2011-08-31T16:42:23-04:00 2010-06-30 GRANT THORNTON LLP 666 THIRD AVENUE NEW YORK NY 100174011 990 2009-07-01 760756768 HARLEM CHILDREN'S ZONE PROMISE ACADEMY charter school - AMENDED HARL 2123603255 35 EAST 125TH STREET NEW YORK NY 10035 Geoffrey Canada 2123603255 2011-05-13 true 2125429609 2009 2016-02-24 21:20:13Z X GEOFFREY CANADA 35 EAST 125TH STREET NEW YORK NY 10035 12826233 false X WWW.HCZPROMISEACADEMY.ORG X 2004 NY To provide high quality, standards-based academic programs for students, grades k-12, from underserved communities and underperforming school districts. 9 8 131 0 0 0 9421344 12801690 0 0 46 0 2505 24543 9423895 12826233 0 0 0 0 9789105 10848056 0 0 0 -1094507 1702608 8694598 12550664 729297 275569 1081695 4862642 326075 4766687 755620 95955 The mission of the Harlem Children's Zone Promise Academy Charter Schools (HCZ Promise Academy) is to provide high quality, standards-based academic programs for students, grades K-12, from underserved communities and underperforming school districts, and to provide students with the skills they need to be accepted by and succeed in college. HCZ Promise Academy promotes high achievement in all subjects through a demanding curriculum, extensive supportive services and the use of data-driven teaching methods. HCZ Promise Academy is committed to promoting academic accomplishment, positive character development, healthy lifestyles and leadership skills. In partnership with the Harlem Children's Zone, HCZ Promise Academy addresses the educational and developmental needs of each student. false false 11288789 0 0 The Charter School movement has earned national attention as an innovative approach to education reform. During President Obama's candidacy, he announced his commitment to charter schools, specifically, charter schools like the Harlem Children's Zone Promise Academy Charter Schools. Geoffrey Canada, founder of HCZ, realized that in order to change the entire community, HCZ needed to do more than provide support to thousands of students attending Department of Education schools with wrap-around services and community support. HCZ needed more time with the students, and needed to reform the educational environment in Harlem, the solution, Harlem Children's Zone Promise Academy Schools. Harlem Children's Zone Promise Academy Charter Schools ((HCZPACS), opened in September 2004 with grade K in Promise Academy 1 elementary and grade 6 in the middle school, followed by Promise Academy II in September 2005. Currently, HCZ Promise Academy I consist of 3 schools including the elementary, K - 3, upper elementary/middle, 4 - 7 and high school 10 - 11. Promise Academy II consists of two schools including the lower elementary, K - 2 and upper elementary/middle, 3 - 6. At scale, both HCZ Promise Academy I and II will grow to grades K - 12. Since their creation in 2004 and 2005, Promise Academy I and II elementary schools have done well enough to lead Harvard economist Roland Fryer to conclude that the students had actually closed the black-white achievement gap. The schools have a longer school day and year, and feature wide-ranging, enriching after-school programs. In 2009, the third-graders from both schools were 100 percent on or above grade level in the statewide math program. At PA1 the third-graders were 94 percent on or above grade level in English Language Arts, while the third-graders at PAII were at 86 percent. Promise Academy I is comprised of the following School levels: 1. Promise Academy I Lower School was created in 2004 in partnership with the Harlem Children's Zone and currently serves grade levels Kindergarten through Third. Its mission is to give children in Harlem a high-quality, well-rounded education while providing a positive atmosphere where children know they are cared for. In 2009, 100 percent of PA I's third graders scored at grade level in math and 95 percent scored at grade level in ELA. 2. Promise Academy I Upper Elementary / Middle School was created in 2004 in partnership with the Harlem Children's Zone and currently serves grades 4-6. Its mission is to give children in Harlem high-quality, well-rounded education while providing a positive atmosphere where children know they are cared for. 3. Promise Academy I High School was created in 2008 in partnership with the Harlem Children's Zone and currently serves grades ten and eleven. Its mission is to give children in Harlem a high-quality, well-rounded education while providing a positive atmosphere where children know they are cared for. PA I will eventually run from tenth to twelfth grades. 11288789 true true false false false false false false false true true false true false false false false false false false false false false true false false false false false false false false false false false false false true false false false true 7 0 true 131 true false false false false false false false false false 9 8 false false false false false false false true true false false true true true true true true true true false X LAWRENCE TOLBERT 2123603255 35 EAST 125TH STREET NEW YORK NY 10035 Kenneth Langone 2.0 X X Geoffrey Canada 2.0 X X 0 417784 33088 Mitch Kurz 2.0 X X Aisha Tomlinson 2.0 X Stanley Druckenmiller 2.0 X Arlene Gibson 2.0 X Denise Nash-Fulller 2.0 X Madeline White 2.0 X Alfonso Wyatt 2.0 X Darly Rock 40.0 X 171837 0 7029 Phyllis Siwiec 40.0 X 132824 0 21196 dennis McKesey 40.0 X 145284 0 29290 Tonya White 40.0 X 132265 0 20696 Haydon Lyons 40.0 X 129354 0 21196 711564 417784 132495 7 false true false Interactive therapy group 19 West 21 street Suite 701 NEW YORK NY 10010 student therapy 103195 1 1513568 11288122 12801690 0 0 0 0 0 0 0 0 OTHER INCOME 900099 24543 24543 24543 12826233 24543 0 0 0 0 0 0 8681442 8001942 679500 225000 208310 16690 1239900 1149867 90033 701714 597944 103770 0 0 0 0 0 0 366870 143062 223808 0 145755 126658 19097 32571 25755 6816 0 125860 115543 10317 101961 99271 2690 0 0 0 0 251041 213208 37833 20000 2329 17671 CLASSROOM SUPPLIES 388008 368306 19702 SPECIAL SERVICES/INCENTIVES 2665 2665 EQUIPMENT RENTAL & MAINTENANCE 68144 67623 521 ADMISSIONS 53662 53002 660 TRAINING 40380 37119 3261 105691 76185 29506 12550664 11288789 1261875 0 433956 405710 259925 445937 0 70507 1025263 579086 387814 446177 0 3494311 1081695 4862642 324216 1373502 1859 3393185 326075 4766687 X 755620 95955 755620 95955 1081695 4862642 X false true true X false X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 1025263 579086 446177 0 0 0 446177 DUE FROM RELATED PARTIES 3440113 MISCELLANEOUS 54198 3494311 0 DUE TO HCZ AND PROMISE ACADEMY II 3393185 3393185 12826233 12550664 275569 -935234 -935234 -659665 17197875 4371642 4371642 12826233 12826233 16922306 4371642 4371642 12550664 12550664 Schedule D, Fin 48 statement The School adopted ASC 740-10, FIN 48 as of July 1, 2009. ASC 740-10 clarifies the accounting for uncertainty in tax positions taken or expected to be taken in a tax return, including issues relating to financial statement recognition and measurement. This guidance provides that the tax effects from an uncertain tax position can be recognized in the financial statemens only if the position is "more-likely-than-not" to be sustained if the position were to be challenged by a taxing authority. The assessment of the tax position is based solely on the technical merits of the position, without regard to the likelihood that the tax position may be challenged. The School is exempt from income tax under IRC Section 501(c)(3), though it is subject to tax on income unrelated to its exempt purpose, unless that income is otherwise excluded by the Code. The tax years ending 2006, 2007 and 2008 are still open to audit for both federal and state purposes. The adoption of ASC 740-10 did not have a material impact on the School's statements. true true true THE HARLEM CHILDREN'S ZONE PROMISE ACADEMY CHARTER SCHOOL DOES NOT DISCRIMINATE ON THE BASIS OF PRIOR ACADEMIC ACHIEVEMENT, ATHLETIC ABILITY, DISABILITY, RACE, CREED, NATIONAL ORIGIN, GENDER, RELIGION, OR ANY OTHER GROUNDS THAT WOULD BE UNLAWFUL. THE SCHOOL'S ADMISSIONS PROCEDURES ARE CONSISTENT WITH THE PROVISIONS OF ED .L 2854 (2). The Academy's POLICY IS WRITTEN in DOCUMENTATION distributed to THE COMMUNITY AND represented on the organization's website. true true true true false false false false false false false false true false Under the School's charter school agreement and the Charter Schools Act, the School is entitled to receive funding from state and federal sources that are available to public schools. These funds include state pupil enrollment funds, federal food subsidies, and Titles I and II funds. true X X X false false false false false false false false false Geoffrey Canada 0 204160 0 213624 0 0 0 9800 0 23288 0 450872 0 0 Darly Rock 146837 0 25000 0 0 0 0 0 7029 0 178866 0 0 0 Phyllis Siwiec 132824 0 0 0 0 0 0 0 21196 0 154020 0 0 0 dennis McKesey 115284 0 30000 0 0 0 8094 0 21196 0 174574 0 0 0 Tonya White 102265 0 30000 0 0 0 7790 0 12906 0 152961 0 0 0 Haydon Lyons 111354 0 18000 0 0 0 0 0 21196 0 150550 0 0 0 Schedule J, Part 1, Line 7 As noted in the narrative to Part VI, Line 15, all bonuses or merit pay increases issued to Promise Academy employees is determined by the founder of the Harlem Children's Zone, Geoffrey Canada. All bonuses are performance based and the recipients are not provided any input into the amount of the bonus received. Compensation decisions are documented in the organization's Board Minutes. Policies FORM 990, PART VI Line 11 - The Form 990 was prepared by a nationally renowned accounting firm in conjunction with the organization's financial department. A copy of the draft Form 990 was circulated to the finance committee for discussion and comment. Each finance committee Member was provided ample opportunity to comment on the information contained in the 990 prior to its filing with the Internal Revenue Service. The finance committee will summarize its finding on the Form 990 to the full board of directors. Line 12 - The Promise Academy operates under the conflict of interest policy of its parent organization, the Harlem Children's Zone. All employees are expected to use honesty, good judgement and high ethical standards in all professional dealings. All employees must avoid any actions that could create a conflict of interest or the appearance of such a conflict or reflect unfavorably on them or on harlem children's zone. An employee must disclose if she/he or an immediate family member has any potential conflict of interest such as a relationship to a third party vendor who seeks or has a business relationship to harlem children's zone. An employee's violation of this policy, especially a failure to represent accurately his or her connection or action on behalf of harlem children's zone and a third party will constitute grounds for disciplinary action, up to and including termination of employment. Line 13 & 14 - The Promise Academy operates under the whistleblower and document retention policy of its parent organization, The Harlem Children Zone. Line 15 - The organization's top management official is Geoffrey Canada. The procedures for determining Mr. Canada's compensation package are documented in the Harlem Children Zone Form 990 as that organization pays him his compensation. Mr. Canada makes all compensation decisions for the employees at the Promise Academy, including the superintendents and principals. To the extent that any merit pay or bonuses are warranted, the Principals will make recommendations for Teachers and Administrators. Mr. Canada and the Superintendents make the decisions regarding the Principals' bonuses. All bonuses are strictly tied to employee performance, usually determined by student academic success and well-being. The organization makes a conscious effort to compensate its executives commensurate with the market. Disclosure FORM 990, PART VI Line 19 - The taxpayer makes its Form 990 available to the public by retaining a copy at its place of business. The Form 990 is likewise published on the internet at www.guidestar.org. The organization's financial statements, governing documents and conflict of interest policy are not ordinarily made available to the public, but, if requested, will be provided at management's discretion. Schedule R, Part V, Line 2 Pursuant to the terms of a commitment letter between Harlem Children's Zone (HCZ) and the Promise Academy, HCZ, as the School's Institutional Partner, committed to provide the Academy, during the initial five-year term of its charter, certain services at no cost. These services include financial management, social, library, technology, fundraising, public relations, and teaching assistance services. In addition, HCZ committed to provide the School with the use of space in its premises located at 35 East 125th Street, New York, NY. The amount reported for in-kind contributions for the year ending June 30, 2010 totals $4,371,642. HCZ maintains a 457(f) plan for certain eligible employees of the School. Employees become eligible to participate in this plan based solely at the discretion of the School's Board of Trustees. The amounts contributed vest five years after the date of the initial contribution and will then be paid to eligible employees when vested. HCZ provides the School with an annual subsidy to cover this cost by contributing to a HCZ investment account. During fiscal 2010, HCZ provided a subsidy of $1,163,568 for the fiscal 2010 contribution to the 457(f) plan. Amended Return The Promise Academy is amending its Form 990 to update the financial information reported on Parts VIII, IX and X of the Form 990. The organization's audited financial statements were not issued prior to the due date of the Form 990 on May 15th, 2011. Accordingly, the Form 990 was prepared based on draft, unaudited financial statements. The amended Form 990 is based off the audited financial statements that have now been issued. Changes to the Form 990 have been made to Parts VIII, IX and X and to Schedules D (Reconciliation & FIN-48 disclosure) and Schedule R (Related party transactions). The Form 990 also includes additional Schedule O disclosures. THE HARLEM CHILDREN'S ZONE 35 EAST 125TH STREET NEW YORK NY 10035 237112974 SEE SCH O NY 7 501(C)(3) NA HARLEM CHILDRENS ZONE PROMISE ACADEMY II 35 EAST 125TH STREET NEW YORK NY 10035 342049530 education NY 2 501(C)(3) NA false false true false false false false false false false false true true true false false true true Harlem Children's Zone C 350000 Harlem Children's Zone c, M, 4171642 Harlem Children's Zone C, Q 1163568