2017-05-10T12:01:39-05:00 2016-12-31 420714325 RSM US LLP 1861 INTERNATIONAL DRIVE SUITE 400 MCLEAN VA 22102 990 2016-01-01 237211935 FINANCIAL ACCOUNTING FOUNDATION FINA 2038470700 401 MERRITT 7 PO BOX 5116 NORWALK CT 06856 TERESA S POLLEY PRESIDENT AND CEO 2038470700 2017-05-09 1 YONG ZHANG P01249785 7033366400 108.171.131.187 2017-05-09 12:04:42 ED P E95FE92093C2E0606A48B6DA3AE648CA95A22FB2 9E5CB7256FC422C6D82BE40595290C30C37C1F6E 2016 2021-01-29 14:40:06Z TERESA S POLLEY 401 MERRITT 7 PO BOX 5116 NORWALK CT 06856 53365418 0 X ACCOUNTINGFOUNDATION.ORG,FASB.ORG,GASB.ORG X 1972 DE THE MISSION OF THE FINANCIAL ACCOUNTING FOUNDATION (FAF) IS TO ESTABLISH AND IMPROVE FINANCIAL ACCOUNTING AND REPORTING STANDARDS, TO PROVIDE USEFUL INFORMATION TO INVESTORS AND OTHER USERS OF FINANCIAL REPORTS AND TO EDUCATE STAKEHOLDERS ON HOW TO MOST EFFECTIVELY UNDERSTAND AND IMPLEMENT THOSE STANDARDS. THE FAF, ORGANIZED IN 1972, IS THE INDEPENDENT, PRIVATE-SECTOR ORGANIZATION RESPONSIBLE FOR THE OVERSIGHT, ADMINISTRATION, FINANCING AND APPOINTMENT OF THE FINANCIAL ACCOUNTING STANDARDS BOARD (FASB) AND THE GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB), WHICH WERE ESTABLISHED TO PERFORM DISTINCT FUNCTIONS IN THE PROCESS OF ESTABLISHING AND IMPROVING FINANCIAL ACCOUNTING AND REPORTING STANDARDS. 18 18 192 175 0 0 0 0 0 0 845211 785489 48451498 49820424 49296709 50605913 0 0 0 0 39310339 40558919 0 0 0 14981829 15204898 54292168 55763817 -4995459 -5157904 86612474 81519831 17247619 17014094 69364855 64505737 X ESTABLISH AND IMPROVE FINANCIAL ACCOUNTING AND REPORTING STANDARDS TO PROVIDE USEFUL INFORMATION TO INVESTORS AND OTHER USERS OF FINANCIAL REPORTS AND TO EDUCATE STAKEHOLDERS ON HOW TO MOST EFFECTIVELY UNDERSTAND AND IMPLEMENT THOSE STANDARDS 0 0 34996343 40019481 FINANCIAL ACCOUNTING STANDARDS BOARD (FASB)FINANCIAL ACCOUNTING STANDARDS ADVISORY COUNCIL (FASAC)ESTABLISHED IN 1973, THE FASB IS THE INDEPENDENT, PRIVATE-SECTOR ORGANIZATION, BASED IN NORWALK, CONNECTICUT, THAT ESTABLISHES FINANCIAL ACCOUNTING AND REPORTING STANDARDS FOR PUBLIC AND PRIVATE COMPANIES AND NOT-FOR-PROFIT ORGANIZATIONS THAT FOLLOW GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP). THE FASB IS RECOGNIZED BY THE SECURITIES AND EXCHANGE COMMISSION AS THE DESIGNATED ACCOUNTING STANDARD SETTER FOR PUBLIC COMPANIES. FASB STANDARDS ARE RECOGNIZED AS AUTHORITATIVE BY MANY OTHER ORGANIZATIONS, INCLUDING STATE BOARDS OF ACCOUNTANCY AND THE AMERICAN INSTITUTE OF CPAS (AICPA). THE FASB DEVELOPS AND ISSUES FINANCIAL ACCOUNTING STANDARDS THROUGH A TRANSPARENT AND INCLUSIVE PROCESS INTENDED TO PROMOTE FINANCIAL REPORTING THAT PROVIDES USEFUL INFORMATION TO INVESTORS AND OTHERS WHO USE FINANCIAL REPORTS. THE FINANCIAL ACCOUNTING FOUNDATION (FAF) SUPPORTS AND OVERSEES THE FASB. THE FOLLOWING ARE SOME SPECIFIC ACCOMPLISHMENTS AND INITIATIVES IN 2016 RELATED TO THESE AGENDA ITEMS AND IMPROVING GAAP IN GENERAL. HOWEVER, FOR A COMPLETE AND DETAILED PICTURE OF THE WORK OF THE FASB, CURRENT AND COMPLETED PROJECTS, TIMETABLES AND OTHER INFORMATION, PLEASE VISIT FASB.ORG. IN ADDITION, THE FAF ANNUAL REPORT PROVIDES A DETAILED TIMETABLE OF FASB'S 2016 ACCOMPLISHMENTS AND CAN BE FOUND AT ACCOUNTINGFOUNDATION.ORG.THE FASB COMPLETED A VARIETY OF PROJECTS TO IMPROVE ASPECTS OF GAAP, ISSUING 20 FINAL ACCOUNTING STANDARDS UPDATES (ASUS) IN 2016. AMONG THE MOST SIGNIFICANT OF THESE WERE ASUS ON LEASES, CREDIT LOSSES, AND FINANCIAL STATEMENTS OF NOT-FOR-PROFIT ENTITIES. THE FASB ALSO ISSUED 22 PROPOSED ASUS, THE MORE SIGNIFICANT PROPOSALS RELATED TO IMPROVEMENTS TO HEDGE ACCOUNTING AND LONG-DURATION INSURANCE CONTRACTS.THE PRIVATE COMPANY COUNCIL (PCC), CONTINUED ITS WORK WITH IMPROVEMENTS THAT ADDRESS THE NEEDS OF PRIVATE COMPANY USERS OF FINANCIAL STATEMENTS IN THE STANDARDS DEVELOPMENT PROCESS AND WERE INSTRUMENTAL IN ADVISING THE FASB ON A NUMBER OF ASUS. THE FASB CONTINUED WITH THE CONTINUED DEVELOPMENT OF THE GAAP FINANCIAL REPORTING TAXONOMY (TAXONOMY) FOR EXTENSIBLE BUSINESS REPORTING LANGUAGE (XBRL). OUTREACH AND OTHER STAKEHOLDER COMMUNICATIONS CONTINUED TO BE EXTENSIVE WITH NUMEROUS MEETINGS WITH LIAISON GROUPS, REPRESENTATIVES OF USERS, PREPARERS, AND AUDITORS, AND OTHER STAKEHOLDERS. OUTREACH ACTIVITIES ALSO INCLUDES VARIOUS COMMUNICATIONS, EDUCATIONAL MATERIALS AND OTHER ACTIVITIES INCLUDING:* FASB MEMBERS AND STAFF DELIVERED SPEECHES AT 167 DIFFERENT CONFERENCES DURING THE YEAR* 46 PRESS RELEASES, MEDIA ADVISORIES AND TWEETS WERE SENT ON A VARIETY OF FASB STANDARD SETTING ACTIVITIES* 18 EDUCATIONAL WEBCASTS AND VIDEOS WERE PROVIDED.THE FASAC, WHICH COMPRISES 35 MEMBERS WHO REPRESENT A BROAD CROSS-SECTION OF THE FASB'S STAKEHOLDERS, MET FOUR TIMES IN 2016. THE PRIMARY FUNCTION OF FASAC IS TO ADVISE THE FASB ON ISSUES RELATED TO PROJECTS ON THE FASB'S AGENDA, POSSIBLE NEW AGENDA ITEMS, PROJECT PRIORITIES, PROCEDURAL MATTERS THAT MAY REQUIRE THE ATTENTION OF THE FASB, AND OTHER MATTERS AS REQUESTED.FASB'S OTHER ADVISORY GROUPS, INCLUDING THE INVESTOR ADVISORY COMMITTEE, THE NOT-FOR-PROFIT ADVISORY COMMITTEE, AND THE SMALL BUSINESS ADVISORY COMMITTEE, AND THE EMERGING ISSUES TASK FORCE ALL HELD MEETINGS IN 2016 TO SUPPORT THE EFFORTS OF THE FASB. 9490032 9791542 GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB)GOVERNMENTAL ACCOUNTING STANDARDS ADVISORY COUNCIL (GASAC)ESTABLISHED IN 1984, THE GASB IS THE INDEPENDENT, PRIVATE-SECTOR ORGANIZATION, BASED IN NORWALK, CONNECTICUT, THAT ESTABLISHES FINANCIAL ACCOUNTING AND REPORTING STANDARDS FOR U.S. STATE AND LOCAL GOVERNMENTS THAT FOLLOW GAAP. THESE STANDARDS ARE RECOGNIZED AS AUTHORITATIVE BY STATE AND LOCAL GOVERNMENTS; STATE BOARDS OF ACCOUNTANCY; AND THE AMERICAN INSTITUTE OF CPAS (AICPA). THE GASB DEVELOPS AND ISSUES FINANCIAL ACCOUNTING STANDARDS THROUGH A TRANSPARENT AND INCLUSIVE PROCESS INTENDED TO PROMOTE FINANCIAL REPORTING THAT PROVIDES USEFUL INFORMATION TO TAXPAYERS, PUBLIC OFFICIALS, INVESTORS, AND OTHERS WHO USE FINANCIAL REPORTS. THE FINANCIAL ACCOUNTING FOUNDATION (FAF) SUPPORTS AND OVERSEES THE GASB. WHETHER SETTING NEW STANDARDS, IMPROVING EXISTING ONES, OR HELPING CONSTITUENTS TO IMPLEMENT AND UNDERSTAND THOSE STANDARDS, GASB'S AIM IS TO PROMOTE GREATER TRANSPARENCY, TO SUPPORT WELL-INFORMED DECISION MAKING, AND TO HELP USERS ASSESS A GOVERNMENT'S FINANCIAL ACCOUNTABILITY. FOR A COMPLETE AND DETAILED PICTURE OF THE WORK OF THE GASB, CURRENT AND COMPLETED PROJECTS, TIMETABLES AND OTHER INFORMATION, PLEASE VISIT GASB.ORG. IN ADDITION, THE FAF ANNUAL REPORT PROVIDES A DETAILED TIMETABLE OF GASB'S 2016 ACCOMPLISHMENTS AND CAN BE FOUND AT ACCOUNTINGFOUNDATION.ORG. BELOW ARE SOME OF THE KEY HIGHLIGHTS IN 2016. IN 2016, GASB ISSUED FOUR FINAL STATEMENTS, INCLUDING GASB STATEMENT NO. 83, WHICH ADDRESSES ACCOUNTING AND FINANCIAL REPORTING FOR CERTAIN ASSET RETIREMENT OBLIGATIONS. WHILE THE MAJORITY OF ITS TIME IS DEVOTED TO DEVELOPING ACCOUNTING AND FINANCIAL REPORTING STANDARDS, THE GASB STAFF ALSO HELPS STAKEHOLDERS UNDERSTAND AND IMPLEMENT STANDARDS BY PROVIDING THEM WITH DIRECT ASSISTANCE ADDRESSING THEIR SPECIFIC FACTS AND CIRCUMSTANCES. OUTREACH AND OTHER STAKEHOLDER COMMUNICATIONS CONTINUED TO BE EXTENSIVE WITH NUMEROUS MEETINGS WITH LIAISON GROUPS AND INTERACTIONS WITH REPRESENTATIVES OF GASB'S THREE PRIMARY STAKEHOLDER GROUPS (USERS, PREPARERS, AND AUDITORS). DURING 2016, GASB MEMBERS AND STAFF DELIVERED SPEECHES AT 105 DIFFERENT CONFERENCES DURING THE YEAR. THE GASB ISSUED 13 PRESS RELEASES, MEDIA ADVISORIES AND TWEETS WERE SENT ON A VARIETY OF GASB STANDARD SETTING ACTIVITIES AND OFFERED 10 EDUCATIONAL WEBCASTS AND VIDEOS. THE POST-IMPLEMENTATION REVIEW PROCESS (PIR), WHICH REVIEWS THE EFFECTIVENESS OF SIGNIFICANT STANDARDS THAT HAVE BEEN IN PLACE FOR AT LEAST TWO YEARS, CONTINUED WITH THE COMPLETION OF ONE GASB STANDARDS PROJECT. THE THIRTY-MEMBER GASAC IS AN ORGANIZATION OF KNOWLEDGEABLE AND EXPERIENCED PROFESSIONALS REPRESENTING THE GASB'S VARIED STAKEHOLDERS WHO VOLUNTEER THEIR SERVICES TO WORK WITH THE GASB IN AN ADVISORY CAPACITY TO ENHANCE THE STANDARD SETTING PROCESS BY CONSULTING WITH THE GASB ON TECHNICAL ISSUES, PROJECT PRIORITIES, AND OTHER MATTERS LIKELY TO CONCERN THE GASB. IN 2016, THE GASAC HELD THREE MEETINGS. 44486375 1 0 0 1 0 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 94 0 1 192 1 0 0 0 0 0 0 0 0 0 0 X 18 18 0 0 1 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CT DE DC X PETER SPENCER 2038470700 401 MERRITT 7 PO BOX 5116 NORWALK CT 06856 CHARLES H NOSKI CHAIRMAN 8.00 X X 160000 0 0 GARY H BRUEBAKER VICE CHAIRMAN 5.00 X X 0 0 0 ANN MARIE PETACH TRUSTEE 3.00 X X 60000 0 0 CHARLES M ALLEN TRUSTEE 3.00 X 60000 0 0 CHRISTINE M CUMMING TRUSTEE 3.00 X 60000 0 0 EUGENE FLOOD JR TRUSTEE 3.00 X 60000 0 0 KENNETH B ROBINSON TRUSTEE 3.00 X 60000 0 0 DIANE M RUBIN TRUSTEE 4.00 X 72000 0 0 JOHN B VEIHMEYER TRUSTEE 3.00 X 0 0 0 NANCY K KOPP TRUSTEE 3.00 X 0 0 0 MICHELLE R SEITZ TRUSTEE 3.00 X 72000 0 0 W DANIEL EBERSOLE TRUSTEE 3.00 X 72000 0 0 PAUL G CAMELL TRUSTEE 3.00 X 72000 0 0 CHARLES S COX TRUSTEE 3.00 X 72000 0 0 JOHN C DUGAN TRUSTEE 3.00 X 60000 0 0 TERRY WARFIELD TRUSTEE 3.00 X 72000 0 0 MYRA R DRUCKER TRUSTEE 3.00 X 60000 0 0 ANN SPRUILL TRUSTEE 3.00 X 60000 0 0 TERESA S POLLEY PRESIDENT 40.00 X 678210 0 34873 MARY P CROTTY CHIEF OPERATING OFFICER 40.00 X 466092 0 76324 JEFFREY W RUBIN VP AND GENERAL COUNSEL (THROUGH 3/31) 40.00 X 179013 0 25969 JOHN W AUCHINCLOSS VP AND GENERAL COUNSEL (BEG 5/9) 40.00 X 225527 0 50897 RUSSELL G GOLDEN CHAIRMAN, FASB 40.00 X 1049102 0 71188 DAVID A VAUDT CHAIRMAN, GASB 40.00 X 567829 0 78514 JAMES L KROEKER VICE CHAIRMAN, FASB 40.00 X 928988 0 37761 LAWRENCE W SMITH BOARD MEMBER 40.00 X 851784 0 63751 MARC A SIEGEL BOARD MEMBER 40.00 X 817667 0 75344 DARYL E BUCK BOARD MEMBER 40.00 X 822480 0 76738 SUSAN M COSPER TECHNICAL DIRECTOR, FASB 40.00 X 656209 0 63012 R HAROLD SCHROEDER BOARD MEMBER 40.00 X 838920 0 95635 RONALD P GUERRETTE VICE PRESIDENT (FORMER) 40.00 X 135830 0 3094 9289651 0 753100 107 1 1 0 OVITAS 60 MALL ROAD BURLINGTON MA 01803 IT CONSULTANT 1422135 DELOITTE CONSULTING PO BOX 844717 DALLAS TX 75284 IT CONSULTANT 1303781 PWC 400 CAMPUS DRIVE FLORHAM PARK NJ 07932 PAYMENTS FOR FELLOWS 607251 K&L GATES 1601 K STREET NW WASHINGTON DC 20006 CONSULTANT EXTERNAL RELATIONS 519415 KPMG PO BOX 0754 DALLAS TX 753120754 FELLOW PAYMENTS 507572 16 756006 756006 9401 9401 2437907 2408424 29483 29483 29483 326670 351081 -24411 -24411 ACCOUNTING SUPPORT FEES 900099 33092084 33092084 LICENSE FEE AND SUBSCRIPTION REVE 900099 16735991 16735991 OTHER REVENUE 900099 7359 7359 49835434 50605913 49811023 0 794890 5542286 2733382 2808904 27947701 24709433 3238268 2457635 2151763 305872 3240037 2524150 715887 1371260 1166407 204853 91436 91436 195279 195279 170000 170000 1552183 896125 656058 354651 118655 235996 3206870 2494613 712257 2197836 1422193 775643 717691 533466 184225 479076 297715 181361 610931 392731 218200 264451 264451 COST OF LICENSE FEE AND 3389095 3389095 PLACEMENT & RECRUITING 920672 688616 232056 SUBSCRIPTION & INFORMAT 394515 377685 16830 BILLING AND COLLECTION 239400 239400 420812 180946 239866 55763817 44486375 11277442 0 5897148 3777492 9921784 9375261 5051018 5821372 51639 48523 277666 388058 13561684 11750476 1922113 1811208 62431256 58893983 1059850 1403934 86612474 81519831 2045378 2129400 6623158 6309576 8579083 8575118 17247619 17014094 X 69364855 64505737 69364855 64505737 86612474 81519831 X -5157904 217642 81144 X 0 1 X 1 0 X 38220788 32917201 30193496 31264665 33092084 165688234 38220788 32917201 30193496 31264665 33092084 165688234 165688234 1060769 953145 930684 766449 765407 4476454 2539003 2539003 172703691 88003625 0.95940 0.95640 X SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: CLASS ACTION SETTLEMENT - 2013 AMOUNT: $ 2,539,003. 0 460000 460000 55303817 55763817 1000000 250000 0 0 1000000 1000000 1000000 1000000 4000000 6000000 726800 650000 520000 460000 2356800 250000 250000 250000 250000 1000000 1500000 PART II-A, LINE 1B LOBBYING COSTS INCLUDES EXPENSES PAID TO CONSULTANTS AND OTHER COSTS TO REGULARLY MONITOR PROPOSED LEGISLATION AND RULEMAKING THAT MAY DIRECTLY OR INDIRECTLY AFFECT FINANCIAL ACCOUNTING AND REPORTING STANDARDS, AND FROM TIME TO TIME TO REACH OUT TO CONGRESSIONAL MEMBERS AND STAFF AND OTHERS WITH RESPECT TO SUCH LEGISLATION AND RULEMAKING. DURING 2016, WE ENGAGED IN LOBBYING EFFORTS WITH RESPECT TO: LEGISLATION TO EXEMPT THE FASB'S ACCOUNTING SUPPORT FEES FROM THE FEDERAL BUDGETARY SEQUESTRATION PROCESS; LEGISLATION TO REPEAL CERTAIN PROVISIONS OF THE DODD-FRANK WALL STREET REFORM AND CONSUMER PROTECTION ACT AND THEREBY IMPACT THE GASB'S ACCOUNTING SUPPORT FEES; AND THE ACCOUNTING STANDARD-SETTING PROCESS IN GENERAL. 5345708 4211916 1133792 8215976 7538560 677416 1811208 ACCRUED PAYROLL AND RELATED BENEFITS 1304254 ACCRUED RENT EXPENSE 1600091 ACCRUED PENSION COSTS 1406341 ACCRUED 457B PLAN COSTS 1403934 ACCRUED POSTRETIREMENT HEALTH CARE COSTS 2860498 8575118 X 47629460 217642 195000 412642 47216818 3389095 3389095 50605913 52569722 195000 195000 52374722 3389095 3389095 55763817 PART X, LINE 2: THE FOUNDATION IS A TAX-EXEMPT ORGANIZATION UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. MANAGEMENT HAS REVIEWED TAX POSITIONS FOR OPEN TAX YEARS AND DETERMINED THAT A PROVISION FOR UNCERTAIN TAX POSITIONS IS NOT REQUIRED. PART XI, LINE 4B - OTHER ADJUSTMENTS: COST OF SUBSCRIPTION AND LICENSE FEE REVENUE 3,389,095. PART XII, LINE 4B - OTHER ADJUSTMENTS: COST OF SUBSCRIPTION AND LICENSE FEE REVENUE 3,389,095. EUROPE (INCLUDING ICELAND & GREENLAND) 0 0 PROGRAM SERVICES ATTEND MEETINGS WITH STANDARD SETTERS AND OTHERS ON ISSUES RELATED TO INTERNATIONAL ACCOUNTING STANDARDS 128387 EAST ASIA AND THE PACIFIC 0 0 PROGRAM SERVICES ATTEND MEETINGS WITH STANDARD SETTERS AND OTHERS ON ISSUES RELATED TO INTERNATIONAL ACCOUNTING STANDARDS 54422 NORTH AMERICA 0 0 PROGRAM SERVICES ATTEND MEETINGS WITH STANDARD SETTERS AND OTHERS ON ISSUES RELATED TO INTERNATIONAL ACCOUNTING STANDARDS 14499 0 0 0 0 0 0 197308 0 197308 0 0 0 0 0 0 PART I, LINE 3: THE ORGANIZATION USES GAAP TO REPORT EXPENDITURES IN A FOREIGN REGION. X X 1 1 X X X X X 1 1 0 0 0 0 0 1 0 CHARLES H NOSKI CHAIRMAN 160000 0 0 0 0 0 0 0 0 0 160000 0 0 0 TERESA S POLLEY PRESIDENT 577500 0 50000 0 50710 0 31113 0 3760 0 713083 0 0 0 MARY P CROTTY CHIEF OPERATING OFFICER 385116 0 58000 0 22976 0 47753 0 28571 0 542416 0 0 0 JEFFREY W RUBIN VP AND GENERAL COUNSEL (THROUGH 3/31 141047 0 0 0 37966 0 9004 0 16965 0 204982 0 0 0 JOHN W AUCHINCLOSS VP AND GENERAL COUNSEL (BEG 5/9) 223201 0 0 0 2326 0 26931 0 23966 0 276424 0 0 0 RUSSELL G GOLDEN CHAIRMAN, FASB 921653 0 0 0 127449 0 33323 0 37865 0 1120290 0 0 0 DAVID A VAUDT CHAIRMAN, GASB 518691 0 0 0 49138 0 62460 0 16054 0 646343 0 0 0 JAMES L KROEKER VICE CHAIRMAN, FASB 824000 0 0 0 104988 0 34253 0 3508 0 966749 0 0 0 LAWRENCE W SMITH BOARD MEMBER 732616 0 0 0 119168 0 35514 0 28237 0 915535 0 0 0 MARC A SIEGEL BOARD MEMBER 731021 0 0 0 86646 0 37090 0 38254 0 893011 0 0 0 DARYL E BUCK BOARD MEMBER 730162 0 0 0 92318 0 46044 0 30694 0 899218 0 0 0 SUSAN M COSPER TECHNICAL DIRECTOR, FASB 561866 0 54000 0 40343 0 35027 0 27985 0 719221 0 0 0 R HAROLD SCHROEDER BOARD MEMBER 731021 0 0 0 107899 0 57381 0 38254 0 934555 0 0 0 RONALD P GUERRETTE VICE PRESIDENT (FORMER) 0 0 0 0 135830 0 0 0 3094 0 138924 0 0 0 PART I, LINE 1A GROSS-UP PAYMENTS ARE PROVIDED RELATIVE TO CERTAIN RETIREMENT PLAN PAYMENTS. SUCH PAYMENTS ARE TREATED AS TAXABLE COMPENSATION. ALL EMPLOYEES ARE ELIGIBLE FOR REIMBURSEMENT FOR A PORTION OF HEALTH CLUB DUES AT SELECTED FACILITIES, WHICH ARE INCLUDED AS COMPENSATION. PART I, LINES 4A-B MONTHLY PAYMENTS TOTALING $135,000 WERE MADE TO RON GUERRETTE, FORMER VICE PRESIDENT, IN CONNECTION WITH THE TWELVE MONTH AGREEMENT ENTEREND INTO IN CONNECTION WITH HIS DEPARTURE FROM THE FAF IN 2015. MONTHLY PAYMENTS TOTALING $38,000 WERE MADE TO JEFFREY RUBIN, FORMER VICE PRESIDENT AND GENERAL COUNSEL, IN CONNECTION WITH THE TWO MONTH AGREEMENT ENTERERED INTO IN CONNECTION WITH HIS DEPARTURE FROM THE FAF IN 2016. THE FAF PROVIDES ADDITIONAL DEFINED CONTRIBUTIONS TO PARTICIPANTS WHOSE ANNUAL COMPENSATION IS IN EXCESS OF THE IRC COMPENSATION LIMIT, FIRST TO A 457(B) DEFERRED COMPENSATION PLAN, AND IF THAT LIMIT IS REACHED DURING A CALENDAR YEAR, THEN CASH PAYMENTS (INCLUDING TAX GROSS-UPS) ARE MADE TO ELIGIBLE PARTICIPANTS. THE FOLLOWING COVERED INDIVIDUALS PARTICIPATED IN THE FOUNDATION'S OTHER SUPPLEMENTAL PROGRAMS IN 2016 AND RECEIVED AND/OR WERE DEEMED TO HAVE RECEIVED THE FOLLOWING AMOUNTS: TERESA POLLEY - $44,568 LAWRENCE SMITH- $110,134 DAVID VAUDT- $40,014 RUSSELL GOLDEN- $124,679 DARYL BUCK- $88,355 HAROLD SCHROEDER - $99,135 MARC SIEGEL - $83,696 JAMES KROEKER - $102,217 MARY CROTTY - $18,000 SUSAN COSPER - $37,393 PART I, LINE 7 THE AMOUNTS SHOWN ON PART II, COLUMN B (II) FOR TERESA POLLEY, MARY CROTTY, AND SUSAN COSPER WERE PAID AND AWARDED BASE ON PERFORMANCE AND APPROVED BY THE FAF BOARD OF TRUSTEES. FORM 990, PART VI, SECTION A, LINE 4 ON NOVEMBER 15, 2016, THE FAF BOARD OF TRUSTEES VOTED TO APPROVE APPROVED CHANGES TO THE BOARD'S COMMITTEE STRUCTURE: THE FORMER FINANCE AND COMPENSATION COMMITTEE WAS DISBANDED, WITH ITS FINANCE FUNCTIONS BEING ASSIGNED TO THE AUDIT AND COMPLIANCE COMMITTEE, RENAMED AS THE "AUDIT AND FINANCE COMMITTEE, AND COMPENSATION FUNCTIONS BEING ASSIGNED TO A NEW "COMPENSATION COMMITTEE; THE FORMER APPOINTMENTS AND EVALUATIONS COMMITTEE WAS RENAMED THE "APPOINTMENTS COMMITTEE AND ITS EVALUATION FUNCTIONS ASSIGNED TO THE NEW COMPENSATION COMMITTEE; THE MANDATE OF THE STANDARD-SETTING PROCESS OVERSIGHT COMMITTEE WAS REVISED TO INCLUDE THE DUTIES OF THE PRIVATE COMPANY REVIEW COMMITTEE, WHICH WAS DISBANDED; AND THE EXECUTIVE COMMITTEE WAS UNCHANGED. THESE CHANGES ARE FURTHER DESCRIBED IN A NOVEMBER 15, 2016 PRESS RELEASE BY THE FAF THAT IS AVAILABLE ON THE FAF WEBSITE (SINCE THE ISSUANCE OF THAT PRESS RELEASE, THE BOARD OF TRUSTEES CHANGED THE NAME OF THE NEW COMPENSATION COMMITTEE FROM ITS PREVIOUS NAME (THE "HUMAN RESOURCES COMMITTEE")). FORM 990, PART VI, SECTION B, LINE 11B THE AUDIT AND FINANCE COMMITTEE OF THE BOARD OF TRUSTEES REVIEWS AND APPROVES THE FORM 990 PRIOR TO IT BEING FILED. IN ADDITION, A COPY OF THE A FORM 990 IS PROVIDED TO THE FULL BOARD OF TRUSTEE PRIOR TO IT BEING FILED. FORM 990, PART VI, SECTION B, LINE 12C THE FOUNDATION HAS A WRITTEN CONFLICT OF INTEREST POLICY THAT COVERS ALL EMPLOYEES. ALL EMPLOYEES ARE REQUIRED, ON A QUARTERLY BASIS, TO REPORT INTERESTS THAT WOULD POSE A CONFLICT TO THE FOUNDATION. FAILURE TO COMPLY WITH THE CONFLICT OF INTEREST POLICY CAN RESULT IN SANCTIONS, WHICH MAY INCLUDE TERMINATION. IN ADDITION, THE FOUNDATION ALSO HAS ADOPTED A TRUSTEE CODE OF CONDUCT, WHICH INCLUDES CONFLICT OF INTEREST PROVISIONS, AND REQUIRES EACH TRUSTEE TO CERTIFY COMPLIANCE ANNUALLY. THE FAF ALSO MAINTAINS AN OMBUDS POLICY WHICH ENABLES EMPLOYEES AND TRUSTEES TO REPORT VIOLATIONS OF LAW OR FOUNDATION POLICIES, EITHER ON A DISCLOSED OR ON AN ANONYMOUS BASIS. EACH EMPLOYEE, AND EACH TRUSTEE, HAS AN AFFIRMATIVE DUTY TO REPORT PROMPTLY VIOLATIONS OF LAW OR FOUNDATION POLICIES. PERSONS REPORTING IN GOOD FAITH PURSUANT TO THE OMBUDS POLICY ARE PROTECTED FROM EMPLOYMENT RETALIATION. FORM 990, PART VI, SECTION B, LINE 15 THE COMPENSATION COMMITTEE OF THE FAF BOARD OF TRUSTEES, WHICH IS COMPRISED OF INDEPENDENT TRUSTEES, IS RESPONSIBLE FOR REVIEWING THE PERFORMANCE OF THE FAF PRESIDENT AND CHIEF EXECUTIVE OFFICER AND FASB AND GASB MEMBERS ANNUALLY. THE COMPENSATION COMMITTEE IS RESPONSIBLE FOR MAKING RECOMMENDATIONS TO THE FAF BOARD OF TRUSTEES, BASED ON STUDIES CONDUCTED BY INDEPENDENT COMPENSATION CONSULTANTS THAT PERFORM MARKET RESEARCH AND PROVIDE COMPREHENSIVE COMPENSATION COMPARABILITY REPORTS, AND INPUT FROM THE APPOINTMENTS COMMITTEE, FOR THE FAF PRESIDENT AND CHIEF EXECUTIVE OFFICER AND THE FASB AND GASB MEMBERS. THESE COMPENSATION RECOMMENDATIONS ARE PROVIDED TO THE FAF BOARD OF TRUSTEES FOR THEIR APPROVAL. COMPREHENSIVE COMPENSATION STUDIES OF KEY EMPLOYEE COMPENSATION ARE CONDUCTED EVERY THREE TO FIVE YEARS, WITH THE LAST STUDY BEING PERFORMED IN 2014. IN THE INTERVENING YEARS, THE COMPENSATION DATA IS UPDATED BY THE CONSULTANTS BASED ON MARKETPLACE DATA. ADDITIONALLY, DURING 2015, AN INDEPENDENT CONSULTING FIRM PROVIDED WRITTEN OPINIONS AFFIRMING (1) THE FAIRNESS (UNDER THE INTERMEDIATE SANCTIONS RULES PROMULGATED PURSUANT TO THE IRC) OF THE COMPENSATION DETERMINATIONS MADE BY THE BOARD OF TRUSTEES WITH RESPECT TO KEY EMPLOYEES, AND (2) THE FAIRNESS OF TRUSTEE COMPENSATION. FOR OTHER FAF EMPLOYEES, INCLUDING OFFICERS NOT CONSIDERED KEY EMPLOYEES, PERFORMANCE IS REVIEWED ANNUALLY AND SALARY RANGES ARE REVIEWED EVERY THREE TO FIVE YEARS ON THE BASIS OF MARKET COMPENSATION DATA PROVIDED BY INDEPENDENT COMPENSATION CONSULTANTS. DURING THE INTERVENING YEARS, SALARY RANGES ARE ADJUSTED FOR INFLATION. THE MOST RECENT COMPREHENSIVE REVIEW OF FAF STAFF SALARY RANGES WAS PERFORMED IN 2014 FOR IMPLEMENTATION IN 2015. FORM 990, PART VI, SECTION C, LINE 19 THE FOUNDATION'S AUDITED FINANCIAL STATEMENTS AND GOVERNING DOCUMENTS ARE LOCATED ON THE FOUNDATION'S WEBSITE. AT THIS TIME, THE FOUNDATION'S CONFLICT OF INTEREST POLICY IS AVAILABLE TO THE PUBLIC UPON REQUEST FOR THE SAME PERIOD OF DISCLOSURE AS SET FORTH IN SECTION 6104(D). FORM 990, PART XI, LINE 9: PENSION RELATED CHANGES-AMOUNTS REFLECTED AS OTHER CHANGE IN NET ASSETS 81,144.