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Top Rated

Friends of the Earth

CharityWatch report issued
October 2021

Top-Rated Charity
B+
CharityWatch Grade
Our independent grade based
on a number of factors.
 
74%
Program Percentage
Amount spent on programs
relative to overhead.
 
$18
Cost to Raise $100
Amount spent to raise
$100 of contributions.

Contact Information

Friends of the Earth
1101 15th Street NW
Suite 1100
Washington, DC 20005

Other Names

None

Tax Status

501(c)3

Website

www.foe.org

Stated Mission

Defends the environment and champions a healthy and just world.

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Data based on Fiscal Year Ended 06/30/2020

Program Percentage: 74%

The percentage of Friends of the Earth's cash budget it spends on programs relative to overhead (fundraising, management, and general expenses).

$11,000,000

Calculated Total Expenses

(rounded)

 

Cost to Raise $100: $18

How many dollars Friends of the Earth spends on fundraising to raise each $100 of contributions.

$12,000,000

Calculated Total Contributions

(rounded)

Joint Costs

Friends of the Earth's rating was adjusted for Joint Costs. If you are a donor who considers direct mail, telemarketing, and other Joint Cost solicitations to be true charitable programs, the below efficiency ratios, which were not adjusted for joint costs, may better reflect your goals.

Program % Cost to Raise $100
81% $12
Accounting rules allow charities to report some telemarketing, direct mail, and other solicitation costs as Program expenses. CharityWatch believes that most donors do not consider a charity's solicitation activities to be the Programs they are intending to support with their donations. We therefore adjust such expenses out of a charity's reported Program expense and add it to Fundraising expense prior to calculating its rating.

Government Funding

0% to 24%

Percentage of cash revenue
coming from government sources

 

Financial Documents

Entity Document Type Tax ID
Friends of the Earth Audited Financial Statements 23-7420660
Friends of the Earth IRS Form 990 23-7420660
Entity: Friends of the Earth
Document Type: Audited Financial Statements
Tax ID: 23-7420660
Entity: Friends of the Earth
Document Type: IRS Form 990
Tax ID: 23-7420660

Governance & Transparency

CharityWatch evaluates certain criteria related to a charity's Governance and Transparency. Donors may want to consider a charity's willingness to be open and transparent with CharityWatch to be a good litmus test for determining its commitment to public accountability.
This charity is Top-Rated
What does it mean to be Top-Rated?
 
Friends of the Earth
meets governance benchmarks.
 
Friends of the Earth
meets transparency benchmarks.
Transparency
Provides Financial Information
Audit Accessibility
Governance: Policies
Reports regularly & consistently monitoring & enforcing compliance with a written Conflict of Interest Policy
Reports required, annual disclosure by officers, directors, and key staff of interests that could give rise to conflicts
Reports having a written Whistleblower Policy
Reports having a written Document Retention and Destruction Policy
Governance: Financials
Reports providing copy of tax form to all board members prior to filing it with IRS
Reports that financial statements were audited by an independent accountant
Governance: Board of Directors
Reports at least 5 voting board members
51% or more of voting board members reported as independent
Reports documenting minutes of board and board committee meetings
Privacy Policy
Privacy Policy Opt-Out Policy  

  Name Title Compensation
1 Erich G. Pica President $201,799
2 Michelle Wai-Wah Chan VP of Programs $130,802
3 Peter A. Stocker VP of Membership & Development $130,566
1
Name: Erich G. Pica
Title: President
Compensation: $201,799
2
Name: Michelle Wai-Wah Chan
Title: VP of Programs
Compensation: $130,802
3
Name: Peter A. Stocker
Title: VP of Membership & Development
Compensation: $130,566

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.

CharityWatch's rating of Friends of the Earth is for the 501(c)(3) public charity entity (tax ID #23-7420660). The rating does not include the financial activities of the related 501(c)(4) tax-exempt, social welfare organization, Friends of the Earth Action (tax ID #13-2644641). CharityWatch does not provide a separate rating for Friends of the Earth Action at this time given its relatively small size.


According to the Friends of the Earth (FOE) audit of June 30, 2020 (Note 4, Related Party Transactions):

"The Organization [FOE] shares expenses with Friends of the Earth (Action), Inc. ... Shared expenses include employee compensation, rent, and operating expenses. Friends of the Earth and Friends of the Earth (Action), Inc. have separate boards of directors."

[...]

"The Organization [FOE] made grants of $300,000 to Friends of the Earth (Action), Inc. during both 2020 and 2019..."


[Should CharityWatch rate Friends of the Earth Action in the future, we would issue a separate rating for the organization given its 501(c)(4) tax status. For more information on this topic, please see our sections on Types of Non-Profits, Tax Status, and Treatment of Related Organizations, which can be found on the Our Process page. More information about things to consider when donating to organizations that have related public charity and social welfare entities is available by reading our article, Sorting Out Nonprofit Pairs.]

According to the Friends of the Earth audit of June 30, 2020 (Note 13, General Contingencies):

"The COVID-19 pandemic is having significant effects on global markets, supply chains, businesses, and communities. Specific to the Organization, COVID-19 may impact various parts of its fiscal year 2021 operations and financial results including but not limited to additional costs for increased use of technology, potential shortages of employees or loss of revenue due to reductions in certain revenue streams. Management believes the Organization is taking appropriate actions to mitigate the potential negative impact. However, the full impact of COVID-19 is unknown and cannot be reasonably estimated as of April 7, 2021 as the situation is ongoing."

According to the Friends of the Earth audit of June 30, 2020 (Note 14, PPP Loan):

"The Organization applied for and was approved for a $1,162,500 loan under the Paycheck Protection Program (PPP) created as part of the relief efforts related to COVID-19 and administered by the Small Business Administration. ... The PPP Loan bears interest at a fixed rate of 1.0% per annum, has a term of two years, and is unsecured and guaranteed by the U.S. Small Business Administration. Payment of principal and interest is deferred until the date on which the amount of forgiveness is remitted to the lender or, if the Organization fails to apply for forgiveness within 10 months after the covered period, then payment of principal and interest shall begin on that date. The covered period to spend their funds was for 24 weeks following receipt of the funds in April 2020..."


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