2019-07-12T16:02:31-05:00 2018-08-31 GRANT THORNTON LLP 2001 MARKET STREET SUITE 700 PHILADELPHIA PA 19103 990 2017-09-01 231352289 Philadelphia Orchestra Association % MARIO MESTICHELLI PHIL 2158931900 One South Broad Steet 14th Floor Philadelphia PA 19107 MARIO MESTICHELLI CFO/Treasurer 2158931900 2019-07-11 true Frank Giardini P00532355 2155614200 209.220.64.52 23695320191935000001 2019-07-12 P FCF61C94CDD84B9A41B839C204D6A2ECF5157544 560A5221E85C69B18852755D46CE5F4776D286E5 2017 2019-02-21 02:37:17Z Matias Tarnopolsky One South Broad Steet 14th Floor Philadelphia PA 19107 57431152 false X www.philorch.org X 1903 PA TO SHARE THE TRANSFORMATIVE POWER OF MUSIC WITH THE WIDEST AUDIENCE. 55 49 559 450 2793 0 31545145 24895337 16975861 15773331 4539711 9891187 2325682 2614707 55386399 53174562 0 0 0 0 30906673 32189996 288803 239677 2978533 19401925 20059689 50597401 52489362 4788998 685200 107621226 105857909 19224967 19079874 88396259 86778035 X THE PHILADELPHIA ORCHESTRA CREATES AND SHARES MUSIC OF THE HIGHEST CALIBER FOR PEOPLE OF ALL AGES AND BACKGROUNDS. THE ORCHESTRA IS COMMITTED TO EXCELLENCE, INNOVATION, AND CREATIVITY, ONSTAGE AND OFF, AND SERVES ITS MANY COMMUNITIES AT HOME AND ABROAD BY PERFORMING MUSIC, ENCOURAGING MUSIC-MAKING, AND IMPROVING THE QUALITY OF LIFE. false false 38180188 0 16242807 ORCHESTRAL MUSIC PROGRAMS: THE PHILADELPHIA ORCHESTRA TOOK PART IN 173 PERFORMANCE EVENTS THROUGHOUT THE YEAR AT LOCATIONS IN THE U.S. AND ABROAD: SUBSCRIPTION CONCERTS (83), SPECIAL CONCERTS (13), FAMILY AND SCHOOL CONCERTS AND OTHER EDUCATIONAL PERFORMANCES (38), FREE NEIGHBORHOOD EVENTS OR CONCERTS (4), SUMMER PROGRAMS (18), TOURS AND REGIONAL CONCERTS (17). 38180188 true true false true false false false false false true true false false true true true false true false false true false false true true false false false false true false false false true false false false false true false false false false true true true false false true 297 0 true 559 true true true false false false false true true false false false false X 55 49 true false false false true true true true true false false false true true true true true false false false AL AK AZ AR CA CT DC FL IL KS KY LA ME MD MA MI MN MS MO NH NJ NY NC ND OH OK OR PA RI SC TN UT VA WA WV WI X X MARIO MESTICHELLI 2158931900 ONE SOUTH BROAD STEET 14TH FLOOR Philadelphia PA 19107 Richard B Worley Chairman 10.0 10.0 X X 0 0 0 Mark Dichter Board Member/Vice Chairman 5.0 0.0 X X 0 0 0 Stacy Maria Dutton Board Member/Vice Chairman 5.0 0.0 X X 0 0 0 Alexandria T Edsall Board Member/VICE CHAIRMAN 5.0 0.0 X X 0 0 0 Martin A Heckscher Board Member/Vice Chairman 5.0 0.0 X X 0 0 0 Osagie O Imasogie Board Member/VICE CHAIRMAN 5.0 0.0 X X 0 0 0 Joseph H Jacovini-end Oct'17 Board Member/Vice Chairman 5.0 0.0 X X 0 0 0 Joseph M Manko Sr Board Member 5.0 0.0 X 0 0 0 John H McFadden Board Member/Vice Chairman 5.0 2.0 X X 0 0 0 Hilarie L Morgan-end Oct '17 Board Member/Vice Chairman 5.0 0.0 X X 0 0 0 Ralph W Muller Board Member/Vice Chairman 5.0 0.0 X X 0 0 0 Caroline B Rogers Board Member/Vice Chairman 5.0 10.0 X X 0 0 0 Charles K Valutas-end Sep'17 Board Member/Vice Chairman 5.0 0.0 X X 0 0 0 Ramona A Vosbikian Board Member/Vice Chairman 5.0 0.0 X X 0 0 0 Sarah Miller Coulson Board Member/Secretary 5.0 0.0 X X 0 0 0 James P Brandau Board Member 2.0 0.0 X 0 0 0 Elaine Woo Camarda Board Member 2.0 0.0 X 0 0 0 Kathleen Chimicles Board Member 2.0 0.0 X 0 0 0 Putnam Coes III Board Member - end Oct. '17 2.0 0.0 X 0 0 0 Michael Cone Board Member 2.0 0.0 X 0 0 0 Kenneth E Davis Board Member 2.0 0.0 X 0 0 0 Peter DiLullo Board Member 2.0 0.0 X 0 0 0 Elise du Pont Board Member 2.0 0.0 X 0 0 0 Joseph M Field Board Member 2.0 0.0 X 0 0 0 Mark J Foley Board Member 2.0 0.0 X 0 0 0 Gary A Frank - end Mar '18 Board Member/Vice Chairman 2.0 0.0 X X 0 0 0 Judith F Glick Board Member 2.0 0.0 X 0 0 0 Donald A Goldsmith Board Member 2.0 0.0 X 0 0 0 Joshua S Gross Board Member 2.0 0.0 X 0 0 0 Harry R Halloran Jr Board Member 2.0 0.0 X 0 0 0 Lauren Hart Board Member 2.0 0.0 X 0 0 0 Thomas Herr Board Member - end Apr. '18 2.0 0.0 X 0 0 0 David F Hoffman Board Member 2.0 0.0 X 0 0 0 Patricia Harron Imbesi Board Member 2.0 0.0 X 0 0 0 Ronald L Kaiserman Board Member 2.0 0.0 X 0 0 0 Michael Kihn Board Member 2.0 0.0 X 0 0 0 Neal W Krouse Board Member 2.0 0.0 X 0 0 0 Kelly Lee Board Member 2.0 0.0 X 0 0 0 Bruce G Leto Board Member 2.0 2.0 X 0 0 0 Sandra G marshall Board Member 2.0 0.0 X 0 0 0 Robert E Mortensen Board Member 2.0 0.0 X 0 0 0 Kristen Phillips Board Member 2.0 0.0 X 0 0 0 Ajay Raju Board Member 2.0 0.0 X 0 0 0 Robert M Rechnitz Board Member 2.0 0.0 X 0 0 0 Charles Ryan Board Member 2.0 0.0 X 0 0 0 John Saler Board Member 2.0 2.0 X 0 0 0 Adele K Schaeffer Board Member 2.0 2.0 X 0 0 0 Roberto R Sella Board Member - end Jan. '18 2.0 0.0 X 0 0 0 Peter L Shaw Board Member 2.0 0.0 X 0 0 0 Adrienne Simpson Board Member - end Jan. '18 2.0 0.0 X 0 0 0 Constance S Smukler Board Member 2.0 0.0 X 0 0 0 Lindy Snider Board Member 2.0 0.0 X 0 0 0 Fabio Terlevich Board Member 2.0 0.0 X 0 0 0 Marcia Wells Board Member - end Oct. '17 2.0 0.0 X 0 0 0 Lisa W Yakulis Board Member 2.0 0.0 X 0 0 0 Alison Young Board Member 2.0 0.0 X 0 0 0 James W Zug Board Member 2.0 0.0 X 0 0 0 Allison Vulgamore-end Dec '17 Board Member/President and CEO 40.0 10.0 X X 722248 0 48460 Mario Mestichelli Board Member/CFO/Treasurer 40.0 10.0 X X 220164 0 40938 David Kim Musician/Board Member 40.0 0.0 X 412146 0 40397 Dara Morales Musician/Board Member 40.0 0.0 X 167492 0 35965 Amy Oshiro-Morales Musician/Board Member 40.0 0.0 X 145945 0 11856 Gloria dePasquale Musician/Board Member 40.0 0.0 X 148519 0 23978 William Polk Musician/Board Member 40.0 0.0 X 142109 0 35170 Matias Tarnopolsky-beg Aug'18 Board member/President and CEO 40.0 10.0 X X 0 0 0 David Bilger Musician 40.0 0.0 X 272990 0 40229 Jeffrey Khaner Musician 40.0 0.0 X 274526 0 35844 Ricardo Morales Musician 40.0 0.0 X 326259 0 35899 Jennifer Montone Ressler Musician 40.0 0.0 X 266533 0 40333 Richard Woodhams Musician 40.0 0.0 X 263261 0 20933 3362192 0 410002 119 false true false Yannick Nezet-Seguin 1270 CHABANEL EAST MONTREAL QUEBEC CA QC H2M 1E1 Music Director 1380667 Chambers Group 147 Pennsylvania Avenue MALVERN PA 19355 Printing 463696 Opus 3 Artists LLC 5670 Wilshire Boulevard Suite 1790 LOS ANGELES CA 90036 Artistic Management 343637 Robert Half Technology 12400 Collections Center Boulevard CHICAGO IL 60693 Staffing 329339 SDA Teleservices Inc 5757 West Century Boulevard Suite LOS ANGELES CA 90045 Telemarketing 318192 21 421706 1587857 1250899 21634875 2195829 24895337 PHILADELPHIA CONCERTS 711130 11157729 11157729 0 0 SUMMER CONCERTS 711130 1818417 1818417 0 0 TOUR CONCERTS 711130 1303677 1303677 0 0 OUT OF TOWN CONCERTS 711130 1202789 1202789 0 0 EDUCATION CONCERTS 711130 290719 290719 0 0 15773331 9767167 2203 9764964 0 65396 65396 0 0 0 4084919 3960899 124020 124020 124019 390968 421706 295691 95277 95277 0 0 0 0 0 0 SHARED SERVICES INCOME 900099 1984558 0 0 1984558 EQUITY EARNINGS IN JOINT VENTURE 900099 205765 205175 590 0 MISCELLANEOUS INCOME 900099 263711 263711 0 0 2454034 53174562 16242217 2793 12034214 0 0 0 0 3713376 1188417 2258237 266722 0 21621834 17484181 2912537 1225116 2367155 2017570 272471 77114 2875094 1844986 802878 227230 1612537 1167909 341780 102848 0 72510 3682 68828 91069 91069 49670 49670 239677 239677 58010 58010 1641870 376895 1004175 260800 1325368 1323938 1430 1271995 401898 729945 140152 901280 901280 199491 199491 3053881 2579062 471657 3162 3696046 3529999 131386 34661 0 58487 50237 8250 0 0 383200 383200 327926 143624 184302 MARKETING & PROMOTION 4400642 4400642 0 ARTISTIC EXPENSES 1043225 819264 223961 0 CULTIVATION EXPENSES 269335 0 0 269335 MEDIA AND RECORDING EXPENSE 247303 247303 0 0 968381 451327 444688 72366 52489362 38180188 11330641 2978533 105751 89963 11440076 9913334 15748583 11513299 1911356 987976 0 0 0 0 24029 259403 0 0 2097135 2402092 10076000 6356000 3472000 3720000 66575219 70340293 0 0 607316 668051 0 0 5639761 5963498 107621226 105857909 3024029 3126999 0 0 7357551 6813175 0 0 0 0 0 0 0 0 0 0 8843387 9139700 19224967 19079874 X 869000 1185000 15081000 10988000 72446259 74605035 88396259 86778035 107621226 105857909 X 685200 -2607581 304157 X false true X true false X 25217308 32283051 29813570 31545145 24895337 143754411 16250398 16507277 18683443 16975861 15773331 84190310 0 0 0 41467706 48790328 48497013 48521006 40668668 227944721 3944000 12748000 12912000 9873000 9602000 49079000 0 3944000 12748000 12912000 9873000 9602000 49079000 178865721 4253848 4288326 4006799 3910578 9832563 26292114 0 4253848 4288326 4006799 3910578 9832563 26292114 0 2795596 2722649 2928600 2629997 2845002 13921844 48517150 55801303 55432412 55061581 53346233 268158679 0.66701 0.70552 0.09805 0.06824 X false false false false false false false false true 49670 49670 false PART II-B, 1I THE PHILADELPHIA ORCHESTRA ASSOCIATION PAID CONSULTING FIRM DUANE MORRIS $49,670 DURING FISCAL YEAR ENDED AUGUST 31, 2018. THIS FIRM WAS HIRED TO SOLICIT FUNDS FROM GOVERNMENTAL ENTITIES ON BEHALF OF THE PHILADELPHIA ORCHESTRA ASSOCIATION; HOWEVER, SINCE THIS FIRM ENGAGES IN LOBBYING ACTIVITIES THAT INDIRECTLY BENEFIT THE ORCHESTRA, THE ORGANIZATION IS TAKING A PRUDENT COURSE AND DISCLOSING THESE FEES IN THE FORM 990. 66575219 3045632 4332852 3613909 70339794 61532676 1368710 7264937 3591104 66575219 59640206 2897422 2495362 3500314 61532676 53573248 10857889 -2136318 2654613 59640206 48632448 2759786 4734545 2553531 53573248 0.01000 0.99000 true true true 0 1590000 781000 809000 0 591000 506000 85000 0 7600000 5069000 2531000 0 295000 295000 3720000 BENEFICIAL INTERESTS IN TRUSTS 5917282 DUE FROM AFFILIATE 46216 5963498 0 ACCRUED BENEFIT OBLIGATION 9139700 9139700 X 56391405 -4437063 82695 7333530 2979162 53412243 58010 -295691 -237681 53174562 57936222 72015 5432855 5504870 52431352 58010 58010 52489362 SCHEDULE D, PART V, LINE 1 ENDOWMENT FUNDS THE PHILADELPHIA ORCHESTRA ASSOCIATION'S (ASSOCIATION) CONSOLIDATED AUDITED FINANCIAL STATEMENTS INCLUDE ENDOWMENT FUNDS THAT CONSIST OF ENDOWMENT ASSETS HELD BY THE ASSOCIATION AND ENDOWMENT ASSETS HELD IN TRUST AT PNC. THE FINANCIAL DATA REPORTED IN PART V OF SCHEDULE D EXCLUDES THAT OF THE TRUST SINCE THOSE ENDOWMENT FUNDS ARE SET UP AS A SEPARATE TRUST ORGANIZATION THAT REPORTS ITS OWN FORM 990. THE ENDOWMENT FUNDS, SET UP AS A TRUST, ARE HELD AND ADMINISTERED BY PNC BANK IN THE PHILADELPHIA ORCHESTRA ASSOCIATION ENDOWMENT (EIN: 23-6227203). THE ASSOCIATION'S BOARD OF DIRECTORS CAN DRAW DOWN REVENUE FROM THE TRUST PURSUANT TO THE APPLICATION OF THE BOARD APPROVED SPENDING POLICY IN ACCORDANCE WITH PENNSYLVANIA LAW AND SPECIFIC ELECTION BY THE BOARD. THE DRAW IS SUBJECT TO ALL DONOR IMPOSED RESTRICTIONS. THIS DRAW-DOWN IS REPRESENTED AS A CHARITABLE CONTRIBUTION FROM THE ENDOWMENT FUND ON THE ASSOCIATION'S FORM 990. THE VALUE OF THE TRUST ASSETS WAS $22,217,000 AND $22,387,000 IN FY18 AND FY17, RESPECTIVELY. SCHEDULE D, PART X, LINE 2 FIN 48 (ASC 740) FOOTNOTE UNDER PROVISIONS OF THE INTERNAL REVENUE CODE, SECTION 501(C)(3), AND THE APPLICABLE INCOME TAX REGULATIONS OF PENNSYLVANIA, THE ASSOCIATION IS EXEMPT FROM TAXES ON INCOME OTHER THAN UNRELATED BUSINESS INCOME. THE ASSOCIATION RECOGNIZES OR DERECOGNIZES A TAX POSITION BASED ON A "MORE LIKELY THAN NOT" THRESHOLD. THIS APPLIES TO POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN A TAX RETURN. THE ASSOCIATION DOES NOT BELIEVE ITS CONSOLIDATED FINANCIAL STATEMENTS INCLUDE ANY MATERIAL UNCERTAIN TAX POSITIONS. ANY INTEREST AND PENALTIES, IF APPLICABLE, WOULD BE RECORDED IN ADMINISTRATIVE EXPENSES. SCHEDULE D, PARTS XI/XII THE PHILADELPHIA ORCHESTRA ASSOCIATION PREPARES CONSOLIDATED AUDITED FINANCIAL STATEMENTS THAT INCLUDE THE OPERATION OF: ACADEMY OF MUSIC OF PHILADELPHIA, INC. ACADEMY OF MUSIC OF PHILADELPHIA ENDOWMENT TRUST PHILADELPHIA ORCHESTRA ASSOCIATION ENDOWMENT TRUST THE RECONCILIATION IN SCHEDULE D, PARTS XI AND XII REFLECTS A RECONCILIATION BACK TO THE ASSOCIATIONS ACTIVITIES WITHIN THOSE FINANCIAL STATEMENTS. PART XI RECONCILIATION OF REVENUE AMOUNTS INCLUDED IN FINANCIAL STATEMENTS REVENUE SECTION, BUT NOT ON FORM 990 REVENUE SECTION LINE 2(D) - OTHER INVESTMENT ACTIVITY POA TRUST ENDOWMENT $ 2,926,326 SPENDING DRAW FROM POA TRUST ASSETS (1,202,778) REVENUES FROM ACADEMY OF MUSIC 4,431,952 INVESTMENT ACTIVITY - ACADEMY OF MUSIC 949,791 TRUST INVESTMENT FEES (24,708) POSTRETIREMENT ADJUSTMENT 252,947 $ ------------ TOTAL 7,333,530 ============ PART XI RECONCILIATION OF REVENUE AMOUNTS INCLUDED ON FORM 990 REVENUE SECTION, BUT NOT IN FINANCIAL STATEMENTS REVENUE SECTION: LINE 4(B) - OTHER SPECIAL EVENTS EXPENSE (RECLASS) $(295,691) --------- TOTAL $(295,691) ========== PART XII RECONCILIATION OF EXPENSES AMOUNTS INCLUDED IN FINANCIAL STATEMENTS EXPENSE SECTION, BUT NOT ON FORM 990 EXPENSE SECTION: LINE 2(D) - OTHER ACADEMY OF MUSIC EXPENSES $5,137,164 SPECIAL EVENTS EXPENSE (RECLASS) 295,691 ------------- TOTAL $5,432,855 ============= Europe (Including Iceland and Greenland) 0 0 Program Services Orchestra Performances 3224258 0 0 0 0 3224258 3224258 false false true false false false X X X X X X X true Richard F Bohrer Consulting 742 Mason Avenue Drexel Hill PA 19026 Consulting false 41840 Nauset Ventures 507 Auburn Avenue Wyndmoor PA 19038 Consulting false 99500 SDA Telefunding Services 5757 West Century Boulevard Suite Los Angeles CA 90045 Telefunding false 150188 92967 57221 150188 234307 57221 AL AK AZ AR CA CT DC FL IL KS KY LA ME MD MA MI MN MS MO NH NJ NY NC ND OH OK OR PA RI SC TN UT VA WA WV WI Opening Night 137222 2927 134295 121838 61951 OPN Night 2 455823 286684 169139 2 219629 132095 87534 60200 51702 812674 421706 390968 182038 113653 295691 95277 ADDITIONAL INFORMATION IN ORDER TO PROVIDE FOR STAFF VACANCIES EXPERIENCED DURING THE YEAR IN THE DEVELOPMENT DEPARTMENT, INDEPENDENT CONTRACTORS WERE ENGAGED TO FILL THOSE ROLES. RICHARD F. BOHRER CONSULTING- GOVERNMENT AND FOUNDATION GRANT WRITER NAUSET VENTURES- CORPORATE GIVING AND GLOBAL INITIATIVES. X X true true X X X X X false false false false false true false true false Allison Vulgamore-end Dec '17 Board Member/President and CEO 573958 0 0 0 148290 0 21600 0 26860 0 770708 0 0 0 Mario Mestichelli Board Member/CFO/Treasurer 219714 0 0 0 450 0 16380 0 24558 0 261102 0 0 0 David Kim Musician/Board Member 411870 0 0 0 276 0 12031 0 28366 0 452543 0 0 0 Dara Morales Musician/Board Member 167372 0 0 0 120 0 10261 0 25704 0 203457 0 0 0 Amy Oshiro-Morales Musician/Board Member 145765 0 0 0 180 0 10261 0 1595 0 157801 0 0 0 Gloria dePasquale Musician/Board Member 146995 0 0 0 1524 0 13463 0 10515 0 172497 0 0 0 William Polk Musician/Board Member 141989 0 0 0 120 0 10261 0 24909 0 177279 0 0 0 David Bilger Musician 272474 0 0 0 516 0 13463 0 26766 0 313219 0 0 0 Jeffrey Khaner Musician 274010 0 0 0 516 0 13537 0 22307 0 310370 0 0 0 Ricardo Morales Musician 326079 0 0 0 180 0 10133 0 25766 0 362158 0 0 0 Jennifer Montone Ressler Musician 266413 0 0 0 120 0 10317 0 30016 0 306866 0 0 0 Richard Woodhams Musician 261737 0 0 0 1524 0 13314 0 7619 0 284194 0 0 0 SCHEDULE J, PART I, LINE 1 PAYMENTS WERE MADE TO THE PRESIDENT & CEO, ALLISON VULGAMORE, PURSUANT TO A WRITTEN EMPLOYMENT CONTRACT THAT WAS APPROVED BY THE APPROPRIATE GOVERNING BODY. MS. VULGAMORE RECEIVED PERSONAL SERVICES (FINANCIAL PLANNING). THE FAIR MARKET VALUE OF SUCH PERSONAL SERVICES WAS INCLUDED IN HER CALENDAR YEAR 2017 FORM W-2. THE ASSOCIATION PROVIDED MR. TARNOPOLSKY A HOUSING RELOCATION LOAN IN THE AMOUNT OF $250,000. THE LOAN IS SECURED, INTEREST BEARING AND IS REPAYABLE OVER FIVE YEARS. SCHEDULE J, PART I, LINE 6A The Association made additional payments to the Musician Appreciation Fund (the Fund) pursuant to language in the Collective Bargaining Agreement effectively allocating a portion of the positive Change in Unrestricted Net Assets from Operating Activities to the Fund. Upon completion of the annual audit of the Association for the fiscal year, the Association shall cause the Fund to distribute the Fund value in equal amounts to each participant musician employee as additional pay during the period ended August 31, 2018. SCHEDULE J, PART I, LINE 7 CEO, ms. vulgamore, HAS AN EMPLOYMENT CONTRACT CONTAINING A PERFORMANCE BASED COMPENSATION DIRECTIVE THAT MAKES HER ELIGIBLE TO RECEIVE A NON-FIXED PAYMENT IN ADDITION TO HER BASE COMPENSATION. ALL ELEMENTS OF COMPENSATION INCLUDING THIS NON-FIXED PAYMENT ARE SUBJECT TO BOARD REVIEW AND APPROVAL. CEO, mr. tarnopolsky, HAS AN EMPLOYMENT CONTRACT CONTAINING A PERFORMANCE BASED COMPENSATION DIRECTIVE THAT MAKES HIM ELIGIBLE TO RECEIVE A NON-FIXED PAYMENT IN ADDITION TO HIS BASE COMPENSATION. ALL ELEMENTS OF COMPENSATION INCLUDING THIS NON-FIXED PAYMENT ARE SUBJECT TO BOARD REVIEW AND APPROVAL. SCHEDULE J, PART I, LINE 8 MR. TARNOPOLSKY ENTERED INTO AN EMPLOYMENT CONTRACT WITH THE PHILADELPHIA ORCHESTRA ASSOCIATION ON MAY 24, 2018. BECAUSE THE FORM 990, PART VII REQUIRES THE REPORTING OF CALENDAR YEAR 2017 COMPENSATION INFORMATION, MR. TARNOPOLSKY SHOWS ZERO COMPENSATION AS HE COMMENCED HIS EMPLOYMENT ON AUGUST 15, 2018. THIS AGREEMENT WILL BE IN EFFECT UNTIL AUGUST 31, 2023. Matias Tarnopolsky Pres/CEO 08/15/18 Housing Relocation X 250000 250000 false true true 250000 Dilworth Paxson LLC See Sch L, Part V X 100 2195829 FMV false true true QUESTION 32A TO THE EXTENT THAT THE ORGANIZATION RECEIVES DONATIONS OF SECURITIES, ITS INVESTMENT BROKER/MANAGER IS TASKED WITH SELLING THOSE SECURITIES IN EXCHANGE FOR CASH. SCHEDULE M, PART I, COLUMN (B) NUMBER OF CONTRIBUTIONS THE ORGANIZATION IS REPORTING THE NUMBER OF CONTRIBUTIONS IN COLUMN (B). FORM 990, PART VI, LINE 2 BUSINESS/FAMILY RELATIONSHIPS THE PHILADELPHIA ORCHESTRA ASSOCIATION HAS SEVERAL BOARD MEMBERS WITH BUSINESS RELATIONSHIPS WITH EACH OTHER, AS FOLLOWS: BOARD MEMBERS SARAH MILLER COULSON, ROBERT RECHNITZ AND PUTNAM COES III HAVE A BUSINESS RELATIONSHIP WITH EACH OTHER AND WITH RICHARD WORLEY. BOARD MEMBERS JOSEPH FIELD AND JOHN MCFADDEN HAVE A BUSINESS RELATIONSHIP. BOARD MEMBERS JOSEPH JACOVINI AND AJAY RAJU HAVE A BUSINESS RELATIONSHIP. BOARD MEMBERS ROBERTO SELLA, FABIO TERLEVICH AND RICHARD WORLEY HAVE A BUSINESS RELATIONSHIP. BOARD MEMBERS BRUCE LETO AND JOHN SALER HAVE A BUSINESS RELATIONSHIP. ADDITIONALLY, BOARD MEMBERS, RICHARD WORLEY AND SARAH MILLER COULSON HAVE A FAMILY RELATIONSHIP. FORM 990, PART VI, LINES 6, 7A & 7B ORGANIZATIONS MEMBERS/STOCKHOLDERS THE MEMBERSHIP OF THE PHILADELPHIA ORCHESTRA ASSOCIATION SHALL CONSIST OF LIFE AND ANNUAL MEMBERS. LIFE MEMBERS SHALL BE THOSE PERSONS WHO ON OR BEFORE SEPTEMBER 22, 1958 PAID INTO THE ENDOWMENT FUND OR ANY OTHER FUND ESTABLISHED BY THE ASSOCIATION NOT LESS THAN THE SUM OF FIVE HUNDRED DOLLARS. ANNUAL MEMBERS SHALL CONSIST OF THOSE PERSONS (INDIVIDUAL OR CORPORATE) WHO FROM TIME TO TIME SHALL CONTRIBUTE TO THE PHILADELPHIA ORCHESTRA ASSOCIATION NOT LESS THAN SUCH AMOUNT AS THE BOARD OF DIRECTORS MAY FROM TIME TO TIME DESIGNATE AS THE AMOUNT OF THE CONTRIBUTION BY WHICH A PERSON SHALL BECOME A MEMBER. A MEMBER, BY VIRTUE OF A CONTRIBUTION OF NOT LESS THAN THE AMOUNT THUS FIXED, SHALL BE A MEMBER UNTIL THE ADJOURNMENT OF THE ANNUAL MEETING NEXT FOLLOWING THE CLOSE OF THE FISCAL YEAR OF THE ASSOCIATION TO THE ACCOUNTS OF WHICH THE CONTRIBUTION WAS APPLIED. IN ALL ELECTIONS AND AT ALL MEETINGS OF THE ASSOCIATION EACH MEMBER OF RECORD ON THE TENTH DAY PRECEDING THE DATE OF AN ELECTION OR OF A MEETING SHALL BE ENTITLED TO ONE VOTE AND TO NOTICE OF THE ELECTION OR MEETING. MEMBERS WHO ARE MEMBERS BY VIRTUE OF CONTRIBUTING TO THE ASSOCIATION AS PROVIDED FOR IN THIS ARTICLE AND MAKE AVAILABLE TO SUCH MEMBERS SUCH SPECIAL PRIVILEGES AS THE BOARD MAY DETERMINE, DEPENDING UPON THE CLASSIFICATION OF MEMBERSHIP. VOTING BY MEMBERS HALL BE IN PERSON OR BY PROXY. THE BOARD OF DIRECTORS MAY FROM TIME TO TIME ESTABLISH CLASSIFICATIONS OF MEMBERS WHO ARE MEMBERS BY VIRTUE CONTRIBUTING TO THE ASSOCIATION AS PROVIDED FOR IN THIS ARTICLE AND MAKE AVAILABLE TO SUCH MEMBERS SUCH SPECIAL PRIVILEGES AS THE BOARD MAY DETERMINE, DEPENDING UPON THE CLASSIFICATION OF MEMBERSHIP. FORM 990, PART VI, LINE 11A THE FORM 990 WAS PREPARED BY AN INTERNATIONAL ACCOUNTING FIRM IN CONJUNCTION WITH THE ORGANIZATION'S FINANCE DEPARTMENT. A COPY OF THE FORM 990 IS CIRCULATED TO THE BOARD BEFORE IT IS FILED. HOWEVER, SCHEDULE B IS REDACTED FROM THE FORM 990 BEFORE IT IS CIRCULATED TO THE BOARD TO PROTECT THE IDENTITY OF CERTAIN DONORS WHO WISH TO REMAIN ANONYMOUS. AS SUCH, THE ORGANIZATION HAS CHECKED 'NO' TO PART VI, QUESTION 11A. SCHEDULE B WILL BE MADE AVAILABLE TO THOSE BOARD MEMBERS WHO WISH TO INSPECT IT INDIVIDUALLY. FORM 990, PART VI, LINE 12C THE ORGANIZATION MONITORS AND ENFORCES COMPLIANCE BY FOLLOWING THESE PROCEDURES: 1. ANY INTERESTED PERSON HAS A DUTY TO DISCLOSE THE TRANSACTION OR ARRANGEMENT; 2. THE INTERESTED PERSON PRESENTS THIS POTENTIAL CONFLICT OF INTEREST TO THE BOARD/COMMITTEE; 3. THE BOARD/COMMITTEE DETERMINES WHETHER THERE IS A CONFLICT OF INTEREST; 4. BOARD/COMMITTEE/INTERESTED PERSON FOLLOWS PREDETERMINED PROCEDURES TO ADDRESS THE ISSUE IF ONE EXISTS; 5. THE ABOVE WILL BE RECORDED IN THE MINUTES OF THE MEETINGS OF THE BOARD/COMMITTEE. EACH DIRECTOR, OFFICER AND MEMBER OF A COMMITTEE WITH BOARD-DELEGATED POWERS SHALL ANNUALLY RESPOND TO A QUESTIONNAIRE AND SIGN A STATEMENT WHICH AFFIRMS SUCH PERSON: A. HAS RECEIVED A COPY OF THE CONFLICT OF INTEREST POLICY, B. HAS READ AND UNDERSTANDS THE POLICY, C. HAS AGREED TO COMPLY WITH THE POLICY, D. UNDERSTANDS THE ORGANIZATION IS CHARITABLE AND IN ORDER TO MAINTAIN ITS FEDERAL TAX EXEMPTION IT MUST ENGAGE PRIMARILY IN ACTIVITIES WHICH ACCOMPLISH ONE OR MORE OF ITS TAX-EXEMPT PURPOSES; AND E. PROVIDES SUCH INFORMATION AS THE POA REQUIRES TO PREPARE THE POA'S ANNUAL IRS FORM 990. BOARD MEMBERS WERE REQUESTED TO COMPLETE A CONFLICT OF INTEREST QUESTIONNAIRE. THE REQUEST WAS MADE MULTIPLE TIMES, HOWEVER NOT ALL BOARD MEMBERS OR OFFICERS RESPONDED. THE ORGANIZATION FEELS THAT IT HAS MADE A REASONABLE EFFORT TO DISCLOSE EXISTING CONFLICTS OF INTEREST. FORM 990, PART VI, LINES 13 AND 14 PHILADELPHIA ORCHESTRA ASSOCIATION ESTABLISHED WHISTLEBLOWER AND DOCUMENT RETENTION POLICIES THAT ARE FOLLOWED BY THE ASSOCIATION, AS WELL AS ITS SUBSIDIARIES. FORM 990, PART VI, LINE 15 THE PHILADELPHIA ORCHESTRA ASSOCIATION UNDERTAKES A THOROUGH PROCESS TO ENSURE THAT THE EXECUTIVE COMPENSATION IT PAYS TO ITS TOP MANAGEMENT OFFICIALS AND ALL OF ITS OFFICERS AND KEY EMPLOYEES OF THE ASSOCIATION IS REASONABLE GIVEN THE MARKET IN WHICH THE ASSOCIATION OPERATES. IN RELEVANT PART, THE BOARD OF DIRECTORS HAS ESTABLISHED A HUMAN RESOURCES COMMITTEE OF INDEPENDENT PERSONS THAT HAVE NO PERSONAL INTEREST IN THE PROPOSED COMPENSATION AGREEMENTS. WITH RESPECT TO THE CEO, THE H/R COMMITTEE CHAIR AND SEVERAL OTHER INDEPENDENT MEMBERS OF THE BOARD, INCLUDING THE CHAIR OF THE BOARD, CONTRACTED WITH A SEARCH FIRM TO ASSIST IN THE IDENTIFICATION AND SELECTION OF THE CEO. THE OUTCOME OF THIS PROCESS, INCLUDING COMPARABLE COMPENSATION DATA, GATHERED BY MEMBERS OF THE COMMITTEE WAS PRESENTED TO THE FULL BOARD. DOCUMENTS, EMAILS AND OTHER WRITINGS CREATED CONTEMPORANEOUSLY WERE USED AS THE BASIS FOR THE SELECTION AND COMPENSATION DECISIONS. WITH RESPECT TO HIRING AND COMPENSATION DECISIONS FOR OTHER KEY PERSONNEL, THE CEO CONTRACTED WITH A SEARCH FIRM TO ASSIST IN THE IDENTIFICATION AND SELECTION OF THE KEY PERSONNEL. THERE IS ALSO A FULL-TIME HUMAN RESOURCES DEPARTMENT SUPPORTING THIS FUNCTION AND THE ASSOCIATION RECEIVES REGULAR COMPENSATION DATA IN CONNECTION WITH ITS ONGOING MEMBERSHIP IN THE LEAGUE OF AMERICAN ORCHESTRA SERVICE ORGANIZATION. THE OUTCOME OF THIS PROCESS, INCLUDING COMPARABLE COMPENSATION DATA, GATHERED BY THE CEO WITH THE ASSISTANCE OF THE SEARCH FIRM WAS DESCRIBED TO THE INDEPENDENT CHAIR OF THE HUMAN RESOURCES COMMITTEE. DOCUMENTS, EMAILS AND OTHER WRITINGS CREATED CONTEMPORANEOUSLY WERE USED AS THE BASIS FOR THE SELECTION AND COMPENSATION DECISIONS. FORM 990, PART VI, LINE 19 THE TAXPAYER MAKES ITS FORM 990 AND AUDITED FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC BY RETAINING A COPY AT ITS PLACE OF BUSINESS AND ON ITS WEBSITE AT WWW.PHILORCH.ORG. THE FORM 990 IS LIKEWISE PUBLISHED ON THE INTERNET AT WWW.GUIDESTAR.ORG. THE ORGANIZATION'S GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE NOT ORDINARILY MADE AVAILABLE TO THE PUBLIC, BUT, IF REQUESTED, WILL BE PROVIDED AT MANAGEMENT'S DISCRETION. FORM 990, PART XI, LINE 9 RECONCILIATION OF NET ASSETS POSTRETIREMENT ADJUSTMENT $254,567 Gift in Kind revenue 15,843 Miscellaneous adjustment to net assets 33,747 ------------ TOTAL $304,157 ============ Philadelphia Orchestra Assoc Endowment 1600 Market Street- Tax Dept Philadelphia PA 19103 236227203 Supporting PA 501(c)(3) 12-TYPE 1 POA true The Academy of Music PHILADELPHIA INC One South Broad St 14th Floor Philadelphia PA 19107 231501159 Restoration PA 501(c)(3) 12-TYPE 1 POA true Ticket Philadelphia 1500 Walnut Street 17th floor philadelphia PA 19102 455625606 Ticket Sales PA KimmelCenter RELATED 205765 668051 false 590 true 0.30805 false true true false false false false false false false false true false true true false true false true Philadelphia Orchestra Endowment Fund S 1202778 FMV The Academy of Music of Philadelphia Inc C 146999 FMV