Roosevelt University

“The Executive Committee has broad authority to oversee the work of the Board and its committees, advise the President, and otherwise expedite the work of the Board of Trustees. The function of the Audit Committee is oversight. The purpose of the Audit Committee is to assist the Board of Trustees of Roosevelt University: I. In its oversight of the University's accounting and financial reporting principles and policies and internal accounting and disclosure controls and procedures; II. In its oversight of University's financial statements and the independent external audit thereof; III. In its oversight of the University's Federal Financial Assistance Single Audit; IV. In its evaluation of the independence of the external auditors; V. In its oversight of the University's internal audit function, addressing University policies, standards, and operations; VI. In its oversight of related party transactions.”

“Management performed a review of the Form 990. After management's review, the audit committee also reviewed the return. Prior to filing the return with the IRS, A COPY OF THE RETURN WAS PROVIDED TO ALL VOTING MEMBERS OF THE BOARD.”

“Each interested person is provided an electronic questionnaire annually to complete and disclose any conflicts. The process is monitored and the questionnaires are reviewed by the Assistant Secretary to the Board of Trustees. If any conflicts are disclosed those interested persons are asked to abstain from voting on the item related to the conflict.”

“The Board of Trustees appointed a compensation committee consisting of five (5) independent Roosevelt University Board of Trustee members. The Executive Compensation Committee (the "Committee") of the Board of Trustees of Roosevelt University shall review and approve the cash and non-cash compensation policies and programs and major changes in the University's benefit plans that are applicable to the President of the University and other designated senior personnel as determined by the Committee. This process is done on an annual basis. The process with respect to the President: 1. Request the President to complete a self-evaluation of goals and accomplishments for the prior year; 2. Once the self-evaluation is complete, the President submits the assessment to the compensation committee; 3. The committee reviews and discusses the assessment and reviews the data against the pre-established and agreed upon goals and accomplishments set for the year; 4. The committee compiles and reviews available comparable data for the compensation of other college and university presidents within the peer group established for the University. This comparable data is available both from IRS Form 990's filed by those institutions and from the data collected by the College and University Personnel Association (CUPA). The Associate VP for Human Resources is also involved to help summarize the data and compare it to peer group presidents on a median, mean and ranked basis; 5. The employment contract is reviewed and a salary increase and bonus is discussed; 6. The committee meets up to three times to deliberate and establish recommendations; 7. The recommendations are presented to the executive committee for approval The deliberations and decisions regarding the compensation arrangements are documented contemporaneously.”

“The Executive Compensation Committee (the "Committee") of the Board of Trustees of Roosevelt University shall review and approve the cash and non-cash compensation policies and programs and major changes in the University's benefit plans that are applicable to the President of the University and other designated senior personnel as determined by the Committee. This process is done on an annual basis. The process with respect to other executives: 1. Review and approve the President's recommendations on which positions will be covered by the policy; 2. Review with the President and approve the annual written performance goals of the other individuals covered by the Policy; 3. Review and approve the President's decisions to adjust compensation for other senior executives after the President's completion of the annual review of their performance. The deliberations and decisions regarding the compensation arrangements are documented contemporaneously.”

“Governing documents, conflict of interest policies and financial statements are not required disclosures pursuant to internal revenue code (IRC) section 6104. These documents are not available to the public at this time.”

“Seminar and lecture fees - Total Revenue: 16130, Related or Exempt Function Revenue: 16130, Unrelated Business Revenue: , Revenue Excluded from Tax Under Sections 512, 513, or 514: ; Miscellaneous Income - Total Revenue: 26514, Related or Exempt Function Revenue: 7137, Unrelated Business Revenue: , Revenue Excluded from Tax Under Sections 512, 513, or 514: 19377;”

“The form 990-t shows unrelated business income in the amount of $(926,487). This amount includes disallowed transportation fringe benefits, which is not reflected on form 990, part viii, column c. As a result, form 990, part i, line 7a is $(1,183,032).”

“During FY 2018, the 7-year compliance period ended for the NMTC transaction and pursuant to the project documents, all management and servicing agreements between the parties were terminated. Simultaneously, the University paid $77,069 for cancellation of the University's leverage loan to the investment fund under a "put" option as provided for under the original Project documents, resulting in assignment of the remaining NMTC loans (owed by Roosevelt University Development Corporation) to Roosevelt University. The notes receivable of $14,814,798 and notes payable of 14,836,908 between the parties were forgiven. In addition, intercompany receivable and payable of $423,700 between the parties were also written off. These resulted in a net loss of $14,391,098 for Roosevelt University and a net gain of $14,413,208 for Roosevelt University Development Corporation. In conjunction with the termination and unwind of the Project, the NMTC entities were no longer needed to carry out the intent they originally served, the University, on its own behalf as the sole member of RUDC, dissolved the Roosevelt Development Corporation, conveying all assets to Roosevelt University.”

“Unrealized loss on assets held for sale - -2691869;”