The Peddie School

“The organization's Federal Forms 990 and 990-T were provided to each voting member of its governing body, its Board of Trustees, prior to filing with the Internal Revenue Service ("IRS"). One of the responsibilities of the organizations Audit and Risk Committee is to oversee and coordinate preparation, review and filing of the organizations Federal Forms 990 and 990-T. The organization retained the services of a professional certified public accounting ("CPA") firm with experience and expertise in both education and not-for-profit tax return preparation to prepare the Federal Forms 990 and 990-T. The CPA firm's tax professionals worked closely with the organization's finance personnel including the Assistant Head of Finance and Operations and the Controller ("Internal Working Group") to obtain the information needed in order to prepare complete and accurate tax returns. The CPA firm prepared draft Federal Forms 990 and 990-T and furnished them to the organization's Internal Working Group for review. The organization's Internal Working Group reviewed the draft Federal Form 990 and 990-T and discussed questions and comments with the CPA firm. The CPA firm prepared a final draft of the Federal Forms 990 and 990-T for review and approval by the organization's Internal Working Group. The Audit and Risk Committee reviewed these final drafts of the Federal Forms 990 and 990-T, and provided them to each member of the Board of Trustees. Board approval of Federal Forms 990 and 990-T was secured prior to filing with the IRS.”

“A conflict of interest questionnaire and statement is completed by the entire board of trustees on an annual basis. The statements are kept on file and reviewed by the board of trustees. The board of trustees is also responsible for resolving matters that arise.”

“(a)Annually, the Executive Committee of the Peddie School Board of Trustees reviews the performance of the headmaster, the headmasters salary history and all benefits, and a comparison study of salary and benefits for headmasters at comparable schools. Based on the foregoing, the Board Chair, in consultation with the Executive Committee, determines the headmasters salary for the coming year. (b) Annually, the headmaster reviews with the Executive Committee of the Peddie School Board of Trustees the performance of members of the senior planning team, their salary histories and all benefits, and a comparison study of salary and benefits for similar positions at comparable schools. The headmaster provides the Executive Committee with salary recommendations for the Committees concurrence.”

“The peddie school does not make its governing documents, conflict of interest policy and financial statements available to the public. the financial statements are made available to bondholders, insurers, rating agencies and others with a financial interest.”

“The gain shown is net of $1,709,236 in investment expenses.”

“Write-off of uncollectible pledges (74,339)”

“The financial aid shown on part ix, line 2 includes $1,373,000 in tuition remission for children of employees of peddie school.”