2019-10-25T07:33:37-05:00 2018-12-31 043037870 BOLLUS LYNCH LLP 89 SHREWSBURY STREET WORCESTER MA 01604 990 2018-01-01 041988945 WORCESTER COUNTY HORTICULTURAL SOCIETY WORC 5088696111 11 FRENCH DRIVE BOYLSTON MA 01505 STEPHEN M PITCHER TREASURER 5088696111 2019-10-22 1 BARBARA E KING P00005629 5087557107 2019-10-22 71.11.10.178 2019-10-22 08:45:39 ED P F1F279DE0C4CAF45DEED4D789D31C6CA820C7679 954A65DB1995863A37271E4766999F33303993D7 2018 2020-01-14 16:20:31Z STEPHEN M PITCHER 11 FRENCH DRIVE BOYLSTON MA 01505 12587835 0 X TOWERHILLBG.ORG X 1842 MA THE SOCIETY EXISTS AS AN EDUCATIONAL ORGANIZATION TO INSPIRE THE USE AND APPRECIATION OF HORTICULTURE TO IMPROVE LIVES, ENRICH COMMUNITIES, AND STRENGTHEN COMMITMENT TO THE NATURAL WORLD. 25 25 135 339 0 0 5582956 3982135 910533 1081880 2292700 756685 68550 205363 8854739 6026063 0 0 0 0 2034727 2522831 0 0 560550 1609951 2032261 3644678 4555092 5210061 1470971 42019882 41176742 1353217 568540 40666665 40608202 X TO INSPIRE THE USE AND APPRECIATION OF HORTICULTURE TO IMPROVE LIVES, ENRICH COMMUNITIES, AND STRENGTHEN COMMITMENT TO THE NATURAL WORLD. 0 0 3067328 1117997 THE WORCESTER COUNTY HORTICULTURAL SOCIETY (WCHS), FOUNDED IN 1842, IS AMONG THE OLDEST ACTIVE HORTICULTURAL SOCIETIES IN THE UNITED STATES. IN 1986, THE SOCIETY SOUGHT TO EXPAND ITS MISSION DELIVERY AND PURCHASED A DAIRY FARM IN BOYLSTON THAT BECAME TOWER HILL BOTANIC GARDEN (THBG). TODAY, THBG IS A DYNAMIC FOUR-SEASON HORTICULTURAL SHOWCASE WITH 171 ACRES OF GROUNDS, 16 ACRES OF DEVELOPED GARDENS, TWO OFF-SEASON CONSERVATORIES HOUSING MORE THAN 1,000 PLANTS, AND MILES OF TRAILS THROUGH FOREST AND FIELD. WE ARE A GARDEN FOR ALL, WELCOMING EVERY WORCESTER SECOND GRADER AS PART OF THE CITY'S CURRICULUM, DEVELOPING ACCESSIBLE GARDENS THAT WELCOME GUESTS WITH A VARIETY OF ABILITIES AND IMPLEMENTING PROGRAMS SUCH AS OUR FREE SUMMER EVENINGS TO WELCOME A DIVERSE AUDIENCE TO OUR PROPERTY. IN 2018, WE WELCOMED OVER 150,000 VISITORS - AND 18,000 MEMBERS - TO OUR GARDENS , EDUCATIONAL PROGRAMS AND EVENTS. OUR MISSION-RELATED VISITOR AMENITIES ALSO INCLUDE A CAF WITH A MENU FEATURING SEASONAL INGREDIENTS FROM LOCAL FARMS AND GROWERS , AND A GARDEN SHOP WHICH SELLS BOOKS, GIFTS, CLOTHING, TOOLS AND PLANTS SELECTED TO PROMOTE OUR MISSION OF CONNECTING PEOPLE WITH PLANTS. 3067328 1 1 0 0 0 0 0 0 0 1 1 0 0 0 1 1 1 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 1 0 0 0 0 1 45 0 1 135 1 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 X 25 25 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 0 1 1 1 0 MA X HEATHER GRIFFIN 5088696111 11 FRENCH DRIVE BOYLSTON MA 01505 JAMES KARADIMOS PRESIDENT 2.00 X X 0 0 0 ALFRED D LEESON JR VICE PRESIDENT 2.00 X X 0 0 0 MATTHEW MATTUS VICE PRESIDENT 2.00 X X 0 0 0 BARBARA L MORSE VICE PRESIDENT 2.00 X X 0 0 0 FRANKLIN REECE VICE PRESIDENT 2.00 X X 0 0 0 STEPHEN PITCHER TREASURER 2.00 X X 0 0 0 RICHARD LEIF SECRETARY 2.00 X X 0 0 0 M HOWARD JACOBSON TRUSTEE 2.00 X 0 0 0 DAVID KIRCHNER TRUSTEE 2.00 X 0 0 0 JOHN LEE TRUSTEE 2.00 X 0 0 0 NAZNEEN COOPER TRUSTEE 2.00 X 0 0 0 SHIRLEY WILLIAMS VICE PRESIDENT 2.00 X X 0 0 0 LISA MCDONOUGH TRUSTEE 2.00 X 0 0 0 SATYA MITRA TRUSTEE 2.00 X 0 0 0 MARTHA PAPPAS TRUSTEE 2.00 X 0 0 0 PATRICIA GRAY TRUSTEE 2.00 X 0 0 0 DAVID BOERI TRUSTEE 2.00 X 0 0 0 PATRICIA GATES TRUSTEE 2.00 X 0 0 0 MICHELE HANSS TRUSTEE 2.00 X 0 0 0 MICHAEL MACHNOWSKI TRUSTEE 2.00 X 0 0 0 ELIZABETH MYSKA TRUSTEE 2.00 X 0 0 0 DIANE ROBBINS TRUSTEE 2.00 X 0 0 0 KENT DUR RUSSELL TRUSTEE 2.00 X 0 0 0 DOUGLAS T RADIGAN TRUSTEE 2.00 X 0 0 0 HOWARD PETERSON ASSISTANT TREASURER 2.00 X X 0 0 0 GRACE ELTON CEO 40.00 X 176055 0 8144 THADDEUS THOMPSON DIRECTOR OF INSTITUTIONAL 40.00 X 122184 0 4866 JANE ELLIS CFOO 40.00 X 110061 0 4711 408300 0 17721 3 0 1 0 CONSIGLI CONSTRUCTION 72 SUMNER STREET MILFORD MA 01757 CONSTRUCTION 259084 CSL CONSULTING LLC 30 NORTH AVE BURLINGTON MA 01803 CONSTRUCTION MANAGEMENT 141704 2 697249 179325 3105561 429016 3982135 GENERAL ADMISSION 110000 892594 892594 LECTURES 110000 152120 152120 EVENTS 110000 37166 37166 1081880 523187 523187 481640 245379 236261 236261 236261 5975580 2500 5744567 15 231013 2485 233498 2485 231013 25875 179325 90405 -64530 -64530 504229 481406 22823 22823 MISCELLANEOUS 110000 10809 10809 10809 6026063 1117997 0 925931 408300 91702 152209 164389 1742659 1311327 278622 152710 202864 137714 48979 16171 169008 107252 29892 31864 57509 57509 247937 140544 66149 41244 103204 4806 88304 10094 111171 10786 69044 31341 157986 132922 20406 4658 30235 13581 12608 4046 14349 4677 7932 1740 534023 487076 29342 17605 156147 131707 16775 7665 SUPPLIES 210826 196950 4997 8879 REPAIRS & MAINTENANCE & 170398 140635 19007 10756 OTHER EXPENSES 129286 67244 25439 36603 PROGRAM SERVICES 88405 88405 20785 20785 4555092 3067328 927214 560550 469206 240772 7298684 7126046 776062 1970044 121083 22067 78607 54298 70693 104145 25940754 11960446 13540638 13980308 19664909 17679062 42019882 41176742 291696 346561 1061521 203898 0 18081 1353217 568540 X 15054602 15342584 11903545 0 13708518 25265618 40666665 40608202 42019882 41176742 X 1470971 -2079434 550000 X 0 1 X 1 0 X 2268153 3631257 3617671 5582956 3982135 19082172 2268153 3631257 3617671 5582956 3982135 19082172 5535328 13546844 1549862 1447848 490432 850108 990461 5328711 158063 677389 82549 167051 0 1085052 25495935 5100459 0.53130 0.51750 X 21279486 61000 -1472469 1329798 18538219 19056378 87794 3454919 1319605 21279486 18798512 435228 1281741 1459103 19056378 18128428 1979463 -359379 950000 18798512 17635573 865800 590632 963577 18128428 0.09120 0.90880 0 0 1703170 1703170 16699965 7672859 9027106 4976522 3265989 1710533 1305697 1021598 284099 1255400 1255400 13980308 CAPITAL LEASE OBLIGATION 18081 18081 X 4904357 -2079434 1221826 -857608 5761965 57509 206589 264098 6026063 4962820 571826 571826 4390994 57509 106589 164098 4555092 PART V, LINE 4: THE SOCIETY'S ENDOWMENT CONSISTS OF INDIVIDUAL DONOR RESTRICTED FUNDS ESTABLISHED FOR A VARIETY OF PURPOSES. ITS ENDOWMENT INCLUDES BOTH DONOR RESTRICTED ENDOWMENT FUNDS AND FUNDS DESIGNATED BY THE SOCIETY TO FUNCTION AS ENDOWMENTS. AS REQUIRED BY GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, NET ASSETS ASSOCIATED WITH ENDOWMENT FUNDS ARE CLASSIFIED AND REPORTED BASED ON THE EXISTENCE OR ABSENCE OF DONOR-IMPOSED OR LEGAL RESTRICTIONS. ENDOWMENT FUNDS INCLUDE INVESTED GIFTS. AS REQUIRED BY GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, THE SOCIETY CLASSIFIES AS DONOR RESTRICTED NET ASSETS (A) THE ORIGINAL VALUE OF GIFTS DONATED TO THE PERMANENT ENDOWMENT, (B) THE ORIGINAL VALUE OF SUBSEQUENT GIFTS TO THE PERMANENT ENDOWMENT, AND (C) ACCUMULATIONS TO THE PERMANENT ENDOWMENT MADE IN ACCORDANCE WITH THE DIRECTION OF THE APPLICABLE DONOR GIFT INSTRUMENT AT THE TIME THE ACCUMULATION IS ADDED TO THE FUND. THE REMAINING PORTION OF THE DONOR-RESTRICTED ENDOWMENT FUND IS CLASSIFIED AS NET ASSETS WITH DONOR RESTRICTIONS UNTIL THOSE AMOUNTS ARE APPROPRIATED FOR EXPENDITURE BY THE SOCIETY IN A MANNER CONSISTENT WITH THE STANDARD OF PRUDENCE PRESCRIBED BY STATE LAW. IN ACCORDANCE WITH THE UNIFORM PRUDENT MANAGEMENT OF INSTITUTIONAL FUNDS ACT, THE SOCIETY CAN CONSIDER THE FOLLOWING FACTORS IN MAKING A DETERMINATION TO APPROPRIATE OR ACCUMULATE DONOR-RESTRICTED ENDOWMENT FUNDS: THE DURATION AND PRESERVATION OF THE FUND; THE PURPOSES OF THE SOCIETY AND THE DONOR-RESTRICTED ENDOWMENT FUND; GENERAL ECONOMIC CONDITIONS; THE POSSIBLE EFFECT OF INFLATION AND DEFLATION; THE EXPECTED TOTAL RETURN FROM INCOME AND THE APPRECIATION OF INVESTMENTS; OTHER RESOURCES OF THE SOCIETY; AND THE INVESTMENT POLICIES OF THE SOCIETY. THE SOCIETY HAS ADOPTED INVESTMENT AND SPENDING POLICIES APPLICABLE TO THE SOCIETY'S DONOR RESTRICTED ENDOWMENT FUND ASSETS AND TO THE TRUSTEE DESIGNATED FUND ASSETS. THE PURPOSE OF THESE POLICIES IS TO PROVIDE FINANCIAL SUPPORT FOR THE SOCIETY'S ACTIVITIES WHILE SEEKING TO MAINTAIN THE PURCHASING POWER OF THOSE ENDOWMENT ASSETS, WITH SECONDARY EXPECTATION OF MODERATE GROWTH. THE SOCIETY EXPECTS ITS ENDOWMENT FUNDS OVER TIME TO PROVIDE AN AVERAGE TOTAL RETURN OF 8%. ALTHOUGH ACTUAL RETURNS IN ANY GIVEN YEAR MAY VARY FROM THIS AMOUNT, THE S&P 500 EQUITY INDEX AND THE BARCLAYS AGGREGATE BOND INDEX PROVIDE THE BROAD MEASURES OF BENCHMARK PERFORMANCE. TO SATISFY ITS LONG-TERM RATE-OF-RETURN OBJECTIVES, THE SOCIETY RELIES ON A TOTAL RETURN STRATEGY IN WHICH INVESTMENT RETURNS ARE ACHIEVED THROUGH BOTH CAPITAL APPRECIATION (REALIZED AND UNREALIZED) AND DIVIDEND AND INTEREST YIELD. THE SOCIETY HAS INVESTED IN SEVERAL MUTUAL FUNDS TO PROVIDE DIVERSIFIED ASSET ALLOCATION WITH MODERATE RISK. THE ALLOCATION PLACES A GREATER EMPHASIS ON EQUITY-BASED INVESTMENTS WITH CONSIDERATION GIVEN TO LONG-TERM OBJECTIVES AND RISK. THE SOCIETY HAS A PRESENT POLICY OF APPROPRIATION FOR DISTRIBUTION EACH YEAR OF 4.5% OF ITS ENDOWMENT FUND'S AVERAGE MARKET VALUE OVER THE PRIOR TWENTY QUARTERS THROUGH THE THIRD QUARTER OF THE YEAR PRECEDING THE YEAR IN WHICH THE DISTRIBUTION IS TO BE MADE. THIS POLICY TAKES INTO CONSIDERATION THE LONG-TERM EXPECTED RETURN ON ITS ENDOWMENT AND THE OBJECTIVE TO MAINTAIN ITS PURCHASING POWER. DEPENDING UPON MARKET CONDITIONS AND THE NEEDS AND AVAILABLE RESOURCES OF THE SOCIETY, APPROPRIATIONS FOR EXPENDITURE MAY BE TEMPORARILY SUSPENDED TO FACILITATE PRESERVATION OF THE ENDOWMENT OR BE MADE IN EXCESS OF THE SPENDING POLICY AS DEEMED PRUDENT BY THE BOARD. IN 2018, THE BOARD APPROVED $673,882 AS THE DRAW BASED ON THE 4.5% POLICY, AND AN ADDITIONAL DRAW OF $360,000 TO FUND EXPANDING OPERATIONS. THE SOCIETY NEEDED THE ENTIRE BUDGETED ADDITIONAL DRAW IN 2018. IN 2017, THE BOARD APPROVED $632,229 AS THE DRAW BASED ON THE 4.5% POLICY, AND AN ADDITIONAL DRAW OF $540,000. OF THIS BUDGETED $540,000, ONLY $417,771 WAS NEEDED. THESE DRAWS HAVE BEEN TAKEN UNDER A BOARD-APPROVED PLAN CALCULATED TO ELIMINATE THE ADDITIONAL DRAW BY 2020. THE ADDITIONAL DRAWS WERE TAKEN FROM THE BOARD DESIGNATED PORTION OF THE ENDOWMENT. THESE AMOUNTS ARE REFLECTED IN NET INVESTMENT RETURN APPROPRIATED FOR OPERATIONS ON THE STATEMENT OF ACTIVITIES. FROM TIME TO TIME, THE FAIR VALUE OF ASSETS ASSOCIATED WITH INDIVIDUAL DONOR-RESTRICTED ENDOWMENT FUNDS MAY FALL BELOW THE LEVEL THAT THE DONOR IMPOSED RESTRICTIONS REQUIRE THE SOCIETY TO RETAIN AS A FUND OF PERPETUAL DURATION. THE SOCIETY MAY APPROPRIATE FOR EXPENDITURE FROM THESE UNDERWATER ENDOWMENT FUNDS IN ACCORDANCE WITH THE PRUDENT MEASURES PRESCRIBED BY STATE LAW. AS OF DECEMBER 31, 2018, FUNDS WITH AN ORIGINAL GIFT VALUE OF $40,218 WERE UNDERWATER BY $1,307. THERE WERE NO SUCH DEFICIENCIES AS OF DECEMBER 31, 2017. PART X, LINE 2: THE SOCIETY QUALIFIES AS A TAX-EXEMPT, NON-PROFIT ORGANIZATION UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. ACCORDINGLY, NO PROVISION FOR FEDERAL INCOME TAX IS REQUIRED. MANAGEMENT ANNUALLY REVIEWS FOR UNCERTAIN TAX POSITIONS ALONG WITH ANY RELATED INTEREST AND PENALTIES AND BELIEVES THAT THE SOCIETY HAS NO UNCERTAIN TAX POSITIONS THAT WOULD HAVE A METERIAL ADVERSE EFFECT, INDIVIDUALLY OR IN THE AGGREGATE, UPON THE SOCIETY'S STATEMENT OF FINANCIAL POSITION, OR THE RELATED STATEMENTS OF ACTIVITIES OR CASH FLOWS. PART XI, LINE 2D - OTHER ADJUSTMENTS: RETAIL & RENTAL EXPENSES 481,421. WATER CONSERVATION EASEMENT REVENUE 650,000. SPECIAL EVENT EXPENSE 90,405. PART XI, LINE 4B - OTHER ADJUSTMENTS: CAPITAL CAMPAIGN EXPENSES 106,589. CONTRIBUTED VALUE OF LAND PURCHASED 100,000. PART XII, LINE 2D - OTHER ADJUSTMENTS: RETAIL & RENTAL EXPENSES 481,421. SPECIAL EVENT EXPENSE 90,405. PART XII, LINE 4B - OTHER ADJUSTMENTS: CAPITAL CAMPAIGN EXPENSES 106,589. GALA 205200 179325 25875 38370 28682 23353 205200 179325 25875 38370 28682 23353 90405 -64530 X X 0 0 0 0 0 0 0 0 0 GRACE ELTON CEO 176055 0 0 0 0 0 1725 0 6419 0 184199 0 0 0 X 3 329016 NYSE X 3 100000 DISCOUNTED LAND PURCHASE 0 0 0 FORM 990, PART VI, SECTION A, LINE 6 MEMBERSHIP SHALL BE AVAILABLE TO ALL REGISTERED PERSONS OR ORGANIZATIONS SUPPORTIVE OF THE PURPOSE AND OBJECTIVES OF THE SOCIETY. FORM 990, PART VI, SECTION A, LINE 7A A) EACH MEMBER SHALL BE ACCORDED PRIVILEGES CONSISTENT WITH HIS OR HER CLASS OF MEMBERSHIP, AS DETERMINED FROM TIME TO TIME BY THE BOARD. B) ANY FIFTEEN MEMBERS MAY NOMINATE A CANDIDATE FOR ANY POSITION TO BE FILLED BY ELECTION AT THE NEXT ANNUAL MEETING. NOMINATION PAPERS SIGNED BY SUCH MEMBERS SHALL BE DELIVERED TO THE EXECUTIVE DIRECTOR AT LEAST TWO WEEKS BEFORE THE ANNUAL MEETING. C) EACH MEMBER PRESENT AT ANY ANNUAL MEETING OR SPECIAL MEETING SHALL HAVE THE RIGHT TO VOTE. D) AT ANY ANNUAL MEETING OR SPECIAL MEETING, ANY MEMBER MAY VOTE BY PROXY AS PROVIDED BY SECTION 6A OF CHAPTER 180 OF THE GENERAL LAWS. FORM 990, PART VI, SECTION A, LINE 7B MEMBERS OF THE SOCIETY MUST APPROVE ANY CHANGES TO THE BYLAWS AT THE ANNUAL MEETING. FORM 990, PART VI, SECTION B, LINE 11B THE 990 IS REVIEWED BY THE CHIEF EXECUTIVE OFFICER, CHIEF FINANCIAL OPERATING OFFICER AND THE FINANCE MANAGER AND THEN FORWARDED TO THE TREASURER FOR REVIEW AND SIGNATURE. ANY MEMBERS OF THE ORGANIZATION CAN REVIEW A COPY OF THE 990 AND FORM PC UPON REQUEST. FORM 990, PART VI, SECTION B, LINE 12C ANNUALLY THE BOARD OF TRUSTEES AND EMPLOYEES ARE ASKED TO REVIEW AND SIGN OFF ON THE CONFLICT OF INTEREST POLICY. INDIVIDUALS ARE ENCOURAGED TO DOCUMENT ANY RELATED PARTY TRANSACTIONS ON THE FORM. THE POLICY IS REVIEWED BY MANAGEMENT AND APPROPRIATELY COMMUNICATED TO THE AUDITORS FOR DISCLOSURE IN THE AUDITED FINANCIAL STATEMENTS. FORM 990, PART VI, SECTION B, LINE 15 CEO COMPENSATION IS DETERMINED THROUGH ANALYSIS OF COMPARABLE COMPENSATION DATA, MARKET FLUCTUATIONS AND BUDGETARY RESTRICTIONS. CEO IS EVALUATED ANNUALLY BY THE BOARD OF TRUSTEES. COMPENSATION FOR OTHER OFFICERS AND KEY EMPLOYEES IS DETERMINED BASED UPON HISTORIC COMPENSATION INFORMATION, DATA FROM THE AMERICA PUBLIC GARDENS ASSOCIATION AND/OR OTHER RELEVANT SALARY SURVEY DATA AND BUDGETARY RESTRICTIONS. EMPLOYEES ARE EVALUATED ANNUALLY FOR PERFORMANCE AND ANY COMPENSATION CHANGES. FORM 990, PART VI, SECTION C, LINE 19 FORMS ARE AVAILABLE IN THE BUSINESS OFFICE FOR REVIEW DURING THE BUSINESS HOURS OF 10AM TO 5PM. FORM 990, PART XI, LINE 9: WATER CONSERVATION EASEMENT REVENUE 650,000. ADDITIONAL VALUE IN PURCHASED LAND -100,000. WORCESTER TREE INITIATIVE LLC 11 FRENCH DRIVE BOYLSTON MA 01505 REBUILDING WORCESTER COUNTY'S COMMUNITY FORESTS MA