2014-05-14T14:02:56-05:00 2013-06-30 861065772 Deloitte Tax LLP 250 East Fifth Street Suite 1900 Cincinnati OH 45202 990 2012-07-01 311321973 KnowledgeWorks Foundation KNOW 5139294777 One West Fourth Street No 200 Cincinnati OH 452023634 William L McNeese 5139294777 2014-05-14 1 Rebecca Lyons P01487105 5137847100 2012 2015-11-30 17:44:51Z Judith Peppler One West Fourth Street No 200 Cincinnati OH 452023634 24112061 0 X http://knowledgeworks.org/ X 1991 OH Create sustainable improvement in student readiness for college and careers. 12 10 159 0 0 0 4461731 3460775 18722514 19928001 849 338 1267786 722947 24452880 24112061 1334315 621622 0 0 13159754 16195684 0 0 150007 17990904 18526509 32484973 35343815 -8032093 -11231754 180038043 151983301 165577592 137033370 14460451 14949931 X KnowledgeWorks' mission is to create sustainable improvement in student readiness for college and careers. By offering a portfolio of innovative education approaches and advancing aligned policies, KnowledgeWorks seeks to activate and develop the capacity of communities and educators to build and sustain vibrant learning ecosystems that allow each student to thrive. 0 0 3530819 3000 2753884 EdWorks, LLCDuring fiscal year 2013 more than 87% of EdWorks technical assistance efforts focused on the design and implementation of STEM (Science, Technology, Engineering and Mathematics) and Early College High Schools. A growing number of schools, 23%, served students in grades K-8. In all, EdWorks provided professional development technical assistance for more than 640 teachers in 40 schools, reaching more than 16,000 students. Fiscal year 2013 marked a decade since the launch of Early College High Schools by EdWorks. After a decade, the results from these Early College High Schools are impressive. The overwhelming majority of the students in our schools are same ones that would be considered "turnaround school" students. Some 87% of students in our schools are considered low income or "turnaround" students vs. 58% in competitors' schools. This shows a track record of success with the most challenged students, in the most distressed schools and communities. Data collected in Ohio, the site of EdWorks/KnowledgeWorks' initial Early College High Schools, show 97% of these students graduate from high school; 79% earn at least 1 year of college credit while in high school; one in three earn an associate degree or two years of college credit while in high school; 95% continue in higher education; and 87% persist to a four-year degree, most within two or three years after graduating from the Early college High School. 11536732 9881188 New Technology Network, LLC (NTN)The NTN design is a blueprint, accompanied by a set of core beliefs, tools, and strategies to help each NTN school fulfill its purpose. NTN design principles provide for an instructional approach centered on project-based learning, a culture that empowers students and teachers, and integrated use of technology in the classroom. Through extensive professional development, personalized coaching and access to Echo, a learning management system, NTN empowers principals, teachers, and students to develop compelling, relevant and meaningful learning communities. As of fiscal year-end, NTN's school portfolio included 133 schools in 2 countries, 23 states across the USA, representing over 39,000 students and 2,500 teachers. 3404449 46467 740254 StriveTogether, LLCStriveTogether has over 100 members in the Cradle to Career Network. These members represent communities of all geographic, demographic makeup, and achievement levels. In total, the school districts served by the local partnership in each community serve approximately 3.5 million children. The members of the Network have helped to develop concrete standards of practice called the Theory of Action. The sites progress is being measured against this tool and will help raise the bar on the new science of building "cradle to career civic infrastructure". In addition to providing strategic assistance to these sites, StriveTogether has published numerous articles, reports, and blogs, developed on-line tools to support sites as they take on this challenging work, and hosted four convenings to bring partners together to share lessons and develop new knowledge for the field as a whole. 10884335 572155 7246184 Included in the other program services are Strive Partnership, National Advocacy & Strategic Foresight, Grantmaking and Student Lending, described below.** Strive Partnership - The Strive Partnership launched several large initiatives, most notably, Read On! the Cincinnati/Northern Kentucky region's campaign to improve early grade-level reading. Read On! has catalyzed collaborative action in new areas such as attendance and summer learning; has begun aligning funding to scale programs and practices that are proven to impact early childhood and early grade-level reading; and has contributed to new policy and advocacy work through the Cincinnati Preschool Promise, a burgeoning effort to provide universal access to quality preschool for Cincinnati children. Be the Change, the Partnership's tutor recruitment campaign, had a successful year with nearly 700 tutors placed in schools. The Strive Partnership aligned funding to support a new district-wide tutoring coordinator within Cincinnati Public Schools to continuously improve and grow that effort. The Strive Partnership also increased its support for the Learning Partner Dashboard so schools in Cincinnati and Covington can begin using data more effectively, and began planning a data analytics unit to launch in 2014.** National Advocacy & Strategic Foresight - From July 2012 to June 2013, KnowledgeWorks worked closely with policymakers, national organizations, and key media outlets to drive demand for innovative learning environments. Throughout the year, KnowledgeWorks advised sixteen state departments of education, including our home state of Ohio, on development and implementation of comprehensive school improvement systems. KnowledgeWorks also engaged federal policymakers and partner organizations on a number of topics including competency education and high school redesign including releasing multiple publications on those topics and holding several briefings with senior officials at the U.S. Department of Education. Over that time, KnowledgeWorks created and deployed digital publishing strategy and platform that included the publishing of over 100 blog posts and quarterly newsletters to over 25,000 subscribers, the integration of three satellite websites and the Future of Education website into the KnowledgeWorks' website; all while increasing website page views by 27% and blog page views by 82%. In addition, KnowledgeWorks issues 28 national press releases on a myriad of topics including the accomplishments of our subsidiaries, Digital Learning Day, and the release of KnowledgeWorks' third future forecast. KnowledgeWorks used that third forecast, Forecast 3.0: Recombinant Education, to create a vision for the future of learning through 15 events and with 12 organizations around the country to identify ways of taking action in the present that will help make that vision a reality. KnowledgeWorks also distributed 18,186 copies Forecast 3.0 to countries around the world.Grant-making - The Grant making program provided approximately $622,000 of grant funding to 81 organizations.KnowledgeWorks and its subsidiary, KnowledgeFunding Ohio, served approximately 23,000 students during the fiscal year through its student lending programs. 10884335 572155 7246184 29356335 1 1 0 1 0 0 0 0 0 0 1 0 1 0 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 1 0 0 1 146 0 1 159 1 0 0 0 0 0 0 0 0 0 0 X 12 10 1 1 1 0 0 0 0 1 1 0 1 1 1 1 1 1 1 1 1 1 0 X X William L McNeese 5139291135 One West Fourth Street Suite 200 Cincinnati OH 452023634 Joseph P Tomain Esq 2.00 3.00 X 9850 2500 22500 Dr Jacquelyn M Belcher 2.00 0.00 X 15100 0 0 John E Dean Esq 2.00 1.00 X 0 0 14500 Dr Sherrill Cleland 2.00 1.00 X 13500 0 1000 Hon Nathaniel R Jones 2.00 0.00 X 11000 0 0 Lucie Lapovsky 2.00 0.00 X 500 0 13000 Steven Minter 2.00 0.00 X 0 0 13000 Richard W Riley Esq 2.00 0.00 X 11100 0 0 Eileen Rudden 2.00 0.00 X 6250 0 0 Barry Schuler 2.00 1.00 X 0 0 0 Chad P Wick 37.00 3.00 X 356065 0 51110 Brian Ross end 1212 36.00 4.00 X X 806162 0 37325 Timothy Tuff start 1212 2.00 0.00 X X 0 0 15200 Douglas Thomson 2.00 1.00 X 0 0 0 William L McNeese 32.00 8.00 X 237941 0 57224 Holly A Brinkman 36.00 4.00 X 173823 0 52034 Meredith Meyer 40.00 0.00 X 178117 0 37717 James Scott 40.00 0.00 X 251867 0 60178 Catherine Allshouse 40.00 0.00 X 197135 0 38262 Harold Brown 40.00 0.00 X 204609 0 44932 Lydia Dobyns 35.00 5.00 X 228607 0 59409 Jeff Edmondson 40.00 0.00 X 167171 0 48138 Christopher Walsh 40.00 0.00 X 135467 0 45485 Andrew Benson 40.00 0.00 X 154208 0 49873 Jillian Darwish 40.00 0.00 X 144764 0 30701 Rick Lear 40.00 0.00 X 141739 0 26999 Matthew Williams 40.00 0.00 X 137786 0 43151 3582761 2500 761738 32 0 1 0 Kohne O'Neill LLC 8160 Corporate Park Drive Cincinnati OH 45242 Student Lending Consultants 835000 Cincinnati Bell Technology Solutions 1507 Solutions Center Chicago IL 606771005 Technology Consultants 456885 Cardinal Solutions Group 7755 Montgomery Rd Suite 510 Cincinnati OH 45236 Technology Consultants 325370 Frost Brown Todd LLC 301 East 4th Street Cincinnati OH 45201 Legal Services 221894 NEPC LLC 255 State Street Boston MA 02109 Investment Consultants 187637 11 274945 3185830 3460775 Fees for Services 611710 13388114 13388114 Int. on Student Loans 611710 5652531 5652531 KFO Admin Fee Income 611710 548758 548758 OH Centric Admin Fees 611710 247572 247572 KWI Admin Fees 611710 91026 91026 19928001 338 338 Servicing Fee Income 611710 664342 664342 Securities Litigation 611710 29438 29438 29167 29167 722947 24112061 20621510 0 29776 X 621622 621622 3392639 1590448 1715845 86346 9583110 8077426 1479394 26290 1038615 866718 160324 11573 1334641 1122669 195621 16351 846679 704251 132981 9447 431618 269920 161698 192215 57215 135000 32472 32472 5214528 4883155 331373 445592 387687 57905 362060 238826 123234 933138 620471 312667 733332 383570 349762 2499540 2373102 126438 1349757 1302604 47153 3053517 3053517 580334 299108 281226 116315 2500 113815 Cons Rebate Fees 1253823 1253823 0 0 Amortization Expense 595746 595746 0 0 Loan Svc/Trustee Fees 294628 294628 0 0 Student Loan Provision 207621 207621 0 0 230273 117236 113037 35343815 29356335 5837473 150007 10325181 10607973 16562057 7666015 1795271 2619862 3355686 2026707 574898 536404 5125145 3588158 1820900 1536987 141858413 123643775 3745637 3345578 180038043 151983301 5944178 6351154 2188240 1775149 155903381 128170970 1541793 736097 165577592 137033370 X 9757782 10877116 4702669 4072815 0 14460451 14949931 180038043 151983301 X -11231754 11721234 X 0 1 X 1 0 X 18381232 18286759 17591360 15723031 13176203 83158585 8937820 10488114 16967219 18806066 19928002 75127221 27319052 28774873 34558579 34529097 33104205 158285806 13072754 14653688 14943399 11874852 9806454 64351147 897917 1713834 358699 715739 3686189 13072754 15551605 16657233 12233551 10522193 68037336 90248470 311748 82094 72569 70721 29505 566637 311748 82094 72569 70721 29505 566637 124473 40886 32754 1114362 693780 2006255 27755273 28897853 34663902 35714180 33827490 160858698 0.56100 0.52670 0.00350 0.01160 X Schedule A, Part II, Line 12, Explanation of Other Income: Securities Litigation Income KWF Miscellaneous Income Non-profit Servicing Fee Revenues RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 1 32472 0 0 32472 0 Part IV, Supplemental Information: Part I-A and I-B: These sections are "Not Applicable" as KnowledgeWorks Foundation does not participate in or intervene in (including the publishing or distributing of statements), any political campaign on behalf of (or in opposition to) any candidate for public office. 1492695 645679 847016 1334145 1113406 220739 2298305 1829073 469232 1536987 Student Loan Receivables, Net of Unamortized Loan Acquisition Costs 58812143 C Student Loans Held for Sale 64831632 F 123643775 Interest Rate Swap Agreement 531880 Interest Payable 204217 736097 X Description of Uncertain Tax Positions Under FIN 48: Part X, Line 2: The Foundation has analyzed tax positions taken for filing with the IRS and all state jurisdictions where it operates. The Foundation believes that income tax filing positions will be sustained upon examination and does not anticipate any adjustments that would result in a material adverse effect on the Foundation's financial position, statement of activities, or cash flows. Accordingly, the Foundation has not recorded any reserves or related accruals for interest and penalties for uncertain income tax positions at June 30, 2013 and 2012. In the event interest and penalties accrued on unrecognized tax benefits, the Foundation would recognize such amounts as a component of income tax expense. 1 All Hands Raised 2069 NE Hoyt Street Portland OR 97232 931149789 501(c)(3) 8500 Convening Sponsorship Alliance for Excellent Education 1201 Connecticut Avenue NW Washington DC 20036 113487339 501(c)(3) 25000 Sponsorship of Annual Digital Learning Day Cincinnati Youth Collaborative 301 Oak Street Cincinnati OH 45219 311204406 501(c)(3) 43684 MentoringWorks Project and Dream Makers Celebration College Mentors for Kids 212 W 10th St Suite B260 Indianapolis IN 46202 352002052 501(c)(3) 5450 Mentoring Works Project - Provide College Students to Mentor 2nd-5th Graders at Rothenberg. Colleton County School 213 North Jefferies Blvd Walterboro SC 29488 576000338 Gov't Entity 40721 Teacher Professional Development and Training Community Center for Education Results 2100 24th Avenue Suite 340 Seattle WA 98144 271667560 501(c)(3) 10000 Roadmap Support Council of Chief State School Officers One Massachusetts Avenue NW Washington DC 20001 530198090 501(c)(3) 50000 Sponsorship of 2013 Deputies Meetings - to Support 2013 Deputies R&D and Support Advisory Accountability Task Covington Partners in Prevention PO Box 0426 Covington KY 41012 201515753 501(c)(3) 15000 Covington Mentoring Program End Zone Club 945 Smiley Avenue Cincinnati OH 452401836 203337351 501(c)(3) 10333 End Zone Meeting Sponsorship Foundation for Talbert House 2600 Victory Parkway Cincinnati OH 452061711 311624973 501(c)(3) 6500 Family Therapeutic Mentoring Lighthouse Youth Services Inc 401 East McMillan Street Cincinnati OH 45206 237046229 501(c)(3) 20575 Youth Mentoring Program Napa Unified School District 2425 Jefferson Street Napa CA 94558 521550087 Gov't Entity 200000 District Support for NTHS Learning System The Interalliance of Greater Cincinnati 10290 Alliance Road Cincinnati OH 45242 208444742 501(c)(3) 15500 Tech Olympics Expo and Career Camps support Thomas B Fordham Institute 37 West Broad Street Suite 400 Columbus OH 43221 311816446 501(c)(3) 13000 Reynoldsburg City School District Support for Online Curricula United Way of Greater Cincinnati 2400 Reading Road Cincinnati OH 45202 310537502 501(c)(3) 58159 Talent Pipeline Initiative, 2012 Campaign and Leaders & Legends University at Albany Rockefeller Institute of Government 411 State Street Albany NY 12203 141503972 501(c)(3) 25000 Albany Promise Network University of Cincinnati Research Department PO Box 210002 Cincinnati OH 45221 316000989 501(c)(3) 16258 HEMI - Higher Education Mentoring Initiative 17 0 Procedure for Monitoring Grants in the U.S.: Part I, Line 2: Schedule I, Part I, Line 2: KnowledgeWorks Foundation uses the MicroEdge Gifts for Windows software system to maintain grantmaking records. Data tracked by KnowledgeWorks includes: date of request, eligibility of grantee, contact information, date grant was awarded or denied, grant purpose, grant budget, electronic copy of executed grant contracts and required financial reports and timing. The KnowledgeWorks Grants Administrator provides periodic reporting to Program Managers and follows up with grantees as required financial reporting is due. X 1 1 X X X X X 1 0 0 0 0 0 0 1 0 Chad P Wick 326065 0 30000 0 0 0 40474 0 10636 0 407175 0 0 0 Brian Ross end 1212 398016 0 90000 0 318146 0 12500 0 24825 0 843487 0 0 0 William L McNeese 202553 0 35388 0 0 0 38265 0 18959 0 295165 0 0 0 Holly A Brinkman 150430 0 23393 0 0 0 27472 0 24562 0 225857 0 0 0 Meredith Meyer 153547 0 24570 0 0 0 27155 0 10562 0 215834 0 0 0 James Scott 212933 0 38934 0 0 0 40474 0 19704 0 312045 0 0 0 Catherine Allshouse 173308 0 23827 0 0 0 30251 0 8011 0 235397 0 0 0 Harold Brown 177324 0 27285 0 0 0 33038 0 11894 0 249541 0 0 0 Lydia Dobyns 198907 0 29700 0 0 0 37333 0 22076 0 288016 0 0 0 Jeff Edmondson 145556 0 21615 0 0 0 25826 0 22312 0 215309 0 0 0 Christopher Walsh 125514 0 9953 0 0 0 20709 0 24776 0 180952 0 0 0 Andrew Benson 133343 0 20865 0 0 0 24002 0 25871 0 204081 0 0 0 Jillian Darwish 118803 0 20865 0 5096 0 7526 0 23175 0 175465 0 0 0 Rick Lear 131704 0 10035 0 0 0 20376 0 6623 0 168738 0 0 0 Matthew Williams 119674 0 18112 0 0 0 19839 0 23312 0 180937 0 0 0 Part I, Line 1a The Foundation maintains memberships in a local social club in the name of the President & CEO and the Founder & Director. These memberships are business memberships for the benefit of the Foundation. As such, the monthly dues are paid by the Foundation. Any personal use is paid by the President & CEO or the Founder & Director. Part I, Line 4a Severance payments were made to Brian Ross, $282,846. Payments were made under the terms of negotiated separation agreements. Part I, Line 7 KnowledgeWorks Foundation offers an individual incentive based bonus program, where the annual payout is determined by achievement of established objectives. Form 990, Part VI, Section A, line 2 Certain KnowledgeWorks Foundation board members are also members of the boards of certain KnowledgeWorks Foundation affiliates. These overlapping board memberships constitute a "business relationship" as defined by the Form 990 instructions. Form 990, Part VI, Section A, line 3 KWSL LLC, a wholly owned subsidiary of KnowledgeWorks Foundation contracted with Kohne O'Neill LLC to administer its student lending programs. Form 990, Part VI, Section A, line 4 Changes were made to the structure of board committees and to the role of the board chair on board committees. Form 990, Part VI, Section B, line 11 After completion by the preparer, the draft of the Form 990 is reviewed by the Controller and Chief Financial Officer. The final draft of the Form 990 is reviewed with the Audit Committee. After it receives the approval of the Audit Committee, the final Form 990 is distributed to all members of the Board of Directors before it is filed. Form 990, Part VI, Section B, line 12c On an annual basis the conflicts of interest policy is distributed to the directors, officers and key employees along with a questionnaire that must be completed, signed and returned to legal counsel. Legal counsel reviews the questionnaire responses and advises management and the board of any required actions. Form 990, Part VI, Section B, line 15 The compensation of the CEO, other officers, and key employees are set by the Compensation Committee of the Board of Directors utilizing a compensation study performed by an independent compensation consulting firm comparing similar positions in similar organizations. Form 990, Part VI, Section C, line 19 The consolidated financial statements of KnowledgeWorks Foundation and its subsidiaries are available on the KnowledgeWorks Foundation website. KnowledgeWorks Foundation's Form 990 is also available on its website. The governing documents and conflict of interest policy are available upon request. Other Fees Form 990, Part IX, line 11g Technical assistance & evaluation support - school & community initiatives: Program service expenses 2,004,411. Management and general expenses 0. Fundraising expenses 0. Total expenses 2,004,411. Technology and software development: Program service expenses 1,084,307. Management and general expenses 114,054. Fundraising expenses 0. Total expenses 1,198,361. General business, HR, communications, advocacy, policy and student lending: Program service expenses 1,794,437. Management and general expenses 217,319. Fundraising expenses 0. Total expenses 2,011,756. Changes in Net Assets or Fund Balances: Form 990, Part XI, line 9: Net Distribution of Investments from Exempt Subsidiary - KWI 1,715,428. Distribution of Funds from Exempt Subsidiary - KnowledgeFunding Ohio 7,664,276. Distribution of Funds from Exempt Subsidiary - New Tech Foundation 1,208,559. Amortization of Discount on Student Loans 1,221,938. Unrealized Gain on Interest Rate Swap Agreement 598,683. Unrealized Loss on Student Loans Held for Sale -687,650. KnowledgeWorks Intermediary LLC One West Fourth Street Suite 200 Cincinnati OH 452023634 311321973 Facilitate Receipt of Federal and State Grant Funds OH 0 200 KnowledgeWorks Foundation KWSL LLC One West Fourth Street Suite 200 Cincinnati OH 452023634 510560916 Directs Operations of SLW and KFO OH 1489839 2465291 KnowledgeWorks Foundation EdWorks LLC One West Fourth Street Suite 200 Cincinnati OH 452023634 272300265 Effective Long-Term High School Improvement Solutions OH 2953884 722457 KnowledgeWorks Foundation StriveTogether LLC One West Fourth Street Suite 200 Cincinnati OH 452023634 272300365 Implement Best Practices for Student Success OH 3112061 2323019 KnowledgeWorks Foundation New Technology Network LLC One West Fourth Street Suite 200 Cincinnati OH 452023634 270845123 Services & Support to Implement Innovative High Schools OH 10419345 3886936 KnowledgeWorks Foundation KWI One West Fourth Street Suite 200 Cincinnati OH 452023634 311776354 Supporting Organization OH Section 501(c)(3) Schedule A, Line 11a KnowledgeWorks Foundation 1 KnowledgeFunding Ohio Inc One West Fourth Street Suite 250 Cincinnati OH 452023634 201888000 Student Loan Acquisition OH Section 501(c)(3) Schedule A, Line 9 KnowledgeWorks Foundation 1 Student LendingWorks Inc One West Fourth Street Suite 285 Cincinnati OH 452023634 201887944 Student Loan Originator OH Section 501(c)(3) Schedule A, Line 9 KnowledgeWorks Foundation 1 New Technology Foundation 1250 Main Street Suite 100 Napa CA 94559 680436871 Supporting Project Based Learning CA Section 501(c)(3) Schedule A, Line 11a KnowledgeWorks Foundation 1 KFO Inc One West Fourth Street Suite 210 Cincinnati OH 45202 461988255 Student Loan Financing OH N/A C 1 0 0 0 0 1 0 0 0 0 0 0 1 0 1 1 0 1 1 1 KWI E 7000000 Principal in Note KnowledgeFunding Ohio Inc (via KWSL LLC) L 577925 Indenture of Trust KWI L 91026 Specific Allocated Expenses KWI Q 162000 Inv Advisor Fees & Exp & BOD Fees KWI Q 109035 Interest Stated in Note Agreement KWI R 8000000 Excess Cash Transferred KWI S 9715428 Actual Cash Transferred New Technology Foundation S 1208559 Actual Cash Transferred KnowledgeFunding Ohio Inc S 7664276 Cash After Loans Sale & Debt Pymt Related Party Transactions: Schedule R, Part V, Line 1: Services, including management and administration of activities, are provided by KnowledgeWorks Foundation to KnowledgeFunding Ohio and KWI. KnowledgeFunding Ohio pays an administrative fee to KnowledgeWorks based on the administrative draw defined in the Indenture of Trust. Reimbursements from KWI are based on actual time reported by employees and actual expenses. KWI transfers cash to KnowledgeWorks Foundation based on cash needs of the Foundation.