Civic Intelligence

Hallmark University Inc.

990 • Fiscal year 2017 • EIN 45-4620000

Jan 01, 2017 to Dec 31, 2017 • Filed on Nov 13, 2018

10401 Ih 10 WestSan Antonio, TX 78230-1736

(210) 690-9000

Siviq Scores

Precomputed percentiles for this filing year versus similar nonprofits in the same peer cohort.

Liabilities / Assets

58th percentile

0.34x

Higher debt load relative to assets than 58% of similar nonprofits.

2017 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2017

Liabilities / Revenue

47th percentile

0.27x

Higher debt load relative to revenue than 47% of similar nonprofits.

2017 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2017

Net Margin

88th percentile

39%

Higher net margin than 88% of similar nonprofits.

2017 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2017

Top Officer Pay

33rd percentile

$188,012

Higher top officer pay than 33% of similar nonprofits.

Top officer pay equals 0.5% of source-year revenue.

2017 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2017

Asset Growth

12th percentile

-5.5%

Faster asset growth than 12% of similar nonprofits.

2017 filings • 501(c)3 • $25M-$50M nonprofits • Annualized from 2016 to 2017

Revenue Growth

95th percentile

138%

Faster revenue growth than 95% of similar nonprofits.

2017 filings • 501(c)3 • $25M-$50M nonprofits • Annualized from 2016 to 2017

Assets

Down

$28,128,150

Down $1,646,012 (-5.5%) from 2016

Net Assets

Up

$18,529,266

Up $13,751,518 (+288%) from 2016

Liabilities

Down

$9,598,884

Down $15,397,530 (-62%) from 2016

Revenue

Up

$35,537,553

Up $20,594,023 (+138%) from 2016

Expenses

Up

$21,786,035

Up $7,750,720 (+55%) from 2016

Net Income

Up

$13,751,518

Up $12,843,303 (+1414%) from 2016

Historical Trend

Balance Sheet Trend

The highlighted filing sits inside the broader history for assets, liabilities, and net assets.

$60M$40M$20M$0Assets 2013: $28,821,653Liabilities 2013: $25,854,249Net Assets 2013: $2,967,4042013Assets 2014: $29,520,621Liabilities 2014: $26,183,237Net Assets 2014: $3,337,3842014Assets 2015: $29,153,114Liabilities 2015: $25,283,581Net Assets 2015: $3,869,5332015Assets 2016: $29,774,162Liabilities 2016: $24,996,414Net Assets 2016: $4,777,7482016Assets 2017: $28,128,150Liabilities 2017: $9,598,884Net Assets 2017: $18,529,2662017Assets 2018: $28,253,425Liabilities 2018: $8,659,346Net Assets 2018: $19,594,0792018Assets 2019: $28,764,186Liabilities 2019: $8,606,963Net Assets 2019: $20,157,2232019Assets 2020: $28,970,412Liabilities 2020: $7,105,563Net Assets 2020: $21,864,8492020Assets 2021: $50,738,491Liabilities 2021: $27,034,891Net Assets 2021: $23,703,6002021Assets 2022: $51,092,580Liabilities 2022: $26,913,545Net Assets 2022: $24,179,0352022Assets 2023: $49,829,474Liabilities 2023: $25,304,339Net Assets 2023: $24,525,1352023Assets 2024: $51,740,113Liabilities 2024: $26,687,561Net Assets 2024: $25,052,5522024

Highlighted filing

2017

Assets$28,128,150
Liabilities$9,598,884
Net Assets$18,529,266

Operations Trend

Revenue, expenses, and net income across loaded years, with this filing highlighted.

$40M$30M$20M$10M$0Revenue 2013: $15,304,095Expenses 2013: $12,336,691Net Income 2013: $2,967,4042013Revenue 2014: $14,073,984Expenses 2014: $13,704,004Net Income 2014: $369,9802014Revenue 2015: $15,286,982Expenses 2015: $14,754,833Net Income 2015: $532,1492015Revenue 2016: $14,943,530Expenses 2016: $14,035,315Net Income 2016: $908,2152016Revenue 2017: $35,537,553Expenses 2017: $21,786,035Net Income 2017: $13,751,5182017Revenue 2018: $15,673,621Expenses 2018: $14,608,808Net Income 2018: $1,064,8132018Revenue 2019: $16,543,409Expenses 2019: $15,980,265Net Income 2019: $563,1442019Revenue 2020: $19,547,014Expenses 2020: $17,839,388Net Income 2020: $1,707,6262020Revenue 2021: $19,939,747Expenses 2021: $18,356,383Net Income 2021: $1,583,3642021Revenue 2022: $21,246,627Expenses 2022: $20,704,546Net Income 2022: $542,0812022Revenue 2023: $19,011,159Expenses 2023: $18,729,516Net Income 2023: $281,6432023Revenue 2024: $18,994,165Expenses 2024: $18,502,856Net Income 2024: $491,3092024

Highlighted filing

2017

Revenue$35,537,553
Expenses$21,786,035
Net Income$13,751,518
Jump To
Filing Snapshot
Filing Period
Jan 1, 2017 to Dec 31, 2017
Signed
Nov 13, 2018
Return Version
2017v2.3
Gross Receipts
$35,564,110
Mission and Program Overview

Mission

Hallmark university, inc.'s mission is to: establish, maintain, and conduct post-secondary, secondary, and primary institutions of learning under the influence of judeo-christian principles in san antonio, texas, and elsewhere as may be deemed advisable. The organization and all of its agencies shall be nondiscriminatory - open to both sexes and to those of any race or religion; establishing educational and learning partnerships with industry; establishing institutions of excellence through a learning environment that promotes the importance of character and virtue in business, education, religion, research, arts, government, and community service; to obtain all accreditations and licenses required to participate in any united states department of education student loan and/or grant programs/ and to engage in any and all lawful activities incidental to the foregoing purposes.

Establish, maintain, & conduct post- secondary, secondary, & primary institutions of learning under the influence of judeo-christian principles in san antonio, texas.

Balance Sheet Detail
LineBeginningEndChange
Assets
Land, Buildings, and Equipment, Net$1,338,712$7,055,840▲ $5,717,128
Savings and Temporary Cash Investments$1,478,609$2,516,609▲ $1,038,000
Cash and Non-Interest-Bearing Accounts$662,598$1,254,502▲ $591,904
Accounts Receivable$2,155,013$1,192,847▼ $962,166
Inventories for Sale or Use$132,622$147,666▲ $15,044
Prepaid Expenses and Deferred Charges$79,899$77,582▼ $2,317
Total Assets$29,774,162$28,128,150▼ $1,646,012
Other Assets Total$23,926,709$15,883,104▼ $8,043,605
Liabilities
Other Liabilities$22,781,113$7,367,385▼ $15,413,728
Accounts Payable and Accrued Expenses$1,752,331$1,914,435▲ $162,104
Deferred Revenue$462,970$317,064▼ $145,906
Total Liabilities$24,996,414$9,598,884▼ $15,397,530
Net Assets / Fund Balance
Unrestricted Net Assets$4,720,753$18,411,621▲ $13,690,868
Temporarily Rstr Net Assets$56,995$117,645▲ $60,650
Total Net Assets Fund Balance$4,777,748$18,529,266▲ $13,751,518
Total Liabilities and Net Assets / Fund Balance$29,774,162$28,128,150▼ $1,646,012

Asset Categories

AssetBook ValueDepreciationBasis
Buildings$4,820,000-$4,820,000
Equipment$1,498,884$946,134$2,445,018
Leasehold Improvements$575,555$102,398$677,953
Other Land Buildings$161,401$174,114$335,515
Other Assets Org$15,883,104--

Endowment Activity

PeriodBeginningContrib.Gain/LossOther UsesEnd
2017$56,995$82,650--$117,645
2016$39,250$29,745--$56,995
2015$29,750$21,500--$39,250
2014-$30,250--$29,750
Compensation and Service Providers

Employees

NameTitleFull / Part TimeBaseOtherTotal
Taylor MercierChief Information OfficerFT$174,991$13,021$188,012
Joe FisherCEO/directorFT$180,000$6,319$186,319
Brent FesslerDirectorFT$139,525$12,126$151,651
Donald GregsonSr. Vice President OperatiFT$143,962$4,637$148,599
Gabriel OluwakotanmiDirector of NursingFT$116,422$9,151$125,573
Roxanne DartyVP, Financial OperationsFT$107,314$2,168$109,482

Board Members and Trustees

NameTitle
Dean RushChairman/director
Wn Chuck CarrollVice Chair/director
Carolyn FesslerDirector/trustee
David MartinezDirector/trustee
Phil HarrisSecretary/director
Brandon LoganTrustee/director
Jerry ValdezTrustee/director
Paul NguyenTrustee/director
Richard FesslerTrustee/director
Robert LunaTrustee/director
Vanessa KenonTrustee/director
Revenue and Support

Revenue Composition

Contributions and Grants
$5,669,050
Program Service Revenue
$14,168,104
Investment Income
$67
Other Revenue
$15,700,332
All Other Contributions
$5,659,050
Change in Net Assets
$13,751,518

Noncash Contribution Practices

Property subject to holding requirements
No
Reviewed unusual noncash gifts
Yes
Third parties used for noncash contributions
Yes

Noncash Contributions

Contribution TypeContribution CountReported AmountValuation Method
Real Estate Commercial1$4,820,000Fair Market Value (FMV)
Other Non Cash Contri Table1$718,000Fair Market Value (FMV)
Total Noncash Contributions2$5,538,000-

Audited Revenue Reconciliation

Revenue per Audited Statements
$35,537,553
Revenue Not Reported on Financial Statements
$0
Revenue Not Reported on Form 990
$0
Total Revenue per Audited Statements
$35,537,553
Total Revenue per Form 990
$35,537,553
Expenses and Functional Allocation

Major Expense Lines

Line ItemAmount
Other Expenses$14,575,956
Salaries, Compensation, and Employee Benefits$6,843,545
Grants and Similar Amounts Paid$366,534
Total Fundraising Expense$18,468
Professional Fundraising Fees$0

Functional Expense Allocation

Line ItemProgramManagementFundraisingTotal
Other Salaries and Wages$2,508,938$2,658,545-$5,167,483
Advertising$1,868,656--$1,868,656
Occupancy$37,543$1,354,943-$1,392,486
Current Officers, Directors, Trustees, and Key Employees-$909,636-$909,636
Office Expenses$427,924$350,841-$778,765
Payroll Taxes$226,626$296,287-$522,913
Interest-$486,000-$486,000
Depreciation Depletion-$327,690-$327,690
Grants to Domestic Individuals$314,439--$314,439
Other Employee Benefits$76,414$89,344-$165,758
Information Technology$141,579$20,762-$162,341
Fees for Services Other$350$114,708-$115,058
Insurance-$82,258-$82,258
Pension Plan Contributions$38,569$39,186-$77,755
Grants to Domestic Orgs$52,095--$52,095
Fees for Services Accounting-$51,505-$51,505
Travel$649$41,498-$42,147
Conferences and Meetings$1,568$32,790-$34,358
Fees for Services Legal-$23,578-$23,578
Other Expenses$499,591$8,037,340$18,468$18,468
Total Functional Expenses$6,850,656$14,916,911$18,468$21,786,035

Audited Expense Reconciliation

Line ItemAmount
Expenses per Audited Statements$21,786,035
Total Expenses per Audited Statements$21,786,035
Total Expenses per Form 990$21,786,035
Expenses Not Reported on Financial Statements$0
Expenses Not Reported on Form 990$0
International Activity

Grant and Assistance Recipients

RecipientLocationCategoryPurposeAmount
Oak Hills Church of ChristSan Antonio, TX501(c)(3)General Support$30,000
Intercessors International Dba Increase InternationalBulverde, TX501(c)(3)General Support$6,000
American Diabetes AssociationSan Antonio, TX501(c)(3)General Support$5,000
Fundraising, Events, and Gaming
Fundraising activities
Yes
Gaming activities
No
Professional fundraiser used
No

Fundraising and Gaming Totals

Line ItemAmount
Fundraising Gross Income$26,300
Fundraising Direct Expenses$18,468
Professional Fundraising Fees$0

Fundraising Events

EventGross ReceiptsGross RevenueDirect ExpensesNet Income
T4c Luncheon$36,300$26,300$4,370$21,930
Total Events$36,300$26,300$18,468$7,832
Political and Lobbying Activity
Political campaign activity
No
Lobbying activity
No
Subject to proxy tax
No
Insider Transactions and Loans

Interested-Person Transactions

Interested PartyRelationshipDescriptionShared RevenueAmount
-Entity Owned by Richard & Carolyn FesslerRentNo$634,899
-Entity Owned by Richard & Carolyn FesslerRentNo$256,916
-Entity Owned by Richard & Carolyn FesslerRentNo$122,500
Debt and Bond Financing

Other Reported Liabilities

LiabilityAmount
Notes Payable$7,107,024
Obligations Under Capital Leases$260,361
Governance and Compliance

Governance Checklist

Compiled or reviewed by an accountant
No
Annual disclosure for covered persons
Yes
Audit committee
Yes
Backup withholding compliance
Yes
Business relationship with family members
No
Business relationship with organization members
No
Material changes to governing documents
No
Compensation from other sources disclosed
No
CEO compensation reviewed
Yes
Other officer compensation reviewed
Yes
Conflict-of-interest policy
Yes
Audited financial statements prepared
No
Key decisions subject to board approval
No
Management duties delegated
No

Governance Explanations

Form 990, Part VI, Section A, Line 2

Richard fessler, carolyn fessler and brent fessler have a family relationship.

Form 990, Part VI, Section B, Line 11B

Form 990 is reviewed for accuracy and completeness by hallmark university's vp of finance and ceo. A copy of the form 990 was provided to each member of the board of trustees before filing with the irs.

Form 990, Part VI, Section B, Line 12C

The board of directors are required to complete and sign a conflict of interest statement on a yearly basis.

Form 990, Part VI, Section B, Line 15

An independent cpa firm compiled compensation data from comparable organizations; data was submitted to the board of trustees' compensation committee. After reviewing the compensation data, the committee authorized salaries for the organization's ceo, other officers, and key employees. 5-year contracts were executed for the authorized compensation, for all applicable employees.

Form 990, Part VI, Section C, Line 19

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

Form 990, Part VII Contact Addresses for Officers, Directors, Etc

Phil harris - 13114 creek briar, san antonio, tx 78230. David martinez - 4509 ben hogan dr., mcallen, tx 78503. W.n. "chuck" carroll - 17822 salado draw, san antonio, tx 78258. Carolyn fessler - one priors way, san antonio, tx 78258. Robert luna - 9639 mccullough ave, san antonio, tx 78216. Jerry valdez - po box 12031, austin, tx 78711. Vanessa kenon - 25057 toutant beauregard road, san antonio, tx 78255. Paul nguyen - 10636 newcroft place, helotes, tx 78023. Brandon logan - 4408 pinehurst mesa, san antonio, tx 78247.

Filing and Contact Details

Filer

Filer Name
Hallmark University Inc
EIN
45-4620000
Phone
2106909000
Address
10401 IH 10 WEST, SAN ANTONIO, TX 78230-1736

Signing Officer

Name
Joe Fisher
Title
CEO
Phone
2106909000
Signed
2018-11-13
Discuss with paid preparer
Yes

Organization Details

Principal Officer
Joe Fisher CEO
Formed
2012
Legal Domicile
TX
Voting Board Members
11
Independent Board Members
9
Employees
177
Volunteers
0

Preparer

Firm
Salmon Sims Thomas & Associates Pllc
Address
12720 HILLCREST ROAD SUITE 500, DALLAS, TX 75230-2039
Preparer
William H Sims
Phone
9723921143
Supplemental Narrative

Financial Statement Notes

PART V, LINE 4:

As december 31, 2017, temporarily restricted net assets were restricted for use in the following programs: student scholarship funds $71,145 student assistance/ outreach 500 training aircraft for a&p maintenance program 13,500 pledges 32,500 total $117,645

PART X, LINE 2:

Management has concluded that any tax positions that would not meet the more-likely-than-not criterion of the fasb asc topib 740-10, accounting for income taxes, would be immaterial to the financial statements taken as a whole. Accordingly, the accompanying financial statements do not include any provision for uncertain tax positions, and no amounts have been accrued in the statement of financial position. Federal and state tax returns of the entity are generally open to examination by the relevant taxing authorities for a period of three years from the date the returns are filed.

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IRS990/Desc0HALLMARK UNIVERSITY INC. PUTS STUDENTS IN CONTROL OF THEIR FUTURES, GUIDING THEM TO BETTER LIVES. THROUGH HANDS-ON AND CLASSROOM TRAINING, STUDENTS LEARN THE PROPER TOOLS AND TECHNIQUES REQUIRED TO BECOME SUCCESSFUL. COMPREHENSIVE COURSES GIVE STUDENTS VALUABLE TIME WORKING IN THEIR CHOSEN FIELD IN REAL-WORLD SETTINGS. THE UNIVERSITY HAS PROGRAMS IN AERONAUTICS, ALLIED HEALTH, BUSINESS, INFORMATION TECHNOLOGY AND NURSING.
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IRS990/Form990PartVIISectionAGrp/PersonNm0RICHARD FESSLER
IRS990/Form990PartVIISectionAGrp/PersonNm1DEAN RUSH
IRS990/Form990PartVIISectionAGrp/PersonNm2PHIL HARRIS
IRS990/Form990PartVIISectionAGrp/PersonNm3JOE FISHER
IRS990/Form990PartVIISectionAGrp/PersonNm4DAVID MARTINEZ
IRS990/Form990PartVIISectionAGrp/PersonNm5WN CHUCK CARROLL
IRS990/Form990PartVIISectionAGrp/PersonNm6CAROLYN FESSLER
IRS990/Form990PartVIISectionAGrp/PersonNm7BRENT FESSLER
IRS990/Form990PartVIISectionAGrp/PersonNm8ROBERT LUNA
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