2025-05-09T12:35:27-05:00 2024-06-30 420714325 RSM US LLP 100 INTERNATIONAL DRIVE SUITE 400 BALTIMORE MD 21202 990 2023-07-01 520548411 UNITED STATES NAVAL ACADEMY ALUMNI ASSOC UNIT 4102954000 301 KING GEORGE STREET ANNAPOLIS MD 214025068 JOHN COPPOLA CFO 4102954000 2025-05-08 1 0 JULIA FLANNERY P00928918 4102469300 2025-05-08 2023 2025-03-06 01:10:19Z JEFFREY WEBB 301 KING GEORGE STREET ANNAPOLIS MD 214025068 59178170 0 X WWW.USNA.COM X 1947 MD TO SERVE AND SUPPORT THE UNITED STATES, THE NAVAL SERVICE, THE NAVAL ACADEMY, AND ITS ALUMNI. 31 30 58 50 531360 28575 21796376 8391362 1817191 1892904 1587007 2799326 1122119 1523676 26322693 14607268 3116017 3179296 0 0 4895533 6929161 0 0 1083679 7234521 7668958 15246071 17777415 11076622 -3170147 150500525 155286777 9445687 9257090 141054838 146029687 X SEE SCHEDULE O. 0 0 6217470 635842 MEMBERSHIP SUPPORT - COSTS TO PROVIDE SERVICES TO MEMBERS OF THE ALUMNI ASSOCIATION, CLASS AND CHAPTER SUPPORT, AND SPECIAL ALUMNI EVENTS. THE ASSOCIATION ENGAGED WITH 72,286 EXISTING AND 2,101 NEW MEMBERS IN THE CURRENT FISCAL YEAR. THE ASSOCIATION SUPPORTS 104 CHAPTERS AROUND THE WORLD, 77 PARENT CLUBS THROUGHOUT THE US AND 6 SHARED INTEREST GROUPS. STAFF SUPPORTS AN INTERNATIONAL CHAPTER OFFICER'S FORUM EACH YEAR, TWO CLASS MEETINGS AND VARIOUS PARENT FUNCTIONS. ASSOCIATION MEMBERS ARE INVITED TO PARTICIPATE IN A NUMBER OF SPECIAL EVENTS INCLUDING TAILGATES AND FOUNDER'S DAY, LUNCHEONS WITH SPEAKERS, ACADEMY EVENTS AND ACTIVITIES WITH THE BRIGADE OF MIDSHIPMEN. 3179296 3179296 SUPPORT - THE ASSOCIATION MAKES CONTRIBUTIONS TO THE U.S. NAVAL ACADEMY AND THE U.S. NAVAL ACADEMY FOUNDATION INC., A RELATED PARTY. CONTIBUTIONS TO U.S. NAVAL ACADEMY SUPPORTED CYBER PROGRAMS, STEM AND ENDOWED CHAIRS, MIDSHIPMEN CLUBS SPORTS AND INTERNATIONAL TRAVEL/STUDIES, CREATIVE ARTS AND ATHLETIC FACILITIES. 1512036 1076317 CAREER TRANSITIONS - EXPENSES RELATED TO THE SERVICE ACADEMICS CAREER CONFERENCE. THE ASSOCIATION MANAGES JOB FAIRS FOUR TIMES PER YEAR AROUND THE COUNTRY WHICH ARE EXCLUSIVE TO SERVICE ACADEMY ALUMNI. THE ASSOCIATION ALSO PROVIDES CAREER COUNSELING AND OTHER CAREER SUPPORT OPPORTUNITIES FOR INTERESTED ALUMNI. 1384797 ALUMNI COMMUNICATIONS - SUPPORT FOR ALL ELECTRONIC AND WEBSITE-BASED COMMUNICATIONS. THE ASSOCIATION SUPPORTS IT MEMBERS WORLDWIDE THROUGH ITS ROBUST WEBSITE AND ELECTRONIC COMMUNICATIONS, HELPING TO SUSTAIN THEIR BOND WITH THE SCHOOL, THEIR CLASS AND CLASSMATES. 1139243 180745 PUBLICATIONS: SHIPMATE, ALUMNI REGISTER AND BUSINESS RESOURCE DIRECTORY - THROUGH THESE PUBLICATIONS, THE ASSOCIATION REACHES OUT TO MEMBERS TO PERPETUATE THE HISTORY, TRADITIONS, MEMORIES AND GROWTH OF THE U.S. NAVAL ACADEMY. OVER 50,000 MEMBERS RECEIVE THE ASSOCIATION'S MAGAZINE SHIPMATE EIGHT TIMES PER YEAR. 210675 10112 PARTNERSHIP MARKETING - EXPENSES RELATED TO AFFINITY PROGRAMS AND MERCHANDISE SALES. THE ASSOCIATION OFFERS PROGRAMS TO ITS MEMBERS WHICH OFFER UNIQUE PRODUCTS AND SERVICES, WHILE GENGERATING REVENUE FOR THE ASSOCIATION. 2734715 190857 13643517 1 1 0 0 0 0 0 0 0 1 1 1 0 1 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 1 55 0 1 58 1 1 1 0 0 0 0 0 0 0 0 0 0 0 X 31 30 0 0 0 0 1 1 0 1 1 0 1 1 1 1 1 1 1 1 1 1 0 MD X X X LISA STROBEL SR DIRECTOR OF FINANCE & TREASURY OPS 4102954000 301 KING GEORGE STREET ANNAPOLIS MD 214025068 X MARK E FERGUSON CHAIR 2.00 X X 0 0 0 WILLIAM D BEYDLER VICE CHAIR 2.00 X X 0 0 0 JEFFREY R WEBB PRESIDENT/CEO (SEE SCH J) 24.00 36.00 X X 224824 337238 27214 ENOCHIA T ANDERSON TRUSTEE 2.00 X 0 0 0 BOBBY E BROWN TRUSTEE (BEG 5/10/24) 2.00 X 0 0 0 IAN M CAMERON TRUSTEE 2.00 X 0 0 0 STEPHEN W COMISKEY TRUSTEE 2.00 X 0 0 0 JOHN COPPOLA TRUSTEE (BEG 5/10/24) 2.00 X 0 0 0 JAMES C CUMMINGS TRUSTEE 2.00 X 0 0 0 BRIAN S DEJARNETT TRUSTEE 2.00 X 0 0 0 ANGELA R DOMINGOS TRUSTEE (BEG 5/10/24) 2.00 X 0 0 0 DWIGHT D FONTILLA TRUSTEE (BEG 5/10/24) 2.00 X 0 0 0 MAEGEN L GRANDY NIX TRUSTEE (BEG 5/10/24) 2.00 X 0 0 0 GORDON M GERSON TRUSTEE 2.00 X 0 0 0 INGAR A GREV TRUSTEE (BEG 5/10/24) 2.00 X 0 0 0 GREGORY A GOINS TRUSTEE (THRU 5/10/24) 2.00 X 0 0 0 MATTHEW L GUYTON TRUSTEE 2.00 X 0 0 0 GREGORY R HAMELIN TRUSTEE (BEG 5/10/24) 2.00 X 0 0 0 DONALD H HORNER TRUSTEE 2.00 X 0 0 0 ANTHONY D KONECNY TRUSTEE (THRU 5/10/24) 2.00 X 0 0 0 BARBETTE H LOWNDES TRUSTEE 2.00 X 0 0 0 TODD C NICHOLS TRUSTEE (THRU 5/10/24) 2.00 X 0 0 0 GEORGE P O'GARRO TRUSTEE 2.00 X 0 0 0 ALEX PLECHASH TRUSTEE (THRU 5/10/24) 2.00 X 0 0 0 STEVEN R RASMUSSEN TRSUTEE (BEG 5/10/24) 2.00 X 0 0 0 RENEE B REEDY TRSUTEE (BEG 5/10/24) 2.00 X 0 0 0 JILL A ROUGH TRUSTEE 2.00 X 0 0 0 MARK S RUPPRECHT TRUSTEE (THRU 5/10/24) 2.00 X 0 0 0 JAMES C SCHWAB TRUSTEE 2.00 X 0 0 0 JON C SMITH TRUSTEE (THRU 5/10/24) 2.00 X 0 0 0 DARRYL L SMITH TRUSTEE 2.00 X 0 0 0 KEVIN F STONE TRUSTEE 2.00 X 0 0 0 STEVE A SWIFT TRUSTEE 2.00 X 0 0 0 ROBERT J TAYLOR TRUSTEE (BEG 5/10/24) 2.00 X 0 0 0 JENNIFER B TYLL TRUSTEE 2.00 X 0 0 0 JULIANA R VIDA TRUSTEE (THRU 10/9/23) 2.00 X 0 0 0 THOMAS O WAGNER TRUSTEE 2.00 X 0 0 0 MATICE M WRIGHT-SPRINGER TRUSTEE 2.00 X 0 0 0 ROBERT W GAST EVP & CFO/TREAS (THRU 5/10/24) (SEE SCH J) 27.00 33.00 X 131860 161163 49233 WESLEY S HUEY EVP, STR & LEG PROG/SEC (SEE SCH J) 50.00 X 158744 0 9307 LISA STROBEL EXEC DIRECTOR OF FINANCE (SEE SCH J) 22.50 27.50 X 89361 109217 21118 THOMAS GRADY VP COMMS & ENGAGEMENT (SEE SCH J) 50.00 X 288728 0 11251 DONALD KENNEDY ED EVENTS & FACILITIES (SEE SCH J) 50.00 X 170872 0 8427 GARRETT KEATING DIRECTOR, IT (SEE SCH J) 22.50 27.50 X 67868 82950 41000 JOY JONES ED, HUMAN RESOURCES (SEE SCH J) 22.50 27.50 X 69934 85474 28261 TIMOTHY SMITH DR, FINANCIAL REPORTING (SEE SCH J) 22.50 27.50 X 69581 85043 16972 SCOTT GAISER SR DIRECTOR, REAL ESTATE (SEE SCH J) 50.00 X 174822 0 10261 JOHN SCHOFIELD ED ENTERPRISE COMMS 50.00 X 125423 0 6888 JORDAN BAILEY SR AD, ENTERPRISE NETWORK & SECURITY 22.50 27.50 X 59055 72180 7444 DERRICK PLANZ AD, SOFTWARE DEV (SEE SCH J) 22.50 27.50 X 56457 69005 28150 CDR CRAIG J WASHINGTON FORMER SEC/VP ENGAGEMENT (SEE SCH J) 0.00 X 140000 0 0 1827529 1002270 265526 8 1 1 0 COCKLEY & WILLIAMS CONSTRUCTION LLC 7475 WISCONSIN AVE SUITE 900 BETHESDA MD 20814 CONSTRUCTION 13262423 MARTIN'S - BO BROOKS LLC 511 TAYLOR AVE ANNAPOLIS MD 21041 CATERING 789437 HONORCRAFT LLC 9 BRISTOL DR SOUTH EASTON MA 02375 CONSTRUCTION 752890 HOSPITALITY & EVENTS SPECIALITY LIMITED 29 DAWSON HOUSE DUBLIN EI 2 EVENT 526309 LSC COMMUNICATIONS PO BOX 842291 BOSTON MA 02284 PRINTER 430664 19 3266662 5124700 389412 8391362 CAREER TRANSITION SERV 541900 1076317 1076317 LIFE MEMBER AMORTIZATI 900099 539107 539107 PUBLICATIONS & ADVERTI 541800 180745 180745 MEMBERSHIP DUES 900099 96735 96735 1892904 924810 924810 260327 260327 833420 0 833420 833420 209054 624366 46437025 44562509 1874516 1874516 1874516 10112 8393 1719 1719 OTHER INCOME 900099 286649 286649 TRAVEL COMMISSIONS 485000 141561 141561 428210 14607268 1713878 531360 3970668 X 3179296 3179296 1437714 932344 505370 4610409 2964404 1646005 207569 155756 51813 361020 270903 90117 312449 234456 77993 94331 71641 22690 87617 63224 24393 105402 105402 3412881 3405161 7720 1089236 763765 325471 140537 86285 54252 350877 350875 2 466506 455124 11382 501721 426595 75126 78239 58890 19349 BAD DEBT 1083679 1083679 DONOR CULTIVATION 79820 79820 TRAINING 31390 31389 1 AWARDS & GIFTS 27716 19817 7899 119006 93772 25234 17777415 13643517 3050219 1083679 350 350 22079386 21224908 12769310 9670511 188629 231812 8766 20156 2282485 470825 19170881 901849 30434936 18269032 12004333 14661312 66621972 71872125 4110358 18865746 150500525 155286777 3475274 2698367 5970413 6558723 9445687 9257090 X 58341270 62278035 82713568 83751652 141054838 146029687 150500525 155286777 X -3170147 8069824 75172 X X 0 1 X 1 0 X 11055247 13772707 16493736 21796376 8391362 71509428 11055247 13772707 16493736 21796376 8391362 71509428 71509428 1297193 1055373 1155397 1889189 2018557 7415709 36705 38089 42301 24163 141258 -376 4876 104006 39503 286649 434658 79501053 7202016 0.89950 0.81830 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 138947607 1014606 10122057 2888339 1085847 146110084 140101252 362267 3021773 3535105 1002580 138947607 150486340 65439 -7157111 2169349 1124067 140101252 120269726 7117350 25646501 1645781 901456 150486340 94564645 23372973 4340370 1127515 880747 120269726 1.00000 0 1 1 17440381 410902 17029479 1617921 474060 1143861 112579 16887 95692 18269032 INVESTMENTS IN PARTNERSHIPS, HEDGE FUNDS, OTHER 24270922 F TIFF CENTERSTONE FUND, LP 47601203 F 71872125 INTERCOMPANY RECEIVABLE 18865746 18865746 DEPOSITS ON LIFE MEMBERSHIPS 506628 CLASS SAVINGS ACCOUNTS 3245180 DEFERRED INCOME 918179 SPLIT INTEREST AGREEMENTS 391022 ACCR. KEY EMPLOYEES RETIREMENT 1319361 DUE FROM RELATED PARTY 178353 6558723 X 90509821 8069824 69104075 77173899 13335922 105402 1165944 1271346 14607268 58218307 41712238 41712238 16506069 105402 1165944 1271346 17777415 PART V, LINE 4: THE ENDOWMENT CONSISTS OF OVER 100 INDIVIDUAL FUNDS ESTABLISHED FOR A VARIETY OF PURPOSES. THESE ENDOWMENT FUNDS ARE DONOR-RESTRICTED. THE ASSOCIATION DOES NOT HAVE ANY BOARD-DESIGNATED ENDOWMENT FUNDS. AS REQUIRED BY GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, NET ASSETS ASSOCIATED WITH ENDOWMENT FUNDS ARE CLASSIFIED AND REPORTED BASED ON THE EXISTENCE OR ABSENCE OF DONOR-IMPOSED RESTRICTIONS. PART X, LINE 2: THE ASSOCIATIONS HAVE ADOPTED THE ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES, WHICH ADDRESSES THE DETERMINATION OF WHETHER TAX BENEFITS CLAIMED OR EXPECTED TO BE CLAIMED ON A TAX RETURN SHOULD BE RECORDED IN THE FINANCIAL STATEMENTS. UNDER THIS POLICY, THE ASSOCIATIONS MAY RECOGNIZE THE TAX BENEFIT FROM AN UNCERTAIN TAX POSITION ONLY IF IT IS MORE-LIKELY-THAN-NOT THAT THE TAX POSITION WOULD BE SUSTAINED ON EXAMINATION BY TAXING AUTHORITIES, BASED ON THE TECHNICAL MERITS OF THE POSITION. MANAGEMENT HAS EVALUATED THE ASSOCIATIONS' TAX POSITIONS AND HAS CONCLUDED THAT THE ASSOCIATIONS HAVE TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT TO THE CONSOLIDATED FINANCIAL STATEMENTS TO COMPLY WITH PROVISIONS OF THIS GUIDANCE. AS OF JUNE 30, 2024, THERE ARE NO MATERIAL UNRECOGNIZED/DERECOGNIZED TAX BENEFITS OR TAX PENALTIES OR INTEREST. THE ASSOCIATIONS ARE NO LONGER SUBJECT TO U.S. FEDERAL, STATE OR LOCAL TAX EXAMINATIONS BY TAX AUTHORITIES FOR YEARS ENDED BEFORE JUNE 30, 2021. PART XI, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD NETTED WITH REVENUE 8,393. CHANGE IN SPLIT INTEREST TRUST AGREEMENTS 75,172. REVENUE OF AFFILIATE INCLUDED ON CONSOLIDATED FINANCIAL STATEMENTS 69,020,510. PART XI, LINE 4B - OTHER ADJUSTMENTS: GRANT FROM THE NAVAL ACADEMY FOUNDATION, INC. 1,165,944. PART XII, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD NETTED WITH REVENUE 8,393. EXPENSES OF AFFILIATE INCLUDED ON CONSOLIDATED FINANCIAL STATEMENTS 41,703,845. PART XII, LINE 4B - OTHER ADJUSTMENTS: GRANT FROM THE NAVAL ACADEMY FOUNDATION, INC. 1,165,944. 1 US NAVAL ACADEMY 121 BLAKE ROAD ANNAPOLIS MD 21402 311575142 GOVERNMENT ORG. 3179296 0 GENERAL SUPPORT 1 0 PART I, LINE 2: THE U.S. NAVAL ACADEMY ALUMNI ASSOCIATION KEEPS DETAILED RECORDS OF GRANTS TO THE U.S. NAVAL ACADEMY. ALL GRANTS ARE REVIEWED BY MANAGEMENT PRIOR TO PAYMENT. THE UNRESTRICTED PORTION OF THE GRANT TO THE U.S. NAVAL ACADEMY IS BUDGETED FOR AND APPROVED BY THE BOARD OF TRUSTEES. ALL OTHER GRANTS TO THE U.S. NAVAL ACADEMY ARE BASED ON DONOR DIRECTION OF THEIR RESTRICTED GIFTS. 1 X X X X X 1 0 0 0 0 0 0 1 0 JEFFREY R WEBB PRESIDENT/CEO (SEE SCH J) 172769 259154 42500 63750 9555 14334 6600 9900 4286 6428 235710 353566 0 0 ROBERT W GAST EVP & CFO/TREAS (THRU 5/10/24) (SEE 105403 128827 20250 24750 6207 7586 5270 6441 16885 20637 154015 188241 0 0 THOMAS GRADY VP COMMS & ENGAGEMENT (SEE SCH J) 197019 0 65725 0 25984 0 9851 0 1400 0 299979 0 0 0 LISA STROBEL EXEC DIRECTOR OF FINANCE (SEE SCH J) 74078 90538 5040 6160 10243 12519 3704 4527 5799 7088 98864 120832 0 0 GARRETT KEATING DIRECTOR, IT (SEE SCH J) 65077 79538 6300 7700 -3509 -4288 3254 3977 15196 18573 86318 105500 0 0 SCOTT GAISER SR DIRECTOR, REAL ESTATE (SEE SCH J) 160000 0 12800 0 2022 0 8000 0 2261 0 185083 0 0 0 JOY JONES ED, HUMAN RESOURCES (SEE SCH J) 67085 81992 5184 6336 -2335 -2854 3354 4100 9363 11444 82651 101018 0 0 DONALD KENNEDY ED EVENTS & FACILITIES (SEE SCH J) 154808 0 12200 0 3864 0 7740 0 687 0 179299 0 0 0 TIMOTHY SMITH DR, FINANCIAL REPORTING (SEE SCH J) 65077 79538 5040 6160 -536 -655 3254 3977 4383 5358 77218 94378 0 0 WESLEY S HUEY EVP, STR & LEG PROG/SEC (SEE SCH J) 147500 0 8850 0 2394 0 7375 0 1932 0 168051 0 0 0 DERRICK PLANZ AD, SOFTWARE DEV (SEE SCH J) 55089 67333 3623 4428 -2255 -2756 2754 3367 9913 12116 69124 84488 0 0 CDR CRAIG J WASHINGTON FORMER SEC/VP ENGAGEMENT (SEE SCH J) 0 0 0 0 140000 0 0 0 0 0 140000 0 0 0 PART I, LINE 4A CDR CRAIG J. WASHINGTON RECEIVED A SEVERANCE PAYMENT OF $140,000, THIS AMOUNT IS INCLUDED ON FORM 990, PART VII, COLUMN D AND ON SCHEDULE J, PART II, COLUMN BIII. PART I, LINE 7 ON AN ANNUAL BASIS, THE COMPENSATION COMMITTEE REVIEWS THE PERFORMANCE OF CERTAIN PERSONS LISTED ON PART VII AND SCHEDULE J, AND IN ITS SOLE DISCRETION, AWARDS BONUSES BASED ON THEIR INTERNAL REVIEW. SOME YEARS BONUSES ARE NOT PAID AS WELL, PER THE SOLE DISCRETION OF THE COMPENSATION COMMITTEE. SUCH BONUSES AWARDED ARE PROPERLY LISTED AS PAID AND AS REPORTABLE COMPENSATION IN PART VII, COLUMN D, AND ON SCHEDULE J, PART II, COLUMN B(II). FORM 990, SCHEDULE J, PART I, LINE 3: THE WRITTEN EMPLOYMENT CONTRACT IS AN INTERNAL CONTRACT ONLY. SCHEDULE J, PART II: TO PROVIDE CLARITY AS TO THE MAKEUP OF AMOUNT REPORTED FOR LISTED PERSONS ON SCHEDULE J, PART II, THE AMOUNTS ON COLUMNS B (I-III) REPORT INCOME TAXABLE TO THE ORGANIZATION'S PERSONS AND AS PROPERLY REPORTED ON FORM W-2 FOR THE YEAR ENDING ON DECEMBER 31ST WHICH OCCURS WITHIN THE ORGANIZATION'S TAX REPORTING PERIOD. THE AMOUNTS REPORTED IN COLUMN C REPORT INFORMATION RELATED TO CONTRIBUTIONS BY THE ORGANIZATION TO THE EMPLOYEE'S RETIREMENT PLANS PER AGREEMENTS IN PLACE, THE AMOUNTS REPORTED IN COLUMN D, REPORT ITEMS OF NONTAXABLE INCOME THAT ARE GENERALLY REPORTED ON OTHER TAX EXEMPT ORGANIZATION RETURNS, INCLUDING HEALTH INSURANCE, DENTAL INSURANCE, ETC. THESE AMOUNTS REPORTED IN COLUMN D ARE GENERALLY NONTAXABLE TO THE RECIPIENT'S PER OTHER CODE SECTIONS IN THE INTERNAL REVENUE CODE. THE AMOUNTS REPORTED IN COLUMN F REPORT 457(B) PLAN CONTRIBUTIONS THAT WERE REPORTED ON PRIOR YEAR FORMS 990. THESE AMOUNTS WERE PAID OUT DURING THE CALENDAR YEAR AND ARE ALSO INCLUDED IN COLUMN BIII. X 48 384937 FAIR MARKET VALUE X CLASS RINGS 8 4475 FAIR MARKET VALUE 0 1 0 PART I, COLUMN (B): REPORTING THE NUMBER OF CONTRIBUTIONS. FORM 990, PART III, LINE 1, DESCRIPTION OF ORGANIZATION MISSION: ESTABISHED IN 1886, THE US NAVAL ACADEMY ALUMN ASSOCIATION CONTINUES TO ADHERE TO ITS MISSION TO STRENGHTEN OUR MEMBERS BONDS TO THE ACADEMY AND EACH OTHER, TO HELP THEM THRIVE AS LEADERS IN AND OUT OF UNIFORM, AND REACH THEIR FULL POTENTIAL. THE MISSION STATEMENT OF THE RELATED ENTITY, THE U.S. NAVAL ACADEMY FOUNDATION: TO SUPPORT, PROMOTE AND ADVANCE THE MISSION OF THE NAVAL ACADEMY BY WORKING IN CONJUNCTION WITH ACADEMY LEADERSHIP TO IDENTIFY STRATEGIC INSTITUTIONAL PRIORITIES AND BY RAISING, MANAGING AND DISBURSING PRIVATE GIFT FUNDS THAT PROVIDE A MARGIN OF EXCELLENCE IN SUPPORT OF THE NATION'S PREMIER LEADERSHIP INSTITUTION. FORM 990, PART VI, SECTION A, LINE 6 REGULAR MEMBERS ARE GRADUATES OF THE UNITED STATES NAVAL ACADEMY (THE "ACADEMY") AND FORMER MIDSHIPMEN WHO DID NOT GRADUATE FROM THE ACADEMY, AFTER THE LAST ACADEMY CLASS OF WHICH THEY WERE A MEMBER HAS GRADUATED AND WHO, IN EACH CASE, HAVE APPLIED FOR MEMBERSHIP AND HAVE BEEN ADMITTED. REGULAR MEMBERS HAVE THE RIGHT TO VOTE, TO HOLD OFFICE, TO SERVE AS TRUSTEES AND SHALL PAY DUES. EACH REGULAR MEMBER IS ENTITLED TO ONE (1) VOTE IN ALL ELECTIONS CONDUCTED PER SECTION 4.6(A) OF THE BYLAWS, AND ALL QUESTIONS PRESENTED TO THE MEMBERSHIP FOR ACTION. IN ORDER TO MAINTAIN A STRONG AND VIBRANT ORGANIZATION, THE ASSOCIATION MAY FROM TIME TO TIME ESTABLISH ADDITIONAL CLASSES OF MEMBERSHIP WITH CRITERIA FOR SUCH CLASSES OF MEMBERSHIP AND APPROVAL OF INDIVIDUAL MEMBERS TO BE DETERMINED BY THE BOARD. FORM 990, PART VI, SECTION A, LINE 7A SEE EXPLANATION FOR FORM 990, PART VI, SECTION A, LINE 6. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 WAS REVIEWED BY MANAGEMENT AND MEMBERS OF THE JOINT FINANCE AND AUDIT COMMITTEE OF U.S. NAVAL ACADEMY ALUMNI ASSOCIATION AND U.S. NAVAL ACADEMY FOUNDATION WITH OUR TAX PREPARERS AND SENT TO MEMBERS OF THE BOARD OF TRUSTEES AND TO THE IRS. FORM 990, PART VI, SECTION B, LINE 12C THE CONFLICT OF INTEREST POLICY IS SENT TO EACH BOARD/TRUSTEE MEMBER AT THE BEGINNING OF THE CALENDAR YEAR WITH A SELF ADDRESSED ENVELOPE FOR RESPONDING. THE POLICY DETAILS POTENTIAL CONFLICTS OF INTEREST AND THE NEED TO DISCLOSE SUCH CONFLICTS. THE POLICY ALSO DEFINES THE BOARD/TRUSTEE'S MEMBER FIDUCIARY OBLIGATION TO THE ORGANIZATION. ALL CONFLICTS OF INTEREST STATEMENTS ARE RETURNED TO THE BOARD SECRETARY'S OFFICE AND KEPT ON FILE. ANY STATEMENTS WITH AN AFFIRMATIVE CONFLICT ARE CIRCULATED TO THE BOARD AND THE BOARD MEMBER AGREES TO ANSWER ANY QUESTIONS REGARDING THE CONFLICT. THE COMPLETED SIGNED CONFLICTS OF INTEREST STATEMENTS ARE REVIEWED BY THE ORGANIZATION'S AUDIT FIRM DURING THE ANNUAL AUDIT FOR COMPLETENESS AND TO ENSURE THAT ALL BOARD/TRUSTEE MEMBERS ARE INCLUDED. UPON A DETERMINATION THAT A CONFLICT EXISTS, THE BOARD SHALL APPOINT A DISINTERESTED PERSON OR COMMITTEE TO INVESTIGATE ALTERNATIVES TO THE PROPOSED TRANSACTION OR ARRANGEMENT TO WHICH THE CONFLICT RELATES. AFTER EXERCISING THIS DUE DILIGENCE, THE BOARD SHALL DETERMINE WHETHER THE ASSOCIATION CAN OBTAIN WITH REASONABLE EFFORTS A MORE ADVANTAGEOUS TRANSACTION FROM A SOURCE THAT WOULD NOT GIVE RISE TO A CONFLICT. IF A MORE ADVANTAGEOUS TRANSACTION WHICH WOULD NOT CREATE A CONFLICT IS NOT REASONABLY POSSIBLE, THE BOARD SHALL DETERMINE BY A MAJORITY VOTE OF THE DISINTERESTED DIRECTORS WHETHER THE TRANSACTION OR ARRANGEMENT IS FAIR, REASONABLE AND IN THE ASSOCIATION'S BEST INTERESTS. IN CONFORMITY WITH THE ABOVE DETERMINATION, THE BOARD SHALL MAKE ITS DECISION AS TO WHETHER TO ENTER INTO THE TRANSACTION OR ARRANGEMENT. FORM 990, PART VI, SECTION B, LINE 15 THE PROCESS FOR DETERMINING COMPENSATION OF THE CEO, OTHER OFFICERS AND KEY EMPLOYEES OF THE ORGANIZATION "INCLUDES A REVIEW AND APPROVAL BY INDEPENDENT PERSONS, COMPARABILITY DATA, AND CONTEMPORANEOUS SUBSTANTIATION OF THE DELIBERATION AND DECISION." SPECIFICALLY, THE ORGANIZATION TAKES ALL OF THE STEPS NECESSARY TO ENSURE THAT THE COMPENSATION PACKAGES OF THESE INDIVIDUALS ARE NOT ONLY REASONABLE AND COMPETITIVE, BUT ARE DESIGNED AND DETERMINED IN THE PRECISE MANNER SPECIFIED IN THE INTERNAL REVENUE SERVICE'S "INTERMEDIATE SANCTIONS" REGULATIONS. THE PROCESS FOR DETERMINING THE COMPENSATION PACKAGES OF THESE INDIVIDUALS IS AS FOLLOWS: 1. A JOINT COMPENSATION COMMITTEE IS CONSTITUTED THAT IS COMPOSED ENTIRELY OF CURRENT AND FORMER TRUSTEES AND DIRECTORS MEETING A STRICT "NO CONFLICTS" INDEPENDENCE TEST SET FORTH IN THE IRS REGULATIONS. THE JOINT COMMITTEE IS CHARTERED BY THE BOARDS TO EVALUATE AND APPROVE THE COMPENSATION OF THE SENIOR EXECUTIVES. THE APPROVED COMPENSATION LEVELS ARE INCLUDED IN THE ANNUAL OPERATING BUDGET WHICH IS SUBSEQUENTLY APPROVED BY BOTH BOARDS. 2. THE COMMITTEE ACQUIRES APPROPRIATE, INDEPENDENT MARKET COMPARABILITY DATA FROM ITS PROFESSIONAL COMPENSATION CONSULTANT. 3. THE COMMITTEE REVIEWS THIS COMPARABILITY DATA IN DETAIL, POSING APPROPRIATE QUESTIONS TO ITS PROFESSIONAL COMPENSATION CONSULTANT. 4. THE COMMITTEE REVIEWS THE QUALIFICATIONS, EXPERIENCE AND PERFORMANCE OF EACH OF THE INDIVIDUALS AGAINST THE COMPARABILITY DATA ACQUIRED FROM THE PROFESSIONAL COMPENSATION CONSULTANT. 5. THE COMMITTEE DESIGNS A PROPOSED COMPENSATION PACKAGE FOR EACH OF THE INDIVIDUALS AND SEEKS A WRITTEN OPINION FROM THE PROFESSIONAL COMPENSATION CONSULTANT THAT THE PROPOSED COMPENSATION PACKAGE IS REASONABLE. (THE COMMITTEE MAKES ANY ADJUSTMENTS TO THE PROPOSAL REQUIRED IN ORDER FOR THE PROFESSIONAL COMPENSATION CONSULTANT TO CONCLUDE THAT THE PACKAGE IS REASONABLE.) 6. THE COMMITTEE MEMORIALIZES ALL OF ITS DELIBERATIONS IN DETAILED COMMITTEE MINUTES THAT ARE REVIEWED AND CORRECTED, IF NECESSARY AND APPROVED AT ITS FOLLOWING MEETING. 7. THE COMMITTEE ACQUIRES AN OPINION OF COUNSEL CONCLUDING THAT THE PROCESS FOLLOWED BY THE COMMITTEE MEETS THE REQUIREMENTS OF THE IRS REGULATIONS. 8. THE COMMITTEE REGULARLY REVIEWS ITS PROCESS TO ENSURE THAT IT CONTINUES TO MEET ALL OF THE REQUIREMENTS OF APPLICABLE LAW. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ALL NECESSARY AND REQUIRED GOVERNING DOCUMENTS, CONFLICTS OF INTEREST POLICIES, FINANCIAL STATEMENTS, FORM 990S AND ANNUAL REPORT AVAILABLE ON ITS WEBSITE: WWW.USNA.COM FOR THE SAME PERIOD OF DISCLOSURE AS SET FORTH IN SECTION 6104(D). FORM 990, PART VII, SECTION A AND PART VII, SECTION B ALL INFORMATION REPORTED ON THIS 2023 FORM 990 IS REPORTED ON A FISCAL YEAR BEGINNING JULY 1, 2023 AND ENDING JUNE 30, 2024, WITH THE EXCEPTION OF INFORMATION THAT IS REPORTED FOR COMPENSATION ON SCHEDULE J AND PART VII OF THE RETURN. COMPENSATION LISTED ON THESE SCHEDULES IS BASED ON CALENDAR YEAR REPORTED COMPENSATION (PER THE 990 INSTRUCTIONS) FOR THE CALENDAR YEAR JANUARY 1, 2023 AND ENDING DECEMBER 31, 2023. FORM 990, PART VII, LINE 1A, COLUMN B SEVERAL OFFICERS OF THE UNITED STATES NAVAL ACADEMY ALUMNI ASSOCIATION ARE DUALLY EMPLOYED BY A RELATED ORGANIZATION, THE U.S. NAVAL ACADEMY FOUNDATION. HOURS DEVOTED TO THE FOUNDATION ARE LISTED BELOW FOR THE OFFICERS INVOLVED IN BOTH ORGANIZATIONS: OFFICER - HOURS DEVOTED TO FOUNDATION BOB GAST - 33 JEFFREY WEBB - 36 LISA STROBEL - 27.5 FORM 990, PART IX, LINE 11G PROFESSIONAL & CONTRACT SERVICE FEES: PROGRAM SERVICE EXPENSES 3,405,161. MANAGEMENT AND GENERAL EXPENSES 7,720. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 3,412,881. FORM 990, PART XI, LINE 9: CHANGE IN SPLIT INTEREST AGREEMENTS 75,172. 990, PART XI, QUESTION 2B - AUDITED FINANCIAL STATEMENTS FOR GAAP PURPOSES, THE ORGANIZATION PRESENTS ITS ACTIVITY IN A CONSOLIDATED FORMAT WITH ITS RELATED ENTITY, THE U.S. NAVAL ACADEMY FOUNDATION. THESE CONSOLIDATED FINANCIAL STATEMENTS ARE AUDITED BY INDEPENDENT AUDITORS. THE GAAP FINANCIAL STATEMENTS INCLUDE SUPPLEMENTARY INFORMATION THAT PRESENTS THE FINANCIAL POSITION AND THE CHANGES IN NET ASSETS OF THE ASSOCIATION. FORM 990, PART I, LINE 5 AND FORM 990, PART V, LINE 2A THE U.S. NAVAL ACADEMY ALUMNI ASSOCIATION IS THE PAYMASTER FOR BOTH THE ASSOCIATION AND THE U.S. NAVAL ACADEMY FOUNDATION (A RELATED ORGANIZATION). DUE TO THE ASSOCIATION'S ROLE AS PAYMASTER FOR BOTH ORGANIZATIONS, THE ASSOCIATION REPORTS BOTH ASSOCIATION AND FOUNDATION EMPLOYEES FOR W-3 PURPOSES AND THE FOUNDATION DOES NOT REPORT EMPLOYEES FOR W-3 PURPOSES. THE ASSOCIATION FILES ALL RELATED EMPLOYMENT TAX FORMS. ALL PAYROLL EXPENSES RELATED TO THE FOUNDATION ARE RECORDED AS A RECEIVABLE TO THE ASSOCIATION AND A PAYABLE FROM THE FOUNDATION. US NAVAL ACADEMY FOUNDATION INC 301 KING GEORGE STREET ANNAPOLIS MD 21402 237003516 SUPPORT OF U.S. NAVAL ACADEMY MD 501(C)(3) 7 N/A 0 CHARITABLE REMAINDER TRUSTS (2) INVESTMENT MD US NAVAL ACADEMY ALUMNI ASSOCIATION INC T 1 CHARITABLE REMAINDER TRUSTS (5) INVESTMENT MD US NAVAL ACADEMY FOUNDATION INC T 1 0 0 1 1 1 1 0 0 1 0 0 1 1 1 1 1 1 1 1