EL POMAR FOUNDATION Summary of Income and grants from December 31, 1937 through December 31, 1982 Federal Excise Excess of rev. 358 930 317 127 Year 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 1950 1951 1952 1953 1954 1955 1956 1957 1958 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 Revenues 13 425 365 675 323 950. 347 235 405 369 422 116 473 592 426 129 438 343 454 509 452 590 469 392 470 997 473 872 573 689 2 429 630 1 982 573 1 188 831 1 152 420 1 032 179 1 162 431 1 099 459 1 107 373 1 110 248 1 263 162 918 929 1 686 301 1 872 239 1 517 824 1 520 504 3 020 870 3 223 159 2 697 739 3 009 599 3 128 228 3 460 425 3 405 868 3 546 846 3 963 095 3 374 607 3 559 454 3 964 323 4 380 892 4 097 487 75 052 228 Expenses 7 6.064 6.288 6.745 6 823 12 569 STATEMENT OF WILLIAM MORRIS, ESQ., REID & DRIEST, WASHINGTON, D.C., APPEARING ON BEHALF OF THE ALTMAN FOUNDATION Mr. MORRIS. That is correct, Mr. Chairman. My name is William Morris. I am an attorney with the law firm of Reid and Driest, with offices in Washington and New York City, and I am appearing this afternoon on behalf of the Altman Foundation. With your position, I would like to submit a full statement for the record, which details our entire presentation. Senator ARMSTRONG. Of course. It will be included in its entirety in the record. [The prepared statement of John S. Burke follows:] TESTIMONY OF JOHN S. BURKE, THE ALTMAN FOUNDATION EMPLOYEES. BEFORE THE SUBCOMMITTEE ON TAXATION AND DEBT MANAGEMENT AUGUST 1, 1983 MY NAME IS JOHN S. BURKE. I AM THE PRESIDENT OF THE ALTMAN FOUNDATION AND CHAIRMAN OF THE BOARD OF B. ALTMAN & CO., THE NEW YORK BASED RETAIL DEPARTMENT STORE GROUP. I HAVE BEEN EMPLOYED BY B. ALTMAN & CO. SINCE 1946 AND HAVE BEEN ASSOCIATED WITH THE ALTMAN FOUNDATION SINCE 1948. THE ALTMAN FOUNDATION WAS FORMED IN 1913 BY BENJAMIN ALTMAN WITHOUT ANY INCOME TAX OR ESTATE TAX ADVANTAGE TO HIM. EDUCATIONAL AND RELIGIOUS ORGANIZATIONS. THESE GRANTS HAVE BEEN WHEN MR. ALTMAN DIED IN 1913 WITHOUT A FAMILY HE LEFT TWO IMPORTANT LEGACIES TO THE PEOPLE OF NEW YORK-- HIS FAMOUS ART COLLECTION WENT TO THE METROPOLITAN MUSEUM OF ART. HIS ENTIRE INTEREST IN THE STORE WENT TO THE ALTMAN FOUNDATION FOR THE BENEFIT OF THE PEOPLE OF NEW YORK AND FOR THE BENEFIT OF HIS FOR MORE THAN THREE GENERATIONS, THE FOUNDATION HAS TOUCHED THE LIVES OF MILLIONS OF NEW YORKERS. IT HAS GIVEN MORE THAN $24 MILLION TO NEARLY 1,000 DIFFERENT CHARITABLE ORGANIZATIONS OPERATING IN NEW YORK. SOME OF THE MAJOR BENEFICIARIES INCLUDE THE FEDERATION OF JEWISH PHILANTHROPIES, CATHOLIC CHARITIES OF THE ARCHDIOCESE OF NEW YORK, FEDERATION OF PROTESTANT WELFARE AGENCIES, INC., NEW YORK UNIVERSITY, FORDHAM UNIVERSITY, ST. LUKE'S HOSPITAL, ST. VINCENT'S HOSPITAL, THE URBAN LEAGUE, THE SALVATION ARMY, THE BOY SCOUTS AND GIRL SCOUTS, THE LENOX HILL NEIGHBORHOOD ASSOCIATION, THE NEW YORK URBAN COALITION, CASITA MARIA, INC., AND THE NEW YORK PUBLIC LIBRARY. GRANTS FROM THE FOUNDATION HAVE BEEN AS SMALL AS $5 (PRIMARILY IN ITS EARLIEST YEARS OF OPERATION) AND AS LARGE AS $100,000. IN 1982 WE DISTRIBUTED OUR ENTIRE NET INCOME OF $790,500. FOR YEARS WE HAVE ATTEMPTED TO BE CONSISTENT SUPPORTERS OF A RANGE OF RECOGNIZED AND EFFECTIVE CHARITABLE ORGANIZATIONS SINCE WE KNOW THEY MUST BUDGET IN ADVANCE IN ORDER TO PLAN THEIR ACTIVITIES. THE FOUNDATION, OPERATED BY A BOARD OF SIX TRUSTEES, INCURS MINIMAL OPERATING COSTS. THE TOTAL EXPENSES OF THE FOUNDATION (INCLUDING FEDERAL EXCISE TAX) AMOUNT TO ABOUT $70,000 PER YEAR INCLUDING $20,000 CONNECTED WITH THE PREPARATION OF ANNUAL FINANCIAL STATEMENTS AND FORMS FILED WITH THE IRS. ALL FUNDS RECEIVED ARE DISTRIBUTED EACH YEAR TO CHARITIES. PAST DECADE WE HAVE DISTRIBUTED FUNDS IN EXCESS OF NET INVESTMENT INCOME IN SIX SEPARATE YEARS. IN THE THE PRIMARY GIFT OF STOCK TO THE FOUNDATION WAS MADE BY BENJAMIN ALTMAN PRIOR TO THE ENACTMENT OF THE FIRST FEDERAL ESTATE AND GIFT TAX PROVISIONS AND WAS MADE WITHOUT TAX AGE. UNDER SECTION 4943 THE FOUNDATION IS REQUIRED TO DISPOSE OF APPROXIMATELY 50% OF ITS STOCK IN B. ALTMAN & CO. BY MAY 25, 1984. SIGNIFICANT ATTEMPTS HAVE BEEN MADE TO ARRANGE THE REQUIRED SALE; HOWEVER, DISPOSITION EFFORTS HAVE BEEN ADVERSELY AFFECTED BY MARKET CONDITIONS. SINCE 1969, THE ALTMAN FOUNDATION HAS ENGAGED IN SERIOUS DISCUSSIONS WITH POTENTIAL PURCHASERS OF B. ALTMAN & CO. THESE EFFORTS HAVE BEEN UNSUCcessful. POTENTIAL PURCHASERS, AWARE OF THE FOUNDATION'S NEED TO SELL THE BUSINESS HAVE MADE OFFERS WHICH SIGNIFICANTLY UNDERVALUE THE ASSETS AND OPERATING WORTH OF B. ALTMAN & CO. AS FIDUCIARIES, THE TRUSTEES COULD NOT ACCEPT THE TERMS AND CONDITIONS OF THE OFFERS. CONSEQUENTLY, WE STRONGLY SUPPORT THE CALL FOR SPECIFICALLY, WE MODIFICATION AND/OR REPEAL OF SECTION 4943. THE UNDERLYING RATIONALE FOR SECTION 4943 IS TO ENSURE THAT FUNDS SET ASIDE FOR PHILANTHROPY, ENCOURAGED BY INCOME AND ESTATE TAX DEDUCTIONS AND INCOME TAX EXEMPTIONS, ACTUALLY ARE DISBURSED TO BENEFIT THE PUBLIC. IN THE CASE OF THE ALTMAN FOUNDATION FEDERAL INCOME AND ESTATE TAX DEDUCTIONS WERE NOT A MOTIVATING FACTOR. BENJAMIN ALTMAN WAS FAR AHEAD OF HIS CONTEMPORARIES IN HIS CONCERNS FOR CHARITY. SINCE 1913, HIS MOTIVATION OR AD |
0 Reviews Reviews aren't verified, but Google checks for and removes fake content when it's identified Write review |