2017-05-15T09:16:00-05:00 2016-12-31 560574444 CHERRY BEKAERT LLP 1111 METROPOLITAN AVE STE 1000 CHARLOTTE NC 28204 990 2016-01-01 270953369 GOODWILL INDUSTRIES OF THE VALLEY WORKS GOOD 5405810620 2502 MELROSE AVE NW ROANOKE VA 24017 BRUCE PHIPPS PRESIDENT AND CEO 5405810620 2017-05-12 1 JANICE A RATICA P00358837 7043771678 68.142.180.174 2017-05-12 13:33:42 ED P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 E38097BBFFE35CF4632B7FF761684AE01B556E7F 2016 2021-01-29 14:40:06Z BRUCE PHIPPS 2502 MELROSE AVE NW ROANOKE VA 24017 40112552 0 X WWW.GOODWILLVALLEYS.COM X 2009 VA HELPING PEOPLE AND FAMILIES IN OUR COMMUNITY ACHIEVE A BETTER LIFE THROUGH WORK AND INDEPENDENCE. 21 21 1546 10 0 0 32583218 35379195 3542815 0 12972 178005 1976508 1717947 38115513 37275147 0 0 0 0 17365362 17566529 0 0 0 25978813 24624133 43344175 42190662 -5228662 -4915515 16739154 12345868 1334013 1637127 15405141 10708741 GOODWILL PROVIDES WORK AND TRAINING PROGRAMS THAT EMPOWER YOUTH, ADULTS AND SENIORS TO ACHIEVE THEIR GREATEST POTENTIAL. GOODWILL HELPS PEOPLE WHO HAVE DISABILITIES, DISADVANTAGES OR NEED TO ENHANCE SKILLS TO FIND A BETTER JOB. 0 0 36206041 DONATED GOODS GOODWILL COLLECTS ITEMS THAT THE PUBLIC NO LONGER NEEDS AT COMMUNITY DONATION CENTERS AND SELLS THESE ITEMS IN RETAIL STORES THAT IT OPERATES. DONATED ITEMS THAT ARE SOLD IN STORES INCLUDE CLOTHING, SHOES, TOYS, HOUSEHOLD GOODS, FURNITURE, SMALL ELECTRONICS, AND VARIOUS OTHER ITEMS. THE REVENUES GENERATED FROM STORE SALES HELP TO FUND THE ORGANIZATION'S JOB TRAINING AND EMPLOYMENT PROGRAMS THAT ASSIST YOUTH, ADULTS, AND SENIORS WITH BARRIERS TO EMPLOYMENT TO GET BACK TO WORK AND GAIN GREATER INDEPENDENCE. THIS FUNDING SUPPORTS BOTH GOODWILL INDUSTRIES OF THE VALLEY WORKS AND ITS PARENT COMPANY, GOODWILL INDUSTRIES OF THE VALLEYS, INC. 1176248 COMMERCIAL SERVICES GOODWILL PROVIDES OUTSOURCING SOLUTIONS TO AREA BUSINESSES IN FIELDS SUCH AS JANITORIAL, PACKAGING, AND PRODUCTION AND ASSEMBLY. INDIVIDUALS WITH DISABILITIES AND OTHER BARRIERS TO EMPLOYMENT WORK ON THESE JOBS THAT ARE LOCATED AT EITHER AN AREA BUSINESS OR AT A GOODWILL FACILITY. COMMERCIAL SERVICES NOT ONLY PROVIDES PAID WORK OPPORTUNITIES FOR INDIVIDUALS IN GOODWILL PROGRAMS BUT ALSO PROVIDES REVENUE TO SUPPORT BOTH GOODWILL INDUSTRIES OF THE VALLEY WORKS AND ITS PARENT COMPANY, GOODWILL INDUSTRIES OF THE VALLEYS, INC. 4808373 SALVAGE IF DONATED ITEMS THAT ARE COLLECTED BY THE ORGANIZATION (SEE 4A ABOVE) CANNOT BE SOLD IN THE RETAIL STORES, GOODWILL MAKES EVERY EFFORT TO RECYCLE THESE ITEMS THROUGH THIRD-PARTY COMPANIES. THESE ITEMS ARE SOLD ON A PER-POUND BASIS TO THESE COMPANIES, WHICH IN TURN RECYCLE OR REUSE THE PRODUCTS. GOODWILL SALVAGE OPERATIONS PROVIDE CRITICAL REVENUES TO SUPPORT GOODWILL PROGRAMS AND BOTH GOODWILL INDUSTRIES OF THE VALLEY WORKS AND ITS PARENT COMPANY, GOODWILL INDUSTRIES OF THE VALLEYS, INC. 42190662 1 0 0 0 0 0 0 0 0 0 1 0 0 1 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 1 0 0 0 1 79 0 1 1546 1 0 0 0 0 0 0 0 0 0 1 0 X 21 21 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 VA X THE CORPORATION 5405810620 2502 MELROSE AVE NW ROANOKE VA 24017 CHUCK KISER DIRECTOR 1.00 1.00 X 0 0 0 JOHN CAPPS DIRECTOR 1.00 1.00 X 0 0 0 MATTHEW CHURCHILL DIRECTOR 1.00 1.00 X 0 0 0 LINDA EDWARDS DIRECTOR 1.00 1.00 X 0 0 0 NATHANIEL MARSHALL DIRECTOR 1.00 1.00 X 0 0 0 SAM RASOUL DIRECTOR 1.00 1.00 X 0 0 0 ROY MARTIN DIRECTOR 1.00 1.00 X 0 0 0 MIKE FLINT DIRECTOR 1.00 1.00 X 0 0 0 EDWARD GARNER DIRECTOR 1.00 1.00 X 0 0 0 KHALED HASSOUNA DIRECTOR 1.00 1.00 X 0 0 0 WILL ANDREWS DIRECTOR 1.00 1.00 X 0 0 0 ROBERT JEFFREY JR DIRECTOR 1.00 1.00 X 0 0 0 CAMILLE WRIGHT MILLER DIRECTOR 1.00 1.00 X 0 0 0 CRAIG PARRENT DIRECTOR 1.00 1.00 X 0 0 0 MELINDA PAYNE DIRECTOR 1.00 1.00 X 0 0 0 DAN KARNES DIRECTOR 1.00 1.00 X 0 0 0 MAE HUFF DIRECTOR 1.00 1.00 X 0 0 0 TARA BRANSCOM SECRETARY 1.00 1.00 X X 0 0 0 JOHN COKER VICE CHAIR 1.00 1.00 X X 0 0 0 JAMES LAUB CHAIR 1.00 1.00 X X 0 0 0 HOWARD LYON TREASURER 1.00 1.00 X X 0 0 0 BRUCE PHIPPS PRESIDENT AND CEO 1.00 40.00 X 0 414337 34122 STEVEN KELLEY CFO 1.00 40.00 X 0 134470 7004 JACKSON G GREEN CHIEF OPERATIONS OFFICER 1.00 40.00 X 0 178776 14737 DEB SAUNDERS CHIEF COMPLIANCE OFFICER 1.00 40.00 X 0 126337 10845 KELLY COLEMAN VICE PRESIDENT 1.00 40.00 X 0 114048 10057 LINDA LAMONA SR. VICE PRESIDENT 0.00 40.00 X 0 160252 13494 MARY ANN GILMER VICE PRESIDENT 0.00 40.00 X 0 126158 686 FRANK ROGAN CHIEF DEVELOPMENT OFFICER 0.00 40.00 X 0 147073 6694 MINDY BOYD VICE PRESIDENT 40.00 1.00 X 125973 0 3565 125973 1401451 101204 1 0 1 0 RYDER TRANSPORTATION SERVICES PO BOX 402366 ATLANTA GA 303842366 TRANSPORTATION SERVICES 283539 FLEET SERVICES PO BOX 6293 CAROL STREAM IL 601976293 TRANSPORTATION SERVICES 230229 VERIZON WIRELESS PO BOX 25505 LEHIGH VALLEY PA 180025505 TELECOMMUNICATIONS 133289 PENSKE TRUCK LEASING CO PO BOX 827380 PHILADELPHIA PA 191827380 TRANSPORTATION SERVICES 120078 4 35379195 35353172 35379195 178005 0 178005 178005 178005 3995990 2837405 1158585 1158585 MISCELLANEOUS REVENUE 561300 559362 559362 559362 37275147 559362 0 1336590 X 13666006 13666006 81765 81765 2699476 2699476 1119282 1119282 4041748 4041748 26861 26861 11593 11593 18520 18520 614790 614790 8091250 8091250 760800 760800 187499 187499 8034949 8034949 5843 5843 297175 297175 DIRECT EXPENSE 1000870 1000870 GIV - LEASE FEES 907969 907969 FREIGHT & SHIPPING 236942 236942 DIRECT SUPPLIES & MATER 87515 87515 299809 299809 42190662 42190662 0 0 2644113 2630981 12635 103003 680547 588544 210701 263538 436554 431023 500000 0 0 500000 12754604 7828779 16739154 12345868 1334013 1468493 0 2578 0 166056 1334013 1637127 X 15405141 10708741 15405141 10708741 16739154 12345868 -4915515 219115 0 X X 0 1 X 1 0 X X X 1 GOODWILL INDUSTRIES 540884014 7 1 7057484 0 1 7057484 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 51051 51051 448949 448949 500000 DUE FROM AFFILIATE 7774200 DEPOSITS 54579 7828779 X PART X, LINE 2: THE ORGANIZATION QUALIFIES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE (THE "CODE") AND THEREFORE IS NOT SUBJECT TO INCOME TAX UNDER THE PRESENT INCOME TAX LAWS. THE ORGANIZATION HAS BEEN CLASSIFIED AS A PUBLIC CHARITY UNDER SECTIONS 509(A)(3) OF THE CODE. AS A RESULT, CONTRIBUTIONS TO THE ORGANIZATION ARE DEDUCTIBLE UNDER SECTION 170 OF THE CODE. 0 1 0 0 0 0 0 0 0 BRUCE PHIPPS PRESIDENT AND CEO 0 259213 0 150227 0 4897 0 12409 0 21713 0 448459 0 0 JACKSON G GREEN CHIEF OPERATIONS OFFICER 0 166836 0 9000 0 2940 0 8606 0 6131 0 193513 0 0 LINDA LAMONA SR. VICE PRESIDENT 0 149381 0 9000 0 1871 0 6376 0 7118 0 173746 0 0 FRANK ROGAN CHIEF DEVELOPMENT OFFICER 0 138231 0 6750 0 2092 0 6548 0 146 0 153767 0 0 PART I, LINE 3 ALL COMPENSATION FOR THE CEO AND EXECUTIVE TEAM IS PAID BY THE PARENT ORGANIZATION; GOODWILL INDUSTRIES OF THE VALLEYS, INC. THE COMPENSATION COMMITTEE IS APPOINTED BY THE BOARD AND MADE UP OF INDEPENDENT MEMBERS OF THE BOARD OF DIRECTORS. IT IS RESPONSIBLE FOR DETERMINING THE COMPENSATION OF THE PRESIDENT & CEO WHO HAS OVER 40 YEARS OF LEADERSHIP EXPERIENCE WITH GOODWILL. THE COMMITTEE USES AN ANNUAL MARKET SALARY STUDY FROM A THIRD PARTY THAT COMPARES POSITIONS BY INDUSTRY, GEOGRAPHIC SCOPE, AND ANNUAL REVENUE FOR BASE SALARY AND TOTAL COMPENSATION. A REVIEW OF THE PREVIOUS YEAR'S OUTCOMES, PERFORMANCE, AND GOALS ATTAINED ARE ALSO CONSIDERED DURING THE PERFORMANCE AND COMPENSATION REVIEW. DISCUSSIONS OF COMPENSATION ARE RECORDED IN THE BOARD MINUTES. PART I, LINE 4B THE CEO RECEIVED A CONTRIBUTION TO A 457F PLAN IN THE AMOUNT OF $36,000. PART I, LINE 6 BONUS COMPENSATION OF PERSONS LISTED IN FORM 990, PART VII, SECTION A, LINE 1A WAS TO BE DETERMINED ON A SET AMOUNT PER OFFICER IF GOALS SET FORTH IN THE 2016 INCENTIVE COMPENSATION PLAN WERE MET. INCENTIVE PLANS INCLUDING GOALS AND AMOUNTS ARE APPROVED BY THE INDEPENDENT BOARD AT THE ONSET OF THE YEAR AND ARE ACCRUED THROUGHOUT THE YEAR BASED ON PROGRESS. BY MID-YEAR 2016, THE OFFICERS AND EMPLOYEES COVERED BY THE 2016 BONUS COMPENSATION PLAN UNANIMOUSLY AGREED TO SET THE PLAN ASIDE AND RECEIVE NO BONUS COMPENSATION FOR 2016 DUE TO THE TURBULENT AND UNPREDICTABLE BUSINESS PATTERN THAT THE ORGANIZATION WAS ENCOUNTERING. PART II, COLUMN B ALL OF THE BONUS AND INCENTIVE COMPENSATION PAID IN 2016 WAS ACCRUED IN AND ATTRIBUTABLE TO TAX YEARS PRIOR TO 2016. ADDITIONALLY, $118,727 OF THE INCENTIVE COMPENSATION PAID TO THE PRESIDENT AND CEO IN 2016 WAS FROM AN EXECUTIVE RETENTION PLAN SIGNED IN 2011 COVERING THE 5-YEAR PERIOD OF 2011 THROUGH 2015, PAID IN 2016. X 32639858 RESALE VALUE X 45 23598 AUCTION PRICE X SALVAGE 0 2689716 MARKET PRICE PER POU 0 0 0 1 PART I, LINE 32B: GOODWILL CONTRACTS WITH A THIRD PARTY PROVIDER TO PROCESS AND SELL THE DONATED VEHICLES. THE THIRD PARTY PROVIDER MANAGES THE PROCESS WHICH INCLUDES THE INITIAL CALLS, PICK UP OF VEHICLES, AUCTIONS, AND PAPERWORK PROCESSING SUCH AS THE REPORTING OF FORMS 1098-C. THE ORGANIZATION RECEIVES REPORTS ON THE ACTUAL REVENUE RECEIVED FROM THE SALES. THESE REPORTED REVENUE AMOUNTS ARE THEN RECORDED IN THE FINANCIAL STATEMENTS. ALL OTHER DONATIONS ARE RECORDED AT EITHER ACTUAL FAIR MARKET VALUE RECEIVED OR ESTIMATED RESALE VALUE. FORM 990, PART VI, SECTION B, LINE 11B THE INDEPENDENT AUDIT AND COMPLIANCE COMMITTEE OF THE BOARD OF DIRECTORS REVIEWS THE FORM 990 BEFORE IT IS SIGNED BY THE CEO AND ELECTRONICALLY SUBMITTED TO THE IRS. THE FORM 990 IS DISTRIBUTED TO ALL BOARD MEMBERS BEFORE FILING THE RETURN. FORM 990, PART VI, SECTION B, LINE 12C ALL BOARD MEMBERS MUST COMPLETE AND SIGN A DISCLOSURE FORM ANNUALLY THAT STATES THEY HAVE READ, AGREE WITH, AND ABIDE BY THE ORGANIZATION'S CONFLICT OF INTEREST POLICY. ANY GOVERNING BOARD MEMBER HAVING A DUALITY OF INTEREST OR POSSIBLE CONFLICT OF INTEREST ON ANY MATTER SHOULD NOT VOTE OR USE HIS/HER PERSONAL INFLUENCE ON THE MATTER, AND HE/SHE SHOULD NOT BE COUNTED IN DETERMINING THE QUORUM FOR THE MEETING, EVEN WHEN PERMITTED BY LAW. THE MINUTES OF THE MEETING SHOULD REFLECT THAT A DISCLOSURE WAS MADE, THE ABSTENTION FROM VOTING, AND THE QUORUM SITUATION. FORM 990, PART VI, SECTION B, LINE 15 ALL COMPENSATION FOR THE CEO AND EXECUTIVE TEAM IS PAID BY THE PARENT ORGANIZATION; GOODWILL INDUSTRIES OF THE VALLEYS, INC. THE COMPENSATION COMMITTEE IS APPOINTED BY THE BOARD AND MADE UP OF INDEPENDENT MEMBERS OF THE BOARD OF DIRECTORS. IT IS RESPONSIBLE FOR DETERMINING THE COMPENSATION OF THE PRESIDENT & CEO WHO HAS OVER 40 YEARS OF LEADERSHIP EXPERIENCE WITH GOODWILL. THE COMMITTEE USES AN ANNUAL MARKET SALARY STUDY FROM A THIRD PARTY THAT COMPARES POSITIONS BY INDUSTRY, GEOGRAPHIC SCOPE, AND ANNUAL REVENUE FOR BASE SALARY AND TOTAL COMPENSATION. A REVIEW OF THE PREVIOUS YEAR'S OUTCOMES, PERFORMANCE, AND GOALS ATTAINED ARE ALSO CONSIDERED DURING THE PERFORMANCE AND COMPENSATION REVIEW. DISCUSSIONS OF COMPENSATION ARE RECORDED IN THE BOARD MINUTES. FORM 990, PART VI, SECTION C, LINE 19 GOODWILL MAKES GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS AVAILABLE UPON REQUEST. FORM 990 PART IX, COLUMN C: MANAGEMENT EXPENSES OF THE ORGANIZATION ARE REPORTED IN THE RELATED ENTITY GOODWILL INDUSTRIES OF THE VALLEYS (54-0884014). THE MANAGEMENT TO TOTAL EXPENSE RATIO PER THE AUDITED FINANCIAL STATEMENTS IS 10.28% IN THE CURRENT YEAR. FORM 990, PART XII, LINE 2B: GOODWILL INDUSTRIES OF THE VALLEYS, INC. PREPARES CONSOLIDATED FINANCIAL STATEMENTS WHICH ARE AUDITED BY AN INDEPENDENT ACCOUNTING FIRM. GOODWILL INDUSTRIES OF THE VALLEYS, INC. IS CONSOLIDATED WITH GOODWILL INDUSTRIES OF THE VALLEY WORKS WHICH IS REPORTED ON A SEPARATE 990 FORM. FORM 990, PART XII, LINE 2C: THE INDEPENDENT AUDIT AND COMPLIANCE COMMITTEE OF THE BOARD OF DIRECTORS IS RESPONSIBLE FOR THE OVERSIGHT OF THE AUDIT. THEY MEET WITH THE AUDITORS PRIOR TO THE COMMENCEMENT OF THE ANNUAL AUDIT; THEY ALSO REVIEW THE AUDITED FINANCIALS WHEN THEY ARE COMPLETED BY THE INDEPENDENT AUDITORS. AFTER REVIEW AND ACCEPTANCE, THE FINANCIALS ARE DISTRIBUTED TO ALL BOARD MEMBERS. THE PERFORMANCE OF THE EXTERNAL AUDITORS IS DISCUSSED ANNUALLY, AND WHEN NECESSARY, THIS SAME COMMITTEE IS INVOLVED IN THE RFP FOR SERVICES, INCLUDING THE REVIEW OF PROPOSALS AND SELECTION OF THE WINNING PROPOSAL. GOODWILL INDUSTRIES OF THE VALLEYS INC 2502 MELROSE AVENUE NW ROANOKE VA 24017 540884014 CHARITABLE ACTIVITY VA 501(C)(3) LINE 7 0 0 0 0 1 0 0 0 0 0 0 1 0 1 1 1 0 0 1 0 GOODWILL INDUSTRIES OF THE VALLEYS INC D 7774200 INTERCOMPANY BALANCES GOODWILL INDUSTRIES OF THE VALLEYS INC K 907969 EXPENSES INCURRED BY VALLEYS GOODWILL INDUSTRIES OF THE VALLEYS INC M 4041748 MANAGEMENT EXPENSES GOODWILL INDUSTRIES OF THE VALLEYS INC R 2107767 EXPENSES INCURRED BY VALLEYS PART II, LINE 1B RAISE FUNDS TO SUPPORT GOODWILL PROGRAMS AND SERVICES THAT PROVIDE A HAND UP, NOT A HAND OUT, TO INDIVIDUALS WHO ARE IN NEED OF GOODWILL SERVICES TO GET BACK TO WORK, FIND A BETTER JOB, OR GAIN GREATER INDEPENDENCE. INDIVIDUALS SERVED HAVE VARIOUS BARRIERS TO EMPLOYMENT INCLUDING DISABILITIES, LACKING SKILLS, LOW INCOME, PRIOR INCARCERATIONS, AT-RISK OF DROPPING OUT OF SCHOOL, OR INVOLVEMENT WITH THE JUVENILE JUSTICE SYSTEM.