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October 22, 2022

Executive Compensation at the American Lung Association (2021)

by Anne Paddock

The American Lung Association is a tax-exempt, non-profit 501 (c) (3) that focuses on preventing lung disease and improving lung health by providing program services (education and advocacy to the public (research grants comprise about 13% of expenses).

There are 18 independent members (directors) of the governing body (board of directors); 12 of the 18 (67%) directors are male while 6 of the 18 (33%) are female (note:  gender identity is not reported on the Form 990; conclusions were made based on name and google searches).

In 2017, the American Lung Association (ALA) underwent big changes when the eight charter and national boards voted to unite the organization into a single nationwide organization based in Chicago, Illinois, although there are local offices.

In 2021, the ALA raised $100 million (compared to $104 million in 2020,  $113 million in 2019 ,and $108 million in 2018) most of which came from contributions, gifts and grants (including $24 million in grants from the government).  The organization spent $99 million (primarily on compensation, fees for services, direct mail, and office-related expenses), and had $168 million in net fund assets (think savings account) at year-end (compared to just $15 million in 2016; note:  this increase is primarily due to an increase in revenue in 2018 while keeping expenses low that year, during the consolidation of the organization).

The ALA reported having 817 employees in 2021 who were compensated $42 million, which equates to an average compensation  of $51,400.  61 employees received more than $100,000 in compensation with the 10most highly compensated employees listed below:

  • $579,381:  Harold Wimmer, President and CEO
  • $298,372:  Julia Fitzgerald, Chief Marketing Officer
  • $287,488:  Jeff Seyler, Chief Division Officer, East
  • $278,563:  Lewis Bartfield, Chief Division Officer, West
  • $276,570:  William Pfeifer, EVP, Governance
  • $275,184:  Laura Scott, CFO
  • $273,187:  Sue Swan, Chief Development Officer
  • $269,763:  Deborah Brown, Chief Mission Officer
  • $248,072:  Sarah Krikorian, Chief HR Officer
  • $177,491:  Neil Ballentine, National VP, Digital Strategy, IT

The 10 most highly compensated employees received $3 million in compensation.  Harold Wimmer received $19,500 from a 457 (F) plan.

5 of the 10 most highly compensated employees are female while 5 of the 10 are male.

ALA paid for first class or charter travel. No other detail is provided,

113 independent contractors received more than $100,000 in compensation. The 5 most highly compensated were reported to be:

  • $4.2 million:  Production Solutions, of Vienna, VA for marketing
  • $3.3 million:  R R Donnelly, of De Pere, WI for supply chain management
  • $1.7 million:  Innovairre/Brickmill Marketing Services, of Milford, NH for marketing
  • $1.3 million:  AD Council, of NY, NY for public service advertising
  • $1.2 million:  PHMC, of Philadelphia, PA for public health consulting

If the remaining 108 independent contractors received $101,000 each (and they likely received much more), then ALA spent a minimum of $22 million – $11 million plus $11 million to the 5 contractors listed above – (and likely significantly more) to compensate outside vendors.

To read the IRS Form 990 (2020 for the year ending June 30, 2021), click here.

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