2015-11-12T09:36:52-06:00 2015-03-31 COHNREZNICK LLP 6720B ROCKLEDGE DRIVE SUITE 750 BETHESDA MD 20817 990 2014-04-01 237432162 CATO INSTITUTE % VALERIE USHER CATO 2028420200 1000 MASSACHUSETTS AVE NW WASHINGTON DC 200015403 JON HEIMERMAN VP/ CHIEF ADMIN. OFFICER 2028420200 2015-11-10 true DANIEL D O'SHEA P00957510 3016547555 2014 2016-03-07 17:11:31Z PETER GOETTLER 1000 MASSACHUSETTS AVE NW WASHINGTON DC 20001 38692472 false X WWW.CATO.ORG X 1974 KS TO ORIGINATE, DISSEMINATE, AND INCREASE UNDERSTANDING OF PUBLIC POLICIES BASED ON THE PRINCIPLES OF INDIVIDUAL LIBERTY, LIMITED GOVERNMENT, FREE MARKETS, AND PEACE. 20 19 248 19 0 27386455 34969047 661801 775021 86264 93318 215590 232461 28350110 36069847 708851 773968 0 0 13172134 15045093 0 0 5106450 10657580 12427096 24538565 28246157 3811545 7823690 64520251 72934328 2065271 2664359 62454980 70269969 TO ORIGINATE, DISSEMINATE, AND INCREASE UNDERSTANDING OF PUBLIC POLICIES BASED ON THE PRINCIPLES OF INDIVIDUAL LIBERTY, LIMITED GOVERNMENT, FREE MARKETS, AND PEACE. false false 20943925 773968 775021 Public policy and research Cato's primary program is public policy, including research and outreach. In order to promote the principles of individual liberty, limited government, free markets, and peace, scholars at the Cato Institute apply a libertarian perspective to a spectrum of relevant research areas: education and child policy; energy and environment; finance, banking, and monetary policy; foreign policy and national security; government and politics; health care and welfare; international economics and development; law and civil liberties; political philosophy; regulatory studies; social security; tax and budget policy; Continued on Schedule O 20943925 true true false false false false false false false true true false false false true true true false false true true false true false false false false false true true false false false false false false false false true false false false false false false false false true 224 0 248 true false false false false false true true false false false false X 20 19 false false false false false true true true true false false true true true true true true true false false AL AK AR CA CO CT DC FL GA HI IL KS ME MD MA MI MN MS NH NJ NM NY NC ND OH OK OR PA RI SC TN UT VA WA WV WI X VALERIE USHER 2028420200 1000 MASSACHUSETTS AVENUE NW WASHINGTON DC 200015403 X RICHARD J DENNIS DIRECTOR 2.5 0.0 X 0 0 0 JOHN C MALONE DIRECTOR 2.5 0.0 X 0 0 0 LEWIS E RANDALL DIRECTOR 2.5 0.0 X 0 0 0 HOWARD S RICH DIRECTOR 2.5 0.0 X 0 0 0 JEFFREY S YASS DIRECTOR 2.5 0.0 X 0 0 0 FRED YOUNG DIRECTOR 2.5 0.0 X 0 0 0 ETHELMAE C HUMPHREYS DIRECTOR 2.5 0.0 X 0 0 0 DAVID H KOCH DIRECTOR 2.5 0.0 X 0 0 0 DONALD G SMITH DIRECTOR 2.5 0.0 X 0 0 0 ROBERT A LEVY CHAIRMAN 2.5 0.0 X X 0 0 0 K TUCKER ANDERSEN DIRECTOR 2.5 0.0 X 0 0 0 NANCY PFOTENHAUER DIRECTOR 2.5 0.0 X 0 0 0 PRESTON MARSHALL DIRECTOR 2.5 0.0 X 0 0 0 JOHN A ALLISON PRESIDENT 40.0 0.0 X X 527724 0 25570 NESTOR WEIGAND JR DIRECTOR 2.5 0.0 X 0 0 0 BARON BOND DIRECTOR 2.5 0.0 X 0 0 0 JAMES M KILTS DIRECTOR 2.5 0.0 X 0 0 0 JAMES M LAPEYRE JR DIRECTOR 2.5 0.0 X 0 0 0 CARL BARNEY DIRECTOR 2.5 0.0 X 0 0 0 PETER GOETTLER DIRECTOR 2.5 0.0 X 0 0 0 DAVID BOAZ EXECUTIVE VICE PRESIDENT 40.0 0.0 X 269357 0 26700 TERRY BROWN through 814 Chief Administrative Officer 40.0 0.0 X 121027 0 10935 GAYLLIS WARD SECRETARY 40.0 0.0 X 107500 0 2829 JON HEIMERMAN beginning 914 VP/Chief Admin. 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OTHER REVENUE INCLUDED ON RETURN NOT ON BOOKS SCHEDULE D, PART XI, LINE 4B COST OF GOODS SOLD: (143,932) OTHER EXPENSES INCLUDED ON BOOKS NOT ON FORM 990 SCHEDULE D, PART XII, LINE 2D COST OF GOODS SOLD: 143,932 FIN 48 FINANCIAL STATEMENT DISCLOSURE SCHEDULE D, PART X, LINE 2 Cato has been granted tax-exempt status as a public charity within the meaning of Section 501(c)(3) of the Internal Revenue Code (IRC). Although the organization is generally exempt from income tax, Cato is subject to unrelated business income taxes under Section 512 of the IRC, as well as subject to excise tax on excess lobbying expenses. There was no unrelated business income or excess lobbying expenses for the years ended March 31, 2015 and 2014; therefore, no provision for income tax has been recorded in the financial statements. Cato believes it has appropriate support for any tax position taken and, as such, does not have any uncertain tax positions that are material to the financial statements. Cato recognizes interest expense and penalties related to income taxes on uncertain tax positions in management and general expenses on the statements of activities and change in net assets and accounts payable and accrued expenses in the statements of financial position. No interest expense and penalties related to income taxes on uncertain tax positions were recognized for the years ended March 31, 2015 and 2014. Tax years prior to 2011 are no longer subject to examination by the Internal Revenue Service or the tax jurisdictions of Kansas and the District of Columbia. OTHER EXPENSES INCLUDED ON 990 NOT ON BOOKS SCHEDULE D, PART XI, LINE 4B CHANGE IN SPLIT-INTEREST AGREEMENTS: 33,604 OTHER REVENUE INCLUDED ON BOOKS NOT ON RETURN SCHEDULE D, PART XI, LINE 2D CHANGE IN SPLIT-INTEREST AGREEMENTS: (33,604) true Europe (Including Iceland and Greenland) 2 Grantmaking 380000 South America 2 Program Services CONFERENCES 20048 South America 2 Grantmaking 29670 6 6 429718 429718 STIPENDS FOR SENIOR FELLOWS/ADJUNCT SCHOLARS South America 1 29670 WIRE N/A N/A STIPENDS FOR SENIOR FELLOWS/ADJUNCT SCHOLARS Europe (Including Iceland and Greenland) 1 130000 WIRE N/A N/A 2014 FRIEDMAN PRIZE Europe (Including Iceland and Greenland) 1 250000 WIRE N/A N/A false false false false false false PROCEDURES FOR MONITORING THE USE OF GRANT FUNDS OUTSIDE THE UNITED STATES SCHEDULE F, PART I, LINE 2 PROGRAMS ARE SUPERVISED BY PROJECT MANAGERS WHO PROVIDE OVERSIGHT, APPROVE PAYMENTS, AND PROVIDE AN ACCOUNTING OF FUNDS SPENT. true STIPENDS FOR SENIOR FELLOWS/ADJUNCT SCHOLARS 9 344250 N/A N/A PROCEDURES FOR MONITORING THE USE OF GRANT FUNDS IN THE UNITED STATES SCHEDULE I, PART 1, LINE 2 PROGRAMS ARE SUPERVISED BY PROJECT MANAGERS WHO PROVIDE OVERSIGHT, APPROVE PAYMENTS, AND PROVIDE AN ACCOUNTING OF FUNDS SPENT. X false false X X X true false false false false false false true false EDWARD H CRANE FORMER PRESIDENT 625000 0 0 0 0 0 0 0 0 0 625000 0 0 0 DAVID BOAZ EXECUTIVE VICE PRESIDENT 269357 0 0 0 0 0 18200 0 8500 0 296057 0 0 0 JOHN A ALLISON PRESIDENT 527724 0 0 0 0 0 23400 0 2170 0 553294 0 0 0 MARK CALABRIA director financial reg studies 166675 0 2000 0 0 0 11767 0 3957 0 184399 0 0 0 WILLIAM B LINDSEY VICE PRESIDENT FOR RESEARCH 198184 0 0 0 0 0 12675 0 11217 0 222076 0 0 0 ROGER PILON VP FOR LEGAL AFFAIRS 180197 0 4000 0 0 0 13342 0 17268 0 214807 0 0 0 PATRICK MICHAELS DIR., CTR FOR THE STDY OF SCI. 175976 0 0 0 0 0 12513 0 7388 0 195877 0 0 0 ANDREI ILLARIONOV SENIOR FELLOW 172250 0 0 0 0 0 9813 0 3967 0 186030 0 0 0 WRITTEN POLICY REGARDING REIMBURSEMENT SCHEDULE J, LINE 1B THE BOARD APPROVED THE PRESIDENT'S HOUSING ALLOWANCE AS PART OF HIS EMPLOYMENT AGREEMENT. SEVERANCE PAYMENT SCHEDULE J, LINE 4A EDWARD CRANE RECEIVED A SEVERANCE PAYMENT OF $250,000. Non-fixed payments SCHEDULE J, LINE 7 Roger Pilon and Khristine Brookes received service awards for 25 years and 5 years of service, respectively. X 65 2869666 FMV DATE OF RECEIPT false false false PROCESS USED TO REVIEW FORM 990 PART VI, SECTION A, QUESTION 11B A DRAFT 990 IS PROVIDED TO EACH MEMBER FOR REVIEW AND COMMENT PRIOR TO FINALIZATION. MONITORING AND ENFORCEMENT OF COMPLIANCE WITH CONFLICT OF INTEREST POLICY PART VI, SECTION B, QUESTION 12C CATO REVIEWS CONFLICT OF INTEREST DISCLOSURES. IF A POTENTIAL CONFLICT OF INTEREST ARISES, THE DIRECTOR, officer or key employee WITH THE CONFLICT IS REQUIRED TO CORRECT THE SITUATION OR either step down from the board or FACE TERMINATION FROM EMPLOYMENT. PROCESS FOR DETERMINING COMPENSATION PART VI, SECTION B, QUESTION 15A INDEPENDENT CONTRACTOR REVIEWS COMPENSATION/BENEFITS. THE BOARD DISCUSSES AND APPROVES EXECUTIVE COMPENSATION/BENEFITS BASED ON RESULTS OF THE INDEPENDENT STUDY. MEMBERS, STOCKHOLDERS OR OTHER PERSONS WHO MAY ELECT THE GOVERNING BODY PART VI, SECTION A, QUESTION 7A MEMBERS OF THE BOARD VOTE TO APPROVE AND REMOVE MEMBERS. DECISIONS OF THE GOVERNING BODY SUBJECT TO APPROVAL PART VI, SECTION A, QUESTION 7B MEMBERS ELECT THE BOARD OF DIRECTORS AND MAY REMOVE DIRECTORS WITH A MAJORITY VOTE. HOW THE ORGANIZATION MAKES ORGANIZING DOCUMENTS AVAILABLE TO THE PUBLIC PART VI, SECTION C, QUESTION 19 CATO'S BYLAWS, ARTICLES OF INCORPORATION, AND CONFLICT OF INTEREST POLICY ARE AVAILABLE TO ANYONE WHO REQUESTS THEM. FURTHER, CATO HAS ALWAYS COMPLIED, AND WILL CONTINUE TO COMPLY, WITH THE MANDATE THAT FORM 990 BE MADE PUBLICLY AVAILABLE. statement of program service accomplishments Part III, Line 4a Continued telecom, internet, and information policy; and trade and immigration. The impact of Cato's work was tangible across the board, but especially in several key areas: healthcare; finance, banking, and monetary policy; and law and civil liberties. Cato is one of the biggest and most effective filers of amicus curiae briefs in the Supreme Court. In all briefs Cato maintains an unwavering commitment to articulating for the Court how the principles of liberty and the original public meaning of the Constitution should guide decisions. The Institute established a 10-1 record in cases where it filed amicus briefs in the Supreme Court's most recent term, including the year's most anticipated case, Burwell v. Hobby Lobby. The Institute remained at the forefront of the public discourse regarding the Patient Protection and Affordable Care Act. Michael Cannon, Cato's director of health policy studies, has been recognized by major news outlets as a prolific and important voice on health care policy and legal challenges to the law since its inception. And as the policy climate inevitably shifts, Cannon continues to provide timely analysis and advance practical solutions to the nation's health care problems. Cato positioned itself to develop and communicate a comprehensive policy road map for a return to sound money with the launch of its new Center for Monetary and Financial Alternatives. The Center's ultimate goal is to build the intellectual foundation for a free-market banking system. An impressive group of scholars has already been assembled to articulate policy alternatives, including George Selgin, one of the foremost authorities on banking history and monetary theory, who gave up his academic tenure at the University of Georgia to direct the Center; James A. Dorn, the architect of Cato's internationally renowned Annual Monetary Conference; and a Council of Academic Advisors that includes two Nobel laureates in economics. Their expertise encompasses topics from the gold standard to cryptocurrencies, to bank regulation. Cato scholars Julian Sanchez, Jim Harper, and Patrick Eddington are the Institute's resident experts on issues at the intersection of technology and policy: privacy, intellectual property, internet governance and regulation, telecom regulation, and free speech and technology. They have led the public discourse about the propriety of NSA surveillance with blog posts and op-eds, and a huge social media presence. At the 2014 Cato Institute Surveillance Conference, journalists, technologists, and intelligence officials came together in an attempt to examine questions about international and domestic surveillance, transparency and democratic accountability, and law and technology. The conference featured a diverse array of perspectives, including Eric Schmidt of Google, Rep. Thomas Massie (R-KY), Alex Joel and Robert S. Litt of the Office of the Director of National Intelligence, and NSA whistleblower Edward Snowden by video chat. A final highlight is Cato's work to promote freedom around the world. Flemming Rose, foreign affairs editor at the Danish newspaper Jyllands-Posten, joined the Cato Institute as an author and adjunct scholar in 2014. Rose was responsible for the September 2005 publication of the Prophet Muhammad cartoons that initiated a major international controversy over self-censorship in the face of intimidation and freedom of speech. Cato is proud to have published Rose's latest book, The Tyranny of Silence. Rose recently participated in several Cato Institute events to share unique insights about the role of free speech in an increasingly multicultural, multireligious, and multiethnic world, including a Book Forum in Washington and an online Reddit AMA ("Ask Me Anything") live public discussion. Outreach, communications, and events Cato's media and marketing teams disseminate Cato's message across print and online platforms, including blogs, op-eds, TV and radio appearances, and social media. Web visits exceeded 10,000,000, and Facebook "Likes" and new Twitter followers surpassed 245,100 and 231,200, respectively. Cato Institute scholars produced 1,428 television and radio appearances and citations, 1,335 blog posts, and upwards of 890 op-eds. In the 2014 fiscal year, the Cato Institute continued to publish books that make a significant impact on current public policy debates. Cato published eight books-including two English translations-two ebook-originals, and two audiobooks on such topics as U.S. foreign policy and international security, threats to freedom of speech, the most recent Supreme Court term and the Affordable Care Act, public policy and the law of unintended consequences, and economic policy and Chinese economic development. The Tyranny of Silence: How One Cartoon Ignited a Global Debate on the Future of Free Speech was named one of top 10 current-affairs books of 2014 by The Economist. Cato research publications and periodicals saw a marked increase in downloads over 2013. Notably, Cato Journal had over 1 million article downloads in 2014, an increase of 26%. And Cato scholarly publications-policy analyses, white papers, research briefs in economic policy, and working papers were downloaded 696,900 times. Events in Washington, DC and across the country are a key component of the Institute's outreach efforts. Due largely to the substantial expansion of Cato's event calendar in 2014, Cato's audience and impact is ever-growing. In Washington, DC in 2014, Cato hosted 45 Book Forums, 37 Policy Forums, 17 Capitol Hill Briefings, and 16 major Conferences-including the 32nd Annual Monetary Conference and the 2014 Cato Institute Surveillance Conference, which both boasted over 200 attendees and garnered widespread attention from the media, lawmakers, and the public. Cato hosted 19 City Seminars in cities across the country, such as Naples, Florida; San Francisco, California; and New York, New York. Cato also increased outreach to students; more than 2,000 students participated in Cato programs. Additionally, 120 students attended Cato University in Latin America.