Partners In Health

CharityWatch's rating of Partners In Health (PIH) includes the financial activity of the affiliated entities consolidated in the PIH audited financial statements for the fiscal year ended June 30, 2022. According to the PIH fiscal 2022 consolidated audit (Note 1, Organization), these affiliated entities include: Socios En Salud (Peru), Partners In Health Kazakhstan, Partners In Health Liberia, Partners In Health Sierra Leone, Inshuti Mu Buzima (Rwanda), Bo Mphato Litsebeletsong tsa Bophelo (Lesotho), Abwenzi Pa Za Umoyo (Malawi), Companeros En Salud (Mexico), The University of Global Health Equity (Rwanda), and Partners In Health Canada. All inter-organizational balances and transactions are eliminated in the audit consolidation.

The rating does not include the financial activity of PIH's "partner organizations," which are not consolidated in the PIH audited financial statements. According to the PIH fiscal 2022 consolidated audit (Note 1, Organization), "PIH frequently grants funds to partner organizations that are independent and thus not consolidated into its [PIH's] accounts."

According to the Partners In Health (PIH) consolidated audit of June 30, 2022 (Note 9, Gifts in Kind and Contributed Services), PIH received gifts in kind and contributed services in fiscal 2022 on which it placed a total value of $9,446,403. Of this amount, $7,049,745 is reported as "Donated medicines and goods."

[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 Partners In Health (PIH) consolidated audit of June 30, 2022 (Note 7, Net Assets and Endowment Related Matters):

"In fiscal 2022, PIH received a transformational level, undesignated gift that has provided a growth opportunity for the organization through the use of these funds towards the strategic plan over the next several years. Management has segregated this amount as it expected to monitor and track the use of these resources over time."

Included in "Net assets without donor restrictions" as of June 30, 2022, PIH reports "Non-recurring transformational gifts" in the amount of $45,905,074.

According to the Partners In Health (PIH) tax filing for the fiscal year ended June 30, 2022, PIH reports for Business Transactions Involving Interested Persons (IRS Form 990, Schedule L, Part IV) a transaction in the amount of $68,544 involving Didi Bertrand, "Widow of Dr. Paul Farmer." The transaction is described as: "Compensation for Services." (PIH reports Dr. Paul Farmer as "Director (until February 21, 2022)," according to Form 990, Part VII.)

According to the Partners In Health (PIH) IRS Form 990 tax filing for the fiscal year ended June 30, 2022, in response to Part VI, Section B, Line 11a, PIH answers "No" to the question: "Has the organization provided a complete copy of this Form 990 to all members of its governing body before filing the form?"

According to Schedule O of the Form 990 filing, PIH reports the following with respect to the above "No" response:

"The Form 990 is prepared by finance staff and is reviewed carefully by the PIH Chief Financial Officer and Legal Department. The Form 990 is then reviewed by CBIZ MHM, LLC, PIH's tax advisor. A complete draft of the Form 990 is then reviewed by the PIH Chief Executive Officer. This draft is then provided to the Audit Committee for their review with the exception of Schedule B [Schedule of Contributors]. Finally, the Form 990 is provided to the full Board of Directors prior to filing, with the exception of Schedule B [Schedule of Contributors]. Any and all questions and comments are addressed by the PIH Chief Financial Officer, who engages CBIZ & MHM in the discussion whenever relevant or necessary."