Phi Kappa Tau Foundation

“The foundation manages a fund set up by a donor which also benefits other organizations.”

“Funds are restricted for chapter educational grants, scholarships and general operations of the foundation. The foundation has adopted investment and spending policies for assets held for endowment that attempt to provide a predictable stream of funding to programs supported by its endowment while seeking to maintain the purchasing power of the endowment assets. Assets held for endowment include those assets of donor-restricted funds the foundation must hold in perpetuity. Under this policy, as approved by the board of trustees, the endowed investments are invested in a manner that is intended to produce a total return which protects the purchasing power of the endowed investments, and which allows spending under the terms of each endowment fund. The foundation evaluates its investments by comparing actual investment performance to various applicable benchmarks. The foundation expects its endowment investments to meet or exceed these benchmarks over time. Actual returns in any given year may vary from these benchmarks. Effective april 2024, the foundation updated the policy for its donor-restricted endowment funds of appropriating for distribution each year 5% of its endowment funds' average fair value over the trailing 12 quarters' ending balances. The board can approve additional extraordinary distributions from time to time.”

“Accounting principles generally accepted in the united states of america require management to evaluate tax positions taken by the foundation and recognize a tax liability if the foundation has taken an uncertain position that more likely than not would not be sustained upon examination by various federal and state taxing authorities. Management has analyzed the tax positions taken by the foundation, and has concluded that as of june 30, 2024, there are no uncertain positions taken or expected to be taken that would require recognition of a liability or disclosure in the accompanying financial statements. The foundation has filed its federal income tax return for the periods through june 30, 2023 and is subject to routine audits by taxing jurisdictions. However, as of the date the financial statements were available to be issued, there were no audits for any tax periods in progress. These income tax returns are generally open to examination by the relevant taxing authorities for a period of three years from the later of the date the return was filed or its due date (including approved extensions).”

“Increase in csv of life insurance 9,264. Change in value of beneficial interest in perpetual trust 423,456.”