2011-03-23T13:46:01-05:00 2010-06-30 CLIFTON GUNDERSON LLP 500 MARQUETTE NW SUITE 800 ALBUQUERQUE NM 87102 990 2009-07-01 850129165 Albuquerque Academy ALBU 5058283200 6400 Wyoming Blvd NE Albuquerque NM 871093899 Andrew T Watson 5058283200 2011-03-18 1 Stephen E Livingston CPA 5058428290 2009 2016-02-24 21:20:13Z Andrew T Watson 6400 Wyoming Blvd NE Albuquerque NM 871093899 57304379 0 X www.aa.edu X 1955 NM Albuquerque Academy is a non-denominational, coeducational, independent day school for 1,096 students in grades six through twelve. The aceademy was the fortunate recipient of a transformational gift of land in the early sixties and, fittingly, has chosen to use this gift to ensure economic accessability to students living throughout the city and region. Today the Academy offers students an education that is without equal in the southwest. Students from 90 schools share an insatiable curiouslity and are served by teachers who deliver their expertise in creative and engaging ways. Students in the 6/7 division follow a non traditional schedule that allows for teaching flexibility and adaptability in an ever-changing world. 8/9 students are given their own campus space and their own accountability to help them grow into confident young adults. For the 10/12 division, course work involves increasingly philosophical and analytical thought. (Continued on Schedule O below) 23 23 993 300 95333 62008 1581014 2525471 20992442 22518143 -1331261 7226487 -6889 21242195 32263212 3893392 4727332 0 22591763 22021896 0 633228 11773566 10989945 38258721 37739173 -17016526 -5475961 221062735 177335695 41136157 40120043 179926578 137215652 WE BELIEVE THAT CHILDREN'S LIVES CHANGE WHEN THEIR NATURAL PASSION FOR LEARNING IS NURTURED AND TRANSFORMED INTO HABITS OF LIFE-LONG LEARNING AND REFLECTION. WE BELIEVE THAT THE WORLD CHANGES AS THESE CHILDREN LEARN TO SERVE COUNTRY AND COMMUNITY WITH WISDOM, CONVICTION, AND compassion. In light of these beliefs: We serve students of talent and character, offering them an education that broadens their perspectives, sharpens their minds, strengthens their bodies, and engages their hearts. We commit to creating a caring, inclusive, and just community, using the geography and culture of our home in the southwest to enrich our educational programs and to foster creativity, personal balance and a connection to the natural world. We devote our resources to ensure economic accessibility to our students and to support the wider community through outreach and community service. (Continued on Schedule O below.) 0 0 28135767 20175973 The beginning - Albuquerque Academy opened its doors in the fall of 1955 with 12 boys in grades 7 through 9, two teachers, and founding head William B.S. Wilburn. Classes were held in rented space in the parish hall of St. Michael's and All Angels Church. In 1957, enrollment had grown to 75 boys and the school moved to a 27-acre site on North Edith Boulevard. The first class of seven boys graduated in 1960. In 1966, the school moved to its present location, and in 1967-68 was home to 405 boys. Girls were admitted in grades 9-12 in 1973. In 2010, Albuquerque Academy today serves 1,100 girls and boys in grades 6 through 12. The Simms Legacy - The Academy's remarkable growth was made possible largely through the transformational gift of Albert G. Simms, a New Mexico financier and rancher, and his wife, Ruth Hanna McCormick Simms. In the early 1960's, Mr. and Mrs. Simms gave or bequeathed to the Academy (in trust) more than 12,000 acres of undeveloped land and 8,000 shares of Albuquerque National Bank (now Bank of America) stock. Most of the undeveloped land has been sold over the past three decades resulting in the endowment that today enables education in a beautiful and uplifting environment. An ambitious mission - The uniqueness of the Academy is due, in large part, to its commitment to a need-blind admission policy, providing accessibility to qualified students from throughout the greater Albuquerque community, regardless of their ability to pay. Only after students have been chosen are their tuition needs assessed and financial aid offered. Every Academy student benefits from the School's commitment to accessibility and affordability. Direct support from the endowment covers 38% of the cost not covered by tuition. Diversity - A further commitment of the Academy is to diversity and dedicating the school's resources to creating an environment in which all people can thrive. It is the responsibility of all the school's constituents to make this environment conducive to learning and to foster mutual respect for one another. The Academy student body consists of 1,096 students. Students of color (including students of Middle Eastern, Hispanic, African American, Asian and Native American ancestry) represent 45% of the total student population. Appreciation for diversity is also extended to those of various socioeconomic levels. The school has chosen to voluntarily participate in the USDA's national school lunch program which provides nutritionally balanced, low-cost or free breakfasts and lunches to children each school day. Ninety-eight children benefited from this program. Student accomplishment - Academy students benefit academically from small classes (averaging 18 students in the 6-7 division to 15 in the 10-12 division) and teacher-to-student ratio (1:9). Sixty-nine percent of the 291 students taking advanced placement exams in May 2010 received scores of 4 or 5; 91 percent received scores of 3 or above. The class of 2010 had 31 national merit scholarship contest semifinalists, 24 commended students and 13 national hispanic scholars. Almost all Academy graduates enroll in four-year colleges immediately upon graduation. 1527057 1889292 The Albuquerque Academy summer session offers the opportunity to 2,103 children of the greater Albuquerque community (most non-affiliated with the regular school year session) to participate in an enriching and exciting summer experience. The school is equally pleased to offer this program to students visiting Albuquerque and New Mexico each summer. The program has over 200 class offerings and includes early childhood programs, a day camp, various sports camps and swim instruction for children preschool to high school. Credit classes in math and science are also offered to high school students. An integral part of the session is the multicultural summer honors program, a summer scholarship program for academically talented and motivated African American, Native American, Hispanic and other students who will be entering the fourth and fifth grades. Summer session has been an integral part of Albuquerque Academy since 1984, reinforcing the School's unique mission of accessability, affordability, excellence and outreach. The program also builds a broader sense of community, as summer students and their siblings, as well as children of faculty and alumni return summer after summer. The session is staffed by qualified and talented individuals who come from throughout New Mexico and the wider national and international educational community. The teacher/student ratio is maintained at 1:9 and remarkable students are hired to assist teachers and serve as camp counselors. 436431 99402 THE NM MEDIA LITERACY PROJECT, FOUNDED IN 1993, IS NATIONALLY RECOGNIZED AS A LEADER IN MEDIA LITERACY EDUCATION. ITS MISSION IS TO CULTIVATE CRITICAL THINKING AND ACTIVISM IN MEDIA CULTURE TO BUILD HEALTHY AND JUST COMMUNITIES. NMMLP DELIVERS DYNAMIC MULTIMEDIA PRESENTATIONS AT CONFERENCES, WORKSHOPS AND CLASSROOMS ACROSS THE COUNTRY. THE MEDIA LITERACY CURRICULA ACTION GUIDES ARE USED IN COUNTLESS CLASSROOMS AND COMMUNITIES IN ALL 50 STATES AND ABROAD. NMMLP's CATALYST INSTITUTE AND OTHER TRAINING PROGRAMS HAVE EMPOWERED THOUSANDS OF PEOPLE TO BE ADVOCATEs FOR A MEDIA LITERACY SOCIETY. IN FY 2010, NMMLP STAFF DELIVERED MORE THAN 153 PRESENTATIONS AND TRAININGS REACHING 3,260 YOUTH AND ADULTS IN 8 STATES, INCLUDING MICHIGAN, NEW MEXICO, MONTANA, Florida, Georgia, Ohio, South Dakota, and the District of Columbia. 299743 353476 Community outreach is an important aspect of the Albuquerque Academy mission. The school is deeply committed to making a positive impact on the greater Albuquerque community, the state of New Mexico, and beyond. Outreach initiatives are abundant, and community service is part of the curriculum at all grade levels. Each year students undertake projects at numerous nonprofit organizations in the community. Community builders is a tuition-free program that gives students from Albuqerque Academy and other area schools an opportunity to learn the nuts and bolts of community philanthropy and nonprofit organizations, and includes a mix of site visits and meetings with community leaders to discuss a variety of topics, including types of nonprofits, legal and ethical issues in the nonprofit sector, grant writing for non-profits, nonprofit governing boards and community leadership. At the end of the program, students come together as a mock foundation to make decisions about how to support some of the nonprofits they studied, both financially and through volunteer work. The program is permantly endowed so that funds totaling $10,000 can be allocated among studied nonprofits. Almost 70 nonprofit organizations, including Accion, Special Olympics, Animal Humane Society, Healthcare for the Homeless and Roadrunner Food Bank have participated in this program which has now completed its eighth year.Charger Aquatics is a comprehensive, year-round Aquatics program that provides swimmers in the greater Albuquerque area with opportunities to learn, practice, and compete in the School's state-of-the-art aquatics facility. Located in the nationally acclaimed Barney Natatorium and offered as part of the school's ongoing commitment to provide service and outreach to the community at large, Charger aquatics offers membership in USA-sanctioned clubs, including USA swimming and US Masters swimming, along with an extensive menu of non-member aquatics classes such as aquafitness and toddler and preschool swim lessons. Enrollment in all programs now exceeds 260 children and adults.Community Academy supports the school's commitment to community outreach and life-long learning. The program offers a continuing evening lecture series, free of charge to the entire community, presented by Academy faculty and Alumni an by community leaders with expertise in their fields. The Brain Institute program is designed to offer knowledge about brain research and brain-based learning. Experts from the fields of education, neuroscience, and cognitive science will discuss how research from the field of neuroscience can be utilized in practical ways to enhance learning. Presenters provide information on brain development in early childhood, strategies to enhance memory and recall, suggestions for working with struggling learners, classroom and school designs that foster empathy and a sense of belonging and the effect of technology on the brain. Peer collaboration and networking are an integral part of this institute. Topics covered include neuroanatomy, cognitive development, memory and recall, emotions and learning, etc. and benefit k-12 educators, administrators, learning and reading specialists, social workers, counselors, language pathologists, parents and anyone interested in learning more about the covered topics. 299743 353476 30398998 1 1 0 0 0 0 1 0 1 1 1 1 1 0 0 0 0 0 1 0 0 0 1 1 0 0 0 0 0 0 1 0 1 0 0 0 0 1 1 0 0 1 130 0 1 993 1 1 1 0 0 0 0 0 0 0 0 23 23 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 1 1 NM X X Michelle Bailey 5058283231 6400 Wyoming Blvd NE Albuquerque NM 871093899 Walter Stern 2.00 X 0 0 0 Theresa Carson 2.00 X 0 0 0 Sarah Kotchian 2.00 X 0 0 0 Jolynn Muraida 2.00 X 0 0 0 Carl M Alongi 2.00 X 0 0 0 Thomas J Baca 2.00 X 0 0 0 Thomas F Blueher 2.00 X 0 0 0 Pam Garrett 2.00 X 0 0 0 Thomas Growney 2.00 X 0 0 0 Jennifer Davis Hall 2.00 X 0 0 0 Heidi Heard 2.00 X 0 0 0 Kenneth Holley 2.00 X 0 0 0 Liz Kuo 2.00 X 0 0 0 Brenda Moore 2.00 X 0 0 0 Gary Slack 2.00 X 0 0 0 Rabbi Joseph Black 2.00 X 0 0 0 Andy Hsi 2.00 X 0 0 0 Adam Honegger 2.00 X 0 0 0 Nancy Key 2.00 X 0 0 0 Sally Machacek 2.00 X 0 0 0 Ian Mckinnon 2.00 X 0 0 0 Kevin Peterman 2.00 X 0 0 0 Hope Mead Wynn 2.00 X 0 0 0 Andrew T Watson 40.00 X 338425 0 75814 Dick Elkins 40.00 X 160683 0 22666 Don Smith 40.00 X 132781 0 28070 Gary Gordon 40.00 X 190198 0 37050 Jeffrey Morgan 40.00 X 109459 0 20378 Nancy Parker 40.00 X 113303 0 19466 Pam Scanlon 40.00 X 105096 0 26356 1149945 0 229800 7 0 1 0 Lerenner Sports Surfaces 775 Canosa Court Denver CO 80204 Sport Surface Company 391842 Energy control Inc 2600 American Road SE Suite 360 Rio Rancho NM 87124 Security and Energy Company 139608 Meketa Investments 100 Lowder Brook Dr suite 1100 Westwood MA 02090 Investment Company 112540 Roof Care 10024 Avenida Vista Sol NW Albuquerque NM 87114 Roof Company 109338 4 33320 423044 2069107 251335 2525471 Tuition & Fees 900099 18362031 18362031 Summer School/Outreach 900099 2242768 2242768 Food Services 900099 1296010 1296010 Bookstore 900099 517932 517932 Media Literacy 900099 99402 99402 22518143 5105631 95333 5010298 27113369 23985 24996009 20489 2117360 3496 2120856 2120856 17780 33320 24669 -6889 -6889 32263212 22518143 95333 7124265 4727332 4727332 877554 877554 15251803 14058114 796581 397108 1242544 1150904 54382 37258 3559134 3480462 61781 16891 1090861 999544 60938 30379 165034 165034 73975 73975 356524 356524 230809 191111 39698 114492 114492 269580 269580 1003392 1003392 193711 171311 10720 11680 107367 92879 12682 1806 669112 669112 2241378 2241378 48418 48418 Summer school/food/book 3139277 3139277 Instructional/student a 885294 885294 General 600256 116460 483796 Maintenance & grounds 576184 574029 2155 Administrative 240821 144568 96253 74321 74321 37739173 30398998 6706947 633228 662098 2628260 16421065 5256744 839491 253992 887350 428699 169396 200090 794728 740333 74801261 41128580 34766072 33672681 8826153 19026553 127065560 83782506 30630822 31345837 221062735 177335695 2348857 2042192 1176849 1236388 30343560 29721191 6006140 5966140 1260751 1154132 41136157 40120043 X 146778275 101741763 3962932 19121027 29185371 16352862 179926578 137215652 221062735 177335695 X 0 1 1 X 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 175294 X X 0 181487718 -2944319 -29663936 10622000 356524 137900939 244608876 3011787 -53531010 12302256 299679 181487718 0.88000 0.12000 1 0 397023 397023 60678219 29678306 30999913 9923918 8697132 1226786 3802101 2753142 1048959 33672681 Other Investments 30875480 F Investment in High Desert corporation 34318102 F Real Estate 18588924 F 83782506 Accrued Investment Income 719644 Split Interest Agreement 397370 Bond Issuance and Financing Cost, Net 247160 Assets held in trust by others 29981663 31345837 Annuity and other split interest obligations 234990 Loan Guarantee 17314 Interest Rate Swap Agreement 901828 1154132 32263212 37739173 -5475961 2108547 -39343512 -37234965 -42710926 -4971753 2108547 -39343512 -37234965 32263212 0 32263212 37739173 0 37739173 0 37739173 Part X: Description of Uncertain Tax Positions Under FIN 48: The organization's income tax footnote contains a description of the requirements of FIN 48. It then contains the following text: As of June 30, 2010, the Academy and High Desert performed comprehensive reviews of their material tax positions in accordance with recognition and measurement standards established by GAAP. As a result of these reviews, the Academy qualified as a tax exempt organization under Section 501(c)(3) of the IRC and had no unreported income derived from unrelated business activities. Additionally, the Academy and High Desert did not identify any entity level tax positions that would not meet the more-likely than-not threshold. PART III-THE ACADEMY MAINTAINS A SMALL ART COLLECTION CONSISTING OF ITEMS DONATED TO THE SCHOOL OVER THE PAST 25 YEARS. INCLUDED IN THIS COLLECTION IS A SERIES OF PHOTOGRAVURES, A FLEMISH TAPESTRY, AND SEVERAL OIL PAINTINGS (INCLUDING PORTRAITS OF MR. AND MRS. SIMMS, MAJOR DONORS TO THE SCHOOL). THE ART COLLECTION IS CURRENTLY DISPLAYED IN VARIOUS VENUES ACROSS CAMPUS FOR THE EDIFICATION OF OUR STUDENTS AS WELL AS FOR THE ENJOYMENT OF VISITORS TO OUR CAMPUS. IT IS ANTICIPATED THAT ITEMS WITHIN THE COLLECTION WILL GROW IN VALUE OVER TIME AND MAY EVENTUALLY BE SOLD TO SUPPORT VARIOUS PROGRAMS AND INITIATIVES BENEFITING THE SCHOOL'S STUDENTS. PART V-ALBUQUERQUE ACADEMy's ENDOWMENT, CONSISTING OF PERMANENT FUNDS AND A QUASI-ENDOWMENT FUND, PROVIDES VITAL FINANCIAL SUPPORT FOR THE ACADEMY'S MISSION. THE ENDOWMENT SUSTAINS OPPORTUNITIES OF REMARKABLE SCOPE, INCLUDING EXPERIENTIAL AND OUTDOOR EDUCATION, DEEP ACADEMIC EXCELLENCE, GLOBAL EXCHANGES AND LANGUAGES AND SUSTAINABILITY INITIATIVES CLOSELY ATTUNED TO OUR CHANGING WORLD. THESE PROGRAMS MAKE THE STUDENT EXPERIENCE HERE ONE OF THE BROADEST IN INDEPENDENT EDUCATION. THE ENDOWMENT ALSO SUPPORTS OUR UNIQUE ADMISSION PROCESS AND GENEROUS FINANCIAL AID PROGRAM. THESE PROGRAMS ARE COMMITTED TO PROVIDING ACCESS TO THE ACADEMY FOR STUDENTS OF TALENT AND CHARACTER FROM THROUGHOUT THE CITY, REGION, AND (AT TIMES) COUNTRY AS THEY SEEK AN ENRICHED AND MEANINGFUL EDUCATIONAL EXPERIENCE. FINALLY, THE ACADEMY'S ENDOWMENT SUPPORTS OUR OUTREACH PROGRAMS AND CAMPUS EVENTS. OUR EVENING COMMUNITY ACADEMY CLASSES AND LECTURES, CHARGER AQUATICS PROGRAM, SUMMER SESSION, AND ARTISTIC, ATHLETIC, AND VOLUNTEER EVENTS ON CAMPUS ALL EXEMPLIFY OUR COMMUNITY OUTREACH AND THE ACADEMY'S BELIEF IN LIFE-LONG LEARNING. PART XI, LINE 8: HIGH DESERT SUBSIDIARY LOSS ADJUSTMENT (4,092,291.) AND MARIPOSA MARKET VALUE ADJUSTMENT (35,251,221.) FOR A TOTAL OF (39,343,512.). 1 1 1 Albuquerque Academy publishes its non-discrimination statement as follows: School Magazine "The Current" (Annually), Admission Brochure, Admission View Book, Admission/Financial Aid Forms, College Profile Guide, Summer Session Catalogue, New Parent Guidebook, Posted on the Academy's Website under Facts & Stats on the employment page, Albuquerque Journal (Annually) 1 1 1 1 0 0 0 0 0 0 0 0 1 0 THE ACADEMY RECEIVES FUNDS FROM THE FEDERAL GOVERNMENT IN THE FORM OF THE NATIONAL SCHOOL LUNCH PROGRAM AND FROM THE STATE OF NEW MEXICO IN THE FORM OF ASSISTANCE IN THE PURCHASE OF TEXTBOOKS. THE ALBUQUERQUE ACADEMY FOUNDATION LOCATED AT 6400 WYOMING BLVD. NE, ALBUQUERQUE, NM 87109-3899 PROVIDES THE ACADEMY GRANTS FOR USE IN SUPPORTING EDUCATIONAL PROGRAMS FOR OTHER MEMBER SCHOOLS OF THE INDEPENDENT SCHOOL ASSOCIATION OF THE SOUTHWEST BY PROVIDING ASSISTANCE FOR FACULTY AND CURRICULUM DEVELOPMENT. 1 Golf Tournament 51100 33320 17780 4088 18919 957 705 51100 33320 17780 4088 18919 957 705 24669 -6889 1 Financial Aid 356 4727332 N/A Other Information: Part IV: PART I, Line 2 -THE ALBUQUERQUE ACADEMY EDUCATIONAL FOUNDATION SERVES CHARITABLE, SCIENTIFIC AND EDUCATIONAL PURPOSES AND PROVIDES GRANTS FOR FACULTY AND STAFF PROFESSIONAL DEVELOPMENT, CURRICULUM DEVELOPMENT AND SCHOOL SUSTAINABILITY (FINANCIAL, SOCIAL AND ENVIRONMENTAL). THE FOUNDATION OPERATES AS A SUPPORTING ORGANIZATION FOR NEW MEXICO MEMBER SCHOOLS OF THE INDEPENDENT SCHOOLS ASSOCIATION OF THE SOUTHWEST. FOR CONSIDERATION, A SCHOOL IS REQUIRED TO SUBMIT A PROPOSAL WHICH REFLECTS A BROAD VISION FOR THE APPLYING SCHOOL AND WHICH DESCRIBES HOW FUNDING WILL ASSIST IN ACHIEVING THIS VISION. THE PROPOSAL MUST INCLUDE A PROJECT SUMMARY INCLUDING GOALS, A STATEMENT OF NEED FOR THE PROJECT WITHIN THE SCHOOL AND NUMBER OF STUDENTS IMPACTED, A DETAILED BUDGET AND A PLAN FOR MONITORING AND EVALUATING THE PROJECT. THERE IS A FIRM DEADLINE FOR SUBMISSIONS, WITH ALL PROPOSALS BEING REVIEWED AND EVALUATED BY THE BOARD OF THE FOUNDATION. SELECTED SCHOOLS ARE NOTIFIED, WITH A COPY OF THE NOTIFICATION DIRECTED TO THE ALBUQUERQUE ACADEMY ACCOUNTING OFFICE WHICH HANDLES THE DISBURSEMENT OF FUNDS. THE ACCOUNTING OFFICE MAINTAINS A GENERAL LEDGER ACCOUNT WHICH IS RECONCILED TO BALANCE TO THE DISBURSEMENT NOTIFICATION FORMS. Grants are also maintained by the foundation for reference in subsequent years to ensure that all schools are being equitably funded. FUNDING WAS SUSPENDED INDEFINATELY BEGINNING FY 2010. Financial aid is awarded based solely upon demonstrated financial need. A family's need is assessed through a comprehensive screening process. The process requires that the family complete an application and provide the school with a full set of tax returns including all supporting schedules. To determine the appropriate grant, the academy utilizes a standard methodology provided by the school and student services (SSS) and which is used by independent schools nationwide. This methodology calculates a contribution for each individual family based upon the family's specific financial situation and discretionary income. Prior to making any award, each applicant file and proposed award is carefully reviewed by a committee to ensure the decisions are based on consistent application of need based criteria. Financial aid is awarded for one year only; applicants must reapply annually by submitting a new application and the tax documentation. In addition to a committee review of each award, the financial aid office conducts a random audit of files annually as another check to ensure that all financial aid is being awarded appropriately and with the proper supporting documentation. On a monthly basis, the business office compares financial aid subsidiary ledger postings to a list of aid awards provided by the financial aid office to ensure there are no discrepancies between the two amounts. Any discrepancies are promptly researched and resolved. 1 X X X X X X 0 0 0 0 0 0 0 0 0 Andrew T Watson 298425 0 40000 0 0 0 0 0 75814 0 414239 0 0 0 Dick Elkins 160683 0 0 0 0 0 0 0 22666 0 183349 0 0 0 Don Smith 132781 0 0 0 0 0 0 0 28070 0 160851 0 0 0 Gary Gordon 190198 0 0 0 0 0 0 0 37050 0 227248 0 0 0 Carol Watson Spouse of Head of School 64177 w-2 salary 0 X 8 251335 Selling Price 0 1 0 Form 990, Part VI, Section B, line 11 THE FORM 990 IS PREPARED BY THE ORGANIZATION's CONTROLLER WITH A REVIEW BY THE SCHOOL's BUSINESS MANAGER AND BY ITS EXTERNAL ACCOUNTING FIRM. A DRAFT FORM IS SENT ELECTRONICALLY TO ALL MEMBERS OF THE BOARD OF TRUSTEES. IT IS ACCOMPANIED BY A SUMMARY REPORT FROM THE BUSINESS MANAGER WHICH EXPLAINS THE FINANCIAL DATA AND NARRATIVE INFORMATION INCLUDED IN THE FORM. THE BOARD OF TRUSTEE's AUDIT COMMITTEE MEETS WITH SCHOOL EMPLOYEES (HEAD OF SCHOOL, TREASURER AND BUSINESS MANAGERS) TO REVIEW THE FORM IN DETAIL. TRUSTEE MEMBERS UTILIZE THIS TIME TO ASK QUESTIONS, CLARIFY DATA AND MAKE SUGGESTIONS FOR ANY CHANGES. ANY AGREED UPON CHANGES ARE INCORPORATED INTO THE FORM, WITH A FINAL REVIEW UNDERTAKEN BY THE CONTROLLER AND THE BUSINESS MANAGER. THE FORM IS SUBMITTED TO THE IRS IN A TIMELY MANNER. Form 990, Part VI, Section B, line 12c THE CONFLICT OF INTEREST STATEMENT IS DIRECTED TO OFFICERS, ALL WHO MAKE PURCHASING DECISIONS, ALL PERSONS WHO ARE DESCRIBED AS MANAGEMENT PERSONNEL AND ANYONE WHO HAS PROPRIETARY INFORMATION CONCERNING THE SCHOOL. EACH AFOREMENTIONED EMPLOYEE MUST SIGN ANNUALLY A STATEMENT WHICH AFFIRMS SUCH PERSON HAS RECEIVED A COPY OF THE CONFLICT OF INTEREST POLICY, HAS READ AND UNDERSTANDS THE POLICY AND HAS AGREED TO COMPLY WITH THE POLICY. TO ENSURE THE SCHOOL OPERATES IN A MANNER CONSISTENT WITH CHARITABLE PURPOSES AND DOES NOT ENGAGE IN ACTIVITIES THAT COULD JEOPARDIZE ITS TAX-EXEMPT STATUS, PERIODIC REVIEWS FOR CONFLICT OF INTEREST TRANSACTIONS SHALL BE CONDUCTED. THE PERIODIC REVIEWS SHALL, AT A MINIMUM,INCLUDE WHETHER TRANSACTIONS BETWEEN EMPLOYEES AND THE SCHOOL ARE NEGOTIATED AS THE RESULT OF ARM's LENGTH BARGAINING AND WHETHER PARTNERSHIPS, JOINT VENTURES AND ANY OTHER BUSINESS ARRANGEMENTS WITH THE SCHOOL ARE PROPERLY RECORDED. TRANSACTIONS ARE FURTHER REVIEWED TO ENSURE THEY REFLECT REASONABLE INVESTMENT OR PAYMENTS FOR GOODS AND SERVICES, THEY FURTHER CHARITABLE PURPOSES AND THEY DO NOT RESULT IN INUREMENT, IMPERMISSIBLE PRIVATE BENEFIT OR AN EXCESS BENEFIT TRANSACTION. ACCOUNTING AND OTHER PERSONNEL ARE ENCOURAGED TO REPORT A SITUATION INVOLVING A POTENTIAL CONFLICT OF INTEREST TO AN APPROPRIATE SCHOOL OFFICIAL. Form 990, Part VI, Section B, line 15 The Board of Trustees' Executive Committee takes responsibility for the evaluation of its two direct reports, the Head of School and the Treasurer, and for the determination of compensation for each of those individuals. The Executive Committee consists of the Board Chair, Vice-Chair, Secretary, Assistant Secretary, Assistant Treasurer, and two at-large Board members appointed by the Chair. All Board members, including the members of the Executive Committee, submit a conflicts of interest disclosure statement to the Chair of the Board annually. These are utilized to determine that the committee members do not have any conflicts of interest and that they do not have any direct financial interest in the compensation provided to the Head of School or Treasurer. The Executive Committee has, in some years, retained a compensation consultant intimately familiar with compensation for the Heads of independent schools both in the region and nationally. The consultant has no financial or other interest in the compensation decisions made. The consultant has prepared a study of up to thirty or forty schools that are or may be comparable to the Albuquerque Academy in terms of complexity, size of operating budget, grade range, and student body size. In addition, the consultant considers Heads of school with experience levels comparable to the Academy's Head of School. The consultant's compensation information includes evidence of salary, bonuses, benefits, and other non-cash consideration that other Heads may receive. The Executive Committee considers the information assembled by the consultant, and in addition, information gathered from news sources and independent school assiciations, in setting compensation for the Head of School, together with any information obtained from any evaluations that may have been performed, ordinarily in the spring and early summer, in advance of the beginning of the Academy's fiscal year, which begins July 1. Compensation is set at that time for the next fiscal year. The Executive Committee maintains minutes of its meetings, including those in which compensation matters are considered. The Chair of the Board reports the compensation decisions to the full Board. The most recent compensation consultant study was completed during the 2009-2010 fiscal year. Due to econimic conditions the Head of School's compensation was continued as established for the current year. The compensation consultant provided a letter to the Academy's Executive Committee confirming his judgment that the Head of School's compensation is reasonable and appropriate. Determining comparability of the Treasurer's compensation is a more difficult proposition because of the paucity of information available. The Treasurer's position at the Academy involves a fairly unique set of responsibilities ranging from management of a substantial endowment to a wide range of debt management, business and financial matters. One of the reports done by the compensation consultant did include some information regarding the Treasurer's compensation by comparability to the second highest paid officer at the subject schools. That information, coupled with information from a survey by an association of school business officers and the knowledge of the members of the Executive Committee of compensation levels prevailing in the geographic area for persons with the skill set and work ethic necessary to fill this office have been used to set compensation since that study. We have a new Treasurer in office during the last year, and are looking for additional means of doing comparisons of compensation as this person grows in his service in the position. Prospectively, the Executive Committee hopes to be able to use additional resources for making compensation decisions. We think that the newly enhanced versions of the Form 990's available from comparable schools will allow us to proceed during most years, by considering those (perhaps with a limited accounting firm confirmation of the information) together with information available from school and business associations each year, and adding in a consultant's study and report on a basis less than annually. Form 990, Part VI, Section C, line 19 THE SCHOOL KEEPS A DATABASE (UPDATED EACH YEAR) OF FINANCIAL INSTITUTIONS, BONDHOLDERS AND VENDORS WHO HAVE REQUESTED A COPY OF THE SCHOOL's AUDITED FINANCIAL STATEMENTS AS A CONDITION OF PROVIDING CREDIT AND SERVICES TO THE SCHOOL. AFTER THE AUDIT IS COMPLETED AND ACCEPTED BY THE BOARD OF TRUSTEES, ELECTRONIC COPIES OF THE STATEMENTS ARE DISTRIBUTED TO ALL ENTITIES IN THE DATABASE. THE SCHOOL DOES NOT CURRENTLY MAKE ITS GOVERNING DOCUMENTS OR CONFLICT OF INTEREST POLICY AVAILABLE TO THE PUBLIC. Form 990, Page 11, Part XI, Line 2c: Audit process disclosure requested in Form 990 instructions: The process for oversight of the financial statement audit by the audit committee has not changed from the prior year. 990 Part I, Line 1, Description of organization mission continued: Academy students serve the community to which they belong, compete in a variety of competitive sports and participate in a variety of academic clubs and student organizations. Most Academy students attend four-year colleges and universities upon graduation, many of them enrolling at some of the best universities in the country. Admission to the Academy is competitive; approximately one-third of those who apply are offed admission. In 2009-2010, the student body comprises half boys and half girls, 45 percent are students of color and 28% received over $3.7 million in financial aid. Financial aid is based on demonstrated financial need; only after students are admitted are their needs assessed and financial aid offered. 990 Part III, Line 1, Description of Organization Mission Continued: WE ENTRUST THIS MISSION TO OUR GRADUATES AND SUCCESSORS AS WE PRESERVE OUR RESOURCES AND SERVE THE GENERATIONS OF CHILDREN TO COME. Form 990, Page 5, Part V, Lines 7g & H: Form 8899 and 1099-C reporting: The organization did not receive contributions of the type listed and, therefore, does not have a reporting requirement. These questions have not been answered as they are not applicable. Form 990, Page 5, Part V, Line 2a: Employee Explanation: Of the 1,037 employees reported on line 2a, 281 are full-time staff/faculty employees, 276 are part-time employees, 121 are full-time employees employed during the summer session only and 359 are part-time employees employed during the summer session only. Albuquerque Academy Educational Foundation 6400 Wyoming Blvd NE Albuquerque NM 87109 850381395 support for ISAS NM 501(c)(3) type II N/A Albuquerque Academy Student Support Foundation 6400 Wyoming Blvd NE albuquerque NM 87109 205895188 Provide support NM 501(c)(3) type II N/A High Desert Investment Corporation 2500 parkway Ave NE Suite 200 Rio Rancho NM 87144 850394108 Real Estate NM N/A C -4092291 34318102 1.00000 0 0 0 1 0 0 1 0 0 0 0 0 0 1 0 1 0 0 High Desert Investment Corporation D 4000000 HIGH Desert Investment Corporation G 960123 High Desert Investment Corporation N 6065 HIGH DESert Investment Corporation P 78148