2018-10-04T14:19:10-05:00 2017-12-31 PRICEWATERHOUSECOOPERS LLP 300 MADISON AVENUE NEW YORK NY 10017 990 2017-01-01 200043817 EHS I INC % JOSEPH LAVACCA EHS 2129777622 55 CLARK STREET BROOKLYN NY 11201 JEFFREY LYNFORD President 2129777622 2018-10-04 LAURA J PARELLO P01080295 6464713000 2017 2022-09-23 18:48:47Z JEFFREY LYNFORD 55 CLARK STREET BROOKLYN NY 11201 13438843 false X WWW.STUDENTHOUSING.ORG X 2003 NY THE EHS & SUBSIDIARIES MISSION IS "TO ENHANCE THE NEW YORK CITY COLLEGE EXPERIENCE BY PROVIDING SAFE AND AFFORDABLE HOUSING IN AN ENRICHING STUDENT LIFE ENVIRONMENT" 7 7 0 0 0 0 0 0 12464589 13422305 125 127 15559 16411 12480273 13438843 0 0 0 0 1036683 1166836 0 0 0 12021765 12704375 13058448 13871211 -578175 -432368 17047006 16558716 2860824 2804902 14186182 13753814 THE EHS & SUBSIDIARIES MISSION IS "TO ENHANCE THE NEW YORK CITY COLLEGE EXPERIENCE BY PROVIDING SAFE AND AFFORDABLE HOUSING IN AN ENRICHING STUDENT LIFE ENVIRONMENT". false false 12345550 13422305 TO ACQUIRE BY LEASE OR OTHERWISE, MAINTAIN AND OPERATE, IN THE NEW YORK CITY METRO AREA, QUALITY, SAFE, STATE OF THE ART, AFFORDABLE, RESIDENTIAL FACILITIES FOR STUDENTS AND TEACHERS OF EDUCATIONAL INSTITUTIONS. 12345550 false false false false false false false false false true false false true true true false true false false false false false false false false false false false true false false false false false false false false false false false true true true false true 57 0 true 0 false false false false false false X 7 7 false false false false true false false true true false false true true true true true true false false false NY X JOSEPH LAVACCA 2129777622 55 CLARK STREET BROOKLYN NY 11201 WILLIAM COCKRUM III BOARD MEMBER 1.0 4.0 X 0 25000 0 JERRY HULTIN CHAIRMAN OF THE BOARD 1.0 4.0 X 0 25000 0 JOHN THOMAS RANDOLPH II Board Member 1.0 4.0 X 0 25000 0 DALE ANNE REISS BOARD MEMBER 1.0 4.0 X 0 25000 0 SAMARA BAREND Board Member 1.0 4.0 X 0 25000 0 DONALD D SHEETS Board Member 1.0 4.0 X 0 25000 0 DENNIS R IRVIN Board Member 1.0 4.0 X 0 25000 0 ARIEL DYBNER SR VP GNRL COUNSEL, SECRETARY 1.5 28.5 X 0 151775 53422 JEFFREY LYNFORD PRESIDENT 1.75 33.25 X 0 586683 49257 JOSEPH LA VACCA TREASURER 8.75 26.25 X 0 173835 60078 RAMALINGAM GANESH SENIOR VP/CFO 1.75 33.25 X 0 228626 18177 FAYE BEAN SENIOR VP LEASING & MARKETING 8.75 26.25 X 0 221981 85544 CHRISTY CHATFIELD SENIOR VP STUDENT LIFE 6.65 28.35 X 0 201186 77538 KEVIN GROSS VP FACILITIES & PROPERTY MGMT 8.75 26.25 X 0 140414 27327 ADAM B KAUFMAN SENIOR HOUSING ADVISOR 9.8 25.2 X 0 139687 27136 DARLENE LEWIS CONTROLLER 8.75 26.25 X 0 113544 26715 MATIAS PAGOLA Chief Technology Officer 3.5 31.5 X 0 193221 50340 0 2325952 475534 0 false true false CLEANING BUILDING SERVICES 1133 Broadway Ste 412 NEW YORK NY 10010 CLEANING SERVICE 286336 DOYLE SECURITY SERVICES INC 108 S Franklin Ave VALLEY STREAM NY 11580 Security Service 460005 2 0 HOUSING AND DORMITORY 721310 13422305 13422305 13422305 127 127 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 VENDING MACHINE 900099 7463 7463 MISCELLEANEOUS 900099 8948 8948 16411 13438843 13422305 16538 0 0 0 0 250751 250751 0 801806 332992 468814 38561 16629 21932 75718 30172 45546 0 0 545 545 33540 33540 0 0 0 140147 107986 32161 99640 99640 74391 74391 189917 189917 0 10990495 10898042 92453 30932 30932 0 20228 20228 0 0 253100 205450 47650 151868 130791 21077 REPAIRS & MAINTENANCE 455126 452946 2180 STUDENT LIFE EXPENSE 174481 170542 3939 MISCELLANEOUS 8427 8427 BAD DEBT EXPENSE 81538 81538 13871211 12345550 1525661 2497934 1248114 250279 250406 0 0 29118 444649 0 0 0 0 0 0 0 0 134112 0 3280097 2746685 697372 533412 0 0 0 0 0 0 0 0 13438191 14082135 17047006 16558716 79990 76941 0 0 2715873 2688775 0 0 0 0 0 0 0 0 0 0 64961 39186 2860824 2804902 X 14186182 13753814 0 0 0 0 14186182 13753814 17047006 16558716 -432368 X false true X true false 790614 683024 107590 2489483 2063661 425822 533412 SECURITY DEPOSITS 392553 DUE FROM RELATED PARTIES 13689582 14082135 0 DUE TO RELATED PARTIES 36823 OTHER LIABILITIES 2363 39186 X SCHEDULE D, PART X, LINE 2 FIN 48 THE ORGANIZATION IS TAX-EXEMPT UNDER SECTION 501(C)(2) OF THE INTERNAL REVENUE CODE. THEREFORE, NO PROVISION FOR INCOME TAXES HAS BEEN INCLUDED IN THE ORGANIZATION'S CONSOLIDATED FINANCIAL STATEMENTS. U.S. GAAP REQUIRES MANAGEMENT TO EVALUATE TAX POSITIONS TAKEN BY THE ORGANIZATION AND RECOGNIZE A TAX LIABILITY (OR ASSET) IF THE ORGANIZATION HAS TAKEN AN UNCERTAIN POSITION THAT MORE LIKELY THAN NOT BE SUSTAINED UPON EXAMINATION BY THE RELEVANT TAX AUTHORITIES. MANAGEMENT HAS ANALYZED THE TAX POSITIONS TAKEN BY THE ORGANIZATION, AND HAS CONCLUDED THAT, AS OF DECEMBER 31, 2017, THERE ARE NO UNCERTAIN TAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN THAT WOULD REQUIRE RECOGNITION OF A LIABILITY (OR ASSET) OR DISCLOSURE IN THE CONSOLIDATED FINANCIAL STATEMENTS. MANAGEMENT BELIEVES THAT ITS TAX-EXEMPT STATUS WOULD BE SUSTAINED UPON EXAMINATION. THE ORGANIZATION FILES INFORMATIONAL TAX RETURNS IN THE UNITED STATES FEDERAL AND NEW YORK STATE JURISDICTIONS. false true false ARIEL DYBNER SR VP GNRL COUNSEL, SECRETARY 0 141775 0 10000 0 0 0 11759 0 41663 0 205197 0 0 JEFFREY LYNFORD PRESIDENT 0 586683 0 0 0 0 0 21107 0 28150 0 635940 0 0 JOSEPH LA VACCA TREASURER 0 163835 0 10000 0 0 0 31928 0 28150 0 233913 0 0 FAYE BEAN SENIOR VP LEASING & MARKETING 0 211981 0 10000 0 0 0 43881 0 41663 0 307525 0 0 CHRISTY CHATFIELD SENIOR VP STUDENT LIFE 0 191186 0 10000 0 0 0 35875 0 41663 0 278724 0 0 KEVIN GROSS VP FACILITIES & PROPERTY MGMT 0 130414 0 10000 0 0 0 27327 0 0 0 167741 0 0 ADAM B KAUFMAN SENIOR HOUSING ADVISOR 0 139687 0 0 0 0 0 18000 0 9136 0 166823 0 0 RAMALINGAM GANESH SENIOR VP/CFO 0 218626 0 10000 0 0 0 18177 0 0 0 246803 0 0 MATIAS PAGOLA Chief Technology Officer 0 193221 0 0 0 0 0 18000 0 32340 0 243561 0 0 DEFERRED COMPENSATION PLAN IN 2015, THE BOARD OF DIRECTORS OF THE ORGANIZATION APPROVED A LONG TERM INCENTIVE COMPENSATION PLAN FOR MEMBERS OF THE SENIOR MANAGEMENT TEAM (OTHER THAN THE PRESIDENT) THAT HAVE BEEN WITH THE ORGANIZATION FOR AT LEAST TEN YEARS. THE PLAN COMPENSATES PARTICIPANTS BASED ON ORGANIZATIONAL CRITERIA OF WHETHER THE ORGANIZATION REACHES $2M IN CASH FLOW FOR THE CURRENT YEAR AND WHETHER STUDENT SATISFACTION MEETS CERTAIN BENCHMARKS AND ON INDIVIDUAL CRITERIA OF LONGEVITY WITH THE ORGANIZATION, WHETHER THE DEPARTMENT THE INDIVIDUAL IS IN CHARGE OF IS WITHIN A CERTAIN PERCENTAGE OF THE PRIOR YEAR EXPENSE BUDGET. IN ADDITION THE PLAN GIVES DISCRETION TO THE BOARD OF DIRECTORS TO VARY FROM THESE CRITERIA. AS OF DECEMBER 31, 2017, THE AMOUNT CALCULATED AS DEFERRED COMPENSATION TO BE PAID TO ELIGIBLE EMPLOYEES OF THE PLAN AFTER EXPIRY OF A VESTING PERIOD OF 5 YEARS WAS $255,748. THE FOLLOWING MEMBERS OF THE SENIOR MANAGEMENT TEAM ARE ELIGIBLE TO PARTICIPATE: SENIOR VICE PRESIDENT OF LEASING AND MARKETING $88,914, SENIOR VICE PRESIDENT OF STUDENT LIFE $66,376, TREASURER $61,275 AND VICE PRESIDENT OF FACILITIES $39,183. AS OF DECEMBER 2017, $118,345 REPRESENTING THE ACCRUED PORTION OF THE PAYABLE OF $ 255,748 HAS BEEN FUNDED. FORM 990, PART VI, LINE 6 MEMBERS OF THE ORGANIZATION THE ORGANIZATION IS THE TYPE OF NOT-FOR-PROFIT CORPORATION THAT IS REQUIRED TO HAVE MEMBERS. THE DIRECTORS OF THE ORGANIZATION ACT AS THE MEMBERS. FORM 990, PART VI, LINE 11B FORM 990 PROVIDED TO GOVERNING BODY THE FORM 990 FOR 2017 WAS PROVIDED TO THE FULL BOARD AT THE SEPTEMBER 2018 BOARD MEETING FOR REVIEW AND COMMENT. APPROVAL VIA BOARD VOTE OF THE FORM 990 IS REQUIRED PRIOR TO FILING THE REPORT TO THE IRS. FORM 990, PART VI, LINE 12C CONFLICT OF INTEREST POLICY EHS' CONFLICT OF INTEREST POLICY REQUIRES THE FILING BY ALL BOARD MEMBERS AND SENIOR OFFICERS OF THE ORGANIZATION OF ANNUAL CONFLICTS DISCLOSURE STATEMENT. THESE ARE REVIEWED BY THE AUDIT COMMITTEE QUARTERLY FOR ANY CONFLICT. IN DECEMBER 2012, THE OFFICE OF THE ATTORNEY GENERAL OF THE STATE OF NEW YORK ("OAG") CONCLUDED ITS INVESTIGATION OF THE ORGANIZATION AND ENTERED INTO AN ASSURANCE OF DISCONTINUANCE ("AOD") WITH THE ORGANIZATION, ITS FORMER CEO AND PRESIDENT, AND ITS FORMER BOARD OF DIRECTORS. THE AOD SET FORTH SPECIFIC FINDINGS AND PROSPECTIVE RELIEF WHEREBY THE ORGANIZATION WOULD RECEIVE MONETARY COMPENSATION FROM FUNDS SET ASIDE BY THE OAG AND FUNDED BY THE FORMER CEO AND PRESIDENT AND FORMER BOARD OF DIRECTORS AND BENEFIT FROM THE RESCINDING OF A CONTRACT WITH A SERVICE PROVIDER ENTERED INTO BY THE FORMER MANAGEMENT OF THE ORGANIZATION. THE NET MONETARY RELIEF PURSUANT TO THE AOD TOTALING $5.3 MILLION WAS TO BE APPLIED BY THE ORGANIZATION FOR THE BENEFIT OF THE ORGANIZATION'S STUDENT RESIDENTS IN THE FORM OF REBATES TOTALING UP TO $1.5 MILLION AND CAPITAL EXPENDITURES OF NOT LESS THAN $3.8 MILLION TO UPGRADE THE ROOMS AND AMENITIES THE ORGANIZATION PROVIDES TO ITS STUDENT RESIDENTS. THE ORGANIZATION UTILIZED AN INDEPENDENT THIRD PARTY VENDOR TO ADMINISTER THE REBATE DISBURSEMENT PROCESS. THE REBATE DISBURSEMENT PROCESS INVOLVED IDENTIFYING AND COMMUNICATING (THROUGH EMAIL AND FIRST CLASS MAIL) WITH STUDENTS WHO WERE RESIDENTS DURING THE YEARS 2012 AND 2013 AND ELIGIBLE FOR RECEIVING THE REBATES LINKED TO THEIR PERIOD OF THEIR STAY. FOR THE YEARS 2012 AND 2013, CHECKS FOR $505,037 AND $495,012 WERE ISSUED TO 4,758 AND 5,032 STUDENTS RESPECTIVELY. THIS AMOUNTED TO $1,000,049 REPRESENTING 67% OF THE AMOUNT OF $1.5 MILLION SET ASIDE BY THE AOD TO COVER THE ISSUANCE OF REBATES DISBURSED TO ELIGIBLE AND VERIFIED STUDENTS. THE CLAIM PERIOD FOR RECEIVING REBATES AS PER THE AOD HAS ENDED. THEREFORE, PURSUANT TO ARRANGEMENTS MADE WITH THE OAG, THE BALANCE OF $499,951 IS TO BE UTILIZED BY THE ORGANIZATION FOR ADDITIONAL DORMITORY IMPROVEMENTS IN ITS RESIDENCES. IN 2017, IT WAS REPORTED THAT OUT OF THE CHECKS ISSUED IN 2012 AND 2013 TO ELIGIBLE STUDENTS AS DESCRIBED EARLIER, THERE WERE $131K OF UNCASHED (OUTSTANDING) WHICH HAVE NOT BEEN PRESENTED FOR PAYMENT. A NEW EFFORT WAS LAUNCHED TO REACH THESE STUDENTS BY EMAIL AND FIRST CLASS MAIL WHICH RESULTED IN AN ADDITIONAL $11K BEING CASHED, LEAVING AN UNCASHED BALANCE OF $120K. THE ORGANIZATION ADVISED THE OAG THAT THIS UNCASHED AMOUNT OF $120K WOULD BE RETURNED TO THE ORGANIZATION TO BE USED FOR FURTHER DORMITORY IMPROVEMENTS. THE ORGANIZATION HAS RECEIVED THESE FUNDS IN JUNE 2018. OVER THE PERIOD FROM 2012-2017, THE ORGANIZATION HAS UPGRADED SEVERAL RESIDENCES WITH IMPROVED WI-FI EQUIPMENT AND INTERNET SERVICES, SECURITY CAMERAS, NEW FURNITURE, STATE OF THE ART COOKING FACILITIES, AND UPGRADED COMMON AREA SPACE AT A COST OF APPROXIMATELY $4.3 MILLION. THE ORGANIZATION HAS APPROXIMATELY $130K REMAINING FROM THE AOD FUNDS, WHICH AMOUNT WILL BE USED FOR CONTINUING UPGRADING ROOMS AND AMENITIES, NEW FLOORING AND BATHROOM RENOVATIONS AMONG ITS RESIDENCES DURING 2018 CONSISTENT WITH THE TERMS OF THE AOD. FORM 990, PART VI, LINE 15A & 15B COMPENSATION POLICY 990 Part VI-LINE 15A: IN JULY 2015, THE ORGANIZATION, WITH REVIEW AND APPROVAL OF THE GOVERNANCE, FINANCE AND COMPENSATION COMMITTEE AND INPUT FROM OUTSIDE COMPENSATION CONSULTANTS GRANT THORNTON, LLP, EXTENDED THE EMPLOYMENT CONTRACT OF ITS PRESIDENT FOR AN ADDITIONAL TERM OF FIVE YEARS ENDING NOVEMBER 11, 2020. IN ADDITION, THE BOARD APPROVED A ONE TIME SALARY INCREASE OF 7% EFFECTIVE NOVEMBER 12, 2015. PART VI - LINE 15B IN 2017 THE ORGANIZATION RE-ENGAGED GRANT THORNTON LLP TO REVIEW THE COMPENSATION LEVELS OF OTHER OFFICERS AND KEY EMPLOYEES OF THE ORGANIZATION TO PROVIDE THE BOARD WITH A DETERMINATION OF COMPENSATION FOR THOSE EMPLOYEES. BASED ON THE REVIEW, THE COMPENSATION OF VP FACILITIES WAS RAISED AND FOR 2017, NO OTHER COMPENSATION DECISIONS WERE MADE FOR ANY OTHER OFFICER OR KEY EMPLOYEES OF THE ORGANIZATION. FORM 990, PART VI, LINE 19 DOCUMENTS AVAILABLE FOR PUBLIC INSPECTION COPIES OF THE ANNUAL FINANCIALS AND OTHER GOVERNING DOCUMENTS ARE SENT TO THE STATE OF NEW YORK, NEW YORK STATE BOND COMMISSION, AND THE BOARD OF DIRECTORS. COPIES ARE ON FILE AND AVAILABLE UPON REQUEST. THE PROCESS HAS NOT CHANGED FROM PRIOR YEAR. FORM 990 PAYROLL EHS CONTRACTS WITH ADP TOTAL SOURCE FOR THEIR HUMAN RESOURCES/PAYROLL SERVICES. AS SUCH, ALL EMPLOYEES OF EHS BECAME PART OF ADP'S PROFESSIONAL EMPLOYER ORGANIZATION (PEO) GROUP. FOR W-2 PURPOSES, ADP IS LISTED AS THE EMPLOYER OF ALL EHS EMPLOYEES. EHS IS THE SOLE ENTITY THAT PAYS THE EMPLOYEES OF ALL THE RELATED/CONTROLLING ENTITIES. ALLOCATIONS ARE MADE FROM EHS TO THESE ENTITIES, BASED ON ACTUAL TIME WORKED BY EACH EMPLOYEE WHEN KNOWN, OR BY AN ALLOCATION OF MANAGEMENT SALARIES BASED UPON THE ESTIMATED TIME WORKED THROUGH THE YEAR ON THESE ENTITIES. HOURS OF BOARD MEMBERS ARE BASED UPON THE QUARTERLY AND MONTHLY MEETINGS INCLUDING REGULAR INTERACTIONS WITH MANAGEMENT IN PERSON AND TELEPHONICALLY AS IT RELATES TO A PARTICULAR ENTITY. EDUCATIONAL HOUSING SERVICES INC 55 CLARK STREET BROOKLYN NY 11201 133411159 STUD. HOUSING NY 501(C)(3) 10 NA false EHS II INC 55 CLARK STREET BROOKLYN NY 11201 200108370 STUD. HOUSING NY 501(C)(2) EHS INC true EHS III INC 55 CLARK STREET BROOKLYN NY 11201 200236647 STUD. HOUSING NY 501(C)(2) EHS INC true false false false false false false false false false false false false false false true false false true true EHS II INC S 68916 OPERATING EXP. EHS II INC R 127044 OPERATING EXP.