2016-11-08T11:19:18-06:00 2015-12-31 473535842 Davis Farr LLP 2301 Dupont Drive Suite 200 Irvine CA 92612 990 2015-01-01 520963363 MOTORCYCLE SAFETY FOUNDATION INC MOTO 9497273227 2 JENNER No 150 IRVINE CA 926183806 TIM BUCHE PRESIDENT & CEO 9497273227 2016-11-04 1 JENNIFER FARR P00743254 9494742020 2015 2017-02-10 21:41:12Z TIM BUCHE 2 JENNER No 150 IRVINE CA 926183806 6898205 0 X WWW.MSF-USA.ORG X 1973 DC TO PROMOTE MOTORCYCLE SAFETY 12 12 29 12 1155 155 1778366 68698 4943941 5568859 -55 9705 706401 669442 7428653 6316704 0 0 0 0 3075990 2496301 0 0 0 4316975 4403749 7392965 6900050 35688 -583346 2740914 3057368 699264 1599064 2041650 1458304 X To make motorcycling safer and more enjoyable by ensuring access to lifelong quality education and training for current and prospective riders, and by advocating a safer riding environment. 0 0 PROGRAM SERVICES - THE OBJECTIVE OF THE PROGRAM SERVICES DEPARTMENT IS TO PROVIDE ADMINISTRATIVE, FINANCIAL, MATERIALS AND TECHNICAL SUPPORT FOR RIDER TRAINING PROGRAMS. COMMUNICATIONS PROGRAM - THE OBJECTIVE IS TO COMMUNICATE THE RESPONSIBILITIES AND SAFETY NEEDS OF MOTORCYCLISTS AND TO INCREASE PUBLIC AWARENESS OF AVAILABLE RIDER EDUCATION PROGRAMS. GOVERNMENT RELATIONS - THE OBJECTIVE OF THE GOVERNMENT RELATIONS PROGRAM IS TO MONITOR LEGISLATIVE AND REGULATORY MATTERS. TRAINING PROGRAM - THE OBJECTIVE IS TO PROVIDE TRAINING AND EDUCATIONAL AND LICENSING MATERIALS FOR RIDERCOACH COURSES AND STATE LICENSING EXAMINERS. 0 1 0 1 0 0 0 0 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 1 33 0 1 29 1 1 1 0 0 0 0 0 X 12 12 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 CA OK X JOE DICORPO 9497273227 2 JENNER SUITE 150 IRVINE CA 926183806 RUSS BRENAN CHAIRMAN 2.00 8.25 X X 0 0 0 JOSEPH DAGLEY VICE CHAIRMAN 1.00 0.25 X X 0 0 0 ROBERT ALSIP SECRETARY/TREASURER 1.50 0.25 X X 0 0 0 TOM ETHERINGTON TRUSTEE 1.00 1.00 X 0 0 0 GARY MARTINI TRUSTEE 1.00 0.25 X 0 0 0 MICHAEL MCCANN TRUSTEE 1.00 1.00 X 0 0 0 PAUL VITRANO TRUSTEE 1.00 3.25 X 0 0 0 ALEXANDRE BORDUAS MEMBER 1.00 4.00 X 0 0 0 KRIS ODWARKA MEMBER 1.00 3.00 X 0 0 0 BRADLEY HAGI MEMBER 1.00 1.00 X 0 0 0 MATT SHEAHAN MEMBER 1.00 0.25 X 0 0 0 ARRICK MAURICE MEMBER 1.00 0.25 X 0 0 0 TIM BUCHE PRESIDENT 24.00 37.25 X 0 369480 43986 KEN GLASER DIRECTOR, SPECIAL PROJECTS 20.00 21.00 X 0 101605 18944 KATHY VAN KLEECK SENIOR VICE PRESIDENT, GOVERNMENT RELATIONS 9.00 50.25 X 0 160944 24946 ROBERT GLADDEN VICE PRESIDENT 48.00 1.00 X 128281 0 30397 JOE DICORPO VICE PRESIDENT, ADMINISTRATION 14.00 33.25 X 0 133371 30891 ERIK PRITCHARD GENERAL COUNSEL 9.00 52.25 X 0 245274 25583 RAYMOND OCHS DIRECTOR OF TRAINING SYSTEMS 33.00 17.00 X 153908 0 32957 MICHAEL MARTIN APPLICATIONS DEVELOPER, IT 39.00 1.00 X 109252 0 19552 MICHAEL FOSS VICE PRESIDENT, COMMUNICATIONS 39.00 1.00 X 107448 0 22803 498889 1010674 250059 4 0 1 0 ORANGE COUNTY PRINTING COMPANY 2485 DA VINCI IRVINE CA 92614 COPIES OF COURSE MATERIALS AND SUPPLIES 550811 RANDSTAD FILE 56737 LOS ANGELES CA 900746737 TEMPORARY EMPLOYEES FOR IT (SHARED EXPEN 203024 VIRGINIA POLYTECHNIC INSTITUTE AND STATE NORTH END CENTER MC 0170 300 TURN BLACKSBURG VA 24061 MSF RANGE RIDING, RESEARCH 188581 ROBERT HALF TECHNOLOGY PO BOX 743295 LOS ANGELES CA 900743295 TEMPORARY EMPLOYEES FOR IT (SHARED EXPEN 175515 4 67271 1427 68698 MEMBERSHIP DUES 900099 1783386 1783386 STATE PROGRAMS-RIDER TRAINING 900099 1662778 1662778 RIDER COURSE LIABILITY/MEDICAL IN 900099 826170 826170 TRAINING CAMPUS INCOME 900099 570434 570434 DIGITAL REVENUE-COURSE INSTRUCTIO 900099 266094 266094 459997 459997 5568859 2481 2481 16893 16893 16674 9450 7224 7224 7224 1215815 572051 643764 642609 1155 MISCELLANEOUS 900099 8785 8785 8785 6316704 6220253 1155 26598 X 153908 1737694 165134 289703 149862 1552057 43591 56295 158267 376577 232600 22 95782 1094396 RESEARCH 270687 POSTAGE & FREIGHT 211312 INTERCOMPANY PROGRAM EX 66015 BANK FEES 63485 182663 6900050 690475 1104532 1354521 887861 350000 355797 444279 92312 88116 1399272 1228079 227340 171193 20469 11387 2740914 3057368 390414 436199 88865 393162 219985 769703 699264 1599064 X 2041650 1458304 2041650 1458304 2740914 3057368 -583346 0 X X 0 1 X 1 0 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1 1 0 84788 26442 58346 633672 583640 50032 680812 617997 62815 171193 DUE TO AFFILIATES 769703 769703 X Part X, Line 2: The Foundation is exempt from income taxes under Section 501(C)(6) of the Internal Revenue Code and similar state codes. However, the Foundation is subject to the proxy tax on lobbying and political expenditures. New Mexico assesses a gross receipts tax on all revenues generated in New Mexico. For the year ended December 31, 2015, the Foundation incurred $542 in gross receipts tax which is included in state programs in the accompanying statement of activities. Additionally, the Foundation pays tax on unrelated business income. For the year ended December 31, 2015, the Foundation incurred $37 in unrelated business income tax. The Foundation's income tax returns may be subject to examination by federal and state taxing authorities. Because application of tax laws and regulations for many types of transactions is susceptible to varying interpretations, amounts reported in the Foundation's financial statements could be changed at a later date upon final determination by taxing authorities. Management believes that appropriate provisions for all outstanding issues have been made for all years under examination and does not believe it has any uncertain income tax positions that could materially affect its financial statements at both the federal and state jurisdiction levels. X X X X X 0 1 0 TIM BUCHE PRESIDENT 0 296252 0 64770 0 8458 0 25500 0 18486 0 413466 0 0 KATHY VAN KLEECK SENIOR VICE PRESIDENT, GOVERNMENT RE 0 138444 0 22500 0 0 0 15825 0 9121 0 185890 0 0 ROBERT GLADDEN VICE PRESIDENT 122281 0 6000 0 0 0 12789 0 17608 0 158678 0 0 0 JOE DICORPO VICE PRESIDENT, ADMINISTRATION 0 126871 0 6500 0 0 0 13232 0 17659 0 164262 0 0 ERIK PRITCHARD GENERAL COUNSEL 0 223774 0 21500 0 0 0 23918 0 1665 0 270857 0 0 RAYMOND OCHS DIRECTOR OF TRAINING SYSTEMS 143908 0 10000 0 0 0 15345 0 17612 0 186865 0 0 0 Part I, Line 4b The Foundation has adopted a nonqualified, deferred compensation savings plan for certain key employees. Under this arrangement, selected employees contribute a portion of their annual compensation to the deferred compensation savings plan held by the Foundation in an investment account for the benefit of plan participants. The investment accounts are typically held in mutual funds. Funds in this plan may be distributed to each plan beneficiary when they retire from service with the Foundation. Under the terms of the plan, participants' accounts represent unsecured claims against the Foundation. The participants' investment account has been presented as deferred compensation investments, with a corresponding liability for benefit payments presented as deferred compensation payables on the accompanying financial statements. The Foundation, itself, did not contribute to the deferred compensation plan in 2015. Form 990, Part VI, Section A, line 6 MEMBERS ARE COMPRISED OF INDIVIDUALS WHO PAY DUES. Form 990, Part VI, Section A, line 7a EACH MEMBER, IN GOOD STANDING, WHO PAYS DUES MAY DESIGNATE ONE FULL-TIME EMPLOYEE AS A TRUSTEE. IN THE EVENT THERE ARE MORE THAN SEVEN MEMBERS IN GOOD STANDING, THEN THE FIVE MEMBERS WITH THE LARGEST PERCENTAGES OF THE U.S. MOTORCYCLE MARKET, FOR THE PRIOR CALENDAR YEAR, SHALL EACH HAVE THE RIGHT TO DESIGNATE ONE FULL-TIME EMPLOYEE AS A TRUSTEE. EACH OF THE REMAINING TWO TRUSTEE POSITIONS SHALL BE FILLED BY A FULL-TIME EMPLOYEE OF ANY OF THE OTHER MEMBERS OF THE FOUNDATION AND SHALL BE ELECTED BY A VOTE OF ALL MEMBERS OF THE FOUNDATION. Form 990, Part VI, Section A, line 7b ALL AMENDMENTS TO THE BYLAWS ARE PRESENTED TO AND MUST BE APPROVED BY THE FOUNDATION'S MEMBERS. Form 990, Part VI, Section B, line 11 A DRAFT COPY OF FORM 990 IS PROVIDED TO MANAGEMENT AND THE AUDIT COMMITTEE FOR REVIEW AND COMMENT; THE ENTIRE BOARD RECEIVES A DRAFT PRIOR TO FILING OF THE TAX RETURN. Form 990, Part VI, Section B, line 12c ANNUALLY, BOARD MEMBERS, OFFICERS, AND KEY EMPLOYEES ARE REQUIRED TO REVIEW THE ORGANIZATION'S CONFLICT OF INTEREST POLICY AND UPDATE THEIR DISCLOSURES. UPDATED DISCLOSURE STATEMENTS ARE REVIEWED BY LEGAL COUNSEL; LEGAL COUNSEL INVESTIGATES DISCLOSURES THAT COULD RESULT IN POTENTIAL ISSUES OR CONFLICTS OF INTEREST. CONFLICT OF INTEREST POLICY: You are expected to avoid any activity, agreement, business investment or interest, or other situation which could appear that you are improperly benefitting from your employment with the Associations. This includes the use of your relationship with the Associations for personal profit or advantage, either directly or indirectly, such as the taking of money, merchandise or services from a vendor or member for personal gain. Good judgment will prevent the possibility of a conflict of interest from arising. However, if you engage or plan to engage in any activity or transaction which might cause an actual or perceived conflict of interest, you must disclose the situation in advance to your supervisor. Please consult Human Resources if you have any questions regarding this policy. The President, a Vice President or the Board must be consulted before the hiring of associates, contracting for services, or purchasing from suppliers that are related to, or financially associated with, an associate. Form 990, Part VI, Section B, line 15 ANNUALLY, OUTSIDE LEGAL COUNSEL CONVENES A MEETING OF THE COMPENSATION COMMITTEE (COMPRISED OF 3 OR MORE ELECTED BOARD MEMBERS) TO REVIEW, APPROVE, AND DOCUMENT THE PRESIDENT'S COMPENSATION. THE REVIEW PROCESS INCLUDES, BUT IS NOT LIMITED TO, ANALYSIS OF COMPENSATION LEVELS FOR OTHER INDUSTRY LEADERS, AMERICAN RESEARCH CORPORATION SURVEY AND ANALYSIS OF CEO COMPENSATION, FINANCIAL RESULTS AND STEWARDSHIP, AND ACCOMPLISHMENTS RELATED TO THE ORGANIZATION'S STRATEGIC PLANS. IN ADDITION, THE COMPENSATION COMMITTEE REVIEWS THE PROPOSED COMPENSATION OF THE OTHER OFFICERS AND KEY EMPLOYEES OF THE ORGANIZATION. Form 990, Part VI, Section C, line 19 THE FOUNDATION MAKES AVAILABLE FOR PUBLIC INSPECTION A COPY OF ITS EXEMPTION APPLICATION AND ITS ANNUAL RETURNS FOR THE PRECEDING THREE YEARS FOR ANYONE WHO REQUESTS TO SEE THEM IN PERSON OR IN WRITING. THE DOCUMENTS ARE AVAILABLE DURING REGULAR BUSINESS HOURS AT THE ORGANIZATION'S OFFICE. A COPY IS GENERALLY FURNISHED ON THE SAME DAY WHEN THE REQUEST IS MADE IN PERSON, OR WITHIN 30 DAYS OF RECEIVING A WRITTEN REQUEST. Form 990, Part IX, line 11g PAYROLL PROCESSING FEES 4,748. PROFESSIONAL FEES 1,547,309. FORM 990 PART XII LINE 2C THE AUDIT OVERSIGHT PROCESS HAS NOT CHANGED FROM THE PRIOR YEAR. MOTORCYCLE INDUSTRY COUNCIL INC 2 JENNER SUITE 150 IRVINE CA 92618 314394320 TRADE ASSOCIATION NY 501(c)(6) 0 SPECIALTY VEHICLE INSTITUTE OF AMERICA 2 JENNER SUITE 150 IRVINE CA 92618 330044256 TRADE ASSOCIATION DC 501(c)(6) 0 RECREATIONAL OFF-HIGHWAY VEHICLE ASSOCIATION 2 JENNER SUITE 150 IRVINE CA 92618 261703128 TRADE ASSOCIATION CA 501(c)(6) 0 NATIONAL MOTORCYCLE SAFETY FUND INC 2 JENNER SUITE 150 IRVINE CA 92618 521228981 MOTORCYCLE SAFETY EDUCATION DC 501(c)(3) Line 7 MOTORCYCLE SAFETY FOUNDATION 0 THE RIGHT RIDER ACCESS FUND INC 2 JENNER SUITE 150 IRVINE CA 92618 452038902 OFF-HIGHWAY VEHICLE SAFETY DC 501(c)(3) Line 7 0 USSB INC 2 JENNER SUITE 150 IRVINE CA 92618 352361742 PRO RACING SERIES CA MOTORCYCLE INDUSTRY COUNCIL INC C 0 USSB SANCTIONING INC 2 JENNER SUITE 150 IRVINE CA 92618 352361743 ROAD RACING SERIES CA MOTORCYCLE INDUSTRY COUNCIL INC C 0 TRANSTAND INC 2 JENNER SUITE 150 IRVINE CA 92618 204898937 SOFTWARE DEVELOPMENT CA MOTORCYCLE INDUSTRY COUNCIL INC C 0 0 0 0 1 1 0 0 0 0 0 0 1 0 1 1 1 1 0 0 MOTORCYCLE INDUSTRY COUNCIL E 500000 PER AGREEMENT MOTORCYCLE INDUSTRY COUNCIL D 350000 COST MOTORCYCLE INDUSTRY COUNCIL E 848114 COST NATIONAL MOTORCYCLE SAFETY FUND E 3275 COST RECREATIONAL OFF-HIGHWAY VEHICLE ASSOCIATION D 14402 COST SPECIALTY VEHICLE INSTITUTE OF AMERICA D 23383 COST SCHEDULE R PART V The Foundation has an unsecured loan agreement with the Motorcycle Industry Council under which the Foundation may borrow up to $500,000 from MIC. The agreement specifies that the Foundation fully utilize its bank line-of-credit before borrowing from MIC. Interest is charged on borrowings based on the average of the interest rate charged on the Foundation's bank line-of-credit and the interest rate MIC would earn on a sweep account for the period the borrowings were outstanding. During 2015, the Foundation made no borrowings under this loan agreement and at December 31, 2015, there are no outstanding borrowings on the loan agreement. On September 8, 2015 the Foundation entered into an unsecured promissory note receivable with MIC in the amount of $350,000 bearing interest on the unpaid principal at a rate of 2.25% annually until paid in full. There is no maturity date for the loan. For the year ending December 31, 2015, $2,481 in interest was paid to the Foundation and the principal amount outstanding under the agreement was $350,000.