Pilgrim Place2010 Annual Report





financial report
 


2017 was a year of progress for Pilgrim Place. The change in financial sustainability methodology is beginning to be realized in the organization’s financial statements. Pilgrim Place’s change of investment advisors to RBC was also fruitful as the Endowment reached a record-high, ending the year over $10M. The $9M of new borrowing from the refinanced tax exempt bonds played a big part in the progress achieved during the year. Projects from the borrowed funds include installation of solar energy generation equipment on commercial buildings, an updated pendant emergency notification system for residents,
campus landscape and a variety of capital improvements to the Independent Living, Assisted Living, and Skilled Nursing Facilities. As of December 31, 2017, $5.9M worth of bond proceeds remain available for construction.


Overall, unrestricted net assets increased $223k. Operating income was $1.5M, other income contributed $908k, and net assets increased $1.5M. Cash flow was $1.8M. 


Financial Results

Revenue was generated primarily from rents and fees (96% in 2017). The change in financial sustainability methodology enacted for the 2017 budget brought Pilgrim Place closer than it has been in years to balancing operating revenue and expenses. Operating loss was ($685k) compared to a loss of $1.5M in 2016. Gifts, donations, and endowment income continue to play an essential role to Pilgrim Place’s overall financial health. However, the change in methodology allows us to utilize more of the benevolence of residents, friends, churches and organizations toward providing the highest quality care and services to residents. The value of our Gift Annuity Portfolio at the end of 2017 was approximately $739k. Pilgrim Place recognizes contributions from supporters through estate planning and direct gifts that benefit the endowment through a variety of campaigns overseen by its Advancement Office. Many have included Pilgrim Place in their wills.

The Pilgrim Place endowment increased in value approximately 19.3%, or $1.4M in 2017. The support provided to the Residents Health and Support Program (RHSP) was $528k. As of December 31, 2017 the total market value of the endowment was $10.5M.

Income & Expenses  
OPERATIONS  
Rents & Fees $19,182,605
Expenses  
  Program $12,008,380
  Admin & Gen $5,854,962
  Depreciation $2,229,437
    Operating <Deficit> $<910,163>
   
OTHER INCOME  
Endowment/Investments $486,272
Donor Support $565,178
    Net Revenue over Expense $141,286
   
OTHER CHANGES  
Other Gifts $81,561
   
    Net<Decrease>/
    Unrestricted Assets
$222,847


Capital Improvements

TOTAL: $4.3 M

DurinDuring 2017 Pilgrim Place continued its commitment to maintain and upgrade houses, facilities, and grounds. An investment of $4.3M went to capital improvements on campus, such as house preps and renovations, HSC and Assisted Living remodeling, and repair of other central facilities.

The financial summary is based on audited records. The independent audit report by Clifton Larson Allen, LLP, Certified Public Accountants, will be available for examination upon request.