Southern Painters Welfare Fund

The information for Southern Painters Welfare Fund is as of the organization's most recent filing in December '21. This organization is located in Pittsburgh, PA. It has been in existence for 30 years, following its founding in 1991.

Organization Classification

The IRS classifies organizations according to the National Taxonomy of Exempt Entities (NTEE) system. The NTEE system helps the IRS assign a 3-character code to each organization to describe the organization's activities.

The Southern Painters Welfare Fund's NTEE code is Y20. The "Y" tells us that the organization is classified as a Mutual & Membership Benefit organization. The "20" tells us that the organization is involved in providing insurance. The NTEE describes organizations in this category as those established as vehicles for their parent corporations to set aside funds for workers compensation, medical malpractice, general liability claims, and other insurance purposes. This code is primarily used for organizations exempt from federal taxes under 501(c)(3) of the Internal Revenue Code.

The organization is governed by Section 9 of the Internal Revenue Code, which is described as Voluntary Employee Beneficiary Associations. These associations are typically established to provide health and welfare benefits for eligible participants.

From the mission statement, we can understand that the Southern Painters Welfare Fund is a multiemployer health and welfare plan that has been established to provide health and welfare benefits for eligible participants.

Program Areas

The program area within the general fund provides death, life, and health benefits, including medical, surgical, major medical, short-term disability, dental, prescription, and vision coverage, for eligible participants.

Board Governance

The Southern Painters Welfare Fund appears to be well-governed based on the information provided. The organization has a total of 8 voting members, which suggests a diverse and representative board. Additionally, the fact that 4 of these members are independent further ensures that the decision-making process is unbiased and transparent. One positive aspect of the organization's governance is the absence of potential conflicts of interest. This indicates that the board members are focused on the best interests of the organization rather than personal gain. Moreover, the organization has a conflict of interest policy in place, which requires disclosure of conflicts. This demonstrates a commitment to ethical practices and transparency. The Southern Painters Welfare Fund also exhibits good governance practices through its documentation of board and committee meetings. This ensures that decisions and discussions are recorded, providing a clear record of the organization's decision-making process. Additionally, the organization has implemented a whistleblower policy, document retention policy, and requires disclosure of leadership salaries. These policies further enhance transparency and accountability within the organization. However, it is worth noting that the organization does not substantiate and review leadership or officer's salaries. While this may not necessarily indicate poor governance, it would be beneficial for the organization to have a process in place to ensure that these salaries are fair and reasonable. Overall, the Southern Painters Welfare Fund demonstrates strong governance practices through its membership composition, conflict of interest policy, documentation of meetings, and implementation of various policies. These factors contribute to a well-governed organization that prioritizes transparency, accountability, and ethical practices.

Organization Growth

The Southern Painters Welfare Fund has experienced growth over the given time period. Program service revenue increased from $11.9M in 2014 to $23.5M in 2021, indicating an upward trend in the organization's primary source of income. Additionally, total revenue rose from $12.3M in 2014 to $23.6M in 2021, further supporting the growth of the nonprofit. However, there were also increases in benefits paid to members and total expenses, with the former rising from $11.2M in 2014 to $18.3M in 2021 and the latter increasing from $12.6M in 2014 to $19.9M in 2021. These increases suggest that the organization's expenses and obligations towards members have also grown. It is important to note that the data regarding total employees is not relevant to the discussion as it remains constant at 22 in 2014 and 0 in 2021.