2018-10-26T16:30:39-05:00 2018-06-30 810385940 ANDERSON ZURMUEHLEN & CO PC PO BOX 1040 HELENA MT 59624 990 2017-07-01 810393527 MONTANA HIGHER EDUCATION STUDENT ASSISTANCE CORPORATION MONT 4064957800 PO BOX 5209 HELENA MT 59604 MICHAEL GREEN PRESIDENT 4064957800 2018-10-11 1 SUZANNE M SEVERIN P00254608 4064421040 2018-10-09 71.92.235.245 2018-10-11 10:15:05 MD P 878F3C3291B4B23C4B2B008D12323EEF627382D3 11F274F4A2C32A2BFAECE73F2982024E5B511D5D 2017 2018-06-14 16:35:46Z MICHAEL GREEN PO BOX 5209 HELENA MT 59604 30007913 0 X WWW.MHESAC.ORG X 1980 MT DEDICATED TO HELPING MONTANA CITIZENS FINANCE AND ACHIEVE THEIR POST-SECONDARY EDUCATION GOALS. 7 7 0 133 2365 1365 937332 272473 28192935 29583997 424352 149078 0 2365 29554619 30007913 508339 294467 0 0 11550 12600 0 0 1174 32955925 32610844 33475814 32917911 -3921195 -2909998 859565581 755743439 768124859 667197318 91440722 88546121 X MHESAC OFFERS BORROWER BENEFITS IN THE FORM OF PRINCIPAL AND INTEREST RATE REDUCTIONS TO EXISTING STUDENT LOAN BORROWERS. THROUGH ITS REACH HIGHER MONTANA (RHM) PROGRAMS, IT PROVIDES A RANGE OF SERVICES THAT INCLUDES OUTREACH, SCHOLARSHIPS AND EDUCATION FINANCE PLANNING. 0 0 30607749 29583997 ACQUISITION AND SERVICING OF GUARANTEED STUDENT LOANS AS A SECONDARY STUDENT LOAN MARKET FOR THE FEDERAL FAMILY EDUCATION LOAN PROGRAM (FFELP). BENEFITS PROVIDED TO BORROWERS THROUGH REBATE, INCENTIVE, AND RATE REDUCTION PROGRAMS TOTALED $911 THOUSAND FOR 16,665 BORROWERS IN FISCAL YEAR 2018. $57 MILLION IN BENEFITS HAVE BEEN PROVIDED TO BORROWERS SINCE INCEPTION OF BORROWER BENEFIT PROGRAMS IN 1996. SINCE INCEPTION, MHESAC HAS PROVIDED MORE THAN $3.7 BILLION IN STUDENT LOANS TO OVER 241,000 BORROWERS. 1160184 163967 COMMUNITY OUTREACH PROGRAMS FOCUS ON CONNECTING HIGH SCHOOL AND COLLEGE STUDENTS TO RESOURCES NECESSARY FOR THE PURSUIT OF POST SECONDARY EDUCATION. 510510 PROVIDE OUTREACH AND SUPPORT TO STUDENTS THROUGH LOCAL OUTREACH OFFICES. 135500 130500 DELIVER AND ADMINISTER SCHOLARSHIPS AND GRANTS TO MONTANA STUDENTS TO HELP FUND THEIR HIGHER EDUCATION. 135500 130500 32413943 1 1 0 1 0 0 0 0 0 1 0 0 1 0 1 1 1 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 1 15 0 1 0 1 1 0 0 0 0 0 0 0 0 0 X 7 7 1 1 0 0 0 1 0 1 1 0 0 1 1 1 1 1 1 1 1 0 X X THE ORGANIZATION 4064957800 303 IRENE STREET HELENA MT 59601 LILA TAYLOR DIRECTOR 1.00 X 1800 150 0 WILLIAM THOMAS VICE-CHAIR 3.00 X 1800 0 0 MICHAEL GREEN BOARD CHAIR/PRESIDENT 3.00 X X 1800 0 0 GEORGE OLSEN DIRECTOR/SECRETARY/TREASURER 1.00 X X 1800 0 0 CASEY LOZAR DIRECTOR 1.00 X 1650 0 0 KIM CUNNINGHAM DIRECTOR 1.00 X 1650 1800 0 TERRY COSGROVE DIRECTOR 1.00 X 1650 1650 0 CLAYTON CHRISTIAN EX OFFICIO DIRECTOR 1.00 X 0 0 0 SHANNON STOBER DIRECTOR 1.00 X 0 0 0 JOLENE SELBY CFO 11.00 42.00 X 0 143126 31567 JAMES STIPCICH CEO 7.00 39.00 X 0 196518 23103 RON MUFFICK VICE-PRESIDENT 1.00 X 0 0 0 12150 343244 54670 0 0 1 0 STUDENT ASSISTANCE FOUNDATION PO BOX 5209 HELENA MT 59604 MGMT & LOAN SERVICES, PROGRAMS DELIVERY 6420999 1 266087 6386 272473 INTEREST & SPECIAL ALLOWANCE 611710 29788899 29788899 LOAN PURCHASE PROGRAM 611710 16982 16982 LOSS ON BOND REDEMPTION 611710 -221884 -221884 29583997 149078 149078 COMMUTING EXPENSE-PARKING 611710 2365 2365 2365 30007913 29583997 2365 149078 60000 60000 234467 234467 12600 12600 3246873 3243884 2989 21289 21289 266466 183605 82881 -20 95511 95415 90 6 87249 56301 29760 1188 56426 36771 19655 112660 106937 5723 98928 95507 3421 18485843 18485843 2167850 2164453 3397 53877 32882 20995 CONSOLIDATION LOAN FEES 6528762 6528762 CONTRACT LABOR 1184690 913597 271093 LENDER LOAN AND INCENTI 77461 77461 OTHER GRANTS 54431 54431 72528 43628 28900 32917911 32413943 502793 1174 3743491 4572698 20565063 22142699 5736823 7418467 1247739 249199 647605 650949 811682756 704416588 15942104 16292839 859565581 755743439 3398802 2496795 764726057 664700145 0 378 768124859 667197318 X 91440722 88546121 91440722 88546121 859565581 755743439 X -2909998 1459 13621 317 X X 0 1 X 1 0 X 937331 272473 1209804 34690949 30891017 29232697 28192935 29583997 152591595 34690949 30891017 29232697 29130266 29856470 153801399 0 0 0 153801399 275605 277779 314663 424352 149078 1441477 275605 277779 314663 424352 149078 1441477 34966554 31168796 29547360 29554618 30005548 155242876 0.99070 0.99040 0.00930 0.00960 X 0 0 0 0 0 0 0 0 1 3183 3183 0 PART II-B, LINE 1: EDUCATION FINANCE COUNCIL PORTION OF NONDEDUCTIBLE DUES PAID TO EDUCATION FINANCE COUNCIL THAT WERE ATTRIBUTABLE TO LOBBYING ACTIVITIES. MONTANA HIGHER EDUCATION STUDENT ASSISTANCE CORPORATION IS NOT INVOLVED IN THE MANAGEMENT OF, CONTROLLED BY OR RELATED TO THE EDUCATION FINANCE COUNCIL. $3,183 647605 3344 650949 645448 2157 647605 1.00000 0.00000 0.00000 0 0 0 EDUCATIONAL LOANS RECEIVABLE, NET OF ALLOWANCE 704416588 C 704416588 286 STATE INCOME TAX LIABILITY 92 378 X 30023312 1460 13621 15081 30008231 -318 -318 30007913 32917911 0 32917911 0 32917911 PART V, LINE 4: FUNDS TO BE USED FOR PROGRAMS. PART X, LINE 2: MHESAC IS A NOT-FOR-PROFIT CORPORATION EXEMPT FROM TAXATION UNDER INTERNAL REVENUE CODE 501(C)(3). ACCORDINGLY, NO PROVISION FOR INCOME TAXES HAS BEEN NECESSARY IN THE PAST. ON DECEMBER 22, 2017, THE TAX CUTS AND JOBS ACT WAS SIGNED INTO LAW. INCLUDED IN THIS BILL WAS A PROVISION THAT SPECIFIED THAT AMOUNTS INCURRED FOR CERTAIN QUALIFIED TRANSPORTATION BENEFITS, INCLUDING QUALIFIED PARKING, ARE NOW NOT DEDUCTIBLE, EVEN BY NOT-FOR-PROFITS. THE RHM OFFICES ARE LOCATED IN AN AREA WHERE PARKING IS NOT FREE AND THE COMPANY HAS PROVIDED PARKING PASSES TO THE CONTRACT SAF EMPLOYEES THAT WORK AT THAT SITE. THIS AMOUNT BECOMES SUBJECT TO UNRELATED BUSINESS INCOME TAX. MHESAC HAS ACCRUED $378 IN INCOME TAX EXPENSE FOR THE YEAR ENDED JUNE 30, 2018. PART XI, LINE 4B - OTHER ADJUSTMENTS: UNCOLLECTIBLE ACCOUNTS -2,683. NONDEDUCTIBLE COMMUTING/PARKING FEES 2,365. 1 GOVERNOR'S OFFICE OF COMMUNITY SERVICE PO BOX 200801 HELENA MT 59620 810302402 GOVERNMENT 50000 YOUTH SERVICE MONTANA SCHOLARSHIPS MONTANA CHAMBER FOUNDATION PO BOX 1730 HELENA MT 59624 237059679 501(C)(3) 10000 ENVISION 2025 2 FOSTER CARE - ETV 35 153967 REACH HIGHER MONTANA SCHOLARSHIPS 75 75000 HIGH SCHOOL BUSINESS CHALLENGE 44 5500 SCHEDULE I; PART III A REACH HIGHER MONTANA DELIVERS FUNDS TO THE STUDENTS THROUGH ITS REACH HIGHER MONTANA SCHOLARSHIPS. THESE AWARDS ARE $1,000 EACH, AND THE INTENT OF THE PROGRAM IS TO AWARD A SCHOLARSHIP IN HONOR OF AT LEAST ONE STUDENT FROM EACH OF MONTANA'S 56 COUNTIES. REACH HIGHER MONTANA SCHOLARSHIPS ARE AWARDED BASED ON APPLICATIONS SUBMITTED BY STUDENTS. STUDENT ENROLLMENT IS VERIFIED AND CHECKS ARE ISSUED TO SCHOOL'S IN THE STUDENT'S NAME. 0 0 0 0 0 0 0 0 0 JOLENE SELBY CFO 0 142951 0 175 0 0 0 7910 0 23657 0 174693 0 0 JAMES STIPCICH CEO 0 196354 0 164 0 0 0 10041 0 13062 0 219621 0 0 PART I, LINE 1A DOES NOT APPLY. PART I, LINE 1B DOES NOT APPLY PART I, LINE 3 DOES NOT APPLY PART I, LINE 8 THE ORGANIZATION PAYS MANAGEMENT FEES TO STUDENT ASSISTANCE FOUNDATION OF MONTANA (SAF), A RELATED ORGANIZATION. SAF DETERMINES COMPENSATION UTILIZING THE FOLLOWING: BONUSES ARE FIXED PAYMENTS BY CONTRACT. THE FIXED PAYMENTS WERE MADE UNDER AN INITIAL CONTRACT SO ARE NOT SUBJECT TO SECTION 4958. THERE IS BOARD APPROVAL, DISCUSSION, AND ACTION AS TO APPROPRIATENESS. JAMES STIPCICH MHESAC CEO AND TOP MANAGEMENT OFFICIAL NOTED CEO AND TOP MANAGEMENT OFFICIAL FOR MHESAC IS AN OFFICER OF STUDENT ASSISTANCE FOUNDATION 0 JOLENE SELBY MHESAC CFO AND TOP FINANCIAL OFFICIAL NOTED CFO AND TOP FINANCIAL OFFICIAL FOR MHESAC IS AN OFFICER OF STUDENT ASSISTANCE FOUNDATION 0 KIM CUNNINGHAM BOARD MEMBER NOTED BOARD MEMBER IS CHAIR ON STUDENT ASSISTANCE FOUNDATION BOARD 0 TERRY COSGROVE BOARD MEMBER NOTED BOARD MEMBER IS ON BOTH STUDENT ASSISTANCE FOUNDATION AND MHESAC BOARDS 0 FORM 990, PART VI, SECTION A, LINE 2 THREE MHESAC OFFICERS AND/OR KEY EMPLOYEES WORK FOR THE SAME ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 3 STUDENT ASSISTANCE FOUNDATION IS A 509(A)(3)SUPPORTING ORGANIZATION ORGANIZED TO PROVIDE MONTANA HIGHER EDUCATION STUDENT ASSISTANCE CORPORATION (MHESAC), WITH ALL THE NECESSARY MANAGEMENT AND ADMINISTRATIVE SERVICES REQUIRED TO OPERATE MHESAC'S STUDENT LOAN PROGRAM, PERFORM ALL THE RESPONSIBILITIES UNDER THE INDENTURES, AND TO SERVICE ALL STUDENT LOANS OWNED BY MHESAC. FORM 990, PART VI, SECTION A, LINE 7A THE CHAIR OF THE BOARD OF REGENTS CAN NOW APPOINT A VOTING MEMBER. FORM 990, PART VI, SECTION B, LINE 11B THE RETURN IS MADE AVAILABLE TO THE FULL BOARD AND REVIEWED BY THE AUDIT COMMITTEE PRIOR TO FILING. THE AUDIT COMMITTEE PRESENTS THE RETURN TO THE FULL BOARD AT THE NEXT SCHEDULED MEETING. FORM 990, PART VI, SECTION B, LINE 12C BOARD MEMBERS ARE REQUIRED TO DISCLOSE CONFLICTS OF INTEREST PRIOR TO PARTICIPATING IN THE DISCUSSION OF THE TOPIC. THE DISCLOSURE IS NOTED IN THE MINUTES. ALL VOTES HAVE TO BE CARRIED BY A MAJORITY OF DISINTERESTED PARTIES. FORM 990, PART VI, SECTION B, LINE 15 THE ORGANIZATION DOES NOT INCUR COMPENSATION OR PAYROLL RELATED EXPENSES. BOARD MEMBERS ARE PAID HONORARIUMS ONLY AND REIMBURSED FOR TRAVEL EXPENDITURES. THE PROCESS FOR DETERMINING EXECUTIVE COMPENSATION BY THE STUDENT ASSISTANCE FOUNDATION, MHESAC'S MANAGEMENT COMPANY, IS AS FOLLOWS: WHEN EXECUTIVE AND OFFICER EMPLOYMENT CONTRACTS ARE RENEWED, THE SAF BOARD APPOINTS A COMPENSATION COMMITTEE TO REVIEW AND RECOMMEND COMPENSATION OF THE CEO FOR BOARD APPROVAL. THE SAF BOARD APPROVES ANY ANNUAL COST OF LIVING ADJUSTMENTS. FORM 990, PART VI, SECTION C, LINE 19 FINANCIAL STATEMENTS ARE AVAILABLE FROM THE COMPANY'S WEBSITE AND OTHER DOCUMENTS ARE AVAILABLE UPON REQUEST. FORM 990, PART XI, LINE 9: UNCOLLECTIBLE ACCOUNTS 2,683. NONDEDUCTIBLE COMMUTING/PARKING FEES -2,366. FORM 990, PART XII, LINE 2C - OVERSITE OF AUDIT THE PROCESS FOR THE OVERSIGHT RESPONSIBILITY OF THE AUDIT IS CONSISTENT WITH PRIOR YEARS. STUDENT ASSISTANCE FOUNDATION OF MONTANA PO BOX 5209 HELENA MT 59604 810527529 PROVIDE MANAGEMENT, STUDENT LOAN SERVICING, & PROGRAMS DELIVERY MT 501(C)(3) 11A N/A 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 1 0 0 0