Friends Retirement Concepts Inc

Nonprofit profile at a glance

EIN
232377560
IRS 990 coverage
2010–2018
Forms available
Form 990 2018
Location
East Brunswick, NJ, USA
Phone
9086928851
Rating
76
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Nonprofit Management

Official website

Reported finances

Revenue
$77,429,648
Expenses
$13,708,095
Assets
$1,909,950
Liabilities
$1,909,950

Source: IRS Form 990. Selected filing: tax year 2018. Amounts in USD.

Leadership & pay

17 people listed

Executive titles in this filing

  • FELIX ROSENWASSER (PRESIDENT & CEO)

Highest reported compensation

  • FELIX ROSENWASSER (PRESIDENT & CEO): $180,632 total reported compensation
  • MARINA FERRER (ADMINISTRATOR AND ASSISTAN): $148,021 total reported compensation
  • JANINE SCHMELTZ (DIRECTOR OF NURSING): $118,786 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2018. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

The mission of arbor glen, sponsored by friends retirement concepts, inc., was to enhance the dignity and worth of our individual members by providing quality life choices for seniors in a continuum of care services on a fiscally secure basis and providing socially accountable services to our larger community.

What it reported doing in 2018

The corporation is incorporated under the nonprofit corporation law of 1972 of the commonwealth of Pennsylvania, as amended, for the purposes of conducting exclusively charitable, scientific, or educational activities within the meaning of section 501(c)(3) of the internal revenue code of 1986, as amended (or the corresponding provision of any successor united states internal revenue law) (the "internal revenue code"), including but not limited to (1) providing administrative, property management, and other support services for nonprofit organizations; (2) owning or operating, including developing and managing, or both, either directly or indirectly through any other entity or organization, any life care facility in the nature of continuing care retirement community or life care at home program or otherwise designed to benefit elderly persons and in general to implement programs designed to meet the needs of elderly persons; and (3) making donations and other transfers to charitable organizations and other organizations affiliated with the corporation and described in section 501(c)(3) of the internal revenue code, consistent with and in furtherance of these purposes.through july 12, 2018, friends retirement concepts, inc. D/b/a arbor glen ("arbor glen") was a not-for-profit organization that operated a continuing-care retirement community. Arbor glen's community consists of 183 independent living apartment units, 19 independent living villa units, and a health center comprised of 33 assisted living units/ licensed for 35 beds and 64 medicare certified nursing beds. Arbor glen's community is located on approximately 24 acres in somerset county, New Jersey. A majority of arbor glen's board of directors were required to be members of the religious society of friends. Effective july 13, 2018, arbor glen sold substantially all assets and properties used in or incidental to the conduct of the business to bridgewater life care property, llc., and this reporting entity will no longer operate as a continuing-care retirement community. The operations of the continuing-care retirement community, however, will continue under the control of bridgewater life care property, llc, which is unrelated to arbor glen.

Operating model

Revenue model
Earned-program. 92% of the money available for current operations came from fees and other program revenue.
Distribution model
Direct operator. The filing allocates 100% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

SUPPORTED - A large share of available resources goes toward mission work and the filed numbers largely add up. Program spending has declined or grown slowly and total assets are small relative to annual expenses; liquid coverage is unknown.

Rating breakdown

  • Financial Efficiency: 81
  • Transparency & Controls: 71
  • Accountability: 91
  • Sustainability: 51
  • Growth: 40

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 100%; rating input score 100
  • Program expense ratio: 77.1%; rating input score 77
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 68th percentile among comparable filings
  • Pay-setting controls: 2 of 6 controls in place; rating input score 33
    • Compensation committee: Missing
    • Independent consultant: Missing
    • Other Form 990s reviewed: Pass
    • Written employment contract: Missing
    • Compensation survey or study: Missing
    • Board or committee approval: Pass
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 92.3%; rating input score 92; 47th percentile among comparable filings
  • Governance controls: 8 of 9 controls in place; rating input score 89
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: Pass
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: 82.3%; rating input score 99; 99th percentile among comparable filings
  • Total-asset coverage ratio: 0.14; rating input score 5; 5th percentile among comparable filings
  • Liabilities to assets ratio: 1; rating input score 7; 7th percentile among comparable filings
  • Officer compensation ratio: 4.1%; rating input score 22; 22nd percentile among comparable filings

Growth

  • Program expense growth: -2.7% per year; rating input score 0; 6th percentile among comparable filings
  • Revenue growth: 14.8% per year; rating input score 100; 90th percentile among comparable filings
  • Asset growth: -10.5% per year; rating input score 0; 2nd percentile among comparable filings

Details

  • Where the money goes: 100% of revenue deployed · 77.1% of spending went to programs
  • Governance: 12 of 13 board members independent · 8 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $10.6M in reported program spending
  • Leadership: top reported pay $181K · 17 people listed · 2 of 6 pay-setting controls reported
  • Highest-paid contractors: 4 contractors listed · $2.8M reported
  • Consistency: 30 of 30 current checks pass
  • Schedules: 7 filed schedules · includes executive pay
  • Filing history: 9 filing years from 2010 to 2018
  • Contacts: How to reach this organization
  • Money network: 4 filed money-flow records
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • High — Growth: Program expense growth scored 0/100.
  • High — Sustainability: Total-asset coverage ratio scored 5/100.
  • High — Growth: Asset growth scored 0/100.
  • Review — Accountability: Governance controls: Independent financial-statement audit not reported.
  • High — Sustainability: Liabilities to assets ratio scored 7/100.
  • High — Sustainability: Officer compensation ratio scored 22/100.