Marine Corps Association Foundation does not meet the following 3 Standards for Charity Accountability:
Standard 8 (Program Service Expense Ratio)
Spend at least 65% of its total expenses on program activities.
MCAF does not meet this Standard because:
- According to its consolidated audited financial statements for the year ended December 31, 2018, the organization spent $1,001,620 or 62% of its total expenses on programs.
Standard 12 (Detailed Functional Breakdown of Expenses)
Include in the financial statements a breakdown of expenses (e.g., salaries, travel, postage, etc.) that shows what portion of these expenses was allocated to program, fund raising, and administrative activities. If the charity has more than one major program category, the schedule should provide a breakdown for each category.
MCAF does not meet this Standard because:
- Although the organization's 2018 consolidated audited financial statements included a detailed functional breakdown of expenses, the breakdown was combined with the organization's affiliate, MCA.
Standard 16 (Annual Report)
Have an annual report available to all, on request, that includes: (a) the organization's mission statement, (b) a summary of the past year's program service accomplishments, (c) a roster of the officers and members of the board of directors, (d) financial information that includes (i) total income in the past fiscal year, (ii) expenses in the same program, fund raising and administrative categories as in the financial statements, and (iii) ending net assets.
MCAF does not meet this Standard because the 2018 annual report did not include:
- Total expenses for each program in the same categories that appear in the organization’s financial statements (retail operations, publications and membership, professional development, and awards and other).
The BBB Wise Giving Alliance requested but did not receive complete information from the organization and is unable to verify the organization's compliance with the following Standard(s) for Charity Accountability:
14
Marine Corps Association Foundation meets the remaining 16 Standards for Charity Accountability.
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Year, State Incorporated
2009, DC
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Also Known As
Marine Corps Association & Foundation
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Affiliates
Marine Corps Association
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Stated Purpose
"to provide resources and support to sustain and expand programs and activities essential to the Marine Corps Association's mission by engaging everyone inspired by the Marine Corps."
The Marine Corps Association Foundation (MCAF) helps develop Marine leaders through four programs. MCAF's Commanders' Forum Program provides funding to assist commanders in developing and providing forum opportunities specifically tailored to enhance their Marines' and Sailors' knowledge of the operational matters from a historical, cultural, or operational perspective. The Unit Library Program provides Marines with access to books that will enhance their professional military education. According to MCAF's 2018 IRS Form 990, over 38,500 Marines were served by this program. MCAF's Marine Writing Program encourages Marines to develop their critical reasoning and writing skills. Lastly, MCAF recognizes exceptional performance across the Marine Corps with their Marine Excellence Awards.
For the year ended December 31, 2018, Marine Corps Association Foundation's program expenses were:
Awards and other |
$590,119 |
Professional development |
$411,501 |
Total Program Expenses: |
$1,001,620 |
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Chief Executive
William Faulkner USMC (Ret), President and Chief Executive Officer
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Compensation*
$304,346
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Chair of the Board
LtGen Flynn USMC (Ret)
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Chair's Profession / Business Affiliation
Retired Marine General
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Board Size
19
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Paid Staff Size
20
*2018 compensation includes annual salary and, if applicable, benefit plans, expense accounts, and other allowances.
Note: The compensation information above combines Lieutenant General William Faulkner's salary and benefits paid by both MCAF ($40,945) and its affiliate Marine Corps Association ($263,401).
Method(s) Used:
Direct mail appeals, Grant proposals, Internet, Planned giving arrangements, Print advertisements (newspapers, magazines, etc.)
Fundraising costs were 30% of related contributions. (Related contributions, which totaled $1,585,421, are donations received as a result of fundraising activities.)
This organization is tax-exempt under section 501(c) (3) of the Internal Revenue Code.It is eligible to receive contributions deductible as charitable donations for federal income tax purposes.
The following information is based on Marine Corps Association Foundation's audited financial statements - consolidated for the year ended December 31, 2018.
Source of Funds |
Contributions |
$1,553,821 |
Sponsorships |
$31,600 |
Interest, dividends and realized gains (net) |
$2,951 |
Other |
$1,490 |
Unrealized loss on investments |
($5,937) |
Total Income |
$1,583,925 |
- Programs: 63%
- Fundraising: 30%
- Administrative: 7%
Total Income |
$1,583,925 |
Program expenses |
$1,001,620 |
Fundraising expenses |
$477,186 |
Administrative expenses |
$124,924 |
Other expenses |
$0 |
Total expenses: |
$1,603,730 |
Income in Excess of Expenses |
$-19,805 |
Beginning Net Assets |
$609,234 |
Other Changes In Net Assets |
$0 |
Ending Net Assets |
$589,429 |
Total Liabilities |
$74,694 |
Total Assets |
$664,123 |