSURANCE PREMIUMS ALONG WITH THE TAX GROSS UP AND INTEREST ON THE INCOME DUE TO THE LIFE INSURANCE POLICY PREMIUMS WHICH HAS BEEN APPROVED BY THE SWK BOARD. VERONICA DELGADO OTHER REPORTABLE COMPENSATION INCLUDES $27,000 RELATED TO A CASH VALUE LIFE INSURANCE RETIREMENT POLICY. THE INCOME INCLUDES THE INSURANCE PREMIUMS ALONG WITH THE TAX GROSS UP AND INTEREST ON THE INCOME DUE TO THE LIFE INSURANCE POLICY PREMIUMS WHICH HAS BEEN APPROVED BY THE SWK BOARD. JUAN SANCHEZ HUSBAND OF JENNIFER NELSON SANCHEZ, VICE PRESIDENT 1041754 SALARY, RETIREMENT AND FRINGE BY THE ORGANIZATION 0 JENNIFER NELSON SANCHEZ WIFE OF JUAN SANCHEZ, CEO 369866 SALARY, RETIREMENT AND FRINGE BY THE ORGANIZATION 0 ANTONIO SANCHEZ BROTHER OF JUAN SANCHEZ, CEO 79698 SALARY, RETIREMENT AND FRINGE BY THE ORGANIZATION 0 ROMEO RODRIGUEZ FATHER OF ALEXIA RODRIGUEZ, VICE PRESIDENT 64529 SALARY, RETIREMENT AND FRINGE BY THE ORGANIZATION 0 CONROE CHS LP PARTNERSHIP MORE THAN 35% OWNED BY JUAN SANCHEZ, CEO AND MELODY CHUNG, CFO 281588 RENTAL PAID BY THE ORGANIZATION 0 XIOMARA GROSS DAUGHTER OF JUAN SANCHEZ, CEO 58729 SALARY, RETIREMENT AND FRINGE BY THE ORGANIZATION 0 JOSE HECTOR CHIRINOS BROTHER-IN-LAW OF JUAN SANCHEZ, CEO 63139 SALARY, RETIREMENT AND FRINGE BY THE ORGANIZATION 0 RACHEL LUNA OFFICER OF THE ORGANIZATION 168339 REPAYMENT RELATED TO UNVESTED CASH VALUE LIFE INSURANCE RETIREMENT POLICY 0 JUAN SANCHEZ OFFICER OF THE ORGANIZATION 428667 REPAYMENT RELATED TO UNVESTED CASH VALUE LIFE INSURANCE RETIREMENT POLICY 0 JENNIFER NELSON SANCHEZ KEY EMPLOYEE OF THE ORGANIZATION 155634 REPAYMENT RELATED TO UNVESTED CASH VALUE LIFE INSURANCE RETIREMENT POLICY 0 MELODY CHUNG OFFICER OF THE ORGANIZATION 250735 REPAYMENT RELATED TO UNVESTED CASH VALUE LIFE INSURANCE RETIREMENT POLICY 0 X 33894 FMV X PRIZES FOR FUNDRAISING EVENT 50 5493 FMV 0 0 0 FORM 990, PART VI, SECTION A, LINE 2 JUAN SANCHEZ(PRESIDENT/CEO) AND JENNIFER SANCHEZ(VICE PRESIDENT OF COMMUNITY ENGAGEMENT) ARE HUSBAND AND WIFE. JUAN SANCHEZ(PRESIDENT/CEO), JENNIFER SANCHEZ(VICE PRESIDENT OF COMMUNITY ENGAGEMENT), AND MELODY CHUNG(CFO) HAVE A BUSINESS RELATIONSHIP. DR. CAVAZOS, PROMESA'S SUPERINTENDENT, AND JUAN SANCHEZ (PRESIDENT/CEO), AND ANSELMO VILLARREAL, SOUTHWEST KEY BOARD MEMBER HAVE A BUSINESS RELATIONSHIP. JUAN SANCHEZ (PRESIDENT/CEO) AND ROSA SANTIS (BOARD VICE CHAIR) HAVE A BUSINESS RELATIONSHIP. BOTH PARTIES DISSOLVED THEIR BUSINESS RELATIONSHIP ON MAY 4, 2019. FORM 990, PART VI, SECTION B, LINE 11B THE RETURN IS REVIEWED BY THE ORGANIZATION'S CFO AND GENERAL COUNSEL. AFTER SAID REVIEW, THE RETURN IS DISTRIBUTED TO THE AUDIT COMMITTEE FOR ITS CONSIDERATION AND APPROVAL. AFTER APPROVAL, THE RETURN IS CIRCULATED TO THE BOARD OF DIRECTORS AND FILED TIMELY. FORM 990, PART VI, SECTION B, LINE 12C IN CONNECTION WITH AN ACTUAL OR POSSIBLE CONFLICT OF INTEREST, AN INTERESTED PERSON MUST DISCLOSE THE EXISTENCE OF THE FINANCIAL OR PERSONAL INTEREST AND BE GIVEN THE OPPORTUNITY TO DISCLOSE ALL MATERIAL FACTS. DETERMINATIONS REGARDING CONFLICT OF INTEREST INQUIRIES ARE DOCUMENTED IN THE MINUTES OF THE BOARD OF DIRECTORS OR THROUGH A WRITTEN REPORT PROVIDED BY THE CEO TO THE BOARD OF DIRECTORS. THE INTERESTED PARTY INVOLVED DOES NOT PARTICIPATE IN A DECISION RELATED TO THE POTENTIAL CONFLICT. IF A CONFLICT OF INTEREST EXISTS, A DETERMINATION WILL BE MADE REGARDING WHETHER A MORE ADVANTAGEOUS ARRANGEMENT IS POSSIBLE. IF A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT IS NOT REASONABLY POSSIBLE, THEN IT IS DETERMINED BY A MAJORITY VOTE OF THE DISINTERESTED PERSON WHETHER THE CONFLICT OF INTEREST IS FAIR AND IN THE ORGANIZATION'S BEST INTEREST. FORM 990, PART VI, SECTION B, LINE 15 THE ORGANIZATION USES WIPFLI TO CONDUCT 3RD PARTY COMPENSATION ASSESSMENTS FOR THE CEO, EXECUTIVES AND KEY EMPLOYEES. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE AVAILABLE TO THE PUBLIC UPON REQUEST. PROMESA PUBLIC SCHOOLS INC FKA THE EAST AUSTIN ACADEMIA INC 6002 JAIN LANE AUSTIN TX 78721 261609474 CHARTER SCHOOL TX 501(C)(3) LINE 7 SOUTHWEST KEY PROGRAMS INC 0 SWKP ST JOHNS LLC 13010 RESEARCH BLVD 104 AUSTIN TX 78750 824580748 INVESTMENT PARTNERSHIP TX SOUTHWEST KEY PROGRAMS INC EXCLUDED SEC 512 -32719 2267281 0 0 0.95830 BUDA HOUSE INVESTORS LLC 13010 RESEARCH BLVD 104 AUSTIN TX 78750 830975536 INVESTMENT PARTNERSHIP TX SOUTHWEST KEY PROGRAMS INC EXCLUDED SEC 512 -406 1999594 0 0 0.57140 SOUTHWEST KEY ENTERPRISES INC 6002 JAIN LANE AUSTIN TX 78721 208958545 HOLDING COMPANY TX SOUTHWEST KEY PROGRAMS INC C -37559 2838246 1.00000 1 0 1 0 0 0 0 0 0 0 1 0 1 1 0 0 0 0 1 0 PROMESA PUBLIC SCHOOLS INC J 1146456 FMV SOUTHWEST KEY ENTERPRISES LLC L 325724 FMV PROMESA PUBLIC SCHOOLS INC L 125837 FMV PROMESA PUBLIC SCHOOLS INC B 3653027 FMV SOUTHWEST KEY ENTERPRISES LLC M 177444 FMV SCHEDULE R, PART IV SOUTHWEST KEY ENTERPRISES, INC. IS A HOLDING COMPANY WHOSE DISREGARDED ENTITIES INCLUDE: SOUTHWEST KEY MAINTENANCE, LLC 26-0139649 SOUTHWEST KEY CAFE DEL SOL, LLC 26-0530306 SOUTHWEST KEY WORKFORCE DEVELOPMENT, LLC - 27-0855414 SOUTHWEST KEY PROPERTIES, LLC 61- 1535548 DATA AND EVALUATION SERVICES 20-3976396 SOUTHWEST KEY GREEN ENERGY & CONSTRUCTION, LLC 21-2310750 SOUTHWEST KEY YOUTH, FAMILY & TRANSPORTATION SERVICES, LLC 27-1348268 THE BLOOMING FLORIST, LLC 45-2136940