2021-09-10T10:45:36-05:00 2020-12-31 910189318 MOSS ADAMS LLP 805 SW BROADWAY STE 1200 PORTLAND OR 97205 990 2020-01-01 911662698 CRAFT3 CRAF 8882312170 42 7TH STREET NO 100 ASTORIA OR 97103 MARK STEVENSON CFO & EXECUTIVE VP 8882312170 2021-09-09 1 MARK STEVENSON 999009999 WENDY CAMPOS P00448102 5032421447 2021-08-31 2 AAL1 IAL1 2020 2022-09-23 18:48:47Z ADAM ZIMMERMAN 54 SW YAMHILL STREET PORTLAND OR 97204 28281569 0 X WWW.CRAFT3.ORG X 1994 WA TO STRENGTHEN ECONOMIC, ECOLOGICAL AND FAMILY RESILIENCE IN PACIFIC NORTHWEST COMMUNITIES. 11 11 76 14 0 0 4918716 19224522 10883480 8657483 28587 -962527 0 0 15830783 26919478 0 0 0 0 7522177 7912723 0 0 334210 7594982 11418030 15117159 19330753 713624 7588725 153288442 176968098 104514349 117939834 48774093 59028264 X TO STRENGTHEN ECONOMIC, ECOLOGICAL AND FAMILY RESILIENCE IN PACIFIC NORTHWEST COMMUNITIES. 0 0 13668713 6437057 PROVIDING BUSINESS SUPPORT, MARKETING ASSISTANCE AND HIGH RISK NON-BANK CREDIT TO BUSINESSES AND INDIVIDUALS IN WASHINGTON AND OREGON; IMPROVING THE PHYSICAL AND ECONOMIC ENVIRONMENTS THROUGH REDUCTION OF WASTE, ENERGY AND CHEMICAL USAGE THROUGH MISSION BASED LENDING. 723948 372918 CRAFT3 PROVIDES EXPERT GUIDANCE IN STRATEGIC PLANNING, ORGANIZATIONAL DEVELOPMENT, ECONOMIC DEVELOPMENT, AND REAL ESTATE DEVELOPMENT. THE SERVICES ARE DESIGNED TO ASSIST BUSINESSES, NON-PROFIT ORGANIZATIONS AND LOCAL GOVERNMENTS IN ACCOMPLISHING THEIR GOALS. 1242020 1026876 CRAFT3'S CLEAN WATER LOAN PROGRAM PROVIDES FINANCING TO REPAIR OR REPLACE EXISTING SEPTIC SYSTEMS FOR PROPERTY OWNERS IN TARGETED AREAS. 1375745 820632 CRAFT3'S CONSUMER ENERGY PROGRAM PROVIDES 100% FINANCING TO IMPLEMENT A WIDE RANGE OF ENERGY EFFICIENT MEASURES FOR PROPERTY OWNERS IN TARGETED AREAS. 1375745 820632 17010426 1 1 0 1 0 0 0 0 1 0 1 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 1 0 0 1 1151 0 1 76 1 0 0 0 0 0 0 0 0 0 0 0 0 X 11 11 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 OR X MARK STEVENSON CFO & EVP 8882312170 42 7TH STREET NO 100 ASTORIA OR 97103 PAUL BENOIT BOARD CHAIR 2.00 1.00 X X 0 0 0 STAN AMY BOARD MEMBER 2.00 1.00 X 0 0 0 LEE WINSLETT BOARD MEMBER 2.00 1.00 X 0 0 0 WALT KRUMBHOLZ BOARD MEMBER 2.00 1.00 X 0 0 0 LINDA NETTEKOVEN BOARD MEMBER 2.00 1.00 X 0 0 0 MARTHA CHOE BOARD MEMBER 2.00 1.00 X 0 0 0 DENISE PRANGER BOARD MEMBER 2.00 1.00 X 0 0 0 MARY HOUGHTON BOARD MEMBER 2.00 1.00 X 0 0 0 RON GRZYWINSKI BOARD MEMBER 2.00 1.00 X 0 0 0 ALAN OKAGAKI BOARD MEMBER 2.00 1.00 X 0 0 0 JO ANN KAUFFMAN BOARD MEMBER 2.00 1.00 X 0 0 0 BRUCE BROOKS BOARD MEMBER 2.00 1.00 X 0 0 0 ANDREA SANDERSON BOARD MEMBER 2.00 1.00 X 0 0 0 CHAD OLNEY BOARD MEMBER 2.00 1.00 X 0 0 0 ADAM ZIMMERMAN PRESIDENT & CEO 40.00 4.00 X 253839 0 10753 MARK STEVENSON CFO & EXECUTIVE VP 40.00 4.00 X 163152 0 24958 RONALENE MONTEITH CHIEF CREDIT OFFICER, EVP 40.00 4.00 X 173146 0 11794 WALTER POSTLEWAIT II EVP - LENDING 40.00 4.00 X 159979 0 1420 TURNER WASKOM COMMERCIAL LENDING DIRECTOR, SVP 40.00 4.00 X 154261 0 5180 JOHN HUNTER SR. BUSINESS LENDER-TEAM MGR, VP 40.00 4.00 X 132514 0 24155 SONYA LYNN CHIEF OPERATING OFFICER, EVP 40.00 4.00 X 140371 0 13948 MARGARET KIRBY DEVELOPMENT DIRECTOR, SVP 40.00 4.00 X 120229 0 12098 SAIF HAKIM SR. BUSINESS LENDER-TEAM MGR, VP 40.00 4.00 X 122145 0 3357 TERESA PARRIETT CONTROLLER, VP 40.00 4.00 X 111109 0 5244 APRIL KNUDSEN CORPORATE SECRETARY 40.00 4.00 X 75387 0 12831 MICHAEL DICKERSON INNOVATION & EVALUATION DIRECTOR 40.00 0.00 X 191476 0 20128 MICHAEL WU IT DIRECTOR 40.00 0.00 X 135161 0 21136 ERIKA LINDHOLM SR. BUSINESS LENDER-TEAM MGR, VP 40.00 0.00 X 122073 0 18320 CHRISTOPHER LARSON INNOVATION & EVAL PROGRAM MGR 40.00 0.00 X 115634 0 20466 GREGORY BRADLEY CREDIT OFFICER, SVP 40.00 0.00 X 113897 0 18237 DESIREE MICHIELS CONSUMER LENDING DIRECTOR, SVP 40.00 0.00 X 116737 0 6805 2401110 0 230830 28 0 1 0 JORDAN RAMIS PC ATTORNEYS AT LAW 2 CENTERPOINTE DRIVE LAKE OSWEGO OR 97035 LEGAL SERVICES 407546 MICHAEL EDWARD FITZGERALD 624 FLEET ST A BROOKINGS OR 97415 LEGAL SERVICES 187000 SCIDPDA BUSH HOTEL COMMERCIAL 409 MAYNARD AVE S SEATTLE WA 98104 MANAGEMENT SERVICES 180571 MOSS ADAMS LLP PO BOX 101822 PASADENA CA 91189 ACCOUNTING 123941 4 8925575 10298947 19224522 LENDING ACTIVITIES 522291 6437057 6437057 CLEAN ENERGY PROGRAM 522291 1026876 1026876 ENERGY PROGRAM 522291 820632 820632 PROGRAM CONSULTING 522291 372918 372918 8657483 399564 399564 1362091 -1362091 -1362091 -1362091 26919478 8657483 0 -962527 1943473 1207303 736170 4341515 4039551 103956 198008 209906 183467 19646 6793 671859 582705 77805 11349 745970 634901 83982 27087 40777 22885 6160 11732 78106 4488 73618 79432 79432 276969 93028 153928 30013 38116 72 38044 36272 24011 11239 1022 456257 305692 136877 13688 533655 357549 160096 16010 59275 24711 31228 3336 5879 2656 3191 32 2850710 2848960 1750 159445 106828 47834 4783 118604 79465 35581 3558 LOAN COSTS 3740918 3741780 -862 MISCELLANEOUS 2802286 2658786 140802 2698 TAXES AND LICENSES 141329 91588 45640 4101 19330753 17010426 1986117 334210 6563179 20714414 17355827 13295323 2687178 764600 1647496 1465415 113639351 109604796 387142 270148 1483841 975250 564721 508591 9578403 25779560 865145 4565251 153288442 176968098 1108667 1322153 335958 145772 103069724 116471909 104514349 117939834 X 48388488 58087981 385605 940283 48774093 59028264 153288442 176968098 X 7588725 314274 443 2350729 X 0 1 X 1 1 1 X 4757253 6964446 5423242 4918716 19224522 41288179 4757253 6964446 5423242 4918716 19224522 41288179 1761526 39526653 175219 193789 221778 454393 399564 1444743 42732922 47576949 0.92500 0.89340 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 79432 79432 19251321 19330753 1000000 250000 0 0 727149 975583 905858 1000000 3608590 5412885 20336 76500 82875 79432 259143 181787 243896 226465 250000 902148 1353222 0 1 X 656076 205214 450862 827765 770036 57729 508591 X PART IV, LINE 2B: THE ESCROW PAYABLE ACCOUNT IS A PASS-THROUGH FOR A FEW BORROWERS, FOR WHICH CRAFT3 COLLECTS INSURANCE OR TAX FUNDS SIMULTANEOUSLY WITH THEIR MONTHLY LOAN PAYMENTS AND THEN REMITS THESE FUNDS FOR THEIR TAXES OR INSURANCE. PART X, LINE 2: INCOME TAXES - CRAFT3 IS EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. SEE NOTE 13 FOR FURTHER DISCUSSION. CRAFT3 IS SUBJECT TO CERTAIN BUSINESS AND OCCUPATION TAXES, WHICH APPLY EQUALLY TO FOR-PROFIT AND NONPROFIT BUSINESSES, IMPOSED BY STATE AND LOCAL TAXING AUTHORITIES. THE TAXES ARE ASSESSED ON A PERCENTAGE OF A PORTION OF CRAFT3'S REVENUES. UNRELATED BUSINESS INCOME TAX, IF ANY, IS INSIGNIFICANT AND NO TAX PROVISION HAS BEEN MADE IN THE ACCOMPANYING CONSOLIDATED FINANCIAL STATEMENTS. CRAFT3 HAD NO UNCERTAIN TAX POSITIONS AS OF DECEMBER 31, 2020 AND 2019. INTEREST AND PENALTIES RELATED TO UNRECOGNIZED TAX BENEFITS ARE RECOGNIZED BY CRAFT3 AS AN ADMINISTRATIVE EXPENSE. DURING THE YEARS ENDED DECEMBER 31, 2020 AND 2019, CRAFT3 RECOGNIZED NO INTEREST AND PENALTIES. X X X X 0 0 0 1 0 0 0 1 0 ADAM ZIMMERMAN PRESIDENT & CEO 235620 0 17952 0 267 0 8334 0 2419 0 264592 0 0 0 MARK STEVENSON CFO & EXECUTIVE VP 153978 0 8907 0 267 0 9708 0 15250 0 188110 0 0 0 RONALENE MONTEITH CHIEF CREDIT OFFICER, EVP 163426 0 9453 0 267 0 10293 0 1501 0 184940 0 0 0 WALTER POSTLEWAIT II EVP - LENDING 151541 0 8171 0 267 0 0 0 1420 0 161399 0 0 0 TURNER WASKOM COMMERCIAL LENDING DIRECTOR, SVP 144840 0 8946 0 475 0 3600 0 1580 0 159441 0 0 0 JOHN HUNTER SR. BUSINESS LENDER-TEAM MGR, VP 124950 0 7350 0 214 0 7877 0 16278 0 156669 0 0 0 SONYA LYNN CHIEF OPERATING OFFICER, EVP 132600 0 7540 0 231 0 3390 0 10558 0 154319 0 0 0 MICHAEL DICKERSON INNOVATION & EVALUATION DIRECTOR 180586 0 10623 0 267 0 11382 0 8746 0 211604 0 0 0 MICHAEL WU IT DIRECTOR 128754 0 6185 0 222 0 4598 0 16538 0 156297 0 0 0 PART I, LINE 5 THE ORGANIZATION HAS A BONUSING PROGRAM BASED ON THE OVERALL FINANCIAL PERFORMANCE OF THE ORGANIZATION ALONG WITH OTHER NON-FINANCIAL FACTORS. THIS BONUSING PROGRAM IS OFFERED TO ALL EMPLOYEES/OFFICERS EXCEPT THE PRESIDENT. THE PRESIDENT'S BONUS IS AT THE SOLE DISCRETION OF THE BOARD. BONUSES WERE AWARDED FOR EMPLOYEES/OFFICERS AND THE PRESIDENT IN 2020. PART I, LINE 7 THE ORGANIZATION HAS A BONUSING PROGRAM BASED ON THE OVERALL FINANCIAL PERFORMANCE OF THE ORGANIZATION ALONG WITH OTHER NON-FINANCIAL FACTORS. THIS BONUSING PROGRAM IS OFFERED TO ALL EMPLOYEES/OFFICERS EXCEPT THE PRESIDENT. THE PRESIDENT'S BONUS IS AT THE SOLE DISCRETION OF THE BOARD. BONUSES WERE AWARDED FOR EMPLOYEES/OFFICERS AND THE PRESIDENT IN 2020. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 IS PREPARED BY A PUBLIC ACCOUNTING FIRM WITH ASSISTANCE FROM THE CONTROLLER IN PROVIDING DATA. THE RETURN IS THEN REVIEWED BY CRAFT3'S CFO AND CONTROLLER AND PROVIDED TO THE BOARD TO REVIEW BEFORE FILING. FORM 990, PART VI, SECTION B, LINE 12C ALL EMPLOYEES AGREE TO ABIDE BY THE CONFLICT OF INTEREST POLICY RULES BY READING THE EMPLOYEE POLICY HANDBOOK UPON HIRE. ALL EMPLOYEES ARE REQUIRED TO ACKNOWLEDGE THAT THEY RE-READ IT EVERY YEAR. FORM 990, PART VI, SECTION B, LINE 15 CRAFT3 UTILIZES A THIRD-PARTY TO EVALUATE WAGES FOR EACH POSITION. THIS INCLUDES MARKET ANALYSIS, PAY GRADE, LENGTH OF SERVICE, JOB DESCRIPTION ANALYSIS, ETC. THESE WILL BE RE-EVALUATED ANNUALLY. ADDITIONALLY, ANNUAL PERFORMANCE PLANS ARE COMPLETED BY ALL EMPLOYEES, REVIEWED AND APPROVED BY THEIR SUPERVISORS. ANNUAL BONUSES (IF ANY THAT YEAR) ARE BASED OFF OF THE RESULTS OF THE INDIVIDUAL'S PERFORMANCE PLAN AS WELL AS COMPANY PERFORMANCE OVERALL. PAY INCREASES ARE DETERMINED BY SUPERVISORS AND THEN APPROVED BY THE MANAGEMENT COMMITTEE, OR DENIED/MODIFIED. FOR THE PRESIDENT, PAY INCREASES AND BONUSES ARE APPROVED BY THE BOARD. THE COMPENSATION APPROVAL PROCESS WAS LAST COMPLETED DURING 2020. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION'S GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE AVAILABLE TO THE PUBLIC UPON REQUEST. ANNUAL AUDITED FINANCIAL STATEMENTS ARE ACCESSIBLE ON THE COMPANY WEBSITE: WWW.CRAFT3.ORG FORM 990, PART XI, LINE 9: CONTRIBUTION OF DRE 2,350,729. CRAFT3 OTHER OWNED WA PROPERTIES LLC 42 7TH STREET 100 ASTORIA OR 97103 872102127 LENDING WA 0 2350729 CRAFT3 CRAFT3 FUTURE FUND 42 7TH STREET 100 ASTORIA OR 97103 455384846 LENDING WA 501(C)(3) LINE 12B, II CRAFT3 0 CRAFT3 INVESTMENT II LLC 42 7TH STREET 100 ASTORIA OR 97103 201179589 LENDING WA CRAFT3 RELATED -1023792 761167 0 1 0.99990 CRAFT3 INVESTMENT X LLC 409 MAYNARD AVENUE S SUITE 200 SEATTLE WA 98104 813835904 LENDING WA N/A RELATED 118827 1193 0 1 0.00010 CRAFT3 INVESTMENT XI LLC 409 MAYNARD AVENUE S SUITE 200 SEATTLE WA 98104 821550360 LENDING WA N/A RELATED 1 899 0 1 0.00010 CRAFT3 INVESTMENT XII LLC 409 MAYNARD AVENUE S SUITE 200 SEATTLE WA 98104 821570912 LENDING WA N/A RELATED 101513 59656 0 1 0.00010 CRAFT3 INVESTMENT XIV LLC 409 MAYNARD AVENUE S SUITE 200 SEATTLE WA 98104 850538526 LENDING WA N/A RELATED 3 699 0 1 0.00010 WINDFARM INVESTMENTS 42 7TH STREET 100 ASTORIA OR 97103 271496444 LENDING WA CRAFT3 C -1403 632 1.00000 1 CRAFT3 INVESTMENT XIII LLC 409 MAYNARD AVENUE S SUITE 200 SEATTLE WA 98104 821583020 LENDING WA N/A C 3 1201 0.00010 0 0 1 0 1 0 0 0 0 0 0 0 1 0 1 1 0 1 0 0