2024-05-14T14:38:57-07:00 2023-12-31 990EZ 2023-01-01 251891351 CHINESE CULTURAL & ARTS INSTITUTE CHIN 7175857701 561 Lovell CT Hummelstown PA 17036 William Hubler CEO 7175857701 2024-05-14 William Hubler 999009999 1 1 11 0 AAL2 2023 2023-04-26 12:10:37Z X https://www.chineseculturalartsinstitute.org/ X X 55316 12250 43066 0 0 0 0 0 0 0 0 0 0 0 0 0 55316 0 0 0 4800 49266 1250 0 55316 0 54911 0 54911 54911 54911 0 0 0 0 54911 54911 0 0 54911 54911 Presentation & Education of Traditional Chinese Arts Educational Programming: Spring, Fall, & Summer classes: traditional Chinese dance, traditional Chinese painting & calligraphy. Chinese language, Tai Chi, traditional music, ballet. Seminars & master classes on tea arts, Chinese dance, Chinese cooking, traditional Chinese healing. 400 students. Limited due to COVID-19. 3000 42366 Community Outreach: School programs plus school educational programs held on Chinese culture and arts in local schools and nonprofit organizations. Participation in local government events. 5,000 plus audience. Recovering due to COVID-19 pandemic and shutdowns. 0 2500 Professional and Student performances: This program is used to present both professional and student artists on a professional stage. Most of these events are slowly recovering due to COVID-19. 0 10450 55316 Chen Yu Tsuei President 60 0 0 0 William F Hubler CEO 40 0 0 0 Iyuan Wei Board 8 0 0 0 Diana S Meng Master Teacher 15 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 PA William Hubler 561 Lovell CT Hummelstown PA 17036 7175857701 0 0 0 0 0 0 0 0 0 0 0 NONE NONE 1 X 17859 52075 37655 44777 12250 164616 61984 21595 35850 38800 43066 201295 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 79843 73670 73505 83577 55316 365911 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 365911 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 79843 73670 73505 83577 55316 365911 1 1 0 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED Interior improvements made over 20 years to 200 S. 41st Street, Suites B & C, Harrisburg, PA 17111 2023-06-14 1293100 Fair Market Value: Best Estimate Determined by contractor quotes to rebuild in new location, Construction estimating software for local market conditions. Missing from cost estimate are permits & fees, Time & Materials, engineering & design. Craig Eshenaur Rentals LLC Craig Eshenaur 1640 Shannon Drive Harrisburg PA 17112 For Profit 0 0 0 0 Schedule N, Part II, Line 1 Summary Narrative & Timeline Explanation: Fair Market Value: Best Estimate Determined by contractor quotes to rebuild in new location Construction estimating software for local market conditions Missing from cost estimate are permits & fees, Time & Materials, engineering & design Eminent Domain was executed on June 14, 2023 by the Pennsylvania Department of Transportation on 200 S. 41st Street, Harrisburg, PA 17111 resulting in the transfer of all hard assets of the Chinese Cultural & Arts Institute (CCAI) EIN: 25-1891351 to Craig Eshenaur Rentals. LLC, 1640 Shannon Drive, Harrisburg, PA 17112, landlord of the property, with PennDOT compensating Craig Eshenaur Rentals and Craig Eshenaur for CCAI's hard assets. CCAI has been leasing this space since December 2004, and has 20 years of investment and improvement in the fully developed 4,000 SF of Suites B & C all at the expense of CCAI. Estimated Fair Market Value to replace what is currently in 200 S. 41st Street, to a new location is $1,293,100 as estimated by general contractors and construction estimating software local market. Facilitating parties in the eminent domain process: Commonwealth of Pennsylvania Pennsylvania Department of Transportation Harrisburg, PA 17105 Dustin Palmer, Kleinfelder Engineering (PennDOT Agent) (Acquired Century Engineering) 770 First Avenue, Suite 400 San Diego, CA 92101 200 Airport Road New Cumberland, PA 17070 Ken Hawker, VP Anthony DeFreitas, Right of Way Agent Craig Eshenaur Rentals, LLC (Landlord) 1640 Shannon Drive Harrisburg, PA 17112 Craig Eshenaur Faherty Law Firm (Attorney for Eshenaur) 75 Cedar Avenue Hershey, PA 17033 Anthony M. Corby, Attorney PennDOT held a public meeting on October 18, 2018 officially announcing the I83 Capitol Beltway Project and properties impacted by eminent domain. First official contact for eminent domain came on April 20, 2021 by Anthony DeFreitas of Century Engineering. CCAI explained that we were not disputing the eminent domain and just wished to be fully compensated to relocate, and what our special needs as a nonprofit were. CCAI also fully explained our status as a IRS 501(c)(3) cultural ethnic nonprofit. We were informed by PennDOT that they did not know what to do with us. On April 26, 2022, CCAI was informed by the landlord, Craig Eshenaur, of Craig Eshenaur Rentals, that the appraisers would be visiting the property the next day. CCAI sent an email titled: "Adjusters Visit - Want TO Make Sure There Is No Misunderstanding." This was meant to reinforce verbal conversations that CCAI was leased an empty shell in December of 2004 and did the build out completely on CCAI nonprofit budget and donations. CCAI wanted to clarify that these building improvements were not improperly credited to the landlord by the appraisers. On April 27, 2022 the PennDOT agent then confirmed that we had discussed this issue, and promised to get it resolved with the landlord. On April 27, 2022 copy of the original lease were provided showing that only the demising walls, HVAC, and the toilet were provided, all others were to be done at CCAI's expense. The landlord took credit for all of the improvements. On April 28, it was again reiterated that this has been stated multiple times that CCAI did all improvements at CCAI's expense, and that empty space was leased. On May 3, 2022, CCAI sent email to PennDOT representative and PennDOT to reiterate that stated: "Also, I would like to reiterate, the Chinese Cultural & Arts Institute (CCAI) is a separate standalone IRS recognized 501(c)(3) cultural nonprofit, and we are not part of, nor affiliated with, any other entity. No one, or entity, speaks for CCAI nor has power of attorney. There is no agreements with any party for any move or future lease arrangements. As an officer of the nonprofit, I have a fiduciary responsibility to protect all investment made by the nonprofit and a responsibility to report all loss or transfer of assets to the IRS as per regulations along with why the loss/transfer happened and the involved and receiving parties." On May 20, 2022, CCAI received a response to ownership of improvements: "I reviewed the lease you provided, and it appears that according to section 9d of your lease that all additions or fixtures constructed on the property become property of the lessor. That being the case, we would need for Mr. Eshenaur to sign an ownership disclaimer detailing that you can receive the compensation for those improvements in order to extend you an offer. A meeting was held with Mr. Eshenaur this week and during the meeting Mr. Eshenaur was asked if he would be agreeable to signing a disclaimer and Mr. Eshenaur indicated that he would not. His opinion is that it would be best for the current tenants to relocate with him when he finds a suitable replacement site, and to work out new arrangements that way." On May 20, 2022, CCAI emailed back that proposed arrangements were "completely unacceptable." CCAI then explained in a normal lessee/lessor situation were the lessee decides to move on their own, yes, that paragraph, 9d applies, but not in an eminent domain situation where the state is taking the property and forcing the move onto all lessees. On May 20, 2022 a email was sent to Anthony DeFreitas, Mark Chappel and John Bachman of PennDOT stating and reiterating that the Chinese Cultural & Arts Institute (CCAI) is not part of Mr. Eshenaur's companies or properties, CCAI is not incorporated under him, or by him, CCAI has no agreement to move with him, not do we need to get his approval for any business transaction. CCAI was never contacted by the landlord about moving with him as per what PennDOT conveyed. On March 10, 2023, documents were sent to CCAI with the document RW356TO of $100 "Just Compensation" RW590 with 90 Days Notice. Upon receiving this offer, CCAI rejected it in totality in writing in a meeting with PennDOT representatives. On April 6, 2023, at this same meeting, CCAI made in writing, a request for the tax information for the landlord/property owner, Kleinfelder Engineering, and PennDOT so that CCAI could properly and within IRS regulations, report this transfer of nontaxed assets from a nonprofit to a for profit entity and how this occurred, so that CCAI and its officers are in total IRS compliance and not subject to criminal action by the IRS. This request has been ignored by PennDOT. At this meeting Ken Hawker insisted that we would have nothing to file for upcoming tax filing deadline of May 15, 2023, as we wouldn't know the cost or repercussions until after the taxes are filed. CCAI received an email on April 29, 2024 from Ken Hawker stating that he did not understand the request for tax information, and it is the first time he had heard of this in 26 years. Mr. Hawker then stated in the email; "PennDOT does not issue 1099's for real property payments under $600.00 nor does it issue 1099's for relocation benefits." On June 15, 2023, The Commonwealth of Pennsylvania, PennDOT, file with the PA Court to seize the property at 200 S. 41st Street, Harrisburg, PA. On November 3, 2023 an email was received from Anthony DeFreitas of Kleinfelder Engineering asking that CCAI abandon property that cannot be moved. On November 3, 2023 an email was sent to Anthony DeFreitas and Ken Hawker of Kleinfelder Engineering stating that "If anything that CCAI has in place at 200 S. 41st Street, Harrisburg, cannot be moved, we expect it to be compensated for full replacement, not salvage value." On November 7, 2023 an email was received from Anthony DeFreitas of Kleinfelder Engineering again asking CCAI to abandon property. On April 29, 2024 an email was received from Ken Hawker of Kleinfelder Engineering stating that he did not understand our request for tax reporting information and had never encountered this in his 26 years of relocating nonprofit businesses. Good afternoon Mr. Hubler, That is great news that you have potentially located a replacement site. Can you please provide the address and a date/time that we can schedule a meeting to review the proposed build-out activities and the available relocation benefits? Regarding the IRS Form 990 Schedule N and related requests, we would like to gain a better understanding of your concerns. Over my 26 years in the right-of-way field, I've worked on numerous relocations of various non-profit businesses and have never encountered this request. We are not tax professionals so additional communication and citation of exact reporting requirements will be very beneficial to our evaluation. Thank you, Ken Hawker Vice President / Sr. Program Manager 200 Airport Road New Cumberland, PA 17070 717.901.7055 412.584.4460 All communications and Correspondence is available upon request. All supporting documentation is available upon request.