Summit Academy Secondary School- Middletown

“In exchange for 100% of all school revenue, summit academy management (sam) is responsible for all costs and most day-to-day decisions associated with operating the school. Such costs and decision areas include, but are not limited to: personnel (all teaching and administrative personnel are employees of sam); insurance; pension and retirement benefits; curriculum materials, textbooks, computers and other equipment, software, and supplies; as well as utilities, janitorial services, legal and financial management services. Sam is also responsible for providing and maintaining the school's educational facility.”

“The organization does not have committees with authority to act on behalf of the governing body.”

“The completed form 990 and related schedules are reviewed by the treasurer of summit academy management. After electronic submission to the irs, the treasurer will notify the board members the return will be available upon request.”

“In connection with any actual or possible conflict of interest, an interested person must disclose the existence of the financial interest and be given the opportunity to disclose all material facts to the board members and members of committees with governing board delegated powers considering the proposed transaction or arrangement. After the presentation to the governing board or committee meeting, he/she shall leave the meeting during the discussion of, and the vote on, the transaction or arrangement involving the possible conflict of interest. The chairperson of the governing board or committee shall, if appropriate, appoint a disinterested person or committee to investigate alternatives to the proposed transaction or arrangement. After exercising due diligence, the governing board or committee shall determine whether the school can obtain with reasonable efforts a more advantageous transaction or arrangement from a person or entity that would not give rise to a conflict of interest. If a more advantageous transaction or arrangement is not reasonably possible under circumstances not producing a conflict of interest, the governing board or committee shall determine by a majority vote of the disinterested board members 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. Each board member, principal officer and member of a committee with governing board delegated powers shall annually sign a statement which affirms such person received a copy of the conflict of interest policy, read and understands the policy, and agreed to comply with the policy.”

“The organization will make its governing documents, conflict of interest policy and financial statements available to the public upon request.”

“The selection process and the oversight process has not changed from last year.”

“For the fiscal year ended june 30, 2018, the school has implemented governmental accounting standards board (gasb) statement no. 75, accounting and financial reporting for postemployment benefits other than pensions. Gasb statement no. 75 requires recognition of the entire net postemployment benefits other than pensions (other postemployment benefits or opeb) liability and a more comprehensive measure of postemployment benefits expense for opeb provided to the employees of state and local governmental employers through opeb plans that are administered through trusts or equivalent arrangements. The implementation of gasb statement no. 75 resulted in the inclusion of net opeb liability and opeb expense components on the accrual financial statements. The prior period adjustment represents the effect of this implementation.”