2019-11-12T10:54:48-06:00 2018-12-31 KPMG LLP 8350 Broad Street Suite 900 McLean VA 22102 990 2018-01-01 530196552 Army Emergency Relief % C ELDON MULLIS ARMY 7036012768 2530 CRYSTAL DRIVE Suite 13TH FL ARLINGTON VA 22202 LTC JOEL J LEVESQUE CFO 7036012768 2019-11-12 true JG WHITE P01498698 7032868000 2019-11-11 167.68.102.5 54028020193165000003 2019-11-12 P B6D6168A692106E408B10A90D01C50B06DEB2634 FC1242D0EC2D3B2AC8280BF1A124E85FEFEE16D6 2018 2020-03-31 21:24:44Z LTGR RAYMOND V MASON 2530 CRYSTAL DRIVE 13TH FL ARLINGTON VA 22202 120525596 false X WWW.AERHQ.ORG X 1942 DC ARMY EMERGENCY RELIEF PROVIDES EMERGENCY FINANCIAL ASSISTANCE IN THE FORM OF LOANS, GRANTS, AND SCHOLARSHIPS TO SOLDIERS (ACTIVE AND RETIRED) AND THEIR FAMILIES IN TIMES OF DISTRESS. 23 22 26 250 47452 -3365 9297238 10984374 219990 251299 23115135 17398740 0 0 32632363 28634413 19230080 16689942 0 0 3241356 3617217 0 0 912814 7665716 7083721 30137152 27390880 2495211 1243533 344381711 311379608 1267078 1066800 343114633 310312808 X AER WAS INCORPORATED AS A PRIVATE NONPROFIT ORGANIZATION IN 1942 FOR THE PURPOSE OF COLLECTING AND HOLDING FUNDS TO RELIEVE DISTRESS OF MEMBERS OF THE ARMY AND THEIR DEPENDENTS. UPON MERGER WITH THE ARMY RELIEF SOCIETY IN JULY 1976, AER ASSUMED THE MISSION OF PROVIDING FINANCIAL ASSISTANCE TO WIDOW(ER)S AND ORPHANS OF DECEASED ARMY PERSONNEL AND ASSISTANCE FOR EDUCATION TO DEPENDENT CHILDREN. false false 15058242 7952247 251299 In 2018, AER provided Emergency Financial Assistance to 36,338 Soldiers and their families by providing $58.6 million dollars in financial assistance in the form of zero-interest loans and grants. AER determines the breakdown of assistance between loan and grant by the individual's valid financial need. Financial assistance is offered across 30 different categories of assistance often associated with an emergency due to death or serious illness of an immediate family member or basic living expenses. AER provided 4,908 grants that averaged $1,683 per request, or $7.9 million dollars. Of these grants, AER provided $253K in aid to Regular Army, Army National Guard and Army Reserve Soldiers to assist with evacuation and relief efforts for natural disasters such as California wildfires, Alaska earthquake, Hurricanes Florence and Michael, and Typhoon Yutu. Through the Army Wounded Warrior (Aw2) Special Access program established in 2012, AER assisted 689 Wounded Warriors by providing 343 assistance grants totaling $984K. AER approved 31,431 zero interest loans, with an average of $1,603 per request, totaling $50.7 million. Of that, $28 million for basic living expenses for items such as food, rent depsoits, and minor home repairs. 9371902 8737695 Scholarship assistance is provided through the MG James Ursano Scholarship Program for dependent children of active duty and retired Soldiers and the Spouse Education Assistance Program for spouses of active and retired Soldiers. Between the two scholarship programs 3,816 students received $8.2 million in scholarships for students pursuing their first undergraduate degree. In order to be more responsive to the ever-changing needs of Army Families, AER now accepts scholarship applications from Army Spouses year-round. This change will allow Spouses to more easily adapt and pursue their college degrees. AER also pays the complete cost of college for spouses and children of victims of the 9/11 attack on the Pentagon. Sixteen students were awarded a total of $566,207 in 2018 as part of our Pentagon Vicitms Scholarship Fund. Over $3 million has been provided to 37 children and 12 spouses since inception. 24430144 true true false false false false false false true true true false false false true true false false false true false true false false false false false true true false false false false false false false false false false false false false false false false false true X 13 0 true 26 true true true true false false false false false false false false false false X 23 22 true false false false false false false true true false true true true true true true true true true true false AK AZ CA CO DC IL KY MN MO NH NJ NM ND OR SC TN UT VA WA X X X C ELDON MULLIS 7036012768 2530 CRYSTAL DR 13TH FLOOR ARLINGTON VA 22202 X GEN Dennis J Reimer USA Ret Chairman, Board of Managers 2.0 0.0 X 0 0 0 LTG Thomas P Carney USA Ret VP for Admin, Board 2.0 0.0 X 0 0 0 Mr Francis Finelli Chairman of Finance, Board 2.0 0.0 X 0 0 0 GEN James C McConville USA Ex-Officio Member, Board 1.0 0.0 X 0 0 0 SMA Daniel A Dailey USA Ex-Officio Member, Board 1.0 0.0 X 0 0 0 Mrs Hollyanne Milley Ex-Officio Member, Board 1.0 0.0 X 0 0 0 Mrs Holly Dailey Ex-Officio Member, Board 1.0 0.0 X 0 0 0 LTG Richard G Trefry USA Retired Member, Board of Managers 1.0 0.0 X 0 0 0 LTG Steven W Boutelle USA Member, Board of Managers 2.0 0.0 X 0 0 0 LTG Leslie C Smith USA Member, Board of Managers 1.0 0.0 X 0 0 0 MG Gina S Farrisee USA Ret Member, Board of Managers 1.0 0.0 X 0 0 0 Mrs Patricia Shinseki Member, Board of Managers 1.0 0.0 X 0 0 0 GEN John Campbell USA Retired Member, Board of Managers 1.0 0.0 X 0 0 0 MG Timothy P McGuire USA Member, Board of Managers 1.0 0.0 X 0 0 0 Mr E Eric Porter Member, Board of Managers 1.0 0.0 X 0 0 0 CSM Jimmy J Sellers USA Member, Board of Managers 1.0 0.0 X 0 0 0 LTG Thomas C Seamands USA Member, Board of Managers 1.0 0.0 X 0 0 0 LTG Theodore D Martin USA Member, Board of Managers 1.0 0.0 X 0 0 0 MG Andrew M Rohling USA Member, Board of Managers 1.0 0.0 X 0 0 0 COL Stephen K Aiton USA Member, Board of Managers 1.0 0.0 X 0 0 0 CSM Michael A Grinston USA Member, Board of Managers 1.0 0.0 X 0 0 0 MG Sean M Jenkins USA Member, Board of Managers 1.0 0.0 X 0 0 0 LTG David E Quantock USA Member, Board of Managers 1.0 0.0 X 0 0 0 LTG Sean B MacFarland USA Member, Board of Managers 1.0 0.0 X 0 0 0 LTG Edward M Daly USA Member, Board of Managers 1.0 0.0 X 0 0 0 LTG RAYMOND V MASON USA RET DIRECTOR (CEO), MEMBER, BOARD 40.0 0.0 X X 237739 0 40782 COL C Eldon Mullis USA Ret Deputy Director, COO 40.0 0.0 X 169645 0 48524 LTC Joel J Levesque USA Ret Chief Financial Officer 40.0 0.0 X 146232 0 28102 Thomas Elliot Information Systems Supervisor 40.0 0.0 X 156931 0 46861 Melissa LaVallee Assistant Treasurer 40.0 0.0 X 143285 0 44999 Christopher Hartley Information Assurance Manager 40.0 0.0 X 126853 0 35834 SGM Donald Vincent USA Ret Loan Management Supervisor 40.0 0.0 X 126828 0 42158 SGM William Hagzan USA Ret Emergency Assistance Admin. 40.0 0.0 X 122633 0 26309 1230146 0 313569 12 false true false NORTHERN TRUST INVESTMENTS INC 50 S LASALLE ST CHICAGO IL 60675 INVESTMENT MANAGEMEN 900899 GRAVITATE SOLUTIONS LLC 625 N WASHINGTON ST STE 310 ALEXANDRIA VA 22314 SOFTWARE SERVICES 147036 QUALITY TECHNOLOGY SERVICES HOLDING 12851 FOSTER ST OVERLAND KS 66213 HOSTING 148127 DEPENDABLE PRINTING CO 11890J OLD BALTIMORE PIKE BELTSVILLE MD 20705 PRINTING, SHIPPING, 110184 ABILA 10800 PECAN PARK BLVD STE 400 AUSTIN TX 78750 SOFTWARE LICENSES 108732 6 5455 10978919 17112 10984374 UNCOLLECTIBLE LOAN REPAYMENTS 900099 251299 251299 251299 3769079 47452 3721627 0 0 0 0 0 105520844 91891183 13629661 13629661 13629661 0 0 0 0 0 0 0 0 0 0 28634413 251299 47452 17351288 0 16622206 16622206 67736 67736 0 671024 301135 324604 45285 0 2030587 1566983 284453 179151 249968 195438 32231 22299 481296 344945 94046 42305 184342 129263 39523 15556 0 2794 2794 71000 71000 0 0 900889 22280 878609 76916 76916 80996 15397 40769 24830 783534 373512 58147 351875 510009 445587 42599 21823 0 0 39542 13281 24504 1757 0 0 0 0 1151478 919869 56402 175207 81225 81225 AER SECTION TRAINING 141940 141940 PROVISION UNCOLLECTIBLE LOANS 3113482 3113482 COLLECTION EXPENSE 80174 80174 SUNDRY OFFICE EXPENSE 49742 17016 32726 27390880 24430144 2047922 912814 4125060 6394520 2384300 10890237 1624067 1658054 43800497 41753990 0 0 0 0 0 0 0 0 253708 347349 10098976 5810695 5386795 4288281 209365120 151531081 76962416 87104737 0 0 0 0 479748 7411359 344381711 311379608 1167078 1066800 0 0 0 0 0 0 0 0 0 0 0 0 0 0 100000 0 1267078 1066800 X 330593167 297862512 10720674 0 1800792 12450296 343114633 310312808 344381711 311379608 1243533 -34045358 X false true X true false X 9490420 8646062 9261999 9297238 10984374 47680093 0 640887 725260 532321 612351 614094 3124913 10131307 9371322 9794320 9909589 11598468 50805006 0 50805006 6782302 6751729 5176416 4905611 3769079 27385137 0 0 78190143 1169503 0.64976 0.63550 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 10897399 552564 657721 10792242 10560445 761226 424272 10897399 10431001 417552 288108 10560445 10327673 471811 386483 10413001 9851693 769468 293488 10327673 0.16700 0.83300 false false 10098976 5810695 4288281 4288281 REAL ESTATE FUND 5355879 F PRIVATE EQUITY FUND 35912153 F HEDGE FUND 45836705 F 87104737 0 0 X -5697740 -34045358 614094 -33431264 27733524 900889 900889 28634413 27104085 614094 614094 26489991 900889 900889 27390880 PART V, LINE 4 The restrictions on all endowments were placed by the donors when the funds were established. $8,964,568 is Restricted for scholarships (Pentagon Victims Fund). $26,882 is to be used for the $500 annual Casey award. $1,800,792 is Permanently Restricted with the income to be used for scholarships and and widow assistance. PART X, LINE 2 Under ASC Topic 740-10, AER may recognize the tax benefit for an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements for such a position are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. Management evaluated AER's tax positions and concluded that AER had taken no uncertain tax positions that require adjustment to the financial statements to comply with the provisions of ASC 740-10. true East Asia and the Pacific Program Services FINANCIAL ASSISTANCE 89279 Europe (Including Iceland and Greenland) Program Services FINANCIAL ASSISTANCE 228786 Europe (Including Iceland and Greenland) Program Services SCHOLARSHIPS 8700 North America Program Services SCHOLARSHIPS 2200 Central America and the Caribbean Investments 53675324 East Asia and the Pacific Investments 16582730 Europe (Including Iceland and Greenland) Investments 10483271 North America Investments 380952 81451242 81451242 EMERGENCY FINANCIAL GRANTS East Asia and the Pacific 101 89279 CHECK EMERGENCY FINANCIAL GRANTS Europe (Including Iceland and Greenland) 226 228786 CHECK SCHOLARSHIPS Europe (Including Iceland and Greenland) 8 8700 CHECK true false true true true false SCHEDULE F, PART I, LINE 2 GRANTS ARE MADE TO INDIVIDUALS BASED ON FINANCIAL NEED. FINANCIAL ASSISTANCE GRANTS ARE PROVIDED BASED ON EVIDENCE OF CURRENT OR IMPENDING DEBT LIABILITY. EDUCATIONAL GRANTS (SCHOLARSHIPS) ARE PAID TO THE SCHOOL ON BEHALF OF THE STUDENT AND THE SCHOOL CONFIRMS THE STUDENTS' ENROLLMENT. true SCHOLARSHIPS 8269 8702527 EMERGENCY FINANCIAL ASSISTANCE GRANTS 6220 7634181 SCHEDULE I, PART I, LINE 2 A. GUIDELINES FOR ISSUING FINANCIAL ASSISTANCE IN THE FORM OF A GRANT VICE NO-INTEREST LOAN IS PROVIDED IN ARMY REGULATION 930-4 AND PERFORMANCE IS MONITORED BY STATISTICAL MONITORING AND RANDOM CHECKS OF ASSISTANCE CASES. GRANT ASSISTANCE IS NOT ISSUED WITHOUT PROPER DOCUMENTATION. B. EDUCATIONAL GRANTS ARE ISSUED UPON PROPER DOCUMENTATION OF ENROLLMENT IN ELIGIBLE COURSEWORK AND NORMALLY PAID DIRECTLY TO THE SCHOOL. GUIDELINES FOR ISSUING SCHOLARSHIPS ARE ALSO FOUND IN ARMY REGULATION 930-4. X X X X false false false false false false false false false COL C Eldon Mullis USA Ret Deputy Director, COO 169645 24550 23974 218169 LTC Joel J Levesque USA Ret Chief Financial Officer 146232 20911 7191 174334 Thomas Elliot Information Systems Supervisor 156931 23228 23633 203792 Melissa LaVallee Assistant Treasurer 143285 21101 23898 188284 Christopher Hartley Information Assurance Manager 126853 12140 23694 162687 SGM Donald Vincent USA Ret Loan Management Supervisor 126828 18284 23874 168986 LTG RAYMOND V MASON USA RET DIRECTOR (CEO), MEMBER, BOARD 237739 33507 7275 278521 Part III CEO compensation is established by the Executive Committee in accordance with AER's governing documents. The Executive Committee, serving the role of a Compensation Committee utilizes purchased salary surveys and other comparative data contained in other organizations IRS Form 990 in arriving at its approved salary determination. See Schedule O comments for Part VI Lines 15a and 15b for additional compensation details. PART V, LINE 4B Financial accounts in foreign countries: Australia, Bermuda, British Virgin Islands, Canada, Cayman Islands, France, Ireland, Japan, Netherlands, New Zealand, Spain, Switzerland, and United Kingdom. PART VI, LINE 2 Sergeant Major of the Army (SMA) Daniael A. Dailey and his wife, Holly Dailey both serve, without compensation, as ex-officio members of the Board of Managers. Their ex-officio status is related to their position and official and unofficial military duties. SMA Dailey serves as the Army's senior enlisted advisor and Mrs. Dailey's role as an advocate on the needs and challenges facing Soldiers and their Families. PART VI, LINE 10 A & B Army Emergency Relief (AER) disburses approximately 75% of its assistance through 250 volunteer AER Officers (AEROs) at 74 Army Installations worlwide. The 74 offices are staffed by AEROs who are Department of the Army Government Services employees. Their office space and equipment are integrated into the Army Community Services sections of the Installation. They implement the AER program by disbursing financial assistance however, AER HQ does not own/lease their office space nor pay their salaries. AER maintains Internal Control over the AEROs through an Army Regulation (AR 930-4) and written agreements with the Army Installation Management Command (IMCOM) as well as through annual audits, a 5-tiered training program, assistance visits and daily interactions between AER HQ and the individual AEROs. The AER Director (LTG (R) Mason) visisted more than 20 of the 74 Installation offices personally in 2018, assessing their operations, supporting AEROs with their IMCOM leaders, and conducting focus sessions with Soldiers and Family members to better understand the challenges and opportunities at each location. Additionally, 10 AEROs attended a week-long training at AER Headquarters in Arlington, Virginia. The IMCOM Commander also serves as a member of the AER Board of Managers (BOM) along with representatives of the other Major Army Commands. These Board members monitor the individual AER Offices on installations that fall in their area of responsibility througout the year and discuss performance and policies/procedures at BOM meetings. Finally, each of the 74 locations must undergo an annual audit by a senior member of the installation staff that is signed by the Garrison Commander. These section audits are reviewed by the AER Deputy Director and CFO for completeness as well as for possible corrective remedies. PART VI, LINE 11 Financial and operational performance data and governance policies and actions reflected in the Form 990 is provided to the Board of Managers throughout the year for information and appropriate action. The Finance Committee is briefed on the contents of the Form 990 and copies are provided to the Board of Managers prior to submission. In 2018, the Form 990 was reviewed by an independent accounting firm. PART VI, LINE 12C All Members of the Board of Managers and Officers of Army Emergency Relief disclose on an annual basis potential conflicts of interest by declaring any other participation Boards and all potential sources for conflict of interest. Statements are reviewed for potential conflicts in business dealing and Members recused from areas where conflict or appearance of conflict may occur. Board Members and Officers are expected to self identify issues of potential conflict as they arise. The Director and Deputy Director monitor conflict of interest disclosure replies and are responsible for identifying potential conflicts of interest as they arise should it not be self identified. PART VI, LINES 15A AND 15B An Executive Committee appointed by the President of the Board of Managers determines compensation for the AER officers. They meet in executive session without the AER officers present when discussing officers compensation. All discussions are documented contemporaneously in the meeting minutes. They use similar comparatives for published compensation studies and from the other Military Aid Societies. They comply with IRS guidance in completing a "Rebuttable Presumption Information" form for each officer at the time of a salary change (except for COLA changes) for that officer. PART VI, LINE 19 All governing documents are available upon request. Selected governing documents such as Audited Financial Statements, Annual Report, Whistleblower Protection Policy, and Code of Ethical Conduct are posted on AER's website.