The Trustees of Fryeburg Academy

“Fryeburg Academy's art collection consists of numerous works that were donated for display at the Stephen Pace Gallery in the Performing Arts Center and several other locations on campus. All of the works included in the collection have been appraised by a noted art appraiser.”

“The endowment spending policy specifies that the Academy can withdraw up to 3% annually on the endowment based on the average quarterly market value of the endowment over the past 3 years. The most recent calculation was done for the fiscal year 2022 budget and was calculated during the first quarter of calendar year 2021. Such a policy attempts to provide a predictable stream of funding to programs supported by the endowment while seeking to maintain the purchasing power of the endowment assets. The portfolio is invested in a manner that is intended to generate annual returns while assuming a moderate level of risk. The Board uses outside professionals to manage its investment portfolio. The endowment spending policy specifies an annual maximum of 3% based on the average of the prior twelve quarters. This annual maximum amount can be modified by vote of the full Board of Trustees.”

“The Academy is recognized as an organization exempt from Federal income tax under Section 501(c)(3) of the Internal Revenue Code and the statutes of the State of Maine. Accordingly, no provision for income taxes is provided on the accompanying financial statements. Tax-exempt organizations could be required to record an obligation for income taxes as the result of a tax position they have historically taken on various tax exposure items including unrelated business income or tax status. Under guidance issued by the Financial Accounting Standards Board, assets and liabilities are established for uncertain tax positions taken or positions expected to be taken in income tax returns when such positions are judged to not meet the "more-likely-than-not" threshold, based upon the technical merits of the position. Estimated interest and penalties, if applicable, related to uncertain tax positions are included as a component of income tax expense. Management has evaluated the Academy's tax positions taken on its filed tax returns and concluded that the Academy has maintained its tax-exempt status, does not have any significant unrelated business income and has taken no uncertain tax positions that require adjustment to the financial statements.”

“Tuition refunds and financial aid 3,230,846.”

“Write-off of uncollectible pledges 82,236.”

“Tuition refunds and financial aid 3,230,846.”