CharityWatch is unable to provide a letter grade rating for United States Navy Memorial Foundation (the Foundation) at this time due to our specific concerns about the Foundation's financial reporting. For this reason we have assigned it a "?" rating for its 2024 fiscal year based on our analysis of the organization's IRS Tax Form 990 and audited financial statements for that period. Specifically, CharityWatch is concerned that the charity could be improperly accounting for revenue and expenses related to fundraising events. CharityWatch contacted the Foundation on February 25, 2026, via U.S. mail and email with questions about its financial reporting for its fiscal year ended December 31, 2024. CharityWatch requested clarification related to the omission of event reporting on IRS Form 990, Schedule G, Part II, and Statement of Revenue,Part VIII, lines 8a-8c, despite the appearance of solicitations for both contributions and event-related revenue. Specifically, CharityWatch asked: (1) Why are Form 990 Part VIII, lines 8a-8c blank? Were gala proceeds recorded elsewhere on Part VIII (e.g. as contributions only), and if so, on which lines and under what rationale? (2) How were sponsorships, ticket sales, auction proceeds, and any in-kind items from the dinner classified (contribution vs. revenue), and how were any direct benefits to donors valued for quid pro quo purposes? (3) Did any professional fundraiser or fundraising platform/vendor provide services tied to the event that would ordinarily be disclosed on Schedule G Part I or Part II? (4) If any of the above items were inadvertently omitted or misclassified, does the Foundation plan to amend the 990 to include the appropriate Schedule G and Part VIII detail? (5) Why does Schedule G Part II report no fundraising events given the activities described for the Lone Sailor Awards Dinner?
As of the date of this note, March 26, 2026, we have not yet received a response. If the Foundation provides an adequate response to the above questions in the future, CharityWatch may update the Foundation's fiscal 2024 rating at that time. CharityWatch's most recent letter grade rating of United States Navy Memorial Foundation was a "C+" on our "A+" to "F" rating scale based on our analysis of its fiscal 2021 IRS Form 990 and audited financial statements. |
