CharityWatch Analysts perform an in-depth analysis of charities' audited financial statements and IRS tax filings, and often review other documents such as state filings, annual reports, and fundraising contracts during their evaluations. Below are select notes that CharityWatch believes may be of interest to donors.
Any time an Analysts' Note refers to a charity's Audited Financial Statements or IRS tax form, CharityWatch encourages interested donors to obtain a copy of the referenced documents so that they may view the information in context. Please contact the charity directly to request a copy of any referenced document. Charity tax forms and audits may also be obtained from a number of online databases. For a list of sources, please visit our LINKS page.
|According to the Environmental Working Group (EWG) 2016 tax filing, EWG received in-kind donated services and use of facilities on which it placed a value of $1,156,929 in 2016 (IRS Form 990, Schedule D, Part XI).|
[Note: CharityWatch generally excludes the value of in-kind (non-cash) donations of goods and services from its calculations of Program % and Cost to Raise $100. More information on how grades are calculated and the treatment of in-kind donations can be found by clicking on "About CharityWatch" from the navigation bar and then clicking on "Criteria & Methodology".]
|According to the Environmental Working Group 2016 tax filing re: Compensation Information (IRS Form 990, Schedule J, Part III):|
"Heather White, who served as Executive Director until December 31, 2015, received a severance payment of $153,333 during 2016."
|According to the Environmental Working Group (EWG) audit of December 31, 2016 (Note 9, Related Party Transactions):|
"EWG is affiliated through common management with the EWG Action Fund (EWGAF). EWG is affiliated with Food Policy Action (FPA) and Organic Voices (OV) through board membership by the President of EWG. EWGAF, FPA and OV are nonprofit, tax-exempt organizations under IRC Section 501(c)(4)..."
"In order for the organizations to minimize duplicative expenses and carry out their purposes in the most economical fashion, EWG provides certain management, accounting and administrative services to EWGAF, FPA, and OV for a monthly fee based upon direct costs incurred and allocable staff and related costs..."
The amounts billed by EWG to EWGAF, FPA, and OV in 2016 were: $226,400 to EWGAF; $6,758 to FPA; and $24,819 to OV.
Additionally, during the year ended December 31, 2016, Organic Voices (OV) provided a grant of $300,000 to EWG to fund its food policy work.
|According to the Environmental Working Group (EWG) audit of December 31, 2016 (Note 5, Commitments and Risks, License Agreement):|
"On October 29, 2014, EWG and HCHW [Healthy Child Healthy World] entered into an asset transfer and licensing agreement, whereby the respective Board of Directors of EWG and HCHW considered it advantageous and in the best interest of the individual organizations to improve efficiency and effectiveness of their programs by combining their respective assets and operations. ...As required by the agreement, EWG intends to continue the activities and programs of HCHW as a key program area of EWG for approximately three (3) years from the effective date of the agreement and HCHW has granted and assigned in full to EWG rights, title and interest in and all of its assets, except certain intellectual properties. The exclusive rights to the intellectual properties were instead licensed to EWG for a period until the earlier of the dissolution of HCHW or three (3) years from November 30, 2014, the effective date of [the] asset transfer and license agreement. If EWG fails to substantially invest (i.e., provides less than $150,000 in annual support) or undertake activities to maintain the HCHW programs as key programs of EWG, HCHW may request that all rights revert back to HCHW; however, upon expiration of the license agreement, all rights, title and interest in the intellectual property will be transferred to EWG automatically."