2014-05-15T12:43:18-05:00 2013-06-30 953132551 JGD & ASSOCIATES LLP 5355 MIRA SORRENTO PLACE SUITE 700 SAN DIEGO CA 921213825 990 2012-07-01 237421224 CITY UNIVERSITY OF SEATTLE CITY 2062394500 521 WALL STREET NO 100 SEATTLE WA 98121 BRUCE BRYANT 2062394500 2014-05-15 1 DANIEL P SCHREIBER P00089202 8585871000 2014-05-15 2012 2015-11-30 17:44:51Z BRUCE BRYANT 521 WALL STREET NO 100 SEATTLE WA 98121 31066363 0 X WWW.CITYU.EDU X 1973 WA CITY UNIVERSITY OF SEATTLE IS A PRIVATE, NOT-FOR-PROFIT INSTITUTION OF HIGHER EDUCATION. 22 21 770 38 0 0 140207 48435 32409894 29829961 47069 21711 998753 1143666 33595923 31043773 563323 508291 0 0 19122015 17814894 20000 0 0 13678818 14056906 33384156 32380091 211767 -1336318 10530287 16018576 6064018 12738147 4466269 3280429 X FOUNDED IN 1973, CITY UNIVERSITY OF SEATTLE'S MISSION IS TO CHANGE LIVES FOR GOOD BY OFFERING HIGH QUALITY AND RELEVANT LIFELONG EDUCATION TO ANYONE WITH THE DESIRE TO LEARN. CITY UNIVERSITY'S VISION IS TO PROVIDE UNDERSERVED INDIVIDUALS AND COMMUNITIES AROUND THE WORLD ACCESS TO HIGH QUALITY, LIFELONG EDUCATION THROUGH A NETWORK OF LOCAL AND INTERNATIONAL PARTNERSHIPS. TO FULFILL ITS MISSION AND WORK TOWARD ACHIEVING ITS VISION, CITY UNIVERSITY OF SEATTLE DETERMINES TO BE: FLEXIBLE: DESIGN AND DELIVER PROGRAMS AND SERVICES TO BE CONVENIENT TO STUDENTS; ACCESSIBLE: PROVIDE EDUCATIONAL OPPORTUNITIES TO ANYONE, ANYWHERE; INNOVATIVE: CONTINUALLY CREATE NEW EDUCATIONAL OPPORTUNITIES; RELEVANT: WHAT IS TAUGHT TODAY CAN BE APPLIED TOMORROW; GLOBAL: ACT LOCALLY AND THINK GLOBALLY.CITY UNIVERSITY OF SEATTLE IS ACCREDITED BY THE NORTHWEST COMMISSION ON COLLEGES AND UNIVERSITIES (NWCCU), A REGIONAL BODY APPROVED BY THE U.S. DEPARTMENT OF EDUCATION. 0 0 22352771 29837799 CITY UNIVERSITY OF SEATTLE IS A PRIVATE, NOT-FOR-PROFIT UNIVERSITY WITHAPPROXIMATELY 5,368 ENROLLMENTS AND AWARDED 1,295 DEGREES DURING THEYEAR ENDING JUNE 30, 2013. ALL GRANTS UNDER FINANCIAL AID GO TOSTUDENTS TO FINANCE THEIR EDUCATION. THE UNIVERSITY IS COMPRISED OF THESCHOOL OF MANAGEMENT, THE GORDON ALBRIGHT SCHOOL OF EDUCATION, THEDIVISION OF ARTS AND SCIENCES, THE DIVISION OF DOCTORAL STUDIES ANDWASHINGTON ACADEMY OF LANGUAGES. HEADQUARTERED IN THE PACIFICNORTHWEST, CITY UNIVERSITY OF SEATTLE OFFERS PROFESSIONALCERTIFICATION, ASSOCIATES, BACHELORS, MASTER'S AND DOCTORAL PROGRAMSAND CLASSES AT LOCATIONS THROUGHOUT WASHINGTON, CANADA, SLOVAKIA,MEXICO,GREECE, AUSTRALIA, SWITZERLAND, BULGARIA, ROMANIA, THE CZECHREPUBLIC, AND CHINA. 508291 508291 CITY UNIVERSITY OF SEATTLE BELIEVES THAT FUNDING SHOULD NOT BE ABARRIER TO EDUCATION. THE UNIVERSITY HAS MULTIPLE SCHOLARSHIP PROGRAMSAVAILABLE FOR STUDENTS WHO ARE LOW-INCOME MINORITIES, UNDERREPRESENTED,EXPERIENCING ECONOMIC HARDSHIP, OR DEPENDENT ON MERIT-BASEDSCHOLARSHIPS AS WELL AS THE ANNUAL $15,000 SEAHAWKS UNDERGRADSCHOLARSHIP PROGRAM FOR A DESERVING STUDENT LOOKING TO EARN ABACHELOR'S DEGREE. CITYU HAS AWARDED MORE THAN $2.8 MILLION INSCHOLARSHIPS TO DATE. CITY UNIVERSITY OF SEATTLE CONTINUES THE LAID-OFFWORKER AND TRANSFER SCHOLARSHIP PROGRAM TO ASSIST STUDENTS THAT WEREIMPACTED BY RECENT POOR ECONOMIC CONDITIONS. CITY UNIVERSITY OF SEATTLEALSO ADDED INTERNATIONAL STUDENT SCHOLARSHIPS FOR STUDENTS WITHECONOMIC NEED, NEW STUDENTS AND TRANSFER STUDENTS. 22861062 1 1 0 0 0 0 0 0 0 0 1 0 1 1 1 1 0 1 1 1 1 0 1 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 0 0 1 50 0 1 770 1 0 1 CA LO 0 0 0 0 0 0 X 22 21 1 0 1 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 1 1 X BRUCE BRYANT 2062394826 521 WALL STREET SEATTLE WA 98121 HIEP Q QUACH 2.30 X X 0 0 0 PAUL MUTTY 1.70 X X 0 0 0 STUART GROVER 1.70 X X 0 0 0 CYNTHIA MATSON 1.70 X X 0 0 0 ANDREA RINIKER 1.70 X X 0 0 0 HERBERT MEISTRICH 0.30 X X 0 0 0 RUTHANN HEINRICH 0.30 X X 0 0 0 RICHARD CHISHOLM 0.30 X X 0 0 0 RANDY ALIMENT 1.70 X 0 0 0 THOMAS R CLEVINGER 1.70 X 0 0 0 ERLINDA MARTINEZ 1.70 X 0 0 0 CYNTHIA CHIROT 1.70 X 0 0 0 ROBERT RANDOLPH 1.70 X 0 0 0 BILL STAFFORD 1.70 X 0 0 0 JENNIFER HOUSTON 1.70 X 0 0 0 ROBERT LAIRD 1.70 X 0 0 0 JERRY SCHWARTZ 1.70 X 0 0 0 JOHN BUCHER 0.30 X 0 0 0 JEANNE CONNELLY 0.30 X 0 0 0 GERALD CZARNECKI 0.30 X 0 0 0 STACY ALLISON 0.30 X 0 0 0 W H KNIGHT JR 0.30 X 0 0 0 DR DONALD KRIPKE 0.30 X 0 0 0 MICHAEL R MCGILL 0.30 X 0 0 0 JACKIE TOWNSEND KONSTANTUROS 0.30 X 0 0 0 CARLOS RODRIGUEZ 0.30 X 0 0 0 DR ALEXANDER SHIKHMAN 0.30 X 0 0 0 CHERYL KENDRICK 0.30 X 0 0 0 JEAN LEONARD 0.30 X 0 0 0 JAY STONE 0.30 X 0 0 0 THOMAS TOPUZES 0.30 X 0 0 0 FELIPE BECERRA 0.30 X 0 0 0 DR E LEE RICE 0.30 X 0 0 0 STEPHEN CUSHMAN 1.70 X 0 0 0 DR JERRY C LEE 2.50 X 0 0 0 EDWARD L GORSUCH 50.00 1.00 X 301140 0 7500 BRUCE BRYANT 50.00 1.00 X 183180 0 14941 STEVEN OLSWANG 50.00 1.00 X 231639 0 8197 KEVIN BROWN 50.00 X 114031 0 17259 MELISSA MECHAM 50.00 X 120221 0 12700 KURT KIRSTEIN 50.00 X 117002 0 12402 ARDEN HENLEY 50.00 X 113512 0 7773 CHRISTOPHER ROSS 50.00 1.00 X 117163 0 8786 1297888 0 89558 11 0 1 0 CEDARCRESTONE INC PO BOX 402521 ATLANTA GA 303842521 SOFTWARE HOSTING AND CONSULTING 1090778 ALTIUS EDUCATION INC 6056 DEER PARK COURT TOLEDO OH 43528 ADVERTISING SERVICES 500000 COLLINS WOERMAN 710 SECOND AVENUE SEATTLE WA 981041710 ARCHITECTURAL SERVICES 259260 KPMG LLP 801 SECOND AVE SUITE 900 SEATTLE WA 98104 AUDIT SERVICES 191500 CASCADEO CORPORATION PO BOX 1644 MERCER ISLAND WA 980401644 SYSTEMS ENGINEERING 150000 5 48435 14089 48435 EDUCATIONAL SERVICES 611310 29829961 29829961 29829961 39060 39060 200360 200360 328155 0 328155 328155 328155 5241 22590 -17349 -17349 -17349 AFFILIATION REIMB 900099 508282 508282 OFFICE SUPPLY CONTRACT 900099 123742 123742 BOOKSTORE COMMISSION 900099 16549 16549 -33422 7838 -41260 615151 31043773 29837799 0 1157539 466718 466718 41573 41573 728914 554981 173933 14288222 11813243 2474979 158703 137106 21597 1444371 1310666 133705 1194684 998957 195727 5560 5560 267203 267203 1195076 603170 591906 1725482 59271 1666211 786020 413777 372243 1579396 54647 1524749 4712168 3680340 1031828 408225 288871 119354 19787 16949 2838 52121 52121 1475650 998452 477198 119871 68473 51398 INSTRUCTIONAL MATERIALS 407135 398833 8302 CREDIT CARD FEES 292153 292153 STUDY/TOUR SEMINAR PROG 186115 186115 BAD DEBT EXPENSE 176080 176080 648864 300687 348177 32380091 22861062 9519029 0 309448 83089 2647910 1042231 589907 594248 3336 649941 525870 26528514 17631010 1746035 8897504 1058979 1056368 1111000 1111000 124013 89047 2293054 2615883 10530287 16018576 2463501 2711498 2170696 1820652 418337 1611280 187637 823847 6594717 6064018 12738147 X 4466269 3280429 4466269 3280429 10530287 16018576 X -1336318 -27006 177484 X X 0 1 X 1 1 1 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 11038097 4541773 6496324 15490417 13089237 2401180 8897504 SLOVAKIA INVESTMENT 1111000 C 1111000 INTERCOMPANY RECEIVABLES 1747505 DEPOSITS 360096 DUE FROM AFFILIATE 508282 2615883 DEFERRED RENT 6594717 6594717 X DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: THE UNIVERSITY HAS RECEIVED A LETTER OF DETERMINATION FROM THE U.S. INTERNAL REVENUE SERVICE GRANTING AN EXEMPTION FROM FEDERAL INCOME TAX UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE (THE IRC), EXCEPT TO THE EXTENT OF UNRELATED BUSINESS TAXABLE INCOME AS DEFINED UNDER IRC SECTIONS 511 THROUGH 514. THE UNIVERSITY DID NOT INCUR UNRELATED BUSINESS INCOME TAX DURING THE YEARS ENDED JUNE 30, 2013 AND 2013, AND ACCORDINGLY, THE CONSOLIDATED FINANCIAL STATEMENTS DO NOT INCLUDE A PROVISION FOR FEDERAL INCOME TAXES. MANAGEMENT BELIEVES THAT THE UNIVERSITY ALSO IS EXEMPT FROM STATE INCOME TAXES IN ALL STATES IN WHICH IT OPERATES THAT HAVE A CORPORATE INCOME TAX, EXCEPT TO THE EXTENT OF UNRELATED BUSINESS TAXABLE INCOME. FURTHER, THE UNIVERSITY APPLIES THE PROVISIONS OF FASB INTERPRETATION NO. 48 (FIN 48), ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES (ASC TOPIC 740, INCOME TAXES). 1 1 1 1 1 1 1 0 0 0 1 0 0 0 0 0 0 1 EXPLANATION OF NONDISCRIMINATORY POLICY PUBLICATION SCHEDULE E, PART I, LINE 3 THE ORGANIZATION'S NONDISCRIMINATORY POLICY FOR STUDENTS AND EMPLOYEES IS IN THE PUBLISHED HANDBOOK AS WELL AS ON THE ORGANIZATION'S WEBSITE AND IS CONTAINED IN THE STUDENT APPLICATION PACKET. EXPLANATION OF RACIAL DISCRIMINATION SCHEDULE E, PART I, LINE 5 GORDON ALBRIGHT SCHOOL OF EDUCATION DIVERSITY SCHOLARSHIPS PROMOTE ETHNIC DIVERSITY IN OUR STUDENT BODY AS AN IMPORTANT PART OF THE OVERALL LEARNING EXPERIENCE AT CITY UNIVERSITY OF SEATTLE. WE ALSO WORK HARD TO EDUCATE AND FACILITATE THE PLACEMENT OF DIVERSE TEACHERS IN CLASSROOMS TO SERVE OUR COMMUNITIES. 0 NORTH AMERICA 4 118 PROGRAM SERVICES BRANCH SCHOOL IN CANADA; INCLUDES $50,000 FOR PARTNERSHIP COSTS; ALSO STUDENT REFUNDS. 67000 EAST ASIA AND THE PACIFIC 0 1 PROGRAM SERVICES TRADE FAIRS, STUDENT RECRUITING, PROGRAM MANAGEMENT AND INSTRUCTION. 166000 EUROPE (INCLUDING ICELAND & GREENLAND) 3 0 PROGRAM SERVICES RECRUITING/TRADE FAIRS AND INSTRUCTIONS. 43000 SOUTH ASIA 0 0 PROGRAM SERVICES STUDENT RECRUITING. 25000 EUROPE (INCLUDING ICELAND & GREENLAND) 0 0 INVESTMENT 1111000 NORTH AMERICA 0 0 GRANTS TO INDIVIDUALS 29765 EAST ASIA AND THE PACIFIC 0 0 GRANTS TO INDIVIDUALS 11808 7 119 0 0 7 119 1453573 0 1453573 NORTH AMERICA 38 0 29765 TUITION WAIVER BOOK EAST ASIA AND THE PACIFIC 8 0 11808 TUITION WAIVER BOOK 0 0 1 0 0 0 SCHEDULE F, PART I, LINE 2 SCHOLARSHIP FUNDS ARE AWARDED TO PROVIDE ASSISTANCE TO STUDENTS AT THE CITY UNIVERSITY OF SEATTLE LOCATIONS IN CANADA AND CHINA. SCHEDULE F, PART I, LINE 3 METHOD USED TO ACCOUNT FOR EXPENDITURES: ACCRUAL 0 SCHOLARSHIPS 498 0 466718 BOOK TUITION WAIVERS SCHEDULE I, PART I, LINE 2 CITY UNIVERSITY OF SEATTLE PROVIDES SCHOLARSHIP GRANTS TO STUDENTS IN THE FORM OF TUITION REDUCTION. MONITORING IS DONE INTERNALLY TO ENSURE THE ACCOUNTS ARE CREDITED PROPERLY. X X X 1 1 X X X X 0 0 0 0 0 0 0 0 0 EDWARD L GORSUCH 288067 0 0 0 13073 0 7500 0 0 0 308640 0 0 0 BRUCE BRYANT 180040 0 0 0 3140 0 5332 0 9609 0 198121 0 0 0 STEVEN OLSWANG 225081 0 0 0 6558 0 6584 0 1613 0 239836 0 0 0 PART I, LINE 1A THE PRESIDENT'S (LEE GORSUCH) EMPLOYEMENT CONTRACT ALLOWS HIS WIFE TO ACCOMPANY HIM ON TWO INTERNATIONAL BUSINESS TRIPS PER YEAR. AT LEAST ONE OF THESE TRIPS IS USUALLY WHEN THE PRESIDENT ATTENDS GRADUATION CEREMONIES HELD IN THE UNIVERSITY'S FOREIGN LOCATIONS. THE UNIVERSITY ALSO PAYS FOR THE PRSIDENT'S MEMBERSHIP AT THE BELLEVUE CLUB (HEALTH AND SOCIAL CLUB THAT HAS RESTAURANTS AND A HOTEL WITHIN THE CLUB) WHERE THE PRESIDENT OCCASIONALLY ENTERTAINS BUSINESS ASSOCIATES. THESE BENEFITS ARE TREATED AS TAXABLE COMPENSATION. THE PRESIDENT IS THE ONLY PERSON WHO RECEIVED SUCH BENEFITS. LEE GORSUCH PARTICIPATES IN A 457B RETIREMENT PLAN IN LIEU OF RECEIVING EMPLOYER PAID BENEFITS SUCH AS MEDICAL, DENTAL, VISION,EAP, AND LIFE INSURANCE. THE UNIVERSITY PAID $9,695 INTO THIS PLAN DURING THE CALENDAR YEAR 2012, WHICH IS ALSO INCLUDED IN BOX 5 OF HIS W-2 (TAXABLE WAGES). X 2 14089 FMV 0 0 0 METHOD FOR DETERMINING NUMBER OF CONTRIBUTIONS: PART I, COLUMN (B): THE NUMBER OF CONTRIBUTIONS IS BASED ON THE NUMBER OF ITEMS RECEIVED. FORM 990, PART I, LINE 6 THIRTY-FOUR VOLUNTEERS SERVED ON THE BOARD OF DIRECTORS. THE REMAINING FOUR VOLUNTEERS PROVIDED CLASSROOM ASSISTANCE TO STUDENTS WHOSE SECOND LANGUAGE WAS ENGLISH (ESL STUDENTS) AND WORKED ON PROJECTS FOR THE LIBRARY. FORM 990, PART VI, SECTION A, LINE 2 TRUSTEE JOHN BUCHER PERFORMED REAL ESTATE CONSULTING SERVICES INDIRECTLY FOR ANOTHER TRUSTEE, FELIPE BECERRA. JOHN BUCHER DID NOT RECEIVE ANY COMPENSATION OR OTHER CONSIDERATION FOR THOSE SERVICES DURING FYE 6/30/2013. FORM 990, PART VI, SECTION A, LINE 4 BYLAWS WERE AMENDED IN EARLY 2013, AND CITY UNIVERSITY OF SEATTLE ENTERED INTO AN AFFILIATION AGREEMENT WITH NATIONAL UNIVERSITY SYSTEM, A NONPROFIT HIGHER EDUCATION SYSTEM BASED IN CALIFORNIA. THE CHANGES TO THE BY-LAWS WERE PREDOMINANTLY REGARDING THE NUMBER OF BOARD MEMBERS TO ACCOMODATE A LARGER BOARD STRUCTURE UNDER THE AFFILIATION. FORM 990, PART VI, SECTION B, LINE 11 THE DRAFT FORM 990 WAS DISTRIBUTED TO SENIOR MANAGEMENT. THE FINAL VERSION OF FORM 990 WAS DISTRIBUTED FOR REVIEW BEFORE FILING TO THE TRUSTEES BY EMAIL. FORM 990, PART VI, SECTION B, LINE 12C ANNUALLY, BOARD OF GOVERNORS AND OFFICERS ARE REQUIRED TO COMPLETE A NEW OR UPDATED CONFLICT OF INTEREST STATEMENT, WHICH REINFORCES THE NEED TO DISCLOSE ANY CONFLICTS THAT MAY EXIST. IF A CONFLICT OF INTEREST ARISES, THE CONFLICTED BOARD OF GOVERNOR MEMBER EXCUSES HIMSELF OR HERSELF. ADDITIONALLY, ANY NEW BOARD OF GOVERNOR MEMBERS ARE BRIEFED ON THE CONFLICT POLICY DURING BOARD ORIENTATION. COPIES OF THE SIGNED CONFLICT OF INTEREST STATEMENTS ARE MAINTAINED BY THE CORPORATE SECRETARY. FORM 990, PART VI, SECTION B, LINE 15 COMPENSATION REVIEWS ARE COORDINATED BY THE HUMAN RESOURCES DEPARTMENT AND GENERALLY INVOLVE THE USE OF OUTSIDE AGENCIES FOR SALARY COMPARISONS. ONCE MARKET VALUE COMPENSATION IS DETERMINED, THAT WILL BE USED TO SET THE RANGE OF COMPENSATION. THEREAFTER, ANNUAL ADJUSTMENTS ARE MADE BASED UPON CPI MOVEMENTS, MARKET INDICATORS AND THE OVERALL FINANCIAL CONDITION OF THE INSTITUTION. IN JUNE 2013, ALL OFFICER AND EXECUTIVE POSITIONS WERE REVIEWED DURING THE TRANSITION TO A NEW PRESIDENT. ANNUAL CONTRACTS WERE THEN ISSUED FOR EACH EXECUTIVE AND OFFICER. THE NATIONAL UNIVERSITY SYSTEM CHANCELLOR AND CITY UNIVERSITY BOARD SET THE ANNUAL COMPENSATION FOR THE PRESIDENT. FORM 990, PART VI, SECTION C, LINE 19 COPIES OF THE ANNUAL TAX RETURN AND AUDITED FINANCIAL STATEMENTS ARE MADE AVAILABLE UPON REQUEST AS NOTED IN THE ANNUAL COURSE CATALOG WHICH IS AVAILABLE ELECTRONICALLY ON THE UNIVERSITY WEBSITE OR IN HARD COPY. GOVERNING DOCUMENTS AND THE CONFLICT OF INTEREST POLICY ARE ALSO AVAILABLE TO THE PUBLIC UPON REQUEST. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 9: FOREIGN CURRENCY TRANSLATION 177,484. FORM 990, PART XII, LINE 2C: THE ORGANIZATION DOES HAVE A COMMITTEE THAT ASSUMES RESPONSIBILITY FOR OVERSIGHT OF THE AUDIT OF ITS FINANCIAL STATEMENTS AND SELECTION OF AN INDEPENDENT ACCOUNTANT. DURING THE FISCAL YEAR 2012-2013, THE ORGANIZATION DID NOT CHANGE ITS OVERSIGHT OR SELECTION PROCESS. SCHEDULE R, RELATED ORGANIZATIONS THE NUS IS AN ALLIANCE OF EDUCATIONAL INSTITUTIONS, SERVING DIVERSE LEARNERS FROM HIGH SCHOOL TO DOCTORAL PROGRAMS. THE NUS INCLUDES 8 INDEPENDENT NON-PROFIT ORGANIZATIONS EXEMPT UNDER IRC SECTION 501(C)(3): NATIONAL UNIVERSITY, NATIONAL UNIVERSITY VIRTUAL HIGH SCHOOL, WESTMED COLLEGE, JOHN F. KENNEDY UNIVERSITY (WHICH OFFERS DOCTORAL PROGRAMS AS WELL AS A LAW SCHOOL), SPECTRUM PACIFIC LEARNING, INC., NATIONAL UNIVERSITY INTERNATIONAL INC., CITY UNVIVERSITY OF SEATTLE, AND SYSTEM MANAGEMENT GROUP (SMG). SMG IS A SUPPORTING ORGANIZATION EXEMPT UNDER IRC SECTION 509(A)(3) WHICH PROVIDES SUPPORT AND SERVICES TO ITS TAX-EXEMPT AFFILIATES IN THE NUS. SPECTRUM PACIFIC LEARNING COMPANY LLC AND NATIONAL UNIVERSITY INTERNATIONAL LLC ARE WHOLLY-OWNED BY NATIONAL UNIVERSITY, AND ARE TREATED AS DISREGARDED ENTITIES FOR TAX PURPOSES. ANOTHER MEMBER OF THE NUS IS NATIONAL UNIVERSITY ACADEMY, A CHARTER SCHOOL. UNDER THE RECENTLY-CLARIFIED [2009] INSTRUCTIONS TO FORM 990, CITY UNIVERSITY OF SEATTLE REPORTS THREE "RELATED ORGANIZATIONS", INCLUDING ONE SUPPORTING ORGANIZATION (SMG). NONE OF THE OTHER AFFILIATES OF THE NUS ARE "RELATED ORGANIZATIONS" TO CITY UNIVERSITY OF SEATTLE ACCORDING TO THE DEFINITIONS IN THE INSTRUCTIONS, BECAUSE THE TRUSTEES AND OFFICERS OF CITY UNIVERSITY OF SEATTLE, ACTING IN THOSE CAPACITIES, HAVE NO AUTHORITY TO REMOVE, REPLACE, OR APPOINT A MAJORITY OF THE GOVERNING BODY OF THOSE OTHER AFFILIATES. THE BOARD OF TRUSTEES OF EACH AFFILIATE, ACTING IN ITS INDEPENDENT CAPACITY, PERIODICALLY APPOINTS ITS OWN NEW TRUSTEES. MOREOVER, NONE OF THE OTHER AFFILIATES OF THE NUS, NOTWITHSTANDING THE OVERLAPPING COMPOSITION OF THEIR BOARDS OF TRUSTEES, CAN PROPERLY BE VIEWED AS A PARENT OR CHILD OF CITY UNIVERSITY OF SEATTLE BECAUSE OF THEIR FUNCTIONAL INDEPENDENCE. IN ADDITION, THE NUS AUDIT FIRM PREPARES A SET OF "COMBINED" NOT "CONSOLIDATED" AUDITED FINANCIAL STATEMENTS THAT INCLUDES THE EIGHT INDEPENDENT NON-PROFIT ORGANIZATIONS EXEMPT UNDER IRC SECTION 501(C)(3): NATIONAL UNIVERSITY, NATIONAL UNIVERSITY VIRTUAL HIGH SCHOOL, WESTMED COLLEGE, JOHN F. KENNEDY UNIVERSITY, SPECTRUM PACIFIC LEARNING, INC., NATIONAL UNIVERSITY INTERNATIONAL INC., CITY UNIVERSITY OF SEATTLE AND SYSTEM MANAGEMENT GROUP. CITY UNIVERSITY FOUNDATION 521 WALL STREET SEATTLE WA 98121 911393435 SUPPORT TO CITY UNIVERSITY - DISSOLVED DURING TAX YEAR WA 501(C)(3) LINE 11B, II CITY UNIVERSITY OF SEATTLE 1 VYSOKA SKOLA MANAZMENTU PANONSKA CESTA 17 BRATISLAVA LO 851 04 SLOVAKIAN INSTITUTION OF HIGHER EDUCATION LO CITY UNIVERSITY OF SEATTLE BELLEVUE USA SPOL SRO 0 SYSTEM MANAGEMENT GROUP 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 201269904 PROVIDE ADMINISTRATIVE SERVICES TO AFFILIATED INSTITUTIONS CA 501(C)(3) 509(A)(3) N/A 0 CITY UNIVERSITY OF SEATTLE BELLEVLUE USA SPOL SRO PANONSKA CESTA 17 85 BRATISLAVA LO HIGHER EDUCATION SERVICES LO N/A C 42752 1772687 1.00000 1 CU PROPERTIES AS PANONSKA CESTA 17 851 04 BRATISLAVA LO PROPERTY MANAGEMENT LO N/A C 129922 1588009 0.52000 1 0 0 0 0 0 0 0 0 0 0 0 1 0 1 1 0 1 1 1 CITY UNIVERSITY FOUNDATION Q 3830 CASH TRANSFER CITY UNIVERSITY FOUNDATION S 99170 CASH TRANSFER VYSOKA SKOLA MANAZMENTU Q 399982 CASH TRANSFER IN FEBRUARY 2013, THE UNIVERSITY ENTERED INTO A CONTRACT OF AFFILIATION (THE CONTRACT) WITH THE NATIONAL UNIVERSITY SYSTEM (NUS), WHICH IS AN ALLIANCE OF OPERATIONALLY INDEPENDENT AND SEPARATELY ACCREDITED NONPROFIT EDUCATIONAL INSTITUTIONS, A PUBLIC CHARTER SCHOOL, AND TWO NONPROFIT SERVICE PROVIDERS. THE AFFILIATION AGREEMENT PROVIDES FOR CERTAIN FINANCIAL BENEFITS TO THE UNIVERSITY FOR CURRENT AND FUTURE CAPITAL PROJECT FUNDING AND EXPENSE REIMBURSEMENTS TO PROVIDE ADDITIONAL WORKING CAPITAL TO FUND EXPECTED FUTURE REQUIREMENTS AND NEEDS OF THE UNIVERSITY. ADDITIONALLY, THE CONTRACT INCLUDES A GUARANTEE BY NUS OF ALL OUTSTANDING OBLIGATIONS OF THE UNIVERSITY UNDER THE AFFILIATION. THE UNIVERSITY BOARD OF GOVERNORS ELECTED IN ITS STEAD THE PERSONS WHO ARE ALSO BOARD MEMBERS OF THE OTHER NUS AFFILIATES, AND TWO MEMBERS OF THE UNIVERSITY'S BOARD IMMEDIATELY BEFORE AFFILIATION JOINED THE BOARDS OF THOSE ORGANIZATIONS (SEE FORM 990, PART VII). THE UNIVERSITY RETAINS ITS NAME, IDENTITY, AND STANDING AS AN INDEPENDENT FULLY ACCREDITED NONPROFIT UNIVERSITY, AS WELL AS ITS COMMITMENT TO ITS CORE MISSION, VISION AND VALUES. THE UNIVERSITY'S AFFILIATION WITH NUS WILL SIGNIFICANTLY STRENGTHEN THE UNIVERSITY'S RESOURCES AND PROVIDE FOR THE LONG-TERM FUTURE OF THE UNIVERSITY.