Achieve Language Academy

“The Form 990 is prepared by an independent accounting firm. Once the Form is completed, it is given to the Executive Director of the Academy. The signed Form is reviewed at the board meeting.”

“Board members sign a conflict of interest statement annually. The Board also reviews the conflict of interest policy annually and makes changes as necessary.”

“A committee of board, teachers, and parents review the performance of the Executive Director and recommend the pay and contract terms. The Executive Director evaluates employees and makes recommendations to the School Board. The Board bases its compensation on the knowledge of the budget.”

“The organization makes it governing documents, conflict of interest policy, and financial statements available to the public upon request.”

“Several members of the Board are teachers at the school. Minnesota State Statute 124D.10 subd.4(g) requires the Voard to have at least one member that is an employed/contracted teacher.”

“Change in Accounting Principle -2,632,687.”

“The School 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.”

“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 $2,632,687. This change reflects the School's proportionate share of the net pension liabilities ($2,796,382 decrease in net position) and related deferred outflows of resources ($163,695 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 opeartions in order to maintain its charter. The Academy's approved authorizer during the fiscal year 2015 was Novation Education Opportunities.”

“Explanation: Made an effort to obtain information on compensation, if any, was paid from a related organization. No response received and no other transactions noted.”