2011-07-15T09:04:53-05:00 2010-08-31 Tate and Tryon 2021 L Street NW Suite 400 Washington DC 20036 990 2009-09-01 521300485 CENTER FOR ASSOCIATION LEADERSHIP CENT 2023269550 1575 I STREET NW WASHINGTON DC 20005 JOHN H GRAHAM IV 2023269550 2011-07-12 1 DEBORAH G KOSNETT 2022932200 2009 2016-02-24 21:20:13Z JOHN H GRAHAM IV 1575 I STREET NW WASHINGTON DC 20005 13688306 0 X WWW.asaecenter.ORG X 1983 DC THE CENTER FOR ASSOCIATION LEADERSHIP IS THE PREMIER PROVIDER OF LEARNING, FUTURE FOCUSED AND STRATEGIC RESEARCH, AND KNOWLEDGE RESOURCES FOR THE ASSOCIATION COMMUNITY. THE CENTER IS RESPONSIBLE FOR EDUCATION PROGRAMS AND EVENTS; LEARNING COMMUNITIES; AND IDENTIFICATION AND SHOWCASING OF NEW IDEAS, THOUGHT LEADERS AND KNOWLEDGE RELEVANT TO ASSOCIATION MANAGEMENT AND LEADERSHIP. 14 0 0 1716 0 0 666903 788729 11454506 11045585 -742524 52245 730714 1034934 12109599 12921493 0 0 0 0 720491 14263333 13750565 14263333 13750565 -2153734 -829072 19688379 20586028 11047059 11366174 8641320 9219854 ASAE & The Center help associations and association professionals transform society through the power of collaboration. 0 0 6824440 3499878 PROFESSIONAL DEVELOPMENT: THE CENTER OFFERS MORE THAN 100 LEARNING EXPERIENCES FOR ASSOCIATION PROFESSIONALS AND BUSINESS PARTNERS AT ALL EXPERIENCE LEVELS. THESE LEARNING PROGRAMS ARE HELD FACE-TO-FACE IN WASHINGTON, DC, AND IN LOCATIONS AROUND THE COUNTRY, AS WELL AS ONLINE. SIGNATURE PROGRAMS INCLUDE: GREAT IDEAS CONFERENCES; INVITATIONAL FORUM ON LEADERSHIP & MANAGEMENT; AND THE TECHNOLOGY CONFERENCE. 3633867 5052218 MEETINGS/EXPO: THE CENTER OFFERS TWO MAJOR CONVENTIONS ANNUALLY - THE ANNUAL MEETING AND SPRINGTIME EXPO - WITH APPROXIMATELY 200 SESSIONS WHERE MORE THAN 8,000 (CUMULATIVE) ASSOCIATION EXECUTIVES LEARN THE LATEST ASSOCIATION MANAGEMENT PRACTICES. SESSIONS OFFER CUTTING-EDGE INFORMATION NOT OFTEN FOUND ELSEWHERE, SUCH AS TECHNOLOGY APPLICATIONS TO IMPROVE PRODUCTIVITY AND MANAGEMENT, ETHICAL CHALLENGES, PREPARING MEMBERS TO PROSPER IN A GLOBAL MARKET, AND OTHER TOPICS. 1494628 783623 Learning Center Facilities: The Center for Association Leadership operates two learning facilities in Washington, DC that are available for organizations to hold a variety of events. Both facilities are also used for the Center's own educational programs.The Marriott Learning Complex is located in the Ronald Reagan Building and International Trade Center at 1300 Pennsylvania Avenue, NW. It offers contemporary architecture and high tech features providing an atmosphere that is ideal for educational seminars, presentations, board meetings, staff training and retreats, and other events.The other facility is located at 1575 I Street, NW and is a full-service meeting facility located a few blocks from the White House. The conference center also provides an excellent environment for educational seminars, presentations, board meetings, staff training and retreats, and other events. 25695 1709866 Research: The Center's Research Department advances knowledge in non-profit management by providing resources that will help leaders focus on critical factors to enhance their organizations. The Center implements and facilitates the application of research findings by executives and boards through rigorously designed secondary, qualitative and quantitative methods. Thought provoking research has been produced on membership, volunteerism, fundraising and the economy. 790846 Sponsorship -- Provides a customized opportunity for industry partners and association professionals to interact on issues of mutual concern. Industry partners are able to gain insight and understanding of the needs of the association professionals and the association professionals are able to gain knowledge from the industry partners. 396179 Greater Washington Network -- The Greater Washington Network encourages association professionals in the Washington DC region to connect with one another in meaningful ways to advance themselves both personally and professionally. From monthly networking receptions to complimentary idea swaps, the Greater Washington Network allows one to build a community of peers, advance one's career and volunteer within the association industry. 2810 Journal -- The mission of The Journal of Association Leadership (JAL) is to be the principal agenda-setting publication for the association profession, providing a serious outlet for the exploration of new ideas, models and themes affecting the future of associations and association leaders.The Journal of Association Leadership covers all association management and leadership topics, placing a particular emphasis on leading-edge issues in the areas of organizational management and change, strategic leadership, and innovation. 23946 Research Endowment & Other -- The goal of the endowment-funded research program is to advance knowledge in association management by providing thought leadership on trends and issues affecting the non-profit sector. The program focuses on identifying critical issues in the rapidly changing environment facing the non-profit community by conducting research to develop insights that will promote success over time. 1239476 1709866 13192411 1 1 0 0 0 0 0 0 1 1 0 1 0 0 1 0 0 0 1 0 0 0 0 1 0 0 0 0 0 0 0 1 0 0 0 0 0 1 0 1 0 1 63 0 1 0 0 0 0 0 0 1 1 0 0 0 0 0 14 0 0 0 0 0 0 1 0 1 1 0 0 1 1 1 1 1 1 1 0 0 X heidi robey 2023269550 1575 I Street NW Washington DC 20005 ROBIN LOKERMAN CMM 2.00 X X 0 0 0 velma r hart CAE 2.00 X X 0 0 0 peter J O'NEIL CAE 2.00 X X 0 0 0 paul pomerantz CAE 2.00 X 0 0 0 steVEN BERGER 2.00 X 0 0 0 jeff DE CAGNA 2.00 X 0 0 0 loretta DELUCA 2.00 X 0 0 0 abe eshkenazi cscp fac 2.00 X 0 0 0 paul GANNON 2.00 X 0 0 0 agathA JOHNSON MA CAE 2.00 X 0 0 0 janiCE LACHANCE 2.00 X 0 0 0 luc MAENE 2.00 X 0 0 0 lisa MULLINGS ESQ CAE 2.00 X 0 0 0 susan neely cae 2.00 X 0 0 0 john graham IV 2.00 X 0 774179 233473 heidi robey 2.00 X 0 160599 29445 susan robertson 20.00 X 0 336867 42993 anne blouin 40.00 X 178958 0 27982 karl ely 18.00 X 80771 98721 35819 greta kotler 36.00 X 166433 18491 31507 Reginald Henry 2.00 X 0 176588 36900 Robert Skelton 2.00 X 0 174234 46816 John Lee IV 2.00 X 0 141760 17421 Ronald McNally 4.00 X 16643 149787 31091 Monica Dignam 10.00 X 39936 119810 34063 AMY LEDOUX 34.00 X 117499 20735 18119 MARK MILROY 40.00 X 121600 0 27792 susan sarfati 0.00 X 477397 0 13147 lori derkay 0.00 X 157333 0 7955 1356570 2171771 634523 2 1 1 0 Hargrove Inc One Hargrove Drive Lanham MD 20706 Trade Show & Event Services 721631 PCI Communications 3015 Colvin Street Alexandria VA 22314 Audo/Visual Services 387710 Projection Presentaton Technology PO Box 890472 Charlotte NC 28289 Event Production Services 379133 KUSHNER & ASSOCIATES 3444 CLOUDCROFT DRIVE Malibu CA 90265 transportation services 135721 4 299390 489339 788729 meetings and expo 900099 5052218 5052218 professional developme 900099 3499878 3499878 sponsorships 900099 1709431 1709431 learning center facili 900099 783623 783623 magazines and journal 900099 435 435 11045585 392445 392445 1197564 1197564 340200 -340200 -340200 -340200 213448 299390 426613 -213165 -213165 MAILING LIST 900099 50535 50535 50535 12921493 8552531 0 3580233 74714 74714 778530 705758 -7500 80272 172253 147975 24278 2395621 2338897 -30426 87150 1576 1576 2329 2329 716954 591128 125826 231143 212054 19089 2906571 2568295 4220 334056 230847 195267 35580 38989 36076 2913 PERSONNEL SALARY EXPENS 3028137 2928241 9582 90314 OVERHEAD ALLOCATION 2230111 2179715 2962 47434 PERSONNEL BENEFITS 654638 514713 124032 15893 HONORARIA 342932 342932 CREDIT CARD EXPENSE 159330 157572 1758 -214110 195169 -426613 17334 13750565 13192411 -162337 720491 1352448 1447908 153643 2182495 1976547 150110 117518 1921721 1583334 528275 338387 15321408 16705668 19688379 20586028 399191 645614 1546512 1316438 9101356 9404122 11047059 11366174 X 8587356 9165890 53964 53964 8641320 9219854 19688379 20586028 X 0 1 1 X 0 X 3543089 3605549 1047534 666903 788729 9651804 3543089 3605549 1047534 666903 788729 9651804 1126281 8525523 797211 806923 630635 1232567 1590009 5057345 778 778 14709927 56584310 0.57960 0.63620 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 8570072 983737 395674 9158135 10357141 -1329273 457796 8570072 1.00000 0.00000 0.00000 0 0 1921721 1583334 338387 338387 Deferred rent 77222 due to affiliates 9326900 9404122 12921493 13750565 -829072 1407606 1407606 578534 14755712 1407606 426613 1834219 12921493 0 12921493 14177178 426613 426613 13750565 0 13750565 Part V, Line 4: Description of Intended Use of Endowment Funds: Board designated fund, the corpus of which is to remain intact and the investment income from which is to be used for research benefiting the association community. An established spending policy of 5-7% of the average of the portfolio as of December 31 for the prior 3 years is used to determine the annual budget submitted for board approval. Part X: Description of Uncertain Tax Positions Under FIN 48: The Organization has adopted the accounting standard related to uncertain income tax positions. The standard requires that an uncertain income tax position must be more likely than not (i.e., greater than 50% likelihood of realization) before it is recognized in the consolidated financial statements. Furthermore, the standard requires that the amount recognized be the same as that which would be determined as a result of a review by tax authorities having all relevant information. During the year ended August 31, 2010, management performed a thorough analysis of all income tax positions and did not identify any that were deemed uncertain. At a minimum, the August 31, 2007 through 2010 tax years are open for examination by taxing authorities. Part XII, Line 2d - Other Adjustments: special event expense: 426613. Temp restricted contributions and special event revenue: 0. Part XIII, Line 2d - Other Adjustments: special event expense: 426613. Temp restricted contributions and special event revenue: 0. NORTH AMERICA PROGRAM SERVICES invitational forum on leadership and management 97506 argentina and brazil program services STUDY MISSION 53290 INVITATIONAL FORUM ON LEADERSHIP & MANAGEMENT STUDY MISSION 0 0 150796 FOOD & WINE CLASSIC 370816 185408 185408 80 348358 auction 100522 100522 26280 1 41500 13460 28040 1340 50555 512838 299390 213448 1420 425193 426613 -213165 X X X X X 1 1 0 1 1 1 1 0 0 john graham IV 0 565653 0 102182 0 106344 0 200310 0 38185 0 1012674 0 0 heidi robey 0 149985 0 6870 0 3744 0 26099 0 5352 0 192050 0 0 susan robertson 0 289239 0 40470 0 7158 0 37950 0 11877 0 386694 0 0 anne blouin 153086 0 24165 0 1707 0 21787 0 10158 0 210903 0 0 0 karl ely 77864 95168 2673 3267 234 286 10091 12333 9893 12092 100755 123146 0 0 greta kotler 156131 17347 7952 883 2350 261 20104 2234 14108 1568 200645 22293 0 0 Reginald Henry 0 167026 0 8565 0 997 0 21757 0 16789 0 215134 0 0 Robert Skelton 0 164190 0 8665 0 1379 0 27101 0 28680 0 230015 0 0 John Lee IV 0 134720 0 6475 0 565 0 16221 0 2486 0 160467 0 0 Ronald McNally 15746 141718 803 7227 94 842 2043 18390 1521 13692 20207 181869 0 0 Monica Dignam 38519 115557 931 2794 486 1459 4974 14920 5159 15477 50069 150207 0 0 AMY LEDOUX 111533 19682 5491 969 475 84 13973 2466 2542 448 134014 23649 0 0 susan sarfati 0 0 0 0 477397 0 0 0 18109 0 495506 0 40757 0 lori derkay 0 0 0 0 157333 0 3839 0 6633 0 167805 0 25449 0 Part I, Line 4a LORI DERKAY: SEVERANCE PAY $121,333 SUSAN SARFATI: SEVERANCE PAY, $365,560 SUSAN SARFATI: 457F DISTRIBUTION, $80 JOHN GRAHAM: SERP FUNDING, $178,561 Part I, Line 5 DETERMINATION OF ANNUAL INCENTIVE COMPENSATION FOR THE CENTER'S CEO IS DETERMINED AS FOLLOWS: THE TARGET ANNUAL INCENTIVE AMOUNT IS DETERMINED BASED ON THE MARKET PRACTICES OF THE COMPARATOR GROUP AS DESCRIBED IN THE ANSWER TO 990, PART VI, QUESTION 15. THE ANNUAL INCENTIVE AWARD IS BASED ON THE ACHIEVEMENT OF PREDETERMINED FINANCIAL, STRATEGIC, BUSINESS, AND INDIVIDUAL GOALS OF BOTH THE CENTER AND OF ASAE, A RELATED ORGANIZATION. THE PRIMARY QUANTITATIVE FACTORS REVIEWED BY THE BOARD OF DIRECTORS INCLUDE AS FINANCIAL MEASURES NET INCOME, REVENUE, TOTAL MEMBERSHIP AND ACHIEVEMENT OF OTHER BOARD PRIORITIES AS DEFINED EACH YEAR BY THE BOARD OF DIRECTORS. ANNUAL INCENTIVE PAY IS NOT DETERMINED AS A SPECIFIC PERCENTAGE OF REVENUES; RATHER, REVENUES ARE UTILIZED AS MERELY ONE FACTOR WITH REGARD TO OVERALL PERFORMANCE. Part I, Line 6 DETERMINATION OF ANNUAL INCENTIVE COMPENSATION FORTHE CENTER'S CEO IS DETERMINED AS FOLLOWS: THE TARGET ANNUAL INCENTIVE AMOUNT IS DETERMINED BASED ON THE MARKET PRACTICES OF THE COMPARATOR GROUP AS DESCRIBED IN THE ANSWER TO 990, PART VI, QUESTION 15. THE ANNUAL INCENTIVE AWARD IS BASED ON THE ACHIEVEMENT OF PREDETERMINED FINANCIAL, STRATEGIC, BUSINESS, AND INDIVIDUAL GOALS OF BOTH THE CENTER AND OF ASAE, A RELATED ORGANIZATION. THE PRIMARY QUANTITATIVE FACTORS REVIEWED BY THE BOARD OF DIRECTORS INCLUDE AS FINANCIAL MEASURES NET INCOME, REVENUE, TOTAL MEMBERSHIP AND ACHIEVEMENT OF OTHER BOARD PRIORITIES AS DEFINED EACH YEAR BY THE BOARD OF DIRECTORS. ANNUAL INCENTIVE PAY IS NOT DETERMINED AS A SPECIFIC PERCENTAGE OF NET EARNINGS; RATHER, NET EARNINGS ARE UTILIZED AS MERELY ONE FACTOR WITH REGARD TO OVERALL PERFORMANCE. AMERICAN SOCIETY OF ASSOCIATION EXECUTIVES COMMON BOARD MEMBERS PLEASE SEE SCHEDULE R FOR ALL REPORTABLE TRANSACTIONS BETWEEN THE CENTER AND THE AMERICAN SOCIETY OF ASSOCIATION EXECUTIVES. 0 LARRY ALEXANDER BOARD MEMBER AND PRES/CEO OF DETROIT METRO CVB, AN ASAE INDUSTRY PARTNER 225000 SPONSORSHIPS, ADVERTISING AND EXHIBIT REVENUE: $225,000 IN TOTAL TO ASAE AND THE CENTER FOR ASSOCIATION LEADERSHIP 0 PAUL GANNON BOARD MEMBER AND VP MARKETING OF TMA RESOURCES, AN ASAE INDUSTRY PARTNER 250000 SPONSORSHIPS, ADVERTISING AND EXHIBIT REVENUE: $250,000 IN TOTAL TO ASAE AND THE CENTER FOR ASSOCIATION LEADERSHIP 0 JACK HORNE BOARD MEMBER AND VP SALES FOR HYATT HOTELS AND RESORTS 133000 TOTAL OF $133,000 TO ASAE AND THE CENTER FOR ASSOCIATION LEADERSHIP, FOR DIVERSITY INITIATIVE FUNDING 0 ROBIN LOKERMAN CMM BOARD MEMBER AND CEO-INSTITUTIONAL DIV, MCI GROUP 49270 INTERNATIONAL STUDY MISSION CONSULTING SERVICES 0 Form 990, Part VI, Section A, line 1 THE BOARD MEMBERS OF THE CENTER FOR ASSOCIATION LEADERSHIP ARE ALSO BOARD MEMBERS OF ITS RELATED SECTION 501(C)(6) ASSOCIATION, THE AMERICAN SOCIETY OF ASSOCIATION EXECUTIVES (ASAE). AS SUCH, THE CENTER'S BOARD MEMBERS TECHNICALLY ARE NOT INDEPENDENT, AS ASAE IS CONSIDERED TO BE "AN ENTITY MORE THAN 35% OWNED" AND IS THEREFORE AN "INTERESTED PERSON" FOR SCHEDULE L REPORTING PURPOSES. Form 990, Part VI, Section A, line 7a Directors other than ex officio Directors (ASAE board chairman; president/CEO of ASAE) are nominated by the Leadership Committee and elected by the Board of Directors of ASAE. Form 990, Part VI, Section B, line 11 The 990 returns are prepared by the 3rd party preparer working with the CFO and Director of Finance. Once the CFO is comfortable with the completeness and accuracy of the document, it is provided to the CEO for review and is uploaded into a secure restricted location within the organization's online system SharePoint prior to filing. Board members are notified that this document is available, for how long and when the return will be filed. The return will be filed as presented if no further adjustments are warranted. The board will receive notification of any additional changes prior to filing. The return is then signed by the CEO and filed appropriately. Form 990, Part VI, Section B, line 12c Each Board Member and Executive Staff Member is required to annually complete and submit a Disclosure Form detailing any such 'other interests.' The individual also must update the Disclosure Form if any material changes or additions to the submitted information arise during the course of the year. A checklist is maintained and follow up is done until all forms are returned. Once all forms are received, the CEO reviews the disclosures. Any affirmative response deemed unusual or which may appear to constitute an actual, potential or apparent conflict of interest is referred to the Audit committee for determination. The Audit Committee may seek the guidance of counsel and make such determination without the presence of the individual whose involvement in such transaction or relationship is under consideration. The Audit Committee may conclude that this determination should be made by the full Board of Directors of ASAE, The Center, or ABSI, and refer the matter shall be referred to the appropriate Board (with or without a recommendation from the Audit Committee) for its consideration, deliberation and resolution, with the assistance of legal counsel and without the presence of the individual whose involvement in such transaction or relationship is under consideration. The appropriate Board shall have final authority over the resolution of all conflict of interest matters involving the members of such Board. If the Audit Committee believes that a particular relationship or transaction may represent an actual, potential or apparent conflict or interest, it shall first request additional information from the individual in question detailing the nature of the relationship or transaction. When evaluating whether a particular transaction or relationship constitutes an actual, potential or apparent conflict of interest, the Audit Committee shall consider the following (non-exhaustive) factors: --Abusing one's role for personal or third-party gain or pleasure (including, but not limited to, the solicitation or acceptance of gifts or other items of value or indirect inducement to provide special treatment on organization matters.) -- Placing one's own self-interest, the interest of one's company, organization or another entity for which the individual serves in a leadership, employment or ownership capacity, or the interest of any third party above that of ASAE, The Center, or ABSI. -- Engaging in any outside business, professional or other activities that would directly or indirectly materially adversely affect ASAE, The Center, or ABSI. --Providing goods or services to ASAE, The Center, or ABSI as a paid vendor. If the Audit Committee determines that a particular relationship or transaction represents an actual, potential or apparent conflict of interest, it (or the appropriate Board, if the matter has been referred to the Board) shall resolve such actual, potential or apparent conflict in one of the following manners: (1) Waive the actual, potential or apparent conflict as unlikely to affect the individual's ability to act in the best interests of the organization; (2) Determine that the individual should be recused from all deliberations and decision-making related to the particular transaction which gives rise to the actual, potential or apparent conflict. This resolution should apply particularly when the transaction or relationship is one that presents a conflict only with respect to one or two discrete programs or activities. For example, if an individual Board member also works for a company that produces an educational program that competes with one or two discrete programs of ASAE, The Center, or ABSI, the Audit Committee or relevant Board may determine that the Board member should be recused from all deliberations and voting related to such program(s) (both at the outset and on an ongoing basis), but that the Board member need not resign his/her seat on the Board. (3) Determine that the individual must resign from his/her service to ASAE, The Center, or ABSI because the actual, potential or apparent conflict is so pervasive that the individual would seldom, if ever, likely be able to act in the best interests of the organization. For example, if an individual Board member also works for a company that produces educational programs that compete with most of the educational programs of The Center, the Audit Committee or Center Board may determine that the individual should resign from the Center Board. (4) The special procedure below is applicable to all instances in which a individual (or the individual's company, organization or another entity for which the individual serves in a leadership, employment or ownership capacity, or a member of the individual's family) seeks to provide goods or services to ASAE, The Center, or ASI as a paid vendor, or seeks to receive a significant grant or contract from one of the three organizations. This procedure shall not apply to pre-existing relationships with individuals that previously have been disclosed to, and waived by, the Audit Committee or the Board of the relevant organization. (a) The individual must disclose to the applicable Chairman in advance of any related action to be taken by the Board his/her intent to seek to provide goods or services as a paid vendor to ASAE, The Center, or ABSI, or to receive a grant or contract from one of the three organizations; (b) The individual must recuse himself/herself from all deliberations and voting related to the contemplated action; (c) If the value of the transaction exceeds $5,000, ASAE, The Center, or ABSI must, through a request for proposal process, have solicited proposals broadly from other qualified vendors / prospective grant or contract recipients and received (or attempted to receive) written bids from at least three such individuals / entities (including the individual in question); (d) The Board must determine (without the presence or participation of the individual) that the transaction is fair and in the best interests of ASAE, The Center, or ABSI based on all of the facts and circumstances, and such determination (including the fact that it was made in the absence of the individual) shall be documented as part of the relevant meeting minutes (all competing bids received shall be retained as well); and (e) If selected, the individual may not participate in any process by which his/her performance as a vendor / grant or contract recipient is evaluated. Form 990, Part VI, Section B, line 15a The Center is staffed by ASAE employees. ASAE's compensation policy is defined in its board policy manual, and consists of the following: President & CEO Performance Evaluation and Compensation: This responsibility is vested with the ASAE Board of Directors. The ASAE Board of Directors is charged with ensuring that the annual evaluation is conducted and compensation established. A Compensation Committee consisting of the Immediate Past Chairman of the Board, Chairman of the Board, and Chairman-Elect will recommend compensation levels to the ASAE Board of Directors. In addition, the President and CEO's annual objectives are approved by the ASAE Board of Directors. It is these agreed upon objectives that are used to evaluate performance each year. CEO Compensation Philosophy The compensation package, viewed as a whole, should promote performance-based results linked to the achievement of ASAE & The Center's mission and strategic goals. The compensation program should encourage an entrepreneurial and member service environment in collaboration with the volunteer leadership to determine, guide, and oversee the execution of ASAE & The Center's strategic goals and mission. Given the unique set of skills needed to accomplish the mission and goals set forth above, the total compensation -- direct and indirect -- should be targeted above the market median, yet be demonstrably reasonable relative to the total compensation offered by organizations comparable to ASAE & The Center. The compensation philosophy should be viewed periodically to ensure that it continues to be aligned with ASAE's strategic direction and financial limits and continues to be both reasonable and competitive. CEO Compensation Practices The ASAE & The Center compensation program is targeted to provide competitive total compensation levels (including both annual cash compensation and supplemental benefits) for highly competitive performance. Compensation is benchmarked against data developed by independent consultants using surveys comprised of organizations with similar individual membership and general non-profit organizations, both regional and national. These organizations are similar to ASAE in magnitude, complexity, and scope of responsibility, and they are representative of the various markets in which ASAE competes for talent. Total cash compensation is targeted at the competitive range of 85% - 115% of the 75th percentile of developed market rates, depending on tenure and experience of the CEO. Consistent with this strategy, the following principles provide a framework for the organization's executive compensation program: -- Total annual cash compensation (consisting of base pay and a variable, at-risk incentive) is positioned at 85% - 115% of the 75th percentile of developed market rates; -- The mix of total compensation elements will reflect competitive market requirements and strategic business needs; -- Compensation is linked to both qualitative and behavioral expectations, and key operational and strategic metrics; and -- Compensation will be differentiated on the following basis: base pay - on relative responsibility; annual incentives - on performance; and supplemental benefits - on long-term performance. Base pay -- determined by individual performance and comparisons to similar positions in individual membership and general non-profit organizations. Pay is established based on job responsibility, level of experience, individual contribution to the business, analyses of competitive industry practice and various other qualitative and quantitative performance factors. Annual Incentive -- the target annual incentive amount is determined based on the market practices of the comparator group as described above. The annual incentive award is based on the achievement of predetermined financial, strategic, business, and individual goals. The primary quantitative factors reviewed by the Board of Directors include as financial measures net income, revenue, total membership and achievement of other Board priorities as defined each year by the Board of Directors. Among the qualitative factors evaluated by the Board of Directors are progress in the achievement of the organizations short-term and long-term business goals, member satisfaction, and the effective management of ASAE & The Center and its human resources. Supplemental Benefits -- Under the Supplemental Benefits Plan, the Board of Directors grants deferred salary and supplemental income arrangements, benefits and perquisites subject to individual long term performance. These awards and supplemental benefits are provided in line with competitive practices of the comparator group. The objectives for these awards are to closely align executive interests with the longer-term interests of stakeholders and to retain the skills critical to the future success of ASAE & The Center. ------------ Other Key Officers/Employees Under bylaw and CEO contract, the balance of staff are under the authority of CEO. Staff compensation policy decisions take into consideration ASAE's overall financial condition, equity within the organization, and competitive salary planning. ASAE's Human Resources Department is responsible for administration of and ongoing internal review of all compensation plans and policies. This compensation review helps ASAE maintain and administer a compensation plan that accurately and fairly reflects each individual's responsibilities and performance. ASAE's staff salary administration program(s) consist of the following: -- Job Evaluation - This is a systematic method of determining the value of each job within the association, including review of skills, educational prerequisites and contribution to the organization. -- Salary Structure - Positions are evaluated and positions with similar values are placed in a salary grade that is reviewed in terms of its competitiveness within the market and our organizational needs. Each grade has a minimum, which is the lowest recommended salary to be offered to an individual who meets the minimum qualifications of the position; a midpoint, representing the salary at which a fully qualified and experienced staff member who satisfactorily performs all the specifications of a position is paid within the marketplace; and a maximum, which is the upper limit of the salary range. A third party is engaged periodically to review the compensation package of the Executive Staff and/or full staff relative to base compensation, bonus and incentive programs comparative to market. -- Salary Budget and Guidelines - ASAE's annual salary budget is developed annually in order to allocate monies needed to maintain staff member salaries at competitive levels, subject to budgetary limitations. An annual merit pool is developed and approved as part of the budget cycle. The Chief Administrative Officer is responsible for the administration of the program, and all increases are subject to the approval of the CEO. Form 990, Part VI, Section C, line 19 Some governing documents are available on the website - Center Bylaws, Strategic Framework - what we do and our promise, Code of Conduct and Board Contact information. The Conflict of Interest Policy is currently not posted, but provided as a sample document upon request. Public inspection copies of the 990 are provided upon request. Form 990, Part XI, line 2c the audit oversight process has remained unchanged from the prior year. THE CENTER FOR ASSOCIATION LEADERSHIP AND THE AMERICAN SOCIETY OF ASSOCIATION EXECUTIVES (ASAE) ARE SECTION 501(C) ORGANIZATIONS THAT SHARE BOARD MEMBERS. ALL CENTER BOARD MEMBERS ARE ALSO MEMBERS OF THE ASAE BOARD. PLEASE SEE SCHEDULES L AND R FOR ADDITIONAL INFORMATION REGARDING BUSINESS TRANSACTIONS BETWEEN THE TWO ENTITIES. AMERICAN SOCIETY OF ASSOCIATION EXECUTIVES 1575 I ST NW WASHINGTON DC 20005 530026940 membership organization and voice of the association profession DC 501(c)(6) 1575 EYE STREET ASSOCIATES LP 1575 EYE STREET NW WASHINGTON DC 20005 521083648 RENTAL OF HEADQUARTERS BUILDING DC N/A ASAE BUSINESS SERVICES INC 1575 eye street nw washington DC 20005 521066386 insurance and other services DC N/A C ASAE INSURANCE COMPANY 1575 eye street nw Washington DC 20005 030335958 INsurance and other services DC N/A C 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 1 1 AM SOCIETY OF ASSN EXECUTIVES O 6033838 AM SOCIETY OF ASSN EXECUTIVES Q 447239 ASAE BUSINESS SERVICES INC R 184873 AM SOCIETY OF ASSN EXECUTIVES C 24270 AM SOCIETY OF ASSN EXECUTIVES R 18775