2011-05-12T08:24:49-05:00 2010-12-31 RAFFA PC 1899 L STREET NW SUITE 900 WASHINGTON DC 20036 990 2010-01-01 521081024 INDEPENDENT SECTOR INDE 2024676100 1602 L STREET NW NO 900 WASHINGTON DC 20036 DIANA AVIV 2024676100 2011-05-11 1 FRANK H SMITH 2028225000 2010 2016-02-24 21:20:13Z DIANA AVIV 1602 L STREET NW NO 900 WASHINGTON DC 20036 63509365 0 X WWW.INDEPENDENTSECTOR.ORG X 1980 DC LEADING, STRENGTHENING, AND MOBILIZING THE NONPROFIT AND PHILANTHROPIC COMMUNITY. 23 23 61 275 -101026 -163857 8015098 7867471 669363 412769 85152 96812 -410387 83951 8359226 8461003 0 0 0 0 4960961 4321957 0 0 568605 3848475 3270750 8809436 7592707 -450210 868296 54675853 46508429 32737839 23747394 21938014 22761035 X TO ADVANCE THE COMMON GOOD BY LEADING, STRENGTHENING, AND MOBILIZING THE NONPROFIT AND PHILANTHROPIC COMMUNITY. 0 0 1657536 PUBLIC POLICY - INDEPENDENT SECTOR (IS) PROVIDES LEADERSHIP FOR AND COLLABORATES WITH OUR MEMBERS TO COMMUNICATE TO LAWMAKERS THE VALUE OF THE NONPROFIT COMMUNITY AND TO ADVOCATE FOR FEDERAL POLICIES AND REGULATIONS THAT ADVANCE THE ABILITY OF CHARITABLE ORGANIZATIONS TO SERVE THEIR COMMUNITIES. KEY ACHIEVEMENTS IN 2010 INCLUDED ENSURING THAT HEALTH CARE REFORM LEGISLATION PROVIDED EQUIVALENT INCENTIVES AND ASSISTANCE TO HELP FOR-PROFIT AND NONPROFIT EMPLOYERS PROVIDE HEALTH COVERAGE TO THEIR EMPLOYEES AND THAT JOB CREATION INCENTIVES WERE EQUALLY AVAILABLE TO NONPROFIT AND FOR-PROFIT EMPLOYERS. INDEPENDENT SECTOR CONTINUED TO ADVOCATE FOR TAX INCENTIVES THAT ENCOURAGE ALL AMERICANS TO CONTRIBUTE TO CHARITY AND SUCCEEDED IN STAVING OFF EFFORTS TO CURTAIL TAX DEDUCTIONS FOR CHARITABLE GIFTS AVAILABLE TO TAXPAYERS AT THE HIGHEST INCOME LEVELS. IS AND ITS MEMBERS ALSO WORKED TO ACHIEVE THE EXTENSION OF THE IRA ROLLOVER AND OTHER GIVING INCENTIVES THROUGH 2011. IS HAS BEEN COMMITTED TO ADVANCING THE ABILITY OF NONPROFITS TO ENGAGE IN ADVOCACY EFFORTS ON BEHALF OF THE COMMUNITIES AND CAUSES THEY SERVE, AND TO REMOVE OBSTACLES THAT INHIBIT FUNDERS FROM SUPPORTING THOSE EFFORTS. IN 2010, IS CONDUCTED BRIEFINGS AND PARTICIPATED IN CONGRESSIONAL HEARINGS ON THE IMPACT OF THE JANUARY 2010 SUPREME COURT DECISION IN CITIZENS UNITED V. THE FEDERAL ELECTION COMMISSION.IS USED A VARIETY OF VEHICLES TO CONNECT AND MOBILIZE OUR MEMBERS ON THESE ISSUES, INCLUDING THE PUBLIC POLICY ACTION INSTITUTE AT THE ANNUAL CONFERENCE IN ATLANTA, OUR DAILY EMAIL HIGHLIGHTING KEY POLICY DEVELOPMENTS; MONTHLY LEGISLATIVE UPDATES BY TELECONFERENCE; SPECIAL CALLS; AND WEBSITE. THROUGH THESE AND OTHER EFFORTS, IS STRENGTHENS THE ABILITY OF NONPROFITS AND FOUNDATIONS TO SHAPE KEY PUBLIC POLICIES AND TO STRENGTHEN THE PARTNERSHIP BETWEEN GOVERNMENT AND THE NONPROFIT COMMUNITY. 1315793 398848 ANNUAL CONFERENCE - THE IS ANNUAL CONFERENCE PROVIDES THE PREMIER MEETING GROUND FOR LEADERS FROM ACROSS THE NONPROFIT COMMUNITY, BRINGING TOGETHER LEADERS FROM NONPROFITS, FOUNDATIONS, CORPORATE GIVING PROGRAMS, AND ACADEMIA TO SHARE THEIR EXPERIENCES AND EXPERTISE AND DEVELOP STRATEGIES TO ADDRESS THE CRITICAL ISSUES FACING OUR NATION AND THE WORLD. IN OCTOBER 2010, OVER 900 PEOPLE (INCLUDING 122 ON SCHOLARSHIP) ATTENDED OUR ANNUAL CONFERENCE FEATURING INTERACTIVE SESSIONS INFUSED WITH THE ARTS. ABOUT 150 PARTICIPATED IN OUR PUBLIC POLICY ACTION INSTITUTE - NEARLY DOUBLE THAT OF 2009 - AND 130 IN NGEN PROGRAMMING (FOR NONPROFIT PROFESSIONALS UNDER 40). THE EXPERTISE AND VIBRANCY OF ALL OUR PARTICIPANTS PRODUCED A WORLD-CLASS EXCHANGE OF IDEAS. THE MEETING FEATURED NUMEROUS SESSIONS AND INNOVATIVE FORMATS THAT HELPED PARTICIPANTS EXAMINE HOW TO BUILD LASTING SOLUTIONS TO CURRENT CONDITIONS AND CREATE BRIGHTER FUTURES FOR ORGANIZATIONS AND THE PEOPLE THEY SERVE. IN ADDITION, THE CONFERENCE AGAIN INCLUDED SPECIAL SESSIONS TARGETED AT CEOS. 1198119 7871 NONPROFIT AND PHILANTHROPIC LEADERSHIP AND PRACTICE - INDEPENDENT SECTOR HAS CONTINUED OUR LEADERSHIP IN HELPING OUR MEMBERS AND OTHER NONPROFITS AND FOUNDATIONS OPERATE ETHICALLY AND EFFECTIVELY. TO STRENGTHEN PUBLIC CONFIDENCE IN THE SECTOR, WE DEVELOPED AN ON-LINE RESOURCE CENTER SCHEDULED FOR RELEASE IN 2011. WE CONTINUED TO PROMOTE ACCOUNTABILITY THROUGH EXPANDED DISTRIBUTION OF THE PRINCIPLES FOR GOOD GOVERNANCE AND ETHICAL PRACTICE: A GUIDE FOR CHARITIES AND FOUNDATION AND THE PRINCIPLES WORKBOOK: STEERING YOUR BOARD TOWARD GOOD GOVERNANCE AND ETHICAL PRACTICE. TO DATE, WE'VE HAD AN EYE-POPPING 153,000 REQUESTS FOR THE PRINCIPLES AND OVER 13,000 FOR WORKBOOK. WE ALSO FOCUSED OUR WORK ON IMPACT IN THE SECTOR AND PARTNERED WITH BBB WISE GIVING ALLIANCE AND GUIDESTAR USA ON "CHARTING IMPACT." THIS INITIATIVE HELPS NONPROFITS AND FOUNDATIONS DEFINE THEIR IMPACT AND MORE CLEARLY ARTICULATE HOW THEIR PROGRAMS SERVE SOCIETY. FORTY ORGANIZATIONS HAVE PILOTED "CHARTING IMPACT" AND OUR NONPROFIT EFFECTIVENESS ADVISORY GROUP CONTINUES TO WORK WITH US ON ITS DEVELOPMENT AND ADOPTION. 748683 LEADERSHIP FOR THE FUTURE - BUILDING UPON OUR ENVISIONING OUR FUTURE INITIATIVE, THROUGH WHICH IS IDENTIFIED AND EXAMINED MAJOR TRENDS, CHALLENGES, AND OPPORTUNITIES FACING THE NONPROFIT AND PHILANTHROPIC COMMUNITY OVER THE NEXT 10 YEARS, IS IN 2010 MADE A SIGNIFICANT COMMITMENT TO FRAMING A THREE-YEAR ORGANIZATIONAL STRATEGIC PLAN GROUNDED IN THE TRENDS AND EMERGING ISSUES INFLUENCING THE SECTOR, AND THAT ARTICULATES A VISION FOR IS'S LEADERSHIP OF OUR COMMUNITY, AS WELL AS RELATED STRATEGIES FOR ADVANCING SUCH SOLUTIONS-ORIENTED LEADERSHIP. FOR THE STRATEGIC PLAN PERIOD (2011-13), IS IDENTIFIED THREE PRIMARY AREAS OF FOCUS: VOICE, LEADERSHIP AND IMPACT, AS DESCRIBED BELOW:VOICE: IS WILL FOCUS ON INCREASING THE SECTOR'S PROFILE AND PRODUCTIVE RELATIONSHIPS WITH GOVERNMENT AND BUSINESS, WHICH REQUIRES DEEPENING OUR CONNECTIONS AND IMPACT IN WASHINGTON, DC; LEADERSHIP: IS WILL SEEK TO DEVELOP THE SECTOR'S ADAPTIVE LEADERSHIP CAPACITY AND STRENGTHEN DIVERSE LEADERSHIP PIPELINES TO SUPPORT LEADERS AT EVERY AGE AND CAREER STAGE; AND IMPACT: IS WILL FOCUS ON MEASURING AND COMMUNICATING IMPACT IN WAYS THAT FOSTER COLLABORATION, INCLUDING ESTABLISHING A COMMON FRAMEWORK FOR ORGANIZATIONAL ASSESSMENT AND EFFECTIVENESS. 747082 COMMUNICATIONS - OUR COMMUNICATIONS UTILIZE A VARIETY OF STRATEGIES AND METHODS TO INCREASE AWARENESS AND UNDERSTANDING OF THE VALUE OF THE NONPROFIT COMMUNITY IN THE MEDIA, BY ELECTED OFFICIALS, AND THE PUBLIC, AS WELL AS IN STAFF AT NONPROFITS AND FOUNDATIONS. COVERAGE OF IS HAS APPEARED IN PUBLICATIONS RANGING FROM NATIONAL OUTLETS SUCH AS CBS NEWS, NPR, THE NEW YORK TIMES, THE WALL STREET JOURNAL, THE WASHINGTON POST, AND HUFFINGTON POST, TO TRADE PUBLICATIONS SUCH AS THE CHRONICLE OF PHILANTHROPY, THE NONPROFIT TIMES, AND TAX ANALYSTS. MEDIA REPRESENTATIVES CONTACTED IS FREQUENTLY DURING THE YEAR FOR EXPERTISE ON GIVING, VOLUNTEERING, ETHICS AND ACCOUNTABILITY AND PUBLIC POLICIES AFFECTING THE NONPROFIT COMMUNITY, SUCH AS HEALTH CARE REFORM CREDITS, JOBS PROGRAMS, AND TAX EXEMPTIONS.IS CONTINUES TO IMPROVE OUTREACH TO OUR MEMBERS AND OTHER PARTS OF THE NONPROFIT AND PHILANTHROPIC COMMUNITY, AND OUR CEO WAS FEATURED AT NEARLY 50 HIGH-VISIBILITY SPEAKING ENGAGEMENTS. WE REDEVELOPED OUR WEBSITE, WHICH IMPROVED THE LOOK AND ACCESSIBILITY OF EXISTING MATERIALS AND INTRODUCED INTERACTIVE FEATURES AND A ROBUST SUB-SITE FOR OUR PRINCIPLES OF GOOD GOVERNANCE AND ETHICAL PRACTICE. WE CONTINUE TO EXPAND AND REFINE OUR SOCIAL MEDIA STRATEGY THROUGH FACEBOOK AND TWITTER TO BETTER ENGAGE WITH OUR MEMBERS AND COMMUNICATE THE VALUE OF THE SECTOR. WE PUBLISH DAILY POLICY AND MEDIA DIGESTS TO NEARLY 1,000 PEOPLE AT MEMBER ORGANIZATIONS, PROVIDE TIMELY ALERTS ON KEY ISSUES, AND A MONTHLY MEMBER NEWSLETTER, IS CONNECTS. 1495765 5667213 1 1 0 1 0 0 0 0 0 1 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 1 8 0 1 61 1 1 1 0 0 0 0 0 0 0 0 0 X 23 23 0 0 1 0 1 1 0 1 1 0 0 1 1 1 1 1 1 1 1 0 AR AZ CA CO CT IL KS KY ME MA MD MI MN NC NH NM NY OH OK PA RI SC TN UT VA WA WI AL DC GA FL HI MS NC X X TERRI O'BRIEN 2024676100 1602 L STREET NW 900 WASHINGTON DC 20036 STEPHEN B HEINTZ 5.00 X X 0 0 0 KELVIN H TAKETA 5.00 X X 0 0 0 LORIE A SLUTSKY 5.00 X X 0 0 0 GARY L YATES 5.00 X X 0 0 0 ELLEN S ALBERDING 2.00 X 0 0 0 SUSAN V BERRESFORD 2.00 X 0 0 0 ROBERT W BRIGGS 2.00 X 0 0 0 KYLE CALDWELL 2.00 X 0 0 0 RALPH B EVERETT 2.00 X 0 0 0 BRIAN A GALLAGHER 2.00 X 0 0 0 IRENE HIRANO 2.00 X 0 0 0 RISA LAVIZZO-MOUREY 2.00 X 0 0 0 BERNARD J MILANO 2.00 X 0 0 0 MARIAM C NOLAND 2.00 X 0 0 0 MICHAEL S PIRAINO 2.00 X 0 0 0 WENDY D PURIEFOY 2.00 X 0 0 0 REY RAMSEY 2.00 X 0 0 0 PAUL SCHMITZ 2.00 X 0 0 0 REV LARRY SNYDER 2.00 X 0 0 0 ROBERTO SURO 2.00 X 0 0 0 LUZ A VEGA-MARQUIS 2.00 X 0 0 0 RICHARD B WILLIAMS 2.00 X 0 0 0 RUTH WOODEN 2.00 X 0 0 0 DIANA AVIV 40.00 X 439803 0 54102 PATRICIA READ 40.00 X 199407 0 28924 CLAIRE WELLINGTON 40.00 X 152063 0 19965 CHRIS BAVOLACK 40.00 X 138421 0 15156 ELIZABETH KOHM 40.00 X 121676 0 14013 TERRI O'BRIEN 40.00 X 118909 0 521 LORRAINE SNEBOLD 40.00 X 129951 0 11171 1300230 0 143852 7 0 1 0 OFFICE IT SOLUTIONS 3509 CONNECTICUT AVE NW 705 WASHINGTON DC 20008 TECHNOLOGY 317832 MARRIOTT BUSINESS SERVICES PO BOX 403003 ATLANTA GA 303843003 CONFERENCE SERVICES 298634 WASHINGTON COUNCIL 1150 17TH STREET NW 601 WASHINGTON DC 20036 LEGISLATIVE ASSISTANCE 210000 ARENT FOX LLP 1050 CONNECTICUT AVE NW WASHINGTON DC 200365339 LEGAL SERVICES 207091 CBRE 750 9TH ST NW 900 WASHINGTON DC 200014516 PROPERTY MGMT SERVICES 202034 8 2984440 4883031 7867471 CONFERENCE FEES 900004 404898 398848 6050 PUBLICATION SALES 900099 7871 7871 412769 99043 99043 1343960 1525759 -181799 -181799 -146795 -35004 53520372 53522603 -2231 -2231 -2231 SETTLEMENT INCOME 900099 120000 120000 SUBLEASE INCOME 900099 106031 106031 PARKING SERVICES 812930 39719 39719 265750 8461003 406719 -101026 287839 894264 472227 387464 34573 2852367 1456987 1132749 262631 137744 70699 52873 14172 192950 95133 80983 16834 244632 125367 99633 19632 17341 17341 38126 38126 17583 17583 984888 642062 342251 575 103664 51956 51708 227863 132723 91728 3412 46658 13861 32797 1064966 539924 462589 62453 65593 54625 10968 493186 481087 11341 758 193099 193099 17783 17783 ALLOCATED COSTS 0 1530562 -1684127 153565 7592707 5667213 1356889 568605 608108 333215 13789155 6088951 2024088 2623314 101843 230128 59200 42849 35755561 3046111 33645862 32709450 3153543 2957625 1294054 1522897 54675853 46508429 1646589 473694 31000000 23000000 91250 273700 32737839 23747394 X 17537284 18399744 4400730 4361291 21938014 22761035 54675853 46508429 X 868296 -45275 X 0 1 1 X 0 X 8372913 5649914 8063257 8015098 7867471 37968653 8372913 5649914 8063257 8015098 7867471 37968653 7417059 30551594 651666 833608 607335 257346 463840 2813795 120000 120000 40902448 4601330 0.74690 0.74160 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 15366 46098 61464 6244269 6305733 465287 116322 0 0 482301 604010 587869 465287 2139467 3209201 6409 40314 185157 61464 293344 120575 151003 146967 116322 534867 802301 641 25032 36914 15366 77953 5391820 5391820 26728691 1948967 24779724 2288910 240064 2048846 1346140 857080 489060 32709450 SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN 126784 DEFERRED RENT 52353 DEPOSITS HELD IN ESCROW 94563 273700 8461003 7592707 868296 -45275 -45275 823021 10101173 -45275 199405 1486040 1640170 8461003 0 8461003 9278152 199405 1486040 1685445 7592707 0 7592707 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: INDEPENDENT SECTOR PERFORMED AN EVALUATION OF UNCERTAIN TAX POSITIONS FOR THE YEAR ENDED DECEMBER 31, 2010, AND DETERMINED THAT THERE WERE NO MATTERS THAT WOULD REQUIRE RECOGNITION IN THE CONSOLIDATED FINANCIAL STATEMENTS OR THAT MAY HAVE ANY EFFECT ON ITS TAX-EXEMPT STATUS. PART XII, LINE 2D - OTHER ADJUSTMENTS: RENTAL EXPENSES 1,525,759. PARKING SERVICES REVENUE -39,719. PART XIII, LINE 2D - OTHER ADJUSTMENTS: RENTAL EXPENSES 1,525,759. PARKING SERVICES REVENUE -39,719. X X X X 0 0 0 0 0 0 0 0 0 DIANA AVIV 419803 0 20000 0 0 0 47289 0 6813 0 493905 0 0 0 PATRICIA READ 199407 0 0 0 0 0 20500 0 8424 0 228331 0 0 0 CLAIRE WELLINGTON 152063 0 0 0 0 0 12308 0 7657 0 172028 0 0 0 CHRIS BAVOLACK 138421 0 0 0 0 0 7400 0 7756 0 153577 0 0 0 DISTRICT OF COLUMBIA 566001131 NONEAVAIL 1920-06-01 15000000 TO REFINANCE PURCHASE OF HEADQUARTERS BUILDING 0 0 0 15000000 15000000 2008 0 0 1 1 1 0 0 0 1 1 1 1 0 0 0 0 0 0 FORM 990, PART VI, SECTION A, LINE 4 DURING 2010, IS AMENDED THE ORGANIZATIONS ARTICLES TO CHANGE THE MISSION STATEMENT IN DESCRIBING THE SCOPE OF THE COMMUNITY SERVED BY IS, SUBSTITUTING THE WORDS "NONPROFIT AND PHILANTHROPIC" FOR "CHARITABLE". THE MISSION NOW READS, LEADING, STRENGTHENING, AND MOBILIZING THE CHARITABLE COMMUNITY. FORM 990, PART VI, SECTION A, LINE 6 IS HAS MEMBERS THAT HELP SUPPORT THE MISSION OF THE ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 7A THERE IS ONLY ONE CLASS OF VOTING MEMBERS AND THEY HAVE THE AUTHORITY TO APPROVE CHANGES IN THE ARTICLES OF INCORPORATION AND BY-LAWS, MEMBERSHIP DUES AND/OR DUES ASSESSMENT METHODOLOGY, MEMBERSHIP ELIGIBILITY CRITERIA, ELECT DIRECTORS OF THE ORGANIZATION OTHER THAN THE PRESIDENT, AFFIRM MAJOR POLICIES AND LEGISLATIVE ACTIONS BY THE BOARD, AS APPROPRIATE, AND ADOPT RESOLUTIONS ON NATIONAL ISSUES OF CONCERNS TO THE MEMBERSHIP, AS APPROPRIATE. FORM 990, PART VI, SECTION B, LINE 11 PRIOR TO FILING, THE FORM 990 IS PRESENTED TO INDEPENDENT SECTOR'S AUDIT COMMITTEE FOR REVIEW AND APPROVAL. THE CHIEF FINANCIAL OFFICER ALSO REVIEWS THE FORM 990, IN DETAIL, WITH THE PRESIDENT AND CHIEF EXECUTIVE OFFICER PRIOR TO OBTAINING THE CEO'S SIGNATURE ON THE DOCUMENT. AT THE NEXT REGULARLY SCHEDULED BOARD MEETING, THE FORM 990 IS ALSO PRESENTED TO THE FULL BOARD OF DIRECTORS FOR REVIEW. THE FORM 990 IS DISTRIBUTED IN ADVANCE OF THE BOARD MEETING IN ORDER TO ENSURE THAT DIRECTORS HAVE AN OPPORTUNITY FOR MEANINGFUL REVIEW. IN ADDITION, TO ALLOW ALL DIRECTORS THE OPPORTUNITY TO GAIN A FULL UNDERSTANDING OF THE DOCUMENT, INDEPENDENT SECTOR'S AUDITORS PARTICIPATE IN THE BOARD MEETING IN ORDER TO RESPOND TO ANY QUESTIONS THAT DIRECTORS MAY HAVE. FORM 990, PART VI, SECTION B, LINE 12C EACH YEAR, BOARD MEMBERS ARE ASKED TO REVIEW INDEPENDENT SECTOR'S CONFLICT OF INTEREST POLICY AND TO COMPLETE A CONFLICT OF INTEREST DISCLOSURE STATEMENT. AMONG OTHER THINGS, THE POLICY MAKES CLEAR THAT ALL DECISIONS OF THE BOARD, OFFICERS AND EMPLOYEES OF INDEPENDENT SECTOR ARE TO BE MADE SOLELY ON THE BASIS OF A DESIRE TO PROMOTE THE BEST INTERESTS OF THE ORGANIZATION AND THE PUBLIC GOOD. THE DISCLOSURE STATEMENT, IN TURN, REQUESTS THAT DIRECTORS IDENTIFY, TO THE BEST OF THEIR KNOWLEDGE, AFFILIATIONS WITH ORGANIZATIONS THAT MAY BE POTENTIALLY RELATED TO THE FINANCIAL OR OTHER SUBSTANTIVE OPERATIONS OF INDEPENDENT SECTOR. THEY ARE ALSO ASKED TO IDENTIFY CIRCUMSTANCES INVOLVING EITHER THEMSELVES, OR A MEMBER OF THEIR EXTENDED FAMILY, THAT MAY BE CONSTRUED AS A CONFLICT OF INTEREST. IF SUCH CIRCUMSTANCE SHOULD ARISE SUBSEQUENT TO SUBMITTING THE DISCLOSURE STATEMENT, THE POLICY SETS FORTH AN ONGOING DISCLOSURE REQUIREMENT. AT THE STAFF LEVEL, INDEPENDENT SECTOR PERSONNEL ALSO ENSURE THAT THERE ARE NO CONFLICTS OF INTEREST WHEN CONSIDERING ENGAGEMENT OF A NEW VENDOR. IF A POTENTIAL CONFLICT IS IDENTIFIED, APPROPRIATE STEPS ARE TAKEN BOTH TO ASSESS THE NATURE OF THE POTENTIAL CONFLICT AND, SUBSEQUENTLY, TO ENSURE THAT THE POSSIBILITY OF AN ACTUAL CONFLICT IS MITIGATED. SUCH MITIGATION MAY BE ACHIEVED THROUGH THE RECUSAL OR FIREWALLING OF THE INDIVIDUAL IN QUESTION, THUS ENSURING THAT THE CONFLICT IS MANAGED AND THE LETTER AND SPIRIT OF THE CONFLICTS POLICY ARE UPHELD. IN ADDITION, WE NOTE THAT DURING THE ANNUAL AUDIT STAFF IDENTIFY AND DISCLOSE TO AUDITORS ALL KNOWN CONFLICTS OF INTEREST. FORM 990, PART VI, SECTION B, LINE 15 APART FROM THE ORGANIZATION'S PRESIDENT AND CHIEF EXECUTIVE OFFICER, INDEPENDENT SECTOR'S OFFICERS (CHAIR, VICE CHAIR, SECRETARY, AND TREASURER) DO NOT RECEIVE COMPENSATION FROM THE ORGANIZATION. AN ANNUAL COMPENSATION REVIEW PROCESS FOR THE CEO TAKES PLACE UNDER THE LEADERSHIP OF THE BOARD CHAIR AND EXECUTIVE COMMITTEE. AN OUTSIDE CONSULTANT IS RETAINED OR SALARY SURVEYS ARE REVIEWED TO PROVIDE INDUSTRY COMPARABLE SALARY DATA. AN INTERMEDIATE SANCTIONS ANALYSIS AND RELATED DOCUMENTATION ARE ALSO COMPLETED. THE EXECUTIVE COMMITTEE HAS RESPONSIBILITY FOR MAKING FINAL RECOMMENDATIONS TO THE FULL BOARD OF DIRECTORS REGARDING THE PRESIDENTS PERFORMANCE EVALUATION AND COMPENSATION. THE BOARD OF DIRECTORS MAKES A FINAL DETERMINATION WITH REGARD TO THESE MATTERS. WITH REGARD TO STAFF COMPENSATION, THE PRESIDENT AND CEO, VICE PRESIDENTS, AND APPROPRIATE STAFF MANAGERS ALSO COMPLETE ANNUAL PERFORMANCE EVALUATIONS AND ARE ASKED TO MAKE RECOMMENDATIONS REGARDING COMPENSATION. EVERY OTHER YEAR, FOR ALL STAFF OTHER THAN THE PRESIDENT AND CEO, IS UTILIZES INDUSTRY-COMPARABLE DATA IN MAKING DETERMINATIONS REGARDING THE RANGE OF SALARIES. THE PRESIDENT AND CEO MAKES ALL FINAL DETERMINATIONS RELATIVE TO STAFF COMPENSATION. FORM 990, PART VI, SECTION C, LINE 19 INDEPENDENT SECTOR'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC. THE ANNUAL AUDIT, 990 AND 990T, BOARD OF DIRECTORS LIST, AND IS POLICIES (CONFLICT OF INTEREST, FINANCIAL RESPONSIBILITY, GIFTS AND ENTERTAINMENT, RECORDS RETENTION AND TRAVEL) ARE ALL AVAILABLE TO THE PUBLIC ON THE ORGANIZATION'S WEBSITE (WWW.INDEPENDENTSECTOR.ORG). CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED LOSSES ON INVESTMENTS: -45,275. 1602 IS LLC 1602 L STREET NW WASHINGTON DC 20036 543219877 BUILDING MANAGEMENT DC 2563961 35884240 INDEPENDENT SECTOR