2019-02-06T14:25:04-06:00 2018-09-30 946214841 ARMANINO LLP 12657 ALCOSTA BLVD STE 500 SAN RAMON CA 945834600 990 2017-10-01 953298239 THE REASON FOUNDATION REAS 3103912245 5737 MESMER AVENUE LOS ANGELES CA 902306316 DAVID NOTT PRESIDENT & CEO 3103912245 2019-02-06 1 KATY BROWN P00650274 9257902600 67.204.178.68 2019-02-06 14:09:08 PS P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 32944E05676CDE9247B19067644C8267CD19105B 2017 2019-02-21 02:37:17Z DAVID NOTT 5737 MESMER AVENUE LOS ANGELES CA 902306316 13926714 0 X WWW.REASON.ORG X 1978 CA ADVANCE A FREE SOCIETY BY DEVELOPING, APPLYING, AND PROMOTING LIBERTARIAN PRINCIPLES 24 22 92 22 98988 0 11684317 11345241 1008894 984910 158745 116591 -143791 -346953 12708165 12099789 0 0 0 0 7073469 7125121 0 0 876070 5305629 5565594 12379098 12690715 329067 -590926 10605928 10773512 1685083 1918200 8920845 8855312 X TO ADVANCE A FREE SOCIETY BY DEVELOPING, APPLYING, AND PROMOTING LIBERTARIAN PRINCIPLES, INCLUDING INDIVIDUAL LIBERTY, FREE MARKETS, AND THE RULE OF LAW.WE USE JOURNALISM AND PUBLIC POLICY RESEARCH TO INFLUENCE THE FRAMEWORKS AND ACTIONS OF POLICYMAKERS AND THE PUBLIC. 0 0 4161662 734161 REASON MAGAZINEPROMOTING "FREE MINDS AND FREE MARKETS" SINCE 1968 - 11 ISSUES PUBLISHED - 47,100 PAID/REQUESTED COPIES AND 1,000 NEWSSTAND COPIES SOLD PER MONTH - AVERAGE OF 4 MILLION USER VISITS PER MONTH AT REASON.COM 3996201 35000 REASON FOUNDATIONRESEARCH AND ANALYSIS OF ISSUES RELATING TO REFORM, AND ENVIRONMENT -- EDUCATIONAL OUTREACH FROM A LIBERTARIAN PERSPECTIVE TO POLICYMAKERS, RELEVANT STAKEHOLDERS, AND THE GENERAL PUBLIC.- 11,100 PRINT ARTICLES CITING REASON EXPERTS- 28,200 ONLINE ARTICLES CITING REASON EXPERTS- 852 MILLION TOTAL CIRCULATION OF ARTICLES- 1,225 MEDIA APPEARANCES BY REASON EXPERTS- 12 LEGISLATIVE TESTIMONIES- 22 POLICY STUDIES- 13 AMICUS BRIEFS 1766468 100000 REASON-TVPRODUCING FREE MARKET IDEAS THROUGH VIDEO JOURNALISM ONLINE. - 195 VIDEOS PRODUCED - AVERAGE OF 3,063,000 VIDEOS PLAYED EACH MONTH 352590 16761 PUBLIC AFFAIRS REASON WORKS WITH MOTIVATED POLICYMAKERS TO IMPLEMENT MARKET-BASED REFORMS THAT OTHERS CAN SUCCESSFULLY COPY. OUR PENSION INTEGRITY PROJECT IS DESIGNED TO EDUCATE POLICYMAKERS AND TAXPAYERS ON THE URGENCY OF THE NATIONAL NEED FOR PENSION REFORM. OUR WORK TO STOP THE ACCUMULATION OF UNFUNDED PENSION LIABILITIES, PAY DOWN DEBTS, AND PROTECT TAXPAYERS FROM UNDUE RISK HAD SOME SIGNATURE SUCCESSES THIS YEAR.IN MICHIGAN, REASON'S ADVOCACY AND TECHNICAL ASSISTANCE LED TO THE UNANIMOUS PASSAGE OF A MAJOR REFORM TO MICHIGAN'S TEACHER PENSION SYSTEM. THE LAW WILL ACCELERATE THE PAYDOWN OF TENS OF BILLIONS OF DOLLARS IN UNFUNDED LIABILITIES, REDUCING FUTURE COSTS AND RISK TO TAXPAYERS. IN COLORADO, REASON'S WORK HELPED LEAD TO THE PASSAGE OF A SWEEPING BI-PARTISAN REFORM PACKAGE TO CHANGE PENSION CONTRIBUTIONS, RETIREMENT AGE FOR FUTURE WORKERS, AND COST-OF-LIVING ADJUSTMENTS; MADE FIXES TO THE STATE FUNDING FORMULA TO ELIMINATE THE UNFUNDED LIABILITY OF THE SYSTEM WITHIN 30 YEARS; AND EXPANDED ACCESS TO DEFINED CONTRIBUTION PLANS FOR MANY. PUBLIC-SECTOR PENSION REFORM EFFORTS ALSO WILL CONTINUE IN ARIZONA, MICHIGAN, SOUTH CAROLINA, AND OTHER STATES. REASON WORKED WITH LAWMAKERS TO HELP PASS LEGISLATION IN FLORIDA THAT MODERNIZES LOCAL GOVERNMENT FINANCIAL REPORTING, AND HAS TAKEN A LEAD ROLE IN CREATING AND PROVIDING STRATEGIC DIRECTION TO A NEW INDUSTRY WORKING GROUP THAT WILL DEVELOP AN ELECTRONIC FINANCIAL REPORTING STANDARD FOR GOVERNMENT FINANCE DATABASES NATIONWIDE. IN VARIOUS STATES THIS YEAR, REASON PROVIDED TESTIMONY AND/OR WORKED WIH POLICYMAKERS TO ADDRESS EDUCATION REFORM, INCLUDING STUDENT-BASED BUDETING, FINANCIAL REFORM, TRANSPARANCY, AND PRINCIPAL AUTONOMY. IN ARIZONA, OUR WORK WITH GOVERNOR DOUG DUCEY'S CLASSROOMS FIRST COMMISSION, OUR WORKSHOPS IN PARTNERSHIP WITH A FOR ARIZONA AND THE ARIZONA CHAMBER FOUNDATION, AND OUR OUTREACH TO REPRESENTATIVE PAUL BOYER AND SENATOR DEBBIE LESKO LED TO STUDENT-BASED BUDGETING LEGISLATION. RECOMMENDATIONS IN OUR REPORT, "BEYOND TEST SCORES: A CENTRAL ROLE FOR FINANCIAL HEALTH IN EVALUATING ARIZONA'S CHARTER SCHOOLS, AND TESTIMONY, WERE ADOPTED BY ARIZONA'S FINANCIAL FRAMEWORK SUBCOMMITTEE. OUR OUTREACH AND TESTIMONY IN NORTH CAROLINA AND TEXAS HAS LED TO STATE-LEVEL COMMISSIONS TO STUDY SCHOOL FINANCE REFORM AND CREATE MORE OPPORTUNITIES FOR ENGAGEMENT AND POTENTIAL FOR SCHOOL FINANCE REFORM IN THE 2019 LEGISLATIVE SESSION.AT THE CONCLUSION OF ITS FIRST YEAR IN OPERATION, REASON'S NEW CENTER FOR DRUG POLICY IS NOW DEEPLY ENGAGED IN A FEW KEY STATES TO PUSH FOR SENSIBLE, FREE-MARKET REGULATIONS ON LEGALIZED MARIJUANA. IN TANDEM WITH THIS OUTREACH, WE'VE PRODUCED A DOZEN BRIEFS AND PAPERS TO AID DECISIONMAKERS AND INFLUENCERS AND TO FORM THE KNOWLEDGE BASE FROM WHICH MODEL LEGISLATION CAN BE CRAFTEDOUR BRIEFS ON HOW OTHER STATES ARE DEALING WITH ISSUES RELATED TO LEGALIZED MARIJUANASUCH AS EFFECTS ON JUVENILE ACCESS, CRIME, HOMELESSNESS, AND VEHICLE ACCIDENTSHELP TO COUNTER INCORRECT NARRATIVES. OUR PAPERS ON SPECIFIC REGULATORY ISSUES FOR MARIJUANA MARKETSSUCH AS TAX LEVELS, LICENSING REQUIREMENTS, CAPITAL REQUIREMENTS, DELIVERY SERVICES, AND HOME GROWPROVIDE LEGISLATORS AND REGULATORS WITH THE EXPERTISE THEY NEED TO WRITE POLICY THAT EMBRACES COMPETITION OVER MONOPOLY AND THAT DOES NOT IMPOSE PUNITIVE TAXES. WE HAVE ALREADY BEGUN TO INFLUENCE THE DRAFTING OF THESE POLICIES IN NEW JERSEY, FLORIDA, AND CALIFORNIA. 1140382 0 STOSSEL ON REASON SINCE ITS LAUNCH IN 2017, REASON'S VIDEO COLLABORATION WITH BROADCASTING LEGEND AND 19-TIME EMMY WINNER JOHN STOSSEL DEBUTED HAS PRODUCED 70 VIDEOS, RANGING FROM DOCUMENTARY AND INVESTIGATIVE SEGMENTS TO INTERVIEWS WITH HIGH-PROFILE INDIVIDUALS, MAN-ON-THE-STREET EXCHANGES, AND VIDEO OP-EDS. AMONG THIS YEAR'S RELEASES WERE SEVERAL WITH MAJOR CULTURAL FIGURES, INCLUDING JORDAN PETERSON, SECRETARY OF EDUCATION BETSY DEVOS, AND EVA MOSKOWITZ OF SUCCESS ACADEMY. TOP PERFORMERS INCLUDE "NYC GOVERNMENT TRAUMATIZES GUN OWNERS," "$2 MILLION BATHROOM," "WHO OWNS YOUR BODY? AND "100 YEARS OF COMMUNIST DISASTER." 1492972 16761 11417303 1 1 0 1 0 0 0 0 0 1 1 0 0 0 0 0 1 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 1 10 0 1 92 1 1 1 0 0 0 0 1 1 0 0 0 0 X 24 22 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA X X JONATHAN GRAFF 3103912245 5737 MESMER AVENUE LOS ANGELES CA 90230 STEPHEN MODZELEWSKI BOARD CHAIR 1.00 X X 0 0 0 THOMAS E BEACH TRUSTEE 1.00 X 0 0 0 BARON BOND TRUSTEE 1.00 X 0 0 0 JOAN CARTER TRUSTEE 1.00 X 0 0 0 JIM CARUSO TRUSTEE 1.00 X 0 0 0 DREW A CAREY TRUSTEE 1.00 X 0 0 0 DERWOOD S CHASE JR TRUSTEE 1.00 X 0 0 0 PETER P COPSES TRUSTEE 1.00 X 0 0 0 JAMES R CURLEY TRUSTEE 1.00 X 0 0 0 RICHARD J DENNIS TRUSTEE 1.00 X 0 0 0 PETER FARRELL TRUSTEE 1.00 X 0 0 0 DAVID FLEMING TRUSTEE 1.00 X 0 0 0 C BOYDEN GRAY TRUSTEE 1.00 X 0 0 0 JAMES D JAMESON TRUSTEE 1.00 X 0 0 0 MANUEL S KLAUSNER TRUSTEE 1.00 X 0 0 0 DAVID H KOCH TRUSTEE 1.00 X 0 0 0 JAMES LINTOTT TRUSTEE 1.00 X 0 0 0 GEORGE F OHRSTROM TRUSTEE 1.00 X 0 0 0 CAROL SANDERS TRUSTEE 1.00 X 0 0 0 RICHARD A WALLACE TRUSTEE 1.00 X 0 0 0 KERRY WELSH TRUSTEE 1.00 X 0 0 0 FRED M YOUNG JR TRUSTEE 1.00 X 0 0 0 DAVID NOTT PRESIDENT, CEO 40.00 X X 388222 0 106844 ROBERT POOLE FOUNDER; DIRECTOR OF TRANS 40.00 X X 230000 0 368 ADRIAN T MOORE VICE PRESIDENT POLICY 40.00 X 230174 0 10533 JULIAN MORRIS VICE PRESIDENT RESEARCH 40.00 X 165576 0 10648 JONATHAN GRAFF CHIEF FINANCIAL OFFICER, T 40.00 X 184989 0 10667 MICHAEL ALISSI VICE PRESIDENT, OPERATIONS 40.00 X 174156 0 10648 KATHERINE MANGU-WARD VICE PRESIDENT/EDITOR-IN-C 40.00 X 135466 0 10457 NICHOLAS GILLESPIE VICE PRESIDENT ONLINE 40.00 X 255907 0 4804 MATT L WELCH EDITOR-AT-LARGE 40.00 X 170822 0 10648 MELISSA MANN DEVELOPMENT DIRECTOR 40.00 X 143563 0 4683 CHRISTOPHER MITCHELL COMMUNICATIONS DIRECTOR 40.00 X 115624 0 252 LEONARD C GILROY DIRECTOR OF GOVERNMENT REF 40.00 X 116107 0 4664 2310606 0 185216 16 0 1 0 JFS PRODCUTIONS INC 250 W 57TH STREET 1723 NEW YORK NY 10107 TV PRODUCTION 500000 MDR PRODUCTIONS 225 E 76TH STREET 5A NEW YORK NY 10021 TV PRODUCTION 137500 RONALD BAILEY 517 SECOND ST NE CHARLOTTESVILLE VA 22902 SCIENCE CORRESPONDENT 102000 3 698383 10646858 478424 11345241 SUBSCRIPTION SALES 900099 635173 635173 CONFERENCE REVENUE 900099 215749 215749 ADVERTISING INCOME 511120 89407 89407 RESEARCH 900099 35000 35000 MAILING LIST RENTAL 511120 9581 9581 984910 117547 117547 1458233 1459189 -956 -956 -956 20550 698383 367736 -347186 -347186 MISCELLANEOUS INCOME 900099 233 233 233 12099789 885922 98988 -230362 X 1633392 1343447 131376 158569 4767856 4355712 100864 311280 297800 288328 916 8556 426073 366781 15749 43543 22591 22591 42476 42476 2374913 2343908 16517 14488 204914 154651 1325 48938 165994 114807 4344 46843 412131 379289 17515 15327 568387 482496 673 85218 90017 75481 14536 74660 67658 2309 4693 106967 95333 3968 7666 MAGAZINE PRINTING & DIS 586254 586254 FOUNDATION-HOSTED EVENT 356222 356222 DUES AND SUBSCRIPTIONS 125525 120751 326 4448 PRINTED MATERIAL 117191 30185 1522 85484 317352 233409 57462 26481 12690715 11417303 397342 876070 863706 1299847 352111 467663 387015 156866 134499 179311 4212464 1373428 2882264 2839036 5846505 5654946 139828 175843 10605928 10773512 1407230 1640513 277853 277687 1685083 1918200 X 6533725 7007719 2342841 1798314 44279 49279 8920845 8855312 10605928 10773512 -590926 525393 0 X 0 1 X 1 0 X 10007790 9363678 10198865 11684317 11345241 52599891 10007790 9363678 10198865 11684317 11345241 52599891 11430317 41169574 51054 55022 117912 95961 117547 437496 48491 674 3686 94 233 53178 53090565 5492226 0.77550 0.74960 X 92000 92000 12598715 12690715 784536 196134 0 0 638014 677678 768955 784536 2869183 4303775 25103 61265 95062 92000 273430 159504 169420 192239 196134 717297 1075946 54867 11065 6034 10588 61378 63878 3233 7355 19599 54867 63995 -117 63878 64112 -117 63995 55901 8211 64112 0.80290 0.19710 0 0 1908473 1908473 1018670 213736 804934 16850 13720 3130 1268471 1145972 122499 2839036 12972368 525393 347186 872579 12099789 0 12099789 13037901 347186 347186 12690715 0 12690715 PART V, LINE 4: PROCEEDS FROM THE ENDOWMENT ARE MEANT TO SUPPORT THE ONGOING WORK OF THE REASON FOUNDATION. PART XI, LINE 2D - OTHER ADJUSTMENTS: EVENT EXPENSES 347,186. PART XII, LINE 2D - OTHER ADJUSTMENTS: EVENT EXPENSES 347,186. FF REASON MEDIA AWARDS 221164 215664 5500 23000 105402 13500 39201 REASON MEDIA AWARDS 138466 123416 15050 16000 31725 51471 87437 3 359303 359303 718933 698383 20550 39000 137127 64971 126638 367736 -347186 X X X X 0 1 0 0 0 0 0 0 0 DAVID NOTT PRESIDENT, CEO 313222 0 75000 0 0 0 96130 0 10714 0 495066 0 0 0 ROBERT POOLE FOUNDER; DIRECTOR OF TRANS 200000 0 30000 0 0 0 0 0 368 0 230368 0 0 0 ADRIAN T MOORE VICE PRESIDENT POLICY 155174 0 75000 0 0 0 0 0 10533 0 240707 0 0 0 JULIAN MORRIS VICE PRESIDENT RESEARCH 125576 0 40000 0 0 0 0 0 10648 0 176224 0 0 0 JONATHAN GRAFF CHIEF FINANCIAL OFFICER, T 134989 0 50000 0 0 0 0 0 10667 0 195656 0 0 0 MICHAEL ALISSI VICE PRESIDENT, OPERATIONS 131156 0 43000 0 0 0 0 0 10648 0 184804 0 0 0 NICHOLAS GILLESPIE VICE PRESIDENT ONLINE 205907 0 50000 0 0 0 0 0 4804 0 260711 0 0 0 MATT L WELCH EDITOR-AT-LARGE 135822 0 35000 0 0 0 0 0 10648 0 181470 0 0 0 PART I, LINE 4B THE ORGANIZATION ACCRUED $75,000 THIS YEAR ON BEHALF OF DAVID NOTT, PRESIDENT & CEO, WHICH WILL BE DEPOSITED INTO AN IRC SECTION 457(F) NONQUALIFIED SIMPLIFIED EMPLOYEE RETIREMENT PLAN (THE "PLAN"). IN ADDITION, INVESTMENTS OF THE PLAN GENERATED INCOME TOTALING $46,797 ADRIAN MOORE OFFICER 32583 SPOUSE OF OFFICER WAS PAID $32,583 DURING FY2018 FOR EDITING, RESEARCH AND WRITING AS A PART-TIME STAFF MEMBER FOR THE FOUNDATION. 0 X 16 329156 QUOTED PRICE X EVENT COSTS 3 139268 FAIR MARKET VALUE X TRAVEL VOUCHERS 1 10000 FAIR MARKET VALUE 0 0 0 FORM 990, PART VI, SECTION B, LINE 11B LINE 11A EXPLANATION - PRIOR TO FILING WITH THE IRS THE DRAFT 990 WILL BE EMAILED TO THE ENTIRE BOARD OF TRUSTEES FOR REVIEW; FEEDBACK WILL BE PROVIDED TO THE CFO. FORM 990, PART VI, SECTION B, LINE 12C TRUSTEES AND OFFICERS OF THE FOUNDATION WILL COMPLETE A FORM TO CERTIFY THAT THERE ARE NO EXISTING CONFLICTS. IF THERE ARE ANY CHANGES TO THAT STATUS THEY WILL COMPLETE AND SUBMIT ANOTHER FORM. FORM 990, PART VI, SECTION B, LINE 15 COMPARABLE DATA WAS ASSEMBLED FROM PUBLIC 990 FILINGS FOR SIMILAR POSITIONS WITHIN OTHER NONPROFIT ORGANIZATIONS AND PRESENTED TO THE FINANCE COMMITTEE OF THE BOARD OF TRUSTEES WITH RECOMMENDATIONS FOR COMPENSATION. THE FINANCE COMMITTEE THEN DISCUSSED AND APPROVED COMPENSATION IN AN EXECUTIVE COMMITTEE MEETING OF THE FULL BOARD OF TRUSTEES. FORM 990, PART VI, SECTION C, LINE 19 UPON REQUEST THE DOCUMENTS WILL BE MAILED OR E-MAILED TO THE REQUESTING PARTY. FORM 990, PART IX, LINE 11G CONTRACT SERVICES: PROGRAM SERVICE EXPENSES 2,343,908. MANAGEMENT AND GENERAL EXPENSES 16,517. FUNDRAISING EXPENSES 14,488. TOTAL EXPENSES 2,374,913.