Salve Regina University

“For an explanation, see the response to form 990, part vi, line 7b below.”

“The corporate membership shall consist of a single entity affiliated with or sponsored by the institute of the sisters of mercy of the americas, inc., which is conference for mercy higher education, inc., a maryland nonstock, not-for-profit corporation (the "cmhe corporation"). The cmhe corporation was incorporated, among other things, for the purpose of maintaining and enhancing the mercy mission for the various sisters of mercy colleges and universities throughout the united states. As such, the cmhe corporation can be a valuable resource for the university for consultation and collaboration. Notwithstanding any provision to the contrary contained in the by-laws, the following matters shall be reserved powers and shall be authorized only by a vote of the corporate member: (a) the liquidation, dissolution or merger of the corporation in conjunction with the board of trustees. (b) amendment of the articles of incorporation in conjunction with the board of trustees. (c) confirmation of appointment of the president selected by the board of trustees. The affairs of salve regina university shall be managed by its board of trustees who shall exercise all powers except such powers that are reserved for the corporate member in items a-c listed above.”

“The information for the irs form 990 is compiled by several members of university administration, primarily the associate vp for finance, vice president for administration/cfo, and the associate vp for human resources. The review function for this filing rests with the audit committee by the virtue of appointment by the board of trustees. The audit committee is empowered to act on behalf of the full board to review and approve the 990 prior to filing. Each trustee member receives a copy of the filing after the 990 is approved prior to filing and is privy to the minutes of said audit committee meetings.”

“At the annual meeting of the board of trustees held in october each year, all trustees, officers, and key employees must complete a conflict of interest questionnaire. This form discloses any direct business associations, family members and or business associations of family members that exist to put the university on notice of potential conflicts. This information is shared with senior administration for monitoring on a day to day basis. If a potential conflict or question arises, it should be reported to the president to be reviewed with the executive committee of the board of trustees for approval or for such action as the executive committee may determine. It is the responsibility of the executive committee to 1) call for additional information, 2) attempt to resolve any conflicts, 3) determine whether a conflict of interest is present (utilizing legal counsel if necessary) and report it to the board of trustees for appropriate action.”

“In may of each year, a questionnaire/evaluation is sent to all trustees regarding the president's performance. The evaluations are returned to the chairman of the board and the results are reviewed and tabulated. Each year, the chairman of the board contacts the associate vice president of human resources and requests compensation survey information for the presidents at comparable schools (the university has a set of cohort schools similar in size and nature that is used for basis of comparison). The compensation committee of the board meets prior to the july board meeting. They review the results of the evaluations and compensation survey information. The committee makes a recommendation to the full board of trustees. The board of trustees votes and approves the compensation package offered to the president at the july board meeting (in executive session). This process is fully documented. The president meets with and evaluates each of the vice presidents in june of each year. The president obtains compensation survey information for the vice presidents for comparable schools from the associate vice president for human resources (similar cohort institutions as the president). The president reports to the board of trustees her recommendations for compensation for the vice presidents at the july board meeting in executive session. The board reviews the compensation offered to each vice president. This process is fully documented.”

“Any request for public inspection requests for university forms 1023, 990, 990-t and/or audited financial statements are granted within 5 business days and can take the form of electronic communication, direct public inspection, or mailing of said documents to the inquiring party. The university currently publishes its form 990 and audited financial statements on its website at http://www.salve.edu/office-service/business-office as well. The form 990 is also available on www.guidestar.com. The governing documents and the conflict of interest policy are made available to the public upon request.”

“Change in split interest value 249,613. Rounding -5.”