Editor’s Note. The following article appeared online on May 16, 2011 on Around the Rings.com, which is an internet site dedicated to the Olympics. Ms. Rosen writes for this website.
(ATR) The U.S. Olympic Committee earned total revenue of $250.6 million – thanks to $105 million in broadcast rights – while spending $191.6 million in 2010, according to its tax return filing.
USOC headquarters in Colorado Springs, Colorado. (ATR)
The tax return, Form 990 for tax-exempt organizations, is required to be filed every year to document its status as a not-for-profit concern.
Total payment to top leadership is down from 2009 figures. Still, the USOC paid $1,724,699 to executives who are no longer with the organization.
Two former CEOs, Stephanie Streeter and Jim Scherr, received $279,845 in compensation. Streeter, the unpopular Acting CEO who took over in March 2009, was paid for the first quarter of 2010 in the transition to current chief Scott Blackmun, whose first day was Jan. 26, 2010. Streeter, a former member of the USOC board of directors, earned $163,593 (base salary of $135,385 and housing allowance of $28,137) for the three months. Scherr, who was ousted in Streeter’s rise to power, received $116,252 in his final severance payment.
Robert Fasulo, the international relations chief who left in August after the USOC decided to move the IR headquarters from California to Colorado Springs, received a total package of $447,537, which included $94,739 in severance.
John McWilliams, the human resources chief who left in mid-2010 after about a year on the job (also because he declined to move to Colorado), received a total of $411,073, including a $103,000 bonus and $175,000 in severance.
Norman Bellingham, the Chief Operating Officer who departed in February 2011, earned $586,244 in salary and benefits, including a base salary of $395,503 and a bonus of $160,680. That was an increase from his 2009 compensation of $521,436, but a decrease from his 2008 package of $663,369, which was tops in the USOC. His position has not been filled.
Blackmun headed the 2010 list, earning a total $638,407, including a base salary of $425,995, bonus of $67,950 and $100,000 in retirement and other deferred compensation. Combined with the money paid to Streeter and Scherr, the USOC spent $918,252 in CEO compensation, a decrease of 49 percent from 2009 when Streeter received just over $1 million and Scherr $801,000.
Other notable salary and benefit packages: chief marketing officer Lisa Baird ($462,743, which includes a bonus of $111,000 on top of a salary of $332,000), chief communications officer Patrick Sandusky ($416,759, which includes a salary of $272,232 and $109,788 in other compensation such as moving expenses), general counsel Rana Dershowitz ($357,010) and chief financial officer Walt Glover ($306,625).
CEO Scott Blackmun (left) tops the USOC salaries. (ATR)
Sandusky pointed out that total salaries paid to the CEO, COO, CFO, CMO and General Counsel dropped 23 percent in 2010 from 2009 and total compensation of the same group dropped 42 percent. However, salaries were the No. 2 expenditure for the USOC at $25.6 million.
Tops was the $45.3 million in grants paid to 106 governmental and other organizations in the U.S., with the grants ranging from $5,000 apiece to Casper Mountain Biathlon Club and U.S. Federation Handcycling to $4.4 million for USA Track and Field. The U.S. Ski and Snowboard Association was awarded $3.9 million, U.S. Speedskating $2.6 million and USA Swimming $2.4 million. These four federations account for the bulk of the medals during the Olympics.
The USOC spent another $21.5 million in grants, services and programs to elite athletes. From the athlete performance pool, 1,696 athletes received a combined $11.5 million for training support. Operation Gold provided $2.8 million and health insurance and other medical benefits totalled $6.7 million.
The total grants of $72,351,558 were an increase of more than $15 million over 2009.
The USOC also paid $4.9 million for printing services to R.R. Donnelley (which it misspelled on the 990), another $2.4 million to Pep Direct, Inc. for printing and mailing services, $2.6 million to Alta Resources for fulfillment services, $2.7 million to Jet Set Sports for Games hospitality packages and $1.1 million to Framboise Catering.
Government relations was another cost, with $146,627 spent for “direct contact with legislators, their staffs, government officials, or a legislative body.” While the USOC, as a tax-exempt organization, it is not permitted to engage in lobbying governments, is still allowed to inform and involve them in USOC activities.
On the revenue side, broadcast rights accounted for $105,142,042 a figure that shows why the USOC is keeping a keen eye on the negotiations for the 2014/2016 U.S. rights fees, which are expected to take place in June. Future talks with the International Olympic Committee about the controversial revenue split will also have a direct impact on the amount of money in the USOC coffers.
As part of a previous agreement with the IOC regarding International Games cost sharing, the USOC sent a check for $5.5 million to Europe. That is only one installment in the $18 million it will pay to help defray the costs of staging the 2010 and 2012 Olympics.
In other revenue streams, International Games brought in $2, 994,906, which includes payments made by the IOC towards transportation for U.S. athletes to the Olympics. The Olympic Training Center contributed $2,424,535, International Relations $436,040 and other member services $265,808.
The total amount of $111,263,331 in program service revenue was a substantial increase over the non-Olympic year 2009, which had revenue of only $7,168,897.
The U.S. Olympic Training Center is part of the USOC’s footprint in Colorado Springs. (USOC)
The USOC received a record $66.6 million in contributions and donations in 2010, an increase of more than $13 million from 2009. The federation also brought in $71.8 million in sponsorship money, called “royalties” on the form, a $10 million bump from 2009 but still trailing the 2008 Olympic year by $25 million.
The single largest contributor to the USOC in 2010 was the City of Colorado Springs, site of the new headquarters building.
The USOC has $96.7 million book value for land, buildings and equipment ($8.7 million land, $68.4 million buildings) and $96,424 for works of art and historical treasures.
The commercial real estate contribution for the organization was valued at $19.7 million.
As far as program services and activities outside the United States, total costs were $5,820,972. That included: Central America and the Caribbean $251,397; East Asia $339,223; Europe, Iceland and Greenland $2,513,946; Middle East and North Africa $50,516; North America $2,548,965; Russia and the Newly Independent States $4,418; South America $72,698; and Sub-Saharan Africa $39,809.
To view the complete tax return, click here.
Good blog post , I was enlightened by the points – Does anyone know if my assistant can get a fillable LPA Rent Receipt form to type on ?
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