Form 990 Return of Organization Exempt from Income Tax OMB No.1 5-00"

Under section 501 (c), 527, or 4947(a)(1) of the Internal Revenue Code 2004 (except black lung benefit trust or private foundation ) Open to Public Department or Do Treasury Inspection Internal Revenue Service ► The organization may have to use a copy of this return to satisfy state reporting requirements . A For the 2004 calendar year, or tax year beginning Se p 1 , 204, and ending Au g 3 1 2005 B Check if applicable: C Name of organization D Employer Identification Number Please use Addressdwnge IRS label Texas Association of School Boards , Inc. 74-2275519 priot Name change or tee Number and street (or P.O. box if mail is not delivered to street addr) Roomfsude E Telephone number Initial return specific P. 0. Box 400 (512 ) 467-0222 Final return tions. City, town or country State ZIP code + 4 F n9 Cash Accnet Amended return Austin Tx 78 767-0400 other(spec**' El- Application pending . Section 501(c)(3) organizations and 4947(a)(1) nonexempt H andl are not applicable to section 527 organizations. charitable trusts must attach a complete d Schedule A H (a) Is this a group return for atfiliates7 ... Yea ® No (Form 990 or 990-EZ). H (b) If Yes,' enter number of affiliat,e^ s/^ G Web site' 01 www. t a sb . or 1 (C) Are all affiliates included? . lY //4 . [I Yes E] No J Organization ty a p1'No,' anach a list sae instructions.) (check only one ...... sot(e) 3 (insert no.) 1-1 4947(a)(1) or 527 1 (d) Is this a separate return flied by an K Check here r if the organization's gross receipts are normally not more than organuabon covered by a group ruling? $25,000. The organization need not file a return with the IRS; but if the organization Ye: rX] received a Form 990 Package in the mail, it should file a return without financial data. I Grou p Exemption Number ... ',- Some states require a complete return. M Check ► if the organization is not required to attach Schedule B (Form 990, 990-EZ, or 990-PF). L Gross receipts: Add lines 6b, 8b, 9b, and 1 Ob to line 12 ► 4 3 34 3, 87 6. PaYt'it " Revenue. Expenses . and Chances in Net Assets or Fund Balances (See Instn,ctinns) 1 Contributions , gifts, grants, and similar amounts received: a Direct public support ...... 1a 166 , 001. 3rd b Indirect public support ...... 1 b c Government contributions (grants) ...... 1 c 0. Z d Ta (ad u( $ 162, 500. noncash $ 3 , 501 . ) ...... t. _...... id 166 , 001. 2 Program service revenue including government fees and contracts (from Part VII , line 93). ^tX1Pd.^... 2 30 304 706. 3 Membership dues and assessments ...... 3 5 r 239 , 773. 4 Interest on savings and temporary cash investments ...... 4 188,944. 5 Dividends and interest from securities ...... 5 527 463. 6a Gross rents ...... 6a 0 . I~^' b Less: rental expenses ...... 6 b 0. c Net rental income or (loss) (subtract line lib from line 6a) ...... 6 c 0. R 7 Other investment income (describe ...... ) 7 0 . E A Securities (B) Other v 8a Gross amount from sales of assets other ( ) N than inventory ...... 1 , 092 , 683 . 8a 30 , 115. d, E b Less : cost or other basis and sales expenses ... 1 077, 369. 8b 13, 897. c Gain or (loss) (attach schedule) ..See. L-.8..StmtN 15,314. 8c 16, 218. X11+ d Net gain or (loss) (combine line 8c , columns (A) and (B)) ...... ('J.e ..Z_... (115.) ...... Sd 31 , 532. . 9 Special events and activities (attach schedule). If any amount is from gaming, check here ..... a Gross revenue (not including $ 0. of contributions 0. ir- reported on line la) ...... 9a l b Less: direct expenses other than fundraising expenses ...... 9 b 0. c Net income or (loss) from special events (subtract line 9b from line 9a) ...... 9c 0. 10a Gross sales of inventory , less returns and allowances ...... 10a 2 , 410 . lfl b Less : cost of goods sold ...... 10 b 1,826. c Gross profit or (loss) from sales of inventory (attach schedule) (subtract line 10b^iomlia D - 0.. Stmt 10C 584. 11 Other revenue (from Part VII, line 103) ...... RECEIVED...... 11 5, 791, 781. 12 Total revenue add lines ld , 2, 3, 4, 5, 6c , 7, 8d, 9c , IOc, and 1 ...... V ...... 12 42 , 250,784. E 13 Program services (from line 44, column (B)) ...... sy ...... 13 3 3, 551, 876. x 14 Management and general (from line 44, column (C)) ...... U^... N, LUUb . 14 6, 781, 088 . 15 Fundraising (from line 44, column (D)) ...... 15 9,143. N s 16 Payments to affiliates (attach schedule) ...... 16 S 17 Total ex penses (add lines 16 and 44, column (A)) ...... -._.zT_ ...... :..: ...... 17 40r342 1 107. A 18 Excess or (deficit) for the year (subtract line 17 from line 12) ...... 18 1,908 , 677. N s 19 Net assets or fund balances at beginning of year (from line 73 , column (A)) ...... 19 20,B97 , 392. T T 20 Other changes in net assets or fund balances (attach explanation) ...... tiulr.Q^fLed.&-tlrlS. • • 20 1, 060,604. S 21 Net assets or fund balances at end of year (combine lines 18, 19 , and 20) ...... 21 23,866,673. BAA For Privacy Act and Paperwork Reduction Act Notice, see the separate instructions. T> Anon 01107MS Form 990 (2004) Form 990 (2004 Texas Association of School Boards , Inc. 74-2275519 Page 2 P,,,ar °g)( =a. Statement of Functional Expenses All organizations must complete column (A). Columns (B), (C), and (D) are required for section 501 (c)(3) and (4) organizations and section 4947(a)(1) nonexempt charitable trusts but optional for others. J Do not include amounts reported on line (B) Program (C) Management 70b, or 16 of Pan` 1. (A) Total services and general (D) Fundraising 6b, 8b, 9b, MR. 22 Grants and allocations (aft sch) (cash $ 0. non-cash $ 0. ) ...... 22 0. 0. 23 Specific assistance to individuals (att sch) ...... 23 0. 0 . '• 24 Benefits paid to or for members (aft sch) ...... 24 0. 0. s,4 ' + 25 Compensation of officers, directors, etc ...... 25 251 890. 59 , 194. 192 696. 0. 26 Other salaries and wages ...... 26 22 428 254. 18 822 725. 3 , 59-8 , 351. 7 , 178. 27 Pension plan contributions ...... 27 1 , 493 , 771. 1 , 253 , 564. 239 645. 562. 28 Other employee benefits ...... 28 2 , 351 , 205. 1 , 973 , 598 . 377 294. 313. 29 Payroll taxes ...... 29 1 , 677 , 100. 1 , 407 , 482. 269 069. 549. 30 Professional fundraising fees ...... 30 0. 0. 0. 0. 31 Accounting fees ...... 31 56 , 425. 0. 56 , 425. 0. 32 Legal fees ...... 32 177 077. 40 , 234. 136 843. 0. 33 Supplies ...... 33 650 259. 545 733. 109 328. 198. 34 Telephone ...... 34 476 833. 400 306. 76 , 527. 0. 35 Postage and shipping ...... 35 327 097. 274 601. 52 , 496. 0. 36 Occupancy ...... 36 1 , 124 , 428. 943 681. 180 404. 343. 37 Equipment rental and maintenance ..... 37 301 613. 253 207. 48 406. 0. 38 Printing and publications ...... 38 612 578. 514 266. 98 312. 0. 39 Travel ...... 39 1 , 612 , 568. 1 , 353 , 767. 258 801. 0. 40 Conferences, conventions, and meetings ...... 40 953 767. 600 697. 153 070. 0. 41 Interest ...... 41 9 , 404. 7 895. 1 , 509. 0. 42 Depreciation, depletion, etc (attach schedule) ..... 42 1 , 198 , 549. 1 , 006 , 194. 192 355. 0. 43 Other expenses not covered above (Itemize): Services 43a 2 , 070 , 246. 1 , 737 , 993. 332 253. 0. a Professional------b Maint enan ce _& Repairs -__ 43b 199 872. 167 , 795. 32 , 077. 0. c In surance &Property Taxes 43c 609 977. 512 082. 97 , B95. 0. dOther_See _Support _Stmt _ 43d 1 , 759 , 194. 1 , 476 , 862. 282 332. 0. Q------_ 43e 44 Total functional expenses (add lines 22 - 43). Organizations completing columns (B) - (D, carry these totals Dlines 13 - 15 ...... 44 40 342 107. 33 551 876. 6 , 781 , 088. 1 9 , 143. Joint Costs. Check . O'U if you are following SOP 98-2. Are any joint costs from a combined educational campaign and fundraising solicitation reported in(B) Program services? ...... Yes ® No If 'Yes,' enter (I) the aggregate amount of these joint costs $ ; (li) the amount allocated to Program services $ ; (iii) the amount allocated to Management and general $ ; and (iv) the amount allocated to Fundraising $

What is the organization 's primary exempt purpose? Schedule 4 Program Service ► ------All oranizations must describe their exempt purpose achievements in a clear and concise manner. State the number of clients- served . oublications issued . etc. Discuss achievements that are not measurable. (Section 501 (c)(3) & (4) organ-

a ------Schedule 4 ------(Grants and allocations $ 0. ) 76. b ------(Grants and allocations $ 0. ) 0. C ------(Grants and allocations 0. ) d

e Other program services ...... (Grants and allocations $ 0.) 0. f Total of Program Service Expenses (should equal line 44, column (B), Program services) ...... ► 33, 551, 876. BAA nMno102 ovmios Form 990 (2004) Form990 (2004) Texas Association of School Boards, Inc. 74-2275519 Page3 Par i: Balance Sheets (See Instructions)

Note: Where required, attached schedules and amounts within the description (A) (B) column should be for end-of-year amounts only. Beginning of year End of year 45 Cash - non - interest- bearing ...... 951. 45 1 , 841. 46 Savings and temporary cash investments ...... 6 , 289 , 909. 46 5 , 520 , 502.

47a Accounts receivable ...... 47a 2 , 618 , 895. b Less : allowance for doubtful accounts ...... 47b 60 , 000 . 2 , 80 9 579. 47c 2 , 558 , 895.

48a Pledges receivable ...... 48a 0. b Less: allowance for doubtful accounts ...... 48b 0 . 0. 48c 0. 49 Grants receivable ...... 0 . 49 01 A 50 Receivables from officers , directors , trustees, and key s employees (attach schedule) ...... 0. 50 0. E 51 a Other notes & loans receivable (attach sch) ...... 51 a 0. if"' i T b Less: allowance for doubtful accounts ...... 51 b 0. 0. 51 c 0. 52 Inventories for sale or use ...... 83 506 . 52 66 , 564. 53 Prepaid expenses and deferred charges ...... 577 664. 53 2 , 130 , 615. 54 Investments - securities (attach schedule) ..L:-.5A. Stmt I"Q Cost ® FMV 12 , 983 , 762. 54 15 , 438 , 431. 55a Investments - land, buildings . & equipment: basis . 55a 0. ^N b Less: accumulated depreciation __s (attach schedule) ...... 55b 0. 0. 55c 0. 56 Investments - other (attach schedule) ...... 0. 56 0 . 57a Land , buildings, and equipment: basis ...... 57a 11 , 641 , 307. b Less: accumulated depreciation l -''-^ (attach schedule) ...... SCNA .5 ..... 57b 7,685 ,957. 3 , 473 , 338. 57c' 3 955, 350. 58 Other assets (describe ► ) .. 0. 58 0. 59 Total assets (add lines 45 through 58) (must equal line 74) ...... 26, 218, 709. 59 29 , 672 , 198. 60 Accounts payable and accrued expenses ...... 3 , 176 , 310. 60 3 , 384 , 957. L 61 Grants payable ...... 0 . 61 0. i A 62 Deferred revenue ...... 2,145,007. 62 2 1 169 , 579. 63 Loans from officers, directors, trustees, and key employees (attach schedule) ...... 0. 63 0. L I 64a Tax -exempt bond liabilities (attach schedule) ...... 0. 64a 0 . T E b Mortgages and other notes payable (attach schedule) ....^Gi ..^ ...... 0. 64 b 250,989. s 65 Other liabilities (describe ► ) .. 0. 65 0. 66 Total liabilities (add lines 60 through 65) ...... 5 321, 317 . 66 5 , 805 , 525. Organizations that follow SFAS 117, check here ► and complete lines 67 E through 69 and lines 73 and 74. '•'T A 67 Unrestricted ...... 20 B97 392. 67 23 866 673. 68 Temporarily restricted ...... 0. 68 0. 69 Permanently restricted ...... 0. 69 0 . o Organizations that do not follow SFAS 117, check here ► and complete lines R 70 through 74. 70 Capital stock, trust principal , or current funds ...... 70 71 Paid -in or capital surplus , or land , building, and equipment fund ...... 71 72 Retained earnings , endowment , accumulated income , or other funds ...... 72

CO 73 Total net assets or fund balances (add lines 67 through 69 or lines 70 through = 72; column (A) must equal line 19; column (B) must equal line 21) ...... 20 , 897 , 392. 73 23 866 673. 74 Total liabilities and net assets/fund balances (add lines 66 and 73) ...... 26 , 218 , 709. 74 29 1 672 , 198. Form 990 is available for public inspection and, for some peop le, serves as the primary or sole source of information about a particular organization . How the public perceives an organization in such cases may be determined by the information presented on its return . Therefore, please make sure the return is complete and accurate and fully describes, in Part III, the organization 's programs and accomplishments.

BAA

TEEA0103 01107/05 Form 990(2004 Texas Association of School Boards Inc. 74-2275519 Page 4 - Reconciliation of Revenue per Audited a l Reconciliation of Expenses per Audited Financial Statements with Revenue Financial Statements with Expenses per Return (See instructions.) per Return

a Total revenue, gains and other support a Total expenses and losses per audited a per audited financial statements ...... ► a 43 , 7 44 , 922. financial statements ...... ► 4 0 7754-641. b Amounts included on line a but ai`^4 b Amounts included on line a but not 312 'I:r y not on line 12, Form 990: on line 17, Form 990:

(1) Net unrealized y (1) Donated serv 1 s 61ti 9 sins on p } ices and use ' investments .... $ 1 , 060 , 604. of facilities ...... $ 0. (2) Donated serv- (2) Prior year adjust- ices and use L E o a l` menu reported on F tr n 4^ ? 6 of facilities ..... $ 0. line 20, Form 990 .... $ 0.

(3) Recoveries of prior (3) Losses reported on year grants ...... $ 0. line 20, Form 990 .... $ 0. ;, i ^ a °_ t 1 r+I n, (4) Other (specify): (4) Other (specify): SeeI V-A Stmt See IV-B Stmt -- P ♦ .'^I 'Rini"n --. ----- 433 , 534. ^r^ " 433 534 . 'r ------$ Add amounts on lines (1) through (4) ..... 01 b 1 , 494 , 1 38 . 1 Add amounts on lines (1) through (4) ...... b 433 , 534. c Line a minus line b ...... c 42 250 784. c Line a minus line b ...... c 4342 107 . d Amounts included on line 12, d Amounts included on line 17, ,14 Form 990 but not on line a: i ;f L^ I^ ; ' F ,^ Form 990 but not on line a:

(1) Investment expenses ! ; ^! p^'` ` CI) Investment expenses not Included on line ,y,,l_r.^F^ not included on line fib, Form 990 ...... $ 0. 3 ' 6b, Form 990 ...... $ 0 . •: '`, yi, ;^;I^ , (2) Other (specify): ^i,. • ^^ k,,^'irs^,•^ ':^ _ , (2) Other (specify): r , 'li ly 1, • f RD: None ^i^ c` ^' ^^'jt^' I° None ----- ; .,?. ^ by i ._----- $ r ------0. Add amounts on lines (1) and (2)... ' d 0. Add amounts on lines (1) and (2) .... 01 d _0. e Total revenue per line 12, Form a Totai expenses per line 17, Form 990 line c plus lined ...... a 42 250 784. 990 (line c lus lined ...... e 7. Parfi^17; List of Officers Directors , Trustees and Ke Em to ees (List each one even if not compensated; see instructions.) (B) Title and average hours (C) Compensation (D) Contributions to (E) Expense per week devoted (if not paid, employee benefit account and other Name and address to position enter-0.) plans and deferred allowances compensation Robert _Sepulveda _P.0_._B_o_x 40_01 Austin TX 78767 President 1 0. 0. 0. Katie Reed ------_P-O._ Box_ 40_01 Austin_TX 78767 President-Elect 1 0. 0. 0. Jim Ash _P.O_._ Box4_0_0, Austin TX 78767 Vice-President 1 0. 0. 0. Re nard _T_h_om_a_s ______o_x_40_01 Austin-TX 78767 Vice-President 1 0. 0. 0. Robert Seward P Box 90_01 -Austin- - - - -TX- - 78767- - - - Secretar y-Treasurer 1 0. 0. 0.

See List of Officers , Etc. Statement 251 , 890 . 60 022. 8 609.

75 Did any officer, director, trustee, or key employee receive aggregate compensation of more than $100,000 from your organization and all related organizations, of which more than $10,000 was provided by the related organizations? ...... Q Yes No If 'Yes,' attach schedule - see instructions. BAA Form 990 (2004)

TEEA0104 01/07/05 Form990 2004 Texas Association of School Boards , Inc. 74-2275519 Page Other Information (See instructions.) Yes No 76 Did the organization engage in any activity not previously reported to the IRS? If 'Yes, "Il n ~M` attach a detailed description of each activity ...... 76 X 77 Were any changes made in the organizing or governing documents but not reported to the IRS?. ...:1.(0-) .... 77 X If 'Yes,' attach a conformed copy of the changes. O.nCL 7 (b) ` ' 78a Did the organization have unrelated business gross income of $1,000 or more during the year covered by this return? ..... 78a X b If 'Yes,' has it filed a tax return on Form 990-T for this year? ...... 78b X 79 Was there a liquidation, dissolution, termination, or substantial contraction during the ali year? If 'Yes,' attach a statement ...... 79

80 a Is the organization related (other than by association with a statewide or nationwide organization) through common membership, governing bodies, trustees, officers, etc, to any other exempt or nonexempt organization? ...... 808 X the of the organization Schedule 8 b If 'Yes,' enter name ► ------rat, and check whether it is X exempt or [nonexempt.

81 a Enter direct and indirect political expenditures. See line 81 instructions ...... 81 a 0. .i:.4f'll b Did the organization file Form 1120-POL for this year? ...... 81 b 82;a Did the organization receive donated services or the use of materials, equipment, or facilities at no charge or at substantially less than fair rental value? ...... 82a b If 'Yes,' you may indicate the value of these items here. Do not include this amount as '`ti revenue in Part I or as an expense in Part II. (See instructions in Part III .) ...... 82b r 83 a Did the organization comply with the public inspection requirements for returns and exemption applications? ...... 83a X b Did the organization comply with the disclosure requirements relating to quid pro quo contributions? ...... 83b X 84a Did the organization solicit any contributions or gifts that were not tax deductible? ...... 84a

b If 'Yes,' did the organization include with every solicitation an express statement that such contributions or gifts were not tax deductible? ...... 84b 85 501(c)(4), (5), or (6) organ/zations. a Were substantially all dues nondeductible by members? ...... 85a b Did the organization make only in-house lobbying expenditures of $2,000 or less? ...... 85b If 'Yes' was answered to either 85a or 85b, do not complete 85c through 85h below unless the organization received a waiver for proxy tax owed for the prior 10: c Dues, assessments, and similar amounts from members ...... 85c /U d Section 162(e) lobbying and political expenditures ...... 85d e Aggregate nondeductible amount of section 6033(e)(1)(A) dues notices ...... 85e f Taxable amount of lobbying and political expenditures (line 85d less 85e) ...... 85f All a sue; g Does the organization elect to pay the section 5033(e) tax on the amount on line 85f? ...... 85 h if section 6033(eXIXA) dues notices were sent, does the organization agree to add the amount on line 85f to its reasonable estimate of dues allocable to nondeductible lobbying and political expenditures for the following tax year? ...... 85 h 86 501(c)(7) organizations. Enter: a Initiation fees and capital contributions included on line 12 ...... 868 b Gross receipts, included on line 12, for public use of club facilities ...... 86b 87 501(c)(12) organizations. Enter: a Gross income from members or shareholders ...... 87a b Gross income from other sources. (Do not net amounts due or paid to other sources against amounts due or received from them.) ...... 87b IV l 88 At any time during the year, did the organization own a 50% or greater interest in a taxable corporation or partnership, or an entity disregarded as separate from the organization under Regulations sections 301.7701-2 and 301 .7701-3? If 'Yes,' complete Part IX ...... 89a 501 (c)(3) organizations. Enter: Amount of tax imposed on the organization during the year under: section 4911 ► 0. ; section 4912 ► 0. ; section 4955 ► 0. b 501(c)(3) and 507(c)(4) organizations. Did the organization engage in any section 4958 excess benefit transaction during the year or did it become aware of an excess benefit transaction from a prior year? If 'Yes,' attach a statement explaining each transaction ...... c Enter: Amount of tax imposed on the organization managers or disqualified persons during the year under sections 4912, 4955 , and 4958 ...... ► 0. d Enter : Amount of tax on line 89c, above, reimbursed by the organization ...... 1 0. 90a List the states with which a copy of this return is filed ► N /A______b Number of employees employed in the pay period that includes March 12, 2004 (See instructions.) r 90b - - 483 91 The books are in care of Executive Director ----_ Telephone number (51 2_467_0222____ ► ------► -- Loatedat 12007 Research Blvd^_Austin,- Texas ZIP+4 78759-2439 ► ------► ------92 Section 4947(a)(1) nonexempt charitable trusts filing Form 990 in lieu of Fonn 1041- Check here ...... and enter the amount of tax-exempt interest received or accrued during the tax year ...... "1 92 1 f 114 BAA Form 990 (2004) TEE,a0105 01/07/05 Form 990 (2004 Texas Association of School Boards, Inc. 74-2275519 Page 6 liPa"rtJV,1111 Analysis of Income-Producin g Activities See instructions.) Unrelated business income Excluded by section 512 , 513, or 514 Note : Enter gross amounts unless (A) (B) (C) (D) Related or exempt otherwise Indicated. Business code Amount Exclusion code Amount function income 93 Program service revenue: a TASB - Risk Mgmt Fund 0. 0. 19 597 315. b Cash Management 0. 0. 2 , 739 , 964. c Contract/Consult Fees 561499 13 , 990. 0. 7,953 437. d e f Medicare/Medicaid payments ...... 0. 0. 0. g Fees & contracts from government agencies ... 0. 0. 0. 94 Membership dues and assessments 0. 0. 5,239 , 773. 95 Interest on savings & temporary cash invmnts 0. 14 188 , 944. 0. 96 Dividends & interest from securities 0. 14 527 463. 0. 97 Net rental Income or (loss) from real estate a debt-financed property ...... 0 . 0. 0 b not debt-financed property ...... 0. 0 . 0 . 98 Net rental income or (loss) from pers prop .... 0. 0 . 0 . 99 Other investment income ...... 0. 0 . 0 . 100 Gain or Coss) from sales of assets other than inventory ...... 0 . 18 31 532. 0 . 101 Net income or (loss) from special events ..... 0. 0. 0. 102 Gross profit or (loss) from sales of inventory .... 453000 584. 0 . 0 . 7 .7; -,,- -.r, ; 108 Other revenue : a 77777 7777E111 } il ' I . i • i nr f^• 4 L:, vd^^7_ 1.1..^ x ^x'' 7 --. ^P'{d3 b Seminars/Workshops 0. 0. 1 , 341 , 740. c Reimbursable Expenses 0. 0. 1 , 177 , 293. d Convention 0. 07 893 062. 0. e See Other Revenue Stmt 189, 702. 902 047. 112811937. 104 Subtotal (add columns (B),(D),and (E)) 204 , 27L. J"4,ir 2 543,048. 39,337, 459. 105 Total (add line 104, columns (B), (D), and (E)) ...... 42, 084, 783. Note! Line 105 plus line Id. Part 1. should equal the amount on line 12. Part I. P9F1-V1IF' Relationshi p of Activities to the Accom plishment of Exem pt Purposes (See instructions. ) Line No. ExpIain how each activity for which income is reported in column (E) of Part VII contributed importantly to the accomplishment of the organization's exempt purposes (other than by providing funds for such purposes). Schedule 9

P^artt^3C' Information Regarding Taxable Subsidiaries and Disregarded Entities (See instructions.) (A) (B) (C) (D) (E) Name, address, and EIN of corporation , Percentage of Nature of activities Total End-of-year partnership, or disregarded entity ownership interest income assets First Public LLC 100.0000 % Investment Mana gement 2 , 761 , 584. 1 , 108 , 067. 12007 Research Blvd, Austin TX 78759 % TASB Inc. EIN 74-2275519 % Disre garded Entit y % c? Q :" ParbXG/'. Intormation Reg arding Transfers Associated with Personal tsenetlt contracts (See instructions.) a Did the organization, during the year, receive any funds, directly or indirectly, to pay premiums on a personal benefit contract? ...... Yes No b Did the organization , during the year , pay premiums, directly or Ind Note: If 'Yes' to (b), file Form 88'0 and Form 4720 (see instructions).

Please Sign Si ature of o icer Here ames B. Crow, TASB, Inc. Executive Type or punt name and title.

Preparers f/^q,M/)'^) 71(J^/J]^ / Paid signature ► q yhR11'L11, Pre- arer's Firm's name (or yours if salt ERNS1& YOUNG, LLP se em rayed). 005451 LAKEVIEW PKWY. S. DRIVE Only ZIP' and INDIANAPOLIS, IN 46268 BAA Organization Exempt Under OMB No. 1545.0047 SCHEDULE A 501(c)(3) (Form 990 or 990-M Section • (Except Private Foundation) and Section 501(e), 501(f), 501(k), 501(n), or Section 4947(a)(1) Nonexempt Charitable Trust 2004 Supplementary Information - (See separate Instructions.) anizations and attached to their Form 990 or 990-EZ. ntemal Rnevenue r,,.r ► MUST be completed by the above org Name of the organ'aalion Employer Identlacaton manber Texas Association of School Boards , Inc. 74-2275519 LfPartl Compensation of the Five Highest Paid Employees Other Than Officers , Directors, and Trustees (See instructions . List each one. If there are none, enter 'None.') (a) Name and address of each (b) Title and average (c) Compensation (d) Contributions (e) Expense employee paid more hours per week to employee benefit account and other plans and deferred than $50,000 devoted to position compensation allowances

Chris Szaniszlo

P.O. Box 400 , Austin TX 78767 Assoc. Executive Director 40 233 068. 42 , 533. 7 , 200.

Dubravka Romano______

P.O. Box 400 , Austin TX 78767 Assoc. Executive Director 40 183 068. 38, 926. 6 , 936.

------Catherine-Clark P.O. Box 400 , Austin TX 78767 Assoc. Executive Director 40 136 068. 18 , 398. 7 , 200.

Eric Hungate

P.O. Box 400, Austin TX 78767 Assoc. Executive Director 40 134 068. 14 , 044. 7 200.

Be>amin Canada ------

P.O. Box 400 , Austin TX 78767 Assoc. Executive Director 40 133,56B. 14 976. 7 200. •^t.^^_ia ^. , ^J,' -'d ^L - ,., z'n „-mow:-.:^q L a^.: Total number of other em p loyees p aid . ^'`,^ ^r over $50,000 17 3 ^Irr l14l ,.,: Compensation of the Five Hiahest Paid Independent Contractors for Professional Services (See instructions. List each one (whether individuals or firms). If there are none, enter 'None.)

(a) Name and address of each independent contractor paid more than $5D,000 (b) Type of service (c) Compensation

Daniel-J.-Edelman,_Inc - _ _ _ ------Bank One , NA 21992 Network Pl Chica g o IL 60673-1219 Consultant 196 522.

Today_s Staffincl______

P.O. Box 910270 , Dallas , TX 75391-0270 Temp orary Ag enc y 130 332.

Ratliff CoMan......

816 Congress , Suite 1270 , Austin , TX 78701 Consultant B8 ,000.

Drenner Stuart Wolff ______------&-Golden ------301 Congress , Suite 1200 , Austin , TX 78701 Attorne ys 86 , 585.

Susman Tisdale_Gayle ______

4330 South MoPac , Suite 100, Austin , TX 78735 Consultant 781666. Total number of others receiving over ^y.p ,h;• ,i "P"r^r ^...}, 4 k ^f' $50,000 for p rofessional services ► 5 ,^',;^1^" SAA For Paperwork Reduction Act Notice, see the Instructions for Form 990 and Form 990. Z Schedule A (Form 990 or 990.EZ) 2004

TEEAD401 07122104 S^hariida A (Fnrm 990 nr 990-E71 2004 Toxas Assnni of i nn of School Boards . Inc. 74-2275519 Paae2 Z ^to Statements About Activities (see instructions .) Yes No

1 During the year, has the organization attempted to influence national , state, or local legislation , including any attempt to influence public opinion on a legislative matter or referendum ? If 'Yes,' enter the total expenses paid or incurred in connection with the lobbying activities ..... 01, $ 444,703. (Must equal amounts on line 38 , Part VI-A, or line I of Part VI-B.) ...... 1 X Organizations that made an election under section 501(h) by filing Form 5768 must complete Part VI-A. Other organizations checking 'Yes ' must complete Part VI-B AND attach a statement g iving a detail ed^4iption of the § r' lobbying activities. 6^ 2 During the year, has the organization , either directly or indirectly , engaged in any of the following acts with any , substantial contributors trustees directors officers, creators ke em to ees or members of their families , or with an , fmmkvi taxable organization with which any such person is affiliated as an offcer, director , trustee , majority owner, or principal , , beneficiary? (if the answer to any estlon Is 'Yes, attach a detailed statement ex lainin the transactions. ` a Sale , exchange, or leasing of property? ...... S ^.. f ...... 2a X

b Lending of money or other extension of credit? ...... 2b X

c Furnishing of goods, services , or facilities? ...... 2c X See Part V, Form 990 d Payment of compensation (or payment or reimbursement of expenses if more than $1,000)? ...... 2d X

e Transfer of any part of its income or assets? ...... , ...... 2e X 3 a Do you make grants for scholarships, fellowships , student loans, etc? (If 'Yes,' attach an explanation of how you determine that recipients qualify to receive payments .) ...... 3a X b Do you have a section 403(b) annuity plan for your employees? ...... 3b X 4a Did you maintain any separate account for participating donors where donors have the right to provide advice on the use or distribution of funds? ...... 4a X b Do you provide credit counseling , debt management, credit repair, or debt negotiation services? ...... 4b X jP^tlrC/ Reason for Non-Private Foundation Status (see instructions.)

The organization is not a private foundation because it is: (Please check only ONE applicable box.) 5 A church, convention of churches , or association of churches . Section 170(b)(1)(A)(i). 6 A school . Section 170(b)(1)(A)(i). (Also complete Part V.) 7 A hospital or a cooperative hospital service organization. Section 170 (b)(1)(A)(ni). 8 A Federal , state, or local government or governmental unit. Section 170(b)(1)(A)(v). 9 A medical research organization operated in conjunction with a hospital . Section 170 (b)(1)(A)(iii). Enter the hospital's name, city, and state ------10 An organization operated for the benefit of a college or university owned or operated by a governmental unit. Section 170(b)(1)(A)(iv). (Also complete the Support Schedule in Part IV-A.) 11a An organization that normally receives a substantial part of its sup port from a governmental unit or from the general public. Section 170(b)(1)(A)(vi). (Also complete the Support Schedule in Part IV-A.)

11 b E1A community trust. Section 170 (b)(1)(A)(vi). (Also complete the Support Schedule in Part IV-A.) 12 © An organization that normally receives : (1) more than 33-1/3% of its support from contributions, membership fees, and gross receipts from activities related to its charitable , etc, functions - subj ect to certain exceptions , and (2) no more than 33-1/3% of its support from gross investment income and unrelated business taxable Income (less section 511 tax) from businesses acquired by the organization after June 30, 1975. See section 509(a)(2). (Also complete the Support Schedule in Part IV-A.) 13 D An organization that is not controlled by any disqualified persons (other than foundation managers) and supports organizations described in: (1) lines 5 through 12 above ; or (2) section 501(c)(4), (5), or (6), if they meet the test of section 509 (a)(2). (See section 509 (a)(3).)

Provide the following information about the supported organizations. (See instructions.)

(a) Name(s) of supported organization(s) (b) Line number from above

14 n An organization organized and operated to test for public safety. Section 509(a)(4). (See instructions.) BAA 07/27104 Schedule A (Form 990 or Form 990-EZ) 2004 Schedule A (Form 990 or 990-EZ) 2004 Texas Association of School Boards, Inc. 74-2275519 Page 3 P8 , +1i1/ `, Support Schedule (Complete only if you checked a box on line 10, 11, or 12.) Use cash method ofaccounting. Note : You may use the worksheet in the instructions for converting from the accrual to the cash method of accounting. Calendar year (or fiscal year (a) (b) (c) (e) 002 2001 beginning in) ...... ► 2003 2 2000 Total 15 Gifts, grants , and contributions received. (Do not include unusual rants . See line 28. 151, 618. 258 215. 240 637. 153 361. 803 , 831. 16 Membership fees received ...... 5,075,478. 3 447, 267. 4 , 700 , 365. 4 606 778. 17 829 888. 17 Gross receipts from admissions, merchandise sold or services performed, or furnishing of facilities in any activity that is related to the organization's chantable purpose ...... 35 681 455. 35 553 567. 30 882 666. 26 737 353. 128 855, 041. 18 Gross income from interest, dividends, amounts received from payments on securities loans (section 512(8X5)), rents, royalties, and unrelated business taxable income (less section 511 taxes) from businesses acquired by the organization after June 301975 ...... 70 , 703. B7 , 530. 109 402. 755 107. 1 , 022 , 742. 19 Net income from unrelated business activities not included in line 18 ...... 0. 0. 0. 0. 0. 20 Tax revenues levied for the organization 's benefit and either paid to it or expended on its behalf ...... 0. 0. 0. 0. 0. 21 The value of services or facilities furnished to the organization by a governmental unit without charge. Do not include the value of services or facilities generally furnished to the public without charge ...... 0. 0. 0. 0. 0. 22 Other income . Attach a schedule . Do not include gain or (loss) from sale of ca pital assets See J,-22. Stsnt 1 1 252 , 547. 1 , 424 , 797. 1 , 635 , 108. 1 , 403 , 079. 5,715 , 531. 23 Total of lines 15 through 22 ..... 42 231 801. 40 771 376. 37_, 568 , 178. 33 655 678. 154, 227 , 033. 24 Line 23 minus line 17 ...... 6,550 , 346. 1 5,217 , 809. 1 6 , 685 , 512. 1 6 , 918 , 325. 25, 371 992. 25 Enter 1% of line 23 ...... 422 318. 407 , 7 1 4 . 375 , 682. 336 557. } w lti's" l^ 26 Organizations described on lines 10 or 11 : NRa Enter 2% of amount in column (e), line 24 ...... ► 26a your to show name of and amount contributed by each person (other than a governmental unit or publicly b Prepare a list for records the MAU.. supported organization) whose total gifts for 2DD0 through 2003 exceeded the amount shown in line 26a. Do not file this list with your return . Enter the total of all these excess amounts ...... ► 26b c Total support for section 509(a)()) test: Enter line 24 , column (e) ...... ► 26c d Add : Amounts from column (e) for lines: 18 19 __ '__ 22 26b ..... ► 26d e Public support (line 26c minus line 26d total) ...... ► 26e f Public su pport percenta ge ine 26e (numerator) divided by line 26c (denominator)) ...... ► 26f % 27 Organizations described on line 12: a For amounts included in lines 15, 16, and 17 that were received from a 'disqualified person ' prepare a list for your records to show the name of, and total amounts received in each year from, each 'disqualified person.' Do not 6e this list with your return. Enter the sum of such amounts for each year: (2003) (2002 0_ (2001 (2000 ------0- )------)------0- )------0. bFor any amount included in line 17 that was received from each person (other than 'disqualified persons ), prepare a list for your records to show the name of, and amount received for each year, that was more than the larger of (1) the amount on line 25 for the year or (2) $5,000 . (include in the list organizations described in lines 5 through 11, as well as individuals .) Do not file this list with your return. After computing the difference between the amount received and the larger amount described in (1) or (2), enter the sum of these differences (the excess amounts) for each year: (2003) ______985L899_ (2002)____ 1L538^774_ (2001)______839 L800 _ (2()00)- - ---2_ c Add: Amounts from column (e) for lines: 15 803 , 831. 16 17,829,888. 17 128, 855 , 041. 20 0. 21 0. ... ► 27c 147 488 760. d Add : Line 27a total ..... 0. and line 27b total ...... 3,787,185. ...' 27d 3 , 787 , 185. e Public support Qine 27c total minus line 27d total) ...... ► 27e 143 701 575. =' L. r µ is f Total support for section 509(a)(2) test : Enter amount from line 23, column (e) .. ,, ► 27f 154 227 033. Iy^.,N, i g Public support percentage (line 27e (numerator) divided by line 27f (denominator)) ...... ► 27 93.18 % h Investment income eercentaae (line 18, column (e) (numerator) divided by line 27f (denominator)) ...... ► 27 h 0.66 % 28 Unusual Grants: For an organization described in line 10. 11, or 12 that received any unusual grants during 2000 through 2003, prepare a list for your records to show, for each year, the name of the contributor, the date and amount of the grant, An d brief description of the nature of the grant. Do n ot file this list with your return . Do not include these grants in line 15. /'JO (I E? BAA 7EEa04o33 07/23/04 Schedule A (Form 990 or 990-EZ) 2004 Schedule A orm 990 or 990- EZ) 2004 Texas Association of School Boards, 74-2275519 Page4 - Per / Private School Questionnaire (See instructions.) • (To be completed ONLY by schools that checked the box on line 6 in Part IV) N/A Yes No

29 Does the organization have a racially nondiscriminatory policy toward students by statement In its charter, bylaws, other governing instrument, or in a resolution of its governing body? ......

30 Does the organization include a statement of its racially nondiscriminatory policy toward students in all Its brochures, catalogues, and other written communications with the public dealing with student admissions, programs, and scholarships? ......

31 Has the organization publicized its racially nondiscriminatory policy through newspa per or broadcast media during the period of solicitation for students, or during the registration period if it has no solicitation program, in a way that makes the policy known to all parts of the general community it serves? ...... If 'Yes,' please describe; if ' No,' please explain . (If you need more space , attach a separate statement.) ------32 Does the organization maintain the following: a Records indicating the racial composition of the student body, faculty , and administrative staff? ...... b Records documenting that scholarships and other financial assistance are awarded on a racially nondiscriminatory basis? ...... c Copies of all catalogues , brochures, announcements, and other written communications to the public dealing with student admissions , programs , and scholarships ? ...... d Copies of all material used by the organization or on its behalf to solicit contributions? ......

If you answered 'No' to any of the above, please explain . (If you need more space, attach a separate statement.)

33 Does the organization discriminate by race in any way with respect to:

a Students' rights or privileges? ......

b Admissions policies? ......

c Employment of faculty or administrative staff? ......

d Scholarships or other financial assistance? ......

e Educational policies? ......

IF Use of facilities? ......

g Athletic programs? ......

h Other extracurricular activities? ......

If you answered 'Yes' to any of the above, please explain. (If you need more space, attach a separate statement.)

------

34a Does the organization receive any financial aid or assistance from a governmental agency? ......

b Has the organization's right to such aid ever been revoked or suspended? ...... If you answered 'Yes' to either 34a or b, please explain using an attached statement.

35 Does the organization certify that it has co lied with the applicable requirements of sections 4.01 through 4.05 of Rev Proc 75 1975-2 C.B. 587, covering racial nondiscrimination? If 'No,' attach an exola ion...... BAA TEEAo4o4 07/23/04 or Schedule A (Form 990 or 990-EZ) 2004 Texas Association of School Boards, Inc. 74-2275519 Page 5 P,.at°"t'^ Ia^ Lobbying Expenditures by Electing Public Charities (See instructions.) (To be completed ONLY by an eligible organization that filed Form 5768) N/A b you checked a' and 'limited control ' provisions apply. (.hark ► a if the oroanization belonas to an affiliated arouo . Check b- if a Limits on Lobbying Expenditures Affiliated group To be completed totals for ALL electing (The term 'expenditures' means amounts paid or incurred .) organizations 36 Total lobbying expenditures to influence public opinion (grassroots lobbying) ...... 36 37 Total lobbying expenditures to influence a legislative body (direct lobbying) ...... 37 38 Total lobbying expenditures (add lines 36 and 37) ...... 38 39 Other exempt purpose expenditures ...... 39 40 Total exempt purpose expenditures (add lines 38 and 39) ...... 40 ;ter 'r ^"^ }''È"'r' 1t ,si"^ ^'^;; 41 Lobbying nontaxable amount . Enter the amount from the following table - '; , r,'.'" ' ^`• _:jl:."`='o_ • : •it;;'•,^, '•- ;, 3s+ 1;''îy`_•' y'^^' •^;, ^^ _ ^"^^ i'3 If the amount on line 40 is - The lobbying nontaxable amount is - ;; _ , M, r, ±=,^ 1• ^!'3 r t"F7• Not over $500,000 ...... 20% of the amount on line 40 ...... =_4x.;^ -r:i; ,,,;, u^ •' F -s'.'-^s `^ _: • ^t` 1''i •.: `Y }ir , :iii ^^•^^-- ff-'.i ^"{ r^' Over ;500,000 but not over $1 ,000,000 ...... $100,000 plus 15% of the excess over $500,000 r f,,; iW , d _, ^;• ';^ '"P'•6•j^^ 1 s.t^-••-^x _^^•,Y r t; Over $1,000,000 but not over $1,500,000 ...... $175,000 plus 10% of the excess over $1,000,000 41 ..^ YI' K '.t'^•''s f:1^'''"^ '.z 'fir' Over $1,500,000 but not over $17,000,000...... $225,000 plus 5% of the excess over $1 , 50,000 ice` ^ l r 'r a,l Over $17,000 ,000 ...... $1,000 ,000 ...... 'il_ ^+,^%. `'is ^n 42 Grassroots nontaxable amount (enter 25% of line 41) ...... 42 43 Subtract line 42 from line 36 . Enter -0- if line 42 is more than line 36 ...... 43 44 Subtract line 41 from line 38 . Enter -0- if line 41 is more than line 38 ...... 44 Caution : It there is an amount on either line 43 or line 44, you must file Form 4720, i'(;" ;' =t:; > 1=;'^^ '[l C'al°s'ê'.i`c lip.'lr• 4 -Year Averaging Period Under Section 501(h) (Some organizations that made a section 501(h) election do not have to complete all of the five columns below. See the instructions for lines 45 through 50.)

Lobbying Expenditures During 4 -Year Averaging Period

Calendar year (a) (b) (c) (d) (e) (or fiscal year 2004 2003 2002 2001 Total beginning in) ► 45 Lobbying nontaxable amount ...... -. IS i t^' t i t•: .3 46 Lobbying ceiling amount v^'? i '`= .,ji i! , , , •'' f FF' '1 ^''' I^^'^ ^ ' 'I :'^ `n rI--TI ,.-. iF 150%ofline4 e '^ .. -i l^lui1 lf• - , ^" . - _ _ ',• X1 1 -i ^ a- 1-n, 47 Total lobbying expenditures ...... 48 Grassroots nontaxable amount . % . Ji 3_!f^•.l Fe i.; ';; y ',¢: k ',., ;'fr=,4ri. F=-i' ' »Fr. y, P 49 Grassroots callin g amount t I;:t (150% of Ilne 50 Grassroots lobbying expenditures ...... I?a Vl-;g^ Lobbying Activity by Nonelectin Public Charities (For reporting only by organizations that not complete Part VI-A) (See instructions.) did During the year, did the organization attempt to influence national , state or local legislation , including any attempt to influence public opinion on a legislative matter or referendum , through the use of: Yes No Amount a Volunteers ...... X IN x,ivI b Paid staff or management (Include compensation in expenses reported on lines c throu gh h.) '^°r c Media advertisements ...... X 0. d Mailings to members , legislators, or the public ...... X 2 , 825. e Publications , or published or broadcast statements ...... X 7 , 579. f Grants to other organizations for lobbying purposes ...... X 0. g Direct contact with legislators , their staffs , government officials, or a legislative body ...... X 294 , 047. h Rallies , demonstrations , seminars , conventions , speeches, lectures , or any other means ...... X 140 , 252. I Total lobbying expenditures (add lines c through h.) ...... _ 444 , 703. If 'Yes' to any of the above, also attach a statement giving a detailed description of the lobbying activities . Schedule 11 BAA Schedule A (Form 990 or 990-EZ) 2004

TEEA0405 07123/04 Schedule A (Form 990 or 990 -EZ) 2004 Texas Association of School Boards , Inc . 74-2275519 Page 6 pB , Q Information Regarding Transfers To and Transactions and Relationships With Noncharitable Exempt Organizations (See instructions)

51 Did the reporting organization directly or indirectly engage in any of the following with any other organization described in section 501(c) of the Code (other than section 501 (c)(3) organizations ) or in section 527, relating to political organizations? a Transfers from the reporting organization to a noncharitable exempt organization of: steed, 13 Yes No ()Cash ...... 51a X (ii) Other assets ...... an" X b Other transactions: (i)Sales or exchanges of assets with a noncharitable exempt organization ...... b X (i)Purchases of assets from a noncharitable exempt organization ...... b l) X (li)Rental of facilities , equipment , or other assets ...... b(F1 01 X (v) Reimbursement arrangements ...... b Iv X (v)Loans or loan guarantees ...... b v) X (v)Performance of services or membership or fundraising solicitations ...... b vi X c Sharing of facilities, equipment, mailing lists , other assets , or paid employees ...... C X d If the answer to any of the above is 'Yes,' complete the following schedule . Column (b) should always show the fair market value of the goods , other assets, or services given by the reportin organization . If the org anization received less than fair market value in an transaction or sharing arrang ement , show in column (d) the value of the goods , other assets , or services received: (a) (b) (c) (d) Line no. Amount involved Name of nonchantable exempt organization Description of transfers, transactions, and sharing arrangements

52a Is the organization directly or indirectly affiliated with, or related to, one or more tax-exempt organizations described in section 501 (c) of the Code (other than section 501 (c)(3)) or in section 527? ...... Yes [] No IS If'Vnc ' rmmnlota ttw fnilnwinn crharl, da- (a) (b) (c) Name of organization Type of organization Description of relationship Texas Association of 501(c) ( 4 ) The fund is administered by a School Boards - Le g al board of trustees made up of Assistance Fund officers of the Texas Assn. of School Boards , Texas Assn. of School Administrators and the TASB Council of School Attorne ys

BAA Schedule A (Form 990 or 990-EZ) 2004

TEEAD406 11129104 Form 990 Schedule of Gains and Losses from 2004 Line 8(A) and 8(B) Sale of Assets Other than Inventory Statement Attach to return

Name Employer Identification Number Texas Association of School Boards, Inc . 74-2275519

Part I, Line 8, Column (A) Securities

Public Securities

Gross Description Sales Price Basis

Publicly Traded Securities 1,092,683 . Cost 1 , 077,369. Selling Expenses 0. Basis 1,077 , 369.

Nonpublic Securities

Cost, other basis or Date Acquired Date Sold Gross FMV when donated Description and Method and to Whom Sales Price (State which on top)

------

Total Securities ...... 1,092,683 .1 1 1, 077, 369.

Gain or (Loss) from Sale of Securities ...... 15,314.

Part I, Line 8, Column (B) Other Assets 5 e e S e\ea a Date Acquired Date Sold Gross Cost, other basis or Description and Method and to Whom Sales Price FMV when donated

Cost ------______Depreciation - - Basis ------Donation FMV Cost ______Depreciation - Basis ------Donation FMV Cost Depreciation ------Basis ------Donation FMV Cost ______Depreciation - Basis Donation FMV

Total Other Assets .

Gain or (Loss) from Sale of Other Assets ......

TEEwoza1.scR o1,oi/0, Texas Association of School Boards , Inc. 74-2275519 1

Form 990, Page 1 , Part I, Line 10 Gross Sales of Inventory Statement

Gross Sales Less: Less : Returns Cost of Gross Description and Allowances Goods Sold Profit (Loss)

Plaques 2 1 410. 1 1,626. E 584.

Total 2,410. 1,826. 584.

Form 990, Page 3, Part IV, Line 54 Investments - Securities Statement

Beginning I End of Line 54 - Investments - Securities: of Year Year

Various Prudential Mutual Funds 112,321. 248,851. Vanguard Explorer Fund 0. 1, 602, 209. Nicolas Applegate 1,048,976. 0. Dodge & Cox 1,248,947. 1, 521,946. Ariel/SWB Mutual Funds 1,368,353. 1, 592, 288. Fidelity Diversified International 1,296,989. 1, 649,108. Pimco Total Return Fund 3,380,188. 3, 775, 321. Vanguard Total Bond Fund 3,357,764. 3, 739, 534. Jensen/SWB Mutual Funds 1,170,224. 1, 309, 174.

Total 12,983,762. 15,438,431.

Form 990, Page 4, Part V List of Officers, Etc. Statement

(A) (B) (C) (D) (E) Name and address Title and Compensation Contributions Expense average hours per (if not paid, to employee account week devoted enter -0-) benefit plans and other to position and deferred allowances compensation

Bonnie Longnion

P.O. Box 400, Austin TX 78767 Immediate Past-Pre-s .5 0. 0_1 0. S. Jimmie Adame P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Eddie Albin P.O. Box 400, Austin TX 78767 Director 5 0. 0. 0. Bret Begert P.O. Box 400 , Austin TX 78767 Director .5 0. Ord 0. Gloria Casas P.O. Box 400 , Austin TX 78767 Director .5 0. 1 0 0. Roberto Garcia P.O. Box 400 , Austin TX 78767 Director .5 0. 0_1 0. Texas Association of School Boards , Inc. 74-2275519 2

Form 990, Page 4, Part V Continued List of Officers , Etc. Statement

(A) (B) (C) (D) (E) Name and address Title and Compensation Contributions Expense average hours per (if not paid , to employee account week devoted enter -0-) benefit plans and other to position and deferred allowances compensation

Viola Garcia P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Linda Griffin P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Manuel Guajardo, Jr. P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Sue Hauenstein P.O. Box 400 , Austin TX 78767 Director . 5 0 . 0. 0.- Kevin Hoffman P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Trudy Holder P.O. Box 400 , Austin TX 78767 Director . 5 0 . 0. 0. James Howard, Sr. P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Gary Inmon P.O. Box 400 , Austin TX 78767 Director . 5 0 . 0. 0. Jerry Johnson P.O. Box 400, Austin TX 78767 Director . 5 0 . 0. 0. Mary Beth King P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Maria Leal P.O. Box 400 , Austin TX 78767 Director . 5 0 . 0. 0. Jean McClung P.O. Box 400, Austin TX 78767 Director . 5 0. 0. 0. Rudy Montoya, Jr. P.O. Box 400, Austin TX 78767 Director .5 0. 0. 0. Lorraine O'Donnell P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Ray Player P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Ron Price P.O. Box 400 , Austin TX 78767 Director . 5 0. 0 0. Texas Association of School Boards, Inc. 74-2275519 3

Form 990, Page 4, Part V Continued List of Officers, Etc. Statement

Cindy Purdy P.O. Box 400, Austin TX 78767 Director .5 0. 0. 0. Don Ryan P.O. Box 400 , Austin TX 78767 Director 5 0. 0. 0. Lynn Sperry P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Pamela Stehle P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Sylvester Vasquez, Jr. P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Tamra Walthall P.O. Box 400, Austin TX 78767 Director .5 0. 0. 0. Michael Watkins P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Danny Wheat P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Edd White P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Sarah Winkler P.O. Box 400, Austin TX 78767 Director .5 0. 0. D. Rick Woolfolk P.O. Box 400 , Austin TX 78767 Director .5 0. 0. 0. Billie Harrison P.O. Box 400, Austin TX 78767 Voting Ex-Officio .5 0. 0. 0. *James B . Crow-Secretary P.O. Box 400 , Austin TX 78767 TASB Exec Director 40 251,890. 60,022. 8,609. *Full-time employee serving as Executive Director for TASB. All payments are for services as an employee and not for services as an officer of the organization.

Total 251,890. 60,022. 8,609. Texas Association of School Boards, Inc. 74-2275519 4

Form 990, Page 6, Part VII, Line 103 Other Revenue Stmt

Unrelated Excluded by business income section 512, 513, or 514 (E) (A) (B) (C) (D) Related or Other revenue: Business Amount Exclusn Amount exempt function code code income Royalties 0. 15 549,262. 0. Child care Services 624410 85,491. 03 352, 765. 0. Appraisal Services 0. 0. 84,282* Audio Visual Prod 0. 0. 4,705a Policy On-Line 0. 0. 723,359. Publication Revenue 0 . 0. 254, 411. Convention Website Hove 0. 0. 3, 662. Advertising 541800 60,729. 0. 0. BoardBook 0. 0. 158,275. Miscellaneous Revenue 323100 43,482. 0. 53,243.

Total 189, 702. 902, 047. 1, 281, 937.

Schedule A, Part IV-A, Line 22 Other Income

(a) (b) (c) (d) (e) Description 2003 2002 2001 2000 Total asinbureesent as penes 752, 522. 945, 820. 1, 066, 338. 847, 250. 3, 611, 930. Child Care Services 419, 917. 410, 261. 361, 82B . 329, 505. 1, 521, 511. Miscellaneous 80,108. 68,716. 206,942. 226,324. 582,090.

Total 1,_252,547. 1, 424, 797. 1,635,108. 1, 403, 079. 5,"715, 531. Texas Association of School Boards, Inc. 74-2275519

Supporting Statement of:

Form 990 p 2/Line 43 Column (A)-4

Description I Amount

Professional Development 241,797. Royalties 320,410. Security Expense 31,037. Offsite Storage 22,608. Accounts Receivable Write-Off 100,646. Other Employee Costs 42, 538. Organizational Dues 82, 717. Shuttle, Decor, Entertainment Exp for Convention 160, 894. Advertising/Marketing 208, 007. Other Purchased/Contract Services 251, 008. Bank Fees 11, 729. Credit Card Service Fees 36, 630. Contribution Expense 50, 000. Penalties and Settlements 104, 813. Miscellaneous Expense 94, 360.

Total 1,759,194. Texas Association of School Boards, Inc. 74-2275519 4

Supporting Statement of:

Form 990 p 4/Part IV-A, Line b(4)

Description Amount

Building Sub-Lease 448,374. Gain on Assets Sold -16,667. Cost of Good Sold 1,827.

Total 433, 534.

Supporting Statement of:

Form 990 p 4/Part IV-B, Line b(4)

Description Amount

Building Sub-Lease 448,374. Gain on Assets Sold -16,667. Cost of Goods Sold 1,827.

Total 433, 534 . 74-2275519 Schedule1

Texas Association of School Boards, Inc. August 31, 2005

Form 990, Part I, Line 2

Program service revenue includes income derived from Texas Interlocal Cooperation Act administrative agencies created to perform administrative services and provide essential governmental functions. This revenue constitutes income which is related to the exempt purpose of TASB, Inc. and is exempt under 501(c)(3) of the Internal Revenue Code. The Internal Revenue Service has confirmed that the administrative services rendered by TASB, Inc. to the various cash/risk management programs is related to its exempt function of lessening the burdens of government and, therefore, is a related trade or business within the meaning of Section 1.513-1(d) (2) of the regulations. Additionally, the risk management program revenue is derived from an activity that provides governmental services and is exempt under Section 115 ofthe Internal Revenue Code. The Section 115 status of such activity has also been confirmed. The remaining elements ofprogram service revenue are related to its exempt function as educational, and therefore such revenue also constitutes income from a related trade or business under Section 1.513-1(d) (2) ofthe regulations. Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1 , 2004 - August 31, 2005

Co Asset Acquisition Disposal Acquired Accumulated Realized Sys No Description Net Value Proceeds No Date Date Value Depreciation Gain (Loss)

100161 2855 Kimball Exec Table 06/30183 08/30/05 589 589 0 0 0 103879 3192 APC Smart2000 UPS 05/01/95 09/30/04 1,058 1,058 0 0 0 104171 3427 APC Smart 900 UPS 08/31/95 09/30/04 520 520 0 0 0 104535 3790 APC Smart 1000VA UPS 05101/96 09/30/04 525 525 0 0 0 104536 3791 APC Smart 1000VA UPS 05/01/96 09/30/04 525 525 0 0 0 105619 5622 Q-TRAK IAQ ANALYZER 02/08/00 10/31/04 3,516 2,386 1,130 0 (1,130) 100762 0428 Toshiba P351 Printer 07/22/88 11/30/04 6,160 6,160 0 0 0 104653 3493 NEC Multisync XV1 7+ Monitor 08/28/96 11/30/04 790 790 0 10 10 104925 4658 Hitachi Rasterops 17" Monitor 08/11/97 11/30/04 695 695 0 10 10 104946 5232 Dell 1000LS Color Monitor 10/01/97 11/30/04 554 554 0 10 10 105141 4536 DELL 17" MONITOR 06/17/98 11/30/04 610 610 0 10 10 105063 Dell P6233 Computer 04/01/98 12/14/04 1,265 1,265 0 9 9 105297 5165 DELL OPTIPLEX P6350GX1 MT MINI TOWER COMPUI 01108/99 12/15/04 1,879 1,879 0 46 46 105329 5170 DELL P6350 COMPUTER 01/22/99 12/15/04 1,787 1,787 0 48 48 105375 5233 DELL P6450 GX1/M+ DESKTOP COMPUTER 04/01/99 12/15104 1,879 1,879 0 57 57 105382 5246 DELL P6450 GX1/M+ COMPUTER 04/14/99 12/15/04 1,888 1,888 0 55 55 105428 5264 DELL P6450 GXI/M+ COMPUTER 05/21/99 12/15/04 1,874 1,874 0 -61 61 105451 5276 DELL P6450 GX1/M DESKTOP COMPUTER 07/13/99 12115/04 1,842 1,842 0 57 57 105472 5291 DELL P6450 GX1/M DESKTOP COMPUTER 08/05/99 12/15/04 2,742 2,742 0 73 73 105513 5297 DELL PIII 450K GX1/T+ DESKTOP COMPUTER 08/23/99 12/15/04 1,443 1,443 0 57 57 105538 5308 DELL OPTIPLEX P6450 GXM+ DESKTOP COMPUTER 09/03/99 12115/04 1,495 1,495 0 60 60 105561 5417 DELL OPTIPLEX Pill 40k GX1 MT+ COMPUTER 10/21/99 12/15/04 1,472 1,472 0 67 67 102083 1618 Monitor - 8" color 01/01/91 12/17/04 489 489 0 9 9 102084 1617 Monitor - 8" color 01/01/91 12/17/04 489 489 0 10 10 102403 1757 Dell NX20 Computer 01/17/92 12/17/04 2,627 2,627 0 9 9 103106 2404 Dell 450L Desktop Computer 05/11/93 12117104 2,196 2,196 0 9 9 103265 2452 Dell 450L Desktop Computer 07/22/93 12/17/04 2,567 2,567 0 9 9 103645 2992 Dell Dimension 9 Desktop Computer 06/24/94 12117/04 3,248 3,248 0 9 9 103683 3017 Dell Dimension 6 Desktop Computer 07/27/94 12/17/04 2,172 2,172 0 9 9 104051 4553 HP Lasei et 4M+ Printer 10/23/95 12/20/04 1,982 1,982 0 0 0 104183 3449 HP Laserjet 4M+ Printer 08/31/95 01/10/05 2,374 2,374 0 0 0 104950 4690 Dell Optiplex P6233/GXaM Computer 10/14/97 01/10/05 2,354 2,354 0 0 0 104951 4691 Dell Optiplex P6233/GXaM Computer 10/14/97 01/10/05 2,354 2,354 0 0 0 104990 4711 Dell Optiplex P6233/GXa/M Desktop Computer 12/01/97 01/10/05 2,553 2,553 0 0 0 105018 4769 Dell Optiplex P63001GXa/M Desktop Computer 01/05/98 01/10105 2,308 2,308 0 0 0 105002 4773 Dell Optiplex P6233/GXa/M Desktop Computer 01/16/98 01110/05 2,169 2,169 0 0 0 105005 4776 Dell Optiplex P6233/GXa/M Desktop Computer 01116/98 01/10/05 2,169 2,169 0 0 0 105009 4780 Dell Optiplex P8233/GXa/M Desktop Computer 01/16/98 01/10/05 2,169 2,169 0 0 0 105264 5135 DELL P6350 GX11M DESKTOP COMPUTER 12/04/98 01/10/05 1,485 1,485 0 0 0 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1 , 2004 - August 31, 2005

Accumulated Realized Co Asset Acquisition Disposal Acquired Sys No Description Net Value Proceeds No Date Date Value Depreciation G ain (Loss) 0 105271 5141 DELL P6350 GX1/M DESKTOP COMPUTER 12/04/98 01/10/05 1,485 1,485 0 0 105276 5146 DELL P6350 GXI/M DESKTOP COMPUTER 12/04/98 01/10/05 1,485 1,485 0 0 0 105365 5220 DELL P6450 COMPUTER 03/10/99 01/10/05 2,029 2.029 0 43 43 104489 4331 Sharp Copier 09/01/95 01/15/05 1,645 1,645 0 0 0 104159 3404 Cisco 2502 Token Ring Router 08/31/95 04/02/05 2.944 2,944 0 0 0 0 104549 3793 Compaq Proliant 1500 Computer 05/06/96 04/02/05 13,741 13,741 0 0 0 105215 4984 COMPAQ PROLIANT 3000R SERVER 09/18/98 04/02/05 41,083 41,083 0 0 0 105214 4984 COMPAQ PROLIANT 42U RACK 09/24/98 04/02/05 1,678 1,678 0 0 0 105479 4984 COMPAQ SYSTEM BOARD UPGRADE PROLIANT 300 06/01/99 04/02/05 818 818 0 0 105484 4984 COMPAQ PROLIANT 3000 6/450 512 PROCESSOR KI' 06/01/99 04/02/05 1,285 1,285 0 0 0 0 105492 4984 COMPAQ 256MB SDRAM BUFFERED MEMORY KIT 06/01/99 04/02/05 1,026 1,026 0 0 0 105493 4984 COMPAQ 256MB SDRAM BUFFERED MEMORY KIT 06101/99 04/02/05 1,026 1,026 0 0 0 105607 4984 COMPAQ 9.1GB PLUGGABLE UW SCSI3 HARD DRI\i 01/01/00 04/02/05 591 591 0 0 0 105608 4984 COMPAQ 9.1GB PLUGGABLE UW SCS13 HARD DRI' 01/01/00 04/02/05 591 591 0 0 0 0 105609 4984 COMPAQ 9.1GB PLUGGABLE UW SCSI3 HARD DRIb 01/01/00 04/02/05 591 591 0 0 0 105610 4984 COMPAQ 9.1GB PLUGGABLE UW SCS13 HARD DRIN) 01/01/00 04/02/05 591 591 0 0 105704 4984 COMPAQ PROLIANT 600MHZ PROCESSOR 04/01/00 04/02/05 978 978 0 0 105735 4984 COMPAQ 18G PLUG ULTA WIDE HARD DRIVE 05/02/00 04/02/05 923 907 15 0 (15) (15) 105736 4984 COMPAQ 18G PLUG ULTA WIDE HARD DRIVE 05/02/00 04/02/05 923 907 15 0 (15) 105737 4984 COMPAQ 18G PLUG ULTA WIDE HARD DRIVE 05/02/00 04/02/05 923 907 15 0 0 102943 2277 HP Laserjet III Printer 10/06/92 04108/05 1,635 1,635 0 0 0 103532 2719 HP Laserjet 4L Printer 02111/94 04/08/05 650 650 0 0 0 103853 3187 HP Laserjet 4MV Printer 03/23/95 04/08/05 2,730 2,730 0 0 104005 4525 HP Laserjet 4MV Printer 09/20/95 04/08/05 2,893 2,893 0 0 0 104872 4638 Dell Optiplex 5166 GXiM Desktop Computer 06109/97 04/08/05 2,310 2,310 0 0 0 0 105012 4783 Deli Optiplex P6233/GXa/M Desktop Computer 01/16/98 04/08/05 2,169 2,169 0 0 0 105070 4795 Dell P6300 Computer 04/01/98 04/08/05 2,824 2,824 0 0 0 105164 4963 QUANTUM DLT 7000 BACKUP 08/12198 04/08/05 7,838 7,838 0 0 105593 5449 QUANTUM DLT7000 TAPE DRIVE 12/10/99 04/08/05 4,088 4,088 0 0 0 100888 0970 HP Laserjet II Printer 03/17/89 04/13/05 1,916 1,916 0 0 0 103135 2439 HP Laserjet 4 Printer 06/10/93 04/13/05 1,741 1,741 0 0 0 104168 3428 APC Smart SU700 RM UPS 08/31/95 04/13/05 439 439 0 0 0 104175 3441 HP Laserjet 4si Printer 08131/95 04/13105 3,063 3,063 0 0 0 104181 3446 HP Laserjet 4M+ Printer 08/31/95 04/13/05 2,526 2,526 0 0 0 104184 3448 HP Laserjet 4M+ Printer 08/31/95 04/13/05 2,374 2,374 0 0 0 104186 3452 HP Laserjet 5P Printer 08/31/95 04/13/05 1,015 1,015 0 0 0 104672 3949 HP Laserjet 5M Printer 09/13/96 04/13/05 1,696 1,696 0 0 0 104688 4110 HP Laserjet 5M Printer 10/09/96 04113/05 2,198 2,198 0 0 0 104748 4139 HP Laserjet 5simx Printer 01/02/97 04/13/05 4,120 4,120 0 0 0 104870 4632 HP Laserjet 5M Printer 06/01/97 04/13/05 1,588 1,588 0 0 0 Form 990, Part 1, Line Be Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1 , 2004 - August 31, 2005 Realized Co Asset Acquisition Disposal Acquired Accumulated Sys No Description Net Value Proceeds No Date Date Value Depreciation Gain (Loss) 104882 4645 APC SU1000XLNET UPS 07/01/97 04/13105 813 813 0 0 0 104909 4662 HP Laserjet 5si MX Printer 08/06/97 04/13/05 3,372 3,372 0 0 0 104913 4622 Accel-A-Writer Xante Printer 08/28/97 04/13/05 3,465 3,465 0 0 0 0 105056 4794 Epson LQ2170 Dot Matrix Printer 03/20/98 04/13/05 568 568 0 0 0 100169 0022 Canon CP1216D Calculator 07/06/83 04114/05 248 248 0 0 0 100194 0026 Canon CP1204D Calculator 07/13/83 04/14/05 215 215 0 0 0 100196 0025 Canon CP1204D Calculator 07/13/83 04/14/05 215 215 0 0 0 100197 1960 Canon CP1204D Calculator 07/13/83 04/14/05 215 215 0 0 100243 0055 Canon CP1204D Calculator 08/02/83 04/14/05 215 215 0 0 0 0 100245 0053 Canon CP1204D Calculator 08/02/83 04/14/05 215 215 0 0 100250 0054 Canon CP1204D Calculator 08/02/83 04/14/05 215 215 0 0 0 0 100043 0214 Canon CP1208D Calculator 02/26/85 04/14/05 208 208 0 0 0 0 100141 0377 Canon CPI208D Calculator 06/18186 04114/05 239 239 0 0 0 100229 0406 Canon CP1208D Calculator 07/29/86 04/14/05 239 239 0 100042 0375 CANON CP1202D CALCULATOR 02/25/87 04/14/05 249 249 0 0 0 100065 T2067 Canon CP10080 Calculator 04/01/87 04/14/05 159 159 0 0 0 100066 0403 Canon CP1008D Calculator 04/01/87 04/14/05 159 159 0 0 0 0 100074 0317 Canon CP100BD Calculator 04/07/87 04/14/05 159 159 0 0 100103 1891 CANON CP1202D CALCULATOR 05/29187 04/14/05 249 249 0 0 0 100104 0668 Canon CP1001D calculator 05/29/87 04/14/05 189 189 0 0 0 0 101695 Canon CP1018D Calculator 09/01/90 04/14/05 20 20 0 0 105208 4985 DELL P6333 GX1/MT COMPUTER 09/15/98 04/17/05 2,225 2,225 0 0 0 105272 5142 DELL P6350 GX11M DESKTOP COMPUTER 12/04/98 04/17/05 1,485 1,485 0 0 0 105274 5144 DELL P5350 GXI/M DESKTOP COMPUTER 12/04/98 04/17/05 1,485 1,485 0 0 0 0 105275 5145 DELL P6350 GX11M DESKTOP COMPUTER 12/04/98 04/17/05 1,485 1,485 0 0 43 105376 5234 DELL P6450 GX1/M+ DESKTOP COMPUTER 04/01/99 04/17/05 1,879 1,879 0 43 105397 5223 DELL P6450 GX11M+ COMPUTER 04/01/99 04/17/05 1,925 1,925 0 0 0 0 105398 5224 DELL P6450 GX1/M+ COMPUTER 04/01/99 04/17/05 1,925 1,925 0 0 43 43 105418 5258 DELL P6450 GX1/M+ DESKTOP COMPUTER 05/01/99 04/17/05 1,660 1,660 0 47 47 105459 5269 DELL P6450 GX1/M DESKTOP COMPUTER 06/01/99 04/17/05 1,803 1,803 0 42 42 105460 5268 DELL P6450 GX1/M DESKTOP COMPUTER 06/01/99 04/17/05 1,803 1,803 0 0 0 105450 5275 DELL P6450 GX1/M DESKTOP COMPUTER 07/13/99 04/17/05 1,660 1,660 0 46 105466 5278 DELL P6450 GX1/M DESKTOP COMPUTER 07/14/99 04/17/05 1,909 1,909 0 46 105511 5305 DELL P6450 GX1/M+ DESKTOP COMPUTER 09/02/99 04/17/05 1,481 1,481 0 44 44 105512 5306 DELL P6450 GX1/M+ DESKTOP COMPUTER 09/02/99 04/17/05 1,481 1,481 0 43 43 105544 5307 DELL OPTIPLEX P6450 GXMI+ DESKTOP COMPUTEI 09/03/99 04/17/05 1,546 1,546 0 46 46 105586 5440 DELL OPTIPLEX Pill 550K GX1MT+ COMPUTER 12/01/99 04/17/05 1,666 1,666 0 55 55 105588 5442 DELL OPTIPLEX Pill 550K GX1MT+ COMPUTER 12/01/99 04/17/05 1,686 1,666 0 55 55 105589 5443 DELL OPTIPLEX Pill 550K GX1MT+ COMPUTER 12/01/99 04/17/05 1,686 1,666 0 0 0 105591 5437 DELL OPITPLEX Pill 500K GXIMT+ COMPUTER 12/01/99 04/17/05 1,637 1,637 0 55 55 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1 , 2004 - August 31, 2005

Accumulated Realized Co Asset Acquisition Disposal Acquired Sys No Description Net Value Proceeds No Date Date Value Depreciation Gai n (Loss) 103526 2713 HP Laserjet4L Printer 02/11/94 04/21/05 650 650 0 0 0 0 103527 2714 HP Laserjet 4L Printer 02/11/94 04/21/05 650 650 0 0 0 103529 2716 HP Laserjet4L Printer 02/11/94 04/21/05 650 650 0 0 103759 3100 HP Laseriet 4P Printer 09/30/94 04/21/05 934 934 0 0 0 104729 4135 HP Laserjet 6MP Printer 12109/96 04/21/05 934 934 0 0 0 104838 4422 US Robotics Sportstr External Fax/Modem 03/01/97 04/21/05 181 181 0 0 0 104910 4650 HP Deskjet Printer 08/06/97 04/21/05 1,866 1,866 0 0 0 101068 1413 Buffalo SL1000 Printer Sharing Box 01/04/90 05/11/05 808 808 0 0 0 102209 1559 TelebitT2500 Modem 09/06/90 05/11/05 1,179 1,179 0 0 0 0 0 103606 2741 Perfectfax External Fax Modem 04/20/94 05/11/05 2,005 2,005 0 0 0 103995 3424 Cd Rom Kit w/sound card and speakers 08/31/95 05/11/05 335 335 0 0 0 104147 3244 APC Smart 2000 UPS 08/31/95 05/11/05 985 985 0 0 104169 3429 APC Smart 400 UPS 08/31/95 05/11/05 275 275 0 0 0 104173 3431 Motorola DDS/MR56 DSU/CSU 08/31/95 05/11/05 489 489 0 0 0 104266 3333 Compaq Contura 410CX Notebook Computer 08/31/95 05/11/05 4,444 4,444 0 0 104274 3462 (DATA Printserver 13 Token Ring 08/31/95 05/11105 1,901 1,901 0 0 0 103429 2505 HP Deskjet 550C Inkjet Printer 09/29193 06/30/05 535 535 0 0 0 104361 3471 Motorola DDSIMR56 DSU/CSU 08/25195 06/30/05 497 497 0 0 0 0 0 104089 4577 Powerwave 604/120 Desktop Computer 01/02/96 08/30/05 3,671 3,671 0 0 0 104567 3824 Dell Optiplex 6200/OP GXPRO Desktop Computer 07/17/96 06/30/05 3,086 3,086 0 0 0 104865 4640 Praim Pro" Printer Interface 06/12/97 06/30/05 1,100 1,100 0 0 104867 4642 Pralm Pro'"' Printer Interface 06/12/97 06/30/05 1,100 1,100 0 0 105305 5253 DELL OPTIPLEX GX-400 COMPUTER 01/01/99 06/30/05 1,200 1,200 0 0 0 105399 5225 DELL P6450 GX11M+ COMPUTER 04/01/99 06/30/05 2,199 2,199 0 0 0 0 0 105393 5243 DELL P6450 GX1/M+ COMPUTER 04/12/99 06/30/05 2,224 2,224 0 0 0 105423 5265 DELL P6450 GX1/M+ COMPUTER 05/21/99 06/30/05 1.678 1,678 0 0 105539 5309 DELL OPTIPLEX P6450 GXM+ DESKTOP COMPUTER 09/03/99 06/30/05 1,495 1,495 0 0 105560 5416 DELL OPTIPLEX Pill 40k GX1 MT+ COMPUTER 10/21/99 06/30/05 1,472 1,472 0 0 0 105563 5426 DELL OPTIPLEX Pill 600K GX1 MT+ COMPUTER 11/01/99 06/30/05 2,161 2,161 0 0 0 105564 5427 DELL OPTIPLEX Pill 600K GX1 MT+ COMPUTER 11/01/99 06/30/05 2,161 2,161 0 0 0 0 105595 5456 DELL OPTIPLEX Pill 600KGX1T+ COMPUTER 12/07/99 06/30/05 1,609 1,609 0 0 0 105596 5457 DELL OPTIPLEX Pill 600KGXIT+ COMPUTER 12/07/99 06/30/05 1,609 1,609 0 0 105598 5459 DELL OPTIPLEX Pill 500K GXIT+ COMPUTER 12/07/99 06/30/05 1,285 1,285 0 51 51 105628 5473 DELL OPTIPLEX Pill 550K GX1 MT+ COMPUTER 01/24/00 06/30/05 1,754 1,754 0 0 0 105624 5483 DELL OPTIPLEX Pill 600K GX1 MT+ COMPUTER 02/01/00 06/30/05 1,932 1,932 0 0 0 105678 5536 DELL OPTIPLEX Pill 600K GX1 MT+ COMPUTER 04/01/00 06/30/05 1,556 1,556 0 0 0 105682 5530 DELL OPTIPLEX Pill 600K GX1 MT+ COMPUTER 04/01/00 06/30/05 1,179 1,179 0 0 0 105710 5542 DELL OPTIPLEX PIII 600K GX1 MT+ COMPUTER 04/01/00 06/30/05 1,148 1,148 0 52 52 105713 5538 DELL OPTIPLEX Pill 600K GX1 MT+ COMPUTER 04/01/00 06130/05 1,224 1,224 0 0 0 105717 5547 DELL OPTIPLEX Pill 600K GX1 MT+ COMPUTER 04/03/00 06/30/05 1,217 1,217 0 0 0 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1, 2004 - August 31, 2005

Co Asset Acquisition Disposal Acquired Accumulated Realized Sys No Description Net Value Proceeds No Date Date Value Depreciation Gain (Loss) 105696 5572 DELL OPTIPLEX Pill 600K GX1 MT+ COMPUTER 04/14100 06/30/05 1 , 123 1,123 0 0 0 103534 1968 16M SMCC MEMORY MODULE 02/01 /94 07/30/05 1 , 198 1 , 198 0 0 0 105106 4820 DELL LATITUTE LAPTOP COMPUTER 05/05/98 07/30/05 4,000 4,000 0 0 0 105107 4821 DELL LATITUDE LAPTOP COMPUTER 05/05/98 07/30/05 3,631 3,631 0 0 0 105162 5769 DELL LATITUDE COMPUTER 08/01/98 07/30/05 3,915 3 ,915 0 0 0 105163 5767 DELL LATITUDE COMPUTER 08/11 /98 07/30/05 3,867 3 , 867 0 0 0 105220 5776 DELL LATITUDE COMPUTER 10/02/98 07/30/05 3,342 3 ,342 0 0 0 105249 5771 DELL LATITUDE LAPTOP COMPUTER 11/18/98 07/30/05 3 , 128 3,128 0 0 0 105295 5783 DELL LATITUDE LAPTOP COMPUTER 01/01199 07/30/05 3 , 286 3 ,286 0 0 0 105357 5795 DELL LATITUDE LAPTOP COMPUTER 02/01/99 07/30/05 3,326 3 ,326 0 0 0 105360 5780 DELL LATITUDE LAPTOP COMPUTER 02101/99 07/30/05 3 ,326 3,326 0 0 0 105363 5773 DELL LATITUDE LAPTOP COMPUTER 02/01/99 07/30/05 3,326 3,326 0 0 0 105374 5785 DELL LATITUDE LAPTOP COMPUTER 04/01/99 07/30/05 3 ,287 3, 287 0 0 0 105404 5240 ACOM LINK PLUS CONTROLLER 04/12199 07/30/05 1,014 1,014 0 0 0 105391 5255 DELL LATITUDE CPiA366XT LAPTOP COMPUTER 04/19/99 07/30/05 3 , 888 3 ,888 0 0 0 105429 5267 DELL LATITUDE CPIA 366XT LAPTOP COMPUTER 05/28199 07/30/05 3,254 3 ,254 0 0 0 105559 5411 DELL LATITUDE CPiA 366 LAPTOP COMPUTER 10122199 07/30/05 2 ,664 2 ,664 0 0 0 105565 5428 DELL LATITUDE CPiR400 GT LAPTOP COMPUTER 11/01/99 07/30/05 3 . 966 3 , 966 0 0 0 105583 5447 DELL LATITUDE CPiR400GT LAPTOP COMPUTER 12/01/99 07/30/05 3,565 3 ,565 0 0 0 105584 5448 DELL LATITUDE CPiR400GT LAPTOP COMPUTER 12/01/99 07/30/05 3,565 3,565 0 0 0 105592 5429 DELL LATITUDE CPtC400GT LAPTOP COMPUTER 12/01/99 07130/05 2,819 2 , 619 0 0 0 105655 5490 DELL LATITUDE CPi4400GT LAPTOP COMPUTER 02/24/00 07/30/05 3 ,516 3,516 0 0 0 105685 5584 DELL LATITUDE CPxH 500GT LAPTOP COMPUTER 04/24/00 07/30/05 2,971 2,971 0 0 0 100824 0952 Compaq DP286 Computer 10/17/88 07/31/05 3,600 3 ,600 0 0 0 100876 0966 Compaq DP286 M20 Computer 02/16/89 07/31/05 2,849 2,849 0 0 0 101053 INVENTORY Network Hardware/Wall Kit 01/02/90 07/31/05 60 60 0 0 0 101125 D1350 IBM 3477 Infowindow Terminal 03/07/90 07/31/05 1 , 190 1,190 0 0 0 101126 D1351 IBM 3477 Infowindow Terminal 03/07/90 07/31/05 1 , 190 1,190 0 0 0 101129 D1354 IBM 3477 InfowindowTerminal 03/07/90 07/31/05 1,190 1,190 0 0 0 101130 D1355 IBM 3477 Infowindow Terminal 03/07/90 07/31/05 1,190 1,190 0 0 0 101131 D1356 IBM 3477 Infowindow Terminal 03/07/90 07131/05 1,190 1 , 190 0 0 0 101142 1436 Digiboard PC/81 04/10/90 07/31/05 1 , 244 1,244 0 0 0 102186 D3210 Com/Decom Att-2608 03/31/91 07/31/05 3,365 3,365 0 0 0 102213 D1817 Multiplexor-Fibronics FM1538 8 port fiber 08/20/91 07/31/05 1 ,819 1 , 819 0 0 0 102245 D1818 Multiplexor-8 port fiber 08/20/91 07/31/05 1,819 1,819 0 0 0 102177 D1817 Cables for Multiplexor 08/31/91 07/31/05 223 223 0 0 0 102371 D1952 Intel 9600 External Modem 11/26/91 07/31/05 511 511 0 0 0 102398 AS400 Ethernet Transceiver 01/01/92 07/31/05 175 175 0 0 0 102429 2115 HP Ethertwist Hub w/adapters 04/01 /92 07/31/05 3,352 3 , 352 0 0 0 102446 2134 HP Ethertwist Hub w/adapters 04/14/92 07/31/05 3, 318 3,318 0 0 0 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions 2005 Schedule 2 September 1 , 2004 - August 31, Realized Asset Acquisition Disposal Acquired Accumulated Co tion Net Value Proceeds Sys N o Descrip Date Date Value Depreciation Gain (Loss) 0 102554 2246 H-P Ethertwist Hub w/adapt 08/26/92 07/31/05 3,302 3,302 0 0 0 102568 D2274 Sensaphone System Installation 08/28192 07/31/05 136 136 0 0 0 102938 2278 HP Ethertwist Hub 09128/92 07/31/05 2,850 2,850 0 0 0 0 102939 2279 HP Ethertwist Hub 09/28/92 07/31/05 2.850 2,850 0 0 0 103203 2325 Radio-Radius P110 Portable 01/19/93 07/31/05 485 485 0 0 0 103207 2324 Radio-Radius P110 Portable 01/19/93 07/31/05 485 485 0 0 0 103023 2343 HP Ethertwist Hub 02/26/93 07/31/05 2.634 2,634 0 0 0 103037 1436 DJ Digiboard Network 03/10/93 07/31/05 38 38 0 0 0 102803 D1065 IBM 3197 Terminal 04/01/93 07/31/05 155 155 0 0 0 102809 D1209 IBM 3197 Terminal 04/01/93 07/31/05 155 155 0 0 0 0 102815 D1073 IBM 3197 Terminal 04/01/93 07/31/05 155 155 0 0 102887 D1147 IBM 3192 Terminal 04/01/93 07/31105 78 78 0 0 0 102890 D1137 IBM 3192 Terminal 04/01/93 07/31/05 78 78 0 0 0 0 103220 2442 HP Ethertwist Network/48 Port 07/07/93 07/31/05 2,634 2,634 0 0 103291 2461 HP Ethertwist Network Hub 08/17/93 07/31/05 2,634 2,634 0 0 0 0 103450 D2496 Fibermux FM1540 Twinax 10/01/93 07/31/05 1,437 1,437 0 0 103479 2676 HP Ethertwist Hub w/adapters 11/12/93 07/31/05 2,622 2,622 0 0 103482 2508 HP Ethertwist Hub w/adapters 11/12/93 07/31/05 2,634 2,634 0 0 0 103480 3019 HP Ethertwist Hub w/adapters 11123/93 07131/05 2,622 2,622 0 0 0 103499 2689 HP Ethertwist Hub 12/17/93 07/31/05 782 782 0 0 0 103511 2689 HP Ethertwist Hub w/adapters 01/01/94 07/31/05 1,400 1,400 0 0 0 0 103518 D2685 Decision Data 726t1-1 Tape Drive 01/01/94 07/31/05 5,450 5,450 0 0 103559 2725 Motorola UDS 56K DSU/CSU 02/23/94 07/31/05 494 494 0 0 0 0 103560 2726 Motorola UDS 56K DSU/CSU 02/23/94 07/31/05 494 494 0 0 0 103557 2727 Intel PCFM7600 Fax/Modem 03/07/94 07/31/05 152 152 0 0 0 0 103619 2740 HP Advance Stack SNMP Card 06/25/94 07/31/05 450 450 0 103762 3343 Phone System Installation Charges 11/14/94 07/31/05 345 345 0 0 0 0 103846 3343 APC Backup 900 for phone system 03/27/95 07/31/05 398 398 0 0 103966 3459 Maxtec HX-8 Connection 08/23/95 07/31/05 456 456 0 0 0 103967 3460 Maxtec HX-8 Connection 08/23/95 07/31/05 456 456 0 0 0 103983 D3210 Disk Drive 4.19GB 08/31/95 07/31/05 4,148 4,148 0 0 0 104166 3438 US Robotics Courier External Fax Modem 08/31/95 07/31/05 415 415 0 0 0 104362 D3210 IBM 2 line EIA 2654 08/31/95 07/31/05 1,313 1,313 0 0 104365 SVC AS/400 Consulting WC Project 08/31195 07/31/05 1,615 1,615 0 0 0 104372 D3210 9406 F/C 2609 EIA two line 08/31/95 07/31/05 773 773 0 0 0 104457 Cables/patch panel for WC project 08/31/95 07/31/05 1,712 1,712 0 0 0 104039 2106 Lynx 4.2GB 7200rmp Subsys-SEA 10/17/95 07/31/05 1,563 1,563 0 0 0 104040 2106 Lynx 4.2GB 7200rmp Subsys-SEA 10/17/95 07/31/05 1,563 1,563 0 0 0 104041 2106 Lynx4.2GB 7200rmp Subsys-SEA 10/17/95 07/31105 1,563 1,563 0 0 0 104512 3785 SMCC OLT4000 Tape Backup Unit 04/15/96 07/31/05 5,228 5,228 0 0 0 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1, 2004 - August 31, 2005

Co Asset Acquisition Disposal Acquired Accumulated Realized Sys No Description Net Value Proceeds No Date Date Value Depreciation Gain (Loss) 104534 3787 Compaq Prosignia 300 Computer 05/01/96 07/31/05 9,204 9,204 0 0 0 104542 3784 APC Smart 2200 UPS 05/01/96 07/31/05 1,229 1,229 0 0 0 104551 4083 Kombo Binding system-electric 06/06/96 07/31/05 1,010 1,010 0 0 0 104644 3931 Compaq Prosignia 300 Computer- Server 08/09/96 07/31/05 7,688 7,688 0 0 0 103994 SW Group Wise Project Consulting 08/31/96 07/31/05 3,010 3,010 0 0 0 104696 D3210 IBM 6607 4.19GB Disk Unit/A 10/10/96 07/31/05 2,699 2,699 0 0 0 104697 D3210 IBM 6607 4.19GB Disk Unit/A 10/10/96 07/31/05 2,699 2,699 0 0 0 104844 4474 APC Smart 2200 UPS 03/01197 07/31/05 1,045 1,045 0 0 0 104792 4494 Compaq Proliant 5000 Computer Server 03/10/97 07/31/05 25,455 25,455 0 0 0 104791 4493 APC Smart 2200 UPS 03112/97 07/31/05 1,045 1,045 0 0 0 104813 4475 SMCC DLT 4000 External Dat Drive 04/01/97 07/31/05 4,757 4,757 0 0 0 104835 3343 T-1 Card LSIP/Edify Project 04/16/97 07/31/05 2,557 2,557 0 0 0 104836 3343 ACD Announcer (Interalia XMU) 04/16/97 07/31/05 6,280 6,280 0 0 0 104840 3343 ACD Status Message Board 04/16/97 07/31/05 3,885 3,885 0 0 0 104841 3343 ACD Message Board Software 04/16/97 07/31/05 1,329 1,329 0 0 0 104856 D3210 IBM 128M Storage Memory 05/01/97 07/31/05 25,000 25,000 0 0 0 104855 3202 Comstar 32M Memory Module 05/02/97 07/31/05 915 915 0 0 0 104869 4635 APC Smart 2200 UPS 06/01/97 07/31/05 1,045 1,045 0 0 0 104871 4494 Compaq Dual Pentium Processor 06101/97 07/31/05 869 869 0 0 0 104866 4641 Pralm Pro" Printer Interface 06/12/97 07/31/05 1,100 1,100 0 0 0 104877 SW LSIP IVR System - application development 06/16/97 07/31/05 57,000 57,000 0 0 0 104878 SW LSIP IVR SYSTEM -Travel Expenses 06/16/97 07/31/05 1,465 1,465 0 0 0 104897 4634 Ultra Enterprse 3000 Tower Workstation 07/01/97 07/31/05 38,215 38,215 0 0 0 104896 4651 Cisco 7200 UPS 07/22/97 07/31/05 2,108 2,108 0 0 0 104926 D3210 Equipment Modification on IBM 128M storage memory 08/01/97 07/31105 554 554 0 0 0 104900 SW LSIP IVR SYSTEM - Consulting and Travel Expenses 08/13/97 07/31/05 6,536 8,538 0 0 0 104957 AS/400 OLY 4.19GB Disk Drive 9404 10/01/97 07/31/05 1,721 1,721 0 0 0 104958 D3210 16 Disk Expansion Cabinet 10/01/97 07/31/05 4,250 4,250 0 0 0 104960 D3210 Bulk 400W Power Supply 10/01/97 07/31/05 1,658 1,858 0 0 0 104963 4683 QUANTUM DLT2000-XT EXTERNAL TAPE DRIVE 11/01/97 07/31/05 2,713 2,713 0 0 0 105027 SVC Installation Stacker (#4702) & Genie Lift (#4679) 02/01/98 07/31/05 378 378 0 0 0 105065 Compaq 4.3 GB Pluggable Hard Drive 04/01/98 07/31/05 1,106 1,106 0 0 0 105066 Compaq 4.3 GB Pluggable Hard Drive 04/01/98 07/31/05 1,108 1,106 0 0 0 105072 D3210 Disk Storage 6607 4.19GB 04/01/98 07/31/05 1,721 1,721 0 0 0 105073 D3210 Disk Storage 6607 4.19GB 04/01/98 07/31/05 1,721 1,721 0 0 0 105074 D3210 Disk Storage 6607 4.19GB 04/01/98 07/31/05 1,721 1,721 0 0 0 105115 QUANTUM VIKING 9.1GB HARD DRIVE 06/01/98 07/31/05 821 821 0 0 0 105124 4817 COMPAQ PROLIANT 3000 COMPUTER 06/01/98 07/31/05 22,406 22,406 0 0 0 105130 INV COMPAQ 9.1GB PLUGGABLE HARD DRIVE 06/01/98 07/31/05 1,368 1,388 0 0 0 105131 INV COMPAQ 9.1GB PLUGGABLE HARD DRIVE 06/01/98 07/31/05 1,368 1,368 0 0 0 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1, 2004 - August 31, 2005

Co Asset Acquisition Disposal Acquired Accumulated Realized Sys No No Description Net Value Proceeds Date Date Value Depreciation 'Gain (Loss) 105210 4131 COMPAQ 4.3GB PLUGGABLE WIDE ULTRA SCSI-3 H 09/18/98 07131/05 547 547 0 0 0 105229 SW BROADFAX V6. 10/13/98 07/31/05 714 714 0 0 0 105227 APC RACK MOUNT UPS 10/16/98 07/31/05 869 869 0 0 0 105228 APC RACK MOUNT UPS 10/16/98 07/31/05 869 869 0 0 0 105278 4494 COMPAQ PROLIANT SERVER RPS UPGRADE 12/16/98 07/31/05 2,422 2,422 0 '0 0 105430 D3210 INSTALLATION OF NEW AS/400 01/01/99 07/31/05 4,400 4,400 0 0 0 105325 CPU MODULE 250MHZ IMB/CACHE 02104/99 07/31/05 1,003 1,003 0 0 0 105326 CPU MODULE 250MHZ 1MB/CACHE 02/04/99 07/31/05 1,003 1,003 0 0 0 105342 SW NET SCANNER BUNDLE 30 DEVICE LICENSE 02/09/99 07/31/05 2,236 2,236 0 0 0 105343 SW SYSTEM SECURITY SCANNER 1 DEVICE LICENSE 02/09/99 07/31/05 556 556 0 0 0 105405 D3210 REBATE CPU CARDS 04/05/99 07/31/05 (1,000) (1,000) 0 0 0 105477 4788 COMPAQ SYSTEM BOARD UPGRADE PROLIANT 300 06/01199 07/31/05 818 818 0 0 0 105480 4817 COMPAQ SYSTEM BOARD UPGRADE PROLIANT 300 06101/99 07/31/05 810 810 0 0 0 105481 4788 COMPAQ PROLIANT 3000 61450 512 PROCESSOR 1(1 06101/99 07/31/05 1,285 1,285 0 0 0 105483 4817 COMPAQ PROLIANT 3000 6/450 512 PROCESSOR KI 06/01/99 07/31/05 1,285 1,285 0 0 0 105485 PARTSNTW COMPAQ 256MB SDRAM BUFFERED MEMORY KIT 06/01/99 07/31/05 1,026 1,026 0 0 0 105486 4788 COMPAQ 256MB SDRAM BUFFERED MEMORY KIT 06/01/99 07/31/05 1,026 1,026 0 0 0 105487 4788 COMPAQ 256MB SDRAM BUFFERED MEMORY KIT 06/01/99 07/31/05 1,026 1,026 0 0 0 105490 4817 COMPAQ 256MB SDRAM BUFFERED MEMORY KIT 06101/99 07/31105 1,026 1,026 0 0 0 105491 4817 COMPAQ 256MB SDRAM BUFFERED MEMORY KIT 06/01/99 07/31/05 1,026 1,026 0 0 0 105494 PARTSNTW COMPAQ 256MB SDRAM BUFFERED MEMORY KIT 06/01/99 07/31/05 1,026 1,026 0 0 0 105448 SW CWSI CAMPUS BUNDLE W/RESOURCE MANAGER S 06/23/99 07/31/05 7,992 7,992 0 0 0 105449 SW SAS SERVICE, CWSI CAMPUS BUNDLE W/ESSENTI/ 06/23/99 07131/05 1,605 1,605 0 0 0 105453 INV COMPAQ 9.1G PLUGGABLE U-W SCSI ULTR HARD C 07/01/99 07/31/05 790 790 0 0 0 105454 INV COMPAQ 9.1G PLUGGABLE U-W SCSI ULTR HARD C 07/01/99 07/31/05 790 790 0 0 0 105455 INV COMPAQ 9.1G PLUGGABLE U-W SCSI ULTR HARD C 07/01/99 07/31/05 790 790 0 0 0 105461 4788 COMPAQ PROLIANT 3000R 256MB MEMORY 07/01/99 07/31/05 1,873 1,873 0 0 0 105463 5277 DELL P6450 GX11M DESKTOP COMPUTER 07/13/99 07/31/05 1,912 1,912 0 0 0 105470 3343 TRAQNET 2002 SR-R W/INSTALLATION 08/01/99 07/31/05 1,500 1,500 0 0 0 105495 5299 COMPAQ PROLIANT 1600R COMPUTER 08/19/99 07/31/05 5,961 5,981 0 0 0 105517 4788 COMPAQ 9.1 GB WIDE UPLTRA SCSI 10K HARD DRI` 08/30/99 07/31/05 601 601 0 0 0 105518 4718 COMPAQ 9.1 GB WIDE UPLTRA SCSI 10K HARD DRI' 08/30/99 07/31/05 601 601 0 0 0 105519 4788 COMPAQ 9.1 GB PLUGGABLE WIDE ULTRA HARD DI 08/30/99 07/31/05 698 698 0 0 0 105520 4718 COMPAQ 9.1 GB PLUGGABLE WIDE ULTRA HARD DI 08/30/99 07/31/05 698 698 0 0 0 105551 5414 COMPAQ PROLIANT 1600R 7/600 SERVER 09/30/99 07/31105 10,298 10,298 0 0 0 105566 5435 SUN MICROSYSTEMS WORKSTATION 11/01/99 07/31/05 13,609 13,609 0 0 0 100207 0047 Chair guest blue 07/21/83 08/30/05 357 357 0 0 0 100211 4035 Chair guest blue 07/21/83 08130/05 357 357 0 0 0 100212 0046 Chair guest blue 07/21/83 08/30/05 357 357 0 0 0 100216 0042 Chair guest blue 07/21/83 08/30/05 357 357 0 0 0 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1 , 2004 - August 31, 2005

Co Asset Acquisition Disposal Acquired Accumulated Realized Description Net Value Proceeds Sys No No Date Date Value Depreciation Gain (Loss) 100248 0056 Chair board St_ Timothy 08/02/83 08/30/05 225 225 0 0 0 100432 1861 Friden Riser 11/30/83 08/30/05 20 20 0 0 0 100008 0228 Cabinet 2 door 5 shelf 01/11/84 08/30/05 97 97 0 0 0 100011 0147 File 2 drawer 6 x 6 tan 01/11/84 08/30/05 44 44 0 0 0 0 100468 TLTGL8 IBM PC Graphics Monitor 06/08/84 08/30/05 439 439 0 0 100258 1898 File 2 drawer 6 x 6 tan 08/08/84 08/30/05 42 42 0 0 0 100259 1895 File 2 drawer 6 x 6 tan 08/08/84 08/30/05 42 42 0 0 0 100261 1908 File 2 drawer 6 x 6 tan 08/06/84 08/30/05 41 41 0 0 0 0 100262 1907 File 2 drawer 6 x 6 tan 08/06/84 08/30/05 41 41 0 0 100263 1901 File 2 drawer 6 x 6 tan 08/06/84 08/30/05 42 42 0 0 0 0 0 100268 1902 File 2 drawer 6 x 6 tan 08/06/84 08/30/05 42 42 0 0 100272 1904 File 2 drawer 6 x 6 tan 08/06/84 08/30/05 42 42 0 0 100308 0197 Panasonic TV/Monitor 08/23/84 08/30/05 800 800 0 0 0 100309 0196 Panasonic Recorder & Player 08/23/84 08/30/05 800 800 0 0 0 100327 0201 Coffee Um - Farberware 08/28/84 08/30/05 155 155 0 0 0 100131 0224 Chair guest blue 06/10/85 08/30/05 479 479 0 0 0 100056 0287 Chair swivel beige 04/01/86 08/30/05 164 164 0 0 0 0 100057 0292 Chair swivel beige 04/01/86 08/30/05 164 164 0 0 0 100058 0326 Desk wood 04/01/86 08/30/05 164 164 0 0 100059 2564 Chair drafting 04101/86 08/30105 164 164 0 0 0 100492 0354 Gates Sound Enclosure 07/29/86 08130105 350 350 0 0 0 100500 0417 Universal Printer Stand 07/31/86 08/30/05 155 155 0 0 0 100404 2980 Air conditioner parts & labor 10/31/86 08/30/05 896 896 0 0 0 0 100050 2980 Air conditioner parts 03/12/87 08/30/05 145 145 0 0 0 0 100078 2980 Air conditioner parts 04/16/87 08/30/05 1,893 1,893 0 0 100094 2973 Polisher Clark Model 2000 05/26/87 08/30/05 1,496 1,496 0 0 0 100095 1890 Wet/Dry Vacuum - Clarke Mod #5559 05/26/87 08/30/05 611 611 0 0 0 100096 0560 SSS Comm Vac Mod HD100 - 7 of these 05/26/87 08/30/05 300 300 0 0 100163 0452 Elevator Phone 06/30/87 08/30/05 252 252 0 0 0 100164 0451 Elevator Phone 06/30/87 08/30/05 252 252 0 0 0 100165 2980 Air conditioner parts 06/30/87 08/30/05 108 108 0 0 0 100584 0430 Quietwriter tractor feed 08/25187 08/30/05 146 148 0 0 0 100359 0582 Micro Cass Basic Units-Dictaphone 09/30/87 08/30/05 695 695 0 0 0 100635 0430 IBM Quletwriter III 12/03/87 08/30/05 1,788 1,788 0 0 0 100733 0911 Compaq DP286 M20 Computer 05/26/88 08/30/05 3,341 3,341 0 0 0 100816 0942 Compaq Portable Ill M20 Computer 10/04/88 08/30/05 2,751 2,751 0 0 0 100828 HOME2 Toshiba Mod 2400 BPS Modem 10/25/88 08/30/05 349 349 0 0 0 100829 0507 Toshiba Mod 2400 BPS Modem 10/25/88 08/30/05 350 350 0 0 0 100934 1043 Compaq SLT/286 M20 Computer 07/13/89 08/30/05 3,842 3,842 0 0 0 100330 2979 Utility Vehicle - Jollymobile 08/29/89 08/30/05 1,525 1,525 0 0 0 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1 , 2004 - August 31, 2005

Asset Acquisition Disposal Acquired Accumulated Realized Co Description Net Value Proceeds Sys No No Date Date Value Depreciation Ga i n (Loss) 0 100971 1047 Mac SE 40 Computer 09/26189 08/30/05 3,009 3,009 0 0 100988 1047 Etherport Network Lancard 11/02/89 08/30/05 417 417 0 0 0 101457 T0186 Table 24 x 72 folding 09/01/90 08/30/05 9 9 0 0 0 101470 T0867 Credenza 09/01/90 08/30/05 24 24 0 0 0 0 101475 T0344 Table 18 x 48 09101/90 08/30/05 11 11 0 0 0 101483 T1084 Desk woodgrain 09101/90 08/30/05 19 19 0 0 0 0 101520 T1370 Chair stacking teal/silvertone 09/01/90 08/30/05 5 5 0 0 101522 T1368 Chair stacking teal/silvertone 09/01/90 08/30/05 5 5 0 0 0 101524 T1364 Chair stacking teal/siivertone 09/01/90 08/30/05 5 5 0 0 0 0 101525 2654 Chair stacking teal/silvertone 09/01/90 08/30/05 5 5 0 0 101526 T1369 Chair stacking teal/silvertone 09/01/90 08/30/05 5 5 0 0 0 101527 T1371 Chair stacking teal/silvertone 09/01/90 08/30/05 5 5 0 0 0 0 101528 T1367 Chair stacking teal/silvertone 09/01/90 08130105 5 5 0 0 101537 1887 Table 30 x 72 folding 09/01/90 08/30/05 12 12 0 0 0 101548 T2327 Table 30 x 30 09/01/90 08/30/05 118 118 0 0 0 101552 2657 Desk secretary teak right 09/01/90 08/30/05 886 686 0 0 0 101557 T1580 Chair side evergreen 09/01/90 08/30/05 180 180 0 0 0 101560 T1764 End Table 24x24 woodgrain 09/01/90 08/30/05 57 57 0 0 0 101562 T1143 Cabinet 2 door 09/01/90 08/30105 179 179 0 0 0 101574 T1202 Table 24 x 48 woodgrain 09/01/90 08/30/05 74 74 0 0 0 101612 1875 Table 30 x 72 folding Samsonite 09/01/90 08/30/05 46 46 0 0 0 101682 T1940 Lanier Dictaphone 09/01/90 08/30/05 24 24 0 0 101717 4078 IBM Selectric ll Typewriter 09/01/90 08/30/05 288 288 0 0 0 0 101748 T1928 Sanyo Transcriber 09/01/90 08/30/05 96 96 0 0 101783 T1893 20MB Hard Drive 09/01/90 08/30/05 201 201 0 0 0 0 101791 T1783 Compaq Video Display Card 09/01/90 08/30/05 72 72 0 0 0 101802 0507 64K 120N Chip set 09/01/90 08/30/05 6 6 0 0 0 0 101816 T1867 Compaq DP386 M40 Computer 09/01/90 08/30/05 1,699 1,699 0 0 0 0 101840 T1893 Compaq Portable ll M20 Computer 09/01/90 08/30/05 1,190 1,190 0 101850 T1832 Compaq Portable III M20 Computer 09/01/90 08/30/05 2,647 2,647 0 0 0 101988 T1868 HP Laserjet 2MB memory upgrade 09/01/90 08/30/05 511 511 0 0 102080 T0636 Kodak Slide Projector w/case (Case #T0637) 09/01/90 08/30/05 157 157 0 0 0 102699 TLTG INV IBM InfoWindow Monitor 09/01/90 08/30/05 100 100 0 0 0 102753 TLTGPM Pioneer LaserDisc for InfoWindow 09/01/90 08/30/05 900 900 0 0 0 102253 1567 Compaq 386S 5.25 Floppy Drive 10/19/90 08/30/05 193 193 0 0 0 102307 1593 Buffalo SL1000 Printer Sharing Box 12/03/90 08/30/05 686 686 0 0 0 102125 T1110 RCA 26" TV Monitor 03/08/91 08/30/05 649 649 0 0 0 102309 D1715 Hayes 9500EX Modem 06/20/91 08/30/05 552 552 0 0 0 102122 3856 OK1 Cellular Phone (517-0611) 08/01/91 08/30/05 649 649 0 0 0 102300 1714 Dell Intel 9600B V.42 Modem 08/21/91 08130/05 540 540 0 0 0 Form 990, Part 1 , Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1, 2004 - August 31, 2005

Co Asset Acquisition Disposal Acquired Accumulated Realized Sys No No Description Net Value Proceeds Date Date Value Depreciation Gain (Loss) 102312 1823 Buffalo SLI 000 Printer Sharing Box 09/01/91 08/30/05 599 599 0 0 0 102337 1845 Panasonic KXP112 10/04/91 08/30/05 307 307 0 0 0 102402 1757 Seiko CM1440 Monitor 01/17/92 08/30/05 442 442 0 0 0 102123 2980 Air conditioner condenser 02/18/92 08/30/05 1,145 1,145 0 0 0 102900 2245 Dukane 28A4000 Overhead Projector w/Case 09/02/92 08/30/05 718 718 0 0 0 102902 2245 Speaker-Yamaha MDS101 09/02/92 08/30/05 116 116 0 0 0 102903 2245 Extron Mac2 DA2 Adapter 09/02/92 08/30/05 213 213 0 0 0 103190 CFC Recovery & Recycle Machine 10/31/92 08/30/05 1,594 1,594 0 0 0 103197 2338 Radio-Radius P110 Portable 01/19/93 08/30/05 506 506 0 0 0 103198 2335 Radio-Radius P110 Portable 01/19/93 08/30105 506 508 0 0 0 103199 2339 Radio-Radius P110 Portable 01/19/93 08/30/05 506 506 0 0 0 103204 2334 Radio-Radius P110 Portable 01/19/93 08/30/05 485 485 0 0 0 103019 2342 HP Laserjet 4M Printer 02/19193 08/30/05 1,884 1,884 0 0 0 103036 T2212 Connector-Digiboard DJ7600 03/10193 08130/05 142 142 0 0 0 103040 0929 Processor-Upgrade Super SX 03/17193 08/30/05 531 531 0 0 0 103057 2384 Lancard 3COM 3C509 TP 03/22/93 08/30/05 112 112 0 0 0 103191 2974 Windsor Clipper Carpet Cleaner 03/30/93 08/30105 2,100 2,100 0 0 0 103247 T2212 Kingston Memory Board 04/01/93 08/30/05 438 438 0 0 0 103095 2380 SM13082 Board 04/30/93 08/30/05 750 750 0 0 0 103096 2381 SM13082 Board 04/30/93 08/30/05 750 750 0 0 0 103098 2382 SM13082 Board 04/30/93 08/30/05 753 753 0 0 0 103101 2383 SM13082 Board 04/30/93 08/30/05 750 750 0 0 0 103369 2664 Buhl Overhead Projector w/Laser Pointer 08/30/93 08/30/05 688 688 0 0 0 103373 2666 Zenith VCR VR2410 08/30/93 08/30/05 252 252 0 0 0 103328 2150 Motorola Radius P110 Portable Radio 08/31/93 08/30/05 509 509 0 0 0 103329 2151 Motorola Radius P110 Portable Radio 08/31/93 08/30/05 509 509 0 0 0 103330 2152 Surge Recorder 08/31/93 08/30/05 845 845 0 0 0 103382 2493 Compaq Floppy Drive 1.44M 09/22193 08/30105 303 303 0 0 0 103492 2675 Compaq Contura 4/25 Notebook Computer 11/29/93 08/30105 2,431 2,431 0 0 0 103932 3255 Compaq Contura 420CX Notebook Computer 07/11/95 08/30/05 3,801 3,801 0 0 0 104355 3357 Table 30 x 72 folding walnut 08/06/95 08/30/05 63 63 0 0 0 104320 3574 Chair mid back burgandy interval arm 08/31/95 08/30/05 340 340 0 0 0 103996 Radio 2-way with charger 09/25/95 08/30105 534 534 0 0 0 103997 Radio 2-way with charger 09/25/95 08/30/05 534 534 0 0 0 104058 Radio 11/01/95 08130/05 617 617 0 0 0 104094 Radio-Radius P-110 Portable 02/07/96 08/30/05 599 599 0 0 0 104529 3096 Chair plum 05/15/96 08/30/05 545 545 0 0 0 104682 4259 Chair Lifeform #2780 w/adj arms 10/01/96 08/30/05 644 644 0 0 0 104679 4268 Chair Blue Globe Big/Tall 10131/96 08/30/05 672 672 0 0 0 104884 3202 Cisco 4 serial port NP Module 07/18/97 08/30/05 3,510 3,510 0 0 0 Form 990, Part 1, Line 8c Texas Association of School Boards, Inc. 74-2275519 Fixed Asset Dispositions Schedule 2 September 1, 2004 - August 31, 2005

set Acquisition Disposal Acquired Accumulated Realized Sys No Co Description Net Value Proceeds No Date Date Value Depreciation Gain (Loss) 104907 4915 4100 Series Stair Stepper 08/31/97 08/30/05 2,170 2,170 0 0 0 105154 5203 SCHWINN 2301 EXERCISE BIKE 08/14/98 08/30/05 1,200 1,200 0 0 0 103843 SW PABBLO - softwareltravel expenses 03/01/95 08/31/05 1,387 1,387 0 0 0 103935 SW PABBLO Software-travel expenses 03/01/95 08/31/05 1,140 1,140 0 0 0 103936 SW PABBLO - software travel expenses 03/01/95 08/31/05 1,400 1,400 0 0 0 104373 SW WCMC/WCMS Software modules 08/31/95 08/31/05 59,144 59.144 0 0 0 104831 SW Paccasso Maintenance 04/01/97 08/31/05 595 595 0 0 0 105281 SW AS/400 OPERATING SYSTEM SOFTWARE 12101/98 08/31/05 71,180 71,180 0 0 0 105259 SW FIRST STEPP LICENSE 12/31/98 08/31/05 32,000 32,000 0 0 0 105341 SW SALES LOGIX SOFTWARE 02128/99 08/31/05 16,000 16,000 0 0 0 105369 SW SEAGATE BACKUP EXEC 03/01/99 08/31/05 1,184 1,184 0 0 0 105370 SW APPLICATION DEVELOPMENT EDIFY SYSTEM 03/30/99 08/31/05 4,440 4,440 0 0 0 105420 SW APPLICATION DEVELOPMENT EDIFY SYSTEM 03/30/99 08/31105 20,359 20,359 0 0 0 105401 SW LONE STAR EDIFY - SYSTEM ENHANCEMENTS 04/07/99 08/31/05 22,071 22,071 0 0 0 105402 SW SYBASE SOFTWARE - SMART SYSTEM 04/12/99 08/31/05 21,861 21,861 0 0 0 105416 SW SALES LOGIX SOFTWARE 05/21/99 08/31105 9,154 9,154 0 0 0 105432 SW DATADIRECT SEQUELINCK CPU LICENSE (2 CPU) 05124/99 08/31/05 5,858 5,858 0 0 0 105433 SW DATADIRECT SEQUELINK CPU LICENSE (1 CPU) 05/24/99 08/31/05 3,608 3,608 0 0 0 105434 SW COLDFUSION STUDIO 4.0 06/01/99 08/31/05 581 561 0 0 0 105435 SW COLDFUSION SERVER ENTERPRISE FOR SOLARIS 06/01/99 08/31/05 4,901 4,901 0 -0 0 105527 SW OPEN FILE MANAGER SOFTWARE 08/31199 08/31105 589 589 0 0 0 105528 SW OPEN FILE MANAGER SOFTWARE 08/31/99 08/31/05 589 589 0 0 0 105529 SW OPEN FILE MANAGER SOFTWARE 08/31/99 08/31/05 589 589 0 0 0 105530 SW OPEN FILE MANAGER SOFTWARE 08/31/99 08/31/05 589 589 0 0 0 105531 SW OPEN FILE MANAGER SOFTWARE 08/31/99 08/31/05 589 589 0 0 0 LEASEHOLD IMPROVEMENTS VARIOUS 08/31105 37,277 37,277 0 0 0 SEE NOTE BELOW DOCUTECH PRINTER/WORKSTATION 09/17/04 10/14/04 12,721 0 12,721 28,750 16,029

1,192,252 1,178,355 13,897 30,115 16,218

NOTE: TASB had been in posession of a docutech printer/workstation through an operating lease with Xerox. During 2004-05, TASB bought out the remainder of the lease obligation and took ownership of the equipment. Shortly thereafter, TASB sold the docutech printer/workstation , recognizing a gain of $16,029 over the amount paid to buy out the remainder of the lease. I. Texas Association of School Boards, Inc. Depreciation 74-2275519 August 31, 2005 Schedule 3

Form 990, Part II, Line 42

Date Placed Cost Basis Method/ Acc. Dep/Amort Current Accum. Depr. Acc. Dep/Amor Description in Service at 08/31/05 Straight Line 08/31/2004 Depreciation Removed 08/31/2005

Furniture, Fixtures, Equipment & Computer Hardware/Software Var. 83-05 11,226,204 Various 7,568,004 1,194,647 1,141,078 7,621,573

Land and Building 315,779 60,482 3,902 0 64,384

Assets Under Construction 99,324 0 0 0 0

Leasehold Improvements Var. 86-05 0 Various 37,277 0 37,277 0

Totals 11,641,307 7,665,763 1,198,549 • 1,178,355 7,685,957

*Of the total reported, $1,006,194 is related to Program Services, column B and $192,355 is related to Management and General, column C. Texas Association of School Boards, Inc. E1N 74-2275519 August 31, 2005

Schedule 4 Form 990, Part III Statement of Program Service Accomplishments

The Texas Association of School Boards, Inc. (TASB, Inc.) promotes educational excellence for public schoolchildren through advocacy, visionary leadership, and high quality services to school districts and other local governmental entities. TASB, Inc.'s programs and services lessen the burdens on public schools and other local governments, and thus serve a worthy tax exempt purpose.

TASB, Inc. makes available to members (local school districts, education service centers, junior colleges, educational cooperatives, and appraisal districts) the following services: legal, human resource, policy, parent education, governmental relations, communications, education and training, strategic planning, and publications. Additional services provided by TASB, Inc. include electronic processing and submission of Medicaid reimbursement requests for member districts participating in the School Health and Related Services Program, the ability to prepare and distribute board meeting materials using a web-based software application, executive search services, and consulting services on environmental issues in public buildings. Various membership services also include board training credit, annual convention, workshops and seminars. TASB, Inc. services were available to 1,306 members in 2005, including 1,039 local school districts.

Through a service agreement with Texas Center for Educational Research (TCER), a Texas non-profit organization exempt under Section 501(c)(3), TASB, Inc. provides administrative services, conducts educational research, and disseminates information on public education issues in furtherance of TCER's mission to provide independent research for public schools.

Through a service agreement with The Local Government Purchasing Cooperative, TASB, Inc. provides support, maintenance, and administrative services for electronic purchases and consolidated bidding on behalf of governmental entities, including political subdivisions, such as school districts, counties, municipalities, and special districts. Electronic purchase offerings include, but are not limited to, supplies, vehicles, and electricity service.

Through a service agreement with the TASB Risk Management Fund, an interlocal self-funded governmental risk pool, TASB, Inc. provides program administration for the Fund's service and coverage of the following: workers' compensation, unemployment compensation, property/casualty, employee benefits (primarily health care), owner-controlled insurance programs, supplemental benefits, and personal lines coverage. TASB, Inc.'s program administration includes general claims services, offering and disseminating program information, safety engineering and environmental services, loss control services, property appraisal services, and other services necessary and essential for managing the risk exposure in the above described areas. These risk management services and programs help public schools and other local governmental entities with implementation of effective loss control programs that help reduce the frequency and severity of losses. Schedule 4 Page 2 of 2

First Public, LLC, a wholly-owned subsidiary of TASB, Inc. and a disregarded entity for federal tax purposes, provides directly and through a service agreement with Lone Star Investment Pool, cash management and investment services to governmental entities including political subdivisions, such as school districts, counties, and special districts, plus combinations of political subdivisions. First Public, LLC assists these entities in managing and planning their investment programs. This service helps governmental entities reduce the time and expense of managing their investments, while increasing their investment earnings. Texas Association of School Boards, Inc. 74-2275519 Fixed Assets Schedule 5 August 31, 2005

Form 990, Part IV, Line 57

08/31/2004 8/31/2005

Land 159,720 159,720 Building 156,059 156,059 Assets Under Construction 0 99,324 Capitalized Leases 0 302,349 Furniture, Fixtures and Equipment 2,861,625 2,897,529 Computer Hardware and Software 7,924,420 8 ,026,326 Leasehold Improvements 37,277 0

Total Original Cost/Basis 11,139,101 11 ,641,307

Accumulated Depr./Amort Beginning of Year 9,713,908 7,665,763 Current Year Depreciation 1,057,583 1,198,549 Current Year Amortization 6,505 0 Depreciation/Amortization Removed on Assets Retired (3,112,233) (1,178,355)

Total Accum. Depr/Amort End of Year 7,665,763 7,685,957

Net Value of Fixed Assets 3,473,338 3,955,350 Texas Association of School Boards, Inc. 74-2275519 Notes Payable/Capital Leases Schedule 6 August 31, 2005

Form 990, Part IV, Line 64b

Balance Balance Original Due Due Date of Maturity Repayment Interest Description of Security/ Lender Name/Relationship to TASB,Inc. Amount 08/31/2004 08/31/2005 Lease Date Terms Rate Purpose of Loan/Lease

OCE Financial Services/Vendor 302,349 0 250,989 9/24/2004 9/24/2009 60 3.68% Computerized Printer months

302,349 0 250,989 Texas Association of School Boards, Inc. 74-2275519 August 31, 2005 Schedule 7a

Form 990, Part VT, Line 77

This statement is provided as required by Rev. Proc. 68-14, 1968-1 C. B. 768, to declare that the attached copy of the Bylaws of Texas Association of School Boards, Inc. (as last amended October 29, 2005) is a conformed copy and contains all the provisions of the Bylaws as originally adopted and all amendments to them. The conformed copy is complete and correct.

I1n 1q2 J es B. Crow Date Texas Association of School Boards, Inc. Executive Director Bylaws of the Texas Association of School Boards, Inc. (As last amended on October 29, 2005)

ARTICLE I. NAME AND LOCATION

SECTION 1. NAME. The name of this corporation is the TEXAS ASSOCIATION OF SCHOOL BOARDS, INC. (Association).

SECTION 2. LOCATION OF OFFICES. The principal office of the Association shall be located in Texas. The Association may have such other offices , either within or without the State of Texas, as the Board of Directors of the Association (Board) may determine or as the affairs of the Association may require.

ARTICLE II. MISSION AND PURPOSES

SECTION 1. MISSION. The Association promotes educational excellence for Texas schoolchildren through advocacy, visionary leadership , and high-quality services to school districts.

SECTION 2. PURPOSES. The purposes of the Association shall be as set forth in the Articles of Incorporation, Bylaws, and other corporate documents and shall include the following:

A. To work for the adequate and equitable financial support of the Texas public schools.

B. To conduct, independently or in cooperation with others, seminars, conferences, conventions , courses, research, and other projects in the various aspects of public education.

C. To identify and provide those services that governmental units need and desire thereby lessening the burden of government.

D. To bring about a spirit of cooperation among professional groups in providing superior educational opportunities for all children in Texas and the United States.

E. To work for the advancement of public education in Texas and the United States and to increase public understanding of the function of school boards and board members in the public educational system.

F. To encourage efficient and effective management and governance of the public schools and to provide a forum within which individual school boards may seek solutions to problems in public education.

G. To provide current information concerning public education , including changes in school law, and developments in educational programs.

H. To inform school boards about proposed legislation to promote a better working relationship between local boards and the federal and state governments.

1. To encourage and provide services to relieve the burden of government by enhancing sound management and fiscal responsibility for the school districts and other governmental units of Texas, as well as school districts and other governmental units of other states in the United States.

J. To do such other things as the Delegate Assembly or the Board may deem appropriate for the accomplishment of these and other purposes to improve public education.

ARTICLE III. MEMBERS

SECTION 1. MEMBERS. The Association shall have three classes of members. The designation and qualification of such membership classes are as follows: A. ACTIVE MEMBERS.

(1). School boards that pay annual dues are Active Members . Active Members participate in the governance of the Association through an annual Delegate Assembly, in accordance with Article V. Active Member trustees may hold office in the Association except as provided in Article VI, Section 4. Active Members shall be subject to Board policy and these Bylaws.

(2). The term "school board" as used in these Bylaws shall include all boards of education of independent or common school districts, county boards of education, and regional education service center (ESC) boards within the State of Texas.

B. ASSOCIATE MEMBERS . Educational cooperatives, public community colleges, and central appraisal districts that pay annual dues are Associate Members. Associate Members and their representatives are not eligible to hold office in the Association or participate in the Delegate Assembly. Associate Members shall be subject to Board policy and these Bylaws.

C. AFFILIATE MEMBERS. Any individual, corporation, organization , or foundation that pays annual dues for membership, or area school board associations may become an Affiliate Member. Affiliate Members and their representatives are not eligible to hold office in the Association or participate in the Delegate Assembly. Affiliate Members shall be subject to Board policy and these Bylaws.

SECTION 2. MEMBER APPLICATION.

Applications for new or reinstated Active Members shall be submitted to the Association office in a form and accompanied by all supporting documents the Board may require.

SECTION 3. SUSPENSION.

Membership of a member whose annual dues are 90 days past due shall be suspended . Memberships suspended for nonpayment of annual dues may be reinstated upon payment of the current year's dues.

SECTION 4. TERMINATION.

A. An Active Member's membership may only be terminated upon a recommendation adopted by a two- thirds vote of the Directors present and voting at a Board meeting and ratified by a majority of the delegates present and voting at the annual Delegate Assembly.

B. An Associate or Affiliate Member's membership may be terminated upon a two-thirds vote of the Directors present and voting at a Board meeting.

SECTION 5. REINSTATEMENT FROM TERMINATION.

A. An Active Member's membership may be reinstated only upon a recommendation adopted by a two- thirds vote of the Directors present and voting at a Board meeting and ratified by a majority of the delegates present and voting at the annual Delegate Assembly meeting.

B. An Associate or Affiliate Member's membership may be reinstated upon a two-thirds vote of the Directors present and voting at a Board meeting.

ARTICLE IV. ANNUAL DUES AND FEES

SECTION 1. ANNUAL DUES.

A. The Board shall recommend the amount of annual dues for Active Members to the annual Delegate Assembly for action. The Board shall establish the annual dues for Associate and Affiliate Members. B. The dues year of the Association shall be January 1 through December 31.

C. The Association shall mail a dues statement to each member on or before the first day of the dues year. Annual dues shall be paid on or before January 31.

D. By providing a petition showing need, an Active Member may request that the Board allow partial payment when billed and the balance to be paid at a specified later date within the dues year. Such a request shall be submitted to the Board in writing at least 45 days before the first day of the dues year. The Board shall have the sole discretion to determine whether the extension shall be granted, and the Board, or its designee, shall advise the Active Member of the action taken.

SECTION 2. FEES. Each member shall pay such fees for elective meetings, services, activities, and materials as may be determined by the Executive Director, or designee, and reported to the Board.

ARTICLE V. DELEGATE ASSEMBLY

SECTION 1 . GOVERNING BODY. The general governing body of the Association is the Delegate Assembly.

SECTION 2. POWERS OF THE DELEGATE ASSEMBLY. The Delegate Assembly shall:

A. Elect the Officers and Directors, except as provided by Article VI, Section 2D(5) and Section 9.

B. Approve the termination of an Active Member' s membership, as provided in Article III, Section 4A.

C. Approve the annual dues for Active Members, as provided in Article IV, Section 1.

D. Adopt beliefs and resolutions pertinent to the mission and purposes of the Association, as provided in Article V, Section 8.

E. Adopt the Association 's Advocacy Agenda consisting of.

(1) Priorities derived through the Grassroots Advocacy Process defined in Article V, Section 9A, and

(2) Positions derived through the Advocacy Position Process defined in Article V, Section 9B.

F. Amend these Bylaws, as provided in Article XVII.

G. Delegate to the Board any of its powers except:

(1) Election of Officers and Directors, except as provided by Article VI, Section 2D(5) and Section 9.

(2) Amendment of these Bylaws.

(3) Termination of Active Member's membership.

(4) Adoption of beliefs [Article V, Section 8] and priorities and positions derived through the Advocacy Agenda Process [Article V, Section 9).

SECTION 3. COMPOSITION. Delegates of the Delegate Assembly shall include Active Member delegates, or in their absence their alternate delegates, the Board, and the Legislative Advisory Council (LAC) members of the Legislative Committee (Delegates). Each Delegate shall be entitled to one vote on any action item coming before the Delegate Assembly. SECTION 4. CERTIFICATION OF DELEGATES. The Executive Director, or designee, shall notify Active Members of the date before which certification of Delegates shall be made. The officials of Active Members shall certify to the Association's office the name of their Delegate and alternate delegate before the designated deadline for such certification. After the deadline, Delegates and alternate delegates shall be certified subject to Board policy.

SECTION 5. MEETINGS.

A. The Delegate Assembly shall convene at least annually, in conjunction with the annual convention of the Association. The Delegate Assembly may also be convened by the Board at such other times and places within Texas as may be determined and for such purposes as warrant the call of special meetings.

B. At least 30 days before the annual convention, the Association shall mail the notice of the date, place, and time of meeting of the annual Delegate Assembly to Active Members. The notice for a special meeting shall be made at least seven days before the meeting date.

C. Copies of the agenda and related materials for the meeting shall be published at least 20 days preceding the annual Delegate Assembly.

SECTION 6. VOTING.

A. A Delegate shall have the right to vote on each action item coming before the Delegate Assembly. No proxy votes shall be permitted.

B. A quorum for the transaction of business shall exist when Delegates from one-fourth of the Active Members are present at the meeting.

SECTION 7. OFFICERS OF THE DELEGATE ASSEMBLY. The Officers of the Association shall be the Officers of the Delegate Assembly.

SECTION 8. BELIEFS DEVELOPMENT.

A. Proposals for changes to the beliefs of the Association shall be submitted in writing on or before July 1 to the Bylaws and Resolutions Committee, or its designee. Proposals for changes to the beliefs may be submitted by the Active Members, Delegates to the annual Delegate Assembly, or the Bylaws and Resolutions Committee.

B. The Bylaws and Resolutions Committee shall study all proposals received on or before July 1 and shall prepare a report of its recommendations.

C. Proposals for additions or changes to the beliefs that are not submitted in accordance with this section shall not be considered by the annual Delegate Assembly unless two-thirds of the Delegates present and voting elect to consider such late proposals.

D. The adoption of additions or changes to the beliefs shall require a two-thirds vote of the Delegates present and voting.

SECTION 9: ADVOCACY AGENDA.

A. Grassroots Advocacy Process.

(1) In even-numbered years, Grassroots Advocacy meetings shall be held in each Association Region, in accordance with Board policy, for the purpose of identifying Advocacy Priorities. Eligible participants are the Board and trustees of Active Members. At each regional meeting, participants shall formulate Advocacy Priorities and elect regional representatives to the LAC. The LAC shall meet and study the array of regional priorities and shall develop a list of priorities of a statewide nature consistent with the mission and resources of the Association . The LAC shall submit its recommendations to the Legislative Committee, or its designee, prior to July 1 of even- numbered years.

The LAC also shall elect from among its members four Active Member trustees to serve as voting ex officio members of the Legislative Committee, in accordance with Board policy. These ex officio members shall serve for a two-year term beginning at the close of the LAC meeting at which they are elected, or until the ex officio member is no longer a trustee of an Active Member governing board. The LAC shall also elect an alternate ex officio member to fill any vacancy in the four positions. The President may appoint a trustee from the LAC to fill an ex officio vacancy for which an alternate is not available.

(2) After the close of the regular Texas legislative session, the LAC shall reconvene to review legislative action on the Association's Advocacy Agenda and may offer changes (whether an amendment to a previously adopted priority, the repeal of a previously adopted priority, or a new priority) to the priorities adopted the preceding year by the annual Delegate Assembly. Changes shall be submitted to the Legislative Committee prior to the summer Board meeting.

(3) The Legislative Committee shall study the LAC recommendations, arising from the activities defined in Article V, Section 9A(1) and (2), and formulate committee recommendations for the Board's consideration. The Board shall have the right to affirm or change the Legislative Committee's recommendations.

(4) The Board shall submit recommendations regarding Advocacy Priorities to the annual Delegate Assembly for approval. Adoption of Advocacy Priorities shall require a vote of two-thirds of the Delegates present and voting.

(5) Advocacy Priorities adopted in even-numbered years, subject to changes adopted in odd-numbered years, shall remain in effect for two years until the annual Delegate Assembly next convenes in an even-numbered year. Any change in the odd-numbered year shall remain in effect until the annual Delegate Assembly next convenes.

B. Advocacy Position Process

(1) Except as provided in this section, Advocacy Positions or changes to previously adopted positions proposed for consideration by the annual Delegate Assembly shall be submitted in writing by July 1 to the Bylaws and Resolutions Committee, or its designee. Only submissions proposed by the Board or Active Members shall be considered by the Bylaws and Resolutions Committee.

(2) Submissions received by July I shall be studied by the Bylaws and Resolutions Committee. The Bylaws and Resolutions Committee shall formulate recommendations to the Board. The Board shall have the right to affirm or change Bylaws and Resolutions Committee recommendations and to amend submissions for presentation to the annual Delegate Assembly, provided the amendment does not change the intent of the original submission and the amendment is approved by the submitting Active Member.

(3) Active Member submissions received after July 1 shall be accompanied by a statement of the nature of the emergency preventing timely submission. They shall not be presented to the annual Delegate Assembly unless the Board affirms that the submission is of an emergency nature. The Bylaws and Resolutions Committee and/or the Board shall have the right to amend submissions granted emergency status before their presentation to the annual Delegate Assembly, provided such amendment does not change the intent of the original submission. Amendments approved by the Board shall be communicated to the submitting Active Member, if time permits. (4) The Board shall have the right to submit Advocacy Positions or changes to previously adopted positions before the publication of the Delegate Assembly Handbook. Changes submitted by the Board after this deadline require approval by a vote of two-thirds of the Delegates of the annual Delegate Assembly present and voting.

(5) The Board shall submit its recommendations regarding Advocacy Positions to the annual Delegate Assembly for approval. Adoption of Advocacy Positions shall require a majority vote of Delegates present and voting.

(6) The Bylaws and Resolutions Committee shall convene on the day of and before the beginning of the annual Delegate Assembly to hear appeals on any submission for which the Board has not recommended adoption. Based upon the appeal presented, the Bylaws and Resolutions Committee shall have the right to recommend adoption and shall communicate the revised recommendation to the annual Delegate Assembly.

(7) Advocacy Positions adopted by the annual Delegate Assembly in even-numbered years shall remain in effect for two years, subject to changes adopted in odd-numbered years. Any change in the odd-numbered year shall remain in effect until the annual Delegate Assembly next convenes.

(8) No Advocacy Position may be adopted that is in conflict with any Advocacy Priority established in accordance with Article V, Section 9A.

ARTICLE VI. BOARD OF DIRECTORS

SECTION 1. ASSOCIATION REGIONS.

The Association Regions shall correspond to the ESC region boundaries . The annual Delegate Assembly shall approve any changes to the number or boundaries of Association Regions.

SECTION 2. QUALIFICATIONS, NOMINATION, ENDORSEMENT, AND ELECTION OF DIRECTORS.

A. Each voting Director shall be a trustee of the governing board of a school district that is an Active Member, except as provided below:

(1) The President and the Immediate Past President, and

(2) The ESC ex ofcio Director, in accordance with Article VI, Section 4F.

B. No Active Member shall have more than one candidate for each Director position. No person shall be a candidate for more than one Director position.

C. For purposes of this section, an Active Member school district with an Average Daily Attendance (ADA) meeting the requirements of Article VI, Section 4C(1) shall be treated as an Association Region and referred to in these Bylaws as a Large District.

D. Nominations and endorsements shall be accepted in accordance with the following requirements:

(1) By May 31, Active Members in any Association Region in which there are expiring terms or vacancies in Director positions shall be notified that the Active Member may nominate one of its trustees as a candidate for a Director position in which the term is expiring or a vacancy exists within the Active Member's Region.

(2) By June 30, the Nominations Committee' s chair, or designee, shall have received the following in writing in the Austin office of the Association: (a) The Active Member's nomination, on the form supplied by the Association for the process in a given year and signed by the Active Member's board president indicating the date of its board action,

(b) The candidate's biographical information,

(c) A signed letter from the candidate confirming his or her intention to be a candidate for nomination and a willingness to serve, if elected, and

(d) A candidate questionnaire completed by the candidate on the form supplied by the Association for the process in a given year.

(3) By July 3, a listing of all candidates running for Director positions shall be sent to the superintendent and board president of each Active Member in each Association Region in which there are any expiring terms or vacancies in Director positions. The candidate listing shall also be posted on the Association's Web site.

(4) By August 29, any Active Member endorsements of candidates shall be received in the Austin office of the Association for such endorsements to be considered. An Active Member may endorse only one candidate for each open Director position within its Association Region. Only candidates who have complied with the requirements of Article VI, Section 2D(2) may be endorsed. Endorsements adopted by an Active Member before July 3 or endorsements that are not on the endorsement form provided by the Association in a given year shall not be accepted. An Active Member's nomination of one of its trustees [Article VI, Section 2D(2)] shall be considered the Active Member's endorsement for that Director position.

(5) If a majority of the Active Members in an Association Region endorses the same candidate, that candidate shall be elected to the Director position and shall take office at the completion of the final official session of the annual convention during the year in which the Director was elected.

(6) If no candidate receives endorsements from a majority of the Active Members in the candidate's Association Region [Article VI, Section 2D(4)], the official annual Delegate Assembly ballot shall include the following:

(a) Candidates nominated by the Nominations Committee [Article VIII, Section 21-11 and

(b) Candidates receiving endorsements from at least 25 percent but less than a majority of the Active Members in an Association Region.

(7) Thereafter nominations may be made by the candidate ' s Delegate, provided the following conditions are met:

(a) The candidate's nomination was submitted in compliance with Article VI, Section 2D(2), and

(b) The candidate's intent and consent to run for the position by this alternate means is received in the Austin office of the Association five days prior to the annual Delegate Assembly.

E. The annual Delegate Assembly shall elect a person to fill each Director position in which an expiring term or a vacancy exists, unless the position has been filled in accordance with Article VI, Section 2D(5). The official annual Delegate Assembly ballot shall be prepared by the Nominations Committee as provided in these Bylaws. If there is more than one nominee for any Director position, nominees shall comply with rules and procedures adopted by the annual Delegate Assembly at the start of the meeting.

F. If there is more than one nominee for a Director position, the nominee receiving the majority of the votes of the Delegates present and voting shall be elected. If no nominee receives a majority vote of the Delegates, a run-off election shall be conducted between the two nominees receiving the greater numbers of votes. The balloting shall be repeated for that position as many times as necessary to obtain a majority vote for a single nominee.

SECTION 3. DUTIES. The Board shall supervise, control, and direct affairs of the Association in accordance with the Articles of Incorporation, Bylaws, beliefs, Advocacy Agenda, and resolutions approved by the annual Delegate Assembly. The Board shall:

A. Actively promote the mission, beliefs, and purposes of the Association.

B. Adopt the Association's budget and have discretion in the disbursement of the Association's funds.

C. Receive any devise, bequest, donation, or otherwise, either real or personal property, or both, and hold the same absolutely or in trust, and invest, reinvest, and manage the same, and apply said property and the income arising therefrom to the mission, beliefs, and purposes of the Association.

D. Establish such Board policies, as it deems appropriate in fulfilling its responsibilities under these Bylaws.

E. Appoint such agents as it may consider necessary.

SECTION 4. COMPOSITION.

A. The Association's governing body shall be composed of Directors from Large Districts or Association Regions. No Active Member shall have more than one individual serving on the Board.

B. All Directors shall represent their respective Association Regions, except the President, President- Elect, and the Immediate Past President.

C. By virtue of student enrollment, individual Active Members or Association Regions may be eligible for a Director position as follows:

(1)(a) Not more than 14 Active Members shall be entitled to Large District Director positions. To qualify for a Large District Director position, the Active Member shall have had at least 1.25 percent of the total state ADA for two consecutive years. If more than 14 Active Members qualify for Large District Director positions under this provision, the 14 Active Members with the largest ADA shall qualify.

(b) If the Active Member's ADA falls below 1.25 percent of the total state ADA for two consecutive school years, or if an Active Member has qualified for a Large District Director position and that Active Member is no longer one of the 14 school districts with the ADA required under Article VI, Section 4C(1)(a), the Active Member's entitlement to a Large District Director position shall end with the expiration of the current representative's term.

(2)(a) An Association Region shall be entitled to Regional Director positions for each 4.25 percent or fraction thereof of the total state ADA contained within the Association Region for two consecutive years and after the ADA of each Active Member qualifying for a position by virtue of Article VI, Section 4 C(1), has been subtracted. Notwithstanding the foregoing, an Association Region shall be entitled to no more than three Regional Director positions.

(b) If an Association Region becomes entitled to multiple positions by this provision and, subsequently, for two consecutive years, fails to sustain sufficient ADA for the entitlement, a Regional Director position shall be eliminated as follows:

i. If a vacancy exists in the Regional Director position, that position shall be eliminated, or ii. If there is more than one vacancy in the Regional Director positions, the vacant position with the first expiring term shall be eliminated, or iii. If there is no vacancy in the Regional Director positions , the existing position with the first expiring term within the Region shall be eliminated at the end of that term, or iv. If there is no vacancy and more than one Regional Director position having the first expiring term in the same year, the position being held by the individual with the least tenure as a Regional Director shall be eliminated at the end of that term, or v. If there is no vacancy and more than one Regional Director position having the first expiring term in the same year and being held by individuals with the same tenure, there shall be a drawing of lots to determine which Regional Director position shall be eliminated at the end of the term.

D. All calculations under this section shall be based on ADA data furnished by the Texas Education Agency available as of April I preceding the annual Delegate Assembly.

E. The Executive Director shall be a nonvoting ex officio Director and shall not be counted in the quorum of the Board.

F. The ESC boards shall be represented by one voting ex officio Director selected by a process and for a term prescribed by guidelines established by the ESC boards, but shall not be counted in the quorum of the Board.

SECTION 5. DURATION OF OFFICE.

A. The term of office of each Director shall be three years and shall begin at the completion of the final official session of the annual convention during which the Director was elected by the annual Delegate Assembly.

B. Terms of Directors shall be staggered to allow, to the extent possible, for the election of one-third of the Directors each year. New Director positions shall be assigned to terms to retain this balance; however, if this is not possible, the assignment of terms shall be decided by drawing of lots.

C. Upon election to a three-year term, a Director may be reelected to no more than three additional terms. A Director having served as President shall be eligible to serve only one additional year, as Immediate Past President.

D. Upon election or succession to the office of President-Elect, the Director position previously held shall be declared vacant and a successor elected, except as provided in Article VI, Section 4A.

SECTION 6. RESIGNATION AND REMOVAL.

A. A Director may resign by submitting a letter of resignation to the President. The resignation shall become effective upon receipt by the President.

B. A Director who is absent from three consecutive regularly scheduled Board meetings or from three consecutive regularly scheduled standing committee meetings may be removed from the Director position by a majority vote of all of the Directors . A Large District Director removed pursuant to this section shall be ineligible to serve for the remainder of the term to which the Director was elected.

C. Any Director may be removed by a two-thirds vote of the Board when, in the Board's judgment, the best interests of the Association would be served by removal.

SECTION 7. MEETINGS . The Board shall hold at least four meetings annually at such time and place as determined by the President and Executive Director. One meeting shall be held within the week of the annual Delegate Assembly. The dates of the other three meetings shall be reported at the last regular meeting of the Board in each fiscal year. The Board shall be given 30 days' notice before each regular meeting by electronic means, or by any other means accessible to the Directors. Additional meetings of the Board may be called by the President or by the written request of a majority of the Board, provided that a written notice is sent to each Director at least 10 days before the meeting.

SECTION 8. QUORUM AND VOTING.

A. A quorum shall consist of a majority of the Board.

B. Unless otherwise specifically provided by these Bylaws, a majority vote of those present and voting shall govern. No proxy voting shall be permitted.

C. On any occasion when a meeting is called and a quorum is not present, the President may conduct valid business by polling the Directors who are present and then polling the absent Directors by telephone or other electronic means.

D. The President may request action by the Board between meetings by directing other Officers or Association staff to poll the Directors by mail ballot, telephone, teleconferencing, facsimile transmission, electronic means, or by any other means accessible to the Directors. Action taken by such alternative means by a majority of the Board shall constitute a valid action and shall be reported at the next meeting of the Board.

SECTION 9. VACANCIES. By majority vote of those present and voting, the Board may fill vacancies that occur in Director positions by electing an individual to fill the vacancy until the next annual Delegate Assembly, in accordance with Board policy. At that time, a candidate shall be elected by the annual Delegate Assembly to fill the unexpired term in accordance with Article VI, Section 2D.

ARTICLE VH. OFFICERS

SECTION 1. TITLES. The Officer positions of the Association shall consist of President, President-Elect, two Vice-Presidents , Secretary-Treasurer, and Immediate Past President.

SECTION 2. QUALIFICATIONS, NOMINATION, AND ELECTION OF OFFICERS.

A. Each Officer shall be a duly elected Director [Article VI, Section 2A]. The President shall be a trustee of an Active Member governing board at the time of succession to the office.

B. In accordance with Board policy, Officer nominations shall be submitted by Directors to the Nominations Committee and the Committee shall determine which candidates will be interviewed for Officer positions.

C. The Nominations Committee shall recommend to the Board at its regular summer meeting a candidate for each Officer position to be filled . The Board shall approve candidates from among recommendations of the Nominations Committee or others interviewed in accordance with Article VII, Section B, and Board policy.

D. Only candidates approved by the Board shall be included on the official ballot for the annual Delegate Assembly.

E. Thereafter nominations for any Officer position subject to election by the annual Delegate Assembly, shall be made by the candidate ' s Delegate, provided the following conditions are met:

(1) The candidate was interviewed for an Officer position by the Nominations Committee in the current year' s process in accordance with Article VII, Section 2B, and (2) The candidate's intent and consent to run for the position by this alternate means is received in the Austin office of the association five days prior to the annual Delegate Assembly.

F. The annual Delegate Assembly shall elect a person to fill each Officer position in which an expiring term or a vacancy exists. If there is more than one nominee for any Officer position, nominees shall comply with rules and procedures adopted by the annual Delegate Assembly at the start of the meeting.

G. If there is more than one nominee for an Officer position, the nominee receiving the majority vote of the Delegates present and voting shall be elected. If no nominee receives a majority vote of the Delegates, a run-off election shall be conducted between the two nominees receiving the greater numbers of votes. The balloting shall be repeated for that position as many times as necessary to obtain a majority vote for a single nominee.

SECTION 3. DURATION OF OFFICE.

A. The Officers shall be elected each year for terms of one year by the annual Delegate Assembly except for the President-Elect, who shall be elected to serve for a tern of one year as President-Elect, one year as President, and one year as Immediate Past President.

B. The term of office of each Officer position shall begin at the completion of the final official session of the annual convention during which the Officer was elected. Each Officer shall serve until a successor is elected. No Officer shall serve for more than one full elected term in the same office, except the Vice-Presidents who may serve for no more than two consecutive elected terms, and the Secretary-Treasurer who may serve for no more than four consecutive elected terms. An Officer's eligibility to serve a full elected term in an office is unaffected by any time served in that office under the conditions specified in Article VII, Section 5A.

SECTION 4. RESIGNATION AND REMOVAL.

A. An Officer may resign by submitting a letter of resignation to the Board . The resignation shall become effective upon receipt by the Board.

B. Any Officer of the Association may be removed by a two-thirds vote of the Board whenever in its judgment the best interests of the Association would be served.

SECTION 5. VACANCIES.

A. If there is a vacancy for any reason in the office of President, the President-Elect shall succeed to the office immediately and shall have all the powers and perform all the duties of the office. If, at the annual Delegate Assembly, the office of President-Elect is currently filled by an Officerpro lempore, the position of President shall be considered vacant and the position shall be filled by an election by the annual Delegate Assembly.

B. If there is a vacancy for any reason in any other Officer position, upon recommendation by the Nominations Committee, the Board shall elect from the Board an Officer pro tempore to perform the duties of the vacated office until the office is filled by an election by the annual Delegate Assembly. SECTION 6. PRESIDENT.

A. The President shall preside at all Delegate Assembly and Board meetings and perform duties as provided in these Bylaws and as assigned by the Board.

B. The President or the President's representative shall attend the annual convention of the National School Boards Association and shall be one of the Association's voting delegates at the convention.

C. The President shall be the official representative of the Association at state and national meetings. If the President is unable to attend such meetings, then the President' s designee shall represent the Association.

D. The President shall make all appointments with due consideration given to representation by school district size and geographic location.

E. The President shall annually convene the Officers for the purposes of reviewing the Board's evaluation of the performance of the Executive Director and recommending appropriate compensation for the Executive Director to the Board for consideration.

F. The President shall serve as a voting ea officio member of all committees , but shall not be counted in the quorum of any committee.

SECTION 7. PRESIDENT-ELECT.

A. The President-Elect shall serve as chair and voting member of the Planning and Development Committee and shall be counted in the quorum of the Planning and Development Committee.

B. The President-Elect shall be responsible for working with appropriate committees in establishing financial and budgeting priorities for the next year.

C. In the event ofthe President's absence, the President-Elect shall temporarily perform the duties of the President. In the event of the President's inability or refusal to act, the President-Elect may be asked, by unanimous consent of all Officers other than the President, to temporarily perform the duties of the President until such time as the Officers other than the President unanimously consent to withdraw the temporary authorization. When thus acting, the President-Elect shall have the powers of and be subject to all restrictions placed upon the President. The President-Elect shall perform other duties as provided in these Bylaws and as assigned by the President or the Board.

D. Except as provided in Article VII, Section 7A, the President-Elect shall serve as a nonvoting ex officio member of all committees and shall not be counted in the quorum of the committee.

SECTION 8. VICE-PRESIDENTS. The Vice-Presidents shall perform duties as provided in these Bylaws and as assigned by the President or the Board.

SECTION 9. SECRETARY-TREASURER.

A. The Secretary-Treasurer shall serve as chair of the Budget and Finance Committee.

B. The Secretary-Treasurer shall be responsible for the supervision of all funds and securities and financial records of the Association and may delegate any or all of the duties of that office, except the right to vote, to the Executive Director, or designee.

C. The Secretary-Treasurer shall make a report to the annual Delegate Assembly and other reports as requested by the Board. D. The Secretary-Treasurer shall perform duties as provided in these Bylaws and as assigned by the President or the Board.

SECTION 10. IMMEDIATE PAST PRESIDENT.

A. The Immediate Past President shall serve as a voting Director and Officer and as voting member of committees as assigned and shall be counted in the quorums, unless otherwise specified in these Bylaws.

B. The Immediate Past President shall perform all other duties as assigned by the President or the Board.

ARTICLE VIII. COMMITTEES

SECTION 1. STANDING COMMITTEES. Except as otherwise provided in these Bylaws, after the close of the annual convention each year, the President shall appoint the chair, vice-chair, and members of the following Standing Committees : Budget and Finance Committee, Bylaws and Resolutions Committee, Legislative Committee, Member Services Committee, and Planning and Development Committee. Committee members shall be appointed from the Board . Each Standing Conunittee shall have no fewer than seven nor more than 13 members. The quorum of each Standing Committee shal I be one-third of the committee membership but no fewer than four. In making committee appointments , the President shall ensure continuity of committee operation, tin accordance with Board policy.

No individual shall serve on more than two Standing Committees at one time. Standing Committees shall hold at least one meeting during the year and report to the annual Delegate Assembly. The chairs, or designees , shall prepare reports of all meetings.

The Executive Director shall be a nonvoting ex officio member of all Standing Committees and shall not be counted in the quorums.

A. BUDGET AND FINANCE COMMITTEE. The Budget and Finance Committee shall be chaired by the Secretary-Treasurer and shall:

(1) Prepare recommendations on the annual budget for the Board.

(2) Submit to the Board a report and analysis of the finances of the Association.

(3) Recommend an investment policy and monitor the investment of Association funds.

(4) Present an annual fmancial report.

(5) Study the financial implications of expanding or renewing services, programs, service agreements, or administrator contracts for recommendation to the Board.

(6) Prepare recommendations on the annual audit for the Board.

(7) Participate in other activities in accordance with Board policy.

B. BYLAWS AND RESOLUTIONS COMMITTEE. The Bylaws and Resolutions Committee, at the discretion of the President, may be divided into two committees for the purpose of concentrated effort on particular tasks as assigned by the President. The Bylaws and Resolutions Committee shall:

(1) Recommend to the Board for submission to the annual Delegate Assembly any proposed changes in the beliefs of the Association , as provided in Article V, Section 8, and any proposed amendment to these Bylaws, as provided in Article XVII. (2) Recommend to the Board for submission to the annual Delegate Assembly Advocacy Positions in accordance with Article V, Section 9B.

(3) Consider and recommend to the Board resolutions for purposes not associated with Advocacy Positions.

(4) Recommend to the Board proposed Board policies or changes to existing Board policies.

(5) Participate in other activities in accordance with Board policy.

C. LEGISLATIVE COMMITTEE.

The Legislative Committee shall be composed of not more than nine Directors, appointed by the President, and four voting ea: officio members appointed by the LAC, in accordance with Article V, Section 9A(l). The Legislative Committee shall:

(1) Monitor legislative and regulatory activities at the state and federal level.

(2) Coordinate the development of the Association's Advocacy Priorities in accordance with Article V, Section 9A.

(3) Coordinate the implementation of the Association's Advocacy Agenda in accordance with Article V, Section 9.

(4) Participate in other activities in accordance with Board policy.

D. MEMBER SERVICES COMMITTEE. The Member Services Committee shall:

(1) Review and monitor activities associated with the current services and programs available to Texas school districts.

(2) Develop and coordinate recognition and awards programs.

(3) Coordinate planning for Association and national conventions.

(4) Monitor school board education activities.

(5) Participate in other activities in accordance with Board policy.

E. PLANNING AND DEVELOPMENT COMMITTEE. The Planning and Development Committee shall be chaired by the President-Elect and shall:

(1) Review, analyze, and recommend to the Board new programs and services.

(2) Review, analyze, and recommend building and equipment needs.

(3) Annually review, update, and report on an annual basis Association goals and priorities.

(4) Monitor the enhancements of programs and services.

(5) Review the evaluation of existing programs and services.

(6) Review and coordinate the activities of the Board and its standing committees.

(7) Monitor and evaluate the Association's relationship with other associations and entities. (8) Participate in other activities in accordance with Board policy.

SECTION 2. NOMINATIONS COMMITTEE.

A. The Nominations Committee shall be composed of eleven voting Directors, including the President. Six Directors shall serve as alternates, who shall fill committee vacancies in a designated order. The alternates shall also serve in the designated order in the place of an absent or ineligible committee member at any meeting, in accordance with Board policy.

B. Nominations Committee members shall be elected by the Board at the meeting the week of the annual Delegate Assembly and assume their duties at the completion of the final official session of the annual convention.

C. In the election of the Nominations Committee, the board shall give due consideration to representation by school district size, geographic location, and wealth per student,

D. The Immediate Past President shall serve as a member and the chair and shall be counted in the quorum of the Nominations Committee.

E. If the Immediate Past President is unable to serve for any reason, the remaining Nominations Committee members shall elect a chair from among members of the Committee.

F. The President shall serve as a voting ex officio member; the President-Elect shall serve as a nonvoting ex officio member of the Nominations Committee. Neither the President nor the President-Elect shall be counted in the quorum of the Nominations Convnittee.

G. In accordance with Board policy, the Nominations Committee shall meet prior to the regular summer Board meeting to nominate a candidate for each Officer position with an expiring term or vacancy. Nominations shall be submitted to the Board for approval.

H. As soon as feasible after the August 29 deadline for Active Member endorsements and prior to the annual Delegate Assembly, the Nominations Committee shall meet and shall nominate one or more candidates for each Director position to be filled and shall report the nominations to the President and the Executive Director.

I. The slate of nominations shall be prepared as follows:

(1) At least 20 days before the annual Delegate Assembly, or as soon thereafter as feasible, the Executive Director shall provide Active Members and Delegates with the Board's slate of nominees for Officer positions and the Nominations Committee's slate of nominees for each Director position with pertinent biographical information for each nominee.

(2) In the event a Director nominee becomes unable to serve, the Nominations Committee, at the call of its chair, shall select an alternate nominee and notify Active Members and Delegates of the amended report as soon as feasible, but no later than the opening of the annual Delegate Assembly.

(3) In the event an Officer nominee becomes unable to serve, the Board, at the call of the President, shall select an alternate nominee from among the Officer candidates interviewed by the Nominations Committee pursuant to Board policy at the regular summer Board meeting and notify Active Members and Delegates of the amended report as soon as feasible, but no later than the opening of the annual Delegate Assembly. (4) An official ballot listing the names of all Officer and Director nominees, as provided in Article VI, Section 2E, Article VII, Section 2D, and Article VIII, Section 21, shall be prepared before the opening session of the annual Delegate Assembly.

(5) No person may be a candidate for more than one Officer position, and no person may be a candidate for more than one Director position.

SECTION 3. SPECIAL COMMITTEES. The President may appoint special committees as the President deems necessary to properly perform or more effectively carry out the mission and purposes of the Association. Unless the Board has authorized otherwise, such committees shall cease to exist at the completion of the final official session of the annual convention held during the year the special committees were created.

ARTICLE IX. EXECUTIVE STAFF

SECTION 1. EMPLOYMENT. An Executive Director shall be employed by the Board.

SECTION 2. DUTIES.

A. The Executive Director shall manage, supervise, and direct the operations of the Association within the authority delegated by the Board. The Executive Director shall be a nonvoting ex officio member of the Delegate Assembly, Board, and all standing and special committees appointed by the President and shall not be counted in the quorums.

B. The Executive Director, or designee, shall be the custodian of the records and proceedings of the Association and Board and shall see that all notices are duly given as provided in these Bylaws or as required by law.

C. Other executive staff and personnel as may be employed shall undertake such duties, responsibilities, and authority as may be delegated by the Executive Director and shall be responsible to the Executive Director. The Executive Director, or designee, is authorized to employ, supervise, and discharge all personnel.

D. The Executive Director shall sign all authorized contracts and other obligations and undertakings in the name of or on behalf of the Association unless specifically prohibited by these Bylaws or by further resolutions, Board policies, rules, or regulations as may be adopted by the Board. At the discretion of the Board, the Executive Director may be designated to perform the duties of Secretary-Treasurer.

SECTION 3. VACANCY. If there is a vacancy for any reason in the position of Executive Director, the President with the unanimous consent of all other Officers may designate an Acting Executive Director to serve until an Executive Director shall be employed by the Board. The Acting Executive Director shall have all the power and perform all the duties of the Executive Director.

ARTICLE X. FISCAL AND LEGAL PROCEDURES

SECTION 1. FISCAL YEAR. The fiscal year of the Association shall be September 1 through August 31.

SECTION 2. NONCOMPENSATION.

A. No individual acting in the capacity of an Officer or Director shall receive compensation for services rendered. Certain expenses incurred by Officers or Directors in attending to the business of the Association may be paid by the Association, in accordance with Board policy.

B. No Officer or Director shall serve for compensation as an employee, consultant, or independent contractor of the Association. SECTION 3. CONTRACTS . Except as otherwise provided in these Bylaws, the Board may authorize any Officer or agent to enter into contracts and to execute or draw any instruments on behalf of the Association.

SECTION 4. LOANS. No loan shall be contracted on behalf of the Association, and no negotiable paper other than checks shall be issued in its name, except as authorized by the Board.

SECTION 5. DEPOSITS.

A. All funds of the Association shall be deposited to the credit of the Association in such depositories as the Board may select or as may be selected by an Officer or agent designated by the Board.

B. All funds of the Association, except for investment accounts, shall be in depositories covered by the Federal Deposit Insurance Corporation and shall be withdrawn in accordance with procedures specified by the Board.

SECTION 6. INCOME. All Association income shall be collected by an Officer or agent designated by the Board.

SECTION 7. DISBURSEMENTS. All bills, drafts, acceptances , checks, endorsements , or other evidence of indebtedness shall be signed by the Officer or agent designated by Board resolution.

SECTION 8. INVESTMENTS. Funds of the Association may be invested and reinvested in a manner and for purposes in accordance with law and policy.

SECTION 9. DISPOSITION OF SURPLUS FUNDS. Any surplus in excess of normal operating requirements, and in excess of reasonable reserves to be determined by the Board, shall be used to further the purposes of the Association . The Budget and Finance Committee or Planning and Development Committee shall make recommendations to the Board for specific allocations of such funds.

SECTION 10. ANNUAL FINANCIAL REPORT. The Secretary-Treasurer shall provide annually to the Board a report of all receipts and disbursements of Association funds. Subsequently an annual financial report shall be published.

SECTION 11. INCURRING INDEBTEDNESS. No Officer, Director, committee, committee member, or employee of the Association shall incur any indebtedness in the name of the Association or make any commitment involving the Association unless authorized by Board action.

SECTION 12. SURETY BOND. At Association expense, surety bonds shall be secured for the Secretary- Treasurer, Executive Director, and any other Officers or agents of the Association as determined by the Board.

SECTION 13. LEGAL COUNSEL. The Board may retain outside legal counsel to advise it in the legal affairs of the Association.

SECTION 14. AUDIT. The Board shall designate an independent certified public accountant to audit the financial records of the Association and to submit an annual audit report.

SECTION 15. FINANCIAL BOOKS AND RECORDS. Any member of the Association, upon written request, stating the purpose of the request, shall have the right to examine and copy, in person , or by agent, accountant, or attorney, at any reasonable time, for any proper purpose, the financial books and records of the Association relevant to that purpose, at the expense of the member.

SECTION 16. SEAL. The Association may have a seal of such design, as the Board shall adopt. ARTICLE XI. LIMITATIONS OF LIABILITY AND INDEMNITY

SECTION 1. LIMITATIONS OF LIABILITY.

No Director shall be personally liable to the Association for monetary damages for any act or omission in the Director's capacity as a Director; provided, however, that the foregoing provision shall not eliminate or limit the liability of a Director for (1) a breach of Director's duty of loyalty to the Association, (2) an act or omission not in good faith or that involves intentional misconduct or a knowing violation of the law, (3) a transaction from which the Director received an improper personal benefit, whether or not the benefit resulted from an action taken within the scope of the Director's office, or (4) an act or omission for which the liability of a Director is expressly provided by statute. Any amendment or repeal of this Article shall be prospective only and shall not adversely affect any limitation on the personal liability of a Director existing at the time of such amendment or repeal. A Director is entitled to any protections from liability set out in Texas statutes.

SECTION 2. INDEMNIFICATION.

The Association shall defend and indemnify its Board, Officers, and employees to the greatest extent permitted by law.

The Association may purchase insurance providing coverage for the Officers, Directors, and employees. Nothing herein shall be deemed to prevent settlement of any litigation where the settlement is deemed advisable in order to prevent greater expense or cost in the defense or prosecution of such litigation.

Indemnification for any damages or expenses of any Officer, Director, or employee by way of this Article shall apply only to such amounts that are not paid by the errors and omissions insurance (E & 0) provider pursuant to the tenns and conditions of the E & 0 insurance policy purchased in favor of the Association, its Officers, Directors, and employees. The indemnification provided by this Article shall not be deemed to be exclusive of any other rights to which any person indemnified may be entitled under any regulation, agreement, or otherwise. The indemnification provided by this Article shall not be deemed exclusive of any other power to indemnify or right to indemnification that the Association or any person referred to in this Article may have or acquire under state or federal laws. Indemnification shall continue and inure to the benefit of the heirs, executors, successors, and administrators of persons entitled to indemnification under this Article.

In a criminal proceeding, the person may be indemnified only if he or she had no reasonable cause to believe that the conduct was unlawful. The Association shall not indemnify a person who is found liable to the Association or is found liable to another on the basis of improperly receiving a personal benefit from the Association.

ARTICLE XII. COUNCILS

SECTION 1. FORMATION OF COUNCILS. The Board may create Councils to study various aspects of public school operations . The objective of a Council within its specific area of concern shall be to gather information, develop recommendations, and take appropriate steps to implement recommendations.

SECTION 2. ELIGIBILITY. The Board may determine eligibility for participants in the activities of any Council that may be created.

SECTION 3. GOVERNING BODY. Each Council shall have a representative governing body. The President of the Association , or designee, shall be a voting ex officio member of the governing body, but shall not count toward the quorum of the governing body. The Executive Director, or designee, shall be a nonvoting ex officio member of the governing body and shall not count toward the quorum of the governing body. SECTION 4. POLICIES. The governing body of each Council shall administer, through its chair, the business of the Council; shall be responsible for its programs, progress, and activities, and shall establish policies for the conduct of its business, provided that actions of the Council conform to Board policies.

SECTION 5. BOARD PARTICIPATION. The Board may withdraw from further participation whenever it determines that such participation would not be in the Association 's best interests.

SECTION 6. FINANCES.

A. The Executive Director, or designee, may determine fees and charges incurred through a Council's use of Association staff and facilities.

B. Each Council may establish charges for the meetings and individual activities of the Council , provided that all such charges conform to Board policies.

C. All funds relating to the operation and activity of each Council shall be administered through the general fund of the Association and shall be governed by these Bylaws and as may be determined by the Board.

SECTION 7. STAFF LIAISON. The Executive Director shall assign staff to provide assistance and serve as liaison in Council operations and in the coordination of Association and Council activities.

ARTICLE XIII. FOUNDATIONS, TRUSTS, AND OTHER ENTITIES

SECTION 1. ESTABLISHMENT OF FOUNDATIONS, TRUSTS, AND OTHER ENTITIES. The Board may create entities to serve as vehicles for delivering specialized services that benefit public education.

SECTION 2. GOVERNING BOARDS . The governing body of each entity shall be a board appointed in accordance with the bylaws of that entity.

Each board shall be responsible for business affairs of the entity.

The President of the Association , or designee, shall be a voting ex officio member of each board but shall not be counted in the quorum of the board.

The Executive Director, or designee , shall be a nonvoting ex officio member of each board and shall not be counted in the quorum of the board.

SECTION 3. POLICIES. Each board shall establish policies for the conduct of its business . Each entity shall be administered in a manner consistent with its policies, Board policies, and these Bylaws.

SECTION 4. FINANCES. Each board shall determine such charges as may be required to operate and provide services through the Association staff, facilities, and contractors.

SECTION 5. DISSOLUTION. By majority vote, the Board may dissolve at any time any of the entities created pursuant to this Article.

ARTICLE XIV. COOPERATIVE ORGANIZATIONS

The Board may organize and participate in nonprofit associations or other legal entities whose mission and bylaws the Board determines to be consistent with Association beliefs, mission, and these Bylaws. The Board may withdraw from further participation whenever it determines that further participation would not be in the Association's best interest. ARTICLE XV. DISSOLUTION OF THE ASSOCIATION

In the event of dissolution of the Association, dissolution shall be in accordance with the provisions of the Internal Revenue Code Section 501(c)(3), the Articles of Incorporation, and Texas law. Notwithstanding anything contained herein to the contrary, upon dissolution of the Association, assets shall first be used to pay all debts and obligations; remaining funds shall be distributed for Internal Revenue Code Section 501(c)(3) of the public purposes through pro rata distributions to such Association Active Members, which are school districts of the State of Texas as have contributed to the Association and which are Association Active Members for the year(s) of dissolution. The precise formula for distributions and the timing thereof shall be determined by the Board.

ARTICLE XVI. RULES

All proceedings shall be conducted in accordance with the latest edition of Robert's Rules of Order as most recently revised and other rules of procedure consistent with these Bylaws.

ARTICLE XVII. AMENDMENTS

These Bylaws may be amended at the annual Delegate Assembly by a vote of two-thirds of the Delegates present and voting. Proposed amendments may be submitted by Association staff, Board, or Active Members and shall be submitted in writing to the Bylaws and Resolutions Committee, or its designee, by July 1 prior to the annual Delegate Assembly. Proposed amendments received by July 1 shall be studied by the Bylaws and Resolutions Committee. The Bylaws and Resolutions Committee shall formulate recommendations to the Board. The Board shall have the right to affirm or change Bylaws and Resolutions Committee recommendations and to amend the recommendations for presentation to the annual Delegate Assembly. Texas Association of School Boards, Inc. 74-2275519 August 31, 2005 Schedule 7b

Form 990, Part VI, Line 77

A copy of the Restated Articles of Incorporation for Texas Association of School Boards, Inc., as filed with the Secretary of State, follows. Corporations Section E OF Roger Williams P.O.Box 13697 Secretary of State Austin, Texas 78711-3697 co

Office of the Secretary of State

CERTIFICATE OF RESTATED ARTICLES OF

TEXAS ASSOCIATION OF SCHOOL BOARDS, INC. 65145901

The undersigned, as Secretary of State of Texas, hereby certifies that the Restated Articles for the above named entity have been received in this office and have been found to conform to law.

ACCORDINGLY the undersigned, as Secretary of State, and by virtue of the authority vested in the Secretary by law hereby issues this Certificate of Restated Articles.

Dated: 11/14/2005

Effective: 11/14/2005

k^ COD Roger Williams Secretary of State

Come visit us on the internet athttp://www.sos . state .lx.us/ Phone : (512) 463-5555 Fax: (512) 463-5709 TTY:7-1-1 Prepared by : Katy Blaylock Document 108700270003 FZLED the office the SecretaIn ry of State of Texas NOV 14 2005

ARTICLES OF INCORRPPORATION OF Corporations Section TEXAS ASSOCIATION OF SCHOOL BOARDS, INC.

ARTICLE ONE

The name of the corporation is Texas Association of School Boards, Inc., charter number 00651459. The corporation's Delegate Assembly, pursuant to the provisions of Article 1396- 4.06 of the Texas Non-Profit Corporation Act, hereby adopts the following Restated Articles of Incorporation, which accurately copy the Articles of Incorporation and all amendments thereto that are in effect to date and as further amended by such Restated Articles of Incorporation as hereinafter set forth and which contain no other change in any provision thereof.

ARTICLE TWO

Amendments of Articles of Incorporation

The Restated Articles ofIncorporation include the following amendments:

1. Throughout the Articles of Incorporation, the words "Trustee" and "Trustees" are substituted with the words "Director" and "Directors."

2. ARTICLE FIVE, Mission and Purposes. is amended in its entirety to read as follows:

MISSION. The mission of this Corporation shall be recommended by the Board of Directors (Board) in conjunction with the strategic planning process and approved by the Delegate Assembly.

PURPOSES. The purposes of this Corporation shall. be the following:

A. To work for the adequate and equitable financial support ofthe Texas public schools.

B. To conduct independently, or in cooperation with others, seminars, conferences, conventions, courses, research, and other projects in the various aspects of public education.

C. To identify and provide those services that governmental units need and desire thereby lessening the burden of governments.

D. To bring about a spirit of cooperation among all professional groups interested in providing superior educational opportunities for all children in Texas and the United States. E. To work for the advancement of public education in Texas and the United States, and to increase public understanding of the function of school boards and board members in the public educational system.

Cr. To provide current information concerning public education, including changes in school law and developments in educational programs.

Ii To inform school boards about proposed legislation to promote a better working relationship between local boards and the federal and state governments.

I.. To encourage and provide services to relieve the burden of governments by enhancing sound management and fiscal responsibility for the school districts - and other governmental units of Texas as well as school districts and other governmental units of other states in the United States.

J. To do such other things as the Delegate Assembly or the Board may deem appropriate for the accomplishment of these and other purposes to improve public education.

The general purposes are exclusively for educational and charitable purposes within the meaning of Section 501 (c)(3) of the Internal Revenue Code of 1986, as amended, or any successor statute and its regulations as they now exist or as they hereafter may be amended.

This Corporation shall not, except to an insubstantial degree, engage in any activities or exercise any powers that are not in furtherance of the primary or general purposes of this Corporation.

No substantial part of the activities of this Corporation shall be the carrying on of propaganda, or otherwise attempting to influence legislation, and this Corporation shall not participate in, or intervene in (including the publishing or distribution of statements) any political campaign on behalf of any candidate for public office.

3. ARTICLE SEVEN, Directors. is hereby amended to include a list of the Directors as of October 29, 2005, as follows:

Name Address

Katie Reed 7317 Ashton Place, San Antonio, TX 78229-4170 Jim Ash P.O. Box 202303, Arlington, TX 76006-8303 Renard L. Thomas144 Houston Ave., Angleton, TX 77515-4137 Robert R Seward 4632 Sandra Lynn, Mesquite, TX 75150-1045 Rudy Montoya, Jr. 1808 Woodland Ave., Austin, TX 79741-3910- Robert Sepulveda 1501 Edgewood Drive, Weslaco, TX 78596-3431 S. Jimmie Adame 523 Second, Taft, TX 78390-2611 Eddie L. Albin P.O. Box 937, Eldorado, TX 76936-0937 Faye Beaulieu 3529 Paint Brush Lane, Bedford, TX 76021 Bret Begert PO Box 43, Allison, TX 79003-0043 Gloria Casas 12707 South Arroyo Lane, La Feri a, TX 78559 Roberto Garcia 231 Helen Rushing Road, Clint, TX 79836-5904 Viola M. Garcia 7666 Athlone Drive, Houston, TX 77088-5633 Linda L. Griffin 1829 Meadowview Drive, Garland, TX 75043-1004 Manuel Guajardo, Jr. 2108 13th Ave. North, Texas City, TX 77590-5127 Sue Hauenstein 3909 St. Michaels Court, Sugar Land, TX 77479-2927 Kevin H. Hoffman 3830 Richmond Ave., Level 1-West, Houston, TX 77027 Trudy Holder 6800 Washington, Groves, TX 77619-5932 James L. Howard, Sr. 2230 E. Houston, San Antonio, TX 78202-3008 Gary W. Inmon 417 Frank Baum, Schertz, TX 78154-2968 Jerry G. Johnson 914 Mohawk, Burkburnett, TX 76354-2922 Mary Beth King 4105 Camino Drive, Plano, TX 75074-3470 Raul N. Lara P.O. Box 690, Marfa, TX 79843 Maria G. Leal 3703 N. Stewart Road, Mission, TX 78574 Judy G. Needham 5328 Collinwood Avenue, Fort Worth, TX 76107 Lorraine O'Donnell 7109 San Marino, El Paso, TX 79912 Ray Player 455 N. Fritz Swanson Rd., Kilgore, TX 75662 Ron Price 3622 Jamaica, Dallas, IX 75210 Cindy L. Purdy 1701 West Ave 1, Muleshoe, TX 79347-4333 Don Ryan 12706 Timberland Trace, Houston, TX 77065-3343 Mike Sagebiel 1080 Box Canyon Trail, Willow City, TX 78675 Lynn Sperry 3757 (fit 325, McKinney, TX 75069-1177 Pamela Stehle PO Box 875, Yorktown, TX 78164-0875 Sharon Tyler 9 Knotty Pine Place, Texarkana, TX 75503 Sylvester E. Vasquezs Jr. 2426 Westgard Pass, San Antonio, TX 78245 Tamra Waltha]1 555 E. Loop 340, Waco, TX 76705-3469 Michael B. Watkins 1034 CR 273, Cameron, TX 76520-0509 Danny E. Wheat 1990 Shore Line Drive, Abilene, TX 79602 Edd L. White 5510 Castle Top, San Antonio, TX 78218-2809 Sarah Winkler 12731 Palm Desert Lane, Houston, TX 77099-2918 Rick Woolfolk 115 W. College, Denton, TX 76201-3 015 Mack "Mickey" Pierson (voting ex officio) 2442 C.R 1077, Farmersville, Tx 75442

ARTICLE THREE

Each such amendment made by the Restated Articles of Incorporation has been effected in conformity with the provisions of the Texas Non-Profit Corporation Act and such Restated Articles of Incorporation and each such amendment made by the Restated Articles of Incorporation were adopted at a meeting of the Board held on July 30, 2005 at which a quorum of directors were present, and received the vote of a majority of the directors in office, and were adopted at a meeting of the Delegate Assembly held on October 29, 2005 at which a quorum of members were present, and received a two-thirds vote of the delegates assembled as the Delegate Assembly on October 29, 2005.

ARTICLE FOUR

The Articles of Incorporation and all amendments and supplements thereto are hereby superseded by the following Restated Articles of Incorporation, which accurately copy the entire teat thereof and as amended as set forth above:

TSE RESTATED ARTICLES OF INCORPORATION OF THE TEXAS ASSOCIATION OF SCHOOL BOARDS, INC.

ARTICLE ONE Name

The name ofthe Corporation is TEXAS ASSOCIATION OF SCHOOL BOARDS, INC.

ARTICLE TWO Nonprofit Corporation

The Corporation is a nonprofit corporation. No part of the net earnings of the Corporation shall inure to the benefit of, or be distributable to directors, officers, or other private persons, except that the Corporation shall be authorized and empowered to pay reasonable compensation for services rendered and to make payments and distributions in furtherance of the purposes set forth in Article 5 hereof. ARTICLE THREE Duration

The period of its duration is perpetual.

ARTICLE FOUR Registered Office and Agent

The address of the registered office of the Corporation is 7703 North Lamar, Austin, Texas 78752, and the name of its registered agent at such address is James B. Crow.

ARTICLE FIVE Mission and Purposes

MISSION The mission of this Corporation shall be recommended by the Board of Directors (Board) in conjunction with the strategic planning process and approved by the Delegate Assembly. PURPOSES. The purposes of this Corporation shall be the following:

A To work for the adequate and equitable financial support of the Texas public schools.

B. To conduct independently, or in cooperation with others, seminars, conferences, conventions, courses, research, and. other projects in the various aspects of public education.

C. To identify and provide those services that governmental units need and desire thereby lessening the burden of governments.

D. To bring about a spirit of cooperation among all professional groups interested in providing supenor educational opportunities for all children in Texas and the United States.

E. To work for the advancement of public education in Texas and the United States, and to increase public understanding of the function of school boards and board members in the public educational system.

G. To provide current information concerning public education, including changes in school law and developments in educational programs.

R To inform school boards about proposed legislation to promote a better working relationship between local boards and the federal and state governm .

1. To encourage and provide services to relieve the burden of governments by enhancing sound management and fiscal responsibility for the school districts and other governmental units of Texas as well as school districts and other governmental units of other states in the United States.

7. To do such other things as the Delegate Assembly or the Board may deem appropriate for the accomplishment ofthese and other purposes to improve public education.

This Corporation shall not, except to an insubstantial degree, engage in any activities or exercise any powers that are not in furtherance of the primary or general purposes of this Corporation. No substantial part of the activities of this Corporation shall be the carrying on of propaganda, or otherwise attempting to influence legislation, and this Corporation shall not participate in, or intervene in (including the publishing or distribution of statements) any political campaign on behalf of any candidate for public office.

ARTICLE SIX Dissolution

In the event of dissolution of the Corporation, dissolution shall be in accordance with the provisions of the Internal Revenue Code Section 501(c)(3), the Articles of Incorporation, and Texas law. Notwithstanding anything contained herein to the contrary, upon dissolution of the Corporation, assets will first be used to pay all debts and obligations; remaining funds shall be distributed for Internal Revenue Code Section 501(c)(3) of the public purposes through pro rata distributions to such Corporation Active Members which are school districts of the State of Texas as have contributed to the Corporation and which are Corporation Active Members for the year(s) of dissolution. For purposes of the foregoing, a local government is an instrumentality or political subdivision for the State of Texas described in the Interlocal Cooperation Act, and whose income is described in Internal Revenue Code Section 115. The precise formula for distributions, and the timing thereof, shall be determined by the Board.

ARTICLE SEVEN Directors

The current directors are:

Name Address

Katie Reed 7317 Ashton Place, San Antonio, TX 78229-4170 Jim Ash P.O. Box 202303 , Arlington, TX 76006-8303 Renard L. Thomas144 Houston Ave., Angleton, TX 77515-4137 Robert R. Seward 4632 Sandra Lynn, Mesquite, TX 75150-1045 Rudy Montoya, Jr. 1808 Woodland Ave., Austin, TX 78741-3 910 Robert Sepulveda 1501 Edgewood Drive, Weslaco, TX. 78596-3431 S. Jimmie Adame 523 Second, Taft, TX 78390-2611 Eddie L. Albin P.O. Box 937, Eldorado, TX 76936-0937 Faye Beaulieu 3 529 Paint Brush Lane, Bedford, TX 76021 Bret Begert PO Box 43, Allison, TX 79003-0043 Gloria Casas 12707 South Arroyo Lane, La Feria, TX 78559 Roberto Garcia 231 Helen Rushing Road, Clint, TX 79836-5904 Viola M. Garcia 7666 Athlone Drive, Houston, TX 77088-5633 Linda L. Griffin 1829 Meadowview Drive, Garland, TX 75043-1004 Manuel Guajardo, Jr. 2108 13" Ave. North, Texas City, TX 77590-5127 Sue Hauenstein 3909 St. Nfichaels Court, Sugar Land, TX 77479-2927 Kevin H Hoffinan 3830 Richmond Ave., Level 1-West, Houston, TX 77027' Trudy Holder 6800 Washington, Groves, TX 77619-5932 James L. Howard, Sr. 2230 E. Houston, San Antonio, TX 78202-3008 Gary W. Inmon 417 Frank Baum, Schertz, TX 78154-2968 Jerry Gc Johnson 914 Mohawk, Burkburnett, TX 763 54-2922 Mary Beth King 4105 Camino Drive, Plano, TX 75074-3470 Raul N. Lara P.O. Box 690, Marfa, TX 79843 Maria G. Leal 3703 N. Stewart Road, Mission, TX 78574 Judy G. Needham 5328 Collinwood Avenue, Fort Worth, TX 76107 Lorraine O'Donnell 7109 San Marino, El Paso, TX 79912 Ray Player 455 N. Fritz Swanson Rd., Kilgore, TX 75662 Ron Price 3622 Jamaica, Dallas, TX 75210 Cindy L. Purdy 1701 West Ave I, Muleshoe, TX 79347-4333 Don Ryan 12706 Timberland Trace, Houston, TX 77065-3343 Mike Sagebiel 1080 Box Canyon Trail, Willow City, TX 78675 Lynn Sperry 3757 CR 325, McKinney, TX 75069-1177 Pamela Stehle PO Box 875, Yorktown, TX 78164-0875 Sharon Tyler 9 Knotty Pine Place, Texarkana, TX 75503 Sylvester E. Vasquez, Jr. 2426 WestgardPass, San Antonio, TX 78245 Tamra Walthall 555 E. Loop 340, Waco, TX 76705-3469 Michael B. Watkins 1034 CR 273, Cameron, TX 76520-0509 Danny E. Wheat 1990 Shore Line Drive, Abilene, TX 79602 Edd L. White 5510 Castle Top, San Antonio, TX 78218-2809 Sarah Winkler 12731 Palm Desert Lane, Houston, TX 77099-2918 Rick Woolfolk 115 W. College, Denton, TX 76201-3015 Mack "Mickey" Pierson (voting ex officio) 2442 C.R. 1077, Farmersvilie, TX 75442

ARTICLE EIGHT Members

The Corporation shall have members of such classes as may be defined in the Bylaws of the Corporation from time to time, and the general governing body of the Corporation shall be known as the Delegate Assembly, which shall function as more fully described in the Bylaws of the Corporation.

ARTICLE NINE Amendments

No amendment to these Articles of Incorporation or to the Bylaws of the Corporation shall become effective without prior written recommendation of the Board and approval of the Delegate Assembly. r•

ARTICLE TEN Limitation of Liability of Directors

No Director of the Corporation shall be personally liable to the Corporation for monetary damages for any act or omission in the Director's capacity as a Director, provided, however, that the foregoing provision shall not eliminate or limit the liability of a Director for (1) a breach of Director's duty of loyalty to the Corporation, (2) an act or omission not in good faith or that involves intentional misconduct or a knowing violation of the law, (3) a transaction from which the Director received an improper personal benefit, whether or not the benefit resulted from an action taken within the scope of the Director's office, (4) an act or omission for which the liability of a Director is expressly provided by statute, or (5) an act related to an unlawful stock repurchase or payment of a dividend. Any- amendment or repeal of this Article shall be prospective only, and shall not adversely affect any limitation on the personal liability of a Director of the Corporation existing at the time of such amendment or repeal. In addition to the circumstances in which a Director of the Corporation is not personally liable as set forth in the preceding sentences, a Director shall not be liable to the fullest extent permitted by' any amendment to the Texas statutes hereafter enacted that father limits the liability of a Director.

[signatures follow on separate page, remainder of this page intentionally left blank) f

Dated: October 29, 2005

Texas As iation o )chool Boards, Inc. (Corporation)

By: L By: v Art 1 Katie Reed esideM Rudy on a, Sec -Treasurer

STATE OF TEXAS §

COUNTY OF TRAVIS §

Before me, a notary public, on this day personally appeared Katie Reed, known to be the person whose name is subscribed to the foregoing document and, being by me first duly sworn, declared that the statements therein contained are true and correct

Gi a iy baildmwmaaof o ce the of . } Notary PLW Slate o{ Teals

JAN.7, 20D9 I tiulNxw' Notar^ Public, State ofT My Commission expires: j an. '7,--ZOO C

STATE OF TEXAS §

COUNTY OF TRAVIS

Before me, a notary public, on this day personally appeared Rudy Montoya, known to be the person whose name is subscribed to the foregoing document and, being by me first duly sworn, declared that the statements therein contained are true and correct.

Given under my hand and seal of office the _ 11,411 of OV ^Oa S .

Notary Public, State of Texas ,y'"w; C. EILEEN TREVtNO My Commission expires : .ZTLLj $ y O6 (, Notary Public, State of Texas -" FIE My Commission Expires +(July51. 28, 2006 Texas Association of School Boards, Inc. 74-2275519 Related Organizations Schedule 8 August 31, 2005

Form 990, Part VI, Line 80b Exempt/ Non-Exempt

Texas Association of School Boards Legal Assistance Fund Exempt

Texas Association of School Boards Risk Management Fund Exempt-Section 115

Lone Star Investment Pool Exempt

Local Government Purchasing Cooperative Exempt

Texas Learning Technology Group Exempt

First Public, LLC Disregarded Entity 74-2275519 Schedule 9 Texas Association of School Boards, Inc. Relationship of Activities to the Accomplishment of Exempt Purposes August 31, 2005 Form 990, Part VIII

Line 93a-93b These programs, which are substantially related and which contribute importantly to the organization's exempt purpose, assist local school districts and other governmental entities in their risk and cash management activities, thereby causing local school districts and other governmental entities to be more efficient and effective, reducing the burdens on government. (See Form 990, Part I, Line 2 Schedule 1.)

Line 93c Contract Services and Consulting includes revenue from medicaid services, executive search services, strategic planning, human resources, policy administration, parent education, and environmental consulting offered to TASB members. These consulting services support the educational function of public schools and lessen the burdens of government. Also included are revenues from a service agreement to support The Local Government Purchasing Cooperative. These contract services lessen the burdens of government for school districts and other governmental entities.

Line 94 Membership in TASB allows Texas school districts and other governmental entities the opportunity to participate in the various programs, causing them to operate more efficiently and effectively, thereby lessening the burdens of government. It also provides for their involvement and the exchange of ideas for improvement of the educational environment in Texas and in individual public schools and related entities. Certain TASB programs have additional annual service fees for participation.

Line 103b & 103e Seminars/Workshops, Publications, Policy On-line, BoardBook, Appraisal Services, and Other Revenue support the educational function of public schools and related entities and lessen the burdens of government.

Line 103c This revenue is for reimbursement of costs incurred in educational research activities. These activities assist government by providing research that is cost effective, efficient, and confers a benefit upon school districts. Reimbursements are also received for costs incurred in providing contract services and consulting (identified in line 93c) to program members. Texas Association of School Boards, Inc. 74-2275519 Information Regarding Taxable Subsidiaries and Disregarded Entities Schedule 10 August 31, 2005

Form 990, Part IX, Column D

First Public, LLC income consolidated in TASB, Inc.'s 990:

Line 93b 2,703,175 Lone Star Investment Pool Administrative Fee Line 93b 36,789 Municipal Debt Program Line 95 21,620 Interest Income 2,761,584 74-2275519 Schedule 11

Texas Association of School Boards, Inc. Lobbying Expenses and Activities August 31, 2005

Form 990, Schedule A, Part III, Line 1 Form 990, Schedule A, Part VI-B

Lobbying activities consist of communicating the needs of school districts to legislative and executive officials and staff, and communicating with membership to encourage them to influence legislation.

Since staff involved in lobbying activities are also involved in non-lobbying activities, costs have been allocated to lobbying activities based upon a systematic application ofestimated percentages of involvement in lobbying in both legislative and non-legislative periods throughout the year as well as specific identification of some of the costs.

No amounts are expended for political campaign activity. Texas Association of School Boards, Inc. 74-2275519 August 31, 2005 Schedule 12

Schedule A, Part III, Line 2a

Sale, exchange, or leasing of property: During the 2004-05 fiscal year, TASB, Inc. sold a used laptop computer and printer to an outgoing member of the TASB Board of Directors. The equipment was originally purchased for $1,899 in October 2003 and sold in June 2005 for $725. In determining sales price, market research was conducted to establish the fair value of the used equipment. •

Texas Association of School Boards, Inc. 74-2275519 August 31, 2005 Schedule 13

Schedule A, Part VII, Line 51

a(i) Transfers from the reporting organization to a non-charitable exempt organization of cash: (b) Amount Involved (c) Name of Organization (d) Description of Transaction $492,000 Thrivent Financial for During 2004-05, TASB secured a loan commitment to Lutherans finance the acquisition of an office building under construction. The loan commitment was entered into between TASB and Thrivent Financial for Lutherans, a 501 (c)(8) organization. Two transfers were made to Thrivent during 2004-05, the loan origination fee and earnest money deposit. Both transfers are reflected on Form 990, Part IV, Line 53 - Prepaid Expenses. The building was completed and the loan was funded in January 2006.

Other transactions:

b(iii) Rental of facilities, equipment, or other assets (b) Amount Involved (c) Name of Organization (d) Description of Transaction $950 Texas Association for TASN was an exhibitor at TASB' s joint annual convention School Nutrition (TASN) and paid a fee for booth space.

b(iv) Reimbursement arrangements (b) Amount Involved (c) Name of Organization (d) Description of Transaction $98,493 Texas Association of School LAF reimburses TASB for administrative costs that are Boards - Legal Assistance incurred on behalf of LAF. Fund LAF $10,000 Texas Association of School TASB pays TASA for their sponsorship of the annual Administrators (TASA) Human Resource Services salary survey. $15,104 Texas Association of School TASB and TASPA jointly sponsor the Personnel Personnel Administrators Training Academy each year. Amount shown is (TASPA) TASPA's share of the net revenue.

b(vi) Performance of services or membership or fundraising solicitations (b) Amount Involved (c) Name of Organization (d) Description of Transfer $580,391 Texas Association of TASB and TASA hold a joint annual convention each year, School Administrators sharing the associated revenue/expenses . Amount shown is (TASA) TASB' s share of the net revenue. t

Form 8868 Application for Extension of Time To File an ^~^{ Nov. December 2004) Exempt Organization Return OMB No. 1545-1709 of the Treasury Department - File a separate application for each return. Internal Revenue Service • If you are filing for an Automatic 3-Month Extension, complete only Part I and check this box ...... ` q • if you are filing for an Additional (not automatic) 3-Month Extension, complete only Part li (on page 2 of this form). Do not com lete Partll unless you have alread been granted an automatic 3-month extension on a reviousl y filed Form 8868. Automatic 3-Month Extension of Time- Only submit original (no copies needed)

Form 990-T corporations requesting an automatic 6-month extension---check this box and complete Part I only . . . ` q All other corporations (including Fort 990-C filers) must use Form 7004 to request an extension of time to file Income tax returns. Partnerships, REM)Cs, and trusts must use Form 8736 to request an extension of time to file Form 1065, 1066, or 1041. Electronic Filing (e-fiie). Form 8868 can be filed electronically If you want a 3-month automatic extension of time to file one of the returns noted below (6 months for corporate Form 990-T filers). However, you cannot file it electronically if you want the additional (not automatic) 3-month extension, instead you must submit the fully completed signed page 2 (Part 11) of Form 8868. For more details on the electronic filing of this form, visit www.irs.gov/eflie. Employer Type or Name of Exempt Organization identification number print Texas Association of School Boards, Inc. 74 :. 2275519 File by the Number, street, and room or suite no. If a P.O. box, see instructions. due date for filing your P.O. Box 400 return see code. For a foreign address, see Instructions. Instructlons City, town or post office, state , and Z]P Austin, Texas 78767-0400 Check type of return to be filed (file a separate application for each return): q3 Form 990 q Form 990-T (corporation) q Form 4720 q Form 990-BL q Form 990-T (sec. 401(a) or 408(a) trust) q Form 5227 q Form 990-EZ q Form 990-T (trust other than above) q Form 6069 q Form 990-PF q Form 1041-A q Form 8870

Director of Finance • The books are in the care of ^.Dept= ------

f ) Telephone No. 0- (--512 ) 467-0222 FAX No. --.$12 467.3515 e If the organization does not have an office or place of business in the United States, check this box ...... P q • If this is for a Group Return, enter the organization's four digit Group Exemption Number (GEM) . If this is for the whole group, check this box . If it is for part of the group, check this box q and attach a list with the names and EiNs of all members the extension will cover. - I I request an automatic 3-month (6-months for a Form 990-T corporation) extension of time until A!?!i^ ------20 D6, to filethe exempt organization return for the organization named above. The extension Is for the organization's return for: I'-- q calendar year 20 .._ or September 1 - -- , and ending ------August ------20 95. ► 0 tax year beginning 20 04,

2 If this tax year is for less than 12 months, check reason: q Initial return q Final return q Change In accounting period

3a if this application is for Form 990-BL, 99D-PF, 990-T, 4720, or 6069, enter the tentative tax, less any nonrefundable credits. See instructions ...... $ - b If this application is for Form 990-PF or 990-T, enter any refundable credits and estimated tax payments made. Include any prior year overpayment allowed as a credit ...... $ c Balance Due. Subtract line 3b from line 3a. Include your payment with this form, or, If required, deposit with FTD coupon or, if required, by using EFTPS (Electronic Federal Tax Payment System): See Instructions ...... $ Caution. If you are going to make an electronic fund withdrawal with this Form 8868, see Form 8453-EO and Form 8879-EO for payment instructions.

For Privacy Act and Paperwork Reduction Act Notice, see Instructions. Cat No. 274160 Form 8868 (Rev. 12-2004) Form 8868 (Rev 12-2004) Texas Association of School Bo ards, Inc. 74-2275519 Paget o If you are filing for an Additional (not automatic) 3-Month Extension , complete only Part Il and check this box ...... Lj Note . Ohly complete Part II if you have already been granted an automatic 3-month extension on a previously filed Form 8868. • If you are filing for an Automatic 3-Month Extension , complete only Part I (on page 1 ) . 1R.1 (not automatic) 3-Month Extension of Time - Must File Original and One Copy. Name of Exempt organization Employer Identification number

Type or print Inc r9-ZL lJJ Number, street, and room or suite number, if a P.O. box, see Instructions. For IRS use only File due date for filing ft P. 0. Box 400, return . See insWcbons. Cily, town or post office, state, and ZIP code For a foreign address , see uistructlons. Austin Tx 78767-0400 Check type of return to be filed (File a separate application for each return): Form 990 Form 990-T (section 401(a) or 408(a) trust) Form 5227 Form 990-BL Form 990-T (trust other than above) Form 6069 Form 990-EZ Form 1041-A Form 8870 4720 STOP: Do not complete Part Il if you were not already granted an automatic 3-month extension on a previously filed Form 8868. • The books are in care of Fin_ance Dept. Director ______Telephone No. (5121467_0222 FAX No. 0- (512)467_3515------• If the organization does not have an office or place of business in the United States , check this box ...... • If this is for a Group Return , enter the organizations four digit Group Exemption Number (GEN) ..... N /A . If this is for the whole group , check this box ... . If it is part of the group , check this box ... Q and attach a list with the names and EINs of all members the extension is for. 4 1 request an additional 3-month extension of time until Jul 17 20 0 6 . 5 For calendar year or other tax year beginning Se 20 a d ending Auq 31 20 0 5 , 6 If this tax year is for less than 12 months, check reason: Initial return 13 Final return UChange in accounting period 7 State in detail why you need the extension ... Additional time is needed to prepare a ------complete------and accurate return. ------8a If this application is for Form 990-BL , 99D-PF, 990-T, 4720, or 6069, enter the tentative tax, less any nonrefundable credits. See instructions ...... $ 0. b If this application is for Form 990-PF, 990-T, 4720, or 6069, enter any refundable credits and estimated tax payments made. Include any prior year overpayment allowed as a credit and any amount paid previously with Form 8868 ...... _...... 0. c Balance Due. Subtract line 8b from line 8a. Include your payment with this form, or, if required, deposit with FTD coupon or, if required, by using FFl'PS (Electronic Federal Tax Payment System). See instructions .... . 0. Signature and Verification

Under penalties form, Including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and car form.

Title TASB, Inc. or Date r 04/02/06 Notice to Applicant - To be Completed by the IRS ha pproved this application . Please attach this form to the organization 's return. We have not approved this application . However, we have granted a I10-day grace period from the later of the date shown below or the due date of the organization's return (including any prior extensions). This grace period is considered to be a valid extension of time for elections otherwise required to be made on a timely filed return. Please attach this form to the organization's return. We have not approved this application After considering the reasons stated in item 7, we cannot grant your request for an extension of time to file . We are not granting a 10-day grace period. We cannot consider this application because it was filed after the extended due date of the return for which an extension was requested. R Other: sy: Director Date Alternate (Nailing Address - Enter the address if you want the copy of this application for an additional 3-month e^i etr^mk^; c address different than the one entered above . AIti GI'toiu K^lftr^ Name

Number and street (,ncJude suite , room , or apartment number) or a P.O. box number Type or print City or town, province or state , and country (mciuding postal or ZIP code) SLIPS tLISSl0I) PROCESSING.OGDEi

BAA FJFZD502 01104/05 Form 8868 (Rev 12-2004)