2016-02-12T07:47:55-06:00 2015-06-30 061009205 BLUM SHAPIRO & COMPANY PC CPA'S 29 S MAIN STREET PO BOX 272000 WEST HARTFORD CT 061272000 990 2014-07-01 060910420 CHOATE ROSEMARY HALL FOUNDATION INCORPORATED CHOA 2036972225 333 CHRISTIAN STREET WALLINGFORD CT 064923818 RICHARD SALTZ CHIEF FINANCIAL OFFICER 2036972225 2016-02-11 1 ELIZABETH SOLECKI P00235171 8605614000 2016-02-11 2014 2016-08-17 19:52:53Z CHOATE ROSEMARY HALL ALEXANDER CURTIS 333 CHRISTIAN STREET WALLINGFORD CT 064923818 74973385 0 X WWW.CHOATE.EDU X 1974 CT TO PROVIDE A QUALITY SECONDARY INDEPENDENT SCHOOL EDUCATION TO APPROXIMATELY 875 STUDENTS PER YEAR. 23 22 689 0 -533721 -533721 24299117 18189969 47744960 49586097 9260418 6460655 -87521 -73456 81216974 74163265 10446831 10922710 0 0 30798069 32524412 0 0 3565325 30990155 35180420 72235055 78627542 8981919 -4464277 554117639 559869681 60655446 69027818 493462193 490841863 X TO PROVIDE A QUALITY SECONDARY INDEPENDENT SCHOOL EDUCATION TO APPROXIMATELY 875 STUDENTS PER YEAR. 0 0 26439621 49586097 THE SCHOOL EDUCATES (ACADEMICALLY, RESIDENTIALLY AND ATHLETICALLY) APPROXIMATELY 875 STUDENTS, GENERATING OVER $32.3 MILLION OF NET TUITION AND FEES, THROUGH THE EFFORTS OF DEDICATED FACULTY AND SUPPORT. 13759297 THE SCHOOL MAINTAINS ABOUT 1.3 MILLION SQUARE FEET OF RESIDENTIAL, ACADEMIC AND ATHLETIC SPACE FOR A COMMUNITY OF OVER 1,000 MEMBERS. THE MAJORITY OF THIS EXPENSE REFLECTS THE DEPRECIATION ON THE SCHOOL PROPERTY, PLANT AND EQUIPMENT, WHICH HAS A CURRENT ACCOUNTING VALUE OF $137.9 MILLION. 10922710 10922710 THE SCHOOL DISCOUNTS TUITION IN THE FORM OF FINANCIAL AID AT AN APPROXIMATE RATE OF 25% IN AN EFFORT TO RECRUIT AND RETAIN THE MOST TALENTED STUDENT BODY. THE SCHOOL RECOGNIZES THAT A DIVERSE STUDENT BODY BETTERS THE OVERALL EXPERIENCE FOR ALL INVOLVED, AND THAT WHILE NOT EVERYONE CAN CONTRIBUTE FINANCIALLY IN TERMS OF TUITION, EVERYONE HAS SOMETHING TO OFFER THE CHOATE ROSEMARY HALL COMMUNITY. 5292867 MANAGEMENT FEES FOR FOOD SERVICE AND HOUSEKEEPING EXPENSES 1617508 TRAVEL AND CONFERENCE EXPENSES 2360627 OFFICE AND INFORMATION TECHNOLOGY EXPENSES 4213237 ALL OTHER PROGRAM RELATED EXPENSES, INCLUDING ADVERTISING, ROYALTIES, INTEREST PAYMENTS, OUTSIDE RENTALS, ETC. 13484239 64605867 1 1 0 0 0 0 0 0 0 1 1 1 0 0 1 0 1 0 1 1 1 0 0 0 0 0 0 0 1 1 1 0 0 0 0 0 1 1 0 1 0 1 0 0 0 0 1 0 0 0 1 212 0 1 689 1 1 1 1 SP FR 0 0 0 0 0 0 0 0 X 23 22 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 X GARY P NAEGEL 2036972225 333 CHRISTIAN STREET WALLINGFORD CT 06492 ALEXANDER CURTIS HEADMASTER 60.00 X X 486215 0 192907 SAMUEL P BARTLETT TRUSTEE 2.00 X 0 0 0 MICHAEL J CARR TRUSTEE 2.00 X 0 0 0 GEORGE F COLONY TRUSTEE 2.00 X 0 0 0 THOMPSON DEAN TRUSTEE 2.00 X 0 0 0 DAVID FOSTER TRUSTEE 2.00 X 0 0 0 ROBERT B GOERGEN JR TRUSTEE 2.00 X 0 0 0 JOHN F GREEN TRUSTEE 2.00 X 0 0 0 LINDA J HODGE TRUSTEE 2.00 X 0 0 0 BRETT M JOHNSON TRUSTEE 2.00 X 0 0 0 VANESSA KONG KERZNER TRUSTEE 2.00 X 0 0 0 CECELIA M KURZMAN TRUSTEE 2.00 X 0 0 0 EDWARD O LANPHIER TRUSTEE 2.00 X 0 0 0 GRETCHEN COOPER LEACH TRUSTEE 2.00 X 0 0 0 JAMES A LEBOVITZ TRUSTEE 2.00 X 0 0 0 KEWSONG LEE TRUSTEE 2.00 X 0 0 0 ROBERT A MINICUCCI TRUSTEE 2.00 X 0 0 0 MARSHALL S RUBEN TRUSTEE 2.00 X 0 0 0 HENRY K SNYDER TRUSTEE 2.00 X 0 0 0 JEANETTE SUBLETT TRUSTEE 2.00 X 0 0 0 BORJE E EKHOLM TRUSTEE 2.00 X 0 0 0 PATRICK J MCCURDY TRUSTEE 2.00 X 0 0 0 PETER B ORTHWEIN TRUSTEE 2.00 X 0 0 0 RICHARD SALTZ CFO 60.00 X 232959 0 73949 DANIEL COURCEY EXEC DIR OF DEVELOPMENT 60.00 X 307195 0 167991 JOHN BURDITT CIO 40.00 X 255503 0 54512 BENJAMIN GARDNER MEDICAL DIRECTOR 60.00 X 157966 0 60196 KATHLEEN WALLACE ASSOCIATE HEADMASTER 40.00 X 176881 0 26175 RAYMOND DIFFLEY ADMISSION DIRECTOR 40.00 X 137862 0 104251 STEPHEN FARRELL DEAN OF FACULTY 60.00 X 143689 0 125957 EDWARD GRIFFIN CONTROLLER & BUSINESS MGR 40.00 X 140006 0 38931 2038276 0 844869 39 0 1 0 NEWFIELD CONSTRUCTION 225 NEWFIELD AVENUE HARTFORD CT 06100 CONSTRUCTION 9944477 ARAMARK CAMPUS SERVICE PO BOX 198532 ATLANTA GA 303848532 FOOD SERVICE 2402051 SAGE DINING SERVICES 1402 YORK ROAD SUITE 100 LUTHERVILLE MD 21093 FOOD SERVICE 1653274 ABM JANITORIAL SERVICES PO BOX 1534 NEW YORK NY 100081534 CAMPUS JANITORIAL SERVICES 1347220 KRONENBERGER & SONS RESTORATION 175 INDUSTRIAL PARK ROAD MIDDLETOWN CT 06457 CONTRACTOR 726100 22 18189969 6042850 18189969 TUITION AND FEES 611710 48110117 48110117 STUDENT ACTIVITIES 611710 418180 418180 INFIRMARY/COUNSELING 611710 291033 291033 APPLICATION FEES 611710 219226 219226 RENTS 611710 140210 140210 407331 407331 49586097 1517242 -638867 2156109 258254 307083 -48829 -48829 -48829 5228640 0 285227 5228640 -285227 4943413 153975 4789438 193183 217810 -24627 -24627 74163265 49586097 -533721 6920920 10922710 10922710 1281875 121554 610015 550306 21697954 18903473 1411503 1382978 3097424 2552237 262515 282672 4809184 3490678 1062423 256083 1637975 1371679 136746 129550 5306705 5292867 13828 10 174991 174991 85320 85320 4509780 4509780 2896271 2132137 597630 166504 72711 19063 53648 3009189 2053696 720478 235015 332599 306931 25628 40 7468 7468 2310969 2183568 101998 25403 1833095 1410782 133110 289203 222567 206726 9391 6450 1572946 1506882 48919 17145 10033297 9604497 317516 111284 809136 775152 25164 8820 MAINTENANCE & REPAIR 1288598 1196080 92518 OUTSIDE RENTALS 194578 124344 11280 58954 MINOR EQUIMENT PURCHASE 167663 146425 19517 1721 GIFTS & RECOGNITION 129693 65575 30660 33458 222844 211343 1772 9729 78627542 64605867 10456350 3565325 9696423 16305684 22186416 19695324 95496 53072 88000 144191 416808 336208 2400357 2529616 255609140 117681632 128503259 137927508 103021844 103033201 285372589 279549730 2336447 295147 554117639 559869681 4422432 6276710 11373359 15323325 36110000 36110000 8749655 11317783 60655446 69027818 X 217502616 226255259 152194589 139077368 123764988 125509236 493462193 490841863 554117639 559869681 X -4464277 2632875 -788928 X X 0 1 X 1 0 X 29270350 22200813 20945548 24299117 18189969 114905797 29270350 22200813 20945548 24299117 18189969 114905797 29270406 85635391 859386 2495143 1546476 1706377 2156109 8763491 68834 29429 98263 123767551 229293448 0.69190 0.69430 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 356726590 4860464 9114022 14164319 2928597 353608160 317866454 7947370 48057826 13240358 3904702 356726590 284784784 7309320 41718690 12096396 3849944 317866454 286521297 9378558 3064867 11094464 3085474 284784784 237129117 16723637 49439024 14259927 2510554 286521297 0.35000 0.35000 0.30000 0 0 2622278 2622278 210025124 92502632 117522492 0 24121384 18806999 5314385 18840354 6372001 12468353 137927508 ALTERNATIVE INVESTMENTS 269725341 F SPLIT INTEREST AGREEMENTS 9824389 F 279549730 LIABILITY UNDER SPLIT-INTEREST AGREEMENTS 3847869 AMOUNTS HELD ON BEHALF OF OTHERS 164600 INTEREST RATE SWAP VALUATION 7305314 11317783 60966561 2632875 -16310771 -13677896 74644457 -481192 -481192 74163265 63147287 481192 481192 62666095 15961447 15961447 78627542 PART V, LINE 4: THE INTENDED USE OF THE ENDOWMENT FUNDS IS TO SUPPORT THE ORGANIZATION'S MISSION OF PROVIDING A QUALITY EDUCATION TO STUDENTS. PART XI, LINE 2D - OTHER ADJUSTMENTS: FINANCIAL AID RECLASS -10,922,710. INVESTMENT MANAGEMENT FEE RECLASS -2,928,597. CHANGE IN VALUE OF SPLIT INTEREST OBLIGATIONS -2,110,140. BENEFITS PAID ON ANNUITY OBLIGATIONS -349,324. PART XI, LINE 4B - OTHER ADJUSTMENTS: RENTAL EXPENSES RECLASS -307,084. COST OF GOODS SOLD RECLASS -217,810. RECLASS POSTAGE RECHARGES 43,702. PART XII, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD RECLASS 217,810. RENTAL EXPENSES RECLASS 307,084. RECLASS POSTAGE RECHARGES -43,702. PART XII, LINE 4B - OTHER ADJUSTMENTS: FINANCIAL AID RECLASS 10,922,710. INVESTMENT MANAGEMENT FEES RECLASS 2,928,597. CHANGE IN VALUE OF SPLIT INTEREST AGREEMENTS 2,110,140. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 SCHEDULE E, PART I, LINE 3 A STATEMENT OF CHOATE'S NON-DISCRIMINATION POLICY IS INCLUDED IN ALL BROCHURES AND CATALOGS PERTAINING TO APPLICATIONS, FINANCIAL AID AND ENROLLMENT MATERIALS UTILIZED DURING STUDENT RECRUITMENT, MATRICULATION AND RE-ENROLLMENT, IS POSTED IN MULTIPLE LOCATIONS ON OUR WEB SITE, AND IS STATED IN ALUMNI PUBLICATIONS. EUROPE 2 2 PROGRAM SERVICES STUDY ABROAD PROGRAM 430695 EAST ASIA AND THE PACIFIC 0 1 PROGRAM SERVICES STUDY ABROAD PROGRAM 125445 MIDDLE EAST AND NORTH AFRICA 0 0 PROGRAM SERVICES STUDY ABROAD PROGRAM 45134 CENTRAL AMERICA AND THE CARIBBEAN 0 0 INVESTMENTS 63581968 EUROPE 0 0 INVESTMENTS 5867865 2 3 0 0 2 3 70051107 0 70051107 1 0 1 1 1 0 1 FINANCIAL AID 272 10922710 OTHER FINANCIAL AID-REDUCTION IN TUITION PART I, LINE 2: FINANCIAL AID IS PROVIDED VIA A REDUCTION IN TUITION. X X X 0 1 X X X X X 0 0 0 0 0 0 0 0 1 1 ALEXANDER CURTIS HEADMASTER 421328 0 0 0 64887 0 56500 0 136407 0 679122 0 0 0 RICHARD SALTZ CFO 231598 0 0 0 1361 0 35625 0 38324 0 306908 0 0 0 DANIEL COURCEY EXEC DIR OF DEVELOPMENT 302750 0 0 0 4445 0 46500 0 121491 0 475186 0 0 0 JOHN BURDITT CIO 248844 0 0 0 6659 0 42188 0 12324 0 310015 0 0 0 BENJAMIN GARDNER MEDICAL DIRECTOR 155384 0 0 0 2582 0 26908 0 33288 0 218162 0 0 0 KATHLEEN WALLACE ASSOCIATE HEADMASTER 174500 0 0 0 2381 0 26175 0 0 0 203056 0 0 0 RAYMOND DIFFLEY ADMISSION DIRECTOR 137314 0 0 0 548 0 22837 0 81414 0 242113 0 0 0 STEPHEN FARRELL DEAN OF FACULTY 141127 0 0 0 2562 0 21147 0 104810 0 269646 0 0 0 EDWARD GRIFFIN CONTROLLER & BUSINESS MGR 139464 0 0 0 542 0 22432 0 16499 0 178937 0 0 0 PART I, LINE 1B THE SCHOOL REQUIRES THAT ITS SENIOR LEADERSHIP RESIDE ON CAMPUS AS A CONDITION OF EMPLOYMENT. ALL FACULTY WHO RESIDE IN SCHOOL HOUSING ARE REQUESTED TO SUBSTANTIATE THEIR "BUSINESS USE" OF THE FACILITY ONCE A YEAR. ALL FACULTY ARE REQUIRED TO PROVIDE SERVICES TOWARD THE RESIDENTIAL LIFE PROGRAM AT CHOATE ROSEMARY HALL. THE SCHOOL DOES NOT REIMBURSE EXPENSES FOR HOUSING AND PERSONAL SERVICES. PART I, LINE 8 A NEW HEADMASTER BEGAN AT THE SCHOOL IN JULY 2011. A NEW THREE YEAR CONTRACT WAS NEGOTIATED AT THE TIME. HUGH MALLON OF EXECUTIVE COMPENSATION CONCEPTS LTD. WAS RETAINED TO PROVIDE ANALYTICAL DATA TO ENSURE THE SCHOOL WAS COMPENSATING THE NEW HEADMASTER APPROPRIATELY. COMPARISON COMPENSATION DATA WAS ALSO DEVELOPED FROM ANNUAL ABOPS SURVEYS. THIS INFORMATION WAS GIVEN TO THE COMPENSATION COMMITTEE OF THE BOARD OF TRUSTEES AS THE CONTRACT WAS NEGOTIATED. A CONNECTICUT HEALTH AND EDUCATIONAL FACILITIES AUTHORITY 060806186 20774YUT2 2015-03-27 36110000 SERIES E BONDS WERE ISSUED TO REFINANCE SERIES D BONDS 0 0 0 A 36110000 36110000 1 0 1 1 A 0 0 0 0 0.00000 0.00000 0.00000 0 0 1 A 0 0 0 0 1 1 BARCLAY'S 22.000000000000 1 0 0 0 1 A 0 ALEXANDER CURTIS HEAD OF SCHOOL LOAN TO FACILITATE MOVE TO CT X 113000 63000 0 1 1 DANIEL COURCEY EXECUTIVE DIRECTOR OF DEVELOPMENT HOME REFINANCE X 81191 81191 0 1 1 144191 VARIOUS CHILDREN OF FACULTY $500 COLLEGE AID GRANT COLLEGE GRANT THERESE BURDITT SPOUSE OF KEY EMPLOYEE 33061 EMPLOYMENT 0 ELIZABETH FECKO-CURTIS SPOUSE OF HEADMASTER 37036 EMPLOYMENT 0 X 58 6042850 FMV 0 1 1 PART I, LINE 32B: THE SCHOOL UTILIZES THE SERVICES OF STOCK BROKER FIRMS TO SELL DONATED SECURITIES. CASH IS THEN TRANSFERRED TO THE SCHOOL'S BANK ACCOUNT. FORM 990, PART VI, SECTION B, LINE 11 THE MANAGEMENT OF THE SCHOOL DISTRIBUTES THE DRAFT COPY OF THE FORM 990 TO THE ENTIRE BOARD OF TRUSTEES. THE AUDIT COMMITTEE CALLS A MEEETING FOR ALL TRUSTEES IN WHICH MANAGEMENT GOES THROUGH THE FORM 990, THE FORM 990-T AND THE FORM CT-990T IN DETAIL. AFTER REVIEW AND APPROVAL, THE FORM IS SUBMITTED TO THE PROPER AUTHORITIES. FORM 990, PART VI, SECTION B, LINE 12C THE SCHOOL'S AUDIT COMMITTEE DOES AN INVENTORY OF EACH RESPONDENT'S CONFLICT OF INTEREST QUESTIONNAIRE BEFORE EACH APRIL MEETING. THE AUDIT COMMITTEE ENSURES THERE IS A 100% RESPONSE RATE. THE TRUSTEESHIP COMMITTEE FOLLOWS UP ON CONFLICTS THAT ARE DISCLOSED, IF ANY. FORM 990, PART VI, SECTION B, LINE 15 A NEW HEADMASTER BEGAN AT THE SCHOOL IN JULY 2011. A NEW THREE YEAR CONTRACT WAS NEGOTIATED AT THE TIME. HUGH MALLON OF EXECUTIVE COMPENSATION CONCEPTS LTD. WAS RETAINED TO PROVIDE ANALYTICAL DATA TO ENSURE THE SCHOOL WAS COMPENSATING THE NEW HEADMASTER APPROPRIATELY. COMPARISON DATA WAS ALSO DEVELOPED FROM ANNUAL ABOPS SURVEYS. THIS INFORMATION WAS GIVEN TO THE COMPENSATION COMMITTEE OF THE BOARD OF TRUSTEES AS THE CONTRACT WAS NEGOTIATED. THE COMPENSATION COMMITTEE OF THE BOARD OF TRUSTEES MEETS ONCE A YEAR TO DISCUSS AND REVIEW THE HEADMASTER'S AND SENIOR ADMINISTRATORS' COMPENSATION. THE CFO PROVIDES SALARY HISTORY AND COMPARISONS FROM ABOPS AND/OR NACUBO OR OTHER THIRD PARTY SOURCES TO THE COMMITTEE FOR THE HEADMASTER AND SENIOR ADMINISTRATORS AND MAKES A RECOMMENDATION OF INCREASES BASED ON FACULTY COMPENSATION POOL (PERCENT OF INCREASE). FROM TIME-TO-TIME, A PRIVATE CONSULTANT IS CONTRACTED TO PERFORM INDEPENDENT ANALYSIS OF COMPENSATION PACKAGES AND ENSURE COMPLIANCE WITH IRS REGULATIONS OF THE INTERMEDIATE SANCTIONS ACT AND REBUTTABLE PRESUMPTION OF REASONABLENESS TESTS. FORM 990, PART VI, SECTION C, LINE 19 THE SCHOOL ANNUALLY POSTS ITS AUDITED FINANCIAL STATEMENTS ON ITS WEBSITE, WWW.CHOATE.EDU. THE SCHOOL DOES NOT MAKE ITS GOVERNING DOCUMENTS OR ITS CONFLICT OF INTEREST POLICY AVAILABLE TO THE PUBLIC. FORM 990, PART XI, LINE 9: BENEFITS PAID ON ANNUITY OBLIGATIONS -349,324. UNREALIZED LOSS ON INTEREST RATE SWAP -439,604. FORM 990, PART XII, LINE 2C THE ORGANIZATION HAS A COMMITTEE WHICH OVERSEES THE WORK OF ITS INDEPENDENT ACCOUNTANTS, AND IS RESPONSIBLE FOR THEIR SELECTION. CHARITABLE REMAINDER TRUST (1) CHARITABLE TRUST CT T 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0