2015-03-10T10:03:24-05:00 2014-06-30 861065772 DELOITTE TAX LLP 424 CHURCH STREET SUITE 2400 NASHVILLE TN 372192396 990 2013-07-01 636065809 UNIVERSITY OF SOUTH ALABAMA FOUNDATION UNIV 2514322116 PO BOX 3148 MOBILE AL 36652 MAXEY J ROBERTS MANAGING DIRECTOR 2514322116 2015-03-10 1 P00752421 6152591800 2013 2016-02-25 16:41:14Z MAXEY J ROBERTS PO BOX 3148 MOBILE AL 36652 13560444 0 X USAFOUNDATION.ORG X 1968 AL TO SUPPORT THE EDUCATIONAL PROGRAMS OF THE UNIVERSITY OF SOUTH ALABAMA. 21 20 13 0 181050 -155641 16300 56925 0 0 5849599 6196384 824423 941419 6690322 7194728 4449038 4515680 0 0 1150286 1240791 0 0 19923 2543768 2349353 8143092 8105824 -1452770 -911096 308091378 329282712 8666434 4886102 299424944 324396610 X THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION WAS ESTABLISHED TO SUPPORT THE FUNCTIONS AND ACTIVITIES OF THE UNIVERSITY OF SOUTH ALABAMA. CONTRIBUTIONS ARE MADE DIRECTLY TO THE UNIVERSITY FOR AND IN SUPPORT OF STUDENT SCHOLARSHIPS, FACULTY POSITIONS AND PROGRAMS, AND OTHER RELATED ACTIVITIES OF THE UNIVERSITY. EXAMPLES INCLUDE PROVIDING $17,778,870 IN TOTAL SUPPORT TO THE MITCHELL CANCER INSTITUTE, A MAJOR UNIVERSITY UNDERTAKING AND PROGRAM, SUPPORT TO THE UNIVERSITY MEDICAL SIMULATION PROGRAM, FUNDING 22 NEW GRADUATE ASSISTANTSHIPS CRITICAL IN THE SUPPORT OF NEW GRADUATE PROGRAMS LAUNCHED BY THE UNIVERSITY, AS WELL AS PROVIDING STIPEND SUPPORT TO THE GRADUATE ASSISTANT PROGRAM, TOTALING $2,756,625 TO DATE. 0 0 7545937 4515680 CONTRIBUTIONS TO THE UNIVERSITY OF SOUTH ALABAMA 7545937 1 1 0 0 0 0 0 0 0 1 1 0 0 0 1 0 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 1 0 0 1 29 0 1 13 1 1 1 0 0 0 0 0 0 0 0 0 X 21 20 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 AL MS X MAXEY J ROBERTS 2514322116 211 N CONCEPTION STREET MOBILE AL 366036477 OTHA LEE BIGGS BOARDMEMBER 1.00 X 0 0 0 ALPHA JOHNSON BOARDMEMBER 1.00 X 0 0 0 JOHN W SMITH BOARDMEMBER 1.00 X 0 0 0 TONY G WALDROP BOARDMEMBER 1.00 X 0 0 0 VERLA LEDLOW WILTERS BOARDMEMBER 1.00 X 0 0 0 STEVEN P FURR BOARDMEMBER 1.00 X 0 0 0 WALTER E PENRY JR BOARDMEMBER 1.00 X 0 0 0 J ALLAN TUCKER BOARDMEMBER 1.00 X 0 0 0 JOHN T WHIDDON BOARDMEMBER 1.00 X 0 0 0 MARGARET D YOUNG BOARDMEMBER 1.00 X 0 0 0 KEN SIMON BOARDMEMBER 1.00 X 0 0 0 ELLEN F GREEN BOARDMEMBER 1.00 X 0 0 0 GREGORY LUCE BOARDMEMBER 1.00 X 0 0 0 ROBERT P HALL BOARDMEMBER 1.00 X 0 0 0 THOMAS A ZOGHBY BOARDMEMBER 1.00 X 0 0 0 NOLAN C LEAKE BOARDMEMBER 1.00 X 0 0 0 JOAN SINNOTT BOARDMEMBER 1.00 X 0 0 0 LOWELL J BONDS BOARDMEMBER 1.00 X X 0 0 0 JOHN MCMILLAN BOARDMEMBER 1.00 X X 0 0 0 A JEANNE SYLVESTRE BOARDMEMBER 1.00 X X 0 0 0 ROBERT D WORD BOARDMEMBER 1.00 X X 0 0 0 MAXEY J ROBERTS MANAGING DIRECTOR/BOARDMEM 40.00 X X 243695 0 1762 BRAD B ROBERTS CONTROLLER 40.00 X X 150623 0 1755 ROBERT M HOPE INVESTMENT MANAGER 40.00 X X 135544 0 14705 529862 0 18222 3 0 1 0 JONES WALKER LLP N WATER ST STE 1200 MOBILE AL 36602 LEGAL SERVICES 362780 DELOITTE & TOUCHE LLP 420 N 20TH STREET BIRMINGHAM AL 35203 AUDITING & TAX 148000 2 56925 56925 2087735 2087735 171458 171458 634096 45185 588911 588911 588911 7246384 3182796 4750567 1569964 2495817 1612832 4108649 4108649 HEAVY EQUIPMENT USAGE 110000 169050 169050 ACCOUNTING AND ADMIN. 541200 12000 12000 181050 7194728 0 181050 6956753 4515680 4515680 541628 431080 93289 17259 432820 317002 115818 140462 108155 30902 1405 63357 48785 13938 634 62524 48144 13755 625 308061 258096 49965 162880 125418 37462 295362 295362 48205 38191 10014 27500 21175 6325 1799 1385 414 139408 107344 32064 170606 170606 105817 81479 24338 244272 194930 49342 TIMBER MGT & MAINT 230500 230500 CONSULTANT AND PROF FEE 202047 181908 20139 PROPERTY TAX 174300 168072 6228 REPAIR AND MAINT EXP 113744 87583 26161 124852 115042 9810 8105824 7545937 539964 19923 895823 665269 29085 51104 184423358 1195919 181230055 183227439 114192773 133236170 10573365 10675125 1170277 1427605 308091378 329282712 787919 836981 7783515 3954121 95000 95000 8666434 4886102 X 65168478 63961209 64861593 90909128 169394873 169526273 299424944 324396610 308091378 329282712 -911096 25882762 0 X 0 1 X 1 0 X X X 0 0 0 UNIVERSITY OF SOUTH ALABAMA 630477348 6 1 1 1 4515680 1 4515680 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 299424944 56925 33020566 -4515680 -3590145 324396610 284481819 16300 23069917 -4449038 -3694054 299424944 284211930 195570 8060575 -4426156 -3560100 284481819 264246593 22232 27871686 -4169744 -3758837 284211930 250754715 14550 21055420 -4395304 -3182788 264246593 0.19720 0.52260 0.28020 0 0 181610839 181610839 1373396 291944 1081452 863860 686101 177759 575263 217874 357389 183227439 DEPOSITS 95000 95000 PART V, LINE 4: THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION'S ENDOWMENT IS COMPRISED OF INDIVIDUAL FUNDS TO BE USED FOR SPECIFIC SCHOLARSHIPS, FACULTY POSITIONS, AND ACADEMIC PROGRAMS. THESE ENDOWMENT FUNDS WERE CREATED FROM INITIAL GIFTS OR CONTRIBUTIONS WITH THE INCOME AND APPRECIATION GENERATED FROM THESE ENDOWMENT FUNDS USED TO FUND VARIOUS SCHOLARSHIPS, FACULTY POSITIONS, AND ACADEMIC PROGRAMS FOR THE UNIVERSITY OF SOUTH ALABAMA. 1 UNIVERSITY OF SOUTH ALABAMA 307 N UNIVERSITY BLVD MOBILE AL 36688 630477348 4515680 SCHOLARSHIPS, FACULTY POSITIONS, AND OTHER SUPPORT 1 SCHEDULE I: THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION FUNDS VARIOUS SCHOLARSHIPS, FACULTY POSITIONS, AND OTHER SUPPORT TO THE UNIVERSITY OF SOUTH ALABAMA. THE UNIVERSITY OF SOUTH ALABAMA DETERMINES THE ELIGIBILITY AND AWARDING OF SCHOLARSHIPS TO WORTHY STUDENTS. THE UNIVERSITY ALSO DETERMINES THE PLACEMENT OF FACULTY POSITIONS AND CURRENT NEED FOR SUPPORT OF OTHER MORE SPECIFIC PROGRAMS. FUNDING TO THE UNIVERSITY IS BASED IN PART ON PERCENTAGE OF THE FOUNDATION'S NET ASSETS. X X X X X 0 0 0 0 0 0 0 0 0 MAXEY J ROBERTS MANAGING DIRECTOR/BOARDMEM 243695 0 0 0 0 0 0 0 1762 0 245457 0 0 0 BRAD B ROBERTS CONTROLLER 150623 0 0 0 0 0 0 0 1755 0 152378 0 0 0 ROBERT M HOPE INVESTMENT MANAGER 135544 0 0 0 0 0 0 0 14705 0 150249 0 0 0 FORM 990, PART III, LINE 1 OTHER PROGRAMMATIC SUPPORT INCLUDES $750,000 ANNUALLY TO SUPPORT SCHOLARSHIPS FOR STUDENTS IN THE HONORS PROGRAM, THAT HAS TOTALED $10,500,000 OVER THE PERIOD SINCE ITS INCEPTION, AS WELL AS PROVIDING FINANCIAL SUPPORT TO 37 FACULTY POSITIONS, SUPPORT OF 151 DESIGNATED SCHOLARSHIPS, A TOTAL COMMITMENT OF $500,000 TO A FUND TO SUPPORT THE COLLEGES OF ENGINEERING AND COMPUTING AND TO NUMEROUS ONGOING ACADEMIC PROGRAMS. ADDITIONALLY, THE FOUNDATION ENGAGES IN ONGOING DIALOGUE WITH THE UNIVERSITY COMMUNITY, ITS FACULTY AND STUDENTS THROUGH MORE THAN FIFTEEN EVENTS ANNUALLY, INCLUDING RECEPTIONS, LECTURES, LUNCHEONS AND OTHER EVENTS. AS A FURTHER EXAMPLE OF THE SUPPORT BY THE FOUNDATION IN ACTIVITIES TO SUPPORT THE UNIVERSITY, IN 2010 AND IN FURTHERANCE OF THE FINANCIAL SUPPORT BY THE FOUNDATION TO THE UNIVERSITY IN CARRYING OUT ITS CRITICAL MISSION IN HEALTHCARE AND ACADEMIC MEDICINE, THE FOUNDATION PURCHASED A 327-ACRE PROPERTY, THE BROOKLEY CAMPUS, FROM THE UNIVERSITY, WHICH PURCHASE OF $20 MILLION SUPPORTED THE COMPLETION OF AN EXPANSION AT THE UNIVERSITY'S CHILDREN'S AND WOMEN'S HOSPITAL (DESCRIPTION OF THIS TRANSACTION IS DETAILED HEREIN). SERVING ON THE BOARD OF DIRECTORS OF THE USA FOUNDATION ARE THE CHAIRMAN PRO TEMPORE OF THE BOARD OF TRUSTEES OF THE UNIVERSITY OF SOUTH ALABAMA, THE VICE CHAIRMAN OF THE UNIVERSITY BOARD, AND THE PRESIDENT OF THE UNIVERSITY, AS WELL AS A REPRESENTATIVE FROM THE FACULTY OF THE UNIVERSITY AND A REPRESENTATIVE OF THE ALUMNI OF THE UNIVERSITY. THESE INDIVIDUALS PROVIDE A STRONG UNDERSTANDING AND VOICE OF THE NEEDS OF THE UNIVERSITY TO THE FOUNDATION PROVIDING A UNIQUE UNDERSTANDING AND RESPONSIVENESS TO THOSE NEEDS. THE FOUNDATION AND THE MEMBERS OF THE FOUNDATION BOARD INTERACT WITH THE UNIVERSITY THROUGH A PROCESS THAT INCLUDES INFORMAL MEETINGS WITH UNIVERSITY ADMINISTRATORS AND FOUNDATION REPRESENTATIVES, DISCUSSIONS AND DIALOGUE THROUGH SMALL GROUPS AND FINALLY DISCUSSIONS AND ACTIONS AT FORMAL BOARD MEETINGS. THIS BASIS OF DIALOGUE CREATES AN UNDERSTANDING OF THE NEEDS OF THE UNIVERSITY AND HAS RESULTED IN THE FOUNDATION'S SUPPORT OF UNIQUE AND CRITICAL UNIVERSITY PROGRAMS, FACULTY NEEDS AND SCHOLARSHIP INITIATIVES, AS DESCRIBED IN THIS SCHEDULE. THIS PROCESS OF INTERACTION IS ONGOING AND LEADS TO A DEPTH OF RESPONSIVENESS AND UNDERSTANDING BY BOTH THE UNIVERSITY AND THE FOUNDATION. OVER THE PAST TEN YEARS, NEARLY $56 MILLION HAS BEEN CONTRIBUTED TO THE UNIVERSITY, REFLECTING THE CENTRAL PHILOSOPHY OF ENDOWMENT FOUNDATIONS TO SUPPORT CURRENT NEEDS, WHILE ASSURING THE PURCHASING POWER IN THE FUTURE OF ENDOWMENT ASSETS AND PRESERVING STRONG ENDOWMENT ASSETS TO ASSURE SUPPORT OF THE MANY PROGRAMS AND SERVICES, AS WELL AS THE FACULTY AND STUDENTS, OF THE UNIVERSITY. FORM 990, PART VI, SECTION B, LINE 11 FORM 990 IS PREPARED BY THE FOUNDATION'S MANAGEMENT AND INDEPENDENT TAX CONSULTANTS. UPON COMPLETION, FORM 990 IS SUBMITTED TO THE FOUNDATION'S INVESTMENT AND AUDIT COMMITTEE FOR REVIEW AND THEN TO THE BOARD OF DIRECTORS FOR APPROVAL. FORM 990, PART VI, SECTION B, LINE 12C THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION HAS A WRITTEN CODE OF CONDUCT AND ETHICS POLICY ("CODE") FOR ITS DIRECTORS, OFFICERS, AND EMPLOYEES. WITHIN THE CODE, THE FOUNDATION HAS INCORPORATED ITS CONFLICT OF INTEREST POLICY. THE FOUNDATION REVIEWS THE POLICY ANNUALLY AND REQUIRES ALL FOUNDATION DIRECTORS, OFFICERS, AND EMPLOYEES TO COMPLETE A CONFLICT OF INTEREST QUESTIONNAIRE DISCLOSING ANY CONFLICTS. FORM 990, PART VI, SECTION B, LINE 15 THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION DETERMINES COMPENSATION OF MANAGEMENT AND KEY EMPLOYEES INITIALLY THROUGH AN INDEPENDENT COMPENSATION STUDY AND REVIEW OF RELEVANT DATA. THE INFORMATION IS PRESENTED TO THE FOUNDATION'S INVESTMENT AND AUDIT COMMITTEE FOR ITS REVIEW AND ACTION WITH RESPECT TO COMPENSATION. FORM 990, PART VI, SECTION C, LINE 19 THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION PROVIDES, TO THE PUBLIC, ACCESS TO ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS. ALL SUCH DOCUMENTS ARE MADE AVAILABLE UPON REQUEST. FURTHER, THE FOUNDATION'S ARTICLES OF INCORPORATION ARE FILED IN THE PROBATE COURT OF MOBILE COUNTY, ALABAMA, AND THE FOUNDATION MAKES AVAILABLE TO THE PUBLIC ITS GOVERNING DOCUMENTS. THE FOUNDATION'S AUDITED FINANCIAL STATEMENTS ARE FORWARDED TO THE UNIVERSITY OF SOUTH ALABAMA AND MADE AVAILABLE TO THE LOCAL NEWSPAPER. THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION'S FORM 990 IS AVAILABLE ON REQUEST, AND THE FOUNDATION ALSO DISCLOSES ITS NET ASSETS ON ITS WEBSITE. DESCRIPTION OF LOAN PAYABLE: DURING THE FISCAL YEAR ENDING JUNE 30, 2011, THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION PURCHASES 327 ACRES FROM THE UNIVERSITY OF SOUTH ALABAMA, KNOWN AS THE BROOKLEY CAMPUS. THE PROPERTY WAS PURCHASED FROM THE UNIVERSITY OF SOUTH ALABAMA IN FURTHERENCE OF THE FINANCIAL SUPPORT OF THE UNIVERSITY BY THE FOUNDATION IN ORDER TO ASSIST THE UNIVERSITY IN CARRYING OUT ITS TAX EXEMPT PURPOSE AND SPECIFICALLY IN ORDER TO FUND THE PEDIATRIC EXPANSION OF THE UNIVERSITY OF SOUTH ALABAMA CHILDREN'S AND WOMEN'S HOSPITAL, AN INTEGRAL PART OF THE TEACHING MISSION AND HEALTH SERVICES MISSIONS OF THE UNIVERSITY OF SOUTH ALABAMA. THE PURCHASE WAS $20,000,000 TO BE PAID IN FIVE ANNUAL INSTALLMENT OF $4,000,000. UNDER THE PURCHASE AGREEMENT, FOR A FIVE-YEAR USE PERIOD, THE UNIVERSITY RETAINS COMPLETE USE OF THE BUILDING AND IMPROVEMENTS ON THE 327-ACRE PROPERTY, INCLUDING THE ABILITY TO LEASE FACILITIES AND TO RETAIN ANY AND ALL RENT FROM SUCH LEASES, FURTHER ASSISTING THE UNIVERSITY OF SOUTH ALABAMA IN ITS MISSION OF EDUCATIONAL PURPOSES. THE CURRENT BALANCE OF THE INSTALLMENT NOTE AT JUNE 30, 2014 IS $3,954,121. (PART X, LINE 23) THIS PURCHASE PROVIDED THE UNIVERSITY WITH THE FUNDS TO FURTHER ITS TAX-EXEMPT PURPOSE, AND TO ENABLE THE UNIVERSITY TO FOCUS ITS ACTIVITIES MORE ON PROVISION OF EDUCATION AND LESS ON THE OWNERSHIP OF PROPERTY. THE PROPERTY, KNOWN AS THE BROOKLEY CAMPUS, IS HELD IN A SUBSIDIARY OF THE UNIVERSITY OF SOUTH ALABAMA FOUNDATION, BROOKLEY BAY FRONT PROPERTIES, LLC, BROOKLEY BAY FRONT PROPERTY, LLC IS CLASSIFIED AS A DISREGARDED ENTITY AS IS LISTED ON SCHEDULE R, PART I. 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