2024-03-15T22:55:16-05:00 2023-04-30 133628255 CONDON O'MEARA MCGINTY & DONNELLY LLP ONE BATTERY PARK PLAZA 7TH FL NEW YORK NY 10004 990 2022-05-01 131467730 THE WESTMINSTER KENNEL CLUB WEST 2122133165 111 BROADWAY 805 NEW YORK NY 10006 DONALD STURZ JR PRESIDENT 2122133165 2024-03-15 1 DONALD STURZ JR 999009999 0 ALEXANDER LAZZARUOLO P01775353 2126617777 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z DONALD STURZ JR 111 BROADWAY 805 NEW YORK NY 10006 9446805 0 X WWW.WESTMINSTERKENNELCLUB.ORG X 1877 NY TO INCREASE INTEREST IN DOGS, IMPROVE BREEDS AND HOLD ANNUAL DOG SHOW IN NEW YORK CITY 12 12 12 12 0 0 11357 6800 6544925 7349837 8978 90168 0 0 6565260 7446805 85616 79320 0 0 1341268 1403964 0 0 0 4927130 6617950 6354014 8101234 211246 -654429 9311622 9495757 3043457 3882021 6268165 5613736 X THE WESTMINSTER KENNEL CLUB ("WKC") WAS ESTABLISHED TO INCREASE INTEREST IN DOGS, IMPROVE BREEDS AND HOLD ANNUAL DOG SHOW IN NEW YORK CITY. PLEASE REFER TO SCHEDULE O FOR A COMPLETE MISSION STATEMENT. 0 0 7619978 79320 7349837 SEE SCHEDULE O. 7619978 0 0 0 1 0 0 0 0 1 1 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 46 0 1 12 1 1 1 0 0 0 0 0 0 0 X 12 12 0 0 0 1 1 1 0 1 1 0 0 1 1 1 1 0 0 0 0 0 X MICHAEL JOSEPHS CHIEF OF STAFF 2122133165 111 BROADWAY 805 NEW YORK NY 10006 DONALD STURZ JR PRESIDENT 10.00 X X 0 0 0 THOMAS L MILLNER VICE PRESIDENT, SECRETARY 5.00 X X 0 0 0 TIM F WRAY VICE PRESIDENT 5.00 X X 0 0 0 T WILLIAMS ROBERTS III TREASURER 5.00 X X 0 0 0 SEAN W MCCARTHY DELEGATE TO AKC 2.00 X X 0 0 0 PHILIP M BOGDANOVITCH BOARD MEMBER 2.00 X 0 0 0 F AVERY BOURKE BOARD MEMBER 2.00 X 0 0 0 THOMAS H BRADLEY BOARD MEMBER 2.00 X 0 0 0 DOROTHY N COLLIER BOARD MEMBER 2.00 X 0 0 0 JOHN W EVERETS BOARD MEMBER 2.00 X 0 0 0 AMANI A MARTIN BOARD MEMBER 2.00 X 0 0 0 HARVEY M WOODING BOARD MEMBER 2.00 X 0 0 0 CHARLTON REYNDERS III FORMER PRESIDENT 2.00 X X 0 0 0 WILLIAM M JACKSON FORMER SECRETARY 2.00 X X 0 0 0 DARRELL W CRATE FORMER PRESIDENT 2.00 X X 0 0 0 DAVID W HADDOCK FORMER BOARD MEMBER 2.00 X 0 0 0 DAVID A HELMING FORMER SHOW CHAIRMAN 40.00 X 209360 0 0 GAIL MILLER BISHER DIRECTOR OF COMMUNICATIONS 40.00 X 185577 0 0 PAUL A CAMPANELLA DIRECTOR OF COMPANION EVENTS 40.00 X 142854 0 0 FLORENCE FOTI FMR. DIRECTOR CLUB OPERATIONS 40.00 X 139341 0 2485 KELLY L MORRA DIRECTOR OF SPONSORSHIPS 40.00 X 166710 0 0 843842 0 2485 5 0 1 0 NY TENT 110 WILBUR PLACE BOHEMIA NY 11716 TENT FOR EVENT - INCLUDES LABOR 1087623 SPORTS MEDIA ADVISORS 191 ELM STREET NEW CANAAN CT 06840 MARKETING 428870 GARWOOD EVENTS LLC 207 GIBBON STREET ALEXANDRIA VA 22314 MEDIA CONSULTANTS 217500 KAPLANRICE 142 W 57TH SUITE 4A NEW YORK NY 10019 ATTORNEY/LEGAL SERVICES 153192 GLOW 333 HUDSON STREET SUITE 302 NEW YORK NY 10013 PUBLICITY SERVICES 133263 7 6800 6800 SHOW REVENUE 711300 7349837 7349837 7349837 90168 90168 2000000 2000000 0 7446805 7349837 0 90168 X 55320 55320 24000 24000 212440 212440 938725 801272 137453 18030 16959 1071 77820 73197 4623 156949 147625 9324 29534 27780 1754 22095 20782 1313 4633138 4357905 275233 292923 275522 17401 159503 150028 9475 62698 58973 3725 179891 169205 10686 11371 10695 676 70010 70010 85858 80758 5100 32828 30878 1950 UNRELATED BUS. INC. TAX 500 500 MERCHANDISE AND OTHER 482974 482974 AGENCY FEE 367023 367023 CATALOG COSTS 162574 162574 25030 23558 1472 8101234 7619978 481256 0 670611 230049 1087553 315948 225305 246250 210601 303976 1727888 3080629 673228 436046 307955 237182 5081709 5081723 9311622 9495757 593999 1053000 2119396 2515419 330062 313602 3043457 3882021 X 6268165 5613736 6268165 5613736 9311622 9495757 -654429 0 X 0 1 X 1 0 1 1 0 5000000 5000000 5000000 5000000 5000000 5000000 5000000 5000000 3000000 2000000 5000000 1.00000 0 0 316673 141510 175163 125226 75138 50088 231329 219398 11931 237182 BOARD DESIGNATED RESERVE - CASH EQUIVALENTS 5000000 DESIGNATED CASH 81723 5081723 DEFINED LEASE 313602 313602 7446805 0 7446805 0 7446805 8101234 0 8101234 0 8101234 PART V, LINE 4: DURING MAY 2019, THE BOARD OF GOVERNORS ADOPTED A POLICY DIRECTING THE CLUB TO BUILD AND MAINTAIN AN ADEQUATE RESERVE OF NET ASSETS WITHOUT DONOR RESTRICTIONS TO SUPPORT THE CLUB'S GENERAL OPERATIONS IN THE EVENT OF UNFORESEEN SHORTFALLS, MATERIAL ADVERSE EVENTS, AND NONRECURRING EXPENSES SO THAT THE CLUB MAY CONTINUE TO FULFILL ITS PURPOSE AND GOALS, AND TO INVEST IN INFRASTRUCTURE. IN THE EVENT THAT THE CLUB NEEDS TO USE RESERVE FUNDS, THE TREASURER WILL SUBMIT TO THE FINANCE COMMITTEE A REQUEST FOR ACCESS TO A SPECIFIED AMOUNT OF RESERVES FOR THE CLUB'S OPERATIONS OR A DESIGNATED PURPOSE. THE FINANCE COMMITTEE WILL REVIEW AND RECOMMEND THE RESERVE ACCESS REQUEST TO THE BOARD OF GOVERNORS FOR THEIR APPROVAL. THE AMOUNT OF THE RESERVE FUND WILL BE ADDRESSED ON AN AS NEEDED BASIS BUT AT A MINIMUM ANNUALLY AS PART OF THE BUDGET PROCESS AND ANY RECOMMENDATION BY THE FINANCE COMMITTEE OF A CHANGE IN SUCH AMOUNT WILL BE INCLUDED IN THE BUDGET FOR BOARD APPROVAL. 1 MIGHTYVET 6100 4TH AVE SOUTH SEATTLE WA 98108 831840141 501(C)(3) 10000 0 GENERAL SUPPORT 1 JUNIOR SCHOLARSHIP AWARDS 8 24000 PART I, LINE 2: THE CLUB PROVIDES GRANTS ONLY TO 501(C)(3) ORGANIZATIONS, AS LISTED ON SCHEDULE I, PART II. EXEMPT STATUS OF DONEES IS VERIFIED THROUGH INTERNAL REVENUE SERVICE WEBSITE. GRANTEES PROVIDE THE CLUB WITH FINANCIAL STATEMENTS WHICH ASSISTS THE CLUB IN DETERMINING THE AMOUNT OF ASSISTANCE TO PROVIDE. THE CLUB OFFERS JUNIOR SHOWMANSHIP FINALIST SCHOLARSHIP AWARDS AS LISTED ON SCHEDULE I, PART III. THESE AWARDS GO TO THE EIGHT JUNIOR SHOWMANSHIP FINALIST AT THE SHOW FOR THEIR USE IN POST-SECONDARY SCHOOLING. THESE SCHOLARSHIP AWARDS WILL BE AWARDED FOR POST-SECONDARY SCHOOLING AT THE DULY ACCREDITED COLLEGE OR TECHNICAL SCHOOL OF THE RECIPIENT'S CHOICE, PROVIDED THAT WRITTEN VERIFICATION OF THE RECIPIENT'S STATUS AS A FULL-TIME STUDENT IS RECEIVED BY THE CLUB DIRECTLY FROM THE SELECTED INSTITUTION. ALL MONIES WILL BE HELD BY THE CLUB UNTIL SUCH VERIFICATION IS RECEIVED, AND THEN WILL BE PAID DIRECTLY TO THE EDUCATIONAL INSTITUTION, AND NOT TO THE AWARD RECIPIENT. X 1 0 0 0 0 0 0 0 0 DAVID A HELMING FORMER SHOW CHAIRMAN 209360 0 0 0 0 0 0 0 0 0 209360 0 0 0 GAIL MILLER BISHER DIRECTOR OF COMMUNICATIONS 185577 0 0 0 0 0 0 0 0 0 185577 0 0 0 KELLY L MORRA DIRECTOR OF SPONSORSHIPS 166710 0 0 0 0 0 0 0 0 0 166710 0 0 0 PART I, LINE 4A THE FMR. DIRECTOR OF FINANCE RECEIVED $110,000 OF A $205,000 SEVERANCE IN FY23. EASTERLY CAPITAL LLC SEE RIDER SEE RIDER 1 199482 0 PART I, LINE 1(B): EASTERLY CAPITAL, LLC IS WHOLLY OWNED BY DARRELL CRATE, WHO WAS PRESIDENT AND DIRECTOR OF WESTMINSTER KENNEL CLUB AT THE TIME OF THE TRANSACTION AT ISSUE. PART I, LINE 1(C): IN DECEMBER 2022, DISQUALIFIED PERSON DARRELL CRATE DIRECTED THE TRANSFER OF $2,403,906.35 FROM WESTMINSTER KENNEL CLUB TO EASTERLY CAPITAL, LLC, AN INVESTMENT ENTITY WHOLLY OWNED BY MR. CRATE, TO PURCHASE 178,442 CONTINGENT VALUE RIGHTS ("CVRS") IN SIRIUSPOINT LTD. FROM EASTERLY CAPITAL, LLC, AT A STATED PURCHASE PRICE OF $9.00 PER CVR FOR A STATED TOTAL VALUE OF $1,605,978. THIS TRANSACTION CONSTITUTED AN EXCESS BENEFIT TO EASTERLY CAPITAL, LLC, OF $797,928.35. THE TRANSACTION WAS UNWOUND, WITH THE ORIGINAL $2,403,906.35 WIRED TO WESTMINSTER KENNEL CLUB, AND AN ADDITIONAL $47,760.90 PAID BY MR. CRATE TO COMPLETE THE CORRECTION. FORM 990 - PART I, LINE 1 - ORGANIZATION MISSION THE WESTMINSTER KENNEL CLUB (THE "CLUB") WAS INCORPORATED DECEMBER 15, 1877. THE CLUB WAS ESTABLISHED FOR THE FOLLOWING PURPOSES: TO PURCHASE, COLLECT, OWN, HIRE, SELL, EXHIBIT, BOARD, BREED AND TRAIN DOGS. TO BUILD, ESTABLISH, OWN, FURNISH, AND MAINTAIN THE KENNELS NECESSARY FOR SUCH PURPOSES. STUDY AND IMPROVE THE BREED OF DOGS. TO PROPAGATE AND PROTECT GAME. THE CLUB WAS ESTABLISHED WITH A VIEW TO INCREASE THE INTEREST IN DOGS, IMPROVE THE BREEDS, AND TO HOLD AN ANNUAL DOG SHOW IN THE CITY OF NEW YORK. FORM 990 - PART III, LINE 4A THE WESTMINSTER KENNEL CLUB WAS FOUNDED IN 1877 IN THE CITY OF NY. THE CLUB'S BY-LAWS INDICATE THAT ITS OBJECTIVE IS TO INCREASE THE INTEREST IN DOGS, IMPROVE BREEDS, AND TO HOLD AN ANNUAL SHOW IN NY. THE DOG SHOW IS THE PRIMARY ACTIVITY OF THE CLUB. IT IS A SPORTING EVENT THAT IS HELD OVER 3 DAYS EACH YEAR AT PIERS 92/94 AS WE; AS MSG. WKC HOSTS OVER 3,000 DOGS, THEIR OWNERS HANDLERS, CLUB MEMBERS AND OVER 30,000 SPECTATORS WHOSE COMMON INTEREST IS THE STUDY AND PROMOTION OF RESPONSIBLE OWNERSHIP. FORM 990, PART VI, SECTION A, LINE 5 IN DECEMBER 2022, A DISQUALIFIED PERSON DIRECTED THE TRANSFER OF $2,403,906.35 FROM WESTMINSTER KENNEL CLUB TO AN INVESTMENT ENTITY WHOLLY OWNED BY THE DISQUALIFIED PERSON. THIS TRANSACFION CONSTITUTED AN EXCESS BENEFIT (SEE SCHEDULE L). THE TRANSACTION WAS UNWOUND, WITH THE ORIGINAL $2,403,906.35 WIRED TO WESTMINSTER KENNEL CLUB, AND AN ADDIFIONAL $47,760.90 PAID TO COMPLETE THE CORRECTION. THIS TRANSACFION WAS UNDERTAKEN WITHOUT REQUIRED NOTICE OR APPROVALS, AND IN BREACH OF WESTMINSTER KENNEL CLUB INTERNAL CONTROLS AND PROCEDURES. UPON LEARNING OF THE TRANSACTION, WESTMINSTER KENNEL CLUB OFFICERS AND DIRECTORS TOOK IMMEDIATE ACTION, CONDUCTING AN INVESTIGATION, OBTAINING REPAYMENT OF THE FUNDS INVOLVED, AND REMOVING THE INDIVIDUAL FROM ALL POSITIONS WITH WESTMINSTER KENNEL CLUB. WESTMINSTER KENNEL CLUB ALSO WORKED CLOSELY WITH ITS ACCOUNTANTS AND COUNSEL THROUGHOUT THIS PROCESS, AND HAS SUBSEQUENTLY, IN COORDINATION WITH COUNSEL, REVIEWED ITS INTERNAL POLICIES AND CONTROLS TO PREVENT FUTURE DIVERSIONS. FORM 990, PART VI, SECTION A, LINE 6 PURSUANT TO THE BYLAWS OF WKC, WKC WAS ESTABLISHED AS A MEMBERSHIP ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 7A THE MEMBERS OF WKC HAVE THE POWER TO ELECT THE GOVERNING BODY AT THE ANNUAL MEETING. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 IS REVIEWED BY THE FINANCE COMMITTEE OF WKC. THE FORM 990 IS MADE AVAILABLE TO THE ENTIRE GOVERNING BODY PRIOR TO SUBMISSION WITH THE INTERNAL REVENUE SERVICE. FORM 990, PART VI, SECTION B, LINE 12C EACH MEMBER OF THE BOARD OF GOVERNORS MUST ANNUALLY SIGN A CONFLICT OF INTEREST STATEMENT AND DISCLOSE ALL REQUESTED INFORMATION ABOUT POTENTIAL CONFLICTS OF INTEREST. BOARD MEMBERS WHO HAVE BEEN IDENTIFIED AS HAVING A CONFLICT ARE ASKED TO RECUSE THEMSELVES FROM THE BOARD OR BOARD COMMITTEE MEETING WHILE ISSUES THAT GAVE RISE TO THE CONFLICT ARE DISCUSSED. THE MINUTES OF THE BOARD OR RELEVANT COMMITTEE SHALL CONTAIN THE NAME OF THE PERSON WHO DISCLOSED OR OTHERWISE WAS FOUND TO HAVE A FINANCIAL INTEREST IN CONNECTION WITH A TRANSACTION OR ARRANGEMENT, THE NATURE OF THE FINANCIAL INTEREST, ANY ACTION TAKEN TO DETERMINE WHETHER A CONFLICT OF INTEREST WAS PRESENT, AND THE BOARD'S OR COMMITTEE'S DECISION AS TO WHETHER A CONFLICT OF INTEREST IN FACT EXISTED. IN ADDITION, THE MINUTES OF THE BOARD OR THE COMMITTEE SHALL ALSO CONTAIN THE NAME OF THE PERSONS WHO WERE PRESENT FOR THE DISCUSSIONS AND VOTES RELATING TO THE PROPOSED TRANSACTION OR ARRANGEMENT, THE FACTUAL BASIS FOR THE BOARD'S OR COMMITTEE'S DETERMINATION THAT THE ULTIMATE TRANSACTION WAS FAIR AND REASONABLE AND IN THE BEST INTEREST OF WKC, AND A RECORD OF VOTES TAKEN IN CONNECTION WITH THE PROCEEDINGS. FORM 990, PART VI, SECTION B, LINE 15 THE PRESIDENT OF THE BOARD APPROVES THE COMPENSATION OF ALL EMPLOYEES. COMPENSATION IS BASED UPON SALARIES OF SIMILAR ORGANIZATION IN THE MARKET AREA. THIS INFORMATION IS DOCUMENTED IN THE MINUTES OF THE BOARD MEETING. FORM 990, PART VI, SECTION C, LINE 19 WKC'S GOVERNING DOCUMENTS AND FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC UPON REQUEST. FORM 990, PART IX, LINE 11G ENTRY FEES: PROGRAM SERVICE EXPENSES 51,926. MANAGEMENT AND GENERAL EXPENSES 3,280. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 55,206. PAYROLL PROCESSING FEES: PROGRAM SERVICE EXPENSES 16,326. MANAGEMENT AND GENERAL EXPENSES 1,031. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 17,357. MASTERS AGILITY CHAMP COSTS: PROGRAM SERVICE EXPENSES 61,465. MANAGEMENT AND GENERAL EXPENSES 3,882. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 65,347. MERCHANDISE LABOR FEES: PROGRAM SERVICE EXPENSES 77,394. MANAGEMENT AND GENERAL EXPENSES 4,888. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 82,282. SHOW COSTS: PROGRAM SERVICE EXPENSES 4,146,956. MANAGEMENT AND GENERAL EXPENSES 261,910. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 4,408,866. MASTERS OBEDIENCE CHAMP COSTS: PROGRAM SERVICE EXPENSES 3,838. MANAGEMENT AND GENERAL EXPENSES 242. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 4,080.