Albuquerque Academy

“Form 990 is prepared by the academy's controller with a review by an external tax preparer. The board of trustee's audit & risk committee members with academy employees (head of school and chief financial officer) review the form in detail prior to filing with the internal revenue service (irs). Trustee members utilize this time to ask questions, clarify data and make suggestions for any changes. Any agreed upon changes are incorporated into the form, with a final review undertaken by the controller, chief financial officer and external tax preparer. The form is submitted electronically to the irs in a timely manner. The board of trustees receive the form 990 prior to the filing of the return. The academy values those few donors who request that they remain anonymous to the community. To that end, to protect such donors and keep the school's promise that their identity will not be widely known, schedule b of form 990 is not provided to all trustees of the academy. All other portions of the form 990 are provided to all trustees. To be sure the board is aware of gifts and to protect the organization from the potential of inappropriate gifts to the school, the board chair, members of the audit & risk committee, head of school, chief financial officer, and director of advancement are fully aware of the identity of all donors. Should any one of them determine that a donation might be inappropriate or pose a conflict with the organization, they are charged with raising the issue with the full board. The academy publishes a comprehensive giving report on an annual basis that is available to the public.”

“The conflict-of-interest statement is directed to the trustees, officers, those who make purchasing decisions, all persons who are described as management personnel and to anyone who has proprietary information concerning the academy. Each individual must sign a statement annually which affirms such person has received a copy of the conflict-of-interest policy, has read and understands the policy and has agreed to comply with the policy. The conflict-of-interest statement requires that individuals refrain from voting or participating in any matter or issue in which they have any potential conflict of interest. This is to ensure the academy operates in a manner consistent with charitable purposes and does not engage in activities that could jeopardize its tax-exempt status. Periodic reviews shall, at a minimum, include whether transactions between employees and the academy are negotiated as the result of "arm's length bargaining and whether partnerships, joint ventures, and any other business arrangements with the school are properly recorded. Transactions are further reviewed to ensure they reflect reasonable investment or payment for goods and services, they further charitable purposes and they do not result in inurement, impermissible private benefit or any excess benefit transaction. Accounting and other personnel are encouraged to report a situation involving a potential conflict of interest to an appropriate school official.”

“The executive committee of the board of trustees takes responsibility for the evaluation of its direct report, the head of school, and for the determination of compensation for this individual. The executive committee consists of the board chair, vice chair, secretary, assistant secretary, treasurer, and two at-large board members appointed by the chair. All board members, including the members of the executive committee, submit a conflict-of-interest disclosure statement to the chair of the board annually. These are utilized to determine that the committee members do not have any undisclosed conflicts of interest and they do not have any direct financial interest in the compensation provided to the head of school. In addition, at the time the executive committee considers compensation questions, each committee member is asked again to confirm that they do not have any conflicts of interest. The executive committee has, in some years, retained a compensation consultant intimately familiar with compensation for the heads of independent schools both in the region and nationally. The consultant has no financial or other interest in the compensation decisions made. The consultant has prepared a study of up to thirty or forty schools that are or may be comparable to the academy in terms of complexity, size of operating budget, grade range, and student body size. The consultant also considers heads of school with experience levels comparable to the academy's head of school. The consultant's compensation information includes evidence of salary, bonuses, benefits, and other non-cash consideration that other heads of school may receive. The executive committee considers the information assembled by the consultant, and in addition, information gathered from form 990's of other independent schools, guidestar reports, news sources, and independent school associations, in setting compensation for the head of school, together with any information obtained from any evaluations that may have been performed, ordinarily in the spring and early summer, in advance of the beginning of the academy's fiscal year. The executive committee maintains minutes of its meetings, including those in which compensation matters are considered. The chair of the board reports the compensation decisions to the full board. In fiscal year 2020, the academy used a consulting firm to recruit and hire a new head of school. Pursuant to irs section 4958 guidelines, the head of school does not serve as a trustee; he or she has had no role in the setting of their compensation in this or any previous year of their employment; all of the compensation at issue is in the form of cash payments to the recipient and none is deferred; the head of school is eligible for other non-cash benefits provided to all other employees of the school; none of the members of the executive committee receive any compensation from the school; and the members of the committee have reviewed comparability data before reaching a decision on compensation levels.”

“Albuquerque academy keeps an electronic record (updated annually) of financial institutions, bondholders, and vendors who have requested a copy of the academy's audited financial statements as a condition of providing credit and services to the school. After the financial statement audit is completed and accepted by the board of trustees, electronic copies of the statements are distributed to all required entities. The academy does not currently make its governing documents or conflict of interest policy statements available to the public. The academy did not change its oversight or selection process for the appointment of its external audit firm during the tax year currently being reported on.”

“The academy's audited financial statements net financial assistance awarded against gross tuition revenue. For the fiscal year ended 2022, the academy awarded financial assistance to 272 students. The assistance awarded is a reduction to the total cost of tuition. The academy does not provide cash or non-cash awards. Financial assistance is awarded based solely upon demonstrated financial need. A family's need is assessed annually through a comprehensive screening process. The annual process requires that the family complete an application and provide the academy with a full set of tax returns including all supporting schedules. To determine the appropriate financial assistance, the academy utilizes a standard methodology provided by school and student services ("sss") which is used by independent schools nationwide. This methodology calculates a contribution for each individual family based upon the family's specific financial situation and discretionary income. Prior to making an award, each applicant's file and proposed award is carefully reviewed by a committee to ensure the decisions are based on consistent application of need-based criteria. Assistance is awarded to students as a reduction in their tuition, lunch fees, and/or other academic fees. No cash is distributed to recipients. Financial assistance is awarded annually consistent with the current academic school year. Applicants must reapply annually by submitting a new application and current tax documentation. In addition to a committee review of each award, the financial assistance office of the academy conducts a random audit of files annually as another measure to ensure that financial assistance is being awarded appropriately and the proper supporting documentation was submitted as part of the application process. On a monthly basis, the accounting office of the academy compares the financial assistance subsidiary ledger postings to a list of awards provided by the financial assistance office to ensure there are no discrepancies between the two amounts. Any discrepancies are promptly researched and resolved.”

“The academy was the fortunate recipient of a transformational donation of land in the early sixties and chose to use this gift to ensure economic accessibility to students living throughout the city of albuquerque and the region. Today the academy offers students an education that is without equal in the southwest. Students from area schools are served by teachers who deliver their subject matter in creative and engaging ways. Students in the 6/7 division follow a non-traditional schedule that allows adaptability in an ever-changing world. Students in the 8/9 division are given their own campus space and their own accountability to help them grow into confident young adults. For the 10/12 division, coursework involves increasingly philosophical and analytical thought. Academy students serve the community to which they belong, compete in a variety of competitive sports, and participate in a variety of academic clubs and student organizations. Most academy students attend four-year colleges and universities upon graduation, many of them enrolling at some of the best universities in the country. Admission to the academy is competitive; approximately 71% of those who applied for enrollment for the 2021/22 school year were admitted. For the 2021/22 school year, the student body consisted of 49% boys and 51% girls, 55% are students of color, and approximately 23% received approximately $4.4 million in financial assistance. Financial assistance is based on demonstrated financial need; only after students are admitted and their needs are assessed might financial assistance be offered.”

“We believe that children's lives change when their natural passion for learning is nurtured and transformed into habits of life-long learning and reflection. We believe that the world changes as these children learn to serve country and community with wisdom, conviction, and compassion. In light of these beliefs: we serve students of talent and character, offering them an education that broadens their perspective, sharpens their minds, strengthens their bodies, and engages their hearts. We commit to creating a caring, inclusive, and just community, using the geography and culture of our home in the southwest to enrich our educational programs and to foster creativity, personal balance, and a connection to the natural world. We devote our resources to ensure economic accessibility to our students and to support the wider community through outreach and community service. We entrust this mission to our graduates and successors as we preserve our resources and serve the children of generations to come.”

“The academy opened its doors in the fall of 1955 with 12 boys in grades 7 through 9, two teachers, and founding head william wilburn. Classes were held in rented space in the parish hall of st. Michael's and all angels church. In 1957, enrollment had grown to 75 boys and the school moved to a 27-acre site on north edith boulevard in albuquerque, nm. The first class of seven boys graduated in 1960. In 1966, the school moved to its present location, and in 1967/68 was home to 405 boys. Girls were admitted beginning in 1973. For the school year 2021/22, the academy served 1,166 girls and boys in grades 6 through 12. The academy's remarkable growth was made possible largely through the transformational gift of albert g. Simms, a new mexico financier and rancher, and his wife, ruth hanna mccormick simms. In the early 1960's the simms gave or bequeathed to the academy (in trust) more than 12,000 acres of undeveloped land and 8,000 shares of albuquerque national bank stock. The undeveloped land has been sold resulting in the endowment that today enables education in a beautiful and uplifting environment, and also has provided the school its campus. The uniqueness of the academy is due, in large part, to its commitment to its admission policy, and to providing accessibility to qualified students from throughout the greater albuquerque community. Every academy student benefits from the school's commitment to accessibility and affordability. Direct support from the endowment covers approximately 14% of the cost not covered by tuition. A further commitment of the academy is to diversity and dedicating the school's resources to create an environment in which all students can thrive. It is the responsibility of all the school's constituents to make this environment conducive to learning and to foster mutual respect for one another. Students of color (including students of middle eastern, hispanic, african american, asian, and native american ancestry) represented approximately 55% of the total student population for the 2021/22 school year. Appreciation for diversity is also extended to those of various socioeconomic levels. Academy students benefit academically from small classes (averaging 12 students per class) and a teacher-to-student ratio of 1:7. The academy curriculum is rigorous and exclusively college preparatory. 25 advanced placement courses were offered in the 2021/22 school year and 71% of students taking advanced placement exams received scores of 4 or 5, and 93% received a score of 3 or above. The 2022 graduating class had 13 national merit scholarship semifinalists, 8 commended students, and 10 national hispanic scholars. There were 163 students in the graduating class of 2022. Almost all academy graduates enroll in a four-year college or university immediately upon graduation.”

“Summer program: the academy summer session offered the opportunity to 1,174 children of the greater albuquerque community (most non-affiliated with the regular school year) to participate in an enriching and exciting summer experience during the fiscal year ending june 30, 2022. The program had 231 class offerings including early childhood programs, a day camp, various sports camps, and swim instruction for children from preschool to high school. Credit classes in math and science are also offered to high school students. The summer program has been an integral part of the academy since 1984, reinforcing the school's unique mission of accessibility, affordability, excellence, and outreach. An important outreach effort is the multicultural summer honors program, a summer scholarship program for academically talented and motivated african american, native american, hispanic, and other students who will be entering the fourth and fifth grades. Overall, the summer programs build a broader sense of community as summer students and their siblings, as well as children of faculty and alumni, return summer after summer. The session is staffed by qualified and talented individuals who come from throughout new mexico and the wider national and international educational community. Community academy: community academy supports the academy's commitment to community outreach and life-long learning. Community academy offers a continuing evening lecture series, free of charge to the entire community, presented by academy faculty, alumni, and community leaders with expertise in their fields.”

“The academy dining halls provide lunch every school day for students, faculty, and staff. Sage, the school's food services vendor, has served independent schools for over 25 years. Sage's mission is to create exceptional dining experiences that delight the senses, inspire minds and foster community. They provide nutritious meals, prepared with care, presented in an attractive manner and served in a friendly atmosphere by a courteous staff. The sage team has become a part of the academy community, sharing every success and joining in every celebration.”

“As a benefit to its employees the academy provides tuition remission to students of employees. Tuition remission is a reduction in tuition and the academy awards no cash or non-cash grants as remission. For the fiscal year ending june 30, 2022, the academy's audited financial statements present tuition remission as an expense instead of netting it against gross tuition revenue. The academy accounting office reconciles tuition remission expense each month to supporting documentation. Any discrepancies are reviewed and corrected as needed.”

“The academy has an audit and risk committee that assumes responsibility for oversight of the annual financial statement audit and the resulting financial statements. The audit and risk committee is also responsible for assessing and selecting the external audit firm of the academy. The academy did not change its oversight or selection process for the appointment of its external audit firm during the tax year currently being reported on.”