2019-11-12T11:55:36-06:00 2019-06-30 ERNST & YOUNG US LLP 5 TIMES SQUARE NEW YORK NY 10036 990 2018-07-01 510423553 PHEAA STUDENT LOAN FOUNDATION INC % William Walker PHEA 7177202023 1200 North Seventh Street Harrisburg PA 17102 William Walker Treasurer 7177202023 2019-11-12 true NICOLE M SOKOLOWSKI P01683199 2127733000 164.57.159.253 58145420193165000012 2019-11-12 P 047C777BBD395ADD529156C75D94AFF56594489C 70BEEB1FDDFEF62DCCD15844617233C9DDF43A15 2018 2020-03-31 21:24:44Z Nathaniel Hench 1200 N 7th Street Harrisburg PA 17102 174319994 false X N/A X 2002 PA SEE SCHEDULE O. 5 2 0 2 0 0 0 0 130456556 144756254 1520753 2422327 40208616 27141413 172185925 174319994 0 0 0 0 0 0 0 0 0 121363208 140200416 121363208 140200416 50822717 34119578 3891721776 3504450278 3645217701 3242524953 246504075 261925325 X THE FOUNDATION, A NON-STOCK, NONPROFIT CORPORATION INCORPORATED UNDER PENNSYLVANIA'S NONPROFIT CORPORATION LAW OF 1988, AS AMENDED, IS ORGANIZED TO CARRY OUT STUDENT LOAN SECURITIZATION TRANSACTIONS FOR THE BENEFIT OF, OR TO CARRY OUT THE PURPOSES OF, THE PENNSYLVANIA HIGHER EDUCATION ASSISTANCE AGENCY ('PHEAA'), A STATE AGENCY OF THE COMMONWEALTH OF PENNSYLVANIA ('COMMONWEALTH'), CREATED AND CONTROLLED BY THE COMMONWEALTH'S LEGISLATURE. THE FOUNDATION'S EXEMPT PURPOSE IS TO FACILITATE THE SECURITIZATION OF STUDENT LOANS IN ORDER TO RAISE FUNDS FOR PHEAA SO THAT PHEAA MAY CONTINUE TO MAKE, SERVICE AND BUY STUDENT LOANS AND TO OTHERWISE IMPROVE HIGHER EDUCATIONAL OPPORTUNITIES FOR STUDENTS, AND FOR ANY OF PHEAAS STATUTORY PURPOSES, THEREBY LESSENING PHEAAS BURDENS OF GOVERNMENT. false false 140200416 171897667 THE FOUNDATION FORMS SPECIAL PURPOSE TRUSTS UNDER THE LAWS OF THE STATE OF DELAWARE. THE PRINCIPAL PURPOSE OF THE TRUSTS ARE TO SECURITIZE STUDENT LOANS AND RELATED ASSETS, AND TO AQUIRE STUDENT LOANS FROM THE FOUNDATION AND ISSUE PROMISSORY NOTES SECURED BY A PLEDGE OF SUCH ASSETS. HOWEVER, AS A CASH BASIS TAXPAYER, THE FOUNDATION DOES NOT HAVE TO RECOGNIZE ITS RESIDUAL INTEREST AS REVENUE UNTIL THE CASH FLOWS BECOME AVAILABLE. THE FOUNDATION DISTRIBUTES TO PHEAA, FROM TIME TO TIME, ALL OF THE CASH FLOWS DERIVED FROM THE STUDENT LOAN TRUSTS, NET OF EXPENSES (OPERATING EXPENSES AND PRINCIPAL, AND INTEREST PAYMENT TO INVESTORS). PHEAA USES THE GRANTS AND THE PROCEEDS FROM THE SALE OF THE STUDENT LOANS TO CONTINUE OTHER ACTIVITIES THAT SUBSIDIZE THE COSTS OF HIGHER EDUCATION AND SATISFY PHEAA'S STATUTORY MISSION. SINCE INCEPTION, THE FOUNDATION HAS FORMED FOURTEEN SPECIAL PURPOSE TRUSTS. AS OF THE END OF THE REPORTING PERIOD, THIRTEEN OF THE SPECIAL PURPOSE TRUSTS REMAIN ACTIVE. ON JULY 14, 2011, PHEAA STUDENT LOAN TRUST 2011-1 ISSUED NOTES IN THE AMOUNT OF $1,676,400,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON NOVEMBER 14, 2012, PHEAA STUDENT LOAN TRUST 2012-1 ISSUED NOTES IN THE AMOUNT OF $536,400,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON JUNE 12, 2013, PHEAA STUDENT LOAN TRUST 2013-1 ISSUED NOTES IN THE AMOUNT OF $583,950,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON JULY 30, 2013, PHEAA STUDENT LOAN TRUST 2013-2 ISSUED NOTES IN THE AMOUNT OF $331,300,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON NOVEMBER 20, 2013, PHEAA STUDENT LOAN TRUST 2013-3 ISSUED NOTES IN THE AMOUNT OF $517,850,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON MARCH 14, 2014, PHEAA STUDENT LOAN TRUST 2014-1 ISSUED NOTES IN THE AMOUNT OF $573,800,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON JUNE 17, 2014, PHEAA STUDENT LOAN TRUST 2014-2 ISSUED NOTES IN THE AMOUNT OF $573,800,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON SEPTEMBER 18, 2014, PHEAA STUDENT LOAN TRUST 2014-3 ISSUED NOTES IN THE AMOUNT OF $646,700,000, AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON APRIL 22, 2015, PHEAA STUDENT LOAN TRUST 2015-1 ISSUED NOTES IN THE AMOUNT OF $636,900,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON SEPTEMBER 14, 2016, PHEAA STUDENT LOAN TRUST 2016-1 ISSUED NOTES IN THE AMOUNT OF $543,523,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON NOVEMBER 22, 2016, PHEAA STUDENT LOAN TRUST 2016-2 ISSUED NOTES IN THE AMOUNT OF $382,700,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON OCTOBER 29, 2018, PHEAA STUDENT LOAN TRUST 2018-1 ISSUED NOTES IN THE AMOUNT OF $426,700,000 AND USED SUBSTANTIALLY ALL OF THE PROCEEDS OF THE NOTES TO PURCHASE CERTAIN STUDENT LOANS. ON JULY 12, 2013, PHEAA WAREHOUSE FACILITY TRUST 2013-1 (WAREHOUSE TRUST 2013-1) BEGAN OPERATIONS AND IS A SHORT-TERM FINANCING FACILITY. WAREHOUSE TRUST 2013-1 IS TO PLEDGE, SELL, TRANSFER OR CONVEY STUDENT LOANS OR OTHER ASSETS AQUIRED OR TO BE ACQUIRED TO OTHER THIRD PARTIES OR SPECIAL PURPOSE ENTITIES, OR TO OBTAIN REPLACEMENT FINANCING FOR ANY ASSETS ACQUIRED OR TO BE ACQUIRED THROUGH SECURITIZATION TRANSACTIONS IN ORDER TO ACCOMPLISH OR FACILITATE ONE OR MORE OF PHEAAS STATUTORY PURPOSES. 140200416 true false false false false false false false false false false false false false false false false true false false false false false false false false false false false true false false false false false false false false false false false false true true false true false true X 0 0 0 false false false false false false false false false false false false X 5 2 false false false false false true false true false true false true false false false false false false X William Walker 7177207758 1200 N 7th Street Harrisburg PA 17102 Nathaniel D Hench President and Director 1.0 40.0 X X 0 182935 11875 Ruth Bradley director 1.0 0.0 X 0 3000 0 William Walker Treas. & Direct. Start 04/2019 1.0 40.0 X X 0 100541 6474 James H Steeley Treas. & Direct. until 04/2019 1.0 40.0 X X 0 276454 17188 Kristin Moore Director starting 11/2018 1.0 0.0 X 0 3000 0 Andrew D Mehalko Secretary and Director 1.0 40.0 X X 0 171460 10976 Jeffrey R Everhart Director until 11/2018 1.0 0.0 X 0 0 0 0 737390 46513 0 false true false PHEAA 1200 N 7th St Harrisburg PA 17102 Loan Servicing 18827011 BMO Capital Markets 115 S Lasalle St 25th Floor West Chicago IL 60603 Broker/Dealer 2472057 MT Bank 213 Market Street 2nd Floor Harrisburg PA 17101 Trustee 649610 PNC Capital Markets 300 5th Avenue 11th Floor Pittsburgh PA 15222 Underwriter 648584 Moody's Investors Services Inc 7 World Trade Center at 250 Greenwi New York NY 10007 Rating agency 170680 5 0 Student Loan Interest 522291 144756254 144756254 0 0 144756254 2422327 2422327 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Bond Refunding 522291 27112275 27112275 0 0 Miscellaneous 522291 29138 29138 0 0 27141413 174319994 171897667 0 2422327 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 113638938 113638938 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Loan Servicing Fees 11441997 11441997 0 0 Administrative Fees 7385014 7385014 0 0 Bond Issuance Costs 2996315 2996315 0 0 Risk Share Write Off 2799838 2799838 0 0 1938314 1938314 140200416 140200416 0 0 8883434 6132782 93703689 86049995 0 0 79349863 81831609 0 0 0 0 3709784790 3330435892 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 3891721776 3504450278 6947761 6508199 0 0 0 0 0 0 0 0 0 0 3638269940 3236016754 0 0 0 0 3645217701 3242524953 X 246504075 261925325 0 0 0 0 246504075 261925325 3891721776 3504450278 X 34119578 0 0 0 0 -18698328 X X false true X false false X X X 1 PENNSYLVANIA HIGHER EDUCATION ASSISTANCE AGENCY 231693362 6 true 140200416 0 1 140200416 true true false false false false false false false false false false false false false true false Form 990, Schedule A, Part IV, Section A, Line 2 The supported organization is the Pennsylvania Higher Education Assistance Agency, an integral part and arm of the Commonwealth of Pennsylvania. false false false false false false false false false Nathaniel D Hench President and Director 0 182935 0 0 0 0 0 11875 0 0 0 194810 0 0 James H Steeley Treas. & Direct. until 04/2019 0 276454 0 0 0 0 0 17188 0 0 0 293642 0 0 Andrew D Mehalko Secretary and Director 0 171460 0 0 0 0 0 10976 0 0 0 182436 0 0 FORM 990, PART I, LINE 1 THE PHEAA STUDENT LOAN FOUNDATION, INC. (FOUNDATION) IS ORGANIZED TO CARRY OUT STUDENT LOAN SECURITIZATION TRANSACTIONS FOR THE BENEFIT OF PENNSYLVANIA HIGHER EDUCATION ASSISTANCE AGENCY (PHEAA) SO PHEAA CAN IMPROVE HIGHER EDUCATION OPPORTUNITIES FOR STUDENTS AND FACILITATE ITS OTHER GOVERNMENTAL PURPOSES. FORM 990, PART IV, LINE 12 & PART XII, LINE 2 THE FINANCIAL STATEMENTS OF THE FOUNDATION ARE NOT COMPILED OR REVIEWED BY AN INDEPENDENT ACCOUNTANT, NOR ARE THEY AUDITED BY AN INDEPENDENT ACCOUNTANT. HOWEVER, THE FOUNDATION IS INCLUDED IN PHEAA'S ANNUAL AUDITED FINANCIAL STATEMENT AS A BLENDED COMPONENT UNIT. THE PHEAA STUDENT LOAN TRUST 2011-1, TRUST 2012-1, TRUST 2013-1, TRUST 2013-2, TRUST 2013-3, TRUST 2014-1, TRUST 2014-2, TRUST 2014-3, TRUST 2015-1, Trust 2016-1, TRUST 2016-2 AND 2018-1 HAVE ANNUAL INDEPENDENT AUDITS OF THEIR RESPECTIVE FINANCIAL STATEMENTS PREPARED ANNUALLY. THE PHEAA STUDENT LOAN WAREHOUSE TRUST 2013-1 HAS AN ANNUAL REVIEW OF ITS RESPECTIVE FINANCIAL STATEMENTS PREPARED ANNUALLY. FORM 990, PART V, LINE 1A 1099'S ARE NOT ISSUED BY THE ORGANIZATION FOR THE INDEPENDENT CONTRACTORS REPORTED IN PART VII, SECTION B BECAUSE THE PAYMENTS ARE MADE TO CORPORATIONS AND THEREFORE ARE NOT REQUIRED TO BE REPORTED TO THE PAYEE ON A FORM 1099, PER THE IRS INSTRUCTIONS. FORM 990, PART VI, LINE 7A ALL DIRECTORS SHALL BE APPOINTED BY RESOLUTION OF THE EXECUTIVE COMMITTEE OF PHEAA. IF PHEAA'S EXECUTIVE COMMITTEE FAILS TO APPOINT DIRECTORS, THE PRESIDENT JUDGE OF THE COMMONWEALTH COURT OF PENNSYLVANIA SHALL HAVE THE POWER TO APPOINT THE DIRECTORS. FORM 990, PART VI, LINE 8B THE FOUNDATION DOES NOT HAVE ANY COMMITTEES. FORM 990, PART VI, LINE 9 ADDRESS OF DIRECTORS THAT CANNOT BE REACHED AT THE FOUNDATION'S MAILING ADDRESS: MONARCH MANAGEMENT SERVICES JEFFREY R. EVERHART (UNTIL NOVEMBER 14, 2018) 500 DELAWARE AVENUE, 11th FLOOR WILMINGTON, DE 19801 MONARCH MANAGEMENT SERVICES KRISTIN MOORE (STARTED NOVEMBER 14, 2018) 500 DELAWARE AVENUE, 11th FLOOR WILMINGTON, DE 19801 MONARCH MANAGEMENT SERVICES RUTH BRADLEY 500 DELAWARE AVENUE, 11th FLOOR WILMINGTON, DE 19801 FORM 990, PART VI, LINE 11B THE FOUNDATION ENGAGES AN INDEPENDENT ACCOUNTING FIRM TO ASSIST IN THE COMPILATION AND COMPLETION OF FORM 990. IT IS REVIEWED BY OUTSIDE LEGAL COUNSEL, WHO PROVIDED COMMENTS AND ADVICE AS TO POTENTIAL FACTUAL ISSUES. THE 990 IS THEN PROVIDED TO EACH DIRECTOR FOR THEIR REVIEW PRIOR TO SUBMISSION TO THE IRS. FORM 990, PART VI, LINE 15 THE FOUNDATION HAS TWO INDEPENDENT DIRECTORS WHOSE COMPENSATION IS DETERMINED BASED UPON THE MARKET RATE OF COMPENSATION PAID TO INDEPENDENT DIRECTORS OF SIMILARLY SITUATED BANKRUPTCY-REMOTE SPECIAL PURPOSE ENTITIES. THE OFFICERS OF THE FOUNDATION RECEIVE COMPENSATION FROM PHEAA. FORM 990, PART VI, LINE 19 THE FOUNDATION MAKES ITS GOVERNING DOCUMENTS AND FINANCIAL STATEMENTS AVAILABLE TO THE GENERAL PUBLIC UPON REQUEST. FORM 990, PART XI, LINE 9 EQUITY CONTRIBUTION $ (15,673,479) RESIDUAL TRANSFER TO PHEAA (3,024,849) ============== TOTAL ($18,698,328) FORM 990, PART XII, LINE 1 CASH BASIS - THE PHEAA STUDENT LOAN FOUNDATION (THE "FOUNDATION") USES THE CASH METHOD OF ACCOUNTING. AS OF THE END OF THE REPORTING PERIOD, THE FOUNDATION HAD FORMED SPECIAL PURPOSE TRUSTS KNOWN AS THE PHEAA STUDENT LOAN TRUST I ("TRUST I"), PHEAA STUDENT LOAN TRUST 2011-1 ("TRUST 2011-1"), PHEAA STUDENT LOAN TRUST 2012-1 ("TRUST 2012-1"), PHEAA STUDENT LOAN TRUST 2013-1 ("TRUST 2013-1"), PHEAA STUDENT LOAN TRUST 2013-2 ("TRUST 2013-2"), PHEAA WAREHOUSE FACILITY TRUST ("WAREHOUSE TRUST 2013-1"), PHEAA STUDENT LOAN TRUST 2013-3 ("TRUST 2013-3"), PHEAA STUDENT LOAN TRUST 2014-1 ("TRUST 2014-1"), PHEAA STUDENT LOAN TRUST 2014-2 ("TRUST 2014-2"), PHEAA STUDENT LOAN TRUST 2014-3 ("TRUST 2014-3"), PHEAA STUDENT LOAN TRUST 2015-1 ("TRUST 2015-1"), PHEAA STUDENT LOAN TRUST 2016-1 ("TRUST 2016-1"), PHEAA SUTDENT LOAN TRUST 2016-2 ("TRUST 2016-2") AND PHEAA STUDENT LOAN TRUST 2018-1 ("TRUST 2018-1"), AND COLLECTIVELY WITH TRUST I, TRUST 2011-1, TRUST 2012-1, TRUST 2013-1, TRUST 2013-2, WAREHOUSE TRUST 2013-1, TRUST 2013-3, TRUST 2014-1, TRUST 2014-2, TRUST 2014-3, TRUST 2015-1, TRUST 2016-1, TRUST 2016-2 AND TRUST 2018-1 (THE "TRUSTS"). PHEAA Student Loan Trust 2011-1 1200 N 7th St Harrisburg PA 17102 510423553 Student loans PA 23605824 567343450 PHEAA SL FDN PHEAA Student Loan Trust 2012-1 1200 N 7th St Harrisburg PA 17102 510423553 Student Loans PA 6485361 140314037 PHEAA SL FND PHEAA Student Loan Trust 2013-1 1200 N 7th St Harrisburg PA 17102 510423553 Student Loans PA 10594528 261740020 PHEAA SL FND PHEAA Student Loan Trust 2013-2 1200 N 7th St Harrisburg PA 17102 510423553 Student Loans PA 4438071 92371757 PHEAA SL FND PHEAA Warehouse Facility Trust 2013-1 1200 N 7th St Harrisburg PA 17102 510423553 Student Loans PA 4062455 401436 PHEAA SL FND PHEAA Student Loan Trust 2013-3 1200 N 7th St Harrisburg PA 17102 510423553 Student Loans PA 10561021 246005158 PHEAA SL FND PHEAA Student Loan Trust 2014-1 1200 N 7th St Harrisburg PA 17102 510423553 Student Loan PA 11477130 265664096 PHEAA SL FND PHEAA Student Loan Trust 2014-2 1200 N 7th St Harrisburg PA 17102 510423553 Student Loan PA 12706432 301961883 PHEAA SL FND PHEAA Student Loan Trust 2014-3 1200 N 7th St Harrisburg PA 17102 510423553 Student Loans PA 11636671 284019331 PHEAA SL FND PHEAA Student Loan Trust 2015-1 1200 N 7th St Harrisburg PA 17102 510423553 Student Loan PA 14513322 350434347 PHEAA SL FND PHEAA Student Loan Trust 2016-1 1200 N 7th St Harrisburg PA 17102 510423553 Student loans PA 14175898 351456405 PHEAA SL FND PHEAA Student Loan Trust 2018-1 1200 N 7th St Harrisburg PA 17102 510423553 Student loans PA 12619295 405684512 PHEAA SL FND PHEAA Student Loan Trust 2016-2 1200 N 7th St Harrisburg PA 17102 510423553 Student loans PA 10302573 237053846 PHEAA SL FND Pennsylvania Higher Education Assistance 1200 N 7th St Harrisburg PA 17102 231693362 Student Loans PA n/a NA false false false false false false false false true false false false false true true true false false true false PHEAA h 421981907 Book Value PHEAA m 18827011 Book Value PHEAA o 777902 Book Value PHEAA r 3024849 Book Value