Greek Orthodox Archdioceseof America
Financial Statements

Years Ended December 31, 2020 and 2019

The report accompanying these financial statements was issued by
BDO USA, LLP, a Delaware limited liability partnership and the U.S. member of
BDO International Limited, a UK company limited by guarantee.

Greek Orthodox Archdiocese of America
Financial Statements

Years Ended December 31, 2020 and 2019

Greek Orthodox Archdiocese of America
Contents

3-4

Independent Auditor’s Report
Financial Statements
Statements of Financial Position
as of December 31, 2020 and 20195

Statement of Activities
for the Year Ended December 31, 2020

6Statement of Activities
for the Year Ended December 31, 20197

Statements of Cash Flowsfor the Years Ended December 31, 2020 and 20198

Notes to Financial Statements

9-35

2

Tel: 212-371-4446
Fax: 212-371-9374
www.bdo.com

622 Third Avenue, Suite 3100
New York, NY 10017

Independent Auditor’s Report
To His Eminence Archbishop Elpidophoros of America
and the Members of the Archdiocesan Council
The Greek Orthodox Archdiocese of America
New York, New York
OpinionWe have audited the financial statements of the Greek Orthodox Archdiocese of America (theArchdiocese), which comprise the statements of financial position as of December 31, 2020 and
2019, and the related 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 financial statements present fairly, in all material respects, thefinancial position of the Archdiocese as of December 31, 2020 and 2019, and the changes in its
net assets 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 in accordance with auditing standards generally accepted in the UnitedStates of America (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 Archdiocese and to meet our other ethical responsibilities, inaccordance with the relevant ethical requirements relating to our audits. We believe that theaudit 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 financial statementsin accordance with accounting principles generally accepted in the United States of America, andfor the design, implementation, and maintenance of internal control relevant to the preparationand fair presentation of financial statements that are free from material misstatement, whether
due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there areconditions or events, considered in the aggregate, that raise substantial doubt about theArchdiocese’s ability to continue as a going concern within one year after the date that thefinancial statements are issued or available to be issued.

BDO USA, LLP, a Delaware limited liability partnership, is the U.S. member of BDO International Limited, a UK company limited by guarantee, and forms part ofthe international BDO network of independent member firms.
BDO is the brand name for the BDO network and for each of the BDO Member Firms.

3

Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as awhole are free from material misstatement, whether due to fraud or error, and to issue anauditor’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 accordancewith GAAS will always detect a material misstatement when it exists. The risk of not detecting amaterial misstatement resulting from fraud is higher than for one resulting from error, as fraud
may involve collusion, forgery, intentional omissions, misrepresentations, or the override ofinternal 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 financial statements.
In performing an audit in accordance with GAAS, we:•

Exercise professional judgment and maintain professional skepticism throughout theaudit.

•

Identify and assess the risks of material misstatement of the financial statements,
whether due to fraud or error, and design and perform audit procedures responsive tothose risks. Such procedures include examining, on a test basis, evidence regarding theamounts 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 Archdiocese’s internal control.
Accordingly, no such opinion is expressed.

•

Evaluate the appropriateness of accounting policies used and the reasonableness ofsignificant accounting estimates made by management, as well as evaluate the overall
presentation of the financial statements.

•

Conclude whether, in our judgment, there are conditions or events, considered in theaggregate, that raise substantial doubt about the Archdiocese’s ability to continue as agoing concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among othermatters, the planned scope and timing of the audit, significant audit findings, and certain internal
control-related matters that we identified during the audit.

May 20, 2021

4

Greek Orthodox Archdiocese of America
Statements of Financial Position

2019

2020

December 31,
AssetsCash and cash equivalents
Accounts receivable, net
Contributions receivable
Total commitment receivable
Investments, at fair value
Inventory, net
Due from St. Nicholas Greek Orthodox Church andNational Shrine
Due from other related entities
Other receivables and other assets
Fixed assets, net
Beneficial interest in split-interest trusts
Investments held for others$

Total Assets$

33,598,384$

28,376,323$

631,165
180,720853,203
212,500
5,108,399
2,377,563
3,375,376$

954,836
126,362
773,476
38,056
5,102,912
2,407,169
2,930,675

4,868,047
73,7071,200,764
2,183,437
12,258,674
384,053$

3,022,580
136,821
120,571936,819
11,237,187
434,128
2,963,896
83,042641,183
5,250,590
618,8312,930,675

2,963,896
172,579445,715
5,009,333
662,8033,375,376

Liabilities and Net Assets
Liabilities
Accounts payable and accrued expenses
Deferred revenue
Total commitment sharing payable
Grants payable
Due to other related entityLong-term debt, net
Other postretirement benefits obligations
Liability for funds held for others

12,738,926

12,333,486

Net Assets
Without donor restrictions
With donor restrictions

4,263,119
16,596,339

1,291,570
14,751,267

Total Net Assets

20,859,458

16,042,837

Total Liabilities
Commitments and Contingencies

Total Liabilities and Net Assets$

33,598,384$

28,376,323

See accompanying notes to financial statements.

5

Greek Orthodox Archdiocese of America
Statement of Activities

Year ended December 31, 2020
Without
Donor
Restrictions
Revenues and Other Support
Total commitment
Contributions and grants
In-kind contributions
Leadership 100 grants
Clergy-Laity Congress:
Contributions
Program revenue
Program revenue
Investment income, net
Change in fair value of beneficial interestin split-interest trusts
Insurance proceeds
Other income
Net assets released from restrictions$

22,047,356
489,373
30,346-

With Donor
Restrictions$

5,897,807
1,275,758

Total$

22,047,356
6,387,180
30,346
1,275,758

89,925680,60761,822(124,964)
1,208,921(124,964)
89,925680,607
1,270,743

122,697369,6216,456,422

43,972(6,456,422)

43,972
122,697369,621-30,348,169

1,845,072

32,193,241

7,203,619
7,158,887-

7,203,619
7,158,887

2,592,579
1,493,712
2,548,985
88,1491,089,397
50,000-2,592,579
1,493,712
2,548,985
88,1491,089,397
50,00022,225,328-

22,225,328

7,515,872-

7,515,872

Total Supporting Services

7,515,872-

7,515,872

Total Expenses

29,741,200-

29,741,200

606,969

1,845,072

2,452,041

Government Grant, Net

2,364,580-

2,364,580

Changes in Net Assets

2,971,549

1,845,072

4,816,621

Net Assets, beginning of year

1,291,570

14,751,267

16,042,837

Total Revenues and Other Support
Expenses
Program services:
Education (including grants to Hellenic Collegeof $4,638,000)
Metropolis Ministries
Orthodoxy in the World (including grants to
Ecumenical Patriarchate of $1,533,000)
Communications
Community
Clergy-Laity Congress
COVID-19 Relief
Other Disaster Relief
Total Program Services
Supporting services:
General and administrative

Changes in Net Assets, before government grant

Net Assets, end of year$

4,263,119$

16,596,339$

20,859,458

See accompanying notes to financial statements.

6

Greek Orthodox Archdiocese of America
Statement of Activities

Year ended December 31, 2019
Without
Donor
Restrictions
Revenues and Other Support
Total commitment
Contributions and grants
In-kind contributions
Leadership 100 grants
FAITH grants
Clergy-Laity Congress contributions
Enthronement and luncheon contributions,net of benefit to donor costs of $405,293
Program revenue
Investment income, net
Change in fair value of beneficial interestin split-interest trusts
Insurance proceeds
Other income
Net assets released from restrictions$

22,335,894
319,194
330,581-With Donor
Restrictions$

3,002,578
789,100
111,000
125,000

Total$

22,335,894
3,321,772
330,581789,100
111,000
125,000

2,907,065
48,156

540,639
1,621,516

540,6392,907,065
1,669,672

1,485,276
154,759
3,287,641

78,206(3,287,641)

78,206
1,485,276
154,759-

30,868,566

2,980,398

33,848,964

7,137,139
6,886,636-

7,137,139
6,886,636

2,366,077
1,910,073
2,297,601-

2,366,077
1,910,073
2,297,601

105,127-

105,127

260,313484,379
1,359
126,000-

260,313484,379
1,359
126,000

21,574,704-

21,574,704

7,000,105-

7,000,105

Total Supporting Services

7,000,105-

7,000,105

Total Expenses

28,574,809-

28,574,809

Changes in Net Assets

2,293,757

2,980,398

5,274,155

Net (Deficit) Assets, beginning of year

(1,002,187)

11,770,869

10,768,682

Total Revenues and Other Support
Expenses
Program services:
Education (including grants to Hellenic Collegeof $1,800,000)
Metropolis Ministries
Orthodoxy in the World (including grants to
Ecumenical Patriarchate of $1,259,000)
Communications
Community
St. Nicholas Greek Orthodox Church
and National Shrine (St. Nicholas)
Enthronement:
Contributions to St. Nicholas
Expenses
Clergy-Laity Congress
Other Disaster Relief
Total Program Services
Supporting services:
General and administrative

Net Assets, end of year$

1,291,570$

14,751,267$

16,042,837

See accompanying notes to financial statements.

7

Greek Orthodox Archdiocese of America
Statements of Cash Flows

2019

2020

Year ended December 31,
Cash Flows from Operating Activities
Changes in net assets
Adjustments to reconcile changes in net assets to net cash
provided by (used in) operating activities:
Depreciation
Amortization of financing costs
Net change in fair value of investments
Other income (gain on sale of fixed assets)
Change in fair value of beneficial interestin split-interest trusts
Changes in assets and liabilities:
Accounts receivable
Contributions receivable
Inventory, net
Due from St. Nicholas Greek Orthodox Church
and National Shrine
Due from other related entities
Other receivables and other assets
Total commitment receivable and sharing payable, net
Accounts payable and accrued expenses
Deferred revenue
Grants payable
Due to other related entities
Pension and other accrued postretirement benefits
obligations$

4,816,621$

5,274,155

275,41443,378(1,031,221)(168,098)

248,546
58,704(1,481,506)-(43,972)(78,206)

63,114(1,080,193)
50,075(46,690)(26,709)
183,734(89,537)
195,468(1,166,891)(323,671)
54,358
212,500(38,056)(115,146)
34,654(539,056)(248,699)(665,522)
24,128(17,207)(29,606)

270,954

1,739,683

2,876,134(14,671,033)
14,680,767(116,157)
250,098(10,177,799)
9,862,300(101,473)-

Net Cash Provided by (Used in) Investing Activities

143,675(416,972)

Cash Flows from Financing Activities
Proceeds from loans
Payments on loans

150,000(187,891)(2,180,591)

Net Cash Used in Financing Activities(37,891)(2,180,591)

Net Increase in Cash and Cash Equivalents

1,845,467

278,571

Cash and Cash Equivalents, beginning of year

3,022,580

2,744,009

Net Cash Provided by Operating Activities
Cash Flows from Investing Activities
Purchases of investments
Proceeds from sales of investments
Purchases of fixed assets, net
Net proceeds from sale of fixed assets

Cash and Cash Equivalents, end of year$

4,868,047$

3,022,580

Additional Cash Flow Information
Interest paid$

223,027$

260,889

See accompanying notes to financial statements.

8

Greek Orthodox Archdiocese of America
Notes to Financial Statements

1. Organization and Nature of Activities
The Greek Orthodox Archdiocese of America (the Archdiocese) is the administrative body of the
Greek Orthodox Church in America (the Church). The Archdiocese relies primarily on funding fromits parishes located throughout the United States.
The Archdiocese is exempt from federal income taxes under Section 501(c)(3) of the Internal
Revenue Code (IRC) and similar state and local provisions. Therefore, no provision for income taxes
has been made in the accompanying financial statements. In addition, the Archdiocese has been
determined not to be a private foundation within the meaning of Section 509(a) of the IRC.
The Archdiocese is related to a number of other entities by virtue of its charter with the Ecumenical
Patriarchate, and by certain common board membership. The accompanying financial statements
do not include the financial position, changes in net assets and cash flows of the following affiliatedorganizations:•

Holy Metropolises of Atlanta, Boston, Chicago, Denver, Detroit, New Jersey, Pittsburgh and
San Francisco and the Direct Archdiocesan District (combined, these are referred to as theMetropolis)•

Hellenic College, Inc.

•

Greek Orthodox Archdiocesan Cathedral of the Holy Trinity•

Saint Basil Academy•

Greek Orthodox Ladies Philoptochos Society, Inc.

•

St. Michael’s Home, Inc.

•

Order of Saint Andrew the Apostle/Archons of the Ecumenical Patriarchate•

Archdiocesan Presbyters Council•

The Archbishop Iakovos Leadership 100 Endowment Fund, Inc. (Leadership 100)•

St. Nicholas Greek Orthodox Church and National Shrine (St. Nicholas)•

Friends of St. Nicholas, Inc.

•

St. Photios Greek Orthodox National Shrine•

National Sisterhood of Presvyteres•

National Forum of Greek Orthodox Musicians•

Greek Orthodox Military and Institutional Chaplains•

Retired Clergy Association

9

Greek Orthodox Archdiocese of America
Notes to Financial Statements

Program Services
The total commitment received from parishes and the grants and contributions from donors enable
the Archdiocese to operate various programs, primarily in the following areas:
Education – The Archdiocese promotes and supports programs that enhance religious and Greek
education, youth and young adult ministries and the summer camp experience at its Ionian Village
in Greece. Religious education includes the production of content in an array of themes related to
the Church and its ministry. Greek education supports the production of resources for Greek schools
and families around the country. The youth and young adult ministries are focused on helping theyounger members of the Church to feel spiritually connected to the Church through various
programs, such as Sunday school, development of camp curricula, educational online video series
and youth retreats at parishes throughout the Archdiocese. The Ionian Village summer camp brings
together American high school students abroad for an exciting religious, cultural and educational
experience with peers. Youth retreat programs are also run by the Ionian Village during other timesof the year. Direct grants to Hellenic College are also included in this program and are further
discussed in Note 13.
Metropolis Ministries – A portion of the total commitment supports each Metropolis by funding
certain Metropolis clergy and administrative staff salaries and benefits, insurance and otherexpenses of the Metropolis. The Archdiocese allocated to the Metropolis $2,364,580 of thegovernment grant received during 2020, which was deemed Total Commitment collections by theMetropolis in the calculation of the support to each Metropolis.
Orthodoxy in the World – In conjunction with the Ecumenical Patriarchate, the Archdiocese, throughits relevant departments and personnel, maintains and coordinates relationships with other
Orthodox jurisdictions in America, Christian denominations and inter-Christian organizations, otherfaiths and interfaith groups and global affairs, especially the United Nations. Expenses include
department personnel costs and metropolitan travel to synods at the Ecumenical Patriarchate andspecial events. Direct grants to the Ecumenical Patriarchate are also included in this program andare further discussed in Note 13.
Communications – The Archdiocese maintains resources that promote communication of current
events within the Archdiocese. The communications office issues press releases and special
announcements, produces and broadcasts special events, and monitors and oversees all social media
activities. The Internet Ministries department ensures that current, accurate and relevant materials
are circulated online. The Internet Ministries department also maintains the websites of theArchdiocese, the Ecumenical Patriarchate and a number of organizations or groups related to the
Church. Services, such as website maintenance, bulletin builder and live-streaming may be provided
for a fee to parishes within and outside the jurisdiction of the Archdiocese.
Community – The Archdiocese’s community activities comprise a wide-range of functions anddepartments, including registry, public relations, archives, philanthropy, family care and ministry
and the promotion of and assistance in the use of the uniform parish software. Registry documents
sacramental records (baptism, marriage, divorce, death, etc.) of individuals within the Archdiocese.
The public relations department promotes the presence of the Archdiocese in the public sphere,
especially in governmental and global relations, as well as coordinates certain affairs of the
Ecumenical Patriarchate. The archives department catalogs the historical record of the Archdioceseand major events of the Church. The philanthropy division provides financial and medical assistanceto retired clergy, widowed presbyters and those in severe need. It also maintains scholarship funds
10Greek Orthodox Archdiocese of America
Notes to Financial Statements

offered by donors. The Orthodox parish software is a uniform software for parishes to easily track
information, such as family relations, sacraments, donations, etc.
St. Nicholas Greek Orthodox Church and National Shrine (St. Nicholas) – In 2013, the Archdiocese
commenced a capital campaign on behalf of and for the specific purpose of rebuilding St. Nicholas.
Contributions received from this campaign are treated as custodial funds and disbursed forconstruction and related rebuilding activities. Over the years, the Archdiocese incurred certain costs
related to St. Nicholas that were not charged directly to the St. Nicholas rebuilding fund, consisting
primarily of fund-raising and personnel costs associated with St. Nicholas.
In October 2018, the Friends of St. Nicholas, Inc. was established for the primary purpose of raisingfunds for the construction of St. Nicholas and oversight of all construction and maintenanceactivities. Commencing in April 2019, the construction costs and expenses incurred by St. Nicholas
were borne by Friends of St. Nicholas, Inc.
Enthronement – In June 2019, His Eminence Archbishop Elpidophoros was enthroned as theArchbishop of the Archdiocese, succeeding His Eminence Archbishop Demetrios who retired in
May 2019. The enthronement ceremonies included a luncheon to benefit St. Nicholas. The
contributions received and expenses incurred during the enthronement and the luncheon were as
follows:
Enthronement
Contributions
Contributions from donors
Contribution from the Archdiocese$

305,800-

Luncheon$

640,132
25,474

Total Contributions

305,800

665,606

Expenses
Contractors and consultants
Hotel accommodation, travel, venue and related expenses
Meals
Printed materials and audio/video production
Equipment, materials and supplies
Other expenses

22,005
260,130
69,204
126,163
6,877

12,705343,322
49,266-

Total Expenses

484,379405,293$

Contribution to Friends of St. Nicholas, Inc.

-$

260,313

The net proceeds of the luncheon and the contribution from the Archdiocese totaled $260,313. This
amount was contributed to Friends of St. Nicholas, Inc. as presented in the accompanying statementof activities for the year ended December 31, 2019. Additional contributions of $2,500 were received
during 2020.
Clergy-Laity Congress – The Clergy-Laity Congress, the legislative body of the Archdiocese, isconvened biennially and presided over by the Archbishop. It is concerned with all matters, otherthan doctrinal or canonical, affecting the life, growth and unity of the Church, the institutions,finances, administration, and educational and philanthropic concerns. The annual total commitment
revenue goal for the Archdiocese is determined during the Clergy-Laity Congress. The delegates to
the Clergy-Laity Congress are pastors and elected lay representatives.
11

Greek Orthodox Archdiocese of America
Notes to Financial Statements

The 2020 Clergy-Laity Congress, which was originally planned to be hosted by the Metropolis ofPittsburgh in Cleveland, Ohio, was held virtually due to the pandemic-related restrictions. As aresult, certain contributions previously received were refunded to donors, including amounts
received in 2019, which totaled approximately $125,000.
The revenue and expenses of the 2020 virtual Clergy-Laity Congress were as follows:
Revenue
Registration fees$

89,925

Expenses, comprised of expenses directly incurred by the Archdiocese
Professional fees and other outside services (transcription)
Technology and communication costs
Merchant and bank fees
Other expenses

24,43951,0797,033
5,598

Total Expenses

88,149

Excess of Revenue and Other Support Over Expenses (Net Event Revenue)

$

1,776

Disaster Relief – The Archdiocese participates in relief efforts in the event of major fire, global
conflicts and natural disasters, primarily through solicitation of contributions from parishioners andother donors and distribution of aid to those in need of assistance in the affected areas.
COVID-19 Relief - During 2020, the Archdiocese launched a COVID-19 relief program to provide
support to various families and individuals who needed financial assistance because of the loss of
income and other needs arising from the pandemic. Financial assistance provided totaled $633,283,
which was funded through restricted contributions and grants. In addition, the Archdiocese
established a Parish Initiative relief program to provide grants totaling $450,000 to parishes throughthe Metropolises. Of this amount, $237,500 has been paid and the balance of $212,500 is recorded
as grant payable at December 31, 2020. This program was also funded through a restricted grant.

2. Summary of Significant Accounting Policies
Basis of Presentation
The accompanying financial statements have been prepared in accordance with accounting
principles generally accepted in the United States of America (U.S. GAAP) using the accrual basis ofaccounting.
Classifications of Net Assets
The classification of a not-for-profit organization’s net assets and its support, revenue and expenses
is based on the existence or absence of donor-imposed restrictions. It requires that the amounts foreach of two classes of net assets—with donor restrictions and without donor restrictions—bedisplayed in a statement of financial position and that the amount of change in each of those classesof net assets be displayed in a statement of activities.

12

Greek Orthodox Archdiocese of America
Notes to Financial Statements

These classes are defined as follows:
Without Donor Restrictions – This class consists of net assets that are not subject to donor-imposed
stipulations and that may be expended for any purpose in performing the primary objectives of theArchdiocese. Included within net assets without donor restrictions is a board-designated fund, theCathedral Fund that was designated by Archbishop Iakovos, to be used, upon approval, for the
benefit of the Greek Orthodox Archdiocesan Cathedral of the Holy Trinity and Cathedral related
projects. As of December 31, 2020 and 2019, the Cathedral Fund had balances of $435,388 and$1,026,790, respectively, which are included in investments in the accompanying statements offinancial position.
With Donor Restrictions – This class consists of net assets resulting from contributions and otherinflows of assets whose use by the Archdiocese is limited by donor-imposed stipulations that either
expire by the passage of time or can be fulfilled and removed by the actions of the Archdiocese
pursuant to those stipulations. When such stipulations end or are fulfilled, such net assets arereclassified to net assets without donor restrictions and reported as net assets released fromrestrictions in the statements of activities.
Net assets with donor restrictions also include net assets resulting from contributions whereby theprincipal has been stipulated by the donor to be held and invested in perpetuity and the income
used in accordance with the donor’s stipulations, if any.
Cash and Cash Equivalents
For the purposes of the statements of cash flows, the Archdiocese considers all highly liquid
instruments purchased with a maturity of three months or less, to be cash equivalents, except for
those cash equivalents that are included in the Archdiocese's investment portfolio which are held
for long-term purposes.
Investments, at Fair Value
Investments in money market funds, mutual funds and equity securities are reported at fair value
based on published unit values or quoted market prices in active markets as of the reporting date.
Investments in debt securities are measured using quoted market prices where available. If quoted
market prices for debt securities are not available, the fair value is determined using an income
approach valuation technique that considers, among other things, rates currently observed inpublicly traded markets for debt with similar terms to companies with comparable credit risk, theissuer’s credit spread, and illiquidity by sector and maturity. All investments are managed by outside
investment advisors subject to the review, approval, and control by the Archdiocese. Suchvaluations involve assumptions and methods that are reviewed by the Archdiocese.
Purchases and sales of securities are reflected on a trade-date basis. Gains and losses on sales of
securities are determined based on average cost and are recorded in the statements of activities in
the period in which the securities are sold. Dividends and interest are recognized as earned.
Contributed investments are valued at their fair market value on the date received.
Investment securities, in general, are exposed to various risks, such as interest rate, credit andoverall market volatility. Due to the level of risk associated with certain investment securities, it isreasonably possible that changes in the values of investment securities will occur in the near term
13

Greek Orthodox Archdiocese of America
Notes to Financial Statements

and such changes could materially affect the amounts reported in the accompanying financial
statements.
Fair Value Measurements
Professional standards establish a framework for measuring fair value and expand the disclosuresabout fair value measurements. U.S. GAAP defines fair value as the price that would be received tosell an asset or paid to transfer a liability in an orderly transaction between market participants at
the measurement date in a principal or most advantageous market. Fair value is a market-based
measurement that is determined based on inputs, which refer broadly to assumptions that market
participants use in pricing assets or liabilities. These inputs can be readily observable, market
corroborated, or unobservable. U.S. GAAP established a fair value hierarchy, which prioritizes the
inputs to valuation techniques used to measure fair value in three broad levels. The standard
requires that assets and liabilities be classified in their entirety based on the level of input that issignificant to the fair value measurement. Assessing the significance of a particular input may
require judgment considering factors specific to the asset or liability and may affect the valuationof the asset or liability and their placement within the fair value hierarchy. The Archdioceseclassifies fair value balances based on the fair value hierarchy defined by U.S. GAAP, as follows:
Level 1 – This level consists of quoted prices that are available in active markets for identical assets
or liabilities as of the measurement date.
Level 2 – This level consists of pricing inputs other than quoted prices in active markets, which areeither directly or indirectly observable as of the measurement date. The nature of these securities
includes investments for which quoted prices are available but traded less frequently andinvestments that are fair valued using other securities, the parameters of which can be directly
observed. Bonds securities are priced by the Archdiocese’s custodian using nationally recognizedpricing services. Bond securities generally do not trade on a daily basis. For these securities, thepricing services prepare estimates of fair value measurements using their proprietary pricing
applications, which include available relevant market information, benchmark curves,
benchmarking of similar securities, sector groupings and matrix pricing. These investments areclassified as Level 2.
Level 3 – This level consists of securities that have little to no pricing observability as of themeasurement date. 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. Also included in Level 3 are investments measured using a
net asset value (NAV) per share, or its equivalent, that can never be redeemed at NAV at thestatement of financial position date or in the near term or for which redemption at NAV is uncertain
due to lockup periods or other investment restrictions.
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 Archdiocese. The Archdiocese
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 thehierarchy is based upon the pricing transparency of the instrument and does not necessarily
correspond to the Archdiocese’s perceived risk of that instrument.
14

Greek Orthodox Archdiocese of America
Notes to Financial Statements

Risks and Uncertainties
The Archdiocese’s investments consist of a variety of investment securities and investment funds.
Investments in general are exposed to various risks, such as interest rate, credit, and overall market
volatility risk. Due to the level of risk associated with certain investments, it is reasonably possiblethat changes in the value of the Archdiocese’s investments will occur in the near term and that suchchanges could materially affect the amounts reported in the accompanying financial statements.
Inventory
Inventory is valued at the lower of cost or market. Such inventory consists primarily of religious
books, publications and other program-related literature and materials. The Archdiocese recorded
a provision for slow-moving inventory of $150,000 during 2019, which is presented under education
expenses in the accompanying statement of activities for the year ended December 31, 2019. No
provision was required for the year ended December 31, 2020. There were no inventory write-offs
during 2020 and 2019. As of December 31, 2020 and 2019, the reserve for slow-moving inventory
amounted to $325,000, which is presented as a deduction from inventories in the accompanying
statements of financial position.
Receivables
Due to the uncertainty surrounding collection, management provides an allowance for doubtful
accounts based on the consideration of the type of receivable, responsible party, the known
financial condition of the respective party, historical collection patterns and comparative aging.
The allowance is maintained at a level management considers adequate to provide for subsequentadjustments and potential uncollectible accounts. The estimates are reviewed periodically and, if
the financial condition of a party changes significantly, management will evaluate the recoverabilityof any receivables from that organization and write off any amounts that are no longer considered
to be recoverable. Any payments subsequently collected on such receivables are recorded as incomein the period received. The allowance for doubtful accounts at December 31, 2020 and 2019
amounted to $38,000.
Fixed Assets, Net
Land, buildings, building improvements and equipment are recorded at cost or, if donated, at fairmarket value, at the date of the gift, less accumulated depreciation. The Archdiocese maintains acapitalization threshold of $3,500 for each land, buildings and equipment item with a useful life of
more than one year. Depreciation is calculated on a straight-line basis.
The estimated useful lives of the assets are as follows:
Building and improvements
Furniture, fixtures and equipment
Website development cost
Fine arts

40 years
3 to 10 years
5 years
3 years

15

Greek Orthodox Archdiocese of America
Notes to Financial Statements

Impairment of Fixed Assets
The Archdiocese reviews fixed assets for impairment whenever events or changes in businesscircumstances indicate that the carrying amount of an asset may not be fully recoverable. An
impairment loss would be recognized when the future cash flows from the use of the asset are lessthan the carrying amount of that asset. As of December 31, 2020 and 2019, there were no suchlosses.
Due to/from Other Related Entities
Amounts due to/from other related entities represent amounts owed to and/or expenses paid on
behalf of Archdiocesan affiliates. Loans received from related entities are separately presented asloans payable.
Beneficial Interest in Split-Interest Trusts Held by Others
The Archdiocese is the beneficiary of perpetual trusts whereby the donors contributed assets tothird-party trustees. The trustees distribute investment income annually to the Archdiocese and theother named beneficiaries in the percentages specified in the trust documents. These distributions
are reported as an increase in net assets in the statements of activities based on the existence orabsence of donor-imposed restrictions.
The Archdiocese values the trusts at their fair values, which are represented by the percentage
ownership of the assets in the trusts. Changes in the fair value of the trusts’ assets are reported in
the statements of activities within net assets with donor restrictions.
Funds Held for Others
The Archdiocese holds funds, consisting of cash and investments, on behalf of other parties. As thesefunds can be used or directed by the Archdiocese only in accordance with the other parties’
direction, a liability for funds held for others is recorded. The assets and the related liabilities arestated at fair value in the accompanying statements of financial position. Additions, disbursements,
investment income (loss) and any unrealized gain or loss on the investments are recognized asincreases or decreases in assets and liability and are not reported in the accompanying statementsof activities.
Total Commitment
Total commitment represents the annual financial assessment to every parish in the Archdiocese tohelp support the mission of the Church. The unpaid total commitment at the end of the year isrecorded as a receivable, net of an allowance for doubtful accounts, if required.
The total commitment is determined at the biennial Clergy-Laity Congress, which amounted toapproximately $22,660,000 for 2021 and 2020.
Contributions and Grants
The Archdiocese records contributions of cash and other assets when an unconditional promise togive such assets is received from a donor. Contributions are recorded at the fair value of the assets
16

Greek Orthodox Archdiocese of America
Notes to Financial Statements

received and are reported as an increase in net assets without donor restrictions unless the use of
the related assets is limited by donor-imposed restrictions.
Contributions not expected to be received within one year are recognized as support with donor
restrictions and are discounted using a risk-adjusted discount rate assigned in the year the pledge
originates.
The Archdiocese reports gifts of property and equipment as unrestricted support unless explicit
donor stipulations specify how the donated assets must be used. Gifts of long-lived assets with
explicit restrictions that specify how the assets are to be used and gifts of cash or other assets thatmust be used to acquire assets are reported as with donor restrictions. Absent explicit donor
stipulations about how long such assets must be maintained, the Archdiocese reports expirations ofdonor restrictions when the donated or acquired long-lived assets are placed in service.
Donated goods and services used by the Archdiocese are recorded as in-kind contributions at theirestimated fair value at the date of receipt. During 2020, the Archdiocese received on a pro bonobasis legal services with an estimated value of $30,346. During 2019, the Archdiocese received on a
pro bono basis consulting services and legal services with estimated values totaling $80,493 and$250,088, respectively. These amounts are presented in the accompanying statements of activities
as in-kind contribution revenue without donor restrictions and in-kind program expenses (see inkind professional services in Note 3).
On April 16, 2020, the Archdiocese obtained a loan with a principal amount of $2,487,323 from the
Small Business Administration (SBA) pursuant to the provisions of the Paycheck Protection Program
under the Coronavirus Aid, Relief and Economic Security Act (the CARES Act) (the PPP Loan). The
proceeds of the loan included $122,743 for two related entities. The loan bears interest at 1% a year
and is payable in 24 monthly installments, inclusive of interest, commencing November 16, 2020.
All or a portion of the loan may be forgiven under the loan forgiveness provisions of the CARES Act.
The Archdiocese utilized all of the PPP loan proceeds on qualifying payroll costs and maintained therequired full-time-equivalent employees for loan forgiveness. On October 16, 2020, the Archdiocese
applied with the SBA for forgiveness on the loan amount received of $2,487,323 and it has not madeany loan and interest payments as of December 31, 2020. Unaccrued interest is not material.
The Archdiocese has accounted for the loan as a conditional grant and believes that it has met theconditions for revenue recognition. Accordingly, the PPP loan is presented as government grant, netof the portion remitted to the two related entities, on the statement of activities for the year ended
December 31, 2020.
The Archdiocese continues to receive contributions from the capital campaign launched in priors onbehalf of and for the rebuilding of St. Nicholas. These contributions are accounted for as agency
transactions and are remitted to Friends of St. Nicholas, Inc. Any unremitted funds are reported in
the statements of financial position as cash held for St. Nicholas with a corresponding liability (seeNote 7).
Contributions that are restricted by donors in perpetuity are recorded as permanently restrictedwithin net assets with donor restrictions. The income is used for operating purposes when
expenditures satisfy the donors' restrictions and such amounts are appropriated for expenditure by
the Archdiocese. Income amounts that exceed related expenditures during a fiscal period remain as
net assets with donor restrictions.
17

Greek Orthodox Archdiocese of America
Notes to Financial Statements

Investment return on contributions with donor restrictions are recorded in the net assets without
donor restrictions class unless the investment return is explicitly restricted by the donor to be used
for the same purpose as the contribution.
Revenue Recognition
The Archdiocese adopted Accounting Standards Codification (ASC) Topic 606, Revenue fromContracts with Customers (ASC 606), on January 1, 2019. The Archdiocese recognizes revenue whencontrol of the promised goods and services is transferred to outside parties in an amount that reflects
the consideration that the Archdiocese expects to be entitled to in exchange for goods and thoseservices. 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 arisingfrom contracts with customers. The Archdiocese has identified program revenues, which consist ofregistration fees, exhibit fees, sales of religious books, Greek education books, publications andprogram-related materials, and advertising as categories subject to the adoption of ASC 606.
Revenue from contracts with customers is comprised of the following:
2019

2020

December 31,
Program revenue:
Registration fees for Ionian Village summer camp andrelated programs
Sale of religious books, Greek education books,
publications and program-related materials
Services and advertising fees

Clergy-Laity Congress program revenue:
Registration fees$

66,154$

1,986,080
778,622
142,363

552,035
62,418$680,607$2,907,065$

89,925$-$89,925$-

Registration and exhibit fees are recognized as revenue in the period that the events and related
programs are held and the performance obligations are met. The Ionian Village summer camp andrelated programs are held annually. The Clergy-Laity Congress is held every two years.
Revenue from the sales of religious books, Greek education books, publications and program-relatedmaterials is recognized at the point of sale. Returns and discounts are minimal and not material;
accordingly, these are recognized as reduction from sales at the time the returns or discounts areallowed.
Revenue for services, which consists mainly of hosting and related services by the Archdiocese’s
Internet Ministries, is recognized during the periods the services are performed. The Orthodox
Observer provided advertising space to various businesses and organizations. Fees received arerecorded as revenue at the time of publication. The Archdiocese discontinued the publication of
the print version of the Orthodox Observer in 2020.

18

Greek Orthodox Archdiocese of America
Notes to Financial Statements

Functional Allocation of Expenses
Costs related to the various programs and activities of the Archdiocese have been summarized on afunctional basis in the accompanying statements of activities and the schedule of functional
expenses in Note 3. These costs can generally be directly identified with the program service towhich they relate and are charged accordingly. Indirect expenses have been allocated amongst the
programs and supporting services benefited on the basis of the number of employees per department
performing more than one function and/or supporting services.
Income Taxes
The Archdiocese follows U.S. GAAP, which requires 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. U.S. GAAP provides that the tax effects from an uncertain tax position can only
be recognized in the financial statements if the position is “more-likely-than-not” to be sustained
if the position were to be challenged by a taxing authority. The assessment of the tax position isbased solely on the technical merits of the position, without regard to the likelihood that the tax
position may be challenged.
The Archdiocese is incorporated in the state of New York and is exempt from federal income tax
under IRC section 501(c)(3), though it is subject to tax on income unrelated to its exempt purpose,
unless that income is otherwise excluded by the IRC. The Archdiocese has no significant unrelated
income associated with its exempt purpose. The Archdiocese has processes presently in place toensure the maintenance of its tax-exempt status, to identify and report unrelated income, todetermine its filing and tax obligations in jurisdictions for which nexus was established, and to
identify and evaluate other matters that may be considered tax positions. The Archdiocese has
determined that there are no material uncertain tax positions that require recognition or disclosurein the financial statements.
Recently Adopted Accounting Pronouncements
Not-for-Profit Entities (Topic 958)
In June 2018, the Financial Accounting Standards Board (FASB) issued ASU 2018-08, Clarifying the
Scope and the Accounting Guidance for Contributions Received and Contributions Made, which
requires organizations to determine whether a contribution is conditional based on whether anagreement 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 areferenced document) includes both, the recipient is not entitled to the transferred assets (or afuture transfer of assets) until it has overcome the barriers in the agreement. This ASU is required
to be adopted for the year ended December 31, 2020 and has been implemented for all periods
presented. There was no significant impact on the financial statements.
New Accounting Pronouncements Issued but Not Yet Adopted
Leases (Topic 842)
In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), to increase transparency andcomparability among foundations by recognizing lease assets and lease liabilities on the statementsof financial position and disclosing key information about leasing arrangements for lessees and19

Greek Orthodox Archdiocese of America
Notes to Financial Statements

lessors. The new standard applies a right-of-use (ROU) model that requires, for all leases with alease term of more than 12 months, an asset representing its ROU, the underlying asset for the leaseterm and a liability to make lease payments to be recorded. The FASB issued ASU 2020-05, which
deferred the effective date for the Archdiocese until its fiscal year beginning after
December 15, 2021, with early adoption permitted. Management believes that this ASU will not havea material impact on its financial statements.
Concentration of Credit Risk
Financial instruments that potentially subject the Archdiocese to concentrations of credit andmarket risk consist principally of cash and cash equivalents and investments on deposit withfinancial institutions, which, from time to time, may exceed the Federal Deposit Insurance
Corporation limit. These financial institutions have strong credit ratings and management does notbelieve that a significant risk of loss due to the failure of a financial institution used by theArchdiocese is likely.
Use of Estimates
In preparing financial statements in conformity with U.S GAAP, management is required to makeestimates and assumptions that affect the reported amounts of assets and liabilities and thedisclosure of contingent assets and liabilities at the date of the financial statements, and revenues
and expenses during the reporting period. Actual results could differ from those estimates.
Reclassifications
Certain 2019 balances have been reclassified to conform with the 2020 financial presentation.

The remainder of this page intentionally left blank.

20

Greek Orthodox Archdiocese of America
Notes to Financial Statements

3. Functional Expenses
The expenses of the Archdiocese by function and natural expense classification are presented below:
Year ended December 31, 2020
Program Services
ExpenseSalaries, wages and benefits (excluding contributions topension plan)
Contributions to pension plan
Professional fees and other outside services, excluding
in-kind services
In-kind professional services
Grants to Ecumenical Patriarchate
Grants to Hellenic College
Scholarships, grants and other contributions andassistanceTransportation, travel, meals and related expenses
Facilities expense
Insurance
Metropolises share of total commitments
Books, videos and other educational and religious
materials
Postage and delivery services
Dues, fees and subscriptions
Equipment and supplies
Interest
Other expenses
Total Functional Expenses

Metropolis
Ministries

Education$$

1,426,447
158,388$

5,188,475
327,915

Orthodoxyin the World$

453,179
54,018Communications$

772,504
108,846

Supporting Services
Clergy-Laity
Congress

Community$

1,169,324
151,328$-

COVID-19
Relief$-Other Disaster
Relief$-General and
Administrative

Total
$

9,009,929
800,495$

3,118,505
852,005

Total
Program andSupporting
Services

Total$

3,118,505
852,005$

12,128,434
1,652,500

183,9714,638,000

3,105-

131,837
1,533,000-

323,209-93,606-25,239---760,967
1,533,000
4,638,000

1,107,934
30,346-

1,107,93
30,346-

1,868,901
30,346
1,533,000
4,638,000

236,000
92,822
274,522
13,677
-

1,072
1,002
747,330
753,203

293,416
27,317
5,889
-

8,060
12,357-

961,778
67,98961,247-

5,592-

1,083,283-

50,000-2,624,477
202,852
361,294
761,007853,203

197,804
124,569
522,441
723,618-

197,804
124,569
522,441
723,618-

2,822,281
327,421883,735
1,484,625
853,203

25,07142,302
15,49257,65739,270138
1,819(4,401)
39,22941,0892,841
32,122
10,3907,481

171,704
70,424
12,936
9,363
4,309

4,636
266
886
31,403
6,522

2,500
6
7,033
41,502
-

236
2,272
3,606
-

-

245,138
117,894
70,741
149,520
96,811

69,247
15,05050,439355,935
265,717
82,262

69,247
15,05050,439355,935
265,717
82,262

314,385
132,944
121,180
505,455
265,717
179,073

7,203,619$

7,158,887$

2,592,579$

1,493,712$

2,548,985

21$

88,149$1,089,397$

50,000$22,225,328$

7,515,872$

7,515,872$

29,741,200

Greek Orthodox Archdiocese of America
Notes to Financial Statements

Year ended December 31, 2019
Program Services

ExpenseSalaries, wages and benefits (excluding
contributions to pension plan)
Contributions to pension plan
Professional fees and other outside services,
excluding in-kind services
In-kind professional services
Grants to Ecumenical Patriarchate
Grants to Hellenic College
Contribution to St. Nicholas
Scholarships, grants and other contributions
and assistanceTransportation, travel, meals and related
expenses
Facilities expense
Insurance
Metropolises share of total commitments
Books, videos and other educational andreligious materials
Postage and delivery services
Dues, fees and subscriptions
Equipment and supplies
Interest
Other expenses$

Total Functional Expenses
Less benefit to donor costs deducted fromenthronement and luncheon contributions
Total Functional Expenses, as presented instatement of activities

Metropolis
Ministries

Education$

1,636,295
181,335$

5,112,493
311,155

Orthodoxyin the World$

419,304
51,184

Communications$

1,017,624
130,567

Community$

1,490,222
182,603

Supporting Services

St. Nicholas
Greek Orthodox
Church andNational Shrine(St. Nicholas)

Enthronement:
Contribution to
St. Nicholas

Enthronement:
Expenses$$$

95,005---Clergy-Laity
Congress$-

Other Disaster
Relief
$

-

Total
$

9,770,943
856,844

General and
Administrative$

2,428,459
761,519

$

Total

Total
Program andSupporting
Services

2,428,459
761,519$ 12,199,402
1,618,363

299,3421,800,000--

162,851
1,259,000-

87,932-

108,701--

260,31322,005---680,831
1,259,000
1,800,000
260,313

1,289,493
330,581-

1,289,493
330,581-1,970,324
330,581
1,259,000
1,800,000
260,313578,36530

193,718-

348,864

-

-

-

-

126,000

1,246,977

238,541

238,541

1,485,518

1,459,454
320,407
4,853
-

282
1,756
647,243
773,476

138,898
6,078
-

4,838
15,064-

98,59541,846
-

5,683
47
-

-

616,157
1,153
-

1,048
-

-

2,324,955
386,351
652,096
773,476

297,888
559,051
333,467-

297,888
559,051
333,467-

2,622,843
945,402985,563
773,476

478,352
63,35948,674
176,755
89,948

2,670
1,542
5,079
30,91090,993
1,133
28,651
8,643
5,624

311,722
312,792
12,118
8,678
8,738

2,410
2,394
1,086
12,487
8,393

615
58
3,719

-

118,470749
990
126,163
3,985

214
97
-

-

1,001,947
383,926
93,158337,863
151,317

1,282
25,38566,071
301,822309,889
56,657

1,282
25,38566,071
301,822309,889
56,657

1,003,229
409,311
159,229
639,685
309,889
207,974

7,137,139

6,886,636

2,366,077

1,910,073

2,297,601

105,127

260,313889,672

1,359

126,000

21,979,997

7,000,105

7,000,105

28,980,102

-

-

-

-

-

-

-

(405,293)--(405,293)--(405,293)

126,000$ 21,574,704

7,000,105$ 28,574,809

7,137,139$

6,886,636$

2,366,077$

1,910,073$

2,297,601$

105,12722$

260,313$484,379

$

1,359

$

$

7,000,105$

Greek Orthodox Archdiocese of America
Notes to Financial Statements

4. Liquidity and Available Resources
The following reflects the Archdiocese’s financial assets as of December 31, 2020 and 2019, reducedby amounts not available for general use because of contractual or donor-imposed restrictions.
Amounts not available include amounts set aside for long-term investing in the board-designatedfund (see Note 2) that could be drawn upon if the governing body of the Archdiocese approves that
action.

Financial assets*
Less amounts unavailable for general expenditures in thefollowing year:
Contractual or donor-imposed restrictions:
Restricted by donors with purpose restrictions
Required by donors to be held in perpetuity**$

Board-designated for the Cathedral Fund:
Balance, end of year
Amount appropriated in the following year
Amount Unavailable in the Following Year
Financial Assets Available to Meet Cash Needs for
General Expenditures in the Following Year
*

2019

2020

December 31,$

21,030,344$

16,095,161(13,429,589)(2,503,946)(11,882,312)(2,250,124)(435,388)-(1,026,790)
600,000(435,388)(426,790)

4,661,421$

1,535,935

Financial assets are total assets less a) inventory, net, b) due from St. Nicholas Greek Orthodox Church
and National Shrine, c) due from other related entities, d) fixed assets, net, e) beneficial interest in
split-interest trusts, and f) investments held for others.

** Excludes beneficial interest in split-interest arrangements.

The Archdiocese is substantially supported by its parishes throughout the United States. It also
derives revenues from ministries, registries and sales of books, materials and other publications. In
addition, the Archdiocese receives donor contributions with or without donor restrictions. Because
a donor’s restriction requires resources to be used in a particular manner or in a future period, theArchdiocese must maintain sufficient resources to meet those responsibilities to its donors.
The Archdiocese continues to put in place policies and procedures to ensure that the cost control
measures implemented in recent years are maintained. As a result, the Archdiocese’s liquidity
continues to improve, enabling it to undertake financial commitments in addition to meeting its
general expenditures, liabilities and other obligations as they became due. The Archdiocese’s
financial goals through its budgetary processes include establishing a fund that may be drawn uponin the event of financial need or an immediate liquidity need. Additional liquidity is also available
through its unused line of credit (see Note 8).
The proceeds received under the government loan programs (see Note 8) contributed substantiallyto the increase in financial assets available to meet cash needs for general expenditures in thefollowing year.

23

Greek Orthodox Archdiocese of America
Notes to Financial Statements

5. Investments, at Fair Value
Investments, by fair value hierarchy, consisted of the following:
December 31, 2020
Level 1
Money market funds
Common stock
Mutual funds
Corporate bonds
Municipal bonds
Fixed-income annuity

Level 2

Level 3Total$

3,051,263
2,915,278
4,270,472-$

72,637
1,861,950-$

87,074$

3,051,263
2,915,278
4,270,472
72,637
1,861,950
87,074$

10,237,013$

1,934,587$

87,074$

12,258,674

December 31, 2019
Level 1
Money market funds
Treasury bills
Common stock
Mutual funds
Corporate bonds
Municipal bonds
Fixed-income annuity

Level 2

Level 3

Total$

2,223,531
338,522
3,610,312
2,503,097-$

317,027
2,158,475-$

86,223$2,223,531
338,522
3,610,312
2,503,097
317,027
2,158,475
86,223$

8,675,462$

2,475,502$

86,223$

11,237,187

The following table summarizes the changes in the Archdiocese’s Level 3 investments:
2019

2020

December 31,
Balance, beginning of year
Net appreciation in fair value of investments$

86,223851$

84,911
1,312

Balance, end of year$

87,074$86,223The Archdiocese had no financial assets or financial liabilities that were measured at fair value on
a non-recurring basis during the years ended December 31, 2020 and 2019. There were no transfers
between levels during the years ended December 31, 2020 and 2019.
Investment income consisted of the following:
2019

2020

December 31,
Interest and dividends, net
Net appreciation in fair value of investments

24$

239,522
1,031,221$

188,166
1,481,506$

1,270,743$

1,669,672

Greek Orthodox Archdiocese of America
Notes to Financial Statements

6. Fixed Assets, Net
Fixed assets, net, consisted of the following:
2019

2020

December 31,
Land
Building and improvements
Furniture, fixtures and equipment
Fine arts$

Less: accumulated depreciation$

349,223
7,570,201
784,164
10,185$431,223
7,507,576
730,632
10,185

8,713,773

8,679,616(3,704,440)(3,429,026)

5,009,333$

5,250,590

Depreciation expense amounted to $275,414 and $248,546 for the years ended December 31, 2020
and 2019, respectively.

7. Investments Held for Others and Related Liability
Investments held for others, by fair value hierarchy, consisted of the following:
December 31, 2020
Level 1
Money market funds
Treasury bills
Common stock
Mutual funds
Municipal bonds$

Level 2

Level 3140,922439,800
2,082,866
509,866-$

183,499$-$ 3,173,454$

183,499

$

-

Total
$

140,922439,800
2,082,866
509,866
183,499
3,356,953

Cash held for the account of: St. Nicholas Greek
Orthodox Church and National Shrine
Jordanian Community

10,558
7,865$ 3,375,376

December 31, 2019
Level 1
Money market funds
Treasury bills
Common stock
Mutual funds
Corporate bonds
Municipal bonds$

Level 2

Level 3

542,473
99,174
1,589,247
492,851-$

31,243112,744$-$ 2,723,745$

143,987$-

Cash held for the account of St. Nicholas Greek
Orthodox Church and National Shrine

Total
$

542,473
99,174
1,589,247
492,851
31,243112,7442,867,732
62,943$ 2,930,675

25

Greek Orthodox Archdiocese of America
Notes to Financial Statements

The activity in the liability funds held for others is presented in the following tables.
December 31, 2020
Balance,January 1,
2020
Archbishop Iakovos Library Trust
St. Basil Spyropoulos FundSpyridon Trust IM
St. Nicholas Greek Orthodox
Church and National Shrine
St. George Jordanian Community$ 1,195,345
1,163,296
509,091

Net
Investment
IncomeAdditions$-

62,943-

3,989,455
7,865$ 2,930,675$ 3,997,320$$

Payments

Balance,
December 31,
2020(109,000)(26)(80,000)$ 1,326,420
1,532,532
498,001-(4,041,840)-

10,558
7,865

678,247$ 4,230,866$ 3,375,376

Payments

Balance,
December 31,
2019(50,000)(108,416)$ 1,195,345
1,163,296
509,091(251,294)

62,943(409,710)$ 2,930,675

240,075
369,262
68,910$December 31, 2019
Balance,January 1,
2019
Archbishop Iakovos Library Trust
St. Basil Spyropoulos FundSpyridon Trust IM
St. Nicholas Greek Orthodox
Church and National Shrine$ 1,042,469
922,661
508,637

Additions$

75,492$ 2,549,259

Net
Investment
Income83-$

202,876
240,552
108,870

238,745$

238,828$$552,298$

The activity in cash held for St. Nicholas consists of contributions that the Archdiocese continues toreceive from the capital campaign launched in prior years by the Archdiocese on behalf of and forrebuilding St. Nicholas. These contributions are remitted to Friends of St. Nicholas, Inc.

8. Credit Facilities
Long-term debt consisted of the following:
2019

2020

December 31,
Economic Injury Disaster Loan
Mortgage loan payable, net$

150,000
4,958,399$

5,102,912$

5,108,399$

5,102,912

Economic Injury Disaster Loan
On November 5, 2020, the Archdiocese obtained a loan with a principal amount of $150,000 fromthe Small Business Administration under its COVID-19 Economic Injury Disaster Loan facility (the EIDLoan). The EID Loan is payable in monthly in the amount of $641, covering principal and interest at
2.75% a year, over a period of 30 years commencing 24 months from the date of the promissory noteon the loan. The EID Loan is collateralized by substantially all of the Archdiocese’s properties now
owned or to be owned in the future.

26

Greek Orthodox Archdiocese of America
Notes to Financial Statements

Mortgage Loan Payable
On June 28, 2018, the Archdiocese obtained a mortgage loan from a local bank (the Lender) in theamount of $5.5 million (the Mortgage Loan). The Mortgage Loan bears interest at 4.25% a year andis payable in monthly installments of $34,243 commencing August 1, 2018 through June 1, 2023.
The Mortgage Loan is based on a 20-year amortization period and a lump-sum payment of the loanbalance on July 1, 2023 (the Maturity Date), together with any accrued interest. The Maturity Date
may be extended to July 1, 2028 at the option of the Archdiocese (the Extension Option). If theArchdiocese exercises the Extension Option, the Archdiocese will make the 60th monthly paymentof $34,243 on July 1, 2023. Thereafter, the remaining balance of the Mortgage Loan shall be payable
in monthly installments, commencing August 1, 2023, to be determined based on a 15-year
amortization period at an interest rate calculated based on the five-year Federal Home Loan Bankof New York (FHLBNY), which in no event shall be lower than 4.25% a year. The balance of theMortgage Loan on July 1, 2028, together with any accrued interest, shall be due in one lump sumon that date.
Costs incurred in connection with the acquisition of the Mortgage Loan totaled $212,076 and arebeing amortized over the term of the Mortgage Loan using the interest method.
The Mortgage Loan and the line of credit described below are collateralized primarily by theproperties of the Archdiocese located on 79th Street, New York, New York, including improvements
thereon and other chattels as defined in the mortgage and security agreement dated June 28, 2018.
The carrying balances of the Mortgage Loan and related unamortized financing costs are as follows:
December 31, 2020
Loan Principal
Balance, January 1, 2020
Principal payments
Amortization of financing costs

Financing Costs

Net$

5,247,024(187,891)-$(144,112)
43,378$5,102,912(187,891)
43,378$5,059,133$(100,734)$

4,958,399

December 31, 2019
Loan Principal
Balance, January 1, 2019
Principal payments
Amortization of financing costs

Financing Costs

Net$

5,427,615(180,591)-$(202,816)
58,704$5,224,799(180,591)
58,704$

5,247,024$(144,112)$

5,102,912

27

Greek Orthodox Archdiocese of America
Notes to Financial Statements

The annual debt service on the Mortgage Loan for the next five years and thereafter are as follows:
Based on the maturity date of July 1, 2023:
Year ending December 31,
Principal
2021
2022
2023

Interest

Total$

196,785
205,434
4,656,914$

214,133
205,484
115,227$

410,918
410,918
4,772,141$

5,059,133$

534,844$5,593,977

Based on the optional extended maturity date of July 1, 2028, at an interest rate of 4.25% a year:
Year ending December 31,
Principal
2021
2022
2023
2024
2025
ThereafterInterest

Total$

196,785
205,434
214,464
223,352
233,706
3,985,392$

214,133
205,484
196,454
187,566
177,212409,194$410,918
410,918
410,918
410,918
410,918
4,394,586$

5,059,133$

1,390,043$

6,449,176

Line of Credit
On June 28, 2018, the Lender of the Mortgage Loan also extended the Archdiocese a variable rate
revolving line of credit (LOC) in the amount $3.0 million. The LOC was renewed in 2019 in theamount of $5.0 million with a maturity date of January 1, 2021 (the Renewal LOC). There were noloans outstanding under the Renewal LOC at December 31, 2020.
The maturity date of the Renewal LOC was extended and further renewed effective
February 1, 2021, to mature on January 1, 2022 (the 2nd Renewal LOC). Loans drawn on the 2nd
Renewal LOC are subject to a variable interest rate based on changes in an independent index,
which is the highest published prime rate in the money tables of the Wall Street Journal. The rate
is currently at 4.50% a year on a 360-day year. The business loan agreement with the Lender requiresthat the Archdiocese maintain a debt service coverage ratio of 1.25 that will be tested annuallycommencing the year ended December 31, 2020. The Archdiocese meets this requirement.
Interest expense on the LOC and mortgage loans, including amortization of financing costs, during2020 and 2019 totaled $265,717 and $309,889, respectively, which are included in general andadministrative expenses in the accompanying statements of activities. Accrued interest at
December 31, 2020 and 2019 amounted to $18,515 and $19,203, respectively, which is included inaccounts payable and accrued expenses in the accompanying statements of financial position.

28

Greek Orthodox Archdiocese of America
Notes to Financial Statements

9. Employee Benefit Plans
Pension Plans
The Archdiocese sponsors a defined benefit pension plan (Pension Plan) covering substantially all
full-time lay employees and clergy. Retirement benefits are based on years of service and theemployees’ compensation during those years of service. Pension Plan assets are held by third-party
investment managers and are invested in various marketable debt, equity and money market
accounts. An independent actuary retained by the Archdiocese recommends minimum funding
standards. Participants may elect to make contributions in an amount equal to 3.5%, 5.0% or,effective January 1, 2018, 6.5% of earnings in accordance with the rules established by theArchdiocese Benefits Committee.
The Pension Plan is a church plan and is, therefore, exempt from the provisions of the Employee
Retirement Income Security Act of 1974 (ERISA), as amended. Based on the audited financial
statements of the Pension Plan as of December 31, 2019, the Pension Plan’s net assets available forbenefits approximated $66,427,000 and the actuarial present value of its accumulated plan benefits
approximated $111,276,000. Due to the nature of the Pension Plan, covering the clergy and lay
employees of the Archdiocese, parishes and the institutions of the Archdiocese, it is not practicable
to determine the extent to which the assets of the Plan cover the actuarially computed value ofaccumulated plan benefits vested benefits for the Archdiocese, on a standalone basis. Because thePension Plan is accounted for as a multi-employer plan, it is only subject to certain minimum
reporting requirements. For further information, refer to the audited financial statements of thePension Plan for the year ended December 31, 2019, the latest date for which audited financial
information is available.
Pension expense allocated to the Archdiocese for the years ended December 31, 2020 and 2019
amounted to approximately $652,500 and $618,400, respectively, and is allocated among programs
and general and administrative expenses in the accompanying statements of activities. During 2020
and 2019, the Archdiocese contributed to the Pension Plan an additional amount of $1,000,000 eachyear, which is included in general and administrative expenses in the accompanying statements ofactivities. There were no amounts due to the Pension Plan as of December 31, 2020 and 2019.
The Archdiocese also sponsors a noncontributory 403(b) defined contribution plan for all employees.
For the years ended December 31, 2020 and 2019, there were no employer contributions to the403(b) defined contribution plan.
Other Retirement Benefits
The Archdiocese also provides supplemental retirement benefits to certain hierarchs outside of theplan described above. A liability is calculated only for the hierarchs who have made known thatthey will avail themselves of retirement benefits. As of December 31, 2020 and 2019, theArchdiocese has recorded liabilities of $2,377,563 and $2,407,169, respectively, which arepresented as other postretirement benefits obligations in the accompanying statements of financial
position. Of these amounts, $368,000 and $548,761 represent the provisions for 2020 and 2019,respectively, which are included in general and administrative expense in the accompanying
statements of activities and schedules of functional expenses in Note 3.

29

Greek Orthodox Archdiocese of America
Notes to Financial Statements

10. Net Assets with Donor Restrictions
Restricted net assets with donor restrictions consisted of the following:
2019

2020

December 31,
With purpose restrictions:
Taylor Scholarship Fund
Katina Malta Scholarship Fund
Gioles Scholarship FundJames J. Tembelis Scholarship
St. John Chrysostom Fund
Paleologos Scholarship Fund
Trakatellis Fellowship Fund
Irene Ladas Scholarship for Seminaries
Clergy Initiative Project
Other scholarships and educational programs
Disaster and emergency relief assistance
Orthodoxy in the World
Community services
Various other programs$

3,010,918
1,931,052
243,941
869,512
256,783
1,167,085
171,102
21,900705,853
2,103,877
653,884
534,078
1,694,582
65,022$

2,408,905
1,499,766
219,707
708,524
87,702
848,883
351,004
21,9001,236,268
1,149,403
662,466
674,998
1,826,454
186,332

With Donor Restrictions—Purpose Restricted

13,429,589

11,882,312

Original donor-restricted endowment gift amounts andamounts required to be retained by donors in perpetuity:
Taylor Scholarship FundJames J. Tembelis Scholarship Fund*
Beneficial interest in George Marinos perpetual trust
Beneficial interest in Demetrios Anagnos charitable trust
Gioles Scholarship Fund*
Trakatellis Fellowship Fund
Katina Malta Scholarship Fund*
Vlisidis Scholarship Fund
Paleologos Scholarship Fund*
Other scholarships and educational programs

1,000,000
521,869
413,762
249,042
262,216450,000
116,051
39,3692,152
112,289

1,000,000
519,939
379,353
239,478
258,991
203,600
113,879
39,402
2,024
112,289

With Donor Restrictions—in Perpetuity

3,166,750

2,868,955

Total with Donor Restrictions$

16,596,339$

14,751,267* Pursuant to the donor gift instrument, 90% of net income from the fund is to be distributed for individual
scholarships and the remaining 10% of the annual net income shall become permanently restricted andadded to the corpus of the scholarship fund.

30

Greek Orthodox Archdiocese of America
Notes to Financial Statements

11. Net Assets Released from Restrictions
Net assets with donor restrictions were released from restrictions by either incurring expenses orsatisfying the restricted purpose, as follows:
2019

2020

December 31,
Taylor Scholarship Fund
Katina Malta Scholarship Fund
Gioles Scholarship Fund
St. John Chrysostom Fund
Paleologos Scholarship Fund
Trakatellis Fellowship Fund
Irene Ladas Scholarship for Seminaries
Other scholarships and educational programs
Orthodoxy in the World
Community services
Clergy Initiative Project
Clergy-Laity Congress
Disaster relief
COVID-19 relief
Enthronement
Other programs$

110,000
48,00013,00035,0002,787,807
856,236
716,056
531,972
50,0001,083,283
2,500
222,568$

116,12147,00015,00010,50035,0005,000
44,350737,815
690,939
334,451
504,465
1,359
126,000
540,639
79,002$

6,456,422$

3,287,641

12. Endowment
The Archdiocese endowment funds consist of a board-designated fund and donor-restricted funds.
Board-Designated Fund (the Cathedral Fund)
The Cathedral Fund was designated to be used, upon approval, for the benefit of the Greek Orthodox
Archdiocesan Cathedral of the Holy Trinity and Cathedral related projects. The following tablesummarizes the activity in the Cathedral Fund:
2019

2020
Balance, beginning of year
Investment return:Appropriations
Interest and dividends, net
Net depreciation in fair value of investments$

Balance, end of year$

1,026,790$(238,416)
38,974(14,559)(600,000)
15,513(6,915)435,388

1,240,791$

1,026,790

Donor-Restricted Endowment Funds
The Archdiocese’s donor-restricted (gifted) endowment consists of five individuals’ funds
established for a variety of purposes, principally in support of the Archdiocese’s mission. It excludes
beneficial interests in split-interest trusts held by others, which are required to be held by third31

Greek Orthodox Archdiocese of America
Notes to Financial Statements

party trustees. Net assets associated with endowment funds are classified and reported based on
the existence or absence of donor-imposed restrictions.
On September 17, 2010, New York state passed the New York State Prudent Management ofInstitutional Funds Act (NYPMIFA), its version of the Uniform Prudent Management of Institutional
Funds Act (UPMIFA). All not-for-profit organizations formed in New York must apply this law. The
Archdiocese classifies donor-restricted endowment funds as net assets with donor restrictions,
unless otherwise stipulated by the donor: (a) the original value of gifts donated to the permanentendowment, (b) the original value of subsequent gifts to the permanent endowment and (c) income
accumulations to the permanent endowment made in accordance with the direction of theapplicable donor gift.
The remaining portion of the donor-restricted endowment fund not classified as held in perpetuity
is classified as net assets with purpose and or time-restriction, until such amounts are appropriatedfor expenditure by the Archdiocese in a manner consistent with the uses, benefits, purposes andduration for which the endowment is established and the standard of prudence prescribed by
NYPMIFA.
In accordance with NYPMIFA, the Archdiocese considers the following factors in making adetermination 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; the possible effects of inflation and deflation; other resources of theArchdiocese; and the investment policy of the Archdiocese.
The Archdiocese has adopted investment and spending policies for endowment assets that support
the objective of providing a sustainable and increasing level of endowment income distribution to
support the Archdiocese’s activities while seeking to maintain the purchasing power of theendowment assets. The Archdiocese’s primary investment objective is to maximize total return
within reasonable and prudent levels of risk while maintaining sufficient liquidity to meet
disbursement needs and ensure preservation of capital.
To satisfy its long-term rate-of-return objectives, the Archdiocese relies on a total return strategy,
the objective of which is to achieve a return consisting of a combination of current income andcapital appreciation, without regard to an emphasis on either, recognizing that changes in market
conditions and interest rates will result in varying strategies in an attempt to optimize results. The
endowment portfolio is diversified among various net asset classes and strategies to help reducerisk.

The remainder of this page intentionally left blank.

32

Greek Orthodox Archdiocese of America
Notes to Financial Statements

The following represents a detail of the donor-restricted endowment net asset composition,
excluding third-party split-interest trusts:
December 31, 2020
With Purpose
Restrictions
Composition of Endowment Net Assets
by Type of Fund
Donor-restricted endowment funds

To Be Held in
Perpetuity

Total

$

4,640,923$

2,503,946$

7,144,869

Endowment Net Assets, beginning of year
Contributions received
Transferred from net assets without restriction
Transferred from temporarily restricted
net assets
Investment return:Interest and dividends, net
Net appreciation (depreciation)
Appropriation of endowment assets
for expenditure$

3,877,009-$

2,250,124
61,163$

6,127,133
61,163

Endowment Net Assets, end of year$

Change in Endowment Net Assets-

179,902179,90272,953
813,961

22,957(10,200)

95,910803,761(123,000)-(123,000)

4,640,923$

2,503,946$

7,144,869

December 31, 2019
With Purpose
Restrictions
Composition of Endowment Net Assets
by Type of Fund
Donor-restricted endowment funds

To Be Held in
Perpetuity

Total

$

3,877,009$

2,250,124$

6,127,133

Endowment Net Assets, beginning of year
Contributions received
Transferred from temporarily restricted
net assets
Investment return:Interest and dividends, net
Net appreciation (depreciation)
Appropriation of endowment assets
for expenditure$

2,621,858
1,279$

2,038,083-$

4,659,941
1,279

Endowment Net Assets, end of year$

Change in Endowment Net Assets

33-

200,000

200,000

58,554
1,326,439

12,666(625)

71,2201,325,814(131,121)-(131,121)

3,877,009$

2,250,124$

6,127,133

Greek Orthodox Archdiocese of America
Notes to Financial Statements

13. Related-Party Transactions
Due from (to) Related Entities
Amounts due from (to) related entities were comprised of the following:
2019

2020

December 31,
Due from St. Nicholas Greek Orthodox Church andNational Shrine (a)Due from other related entities (b)Due to another related entity (b)$2,963,896
172,579-$

2,963,896
83,042(38,056)(a) Through December 31, 2019, the Archdiocese advanced $2,963,896 to St. Nicholas Greek Orthodox
Church and National Shrine for construction costs (the Construction Advances). Under a governanceand operating agreement dated December 19, 2019, the Archdiocese and the Friends of St. Nicholas,
Inc. agreed to cooperate in good faith to establish, no sooner than one year and no later than
18 months from the date of the agreement, a mutually agreeable plan and timetable for the
repayment of the Construction Advances. Such repayment plan and timetable shall consider the levelof success experienced by the Friends of St. Nicholas, Inc. during the one-year period following thedate of the agreement in satisfying the funding needs of the construction project.
(b) The Archdiocese regularly advances the salaries and benefits of certain employees of certain related
entities and is reimbursed for such amounts in the following year. Receivables for such advances
totaled $172,579 and $83,042 at December 31, 2020 and 2019, respectively. One entity had prepaid
its salary and benefits reimbursements in prior years, which amounted to $38,056 at
December 31, 2019.

Grants to Related Entities
The Archdiocese provided grants of $4,638,000 and $1,800,000 in 2020 and 2019, respectively, tosupport the operations of Hellenic College. Such amounts are included as part of education expensein the accompanying statements of activities. The 2020 grants included $2,388,000 that was funded
by a grant from the Republic of Greece. In 2019, the Archdiocesan Council of the Archdiocese passed
a resolution to provide a commitment of up to $3.5 million in financial support to Hellenic College
for up to five years beginning with the fiscal year ending June 30, 2021. The financial support isintended to provide assistance in covering operating deficits of Hellenic College and reducing
Hellenic College’s debt, including endowment fund borrowings.
The Archdiocese provided grants of $1,533,000 and $1,259,000 in 2020 and 2019, respectively, tosupport the operations of the Ecumenical Patriarchate. Such amounts are included as part of
Orthodoxy in the World expense in the accompanying statements of activities.
Contributions from Related Entities
The Archdiocese received $1,275,758 and $789,100 of grants from Leadership 100 during 2020 and
2019, respectively. During 2019, the Archdiocese also received a grant of $111,000 from FAITH. Such
grants were recorded as increases to net assets with donor restrictions to benefit specific programsof the Archdiocese as stipulated by the governing boards of the respective affiliates.
Additionally, certain contributions received by the Archdiocese are from members of management
and the Archdiocesan Council.
34

Greek Orthodox Archdiocese of America
Notes to Financial Statements

14. Contingencies
The Archdiocese, in the normal course of its operations, is a party to various legal proceedings andcomplaints, some of which are covered by insurance. Certain of these legal proceedings are in theirearly stages and the availability of insurance is yet to be confirmed so that the potential impact ofthese claims or contingencies on the Archdiocese’s financial position, changes in net assets or cash
flows cannot be determined.
In March 2020, the World Health Organization declared the outbreak of novel coronavirus disease(COVID-19) as a pandemic. The Archdiocese has adjusted many aspects of its operations andactivities to protect its parishioners, employees, vendors and the public in general, as well as comply
with applicable governmental regulations of the localities wherein its parishes and offices are
situated. It continues to monitor the situation closely and it is possible that it will implement further
measures in the future. In light of the uncertainty as to the severity and duration of the pandemic,
the impact on the Archdiocese’s financial position and changes in its net assets and cash flows is
uncertain at this time.

15. Subsequent Events
The Archdiocese has performed subsequent events procedures through May 20, 2021, which is thedate the financial statements were available to be issued. There were no subsequent events
requiring adjustment to, or disclosures to, the financial statements, except as follows:
Second Paycheck Protection Program Loan
On January 29, 2021, the Archdiocese obtained a loan with a principal amount of $1,998,000 fromthe Small Business Administration pursuant to the provisions of the Paycheck Protection Program
under the Economic Aid to Hard-Hit Small Businesses, Nonprofits and Venues Act (the Economic Aid
Act). The loan bears interest at 1% a year, matures 60 months from the date of the loan and ispayable in installment, together with interest, in accordance with the provisions of the Economic
Aid Act (the Act). Under the Act, the loan may be forgiven based on meeting certain spending andwork force head count requirements.
Renewal of Line of Credit
As described in Note 8 the line of credit was further renewed on February 1, 2021 to mature on
January 1, 2022.
Loan Guaranty
On April 1, 2021, the Archdiocese entered into a guaranty agreement (the Guaranty) with The
Hellenic Eastern Orthodox Church of New York, also known as The Greek Orthodox Archdiocesan
Cathedral of the Holy Trinity (the Cathedral or Borrower), and a local bank in conjunction with a$1,750,000 loan being made to the Cathedral as the Archdiocese holds title to the Cathedral’s
property. The Guaranty terminates when all of the Borrower’s Obligations under the applicable loan
security agreements have been satisfied.

35