2017-04-10T12:33:42-05:00 2016-06-30 GRANT THORNTON LLP 171 N CLARK ST SUITE 200 CHICAGO IL 60601 990 2015-07-01 361707667 Rotary International % BERNADETTE KNIGHT ROTA 8478663000 1560 Sherman Avenue Evanston IL 602013698 LORI CARLSON cfo 8478663000 2017-04-06 true Michelle L Weber P00556798 3128560200 2015 2021-01-29 14:40:06Z John P Hewko 1560 Sherman Avenue Evanston IL 602013698 182402209 false 0573 X www.rotary.org X 1911 IL Rotary International (RI) is a worldwide association of Rotary Clubs that provide service to others, promote integrity, and advance world understanding, goodwill, and peace. 19 17 326 1215267 515617 -135831 65616266 70684076 13417806 21969248 8815675 2967032 1335036 2522560 89184783 98142916 318920 290401 0 0 31705551 34335794 0 0 0 54279912 59739602 86304383 94365797 2880400 3777119 161553454 159664981 33041440 33082823 128512014 126582158 X THE MISSION OF ROTARY INTERNATIONAL IS TO PROVIDE SERVICE TO OTHERS, PROMOTE INTEGRITY, AND ADVANCE WORLD UNDERSTANDING, GOODWILL, AND PEACE THROUGH ITS FELLOWSHIP OF BUSINESS, PROFESSIONAL, AND COMMUNITY LEADERS. false false 13189393 15185179 International Convention - The International Convention is the annual business meeting of RI and is designed to inspire and inform Rotarians at an international level while advancing the strategic goals of RI and its Foundation. The convention is held in different locations each year, both domestic and international. In 2016, the convention was held in Seoul, South Korea, and attracted 44,607 attendees. 10098720 District Governors - the District Governor is the officer of RI for each grouping of clubs that form a district. The District Governor provides leadership and assistance to clubs within the district. In addition, the Governor ensures continuity in all programs and related operations within the district and acts as a liaison between RI and the district. In FY16, RI has 535 district governors. 5209190 158835 International Assembly - The International Assembly is an annual training meeting of RI designed to inspire and motivate Rotary officers and leaders for the incoming Rotary year. The training allows incoming leaders to interpret and implement the president-elects priorities and initiatives, and also provides an opportunity to discuss and plan their activities during the year. The International Assembly is held once a year every January in San Diego, CA. 47730994 290401 6788331 76228297 false false false false false false false false false true true false false false true false true false true true false false false false false false true false true false false false false false false false false false false false false false true true true false true X 206 0 true 326 true true true true false false true true false X 19 17 false false false false true true false true true false true true true true true true true true true true false X X BERNADETTE KNIGHT 8478663000 1560 SHERMAN AVENUE Evanston IL 602013698 X KR Ravindran President 40.0 0.0 X X 9062 0 11072 John F Germ President Elect 40.0 0.0 X X 8438 0 5630 Greg E Podd Vice President 20.0 0.0 X X 0 0 0 Per Hoyen Treasurer 20.0 0.0 X X 0 0 0 Safak Alpay Director 20.0 0.0 X 0 0 0 Manoj D Desai Director 20.0 0.0 X 0 0 0 Robert L Hall Director 20.0 0.0 X 0 0 0 Bradford R Howard Director 20.0 0.0 X 0 0 0 Jennifer E Jones Director 20.0 0.0 X 0 0 0 Hsiu-Ming Lin Director 20.0 0.0 X 0 0 0 Peter L Offer Director 20.0 0.0 X 0 0 0 Julia D Phelps Director 20.0 0.0 X 0 0 0 Saowalak Rattanavich Director 20.0 0.0 X 0 0 0 Eduardo San Martin Carreno Director 20.0 0.0 X 0 0 0 Takanori Sugitani Director 20.0 0.0 X 0 0 0 Guiller E Tumangan Director 20.0 0.0 X 0 0 0 Jose Ubiracy Silva Director 20.0 0.0 X 0 0 0 Giuseppe Viale Director 20.0 0.0 X 0 0 0 Karen K Wentz Director 20.0 0.0 X 0 0 0 John Hewko General Secretary 26.0 14.0 X 297406 167291 36631 Lori Carlson Chief Financial Officer 20.0 20.0 X 124195 119324 8387 Peter Markos CHief Information Officer 23.0 17.0 X 139820 105479 34167 John Osterlund Chief Dev Officer Thru 5/16 1.0 39.0 X 6159 199152 28728 Michele Berg Chief Prog/Mem; deputy gen sec 31.0 9.0 X 178639 53359 25944 Joe Brownlee Chief Strat Officer Thru 6/16 20.0 20.0 X 103566 99505 33475 Steven Routburg General Counsel 31.0 9.0 X 155378 43824 24031 Jeanette Hamilton Dir of Inv & Treas Thru 2/16 12.0 28.0 X 59699 132878 22912 David Alexander Chief Communications Officer 36.0 4.0 X 175582 21702 28556 Chang Kyu Kim Office Manager, Korea 19.0 21.0 X 86453 93657 6719 Andrew McDonald Deputy General Counsel 27.0 13.0 X 109640 54001 12764 Mitchell Germaine Director of IT 23.0 17.0 X 87297 65857 23614 David Stumpf Controller 19.0 21.0 X 69708 78607 25779 Mark Lowry Director, Operations & Admin 23.0 17.0 X 82855 62504 27668 Peter DeBerge Former Officer Thru 6/14 0.0 0.0 X 66125 37196 8814 1760022 1334336 364891 57 true true false Empresa Brasileira De Comunicacao RUA JOAO ROMALHO 1046 - PERDIZES SAO PAULO BR Stage equipment 2011966 Kims Travel Services Co Ltd 5F YUILD B/D 411-4 GOGOG-DONG SEOUL KS 135-270 Travel service 1018499 New Resources Consulting LLC 1000 N Water St Suite 950 MILWAUKEE WI 53202 IT consulting 597594 Avant Grup Bardet SLU I-08830 SANT BIO DE LLOBREGAT BARCELONA 0 SP Transportation 585346 Conference Systems Inc PSAV 12910 Cloverleaf Center Drive Ste GERMANTOWN MD 20847 Visual/Electronics 579845 47 70684076 70684076 INTERNATIONAL CONVENTION 900099 15178464 15178464 MAGAZINE 541800 6201942 5925493 276449 MEETING REVENUE 900099 246545 246545 OPERATING INCOME - INFOTECH 900099 183002 183002 OPEN WORLD LEADERSHIP PROGRAM 900099 159295 159295 21969248 1526330 66 1526264 0 1162773 1162773 5226147 4365789 860358 0 860358 239102 621256 66559140 14007962 64237006 14889394 2322134 -881432 1440702 1440702 0 0 539820 767104 -227283 -227283 INSURANCE - U.S. CLUBS 524298 1432319 1432319 SERVICE INCOME 900099 231929 231929 CURRENCY EXCHANGE LOSS 900099 -1100117 -1100117 162581 162581 726712 98142916 21860026 515617 5083197 290401 290401 0 0 0 1368910 1122506 246404 0 24720598 20347081 4373517 2889090 2381305 507785 3399141 2765940 633201 1958055 1615455 342600 1893283 1570026 323257 415807 345120 70687 116166 96418 19748 0 0 186869 186869 2836876 2363939 472937 1670148 1394941 275207 2529282 2005317 523965 3496464 977355 2519109 0 2861735 2371167 490568 14969265 11173760 3795505 0 9854235 8142287 1711948 0 0 3310690 2747873 562817 1926181 1606208 319973 DISTRICT GOVERNORS 9123789 9123789 ROTARIAN MAGAZINE 3297353 2736803 560550 EQUIPMENT RENT & MAINTENANCE 756670 608211 148459 COST OF CONSUMABLES 181943 151013 30930 312846 291382 21464 94365797 76228297 18137500 0 14983679 4416834 19884746 36450943 0 0 6636809 7288421 0 0 0 0 418295 445398 214478 445725 4141665 5045184 116676157 81205481 36729648 35470676 38188117 37233824 37839142 30217743 1289925 1392596 0 0 1226950 1257637 161553454 159664981 29177668 24888726 0 0 3863772 8194097 0 0 0 0 0 0 0 0 0 0 0 0 33041440 33082823 X 128512014 126582158 0 0 0 0 128512014 126582158 161553454 159664981 X 3777119 -5652725 -54250 X false true X true false 2230725 2230725 75247244 49262986 25984258 236707 236707 38905222 31649529 7255693 56259 56259 35470676 GLOBAL ASSET ALLOCATION 14939442 F ALTERNATIVE INVESTMENTS 8858327 F REAL ASSET FUNDS 6419974 F 30217743 0 0 X Form 990, Schedule D, Part X, Line 2 FIN 48 (ASC 740) Footnote Rotary International and the Foundation have each received a favorable determination letter from the IRS stating that each is exempt from federal income taxes under the provisions of Sections 501(c)(4) and 501(c)(3), respectively, of the Internal Revenue Code of 1986, as amended, except for income taxes pertaining to unrelated business income. PPH files a corporation income tax return, but is not treated as an insurance company for federal income tax purposes as it is a captive insurance company. Accordingly, premiums (from Rotary) and losses and loss adjustment expenses are excluded from the calculation of taxable income. There was no liability for income tax as of 30 June 2016 and 2015. Infotech is a private limited company registered in India and, as such, is a taxable corporation in India. Under U.S. tax regulations, Infotech is treated as a foreign partnership and all operations are included in Rotary's U.S. tax filings. The Financial Accounting Standards Board (FASB) issued guidance that requires tax effects from uncertain positions to be recognized in the consolidated financial statements only if the position is more likely than not to be sustained if the position were to be challenged by a taxing authority. Management has determined there are no material uncertain positions that require recognition in the consolidated financial statements. Additionally, no provision for income taxes is reflected in the consolidated financial statements and there is no interest or penalties recognized in the consolidated statements of activities or consolidated statements of financial position. The fiscal years ended 2013, 2014, 2015 and 2016 are still open to audit for both federal and Illinois purposes. Central America and the Caribbean Investments 7581182 Europe (Including Iceland and Greenland) Investments 1276973 East Asia and the Pacific 3 20 Program Services Membership Support 1633177 Europe (Including Iceland and Greenland) 1 30 Program Services Membership Support 4346593 South America 2 14 Program Services Membership Support 484554 South Asia 1 18 Program Services Membership Support 573663 South Asia 1 108 Program Services IT Support 2011918 Sub-Saharan Africa 1 Program Services Membership Support 218 8 191 8 191 17908278 17908278 true false true false true true true The Rotary Fdn of Rotary International 1560 Sherman Avenue Evanston IL 602013698 363245072 501(c)(3) 290401 PolioPlus Fund 1 Form 990, Schedule I, Part I, Line 2 Organization's Procedures for Monitoring Grant Funds in the U.S. Rotary International issued one grant in fiscal year ended 30 June 2016 to The Rotary Foundation of Rotary International [501(c)(3)]. Rotary International relies on the grant-monitoring procedures of The Rotary Foundation of Rotary International for the PolioPlus Fund. X X X X X true true X X X X true false false false false false false false false John Hewko General Secretary 297340 167254 0 0 66 37 6211 3494 17233 9693 320850 180478 0 0 Lori Carlson Chief Financial Officer 124143 119274 0 0 52 50 4277 4110 0 0 128472 123434 0 0 Peter Markos CHief Information Officer 137197 103500 0 0 2623 1979 4726 3565 14749 11127 159295 120171 0 0 John Osterlund Chief Dev Officer Thru 5/16 6156 199053 0 0 3 99 219 7077 643 20789 7021 227018 0 0 Michele Berg Chief Prog/Mem; deputy gen sec 175357 52379 0 0 3282 980 5014 1498 14963 4469 198616 59326 0 0 Joe Brownlee Chief Strat Officer Thru 6/16 101562 97579 0 0 2004 1926 3340 3209 13732 13194 120638 115908 0 0 Steven Routburg General Counsel 152474 43005 0 0 2904 819 5421 1529 13323 3758 174122 49111 0 0 Jeanette Hamilton Dir of Inv & Treas Thru 2/16 59667 132807 0 0 32 71 2008 4469 5095 11340 66802 148687 0 0 David Alexander Chief Communications Officer 172923 21373 0 0 2659 329 4079 504 21336 2637 200997 24843 0 0 Chang Kyu Kim Office Manager, Korea 86453 93657 0 0 0 0 0 0 3225 3494 89678 97151 0 0 Andrew McDonald Deputy General Counsel 107611 53002 0 0 2029 999 3631 1788 4921 2424 118192 58213 0 0 Mitchell Germaine Director of IT 86924 65575 0 0 373 282 3019 2277 10441 7877 100757 76011 0 0 David Stumpf Controller 68627 77388 0 0 1081 1219 2485 2802 9631 10861 81824 92270 0 0 Mark Lowry Director, Operations & Admin 82799 62462 0 0 56 42 2961 2234 12810 9663 98626 74401 0 0 Peter DeBerge Former Officer Thru 6/14 0 0 0 0 66125 37196 0 0 5641 3173 71766 40369 0 0 Form 990, Schedule J, Part I, Line 1a First Class or Charter Travel Uncompensated volunteer leaders conduct extensive international travel on behalf of the organization. Rotary International provides business-class airfare for the Board of Directors and the General Secretary. Business-class is available in most markets, but if it is not, first-class or economy airfares are substituted. The President and President-Elect are permitted to use first-class travel, although they may choose business-class or economy travel. Form 990, Schedule J, Part I, Line 1a Housing Allowance or Residence for Personal Use For efficiency, residences near RI headquarters are provided for Rotary International President and President-Elect. Personal use of the residences is reported as taxable income to the recipients. In addition, RI reimburses the President and President-Elect for certain costs associated with maintaining their personal residences while they are traveling on behalf of the association. These expense reimbursements are taxable to the recipients. Form 990, Schedule J, Part I, Line 1a Travel for Companions Rotary International provides for spouse travel if spouse participation assists the organization in achieving its mission. The Rotarian and spouse are required to submit documentation detailing the activities and supporting the bona fide business purpose of the travel. Management reviews the documentation during the expense reimbursement approval process. Form 990, Schedule J, Part I, Line 1a Tax Indemnification and Gross-Up Payments Rotary International does not compensate the President and President-Elects services other than the reimbursement of certain personal expenses related to their services (i.e., the cost to maintain their personal residence, health insurance, etc.) as defined in the Rotary Code of Policies. The expense reimbursements are taxable to the recipients. It is the board policy to pay the presidents for the taxes associated with this income. Form 990, Schedule J, Part I, Line 1a Health or Social Club Dues or Initiation Fees For the President and President-Elect, expenses related to maintaining club memberships are included under the Rotary Code of Policies for personal expenses reimbursement. These expense reimbursements are taxable to the recipient. Form 990, Schedule J, Part I, Line 4a Severance Payment or Change-of-Control Payment One individual ended their employment with the organization and received a severance payment during calendar year 2015. Due to a confidentiality agreement, neither the name nor the amount will be listed. However, the amount has been included in Schedule J, Part II Reportable Compensation. Form 990, Part VII and Schedule J Highest Compensated Employees Rotary International has a highest compensated employee at its office in Zurich, Switzerland, which is currently undisclosed due to potential infringement of local data privacy laws. Salaries for staff at the International Offices are established in their local currency and translated to US dollars for reporting purposes, resulting in potentially large fluctuations in the US dollar reportable equivalent for compensation. Form 990, Part III, Line 4d Other Program Services (Code:___) Expenses $47,740,965 including grants of $290,401 (Revenue $6,786,184) Other program services are in place to coordinate and direct the activities of Rotary International and support the Object of Rotary. The Object of Rotary is to encourage and foster the ideal of service as a basis of worthy enterprise. These other program services support the Object of Rotary by helping Rotary clubs and districts achieve their service goals, expand Rotary membership, and promote their activities to the media and general public. Form 990, Part V, Line 2a Number of Employees on Form W-3 The number of employees reported is the total employee count for the filing organization. While Rotary International is the common paymaster for Rotary International and The Rotary Foundation of Rotary International (TRF), the number of employees does not include the employee count for TRF. Form 990, Part V, Line 4b Name of Foreign Country Argentina Australia Bangladesh Brazil Canada Chile Colombia Denmark Egypt Ethiopia Germany India Japan Nepal Nigeria Norway Pakistan Peru Philippines Republic of South Korea South Africa Sri Lanka Sweden Switzerland Thailand Ukraine United Kingdom Venezuela Form 990, Part V, Line 6b Express Statement that such Contributions or Gifts Were Not Tax Deductible Rotary International does not directly solicit contributions from the general public. The member clubs of Rotary International, also Section 501(c)(4) entities, paid membership dues which are reported on Form 990, Part VIII, LIne 1b as contribution revenue. As such, Rotary International does not directly provide an express statement. Form 990, Part VI, Section A, Line 6 Members or Stockholders The membership of Rotary International consists of Rotary clubs organized and operating in accordance with the RI constitution and bylaws. Form 990, Part VI, Section A, Line 7A Persons Who May Elect One or More Members of the Governing Body The procedures for the selection of Rotary International (RI) officers are stated in the RI bylaws. Nominating committees select nominees for the Board of Directors, including the president. Director nominating committees in each of the 34 worldwide RI zones nominate a director from the membership of the clubs in that zone every fourth year according to a schedule established by the RI Board. Additionally, a 17 member nominating committee for president nominates a president each year (on a rotating basis each zone elects a member of a club in the zone to serve on the nominating committee). There are opportunities for clubs to put forward candidates to challenge the nominated candidates. Each club may vote in the election for president and directors, which takes place at the annual RI Convention. Form 990, Part VI, Section B, Line 11b Review of Form 990 Rotary International's Form 990 is prepared by an independent certified public accounting firm. A draft of the Form 990 is reviewed by the Controller and the Chief Financial Officer. Upon completion of the review process, the return is provided to the Board of Directors, signed by the CFO and filed with the IRS. Form 990, Part VI, Section B, Line 12c Conflict of Interest Policy All directors must disclose any family or business relationships with other directors, trustees of the Rotary Foundation, key employees, or highest compensated independent contractors of Rotary International and The Rotary Foundation as identified annually by the General Secretary. To comply with this policy, directors submit an annual Potential Conflict of Interest Statement, on which they report any previously undisclosed potential conflicts of interest. The RI Executive Committee reviews these reports and works to resolve any actual or potential conflicts. If no resolution is reached, the Committee refers the matter to the Board of Directors and an appropriate action will be taken. A potential conflict of interest is deemed to exist if a majority of directors voting reach an affirmative decision. The director with the potential conflict of interest shall not be present for the vote. In addition, the Operations Review Committee monitors compliance with the Code of Conduct and Conflict of Interest Policy of the organization and the Board of Directors. Key employees and other employees in a position of influence are also required to make annual conflict of interest disclosures. Form 990, Part VI, Section B, Lines 15a & 15b Determination of Compensation The process for determining compensation for the General Secretary, Deputy General Secretary and General Managers was last reviewed in fiscal year 2016. RIs People & Talent team collects data on total compensation (i.e., base salary and benefits) from several sources, including independent compensation consultants, salary surveys, internet sites, professional publications, and information from similar organizations in the same geographic area. People & Talent provides a salary range for the General Secretary, Deputy General Secretary, and General Managers positions and the Operations Review Committee (acting as a compensation advisory committee) and the Executive Committee of the Board of Directors review salary ranges and salary increase parameters for reasonableness. The General Secretarys compensation is based on the terms in the General Secretarys contract. The General Secretary approves salary increases for the Executive Management Team within the salary ranges approved by the Executive Committee of the Board of Directors. This process is contemporaneously documented. Form 990, Part VI, Section C, Line 19 Organizational Documents Available to the Public Rotary International makes its governing documents, conflict of interest policy, and audited financial statements available to the public on the organization's website, www.rotary.org. Form 990, Part XI, Line 9 Other Changes in Net Assets or Fund Balance PPH Activity 30,689. Infotech Tax Adjustments (80,809.) Sponsorship Adjustment (4,130.) ---------- Total (54,250.) The Rotary Fdn of Rotary International 1560 Sherman Avenue Evanston IL 602013698 363245072 Charitable IL 501(c)(3) 07 Rotary Int'l true Rotary International InfoTech SNO 103/123/1 Don Bosco Marg Prune IN 411006 981050532 IT Support IN Rotary Int'l related 274103 1844289 false true 0.99990 PPH National Insurance Co 76 St Paul Street Suite 500 Burlington VT 05401 030370108 CaptiveInsurance VT Rotary Int'l C Corp 30689 5546803 1.00000 true true true false false false false false false false false false false false true true true true true false Rotary International Infotech a 478 Cost The Rotary Foundation of Rotary International b 290401 Cost The Rotary Foundation of Rotary International n 1981531 Cost The Rotary Foundation of Rotary International o 31025444 Cost PPH National Insurance Co o 150642 Cost The Rotary Foundation of Rotary International q 16883319 Cost Rotary International Infotech q 2653016 Cost PPH National Insurance Co q 81287 cost PPH National Insurance Co r 972743 cost