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National Rosacea Society [NRS]
an editorial by Brady Barrows

Rosacea 101 is a comprehensive, 373 page book, covering the conventional and alternative treatments for rosacea and covers basic rosacea 101 knowledge for rosacea newbies. It is a must have book for those who need in one book what they need to know about rosacea. in Appendix F, National Rosacea Society, page 173, you can read an updated version of what I wrote below which is the basis for Appendix F. My new book is a comprehensive basic rosacea 101 knowledge for rosacea newbies who want to learn about the conventional and alternative treatments for rosacea. There is also a chapter on Rosacea Research and Non Profit Organizations on page 72. My editorial on the truth.

NRS

There are few non profit organizations for rosacea that are as popular as the National Rosacea Society is among rosaceans which has done some good to help rosaceans. For instance, they have a Rosacea Hotline (1-888-NO-BLUSH), a web site, email, publications for rosaceans, a Newsletter, Information for Physicians, and last but not least some research. Probably one of the best things the NRS has done is to classify rosacea which has become the standard promoted to dermatologists, even if there is at least one critic of this classification system. And who cannot appreciate the prestigious medical advisory board that oversees recommendations on what rosacea research the NRS should fund?

The NRS has received in donations from 1998 thru 2010 $9,795,077. Over this same period (1998 thru 2010) a total of $6,136,606 of these donations the NRS has spent on two independent contractors, Glendale Communcations Group, Inc., of Barrington, Illoinois which is owned by Sam Huff and another independent contractor, Park Mailing and Fulfillment, Inc., which is an affiliate of Glendale.(see footnote 1 for Years 1998, 1999, 2000 regarding Sam Huff and Associates). For more info on Sam Huff, Glendale and Park click here.

Sam Huff is also the Director of the NRS. That means that the NRS is spending over 62% of the funds of the NRS on two private contractors which the director of the NRS owns! That means for every dollar received in donations 62 cents of that dollar ends up in the hands of two private contractors which are owned by the director of the NRS.

How can a rosacean find out how the NRS spends its funds?

Report Form 990

What most rosaceans do not know (as well as the general public) is that since the NRS is recognized by the Internal Revenue Service (IRS) of the U.S. government as a non profit organization. Form 990, the report sent to the IRS by non profit organizations is available to the public for inspection. That means anyone can find out how the NRS (or any public non profit organization) spends donated money. Form 990 does not report where the money comes from since this is not required by the law. It is required by law to state whether the funds come from the general public or from private groups but not the identity of either. The report also must state any salaries and their amounts, as well as the top five independent contractors used and the amounts.

For the years 1998 thru 2010 the NRS has received in donations a total of $9,795,077 and spent a total of $1,003,696 on rosacea research. That means that about 10% of total donations was spent on research. That means that of every dollar donated to the NRS about ten cents is spent on research and the rest is used to run the organization and provide the services mentioned above in the first paragraph.

For three years (2005 - 2007) Form 990 has reported the salaries of Glendale and Park employees and the total for both these years was reported to be $690,149. Three employees for these two corporations sit on he board of directors of the NRS. In 2008 Form 990EZ did not report any salaries for Glendale or Park. The Form 990 for 2009 again reports the salaries of Glendale and Park Employees which totaled $183,491.

Form 990 is public knowledge since the NRS is a non-profit organization. You can request a copy of this report from the NRS and if you do not receive a copy of this report within thirty days the NRS may be in violation of the law. However, if you read below there is also a way to obtain this report on the internet and for your convenience the Form 990 pdfs are provided below to download yourself and check the figures below for yourself by scrolling down and click on the report.

It is public knowledge that the NRS is funded by grants from pharmaceutical companies such as:

Candela Corporation, Galderma Laboratories, Intendis, Stiefel Laboratories, Inc., Berlix and other pharmaceutical companies have been known to donate to the NRS. Read the discloser 'partnerships' of gold, silver and bronze industry partners.

This is a breakdown of the report from 1998 to the latest available:

Year
 
Form 990, line 12, Total Revenue
Line 17, Total Expenses
Total Spent on Rosacea Research Grants
Schedule A, Part II - Compensation Paid to the Five highest paid independent contractors for professional services
Salaries
Part V-A - Line 75C, Statement 4
Salaries6
2010 pdf
$617,974
$650,145
$60,725
$398,344
see note12
2009 pdf
$605,469
$633,576
$69,725
$449,82410
see note11
2008 pdf
$765,817
$783,966
$87,500
$518,7688
see note9
2007 pdf
$824,986
$839,358
$100,000
$529,9647
$227,163
2006 pdf
$778,885
$762,997
$99,3003
$477,6565
$209,230
2005 pdf
$632,292
$683,191
$97,5103
$253,756
2004 Acrobat
$555,770
$642,816
$85,3073
$365,3984
2003 pdf
$843,616
$790,970
$101,1583
$430,4274
2002 pdf
$825,207
$735,045
$76,3323
$442,5054
2001 pdf
$248,554
$451,894
$72,2303
$288,6264
2000 pdf
$954,663
$1,052,218
$94,5643
$744,0751
1999 pdf
$992,923
$795,600
$43,2272
$581,4051
1998 pdf
$1,148,375
$830,856
$16,1182
$516,1561
Total  
$9,795,077
$9,652,632
$1,003,696
$6,136,606

Footnotes

1 Years 1998, 1999, 2000 Form 990, Schedule A, Part II, paid to independent contractor:
Sam Huff & Associates, Inc.
800 S. NW Hwy, #200
Barrington, IL 60010 for "Public Relations"

2 1998 and 1999 Form 990, Part III, Line A, Statement 4, Page 3, Statement of Program Service Accomplishments, Grant Program

3 Years 2000, 2001, 2002, 2003 Form 990, Part II, Line 22, Grants and Allocations

4 Years 2001, 2002, 2003, 2004, 2005 Form 990, Schedule A, Part II, paid to independent contractor:
Glendale Communications Group, Inc.
800 S. Northwest Highway #200
Barrington, IL 60010 for "Communications Services"

5 2006 Form 990, Schedule A, Part II, paid to independent contractors:
Glendale Cmmunications Group, Inc.
800 S. Northwest Highway #200
Barrington, IL 60010 for Communication Services - $38,7912
and
Park Mailing and Fulfillment, Inc.
120 Lagaschuulte St
Barrington, IL 60010for Mailing and Fufullment - $89,744

6 Federal Footnotes Statement 4 reports that Park is an affiliate of Glendale and also reports the salaries of Glendale and Park employees:

Name Glendale & Park Position 2005 Salary 2006 Salary 2007 Salary
Samuel B. Huff  President $202,948 $152,388 $177,862
Datha J Olney Technical Support  8,221 $16,726 $1,925
Mary F. Erhard Medical Editor (only Glendale) 42,587 $40,116 $47,376
Total Salaries $253,756 $209,230 $227,163

7 2007 Form 990 includes three contractors included in the Compensation of the 5 Highest Paid for Professional Services: $420,540 to Glendale, $109,424 to Park, and $65,272 to DG Printing. DG Printing does not appear to be in any way connected to any of the board members of the NRS.

8 2008 Form 990EZ Part VI includes Park Mailing and Fulfillment, Inc. along with Glendale Communications Group, Inc.

9 Salaries for Glendale and Park employees are not included in 2008 Form 990 EZ

10 Salaries for Glendale and Park employees are included in Schedule R (Form 990) 2009 Part V, Transactions with Related Organizations

11 Schedule O (Form 990) 2009 Page 2 reports the salaries of Glendale and Park employees:

Name Glendale or Park Position 2009 Salary
Samuel B. Huff  President
(includes Park Postion)
$136,495
Datha J Olney Technical Support
Glendale
 $417
Mary F. Erhard Medical Editor Glendale $46,579
Total Salaries $183,491

12 Schedule O (Form 990) 2010 Page 2 reports the salaries of Glendale and Park employees:

Name Glendale or Park Position 2010 Salary
Samuel B. Huff  President
(includes Park Postion)
$115,583
Mary F. Erhard Medical Editor Glendale $32,552
Total Salaries $148,104

Download NRS Form 990 public report

Fiscal Year 2010 - pdf
Fiscal Year 2009 - pdf
Fiscal Year 2008 - pdf
Fiscal Year 2007 - pdf
Fiscal Year 2006 - pdf
Fiscal Year 2005 - pdf
Fiscal Year 2004 - Acrobat
Fiscal Year 2003   pdf
Fiscal Year 2002   pdf
Fiscal Year 2001   pdf
Fiscal Year 2000   pdf
Fiscal Year 1999   pdf
Fiscal Year 1998   pdf
You will need to download Adobe Acrobat Reader to read or print Form 990 and you can download FOR FREE by clicking
pdf

I have written the IRS a letter about this which you can read by clicking here. As I point out in my letter to the IRS that it is odd that board of directors receive no salary at all, yet the director receives over $3.7 million through owning corporations that are independent contractors hired by the NRS for over nine years by owning the corporation that receives 60% of the NRS funds as in independent contractor seems to be somewhat irregular. The Form 990 for 2005 a new item has been reported which was never done in any of the previous reports to the IRS. In Part V-A - Line 75C, Statement 4, it says, and I quote: "Three of the seven directors of the National Rsacea Society (NRS), Samuel B. Huff, Datha J. Olney and Mary F. Erhard, are employed by Glendale Communications Grup (Glendale).  Glendale provides the personnel and infrastructure, and carries certain outside expenses, needed to support and implement the program services and administration of the NRS, and also provides services to other clients unrelated to the NRS.  The postiions of these NRS directors with Glendale and their total salaries from Glendale in 2005 are as follows: 

Because of their relationship, NRS directors associated with Glendale abstain from all board of director votes affecting Glendale, and only the NRS directors not associated with Glendale (The "Independent NRS Directors") review and approve activities and budgets affecting Glendale.  Each year, the Independent NRS Directors review the continuation of the NRS's relationship with Glendale, and must approve retention of Glendale by the NRS annually.  In additin, at least one of the Independent NRS Directors reviews monthly invoices from Glendale to the NRS.  Glendale's fees to the NRS are determined on the same basis as for other Glendale Clients, and the Independent NRS Directors are provided with competitive cost estimates for specific projects undertaken by Glendale on behalf of the NRS." [Source Form 990 - Year 2005]

I encourage others to do their own homework and read the Form 990s that are available and see for yourself what I have found. Correct me if I am wrong. From the above you can see what per cent of the total money received goes to rosacea research, which about fifty per cent or more goes to Glendale Communciations owned by Samuel B. Huff, President of the NRS. Way to go Sam! This gives new meaning to the business, 'Sam's Club.' So if you donate to the NRS, of every dollar received usually less than ten cents will be spent on research while ninty cents goes to the organization's expenses. What is the solution to this? Most rosaceans could care less and do not want to do anything about this. I have tried to do something and you can too. Just click here if you want to help. If you want to read more details you should simply request Form 990 yourself and the NRS will mail it to you which is part of their expenses. Here is an interesting Newsletter which contains an article, 'NRS - Rosaceans Deserve Better' which you can read by clicking here.

This statement appears on the NRS website:

"The National Rosacea Society is a nonprofit organization that is tax exempt pursuant to Section 501(c)(3) of the Internal Revenue Code. Only 16 percent of our budget covers administration and fundraising, leaving the remaining 84 percent for program services including research grants, public awareness, public education and medical scientific education. Contributors may designate the use of their donations for specific programs, such as research grants, by noting so on their check." [source] What do you think about the above statement?

Glendale Communications Group, Inc.

Rosacea Community Newsletter Vol. 1

 

 
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