2014-08-05T08:53:04-05:00 2013-12-31 521511275 RAFFA PC 1899 L STREET NW SUITE 900 WASHINGTON DC 20036 990 2013-01-01 300126510 CENTER FOR AMERICAN PROGRESS CENT 2026821611 1333 H STREET NW 10TH FLOOR WASHINGTON DC 20005 JOSEPH W SMOLSKIS TREASURER 2026821611 2014-08-05 1 FRANK H SMITH P00639053 2028225000 2014-07-31 2013 2015-11-30 17:44:51Z JOSEPH W SMOLSKIS 1333 H STREET NW 10TH FLOOR WASHINGTON DC 20005 41095127 0 X WWW.AMERICANPROGRESS.ORG X 2002 DC NON-PARTISAN RESEARCH AND EDUCATION DEDICATED TO ADVANCING PROGRESSIVE POLICY IDEAS. 11 9 372 9 8836 -1839 38215459 40013311 305126 143130 27194 22431 653738 691522 39201517 40870394 4795358 5326452 0 0 18624303 20190353 85500 146125 1167341 10651617 12350621 34156778 38013551 5044739 2856843 50042142 53153182 7838769 7847535 42203373 45305647 X THE CENTER FOR AMERICAN PROGRESS (CAP) IS AN INDEPENDENT NONPARTISAN EDUCATIONAL INSTITUTE DEDICATED TO IMPROVING THE LIVES OF ALL AMERICANS THROUGH PROGRESSIVE IDEAS AND ACTION. ITS WORK ADDRESSES 21ST CENTURY CHALLENGES SUCH AS ENERGY, NATIONAL SECURITY, ECONOMIC GROWTH AND OPPORTUNITY, IMMIGRATION, EDUCATION AND HEALTH CARE. CAP DEVELOPS NEW POLICY IDEAS, CHALLENGE THE MEDIA TO COVER THE ISSUES THAT TRULY MATTER, AND SHAPE THE NATIONAL DEBATE. 0 0 16296281 384600 143130 POLICY PROGRAMS: PROJECTS WERE CONDUCTED IN AREAS OF ENERGY AND THE ENVIRONMENT, EDUCATION, HEALTH CARE, IMMIGRATION, OPEN GOVERNMENT, POVERTY, LGBT RIGHTS, AND WOMEN'S RIGHTS. IN ADDITION, THE ECONOMIC POLICY TEAM CONDUCTED PROJECTS RELATING TO MIDDLE CLASS ECONOMICS, TAX FAIRNESS, HOUSING, AND POST-SECONDARY EDUCATION. THE CORPORATION'S NATIONAL SECURITY TEAM WORKED ON PROJECTS RELATING TO CHINA RELATIONS AND MIDDLE EAST RELATIONS WITH THE U.S. 5662741 2219431 COMMUNICATIONS: THE COMMUNICATIONS TEAM ASSISTED THE WORK OF POLICY TEAMS BY PROVIDING PRESS, COMMUNICATIONS, AND EVENTS SUPPORT. IN ADDITION, THE COMMUNICATIONS TEAM PROVIDED GRANTS TO OTHER ORGANIZATIONS TO FURTHER CAP'S MISSION. 3431545 2365698 EXTERNAL RELATIONS: PROJECTS WERE UNDERTAKEN TO EDUCATE THE PUBLIC, POLICYMAKERS, OPINION LEADERS AND ADVOCATES; ANTICIPATE AND SHAPE THE NATIONAL DEBATE; AND CHALLENGE THE MEDIA TO COVER THE ISSUES THAT TRULY MATTER THROUGH A WIDE ARRAY OF DISSEMINATION CHANNELS, INCLUDING FAITH COMMUNITIES, CAMPUS ORGANIZATIONS, PRINT, BROADCAST, AND ONLINE MEDIA. IN ADDITION, IT PROVIDED GRANTS TO OTHER ORGANIZATIONS TO FURTHER CAP'S MISSION. 2868911 38586 ENOUGH! 1778391 318137 EXECUTIVE OFFICE 1676814 GENERATION PROGRESS 1211164 ART AND EDITORIAL 408641 WASHINGTON CENTER FOR EQUITABLE GROWTH 38993 CALIFORNIA OFFICE 7982914 356723 33373481 1 1 0 1 0 0 0 0 0 0 1 0 0 0 1 1 1 0 0 1 1 1 0 1 1 0 0 1 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 302 0 1 372 1 1 1 0 0 0 0 1 1 0 0 0 0 X 11 9 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 AL AK AZ AR CA CT FL GA HI IL KS KY ME MD MA MI MN MS NH NJ NM NY NC ND OK OR PA RI SC TN UT VA WA WV WI X JOSEPH W SMOLSKIS 2027416276 1333 H STREET NW 10TH FLOOR WASHINGTON DC 20005 MADELEINE ALBRIGHT DIRECTOR 1.00 X 0 0 0 CAROL BROWNER DIR. & DISTINGUISHED SENIOR FELLOW 39.00 X 97969 0 9108 SENATOR TOM DASCHLE DIRECTOR 1.00 X 0 0 0 GLENN HUTCHINS DIRECTOR 1.00 X 0 0 0 RICHARD LEONE DIRECTOR 1.00 X 0 0 0 PETER LEWIS DIRECTOR 1.00 X 0 0 0 SUSAN SANDLER DIRECTOR 1.00 X 0 0 0 TOM STEYER DIRECTOR 1.00 X 0 0 0 JOSE VILLARREAL DIRECTOR 1.00 X 0 0 0 HANSJORG WYSS DIRECTOR 1.00 X 0 0 0 JOHN PODESTA DIRECTOR, CHAIR, AND COUNSELOR 36.00 X X 222271 0 22603 NEERA TANDEN PRESIDENT 39.00 X 280033 0 36313 DEBORAH FINE SECRETARY AND GENERAL COUNSEL 33.00 X 152884 0 16563 JOSEPH W SMOLSKIS TREASURER AND CFO 32.00 X 174810 0 15678 LAWRENCE J KORB SENIOR FELLOW 40.00 X 202830 0 19274 JOHN NORRIS EXEC. DIR., SUSTAINABLE SECURITY 37.00 X 198000 0 19800 WINNIE STACHELBERG EVP 40.00 X 180632 0 22345 JOHN PRENDERGAST SENIOR FELLOW 40.00 X 177195 0 18315 CYNTHIA G BROWN VICE PRESIDENT 40.00 X 163690 0 17870 1850314 0 197869 9 0 1 0 GRASSROOTS SOLUTIONS 2828 UNIVERSITY AVENUE SE 150 MINNEAPOLIS MN 55414 RESEARCH 200000 VANBROWNECOM LTD 22 FORESTERS WALK STAMFORD BRIDGE YORK UK POLICY CONSULTANT 180000 HART RESEARCH ASSOCIATES 1724 CONNECTICUT AVENUE NW WASHINGTON DC 20009 PUBLIC OPINION POLL 149000 PERRY UNDEM 4800 HAMPDEN LANE SUITE 200 PMB BETHESDA MD 20814 PUBLIC OPINION POLL 146760 TIMEPLOTS LLC C/O NGP VAN 1101 15TH STREET NW WASHINGTON DC 20005 GRAPHIC DESIGN 132650 9 9332 1049535 38954444 2435442 40013311 PROGRAM SERVICE INCOME 900099 143130 143130 143130 22431 22431 123300 1049535 223328 -100028 -100028 2461 1405 1056 1056 SUBLEASE INCOME 900099 653878 653878 OFFICE SHARING INCOME 900099 93004 93004 OTHER INCOME 900099 35832 35832 7780 7780 790494 40870394 143130 8836 705117 5101452 5101452 225000 225000 1028232 608494 345959 73779 16064884 13821746 1738639 504499 682200 596456 66280 19464 1175687 999488 138730 37469 1239350 1048630 149441 41279 94759 25214 68469 1076 44470 37617 5367 1486 146125 146125 3589455 3326214 242497 20744 3887 3817 70 985520 803660 140738 41122 472342 392423 65674 14245 2974524 2516120 358995 99409 1257826 1212224 14979 30623 812859 747897 4250 60712 519451 439398 62693 17360 99297 84033 11954 3310 UBI TAX 1928 1631 233 64 PUBLIC OPINION ANALYSIS 637380 637380 COMMISSIONED PAPERS 439677 439677 SUBSCRIPTIONS 143788 112710 23500 7578 273458 192200 34261 46997 38013551 33373481 3472729 1167341 8297206 8866913 25493470 28205183 11616688 9142916 226116 269608 5268 10767 268265 1318450 8983986 6336377 3099274 2647609 174734 250834 861121 2440902 50042142 53153182 1997127 2393002 5841642 5454533 7838769 7847535 X 19138112 26572737 23065261 18732910 42203373 45305647 50042142 53153182 X 2856843 245431 X 0 1 X 1 0 X 38187695 36517866 33795845 38215459 40013311 186730176 38187695 36517866 33795845 38215459 40013311 186730176 54216950 132513226 565481 403787 372227 549349 676309 2567153 10170 9577 10447 5162 35356 21895 130794 303688 110466 128836 695679 190028364 1666386 0.69730 0.68010 X SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: OTHER INCOME - 2009 AMOUNT: $ 21,895. 2010 AMOUNT: $ 71,577. 2011 AMOUNT: $ 239,418. 2012 AMOUNT: $ 21,309. 2013 AMOUNT: $ 35,832. OFFICE SHARING INCOME - 2010 AMOUNT: $ 59,217. 2011 AMOUNT: $ 64,270. 2012 AMOUNT: $ 89,157. 2013 AMOUNT: $ 93,004. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 4686 28019 32705 37586180 37618885 1000000 250000 0 0 1000000 1000000 1000000 1000000 4000000 6000000 314078 167573 54642 32705 568998 250000 250000 250000 250000 1000000 1500000 51717 161726 53856 4686 271985 4054168 2182710 1871458 2049507 1883377 166130 2880311 2270290 610021 2647609 TENANT DEPOSITS 26000 DEFERRED LEASE OBLIGATIONS 5177699 DEFERRED COMPENSATION OBLIGATION 250834 5454533 X 41340558 245431 224733 470164 40870394 0 40870394 38238284 224733 224733 38013551 0 38013551 PART X, LINE 2: IN ACCORDANCE WITH FASB ACCOUNTING STANDARDS CODIFICATION (ASC) TOPIC 740, INCOME TAXES, CAP HAS EVALUATED ITS INCOME TAX POSITIONS FOR THE YEARS ENDED DECEMBER 31, 2013 AND 2012, AND DETERMINED THAT NO MATERIAL UNCERTAIN TAX POSITIONS EXIST AND, ACCORDINGLY, CAP HAS NOT RECOGNIZED ANY LIABILITY FOR UNRECOGNIZED INCOME TAX. PART XI, LINE 2D - OTHER ADJUSTMENTS: SPECIAL EVENTS EXPENSES 223,328. COST OF GOODS SOLD 1,405. PART XII, LINE 2D - OTHER ADJUSTMENTS: SPECIAL EVENTS EXPENSES 223,328. COST OF GOODS SOLD 1,405. 1 EAST ASIA AND THE PACIFIC - AUSTRALIA, BRUNEI, BURMA, CAMBODIA, 0 0 PROGRAM SERVICES PUBLIC POLICY RESEARCH 200107 EUROPE (INCLUDING ICELAND & GREENLAND) - ALBANIA, ANDORRA, AUSTRIA, BELGIUM 0 0 PROGRAM SERVICES PUBLIC POLICY RESEARCH 196724 MIDDLE EAST AND NORTH AFRICA - ALGERIA, BAHRAIN, DJIBOUTI, EGYPT, 0 0 PROGRAM SERVICES PUBLIC POLICY RESEARCH 15308 SOUTH AMERICA - ARGENTINA, BOLIVIA, BRAZIL, CHILE, COLUMBIA, ECUADOR, 0 0 PROGRAM SERVICES PUBLIC POLICY RESEARCH 7500 SOUTH ASIA - AFGHANISTAN, BANGLADESH, BHUTAN, INDIA, MALDIVES, NEPAL, 0 0 PROGRAM SERVICES PUBLIC POLICY RESEARCH 26734 SUB-SAHARAN AFRICA - ANGOLA, BENIN, BOTSWANA, BURKINA, FASO, 0 7 PROGRAM SERVICES PUBLIC POLICY RESEARCH 251303 EUROPE (INCLUDING ICELAND & GREENLAND) - ALBANIA, ANDORRA, AUSTRIA, BELGIUM 0 0 GRANTS TO RECIPIENTS LOCATED IN THE REGION TO SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. 225000 0 7 0 0 0 7 922676 0 922676 EUROPE (INCLUDING ICELAND & GREENLAND) ELEVATE LEVEL OF PUBLIC POLICY DISCOURSE 225000 WIRE TRANSFER 1 0 0 0 0 0 0 1 PART I, LINE 2: CENTER FOR AMERICAN PROGRESS REQUIRES ANY GRANTEE ORGANIZATION TO REPRESENT, WARRANT AND AGREE: THAT IT WILL USE GRANT FUNDS SOLELY FOR PURPOSES CONSISTENT WITH CAP'S TAX-EXEMPT STATUS UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE, FOR ACTIVITIES CONSISTENT WITH NONPARTISAN, NON-LOBBYING, RELIGIOUS, CHARITABLE, SCIENTIFIC, LITERARY OR EDUCATION PURPOSES; THAT IT WILL ALLOW CAP STAFF OR REPRESENTATIVES TO CONDUCT EVALUATIONS AND AUDITS OF THE USE OF GRANT FUNDS, WHICH MAY INVOLVE VISITS TO OBSERVE, REVIEW AND DISCUSS ITS OPERATIONS, FINANCIAL RECORDS, AND OTHER MATERIALS CONNECTED WITH THE GRANTEE; AND THAT IT WILL SEND CAP FINAL FINANCIAL AND NARRATIVE REPORTS BY A DATE SPECIFIED. X X X X X X 1 THE BONNER GROUP INC 729 15TH STREET NW SUITE 3 WASHINGTON DC 200052105 GENERAL FUNDRAISING SERVICES 0 1201000 150125 1050875 1201000 150125 1050875 AL AK AZ AR CA CO CT DC FL GA HI IL KS KY ME MD MA MI MN MS MO NH NJ NM NY NC ND OH OK OR PA RI SC TN UT VA WA WV WI ANNUAL DINNER 1172835 1049535 123300 18806 62668 141854 1172835 1049535 123300 18806 62668 141854 223328 -100028 1 CENTER FOR AMERICAN PROGRESS ACTION FUND 1333 H STREET NW 10TH FLOOR WASHINGTON DC 20006 300192708 501(C)(4) 4165000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. CENTER FOR COMMUNITY CHANGE 1536 U STREET NW WASHINGTON DC 20009 520888113 501(C)(3) 110000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. UNIVERSITY OF NCAT CHAPEL HILL 104 AIRPORT DR AOB SUITE 3600 CHAPEL HILL NC 27599 566001393 501(C)(3) 85000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. COLORADO CIVIC ENGAGEMENT ROUNDTABLE PO BOX 1620 DENVER CO 80201 020758897 501(C)(3) 75000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. ONE IOWA EDUCATION FUND 419 SW 8TH STREET DES MOINES IA 50309 721613927 501(C)(3) 75000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. ONE WISCONSIN NOW 152 WEST JOHNSON STREET SUITE 214 MADISON WI 53703 203765839 501(C)(4) 75000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. STATE VOICES JULIE FUNKE 500 GRISWOLD STREET SUITE 2850 DETROIT MI 48226 201115618 501(C)(3) 75000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. TEXAS RESEARCH INSTITUTE PO BOX 2114 AUSTIN TX 78768 741109630 501(C)(3) 75000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. PROGRESS NOW NEVADA 708 S 6TH STREET LAS VEGAS NV 89101 270854756 501(C)(3) 37500 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. PROGRESSIVE LEADERSHIP ALLIANCE OF NEVADA 708 S 6TH STREET LAS VEGAS NV 89101 880318655 501(C)(3) 37500 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. ULTRAVIOLET ACTION C/O CEL 2150 ALLSTON WAY SUITE 360 BERKELEY CA 94704 454237074 501(C)(4) 35000 AARONFOX - 06/16/14 02:10PM WORKSHEET SCHEDULE I USA FOR UNHCR 1775 K STREET NW SUITE 290 WASHINGTON DC 20006 521662800 501(C)(4) 31036 SUPPORT SISTER SCHOOLS PROGRAM. SMALL BUSINESS MAJORITY FOUNDATION INC 4000 BRIDGEWAY SUITE 101 SAUSALITO CA 94965 030576666 501(C)(3) 30000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. THE LEADERSHIP CONFERENCE EDUCATION FUND 1629 K STREET NW 10TH FLOOR WASHINGTON DC 20006 237026895 501(C)(3) 25000 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. ACCE INSTITUTE 3655 S GRAND AVENUE SUITE 250 LOS ANGELES CA 90007 271487442 501(C)(3) 18750 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. COALITION ON HUMAN NEEDS C/O MCMASTER ASSOCIATES 1015 18TH STREET NW SUITE 1101 WASHINGTON DC 20036 264680984 501(C)(3) 15698 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. THE REGENTS OF THE UNIVERSITY OF CALIFORNIA OF CALIFORNIA REMITTANCE CENTER 10920 WILSHIRE BLVD SUITE 107 LOS ANGELES CA 900246503 956006143 501(C)(3) 14030 SUPPORT CHARITABLE EDUCATIONAL ACTIVITIES. ROBERT H JACKSON CENTER PO BOX 879 JAMESTOWN NY 147020879 161605121 501(C)(3) 7500 SPONSOR ANNUAL INTERNATIONAL HUMANITARIAN DIALOGS CONFERENCE. THE FINE PRINT C/O JESSICA NEWMAN PO BOX 13179 GAINESVILLE FL 32604 800220447 N/A 5300 SUPPORT STUDENT PUBLICATION. 14 5 PART I, LINE 2: CENTER FOR AMERICAN PROGRESS REQUIRES ANY GRANTEE ORGANIZATION TO REPRESENT, WARRANT AND AGREE: THAT IT WILL USE GRANT FUNDS SOLELY FOR PURPOSES CONSISTENT WITH CAP'S TAX-EXEMPT STATUS UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE; THAT NO PORTION OF GRANT FUNDS WILL BE USED DIRECTLY OR INDIRECTLY TO EXPRESSLY OR IMPLICITLY SUPPORT OR OPPOSE ANY CANDIDATE SEEKING ELECTION TO PUBLIC OFFICE OR PROVIDE A BENEFIT TO ANY POLITICAL PARTY OR CANDIDATE; THAT IT WILL ALLOW CAP STAFF OR REPRESENTATIVES TO CONDUCT EVALUATIONS AND AUDITS OF THE USE OF GRANT FUNDS, WHICH MAY INVOLVE VISITS TO OBSERVE, REVIEW AND DISCUSS ITS OPERATIONS, FINANCIAL RECORDS, AND OTHER MATERIALS CONNECTED WITH THE GRANTEE; AND THAT IT WILL SEND CAP FINAL FINANCIAL AND NARRATIVE REPORTS BY A DATE SPECIFIED IN THE ORIGINAL AWARD LETTER. CAP REQUIRES DONEE ORGANIZATIONS TO PROVIDE NARRATIVE AND FINANCIAL REPORTS THAT: ARE SIGNED BY AN OFFICER OF THE ORGANIZATION; DESCRIBE HOW THE FUNDS WERE SPENT AND WHAT WAS ACCOMPLISHED; AND PROVIDE A REASONABLY DETAILED ACCOUNT OF THE ACTIVITIES CONDUCTED BY THE GRANTEE IN PERFORMANCE OF THE AGREED UPON WORK. X X X X 0 0 0 0 0 0 0 0 0 JOHN PODESTA DIRECTOR, CHAIR, AND COUNSELOR 222271 0 0 0 0 0 17782 0 4821 0 244874 0 0 0 NEERA TANDEN PRESIDENT 280033 0 0 0 0 0 25203 0 11110 0 316346 0 0 0 DEBORAH FINE SECRETARY AND GENERAL COUNSEL 152884 0 0 0 0 0 12231 0 4332 0 169447 0 0 0 JOSEPH W SMOLSKIS TREASURER AND CFO 174810 0 0 0 0 0 13985 0 1693 0 190488 0 0 0 LAWRENCE J KORB SENIOR FELLOW 202830 0 0 0 0 0 10142 0 9132 0 222104 0 0 0 JOHN NORRIS EXEC. DIR., SUSTAINABLE SECURITY 198000 0 0 0 0 0 9900 0 9900 0 217800 0 0 0 WINNIE STACHELBERG EVP 180632 0 0 0 0 0 14451 0 7894 0 202977 0 0 0 JOHN PRENDERGAST SENIOR FELLOW 177195 0 0 0 0 0 8860 0 9455 0 195510 0 0 0 CYNTHIA G BROWN VICE PRESIDENT 163690 0 0 0 0 0 13095 0 4775 0 181560 0 0 0 PART I, LINE 1A X 8 2435442 SALES PRICE 0 0 0 FORM 990, PART VI, SECTION B, LINE 11 THE FINANCE DEPARTMENT WORKS DIRECTLY WITH AN INDEPENDENT ACCOUNTING FIRM TO PREPARE THE 990 ON BEHALF OF THE CORPORATION. THE FINANCE DEPARTMENT MANAGES THE PROCESS, WITH CLOSE COORDINATION WITH THE LEGAL DEPARTMENT. THE ACCOUNTING FIRM PROVIDES A DRAFT 990, WHICH IS REVIEWED AND COMMENTED ON BY FINANCE, LEGAL AND THE CORPORATE OFFICERS. THE COMPLETE 990 AND SUMMARY MATERIALS WERE PROVIDED TO THE AUDIT COMMITTEE OF THE BOARD FOR REVIEW AND CONSIDERATION ON BEHALF OF THE FULL BOARD. THE AUDIT COMMITTEE IS OFFERED THE OPPORTUNITY TO DISCUSS THE MATERIALS WITH CORPORATION STAFF AND THE ACCOUNTING FIRM THAT PREPARED THE 990. THE AUDIT COMMITTEE MUST APPROVE THE FORM 990 BEFORE IT IS FILED, AND THE FULL BOARD RECEIVES THE APPROVED VERSION BEFORE IT IS FILED WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C THE CORPORATION IS COMMITTED TO PREVENTING OUTSIDE FINANCIAL INTERESTS OF ITS BOARD MEMBERS, OFFICERS OR EMPLOYEES FROM INFLUENCING ITS ACTIVITIES. TO THAT END, IT HAS ADOPTED AND ENFORCES POLICIES TO PREVENT CONFLICTS OF INTEREST AND THE APPEARANCE OF CONFLICTS OF INTEREST, INCLUDING SEPARATE POLICIES GOVERNING (1) OFFICERS, DIRECTORS, AND KEY EMPLOYEES; AND (2) ALL EMPLOYEES. COMPLIANCE WITH POLICIES GOVERNING OFFICERS, DIRECTORS AND KEY EMPLOYEES OFFICERS, DIRECTORS AND KEY EMPLOYEES (IF ANY) RECEIVE A COPY OF THE CONFLICT OF INTEREST POLICY ANNUALLY, AND ARE ASKED TO REVIEW THE POLICY AND SIGN AN ACKNOWLEDGEMENT AFFIRMING RECEIPT, REVIEW AND AGREEMENT TO COMPLY WITH THE POLICY, AS WELL AS UNDERSTANDING THAT THE CORPORATION IS A CHARITABLE ORGANIZATION. IN ADDITION, OFFICERS, DIRECTORS AND KEY EMPLOYEES ARE ASKED TO COMPLETE AN ANNUAL INDEPENDENCE QUESTIONNAIRE, WHICH SEEKS DISCLOSURE OF CERTAIN RELATIONSHIPS, ARRANGEMENTS AND TRANSACTIONS IN ORDER TO DETERMINE INDEPENDENCE AND THE EXISTENCE OF CONFLICTS OF INTEREST. THESE POLICIES DESCRIBE POTENTIAL CONFLICTS, PROVIDE MEANS FOR DISCLOSURE, AND PROVIDE PROCESSES FOR INVESTIGATING AND RESOLVING POTENTIAL CONFLICTS. FORM 990, PART VI, SECTION B, LINE 15 IT IS THE POLICY OF CAP THAT THE PRESIDENT SUBMITS HIS OR HER RECOMMENDATIONS FOR COMPENSATION OF NEWLY HIRED SENIOR MANAGERS AT CAP TO THE COMPENSATION COMMITTEE OF THE BOARD FOR ITS APPROVAL WHEN, AMONG OTHER THINGS, THE RECOMMENDED SALARY EQUALS OR EXCEEDS AN INFLATION ADJUSTED THRESHOLD. FOR FELLOWS, THE BOARD APPROVES A RANGE OF COMPENSATION, ADJUSTED ANNUALLY FOR INFLATION. SALARIES FOR HALF-TIME AND FULL-TIME FELLOWS AND FOR OTHER SALARIES ARE PROPORTIONAL TO THIS PAY SCALE. THE PRESIDENT SUBMITS RECOMMENDATIONS FOR ANY FELLOW TO BE COMPENSATED OUTSIDE OF THIS RANGE. THIS POLICY WAS ESTABLISHED IN ORDER TO PREVENT PAYING EXCESSIVE COMPENSATION TO EMPLOYEES. TO THIS END, COMPENSATION RECOMMENDATIONS FOR NEW SENIOR STAFF OR FELLOWS ABOVE THE APPLICABLE INFLATION ADJUSTED THRESHOLD ARE SUBMITTED TO THE COMPENSATION COMMITTEE. THE RECOMMENDATION INCLUDES A JOB DESCRIPTION, INFORMATION ABOUT THE QUALIFICATIONS OF THE CANDIDATE, AND INFORMATION ABOUT WHAT COMPARABLE ORGANIZATIONS ARE PAYING FOR SIMILAR SERVICES. THE COMPENSATION COMMITTEE WILL CONSIDER AND MAY APPROVE THESE RECOMMENDATIONS. THE COMMITTEE DOCUMENTS THE BASIS FOR ITS DECISION WITH A CONTEMPORANEOUS RECORD THAT IS KEPT IN THE CORPORATION'S BOOKS AND RECORDS. ONCE COMPENSATION IS APPROVED BY THE BOARD, THE PRESIDENT IS AUTHORIZED TO ADJUST THE SALARY LEVELS OF CERTAIN HIGHLY COMPENSATED EMPLOYEES AND FELLOWS WITHOUT APPROVAL BY THE COMPENSATION COMMITTEE WHEN (1) THE RELEVANT SUPERVISOR HAS COMPLETED AN EVALUATION OF THE EMPLOYEE'S OR FELLOW'S WORK AND IT WAS DETERMINED THAT HIS OR HER WORK "MET OR EXCEEDED EXPECTATIONS" FOR THAT POSITION; (2) THE PRESIDENT HAS REVIEWED RECENT DATA AS TO WHAT COMPARABLE ORGANIZATIONS ARE PAYING FOR SIMILAR SERVICES AND DETERMINED THAT THE ADJUSTED SALARY WOULD BE REASONABLE AND APPROPRIATE; (3) THE PRESIDENT HAS DETERMINED THAT THE ADJUSTMENT WOULD BE COMMENSURATE WITH OTHER HIGHLY COMPENSATED EMPLOYEES OR FELLOWS WITH SIMILAR RESPONSIBILITIES, AUTHORITY, AND PERFORMANCE WITHIN CAP; AND (4) THE SALARY INCREASE IS NOT MORE THAN 20% OF THE SENIOR STAFF OR FELLOW'S PER ANNUM SALARY, AND THAT THE TOTAL INCREASES OVER THREE YEARS NOT EXCEED 35%. THE COMPENSATION COMMITTEE IS COMPRISED OF INDEPENDENT DIRECTORS; ONLY MEMBERS WITHOUT A CONFLICT OF INTEREST VOTE FOR EACH RECOMMENDATION. THE EMPLOYEES FOR WHICH THE COMPENSATION REVIEW AND APPROVAL PROCESS DESCRIBED ABOVE WAS USED DURING 2013 THROUGH THE DATE OF SUBMISSION IS AS FOLLOWS: EXECUTIVE DIRECTOR OF THE ENOUGH PROJECT, FEBRUARY 2013; SVP OF OPERATIONS, FEBRUARY 2013; VP OF COMMUNICATIONS, FEBRUARY 2013; EVP FOR POLICY, MARCH 2013; PRESIDENT, JANUARY 2014 (BY THE EXECUTIVE COMMITTEE); VP OF POSTSECONDARY EDUCATION, FEBRUARY 2014; EXECUTIVE DIRECTOR OF THE WASHINGTON CENTER FOR EQUITABLE GROWTH, FEBRUARY 2014; VP OF ECONOMIC POLICY, FEBRUARY 2014; SENIOR FELLOW IN NATIONAL SECURITY, FEBRUARY 2014. FORM 990, PART VI, SECTION C, LINE 19 CAP MAKES ITS GOVERNING DOCUMENTS, CONFLICTS OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC. CAP'S GOVERNING DOCUMENTS ARE INCLUDED IN ITS FORM 1023, APPLICATION FOR RECOGNITION OF EXEMPTION UNDER SECTION 501(C)(3). CHANGES TO ITS GOVERNING DOCUMENTS ARE FILED WITH ITS ANNUAL FORM 990. BOTH FORMS AND THE 990-T ARE MADE AVAILABLE TO THE PUBLIC UPON REQUEST. CAP'S ANNUAL FORM 990 IS ALSO MADE AVAILABLE TO THE PUBLIC BY WAY OF THE ONLINE INFORMATION SERVICE, GUIDESTAR.ORG, AS WELL AS BY SOME OF THE STATES WHERE IT IS REQUIRED TO SUBMIT ITS 990 FOR STATE REGISTRATION. CAP'S AUDITED FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC THROUGH GUIDESTAR.ORG AND UPON REQUEST. CAP'S FINANCIAL STATEMENTS ARE AUDITED BY AN INDEPENDENT ACCOUNTANT ON AN ANNUAL BASIS. CAP'S AUDIT COMMITTEE, ACTING WITH DELEGATED AUTHORITY ON BEHALF OF THE FULL BOARD OF DIRECTORS, OVERSEES ALL ASPECTS OF THE CORPORATION'S FINANCIAL STATEMENT AUDIT. EACH YEAR, THE AUDIT COMMITTEE APPROVES THE ORGANIZATION'S AUDITOR. AT ANY STAGE OF THE AUDIT, THE AUDIT COMMITTEE HAS THE OPPORTUNITY TO MEET WITH THE AUDITOR WITH OR WITHOUT CAP MANAGEMENT OR STAFF PRESENT. AT THE CONCLUSION OF THE AUDIT, THE AUDIT COMMITTEE REVIEWS THE AUDIT REPORT, WHICH INCLUDES COMMUNICATIONS TO THE AUDIT COMMITTEE REQUIRED UNDER STATEMENT OF AUDITING STANDARDS #114. AFTER ITS REVIEW AND DISCUSSION WITS THE AUDITOR, THE AUDIT COMMITTEE VOTES TO ACCEPT OR REJECT THE AUDIT. FORM 990, PART XI, LINE 9: RECOVERY OF PRIOR YEAR GRANT 245,431.