Form 990 for tax year 2023

Revenue

Part VIII, the statement of revenue.

• 2a · Program service revenue: MGMT SERVICES REVENUE

  total $54,917,087 · related or exempt $54,917,087

• 2b · Program service revenue: RESIDENT SERVICE REVENUE

  total $14,498,838 · related or exempt $14,498,838

• 2c · Program service revenue: MEDICARE

  total $5,849,145 · related or exempt $5,849,145

• 2f · All other program service revenue

  total $0 · related or exempt $0 · unrelated business $0 · excluded $0

• 3 · Investment income

  total $41,442 · excluded $41,442

• 4 · Income from investment of tax-exempt bond proceeds

  total $39,416 · excluded $39,416

• 6a · Gross rents

  real property $47,550

• 6b · Less rental expenses

  real property $47,168

• 6c · Rental income or loss

  real property $382 · personal property $0

• 6d · Net rental income or loss

  total $382 · excluded $382

• 7a · Gross sales of assets other than inventory

  securities $740,805

• 7b · Less cost or other basis and sales expenses

  securities $701,989 · other assets $148

• 7c · Gain or loss

  securities $38,816 · other assets -$148

• 7d · Net gain or loss

  total $38,668 · excluded $38,668

• 11a · Other revenue: Miscellaneous Income

  total $123 · excluded $123

• 11b · Other revenue: DISCOUNTS EARNED

  total $14 · excluded $14

• 11d · All other revenue

  total $0 · related or exempt $0 · unrelated business $0 · excluded $0

• 11e · Other revenue, total

  $137

Functional expenses

Part IX, the statement of functional expenses.

• 5 · Compensation of officers, directors and key employees

  total $11,892,365 · program services $9,513,892 · management and general $2,378,473

• 6 · Compensation of disqualified persons

  total $692,357 · program services $553,886 · management and general $138,471

• 7 · Other salaries and wages

  total $45,258,898 · program services $38,245,686 · management and general $6,319,142 · fundraising $694,070

• 8 · Pension plan contributions

  total $2,387,882 · program services $1,890,645 · management and general $497,237

• 9 · Other employee benefits

  total $4,948,911 · program services $3,982,764 · management and general $963,137 · fundraising $3,010

• 10 · Payroll taxes

  total $3,811,095 · program services $3,201,431 · management and general $561,426 · fundraising $48,238

• 11b · Fees: legal

  total $52,452 · management and general $52,452

• 11c · Fees: accounting

  total $107,716 · management and general $107,716

• 11e · Fees: professional fundraising services

  total $4,342 · fundraising $4,342

• 11f · Fees: investment management

  total $74,694 · management and general $53,907 · fundraising $20,787

• 11g · Fees: other

  total $750,709 · program services $664,572 · management and general $86,137 · fundraising $0

• 12 · Advertising and promotion

  total $109,892 · program services $7,259 · management and general $102,633

• 13 · Office expenses

  total $1,463,996 · program services $804,165 · management and general $606,035 · fundraising $53,796

• 14 · Information technology

  total $129,298 · program services $82,797 · management and general $20,699 · fundraising $25,802

• 16 · Occupancy

  total $649,417 · program services $477,396 · management and general $172,021

• 17 · Travel

  total $2,089,590 · program services $1,641,288 · management and general $394,351 · fundraising $53,951

• 19 · Conferences, conventions and meetings

  total $27,614 · program services $27,614

• 20 · Interest

  total $333,189 · program services $333,189

• 22 · Depreciation, depletion and amortization

  total $1,400,828 · program services $409,003 · management and general $991,825

• 23 · Insurance

  total $111,407 · program services $105,844 · management and general $5,563

• 24a · Other expenses: BAD DEBT

  total $1,941,023 · program services $1,941,023

• 24b · Other expenses: MEDICAL SUPPLIES

  total $419,306 · program services $419,306

• 24c · Other expenses: EXCISE TAX

  total $371,205 · program services $296,964 · management and general $74,241

• 24d · Other expenses: MISCELLANEOUS EXPENSES

  total $363,070 · program services $276,270 · management and general $53,319 · fundraising $33,481

• 24e · All other expenses

  total $45,937 · program services $19,342 · management and general $22,553 · fundraising $4,042

Balance sheet

Part X, book values.

• 1 · Cash, non-interest-bearing

  beginning of year $175 · end of year $175

• 2 · Savings and temporary cash investments

  beginning of year $3,108,058 · end of year $3,650,020

• 4 · Accounts receivable

  beginning of year $2,710,720 · end of year $2,607,382

• 5 · Loans and receivables from officers and key people

  end of year $0

• 6 · Loans and receivables from disqualified persons

  end of year $0

• 9 · Prepaid expenses and deferred charges

  beginning of year $755,998 · end of year $649,377

• 10a · Land, buildings and equipment: cost or other basis

  $20,918,232

• 10b · Land, buildings and equipment: accumulated depreciation

  $5,460,722

• 10c · Land, buildings and equipment, net

  beginning of year $15,731,267 · end of year $15,457,510

• 11 · Investments: publicly traded securities

  beginning of year $3,352,914 · end of year $9,598,518

• 12 · Investments: other securities

  beginning of year $0

• 13 · Investments: program-related

  beginning of year $0

• 14 · Intangible assets

  beginning of year $3,560,000 · end of year $2,670,000

• 15 · Other assets

  beginning of year $23,700,879 · end of year $17,900,343

• 17 · Accounts payable and accrued expenses

  beginning of year $24,188,426 · end of year $29,113,642

• 22 · Loans and payables to officers and key people

  end of year $0

• 23 · Secured mortgages and notes payable

  beginning of year $16,113,048 · end of year $14,489,936

• 25 · Other liabilities

  beginning of year $0 · end of year $0

• 27 · Net assets without donor restrictions

  beginning of year $12,618,537 · end of year $8,929,747

The filer's explanations (Part III)

Schedule J, Part I, Line 1a Travel for companions

THE ORGANIZATION HAS AN ANNUAL BOARD OF DIRECTORS' EDUCATIONAL RETREAT NEAR ONE OR MORE OF THE ORGANIZATION'S COMMUNITIES, WHICH MAY REQUIRE SOME OR ALL BOARD MEMBERS TO TRAVEL. SPOUSES OF BOARD MEMBERS ARE ALSO INVITED TO ATTEND AT THE COMPANY'S EXPENSE. THESE SPOUSES PARTICIPATE IN EDUCATIONAL SESSIONS, SINCE THEY TOO HAVE AN INTEREST IN THE MISSION OF THE ORGANIZATION, FREQUENTLY BECOME INVOLVED IN DISCUSSION OF THEIR SPOUSE'S ROLE AND HOW THE ORGANIZATION FUNCTIONS, AND ALSO MUST PROVIDE ENABLING SUPPORT TO THE BOARD MEMBER. IN ADDITION, SPOUSES ALSO PROVIDE INSIGHT INTO THE EFFECTS OF THE ORGANIZATIONAL PLANS AND STRATEGIES. AS SUCH, THIS BENEFIT WAS NOT TREATED AS TAXABLE COMPENSATION.

Schedule J, Part I, Line 3 Arrangement used to establish the top management official's compensation

IT HAS BEEN THE PRACTICE OF THE MANAGEMENT COMPANY, ACTS MANAGEMENT SERVICES, INC., TO ENGAGE AN INDEPENDENT COMPENSATION CONSULTANT ON AN APPROXIMATELY BIENNIAL BASIS FOR THE PURPOSE OF REVIEWING THE COMPENSATION PROGRAM FOR THE ORGANIZATION'S TOP MANAGEMENT POSITIONS, RANGING FROM COMMUNITY MANAGERS UP TO THE CEO. THE STUDY, THE LATEST VERSION OF WHICH WAS COMPLETED IN 2023, INCLUDES COMPARISON OF NOT-FOR-PROFIT AND FOR-PROFIT COMPETITORS, OPERATING EFFECTIVENESS, AND IDENTIFICATION OF INDUSTRY SPECIFIC TRENDS OR PRACTICES IN COMPENSTION OR RECRUITMENT/EMPLOYMENT. MEASUREMENT AND ACTION ARE GENERALLY FOCUSED AT LEVELS FROM THE MEDIAN UP TO THE SEVENTY-FIFTH PERCENTILE AS IDENTIFIED IN THE STUDY. THE REPORTS' GENERAL FINDINGS ARE REVIEWED WITH BOARD OFFICERS. COMPENSATION ADJUSTMENTS FOR THE PRESIDENT & CEO ARE DETERMINED BY A COMMITTEE OF INDEPENDENT BOARD MEMBERS APPOINTED BY THE CHAIRMAN AND ARE BASED ON THE FINDINGS OF THE MOST RECENT STUDY AND A REVIEW OF PERFORMANCE COMPARED AGAINST OBJECTIVE CRITERIA. THIS DETERMINATION IS REPORTED TO AND APPROVED BY THE BOARD OF DIRECTORS AND IS DOCUMENTED IN WRITING BY THE BOARD CHAIR. SIMILARLY, COMPENSATION ADJUSTMENTS FOR THE MOST SENIOR MEMBERS OF MANAGEMENT REFLECT STUDY FINDINGS AND PERFORMANCE MEASUREMENT AGAINST SPECIFIED CRITERIA AND ARE DETERMINED BY THE CEO AND REVIEWED WITH THE BOARD CHAIR.

Schedule J, Part I, Line 4b Supplemental nonqualified retirement plan

OTHER COMPENSATION FOR KAREN I. CHRISTIANSEN, GERALD T. GRANT, GLENN D. FOX, JEFFERSON D. KAIGHN, AND JONATHAN D. GRANT INCLUDES ACCRUALS FOR A DEFERRED SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN. THE AMOUNT OF THE CURRENT YEAR ACCRUAL IS $219,621 FOR KAREN I. CHRISTIANSEN (NON-VESTED), $858,466 FOR GERALD T. GRANT (NON-VESTED), $485,929 FOR GLENN D. FOX (NON-VESTED), $302,720 FOR JEFFERSON D. KAIGHN (NON-VESTED), AND $4,532 FOR JONATHAN D. GRANT (NON-VESTED).

Disregarded entities

Part I: entities that legally are the filer and file no return of their own.

• ACTS RETIREMENT-LIFE COMMUNITIES MANAGEMENT LLC

  PROVIDES MANAGEMENT AND RELATED SERVICES TO SENIOR LIVING PROVIDERS · PA · income $42,341,202 · assets $14,975,504

  Directly controlled by ACTS MANAGEMENT SERVICES INC

• ACTS ALLIANCE MANAGEMENT LLC

  PROVIDES MANAGEMENT AND RELATED SERVICES TO SENIOR LIVING PROVIDERS · PA · income $4,274,729 · assets $3,303,836

  Directly controlled by ACTS MANAGEMENT SERVICES INC