2019-05-14T11:59:43-05:00 2018-06-30 340677006 MALONEY NOVOTNY LLC 1111 SUPERIOR AVE SUITE 700 CLEVELAND OH 441142540 990 2017-07-01 340714390 WESTERN RESERVE ACADEMY WEST 3306504400 115 COLLEGE STREET HUDSON OH 442362926 THOMAS ARNOLD CFO 3306504400 2019-05-13 1 CHRISTOPHER B ANDERSON P00226559 2163630100 104.230.116.97 2019-05-11 08:14:33 ED P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 F0962BFF9ACD815FD594AA84AFE8725155222DCF 2017 2019-02-21 02:37:17Z CHRISTOPHER D BURNER 115 COLLEGE STREET HUDSON OH 442362926 54730993 0 X WWW.WRA.NET X 1826 OH A WESTERN RESERVE ACADEMY EDUCATION OFFERS A TRANSFORMATIONAL EXPERIENCE WHERE STUDENTS STRIVE FOR EXCELLENCE, LIVE WITH INTEGRITY, AND ACT WITH COMPASSION. 22 22 263 50 -136795 -136795 12350449 7937589 20366555 19968721 7524566 6460879 26083 5646 40267653 34372835 6799960 6658099 0 0 12519011 12531452 0 0 1644876 13488005 12902537 32806976 32092088 7460677 2280747 176008942 188720015 26388710 27252363 149620232 161467652 THE MISSION OF THE ACADEMY IS AS FOLLOWS: A WESTERN RESERVE ACADEMY EDUCATION OFFERS A TRANSFORMATIONAL EXPERIENCE WHERE STUDENTS STRIVE FOR EXCELLENCE, LIVE WITH INTEGRITY, AND ACT WITH COMPASSION. 0 0 26400173 6658099 19968721 THE ACADEMY IS A SECONDARY CO-EDUCATIONAL SCHOOL WITHAPPROXIMATELY 400 STUDENTS. OUR FACULTY CULTIVATES INTELLECTUALCURIOSITY THROUGH A CHALLENGING COLLEGE PREPARATORY PROGRAM; OURSTUDENTS PURSUE A RIGOROUS LIBERAL ARTS CURRICULUM AND ENGAGE INOPPORTUNITIES BEYOND THE CLASSROOM IN ARTS, ATHLETICS, ANDSERVICE, ENSURING GROWTH IN MIND, BODY, AND SPIRIT. THE ACADEMY'SCLOSE-KNIT COMMUNITY INSTILLS INDIVIDUAL AND SOCIALRESPONSIBILITY, WHILE PREPARING STUDENTS AS CITIZENS AND LEADERSIN AN INCREASINGLY INTERCONNECTED WORLD. 26400173 1 1 0 0 0 0 0 0 0 1 1 1 0 0 1 1 1 0 1 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 20 0 1 263 1 1 1 0 0 0 0 1 1 0 0 0 0 X 22 22 0 0 0 0 0 0 0 1 1 0 0 0 1 1 1 1 1 1 1 0 OH X THOMAS ARNOLD 3306504400 115 COLLEGE STREET HUDSON OH 442362926 STEPHAN W COLE VICE PRESIDENT BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 SUZANNE DAY SECRETARY BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 DAGMAR F FELLOWES TRUSTEE 1.00 0.00 X 0 0 0 JOHN M FOWLER TREASURER BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 MARTIN D FRANKS TRUSTEE 1.00 0.00 X 0 0 0 R MARK HAMLIN JR TRUSTEE 1.00 0.00 X 0 0 0 OLIN J HEESTAND JR TRUSTEE 1.00 0.00 X 0 0 0 JOHN P HEWKO TRUSTEE 1.00 0.00 X 0 0 0 NATHANIEL E LEONARD TRUSTEE 1.00 0.00 X 0 0 0 CECILY PRYCE MAGUIRE TRUSTEE 1.00 0.00 X 0 0 0 ANDREW R MIDLER CO-PRESIDENT BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 TERRY L SQUIRE TRUSTEE 1.00 0.00 X 0 0 0 TIMOTHY R WARNER CO-PRESIDENT BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 DANIEL H BAYLY TRUSTEE 1.00 0.00 X 0 0 0 H WILLIAM CHRIST TRUSTEE 1.00 0.00 X 0 0 0 CLIFTON D HOOD TRUSTEE 1.00 0.00 X 0 0 0 DALE G KRAMER TRUSTEE 1.00 0.00 X 0 0 0 ANNE CACIOPPO MANGANARO TRUSTEE 1.00 0.00 X 0 0 0 XUNING WANG TRUSTEE 1.00 0.00 X 0 0 0 MARK J WELSHIMER TRUSTEE 1.00 0.00 X 0 0 0 JASON M WORTENDYKE TRUSTEE 1.00 0.00 X 0 0 0 ANTHONY WYNSHAW-BORRIS TRUSTEE 1.00 0.00 X 0 0 0 CHRISTOPHER D BURNER HEAD OF SCHOOL 40.00 0.00 X 371606 0 154521 THOMAS P ARNOLD CHIEF FINANCIAL OFFICER 40.00 0.00 X 225596 0 44889 MARK L LAFONTAINE ASST HEAD OF SCHOOL-ADVANCEMENT 40.00 0.00 X 272032 0 67171 KATHRYN MUELLER ASSOC. HEAD OF SCHOOL 40.00 0.00 X 199742 0 62448 NANCY C HOVAN DIRECTOR OF ADMISSION 40.00 0.00 X 133646 0 90005 JEFFREY JACOT DIRECTOR OF FACILITIES 40.00 0.00 X 136876 0 29265 DANIEL J MORRISSEY DEAN OF ADMISSIONS & FINANCIAL AID 40.00 0.00 X 131596 0 92834 MARGARET COLAFELLA DIRECTOR OF COMMUNICATIONS & MARKETING 40.00 0.00 X 123153 0 20248 MATTHEW GERBER CHIEF INNOVATION OFFICER 40.00 0.00 X 121096 0 54261 1715343 0 615642 13 0 1 0 FLIK CO COMPASS GROUP USA PO BOX 91337 CHICAGO IL 606931337 FOOD SERVICE 1402635 UNDERWOOD PAINTING INC 3509 SHADE ROAD AKRON OH 44333 PAINTING 823286 MACLACHLAN CORNELIUS & FILONI 200 THE BANK TOWER PITTSBURGH PA 15222 ARCHITECTURAL 599444 VIZMEG LANDSCAPE INC 778 MCCAULEY ROAD SUITE 100 STOW OH 44224 LAWN SERVICE 409638 CAMBRIDGE ASSOCIATES 125 HIGH STREET BOSTON MA 02110 INVESTMENT ADVISORY 259154 9 14354 7923235 1275002 7937589 BOARDING STUDENTS TUITION 611110 12794600 12794600 DAY STUDENTS TUITION 611110 6040950 6040950 RELATED ENTERPRISES 611110 1133171 1133171 19968721 2765405 -136795 2902200 24042726 20347252 3695474 3695474 3695474 16552 14354 10906 5646 5646 34372835 19968721 -136795 6603320 6658099 6658099 1031150 345815 383305 302030 8174228 6533718 1070599 569911 950192 710115 150074 90003 1689617 1336040 221024 132553 686265 512872 108389 65004 13652 6826 6826 72089 72089 892750 892750 1237500 1175625 37125 24750 380070 380070 340016 323016 10200 6800 487386 463016 14622 9748 2273019 2159368 68191 45460 347965 217581 11621 118763 17625 16774 851 806822 806822 2631086 2499531 78933 52622 252823 240182 7585 5056 FOOD SERVICE 1167846 1167846 OTHER 1067235 739026 106033 222176 RESTRICTED STUDENT EXP. 499901 499901 AUXILIARY ENTERPRISES 414752 414752 32092088 26400173 4047039 1644876 7453020 3865541 6544202 5580878 126836 163911 9467 7724 217401 208755 435179 306143 96332153 35452678 52867989 60879475 37793616 36399491 70443685 81183949 117547 124148 176008942 188720015 1412890 1724493 3475877 3980105 15425563 19855595 4000000 0 2074380 1692170 26388710 27252363 X 37961979 49049648 23660422 17980261 87997831 94437743 149620232 161467652 176008942 188720015 X 2280747 9306303 260370 X 0 1 X 1 0 X 5924406 5509182 11159345 12350449 7937589 42880971 5924406 5509182 11159345 12350449 7937589 42880971 4359812 38521159 2936072 1696493 1196525 4146927 2765405 12741422 208989 61784 39115 50107 16552 376547 55998940 95322179 0.68790 0.66360 X SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: SPECEVENTS REVENUE - 2013 AMOUNT: $ 208,989. 2014 AMOUNT: $ 61,784. 2015 AMOUNT: $ 39,115. 2016 AMOUNT: $ 50,107. 2017 AMOUNT: $ 16,552. 58299445 2077516 6867190 4499695 62744456 54343660 4480483 3982533 4507231 58299445 59745969 1953495 -2907488 4448316 54343660 62874496 1548356 -1426723 3250160 59745969 56060560 3505111 6725754 1012870 2404059 62874496 0.12300 0.62800 0.24900 0 0 1636412 1636412 78363874 30999226 47364648 4642187 4453452 188735 11689680 11689680 60879475 ALTERNATIVE INVESTMENTS 81183949 F 81183949 ANNUITIES PAYABLE 781016 INTEREST RATE SWAP 911154 1692170 X 36388659 9306303 260370 9566673 26821986 892750 6658099 7550849 34372835 24541239 0 24541239 892750 6658099 7550849 32092088 PART V, LINE 4: INTENDED USE OF ENDOWMENT FUNDS - THE ACADEMY INVESTS ENDOWMENT FUNDS ACCORDING TO BOARD-APPROVED INVESTMENT POLICIES WHICH GOVERN ASSET ALLOCATION IN AN EFFORT TO REDUCE RISK OF LOSS AND TO GENERATE A REAL ANNUAL COMPOUND RATE OF RETURN AT LEAST EQUAL TO THE ANNUAL PAYOUT PERCENTAGE. THE ANNUAL PAYOUT FROM ENDOWMENT FUNDS WAS BASED ON A DRAW OF 4.5% OF THE 5-YEAR AVERAGE WEIGHTED MARKET VALUE OF INVESTABLE ASSETS IN THE PERMANENTLY RESTRICTED FUND PLUS AN AMOUNT TO COVER DEBT SERVICE COSTS AND IS SUBJECT TO BOARD APPROVAL. THE PAYOUT IS SPENT ON ACTIVITIES WHICH FURTHER THE EXEMPT EDUCATIONAL PURPOSES OF THE ACADEMY. PART X, LINE 2: FIN 48 (ASC 740) FOOTNOTE - FEDERAL INCOME TAXES: THE ACADEMY IS A NOT-FOR-PROFIT ORGANIZATION AS DESCRIBED IN SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AND IS EXEMPT FROM FEDERAL INCOME TAXES. THERE WERE NO UNRECOGNIZED TAX BENEFITS AS OF JUNE 30, 2018. AS OF JUNE 30, 2018, THE ACADEMY'S INCOME TAX RETURNS REMAIN SUBJECT TO EXAMINATION BY THE INTERNAL REVENUE SERVICE, AS WELL AS VARIOUS STATE AND LOCAL TAXING AUTHORITIES, GENERALLY FOR THREE YEARS. PART XI, LINE 2D - OTHER ADJUSTMENTS: CHANGE IN VALUE OF INTEREST RATE SWAP 330,204. CHANGE IN SPLIT INTEREST AGREEMENTS -69,834. PART XI, LINE 4B - OTHER ADJUSTMENTS: STUDENT FINANCIAL AID, WHICH WAS NETTED WITH TUITION REVENUE ON THE FINANCIAL STATEMENTS BUT SHOWN AS AN EXPENSE IN PART IX OF FORM 990 6,658,099. PART XII, LINE 4B - OTHER ADJUSTMENTS: STUDENT FINANCIAL AID, WHICH WAS NETTED WITH TUITION REVENUE ON THE FINANCIAL STATEMENTS BUT SHOWN AS AN EXPENSE IN PART IX OF FORM 990 6,658,099. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 SCHEDULE E, PART I, LINE 3 WESTERN RESERVE ACADEMY PUBLICIZES IN LOCAL NEWSPAPERS DURING THE TIME WHICH IS THE PERIOD OF STUDENT SOLICITATION GOLF OUTING 30906 14354 16552 10757 149 30906 14354 16552 10757 149 10906 5646 1 SCHOLARSHIPS FOR STUDENTS 203 6658099 0 MONITORING USE OF GRANT FUNDS - PART I, LINE 2: THE ACADEMY ENSURES THAT ITS FINANCIAL AID GRANTS ARE USED FOR EDUCATIONAL PURPOSES BY CREDITING THE AMOUNTS DIRECTLY TO THE STUDENTS' ACCOUNTS RATHER THAN ISSUING CHECKS. X X X 1 1 X X X 0 0 0 0 0 0 0 0 0 CHRISTOPHER D BURNER HEAD OF SCHOOL 301806 0 65000 0 4800 0 35305 0 119216 0 526127 0 0 0 THOMAS P ARNOLD CHIEF FINANCIAL OFFICER 205596 0 20000 0 0 0 24438 0 20451 0 270485 0 0 0 MARK L LAFONTAINE ASST HEAD OF SCHOOL-ADVANCEMENT 262032 0 10000 0 0 0 30400 0 36771 0 339203 0 0 0 KATHRYN MUELLER ASSOC. HEAD OF SCHOOL 169742 0 30000 0 0 0 20412 0 42036 0 262190 0 0 0 NANCY C HOVAN DIRECTOR OF ADMISSION 133646 0 0 0 0 0 15939 0 74066 0 223651 0 0 0 JEFFREY JACOT DIRECTOR OF FACILITIES 129376 0 7500 0 0 0 15477 0 13788 0 166141 0 0 0 DANIEL J MORRISSEY DEAN OF ADMISSIONS & FINANCIAL AID 119596 0 12000 0 0 0 14548 0 78286 0 224430 0 0 0 MATTHEW GERBER CHIEF INNOVATION OFFICER 116096 0 0 0 5000 0 14145 0 40116 0 175357 0 0 0 PART I, LINE 1A BENEFITS PROVIDED TO CERTAIN OFFICERS - THE FOLLOWING ARE PROVIDED HOUSING AS A PART OF HIS/HER JOB DUTIES: HEAD OF SCHOOL, THE ASSOCIATE HEAD OF SCHOOL, THE DEAN OF ADMISSIONS, THE DIRECTOR OF COLLEGE COUNSELING, AND THE CHIEF INNOVATION OFFICER. ADDITIONALLY, DUES FOR ONE SOCIAL CLUB ARE PAID BY WESTERN RESERVE ACADEMY FOR THE HEAD OF SCHOOL. THE SOCIAL CLUB IS USED ONLY FOR ACADEMY BUSINESS. NEITHER HOUSING NOR THE SOCIAL CLUB DUES ARE TREATED AS TAXABLE COMPENSATION. THE HEAD OF SCHOOL ALSO RECEIVES HOUSEKEEPING SERVICES. A DEVFINAUTHORITY OF SUMMIT COUNTY-SERIES 2017A 341765940 2017-07-01 19820000 REFINANCING OF 2011 BONDS 0 0 0 B DEVFINAUTHORITY OF SUMMIT COUNTY-SERIES 2017B 341765940 2018-06-05 1261973 CONSTRUCTION-BRIDGE FINANCING 0 0 0 A 19350000 19820000 250000 1 0 1 1 B 1261973 0 0 0 0 A 0 0 0 0 0 0 0 B 0 0 0 0 0 0 0 A 0 1 0 0 1 1 FNB OF PA 14.000000000000 0 0 0 0 1 B 0 1 0 0 0 0 0 0 1 A 0 B 0 X 44 1275002 FMV X FIREWORKS DISPLAY 1 0 N/A X COMPUTER & ELECTRONIC EQUIPMENT 2 0 N/A X PING PONG TABLE 1 0 N/A 0 1 1 PART I, LINE 32B: USE OF THIRD PARTIES - THE ACADEMY USES A SECURITIES BROKER TO SELL DONATED SECURITIES. THE FEES CHARGED BY THE BROKER ARE AT OR BELOW FAIR MARKET VALUE. FORM 990, PART VI, SECTION B, LINE 11B FORM 990 REVIEW - FORM 990 IS REVIEWED BY A COMMITTEE OF THE BOARD OF TRUSTEES WITH THE BOARD'S AUTHORITY TO OVERSEE THE FILING PROCESS. FORM 990, PART VI, SECTION B, LINE 11B FORM 990 PROVIDED TO GOVERNING BODY - BECAUSE OF THE CONFIDENTIAL NATURE OF DONOR INFORMATION, THE ACADEMY HAS CHOSEN NOT TO SHARE THE NAMES AND ADDRESSES OF DONORS LISTED ON SCHEDULE B WITH THE BOARD OF TRUSTEES. THEREFORE, THE ACADEMY PROVIDED A COPY OF FORM 990 TO THE BOARD BUT REDACTED THE NAMES AND ADDRESSES OF DONORS FROM SCHEDULE B. AS SUCH, WE ARE REQUIRED TO ANSWER "NO" TO THE QUESTION ON LINE 11A OF PART VI EVEN THOUGH THE BOARD WAS GIVEN FORM 990 BEFORE IT WAS FILED. FORM 990, PART VI, SECTION B, LINE 12C MONITORING AND ENFORCEMENT OF CONFLICT POLICY - THE CONFLICT OF INTEREST QUESTIONNAIRES ARE REVIEWED BY THE EXECUTIVE COMMITTEE OF THE BOARD OF TRUSTEES. SIGNIFICANT ISSUES ARE DISCUSSED AND RESOLVED. WHEN A CONFLICT ARISES, THE INDIVIDUAL IS NOT PERMITTED TO PARTICIPATE IN THE DISCUSSION OF THE TRANSACTION OR TO VOTE ON THE MATTER. THE DECISION ABOUT THE TRANSACTION IS MADE BY PERSONS WHO ARE INDEPENDENT OF THE INDIVIDUAL WITH THE CONFLICT. FORM 990, PART VI, SECTION B, LINE 15 COMPENSATION REVIEW AND APPROVAL - IN MAY, 2017, MEMBERS OF THE BOARD OF TRUSTEES WERE GIVEN COMPARABILITY DATA FOR ALL MEMBERS OF THE HEAD OF SCHOOL COMMITTEE. THE HEAD OF SCHOOL WAS INVOLVED IN THE DISCUSSIONS FOR THE COMPENSATION FOR THE MEMBERS OF THE HEAD OF SCHOOL COMMITTEE BUT WAS NOT PRESENT FOR THE DISCUSSION OF HIS OWN COMPENSATION. TRUSTEES DETERMINED THE HEAD OF SCHOOL'S COMPENSATION BASED UPON HIS PERFORMANCE RELATIVE TO OTHER SIMILAR POSITIONS. COMPENSATION DECISIONS ARE MADE BY PERSONS WHO ARE INDEPENDENT OF THE EMPLOYEES FOR WHOM COMPENSATION IS BEING DETERMINED. FORM 990, PART VI, SECTION C, LINE 19 AVAILABILITY OF DOCUMENTS - THE ACADEMY'S FINANCIAL STATEMENTS ARE AVAILABLE TO THE PUBLIC UPON REQUEST. THE ACADEMY DOES NOT MAKE ITS GOVERNING DOCUMENTS OR CONFLICT POLICY AVAILABLE. FORM 990, PART XI, LINE 9: CHANGE IN VALUE OF INTEREST RATE SWAP 330,204. CHANGE IN SPLIT INTEREST AGREEMENTS -69,834.