2012-05-14T10:21:59-05:00 2011-06-30 HOLTZ RUBENSTEIN REMINICK LLP 125 BAYLIS ROAD MELVILLE NY 117473823 990 2010-07-01 116112414 THE STONY BROOK SCHOOL STON 6317511800 1 CHAPMAN PARKWAY STONY BROOK NY 117901799 SCOTT PAVAO 6317511800 2012-05-10 1 GORDON SIESS 6317527400 2010 2016-02-24 21:20:13Z SCOTT PAVAO 1 CHAPMAN PARKWAY STONY BROOK NY 11790 21631305 0 X WWW.STONYBROOKSCHOOL.ORG X 1922 NY THE STONY BROOK SCHOOL IS AN INDEPENDENT COLLEGE PREPARATORY SCHOOL (GRADES 7 - 12). 18 17 209 25 22587 21587 1450706 5464882 10538592 11143583 1018584 424973 93444 78974 13101326 17112412 1770675 1895625 0 0 4793122 5065584 26125 6686 694050 5121522 5506924 11711444 12474819 1389882 4637593 36768476 43367152 3935972 4172487 32832504 39194665 X THE STONY BROOK SCHOOL IS AN INDEPENDENT COLLEGE PREPARATORY SCHOOL (GRADES 7-12) THAT EXISTS TO CHALLENGE YOUNG MEN AND WOMEN TO KNOW JESUS CHRIST AS LORD, TO LOVE OTHERS AS THEMSELVES, AND TO GROW IN KNOWLEDGE AND SKILL, IN ORDER THAT THEY MAY SERVE THE WORLD THROUGH THEIR CHARACTER AND LEADERSHIP. 0 0 10125544 1895625 10689762 EDUCATION OF BOARDING AND DAY STUDENTS IN GRADES 7-12. ENROLLMENT IS APPROXIMATELY 315 STUDENTS. 327193 435222 EDUCATION PROGRAMS INCLUDING TUTORIAL, ACADEMIC CLASSES, SPORTS, MARINE PROGRAMS, AND COMPUTER COURSES FOR STUDENTS DURING SIX WEEKS IN THE SUMMER. 10452737 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 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 1 33 0 1 209 1 1 1 0 0 0 0 1 1 0 0 0 0 X 18 17 0 1 0 0 0 0 0 1 1 0 0 1 1 1 1 1 0 1 1 0 X X SCOTT PAVAO CFO 6319411560 C/O THE STONY BROOK SCHOOL 1 STONY BROOK NY 11790 SIERD TILMA 5.00 X X 0 0 0 S MICHAEL KOH 4.00 X X 0 0 0 WALLACE L LARSON ESQ 3.00 X X 0 0 0 J DOUGLAS KIRK 3.00 X X 0 0 0 SHARON A BOTTOMLEY 2.00 X 0 0 0 ALAN J CHAPMAN 2.00 X 0 0 0 JOHN H HAILE 2.00 X 0 0 0 JACK R HALL 2.00 X 0 0 0 DAVONNE HELMER 2.00 X 0 0 0 JOHN A JOHNSON 2.00 X 0 0 0 ELAINE M KANAS 2.00 X 0 0 0 NORMAN A KOOP 2.00 X 0 0 0 KEVIN J KOUBEK 2.00 X 0 0 0 STEPHEN E NEWTON 2.00 X 0 0 0 DIANE BENNETT 2.00 X 0 0 0 DANIEL C YATES 2.00 X 0 0 0 DAVID ROBINSON 2.00 X 0 0 0 ROBERT E GUSTAFSON JR 40.00 X X 174629 0 11860 TIMOTHY B CROMWELL 40.00 X 95707 0 6935 270336 0 18795 1 0 1 0 SAGE DINING SERVICES INC 222 BOSLEY AVENUE SUITE B-7 TOWSON MD 21204 FOOD SERVICE MANAGEMENT 877146 AS A WHISTLE CLEANING SERVICE PO BOX 536 EAST SETAUKET NY 11733 CUSTODIAL SERVICES 440277 FPF CONSTRUCTION CO 319 FIRST AVENUE STJAMES NY 11780 BUILDING CONSTRUCTION 407869 STAFFORD ASSOCIATES 21 BENNETTS ROAD SUITE 200 SETAUKET NY 11733 COMPUTER & NETWORK SERVICES 100975 4 15105 5449777 213338 5464882 TUITION 611710 10176237 10176237 STUDENT FEES 611710 532124 532124 SUMMER PROGRAMS 611710 435222 435222 11143583 204017 204017 4677814 4456858 220956 220956 22587 198369 6960 15105 6960 0 36476 55075 -18599 -18599 MISCELLANEOUS 900099 97573 97573 97573 17112412 11124984 22587 499959 1895625 1895625 305417 305417 3117730 2585610 262519 269601 170308 126190 32177 11941 1207951 980557 119353 108041 264178 189398 53285 21495 1940 1940 52000 52000 6686 6686 459567 296541 96013 67013 23348 22554 794 333577 82957 161391 89229 181857 125948 39463 16446 556868 506640 37794 12434 144965 96228 27470 21267 21426 12869 4895 3662 27723 22293 5430 221978 190451 11953 19574 TAX AND LICENSES 19046 5612 13434 0 FOOD SERVICE 918131 918131 0 0 SECURITY AND CUSTODIAL 584480 546555 23347 14578 NON-CAPITALIZED PLANT 372739 347732 18816 6191 SUMMER PROGRAMS 327193 327193 0 0 1260086 1196207 38781 25098 12474819 10452737 1328032 694050 649257 758560 1668955 1929676 1281166 4093959 77678 105624 65270 73733 132036 170903 19855739 19345365 19855739 9272876 11157587 4128613 5080960 147260 140411 36768476 43367152 410045 382829 3200959 3488075 99527 70135 225441 231448 3935972 4172487 X 17950048 19330325 2088720 6931837 12793736 12932503 32832504 39194665 36768476 43367152 X 4637593 1724568 X X 0 1 1 X 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 12704557 155481 2242762 234600 175400 14692800 11430114 390995 1287448 256100 147900 12704557 14370621 236426 -2997233 113900 65800 11430114 0.01000 0.88000 0.11000 0 0 508612 508612 13537447 13537447 4223100 4223100 1586580 1586580 19855739 CASH DESIGNATED FOR ENDOWMENT 839244 C CASH RESTRICTED FOR CAPITAL INVESTMENTS 1402396 C LIMITED PARTNERSHIP 1605444 F REAL ESTATE INVESTMENT 1233876 C 5080960 CHARITABLE GIFT ANNUITIES 176290 AGENCY FUNDS 55158 231448 17112412 12474819 4637593 1772439 -47871 1724568 6362161 16996430 1772439 55075 1827514 15168916 47871 1895625 1943496 17112412 10634269 55075 55075 10579194 1895625 1895625 12474819 DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: UTILIZED TO FUND VARIOUS PROGRAM ACTIVITIES WHILE SEEKING TO MAINTAIN THE PURCHASING POWER OF THE ENDOWMENT ASSETS. DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA REQUIRE MANAGEMENT TO EVALUATE TAX POSITIONS TAKEN BY THE SCHOOL AND RECOGNIZE A TAX LIABILITY (OR ASSET) IF THE SCHOOL HAS TAKEN AN UNCERTAIN POSITION THAT MORE-LIKELY-THAN-NOT WOULD NOT BE SUSTAINED UPON EXAMINATION BY THE INTERNAL REVENUE SERVICE. MANAGEMENT HAS ANALYZED THE TAX POSITIONS TAKEN BY THE SCHOOL, AND HAS CONCLUDED THAT AS OF JUNE 30, 2011, THERE ARE NO UNCERTAIN POSITIONS TAKEN OR EXPECTED TO BE TAKEN THAT WOULD REQUIRE RECOGNITION OF A LIABILITY (OR ASSET) OR DISCLOSURE IN THE FINANCIAL STATEMENTS. THE SCHOOL IS SUBJECT TO ROUTINE AUDITS BY THE TAXING JURISDICTIONS; HOWEVER, THERE ARE CURRENTLY NO AUDITS FOR ANY TAX PERIODS IN PROGRESS. MANAGEMENT BELIEVES IT IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS FOR YEARS PRIOR TO 2008. PART XII, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD 55,075. PART XII, LINE 4B - OTHER ADJUSTMENTS: SCHOLARSHIPS 1,895,625. PART XIII, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD 55,075. PART XIII, LINE 4B - OTHER ADJUSTMENTS: SCHOLARSHIPS 1,895,625. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 EXPLANATION OF NONDISCRIMINATORY POLICY PUBLICATION SCHEDULE E, PART I, LINE 3 THE ADMISSIONS OFFICE PUBLISHES THE NON-DISCRIMINATORY POLICY AT LEAST ANNUALLY IN SEVEN LOCAL NEWSPAPERS SERVING SUFFOLK COUNTY AND LONG ISLAND. THE POLICY IS ALSO INCLUDED IN THE SCHOOL VIEWBOOK WHICH IS THE PRIMARY ADMISSIONS PUBLICATION. MAIN EVENT 22065 15105 6960 5960 1000 22065 15105 6960 5960 1000 6960 0 1 FINANCIAL AID 118 0 1895625 PARENT FINANCIAL STATEMENT ASSESSED BY SCHOOL & STUDENT SRVCS DEPT OF NAIS. NEED BASED FINANCIAL AID. OTHER INFORMATION: PART IV: GRANTS ARE IN THE FORM OF NON-CASH SCHOLARSHIPS OR FINANCIAL AID USED SOLELY TO REDUCE TUITION. X 0 1 X X X 0 0 0 0 0 0 0 0 0 ROBERT E GUSTAFSON JR 166124 0 0 0 8505 0 11190 0 670 0 186489 0 0 0 PART I, LINE 1A THE SCHOOL IS A BOARDING-DAY SCHOOL THAT OPERATES 24/7 AND AS SUCH REQUIRES THE HEADMASTER AND ALL FACULTY AND KEY ADMINISTRATORS TO LIVE ON CAMPUS IN SCHOOL OWNED HOUSING AS A CONDITION OF EMPLOYMENT AND FOR THE CONVENIENCE OF THE INSTITUTION IN CARRYING OUT ITS MISSION AND PURPOSE. MAJORIE GUSTAFSON FAMILY MEMBER OF ROBERT E. GUSTAFSON, JR 32315 FULL TIME TEACHER FOR THE SCHOOL 0 X 11 213338 AVG. FMV AT GIFT DATE 0 1 1 THIRD PARTY USE: PART I, LINE 32B: THE ORGANIZATION USES BROKERS TO SELL STOCKS GIFTED TO THE ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 3 THE MANAGEMENT OF THE FOOD SERVICE OPERATION AT THE SCHOOL IS CONTRACTED OUT TO SAGE DINING SERVICES, INC. THE MANAGEMENT OF THE CUSTODIAL SERVICE AT THE SCHOOL IS CONTRACTED OUT TO AS A WHISTLE CLEANING SERVICE. FORM 990, PART VI, SECTION B, LINE 11 AN ADHOC COMMITTEE COMPRISED OF MEMBERS OF THE EXECUTIVE AND FINANCE/AUDIT COMMITTEES OF THE BOARD OF TRUSTEES MEETS WITH THE PARTNER OF THE AUDITING FIRM TO REVIEW THE COMPLETED FORM 990 AND APPROVE THE FORM FOR FILING ON BEHALF OF THE BOARD. BOARD OF TRUSTEE MEMBERS WILL RECEIVE COPIES OF THE FORM 990 THAT IS FILED. FORM 990, PART VI, SECTION B, LINE 12C IN CONNECTION WITH ANY ACTUAL OR POSSIBLE CONFLICT OF INTEREST, AN INTERESTED PERSON MUST DISCLOSE THE EXISTENCE OF THE CONFLICT OF INTEREST AND BE GIVEN THE OPPORTUNITY TO DISCLOSE ALL MATERIAL FACTS TO THE TRUSTEES AND MEMBERS OF COMMITTEES WITH GOVERNING BOARD-DELEGATED POWERS CONSIDERING THE PROPOSED TRANSACTION OR ARRANGEMENT. AFTER DISCLOSURE OF THE POTENTIAL CONFLICT OF INTEREST AND ALL MATERIAL FACTS, AND AFTER ANY DISCUSSION WITH THE INTERESTED PERSON, HE/SHE SHALL LEAVE THE BOARD OF TRUSTEES OR COMMITTEE MEETING WHILE THE DETERMINATION OF A CONFLICT OF INTEREST IS DISCUSSED AND VOTED UPON. THE REMAINING BOARD OR COMMITTEE MEMBERS SHALL DECIDE IF A CONFLICT OF INTEREST EXISTS. THE BOARD OF TRUSTEES OR COMMITTEE SHALL DETERMINE BY A MAJORITY VOTE OF THE DISINTERESTED TRUSTEES WHETHER THE TRANSACTION OR ARRANGEMENT IS IN THE SCHOOL'S BEST INTEREST, FOR ITS OWN BENEFIT, AND WHETHER IT IS FAIR AND REASONABLE. IN CONFORMITY WITH THE ABOVE DETERMINATION, IT SHALL MAKE ITS DECISION AS TO WHETHER TO ENTER INTO THE TRANSACTION OR ARRANGEMENT. FORM 990, PART VI, SECTION B, LINE 15 THE EXECUTIVE COMMITTEE OF THE BOARD OF TRUSTEES IS RESPONSIBLE TO CONDUCT PERFORMANCE REVIEW OF THE HEADMASTER (CEO) AND DISCUSS THE TERMS OF THE ANNUAL EMPLOYMENT CONTRACT HE/SHE WILL RECEIVE. GUIDANCE IS PROVIDED FOR SETTING COMPENSATION FROM EDUCATIONAL SALARY INFORMATION OBTAINED FROM THE NATIONAL ASSOCIATION OF INDEPENDENT SCHOOLS FOR SCHOOLS OF COMPARABLE SIZE AND HEADS WITH COMPARABLE EXPERIENCE. THE PRESIDENT OF THE BOARD THEN NEGOTIATES THE CONTRACT WITH THE HEADMASTER AND INFORMS THE EXECUTIVE COMMITTEE WHEN IT IS FINALIZED. 15B - THE COMPENSATION OF OTHER OFFICERS AND KEY EMPLOYEES IS DETERMINED ANNUALLY BY THE HEADMASTER OF THE SCHOOL BASED ON EMPLOYEE PERFORMANCE REVIEWS AND SALARY RANGES FOR ADMINISTRATIVE POSITIONS OBTAINED FROM THE NATIONAL ASSOCIATION OF INDEPENDENT SCHOOLS. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS ARE NOT PUBLISHED. THE CONFLICT OF INTEREST POLICY WILL BE INCLUDED IN THE GENERAL EMPLOYEE HANDBOOK. IF A PERSON WANTED TO SEE DOCUMENTS, POLICY, AND/OR FINANCIAL STATEMENTS, THEY WOULD BE MADE AVAILABLE FOR REVIEW IN THE BUSINESS OFFICE OF THE SCHOOL. ALL OTHER FUNCTIONAL EXPENSES FORM 990, PART X, LINE 24F HEALTH CENTER: PROGRAM SERVICE EXPENSES 323,502. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 323,502. STUDENT ACTIVITIES: PROGRAM SERVICE EXPENSES 273,758. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 273,758. INSTRUCTIONAL MATERIAL: PROGRAM SERVICE EXPENSES 205,428. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 205,428. REPAIRS AND MAINTENANCE: PROGRAM SERVICE EXPENSES 127,514. MANAGEMENT AND GENERAL EXPENSES 11,881. FUNDRAISING EXPENSES 2,013. TOTAL EXPENSES 141,408. TEXTBOOKS: PROGRAM SERVICE EXPENSES 77,132. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 77,132. BAD DEBTS: PROGRAM SERVICE EXPENSES 64,911. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 64,911. DUES AND MEMBERSHIPS: PROGRAM SERVICE EXPENSES 46,643. MANAGEMENT AND GENERAL EXPENSES 11,393. FUNDRAISING EXPENSES 1,181. TOTAL EXPENSES 59,217. MISCELLANEOUS: PROGRAM SERVICE EXPENSES 16,744. MANAGEMENT AND GENERAL EXPENSES 14,048. FUNDRAISING EXPENSES 4,189. TOTAL EXPENSES 34,981. COMMUNITY SERVICE: PROGRAM SERVICE EXPENSES 25,811. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 25,811. TESTING AND ASSESSMENT: PROGRAM SERVICE EXPENSES 21,350. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 21,350. PRIZES AND AWARDS: PROGRAM SERVICE EXPENSES 13,414. MANAGEMENT AND GENERAL EXPENSES 1,459. FUNDRAISING EXPENSES 1,850. TOTAL EXPENSES 16,723. SPECIAL EVENTS: PROGRAM SERVICE EXPENSES 0. MANAGEMENT AND GENERAL EXPENSES 0. FUNDRAISING EXPENSES 15,865. TOTAL EXPENSES 15,865. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED GAINS ON INVESTMENTS: 1,772,439. INVESTMENT EXPENSES: -47,871. TOTAL TO FORM 990, PART XI, LINE 5: 1,724,568. FORM 990, PART VI, SECTION B, LINE 14 A WRITTEN POLICY ON DOCUMENT RETENTION AND DESTRUCTION THAT FORMALIZES CURRENT PRACTICE WILL BE IMPLEMENTED IN THE NEAR FUTURE. IN PRACTICE, THE ORGANIZATION DOES HAVE A LIST OF LEGAL GUIDELINES THAT ARE USED BY ADMINISTRATIVE OFFICES FOR MAKING RECORD RETENTION DECISIONS. DOCUMENTS THAT ARE NOT TO BE RETAINED ARE GATHERED ANNUALLY FROM ALL SCHOOL OFFICES BY THE BUSINESS OFFICE AND DESTROYED BY AN OUTSIDE COMPANY. GENERAL NOTE: INVESTMENT SUB-COMMITTEE MANAGEMENT OF THE ENDOWMENT PORTFOLIO IS DISTRIBUTED BETWEEN THREE MANAGERS AND FIVE MUTUAL OR EXCHANGE TRADED FUNDS. SINCE 1999, A FORMAL INVESTMENT SUB-COMMITTEE ESTABLISHED AT THE BOARD LEVEL HAS OVERSEEN THE MANAGERS AND CHOSEN THE FUNDS. MEMBERS OF THE SUB-COMMITTEE ARE ALL PROFESSIONALS IN THE INVESTMENT BUSINESS. A FORMAL ENDOWMENT INVESTMENT POLICY TO GUIDE THE BOARD IN IT'S FIDUCIARY RESPONSIBILITIES WAS ENACTED IN 2000 AND REVISED SEVERAL TIMES TO ADAPT TO CHANGING MARKET CONDITIONS, MOST RECENTLY IN MARCH OF 2010. THE ENDOWMENT INVESTMENT POLICY ALSO AUTHORIZES AN ANNUAL DRAW OF BETWEEN 4% AND 5% OF THE AVERAGE ENDOWMENT MARKET VALUE OF PERMANENT CORPUS OVER A ROLLING PERIOD OF 12 QUARTERS (3 YEARS). THE INVESTMENTS IN THE CHARITABLE GIFT ANNUITY FUND ARE LIKEWISE INVESTED IN SEVERAL MUTUAL FUNDS / EFT AND ARE GUIDED BY AN CHARITABLE GIFT ANNUITY FUND INVESTMENT POLICY SEEKING TO MEET ALL LEGAL RESERVE REQUIREMENTS AS WELL AS PROVIDE FUNDING FOR ANNUITY OBLIGATIONS. THE CHARITABLE GIFT ANNUITY FUND POLICY WAS ESTABLISHED IN 2005 AND UPDATED IN 2007.