2013-04-29T20:40:15-05:00 2012-06-30 953001179 WINDES & MCCLAUGHRY ACCT CORP PO BOX 87 LONG BEACH CA 908010087 990 2011-07-01 954368250 THE LIBRARY FOUNDATION OF LOS ANGELES LIBR 2132287500 630 W FIFTH STREET LOS ANGELES CA 90071 KEN BRECHER 2132287500 2013-04-18 1 DONITA M JOSEPH P00286656 5624351191 2011 2016-03-07 17:11:31Z KEN BRECHER 630 W FIFTH STREET LOS ANGELES CA 90071 9308911 0 X WWW.LFLA.ORG X 1992 CA TO SUPPORT THE LOS ANGELES PUBLIC LIBRARY. 39 38 25 13 0 0 3420822 3809623 0 0 811977 761245 259 12740 4233058 4583608 0 0 0 0 2173556 2583404 0 40056 666710 2413674 2202633 4587230 4826093 -354172 -242485 30221544 30142889 146349 695893 30075195 29446996 X THE FOUNDATION SUPPORTS AND ENRICHES THE CAPABILITIES, RESOURCES, AND SERVICES OF THE LOS ANGELES PUBLIC LIBRARY THROUGH FUNDRAISING, ADVOCACY, AND INNOVATIVE PROGRAMS THAT BENEFIT THE DIVERSE COMMUNITY AND PROMOTE GREATER AWARENESS OF THE LIBRARY'S VALUABLE RESOURCES. 0 0 951374 INVESTING IN NEW READERS - LITERACY IS THE FUNDAMENTAL BUILDING BLOCK TO SUCCESS IN LIFE. WE ARE COMMITTED TO BREAKING CYCLES OF LOW LITERACY BY WORKING WITH CHILDREN AND THEIR PARENTS/CAREGIVERS AT ALL 73 LIBRARY LOCATIONS AND IN PARTNERSHIP WITH LOCAL SCHOOLS AND COMMUNITY ORGANIZATIONS TO IMPROVE LITERACY. WE DO THIS BY TEACHING ADULTS THE SKILLS TO ENGAGINGLY READ ALOUD WITH CHILDREN FROM BIRTH; BY FOSTERING A LOVE OF LIFE-LONG READING IN A MULTI-GENERATIONAL FASHION THAT SHARES THE WONDER OF STORIES; BY OFFERING A SERIES OF FUN LITERACY-RELATED ACTIVITIES TO CHILDREN DURING THE SUMMER; AND BY HELPING ADULTS IMPROVE THEIR ENGLISH READING AND WRITING ABILITY. 837922 23199 CULTURAL PROGRAMS, LIBRARY AWARENESS & EXHIBITIONS - PUBLIC LIBRARIES ARE THE KEYSTONE TO A VIBRANT AND ENGAGED CIVIC LIFE. THROUGHOUT THE YEAR, WE BRING HUNDREDS OF ESTABLISHED AND EMERGING AUTHORS, POETS, JOURNALISTS, ACADEMICS, AND ARTISTS FOR PUBLIC CONVERSATIONS. WE ALSO SEEK TO INSPIRE AND CHALLENGE PEOPLE WITH FREE EXHIBITIONS THAT EXPLORE THE CULTURAL LANDSCAPE OF LOS ANGELES AND LITERARY-RELATED ART. OUR AFTER-HOURS QUARTERLY PROGRAMS DEMONSTRATE TO YOUNG PROFESSIONALS HOW THE PUBLIC LIBRARY IS THE PLACE FOR ENTERTAINMENT AS WELL AS RESEARCH WITH A TALK-SHOW FORMAT, LIVE BANDS, AND SPECIALTY COCKTAILS. WE INCREASE AWARENESS OF THE LIBRARY'S VAST RESOURCES, SERVICES, AND PROGRAMS THROUGH VARIOUS MEDIA AND OUTREACH ROUTES AS WELL AS BY EXPERIMENTING WITH NEW PROGRAMS TO ENCOURAGE INNOVATION. 910946 BUILDING THE VIRTUAL LIBRARY - A ROBUST TECHNOLOGICAL INFRASTRUCTURE IS ESSENTIAL TO FULFILLING CURRENT INFORMATION DEMANDS AS WELL AS PRESERVING FRAGILE COLLECTIONS FROM PRIOR YEARS. OUR WORK PROVIDES RESOURCES TO DIGITIZE PHYSICAL COLLECTIONS NOT ONLY TO PRESERVE THEM, BUT ALSO TO MAKE THEM MORE WIDELY ACCESSIBLE TO EVERYONE THROUGH THE INTERNET. THE WEBSITES ARE FREQUENTLY THE FIRST PORT OF CALL FOR ALL USERS AND NEED TO BE CONTINUALLY IMPROVED, RESPONSIVE, AND ACCESSIBLE ON ALL MEDIA DEVICES. FOR THOSE PATRONS WHO ARE NOT AS COMFORTABLE WITH COMPUTERS AS THEY WOULD LIKE TO BE, WE OFFER DEDICATED PART-TIME STAFF WHO ARE HIRED FROM THE COMMUNITY TO HELP EVERYONE NAVIGATE THE LIBRARY'S EXTENSIVE ELECTRONIC RESOURCES, THE BROADER INTERNET, AND TROUBLE-SHOOT HARDWARE PROBLEMS. 650024 HELPING STUDENTS SUCCEED - HUNDREDS OF THOUSANDS OF STUDENTS USE THE LIBRARY TO COMPLETE SCHOOL ASSIGNMENTS, PARTICIPATE IN ACTIVITIES, CONDUCT RESEARCH, AND USE LIBRARY RESOURCES. OUR PROGRAMS INSPIRE LEARNING, DISCOVERY, AND ACADEMIC SUCCESS FOR STUDENTS OF ALL AGES BY PROVIDING ONLINE, ON-DEMAND INDIVIDUAL TUTORING, ACCESS TO COMPUTERS AND FREE PRINTING OF HOMEWORK ASSIGNMENTS, COLLEGE-PREPARATION WORKSHOPS, PRACTICE SAT/ACT/PSAT EXAMS, SPECIALTY DATABASES, AND MILLIONS OF REFERENCE MATERIALS. 650024 3350266 1 1 0 0 0 0 0 0 0 1 1 0 0 0 1 1 1 0 0 0 0 0 0 1 1 0 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 1 116 0 1 25 1 0 0 0 0 0 1 1 0 0 0 0 X 39 38 0 0 1 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA X X THERESA MORRISON CFO 2132287479 630 W FIFTH STREET LOS ANGELES CA 90071 JEFFREY P BROWN 3.00 X X 0 0 0 CARLA CHRISTOFFERSON 3.00 X X 0 0 0 KENNETH BRECHER 50.00 X X 290000 0 25499 CRAIG BURGER 3.00 X X 0 0 0 GWEN MILLER 1.00 X X 0 0 0 ANDREW KNOX 1.00 X 0 0 0 MARK HUTCHINS 1.00 X 0 0 0 DEBRA ALBIN-RILEY 1.00 X 0 0 0 BETSY APPLEBAUM 1.00 X 0 0 0 RHONDA BRAUER 1.00 X 0 0 0 ROBERT CHICK 1.00 X 0 0 0 JAMES CLARK 1.00 X 0 0 0 RICHARD DAVIS 1.00 X 0 0 0 VICTORIA FOOTE 1.00 X 0 0 0 DEAN HANSELL 1.00 X 0 0 0 NANCY HARAHAN 1.00 X 0 0 0 MICHAEL HART 1.00 X 0 0 0 MICHAEL JONES 1.00 X 0 0 0 BRIAN KAUFMAN 1.00 X 0 0 0 THOMAS MCLAIN 1.00 X 0 0 0 RICHARD NERI 1.00 X 0 0 0 TAKASHE ODHE 1.00 X 0 0 0 LIN OLIVER 1.00 X 0 0 0 SHARON RISING 1.00 X 0 0 0 TYREE WIEDER 1.00 X 0 0 0 MARTIN GOMEZ CITY LIBRARIAN 1.00 X 0 0 0 ANTONIO VILLARAIGOSA LA MAYOR 1.00 X 0 0 0 DAVID ROSENBLUM 1.00 X 0 0 0 KUNOOR CHOPRA 1.00 X 0 0 0 ROBERT DAWSON 1.00 X 0 0 0 MICHAEL KELLEY 1.00 X 0 0 0 ATTICA LOCKE 1.00 X 0 0 0 RACHEL SMALL 1.00 X 0 0 0 SHARON TOMKINS 1.00 X 0 0 0 NADIA ALLAUDIN 1.00 X 0 0 0 ROBERT ALVARADO 1.00 X 0 0 0 MARK EASTON 1.00 X 0 0 0 PATRICIA KAO 1.00 X 0 0 0 JAN FRANKLIN 1.00 X 0 0 0 REBECCA SHEHEE 50.00 X 67500 0 807 THERESA MORRISON 50.00 X 20000 0 0 SUE VERBRUGGHEN 40.00 X 125890 0 0 503390 0 26306 2 0 1 0 OASIS TECHNOLOGY 601 DAILY DR OXNARD CA 93011 STAFFING FOR PROGRAM SERVICES 722421 TUTORCOM PO BOX 200599 PITTSBURGH PA 15251 ONLINE TUTORING SERVICE 306500 ANTHEM BLUE CROSS PO BOX 54630 LOS ANGELES CA 90017 MEDICAL/HEALTH INSURANCE PREMIUMS 117455 KAPOW INC 522 WILSHIRE BLVD SUITE E SANTA MONICA CA 90401 WEBSITE REDESIGN FOR LAPL 107178 4 493593 124922 3191108 89391 3809623 745323 745323 4204769 4188847 15922 15922 15922 98623 493593 98623 0 450573 437833 12740 12740 4583608 0 0 773985 X 614670 441574 38429 134667 1883494 1402996 81894 398604 15766 11326 986 3454 69474 40205 29269 1495 1495 33500 33500 40056 40056 69000 69000 12122 12122 298588 212207 86381 94722 94722 145018 70091 74927 11062 11062 22742 22742 PROGRAMS FOR PUBLIC 875480 871246 4234 RESTRUCTURING 225141 225141 LIBRARY BOOKS 201672 201672 EVENTS/EXHIBITIONS 104013 104013 108078 35141 12277 60660 4826093 3350266 809117 666710 109581 408238 3975763 271869 330877 532495 297096 95753 104993 370230 332395 43224 37835 25284723 28058363 381623 432000 30221544 30142889 90988 94046 500733 55361 101114 146349 695893 X 13259982 13113390 6428912 5947305 10386301 10386301 30075195 29446996 30221544 30142889 X -242485 -385714 X 0 1 1 X 0 X 5247365 3999422 4543636 3466692 3541123 20798238 5247365 3999422 4543636 3466692 3541123 20798238 2055513 18742725 598774 480704 406627 716137 745323 2947565 23745803 2062796 0.78930 0.79200 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 25284722 306425 949161 24641986 21535825 4328897 580000 25284722 17960014 1041638 2534173 21535825 22380876 606870 -4684732 343000 17960014 0.44730 0.42150 0.13120 0 0 370230 332395 37835 37835 RENT AND ACCRUED VACATION PAYABLE 101114 101114 4583608 4826093 -242485 -422752 37038 -385714 -628199 4814349 -422752 247622 37038 -138092 4952441 69000 -437833 -368833 4583608 5442548 247622 437833 685455 4757093 69000 69000 4826093 DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: THE FOUNDATION'S ENDOWMENT FUNDS ARE USED TO SUPPORT A VARIETY OF PURPOSES INCLUDING LITERACY, EDUCATION, HUMANITIES. DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: THE FOUNDATION IS EXEMPT FROM FEDERAL INCOME TAXES AND CALIFORNIA FRANCHISE TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AND CORRESPONDING CALIFORNIA REVENUE AND TAXATION CODE SECTIONS. THE FOUNDATION RECOGNIZES THE FINANCIAL STATEMENT BENEFIT OF A TAX POSITION, SUCH AS ITS FILING STATUS AS TAX-EXEMPT, ONLY AFTER DETERMINING THAT THE RELEVANT TAX AUTHORITY WOULD MORE LIKELY THAN NOT SUSTAIN THE POSITION FOLLOWING AN AUDIT. THE FOUNDATION IS SUBJECT TO POTENTIAL INCOME TAX AUDITS ON OPEN TAX YEARS BY ANY TAXING JURISDICTION IN WHICH IT OPERATES. THE STATUTE OF LIMITATIONS FOR FEDERAL PURPOSES IS THREE YEARS AND FOR STATE PURPOSES IS FOUR YEARS. PART XI, LINE 8 - OTHER ADJUSTMENTS: CHANGES IN VALUE OF CHARITABLE REMAINDER TRUSTS 37,038. PART XII, LINE 2D - OTHER ADJUSTMENTS: CHANGES IN VALUE OF CHARITABLE REMAINDER TRUSTS 37,038. PART XII, LINE 4B - OTHER ADJUSTMENTS: LIBRARY STORE EXPENSES -437,833. PART XIII, LINE 2D - OTHER ADJUSTMENTS: LIBRARY STORE EXPENSES 437,833. SCHEDULE D, PART V, LINE 1E ENDOWMENT FUND EXPENDITURES THE LFLA HAS SET POLICIES FOR APPROPRIATING FOR EXPENDITURES 4%-6% OF THE GENERATED EARNINGS FROM THE ENDOWMENT FUND. THIS YEAR, THE FOUNDATION APPROPRIATED 4% ($941,161) FROM THE UNRESTRICTED AND TEMPORARILY RESTRICTED ENDOWMENTS TO SUPPORT AND FUND THE FOUNDATION'S PROGRAMS AND OPERATIONS. X X X X X X 0 LISA CLERI REALE ASSOCIATES 1160 SOUTH LA JOLLA AVENUE LOS ANGELES CA 90035 HELPED ORGANIZE AND RAISE FUNDS FOR 2011 LITERARY FEAST. 0 657139 40056 617083 657139 40056 617083 ANNUAL AWARDS DIN. 65182 56379 8803 3364 5439 LITERARY FEASTS 463729 397981 65748 14476 14751 36521 1 63305 39233 24072 910 10953 1668 10541 592216 493593 98623 18750 25704 1668 52501 98623 0 X X X X X X 1 0 0 0 0 0 0 0 0 KENNETH BRECHER 215000 0 75000 0 0 0 7613 0 17886 0 315499 0 0 0 PART I, LINE 4A SUE VERBRUGGHEN RECEIVED A SEVERANCE PAYOUT OF $64,416 ON JANUARY 15, 2012. SHE ALSO RECEIVED A VACATION PAYOUT OF $9,036 FOR A GRAND TOTAL OF $73,452, WHICH IS REPORTED ON THE 2011 FORM 990, PART IX WITH RESTRUCTURING COSTS. X 33329 FAIR MARKET VALUE X 8 52027 STOCK MARKET VALUE X STAFF HOLIDAY PARTY 1 1000 COST OF MEAL X GIFT CERTIFICATES, GUEST PASSES 4 726 STATED TICKET VALUE X LITERARY FEAST FUNDRAISING DINNER 1 2310 COST OF MEAL AND ANCILLARIES 0 0 1 0 FORM 990, PART VI, SECTION A, LINE 4 BYLAW CHANGES THE GOVERNANCE COMMITTEE UNDERTOOK THE REVIEW AND REVISION OF THE EXISTING BYLAWS OF THE LIBRARY FOUNDATION TO PROVIDE CONSISTENCY, TO ENSURE THAT THE BYLAWS REFLECT BEST PRACTICES, AND TO CONFORM TO THE WAY IN WHICH THE BUSINESS AFFAIRS OF THE FOUNDATION ARE ACTUALLY CONDUCTED. NOTABLE CHANGES INCLUDE: - LENGTH AND DETAIL ENSURES THAT LFLA ADDRESSES ALL STATE AND FEDERAL LAWS AND REGULATIONS FOR GOVERNING NON-PROFITS. WRITTEN ACKNOWLEDGEMENT OF THESE REGULATIONS PROVIDES GREATER PROTECTION FOR THE ORGANIZATION. - CLARIFIED WHEN DIRECTOR TERMS BEGIN (JULY 1), AND END (JUNE 30). - CHANGED ANNUAL MEETING DATE TO JUNE AS ANNUAL MEETINGS ARE REQUIRED BY LAW, AND JUNE NEARS THE END OF THE FISCAL YEAR. THIS CHANGE ALSO ALLOWS FOR THE ROTATION FOR DIRECTORS WHOSE TERMS ARE ENDING, PREPARATION FOR NEW DIRECTORS ELECTED ON JULY 1 AND TIMELY PASSAGE OF THE ANNUAL BUDGET. - CLARIFIED DESIGNATED BOARD POSITIONS: - DESIGNATED POSITIONS INCLUDED: MAYOR, CITY LIBRARIAN, LFLA PRESIDENT, 2 LIBRARY COMMISSIONERS, FRIENDS REPRESENTATIVE, COUNCIL PRESIDENT, AND THE YOUNG LITERATI REPRESENTATIVE. EACH REPRESENTATIVE SERVES AS A DIRECTOR AS LONG AS HE/SHE HOLDS THAT OFFICE. - NEW 2011 DESIGNATED POSITION ADDS AN AUTHOR/ARTIST CATEGORY, WITH A FIVE-YEAR MAXIMUM TERM. OFFICERS: - CLARIFIED THAT OFFICERS SERVE FOR TWO YEAR TERMS. - COMMITTEES: - CLARIFIED THAT BOARD IS RESPONSIBLE FOR APPOINTING COMMITTEE MEMBERS AND CHAIRS. - CLARIFIED THAT COMMITTEE CHAIRS MUST BE CURRENT DIRECTORS OF THE ORGANIZATION. - ONLY CURRENT DIRECTORS MAY SERVE ON STANDING COMMITTEES. - NON-DIRECTORS MAY ONLY SERVE ON ADVISORY COMMITTEES. - STANDING COMMITTEES MAY VOTE ON CERTAIN ITEMS WITHOUT RATIFICATION OF FULL BOARD, BUT THAT THE BOARD MUST RATIFY ALL ACTIONS PROPOSED BY ADVISORY COMMITTEES. - CALIFORNIA LAW-PROHIBITS NON-VOTING DIRECTORS TO SERVE ON THE EXECUTIVE COMMITTEE, AS THIS IS THE COMMITTEE THAT EXERCISES AUTHORITY OF THE BOARD. (NON-VOTING MEMBERS MAY ATTEND EXECUTIVE COMMITTEE MEETINGS BUT DO NOT VOTE). - ADDITIONAL CONSIDERATIONS: - CALIFORNIA LAW REQUIRES BOARD TO VOTE ON ADDING "ELECTRONIC VOTING" AS AN OPTION TO SECTION 3.15, "ACTION WITHOUT MEETING" - THE LFLA SHOULD HAVE A COMPENSATION COMMITTEE (MADE UP OF DIRECTORS ONLY) FOR IRS PURPOSES. COMMITTEE REVIEWS/RECOMMENDS SALARIES, AND CAN REVIEW ANY ISSUE INVOLVING STAFF COMPENSATION AND BENEFITS (E.G. HOUSING, HEALTH, RETIREMENT). FORM 990, PART VI, SECTION B, LINE 11 990 REVIEW THE AUDIT COMMITTEE MEETS WITH THE RETURN PREPARERS TO REVIEW THE DRAFT 990, ASK QUESTIONS, SUGGEST REVISONS. THE DRAFT 990 IS SENT TO ALL BOARD MEMBERS WHO ARE ALSO INVITED TO ATTEND THE MEETING WITH THE AUDIT COMMITTEE AND TAX PREPARERS. THE CFO AGAIN REVIEWS THE 990 WITH REVISIONS, IF ANY, BEFORE FILING. FORM 990, PART VI, SECTION B, LINE 12C CONFLICT OF INTEREST POLICY THE CONFLICT OF INTEREST POLICY IS DISTRIBUTED TO EVERY DIRECTOR ON AN ANNUAL BASIS. THE DIRECTORS ARE REQUIRED TO DISCLOSE ANY RELATIONSHIPS THAT MAY LEAD TO CONFLICTS OF INTEREST AND MUST SIGN AND RETURN THE POLICY EVERY YEAR. FORM 990, PART VI, SECTION B, LINE 15 EXECUTIVE COMPENSATION REVIEW AN AD HOC COMMITTEE OF THE BOARD'S EXECUTIVE COMMITTEE DETERMINES THE COMPENSATION. THE COMMITTEE SURVEYS MANY OTHER COMPARABLE ORGANIZATIONS AS WELL AS CONSULTS INDEPENDENT FIRMS TO DETERMINE A FAIR COMPENSATION. THE AMOUNTS DETERMINED ARE THEN TAKEN TO THE 12 MEMBER EXECUTIVE COMMITTEE FOR APPROVAL. FORM 990, PART VI, SECTION C, LINE 19 FORM 990, PART VI, SECTION C, LINE 19: DISCLOSURES THE FINANCIAL STATEMENTS AS WELL AS THE FORM 990 AND THE IRS DETERMINATION LETTER ARE AVAILABLE VIA THE ORGANIZATION'S WEBSITE, WWW.LFLA.ORG, UNDER THE "ABOUT" SECTION, UNDER "NEWSROOM/DOCUMENTS" SECTION OF THE WEBSITE. THOSE DOCUMENTS, AS WELL AS OTHER GOVERNING DOCUMENTS ARE AVAILABLE UPON REQUEST AT THE MAIN OFFICE OF THE ORGANIZATION. RESTRUCTURING COSTS FORM 990, PART IX, LINE 24B DURING THE FALL OF 2011, AT THE DIRECTION OF THE BOARD OF DIRECTORS OF THE FOUNDATION, THE FOUNDATION UNDERTOOK A STRATEGIC REORGANIZATION OF ITS OPERATIONS TO ATTAIN GREATER EFFICIENCY. DURING THE REORGANIZATION, THE FOUNDATION INCURRED COSTS OF $225,141 INCLUDED IN THE ACCOMPANYING STATEMENT OF ACTIVITIES. RESTRUCTURING COSTS INCLUDE EXPENDITURES ASSOCIATED PRIMARILY WITH PERSONNEL CHANGES WHICH MANAGEMENT CONSIDERED NONRECURRING. OTHER SALARIES AND WAGES FORM 990, PART IX, LINE 7 OTHER SALARIES AND WAGES ALSO INCLUDE ADULT LITERACY COORDINATORS, COMPUTER AIDES, AND ALL STAFF NECESSARY TO CARRY OUT PROGRAM SERVICES WITHIN THE 72 BRANCHES OF THE LOS ANGELES PUBLIC LIBRARY SYSTEM. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED LOSSES ON INVESTMENTS: -422,752. CHANGES IN VALUE OF CHARITABLE REMAINDER TRUSTS 37,038. TOTAL TO FORM 990, PART XI, LINE 5: -385,714. LIBRARY STORE - COST OF GOODS SOLD FORM 990, PART VIII, LINE 10B COST OF GOODS SOLD INCLUDES ALL COSTS OF OPERATING THE LIBRARY STORE. ADVERTISING EXPENSE FORM 990, PART IX, LINE 12 ADVERTISING AND PROMOTION COSTS OF $284,913 INCLUDE ALL COLLATERAL MATERIALS FOR PROGRAMS OFFERED TO THE PUBLIC-POSTERS, FLYERS, BOOKMARKS FOR SCHOOL, YOUTH ORGANIZATIONS, BRANCH LIBRARIES AND BOOK BAGS WITH ALL RELATED MATERIALS FOR SUMMER READING CLUBS.