Civic Intelligence

Dairy Management Inc

990 • Fiscal year 2021 • EIN 36-3992031

Jan 01, 2021 to Dec 31, 2021 • Filed on Nov 15, 2022

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10255 W Higgins Road suite 900Rosemont, IL 60018

(847) 803-2000

Siviq Scores

Precomputed percentiles for this filing year versus similar nonprofits in the same peer cohort.

Liabilities / Assets

95th percentile

1.00x

Higher debt load relative to assets than 95% of similar nonprofits.

2021 filings • $100M-$250M nonprofits • Source year 2021

Liabilities / Revenue

26th percentile

0.09x

Higher debt load relative to revenue than 26% of similar nonprofits.

2021 filings • $100M-$250M nonprofits • Source year 2021

Net Margin

24th percentile

0.0%

Higher net margin than 24% of similar nonprofits.

2021 filings • $100M-$250M nonprofits • Source year 2021

Top Officer Pay

97th percentile

$2,680,255

Higher top officer pay than 97% of similar nonprofits.

Top officer pay equals 1.7% of source-year revenue.

2021 filings • $100M-$250M nonprofits • Source year 2021

Asset Growth

19th percentile

1.4%

Faster asset growth than 19% of similar nonprofits.

2021 filings • $100M-$250M nonprofits • Annualized from 2020 to 2021

Revenue Growth

20th percentile

-4.1%

Faster revenue growth than 20% of similar nonprofits.

2021 filings • $100M-$250M nonprofits • Annualized from 2020 to 2021

Assets

Up

$14,475,485

Up $193,553 (+1.4%) from 2020

Net Assets

Flat

$0

Flat from 2020

Liabilities

Up

$14,475,485

Up $193,553 (+1.4%) from 2020

Revenue

Down

$154,351,019

Down $6,650,668 (-4.1%) from 2020

Expenses

Down

$154,351,019

Down $6,650,668 (-4.1%) from 2020

Net Income

Flat

$0

Flat from 2020

Historical Trend

Balance Sheet Trend

The highlighted filing sits inside the broader history for assets, liabilities, and net assets.

$30M$20M$10M$0Assets 2010: $22,597,931Liabilities 2010: $22,597,931Net Assets 2010: $02010Assets 2011: $18,683,002Liabilities 2011: $18,683,002Net Assets 2011: $02011Assets 2012: $21,000,066Liabilities 2012: $21,000,066Net Assets 2012: $02012Assets 2013: $23,277,664Liabilities 2013: $23,277,664Net Assets 2013: $02013Assets 2015: $21,804,647Liabilities 2015: $21,804,647Net Assets 2015: $02015Assets 2017: $27,955,468Liabilities 2017: $27,955,468Net Assets 2017: $02017Assets 2018: $17,459,074Liabilities 2018: $17,459,074Net Assets 2018: $02018Assets 2019: $14,838,837Liabilities 2019: $14,838,837Net Assets 2019: $02019Assets 2020: $14,281,932Liabilities 2020: $14,281,932Net Assets 2020: $02020Assets 2021: $14,475,485Liabilities 2021: $14,475,485Net Assets 2021: $02021Assets 2022: $25,584,893Liabilities 2022: $25,584,893Net Assets 2022: $02022Assets 2024: $25,392,545Liabilities 2024: $25,392,545Net Assets 2024: $02024

Highlighted filing

2021

Assets$14,475,485
Liabilities$14,475,485
Net Assets$0

Operations Trend

Revenue, expenses, and net income across loaded years, with this filing highlighted.

$200M$150M$100M$50M$0Expenses 2010: $126,072,7362010Expenses 2011: $127,182,9442011Expenses 2012: $127,418,1772012Revenue 2013: $141,043,618Expenses 2013: $141,043,618Net Income 2013: $02013Revenue 2015: $148,169,115Expenses 2015: $148,169,115Net Income 2015: $02015Revenue 2017: $155,016,092Expenses 2017: $155,016,092Net Income 2017: $02017Revenue 2018: $159,678,406Expenses 2018: $159,678,406Net Income 2018: $02018Revenue 2019: $155,751,359Expenses 2019: $155,751,359Net Income 2019: $02019Revenue 2020: $161,001,687Expenses 2020: $161,001,687Net Income 2020: $02020Revenue 2021: $154,351,019Expenses 2021: $154,351,019Net Income 2021: $02021Revenue 2022: $178,196,534Expenses 2022: $178,196,534Net Income 2022: $02022Revenue 2024: $165,666,302Expenses 2024: $165,666,302Net Income 2024: $02024

Highlighted filing

2021

Revenue$154,351,019
Expenses$154,351,019
Net Income$0
Jump To
Filing Snapshot
Filing Period
Jan 1, 2021 to Dec 31, 2021
Signed
Nov 15, 2022
Return Version
2021v4.2
Gross Receipts
$154,351,019
Mission and Program Overview

Mission

Dairy management inc (dmi) was formed in 1995 by the national dairy promotion and research board (ndb) and the united dairy industry association (udia). Dmi is a management organization that invests dairy producer checkoff funds in strategic, coordinated marketing programs designed to increase consumption of us dairy products both domestically and internationally. The formation of dmi has created efficiencies, gained through the elmination of redundancies and the power of joint planning.

To invest dairy producer checkoff funds in strategic, coordinated marketing programs designated to increase consumption of dairy products both domestically and internationally.

Balance Sheet Detail
LineBeginningEndChange
Assets
Land, Buildings, and Equipment, Net$1,818,053$1,402,177▼ $415,876
Cash and Non-Interest-Bearing Accounts$217,873$975,550▲ $757,677
Prepaid Expenses and Deferred Charges$872,598$821,147▼ $51,451
Accounts Receivable$381,348$676,425▲ $295,077
Other Notes and Loans Receivable, Net$124,174$0▼ $124,174
Savings and Temporary Cash Investments$0$0→ $0
Pledges and Grants Receivable$0$0→ $0
Receivable From Disqualified Prsn$0$0→ $0
Receivables From Officers Etc$0$0→ $0
Investments Other Securities$0$0→ $0
Investments Program Related$0$0→ $0
Investments in Publicly Traded Securities$0$0→ $0
Intangible Assets$0$0→ $0
Inventories for Sale or Use$0$0→ $0
Loans From Officers Directors$0$0→ $0
Total Assets$14,281,932$14,475,485▲ $193,553
Other Assets Total$10,867,886$10,600,186▼ $267,700
Liabilities
Accounts Payable and Accrued Expenses$14,099,403$12,761,449▼ $1,337,954
Other Liabilities$58,355$1,714,036▲ $1,655,681
Unsecured Notes Loans Payable$124,174$0▼ $124,174
Grants Payable$0$0→ $0
Mortgage Notes Payable Secured by Investment Property$0$0→ $0
Deferred Revenue$0$0→ $0
Escrow Account Liability$0$0→ $0
Tax Exempt Bond Liabilities$0$0→ $0
Total Liabilities$14,281,932$14,475,485▲ $193,553
Net Assets / Fund Balance
Total Net Assets Fund Balance$0$0→ $0
Total Liabilities and Net Assets / Fund Balance$14,281,932$14,475,485▲ $193,553

Asset Categories

AssetBook ValueDepreciationBasis
Other Land Buildings$700,018$1,014,420$1,714,438
Leasehold Improvements$270,707$1,196,882$1,467,589
Equipment$431,452$716,236$1,147,688
Other Assets Org$60,904--
Compensation and Service Providers

Employees

NameTitleFull / Part TimeBaseOtherTotal
Gallagher Thomas PCEO Thru 11/21FT$612,504$2,067,751$2,680,255
O'BRIEN BARBARACEOFT$627,011$177,560$804,571
Miller Gregory DExecutive Vice PresidentFT$508,926$79,960$588,886
Engelmann Elizabeth aExecutive Vice PresidentFT$478,490$87,948$566,438
Laverne Harden KrystaExecutive Vice PresidentFT$462,503$67,310$529,813
Baily QuintonCFOPT$412,000$59,634$471,634
Harper CalebExecutive Vice President-$358,750$86,133$444,883
Ragalie-carr Jean HExecutive Vice PresidentFT$380,706$53,635$434,341
Hershey MarilynChair-$41,250-$41,250
Hoff NeilDirector-$14,350-$14,350
Brubaker JohnDirector-$8,700-$8,700
Donahoe AudreyDirector-$5,600-$5,600
Hancock LarryDirector-$5,200-$5,200
Houin JillDirector-$4,800-$4,800
Werth CorbyDirector-$4,600-$4,600
Woods TomDirector-$4,500-$4,500
Esplin BrianDirector-$4,300-$4,300
Hotveldt DanDirector-$4,000-$4,000
Krause CharlesDirector-$3,800-$3,800
Howrigan Jr HaroldDirector-$3,400-$3,400
Hoewischer MarkDirector-$3,300-$3,300
Conrad GregoryDirector-$3,100-$3,100
Hanselman BarbaraDirector-$2,800-$2,800
Ferguson MikeDirector-$2,700-$2,700
Deutsch BillDirector-$2,200-$2,200
Werkhoven JimDirector-$2,200-$2,200
Mueller LowellDirector-$2,000-$2,000
Gladden JoshDirector-$1,900-$1,900
Kasper TomDirector-$1,900-$1,900
Hardie David SkipSecretary-$1,800-$1,800
Merrill AllenDirector-$1,650-$1,650
Strassburg JeffDirector-$1,600-$1,600
VanDam JohnDirector-$1,600-$1,600
Podtburg RickDirector-$1,400-$1,400
Moore KevinDirector-$1,300-$1,300
Liebenstein BarbDirector-$1,200-$1,200
Wheeler RobDirector-$1,200-$1,200
Lolly LesherDirector-$1,100-$1,100
Wardin KristopherDirector-$1,100-$1,100
Hood TimDirector-$800-$800
Titlon-Flood JenniferDirector-$700-$700

Highest Paid Contractors

ContractorServicesLocationCompensation
NFL Properties LLCPromotionPO BOX 27278, New York, NY 10087$6,637,500
Mischief IncAgency Services20 Jay Street Suite 940, Brooklyn Ny, NY 11201$6,198,729
Daniel J Edelman INCAgency Services200 East Randolph Street, Chicago, IL 60601$5,003,482
Dominos PizzaPromotionPO BOX 997, Ann Arbor, MI 48106$3,600,000
Lake States Dairy CenterPromotion856 N 600E, Fair Oaks, IN 47943$2,548,000
Revenue and Support

Revenue Composition

Contributions and Grants
$0
Program Service Revenue
$154,349,509
Investment Income
$1,510
Other Revenue
$0
Change in Net Assets
$0

Audited Revenue Reconciliation

Revenue per Audited Statements
$154,349,509
Revenue Not Reported on Financial Statements
$1,510
Other Revenue Adjustments
$1,510
Total Revenue per Audited Statements
$154,349,509
Total Revenue per Form 990
$154,351,019
Expenses and Functional Allocation

Major Expense Lines

Line ItemAmount
Other Expenses$119,718,526
Salaries, Compensation, and Employee Benefits$33,152,493
Grants and Similar Amounts Paid$1,480,000
Professional Fundraising Fees$0
Total Fundraising Expense$0

Functional Expense Allocation

Line ItemProgramManagementFundraisingTotal
Other Salaries and Wages---$22,619,120
Current Officers, Directors, Trustees, and Key Employees---$3,956,460
Information Technology---$2,688,897
Pension Plan Contributions---$2,470,355
Other Employee Benefits---$2,459,459
Occupancy---$2,040,001
Payroll Taxes---$1,647,099
Grants to Domestic Orgs---$1,480,000
Office Expenses---$1,379,689
Travel---$830,760
Depreciation Depletion---$521,151
Fees for Services Legal---$492,673
Conferences and Meetings---$481,298
Fees for Services Other---$388,410
Other Expenses---$176,939
Insurance---$157,956
Fees for Services Accounting---$76,340
Interest---$1,172
Total Functional Expenses$0$0$0$154,351,019

Audited Expense Reconciliation

Line ItemAmount
Total Expenses per Form 990$154,351,019
Expenses per Audited Statements$154,349,509
Total Expenses per Audited Statements$154,349,509
Expenses Not Reported on Financial Statements$1,510
Other Expense Adjustments$1,510
International Activity

Grant and Assistance Recipients

RecipientLocationCategoryPurposeAmount
GenYouth IncRosemont, IL501(c)(3)Program Service Expenses$1,480,000

International Summary

Offices
0
Employees
0
Spending
$2,996,606

International Compliance

Activity in boycott countries
No
Foreign corporation ownership
No
Foreign partnership interest
No
Interest in foreign trust
No
Passive foreign investment company interest
No
Transfers to foreign corporations
No

International Activities

RegionActivityServicesOfficesEmployeesSpending
East Asia and the PacificProgram ServicesMarketing Support00$1,637,841
North AmericaProgram ServicesMarketing Support00$1,185,617
South AmericaProgram ServicesMarketing Support00$173,148
Fundraising, Events, and Gaming
Fundraising activities
No
Gaming activities
No
Professional fundraiser used
No

Fundraising and Gaming Totals

Line ItemAmount
Fundraising Direct Expenses$0
Fundraising Gross Income$0
Gaming Direct Expenses$0
Gaming Gross Income$0
Professional Fundraising Fees$0
Political and Lobbying Activity
Political campaign activity
No
Subject to proxy tax
No
Insider Transactions and Loans

Loans and Receivables

Line ItemBeginningEndChange
Loans from Officers, Directors, Trustees, and Key Employees$0$0→ $0
Receivables from Disqualified Persons$0$0→ $0
Receivables from Officers, Directors, Trustees, and Key Employees$0$0→ $0
Debt and Bond Financing

Other Reported Liabilities

LiabilityAmount
Due to Affiliates$1,699,248
Other Liabilities$14,788
Governance and Compliance

Governance Checklist

Compiled or reviewed by an accountant
No
Annual disclosure for covered persons
Yes
Audit committee
Yes
Backup withholding compliance
Yes
Business relationship with 35% controlled entity
No
Business relationship with family members
No
Business relationship with organization members
No
Material changes to governing documents
No
Compensation from other sources disclosed
No
CEO compensation reviewed
Yes
Other officer compensation reviewed
Yes
Conflict-of-interest policy
Yes
Audited financial statements prepared
No
Key decisions subject to board approval
No
Management duties delegated
No

Governance Explanations

Form 990, Part VI, Line 11A

Describe the process used by management &/or governing body to review 990 form 990 is available to all board members for review upon request. Management reviews the details of the form 990 with the organization's attorneys and its audit and tax firm.

Form 990, Part VI, Line 12C

Description of process to monitor transactions for conflicts of interest the conflict of interest policy is reviewed in detail with the board and by the organization's corporate attorneys annually. Board members are required to complete an annual certification of compliance with the conflict of interest policy. Board members are asked to recuse themselves from voting if they are personally involved in a matter that could give rise to conflicts.

Form 990, Part VI, Line 15A and 15B

Officers & positions for which process was used, & year process was begun ceo compensation is determined with the involvement of the personnel committee of the board of directors. Ceo, officer and key employee compensation is determined through the use of industry surveys, market salary guides and other competitive compensation information.

Form 990, Part VI, Line 19

Avail of gov docs, conflict of interest policy, & fin stmts to gen public governing documents, conflict of interest policy, whistle blower policy, document retention policy and financial statements are available upon request.

Filing and Contact Details

Filer

Filer Name
Dairy Management Inc
EIN
36-3992031
In Care Of
% QUINTON BAILY
Phone
8478032000
Address
10255 W Higgins Road suite 900, Rosemont, IL 60018

Signing Officer

Name
Quinton Baily
Title
CFO
Phone
8478032000
Signed
2022-11-15
Discuss with paid preparer
Yes

Organization Details

Principal Officer
Quinton Baily
Formed
1995
Legal Domicile
Dc
Voting Board Members
78
Independent Board Members
78
Employees
306
Volunteers
49

Preparer

Firm
Ernst & Young US Llp
Address
1101 NEW YORK AVE NW, WASHINGTON, DC 20005
Preparer
Amber Gazica
Phone
2023276000
Supplemental Narrative

Additional Explanations

Form 990, Part III - Program Service, Line 4A

2021 domestic and international partnerships: partnerships play a foundational role in the checkoff's work and its mission to drive dairy sales and trust by working with, and through, food and beverage industry leaders both domestically and internationally. These partnerships focus on immediate and long-term opportunities with a concentrated focus on product, menu, and packaging innovation along with advertising. Domestic foodservice/retail partnerships in 2021: dmi continued its partnerships with foodservice leaders domino's, mcdonald's, pizza hut and taco bell and retail leader kroger. These partners contributed incremental milk pounds in 2021 - continuing a long-term dairy volume growth trend that has yielded over 2.2 billion milk equivalent dairy pounds growth and three percent average growth over the term of the partnerships. Dmi supports these partnerships with dairy food scientists alongside consumer insights, marketing and nutrition experts to advance dairy-centric opportunities. This includes introducing new cheese varieties, unique ways to use dairy in menu offerings and to include dairy in new menu occasions such as breakfast and dessert. Even more important, these partners are category leaders and capture the attention of their competitors. This catalytic effect often leads to additional dairy growth. For example, when dmi led the redevelopment and marketing relaunch of mcdonald's mccaf specialty beverage portfolio, other chains followed - with no additional investment from the dairy checkoff. Domino's continues to deliver record sales by focusing on new ways to engage with consumers to buy more pizzas and meet new occasions. In 2021, they supported trust efforts by incorporating dairy's story in their popular pizza tracker during national dairy month and celebrating national farmer's day on social media. Additionally, they expanded smart slice pizza to more than 14,000 schools. Dairy sales results were driven by domino's strong delivery programs and carry-out incentives. Mcdonald's continued its focus on menu development with introductions of menu items which included new cheeses and other dairy focused ingredients. Pizza hut continued to develop and launch dairy focused menu offerings which drove consumption of cheese. Taco bell continues to be a leader in developing and launching innovative dairy menu items with continued focus on new items. Domestic fluid milk partners revitalizing the fluid milk category remains a checkoff priority. To accomplish this, dmi works with targeted fluid milk processors who share farmers' commitment to invest in innovation, packaging, marketing efforts and infrastructure to address two core goals: -stabilizing the 40-plus year decline in fluid milk sales with a focus on letting milk be milk -growing milk-based beverages that let milk be the competition. This means milk serves as a primary ingredient in coffees, teas, smoothies and other ready-to-drink beverages. These efforts have led to sustainable change for the category through investments in infrastructure (e.g., new plant construction, upgraded facilities), advertising, staffing and product innovation. These partners have launched new beverages in growth-driving segments that include: -value-added milk -indulgent, flavored whole milk, and -on-the-go energy drinks made from milk dmi also partnered with the milk processor education program (milkpep) and leading brands to further develop the milk revitalization alliance. This effort provides retail-specific category leadership and shopper/consumer trend insights to help retailers understand how they can leverage and build the milk category. International partnerships: checkoff has embarked on direct partnerships with companies who supply or purchase u.s. Dairy to accelerate international sales. This effort builds on the successful domestic partnership model with foodservice companies and dairy cooperatives and processors by serving as expert consultants to provide marketing, packa

Form 990, Part III - Program Service, Line 4B

Export dmi implements marketing programs to facilitate the sales of u.s. Produced dairy products in international markets and u.s. Produced dairy ingredients outside the united states. Dmi also provides trade and access support for exports into international markets.

Form 990, Part III - Program Service, Line 4C

Fuel up to play 60 fuel up to play 60 (futp 60) is dairy's best success story when it comes to advancing health and wellness among youth. At its core, futp 60 is an in-school health and wellness program designed to engage and empower youth to take action for their own health by implementing long-term, positive changes for themselves, their schools and beyond. Customizable and non-prescriptive program components are grounded in research with youth, including tools and resources, in-school promotional materials, a website, student engagement activities and grants to fund sustainable changes especially in providing incremental access to school nutrition - with an emphasis on dairy. Futp 60 was founded in 2009 by the national dairy council (ndc) and the national football league (nfl), in collaboration with the u.s. Department of agriculture. Since that time futp 60 has become the largest in-school health & wellness program in the united states with more than 70,000 schools enrolled, reaching millions of students. The program has helped to change school environments to better support proper nutrition and physical activity, and because of fuel up to play 60, millions of students are eating healthier and are more physically active. The program has not only been well received by schools as it helps them improve the school health and wellness environment, especially in underserved schools, but it also has been embraced by those outside of the dairy industry who see the value of engaging in the program including many other health and nutrition organizations. Our success with futp 60 goes beyond healthy eating and physical activity in schools. It is about the total health of the child, and the positive impact on communities. As part of its mission to protect and grow sales and trust in dairy, dairy management inc. (dmi) and the innovation center for u.s. Dairy launched an industry-wide initiative in 2017, undeniably dairy. In its fifth year, during 2021, undeniably dairy serves as the dairy community's industry-wide, multi-stakeholder campaign that helps consumers and other stakeholders recognize the important role dairy plays in their lives. Undeniably dairy does this by building on consumer insights that indicate people increasingly want to know more about where their foods come from. The campaign connects people with the farmers and the dairy community behind the real, nutrient-rich and responsibly produced milk and dairy foods they love, while also bringing a bit of dairy joy during culturally relevant moments. Each year, undeniably dairy leverages an integrated multi-channel approach to expand reach, raise awareness and build participation and ultimately, trust, through: -integrated communications - a comprehensive approach that includes media and other channel partnerships, digital (websites, search, and social strategies), earned and social media, and through events and experiences. -influencer outreach - establishing and/or strengthening relationships with critical media, reputational (e.g., dietitians, health professional organizations, environmental and animal care leaders) and cultural influencers (e.g., food and lifestyle bloggers) that reach consumers. -community engagement - rallying the dairy, food and other relevant communities to amplify, customize and create content around undeniably dairy and its pillars to further unify and strengthen dairy's voice, including engagement among farmers, processors and manufacturers, retailers, and agribusiness. In its first five years, the campaign has made an impact. The undeniably dairy campaign has earned over 1 billion media impressions, including satellite media tours, desk-side visits and other media relations to reach targeted consumers and thought leaders. Historical efforts have secured hundreds of millions of impressions and millions of video views which led to significant lift in the perceptions of dairy.

Financial Statement Notes

Schedule D, Part XI, Line 4B

Investment income (net of expense) 1,510 total 1,510

Schedule D, Part XII, Line 4B

Investment income (net of expense) 1,510 total 1,510

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Document Assets

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Filings

Balance SheetOperations
YearAssetsLiabilitiesNet AssetsRevenueExpensesNet Income
2024Facts available. Structured filing facts are available, but richer extracted sections are limited.$25.4$25.4$0.00$166$166$0.00
2022Facts available. Structured filing facts are available, but richer extracted sections are limited.$25.6$25.6$0.00$178$178$0.00
2021Detailed filing. Detailed filing data is available for this year.$14.5$14.5$0.00$154$154$0.00
2020XML pending. An XML filing is linked for this year, but detailed extraction is still pending.$14.3$14.3$0.00$161$161$0.00
2019XML pending. An XML filing is linked for this year, but detailed extraction is still pending.$14.8$14.8$0.00$156$156$0.00
2018XML pending. An XML filing is linked for this year, but detailed extraction is still pending.$17.5$17.5$0.00$160$160$0.00
2017Facts available. Structured filing facts are available, but richer extracted sections are limited.$28.0$28.0$0.00$155$155$0.00
2015Detailed filing. Detailed filing data is available for this year.$21.8$21.8$0.00$148$148$0.00
2013Detailed filing. Detailed filing data is available for this year.$23.3$23.3$0.00$141$141$0.00
2012Facts available. Structured filing facts are available, but richer extracted sections are limited.$21.0$21.0$0.00$127
2011Facts available. Structured filing facts are available, but richer extracted sections are limited.$18.7$18.7$0.00$127
2010Facts available. Structured filing facts are available, but richer extracted sections are limited.$22.6$22.6$0.00$126
Peer Organizations

Similar nonprofits based on the same Siviq industry and scale cohort. 2021 filings • 501(c)6 • $100M-$250M nonprofits