Covenant Christian Schools of Indianapolis Inc.

“The Executive Committee is composed of the Board President, Secretary, and at least two Directors. The Committee has the authority of the Board of Directors in the management and business of the Corporation between meetings of the Board of Directors. The Committee meets and decides on critical issues in those occasions when Board action is required. The Committee documents actions taken and presents them for ratification to the full Board at its next meeting.”

“Form 990 was prepared by an independent CPA firm and reviewed in detail by top management. After top management review, the Finance and Audit Committee reviewed and approved Form 990. The return was then distributed electronically to all board members prior to filing with the IRS.”

“All officers and directors annually complete conflict of interest statements. The Executive Committee of the Board reviews the signed statements and monitors any interests that could give rise to conflicts. Should any potential conflicts of interest be disclosed, the director or officer would be asked to refrain from participation in any decision with regard to matters affected by the relationship.”

“Independent Board members serving on the board's finance committee determined the CEO and Principal's compensation using comparability data based on local private secondary schools. This process is documented. The CEO and Principal, who is independent of the Assistant Treasurer, determined her compensation based upon comparabiltiy data. This process is also documented. The process is repeated on an annual basis for the upcoming school year.”

“The school's governing documents, conflict of interest policy and financial statements are available to the public upon request.”

“Covenant Christian Schools of Indianapolis, Inc. has filed its Form 990 returns for previous years based upon income tax basis financial statements which established a replacement reserve and an obsolescence reserve for major asset replacement. These reserves are not in accordance with accounting principles generally accepted in the United States of America (GAAP). The School has adopted GAAP for financial statement purposes and the 2018 990 has been prepared on the accrual basis of accounting to reflect this updated reporting.”

“The organization's Audit Committee assumes responsibility for oversight of the audit of its financial statements and selection of its independent accountant. This process has not changed since the prior year.”

“In accordance with the principles of FASB ASU 2016-14 (ASC 958), the organization has implemented required changes to its audited financial statements for the period ended 6/30/2019. The 2018 Form 990 and its associated schedules have not been updated to reflect changes made by this standard. Thus, we have reported the revised net asset categories from the audited financial statements as follows on Form 990, Part X, Lines 27-29: Net assets without donor restrictions Line 27 - Unrestricted net assets $4,489,955 Net assets with donors restrictions Line 28 - Temporarily restricted net assets $ 203,643 Line 29 - Permanently restricted net assets $ 368,069 Subtotal $ 571,712 Total net assets $5,061,667”