2021-02-15T10:58:23-06:00 2020-03-31 410746749 CLIFTONLARSONALLEN LLP 227 WEST TRADE STREET SUITE 800 CHARLOTTE NC 28202 990 2019-04-01 540524902 COVENANT WOODS COVE 8045698000 7090 COVENANT WOODS DRIVE MECHANICSVILLE VA 23111 ERIK MAURITSEN CFO 8045698173 2021-02-10 1 JOHN NORMAN P01506766 7049985200 2021-02-08 2019 2022-09-23 18:48:47Z JOHN DWYER 7090 COVENANT WOODS DRIVE MECHANICSVILLE VA 23111 33690391 0 X WWW.COVENANTWOODS.COM X 1901 VA NOT-FOR-PROFIT CONTINUING CARE RETIREMENT COMMUNITY. 14 14 415 254 29248 28024 190278 404800 24565462 27320032 1704951 2603480 426300 553387 26886991 30881699 392438 334492 0 0 11849573 13993715 0 0 148834 16214265 19226118 28456276 33554325 -1569285 -2672626 179240016 173785224 151744295 153996316 27495721 19788908 X IT IS THE MISSION OF COVENANT WOODS, A NOT-FOR-PROFIT CONTINUING CARERETIREMENT COMMUNITY, TO PROVIDE OUR RESIDENTS WITH EXCEPTIONAL CARE,QUALITY OF LIFE, AND SECURITY AND COMFORT IN KEEPING WITH THE BENEVOLENT VISION OF OUR METHODIST AND PRESBYTERIAN FOUNDERS IN 1883. 1 0 23096417 334492 26229436 COVENANT WOODS (CW), A VIRGINIA NONSTOCK CORPORATION FOUNDED IN OCTOBER, 1883, IS A NOT-FOR-PROFIT CONTINUING CARE RETIREMENT COMMUNITY IN MECHANICSVILLE, VA. CW CONSISTS OF 231 INDEPENDENT LIVING UNITS, 60 ASSISTED LIVING UNITS, AND 62 LICENSED NURSING BEDS. THE COST TO OPERATE CW DURING FY2020 APPROXIMATES $31,864,723. CW IS A NOT-FOR-PROFIT SENIOR LIVING COMMUNITY OFFERING ACTIVE LIFESTYLES, PERSONAL FREEDOM IN DAILY LIFE, AND FINANCIAL AND PHYSICAL SECURITY WITHIN AN EXTENSIVE CONTINUUM OF CARE. LOCATED ON 90 PRIVATE ACRES, COVENANT WOODS' HANOVER COUNTY CAMPUS FACILITATES A BROAD WELLNESS PROGRAM INCLUDING EXTENSIVE WALKING TRAILS AND OUTDOOR ACTIVITY SPACES, AS WELL AS MUSICAL PERFORMANCES, LECTURES, CLASSES, AND SOCIAL GATHERINGS. (CONTINUED ON SCHEDULE O)COVENANT WOODS PROVIDES MAINTENANCE-FREE LIVING WITH INTERIOR AND EXTERIOR MAINTENANCE, LAWN CARE AND SNOW REMOVAL, AND HOUSEKEEPING INCLUDED. NUMEROUS RESOURCES ARE AVAILABLE TO RESIDENTS INCLUDING FOUR DIFFERENT DINING VENUE CHOICES IN INDEPENDENT LIVING, PRIVATE DINING ROOMS, A FITNESS CENTER AND INDOOR SALTWATER SWIMMING POOL, GAME AND EVENT SPACES, BILLIARDS ROOM, ART STUDIO, GARDENING AREAS, WOOD WORKING AND POTTERY SHOPS, AND A PAVED WALKING TRAIL SURROUNDING A STOCKED POND. COVENANT WOODS OFFERS TRANSPORTATION SERVICES, 24-HOUR SECURITY AND A PERSONAL EMERGENCY ALERT SYSTEM, THERAPY, AND CLINIC SERVICES. 648845 1090596 IN JANUARY 2020, COVENANT WOODS ACQUIRED ADVANCE CARE LLC, A HOME HEALTH AGENCY LOCATED IN CHESTERFIELD COUNTY. ADVANCE CARE SERVES THE HOME HEALTH NEEDS FOR INDIVIDUALS WITHIN A 50-MILE RADIUS OF ITS OFFICE LOCATION, WHICH INCLUDES ALL OF THE METRO RICHMOND AREA. THEY ARE BOTH MEDICARE AND MEDICAID CERTIFIED AND ARE ACCREDITED BY JCHAO. THEIR SERVICES ARE ALSO OFFERED TO RESIDENTS OF COVENANT WOODS WHO QUALIFY AND REQUEST THESE SERVICES. 23745262 1 1 0 1 0 0 0 0 0 0 1 1 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 112 0 415 1 1 1 0 0 0 0 0 0 0 0 0 0 0 X 14 14 0 0 1 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 VA X ERIK MAURITSEN 8045698002 7090 COVENANT WOODS DR MECHANICSVILLE VA 23111 MICHAEL CARTER CHAIR 1.00 X X 0 0 0 EMILY BENNETT VICE CHAIR 1.00 X X 0 0 0 MICHAEL REYNOLD ESQ SECRETARY 1.00 X X 0 0 0 ROGER BOWERS BOARD MEMBER 1.00 X 0 0 0 BRANDON ARMOR BOARD MEMBER 1.00 X 0 0 0 CHARLES GRAVES BOARD MEMBER 1.00 X 0 0 0 KAREN COOK BOARD MEMBER 1.00 X 0 0 0 DAVID FULLER BOARD MEMBER 1.00 X 0 0 0 JACK HILL BOARD MEMBER 1.00 X 0 0 0 GLENN MILLICAN BOARD MEMBER 1.00 X 0 0 0 THELMA WATSON BOARD MEMBER 1.00 X 0 0 0 W CANOVA PETERSON BOARD MEMBER 1.00 X 0 0 0 NATALIE KENT BOARD MEMBER 1.00 X 0 0 0 MICHAEL SMITH BOARD MEMBER 1.00 X 0 0 0 JOHN E DWYER JR PRESIDENT/CEO 40.00 1.00 X X 324796 0 58361 ERIK MAURITSEN CFO 40.00 1.00 X 221498 0 21588 CARRIE DAVIS ADMINISTRATOR 40.00 X 149099 0 34753 ELIZABETH RICHARDSON DIRECTOR OF MARKETING AND 40.00 X 128550 0 30952 MICHAEL SCHEFF DIRECTOR OF DINING 40.00 X 132272 0 19643 TOM DIEHL DIRECTOR OF IT 40.00 X 130337 0 36613 EMILY ROBINSON ENDERT DIRECTOR OF HUMAN RESOURCE 40.00 X 114250 0 36613 1200802 0 238523 9 0 1 0 HENDERSON INC 5806 MOORETOWN ROAD WILLIAMSBURG VA 23187 CONSTRUCTION 2631162 PFG - PERFORMANCE FOOD SERVICE 7420 RANCO ROAD RICHMOND VA 23228 FOOD SERVICES 1099738 VA INTEGRATED COMMUNICATION 5361 CLEVELAND STREET VIRGINIA BEACH VA 23462 IT INFRASTRUCTURE IMPROVEMENT 800969 DIRECT SUPPLY PO BOX 88201 MILWAUKEE WI 53288 FURNITURE, FIXTURES AND EQUIPMENT 367784 COMMERCIAL ONE ELECTRICAL CONTRACTORS 820 YOUNG STREET RICHMOND VA 23222 IT INFRASTRUCTURE IMPROVEMENT 333752 25 404800 404800 RESIDENTIAL SERVICES 623990 15031135 15031135 HEALTHCARE SERVICES 624100 11066213 11066213 HOME HEALTH SERVICES 621610 1090596 1090596 RESIDENT SERVICES 812900 132088 132088 27320032 1337375 29248 1308127 30050 0 30050 30050 30050 4074797 2083600 725092 1991197 -725092 1266105 1266105 MEAL/FOOD REVENUE 722513 418332 418332 MISCELLANEOUS INCOME 900099 84335 84335 DRUGS/MEDICAL SUPPLIES 900099 20670 20670 523337 30881699 27320032 29248 3127619 334492 334492 623916 187175 436741 10111236 7428726 2593903 88607 351450 229619 115955 5876 2073059 1810127 239797 23135 834054 593524 232065 8465 295762 295762 47319 47319 97278 97278 675840 183090 492750 191540 13381 178159 4352270 3479957 851273 21040 39513 39513 2453612 2426492 27120 39899 4901 34998 81884 5569 74604 1711 4110268 2647930 1462338 6127620 3912208 2215412 368025 360871 7154 MISCELLANEOUS 345288 127200 218088 33554325 23745262 9660229 148834 49074 298650 1106353 1378092 4607 4470 1299962 1898740 28382 50488 258281 265409 163765184 40285099 120944020 123480085 37055276 30106609 15806584 11344003 2174930 2000328 512547 2958350 179240016 173785224 4172773 3723448 53284364 56393962 89185843 88970763 168802 417383 4932513 4490760 151744295 153996316 X 23818936 16410603 3676785 3378305 27495721 19788908 179240016 173785224 X -2672626 -4889395 -144792 X X 0 1 X 1 0 X 344686 421666 245172 190278 404800 1606602 21008390 22445183 24046719 24565462 27320032 119385786 349246 326050 338186 395484 523337 1932303 21702322 23192899 24630077 25151224 28248169 122924691 0 0 0 122924691 1637134 1354833 1478252 1951793 1338177 7760189 5637 4246 -8701 29248 30430 1642771 1359079 1478252 1943092 1367425 7790619 23345093 24551978 26108329 27094316 29615594 130715310 0.94040 0.93060 0.05960 0.06930 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 436 436 0 PART II-B, LINE 1: THE ORGANIZATION IS A MEMBER OF LEADINGAGE VIRGINIA. A SMALL PORTION OF THE DUES PAID TO THIS ORGANIZATION HAS BEEN ALLOCATED TO LOBBYING EXPENDITURES CONDUCTED BY THESE ORGANIZATIONS. 0 1 X 4734221 4734221 140645070 31149027 109496043 6888440 3252503 3635937 7933642 4036204 3897438 3563811 1847365 1716446 123480085 2012 SERIES BOND TRUSTEE FUND 3176 C SIGULER GUFF DISTRESS OPP FUND III, L.P. 433203 C LINGERFELT FUND 629711 C PORTFOLIO ADVISORS 650320 C NORTHGATE IV, L.P. 800112 C PRINCIPAL FUND 943419 C INTEREST FUND 1107551 C PERMANENTLY RESTRICTED TRUSTS 1192953 C RESERVE FUND 5583558 C 11344003 REFUNDABLE ADVANCE FEES 4435963 OTHER LIABILITIES 297 ADVANCED DEPOSIT FEES 54500 4490760 X 31243153 0 31243153 -361454 -361454 30881699 33219833 0 33219833 334492 334492 33554325 PART IV, LINE 2B: FUNDS HELD BY ESCROW AGENT ARE ALL ADVANCED FEE DEPOSITS FROM POTENTIAL FUTURE RESIDENTS FOR UNITS THAT ARE NOT YET AVAILABLE FOR OCCUPANCY. THESE DEPOSITED FUNDS ARE KEPT AND MAINTAINED IN AN ACCOUNT SEPARATE FROM THE ORGANIZATION'S BUSINESS ACCOUNT AS REQUIRED BY LAW. PART X, LINE 2: THE ORGANIZATION IS A TAX-EXEMPT ORGANIZATION AS DEFINED IN SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. THE ORGANIZATION'S INCOME TAX RETURNS ARE SUBJECT TO REVIEW AND EXAMINATION BY FEDERAL AND STATE AUTHORITIES. THE ORGANIZATION IS NOT AWARE OF ANY ACTIVITIES THAT WOULD JEOPARDIZE ITS TAX-EXEMPT STATUS OR ANY ACTIVITIES THAT ARE SUBJECT TO TAX ON UNRELATED BUSINESS INCOME, EXCISE OR OTHER TAXES. THE ORGANIZATION FOLLOWS THE INCOME TAX STANDARD FOR UNCERTAIN TAX POSITIONS. THIS STANDARD CLARIFIES THE ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES RECOGNIZED IN AN ORGANIZATION'S FINANCIAL STATEMENTS. THIS STANDARD PRESCRIBES RECOGNITION AND MEASUREMENT OF TAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN ON A TAX RETURN THAT ARE NOT CERTAIN TO BE REALIZED. THIS STANDARD HAD NO IMPACT ON THE ORGANIZATION'S FINANCIAL STATEMENTS FOR THE YEARS ENDED MARCH 31, 2020 AND 2019. PART XI, LINE 4B - OTHER ADJUSTMENTS: BENEVOLENT ASSISTANCE 334,492. LOSS ON DISPOSAL OF ASSETS -728,490. REVENUE FROM TEMPORARILY RESTRICTED ASSETS 155,317. AMOUNTS RELEASED FROM RESTRICTIONS -122,773. PART XII, LINE 4B - OTHER ADJUSTMENTS: BENEVOLENT ASSISTANCE 334,492. 1 COVENANT PROGRAM/BENEVOLENT CARE 6 334492 PART I, LINE 2: COVENANT WOODS PROVIDES BENEVOLENCE FUNDS UNDER THE COVENANT PROGRAM TO RESIDENTS WITHIN THE ORGANIZATION WHO CAN NO LONGER AFFORD TO PAY FOR THEIR CARE. THE PROGRAM IS DESIGNED TO PRESERVE THE DIGNITY OF THE PARTICIPANTS AND TO ENHANCE THEIR QUALITY OF LIFE IN KEEPING WITH THE MISSION OF COVENANT WOODS. THE IDENTITY OF PERSONS RECEIVING COVENANT PROGRAM ASSISTANCE IS STRICTLY CONFIDENTIAL. FROM THE INFORMATION PROVIDED BY THE APPLICANT, A DETERMINATION WILL BE MADE BY THE CFO AND CEO REGARDING WHETHER OR NOT THE RESIDENT QUALIFIES FOR FINANCIAL ASSISTANCE FROM THE COVENANT PROGRAM, AND IF SO, HOW MUCH. ASSISTANCE MAY BE PROVIDED IN TWO FORMS: MONTHLY FEE ASSISTANCE OR MEDICAL EXPENSE ASSISTANCE. 1 X X X X X 0 0 0 0 0 0 0 1 0 JOHN E DWYER JR PRESIDENT/CEO 297896 0 19000 0 7900 0 50095 0 8266 0 383157 0 0 0 ERIK MAURITSEN CFO 206398 0 15000 0 100 0 13355 0 8233 0 243086 0 0 0 CARRIE DAVIS ADMINISTRATOR 138568 0 10431 0 100 0 26520 0 8233 0 183852 0 0 0 ELIZABETH RICHARDSON DIRECTOR OF MARKETING AND 119354 0 9096 0 100 0 22719 0 8233 0 159502 0 0 0 MICHAEL SCHEFF DIRECTOR OF DINING 124332 0 7840 0 100 0 11410 0 8233 0 151915 0 0 0 TOM DIEHL DIRECTOR OF IT 119257 0 10980 0 100 0 28380 0 8233 0 166950 0 0 0 EMILY ROBINSON ENDERT DIRECTOR OF HUMAN RESOURCE 104129 0 10021 0 100 0 24013 0 12600 0 150863 0 0 0 PART I, LINE 7 THE CEO AND THE CFO ARE REVIEWED ANNUALLY BY THE EXECUTIVE COMMITTEE OF THE BOARD. DURING THIS TIME SEVERAL AREAS ARE LOOKED AT IN THE PERFORMANCE OF THE COMPANY OVER THE PAST YEAR SUCH AS NEW STRATEGIC INITIATIVES, INCREASED DONATIONS, EMPLOYEE AND RESIDENT SATISFACTION SURVEY RESULTS, AND NET OPERATING MARGIN RATIO COMPARED TO BUDGET. A BONUS UP TO 20% OF GROSS ANNUAL PAY FOR THE CEO, AND UP TO 15% OF GROSS PAY FOR THE CFO, IS THEN GIVEN BASED ON SCORING OF THESE AREAS. A EDA OF HANOVER COUNTY 541228097 41077CAM7 2012-12-20 101980603 SEE PART VI 0 0 0 B EDA OF HANOVER 541228097 41077CAS4 2018-07-31 30200000 FINANCE AND REFINANCE VARIOUS CAPITAL PROJECTS 0 0 0 A 43620603 101980603 3891200 1826631 68227772 28035000 2014 0 0 1 1 B 30200000 1678054 638182 10950502 18778516 3176 2019 1 0 1 1 A 0 1 1 1 0 0 0 1 B 0 0 0 0 0 0 1 A 0 1 0 0 1 0 0 0 1 B 0 1 0 0 0 0 0 0 1 A 1 B 1 PART I, ISSUE A, COLUMN (F) DESCRIPTION OF PURPOSES THE PURPOSE OF THE BOND PROCEEDS WAS TO FINANCE THE ACQUISITION, CONSTRUCTION, AND EQUIPPING OF 106 INDEPENDENT LIVING UNITS, ADDITIONAL COMMUNITY LIVING SPACE INCLUDING PARKING AND DINING FACILITIES, RENOVATIONS TO EXISTING FACILITIES AND FINANCE OTHER COSTS ASSOCIATED WITH ISSUANCE OF THE BOND. PART II, COLUMN A, LINE 12 THE BOND ISSUE WAS STRUCTURED AS A DRAW DOWN. THEREFORE, OTHER UNSPENT PROCEEDS SHOWN ON LINE 12 REPRESENT FUNDS THAT ARE AVAILABLE, BUT HAVE NOT BEEN ACCESSED BY THE ORGANIZATION. FORM 990, PART III, LINE 2 ADDED HOME HEALTH SERVICES THROUGH THE ACQUISTION OF ADVANCE CARE. FORM 990, PART VI, SECTION A, LINE 4 THE ORGANIZATION AMENDED ITS BYLAWS AND ARTICLES OF INCORPORATION TO REFLECT THE ADDITION OF HOME HEALTH CARE SERVICES TO ITS PURPOSE. FORM 990, PART VI, SECTION B, LINE 11B A COPY WAS SENT TO EACH BOARD MEMBER, WHICH INCLUDES FINANCE COMMITTEE MEMBERS, REQUESTING COMMENTS OR QUESTIONS TO BE DIRECTED TO THE CFO WITHIN 10 DAYS. THE 990 WAS FILED WITH THE IRS AFTER SUCH TIME. FORM 990, PART VI, SECTION B, LINE 12C THE BOARD IS POLLED ANNUALLY, AND SURVEYS ARE COLLECTED BY THE EXECUTIVE SECRETARY AND CHECKED FOR COMPLIANCE WITH THE POLICY. FORM 990, PART VI, SECTION B, LINE 15 THE CEO IS EVALUATED ANNUALLY BY THE EXECUTIVE COMMITTEE OF THE BOARD. EACH COMMITTEE MEMBER DOES AN INDEPENDENT EVALUATION, AND THE COMMITTEE CHAIRMAN COMPILES THE SCORE. THE CEO EVALUATES THE CFO WITH FEEDBACK FROM THE BOARD. THE BOARD CHAIR REQUESTS COMPARATIVE SALARY DATA THAT THE HR DIRECTOR ACQUIRES FROM VARIOUS LONG-TERM CARE GROUPS, WHICH IS USED TO DETERMINE BASE WAGE INCREASES. BONUS AMOUNTS ARE DETERMINED BASED ON HOW WELL THE CEO AND CFO EXECUTE THE STRATEGIC PLAN FOR THE YEAR - MEETING BUDGET, SATISFACTION, DEVELOPMENT, ETC. BONUS AMOUNTS ARE CAPPED AT 10% OF BASE SALARY. THE CFO AND DIRECTOR OF HR REVIEW COMPARATIVE SALARY DATA THAT THE HR DIRECTOR ACQUIRES FROM VARIOUS LONG-TERM CARE GROUPS, WHICH IS USED TO DETERMINE BASE WAGE INCREASES. BONUS AMOUNTS ARE DETERMINED BY THE KEY EMPLOYEES ACHIEVING BENCHMARKS SET BY THE CEO (MEETING BUDGET, COMPLETING PROJECTS, SATISFACTION SCORES ON SURVEYS, ETC.). THESE BENCHMARKS ARE REVIEWED BY THE CEO EACH YEAR AND THE BONUS IS CAPPED AT 10% OF BASE SALARY. FORM 990, PART VI, SECTION C, LINE 18 THE ORGANIZATION'S RECENT FORMS 990 ARE AVAILABLE AT WWW.GUIDESTAR.ORG, UPON REQUEST AT THE ORGANIZATION'S ADMINISTRATIVE OFFICE. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION DOES NOT MAKE ITS GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY AVAILABLE FOR PUBLIC INSPECTION AT THIS TIME. FINANCIAL STATEMENTS ARE PROVIDED TO WWW.EMMA.ORG. FORM 990, PART XI, LINE 9: CHANGE IN FAIR VALUE OF PERPETUAL TRUSTS -144,792. FORM 990, PART XII, LINE 2C OVERSIGHT AND SELECTION PROCESS IS UNCHANGED FROM PRIOR YEAR. PARKER & GREGG LLC 7090 COVENANT WOODS DRIVE MECHANICSVILLE VA 23111 540524902 INVESTMENT HOLDING VA 683294 959603 COVENANT WOODS ADVANCE CARE LLC 585 SOUTHLAKE BLVD UNIT B RICHMOND VA 23236 205417657 HOME HEALTH SERVICES VA 1090713 2870309 COVENANT WOODS