Twin Cities Academy

“The 990 tax return is completed by an independent auditor and is reviewed by the Board of Directors after being submitted. The board has granted authority to the Board Chair, Christine Rider to review and sign the return prior to being submitted.”

“For the annual audit, each board member completes a conflict of interest form which is reviewed by the board to ensure no conflicts exist. These forms are updated annually or as needed.”

“The board of directors reviews and approves all compensation to employees. Compensation is determined by the market for that particular position and past preformance.”

“Governing documents, conflict of interest policy's, and financial statements are available upon request.”

“Several members of the Board are teachers at the Academy. Minnesota State statute 124D.10 subd. 4(g) requires the Board to have at least one employed or contracted teacher.”

“Change in accounting principle -920,937.”

“The Academy Board assumes responsibility for oversight of the audit of its financial statements and selection of an independent accountant annually. This process has not changed from the prior year.”

“Made an effort to obtain information on compensation, if any, was paid from a related organization. No responses received, however, the client provided a breakdown of payments between Twin Cities Academy and the Twin Cities Academy High School.”

“During the year ended June 30, 2015, the School implemented GASB Statement No. 68, Accounting and Financial Reporting for Pensions-an amendment of GASB Statement No. 27. GASB Statement No. 68 included major changes in how employers account for pension benefit expenses and liabilities. In financial statements prepared using the economic resources measurement focus and accrual basis of accounting (government-wide and proprietary funds), an employer is required to recognize a liability for its share of the net pension liability provided through the pension plan. An employer is required to recognize pension expense and report deferred outflows of resources and deferred inflows of resources for its share related to pensions. This standard required retroactive implementation, which resulted in the restatement of net position as of June 30 2014. The net position of governmental activities in the government-wide statements as of June 30, 2014 was decreased by $920,937. This change reflects the School's proportionate share of the net pension liabilities ($979,678 decrease in net position) and related deferred outflows of resources ($58,741 increase in net position) for the PERA and TRA pension plans, which are now reported by employers under current guidance. Certain amounts necessary to fully restate fiscal year 2014 financial information are not determinable; therefore, prior year comparative amounts have not been restated.”

“The Academy is required to have an Authorizer to monitor its operations in order to maintain its charter. The Academy's approved Authorizer during the fiscal year 2014 - 2015 was University of St. Thomas.”