Executive Compensation at the March of Dimes (2017)
2017 was a year of changes for the March of Dimes beginning on the first day of the year when Stacey D Stewart became the non-profit’s new President and CEO (after Jennifer Howse retired after 26 years with the organization). For the first time in several years, the March of Dimes did not spend more ($152 million) than they raised ($164 million) but the organization still remained in a negative net asset or negative fund balance position. Although the $12 million of unspent revenue would supposedly help reduce the negative $13 million net fund balance, there were $7 million in net unrealized losses on investments and $3 million in changes to assets as a result of higher pension costs. All of which means, the March of Dimes is still in a negative net asset or negative net fund balance of $11 million. Better than last year ($13 million) but still not in a positive position.
For people following the March of Dimes, the past few years have been tough on the organization. Just 4 years ago the March of Dimes had $75 million in net fund assets and was raising close to $200 million annually, but they were spending more than they raised. Over the next few years, revenue started to decline and the organization went into a negative net fund position because they were spending anywhere from $8-$27 million more than they raised annually, had to fund a pension/post retirement liability, and had losses on investments.
Revenue continued to decline in 2017 (to $164 million from $169 million the year before) and more staff cuts were made (total staff of 1,284 were reported in 2017 compared to 1,513 in 2016), first class travel finally appeared to be eliminated (the IRS Form 990 in 2017 shows staff did not fly first class, as in previous years), and the organization cut expenses and did not spend more than they raised.
The 1,284 staff were compensated $70 million which equates to an average compensation of $54,300 (compared to an average compensation of $58,200 for the 1,513 employees in 2016). 112 employees received more than $100,000 in compensation with the 16 most highly compensated employees listed below:
- $598,426: Jennifer Howse, former President
- $534,093: Stacey Stewart, President
- $415,232: Paul Jarris, SVP and CMO (start 2/1/17)
- $387,192: Joseph L Simpson, SVP Research and Global Program
- $354,162: Paula A Ransom, SVP and Chief Volunteer Officer
- $301,502: Karen Andrews, EVP and General Counsel
- $280,285: David C Horne, SVP and CFO (end 12/31/17)
- $273,735: Frederick A Brogdon, SVP and COO
- $260,880: Christopher L Maddocks, SVP and Chief Marketing Officer
- $243,695: David L Hampton, II, SVP and Chief Development Officer
- $241,238: Nicholas DiFranza, SVP and Chief Tech Officer
- $231,204: Lisa B Butcher, SVP Strategy and Transformation
- $230,511: Cynthia Johnson, SVP Public Policy/Gov’t Affairs
- $204,906: Deborah Barge, SVP Market Leadership and Development
- $199,956: Catherine Sellers, SVP Science and Strategy
- $195,284: Janis Biermann, SVP Education and Health
9 of the 16 most highly compensated employees are female while 7 are male. 6 of the 10 most highly compensated employees are male while 4 are female.
The March of Dimes did provide tax indemnification and gross up payments. For detail see Schedule J, Part III, Supplemental Information on the Form 990 (link below).
To read the IRS Form 990 (2017), click here.
To read an update, click on Executive Compensation at the March of Dimes (2018)