2020-11-06T15:42:29-06:00 2019-12-31 521392008 GELMAN ROSENBERG & FREEDMAN 4550 MONTGOMERY AVE SUITE 800N BETHESDA MD 208142930 990 2019-01-01 522034127 HEART OF AMERICA FOUNDATION HEAR 2023476278 1440 G STREET NW NO 7-153 WASHINGTON DC 20005 JILL HEATH PRESIDENT 2023476278 2020-11-06 1 RICHARD J LOCASTRO CPA P00288314 3019519090 75.103.231.202 2020-11-06 16:42:25 ES P 76FA70CE0153400BA58E161A6CDE45BE1458D652 A8E65EE9E982CC9303CBA4B44375695372EB7330 2019 2021-01-29 14:40:06Z X JILL HEATH 1440 G STREET NW NO 7-153 WASHINGTON DC 20005 3824763 0 X WWW.HEARTOFAMERICA.ORG X 1997 DC SEE PART III, LINE 1. 10 9 51 3935 0 0 5302896 3655789 0 0 9286 146827 -41292 22147 5270890 3824763 305009 216890 0 0 1218822 1532954 0 0 125194 2485766 4355937 4009597 6105781 1261293 -2281018 3789662 13729603 288437 12509396 3501225 1220207 X THE HEART OF AMERICA FOUNDATION CREATES VIBRANT LEARNING ENVIRONMENTS FOR CHILDREN, ENGAGING VOLUNTEERS IN ACTS OF SERVICE AND ENCOURAGING THE PURSUIT OF EDUCATION BY PROVIDING CHILDREN IN NEED WITH THE TOOLS TO READ, SUCCEED AND MAKE A DIFFERENCE. SINCE 1997, THE ORGANIZATION HAS PROVIDED CHILDREN LIVING IN UNDERSERVED COMMUNITIES WITH OVER $4.2 MILLION LIBRARY AND TAKE-HOME BOOKS AND ENGAGED VOLUNTEERS IN MORE THAN 1.2 MILLION HOURS OF SERVICE TO THESE COMMUNITIES. 0 0 301272 66853 RESOURCE DISTRIBUTION - THE RESOURCE DISTRIBUTION PROGRAM PUTS BOOKS INTO THE HANDS OF CHILDREN WHO NEED THEM THE MOST. ELEMENTARY, MIDDLE AND HIGH SCHOOLS AND STUDENTS RECEIVE NEW, AGE-APPROPRIATE BOOKS TO REPLENISH SCHOOL, CLASSROOM AND HOME LIBRARIES. AT BOOK GIVEAWAY EVENTS, STAFF AND VOLUNTEERS READ TO CHILDREN AND ENGAGE IN INTER-GENERATIONAL ACTIVITIES. THIS PROGRAM INTRODUCES YOUNG PEOPLE TO COMMUNITY SERVICE AND PROVIDES MEANINGFUL HANDS-ON EXPERIENCES. IN TIMES OF DISASTER AND PANDEMICS, THE PROGRAM WORKS DIRECTLY WITH IMPACTED SCHOOL DISTRICTS AND SCHOOLS TO GET GREATLY-NEEDED SUPPLIES AND BOOKS INTO THE HANDS AND HOMES OF FAMILIES/CHILDREN AS QUICKLY AS POSSIBLE. 5169741 150037 TRANSFORMATION - THE TRANSFORMATION PROGRAM RENEWS COMMUNITY SUPPORT IN ENRICHING STUDENT LIVES, HELPING THEM REGAIN LOST OPPORTUNITIES FOR LEARNING BECAUSE OF DILAPIDATED, OUTDATED FACILITIES. THE TRANSFORMATION PROGRAM TRANSFORMS SCHOOL LIBRARIES AND OTHER EDUCATIONAL COMMUNITY SPACED INTO ENGAGING LEARNING SPACES, SATURATING SCHOOL ENVIRONMENTS WITH NEW BOOKS. REMODELED SPACES ARE REVITALIZED WITH IMPROVED TECHNOLOGY, HIGH-QUALITY BOOKS, EDUCATION MATERIALS AND MODERN FURNITURE TO BECOME A VIBRANT LEARNING CENTER - THE NEW HEART OF A COMMUNITY. 5471013 1 1 0 0 0 0 0 1 0 0 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 20 0 1 51 1 0 0 0 0 0 0 0 0 0 0 0 0 X 10 9 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 0 0 IL MD MN NY VA X X JILL HEATH 2023476278 1440 G STREET NW NO 7-153 WASHINGTON DC 20005 JILL HEATH PRESIDENT 60.00 X X 156339 0 2856 MARCIA BULLARD CHAIRPERSON 2.00 X X 0 0 0 ERIC SCHEWEIKERT TREASURER 1.00 X X 0 0 0 KELLY BOZARTH BOARD MEMBER 0.50 X 0 0 0 HOWARD BYCK BOARD MEMBER 0.50 X 0 0 0 MARY CHRIST-ERWIN BOARD MEMBER 0.50 X 0 0 0 KAREN DUNCAN BOARD MEMBER 0.50 X 0 0 0 STEVE KAUFMAN BOARD MEMBER 0.50 X 0 0 0 TERRY MCDONOUGH BOARD MEMBER 0.50 X 0 0 0 SCOTT NELSON BOARD MEMBER 0.50 X 0 0 0 JOHN FLYNN VICE PRESIDENT, INNOVATION 50.00 X 111770 0 5704 COLLEEN NOLAND VICE PRESIDENT, PROGRAMS 50.00 X 107692 0 2160 375801 0 10720 3 0 1 0 EFRAIN CARLSON & SON 14052 PETRONELLA DRIVE SUITE 105 LIBERTYVILLE IL 60048 CONSTRUCTION SERVICES 212220 TURNER CONSTRUCTION 3700 KOPPERS STREET SUITE 345 BALTIMORE MD 21227 CONSTRUCTION SERVICES 138400 ASSOCIATED ELECTRICAL CONTRACTORS PO BOX 39 319 LAMB ROAD WOODSTOCK IL 60098 ELECTRICAL SERVICES 110617 LARSON EQUIPMENT & FURNITURE 1000 E STATE PARKWAY UNIT F SCHAUMBURG IL 60173 REMODELING SERVICES 100379 4 3655789 112725 3655789 146827 146827 MISCELLANEOUS 900099 22147 22147 22147 3824763 0 0 168974 X 216890 216890 159195 98493 29434 31268 1168511 862509 234104 71898 15874 15874 55270 46911 7336 1023 134104 89889 36209 8006 76724 76724 1391358 1355212 32340 3806 437140 407907 27126 2107 77167 75622 1202 343 277317 232730 39119 5468 926 926 2318 2110 162 46 7252 5662 1466 124 PROGRAM MATERIALS 2023460 2023460 LITERACY CELEBRATION 29394 29394 DONATED MATERIALS 26756 24224 2532 PAYROLL PROCESSING 4361 4361 1764 659 1105 6105781 5471013 509574 125194 129688 240762 322057 12226862 2693935 575397 18594 5175 591878 609770 15722 24466 49315 45877 2788 3438 15000 43733 3789662 13729603 288437 329187 0 12180209 288437 12509396 X 369738 514856 3131487 705351 3501225 1220207 3789662 13729603 -2281018 0 X 0 1 X 1 0 X 3024675 4877137 3561671 5302896 3655789 20422168 3024675 4877137 3561671 5302896 3655789 20422168 13891958 6530210 5308 4400 3293 9286 146827 169114 6254 5517 8412 10406 22147 52736 20644018 0.31630 0.28410 X PART II, SECTION C, LINE 17A, FACTS AND CIRCUMSTANCES TEST: HEART OF AMERICA FOUNDATION QUALIFIES AS A PUBLIC CHARITY UNDER THE "FACTS AND CIRCUMSTANCES" TEST OF 1.170A-9(E)(3) OF THE TREASURY REGULATIONS, BASED UPON THE FOLLOWING: 1. ITS SUPPORT, AS REPORTED FOR 2019, IS 31.63%, THEREBY MEETING THE REQUIREMENT OF SEC. 1.170A-9(E)(3)(I) 2. IT IS ORGANIZED AND OPERATED SO AS TO ATTRACT NEW AND ADDITIONAL PUBLIC AND GOVERNMENTAL FUNDING ON A CONTINUOUS BASIS, THEREBY MEETING THE REQUIREMENT OF SEC. 1.170A-9(E)(3)(II). EXAMPLES OF RECENT EFFORTS BY THE ORGANIZATION INCLUDE: DURING 2019, THE HEART OF AMERICA RECEIVED FUNDING FROM NUMEROUS INDIVIDUALS, FOUNDATIONS, AND CORPORATIONS THROUGH GENERAL DONATIONS, SPECIFIC PROJECT SUPPORT, BOOK DRIVES AND BOOK DONATIONS. THE ORGANIZATION HAS BEEN FORTUNATE TO SERVE INDIVIDUALS THROUGHOUT THE COUNTRY DUE TO THE SPECIFIC SUPPORT OF SOME MAJOR CORPORATE CONTRIBUTORS AND BOOK PUBLISHERS. HEART OF AMERICA ALSO UTILIZES SOCIAL MEDIA SUCH AS FACEBOOK AND TWITTER AND ITS WEBSITE TO SHARE INFORMATION ABOUT ITS PROGRAMS AND ACTIVITIES. 3. HEART OF AMERICA'S PUBLIC SUPPORT, AT 31.63%, IS ABOVE THE 10% MINIMUM REQUIRED FOR THE "FACTS AND CIRCUMSTANCES" TEST, THEREBY MEETING THE REQUIREMENT OF SEC. 1.170A-9(E)(3)(II). 4. IN MEETING THE REQUIREMENT OF SEC. 1.170A-9(E)(3)(I), HEART OF AMERICA HAS RECEIVED SUPPORT FROM A REPRESENTATIVE NUMBER OF PERSONS, RATHER THAN RECEIVING ALL OR MOST OF ITS SUPPORT FROM THE MEMBERS OF A SINGLE FAMILY, OR FROM A SINGLE DONOR. IN THIS RESPECT, HEART OF AMERICA MEETS THE REQUIREMENT OF SEC. 1.170A-9(E)(3)(IV). 5. HEART OF AMERICA THROUGH ITS PROGRAMS, INSPIRES ACTS OF SERVICE AND A LOVE OF READING BY BUILDING COMMUNITY AND PROVIDING CHILDREN IN NEED WITH THE TOOLS TO READ, SUCCEED AND MAKE A DIFFERENCE. ITS PROGRAMS UNIQUELY COMBINE VOLUNTEERISIM AND LITERARY. IN THIS MANNER, HEART OF AMERICA MEETS THE REQUIREMENT OF SEC. 1.170A-9(E)(3)(VI). RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 15000 X PROGRAMATIC ACTIVITIES 0 36159 32721 3438 13156 13156 0 3438 REFUNDABLE ADVANCES 12180209 12180209 X 4066553 241790 241790 3824763 0 3824763 6347571 241790 241790 6105781 0 6105781 PART III, LINE 4: ARTWORK IS THE VALUE OF THE MOLDS AND THE RIGHTS TO THE MOLD FOR THE HERO OF THE HEART AND HALAMANDARIS AWARDS DESIGNED BY FAMED SCULPTOR FRANK ELISCU. PART X, LINE 2: FOR THE YEARS ENDED DECEMBER 31, 2019 AND 2018, HOA HAS DOCUMENTED ITS CONSIDERATION OF FASB ASC 740-10, INCOME TAXES, THAT PROVIDES GUIDANCE FOR REPORTING UNCERTAINTY IN INCOME TAXES AND HAS DETERMINED THAT NO MATERIAL UNCERTAIN TAX POSITIONS QUALIFY FOR EITHER RECOGNITION OR DISCLOSURE IN THE FINANCIAL STATEMENTS. 1 COLLEGE AWARD SUPPORT 1 598 COST TROPHIES/STATUE BOOKS 29770 216292 COST/FMV BOOKS PART I, LINE 2: BOOKS ARE DISTRIBUTED TO CHILDREN AT SITES (SCHOOLS AND ORGANIZATIONS THAT SERVE YOUTH) IN UNDER-RESOURCED COMMUNITIES VIA OUR RESOURCES AND TRANSFORMATION PROGRAMS. TYPICALLY, SCHOOLS OR SITES SELECTED HAVE A MINIMUM OF 65% OR OF THEIR STUDENTS ON THE FREE/REDUCED MEAL PROGRAM. BOOKS ARE PROVIDED DIRECTLY TO STUDENTS, CLASSROOMS AND/OR LIBRARIES. X X 0 0 0 0 0 0 0 1 0 JILL HEATH PRESIDENT 142539 0 13800 0 0 0 2856 0 0 0 159195 0 0 0 PART I, LINE 7 DURING 2019, THE ORGANIZATION PROVIDED JILL HEATH $13,800 IN BONUS COMPENSATION. X 85969 RETAIL VALUE X PROG MATERIALS 12 26756 VENDOR VALUATION 0 0 1 0 PART I, COLUMN (B): THE AMOUNTS REPORTED IN COLUMN (B) REPRESENT THE NUMBER OF CONTRIBUTIONS RECEIVED. PART I, LINE 32B: THE HEART OF AMERICA ONLY ACCEPTS DONATIONS THAT ARE OF USE IN ITS PROGRAMMATIC ACTIVITIES AND/OR GENERAL OPERATIONS. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 WAS PREPARED BY HOA'S AUDITING FIRM AND REVIEWED BY THE FINANCE LEAD, PRESIDENT OF HOA, AND THE FINANCE COMMITTEE. IT WAS THEN SHARED WITH THE FULL BOARD BEFORE FILING. FORM 990, PART VI, SECTION B, LINE 12C ANNUALLY, ALL EMPLOYEES HAVE RECEIVED A COPY OF THE WRITTEN POLICY AND IT IS PART OF THE EMPLOYEE MANUAL. THE PRESIDENT ADDRESSES ANY CONFLICTS THAT AROSE RELATED TO EMPLOYEE CONFLICTS OF INTEREST. THE BOARD HAS A SEPARATE CONFLICT OF INTEREST POLICY REQUIRING MEMBERS TO DISCLOSE POTENTIAL CONFLICTS TO THE CHAIRMAN OF THE BOARD, OR IF THE POTENTIAL CONFLICT INVOLVES THE CHAIRMAN, THE CHAIRMAN NOTIFIES THE CHAIRMAN OF THE CORPORATE GOVERNANCE COMMITTEE. UPON DETERMINATION THAT A CONFLICT OF INTEREST EXISTS, THE INDIVIDUAL WITH THE CONFLICT OF INTEREST DISCLOSES THE CONFLICT OF INTEREST TO THE BOARD OF DIRECTORS, AND DISCLOSURES ARE RECORDED IN THE BOARD MINUTES OF THE MEETING AT WHICH IT IS MADE. AN INDIVIDUAL MAY ALSO RECUSE HIMSELF OR HERSELF AT ANY TIME FROM INVOLVEMENT IN ANY DECISION OR DISCUSSION IN A BOARD MEETING IN WHICH THEY BELIEVE THEY MAY HAVE A CONFLICT OF INTEREST. THE CHAIRMAN TAKES ACTION AS IS NECESSARY TO ASSURE THAT THE TRANSACTION INVOLVING A CONFLICT OF INTEREST IS COMPLETED IN THE BEST INTEREST OF THE FOUNDATION WITHOUT THE SUBSTANTIVE INVOLVEMENT OF THE PERSON WHO HAS THE CONFLICT OF INTEREST. FORM 990, PART VI, SECTION B, LINE 15A THE EXECUTIVE COMMITTEE IS RESPONSIBLE FOR REVIEWING CURRENT COMPENSATION LEVELS FOR THE PRESIDENT. A WRITTEN RECOMMENDATION IS MADE TO THE CHAIRMAN NOTING THEIR PROCESS AND FINAL RECOMMENDATION. THE CHAIRMAN OF THE COMMITTEE PRESENTS THEIR RECOMMENDATION TO THE FULL BOARD IN EXECUTIVE SESSION WITHOUT THE PRESIDENT PRESENT. FACTORS CONSIDERED BY THE COMMITTEE INCLUDE COMPENSATION DATA FOR OTHER EXECUTIVES IN THE NON-PROFIT SECTOR WITH COMPARABLE BUDGETS AND STAFF, THE TENURE AND PERFORMANCE OF THE INDIVIDUAL AS WELL AS THE ECONOMIC REALITY OF THE ORGANIZATION'S FINANCIAL CONDITION. A PERFORMANCE REVIEW OF THE PRESIDENT'S SERVICE WAS CONDUCTED ON APRIL 12, 2019. FOLLOWING A DISCUSSION OF THE REVIEW AT THE MAY 12, 2019 MEETING, THE FULL BOARD APPROVED AN INCREASE IN JILL HEATH'S BASE SALARY TO $142,800 AND A BONUS OF $13,800. THE INCREASE WAS RETROACTIVE TO JANUARY 1, 2019. FORM 990, PART VI, SECTION C, LINE 19 FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC THROUGH THE ORGANIZATION'S WEBSITE AND UPON REQUEST. GOVERNING DOCUMENTS AND THE CONFLICT OF INTEREST DOCUMENTS ARE NOT MADE AVAILABLE TO THE PUBLIC. FORM 990, PART IX, LINE 11G VARIOUS TRADE SERVICES: PROGRAM SERVICE EXPENSES 1,355,212. MANAGEMENT AND GENERAL EXPENSES 32,340. FUNDRAISING EXPENSES 3,806. TOTAL EXPENSES 1,391,358.