Consolidated Financial Statements and
Supplementary Information Together
with Report of Independent Certified
Public Accountants
Girl Scouts of the United States of America
September 30, 2022 with summarized
comparative information for the year ended
September 30, 2021
Contents
Page
Report of Independent Certified Public Accountants
3
Consolidated Financial Statements
Consolidated statements of financial position as of
September 30, 2022 and 2021 6
Consolidated statement of activities for the year ended
September 30, 2022, with summarized comparative
financial information for 2021
7
Consolidated statement of functional expenses for the
year ended September 30, 2022, with summarized
comparative financial information for 2021
8
Consolidated statements of cash flows for the years
ended September 30, 2022 and 2021 9
Notes to consolidated financial statements
10
Supplementary Information
Consolidating schedule of property and equipment as of
September 30, 2022 41
Consolidating schedule of property and equipment as of
September 30, 2021 42
Consolidating statement of financial position as of
September 30, 2022 43
Consolidating statement of financial position as of
September 30, 2021 44
GT.COM
Grant Thornton LLP is the U.S. member firm of Grant Thornton International Ltd (GTIL). GTIL and each of its member firms
are separate legal entities and are not a worldwide partnership.
To the Board of Directors of
Girl Scouts of the United States of America
Opinion
We have audited the consolidated financial statements of Girls Scouts of the United
States of America (the “Organization”), which comprise the consolidated Statement of
Financial Position as of September 30, 2022, and the related consolidated statements
of activities, functional expenses and cash flows for the years then ended, and the
related notes to the financial statements.
In our opinion, the accompanying consolidated financial statements present fairly, in
all material respects, the financial position of the Girl Scouts of the United States of
America as of September 30, 2022, and the results of its operations and its cash flows
for the years then ended in accordance with accounting principles generally accepted
in the United States of America.
Basis for opinion
We conducted our audits of the consolidated financial statements in accordance with
auditing standards generally accepted in the United States of America (US GAAS).
Our responsibilities under those standards are further described in the Auditor’s
Responsibilities for the Audit of the Financial Statements section of our report. We are
required to be independent of the Organization and to meet our other ethical
responsibilities in accordance with the relevant ethical requirements relating to our
audits. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
Responsibilities of management for the financial statements
Management is responsible for the preparation and fair presentation of the
consolidated financial statements in accordance with accounting principles generally
accepted in the United States of America, and for the design, implementation, and
maintenance of internal control relevant to the preparation and fair presentation of
consolidated financial statements that are free from material misstatement, whether
due to fraud or error.
In preparing the consolidated financial statements, management is required to
evaluate whether there are conditions or events, considered in the aggregate, that
raise substantial doubt about the Organization’s ability to continue as a going concern
for one year after the date the financial statements are issued.
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
GRANT
THORNTON LLP
757 Third Avenue, 9
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Floor
New York
, NY 10017-2013
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+1 212 599 0100
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+1 212 370 4520
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the consolidated
financial statements as a whole are free from material misstatement, whether due to
fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable
assurance is a high level of assurance but is not absolute assurance and therefore is
not a guarantee that an audit conducted in accordance with US GAAS will always
detect a material misstatement when it exists. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud
may involve collusion, forgery, intentional omissions, misrepresentations, or the
override of internal control. Misstatements are considered material if there is a
substantial likelihood that, individually or in the aggregate, they would influence the
judgment made by a reasonable user based on the consolidated financial statements.
In performing an audit in accordance with US GAAS, we:
• Exercise professional judgment and maintain professional skepticism throughout
the audit.
• Identify and assess the risks of material misstatement of the consolidated
financial statements, whether due to fraud or error, and design and perform audit
procedures responsive to those risks. Such procedures include examining, on a
test basis, evidence regarding the amounts and disclosures in the financial
statements.
• Obtain an understanding of internal control relevant to the audit in order to design
audit procedures that are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness of the Organization’s
internal control. Accordingly, no such opinion is expressed.
• Evaluate the appropriateness of accounting policies used and the
reasonableness of significant accounting estimates made by management, as
well as evaluate the overall presentation of the consolidated financial statements.
• Conclude whether, in our judgment, there are conditions or events, considered in
the aggregate, that raise substantial doubt about the Organization’s ability to
continue as a going concern for a reasonable period of time.
Other Matters
Supplementary information
Our audit was conducted for the purpose of forming an opinion on the consolidated
financial statements as a whole. The Consolidating Schedule of Property and
Equipment as of September 30, 2022 and the Consolidating Schedule of Financial
Position as of September 30, 2022 are presented for purposes of additional analysis
and are not a required part of the consolidated financial statements. Such
supplementary information is the responsibility of management and was derived from
and relates directly to the underlying accounting and other records used to prepare
the consolidated financial statements. The information has been subjected to the
auditing procedures applied in the audit of the consolidated financial statements and
certain additional procedures. These additional procedures included comparing and
reconciling the information directly to the underlying accounting and other records
used to prepare the consolidated financial statements or to the consolidated financial
statements themselves, and other additional procedures in accordance with auditing
standards generally accepted in the United States of America. In our opinion, the
supplementary information is fairly stated, in all material respects, in relation to the
consolidated financial statements as a whole.
Report on 2021 summarized comparative information
We have previously audited the Organization’s 2021 consolidated financial
statements (not presented herein), and we expressed an unmodified audit opinion on
those audited consolidated financial statements in our report dated January 27, 2022.
In our opinion, the accompanying summarized comparative information and
Consolidating Schedules of Property and Equipment and Financial Position as of and
for the year ended September 30, 2021 are consistent, in all material respects, with
the audited consolidated financial statements from which they have been derived.
We are required to communicate with those charged with governance regarding,
among other matters, the planned scope and timing of the audit, significant audit
findings, and certain internal control-related matters that we identified during the audit.
New York, New York
January 26, 2023
2022 2021
ASSETS
Cash and cash equivalents 11,957,000$ 19,774,000$
Accounts receivable, net of allowance for doubtful accounts of
approximately $668,000 in 2022 and $563,000 in 2021 3,812,000
3,771,000
Inventories, net 8,184,000 6,470,000
Prepaid expenses 2,892,000 1,193,000
Investments 166,185,000 209,001,000
Contributions and deferred gifts receivable, net 4,497,000 5,838,000
Funds held in trust for others 535,000 641,000
Property and equipment, net 42,324,000 47,723,000
Total assets 240,386,000$ 294,411,000$
LIABILITIES AND NET ASSETS
Liabilities
Accounts payable and accrued liabilities 17,098,000$ 18,796,000$
Pension liability 5,202,000 4,461,000
Line of credit 8,200,000 24,000,000
Funds held in trust for others 535,000 641,000
Deferred revenues:
Membership dues 26,762,000 25,461,000
Other 1,110,000 2,274,000
Total liabilities 58,907,000 75,633,000
Net assets
Without donor restrictions:
Operating fund 28,878,000 15,260,000
Pension fund (24,965,000) (19,015,000)
Board-designated 109,079,000 141,865,000
112,992,000 138,110,000
With donor restrictions:
Purpose restricted 40,347,000 52,372,000
Time-restricted for future periods 304,000 408,000
Perpetual in nature 27,836,000 27,888,000
68,487,000 80,668,000
Total net assets 181,479,000 218,778,000
Total liabilities and net assets 240,386,000$ 294,411,000$
Girl Scouts of the United States of America
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
As of September 30,
The accompanying notes are an integral part of these consolidated financial statements.
6
Without Donor With Donor 2022 2021
Restrictions Restrictions Total Total
Operating revenues
Membership dues 36,977,000$ -$ 36,977,000$ 35,046,000$
Girl Scout merchandise gross profit 19,899,000 - 19,899,000 15,130,000
Royalty income 9,292,000 - 9,292,000 8,355,000
Gifts, grants and bequests 21,622,000 6,935,000 28,557,000 25,458,000
Contributions of nonfinancial assets - - - 2,760,000
Training/meeting revenue 5,700,000 - 5,700,000 1,745,000
Investment income allocation 5,178,000 2,176,000 7,354,000 6,914,000
Software maintenance 5,586,000 - 5,586,000 6,128,000
Other 1,675,000 1,004,000 2,679,000 1,655,000
Total operating revenues 105,929,000 10,115,000 116,044,000 103,191,000
Net assets released from restrictions 12,138,000 (12,138,000) - -
Total operating revenues 118,067,000 (2,023,000) 116,044,000 103,191,000
Operating expenses
Program services:
Comprehensive council support 41,726,000 - 41,726,000 39,240,000
Girl program development and adult learning opportunities 40,809,000 - 40,809,000 44,461,000
Brand promotion and external engagement 20,323,000 - 20,323,000 15,599,000
Total program expenses 102,858,000 - 102,858,000 99,300,000
Supporting services:
Fundraising 4,367,000 - 4,367,000 3,626,000
Management and general 9,225,000 - 9,225,000 8,754,000
Total supporting services 13,592,000 - 13,592,000 12,380,000
Total operating expenses 116,450,000 - 116,450,000 111,680,000
Operating surplus (deficit) 1,617,000 (2,023,000) (406,000) (8,489,000)
Nonoperating revenue, gains and losses
Endowment contributions - 13,000 13,000 139,000
Change in value of deferred gifts - (104,000) (104,000) 40,000
Change in value of charitable gift annuities (96,000) - (96,000) 61,000
Contributed advertising revenue 18,622,000 - 18,622,000 16,521,000
Contributed advertising expense (18,622,000) - (18,622,000) (16,521,000)
Net investment (loss) income in excess of income allocation (21,998,000) (10,067,000) (32,065,000) 36,578,000
Pension gain other than service cost 1,309,000 - 1,309,000 521,000
Other nonoperating pension charges (5,950,000) - (5,950,000) 10,847,000
Total nonoperating revenue, gains and losses (26,735,000) (10,158,000) (36,893,000) 48,186,000
Change in net assets (25,118,000) (12,181,000) (37,299,000) 39,697,000
Net assets, beginning of year 138,110,000 80,668,000 218,778,000 179,081,000
NET ASSETS, END OF YEAR 112,992,000$ 68,487,000$ 181,479,000$ 218,778,000$
Girl Scouts of the United States of America
CONSOLIDATED STATEMENT OF ACTIVITIES
For the year ended September 30, 2022, with summarized comparative financial information for 2021
The accompanying notes are an integral part of this consolidated financial statement.
7
Girl Program
Development Brand
Comprehensive and Adult Promotion
Council Learning and External Management 2022 2021
Support Opportunities Engagement Total Fundraising and General Total Total Total
Salaries and related benefits 12,683,000$ 15,842,000$ 11,239,000$ 39,764,000$ 2,685,000$ 5,588,000$ 8,273,000$ 48,037,000$ 42,098,000$
Travel and related expense 463,000 266,000 123,000 852,000 41,000 148,000 189,000 1,041,000 252,000
Nonstaff services 1,434,000 2,516,000 465,000 4,415,000 93,000 326,000 419,000 4,834,000 3,132,000
Professional services 4,522,000 5,875,000 2,470,000 12,867,000 266,000 384,000 650,000 13,517,000 11,086,000
Rent, occupancy and technology 6,526,000 5,309,000 1,153,000 12,988,000 409,000 360,000 769,000 13,757,000 14,049,000
Office, publishing and technology 9,313,000 3,482,000 1,699,000 14,494,000 620,000 1,460,000 2,080,000 16,574,000 17,966,000
Grants and scholarships 5,510,000 3,923,000 - 9,433,000 - - - 9,433,000 9,257,000
Other expenses
1,275,000 3,596,000 3,174,000 8,045,000 253,000 959,000 1,212,000 9,257,000 11,080,000
Total expenses before donated goods and
services and contributed advertising 41,726,000 40,809,000 20,323,000 102,858,000 4,367,000 9,225,000 13,592,000 116,450,000 108,933,000
Donated goods and services - - - - - - - - 2,760,000
Total expenses before contributed
advertising 41,726,000 40,809,000 20,323,000 102,858,000 4,367,000 9,225,000 13,592,000 116,450,000 111,680,000
Contributed advertising - - 18,622,000 18,622,000 - - - 18,622,000 16,521,000
Total expenses 41,726,000$ 40,809,000$
38,945,000$ 121,480,000$ 4,367,000$
9,225,000$ 13,592,000$ 135,072,000$
128,201,000$
Supporting Services
Girl Scouts of the United States of America
CONSOLIDATED STATEMENT OF FUNCTIONAL EXPENSES
For the year ended September 30, 2022, with summarized comparative financial information for 2021
Program Services
The accompanying notes are an integral part of this consolidated financial statement.
8
2022 2021
Cash flows from operating activities:
Change in net assets (37,299,000)$ 39,697,000$
Adjustments to reconcile net earnings to net cash flows
used in operating activities:
Depreciation 9,570,000 9,071,000
Impairment 750,000 1,743,000
Gain on sale of asset - -
Change in allowance for doubtful accounts 124,000 136,000
Provision for inventory 126,000 49,000
Change in discount on contributions receivable (51,000) 2,000
Change in deferred gifts receivable 104,000 (40,000)
Change in charitable gift annuity 96,000 (61,000)
Change in right of use asset 87,000 85,000
Net realized gains on sales of investments (7,428,000) (33,028,000)
Change in appreciation on investments 34,387,000 (8,540,000)
Contributions restricted for investment in permanently restricted net assets (13,000) (139,000)
Changes in operating assets and liabilities:
Increase in accounts receivable (165,000) (1,527,000)
Increase in inventories (1,840,000) (1,029,000)
(Increase) decrease in prepaid expenses (1,699,000) 1,338,000
Decrease (increase) in contributions and deferred gifts receivable 1,288,000 (1,836,000)
Decrease (increase) in funds held in trust for others 106,000 (86,000)
Increase (decrease) in pension liability 741,000 (15,268,000)
Decrease in accounts payable and accrued liabilities (1,783,000) (2,112,000)
(Decrease) increase in funds held in trust for others (106,000) 86,000
Increase (decrease) in deferred revenues 137,000 (5,085,000)
Net cash used in operating activities (2,868,000) (16,544,000)
Cash flows from investing activities:
Purchase of property and equipment (4,903,000) (8,637,000)
Proceeds from sales of investments 62,233,000 176,282,000
Purchases of investments (46,472,000) (163,714,000)
Net cash provided by investing activities 10,858,000 3,931,000
Cash flows from financing activities:
Contributions restricted for investment in permanently restricted net assets 13,000 139,000
Proceeds from line of credit 3,200,000 17,000,000
Payments on the line of credit (19,000,000) -
Principal payments on capital lease obligations (20,000) (79,000)
Net cash (used in) provided by financing activities
(15,807,000) 17,060,000
(DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS (7,817,000) 4,447,000
Cash and cash equivalents, beginning of year 19,774,000 15,327,000
Cash and cash equivalents, end of year 11,957,000$ 19,774,000$
Supplemental disclosures of cash flow information:
Interest paid on line of credit 316,000$ 201,000$
Fixed asset purchases included in accounts payable and accrued liabilities 105,000$ 1,294,000$
Equipment acquired under Capital Lease obligations 26,000$ 69,000$
Girl Scouts of the United States of America
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the years ended September 30, 2022 and 2021
The accompanying notes are an integral part of these consolidated financial statements.
9
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
September 30, 2022 and 2021
10
NOTE 1 - NATURE OF OPERATIONS
Girl Scouts of the United States of America (“GSUSA” or the “Organization”), headquartered in New York
City, is a national nonprofit organization with the mission to build girls of courage, confidence, and character,
who make the world a better place. Formed in 1912 in Savannah, Georgia, GSUSA is now in its second
century of serving girls, with nearly two million adult and girl members spread across 111 independent Girl
Scout councils. The governance of the organization relies on an efficient democratic process that is
responsive to our fast-changing world.
As the world’s foremost girl leadership organization, GSUSA puts girls front and center, understanding that
when girls succeed, so does society. The girl-led and all-around girl-centered aspects of Girl Scouting are
central to what the organization offers, and the foundation of the Girl Scout program is the Girl Scout
Leadership Experience, which helps girls take the lead in their own lives and the world.
With the support of caring adult volunteers and mentors, Girl Scouts explore STEM (science, technology,
engineering, and math), the outdoors, and entrepreneurship, all while developing crucial life skills that serve
them well beyond their time as girl members. The Girl Scout program is proven to help girls thrive in five
key ways: developing a strong sense of self; seeking challenges and learning from setbacks; displaying
positive values; forming and maintaining healthy relationships; and identifying and solving problems.
GSUSA is committed to becoming an inclusive, anti-racist organization that seeks to give all girls - in every
community across our nation, of every background, identity, and ability, and in every economic
circumstance - the opportunity to join our Movement and feel welcome within it.
The accompanying consolidated financial statements include the assets, liabilities, net assets, revenues,
and expenses of GSUSA and its wholly owned subsidiaries, New York Girl Scouts, Inc. (nominee) and One
GS Media LLC - collectively referred to as the “Organization.” One GS Media, LLC operated the digital
media website, CircleAround™, which wound down operations in July 2022. All significant intercompany
transactions and balances have been eliminated in consolidation.
The purpose of GSUSA is to promote the Girl Scout Movement, which consists of all members registered
through the national office and Girl Scout councils. GSUSA received a congressional charter by a special
act of the United States Congress on March 16, 1950, and Girl Scouts’ 111 councils are granted charters
by the GSUSA Board of Directors. Each Girl Scout council is separately incorporated but chartered by
GSUSA with two primary responsibilities: to deliver the Girl Scout Leadership Experience to any girl in
grade K–12 who meets the membership requirements, and to further the development of the Girl Scout
Movement in the United States.
GSUSA provides services to its chartered councils. In providing these services, GSUSA is exempt from
federal income tax in accordance with Section 501(c)(3) of the Internal Revenue Code. The accompanying
consolidated financial statements do not include the assets, liabilities, net assets, revenues, and expenses
of the chartered councils, which are governed by separate boards of directors. Total sales to chartered
councils were approximately $18,423,000 and $10,149,000 in fiscal 2022 and 2021, respectively.
Girl Scouts of the USA’s program services include:
Comprehensive Council Support
• Provide direct consulting and assistance to all 111 Girl Scout councils and USA Girl Scouts Overseas
to ensure that Girl Scout programs and services are delivered effectively and consistently nationwide
and overseas in accordance with the mission, policies, and goals of the organization;
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
11
• Drive sustainable membership growth and Movement health by engaging our girls, volunteers, parents,
councils, and supporters to fulfill the Girl Scout mission. The teams providing council support are
involved with network alignment and advancement of mission delivery strategies; council leadership
support and training; cultivation of national partnerships that drive membership growth; and Movement
property strategy and support. The teams work closely with all other GSUSA communities to bring an
exceptional experience to our members and to ensure a vibrant, sustainably growing Movement;
• Enhance the customer experience with a focus on engagement of volunteers and the retention and
recruitment of members, supported by development, implementation, and operations of the Movement-
wide common technology platform and products; and
• Provide direct grants to councils to enhance their financial stability and build their programmatic
capacity.
Girl Program Development and Adult Learning Opportunities
• Develop and evaluate timely, girl-endorsed programming for girl members of GSUSA, upholding
GSUSA’s reputation as the premier leadership development experience for girls;
• Drive the full lifecycle management of Girl Scout programs, ensuring relevant and engaging in-person
and online experiences for girls;
• Provide opportunities for Girl Scouts to enjoy valuable cross-cultural experiences that help them better
understand and respect other cultures and global issues, as well as how they can help where they feel
inspired to do so;
• Lead cookie program strategy, governance, and national execution in support of the Girl Scout Cookie
Program;
• Develop and enhance digital cookie technology providing girls the opportunity to build their own e-
commerce website for their cookie business;
• Diversify and grow national licensing partnerships;
• Effectively utilize Girl Scout properties to provide unique customer experiences and grow membership
including the Juliette Gordon Low Birthplace in Savannah, Georgia, and Edith Macy Center in
Westchester County, New York;
• Develop and manage GSUSA’s relationship and programming with the World Association of Girl Guides
and Girl Scouts (WAGGGS) and other global organizations; and
• Develop and evaluate learning opportunities for adult members of GSUSA, so that Girl Scout volunteers
feel supported and able to confidently and effectively guide and deliver programming to girls.
Brand Promotion and External Engagement
• Promote the Girl Scout brand, program, and mission far and wide, emphasizing that through Girl Scouts,
girls and young women learn to take the lead in their own lives and the world;
• Maintain GSUSA’s position in the marketplace as the single best leadership development organization
for girls in the world;
• Research and advocate on issues that affect girls and women locally, nationally, and/or globally;
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
12
• Develop and promote the Girl Scout Cookie Program, the largest girl-led entrepreneurial program in the
world;
• Develop, market, and sell Girl Scout–branded items and program materials to Girl Scout members and
the general public; and
• Provide Girl Scout councils with marketing and communications tools and resources to help them reach
external audiences in ways that are consistent with national efforts, to drive the public’s recognition of
GSUSA as a single cohesive movement for girls.
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of the significant accounting policies followed by the Organization:
Net Assets
Net assets and revenues, expenses, gains and losses are classified based on the existence or absence of
donor-imposed restrictions. Accordingly, net assets of the Organization and changes therein are classified
and reported as follows:
Net assets without donor restrictions: Net assets that are not subject to donor-imposed stipulations or
the donor-imposed restrictions have expired. All gifts, grants and bequests are considered to be
classified as without donor restrictions unless specifically restricted by the donor. Net assets without
donor restrictions include those net assets which have been designated by the Board of Directors for
specific purposes as well as undesignated amounts for the working capital General Fund and the
changes in the accounting for the pension plan.
Net assets with donor restrictions: Some net assets that are subject to donor-imposed restrictions either
for use during a specified time period and/or for a particular purpose are temporary in nature. When a
donor-imposed restriction is fulfilled or when a time restriction expires, net assets with donor restrictions
are reclassified to net assets without donor restrictions and reported in the accompanying consolidated
statement of activities as net assets released from restrictions. Other net assets with donor restrictions
that are subject to donor-imposed restrictions whereby the corpus must be maintained in perpetuity by
the Organization, allow the Organization to use all or part of the income earned on related investments
for general purposes or donor restricted purposes.
Revenue Recognition
The Organization adopted Accounting Standards Codification Topic 606, Revenue from Contracts with
Customers (“ASC 606”), on October 1, 2020. The standard outlines a five-stop model whereby revenue is
recognized as performance obligations within a contract are satisfied.
The Organization recognizes revenue when control of the promised goods or services are transferred to
outside parties in an amount that reflects the consideration the Organization expects to be entitled to in
exchange for those goods or services. ASC 606 also requires new and expanded disclosures regarding
revenue recognition to ensure an understanding as to the nature, amount, timing and uncertainty of revenue
and cash flows arising from contracts with customers. The Organization has identified membership dues,
Girl Scout merchandise, royalty income, training and meeting revenue, and software maintenance as
revenue categories subject to the adoption of ASC 606.
The results of applying ASC 606 using the modified retrospective approach did not have a material impact
on the consolidated financial position, changes in net assets, cash flows, business processes, controls or
systems of the Organization.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
13
Membership dues
GSUSA offers annual membership to girl and adult members. GSUSA satisfies its performance
obligation for annual membership and recognizes revenue over the membership term as its members
simultaneously receive and consume the benefits over that timeframe. Generally, membership does
not commence until after the Organization receives payment.
Payments received for membership dues in advance of the Organization satisfying its performance
obligation are recorded within deferred membership dues in the accompanying consolidated statement
of financial position. The changes in deferred membership dues were caused by normal timing
differences between the satisfaction of performance obligations and customer payments. For the year
ended September 30, 2022 the Organization recognized revenue of $25,461,000 from amounts that
were included in deferred membership dues at the beginning of the year.
At September 30, 2022 and 2021, deferred membership dues totaled $26,762,000 and $25,461,000
respectively.
Girl Scout merchandise
Girl Scout merchandise consists of a variety of educational and branded products that support
GSUSA’s programs and help further its charitable mission. Revenue is recognized at a point-in-time as
merchandise is shipped.
Royalty income
Royalties are received from the Organization’s licensees in return for the rights to use the
Organization’s symbolic intellectual property (including brand, name and logo). Royalty agreements
include minimum guarantees and are recognized ratably over the term of the agreement. For amounts
earned in excess of the minimum guarantee, revenue is recognized during the time period where the
excess is earned.
Payments received for royalty agreements in advance of the Organization satisfying its performance
obligation are recorded within deferred revenue in the accompanying consolidated statement of
financial position and recognized as revenue in future periods as performance obligations are satisfied.
The changes in deferred revenue were caused by normal timing differences between the satisfaction
of performance obligations and customer payments.
Royalties include within deferred revenue totaled approximately $10,000 and $2,000 at September 30,
2022 and 2021 respectively. The Organization recognized approximately $2,000 in royalty income
during fiscal year 2022 from amounts that were included in deferred revenue at September 30, 2021.
Management has elected the practical expedient permitted under ASC 606 not to disclose information
about remaining performance obligations for its royalty agreements that include variable consideration.
Training and meeting revenue
Training and meeting revenue is comprised of three sources: 1) registration revenue for attendance at
GSUSA sponsored events or trainings; 2) revenue earned from attendance at meetings and lodging at
the Edith Macy educational center; and 3) admissions at the Juliette Gordon Low Birthplace. Revenue
is recognized when the Girl Scout event or admission takes place.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
14
Software maintenance
GSUSA has created a movement-wide technology platform. In order to recover a portion of the
associated costs to maintain the platform, GSUSA charges the local Girl Scout councils a software
license and maintenance fee. Revenue is recognized over the time period that usage is provided to the
local Girl Scout council, which is typically either annually or quarterly.
Gifts, Grants and Bequests
The Organization recognizes gifts, grants and bequests as either contributions or exchange transaction
revenues depending on whether the transaction is reciprocal or nonreciprocal. For exchange transactions,
the Organization applies the guidance under ASC 606. For contributions, revenue is recognized when a
contribution becomes unconditional. Typically, contributions require organizations to determine whether a
contribution is conditional based on whether an agreement includes a barrier that must be overcome and
either a right of return of assets transferred or a right of release of a promisor’s obligation to transfer assets.
If the agreement (or a referenced document) includes both, the recipient is not entitled to the transferred
assets (or a future transfer of assets) until it has overcome the barrier(s) in the agreement.
Contributions Receivable
Unconditional promises to give that are expected to be collected within a year are recorded at their net
realizable value. Unconditional promises to give that are expected to be collected in future years are
recorded at their estimated present value using a risk adjusted rate. An allowance is recorded for estimated
uncollectible contributions based upon management’s judgment and analysis of the creditworthiness of the
donors, past collection experience, and other relevant factors, as necessary.
Deferred Gifts Receivable and Funds Held in Trust for Others
The Organization has been named as the sole or participating beneficiary in several charitable remainder
trusts and perpetual trusts held by third-party trustees. A charitable remainder trust is an arrangement in
which a donor establishes a trust with specified distributions to be made to a designated beneficiary or
beneficiaries over the trust’s term. The Organization will receive its share of the assets remaining upon the
termination of the charitable remainder trust. A perpetual trust held by a third party is an arrangement in
which a donor establishes and funds a perpetual trust administered by a third party other than the
beneficiary or beneficiaries. Under the terms of the perpetual trust, the beneficiary or beneficiaries have the
right to receive the income earned on the trust assets in perpetuity, but never receive the assets held in the
trust.
The Organization has recorded the estimated fair value of its interests in the trusts’ assets as net assets
with donor restrictions, in accordance with the trusts’ terms.
The Organization is acting as an agent for funds held in trust for local councils associated with the pooled
income fund and certain charitable remainder trusts. These funds are distributed to the local councils in
accordance with donors’ intentions.
The Organization enters into agreements with donors to accept and administer charitable gift annuities,
which provide for payments to the donors or their beneficiaries based upon specified annuity amounts.
Assets held under charitable gift annuities are included in investments. Contribution revenue is recognized
at the date the annuity contract is established after recording the liability for the present value of the
estimated future payments expected to be made to the donor and/or beneficiary. The liabilities are adjusted
annually for changes in the life expectancy of the donor or beneficiary, amortization of the discount, and
other changes in the estimates of future payments. The liabilities related to the Organization’s charitable
gift annuities totaled approximately $135,000 and $133,000 at September 30, 2022 and 2021, respectively,
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
15
and are included in accounts payable and accrued liabilities. The discount rate used to value charitable gift
annuities ranged from 1.4% to 2.6% at September 30, 2022 and 1.8% to 2.6% at September 30, 2021.
Operating Measure
Operating revenues and expenses reflect the activities in which the Organization typically engages to fulfill
its mission. The Organization utilizes a spending rate in making its annual investment allocation for support
of operations. Investment income, including net realized and unrealized gains and losses, earned in excess
of or less than the Organization’s spending rate is recognized within non-operating revenue, gains and
losses. Endowment contributions, the change in value of deferred gifts and charitable gift annuities,
contributed advertising revenue and expense, pension costs other than service cost, other nonoperating
pension charges and other items considered to be unusual or nonrecurring in nature are recorded below
the operating indicator on the accompanying consolidated statement of activities.
Fair Value Measurements
The Organization follows guidance that established a framework for measuring fair value by utilizing a fair
value hierarchy based on the inputs used to measure fair value and enhancing disclosure requirements for
fair value measurements. This guidance maximizes the use of observable inputs and minimizes the use of
unobservable inputs by requiring that the observable inputs be used when available.
Observable inputs are inputs that market participants would use in pricing the asset or liability based on
market data obtained from independent sources. Unobservable inputs reflect assumptions that market
participants would use in pricing the asset or liability based on the best information available in the
circumstances. The hierarchy is broken down into three levels based on the transparency of inputs as
follows:
Level 1 - Quoted prices are available in active markets for identical assets or liabilities. A quoted price
for an identical asset or liability in an active market provides the most reliable fair value
measurement because it is directly observable to the market.
Level 2 - Pricing inputs other than quoted prices in active markets, which are either directly or indirectly
observable. The nature of these securities includes investments for which quoted prices are
available but traded less frequently and investments that are fair valued using other
securities, the parameters of which can be directly observed.
Level 3 - Securities that have little to no pricing observability. These securities are measured using
management’s best estimate of fair value, where the inputs into the determination of fair
value are not observable and require significant management judgment or estimation.
Inputs are used in applying the various valuation techniques and broadly refer to the assumptions that
market participants use to make valuation decisions, including assumptions about risk. Inputs may include
price information, volatility statistics, specific and broad credit data, liquidity statistics, and other factors. A
financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is
significant to the fair value measurement. However, the determination of what constitutes “observable”
requires significant judgment by the Organization. The Organization considers observable data to be that
market data that is readily available, regularly distributed or updated, reliable and verifiable, not proprietary,
and provided by independent sources that are actively involved in the relevant market. The categorization
of a financial instrument within the hierarchy is based upon the pricing transparency of the instrument and
does not necessarily correspond to the Organization’s perceived risk of that instrument (see Note 5).
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
16
Investments in mutual funds are valued based on published unit values. Investments in common stock are
stated at quoted prices in an active market. Investments are pooled and the related investment income is
allocated on a pro rata basis to the respective net asset classes.
Investments in private equity and hedge funds are stated at fair value based on valuations provided by the
external investment managers or by the general partner or manager. Individual investment holdings within
the alternative investments may include investments in both nonmarketable and market-traded securities.
Fair value of the alternative investments is determined by management based on information provided by
the investment manager or general partner. There are certain investments measured using a net asset
value (“NAV”) which is exempted from categorization within the fair value hierarchy and related disclosures.
Instead, the Organization separately discloses the information required for assets measured using the NAV
practical expedient, and discloses a reconciling item between the total amount of investments categorized
within the fair value hierarchy and total investments measured at fair value on the face of the financial
statements.
Investments in real estate funds are carried at estimated fair value. Fair value of the alternative investments
is determined by management based on information provided by the investment manager or general
partner.
On October 1, 2020, the Organization adopted Financial Accounting Standards Board (“FASB”) Accounting
Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework -
Changes to Disclosure Requirements for Fair Value Measurement. The ASU modified the disclosure
requirements for fair value measurements and the impact of adopting this new guidance was not significant
to the Organization’s consolidated financial statements.
Accounts Receivable
Accounts receivable primarily represent amounts due from Girl Scout councils and other vendors for Girl
Scouts merchandise, amounts due from Girl Scout councils for membership dues payments, and amounts
due from Girl Scout councils for technology licenses. Allowances for doubtful accounts are established
based on prior collection experience and current economic factors which, in management’s judgment, could
influence the ability of councils and other vendors to pay the amounts due.
At September 30, 2022 and 2021, accounts receivable consisted of the following:
2022
2021
Accounts receivable
$ 4,480,000
$ 4,334,000
Less: allowance for doubtful accounts:
Beginning of year
(563,000)
(483,000)
Write offs
23,000
60,000
Recoveries
(4,000)
(4,000)
Increases in the allowance for doubtful accounts
(124,000)
(136,000)
End of year
(668,000)
(563,000)
Accounts receivable, net
$ 3,812,000
$ 3,771,000
Inventories
Inventories are stated at the lower of weighted-average cost or market value.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
17
Property and Equipment
Property and equipment are included in the accompanying consolidated financial statements at cost or, if
contributed, at the approximate fair value at the date of the gift. Depreciation is recorded on the straight-line
basis over the estimated useful lives of the assets. The Organization capitalizes all property and equipment
with a cost of at least $5,000 and an estimated useful life of more than one year. Software that has been
purchased and developed for internal use and related upgrades and enhancements that result in additional
functionality of the software are included in property and equipment. Related depreciation is recorded on a
straight-line basis over the estimated useful lives of the software development costs.
Cash and Cash Equivalents
Cash and cash equivalents include cash on hand and investments with maturities of three months or less,
excluding cash and cash equivalents held as part of the investment portfolio.
The carrying amounts reported in the consolidated statements of financial position for cash and cash
equivalents approximate fair value. At September 30, 2022 and 2021, the majority of cash and cash
equivalents were held by two major U.S. financial institutions.
Functional Expenses
The majority of expenses can be directly identified with the program or supporting service to which they
relate and are charged accordingly. Other expenses including depreciation, occupancy, information
technology, and administration services have been allocated among program and supporting service
classifications using headcount by operating unit.
For the year ended September 30, 2022, the Organization’s total costs and expenses were approximately
$135,947,000, consisting of program services expenses of approximately $121,891,000 (including cost of
sales of approximately $17,696,000 and commission expenses of $1,337,000), fundraising expenses of
approximately $4,367,000 and management and general expenses of approximately $9,689,000 (including
investment manager expenses of approximately $463,000).
For the year ended September 30, 2021, the Organization’s total costs and expenses were approximately
$127,604,000, consisting of program services expenses of approximately $114,735,000 (including cost of
sales of approximately $14,096,000 and commission expenses of $1,339,000), fundraising expenses of
approximately $3,626,000 and management and general expenses of approximately $9,243,000 (including
investment manager expenses of approximately $489,000).
Advertising Costs and Contributed Airtime
Advertising costs are expensed as incurred. Advertising costs totaled approximately $20,179,000 and
$17,537,000 in fiscal 2022 and 2021, respectively. Of these advertising costs, approximately $1,557,000
and $1,016,000 was paid in cash in fiscal 2022 and 2021, respectively.
The remainder of the advertising costs represents in kind contributions received by the Organization
primarily in the form of donated advertising on television, radio stations and in print. The fair value of such
in-kind contributions is determined by management including using information provided by a third-party
advertising service and approximated $18,622,000 and $16,521,000 for the years ended September 30,
2021 and 2020, respectively. Such amounts are reflected in the accompanying consolidated financial
statements as contributed advertising revenue and contributed advertising expense. The Organization’s
Marketing and Communications teams strive to use budget resources efficiently and make data-driven
decisions.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
18
Donated Goods and Services
For the year ended September 30, 2022, the Organization adopted ASU 2020-07, Presentation and
Disclosure by Not-for-Profit Entities for Contributed Nonfinancial Assets, which increased the transparency
of contributed nonfinancial assets through enhancements to presentation and disclosure.
The Organization received $18,622,000 and $19,281,000 of donated goods and services including
consulting, pro bono legal services, technical services, media creation, and computer equipment, for the
years ended September 30, 2022 and 2021, respectively. Revenues are included in gifts, grants and
bequests and related expenses are included in operating expenses.
2022
2021
Contributed advertising
$ 18,622,000
$ 16,521,000
Media advertising campaign and public service
announcement production
-
2,480,000
Household goods
-
265,000
Professional services
-
15,000
Donated goods and services
$ 18,622,000
$ 19,281,000
2022
2021
Contributed
nonfinancial asset type
Revenue
Recognized
Revenue
Recognized
Utilization in
Programs/
Activities
Donor restrictions
Valuation Techniques
and Inputs
Contributed advertising
$ 18,622,000
$ 16,521,000
Brand marketing
No associated
donor restrictions
FMV of goods or
services valued by third
party media services in
like circumstances
Media advertising
campaign and public
service announcement
production
-
2,480,000
Programmatic
No associated
donor restrictions
FMV of goods or
services valued by third
party media services in
like circumstances
Household goods
-
265,000
Programmatic
No associated
donor restrictions
Estimated FMV on date
of contribution
(wholesale prices of
similar products)
Professional services
- 15,000
Management
and general
No associated
donor restrictions
FMV of goods or
services valued using
standard industry pricing
for similar services
Total
$ 18,622,000
$ 19,281,000
Reclassifications
Certain information in the fiscal 2021 consolidated financial statements have been reclassified to conform
to the fiscal 2022 presentation. There were no changes in total assets, liabilities, or changes in net assets
as reflected in the 2021 consolidated financial statements.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
19
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the
United States of America (“US GAAP”) requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the
date of the consolidated financial statements and the reported amounts of revenues and expenses during
the reporting period. The most significant management estimates and assumptions relate to the
determination of allowances for doubtful accounts for merchandise sales, inventory obsolescence, and
contributions receivable; the determination of year-end operating accruals; the useful lives assigned to
property and equipment; actuarial assumptions used in estimating the pension liability; and the reported
fair values of certain of the Organization’s financial instruments, particularly non-marketable investments
such as private equity, real estate, hedge fund, private bond fund, and collective trust fund investments.
Actual results may differ from those estimates.
Concentration of Credit Risk
Cash, cash equivalents, and investments are exposed to various risks, such as interest rate, market and
credit risks. To minimize such risks, the Organization has a diversified portfolio in a variety of asset classes
managed by independent investment managers. The Organization’s cash, cash equivalents and
investments were placed with high credit quality financial institutions. The Organization regularly evaluates
its investments including performance thereof. Due to inherent risks and potential volatility in investment
valuations, the amounts reported in the accompanying consolidated financial statements can vary
substantially from year to year. The Organization maintains its cash in various bank deposit accounts that,
at times, may exceed federally insured limits; however, the Organization has not experienced, nor does it
anticipate, any losses in such accounts.
Income Taxes
The Organization follows guidance that clarifies the accounting for uncertainty in tax positions taken or
expected to be taken in a tax return, including issues relating to financial statement recognition and
measurement. This standard provides that the tax effects from an uncertain tax position can be recognized
in the consolidated financial statements only if the position is “more-likely-than-not” to be sustained if the
position were to be challenged by a taxing authority. The standard also provides guidance on measurement,
classification, interest and penalties, and disclosure and had no material impact on the accompanying
consolidated financial statements. The Organization has processes presently in place to ensure the
maintenance of its tax-exempt status; to identify and report unrelated income; to determine its filing and tax
obligations in jurisdictions for which it has nexus; and to identify and evaluate other matters that may be
considered tax positions.
2021 Summarized Comparative Financial Information
The accompanying consolidated financial statements include certain prior year summarized comparative
information in total but not by net asset class. Such information does not include sufficient detail to constitute
a presentation in conformity with US GAAP. Accordingly, such information should be read in conjunction
with the Organization’s consolidated financial statements as of and for the year ended September 30, 2021,
from which the summarized information was derived.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
20
NOTE 3 - LIQUIDITY AND AVAILABILITY
The Organization regularly monitors liquidity required to meet its operating needs and other contractual
commitments, while also striving to maximize the investment of its available funds. For purposes of
analyzing resources available to meet general expenditures over a twelve-month period, the Organization
considers all expenditures related to its ongoing activities. The Organization generally strives to operate
with a balanced budget and anticipates collecting sufficient revenue from memberships dues, sales of Girl
Scout merchandise, royalties, and contributions without donor restrictions to cover general expenditures
not covered by donor restricted resources. In fiscal years 2022 and 2021, the Organization’s revenues were
significantly impacted by the pandemic. The Organization made a prudent and conscious decision to
maintain expenses in excess of revenues to ensure the fulfillment of our mission and the continued delivery
of program to girls.
Financial assets in excess of daily cash requirements are invested in money market funds and other
short-term investments.
Operating reserves of $66,179,000 and $88,409,000 for the years ended September 30, 2022 and 2021,
and board-designated funds of $41,189,000 and $51,846,000, respectively, are subject to an annual
spending rate of 4 percent (except the Movement Growth Fund which has a spending rate of 5 percent) as
described in Note 13. Although we do not regularly spend from the operating reserves or board-designated
funds (other than amounts appropriated for general expenditure as part of our Board’s annual budget
approval and appropriation), these amounts could be made available and drawn upon through Board
resolution. In 2022, the Organization budgeted and spent an additional $8,170,000 for strategic investments
from operating reserves and $5,250,000 from the Movement Growth Fund to assist Councils in making
pension payments. In 2021, the Organization budgeted and spent an additional $1,750,000 from operating
reserves and $4,000,000 from the Lifetime membership fund for strategic investments and $5,000,000 to
assist councils in making pension payments.
Donor-restricted endowments are restricted for specific purposes with the exception of amounts available
for general use.
In the event of an unanticipated liquidity need, the Organization could draw upon its available line of credit
(as further discussed in Note 9).
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
21
The table below reflects the Organization’s financial assets as of September 30, 2022 and 2021, reduced
by amounts that are not available to meet general expenditures within one year of the statement of financial
position date due to contractual restrictions or internal board designations:
2022
2021
Cash and cash equivalents
$ 11,957,000
$ 19,774,000
Investments
166,185,000
209,001,000
Accounts receivable
3,812,000
3,771,000
Contributions receivable
4,193,000
5,430,000
Total financial assets
186,147,000
237,976,000
Board appropriated net assets
(1,711,000)
(1,610,000)
Board designated net assets
(41,189,000)
(51,846,000)
Board designated net assets - operating reserve
(66,179,000)
(88,409,000)
Donor designated endowments
(56,575,000)
(66,508,000)
Contributions receivable due in greater than one year
(680,000)
(1,497,000)
Charitable gift annuities
(457,000)
(560,000)
Donor designated contributions with liquidity greater than one year
(3,614,000)
(3,879,000)
Financial assets available to meet cash needs for
general expenditures within one year
$ 15,742,000 $ 23,667,000
Board designated net assets - other
$ 41,189,000
$ 51,846,000
Board designated net assets - operating reserve
66,179,000
88,409,000
107,368,000
140,255,000
Total financial assets available to meet cash needs for
general expenditures within one year including board
designated net assets
$ 123,110,000 $ 163,922,000
NOTE 4 - INVENTORIES
Inventories in warehouses and at suppliers were approximately $8,184,000 and $6,470,000 at
September 30, 2022 and 2021, respectively.
Finished goods inventories are net of a reserve for obsolescence of approximately $746,000 and $648,000
at September 30, 2022 and 2021, respectively.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
22
NOTE 5 - INVESTMENTS
Investments, at fair value were comprised approximately of the following at September 30, 2022 and 2021:
2022
2021
Common stocks
Small capitalization equities
$ 2,392,000
$ 4,017,000
Mutual funds
Fixed income core securities
18,712,000
21,813,000
Domestic
32,008,000
43,693,000
International
34,927,000
52,222,000
Private equity funds
23,717,000
24,014,000
Global commingled funds
15,356,000
18,637,000
Common collective trust
10,086,000
14,205,000
Hedge funds
19,889,000
21,145,000
Real estate funds
5,200,000
7,136,000
Money market funds
3,898,000
2,119,000
$ 166,185,000
$ 209,001,000
Alternative investments represent hedge fund, limited partnership and similar interests held by the
Organization in funds that invest in public and private securities and follow a variety of investment
strategies. Terms and conditions of these investments, including liquidity provisions, are different for each
fund. The Organization believes that the carrying amount of its alternative investments was a reasonable
estimate of the fair value of such investments at September 30, 2022 and 2021. As is typical of investment
portfolios of similar types of institutions, alternative investments are not readily marketable, the estimated
value is subject to uncertainty and, therefore, may differ from the value that would have been used had a
ready market for such investments existed.
The Organization utilizes a spending rate policy to make an annual investment income allocation for the
support of operations, other Board designated purposes, and Donor restricted purposes of 4% (except for
the Movement Growth Fund which has a spending rate of 5%) of the average market value of the
Organization’s investment portfolio over the last four years. The investment policy rates have been set to
grow the market value of the investments.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
23
Investment income has been reported as follows:
2022
2021
Without Donor
Restrictions
With Donor
Restrictions
Total
Total
Interest and dividends, net of
investment manager expenses
of approximately $463,000 and
$489,000 in fiscal 2022 and
2021, respectively
$ 1,530,000
$ 718,000
$ 2,248,000
$ 1,924,000
Net realized gains on sale of
investments
5,056,000
2,372,000
7,428,000
33,028,000
Net unrealized gains on
investments
(23,406,000)
(10,981,000)
(34,387,000)
8,540,000
Total investment gains
(16,820,000)
(7,891,000)
(24,711,000)
43,492,000
Investment income allocation
used for current operations
(5,178,000)
(2,176,000)
(7,354,000)
(6,914,000)
Net investment gain in
excess of income
allocation
$ (21,998,000) $ (10,067,000) $ (32,065,000) $ 36,578,000
The following table represents the Organization’s investments, measured at fair value, within the fair value
hierarchy, as of September 30, 2022:
Total
Level 1
Common stock
Small capitalization equities
$ 2,392,000
$ 2,392,000
Mutual funds
Fixed income core securities
18,712,000
18,712,000
Domestic
32,008,000
32,008,000
International
34,927,000
34,927,000
Money market funds
3,898,000
3,898,000
Subtotal
91,937,000
91,937,000
Investments carried at NAV
74,248,000
Total
$ 166,185,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
24
The following table represents the Organization’s investments, measured at fair value, within the fair value
hierarchy, as of September 30, 2021:
Total
Level 1
Common stock
Small capitalization equities
$ 4,017,000
$ 4,017,000
Mutual funds
Fixed income core securities
21,813,000
21,813,000
Domestic
43,693,000
43,693,000
International
52,222,000
52,222,000
Money market funds
2,119,000
2,119,000
Subtotal
123,864,000
123,864,000
Investments carried at NAV
85,137,000
Total
$ 209,001,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
25
The Organization uses the NAV to determine the fair value of all the underlying investments which: (a) do
not have a readily determinable fair value and (b) prepare their investees financial statements consistent
with the measurement principles of an investment company or have the attributes of an investment
company. Per the accounting standard governing NAV as a practical expedient, the following tables list
investments in other companies by major category as of September 30, 2022 and 2021:
2022
Type
Strategy
NAV in Funds
# of
Funds
Remaining
Life
$ Amount of
Unfunded
Commitments
Timing to
Drawdown
Commitments
Private equity
funds
Funds are focused on
venture and buyout in
the U.S., U.S. buyout
primary partnerships,
and US credit primary
partnerships.
$ 23,717,000
9
1 to 9 years
$ 3,724,000
1 to 6 years
Common
collective
trust
Collective investment
fund focusing on
generating attractive
return, through
investment in a
diversified portfolio of
emerging markets
debt and currency
instruments.
10,086,000
3
N/A
-
N/A
Global
commingled
fund
Securitized credit trust is
high current income
and total potential
returns through
diversified exposure
to securitized assets.
15,356,000
2
N/A
-
From
semimonthly to
5 business
days
Hedge funds
Hedge funds focusing on
absolute return
strategies, credit
strategies and
maximizing risk-
adjusted returns.
19,889,000
2
N/A
-
N/A
Real estate
fund
Focus in specific
markets, submarkets
and properties with
the potential for
generating above
average returns on a
risk-adjusted basis.
5,200,000
2
8 years
1,124,000
1 to 2 years
Total
$ 74,248,000
18
$ 4,848,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
26
2021
Type
Strategy
NAV in Funds
# of
Funds
Remaining
Life
$ Amount of
Unfunded
Commitments
Timing to
Drawdown
Commitments
Private equity
funds
Funds are focused on
venture and buyout in
the U.S., U.S. buyout
primary partnerships,
and US credit primary
partnerships.
$ 24,014,000
9
1 to 9 years
$ 6,317,000
1 to 6 years
Common
collective
trust
Collective investment
fund focusing on
generating attractive
return, through
investment in a
diversified portfolio of
emerging markets
debt and currency
instruments.
14,205,000
3
N/A
-
N/A
Global
commingled
fund
Securitized credit trust is
high current income
and total potential
returns through
diversified exposure
to securitized assets.
18,637,000
2
N/A
-
From
semimonthly to
5 business
days
Hedge funds
Hedge funds focusing on
absolute return
strategies, credit
strategies and
maximizing risk-
adjusted returns.
21,145,000
2
N/A
-
N/A
Real estate
fund
Focus in specific
markets, submarkets
and properties with
the potential for
generating above
average returns on a
risk-adjusted basis.
7,136,000 2
8 years
1,220,000
1 to 2 years
Total
$ 85,137,000
18
$ 7,537,000
The Private Equity funds have no redemption terms. The Hedge Fund investments have redemption terms
of 95 days’ notice and certain lockups of 1 year. The Real Estate funds have a 65 days’ notice period and
redemption restrictions are on a pro rata basis. The Collective Trust funds may be redeemed daily and have
no redemption restrictions. Private Bond funds are valued at the capital account balance provided by the
general partner for the plan interest in a limited partnership. The capital account is valued at fair value using
NAV as a practical expedient. These funds invest primarily in publicly and privately issued debt securities
and floating rate loans of investment and noninvestment grade (high-yield) companies.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
27
NOTE 6 - CONTRIBUTIONS, DEFERRED GIFTS RECEIVABLE, AND GOVERNMENT CONTRACTS
Contributions, deferred gifts receivable and government contracts were comprised approximately of the
following at September 30, 2022 and 2021:
2022
2021
Contributions receivable (gross)
$ 6,489,000
$ 5,510,000
Allowance for uncollectable pledges
(2,267,000)
-
Discount on pledges
(29,000)
(80,000)
$ 4,193,000
$ 5,430,000
Included in contributions and deferred gifts receivable, net, are contributions receivable, of approximately
$4,193,000 and $5,430,000 at September 30, 2022 and 2021, respectively. Contributions to be received
over a period greater than one year are normally discounted using a risk adjusted rate based on the pledge
period as of the date of the pledge and are not subsequently adjusted. At September 30, 2022, short-term
contributions receivable are approximately $3,542,000, long-term contributions receivable are $680,000,
and the discount on long-term contributions receivable is $29,000. At September 30, 2021, short-term
contributions receivable are approximately $4,013,000, long-term contributions receivable are $1,497,000,
and the discount on long-term contributions receivable is $80,000.
At September 30, 2022, an allowance for uncollectable pledges of $2,267,000 was established for three
outstanding pledges based on the policy explained in Note 2. Additionally, the organization wrote off one
pledge valued at $250,000 as a result of the donors non-payment.
Included as deferred gifts receivable are remainder interests in several irrevocable trusts. The present value
of the Organization’s share of future interests in charitable remainder trusts, which amounted to
approximately $82,000 and $125,000 has been recorded as deferred gifts receivable at September 30,
2022 and 2021, respectively, and, in accordance with the terms of the trusts, is included in net assets with
donor restriction. The present value of the trusts was calculated using a discount rate of 5.0%. Beneficial
interests in perpetual third-party trusts of approximately $222,000 and $283,000 valued at the
Organization’s share of the fair value of the underlying trust assets are included in net assets with donor
restriction at September 30, 2022 and 2021, respectively.
In addition, the Organization has been awarded several renewable cost-reimbursement grants from federal
agencies. The Organization has recorded the following revenue included in gifts, grants, and bequests on
the accompanying consolidated statements of activities for the years ended September 30, 2022 and 2021:
2022 Revenue
Cumulative
Revenue
Cumulative
Federal
Appropriation
National Aeronautics and Space Administration
$ 43,000
$ 3,161,000
$ 3,471,000
Institute of Museum and Library Services
81,000
97,000
178,000
National Science Foundation
101,000
199,000
300,000
US Department of Labor
10,000
10,000
2,500,000
$ 235,000
$ 3,467,000
$ 6,449,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
28
2021 Revenue
Cumulative
Revenue
Cumulative
Federal
Appropriation
National Aeronautics and Space Administration
$ 261,000
$ 3,160,000
$ 3,471,000
Institute of Museum and Library Services
27,000
97,000
178,000
National Science Foundation
139,000
200,000
300,000
$ 427,000
$ 3,457,000
$ 3,949,000
As a response to the COVID-19 pandemic the U.S. federal government passed the Coronavirus Aid, Relief,
and Economic Security Act (“CARES Act”). During April 2020 GSUSA received a $7,307,000 Payroll
Protection Program loan (“PPP”) under the CARES Act and an advance of $10,000 under Economic Injury
Disaster Loan, both administered by Small Business Administration. On July 20, 2021, the Small Business
Administration authorized the full forgiveness of the $7,307,000 PPP loan. Since the conditions for use of
the funds had been met, the forgiven total was recognized as revenue at that time and is reflected as gifts,
grants and bequests in the accompanying consolidated statement of activities.
During May 2021, GSUSA received a second PPP loan in the amount of $2,000,000. Similar to the
treatment of the first loan, GSUSA accounted for the second PPP loan as a conditional contribution that will
be recognized as grant revenue when the conditions for use of the funds have been met and it is
acknowledged by the lender that the loan will be forgiven. On March 3, 2022, the Small Business
Administration authorized the full forgiveness of the $2,000,000 PPP loan. Since the conditions for use of
the funds had been met, the forgiven total was recognized as revenue at that time and is reflected as gifts,
grants and bequests in the accompanying consolidated statement of activities.
NOTE 7 - PROPERTY AND EQUIPMENT
Property and equipment are comprised, approximately, of the following at September 30, 2022 and 2021:
2022
2021
Estimated
Useful Lives
Building and improvements
$ 61,689,000
$ 61,776,000
10 to 40 years
Furniture and equipment
8,896,000
8,214,000
3 to 10 years
Software development costs
57,985,000
54,409,000
3 to 5 years
128,570,000
124,399,000
Less: accumulated depreciation
(86,623,000)
(77,053,000)
41,947,000
47,346,000
Land
377,000
377,000
$ 42,324,000
$ 47,723,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
29
Depreciation expense amounted to $9,570,000 and $9,071,000 for the years ended September 30, 2022
and 2021, respectively. Impairment expense of software development costs for unusable code amounted
to $750,000 for the Single System Digital Cookie project and $1,743,000 for Mobile Application the years
ended September 30, 2022 and 2021, respectively. During the year ended September 30, 2022 and 2021,
the Organization disposed of fully depreciated and impaired assets totaling $0 and $13,084,000
respectively.
Included in property and equipment are assets acquired under finance lease arrangements with terms
ranging from three to five years. At September 30, 2022 and 2021, equipment acquired under such leases
had a cost of approximately $94,000 and $145,000, respectively, with accumulated depreciation of
approximately $27,000 and $78,000, respectively.
NOTE 8 - GIRL SCOUT MERCHANDISE (“GSM”)
GSM purchases uniforms and other products from manufacturers which it sells to councils and other
customers on a wholesale and retail basis. GSM also licenses to manufacturers and other vendors the right
to use the Organization’s name and service marks on their products. Net revenue from GSM is used to
further the program activities of the Organization. Summarized revenue and expenses relating to GSM are
set forth below:
Years Ended September 30,
2022
2021
Sales and other income
$ 36,580,000
$ 28,756,000
Less: cost of sales
(16,681,000)
(13,626,000)
Gross profit
19,889,000
15,130,000
Royalties, net of commission expense
9,292,000
8,355,000
29,191,000
23,485,000
Girl program development and adult learning opportunities
(12,164,000)
(13,937,000)
$ 17,027,000
$ 9,548,000
Included in GSM program development expenses are redistributed charges, which are overhead operations
costs for expenses allocated to GSM of approximately $4,642,000 and $5,870,000 for the years ended
September 30, 2022 and 2021, respectively.
NOTE 9 - LINES OF CREDIT
On October 14, 2016, the Organization entered into a $10,000,000, 364 day secured revolving credit facility.
Effective July 6, 2020, the credit agreement was amended with a new increased commitment of
$20,000,000 and, effective July 1, 2022, the credit agreement was amended with the new expiration date
of June 30, 2023. The credit agreement is secured by certain of the Organization’s investments.
Additionally, on February 12, 2021, the Organization entered into a $11,000,000, draw-down loan facility
with an expiration of February 11, 2028, which is secured by certain of the Organization’s investments.
Effective November 1, 2021, the credit agreement was amended with a new increased commitment of
$15,000,000.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
30
The Organization has $8,200,000 and $24,000,000 outstanding on its credit facilities at September 30,
2022 and 2021, respectively. Interest expense associated with this borrowing totaled approximately
$322,000 and $201,000 for the years ended September 30, 2022 and 2021, respectively.
NOTE 10 - BOARD-DESIGNATED NET ASSETS WITHOUT DONOR RESTRICTIONS
Board-designated net assets without donor restrictions are neither restricted by time or donor stipulations
but were designated by the Board of Directors for specified purposes. Board-designated net assets without
donor restrictions were comprised of the following at September 30, 2022 and 2021:
2022
2021
Operating reserves
$ 66,179,000
$ 88,409,000
Board designated funds
41,189,000
51,846,000
Other
1,711,000
1,610,000
Total
$ 109,079,000
$ 141,865,000
NOTE 11 - NET ASSETS WITH DONOR RESTRICTIONS
Net assets with donor restrictions are released from donor restrictions by incurring expenses and/or time
restrictions having lapsed satisfying the restricted purposes, and are comprised approximately as follows
at September 30, 2022 and 2021:
2022
2021
Purpose restricted
Comprehensive council support
$ 41,737,000
$ 49,355,000
Girl program development and adult learning opportunities
26,446,000
30,905,000
68,183,000
80,260,000
Time restricted
304,000
408,000
$ 68,487,000
$ 80,668,000
NOTE 12 - NET ASSETS RELEASED FROM RESTRICTIONS
Net assets were released from donor restrictions by incurring expenses and/or time restrictions having
lapsed satisfying the restricted purposes approximately as follows at September 30, 2022 and 2021:
2022
2021
Purpose restrictions satisfied
Comprehensive council support
$ 2,997,000
$ 2,904,000
Girl program development and adult learning opportunities
9,141,000
11,627,000
$ 12,138,000
$ 14,531,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
31
NOTE 13 - ENDOWMENT AND BOARD-DESIGNATED FUNDS
Endowment assets include those assets of donor-restricted funds that the Organization must hold in
perpetuity or for a donor-specified period(s). Board-designated funds include operating reserves and other
board-designated funds, such as the Movement Growth Fund, Macy Scholarship Fund, and Lifetime
Membership Fund. The purpose of the board-designated funds and the spending of them is at the discretion
of the Board.
The Organization follows the provisions of “Endowments of Not-for-Profit Organizations: Net Asset
Classification of Funds Subject to an Enacted Version of the Uniform Prudent Management of Institutional
Funds Act, and Enhanced Disclosures for All Endowment Funds.” This standard provides guidance on
classifying the net assets associated with donor-restricted endowment funds held by organizations subject
to the Uniform Prudent Management of Institutional Funds Act (“UPMIFA”), passed by the District of
Columbia, and also requires additional disclosures about endowments for both donor-restricted funds and
board-designated funds.
The Organization has interpreted the District of Columbia UPMIFA as requiring the preservation of the fair
value of the original gift, as of the gift date of the donor-restricted endowment funds, absent explicit donor
stipulations to the contrary. As a result of this interpretation, the Organization classifies as net assets with
donor restrictions (a) the original value of gifts donated to the permanent endowment, (b) the original value
of subsequent gifts to the permanent endowment, and (c) the accumulations to the permanent endowment
made in accordance with the directions of the applicable donor gift instrument, at the time the accumulation
is added to the fund.
Accumulated earnings of the donor restricted endowment fund are classified in net assets with donor
restrictions until such amounts are appropriated for expenditure by the Organization in a manner consistent
with the standard of prudence prescribed by UPMIFA.
In accordance with UPMIFA, the Organization considers the following factors in making a determination to
appropriate or accumulate donor-restricted endowment funds: the purpose, duration, and preservation of
the endowment fund; expected total return of investments; general economic conditions; other resources
of the Organization; and the investment policy of the Organization.
The Organization has a policy of appropriating for distribution a certain percentage (4% in 2022 and 2021)
of an endowment fund’s average fair value over the prior four years. In establishing this policy, the
Organization considered the long-term expected return on its endowment assets. This is consistent with
the Organization’s objective to maintain the purchasing power of the endowment assets held in perpetuity
or for a specified term as well as to provide additional real growth through new gifts and investment return.
The Organization has adopted investment policies for endowment assets that attempt to provide a
predictable stream of funding to programs supported by these funds while seeking to maintain the
purchasing power of these assets. Under this policy, as approved by the Board of Directors, the assets are
invested in a manner that is intended to produce results that exceed the price and yield results of
appropriate benchmarks without putting the assets at imprudent risk.
To satisfy its long-term objectives, the Organization relies on a total return strategy in which investment
returns are achieved through both capital appreciation (realized and unrealized) and current yield (interest
and dividends). The Organization targets a diverse asset allocation that places a greater emphasis on
equity-based investments to achieve its long-term return objectives within prudent risk constraints.
For board designated funds, the Organization also has a standard policy of appropriating for distribution a
certain percentage (4-5% in 2022 and 2021) of a fund's average fair value over the prior four years. In
establishing this policy, the Organization considered the long-term expected return on its board designated
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
32
funds. However, these funds do not need to be maintained in perpetuity and the Board recognizes that
using them currently to fund services for the Movement and girl members, as well as address current
liquidity needs, may be the most prudent course of action. In fiscal year 2022, an additional Board approved
appropriation of $5,250,000 was made from the Movement Growth Fund to provide pension assistance to
Girl Scout Councils participating in the National Girl Scouts Council Retirement Plan to reduce their pension
burden and provide funding for delivery of services to girls. Additionally, the Board approved an
appropriation of $8,170,000 from operating reserves for strategic investments.
The investment strategy for the board designated funds is consistent with that of the endowment funds.
The following table summarizes the changes in endowment and board-designated net assets for the year
ended September 30, 2022:
Composition of Endowment and
Board-Designated Net Assets by Type of Fund
Net Assets
Without Donor
Restrictions
Net Assets with
Donor
Restrictions
Total
Donor-restricted endowment funds
$ -
$ 56,575,000
$ 56,575,000
Board-designated funds
107,368,000
-
107,368,000
$ 107,368,000
$ 56,575,000
$ 163,943,000
Changes in Endowment and
Board-Designated Net Assets
Endowment and board-designated net assets,
beginning of year
$ 140,255,000
$ 66,508,000
$ 206,763,000
Investment return
Investment income
1,530,000
718,000
2,248,000
Net appreciation (realized and unrealized)
(18,350,000)
(8,609,000)
(26,959,000)
Contributions
-
13,000
13,000
Transfer from Movement Growth Fund
(250,000)
-
(250,000)
Transfer from operating reserves
(8,170,000)
-
(8,170,000)
Appropriation of endowment assets for
expenditure
(5,178,000)
(2,176,000)
(7,354,000)
Other changes
(2,469,000)
121,000
(2,348,000)
Endowment and board-designated net
assets, end of year
$ 107,368,000 $ 56,575,000 $ 163,943,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
33
The following table summarizes the changes in endowment and board-designated net assets for the year
ended September 30, 2021:
Composition of Endowment and
Board-Designated Net Assets by Type of Fund
Net Assets
Without Donor
Restrictions
Net Assets with
Donor
Restrictions
Total
Donor-restricted endowment funds
$ -
$ 66,508,000
$ 66,508,000
Board-designated funds
140,255,000
-
140,255,000
$ 140,255,000
$ 66,508,000
$ 206,763,000
Changes in Endowment and
Board-Designated Net Assets
Endowment and board-designated net assets,
beginning of year
$ 122,943,000
$ 55,020,000
$ 177,963,000
Investment return
Investment income
1,338,000
586,000
1,924,000
Net appreciation (realized and unrealized)
28,921,000
12,647,000
41,568,000
Contributions
-
139,000
139,000
Transfer from Lifetime Membership Fund
(4,000,000)
-
(4,000,000)
Transfer from operating reserves
(1,750,000)
-
(1,750,000)
Appropriation of endowment assets for
expenditure
(4,932,000)
(1,982,000)
(6,914,000)
Other changes
(2,265,000)
98,000
(2,167,000)
Endowment and board-designated net
assets, end of year
$ 140,255,000 $ 66,508,000 $ 206,763,000
Excluded from net assets with donor restrictions from the tables above at September 30, 2022 and 2021
are approximately $221,000 and $283,000, respectively, in each year of perpetual trusts held by third
parties.
NOTE 14 - BENEFIT PLANS
The Organization sponsors a noncontributory defined benefit retirement plan (the “Plan”) for its employees.
The Plan was amended on April 16, 2011 to cease accruals as of December 31, 2011 for employees
participating in the Plan and employees hired on or after January 1, 2012 may not enter the Plan. Benefits
are based on years of service and salary level. Contributions to the Plan are made based upon payment
schedules provided by the actuaries of the Plan. Normal retirement age is 65, but provisions are made for
early retirement.
The Plan’s actuary performed the computations required for financial statement disclosure as of
September 30, 2022 and 2021.
Plan assets, which are held by the Bank of New York/Mellon and the Metropolitan Life Insurance Company,
are stated at fair value at September 30 and are composed primarily of investments in common stock,
publicly traded debt and equity mutual funds, private equities, hedge funds, a collective trust, and real
estate.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
34
The following table sets forth the amounts reported in the Organization’s consolidated statements of
financial position and other information relative to the Plan as of and for the years ended September 30,
2022 and 2021:
2022
2021
Net asset (liability) recognized in the consolidated
statements of financial position
Beginning of year
$ (4,461,000)
$ (19,729,000)
Service cost including expenses
(590,000)
(1,060,000)
Interest cost
(2,952,000
(2,973,000)
Expected return on plan assets
5,244,000
5,455,000
Employer contributions
3,900,000
3,900,000
Actuarial gain
(6,343,000)
9,946,000
End of year
(5,202,000)
(4,461,000)
Reconciliation of benefit obligation
Obligation, beginning of year
112,991,000
122,747,000
Service cost including expenses
590,000
1,060,000
Interest cost
2,952,000
2,973,000
Actuarial gain
(23,525,000)
(4,099,000)
Benefit payments and actual expenses
(8,393,000)
(9,690,000)
Obligations, end of year
84,615,000
112,991,000
Reconciliation of fair value of plan assets
Fair value of Plan assets, beginning of year
108,530,000
103,018,000
Actual return on Plan assets
(24,624,000)
11,302,000
Employer contributions
3,900,000
3,900,000
Benefits payments and actual expenses
(8,393,000)
(9,690,000)
Fair value of Plan assets, end of year
79,413,000
108,530,000
Funded status
$ (5,202,000)
$ (4,461,000)
Amounts recognized in net assets without donor restrictions
Net loss
(24,965,000)
(19,015,000)
Components of net periodic benefit cost
Service cost including expenses
$ 590,000
$ 1,060,000
Interest cost
2,952,000
2,973,000
Expected return on Plan assets
(5,244,000)
(5,455,000)
Amortization of prior service credit
(12,000)
(12,000)
Amortization of net loss
405,000
913,000
Net periodic benefit cost
$ (1,309,000)
$ (521,000)
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
35
2022
2021
Other changes in assets and benefit obligations recognized in net
assets without donor restrictions:
Net loss/ (gain)
$ 6,343,000
$ (9,946,000)
Amortization or curtailment recognition of prior service credit
12,000
12,000
Amortization of net loss
(405,000)
(913,000)
Total amount recognized in net assets without donor
restrictions
$ 5,950,000 $ (10,847,000)
Weighted-average assumptions:
Discount rate used to calculate benefit obligation
5.50%
2.70%
Discount rate used to calculate net periodic benefit cost
2.70%
2.50%
Expected long-term rate of return on Plan assets
5.00%
5.50%
Average rate of increase in compensation levels
NA
NA
The Organization’s Investment Subcommittee (the “Committee”) monitors the target asset allocation (as
approved by the Board of Directors) and asset performance. The Board of Directors approved a glide path
policy for the Plan which, as funded status improves, gradually de-risks the Plan by investing in assets
which better hedge the economic exposures of the liabilities (generally long duration bonds). The expected
long-term rate of return is determined by using target asset allocation and historical returns for each asset
class.
The fair values of the Plan’s investment securities classified by level as of September 30, 2022 are as
follows:
Total
Level 1
Level 2
Common stock
Small capitalization equities
$ 720,000
$ 720,000
$ -
Mutual funds
Domestic
7,074,000
7,074,000
-
International
5,064,000
5,064,000
-
Money market funds
1,056,000
1,056,000
-
Fixed income funds
6,632,000
6,632,000
-
Guaranteed contract
26,000
-
26,000
Subtotal
20,572,000
$ 20,546,000
$ 26,000
Investment carried at NAV
58,841,000
Total
$ 79,413,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
36
The fair values of the Plan’s investment securities classified by level as of September 30, 2021 are as
follows:
Total
Level 1
Level 2
Common stock
Small capitalization equities
$ 1,017,000
$ 1,017,000
$ -
Mutual funds
Domestic
8,711,000
8,711,000
-
International
6,415,000
6,415,000
-
Money market funds
1,120,000
1,120,000
-
Fixed income funds
10,080,000
8,089,000
1,991,000
Guaranteed contract
32,000
-
32,000
Subtotal
27,375,000
$ 25,352,000
$ 2,023,000
Investment carried at NAV
81,155,000
Total
$ 108,530,000
Per the accounting standard governing NAV as a practical expedient, the following tables list the Plan’s
investment in other companies by major category and then by investment manager as of September 30,
2022 and 2021:
2022
Type
Strategy
NAV in Funds
# of Funds
Remaining
Life
$ Amount of
Unfunded
Commitments
Timing to
Drawdown
Commitments
Private
equities
Funds are focused on
venture and buyout
in the U.S. U.S.
buyout primary
partnerships, U.S.
venture primary
partnerships, and US
credit primary
partnerships.
$ 2,450,000
9
1 to 5 years
$ 397,000
1 to 2 years
Fixed income
fund
Funds are focused on
proving maximum
long term returns by
outperforming
Benchmark index.
17,488,000
3
N/A
-
Notification
of 2-5
Business
Days
Collective
trust
Collective investment
fund focusing on
generating attractive
return, through
investment in a
diversified portfolio of
emerging markets
debt and currency
instruments.
38,903,000 4
N/A
-
N/A
Total
$ 58,841,000
16
$ 397,000
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
37
2021
Type
Strategy
NAV in Funds
# of Funds
Remaining
Life
$ Amount of
Unfunded
Commitments
Timing to
Drawdown
Commitments
Private
equities
Funds are focused on
venture and buyout
in the U.S. U.S.
buyout primary
partnerships, U.S.
venture primary
partnerships, and US
credit primary
partnerships.
$ 3,073,000
9
1 to 5 years
$ 395,000
1 to 2 years
Fixed income
fund
Funds are focused on
proving maximum
long term returns by
outperforming
Benchmark index.
15,369,000
2
N/A
-
Notification
of 2-5
Business
Days
Hedge funds
Funds are focused on
absolute return
strategies, credit
strategies and
maximizing risk-
adjusted returns.
5,630,000
2
N/A
-
N/A
Collective
trust
Collective investment
fund focusing on
generating attractive
return, through
investment in a
diversified portfolio of
emerging markets
debt and currency
instruments.
53,969,000
4
N/A
-
N/A
Real estate
Focus is in specific
markets, submarkets
and properties with
the potential for
generating above
average returns on a
risk-adjusted basis.
3,114,000
1
N/A
-
N/A
Total
$ 81,155,000
18
$ 395,000
The Private Equity and Fixed Income funds have no redemption terms. The Hedge Fund investments have
redemption terms ranging from 95 to 370 days’ notice and certain lockups range from 1 to 2 years. The
Real Estate funds have a 30-day notice period and redemption restrictions are on a pro rata basis. The
Collective Trust funds may be redeemed daily and have no redemption restrictions.
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
38
The following benefits which reflect expected future service, as appropriate, are expected to be paid
approximately as follows:
Fiscal
2023
$ 7,431,000
2024
7,431,000
2025
7,349,000
2026
7,222,000
2027
7,079,000
2028-2032
32,898,000
Contributions made to the Plan during the fiscal years ended September 30, 2022 and 2021 were
$3,900,000 and $3,900,000, respectively. A contribution of approximately $3,900,000 is expected to be
made for fiscal year 2023.
Effective December 31, 2011, benefit accruals under the defined benefit retirement plan ceased. During
fiscal 2011, the Organization amended its 401(k) plan, effective January 1, 2012, to make a base employer
contribution of 2% of compensation up to Internal Revenue Code limit, and a matching contribution of 100%
of the first 1% of employee deferrals, plus 50% of the next 5% of employee deferrals (a maximum of 3.5%
of compensation) subject to Internal Revenue Service limits. As of August 1, 2020, the Organization
suspended employer contributions to the 401(k). Effective October 1, 2021, the Organization reinstated
employer contributions and amended its 401(k) plan to make a matching contribution of 100% of the first
2% of employee deferrals, plus 50% of the next 6% of employee deferrals (a maximum of 5% of
compensation) subject to Internal Revenue Service limits.
Employer contributions to the 401(k) for the fiscal year ended September 30, 2022 and 2021 were
$1,610,000 and $0, respectively.
NOTE 15 - POSTRETIREMENT BENEFITS OTHER THAN PENSIONS
Post-retirement group health care coverage may be offered to employees who participate in the GSUSA
Retirement Plan, have an employment status change immediately from active employee to retiree, and
promptly commence to collect a pension annuity. If the retiree meets the above criteria, the coverage is
also offered to their eligible dependents.
Additionally, retirees who meet the above requirements are currently offered a benefits stipend of $500
annually to offset their medical premium.
GSUSA reserves the right to change and/or discontinue these offerings at any time.
The Organization funds its postretirement benefit costs on a pay-as-you-go basis; however, for financial
reporting purposes, the Organization records these benefits as employees earn them. The related liability
totaled approximately $29,000 and $38,000 in fiscal 2022 and 2021, respectively, and is included within
accounts payable and accrued liabilities on the accompanying consolidated statements of financial position.
NOTE 16 - LEASE COMMITMENTS
The Organization has one operating lease for office space and various finance leases for equipment. The
operating lease does not contain any material residual value guarantees or material restrictive covenants
and has a remaining lease term of 10¾ years. It allows for first 9 months of rent abatement. The right-of-use
asset and lease liability were recognized at the lease commencement date based on the present value of
Girl Scouts of the United States of America
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
September 30, 2022 and 2021
39
the lease payments over the lease term. A risk adjusted rate of 2.81% was used to determine the present
value of the lease payments, which are recognized on a straight-line basis over the lease term. Operating
lease cost was approximately $144,000 and $174,000 for the years ended September 30, 2022 and 2021,
respectively. The operating lease right-of-use asset of $753,000 and $840,000 is included in property and
equipment, for the years ended September 30, 2022, and 2021, respectively and included in the
accompanying consolidated statements of financial position. The operating lease liability is approximately
$844,000 and $930,000 and is included in accounts payable and accrued expenses on the accompanying
consolidated statements of financial position for the years ended September 30, 2022 and 2021,
respectively.
The finance lease arrangements are due to expire on various dates through fiscal year 2026. The
equipment is capitalized as leased property and amortized on a straight-line basis over the term of the
lease. The corresponding obligation under the finance leases represents the present value of the rental
payments. Principal payments for the years ended September 30, 2022 and 2021 under all finance leases
totaled approximately $20,000 and $79,000, respectively. Amounts outstanding under these finance leases
are included in accounts payable and accrued expenses on the accompanying consolidated statements of
financial position at September 30, 2022 and 2021 and totaled approximately $69,000 and $65,000,
respectively.
The following is a schedule of future minimum rental payments required under the various leases as of
September 30, 2022:
Fiscal
2023
$ 137,000
2024
141,000
2025
139,000
2026
125,000
2027
126,000
Thereafter
340,000
Total
$ 1,008,000
NOTE 17 - SUBSEQUENT EVENTS
The Organization evaluated its September 30, 2022 consolidated financial statements for subsequent
events through January 26, 2023, the date the consolidated financial statements were available to be
issued. The Organization is not aware of any subsequent events which would require recognition or
disclosure in the accompanying consolidated financial statements.
SUPPLEMENTARY INFORMATION
New York One GS
Girl Scouts, Inc. Media LLC GSUSA Total
Buildings and improvements 55,689,000$ -$ 6,000,000$ 61,689,000$
Furniture and equipment - - 8,896,000 8,896,000
Software development costs - - 57,985,000 57,985,000
Construction in progress - - - -
55,689,000 - 72,881,000 128,570,000
Less: accumulated depreciation (40,682,000) - (45,941,000) (86,623,000)
15,007,000 - 26,940,000 41,947,000
Land 124,000 - 253,000 377,000
Total property and equipment, net 15,131,000$ -$ 27,193,000$
42,324,000$
Girl Scouts of the United States of America
CONSOLIDATING SCHEDULE OF PROPERTY AND EQUIPMENT
As of September 30, 2022
41
New York One GS
Girl Scouts, Inc. Media LLC GSUSA Total
Buildings and improvements 55,689,000$ -$ 6,087,000$ 61,776,000$
Furniture and equipment - - 8,214,000 8,214,000
Software development costs - - 54,409,000 54,409,000
Construction in progress - - - -
55,689,000 - 68,710,000 124,399,000
Less: accumulated depreciation (38,890,000) - (38,163,000) (77,053,000)
16,799,000 - 30,547,000 47,346,000
Land 124,000 - 253,000 377,000
Total property and equipment, net 16,923,000$ -$ 30,800,000$
47,723,000$
Girl Scouts of the United States of America
CONSOLIDATING SCHEDULE OF PROPERTY AND EQUIPMENT
As of September 30, 2021
42
New York One GS
Girl Scouts, Inc. Media LLC GSUSA Eliminations Consolidated
ASSETS
Cash and cash equivalents -$ 3,000$ 11,954,000$ -$ 11,957,000$
Accounts receivable, net of allowance for doubtful accounts
of approximately $695,000 in 2022 - - 3,812,000 - 3,812,000
Inventories, net - - 8,184,000 - 8,184,000
Prepaid expenses - - 2,892,000 - 2,892,000
Investments - - 166,185,000 - 166,185,000
Investment in subsidiary - - 7,071,000 (7,071,000) -
Contributions and deferred gifts receivable, net - - 4,497,000 - 4,497,000
Funds held in trust for others - - 535,000 - 535,000
Property and equipment, net 15,131,000 - 27,193,000 - 42,324,000
Total assets 15,131,000$ 3,000$ 232,323,000$ (7,071,000)$ 240,386,000$
LIABILITIES AND NET ASSETS
Liabilities
Accounts payable and accrued liabilities -$ -$ 17,098,000$ -$ 17,098,000$
Pension liability - - 5,202,000 - 5,202,000
Line of credit - - 8,200,000 - 8,200,000
Funds held in trust for others
- - 535,000 - 535,000
Deferred revenues:
Membership dues - - 26,762,000 - 26,762,000
Other - - 1,110,000 - 1,110,000
Total liabilities - - 58,907,000 - 58,907,000
Net assets
Without donor restrictions:
Operating fund 15,131,000 3,000 20,815,000 (7,071,000) 28,878,000
Pension fund - - (24,965,000) - (24,965,000)
Board designated - - 109,079,000 - 109,079,000
15,131,000 3,000 104,929,000 (7,071,000) 112,992,000
With donor restrictions:
Purpose restricted - - 40,347,000 - 40,347,000
Time-restricted for future periods - - 304,000 - 304,000
Perpetual in nature - - 27,836,000 - 27,836,000
Total net assets 15,131,000 3,000 173,416,000 (7,071,000) 181,479,000
Total liabilities and net assets 15,131,000$ 3,000$ 232,323,000$ (7,071,000)$ 240,386,000$
Girl Scouts of the United States of America
CONSOLIDATING STATEMENT OF FINANCIAL POSITION
As of September 30, 2022
43
New York One GS
Girl Scouts, Inc. Media LLC GSUSA Eliminations Consolidated
ASSETS
Cash and cash equivalents -$ 219,000$ 19,555,000$ -$ 19,774,000$
Accounts receivable, net of allowance for doubtful accounts
of approximately $580,000 in 2021 - 1,000 3,770,000 - 3,771,000
Inventories, net - - 6,470,000 - 6,470,000
Prepaid expenses - 14,000 1,179,000 - 1,193,000
Investments - - 209,001,000 - 209,001,000
Investment in subsidiary - - 4,695,000 (4,695,000) -
Contributions and deferred gifts receivable, net - - 5,838,000 - 5,838,000
Funds held in trust for others - - 641,000 - 641,000
Property and equipment, net 16,923,000 - 30,800,000 - 47,723,000
Total assets 16,923,000$ 234,000$ 281,949,000$ (4,695,000)$ 294,411,000$
LIABILITIES AND NET ASSETS
Liabilities
Accounts payable and accrued liabilities -$ 323,000$ 18,473,000$ -$ 18,796,000$
Pension liability - - 4,461,000 - 4,461,000
Line of credit - - 24,000,000 - 24,000,000
Funds held in trust for others
- - 641,000 - 641,000
Deferred revenues:
Membership dues - - 25,461,000 - 25,461,000
Other - - 2,274,000 - 2,274,000
Total liabilities - 323,000 75,310,000 - 75,633,000
Net assets
Without donor restrictions:
Operating fund 16,923,000 (89,000) 3,121,000 (4,695,000) 15,260,000
Pension fund - - (19,015,000) - (19,015,000)
Board designated - - 141,865,000 - 141,865,000
16,923,000 (89,000) 125,971,000 (4,695,000) 138,110,000
With donor restrictions:
Purpose restricted - - 52,372,000 - 52,372,000
Time-restricted for future periods - - 408,000 - 408,000
Perpetual in nature - - 27,888,000 - 27,888,000
Total net assets 16,923,000 (89,000) 206,639,000 (4,695,000) 218,778,000
Total liabilities and net assets 16,923,000$ 234,000$ 281,949,000$ (4,695,000)$ 294,411,000$
Girl Scouts of the United States of America
CONSOLIDATING STATEMENT OF FINANCIAL POSITION
As of September 30, 2021
44
