Natural Resources Defense Council (NRDC)

CharityWatch's rating of Natural Resources Defense Council (NRDC) is for the 501(c)(3) public charity, which has offices in New York City, Washington DC, San Francisco, Los Angeles, Chicago and Bozeman, Montana, as well as in Beijing, China, according to Note 1 of the NRDC consolidated audit of June 30, 2022.

CharityWatch's rating of NRDC does not include the financial activities of the NRDC Action Fund, which is a 501(c)(4) tax-exempt, social welfare organization that is an affiliate of NRDC. "The Action Fund works to build the political support needed in the United States to protect the planet and its people," according to Note 1 of the NRDC consolidated audit of June 30, 2022. CharityWatch provides a separate rating for NRDC Action Fund (tax ID #13-3976062).

CharityWatch separates the ratings for 501(c)(3) & 501(c)(4) organizations, even when their financial activities are included together in a consolidated audit, due to their differing treatments under the IRS tax code. 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.

For more information about things to consider when donating to organizations that have related public charity and social welfare entities, read "Sorting Out Nonprofit Pairs."

According to Natural Resources Defense Council (NRDC) consolidated audit of June 30, 2022 (Note 2, Summary of Significant Accounting Policies, Subsequent Events):

"NRDC evaluated its June 30, 2022, consolidated financial statements for subsequent events through November 29, 2022, the date the consolidated financial statements were available to be issued. NRDC is not aware of any material subsequent events which would require recognition or disclosure in the accompanying consolidated financial statements, other than what is disclosed. NRDC is in the process of establishing a for-profit company in India, which will further NRDC's mission."

According to the Natural Resources Defense Council (NRDC) tax filing for the fiscal year ended June 30, 2022, NRDC reports receiving donated services and use of facilities on which it placed a value of $2,501,974 (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 on the Our Process page.]

According to the Natural Resources Defense Council (NRDC) tax filing for the fiscal year ended June 30, 2022, NRDC reports re: Compensation, Supplemental Information (IRS Form 990, Schedule J, Part III):

Regarding severance or change-of-control payments to officers, directors, trustees, key employees and highest compensated employees (Schedule J, Part I, Line 4a):

"During the calendar year 2021, Chief Board Relations Officer, Anika Rahman received a severance payment in the amount of $286,841..."

[Anika Rahman's total compensation in 2021 is reported as $501,423 (IRS Form 990, Schedule J, Part II).]

Regarding compensation of reporting trustee (Schedule J, Part II, Column B(I), Base compensation):

"After over thirty-five years of committed service as NRDC's Founder and President, John Adams retired on April 1, 2006. John was a part-time consultant for NRDC and received $175,000 for these services in calendar year 2021. He retired from the Board in February of 2022."

NRDC reports "Bonus & incentive compensation" for eleven individuals in calendar year 2021, including $120,000 paid to Mitchell Bernard, Past Interim President & Chief Counsel, whose reported total compensation in 2021 is $705,195. The remaining ten individuals received "Bonus & incentive compensation" payments that range from $7,650 to $87,308, with associated reported total compensation ranging from $300,207 to $447,603 (IRS Form 990, Schedule J, Part II).

According to the Natural Resources Defense Council (NRDC) tax filing for the fiscal year ended June 30, 2022, NRDC reports re: Business Transactions Involving Interested Persons (IRS Form 990, Schedule L, Part IV):

"Board of Trustees member, Wendy Neu, has an ownership interest in a building in which NRDC leases space. The annual rent under the lease agreement is $847,639. The aforementioned transaction was entered into by both parties at arm's length and the lease terms are determined by utilizing current market rates" (IRS Form 990, Schedule L, Part V).

According to the Natural Resources Defense Council (NRDC) tax filing for the fiscal year ended June 30, 2022, NRDC reports re: Supplemental Information to Form 990 or 990-EZ (IRS Form 990, Schedule O):

Regarding family or business relationships among officers, directors, trustees, or key employees (IRS Form 990, Part VI, Section A, Line 2):

"Board of Trustees members, Frederick A.O. Schwarz, Jr. and Frederica Perera, have a family relationship.

Board of Trustees members, John Adams and Katherine Adams, have a family relationship. 

Board of Trustees members, Daniel R. Tishman and Kathleen Welch have a business relationship. 

The following Board members and Board officers have a business relationship, Sarah Cogan, Maripat Alpuche, Atif Azher, Crystal Frierson, Krista McManus, Ashley Gherlone, and Dorothy Hector."