2016-06-15T12:51:56-07:00 2015-07-31 990 2014-08-01 310707369 FRANKLIN UNIVERSITY FRAN 6149476002 201 South Grant Avenue Columbus OH 432155399 Marv Briskey Treasurer/CFO 6149476002 2016-06-15 2014 2016-08-17 19:52:53Z Dr David Decker 201 South Grant Avenue Columbus OH 432155399 155842591 0 X www.franklin.edu X 1964 OH Franklin University and its subsidiary Urbana University are student-centered, nonprofit, independent institutions providing high quality, relevant education to enable the broadest possible community of learners to achieve their goals and enrich the world. 23 23 1632 23 -11347 0 1804555 2676943 63686407 79590771 14785783 7355431 530658 11636 80807403 89634781 1565475 8491567 0 0 45127262 51830660 32709 32441 1724905 23047913 26989418 69773359 87344086 11034044 2290695 129005845 132376197 18920685 22291422 110085160 110084775 X Since 1902, Franklin University has been a pioneer in meeting the needs of adult students who have the ambition to continue their education in combination with other responsibilities. Franklin expanded its offerings in 2014 to meet the needs of traditional students through Urbana University. As a learner-centered institution of higher education, the four cornerstones of the Franklin educational philosophy are (a) Ensuring academic quality (b) Providing equal access to educational opportunities (c) Adapting to the needs of students (d) Responding to changes in society, professions, and the business community. Franklin and Urbana continuously seek and appreciate strategic partner relationships that support our learning environment and experience of our students. Investments from strategic partners may include contributions for student scholarships as well as contributions to enhance program offerings, facilities, and technology. 1 0 49857498 1580103 58623961 Franklin University served 7,609 unique students in 2014-2015 Academic Year granting 1,245 undergraduate degrees and 508 graduate degrees. Franklin primarily serves adult learners, providing 45 academic program offerings (36 undergraduate and 9 graduate). Globally, Franklin offers its MBA and undergraduate programs to students through international partnerships. 18750765 6911464 18974064 Urbana University served 3,295 unique students in 2014-2015 Academic Year granting 177 undergraduate degrees and 37 graduate degrees. Urbana primarily serves traditional students, providing 36 academic program offerings (32 undergraduate and 4 graduate). 2028879 0 1945964 The Franklin University mission includes providing high quality, relevant education to enable the broadest possible community of learners to achieve their goals and enrich the world. To further this goal Franklin offers program design and development services to higher education institutions seeking to expand and improve the quality and their own program offerings. 0 0 0 70637142 1 1 0 0 0 0 0 0 1 1 1 0 0 0 1 1 1 0 1 1 1 0 1 1 0 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 0 0 0 0 1 10045 0 1632 1 1 1 0 0 0 0 0 0 0 0 0 X 23 23 0 0 0 0 0 0 0 1 1 0 0 0 1 1 1 1 1 1 1 0 X Marv Briskey 6149476002 201 South Grant Avenue Columbus OH 432155399 Mary Duchi Board Chair 4 X X 0 0 0 Gary Flynn Immediate Past Chair 4 X X 0 0 0 Bruce Hagen Vice Chair 4 X X 0 0 0 Carl Johnson Secretary 4 X X 0 0 0 Jack Cartner Trustee 2 X 0 0 0 Jamie Crane Trustee 2 X 0 0 0 Jo Ann Davidson Trustee 2 X 0 0 0 Sue Doody Trustee 2 X 0 0 0 Phil Fankhauser Trustee 2 X 0 0 0 Ted Ford Trustee 2 X 0 0 0 Anthony Gonsalves Trustee 2 X 0 0 0 Eugene Griffin Trustee 2 X 0 0 0 Melissa Gutierrez Trustee 2 X 0 0 0 Gary James Trustee 2 X 0 0 0 Floyd Jones Trustee 2 X 0 0 0 Cindy Keitch Trustee 2 X 0 0 0 Greg Lashutka Trustee 2 X 0 0 0 Stan Partlow Trustee 2 X 0 0 0 Clarke Price Trustee 2 X 0 0 0 Peter Roche Trustee 2 X 0 0 0 Ralph Sanese Trustee 2 X 0 0 0 Pam Springer Trustee 2 X 0 0 0 Carole Watkins Trustee 2 X 0 0 0 Dr David R Decker President 55 X 718078 0 42995 Marv Briskey Treasurer/SVP-Chief Financial Officer 50 X 256568 0 42465 Dr Christopher Washington Provost and SVP-Academic Affairs 40 X 256461 0 42663 Bonnie Smith Quist VP-Advancement and Strategic Relations 40 X 215702 0 34667 Rick Sunderman Chief Information Officer 40 X 216736 0 38930 Dr Pamela Shay SVP-Accreditation & Inst. Effectiveness 40 X 240169 0 37301 Christi Cabungcal Chief of Staff & SVP Administration 40 X 258600 0 38977 Dr Godfrey Mendes SVP Global Programs & Strategic Initiatives 40 X 260935 0 90606 Linda Steele VP Enrollment and Student Affairs 40 X 216276 0 36437 Evelyn Levino VP-Planning and University Services 40 X 172231 0 34380 Dr Klaus Haberich SVP and Adviser to President 40 X 306047 0 27400 Patrick Bennett VP Operations, Franklin Learning Solutions 40 X 186592 0 35668 Dr Keith Groff Dean-College of Arts, Sciences and Tech 40 X 161691 0 28508 Dr Tom Seiler Dean College of Business 40 X 166101 0 24942 Dr Karen Miner-Romanoff Dean College of Health & Public Admin 40 X 156873 0 32585 Markel Snyder Executive Director of Strategic Initiatives 40 X 205005 0 33844 Dr Douglas Ross Chair BSAD 40 X 147720 0 25861 Donald S Booth Exec Director Marketing and Enrollment 40 X 145394 0 31096 Randolph Snyder Exec Director Financial Services 45 X 144910 0 33416 Dr Gail Baumlein Chair Dept of Health 40 X 143227 0 27354 4575316 0 740095 83 0 1 0 iProspectcom Inc 200 Clarendon Street 23rd Floor Boston MA 02116 Outsourced digital marketing consulting 1188447 Sodexo 4800 Payshpere Circle Chicago IL 60674 Outsourced food services 869781 TEKsystems Inc 7437 Race Road Hanover MD 21076 Outsourced IT services 565768 Bulldog Resume Services Inc Onshore Momentum 55 Erieview Plaza Suite 220 Cleveland OH 44114 Outsourced IT services 393711 Hogan Lovells US LLP 555 Thirteenth Street NW Washington DC 20004 Outsourced legal services 387368 14 0 0 0 0 866073 1810870 145363 2676943 Tuition and fees - Franklin University 611310 58051496 58051496 0 0 Tuition and fees - Urbana University 611310 16049318 16049318 0 0 Auxiliary revenue 611310 3153993 3153993 0 0 Program development services 611310 1945964 1945964 0 0 390000 390000 0 0 79590771 2690690 0 0 2690690 0 0 0 0 0 0 0 0 100717 0 112064 0 -11347 0 -11347 0 -11347 0 70743704 16783 66020545 75201 4723159 -58418 4664741 -58418 0 4723159 0 22983 22983 0 0 22983 89634781 79555336 -11347 7413849 0 0 8459429 8459429 32138 32138 0 0 4233083 2552348 1426294 254441 0 0 0 0 36545729 29456082 6252914 836733 2640930 2120314 465246 55370 5520378 4463132 922452 134794 2890540 2329105 495677 65758 0 0 0 0 207673 0 207673 0 93578 0 93578 0 0 0 0 0 32441 32441 475153 0 475153 0 4957110 3985820 863720 107570 2332754 2332754 0 0 1753695 1425137 281248 47310 2016109 1628087 339964 48058 933 933 0 0 5360093 4014440 1317478 28175 1298803 1064861 193134 40808 0 0 0 0 252487 202183 45337 4967 392661 0 392661 0 0 0 0 0 3814106 2797908 995919 20279 573433 478679 71492 23262 Bad debt expense 1001375 1001375 0 0 Student food services 808447 808447 0 0 Library 414194 414194 0 0 Athletic programs 338990 338990 0 0 897824 730786 142099 24939 87344086 70637142 14982039 1724905 3144498 3869624 0 0 465887 660552 2746266 3887804 0 0 0 0 2613437 1073340 0 0 970506 961088 76589904 36835426 32065880 39754478 83300205 80033612 1660949 1682320 1792425 0 0 0 245792 453379 129005845 132376197 6945719 7274860 0 0 722116 2616184 11152850 10250132 0 531973 0 0 0 0 100000 0 0 1618273 18920685 22291422 X 105353406 104825912 1631852 1996461 3099902 3262402 110085160 110084775 129005845 132376197 X 2290695 -7165269 0 0 0 4874189 X 0 1 X 1 1 1 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 X 5349184 199803 -17430 33104 0 0 5498453 5345417 29355 697936 723524 0 0 5349184 4597192 2650 764784 19209 0 0 5345417 4465725 16550 206584 91667 0 0 4597192 4294767 5850 414808 249700 0 0 4465725 0.194 0.212 0.594 1 0 2149998 4990809 7140807 3212357 39829931 18604154 24438134 0 1675555 1201654 473901 0 23193063 16110290 7082773 0 1538191 919328 618863 39754478 0 Federal Perkins Loan Program payable 1109673 Payable to Urbana Foundation 508600 1618273 X 79044215 -7165269 0 0 5006177 -2159092 81203307 475153 7956321 8431474 89634781 79044600 0 0 0 244052 244052 78800548 475153 8068385 8543538 87344086 Schedule D, Part IV, Line 2b Custodial accounts include funds held on behalf of various Urbana University on-campus student organizations, and funds held in a charitable remainder trust. Schedule D, Part V, Line 4 Virtually all endowment funds are either for the support of scholarships or the Franklin University Leadership Center. Schedule D, Part X, Line 2 Generally accepted accounting principles prescribes recognition thresholds and measurement attributes for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Tax benefits will be recognized only if a tax position is more-likely-than-not sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized will be the largest amount of tax benefit that is greater than 50% likely being realized on examination. For tax positions not meeting the more-likely-than-not test, no tax benefit will be recorded. Management has concluded that they are unaware of any tax benefits or liabilities to be recognized at July 31, 2015 or 2014. The University would recognize interest and penalties related to unrecognized tax benefits in interest and income tax expense, respectively. The University has no amounts accrued for interest or penalties for the years ended July 31, 2015 and 2014. The University is no longer subject to examination by taxing authorities for years before 2012. The University does not expect the total amount of unrecognized tax benefits to significantly change in the next 12 months. Schedule D, Part XI, Line 2d Inherent contribution recognized for financial reporting under generally accepted accounting principles, but not recognizable as a contribution for tax reporting purposes. Schedule D, Part XI, Line 4b Scholarships netted against tuition and fees for the audited financial statements and rental expenses netted against rent income for Part VIII. Schedule D, Part XII, Line 2d Rental expenses netted against rent income on Part VIII and pledged contribution receivables written-off.. Schedule D, Part XII, Line 4b Scholarships netted against tuition and fees for the audited financial statements. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 1 0 1 Schedule E, Part I, Line 3 As the University draws students from across the country, it satisfies the requirement by including a statement of the University's racially nondiscriminatory policy in brochures, catalogs and other written communications in addition to its website. Schedule E, Part I, Line 6 The University receives significant amounts of financial aid from Federal and state agencies. These funds represent financial aid for students attending the University to assist them with tuition costs, books, fees and living expenses. Any financial aid that is not applied to payment of amounts due the University are passed on to the student. Middle East and North Africa 0 2 Program Services Franklin University offers and delivers Masters of Business Administration (MBA) in partnership with a university in Oman. This MBA program is identical in outcomes and instruction to the domestic based MBA program offered and delivered by Franklin to students in the United States. Franklin University has entered in an agreement to provide online curriculum development, adjunct teaching services, and program installation services to universities in Saudi Arabia. The services provided are identical to the activities performed by Franklin in developing and delivering its own curriculum to students in the United States. 1067607 Europe (including Iceland and Greenland) 0 4 Program Services Franklin University offers and delivers Masters of Business Administration (MBA) in partnership with universities in Poland, Serbia, Macedonia, and Slovakia. These MBA programs are identical in outcomes and instruction to the domestic based MBA program offered and delivered by Franklin to students in the United States. 162486 East Asia and the Pacific 0 1 Program Services Franklin University offers and delivers undergraduate and graduate programs in partnership with a university in South Korea. These programs are identical in outcomes and instruction to the domestic based programs offered and delivered by Franklin to students in the United States. 45500 Russia and the newly independent States 0 1 Program Services Franklin University offers and delivers Masters of Business Administration (MBA) in partnership with a university in Ukraine. This MBA program is identical in outcomes and instruction to the domestic based MBA program offered and delivered by Franklin to students in the United States. 6000 Central America and the Caribbean 0 2 Program Services Franklin University has entered into an agreement with a university Guatemala to review and evaluate its programs. The services provided are identical to the activities performed by Franklin in reviewing its own curriculum and programs for delivery to students in the United States. Franklin University offers and delivers Masters of Science in Business Psychology (MSBP) in partnership with a university in Trinidad and Tobago. This MSBP program is identical in outcomes and instruction to the domestic based MSBP program offered and delivered by Franklin to students in the United States 5047 0 10 1286640 Scholarships and discounts Central America and the Caribbean 3 32138 Credit against balance owed 0 0 1 0 0 0 X X X X 1 Bennett Direct Inc 324 E Wisconsin Avenue Suite 1220 Milwaukee WI 53202 Bennett Direct, Inc. is an unrelated third party that assists Franklin University with its annual Phon-a-thon by providing campaign consultation, design, implementation, script development and messaging, daily reports and a comprehensive final report at the end of the project. 0 47067 32441 14626 47067 32441 14626 AZ KS MI MN MO NC NY OH OR PA WI WV 1 Scholarships - Franklin 363 471066 Student Educational Opportunity Grants - Franklin 620 330324 Tuition discounts and exchange program - Franklin 273 330541 Federal Work Study - Franklin 46 341289 Scholarships - Urbana 558 6155475 Student Educational Opportunity Grants - Urbana 140 194825 Tuition discounts - Urbana 145 491922 Federal Work Study - Urbana 62 69242 Schedule I, Part I, Line 2 The University has numerous procedures to ensure students qualify for scholarships and other assistance both at the time of the award and subsequent thereto. These procedures ensure compliance with applicable Federal and state regulations, stipulations of scholarship criteria and University policies for awards made from the University. X X 1 1 X X X X X X 0 0 0 0 0 0 0 1 0 Dr David R Decker President 393740 0 307742 0 16596 0 26000 0 16995 0 761073 0 0 0 Marv Briskey Treasurer/SVP-Chief Financial Officer 200656 0 61817 0 -5905 0 26000 0 16465 0 299033 0 0 0 Dr Christopher Washington Provost and SVP-Academic Affairs 200656 0 61817 0 -6012 0 26000 0 16663 0 299124 0 0 0 Bonnie Smith Quist VP-Advancement and Strategic Relations 166684 0 51351 0 -2333 0 21803 0 12864 0 250369 0 0 0 Rick Sunderman Chief Information Officer 185466 0 38706 0 -7436 0 22417 0 16513 0 255666 0 0 0 Dr Pamela Shay SVP-Accreditation & Inst. Effectiveness 189402 0 53967 0 -3200 0 24337 0 12964 0 277470 0 0 0 Christi Cabungcal Chief of Staff & SVP Administration 200656 0 61816 0 -3872 0 26000 0 12977 0 297577 0 0 0 Dr Godfrey Mendes SVP Global Programs & Strategic Initiatives 206706 0 59658 0 -5429 0 26000 0 64606 0 351541 0 0 0 Linda Steele VP Enrollment and Student Affairs 166683 0 51351 0 -1758 0 21803 0 14634 0 252713 0 0 0 Evelyn Levino VP-Planning and University Services 148840 0 31063 0 -7671 0 17990 0 16389 0 206611 0 0 0 Dr Klaus Haberich SVP and Adviser to President 232298 0 65602 0 8147 0 26000 0 1400 0 333447 0 0 0 Patrick Bennett VP Operations, Franklin Learning Solutions 153779 0 39734 0 -6921 0 19351 0 16317 0 222260 0 0 0 Dr Keith Groff Dean-College of Arts, Sciences and Tech 139543 0 20801 0 1346 0 16035 0 12474 0 190199 0 0 0 Dr Tom Seiler Dean College of Business 136681 0 27166 0 2254 0 16385 0 8557 0 191043 0 0 0 Dr Karen Miner-Romanoff Dean College of Health & Public Admin 136680 0 26427 0 -6234 0 16311 0 16274 0 189458 0 0 0 Markel Snyder Executive Director of Strategic Initiatives 175670 0 20700 0 8634 0 18683 0 15162 0 238849 0 0 0 Dr Douglas Ross Chair BSAD 115670 0 21961 0 10088 0 13253 0 12609 0 173581 0 0 0 Donald S Booth Exec Director Marketing and Enrollment 126105 0 23604 0 -4315 0 14971 0 16125 0 176490 0 0 0 Randolph Snyder Exec Director Financial Services 125179 0 26090 0 -6359 0 15127 0 18289 0 178326 0 0 0 Dr Gail Baumlein Chair Dept of Health 127783 0 19893 0 -4450 0 14768 0 12587 0 170581 0 0 0 Schedule J, Part I, Line 1a Pursuant to his employment agreement, Dr. David Decker receives a monthly housing allowance, treated as taxable compensation, and a membership in a dinner/fitness club, not treated as taxable compensation. Schedule J, Part I, Line 7 Bonuses are paid based on the achievement of various employee performance based criteria. The Board of Trustees determines the bonus of the President. A Ohio Higher Educational Facility Commission 346849674 000000000 2010-01-01 5000000 Renovation of various buildings and purchase of tech. equip. 0 0 0 B Ohio Higher Educational Facility Commission 346849674 000000000 2010-12-23 9500000 Bond refunding, purchasing and renovation of building, et al 0 0 0 A 2489080 0 5000000 0 0 0 78573 0 0 4921427 0 0 2010 0 0 1 1 B 1760788 0 9500000 0 0 0 89838 0 0 4901207 8955 0 2013 1 0 1 1 A 0 0 0 0 0 0 0 1 0 1 B 0 0 0 0 0 0 0 1 0 1 A 0 0 1 0 0 0 0 0 1 B 0 1 0 0 0 0 0 0 1 A 1 B 1 X 1 5113 Quoted market price X 1 135000 Appraisal X Mulch 1 5250 Retail value 0 0 1 0 Form 990, Part III, Line 2 During June 2014 Franklin University acquired the tangible assets of Urbana University and entered into an Operating Agreement with the Urbana Board of Trustees. The Operating Agreement allowed Franklin to operate the Urbana University campus pending change in ownership approval by the Higher Learning Commission. In November 2014 Franklin received Higher Learning Commission approval to acquire the intangible assets and rights to the operations of Urbana University. Form 990, Part VI, Section B, Line 11b Upon completion of the Form 990 and all supporting schedules (the "return") by the Director of Accounting, the return was first reviewed by the Chief Financial Officer and the University President, with consultation of tax experts where considered necessary. The return was then provided to the Chairman and Vice Chairman of the Board of Trustees and the Chair of the Finance Committee for their review. Questions arising from this review were addressed as appropriate, with any necessary changes made to the 990. A copy of the Form 990 and all required schedules, except Schedule B, reflecting all changes arising from the review process described above, was provided to the full Board of Trustees via e-mail approximately one week prior to filing of the return. Form 990, Part VI, Section B, Line 12c Each year a copy of the University's Employee Ethics (Conflict of Interest) Policy is provided to each Trustee, the President and other officers of the University, along with a questionnaire related to the policy. Responses to the questionnaire, which are summarized for review by the president of the university, will identify any potential conflicts of interest. Should business come before the board or committee thereof that presents a potential conflict, the affected board member would be asked to abstain from any board action on that business. Form 990, Part VI, Section B, Line 15 Reviews, as prepared by an independent compensation consulting firm (the "consultants"), were conducted in fiscal year 2008-2009 on all University officers, including the president, via a thorough examination of external documented pay data (published surveys and 990 filings) for comparable positions at peer institutions (as mutually agreed upon by Franklin University and the consultants). Compensation levels were reviewed for market competiveness and reasonableness and were compared for all components of pay including cash compensation, benefits and perquisites. In preparation for such reviews, the consultants interviewed a number of University officers and members of the Board of Trustees to gain perspective on the University's work environment mission, pay philosophies and pay program effectiveness. The results included individual market reports as well as an aggregate perspective. The Compensation Committee of the Board of Trustees approved the resulting reviews and compensation levels of the president and his direct reports and proposed the adoption of a related executive compensation philosophy which was ultimately approved in January of 2010 by the full board. The compensation reviews covered all senior employees (earning over $100,000), including individuals not reporting directly to the president. These reviews, although conducted in a previous fiscal year, were fully vetted by the Compensation Committee and full board in fiscal year 2014-2015. All such actions were reflected in the minutes of both the Compensation Committee and the Board of Trustees. Any compensation changes made were relative to the independent market review. During fiscal year 2014-2015 a full external review of the President's compensation was conducted consistent with specifications outlined above in the prior review. The review was conducted and results were prepared by consulting firm, Findley Davies in preparation for the renewal of the President's contract. The compensation committee of the board and ultimately the full board voted to approve the new contract including the fully vetted new compensation levels. The board was given a deep and thorough view into the compensation studies as prepared by Findley Davies, all of which is reflected in board minutes. A new independent review is currently under way and will be completed in July 2016 and will include all highly compensated individuals and all officers and executives. Form 990, Part VI, Section C, Line 19 Financial statements, governing documents, and conflict of interest policies are not required disclosures pursuant to Internal Revenue Code (IRC) Section 6104. These documents are not available to the public at this time. Form 990, Part XI, Line 9 Inherent contribution recognized for financial reporting under generally accepted accounting principles, but not recognizable as a contribution for tax reporting purposes and pledged contribution receivables written-off. Franklin University - Urbana LLC dba Urbana University 201 South Grant Avenue Columbus OH 43215 810997614 Institution of higher education OH 19823701 13524591 Franklin University