Civic Intelligence

Greathearts Arizona

990 • Fiscal year 2014 • EIN 20-2036133

Jul 01, 2013 to Jun 30, 2014 • Filed on May 09, 2015

3102 N 56th StRoom/Suite 30085018

(480) 899-9181

Siviq Scores

Precomputed percentiles for this filing year versus similar nonprofits in the same peer cohort.

Liabilities / Assets

89th percentile

0.92x

Higher debt load relative to assets than 89% of similar nonprofits.

2014 filings • 501(c)3 • $50M-$100M nonprofits • Source year 2014

Liabilities / Revenue

95th percentile

6.39x

Higher debt load relative to revenue than 95% of similar nonprofits.

2014 filings • 501(c)3 • $50M-$100M nonprofits • Source year 2014

Net Margin

65th percentile

9.7%

Higher net margin than 65% of similar nonprofits.

2014 filings • 501(c)3 • $50M-$100M nonprofits • Source year 2014

Top Officer Pay

22nd percentile

$192,379

Higher top officer pay than 22% of similar nonprofits.

Top officer pay equals 1.5% of source-year revenue.

2014 filings • 501(c)3 • $50M-$100M nonprofits • Source year 2014

Asset Growth

95th percentile

44%

Faster asset growth than 95% of similar nonprofits.

2014 filings • 501(c)3 • $50M-$100M nonprofits • Annualized from 2013 to 2014

Revenue Growth

78th percentile

20%

Faster revenue growth than 78% of similar nonprofits.

2014 filings • 501(c)3 • $50M-$100M nonprofits • Annualized from 2013 to 2014

Assets

Up

$86,848,140

Up $26,610,047 (+44%) from 2013

Net Assets

Up

$7,232,785

Up $1,207,646 (+20%) from 2013

Liabilities

Up

$79,615,355

Up $25,402,401 (+47%) from 2013

Revenue

Up

$12,458,835

Up $2,070,498 (+20%) from 2013

Expenses

Up

$11,251,189

Up $2,903,768 (+35%) from 2013

Net Income

Down

$1,207,646

Down $833,270 (-41%) from 2013

Historical Trend

Balance Sheet Trend

The highlighted filing sits inside the broader history for assets, liabilities, and net assets.

$300M$200M$100M$0-$100MAssets 2010: $12,621,381Liabilities 2010: $10,886,287Net Assets 2010: $1,735,0942010Assets 2011: $33,216,982Liabilities 2011: $31,464,708Net Assets 2011: $1,752,2742011Assets 2012: $43,339,760Liabilities 2012: $39,355,537Net Assets 2012: $3,984,2232012Assets 2013: $60,238,093Liabilities 2013: $54,212,954Net Assets 2013: $6,025,1392013Assets 2014: $86,848,140Liabilities 2014: $79,615,355Net Assets 2014: $7,232,7852014Assets 2015: $138,371,114Liabilities 2015: $132,504,193Net Assets 2015: $5,866,9212015Assets 2016: $155,609,085Liabilities 2016: $155,440,414Net Assets 2016: $168,6712016Assets 2017: $149,496,888Liabilities 2017: $153,123,373Net Assets 2017: -$3,626,4852017Assets 2018: $190,518,971Liabilities 2018: $192,414,101Net Assets 2018: -$1,895,1302018Assets 2019: $192,295,553Liabilities 2019: $193,788,101Net Assets 2019: -$1,492,5482019Assets 2020: $194,373,025Liabilities 2020: $192,839,638Net Assets 2020: $1,533,3872020Assets 2021: $267,805,808Liabilities 2021: $264,825,766Net Assets 2021: $2,980,0422021Assets 2022: $267,753,850Liabilities 2022: $262,721,518Net Assets 2022: $5,032,3322022Assets 2023: $263,352,984Liabilities 2023: $255,286,227Net Assets 2023: $8,066,7572023Assets 2024: $255,180,266Liabilities 2024: $245,773,020Net Assets 2024: $9,407,2462024

Highlighted filing

2014

Assets$86,848,140
Liabilities$79,615,355
Net Assets$7,232,785

Operations Trend

Revenue, expenses, and net income across loaded years, with this filing highlighted.

$60M$40M$20M$0-$20MExpenses 2010: $3,041,6482010Revenue 2011: $3,955,792Expenses 2011: $3,938,612Net Income 2011: $17,1802011Expenses 2012: $6,622,1542012Revenue 2013: $10,388,337Expenses 2013: $8,347,421Net Income 2013: $2,040,9162013Revenue 2014: $12,458,835Expenses 2014: $11,251,189Net Income 2014: $1,207,6462014Revenue 2015: $17,559,077Expenses 2015: $18,924,941Net Income 2015: -$1,365,8642015Revenue 2016: $20,124,219Expenses 2016: $25,822,469Net Income 2016: -$5,698,2502016Revenue 2017: $24,991,579Expenses 2017: $28,786,735Net Income 2017: -$3,795,1562017Revenue 2018: $28,538,688Expenses 2018: $26,640,920Net Income 2018: $1,897,7682018Revenue 2019: $31,752,725Expenses 2019: $31,445,903Net Income 2019: $306,8222019Revenue 2020: $32,672,363Expenses 2020: $29,841,856Net Income 2020: $2,830,5072020Revenue 2021: $30,935,961Expenses 2021: $29,781,315Net Income 2021: $1,154,6462021Revenue 2022: $36,188,185Expenses 2022: $34,004,819Net Income 2022: $2,183,3662022Revenue 2023: $43,711,653Expenses 2023: $40,922,891Net Income 2023: $2,788,7622023Revenue 2024: $44,091,235Expenses 2024: $42,761,000Net Income 2024: $1,330,2352024

Highlighted filing

2014

Revenue$12,458,835
Expenses$11,251,189
Net Income$1,207,646
Jump To
Filing Snapshot
Filing Period
Jul 1, 2013 to Jun 30, 2014
Signed
May 9, 2015
Return Version
2013v4.0
Gross Receipts
$12,458,835
Mission and Program Overview

Mission

Great hearts is a non-profit network of public charter schools dedicated to improving education nationwide through classical preparatory k-12 academies. A great hearts education prepares students to be more than just proficient test takers, but rather, to become great-hearted leaders capable of success throughout their higher education and professional careers. With a curriculum built upon a classical liberal arts tradition and a revolutionary approach to school itself, great hearts cultivates the hearts and minds of students in the pursuit of truth, goodness, and beauty.

The mission of great hearts academies is to create a national network of academically rigorous, classical, liberal arts primary, middle, and high schools. This network will prepare its graduates for success in the most highly selective colleges and universities in the nation, and to be leaders in creating a more philosophical, humane, and just society. Great hearts public academies surpass the best public and private school options in academic outcomes, student moral formation, and comprehensive extra- curricular participation. The ultimate goal of the organization is to graduate great-hearted young men and women who possess a sense of destiny and purpose that is directed to the service of the greater good. By engaging in an intense and formative dialogue with the great books and ideas of western culture, by conversing with peers and teachers who also seek the truth, students come to understand more fully what it means to be a human being.

Balance Sheet Detail
LineBeginningEndChange
Assets
Land, Buildings, and Equipment, Net$48,074,804$74,947,430▲ $26,872,626
Cash and Non-Interest-Bearing Accounts$7,132,294$4,921,450▼ $2,210,844
Other Notes and Loans Receivable, Net$863,149$2,329,744▲ $1,466,595
Intangible Assets$1,453,968$2,147,096▲ $693,128
Pledges and Grants Receivable$646,022$1,165,917▲ $519,895
Accounts Receivable$1,824,101$754,312▼ $1,069,789
Prepaid Expenses and Deferred Charges$223,752$562,191▲ $338,439
Total Assets$60,238,093$86,848,140▲ $26,610,047
Other Assets Total$20,003$20,000▼ $3
Liabilities
Tax Exempt Bond Liabilities$40,640,000$69,058,393▲ $28,418,393
Accounts Payable and Accrued Expenses$3,101,362$6,448,279▲ $3,346,917
Mortgage Notes Payable Secured by Investment Property$10,324,848$2,531,822▼ $7,793,026
Other Liabilities$146,744$1,576,861▲ $1,430,117
Total Liabilities$54,212,954$79,615,355▲ $25,402,401
Net Assets / Fund Balance
Unrestricted Net Assets$5,379,117$6,066,868▲ $687,751
Temporarily Rstr Net Assets$646,022$1,165,917▲ $519,895
Total Net Assets Fund Balance$6,025,139$7,232,785▲ $1,207,646
Total Liabilities and Net Assets / Fund Balance$60,238,093$86,848,140▲ $26,610,047

Asset Categories

AssetBook ValueDepreciationBasis
Buildings$43,572,011$3,178,823$46,750,834
Other Land Buildings$23,187,408-$23,187,408
Land$7,246,550-$7,246,550
Equipment$941,461$258,443$1,199,904
Compensation and Service Providers

Employees

NameTitleFull / Part TimeBaseOtherTotal
Dan ScogginCEOFT$185,658$6,721$192,379
Ward HusethCFOFT$176,742$4,934$181,676
Aaron KindleVPFT$128,263$10,281$138,544
Kiann MapesCTOFT$124,567$6,289$130,856
Andrew EllisonVPFT$122,617$2,299$124,916
Helen HayesVPFT$113,175$5,401$118,576
Erik TwistVPFT$103,517$6,148$109,665
Jeff Van BruntCDOFT$99,150$3,799$102,949
Peter BezansonCAOFT$79,250$5,824$85,074
James HeilerPresidentFT$75,200-$75,200

Board Members and Trustees

Highest Paid Contractors

ContractorServicesLocationCompensation
Nation Group LLCConstruction-$740,580
Resources Global ProfessionalsConsulting-$229,485
-Consulting-$102,880
Revenue and Support

Revenue Composition

Contributions and Grants
$2,250,207
Program Service Revenue
$10,170,844
Investment Income
$37,784
Other Revenue
$0
All Other Contributions
$1,850,207
Change in Net Assets
$1,207,646
Expenses and Functional Allocation

Major Expense Lines

Line ItemAmount
Other Expenses$7,423,288
Salaries, Compensation, and Employee Benefits$3,827,901
Total Fundraising Expense$127,148
Grants and Similar Amounts Paid$0
Professional Fundraising Fees$0

Functional Expense Allocation

Line ItemProgramManagementFundraisingTotal
Interest-$2,685,810-$2,685,810
Other Salaries and Wages$48,400$1,747,073$2,345$1,797,818
Depreciation Depletion$1,717,274--$1,717,274
Current Officers, Directors, Trustees, and Key Employees$412,190$847,639-$1,259,829
Fees for Services Other$158,907$523,796$1,624$684,327
Other Employee Benefits$47,021$456,358$30,769$534,148
Fees for Services Management-$307,762-$307,762
Payroll Taxes$36,975$176,097$17,879$230,951
Occupancy$112,500$37,500-$150,000
Information Technology$10,502$96,887$8,168$115,557
Travel$6,478$55,690$871$63,039
Advertising-$4,809$44,270$49,079
Other Expenses$73$42,664$200$42,937
Office Expenses-$38,275$285$38,560
Fees for Services Legal$29,467$9,025-$38,492
Fees for Services Accounting$7,125$2,375-$9,500
Pension Plan Contributions$244$4,677$234$5,155
All Other Expenses--$3,682$3,682
Total Functional Expenses$3,506,102$7,617,939$127,148$11,251,189
Fundraising, Events, and Gaming
Fundraising activities
No
Gaming activities
No
Professional fundraiser used
No

Fundraising and Gaming Totals

Line ItemAmount
Professional Fundraising Fees$0
Political and Lobbying Activity
Political campaign activity
No
Lobbying activity
No
Subject to proxy tax
No
Debt and Bond Financing

Other Reported Liabilities

LiabilityAmount
Due to Related Party$1,046,950
Line of Credit$529,911
Other-

Bond Issues

BondIssuerIssuedIssue PricePurpose
B-2012-01-01$16,425,000-
C-2012-11-01$12,585,000-
A34-19755562010-12-01$11,630,000-
D-2013-11-01$9,053,716-

Bond Proceeds

BondTotal ProceedsSpentRetiredIssuance Costs
A----
B----
C----
D----

Bond Financing Compliance

No rebate due
No
Rebate not yet due
No
Form 8038-T filed
No
Gross proceeds invested
No
Gross proceeds invested in GIC
No
Exception to rebate
No
Governance and Compliance

Governance Checklist

Compiled or reviewed by an accountant
No
Annual disclosure for covered persons
Yes
Audit committee
Yes
Business relationship with family members
No
Business relationship with organization members
No
Material changes to governing documents
No
Compensation from other sources disclosed
No
CEO compensation reviewed
Yes
Other officer compensation reviewed
Yes
Conflict-of-interest policy
Yes
Audited financial statements prepared
Yes
Key decisions subject to board approval
No
Management duties delegated
No

Governance Explanations

Form 990, Page 6, Part VI, Line 11B

The 990 is prepared by an external cpa firm and is reviewed internally by the cfo. After completing the cfo review, the returns are finalized and then reviewed by the great hearts audit committee prior to being signed by the cfo.

Form 990, Page 6, Part VI, Line 12C

Board members, oficers and all employeees complete and sign a conflict of interest agreement. These agreements are reviewed by human resources and any conflicts are identified and reported to the auditors and the board to monitor.

Form 990, Page 6, Part VI, Line 15A

Subject to the school's conflict of interest policy, the school's tax- exempt sole member and the school's board approve the compensation of key staff such as headmaster and assistant headmaster.

Form 990, Page 6, Part VI, Line 15B

Employees and faculty are determined based on an organization wide salary range table which factors in education and experience.

Form 990, Page 6, Part VI, Line 19

All board meetings are posted in advance in accordance with arizona open meeting laws. The governing documents, conflict of interest policy, and financial statements are available both at the meeting or following the meeting and upon request.

Filing and Contact Details

Filer

EIN
20-2036133
Phone
4808999181

Signing Officer

Name
Ward Huseth
Title
CFO
Phone
4808999181
Signed
2015-05-09
Discuss with paid preparer
Yes

Organization Details

Principal Officer
Ward Huseth CFO
Formed
2004
Legal Domicile
Az
Voting Board Members
23
Independent Board Members
21
Employees
1,193
Volunteers
25

Preparer

Preparer
Rachel R Locke CPA
Phone
6022643077
Supplemental Narrative

Additional Explanations

FORM 990 - ORGANIZATION'S MISSION

The mission of great hearts academies is to create a national network of academically rigorous, classical, liberal arts primary, middle, and high schools. This network will prepare its graduates for success in the most highly selective colleges and universities in the nation, and to be leaders in creating a more philosophical, humane, and just society. Great hearts public academies surpass the best public and private school options in academic outcomes, student moral formation, and comprehensive extra- curricular participation. The ultimate goal of the organization is to graduate great-hearted young men and women who possess a sense of destiny and purpose that is directed to the service of the greater good. By engaging in an intense and formative dialogue with the great books and ideas of western culture, by conversing with peers and teachers who also seek the truth, students come to understand more fully what it means to be a human being.

Form 990, Page 1, Part I, Line 6

The volunteers help in classrooms and support teachers and students.

Form 990, Page 2, Part III, Line 4A

Formative dialogue with the great books and ideas of western culture, by conversing with peers and teachers who also seek the truth, students come to understand more fully what it means to be a human being.

Financial Statement Notes

Schedule D, Page 3, Part X

The organization is exempt from federal and state income taxes as an organization other than a private foundation under section 501(c)(3) of the internal revenue code and similar state provisions. The organization's forms 990 return of organization exempt from income tax are generally subject to examination for three years after they are filed, and the related state of arizona forms 990 will generally be subject to examination for four years from the later of the due date or the file date of the tax return.

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Document Assets

No mirrored PDF or thumbnail assets are attached yet.

Filings

Balance SheetOperations
YearAssetsLiabilitiesNet AssetsRevenueExpensesNet Income
2024Detailed filing. Detailed filing data is available for this year.$255$246$9.41$44.1$42.8$1.33
2023Detailed filing. Detailed filing data is available for this year.$263$255$8.07$43.7$40.9$2.79
2022Detailed filing. Detailed filing data is available for this year.$268$263$5.03$36.2$34.0$2.18
2021Detailed filing. Detailed filing data is available for this year.$268$265$2.98$30.9$29.8$1.15
2020Detailed filing. Detailed filing data is available for this year.$194$193$1.53$32.7$29.8$2.83
2019Detailed filing. Detailed filing data is available for this year.$192$194$1.49$31.8$31.4$0.31
2018Detailed filing. Detailed filing data is available for this year.$191$192$1.90$28.5$26.6$1.90
2017Summary only. Only limited summary data is available for this year.$149$153$3.63$25.0$28.8$3.80
2016Detailed filing. Detailed filing data is available for this year.$156$155$0.17$20.1$25.8$5.70
2015Detailed filing. Detailed filing data is available for this year.$138$133$5.87$17.6$18.9$1.37
2014Detailed filing. Detailed filing data is available for this year.$86.8$79.6$7.23$12.5$11.3$1.21
2013Summary only. Only limited summary data is available for this year.$60.2$54.2$6.03$10.4$8.35$2.04
2012Facts available. Structured filing facts are available, but richer extracted sections are limited.$43.3$39.4$3.98$6.62
2011Summary only. Only limited summary data is available for this year.$33.2$31.5$1.75$3.96$3.94$0.02
2010Facts available. Structured filing facts are available, but richer extracted sections are limited.$12.6$10.9$1.74$3.04