2011-02-10T15:40:49-07:00 2010-06-30 990 2009-07-01 370673513 KNOX COLLEGE KNOX 3093417212 2 E South Street Galesburg IL 614014999 Thomas Axtell 3093417212 2011-02-10 2009 2016-02-24 21:20:13Z Roger L Taylor Presidents Office 2 E South Street Galesburg IL 61401 106984314 0 X www.knox.edu X 1837 IL Knox College is dedicated to providing a liberal arts education to students from diverse backgrounds. Our mission is carried out through: our curriculum, the character of our learning environment, our residential campus culture, and our community. 50 50 1577 700 152874 18305 5058641 9971969 50863160 56324338 -4449264 2929561 1424091 94883 52896628 69320751 17723049 19424658 0 0 24095986 25435498 70715 73636 2228153 16411204 19752666 58300954 64686458 -5404326 4634293 111549068 121704369 52046758 54077389 59502310 67626980 Knox College is a community of individuals from diverse backgrounds challenging each other to explore, understand and improve ourselves, our society and our world. We take particular pride in the College's early commitment to increase access to all qualified students of varied backgrounds, races and conditions, regardless of financial means. Today, we continue to expand both the historic mission and the tradition of active liberal arts learning. The mission is carried out through our curriculum, the character of our learning environment, our residential campus, and our community. Our aims throughout are to foster a lifelong love of learning and a sense of competence, confidence and proportion that will enable us to live with purpose and to contribute to the well-being of others. 0 0 50146742 19424658 56269386 Higher Education: Knox College is dedicated to providing a liberal arts education to students from diverse backgrounds. Our mission is carried out through: our curriculum, the character of our learning environment, our residential campus culture, and our community. Program costs include costs for instruction, academic support, athletics, student services and auxiliary enterprises (housing, food service and bookstore). (1384 students) 0 0 0 50146742 1 1 0 0 0 0 1 0 1 1 1 0 1 1 1 0 1 1 0 0 0 0 1 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 1917 0 1 1577 1 1 1 1 FR SP 0 0 0 0 0 0 0 50 50 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 0 1 1 0 X Thomas B Axtell 3093417212 2 E South Street Galesburg IL 614014999 Andrew Laurel J 2 X 0 0 0 Bayer Douglas 1 X 0 0 0 Bibb Harold D 1 X 0 0 0 Blew Susan 1 X 0 0 0 Burkhardt Dorothy J 0.25 X 0 0 0 Carlin Nancy 1 X 0 0 0 Castendyck Robert W 0.25 X 0 0 0 Cecil Jarvis B 0.25 X 0 0 0 Cottrell Frank S 0 X 0 0 0 Deans Susan S 1 X 0 0 0 DeGraff Deborah 2 X 0 0 0 Frum Sandra E 2 X 0 0 0 Gibbs Charles 1 X 0 0 0 Glossberg Joseph B 2 X 0 0 0 Graham Patrick F 0.25 X 0 0 0 Harris Donald G Deceased Sept 2010 0 X 0 0 0 Hartog Elzelien 1 X 0 0 0 Henke Richard and Sophia 0 X 0 0 0 Hinz Mary M 0.25 X 0 0 0 Jacobson Gary S 1 X 0 0 0 Jamieson Robert 1 X 0 0 0 Kerous Frank J 1 X 0 0 0 Kilts James M 1 X 0 0 0 Kleine Mark 1 X 0 0 0 Knight Mary 0 X 0 0 0 Koran Janet M 2 X 0 0 0 Lai Mrudula Chickoo 1 X 0 0 0 Lindsay Robert Jr 1 X 0 0 0 Luetger Steven P 1 X 0 0 0 Lyn Patrick 1 X 0 0 0 Martin Dan M 0.25 X 0 0 0 Masterson Joe A 1 X 0 0 0 Matkov George J Jr 1 X 0 0 0 Mitchell William G 0.25 X 0 0 0 Parks Clarence A 1 X 0 0 0 Petrovich Dushan 1 X 0 0 0 Podesta John D 1 X 0 0 0 Potter James R 1 X 0 0 0 Procknow Eugene A 2 X 0 0 0 Purlee James R 1 X 0 0 0 Riddell Richard 1 X 0 0 0 Rosenberg Diane S 1 X 0 0 0 Sampson Walter E 0.25 X 0 0 0 Schulz David A 1 X 0 0 0 Sparks Robert 0.25 X 0 0 0 Stevenson Smith Fay 1 X 0 0 0 Stisser Vernon LE Jr 0.25 X 0 0 0 Tucker Caroline H 0.25 X 0 0 0 Walter Ralph 2 X 0 0 0 Weir Morton W 0.25 X 0 0 0 Wilson Eric C 1 X 0 0 0 Axtell Thomas B 40 X 133941 0 20821 Breitborde Lawrence B 40 X 145751 0 16598 Bailey Denise 40 X 36540 0 10099 Holmes Beverly 40 X 117074 0 11580 Maurer Bobby Jo 40 X 74499 0 9120 Nixon Ann 40 X 40589 0 7044 Steenis Paul 40 X 117026 0 11580 Taylor Roger L 55 X 180254 0 28893 Bailey Stephen 40 X 110640 0 14585 956314 0 130320 14 0 1 0 MSI 1144 Monmouth Blvd Galesburg IL 61401 Contractor 1537945 Holland and Knight LLC Executive Director PO Box 2877 Tampa FL 336012877 Legal Services 236140 PJ Hoerr Inc 107 Commerce Place Peoria IL 61604 Contractor 200952 Lawlor Group Suite 170 6400 Flying Cloud Drive Eden Prairie MN 55344 Consultant 192211 Galesburg Clinic P C 3315 N Seminary Street Galesburg IL 61401 Medical Services 191373 10 0 0 0 0 0 9971969 1796999 9971969 Tuition & Fees 611310 44124063 44124063 0 0 Federal Grants & Contracts 611310 1816633 1816633 0 0 Auxiliary Enterprises 611310 8257176 8257176 0 0 Auxiliary Enterprises--Catering 722320 119618 0 119618 0 Auxiliary Enterprises--Bookstore 451211 27966 0 27966 0 1978882 1978882 0 0 56324338 1489054 0 3040 1486014 0 0 0 0 0 0 0 0 2250 0 0 0 2250 0 2250 0 2250 0 39104070 0 37663563 0 1440507 0 1440507 0 0 1440507 0 Matured Annuity and Life Income Funds 611310 92633 0 0 92633 0 0 0 0 92633 69320751 56176754 152874 3019154 0 0 17783198 17783198 1641460 1641460 0 0 1115410 266248 717879 131283 0 0 0 0 18655002 14799664 2732404 1122934 799244 579599 160587 59058 3527857 2587564 679541 260752 1337985 970285 268833 98867 0 0 0 0 403407 0 403407 0 93450 0 93450 0 0 0 0 0 73636 73636 0 0 0 0 1952320 1085266 835340 31714 35558 8074 6675 20809 4210925 3052105 857544 301276 140325 183424 -43099 0 0 0 0 0 1605545 0 1605545 0 1288557 1128974 69146 90437 0 0 0 0 34924 32434 1098 1392 1312996 0 1312996 0 0 0 0 0 2931480 0 2931480 0 335674 0 335674 0 Food Svc & Bookstore COGS 1938367 1938367 0 0 Tuition Waivers 266493 266493 0 0 Faculty Start Up 53140 53140 0 0 Allocations-Utilities, Admin.Exp, Ins., M&F,Tech,Tele 0 1544322 -1544322 0 Postretirement Accrual 320312 0 320312 0 2829193 2226125 567073 35995 64686458 50146742 12311563 2228153 0 0 3430847 4747602 3007299 3614024 718909 1202245 0 0 0 0 0 0 259850 235478 515018 621737 89275822 48843022 40668605 40432800 57108861 64611182 1492941 1360407 0 4346738 4878894 111549068 121704369 4811931 3226525 0 415500 487209 24700000 24700000 0 0 0 146000 73000 21973327 25590655 52046758 54077389 X 7178723 7911925 9028941 9694108 43294646 50020947 59502310 67626980 111549068 121704369 X 0 1 1 X 1 1 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 X X X X 0 57550359 5629547 7378101 3075965 46499 0 67435543 71423256 1623588 -11697778 3261000 537707 0 57550359 0.26 0.72 0.02 0 0 0 486084 486084 0 58114502 32824345 25290157 0 0 0 0 0 16207868 12536549 3671319 0 14467368 3482128 10985240 40432800 0 0 Real Estate Principally Farms 708000 F Other Investments 652407 F 1360407 Grants and Contracts Receivable 746607 Student Loans Receivable 4054250 Deposits Held in Trust 78037 4878894 0 Student Deposits 423444 Deposits Held in Custody for Others 79556 Federal Equity in Loan Programs 2321515 Interest Rate Swap Liability 3992180 Lines of Credit for Capital and Property Acquisitions 8846848 Postretirement Benefit Obligation 8438592 Annuities payable 1488520 25590655 69320751 64686458 4634293 5068474 0 0 0 -1578097 3490377 8124670 54964567 5068474 0 0 0 5068474 49896093 0 19424658 19424658 69320751 45261800 0 0 0 0 0 45261800 0 19424658 19424658 64686458 SchD_P03_S00_L01 Schedule D, Part III, Line 1 The College has collections of valuable artwork, papers, and other memorabilia that were donated to the College. These items are on display and are used by educators, researchers, historians, and others. However, all proceeds from any sales of collections, or items in a collection, must be used to acquire other items for collections. (From Note 1 Knox College Financial Statements and Independent Auditor's Report For the Years Ended June 30, 2010 and 2009.) SchD_P03_S00_L04 Schedule D, Part III, Line 4 The College has collections of valuable artwork, papers, and other memorabilia that were donated to the College. These items are on display and are used by educators, researchers, historians, and others. (From Note 1 Knox College Financial Statements and Independent Auditor's Report For the Years Ended June 30, 2010 and 2009.) SchD_P05_S00_L04 Schedule D, Part V, Line 4 The College's endowment consists of approximately 540 individual funds established for a variety of purposes: scholarships, professorships, library, lectureships, research, prizes, and donor specified educational activities. Included in these funds are both donor-restricted endowment funds and funds designated by the Board of Trustees to function as endowments. (From Note 18 of Knox College Financial Statements and Independent Auditor's Report For the Years Ended June 30, 2010 and 2009.) SchD_P10_S00_L00 Schedule D, Part X NOTE 2 - INCOME TAX STATUS The College is a not-for-profit entity as described in Section 501(c)(3) of the Internal Revenue Code (IRC) and is exempt from federal income taxes on related income pursuant to Section 501(a) of the IRC. During the fiscal year ended June 30, 2010, the College adopted the authoritative guidance issued by FASB that clarifies the accounting for uncertainty in income taxes recognized in an entity's financial statements and prescribes a recognition threshold of more-likely-than-not to be sustained upon examination. Measurement of the tax uncertainty occurs if the recognition threshold has not been met. This guidance also addresses de-recognition, classification, interest and penalties, disclosure, and transition. The College conducts business solely in the U.S. and, as a result, files income tax returns for the United States and Illinois. In the normal course of business, the College is subject to examination by taxing authorities. The College's tax returns for years subsequent to fiscal year 2006 are open, by statute, for review by authorities. However, at present, there are no ongoing income tax audits or unresolved disputes with the various tax authorities that the College currently files or has filed with. The adoption of this guidance did not have any material effect on the College's financial position, results of operations or cash flows as of June 30, 2010. Prior to the adoption of the guidance, the College's policy was to recognize a liability for uncertain tax positions based on management's estimate of whether it was probable that a liability was incurred and that amount could be reasonably estimated. No liability was deemed necessary for the fiscal year ended June 30, 2009. (From Note 2 of Knox College Financial Statements and Independent Auditor's Report For the Years Ended June 30, 2010 and 2009.) SchD_P11_S00_L08 Schedule D, Part XI, Line 8 Other changes in net assets: Change in fair market value of interest rate swaps ($1,365,411) and Actuarial adjustments of amounts due under annuity and life income agreements ($212,686). SchD_P12_S00_L04b Schedule D, Part XII, Line 4b Student Aid, Scholarships, and Prizes. SchD_P13_S00_L04b Schedule D, Part XIII, Line 4b Student Aid, Scholarships, and Prizes. 1 1 1 Knox College's nondiscrimination policy is clearly stated in the College catalog, website, admissions materials, applications, and other publications. 1 1 1 1 0 0 0 0 0 0 0 0 1 0 For the fiscal year, Knox College received awards from the following federal programs: Federal Work Study, Federal Direct Loan Program, Federal Supplemental Educational Opportunity Grant Program, Federal Pell Grant, Federal Perkins Loan Program, Academic Competitiveness Grant, SMART Grant, Student Support Services Program, McNair Post-Baccalaureate Achievement, Higher Education Institutional Aid, Alcohol Research Programs, National Institute of Child Health, Chapter 33--Post 9/11 GI Bill, Distribution Computation-Numeric Methods, International Science and Engineering (OISE), and Lincoln Studies Center. 1 1 South America 1 1 Program Services In cooperation with the University of Palermo in Buenos Aires, Knox offers a term of accredited academic study specially designed to emphasize the social sciences and language. Program offerings vary, but recent courses have included: Introduction to Anthropology, Popular Culture in Latin America, Argentine Society, Social Thought, and Culture, Latin American Art, History of 20th Century Latin America, Politics and Government in Latin America, Evolution of Argentine Society, Latin American Literature, Advanced Spanish Language, and Social Cinema of Argentina. Courses are taught in Spanish by University of Palermo professors. All students take a language course (which includes two educational trips outside Buenos Aires, and several within the city) and pursue a combination of electives, mostly chosen from those offered by the program. 233014 Europe (including Iceland and Greenland) 1 1 Program Services The Knox program is the principal American program at the University in Besancon. Besancon is a city of 120,000 people, with 20,000 students at the University. Participants take courses for foreign students in language and culture, plus several courses chosen from the regular University curriculum to meet individual needs. All courses are taught in French by the University of Besancon professors. Students with majors other than French may continue study in their major fields. All students stay with French families for the October orientation period, then live during the year or term in University dormitories with French and foreign students. 187900 Europe (including Iceland and Greenland) 1 1 Program Services Knox, in cooperation with the University of Barcelona, offers academic study in language, the humanities and the social sciences. Students pursue a combination of courses, all taught in Spanish by professors from the University of Barcelona. Some of the courses are fitted to the particular needs of program students; other courses are from the regular University curriculum offered to Spanish students. All students live in the homes of Spanish families in Barcelona. The program has a two-week trip throughout southern Spain during Winter Break as well as other shorter educational field trips. 402702 3 3 823616 Scholarships Central America and the Caribbean 1 20300 Credit to student tuition and fees 0 Scholarships East Asia and the Pacific 41 918132 Credit to student tuition and fees 0 Scholarships Europe (including Iceland and Greenland) 12 159550 Credit to student tuition and fees 0 Scholarships Middle East and North Africa 2 45450 Credit to student tution and fees 0 Scholarships North America (including Canada and Mexico, but not the United States) 2 32842 Credit to student tuition and fees 0 Scholarships Russia and the newly independent States 2 24886 Credit to tuition and fees 0 Scholarships South America 3 49466 Credit to student tuition and fees 0 Scholarships South Asia 19 271084 Credit to student tuition and fees 0 Scholarships Sub-Saharan Africa 10 119750 Credit to student tuition and fees 0 SchF_P01_S00_L02 Schedule F, Part I, Line 2 Financial Aid and Satisfactory Academic Progress Standards: To remain at Knox, all degree-seeking students are expected to make satisfactory academic progress. Satisfactory progress is defined both in terms of the accumulation of credits toward the degree, and as the maintenance of a gradepoint average consistent with graduation requirements. The Financial Aid Office follows the decisions of the Academic Standing Committee in determining whether a student is meeting the College's satisfactory academic progress standards. X X X X X X 1 RUFFALO CODY AND ASSOCIATION Ruffalo, Cody and Association provide telephone fundraising services and were hired to oversee the College's Phonathon in the fall of 2009. 0 531393 73636 457757 531393 73636 457757 AL AZ CA CO CT FL GA IL KS KY MD MI MN MO NC ND NH NJ NY OH OK OR PA SC SD TN UT WA WI 1 Individual gift aid (grants and/or scholarships to students). 1310 17783198 0 SchI_P01_S00_L02 Schedule I, Part I, Line 2 Financial Aid and Satisfactory Academic Progress Standards: To remain at Knox, all degree-seeking students are expected to make satisfactory academic progress. Satisfactory progress is defined both in terms of the accumulation of credits toward the degree, and as the maintenance of a gradepoint average consistent with graduation requirements. The Financial Aid Office follows the decisions of the Academic Standing Committee in determining whether a student is meeting the College's satisfactory academic progress standards. X X X X 1 1 X X 0 0 0 0 0 0 0 0 0 Taylor Roger L 180254 0 0 0 0 0 16893 0 12000 0 209147 0 0 0 Breitborde Lawrence B 145751 0 0 0 0 0 16598 0 0 0 162349 0 0 0 Axtell Thomas B 133941 0 0 0 0 0 18141 0 2680 0 154762 0 0 0 SchJ_P01_S00_L01a Schedule J, Part I, Line 1a Occasionally the President's wife will accompany the President on College fund raising events. The College provides funding for her travel costs. These travel costs are not considered compensation as she is participating in the fundraising for the College. The President is provided housing by the College. The President's house is considered a part of the College's campus and is used for College events and entertaining. The President's housing is considered nontaxable as it is provided to him for the convenience of the College. The College provides the dues for the President for Soangataha Country Club in Galesburg, Illinois. These dues are paid for access to the Club's dining facilities and are considered to be attributable to the College's fund raising activities and not taxable compensation. Reimbursements for travel costs and payment of club dues must follow the College's purchasing and accounts payable policies. These policies include requirements for documentation and receipts. Because unexpected College business caused the cancellation of previous arranged personal travel, the College chartered a private plane from Jet Air at a cost of $2,680 for travel 9/4/09 to 9/5/09, for travel by Thomas B. Axtell to a personal appointment in Lorain, Ohio. Chartered travel was necessary because of the lack of available business class airline travel that would allow Mr. Axtell to arrive at his destination on time. This travel cost was considered to be for the convenience of Knox College and not a taxable event to Mr. Axtell. SchJ_P01_S00_L03 Schedule J, Part I, Line 3 Compensation is reviewed annually. This review includes cost of living statistics, compensation paid for similar positions at other similar colleges, and compensation paid locally for like positions. A standard achievement increase is determined and is approved by the Board of Trustees during the June meeting in conjunction with the approval of the following year's budget. The Board of Trustees reviews the President's salary and approves any changes. All staff increases are reviewed by the President, Vice Presidents, and head of departments. X 44 1596204 Ave. High/Low MV Values X Amenity Center Knox Bowl-Labor and Materials 1 127800 Fair Market Value/Cost X Amenity Center Knox Bowl-Labor and Materials 1 25000 Fair Market Value/Cost X Discounted price on John Deere tractors 1 12600 Fair Market Value/Cost X Electrical Supplies 1 1382 Fair Market Value/Cost X Furniture and Misc for Gale House 1 14695 Fair Market Value/Cost X Golf Team Spring Break Expenses 2 1270 Fair Market Value/Cost X Knox Club Travel and Misc 3 422 Fair Market Value/Cost X Misc Materials for Physics Dept 1 102 Fair Market Value/Cost X Travel for BAC 1 642 Fair Market Value/Cost X Trustees Retreat 2 16882 Fair Market Value/Cost 0 0 1 0 F990_P01_S00_L06 Form 990, Part I, Line 6 The College's website-www.knox.edu-includes a list of alumni volunteers. The efforts of Knox alumni and friends help the College provide a world-class education to a talented and diverse group of students each year. Some of the ways volunteers help Knox College are with the Knox Fund, class reunions, and admissions. F990_P04_S00_L24a Form 990, Part IV, Line 24a Knox College has two tax exempt bonds issues entered into prior to December 31, 2002. In March 1996, the College borrowed $19,700,000 under a loan agreement with the City of Galesburg, Illinois (the City). The City issued $19,700,000 aggregate principal amount floating/adjustable/fixed revenue bond, Series 1996, due March 1, 2031. On July 29, 1999, the College borrowed $5,000,000 under a loan agreement with the City. The City issued $5,000,000 in Variable Rate Demand Revenue Bonds, Series 1999, due July 1, 2024. F990_P05_S00_L04a Form 990, Part V, Line 4a The College offers two off-campus programs to students-one in France at the University in Besancon and the other in Spain at the University of Barcelona. Each program has bank accounts with are not considered part of the College's bank accounts as the College has no control over these accounts. Only the program directors have signature authority for their program's accounts. F990_P06_S0B_L00 Form 990, Part VI, Section B The College does not have a written document retention and destruction policy, however, record retention and destruction policies are developed, as needed, by each department to address their specific type(s) of records. Departments follow industry standards that are appropriate for their specific type(s) of records. In conjunction with record destruction for confidential records, the College contracted with a vendor to provide locked bins for departmental us and the secure destruction of these records. F990_P06_S0B_L11 Form 990, Part VI, Section B, Line 11 The 990 is reviewed by the Audit Committee prior to filing the return. The 990 is made available to all College Trustees for review. F990_P06_S0B_L12c Form 990, Part VI, Section B, Line 12c Officer's Conflict of Interest: Any conflict of interest on the part of an officer of the College designated in this article, or members of such officer's immediate family, shall be disclosed by the officer in writing to the Board of Trustees at least annually and made a matter of record. When any such interest becomes relevant to any subject requiring administration or Board of Trustees' action, the officer having a conflict shall call it to the attention of the President and, if the matter is being considered by the Board of Trustees or one of its committees, to the attention of the Board or such committee. The officer shall not participate in the discussion of the subject or make any recommendations regarding the subject in which the officer or a member of the officer's immediate family has a conflict of interest, and shall not use personal influence to affect the decision with respect to such subject. An officer of the College who is excluded from participating in discussions or making recommendations regarding the subject because of such conflict or interest shall, however, briefly state the nature of the conflict and shall be encouraged to answer pertinent questions of the Trustees when the officer's knowledge of the subject will assist the Board of Trustees, any of its committees or the administration. The minutes of any meeting attended by the interested officer at which the subject is discussed shall reflect that a disclosure was made and that the interested officer abstained from the discussion except to the extent provided above. (From Bylaws of Knox College) F990_P06_S0B_L13 Form 990, Part VI, Section B, Line 13 Each year, during fall term, a memo is sent via e-mail to all employees reminding them of Knox College's "common sense approach to reporting fraud". Included in this message are instructions on how to report suspected fraud. This memo includes the following instructions: "If you suspect fraud, please immediately notify someone in a position of authority, for example, your supervisor, a department head, a dean or vice president, pro bono counsel, the president or trustee who chairs the audit committee." F990_P06_S0B_L15 Form 990, Part VI, Section B, Line 15 Compensation is reviewed annually. This review includes cost of living statistics, compensation paid for similar positions at other similar colleges, and compensation paid locally for like positions. A standard achievement increase is determined and is approved by the Board of Trustees during the June meeting in conjunction with the approval of the following year's budget. The Board of Trustees reviews the President's salary and approves any changes. All staff increases are reviewed by the President, Vice Presidents, and heads of departments. F990_P06_S0C_L19 Form 990, Part VI, Section C, Line 19 The Bylaws of the College are available on the College's website (www.knox.edu). Each fall, conflict of interest forms are distributed to trustees, officers, and department heads. Financial statements are available upon request to the Treasurer's Office. All trustees are provided copies of the financial statements each year. F990_P08_S00_L03 Form 990, Part VIII, Line 3 Income from Centerview Capital LP F990_P08_S00_L06d Form 990, Part VIII, Line 6d Rental of house at 247 W. Knox Street, Galesburg, IL. SchG_P01_S00_L03 Schedule G, Part I, Line 3 The College references the American Council on Gift Annuities (ACGA) web site that covers state regulations for gift annuities. Of the 14 states that require some form of registration, the College currently maintains registrations in Florida and Maryland. The College has form letters for those states that merely require some form of notice.