Attach to Form 990 or Form 990-EZ.
Go to
www.irs.gov/Form990 for instructions and the latest information.
| (i) Name of supported organization | (ii) EIN | (iii) Type of organization (described on lines 1- 10 above (see instructions)) | (iv) Is the organization listed in your governing document? | (v) Amount of monetary support (see instructions) | (vi) Amount of other support (see instructions) | |
|---|---|---|---|---|---|---|
| Yes | No | |||||
|
Total |
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Calendar year
(or fiscal year beginning in)
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(a) 2019 | (b) 2020 | (c) 2021 | (d) 2022 | (e) 2023 | (f) Total | |
|---|---|---|---|---|---|---|---|
| 1 | Gifts, grants, contributions, and membership fees received. (Do not include any "unusual grant.") .. | 6,541,342 | 7,941,866 | 3,085,362 | 3,951,827 | 815,766 | 22,336,163 |
| 2 | Tax revenues levied for the organization's benefit and either paid to or expended on its behalf .... | ||||||
| 3 | The value of services or facilities furnished by a governmental unit to the organization without charge.. | ||||||
| 4 | Total. Add lines 1 through 3 | 6,541,342 | 7,941,866 | 3,085,362 | 3,951,827 | 815,766 | 22,336,163 |
| 5 | The portion of total contributions by each person (other than a governmental unit or publicly supported organization) included on line 1 that exceeds 2% of the amount shown on line 11, column (f) .. | 770,515 | |||||
| 6 | Public support. Subtract line 5 from line 4. | 21,565,648 | |||||
Calendar year
(or fiscal year beginning in)
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(a) 2019 | (b) 2020 | (c) 2021 | (d) 2022 | (e) 2023 | (f) Total | |
|---|---|---|---|---|---|---|---|
| 7 | Amounts from line 4.. | 6,541,342 | 7,941,866 | 3,085,362 | 3,951,827 | 815,766 | 22,336,163 |
| 8 | Gross income from interest, dividends, payments received on securities loans, rents, royalties and income from similar sources... | 845,366 | 8,873 | 376 | 854,615 | ||
| 9 | Net income from unrelated business activities, whether or not the business is regularly carried on.. | ||||||
| 10 | Other income. Do not include gain or loss from the sale of capital assets (Explain in Part VI.).. | 2,358 | 31,281 | 37,544 | 283,591 | 279,200 | 633,974 |
| 11 | Total support. Add lines 7 through 10 | 23,824,752 | |||||
Calendar year (or fiscal
year beginning in) ![]() |
(a) 2019 | (b) 2020 | (c) 2021 | (d) 2022 | (e) 2023 | (f) Total | |
|---|---|---|---|---|---|---|---|
| 1 | Gifts, grants, contributions, and membership fees received. (Do not include any "unusual grants.") . | ||||||
| 2 | Gross receipts from admissions, merchandise sold or services performed, or facilities furnished in any activity that is related to the organization's tax-exempt purpose | ||||||
| 3 | Gross receipts from activities that are not an unrelated trade or business under section 513 ..... | ||||||
| 4 | Tax revenues levied for the organization's benefit and either paid to or expended on its behalf... | ||||||
| 5 | The value of services or facilities furnished by a governmental unit to the organization without charge | ||||||
| 6 | Total. Add lines 1 through 5 | ||||||
| 7a | Amounts included on lines 1, 2, and 3 received from disqualified persons | ||||||
| b | Amounts included on lines 2 and 3 received from other than disqualified persons that exceed the greater of $5,000 or 1% of the amount on line 13 for the year. | ||||||
| c | Add lines 7a and 7b.. | ||||||
| 8 | Public support. (Subtract line 7c from line 6.) | ||||||
Calendar year
(or fiscal year beginning in)
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(a) 2019 | (b) 2020 | (c) 2021 | (d) 2022 | (e) 2023 | (f) Total | |
|---|---|---|---|---|---|---|---|
| 9 | Amounts from line 6... | ||||||
| 10a | Gross income from interest, dividends, payments received on securities loans, rents, royalties and income from similar sources.. | ||||||
| b | Unrelated business taxable income (less section 511 taxes) from businesses acquired after June 30, 1975. | ||||||
| c | Add lines 10a and 10b. | ||||||
| 11 | Net income from unrelated business activities not included on line 10b, whether or not the business is regularly carried on. | ||||||
| 12 | Other income. Do not include gain or loss from the sale of capital assets (Explain in Part VI.) .. | ||||||
| 13 | Total support. (Add lines 9, 10c, 11, and 12.).. | ||||||
| Section A - Adjusted Net Income | (A) Prior Year |
(B) Current Year (optional) |
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| 1 | Net short-term capital gain | 1 | ||||
| 2 | Recoveries of prior-year distributions | 2 | ||||
| 3 | Other gross income (see instructions) | 3 | ||||
| 4 | Add lines 1 through 3 | 4 | ||||
| 5 | Depreciation and depletion | 5 | ||||
| 6 | Portion of operating expenses paid or incurred for production or collection of gross income or for management, conservation, or maintenance of property held for production of income (see instructions) | 6 | ||||
| 7 | Other expenses (see instructions) | 7 | ||||
| 8 | Adjusted Net Income (subtract lines 5, 6 and 7 from line 4) | 8 | ||||
| Section B - Minimum Asset Amount | (A) Prior Year |
(B) Current Year (optional) |
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| 1 | Aggregate fair market value of all non-exempt-use assets (see instructions for short tax year or assets held for part of year): | 1 | ||||
| a | Average monthly value of securities | 1a | ||||
| b | Average monthly cash balances | 1b | ||||
| c | Fair market value of other non-exempt-use assets | 1c | ||||
| d | Total (add lines 1a, 1b, and 1c) | 1d | ||||
| e |
Discount claimed for blockage or other factors (explain in detail in Part VI): |
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| 2 | Acquisition indebtedness applicable to non-exempt use assets | 2 | ||||
| 3 | Subtract line 2 from line 1d | 3 | ||||
| 4 | Cash deemed held for exempt use. Enter 0.015 of line 3 (for greater amount, see instructions). | 4 | ||||
| 5 | Net value of non-exempt-use assets (subtract line 4 from line 3) | 5 | ||||
| 6 | Multiply line 5 by 0.035 | 6 | ||||
| 7 | Recoveries of prior-year distributions | 7 | ||||
| 8 | Minimum Asset Amount (add line 7 to line 6) | 8 | ||||
| Section C - Distributable Amount | Current Year | |||||
| 1 | Adjusted net income for prior year (from Section A, line 8, Column A) | 1 | ||||
| 2 | Enter 85% of line 1 | 2 | ||||
| 3 | Minimum asset amount for prior year (from Section B, line 8, Column A) | 3 | ||||
| 4 | Enter greater of line 2 or line 3 | 4 | ||||
| 5 | Income tax imposed in prior year | 5 | ||||
| 6 | Distributable Amount. Subtract line 5 from line 4, unless subject to emergency temporary reduction (see instructions) | 6 | ||||
| Section D - Distributions | Current Year | |
|---|---|---|
| 1 Amounts paid to supported organizations to accomplish exempt purposes | 1 | |
|
2
Amounts paid to perform activity that directly furthers exempt purposes of supported organizations, in excess of income from activity |
2 | |
| 3 Administrative expenses paid to accomplish exempt purposes of supported organizations | 3 | |
| 4 Amounts paid to acquire exempt-use assets | 4 | |
| 5 Qualified set-aside amounts (prior IRS approval required - provide details in Part VI) | 5 | |
| 6 Other distributions (describe in Part VI). See instructions | 6 | |
| 7Total annual distributions. Add lines 1 through 6. | 7 | |
|
8
Distributions to attentive supported organizations to which the organization is responsive (provide details in Part VI). See instructions |
8 | |
| 9 Distributable amount for 2023 from Section C, line 6 | 9 | |
| 10 Line 8 amount divided by Line 9 amount | 10 | |
| Section E - Distribution Allocations (see instructions) |
(i) Excess Distributions |
(ii) Underdistributions Pre-2023 |
(iii) Distributable Amount for 2023 |
|
|---|---|---|---|---|
| 1 Distributable amount for 2023 from Section C, line 6 | ||||
|
2
Underdistributions, if any, for years prior to 2023 (reasonable cause required-- explain in Part VI).
See instructions. |
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| 3 Excess distributions carryover, if any, to 2023: | ||||
| a From 2018....... | ||||
| b From 2019....... | ||||
| c From 2020....... | ||||
| d From 2021....... | ||||
| e From 2022....... | ||||
| fTotal of lines 3a through e | ||||
| g Applied to underdistributions of prior years | ||||
| h Applied to 2023 distributable amount | ||||
|
i
Carryover from 2018 not applied (see instructions) |
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| j Remainder. Subtract lines 3g, 3h, and 3i from line 3f. | ||||
| 4Distributions for 2023 from Section D, line 7: | ||||
| $ | ||||
| a Applied to underdistributions of prior years | ||||
| b Applied to 2023 distributable amount | ||||
| c Remainder. Subtract lines 4a and 4b from line 4. | ||||
|
5
Remaining underdistributions for years prior to 2023, if any. Subtract lines 3g and 4a from line 2. If the amount is greater than zero, explain in Part VI. See instructions. |
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6
Remaining underdistributions for 2023. Subtract lines 3h and 4b from line 1. If the amount is greater than zero, explain in Part VI. See instructions. |
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7 Excess distributions carryover to 2024. Add lines 3j and 4c. |
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| 8 Breakdown of line 7: | ||||
| a Excess from 2019..... | ||||
| b Excess from 2020..... | ||||
| c Excess from 2021..... | ||||
| d Excess from 2022..... | ||||
| e Excess from 2023..... | ||||
| Facts And Circumstances Test |
|---|
| I. BackgroundAmericans for the Arts Foundation, ("AFTA Foundation") is a nonprofit organization incorporated in the District of Columbia in 2007. AFTA Foundation's mission is to carry out activities to raise funds from grants, contributions, bequest and devises, and support the charitable purposes of Americans for the Arts. This mission is accomplished by distributing grants from one of five established funds.II. Analysis AFTA Foundation qualifies as a "publicly supported organization described under section 170(b)(1)(A)(vi) and therefore as an organization described in section 509(a)(1) because it satisfies the "facts and circumstances test" set forth in section 1.170A-9(e)(3) of the Treasury Regulations.A. Threshold RequirementsAFTA Foundation is eligible for a determination of public support under the facts and circumstances test because it meets the two threshold requirements for consideration. First, the portion of AFTA Foundation's support in 2022 that qualifies as eligible public support is approximately 10.58%, which exceeds the 10% threshold required under Treasury Regulation section 1.170A-9(e)(3)(i). Second, AFTA Foundation's operations ensure that it will continue to attract new and additional public support, as required by Treasury Regulation section 1.170A-9(e)(3)(ii). AFTA Foundation's board has reengaged plans to build (1) a continuous and bona fide program for soliciting funds from the general public, community, membership group involved, and governmental units, and (2) the sources of support provide services directly for the benefit of the general public on a continuing basis, thereby satisfying the other threshold requirement for qualifying as publicly supported under the facts and circumstances test. B. Other Relevant FactorsIn determining whether AFTA Foundation meets the "facts and circumstances test," the Treasury Regulations also provide a list of factors that serve as indicia of whether an organization qualifies as "publicly supported." These additional factors, discussed below, provide further evidence that AFTA Foundation satisfies the facts and circumstances test. 1. Sources of SupportAFTA Foundation receives its public support from a wide variety of contributors and does not depend on a single family for contributions, two facts that provide further support for AFTA Foundation's qualification as a "publicly supported" entity. These donors include tax-exempt entities, for-profit corporations, and individuals. While donors were not actively pursued in 2021-2023, a refreshed AFTA Foundation Board plans to reach out to new donors in the coming years by creating a new strategic plan around the Foundation's direction, members, patrons, etc. 2. Representative Governing BodyThe representative nature of an organization's governing body is also a factor in determining whether it qualifies under the "facts and circumstances test." In considering whether a board is representative, such factors as the members' expertise in the relevant field, their history of leadership in the community and their tradition of public service are relevant. AFTA Foundation's Board of Directors includes a variety of industry leaders with a broad range of experience in fields relevant to AFTA Foundation's public service activities, including humanitarian/economic development, finance, healthcare, medical, marketing/advertising, education, and strategic enterprise planning. The following individuals currently serve on AFTA Foundation's Board of Directors:Julie Muraco, AFTA Investment Committee Chair, AFTA Immediate Past Chair, AFTA Foundation ChairManaging Partner, Praeditis Group LLCJulie C. Muraco is founder and Managing Partner of Praeditis Group LLC, a capital markets & business consultancy working with serial entrepreneurs, UHNW/family offices and foundations & endowments seeking direct and secondary investments and alternative investment strategies. She founded Praeditis Group with a concentration on the "permanent private capital and "impact investment" business models in 2008.Ms. Muraco spent more than 20 years on Wall Street as a vice president with J.P. Morgan's Cash Markets Division, New York City, and as a managing director in the Capital Markets Division of Smith Barney in Chicago and earlier in Cleveland.She is on the Board of Directors of Americans for the Arts, Washington, D.C., serving as immediate past Chairman of the Board of Directors; the Board of Trustees of the Robert Sterling Clark Foundation, New York, NY as Treasurer and Chair of the Investment Committee. She was past board trustee for the Duke of Edinburgh Award U.S.A. Chaired by HRH, Prince Edward, The Earl of Wessex and was a member of the national media advisory council of Springboard Enterprises, Washington D.C., a venture catalyst firm for women owned and women funded businesses.She is FINRA licensed with a Series 7, Series 63, and Series 79.Ms. Muraco holds a B.A. in Finance from Baldwin-Wallace College, Berea, Ohio. She resides in New York, NY and Aspen, Colorado.Michael S. Verruto, AFTA Audit Committee Chair, AFTA Foundation Secretary & TreasurerManaging Director, HPI CapitalMichael Verruto is the managing director of HPI Capital and has many years in the real estate business, including development, leasing, and management of the Carillon, a $100 million office tower in Charlotte, NC. Mr. Verruto joined Hesta Properties, Inc., the predecessor to the HPI Group, in 1990 and was promoted to vice president of operations and development in 1991. In this position, he managed the company's operational, property management, and leasing functions as well as the firm's expansion into build-to-suit development, third-party asset management, tenant representation, consulting, and brokerage services. Mr. Verruto was a co-founder and president of Noah Studios, Inc., a multidiscipline design and development firm. He has also held positions with Charlotte-based general contracting and architectural firms, and has done specialty renovation contracting for restoration of several historical properties in Bucks County, PA. An active member of the Charlotte arts and business community, he has served as a member of the Charlotte Chamber Advisory Council, a board member of Theatre Charlotte, chair of First Night Charlotte, and chair of the Charlotte Mecklenburg Public Art Commission. Mr. Verruto attended the University of North Carolina at Charlotte and has a B.A. from the College of Architecture with a minor in English. Very Respectfully,Matthew X. Ryan, CPA, CFEOutsourced CFO |
| Return Reference | Explanation |
|---|---|
| Schedule A, Part II, Line 10, Explanation of Other Income: | Other Income - 2019 Amount: $ 2,358. 2020 Amount: $ 31,281. 2021 Amount: $ 37,544. 2022 Amount: $ 283,591. 2023 Amount: $ 279,200. |
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| Return Reference | Explanation |
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| Form 990, Part VI, Section A, line 6 | AFTA has four classes of members: Community Arts Organization Members, Professional Association Members, Organizational Members, and Individual Members. |
| Form 990, Part VI, Section A, line 7a | The Committee on Board Operations and Leadership prepares a slate of candidates for Board of Directors elections, which is submitted to the Board of Directors annually for election by majority vote of the Board of Directors. The Committee on Board Operations is appointed by the Board Chair at the annual fall Board meeting, with Board approval. |
| Form 990, Part VI, Section B, line 11b | The federal Form 990 is posted on the Board portal of the website. The Board of Directors is notified that it is there for their review prior to filing the Form 990 with the Internal Revenue Service. Board members are encouraged to review the Form 990 |
| Form 990, Part VI, Section B, line 12c | The conflict of interest form is delivered each January to Board members as part of the Board of Director manual with a memo instructing them to complete and return the form to the VP, Finance. The VP, Finance maintains a spreadsheet annually and follows up with those Board members who do not return the form. |
| Form 990, Part VI, Section B, line 15a | President & CEO and top management: The Chair forms a committee to review President & CEO performance and hires an independent compensation consultant to conduct a survey of CEO compensation packages at similar institutions. This survey forms the basis for determining the compensation of the President & CEO by the Chair and the committee. Other officers and key employees: Every three years, the organization procures and studies several key compensation reports to determine comparable salaries. Employee's performance is reviewed each year to help determine any increases that might be merited based on achievement of predetermined goals. |
| Form 990, Part VI, Section C, line 19 | All documents required by law are provided upon written request. |
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