2013-05-14T10:20:03-05:00 2012-12-31 420714325 MCGLADREY LLP 9737 WASHINGTONIAN BLVD 400 GAITHERSBURG MD 208787340 990 2012-01-01 521081024 INDEPENDENT SECTOR INDE 2024676100 1602 L STREET NW NO 900 WASHINGTON DC 20036 DIANA AVIV 2024676100 2013-05-14 1 WILLIAM E TURCO CPA P00369217 3012963600 2012 2016-02-24 21:20:13Z DIANA AVIV 1602 L STREET NW NO 900 WASHINGTON DC 20036 15278103 0 X WWW.INDEPENDENTSECTOR.ORG X 1980 DC TO ADVANCE THE COMMON GOOD BY LEADING, STRENGTHENING, AND MOBILIZING THE NONPROFIT AND PHILANTHROPIC COMMUNITY. 23 23 66 275 10457 -50750 9692796 13098977 528606 608795 172597 43457 87097 105699 10481096 13856928 0 0 0 0 4217832 4534241 0 0 712705 3692965 3232729 7910797 7766970 2570299 6089958 49035455 47208333 23804083 15956019 25231372 31252314 X TO ADVANCE THE COMMON GOOD BY LEADING, STRENGTHENING, AND MOBILIZING THE NONPROFIT AND PHILANTHROPIC COMMUNITY. 0 0 1590256 PUBLIC POLICY - INDEPENDENT SECTOR (IS) PROVIDES LEADERSHIP FOR AND COLLABORATES WITH OUR MEMBERS TO COMMUNICATE TO PUBLIC OFFICIALS THE VALUE OF THE CHARITABLE COMMUNITY AND TO ADVOCATE FOR FEDERAL POLICIES AND REGULATIONS THAT ADVANCE THE ABILITY OF CHARITABLE ORGANIZATIONS TO SERVE THEIR COMMUNITIES. KEY ACHIEVEMENTS IN 2012 INCLUDED PROTECTING THE NONPROFIT POSTAGE DISCOUNT RATE IN POSTAL REFORM LEGISLATION, TESTIFYING BEFORE THE HOUSE WAYS AND MEANS SUBCOMMITTEE ON OVERSIGHT ON NONPROFIT GOVERNANCE ISSUES, AND SUCCESSFULLY ADVOCATING FOR THE REINSTATEMENT OF CRITICAL CHARITABLE GIVING INCENTIVES, INCLUDING THE IRA CHARITABLE ROLLOVER AS WELL AS THE ENHANCED DEDUCTIONS FOR THE DONATION OF FOOD AND REAL PROPERTY FOR CONSERVATION PURPOSES. INDEPENDENT SECTOR CONTINUED TO ENCOURAGE POLICYMAKERS TO SUPPORT TAX INCENTIVES THAT ENCOURAGE ALL AMERICANS TO CONTRIBUTE TO CHARITY AND SUCCEEDED IN STAVING OFF EFFORTS TO CURTAIL TAX DEDUCTIONS FOR CHARITABLE GIFTS AVAILABLE TO TAXPAYERS AT HIGHER INCOME LEVELS. IS HAS ALSO REMAINED COMMITTED TO ADVANCING THE ABILITY OF PUBLIC CHARITIES TO ENGAGE IN ADVOCACY EFFORTS ON BEHALF OF THE COMMUNITIES AND CAUSES THEY SERVE, AND TO REMOVING OBSTACLES THAT INHIBIT FUNDERS FROM SUPPORTING THOSE EFFORTS. IN 2012, IS OFFICIALLY ROLLED OUT ITS STUDY OF THE SECTOR'S ADVOCACY EFFORTS WITH EVENTS AND PRESENTATIONS IN D.C., LOS ANGELES, MICHIGAN, INDIANAPOLIS, AND AT THE IS CONFERENCE IN SAN FRANCISCO.IS USED A VARIETY OF VEHICLES TO CONNECT AND MOBILIZE OUR MEMBERS ON THESE ISSUES, INCLUDING THE PUBLIC POLICY ACTION INSTITUTE AT THE ANNUAL CONFERENCE, OUR DAILY EMAIL HIGHLIGHTING KEY POLICY DEVELOPMENTS; MONTHLY STRATEGY MEETINGS WITH CHARITABLE COMMUNITY POLICY LEADERS; MONTHLY LEGISLATIVE UPDATES BY TELECONFERENCE; SPECIAL CALLS, EMAIL COMMUNICATIONS AND SOCIAL MEDIA AS NEEDED; AND THE POLICY SECTION OF OUR WEBSITE. THROUGH THESE AND OTHER EFFORTS, IS STRENGTHENS THE ABILITY OF PUBLIC CHARITIES AND PRIVATE FOUNDATIONS TO SHAPE KEY PUBLIC POLICIES AND TO STRENGTHEN THE PARTNERSHIP BETWEEN GOVERNMENT AND THE CHARITABLE COMMUNITY. 1082756 5255 NONPROFIT AND PHILANTHROPIC LEADERSHIP AND PRACTICE (NPLP) - INDEPENDENT SECTOR HAS CONTINUED TO SUPPORT OUR MEMBERS AND OTHER PUBLIC CHARITIES AND FOUNDATIONS TO LEAD AND MANAGE ETHICALLY AND EFFECTIVELY. NPLP FOCUSED ON LEADERSHIP IN THREE DISTINCT WAYS IN 2012. FIRST, AFTER THE 2011 LAUNCH OF THE "INITIATIVE FOR NONPROFIT TALENT AND LEADERSHIP," INDEPENDENT SECTOR WORKED WITH A CROSS-SECTOR ALLIANCE TO REFINE AND DISSEMINATE A BLUEPRINT FOR SECTOR LEADERSHIP DEVELOPMENT AND GAINED THE INPUT OF HUNDREDS OF LEADERS IN THE PROCESS. SECOND, NPLP OFFERED NEW DATA AND IDEAS TO SUPPORTING A STRONGER LEADERSHIP PIPELINE IN AND OUT OF THE SECTOR THROUGH A RESEARCH STUDY AND A NATIONAL CONVENING FOCUSED ON FINANCIAL SECURITY, IN PARTNERSHIP WITH THE TIAA CREF INSTITUTE. THIRD, NPLP CONTINUED TO BROADEN THE REACH OF NGEN: MOVING NONPROFIT LEADERS FROM NEXT TO NOW THROUGH A SERIES OF FOUR WEBINARS, A WELL-ATTENDED PRE-CONFERENCE IN SAN FRANCISCO AND A REVISED CURRICULUM FOR THE NGEN FELLOWS. NPLP ALSO CONTINUED TO FOCUS OUR WORK ON ELEVATING IMPACT IN THE SECTOR THROUGH "CHARTING IMPACT" WITH BBB WISE GIVING ALLIANCE AND GUIDESTAR USA. THIS INITIATIVE HELPS PUBLIC CHARITIES AND FOUNDATIONS DEFINE THEIR IMPACT AND MORE CLEARLY ARTICULATE HOW THEIR PROGRAMS SERVE SOCIETY THOUGH A COMMON FORMAT OF FIVE QUESTIONS. GIVEN LOW ADOPTION RATES FOR CHARTING IMPACT THROUGH 2012, IS USED 2012 TO EVALUATE WHAT MIGHT INCREASE ADOPTION AND PROMOTE THE CLEAR ASSESSMENT AND COMMUNICATION OF IMPACT IN ORGANIZATIONS. NPLP ALSO LED THE DESIGN AND DELIVERY OF THE 2013 "GAMECHANGERS" ANNUAL CONFERENCE IN SAN FRANCISCO, WHICH WAS WELL-ATTENDED AND RECEIVED BY MULTIPLE AUDIENCES. IS CONTINUES TO HOST THE RESOURCE CENTER FOR GOOD GOVERNANCE AND ETHICAL PRACTICE, LAUNCHED IN 2011, AND ADDED SOME INCREASED FUNCTIONALITY IN 2012. 1076459 603540 ANNUAL CONFERENCE - THE IS ANNUAL CONFERENCE PROVIDES THE PREMIER MEETING GROUND FOR LEADERS FROM ACROSS THE CHARITABLE COMMUNITY, BRINGING TOGETHER LEADERS FROM PUBLIC CHARITIES, FOUNDATIONS, CORPORATE GIVING PROGRAMS, AND ACADEMIA TO SHARE THEIR EXPERIENCES AND EXPERTISE AND DEVELOP STRATEGIES TO ADDRESS THE CRITICAL ISSUES FACING OUR NATION AND THE WORLD. IN NOVEMBER 2012, OVER 900 PEOPLE (INCLUDING 45 ON SCHOLARSHIP) REGISTERED FOR OUR ANNUAL CONFERENCE FEATURING INTERACTIVE SESSIONS INFUSED WITH THE ARTS IN SAN FRANCISCO, CA. ABOUT 149 PARTICIPATED IN OUR PUBLIC POLICY ACTION INSTITUTE AND 126 IN NGEN PROGRAMMING (FOR NONPROFIT PROFESSIONALS UNDER 40) WHICH ARE IS' SIGNATURE PRE-CONFERENCE OFFERINGS. THE EXPERTISE AND VIBRANCY OF ALL OUR PARTICIPANTS PRODUCED A WORLD-CLASS EXCHANGE OF IDEAS. THE MEETING FEATURED NUMEROUS SESSIONS AND INNOVATIVE FORMATS THAT HELPED PARTICIPANTS EXAMINE HOW TO BUILD LASTING SOLUTIONS TO CURRENT CONDITIONS AND CREATE BRIGHTER FUTURES FOR ORGANIZATIONS AND THE PEOPLE THEY SERVE. IN ADDITION, THE CONFERENCE AGAIN INCLUDED SPECIAL SESSIONS TARGETED AT CEOS OR EXECUTIVE DIRECTORS WHO MADE UP 34% OF CONFERENCE REGISTRANTS. 982502 LEADERSHIP FOR THE FUTURE - GROUNDED IN OUR CURRENT STRATEGIC PLAN, IS CONTINUED TO ADVANCE ITS MISSION TO LEAD, STRENGTHEN AND MOBILIZE THE CHARITABLE AND PHILANTHROPIC COMMUNITY. IS REMAINED COMMITTED TO A SOLUTIONS-ORIENTED LEADERSHIP APPROACH, AND CONTINUED TO ENGAGE THE CHARITABLE AND PHILANTHROPIC COMMUNITY CONSISTENT WITH THIS VISION, IN AN ONGOING EFFORT TO IDENTIFY NOT ONLY CHALLENGES FACING THE SECTOR, BUT ALSO UNIQUE OPPORTUNITIES TO CONTINUE TO STRENGTHEN BOTH THE SECTOR AND THE BROADER SOCIETY. IN KEEPING WITH THE ORGANIZATION'S OVERARCHING STRATEGIC VISION AND DIRECTION, DURING 2012, IS CONTINUED TO FOCUS ON GOALS IN THREE KEY AREAS: VOICE, LEADERSHIP AND IMPACT, AS DESCRIBED BELOW:VOICE: A FOCUS ON INCREASING THE SECTOR'S PROFILE AND PRODUCTIVE RELATIONSHIPS WITH GOVERNMENT AND BUSINESS, WHICH REQUIRES DEEPENING OUR CONNECTIONS AND IMPACT IN WASHINGTON, DC; LEADERSHIP: SEEKING TO DEVELOP THE SECTOR'S ADAPTIVE LEADERSHIP CAPACITY AND STRENGTHEN DIVERSE LEADERSHIP PIPELINES TO SUPPORT LEADERS AT EVERY AGE AND CAREER STAGE; AND IMPACT: FOCUSING ON MEASURING AND COMMUNICATING IMPACT IN WAYS THAT FOSTER COLLABORATION, INCLUDING ESTABLISHING A COMMON FRAMEWORK FOR ORGANIZATIONAL ASSESSMENT AND EFFECTIVENESS.DURING 2012, THE STRATEGY DEPARTMENT, IN PARTICULAR, CONTINUED TO SUPPORT BOTH THE BOARD OF DIRECTORS' STRATEGIC LEADERSHIP AND OVERSIGHT OF THE ORGANIZATION, IS'S OVERALL EFFORTS TO EXECUTE ON ITS STRATEGIC PLAN AND TO MONITOR PERFORMANCE THEREUNDER, AND TO PROVIDE RESEARCH AND ANALYSIS OF SECTOR-RELATED ISSUES AND TRENDS. ONE SIGNIFICANT UNDERTAKING OF IS AND THE STRATEGY DEPARTMENT THAT WAS SUBSTANTIALLY ADVANCED IN 2012 WAS STUDYING THE ABILITY OF PUBLIC CHARITIES AND FOUNDATIONS TO ADVOCATE SUCCESSFULLY ON FEDERAL PUBLIC POLICY ISSUES THAT GOVERN THE CHARITABLE AND PHILANTHROPIC COMMUNITY. THE STUDY, PUBLISHED IN THE FALL OF 2012, AND ENTITLED "BEYOND THE CAUSE: THE ART AND SCIENCE OF ADVOCACY," EXAMINED NATIONAL ORGANIZATIONS AND THEIR EFFORTS RELATED TO POLICY ISSUES THAT AFFECT THE SECTOR AS A WHOLE, SUCH AS: CHARITABLE TAX EXEMPTIONS, ADVOCACY RULES FOR PUBLIC CHARITIES AND FOUNDATIONS, AND GOVERNMENT-FUNDED RESEARCH ON THE SECTOR. THE STUDY, BASED ON MORE THAN 100 INTERVIEWS, THREE SURVEYS, THREE CASE STUDIES, FOUR COALITION PROFILES, AND A DETAILED EXAMINATION OF THE SECTOR'S TRACK RECORD AND APPROACH TO PUBLIC POLICY ADVOCACY ON SECTOR-WIDE ISSUES, IDENTIFIED FIVE ESSENTIAL APPROACHES TO SUCCESSFUL ADVOCACY AND ANALYZED THE EFFECTIVENESS OF ADVOCACY ON ISSUES FACING THE ENTIRE CHARITABLE AND PHILANTHROPIC SECTOR. BASED ON THE STUDY, INDEPENDENT SECTOR LAUNCHED AN ONGOING EDUCATIONAL INITIATIVE TO SHARE THE FINDINGS AT IS MEMBER EVENTS AND CONFERENCES ACROSS THE COUNTRY, STARTING WITH DETROIT, LOS ANGELES, INDIANAPOLIS, AND AT THE IS PUBLIC POLICY ACTION INSTITUTE AND 2012 IS ANNUAL CONFERENCE NOV. 10-12 IN SAN FRANCISCO. 838658 MEMBERSHIP - THE IS MEMBERSHIP IS A LEADERSHIP NETWORK OF APPROXIMATELY 600 ORGANIZATIONS REPRESENTING A CROSS SECTION OF THE CHARITABLE AND PHILANTHROPIC COMMUNITY INCLUDING LOCAL, REGIONAL AND NATIONAL PUBLIC CHARITIES, CORPORATE GIVING PROGRAMS, AND FOUNDATIONS, WE DRAW ON OUR MEMBERSHIP TO INFORM POLICY POSITIONS AND AMPLIFY THE VOICE OF THE CHARITABLE COMMUNITY TO THE ADMINISTRATION AND LEGISLATORS, TO BUILD NONPROFIT MANAGEMENT PRACTICE TOOLS AND TECHNIQUES AND TO PROMOTE GOOD GOVERNANCE STANDARDS. MEMBERS ARE ENGAGED THROUGH COMMITTEES, ROUNDTABLES, AND AT OUR ANNUAL CONFERENCE WHERE THEY BRING THEIR THOUGHT LEADERSHIP AND ADVANCE PRACTICE EXPERTISE. WE ACCOMPLISH OUR WORK THROUGH AND WITH OUR MEMBERSHIP. 796765 COMMUNICATIONS - WE EMPLOY A VARIETY OF STRATEGIES AND METHODS TO INCREASE AWARENESS AND UNDERSTANDING OF THE VALUE OF THE CHARITABLE COMMUNITY BY THE MEDIA, ELECTED OFFICIALS, THE PUBLIC, AND STAFF AT PUBLIC CHARITIES AND FOUNDATIONS. IS HAS GARNERED SIGNIFICANT NEWS COVERAGE IN NATIONAL OUTLETS SUCH AS CBS NEWS, CNBC, NPR, THE NEW YORK TIMES, THE WALL STREET JOURNAL, THE WASHINGTON POST, AND HUFFINGTON POST, AS WELL AS IN TRADE PUBLICATIONS SUCH AS THE CHRONICLE OF PHILANTHROPY, THE NONPROFIT TIMES, AND TAX ANALYSTS. MEDIA REPRESENTATIVES LOOK TO IS FREQUENTLY DURING THE YEAR FOR EXPERTISE ON GIVING, VOLUNTEERING, ETHICS, AND ACCOUNTABILITY AND ON PUBLIC POLICIES AFFECTING THE CHARITABLE COMMUNITY, SUCH AS THE CHARITABLE DEDUCTION, JOBS PROGRAMS, AND TAX EXEMPTIONS.IS CONTINUES TO IMPROVE OUTREACH TO OUR MEMBERS AND OTHER PARTS OF THE CHARITABLE AND PHILANTHROPIC COMMUNITY AND OUR CEO WAS FEATURED AT NEARLY 20 HIGH-VISIBILITY SPEAKING ENGAGEMENTS IN 2012. WE ARE CONTINUALLY UPGRADING THE USER EXPERIENCE ON OUR WEBSITE AND ACCESSIBILITY OF EXISTING MATERIALS, INTERACTIVE FEATURES, AND A ROBUST SUB-SITE FOR OUR PRINCIPLES OF GOOD GOVERNANCE AND ETHICAL PRACTICE. WE CREATE TOOLKITS, TALKING POINTS, AND ONLINE MAPS THAT HELP OUR MEMBERS COMMUNICATE THEIR OWN VALUE. TOGETHER WITH GUIDESTAR AND BBB WISE GIVING ALLIANCE WE PROMOTED CHARTINGIMPACT.ORG AS A COMMON PRESENTATION THAT ALLOWS STAFF, BOARDS, STAKEHOLDERS, DONORS, VOLUNTEERS, AND OTHERS TO WORK WITH AND LEARN FROM EACH OTHER. IN 2012 WE PUBLISHED A MAJOR RESEARCH STUDY ON NONPROFIT ADVOCACY (BEYOND THE CAUSE: THE ART AND SCIENCE OF ADVOCACY) AND HAVE DEVELOPED A STRATEGY FOR SHARING KEY ELEMENTS WITH PUBLIC CHARITIES AND FOUNDATIONS. WE CONTINUE TO EXPAND AND REFINE OUR SOCIAL MEDIA STRATEGY THROUGH FACEBOOK AND TWITTER TO BETTER ENGAGE WITH OUR MEMBERS AND COMMUNICATE THE VALUE OF THE SECTOR. WE PUBLISH DAILY POLICY AND MEDIA DIGESTS AND EMAIL TO NEARLY 1,500 SUBSCRIBERS AT MEMBER ORGANIZATIONS, SEND TIMELY ALERTS ON KEY POLICY ISSUES, AND PRODUCE A MONTHLY MEMBER NEWSLETTER, IS CONNECTS. 2617925 6367396 1 1 0 1 0 0 0 0 0 1 1 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 12 0 1 66 1 1 1 0 0 0 0 0 0 0 0 0 X 23 23 0 0 1 0 1 1 0 1 1 0 0 1 1 1 1 1 1 1 0 0 AL AR AZ CA CO CT DC FL GA HI IL KS KY MA MD ME MI MS MN NC NH NM NY OH OK PA RI SC TN UT VA WA WI X X TERRI O'BRIEN 2024676100 1602 L STREET NW NO 900 WASHINGTON DC 20036 STEPHEN B HEINTZ 5.00 X X 0 0 0 RALPH B EVERETT 5.00 X X 0 0 0 KELVIN H TAKETA 5.00 X X 0 0 0 LORIE A SLUTSKY 5.00 X X 0 0 0 IRENE HIRANO INOUYE 5.00 X 0 0 0 ELLEN S ALBERDING 2.00 X 0 0 0 BARBARA R ARNWINE 2.00 X 0 0 0 SUSAN V BERRESFORD 2.00 X 0 0 0 ROBERT W BRIGGS 2.00 X 0 0 0 KYLE CALDWELL 2.00 X 0 0 0 BRIAN A GALLAGHER 2.00 X 0 0 0 STEVEN J MCCORMICK 2.00 X 0 0 0 RISA LAVIZZO-MOUREY 2.00 X 0 0 0 BERNARD J MILANO 2.00 X 0 0 0 NEIL NICOLL 2.00 X 0 0 0 MARIAM C NOLAND 2.00 X 0 0 0 MICHAEL S PIRAINO 2.00 X 0 0 0 WENDY D PURIEFOY 2.00 X 0 0 0 REY RAMSEY 2.00 X 0 0 0 PAUL SCHMITZ 2.00 X 0 0 0 REV LARRY SNYDER 2.00 X 0 0 0 ROBERT SURO 2.00 X 0 0 0 RICHARD B WILLIAMS 2.00 X 0 0 0 DEBORAH ALVAREZ-RODRIGUEZ 2.00 X 0 0 0 JULIE FLOCH 2.00 X 0 0 0 DIANA AVIV 60.00 X 471099 0 115484 TERRI O'BRIEN 50.00 X 173338 0 14567 LOIS FU 50.00 X 222601 0 24334 CLAIRE WELLINGTON 50.00 X 162399 0 25638 MICHAEL GOFF 50.00 X 147169 0 7651 MIKAELA SELIGMAN 50.00 X 125396 0 14881 GEOFF PLAGUE 50.00 X 129942 0 15150 LORRAINE SNEBOLD 50.00 X 126416 0 11386 MITCH EISMAN 50.00 X 115792 0 14453 1674152 0 243544 14 0 1 0 HILTON SAN FRANCISCO 333 OFARRELL ST SAN FRANCISCO CA 94102 MEETING SERVICES 322972 OFFICE IT SOLUTIONS 3509 CONNECTICUT AVE NW 705 WASHINGTON DC 20008 TECHNOLOGY SERVICES 282589 MARATHON CONTRACTORS 10761 TUCKER STREET SUITE 105 BELTSVILLE MD 20705 CONSTRUCTION SERVICES 234843 WASHINGTON COUNCIL 1150 17TH STREET NW 601 WASHINGTON DC 200365339 LEGISLATIVE ASSISTANCE 210000 CB RICHARD ELLIS DEPT 8844 LOS ANGELES CA 900848844 BUILDING LEASING ASSISTANCE 170785 9 2721305 10377672 13098977 CONFERENCE FEES 900004 603540 603540 PUBLICATION SALES 900099 5255 5255 608795 43457 43457 1367013 1421175 -54162 -54162 -31987 -22175 SUBLEASE INCOME 900099 117417 117417 PARKING SERVICES 812930 42444 42444 159861 13856928 608795 10457 138699 X 956089 598244 265400 92445 3098295 1938667 860052 299576 135104 84536 37504 13064 98208 61451 27261 9496 246545 154268 68438 23839 26986 26986 31430 31430 991109 707764 274955 8390 59845 59845 222214 95950 122468 3796 56338 28169 28169 989102 646192 233180 109730 118875 113045 5719 111 528270 502362 25414 494 190475 21020 169455 18085 18085 ALLOCATED OVERHEAD 0 1355883 -1507647 151764 7766970 6367396 686869 712705 899483 840371 9836463 8714174 3625508 3621967 62101 86673 26607 19708 36162385 5020040 31914152 31142345 984358 955059 1686783 1828036 49035455 47208333 667311 562277 141120 15000000 14900000 5700000 1950000 486772 352622 23804083 15956019 X 19754265 26042336 5477107 5209978 25231372 31252314 49035455 47208333 6089958 -69016 0 X 0 1 X 0 0 X 8063257 8015098 7867471 9946525 13098977 46991328 8063257 8015098 7867471 9946525 13098977 46991328 10954554 36036774 607335 257346 463840 689251 720583 2738355 120000 120000 49849683 3415449 0.72290 0.74080 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1311 11384 12695 7754275 7766970 538349 134587 0 0 587869 465287 631876 538349 2223381 3335072 185157 61464 51251 12695 310567 146967 116322 157969 134587 555845 833768 36914 15366 7688 1311 61279 10477107 8047669 8314798 10209978 9361291 5217843 4102027 10477107 9317813 3327411 3283933 9361291 10299649 4096985 5078821 9317813 9396996 4775488 3872835 10299649 0.48970 0.51030 0 0 5391820 5391820 26728691 3285401 23443290 2552213 535938 2016275 1489661 1198701 290960 31142345 DEFERRED COMPENSATION PLAN 182592 DEPOSITS HELD IN ESCROW 170030 352622 X 15231642 -69016 65000 -4016 15235658 -1378730 -1378730 13856928 9210700 65000 1378730 1443730 7766970 0 7766970 DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: THE UNRESTRICTED NET ASSETS OF INDEPENDENT SECTOR ARE REPORTED AS UNDESIGNATED AND BOARD DESIGNATED NET ASSETS. UNRESTRICTED NET ASSETS REPRESENT THE PORTION OF EXPENDABLE FUNDS THAT IS AVAILABLE TO SUPPORT THE OPERATIONS OF INDEPENDENT SECTOR, WHILE BOARD DESIGNATED NET ASSETS REPRESENT A DESIGNATED PORTION OF UNRESTRICTED NET ASSETS INVESTED TO SECURE A NOTE PAYABLE. AS OF DECEMBER 31, 2012, BOARD DESIGNATED NET ASSETS CONSISTED OF $5,000,000 FROM THE LONG-TERM RESERVE FUND. INDEPENDENT SECTOR HAS THE OBJECTIVE TO MAINTAIN THE PURCHASING POWER OF ITS BOARD DESIGNATED FUNDS OVER TIME. INDEPENDENT SECTOR'S SPENDING AND INVESTMENT POLICIES WORK TOGETHER TO ACHIEVE THIS OBJECTIVE DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE, INDEPENDENT SECTOR IS EXEMPT FROM THE PAYMENT OF INCOME TAXES ON INCOME OTHER THAN UNRELATED BUSINESS INCOME. FOR THE YEAR ENDED DECEMBER 31, 2012, NO PROVISION FOR INCOME TAXES WAS REQUIRED, AS INDEPENDENT SECTOR HAD NO UNRELATED BUSINESS TAX LIABILITY. LLC IS A SINGLE MEMBER LIMITED LIABILITY COMPANY THAT HAS ELECTED TO BE TREATED AS A DISREGARDED ENTITY. AS SUCH, LLC IS NOT SUBJECT TO FEDERAL INCOME TAX, BUT RATHER, ITS INCOME OR LOSS INURES TO INDEPENDENT SECTOR. LLC IS SUBJECT TO THE DISTRICT OF COLUMBIA BUSINESS FRANCHISE TAX. THERE WAS NO TAX PROVISION NECESSARY TO BE ACCRUED AS OF DECEMBER 31, 2012. THE ACCOUNTING STANDARD ON ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES (FASB ASC TOPIC 740-10) ADDRESSES THE DETERMINATION OF WHETHER TAX BENEFITS CLAIMED OR EXPECTED TO BE CLAIMED ON A TAX RETURN SHOULD BE RECORDED IN THE CONSOLIDATED FINANCIAL STATEMENTS. UNDER THIS GUIDANCE, THE ORGANIZATION MAY RECOGNIZE THE TAX BENEFIT FROM AN UNCERTAIN TAX POSITION ONLY IF IT IS MORE LIKELY THAN NOT THAT THE TAX POSITION WILL BE SUSTAINED ON EXAMINATION BY TAXING AUTHORITIES, BASED ON THE TECHNICAL MERITS OF THE POSITION. THE TAX BENEFITS RECOGNIZED IN THE CONSOLIDATED FINANCIAL STATEMENTS FROM SUCH A POSITION ARE MEASURED BASED ON THE LARGEST BENEFIT THAT HAS A GREATER THAN 50 PERCENT LIKELIHOOD OF BEING REALIZED UPON ULTIMATE SETTLEMENT. THE GUIDANCE ON ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES ALSO ADDRESSES DERECOGNITION, CLASSIFICATION, INTEREST AND PENALTIES ON INCOME TAXES, AND ACCOUNTING IN INTERIM PERIODS. MANAGEMENT EVALUATED THE ORGANIZATION'S TAX POSITIONS AND CONCLUDED THAT THE ORGANIZATION HAS TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT TO THE CONSOLIDATED FINANCIAL STATEMENTS TO COMPLY WITH THE PROVISIONS OF THIS GUIDANCE. GENERALLY, THE ORGANIZATION IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS BY THE U.S. FEDERAL, STATE, OR LOCAL TAX AUTHORITIES FOR YEARS BEFORE 2009. PART XI, LINE 4B - OTHER ADJUSTMENTS: RENTAL EXPENSES REPORTED ON LINE 6B -1,421,174. PARKING SERVICE REVENUE REPORTED ON LINE 11 42,444. PART XII, LINE 2D - OTHER ADJUSTMENTS: RENTAL EXPENSES REPORTED ON LINE 6B 1,421,174. PARKING SERVICE REVENUE REPORTED ON LINE 11 -42,444. X X X X X 0 1 0 0 0 0 0 0 0 DIANA AVIV 454099 0 0 0 17000 0 99500 0 15984 0 586583 0 0 0 TERRI O'BRIEN 173338 0 0 0 0 0 12751 0 1816 0 187905 0 0 0 LOIS FU 134600 0 0 0 88001 0 23681 0 653 0 246935 0 0 0 CLAIRE WELLINGTON 162399 0 0 0 0 0 12621 0 13017 0 188037 0 0 0 MICHAEL GOFF 147169 0 0 0 0 0 2164 0 5487 0 154820 0 0 0 PART I, LINE 4B DIANA AVIV, PRESIDENT & CEO, PARTICIPATED IN RETENTION AND SABBATICAL PLANS IN THE AMOUNTS OF $45,000 AND $29,500, RESPECTIVELY. SUPPLEMENTAL INFORMATION PART III SCHEDULE J, PART II, COLUMN B (III): OTHER REPORTABLE COMPENSATION FOR LOIS FU INCLUDES 457(B) PLAN PAYOUT IN THE AMOUNT OF $73,616. A DISTRICT OF COLUMBIA 566001131 2010-06-01 15000000 TO REFINANCE PURCHASE OF HEADQUARTERS BUILDING 0 0 0 A 100000 15000000 15000000 2008 0 0 1 1 A 1 0 0 0 0.00000 0.00000 0.00000 0 0 0 A 1 1 0 0 0 0 A 0 FORM 990, PART VI, SECTION A, LINE 4 BYLAWS CHANGES: ELIMINATED A SIX MONTH GRACE PERIOD FOR MEMBERSHIP TERMINATION - MEMBERSHIPS NOW TERMINATE IMMEDIATELY WHEN THE CURRENT TERM RUNS OUT IF IT HAS NOT BEEN RENEWED. SPECIAL MEMBERSHIP MEETINGS MAY BE CALLED BY ONE QUARTER OF VOTING MEMBERS (CHANGED FROM ONE THIRD). CLARIFIED THAT THE CHAIR OF THE BOARD CAN DESIGNATE SOMEONE TO BE PRESIDING OFFICER AT THE ANNUAL BUSINESS MEETING. NOTICE OF MEMBERSHIP MEETINGS WILL BE SENT NO MORE THAN 60 DAYS BEFORE A MEETING (CHANGED FROM 50 DAYS) CHANGED QUORUM AT MEMBER MEETINGS TO 10% OF VOTING MEMBERS (REDUCED FROM 20%) CHANGED APPOINTMENT OF GOVERNANCE & NOMINATING COMMITTEE MEMBERS FROM APPOINTMENT BY CHAIRPERSON TO APPOINTMENT BY BOARD OF DIRECTORS BASED ON MAJORITY VOTE. CLARIFIED THAT MEMBERS OF THE AUDIT COMMITTEE SHALL BE APPOINTED ANNUALLY BY A VOTE OF THE MAJORITY OF BOARD MEMBERS. CLARIFIED THAT A VACANCY IN OFFICE CAN INCLUDE SERIOUS ILLNESS OR INCAPACITY AND THAT THE GOVERNANCE & NOMINATING COMMITTEE IS RESPONSIBLE FOR IDENTIFYING AND FILLING VACANCIES. CLARIFIED THAT THE CHAIRPERSON IS SELECTED FROM MEMBERS OF THE BOARD FORM 990, PART VI, SECTION A, LINE 6 IS HAS MEMBERS THAT HELP SUPPORT THE MISSION OF THE ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 7A THERE IS ONLY ONE CLASS OF VOTING MEMBERS AND THEY HAVE THE AUTHORITY TO APPROVE CHANGES IN THE ARTICLES OF INCORPORATION AND BY-LAWS, MEMBERSHIP DUES AND/OR DUES ASSESSMENT METHODOLOGY, MEMBERSHIP ELIGIBILITY CRITERIA, ELECT DIRECTORS OF THE ORGANIZATION OTHER THAN THE PRESIDENT, AFFIRM MAJOR POLICIES AND LEGISLATIVE ACTIONS BY THE BOARD, AS APPROPRIATE, AND ADOPT RESOLUTIONS ON NATIONAL ISSUES OF CONCERNS TO THE MEMBERSHIP, AS APPROPRIATE. FORM 990, PART VI, SECTION B, LINE 11 PRIOR TO FILING, THE FORM 990 IS PRESENTED TO INDEPENDENT SECTOR'S AUDIT COMMITTEE FOR REVIEW. THE CHIEF FINANCIAL OFFICER ALSO REVIEWS THE FORM 990, IN DETAIL, WITH THE PRESIDENT AND CHIEF EXECUTIVE OFFICER PRIOR TO OBTAINING THE CEO'S SIGNATURE ON THE DOCUMENT. THE FORM 990 IS ALSO PRESENTED TO THE FULL BOARD OF DIRECTORS FOR REVIEW IN ADVANCE OF FILING. IT IS DISTRIBUTED IN ADVANCE OF THE BOARD MEETING IN ORDER TO ENSURE THAT DIRECTORS HAVE AN OPPORTUNITY FOR A MEANINGFUL REVIEW AND TO ALLOW ALL DIRECTORS THE OPPORTUNITY TO GAIN A FULL UNDERSTANDING OF THE DOCUMENT BEFORE IT IS FILED. INDEPENDENT SECTOR'S AUDITORS PARTICIPATE IN THE BOARD MEETING IN ORDER TO RESPOND TO ANY QUESTIONS THAT DIRECTORS MAY HAVE. FORM 990, PART VI, SECTION B, LINE 12C EACH YEAR, BOARD MEMBERS ARE ASKED TO REVIEW INDEPENDENT SECTOR'S CONFLICT OF INTEREST POLICY AND TO COMPLETE A CONFLICT OF INTEREST DISCLOSURE STATEMENT. AMONG OTHER THINGS, THE POLICY MAKES CLEAR THAT ALL DECISIONS OF THE BOARD, OFFICERS AND EMPLOYEES OF INDEPENDENT SECTOR ARE TO BE MADE SOLELY ON THE BASIS OF A DESIRE TO PROMOTE THE BEST INTERESTS OF THE ORGANIZATION AND THE PUBLIC GOOD. THE DISCLOSURE STATEMENT, IN TURN, REQUESTS THAT DIRECTORS IDENTIFY, TO THE BEST OF THEIR KNOWLEDGE, AFFILIATIONS WITH ORGANIZATIONS THAT MAYBE POTENTIALLY RELATED TO THE FINANCIAL OR OTHER SUBSTANTIVE OPERATIONS OF INDEPENDENT SECTOR. THEY ARE ALSO ASKED TO IDENTIFY CIRCUMSTANCES INVOLVING EITHER THEMSELVES, OR A MEMBER OF THEIR EXTENDED FAMILY, THAT MAYBE CONSTRUED AS A CONFLICT OF INTEREST. IF SUCH CIRCUMSTANCE SHOULD ARISE SUBSEQUENT TO SUBMITTING THE DISCLOSURE STATEMENT, THE POLICY SETS FORTH AN ONGOING DISCLOSURE REQUIREMENT. AT THE STAFF LEVEL, INDEPENDENT SECTOR PERSONNEL ALSO ENSURE THAT THERE ARE NO CONFLICTS OF INTEREST WHEN CONSIDERING ENGAGEMENT OF A NEW VENDOR. IF A POTENTIAL CONFLICT IS IDENTIFIED, APPROPRIATE STEPS ARE TAKEN BOTH TO ASSESS THE NATURE OF THE POTENTIAL CONFLICT AND, SUBSEQUENTLY, TO ENSURE THAT THE POSSIBILITY OF AN ACTUAL CONFLICT IS MITIGATED. SUCH MITIGATION MAY BE ACHIEVED THROUGH THE RECUSAL OR FIREWALLING OF THE INDIVIDUAL IN QUESTION, THUS ENSURING THAT THE CONFLICT IS MANAGED AND THE LETTER AND SPIRIT OF THE CONFLICTS POLICY ARE UPHELD. IN ADDITION, WE NOTE THAT DURING THE ANNUAL AUDIT STAFF IDENTIFY AND DISCLOSE TO AUDITORS ALL KNOWN CONFLICTS OF INTEREST. FORM 990, PART VI, SECTION B, LINE 15A APART FROM THE ORGANIZATION'S PRESIDENT AND CHIEF EXECUTIVE OFFICER, INDEPENDENT SECTOR'S OFFICERS (CHAIR, VICE CHAIR, SECRETARY, AND TREASURER) DO NOT RECEIVE COMPENSATION FROM THE ORGANIZATION. AN ANNUAL COMPENSATION REVIEW PROCESS FOR THE CEO TAKES PLACE UNDER THE LEADERSHIP OF THE BOARD CHAIR AND EXECUTIVE COMMITTEE. AN OUTSIDE CONSULTANT IS RETAINED OR SALARY SURVEYS AND 990S ARE REVIEWED TO PROVIDE INDUSTRY COMPARABLE SALARY DATA. AN INTERMEDIATE SANCTIONS ANALYSIS AND RELATED DOCUMENTATION ARE ALSO COMPLETED. THE EXECUTIVE COMMITTEE HAS RESPONSIBILITY FOR MAKING FINAL RECOMMENDATIONS TO THE FULL BOARD OF DIRECTORS REGARDING THE PRESIDENTS PERFORMANCE EVALUATION AND COMPENSATION. THE BOARD OF DIRECTORS MAKES A FINAL DETERMINATION WITH REGARD TO THESE MATTERS. WITH REGARD TO STAFF COMPENSATION, THE PRESIDENT AND CEO, VICE PRESIDENTS, AND APPROPRIATE STAFF MANAGERS ALSO COMPLETE ANNUAL PERFORMANCE EVALUATIONS. FOR ALL STAFF OTHER THAN THE PRESIDENT AND CEO, IS UTILIZES INDUSTRY-COMPARABLE DATA IN MAKING DETERMINATIONS REGARDING THE RANGE OF SALARIES. THE PRESIDENT AND CEO MAKES ALL FINAL DETERMINATIONS RELATIVE TO STAFF COMPENSATION. FORM 990, PART VI, SECTION C, LINE 19 INDEPENDENT SECTOR'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC. THE ANNUAL AUDIT, 990 AND 990T, BOARD OF DIRECTORS LIST, AND IS POLICIES (CONFLICT OF INTEREST, FINANCIAL RESPONSIBILITY, GIFTS AND ENTERTAINMENT, RECORDS RETENTION AND TRAVEL) ARE ALL AVAILABLE TO THE PUBLIC ON THE ORGANIZATION'S WEBSITE (WWW.INDEPENDENTSECTOR.ORG). OTHER FEES FORM 990, PART IX, LINE 11G TEMPORARY HELP: PROGRAM SERVICE EXPENSES 42,475. MANAGEMENT AND GENERAL EXPENSES 18,843. FUNDRAISING EXPENSES 6,562. TOTAL EXPENSES 67,880. INDEPENDENT CONTRACTOR: PROGRAM SERVICE EXPENSES 149,606. MANAGEMENT AND GENERAL EXPENSES 72,209. FUNDRAISING EXPENSES 411. TOTAL EXPENSES 222,226. CONSULTANT: PROGRAM SERVICE EXPENSES 334,531. MANAGEMENT AND GENERAL EXPENSES 96,467. FUNDRAISING EXPENSES 919. TOTAL EXPENSES 431,917. LEGISLATIVE ASSISANCE: PROGRAM SERVICE EXPENSES 141,375. MANAGEMENT AND GENERAL EXPENSES 68,237. FUNDRAISING EXPENSES 388. TOTAL EXPENSES 210,000. SPEAKERS, SERVICE BUREAUS, AND OTHER: PROGRAM SERVICE EXPENSES 39,777. MANAGEMENT AND GENERAL EXPENSES 19,199. FUNDRAISING EXPENSES 110. TOTAL EXPENSES 59,086. THE NUMBER OF VOTING MEMBERS OF THE BOARD OF DIRECTORS FORM 990, PAGE 6, PART VI, LINE 1 AND PAGE 7, PART VII THE NUMBER OF VOTING MEMBERS SHOWN IN PART VI SECTION A LINE 1 DIFFERS FROM THE NUMBER OF DIRECTORS LISTED IN PART VII BECAUSE BOARD MEMBERS ARE INCLUDED IN PART VII IF THEY SERVED ON THE BOARD AT ANY TIME DURING 2011. INDEPENDENT SECTOR'S BOARD TERM BEGINS AT THE ANNUAL BUSINESS MEETING HELD DURING THE IS ANNUAL CONFERENCE IN THE FALL. 1620 IS LLC 1602 L STREET NW WASHINGTON DC 20036 543219877 BUILDING MANAGEMENT DC 2467011 37508844 INDEPENDENT SECTOR