2015-03-23T15:22:01-05:00 2014-06-30 560574444 CHERRY BEKAERT LLP 1111 METROPOLITAN AVE STE 1000 CHARLOTTE NC 28204 990 2013-07-01 560935064 CANNON SCHOOL INC CANN 7047868171 5801 POPLAR TENT ROAD CONCORD NC 28027 WHITNEY BROWN DIR OF FINANCE 7047868171 2015-03-09 1 JANICE A RATICA P00358837 7043771678 2013 2016-02-25 16:41:14Z WHITNEY BROWN 5801 POPLAR TENT ROAD CONCORD NC 28027 21196105 0 X WWW.CANNONSCHOOL.ORG X 1968 NC CANNON SCHOOL WAS FOUNDED IN 1968 AND IS A NON-PROFIT, INDEPENDENT SCHOOL THAT FOCUSES ON THE INDIVIDUAL STUDENT. THE SCHOOL OCCUPIES A 65-ACRE CAMPUS JUST OFF THE I-85 CORRIDOR IN CONCORD, NC. APPROXIMATELY 937 STUDENTS WERE ENROLLED AT THE SCHOOL DURING THE FISCAL YEAR 2014 IN GRADES JUNIOR KINDERGARTEN THROUGH 12TH GRADE. CANNON ENCOURAGES STUDENTS TO STRETCH TO THEIR FULLEST POTENTIAL AND BECOME ENGAGED STUDENTS AND OUTSTANDING CITIZENS. CANNON'S LOWER SCHOOL STRESSES ACADEMIC EXCELLENCE, WITH A BALANCE OF ENRICHMENT OPPORTUNITIES AND AN EMPHASIS ON CHARACTER DEVELOPMENT. CANNON'S MIDDLE SCHOOL PROVIDES A CLIMATE FOR EMERGING YOUNG ADULTS TO NURTURE THEIR LOVE OF LEARNING, STRENGTHEN THEIR SELF CONCEPT, AND EXPLORE EXTRACURRICULAR ACTIVITIES. CANNON'S UPPER SCHOOL DEDICATES ITSELF TO DEVELOPING TEACHING PRACTICES AND CURRICULUM THAT EQUIP STUDENTS TO LEARN HOW TO LEARN AND IS BASED ON A TRADITIONAL COLLEGE PREPARATORY CURRICULUM. 18 18 287 18 0 0 6166455 2063120 16228399 17397117 190449 729885 -2565 15492 22582738 20205614 1999157 2228792 0 0 10066588 10695194 0 0 528677 4598180 4705675 16663925 17629661 5918813 2575953 37169709 39599156 14980060 15005701 22189649 24593455 PROVISION OF A QUALITY K-12 EDUCATIONAL PROGRAM WITHIN A SAFE, DIVERSE, AND CHALLENGING ENVIRONMENT. 0 0 13723726 2228792 15909837 INSTRUCTION - PRIMARY AND SECONDARY EDUCATION WHICH BENEFITS STUDENTS WITHOUT REGARD TO RACE, RELIGION OR NATIONAL ORIGIN. THE SCHOOL SERVED APPROXIMATELY 937 STUDENTS DURING FISCAL YEAR 2014. 447513 551243 SPECIAL PROGRAM FEES - FUNDS WERE USED TO PROVIDE SPECIAL PROGRAMS, SUCH AS EXTENDED DAY CARE, SUMMER CAMPS, AND AFTER SCHOOL PROGRAMS TO STUDENTS. 745855 936037 AUXILIARY SERVICES - FUNDS WERE USED TO PROVIDE SERVICES SUCH AS TRANSPORTATION TO STUDENTS IN GRADES PRE-KINDERGARTEN TO 12. 14917094 1 1 0 0 0 0 0 0 0 1 1 1 0 0 1 1 1 0 1 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 1 1 0 0 0 1 0 0 0 0 0 0 0 0 1 60 0 1 287 1 0 0 0 0 0 1 1 0 0 0 0 X 18 18 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 NC X ANDREA TREMBATH 7047868171 5801 POPLAR TENT ROAD CONCORD NC 28027 MR BOB BRATTON TRUSTEE 1.00 X 0 0 0 MR HORACE BRYAN TRUSTEE 1.00 X 0 0 0 MR FRED BRYANT TRUSTEE 1.00 X 0 0 0 MRS BLAKE EVANS TRUSTEE 1.00 X 0 0 0 MR TOM KABASAKALIAN TRUSTEE 1.00 X 0 0 0 MR JERRY T KURTZ TRUSTEE 1.00 X 0 0 0 MR STEVE MCLEOD TRUSTEE 1.00 X 0 0 0 MR SHARIF METWALLI TRUSTEE 1.00 X 0 0 0 MR JIM MICHAELS TRUSTEE 1.00 X 0 0 0 MR HANS PETERSON TRUSTEE 1.00 X 0 0 0 MR JOHN D PHILLIPS JR TRUSTEE 1.00 X 0 0 0 MRS KIM REYNOLDS TRUSTEE 1.00 X 0 0 0 DR SUSAN SANDERS TRUSTEE 1.00 X 0 0 0 MR RICHARD SCHACHNER JR TRUSTEE 1.00 X 0 0 0 MRS SUSAN SCHNEIDER TRUSTEE 1.00 X 0 0 0 MR RUSS ANDREWS CHAIR 1.00 X X 0 0 0 TIM TYSINGER VICE CHAIR 1.00 X X 0 0 0 DR KRISTIN BAKER SECRETARY 1.00 X X 0 0 0 MR MATT GOSSAGE HEAD OF SCHOOL/EX-OFFICIO 40.00 X 343084 0 36647 WHITNEY BROWN DIRECTOR, BUSINESS & FINANCE 40.00 X 96453 0 29450 MATTHEW RUSH HEAD OF MIDDLE SCHOOL 40.00 X 107548 0 51586 FREDERICK HARTUNG DIRECTOR OF ADVANCEMENT 40.00 X 100684 0 28509 647769 0 146192 3 0 1 0 SUMMIT DEVELOPERS INC PO BOX 4283 SALISBURY NC 281454283 BUILDER 3117477 CAROLINA CLEANING SOLUTIONS INC PO BOX 1167 KANNAPOLIS NC 28082 JANITORIAL CONTRACTOR 187530 WGM DESIGN INC 916 WEST 5TH STREET SUITE 200 CHARLOTTE NC 28202 ARCHITECHTURAL DESIGN SERVICES 114147 3 12448 2050672 599890 2063120 TUITION AND FEES 900099 15909837 15909837 OTHER AUXILIARY ACTIVITIES 900099 578092 578092 TRANSPORTATION FEES 900099 357945 357945 BEYOND THE BELL FEES 900099 304632 304632 CAMP CANNON FEES 900099 246611 246611 17397117 176769 176769 16560 0 16560 16560 16560 1535912 1200 955618 28378 580294 -27178 553116 553116 5427 12448 6495 -1068 -1068 20205614 17397117 0 745377 2228792 2228792 505634 505634 8416008 7344218 768719 303071 525960 432717 76086 17157 602049 493281 89473 19295 645543 531810 92063 21670 14485 14485 35149 35149 76230 76230 135210 67605 67605 169292 112918 56374 131085 87434 43651 902478 668764 233714 338756 338756 1139272 1139272 127286 84900 42386 CURRICULUM EXPENSES 419862 419862 SUMMER CAMP/SCH. STORE 245889 245889 BOOSTER ORGANIZATIONS 192060 192060 ATHLETIC EXPENSES 134387 134387 644234 359280 185075 99879 17629661 14917094 2183890 528677 6798687 7540519 4856697 3337258 4128654 3159446 844266 736441 60000 40000 29899 50907 176967 215959 30542025 11348819 15733673 19193206 4499093 5272114 41773 53306 37169709 39599156 1093967 1691679 5928781 5951896 7280000 6795000 4125 673187 567126 14980060 15005701 X 15091932 18714672 5852094 4611035 1245623 1267748 22189649 24593455 37169709 39599156 X 2575953 73366 -245513 X X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 4438048 48325 752255 70152 5168476 3723259 254175 502297 41683 4438048 3754924 89390 -48099 72956 3723259 3064129 77469 645210 31884 3754924 2784413 62158 399254 23699 3222126 0.66000 0.25000 0.09000 0 0 501819 501819 20090694 8875668 11215026 5598151 2473151 3125000 4351361 4351361 19193206 EQUITIES 1054189 F MUTUAL FUNDS - EQUITIES 3181634 F MUTUAL FUNDS - FIXED INC. 1036291 F 5272114 VALUATION OF DERIVATIVE INSTRUMENT 515566 CAPITAL LEASES 51560 567126 X 17776021 73366 -2474305 -2400939 20176960 35149 -6495 28654 20205614 15372215 6495 6495 15365720 35149 2228792 2263941 17629661 PART V, LINE 4: ENDOWMENT FUNDS ARE USED TO FUND A VARIETY OF PROGRAMS THAT ARE ALIGNED WITH THE SCHOOL'S EXEMPT PURPOSE. THOSE FUNDS WITH DONOR IMPOSED RESTRICTIONS ARE EXPENDED ACCORDING TO THE DONOR RESTRICTIONS. THERE ARE SPENDING POLICIES BASED UPON INVESTMENT RETURNS. PART X, LINE 2: THE SCHOOL HAS RECEIVED A FAVORABLE DETERMINATION LETTER FROM THE INTERNAL REVENUE SERVICE WITH RESPECT TO ITS TAX-EXEMPT STATUS UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE ("IRC") AND IS EXEMPT FROM FEDERAL AND STATE INCOME TAXES. MANAGEMENT BELIEVES THAT THE SCHOOL CONTINUES TO SATISFY THE REQUIREMENTS OF A TAX-EXEMPT ORGANIZATION AND IS NOT SUBJECT TO INCOME TAX. ACCORDINGLY, NO PROVISION FOR INCOME TAXES HAS BEEN REFLECTED IN THE ACCOMPANYING FINANCIAL STATEMENTS. IN ACCORDANCE WITH IRC REGULATIONS, THE SCHOOL IS TAXED ON UNRELATED BUSINESS INCOME, WHICH CONSISTS OF EARNINGS FROM ACTIVITIES NOT RELATED TO THE EXEMPT PURPOSE OF THE SCHOOL. THE SCHOOL ACCOUNTS FOR TAX UNCERTAINTIES BASED ON A MORE LIKELY THAN NOT RECOGNITION THRESHOLD WHEREBY TAX BENEFITS ARE ONLY RECOGNIZED WHEN THE SCHOOL BELIEVES THAT THEY HAVE A GREATER THAN 50% LIKELIHOOD OF BEING SUSTAINED UPON EXAMINATION BY TAXING AUTHORITIES. THE SCHOOL HAS EVALUATED ALL OF ITS TAX POSITIONS AND DETERMINED THAT IT HAD NO UNCERTAIN INCOME TAX POSITIONS AS OF JUNE 30, 2014 AND 2013. MANAGEMENT BELIEVES THE SCHOOL IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS FOR YEARS PRIOR TO 2011. PART XI, LINE 2D - OTHER ADJUSTMENTS: FINANCIAL AID AND SCHOLARSHIPS SHOWN NET OF TUITION ON FINANCIALS -2,228,792. CHANGE IN FAIR VALUE OF SWAP 31,985. ADJUSTMENT TO PLEDGES RECEIVABLE VALUE -277,498. PART XI, LINE 4B - OTHER ADJUSTMENTS: FUNDRAISING EVENT EXPENSES -6,495. PART XII, LINE 2D - OTHER ADJUSTMENTS: FUNDRAISING EVENT EXPENSES 6,495. PART XII, LINE 4B - OTHER ADJUSTMENTS: FINANCIAL AID AND SCHOLARSHIPS SHOWN NET OF TUITION ON FINANCIALS 2,228,792. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 SCHEDULE E, PART I, LINE 3 THE NORTH CAROLINA ASSOCIATION OF INDEPENDENT SCHOOLS (NCAIS) PUBLISHES A NON-DISCRIMATION STATEMENT ON BEHALF OF ALL ITS MEMBER ORGANIZATIONS IN EACH SCHOOL'S REGIONAL/LOCAL CHAPTER AND CANNON IS A MEMBER OF THIS ORGANIZATION. GOLF TOURNAMENT 17875 12448 5427 1068 657 4770 17875 12448 5427 1068 657 4770 6495 -1068 1 FINANCIAL AID 185 2228792 PART I, LINE 2: FINANCIAL AID AWARDS ARE ADMINISTERED BY THE SCHOOL AND ARE USED TO OFFSET CHARGES TO STUDENT ACCOUNTS. NO EXCHANGE OF REAL FUNDS EVER TAKES PLACE. THE AWARD IS SIMPLY A CREDIT TOWARDS THE TUITION BALANCE. X X X 1 1 X X X X 0 0 0 0 0 0 0 0 0 MR MATT GOSSAGE HEAD OF SCHOOL/EX-OFFICIO 326922 0 0 0 16162 0 21124 0 15523 0 379731 0 0 0 MATTHEW RUSH HEAD OF MIDDLE SCHOOL 107548 0 0 0 0 0 9132 0 42454 0 159134 0 0 0 PART I, LINE 1A THE SCHOOL PROVIDES THE HEAD OF SCHOOL WITH GROSSED-UP PAYMENTS TO REIMBURSE THE HEAD FOR TUITION PAYMENTS RELATED TO HIS CHILDRENS' EDUCATION. THE SCHOOL ALSO REIMBURSES THE HEAD FOR MEMBERSHIP DUES TO HIS COUNTRY CLUB, WHICH HE USES, IN PART, FOR BUSINESS PURPOSES. THE AMOUNT OF THE COUNTRY CLUB DUES IS INCLUDED IN THE HEAD'S FORM W-2 WAGES. A NC CAPITAL FACILITIES FINANCE AGENCY 561592154 65818PBY4 2010-03-03 9035000 REFUNDING OF FACILITIES CONSTRUCTION BONDS 0 0 0 A 9035000 9035000 2010 1 0 1 1 A 0 0 0 0 0 0 0 A 0 0 1 0 1 0 0 0 0 A 0 MATTHEW GOSSAGE THE LOAN WAS A HIRING INCENTIVE THAT WAS USED FOR THE PURCHASE OF A HOME X 200000 40000 0 1 1 40000 EMPLOYEES EMPLOYEES OF THE SCHOOL 28772 TUITION ASSISTANCE EMPLOYEE FRINGE BENEFIT X 11 599890 AVG OF HIGH/LOW ON STOCK 0 0 1 0 FORM 990, PART VI, SECTION B, LINE 11 A COPY OF THE FORM 990 IS PROVIDED TO THE BOARD OF DIRECTORS FOR THEIR REVIEW PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C TRUSTEES ARE REQUIRED TO REVIEW AND SIGN A CONFLICT OF INTEREST STATEMENT ANNUALLY. THE HEAD OF SCHOOL'S ASSISTANT COLLECTS ALL SIGNED CONFLICT OF INTEREST POLICIES FROM TRUSTEES AND REVIEWS FOR ANY POTENTIAL ISSUES. THESE ARE COLLECTED FROM ALL NEW TRUSTEES AS THEY CHANGE DURING THE YEAR. DURING THE COURSE OF THE YEAR, ANY TRUSTEE WITH A POTENTIAL CONFLICT RECUSES HIMSELF/HERSELF FROM DISCUSSIONS AND/OR VOTES. FORM 990, PART VI, SECTION B, LINE 15 THE SCHOOL HAS A COMPENSATION COMMITTEE (COMPOSED OF INDEPENDENT TRUSTEES) FOR ITS HEAD OF SCHOOL THAT UNDERTOOK INITIAL STUDIES OF COMPARABILITY SOURCE DATA FROM NAIS AND CARNEY SANDOE TO DETERMINE THE HEAD'S OVERALL COMPENSATION. THE COMPENSATION DETERMINATION PROCESS IS DOCUMENTED IN THE MEETING MINUTES. ADDITIONALLY, THE COMPENSATION IS RE-EXAMINED ON A PERIODIC BASIS TO ENSURE REASONABLENESS. THE SCHOOL HAS A FULL-TIME HUMAN RESOURCE DIRECTOR THAT ASSISTS IN PULLING TOGETHER COMPENSATION MARKET DATA FOR ALL OTHER POSITIONS. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE AVAILABLE TO THE PUBLIC UPON REQUEST. FORM 990, PART XI, LINE 9: CHANGE IN FAIR VALUE OF SWAP 31,985. ADJUSTMENT TO PLEDGES RECEIVABLE VALUE -277,498. PART VII, LINE 2C EXPLANATION: OUR BOARD'S FINANCE SUB-COMMITTEE ACTS ON BEHALF OF THE BOARD OF TRUSTEES IN SELECTION AND OVERSIGHT OF THE AUDIT AND AUDITORS.