BBB Wise Giving Report for
LUNGevity Foundation

BBB Wise Giving Report issued March 2012
BBB Wise Giving Report expires March 2014


Does not meet one or more standards
This charity does not meet one or more of the 20 standards for Charity Accountability. Find out more...


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Charity Contact Information

Name: LUNGevity Foundation
Address: 435 North LaSalle Street, Suite 310
  Chicago, IL 60654
Phone: 312-464-0716
Web Address: www.lungevity.org
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BBB Wise Giving Alliance Comments

Year, State Incorporated: 2000, Illinois
Affiliates: None
Stated Purpose: "to have a meaningful and immediate impact on improving lung cancer survival rates, ensure a higher quality of life for lung cancer patients, and provide a community for those impacted by lung cancer."

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Evaluation Conclusions

              

LUNGevity Foundation (LF) does not meet the following 5 Standards for Charity Accountability.

Standard 3: Frequency and Attendance of Board Meetings - An organization shall have a minimum of three evenly spaced meetings per year of the full governing body with a majority in attendance, with face-to-face participation. A conference call of the full board can substitute for one of the three meetings of the governing body. For all meetings, alternative modes of participation are acceptable for those with physical disabilities.

LF does not meet this Standard because:

  • Although the board of directors held five board meetings, none of the meetings were held in person for the fiscal year ending June 30, 2011.

Standard 6: Board Policy on Effectiveness - Have a board policy of assessing, no less than every two years, the organization's performance and effectiveness and of determining future actions required to achieve its mission.

LF does not meet this Standard because:

  • The board of directors does not have a written policy stating that, at least every two years, an appraisal be done assessing the organization’s performance and effectiveness and determining future actions required to achieve its mission.

Standard 7: Board Approval of Written Report on Effectiveness - Submit to the organization's governing body, for its approval, a written report that outlines the results of the aforementioned performance and effectiveness assessment and recommendations for future actions.

LF does not meet this Standard because:

  • The organization has not conducted an effectiveness assessment within he last two years.

Standard 16: Annual Report - Have an annual report available to all, on request, that includes: (a) the organization's mission statement, (b) a summary of the past year's program service accomplishments, (c) a roster of the officers and members of the board of directors, (d) financial information that includes (i) total income in the past fiscal year, (ii) expenses in the same program, fund raising and administrative categories as in the financial statements, and (iii) ending net assets.

LF does not meet this standard because the most recent annual report did not include:

  • Total income.
  • Total program expenses.
  • Total fund raising expenses.
  • Total administrative expenses.

Standard 19: Cause Related Marketing - Clearly disclose how the charity benefits from the sale of products or services (i.e., cause-related marketing) that state or imply that a charity will benefit from a consumer sale or transaction. Such promotions should disclose, at the point of solicitation: (a) the actual or anticipated portion of the purchase price that will benefit the charity (e.g., 5 cents will be contributed to abc charity for every xyz company product sold), (b) the duration of the campaign (e.g., the month of October), (c) any maximum or guaranteed minimum contribution amount (e.g., up to a maximum of $200,000).

LF does not meet this Standard because:

  • The organization participates in several promotions in which LF is to benefit from the sale of items, but the portion of the purchase that benefits the charity is not disclosed.
LUNGevity Foundation (LF) meets the remaining 15 Standards for Charity Accountability.
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Programs

              

LF works to identify and fund research into the early detection and targeted treatment of lung cancer. The organization reports that it granted $2 million to researchers in 2011. The “Ask The Experts” section on LF’s website helps to interpret complex medical language into easy-to-understand language through blogs, webinars and podcasts for patients and caregivers. The organization’s Lung Cancer Support Community is a social network offering support to anyone touched by lung cancer, and LF offers one-on-one support to those affected by lung cancer through their LifeLine Support Partners.

For the fiscal year ended June 30, 2011, LF's program expenses were:

  
Programs 3,206,339
Total Program Expenses: $3,206,339
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Governance

              

Chief Executive : Andrea Stern Ferris, President and CEO
Compensation*:
$0

Highest Paid Executive: Beth Ida Stern, Executive Director
Compensation*: $110,628

Chair of the Board: Andrea Stern Ferris
Chair's Profession / Business Affiliation: Business Professional

Board Size: 9

Paid Staff Size: 16

*July 1, 2010 - June 30, 2011 compensation includes annual salary and, if applicable, benefit plans, expense accounts, and other allowances. LF reported that Ms.Ferris receives no compensation.
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Fund Raising

              

Method(s) Used:

Direct mail, special events, television, radio, grant proposals, Internet appeals, planned giving, and cause-related marketing.
Fund raising costs were 17% of related contributions. (Related contributions, which totaled $4,305,205, are donations received as a result of fund raising activities.)
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Tax Status

              

This organization is tax-exempt under section 501(c)(3) of the Internal Revenue Code. It is eligible to receive contributions deductible as charitable donations for federal income tax purposes.
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Financial

              

The following information is based on LF's audited financial statements for the fiscal year ended June 30, 2011.

Source of Funds  
Contributions and grants 2,673,047
Special events, net 1,371,125
Donated goods and services 261,033
Net realized and unrealized gain on investments 158,022
Interest and dividends 43,903
Loss on disposal of assets -677
Total Income $4,506,453


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Uses of Funds as a % of Total Expenses

Programs: 73%  Fund Raising: 17%  Administrative: 10% 

Total income   $4,506,453
  Program expenses $3,206,339
  Fund raising expenses 750,076
  Administrative expenses 456,953
 
Total expenses   $4,413,368
Income in Excess of Expenses   93,085
Beginning net assets   3,217,054
Ending net assets   3,310,139
Total liabilities   2,228,904
Total assets   $5,539,043

Note: According to LF's audited financial statements for the year ended June 30, 2011, the organization received in-kind contributions in the amount of $261,033 including event expenses ($187,662), advertising and marketing ($50,814), board and staff travel ($20,643), professional services ($1,000), and printing and design ($914).

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An organization may change its practices at any time without notice. A copy of this report has been shared with the organization prior to publication. It is not intended to recommend or deprecate, and is furnished solely to assist you in exercising your own judgment. If the report is about a charity and states the charity meets or does not meet the BBB Standards for Charity Accountability, it reflects the results of an evaluation of information and materials provided voluntarily by the charity. The name Better Business Bureau is a registered service mark of the Council of Better Business Bureaus, Inc.

This report is not to be used for fund raising or promotional purposes.

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