2013-06-20T14:52:39-05:00 2012-12-31 450250958 EIDE BAILLY LLP 1850 N CENTRAL AVE SUITE 400 PHOENIX AZ 850044527 990 2012-01-01 860197576 FRANK LLOYD WRIGHT FOUNDATION FRAN 4808602700 PO BOX 4430 SCOTTSDALE AZ 852614430 LISA MURPHY 4808602700 2013-06-13 1 BRENDA A BLUNT P00075126 6022645844 2013-05-29 2012 2016-02-24 21:20:13Z SEAN MALONE PO BOX 4430 SCOTTSDALE AZ 852614430 14652632 0 X WWW.FRANKLLOYDWRIGHT.ORG X 1965 AZ PRESERVE AND STEWARD TALIESIN, TALIESIN WEST, AND THE TALIESIN COLLECTIONS. (CONT'D ON SCH. O) TRANSFORM PEOPLE'S LIVES THROUGH THE LIVING EXPERIENCE OF FRANK LLOYD WRIGHT'S BODY OF WORK. SHAPE ARCHITECTURE AND DESIGN AT THE HIGHEST LEVEL. 14 14 109 47 0 0 2548073 1922711 5436645 10835361 26517 13901 984861 1033115 8996096 13805088 0 0 0 0 3056924 3695025 0 0 392015 3314688 3491418 6371612 7186443 2624484 6618645 14403285 20020486 2617265 1566474 11786020 18454012 X PRESERVE AND STEWARD TALIESIN, TALIESIN WEST, AND THE TALIESIN COLLECTIONS. TRANSFORM PEOPLE'S LIVES THROUGH THE LIVING EXPERIENCE OF FRANK LLOYD WRIGHT'S BODY OF WORK. SHAPE ARCHITECTURE AND DESIGN AT THE HIGHEST LEVEL. 0 0 1321068 BUILDING PRESERVATION - THE FRANK LLOYD WRIGHT FOUNDATION INVESTS CAPITAL AND CONSIDERABLE EFFORT IN ORDER TO PROTECT, MAINTAIN, AND RESTORE THE ARCHITECTURALLY HISTORIC STRUCTURES AND SPACES THAT COMPRISE ITS CAMPUSES IN BOTH SCOTTSDALE, ARIZONA AND SPRING GREEN, WISCONSIN. 1669431 580777 FRANK LLOYD WRIGHT FOUNDATION SCHOOL OF ARCHITECTURE - THE FOUNDATION OFFERS A FULLY ACCREDITED BACHELORS AND MASTERS DEGREE PROGRAM IN ARCHITECTURE TO APPROXIMATELY 26 STUDENTS ANNUALLY. 946487 2942684 VISITATION PROGRAM - THE FRANK LLOYD WRIGHT FOUNDATION OFFERS TOURS AND EDUCATIONAL OUTREACH PROGRAMS TO INCREASE PUBLIC AWARENESS OF THE WORKS OF FRANK LLOYD WRIGHT AND THE FIELD OF ARCHITECTURE. OVER 108,350 VISIT THE HISTORIC SCOTTSDALE, ARIZONA LANDMARK ANNUALLY. 1954925 8207897 BOOKSTORE - EXPENSES 569,373; REVENUE 895,997LICENSING PROGRAM - EXPENSES 435,958; REVENUE 1,342,102ARCHIVES - EXPENSES 380,189; REVENUE 5,882,338EDUCATIONAL OUTREACH - EXPENSES 436,669; REVENUE 64,930MISCELLANEOUS PROGRAM - EXPENSES 132,736; REVENUE 22,530 1954925 8207897 5891911 1 1 0 0 0 0 1 1 0 1 1 0 0 1 1 1 1 0 1 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 69 0 1 109 1 0 0 0 0 0 0 0 0 0 0 X 14 14 0 0 1 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 AZ X X LISA MURPHY 4806275384 PO BOX 4430 SCOTTSDALE AZ 85261 DANIEL MARQUARDT 10.00 X 0 0 0 JEFFREY GRIP 10.00 X X 0 0 0 MICHAEL BIERUT 10.00 X 0 0 0 DAVID MOHNEY 10.00 X 0 0 0 DONALD FAIRWEATHER 10.00 X 0 0 0 SANDRA SHANE-DUBOW 10.00 X 0 0 0 JOHN DICIURCIO 10.00 X 0 0 0 JOHN CUMMERFORD 10.00 X X 0 0 0 ANNE KREAMER 10.00 X 0 0 0 CARMEN LONSTEIN 10.00 X 0 0 0 SUSAN JACOBS-LOCKHART 10.00 X 0 0 0 ALANNA MACK 10.00 X X 0 0 0 THOMAS WRIGHT 10.00 X 0 0 0 STEVEN ZYLSTRA 10.00 X 0 0 0 ANNE MALEY 40.00 X 36315 0 0 LISA MURPHY 40.00 X 144698 0 6841 SEAN MALONE 40.00 X 190721 0 23395 371734 0 30236 2 0 1 0 NAMC 47421 N 31ST AVE NEW RIVER AZ 85087 CONSTRUCTION CONTRACTOR 320705 ORLANDO KING 1729 E FREMONT ROAD PHOENIX AZ 85042 PLUMBING CONTRACTOR 107450 2 1922711 1203097 1922711 ARCHIVE AND EXHIBITION 900099 5882338 5882338 VISITATION PROGRAM 900099 2942684 2942684 LICENSING PROGRAM 900099 1342102 1342102 ARCHITECTURAL SCHOOL TUITION & FE 611110 580777 580777 EDUCATIONAL OUTREACH 900099 64930 64930 22530 22530 10835361 18299 18299 133017 0 133017 133017 133017 4398 -4398 -4398 -4398 11750 7649 4101 4101 1731494 835497 895997 895997 13805088 11731358 0 151019 331523 278047 16411 37065 2865600 2307566 410618 147416 237649 187924 36868 12857 260253 133995 103930 22328 80588 43847 36221 520 14900 14900 453377 421233 24326 7818 136807 137394 -590 3 227217 111278 110739 5200 163069 149505 -1413 14977 132736 132736 198755 177402 19004 2349 134572 119833 6692 8047 460590 415150 39854 5586 181804 124705 49391 7708 REPAIRS & MAINTENANCE 468445 468973 -583 55 PROGRAM & SPECIAL ACTIV 340820 240505 19486 80829 MISCELLANEOUS EXPENSES 136863 98604 18553 19706 INTEREST/BANK FEES 125579 109576 12741 3262 235296 218738 269 16289 7186443 5891911 902517 392015 313962 198260 101004 1041566 740747 2179975 0 2593570 527999 527304 95108 192223 14954503 6196130 7056223 8758373 1250165 968256 4318077 3560959 14403285 20020486 622161 565538 1285160 360381 90397 55746 619547 584809 2617265 1566474 X 9126152 16805519 2541415 1528040 118453 120453 11786020 18454012 14403285 20020486 6618645 49347 0 X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED X X 1 5.00 2 0 0 2 1 22360.00 1300000 1 115626 2564347 X X X X 0 118453 2000 2717 2717 120453 111242 7211 4132 4132 118453 110242 1000 8296 8296 111242 109242 1000 110242 103323 5919 109242 1.00000 0 0 870573 870573 8983510 4142752 4840758 3427819 1665985 1761834 1672601 387393 1285208 8758373 ARCHIVE, ART OBJECTS AND DRAWING LIBRARY 2564347 BENEFICIAL INTEREST IN TRUST 996612 3560959 ANNUITY CONTRACT 584809 584809 X 14741571 49347 176726 843146 1069219 13672352 132736 132736 13805088 8073579 176726 843146 1019872 7053707 132736 132736 7186443 DESCRIPTION OF HOW ORGANIZATION REPORTS CONSERVATION EASEMENTS: PART II, LINE 9: THE CONSERVATION AND HISTORIC STRUCTURE EASEMENTS WERE PUT IN PLACE BY THE FOUNDATION ON PROPERTY IT ALREADY HAD. THE EXPENSES ASSOCIATED WITH PLACING THE EASEMENTS WERE EXPENSED AS INCURRED. THE REAL PROPERTIES UPON WHICH THE EASEMENTS WERE PLACED ARE CARRIED ON THE FOUNDATION'S BOOKS AT HISTORIC COST. PART III, LINE 4: UNTIL SEPTEMBER 2012, THE MAJORITY OF THE COLLECTIONS WERE ORIGINAL DRAWINGS OF THE LATE FRANK LLOYD WRIGHT. THE COLLECTIONS ARE HELD IN A PUBLIC TRUST, MAKING THEM ACCESSIBLE TO THE PUBLIC FOR RESEARCH, EXHIBITION, AND PUBLICATION. THE FOUNDATION PROVIDED ACCESS TO THE COLLECTION FOR RESEARCH THREE DAYS PER WEEK, WITHOUT CHARGE. THE ARCHIVES/DRAWINGS OF FRANK LLOYD WRIGHT WILL BE TRANSFERRED TO A MUSEUM IN 2013. DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: FOUNDATION ENDOWMENTS EXIST FOR THE PURPOSES OF PROVIDING SCHOLARSHIPS TO DESERVING STUDENTS. INTEREST EARNED ON THE ENDOWMENTS ARE APPLIED TO SEVEN DIFFERENT SCHOLARSHIPS, EACH REPRESENTING A DIFFERENT AREA OF SCHOLARLY EXCELLENCE. DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: THE FOUNDATION BELIEVES THAT IT HAS APPROPRIATE SUPPORT FOR ANY TAX POSITIONS TAKEN AFFECTING ITS ANNUAL FILING REQUIREMENTS, AND AS SUCH, DOES NOT HAVE ANY UNCERTAIN TAX POSITIONS THAT ARE MATERIAL TO THE FINANCIAL STATEMENTS. PART XI, LINE 2D - OTHER ADJUSTMENTS: COGS INCLUDED IN EXPENSES FOR FINANCIAL STATEMENTS 835,497. SPECIAL EVENT EXPENSES 7,649. PART XI, LINE 4B - OTHER ADJUSTMENTS: ROYALTY FEES NETTED WITH REVENUE FOR FINANCIAL STATEMENTS 132,736. PART XII, LINE 2D - OTHER ADJUSTMENTS: COGS INCLUDED IN EXPENSES FOR FINANCIAL STATEMENTS 835,497. SPECIAL EVENT EXPENSES 7,649. PART XII, LINE 4B - OTHER ADJUSTMENTS: ROYALTY FEES NETTED WITH REVENUE FOR FINANCIAL STATEMENTS 132,736. PART V, ENDOWMENT FUNDS. PRIOR YEARS HAVE BEEN RESTATED TO CORRECT THE IDENTIFICATION OF ENDOWMENT FUNDS WHICH HAD INCLUDED ALL INVESTED FUNDS RATHER THAN JUST THOSE INVESTMENTS THAT ARE TEMPORARILY RESTRICTED, PERMENANTLY RESTRICTED OR A QUASI-ENDOWMENT. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 1 0 1 EXPLANATION OF NONDISCRIMINATORY POLICY PUBLICATION SCHEDULE E, PART I, LINE 3 THE FRANK LLOYD WRIGHT FOUNDATION SATISFIES THE PUBLICITY REQUIREMENT OF SECTION 4.02(1)(A) OF IRC REV. PROC 75-50 BY COMPLYING WITH SECTION 4.02 OF SUCH REV. PROC. AS IS PERMITTED BY 4.03(2)(B) THEREOF. THE FOUNDATION'S RACIALLY NONDISCRIMINATION INFORMATION BULLETINS, ETC. DEALING WITH STUDENT ADMISSIONS, PROGRAMS, AND SCHOLARSHIPS, READS AS FOLLOWS: NOTICE OF NONDISCRIMINATORY POLICY AS TO STUDENTS: THE FRANK LLOYD WRIGHT SCHOOL OF ARCHITECTURE ADMITS STUDENTS OF ANY RACE, COLOR, NATIONAL AND ETHNIC ORIGIN TO ALL THE RIGHTS, PRIVILEGES, PROGRAMS AND ACTIVITIES GENERALLY ACCORDED OR MADE AVAILABLE TO STUDENTS OF THE SCHOOL. IT DOES NOT DISCRIMINATE ON THE BASIS OF RACE, COLOR, SEX, NATIONAL POLICIES, ADMISSIONS POLICIES, SCHOLARSHIPS AND LOAN PROGRAMS AND ATHLETIC AND OTHER SCHOOL ADMINISTRATIVE PROGRAMS. ADDITIONALLY, THE FOUNDATION, PRIOR TO ITS ORGANIZATION AS A 501(C)(3) ORGANIZATION EFFECTIVE JULY 1, 1983, MAINTAINED A RACIALLY NONDISCRIMINATORY POLICY,(CONTINUED BELOW) EXPLANATION OF GOVERNMENT FINANCIAL ASSISTANCE SCHEDULE E, PART I, LINE 6 THE SCHOOL OF ARCHITECTURE RECEIVED PASS THROUGH FEDERAL STUDENT FINANCIAL AID TITLE IV MONIES FOR THE STUDENTS. CONTINUATION OF NONDISCRIMINATION POLICY: FORM 990, SCH E, PART II WHICH ENABLED IT TO QUALIFY FOR FEDERAL CONTRACTS AND PURCHASE ORDERS GOVERNED BY THE EQUAL OPPORTUNITY EMPLOYMENT LAWS, WITH AGENCIES SUCH AS THE U.S. POSTAL SERVICE, GENERAL SERVICES ADMINISTRATION, CORPS OF ENGINEERS, DEPARTMENT OF THE ARMY, AND THE BUREAU OF RECLAMATION. EAST ASIA AND THE PACIFIC 0 0 PROGRAM SERVICES 6 LICENSING CONTRACTS EUROPE 0 0 PROGRAM SERVICES 3 LICENSING CONTRACTS 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 X X X X 0 0 0 0 0 0 0 0 0 LISA MURPHY 144698 0 0 0 0 0 0 0 7027 0 151725 0 0 0 SEAN MALONE 190721 0 0 0 0 0 0 0 26852 0 217573 0 0 0 X 8 3390 EXPERT OPINION X 2935 EXPERT OPINION X 12 168071 COST OF DONATED PROPERTY X 1 100 COST OF DONATED PROPERTY X 2 13250 EXPERT OPINION X SOLAR PANEL ARRAY & RELATED INFRASTRUCTURE 3 1203097 REPLACEMENT COST 0 1 0 FORM 990, PART VI, SECTION A, LINE 4 THE FOLLOWING CHANGES HAVE BEEN MADE TO PART IV OF THE BYLAWS: SECTION 4.1 ADDED THAT THE BOARD OF TRUSTEES SHALL INCLUDE A MINIMUM OF THREE (3) PERSONS WHO ARE MEMBERS OF THE FRANK LLOYD WRIGHT SCHOOL OF ARCHITECTURE BOARD OF GOVERNORS, BUT NOT ITS CHAIR. SECTION 4.2 TITLED "TERMS" CHANGED TO STATE THAT THE TERMS OF THE TRUSTEES SHALL BE STAGGERED WITH THE GOAL OF HAVING APPROXIMATELY ONE-THIRD (1/3) OF THE TERMS EXPIRE AT THE CONCLUSION OF EACH ANNUAL MEETING. THE DURATION OF THE INITIAL TERM SHALL BE ESTABLISHED AT THE TIME OF ELECTION AND SHALL NOT EXCEED EIGHTEEN (18) MONTHS. AT THE END OF THE INITIAL TERM, A TRUSTEE SHALL BE ELIGIBLE FOR NO MORE THAN TWO CONSECUTIVE THREE (3) YEAR TERMS. FORM 990, PART VI, SECTION B, LINE 11 A DRAFT OF THE 990 AND RELATED SCHEDULES ARE EMAILED TO ALL MEMBERS OF THE FINANCE COMMITTEE FOR REVIEW. UPON CONFIRMATION THAT THE FINANCE COMMITTEE DOES NOT RECOMMEND ANY FURTHER CHANGES, THE RETURN IS PROVIDED TO THE ENTIRE GOVERNING BODY PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C THE FOUNDATION'S CONFLICT OF INTEREST POLICY MUST BE CONSULTED AND SATISFIED PRIOR TO ENTERING INTO ANY TRANSACTION OR ARRANGEMENT COVERED BY SUCH POLICY. THE TRUSTEES AND OFFICERS OF THE FOUNDATION MUST ANNUALLY ACKNOWLEDGE SUCH POLICY CONSISTENT WITH THE PROVISIONS OF SUCH POLICY. POTENTIAL CONFLICTS ARE REVIEWED BY THE NON-CONFLICTED TRUSTEES OR COMMITTEE MEMBERS AND THEY SHALL DECIDE IF A CONFLICT EXISTS. IF A CONFLICT IS DETERMINED TO EXIST, THE FOUNDATION WILL EXPLORE CONFLICT-FREE OPTIONS, AND IF SUCH OPTIONS ARE FEASIBLE, THEN THE DISINTERESTED TRUSTEES VOTE ON WHETHER OR NOT TO ENTER INTO THE CONFLICTED TRANSACTION OR ARRANGEMENT. FORM 990, PART VI, SECTION B, LINE 15 COMPENSATION OF THE FOUNDATION'S PRESIDENT AND CEO, AS WELL AS OTHER CORPORATE OFFICERS, IS RECOMMENDED BY THE OUTSIDE FIRM RESPONSIBLE FOR THE RECRUITMENT PROCESS, AND IS ULTIMATELY RATIFIED AND APPROVED BY THE BOARD OF TRUSTEES. THE LATTER BODY INCLUDES A PRESIDENTIAL SEARCH COMMITTEE WHICH MEETS REGULARLY DURING THE HIRING PROCESS OF A NEW PRESIDENT AND CEO AND WHO DEVOTES SUBSTANTIAL TIME AND CONSIDERATION TO THE DECISION. FOR ALL SENIOR MANAGEMENT POSITIONS, THE FOUNDATION CONSULTS MARKET SURVEYS, AND EMPLOYS SLOTTING TECHNIQUES AND COMPARABILITY ANALYSIS IN THE DETERMINATION OF APPROPRIATE COMPENSATION. THIS PROCESS WAS LAST UNDERTAKEN IN 2011. FORM 990, PART VI, SECTION C, LINE 19 THE FOUNDATION'S ARTICLES OF INCORPORATION, BYLAWS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE AVAILABLE UPON WRITTEN, EMAILED, OR TELEPHONE REQUEST, OR, IF REQUESTED IN PERSON, AT THE COMPANY'S HEADQUARTERS IN SCOTTSDALE, ARIZONA.