2013-11-04T09:51:29-06:00 2012-12-31 232932984 PARENTEBEARD LLC 1650 MARKET STREET SUITE 4500 PHILADELPHIA PA 19103 990 2012-01-01 221574538 MARCUS L WARD HOME DBA WINCHESTER GARDENS AT WARD HOMESTEAD MARC 9737625050 333 ELMWOOD AVENUE MAPLEWOOD NJ 07040 GARRETT MIDGETT III 9737625050 2013-10-29 1 JULIUS GREEN CPA P00350393 2159720701 2012 2016-02-24 21:20:13Z WINCHESTER GARDENS GARRETT MIDGETT III 333 ELMWOOD AVENUE MAPLEWOOD NJ 07040 36416071 0 X WWW.WINCHESTERGARDENS.COM X 1921 NJ WINCHESTER GARDENS IS AN ACCREDITED CONTINUING CARE RETIREMENT COMMUNITY. 15 14 278 0 0 0 1000 26159 20148114 19412204 1101536 1415097 220878 236488 21471528 21089948 275 850 0 0 8362925 8572504 0 0 0 13016253 13258274 21379453 21831628 92075 -741680 72950314 75354534 87345158 112864095 -14394844 -37509561 X WINCHESTER GARDENS IS COMMITTED TO PROVIDING MATURE ADULTS AN ACTIVE LIFESTYLE THAT FOSTERS DIGNITY, PRIVACY, INDIVIDUALITY AND INDEPENDENCE IN A CARING ENVIRONMENT. THIS IS ACHIEVED THROUGH A HIGHLY SKILLED AND CONCERNED STAFF PROVIDING EXCEPTIONAL SERVICE WITH A FOCUS ON RESIDENT NEEDS AND DESIRES. 0 0 18702039 850 19412204 DURING 2012, 241 RESIDENTS WERE PROVIDED A TOTAL OF 76,053 DAYS OF RESIDENCY IN THE 162 APARTMENTS AND 40 VILLAS UNDER THE TERMS OF THEIR CCRC CONTRACTS. THE AVERAGE AGE OF THE INDEPENDENT LIVING RESIDENTS AS OF 12/31/2012 WAS 88.1 YEARS.DURING 2012, 123 RESIDENTS WERE PROVIDED A TOTAL OF 31,350 DAYS OF CARE IN THE HEALTH CENTER. THE AVERAGE AGE OF THE HEALTH CENTER RESIDENTS AS OF 12/31/12 WAS 87.4 YEARS.OF THE 123 RESIDENTS IN THE HEALTH CENTER, 69 RECEIVED 11,562 DAYS OF CARE UNDER THE TERMS OF THE CCRC RESIDENCY AGREEMENTS AND RECEIVED DISCOUNTS TOTALING APPROXIMATELY $600,000 WHEN COMPARED TO RATES CHARGED TO DIRECT ADMIT RESIDENTS. OF THE 54 DIRECT ADMIT RESIDENTS (WHO RECEIVED 19,788 DAYS OF CARE) WINCHESTER GARDENS PROVIDED APPROXIMATELY $400,000 OF CHARITABLE ASSISTANCE TO 36 RESIDENTS (FOR A TOTAL OF 9,945 DAYS) UNDER THE TERMS OF A REDUCED RATE DIRECT ADMIT CONTRACT IN COMPLIANCE WITH THE TERMS OF A COURT APPROVED CONSENT AGREEMENT MODIFYING THE WILL OF MARCUS L. WARD, THROUGH PARTICIPATION IN THE NJ ASSISTED LIVING MEDICAID WAIVER PROGRAM, OR DIRECT FINANCIAL ASSISTANCE. 18702039 1 1 0 0 0 0 0 0 1 0 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 1 0 0 0 0 0 0 0 0 0 1 89 0 1 278 1 0 0 0 0 0 0 0 0 0 0 X 15 14 0 1 0 0 0 0 0 1 1 0 0 1 1 1 1 1 0 1 1 0 X DANIEL RAUCH CFO 9733782392 333 ELMWOOD AVENUE MAPLEWOOD NJ 07040 ELIZABETH CRANDALL MD 2.00 X 0 0 0 WALTER DANIELS 2.00 X 0 0 0 MARGARET PRENTICE 2.00 X 0 0 0 SPENCER GEORGE 2.00 X 0 0 0 PATRICK HELLEN 4.00 X X 0 0 0 ERNA HOOVER 2.00 X X 0 0 0 ROBERT KLEIN 2.00 X 0 0 0 FREDERICK LAPPIN 2.00 X 0 0 0 ROBERT PUDLAK 2.00 X X 0 0 0 GEORGE REINER 2.00 X X 0 0 0 CONSTANCE CLAMAN 2.00 X 0 0 0 MYRTIS YAKE 2.00 X 0 0 0 JACQUELINE VOGELMANN 2.00 X 0 0 0 CHARLES KRAMER 2.00 X 0 0 0 FRED ROESSLE 2.00 X 0 0 0 GREGORY ROGERINO 37.50 X 347855 0 253971 DANIEL RAUCH 37.50 X 172606 0 37064 KEITH GRADY 37.50 X 139432 0 21786 NANCY ULANDAY 37.50 X 131090 0 623 PHILIP DECYK 37.50 X 116425 0 7127 DIANNA LIDDY 37.50 X 107514 0 7443 1014922 0 328014 6 0 1 0 SODEXHO PO BOX 81049 WOBURN MA 01801 DINING MANAGEMENT & SUPPLIES 1479236 WARREN G REINER 384 MORRIS AVE SPRINGFIELD NJ 07088 INSURANCE BROKER 371875 RETIRING BY DESIGN LLC 2000 WINDROW DRIVE PRINCETON NJ 08540 MARKETING CONSULTANT & ADVERTISING 323969 ARTHUR SCHUSTER INC PO BOX 131115 ST PAUL MN 55113 INTERIOR DESIGN & FURNITURE 313452 STEVEN MANGINELLIE ELECTRICAL PO BOX 1322 MAPLEWOOD NJ 07040 ELECTRICAL CONTRACTOR 265663 15 26159 26159 ASSISTED LIVING REV 623000 9759451 9759451 INDEPENDENT LIVING REV 623000 8163606 8163606 AMORT OF ENTRANCE FEES 623000 1405786 1405786 NET RESIDENT SVC REV 623000 83361 83361 19412204 829912 829912 65517 26780 38737 38737 38737 15884158 370 15272784 26559 611374 -26189 585185 585185 MEAL REVENUE 722210 96216 96216 BEAUTY/BARBER SHOP 812900 41606 41606 PARKING REVENUE 812930 37445 37445 22484 22484 197751 21089948 19412204 0 1651585 850 850 802051 802051 6284524 5512392 772132 116494 98820 17674 778669 750332 28337 590766 445043 145723 205769 87481 118288 63829 63829 61601 61601 1256 1256 161967 161967 682984 540905 142079 355824 355824 1062853 893579 169274 85380 1785 83595 5087893 5087893 13771 9009 4762 112315 78929 33386 70294 70294 3662702 3662702 386724 386724 DIETARY EXPENSES 839771 799546 40225 UNIT TURN-OVER EXP 154769 154769 RES ACTIVITIES/ENTRTNMT 107316 106316 1000 RECRUITMENT 38553 38553 102703 14670 88033 21831628 18702039 3129589 0 900 1125 722594 1401247 95705 507330 251088 315709 83490970 44330494 41084302 39160476 29722293 32901840 742278 704853 331154 361954 72950314 75354534 1689153 1681586 45482465 72019810 38161664 37009858 583501 506445 1428375 1646396 87345158 112864095 X -16061442 -39390283 1666598 1880722 -14394844 -37509561 72950314 75354534 -741680 1130889 -23503926 0 X X 0 1 X 1 0 X 1500 200 1000 1000 26159 29859 20108572 19953324 20083758 20148024 19412205 99705883 20110072 19953524 20084758 20149024 19438364 99735742 0 0 0 99735742 1045642 917004 847897 917037 895429 4623009 1045642 917004 847897 917037 895429 4623009 171055 189194 183677 195178 197751 936855 21326769 21059722 21116332 21261239 20531544 105295606 0.94720 0.94470 0.04390 0.04610 X SCHEDULE A, PART II, LINE 12, EXPLANATION OF OTHER INCOME: MISCELLANEOUS INCOME - 2009 AMOUNT: $ 4,617. 2010 AMOUNT: $ 8,464. 2011 AMOUNT: $ 5,514. 2012 AMOUNT: $ 9,993. MEAL REVENUE - 2008 AMOUNT: $ 89,539. 2009 AMOUNT: $ 95,033. 2010 AMOUNT: $ 89,438. 2011 AMOUNT: $ 90,536. 2012 AMOUNT: $ 96,216. PARKING REVENUE - 2008 AMOUNT: $ 38,748. 2009 AMOUNT: $ 33,445. 2010 AMOUNT: $ 33,426. 2011 AMOUNT: $ 40,730. 2012 AMOUNT: $ 37,445. BEAUTY/BARBER SHOP - 2008 AMOUNT: $ 39,341. 2009 AMOUNT: $ 39,402. 2010 AMOUNT: $ 40,256. 2011 AMOUNT: $ 42,362. 2012 AMOUNT: $ 41,606. PRIVATE FUNCTION REV - 2009 AMOUNT: $ 16,697. 2010 AMOUNT: $ 12,093. 2011 AMOUNT: $ 14,882. 2012 AMOUNT: $ 12,491. RECOVERY OF BAD DEBTS - 2011 AMOUNT: $ 1,154. ALL OTHER REVENUE - 2008 AMOUNT: $ 3,427. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1 1256 1256 0 EXPLANATION OF LOBBYING ACTIVITIES: PART II-B, LINE 1: THE ORGANIZATION PAYS DUES TO LEADING AGE, A MEMBER ORGANIZATION WHICH SUPPORTS SENIOR LIVING FACILITIES. A PORTION OF THE DUES PAID ARE ALLOCABLE TO LOBBYING EXPENSES. THE TOTAL AMOUNT OF DUES PAID THAT ARE ALLOCABLE TO LOBBYING IS $1,256. 0 1 X 166379 166379 74958754 39033495 35925259 5900233 4234069 1666164 2465604 1062930 1402674 39160476 OTHER LIABILITIES 1898 EXECUTIVE PENSION LIABILITY 1644498 1646396 X 22090549 1130889 1130889 20959660 157068 -26780 130288 21089948 21701341 26780 26780 21674561 157067 157067 21831628 PART IV, LINE 2B: FOR RESIDENTS DIRECTLY ADMITTED TO THE HEALTH CENTER, WINCHESTER HOLDS A ONE MONTH ESCROW PAYMENT THAT IS APPLIED TO THEIR ACCOUNT IN THE MONTH OF MOVE OUT. WINCHESTER ALSO COLLECTS WAIT-LIST DEPOSITS AND 10% DEPOSITS FOR POTENTIAL RESIDENTS WHO MOVE INTO INDEPENDENT LIVING APARTMENTS. DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: WINCHESTER GARDENS 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 DETERMINED THAT THERE WERE NO TAX UNCERTAINTIES THAT MET THE RECOGNITION THRESHOLD IN 2012 OR 2011. WINCHESTER GARDENS' FEDERAL RETURNS OF ORGANIZATION EXEMPT FROM INCOME TAX FOR THE YEARS ENDED PRIOR TO DECEMBER 31, 2009 ARE NO LONGER SUBJECT TO EXAMINATION BY THE INTERNAL REVENUE SERVICE. PART XI, LINE 4B - OTHER ADJUSTMENTS: RENTAL EXPENSES -26,780. PART XII, LINE 2D - OTHER ADJUSTMENTS: RENTAL EXPENSES 26,780. X X 0 1 X X X X X X 0 1 0 0 0 0 0 1 0 GREGORY ROGERINO 322000 0 17000 0 8855 0 0 226560 0 27411 347855 253971 0 0 DANIEL RAUCH 171301 0 2000 0 -695 0 0 6945 0 30119 172606 37064 0 0 KEITH GRADY 138854 0 2000 0 -1422 0 0 0 0 21786 139432 21786 0 0 PART I, LINE 1A AS A CONDITION OF EMPLOYMENT, THE PRESIDENT/CEO AND THE DIRECTOR OF MARKETING ARE REQUIRED TO RESIDE ON CAMPUS IN COMPANY-OWNED SPACE. AS SUCH THE COMPANY IS RESPONSIBLE FOR MAINTENANCE AND HOUSEKEEPING OF THE AREAS. PART I, LINE 1B EXPENSES INCURRED IN THE MAINTENANCE AND OPERATION OF THE EMPLOYER-PROVIDED HOUSING ARE PAID DIRECTLY BY WINCHESTER GARDENS. PART I, LINE 3 COMPENSATION FOR THE CEO/DIRECTOR IS ULTIMATELY DETERMINED BY THE BOARD THROUGH A VARIETY OF CHANNELS INCLUDING EXECUTIVE COMPENSATION STUDIES, COMPENSATION COMPARISONS WITH SIMILAR CONTINUING CARE RETIREMENT FACILITIES, AND PERFORMANCE. PART I, LINE 4B WINCHESTER GARDENS SPONSORS A NON-QUALIFIED RETIREMENT PLAN FOR THE PRESIDENT/CEO. THE PLAN IS STRUCTURED TO PROVIDE A LUMP SUM PAYMENT AT RETIREMENT THAT WILL PROVIDE AN ANNUAL RETIREMENT BENEFIT OF $150,000 FOR THE LIFE OF THE CEO. THE EXPENSE INCURRED IN 2012 WAS $216,760. PART I, LINE 7 TOP MANAGEMENT BONUSES ARE DETERMINED BY THE BOARD OF DIRECTORS USING KEY INDICATORS TO CONCLUDE ON THE AMOUNT AWARDED: EXECUTIVE COMPENSATION STUDIES AND COMPARISION WITH SIMILAR ENTITIES, AND PERFORMANCE-BASED EVALUATIONS. A NJ ECONOMIC DEVELOPMENT AUTHORITY 222045817 645916YQ4 2004-02-01 35810000 ADVANCE REFUNDING OF 1996 NJEDA BONDS 0 0 0 B NJ ECONOMIC DEVELOPMENT AUTHORITY 222045817 645916XL6 2004-02-25 10000000 ADVANCE REFUNDING OF 1996 NJEDA BONDS 0 0 0 A 6375000 35740936 688782 135532 37916622 2004 0 1 1 1 B 2365000 9980713 192343 37848 9750522 2004 0 1 1 1 A 0 1 0 0 0.01000 0.01000 0 0 1 B 0 1 0 0 0.01000 0.01000 0 0 1 A 1 0 0 0 0 1 B 1 1 0 0 0 1 A 1 B 1 PART II, LINE 3 DIFFERENCE BETWEEN ISSUE PRICE AND TOTAL PROCEEDS THE BOND ISSUE OF $35,810,000 AND $10,000,000 HAD ORIGINAL ISSUE DISCOUNTS TOTALING $88,350. THE AMOUNT ACCOUNTS FOR THE ENTIRE DIFFERENCE BETWEEN THE ORIGINAL ISSUE PRICE AND THE TOTAL PROCEEDS. GEORGE REINER BOARD MEMBER 371875 MR. REINER OWNS WARREN G. REINER, INC., WHICH IS AN INSURANCE BROKER THAT PROVIDES SERVICES TO WINCHESTER GARDENS. NOTE THE AMOUNT REPORTED IS ENTIRELY PREMIUMS, NOT PAYMENT FOR SERVICES RENDERED.THE BOARD MAINTAINS A CONFLICT OF INTEREST POLICY AND ALL TRANSACTIONS WITH MR. REINER'S FIRM ARE CONDUCTED AT ARM'S LENGTH. 0 FORM 990, PART VI, SECTION A, LINE 3 WINCHESTER GARDENS UTILIZES THE SERVICES OF SODEXO SENIOR SERVICES TO MANAGE ITS DINING OPERATIONS AND THE SERVICES OF SOLUTIONS ADVISORS TO PROVIDE MARKETING MANAGEMENT OVERSIGHT. THE TOTAL FEES ASSOCIATED WITH SODEXO SENIOR SERVICES AMOUNTED TO $1,479,235 IN 2012. SOLUTIONS ADVISORS (WITH ITS OPERATING AFFILIATE, RETIRING BY DESIGN) PROVIDES OVERSIGHT TO THE WINCHESTER GARDENS MARKETING PERSONNEL, PREPARES AND ASSISTS WITH THE IMPLEMENTATION OF THE MARKETING PLAN, AND DESIGNS AND PRINTS ADVERTISING AND DIRECT MAIL PIECES TO SUPPORT THE MARKETING PLAN. THE TOTAL FEES ASSOCIATED WITH THESE SERVICES AMOUNTED TO $535,163 IN 2012. FORM 990, PART VI, SECTION B, LINE 11 THE AUDIT COMMITTEE REVIEWS THE INITIAL DRAFT OF THE FORM 990. AFTER THIS REVIEW, A DRAFT IS CIRCULATED TO THE ENTIRE BOARD OF TRUSTEES FOR COMMENT ONE WEEK PRIOR TO THE FILING OF THE RETURN WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C ANNUAL CONFLICT OF INTEREST STATEMENTS ARE PREPARED BY EMPLOYEES AND BOARD MEMBERS. EACH STATEMENT IS REVIEWED BY THE CORPORATE COMPLIANCE OFFICER (THE ORGANIZATION'S CHIEF FINANCIAL OFFICER) WHO DETERMINES IF ANY ACTION IS REQUIRED. A SUMMARY OF ALL NOTED CONFLICTS IS PROVIDED TO THE BOARD AUDIT COMMITTEE. SHOULD A POSSIBLE OR APPARENT CONFLICT BE NOTED, THE RESPONSIBLE PARTY WILL RECUSE HIM OR HERSELF FROM ANY DISCUSSIONS AND/OR DECISIONS PERTAINING TO THE CONFLICT. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD MANAGEMENT AND RISK MANAGEMENT COMMITTEE ANNUALLY EVALUATES THE PRESIDENT/CEO'S PERFORMANCE AND USES AVAILABLE DATA FROM CONSULTANTS, SALARY SURVEYS AND SIMILAR ENTITIES' INFORMATIONAL FILINGS TO ENSURE THAT THE COMPENSATION OF THE PRESIDENT/CEO IS WITHIN FMV RANGE. THE COMMITTEE DECISION IS SHARED WITH THE ENTIRE BOARD, DOCUMENTED IN BOARD MINUTES, AND WRITTEN EMPLOYMENT CONTRACTS ARE DRAWN. THE PRESIDENT/CEO IS RESPONSIBLE FOR DETERMINING THE COMPENSATION FOR KEY EMPLOYEES. LOCAL SALARY SURVEYS ARE REFERENCED TO DETERMINE THE LOCAL MARKET RANGE FOR THE POSITION'S SALARY BEING NEGOTIATED. FORM 990, PART VI, SECTION C, LINE 19 GOVERNING DOCUMENTS AND THE CONFLICT OF INTEREST POLICY ARE AVAILABLE UPON REQUEST TO THE CORPORATE COMPLIANCE OFFICER. QUARTERLY FINANCIAL STATEMENTS ARE AVAILABLE UPON REQUEST AND ARE ALSO PLACED IN THE RESIDENT LIBRARY. AUDIT OVERSIGHT: FORM 990, PART XII, LINE 2C THE ORGANIZATION HAS NOT HAD ANY CHANGES IN THE PROCESSES USED BY THE COMMITTEE THAT ASSUMES RESPONSIBILITY FOR OVERSIGHT OF THE AUDIT OF ITS FINANCIAL STATEMENTS AND SELECTION OF AN INDEPENDENT ACCOUNTANT SINCE THE PRIOR YEAR. DOCUMENT RETENTION AND DESTRUCTION POLICY: FORM 990, PART VI, SECTION B, LINE 14 THE ORGANIZATION IS CURRENTLY IN THE PROCESS OF DEVELOPING A DOCUMENT RETENTION POLICY AND WILL FORMALLY INTRODUCE THE POLICY ONCE ALL ANALYSIS OF AND DOCUMENTATION FOR THE POLICY IS COMPLETE.