2019-03-04T09:32:42-06:00 2018-06-30 751044330 LANE GORMAN TRUBITT LLC 2626 HOWELL ST SUITE 700 DALLAS TX 75204 990 2017-07-01 750827460 ST MARK'S SCHOOL OF TEXAS STMA 2143468120 10600 PRESTON ROAD DALLAS TX 75230 SUZANNE TOWNSEND DIRECTOR OF FINANCE & ADMIN 2143468120 2019-02-25 1 MATTHEW D PECK CPA P00029866 2148717500 74.202.44.50 2019-02-25 15:37:50 CS P 4E957E137C0DA7269A9962E60BC4734AB919DB11 4E957E137C0DA7269A9962E60BC4734AB919DB11 2017 2019-02-21 02:37:17Z DAVID DINI 10600 PRESTON ROAD DALLAS TX 75230 77196986 0 X WWW.SMTEXAS.ORG X 1934 TX ST. MARK'S SCHOOL OF TEXAS IS A A NON-SECTARIAN, COLLEGE PREPARATORY INDEPENDENT DAY SCHOOL FOR BOYS IN GRADES 1 THROUGH 12. THE SCHOOL AIMS TO AFFORD ITS STUDENTS WELL-ROUNDED PHYSICAL, INTELLECTUAL AND SPIRITUAL EDUCATION. 51 51 309 500 21777 20777 24895545 11849243 21220107 22336615 5166287 6837884 844558 627930 52126497 41651672 2982010 2879633 0 0 20483378 21418683 108434 86696 1743381 9927251 12079040 33501073 36464052 18625424 5187620 244049412 255046416 23450003 25512257 220599409 229534159 X ST. MARK'S SCHOOL OF TEXAS IS A NON-SECTARIAN, COLLEGE PREPARATORY INDEPENDENT DAY SCHOOL FOR BOYS IN GRADES 1 THROUGH 12. THE SCHOOL IS DESIGNED TO AFFORD ITS STUDENTS WELL-ROUNDED PHYSICAL, INTELLECTUAL, MORAL, AND RELIGIOUS TRAINING AND INSTRUCTION. 0 0 21769837 2879633 21624401 INSTRUCTIONAL GRADES 1-12 - ST. MARK'S SCHOOL OF TEXAS IS A PRIVATE, NONPROFIT, NON-SECTARIAN, INDEPENDENT COLLEGE PREPARATORY DAY SCHOOL FOR BOYS IN GRADES 1 THROUGH 12. THE SCHOOL IS DESIGNED TO AFFORD ITS STUDENTS WELL-ROUNDED PHYSICAL, INTELLECTUAL, MORAL, AND RELIGIOUS TRAINING AND INSTRUCTION. THE SCHOOL HAS AN APPROXIMATE ENROLLMENT OF 875 BOYS. 573429 179552 NEW STUDENT/TESTING FEES - EXPENSES RELATED TO THE MATRICULATIONOF STUDENTS TO THE SCHOOL. 308223 435286 STUDENT ACTIVITIES - WIDE RANGING EXPENSES RELATED TONONINSTRUCTIONAL ACTIVITIES OF STUDENTS INCLUDING COMMENCEMENTEXERCISES, STUDENT COUNCIL EXPENSES, AND CLASS FIELD TRIPS. 68215 97376 EXTENDED DAY - AFTER SCHOOL CARE FOR BOYS IN GRADE 1-4. THE PROGRAM HAS AN ENROLLMENT OF APPROXIMATELY 60 BOYS. 68215 97376 22719704 1 1 0 0 0 0 0 0 0 1 1 1 0 0 0 1 1 0 1 0 0 0 0 1 1 1 0 0 1 1 1 0 0 0 0 0 0 0 1 0 1 1 0 0 0 0 0 0 0 0 1 146 1 1 309 1 1 1 0 0 0 0 1 1 0 0 0 0 X 51 51 1 0 0 0 0 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X SUZANNE TOWNSEND 2143468116 10600 PRESTON ROAD DALLAS TX 75230 X DAVID B ACKERMAN TRUSTEE 2.00 X 0 0 0 LYDIA B ADDY TRUSTEE 2.00 X 0 0 0 CRAIG W BUDNER TRUSTEE 2.00 X 0 0 0 DAVID A CAMPBELL TRUSTEE 2.00 X 0 0 0 DREW CLANCY TRUSTEE 2.00 X 0 0 0 RYAN N COTTON TRUSTEE 2.00 X 0 0 0 KATHERINE R CROW TRUSTEE 2.00 X 0 0 0 MARY BETH DUFFY TRUSTEE 2.00 X 0 0 0 HILLEL A FEINBERG TRUSTEE 2.00 X 0 0 0 ROBERT L FELDMAN TRUSTEE 2.00 X 0 0 0 JULIA C FLOWERS TRUSTEE 2.00 X 0 0 0 LAWRENCE F GARDNER TRUSTEE 2.00 X 0 0 0 DAVID G GENECOV TRUSTEE 2.00 X 0 0 0 JEFFREY S GENECOV TRUSTEE 2.00 X 0 0 0 WILLIAM D GRAUE TRUSTEE 2.00 X 0 0 0 JEFFREY S HILLIER TRUSTEE 2.00 X 0 0 0 BRADFORD R HIRSCH TRUSTEE 2.00 X 0 0 0 CLARK K HUNT VICE PRESIDENT 2.00 X X 0 0 0 DANIEL L HUNT TRUSTEE 2.00 X 0 0 0 VERA R INGRAM TRUSTEE 2.00 X 0 0 0 DEBBIE JENEVEIN TRUSTEE 2.00 X 0 0 0 OTIS B JENNINGS TRUSTEE 2.00 X 0 0 0 MELINDA D JOHNSON TRUSTEE 2.00 X 0 0 0 AMEE M JOSHI TRUSTEE 2.00 X 0 0 0 ERIC K KUSIN TRUSTEE 2.00 X 0 0 0 JUN IL KWUN TRUSTEE 2.00 X 0 0 0 LARRY LACERTE TRUSTEE 2.00 X 0 0 0 CRAIG R LEVERING TRUSTEE 2.00 X 0 0 0 FRASER E MARCUS TRUSTEE 2.00 X 0 0 0 DAVID R MCAFEE TRUSTEE 2.00 X 0 0 0 W CASEY MCMANEMIN TRUSTEE 2.00 X 0 0 0 GJON N NIVICA JR TRUSTEE 2.00 X 0 0 0 JON L MOSLE III PRESIDENT 2.00 X X 0 0 0 WAYNE B PLACIDE TRUSTEE 2.00 X 0 0 0 KAREN S POLLOCK TRUSTEE 2.00 X 0 0 0 VEERAL K RATHOD TRUSTEE 2.00 X 0 0 0 RYAN K ROBINSON TRUSTEE 2.00 X 0 0 0 JOHN C ROCCHIO TRUSTEE 2.00 X 0 0 0 RYAN T ROGERS TRUSTEE 2.00 X 0 0 0 ELLIOTTTOBY ROOSEVELT III TRUSTEE 2.00 X 0 0 0 C DAVID SAMMONS TRUSTEE 2.00 X 0 0 0 ALAN SCHOELLKOPF TRUSTEE 2.00 X 0 0 0 J CARL SEWELL III TRUSTEE 2.00 X 0 0 0 NATALIE H SIEGEL TRUSTEE 2.00 X 0 0 0 HAROLD C URSCHEL III TRUSTEE 2.00 X 0 0 0 A MICHAEL WARNECKE TREASURER 2.00 X X 0 0 0 HEATHER H WASHBURNE TRUSTEE 2.00 X 0 0 0 BRAD E WHITE TRUSTEE 2.00 X 0 0 0 TAYLOR H WILSON TRUSTEE 2.00 X 0 0 0 STEPHEN J ROGERS TRUSTEE 2.00 X 0 0 0 JONATHAN B MORGAN 90 TRUSTEE 2.00 X 0 0 0 DAVID DINI HEADMASTER 40.00 X 597388 0 33144 JOHN ASHTON ASSOCIATE HEADMASTER 40.00 X 318673 0 29403 SUZANNE TOWNSEND DIRECTOR OF FINANCE & ADMI 40.00 X 278836 0 27331 JOHN S JOLLY SR. DIRECTOR LEADERSHIP GI 40.00 X 197021 0 21635 MARK WEBB DIRECTOR OF PHYSICAL PLANT 40.00 X 151782 0 18348 KARL ANDREN HEAD OF UPPER SCHOOL 40.00 X 161338 0 94628 JAMES WOMACK DIRECTOR OF DEVELOPMENT 40.00 X 166175 0 44811 JAMES WINDLINGER CONTROLLER 40.00 X 146656 0 23169 ARNOLD HOLTBERG FORMER HEADMASTER 2.00 X 1437340 0 0 3455209 0 292469 42 1 1 0 HCBECK LTD THE BECK GROUP 1807 ROSS AVENUE SUITE 500 DALLAS TX 75201 COMMERCIAL CONSTR. & ARCHITECTURE 4750460 ARNOLD HOLTBERG 10600 PRESTON ROAD DALLAS TX 75230 CONSULTING SERVICES 1437340 SAGE DINING SERVICES 1402 YORK ROAD LUTHERVILLE MD 21093 FOOD SERVICE 673355 BOOTH COMMERCIAL SOLUTIONS 5619 DYER STREET DALLAS TX 75206 COMMERCIAL CONSTR. & ARCHITECTURE 647490 ROBERT AM STERN ARCHITECTS LLP ONE PARK AVENUE NEW YORK NY 10016 COMMERCIAL CONSTR. & ARCHITECTURE 629906 19 183275 11665968 783132 11849243 INSTRUCTIONAL GRADES 1 - 12 611710 21624401 21624401 STUDENT ACTIVITIES 611710 435286 435286 ADMISSIONS REVENUE 611710 179552 179552 EXTENDED DAY PROGRAM 611710 97376 97376 22336615 2593208 21777 2571431 36966311 32721635 4244676 4244676 4244676 355192 183275 309071 46121 46121 30150 50000 -19850 -19850 2984744 2464608 520136 520136 MISCELLANEOUS 611710 56891 56891 FORFEITED DEPOSITS 611710 24632 24632 81523 41651672 22418138 21777 7362514 2879633 2879633 1261533 513489 687743 60301 16261162 11836736 3470571 953855 944003 632905 258614 52484 1764995 1152158 503112 109725 1186990 786333 337105 63552 78183 78183 86696 86696 357689 357689 755762 162312 525780 67670 57608 20406 18322 18880 3608781 357976 3171644 79161 300553 300553 637537 637537 403672 310924 63162 29586 20404 20404 94655 69314 22004 3337 2805683 2527931 251593 26159 377569 377569 INSTITUTIONAL EXPENSES 689255 652774 36481 SPECIAL EVENTS 638784 395822 50987 191975 EQUIPMENT - RENTAL & RE 624359 1687 622672 EMPLOYEE EXPENSES 474986 22543 452443 153560 96208 57352 36464052 22719704 12000967 1743381 16038268 3672909 26531649 36801409 18841108 15877699 19853 7367 497595 202081 301727 60823 109662087 44685266 51797199 64976821 106485208 108588239 22556074 23791327 980731 1067741 244049412 255046416 4029309 6476637 15686396 15525083 3734298 3510537 23450003 25512257 X 50096123 62115273 114064515 110232559 56438771 57186327 220599409 229534159 244049412 255046416 X 5187620 3957954 -210824 X X 0 1 X 1 0 X 140147421 959239 10606456 2313054 2851576 357689 146190797 128427693 917630 16457760 2413696 2957691 284275 140147421 144763343 661008 -4817658 2297131 9554682 327187 128427693 147336322 2059215 898497 2049531 3103509 377651 144763343 131496916 1129383 20272938 1969246 3301892 291777 147336322 0.02590 0.39120 0.58290 1 0 2743588 2743588 75176075 35700283 39475792 6585842 5103544 1482298 25156582 3881439 21275143 64976821 HEDGE FUNDS 12635784 F PRIVATE EQUITY FUNDS 2612431 F COMMINGLED POOLS-FIXED INCOME 8543112 F 23791327 X 44983776 3957954 -549579 3408375 41575401 76271 76271 41651672 36049026 2464607 2464607 33584419 2879633 2879633 36464052 PART V, LINE 4: INTENDED USES OF THE ORGANIZATION'S ENDOWMENT FUNDS THE ENDOWMENT FUNDS ARE USED FOR FINANCIAL AID, FACULTY SUPPORT, PROGRAM SUPPORT, AWARDS, AND SUSTAINING THE FACILITIES. PART X, LINE 2: FIN 48 (ASC 740) FOLLOWING IS THE TEXT FROM THE FOOTNOTES OF THE ORGANIZATION'S AUDITED FINANCIAL STATEMENTS: THE SCHOOL IS EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(C)(3) OF THE UNITED STATES INTERNAL REVENUE CODE ACCORDING TO THE UNITED STATES INTERNAL REVENUE SERVICE ("IRS") DETERMINATION LETTER DATED AUGUST 25, 1971, EXCEPT TO THE EXTENT IT HAS UNRELATED BUSINESS INCOME. FOR THE YEARS ENDED JUNE 30, 2018 AND 2017, UNRELATED BUSINESS INCOME DID NOT RESULT IN ANY MATERIAL NET TAXABLE INCOME, THEREFORE NO PROVISION FOR INCOME TAX HAS BEEN PROVIDED IN THE ACCOMPANYING FINANCIAL STATEMENTS. THE SCHOOL IS REQUIRED TO FILE AN ANNUAL FORM 990-T WITH THE UNITED STATES INTERNAL REVENUE SERVICE FOR ANY UNRELATED BUSINESS INCOME. GAAP REQUIRES THE EVALUATION OF TAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN THE COURSE OF PREPARING THE SCHOOL'S FINANCIAL STATEMENTS TO DETERMINE WHETHER THE TAX POSITIONS ARE MORE LIKELY THAN NOT OF BEING SUSTAINED BY THE APPLICABLE TAX AUTHORITY. TAX POSITIONS NOT DEEMED TO MEET THE MORE LIKELY THAN NOT THRESHOLD WOULD BE RECORDED AS A TAX BENEFIT OR EXPENSE IN THE CURRENT YEAR. A RECONCILIATION IS NOT PROVIDED HEREIN, AS THE BEGINNING AND ENDING AMOUNTS OF UNRECOGNIZED BENEFITS ARE ZERO, WITH NO INTERIM ADDITIONS, REDUCTIONS, OR SETTLEMENTS. THE SCHOOL IS RELYING ON ITS TAX-EXEMPT STATUS AND ITS ADHERENCE TO ALL APPLICABLE LAWS AND REGULATIONS TO PRESERVE THAT STATUS. HOWEVER, THE CONCLUSIONS REGARDING THE UNCERTAINTY IN INCOME TAXES WILL BE SUBJECT TO REVIEW AND MAY BE ADJUSTED AT A LATER DATE BASED ON FACTORS INCLUDING, BUT NOT LIMITED TO, ONGOING ANALYSIS OF TAX LAWS, REGULATIONS, AND INTERPRETATIONS THEREOF. THE SCHOOL'S INFORMATIONAL RETURNS FILED WITH THE IRS ARE GENERALLY SUBJECT TO EXAMINATION FOR THREE YEARS AFTER THE LATER OF THE DUE DATE OR DATE OF FILING. AS A RESULT, THE SCHOOL IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS BY TAX AUTHORITIES FOR YEARS PRIOR TO 2015. PART XI, LINE 2D - OTHER ADJUSTMENTS: CHANGE IN VAULE OF SPLIT INTEREST TRUST 76,676. PLEDGE DISCOUNTS IN ACCORDANCE WITH ASC 958-605-30 -211,230. RECLASSIFICATION OF FINANCIAL AID GRANT -2,313,054. RECLASSIFICATION OF TUITION REMISSION -566,579. RECLASSIFICATION OF SELLING EXPENSES 2,464,608. PART XI, LINE 4B - OTHER ADJUSTMENTS: FUNDRAISING ACTIVITY REVENUE, NET 76,271. PART XII, LINE 2D - OTHER ADJUSTMENTS: RECLASSIFICATION OF SELLING EXPENSES (LUNCH FEES, TEXTBOOKS, STUDENT STORE) 2,464,607. PART XII, LINE 4B - OTHER ADJUSTMENTS: RECLASSIFICATION OF FINANCIAL AID GRANT 2,313,054. RECLASSIFICATION OF TUITION REMISSION 566,579. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 SCHEDULE E, PART I, LINE 3 ST. MARK'S SCHOOL OF TEXAS PUBLISHES ITS RACIALLY NONDISCRIMINATORY POLICY IN LOCAL PAPERS AT LEAST ONCE PER YEAR. THIS POLICY IS ALSO PUBLISHED ON THE ORGANIZATION'S WEBSITE. X X X 1 BARNES & ROCHE INC 919 CONESTOGA ROAD ROSEMONT PA 19010 CONSULTING 0 0 22045 0 CHARITABLE DEVELOPMENT CONSULTING PO BOX 1486 FREDERICK MD 21702 CONSULTING 0 0 64651 0 86696 TX CELEBRATE 2018 538467 183275 355192 194025 42590 15949 1500 55007 538467 183275 355192 194025 42590 15949 1500 55007 309071 46121 30150 50000 1 1.00000 30150 50000 50000 -19850 TX 0 RAFFLE EXPLANATIONTHE TEXAS CHARITABLE RAFFLE ENABLING ACT, EFFECTIVE JANUARY 1, 1990, PERMITS "QUALIFIED ORGANIZATIONS" TO HOLD UP TO TWO RAFFLES PER CALENDAR YEAR, WITH CERTAIN SPECIFIED RESTRICTIONS. THE ORGANIZATION IS NOT REQUIRED TO REGISTER WITH THE STATE BEFORE CONDUCTING A RAFFLE IF TWO OR LESS RAFFLES ARE HELD DURING THE CALENDAR YEAR. 0 0 0 1.00000 SUZANNE TOWNSEND 10600 PRESTON ROAD DALLAS TX 75230 0 SUZANNE TOWNSEND RECORDKEEPING X 0 SCHEDULE G, PART I, LINE 2B, COLUMN (V) COMPENSATION OF PROFESSIONAL FUNDRAISERS COMPENSATION AGREEMENTS FOR PAYMENTS TO PROFESSIONAL FUNDRAISERS DISTINGUISH BETWEEN PAYMENTS FOR SERVICES VERSUS REIMBURSEMENTS FOR FUNDRAISING EXPENSES. REIMBURSABLE EXPENSES INCLUDE THE FOLLOWING: $13,841 - TRAVEL, AIRFARE, LODGING, TELEPHONE ETC. SCHEDULE G, PART II FUNDRAISING EVENTS THE SCHOOL HELD A MAJOR EVENT DURING THE FISCAL YEAR. AN AUCTION WHICH HAD GROSS RECEIPTS OF $538,467 AND DIRECT EXPENSES OF $309,071, RESULTING IN A NET PROFIT OF $229,396. PER FORM 990 INSTRUCTIONS, THE SCHOOL IS REQUIRED TO RECLASS THE CHARITABLE CONTRIBUTION PORTION OF ITS FUNDRAISING GROSS RECEIPTS TO FORM 990, PART VIII, STATEMENT OF REVENUE, LINE 1C. 1 FINANCIAL AID TO STUDENTS ATTENDING ST. MARK'S 125 2313054 FMV N/A TUITION REMISSION TO STUDENTS ATTENDING ST. MARK'S 28 566579 FMV N/A PART I, LINE 2: PROCEDURES FOR MONITORING THE USE OF GRANT FUNDS. THE ORGANIZATION PROVIDES FINANCIAL AID TO STUDENTS ATTENDING THE SCHOOL. THE FINANCIAL AID IS PROVIDED SO LONG AS THE STUDENT CONTINUES TO MEET THE SCHOOL'S STANDARDS AND EXPECTATIONS AND SO LONG AS THE FAMILY'S NEEDS WARRANT SUCH AID. APPLICATION FOR FINANCIAL AID, HOWEVER, MUST BE MADE ANNUALLY AND IN ACCORDANCE WITH THE APRIL 15 DEADLINE. X X X X 1 1 X X X X X 0 0 0 0 0 0 0 0 0 DAVID DINI HEADMASTER 482744 0 100000 0 14644 0 18900 0 14244 0 630532 0 0 0 JOHN ASHTON ASSOCIATE HEADMASTER 291973 0 25000 0 1700 0 16200 0 13203 0 348076 0 0 0 SUZANNE TOWNSEND DIRECTOR OF FINANCE & ADMI 253836 0 25000 0 0 0 17955 0 9376 0 306167 0 0 0 JOHN S JOLLY SR. DIRECTOR LEADERSHIP GI 172021 0 25000 0 0 0 12303 0 9332 0 218656 0 0 0 MARK WEBB DIRECTOR OF PHYSICAL PLANT 151282 0 500 0 0 0 9150 0 9198 0 170130 0 0 0 KARL ANDREN HEAD OF UPPER SCHOOL 156338 0 5000 0 0 0 8638 0 85990 0 255966 0 0 0 JAMES WOMACK DIRECTOR OF DEVELOPMENT 141175 0 25000 0 0 0 9210 0 35601 0 210986 0 0 0 JAMES WINDLINGER CONTROLLER 136656 0 10000 0 0 0 10080 0 13089 0 169825 0 0 0 ARNOLD HOLTBERG FORMER HEADMASTER 1429897 0 0 0 7443 0 0 0 0 0 1437340 0 429895 0 PART I, LINE 1A BENEFITS PROVIDED TO OFFICERS, DIRECTORS, AND KEY EMPLOYEES DAVID DINI RECEIVED THE FOLLOWING BENEFITS, WHICH WERE REPORTED IN HIS TAXABLE COMPENSATION: -DISCRETIONARY SPENDING ACCOUNT -HOUSING ALLOWANCE OR RESIDENCE FOR PERSONAL USE -HEALTH OR SOCIAL CLUB DUES OR INITIATION FEES -PERSONAL SERVICES A HACKBERRY CULTURAL EDUCATION FACILITIES FINANCE CORPORATION 752237898 2015-08-17 4000000 REFINANCING LOAN 0 0 0 A 230000 4000000 52659 4000000 2015 1 0 1 1 A 0 1 0 0 0 0 0 0 0 A 0 PART III, LINE 9 AND PART IV, LINE 7 WRITTEN MONITORING PROCEDURES THE ORGANIZATION HAS REPRESENTED THAT IT WILL, AND COVENANTED TO, COMPLY WITH ALL TAX REQUIREMENTS IMPOSED BY THE CODE TO SATISFY SECTIONS 141 AND 145 THROUGH 150 OF THE CODE IN THE TAX CERTIFICATE AND LOAN AGREEMENT RELATED TO THE TAX-EXEMPT BOND ISSUE. OTHER THAN THESE REPRESENTATIONS AND COVENANTS, THE ORGANIZATION HAS NOT ADOPTED POST-ISSUANCE MONITORING PROCEDURES. THE ORGANIZATION REALIZES THAT POST-ISSUANCE MONITORING PROCEDURES ARE AN IMPORTANT TOOL IN THE MANAGEMENT OF ISSUES ARISING AFTER TAX-EXEMPT BONDS ARE ISSUED. WHILE THE ORGANIZATION DOES NOT CURRENTLY HAVE DETAILED WRITTEN PROCEDURES, IT HOWEVER HAS CONSULTANTS, WITH WHOM IT CONSULTS FROM TIME TO TIME ON AN AD HOC BASIS, INCLUDING BOND COUNSEL, TO ENSURE ONGOING COMPLIANCE WITH TAX AND SECURITIES LAWS. IN ADDITION, THE ORGANIZATION IS CONSIDERING ESTABLISHING ADDITIONAL POST-ISSUANCE MONITORING PROCEDURES TO ENSURE CONTINUED COMPLIANCE WITH SECTIONS 141 AND 145 THROUGH 150 OF THE CODE. PART V PROCEDURES TO UNDERTAKE CORRECTIVE ACTION THE SCHOOL WILL CONSIDER ADOPTING SPECIFIC WRITTEN PROCEDURES TO ENSURE TIMELY CORRECTION OF POTENTIAL VIOLATIONS OF FEDERAL TAX REQUIREMENTS RELATED TO ITS BOND ISSUE THROUGH THE USE OF THE VOLUNTARY CLOSING AGREEMENT PROGRAM IF SELF-REMEDIATION IS NOT AVAILABLE UNDER APPLICABLE REGULATIONS. HOWEVER, THE SCHOOL HAS COVENANTED IN ITS TRUST AGREEMENT AND OTHER DOCUMENTS RELATED TO ITS BOND ISSUE TO COMPLY WITH ALL APPLICABLE FEDERAL TAX REQUIREMENTS RELATED TO ITS BOND ISSUE. ADDITIONALLY, THE SCHOOL HAS COVENANTED TO MAINTAIN ALL REQUIRED RECORDS RELATED TO ITS BOND ISSUE FOR FEDERAL TAX COMPLIANCE AND ENGAGES AN EXPERT TO COMPUTE THE SCHOOL'S POTENTIAL REBATE LIABILITY UNDER APPLICABLE ARBITRAGE REBATE REGULATIONS, WHEN REQUIRED, TO ENSURE TIMELY COMPLIANCE WITH THESE REQUIREMENTS. ARNOLD HOLTBERG FORMER HEADMASTER 1437340 CONSULTING 0 PART IV, LINE 1 REFER TO SCHEDULE O FOR AN EXPLANATION OF ARNOLD HOLTBERG'S CONSULTING SERVICES. X 37 554557 SELLING PRICE X AUCTION 62 178575 FAIR MARKET VALUE 0 1 1 PART I, LINE 32B: USE THIRD PARTIES TO SOLICIT, PROCESS, OR SELL NONCASH CONTRIBUTIONS A STOCK BROKER IS USED TO SELL STOCK RECEIVED AS CONTRIBUTIONS FORM 990, PART VI, SECTION A, LINE 2 FAMILY AND BUSINESS RELATIONSHIPS HILLEL FEINBERG AND WAYNE PLACIDE - BUSINESS RELATIONSHIP JON MOSLE, III AND TAYLOR WILSON - BUSINESS RELATIONSHIP JON MOSLE, III AND CRAIG BUDNER - BUSINESS RELATIONSHIP JON MOSLE, III AND A. MICHAEL WARNECKE - BUSINESS RELATIONSHIP CLARK HUNT AND DANIEL HUNT - FAMILY RELATIONSHIP DAVID ACKERMANS AND A. MICHAEL WARNECK - BUSINESS RELATIONSHIP DAVID GENECOV AND CRAIG BUDNER - BUSINESS REALTIONSHIP FORM 990, PART VI, SECTION A, LINE 7A MEMBERS WHO MAY ELECT ONE OR MORE MEMBERS OF THE GOVERNING BODY A TRUSTEE COMMITTEE RECRUITS NEW TRUSTEES TO THE BOARD ON A YEARLY BASIS. THE COMMITTEE THEN SUBMITS THE NOMINATIONS TO THE EXECUTIVE COMMITTEE AND THE BOARD OF TRUSTEES WHO VOTE ON THE NOMINATIONS. FORM 990, PART VI, SECTION A, LINE 7B DECISIONS SUBJECT TO APPROVAL BY MEMBERS, STOCKHOLDERS, OR OTHER PERSONS THE ORGANIZATION HAS VARIOUS COMMITTEES WHO MEET AND MAKE RECOMMENDATIONS TO THE EXECUTIVE COMMITTEE. THE EXECUTIVE COMMITTEE REVIEWS THE RECOMMENDATIONS AND VOTES ON THE MATTERS. FORM 990, PART VI, SECTION B, LINE 11B REVIEW OF FORM 990 A DRAFT COPY OF THE FORM 990 IS SUBMITTED TO THE AUDIT COMMITTEE. THE COMMITTEE REVIEWS AND APPROVES THE TAX RETURN BEFORE IT IS FILED. ONCE THE RETURN HAS BEEN APPROVED, IT IS COMMUNICATED TO THE EXECUTIVE COMMITTEE AND THE BOARD OF TRUSTEES. FORM 990, PART VI, SECTION B, LINE 12C MONITORING AND ENFORCING CONFLICT OF INTEREST POLICY EACH YEAR EVERY TRUSTEE IS REQUIRED TO COMPLETE A CONFLICT OF INTEREST QUESTIONNAIRE. THE DIRECTOR OF FINANCE AND ADMINISTRATION REVIEWS EACH QUESTIONNAIRE FOR ANY ISSUES. FORM 990, PART VI, SECTION B, LINE 15 DETERMINING COMPENSATION COMPENSATION FOR EMPLOYEES IS DETERMINED BY REVIEWING THE EMPLOYEE'S PAST WORK HISTORY AND THE CURRENT YEAR BUDGET BY THE DEPARTMENT HEADS. THE DEPARTMENT HEADS THEN MAKE RECOMMENDATIONS TO THE HEADMASTER WHO THEN MAKES THE FINAL DETERMINATION FOR THE EMPLOYEE'S COMPENSATION. THE HEADMASTER'S COMPENSATION IS DETERMINED BY THE EXECUTIVE COMMITTEE WHO IS ADVISED BY COMPENSATION CONSULTANTS AND BY COMPARING COMPENSATION TO OTHER COMPARABLE INDEPENDENT SCHOOL'S DATA. FORM 990, PART VI, SECTION C, LINE 19 AVAILABILITY OF DOCUMENTS TO THE PUBLIC AVAILABLE UPON REQUEST. FORM 990, PART VII, SECTION A, LINE 52 FORMER AND CURRENT HEADMASTER RETIREMENT BENEFIT THE SCHOOL HAS AN AGREEMENT WITH A FORMER, RETIRED EMPLOYEE REGARDING HIS RETIREMENT AND DEFERRED COMPENSATION. COMMENCING UPON HIS RETIREMENT, WHICH OCCURRED ON JUNE 30, 2014, AND CONTINGENT UPON HIS CONTINUING TO PROVIDE SUBSTANTIAL CONSULTING SERVICES TO THE SCHOOL, THE AGREEMENT PROVIDES THAT THE SCHOOL WILL PAY THE FORMER EMPLOYEE $150,000 PER YEAR WITH ANNUAL INCREASES OF 3% UNTIL THE ANNUAL BENEFIT REACHES A MAXIMUM OF $200,000 PER YEAR. AS LONG AS THE FORMER EMPLOYEE CONTINUES TO PROVIDE THOSE CONSULTING SERVICES, THE SCHOOL WILL PAY THE CONSULTING FEES THAT HE WOULD HAVE EARNED HAD HE RETIRED AT AGE 60. PAYMENTS OF THOSE FEES WERE DEFERRED UNTIL HIS ACTUAL RETIREMENT, AND THEN ARE TO BE SPREAD OUT OVER THE REMAINING CONSULTING PERIOD ENDING AT AGE 70. UPON ATTAINMENT OF AGE 70, AND ASSUMING THAT THE FORMER EMPLOYEE HAS CONTINUED TO PROVIDE THE CONSULTING SERVICES, THE SCHOOL WILL PAY THE FORMER EMPLOYEE AN ADDITIONAL LUMP SUM. DURING 2018, THE FORMER EMPLOYEE COVERED BY THE AGREEMENT ATTAINED THE AGE OF 70 AND ALL CONSULTING FEES, INCLUDING THE ADDITIONAL LUMP SUM, EARNED WERE PAID PER THE AGREEMENT. THE SCHOOL ALSO HAS AN AGREEMENT WITH A CURRENT EMPLOYEE REGARDING DEFERRED COMPENSATION. THE AGREEMENT PROVIDES THAT THE SCHOOL MAKE AN UNVESTED CREDIT OF $150,000 TOWARDS THE EMPLOYEE'S DEFERRED COMPENSATION ACCOUNT DURING THE YEAR ENDED JUNE 30, 2018. ADDITIONALLY, THE SCHOOL WILL ANNUALLY CREDIT TO SUCH ACCOUNT, AS AN UNVESTED ACCRUAL, AN ADDITIONAL $75,000 AS OF JUNE 30 OF EACH YEAR, BEGINNING WITH JUNE 30, 2018, AND CEASING ON JUNE 30, 2024. ALL THEN-ACCRUED CREDITS SHALL VEST AND BECOME PAYABLE UPON TEN YEARS OF CONSECUTIVE EMPLOYMENT ON A SUBSTANTIALLY FULL-TIME BASIS AS AN EMPLOYEE. THE PAYMENT OF THE AMOUNT VESTED WILL BE MADE AS A LUMP SUM PAYMENT LESS ANY REQUIRED TAX WITHHOLDING. DURING 2018, THE EMPLOYEE COVERED BY THE AGREEMENT ACCRUED THE AFOREMENTIONED AMOUNTS, WHICH WERE RECORDED IN INVESTMENTS - DEFERRED COMPENSATION PLANS AND ACCRUED INTEREST AND OTHER LIABILITIES IN THE ACCOMPANYING STATEMENT OF FINANCIAL POSITION. FORM 990, PART XI, LINE 9: CHANGE IN VALUE OF SPLIT INTEREST A 76,676. PLEDGE DISCOUNT IN ACCORDANCE WITH ASC 958-605-30 -211,230. FUNDRAISING ACTIVITY, NET REVENUES & EXPENSES -76,270. FORM 990, PART XII, LINE 2C NO CHANGE FOR THE CURRENT YEAR.