Smith Shaver Law School Scholarship Fund Inc

“Five (5) Board members are appointed by the Deans of the supported Law Schools to represent their respective Law School. The remaining two (2) Board members serve on the Board as directed by the North Carolina Superior Court Order noted in Schedule O with respect to Form 990, Part III, Line 1.”

“Five (5) Board members are appointed by the Deans of the supported Law Schools to represent their respective Law School. The remaining two (2) Board members serve on the Board as directed by the North Carolina Superior Court Order noted in Schedule O with respect to Form 990, Part III, Line 1.”

“Each Scholarship Fund Board member received a copy of Form 990 and related Schedules prior to filing and was provided an opportunity to comment. Each Board member received financial updates, including an annual income statement, for the year 2024 prior to the 2025 annual Board meeting. The Fund's investment manager bank appeared at the Board meeting and was consulted as needed during 2024.”

“Board members abide by the Conflicts Policy set out in the by-laws, which requires a Board member, among other things, to disclose a direct or indirect material financial interest concerning any transaction. During 2024 the Scholarship Fund engaged in no financial transactions other than choosing an investment advisor, setting investment policy, and making tuition payments as directed by the Law Schools. Names of scholarship candidates are submitted by the Law Schools for Board consideration and circulated among Board members to ensure no awards are made to potentially excluded persons and to minimize the possibility of conflicts arising in the selection process. Any Board discussion regarding a potential conflict is memorialized.”

“The Scholarship Fund has no employees. All officers are also Board members. For this reason, the Scholarship Fund does not need a formal whistleblower policy.”

“No Board member or officer receives compensation. The Scholarship Fund has no paid employees. As no compensation is paid, no process by which compensation is to be determined is needed.”

“The Scholarship Fund's website www.smithshaverscholarship.org sets out the Fund's articles of incorporation, by-laws, Form 1023, and the Fund's IRS and State of North Carolina Exemption Letters. The website contains Form 990s and related schedules for all tax years of the Fund's existence. The website provides a history of the Fund. The Fund's by-laws, including the conflict of interest policy and governance provisions, were adopted by the Board at its initial meeting.”

“The Smith/Shaver Law School Scholarship Fund, Inc., was established by Order of the Honorable Howard E. Manning, Jr., through a grant from the settlement fund created in the class actions known as Donald L. Smith v. State of North Carolina and Manila G. Shaver v. State of North Carolina. The initial Scholarship Fund consisted of the $6,000,000.00 remaining in the class actions settlement fund after payments to class members in full and for the costs of settlement administration. The Court directed that the Scholarship Fund be used to provide scholarships to North Carolina residents who attend the Law School at one of the following Universities: Campbell University, Duke University, North Carolina Central University, the University of North Carolina at Chapel Hill, and Wake Forest University. Smith/Shaver scholarships are based primarily on need.”

“The unrealized gain/loss is based on running totals. The figure provided matches the accurate balance sheet figures set out in Part X.”