Idaho State University Foundation Inc.

“The organization received a conservation easement property during tax year 2013. The property is held as a land asset on the organization's balance sheet.”

“Pullen-Grey Foundation and the Bengal Foundation transferred certain assets to the Foundation for investment and management, these amounts are included in the amount of funds held in custody for others. Interest and fees on investments are allocated accordingly to the respective investments. Additionally, at 6/30/18 the ISU held estate assets for the Elliot-Blakelee estate and the Kathryn Layman estate. These assets were reported on the balance sheet in Funds Held for Others. The ISUF is the trustee for a CRT that has one beneficiary outside the ISUF. The share of this split interest agreement attributable to the outside beneficiary is reported in Funds Held for Others.”

“The Foundation's endowment consists of approximately 600 individual funds established for a variety of purposes. As required by generally accepted accounting principles, net assets associated with endowment funds are classified and reported based upon the existence or absence of donor-imposed restrictions. Changes in the fair value of split-interest agreements, life insurance, and the net change in charitable remainder trusts relating to permanently restricted assets are summarized in other changes in the Endowment asset rollforward.”

“Idaho State University Foundation, Inc. is organized as an Idaho nonprofit corporation and has been recognized by the Internal Revenue Service (IRS)as exempt from federal income taxes under Section 501(a) of the Internal Revenue Code as an organization described in Section 501(c)(3), qualifies for the charitable contribution deduction under Section 170(b)(1)(A)(vi), and has been determined not to be a private foundation under Section 509(a)(1). Bengal Pharmacy LLC is treated as a disregarded entity for income tax purposes, and accordingly, all income and expenses are reported through the Foundation. The Foundation is annually required to file a Return of Organization Exempt from Income Tax (Form 990) with the IRS. In addition, the Foundation is subject to income tax on net income that is derived from business activities that are unrelated to their exempt purposes. The Foundation has filed an Exempt Organization Business Income Tax Return (Form 990-T) with the IRS to report its unrelated business taxable income. The Foundation has appropriate support for any tax positions taken affecting its annual filing requirements, and as such, does not have any uncertain tax positions that are material to the financial statements. The Foundation will recognize future accrued interest and penalties related to unrecognized tax benefits in income tax expense if incurred.”

“Chg in value of split-interest and life insur reported in revenue on F/S 97,525.”