2014-01-23T15:23:03-06:00 2013-06-30 560574444 CHERRY BEKAERT LLP 1111 METROPOLITAN AVENUE SUITE 1000 CHARLOTTE NC 28204 990 2012-07-01 560935064 CANNON SCHOOL INC CANN 7047868171 5801 POPLAR TENT ROAD CONCORD NC 28027 WHITNEY BROWN 7047868171 2013-12-05 1 JANICE A RATICA P00358837 7043771678 2012 2015-11-30 17:44:51Z WHITNEY BROWN 5801 POPLAR TENT ROAD CONCORD NC 28027 22620456 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 906 STUDENTS WERE ENROLLED AT THE SCHOOL DURING THE FISCAL YEAR 2013 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. 20 20 274 30 0 0 630972 6166455 15121411 16228399 201967 190449 77925 -2565 16032275 22582738 1885254 1999157 0 0 9317663 10066588 0 0 446480 4612988 4598180 15815905 16663925 216370 5918813 31134797 37169709 15372565 14980060 15762232 22189649 PROVISION OF A QUALITY K-12 EDUCATIONAL PROGRAM WITHIN A SAFE, DIVERSE, AND CHALLENGING ENVIRONMENT. 0 0 14094337 1999157 14843055 INSTRUCTION - PRIMARY AND SECONDARY EDUCATION WHICH BENEFITS STUDENTS WITHOUT REGARD TO RACE, RELIGION OR NATIONAL ORIGIN. THE SCHOOL SERVED APPROXIMATELY 906 STUDENTS DURING FISCAL YEAR 2013. 830774 SPECIAL PROGRAM FEES - FUNDS WERE USED TO PROVIDE SPECIAL PROGRAMS, SUCH AS EXTENDED DAY CARE, SUMMER CAMPS, AND AFTER SCHOOL PROGRAMS TO STUDENTS. 554570 AUXILIARY SERVICES - FUNDS WERE USED TO PROVIDE SERVICES SUCH AS TRANSPORTATION TO STUDENTS IN GRADES PRE-KINDERGARTEN TO 12. 14094337 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 54 0 1 274 1 0 0 0 0 0 1 0 0 0 0 0 X 20 20 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 BOB BRATTON 1.00 X 0 0 0 FRED BRYANT 1.00 X 0 0 0 TOM KABASAKALIAN 1.00 X 0 0 0 GERALD KURTZ 1.00 X 0 0 0 LISA LIVINGSTON 1.00 X 0 0 0 STEVE MCLEOD 1.00 X 0 0 0 RANDY MCVANE 1.00 X 0 0 0 GEORGE MENNEN JR 1.00 X 0 0 0 SHARIF METWALLI 1.00 X 0 0 0 JIM MICHAELS 1.00 X 0 0 0 JOHN PHILLIPS JR 1.00 X 0 0 0 DAVID POWELL 1.00 X 0 0 0 KIM REYNOLDS 1.00 X 0 0 0 JOHN ROSSITCH 1.00 X 0 0 0 RICHARD SCHACHNER JR 1.00 X 0 0 0 ANTHONY SPARROW 1.00 X 0 0 0 SUSAN SCHNEIDER 1.00 X X 0 0 0 TIM TYSINGER 1.00 X X 0 0 0 RUSS ANDREWS 1.00 X X 0 0 0 KRISTIN BAKER 1.00 X X 0 0 0 MATTHEW GOSSAGE 40.00 X 404574 0 38146 STEPHEN JONES UNTIL 103112 40.00 X 107606 0 9456 WHITNEY BROWN 40.00 X 73332 0 6366 MATTHEW RUSH 40.00 X 103467 0 8688 FREDERICK HARTUNG 40.00 X 101515 0 8043 790494 0 70699 4 0 1 0 WGM DESIGN INC 916 WEST 5TH STREET SUITE 200 CHARLOTTE NC 28202 ARCHITECHTURAL DESIGN SERVICES 193668 CAROLINA CLEANING SOLUTIONS PO BOX 1167 KANNAPOLIS NC 28082 JANITORIAL CONTRACTOR 183480 2 20590 6145865 586550 6166455 TUITION AND FEES 900099 14843055 14843055 OTHER AUXILIARY ACTIVITIES 900099 554570 554570 TRANSPORTATION FEES 900099 353539 353539 BEYOND THE BELL FEES 900099 264926 264926 CAMP CANNON FEES 900099 212309 212309 16228399 150045 150045 21100 0 21100 21100 21100 41883 2758 -37710 41947 79593 -39189 40404 40404 9816 20590 33481 -23665 -23665 22582738 16228399 0 187884 1999157 1999157 639480 639480 7749785 6899697 576183 273905 504988 416739 74625 13624 555353 454615 83926 16812 616982 507803 89353 19826 24332 24332 31740 31740 101588 101588 138021 69010 69011 171110 114130 56980 144763 96557 48206 833430 622739 210691 385485 385485 1116185 1116185 114291 76232 38059 CURRICULUM EXPENSES 401087 401087 BOOSTER ORGANIZATIONS 288030 288030 SUMMER CAMP/SCH. STORE 221950 221950 ATHLETIC EXPENSES 169521 169521 456647 223660 179685 53302 16663925 14094337 2123108 446480 5336128 6798687 5097545 4856697 353642 4128654 516523 844266 80000 60000 18441 29899 169981 176967 26081003 10347330 15684985 15733673 3811909 4499093 65643 41773 31134797 37169709 875290 1093967 5630712 5928781 7745000 7280000 17378 4125 1104185 673187 15372565 14980060 X 14371401 15091932 278383 5852094 1112448 1245623 15762232 22189649 31134797 37169709 X 5918813 348281 160323 X X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 3723259 254175 502297 41683 4438048 3754924 89390 -48099 72956 3723259 3064129 77469 645210 31884 3754924 2784413 62158 399254 23699 3222126 3374348 16100 -573835 32200 2784413 0.67000 0.28000 0.05000 0 0 501819 501819 20014916 8259381 11755535 5059715 2087949 2971766 504553 504553 15733673 EQUITIES 887755 F MUTUAL FUNDS - EQUITIES 2488212 F MUTUAL FUNDS - FIXED INC. 1123126 F 4499093 VALUATION OF DERIVATIVE INSTRUMENT 551316 CAPITAL LEASES 121871 673187 X 21114516 348281 -1838834 -1490553 22605069 31740 -54071 -22331 22582738 14687099 54071 54071 14633028 31740 1999157 2030897 16663925 DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: 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. DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: MANAGEMENT HAS EVALUATED THE EFFECT OF FINANCIAL ACCOUNTING STANDARDS BOARD GUIDANCE ON ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES. THE GUIDANCE CLARIFIES THE ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES RECOGNIZED IN AN ENTITY'S FINANCIAL STATEMENTS BY PRESCRIBING A RECOGNITION THRESHOLD AND MEASUREMENT ATTRIBUTE FOR THE FINANCIAL STATEMENT RECOGNITION AND MEASUREMENT OF A TAX POSITION TAKEN OR EXPECTED TO BE TAKEN IN A TAX RETURN. THE SCHOOL'S POLICY IS TO RECORD A LIABILITY FOR ANY TAX POSITION TAKEN THAT IS BENEFICIAL TO THE SCHOOL, INCLUDING ANY RELATED INTEREST & PENALTIES, WHEN IT IS MORE LIKELY THAN NOT THE POSITION TAKEN BY MANAGEMENT WITH RESPECT TO A TRANSACTION OR CLASS OF TRANSACTIONS WILL BE OVERTURNED BY A TAXING AUTHORITY UPON EXAMINATION. MANAGEMENT BELIEVES THERE ARE NO SUCH POSITIONS AS OF JUNE 30, 2013 AND 2012; ACCORDINGLY, NO LIABILITY HAS BEEN ACCRUED. PART XI, LINE 2D - OTHER ADJUSTMENTS: FINANCIAL AID AND SCHOLARSHIPS SHOWN NET OF TUITION ON FINANCIALS -1,999,157. CHANGE IN FAIR VALUE OF SWAP 337,146. ADJUSTMENT TO PLEDGES RECEIVABLE VALUE -176,823. PART XI, LINE 4B - OTHER ADJUSTMENTS: FUNDRAISING EVENT EXPENSES -54,071. PART XII, LINE 2D - OTHER ADJUSTMENTS: FUNDRAISING EVENT EXPENSES 54,071. PART XII, LINE 4B - OTHER ADJUSTMENTS: FINANCIAL AID AND SCHOLARSHIPS SHOWN NET OF TUITION ON FINANCIALS 1,999,157. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 EXPLANATION OF NONDISCRIMINATORY POLICY PUBLICATION 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. CAPITAL CAMPAIGN FUNDRAISER 12451 8703 3748 2682 4405 3748 8626 6920 GOLF TOURNAMENT 17955 11887 6068 1032 3520 2548 30406 20590 9816 3714 7925 3748 8626 9468 33481 -23665 1 FINANCIAL AID 173 1999157 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, 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 1 0 0 0 0 0 0 0 MATTHEW GOSSAGE 404574 0 0 0 0 0 20495 0 17651 0 442720 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. ON OCCASION, THE HEAD OF SCHOOL TRAVELS WITH HIS SPOUSE FOR OUT OF TOWN CONFERENCES. HE UTILIZES FUNDS FROM HIS DISCRETIONARY ACCOUNT TO PAY FOR HIS OWN PROFESSIONAL DEVELOPMENT IN ADDITION TO THE COST FOR HIS SPOUSE TO TRAVEL WITH HIM. PART I, LINE 4B THE HEAD OF SCHOOL, MATTHEW GOSSAGE, PARTICIPATES IN A 457 NON-QUALIFIED DEFERRED COMPENSATION PLAN. THE SCHOOL DOES NOT CONTRIBUTE ANY AMOUNTS TO THE PLAN AS IT IS FOR EMPLOYEE DEFERRALS ONLY. 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 0.00000 0.00000 0.00000 0 0 0 A 0 0 1 0 1 0 0 0 0 MATTHEW GOSSAGE THE LOAN WAS A HIRING INCENTIVE THAT WAS USED FOR THE PURCHASE OF A HOME X 200000 60000 0 1 1 60000 EMPLOYEES EMPLOYEES OF THE SCHOOL 11865 TUITION ASSISTANCE EMPLOYEE FRINGE BENEFIT X 15 586550 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. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 9: CHANGE IN FAIR VALUE OF SWAP 337,146. ADJUSTMENT TO PLEDGES RECEIVABLE VALUE -176,823. 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.