2020-07-14T07:16:01-05:00 2019-06-30 340677006 MALONEY NOVOTNY LLC 1111 SUPERIOR AVE SUITE 700 CLEVELAND OH 441142540 990 2018-07-01 340714390 WESTERN RESERVE ACADEMY WEST 3306504400 115 COLLEGE STREET HUDSON OH 442362926 THOMAS ARNOLD CFO 3306504400 2020-07-12 1 CHRISTOPHER B ANDERSON P00226559 2163630100 104.230.124.67 2020-07-12 13:33:37 ED P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 F31C6E7040B009470829250F0E45C8144456BC5D 2018 2020-09-23 17:36:50Z CHRISTOPHER D BURNER 115 COLLEGE STREET HUDSON OH 442362926 43486744 0 X WWW.WRA.NET X 1826 OH A WESTERN RESERVE ACADEMY EDUCATION OFFERS A TRANSFORMATIONAL EXPERIENCE WHERE STUDENTS STRIVE FOR EXCELLENCE, LIVE WITH INTEGRITY, AND ACT WITH COMPASSION. 23 23 253 50 -1033389 -989435 7937589 3818734 19968721 21268405 6460879 13023441 5646 5407 34372835 38115987 6658099 7584009 0 0 12531452 13149774 0 0 1862030 12902537 12438022 32092088 33171805 2280747 4944182 188720015 186429469 27252363 26182572 161467652 160246897 THE MISSION OF THE ACADEMY IS AS FOLLOWS: A WESTERN RESERVE ACADEMY EDUCATION OFFERS A TRANSFORMATIONAL EXPERIENCE WHERE STUDENTS STRIVE FOR EXCELLENCE, LIVE WITH INTEGRITY, AND ACT WITH COMPASSION. 0 0 27169192 7584009 21268405 THE ACADEMY IS A SECONDARY CO-EDUCATIONAL SCHOOL WITHAPPROXIMATELY 400 STUDENTS. OUR FACULTY CULTIVATES INTELLECTUALCURIOSITY THROUGH A CHALLENGING COLLEGE PREPARATORY PROGRAM; OURSTUDENTS PURSUE A RIGOROUS LIBERAL ARTS CURRICULUM AND ENGAGE INOPPORTUNITIES BEYOND THE CLASSROOM IN ARTS, ATHLETICS, ANDSERVICE, ENSURING GROWTH IN MIND, BODY, AND SPIRIT. THE ACADEMY'SCLOSE-KNIT COMMUNITY INSTILLS INDIVIDUAL AND SOCIALRESPONSIBILITY, WHILE PREPARING STUDENTS AS CITIZENS AND LEADERSIN AN INCREASINGLY INTERCONNECTED WORLD. 27169192 1 1 0 0 0 0 0 0 0 1 1 1 0 0 1 1 1 0 1 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 23 0 1 253 1 1 1 0 0 0 0 1 1 0 0 0 0 0 0 X 23 23 0 0 0 0 0 0 0 1 1 0 0 0 1 1 1 1 1 1 1 0 OH X THOMAS ARNOLD 3306504400 115 COLLEGE STREET HUDSON OH 442362926 STEPHAN W COLE VICE PRESIDENT BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 SUZANNE DAY SECRETARY BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 DAGMAR F FELLOWES TRUSTEE 1.00 0.00 X 0 0 0 JOHN M FOWLER TREASURER BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 MARTIN D FRANKS TRUSTEE 1.00 0.00 X 0 0 0 OLIN J HEESTAND JR TRUSTEE 1.00 0.00 X 0 0 0 JOHN P HEWKO TRUSTEE 1.00 0.00 X 0 0 0 NATHANIEL E LEONARD TRUSTEE 1.00 0.00 X 0 0 0 CECILY PRYCE MAGUIRE TRUSTEE 1.00 0.00 X 0 0 0 ANDREW R MIDLER CO-PRESIDENT BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 TERRY L SQUIRE TRUSTEE 1.00 0.00 X 0 0 0 TIMOTHY R WARNER CO-PRESIDENT BOARD OF TRUSTEES 1.00 0.00 X X 0 0 0 DANIEL H BAYLY TRUSTEE 1.00 0.00 X 0 0 0 H WILLIAM CHRIST TRUSTEE 1.00 0.00 X 0 0 0 CLIFTON D HOOD TRUSTEE 1.00 0.00 X 0 0 0 DALE G KRAMER TRUSTEE 1.00 0.00 X 0 0 0 ANNE CACIOPPO MANGANARO TRUSTEE 1.00 0.00 X 0 0 0 XUNING WANG TRUSTEE 1.00 0.00 X 0 0 0 MARK J WELSHIMER TRUSTEE 1.00 0.00 X 0 0 0 JASON M WORTENDYKE TRUSTEE 1.00 0.00 X 0 0 0 ANTHONY WYNSHAW-BORRIS TRUSTEE 1.00 0.00 X 0 0 0 GAVIN J DOMM TRUSTEE 1.00 0.00 X 0 0 0 WARREN W FARR III TRUSTEE 1.00 0.00 X 0 0 0 CHRISTOPHER D BURNER HEAD OF SCHOOL 40.00 0.00 X 346193 0 133918 THOMAS P ARNOLD CHIEF FINANCIAL OFFICER 40.00 0.00 X 231249 0 66842 MARK L LAFONTAINE ASST HEAD OF SCHOOL-ADVANCEMENT 40.00 0.00 X 273487 0 51440 KATHRYN MUELLER ASSOC. HEAD OF SCHOOL 40.00 0.00 X 200254 0 64767 NANCY C HOVAN DIRECTOR OF ADMISSION 40.00 0.00 X 120022 0 73078 JEFFREY JACOT DIRECTOR OF FACILITIES 40.00 0.00 X 147858 0 32008 MATTHEW GERBER CHIEF INNOVATION OFFICER 40.00 0.00 X 131005 0 56452 GUNNAR OLSON DIRECTOR OF COLLEGE COUNSELING 40.00 0.00 X 111099 0 42773 RUTH ANDREWS DIRECTOR OF LEADERSHIP GIFTS 40.00 0.00 X 122937 0 29589 1684104 0 550867 13 0 1 0 FLIK CO COMPASS GROUP USA PO BOX 91337 CHICAGO IL 606931337 FOOD SERVICE 1248966 RETAIL SPACE CONCEPTS PO BOX 1542 FLAGSTAFF AZ 86002 DESIGN SERVICE 1107333 UNDERWOOD PAINTING INC 3509 SHADE ROAD AKRON OH 44333 PAINTING 924667 VIZMEG LANDSCAPE INC 778 MCCAULEY ROAD SUITE 100 STOW OH 44224 LAWN SERVICE 381741 CAMBRIDGE ASSOCIATES 125 HIGH STREET BOSTON MA 02110 INVESTMENT ADVISORY 259154 10 8804 3809930 2572682 3818734 BOARDING STUDENTS TUITION 611110 13497550 13497550 DAY STUDENTS TUITION 611110 6047825 6047825 RELATED ENTERPRISES 611110 1723030 1723030 21268405 2872211 -1033389 3905600 15511207 5359977 10151230 10151230 10151230 16187 8804 10780 5407 5407 38115987 21268405 -1033389 14062237 7584009 7584009 1098900 337415 448505 312980 8464196 6699840 1060062 704294 1014873 748852 169007 97014 1808572 1431272 233439 143861 763233 576801 115347 71085 57400 28700 28700 52943 52943 1048203 1048203 1175053 1116300 35252 23501 373261 373261 305415 290145 9162 6108 503576 478397 15107 10072 2071727 1968140 62152 41435 301130 191185 12114 97831 5664 5664 638544 638544 2784489 2645264 83535 55690 218375 207456 6551 4368 FOOD SERVICE 1174543 1174543 OTHER 1115445 699694 121960 293791 AUXILIARY ENTERPRISES 438548 438548 RESTRICTED STUDENT EXP. 173706 173706 33171805 27169192 4140583 1862030 3865541 1739983 5580878 4505668 163911 77378 7724 0 208755 191277 306143 248196 98908932 38237169 60879475 60671763 36399491 48468593 81183949 70526611 124148 0 188720015 186429469 1724493 797692 3980105 3707923 19855595 18657162 1692170 3019795 27252363 26182572 X 49049648 45245488 17980261 93501696 94437743 21499713 161467652 160246897 188720015 186429469 X 4944182 -5747131 -417806 X 0 1 X 1 0 X 5509182 11159345 12350449 7937589 3818734 40775299 5509182 11159345 12350449 7937589 3818734 40775299 4421496 36353803 1696493 1196525 4146927 2765405 2872211 12677561 61784 39115 50107 16552 16187 183745 53636605 99501156 0.67780 0.68790 X SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: SPECEVENTS REVENUE - 2014 AMOUNT: $ 61,784. 2015 AMOUNT: $ 39,115. 2016 AMOUNT: $ 50,107. 2017 AMOUNT: $ 16,552. 2018 AMOUNT: $ 16,187. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 62744456 923010 5206323 4453913 64419876 58299445 2077516 6867190 4499695 62744456 54343660 4480483 3982533 4507231 58299445 59745969 1953495 -2907488 4448316 54343660 62874496 1548356 -1426723 3250160 59745969 0.09760 0.62370 0.27870 0 0 1636412 1636412 92302060 33725268 58576792 4763704 4511901 251803 206756 206756 60671763 ALTERNATIVE INVESTMENTS 70526611 F 70526611 ANNUITIES PAYABLE 1821485 INTEREST RATE SWAP 1198310 3019795 X 23318838 -5747131 -417806 -6164937 29483775 1048203 7584009 8632212 38115987 24539593 0 24539593 1048203 7584009 8632212 33171805 PART V, LINE 4: INTENDED USE OF ENDOWMENT FUNDS - THE ACADEMY INVESTS ENDOWMENT FUNDS ACCORDING TO BOARD-APPROVED INVESTMENT POLICIES WHICH GOVERN ASSET ALLOCATION IN AN EFFORT TO REDUCE RISK OF LOSS AND TO GENERATE A REAL ANNUAL COMPOUND RATE OF RETURN AT LEAST EQUAL TO THE ANNUAL PAYOUT PERCENTAGE. THE ANNUAL PAYOUT FROM ENDOWMENT FUNDS WAS BASED ON A DRAW OF 4.5% OF THE 5-YEAR AVERAGE WEIGHTED MARKET VALUE OF INVESTABLE ASSETS IN THE PERMANENTLY RESTRICTED FUND PLUS AN AMOUNT TO COVER DEBT SERVICE COSTS AND IS SUBJECT TO BOARD APPROVAL. THE PAYOUT IS SPENT ON ACTIVITIES WHICH FURTHER THE EXEMPT EDUCATIONAL PURPOSES OF THE ACADEMY. PART X, LINE 2: FIN 48 (ASC 740) FOOTNOTE - FEDERAL INCOME TAXES: THE ACADEMY IS A NOT-FOR-PROFIT ORGANIZATION AS DESCRIBED IN SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AND IS EXEMPT FROM FEDERAL INCOME TAXES. THERE WERE NO UNRECOGNIZED TAX BENEFITS AS OF JUNE 30, 2019. AS OF JUNE 30, 2019, THE ACADEMY'S INCOME TAX RETURNS REMAIN SUBJECT TO EXAMINATION BY THE INTERNAL REVENUE SERVICE, AS WELL AS VARIOUS STATE AND LOCAL TAXING AUTHORITIES, GENERALLY FOR THREE YEARS. PART XI, LINE 2D - OTHER ADJUSTMENTS: CHANGE IN VALUE OF INTEREST RATE SWAP -287,156. CHANGE IN SPLIT INTEREST AGREEMENTS -130,650. PART XI, LINE 4B - OTHER ADJUSTMENTS: STUDENT FINANCIAL AID, WHICH WAS NETTED WITH TUITION REVENUE ON THE FINANCIAL STATEMENTS BUT SHOWN AS AN EXPENSE IN PART IX OF FORM 990 7,584,009. PART XII, LINE 4B - OTHER ADJUSTMENTS: STUDENT FINANCIAL AID, WHICH WAS NETTED WITH TUITION REVENUE ON THE FINANCIAL STATEMENTS BUT SHOWN AS AN EXPENSE IN PART IX OF FORM 990 7,584,009. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 SCHEDULE E, PART I, LINE 3 WESTERN RESERVE ACADEMY PUBLICIZES IN LOCAL NEWSPAPERS DURING THE TIME WHICH IS THE PERIOD OF STUDENT SOLICITATION GOLF OUTING 24991 8804 16187 10636 144 24991 8804 16187 10636 144 10780 5407 1 SCHOLARSHIPS FOR STUDENTS 230 7584009 MONITORING USE OF GRANT FUNDS - PART I, LINE 2: THE ACADEMY ENSURES THAT ITS FINANCIAL AID GRANTS ARE USED FOR EDUCATIONAL PURPOSES BY CREDITING THE AMOUNTS DIRECTLY TO THE STUDENTS' ACCOUNTS RATHER THAN ISSUING CHECKS. X X X 1 1 X X X 0 0 0 0 0 0 0 0 0 CHRISTOPHER D BURNER HEAD OF SCHOOL 308341 0 32500 0 5352 0 31625 0 102293 0 480111 0 0 0 THOMAS P ARNOLD CHIEF FINANCIAL OFFICER 220889 0 10000 0 360 0 26163 0 40679 0 298091 0 0 0 MARK L LAFONTAINE ASST HEAD OF SCHOOL-ADVANCEMENT 267935 0 5000 0 552 0 31027 0 20413 0 324927 0 0 0 KATHRYN MUELLER ASSOC. HEAD OF SCHOOL 182202 0 17500 0 552 0 21850 0 42917 0 265021 0 0 0 NANCY C HOVAN DIRECTOR OF ADMISSION 117238 0 0 0 2784 0 14295 0 58783 0 193100 0 0 0 JEFFREY JACOT DIRECTOR OF FACILITIES 147548 0 0 0 310 0 17538 0 14470 0 179866 0 0 0 MATTHEW GERBER CHIEF INNOVATION OFFICER 130839 0 0 0 166 0 15238 0 41214 0 187457 0 0 0 GUNNAR OLSON DIRECTOR OF COLLEGE COUNSELING 110955 0 0 0 144 0 13198 0 29575 0 153872 0 0 0 RUTH ANDREWS DIRECTOR OF LEADERSHIP GIFTS 122065 0 0 0 872 0 14986 0 14603 0 152526 0 0 0 PART I, LINE 1A BENEFITS PROVIDED TO CERTAIN OFFICERS - THE FOLLOWING ARE PROVIDED HOUSING AS A PART OF HIS/HER JOB DUTIES: HEAD OF SCHOOL, THE ASSOCIATE HEAD OF SCHOOL, THE DEAN OF ADMISSIONS, THE DIRECTOR OF COLLEGE COUNSELING, AND THE CHIEF INNOVATION OFFICER. ADDITIONALLY, DUES FOR ONE SOCIAL CLUB ARE PAID BY WESTERN RESERVE ACADEMY FOR THE HEAD OF SCHOOL. THE SOCIAL CLUB IS USED ONLY FOR ACADEMY BUSINESS. NEITHER HOUSING NOR THE SOCIAL CLUB DUES ARE TREATED AS TAXABLE COMPENSATION. THE HEAD OF SCHOOL ALSO RECEIVES HOUSEKEEPING SERVICES. A DEVFINAUTHORITY OF SUMMIT COUNTY-SERIES 2017A 341765940 2017-07-13 19820000 REFINANCING OF 2011 BONDS 0 0 0 B DEVFINAUTHORITY OF SUMMIT COUNTY-SERIES 2017B 341765940 2018-06-05 1261973 CONSTRUCTION-BRIDGE FINANCING 0 0 0 A 19350000 19820000 250000 1 0 1 1 B 1261973 0 0 0 0 A 0 0 0 0 0 0 0 B 0 0 0 0 0 0 0 A 0 1 0 0 1 1 FNB OF PA 14.000000000000 0 0 0 0 1 B 0 1 0 0 0 0 0 0 1 A 0 B 0 X 35 2572682 FMV X FOOD & BEVERAGE-ADMISSION EVENT 1 0 N/A X FIREWORKS-REUNION 1 0 N/A X ELECTRONIC & ATHLETIC EQUIPMENT 3 0 N/A 0 1 1 PART I, LINE 32B: USE OF THIRD PARTIES - THE ACADEMY USES A SECURITIES BROKER TO SELL DONATED SECURITIES. THE FEES CHARGED BY THE BROKER ARE AT OR BELOW FAIR MARKET VALUE. FORM 990, PART VI, SECTION B, LINE 11B FORM 990 REVIEW - FORM 990 IS REVIEWED BY A COMMITTEE OF THE BOARD OF TRUSTEES WITH THE BOARD'S AUTHORITY TO OVERSEE THE FILING PROCESS. FORM 990, PART VI, SECTION B, LINE 11B FORM 990 PROVIDED TO GOVERNING BODY - BECAUSE OF THE CONFIDENTIAL NATURE OF DONOR INFORMATION, THE ACADEMY HAS CHOSEN NOT TO SHARE THE NAMES AND ADDRESSES OF DONORS LISTED ON SCHEDULE B WITH THE BOARD OF TRUSTEES. THEREFORE, THE ACADEMY PROVIDED A COPY OF FORM 990 TO THE BOARD BUT REDACTED THE NAMES AND ADDRESSES OF DONORS FROM SCHEDULE B. AS SUCH, WE ARE REQUIRED TO ANSWER "NO" TO THE QUESTION ON LINE 11A OF PART VI EVEN THOUGH THE BOARD WAS GIVEN FORM 990 BEFORE IT WAS FILED. FORM 990, PART VI, SECTION B, LINE 12C MONITORING AND ENFORCEMENT OF CONFLICT POLICY - THE CONFLICT OF INTEREST QUESTIONNAIRES ARE REVIEWED BY THE EXECUTIVE COMMITTEE OF THE BOARD OF TRUSTEES. SIGNIFICANT ISSUES ARE DISCUSSED AND RESOLVED. WHEN A CONFLICT ARISES, THE INDIVIDUAL IS NOT PERMITTED TO PARTICIPATE IN THE DISCUSSION OF THE TRANSACTION OR TO VOTE ON THE MATTER. THE DECISION ABOUT THE TRANSACTION IS MADE BY PERSONS WHO ARE INDEPENDENT OF THE INDIVIDUAL WITH THE CONFLICT. FORM 990, PART VI, SECTION B, LINE 15 COMPENSATION REVIEW AND APPROVAL - IN MAY, 2017, MEMBERS OF THE BOARD OF TRUSTEES WERE GIVEN COMPARABILITY DATA FOR ALL MEMBERS OF THE HEAD OF SCHOOL COMMITTEE. THE HEAD OF SCHOOL WAS INVOLVED IN THE DISCUSSIONS FOR THE COMPENSATION FOR THE MEMBERS OF THE HEAD OF SCHOOL COMMITTEE BUT WAS NOT PRESENT FOR THE DISCUSSION OF HIS OWN COMPENSATION. TRUSTEES DETERMINED THE HEAD OF SCHOOL'S COMPENSATION BASED UPON HIS PERFORMANCE RELATIVE TO OTHER SIMILAR POSITIONS. COMPENSATION DECISIONS ARE MADE BY PERSONS WHO ARE INDEPENDENT OF THE EMPLOYEES FOR WHOM COMPENSATION IS BEING DETERMINED. FORM 990, PART VI, SECTION C, LINE 19 AVAILABILITY OF DOCUMENTS - THE ACADEMY'S FINANCIAL STATEMENTS ARE AVAILABLE TO THE PUBLIC UPON REQUEST. THE ACADEMY DOES NOT MAKE ITS GOVERNING DOCUMENTS OR CONFLICT POLICY AVAILABLE. FORM 990, PART XI, LINE 9: CHANGE IN VALUE OF INTEREST RATE SWAP -287,156. CHANGE IN SPLIT INTEREST AGREEMENTS -130,650.