2012-05-15T10:15:31-05:00 2011-12-31 351489521 GREENWALT CPAS INC 5342 W VERMONT STREET INDIANAPOLIS IN 46224 990 2011-01-01 237148440 GOODWILL INDUSTRIES FOUNDATION OF CENTRAL INDIANA INC GOOD 3175244313 1635 W MICHIGAN ST INDIANAPOLIS IN 46222 DANIEL J RILEY 3175244313 2012-05-15 1 AMANDA MEKO CPA P01062615 3172412999 2011 2016-02-24 21:20:13Z DANIEL J RILEY 1635 W MICHIGAN ST INDIANAPOLIS IN 46222 2449277 0 X WWW.GOODWILL-INDY.ORG X 1971 IN SEE SCHEDULE O. 26 26 0 26 0 0 801433 1635657 0 0 -435408 813620 0 0 366025 2449277 349232 1960602 0 0 0 0 0 0 282318 394043 420121 743275 2380723 -377250 68554 24159637 22850485 71653 807995 24087984 22042490 SEE SCHEDULE O FOR FULL DESCRIPTION. 0 0 1960602 1960602 1635657 SEE SCHEDULE O. 1960602 1 1 0 0 0 0 0 0 0 1 1 0 0 0 1 1 0 0 0 1 0 0 0 0 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 1 5 0 1 0 0 1 CJ 0 0 0 0 0 0 0 0 X 26 26 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 IN X DANIEL J RILEY 3175244313 1635 W MICHIGAN ST INDIANAPOLIS IN 46222 THOMAS A KING 1.00 X 0 0 0 GORDON M GRAHAM 1.00 X X 0 0 0 MALCOLM W APPLEGATE 1.00 X 0 0 0 BETSY DUSTMAN 1.00 X 0 0 0 KEITH FALLER 1.00 X 0 0 0 NANCY AYRES 1.00 X 0 0 0 ELAINE E BEDEL 1.00 X X 0 0 0 JONATHAN L BIRGE 1.00 X 0 0 0 DR MARY E BUSCH 1.00 X 0 0 0 MATTHEW B CARTER 1.00 X X 0 0 0 LORI EFROYMSON-AGUILERA 1.00 X 0 0 0 OTTO N FRENZEL IV 1.00 X 0 0 0 ROBERT R GIRK 1.00 X 0 0 0 DAVID N GRIFFITHS 1.00 X 0 0 0 WALTER W KUHN III 1.00 X 0 0 0 RALPH MEYER 1.00 X 0 0 0 THOMAS H SAMS 1.00 X 0 0 0 STEVEN A NULL 1.00 X 0 0 0 FRED C TUCKER III 1.00 X 0 0 0 ELIZABETH BRACKEN WIESE 1.00 X 0 0 0 C PERRY GRIFFITH JR 1.00 X 0 0 0 JOHN F HIRSCHMAN 1.00 X X 0 0 0 WILLIAM K MCGOWAN JR 1.00 X 0 0 0 CARYL WILHOITE 1.00 X 0 0 0 WENDY LARMAN 1.00 X 0 0 0 STEVEN C ROBINSON 1.00 X 0 0 0 JAMES M MCCLELLAND 40.00 X 0 442644 42420 DANIEL J RILEY 40.00 X 0 184162 38445 0 626806 80865 0 0 1 0 0 1635657 1635657 680472 680472 133148 133148 133148 133148 2449277 0 0 813620 1768827 1768827 191775 191775 50000 50000 28008 28008 51706 51706 3301 3301 PERSONNEL-RELATED COSTS 282318 282318 MISCELLANEOUS 4788 4788 2380723 1960602 137803 282318 400157 124395 5208 12652 595849 437016 1800 1800 1800 21913573 18347667 1243050 3926955 24159637 22850485 71653 807995 71653 807995 X 22295631 20435601 1792353 1606889 24087984 22042490 24159637 22850485 X 68554 -2114048 X X 0 1 1 X 0 X 990401 1166051 1952108 801433 1635657 6545650 990401 1166051 1952108 801433 1635657 6545650 1375175 5170475 675589 247543 221075 379256 680472 2203935 8749585 0.59090 0.55960 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 1800 1800 1800 ALTERNATIVE INVESTMENTS 3926955 F 3926955 2449277 2380723 68554 -2114048 -2114048 -2045494 335229 -2114048 -2114048 2449277 0 2449277 2380723 0 2380723 0 2380723 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: GOODWILL AND ITS SUBSIDIARIES ARE INDIANA NON-PROFIT CORPORATIONS, EXEMPT FROM INCOME TAX UNDER SECTION 501(C)(3) OF THE U.S. INTERNAL REVENUE CODE. HOWEVER, IF INCOME WAS GENERATED FROM CERTAIN ACTIVITIES NOT DIRECTLY RELATED TO GOODWILL'S TAX-EXEMPT PURPOSES, SUCH INCOME WOULD BE SUBJECT TO TAXATION AS UNRELATED BUSINESS INCOME. GOODWILL AND ITS SUBSIDIARIES ARE NOT CONSIDERED PRIVATE FOUNDATIONS AS DEFINED IN SECTION 509(A) OF THE INTERNAL REVENUE CODE. ACCOUNTING STANDARDS FOR INCOME TAXES PROVIDE DETAILED GUIDANCE FOR THE FINANCIAL STATEMENT RECOGNITION, MEASUREMENT AND DISCLOSURE OF UNCERTAIN TAX POSITIONS RECOGNIZED IN AN ENTERPRISE'S FINANCIAL STATEMENTS. GOODWILL REGULARLY EVALUATES ITS ACTIVITIES TO DETERMINE THAT THEY ARE IN COMPLIANCE WITH ITS TAX-EXEMPT PURPOSE. CURRENTLY, GOODWILL'S MANAGEMENT DOES NOT BELIEVE IT IS ENGAGED IN ANY ACTIVITIES THAT WOULD GENERATE UNRELATED BUSINESS INCOME OR CREATE AN UNCERTAIN TAX POSITION. GOODWILL IS NO LONGER SUBJECT TO EXAMINATION BY TAXING AUTHORITIES FOR YEARS BEFORE 2008. CENTRAL AMERICA AND THE CARIBBEAN 0 0 INVESTMENTS 1978479 0 0 0 0 0 0 1978479 0 1978479 1 0 1 1 0 0 1 GOODWILL INDUSTRIES OF CENTRAL INDIANA INC 1635 W MICHIGAN ST INDIANAPOLIS IN 46222 350893506 501(C)3 1733827 SUPPORT ORGANIZATION'S PRIMARY EXEMPT PURPOSE GOODWILL EDUCATION INITIATIVES INC 1635 W MICHIGAN ST INDIANAPOLIS IN 46222 200749885 501(C)3 35000 SUPPORT ORGANIZATION'S PRIMARY EXEMPT PURPOSE SCHOLARSHIPS 36 191775 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: THE ORGANIZATION IS A RELATED ORGANIZATION OF GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC. AND SUBSIDIARIES ("GOODWILL"). ALL GRANTS ARE MADE TO SUPPORT GOODWILL AND ITS PRIMARY EXEMPT PURPOSE. 0 0 0 0 0 0 0 0 0 JAMES M MCCLELLAND 0 319051 0 72142 0 51451 0 26353 0 16067 0 485064 0 0 DANIEL J RILEY 0 151111 0 25700 0 7351 0 18361 0 20084 0 222607 0 0 SUPPLEMENTAL INFORMATION PART III SCHEDULE J, PART I, LINE 3 - THE ORGANIZATION HAS NO EMPLOYEES. THE ORGANIZATION REIMBURSES A RELATED ENTITY, GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC. (GICI) FOR FUNDRAISING EXPENSES, INCLUDING SALARIES AND BENEFITS OF CERTAIN GICI EMPLOYEES, AND A MANAGEMENT FEE. GICI'S COMPENSATION PRACTICES ARE ESTABLISHED BY ITS COMPENSATION COMMITTEE, AND ARE FURTHER EXPLAINED ON SCHEDULE O. FORM 990, PART I, LINE 1: THE ORGANIZATION'S PURPOSE IS TO SOLICIT FINANCIAL SUPPORT FROM THE GENERAL PUBLIC AND USE SUCH FUNDS TO SUPPORT GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC. IN ITS COMPREHENSIVE VOCATIONAL DEVELOPMENT PROGRAMS, ESTABLISH AND EXPAND EMPLOYMENT AND EDUCATION RELATED PROGRAMS FOR DISABLED AND DISADVANTAGED INDIVIDUALS IN CENTRAL INDIANA, AND ATTRACT PROMISING STUDENTS TO CAREERS IN HUMAN SERVICES BY PROVIDING SCHOLARSHIPS AND INTERNSHIPS. FORM 990, PART III, LINES 1 AND 4A: GOODWILL INDUSTRIES FOUNDATION OF CENTRAL INDIANA, INC. (THE FOUNDATION) COLLECTS MONETARY CONTRIBUTIONS FROM THE GENERAL PUBLIC AND DISBURSES THEM IN THE FORM OF GRANTS TO GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC. AND ITS RELATED ENTITIES TO HELP ESTABLISH NEW PROGRAMS AND SERVICES FOR ADULTS AND YOUNG PEOPLE WITH DISABILITIES OR DISADVANTAGING CONDITIONS, PROVIDE CAPITAL FUNDING FOR SUCH EFFORTS, AND ATTRACT PROMISING STUDENTS TO CAREERS IN ORGANIZATIONS SUCH AS GOODWILL BY PROVIDING SCHOLARSHIPS AND INTERNSHIPS. THE FOUNDATION IS AFFILIATED WITH AND OPERATED BY GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC., A DESCRIPTION OF WHICH FOLLOWS. GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC. ("GICI") AND ITS SUBSIDIARIES, GW COMMERCIAL SERVICES, INC. ("GWCS") AND GOODWILL EDUCATION INITIATIVES, INC. ("GEI") TOGETHER WITH THE FOUNDATION (COLLECTIVELY REFERRED TO AS "GOODWILL") ARE VOLUNTARY HEALTH AND WELFARE ORGANIZATIONS THAT HELP ADULTS PREPARE FOR, FIND AND KEEP JOBS, AND HELP YOUNG PEOPLE PREPARE FOR LIFE AND WORK. GOODWILL OFFERS EMPLOYMENT, EDUCATION AND RELATED SERVICES TO DISADVANTAGED ADULTS AND YOUNG PEOPLE THROUGHOUT CENTRAL INDIANA. GOODWILL DEFINES DISADVANTAGED INDIVIDUALS AS THOSE WITH A BARRIER TO EMPLOYMENT SUCH AS A DISABILITY, A CRIMINAL HISTORY AND/OR A LOW EDUCATION LEVEL (LESS THAN A HIGH SCHOOL DIPLOMA). GOODWILL'S MANAGEMENT ENCOURAGES INTERESTED READERS TO READ THE FORM 990 TAX RETURNS OF ALL RELATED ENTITIES IN ORDER TO OBTAIN COMPLETE INFORMATION ABOUT THE EXEMPT ACTIVITIES, OPERATIONS AND INTERRELATIONSHIPS OF THE COLLECTIVE CENTRAL INDIANA GOODWILL ORGANIZATIONS. GICI OPERATES FOUR DISTINCT ENTERPRISE DIVISIONS, DESCRIBED BELOW. GICI'S RETAIL OPERATION COLLECTS DONATIONS OF USED CLOTHING AND HOUSEHOLD ITEMS AND SELLS THEM THROUGH A NETWORK OF 47 THRIFT STORES. EXCESS AND UNSALABLE DONATED ITEMS ARE SOLD THROUGH SALVAGE AND RECYCLING CHANNELS. UNIQUE ITEMS ARE OFTEN SOLD THROUGH E-COMMERCE CHANNELS. THE RETAIL OPERATION ALSO ACCEPTS AND SELLS DONATED AUTOMOBILES, USING A THIRD PARTY ONLY FOR VEHICLE TOWING AND AUCTION SERVICES. THE RETAIL OPERATION EMPLOYS OVER 1,800 INDIVIDUALS, MORE THAN 60% OF WHOM ARE DISABLED OR DISADVANTAGED. THESE OPERATIONS ALSO GENERATE REVENUE AND CASH FLOW THAT FUND A LARGE PORTION OF GICI'S OTHER MISSION-RELATED OPERATIONS AND GENERAL AND ADMINISTRATIVE EXPENSES. AS PART OF ITS OVERALL STRATEGIC DIRECTIONS, GOODWILL'S RETAIL OPERATION HAS ADDED 17 NEW STORES IN THE LAST FIVE YEARS, AND WILL ADD AT LEAST FOUR MORE IN 2012. THESE STORES SUPPORT GOODWILL'S STRATEGIC MISSION EXPANSION ACTIVITIES WITHIN ITS RETAIL OPERATIONS AND IN ITS WORKFORCE SERVICES AND EDUCATION-RELATED EFFORTS. GICI'S COMMERCIAL SERVICES ("CS") OPERATION PROVIDES A VARIETY OF OUTSOURCE PACKAGING, ASSEMBLY, AND FULFILLMENT SERVICES TO EXTERNAL CUSTOMERS, EMPLOYING OVER 150 DISABLED AND DISADVANTAGED INDIVIDUALS. GICI'S EMPLOYMENT SERVICES ("ES") OPERATION PROVIDES CASE MANAGEMENT, COUNSELING, TRAINING, EDUCATION, JOB COACHING, AND JOB PLACEMENT, AND RELATED SUPPORTIVE SERVICES, FOR DISABLED, DISADVANTAGED, UNEMPLOYED AND UNDER-EMPLOYED INDIVIDUALS WHO WISH TO FIND AND RETAIN EMPLOYMENT AND INCREASE THEIR ECONOMIC SELF-SUFFICIENCY. GICIS COMMUNITY AND WORKPLACE INITIATIVES (CWI) OPERATIONS PROVIDE HOLISTIC, WHOLE FAMILY SERVICES TO INDIVIDUALS IN CENTRAL INDIANA WITH AN OVERARCHING OBJECTIVE OF REDUCING POVERTY AND INCREASING EDUCATION AND ECONOMIC SELF-SUFFICIENCY. GOODWILL STRIVES TO PLACE MANY OF THE INDIVIDUALS IT SERVES THROUGH ITS EMPLOYMENT SERVICES AND CWI DIVISIONS, IN EMPLOYMENT WITH EXTERNAL EMPLOYERS. IN MANY INSTANCES, INDIVIDUALS MAY WORK AT GOODWILL IN VARIOUS CAPACITIES TO GAIN WORK EXPERIENCE, TRAINING, JOB AND INCOME STABILITY AND SOFT SKILLS NECESSARY TO BECOME MORE SELF-SUFFICIENT IN EMPLOYMENT WITH OTHER FIRMS. INDIVIDUALS WITH DISABILITIES OR DISADVANTAGING CONDITIONS MADE UP 64% OF GOODWILL'S TOTAL WORKFORCE OF MORE THAN 2,580 EMPLOYEES IN 2011. EMPLOYEES WITH DISABILITIES AND DISADVANTAGING CONDITIONS RECEIVE INDIVIDUALIZED CASE MANAGEMENT AND SUPPORT DESIGNED TO ASSIST THEM IN DAILY LIVING, FINANCIAL DECISIONS, TRANSPORTATION, LIFE SKILLS, COMMUNICATIONS, ACCESS TO HEALTH CARE AND OTHER CRITICAL NEEDS. FOR THE NEARLY 10% OF GOODWILL'S WORKFORCE THAT HAS A CRIMINAL HISTORY, GOODWILL PROVIDES EMPLOYMENT AND RELATED SERVICES TO HELP THEM RE-ESTABLISH A WORK AND EARNINGS HISTORY, DEVELOP JOB AND LIFE SKILLS AND REDUCE THE RISK OF RECIDIVISM. IN 2011, DESPITE A CHALLENGING ECONOMY AND PERSISTENTLY HIGH UNEMPLOYMENT, GOODWILL PLACED 751 INDIVIDUALS ON JOBS WITH EXTERNAL EMPLOYERS, AN AVERAGE OF THREE PEOPLE EVERY WORKDAY. GWCS PROVIDES REHABILITATIVE TRAINING AND JOBS FOR PEOPLE WHO HAVE SEVERE DISABILITIES, PRIMARILY THROUGH SERVICE CONTRACTS WITH VARIOUS FEDERAL GOVERNMENTAL ENTITIES PURSUANT TO ABILITY ONE (FORMERLY KNOWN AS THE JAVITS-WAGNER-O'DAY ACT OF 1971). ABILITY ONE REQUIRES CERTAIN FEDERAL GOVERNMENTAL ENTITIES TO PURCHASE SELECTED PRODUCTS AND SERVICES, VIA SUCH CONTRACTS, FROM NON-PROFIT AGENCIES EMPLOYING BLIND OR SEVERELY DISABLED INDIVIDUALS. AT DECEMBER 31, 2011, GWCS OPERATED 11 ABILITY ONE CONTRACTS AT GOVERNMENT SITES IN INDIANAPOLIS, INDIANA, AND EMPLOYS APPROXIMATELY 210 SEVERELY DISABLED INDIVIDUALS. GEI PROVIDES EDUCATIONAL OPPORTUNITIES DESIGNED TO ENABLE YOUNG PEOPLE AND ADULTS TO PREPARE FOR PRODUCTIVE LIVES. GEI OPERATES 2 PUBLIC CHARTER HIGH SCHOOLS (INDIANAPOLIS METROPOLITAN HIGH SCHOOL AND THE EXCEL CENTER) IN INDIANAPOLIS, INDIANA UNDER THE PROVISIONS OF THE INDIANA CHARTER SCHOOL LAWS AND THE CHARTERING AUTHORITY OF THE MAYOR OF INDIANAPOLIS. THE SCHOOLS OCCUPY SPACE AT GOODWILL'S INDIANAPOLIS HEADQUARTERS BUILDING AND 2 ADDITIONAL LOCATIONS, AND CONTRACT WITH GICI FOR CERTAIN BUSINESS SUPPORT SERVICES. BOTH SCHOOLS RECEIVE THE MAJORITY OF THEIR FUNDING FROM THE INDIANA DEPARTMENT OF EDUCATION. THEIR REVENUES ARE SUPPLEMENTED WITH FUNDS FROM THE UNITED STATES DEPARTMENT OF EDUCATION, PRIVATE GRANTS, AND GIFTS. INDIANAPOLIS METROPOLITAN HIGH SCHOOL (THE MET) IS IN ITS EIGHTH YEAR OF OPERATION AND STUDENT ENROLLMENT AT JANUARY 1, 2011 APPROXIMATED 400 STUDENTS. THE EXCEL CENTER OPENED IN SEPTEMBER 2010 WITH AN ENROLLMENT OF 306 STUDENTS WHO PREVIOUSLY DROPPED OUT OF HIGH SCHOOL AND ARE SEEKING THEIR HIGH SCHOOL DIPLOMA RATHER THAN A GED. TODAY TEH EXCEL CENTER SERVES APPROXIMATELY 800 STUDENTS AT 3 LOCATIONS. DEMOGRAPHICS OF STUDENTS ATTENDING THE MET INCLUDE: 74% AFRICAN AMERICAN, 18% CAUCASIAN, 5% HISPANIC, 3% BI-RACIAL; 81% ELIGIBLE FOR FREE OR REDUCED PRICE LUNCH; 28% IDENTIFIED AS SPECIAL NEEDS STUDENTS. 92% LIVE WITHIN MARION COUNTY, 8% LIVE IN SURROUNDING COUNTIES. MOST STUDENTS ARRIVING AT THE MET HAVE NOT BEEN SUCCESSFUL IN MORE TRADITIONAL EDUCATION SETTINGS AND ARE OFTEN SEVERAL GRADE LEVELS BELOW THE NORM IN READING, MATH, AND SCIENCE. WITH THIS IN MIND, THE SCHOOL'S GOALS ARE FOCUSED PRIMARILY ON GRADUATION AND POST-SECONDARY ENROLLMENT. OFTEN, STUDENTS ARE NOT SUCCESSFUL PASSING STANDARDIZED TESTS EARLY IN THEIR HIGH SCHOOL EXPERIENCE, BUT SHOW IMPROVEMENT EACH YEAR. ENTERING FRESHMEN IN 2011-12 WERE GIVEN THE TEST OF ADULT BASIC EDUCATION (TABE) AND TWO-THIRDS WERE AT A 6TH OR 7TH GRADE LEVEL FOR MATH AND ENGLISH. ONLY 29% OF INCOMING STUDENTS PASSED THE 8TH GRADE INDIANA STATE TEST OF EDUCATIONAL PROFICIENCY (ISTEP+) IN ENGLISH AND ONLY 34% PASSED THE 8TH GRADE ISTEP+ IN MATH. THE MOST RECENT GRADUATING CLASS HAD OVER AN 80% PASS RATE ON THE REQUIRED END OF COURSE ASSESSMENTS. THROUGH THE 2011-12 SCHOOL YEAR, OVER 250 STUDENTS HAD GRADUATED FROM THE MET, AND 65% OF THOSE GRADUATES ARE STILL ENROLLED IN OR HAVE ALREADY COMPLETED A POST-SECONDARY PROGRAM. DEMOGRAPHICS FOR THE EXCEL CENTER ARE AS FOLLOWS: STUDENTS RANGE IN AGE FROM 17 TO 56. TWO-THIRDS OF STUDENTS ARE IN THE 18-24 AGE RANGE. 60% ARE UNEMPLOYED. 15% ARE EX-OFFENDERS. 62% ARE FEMALE AND 38% MALE. 27% ARE CAUCASIAN AND 64% ARE AFRICAN AMERICAN, WITH THE REMAINDER BEING MULTI-RACIAL OR HISPANIC. 75% OF STUDENTS MAKE LESS THAN $10,000 PER YEAR. AT THE END OF 2011, 31 STUDENTS HAD GRADUATED FROM THE EXCEL CENTER WITH 28 OF THOSE STUDENTS MOVING ONTO POST-SECONDARY EDUCATION OR HAVING ALREADY ATTAINED A POST-SECONDARY CREDENTIAL. IN 2011, GOODWILL INDUSTRIES FOUNDATION OF CENTRAL INDIANA, INC. MADE GRANTS TO GICI AND GEI FOR THE FOLLOWING PURPOSES: GICI: -INTERNSHIPS FOR COLLEGE STUDENTS PURSUING CAREERS IN HUMAN SERVICES AND DATA ANALYSIS. -SUPPORT FOR GICI'S WORKFORCE DEVELOPMENT SERVICES OPERATIONS, SPECIFICALLY TO ASSIST YOUTH AND ADULTS SEEKING EMPLOYMENT AND EDUCATIONAL ADVANCEMENT. -PHYSICAL FACILITIES IMPROVEMENTS AT GOODWILL'S CORPORATE HEADQUARTERS GEI: -CONSTRUCTION OF A GYMNASIUM FOR THE INDIANAPOLIS METROPOLITAN HIGH SCHOOL. -SCHOLARSHIPS PROVIDED TO ASSIST STUDENTS IN PURSUIT OF POST SECONDARY EDUCATION -INFRASTRUCTURE FOR THE TWO NEWLY ESTABLISHED EXCEL CENTERS FORM 990, PART III, LINES 1 AND 4A CONTINUED: IN 2011, GOODWILL INDUSTRIES FOUNDATION OF CENTRAL INDIANA, INC. MADE GRANTS TO GICI AND GEI FOR THE FOLLOWING PURPOSES: GICI -INTERNSHIPS FOR COLLEGE STUDENTS PURSUING CAREERS IN HUMAN SERVICES AND DATA ANALYSIS. -SUPPORT FOR GICI'S WORKFORCE DEVELOPMENT SERVICES OPERATIONS, SPECIFICALLY TO ASSIST YOUTH AND ADULTS SEEKING EMPLOYMENT AND EDUCATIONAL ADVANCEMENT. -PHYSICAL FACILITIES IMPROVEMENTS ON THE EXTERIOR OF GOODWILL'S HEADQUARTERS GEI: -CONSTRUCTION OF A GYMNASIUM FOR THE INDIANAPOLIS METROPOLITAN HIGH SCHOOL. -SCHOLARSHIPS PROVIDED TO ASSIST STUDENTS IN PURSUIT OF POST SECONDARY EDUCATION -INFRASTRUCTURE FOR THE TWO NEWLY ESTABLISHED EXCEL CENTERS FORM 990, PART VI, SECTION B, LINE 11 THE BOARD OF DIRECTORS REVIEWS A FINAL DRAFT OF THE FORM 990 PRIOR TO FILING AND HAS THE OPPORTUNITY TO PROVIDE COMMENTARY AND QUESTIONS TO MANAGEMENT. FORM 990, PART VI, SECTION B, LINE 12C BOARD MEMBERS RECEIVE, REVIEW, AND SIGN THE ORGANIZATION'S CONFLICT OF INTEREST POLICY ANNUALLY. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD OF DIRECTORS OF GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC. (GOODWILL) HAS ESTABLISHED A COMPENSATION COMMITTEE WITH RESPONSIBILITY TO ESTABLISH THE COMPENSATION AND BENEFITS OF THE PRESIDENT & CHIEF EXECUTIVE OFFICER (PRESIDENT) OF GOODWILL, AND TO PROVIDE OVERSIGHT ON THE COMPENSATION AND BENEFIT ACTIONS TAKEN BY THE PRESIDENT WITH RESPECT TO HIS/HER DIRECT REPORTS AND KEY EMPLOYEES. THE ROLE OF THE COMPENSATION COMMITTEE AND PRESIDENT, AS DELEGATED TO IT BY THE BOARD OF DIRECTORS, IS TO ENSURE THAT THE COMPENSATION ARRANGEMENTS OF GOODWILL ARE STRUCTURED SO THAT COMPENSATION PAYMENTS TO EXECUTIVES ARE AT ALL TIMES REASONABLE FOR AN ORGANIZATION SUBJECT TO THE REQUIREMENTS AND CONSTRAINTS OF SECTIONS 501(C)(3) AND 4958 OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE CODE). IN ORDER TO MAINTAIN ITS INDEPENDENCE AND OBJECTIVENESS, MEMBERSHIP ON THE COMPENSATION COMMITTEE IS LIMITED TO DIRECTORS WHO ARE NOT EMPLOYEES OR RELATED TO EMPLOYEES OF GOODWILL OR ANY AFFILIATED ORGANIZATIONS. NO MEMBER MAY BE AN EMPLOYEE OF GOODWILL, SUBJECT TO THE DIRECTION OR CONTROL OF ANY EMPLOYEE OF GOODWILL, NOR RECEIVE COMPENSATION OR OTHER PAYMENTS SUBJECT TO THE APPROVAL OF ANY EMPLOYEE OF GOODWILL. FINALLY, NO MEMBER MAY HAVE ANY MATERIAL FINANCIAL INTEREST THAT WOULD BE AFFECTED BY THE COMPENSATION ARRANGEMENT FOR ANY EXECUTIVE OF GOODWILL. THE COMPENSATION COMMITTEE AND PRESIDENT UTILIZE EXPERT OUTSIDE CONSULTANTS, INDEPENDENT LEGAL ADVICE, NATIONAL COMPENSATION SURVEYS, AND COMPENSATION DATA FOR COMPARABLE ORGANIZATIONS. EACH YEAR, CURRENT COMPARABLE COMPENSATION DATA IS CONSIDERED IN SETTING COMPENSATION, IN EVALUATING PROSPECTIVELY ANY INCENTIVE OR CONTINGENT COMPENSATION PLAN, AND IN REVIEWING RETROACTIVELY THE AMOUNTS DETERMINED BY APPLICATION OF ANY INCENTIVE FORMULA. THE PURPOSE OF SUCH RETROACTIVE REVIEW IS TO ENSURE THAT NO AMOUNT IS PAID PURSUANT TO ANY INCENTIVE PLAN OR FORMULA THAT, WHEN AGGREGATED WITH BASIC SALARY AND BONUS, EXCEEDS REASONABLE COMPENSATION. THE COMPENSATION COMMITTEE'S ACTIONS ARE REPORTED TO AND RATIFIED BY GICI'S BOARD OF DIRECTORS. GOODWILL'S EXECUTIVE MANAGEMENT TEAM PROVIDES STRATEGIC DIRECTION FOR AND DAY-TO-DAY MANAGEMENT OF THE OPERATIONS OF GOODWILL AND ITS RELATED ENTITIES, GW COMMERCIAL SERVICES, INC., GOODWILL EDUCATION INITIATIVES, INC., AND GOODWILL INDUSTRIES FOUNDATION OF CENTRAL INDIANA, INC. WITH ONE EXCEPTION, THE EXECUTIVE MANAGEMENT TEAM IS COMPENSATED ONLY BY GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC. AND TAKES NO COMPENSATION OR OTHER FINANCIAL BENEFIT FROM ANY OTHER RELATED ENTITY. THE CHIEF OPERATING OFFICER OF GOODWILL EDUCATION INITIATIVES, INC. IS COMPENSATED SOLELY BY GEI. GOODWILL'S MANAGEMENT ENCOURAGES INTERESTED READERS TO READ THE FORM 990 TAX RETURNS OF ALL FOUR ENTITIES IN ORDER TO OBTAIN COMPLETE INFORMATION ABOUT THE EXEMPT ACTIVITIES, OPERATIONS AND INTERRELATIONSHIPS OF THE COLLECTIVE CENTRAL INDIANA GOODWILL ORGANIZATIONS. FORM 990, PART VI, SECTION C, LINE 19 THE FOUNDATION MAKES ITS GOVERNING DOCUMENTS, CONFLICTS OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED LOSSES ON INVESTMENTS: -2,114,048. FORM 990, PART XII, LINE 2C: GOODWILL INDUSTRIES FOUNDATION OF CENTRAL, INDIANA, INC. (FOUNDATION) IS RELATED TO GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC. (GICI), GOODWILL EDUCATION INITIATIVES, INC. (GEI), AND GW COMMERCIAL SERVICES (GWCS). THE FINANCIAL STATEMENTS OF GICI, GWCS, GEI AND THE FOUNDATION ARE AUDITED ANNUALLY BY AN INDEPENDENT PUBLIC ACCOUNTING FIRM. THE FINANCE AND AUDIT COMMITTEE (COMMITTEE) OF GICI MEETS WITH THE AUDITORS ANNUALLY DURING THE AUDIT PLANNING STAGE TO REVIEW THE AUDIT PLAN AND ANY AUDIT CONCERNS. COMMITTEE MEMBERS GENERALLY CONSIST OF BOARD MEMBERS FROM EACH OF THE ABOVE ORGANIZATIONS. THE COMMITTEE THEN MEETS WITH THE AUDITORS AT THE CONCLUSION OF THE ANNUAL AUDIT TO REVIEW AND RECOMMEND APPROVAL OF THE AUDITED FINANCIAL STATEMENTS. UPON THE COMMITTEE'S RECOMMENDATION, THE FINANCIAL STATEMENTS ARE PRESENTED TO THE FULL GICI BOARD FOR FINAL APPROVAL. THIS PROCESS HAS NOT CHANGED IN THE PAST YEAR. GOODWILL INDUSTRIES OF CENTRAL INDIANA INC 1635 W MICHIGAN STREET INDIANAPOLIS IN 46222 350893506 SEE SCHEDULE R, PAGE 5. IN 501(C)3 LINE 7 N/A 0 GOODWILL EDUCATION INITIATIVES INC 1635 W MICHIGAN STREET INDIANAPOLIS IN 46222 200749885 PROVIDE EDUCATION OPPORTUNITIES FOR YOUTH & ADULTS IN 501(C)3 LINE 2 GOODWILL INDUSTRIES OF CENTRAL INDIANA INC 0 GW COMMERCIAL SERVICES INC 1635 W MICHIGAN STREET INDIANAPOLIS IN 46222 352082941 PROVIDE REHABILITATION TRAINING AND JOB OPPORTUNITIES IN 501(C)3 LINE 11A, I GOODWILL INDUSTRIES OF CENTRAL INDIANA INC 0 0 1 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0 PRIMARY ACTIVITY FOR GOODWILL INDUSTRIES OF CENTRAL INDIANA, INC.: SCHEDULE R, PART II, COLUMN (B) EMPLOYMENT AND EDUCATION SERVICES FOR DISABLED AND DISADVANTAGED YOUTH AND ADULTS. SEE SCHEDULE O FOR ADDITIONAL INFORMATION.