Cincinnati Museum Center

“The center owns collections of works of art, historical treasures, and similar assets that it and its predecessor organizations acquired over the years. Such collections are protected, cared for and held in the center's museums and facilities for public exhibition, education, and research. Such collections have not been capitalized and contributions of such items are not recognized as support/revenue in the center's financial statements. Purchases of collection items are recorded as decreases in unrestricted net assets in the year in which the items are acquired and proceeds from deaccessions are reflected as increases in temporarily restricted net assets.”

“Cincinnati museum center collections contain approximately two million objects, specimens and archive documents. Nearly 90% of the items in our collections are from the ohio valley region. Several collections date from the early 1800s and have been further developed over time by the cincinnati museum of natural history and the cincinnati historical society. Cmc collections are the basis of museum exhibits, scholarly research, and educational programs within our museums. Collections are made available to the community though an active incoming and outgoing loan program for both exhibit and scientific research purposes. Cmc collections provide the foundation for delivery of our educational mission.”

“Cincinnati museum center has a policy of appropriating distributions each year of up to five percent of its previous three-year average endowment fund balance. In establishing this policy, the corporation has considered the long-term expected return on its endowment. Accordingly, this spending policy should, over time, protect the inflation-adjusted value of the endowment and, consequently, allow inflation-adjusted spending to occur in the distant future. This is consistent with the corporation's objective to maintain the purchasing power of the endowment assets held in perpetuity or for a specified term as well as to provide additional real growth through new gifts and investment return.”

“The financial accounting standards board ("fasb") has issued guidance which clarifies generally accepted accounting principles for recognition, measurement, presentation, and disclosure relating to uncertain tax positions. This guidance clarifies the accounting and recognition for income tax positions taken or expected to be taken in the corporation's income tax returns. The corporation's tax filings are subject to audit by various taxing authorities. The corporation's policy with regards to interest and penalties is to recognize interest through interest expense and penalties through other expense. In evaluating the corporation's tax provision and tax exempt status, interpretations and tax planning strategies were considered. The corporation believes their estimates are appropriate based on the current facts and circumstances.”