Malone University

“David king is a paid employee of the university, and, as such, is considered a non-independent board member. David murray, brian miller, rhonda mitchell, and alice williams are considered non-independent board members due to transactions reported on schedule l. Form 990, part vi, section b, line 11b the malone university board of trustees reviews a draft of form 990 excluding schedule b and gives their approval. A final copy of form 990 excluding schedule b is provided to each board member prior to submission to the irs by the audit firm.”

“The executive committee of the board reviews all conflict of interest statements of family and business disclosure letters returned to malone where a conflict is disclosed. The annual conflict of disclosure statements are submitted to, and reviewed by, the executive committee. In addition, the executive staff is responsible for monitoring any possible conflict transaction that arises to ensure that all transactions represent arm's length, fair market value for the benefit of the organization.”

“Compensation studies for the organization's president are researched and prepared by the hr director. That information is submitted to the presidential review and compensation committee (prcc) at the october board meeting for their review and approval. The committee is responsible for applying terms and processes of the executive compensation and intermediate sanctions as outlined above to follow the rebuttable presumption of reasonableness test.”

“The process for determining compensation for the organization's officers, and key employees is prepared by the hr director and the information is submitted to the president for his/her review and approval. The hr director uses cupa reports to determine the appropriate salaries at the vice-presidential and administrator level. The provost reviews the salaries of deans and key faculty members.”

“Malone university makes its governing documents, conflict of interest policy, and financial statements available to the public upon request and applicable document copies are sent to the requester free of charge.”

“The university previously did not record assets related to two perpetual trusts which include the university as a named beneficiary. As a result, the prior year financial statements have been restated. The prior year balances on part x have been updated to reflect this restatement.”

“Change in value of beneficial interests $26,247”