2020 Annual Report & FINANCIAL STATEMENTS
OUR MISSION Liberty’s Promise supports young immigrants in need while encouraging them to be active and conscientious American citizens. Our programs aim to make the immigrant experience an affirmative one for young newcomers while instilling in them a sense of pride and support for American ideals of democracy and freedom. By doing so, Liberty’s Promise seeks to reaffirm our fundamental egalitarian and democratic traditions for future generations.
2020 Liberty's Promise Annual Report https://libertyspromise.org
Contents
04
05
Welcome from our Executive Director
Message from our Board Chair
10 Program Updates
17 Financial Statements
12
08 2020: A Year in Review
16
Donor Feature: Barbara Harman & Tom Mutryn
Auditor's Report
22
23
Donor Roll
2020 Liberty's Promise Annual Report https://libertyspromise.org
Government Partner Roll
Welcome! DR. ROBERT M. PONICHTERA, EXECUTIVE DIRECTOR & FOUNDER Our youth are model members of our community, which has been our goal all along. We very much look forward to getting back to the classroom and watching them blossom and grow (in person!) so that our subsequent annual reports will be filled with stories of these talented and remarkable young people. The year 2020 was a hard one for our youth. Unfamiliar and uncomfortable with how things are done in this country to start, many struggled with the ad hoc policies and procedures put in place in response to the COVID-19 pandemic. Many simply stopped going to school. If one or both of their parents lost work, they took day jobs to support the household. Others were expected to assume additional responsibilities, like helping their younger siblings navigate online learning at the expense of their own schoolwork. Given this reality, I have been continually amazed by my program staff, who found new ways to engage with youth, helping them stay in school and inspiring them to aim high with their future goals. Although we served fewer adolescents this year, those that we did see interacted with a trusted supporter, cheerleader, and mentor. Our team came up with creative ways, such as LP Career Chats, to keep our participants thinking about higher education and a professional career.
Pre-COVID-19, our after-school programs were packed with boisterous, fun-loving young people, who were eager to dive in and succeed. Hundreds and hundreds of our participants have done just that, completing their education and going on to professional careers. In the pages that follow, you will find an overview of our work, which is dedicated to helping immigrant adolescents learn about American civic life and their opportunities for success in this country. Warm regards,
Robert M. Ponichtera, PhD Executive Director & Founder
DR. ROBERT M. PONICHTERA Dr. Ponichtera is responsible for overseeing project management, fostering community partnerships, and day-to-day operations of the organization. Dr. Ponichtera has more than two decades’ experience working for nonprofit organizations, guiding program direction and fundraising activities. Before founding Liberty's Promise, he worked at several Washington, DCbased nonprofits, including Freedom House and the Woodrow Wilson International Center for Scholars, where he wrote grants, coordinated program activities, and conducted research. Dr. Ponichtera earned a Ph.D. in East European History from Yale University in 1995 and has taught at Yale, Quinnipiac College, Albertus Magnus College, and George Mason University. Dr. Ponichtera is a member of Leadership Fairfax, class of 2009.
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https://libertyspromise.org
Thank you! LOUISA COAN GREVE, BOARD CHAIR Looking back over the past year, with all the challenges we as a nation have faced, I am humbled by the generosity of the Liberty's Promise community, our alumni, donors and friends. They have made 2020 our most successful year since our founding in 2005. I am continually encouraged by the generosity and support of the community. Our achievements to date are only possible due to the extraordinary philanthropy of our supporters. In a year when on average philanthropic giving has contracted by 6%, we have seen an increase in support from individual donors. As Board chair, I am proud to serve Liberty’s Promise, and help facilitate the incredible work our donors so generously support. The Board is more engaged than it has ever been. We are truly excited to do our part, supporting the creativity and determination of the Executive Director and staff as they serve our youth throughout the disruptions and hardship caused by the pandemic.
Philanthropy is essential in our continued success and growth, and through new initiatives like the Promise Fund, which was launched this year, we can continue to change the lives of immigrant youth. Thanks to you, Liberty's Promise is in a stronger position to adapt to any challenges and obstacles we encounter, we could not do it without you. Sincerely,
Louisa Coan Greve Board Chair
Looking ahead, the Board has launched a new strategic planning process to create a roadmap for Liberty's Promise’s growth and effectiveness in the years to come.
LOUISA COAN GREVE Ms. Greve has 25 years' experience working with community non-profits and international human rights organizations. She is currently Director of Global Advocacy for the Uyghur Human Rights Project and Washington Fellow for CSW, an advocacy group promoting freedom of religion or belief for all peoples and faiths. She was formerly Vice President for Programs and East Asia Director at the National Endowment for Democracy, with previous experience at Special Olympics International, the Corporation for National and Community Service, and the United Nations Development Program. Ms. Greve has served on the Virginia Advisory Committee of the U.S. Commission on Civil Rights and on several non-profit boards, including a community association in Alexandria, local and national education non-profits, and Amnesty International USA. She is the author of several book chapters on ethnic issues and human rights in China and has testified before Congress on democracy in Asia.
2020 Liberty's Promise Annual Report
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LIBERTY'S PROMISE STAFF Dr. Robert M. Ponichtera Executive Director
Ryan Cassidy Director of Development & Alumni Relations
Melissa Guerrero Gelinas Director of Alexandria, Arlington, and Washington D.C. Programs
Julien Labiche Director of Montgomery and Prince George's County Programs
Laura Franco Zapata Mariam Abdelwahab Program Officer
Monica Chica Valdez Program Officer
Betel Dejene Program Officer
Kaitlin Edin-Nelson Senior Program Officer
Program Officer
Jenna Hart Senior Program Officer
Shiloah Kline Program Officer
Sean Mann Program Officer
Yury Martinez Program Officer
Isis Morales Program Officer
Gloria Nzita Program Officer
Markya Reed Program Officer
Taylor Simpson Senior Program Officer
2020: A Year In Review In a year beset with hardship and grief, Liberty’s Promise renewed our commitment to the immigrant youth living in our communities. Amid the uncertainty, our youth needed steady guideposts and caring leaders. Though we could not be together, Liberty’s Promise continued providing unwavering support to youth and their families throughout the COVID-19 pandemic.
560
$983k
197
Youth Served
Raised
Donors
Even before the pandemic, Liberty’s Promise knew that we were providing a rare and desperately needed service to our youth. Sadly, the pandemic has disproportionately impacted immigrant communities and communities of color, aggravating the problems and increasing the needs of these vulnerable populations. The youth we serve and their families have felt the ripple effects through every aspect of their lives. Financially, immigrant families have faced added financial strain due to the loss of employment. Emotionally, the pandemic has caused heightened mental health challenges rooted in fear and anxiety.
We hosted virtual resource panels in both Maryland and Virginia to connect providers that serve the immigrant community with our youth to inform them of services available. In partnership with our schools, we worked to re-engage ESOL students and help them cultivate effective study skills. We also helped youth develop wellness strategies to cope with quarantine while offering them a space to connect with one another during our virtual sessions. While the COVID-19 pandemic has impacted every aspect of our lives, Liberty’s Promise is committed to providing stability and a sense of normalcy to youth across the Washington, DC, and Baltimore Metropolitan areas.
Academically, immigrant youth and youth of color have struggled to transition to virtual learning, a reality that has resulted in low levels of student engagement and achievement. In short, our youth needed us more than ever before. Liberty’s Promise staff stepped up, providing a broader range of support to youth to address the financial, emotional, and academic challenges they have faced in 2020. On new online platforms, and via one-on-one conversations, staff assisted youth with applications for rental assistance, researched food distribution locations, and disseminated information about COVID resources.
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2020 Liberty's Promise Annual Report
LP Career Chats The Liberty’s Promise Career Chat series launched in 2020 in response to the COVID-19 pandemic. Recognizing that the new virtual landscape offered an untapped opportunity to engage youth across all jurisdictions, the Career Chat series brings youth from all of our programs together to listen to guest speakers in a range of professions. While we miss the intimate nature of our in-person guest speaker presentations, the virtual arena has opened many doors, connecting professionals to our youth in a way that is a convenient for everyone involved.
The majority of our guest speakers are bilingual, which allows for sessions to be conducted concurrently in both English and Spanish, enabling students with limited English proficiency to participate. We are proud to give a platform to our alumni so that they can speak about their experience in fields including aviation, business, construction, education, information technology, and law, among many others.
This presentation series is geared towards immigrant high school students, and it has become a space of inspiration and empowerment, an opportunity for youth to picture themselves in the professional world. This is due in large part to the fact that many of the presenters are Liberty’s Promise alumni! Our current program participants can truly relate to LP alumni, who offer valuable advice from their own experiences, ranging from navigating higher education and paying for school, to embracing their immigrant identity and sharing helpful resources.
What was your favorite Career Chat and why? My favorite Career Chat was the education one because I want to be a teacher. I remember the speakers were so kind and had a lot of great advice. I also liked that I could relate to the speakers both personally and with educational goals. Both speakers starting at a community college and transferred to a university.
What is one thing you took away from the Career Chats? Even though I know what I want to be a teacher, I enjoy listening and learning about other jobs. Some of the jobs are from careers I have never heard of like consulting, human resources, and interpreting. Interpreting really stood out. I had never thought that I could get paid to translate from Spanish to English. I do that all the time for my parents. I told them people get paid good money for translating and I will start charging them for my services. I think the information I am learning about different jobs will help me in the future if I decide not to do education. Anything else you want to share? I want to encourage other students to join the Career Chats, even though you are not interested in the job they are discussing because the advice speakers give to us is really helpful and can help us become successful in life. Most of the advice I have heard can be used to become better students and help be successful in the workplace. An example, most Career Chats speakers encourage students to find internships.
https://libertyspromise.org
Renia, a Liberty's Promise youth from Wheaton HS, answered some questions about her experience attending our Career Chat series.
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Civics & Citizenship “I liked how we all came here at the end of the day, tired, but because of the bond we created, that tiredness turned into happiness.” –Ayman, Lewis HS, Pakistan
After transitioning to virtual programs, our 19 Civics and Citizenship programs developed creative content to engage students, which took a variety of forms. Some staff facilitated programs during the school day, while others maintained after-school sessions. Many connected with students on an individual basis. Staff worked closely with school administrators to develop sessions that catered to the needs of each school in a format that was conducive for their student population. For example, in Prince George’s County, sessions were geared toward underclassmen to provide alternative programming to dissuade gang activity. In Fairfax County, sessions focused on informing youth about the college process, such as choosing a major, scholarship exploration, and the application timeline. In Montgomery County, a group of students worked to engage their community to complete the US Census.
27 21 Programs
"I am determined to fulfill my dream of being a teacher and sharing my love of language learning with new students each year." For Laila, her recent graduation from Falls Church High School means that she is one step closer to achieving her dream of becoming a Spanish teacher. After moving from Bolivia to the United States, Laila recalls the challenges she faced with learning English. Now, a few years later, Laila has developed a passion for helping other students gain language skills, due in part to her own experience being immersed in a new language, education system, and culture.
10
Locations
8
Jurisdictions
Laila's motivation to pursue a career in education is tied to her desire to be of service to immigrant youth. Her drive to help students with experiences like her own is not only admirable, but also a perfect fit. She will undoubtedly be an incredible educator, mentor, and advocate for students within and beyond the classroom. Through her participation in the Liberty's Promise Civics and Citizenship program, Laila applied and was awarded the Herb Block Foundation Scholarship which will support her on her journey to becoming a Spanish teacher! She is currently attending Northern Virginia Community College where she is studying education. Upon completion of her associate’s degree, Laila hopes to transfer to a four-year university to work towards a Bachelor's of Arts in teaching and enter the education field as a Spanish teacher.
https://libertyspromise.org
Civic Engagement for Beginning English Language Learners (CE-BELL) “Liberty’s Promise has been a big help during my time at T.C. Williams, it also helped me adapt to the United States.” –Katya, TC Williams HS, El Salvador Our seven programs for beginning English language learners also went virtual, and Liberty’s Promise staff did all they could to support this vulnerable population during these difficult times. Our CE-BELL youth struggled more than most with the shift to virtual learning; for many of these youth, computer access has always been a luxury they could not afford, so the abrupt switch to distance learning left many of these young people confused and alone. It was imperative that our staff help these students navigate the new obstacles they were facing, as well as continuing to offer the stability and community that youth always expected from us. During this time, we have assisted students in finding service-learning opportunities, scholarships, and services they need. We have provided help with citizenship paperwork, resume preparation, and job applications. With group sessions and personalized check-ins, we are working to answer all of their questions and support each and every young person that we can.
Opportunities Plus Our Opportunities Plus internship program provides immigrant youth with the chance to gain professional experience in the American workplace through paid internships with local nonprofit and government agencies. To ensure the safety and wellbeing of both our youth and host sites, the Opportunities Plus program took a different form. We went virtual! Eaman, a Liberty’s Promise student from Parkdale High School, completed a virtual internship at Central Kenilworth Avenue Revitalization (CKAR). Through her internship, Eaman gained confidence working in Excel and filing and retrieving documents in online databases, as well as distributing food in different neighborhoods. Eaman shares that her internship experience helped her “to learn how to take responsibility on my own.” She reports that she feels more adaptable and communicative, traits that will undoubtedly support her as she traverses her future employment.
"My favorite part of the internship was being a part of the meal distributions. I enjoyed making a difference and helping to distribute meals to people...This internship will help me become more comfortable being in the office. Also, be confident to talk to other people." -Eaman, Parkdale HS, Pakistan
Despite the shift in format of the Opportunities Plus program, immigrant youth in the community were afforded the chance to immerse themselves in the American workplace. Equipped with skills and knowledge, youth like Eaman will become the next generation of skilled employees.
2020 Liberty's Promise Annual Report
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Value of Philanthropy BARBARA HARMAN & TOM MUTRYN We were delighted to be able to catch up with two longtime supporters of Liberty's Promise, Barbara Harman of the Harman-Cain Foundation, and Tom Mutryn of CACI International, to discuss the importance of philanthropy, and why they choose to support Liberty's Promise.
Q. Before we begin, we’d love to get to know you better. Can you tell us a little about yourself? Barbara: I am former college professor who taught English for 25 years and wrote numerous essays and three books. Just after finishing my third book -- about the relationship between the British women’s movement and representations of female public life in 19th century British fiction (and while raising two young children), I decided it was time to step out into the public sphere myself. Although I lived in the Boston area, I proposed myself to my father as the executive director of his DC-based charitable foundation. I thought I would do the work as a hobby, but over the course of a few years I realized I had changed professions. Tom: I have lived in the DC area for 20 years and enjoy supporting support organizations which make our community better, specifically those programs which help disadvantaged or marginalized youth reach their full potential. I am particularly interested in helping young men who are in early stages of recovery from addiction by providing safe, affordable and supportive housing. I also believe there is a need to help those who are being released from incarnation to realize their potential.
Q. There are over 50,000 Non-Profit Organizations in the DC Metro area, how did you find Liberty’s Promise? Barbara: One of the challenges I encountered when I began running the foundation was identifying the community-based nonprofits that were working in the areas that interested us. The larger nonprofits were easy to find – I found them or they found me. But it seemed that smaller organizations had a much harder time being seen, a much harder time gaining access to donors outside their immediate circles. I founded the Catalogue for Philanthropy: Greater Washington, now a network of over 400 community-based nonprofits, in 2003. The idea was to put applicants through a rigorous review process, select the best, and then feature them in a handsome catalogue that would be distributed to high net worth individuals and would create greater equity of access (and new support!). Liberty’s Promise is featured in the Catalogue and that’s how I came to learn about its work. Tom: Over 10 years ago, Liberty’s Promise applied for a grant from the Ruddie Memorial Youth Foundation, an organization that I am on the Board of. We were impressed with the organization and its mission, and the Foundation provided several grants to Liberty’s Promise. I was able to visit the organization, meet some of the program staff, and attend a number of their programming activities. As a result, I decided to support the organization on my own.
TOM MUTRYN A native of Schenectady, NY, who now calls Potomac, Maryland home, Tom attended Cornell University, where he studied architecture and engineering, and, after a short career in engineering, earned a master’s of business administration degree. Tom is the Chief Financial Officer and Treasurer of CACI International Inc, a leading provider of expertise and technology to government enterprise and mission customers. Additionally, he currently serves on the Board of the Ruddie Memorial Youth Foundation and alongside his wife, Donna, is the founder of Mike’s Place, a nonprofit entity whose mission is to provide safe, supportive and clean living to young men in early stages of recovery from substance abuse.
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2020 Liberty's Promise Annual Report
Q. We’re so happy you chose to support LP. Can we ask what about our work inspired you to give us that first gift? Barbara: I was so impressed and moved by a group of young people who recited their poems about education’s promise, America’s promise, liberty’s promise – all before a huge audience at the Catalogue’s annual gala. They were nervous about performing (who wouldn’t be?) and I remember encouraging them, in rehearsal, to speak up, claim the stage, and really call out those last lines loud and clear. The experience of watching them grow through the rehearsal and into the performance really touched me. That, and the fact that LP’s tireless founder reached out to me, generated the first gift some years ago. I’ve continued to be impressed by the good work of Liberty’s Promise, and I always appreciate the great updates and communication from the team. Q. On a similar note to the last question, why do you continue to support our work? Barbara: The past few years have really shined a light on the challenges that immigrant youth face in a country that is not only entirely new to them but that is not, unfortunately, always receptive to them. Especially in the last four years, threats to immigrant families have only made their adjustment more difficult. This seems like an important time to continue supporting organizations that make young people feel welcome, contribute to their success, direct them toward promising futures, and support them along the way. Tom: Liberty’s Promise continues to expand their programs, both by adding new schools in new districts and counties, and expanding the scope of offerings. There is a clear need for the services that Liberty’s Promise delivers, and their program has proven effective, based on quantifiable data and many success stories. My ongoing support allows them to maintain their highly effective programs and to expand their offerings.
Q. What do you hope we will achieve in the near future? In the long term? Barbara: The near future is still tough. The pandemic adds a whole other layer of difficulty and challenge to an already hard, hard thing. In the near term, I hope LP will continue to stabilize the youth it serves, make sure they have life’s necessities (food! mental health support!) and help them deal with the challenges of online learning, which are tough for all kids but tougher for those for whom English isn’t a first language. The pandemic has also, of necessity, meant isolation for everyone. When you are trying to get youth connected but know that they are safer not connecting in person, that’s really tough. So, keeping the connections with trusted staff, and getting kids together to experience some form of community, albeit online, will be crucial in the short term. I also suspect some real recovery work will need to happen – recovery from loss, from trauma, from financial insecurity, from isolation, and from learning loss. Once we get past this, I hope to see LP expand and deepen its programs to serve more immigrant youth. Q. Lastly, do you have a parting message to share about why people should support Liberty’s Promise? Barbara: My grandparents were immigrants. My mother never attended college. I have a BA, an MA, and a PhD. That’s the story – and there are many versions of this story – that American families can tell. There will continue to be stories of accomplishment and success for today’s immigrants, who should not be demonized but rather celebrated for their courage and endurance in the face of great odds. Tom: America has always been the land of opportunity, and people have come to this country for over 200 years to realize their dreams and potential. We as a nation embrace and celebrate diversity and inclusion, and Liberty’s Promise helps with this ideal.
BARBARA HARMAN A stalwart leader in philanthropy for over 20 years, Barbara originally hails from Boston, MA, where she began her career as a college English professor at Wellesley College. Currently, she splits her time between a bucolic suburb west of Boston and the busy Penn Quarter/Chinatown neighborhood of Washington, DC. A graduate of Tufts University, she received her MA and Ph.D. degrees from Brandeis University. Barbara began her journey in philanthropy as the Executive Director of the Harman Family Foundation in 2000 and quickly founded the Catalogue for Philanthropy: Greater Washington in 2003. The Catalogue annually features the best community-based nonprofits in metropolitan Washington and has helped raise over $50 million to fuel their growth. Barbara is currently the Chairperson of the Catalogue and a Trustee of the Shakespeare Theatre Company. She also manages the Harman Cain Family Foundation with her husband, William, and their two daughters. Her three grandchildren are not yet old enough to have a say but she expects they will someday.
https://libertyspromise.org
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Financial Statements FISCAL YEAR 2020 (1 JANUARY - 31 DECEMBER)
2020 BOARD OF DIRECTORS Louisa Coan Greve, Chairperson Uyghur Human Rights Project
Krista R. Hendry, Vice Chairperson MFC Social • Environment
Greg McLean
U.S. Department of State
Rodger Potocki
Independent Consultant
Rose Purcell
U.S. Food and Drug Administration
Whitney Tvrdy Northrop Grumman
Patty Vitale
Montgomery County Government
Ruben Quesada ZGF Architects
Jennifer Wilk, Secretary Passenger Vessel Association
Andrew E. Young, CPA, CGMA, MBA, Treasurer Renner & Company
Auditor's Report FARMER & FIRST, CPA
Report on the Financial Statements We have audited the accompanying financial statements of Liberty's Promise (a non-profit organization), which comprise the statements of financial position as of December 31, 2020 and 2019 and the related statements of activities, functional expenses, and cash flows for the years then ended and the related notes to the financial statements. Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with the accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America. These standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors' judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's presentation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Liberty's Promise as of December 31, 2020 and 2019 and the changes in its net assets and its cash flows for the years then ended in conformity with accounting principles generally accepted in the United States of America.
Warren, Rhode Island
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2020 Liberty's Promise Annual Report
Statement of Activities FOR THE YEAR ENDED 31 DECEMBER
2020 Without Donor Restrictions
2019 Without Donor Restrictions
2020 With Donor Restrictions
782,301 172,409 439 139 1,276 97,286
$95,000 (30,234)
918,012
1,053,850
Program Services Support Services Management and general Fundraising
698,177
Net expenses
2019 With Donor Restrictions
2020 Total
2019 Total
SUPPORT & REVENUE: Grant income Contributions Interest and dividend income Net unrealized loss Miscellaenous income Net assets released from donor restrictions Total unrestricted support and reclassifications
$
-
$781,774 193,913 665 (551) 6,977 -
64,766
-
982,778
1,069,696
852,476
-
-
698,177
852,476
146,635 67,224
104,793 26,662
-
-
146,635 67,224
104,793 26,662
912,036
983,931
-
-
912,036
983,931
5,976
69,919
64,766
-
70,742
85,765
310,732
240,813
83,449
-
394,181
308,416
310,732
$148,215
-
$464,923
686,774 193,913 665 (551) 6,977 30,234
$
$
-
$
895,433 172,409 439 139 1,276 -
EXPENSES:
Change in net assets Net assets, 1 January 2020 Net assets, 31 December 2020
$316,708
$
https://libertyspromise.org
$
394,181
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Statements of Financial Position AS OF 31 DECEMBER ASSETS 2020
2019
CURRENT ASSETS: Cash and cash equivalents Investment in marketable securities Grant receivable Promises to give Prepaid expenses Total current assets
$
546,206 10,060 162,993 71,250 10,706 801,215
$
158,278 3,456 184,041 82,500 10,808 439,083
PROPERTY AND EQUIPMENT - At cost: Furniture and equipment Less: accumulated depreciation and amortization Property and equipment, net
$
47,852 43,210 4,642
$
47,852 40,900 6,952
$
1,350 1,350
$
7,500 1,350 8,850
OTHER ASSETS: Grants receivable and promises to give, net of current Security deposits Total other assets
TOTAL
$
807,207
$
454,885
LIABILITIES 2020
2019
CURRENT LIABILITIES: Accounts payable - trade Accrued expenses Current maturities of long-term debt Deferred grant income Total current liabilities
LONG-TERM DEBT,
Less current maturities
$
6,703 25,749 100,845 58,987 192,284
$
15,157 45,547 ----60,704
$
150,000 342,284
$
60,704
$
273,601 43,107 316,708
$
257,957 52,775 310,732
NET ASSETS: Without Donor Restrictions Operating Board designated
148,215
With Donor Restrictions
TOTAL NET ASSETS
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2020 Liberty's Promise Annual Report
$
454,885
83,449
$
394,181
Statement of Functional Expenses FOR THE YEAR ENDED 31 DECEMBER 2020
Program Services Salaries and wages Payroll taxes Fringe benefits Total payroll related expenses Professional fees Civic classes Occupancy Telephone and internet Office expenses and supplies Insurance Scholarships Staff training & meetings Research Depreciation Printing & reproduction Interest Internship Payroll processing fee Travel Fees Postage and shipping Miscellaneous
TOTAL
$
490,432 41,150 64,596 596,178
Management & General $
76,343 5,844 11,304 93,491
Fundraising $
29,131 2,239 1,928 33,298
Totals $
595,906 49,233 77,828 722,967
22,651 32,992 16,121 10,888 4,993 4,000 2,069 3,418 924 268 2,000 1,528 147 -
31,707 2,290 151 1,786 7,587 1,771 1,386 152 2,063 1,982 223 1,616 427 3
28,400 716 291 1,613 79 1,864 50 31 882 -
82,758 32,992 19,127 11,330 8,392 7,587 4,000 3,919 3,418 2,310 2,284 2,063 2,000 1,982 1,801 1,647 1,456 3
$698,177
$146,635
$67,224
$912,036
https://libertyspromise.org
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Notes on Financials NOTE A - NATURE OF ACTIVITIES SIGNIFICANT ACCOUNTING POLICIES
AND
1.Nature of Activities Liberty’s Promise (a non-profit organization) was incorporated on May 1, 2003 in the District of Columbia. Its purpose is to support young immigrants as they become active participants in American society. The Organization collaborates with government agencies, businesses, and nonprofit organizations to offer internships for young immigrants and promotes active community involvement through after-school programs of civic engagement. 2. Basis of Accounting The Organization recognizes income on the accrual method of accounting in accordance with accounting principles generally accepted in the United States of America. 3. Basis of Presentation The financial statements are presented in accordance with FASB Accounting Standard Codification (FASB ASC) released ASU2016-14 Notfor-Profit Entities (Topic 958). Under ASU 2016-14, the Organization is required to report information regarding its financial position and activities according to two classes of net assets: net assets without donor restrictions and net assets with donor restrictions. Net assets with donor restrictions include all assets received with donor designated restrictions whether they are perpetual in nature, or purpose or time restricted. 4. Property and Equipment Property and equipment are stated at cost. Depreciation is calculated for financial statement purposes using the straight-line method based on each property's estimated life. Additions and improvements that add materially to productive capacity, or extend the life of an asset, are capitalized. Normal repairs and maintenance are charged against income. When facilities are retired or sold, their cost and accumulated depreciation are removed from the accounts and related gains or losses are included in income. In case of trade items, any remaining book value increases the basis of the new acquisitions. Donations of property and equipment are recorded as support at their estimated fair value.Such donations are reported as unrestricted support unless the donor has restricted the donated asset to a specific purpose. The estimated lives used in determining depreciation are: Office furniture and equipment
5 to 7 years
5. Income Taxes The Organization is a not-for-profit organization that is generally exempt from income taxes under Section 501(c)(3) of the Internal Revenue Code. In addition, the Organization has been classified as an organization that is not a private foundation under Section 590(a)(1).Income that is not related to exempt purposes, less applicable deductions, is subject to Federal and state corporate income taxes. The Organization did not have any unrelated business income for the years ended December 31, 2020 and 2019. 6. Cash and Cash Equivalents For purposes of the statements of financial position and cash flows, the Organization considers all unrestricted highly liquid investments, with an initial maturity of three months or less, to be considered cash.
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7. Contributed Services and Occupancy During the year ended December 31, 2020, the Organization received capacity building professional services valued at $67,952. Additionally, the Organization during the year ended December 31, 2019 was a recipient of classroom space valued at $61,185. Various volunteers provided other services to the Organization, but these services do not meet the criteria for recognition. 8. Restricted and Unrestricted Revenue Contributions received are recorded as unrestricted, temporarily restricted, or permanently restricted support, depending on the existence and/or nature of any donor restrictions. All donor-restricted support is reported as an increase in temporarily or permanently restricted net assets, depending on the nature of the restriction. When a restriction expires (that is, when a stipulated time restriction ends or purpose restriction is accomplished), temporarily restricted net assets are reclassified to unrestricted net assets and reported in the Statement of Activities as net assets released from restrictions. 9. Promises to Give Unconditional promises to give are recognized as revenue or gains in the period received and as assets, decreases of liabilities, or expenses depending on the form of the benefits received. Conditional promises to give are recognized when the conditions on which they depend are substantially met. 10. Liquidity The Organization maintains a liquid cash balance through its checking account in an amount necessary to meet its anticipated expenditures for the next 30 days. The Organization reconciles the balance of financial assets subject to donor restrictions monthly, based on restricted amounts used and received. Any restricted cash is separately identified and monitored as part of the Organization’s monthly financial reporting process. The Organization’s financial assets available within one year to meet cash needs for general expenditures through December 31, 2021 are as follows: Financial Assets: Cash $ 546,206 Investment Marketable Securities 10,060 Grants Receivable 162,993 Promises to Give 71,250 Total Financial Assets 790,509 Less amounts not available within 1 year -207,202 Financial Assets available to meet cash needs for general expenditures within 1 year $583,307 11. Grants and Contract Awards The Organization receives grants from private grantors for various purposes. Grants and contract awards not yet received are accrued to the extent that unreimbursed expenses have been incurred for the purposes specified by an approved grant or contract. The Organization defers grants and contract revenues received under approved awards from grantors to the extent they exceed expenses incurred for the purposes specified under the grant restrictions. 12. Functional Allocation of Expenses The costs of providing the various programs and other activities have been summarized on a functional basis in the Statement of Functional Expenses. Accordingly, certain costs have been allocated among the programs and supporting services benefited.
2020 Liberty's Promise Annual Report
13. Use of Estimates In preparing financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. 14. Uncertain Tax Provisions Accounting for uncertain income tax positions, relating to both federal and state income taxes, are required when a more likely than not threshold is attained. If such positions result in uncertainties, then the unrecognized tax liability is estimated based on a cumulative probability assessment that aggregates the estimated tax liability for all uncertain tax positions. With the adoption of these new rules, the Organization assessed its tax positions in accordance with the guidance. The Organization has determined that its tax status as a VA non-profit corporation is its only tax position and is highly certain. Therefore, these new rules had no impact on the Organization’s financial statements. 15. Subsequent Events Management has evaluated subsequent events through May 26, 2021, the date which the financial statements were available to be issued. NOTE B – COMMITMENTS The Organization is obligated under the following rental leases: Lessor: Angel's Security Corp Location: 2900-A Jefferson Davis Hwy. Alexandria, VA 22305-3023 Exp. Date: 1 year, renewable, May 29, 2013, to June 30, 2014. May 29, 2013, to June 30, 2014. This lease was renewed seven times at one additional year each (ended June 30, 2021). Terms: $17,700 annual rental due in 12 equal monthly payments effective August 1, 2017, the monthly rent became $1,475. NOTE C - CONTINGENCIES Grants require the fulfillment of certain conditions as set forth in the grant instrument. Failure to fulfill the conditions could result in the return of funds to the grantors. Although that is a possibility, management deems this contingency remote, since it believes that it has complied with the terms of each grant. NOTE D - NEW FUTURES New Futures, a non-profit agency located in Washington, D.C. offers financial and mentoring support to low-income, D.C.-area young people seeking economic self-sufficiency through postsecondary education. The agency has 11 community partners that nominate and mentor scholars. Liberty's Promise is one of these partner organizations. As of June 30, 2019, the relationship between the two organizations changed. New Futures elected to disburse all payments directly. NOTE E – UNCONDITIONAL PROMISES TO GIVE Unconditional promises to give are as follows: 2020 Organization $71,250 Receivables due in less than one year $71,250 Receivables due in one to two years -0Net unconditional promises to give $71,250
2019 $90,000 $82,500 7,500 $90,000
NOTE G - RETIREMENT PLAN The Organization installed a 403(b) retirement plan on March 31, 2015. For all eligible employees, each participant can defer up to $15,000 of their gross wages which are immediately invested. The Organization has the option each year to contribute to the plan on behalf of its employees. The retirement plan expense for years ended December 31, 2020 and 2019 were $11,846 and $4,800, respectively. NOTE H – CASH - CONCENTRATION OF RISK The Organization maintains its cash in bank accounts that, at times, may exceed federally insured limits. The aggregate of all uninsured balances at December 31, 2020 was $296,206. The Organization has not experienced any losses in such accounts and believes it is not exposed to any significant risk of loss on cash and cash equivalents. MARKETABLE SECURITIES - CONCENTRATION OF RISK The Organization maintains an account with a brokerage firm. The account contains cash and securities. Balances are insured up to $500,000 (with a limit of $250,000 for cash) by the Security Investor Protection Corporation. The brokerage firm maintains additional insurance to cover any significant credit risk on cash and cash equivalents. The Organization has not experienced any losses in such accounts. The Organization believes that it is not exposed to any significant credit risk on cash and cash equivalents. NOTE I – INVESTMENT IN MARKETABLE SECURITIES The Organization classifies debt and equity securities into two categories, available-for-sale securities and held-to-maturity securities. All securities are carried at their fair market values in the statement of financial position. Unrealized gains and losses are included in the accompanying statement of activities. As of December 31, 2020 and 2019, detail of the unrealized gains and losses was as follows:
2020 Equity securities 2019 Equity securities
Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value $11,329
$217
$1,486
$10,060
$4,175
$6
$725
$3,456
In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the fair value measurement will fall with the lowest level input that is significant to the fair value measurement in its entirety. The following table presents financial assets that the Organization measured at fair value on a recurring basis as of December 31, 2020 and 2019:
2020 Equity Securities 2019 Equity Securities
Level Level 1 2 $10,060 $0 $3,456 $0
Level 3 $0 $0
Total $10,060 $3,456
NOTE J – NOTES PAYABLE As of December 31, 2020, the organization was liable on the following notes: Paycheck Protection Program Loan (PPP) The note dated May 1, 2020 has a term of 24 months and an interest rate of 1.00%. The Organization has classified the note as a short-term liability because it anticipates forgiveness of the loan within the next year. The loan was forgiven on March 25, 2021. $100,845 U.S. Small Business Administration Loan The note date July 13, 2020 has a term of 30 years at the rate of 2.75%. The note calls for monthly payments beginning on July 13, 2021 interest and principal and due on July 13, 2050. Each payment will be applied to accrued interest first and the balance, if any, will be applied to principal. The note is secured by all tangible and intangible property. $150,000 Total: Less: current maturities Long-term portion Future maturities are as follows: For the year ended Dec 31. 2021 For the year ended Dec 31, 2022 For the year ended Dec 31, 2023 For the year ended Dec 31, 2024 For the year ended Dec 31, 2025 and thereafter TOTAL
$250,845 100,845 $150,000 $100.845 1,470 3,653 3,755 $141,122 $250,845
NOTE K – SUBSEQUENT EVENT
On January 1, 2009, the Organization adopted certain provisions of ASC Topic 820. ASC Topic 820 clarifies the principle that fair value should be based on the assumptions that market participants would use when pricing the asset or liability and establishes the following fair value hierarchy. Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities that the partners or managers have the ability to access. ·Level 2 inputs may include quoted prices for similar assets and liabilities in active intervals; and ·Level 3 inputs are unobservable inputs for the asset or liability that are typically based on an entity's own assumptions, as there is little, if any, related market activity.
The COVID-19 outbreak in the United States has caused business disruption through mandated and voluntary closings of multiple businesses as well as public schools. While the disruption is currently expected to be temporary, there is considerable uncertainty around the duration of the closings. Therefore, the Organization expects this matter to negatively impact its operating results. However, the related financial impact and duration cannot be reasonably estimated at this time.
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Donor Honor Roll
THANK YOU.
$100,000 AND ABOVE
$5,000 AND ABOVE
Commonweal Foundation Diana Davis Spencer Foundation Fradian Foundation Greater Washington Community Foundation The Herb Block Foundation The Jim & Carol Trawick Foundation The Morris & Gwendolyn Cafritz Foundation The National Center for Children and Families New Futures Philip L. Graham Fund
Robert Andreotti & Sandra Skogen Baltimore City Foundation Marcia & Gary Buchanan Maria Jose Carrasco Dominion Power Alene & Robert Gelbard Giving Circle of HOPE Louisa & Michael Greve Hollingsworth LLC John Edward Fowler Memorial Foundation Diana & Michael Katz Kwan-Hee Lee Maximus Foundation Pepco Returned Peace Corps Volunteers Jean Schiro-Zavela & Vance Zavela Marc Schlossman St. Mark Catholic Church Andrew & Seblewongel Young
$50,000 AND ABOVE The Community Foundation for Northern Virginia Corina Higginson Trust Jocarno Fund Tom & Donna Mutryn Robert & Renata Ponichtera Ruddie Memorial Youth Foundation The Harry & Jeanette Weinberg Foundation
$25,000 AND ABOVE
$1,000 AND ABOVE
Alexandria Central Rotary Club Amerigroup Bank of Georgetown Truist Bank John J. Beall Jr. Ethan J. Bond Jonathan Bresler The Bresler Foundation Peg & Blain Butner Anna Maria & Russell Buchanan Capital One Kathleen R. Cardile Scott Carlson & Helena Smolich $10,000 AND ABOVE David K. Daley* Ted R. Bromund Mital & Shuchi Desai Cloudbreak Foundation Viet Dinh Crimsonbridge Foundation Meredith Dukes Maria DiFuccia & Charles Snyder Michael & Nancy Dukes Dominion Guild Fredrick D. & Karen G. Schaufeld Family Foundation Exxon Mobil Laurie M. Flynn Family League of Baltimore Belinda Garza Noel Gessner GEICO Harman Cain Family Foundation Good Shepherd Catholic Church Krista Hendry Katherine & Ron Gordon The I.A. O'Shaughnessy Foundation Grace Presbyterian Johns Hopkins University Neighborhood Fund Peter Halim Kids Helping Kids Diane Hoffman Bob McCleary* Scheidel Foundation Host Hotels & Resorts Donald & Mitzie Solberg* Lauren & Glen Howard Elissa Webster John Marshall Bank Jonathan Jayes-Green Abdul K. Kargbo Claude Moore Foundation Cox Community Fund Hattie M. Strong Foundation International Monetary Fund Kaiser Permanente Many Hands Respira Medical Carol Sigelman TJ Maxx Venture Philanthropy Partners Washington Area Women's Foundation Wegmans
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2020 Liberty's Promise Annual Report
Nancy Keener Matthew King Kiwanis Club of Alexandria Joanna Kowalczyk & Ryan Simon Vinca LaFleur Bruce B. Lee* Edan Lopez Luisa Lopez Martina McAndrew Kathe & Bill McDaniels Pamela McKinney Greg McLean & Megan McGuiggan Jack McLindon Patricia Minikon Montgomery College Austin L. Morris Jon & Laura P. Morris Justin Morris Marcos Moya Nestlé Piedmont Community Foundation Play With Words Rodger & Magda Potocki PricewaterhouseCoopers Prince George’s Bar Association Provident Bank Patrick & Ruth Purcell Christine & Leon Radomsky Christina Reimond Meg Richmond & Julien Labiche The Rotary Club of Alexandria The Rotary Club of Washington D.C. Jennifer Rubin Michael Rubin Karren Scott Kanu & Daksa Shah Shreedhar Shah Kate G. Sinn Alexander & Patricia Shakow Michael Shepelak Sarah J. Sherhols Susan Soza Amanda Talbert Jeffrey S. Tracey Whitney & Joseph Tvrdy Unitarian Universalist Congregation Ann & Mike Van Dusen Virginia School Counselors Association Patty Vitale & Eli Eisenberg James Wascak Wells Fargo Westminster Presbyterian Church Jennifer Wilk World Bank
*Deceased
Government Partners
THANK YOU.
FEDERAL
SCHOOL DISTRICTS
Administration for Children and Families Institute of Museum and Library Services Office of Juvenile Justice and Delinquency Prevention
Alexandria City Public Schools* Arlington Public Schools Baltimore City Public Schools Baltimore County Public Schools District of Columbia Public Schools Fairfax County Public Schools Montgomery County Public Schools* Prince George's Public Schools*
COMMUNITY DEVELOPMENT BLOCK GRANTS Arlington City, VA Baltimore City, MD Gaithersburg City, MD Montgomery County, MD
*financial supporters
LOCAL Baltimore County Department of Planning City of Alexandria, VA City of Gaithersburg, MD Fairfax County Consolidating Pool (CCFP) Fairfax County Child and Adult Care Food Program Montgomery County Collaboration Council Montgomery County Council Prince George's County District I Prince George's County District II Prince George's County District III Prince George's County District IV Prince George's County Executive Town of Leesburg, VA
Thank you to all our supporters; we depend on the generosity of our partners to fund our mission of helping immigrant youth succeed in America. With this support, we can ensure that their circumstances don’t prohibit them from realizing their true potential. If you would like to find out more about how you can support our mission, we would love to hear from you. Please visit our website: www.libertyspromise.org/support-us Alternatively, you can contact our Director of Development & Alumni Relations: Ryan Cassidy w:(703) 485-5852 c: (202) 929-7138 e: rcassidy@libertyspromise.org
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2020 Liberty's Promise Annual Report https://libertyspromise.org