2011-02-14T10:35:39-06:00 2010-06-30 ParenteBeard LLC 1200 Atwater Drive Suite 225 Malvern PA 19355 990 2009-07-01 240795460 MORAVIAN COLLEGE MORA 6108611300 1200 MAIN STREET BETHLEHEM PA 18018 DENNIS A DOMCHEK 6108611300 2011-02-14 1 Leonard P Metkowski 6106478100 2009 2016-02-24 21:20:13Z DENNIS A DOMCHEK 1200 MAIN STREET BETHLEHEM PA 18018 98310157 0 X WWW.MORAVIAN.EDU X 1933 PA TO OPERATE AN INDEPENDENT, RESIDENTIAL AND COEDUCATIONAL LIBERAL ARTS COLLEGE AND THEOLOGICIAL SEMINARY AFFILIATED WITH THE MORAVIAN CHURCH IN AMERICA. MORAVIAN COLLEGE DELIVERS A VALUES-BASED LIBERAL ARTS EDUCATION IN A CARING ENVIRONMENT. LOCATED IN BETHLEHEM, PENNSYLVANIA, IT TRACES ITS FOUNDING TO 1742 AND IS RECOGNIZED AS AMERICA'S SIXTH-OLDEST COLLEGE. 56 47 1592 875 63473 35889 10451326 8527050 55005676 56745253 2978228 -6609412 4575079 3952112 73010309 62615003 17167049 19425719 0 31151557 31030892 0 1310066 18554894 17425774 66873500 67882385 6136809 -5267382 172225133 176903863 38171305 36715666 134053828 140188197 TO OPERATE AN INDEPENDENT, RESIDENTIAL AND COEDUCATIONAL LIBERAL ARTS COLLEGE AND THEOLOGICIAL SEMINARY AFFILIATED WITH THE MORAVIAN CHURCH IN AMERICA. MORAVIAN COLLEGE DELIVERS A VALUES-BASED LIBERAL ARTS EDUCATION IN A CARING ENVIRONMENT. LOCATED IN BETHLEHEM, PENNSYLVANIA, IT TRACES ITS FOUNDING TO 1742 AND IS RECOGNIZED AS AMERICA'S SIXTH-OLDEST COLLEGE. 0 0 50257963 19143942 50551660 LIBERAL ARTS COLLEGE - DURING THE YEAR ENDED JUNE 30, 2010, MORAVIAN COLLEGE OPERATED AS AN INDEPENDENT, RESIDENTIAL LIBERAL ARTS COLLEGE AND THEOLOGICAL SEMINARY AFFILIATED WITH THE MORAVIAN CHURCH IN AMERICA. THE COLLEGE OFFERED UNDERGRADUATE AND GRADUATE PROGRAMS TO PREPARE MEN AND WOMEN FOR ADVANCED STUDY AND CONTINUOUS LEARNING, INDIVIDUAL ACHIEVEMENT, AND LEADERSHIP AND SERVICE FOR THE COMMON GOOD.MORAVIAN COLLEGE AND ITS THEOLOGIAL SEMINARY EDUCATED A DIVERSE GROUP OF STUDENTS FROM A GREAT VARIETY OF SOCIOECONOMIC, RELIGIOUS, RACIAL AND ETHNIC BACKGROUNDS, FROM APPROXIMATELY 21 STATES AND 10 FOREIGN COUNTRIES. DURING THE YEAR ENDED JUNE 30, 2010, AVERAGE ENROLLMENT AT THE COLLEGE WAS 1,512 FULL-TIME DAY STUDENTS CONSISTING OF 641 MEN AND 871 WOMEN PLUS 175 FULL-TIME EQUIVALENT STUDENTS IN ITS EVENING AND GRADUATE PROGRAMS.DURING THE YEAR ENDED JUNE 30, 2010, 1,549 COLLEGE STUDENTS RECEIVED GRANTS TOTALING $19,143,942. 7147430 5405060 AUXILIARY ENTERPRISES (EXPENSES EXCLUDING COST OF SALES AND REVENUE EXCLUDING GROSS SALES OF INVENTORY) - MORAVIAN COLLEGE PROVIDES TEXTBOOKS, EDUCATIONAL MATERIALS, AND SUPPLIES THROUGH ITS BOOKSTORE, PROVIDES LIVING ACCOMMODATIONS THROUGH ITS DORMITORIES AND PROVIDES NUTRITIOUS MEALS THROUGH ITS FOOD SERVICE TO THE STUDENTS LISTED IN PART III, LINE 4A. 1584973 281777 788533 THEOLOGICAL SEMINARY - MORAVIAN COLLEGE'S THEOLOGICAL SEMINARY, ROOTED IN THE MORAVIAN FAITH TRADITION, OFFERED GRADUATE DEGREES AND CONTINUING EDUCATION PROGRAMS TO PREPARE MEN AND WOMEN FOR EFFECTIVE LEADERSHIP AND SERVICE IN CONGREGATIONAL, COUNSELING, TEACHING, AND OTHER MINISTRIES. AVERAGE ENROLLMENT AT THE THEOLOGICAL SEMINARY WAS 52 FULL-TIME EQUIVALENT STUDENTS.DURING THE YEAR ENDED JUNE 30, 2010, 82 SEMINARY STUDENTS RECEIVED GRANTS TOTALING $281,777. 58990366 1 1 0 0 0 0 1 0 1 1 1 0 1 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 1 0 0 1 1 0 0 0 0 0 0 0 0 1 2898 0 1 1592 1 1 1 1 CJ BD 0 0 1 1 0 0 0 0 56 47 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 PA X X KENNETH K KALAPAY 6108611539 1200 MAIN STREET BETHLEHEM PA 180186650 REV DR FRANK L CROUCH 40.00 X X 80113 0 23849 REV DR CHRISTOPHER M 40.00 X X 237378 0 73423 CURTIS H BARNETTE 1.50 X 0 0 0 REV DAVID BENNETT 1.50 X 0 0 0 DELIGHT E BREIDEGAM 1.50 X 0 0 0 CONCETTA BURKE 1.50 X 0 0 0 RT REV DR WAYNE BURKE 1.50 X 0 0 0 REV DR DOUGLAS W CALD 1.50 X 0 0 0 GREGORY CHRISTENSEN 1.50 X 0 0 0 LYN TRODAHL CHYNOWETH 1.50 X 0 0 0 DR HARRY G DIMOPOULOS 1.50 X 0 0 0 ANNE DUTLINGER 40.00 X 66392 0 13564 MICHAEL M ELLIS 1.50 X 0 0 0 GENEVIEVE GEE 1.50 X 0 0 0 NICHOLAS S HEIMBACH 1.50 X 1889 0 0 WILTON GRANNUM 1.50 X 0 0 0 CANDY BARR HEIMBACH 1.50 X 0 0 0 PRISCILLA HURD 1.50 X 0 0 0 DR RICHARD T KINGSTON 1.50 X 0 0 0 DR ROBERT MAYER 40.00 X 90199 0 7639 DEBORAH MCKINNON 1.50 X 0 0 0 SALLY BREIDEGAM MIKSIEWI 1.50 X 0 0 0 DR A KATHRINE MILLER 1.50 X 0 0 0 DR PARRY J MILLER 1.50 X 0 0 0 REV ELIZABETH D MILLER 1.50 X 0 0 0 CHRISTOPHER OHMACHT 1.50 X 0 0 0 BETSEY PUTH 1.50 X 0 0 0 KENNETH RAMPOLLA 1.50 X 0 0 0 A REED RAYMOND 1.50 X 0 0 0 FREDERICK A REINHARD 1.50 X 0 0 0 ROBERT SCHOENEN 1.50 X 0 0 0 KELLY SCHNEIDER 1.50 X 1395 0 0 PAUL G SITTENFELD 1.50 X 0 0 0 HONNIE P SPENCER 1.50 X 0 0 0 DR SUSAN STUDDS 1.50 X 0 0 0 NANCY A TAYLOR 1.50 X 0 0 0 MARTIN L TRICHON 1.50 X 0 0 0 WALTER F WILLIAMS 1.50 X 0 0 0 STEPHEN BLACK 1.50 X 0 0 0 BRUCE BOWEN 1.50 X 0 0 0 REV BRIAN R DIXON 1.50 X 0 0 0 REV OTTO DREYDOPPEL 40.00 X 44382 0 20038 REV DR EILEEN EDWARDS 1.50 X 0 0 0 MARTY S HANCOCK 1.50 X 0 0 0 REV JANE A HARBERG 1.50 X 0 0 0 J ROBERT HESS 1.50 X 0 0 0 REV JAMES T HICKS 1.50 X 0 0 0 WILMA A LEWIS 1.50 X 0 0 0 YVONNE T MADDOX 1.50 X 0 0 0 REV JAMI L POSSINGER 1.50 X 0 0 0 REV DR NEIL ROUTH 1.50 X 0 0 0 REV DR CRAIG TROUTMAN 1.50 X 0 0 0 LAURA TURNER 1.50 X 0 0 0 RUSSELL WILLIAMS 1.50 X 1970 0 0 HEATHER H VACEK 1.50 X 0 0 0 REV DR JANICE M YOUNG 1.50 X 0 0 0 PETER A CAPUTO 40.00 X 142005 0 14505 DENNIS A DOMCHEK 40.00 X 131468 0 20578 BEVERLY J KOCHARD 40.00 X 102253 0 19884 ANNE M REID 32.50 X 74215 0 28067 BERNARD J STORY 40.00 X 105218 0 54982 GORDON WEIL 40.00 X 136702 0 20345 JOHN R DILENDIK 40.00 X 108135 0 73251 MARK F REED 40.00 X 105441 0 11137 DOUGLAS J PLOTTS 40.00 X 100064 0 16280 1529219 0 397542 9 0 1 0 ST LUKE'S HOSPITAL SCHOOL OF NURSING 801 OSTRUM STREET BETHLEHEM PA 18015 PROFESSIONAL EDUCATION SVCS 841483 C & D WATERPROOFING CORPORATION 300 PAPERMILL ROAD BLOOMSBURG PA 17815 CONSTRUCTION - FEES/MATERIALS 352848 SODEXO INC & AFFILIATES 4880 PAYSPHERE CIRCLE CHICAGO IL 60674 FOODSERVICE MANAGEMENT 248214 ALVIN H BUTZ INC 840 HAMILTON STREET SUITE 600 PO ALLENTOWN PA 181050509 CONSTRUCTION MANAGEMENT 143774 HEMMLER CAMAYD ARCHITECTS 409 LACKAWANNA AVE SUITE 400 scranton PA 18503 ARCHITECT 127865 8 36027 964528 7526495 186832 8527050 TUITION AND FEES 611710 51177665 51177665 DORMITORY FEES & RENTA 611710 5405060 5405060 FEDERAL ADMINISTRATIVE 611710 69761 69761 MISCELLANEOUS EDUCATIO 611710 58117 58117 ATHLETIC RECEIPTS 611710 27125 27125 7525 7525 56745253 1416383 1416383 25145441 33121170 50066 -7975729 -50066 -8025795 -8025795 19650 36027 22226 -2576 -2576 6311013 2501692 3809321 3809321 STUDENT FEES & FINES 611710 129911 129911 PASSTHROUGH ENTITY INC 900000 55948 55948 MISCELLANEOUS 611710 -40492 -40492 145367 62615003 60636468 63473 -6611988 19425719 19425719 1490926 680254 655687 154985 23126336 19674839 2719659 731838 1616899 1376696 191757 48446 3179805 2656232 404877 118696 1616926 1330574 228313 58039 465894 465894 95539 95539 65647 65647 181545 181545 160738 72663 61903 26172 194436 134742 59694 1388886 1022595 269257 97034 830523 213566 616957 3322116 2849117 472999 779015 712162 40423 26430 1487806 1292812 194994 3536668 3134945 401723 252305 131439 120866 STUDENT GOVT 399355 399355 ATHLETICS PROGRAM COSTS 379366 379366 STUDY ABROAD COSTS 364713 364713 PUBLICATIONS 340616 25330 315286 Equipment Rental and Ma 295933 239281 56652 2884673 2408072 428175 48426 67882385 58990366 7581953 1310066 9317 10796 18862645 16921018 2510262 4150130 671019 762987 2984638 3089504 340304 296595 1454125 2333601 129057122 57612926 71314853 71444196 60418727 66392243 13659243 11502793 172225133 176903863 4244861 3824478 1275164 1276493 29050000 27520000 3601280 4094695 38171305 36715666 X 70053446 72532881 18280134 20420039 45720248 47235277 134053828 140188197 172225133 176903863 X 0 1 1 X 1 1 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1996708 X X X 0 63031771 3524590 5196494 4366563 181545 67204747 81853433 3379894 -17989319 4212238 63031770 0.21200 0.78800 0.00000 1 0 4907429 4907429 81269031 31289363 49979668 22089867 17824759 4265108 20790795 8498804 12291991 71444196 LAND HELD FOR INVESTMENT 1419171 INVESTMENT INCOME RECEIVABLE 236192 DEPOSITS WITH TRUSTEE UNDER DEBT AGREEMENT 5441769 SPLIT-INTEREST AGREEMENTS 4405661 11502793 ANNUITIES PAYABLE 1426276 POSTRETIREMENT BENEFIT OBLIGATION 498673 REFUNDABLE FEDERAL GRANTS AND LOAN FUNDS 1152610 OTHER LIABILITIES 754382 CAPITAL LEASE OBLIGATIONS 262754 4094695 62615003 67882385 -5267382 12262378 -860627 11401751 6134369 56933408 12262378 -20286346 -8023968 64957376 181545 -2523918 -2342373 62615003 50798100 2523918 2523918 48274182 181545 19426658 19608203 67882385 Part III, Line 4: The permanent collection is of art works in varying media (painting, prints, sculpture, digital, etc.). The collection of the College, as well as other traveling exhibitions, are displayed in the Payne Gallery of the College. The Payne Gallery promotes the power of the arts to inspire and educate people and enrich their lives. To this purpose the gallery builds and maintains exemplary art collections and produces a wide variety of challenging, innovative exhibitions and stimulating educational programs. As an integral part of the College, the gallery advances teaching and learning, and is actually conceived as an extension of the undergraduate's education in art by exposing the students to styles and techniques which they do not learn in the classroom. In addition, the Gallery serves as a catalyst for creative engagement between the College and diverse local, state, and national audiences. Part V, Line 4: Description of Intended Use of Endowment Funds: The College's endowment consists of 457 individual funds established for a variety of purposes including, but not limited to, scholarships, academic chairs, facilities maintenance, lectureships, and library, program, and general budget support. It includes both donor-restricted endowment funds and funds designated by the Board of Trustees to function as endowments. Part XI, Line 8 - Other Adjustments: CHANGE IN VALUE OF SPLIT INTEREST AGREEMENTS: -860627. Part XII, Line 2d - Other Adjustments: CHANGE IN VALUE OF SPLIT INTEREST AGREEMENTS: -860627. STUDENT GRANTS: -19425719. Part XII, Line 4b - Other Adjustments: COST OF GOODS SOLD EXPENSES: -2501692. SPECIAL FUNDRAISING EVENTS EXPENSES: -22226. Part XIII, Line 2d - Other Adjustments: COST OF GOODS SOLD EXPENSES: 2501692. SPECIAL FUNDRAISING EVENTS EXPENSES: 22226. Part XIII, Line 4b - Other Adjustments: STUDENT GRANTS: 19425719. ADJUSTMENT OF BEGINNING FUND BALANCES: 939. 1 1 1 THE PROSPECTUS, WHICH LISTS MORAVIAN COLLEGE'S NONDISCRIMIN- ATORY POLICY IN DETAIL, IS GIVEN TO EVERY PROSPECTIVE STUDENT WHO INQUIRES ABOUT ADMISSION. 1 1 1 1 0 0 0 0 0 0 0 0 1 0 THE COLLEGE HAS BONDED INDEBTEDNESS FROM FEDERAL AGENCIES FOR TWO DORMITORIES. THE COLLEGE ALSO RECEIVES NATIONAL SCIENCE FOUNDATION GRANTS, DEPARTMENT OF EDUCATION GRANTS, NATIONAL ENDOWMENT FOR THE HUMANITIES GRANTS, AND A NATIONAL PARK SERVICE GRANT. STUDENTS ATTENDING THE COLLEGE PARTICIPATE IN FEDERAL FAMILY EDUCATION LOAN , PERKINS LOAN, PELL GRANT, SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANT, FEDERAL WORK-STUDY PROGRAMS, THE ACADEMIC COMPETITIVENESS GRANT, AND THE NATIONAL SMART GRANT. 1 MORAVIAN GOLF CLASSIC 55677 36027 19650 1214 14094 6918 55677 36027 19650 1214 14094 6918 22226 -2576 1 SCHOLARSHIPS & FINANCIAL AID FOR VARIOUS STUDENTS 1549 19425719 Other Information: Part IV: Moravian College follows federal and state regulations in administering scholarships and grants as well as institutional policy when administering college funds. Moravian follows federal methodology to determine financial need for awarding federal funds and institutional methodology in awarding need-based institutional funds. All students applying for financial aid follow an annual application process completing the Free Application for Federal Student Aid (FAFSA) and an institutional application. Files are reviewed for conflicting information and to complete required verification of application data. Moravian credits all financial aid awards directly to students' receivable accounts offsetting charges for tuition and fees. Changes in student enrollment status are reviewed to ensure that students remain eligible for financial aid and awards are adjusted when necessary. Any refunds from student accounts are done in compliance with federal and state regulations. X X X 1 1 X X X X X 0 1 0 0 0 0 0 0 0 REV DR CHRISTOPHER M THOMFORDE 235265 0 0 0 2113 0 24000 0 49423 0 310801 0 0 0 PETER A CAPUTO 139573 0 0 0 2432 0 13957 0 548 0 156510 0 0 0 DENNIS A DOMCHEK 130419 0 0 0 1049 0 13171 0 7407 0 152046 0 0 0 BERNARD J STORY 105053 0 0 0 165 0 10706 0 44276 0 160200 0 0 0 GORDON WEIL 135687 0 0 0 1015 0 13627 0 6718 0 157047 0 0 0 JOHN R DILENDIK 108135 0 0 0 0 0 0 0 73251 0 181386 0 0 0 Part I, Line 1a Moravian provides housing, which is leased by the College, to the President of the College. The house is adjacent to the campus, and the College requires, as a condition of employment, that the President reside there. Accordingly, this is not taxable income. College owned housing is also provided to the Academic Dean. ALSO, THE COLLEGE MAINTAINS A SOCIAL CLUB MEMBERSHIP IN THE NAME OF THE PRESIDENT. THE SOCIAL CLUB IS USED BY THE PRESIDENT FOR BUSINESS USE ONLY. Part I, Line 1b THESE ITEMS ARE CONTEMPLATED IN AN EMPLOYMENT CONTRACT INSTEAD OF THROUGH COLLEGE POLICY. IN THE CASE OF THE PRESIDENT, OUTSIDE COUNSEL REVIEWED THE EMPLOYMENT CONTRACT AND THE BOARD OF TRUSTEES APPROVED IT. IN THE CASE OF THE ACADEMIC DEAN, OUTSIDE COUNSEL REVIEWED THE EMPLOYMENT CONTRACT AND THE PRESIDENT APPROVED IT. Part I, Line 4a President Christopher M. Thomforde participates in a non-qualified 457(b) deferred compensation plan. College funds are not contributed to this plan. PENNSYLVANIA HIGHER EDUCATION FACILITIES AUTHORITY 232243852 70917N6U3 2005-06-16 4632313 CURRENT REFUNDING OF CALLABLE 1994 TAX-EMEMPT BONDS 0 0 5116705 450572 171633 2005 1 0 1 1 0 0 1 0 0 0.08000 0.00000 0.08000 1 0 0 0 0 0 0 JAMES CHADWICK STEPSON OF COLLEGE PRESIDENT CHRISTOPHER M. THOMFORDE 15368 ALLISON STORY DAUGHTER OF OFFICER BERNARD STORY 28735 MARGARET STORY WIFE OF OFFICER BERNARD STORY 1132 DENNIS A DOMCHEK VICE PRESIDENT FOR FINANCE AND ADMINISTRATION 55739 Dennis A. Domchek, Vice President for Finance and Administration of the College, is a member of the Board of Moravian College Housing, Inc. (MCHI). MCHI, a non-related 501(C)(3) entity, owns and operates a dormitory located on the campus of the College. MCHI leases the land from the College for $1 per year. In addition to the land lease, the following transactions exist between the two parties:- All student charges are invoiced by the College. Accordingly, room rentals in the building owned by MCHI are billed and collected by the College. Funds collected from the students are subsequently remitted to MCHI. Room rentals remitted for 2009/10 were $1,409.375.- MCHI contracts with the College to perform various maintenance and custodial services. For 2009/10 MCHI paid $55,739 to Moravian College for these services.- In 2008, the College issued a $1,000,000 note to MCHI. Annually, the College accrues interest income on the unpaid principal balance of the 0 DOUGLAS W CALDWELL TRUSTEE 858580 The Reverend Douglas W. Caldwell, Trustee, is a member of the Board of Directors for St. Lukes Hospital. During the year ended June 30, 2010, the College paid St. Luke's for the following:- St. Luke's provides clinical instruction for the Nursing students of the College. $841,483 was paid to St. Luke's for these services.- The College Health Center is managed by staff of St. Luke's Hospital. St. Luke's was paid a management fee of $5,929 for this service. (Note: the total amount paid of $217,680 included $211,751 in reimbursement of expenses (staff, supplies, etc.))- Various services are provided to the College by St. Luke's (training, flu shots, etc.). $11,168 was paid for these services. 0 CHRISTOPHER M THOMFORDE PRESIDENT 858580 Christopher M. Thomforde, President of the College, is a member of the Board of Directors for St. Lukes Hospital. During the year ended June 30, 2010, the College paid St. Luke's for the following:- St. Luke's provides clinical instruction for the Nursing students of the College. $841,483 was paid to St. Luke's for these services.- The College Health Center is managed by staff of St. Luke's Hospital. St. Luke's was paid a management fee of $5,929 for this service. (Note: the total amount paid of $217,680 included $211,751 in reimbursement of expenses (staff, supplies, etc.))- Various services are provided to the College by St. Luke's (training, flu shots, etc.). $11,168 was paid for these services. 0 X 8 163835 FAIR MARKET VALUE X EQUIPMENT 1 22937 FAIR MARKET VALUE X GIFT CARDS 1 60 FAIR MARKET VALUE 1 0 1 0 Form 990, Part VI, Section A, line 2 MS. SALLY BREIDEGAM (COLLEGE TRUSTEE) IS THE DAUGHTER OF MR. DELIGHT E. BREIDEGAM (COLLEGE TRUSTEE). TWO TRUSTEES (MICHAEL ELLIS AND RICHARD KINGSTON) AND THE TREASURER OF THE COLLEGE (ANNE REID) HAVE OWNERSHIP INTERESTS IN THE COPPERFIELD INN, LOCATED IN NORTHCREEK, NEW YORK. All members of the college community (faculty, staff, officers and directors) are required to complete and sign a conflict of interest disclosure statement upon association with the college. In addition, Moravian College officers and other persons with substantial influence are required to complete and sign a conflict of interest disclosure statement annually. For those who are required to complete the conflict of interest disclosure statement annually, annual compensation increases are not put into effect until the statement has been completed, signed, and returned to the office of Human Resources. All conflict of interest forms for faculty, staff and officers are received and reviewed by the office of Human Resources. Conflict of interest forms for the members of the Board of Trustees (directors) are maintained and enforced by the Office of the President. Form 990, Part VI, Section B, line 11 Purpose: The purpose of this policy is to establish a process for appropriate review of the Federal Form 990, prior to its filing. Policy: Moravian College and Theological Seminary ("Institution") recognize that the governance role of its respective Boards of Trustees includes the annual review of the Form 990. Accordingly, the Institution requires review of the Form 990 by the Boards prior to its filing on an annual basis. The review process includes the opportunity for Board members to provide feedback and requires documented responses from management that address Board member questions and concerns. The process, as outlined below, must be completed no later than the 15th day of the eleventh month following the fiscal year ending period (assuming all extensions have been timely filed). With extensions filed, for a June 30th fiscal year end, the process must be completed and the 990 must be filed no later than May 15th of the following year. A Board resolution is not required in order for the Form 990 to be filed. Process: 1. Management shall engage a qualified CPA firm with appropriate tax filing experience for not for profit organizations ("Preparer"). Experience of the Preparer shall include, but not be limited to, filing of the federal form 990. 2. Management shall be responsible for assembling and forwarding to the Preparer all required information necessary for the preparation of the initial draft ("Initial Draft") of the 990. 3. Initial Draft shall be reviewed by management for accuracy. Accuracy of the Initial Draft shall be verified by management through: - Ensuring the accuracy of the content provided to the Preparer - Ensuring that the content presented to the Preparer is properly reflected in the Initial Draft 4. Any changes by management to the Initial Draft shall be submitted to the Preparer, changes shall be incorporated where appropriate, and Preparer shall deliver to management a revised draft ("Revised Draft") of the 990. 5. Management shall ensure that changes to the Initial Draft are properly reflected in the Revised Draft and that the Revised Draft, with the accuracy of the content now verified by management, is suitable for the Board to do a proper review. 6. In a timeframe sufficiently in advance of the due date, management will make the Revised Draft available for review to all members of the Audit Committee. Management will make the 990 available to the committee members via a secure Trustee website. 7. When the committee members have had an opportunity to sufficiently review the 990, the Audit Committee shall meet with management (in person or via teleconference) to discuss content of Revised Draft and present any recommended changes. Recommended changes will be presented to Preparer and incorporated into the return as appropriate, and Preparer shall deliver to management a final draft ("Final Draft") of the return. Any questions or recommended changes by the Audit Committee shall be documented along with management responses ("Feedback"). 8. The Audit Committee shall make the Final Draft and Feedback available for review to all members of the Boards of the College and Seminary. The Final Draft will be made available to the Board members via a secure Trustee website. Board members shall be notified of the filing date at the time the Final Draft is posted to the Trustee website. Comments from Board members must be forwarded to management no less than 7 days prior to the filing date. Recommended changes will be presented to Preparer and incorporated into the return as appropriate, and Preparer shall deliver to management a final return ("Final Return"). Changes and comments will be documented and posted to the Trustee website. 9. Upon filing with the IRS, the Final Return and all Board changes and comments shall be posted to the Trustee website. Form 990, Part VI, Section B, line 12c Conflict of interest forms for all employees are initially submitted to the Office of Human Resources. The Chief Human Resource Officer assesses whether action or monitoring is required, soliciting the opinion of the Vice President for Finance and Administration if necessary. All conflicts that are disclosed are reviewed by the Audit Committee at least annually. Conflict of interest forms for trustees are submitted to, and reviewed by, the office of the President. Form 990, Part VI, Section B, line 15 Executive Compensation Charter and Compensation Philosophy PURPOSE: As delegated representatives of the Joint Executive Committee of the Board of Trustees of Moravian College and Moravian Theological Seminary, the Executive Compensation Sub-Committee ("Committee") has the power, duty and responsibility to determine the institution's executive compensation philosophy and to establish such guidelines, rules and procedures as necessary for the proper and efficient administration of the Executive Compensation Program ("ECP"). Further, the Committee acknowledges its responsibility to ensure that the program is appropriate in view of its mission, and tax-exempt status, and that its compensation and benefits are reasonable and not excessive. To that end, the Committee shall review and approve all forms of executive compensation and benefits in a manner necessary to qualify for the "rebuttable presumption of reasonableness" under the intermediate sanctions rules of Section 4958 of the Internal Revenue Code. MEMBERSHIP: The Committee shall comprise of eight (8) members appointed by the Chair of the Joint Board. All 8 members shall all be members of the Joint Executive Committee. The Chairman of the Committee shall be the Chair of the College's Finance Committee. The other members shall be: 1. The Chairman of the Board of the College; The Chairman of the Board of the Seminary; The Vice Chairman of the Board of the College; The Vice Chairman of the Seminary Board; The Chair of the Finance Committee of the Seminary; The Chair of the Committee on Investments; and The Chair of the Academic Committee of the College. 2. The President attends all meetings (except when the committee meets in executive session) as a non-voting member. EXECUTIVES: The Committee will determine the compensation of the President of the College. The Executives whose compensation will be approved by the Committee currently consists of the 6 additional individuals in the following positions. - The Vice President of Finance and Administration; The VP of Academic Affairs and Dean of the Faculty; The VP of Enrollment; the VP of Student Affairs and Dean of Students; the VP of Institutional Advancement; The VP and Dean of the Seminary. From time to time the Committee in its discretion may amend this list to add/subtract individuals as determined by new recruitments, promotions, realignment in organizational structure and the like. COMPENSATION PHILOSOPHY: The Committee is charged with the responsibility to establish and maintain a compensation package that will enable the institution to attract, retain, motivate and reward the management team leadership needed to successfully accomplish the institution's mission and strategic and operational goals. The following will provide the necessary guidelines to accomplish this objective: - A total compensation concept will be used employing a combination of base salary, benefits, deferred compensation and other perquisites as may be needed from time to time to maintain a competitive position with peer institutions. The Committee also has the authority to implement other methods of compensation, e.g. variable pay, as may be necessary from time to time in order to attract and retain qualified executives. - Base salary will be targeted as a minimum at the 50th percentile of similar positions for experienced professionals as reported annually by CUPA HR (College and University Professional Association for Human Resources) for Baccalaureate Institutions. Wage levels for the specific executives listed previously shall be established and maintained based upon general experience, specific performance, and overall contribution to the success of the institution. Annual reviews will take place prior to July 1 each year. - The overall goal shall be to maintain equity and fairness in compensation demonstrated through comparability with peers and through the consistent application of principles. - Deferred compensation and perquisite opportunities may be developed to optimize whatever tax deferral opportunities exist within the tax code and to be competitive with peer institutions. - This philosophy shall apply in nearly all cases, except in those very rare circumstances when it is necessary to recruit and retain highly market sensitive positions. Such exceptions will be carefully documented. COMMITTEE RESPONSIBILITIES: The Committee has the responsibility to: - Set the executive compensation philosophy and obtain approval from the Board of Trustees. - Implement a process for evaluation of the President and his/her senior staff. - The President's evaluation shall be carried out by the Chair of the Joint Board and brought to the attention of the Committee. - The President's evaluation shall include considerations of current year performance review, 360 reviews from the President's senior staff, and input from every Board member (optional) via a standard performance evaluation form. - The President shall submit his/her current year performance evaluation of each one of the senior staff to the Committee. This evaluation shall be based on regular annual performance review, 360 reviews and input from each committee chair of the two Board(s) who annually shall submit to the President an evaluation of the senior staff member who supports that committee. - The President will recommend salary adjustments for his senior staff to the Committee for review and approval. - Set, monitor and review the compensation of the President. - Approve the President's compensation recommendations of the members of his/her Senior Leadership Team. - Ensure that said compensation is reasonable and within the bounds of IRS Code 4958 (Intermediate Sanctions). In reaching this judgment the Committee seeks out expert opinion, market analysis and may retain an independent consultant for this purpose. - Establish, monitor and determine accomplishment of pay award goals for the President - Approve accomplishment of pay award goals for other executives, as applicable. - Resolve and determine all disputes or questions arising under the program, including the power to determine the rights of executives and to remedy any ambiguities, inconsistencies or omissions. - Amend or restructure the program at any time and for any reason. - Inform the Board of Trustees and the Joint Executive Committee as appropriate. - Assure compliance with IRS regulations including approval of the top five (5) paid positions. Form 990, Part VI, Section C, line 19 Financial statements are available on the College website. Governing documents and conflict of interest policies are made available upon request. FORM 990, PART XI, LINE 2C YES THE ORGANIZATION DOES.