2024-11-13T10:16:33-06:00 2023-12-31 410746749 CLIFTONLARSONALLEN LLP 10700 NORTHUP WAY SUITE 200 BELLEVUE WA 98004 990 2023-01-01 204381745 EMERALD COMMUNITIES EMER 4255568100 10901 176TH CIRCLE NE REDMOND WA 98052 LISA HARDY PRESIDENT & CEO 4255568100 2024-11-11 1 1 KURT BENNION CPA P01469618 4252506100 2024-11-01 2023 2024-10-15 13:58:12Z LISA HARDY 10901 176TH CIRCLE NE REDMOND WA 98052 6283322 0 X WWW.EMERALDCOMMUNITIES.COM X 2006 WA PROVIDE LEADERSHIP FOR AFFILIATE ORGANIZATIONS PROVIDING SENIOR SERVICES. 12 12 25 12 0 0 852974 1523848 4224284 4316302 -854329 281020 315 111 4223244 6121281 0 55000 0 0 3824712 3995953 0 0 0 738515 678606 4563227 4729559 -339983 1391722 24362216 23858402 16482652 14258253 7879564 9600149 X EMERALD COMMUNITIES IS A FAITH-BASED, NOT-FOR-PROFIT ORGANIZATION THAT PROVIDES LEADERSHIP AND MANAGEMENT SERVICES FOR ITS AFFILIATE ORGANIZATIONS TO CREATE AND ENHANCE LIFESTYLE OPPORTUNITIES FOR SENIORS. IT IS CATEGORIZED AS A TYPE III FUNCTIONALLY INTEGRATED SUPPORTING ORGANIZATION UNDER IRC SECTION 509(A)(3) THAT SUPPORTS EASTSIDE RETIREMENT ASSOCIATION (DBA: EMERALD HEIGHTS) AND HERON'S KEY. 0 0 4036903 55000 4316302 EMERALD COMMUNITIES IS CLASSIFIED AS A TYPE III FUNCTIONALLY INTEGRATED SUPPORTING ORGANIZATION UNDER IRC SECTION 509(A)(3). IT SERVES TO PROVIDE BENEFIT TO, PERFORM THE FUNCTION OF, AND/OR ASSIST IN CARRYING OUT THE SECTION 501(C)(3) PURPOSES OF EASTSIDE RETIREMENT ASSOCIATION (DBA: EMERALD HEIGHTS) AND HERON'S KEY, WHICH INCLUDES PROVIDING, MAINTAINING AND OPERATING ONE OR MORE LIFE PLAN RETIREMENT COMMUNITIES AND OTHER FACILITIES, FOR THE SAFE AND SECURE HOUSING AND SERVICES TO ITS RESIDENTS. THE LIFE PLAN COMMUNITIES PROVIDE SERVICES AND FACILITIES TO MEET THE HEALTH, SOCIAL, SPIRITUAL AND INTELLECTUAL NEEDS OF ITS RESIDENTS IN INDEPENDENT LIVING, ASSISTED LIVING AND SKILLED NURSING. 4036903 1 1 0 0 0 0 0 0 0 0 1 0 0 1 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 9 0 25 1 0 0 0 0 0 0 0 0 0 0 0 0 X 12 12 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 X DENISA FEDDERSEN 4255568100 10901 176TH CIRCLE NE REDMOND WA 98052 LISA HARDY PRESIDENT & CEO 20.00 30.00 X 611907 0 47165 DIANA JAMISON CFO 10.00 40.00 X 315555 0 16442 JO HOLLIS VP OF HR & RISK MANAGEMENT 5.00 45.00 X 248750 0 31585 KAY WALLIN VP MARKETING & PUBLIC RELATIONS 5.00 45.00 X 244504 0 22135 MICHELLE WOOD VP OF OPERATIONS 5.00 45.00 X 239594 0 24626 GRANT LINACRE EMERALD HEIGHTS EXECUTIVE DIRECTOR 5.00 45.00 X 228934 0 22220 MATTHEW LECOURS DIRECTOR OF FOOD & BEVERAGE 5.00 45.00 X 152456 0 25789 KATHLEEN WALL EXECUTIVE ASSISTANT 20.00 30.00 X 152456 0 7765 DWIGHT WHITING CHAIR 2.00 4.00 X X 0 0 0 DAPHNE SCHNEIDER VICE CHAIR 1.00 2.00 X X 0 0 0 DANNA VANHORN SECRETARY 1.00 2.00 X X 0 0 0 DAVID HUDSON TREASURER 1.00 2.00 X X 0 0 0 KAREN COHOE DIRECTOR 1.00 2.00 X 0 0 0 ROBERT CRIST DIRECTOR 1.00 2.00 X 0 0 0 JILL GUERNSEY DIRECTOR 1.00 2.00 X 0 0 0 JEFF JONES DIRECTOR 1.00 2.00 X 0 0 0 GARY KING DIRECTOR 1.00 2.00 X 0 0 0 STEPHANIE MARSHALL DIRECTOR 1.00 2.00 X 0 0 0 DEWAYNE MCMULLIN DIRECTOR 1.00 2.00 X 0 0 0 JUDY RICHARDSON DIRECTOR 1.00 2.00 X 0 0 0 2194156 0 197727 13 0 1 0 0 1521848 2000 1523848 MANAGEMENT FEE 561000 3625556 3625556 OPS. REIMBURSEMENT 561000 434754 434754 RELATED PARTY INTEREST 561000 216255 216255 DEVELOPMENT FEE 561000 39737 39737 4316302 440930 440930 2131 162041 0 -162041 2131 -159910 -159910 OTHER OPERATING INCOME 900099 111 111 111 6121281 4316302 0 281131 55000 55000 2194156 2194156 836827 836827 105032 105032 662834 648784 14050 197104 197104 10070 10070 34349 34349 8248 8248 107921 107921 10682 10682 14774 14774 1333 1333 975 975 26145 26145 11591 11591 358260 358260 9325 9325 7417 7417 ADMIN 77516 77516 4729559 4036903 692656 0 317258 523722 2828633 2064446 20359 3052 64874 47995 21304 16879 12197116 11890903 8977546 9359400 24362216 23858402 712169 879510 15770483 13378743 16482652 14258253 X 7879564 9600149 7879564 9600149 24362216 23858402 1391722 328863 0 X X 0 1 X 1 0 X X X 2 EASTSIDE RETIREMENT ASSOCIATION 911261904 10 1 2197313 0 HERON'S KEY 462710915 10 1 1428243 0 2 3625556 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 X 1 1 PART IV, SECTION D, LINE 3: EACH SUPPORTED ORGANIZATION HAS ITS OWN BOARD OF DIRECTORS THAT HAS FIDUCIARY RESPONSIBILITY FOR THEIR ORGANIZATION'S INVESTMENT POLICIES AND DIRECTING THE USE OF THEIR ORGANIZATIONS' INCOME AND ASSETS. THE SUPPORTED ORGANIZATIONS' BOARDS ARE FULLY FUNCTIONING, WITH FULL RESPONSIBILITY FOR THEIR ORGANIZATIONS. DECISIONS RELATED TO SUPPORTED ORGANIZATIONS ARE MADE BY THE BOARD OF DIRECTORS OF THE SUPPORTED ORGANIZATIONS. EACH SUPPORTED ORGANIZATION IS A SEPARATE LEGAL ENTITY WITH ITS OWN ACCOUNTING AND FINANCIAL STATEMENTS. THE ASSETS AND LIABILITIES OF EACH ARE SEPARATE. CERTAIN DECISIONS OF THE SUPPORTED ORGANIZATIONS, SUCH AS ELECTION OF BOARD MEMBERS, ARE REVIEWED AND APPROVED BY THE BOARD OF THE SUPPORTING ORGANIZATION. THE MEMBERS OF THE SUPPORTED ORGANIZATIONS' BOARD OF DIRECTORS ARE ALSO MEMBERS OF THE SUPPORTING ORGANIZATION BOARD OF DIRECTORS. ALTHOUGH THE BOARD MEETINGS ARE SEPARATE, HAVING THE SAME MEMBERSHIP PROVIDES FOR A CONSISTENT FLOW OF INFORMATION AND COMMUNICATION BETWEEN THE SUPPORTING ORGANIZATION AND EACH SUPPORTED ORGANIZATION. PART IV, SECTION E, LINE 3A: THE SUPPORTED ORGANIZATIONS' BOARDS OF DIRECTORS IDENTIFY AND NOMINATE BOARD MEMBERS FOR THEIR OWN ORGANIZATIONS. THE BOARD OF DIRECTORS FOR THE SUPPORTING ORGANIZATION REVIEWS THE NOMINATIONS AND HAS THE POWER TO ELECT AND REMOVE ALL BOARD MEMBERS FOR EACH OF THE SUPPORTED ORGANIZATIONS. PART IV, SECTION E, LINE 3B: THE SUPPORTING ORGANIZATION EXERCISES A SUBSTANTIAL DEGREE OF DIRECTION OVER THE POLICIES, PROGRAMS AND ACTIVITIES OF THE SUPPORTED ORGANIZATIONS THROUGH MANAGEMENT SERVICES PROVIDED BY THE SUPPORTING ORGANIZATION TO THE SUPPORTED ORGANIZATIONS, CONSISTENT WITH MANAGEMENT AGREEMENTS BETWEEN THE AFFILIATES. SENIOR MANAGEMENT STAFF OF THE SUPPORTING ORGANIZATION ARE ALSO MANAGEMENT STAFF OF THE SUPPORTED ORGANIZATIONS. THE EXECUTIVE DIRECTORS OF EACH SUPPORTED ORGANIZATION REPORT TO THE CEO OF THE SUPPORTING ORGANIZATION. THE BOARD OF DIRECTORS OF THE SUPPORTING ORGANIZATION REVIEWS EACH SUPPORTED ORGANIZATION'S STRATEGIC PLANS AND DIRECTOR NOMINATIONS AND THE SUPPORTING ORGANIZATION BOARD MUST APPROVE SUCH ACTIONS. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 64874 47995 16879 16879 LOANS DUE FROM RELATED ORGANIZATIONS 9007650 DUE FROM RELATED ORGANIZATIONS 351750 9359400 LOAN DUE TO RELATED ORGANIZATION 7000000 DUE TO RELATED ORGANIZATIONS 3407942 INTEREST PAYABLE 2970801 13378743 X 4751095 162041 162041 4589054 8248 1523979 1532227 6121281 4719180 0 4719180 8248 2131 10379 4729559 PART X, LINE 2: EMERALD COMMUNITIES HAS BEEN GRANTED EXEMPTION FROM FEDERAL TAXES ON INCOME UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AS AN ORGANIZATION FORMED TO ESTABLISH AND OPERATE CHARITABLE, NONPROFIT HOMES FOR THE AGING. EMERALD COMMUNITIES FILES FEDERAL TAX RETURN FORMS 990 WITH THE U.S. GOVERNMENT. THERE ARE TAX YEARS THAT MAY BE SUBJECT TO REVIEW BY THE INTERNAL REVENUE SERVICE; HOWEVER, MANAGEMENT HAS DETERMINED THAT NO PROVISION FOR UNCERTAIN TAX POSITIONS WAS REQUIRED AS OF DECEMBER 31, 2023 AND 2022. PART XI, LINE 2D - OTHER ADJUSTMENTS: REALIZED LOSSES ON INVESTMENST AND ASSETS LIMITED AS TO USE 162,041. PART XI, LINE 4B - OTHER ADJUSTMENTS: EQUITY CONTRIBUTION FROM RELATED ORGANIZATION 1,521,848. GAIN ON DISPOSAL OF FIXED ASSETS 2,131. PART XII, LINE 4B - OTHER ADJUSTMENTS: GAIN ON DISPOSAL OF FIXED ASSETS 2,131. 1 THE SALVATION ARMY 2950 MANOA ROAD HONOLULU HI 96822 941156347 501(C)(3) 50000 0 COMMUNITY WILDFIRE RECOVERY 1 0 PART I, LINE 2: THE ORGANIZATION ENSURES THAT ALL GRANT RECIPIENTS ARE QUALIFIED TO RECEIVE CHARITABLE CONTRIBUTIONS. GRANT FUNDS ARE INTENDED FOR GENERAL OPERATING SUPPORT, SO NO FOLLOW-UP PROCEDURES ARE USED TO MONITOR THE SPECIFIC USES OF GRANTED FUNDS. X X X X 0 1 0 0 0 0 0 1 0 LISA HARDY PRESIDENT & CEO 452669 0 101635 0 57603 0 22500 0 24665 0 659072 0 0 0 DIANA JAMISON CFO 314187 0 180 0 1188 0 4200 0 12242 0 331997 0 0 0 JO HOLLIS VP OF HR & RISK MANAGEMENT 202800 0 40376 0 5574 0 10819 0 20766 0 280335 0 0 0 KAY WALLIN VP MARKETING & PUBLIC RELATIONS 205674 0 37642 0 1188 0 12264 0 9871 0 266639 0 0 0 MICHELLE WOOD VP OF OPERATIONS 211465 0 27859 0 270 0 12064 0 12562 0 264220 0 0 0 GRANT LINACRE EMERALD HEIGHTS EXECUTIVE DIRECTOR 200805 0 27859 0 270 0 6097 0 16123 0 251154 0 0 0 MATTHEW LECOURS DIRECTOR OF FOOD & BEVERAGE 138843 0 13500 0 113 0 4449 0 21340 0 178245 0 0 0 KATHLEEN WALL EXECUTIVE ASSISTANT 152456 0 0 0 0 0 0 0 7765 0 160221 0 0 0 PART I, LINE 4B EMERALD COMMUNITIES HAS A 457(F) SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN FOR CERTAIN EXECUTIVE EMPLOYEES. DURING 2023, THE FOLLOWING AMOUNTS WERE CONTRIBUTED TO THEIR PLANS: LISA HARDY, PRESIDENT & CEO, $22,500 DIANA JAMISON, CFO, $22,500 GRANT LINACRE, EMERALD HEIGHTS EXECUTIVE DIRECTOR, $9,683 KAY WALLIN, VP MARKETING & PUBLIC RELATIONS, $12,801 PART I, LINE 7 CERTAIN NON-FIXED INCENTIVE PAYMENTS WERE PAID TO MANAGEMENT STAFF THAT RELATED TO PERFORMANCE MEASUREMENTS OTHER THAN REVENUES AND NET EARNINGS. FORM 990, PART VI, SECTION A, LINE 1A THE EXECUTIVE COMMITTEE CONSISTS OF THE OFFICERS OF THE BOARD AND ONE AT-LARGE BOARD MEMBER. THE EXECUTIVE COMMITTEE IS RESPONSIBLE FOR (A) THE DEVELOPMENT AND PROPOSAL OF THE BOARD'S ANNUAL WORK PLAN FOR REVIEW AND ADOPTION BY THE BOARD, (B) THE REVIEW AND ACTION UPON ANY URGENT ISSUES AS MAY ARISE FOR THE BOARD BETWEEN THE REGULARLY SCHEDULED BOARD MEETINGS, EXCEPT AS MAY BE LIMITED BY THE BYLAWS, (C) THE REVIEW AND PREPARATION OF ANY ACTIONS OR POLICIES FOR CONSIDERATION BY THE BOARD AT ITS REGULARLY SCHEDULED MEETINGS, (D) THE CALL FOR A SPECIAL MEETING AND/OR ACTION OF THE BOARD AS MAY BE NEEDED, IN THE JUDGMENT OF THE EXECUTIVE COMMITTEE, BETWEEN REGULARLY SCHEDULED BOARD MEETINGS, (E) ANY APPROPRIATION OR EXPENDITURE OUTSIDE THE APPROVED OPERATIONS BUDGET NOT IN EXCESS OF 1% OF THE APPROVED OPERATING BUDGET FOR ANY FISCAL YEAR, SUBJECT TO REPORTING ANY SUCH APPROPRIATION OR EXPENDITURE TO THE BOARD MEETING NEXT FOLLOWING THE DECISION, AND (F) ANY SUCH MATTER OR MATTERS AS THE BOARD MAY FROM TIME TO TIME DEEM IT EXPEDIENT TO DELEGATE ITS AUTHORITY TO THE EXECUTIVE COMMITTEE. BETWEEN MEETINGS OF THE BOARD, THE EXECUTIVE COMMITTEE HAS THE AUTHORITY TO ACT FOR THE BOARD IN ANY MATTER FOR WHICH THE BOARD HAS POWER TO ACT, EXCEPT THAT THE EXECUTIVE COMMITTEE DOES NOT HAVE THE AUTHORITY TO (A) AMEND, ALTER OR REPEAL THE BYLAWS; (B) ELECT, APPOINT OR REMOVE ANY MEMBER OF ANY COMMITTEE, ANY DIRECTOR OR OFFICER; (C) AMEND THE ARTICLES OF INCORPORATION; (D) ADOPT A PLAN OF MERGER OR CONSOLIDATION; (E) AUTHORIZE THE SALE, LEASE OR EXCHANGE OF ALL OR SUBSTANTIALLY ALL THE ORGANIZATION'S PROPERTY AND ASSETS OUTSIDE OF THE ORDINARY COURSE OF BUSINESS; (F) AUTHORIZE THE ORGANIZATION'S VOLUNTARY DISSOLUTION OR REVOKE PROCEEDINGS THEREFOR; (G) ADOPT A PLAN FOR THE DISTRIBUTION OF THE ORGANIZATION'S ASSETS; OR (H) AMEND, ALTER OR REPEAL ANY RESOLUTION OF THE BOARD. ALL SUCH ACTS OF THE EXECUTIVE COMMITTEE ARE REPORTED TO THE BOARD AT ITS NEXT REGULARLY SCHEDULED MEETING, EXCEPT WHERE A NON-WRITTEN REPORT MAY BE GIVEN IN AN EXECUTIVE SESSION OF THE BOARD DUE TO THE CONFIDENTIAL NATURE OF THE MATTER. FORM 990, PART VI, SECTION B, LINE 11B THE CONTROLLER AND CFO REVIEWED THE FORM 990 WITH THE CEO. ALL MEMBERS OF THE BOARD OF DIRECTORS RECEIVED A COPY OF THE FORM 990 FOR REVIEW AND INPUT BEFORE IT WAS FILED WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C THE ORGANIZATION'S CONFLICT OF INTEREST POLICY APPLIES TO ALL BOARD MEMBERS, OFFICERS, COMMITTEE MEMBERS, AND EMPLOYEES DESIGNATED AS COVERED BY THE CEO. EVERY COVERED INDIVIDUAL IS REQUIRED TO COMPLETE A CONFLICT OF INTEREST QUESTIONNAIRE ANNUALLY. IF A BOARD OR COMMITTEE MEMBER HAS A POTENTIAL CONFLICT OF INTEREST RELATED TO A TRANSACTION, THE INDIVIDUAL DISCLOSES THE MATERIAL FACTS TO THE BOARD OR COMMITTEE MEMBERS. IF IT IS UNCLEAR WHETHER A BOARD OR COMMITTEE MEMBER OR THE CEO HAS A CONFLICT OF INTEREST, THE GOVERNANCE COMMITTEE OF THE BOARD MAKES THE DETERMINATION AND MAY EVALUATE ALTERNATIVES THAT DO NOT INVOLVE A CONFLICT. AFTER DISCLOSING MATERIAL FACTS, THE INDIVIDUAL WITH THE CONFLICT RECUSES THEMSELF FROM ALL OTHER DISCUSSIONS AND VOTES ON THE MATTER. THE BOARD OR COMMITTEE MEMBERS WITHOUT CONFLICTS MAY VOTE ON WHETHER TO ENTER THE TRANSACTION. IF AN EMPLOYEE OTHER THAN THE CEO HAS A POTENTIAL CONFLICT OF INTEREST, THEY DISCLOSE THE MATERIAL FACTS TO THE CEO. IF IT'S UNCLEAR WHETHER A CONFLICT EXISTS, THE CEO MAKES THE DETERMINATION. THE CEO MAY WORK WITH THE BOARD'S GOVERNANCE COMMITTEE TO EVALUATE ALTERNATIVES THAT DO NOT INVOLVE A CONFLICT. FORM 990, PART VI, SECTION B, LINE 15 THE EXECUTIVE COMMITTEE IS RESPONSIBLE FOR THE ANNUAL PERFORMANCE REVIEW OF THE PRESIDENT/CEO AND ESTABLISHING THE SALARY FOR THE POSITION. THESE INDEPENDENT BOARD MEMBERS CONSIDER COMPARABLE DATA FROM SURVEYS OR STUDIES AND APPROPRIATE INPUT FROM COMPENSATION PROFESSIONALS. THE RESULTS OF THESE DELIBERATIONS AND DECISIONS ARE CONTEMPORANEOUSLY SUBSTANTIATED. COMPENSATION REVIEWS ARE CONDUCTED ANNUALLY. THE PROCESS FOR DETERMINING COMPENSATION FOR OTHER OFFICERS AND KEY EMPLOYEES INCLUDES OVERALL BUDGET COMPENSATION CRITERIA FOR THE ORGANIZATION THAT ARE APPROVED BY THE BOARD OF DIRECTORS. ALL EMPLOYEES OF THE ORGANIZATION RECEIVE ANNUAL PERFORMANCE EVALUATIONS WHICH ARE CONDUCTED AT THE SAME TIME AND BECOME A KEY FACTOR IN COMPENSATION DECISIONS. SALARY SURVEYS AND MARKET COMPENSATION INFORMATION IS ALSO CONSIDERED. THE PERFORMANCE EVALUATION AND COMPENSATION DETERMINATION INCLUDE REVIEW AND APPROVAL BY THE CEO AND DIRECTOR OF HUMAN RESOURCES. THE PERFORMANCE EVALUATIONS, COMPENSATION DECISIONS, COMPARABILITY DATA AND COMPARISONS TO APPROVED BUDGETS ARE DOCUMENTED AS PART OF THE PROCESS. THE LAST COMPENSATION REVIEW TOOK PLACE IN 2023. FORM 990, PART VI, SECTION C, LINE 19 GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND AUDITED FINANCIAL STATEMENTS ARE AVAILABLE UPON REQUEST. FORM 990, PART XII, LINE 2C: THE ORGANIZATION'S PROCESS FOR SELECTING THE FINANCIAL STATEMENT AUDITOR AND FOR OVERSEEING THE FINANCIAL STATEMENT AUDIT DID NOT CHANGE DURING THE FISCAL YEAR. EASTSIDE RETIREMENT ASSOCIATION (DBA EMERALD HEIGHTS) 10901 176TH CIRCLE NE REDMOND WA 98052 911261904 LIFE PLAN RETIREMENT COMMUNITY WA 501(C)(3) LINE 10 EMERALD COMMUNITIES 1 HERON'S KEY 10901 176TH CIRCLE NE REDMOND WA 98052 462710915 LIFE PLAN RETIREMENT COMMUNITY WA 501(C)(3) LINE 10 EMERALD COMMUNITIES 1 LUANA KAI A LIFE PLAN COMMUNITY 10901 176TH CIRCLE NE REDMOND WA 98052 862275800 LIFE PLAN RETIREMENT COMMUNITY HI 501(C)(3) LINE 10 EMERALD COMMUNITIES 1 1 0 1 1 1 0 0 0 0 0 0 1 0 1 0 0 1 0 1 EASTSIDE RETIREMENT ASSOCIATION A 208260 LOAN AGREEMENT EASTSIDE RETIREMENT ASSOCIATION C 1521848 CASH EASTSIDE RETIREMENT ASSOCIATION E 9502269 LOAN AGREEMENT EASTSIDE RETIREMENT ASSOCIATION L 2197313 MANAGEMENT AGREEMENT EASTSIDE RETIREMENT ASSOCIATION Q 274486 MANAGEMENT AGREEMENT EASTSIDE RETIREMENT ASSOCIATION S 250000 MANAGEMENT AGREEMENT HERON'S KEY A 198002 LOAN AGREEMENT HERON'S KEY D 8291599 LOAN AGREEMENT HERON'S KEY L 1428243 MANAGEMENT AGREEMENT HERON'S KEY Q 160268 MANAGEMENT AGREEMENT