2016-05-13T13:21:20-05:00 2015-06-30 910189318 MOSS ADAMS LLP 4747 EXECUTIVE DRIVE SUITE 1300 SAN DIEGO CA 92121 990 2014-07-01 900171867 WESTMED COLLEGE WEST 8586428100 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 RANDY FRISCH CFO 8586428100 2016-05-05 1 PATRICIA J MAYER P00188643 8586271400 2014 2016-08-17 19:52:53Z RANDY FRISCH 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 8568229 0 X WWW.WESTMEDCOLLEGE.EDU X 2004 CA THE ORGANIZATION IS A POST-SECONDARY LEVEL EDUCATIONAL INSTITUTION. 19 18 91 0 0 0 4623957 4050000 4859449 4156833 424248 360054 1545 1342 9909199 8568229 8940 18344 0 0 3637494 3416298 0 0 0 6256893 5504731 9903327 8939373 5872 -371144 8671937 4567158 5652545 1918910 3019392 2648248 THE ORGANIZATIONS MISSION IS TO MEET THE CHANGING NEEDS OF DIVERSE LEARNERS WITHIN OUR NATION AND AROUND THE GLOBE. 0 0 5881179 18344 4158175 PROVIDE EDUCATION AND TRAINING FOR INDIVIDUALS LOOKING TO ENTER OR FURTHER THEIR CAREERS IN THE HEALTH CARE FIELD. 5881179 1 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 22 0 1 91 1 0 0 0 0 0 0 0 0 0 0 X 19 18 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA X MICHELLE BELLO VP FINANCE 8586428636 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 CARLOS RODRIGUEZ TRUSTEE 3.00 X 0 0 0 DR DONALD KRIPKE TRUSTEE 3.00 X 0 0 0 DR E LEE RICE TRUSTEE 3.00 X 0 0 0 GERALD CZARNECKI TRUSTEE 3.00 X 0 0 0 HERBERT MEISTRICH CHAIR, TRUSTEE 10.00 X 0 0 0 HIEP QUACH TRUSTEE 3.00 X 0 0 0 JACQUELINE TOWNSEND KONSTANTURO TRUSTEE 3.00 X 0 0 0 JAY STONE TRUSTEE 3.00 X 0 0 0 JEAN LEONARD TRUSTEE 3.00 X 0 0 0 JEANNE CONNELLY TRUSTEE 3.00 X 0 0 0 MICHAEL CUNNINGHAM PRESIDENT, NU/CHANCELLOR, 0.30 X X 40363 0 0 MICHAEL R MCGILL TRUSTEE 3.00 X 0 0 0 REBECCA HENDERSON TRUSTEE 0.30 X 0 0 0 RICHARD CHISHOLM SECRETARY/TRUSTEE 5.00 X 0 0 0 ROBERT FREELEN TRUSTEE 3.00 X 0 0 0 RUTHANN HEINRICH VICE CHAIR, TRUSTEE 5.00 X 0 0 0 STACY ALLISON TRUSTEE 3.00 X 0 0 0 THOMAS TOPUZES TRUSTEE 3.00 X 0 0 0 WH KNIGHT JR TRUSTEE 3.00 X 0 0 0 JEREMY LYON INTERIM PRESIDENT 45.00 X 101125 0 30798 RANDY FRISCH CFO 40.00 X 41301 0 3682 TRACEY JENSEN PRESIDENT 40.00 X 174927 0 22022 VIRGINIA BENEKE VICE CHANCELLOR, MARKETING 40.00 X 0 0 0 DR JERRY LEE CHANCELLOR EMERITUS, TRUST 5.00 X 276512 0 0 634228 0 56502 3 1 1 0 CAMPUS MANAGEMENT CORP 5201 CONGRESS AVE BOCA RATON FL 33487 SOFTWARE FEES 123871 1 4050000 4050000 TUITION AND FEES 611710 4156833 4156833 4156833 360054 360054 OTHER 611710 1342 1342 1342 8568229 4158175 0 360054 18344 18344 714635 714635 2126918 948578 1178340 40642 13818 26824 341172 131942 209230 192931 62507 130424 5269 5269 48771 48771 188323 22300 166023 180270 180270 453429 368025 85404 121050 121050 707864 467190 240674 59505 59505 14161 14161 64910 64910 86378 86378 213046 213046 BAD DEBT EXPENSE 3237693 3237693 TAXES, LICENSES, & FEES 69245 69245 SMALL EQUIPMENT & FURNI 29798 27171 2627 ALL OTHER EXPENSES 21573 21573 3446 3446 8939373 5881179 3058194 0 252422 477743 2798661 1831520 5225378 2064138 86470 80490 2027879 1914612 309006 113267 8671937 4567158 116723 95206 2092074 929220 3252529 799361 191219 95123 5652545 1918910 X 3019392 2648248 3019392 2648248 8671937 4567158 -371144 0 X 0 1 X 1 1 1 X 4713775 1000000 860000 4623957 4050000 15247732 4801170 4418960 5580774 4860994 4158175 23820073 9514945 5418960 6440774 9484951 8208175 39067805 0 0 0 39067805 142707 294226 301733 424248 360054 1522968 142707 294226 301733 424248 360054 1522968 9657652 5713186 6742507 9909199 8568229 40590773 0.96250 0.96880 0.03750 0.03120 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 922044 835600 86444 1105835 1079012 26823 113267 DEFERRED RENT 92438 DUE TO AFFILIATE 2685 95123 X 8549885 0 8549885 18344 18344 8568229 8921029 0 8921029 18344 18344 8939373 PART X, LINE 2: WMC IS A NON-PROFIT ORGANIZATION UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AND RELATED STATE PROVISIONS AND AS SUCH IS NOT SUBJECT TO FEDERAL AND STATE INCOME TAXES. ACCORDINGLY, NO PROVISION FOR INCOME TAXES HAS BEEN REFLECTED IN THE ACCOMPANYING FINANCIAL STATEMENTS. INCOME TAX BENEFITS AND/OR LIABILITIES ARE RECOGNIZED FOR INCOME TAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN A TAX RETURN, ONLY WHEN IT IS DETERMINED THAT THE INCOME TAX POSITION WILL MORE-LIKELY-THAN-NOT BE SUSTAINED UPON EXAMINATION BY TAXING AUTHORITIES. WMC HAS ANALYZED THE TAX POSITIONS TAKEN IN ITS FILINGS WITH THE INTERNAL REVENUE SERVICE AND THE CALIFORNIA FRANCHISE TAX BOARD. WMC BELIEVES THAT ITS INCOME TAX FILING POSITIONS WILL BE SUSTAINED UPON EXAMINATION AND DOES NOT ANTICIPATE ANY ADJUSTMENTS THAT WOULD RESULT IN A MATERIAL ADVERSE EFFECT ON WMC'S FINANCIAL CONDITION, RESULTS OF OPERATIONS OR CASH FLOWS. ACCORDINGLY, WMC HAS NOT RECORDED ANY RESERVES, OR RELATED ACCRUALS FOR INTEREST AND PENALTIES FOR UNCERTAIN INCOME TAX POSITIONS AT JUNE 30, 2015 AND 2014. WMC'S FEDERAL AND STATE INCOME TAX RETURNS PRIOR TO FISCAL YEAR 2012 ARE CLOSED. MANAGEMENT CONTINUALLY EVALUATES EXPIRING STATUTES OF LIMITATIONS, AUDITS, PROPOSED SETTLEMENTS, CHANGES IN TAX LAW, AND NEW AUTHORITATIVE RULINGS. PART XI, LINE 4B - OTHER ADJUSTMENTS: GRANT EXPENSE INCLUDED IN INCOME 18,344. PART XII, LINE 4B - OTHER ADJUSTMENTS: GRANT EXPENSE INCLUDED IN INCOME 18,344. 1 SCHOLARSHIPS TO WESTMED STUDENTS; TUITION REDUCTION 18344 FMV TUITION IS REDUCED BY AMOUNT OF INDIVIDUAL SCHOLARSHIPS AWARDED TO STUDENTS. PART I, LINE 2: NATIONAL UNIVERSITY INTERNATIONAL IDENTIFIES ELIGIBLE RECIPIENTS RELATED TO EDUCATIONAL AND COMMUNITY PURPOSES TO PROMOTE STEM SUBJECT AREAS. RECIPIENTS ARE MONITORED AS APPROPRIATE THROUGH PERIODIC REPORTS AND STUDENT RECORDS. X 1 1 X X X X X 0 1 0 0 0 0 0 1 0 TRACEY JENSEN PRESIDENT 174927 0 0 0 0 0 3064 0 18958 0 196949 0 0 0 DR JERRY LEE CHANCELLOR EMERITUS, TRUST 25500 0 0 0 251012 0 0 0 0 0 276512 0 0 0 PART I, LINE 1A FIRST CLASS TRAVEL IS MADE AVAILABLE TO BOARD MEMBERS IF THE FLIGHT IS OVER 3 HOURS. THIS IS NOT INCLUDED AS TAXABLE INCOME TO SUCH BOARD MEMBERS IF UTILIZED. PART I, LINE 4B DR. JERRY LEE PARTICIPATED IN A 457(F) SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN DURING FISCAL YEAR ENDING JUNE 30, 2014. PLAN DISTRIBUTIONS WERE MADE DURING THE YEAR ENDING 6/30/15 IN THE AMOUNT OF $251,012 PART I, LINE 7 OFFICERS AND EMPLOYEES ARE ELIGIBLE FOR BONUSES. BONUSES ARE AWARDED WITHIN A SPECIFIED RANGE IN THE DISCRETION OF THE EXECUTIVE COMPENSATION COMMITTEE OF THE BOARD OF TRUSTEES. FORM 990, PART VI, SECTION B, LINE 11 THE DRAFT FORM 990 WAS DISTRIBUTED TO SENIOR MANAGEMENT AND THE AUDIT COMMITTEE. THE FINAL VERSION OF FORM 990 WAS DISTRIBUTED FOR REVIEW BEFORE FILING TO THE TRUSTEES BY EMAIL. FORM 990, PART VI, SECTION B, LINE 12C THE BOARD OF TRUSTEES HAS PERIODICALLY REVIEWED AND APPROVED (BY A MAJORITY OF DISINTERESTED TRUSTEES) THE BUSINESS TRANSACTIONS WITH TRUSTEES OR THEIR AFFILIATED PROFESSIONAL SERVICE FIRMS. SUCH REVIEWS INCLUDE CONSIDERATION OF DATA ON COMPARABLE SERVICE PROVIDERS COLLECTED BY COLLEGE COUNSEL. THE INTERESTED TRUSTEES WERE EXCUSED FROM BOARD SESSIONS DURING WHICH THOSE BUSINESS TRANSACTIONS WERE DISCUSSED AND DID NOT PARTICIPATE IN VOTING ON SUCH TRANSACTIONS. THE MOST RECENT SUCH REVIEW OCCURRED DURING FISCAL YEAR 2013-14. THE CONFLICT OF INTEREST POLICY WAS REVIEWED AND UPDATED BY THE BOARD IN FEBRUARY OF 2014. QUESTIONNAIRES HAVE BEEN DISTRIBUTED. COMPLIANCE WITH THE CONFLICT OF INTEREST POLICY IS MONITORED BY COLLEGE COUNSEL AND WAS REVIEWED BY THE BOARD AT THE FEBRUARY, 2014 MEETING. FORM 990, PART VI, SECTION B, LINE 15 COMPENSATION OF THE PRESIDENT OF THE COLLEGE IS REVIEWED BY THE COMPENSATION COMMITTEE AT THE TIME OF HIRING AND AS NECESSARY THEREAFTER COMPENSATION OF OTHER OFFICERS AND KEY EMPLOYEES IS DETERMINED OR REVIEWED BY THE PRESIDENT, IN COORDINATION WITH THE CHANCELLOR. IN BOTH CASES, COMPENSATION IS DETERMINED WITH REGARD TO COMPENSATION PAID TO SENIOR EXECUTIVES OF COMPARABLE NON-PROFIT AND PROPRIETARY INSTITUTIONS IN EDUCATION AND OTHER FIELDS. THIS PROCESS IS DOCUMENTED AND WAS LAST COMPLETED JUNE 20, 2015. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES IT GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST VIA EMAIL. FORM 990, PART VII, COMPENSATION: DR. LEE COMPENSATION AS CHANCELLOR OF THE NATIONAL UNIVERSITY SYSTEM ("NUS") PURSUANT TO THE AFFILIATION AGREEMENT, DR. LEE GUIDED THE STRATEGIC DIRECTION OF THE NU AFFILIATES. HE SPEARHEADED THE CREATION AND GROWTH OF THE NUS SINCE ITS INCEPTION IN 2001 THROUGH HIS RETIREMENT IN SEPTEMBER 2013. DURING THE FISCAL YEAR 2008-2009, HE LED THE NEGOTIATIONS THAT CULMINATED IN JOHN F. KENNEDY UNIVERSITY BECOMING AN AFFILIATE OF THE NUS. THANKS TO THAT AFFILIATION, THE NUS NOW INCLUDES AN INSTITUTION THAT IS ACCREDITED TO AWARD DOCTORAL DEGREES. DURING THE FISCAL YEAR 2012-2013, HE LED THE NEGOTIATIONS THAT CULMINATED IN CITY UNIVERSITY OF SEATTLE BECOMMING AN AFFILIATE OF NUS. THANKS TO THAT AFFILIATION, NUS ADDED 30 ADDITIONAL CAMPUSES AND OVER 7,000 STUDENTS. SEE STATEMENT ON SCHEDULE R, FOR A DESCRIPTION OF THE NUS. THE CHANCELLOR'S COMPENSATION IS PAID BY SYSTEM MANAGEMENT GROUP ("SMG") AND IS ALLOCATED AMONG OTHER NUS AFFILIATES. SEE FORM 990 FILED BY SMG. NONE OF DR. LEE'S COMPENSATION IS ALLOCATED TO ANY OTHER ORGANIZATION OUTSIDE THE NUS. FORM 990, PART VII AND SCHEDULE J, PART II: ALL COMPENSATION FOR CERTAIN OFFICERS, DIRECTORS, TRUSTEES, KEY EMPLOYEES, AND HIGHEST COMPENSATED EMPLOYEES IS ALLOCATED BY SMG TO NUS AFFILIATES PURSUANT TO THE AFFILIATION AGREEMENT. FOR A COMPLETE LISTING OF RELATED PARTY ALLOCATION OF COMPENSATION AND BENEFITS PLEASE REFER TO SMG FORM 990, SCHEDULE O DISCLOSURE. SYSTEM MANAGEMENT GROUP 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 201269904 PROVIDE ADMINISTRATIVE SERVICES TO AFFILIATED INSTITUTIONS CA 501 (C)(3) LINE 11A, I N/A 1 NATIONAL UNIVERSITY VIRTUAL HIGH SCHOOL 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 562438569 EDUCATIONAL INSTITUTION CA 501(C)(3) LINE 9 N/A 1 JOHN F KENNEDY UNIVERSITY 100 ELLINWOOD WAY PLEASANT HILL CA 945234817 941610694 EDUCATIONAL INSTITUTION CA 501(C)(3) LINE 2 N/A 1 NATIONAL UNIVERSITY INTERNATIONAL INC 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 453997908 INACTIVE CA 501(C)(3) LINE 2 N/A 1 NATIONAL UNIVERSITY 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 237172306 EDUCATIONAL INSTITUTION CA 501(C)(3) LINE 2 N/A 1 SPECTRUM PACIFIC LEARNING INC 11355 NORTH TORREY PINES ROAD LA JOLLA CA 92037 453996682 INACTIVE CA 501(C)(3) LINE 9 N/A 1 CITY UNIVERSITY OF SEATTLE 521 WALL STREET NO 100 SEATTLE WA 98121 237421224 EDUCATIONAL INSTITUTION WA 501(C)(3) LINE 2 N/A 1 0 0 1 0 1 0 0 0 0 1 1 0 1 1 1 1 0 1 0 NATIONAL UNIVERSITY P 3854695 CASH NATIONAL UNIVERSITY C 4050000 CASH NATIONAL UNIVERSITY K 323818 CASH SYSTEM MANAGEMENT GROUP M 86378 CASH NATIONAL UNIVERSITY M 5017503 CASH NATIONAL UNIVERSITY R 64910 CASH NATIONAL UNIVERSITY E 799361 CASH SCHEDULE R, RELATED ORGANIZATIONS: THE NUS IS AN ALLIANCE OF EDUCATIONAL INSTITUTIONS, SERVING DIVERSE LEARNERS FROM HIGH SCHOOL TO DOCTORAL PROGRAMS. THE NUS INCLUDES 6 INDEPENDENT NON-PROFIT ORGANIZATIONS EXEMPT UNDER IRC SECTION 501(C)(3): NATIONAL UNIVERSITY, NATIONAL UNIVERSITY VIRTUAL HIGH SCHOOL, WESTMED COLLEGE, JOHN F. KENNEDY UNIVERSITY, CITY UNIVERSITY OF SEATTLE, AND SYSTEM MANAGEMENT GROUP (SMG). SMG IS A SUPPORTING ORGANIZATION EXEMPT UNDER IRC SECTION 509(A)(3) WHICH PROVIDES SUPPORT AND SERVICES TO ITS TAX-EXEMPT AFFILIATES IN THE NUS. SPECTRUM PACIFIC LEARNING COMPANY LLC AND NATIONAL UNIVERSITY INTERNATIONAL LLC AREWHOLLY-OWNED BY NATIONAL UNIVERSITY, AND ARE TREATED AS DISREGARDEDENTITIES FOR TAX PURPOSES. THE BOARD OF TRUSTEES OF EACH NUS AFFILIATE GOVERNS EACH AFFILIATE INDEPENDENTLY. THE BOARD OF TRUSTEES HAS NO AUTHORITY TO REMOVE, REPLACE OR APPOINT A MAJORITY OF THE GOVERNING BODY OF THOSE OTHER AFFILIATES. THE BOARD OF TRUSTEES OF EACH AFFILIATE, ACTING IN ITS INDEPENDENT CAPACITY, PERIODICALLY APPOINTS ITS OWN NEW TRUSTEES. THE BOARD OF TRUSTEES HAS A MAJORITY OVERLAPPING COMPOSITION BETWEEN EACH AFFILIATE OF THE NUS. IN ADDITION, THE NUS AUDIT FIRM PREPARES A SET OF "COMBINED NOT "CONSOLIDATED" AUDITED FINANCIAL STATEMENTS THAT INCLUDE THE EIGHT INDEPENDENT NON-PROFIT ORGANIZATIONS EXEMPT UNDER IRC SECTION 501(C)(3): NATIONAL UNIVERSITY, NATIONAL UNIVERSITY VIRTUAL HIGH SCHOOL, WESTMED COLLEGE, JOHN F. KENNEDY UNIVERSITY, CITY UNIVERSITY OF SEATTLE, AND SYSTEM MANAGEMENT GROUP.