2014-01-21T16:03:52-06:00 2013-05-31 420714325 MCGLADREY LLP 230 N ELM ST STE 1100 GREENSBORO NC 27401 990 2012-06-01 560556753 LENOIR-RHYNE UNIVERSITY LENO 8283287100 PO BOX 7164 HICKORY NC 28603 WAYNE B POWELL 8283287100 2014-01-13 ADRIENNE MCKINNEY P00819656 3362724551 2012 2015-11-30 17:44:51Z WAYNE B POWELL PO BOX 7164 HICKORY NC 28603 108896834 0 X WWW.LRC.EDU X 1905 NC SEE SCHEDULE O.LENOIR-RHYNE UNIVERSITY PROVIDES PROGRAMS OF UNDERGRADUATE, GRADUATE, AND CONTINUING STUDY COMMITTED TO THE LIBERAL ARTS AND SCIENCES. THE UNIVERSITY AWARDS BACHELORS AND MASTER DEGREES. 30 29 1130 150 -304 -3032 6558736 8113809 48672763 49929140 1758737 2961260 262984 312518 57253220 61316727 21715311 20427848 0 0 18421175 20148500 82381 35331 1801930 15976460 18604436 56195327 59216115 1057893 2100612 125408486 174420190 25698123 30432837 99710363 143987353 LENOIR-RHYNE UNIVERSITY PROVIDES PROGRAMS OF UNDERGRADUATE, GRADUATE, AND CONTINUING STUDY COMMITTED TO THE LIBERAL ARTS AND SCIENCES. THE UNIVERSITY AWARDS BACHELORS AND MASTER DEGREES. 0 0 34421521 19923443 39161911 PROVIDE EDUCATIONAL PROGRAMS AND CONFER UNDERGRADUATE DEGREES IN APPROXIMATELY SIXTY ACADEMIC PROGRAMS OF STUDY. 1383843 504405 3328805 PROVIDE EDUCATIONAL PROGRAMS AND CONFER MASTERS LEVEL GRADUATE DEGREES IN COUNSELING, ATHLETIC TRAINING, BUSINESS, AND OCCUPATIONAL THERAPY. 4895946 7438424 PROVIDE STUDENT LIFE PROGRAMS TO RESIDENTIAL AND COMMUTER STUDENTS AS PART OF THEIR ACADEMIC EXPERIENCES AT THE UNIVERSITY. 40701310 1 1 0 0 0 0 0 0 1 1 1 1 0 0 1 1 1 0 1 0 1 0 0 1 0 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 1 179 0 1 1130 1 1 1 0 0 0 0 0 0 0 0 0 X 30 29 1 1 0 0 0 1 0 1 1 0 0 0 1 1 1 1 0 1 1 0 X WAYNE B POWELL 8283287334 643 8TH AVENUE NE HICKORY NC 28601 X DR WAYNE B POWELL 40.00 X X 258146 0 54749 KATHRYN FISHER 40.00 X 82007 0 7095 LARRY M HALL 40.00 X 143131 0 22228 PETER K KENDALL 40.00 X 137147 0 21822 RACHEL NICHOLS 40.00 X 106905 0 25788 WILLARD S SHRODE 40.00 X 123838 0 15088 DREW VANHORN 40.00 X 53159 0 8541 PAUL S SHUMAKER 40.00 X 83223 0 20535 NEILL R MCGEACHY 40.00 X 158983 0 14268 JEROME W BOLICK 1.00 X X 0 0 0 REVDR LEONARD H BOLICK 1.00 X 0 0 0 JEFFREY P BRONNENBERG 1.00 X 0 0 0 DR KI-HYUN CHUN 1.00 X 0 0 0 DUANE A DASSOW 1.00 X 0 0 0 ALAN P DAVIS 1.00 X 0 0 0 BOYD L GEORGE 1.00 X X 0 0 0 JANE C HANDLY 1.00 X 0 0 0 MICHAEL W HINSHAW 1.00 X 0 0 0 REV G SCOTT HOMESLEY 1.00 X 0 0 0 STEVE O HUNT 1.00 X 0 0 0 MARGARET H JACKSON 1.00 X 0 0 0 REV DAVID R KECK JR 1.00 X 0 0 0 DEWYONE KING 1.00 X 0 0 0 JEARLD L LEONHARDT 1.00 X 0 0 0 GABRIELLE MACON 1.00 X 0 0 0 JAMES L MCCOY JR 1.00 X 0 0 0 KATHERINE F MCKENZIE 1.00 X X 0 0 0 STEPHEN B NEUVILLE 1.00 X 0 0 0 REV G STEVE PLONK 1.00 X 0 0 0 REV TIMOTHY M SMITH 1.00 X 0 0 0 CHARLES M SNIPES 1.00 X X 0 0 0 PHILLIP E STEPHENS 1.00 X 0 0 0 REV PAUL H SUMMER 1.00 X 0 0 0 JAMES V TARLTON 1.00 X 0 0 0 STEPHEN M THOMAS 1.00 X 0 0 0 REV DR WILLIAM B TREXLER 1.00 X 0 0 0 TONY W WOLFE 1.00 X 0 0 0 REV D RHODES WOOLLY 1.00 X 0 0 0 1146539 0 190114 6 0 1 0 ARAMARK FACILITY SERVICES 1255 CRESCENT GREEN DRIVE STE 21 CARY NC 27518 MAINTENANCE & HOUSEKEEPING 1986095 ARAMARK CAMPUS SERVICES PO BOX 7476 HICKORY NC 28603 FOOD SERVICE 1855948 ELLUCIAN COMPANY LP 4 COUNTRY VIEW ROAD MALVERN PA 19355 INFORMATION TECH CONSULTING 1086740 HICKORY CONSTRUCTION CO INC PO BOX 1769 HICKORY NC 28603 CONSTRUCTION NEEDS 325017 CLARK PATTERSON ASSOCIATES INC 415 HILLSBOROUGH STREET STE 101 RALEIGH NC 27603 CONSTRUCTION DESIGNS 280555 22 919680 7194129 873214 8113809 TUITION AND FEES 611710 42515179 42515179 AUXILIARY SERVICES 611710 7413961 7413961 49929140 2189105 -304 2189409 27250 23800 3450 3450 3450 48328462 47455810 100497 872652 -100497 772155 772155 MISCELLANEOUS 611710 309068 0 309068 309068 61316727 49929140 -304 3274082 20427848 20427848 1008622 530132 432295 46195 15037608 7903766 6445119 688723 731425 384437 313489 33499 2187342 1149667 937495 100180 1183503 622049 507250 54204 3797820 1996134 1627746 173940 160363 84287 68731 7345 100576 52863 43107 4606 35331 35331 180900 180900 1021014 536645 437607 46762 259981 136646 111428 11907 651306 342326 279150 29830 1285822 675828 551103 58891 4125 2168 1768 189 17833 9373 7643 817 1131986 594972 485169 51845 643252 338093 275698 29461 3653500 1920280 1565890 167330 485154 254997 207937 22220 UTILITIES 1618622 850748 693741 74133 REPAIRS 787285 413797 337430 36058 MEMBERSHIPS & DUES 202954 106673 86986 9295 SOFTWARE LICENSES 94471 49654 40490 4327 2507472 1317927 1074703 114842 59216115 40701310 16712875 1801930 11770 12099815 17996431 11255365 9339537 563923 1355258 1634817 1525599 11921 12213 540612 625175 95652746 37688084 40293431 57964662 34756955 54787996 19959272 25848882 4292375 4952667 125408486 174420190 2338274 3029773 459086 796145 14960000 14295000 94253 157315 3245085 7961569 951212 748068 3650213 3444967 25698123 30432837 X 20364091 34016309 26788829 34364220 52557443 75606824 99710363 143987353 125408486 174420190 X 2100612 6671552 35504826 X X 0 1 X 1 1 1 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 X 58142226 23881848 9220362 2193392 727511 523669 87799864 61678109 428546 -1650927 1632407 611043 70052 58142226 52783523 2073966 9215730 1680805 641678 72627 61678109 47672900 3295556 4233753 1696813 626116 95757 52783523 59163177 2008387 -11275952 1190674 1032038 47672900 0.04530 0.78740 0.16730 1 1 1 385625 2302055 2687680 76984166 32734812 44249354 9210442 1123432 8087010 6770458 3829840 2940618 57964662 EQUITY FUNDS 5028243 F BOND FUNDS 1372993 F HEDGE FUNDS 7984525 F LIMITED PARTNERSHIPS 8921823 F ANNUITY CONTRACTS 2541298 F 25848882 GOVERNMENT ADVANCES FOR STUDENT LOANS 1657389 INTEREST RATE SWAP 924422 ASSET RETIREMENT OBLIGATIONS 863156 3444967 X 83008654 6671552 14913147 21584699 61423955 -107228 -107228 61316727 38731664 124297 124297 38607367 180900 20427848 20608748 59216115 PART IV, LINE 2B: LENOIR-RHYNE UNIVERSITY SERVES AS CUSTODIAN FOR FUNDS BELONGING TO VARIOUS STUDENT ORGANIZATIONS. GROUPS ARE ABLE TO ACCESS THE FUNDS ON REQUEST WITH APPROVAL OF ADVISOR. DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: PROVIDE SCHOLARSHIPS, PROFESSORSHIPS, AND PROGRAM SUPPORT AS DESIGNATED BY DONORS. DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: THE UNIVERSITY IS A TAX EXEMPT ENTITY UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE (IRC). MANAGEMENT EVALUATED THE UNIVERSITY'S TAX POSITIONS AND CONCLUDED THAT THE UNIVERSITY HAD TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT TO THE FINANCIAL STATEMENTS TO COMPLY WITH THE PROVISIONS OF THE INCOME TAXES TOPIC OF THE FASB ACCOUNTING STANDARDS CODIFICATION. WITH FEW EXCEPTIONS, THE UNIVERSITY IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS BY THE U.S. FEDERAL, STATE, AND LOCAL TAX AUTHORITIES FOR YEARS BEFORE 2010. PART XI, LINE 2D - OTHER ADJUSTMENTS: SCHOLARSHIPS EXPENSE -20,427,848. GAIN ON INTEREST RATE SWAP 242,759. CHANGE IN VALUE OF SPLIT INTEREST AGREEMENTS -324,208. INVESTMENT FEES -180,900. CONTRIBUTION OF LUTHERAN THEOLOGICAL SOUTHERN SEMINARY NET ASSETS IN MERGER 35,603,344. PART XI, LINE 4B - OTHER ADJUSTMENTS: RENTAL EXPENSES -23,800. NONCASH CONTRIBUTIONS 14,253. LOSS ON SALE OF FIXED ASSETS -100,497. INSURANCE PREMIUM PAYMENT DONATION 2,816. PART XII, LINE 2D - OTHER ADJUSTMENTS: RENTAL EXPENSES 23,800. LOSS ON SALE OF FIXED ASSETS 100,497. PART XII, LINE 4B - OTHER ADJUSTMENTS: SCHOLARSHIP EXPENSE 20,427,848. 1 0 0 1 1 1 1 0 0 0 0 0 0 0 0 1 0 1 EXPLANATION OF NONDISCRIMINATORY POLICY PUBLICATION SCHEDULE E, PART I, LINE 3 THE ORGANIZATION HAS NO ADVERTISING DIRECTLY TO STUDENTS. THE ORGANIZATION DISPLAYS THIS POLICY IN ITS CATALOGUE AND ON REGISTRATION MATERIALS. EXPLANATION OF GOVERNMENT FINANCIAL ASSISTANCE SCHEDULE E, PART I, LINE 6 LENOIR-RHYNE UNIVERSITY STUDENTS RECEIVE A VARIETY OF FEDERAL AND STATE GRANTS AND LOANS, INCLUDING DIRECT LOANS, PELL GRANTS, NORTH CAROLINA NEED-BASED SCHOLARSHIP PROGRAM, AND NORTH CAROLINA TEACHING FELLOWS. 1 CENTRAL AMERICA AND THE CARIBBEAN 0 0 INVESTMENTS 9694200 EUROPE (INCLUDING ICELAND & GREENLAND) 0 0 INVESTMENT 731835 0 0 0 0 0 0 10426035 0 10426035 1 0 1 1 1 0 PROCEDURE FOR MONITORING GRANTS OUTSIDE THE U.S.: X X X X X 0 NONE NONE 1 SCHOLARSHIPS AND FELLOWSHIPS TO STUDENTS 1481 20427848 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: GRANTS ARE AWARDED TO STUDENTS BASED UPON THE CRITERIA ESTABLISHED WITH EACH GRANT. FINANCIAL AID PERSONNEL MONITOR EACH GRANT ALONG WITH THE TOTAL AID RECEIVED BY EACH STUDENT TO ENSURE THAT INDIVIDUALS AS WELL AS COLLECTIVE AWARDS ARE WITHIN THE GUIDELINES ESTABLISHED BY STATE AND FEDERAL GOVERNMENTAL AGENCIES. 1 X X 0 0 0 0 0 0 0 0 0 DR WAYNE B POWELL 256562 0 0 0 1584 0 31500 0 23249 0 312895 0 0 0 LARRY M HALL 142579 0 0 0 552 0 8863 0 13365 0 165359 0 0 0 PETER K KENDALL 136595 0 0 0 552 0 8504 0 13318 0 158969 0 0 0 NEILL R MCGEACHY 157129 0 0 0 1854 0 7035 0 7233 0 173251 0 0 0 A LENOIR-RHYNE UNIVERSITY 560556753 65818PFR5 2008-03-13 17000000 SEE SCHEDULE O. 0 0 0 A 17000000 176240 16823760 8385345 2010 1 0 1 1 A 0 0 0 0 1 0 0 A 1 1 1 WELLS FARGO 9.000000000000 0 0 0 0 0 A 1 X 2720 FAIR MARKET VALUE X 54 522661 FAIR MARKET VALUE X 2 336300 APPRAISAL X MUSICAL INSTRUMENTS 1 200 FAIR MARKET VALUE X SUPPLIES 4 845 FAIR MARKET VALUE X FURNITURE 1 10488 FAIR MARKET VALUE 0 0 1 THIRD PARTY USE: PART I, LINE 32B: FOR NONCASH CONTRIBUTIONS OF SECURITIES, THE ORGANIZATION USES A THIRD PARTY BROKER COMPANY TO SELL THESE ASSETS. FORM 990, PART VI, SECTION A, LINE 2 HICKORY IS A RELATIVELY SMALL TOWN, AND MANY MEMBERS ON THE BOARD (OR A FAMILY MEMBER) OPERATE A BUSINESS IN TOWN THAT OTHERS MAY PATRONIZE IN THE NORMAL COURSE OF BUSINESS. FORM 990, PART VI, SECTION A, LINE 3 THE UNIVERSITY HAS FOUR SIGNIFICANT MANAGEMENT CONTRACTS WITH OUTSIDE SERVICE PROVIDERS. THESE INCLUDE MANAGEMENT (ARAMARK), DINING SERVICES (ARAMARK), BOOKSTORE OPERATIONS (VALIDIS), AND IT OPERATIONS (SUNGUARD HIGHER EDUCATION). IN ALL OF THESE INSTANCES THE UNIVERSITY HAS A DETAILED CONTRACT WITH THE VENDOR THAT CLEARLY DELINEATES THE AUTHORITY THESE ORGANIZATIONS AND THEIR EMPLOYEES HAVE TO PROVIDE MANAGEMENT AND OTHER SERVICES. FORM 990, PART VI, SECTION A, LINE 7A THE MEMBERS OF THE BOARD OF TRUSTEES ARE ELECTED BY THE ORGANIZATION'S GOVERNING BODY WITH THE EXCEPTION OF THE BISHOP OF THE NC SYNOD. THE BISHOP OF THE NC SYNOD IS ELECTED BY THE DELEGATES TO THE SYNOD CONVENTION AND HE/SHE HOLDS AN EX-OFFICIO VOTING POSITION ON THE BOARD OF TRUSTEES. FORM 990, PART VI, SECTION B, LINE 11 THE BOARD MEMBERS OF THE FINANCE COMMITTEE REVIEWED THE DRAFT 990 (PUBLIC INSPECTION COPY) IN DETAIL. BASED ON THIS REVIEW, THEY APPROVED THE 990 (PUBLIC INSPECTION COPY) FOR FILING. SUBSEQUENTLY, THE PUBLIC INSPECTION COPY WAS MADE AVAILABLE TO EACH BOARD MEMBER IN ADVANCE OF THE FILING DATE. FORM 990, PART VI, SECTION B, LINE 12C THE CHAIR OF THE BOARD OF TRUSTEES AND THE PRESIDENT OF THE UNIVERSITY REQUEST THAT ALL TRUSTEES, OFFICERS, SENIOR MANAGERS AND DEPARTMENT MANAGERS REVIEW THE CONFLICT OF INTEREST POLICY AND COMPLETE THE DISCLOSURE FORM ON AN ANNUAL BASIS. FORM 990, PART VI, SECTION B, LINE 15 THE EXECUTIVE COMMITTEE OF THE BOARD CONDUCTS AN ANNUAL PERFORMANCE APPRAISAL OF THE PRESIDENT. THIS COMMITTEE THEN APPROVES CHANGES IN COMPENSATION AND/OR THE EMPLOYMENT CONTRACT OF THE PRESIDENT BASED ON A REVIEW OF HISTORICAL COMPENSATION DATA COMPILED REGARDING THE COMPENSATION OF THE PRESIDENTS OF SIMILAR ORGANIZATIONS IN NORTH CAROLINA AND THROUGHOUT THE UNITED STATES. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. FORM 990, PART VII, SECTION A, COLUMN F THE ORGANIZATION, IN A FULL TRANSPARENCY POSTURE TO REPORTING, IS REPORTING ALL BENEFITS IN FULL IN COLUMN F, PART VII AND IS NOT APPLYING THE $10,000 PER ITEM EXCEPTION FOR CERTAIN BENEFITS. FORM 990, PART VII, SECTION A, COLUMN B HOURS PROVIDED TO RELATED ORGANIZATION: EMPLOYEE: NEILL R. MCGEACHY HOURS PER WEEK: 10 RELATED ORGANIZATION: PIEDMONT EDUCATIONAL FOUNDATION PIEDMONT EDUCATIONAL FOUNDATION, INC. PAID 55,762 OF TOTAL COMPENSATION FOR HIS SERVICES TO THAT ORGANIZATION. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 9: NONCASH CONTRIBUTION -17,069. GAIN ON INTEREST RATE SWAP 242,759. CHANGE IN VALUE OF SPLIT INTEREST AGREEMENTS -324,208. NET ASSET CONTRIBUTION FROM LUTHERAN THEOLOGICAL SOUTHERN SEMINARY MERGER 35,603,344. FORM 990, PART XII, LINE 2C, FINANCE COMMITTEE: THE AUDIT COMMITTEE'S PROCESS OF OVERSIGHT AND SELECTION HAS NOT CHANGED SINCE PRIOR YEAR. MERGER WITH LUTHERAN THEOLOGICAL SOUTHERN SEMINARY FORM 990, SCHEDULE D, PART XI, LINE 2D ON JULY 1, 2012, THE LUTHERAN THEOLOGICAL SOUTHERN SEMINARY (LTSS)MERGED WITH THE UNIVERSITY. AS THE UNIVERSITY EFFECTIVELY GAINED CONTROL OVER THE ACTIVITIES OF LTSS IN CONNECTION WITH THE MERGER, THE MERGER WAS TREATED AS AN ACQUISITION IN ACCORDANCE WITH GAAP. THE ACQUISITION WAS CONSUMMATED PRIMARILY TO REALIZE SYNERGIES BETWEEN THE UNIVERSITY'S AND LTSS'S EXISTING OPERATIONS. THE RESULTS OF LTSS HAVE BEEN INCLUDED IN THE UNIVERSITY'S FINANCIAL STATEMENTS SINCE JULY 1, 2012.. NO CONSIDERATION WAS TRANSFERRED IN CONNECTION WITH THE MERGER. THE FOLLOWING TABLE SUMMARIZES THE ESTIMATED FAIR VALUES OF THE ASSETS ACQUIRED AND THE LIABILITIES ASSUMED AT THE DATE OF THE MERGER. CASH $ 465,357 ACCOUNTS RECEIVABLE 18,343 PROPERTY, PLANT AND EQUIPMENT 18,155,584 INVESTMENTS 20,595,632 SPLIT-INTEREST AGREEMENTS AND PERPETUAL TRUSTS 984,500 TOTAL ASSETS ACQUIRED 40,219,416 ACCOUNTS PAYABLE, ACCRUED EXPENSES AND DEPOSITS HELD IN CUSTODY FOR OTHERS 389,635 NOTES PAYABLE 4,226,437 TOTAL LIABILITIES ASSUMED 4,616,072 CONTRIBUTION OF LTSS $ 35,603,344 FORM 990, SCHEDULE K, PART I, COLUMN F FOR RENOVATION AND PURCHASE OF HOUSING FACILITIES. FOR REFINANCING OF PREVIOUS BOND ISSUE. PIEDMONT EDUCATIONAL FOUNDATION PO BOX 7164 HICKORY NC 28603 566061289 PROVIDE ATHLETIC SCHOLARSHIPS FOR LENOIR RHYNE UNIVERSITY NC 501(C)(3) LINE 11A, I N/A 0 0 0 1 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0 0