2024-02-27T12:48:14Z 2022-12-31 990EZ 2022-01-01 454801893 ART OF RECYCLE ARTO 7174666966 27 CLOISTER AVENUE EPHRATA PA 17522 Joshua Myers Exec Dir, Pres, Treasurer 7174666966 2024-02-27 2022 2023-04-26 12:10:37Z X artofrecycle.org X X 188194 X 59386 2440 124 125931 125931 313 188194 203784 11209 147202 773 47190 410158 -221964 164912 -229107 -286159 X 1014 3234 1043020 277259 1044034 280493 879122 566652 164912 -286159 Form 990 EZ, Part III - Educational Community Art Center - Art of Recycles Mission Statement To develop, heal and grow community through experiential learning and interactive instruction for the advancement of diverse learners. We aim to promote access and equality by assisting all people to be inspired and empowered by using discarded, unwanted, and excess items as learning tools; creating generations to come to be more environmentally and socially conscious. Our philosophy is that art and music is the foundation to teaching math, science, reading, writing and sociology. Creativity belongs in the same category as preventive healthcare, diet and exercise, and people who are robbed of the ability to create art because of economic hardship live a life of the poorest quality. The Community Art Center provides a free crafting area which is utilized by the general Ephrata community. Latchkey kids, families and people with special needs are significant groups serviced at the free craft area. Revenue obtained through sale of donated craft supplies. Seven to eleven volunteers each day. 247525 The "Art is a Necessity" program supplies free classroom and educational materials to schools and nonprofits. 30120 Organization provides free and low-cost art workshops teaching critical thinking skills and empathy. It does this utilizing resources readily available, and which are often thrown away. 45476 323121 Joshua Myers Exec Dir, Pres, Treasurer 70.00 13000 0 0 Jennifer Montanye Creative Dir, Vice Pres, Secretary 70.00 0 Alan Tay Board Member 5.00 0 false false false false true 0 false false 0 0 0 false 0 0 PA Art of Recycle 27 Cloister Avenue Ephrata PA 17522 7174666966 false false false false false false false false false false false NONE 0 NONE 0 true X 0 0 0 0 391745 402392 626605 412153 59386 1892281 142770 166386 52932 103534 128808 594430 534515 568778 679537 515687 188194 2486711 0 0 279037 126086 41005 446128 0 0 0 279037 126086 41005 446128 2040583 372 372 0 0 0 372 0 0 372 0 0 534515 568778 679909 515687 188194 2487083 0.82050 0.88150 0.00010 0.00000 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED Theft Loss 2022-12-31 200000 Estimated 000000000 Unknown Unknown PA 15077 false false false false true false true false false false false false Part I, Line 1 With only secondary methods of determining the stolen inventory the actual values could be much higher. The estimations were made by two staff members with deep familiarity of the type, quality, and values of donations coming in on a regular basis. Jewelry, vintage, antique and new in package items were particularly targeted. Items visually confirmed that were never put out for sale were discovered on internet pages that appeared to be exclusively AoR stolen fenced merchandise. Security camera systems were found to be unplugged, damaged and reset on many occasions. Four individuals in leadership positions are believed to have been involved which contributed to the extended period of discovery. These program inventory and auction price re-evaluations of inventory were made on the advice of accountants from two separate firms. Part I, Line 16 Form 990 EZ, Part I, Line 16 Other Expenses Trademark Registration $4,199.00 Consideration of Nanty Glo location $250.00 Cash drawer theft $305.39 Accounting fees $10,925.00 Legal fees $284.00 Background Checks $284.00 Supplies $12,799.99 Advertising $2,252.17 Interest $11,928.76 Staff Development $1,934.75 Insurance $2,027.00 Part I, Line 20 Form 990 EZ, Part I, Line 20 - Other Changes in Net Assets - See also Schedule N - Significant theft activities targeted in-kind donations received by the organization. Estimated loss in 2022 was in excess of $200,000. Coordinated theft activities were carried out by individuals both within and outside of the organization. The losses to the organization were compounded by lost time of the nonprofit's leadership team in the efforts to determine involved persons and install additional security measures. Due to the number of staff that were alleged to be involved, leadership had significant challenges over three years (2021-2023) in determining the individuals and avenues utilized by the thieves. Six employees of this organization were fired for related incidents, but there was no hard evidence to be utilized to press charges. One employee at a different local nonprofit organization, bringing special needs volunteers developing job skills to this organization, was fired from their job at because of their involvement. Subsequently a number of employees and volunteers left of their own accord, most of which were suspected of knowledge or involvement. Part I, Line 8 Form 990 EZ, Part I, Line 8 - Other Revenue $312.94 Bank Interest and other miscellaneous sources Part II, Line 24 Form 990 EZ, Part II, Line 24 - Other Assets Include vehicles, inventory, and cash on hand. Because Intuit was dropping support of Quickbooks Desktop the board made the decision to migrate to Quickbooks Online. The migration of halfway reconciled accounts caused numerous duplicate and triplicate entries. Art of Recycle paid Intuit to catch the books up and hire a monthly bookkeeper, but Intuit backed out of the deal and refunded the organization's money. Art of Recycle hired a bookkeeper through a different Quickbooks avenue. The bookkeeper and Treasurer worked together to repair the damage that was done in the migration process and was able to get the books to the CPA in Oct 2023. The CPA had been appraised of the situation regularly throughout the summer and accepted the work knowing the timeline. The CPA messaged in December stating that since regular tax season was coming up they would not be expecting to finish our taxes until April. In late January after repeated attempts to contact the CPA we informed them that they were in breach of contract and engaged another CPA for our review. This CPA has requested that we file our own 990ez.