2017-02-08T13:48:12-07:00 2016-06-30 990 2015-07-01 042104265 GROTON SCHOOL GROT 9784483363 PO Box 991 Groton MA 01450 Arthur Diaz Chief Financial Officer 9784487566 2017-02-08 2015 2021-01-29 14:40:06Z Arthur Diaz PO Box 991 Groton MA 01450 76800971 0 X www.groton.org X 1884 MA Groton School provides college and university preparatory education for students in grades eight to twelve. 29 28 220 375 -113937 0 16704864 11573674 20886467 20840257 36302321 28869441 358238 367731 74251890 61651103 6382803 6680571 0 0 17782270 18375364 0 0 2351199 18358611 20158909 42523684 45214844 31728206 16436259 511393534 481882186 102738410 102287689 408655124 379594497 Groton School is dedicated to educating promising students in a diverse and intimate community that fosters intellectual, moral, and spiritual character and physical development in preparation for lifelong learning, leadership, and service to others. 0 0 31241400 6680571 20840257 Education of students in grades eight through twelve in a non-profit, co-educational college preparatory boarding school. The School provides aid assistance for 39% of its students in the form of tuition grants, housing support, travel assistance, and subsidies for books, supplies, and laptop purchases (378 students). 0 0 0 31241400 1 1 0 1 0 0 0 0 0 1 1 1 0 0 1 1 1 0 1 0 1 0 0 0 0 0 0 1 1 1 1 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 1 1 1 0 0 1 196 0 1 220 1 1 1 1 CJ UK VI 0 0 0 0 0 0 0 0 X 29 28 0 0 0 0 0 0 0 1 1 0 0 0 1 1 1 1 1 1 1 0 MA X Arthur Diaz 9784487566 PO Box 991 Groton MA 014500991 David Altshuler Board Member 4 0 X 0 0 0 Charles A Anton Board Member 4 0 X 0 0 0 Caroline C Banwell Board Member 4 0 X 0 0 0 Nicholas F Burgin Board Member 4 0 X 0 0 0 Diana V Chigas Board Member 4 0 X 0 0 0 Franz F Colloredo Mansfeld Board Member 4 0 X 0 0 0 Diana S Ferguson Board Member 4 0 X 0 0 0 William B Gray Board Member 4 0 X 0 0 0 Monica Spencer Green Board Member 4 0 X 0 0 0 Grant A Gund Board Member 4 0 X 0 0 0 Stephen G Hill Board Member 4 0 X 0 0 0 Kenneth C Irving Board Member 4 0 X 0 0 0 John R S Jacobsson Board Member 4 0 X 0 0 0 Thomas Kalaris Board Member 4 0 X 0 0 0 Alexander Robert Krapf Board Member 4 0 X 0 0 0 Andrew S Paul Board Member 4 0 X 0 0 0 Andrea N Picott Board Member 4 0 X 0 0 0 Benjamin N Pyne Board Member 4 0 X 0 0 0 Jennifer Eplett Reilly Board Member 4 0 X 0 0 0 Sarah Eaton Stuart Board Member 4 0 X 0 0 0 Stacey Clover Symonds Board Member 4 0 X 0 0 0 William C Vrattos Board Member 4 0 X 0 0 0 James H R Windels Board Member 4 0 X 0 0 0 Nancy Yang Board Member 4 0 X 0 0 0 Jonathan D Klein President 4 0 X X 0 0 0 Ann Bakewell Woodward Vice President 4 0 X X 0 0 0 D D Willard Gardiner Jr Treasurer 4 0 X X 0 0 0 Peter C Erichsen Secretary 4 0 X X 0 0 0 Temba Maqubela Headmaster 60 0 X X 405980 0 147307 Arthur Diaz Chief Financial Officer 50 0 X 149448 0 41245 J Hale Smith Retired Chief Financial Officer on Sabbatical 0 0 X 273210 0 64441 John MacEachern Director of Development 50 0 X 230379 0 108932 Katherine Bradley Assistant Headmaster 50 0 X 177160 0 77966 Ian Gracey Director of Admissions 50 0 X 148482 0 110560 Elizabeth Lawrence Development Gift Officer 50 0 X 130966 0 43640 1515625 0 594091 19 0 1 0 Lee Kennedy Company Inc 122 Quincy Shore Drive Quincy MA 02171 Construction 22327535 RAD Sports 171 VFW Drive Rockland MA 02370 Construction 1592104 Mahan Slate Roofing Company 32 Verge Springfield MA 01129 Construction 1448077 Chartwells 2400 Yorkmont Road Charlotte NC 28217 Food Service 1338504 Shepley Bulfinch Richardson & Abbott 2 Seaport Lane Boston MA 02210 Architect 1168487 18 0 0 0 0 0 11573674 1667250 11573674 Tuition 611600 20311692 20311692 0 0 Technology support fee 611710 226400 226400 0 0 Health center fee 611710 128000 128000 0 0 Application fees 611710 75450 75450 0 0 Tuition refund fee 611710 32010 32010 0 0 66705 66705 0 0 20840257 4926531 0 -96142 5022673 0 0 0 0 0 0 0 0 377517 0 47796 0 329721 0 329721 0 -17795 347516 38971400 0 14095568 932922 24875832 -932922 23942910 0 0 23942910 0 0 0 0 0 0 0 0 0 0 0 0 111592 73582 38010 0 0 38010 0 61651103 20840257 -113937 29351109 106022 106022 6574549 6574549 0 0 0 0 743980 0 743980 0 108067 108067 0 0 11860625 8564641 2029819 1266165 1991831 1305616 468478 217737 2871010 1439283 1223271 208456 799851 524291 188125 87435 0 0 0 0 129033 0 129033 0 134586 10938 123648 0 0 0 0 0 0 0 1696597 32 1696565 0 1224469 409015 795278 20176 412075 82977 196233 132865 190599 63815 82539 44245 447351 109239 300557 37555 0 0 0 0 2917929 2881352 30206 6371 297583 79753 116694 101136 0 0 0 0 45395 19366 21547 4482 2610212 0 2610212 0 0 0 0 0 7481063 7237363 243700 0 419630 105897 295633 18100 Food 867246 747566 26397 93283 Special Events 421742 297867 53948 69927 General Merchandise & Equipment 325991 314232 4866 6893 Other Requlatory 133167 20619 79972 32576 404241 238900 161544 3797 45214844 31241400 11622245 2351199 246027 54556 1126593 1266187 13974578 13071860 427062 359886 0 0 0 0 53832 21004 237436 238524 726485 1158351 225886672 90967311 123886783 134919361 237576676 198661855 125904252 124896792 15797 15797 7218013 7218013 511393534 481882186 16626007 14654022 0 0 2367260 2224160 72745000 71542500 0 0 0 0 0 0 0 0 11000143 13867007 102738410 102287689 X 244134739 225163878 89879955 75676688 74640430 78753931 408655124 379594497 511393534 481882186 X 16436259 -39703432 0 0 0 -5793454 X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 0 0 0 Schedule C, Part II-B, Line 1 The School is a member of a number of associations such as the National Association of Independent Schools, New England Association of Schools and Colleges, and the Association of Independent Schools in New England, which may use a portion of their membership dues to lobby on behalf of members. The portion of dues and fees allocated to lobbying activities is not determinable. 348220123 4138587 -11323956 3340451 17543926 0 320150377 352334319 3983613 4468108 2895958 9669959 0 348220123 313592181 2553487 46100003 2797139 7114213 0 352334319 295580171 5384256 26464968 2708118 11129096 0 313592181 306053479 3001319 -374150 2441835 10658642 0 295580171 0.57 0.22 0.21 0 0 0 4072260 4072260 0 199984222 77654396 122329826 0 0 0 0 0 11798003 7619621 4178382 0 10032187 5693294 4338893 134919361 0 0 Hedge Funds 80857501 F Venture Capital Funds 26419712 F Real Asset Funds 8925313 F Private Equity Funds 8694266 F 124896792 0 Interest Rate Swap Agreements 11725412 Charitable Remainder Unitrusts 1588810 Charitable Gift Annuity 552785 13867007 X 14210048 -39703432 0 0 -6357600 -46061032 60271080 2434323 -1054300 1380023 61651103 43270675 0 0 0 5674824 5674824 37595851 2434323 5184670 7618993 45214844 Schedule D, Part V, Line 4 The endowment is used to support the educational mission of the School. Schedule D, Part X, Line 2 The School follows FASB ASC 740, "Income Taxes", which clarifies the accounting for uncertain income tax positions by prescribing the recognition threshold a tax position is required to meet before being recognized in the financial statements. The School recognizes a tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities. Management evaluated the School's tax positions and concluded that the School had no material uncertain income tax positions as of June 30, 2016 or 2015. The School is no longer subject to income tax examinations by the US federal, state, or local tax authorities for fiscal years before 2013. The School will account for interest and penalties related to uncertain tax positions, if any, as part of the tax expense. Schedule D, Part XI, Line 2d Increase in value of split interest agreements 43,118, Financial aid (6,117,592), and the recovery provision for uncollectible pledges (283,126). Schedule D, Part XI, Line 4b Rental expenses of (47,796) are associated with unrelated business income and cost of goods sold (73,582) at the School store, loss on disposal of assets (932,922). Schedule D, Part XII, Line 2d Rental expenses of 47,796 are associated with unrelated business income, unrealized loss on the value of interest rate swaps 3,026,155, accrued pension liability 2,527,291, and the cost of goods sold at the School store 73,582. Schedule D, Part XII, Line 4b Financial aid of $6,117,592 and loss on disposal of assets (932,922). 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 Schedule E, Part I, Line 3 The diversity and inclusion statement, as shown on the School's website at www.groton.org, states that Groton School is committed to diversity and inclusivity with responsibility, mutual respect, and empathy. We strive to maintain a community in which every person feels welcomed, valued, and respected. We are dedicated to shared examination of our different perspectives, inherent privileges, disadvantages, and prejudices, especially in terms of race, religion, national origin, gender and sexuality, socioeconomic status, and political ideology. We believe this work is critical to preparing students to lead "lives of character, learning, leadership, and service." North America (including Canada and Mexico, but not the United States) 0 0 Program Services Meetings with college recruiting representatives in British Columbia in April 2016. 444 Europe (including Iceland and Greenland) 0 0 Program Services School sponsored Global Education trip to the United Kingdom in September 2015 that included four students. 1230 Europe (including Iceland and Greenland) 0 0 Program Services College counseling conference to the University of Oxford in the United Kingdom in February 2016. 1408 Central America and the Caribbean 0 0 Fundraising Reception held in Bermuda in November 2015. 1984 East Asia and the Pacific 0 0 Fundraising Receptions held in Seoul, Hong Kong, and Beijing in March 2016. 10788 Europe (including Iceland and Greenland) 0 0 Fundraising Receptions held in Amsterdam and Greece in July 2015. 12125 Central America and the Caribbean 0 0 Program Services School sponsored Global Education trip to the Dominican Republic in June 2016 that included two students. 17202 East Asia and the Pacific 0 0 Fundraising Receptions held in Seoul and Beijing in October 2015. 19762 Europe (including Iceland and Greenland) 0 0 Program Services School sponsored Global Education trip to Rome in March 2016 that included eighteen students. 22791 East Asia and the Pacific 0 0 Fundraising Receptions held in Seoul and Hong Kong in December 2015. 35249 Sub-Saharan Africa 0 0 Program Services School sponsored Global Education trip to Tanzania in June 2016 that included ten students. 36215 Europe (including Iceland and Greenland) 0 0 Program Services School sponsored European Music Tour in June 2016 that included twenty six-students. 39237 South America 0 0 Program Services School sponsored Global Education trip to Peru in July 2015 that included fifteen students. 44846 Europe (including Iceland and Greenland) 0 0 Investments 46846000 Central America and the Caribbean 0 0 Investments 81177000 0 0 128266281 1 0 0 0 0 0 1 Town of Groton 173 Main Street Groton MA 01450 046001164 Government Entity 102500 0 The contribution was made to help the Town of Groton subsidize their annual operating costs. 1 0 Tuition Grant 147 0 6117592 Total credits applied to tuition Credits are applied to the tuition bill as a means of subsidizing the overall tuition costs to qualified students attending Groton School. Travel Grant 95 206899 0 Travel grants that are applied to monthly billing Incidental Grant 70 171021 0 Credits are applied to monthly bill Laptop Grants 45 61519 0 Payments made to purchase laptops for qualified students Parent Travel Grant 36 17518 0 Payments made to travel agents for travel and lodging Schedule I, Part I, Line 2 The School works directly with town officials and local charitable organizations to assess future needs and the use of current and past monetary grants. The School also makes several other small donations throughout the year based on charitable purpose, historical relationships, and current needs. These one time contributions are not typically monitored by the CFO or the Headmaster. Financial aid grants are awarded annually to qualified students and are applied as credits to the tuition bill up to the amount of the grant for the current academic year. X X X X 1 1 X X X 0 0 0 0 0 0 0 0 0 Temba Maqubela Headmaster 396085 0 0 0 9895 0 75036 0 72271 0 553287 0 0 0 Arthur Diaz Chief Financial Officer 149448 0 0 0 0 0 14266 0 26979 0 190693 0 0 0 J Hale Smith Chief Financial Officer 250189 0 0 0 23021 0 46225 0 18216 0 337651 0 0 0 John MacEachern Director of Development 230379 0 0 0 0 0 44640 0 64292 0 339311 0 0 0 Katherine Bradley Assistant Headmaster 167808 0 0 0 9352 0 25817 0 52149 0 255126 0 0 0 Ian Gracey Director of Admissions 148482 0 0 0 0 0 22919 0 87641 0 259042 0 0 0 Elizabeth Lawrence Development Gift Officer 129466 0 1500 0 0 0 20960 0 22680 0 174606 0 0 0 Schedule J, Part I, Line 1a Faculty are required to live in on-campus housing as a condition of employment. The Headmaster's home includes some space that is reserved for School related meetings and student activities. The cost of maintaining this allotted space is paid by the School and recorded as an operating expense. The Headmaster's contract, which is approved by the Board President and the Compensation Committee, includes the cost of residential cleaning. The cost is recorded by the School as a taxable benefit and reported on the W-2. The School will only pay for the cost of a traveling spouse when they are an authorized participant in School related functions. In such a case, the cost is treated as a non-taxable work related event. The discretionary account is provided to the Headmaster as part of the approved annual budget. The account is used to fund small School related expenses and, as a result, is not reported as a taxable fringe benefit. A Massachusetts Development Finance Agency 043431814 2013-10-17 75000000 Building renovations & refinancing existing debt 0 0 0 A 3457500 0 75000000 0 644020 48640000 474250 0 0 25885750 0 0 2016 1 0 1 1 A 0 0 0 0 0 0 0 0 0 1 A 0 0 0 0 1 1 Morgan Stanley Capital Services Bank of New York Mellon 30 0 0 0 0 1 A 1 Schedule K, Part IV, Line 4b-10/17/2013 75,000,000 Massachusetts Development Finance Agency The Bank of New York Mellon Swap 15 Years, The Bank of New York Mellon Swap 38 Years, and Morgan Stanley Capital Services Swap 30 Years. Vuyelwa M Maqubela Family member of Temba Maqubela, Headmaster 108067 Employment 0 X 97 1667250 FMV 0 0 1 0 Schedule M, Part I, Line 33 The number of security contributions is based on the number of gifts and not the number of shares received. Form 990, Part VI, Section B, Line 11b A draft of the Form 990 without Schedule B was distributed electronically to each member of the Audit Committee. After a thorough review, the Committee had an opportunity to ask questions and suggest revisions during a group conference call. The draft was also posted to a secure electronic portal, accessible by the full Board, prior to filing. Form 990, Part VI, Section B, Line 12c All School officers, key employees, and members of the Board of Trustees are required annually to read the conflict of interest policy and sign the document. This signature indicates an understanding of the guidelines and an assurance to the Board that they are in compliance with the policy. Any potential conflict must be disclosed and reviewed by the President of the Board to determine if further action is required. Any identified conflict will prohibit such individual from participating in the governing body's deliberations and transaction decisions related to the conflict. Form 990, Part VI, Section B, Line 15 An employment contract between the Headmaster and the School is updated periodically and renewed annually. Each year, the President of the Board and the Compensation Committee review the Headmaster's and other senior administrator's salaries and benefits. The salary survey provided by the Association of Business Officers of Preparatory Schools is used as a guide and a point of comparison. The annual salary and benefit offerings for the Chief Financial Officer are made by the Headmaster. All salaries and benefit offerings for the remaining School employees are updated annually and approved by the Chief Financial Officer or the Headmaster up to the aggregate salary increase approved by the Board of Trustees. Form 990, Part VI, Section C, Line 19 The Form 990 without Schedule B can be viewed on-line by going to guidestar.org, an independently operated website. The Conflict of Interest Policy and the Governing Documents may be viewed any time upon request for the same period of disclosure set forth in Section 6104(d). Form 990, Part XI, Line 9 Change in value of interest rate swap agreements (3,026,155), accrued pension liability (2,527,291), recovery provision for uncollectible pledges (283,126), and split interest agreements 43,118. Charitable Remainder Trust (5) PO Box 991 Groton MA 01450 Charitable Trust MA Groton School T 1 Pooled Income Fund PO Box 991 Groton MA 01450 Pooled Income Fund MA Groton School T 1 Growth Pooled Income Fund PO Box 991 Groton MA 01450 Pooled Income Fund MA Groton School T 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 Pooled Income Fund s 124531 The aggregate annual transfers from the fund to the School that represent the value of the fund assigned to the beneficiaries upon their death. The form 8868, an application for Extension of Time to File an Exempt Organization Return, was filed on November 14, 2016. This extension provides the School's Board of Trustees the time necessary to complete a thorough review of the return.