Beloit College

“Beloit college's form 990 was prepared by an independent certified public accounting firm. A draft of the form 990 was provided electronically to the board of trustees audit committee for review at the may audit committee meeting. The may meeting agenda included discussion of questions or concerns regarding the information contained in the form 990. Once all issues and questions regarding the return were resolved, the form 990 was finalized to incorporate any necessary changes. An updated version was provided electronically to the controller to distribute to the audit committee for additional matters to be addressed and resolved. The finalized version of form 990 was filed with the irs on or before the may 15th filing deadline. To respect the wishes of certain donors to remain anonymous, we have chosen not to provide a full disclosure copy of the 990 to the full governing board of beloit college. The board does, however, receive a full report less the donor names and addresses to review. A full disclosure copy, with all donor information, will be filed with the irs.”

“Trustees and officers are required to complete conflict of interest documents annually. In connection with any actual or possible conflict of interest, any person covered by this policy must disclose the existence of the conflict issue and all material facts concerning the issue. The board of trustees must review and approve all substantial conflicting activities of all trustees. The audit & risk management committee must review and approve all substantial conflicting activities of corporate officers. When there is doubt as to whether a conflict of interest exists, the matter shall be resolved by the audit & risk management committee for corporate officers and the executive committee for the trustees.”

“The college participates annually in an officer compensation survey conducted by the wisconsin association of independent colleges and universities (waicu), and an annual administrative salary survey conducted by the associated colleges of the midwest (acm) with bi-annual inclusion of the great lakes colleges association (glca). The surveys are reviewed as a part of the process for determining encumbent salary increases annually. Additionally, the surveys and independent comparability data from the waicu and acm/glca schools were utilized to determine compensation for hiring executives, officers and key staff to fill vacancies. The executive committee of the beloit college board of trustees acts as the compensation committee. There are 5 members of this committee, the chair of the board, the chair of the budget committee, and 4 members elected from the full board. The process used to determine the compensation of the president and to review the compensation of the officers of the college is detailed below: 1. Market data from compensation surveys of member colleges of the associated colleges of the midwest/great lakes colleges association (acm/glca), member colleges of the wisconsin association of independent colleges and universities (waicu), and twenty comparative national residential liberal arts colleges beloit uses for a variety of purposes are used to compare the salaries, benefits and other perquisites of the president and officers of the college. 2. The executive committee uses the market data as part of their decision process. Prior to the spring board of trustees meeting, the executive committee is also provided with an annual report and reflection on the previous year authored by the president. This is discussed by the executive committee with the president and in executive session at their spring meeting. Following this discussion, the executive committee decides on a compensation proposal to bring to the full board. 3. The executive committee takes their recommendation regarding the president's compensation for review and consideration to the full board also at the spring board of trustees meeting. At this meeting, the executive committee summarizes the president's annual report, their own deliberations, and the argument for the compensation recommendation they are proposing. 4. Once the compensation package is approved, it is communicated to the vice president for human resources and operations who implements the decision for the next fiscal year.”

“Audited financial statements are available on the college's website. Other documents may be made available upon request for the same period of time as set forth in irc section 6104(d).”

“Adjustments to actuarial liability for annuities payment -601,250. Change in fair value of swap liability -1,358,077.”