2021-11-02T09:47:27-05:00 2020-12-31 410746749 CLIFTONLARSONALLEN LLP 901 N GLEBE ROAD SUITE 200 ARLINGTON VA 22203 990 2020-01-01 237451693 NATIONAL AUTOMATED CLEARING HOUSE ASSOCIATION NATI 7035613933 2550 WASSER TERRACE NO 400 HERNDON VA 20171 JANE E LARIMER PRESIDENT & CHIEF EXECUTIVE OFFICER 7035613933 2021-10-08 1 JANE LARIMER XXX-XX-XXXX LISA STOVER P01884701 5712279500 2021-09-30 2 AAL1 IAL1 2020 2022-09-23 18:48:47Z NACHA JANE E LARIMER 2550 WASSER TERRACE NO 400 HERNDON VA 20171 27602526 0 X WWW.NACHA.ORG X 1974 DE REPRESENTING OVER 9,000 FINANCIAL INSTITUTIONS ON ELECTRONIC PAYMENT SOLUTIONS. 18 18 72 100 530665 5221 0 0 21332445 17296727 96570 -3494 2187628 5372003 23616643 22665236 0 0 0 0 12634141 12686403 0 0 0 9411930 7812273 22046071 20498676 1570572 2166560 22073513 22849774 10611223 9224737 11462290 13625037 NATIONAL AUTOMATED CLEARING HOUSE ASSOCIATION (NACHA)'S MISSION IS TO PROMOTE THE DEVELOPMENT OF ELECTRONIC SOLUTIONS THAT IMPROVE THE PAYMENT SYSTEM FOR THE BENEFIT OF ITS MEMBERS AND THEIR CUSTOMERS. 0 0 ACH NETWORK ADMINISTRATOR: PRIVATE SECTOR RULEMAKING BODY FOR THE ACH NETWORK WHICH ENABLES THE SETTLEMENT OF ELECTRONIC PAYMENTS AMONGST MORE THAN 9,700 PARTICIPATING FINANCIAL INSTITUTIONS RISK MANAGEMENT, RULES ENFORCEMENT, NETWORK ADVOCACY AND DEVELOPMENT OF ELECTRONIC SOLUTIONS IS ALSO INCLUDED WITHIN THE PROGRAM SERVICES AS ADMINISTRATOR FOR THE ACH NETWORK. NACHA ANNUAL PAYMENTS CONFERENCE: NATIONAL EDUCATION PROGRAM WITH OVER 2,000 PARTICIPANTS, WHICH PROVIDE INFORMATION ABOUT THE LATEST OPERATIONS/MARKETING INNOVATIONS IN THE ACH NETWORK AND ELECTRONIC PAYMENTS. FOR 2020 THE ANNUAL CONFERENCE WAS CANCELLED DUE TO THE GLOBAL PANDEMIC. PUBLICATIONS:SALE OF THE NACHA OPERATING RULES AND GUIDELINES AND OVER 100 OTHER PUBLICATIONS ON ELECTRONIC PAYMENTS. 0 0 0 1 0 0 0 0 0 1 0 0 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 19 0 72 1 1 1 0 0 0 0 0 0 0 X 18 18 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 X PAMELA B MOORE SVP & CHIEF FINANCIAL OFFICER 7035611100 2550 WASSER TERRACE SUITE 400 HERNDON VA 20171 JANET O ESTEP PRESIDENT EMERITUS 20.00 X 760946 0 4151 JANE E LARIMER PRESIDENT & CEO 40.00 X 644521 0 36340 SCOTT M LANG CHIEF OF STAFF 40.00 X 351526 0 33822 PAMELA B MOORE CHIEF FINANCIAL OFFICER 40.00 X 338092 0 33827 MICHAEL HERD SVP ACH NETWORK ADMINISTRATION 40.00 X 323749 0 56552 GEORGE THROCKMORTON MANAGING DIR. STRATEGIC INITIATIVES 40.00 X 260535 0 42327 NAZIH R HAMADE CHIEF TECHNOLOGY OFFICER 40.00 X 246321 0 55866 WILLIAM D SULLIVAN SR. DIRECTOR & GROUP MANAG 40.00 X 235976 0 28533 VICTORIA DAY CHIEF COMMUNICATIONS OFFICER 40.00 X 222916 0 39849 MICHAEL MURPHY SR. DIR & GROUP MGMNT, MEMBER ENG. & PUBLIC RELATI 40.00 X 206086 0 40712 STEPHANIE F PREBISH SR. DIR & GROUP MGMNT, ASSOCIATION SERVICES 40.00 X 186815 0 25598 JOE HUSSEY CHAIRPERSON 2.00 X X 0 0 0 JAMES MORRELL VICE CHAIRPERSON 2.00 X X 0 0 0 LAWRENCE TAFT SECRTARY/TREASURER 2.00 X X 0 0 0 NICHOLAS DRINKWINE DIRECTOR 2.00 X 0 0 0 PHIL PICILLO DIRECTOR 2.00 X 0 0 0 MICHAEL BELLACOSA DIRECTOR 2.00 X 0 0 0 JASON CARONE DIRECTOR 2.00 X 0 0 0 MICHAEL FOSSACECA DIRECTOR 2.00 X 0 0 0 DAVID KRETZ DIRECTOR 2.00 X 0 0 0 STEPHEN MAX DIRECTOR 2.00 X 0 0 0 UMA WILSON DIRECTOR 2.00 X 0 0 0 KEVIN CHRISTENSEN DIRECTOR 2.00 X 0 0 0 LAURA LISTWAN DIRECTOR 2.00 X 0 0 0 RUSSELL OATMAN DIRECTOR 2.00 X 0 0 0 WILLIAM SCHOCH DIRECTOR 2.00 X 0 0 0 MICHELLE ZIOLKOWSKI DIRECTOR 2.00 X 0 0 0 MARLENE BARKHEIMER DIRECTOR 2.00 X 0 0 0 RHOMAD PAVLICEK DIRECTOR 2.00 X 0 0 0 3777483 0 397577 47 0 1 0 PETER TAPLING 1500 N DEE ROAD PARK RIDGE IL 60068 CONSULTING /SERVICES 341696 SIDNEY AUSTIN LLP 1501 K STREET NW WASHINGTON DC 20005 LEGAL 250195 RICHARD FEUER ANDERSON 1133 CONNECTICUT AVENUE STE 620 WASHINGTON DC 20036 CONSULTING /SERVICES 162707 WHITEFORD TAYLOR & PRESTON STEVEN SAINT PAUL STREET BALTIMORE MD 21202 LEGAL SERVICES 145721 Q INSIGHTS 1326 WALNUT STREET NEWTON HIGHLANDS MA 02461 CONSULTING /SERVICES 107205 5 ACH ADMINISTRATIVE FEE 900099 12581428 12581428 MEMBERSHIP DUES 900099 3180274 3147924 32350 ACCREDITATION PROGRAMS 900099 668185 668185 EDUCATION AND TRAINING 611710 333264 306264 27000 INDUSTRY STANDARDS GROUP 900099 322103 322103 211473 164917 46556 17296727 61360 61360 172892 172892 4000000 559328 3998300 625882 1700 -66554 -64854 -64854 1386815 313108 1073707 1073707 INSURANCE PROCEEDS 900099 3403083 3403083 CONSULTATIVE SERVICES 541900 386300 386300 PREFERRED MARKETING PROGRAM 541990 326031 163016 97809 65206 9990 9990 4125404 22665236 18427544 530665 3707027 2795939 7853325 558949 834811 643379 447318 142051 1301177 1627594 279143 1570129 528743 122735 251708 760 1034932 212251 BANK & CREDIT CARD FEES 106184 DUES & SUBSCRIPTIONS 105908 REBATES 49514 TAXES AND LICENSES 28449 3677 20498676 67558 68156 10411687 11966241 2000121 2118680 18772 27136 819324 769307 8062883 5001395 2251206 3061488 4264693 2762580 2240152 2076186 22073513 22849774 3359411 3339389 3666916 2703873 3584896 3181475 10611223 9224737 X 11462290 13625037 11462290 13625037 22073513 22849774 2166560 -3813 0 X X 0 1 X 1 0 0 0 0 3147922 180 180 0 180 1561041 949385 611656 1300349 1045676 254673 5201493 3006334 2195159 3061488 ACCRUED INTEREST 7779 DEFERRED COMPENSATION PLAN ASSETS 2013354 DEPOSITS 55053 2076186 DEFERRED RENT OBLIGATION 1137334 DEFERRED COMPENSATION OBLIGATION 2013354 CAPITAL LEASE OBLIGATION 30787 3181475 X 22974531 -3813 -3813 22978344 -313108 -313108 22665236 20811784 313108 313108 20498676 0 20498676 PART X, LINE 2: THE ASSOCIATION IS EXEMPT FROM THE PAYMENT OF INCOME TAXES ON ITS EXEMPT ACTIVITIES UNDER SECTION 501(C)(6) OF THE INTERNAL REVENUE CODE (IRC). THE ASSOCIATION ADOPTED THE INCOME TAX STANDARD FOR UNCERTAIN TAX POSITIONS. THE ASSOCIATION EVALUATED ITS TAX POSITIONS AND DETERMINED THAT ITS TAX POSITIONS ARE MORE LIKELY THAN NOT TO BE SUSTAINED ON EXAMINATION. THE ASSOCIATION'S TAX RETURNS ARE SUBJECT TO REVIEW AND EXAMINATION BY FEDERAL, STATE, AND LOCAL AUTHORITIES. PART XI, LINE 4B - OTHER ADJUSTMENTS: COST OF GOODS SOLD -313,108. PART XII, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD 313,108. X 1 1 X X X X X 0 0 0 JANET O ESTEP PRESIDENT EMERITUS 28768 0 402000 0 330178 0 2325 0 1826 0 765097 0 0 0 JANE E LARIMER PRESIDENT & CEO 423360 0 200000 0 21161 0 22800 0 13540 0 680861 0 0 0 SCOTT M LANG CHIEF OF STAFF 243410 0 87000 0 21116 0 21586 0 12236 0 385348 0 0 0 PAMELA B MOORE CHIEF FINANCIAL OFFICER 231931 0 85000 0 21161 0 20287 0 13540 0 371919 0 0 0 MICHAEL HERD SVP ACH NETWORK ADMINISTRATION 240628 0 82000 0 1121 0 20401 0 36151 0 380301 0 0 0 GEORGE THROCKMORTON MANAGING DIR. STRATEGIC INITIATIVES 199374 0 60000 0 1161 0 16609 0 25718 0 302862 0 0 0 NAZIH R HAMADE CHIEF TECHNOLOGY OFFICER 225160 0 20000 0 1161 0 19175 0 36691 0 302187 0 0 0 WILLIAM D SULLIVAN SR. DIRECTOR & GROUP MANAG 189315 0 45000 0 1661 0 15534 0 12999 0 264509 0 0 0 VICTORIA DAY CHIEF COMMUNICATIONS OFFICER 173695 0 48100 0 1121 0 14671 0 25178 0 262765 0 0 0 MICHAEL MURPHY SR. DIR & GROUP MGMNT, MEMBER ENG. & 168804 0 35000 0 2282 0 14373 0 26339 0 246798 0 0 0 STEPHANIE F PREBISH SR. DIR & GROUP MGMNT, ASSOCIATION S 152651 0 34000 0 164 0 12535 0 13063 0 212413 0 0 0 PART I, LINE 1A NACHA PROVIDES A WELLNESS BENEFIT UP TO $500 THAT IS REIMBURSED UPON DOCUMENTATION OF ELIGIBLE EXPENSES AND IT IS INCLUDED ON THE EMPLOYEES PAYROLL AS A TAXABLE FRINGE BENEFIT. FORM 990, PART VI, SECTION A, LINE 1 THE EXECUTIVE COMMITTEE IS RESPONSIBLE FOR THE MANAGEMENT OF THE CORPORATION WHEN THE BOARD IS NOT IN SESSION. THE EXECUTIVE COMMITTEE CONSISTS OF THE CHAIRPERSON, THE VICE-CHAIRPERSON, AND THE SECRETARY/TREASURER, AND IS CHAIRED BY THE CHAIRPERSON OF THE BOARD. THE PRESIDENT OF THE ORGANIZATION SERVES AS AN EX OFFICIO NON-VOTING MEMBER OF THE EXECUTIVE COMMITTEE. FORM 990, PART VI, SECTION A, LINE 6 NATIONAL AUTOMATED CLEARING HOUSE ASSOCIATION (NACHA) IS A TRADE ASSOCIATION. ITS BYLAWS INCLUDE THREE DISTINCT MEMBERSHIP CLASSES INCLUDING DIRECT FINANCIAL INSTITUTION (DFI) MEMBER, PAYMENTS ASSOCIATION (PA) MEMBER AND COUNCIL MEMBERSHIPS. EACH CLASS OF MEMBERSHIP HAS THE RIGHT TO VOTE FOR DIRECTORS AND OFFICERS OF NACHA AND SHALL DESIGNATE ONE INDIVIDUAL REPRESENTATIVE FOR PURPOSES OF VOTING AND ANY OTHER PURPOSES RELEVANT TO NACHA. A DUES-BASED MEMBERSHIP ASSOCIATION THAT ADDRESSES PAYMENTS SYSTEM TOPICS AND HAS THE PRIMARY PURPOSE OF PROVIDING EDUCATIONAL, REGULATORY, AND COMMUNICATIONS SUPPORT FOR ITS MEMBERS' USE OF THE ACH NETWORK AND COMPLIANCE WITH THE NACHA OPERATING RULES IS ELIGIBLE TO JOIN AS A MEMBER PA. PAS HAVE THE AUTHORITY TO REPRESENT AND VOTE ON BEHALF OF ONLY ITS DFI MEMBERS ON THE NACHA OPERATING RULES. THE PA SHALL BE INCORPORATED IN THE US, OR IF NOT INCORPORATED SHALL BE PART OF AN ENTITY THAT IS INCORPORATED IN THE US. A MAJORITY OF PAS SHALL BE DFIS AND, IF APPLICABLE, DFIS SHALL HOLD MAJORITY OWNERSHIP IN THE PA PARENT ENTITY. DFI MEMBERS OF AN PA SHALL BE CONSIDERED INDIRECT MEMBERS OF NACHA. A DFI THAT IS A MEMBER OF ANY PAYMENT ASSOCIATION THAT IS (I) ITSELF A MEMBER OF THE ORGANIZATION, AND (II) A RECOGNIZED PROVIDER OF EDUCATION AND TRAINING THAT HAS MET THE CRITERIA SET BY THE ORGANIZATION FOR PAYMENTS ACCREDITATION, MAY JOIN AS A MEMBER. REPRESENTATIVES OF DFIS AND OTHER STAKEHOLDERS FOCUSED ON DEVELOPING ELECTRONIC PAYMENT AND E-COMMERCE APPLICATIONS MAY FORM A COUNCIL IN ACCORDANCE WITH POLICIES AND PROCEDURES ADOPTED BY THE BOARD. THE COUNCIL IS PART OF THE ORGANIZATION AND NOT SEPARATELY INCORPORATED, BUT IS CONSIDERED A MEMBER. THE COUNCIL'S INDIVIDUAL OR ORGANIZATION MEMBERS, OR EMANCIPATED GROUPS, ARE NOT CONSIDERED MEMBERS OF THE ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 7A EACH CLASS OF MEMBERSHIP SHALL HAVE THE RIGHT TO VOTE FOR DIRECTORS AND OFFICERS. FORM 990, PART VI, SECTION A, LINE 7B DFI AND RPA MEMBERS SHALL BE ALLOTTED A CERTAIN NUMBER OF VOTES ON THE NACHA OPERATING RULES BASED ON ANNUAL MEMBERSHIP DUES AND THE ANNUAL ACH ORIGINATED AND RECEIVED VOLUME OF ITS RESPECTIVE FINANCIAL INSTITUTIONS. DFI AND RPA MEMBERS SHALL HAVE THE POWER TO OVERRIDE ANY AMENDMENT TO THE BYLAWS VOTED ON BY THE BOARD OF DIRECTORS BY A TWO-THIRDS MAJORITY. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 IS REVIEWED BY THE CHIEF FINANCIAL OFFICER AND PRESIDENT & CEO FOR ACCURACY AND COMPLETENESS PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C ALL DIRECTORS OF THE BOARD ARE COVERED UNDER THE ORGANIZATION'S CONFLICT OF INTEREST POLICY. A CONFLICT OF INTEREST EXISTS IF THE DIRECTOR'S ALLEGIANCE MIGHT BE SPLIT BETWEEN A NACHA POSITION OR RESPONSIBLITY AND SOME OTHER PROFESSIONAL POSITION OR RESPONSIBILITY. DIRECTORS ARE REMINDED AT THE BEGINNING OF EVERY MEETING OF THE COI POLICY AND SUBMITTAL OF ANY COI IS MADE AT THE BEGINNING OF A DIRECTOR TERM AND UPDATED IF REQUIRED. NEW DIRECTORS ARE PROVIDED A COPY OF THE CONFLICT OF INTEREST POLICY (COI) DURING BOARD ORIENTATION AND ARE REQUESTED TO COMPLETE A DISCLOSURE FORM OF ACTUAL OR POTENTIAL CONFLICTS. EACH DIRECTOR IS RESPONSIBLE FOR PROVIDING NOTICE TO THE CHAIRPERSON IF A CONFLICT OF INTEREST ARISES. THE CHAIRPERSON OF THE BOARD, IN CONSULTATION WITH THE THE EXECUTIVE COMMITTEE AS NECESSARY, REVIEWS AND DETERMINES IF A CONFLICT OF INTEREST EXISTS. A COMPLETE DISCLOSURE IS MADE TO THE FULL BOARD OF ALL BOARD MEMBERS' COI FILINGS, INCLUDING THE DATE OF THE LAST FILING AND ALL POTENTIAL AND ACTUAL CONFLICTS, BUSINESS AND OTHER. ANY DIRECTOR WITH A CONFLICT OF INTEREST MAY BE ASKED TO RECUSE HIM/HERSELF FROM REPORTS, DISCUSSION, DEBATES, AND DECISION-MAKING REGARDING THE MATTER. A DIRECTOR WITH A CONFLICT OF INTEREST MAY BE ASKED TO RESIGN IF DISCLOSURE AND RECUSAL CANNOT REMEDY THE CONFLICT. FORM 990, PART VI, SECTION B, LINE 15 NACHA PARTICIPATES ANNUALLY/SEMI-ANNUALLY IN COMPENSATION SURVEYS TO REMAIN COMPETITIVE IN THE MARKET. A BENECHMARKING ANALYSIS IS CONDUCTED ANNUALLY TO ENSURE NACHA'S KEY EMPLOYEES AND STAFF ARE COMPENSATED COMPETITIVELY BASED ON A NUMBER OF FACTORS TO INCLUDE: INDUSTRY, SKILL SET AND GEOGRAPHICAL LOCATION. THE MOST RECENT PROCESS WAS PERFORMED IN 2020. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE UPON REQUEST AS REQUIRED UNDER DISCLOSURE REQUIREMENTS OF 501(C)(6). PART XII, LINE 2C THIS PROCESS HAS NOT CHANGED FROM THE PRIOR YEAR.