What’s Up with Epworth Village? or Shouldn’t Any “Non-Profit” that Gets $7 Million Dollars from Medicaid Post Proper – and timely – IRS Form 990’s?

August 13, 2012


WASHINGTON, D.C. (exclusive) by Ivy Harper

What’s up with Epworth Village? Last week when I spoke with President & CEO, Tom McBride, the first question I asked him was why Epworth Village’s (EV) 2011 IRS Form 990 Report was not available on the EV website.

I told him that I’d been wanting to review the 2011 IRS Report – and had been waiting for months for it to be put up– but even after the deadline by which “non-profits” are required to post the 990 Reports, Epworth Village’s still was not on their website.

His response: “I don’t know why it isn’t up yet?”

That, of course, is an odd answer given that it is Epworth Village itself that runs the website that is supposed to have the IRS Forms available for the public to peruse.

McBride’s off-putting answer, right there, should have been a red flag that trying to analyze Epworth Village was not going to be easy.

Okay, here’s what’s really strange. Because their 2011 IRS Form 990 never appeared on the website, I decided to analyze Epworth Village’s 2010 Report which was the only IRS 990 posted. I repeat: until this week-end, only one year’s worth of Epworth Village IRS Form 990 was posted on their website and that year was 2010.

Yikes, now the only year that Epworth Village offers an IRS Form 990 is 2008. But the numbers are exactly the same for both years. Down to each and every dollar. For each and every category.

What’s up with that? I – for one – am not interested in Epworth Village’s IRS Report of more than four years ago.

In a separate section on the EV website, four years worth of Annual Reports were available: 2010, 2009, 2008, 2007.  Annual Reports & IRS Form 990 Reports are not one and the same. Obviously.

To recap: under the heading, IRS Form 990, Epworth Village offered only their 2010 Form 990 so that’s what I ended up studying.

Last week – as readers of this blog can see by referencing all August articles – I posted four stories about Epworth Village, their uber-lobbyists, Mueller/Robak, LLC, and how it appears that President & CEO, Tom McBride, answered a series of IRS questions – in 2010 – rather disingenuously, to put it mildly.

When I returned to the Epworth Village website on Friday, August 10th, to re-examine some sections of their 2010 IRS Form 990, I discovered that the only Form 990 now posted is the 2008 Form which is: four years old.

The real kicker: the 2010 numbers that I had logged into a notebook – are precisely the same numbers given for the year 2008.

So, here’s the rub: how can it be that the figures for Epworth Village salaries, travel expenses, postage, office supplies, advertising, promotion, etc. are the exact same in 2010 as they happened to be in 2008. Is that even possible?

According to Sharon Brown of GuideStar, “tax-exempt nonprofits with incomes of more than $25,000 must file this [IRS Form 990] return annually with the IRS. The three most recent returns must be made available along with any filed attachments, although the names and addresses of contributors must be masked on copies made available to the public. Amounts of contributions and bequests must be disclosed, unless they would identify contributors.

According to the IRS’s Failure to Comply policy: “Should the tax-exempt organization or its agent fail to provide the documents as required under IRC 6104(d), the responsible person of the tax-exempt organization may be liable for penalties pursuant to three provisions, IRC 6652(c)(1)(C) and (D), failure to allow public inspection of annual returns and exemption applications, and IRC 6685, willful failure to allow public inspection of annual returns and exemption applications. See Regs. 301.6104(d)- 3(d)(1)(iii) and (f)(3), and Announcement 99-62, Internal Revenue Bulletin 1999-25.

Epworth Village: To be continued. Part VI Coming Monday afternoon. @Epworth Village President Tom McBride: Really, You Spent $161,007.91 on “Professional Fees.” Really. How many Country Clubs – excuse me, I mean “Professional Organizations- does that Figure include?  I – for one – Would Like to See That Figure Deconstructed. Down to the Dollar. Also, in 2010, McBride told the IRS that Epworth Village spent $171,306.95 on “Miscellaneous.” That’s Clearly Another Category that Needs Inspection given that almost all of Epworth Village Funds come from the Federal Government. I think the Public has a Right to See the Receipts for $171,000 (one hundred seventy-one thousand dollars) Worth of “Miscellaneous” Spending. The million-dollar question: Is Medicaid money “trickling” down to the demographic for whom it is Intended? Inquiring minds would like to know.

2 Comments on “What’s Up with Epworth Village? or Shouldn’t Any “Non-Profit” that Gets $7 Million Dollars from Medicaid Post Proper – and timely – IRS Form 990’s?”

  1. Amy Says:

    1.) Nonprofits aren’t required to put it on their website, so it’s convenient if they have anything available. 990’s must be available by request. 2.) Try Guidestar.org. A free account gets you access to at least 3 years of their 990’s and those of the Foundation. 3.) Nonprofits frequently file an extension on their 990 so they can file later in the year when accounting firms aren’t as busy. A 2011 return could easily not be done until August 2012.


    • iharperse Says:

      Amy, thanks for the clarification. I was told that – except in rare cases – extensions can only be given for two consecutive three month periods; meaning, 2011 Forms should be available at the latest by July 1, 2012. One thing is clear: conflicting information by different agencies, departments, and governmental entities seems to be given out routinely. Thanks for reading and please keep me posted on any other mistakes. I will correct the Record.


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