2021-09-14T13:29:43-07:00 2020-12-31 990 2020-01-01 471442997 MEDICAL DEBT RESOLUTION INC MEDI 8446373328 28-07 JACKSON AVE 5TH FL LONG ISLAND CITY NY 11101 Allison Sesso Executive Director 8446373328 2021-09-14 1 11 1 AAL2 2020 2022-09-23 18:48:47Z X RIP MEDICAL DEBT Allison Sesso 28-07 JACKSON AVE 5TH FL LONG ISLAND CITY NY 11101 66172951 0 X WWW.RIPMEDICALDEBT.ORG X 2014 NY ACQUIRE AND ABOLISH, I.E. RELIEVE, MEDICAL DEBT OWED BY INDIVIDUALS EXPERIENCING POVERTY OR OTHER HARDSHIP (PLEASE SEE SCHEDULE O FOR A MORE COMPLETE DESCRIPTION OF THE ORGANIZATION'S MISSION) 11 10 12 0 0 0 9891080 66152013 174791 14505 1153 6433 0 0 10067024 66172951 0 0 0 0 1041977 1524391 528000 777000 916167 5514817 10733133 7084794 13034524 2982230 53138427 4572339 57765850 306006 361090 4266333 57404760 X ACQUIRE AND ABOLISH, I.E. RELIEVE, MEDICAL DEBT OWED BY INDIVIDUALS EXPERIENCING POVERTY OR OTHER HARDSHIP (PLEASE SEE SCHEDULE O FOR A MORE COMPLETE DESCRIPTION OF THE ORGANIZATION'S MISSION) 0 0 9842520 0 0 MEDICAL DEBT RELIEF: LOCATE, ACQUIRE, AND ABOLISH, I.E. RELIEVE, MEDICAL DEBT FOR INDIVIDUALS WHO ARE EXPERIENCING POVERTY, GENERALLY DEFINED AS EARNING 200% OR LESS THAN THE FEDERAL POVERTY LEVEL, OR WHO ARE EXPERIENCING HARDSHIPS THAT MAKE PAYING OFF THE DEBT DIFFICULT OR IMPOSSIBLE. EXAMPLES OF HARDSHIPS INCLUDE EXCESSIVE MEDICAL DEBT (I.E. OUT OF POCKET MEDICAL EXPENSES AMOUNTING TO MORE THAN 5% OF GROSS INCOME), EXCESSIVE NON-MEDICAL DEBT, JOB LOSS, NUMEROUS OR SICK DEPENDENTS, ETC. 801126 0 14505 MEDICAL DEBT RESEARCH: ACQUIRE AND ABOLISH MEDICAL DEBT IN CONNECTION WITH RESEARCH CONDUCTED BY MAJOR UNIVERSITIES INTO THE ECONOMIC AND SOCIAL EFFECTS OF MEDICAL DEBT. 285864 0 0 EDUCATION & OUTREACH: CONDUCT CONFERENCES AND PUBLISH WEBSITES, BOOKS, AND ARTICLES TO RAISE PUBLIC AWARENESS OF THE ECONOMIC AND SOCIAL EFFECTS OF MEDICAL DEBT. 33656 0 0 TECHNOLOGY INFRASTRUCTURE DEVELOPMENT PROGRAM: RESEARCH, DESIGN, AND DEVELOP TECHNOLOGIES TO DIRECTLY SUPPORT THE ORGANIZATION'S CORE MISSION OF LOCATING, ACQUIRING, AND ABOLISHING MEDICAL DEBT. 33656 0 0 10963166 1 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 20 0 1 12 1 0 0 0 0 0 0 0 0 0 0 0 0 X 11 10 1 0 1 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 AK AL AR AZ CA CO CT DE FL GA HI IA ID IL IN KS KY LA MA MD ME MI MN MO MS MT NC ND NE NH NJ NM NV NY OH OK OR PA PR RI SC SD TN TX UT VA VT WA WI WV WY X ALLISON SESSO 8446373328 28-07 JACKSON AVE 5TH FL LONG ISLAND CITY NY 11101 CRAIG ANTICO DIRECTOR & DEPT HEAD - DEBT OPERATIONS 40 X 241150 0 13351 ALLISON SESSO EXECUTIVE DIRECTOR FROM 1/27/20 40 0 X X 229000 0 5474 DAVID REYNOLDS DEPT HEAD - INFORMATION SYSTEMS 40 0 X 181419 0 3881 CHRISTOPHER SIMMONS TREASURER THRU 9/16/20 40 0 X X 163226 0 0 HAROLD JERRY ASHTON DIRECTOR & DEPT HEAD - EDUCATION & OUTREACH 40 0 X 125000 0 0 MIKEL BURROUGHS DIRECTOR MILITARY DEBT ACQUISITION 40 X 110150 0 0 WILLIAM VON MUEFFLING DIRECTOR & BOARD CHAIR 1 0 X X 0 0 0 MICHELE MASUCCI DIRECTOR & SECRETARY 1 0 X X 0 0 0 TED SANN DIRECTOR & SECRETARY, EXECUTIVE DIRECTOR THRU 1/26/20 1 0 X X 0 0 0 ROBERT GOFF DIRECTOR 1 0 X 0 0 0 ELIZABETH MARINCOLA DIRECTOR 1 0 X 0 0 0 JEFF SMEDSRUD DIRECTOR 1 0 X 0 0 0 DR OXIRIS BARBOT DIRECTOR 1 0 X 0 0 0 DR RAM RAJU DIRECTOR 1 0 X 0 0 0 JON LINDSEY DIRECTOR 1 0 X 0 0 0 JOSE PENABAD TREASURER SINCE 9/16/20 1 0 X 0 0 0 1049945 0 22706 6 1 1 0 SANDRA DAVIS LLC DBA DONORLY 1460 BROADWAY New York NY 10036 FUNDRAISING COUNSEL 777000 KRA LLC 100 CROSBY ST STE 301 NEW YORK NY 10012 ACCOUNTING AND BOOKKEEPING SERVICES 140293 2 0 0 0 0 135528 66016485 0 66152013 PROGRAM SERVICE REVENUE 900099 14505 14505 0 0 0 0 0 0 14505 6433 0 0 6433 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 66172951 14505 0 6433 X 906157 508607 341494 56056 410724 337438 55421 17865 31321 20517 8566 2238 99079 55425 33659 9995 77110 55507 16914 4689 109073 66191 42882 135206 135206 777000 777000 488811 271339 214447 3025 5530 0 5530 0 205701 1277 172664 31760 91021 22232 59017 9772 40350 0 40350 0 17489 12469 2003 3017 8126 7273 103 750 43551 28718 14833 12102 12102 COST OF DEBT ABOLISHED (SEE SCHEDULE O) 9753709 9753709 0 0 CAPITALIZED LABOR - INTERNAL USE SOFTWARE -177536 -177536 0 0 13034524 10963166 1155191 916167 2964945 47091782 510701 9709850 167001 163100 179141 18651 682801 522887 37311 27055 9975 10256 45911 247655 11864 1669 4572339 57765850 306006 361090 306006 361090 X 1014787 52275653 3251546 5129107 4266333 57404760 4572339 57765850 53138427 0 0 0 0 0 X 0 1 X 1 0 X 259534 2163479 5339832 9891081 66152013 83805939 0 0 0 0 0 0 0 0 0 0 0 0 259534 2163479 5339832 9891081 66152013 83805939 0 83805939 0 0 0 1153 6433 7586 0 0 0 0 0 0 0 0 0 0 0 0 83813525 310051 0.99991 0.96356 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 0 0 0 0 36042 26019 10023 0 1269 1036 233 10256 66292951 0 120000 0 0 120000 66172951 0 0 0 66172951 13154524 120000 0 0 0 120000 13034524 0 0 0 13034524 X X X X 1 DONORLY 1460 BROADWAY NEW YORK NY 10036 AS FUNDRAISING COUNSEL FOR THE ORGANIZATION, THE FIRM OF SANDRA DAVIS, LLC DBA "DONORLY" PROVIDES A TEAM OF SKILLED PERSONNEL WHO MANAGE SUBSTANTIALLY ALL BACK OFFICE ACTIVITIES ASSOCIATED WITH THE ORGANIZATION'S FUNDRAISING AND DEVELOPMENT FUNCTION, INCLUDING CAMPAIGN DEVELOPMENT AND EXECUTION, DONOR RESEARCH, GIFT ACKNOWLEDGMENT, GRANT APPLICATIONS, DONOR MANAGEMENT SYSTEMS MAINTENANCE, IN ADDITION TO PROVIDING ADVICE ON HIGH LEVEL FUNDRAISING AND DEVELOPMENT STRATEGY. IN PERFORMING THESE FUNCTIONS, DONORLY IS EITHER DIRECTLY OR INDIRECTLY RESPONSIBLE FOR VIRTUALLY ALL REVENUE, EXCEPT IN-KIND REVENUE. 0 0 777000 -777000 0 777000 -777000 AK AL AR AZ CA CO CT DE FL GA HI IA ID IL IN KS KY LA MA MD ME MI MN MO MS MT NC ND NE NH NJ NM NV NY OH OK OR PA PR RI SC SD TN TX UT VA VT WA WI WV WY Schedule G, Part I, Line 2b (I) NAME OF FUNDRAISER: DONORLY (II) ADDRESS OF FUNDRAISER: 1460 BROADWAY, NEW YORK, NY 10036 ................. Schedule G, Part I, Line 2b(v) AS FUNDRAISING COUNSEL FOR THE ORGANIZATION, THE FIRM OF SANDRA DAVIS, LLC DBA "DONORLY", PROVIDES A TEAM OF SKILLED PERSONNEL WHO MANAGE SUBSTANTIALLY ALL BACK OFFICE ACTIVITIES ASSOCIATED WITH THE ORGANIZATION'S FUNDRAISING AND DEVELOPMENT FUNCTION, INCLUDING CAMPAIGN DEVELOPMENT AND EXECUTION, DONOR RESEARCH, GIFT ACKNOWLEDGMENT, GRANT APPLICATIONS, DONOR MANAGEMENT SYSTEMS MAINTENANCE, IN ADDITION TO PROVIDING ADVICE ON HIGH LEVEL FUNDRAISING AND DEVELOPMENT STRATEGY. IN PERFORMING THESE FUNCTIONS, DONORLY IS EITHER DIRECTLY OR INDIRECTLY RESPONSIBLE FOR VIRTUALLY ALL REVENUE, EXCEPT IN-KIND REVENUE. X X X X X 0 0 0 0 0 0 0 0 0 CRAIG ANTICO DIRECTOR & DEPT HEAD - DEBT OPERATIONS 226650 0 14000 0 500 0 13351 0 26838 0 281339 0 0 0 ALLISON SESSO EXECUTIVE DIRECTOR FROM 1/27/20 228500 0 0 0 500 0 5474 0 9705 0 244179 0 0 0 DAVID REYNOLDS DEPT HEAD - INFORMATION SYSTEMS 176119 0 5000 0 300 0 3881 0 10434 0 195734 0 0 0 CHRISTOPHER SIMMONS TREASURER THRU 9/16/20 163226 0 0 0 0 0 0 0 0 0 163226 0 0 0 Form 990, Part I, Line 1 Form 990 - Part I - Line 1: MISSION OF MEDICAL DEBT RESOLUTION, INC., DBA "RIP MEDICAL DEBT" RIP MEDICAL DEBT IS A 501(C)(3) NONPROFIT WHOSE MISSION IS TO END MEDICAL DEBT AND BE: (1) A SOURCE OF JUSTICE IN AN UNJUST HEALTHCARE FINANCE SYSTEM: Our unique and highly leveraged debt abolishment model combines the generosity of donors with debt industry expertise to produce a high volume of debt relief return, mitigating significant financial and mental distress for millions of people. (2) A UNIQUE SOLUTION FOR PATIENT-CENTERED HEALTHCARE PROVIDERS: By partnering with us, health care systems can strengthen individuals and communities by relieving dormant, uncollectible, and damaging bad debts and can identify opportunities to refine their financial assistance programs to better serve their communities. (3) A MORAL FORCE FOR SYSTEMIC CHANGE: Our work brings attention to the range of negative impacts caused by medical debt and a deeper understanding of its causes. These efforts support progress toward a more compassionate, transparent, equitable and affordable healthcare system. ............................................................ RIP MEDICAL DEBT LOCATES, PURCHASES AND THEN ABOLISHES UNPAID AND UNPAYABLE MEDICAL DEBT AS A BENEFIT TO SOCIETY AS WELL AS THE DEBTOR. RIP WAS FOUNDED IN 2014 BY TWO FORMER COLLECTION INDUSTRY EXECUTIVES WHO DECIDED TO PUT THEIR EXPERTISE TO WORK TO FORGIVE DEBT RATHER THAN COLLECT IT. USING DEMOGRAPHIC AND CONSUMER CREDIT DATA, RIP ANALYZES BUNDLED DEBT PORTFOLIOS HELD BY HEALTHCARE PROVIDERS AND SECONDARY MARKET DEBT SELLERS TO IDENTIFY ACCOUNTS MEETING ITS CRITERIA FOR FINANCIAL RELIEF. RIP THEN NEGOTIATES TO BUY THESE PORTFOLIOS AT THEIR CURRENT INDUSTRY MARKET VALUE, OFTEN PAYING LESS THAN A PENNY ON THE DOLLAR. ONCE PURCHASED, RIP FORGIVES THE DEBT ON BEHALF OF THE DONOR, AT NO COST OR TAX CONSEQUENCE TO THE DEBTOR. THE DEBT IS ALSO REMOVED FROM THE CREDIT REPORTS OF THE DEBTOR. WHY MEDICAL DEBT? * UNLIKE OTHER DEBT, MEDICAL DEBT IS NOT A DEBT OF "CHOICE", I.E. PEOPLE DO NOT "CHOOSE" TO GET SICK * DEBTORS ARE THE "COLLATERAL DAMAGE" OF A FLAWED HEALTHCARE, PHARMA AND INSURANCE SYSTEM * 43 MILLION AMERICANS NOW OWE ABOUT $75 BILLION IN PAST-DUE MEDICAL DEBT * MORE THAN 1 IN 3 AMERICANS STRUGGLE TO AFFORD THE COST OF THEIR MEDICAL CARE * MEDICAL DEBT CONTRIBUTES TO MORE THAN 60 PERCENT OF ALL BANKRUPTCIES IN THE USA * 75 PERCENT OF ALL INDIVIDUALS IN MEDICAL BANKRUPTCY HAD HEALTH INSURANCE COVERAGE * MEDICAL DEBT LINGERS ON A PERSON'S CREDIT REPORT, MAKING IT HARDER TO PURCHASE OR RENT A HOME, BUY A VEHICLE, OBTAIN A CREDIT CARD, OR EVEN GAIN EMPLOYMENT. WHO QUALIFIES FOR RIP DEBT FORGIVENESS? * HOUSEHOLDS EARNING LESS THAN TWO TIMES THE FEDERAL POVERTY LEVEL * PERSONS FACING INSOLVENCY, DEFINED AS HAVING DEBTS GREATER THAN ASSETS * THOSE EXPERIENCING OTHER TYPES OF FINANCIAL HARDSHIP HOW IS A GIFT TO RIP DIFFERENT FROM A GIFT TO OTHER CHARITIES? BECAUSE RIP BUYS DEBT IN BULK, SPECIFICALLY TARGETING PEOPLE UNABLE TO PAY, IT IS ABLE TO BUY DEBT AT A LARGE DISCOUNT, OFTEN PAYING LESS THAN A PENNY ON THE DOLLAR. EVEN AFTER TAKING INTO ACCOUNT RIP'S OTHER PROGRAM AND ADMINISTRATIVE COSTS, A DONOR'S GIFT IS ABLE TO PROVIDE BENEFITS FAR GREATER THAN THE AMOUNT OF THE GIFT ITSELF. BECAUSE OF THIS LEVERAGE EFFECT, OVER ITS SHORT HISTORY RIP HAS BEEN ABLE TO FORGIVE MORE THAN $2.6 BILLION OF MEDICAL DEBT, PROVIDING MORE THAN $100 OF DEBT RELIEF FOR EACH DOLLAR DONATED. NO OTHER CHARITY WE ARE AWARE OF PROVIDES THIS KIND OF RETURN ON A DONOR'S INVESTMENT. Form 990, Part III, Line 4d DESCRIPTION OF TECHNOLOGY INFRASTRUCTURE DEVELOPMENT PROGRAM: RESEARCH, DESIGN, AND DEVELOP TECHNOLOGIES TO DIRECTLY SUPPORT THE ORGANIZATION'S CORE MISSION OF LOCATING, ACQUIRING, AND ABOLISHING MEDICAL DEBT. Form 990, Part VI, Section A, Line 2 TED SANN, DIRECTOR, IS THE BROTHER-IN-LAW OF WILLIAM VON MUEFFLING, DIRECTOR AND BOARD CHAIR. Form 990, Part VI, Section A, Line 4 IN MARCH 2021, THE BOARD OF DIRECTORS APPROVED AN AMENDMENT TO THE ORGANIZATION'S BYLAWS. THERE WERE TWO CHANGES, SUMMARIZED AS FOLLOWS: 1) ADDED DEFINITION OF THE AUDIT COMMITTEE AND ITS RESPONSIBILITIES FOR OVERSEEING THE ACCOUNTING AND FINANCIAL REPORTING PROCESSES AND THE AUDIT OF THE ORGANIZATION. 2) CLARIFICATION OF THE ROLE OF THE TREASURER TO BE REFLECTIVE OF THE FINANCIAL OVERSIGHT FUNCTION. Form 990, Part VI, Section B, Line 11b A COMPLETE COPY OF THIS FORM 990 HAS BEEN REVIEWED BY BOTH THE AUDIT COMMITTEE AND THE FULL BOARD OF DIRECTORS PRIOR TO FILING. THIS PROCESS IS PRESCRIBED IN THE CHARTER OF THE ORGANIZATION'S AUDIT COMMITTEE. Form 990, Part VI, Section B, Line 12c THE ORGANIZATION ENFORCES THE CONFLICT-OF-INTEREST POLICY BY MONITORING KNOWN RELATIONSHIPS, QUESTIONNAIRES, AND NOTING ANY CHANGES IN DISCLOSED INFORMATION. ANY CONFLICT IS REVIEWED BY THE BOARD BEFORE A DECISION IS MADE AS TO WHETHER TO APPROVE THE TRANSACTION. Form 990, Part VI, Section B, Line 15 EXECUTIVE DIRECTOR COMPENSATION IS DETERMINED BY THE INDEPENDENT MEMBERS OF THE BOARD IN ACCORDANCE WITH WRITTEN POLICY, AND INFORMED BY A REPORT OF INDEPENDENT COMPENSATION CONSULTANTS, INCLUDING MARKET SURVEYS, AND OTHER INDEPENDENT RESEARCH. PROCESS FOR DETERMINING COMPENSATION OF OFFICERS AND OTHER KEY EMPLOYEES: IN 2020, THE COMPENSATION OF OFFICERS AND KEY EMPLOYEES WAS DETERMINED BY THE INDEPENDENT MEMBERS OF THE BOARD IN ACCORDANCE WITH WRITTEN POLICY, INFORMED, WHERE APPROPRIATE BY A REPORT OF INDEPENDENT COMPENSATION CONSULTANTS AND OTHER INDEPENDENT RESEARCH, INCLUDING MARKET SURVEYS. COMPENSATION COMMITTEE: IN 2020, THE BOARD ESTABLISHED A NEW COMPENSATION COMMITTEE, COMPRISED OF AT LEAST THREE (3) INDEPENDENT DIRECTORS, WITH RESPONSIBILITY FOR ADVISING THE INDEPENDENT MEMBERS OF THE BOARD IN SETTING THE COMPENSATION OF THE ORGANIZATION'S EXECUTIVE DIRECTOR, OFFICERS, AND OTHER KEY EMPLOYEES. CURRENTLY THE NUMBER OF PERSONS SERVING ON THE COMPENSATION COMMITTEE IS FOUR (4). Form 990, Part VI, Section C, Line 19 THE ORGANIZATION'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS ARE AVAILABLE UPON REQUEST. WHERE REQUIRED, THE ORGANIZATION ALSO FURNISHES THESE DOCUMENTS TO STATE AUTHORITIES. Form 990, Part IX, Line 24a - 24d DETAILS OF COST OF DEBT ABOLISHED........ PURCHASES - DEBT PORTFOLIOS: $8,821,452; DEBT BROKER FEES: $74,000; PURCHASES - DEBT ANALYSIS FEES: $38,044; PURCHASES - DEBT PLATFORM FEES: $50,888; PURCHASES - ANALYTICAL DATA: $179,468; DE/(IN)CREASE IN DEFERRED DEBT COSTS: $177,046; MAILING SERVICES: $412,811 ............... TOTAL COST OF DEBT ABOLISHED: $9,753,709