2024-02-19T11:51:30-06:00 2023-04-30 760269860 Blazek & Vetterling 2900 Weslayan Suite 200 Houston TX 77027 990 2022-05-01 760502935 Youth Soccer Club of Montgomery County Inc Dba HTX Soccer Inc YOUT 2812981971 2201 Timberloch 275 The Woodlands TX 77380 Brett Steil Treasurer 2812981971 2024-02-19 1 Brett Steil 999009999 0 Barbara Murphy P01386215 7134395739 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z Brett Steil 2201 Timberloch 275 The Woodlands TX 77380 12166246 0 X www.htxsoccer.com X 1992 TX Providing youth soccer opportunities for all levels in the greater Houston community. 7 7 54 950 0 0 2069217 242467 10356923 11778124 1835 78754 -17411 23529 12410564 12122874 12100 93000 0 0 5283735 5547555 0 0 42041 5766887 6099680 11062722 11740235 1347842 382639 2703270 3085909 0 0 2703270 3085909 Providing youth soccer opportunities for all levels in the greater Houston community. 0 0 9873276 93000 10785779 Training programs: HTX Soccer provides a complete player development pathway for boys and girls through its recreational, youth academy, competitive, development academy, and college programs. Each team is led by a licensed Head Coach responsible for the complete cycle of player development - plan, perform, and evaluate. A Director of Coaching supports the Head Coach. 382500 397618 Camp programs: Our mission is to provide a fun, safe camp experience for youth soccer players of all ages and ability levels, delivered by our professional coaching staff. 281465 594727 Tournaments: HTX Soccer hosts several tournaments yearly, from 3v3 to full-sided events, hosting recreational to national-level teams from all over the country. Our mission is to provide a first-class event for all attending teams, encouraging competition, player development, and sportsmanship. 10537241 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 0 1 1 0 0 0 0 1 0 0 0 0 0 0 0 0 0 1 286 0 1 54 1 0 0 0 0 0 1 1 0 0 0 0 0 0 X 7 7 0 0 0 1 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 X Kimberly Longi 2812982180 2201 Timberloch Suite 275 The Woodlands TX 77380 David Smith President 7.00 X X 0 0 0 Jessica Waters Vice President 3.00 X X 0 0 0 Brett Steil Treasurer 6.00 X X 0 0 0 Kevin Bourbonnais Director 4.00 X 0 0 0 Derek Campbell Director 2.00 X 0 0 0 Morgan Culbreth Director 4.00 X 0 0 0 Julian Eddy Director 2.00 X 0 0 0 Donald M Gemmell Technical Director 50.00 X 224176 0 26844 Kimberly Longi Executive Administrator 50.00 X 132250 0 6906 Randy Evans South Director 50.00 X 183975 0 0 Simon Boddison Soccer Operations Director 50.00 X 182347 0 22969 Dave Dengerink Academy Director 50.00 X 166000 0 9960 Stuart Fitzsimons Competitive Director 50.00 X 159050 0 6362 James S Bell East & Camps Director 50.00 X 129750 0 3165 Andrew Squire Central & Sienna Director 50.00 X 116450 0 6987 Radojica Ristic West Director 50.00 X 116167 0 4937 1410165 0 88130 9 0 1 0 South Texas Youth Soccer Assn 2851 Joe DeMaggio Blvd 23 Round Rock TX 78665 Soccer program consulting 330725 BD Sports Advisory LLC 7 Club Ridge Court The Woodlands TX 77382 Strategic planning 266415 MD Turf Services LLC 7 Club Ridge Court The Woodlands TX 77382 Field maintenance 191835 Timberline Youth Soccer Assn PO Box 130873 The Woodlands TX 77393 Soccer program consulting 181362 Community Athletic Solutions LLC 3311 Washington Rd McMurray PA 15317 Coaching 149700 10 64845 40392 137230 7500 242467 Training 713940 10785779 10785779 Tournaments 713940 538762 538762 Camps 713940 397618 397618 Field use fees 713940 55965 55965 11778124 78754 78754 66901 64845 43372 23529 23529 12122874 11778124 0 102283 93000 93000 363207 67215 273587 22405 481478 481478 4083478 3659487 411576 12415 120398 110622 9386 390 171992 149454 22010 528 327002 274968 49465 2569 12714 12714 2400 2400 80602 60720 19882 215576 187326 27588 662 122116 23982 98134 17139 2750 14389 158106 158106 134039 91432 41223 1384 27225 5063 20474 1688 15616 15597 19 Coaching fees 3243153 3243153 Field expenses 876795 876795 Registration fees 627200 627200 Train'g/tournamts/camps 566999 566999 11740235 10537241 1160953 42041 2703270 3085909 2703270 3085909 0 0 X 2703270 3085909 2703270 3085909 2703270 3085909 382639 0 X 0 0 0 X 134680 103946 152414 2069217 242467 2702724 7940945 8978296 7961318 10356923 11778124 47015606 8075625 9082242 8113732 12426140 12020591 49718330 31250 75000 315995 3900 426145 0 31250 75000 315995 3900 426145 49292185 56271 54160 25698 1835 78754 216718 56271 54160 25698 1835 78754 216718 53602 6452 19652 23529 103235 8185498 9142854 8159082 12427975 12122874 50038283 0.98510 0.98370 0.00430 0.00360 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED Golf tournament 131746 64845 66901 23555 19817 131746 64845 66901 23555 19817 43372 23529 1 Financial assistance 100 93000 Cost Fee reduction Part I, Line 2: HTX Soccer seeks to ensure that athletes may participate in competitive soccer regardless of financial constraints. HTX Soccer provides financial assistance to families in need. X X 1 1 X X 0 0 0 1 0 0 0 1 0 Donald M Gemmell Technical Director 224176 0 0 0 0 0 8138 0 18706 0 251020 0 0 0 Simon Boddison Soccer Operations Director 94176 0 88171 0 0 0 4263 0 18706 0 205316 0 0 0 Randy Evans South Director 146875 0 37100 0 0 0 0 0 0 0 183975 0 0 0 Dave Dengerink Academy Director 125000 0 41000 0 0 0 9960 0 0 0 175960 0 0 0 Stuart Fitzsimons Competitive Director 120000 0 39050 0 0 0 6362 0 0 0 165412 0 0 0 Part I, Line 1a Donald Gemmell and Simon Boddison received indemnification payments for health insurance of $4,558, treated as taxable health insurance compensation. Donald Gemmell's discretionary spending account is used for business expenses, and these amounts are not treated as taxable compensation. Part I, Line 5 Per the board approved agreement, Simon Boddison, operations director, was paid commissions for sponsorships donated to the organization. Part I, Line 7 Randy Evans, Stuart Fitzsimmons and David Dengerink were awarded bonuses based upon performance and merit. The bonuses were approved by the board. Donald M Gemmell - Technical Direc Tech Dir to May 2023 Unauthorized amounts 0 BD Sports Advisory LLC Technical Director owner 178038 Camp bonuses, unapproved rebates/bonuses 0 MD Turf Services LLC Technical Director owner 215540 Field maintenance 0 Houston Youth Development Soccer League LLC Technical Director owner 87900 Youth soccer 0 Schedule L, Part I, Excess Benefit Transactions, (c) Desc. of transaction The Club's Board of Directors discovered multiple reportable transactions during the tax year. The discoveries were made during the start of the negotiation of a new employment agreement with the Club's Technical Director, the senior managerial official of the Club, and after a committee of the Board undertook the negotiations (collectively, the Investigation). Based on its Investigation, the Board became aware of information demonstrating that the Technical Director owned, in whole or in part, multiple limited liability companies through which he was transacting business either directly with the Club or utilizing Club resources. The Board had been unaware of the information demonstrating the Technical Director's ownership of these entities as the Technical Director did not disclose these as related parties under the Club's Conflict of Interest Policy. Not knowing these to be related parties, the Form 990s previously filed by the Club did not identify these entities as related parties. The Club engaged legal counsel and certified public accountants to assist the Club in understanding the scope of its Investigation, seeking repayment, and making this disclosure. The following is a list of the transactions identified by the Board based on its Investigation to date:1. BD Sports Advisors, LLC: The Club believes BD Sports Advisors, LLC ("BD Sports") is owned either solely by the Technical Director or by the Technical Director and his spouse. Based on the Investigation, the Board concluded that the Technical Director directed that bonus compensation payable to him under his employment agreement be paid to BD Sports. Additionally, the Board concluded the amounts paid as bonus payments were calculated by the Technical Director using a formula that caused the bonuses to be inflated in comparison to amounts actually due under his most recent past employment agreement. The Board additionally concluded that the Technical Director directed a portion of cash rebates, which were provided by one of the Club's major vendors for purchases made by the Club, be paid to BD Sports rather than the Club. The Club's Investigation has tentatively identified that during the Club's 2021, 2022, and 2023 tax years, the overpayments of bonuses and diversion amounts total $518,654.73. The amounts identified were not intended or approved by the governing body of the Club to constitute compensation to Mr. Gemmell, and the Club, therefore, believes such amounts to be automatic excess benefit transactions under Treas. Reg. 53.4958-4(c). 2. Player Development Futsal League, LLC: The Club believes Player Development Futsal League, LLC ("Futsal League") to be owned either solely by the Technical Director or by the Technical Director and his spouse. During its Investigation, the Board concluded the Technical Director created Futsal League as an indoor soccer league. The Club's Investigation has tentatively identified that during the Club's 2022 and 2023 tax years, the Technical Director caused a total of $12,520.00 to be paid to third parties by the Club although the expenses were attributable to and should have been paid by Futsal League. Because the Club paid the expenses of a disqualified person, the Club believes such amounts constitute an excess benefit transaction. Based on its Investigation, the Club has also concluded that the Futsal League utilized Club assets (e.g., equipment, marketing, etc.) without payment to the Club; however, the Club lacks records to arrive at a specific dollar amount involved. 3. Houston Youth Development Soccer League, LLC: The Club believes Houston Youth Development Soccer League, LLC ("HYDSL") to be owned either solely by the Technical Director or by the Technical Director and his spouse. During its Investigation, the Board concluded the Technical Director owns the limited liability company through which he created HYDSL as a youth soccer league in which Club teams, along with outside teams, would compete. The Club's Investigation has tentatively identified that during the Club's 2021, 2022, and 2023 tax years, a total of $155,100 was paid by the Club to HYDSL. Based on its Investigation, the Club believes a substantial portion of this amount represents entry fees paid by Club teams or third-party teams run through the Club's registration software; however, the Club lacks records to calculate that amount. In addition to these amounts, the Club's Investigation revealed HYDSL utilized Club assets (e.g., equipment, field time, software, marketing, etc.) without payment to the Club; however, the Club lacks records to arrive at a specific dollar amount involved. 4. Other: Through its Investigation, the Club also concluded that the Technical Director was personally receiving merchandise gift cards and/or award points from two Club vendors tied to the vendor's sales of goods to the Club. The Club's Investigation revealed at least one situation in which BD Sports received a commission on sales by a third-party vendor to the Club. The Club is continuing its Investigation to review information concerning these payments but lacks sufficient information to identify the nature and full amount of these benefits. The Club's Investigation revealed an additional limited liability company of which the Technical Director owned, at relevant times, more than thirty-five percent (35%) and was purportedly providing services to the Club "MD Turf Services, LLC," but not shown as a related party on previously filed Form 990s. Currently, the Club lacks documentation sufficient to determine whether any of the Club's payments to this entity were in excess of fair market value for services provided to the Club, if any.The Club's Investigation demonstrates a total excess benefit determined to date: $531,174.73. [Note: This amount does not include any amounts for these entities' private use of Club personnel and assets which continues to be investigated.]Since learning of the identities of the parties set forth above, the Club has engaged legal counsel and certified public accountants to assist and provide counsel to the Club. Demand has been made on the Technical Director (individually and on behalf of his entities) for repayment of these amounts. The Technical Director has denied wrongdoing, has denied the existence of any excess benefit, and has not made any repayment to the Club. Form 990, Part VI, Section A, line 5 See excess benefit transaction description on Schedule L, Part V. Form 990, Part VI, Section A, line 6 Members of The Club include registered player's parents or legal guardians. Form 990, Part VI, Section A, line 7a Elections for positions of the Board of Director and passage of amendments to the Constitution and By-laws are voted on by members of the Club. Form 990, Part VI, Section A, line 7b See line 7a above. Form 990, Part VI, Section B, line 11b The Form 990 is reviewed by the Executive Administrator and Treasurer. A copy of the Form 990 is provided to the board members before filing. Form 990, Part VI, Section B, line 12c HTX Soccer Board of Directors, Management, and Staff will be given a copy of the Conflict of Interest Policy and Procedures upon election/appointment/or initiation of employment. The Technical Director and the management team will ensure that all Board of Directors, Management, and Staff complete the Conflict of Interest Questionnaire during the first month of their appointment/employment or the institution of this policy. Any individual having a conflict of interest or possible conflict of interest, as discovered through the Conflict of Interest Questionnaire or subsequently, should not vote or use personal influence on the matter. Minutes of meetings should reflect that a disclosure was made and note the abstention from voting. A compiled file, including all submitted Conflict of Interest Statements, shall be maintained at the HTX Soccer offices and accessible only to the Technical Director, members of the Board of Directors, and those assigned by the Technical Director to maintain the file. Any conflict of interest or possible conflict of interest on the part of an individual should be disclosed to the Board of Directors when it becomes a matter of possible HTX Soccer action. The forgoing requirement should not be construed as preventing an individual from briefly stating their position in the matter since their knowledge may assist the Board of Directors and Technical Director. The Conflict of Interest Statement will be renewed annually. Any Conflict of Interest should be disclosed when it occurs. Failure to comply will exclude a Director from Board of Director meetings, participation, or votes and cause disciplinary action for HTX Soccer management or staff. Form 990, Part VI, Section B, line 15 Independent board members conduct a review of other clubs' tax returns for compensation comparison to determine the Technical Director, key employees, and officer compensation; continued review of organizational improvements and positive outcomes in relation to past compensation is also considered. Form 990, Part VI, Section C, line 19 Upon request