Dallas Symphony Association Inc.

“THE ORGANIZATION HAS A WRITTEN CONFLICT OF INTEREST POLICY. A CONFLICT OF INTEREST QUESTIONNAIRE IS SENT OUT ANNUALLY TO EVERY MEMBER OF THE GOVERNING BODY. THE RESULTS ARE REVIEWED BY FINANCE TO DETERMINE WHETHER THERE ARE ANY MEMBERS OF THE GOVERNING BODY WHO ARE NOT INDEPENDENT. The following situations were identified but are not considered to give rise to any conflicts: W. Gary Fowler (#13) is a member of the board of govenors with the DSa and is a partner with Jackson Walker LLP, a law firm that provides legal services to the Dallas Symphony Association. Kim Noltemy (#93), the President and CEO of the DSA also serves on the board of directors for the Dallas Black Dance Theatre (DBDT). Board of Governors member Zenetta Drew (#74) is the executive director of the DBDT.”

“The organization has a compensation committee that follows a charter adopted by the governing body. The committee meets at least annually to review compensation benchmarking for the CEO and other senior executive management. The committee recommends to the Executive Board for approval the CEO annual bonus (if any), the compensation for new hires and compensation adjustments for senior executives.”

“The 990 is prepared by the Controller, reviewed by the Chief Financial Officer and the President and CEO of the Dallas Symphony Association. The form and all supporting documents are provided to Tax Accountants at BDO USA, LLP for review and entry into an efile system. The return is reviewed by outside legal counsel. The Form 990 is reviewed by the Dallas Symphony Association Audit Committee prior to being filed. Upon final review by the audit committee, the return/e-file authorization is signed by the President of the Dallas Symphony Association. A copy is provided to the Executive Board for their review and is made available to all other Board Members upon request.”

“The organization makes its financial statements available to the public on the guidestar website and by request. Conlicts of interest policy is available via request. The restated certificate of formation is available to the public via another's website. The bylaws are not made available to the public.”

“the organization has members as defined. The Trustees/Members of the Dallas Symphony Association elect the governing body.”

“During the fiscal year, the Dallas Symphony Foundation made a special distribution of principal as allowed for in Section 3.3 of the Foundation Endowment Agreement if approved by at least 80% of the Association Executive Board (or Board of Governors), and by at least 80% of the Foundation Board of Directors. A special distribution in the amount of $3,500,000 to the Association was approved on February 14, 2019 by the Foundation Board and March 5, 2019 by the Association Board. The purpose of this special distribution was to help to defray the significant costs associated with the termination of the Association's staff defined benefit pension plan.”

“The amount on line 9, other changes in net assets or fund balance, represents the change in the Minimum Pension Liability ($998,362).”

“FOR PURPOSES OF DISCLOSURE, THE FOLLOWING IS EXTRACTED FROM THE CONSOLIDATED AUDITED FINANCIAL STATEMENTS OF THE DALLAS SYMPHONY ASSOCIATION, INC. AND THE DALLAS SYMPHONY FOUNDATION, FOOTNOTE 2, SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, RECENTLY ADOPTED AUTHORITATIVE GUIDANCE: As a result of the adoption of ASU 2016-14 (issued in August 2016 by the Financial Accounting Standards Board), the DSA opted to present the liquidity and availability information and the analysis of expenses by natural and functional classification for the year ended May 31, 2019. In absence of explicit donor stipulations, the ASU requires the use of the placed-in-service approach for reporting expirations of restrictions on gifts of cash or other assets to be used to acquire or construct a long-lived asset and the reclassification of any amounts from net assets with donor restrictions to net assets without donor restriction for such long-lived assets that have been placed in service as of the beginning of the period of adoption (thus eliminating the current option to release the donor-imposed restriction over the estimated useful life of the acquired asset). The DSA applied the changes retrospectively. The net reclassification of gifts for long-lived assets to implement ASU 2016-14 was $3,609,346 (reclassification from net assets with donor restrictions to net assets without donor restrictions). The net reclassification of gifts for long-lived assets to implement ASU 2016-14 was $3,609,346 (reclassification from net assets with donor restrictions to net assets without donor restrictions).”