The National Center on Addiction and Substance Abuse

“Prior to filing, the form 990 was reviewed by our ceo, board chairman and audit committee of the board. Copies of the form 990 are provided to all members of the board prior to filing.”

“The secretary distributes the conflict of interest policy and acknowledgement statement to new board members upon joining the board and to all members annually. The same process is followed for officers and key employees. The genral counsel reviews each signed statement and discusses any issues arising from conflict disclosures with the chairman and president. The secretary reports to the audit committee of the board at least annually on the process. Our independent auditors also review these documents. The organization conducts periodic reviews of the compensation of the ceo and the president as well as other officers and key employees, the partnership to end addiction policy requires the use of comparables gathered from the form 990s of other tax-exempt organizations, as well as other comparative information. The comparables are submitted to the audit committee of the board of directors which serves as the compensation committee and consists only of independent members of the board. The audit committee is authorized to approve officer and key employee compensation except with respect to the president and ceo. In this case, the audit committee makes a recommendation to the full board of directors which must approve the president and ceo compensation. Deliberations and discussion are documented contemporaneously in meeting minutes.”

“To determine the survey results of the president and ceo as well as other officers and key employees, the partnership to end addiction policy requires the use of comparables gathered from the form 990s of other tax-exempt organizations and compiled into a survey. The comparables are then submitted to the audit committee of the board of directors - which serves as the compensation committee and consists only of independent members of the board. The audit committee is authorized to approve officer and key employee compensation except with respect to the president and ceo. In this case, the audit committee makes a recommendation to the full board of directors which must approve the president and ceo compensation. Deliberations and discussion are documented contemporaneously in meeting minutes.”

“Copies of the form 990 and audited financial statements are regularly provided, on request, to prospective or existing funders and any member of the public who requests a copy and are also available on the partnership to end addiction website. Governing documents are provided, on request, and are frequently requested with grant proposals. The conflict of interest policy is available upon request.”

“During the year, the partnership sold its portion of its condominium interest to a third party for $12.5 million and $10.7 million in april and december 2020, respectively. The partnership recognized a gain on the sale of $16,072,887 for the year ended december 31, 2020.”

“The partnership's continuing operations have been affected by the recent and ongoing outbreak of the coronavirus (covid-19), which was declared a pandemic by the word health organization in march 2020. Actions taken around the world to help mitigate the spread of covid-19 include restrictions on travel, quarantines in certain areas, and forced closures for certain types of public places and business. The coronavirus and the actions taken to mitigate it have had and are expected to continue to have an adverse impact on the economics and financial markets of many countries, including the geographical location in which the partnership operates. While it is unknown how long these conditions will last and what the complete financial effect will be to the partnership, to date, the partnership is experiencing a decrease in revenue due to certain programs closing and an increase in expenses to keep staff and clients safe. A large percentage of the partnership's workforce is working remotely. The partnership continues to monitor the impact the covid-19 outbreak may have on the partnership in the future. On may 6, 2020, the partnership received loan proceeds in the amount of $1,100,000 under the paycheck protection program (ppp). The ppp, established as part of the coronavirus aid, relief and economic security act (cares act), provides for loans to qualifying businesses for amounts up to 2.5 times of the average monthly payroll expenses of the qualifying business. The loan and accrued interest are forgivable after 24 weeks that begins on the first day of the organization's first pay period following its ppp loan disbursement date (the covered period) and ends no later than december 31, 2020, as long as the borrower uses the loan proceeds for eligible purposes, including payroll, benefits, rent, and utilities, and maintains its payroll levels. The amount of loan forgiveness will be reduced if the borrower terminates employees or reduces salaries during the covered period unless unable to be operating at the same level of business activity as before february 15, 2021. The partnership has determined to account for its ppp loan under a debt model. The partnership used the proceeds for qualifying payroll costs consistent with the ppp guidance. The partnership believes that its use of the loan proceeds has met the conditions for forgiveness; however, no assurance can be provided that client will be eligible for forgiveness, in whole, or in part. Any amount of the ppp loan that is unforgiven is payable over two years at an interest rate of 1%, with a deferral of payments for 10 months after the end of the covered period. In february 2021, the partnership was granted a loan (the "loan") from bank of america in the aggregate amount of $875,000, pursuant to the paycheck protection program second draw (the ppp 2) under section 311 of the economic aid to hard-hit small businesses act (the economic aid act), which was signed into law on december 27, 2020 and is part of the original cares act, which was enacted march 27, 2020. Section 311 of the economic aid act authorized the u.s. Small business administration (sba) to guarantee ppp 2 loans under generally the same terms and conditions available under the original ppp first draw. The loan is the form of a note dated february 10, 2021 issued by the borrower and matures on february 10, 2026 and bears interest at a rate of 1% per annum. Funds from the loan may only be used for qualified expenses which include payroll costs, costs used to continue group healthcare benefits, mortgage payments, rent, utilities, interest on other debt obligation incurred before february 15, 2020, covered operations expenditures, covered property damage costs, covered supplier costs, and covered worker protection expenditures. In accordance with the cares act and the ppp, if the loan proceeds are fully utilized to pay for qualified expenses, the full principal amount of the loan, along with any accrued interest, may qualify”

“Media services: program service expenses 960,642. Management and general expenses 0. Fundraising expenses 0. Total expenses 960,642. Training, coaching, & leadership consulting: program service expenses 505,083. Management and general expenses 52,500. Fundraising expenses 0. Total expenses 557,583. Security, tech, and it conuslting: program service expenses 173,658. Management and general expenses 237,740. Fundraising expenses 0. Total expenses 411,398. Program consultants: program service expenses 289,676. Management and general expenses 0. Fundraising expenses 0. Total expenses 289,676. Research consultants: program service expenses 185,361. Management and general expenses 0. Fundraising expenses 0. Total expenses 185,361. Temp services: program service expenses 132,493. Management and general expenses 0. Fundraising expenses 0. Total expenses 132,493. Management fees: program service expenses 0. Management and general expenses 83,359. Fundraising expenses 0. Total expenses 83,359. Moving consulting expenses: program service expenses 0. Management and general expenses 72,400. Fundraising expenses 0. Total expenses 72,400. Misc. Other fees: program service expenses 132,567. Management and general expenses 56,121. Fundraising expenses 50,029. Total expenses 238,717.”

“Loss on uncollectible grants and contributions -66,590. Reversal of grant accrual 27,700.”