2024-04-18T15:51:11-05:00 2023-06-30 910189318 MOSS ADAMS LLP 601 W RIVERSIDE AVENUE STE 1800 SPOKANE WA 99201 990 2022-07-01 383011476 MIDWESTERN HIGHER EDUCATION COMPACT MIDW 6126772777 105 FIFTH AVENUE SOUTH SUITE 450 MINNEAPOLIS MN 55401 SUSAN HEEGAARD PRESIDENT 6126772777 2024-04-18 1 SUSAN HEEGAARD 999009999 1 EMINA O CRESSWELL CPA P01217304 5097472600 2024-04-18 0 AAL1 IAL1 2022 2023-04-26 12:10:37Z SUSAN HEEGAARD 105 FIFTH AVENUE SOUTH SUITE 450 MINNEAPOLIS MN 55401 8521915 0 X WWW.MHEC.ORG X 1991 MN MHEC BRINGS TOGETHER MIDWESTERN STATES TO DEVELOP AND SUPPORT BEST PRACTICES, COLLABORATION EFFORTS, AND COST-SHARING OPPORTUNITIES. THROUGH THESE EFFORTS IT WORKS TO ENSURE STRONG, EQUITABLE POSTSECONDARY EDUCATIONAL OPPORTUNITIES AND OUTCOMES FOR ALL. 67 67 17 69 0 0 2061574 1583929 2712025 6908971 5771 24611 0 4404 4779370 8521915 0 0 0 0 2440058 2423681 0 0 2723 2023292 1551075 4463350 3974756 316020 4547159 6708923 12344634 1227799 2316351 5481124 10028283 X MHEC MEMBERS COLLABORATE TO ADDRESS THE REGION'S MOST PRESSING CHALLENGES IN HIGHER EDUCATION AND TRANSFORM EDUCATIONAL OPPORTUNITIES SO THAT PEOPLE AND COMMUNITIES THRIVE. 0 0 1067547 1155064 PROGRAMS:ADDITIONAL MHEC PROGRAMS ARE INITIATED IN RESPONSE TO IDENTIFIED NEEDS IN ONE OR MORE OF THE MEMBER STATES. BRINGING TOGETHER EXPERTISE FROM ACROSS THE REGION, MHEC IDENTIFIES ACTIVITIES NEEDED TO ADDRESS THE IDENTIFIED NEEDS. THOSE PROBLEMS BEST SOLVED THROUGH ONGOING INTERSTATE COOPERATION ARE THEN DEVELOPED INTO MHEC PROGRAMS. EACH MHEC PROGRAM PROVIDES THE PROGRAM PARTICIPANTS WITH GOVERNANCE AND LEADERSHIP STRUCTURES TO GUIDE AND MAINTAIN PROGRAMMATIC OUTCOMES.MHECARE HEALTH INSURANCE SOLUTIONS:COMPREHENSIVE HEALTH INSURANCE SOLUTIONS CREATED IN RESPONSE TO BOTH INCREASING COST AND CONCERN FOR STUDENT HEALTH. 25 CAMPUSES OFFERED MHECARE HEALTH INSURANCE SOLUTIONS IN FY 2023.MIDWEST STUDENT EXCHANGE PROGRAM:A MULTI-STATE TUITION RECIPROCITY PROGRAM THAT MAKES ATTENDING OUT-OF-STATE COLLEGES AND UNIVERSITIES MORE AFFORDABLE FOR NON-RESIDENT STUDENTS.- 5,828 STUDENTS ENROLLED IN THE MIDWEST STUDENT EXCHANGE PROGRAM IN 8 OF THE COMPACT STATES (INDIANA, KANSAS, MINNESOTA, MISSOURI, NEBRASKA, NORTH DAKOTA, OHIO, AND WISCONSIN) DURING FY23.- MSEP STUDENTS SAVED OVER $44 MILLION IN FY23, BRINGING THE TOTAL PROGRAM SAVINGS TO $891 MILLION SINCE 1994.- ON AVERAGE, STUDENTS IN MSEP TYPICALLY REALIZE SAVING BETWEEN $500 AND $5,000 ANNUALLY.- 1 REPORT WAS PRODUCED AS PART OF A PROGRAM ASSESSMENT.MIDWESTERN STATE AUTHORIZATION RECIPROCITY AGREEMENT:A VOLUNTARY AGREEMENT AMONG STATES THAT ESTABLISHES NATIONWIDE STANDARDS FOR THE OFFERING OF POSTSECONDARY DISTANCE EDUCATION COURSES AND PROGRAMS. M-SARA SAVED INSTITUTIONS AN ESTIMATED $36,285,255 IN FY 2023. 801544 CONVENING:MHEC EMPOWERS THE MEMBER STATES TO CONNECT FOR THE PURPOSE OF EXCHANGING EXPERTISE, SHARING IDEAS AND EXPERIENCES, AND COLLABORATIVELY PURSUING EFFORTS THAT HELP FURTHER HIGHER EDUCATION. THIS CONVENING AND COLLABORATING LEADS TO MANY PROGRAMS AND ACTIVITIES THAT PRODUCE A VARIETY OF OUTCOMES AND RESULTS RANGING FROM THE DISSEMINATION OF KNOWLEDGE AND EXPERTISE ABOUT PRACTICAL SOLUTIONS, TO LEVERAGING THE COLLECTIVE PURCHASING POWER OF THE REGION TO ACHIEVE EFFICIENCIES AND SAVINGS.CONCURRENT ENROLLMENT:MHEC CONTINUED EXPANSION OF THE GRADUATE CREDIT QUEST, A WEB-BASED PLATFORM FOR TEACHERS TO SEARCH FOR GRADUATE COURSE WORK WITHIN THEIR CONTENT AREAS THAT LEAD TO REQUIRED CREDENTIALING FOR TEACHING DUAL OR CONCURRENT CREDIT CLASSES. THE PLATFORM PROVIDES INFORMATION ABOUT DUAL CREDIT AND CONCURRENT ENROLLMENT POLICIES AND PRACTICES FOR ALL 12 MHEC MEMBER STATES. IT ALSO SERVES AS A REPOSITORY OF RESEARCH PUBLICATIONS, PROFESSIONAL PAPERS, AND MEDIA RELEASES ON THE SUBJECT OF DUAL/CONCURRENT CREDIT. THE PLATFORM WAS ENHANCED IN 2022 WITH SPECIFIC COMMUNICATIONS AND PATHWAY TRACKING CAPACITIES THAT FURTHER ENABLE TEACHERS TO ACCELERATE THEIR EFFORTS TO COMPLY WITH CREDENTIALING REQUIREMENTS. NOW THE PLATFORM ENABLES OVER 28 REGIONAL GRADUATE SCHOOLS TO BUILD AWARENESS AMONG TEACHERS ABOUT ROUGHLY 1,500 UNIQUE COURSE OFFERINGS, WITHIN MULTIPLE ACADEMIC DISCIPLINES, AND PROVIDING ACCESS TO SPECIFIC ENROLLMENT PROCESSES, DELIVERY MODALITIES, AND MORE.CAMPUS COORDINATORS FOR DUAL OR CONCURRENT CREDIT TEACHERS CAN NOW COMMUNICATE WITH PARTNERED TEACHERS ABOUT THEIR SPECIFIC PROGRESS TOWARD CREDENTIALING AND TEACHERS CAN HAVE CONFIDENCE THAT SELECTED COURSES WILL COUNT TOWARD CREDENTIALING. THE PLATFORM HOSTS COLLEGES AND UNIVERSITIES FROM 8 OF THE 12 MHEC MEMBER STATES. TEACHER USER COUNTS (OF 187CURRENT USERS) HAVE CONTINUED TO GROW, AND COORDINATOR COUNTS (33) ARE RISING. AS DIRECT OUTREACH TO 28 UNIVERSITY USERS) ARE IMPLEMENTED. FORMAL OUTREACH AND COMMUNICATIONS EFFORTS INCLUDED USER SURVEYS TO BOTH UNIVERSITY ADMINISTRATORS (33) AND TEACHERS (263). SEVERAL INSIGHTS AND USER PERCEPTIONS WERE RECEIVED AND ASSESSED FOR FURTHER ACTION IN 2024.CONCURRENT ENROLLMENT IS A RESEARCH PRIORITY FOR MHEC DURING ITS CURRENT STRATEGIC PLAN. IN FY24 MHEC WILL PRODUCE BETWEEN THREE AND FOUR RESEARCH REPORTS PERTAINING TO CONCURRENT ENROLLMENT ISSUES: TRENDS AND PATTERNS IN STATE LEVEL DATA COLLECTION, USE OF OPEN EDUCATIONAL RESOURCES IN DUAL AND CONCURRENT ENROLLMENT SETTINGS, AN UPDATED VERSION OF THE 2017 MHEC RESEARCH REPORT SUMMARIZING EXISTING RESEARCH ON OPTIMAL LEVELS OF TEACHER TRAINING AND PREPARATION, AND AN UPDATED VERSION OF THE 2019 RESEARCH REPORT SUMMARIZING HOW STATES AND ACCREDITORS DEFINE THE QUALIFICATIONS NECESSARY FOR HIGH SCHOOL TEACHERS TO TEACH CONCURRENT ENROLLMENT COURSES. 385935 5753907 CONTRACTS:MHEC CONTRACTS LEVERAGE THE POTENTIAL VOLUME OF THE REGION'S PURCHASING POWER, WHILE SAVING ENTITIES TIME AND MONEY BY SIMPLIFYING THE PROCUREMENT PROCESS AND NEGATING THE NEED TO CONDUCT A COMPETITIVE SOURCING EVENT. BY OFFERING A TURNKEY SOLUTION WITH THE ABILITY TO TAILOR THE ALREADY NEGOTIATED CONTRACT TO MATCH THE ENTITY'S SPECIFIC NEEDS AND REQUIREMENTS, MHEC CONTRACTS SHIFT SOME OF THE NEGOTIATING POWER BACK TO THE PROCURING ENTITIES. IN ADDITION TO CONTRACTS AVAILABLE THROUGH MHECARE STUDENT HEALTH SOLUTIONS, MHEC OFFERS NUMEROUS CONTRACTS IN TECHNOLOGY. THE CONTRACTS ARE A PRODUCT OF A REPRESENTATIVE GROUP OF STAKEHOLDERS FROM THE HIGHER EDUCATION TECHNOLOGY COMMUNITY CONDUCTING A COMPETITIVE SOURCING PROCESS THAT LEVERAGES THE POTENTIAL PURCHASING POWER OF THE 12 MHEC MEMBER STATES. TECHNOLOGY CONTRACTS SAVED ENTITIES IN THE MHEC REGION NEARLY $32 MILLION IN FY2023. IN SOME CASES, THE COMPACT'S COST SAVINGS INITIATIVES MAY BE UTILIZED BY CITY, COUNTY, AND STATE GOVERNMENT AS WELL AS NONPROFIT ORGANIZATIONS. 818266 RESEARCH:MHEC RESEARCH INFORMS INSTITUTIONAL AND STATE EFFORTS IN IMPROVING POSTSECONDARY POLICIES, PRACTICES, AND OUTCOMES IN SEVERAL WAYS: (A) MAINTAINING A NATIONAL REPOSITORY OF EXPERTISE, KNOWLEDGE AND BEST PRACTICES FOR GUIDING POLICY AND PRACTICE; (B) CONDUCTING APPLIED RESEARCH AND ANALYSIS ON CRITICAL TOPICS IN HIGHER EDUCATION; (C) DEVELOPING INNOVATIVE APPROACHES TO IMPROVE EDUCATIONAL OPPORTUNITY AND EFFECTIVENESS; AND (D) PROVIDING PUBLIC OUTREACH AND SERVICE TO INSTITUTIONS AND GOVERNMENTS. AMONG ITS CORE OUTPUTS, MHEC RESEARCH MAINTAINS AN ONLINE DASHBOARD OF EDUCATIONAL PERFORMANCE INDICATORS AND PRODUCES TIMELY BRIEFS, REPORTS, AND TECHNICAL PAPERS IN THE MOST CRITICAL AREAS FOR FACILITATING PROGRESS TOWARDS STATE EDUCATIONAL ATTAINMENT GOALS, INCLUDING COLLEGE READINESS; AFFORDABILITY AND FINANCE; STUDENT SUCCESS; AND PERFORMANCE, VALUE, AND ACCOUNTABILITY AS WELL AS OTHER TOPICS OF IMPORTANCE TO MIDWESTERN STATES. 23 PUBLICATIONS WERE RELEASED IN FY23. 818266 3073292 1 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 1 18 0 1 17 1 0 0 0 0 0 0 0 0 0 0 0 0 X 67 67 0 0 0 0 1 1 0 1 1 0 0 1 1 1 1 1 0 1 0 0 MN X ERIN FRAHM 6126772766 105 FIFTH AVENUE SOUTH SUITE 450 MINNEAPOLIS MN 55401 SUSAN HEEGAARD PRESIDENT 40.00 X 264426 0 112955 ROBERT TREMBACH CHIEF OPERATING OFFICER 40.00 X 163584 0 104242 JENNIFER PARKS VICE PRESIDENT 40.00 X 140989 0 75480 JENNIFER DAHLQUIST VICE PRESIDENT 40.00 X 151798 0 48768 MARY ROBERSON SENIOR DIRECTOR 40.00 X 107182 0 56204 CARLA AHRENS MANAGER (THRU 11/22) 40.00 X 124190 0 17535 AARON HORN ASSOCIATE VICE PRESIDENT 40.00 X 102944 0 28929 DANIEL MOSER CHIEF FINANCIAL OFFICER (THRU 07/22) 40.00 X 74930 0 30057 BARBARA BALLARD BOARD CHAIR 3.00 X X 0 0 0 JOAN BALLWEG BOARD VICE CHAIR 3.00 X X 0 0 0 LARRY TIDEMANN BOARD TREASURER 3.00 X X 0 0 0 TIM FLAKOLL PAST BOARD CHAIR 3.00 X X 0 0 0 DAVID PEARCE PAST BOARD CHAIR 3.00 X X 0 0 0 MAUREEN BANKS EXECUTIVE COMMISSIONER 2.00 X 0 0 0 KATIE STUART EXECUTIVE COMMISSIONER 2.00 X 0 0 0 KEN SAUER EXECUTIVE COMMISSIONER 2.00 X 0 0 0 OLIVIA MA MADISON EXECUTIVE COMMISSIONER 2.00 X 0 0 0 SHARON STECKMAN EXECUTIVE COMMISSIONER 2.00 X 0 0 0 DAVID EISLER EXECUTIVE COMMISSIONER 2.00 X 0 0 0 BRANDY JOHNSON EXECUTIVE COMMISSIONER 2.00 X 0 0 0 DENNIS OLSON EXECUTIVE COMMISSIONER 2.00 X 0 0 0 JOHN CAVANAUGH EXECUTIVE COMMISSIONER 2.00 X 0 0 0 DEBORAH FRISON EXECUTIVE COMMISSIONER 2.00 X 0 0 0 MARK HAGEROTT EXECUTIVE COMMISSIONER 2.00 X 0 0 0 BRANDY PYLE EXECUTIVE COMMISSIONER 2.00 X 0 0 0 GARY CATES EXECUTIVE COMMISSIONER 2.00 X 0 0 0 JERRY CIRINO EXECUTIVE COMMISSIONER 2.00 X 0 0 0 MICHAEL CARTNEY EXECUTIVE COMMISSIONER 2.00 X 0 0 0 CONNIE HUTCHISON EXECUTIVE COMMISSIONER 2.00 X 0 0 0 DAVID MURPHY EXECUTIVE COMMISSIONER 2.00 X 0 0 0 SCOTT BENNETT COMMISSIONER (THRU 12/22) 1.00 X 0 0 0 MICHAEL HALPIN COMMISSIONER 1.00 X 0 0 0 PRANAV KOTHARI COMMISSIONER 1.00 X 0 0 0 BOB BEHNING COMMISSIONER 1.00 X 0 0 0 KURK DYKSTRA COMMISSIONER 1.00 X 0 0 0 JON FORD COMMISSIONER 1.00 X 0 0 0 RONALD ROCHON COMMISSIONER 1.00 X 0 0 0 NANCY BOETTGER COMMISSIONER 1.00 X 0 0 0 JACOB BOSSMAN COMMISSIONER 1.00 X 0 0 0 DERRICK FRANCK COMMISSIONER 1.00 X 0 0 0 GRETA ROUSE COMMISSIONER 1.00 X 0 0 0 CINDY WINCKLER COMMISSIONER 1.00 X 0 0 0 MOLLY BAUMGARDNER COMMISSIONER 1.00 X 0 0 0 CYNTHIA LANE COMMISSIONER 1.00 X 0 0 0 AARON OTTO COMMISSIONER 1.00 X 0 0 0 BEN FREDERICK COMMISSIONER 1.00 X 0 0 0 CAROL GLANVILLE COMMISSIONER 1.00 X 0 0 0 KIMBERLY LASATA COMMISSIONER 1.00 X 0 0 0 SEAN MCCANN COMMISSIONER 1.00 X 0 0 0 BILL PINK COMMISSIONER 1.00 X 0 0 0 CONNIE BERNARDY COMMISSIONER 1.00 X 0 0 0 OMAR FATEH COMMISSIONER 1.00 X 0 0 0 MICHAEL GOH COMMISSIONER 1.00 X 0 0 0 DEVINDER MALHOTRA COMMISSIONER 1.00 X 0 0 0 DAVID TOMASSONI COMMISSIONER (THRU 08/22) 1.00 X 0 0 0 GENE PELOWSKI JR COMMISSIONER 1.00 X 0 0 0 JOHN BLACK COMMISSIONER 1.00 X 0 0 0 KARLA ESLINGER COMMISSIONER 1.00 X 0 0 0 KAYLA HAHN COMMISSIONER 1.00 X 0 0 0 ANDREW KOENIG COMMISSIONER 1.00 X 0 0 0 CINDY O'LAUGHLIN COMMISSIONER 1.00 X 0 0 0 SUSAN THOMPSON COMMISSIONER 1.00 X 0 0 0 RANDOLPH FERLIC COMMISSIONER 1.00 X 0 0 0 HEATH MELLO COMMISSIONER 1.00 X 0 0 0 LYNNE WALZ COMMISSIONER 1.00 X 0 0 0 KYLE DAVISON COMMISSIONER 1.00 X 0 0 0 TIM MIHALICK COMMISSIONER 1.00 X 0 0 0 MIKE DUFFEY COMMISSIONER 1.00 X 0 0 0 JACK HERSHEY COMMISSIONER 1.00 X 0 0 0 TOM YOUNG COMMISSIONER 1.00 X 0 0 0 STEVE KOLBECK COMMISSIONER 1.00 X 0 0 0 NATHAN LUKKES COMMISSIONER 1.00 X 0 0 0 TYLER TORDSEN COMMISSIONER 1.00 X 0 0 0 REBECCA LARSON COMMISSIONER 1.00 X 0 0 0 STEPHEN NASS COMMISSIONER 1.00 X 0 0 0 JULIE UNDERWOOD COMMISSIONER 1.00 X 0 0 0 ERIN HEALY COMMISSIONER 1.00 X 0 0 0 1130043 0 474170 8 0 1 0 CREDENTIAL ENGINE INC 2021 L STREET NW SUITE 101-342 WASHINGTON DC 20036 GRANT SUBCONTRACTOR 307500 EDBRIDGE PARTNERS LLC 1133 CAMELBACK STREET SUITE 7876 NEWPORT BEACH CA 92658 GRANT CONSULTING 229033 CLIFTON LARSON ALLEN 220 SOUTH SIXTH STREET SUITE 300 MINNEAPOLIS MN 55402 ACCOUNTING SERVICES 140464 3 1380000 203929 1583929 TECHNOLOGY CONTRACTS 900099 5753907 5753907 SERVICE FEES 900099 1155064 1155064 6908971 24611 24611 OTHER INCOME 900099 4404 4404 4404 8521915 6908971 0 29015 600175 463792 132968 3415 1300293 1101920 199083 -710 154278 130865 23506 -93 246837 209134 37729 -26 122098 101097 20864 137 34442 34442 281500 281500 286698 263852 22846 94498 66556 27942 127503 105917 21586 107129 89913 17216 439448 424596 14852 5042 5042 96858 73650 23208 30717 30717 SUBSCRIPTIONS 34241 27611 6630 PROMOTIONS 10754 7732 3022 OTHER EXPENSES 1319 949 370 LICENSES 926 666 260 3974756 3073292 898741 2723 1125463 1699981 4077137 7300222 1004165 3014247 117590 42474 889707 786946 136090 102761 248478 184949 6708923 12344634 777638 1963004 101407 87804 348754 265543 1227799 2316351 X 5461051 10008210 20073 20073 5481124 10028283 6708923 12344634 4547159 0 X 0 1 X 0 0 X 1412000 1408000 2136419 2061574 1583929 8601922 1412000 1408000 2136419 2061574 1583929 8601922 2206238 6395684 57681 42194 16713 5771 24611 146970 4404 4404 8753296 17209599 0.73070 0.85690 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 375877 275260 100617 513830 511686 2144 102761 LEASE LIABILITIES 265543 265543 X 8521915 0 8521915 0 8521915 3974756 0 3974756 0 3974756 PART X, LINE 2: THE COMPACT QUALIFIES AS A TAX-EXEMPT ORGANIZATION UNDER SECTION 501(C)(3) AND IS NOT A PRIVATE FOUNDATION UNDER SECTION 509(A) OF THE INTERNAL REVENUE CODE. THE COMPACT IS ANNUALLY REQUIRED TO FILE A RETURN OF ORGANIZATION EXEMPT FROM INCOME TAX (FORM 990) WITH THE IRS. IN ADDITION, THE COMPACT IS SUBJECT TO INCOME TAX ON NET INCOME THAT IS DERIVED FROM BUSINESS ACTIVITIES THAT ARE UNRELATED TO ITS EXEMPT PURPOSE. THE COMPACT HAS DETERMINED IT IS NOT SUBJECT TO UNRELATED BUSINESS INCOME TAX AND HAS NOT FILED AN EXEMPT ORGANIZATION BUSINESS INCOME TAX RETURN (FORM 990T) WITH THE IRS. THE COMPACT BELIEVES THAT IT 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 COMPACT WOULD RECOGNIZE FUTURE ACCRUED INTEREST AND PENALTIES RELATED TO UNRECOGNIZED TAX BENEFITS AND LIABILITIES IN INCOME TAX EXPENSE IF SUCH INTEREST AND PENALTIES ARE INCURRED. 1 X X 0 0 0 0 0 0 0 1 0 SUSAN HEEGAARD PRESIDENT 243577 0 7500 0 13349 0 40192 0 72763 0 377381 0 0 0 ROBERT TREMBACH CHIEF OPERATING OFFICER 158984 0 4000 0 600 0 40234 0 64008 0 267826 0 0 0 JENNIFER PARKS VICE PRESIDENT 136629 0 4000 0 360 0 28303 0 47177 0 216469 0 0 0 JENNIFER DAHLQUIST VICE PRESIDENT 147616 0 4000 0 182 0 12633 0 36135 0 200566 0 0 0 MARY ROBERSON SENIOR DIRECTOR 103021 0 4000 0 161 0 21034 0 35170 0 163386 0 0 0 PART I, LINE 7 BONUSES ARE SUGGESTED BY THE PRESIDENT AND SUBSEQUENTLY APPROVED BY THE FINANCE AND AUDIT COMMITTEES AND THE EXECUTIVE OFFICERS. FORM 990, PART VI, SECTION A, LINE 6 COMPACT MEMBERS: THE MEMBERS OF THE COMPACT ARE THE 12 MIDWESTERN STATES IDENTIFIED IN THE COMPACT STATUTE: ILLINOIS, INDIANA, IOWA, KANSAS, MICHIGAN, MINNESOTA, MISSOURI, NEBRASKA, NORTH DAKOTA, OHIO, SOUTH DAKOTA, AND WISCONSIN. TO BECOME A MEMBER, THE STATES MUST ENACT THE COMPACT STATUTE. ONCE ENACTED, THE APPOINTING AUTHORITIES IN EACH OF THE COMPACTING STATES SHALL FORWARD THE NAMES OF THEIR APPOINTEES TO THE COMPACT STAFF. THE COMPACT STAFF SHALL PROMPTLY ADVISE THE APPROPRIATE APPOINTING AUTHORITIES OF THE NEED TO APPOINT NEW COMMISSION MEMBERS UPON THE EXPIRATION OF DESIGNATED TERMS. AFFILIATE MEMBERS: STATES NOT ELIGIBLE TO BECOME A PARTY TO THE COMPACT AND/OR CANADIAN PROVINCES MAY BECOME AFFILIATE MEMBERS WHEN MUTUAL INTERESTS EXIST AND WHEN IT WOULD BENEFIT THE COMPACT TO ENTER INTO SUCH ARRANGEMENTS. ASSOCIATE MEMBERS: ENTITIES NOT ELIGIBLE TO BECOME MEMBERS OF THE COMPACT MAY BE AFFORDED STATUS AS ASSOCIATES OF THE COMMISSION IN ACCORDANCE WITH THE POLICIES AND PROCEDURES APPROVED BY THE COMMISSION. FORM 990, PART VI, SECTION A, LINE 7A EACH COMPACT MEMBER MAY APPOINT FIVE RESIDENT MEMBERS OF EACH STATE TO THE COMMISSION AS FOLLOWS: THE GOVERNOR OR THE GOVERNOR'S DESIGNEE WHO SHALL SERVE DURING THE TENURE OF OFFICE OF THE GOVERNOR; TWO LEGISLATORS, ONE FROM EACH HOUSE (EXCEPT NEBRASKA, WHICH MAY APPOINT TWO LEGISLATORS FROM ITS UNICAMERAL LEGISLATURE), APPOINTED BY THE APPROPRIATE APPOINTING AUTHORITY IN EACH HOUSE OF THE LEGISLATURE; AND TWO OTHER AT-LARGE MEMBERS, AT LEAST ONE OF WHOM SHALL BE SELECTED FROM THE FIELD OF HIGHER EDUCATION. THE AT-LARGE MEMBERS SHALL BE APPOINTED IN A MANNER PROVIDED BY THE LAWS OF THE APPOINTING STATE. ALL VACANCIES SHALL BE FILLED IN ACCORDANCE WITH THE LAWS OF THE APPOINTED STATES. FORM 990, PART VI, SECTION B, LINE 11B A DRAFT RETURN IS REVIEWED BY THE PRESIDENT, CHIEF OPERATING OFFICER, CONTRACT CHIEF FINANCIAL OFFICER AND DIRECTOR OF FINANCE AND ADMINISTRATION. THE DRAFT IS THEN FORWARDED TO A FINANCE AND AUDIT COMMITTEE FOR THEIR REVIEW. ONCE APPROVED IT IS THEN FORWARDED TO THE ORGANIZATION'S OFFICERS FOR THEIR APPROVAL. FORM 990, PART VI, SECTION B, LINE 12C THE CONFLICT OF INTEREST POLICY COVERS THE GOVERNING BOARD AND OFFICERS. ANNUAL STATEMENTS ARE REVIEWED BY THE DIRECTOR OF COMMUNICATIONS AND MARKETING. IF A CONFLICT WAS KNOWN, THAT INDIVIDUAL WOULD BE REQUIRED TO REFRAIN FROM VOTING ON THE MATTER. FORM 990, PART VI, SECTION B, LINE 15A COMPENSATION FOR THE PRESIDENT IS RECOMMENDED BY THE EXECUTIVE COMMITTEE. THE EXECUTIVE COMMITTEE USES COMPARABILITY DATA FOR SIMILAR ORGANIZATIONS. THE FINAL DETERMINATION AND DISCUSSION IS DOCUMENTED IN THE MINUTES AT THE FULL BOARD MEETING IN JUNE. THIS PROCESS IS DONE ON AN ANNUAL BASIS. COMPENSATION FOR OTHER OFFICERS IS DETERMINED BY THE PRESIDENT ON AN ANNUAL BASIS. FORM 990, PART VI, SECTION C, LINE 19 GOVERNING DOCUMENTS ARE CURRENTLY AVAILABLE ON THE COMPACT'S WEBSITE. FINANCIAL STATEMENTS AND THE CONFLICT OF INTEREST POLICY ARE MADE AVAILABLE UPON REQUEST. FORM 990, PART VI, SECTION A, LINE 1A: THE EXECUTIVE COMMITTEE HAS AUTHORITY TO ACT ON BEHALF OF THE BOARD. THE EXECUTIVE COMMITTEE IS MADE UP OF COMMISSIONERS CHOSEN BY THE BOARD OF COMMISSIONERS. TWO EXECUTIVE BOARD MEMBERS ARE CHOSEN FROM EACH STATE GIVING THE STATES EQUAL REPRESENTATION AND EQUAL AUTHORITY AND VOTES. STONE ARCH INSURANCE COMPANY CO MARSH MANAGEMENT SERVICES INC 463 MOUNTAIN VIEW DRIVE SUITE 300 COLCHESTER VT 05446 871115817 INSURANCE VT MIDWESTERN HIGHER EDUCATION COMPACT C 319152 11455701 1.00000 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0