2014-07-14T14:46:27-05:00 2013-08-31 741650885 PADGETT STRATEMANN & CO LLP 811 BARTON SPRINGS ROAD SUITE 550 AUSTIN TX 78704 990 2012-09-01 742275519 TEXAS ASSOCIATION OF SCHOOL BOARDS INC TEXA 5124670222 P O BOX 400 AUSTIN TX 787670400 JAMES B CROW 5124670222 2014-07-14 0 REBECCA BRISCOE P01073764 5124760717 2012 2015-11-30 17:44:51Z JAMES B CROW 12007 RESEARCH BLVD AUSTIN TX 78759 53809338 0 X WWW.TASB.ORG X 1999 TX SEE SUPPLEMENTAL INFO. TO FORM 990 41 41 494 0 1657299 0 190628 194477 45677937 48224644 815981 939047 3200533 3194490 49885079 52552658 237261 80379 0 0 36571455 37159681 5000 0 137812 13263542 14470603 50077258 51710663 -192179 841995 57378071 57800477 20215765 19882230 37162306 37918247 X SEE SUPPLEMENTAL INFO. TO FORM 990 0 1 18999014 21302001 TASB RISK MANAGEMENT FUND (SEE SCHEDULE O) 4130611 3726470 TASB MEMBERSHIP (SEE SCHEDULE O) 3276902 224833 LEADERSHIP TEAM SERVICES (SEE SCHEDULE O) I. BUYBOARD - THROUGH A SERVICE AGREEMENT WITH THE LOCAL GOVERNMENT PURCHASING COOPERATIVE (PURCHASING COOPERATIVE), TASB PROVIDES SUPPORT, MAINTENANCE, AND ADMINISTRATIVE SERVICES FOR ELECTRONIC PURCHASES AND CONSOLIDATED BIDDING ON BEHALF OF GOVERNMENTAL ENTITIES, SUCH AS SCHOOL DISTRICTS, COUNTIES, MUNICIPALITIES, AND SPECIAL DISTRICTS. THE PURCHASING COOPERATIVE SERVED OVER 2,500 GOVERNMENTAL ENTITIES THAT PURCHASED $701 MILLION IN GOODS AND SERVICES DURING THE 2012-13 FISCAL YEAR. THROUGH A SERVICE AND LICENSE AGREEMENT AND A SALES AGREEMENT, TASB ALSO PROVIDES ADMINISTRATIVE AND SALES/MARKETING SUPPORT, RESPECTIVELY, TO THE NATIONAL PURCHASING COOPERATIVE (NATIONAL COOPERATIVE). THE PURCHASING COOPERATIVE AND NATIONAL COOPERATIVE ASSIST THEIR RESPECTIVE MEMBERS BY FACILITATING COMPLIANCE WITH GOVERNMENTAL PROCUREMENT REQUIREMENTS AND PROVIDING MEMBERS WITH ECONOMIES OF SCALE IN PURCHASING SERVICES AND PRODUCTS. AS A RESULT, SCHOOL DISTRICTS AND OTHER GOVERNMENTAL ENTITIES CAN OPERATE MORE EFFICIENTLY AND EFFECTIVELY, THEREBY LESSENING THE BURDENS OF GOVERNMENT. TASB HAS ALSO MADE ONLINE PURCHASING AVAILABLE TO CERTAIN NON-PROFIT ORGANIZATIONS. REVENUE GENERATED FROM THESE NON-PROFITS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND THE FORM 990-T HAS BEEN FILED AS REQUIRED. ALL THREE PURCHASING INSTRUMENTALITIES OPERATE AS, AND ARE KNOWN AS, BUYBOARD, A TASB TRADEMARKED NAME. II. FIRST PUBLIC, LLC (FIRST PUBLIC) DIRECTLY AND THROUGH A SERVICE AGREEMENT WITH LONE STAR INVESTMENT POOL, FIRST PUBLIC PROVIDES INVESTMENT SERVICES TO LOCAL GOVERNMENTS, SUCH AS SCHOOL DISTRICTS, CITIES, COUNTIES, AS WELL AS OTHER GOVERNMENTAL ENTITIES. FIRST PUBLIC ASSISTS THESE ENTITIES IN MANAGING AND PLANNING THEIR INVESTMENT PROGRAMS. THESE SERVICES HELP GOVERNMENTAL ENTITIES REDUCE THE TIME AND EXPENSE OF MANAGING THEIR INVESTMENTS, AND PROVIDE FOR INVESTMENT DIVERSIFICATION. THESE SERVICES ENABLE GOVERNMENTAL ENTITIES TO OPERATE MORE EFFICIENTLY AND EFFECTIVELY, THEREBY LESSENING THE BURDENS OF GOVERNMENT. DURING THE 2012-13 FISCAL YEAR, THERE WAS AN AVERAGE OF 630 PARTICIPATING LOCAL GOVERNMENTS IN THE LONE STAR INVESTMENT POOL. (SEE PART IV LINE 33 STATEMENT IN SCHEDULE O.) THROUGH A SERVICE AGREEMENT, FIRST PUBLIC ALSO PROVIDES OVERALL MANAGEMENT AND PROGRAM ADMINISTRATION TO THE TASB SUPPLEMENTAL EMPLOYEE BENEFITS COOPERATIVE (BENEFITS COOPERATIVE). THE BENEFITS COOPERATIVE WAS CREATED IN AN EFFORT TO ASSIST TEXAS SCHOOL DISTRICTS WITH ATTRACTING AND RETAINING GOOD EMPLOYEES BY PROVIDING VALUABLE SUPPLEMENTAL COVERAGE AND OFFERING PERSONAL INSURANCE LINES TO EMPLOYEES THEREBY LESSENING THE BURDENS OF GOVERNMENT. THE BENEFITS COOPERATIVE IS ORGANIZED UNDER THE INTERLOCAL COOPERATION ACT, AND PARTICIPATING DISTRICTS ESTABLISH MEMBERSHIP BY BECOMING A PARTY TO THE BENEFITS COOPERATIVE'S INTERLOCAL AGREEMENT. FIRST PUBLIC'S PROGRAM ADMINISTRATION ACTIVITIES INCLUDE, BUT ARE NOT LIMITED TO, PROCUREMENT AND SELECTION OF SUPPLEMENTAL BENEFITS PROVIDERS, INFORMATION AND MARKETING, PARTICIPANT ENROLLMENT, AND IMPLEMENTATION OF BENEFITS COOPERATIVE INITIATIVES. THE BENEFITS COOPERATIVE HAS BEEN MADE AVAILABLE TO CHARTER SCHOOLS AND OTHER NON-PROFIT ORGANIZATIONS. REVENUE GENERATED FROM THESE ORGANIZATIONS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND FORM 990-T HAS BEEN FILED AS REQUIRED. THERE WERE OVER 300 PARTICIPANTS IN ONE OR MORE LINES OF COVERAGE DURING FISCAL YEAR 2012-13.III. ONSITE PROVIDES MEMBERS WITH ASSISTANCE ON REGULATORY COMPLIANCE ISSUES, ACCESS TO PROFESSIONAL TRAINING, AND ACCESS TO SERVICES SUCH AS, ASBESTOS AND INTEGRATED PEST MANAGEMENT, INDOOR AIR QUALITY, COMPLIANCE REVIEWS, MAINTENANCE STANDARDIZATION, GROUNDS UNITIZATION, CONSTRUCTION MANAGEMENT, ENERGY EFFICIENCY AND CONSERVATION, AND FACILITY DOCUMENT SCANNING AND ARCHIVING. THESE SERVICES ALLOW PARTICIPANTS TO OPERATE MORE EFFICIENTLY AND EFFECTIVELY, THEREBY LESSENING THE BURDENS OF GOVERNMENT. ONSITE HAS ALSO MADE SUBSCRIPTION AND CONSULTING SERVICES AVAILABLE TO CHARTER SCHOOLS AND OTHER NON-PROFIT ORGANIZATIONS. REVENUE GENERATED FROM THESE ORGANIZATIONS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND FORM 990-T HAS BEEN FILED AS REQUIRED. DURING THE 2012-13 FISCAL YAR, ONSITE HAD 624 PARTICIPANTS AND PERFORMED 474 CONSULTING ENGAGEMENTS.ONSITE PROGRAM REVENUE ALSO INCLUDES ADMINISTRATIVE FEES EARNED THROUGH A SERVICE AGREEMENT BETWEEN TASB AND THE TASB ENERGY COOPERATIVE (ENERGY COOPERATIVE). THE ENERGY COOPERATIVE OFFERS ENERGY AGGREGATION SERVICES THAT SATISFY COMPETITIVE PROCUREMENT REQUIREMENTS FOR SCHOOL DISTRICTS AND OTHER GOVERNMENTAL ENTITIES, AND ALLOWS THEM TO OBTAIN A COMPETITIVE RATE. AS A RESULT, SCHOOL DISTRICTS AND OTHER GOVERNMENTAL ENTITIES CAN OPERATE MORE EFFICIENTLY AND EFFECTIVELY, THEREBY LESSENING THE BURDENS OF GOVERNMENT. THERE WERE 203 ENTITIES PARTICIPATING IN ELECTRICITY AGGREGATION POOLS DURING FISCAL YEAR 2012-13, WITH 592 MILLION KILOWATT-HOURS OF ELECTRICITY PURCHASED. THE ENERGY COOPERATIVE ALSO OFFERS A TRANSPORTATION FUEL PROGRAM THAT PROVIDES FIXED-RATE PRICING FOR FUEL COMMODITIES OVER PRE-SET PERIODS OF TIME, OR TERMS. THERE WERE 36 ENTITIES PARTICIPATING IN THE FUEL PROGRAM DURING FISCAL YEAR 2012-13, WITH 2.0 MILLION GALLONS OF TRANSPORTATION FUEL DELIVERED.IV. HR SERVICES PARTICIPANTS HAVE ACCESS TO PUBLICATIONS, TRAINING, AND EXPERT CONSULTING SERVICES IN THE AREA OF HUMAN RESOURCE MANAGEMENT. SERVICES INCLUDE SALARY SURVEY REPORTS, IN-DISTRICT TRAINING, MODEL JOB DESCRIPTIONS, MODEL EMPLOYEE HANDBOOKS, AND AN HR LIBRARY. THESE SERVICES AND PRODUCTS SUPPORT PUBLIC SCHOOLS AND RELATED ENTITIES, AND LESSEN THE BURDENS OF GOVERNMENT. HR SERVICES HAS ALSO MADE CERTAIN ONLINE RESOURCES AND TRAINING AVAILABLE TO CHARTER SCHOOLS AND OTHER NON-PROFIT ORGANIZATIONS. REVENUE GENERATED BY THESE ORGANIZATIONS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND FORM 990-T HAS BEEN FILED AS REQUIRED. DURING THE 2012-13 FISCAL YEAR, HR SERVICES HAD 985 PARTICIPANTS, PERFORMED 121 CONSULTING ENGAGEMENTS, AND SOLD 5,232 PUBLICATIONS.V. POLICY SERVICE PROVIDES SUBSCRIBERS WITH SERVICES AND RESOURCES THAT HELP SCHOOL DISTRICT TRUSTEES AND SUPERINTENDENTS MASTER THEIR RESPECTIVE ROLES IN PROVIDING EXCELLENT LOCAL GOVERNANCE. SERVICES INCLUDE LEGAL REFERENCE POLICIES AND UPDATES, LOCALIZED POLICY MANUALS, POLICY REVIEW SESSIONS, AND ACCESS TO AN INTERNET-BASED TOOL FOR HOSTING DISTRICT POLICIES. THESE SERVICES SUPPORT PUBLIC SCHOOLS AND RELATED ENTITIES, AND LESSEN THE BURDENS OF GOVERNMENT. POLICY SERVICE HAS ALSO MADE LIBRARY SUBSCRIPTIONS, POLICY REFERENCE MANUALS, AND CONSULTING SERVICES AVAILABLE TO CHARTER SCHOOLS AND OTHER NON-PROFIT ORGANIZATIONS. REVENUE GENERATED FROM THESE ORGANIZATIONS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND FORM 990-T HAS BEEN FILED AS REQUIRED. THERE WERE 1,100 SUBSCRIBERS TO POLICY SERVICE DURING FISCAL YEAR 2012-13.VI. TASB'S MEDICAID SMART (SITE-BASED MEDICAID ADMINISTRATION, REIMBURSEMENT AND TRACKING) PROGRAM HELPS TEXAS SCHOOL DISTRICTS SEEK REIMBURSEMENT FOR SERVICES ELIGIBLE UNDER THE SCHOOL HEALTH AND RELATED SERVICES PROGRAM, THEREBY LESSENING THE BURDENS OF GOVERNMENT. PARTICIPATING DISTRICTS HAVE THE ABILITY TO FILE MEDICAID CLAIMS ELECTRONICALLY AND IN COMPLIANCE WITH GOVERNMENTAL REQUIREMENTS. ELECTRONIC FILING IS COST EFFECTIVE AND IS AN EFFICIENT WAY TO MAXIMIZE DISTRICT REIMBURSEMENTS WHILE MAINTAINING CONTROL OVER MEDICAID CLAIMS. TASB HAS ALSO MADE THIS SERVICE AVAILABLE TO CHARTER SCHOOLS AND OTHER NON-PROFIT ORGANIZATIONS. REVENUE GENERATED FROM THESE ORGANIZATIONS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND FORM 990-T HAS BEEN FILED AS REQUIRED. DURING FISCAL YEAR 2012-13, THERE WERE 123 PARTICIPANTS IN THE PROGRAM AND TASB PROCESSED AND SUBMITTED OVER $36 MILLION IN MEDICAID CLAIMS ON THEIR BEHALF.VII. LEGAL SERVICES - IN ADDITION TO SUPPORTING MEMBERSHIP ACTIVITIES, LEGAL SERVICES OFFERS IN-SERVICE TRAINING, SEMINARS, PUBLICATIONS, AND VIDEOS ON LEGAL TOPICS FOR EDUCATIONAL AND INFORMATIONAL PURPOSES. TRAINING ATTENDANCE AND PUBLICATIONS/VIDEOS SOLD TOTALED MORE THAN 840 AND 420 RESPECTIVELY, DURING FISCAL YEAR 2012-13. UNDER A SERVICE AGREEMENT WITH THE TASB LEGAL ASSISTANCE FUND (LAF), A 501(C)(4) TAX EXEMPT ENTITY, TASB PROVIDES ADMINISTRATIVE SERVICES TO LAF, PRIMARILY THROUGH LEGAL SERVICES. LAF'S MISSION IS TO ASSIST PARTICIPATING TEXAS SCHOOL DISTRICTS BY ADVOCATING ON ISSUES OR CAUSES THAT GENERALLY AFFECT, OR WILL AFFECT, THE PUBLIC SCHOOLS OF THE STATE OF TEXAS. AS OF AUGUST 31, 2013, LAF HAD 752 MEMBERS. THESE SERVICES SUPPORT PUBLIC SCHOOLS AND RELATED ENTITIES, AND LESSEN THE BURDENS OF GOVERNMENT. 15271274 80379 22971340 VIII. BOARDBOOK IS A WEB-BASED SOFTWARE APPLICATION THAT HELPS SCHOOL DISTRICTS AND OTHER SUBSCRIBERS ASSEMBLE BOARD MEETING PACKETS IN A CONSISTENT, EFFICIENT MANNER, AND PROVIDES FOR PAPERLESS MEETINGS. ASSEMBLED MATERIALS ARE AVAILABLE VIA THE WEB AND CAN INCLUDE LINKS TO OTHER DOCUMENTS. THE APPLICATION ALLOWS FOR SEARCHES OF ARCHIVED BOARD MEETING PACKETS AND MINUTES. THE PUBLIC CAN VIEW POSTED MEETING NOTICES, AGENDA PACKETS, AND MINUTES ON A DISTRICT'S WEBSITE. BY USING BOARDBOOK, DISTRICTS ARE ABLE TO OPERATE MORE EFFICIENTLY AND EFFECTIVELY, THEREBY LESSENING THE BURDENS OF GOVERNMENT. THERE WERE MORE THAN 580 TEXAS AND 450 OUT-OF-STATE GOVERNMENTAL ENTITIES SUBSCRIBING TO BOARDBOOK DURING FISCAL YEAR 2012-13. TASB HAS ALSO MADE BOARDBOOK AVAILABLE TO PRIVATE ORGANIZATIONS INSIDE AND OUTSIDE OF THE STATE OF TEXAS. REVENUE GENERATED FROM THESE ORGANIZATIONS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND FORM 990-T HAS BEEN FILED AS REQUIRED.IX. EXECUTIVE SEARCH SERVICES (ESS) IS A CONSULTING SERVICE DEDICATED TO HELPING DISTRICTS FIND A CHIEF EXECUTIVE OFFICER OR OTHER KEY ADMINISTRATOR. ESS OFFERS APPLICATION-ONLY SEARCHES OR COMPLETE SEARCHES. COMPLETE SEARCHES INCLUDE ASSISTANCE AT EACH STAGE OF THE PROCESS, FROM ASSESSMENT AND PLANNING TO OFFERING SCREENING ASSISTANCE FOR DECISION MAKERS. BY UTILIZING ESS SERVICES, DISTRICTS ARE ABLE TO OPERATE MORE EFFICIENTLY AND EFFECTIVELY, THEREBY LESSENING THE BURDENS OF GOVERNMENT. ESS CONDUCTED 26 SEARCHES DURING FISCAL YEAR 2012-13. TASB HAS ALSO MADE ITS WEB-BASED ELECTRONIC APPLICATION/MANAGEMENT TOOL, APPLI, AVAILABLE TO A FEW OUT-OF-STATE NON-PROFIT ORGANIZATIONS. REVENUE GENERATED FROM THESE NON-PROFIT ORGANIZATIONS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND FORM 990-T HAS BEEN FILED AS REQUIRED.X. TEXAS CENTER FOR EDUCATIONAL RESEARCH (TCER) - THROUGH A SERVICE AGREEMENT WITH TCER, A TEXAS NON-PROFIT CORPORATION EXEMPT UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE, TASB PROVIDES ADMINISTRATIVE SERVICES, CONDUCTS EDUCATIONAL RESEARCH, AND DISSEMINATES INFORMATION ON PUBLIC EDUCATION ISSUES IN FURTHERANCE OF TCER'S MISSION. TCER'S MISSION IS TO PROVIDE INDEPENDENT, NONPARTISAN RESEARCH ON PUBLIC SCHOOLS. THESE ACTIVITIES ASSIST GOVERNMENT BY PROVIDING RESEARCH THAT IS COST EFFECTIVE, EFFICIENT, AND CONFERS A BENEFIT UPON SCHOOL DISTRICTS.XI. OTHER REVENUE INCLUDES, BUT IS NOT LIMITED TO, REVENUE GENERATED THROUGH LEGISLATIVE UPDATE SEMINARS, SUPERINTENDENT SECRETARY CONFERENCES, SALES OF VARIOUS TASB PRODUCTS AND PUBLICATIONS, COMMUNITY SURVEY SERVICES, AND INTERNAL AUDIT SERVICES. THESE SERVICES AND PRODUCTS SUPPORT PUBLIC SCHOOLS AND RELATED ENTITIES, THEREBY LESSENING THE BURDENS OF GOVERNMENT. REVENUE GENERATED FROM THE SALE OF CERTAIN ITEMS AND FOR THE PROVISION OF CERTAIN SERVICES TO CHARTER SCHOOLS AND OTHER NON-PROFIT ORGANIZATIONS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND FORM 990-T HAS BEEN FILED AS REQUIRED. 15271274 80379 22971340 41677801 1 1 0 1 0 0 0 0 0 0 1 0 0 0 0 1 0 1 0 0 1 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 95 0 494 1 1 1 0 0 0 0 1 1 0 0 0 0 X 41 41 0 0 1 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X JAMES B CROW EXECUTIVE DIRECTOR 5124670222 12007 RESEARCH BLVD AUSTIN TX 787592439 VIOLA GARCIA 3.00 X X 0 0 0 FAYE BEAULIEU 3.00 X X 299 0 0 ANDRA SELF 3.00 X X 0 0 0 BRET BEGERT 3.00 X X 910 0 0 GLORIA CASAS 3.00 X X 720 0 0 GARY W INMON 3.00 X 559 0 0 JOE ADAMS 1.00 X 0 0 0 MARILYN BETTES 1.00 X 0 0 0 ANN CALAHAN 1.00 X 0 0 0 JOSHUA CERNA 1.00 X 0 0 0 RICHARD CHAMBERS 1.00 X 0 0 0 FRED CONTRERAS 1.00 X 108 0 0 DESIREE CORNELIUS-FISHER 1.00 X 0 0 0 RON CRIER 1.00 X 0 0 0 JAMES DE GARAVILLA 1.00 X 0 0 0 KAREN ELLIS 1.00 X 0 0 0 TERESA FLORES 1.00 X 0 0 0 KAREN FREEMAN 1.00 X 0 0 0 DONALD GANT 1.00 X 0 0 0 JAMES GOODE 1.00 X 0 0 0 LINDA GRIFFIN 1.00 X 0 0 0 MANUEL GUAJARDO JR 1.00 X 651 0 0 PATRICIA HUGHES 1.00 X 0 0 0 SANDY HUGHEY 1.00 X 0 0 0 TOM JACKSON 1.00 X 0 0 0 MARIA LEAL 1.00 X 630 0 0 LEE LENTZ-EDWARDS 1.00 X 0 0 0 MICHAEL LUNCEFORD 1.00 X 0 0 0 BENNY MAY 1.00 X 0 0 0 MELANIE MORRIS 1.00 X 0 0 0 CHRISTENE MOSS 1.00 X 0 0 0 VERNAGENE MOTT 1.00 X 0 0 0 LORI MOYA 1.00 X 0 0 0 ROBERT PAYTON 1.00 X 0 0 0 GLORIA PENA 1.00 X 0 0 0 CARLA RANGER 1.00 X 0 0 0 PAMELA REMMERS 1.00 X 0 0 0 MARTY REYES 1.00 X 0 0 0 JIM RICE 1.00 X 0 0 0 ROBERT SHEPPARD 1.00 X 0 0 0 CHARLES STAFFORD 1.00 X 0 0 0 SUSAN THAMES 1.00 X 0 0 0 CARLOS VASQUEZ 1.00 X 0 0 0 CARMEN MORENO 1.00 X 0 0 0 JAMES CROW 40.00 X 319690 0 74056 STEVEN MC ARTHUR 40.00 X 178792 0 34943 PAUL SZANISZLO 40.00 X 293114 0 63942 DUBRAVKA ROMANO 40.00 X 272560 0 37219 JACKIE LAIN 40.00 X 200191 0 28555 SEDORA JEFFERSON 40.00 X 198615 0 30598 CATHERINE CLARK 40.00 X 203377 0 27916 ERIC HUNGATE 40.00 X 176316 0 25771 NANCY COTTON 40.00 X 179550 0 27799 STEVE ORTA 40.00 X 201866 0 29540 TRENT TOON 40.00 X 185339 0 28298 DANIEL CALLAHAN 40.00 X 156461 0 15422 WILLIAM MASTRODICASA 40.00 X 143856 0 34969 GERALD BRASHEARS 40.00 X 143571 0 13534 2857175 0 472562 43 0 1 0 FREEMAN AUDIO VISUAL PO BOX 650519 DALLAS TX 75265 AUDIO/VIDEO SERVICES 305568 GLOBAL MAINTENANCE 2211 DENTON DRIVE AUSTIN TX 78758 CLEANING SERVICES 202089 FREEMAN DECORATING SERVICES PO BOX 650036 DALLAS TX 75265 EVENT DECOR SERVICES 174228 TRANSWESTERN COMMERCIAL SERVICES 8911 N CAPTIAL OF TX HWY 1105 AUSTIN TX 78759 PROPERTY MANAGEMENT FEES 135705 MITCHELL INTERNATIONAL INC PO BOX 846946 LOS ANGELES CA 90084 MEDICAL TRANSACTION SRVC 104599 5 X 3460 191017 1345 194477 TASB RISK MGMT FUND 524292 21302001 21302001 BUYBOARD 561000 5476737 5272138 204599 FIRST PUBLIC 523000 3819116 3816998 2118 TASB MEMBERSHIP 900099 3726470 3723444 3026 POLICY SERVICE 900099 3243726 3096776 146950 10656594 9605019 893425 158150 48224644 861427 861427 2509767 2509767 417908 347418 70490 70490 70490 954628 22975 874816 25167 79812 -2192 77620 77620 0 3460 4702 -4702 -4702 6663 4577 2086 2086 CHILD CARE SERVICES 624410 524445 312691 211754 ADVERTISING 541800 92404 92404 616849 52552658 46816376 1657299 3884506 80379 80379 2252846 1020286 1232560 26320923 22004301 4223648 92974 2210218 1846754 354478 8986 4385825 3668588 704173 13064 1989869 1664030 319405 6434 132660 132660 121416 121416 90000 90000 47622 47622 402276 339144 63132 285262 238806 45838 618 841259 706858 133746 655 1548161 1297625 249074 1462 131632 131632 2063802 1726828 331459 5515 1934240 1513379 417280 3581 6201 6201 2496118 1993292 501209 1617 6576 6576 2681095 2249342 431753 284530 284530 MISCELLANEOUS 353054 289654 60809 2591 MAINTENANCE & REPAIRS 293813 246498 47315 PUBLICATIONS/SUBSCRIPT/ 276010 231562 44448 PRINTING 211492 188342 23110 40 263384 144300 118809 275 51710663 41677801 9895050 137812 725 725 3576629 3169460 2526959 2937236 65800 54527 1165632 1248656 41130253 15438931 26240025 25691322 23802301 24698551 57378071 57800477 4459969 4607692 2765643 2855720 12990153 12418818 20215765 19882230 X 37162306 37918247 37162306 37918247 57378071 57800477 841995 -86054 0 X X 0 1 X 1 0 X 347369 214802 173312 190628 194477 1120588 41963119 42708410 43863616 44465119 46814031 219814295 1136122 1132802 1085103 470396 462307 4286730 43446610 44056014 45122031 45126143 47470815 225221613 0 7265124 7257048 7301650 6843953 7394450 36062225 7265124 7257048 7301650 6843953 7394450 36062225 189159388 3521896 3170928 3823309 3745791 3789102 18051026 84907 46536 131443 3521896 3170928 3823309 3830698 3835638 18182469 7639 2956 5488 2924 4537 23544 46976145 47229898 48950828 48959765 51310990 243427626 0.77710 0.77440 0.07470 0.07660 X SCHEDULE A, PART II, LINE 12, EXPLANATION OF OTHER INCOME: MISCELLANEOUS INCOME - 2008 AMOUNT: $ 7,639. 2009 AMOUNT: $ 2,956. 2010 AMOUNT: $ 5,488. 2011 AMOUNT: $ 2,924. 2012 AMOUNT: $ 4,537. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 0 1 58617 1 28499 0 1 249751 1 158949 0 495816 0 EXPLANATION OF LOBBYING ACTIVITIES: PART II-B, LINE 1: LOBBYING ACTIVITIES CONSIST OF COMMUNICATING THE NEEDS OF SCHOOL DISTRICTS TO LEGISLATIVE AND EXECUTIVE OFFICIALS AND STAFF, AND COMMUNICATING WITH THE MEMBERSHIP TO ENCOURAGE THEM TO INFLUENCE LEGISLATION. SINCE STAFF INVOLVED IN LOBBYING ACTIVITIES IS ALSO INVOLVED IN NON-LOBBYING ACTIVITIES, COSTS HAVE BEEN ALLOCATED TO LOBBYING ACTIVITIES BASED UPON A SYSTEMATIC APPLICATION OF ESTIMATED PERCENTAGES OF INVOLVEMENT IN LOBBYING, IN BOTH LEGISLATIVE AND NON-LEGISLATIVE PERIODS THROUGHOUT THE YEAR, AS WELL AS SPECIFIC IDENTIFICATION OF SOME OF THE COSTS. NO AMOUNTS ARE EXPENDED FOR POLITICAL CAMPAIGN ACTIVITY. 2045650 2045650 20394925 3865307 16529618 2193337 1817847 375490 16496341 9755777 6740564 25691322 X 52825493 -86054 358889 272835 52552658 0 52552658 52069552 358889 358889 51710663 0 51710663 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: BASED UPON A DETERMINATION LETTER OBTAINED FROM THE INTERNAL REVENUE SERVICE (IRS), TASB CLAIMS EXEMPTION FROM INCOME TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. TASB CONTINUES TO OPERATE IN ACCORDANCE WITH ITS ORIGINAL EXEMPT PURPOSE. AS TASB CONSIDERS NEW PROGRAMS, ACTIVITIES, AND MARKETS, EACH OPPORTUNITY IS EVALUATED TO ASSURE IT IS IN KEEPING WITH THAT ORIGINAL EXEMPT PURPOSE. NO PROVISION OR LIABILITY FOR INCOME TAXES HAS BEEN MADE IN THE FINANCIAL STATEMENTS. ANNUALLY, TASB FILES A FORM 990 - RETURN OF ORGANIZATION EXEMPT FROM INCOME TAX AND A FORM 990-T - EXEMPT ORGANIZATION BUSINESS INCOME TAX RETURN, IN THE UNITED STATES FEDERAL JURISDICTION. WHEN APPLICABLE, NEW PROGRAMS CREATED, ACTIVITIES CONDUCTED, AND MARKETS ENTERED INTO BY TASB, ARE DISCLOSED TO THE IRS ON THE FORM 990. IN ADDITION, UNRELATED BUSINESS INCOME DERIVED FROM CERTAIN TASB ACTIVITIES IS DISCLOSED TO THE IRS ON THE FORM 990-T, AS REQUIRED. TO DATE, THESE ACTIVITIES HAVE NOT RESULTED IN A TAX LIABILITY. WITH A FEW EXCEPTIONS, TASB IS NO LONGER SUBJECT TO UNITED STATES FEDERAL EXAMINATIONS BY TAXING AUTHORITIES FOR YEARS PRIOR TO THE YEAR ENDED AUGUST 31, 2009. FIRST PUBLIC IS INCLUDED IN THE CONSOLIDATED FEDERAL INCOME TAX RETURN FILED BY TASB. PART XI, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD ON LOGO ITEMS AND PLAQUES 4,577. EXPENSES ASSOCIATED WITH THE TASB BUILDING SPACE LEASED TO TENANTS 347,418. LOSS ON SALE OF EQUIPMENT 2,192. ALLOCATION OF FUNDRAISING EVENT EXPENSES 4,702. PART XII, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD ON LOGO ITEMS AND PLAQUES 4,577. EXPENSES ASSOCIATED WITH THE TASB BUILDING SPACE LEASED TO TENANTS 347,418. LOSS ON SALE OF EQUIPMENT 2,192. ALLOCATION OF FUNDRAISING EVENT EXPENSES 4,702. EUROPE 0 0 PROGRAM SEE SCH F, PART VFOOTNOTE: TASB SERVES AS PROGRAM ADMINISTRATOR FOR THE TASB RISK MANAGEMENT FUND (FUND), AN INTERLOCAL RISK-SHARING GOVERNMENTAL POOL. ADMINISTRATIVE SERVICES INCLUDE THE SEARCH, EVALUATION, AND SELECTION OF INSURANCE-RELATED SERVICES AND PRODUCTS ON BEHALF OF THE FUND. EXPENSES REPORTED IN SCHEDULE F PART I, LINE 3, CONSIST OF CERTAIN TASB STAFF'S TRAVEL TO LONDON FOR MEETINGS WITH INSURANCE BROKERS REGARDING PROCUREMENT OF SUPPLEMENTAL COVERAGE TO ASSURE THE POOL'S RISKS ARE MANAGED APPROPRIATELY. TASB DOES NOT CONDUCT OTHER BUSINESS, HOLD OFFICES, OR PROVIDE SERVICES IN FOREIGN REGIONS, EXCEPT HAVING TWO BOARDBOOK SUBSCRIPTIONS IN CANADA. 12343 NORTH AMERICA 0 0 PROGRAM SEE SCH F, PART V 0 0 0 0 0 0 12343 0 12343 0 0 0 0 0 0 1 TEXAS CENTER FOR EDUCATIONAL RESEARCH PO BOX 400 AUSTIN TX 78767 742504826 501(C)(3) 67528 0 N/A N/A SUPPORT 1 1 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: TASB DOES NOT ISSUE GRANTS PER SE. INSTEAD, TASB PROVIDED ASSISTANCE TO AN ORGANIZATION DURING FISCAL YEAR 2012-13 IN THE FORM OF A CONTRIBUTION. TASB PROVIDED FUNDS TO TEXAS CENTER FOR EDUCATIONAL RESEARCH (TCER), IN ORDER TO SUPPORT TCER'S OPERATIONS DURING THE FISCAL YEAR. TCER IS A NON-PROFIT CORPORATION ESTABLISHED TO RESEARCH, COLLECT, AND DISSEMINATE INFORMATION IN ALL AREAS OF PUBLIC EDUCATION. TASB BOARD APPROVAL FOR THIS CONTRIBUTION IS DOCUMENTED AS PART OF TASB'S ANNUAL BUDGET. X 1 1 X X X X 0 1 0 1 0 1 0 0 0 JAMES CROW 250467 0 25941 0 43282 0 50000 0 24056 0 393746 0 0 0 STEVEN MC ARTHUR 136543 0 11789 0 30460 0 16636 0 18307 0 213735 0 0 0 PAUL SZANISZLO 239046 0 25748 0 28320 0 42500 0 21442 0 357056 0 0 0 DUBRAVKA ROMANO 216470 0 20748 0 35342 0 27005 0 10214 0 309779 0 0 0 JACKIE LAIN 145285 0 27912 0 26994 0 17771 0 10784 0 228746 0 0 0 SEDORA JEFFERSON 159967 0 7748 0 30900 0 18109 0 12489 0 229213 0 0 0 CATHERINE CLARK 161690 0 10748 0 30939 0 16482 0 11434 0 231293 0 0 0 ERIC HUNGATE 148820 0 5789 0 21707 0 15328 0 10443 0 202087 0 0 0 NANCY COTTON 145949 0 10789 0 22812 0 16350 0 11449 0 207349 0 0 0 STEVE ORTA 148815 0 39692 0 13359 0 16676 0 12864 0 231406 0 0 0 TRENT TOON 88360 0 79960 0 17019 0 11167 0 17131 0 213637 0 0 0 DANIEL CALLAHAN 85510 0 68464 0 2487 0 7957 0 7465 0 171883 0 0 0 WILLIAM MASTRODICASA 131199 0 6789 0 5868 0 14670 0 20299 0 178825 0 0 0 GERALD BRASHEARS 99024 0 20761 0 23786 0 12192 0 1342 0 157105 0 0 0 PART I, LINE 1B REIMBURSEMENT FOR HEALTH CLUB DUES IS RECEIVED BY ONE EMPLOYEE, JAMES CROW. REIMBURSEMENT IS TREATED AS TAXABLE INCOME. REIMBURSEMENT FOR SOCIAL CLUB DUES IS RECEIVED BY TWO EMPLOYEES, JAMES CROW AND JACKIE LAIN. REIMBURSEMENT IS TREATED AS TAXABLE INCOME. HEALTH AND SOCIAL CLUB DUES ARE PROVIDED FOR IN THE EXECUTIVE DIRECTOR'S, JAMES CROW, EMPLOYMENT CONTRACT. THE CONTRACT IS APPROVED BY THE TASB BOARD OF DIRECTORS. REIMBURSEMENT OF SOCIAL CLUB DUES TO THE OTHER EMPLOYEE IS AUTHORIZED BY THE EXECUTIVE DIRECTOR BASED ON BUSINESS NECESSITY. PART I, LINE 4B SUPPLEMENTAL NON-QUALIFIED RETIREMENT PLAN - THREE EMPLOYEES PARTICIPATE: JAMES CROW ($25,000), CHRIS SZANISZLO ($17,500), AND DUBRAVKA ROMANO ($19,000). PART I, LINE 5 COMPENSATION CONTINGENT ON REVENUE - FOUR LISTED EMPLOYEES ARE AFFECTED BY A COMMISSION PLAN THAT USES REVENUE GENERATED FROM VARIOUS PROGRAMS TO DETERMINE COMMISSION AMOUNTS PAID. EACH PLAN HAS ESTABLISHED ANNUAL REVENUE BENCHMARKS THAT MUST BE EXCEEDED IN ORDER FOR THE EMPLOYEE TO BE AWARDED A BONUS. BONUSES ARE CALCULATED ON AMOUNTS IN EXCESS OF THE ESTABLISHED BENCHMARKS FOR INDIVIDUAL PROGRAMS. EACH PLAN INCLUDES A MAXIMUM PERCENTAGE OF THE EMPLOYEE'S ANNUAL BASE SALARY THAT CAN BE AWARDED AS A BONUS. PART I, LINE 6 THE COMPENSATION PLAN FOR THE TASB EXECUTIVE DIRECTOR, JAMES CROW, INCLUDES A BONUS PLAN THAT IN PART, CONSIDERS NET EARNINGS OF THE ORGANIZATION. THE INCENTIVE PLAN, APPROVED BY THE TASB BOARD OF DIRECTORS, CONSISTS OF SIX DIFFERENT PERFORMANCE METRICS, INCLUDING FISCAL-YEAR NET EARNINGS OF THE ORGANIZATION. EACH OF THE SIX METRICS IS EVALUATED INDIVIDUALLY USING CRITERIA ESTABLISHED IN THE INCENTIVE PLAN AND CONTAINS A WEIGHTING FACTOR. A TARGET AND MAXIMUM BONUS AMOUNT EXISTS FOR EACH PERFORMANCE METRIC. ORGANIZATION MISSION STATEMENT FORM 990, PAGE 1, LINE 1, MISSION STATEMENT: TASB'S MISSION IS TO PROMOTE EDUCATIONAL EXCELLENCE FOR TEXAS SCHOOL CHILDREN THROUGH ADVOCACY, VISIONARY LEADERSHIP, AND HIGH QUALITY SERVICES TO SCHOOL DISTRICTS. TASB'S WIDE ARRAY OF SERVICES LESSEN THE BURDENS OF GOVERNMENT FOR SCHOOL DISTRICTS AND OTHER GOVERNMENTAL ENTITIES LOCATED IN TEXAS AND OTHER STATES. FORM 990, PAGE 1, BOX L, YEAR OF FORMATION: TEXAS ASSOCIATION OF SCHOOL BOARDS WAS INITIALLY FORMED AS AN UNINCORPORATED ASSOCIATION IN 1949. IN 1999, TEXAS ASSOCIATION OF SCHOOL BOARDS MERGED WITH ITS RELATED NON-PROFIT CORPORATE ENTITY BECOMING THE TEXAS ASSOCIATION OF SCHOOL BOARDS, INC. (TASB). ORGANIZATION MISSION STATEMENT FORM 990, PART III, LINE 1, ORGANIZATION'S MISSION: TASB'S MISSION IS TO PROMOTE EDUCATIONAL EXCELLENCE FOR TEXAS SCHOOL CHILDREN THROUGH ADVOCACY, VISIONARY LEADERSHIP, AND HIGH QUALITY SERVICES TO SCHOOL DISTRICTS. TASB'S WIDE ARRAY OF SERVICES LESSEN THE BURDENS OF GOVERNMENT FOR SCHOOL DISTRICTS AND OTHER GOVERNMENTAL ENTITIES LOCATED IN TEXAS AND OTHER STATES. CHANGES IN PROGRAM SERVICES FORM 990, PART III, LINE 3 PRIOR TO SEPTEMBER 1, 2012, FIRST PUBLIC, LLC, TASB'S WHOLLY-OWNED SUBSIDIARY, ASSISTED LOCAL GOVERNMENTS WITH THE ISSUANCE OF TAX-EXEMPT DEBT THROUGH MUNICIPAL BOND UNDERWRITINGS. FIRST PUBLIC DISCONTINUED ITS MUNICIPAL BOND UNDERWRITING ACTIVITIES AS OF THE YEAR ENDED AUGUST 31, 2012. TASB SERVES AS ADMINISTRATOR OF THE TEXAS CENTER FOR EDUCATIONAL RESEARCH (TCER), A TEXAS NONPROFIT CORPORATION. (SEE PART III LINE 4 ITEM X.) ON FEBRUARY 5, 2013, TCER'S BOARD ADOPTED A RESOLUTION PROVIDING FOR THE DISSOLUTION OF TCER AS OF AUGUST 31, 2013, AND A PLAN TO IMPLEMENT SUCH DISSOLUTION. TCER'S RESEARCH PROJECTS WERE COMPLETED DURING THE 2012-13 FISCAL YEAR, AND ITS CORPORATE EXISTENCE WAS TERMINATED EFFECTIVE SEPTEMBER 17, 2013. TASB WILL CONTINUE TO PROVIDE LIMITED ADMINISTRATIVE SUPPORT DURING THE THREE-YEAR STATUTORY LIMITATIONS PERIOD FOR THE DISSOLVED CORPORATION. PROGRAM SERVICE STATEMENT FORM 990, PART III, LINE 4A, STATEMENT OF PROGAM SERVICE ACCOMPLISHMENTS: TASB RISK MANAGEMENT FUND (FUND) - THROUGH A SERVICE AGREEMENT, TASB PROVIDES OVERALL MANAGEMENT AND PROGRAM ADMINISTRATION TO THE TASB RISK MANAGEMENT FUND (THE FUND), AN INTERGOVERNMENTAL RISK SHARING POOL FOR TEXAS SCHOOL DISTRICTS AND OTHER EDUCATIONAL-RELATED GOVERNMENTAL ENTITIES. THE FUND OFFERS WORKERS' COMPENSATION, UNEMPLOYMENT COMPENSATION, PROPERTY, LIABILITY (SCHOOL PROFESSIONAL AND GENERAL) AND AUTO (PHYSICAL DAMAGE AND LIABILITY) COVERAGE TO ITS MEMBERS. TASB'S PROGRAM ADMINISTRATION ACTIVITIES INCLUDE UNDERWRITING, MARKETING, CLAIMS ADMINISTRATION, LOSS PREVENTION, FINANCIAL MANAGEMENT AND OTHER MANAGEMENT AND OVERSIGHT SERVICES. THE COVERAGE PROVIDED BY THE FUND AND SERVICES PROVIDED BY TASB ON THE FUND'S BEHALF, ARE DESIGNED TO REDUCE AND MINIMIZE THE RISK OF LOSS BY THE FUND'S MEMBERS THROUGH EFFECTIVE LOSS PREVENTION, CLAIMS ADMINISTRATION AND OTHER ACTIVITIES, THEREBY LESSENING THE BURDENS OF GOVERNMENT. THE FUND PROVIDED COVERAGE TO ALMOST 1,100 MEMBERS DURING THE 2012-13 FISCAL YEAR. PROGRAM SERVICE STATEMENT FORM 990, PART III, LINE 4B, STATEMENT OF PROGAM SERVICE ACCOMPLISHMENTS: TASB MEMBERSHIP PROVIDES TEXAS SCHOOL DISTRICTS AND OTHER GOVERNMENTAL ENTITIES WITH THE OPPORTUNITY TO PARTICIPATE IN A WIDE ARRAY OF PROGRAMS AND SERVICES WHICH ALLOWS THEM TO OPERATE MORE EFFICIENTLY AND EFFECTIVELY, THEREBY LESSENING THE BURDENS OF GOVERNMENT. MEMBERSHIP PROVIDES FOR MEMBER INVOLVEMENT AND THE EXCHANGE OF IDEAS FOR IMPROVING THE EDUCATIONAL ENVIRONMENT IN TEXAS FOR PUBLIC SCHOOLS. BASIC MEMBER SERVICES INCLUDE, BUT ARE NOT LIMITED TO: GOVERNMENTAL RELATIONS, REPRESENTING THE INTERESTS OF MEMBERS AT THE TEXAS LEGISLATURE; OPPORTUNITIES TO PARTICIPATE IN THE ANNUAL CONVENTION, WORKSHOPS, AND OTHER SEMINARS; BOARD TRAINING CREDIT TRACKING; AND A SUBSCRIPTION TO TASB'S FLAGSHIP PUBLICATION, TEXAS LONE STAR. IN ADDITION, TASB PROVIDES LEGAL ADVICE AND SUPPORT TO MEMBER DISTRICTS. TASB ATTORNEYS ARE KNOWLEDGEABLE ABOUT PUBLIC SCHOOL ISSUES AND PROVIDE COUNSEL TO SCHOOL BOARD TRUSTEES AND THEIR ADMINISTRATORS AND ATTORNEYS DAILY. THROUGH TASB MEMBERSHIP, OTHER SERVICES AND PROGRAMS ARE AVAILABLE TO MEMBERS ON A FEE-FOR-SERVICE BASIS. TASB SERVICES WERE MADE AVAILABLE TO 1,050 ACTIVE AND 225 ASSOCIATE MEMBERS IN 2013. IN ADDITION, TASB PROVIDED 28 AFFILIATE MEMBERSHIPS TO NON-PROFIT ORGANIZATIONS, SUCH AS CHARTER SCHOOLS, DURING THE SAME PERIOD. REVENUE GENERATED FROM THESE AFFILIATE MEMBERSHIPS HAS BEEN REPORTED AS UNRELATED BUSINESS INCOME ON THIS FORM 990, AND THE FORM 990-T HAS BEEN FILED AS REQUIRED. PROGRAM SERVICE STATEMENT FORM 990, PART III, LINE 4C, STATEMENT OF PROGAM SERVICE ACCOMPLISHMENTS: LEADERSHIP TEAM SERVICES IS COMMITTED TO ENHANCING THE EFFECTIVENESS OF LEADERSHIP TEAMS THROUGH TRAINING, PUBLICATIONS, PLANNING AND CONSULTING, AND FACILITATION SERVICES CREATED SPECIFICALLY FOR SCHOOL BOARDS. TRAINING OPPORTUNITIES INCLUDE IN-DISTRICT TRAINING, TEAM BUILDING SESSIONS, LEADERSHIP TASB, TASB ISD, AND THE ONLINE LEARNING CENTER. CONFERENCES INCLUDE ANNUAL CONVENTION HOSTED JOINTLY WITH ANOTHER NONPROFIT ASSOCIATION, AND SUMMER LEADERSHIP INSTITUTE. THESE SERVICES AND PRODUCTS SUPPORT PUBLIC SCHOOLS AND RELATED ENTITIES, AND LESSEN THE BURDENS OF GOVERNMENT. DURING FISCAL YEAR 2012-13, LEADERSHIP TEAM SERVICES PERFORMED 168 CONSULTING ENGAGEMENTS, SOLD 1,059 PUBLICATIONS, AND PROVIDED TRAINING TO 6,887 CONFERENCE ATTENDEES. FORM 990, PART IV, LINE 33, OWNERSHIP OF DISREGARDED ENTITY: FOOTNOTE: FIRST PUBLIC, A REGISTERED BROKER-DEALER, IS A WHOLLY OWNED SUBSIDIARY OF TASB AND A DISREGARDED ENTITY FOR FEDERAL TAX PURPOSES. FIRST PUBLIC IS MANAGER-MANAGED. THE MANAGING DIRECTOR IS APPOINTED BY THE TASB BOARD'S FIRST PUBLIC GOVERNANCE COMMITTEE. ACTIVITIES OF FIRST PUBLIC AND APPLICABLE DISCLOSURES ARE CONSOLIDATED WITH TASB IN THIS 2012 IRS FORM 990. FORM 990, PART VI, SECTION A, LINE 1 THE FIRST PUBLIC GOVERNANCE COMMITTEE IS A COMMITTEE OF THE TASB BOARD, COMPOSED OF THE BOARD OFFICERS AND EXECUTIVE DIRECTOR AS VOTING MEMBERS. THIS COMMITTEE REPRESENTS THE INTERESTS OF THE TASB BOARD AS IT RELATES TO FIRST PUBLIC, AN ENTITY WHOSE SOLE MEMBER IS TASB (AND A DISREGARDED ENTITY FOR FEDERAL TAX PURPOSE). PURSUANT TO TASB BOARD POLICY, THIS COMMITTEE HAS THE AUTHORITY TO TAKE ALL ACTION RELATED TO TASB AS THE SOLE MEMBER OF FIRST PUBLIC, INCLUDING THE HIRING AND FIRING OF FIRST PUBLIC'S MANAGING DIRECTOR. FOOTNOTE: TASB BYLAWS PROVIDE THAT THE BOARD SHALL CONSIST OF 44 MEMBERS, AND THAT EACH VACANCY WILL REDUCE FULL BOARD MEMBERSHIP BY ONE UNTIL THE VACANCY IS FILLED. BECAUSE OF THREE UNFILLED VACANCIES, BOARD MEMBERSHIP CONSISTED OF 41 MEMBERS AS OF AUGUST 31, 2013. FORM 990, PART VI, SECTION A, LINE 4 THE TASB BYLAWS WERE CHANGED IN SEPTEMBER 2013, GRANTING THE BOARD OF DIRECTORS COMPLETE DISCRETION WITH RESPECT TO DEFINING AFFILIATE MEMBERS; CLARIFYING WHEN THE DELEGATE ASSEMBLY MUST APPROVE ACTIVE MEMBER DUES; ALLOWING ACTIVE MEMBERS TO TAKE ACTION OUTSIDE OF A MEETING BY ALTERNATIVE VOTING METHODS; AND CLARIFYING HOW ACTIVE MEMBERS WITHIN A REGION NOMINATE CANDIDATES TO THE TASB BOARD. FORM 990, PART VI, SECTION A, LINE 6 TASB HAS THREE CLASSES OF MEMBERS: ACTIVE, ASSOCIATE AND AFFILIATE. ACTIVE IS THE PRIMARY MEMBERSHIP CLASS AND THE ONLY CLASS WITH GOVERNANCE RIGHTS. ACTIVE MEMBERS ARE BOARDS OF INDEPENDENT OR COMMON SCHOOL DISTRICTS, COUNTY BOARDS OF EDUCATION, AND REGIONAL EDUCATION SERVICE CENTERS WITHIN THE STATE OF TEXAS THAT PAY MEMBERSHIP FEES. THE MEMBERSHIP YEAR OF TASB IS JANUARY 1 THROUGH DECEMBER 31. FOR 2013, ACTIVE MEMBER FEES WERE CHARGED AT A MINIMUM OF $800 AND A MAXIMUM OF $11,000, AND WERE DETERMINED BASED ON THE ENTITY'S PRIOR YEAR AUDITED TOTAL OF OPERATING EXPENSES. MEMBERSHIP IN TASB IS VOLUNTARY AND GENERALLY PROVIDES THE FOLLOWING: NONPARTISAN ADVOCACY AT THE STATE AND NATIONAL LEVEL, LEGAL ASSISTANCE FROM KNOWLEDGEABLE ATTORNEYS, INFORMATIONAL RESOURCES, BOARD TRAINING (INCLUDING TRACKING CONTINUING EDUCATION CREDITS), SUBSCRIPTION TO TASB'S MONTHLY PERIODICAL - TEXAS LONE STAR - AND OTHER PUBLICATIONS, AND MEMBER RATES AT CONFERENCES AND WORKSHOPS. MEMBERSHIP PROVIDES OPPORTUNITIES TO SUBSCRIBE TO OTHER TASB PROGRAMS AND SERVICES ON AN ADDITIONAL FEE BASIS. FORM 990, PART VI, SECTION A, LINE 7A MEMBERS OR OTHERS WHO MAY ELECT ONE OF MORE MEMBERS OF THE GOVERNING BODY: ACTIVE TASB MEMBERS ELECT THE TASB BOARD OF DIRECTORS AND OFFICERS. THE PRESIDENT OF THE TEXAS ASSOCIATION OF EDUCATION SERVICE CENTERS (TAESC) ALSO HAS A VOTING EX OFFICIO POSITION ON THE TASB BOARD BY VIRTUE OF THE TASB BYLAWS. FORM 990, PART VI, SECTION A, LINE 7B DECISIONS OF THE GOVERNING BODY SUBJECT TO APPROVAL BY MEMBERS OR OTHERS: THE TASB BOARD RECOMMENDS BYLAW AMENDMENTS, MISSION STATEMENT AMENDMENTS, BELIEFS, THE ADVOCACY AGENDA (WHICH CONSISTS OF CORNERSTONE PRINCIPLES, PRIORITIES, AND RESOLUTIONS), AND MEMBERSHIP FEES FOR ACTIVE MEMBERS FOR FINAL ADOPTION BY THE MEMBERSHIP THROUGH THE TASB DELEGATE ASSEMBLY. (THE DELEGATE ASSEMBLY IS COMPRISED OF REPRESENTATIVES DESIGNATED BY ACTIVE MEMBERS EACH YEAR AND SERVES AS TASB'S GENERAL GOVERNING BODY.) FORM 990, PART VI, SECTION B, LINE 11 TASB'S ACCOUNTING STAFF PREPARES THE FORM 990. THE OUTSIDE AUDITING FIRM ENGAGED BY THE TASB BOARD ALSO REVIEWS THE FORM 990 PRIOR TO FILING. THE FORM 990 IS ALSO REVIEWED BY TASB'S GENERAL COUNSEL. A COPY OF THE RETURN IS POSTED ON AN ELECTRONIC SITE AVAILABLE TO BOARD MEMBERS, WHO ARE NOTIFIED VIA EMAIL WHEN THE RETURN IS AVAILABLE FOR THEIR REVIEW. BOARD MEMBERS ARE GIVEN THE OPPORTUNITY TO COMMENT PRIOR TO FINAL SUBMISSION TO THE IRS. FORM 990, PART VI, SECTION B, LINE 12C THE TASB BOARD AVOIDS CONFLICTS OF INTEREST THAT WILL MATERIALLY AND ADVERSELY AFFECT THE INTERESTS OF TASB THROUGH BOARD POLICY. EACH BOARD MEMBER (INCLUDING THE EXECUTIVE DIRECTOR WHO IS AN EX-OFFICIO, NON-VOTING MEMBER OF THE BOARD) REVIEWS THE BOARD'S CONFLICT OF INTEREST POLICY AND MUST COMPLETE, SIGN, AND RETURN AN ANNUAL DISCLOSURE FORM, IDENTIFYING THE PRESENCE OR ABSENCE OF ANY KNOWN ACTUAL OR POTENTIAL CONFLICTS. IF A DISCLOSURE HAS BEEN MADE, THE BOARD WILL DETERMINE WHETHER THE PROPOSED TRANSACTION OR ARRANGEMENT IS FAIR, REASONABLE, AND IN THE BEST INTEREST OF TASB; AND, IN THE CASE OF A DISCLOSED INTEREST MADE BY THE EXECUTIVE DIRECTOR, THE BOARD'S EXECUTIVE COMMITTEE MAKES SUCH DETERMINATION. A PERSON WHOSE ACTUAL OR POTENTIAL CONFLICT IS UNDER REVIEW MUST STAND IN RECUSAL AND NOT DEBATE OR VOTE ON SUCH DETERMINATION. RECORDS OR MINUTES OF THE BOARD WILL STATE THE NAME OF THE BOARD MEMBER WHOSE INTEREST WAS DISCLOSED; STATE THE NATURE OF THE INTEREST; AND SUMMARIZE THE CONTENT OF THE DISCUSSION AND VOTE TAKEN BY THE DISINTERESTED VOTING MEMBERS. A SIMILAR ANNUAL DISCLOSURE REQUIREMENT IS REQUIRED OF TASB'S KEY EMPLOYEES. KEY EMPLOYEES, AS WELL AS ALL EMPLOYEES, CANNOT HAVE FINANCIAL INTERESTS IN CONTRACTS OR OTHER TRANSACTIONS INVOLVING TASB, WITHOUT THE EXECUTIVE DIRECTOR (OR DESIGNEE) MAKING A DETERMINATION THAT THE TRANSACTION IS FAIR, REASONABLE, AND IN THE BEST INTEREST OF TASB. FORM 990, PART VI, SECTION B, LINE 15 TASB FOLLOWS BOARD-ADOPTED POLICIES REGARDING COMPENSATION OF THE TASB EXECUTIVE DIRECTOR, KEY EMPLOYEES AND OTHER EXECUTIVES, AND THE FIRST PUBLIC MANAGING DIRECTOR (DISCUSSED BELOW). THE TASB EXECUTIVE COMMITTEE EVALUATES COMPARABILITY DATA AND RECOMMENDS APPROPRIATE COMPENSATION FOR THE EXECUTIVE DIRECTOR TO THE BOARD. THE EXECUTIVE DIRECTOR IS AUTHORIZED TO SET AND APPROVE COMPENSATION FOR TASB KEY EMPLOYEES, INCLUDING EXECUTIVES UNDER BOARD-APPROVED PARAMETERS. THE EXECUTIVE DIRECTOR RELIES ON COMPARABLE DATA FROM VARIOUS SOURCES. REGARDING THE FIRST PUBLIC MANAGING DIRECTOR, AS STATED PREVIOUSLY ON SCHEDULE O WITH RESPECT TO PART VI, LINE 8, THE TASB BOARD OFFICERS AND THE EXECUTIVE DIRECTOR COLLECTIVELY SERVE AS THE FIRST PUBLIC GOVERNANCE COMMITTEE. THE TASB BOARD HAS DELEGATED THE FIRST PUBLIC GOVERNANCE COMMITTEE WITH THE AUTHORITY TO CONSIDER AND APPROVE MATTERS THAT TASB IS ENTITLED TO APPROVE AS THE SOLE MEMBER OF FIRST PUBLIC. THIS AUTHORITY INCLUDES APPROVING THE COMPENSATION OF THE FIRST PUBLIC MANAGING DIRECTOR. THE FIRST PUBLIC GOVERNANCE COMMITTEE RELIES ON COMPARABLE DATA IN MAKING COMPENSATION DECISIONS. FORM 990, PART VI, SECTION C, LINE 19 TASB'S CHARTER, BYLAWS, CONFLICT OF INTEREST POLICIES, AND AUDITED FINANCIAL STATEMENTS ARE AVAILABLE FOR PUBLIC INSPECTION UPON REQUEST. FORM 990, PART VI, SECTION A, LINE 8, GOVERNING BODY AND MANAGEMENT: FOOTNOTE: THE FOLLOWING IS PROVIDED FOR CLARIFICATION. TASB BOARD OFFICERS AND THE EXECUTIVE DIRECTOR (NON-VOTING) MAKE UP THE EXECUTIVE COMMITTEE WITH CERTAIN DESIGNATED AUTHORITY. THESE INDIVIDUALS ALSO SERVE AS THE FIRST PUBLIC GOVERNANCE COMMITTEE (WITH THE EXECUTIVE DIRECTOR SERVING IN A VOTING CAPACITY). WHILE THE SAME INDIVIDUALS SERVE ON BOTH COMMITTEES, THESE ARE TWO SEPARATE COMMITTEES WITH DIFFERENT ROLES AND RESPONSIBILITIES. THE FIRST PUBLIC GOVERNANCE COMMITTEE, WHICH HAS AUTHORITY TO ACT ON BEHALF OF THE TASB BOARD, DOCUMENTS ITS MEETING ACTIVITIES, INCLUDING ACTIONS TAKEN, AT EACH COMMITTEE MEETING. OTHER TASB COMMITTEES ALSO DOCUMENT THEIR MEETING ACTIVITIES, ALTHOUGH MOST ACTION ITEMS REQUIRE FINAL BOARD APPROVAL. FORM 990, PART VI, SECTION B, POLICIES: FOOTNOTE: TASB LEASES CERTAIN EMPLOYEES TO FIRST PUBLIC. THESE EMPLOYEES ARE DEFINED AS "ASSOCIATED PERSONS" OF FIRST PUBLIC BY THE SECURITIES AND EXCHANGE COMMISSION. BY VIRTUE OF THE EMPLOYEE LEASE AGREEMENT BETWEEN TASB AND FIRST PUBLIC, FIRST PUBLIC HAS THE AUTHORITY TO MANAGE THE DAY-TO-DAY ACTIVITIES OF THESE ASSOCIATED PERSONS. FIRST PUBLIC HAS WRITTEN SUPERVISORY PROCEDURES THAT ASSOCIATED PERSONS MUST FOLLOW, AND SUCH PROCEDURES INCLUDE THE REQUIREMENT TO FOLLOW TASB ADMINISTRATIVE POLICIES TO THE EXTENT THEY DO NOT CONFLICT WITH THE POLICIES AND PROCEDURES OF FIRST PUBLIC. AND HIGHEST COMPENSATED EMPLOYEES: FORM 990, PART VII, SECTION A, OFFICERS, DIRECTORS, TRUSTEES, KEY EMPLOYEES FOOTNOTE: WHILE COLUMN (B) IN SECTION A REFLECTS FULL-TIME TASB EMPLOYEES AS WORKING AN AVERAGE OF 40 HOURS PER WEEK, THESE INDIVIDUALS ARE EXEMPT AND OFTEN WORK IN EXCESS OF 40 HOURS. FORM 990, PART VIII, LINE 2, PROGRAM SERVICE REVENUE: FOOTNOTE: CERTAIN PROGRAM SERVICE REVENUE REPORTED ON LINE 2 INCLUDES INCOME DERIVED FROM TEXAS INTERLOCAL COOPERATION ACT ADMINISTRATIVE AGENCIES AND PROGRAMS CREATED TO PERFORM ADMINISTRATIVE FUNCTIONS ASSOCIATED WITH THE ROUTINE OPERATION OF GOVERNMENT. THIS REVENUE CONSTITUTES INCOME WHICH IS RELATED TO THE EXEMPT PURPOSE OF TASB, AND IS EXEMPT UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. IN PARTICULAR, THE INTERNAL REVENUE SERVICE HAS CONFIRMED THAT THE ADMINISTRATIVE SERVICES RENDERED BY TASB TO THE VARIOUS CASH/RISK MANAGEMENT PROGRAMS ARE RELATED TO ITS EXEMPT FUNCTION OF LESSENING THE BURDENS OF GOVERNMENT AND, THEREFORE, ARE RELATED TRADE OR BUSINESS WITHIN THE MEANING OF SECTION 1.513-1(D)(2) OF THE REGULATIONS. ADDITIONALLY, TASB'S RISK MANAGEMENT PROGRAM REVENUE IS DERIVED FROM THE PERFORMANCE OF AN ESSENTIAL GOVERNMENTAL FUNCTION AND IS EXEMPT UNDER SECTION 115 OF THE INTERNAL REVENUE CODE. THE REMAINING ELEMENTS OF TASB'S PROGRAM SERVICE REVENUE ARE RELATED TO TASB'S EXEMPT FUNCTION OF LESSENING THE BURDENS OF GOVERNMENT OR SERVING AN EDUCATIONAL PURPOSE AND, THEREFORE, SUCH REVENUE ALSO CONSTITUTES INCOME FROM A RELATED TRADE OR BUSINESS UNDER SECTION 1.513-1(D)(2) OF THE REGULATIONS. FORM 990, PART VIII, LINE 5, ROYALTIES: FOOTNOTE: THROUGH AFFINITY AND LICENSE AGREEMENTS, TASB RECEIVES ROYALTIES FROM FOUR AFFILIATED ENTITIES FOR THE USE OF TASB'S INTELLECTUAL INTANGIBLE ASSETS SUCH AS ITS NAME AND LOGO IN PROMOTING, MARKETING, AND OFFERING THEIR VARIOUS PROGRAMS AND SERVICES. THESE AFFILIATED ENTITIES ARE ALL ADMINISTRATIVE AGENCIES OF COOPERATING LOCAL GOVERNMENTS ORGANIZED UNDER THE INTERLOCAL COOPERATION ACT (TEXAS GOVERNMENT CODE, CHAPTER 791). SERVICES PROVIDED BY THESE AFFILIATED ENTITIES DIRECTLY CONTRIBUTE TO TASB'S EXEMPT PURPOSE BY LESSENING THE BURDENS OF GOVERNMENT ON PUBLIC SCHOOLS AND OTHER GOVERNMENTAL ENTITIES, AND ALLOWING THEM TO BE MORE EFFICIENT AND EFFECTIVE. FORM 990, PART XII, LINE 2C, FINANCIAL STATEMENTS AND REPORTING: FOOTNOTE: THE FOLLOWING IS PROVIDED FOR CLARIFICATION. THE BUDGET & FINANCE COMMITTEE OF THE TASB BOARD ANNUALLY CONSIDERS ENGAGEMENT OF THE ACCOUNTING FIRM THAT WILL CONDUCT THE TASB FINANCIAL STATEMENT AUDIT. THE COMMITTEE'S RECOMMENDATION IS TAKEN TO THE TASB BOARD FOR APPROVAL. THE AUDITED FINANCIAL STATEMENTS ARE PRESENTED TO THE COMMITTEE, AND THE EXTERNAL AUDITORS REVIEW THEIR REPORTS WITH THE COMMITTEE FOR ACCEPTANCE. THE AUDIT IS THEN TAKEN TO THE TASB BOARD FOR APPROVAL AND ACCEPTANCE UPON RECOMMENDATION OF THE COMMITTEE. REGARDING FIRST PUBLIC, THE FIRST PUBLIC MANAGING DIRECTOR ENGAGES THE INDEPENDENT AUDIT FIRM, REVIEWS AND ACCEPTS THE ANNUAL FINANCIAL STATEMENT AUDIT, AND PRESENTS THE AUDIT TO THE FIRST PUBLIC GOVERNANCE COMMITTEE FOR REVIEW. FIRST PUBLIC LLC 12007 RESEARCH BLVD AUSTIN TX 78759 742275519 INVESTMENT MANAGEMENT TX 3820431 2483503 N/A