INCORPORATION
Growing God's Kingdom was incorporated in 2004 with Marsha Harris as president and Justin Harris as vice president, according to the secretary of state's office.
It was set up as a for-profit S Corporation, which passes corporate income and losses through to the shareholders, who must report them on their personal income taxes.
By doing it that way, the owners avoid paying taxes twice, at the corporate level and again at the personal level, said Wells.
According to the company's 2006 income-tax records, 50 percent of the shares are owned by Marsha Harris, 49.9 percent by Justin Harris and 0.1 percent are owned by Pauletta Frederick, Marsha Harris' mother.
Pauletta Frederick is listed as secretary and treasurer of Growing God's Kingdom, according to the secretary of state's office.
Growing God's Kingdom receives about 90 percent of its funding from the government, according to the audits. About 60 percent comes from the state, 30 percent from the federal government and 10 percent from tuition. The school's annual budget is about $900,000.
Marsha Harris, who is chief administrator of the preschool, is on the company's payroll.
An Arkansas Better Chance Program grant application, signed by Marsha Harris on March 31, 2014, listed her as receiving salary and fringe benefits of $54,200 per year.