2021-05-17T12:13:07-05:00 2020-06-30 363990892 Capin Crouse LLP 1255 Lakes Parkway Suite 105 Lawrenceville GA 30043 990 2019-07-01 430719506 Covenant College COVE 7068201560 14049 Scenic Highway Lookout Mountain GA 30750 Fred Verwoerd VP Operations & Finance, CFO 7068201560 2021-05-17 1 Ted R Batson Jr P00721951 5055022746 2019 2022-09-23 18:48:47Z Dr J Derek Halvorson 14049 Scenic Highway Lookout Mountain GA 30750 52866883 0 X www.covenant.edu X 1955 GA To provide Christ-centered higher educational services. 27 27 1096 27 0 -73652 5762357 10332332 43628224 39162725 2482769 1096929 179726 132781 52053076 50724767 19080476 18897785 0 0 17951902 17254008 0 0 1815612 13602025 11968020 50634403 48119813 1418673 2604954 98973141 98255603 6486700 3691914 92486441 94563689 X To explore and express the preeminence of Jesus Christ in all things; to educate Christians to engage culture and cultures; to examine and unfold creation; and to pursue biblical justice and mercy in community with the student-faculty relationship, (continued on Schedule O) strong teaching, and scholarship at the foundation. Our Christ-centered community seeks to help students mature in three primary areas: identity in Christ, Biblical frame of reference, and service that is Christ-like. 0 0 27474726 18897785 25178012 Instructional expenses: These expenses relate directly to the academic disciplines of the College. With approximately thirty majors, two master's programs, and more than fifty minors and concentrations, Covenant College provided nearly 1,000 students with a well-rounded liberal arts education while simultaneously preparing them for careers or advanced degrees in theology, medicine, business, art, music, engineering, education, psychology, international relations, and much more. 6969122 6386548 Auxiliary enterprises and independent operations: The College's four residence halls, student apartments, and dining hall compose the auxiliary enterprises. While all of the halls offer a close, supportive community of students, each building has its own distinctive personality and each floor has its own identity and traditions. Additionally, the College hosts camps and conferences and has an onsite gift shop filled with Covenant apparel, classroom supplies, snacks and other items. The camps and conferences as well as the gift shop are included in independent operations. 6626033 6072139 Student services: Student services at Covenant help create a rich learning environment for our students. From the moment a student becomes interested in attending Covenant, the admissions office provides him or her with resources and personalized attention to help each student make an informed and thoughtful decision about where to attend college.The student development office fosters a positive residential experience through intentional training with resident assistants, hall presidents, and dorm councils. (continued on Schedule O) The Covenant College Scots athletics teams compete in the NCAA's Division III and the USA South Athletic Conference. Varsity squads include men's and women's soccer, volleyball, men's and women's cross country, men's and women's track & field, men's and women's basketball, baseball, softball, men's golf, and men's and women's tennis. Junior varsity teams compete in men's and women's soccer, volleyball, men's and women's basketball, baseball, and softball.In addition to campus activities, student development offers student training programs, individual academic counsel, professional counseling and medical services to students. 1809938 1658639 Academic support: The College works to provide students with academic support at every stage of their Covenant education. In addition to highly qualified staff, the Covenant library is networked with more than 18,000 other institutions worldwide, providing interlibrary loan access and document delivery services to over 1.3 billion library items. Our library was eleventh in the world to go live with the Online Computer Library Center's new cloud-based operating system, Web-scale Management Service. Covenant's writing center is located in the library, providing students one-on-one tutoring for essays, research papers, and any writing-related assignments. The Office of Academic Affairs at Covenant works to provide support for deans and faculty members as they seek to provide a rigorous education to Covenant students. Covenant's master of education and master of arts in teaching degrees offered by the graduate school of education at Covenant provide students with the exceptional opportunity of completing a master's degree in one year.Covenant's Maclellan Scholars program offers courses designed to encourage critical thinking and develop the skills of potential Christian leaders. Students in the program travel internationally while at Covenant and demonstrate leadership through student-initiated projects. 1809938 1658639 42879819 1 1 0 0 0 0 0 1 1 1 1 1 0 0 1 0 0 1 1 0 1 0 0 0 0 0 0 0 1 1 0 0 0 1 0 0 0 0 1 0 0 0 1 1 1 1 0 0 1 1307 0 1 1096 1 1 1 0 0 0 0 0 0 0 0 1 0 0 0 X 27 27 1 0 0 0 0 1 0 1 1 0 0 1 1 1 1 1 1 1 1 0 GA X Jennifer Black-Patel 7064191136 14049 Scenic Highway Lookout Mountain GA 30750 Dr J Derek Halvorson President 40.00 1.00 X 253548 0 23274 Fred Verwoerd VP Operations & Finance, CFO 40.00 1.00 X 143524 0 25530 Marc Erickson Interim VP for Development/CCF Pres. 35.00 5.00 X 142821 0 24088 Jeff Hall VP of Academic Affairs 40.00 0.00 X 129898 0 28036 Jeff Sandhoff Major Gift Officer 40.00 0.00 X 131352 0 22976 Brad Voyles VP for Student Development 40.00 0.00 X 121154 0 23403 Brian Fikkert Professor of Econ. & Community Dev. 40.00 0.00 X 103510 0 24833 Craig Wood Chairman 1.00 1.00 X X 0 0 0 Robert Wilkinson Vice Chairman 1.00 0.00 X X 0 0 0 Dr Robert Rayburn Secretary 1.00 0.00 X X 0 0 0 Martin Moore Treasurer 1.00 1.00 X X 0 0 0 Dr Bill Barcley Trustee 1.00 0.00 X 0 0 0 Richard Bowser Trustee 1.00 1.00 X 0 0 0 Rev Howard Brown Trustee 1.00 0.00 X 0 0 0 Rev Leon Brown Trustee (part year) 1.00 0.00 X 0 0 0 David Caines Trustee 1.00 0.00 X 0 0 0 Dr Render Caines Trustee 1.00 0.00 X 0 0 0 Bob Curtis Trustee 1.00 0.00 X 0 0 0 Rev Matt Fray Trustee 1.00 0.00 X 0 0 0 Gary Haluska Trustee 1.00 1.00 X 0 0 0 Dr Bradley Harris Trustee 1.00 0.00 X 0 0 0 Rev Eric Hausler Trustee 1.00 0.00 X 0 0 0 Duncan Highmark Trustee 1.00 0.00 X 0 0 0 Rob Jenks Trustee 1.00 0.00 X 0 0 0 Rev Ralph Kelley Trustee 1.00 0.00 X 0 0 0 Rev Lance Lewis Trustee 1.00 0.00 X 0 0 0 David Lucas Trustee 1.00 1.00 X 0 0 0 Wills Ryan Trustee 1.00 0.00 X 0 0 0 Towner Scheffler Trustee 1.00 0.00 X 0 0 0 Steve Sligh Trustee 1.00 0.00 X 0 0 0 Dr Gordon Sluis Trustee 1.00 0.00 X 0 0 0 Sam R Smartt Jr Trustee 1.00 1.00 X 0 0 0 Rev Kevin Smith Trustee 1.00 0.00 X 0 0 0 John Truschel Trustee 1.00 0.00 X 0 0 0 J Allen Wright Trustee 1.00 1.00 X 0 0 0 1025807 0 172140 7 0 1 0 Chartwells Dining Services Compass Group USA Inc PO Box 4176 Boston MA 022417632 Food services 3011920 P & C Construction Inc 2500 East 18th Street Chattanooga TN 37404 Construction 517857 Brian Wishneff & Associates 30 West Franklin Road Suite 503 Roanoke VA 24011 Consulting/broker fee 219412 Cultural Experiences Abroad 2999 N 44th Street Suite 200 Phoenix AZ 850187248 Study Abroad Programs & Services 191640 Council for Christian Colleges and Univ 321 Eighth Street NE Malvern PA 19355 Study Abroad Programs & Services 175138 8 5000 859299 4449746 5018287 154147 10332332 Tuition and fees 611310 32575989 32575989 Auxiliary enterprises 611310 5453025 5453025 Conference program 611310 794173 794173 339538 339538 39162725 1521564 1521564 68836 68668 168 168 168 1644213 4600 2065927 7521 -421714 -2921 -424635 -424635 132613 132613 132613 50724767 39295338 0 1097097 12700 12700 18885085 18885085 467317 98899 269519 98899 13574617 11350313 1160688 1063616 2308212 1903586 248238 156388 903862 718089 105582 80191 32123 32123 79362 79362 188691 188691 1230147 941457 180152 108538 73327 40224 21633 11470 1050781 828331 134799 87651 414326 157282 257044 1406037 1158900 224016 23121 1024926 893886 39051 91989 170369 89502 33182 47685 74940 74940 3414678 3162175 229049 23454 83255 74917 8338 Food services & events 2390942 2371064 18261 1617 334116 193409 119714 20993 48119813 42879819 3424382 1815612 25300 2538 1403777 3647709 1129963 268249 50000 37500 24175 118376 115568 350648 406634 108359245 48163718 62378789 60195527 24688459 20835967 7004562 11313747 1799092 1432164 98973141 98255603 1771054 1069933 2376869 1161965 279238 289894 263200 1796339 1170122 6486700 3691914 X 65600881 67206920 26885560 27356769 92486441 94563689 98973141 98255603 2604954 -527706 0 X 0 1 X 1 1 1 X 6470680 7927667 8511423 5762357 10332332 39004459 6470680 7927667 8511423 5762357 10332332 39004459 4057840 34946619 299996 419074 634170 715603 1590400 3659243 2736 2736 764149 1217599 3404376 1541837 132613 7060574 49727012 205094252 0.70280 0.70530 X Schedule A, Part II, Line 10, Explanation of Other Income: Other income - 2015 Amount: $ 764,149. 2016 Amount: $ 1,217,599. 2017 Amount: $ 3,404,376. 2018 Amount: $ 1,536,297. 2019 Amount: $ 132,613. Fundraising income - 2018 Amount: $ 5,540. Schedule A, Part II: The organization is a school as described under 170(b)(1)(A)(ii) and is not required to complete a public support schedule. Schedule A, Part II is completed to verify the School can qualify under public charity status section 170(b)(1)(A)(vi) and, therefore, qualifies to use the first listed special rule for Schedule B reporting. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 38500 X X 0 0 1 X 42680820 2163974 585227 1519655 546774 43363592 42048006 604493 1959755 1310643 620791 42680820 39286339 1912350 2915489 1520209 545963 42048006 34135905 1924571 4599825 997425 376537 39286339 35879650 596682 -1145810 773235 421382 34135905 0.21400 0.78600 0.00000 0 1 1 1892595 1892595 93858425 39504845 54353580 12441756 8658873 3782883 166469 166469 60195527 Hedge Funds 4909701 F Private Equity 2212035 F Select Equity 3739541 F Real Estate and Commodities 452470 F 11313747 Funds held in federal loan programs 1170122 1170122 Part III, Line 4: The College was gifted a collection of Audubon art prints, which promote the arts to students and the public. Part IV, Line 2b: Deposits held in custody represent amounts held as agency accounts for various College clubs and activities. Part V, Line 4: Endowment funds are invested to produce income, which is used to fund scholarships, pay for salary and general operation expenses, and maintain facilities. Part V, lines 2a-2c: In accordance with the principles of FASB ASU 2016-14 (ASC 958), the organization has implemented required changes to its audited financial statements for the period ended 6/30/2020. To date, Form 990 and its associated schedules have not been updated to reflect changes made by this standard. Thus, we have included the net asset categories in our audited financial statements on existing Form 990, Schedule D, Part V, Lines 2a-2c as follows: Line 2a - Without donor restrictions Line 2b - With donor restrictions 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 1 0 1 Schedule E, Part I, Line 3 The organization currently enrolls students of racial minority groups in meaningful numbers consistent with the publicity exception found in Rev. Proc. 75-50 section 4.03(2)(b). Schedule E, Part I, Line 6 The college receives assistance from the following federal programs: Federal Supplemental Educational Opportunity Grant, Federal Work Study, Federal Perkins Loan Program (in accordance with federal regulations no new loans are being issued; current activity is limited to collecting existing loans), Federal Pell Grant Program, Federal Direct Loan Program and Federal Teach Grant Program. The college also received assistance under the Paycheck Protection Program and Higher Education Emergency Relief Fund under the CARES Act. Europe (Including Iceland & Greenland) 0 0 Program services Study abroad program 266520 Middle East and North Africa 0 0 Program services Study abroad program 68887 East Asia and the Pacific 0 0 Program services Study abroad program 27150 0 0 0 0 0 0 362557 0 362557 1 0 0 1 1 0 Part I, line 3: The College tracked expenditures in accordance with accrual basis of accounting. Tuition and fees schedules for the students' studies were used for the study abroad programs. Part III Accounting Method: Part IV, Lines 1, 4 and 5 The organization has analyzed its ownership in foreign organizations through partnership investments and has determined that it does not meet the reporting requirements for Form 926, 8621 and 8865. 1 Federal grantor/pass-through grantor/program and student financial aid from the College. 966 18473709 HEERF Grants 345 411376 Part I, Line 2: The College provides scholarships to students enrolled in its programs. Scholarships are awarded based upon student achievements in academics and performing arts. To be considered for scholarship assistance, students must apply for admission and submit academic transcripts of prior education work, test scores (ACT/SAT), and an application for the scholarship program. Some scholarships require additional recommendations or certifications by third parties. Academic progress of scholarship recipients is monitored, and recipients must earn both a minimum amount of college credits and a minimum GPA each semester in order to maintain eligibility. Scholarships are applied directly to student accounts. X X X 1 1 X X 0 0 0 1 1 0 0 0 0 Dr J Derek Halvorson President 241048 0 0 0 12500 0 0 0 27687 0 281235 0 0 0 Fred Verwoerd VP Operations & Finance, CFO 143524 0 0 0 0 0 0 0 25954 0 169478 0 0 0 Marc Erickson Interim VP for Development/CCF Pres. 132553 0 10268 0 0 0 0 0 24476 0 167297 0 0 0 Jeff Hall VP of Academic Affairs 129898 0 0 0 0 0 0 0 28441 0 158339 0 0 0 Jeff Sandhoff Major Gift Officer 131352 0 0 0 0 0 0 0 23353 0 154705 0 0 0 Part I, Line 1a The President's wife travels with him on occasion, and this is included in his taxable income. Tax indemnification and gross up benefits are provided for the President and the Interim VP for Development/CCF President, and this is included in their taxable income. Club dues are reimbursed for the President, Interim VP for Development/CCF President and this is included in taxable income. Part I, Line 5 Major Gift Officers have the ability to earn additional pay under a Performance Based Pay program established in conjunction with the Board. Under this program Marc Erickson, Interim VP for Development/CCF President received a bonus based on his 2019 performance related to the newly launched Impact endowment campaign. The incentive compensation is reported in Part II, Column B(ii). Dr J Derek Halvorson President Housing loan X 125000 37500 0 1 1 37500 X 1 16800 Appraisal X 7 137347 Selling Price 0 0 1 0 Part I, Column (b): The number of contributions represent the number of contributions received, not the number of items donated. Form 990, Part VI, Section A, line 1 The Executive Committee is composed of the four officers of the Board, the Chair of the Trustee Development/Spiritual Life Committee, and five other trustees as determined by the Board Chairman, the College President, and the Trustee Development/Spiritual Life Committee Chairman. The Board of Trustees may delegate to the Executive Committee any of the powers and authority of the Board in the management of the business affairs of the Corporation. The Executive Committee transactions shall be reported regularly to the Board of Trustees and are subject to ratification. Form 990, Part VI, Section A, line 2 Dr. Render Caines and David Caines have a family relationship. Sam Smartt, Jr. and David Caines have a family relationship. Form 990, Part VI, Section A, line 7a The General Assembly of the Presbyterian Church in America elects members to the Board of Trustees and fills vacancies. The Assembly may, at its discretion, increase or decrease the number of Trustees. Form 990, Part VI, Section B, line 11b Form 990 is prepared by an independent CPA firm and reviewed in detail by the organization's top management. The reviewed Form 990 is then provided to the board of directors prior to filing with the IRS. Form 990, Part VI, Section B, line 12c The officers, directors, and committee members with Board delegated powers are required to sign a disclosure form annually. The Executive Committee reviews the signed statements and enforces compliance with the conflict of interest policy. Any board member with a conflict of interest abstains from voting on matters in which there could be a conflict of interest. Form 990, Part VI, Section B, line 15 Annually, the independent Executive Committee reviews the President's salary in comparison with salary studies before submitting the proposed salary to the governing Board of Trustees for approval. This review and approval is documented in the Executive Committee meeting minutes. The independent President uses comparability data to determine compensation for the College's officers and executives. This process is documented. Form 990, Part VI, Section C, line 19 The College's governing documents, conflict of interest policy, and financial statements are made available upon request. Carter Hall Landlord LLC 14049 Scenic Highway Lookout Mountain GA 30750 300885287 Residence hall and dining hall services for Covenant College students GA 6285648 35599289 Covenant College Carter Hall Manager LLC 14049 Scenic Highway Lookout Mountain GA 30750 475304636 Residence hall and dining hall services for Covenant College students GA 62856 355993 Covenant College Covenant College Foundation Inc 14049 Scenic Highway Lookout Mountain GA 30750 273298736 Supporting Organization GA 501(c)(3) Line 12b, II Covenant College 1 0 0 1 0 0 0 0 0 0 0 0 0 1 1 1 0 1 0 0 Covenant College Foundation Inc C 859299 Book value Covenant College Foundation Inc M 2363531 Book value Covenant College Foundation Inc N 168921 Book value Covenant College Foundation Inc O 314805 Book value Covenant College Foundation Inc Q 83200 Book value