The Alfred and Adele Davis Academy Inc

“Endowment assets include those assets of donor restricted funds the the academy must hold in perpetuity or for a donor-specified period(s) as well as board-designated funds. The Academy's endowments are invested in pooled funds. AAs of December 2023, the organization began transferring funds from Wells Fargo to Charles Schwab. As of December 31, 2024, all funds had been transferred. The Academy's investment policy defines acceptable investment vehicles and also establishes a minimum and maximum for each type of investment to achieve the stated goals. The approved investment vehicles include equities, fixed income securities, cash equivalents, real assets and alternative investments. The Academy has adopted a spending policy under which spending of income earned by the unrestricted endowment accounts is discretionary, based on the needs of the Academy and the approval of the Academy's Board of Trustees. Endowment funds created through restricted gifts from donors are to be managed according to the wishes of the donors. However, only up to 4% of the three-year average market value will be distributed. Unless otherwise stipulated by the donors, all principal is to be kept intact, and only the earnings are to be used for the restricted purpose of the fund. The Academy considers a fund to be underwater if the fair value of the fund is less than the sum of (a) the original value of initial and subsequent gift amounts donated to the fund and (b) any accumulations to the fund that are required to be maintained in perpetuity in accordance with the direction of the applicable donor gift instrument. The Academy has complied with UPMIFA to permit spending from an underwater endowment.”

“The Academy qualifies as a tax-exempt organization under Section 501(3) of the Internal Revenue Code and, therefore, has no provision for income taxes. However, income from certain activities not directly related to the Academy's tax exempt purpose is subject to taxation as unrelated business income. During the years ended June 30, 2024 and 2023, the Academy incurred no income tax expense related to unrelated business income. The Academy qualifies for the charitable contribution deduction under Section 170(b)(1)(A) and has been classified as an organization that is not a private foundation under Section 509(a)(2). The Academy annually evaluates all federal and state income tax positions. This process includes an analysis of whether these income tax positions the Academy takes meet the definition of an uncertain tax position under the Income Taxes Topic of the Financial Accounting Standards Codification. In the normal course of business, the Academy is subject to examination by the federal and state taxing authorities. In general, the Academy is no longer subject to tax examinations for tax years ending before June 30, 2021.”

“$73,088 - Rental Expenses”

“Tuition assistance: $2,895,194”

“$73,088 - Rental Expenses”

“Tuition assistance: $2,895,194”