2017-12-15T09:02:04-06:00 2017-06-30 450250958 EIDE BAILLY LLP 1730 BURNT BOAT LOOP STE100 BISMARCK ND 585030886 990 2016-07-01 450358929 Bismarck State College Foundation BISM 7012245700 PO Box 5587 Bismarck ND 585065587 Kari Knudson Executive Director 7012245700 2017-11-30 1 Lisa Chaffee CPA P00193453 7012551091 2017-11-30 8.39.233.42 2017-11-30 10:01:59 CS P 38C0D8FF55FA272924E83028D6B9FABEF20E0653 6F0323CC6DBEDCE0B82B8C3F86A795665AB13256 2016 2018-03-14 21:41:22Z Kari Knudson PO Box 5587 Bismarck ND 585065587 9292351 0 X WWW.bismarckstate.edu/foundation/ X 1979 ND Engage in those activities which support the development of Bismarck State College. 64 63 0 95 121989 105475 3149541 2556065 20269 8294 -199942 783723 528872 680178 3498740 4028260 1198112 1292376 0 0 175808 161629 0 0 56790 957468 966553 2331388 2420558 1167352 1607702 45464252 47643862 16373129 15753149 29091123 31890713 X Engage in those activities which support and assist in the development and advancement of Bismarck State College. 0 0 920815 622930 8294 The BSC Foundation Grant Program makes dollars available to BSC staff, faculty, and student organizations to fund a wide variety of projects. Emphasis is given to innovative teaching and creative learning projects. A wide variety of teaching and demonstration equipment, travel for groups, campus presenters, performing art events, guest lecturers, consulting services, research, and other innovative projects have been supported through the Grants Program. Grants are awarded by the Board of Trustees Programs Committee. 603209 603209 The BSC Foundation is committed to the encouragement and support of academic excellence. Through the support of many generous benefactors, the BSC Foundation is able to budget more than $600,000 in scholarship awards to over 454 students. Scholarships are available to both incoming freshmen and sophomores. Receiving other scholarships will not disqualify applicants from receiving BSC Foundation scholarships.The BSC Foundation scholarship program was established for the purpose of attracting and retaining students of outstanding ability and potential, regardless of gender, race, creed or national origin. Scholarships are awarded by the Board of Trustees Programs Committee. 41237 41237 Student RecognitionWho's Who Among Students in American Junior Colleges is a national award given to up to 20 of BSC's top students. These students are selected by Learning First sub-team on a basis of academic achievement, service in the community, leadership in extracurricular activities, and future potential. They are listed in a national Who's Who volume and are honored with a certificate and $50 cash award from the BSC Foundation.Outstanding Student Awards are given to the students selected by faculty in each of BSC's programs and departments. These outstanding students receive a certificate and $50 cash award from BSC Foundation.Phi Theta Kappa is an international two-year college honor society. Students nominated for membership have maintained an accumulative grade point average of 3.5 or better, and have completed 15 semester hours in residence at BSC applicable to an associate degree. The Phi Theta Kappan receives a paid initiation fee for membership, a pin, and a certificate from the BSC Foundation. They are honored at the BSC Recognition Ceremony with a certificate from the BSC Foundation.Employee RecognitionYears of Service: To acknowledge the contributions BSC faculty and staff make to the excellence of education, the Foundation sponsors a recognition program for employees. Employees are awarded gift cards and certificates beginning with five years of service, and are honored with each five-year increment.BSC Faculty and Staff Awards for Excellence: Previously known as the Faculty and Staff Achievement Awards, this Foundation-sponsored program has been revamped to ensure that everyone has an equal opportunity to be recognized, through this prestigious award, for their outstanding contributions to Bismarck State College.To publicly recognize the Award for Excellence recipients, they are announced at BSC's award ceremony in the spring. As before, two faculty award recipients will each receive $1,000 and two staff award recipients will each receive $1,000. Since 2001, an adjunct faculty and a part-time staff member are recognized and each receives a $250 award. 25000 25000 Jack FellowshipThe BSC Jack Fellowship Program has been established to fund sabbatical leaves for a Bismarck State College employee to engage in an educational experience that ultimately benefits BSC and the students it serves. The Fellowship is intended to partially underwrite the salary and/or expenses of the employee during the sabbatical. Each Fellowship will be a monetary award of up to $25,000 to be used to enhance the recipient's professional performance. During the year there was one recipients of the Jack Fellowship. 25000 25000 1590261 1 1 0 0 0 0 0 1 0 1 1 0 0 0 1 1 0 1 0 0 0 0 0 0 1 0 0 1 1 1 1 0 0 0 0 0 0 1 0 0 0 1 0 0 0 1 1 1 0 0 0 1 17 0 1 0 1 1 0 0 0 0 1 1 0 0 0 0 X 64 63 1 0 1 0 0 0 0 1 1 0 0 0 1 1 1 0 0 0 0 0 X Kari Knudson 7012245700 PO Box 5587 Bismarck ND 585065587 Paul Bakkum Chair 1.00 X X 0 0 0 Debra Gallagher President 1.00 X X 0 0 0 Tim Atkinson Vice President 1.00 X X 0 0 0 Wade Boeshans Program Committee Chair 1.00 X 0 0 0 Marlin Kling Development Committee Chai 1.00 X 0 0 0 Norm Clark Finance Committee Chair 1.00 X 0 0 0 Brad Ballweber Board Member 1.00 X 0 0 0 Jay Beyer Board Member 1.00 X 0 0 0 Scott Boehm Board Member 1.00 X 0 0 0 Jacklyne Carlson Board Member 1.00 X 0 0 0 Jim Christianson Board Member 1.00 X 0 0 0 Cindy Clairmont-Schmidt Board Member 1.00 X 0 0 0 Jordis Conrad Board Member 1.00 X 0 0 0 Terry Daffinrud Board Member 1.00 X 0 0 0 Carroll Dewing Board Member 1.00 X 0 0 0 Dan Dorfschmidt Board Member 1.00 X 0 0 0 Vern Dosch Board Member 1.00 X 0 0 0 Bryan Dvirnak Board Member (resigned FY '17)Board Member (resi 1.00 X 0 0 0 Bruce Emmil Board Member 1.00 X 0 0 0 Wendy Feeney Board Member (resigned FY '17) 1.00 X 0 0 0 Dave Froelich Board Member 1.00 X 0 0 0 John Giese Board Member 1.00 X 0 0 0 Kevin Gilchrist Board Member 1.00 X 0 0 0 Mike Haider Board Member 1.00 X 0 0 0 Dave Goodin Board Member 1.00 X 0 0 0 Florence Hauer Board Member 1.00 X 0 0 0 Dick Hedahl Board Member (resigned FY '17) 1.00 X 0 0 0 Renae Hansen Board Member 1.00 X 0 0 0 Tim Hennessy Board Member 1.00 X 0 0 0 Dave Hoekstra Board Member 1.00 X 0 0 0 Niles Hushka Board Member (resigned FY '17) 1.00 X 0 0 0 John Jessen Board Member 1.00 X 0 0 0 Dr Aaron Johnson Board Member 1.00 X 0 0 0 Jennifer Klesalek Board Member (resigned FY '17) 1.00 X 0 0 0 Rob Koppinger Board Member 1.00 X 0 0 0 Loren Kopseng Board Member 1.00 X 0 0 0 Jay Kost Board Member 1.00 X 0 0 0 Terry Kraft Board Member 1.00 X 0 0 0 David Ludwig Board Member 1.00 X 0 0 0 Howard Malloy Board Member 1.00 X 0 0 0 Dorothy Mariner Board Member (resigned FY '17) 1.00 X 0 0 0 Dale Pahlke Board Member 1.00 X 0 0 0 Ryan Pederson Board Member 1.00 X 0 0 0 Judy Pfeifle Board Member 1.00 X 0 0 0 Ken Reno Board Member 1.00 X 0 0 0 Scott Russell Board Member 1.00 X 0 0 0 Erik Sakariassen Board Member 1.00 X 0 0 0 Paul Sandness Board Member 1.00 X 0 0 0 Dave Sauer Board Member (resigned FY '17) 1.00 X 0 0 0 Jerry Schlosser Board Member 1.00 X 0 0 0 Pamela Schmidt Board Member (resigned FY '17) 1.00 X 0 0 0 Jerry Splonskowski Board Member (resigned FY '17) 1.00 X 0 0 0 Kevin Strege Board Member (resigned FY '17) 1.00 X 0 0 0 Mary Theel Board Member 1.00 X 0 0 0 Allan Thomas Board Member (resigned FY '17) 1.00 X 0 0 0 Bill Townsend Board Member 1.00 X 0 0 0 Irene Tschider Board Member 1.00 X 0 0 0 Stacy Tschider Board Member 1.00 X 0 0 0 Chad Wachter Board Member 1.00 X 0 0 0 Curt Walth Board Member 1.00 X 0 0 0 Shelly Wanek Board Member 1.00 X 0 0 0 Pat Ward Board Member 1.00 X 0 0 0 Tricia Arenz Board Member 1.00 X 0 0 0 Scott Becker Board Member 1.00 X 0 0 0 Jonus Elston Board Member 1.00 X 0 0 0 Russ Hanson Board Member 1.00 X 0 0 0 Jerry Hauff Board Member 1.00 X 0 0 0 Gary Schumacher Board Member 1.00 X 0 0 0 Ben Johnson Board Member 1.00 X 0 0 0 Tim Karsky Board Member 1.00 X 0 0 0 Brian Kroshus Board Member 1.00 X 0 0 0 John Weeda Board Member 1.00 X 0 0 0 Scott Wegner Board Member 1.00 X 0 0 0 Tony Welder Board Member 1.00 X 0 0 0 David Mason Board Member 1.00 X 0 0 0 Joseph Vuolo Board Member (resigned FY '17) 1.00 X 0 0 0 Marcie Woehl Board Member (resigned FY '17) 1.00 X 0 0 0 Michael Thomas Board Member (resigned FY '17) 1.00 X 0 0 0 Tamara Barber NV Fiscal officer 1.00 X 0 0 0 Dave Clark NV Secretary-Treasurer 1.00 X 0 0 0 Larry Skogen NV President of Bismarck Stat 1.00 X 0 0 0 Kari Knudson NV Executive Director 40.00 X 144131 0 30988 144131 0 30988 1 0 0 1 Professional Contractors Inc 1131 Airport Road Bismarck ND 58504 Construction projects 1393269 1 14192 2541873 417649 2556065 Other Revenue 900099 8294 8294 8294 269513 269513 111666 111666 915096 369397 545699 545699 110651 435048 5389107 11309 4878602 7604 510505 3705 514210 514210 15503 14192 8488 7015 7015 Common Area Rental Income 531310 15798 11338 4460 15798 4028260 8294 121989 1341912 622930 622930 669446 669446 161629 161629 21657 21657 101920 101920 11963 11963 20667 2399 18268 6021 6021 5997 5997 160328 89371 70957 497595 145011 352584 27744 12414 15330 General Fundraising Cam 52489 52489 Development 21531 21531 Income Tax Expense 21402 21402 Dues & Subscriptions 2885 2885 14354 5757 4296 4301 2420558 1590261 773507 56790 718308 782469 1452805 1792588 116396 93569 1490417 1356661 58392 19548 26525659 4065364 22883895 22460295 16787068 18856615 178991 491328 1777980 1790789 45464252 47643862 1329577 1077628 14775 26695 6607763 6259155 4898140 4645364 3522874 3744307 16373129 15753149 X 8432227 9015575 750968 1194989 19907928 21680149 29091123 31890713 45464252 47643862 X 1607702 1199338 -7450 X 0 1 X 1 0 X 1751998 2145215 4754650 3149541 2556065 14357469 1751998 2145215 4754650 3149541 2556065 14357469 2293379 12064090 431958 597251 813887 1123610 924968 3891674 83151 90388 105520 279059 18528202 238163 0.65110 0.62850 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 52265 X Study of Art Appreciation 0 16297714 1460146 2062324 1166207 64856 18589121 15087730 2483457 -45974 1170024 57475 16297714 12594203 2975007 585851 1067331 15087730 10300616 1437391 2295831 1439635 12594203 8927380 926659 1390372 943795 10300616 0.97520 0.02480 0 0 143997 1200000 1343997 23792973 3181012 20611961 175517 150523 24994 678351 534821 733829 479343 22460295 Unitrust Payments Due Grantors 3363199 Unitrust Remainder Due Shared Beneficiaries 38394 Charitable Lead Trust Due Grantors 267714 Contract for Deed 75000 3744307 X 5611533 1199338 13499 -7450 1205387 4406146 -377886 -377886 4028260 2811943 13499 377886 391385 2420558 0 2420558 Part III, Line 4: The Foundation maintains a collection of drawings, medallions, and books, as well as some Pre-Columbian art which was donated to the Foundation over 20 years ago. The Foundation uses the collection in the study of art appreciation. Part V, Line 4: Endowment funds are used to fund programs at Bismarck State College, including scholarships and grants. From time to time, the fair value of assets associated with individual donor restricted endowment funds may fall below the level that the donor or UPMIFA requires the Foundation to retain as a fund of perpetual duration. In accordance with generally accepted accounting principles, deficiencies of this nature that are reported in unrestricted net assets were $3,552,071 and $3,954,986 as of June 30, 2017 and 2016. These deficiencies resulted from unfavorable market fluctuations that occurred shortly after the investment of new permanently restricted contributions and continued appropriation for certain programs that was deemed prudent by the Board of Trustees. Part X, Line 2: The Foundation is organized as a North Dakota nonprofit corporation and has been recognized by the Internal Revenue Service (IRS) as exempt from federal income taxes under Section 501(a) of the Internal Revenue Code as an organization described in Section 501(c)(3). The Foundation qualifies for the charitable contribution deduction under Section 170(b)(1)(A)(vi), and has been determined not to be a private foundation under Sections 509(a)(1). The Foundation is annually required to file a Return of Organization Exempt from Income Tax (Form 990) with the IRS. In addition, the Foundation is subject to income tax on net income that is derived from business activities that are unrelated to its exempt purpose. The Foundation has determined it is subject to unrelated business income tax and will file an Exempt Organization Business Income Tax Return (Form 990-T) with the IRS to report its unrelated business taxable income. The Foundation believes that it has appropriate support for any tax positions taken affecting its annual filing requirements, and as such, does not have any uncertain tax positions that are material to the financial statements. The Foundation would recognize future accrued interest and penalties related to unrecognized tax benefit and liability in income tax expense if such interest and penalties are incurred. Part XI, Line 2d - Other Adjustments: Actuarial Adjustment on Annuity Payments -7,450. Part XI, Line 4b - Other Adjustments: Special Events Expense Reported in Expenses on Financial Statements -8,488. Rental expenses -369,398. Part XII, Line 2d - Other Adjustments: Special Event Expenses Reported in Revenue on Form 990 8,488. Rental expenses 369,398. Golf Tournament 21578 12715 8863 1625 4340 940 106 President's Ride 8117 1477 6640 1000 477 29695 14192 15503 2625 4340 1417 106 8488 7015 1 Bismarck State College PO Box 5587 Bismarck ND 58506 363291146 Bismarck State Colle 136471 412472 FMV In-kind donations for programs Grant Bismarck Mandan Chamber Foundation 1640 Burnt Boat Dr Bismarck ND 585021675 263807225 501(c)(3) 20000 Community Bowl Rennovation 2 0 Scholarships paid to Bismarck State College for BSC Students 454 576385 5657 invoices Postage and special events to promote scholarship applications BCS Student Recognition Awards 154 14200 4057 invoices PTK Membership Dues/programs/food/flowers/postage BSC Employee Recognition Awards 94 13642 9338 invoices Programs, decorations, entertainment and food. Jack Fellowship 25000 Scholarships paid to University of Mary for scholarships of graduates of BSC 2 3000 Scholarships paid to North Dakota State University for scholarships of graduates of BSC 6 8167 Scholarships paid to Minnesota State University - Moorhead for scholarships of graduates of BSC 1 2000 Scholarships paid to University of North Dakota for scholarships of graduates of BSC 1 3000 Scholarships paid to Eastern New Mexico University for scholarships of graduates of BSC 1 2000 Scholarships paid to Yavapai College for scholarships of graduates of BSC 1 2000 Scholarships paid to Dickinson State University for scholarships of graduates of BSC 1 1000 Part I, Line 2: Bismarck State College's business office monitors the use of the grants and scholarships. Part III, Column (b): The number of recipients is based on the actual listing of students or employees that received grants or assistance. X X 1 1 0 0 0 0 0 0 0 0 0 Kari Knudson NV Executive Director 144131 0 0 0 0 0 17408 0 14069 0 175608 0 0 0 Part I, Line 1a The Foundation pays for the Rotary Club dues for the Executive Director and the Lions Club dues for the former Executive Director. The Foundation also pays for some travel costs of the former Executive Director's spouse. Part II: The Executive Director is paid by an unrelated company, Bismarck State College, for services as the Executive Director for Bismarck State College Foundation. Total compensation paid to Kari Knudson by the unrelated company in the calendar year was $175,608. A City of Washburn 456002183 2007-04-10 7944818 Construction of single facility 0 0 0 B City of Washburn 456002183 2006-10-04 1400000 Purchase land and construction of a single facility 0 0 0 C City of Center 456004957 2014-10-28 5250000 Construction of two residence halls 0 0 0 A 7173157 7944818 131698 7813120 2008 0 0 1 1 B 815000 1400000 1400000 2007 0 0 1 1 C 312275 5117346 15638 5234362 2016 0 0 0 1 A 0 0 0 0 0.00000 0.00000 0.00000 0 0 0 B 0 0 0 0 0.00000 0.00000 0.00000 0 0 0 C 0 0 0 0 0.00000 0.00000 0.00000 0 0 0 A 0 0 0 0 0 0 0 0 0 B 0 0 0 0 0 0 0 0 0 C 0 0 0 0 0 0 0 0 0 A 0 B 0 C 0 Schedule K Part II, Line 3C: The project related to this bond issue was started in 2014; proceeds spent equal the issue price. Construction was completed in June 2016. 500 Merit Scholarship Educational advancement X 5 14773 Selling price X 1 49612 Average High/Low value X Materials & Supplies 38 351037 Selling Price X Prizes 4 1750 Selling Price X Food & Water 2 477 Selling Price 5 0 1 1 Part I, Line 32b: In prior years the organization has received donated real estate and use the services of a board member who is a real estate agent to sell the donated property. Form 990, Part VI, Section A, line 1 The Executive Committee shall consist of the officers of the Board, the President of BSC, and the Executive Director, both ex-officio, non-voting. The Executive Committee shall have power to hold meetings at such times and places as it deems advisable and to take such action as may be necessary or proper to carry out the purposes of the Foundation. Excepting matters which the Board of Trustees is required to act actions by the Executive Committee shall have the authority of the Board of Trustees. The Committee has the authority to review, make modifications to and recommend approval of the proposed Foundation annual fiscal year budget. The Committee shall forward the recommended proposed budget to the Board of Trustees for final approval. The Committee shall also be authorized to review, modify, reject or recommend approval of any proposed amendments to the approved fiscal year budget. The Committee shall forward any recommended budget changes to the Board of Trustees for final approval. The Executive Committee shall also serve as the Audit Committee for the Foundation. As such, it shall review and approve the annual audit and Management Letter. Form 990, Part VI, Section A, line 2 Paul Sandness and Dave Goodin have a business relationship. Stacy Tschider and Loren Kopsen have a business relationship. David Ludwig, Tim Karsky, and David Mason have a business relationship. Dave Clark, Larry Skogen, and Kari Knudson have a business relationship with each other and with Tamera Barber, Joseph Vuolo, Bruce Emmil, Jennifer Klesalek, and Jacklyne Carlson. Vern Dosch and Jerry Schlosser have a family relationship. Form 990, Part VI, Section A, line 4 The Bylaws were updated on February 2, 2017. Significant changes included in these Bylaws included: -The prior Bylaws indicated that the President of the Bismarck State College Board of Governors shall serve ex-officio as a voting member. This was replaced with the President of the BSC Student Government Association. -The Bylaws added that One non dues-paying representative from the Bismarck or Mandan High School systems will be appointed to serve a two year term. Form 990, Part VI, Section B, line 11b The Public Disclosure copy of the Form 990 is reviewed by the full Board of Directors prior to filing with the IRS. Form 990, Part VI, Section B, line 12c The policy covers all board members and foundation employees. The conflict of interest statements are completed and reviewed annually. The Executive Director, accountant and administrative assistant review the statements to determine whether a conflict exists. Conflicts would be reviewed by the Executive Director and depending on the situation, the board member is not allowed to vote on anything that involves the related entity or relationship. Form 990, Part VI, Section B, line 15 Kari Knudson is paid by an unrelated organization. The Human Resource Director of the unrelated organization gathers compensation information based upon a North Dakota Colleges survey (state and regional). An independent committee (Executive Council of the College) establishes the compensation and the results are documented in an employment contract. Form 990, Part VI, Section C, line 19 The organization's governing documents, conflict of interest policy, and financial statements are made available to the public upon request. Form 990, Part XI, line 9: Actuarial Gain/Loss on Annuity Payments -7,450. Student Housing LLC PO Box 5587 Bismarck ND 585065587 471109872 Residential Real Estate Rental ND 308319 5448238 Bismarck State College Foundation Property Holdings LLC PO Box 5587 Bismarck ND 585065587 471677740 Commercial Real Estate Rental ND 539524 6678779 Bismarck State College Foundation Charitable Remainder Unitrusts (12) Charitable Trust ND Bismarck State College Foundation 1 Charitable Lead Trusts (3) Charitable Trust ND Bismarck State College Foundation 1 Perpetual Trust (1) Charitable Trust ND Bismarck State College Foundation 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0