Heckscher Museum

“Collection items which have been acquired through purchases and contributions since the museum's inception are not recognized as assets on the statement of financial position. In conformity with the practice by museums and in accordance with the provisions of the fasb asc 958-605, the museum does not capitalize donated or purchased works of art or recognize them as revenue or gains. The museum has a policy that requires the proceeds from sales of collection items to be used to acquire other items for its collection. All such items on hand are currently insured for $50 million. Purchases of collection items are recorded as decreases in net assets without donor restrictions in the year in which the items are acquired or as decreases in net assets with donor restrictions if the assets used to purchase the items are restricted by donors. Objects in the original gift made by founder august heckscher are owned by the town of huntington (the "town"), but managed by the museum. These works cannot be sold or traded without the expressed permission of the town of huntington. Collection items added to the permanent collection since the incorporation of the heckscher museum are owned by the museum.”

“In 2011, the museum was given permission by the town of huntington to deaccession certain artifacts that did not and never were going to be exhibited or used for educational purposes. These artifacts were part of the original legacy collection, and therefore were town property. The town authorized the museum to dispose of these artifacts at public auction. Proceeds from any public auction were to be deposited into a segregated account in the town's name ("town of huntington art acquisition fund") with the museum acting as trustee. The funds are exclusively for the purchase of art to enrich the permanent collection of the museum and any artwork purchased with these funds would belong to the town. As of december 31, 2022, the museum has a balance of $789,888, which is reflected as restricted investments and funds held in custody on the statement of financial position. However, after an initial purchase, the remaining $697,091 corpus of the fund after that purchase was designated by the board to be treated as a "quasi-endowment" where only the investment income above the amount of the corpus would be spent on collection acquisitions.”

“Quasi-endowment fund: in 2022, the heckscher museum board of trustees passed a formal resolution establishing a board-designated, quasi-endowment fund for the exclusive support of general operations. The board transferred funds from the unrestricted elizabeth livingston estate bequest, along with additional unrestricted funds, into a segregated account, titled the heckscher museum general endowment fund, to be invested for the long-term. A board-approved percentage will be drawn from the new quasi-endowment on an annual basis in support of general museum operations. Access to the corpus of the new endowment, in any amount in excess of the above-mentioned board approved percentage, can only be accessed by the approval of two-thirds (2/3) of the trustees in order to revoke the restrictions on the use of funds as specified in the resolution. Furthermore, the board of trustees also passed a formal resolution directing subsequent "unrestricted proceeds" of all bequests, charitable remainder trusts, retirement plan beneficiary designations, life insurance beneficiary designations, gift annuities, and other unrestricted deferred "transfers" to the heckscher museum general endowment fund. In 2017, the museum received a bequest of $496,500 from the estate of norris w. Darrell and the tang family foundation donated an additional $100,000. The purpose of the funds is for the general support of the museum's operations and programs and was directed to be added the museum's general endowment fund. The value of the heckscher museum general endowment fund on december 31, 2022 was $2,737,979. Donor restricted endowments: in 2015, the museum member and trustee robin hadley repurposed $3 million of her and her late husband john w. B. Hadley's 1991 gift to the museum building fund "to be used to create and fund an endowment, the sole purpose of which will be to support building maintenance, repair, and replacement and expansion costs in perpetuity." the endowment agreement is irrevocable and mrs. Hadley acknowledged that she has "no right or power to revoke or terminate the agreement." the endowment is named the robin and john hadley capital building fund endowment. In 2017, the museum received a gift of $503,500 from henriette darrell and established the henriette darrell endowment fund. The purpose of the funds is to support long island's best young artists at the heckscher museum exhibition, an annual arts-in-education initiative offering high school students the opportunity to exhibit their art in a museum. The funds are required to be invested in accordance with the new york state prudent management of institutional funds act whereby the corpus is maintained in perpetuity. The museum has a total of five other endowed funds that have been established to fund various initiatives, including art acquisition, scholarships and support for long island's best young artists. In the current year, temporarily restricted assets in the restricted endowment totaling $591,649 have been added to the beginning endowment balance as of 1/01/2022.”

“For the year ended december 31, 2022, the museum has documented its consideration of fasb asc 740-10, income taxes, that provides guidance for reporting uncertainty in income taxes and has determined that no material uncertain tax positions qualify for either recognition or disclosure in the financial statements.”

“Special event expenses reported as an expense on the 57,581. Audited financial statements and netted against revenue on form 990, part viii, line 8b.”

“Special event expenses reported as an expense on the 57,581. Audited financial statements and netted against revenue on form 990, part viii, line 8b.”