2015-07-29T08:18:04-05:00 2014-12-31 390859910 BAKER TILLY VIRCHOW KRAUSE LLP 1869 CHARTER LANE STE 301 LANCASTER PA 17601 990 2014-01-01 262222476 NATIONAL LUTHERAN HOME FOR THE AGED INC NATI 3013542710 2301 RESEARCH BLVD NO 310 ROCKVILLE MD 20850 MICHAEL J BRADY CHIEF FINANCIAL OFFICER 3013542710 2015-07-25 1 MICHAEL S FREY P00327329 7173935696 2014 2016-03-07 17:11:31Z NATIONAL LUTHERAN COMMUNITIES & SERVICES LAWRENCE BRADSHAW 2301 RESEARCH BLVD NO 310 ROCKVILLE MD 20850 51912858 0 X WWW.NATIONALLUTHERAN.ORG X 2008 MD TO SERVE AS CORPORATE OVERSIGHT FOR COMMUNITIES DESIGNED FOR SENIORS. 16 15 71 3 0 0 10736 13187 3433924 4364628 16804679 7989146 0 0 20249339 12366961 17500 221067 0 0 3010203 4201196 0 0 961926 4289531 6794878 7317234 11217141 12932105 1149820 116325808 114995090 948863 1064340 115376945 113930750 TO FULFILL ITS CHRISTIAN MINISTRY, NATIONAL LUTHERAN COMMUNITIES & SERVICES IS ORGANIZED TO PROVIDE AN ARRAY OF OPTIONS FOR SENIORS INCLUDING RESIDENTIAL LIVING AS WELL AS HOME AND COMMUNITY-BASED SERVICES WHICH ARE DESIGNED TO MEET INDIVIDUAL NEEDS. 0 0 4595296 221067 4364628 TO SERVE AS CORPORATE OVERSIGHT WHICH INCLUDES, BUT IS NOT LIMITED TO, THE MARKETING, DEVELOPMENT, INFORMATION TECHNOLOGY, PHILANTHROPY, FINANCE, AND HUMAN RESOURCE SERVICES OF TWO EXPANDING CCRC COMMUNITIES AND ONE DUAL-CERTIFIED INDEPENDENT LIVING/ASSISTED LIVING FACILITY THAT PROVIDES SENIORS WITH HOUSING, MEDICAL ATTENTION, AND ANY SERVICES THAT PROMOTE GOOD EMOTIONAL AND PHYSICAL HEALTH IN A CHRISTIAN ENVIRONMENT. CURRENTLY THE ORGANIZATION IS OVERSEEING THE FUTURE DEVELOPMENT OF A CCRC COMMUNITY TO BE LOCATED IN ANNAPOLIS, MD AND A HOME CARE AGENCY IN WINCHESTER, VA. 4595296 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 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 1 42 0 1 71 1 0 0 0 0 0 0 0 0 0 0 X 16 15 0 0 1 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 1 0 MD X X MICHAEL J BRADY CHIEF FINANCIAL OFFICER 3013542714 2301 RESEARCH BLVD ROCKVILLE MD 20850 MRS CLAUDIA HARRINGTON SECRETARY 1.00 1.00 X X 0 0 0 THE REV WILLIAM H HALL II BOARD MEMBER 1.00 1.00 X 0 0 0 THE REV MARTHA M SIMS CHAIR 1.00 1.00 X X 0 0 0 MR GARY NICHOLS TREASURER 1.00 2.00 X X 0 0 0 MS LISA BEHR BOARD MEMBER 1.00 2.00 X 0 0 0 MR LAWRENCE R BRADSHAW PRESIDENT/CEO 10.00 30.00 X X 319700 0 22989 MR DALE SUMMERS BOARD MEMBER 1.00 X 0 0 0 THE REV SUSANNE BLUME BOARD MEMBER 1.00 X 0 0 0 MR SHAWN M BLOOM BOARD MEMBER 1.00 X 0 0 0 THE REV WOLLOM JENSEN BOARD MEMBER 1.00 X 0 0 0 THE REV RONALD SCHLAK BOARD MEMBER 1.00 X 0 0 0 DR TOMMIE ROBINSON JR VICE CHAIR 1.00 X X 0 0 0 THE REV JOSEPH LETTRICH BOARD MEMBER 1.00 X 0 0 0 THE REV SCOTT ICKERT BOARD MEMBER 1.00 1.00 X 0 0 0 MS ELIZABETH FLURY BOARD MEMBER 1.00 X 0 0 0 MS DONNA DUSS BOARD MEMBER 1.00 X 0 0 0 MR MICHAEL BRADY ASSISTANT TREASURER/CFO 10.00 30.00 X 180440 0 19251 DANIEL C LOOK CHIEF STRATEGY OFFICER 40.00 X 216638 0 20988 MS KATHRYN E BAERWALD CHIEF PHILANTHROPY OFFICER 40.00 X 165796 0 12401 MS MELODY SCHNEIDER CHIEF MARKETING OFFICER 40.00 X 138026 0 11357 MR CAMILLE ROUSSEL CHIEF OF INFORMATION TECHNOLOGY 40.00 X 150560 0 19640 MS KATHLEEN O'HALLORAN CHIEF HUMAN RESOURCE OFFICER 40.00 X 131112 0 11728 1302272 0 118354 7 0 1 0 GRAND SENIOR LIVING LLC 2748 FERRY ROAD CHARLOTTE VT 05445 SENIOR CARE CONSULTING 235029 ARCH CONSULTANTS LTD 250 PARKWAY DR SUITE 350 LINCOLNSHIRE IL 60069 CONSTRUCTION CONSULTING 195577 MARTINO & BIZNER 270 FARMINGTON AVE FARMINGTON CT 06032 MARKETING CONTRACTOR 146796 BORGOYN CONSULTING 210 WESTERNVIEW DR MIDDLETOWN WV 22645 SENIOR CARE CONSULTING 127462 PARENTEBEARD LLC 1650 MARKET ST STE 4500 PHILADELPHIA PA 19103 INDEPENDENT AUDITOR 119905 5 13187 13187 MANAGEMENT FEE INCOME 623000 4035741 4035741 RESIDENT SERVICE REVENUE 623000 328887 328887 4364628 2655970 2655970 44879073 39545897 5333176 5333176 5333176 12366961 4364628 0 7989146 X 221067 221067 780007 624006 156001 2812700 1778263 444566 589871 106796 64311 16078 26407 272684 174161 43540 54983 229009 152508 38127 38374 69906 69906 82425 82425 529792 529792 2456435 2338718 117717 169612 59865 59865 49882 798027 10632 751390 36005 1184061 1184061 147086 147086 104079 87263 16816 4723 4723 283470 283470 282197 282197 LICENSES, DUES, AND SUB 635030 301606 301606 31818 RECRUITING EXPENSES 46385 23166 23166 53 BAD DEBT EXPENSE 1650 1650 11217141 4595296 5659919 961926 500 500 79493 17713 58328 97080 32783 484053 413407 17833584 1108113 15976155 16725471 96695113 90587833 2993414 7159055 116325808 114995090 948863 1064340 948863 1064340 X 115376945 113930750 115376945 113930750 116325808 114995090 1149820 -2596015 0 X 0 1 X 1 0 X X 4 THE VILLAGE AT ORCHARD RIDGE INC 263445374 9 0 0 0 NATL LUTH HOME & VILLAGE AT ROCKVILLE 530196624 9 0 0 0 THE LEGACY AT NORTH AUGUSTA 452857307 9 0 0 0 THE VILLAGE AT CRYSTAL SPRING INC 454024593 9 0 0 0 4 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 SCHEDULE A, PART IV, SECTION A, LINE 1: THE BY-LAWS FOR NATIONAL LUTHERAN HOME FOR THE AGED, INC. (NLHA) DO NOT MENTION ITS SUBSIDIARIES BY NAME; HOWEVER, EACH SUBSIDIARY MENTIONS NLHA AS THE SOLE MEMBER OF ITS ORGANIZATION. THE DAY-TO-DAY OPERATIONS OF THE CONSOLIDATED GROUP CLEARLY INDICATES THAT NLHA IS THE SUPPORTING ORGANIZATION FOR THE ENTITIES LISTED ON PART I, LINE 11G (I). SCHEDULE A, PART IV, SECTION A, LINE 2: THE VILLAGE AT CRYSTAL SPRING IS STILL WAITING TO RECEIVE APPROVAL FROM THE STATE OF MARYLAND. ONCE APPROVAL HAS BEEN OBTAINED, THE ORGANIZATION WILL FILE ITS FORM 1023 TO RECEIVE ITS IRS DETERMINATION LETTER. THE INTENTION HAS ALWAYS BEEN FOR THE VILLAGE AT CRYSTAL SPRING, INC. TO BE TAX-EXEMPT AND ALL DOCUMENTS INDICATE THIS INTENTION. THE ONLY DELAY WITH THE VILLAGE AT CRYSTAL SPRING RECEIVING ITS TAX EXEMPT STATUS IS AT THE STATE APPROVAL LEVEL. NOTE, TOO, THAT NATIONAL LUTHERAN HOME FOR THE AGED, INC. DOES NOT CURRENTLY PROVIDE ANY SUPPORT AND THERE IS NO ACTIVITY IN THE VILLAGE OF CRYSTAL SPRING ENTITY. 8357151 8357151 1528832 1108113 420719 7947601 7947601 16725471 DUE FROM AFFILIATES 6785658 DEFERRED MARKETING COSTS 373397 7159055 X 9241154 -2596015 -2596015 11837169 529792 529792 12366961 10687349 0 10687349 529792 529792 11217141 PART X, LINE 2: THE ORGANIZATION ACCOUNTS FOR UNCERTAINTY IN INCOME TAXES BY PRESCRIBING A RECOGNITION THRESHOLD OF MORE-LIKELY-THAN-NOT TO BE SUSTAINED UPON EXAMINATION BY THE APPROPRIATE TAXING AUTHORITY. MEASUREMENT OF THE TAX UNCERTAINTY OCCURS IF THE RECOGNITION THRESHOLD HAS BEEN MET. MANAGEMENT HAS DETERMINED THAT THERE WERE NO TAX UNCERTAINTIES THAT MET THE RECOGNITION THRESHOLD IN 2014 AND 2013. NLCS'S FEDERAL EXEMPT ORGANIZATION BUSINESS INCOME TAX RETURNS FOR THE YEARS ENDED DECEMBER 31, 2013, 2012 AND 2011 REMAIN SUBJECT TO EXAMINATION BY THE INTERNAL REVENUE SERVICE. 1 ST PAUL'S LUTHERAN CHURCH 4900 CONNECTICUT AVENUE NW WASHINGTON DC 20008 530196496 501(C)(3) 15000 SUPPORT OF PRIME TIME SENIOR CENTER LUTHERAN SOCIAL SERVICES OF THE NATIONAL CAPITAL AREA 4406 GEORGIA AVENUE NW WASHINGTON DC 20011 530207407 501(C)(3) 10000 SUPPORT OF CAREGIVER PROGRAM LUTHERAN COMMUNITY SERVICES 1304 RODNEY STREET WILMINGTON DE 19806 510102403 501(C)(3) 10000 HOME REPAIRS FOR LOW-INCOME SENIORS SHENANDOAH AREA AGENCY ON AGING 207 MOSBY LANE FRONT ROYAL VA 22630 541008875 501(C)(3) 12720 SUPPORT CHRONIC DISEASE SELF-MANAGEMENT WORKSHOPS LITTLE FALLS VILLAGE PO BOX 439 GLEN ECHO MD 20812 461739369 501(C)(3) 5000 SUPPORT AGING-IN-PLACE COMMUNITY GRACE NETWORK PO BOX 3902 MARTINSVILLE VA 24112 203111703 501(C)(3) 5000 SUPPORT PROGRAMS FOR THE ELDERLY LIVING IN POVERTY COLONIAL HERITAGE COMMUNITY FOUNDATION INC 4205 CLIFFSIDE DRIVE WILLIAMSBURG VA 23188 270883584 501(C)(3) 20000 SUPPORT THE INNOVATIVE SENIOR CHAMPION PROGRAM DIAKON ADULT DAY SERVICES 1109 LUTHER DRIVE HAGERSTOWN MD 21740 465390969 501(C)(3) 16650 SUPPORT ADULT DAY SERVICE PROGRAMS JEWISH COUNCIL FOR THE AGING 12320 PARKLAWN DRIVE ROCKVILLE MD 20852 520983740 501(C)(3) 15000 SUPPORT ART AND MOVEMENT THERAPY AND CAREGIVER SUPPORT PROGRAMS MENTAL HEALTH ASSOCIATION OF MONTGOMERY COUNTY 1000 TWINBROOK PARKWAY ROCKVILLE MD 20851 520681147 501(C)(3) 10349 SUPPORT FRIENDLY VISITOR PROGRAM OUR SAVIOUR LUTHERAN CHURCH 6194 DUMFRIES ROAD WARRENTON VA 20187 541130475 501(C)(3) 14550 SUPPORT PROGRAMS FOR SENIORS SHENANDOAH VALLEY LUTHERAN MINISTRIES PO BOX 132 TOMS BROOK VA 22660 271675977 501(C)(3) 22000 SUPPORT FAITH COMMUNITY NURSING PROGRAM ST TIMOTHY LUTHERAN CHURCH IN PARTNERSHIP WITH ALZHEIMER'S ASSOC 1051 KEMPSVILLE ROAD NORFOLK VA 23502 541098579 501(C)(3) 14520 SUPPORT EARLY ALZHEIMER'S SUPPORT AND EDUCATION PROGRAM UPPER MONTGOMERY ASSISTANCE NETWORK 640C EAST DIAMOND AVENUE GAITHERSBURG MD 20877 521648943 501(C)(3) 20000 SUPPORT EMERGENCY ASSISTANCE PROGRAMS FOR SENIORS VALLEY PROGRAM FOR AGING SERVICES INC PO BOX 415 BUENA VISTA VA 24416 540958526 501(C)(3) 8778 SUPPORT CAREGIVER EDUCATION WORKSHOPS 15 PART I, LINE 2: THE ORGANIZATION SUPPORTS OTHER NON-PROFITS WITH SIMILAR MISSIONS. ALL APPLICATIONS ARE REVIEWED AND APPROVED BY THE COMMUNITY IMPACT ADVISORY COMMITTEE AND ARE REPORTED TO AND THEN APPROVED BY THE BOARD. DONEES ARE EXPECTED TO SUPPLY DOCUMENTATION TO SUBSTANTIATE THAT GRANTS HAVE BEEN USED FOR THEIR INTENDED PURPOSES. X X X X X 0 0 0 0 0 0 0 1 0 MR LAWRENCE R BRADSHAW PRESIDENT/CEO 290000 0 29700 0 0 0 17300 0 5689 0 342689 0 0 0 MR MICHAEL BRADY ASSISTANT TREASURER/CFO 170000 0 10440 0 0 0 7650 0 11601 0 199691 0 0 0 DANIEL C LOOK CHIEF STRATEGY OFFICER 205000 0 11638 0 0 0 11728 0 9260 0 237626 0 0 0 MS KATHRYN E BAERWALD CHIEF PHILANTHROPY OFFICER 155000 0 10796 0 0 0 3100 0 9301 0 178197 0 0 0 MR CAMILLE ROUSSEL CHIEF OF INFORMATION TECHNOLOGY 140000 0 10560 0 0 0 8400 0 11240 0 170200 0 0 0 PART I, LINE 7 BONUSES ARE DETERMINED AND APPROVED BY THE EXECUTIVE COMMITTEE OF THE BOARD AND ARE BASED ON A VARIETY OF FACTORS SUCH AS WHETHER CAMPUS BUDGETS ARE MET, HOW EACH CAMPUS DOES ON ITS RESPECTIVE NURSING/HEALTH CARE SURVEY AND HOW EACH SENIOR LEADER DOES IN OBTAINING HIS OR HER GOALS FOR THE YEAR. FORM 990, PART VI, SECTION A, LINE 4 NATIONAL LUTHERAN HOME FOR THE AGED, INC. CHANGED ITS BY-LAWS TO REFLECT A PREFERENCE FOR TRUSTESS WHO WERE MEMBERS OF LUTHERAN CONGREGATIONS BUT WITHOUT MAKING THE DESIGNATION A REQUIREMENT. ALSO, TRUSTEES OF THE ORGANIZATION WHO CONCURRENTLY SERVE ON THE BOARD OF A SUBSIDIARY MUST ALSO SERVE ON EITHER THE EXECUTIVE OR THE FINANCE COMMITTEE OF THE NATIONAL LUTERAN BOARD. FORM 990, PART VI, SECTION A, LINE 6 THE MEMBERS OF THE CORPORATION SHALL BE THE DELAWARE-MARYLAND SYNOD; METROPOLITAN WASHINGTON, DC SYNOD; AND VIRGINIA SYNOD OF THE EVANGELICAL LUTHERAN CHURCH IN AMERICA. THESE SYNODS SHARE IN THE CONTROL, SUPPORT, AND SERVICE OF THE CORPORATION. FORM 990, PART VI, SECTION A, LINE 7A THE ORGANIZATION'S BOARD HAS ROTATING 3 YEAR TERMS WITH THE POSSIBILITY OF 2 CONSECUTIVE TERMS BEING SERVED. THEN A BREAK OF ONE YEAR MUST OCCUR BEFORE AN INDIVIDUAL SERVES AS A BOARD MEMBER AGAIN. THE ONLY EXCEPTION TO THESE RULES ARE THE BISHOP'S DESIGNEES FROM EACH OF THE CHURCH SYNODS TO WHICH THE ORGANIZATION BELONGS. IF THE BISHOP CHOOSES NOT TO SERVE ON THE BOARD, THEN HE CAN ASSIGN AN INDIVIDUAL TO HIS/HER SEAT AS LONG AS HE/SHE IS BISHOP. FORM 990, PART VI, SECTION A, LINE 7B THE APPROVAL OF THE FOLLOWING MATTERS IS RESERVED EXCLUSIVELY TO THE MEMBERS. THE MEMBERS MAY INITIATE AND IMPLEMENT ANY PROPOSAL WITH RESPECT TO ANY OF THE FOLLOWING AND, IF ANY PROPOSAL WITH RESPECT TO ANY OF THE FOLLOWING IS OTHERWISE INITIATED, IT SHALL NOT BECOME EFFECTIVE UNLESS APPROVED BY THE MEMBERS. A - AMENDMENTS TO THE ARTICLES OF INCORPORATION B - THE SALE, TRANSFER OR SUBSTANTIAL CHANGE IN USE OF ALL OR SUBSTANTIALLY ALL OF THE ASSETS, DIVESTITURES, DISSOLUTIONS, CLOSURES, MERGERS, CONSOLIDATIONS, OR CHANGES IN CORPORATE MEMBERSHIP C - THE LIQUIDATION, DISSOLUTION, WINDING UP OR ABANDONMENT OF THE CORPORATION FORM 990, PART VI, SECTION B, LINE 11 THE CFO AND PRESIDENT PERFORM AN INITIAL REVIEW OF THE FORM 990. UPON APPROVAL, THE FORM 990 IS MADE AVAILABLE TO EACH BOARD MEMBER FOR REVIEW PRIOR TO TRANSMISSION OF THE RETURN TO THE IRS. FORM 990, PART VI, SECTION B, LINE 12C BOARD MEMBERS AND KEY EMPLOYEES SIGN A CONFLICT OF INTEREST STATEMENT EACH YEAR. IF A CONFLICT IS IDENTIFIED, IT IS 1) IDENTIFIED AND DISCUSSED WITH THE BOARD AND 2) REVIEWED AND DOCUMENTED BY MANAGEMENT. IF AN ACTUAL OR POTENTIAL CONFLICT IS IDENTIFIED, THE BOARD MEMBER, OFFICER, OR EMPLOYEE WILL RECUSE HIM OR HERSELF FROM ANY CONVERSATIONS, DECISIONS, OR OTHER ACTIVITIES AND DISCUSSIONS INVOLVING THE CONFLICT. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD DETERMINES THE COMPENSATION FOR THE CEO THROUGH THE COMBINED USE OF SEVERAL METHODS. THE EXECUTIVE COMMITTEE SERVES AS A COMPENSATION COMMITTEE WHICH OVERSEES THE PROCESS. COMPENSATION SURVEYS ARE PERFORMED BY AN OUTSIDE HR CONSULTING FIRM, PRM, USING LOCAL MARKET DATA AND WRITTEN EMPLOYMENT CONTRACTS ARE DRAWN. THE CEO, EXECUTIVE DIRECTOR, AND DIRECTOR OF HUMAN RESOURCES USE SALARY SURVEYS TO DETERMINE THE COMPENSATION FOR OTHER OFFICERS AND KEY EMPLOYEES TO ENSURE THEY ARE WITHIN THE LOCAL MARKET RANGE. THE SERVICES THE INDIVIDUAL PROVIDES TO THE ORGANIZATION AND THE TENURE OF THE OFFICER ARE ALSO FACTORS CONSIDERED IN SALARY DETERMINATIONS. ONCE THE EXECUTIVE COMMITTEE GIVES ITS APPROVAL, ITS DECISIONS ARE NOTED AT THE BOARD LEVEL. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUEMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST AND WILL BE MADE AVAILABLE TO THE PUBLIC ON THE ORGANIZATION'S WEBSITE. FORM 990, PART IX, LINE 11G PROFESSIONAL FEES : PROGRAM SERVICE EXPENSES 0. MANAGEMENT AND GENERAL EXPENSES 2,319,225. FUNDRAISING EXPENSES 117,717. TOTAL EXPENSES 2,436,942. MAINTENANCE AND EQUIPMENT CONTRACTS : PROGRAM SERVICE EXPENSES 0. MANAGEMENT AND GENERAL EXPENSES 19,493. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 19,493. THE VILLAGE AT ORCHARD RIDGE INC 400 CLOCKTOWER RIDGE DRIVE WINCHESTER VA 22603 263445374 CONTINUING CARE RETIREMENT COMMUNITY VA 501(C)(3) 9 NATIONAL LUTHERAN HOME FOR THE AGED INC 1 THE VILLAGE AT ROCKVILLE INC 9701 VEIRS DRIVE ROCKVILLE MD 20850 530196624 CONTINUING CARE RETIREMENT COMMUNITY MD 501(C)(3) 9 NATIONAL LUTHERAN HOME FOR THE AGED INC 1 THE LEGACY AT NORTH AUGUSTA INC 1410 A NORTH AUGUSTA STREET STAUNTON VA 24401 452857307 CONTINUING CARE RETIREMENT COMMUNITY VA 501(C)(3) 9 NATIONAL LUTHERAN HOME FOR THE AGED INC 1 THE VILLAGE AT CRYSTAL SPRING INC 2301 RESEARCH BLVD ROCKVILLE MD 20850 454024593 CONTINUING CARE RETIREMENT COMMUNITY IN DEVELOPMENT STAGES MD 501(C)(3) 9 NATIONAL LUTHERAN HOME FOR THE AGED INC 1 0 0 0 1 0 0 0 0 0 0 0 1 0 0 1 0 0 0 0 THE LEGACY AT NORTH AUGUSTA INC D 3683045 COST THE VILLAGE AT ORCHARD RIDGE D 3102613 COST THE LEGACY AT NORTH AUGUSTA INC L 397131 COST THE VILLAGE OF ORCHARD RIDGE L 935837 COST THE VILLAGE AT ROCKVILLE L 2270516 COST THE VILLAGE AT ROCKVILLE O 135595 COST THE VILLAGE OF ORCHARD RIDGE O 135595 COST THE LEGACY AT NORTH AUGUSTA INC O 135595 COST