oversight

Park Service: Agency Needs to Better Manage the Increasing Role of Nonprofit Partners

Published by the Government Accountability Office on 2003-07-18.

Below is a raw (and likely hideous) rendition of the original report. (PDF)

             United States General Accounting Office

GAO          Report to the Chairman, Subcommittee
             on National Parks, Recreation, and Public
             Lands, Committee on Resources, House
             of Representatives

July 2003
             PARK SERVICE
             Agency Needs to
             Better Manage the
             Increasing Role of
             Nonprofit Partners




GAO-03-585
             a
                                                 July 2003


                                                 PARK SERVICE

                                                 Agency Needs to Better Manage the
Highlights of GAO-03-585, a report to the        Increasing Role of Nonprofit Partners
Chairman, Subcommittee on National
Parks, Recreation, and Public Lands,
Committee on Resources, House of
Representatives




Two types of nonprofit                           Cooperating associations and friends groups help support 347 (90 percent)
organizations, cooperating                       of our national parks. Their contributions totaled over $200 million from
associations and friends groups,                 1997-2001 and were an important supplement to federal appropriations.
provide substantial support to the               These organizations also have additional assets totaling about $200 million,
national parks. GAO was asked to                 which could become available for future donation to the parks (see table).
report on (1) the number of park
units supported by nonprofits and
the amount of their contributions,               The primary revenue-generating activities of cooperating associations are
(2) the revenue-generating                       selling educational materials in park bookstores and providing educational
activities of nonprofits and how                 services to park visitors. In contrast, friends groups generally rely on
they compete with park                           donations and membership dues to generate revenue. Accordingly, only
concessioners, (3) factors that                  cooperating associations directly compete with concessioners or other local
contribute to competition between                for-profit businesses. In some parks, the sales and services provided by
nonprofits and for-profit                        cooperating associations have caused conflicts between park management,
concessioners, and (4) how park                  the associations, and concessioners.
managers are held accountable for
meeting goals for nonprofit                      There are three major factors that contribute to conflicts between
financial support.
                                                 associations and concessioners: (1) Park Service policies encourage an
                                                 expanding reliance on nonprofit organizations; (2) the broad discretion local
                                                 park managers have in deciding the role and scope of association activities
GAO recommends that the National                 has permitted expanded sales and service activities by cooperating
Park Service (1) require that parks              associations; and (3) the agency has a financial incentive to use cooperating
offering commercial sales and                    associations because they provide a higher return on sales revenue. To
services develop Commercial                      minimize conflicts and better ensure that park managers consistently apply
Services Plans, (2) ensure that                  agency policies in making decisions about whether and how to use
Commercial Services Plans
                                                 cooperating associations and concessioners, Park Service guidelines call for
(a) explain the roles of
concessioners and nonprofits in                  individual park managers to develop “Commercial Services Plans.” However,
providing visitor services and (b)               these plans are rarely developed or used.
provide rationale for decisions
specifying that nonprofits will                  In addition, even though one of the agency’s key goals is to increase its
provide new visitor services, (3)                reliance on partnerships with nonprofit organizations, the Park Service does
develop and maintain an accurate                 not have a process for holding local park managers accountable for meeting
list of nonprofit groups serving the             contribution goals.
parks, and (4) require nonprofits to
report key financial information.                Cooperating Associations’ and Friends Groups’ Contributions by Fiscal Year

The Association of Partners For
                                                  Dollars in millions
Public Lands, representing
                                                  Year                                Cooperating associations                            Friends groups              Total
nonprofits, and the National Park
Hospitality Association,                          1997                                                             $19.0                                  $7.7        $26.7
representing concessioners, agreed                1998                                                               22.6                                 15.0         37.5
with GAO’s recommendations. The                   1999                                                               30.8                                 13.7         44.5
Department of the Interior did not                2000                                                               35.8                                 16.9         52.7
provide comments on this report.
                                                  2001                                                               30.1                                 17.3         47.4
www.gao.gov/cgi-bin/getrpt?GAO-03-585.            Total                                                           $138.3                                 $70.6       $208.8
To view the full report, including the scope     Source: National Park Service, GAO, Urban Institute, and Guidestar. com. Web site (Philanthropic Research, Inc.).
and methodology, click on the link above.
                                                 Notes: Totals may not add due to rounding. Friends group figures represent the two-thirds of groups
For more information, contact Barry T. Hill at
                                                 that responded to a GAO survey, including all groups with revenues over $25,000.
(202) 512-9775 or hillbt@gao.gov.
Contents



Letter                                                                                                       1
                              Results in Brief                                                               3
                              Background                                                                     5
                              Parks’ Reliance on Nonprofits Is Substantial and Increasing                    7
                              Nonprofit Organizations Operate in Most Parks                                  7
                              Revenue-Generating Activities of Cooperating Associations
                                Sometimes Compete with Those of Park Concessioners                          16
                              Several Factors Contribute to Competition and Potential Conflicts
                                between Associations and Concessioners                                      29
                              Park Service Cannot Hold Local Park Managers Accountable
                                for Meeting Contribution Goals                                              40
                              Conclusions                                                                   42
                              Recommendations for Executive Action                                          43
                              Agency Comments and Our Evaluation                                            44


Appendixes
               Appendix I:    Scope and Methodology                                                         46
               Appendix II:   Statutory Provisions Relating to Cooperating Associations
                              and Friends Group Activities at National Parks                                49
              Appendix III:   National Parks Affiliated with Cooperating
                              Associations, Friends Groups, and/
                              or Merchandise Concessioners                                                  51
              Appendix IV:    Cooperating Association Revenue, Donations, and
                              Net Assets (1997-2001)                                                        62
               Appendix V:    Friends Group Revenue, Donations, and Net Assets
                              (1997-2001)                                                                   67
              Appendix VI:    Parks with General Management and Commercial
                              Services Plans                                                                75
             Appendix VII:    Comments from the Association of Partners for Public
                              Lands                                                                         87
                              GAO Comments                                                                  91
             Appendix VIII:   Comments from the National Park Hospitality Association                       93
                              GAO Comments                                                                  97


Tables                        Table 1: Parks Served by Nonprofit Organizations                               8
                              Table 2: Number of Nonprofit Organizations Serving
                                       National Parks                                                        8



                              Page i                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
          Contents




          Table 3: Parks Served by Five Cooperating Associations                         9
          Table 4: Comparison of Average Recreational Visitation and
                    Operating Budgets in Parks Served by Five Largest Versus
                    All Other Cooperating Associations                                  10
          Table 5: Cooperating Associations’ and Friends Groups’ Revenue
                    and Contributions by Fiscal Year                                    11
          Table 6: Incorporation Dates at Six Parks                                     13
          Table 7: Examples of Nonfinancial Assistance Provided by
                    Nonprofit Organizations                                             15
          Table 8: Cooperating Association Revenue Growth from Visitor
                    Convenience Items and Other Revenue Sources                         23
          Table 9: Parks Served by Associations and Merchandise
                    Concessioners                                                       23
          Table 10: Cooperating Associations’ Revenue Increases from Fiscal
                    Year 1997–2001                                                      30
          Table 11: Cooperating Associations’ and Merchandise
                    Concessioners’ Contributions and Revenues (Fiscal Year
                    1997-2001)                                                          37
          Table 12: Top 10 Cooperating Associations by Average Annual
                    Revenue (1997-2001)                                                 41


Figures   Figure 1: Cooperating Association Revenue Sources—Fiscal
                    Year 2001                                                           17
          Figure 2: Figure 2: Map of Charleston Harbor Area and Fort Sumter
                    National Monument                                                   21
          Figure 3: Lookout Studio (Concession Store) on
                    Grand Canyon Rim                                                    34
          Figure 4: Kolb Studio (Association Store) on Grand Canyon Rim                 35




          Page ii               GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Contents




Abbreviations

EIS          Environmental Impact Statement
GAO          General Accounting Office
MRFY         Most Recent Fiscal Year
NM           National Monument
NMP          National Military Park
NP           National Park


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Page iii                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
A
United States General Accounting Office
Washington, D.C. 20548



                                    July 18, 2003                                                                               Leter




                                    The Honorable George Radanovich
                                    Chairman, Subcommittee on National Parks,
                                     Recreation, and Public Lands
                                    Committee on Resources
                                    House of Representatives

                                    Dear Mr. Chairman:

                                    The needs of America’s parks are not met with federal dollars alone.
                                    Although the national parks are primarily a public responsibility, parks
                                    have benefited for many years from other sources of support. In particular,
                                    individuals, corporations, and nonprofit organizations have donated time
                                    and money to enhance the U.S. National Park Service’s mission of
                                    promoting and protecting the parks.

                                    Because federal funding for the Park Service has not kept pace with such
                                    needs as visitor services and maintenance requirements,1 the Congress and
                                    the Park Service are seeking expanded funding from other sources. One
                                    such source, the Recreational Fee Demonstration Program,2 allows parks
                                    to charge and retain visitor recreation fees. Similarly, the Park Service is
                                    attempting to increase the support it receives from nonprofit organizations
                                    and for-profit businesses—concessioners—that provide merchandise and
                                    services to park visitors under Park Service contracts. To help accomplish
                                    this objective, the Park Service has established agencywide and park-
                                    specific plans and goals that encourage local park managers to work with
                                    these organizations to increase the donations and services provided by
                                    nonprofits as well as the fees paid to the Park Service by concessioners.
                                    Some concessioners are concerned that these park initiatives are resulting
                                    in nonprofit organizations expanding into sales and services that have
                                    traditionally been provided by concessioners.


                                    1
                                     U.S. General Accounting Office, National Parks: Difficult Choices Need to Be Made About
                                    the Future of the Parks, GAO/RCED-95-238 (Washington, D.C.: Aug. 30, 1995); and U.S.
                                    General Accounting Office, National Park Service: Efforts to Identify and Manage the
                                    Maintenance Backlog, GAO/RCED-98-143 (Washington, D.C.: May 14, 1998); and The
                                    National Parks Business Plan Initiative, a partnership of the National Parks Conservation
                                    Association and the National Park Service, 2001.
                                    2
                                     The Congress established the recreational fee demonstration program in 1996. It has
                                    provided over $900 million in additional revenue to parks since that time.




                                    Page 1                      GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
In this context, you asked us several questions about the scope and roles of
the two most common types of nonprofit organizations that work with the
parks: cooperating associations and friends groups. Cooperating
associations support parks by providing educational services to park
visitors largely through sales and information assistance at bookstores.
Friends groups support park operations by raising funds for specific park
projects such as construction and maintenance projects. In addition, both
cooperating associations and friends groups provide volunteer services
such as maintaining trails and painting historic structures. As agreed with
your office, we are reporting on (1) the number of national park units
supported by cooperating associations and friends groups and the amount
of contributions these groups made to the parks, (2) the revenue-
generating activities of cooperating associations and friends groups and the
extent to which these activities compete with park concessioners, (3)
factors that contribute to competition and potential conflicts between
nonprofits and concessioners, and (4) how local park managers are held
accountable for meeting agency goals for nonprofit financial contributions.
In addition, you asked that we cite the specific statutory authorities for
nonprofit operations in national parks.

Our work involved the development of an original database that is based in
part on a GAO survey of friends group organizations working with parks
throughout the system. We obtained financial information on about two-
thirds of the friends groups queried, including all of those with annual
revenue over $25,000 that were required to file tax reports. Among other
things, the database we compiled includes the name, location, park
affiliation, and contribution amounts of every cooperating association and
each friends group that responded. To help determine if, and how,
nonprofit organizations compete with for-profit businesses serving park
visitors, we visited six parks that have partnerships with such
organizations.3 These parks were selected based on the scale of their
nonprofit and concession operations and, in two cases, because of known
concessioner concerns about the activities of nonprofit organizations in
those parks. Details of the scope and methodology of our review are
presented in appendix I.




The six parks we visited were the Badlands National Park, South Dakota; Fort Sumter National
3

Monument, South Carolina; Gettysburg National Military Park, Pennsylvania; Grand Canyon
National Park, Arizona; Yellowstone National Park, Wyoming; and Yosemite National Park,
California.




Page 2                       GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Results in Brief   Cooperating associations and friends groups directly support 347
                   (90 percent) of the 385 units that comprise the national parks system. From
                   1997 through 2001, these organizations have contributed over $200 million
                   to affiliated parks for educational purposes. These nonprofits also donated
                   substantial amounts of volunteer services for trail maintenance, staffing
                   visitor information kiosks, cleaning campgrounds, and other similar
                   activities. Over these 5 years, financial contributions from cooperating
                   associations totaled about $138 million, increasing from about $19 million
                   in 1997 to $36 million in 2000, but dropping to $30 million in 2001. Although
                   not inclusive of all friends groups, the financial information we obtained
                   from tax data and groups responding to our survey shows contributions
                   totaling about $71 million over 5 years, steadily increasing from about
                   $8 million in 1997 to over $17 million in 2001. In addition to the
                   contributions already made to parks, cooperating associations and friends
                   groups hold some assets in reserve. These additional assets, totaling about
                   $200 million in 2001, include endowments, investments, and property and
                   are potentially available for future donations to the parks.

                   Of the two types of nonprofit organizations, only cooperating associations
                   sell merchandise or engage in other revenue-generating activities within
                   parks that compete with park concessioners. At 84 of the 323 parks where
                   they are present, cooperating associations sell merchandise or provide
                   services that are the same as or similar to those offered by concessioners.
                   In contrast, friends groups do not compete for business with concessioners
                   because they generally do not raise funds by selling merchandise within
                   parks or by providing visitor services but by soliciting donations from
                   individuals or organizations. At 3 of the parks we visited—the Grand
                   Canyon National Park (NP), Gettysburg National Military Park (NMP), and
                   Fort Sumter National Monument (NM)—competition between the
                   cooperating associations and concessioners or other local businesses led
                   to conflicts. For example, Grand Canyon NP officials allowed the local
                   cooperating association to sell visitor convenience items like film and
                   disposable cameras. In letters to the park management, park concessioners
                   asserted that permitting these sales is inconsistent with Park Service
                   guidelines because cooperating association sales are supposed to be
                   limited to educational or interpretational merchandise. The concessioners
                   believe that this situation provides for unfair competition from a nonprofit
                   organization. Competition between cooperating associations and
                   concessioners was not a problem at the other three parks we visited. In
                   fact, at two parks these organizations collaborated to meet visitor needs.




                   Page 3                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
There are three factors that contribute to competition and occasional
conflicts between cooperating associations and concessioners. First, the
Park Service’s goal of increasing the amount of financial contributions from
cooperating associations provides for inherent conflicts between the
associations and concessioners. To increase contributions, cooperating
associations must increase the revenue they generate from park visitors,
just as concessioners do. One way of doing this is for cooperating
associations to expand their sales and services into areas traditionally
supported by concessioners. Indeed, at 3 of the 6 parks we visited this is
already occurring. Second, the Park Service gives local park managers
broad discretion to decide whether nonprofit organizations and
concessioners are permitted to operate at a park. Park managers also
decide the kind of sales and services that are permitted by cooperating
associations and concessioners. Sometimes the rationale for these
decisions is not clear and this contributes to conflicts among park
management, cooperating associations, and concessioners. Third, there are
financial incentives for park managers to use cooperating associations
instead of concessioners in instances where either one could provide
needed services. For example, at the Grand Canyon, the park received
about 36 percent of cooperating association gross revenue compared to
about 4 percent of gross revenue from concessioners. To minimize
conflicts and better assure that park managers consistently apply agency
policies in making decisions about whether and how to use cooperating
associations and concessioners, Park Service guidelines call for individual
park managers to develop “commercial services plans.” Among other
things, these plans are intended to reduce conflicts by clarifying their
respective roles and responsibilities within a park. However, only 3 of the
84 parks where both cooperating associations and concessioners sell
merchandise have developed commercial services plans. According to Park
Service officials, these plans are rarely used because resource limitations
within the agency have relegated them to a low priority.

The Park Service does not have a process for holding local park managers
accountable for meeting nonprofit contribution goals. Even though one of
the agency’s key goals is to increase its reliance on partnerships with
nonprofit organizations, the Park Service does not collect the information
needed to measure either the agency’s or local park managers’ reliance on
these groups or to establish contribution goals and measure progress in
meeting these goals. For cooperating associations, the Park Service
collects only aggregate information on the amount of contributions. Even
though individual parks have specific goals for increasing the amount of
contributions made by cooperating associations, the Park Service does not



Page 4                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
             consistently or systematically track contributions on a park-by-park basis.
             For friends groups, the Park Service does not collect any information on
             the amount of contributions made to parks—either in the aggregate or on a
             park-by-park basis. In fact, the Park Service does not maintain an accurate,
             up-to-date list of friends groups currently working with the agency or the
             specific parks that they serve. Lacking this basic management information,
             the agency is unable to establish meaningful goals for local park managers
             and cannot monitor friends group contributions on an agencywide or park-
             by-park basis. Park Service and nonprofit officials expressed concern that
             collecting and reporting detailed information on the amount of nonprofit
             financial contributions made to parks could lead to offsetting reductions in
             congressional appropriations made available to the agency.

             This report contains recommendations directed at minimizing conflicts
             between the Park Service, concessioners, and cooperating associations as
             well as for improving the agency’s accountability in managing nonprofit
             contributions. The Association of Partners For Public Lands, representing
             park cooperating associations and friends groups, and the National Park
             Hospitality Association, which represents park concessioners, agreed with
             our recommendations. We also requested comments from the Department
             of the Interior but none were provided.



Background   The National Park System is a network of natural, historic, and cultural
             treasures. The system’s 385 park units include 56 areas that are formally
             titled “national parks,” as well as many other designations.4 As the
             network’s federal manager, the National Park Service is charged with
             conserving “the scenery and the natural and historic objects and the wild
             life therein and to provide for the enjoyment of the same in such manner
             and by such means as will leave them unimpaired for the enjoyment of
             future generations.” In short, the agency has the difficult task of balancing
             resource protection with providing for appropriate public use, including
             meeting the needs of nearly 300 million park visitors each year—
             responsibilities that entail considerable management and financial
             challenges.


             4
              National park system units include national parks, as well as numerous military parks, national
             monuments, national historic sites, recreation areas, and many other designations. In this report we
             use the terms parks or national parks to encompass all units of the national park system regardless of
             designation. Several units were added to the park system since 2001; these units were not included
             in our study.




             Page 5                         GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
To manage this diverse system, the 385 park units are arranged within
seven regional offices. These offices offer administrative or specialized
support not always available at the local parks. However, the true hub of
the system’s management is the park superintendent. Superintendents
oversee each park unit, and the agency relies heavily on their judgment for
most decisions affecting local park operations. For financial support, the
Park Service depends primarily upon federal funding. The agency’s fiscal
2003 annual appropriation totaled over $2 billion, supplemented by
financial support from admission and user fees collected at park sites,
franchise fees paid by over 600 park concessioners, and private donations.
Nonetheless, federal funding has not kept pace with increasing
responsibilities. Accordingly, the Park Service has launched several
initiatives seeking expanded supplemental support, including one
promoting increased partnering with nonprofit and other private
organizations.

Nonprofit organizations have a long history of partnering with the Park
Service. Since the agency was created in 1916,5 the Park Service has
developed partnerships with nonprofit organizations, as well as for-profit
concessioners, to help serve its mission. These partners supply important
financial and nonfinancial assistance, in effect, supplementing
congressionally appropriated funds available for park use. The Park
Service is authorized by statute to accept donations and to enter into
agreements with nonprofit organizations and other fundraising partners.6

The two types of nonprofit partners discussed in this report are
cooperating associations and friends groups. Cooperating associations are
corporate entities with boards of directors and an executive director
responsible for day-to-day management. The Park Service requires that
cooperating associations operate as tax-exempt organizations7 and


5
 Act of August 25, 1916, 39 Stat. 535 (commonly referred to as the National Park Service
Organic Act).
6
See appendix II for information on the key statutes authorizing donations and agreements.
7
 Cooperating agreements require associations to obtain tax-exempt status under section
501(c)(3) of the Internal Revenue Code. This section provides that organizations granted tax-
exempt status must operate exclusively for charitable, religious, or educational purposes.
As tax-exempt organizations, associations enjoy certain benefits that for-profit
organizations do not. In particular, tax-exempt organizations are required to pay federal
income taxes only on unrelated business income. They are also exempt from many state and
local taxes, under state law.




Page 6                      GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                        employs a standardized cooperating association agreement identifying the
                        specific federal statutes (see app. II) and agency policies that govern
                        agency and association responsibilities. There is no specific legal definition
                        or federal statute for friends groups; most are local volunteers organized
                        for a specific purpose or interest in a particular park. The Park Service
                        does not require friends groups to operate as tax-exempt entities or to have
                        formal partnership agreements with the agency, unless these groups raise
                        funds for the parks. Moreover, the Park Service does not have a standard
                        agreement governing friends group operations or specific policy guidance
                        for friends groups. Guidelines for park fund-raising activities are the
                        primary source of park policy covering friends group activities. Although
                        other nonprofit organizations also provide services and conduct
                        commercial activities, such as guided hiking and rafting trips at park sites,
                        these organizations are not included in this review.

                        Park concessioners are a third type of Park Service partner discussed in
                        this report. Concessioners provide such services as lodging, food, and
                        guided services, and sell merchandise at park stores. Generally,
                        concessioners are private, for-profit entities. Concessioners operate under
                        Park Service contracts or permits that require them to pay a franchise fee
                        to the park where they operate and that specify agency oversight functions
                        and concessioner responsibilities.



Parks’ Reliance         Cooperating associations and friends groups support 90 percent of the
                        nation’s 385 national parks. Parks are increasingly reliant on support from
on Nonprofits           these organizations; contributions from these organizations went from
Is Substantial          about $27 million in fiscal year 1997 to over $47 million in fiscal year 2001,
                        totaling over $200 million during this period. In addition, cooperating
and Increasing          associations and friends groups have accumulated funds and other
                        assets—such as land, buildings, and equipment—worth more than
                        $200 million that could become available for future park donations.
                        Nonprofits also provide considerable nonfinancial assistance such as
                        volunteer services.



Nonprofit               A cooperating association or a friends group supports park programs and
                        operations in 347 (90 percent) of the nation’s 385 national parks. Of the 347
Organizations Operate   parks, 136 have both types of nonprofit organizations, 187 have only a
in Most Parks           cooperating association, and 24 have only a friends group (see table 1).




                        Page 7                  GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Thus, cooperating associations support about 84 percent of the nation’s
parks and friends groups support about 41 percent.



Table 1: Parks Served by Nonprofit Organizations

Organization                                              Parks served           Percentage of all parks
Cooperating association or friends group                                  347                        90
Cooperating association & friends group                                   136                        35
Cooperating association only                                              187                        49
Friends group only                                                        24                          6
Source: National Park Service and GAO.


The Park Service does not maintain an accurate database of friends groups
or complete financial information on cooperating associations working
with the parks. As a result, we constructed a database using existing Park
Service data, tax records that are available on nonprofit organizations, and
friends group responses to a GAO survey. Appendix III lists each national
park that is affiliated with a cooperating association and/or friends group.

Since 2001, an estimated 215 nonprofit groups—66 cooperating
associations and 149 friends groups—have worked with 347 parks across
the country. Cooperating associations often serve multiple parks while
friends groups are typically associated with a single park.8 Table 2 shows
the number of each type of organization and the number of parks served.



Table 2: Number of Nonprofit Organizations Serving National Parks

Type of organization                       Number of organizations              Number of parks served
                                                                      a
Cooperating association                                          66                                 323
Friends group                                                   149                                 160
Source: National Park Service and GAO.
a
 In 2001, 2 associations merged, reducing the number of such organizations to 65; however,
Park Service 2001 data reports were for 66 organizations.




8
 Six National Park Foundation friends groups were recently created and these are an
exception. These six groups are associated with 49 parks.




Page 8                                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Moreover, much of the support provided by nonprofit organizations is
concentrated in a few large cooperating associations that serve many
different parks. As table 3 shows, 5 cooperating associations serve about
58 percent of all 385 national parks, or 70 percent—225 of 323—of all parks
served by cooperating associations.



Table 3: Parks Served by Five Cooperating Associations

Cooperating association                        Number of parks served Percent of all national parks
Eastern National                                                  127                           33
Western National                                                   56                           15
Alaska Natural History                                             19                            5
Parks and History                                                  14                            4
Northwest Interpretive                                               9                           2
Totals                                                            225                           58
Source: National Park Service and cooperating associations.


One of the key characteristics of these large cooperating associations that
serve multiple parks is that they have the ability to serve smaller, less
visited park units that might not be able to otherwise provide bookstores or
educational services. For example, Eastern National operates some
bookstores as an educational service to visitors even though the stores are
not profitable. Eastern National can do so because it operates at 127 parks
and shares money from its more profitable locations with its less profitable
locations. This shared donation approach allows the association to operate
bookstores at small locations like the Charles Pinckney National Historic
Site (29,272 visitors in 2001) that are not as commercially viable as other
parks. On average, as table 4 shows, the five large cooperating associations
operate in parks with lower visitation and operating budgets than other
associations.




Page 9                                  GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Table 4: Comparison of Average Recreational Visitation and Operating Budgets in Parks Served by Five Largest Versus All
Other Cooperating Associations

Dollars in millions
                                                                                                                                      Average park
                                                                                                                                   operating budget
Cooperating association                  Parks served by associations                       Average park visitationa                       (FY 2003)
category                                        Number          Percent                        Number          Percent
Largest (5)                                             225           70                       783,000               65                            $3.9
All others (61)                                         98            30                       932,000               35                             8.8
All 66 associations                                     323         100                        828,000              100                             5.4
Source: National Park Service and GAO.
                                                    a
                                                    We used calendar year 2001 visitation data because they were available in electronic form from the
                                                    National Park Service’s Statistical Abstract for 2001.




Nonprofit Financial                                 Nonprofit contributions to the park system doubled from fiscal years 1997
Contributions Have                                  through 2000, before dropping in 2001. Specifically, as table 5 shows, the
                                                    total contributions by cooperating associations and those friends groups
Dramatically Increased                              for which we were able to obtain data rose from about $27 million in 1997
                                                    to about $53 million in 2000, before dropping to about $47 million in 2001.
                                                    Cumulatively, these contributions are substantial. Cooperating associations
                                                    and friends groups contributed over $200 million to support park programs
                                                    and projects from 1997 through 2001. Table 5 also shows that revenues
                                                    from both types of nonprofit organizations followed a pattern similar to
                                                    that of contributions, increasing from about $110 million in 1997 to about
                                                    $178 million in 2000, but dropping to $148 million in 2001. The decrease in
                                                    contributions and revenues in 2001 may be related to decreased park
                                                    visitation or other negative commercial effects following the terrorist
                                                    attacks of September 11, 2001, as agency officials speculate, or to the
                                                    general economic downturn and corresponding reduction in charitable
                                                    giving that has occurred across the United States. In addition, during the
                                                    1997-2001 fiscal year period, the Golden Gate National Parks Association
                                                    made large contributions.9 These varied considerably from year to year
                                                    and help explain the fluctuation in cooperating association contributions
                                                    (see app. IV).



                                                    9
                                                     The Golden Gate Parks Association became the Golden Gate Parks Conservancy on March
                                                    1, 2003.




                                                    Page 10                       GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Table 5: Cooperating Associations’ and Friends Groups’ Revenue and Contributions by Fiscal Year

Dollars in millions
                                                            Contributions                                                                Revenue
                                      Cooperating                        Friends                                         Cooperating           Friends
Fiscal yeara                         associationsb                       groupsc                          Total          associations          groupsc                Total
1997                                              $19.0                        $7.7                      $26.7                  $89.4             $20.3             $109.7
1998                                               22.6                        15.0                        37.5                   99.5             43.0               142.5
1999                                               30.8                        13.7                        44.5                 110.4              55.8               166.3
2000                                               35.8                        16.9                        52.7                 121.2              56.4               177.6
2001                                               30.1                        17.3                        47.4                 108.8              39.2               148.0
Total                                             138.3                        70.6                      208.8                  529.2             214.8                 744
Sources: National Park Service, GAO, Urban Institute, and Guidestar.com Web site (Philanthropic Research, Inc.).

                                                                    Note: Totals may not add due to rounding.
                                                                    a
                                                                     For cooperating associations, the fiscal year corresponds with the federal fiscal year, as per Park
                                                                    Service reporting requirements. For friends groups, the fiscal year corresponds with each group’s tax
                                                                    year or, if tax statements were not available, to the year corresponding to financial statements.
                                                                    b
                                                                     Association financial contributions include a dollar value assigned to information assistance that
                                                                    association staff provide to visitors. The Park Service allows cooperating associations to claim up to
                                                                    50 percent of association sales staff salaries for information assistance provided to park visitors. In
                                                                    2001, 25 percent ($7.4 million) of association contributions were for information assistance provided by
                                                                    sales staff.
                                                                    c
                                                                     Friends group figures represent the two-thirds of the active groups we identified.




                                                                    Page 11                                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Although contributions and revenues from both cooperating associations
and friends groups increased considerably over the 5-year period, the
increase in friends group contributions and revenues is most dramatic. This
increase may be explained by recent increases in the number of friends
groups as well as by the relative newness of friends groups compared to
cooperating associations. According to Park Service data, the number of
cooperating associations changed little from 1996 to 2001, rising from 64 to
66 and then dropping to 65 as 2 associations merged. In contrast, friends
groups are recent additions to the park scene and are expanding more
rapidly throughout the park system. While the Park Service does not have
historical data on friends groups, in the six parks we visited the years of
incorporation for friends groups operating in these parks generally ranged
from 1988 to 2001, with only one dating to 1959. By comparison, the years
of incorporation for cooperating associations ranged from 1923 to 1961
(see table 6). Moreover, while the median date of incorporation for
associations also is 1941, the median incorporation date for the friends
groups is 1995. Contributing to the establishment of new friends groups is
recent legislation that directed the National Park Foundation to design a
program fostering fund-raising at individual park units and specified that
program implementation include assisting in the creation of local nonprofit
groups.10




10
  The National Park Foundation has established 6 new friends groups serving 49 parks as authorized
in section 701 of the National Parks Omnibus Management Act of 1998 (Pub. L. No. 105-391, 112
Stat. 3497, 3520 (1998)).




Page 12                       GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                             Table 6: Incorporation Dates at Six Parks

                                                                                              Date of incorporation
                             Park                                               Cooperating association                 Friends group
                             Badlands NP                                                            1961                         None
                             Fort Sumter NM                                                         1948                         2001
                             Gettysburg NMP                                                         1948              1959, 1989,1998a
                             Grand Canyon NP                                                        1932                         1995
                             Yellowstone NP                                                         1933                         1996
                             Yosemite NP                                                            1923                         1988
                             Source: Guidestar.com Web site (Philanthropic Research, Inc.).
                             a
                             Three friends groups are affiliated with Gettysburg NMP: Gettysburg Battlefield Preservation
                             Association (1959), Friends of the National Parks at Gettysburg (1989), and Gettysburg National
                             Battlefield Museum Foundation (1998).


                             The importance of nonprofit support varied considerably across parks. For
                             example, Golden Gate NP received over $10 million in aid in fiscal year
                             2001, the highest contribution by a cooperating association that year, while
                             Voyageurs NP received $3,233 from its cooperating association, the lowest
                             financial contribution to a park that year. Similarly, one friends groups
                             affiliated with the Statue of Liberty NM contributed over $8 million to the
                             park, while 34 friends groups reported zero financial contributions to their
                             affiliated parks in fiscal year 2001.11 Appendixes IV and V provide detailed
                             revenue and contribution information for cooperating associations and
                             friends groups, respectively.



Nonprofits Have Additional   In addition to the financial contributions they make to parks each year,
Assets That Are Available    cooperating associations and friends groups also hold over $200 million in
                             accumulated net assets that are potentially available for future
for Future Donation
                             contributions to parks. According to tax data for 2001, friends groups
                             retained over 60 percent of these accumulated assets. More precisely, the
                             net assets of friends groups totaled $125 million in 2001, according to data
                             collected for over two-thirds of the groups, including the largest friends
                             groups (see app. V). In comparison, net assets held by cooperating
                             associations, according to 2001 tax data, were $78 million (see app. IV).
                             These assets represent the accumulated monetary assets (such as cash,

                             11
                              According to data from 102 friends groups from GAO survey, Urban Institute, and
                             Guidestar.com Web site (Philanthropic Research, Inc.).




                             Page 13                                  GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                          stocks, or bond investments) and nonmonetary assets (such as land,
                          buildings, and equipment) of the organizations. The monetary component
                          of these assets often consists of restricted and unrestricted accounts.
                          Restricted accounts typically represent funds that have been earmarked for
                          specific future projects, such as a park construction project or an
                          endowment to fund future maintenance costs of a capital project.
                          Unrestricted accounts usually represent funds that are currently available
                          for any expenses related to a park project. For example, the friends group
                          associated with Acadia NP has net assets of about $14 million, including
                          $13 million in restricted accounts for 2001. The funds in the restricted
                          accounts are for such things as an endowment to fund future maintenance
                          of the carriage road in Acadia NP and an endowment to support future
                          Acadia Youth Conservation Corps activities in the park. Further,
                          information we obtained based on available tax records from 1998 through
                          2000 indicates that friends groups are adding substantial amounts to their
                          accumulated assets each year. Specifically, they retain about 40 percent of
                          their revenue or about $20 million annually.



Nonprofit Organizations   In addition to contributions of funds, buildings, equipment, and other
Provide Nonfinancial      assets, cooperating associations and friends groups also provide volunteer
                          services that are of considerable value. Nonprofit members of both
Support to Parks
                          cooperating associations and friends groups recruit and organize
                          volunteers for park projects and promote support for parks in local
                          communities. Some friends groups, such as the Appalachian Trail
                          Conference, make little if any direct financial contributions but have a
                          substantial volunteer base engaged in volunteer stewardship programs at
                          the parks. The Appalachian Trail Conference reported that its
                          4,500 volunteers contributed 187,475 hours to trail work in fiscal year 2000.
                          The exact number of volunteers for all park-affiliated nonprofit
                          organizations is not known. However, many groups have thousands of
                          members and volunteers. Of these, the Statue of Liberty-Ellis Island
                          Foundation, Inc., is the largest friends group donor within the national park
                          system and has close to 160,000 members; other groups responding to our
                          friends group survey averaged 3,700 members and volunteers. Table 7
                          provides examples of nonfinancial contributions made by selected
                          nonprofit organizations.




                          Page 14                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Table 7: Examples of Nonfinancial Assistance Provided by Nonprofit Organizations

Organization                                            Nonfinancial assistance
Friends of Acadia                                       Contributed about 8,000 volunteer hours for trail and carriage road maintenance in 2000.
Golden Gate National Parks Association                  Organized school children and other volunteers to help plant 100,000 native plants. Over
                                                        10,000 volunteers participated in association projects during 2001.
Blue Ridge Parkway Foundation                           Over 30 foundation volunteers participated in repairing trails as part of a trail
                                                        maintenance vacation week in 2001.
Friends of the Great Smoky Mountains                    On an ongoing basis, its volunteers assist with the search for new species in the park,
National Park                                           including collection, sorting, and identification.
Friends of the National Parks at                        On designated days in June and September 2001, over 200 volunteers painted fences
Gettysburg, Inc.                                        and historic structures, removed brush, and rebuilt historic fence lines.
Source: Cooperating associations and friends groups.


                                                       In addition to volunteer service, at least two nonprofit organizations are
                                                       legislatively authorized to provide operational and management services in
                                                       parks. Specifically, the Theodore Roosevelt Inaugural Site Foundation was
                                                       authorized in 198012 to assist the Secretary of the Interior in “the operation,
                                                       maintenance, management, development and interpretation of the
                                                       Theodore Roosevelt Inaugural National Historic Site.”13 More recently, The
                                                       Island Alliance, a private nonprofit organization, was designated by the
                                                       Congress as a financial support partner for the Boston Harbor Islands
                                                       Recreation Area, a unit of the national park system established in 1996.14




                                                       12
                                                            Pub. L. No. 96-607, 94 Stat. 3541 (1980).
                                                       13
                                                        The Theodore Roosevelt Inaugural Site Foundation receives a portion of its funding
                                                       through government grants to carry out its statutorily authorized management
                                                       responsibilities.
                                                       14
                                                        The Island Alliance reports that it is the “first and only private nonprofit organization
                                                       formally designated by the Congress as a partner in the development of a new national park
                                                       with the specific responsibility of raising and generating monies from the private sector.”
                                                       Pub. L. No. 104-333, 110 Stat. 4232 (1996) established the Boston Harbor Islands Recreation
                                                       Area and specified that the park should be managed in collaboration with nonfederal
                                                       groups.




                                                       Page 15                          GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Revenue-Generating          The primary revenue-generating activities of cooperating associations are
                            selling educational materials in park bookstores and providing educational
Activities of               services to park visitors. These activities, together with growing
Cooperating                 association sales of visitor convenience items such as film and disposable
                            cameras, are responsible for 90 percent of association revenue. At many of
Associations                the parks with cooperating associations, concessioners also provide
Sometimes Compete           park-related merchandise for visitor consumption, as well as visitor
with Those of               services and convenience items. Generally, the educational attributes
                            associated with association sales and services distinguish them from
Park Concessioners          concessioner sales and services. However, this is not always the case. In
                            fact, in three of the six parks we visited, competition between cooperating
                            associations and concessioners or local businesses led to conflicts. In
                            contrast, friends groups generally do not compete with concessioners
                            because they rely primarily on donations and membership dues to generate
                            revenue.



Selling Educational         Cooperating associations exist to support the educational, scientific,
Materials and Providing     historical, and interpretive activities of the National Park Service.
                            Accordingly, association activities are intended to provide the public with
Services Are the Main       educational materials related to the parks and to generate revenue for
Revenue-Generating          other association programs and activities that support the agency.
Activities of Cooperating   Associations support park programs by making direct purchases on behalf
Associations                of the parks and by providing funds for use by park staff. Typically, each
                            park has a standard agreement with an affiliated cooperating association.
                            This agreement documents and clarifies the association’s scope of
                            responsibility and permitted activities and is often supplemented to
                            address association services specific to a park. Local park managers are
                            responsible for overseeing association activities including ensuring that
                            sales and services are consistent with the terms of the agreement and
                            assuring that association support is appropriately targeted.

                            Cooperating association activities focus on supporting parks by providing
                            visitors with educational materials and services. The main revenue-
                            generating activity of associations is operating bookstores that sell
                            educational and other merchandise, often at park visitor centers.
                            Cooperating associations reported generating revenue of $109 million in
                            fiscal year 2001. As figure 1 shows, of this amount, 90 percent came from
                            sales and services to park visitors. Over $84 million (78 percent) was raised
                            through the sale of educational materials—primarily books. About
                            $10 million (9 percent) was from educational program services such as



                            Page 16                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
audio tours and organized backcountry hiking and camping activities.
Association operated “field institutes” frequently provide these educational
program services. Field institutes are a part of cooperating associations
that focus on providing visitors with active learning experiences within a
park. Another $3 million (3 percent) came from sales of visitor
convenience items—items that are not educational and that the Park
Service describes as necessary for the comfort and convenience of visitors.
These items include beverages, aspirin/antacids, insect repellent, sun
screen, film, disposable cameras, and stamps. The remaining 10 percent of
association revenues came from fund-raising, membership fees, and park
donation boxes.



Figure 1: Cooperating Association Revenue Sources—Fiscal Year 2001




Note: Educational materials and convenience item sales include Web-based sales as well as sales
from stores that are not on park property.


In addition, some associations support the needs of the parks they serve in
other, nontraditional ways. For example, associations may act as
concessioners, generating income by operating park concession contracts.



Page 17                       GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
This is the case at Mt. Rushmore NM, where the cooperating association
has a 20-year concession contract for constructing and operating a parking
facility at the site. Under these circumstances, associations are required to
report this revenue to the park service as concession contract revenue. As
such, these revenues are not included in figure 1. However, these
circumstances are exceptional and do not occur frequently.

A description of the sales and services offered by cooperating associations
at the six parks we visited will help clarify the revenue-generating activities
that occur throughout the system. Associations at each of the six parks
operated a bookstore, and five of the six associations also sold
merchandise via a park-affiliated Web site. At three parks, a field institute
was a significant part of the association’s educational service program. At
Grand Canyon NP, for example, the Grand Canyon Field Institute offered
exploratory tours where visitors could learn about the canyon’s geology,
ecology, and Native American and pioneer history. This institute also
provided park-related educational materials to elementary classrooms
across the United States. Two of the six associations provided other
services—one provided a guided park tour and one operated the park’s
wilderness reservation system.

Except for visitor convenience items, we found that the merchandise sold
and the services provided at each of the six parks visited were generally
related to the educational mission of the cooperating associations and to
park themes. Cooperating association bookstores carried a wide variety of
park-related publications, maps, videos, and theme-related merchandise
intended to enhance visitor understanding, appreciation, and knowledge of
parks. For example, at areas managed by Fort Sumter NM staff, the
cooperating association operated four bookstores with educational books
and items related to Civil War occurrences in the Charleston, South
Carolina area. At Yosemite NP, the association sold books, Native American
artifacts and jewelry, and CD-ROMs that were generally consistent with its
educational mission and park themes. Cooperating association Web sites
generally offered the same merchandise as the bookstores. Although our
examination of the items being sold at association bookstores and Web
sites at the six parks we visited revealed a few items that were not clearly
related to the association’s educational mandate, these were low volume
and low cost items that were not financially significant. For example, the
association sold magnets at Ft. Sumter, and slinkys and hula hoops at the
Eisenhower National Historic Site. In commenting on our report, the
association’s executive director noted that magnet sales were discontinued
at this store. The director stated that hula hoops and slinkys are sold with



Page 18                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                 interpretive text and help connect visitors to the lifestyle of the 1950s,
                                 which is a park interpretive goal.

                                 Like merchandise sales, we found that the services provided by
                                 cooperating associations at the six parks we visited were educational and
                                 consistent with park themes. Some of these services generated substantial
                                 revenue for individual parks. For example, at Gettysburg NMP, the local
                                 association operates the “Electric Map” and “Cyclorama” mural painting.
                                 The Electric Map orients visitors to the park by depicting the progress of
                                 the 3-day Gettysburg battle, while the historic mural depicts the cavalry
                                 battle known as “Pickett’s Charge” in a 360-degree panorama. In fiscal 2000,
                                 these operations generated revenue of $758,183 and $320,475, respectively,
                                 of which the association donated about 40 percent to the park.
                                 Associations, however, also provide services that generate little or no
                                 revenue or profit. At Yosemite NP, for example, the cooperating association
                                 operated the park’s backcountry reservation program and worked with
                                 concessioners to rent bear-resistant food canisters to visitors having
                                 backcountry reservations. All association receipts from this program were
                                 used to purchase more canisters. The park received no revenue from this
                                 activity.



Revenue-Generating               Generally, the educational and thematic attributes of association sales
Activities of Cooperating        items and services distinguish them from concessions sales items and
                                 services. However, this is not always the case. Sometimes the sales and
Associations and
                                 services of associations and concessioners as well as other for-profit
Concessioners Are                businesses are in direct competition with one another. At three of the six
Not Always Distinct              parks we visited, sales and services by associations and for-profit
and Sometimes Lead               concessioners and other businesses were not clearly distinguished and this
to Conflicts                     led to conflicts among these organizations. At the other three parks we
                                 reviewed, there were no apparent conflicts between associations and
                                 concessioners or other for-profit businesses.

At Some Parks Competition        The three parks with conflicts were Grand Canyon NP, Fort Sumter NM,
between Cooperating              and Gettysburg NMP. In each instance, the conflicts resulted from local
Associations and Concessioners   park managers’ decisions to permit associations to sell goods or services
Leads to Conflict                that had been traditionally provided by concessioners or other for-profit
                                 businesses. At Grand Canyon and at Fort Sumter, the conflicts involved
                                 association and concessioner sales. At Gettysburg, the conflict involved
                                 services provided by the association and a local business that, like
                                 concessioners, depended on park visitors for its survival.




                                 Page 19                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
At Grand Canyon NP, three concessioners operated stores throughout the
park that sold, among other things, film, disposable cameras, and a variety
of other visitor convenience items to the millions of people that annually
visit the park. These items were traditionally sold by the concessioners and
were an important part of their business. However, in 2001, park managers
began allowing the Grand Canyon Cooperating Association to sell visitor
convenience items, including film and disposable cameras, at the
association’s new bookstore. As a result, the association’s sales of these
items went from zero in 2000 to over $50,000 during a 7-month period in
2001. This change caused considerable concern among park concessioners,
whose collective film sales total over $1.5 million. Representatives of each
of the three park concessioners believe that park management’s decision
allowing association sales of visitor convenience items resulted in unfair
competition that would adversely affect their profitability. At the time of
our review, each concessioner estimated that film sales had decreased
considerably. One concessioner told us that film sales decreased by
$140,000 and another stated that, while overall sales declined by
9.5 percent, film sales deceased by 10.5 percent.

The concessioners’ concerns were based on three factors. First, the
association’s point of sale is located at the initial gathering place for most
park visitors, which provides a marketing advantage that concessioners
believe reduces their business. Second, because visitor convenience items
are neither educational nor characteristic of a Grand Canyon theme,
concessioners view these items as inconsistent with an association’s
traditional scope of sales and educational mission. And third, because
concessioners could not compete for operating the new bookstore at this
location, they believe the association received favorable treatment that
placed them at a competitive advantage. On the other hand, park managers
and the cooperating association Executive Director pointed out that
locating the association bookstore at the visitor center area was consistent
with the park’s General Management Plan. Further, park officials told us
that bids were not solicited on the bookstore operation because the
bookstore was intended to serve an educational purpose—an activity
consistent with the association’s mission and its agreement with the Park
Service. They also noted that the cooperating association was willing to
fund the building’s construction. In commenting on a draft of this report,
the new association executive director stated that the conflict with
concessioners was overstated and that the association has a strong
working relationship with park concessioners.




Page 20                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
The situation at Fort Sumter NM is similar to that at Grand Canyon NP. At
Fort Sumter there are two locations where merchandise is sold.15 The
largest of these is a bookstore operated by the cooperating association in
the recently opened visitor center in Charleston, South Carolina. Because
this center is the main departure point for visiting Fort Sumter, it has
generated considerable increases in association sales revenue. Moreover,
according to park plans, in the future it may be the only commercial
location serving Ft. Sumter visitors. The other sales location is a small store
at the fort (see fig. 2).



Figure 2: Map of Charleston Harbor Area and Fort Sumter National Monument




15
 The cooperating association also operates bookstores at Fort Moultrie and the Charles
Pinckney National Historic Site. Park officials at Fort Sumter NM also are responsible for
managing these locations.




Page 21                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
When the bookstore in the Charleston visitor center opened in 2001, the
park manager permitted sales of educational and theme-oriented
merchandise traditionally sold by associations as well as visitor
convenience items. Prior to the opening of the new bookstore, visitor
convenience items were sold by the store at the fort. This store was
operated by a concessioner during the peak season—March 15th through
Labor Day—when the park gets about 65 percent of its visitors, and by the
cooperating association during the remaining months. Park plans
envisioned this store closing when the new visitor center opened in
Charleston and, in August 2000, several months before the new bookstore
opened, the park discontinued all concessioner sales operations at the fort.
However, the park manager subsequently decided that there was a need for
educational and theme-related merchandise at the fort16 and determined
that the association would operate the store at the fort on a year-round
basis, including selling visitor convenience items. The concessioner
questioned the decision to close the concession store at the fort because
the association store remains open there and sells items similar to what the
concessioner sold. The concessioner also believed that park officials
should have afforded for-profit businesses an opportunity to compete for
the bookstore operation in the new visitor center. This situation has
contributed to conflict between the concessioner and park management.
From park management’s perspective, the decision to have the association
provide all of the sales at both the fort and the Charleston visitor center
was consistent with the long-term plans for the park17 and the association’s
educational agreement. According to park plans, these decisions were
made to de-emphasize commercial activities at the park, to reduce the time
spent by staff in supervising concession sales operations, and to focus
merchandise sales on the park’s educational and interpretive goals.

Because the conflicts at both the Grand Canyon and Fort Sumter involved
increased association sales of visitor convenience items, we examined
convenience item sales data for the 323 parks with cooperating
associations to determine if the increases at these parks were part of a

16
  This decision was made to provide association merchandise to park visitors who reached
the fort from Patriots Point (see fig. 2). Patriots Point continues to serve as a departure
point for fort visitors although park plans envisioned discontinuing service from this
location. As a result, visitors from Patriots Point did not have access to association
materials available at the visitor center bookstore.
17
 A General Management Plan was published in 1998 to guide overall use of the park. This
plan emphasized the use of additional partnerships and volunteers. It also anticipated
closing the sales operation at the fort and moving it to the new visitors center.




Page 22                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
trend throughout the national park system. As table 8 shows, revenue from
the sales of visitor convenience merchandise is expanding more rapidly
than other sources of association revenue. These sales increased by
55 percent (from $2.06 to $3.19 million) between 1997 and 2001, while
revenue from other sources increased only about half as much—about
21 percent.



Table 8: Cooperating Association Revenue Growth from Visitor Convenience Items
and Other Revenue Sources

Dollars in millions
                                                                                    Percent
Revenue category                        1997            2001       Increase        increase
Visitor convenience                     $2.06          $3.19           $1.13             55
Other revenues                           87.3          105.6            18.3             21
Source: National Park Service.


These data indicate that this sales trend is occurring nationwide. In
addition, five of the seven regional directors in the Park Service told us that
cooperating associations were expanding sales of visitor convenience
merchandise in their regions.

Table 9 provides some contextual information on the potential scope of
conflicts that could occur between cooperating associations and
concessioners at the parks. Specifically, the table provides national data on
parks where both associations and concessioners sell merchandise
to visitors.



Table 9: Parks Served by Associations and Merchandise Concessioners

                                                                         Average visitation
Park category                                     Number                   per park (2001)
National parks                                         385                          807,000
Parks with cooperating associations                    323                          828,000
Parks with merchandise concessioner                     91                        1,925,000
Parks with both associations and
merchandise concessioner                                84                        1,971,000
Source: National Park Service.




Page 23                          GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Table 9 shows that 84 of 91 parks having at least one concessioner that sells
merchandise to visitors also have cooperating associations that sell
merchandise and provide services to visitors. The table also shows that
merchandise concessioners typically operate in parks with high visitation.
Accordingly, competition is more likely in the largest parks. Appendix III
provides a complete list of parks that have cooperating associations and
merchandise concessioners.

The third park we visited where a conflict was evident was Gettysburg
NMP. This conflict involved the cooperating association and a local
for-profit business that, like concessioners, derived its revenue from
visitors to the park. In contrast to the conflicts at Grand Canyon and
Fort Sumter, the conflict involved competition over providing tour bus
service, not the sale of merchandise. Specifically, with the approval of park
management, the cooperating association initiated a bus tour in 2001 that
directly competes with locally operated bus tours. Further, because the
association is affiliated with the park, this tour is permitted to pick up and
drop off its customers at the park’s main visitor center—unlike the
privately run for-profit tours. Neither of the local businesses that provided
battlefield tours is permitted to pick up or discharge at the visitor’s center.
Instead, their tours operate primarily from their offices in the commercial
district of the town of Gettysburg—a few blocks from the visitor center.

One of the local businesses contends that the association-administered bus
tour service was unnecessary because similar tour services were already
available to visitors. This business owner also was concerned because the
association tour originates at the park visitor center and, as a result, has an
important competitive advantage. Further, although park officials
informally discussed the tour service with this business owner, the owner
is concerned because the Park Service did not advertise and solicit bids for
this new service and, thus, denied the business the opportunity to bid and
compete for providing the service. Finally, this owner asserts that his
business has already experienced adverse financial consequences as a
result of the association tour, but because of difficulty in isolating the
effects of this new service, cannot provide documentation supporting his
assertion. In contrast, two other parks we visited, Yellowstone and Fort
Sumter, also offered guided tours for visitors. In both instances, the tours
were operated by for-profit businesses—concessioners—under contract
with the respective parks.

According to the park manager at Gettysburg, the association began
operating the tour service at his request in order to enhance the



Page 24                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                educational and interpretive services offered to park visitors. Park
                                managers told us that they require the cooperating association to use
                                licensed park guides to provide narration and interpretation for customers
                                on these tours and that this arrangement improves the quality of service
                                provided to park visitors. Because park officials believed the tour service
                                was consistent with the association’s agreement with the park, they
                                decided that a concession contract and bid solicitation process was not
                                necessary.

Not All Concessioners Were      While conflicts between cooperating associations and concessioners and
Concerned about Competition     similar for-profit businesses existed at some of the parks we visited, they
from Cooperating Associations   did not exist at others. In fact, at two of the six parks we visited—Yosemite
                                NP and Yellowstone NP—these organizations worked collaboratively to
                                enhance visitor service. At a third park, Badlands NP, the association
                                operated a small bookstore. Both association and park officials stated that
                                the concessioner at Badlands had minor concerns about this association’s
                                sales.18

                                Yosemite is a good example of where competing entities work together to
                                serve overall park interests. Although the association and concessioner
                                sometimes sold competing merchandise, officials of these entities agreed
                                that there was a good understanding of their respective roles at the park
                                and there were no noteworthy problems among the entities. In fact, there
                                were a number of coordinated efforts between the association and
                                concessioner. The following activities demonstrate collaborative activities
                                at the park:

                                • The concessioner’s chief operating officer is also a member of the
                                  cooperating association board of trustees.

                                • The association arranges for artists to provide classes for visitors at an
                                  art activity center operated by a concessioner.

                                • At park wilderness centers the association issues permits and sells
                                  several visitor convenience items that are useful in the park’s
                                  backcountry—backpacking stoves, fuel canisters for the stoves, water
                                  filters, and spades. The association buys these items from the
                                  concessioner.


                                18
                                 The concessioner abruptly discontinued its relationship with the park shortly before
                                our visit.




                                Page 25                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                          • The association and the concessioner are involved in providing
                            backcountry visitors with bear-resistant food canisters. Previously, bear-
                            resistant canisters were available only by purchase from a concessioner.
                            The association and concessioner reached an agreement that provides
                            for canister rentals from either the association or the concessioner and
                            allows visitors to return canisters rented at a concession store to
                            locations operated by the association.

                          • According to the association’s Executive Director, the concessioner is
                            the biggest wholesale purchaser of the association’s publications.

Friends Groups Generate   Because soliciting donations from individuals, corporations, and
Revenue Chiefly by        foundations is their chief revenue-generating activity, friends groups
Soliciting Donations      typically do not sell goods or services within the national park system.
                          Accordingly, these groups generally do not compete for business with
                          concessioners or other for-profit businesses that serve the parks. However,
                          there are some exceptions where the boundaries distinguishing these two
                          kinds of organizations are indistinct.

                          Typically, friends groups raise revenue through fund-raising campaigns to
                          support a local park project.19 To raise funds on behalf of the Park Service,
                          agency policy requires that friends groups have an agreement signed by a
                          local park manager, usually the park superintendent, and the president or
                          chief executive officer of the friends group. Under this policy, national
                          fund-raising campaigns or fund-raising campaigns with a goal of $1 million
                          or more require the approval of the Park Service Director. Fund-raising
                          campaigns also require an approved fund-raising plan detailing techniques,
                          timing, staff needs, strategy, and costs. Park Service policy states that fund-
                          raising plans will not be approved if overhead costs—which include fund-
                          raising and administrative expenses—are projected to exceed 20 percent of
                          revenues over the life of the campaign. The primary sources of friends
                          group revenue are

                          • Direct Fund-raising Activities

                          • Federal & State Grants



                          19
                           The National Park Foundation is unique among fund-raising partners in that it is chartered
                          by the Congress to support parks across the United States (Pub. L. No. 90-209, 81 Stat. 656
                          (1967), codified at 16 U.S.C. § 19e).




                          Page 26                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
• Merchandise Sales20

• Special Events

• Membership Fees

• Park Donation Boxes

The precise proportion of revenue that friends groups derive from these
various sources is not known. The Park Service does not collect such data,
and available federal tax data do not provide detailed information related
to these revenue sources. However, the tax data that are available suggest
that fundraising is by far the most important source of friends group
revenue. A prominent ongoing fund-raising effort is the National Park
Foundation’s Proud Partner of America’s National Parks campaign. The
foundation recognizes in numerous publications that five corporations—
American Airlines, Discovery Communications, Inc., Ford Motor Company,
Kodak, and TIME magazine—are “Proud Partners of the National Parks”. In
return, these corporations have committed $85 million in cash and
resources over a 3-year period.

Friends group tax reports show that several have received federal or state
grants. The Theodore Roosevelt Inaugural Site Foundation, for example,
reported a federal grant in connection with its legal mandate to support
management functions at the Theodore Roosevelt Inaugural National
Historic Site. Similarly, the Friends of the National Parks at Gettysburg
received a $1 million grant from the Commonwealth of Pennsylvania to
restore a state memorial in Gettysburg. One friends group’s tax report
recorded revenue from the sale of personalized state license plates as a
government grant.

Revenue generation through merchandise sales by friends groups is limited
and occurs mostly outside park boundaries. None of the friends groups at
parks we visited conducted sales activities within the parks. One of three
friends groups at Gettysburg NMP, however, receives 10 percent of the
gross revenue from a park bus tour operated by the cooperating
association and a local bus company, although the friends group does not


20
 Park Service policy allows friends groups to sell items within a park with the approval of
the cooperating association and park superintendent. Cooperating associations also may
sell items on behalf of friend groups. However, such arrangements are infrequent.




Page 27                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
provide a service in return. More typical of friends group sales are those by
the group at the Virgin Islands NP, which offers T-shirts, license plates, and
park-related merchandise at its office outside the park, on its Web site, and
through local stores in St. John, Virgin Islands.21 Similarly, the friends group
at Great Smoky Mountains NP reported selling items such as hats, T-shirts,
specialty license plates, and other merchandise with its logo outside park
boundaries, at its offices in Tennessee and North Carolina, through its Web
site, and at festivals.

Friends groups also generate revenue membership fees, through special
events, and park donation boxes. Many friends groups offer fee-based
memberships that provide member benefits. For example, at Yellowstone
NP, a friends group offers memberships beginning at $25; it reported having
over 8,000 members or volunteers. Paying members receive a free
subscription to the group’s biannual newsletter, a copy of the annual report,
and have their names displayed in the Yellowstone NP Honor Book at the
Old Faithful Visitor Center for 1 year. Special fund-raising events hosted by
friends groups usually consist of a one-time entertainment for which
attendees are charged a fee. For example, in 2000, a friends group at Great
Smoky Mountains NP raised over $133,000 through special events that
included dinners, concerts, and hikes. Similarly, at Acadia NP the friends
group netted about $250,000 through a special auction held in 2001.

The development of data on friends group revenues is complicated by a
blurring of the functional and organizational boundaries between some
friends groups and associations. Although both types of organizations work
to help the Park Service meet its mission, distinctions between cooperating
associations and a friends groups are not always clear as evidenced by
several “hybrid” groups that serve the parks. For example, the association
at Golden Gate NP combines cooperating association and friends group
functions under the same organization. The nonprofit organization at Mt.
Rushmore NM created a subsidiary group to allow distinct bookstore and
fund-raising and concession contract operations. And at Rocky Mountain
NP, one nonprofit organization conducts fund-raising activities and a
second operates a bookstore. These distinct nonprofit organizations are
administratively linked, however, sharing the same Board of Directors.


21
  According to the Virgin Islands NP superintendent, the friends group operated an
information kiosk inside the park, where they also sold merchandise. This practice was
discontinued upon the advice of the Park Service’s Solicitors Office and, for the past 2 years,
the cooperating association has operated the kiosk.




Page 28                      GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Several Factors        Three primary factors contribute to competition and conflicts between
                       cooperating associations and concessioners and other for-profit businesses
Contribute to          that serve the parks. First, Park Service policies intended to increase
Competition and        association support for parks lead to expanded association sales and
                       services that compete with for-profit businesses for sales and services.
Potential Conflicts    Second, park managers have broad discretion in deciding the scope of park
between Associations   sales and services as well as whether cooperating associations and/or for-
and Concessioners      profit businesses operate in a park. In some cases, the rationale for
                       expanding cooperating associations’ operations was not clear and
                       contributed to conflicts among park management, cooperating
                       associations, and concessioners. Third, cooperating associations return a
                       higher percentage of their sales and service revenue to the parks compared
                       to for-profit businesses, giving park managers a financial incentive to
                       expand association operations. The Park Service recognizes the balancing
                       act that is needed to manage the roles of cooperating associations and
                       businesses that serve parks visitors, and agency policy encourages park
                       managers to develop and implement plans addressing these roles. Among
                       other things, these plans—called Commercial Services Plans—are intended
                       to reduce conflicts in parks by clarifying the roles and competitive
                       relationships of associations and concessioners and providing a more
                       predictable business environment for them. However, these plans are
                       rarely developed or used.




                       Page 29                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Policies Encouraging                     Park Service policies and plans encourage park managers to generate
Increased Financial Support              increased financial support from cooperating associations and
                                         concessioners. The Park Service’s strategic and annual performance plans22
from Cooperating                         set programmatic and financial goals designed to substantially increase
Associations Also Promote                donations from cooperating associations as well as the amount of franchise
Increased Competition                    fees from concessioners. For cooperating associations to provide
                                         increased financial support to parks, they must expand profit-making
                                         activities including the sale of merchandise. This promotes increased
                                         competition between cooperating associations and concessioners for park
                                         visitor dollars.

                                         The Park Service has set a goal of increasing cooperating association
                                         support by 35 percent between 1997 and 2005. As table 10 illustrates,
                                         between fiscal years 1997 and 2001 revenues increased about 22 percent—
                                         from about $89.36 million in fiscal year 1997 to about $108.78 in fiscal year
                                         2001.



Table 10: Cooperating Associations’ Revenue Increases from Fiscal Year 1997–2001

Dollars in millions
Revenue category                                     1997                       2001               Change     Percentage Increase
Educational materials sales                        $67.23                     $84.47                $17.24                       26
Educational program services                          9.91                      10.20                   .29                        3
Fund-raising                                          5.77                       6.91                  1.14                      20
Visitor convenience items                             2.06                       3.19                  1.13                      55
Memberships                                           1.26                       2.13                   .87                      69
Other                                                 2.43                       1.89                  -.54                      -22
Total                                               89.36                     108.78                 19.42                       22
Source: National Park Service.

                                         Note: Totals may not add due to rounding.


                                         Table 10 also shows that $18.37 million (about 95 percent) of this
                                         revenue increase has come from activities that are most like those of

                                         22
                                          The Government Performance and Results Act of 1993 (Pub. L. No. 103-62, 107 Stat. 285)
                                         requires federal agencies to prepare these plans. In addition, the National Parks Omnibus
                                         Management Act of 1998 (Pub. L. No. 105-391) requires that each park unit prepare strategic
                                         and annual performance plans that reflect the policies, goals, and outcomes of the Park
                                         Service’s plan and make them available to the public.




                                         Page 30                       GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
concessioners—merchandise sales of educational materials and visitor
convenience items. Accordingly, this trend contributes to increased
competition with concessioners. This trend is likely to continue as the Park
Service and cooperating associations try to meet their increased revenue
goals for 2005.

Park Service policies and plans also have established goals for increasing
revenue from concessioners. Specifically, the agency’s goal is to increase
franchise fees paid by concessioners from about 4 percent of gross revenue
in fiscal year 2000 to about 10 percent by 2005. While the mechanisms for
concessioners achieving this goal are varied and complex, getting this done
could involve increased concessioner offerings of their most profitable
merchandise to park visitors. To the extent that concessioners and the
associations are each vying for visitor dollars or offering similar
merchandise, this would lead to increased competition.

Further, the Park Service encourages concessioners to sell merchandise
that is educational and consistent with park-related themes. Although there
is no agencywide list of preferred merchandise, the Park Service’s
Management Policies 2001 encourages concessioners to offer items for
sale that foster awareness and understanding of a park. In this regard, the
2001 policy directs each park with a concessioner to have a gift shop
mission statement that ensures concessioners sell merchandise reflecting
information about the park. For example, at the Grand Canyon, one
concessioner’s gift shop mission statement states that “to the greatest
extent possible, merchandise will have an identifiable relationship to
Grand Canyon National Park” and identifies several park themes, such as
the park’s geology and history, that serve as a guide for implementing this
objective. While this increased emphasis on concessioners selling more
educational and theme-related merchandise may help provide visitors with
a better park experience, it also promotes greater competition among
associations and concessioners. According to some concession officials at
the parks we visited, this emphasis by the Park Service makes
concessioner sales venues more like those of cooperating associations. On
the other hand, concession officials at other parks we visited stated that
this change did not pose serious competitive issues.




Page 31                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
In a broader context, the issue of competition between for-profit and
nonprofit organizations is a long-standing one that is not limited to the Park
Service. As we have previously reported,23 representatives of for-profit
businesses believe that the revenue-generating activities of nonprofit
organizations exceed the traditional role of these organizations, and that
the nonprofits receive a competitive advantage by virtue of their nonprofit
tax status and other benefits. On the other hand, representatives of
nonprofits believe certain nontraditional activities further their nonprofit
purposes by generating additional revenue to fund these purposes.
Although the Congress has attempted to address this issue in the past, it
remains contentious.24

Park Service policy recognizes that a “delicate balance” exists between
associations that have traditionally served an educational mission and
concessioners that provide “necessary and appropriate” visitor services.
Concessioners at two of the parks we visited, a local business at a park
without a merchandising concessioner, and officials from the national
organization representing park concessioners,25 contended that this
delicate balance has become unsteady, and expressed concern that
cooperating association operations are expanding into areas traditionally
served by concessioners or for-profit businesses. They were unsure of the
bounds on association sales activity and believed some association
merchandise and services duplicated or replaced merchandise and services
available in or near parks, were inconsistent with nonprofit educational
mandates, and placed for-profits in increased financial jeopardy. Park
Service regional directors generally agreed that the roles of both
associations and concessioners are changing and that the distinction
between what associations and concessioners sell has become less clear.




23
 U.S. General Accounting Office, Tax Policy: Competition Between Taxable Businesses
and Tax-Exempt Organizations, GAO/GGD-87-40BR (Washington, D.C.: Feb. 27, 1987); and
U.S. General Accounting Office, Competition Between Tax-Exempt Organizations and
Taxable Businesses, GAO/T-GGD-88-43 (Washington, D.C.: June 28, 1988).
24
 U.S. General Accounting Office, Tax Exempt Organizations: Additional Information on
Activities and IRS Oversight, GAO/T-GGD-95-198 (Washington, D.C.: June 29, 1995).
25
     The National Park Hospitality Association represents park concessioners at the national level.




Page 32                           GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Park Managers Have Broad     In practice, park managers determine whether a cooperating association or
Discretion in Deciding to    concessioner will operate in a park. They also determine the scope, mix,
                             and appropriateness of the sales and services that are provided. In this
Expand Cooperating           regard, local managers are also responsible for monitoring nonprofit
Association Sales and        operations, ensuring that association sales and services do not conflict
Services and Do Not Always   with the contractual rights of concessioners, and minimizing potential
Provide                      conflicts with concessioners. However, the rationale for decisions on these
Transparent Rationale        matters was not always transparent, which contributed to conflicts among
                             park management, cooperating associations, and concessioners.

                             At each of the three parks we visited where there were conflicts—Grand
                             Canyon, Fort Sumter, and Gettysburg—cooperating associations
                             merchandise sales or services were expanded without concessioners or
                             other local for-profit businesses having an opportunity to compete to
                             provide these operations. Further, in each instance, the sales and services
                             at the center of these conflicts were to be provided at prime locations
                             within each park and the decision was made without providing a
                             transparent rationale. In two cases, park officials decided to allow
                             associations to provide new sales or services without addressing the
                             decision in park plans. The following paragraphs provide a snapshot of the
                             circumstances at each of these three parks.

                             At the Grand Canyon, park officials requested that the association
                             construct a bookstore adjacent to a new visitors center on the South Rim of
                             the Canyon—by far, the most popular and heavily visited area of the park.
                             The association raised $1.8 million for the project, gave the store property
                             to the Park Service, and assumed responsibility for operating the store. As
                             previously discussed, park managers permitted the association to sell
                             traditional, park-related educational merchandise as well as visitor
                             convenience items. Concessioner officials at the Grand Canyon told us
                             that, in their opinion, providing them an opportunity to compete to operate
                             the bookstore would have been a more balanced approach. Further, the
                             officials told us that a double standard is applied by park managers that is
                             advantageous to the cooperating association. As evidence of this concern,
                             the concessioners cited how signage restrictions are applied differently for
                             concessioners than for the cooperating association. On the south rim of the
                             canyon, a store operated by the concessioner was not permitted to post any
                             outside signage or displays, while an adjacent store operated by the
                             cooperating association was permitted to do so (see figs. 3 and 4). In
                             commenting on these pictures, the current cooperating association
                             executive director stated that the signage outside the association’s
                             bookstore was justified because, unlike the concession store, the


                             Page 33                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
bookstore was not visible from the major visitor contact area. However, in
our view, this does not justify different signage standards for concessioners
and associations. Moreover, these displays do not make the store visible
from where it was previously invisible. Finally, the sandwich board
displayed outside this store, advertised an association bookstore that is
located elsewhere in the park.



Figure 3: Lookout Studio (Concession Store) on Grand Canyon Rim




Page 34                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Figure 4: Kolb Studio (Association Store) on Grand Canyon Rim




At Fort Sumter, the long-term plan for the development of the park
specified that the concessioner-operated sales facility at the Fort would be
relocated to a new visitor’s center. In a commercial services plan designed
to implement the long-term plan, park officials decided that the
cooperating association would operate the new sales facility at the visitor’s
center, that the cooperating association could sell visitor convenience
items as well as educational merchandise, and that no other merchandise
facilities would be permitted. In accordance with the park’s commercial
services plan, park managers did not provide the existing park
concessioner an opportunity to operate the new sales facility. However,
although both the long-term and implementation plans envisioned closing
the sales facility at the Fort, this has not happened and the association
operates two stores—one at the new visitors center and a second at the
Fort. The park concessioner believes there should have been a bid
solicitation process for operating the new facility—particularly since the
cooperating association is selling noneducational visitor convenience items
that had been sold by the concessioner.




Page 35                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                             At Gettysburg, the local park manager permitted the association to manage
                             a new, narrated bus tour for park visitors without giving for-profit
                             businesses an opportunity to compete to provide this service. According to
                             the owner of a competing local for-profit business near the park’s visitor
                             center, the association-managed tour presents unfair competition because
                             there was no public advertisement or discussion of the park’s proposal to
                             initiate the association tours, nor was there a bid solicitation process that
                             afforded for-profit businesses an opportunity to contract to provide this
                             service. According to park officials, their decision to allow the cooperating
                             association to manage a new tour from the visitor’s center instead of a
                             concessioner or other for-profit business was made for several reasons,
                             including their belief that the association would provide the best
                             educational service to visitors; and that associations require less park
                             resources to administer and allow changes that are responsive to the needs
                             of park management.



Financial Incentives         Cooperating associations can provide a much higher return to parks
Encourage Increased Use of   than concessioners. This ability is not surprising since, as nonprofit
                             organizations, they enjoy a number of important financial advantages
Cooperating Associations     over for-profits. Most park officials that we spoke with said that financial
by Parks                     advantage was not a factor in deciding whether an association or a
                             concessioner provides sales and services. Rather, they described service to
                             park visitors as the most important criterion. However, park officials at
                             Gettysburg did tell us that associations’ higher financial return to parks was
                             a factor in their decision to allow a cooperating association to operate a
                             new bus tour. In commenting on a draft of this report, nonprofit
                             organizations stated that although associations provide a higher return to
                             the parks, this provides only a minimal incentive for park superintendents
                             to select a cooperating association over a concessioner.

                             Park Service data show that cooperating associations contribute a
                             considerably higher percentage of total revenue to the parks than
                             concessioners. Over 5 fiscal years, 1997 through 2001, association
                             contributions averaged 26 percent of revenue. In contrast, the
                             concessioners that sold merchandise paid the Park Service an average of
                             about 4 percent of revenue over the same period (see table 11).26


                             26
                              Concessioner fees include franchise fees and payments to “special accounts.” Special
                             accounts are payments set aside for specific purposes like improving park-owned buildings
                             and infrastructure that a concessioner uses in providing services.




                             Page 36                    GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Table 11: Cooperating Associations’ and Merchandise Concessioners’ Contributions and Revenues (Fiscal Year 1997-2001)

Dollars in millions
                                                                                                                 Average contribution rate
Type of organization                    5-Year contribution                     5-Year revenues                   (percentage of revenue)
Cooperating associations                               $138.3                               $529.2                                           26a
Merchandise concessioners                                148.0                             3,325.9                                            4b
Source: National Park Service.
                                         a
                                          This contribution rate does not include nonprofit revenues that are retained or accumulated for future
                                         contributions to the parks. Approximately one-fourth of association contributions are the estimated
                                         value of information assistance provided by nonprofit sales staff.
                                         bThese concessioners also provide nonmerchandise sales or services. This percentage includes all

                                         such concessioner sales.


                                         For example, the cooperating association at the Grand Canyon NP gave
                                         about 36 percent of its gross revenue to the park. The concessioners paid
                                         about 4 percent of sales revenue to the park during this period. Also, local
                                         parks retain 100 percent of association contributions, but keep only
                                         80 percent of concession payments, consistent with legislation that was
                                         enacted in 1998.27

                                         Cooperating associations generally provide a higher return to parks than
                                         concessioners owing, in large part, to associations’ nonprofit status and
                                         charitable mission as well as to park policies that support association
                                         operations. The following factors provide associations with a considerable
                                         financial advantage when providing sales or services compared with
                                         concessioners:

                                         • All cooperating associations are tax-exempt organizations under the
                                           Internal Revenue Code. Thus, they do not pay federal income taxes on
                                           funds collected to meet their nonprofit purpose.

                                         • In most states, associations that are exempt from federal taxes do not
                                           have to pay state income tax on funds collected to meet their nonprofit
                                           purpose.



                                         27
                                           Prior to 1998, all franchise fees paid by concessioners were deposited into the general fund
                                         of the Treasury. Under the National Parks Omnibus Management Act of 1998 (Pub. L. No.
                                         105-391), 80 percent of these fees are available without further appropriation for use at the
                                         local park and 20 percent are for uses throughout the national park system.




                                         Page 37                         GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
• Associations that are exempt from federal taxes may obtain exemptions
  from state and local sales taxes. Such exemptions apply to the
  purchases of the association. In a few states, associations also may be
  exempted from collecting state and local sales taxes on the sale of
  merchandise.

• Association sales and service revenues are substantially enhanced
  through donations and memberships fees from individuals and
  organizations wishing to support park activities.

• Volunteers often provide association services and may staff bookstore
  operations, thereby reducing association salary expenses.

• Association profits must be used to support the parks and are not
  shared with stockholders or company owners.

• Association Boards of Directors generally are not salaried.

• Parks routinely provide free sales areas and other facilities to the
  associations. For example, the parks provide bookstore space within
  visitor centers and support association field institutes by providing free
  facility space for classrooms and for instructor and participant housing.

• Parks provide free services that reduce overall association operating
  costs and overhead expenses. These services may include routine
  maintenance, garbage collection, interior work, repair services, and
  such utilities as water, heat, and air conditioning (to the extent these are
  required for the operation of the building for government purposes).

• Park staff sometimes assist in operating association bookstores. This
  assistance occurs after regular association operating hours, during off-
  season periods when the association may not have full-time staff, and at
  locations with low visitation where the association cannot afford to
  employ full-time staff.

We did not attempt to quantify the value of tax-exempt status and park
assistance to associations. However, Park Service, association, and
concessioner officials agree that the nonprofit tax-exempt status is an
association’s paramount financial advantage.

Although cooperating associations usually enjoy financial advantages in
competing with concessions, not all associations are profitable. For



Page 38                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                              example, according to Park Service officials, the cooperating association
                              that serves the 14 Park Service sites in Washington, D.C., has had serious
                              financial problems. This association provides educational materials to
                              visitors at facilities like the Washington Monument and Lincoln Memorial
                              and has estimated debts exceeding $800,000. Further, according to its new
                              executive director, the association lost money in 8 of the past 10 years.
                              While other factors contributed to these losses, the director told us that
                              one reason the association has not made money is that it could not sell
                              many profitable items in its bookstores because Park Service officials
                              viewed the items as competing with the sales of park concessioners.



Park Service Does Not Use     The Park Service is aware of the competitive tensions and potential
Planning Tools Available to   conflicts that can exist between cooperating associations and
                              concessioners within a park. To minimize conflicts, help ensure that agency
Better Define and Manage
                              policies are consistently followed, and provide a more systematic basis for
the Roles of Nonprofits       making decisions about commercial sales and services in parks, Park
and Concessioners             Service guidance suggests that individual park managers develop
                              Commercial Services Plans.

                              Essentially, Commercial Services Plans are publicly available documents
                              that, among other things, are intended to establish a predictable business
                              environment in parks by better defining the roles of cooperating
                              associations, concessioners, and other for-profit businesses in providing
                              sales and services to park visitors. These plans also are intended to clarify
                              what kind of sales and services are to be provided by the various
                              commercial interests in a park. In brief, the plans rationalize a park’s
                              approach to providing visitor sales and services and provide a
                              decision-making framework that is transparent to the public, visitors, and
                              commercial stakeholders at the park. To facilitate the development of this
                              planning tool, the Park Service provides local park managers with
                              guidelines, standards, and assistance.

                              However, despite agency guidance and the benefits associated with
                              Commercial Services Plans, they are rarely used. Data gathered from Park
                              Service regional offices show that these plans were developed at only 3 of
                              84 parks (4 percent) where both cooperating associations and
                              concessioners provide sales and services (app. VI has a complete list of
                              these parks and the status of their plans). Moreover, we visited two of the
                              six parks that had developed plans—Fort Sumter and Yosemite—and found
                              that the plans did not meet the agency’s standards. At Yosemite, the plan
                              was more than 10 years old and was based on an outdated management



                              Page 39                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                     plan for the development of the park. Moreover, the plan did not describe
                     the commercial activities of the cooperating association. The Fort Sumter
                     plan, developed in 2000 and containing considerable detail, did not address
                     the current scope of cooperating association operations because these had
                     expanded beyond what the plan envisioned.

                     Park Service officials told us that the primary reason Commercial Services
                     Plans were not developed or up to date was because park resources are
                     limited and preparing the plans is not among the agency’s highest priorities.
                     At Yosemite NP, for example, park officials believed an updated plan would
                     be helpful but that the plan also would require an Environmental Impact
                     Statement (EIS). They expected that preparing the EIS would cost
                     extensive park resources and viewed this cost as a major obstacle. Further,
                     Commercial Services Plans must be consistent with the long-term
                     management plans for the parks. These long-term plans—known as
                     General Management Plans—are frequently out of date.28 In fact, over
                     25 percent of parks either do not have a General Management Plan or have
                     a plan that is more than 20 years old. As a result, developing or updating
                     Commercial Services Plans could also require that General Management
                     Plans be updated. For example, at two of the six parks we visited the
                     General Management Plans were more than 20 years old and needed
                     updating. Updating and developing these plans would require a major
                     resource commitment by the agency. Appendix VI provides a complete list
                     of the status of General Management Plans.



Park Service         The Park Service does not have an effective process for holding local park
                     managers accountable for meeting nonprofit contribution goals, even
Cannot Hold Local    though one of the agency’s strategic goals is to increase the amount of
Park Managers        contributions it receives from nonprofit organizations. The Park Service’s
                     Strategic Plan FY 2000–FY 2005 establishes contribution goals for
Accountable          cooperating associations and friends groups. The agency has identified
for Meeting          these goals as critical to accomplishing the mission of the Park Service. For
Contribution Goals   cooperating associations, the agency’s goal is to increase the amount of
                     donations and services by 35 percent from $19.0 million in the fiscal 1997-
                     baseline year to $25.6 million by 2005. For friends groups and other


                     28
                      General Management Plans are the basic park guidance document. The National Parks and
                     Recreation Act of 1978 (Pub. L. No. 95-625, 92 Stat. 3467, 3518), codified at 16 U.S.C. §1a-7,
                     requires that each park unit maintain an up-to-date General Management Plan. Park Service
                     guidance anticipates that these plans will be revised every 10-15 years.




                     Page 40                      GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
sources, the goal is to increase cash and in-kind donations from
$14.5 million in fiscal 1998 to $50.0 million by 2005. These long-term
strategic goals are broken into annual agencywide performance targets and
used to establish contribution goals for each park unit.

However, the Park Service does not collect the information needed to
determine whether these goals are being met and to accurately measure
nonprofit support. For cooperating associations, the Park Service collects
only aggregate information on the amount of association contributions.
Consequently, agency managers cannot always track contributions on a
park-by-park basis because, as discussed previously, cooperating
associations usually serve multiple parks. Specifically, about 40 percent of
all cooperating associations operate in more than one park and six of the 10
largest revenue-generating cooperating associations operate in more than
one park. Table 12 lists the 10 largest associations and the number of parks
served.



Table 12: Top 10 Cooperating Associations by Average Annual Revenue (1997-2001)

Dollars in millions
Cooperating association                                           Average annual revenue   Parks served
Eastern National                                                                  $21.08           127
Golden Gate National Parks                                                         19.20             3
Western National                                                                    8.79            56
Grand Canyon                                                                        5.69             1
Parks and History                                                                   4.87            14
Jefferson National Parks                                                            4.43             3
Great Smoky Mountains Natural History                                               4.26             1
Arizona Memorial Museum                                                             3.33             3
Yellowstone                                                                         2.72             1
Yosemite Natural History                                                            2.27             1
Source: National Park Service and selected cooperating associations.


As table 12 shows, the Eastern National cooperating association serves 127
parks. However, the Park Service collects information only on the total
contributions made by Eastern National and not on the amount of
contributions made to each of the 127 park units it serves. Accordingly,
collecting and reporting only aggregate contribution information for
Eastern National and other associations that serve multiple park units
precludes the agency from establishing meaningful performance goals,


Page 41                                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
              evaluating the performance of local managers against the goals, and
              holding managers accountable for meeting established contribution goals.

              Although the Park Service collects some information on the contributions
              made by cooperating associations, it does not routinely collect any
              information on the amount of contributions made to parks by friends
              groups—either in the aggregate or on a park-by-park basis. In fact, the Park
              Service does not maintain an accurate, up-to-date list of friends groups
              currently working with the agency or of the specific parks they serve.
              Lacking this basic management information, the agency is unable to
              establish meaningful goals for local park managers or to monitor friends
              group contributions on an agencywide or park-by-park basis.

              According to Park Service and nonprofit officials, more complete
              information on cooperating associations and friends groups is not collected
              and reported for two key reasons. First, because nonprofits are voluntary
              partners in assisting the agency in performing its mission and already must
              meet a wide range of administrative requirements, both agency and
              nonprofit officials are reluctant to initiate additional requirements for
              collecting and reporting information. Second, both agency and nonprofit
              officials are concerned that collecting and reporting detailed information
              on the amount of contributions could lead to offsetting reductions in the
              amount of congressional appropriations made available to the agency.



Conclusions   Between 1997 and 2001 cooperating associations substantially increased
              their financial support to parks. A major reason for this increased support
              is the additional revenue that cooperating associations generated from
              expanded sales of educational materials, services, and visitor convenience
              items. Friends group contributions also have dramatically increased, in
              large part because the number of these groups rose as did the scope of their
              fund-raising activities. These increased nonprofit donations are good news
              for the Park Service and the national park system because they supplement
              the appropriated funds provided by the Congress. However, the expanding
              presence and scope of cooperating association sales and service activities
              is causing some conflicts at parks where concessioners or other local, for-
              profit businesses are competing for similar sales and services. Given the
              conflicts we found at three of six parks we reviewed and the agency’s
              continuing emphasis on increasing the amount of nonprofit support for the
              national park system, we believe these conflicts will become more
              common.




              Page 42                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                       Several other factors add to the likelihood of increased conflict, especially
                       at parks having both association and concessioner sales and services.
                       Specifically, agency policies that encourage concessioner sales and
                       services that are related to park themes, and agency decisions permitting
                       increased visitor convenience item sales by cooperating associations, blur
                       the distinction between concessioner and association activities. Local park
                       managers’ broad discretion in determining whether concessioners or
                       cooperating associations provide needed sales and services and the
                       substantial financial incentive for using cooperating associations also
                       heighten the likelihood of conflict. In light of these circumstances, it is not
                       surprising that park managers are expanding cooperating association roles.
                       In the final analysis, these decisions may be in the best interest of the
                       parks; however, the process for making these decisions does not serve to
                       minimize conflicts because it does not provide a transparent rationale or
                       give concessioners or other local for-profit businesses an opportunity to
                       compete for new sales and services.

                       The Park Service understands the competitive tensions that exist between
                       concessioners and cooperating associations. To help minimize conflicts,
                       park managers are advised to develop Commercial Services Plans. These
                       plans are intended to provide a logical and consistent basis for decisions,
                       reflect public comments, and provide a more predictable commercial
                       environment in the parks, which would give businesses greater confidence
                       in their long-term decisions. However, these plans are only rarely
                       developed or used. As a result, the basis for park decisions is not always
                       clear, and public accountability is diminished.

                       Moreover, because the Park Service does not collect accurate or complete
                       information on the contributions it receives from its nonprofit partners—
                       either agencywide and on a park-by-park basis—it cannot hold park
                       managers accountable for meeting strategic contribution goals. Further,
                       without better and more complete information the agency cannot establish
                       meaningful performance goals or monitor progress against these goals.



Recommendations        In order to (1) minimize conflicts among the Park Service, cooperating
                       associations, and concessioners, (2) better ensure that decisions about
for Executive Action   providing commercial sales and services are made more consistently and
                       that logical criteria are followed, (3) provide a predictable commercial
                       environment in the parks, and (4) enhance public accountability for its
                       decisions, we recommend that the Secretary of the Interior require the
                       Director of the National Park Service to



                       Page 43                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                      • revise its policy regarding Commercial Services Plans so that all parks
                        offering visitor sales and services are required to develop these plans
                        and

                      • ensure that Commercial Services Plans include (1) an explanation of the
                        roles and responsibilities of both concessioners and cooperating
                        associations in providing visitor sales and services in a park unit and (2)
                        rationale for decisions that specify associations or other nonprofits will
                        provide new visitor sales or services and that do not afford
                        concessioners and other local, for-profit businesses an opportunity to
                        compete.

                      To establish meaningful contribution goals and to improve the
                      accountability of park managers in meeting agency goals, we recommend
                      that the Secretary of the Interior require the Director of the National Park
                      Service to

                      • develop and maintain an accurate and up-to-date list of friends groups
                        on a park-by-park basis and

                      • require cooperating associations and friends groups to report key
                        financial information on a park-by-park basis.



Agency Comments and   We provided the Department of the Interior, the Association of Partners
                      For Public Lands (representing park cooperating associations and friends
Our Evaluation        groups), and the National Park Hospitality Association (representing park
                      concessioners), with copies of a draft of this report. The Association of
                      Partners For Public Lands and the National Park Hospitality Association
                      generally agreed with the recommendations and contents of this report.
                      The Association of Partners For Public Lands’ comments are included in
                      appendix VII. In addition, the Association provided technical and clarifying
                      comments that we incorporated into the report as appropriate. The
                      National Park Hospitality Association’s comments are in appendix VIII. The
                      association suggested additional recommendations. However, we believe
                      these are not warrented based on the information and analysis in the
                      report. The Department of the Interior did not provide comments on the
                      report.




                      Page 44                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
As agreed with your office, unless you publicly announce its contents
earlier, we plan no further distribution of this report until 30 days from the
date of this letter. At that time, we will send copies of this report to
appropriate congressional committees and other interested parties. We
will also make copies available to those who request them. In addition, this
report will be available at no charge on the GAO Web site at
http://www.gao.gov.

If you or your staff have any questions about this report, please call me or
Cliff Fowler at (202) 512-3841. Key contributors to this report were Michael
Krafve, Paul Lacey, Peter Oswald, and Mona Sehgal.

Sincerely yours,




Barry T. Hill
Director, Natural Resources
 and Environment




Page 45                 GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix I

Scope and Methodology                                                                                   AA
                                                                                                         ppp
                                                                                                           ep
                                                                                                            ned
                                                                                                              n
                                                                                                              x
                                                                                                              id
                                                                                                               e
                                                                                                               x
                                                                                                               Iis




             We examined activities of two types of nonprofit organizations commonly
             found at parks: (1) cooperating associations and (2) friends groups.
             Although other nonprofit organizations also provide services and conduct
             commercial activities such as guided hiking and rafting trips at park sites,
             based on the subcommittee’s letter and discussions with subcommittee
             staff, these organizations were not included in the scope of this review.

             To identify the number of parks supported by nonprofit organizations and
             these organization’s contributions, we obtained annual reports of
             cooperating association’s aid and revenue from the National Park Service’s
             Division of Interpretation and Education. We obtained the National Par
             Service’s most recent directory of friends groups (1998-1999) from the Park
             Service’s Partnership Office and contacted groups listed in the directory. To
             determine which groups were active, we telephoned all groups listed in the
             directory. For groups that could not be reached, we confirmed with the
             associated parks whether the group was still active. We also obtained
             organizational information from representatives of nonprofit groups, including the
             National Park Foundation, and National Park Service officials. We identified 149
             friends groups, although it is possible that there are other groups that we
             were not able to identify. Contribution amounts and other nonprofit financial
             information used in this report are based on several sources. We received
             data on cooperating associations for 1997-2001 from the Park Service;
             these data are based on annual reports that all cooperating associations are
             required to submit to the Park Service. Tax data for 1998-2000 were
             purchased from the Urban Institute, which contracts with the Internal
             Revenue Service to digitize data on tax-exempt organizations;1 these data
             were based on tax returns submitted by nonprofit organizations with
             revenues over $25,000. Tax data were also obtained from the GuideStar
             Web site operated by Philanthropic Research Inc.; these data consisted of
             electronically scanned tax reports for friends groups and cooperating
             associations with revenues over $25,000. We also surveyed identified
             friends groups, as described below.

             We did not verify that information in the annual reports and tax returns was
             correct. We relied heavily on self-reported donation and tax data from tax-


             1
              Public charities under Internal Revenue Code Section 501(c)(3) are required to file annual
             financial returns with the Internal Revenue Service. Larger charities—with gross receipts of
             $100,000 or more—are required to file a “Return of Organization Exempt From Income Tax
             (IRS Form 990); smaller charities—with gross receipts less than $100,000 and total assets of
             less than $250,000—are allowed to file an abbreviated Form 990-EZ; and charities with gross
             receipts of $25,000 or less, are not required to file.




             Page 46                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix I
Scope and Methodology




exempt organizations; however, we previously reported2 that because
potential donors look at what percentage of expenses go to the charitable
purpose rather than management and fund-raising, nonprofit organizations
have an incentive to report management and fund-raising costs as
charitable expenses. Thus, there may be some over reporting of charitable
contributions and underreporting of management and fund-raising costs. In
this regard, we noted significant differences in reported tax information by
two of the largest cooperating associations, Eastern National and Parks
and History. Eastern National reports that about 20 percent of its
expenditures are for charitable purposes and about 80 percent is used to
cover the costs of materials, selling, and administrative expenses; Parks
and History reports that about 90 percent of its expenditures are charitable
expenses.

Data from the Park Service on cooperating associations were not
comparable with tax data from the Urban Institute and GuideStar because
of differences in reporting periods and accounting practices. We assessed
the reliability of the electronic data we received from the Park Service and
the Urban Institute through tests to determine obvious problems with
completeness or accuracy. We determined that the data were reliable
enough for the purposes of this report.

In addition, we conducted a survey of active friends groups regarding their
financial information. We mailed the survey to all 149 identified groups in
June 2002 and conducted several follow-ups by telephone and e-mail to
encourage responses; we completed data collection in November 2002. Of
the 149 groups surveyed, 79 returned responses (53 percent). Survey data
were supplemented with tax data for an additional 23 groups, resulting in
102 of 149 groups (68 percent) with available financial data. Where
possible, survey data were compared to tax data and any discrepancies
were resolved through discussion with the groups. Figures presented in
this report represent the two-thirds (68 percent) of identified friends
groups for which we had either tax data or survey data, and dollar amounts
should be considered a minimum estimate of the totals for all friends
groups.




2
 U.S. General Accounting Office, Tax-Exempt Organizations: Improvements Possible
in Public, IRS, and State Oversight of Charities, GAO-02-526 (Washington, D.C.:
Apr. 30, 2002).




Page 47                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix I
Scope and Methodology




To identify the revenue-generating activities of nonprofits in the parks, and
factors that contribute to cooperating association and concessioner
competition and conflicts, and to assess how park managers are held
accountable for meeting park service goals for nonprofit contributions, we
(1) reviewed Park Service documents, plans, and policies; (2) obtained
information from each of the Park Service’s seven regional offices; and (3)
met with National Park Service officials, the Association of Partners For
Public Lands3 the National Park Foundation, the National Park Hospitality
Association, and the Friends Alliance.4 We also met with park, nonprofit,
and concessioner officials at Gettysburg NMP,5 Fort Sumter NM,6 Grand
Canyon NP, Badlands NP,7 Yosemite NP, and Yellowstone NP and discussed
a nonprofit-managed concession contract with park and association
officials at Mt. Rushmore NM. We chose to visit Grand Canyon, Yosemite,
and Yellowstone national parks because their cooperating association and
concession operations were among the largest in the park system;
Gettysburg NMP and Fort Sumter NM to explore concessioner and local
business concerns about nonprofit activities in these parks; and Badlands
NP for perspective on a smaller nonprofit operation. Because these parks
were not a random sample, they may not be representative of the system as
a whole. We obtained data identifying merchandising concessioners, along
with fees paid to the parks, from the Park Service’s Concession
Management Division.,

We conducted our work from October 2001 to April 2003 in accordance
with generally accepted government auditing standards.



3
 The Association of Partners For Public Lands is a nonprofit organization that represents
member groups, including most cooperating associations, at a national level. Voting
members must have a formal agreement as a “cooperating” or “interpretive” association
with a public land management agency to operate a sales outlet and provide interpretive
materials to visitors. Formerly known as the Conference of National Park Cooperating
Associations, the Association of Partners For Public Lands also provides management and
operations training for its members and for agency personnel.
4
The Friends Alliance is a loosely formed network consisting of the largest friends groups.
5
The Eisenhower NHS and Gettysburg NMP are jointly managed.
6
 The Park Service’s Fort Sumter NM staff manage Fort Sumter, Fort Moultrie, and the
Charles Pinckney NHS.
7
 We did not meet with the concessioner at Badlands NP. Shortly before our visit, the
concessioner ceased operating because of financial problems. These problems were not
related to cooperating association activities.




Page 48                    GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix II

Statutory Provisions Relating to Cooperating
Associations and Friends Group Activities at
National Parks                                                                                          Appendx
                                                                                                              Ii




16 U.S.C. § 1          Establishes the National Park Service and the basic mission of the agency:
                       “to conserve the scenery and the natural and historic objects and the wild
                       life therein and to provide for the enjoyment of same in such manner and
                       by such means as will leave them unimpaired for the enjoyment of future
                       generations.”



16 U.S.C. § 1a-2 (g)   Authorizes the Secretary of the Interior to enter into contracts, including
                       cooperative arrangements, with respect to conducting living exhibits,
                       interpretive demonstrations, and park programs.



16 U.S.C. § 1b(5)      Authorizes the Secretary of the Interior to provide, on a reimbursable basis,
                       supplies and equipment to persons that render services or perform
                       functions that facilitate or supplement the activities of the Park Service.



16 U.S.C. § 1g         Authorizes the Park Service to enter into cooperative agreements that
                       involve the transfer of Park Service appropriated funds to state, local and
                       tribal governments, other public entities, educational institutions, and
                       private nonprofit organizations for the public purpose of carrying out
                       National Park Service programs pursuant to 31 U.S.C. § 6305.



16 U.S.C. § 3          Authorizes the Secretary of the Interior to issue rules and regulations for
                       use and management of park areas.



16 U.S.C. § 6          Authorizes the Secretary of the Interior to accept donations of lands, other
                       property, and money for the purposes of the National Park System.



16 U.S.C. § 17j-2(e)   Authorizes the use of Park Service appropriations for the services of field
                       employees in cooperation with nonprofit scientific and historical societies
                       engaged in educational work in the parks.



16 U.S.C. § 18f        Authorizes the Secretary of the Interior to accept donations and bequests
                       of money or other personal property, and use and administer these for the



                       Page 49                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                     Appendix II
                     Statutory Provisions Relating to Cooperating
                     Associations and Friends Group Activities at
                     National Parks




                     purposes of increasing the public benefits from museums within the
                     National Park System.



16 U.S.C. § 19e      Establishes the National Park Foundation, a charitable and nonprofit
                     corporation, to accept and administer gifts of real and personal property
                     for the benefit of, or in connection with, the National Park Service, its
                     activities, or its services.



16 U.S.C. § 19jj-4   Authorizes the Secretary of the Interior to accept donations of money or
                     services to meet expected, immediate, or ongoing response costs
                     concerning destruction, loss, or injury to park system resources.



16 U.S.C. § 462(e)   Authorizes the Park Service to enter into contracts and cooperative
                     agreements with associations and others to protect, preserve, maintain, or
                     operate any historic or archaeologic building, site, object, or property in
                     the National Park System.



16 U.S.C. § 464      Authorizes the Secretary of the Interior, in administering historic sites,
                     buildings, and objects of national significance, to cooperate with and seek
                     and accept the assistance of any federal, state, or municipal department or
                     agency; any educational or scientific institution; or any patriotic
                     association or individual.



31 U.S.C. § 6305     Authorizes federal agencies to use cooperative agreements when (1) the
                     principal purpose is to transfer a thing of value to the recipient to carry out
                     a public purpose and (2) substantial involvement is expected between the
                     agency and the recipient when carrying out the activity contemplated in the
                     agreement.




                     Page 50                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix III

National Parks Affiliated with Cooperating
Associations, Friends Groups,
and/or Merchandise Concessioners                                                                                               Appendx
                                                                                                                                     iI




National parks                                      Cooperating associations   Friends groups    Merchandise concessioners
Abraham Lincoln Birthplace National Historic Site              X
Acadia National Park                                           X                     X                        X
Adams National Historic Site                                   X                     X
Agate Fossil Beds National Monument                            X
Alagnak Wild River
Alibates Flint Quarries National Monument                      X
Allegheny Portage Railroad National Historic Site              X
Amistad National Recreation Area                               X                                              X
Andersonville National Historic Site                           X                     X
Andrew Johnson National Historic Site                          X
Aniakchak National Monument
Aniakchak National Preserve
Antietam National Battlefield                                  X                     X
Apostle Islands National Lakeshore                             X                                              X
Appalachian National Scenic Trail                                                    X
Appomattox Court House National Historical Park                X
Arches National Park                                           X
Arkansas Post National Memorial                                X
Arlington House—The Robert E. Lee Memorial                     X                     X
Assateague Island National Seashore                            X                     X                        X
Aztec Ruins National Monument                                  X
Badlands National Park                                         X                                              X
Bandelier National Monument                                    X                     X                        X
Bent’s Old Fort National Historic Site                         X                                              X
Bering Land Bridge National Preserve                           X
Big Bend National Park                                         X                     X                        X
Big Cypress National Preserve                                  X
Big Hole National Battlefield                                  X
Big South Fork National River & Recreation Area                X                     X                        X
Big Thicket National Preserve                                  X                     X
Bighorn Canyon National Recreation Area                        X                     X                        X
Biscayne National Park                                         X                     X                        X
Black Canyon of the Gunnison National Monument                 X                                              X
Blue Ridge Parkway                                             X                     X                        X
Bluestone National Scenic River
Booker T. Washington National Monument                         X                     X




                                              Page 51                GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                                 Appendix III
                                                 National Parks Affiliated with Cooperating
                                                 Associations, Friends Groups,
                                                 and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                          Cooperating associations       Friends groups    Merchandise concessioners
Boston African American National Historic Site                                                X
Boston Harbor Islands National Recreation Area                                                X
Boston National Historical Park                                      X                        X
Brices Cross Roads National Battlefield Site
Brown v. Board of Education National Historic Site
Bryce Canyon National Park                                           X                                                X
Buck Island Reef National Monument                                                                                    X
Buffalo National River                                               X
Cabrillo National Monument                                           X
Canaveral National Seashore                                          X                        X
Cane River Creole National Historical Park                           X                        X
Canyon de Chelly National Monument                                   X                                                X
Canyonlands National Park                                            X
Cape Cod National Seashore                                           X                        X                       X
Cape Hatteras National Seashore                                      X                                                X
Cape Krusenstern National Monument                                   X
Cape Lookout National Seashore                                       X                                                X
Capitol Reef National Park                                           X                        X                       X
Capulin Volcano National Monument                                    X
Carl Sandburg Home National Historic Site                            X                        X
Carlsbad Caverns National Park                                       X                                                X
Casa Grande Ruins National Monument                                  X
Castillo de San Marcos National Monument                             X
Castle Clinton National Monument                                     X
Catoctin Mountain Park                                               X                        X
Cedar Breaks National Monument                                       X
Chaco Culture National Historical Park                               X
Chamizal National Memorial                                           X                        X
Channel Islands National Park                                        X
Charles Pinckney National Historic Site                              X                        X
Chattahoochee River National Recreation Area                         X                                                X
Chesapeake & Ohio Canal National Historical Park                     X                        X                       X
Chickamauga & Chattanooga National Military Park                     X                        X
Chickasaw National Recreation Area                                   X
Chiricahua National Monument                                         X
Christiansted National Historic Site                                 X
City Of Rocks National Reserve                                                                X




                                                 Page 52                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                              Appendix III
                                              National Parks Affiliated with Cooperating
                                              Associations, Friends Groups,
                                              and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                       Cooperating associations       Friends groups    Merchandise concessioners
Clara Barton National Historic Site                               X                        X
Colonial National Historical Park                                 X                                                X
Colorado National Monument                                        X                                                X
Congaree Swamp National Monument                                  X                        X
Constitution Gardens                                                                       X
Coronado National Memorial
Cowpens National Battlefield                                      X
Crater Lake National Park                                         X                        X                       X
Craters of the Moon National Monument                             X                                                X
Cumberland Gap National Historical Park                           X
Cumberland Island National Seashore                               X
Curecanti National Recreation Area                                X                                                X
Cuyahoga Valley National Recreation Area                          X                        X                       X
Dayton Aviation Heritage National Historical Park                                          X
De Soto National Memorial                                         X
Death Valley National Park                                        X                        X                       X
Delaware National Scenic River
Delaware Water Gap National Recreation Area                       X                        X
Denali National Park                                              X                        X                       X
Denali National Preserve                                          X                        X                       X
Devils Postpile National Monument                                 X                        X
Devils Tower National Monument                                    X
Dinosaur National Monument                                        X                                                X
Dry Tortugas National Park                                        X                        X
Ebey’s Landing National Historical Reserve
Edgar Allan Poe National Historic Site                            X
Edison National Historic Site                                     X                        X
Effigy Mounds National Monument                                   X
Eisenhower National Historic Site                                 X                        X
El Malpais National Monument                                      X
El Morro National Monument                                        X
Eleanor Roosevelt National Historic Site                          X                        X
Eugene O’Neill National Historic Site                             X                        X
Everglades National Park                                          X                        X                       X
Federal Hall National Memorial                                    X
Fire Island National Seashore                                     X                        X                       X
First Ladies National Historic Site




                                              Page 53                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                                 Appendix III
                                                 National Parks Affiliated with Cooperating
                                                 Associations, Friends Groups,
                                                 and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                          Cooperating associations       Friends groups    Merchandise concessioners
Florissant Fossil Beds National Monument                             X                        X                       X
Ford’s Theatre National Historic Site                                X                        X
Fort Bowie National Historic Site                                    X
Fort Caroline National Memorial                                      X
Fort Clatsop National Memorial                                       X
Fort Davis National Historic Site                                    X                        X
Fort Donelson National Battlefield                                   X
Fort Frederica National Monument                                     X                                                X
Fort Laramie National Historic Site                                  X                                                X
Fort Larned National Historic Site                                   X                        X
Fort Matanzas National Monument                                      X
Fort McHenry National Monument & Historic Shrine                                              X                       X
Fort Necessity National Battlefield                                  X
Fort Point National Historic Site                                    X
Fort Pulaski National Monument                                       X
Fort Raleigh National Historic Site                                  X
Fort Scott National Historic Site                                    X
Fort Smith National Historic Site                                    X                        X
Fort Stanwix National Monument                                       X
Fort Sumter National Monument                                        X                        X                       X
Fort Union National Monument                                         X                        X
Fort Union Trading Post National Historic Site                       X                                                X
Fort Vancouver National Historic Site                                X                        X
Fort Washington Park                                                 X                        X
Fossil Butte National Monument                                       X
Franklin Delano Roosevelt Memorial                                   X                        X
Frederick Douglass National Historic Site                            X                        X
Frederick Law Olmsted National Historic Site                         X
Fredericksburg & Spotsylvania County Battlefields                    X                        X
Memorial National Military Park
Friendship Hill National Historic Site                               X                        X
Gates Of The Arctic National Park                                    X
Gates Of The Arctic National Preserve                                X
Gateway National Recreation Area                                     X                        X                       X
Gauley River National Recreation Area
General Grant National Memorial                                      X
George Rogers Clark National Historical Park                         X




                                                 Page 54                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                               Appendix III
                                               National Parks Affiliated with Cooperating
                                               Associations, Friends Groups,
                                               and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                        Cooperating associations       Friends groups    Merchandise concessioners
George Washington Birthplace National Monument                     X                                                X
George Washington Carver National Monument                         X                        X
George Washington Memorial Parkway                                 X                        X
Gettysburg National Military Park                                  X                        X
Gila Cliff Dwellings National Monument                             X
Glacier Bay National Park                                          X                        X                       X
Glacier Bay National Preserve                                      X                        X                       X
Glacier National Park                                              X                        X                       X
Glen Canyon National Recreation Area                               X                                                X
Golden Gate National Recreation Area                               X                                                X
Golden Spike National Historic Site                                X
Governor’s Island National Monument
Grand Canyon National Park                                         X                        X                       X
Grand Portage National Monument                                    X                        X
Grand Teton National Park                                          X                                                X
Grant-Kohrs Ranch National Historic Site                           X
Great Basin National Park                                          X                        X
Great Egg Harbor Scenic & Recreational River
Great Sand Dunes National Monument                                 X                        X                       X
Great Sand Dunes National Preserve
Great Smoky Mountains National Park                                X                        X                       X
Greenbelt Park                                                                              X
Guadalupe Mountains National Park                                  X
Guilford Courthouse National Military Park                         X
Gulf Islands National Seashore                                     X                                                X
Hagerman Fossil Beds National Monument                                                      X
Haleakala National Park                                            X                        X                       X
Hamilton Grange National Memorial                                                           X
Hampton National Historic Site                                     X
Harpers Ferry National Historical Park                             X                        X
Harry S Truman National Historic Site                              X
Hawaii Volcanoes National Park                                     X                                                 X
Herbert Hoover National Historic Site                              X
Hohokam Pima National Monument
Home of Franklin D. Roosevelt National Historic                    X
Site
Homestead National Monument of America                             X                        X




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                                                 National Parks Affiliated with Cooperating
                                                 Associations, Friends Groups,
                                                 and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                          Cooperating associations       Friends groups    Merchandise concessioners
Hopewell Culture National Historical Park                            X
Hopewell Furnace National Historic Site                              X
Horseshoe Bend National Military Park                                X
Hot Springs National Park                                            X                        X                       X
Hovenweep National Monument                                          X
Hubbell Trading Post National Historic Site                          X                        X
Independence National Historical Park                                X                        X                       X
Indiana Dunes National Lakeshore                                     X                        X
Isle Royale National Park                                            X                                                X
James A. Garfield National Historic Site
Jean Lafitte National Historical Park & Preserve                     X
Jefferson National Expansion Memorial                                X                        X
Jewel Cave National Monument                                         X
Jimmy Carter National Historic Site                                  X                        X
John D. Rockefeller, Jr., Memorial Parkway                                                                            X
John Day Fossil Beds National Monument                               X
John Fitzgerald Kennedy National Historic Site                       X
John Muir National Historic Site                                     X                        X
Johnstown Flood National Memorial                                    X
Joshua Tree National Park                                            X
Kalaupapa National Historical Park                                   X
Kaloko-Honokohau National Historical Park                            X
Katmai National Park                                                 X                                                X
Katmai National Preserve                                             X                                                X
Kenai Fjords National Park                                           X
Kennesaw Mountain National Battlefield Park                          X                        X
Keweenaw National Historical Park
Kings Canyon National Park                                           X                        X                       X
Kings Mountain National Military Park                                X
Klondike Gold Rush National Historical Park                          X
Knife River Indian Villages National Historic Site                   X
Kobuk Valley National Park                                           X
Korean War Veterans Memorial                                                                  X
Lake Chelan National Recreation Area                                                                                  X
Lake Clark National Park                                             X
Lake Clark National Preserve
Lake Mead National Recreation Area                                   X                        X                       X




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                                                 National Parks Affiliated with Cooperating
                                                 Associations, Friends Groups,
                                                 and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                          Cooperating associations       Friends groups    Merchandise concessioners
Lake Meredith National Recreation Area                               X                                                X
Lake Roosevelt National Recreation Area                              X
Lassen Volcanic National Park                                        X                        X
Lava Beds National Monument                                          X
Lincoln Boyhood National Memorial                                    X
Lincoln Home National Historic Site                                  X
Lincoln Memorial                                                     X                        X
Little Bighorn Battlefield National Monument                         X
Little River Canyon National Preserve
Little Rock Central High School National Historic                                             X
Site
Longfellow National Historic Site                                    X                        X
Lowell National Historical Park                                      X                        X
Lyndon B. Johnson National Historical Park                           X
Lyndon Baines Johnson Memorial Grove on the
Potomac
Maggie L. Walker National Historic Site                              X                        X
Mammoth Cave National Park                                           X                        X                       X
Manassas National Battlefield Park                                   X                        X
Manzanar National Historic Site
Marsh—Billings National Historical Park                              X
Martin Luther King Jr., National Historic Site                       X                        X
Martin Van Buren National Historic Site                              X
Mary McLeod Bethune Council House National                                                    X
Historic Site
Mesa Verde National Park                                             X                        X                       X
Minidoka Internment National Monument
Minute Man National Historic Park                                    X                        X
Minuteman Missile National Historic Site                                                      X
Mississippi National River & Recreation Area                         X
Missouri National Recreation River
Mojave National Preserve                                             X
Monocacy National Battlefield                                        X                        X
Montezuma Castle National Monument                                   X
Moores Creek National Battlefield                                    X
Morristown National Historical Park                                  X                        X
Mount Rainier National Park                                          X                        X                       X
Mount Rushmore National Memorial                                     X                                                X




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                                                 Appendix III
                                                 National Parks Affiliated with Cooperating
                                                 Associations, Friends Groups,
                                                 and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                          Cooperating associations       Friends groups    Merchandise concessioners
Muir Woods National Monument                                         X                        X                       X
Natchez National Historical Park                                     X                        X
Natchez Trace National Scenic Trail
Natchez Trace Parkway                                                X                        X
National Capital Parks                                                                        X                       X
National Mall                                                                                 X
National Park of American Samoa
Natural Bridges National Monument                                    X
Navajo National Monument                                             X
New Bedford Whaling National Historical Park                         X
New Orleans Jazz National Historical Park                            X                        X
New River Gorge National River                                       X
Nez Perce National Historical Park                                   X
Nicodemus National Historic Site                                     X                        X
Ninety-Six National Historic Site                                    X
Niobrara National Scenic Riverway
Noatak National Preserve                                             X
North Cascades National Park                                         X                        X
Obed Wild and Scenic River                                           X
Ocmulgee National Monument                                           X
Oklahoma City National Memorial
Olympic National Park                                                X                        X                       X
Oregon Caves National Monument                                       X                                                X
Organ Pipe Cactus National Monument                                  X
Ozark National Scenic Riverways                                      X                                                X
Padre Island National Seashore                                       X
Palo Alto Battlefield National Historic Site                         X
Pea Ridge National Military Park                                     X                        X
Pecos National Historical Park                                       X
Pennsylvania Avenue National Historic Site                                                    X
Perry’s Victory & International Peace Memorial                       X                        X
Petersburg National Battlefield                                      X
Petrified Forest National Park                                       X                                                X
Petroglyph National Monument                                         X
Pictured Rocks National Lakeshore                                    X
Pinnacles National Monument                                          X                        X
Pipe Spring National Monument                                        X




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                                                 Appendix III
                                                 National Parks Affiliated with Cooperating
                                                 Associations, Friends Groups,
                                                 and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                          Cooperating associations       Friends groups    Merchandise concessioners
Pipestone National Monument                                          X
Piscataway Park                                                                               X
Point Reyes National Seashore                                        X                                                X
Potomac Heritage National Scenic Trail                                                        X
Poverty Point National Monument
Prince William Forest Park                                           X                        X                       X
Pu’uhonua o Honaunau National Historical Park                        X                        X
Puukohola Heiau National Historic Site                               X                        X
Rainbow Bridge National Monument                                     X
Redwood National Park                                                X
Richmond National Battlefield Park                                   X                        X
Rio Grande Wild and Scenic River
Rock Creek Park                                                      X                        X                       X
Rocky Mountain National Park                                         X                        X                       X
Roger Williams National Memorial                                     X
Rosie the Riveter WWII Home Front National
Historic Park
Ross Lake National Recreation Area                                                                                    X
Russell Cave National Monument                                       X
Sagamore Hill National Historic Site                                 X                        X
Saguaro National Park                                                X                        X
Saint Croix Island International Historic Site                       X
Saint Croix National Scenic Riverway                                 X                        X
Saint Paul’s Church National Historic Site
Saint-Gaudens National Historic Site                                 X                        X
Salem Maritime National Historic Site                                X                        X
Salinas Pueblo Missions National Monument                            X
Salt River Bay National Historical Park & Ecological
Preserve
San Antonio Missions National Historical Park                        X                        X
San Francisco Maritime National Historical Park                      X
San Juan Island National Historical Park                             X
San Juan National Historic Site                                      X
Santa Monica Mountains National Recreation Area                      X                        X
Saratoga National Historical Park                                    X
Saugus Iron Works National Historic Site                             X
Scotts Bluff National Monument                                       X
Sequoia National Park                                                X                        X                       X




                                                 Page 59                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                              Appendix III
                                              National Parks Affiliated with Cooperating
                                              Associations, Friends Groups,
                                              and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                       Cooperating associations       Friends groups    Merchandise concessioners
Shenandoah National Park                                          X                        X                       X
Shiloh National Military Park                                     X
Sitka National Historical Park                                    X
Sleeping Bear Dunes National Lakeshore                            X                        X
Springfield Armory National Historic Site                         X
Statue Of Liberty National Monument                                                        X                       X
Steamtown National Historic Site                                  X
Stones River National Battlefield                                 X                        X
Sunset Crater Volcano National Monument                           X
Tallgrass Prairie National Preserve
Thaddeus Kosciuszko National Memorial                             X
Theodore Roosevelt Birthplace National Historic                   X                        X
Site
Theodore Roosevelt Inaugural National Historic                                             X
Site
Theodore Roosevelt Island                                                                  X
Theodore Roosevelt National Park                                  X                        X                       X
Thomas Jefferson Memorial                                         X
Thomas Stone National Historic Site                               X
Timpanogos Cave National Monument                                 X                                                X
Timucuan Ecological & Historic Preserve                           X
Tonto National Monument                                           X
Tumacacori National Historical Park                               X
Tupelo National Battlefield
Tuskegee Airman National Historic Site                            X                        X
Tuskegee Institute National Historic Site                         X
Tuzigoot National Monument                                        X
Ulysses S. Grant National Historic Site                           X
Upper Delaware Scenic and Recreational River                      X
USS Arizona Memorial                                              X                        X
Valley Forge National Historical Park                             X                        X
Vanderbilt Mansion National Historic Site                         X                        X
Vicksburg National Military Park                                  X
Vietnam Veterans Memorial                                                                  X
Virgin Islands Coral Reef National Monument
Virgin Islands National Park                                      X                        X
Voyageurs National Park                                           X                                                X
Walnut Canyon National Monument                                   X                        X




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                                              National Parks Affiliated with Cooperating
                                              Associations, Friends Groups,
                                              and/or Merchandise Concessioners




(Continued From Previous Page)
National parks                                       Cooperating associations       Friends groups    Merchandise concessioners
War In The Pacific National Historical Park                       X
Washington Monument                                               X                        X
Washita Battlefield National Historic Site                        X
Weir Farm National Historic Site                                  X
Whiskeytown-Shasta-Trinity National Recreation                    X                                                X
Area
White House                                                                                X
White Sands National Monument                                     X                                                X
Whitman Mission National Historic Site                            X
William Howard Taft National Historic Site                        X                        X
Wilson’s Creek National Battlefield                               X                        X
Wind Cave National Park                                           X
Wolf Trap Farm Park for the Performing Arts                       X
Women’s Rights National Historical Park                           X
Wrangell—St. Elias National Park                                  X                        X
Wrangell—St. Elias National Preserve                              X                        X
Wright Brothers National Memorial                                 X                        X
Wupatki National Monument                                         X
Yellowstone National Park                                         X                        X                       X
Yosemite National Park                                            X                        X                       X
Yucca House National Monument                                     X
Yukon—Charley Rivers National Preserve                            X
Zion National Park                                                X                                                X
Source: National Park Service and GAO.




                                              Page 61                     GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix IV

Cooperating Association Revenue, Donations,
and Net Assets (1997-2001)                                                                                                       Appendx
                                                                                                                                       iIV




Cooperating association                        Revenue 1997       Revenue 1998   Revenue 1999      Revenue 2000     Revenue 2001
Cooperating association revenue (1997-2001)
Alaska Natural History Association                $1,418,753        $1,532,706       $1,571,455       $1,531,346       $1,687,269
Arizona Memorial Museum Association                   2,618,276      2,720,534        2,871,385         3,666,271       4,794,228
Badlands Natural History Association                   339,240         364,467          381,401          402,451          351,226
Bent’s Old Fort Historical Association                 123,971         128,205          120,976          127,808          106,426
Big Bend Natural History Association                   449,398         428,833          431,011          435,754          452,197
Black Hills Parks and Forests Association              178,953         207,926          209,492          183,980          190,941
Bryce Canyon Natural History Association              1,028,129      1,058,597          974,541          956,093          870,065
Cabrillo National Monument Foundation                  458,680         478,919          543,704          577,965          553,037
Canyonlands Natural History Association               1,187,237      1,282,924        1,438,862         1,362,918       1,464,718
Capitol Reef Natural History Association               493,540         496,634          493,450          482,707          463,650
Carlsbad Caverns—Guadalupe Mountains
Association                                           1,038,607      1,064,904        1,088,802        1,031,613          955,262
Colorado National Monument Association                 199,260         184,241          201,025          188,068          191,836
Crater Lake Natural History Association                243,479         231,326          238,871          223,621          279,516
Craters of the Moon Natural History
Association                                            193,291         187,698          211,207          176,952          168,605
Death Valley Natural History Association               894,761         959,973          857,938          806,604          752,113
Devils Tower Natural History Association               112,546         265,514          267,030          283,139          265,254
Dinosaur Nature Association                            578,558         564,192          573,521           66,438          550,750
Eastern National                                  18,247,596        19,825,301       21,864,468       22,028,685       23,438,700
Florida National Parks Association                     736,840         778,587          833,865          867,842          960,632
Fort Clatsop Historical Association                    168,354         244,112          268,225          284,018          311,768
Fort Frederica Association                             104,002         107,028           72,886           60,665           59,059
Fort Laramie Historical Association                    220,525         219,163          213,262          216,871          232,613
Fort Union Association                                  66,523          52,477           67,923           67,087           63,235
G. Washington Carver Birthplace District
Association                                             38,741          47,089           52,287           48,671           73,420
George Washington Birthplace NM
Association                                             64,635          67,688           71,812           81,377           91,532
Glacier Natural History Association                    929,607         926,579        1,049,464         1,025,750       1,066,902
Glen Canyon Natural History Association                387,781         424,675          424,524          452,037          339,562
Golden Gate National Parks Association            13,286,123        14,750,587       21,695,810       30,188,799       16,099,944
Grand Canyon Association                              5,743,000      6,598,000        5,655,000         5,535,000       4,912,000
Grand Teton Natural History Association               1,381,821      1,384,336        1,325,820         1,355,075       1,272,971
Great Basin Natural History Association                 93,123          93,207           92,664           87,500           83,146




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                                              Cooperating Association Revenue,
                                              Donations, and Net Assets (1997-2001)




(Continued From Previous Page)
Cooperating association                          Revenue 1997       Revenue 1998      Revenue 1999   Revenue 2000     Revenue 2001
Great Smoky Mountains Natural History
Association                                             3,682,513      3,971,125         4,363,811        4,857,324       4,431,113
Harpers Ferry Historical Association                     412,530         565,428           478,202         513,823          514,990
Hawaii Natural History Association                      2,060,169      2,116,614         2,188,811        2,187,261       2,030,498
Historic Hampton, Inc.                                   191,215         848,385           376,021         209,291          420,240
Isle Royale Natural History Association                  142,576         162,226           160,232         164,312          154,438
Jefferson National Parks Association                    4,750,141      3,994,342         4,004,649        4,562,507       4,837,703
Joshua Tree National Park Association                    379,862         466,665           437,107         458,831          540,371
Kennesaw Mountain Historical Association                 174,276         182,653           217,804         236,324          224,679
Lake States Interpretive Association                      70,839          76,570            92,913          82,394           73,236
Lassen Loomis Museum Association                          74,563          73,800            83,290         112,754          109,075
Lava Beds Natural History Association                     92,800          90,482            80,076          82,773           83,807
Mesa Verde Museum Association                            974,063       1,106,710           949,795         812,220          972,272
Mount Rushmore History Association                       335,139         470,715           599,974         623,448          585,604
Northwest Interpretive Association                      1,104,248      1,191,663         1,194,081        1,318,844       1,182,421
Ocmulgee National Monument Association                    65,382          50,451            77,155          70,297           64,741
Oregon Trail Museum Association                          105,369         102,196           112,452         114,283          107,776
Parks and History Association                            901,842       5,813,160         6,400,936        6,029,329       5,190,742
Petrified Forest Museum Association                      502,978         480,723           479,290         515,451          547,577
Pipestone Indian Shrine Association                      336,517         353,490           373,577         355,418          315,161
Point Reyes National Seashore Association                596,314         541,440           818,444       1,002,357          925,840
Redwood Natural History Association                      233,164         277,590           437,060         346,016          347,488
Rocky Mountain Nature Association                       1,239,099      1,297,746         1,394,231        1,434,519       1,321,566
Roosevelt-Vanderbilt Historical Association              533,652         290,839           278,440         278,214          282,558
San Francisco Maritime Park Association                        0               0                0          355,958          338,421
Sequoia Natural History Association                      851,538         841,227           989,603       1,107,155        1,263,304
Shenandoah National Park Association                     604,659         557,200           596,205         624,237          625,832
Steamtown Museum Association, Inc.                       342,905         450,816           416,374         530,821          358,971
Theodore Roosevelt Nature Association                    237,515         258,853           258,533         268,583          266,614
Valley Forge Park Interpretive Association               344,595         408,074           482,527         662,893          686,234
Weir Farm Heritage Trust                                  98,646         113,500           123,396         351,596          237,981
Western Maryland Interpretive Association                      0               0                0          444,532          655,051
Western National Association                            8,781,645      8,358,187         9,194,241        8,913,794       8,711,832
Yellowstone Association                                 2,346,813      2,518,248         2,841,343        2,727,027       3,169,563
Yosemite Natural History Association                    2,188,303      2,208,260         2,150,884        2,324,083       2,494,346
Zion Natural History Association                        1,576,119      1,541,639         1,619,067        1,690,705       1,607,507
Total                                              $89,357,339       $99,457,439      $110,433,205    $121,172,479    $108,782,129
Source: National Park Service.




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                                            Appendix IV
                                            Cooperating Association Revenue,
                                            Donations, and Net Assets (1997-2001)




                                               Donations       Donations     Donations       Donations    Donations           Net
Cooperating association                            1997            1998          1999            2000         2001         assets
Cooperating association donations (1997-2001) and net assetsa
Alaska Natural History Association               $163,702       $173,626      $161,261        $335,262     $397,028    $2,160,429
Arizona Memorial Museum Association               378,855        289,067       461,537        1,249,999     877,403     4,109,933
Badlands Natural History Association                  75,560      73,574            66,189      62,192       72,236       600,544
Bent’s Old Fort Historical Association                11,918      13,685             9,526      10,964       14,064        45,909
Big Bend Natural History Association                  75,223     294,260            67,730      77,128       88,756       358,372
Black Hills Parks and Forests Association             17,388      15,998            25,525      14,150       14,342       152,027
Bryce Canyon Natural History Association          139,711        292,972       346,017         339,849      501,896       561,406
Cabrillo National Monument Foundation                 88,251      69,355            74,267     129,293      114,969       450,009
Canyonlands Natural History Association           140,962        188,886       232,709         267,781      302,420       956,672
Capitol Reef Natural History Association              74,961      93,939            88,842      93,045       87,511       262,086
Carlsbad Caverns—Guadalupe Mountains
Association                                       233,676        192,387       171,825         187,487      102,458       945,092
Colorado National Monument Association                25,542      25,285            26,148      32,582       23,628       154,210
Crater Lake Natural History Association               30,148      24,725            28,536      28,879       65,570       301,316
Craters of the Moon Natural History
Association                                           41,435      52,385            54,811      48,700       42,833       161,568
Death Valley Natural History Association          139,492        168,897       152,655         158,296       70,282       786,974
Devils Tower Natural History Association              51,279      50,845            59,939      63,620       57,510       344,207
Dinosaur Nature Association                           92,239      96,494       101,440          29,062       96,169       580,329
Eastern National                                3,620,835      3,904,053      5,176,672       4,669,363    4,961,095    7,715,736
Florida National Parks Association                125,036        163,203       149,317          92,031      154,193       539,941
Fort Clatsop Historical Association                   17,422      17,700            18,873      16,758       20,753       225,056
Fort Frederica Association                            55,570      29,008            38,251      43,056       19,718       137,779
Fort Laramie Historical Association                   28,530      23,598            51,091      29,349       42,393       244,057
Fort Union Association                                 8,893       6,903             6,713        8,536      14,783       145,474
G. Washington Carver Birthplace District
Association                                            6,187       6,950            11,015      11,131        8,339        40,402
George Washington Birthplace NM
Association                                           12,980      15,166            13,980      14,811       13,974        71,722
Glacier Natural History Association                   69,183     125,919       174,995         149,604      146,582       958,479
Glen Canyon Natural History Association           106,331         87,905            91,569      87,321       81,528       182,116
Golden Gate National Parks Association          3,392,340      4,887,468    11,227,534       14,482,576   10,233,779   17,477,392
Grand Canyon Association                        1,584,000      2,006,000      1,765,000       3,399,000    1,417,000    3,304,000
Grand Teton Natural History Association           215,438        414,971       201,907         312,812      243,989     1,807,870
Great Basin Natural History Association                9,960      14,938            10,501      11,106       17,133        83,785




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                                              Appendix IV
                                              Cooperating Association Revenue,
                                              Donations, and Net Assets (1997-2001)




(Continued From Previous Page)
                                                 Donations       Donations     Donations       Donations   Donations            Net
Cooperating association                              1997            1998          1999            2000        2001          assets
Great Smoky Mountains Natural History
Association                                         615,473        766,919      1,385,480        661,598      935,234     1,450,212
Harpers Ferry Historical Association                    37,318      69,896       128,675         112,716      126,291       330,363
Hawaii Natural History Association                  314,615        351,958       435,938         485,982      436,017     1,404,580
Historic Hampton, Inc.                                  23,098     738,003       267,523         132,366      179,135       523,109
Isle Royale Natural History Association                 15,677      22,450            21,302      25,371       24,691       147,621
Jefferson National Parks Association              1,870,371        964,172       736,200         900,788    1,073,501     2,205,718
Joshua Tree National Park Association                   53,396      98,935            94,636      84,628      106,462       187,905
Kennesaw Mountain Historical Association                19,243      31,458            40,000      37,329       53,624        63,218
Lake States Interpretive Association                     7,613      14,474            38,199       9,752        3,233       100,252
Lassen Loomis Museum Association                        22,927      14,812            17,000      17,000       16,564       102,571
Lava Beds Natural History Association                   11,115      18,000            20,986      16,943       18,700        80,609
Mesa Verde Museum Association                       135,339        156,807       100,488          99,398      195,075       557,475
Mount Rushmore History Association                      62,607      26,753            52,720      74,497      103,572     3,085,548
Northwest Interpretive Association                  220,674        230,334       262,487         184,979      227,290     1,892,814
Ocmulgee National Monument Association                  23,033      18,993            20,148      29,630       15,010        41,353
Oregon Trail Museum Association                         13,300      16,830            17,454      24,148        8,864        75,510
Parks and History Association                           96,195     563,161       919,941         662,014      579,345     (166,087)
Petrified Forest Museum Association                 201,352        170,276       172,147         170,262      168,038       298,848
Pipestone Indian Shrine Association                      7,366       5,459             4,648       3,469       23,976       194,172
Point Reyes National Seashore Association           186,781        247,523       451,113         533,514      678,872       816,321
Redwood Natural History Association                     48,811      90,796       149,023          59,889       84,197       325,969
Rocky Mountain Nature Association                   398,314        415,918       404,366         407,754      338,747       821,454
Roosevelt-Vanderbilt Historical Association             38,918      42,227            37,129      37,880       97,418       238,187
San Francisco Maritime Park Association                     0            0                0       21,854       21,767     1,022,136
Sequoia Natural History Association                 149,569        177,262       188,421         251,370      321,240       872,512
Shenandoah National Park Association                    77,039      73,198       100,781          93,325      110,156       544,919
Steamtown Museum Association, Inc.                      43,147      40,954            46,545      78,982       67,435       251,922
Theodore Roosevelt Nature Association                   38,624      42,248            36,141      36,635       35,781       162,787
Valley Forge Park Interpretive Association              50,436      66,244            83,739      99,009       54,224       457,491
Weir Farm Heritage Trust                            192,332        123,877       159,188         251,169      236,151       149,250
Western Maryland Interpretive Association                   0            0                0        7,600       15,162       114,043
Western National Association                      1,799,325      2,102,022      2,186,619      2,332,953    2,273,226     8,860,562




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                                              Cooperating Association Revenue,
                                              Donations, and Net Assets (1997-2001)




(Continued From Previous Page)
                                                     Donations         Donations         Donations         Donations     Donations           Net
Cooperating association                                  1997              1998              1999              2000          2001         assets
Yellowstone Association                                 580,591           412,584           504,090           686,897      515,259      3,000,151
Yosemite Natural History Association                    297,574           369,612           381,967           460,094      352,671      1,181,546
Zion Natural History Association                        318,035           257,545           258,368           282,484      281,696      1,050,117
Total                                              $19,003,255       $22,561,862       $30,789,837       $35,830,022    $30,082,958   $78,310,050
Source: National Park Service and tax data.
                                              a
                                                  Net asset information is for the latest year available (2001).




                                              Page 66                            GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix V

Friends Group Revenue, Donations, and Net
Assets (1997-2001)                                                                                                                  Append
                                                                                                                                         x
                                                                                                                                         i
                                                                                                                                         V




Friends group                                    Revenue 1997        Revenue 1998   Revenue 1999     Revenue 2000     Revenue 2001
Friends group revenue (1997-2001)
Accokeek Foundation                                 $1,047,413         $1,025,997        $894,861        $2,282,104       $1,325,704
Appalachian Trail Conference                                            3,309,149        3,919,121        4,534,507
Assateague Coastal Trust                                   57,903          63,846           88,411           82,381          148,564
Big Thicket Association                                    11,240           6,904         102,157           175,200           64,130
Blue Ridge Parkway Foundation                              22,636         115,639         136,855           216,096          250,207
Chesapeake and Ohio Canal Association,
Inc.                                                       48,386          43,775           47,419           51,516           44,271
City of Rocks Historical Association                            0          10,761            8,843           13,200            1,782
Custer Battlefield Historical and Museum
Association                                                                84,997           28,612           84,306           93,344
Cuyahoga Valley Association                          1,544,203          1,494,256        1,468,358          210,863          136,780
Death Valley 49ers                                         84,258          84,875         116,704            87,808                0
Denali Foundation                                                         662,676         533,602         1,216,985
Eastern Kenai Peninsula Environmental
Action Association                                                              0                0                0                0
Eleanor Roosevelt Center at Val-kill                      210,044         386,307         329,359           652,744                0
Eugene O'Neill Foundation, Tao House                       32,938          19,200           23,822           55,368           94,153
Fire Island Lighthouse Preservation Society,
Inc.                                                                      153,604         214,102           158,936          152,727
First Flight Centennial Foundation                                        356,494         444,519           440,801
Flagstaff National Monuments Foundation                                                                                        2,495
Fredrick W. Vanderbilt Garden Association                                  35,790                            37,245
Freedom Trail Foundation                                                  253,897         469,079
Friends of Acadia                                        1,187,673      1,051,077        9,089,511        2,585,303          157,650
Friends of Andersonville                                                  167,567           50,963           70,610
Friends of Bandelier                                       16,646          13,192           15,779           14,420           13,326
Friends of Big Bend National Park                          23,578          32,839           45,594           81,723           10,200
Friends of Big Hunting Creek                                    0               0                0                0                0
Friends of Carl Sandburg at Connemara                       8,861                                             9,703            5,141
Friends of Canaveral                                        6,040            365             1,450            7,441              625
Friends of the Chickamauga & Chattanooga
NMP                                                                       117,031           36,831
Friends of Congaree Swamp                                                   8,798           18,278          216,263           20,600
Friends of Edison National Historic Site                                  116,740           86,841           90,791
Friends of Fire Island National Seashore                                                                                       1,164
Friends of Fort Union Trading Post                         27,818          45,254         (14,511)          192,262          171,188




                                               Page 67                    GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                               Appendix V
                                               Friends Group Revenue, Donations, and Net
                                               Assets (1997-2001)




(Continued From Previous Page)
Friends group                                    Revenue 1997      Revenue 1998     Revenue 1999       Revenue 2000   Revenue 2001
Friends of Fort Vancouver National Historic
Site                                                      36,376           4,470              3,250          10,478          19,666
Friends of Gateway, Inc.                                 114,005         116,243             50,485         126,598
Friends of Glacier Bay                                                                                                        2,639
Friends of Grand Portage                                   7,608           5,880              6,075           6,970           6,710
Friends of Great Smokey Mountains
National Park                                            506,173         896,385           1,044,606      1,577,048       1,704,130
Friends of Haleakala National Park, Inc.
Friends of Harpers Ferry National Historical
Park
Friends of Homestead                                                         400                769           2,214          15,537
Friends of Hopewell Furnace National
Historical Site                                            3,568           3,641                  0           1,247           1,197
Friends of Hubbell Trading Post NHS                                                                                           8,447
Friends of Independence National Historical
Park                                                     458,265         304,472            228,881         313,187
Friends of Indiana Dunes, Inc.                                            53,353             61,130          57,521
Friends of Kennesaw Mountain National                     13,103                             48,977              0
Battlefield Park
Friends of Meridian Hill                                                 222,148            747,620
Friends of Peirce Mill                                     7,125          59,329             76,472         105,328          50,490
Friends of Perry’s Victory and International
Peace Memorial, Inc.                                      69,440          66,946             61,707          36,093          20,555
Friends of Pinnacles
Friends of Saguaro National Park                                          43,852             55,752         112,091          57,886
Friends of Stones River National Battlefield               1,541             430              1,074           1,985             955
Friends of the Claude Moore Colonial Farm
at Turkey Run, Inc.                                                      638,059            434,227
Friends of the Cape Cod National Seashore,                                                                                   27,999
Inc.
Friends of the Dunes, Inc.                                17,595          17,293             14,556          65,139          80,289
Friends of the Florissant Fossil Beds, Inc.
Friends of the Gateway Parks Foundation,
Inc.                                                      33,164          32,190                504         199,830
Friends of the Longfellow House                           28,800          28,200            125,800          96,170         169,000
Friends of the National Parks at Gettysburg                            1,220,128           1,261,871      1,455,471       2,256,694
Friends of the Sleeping Bear Dunes                        52,875          31,608             15,932          20,463          15,269
Friends of the Virgin Islands National Park              112,889       2,352,971            167,028         454,717         560,671
Friends of the William Howard Taft
Birthplace                                                16,664         214,710             26,473          19,120          12,989




                                               Page 68                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                             Appendix V
                                             Friends Group Revenue, Donations, and Net
                                             Assets (1997-2001)




(Continued From Previous Page)
Friends group                                  Revenue 1997        Revenue 1998   Revenue 1999       Revenue 2000   Revenue 2001
Friends of Valley Forge                                   8,484           5,438             7,559          15,937            7,901
Friends of Voyageurs National Park                                                          5,000           5,600            3,500
Friends of Wilderness Battlefield                                                           7,135           8,850           14,751
Gettysburg National Battlefield Museum
Foundation                                                    0       2,002,000          1,514,177        404,971        1,985,549
Glen Echo Park Foundation                                51,685         129,717           170,528         188,738
Grand Canyon National Park Foundation                                 2,931,536          2,264,957        681,825        1,551,725
Historic Hampton, Inc.                                  185,202         827,943           360,821         195,172          410,972
Indiana Dunes Environmental Educational                                                                                    587,619
Consortium
Island Alliance                                         154,695         547,189           832,838         947,821          933,232
John Muir Memorial Association                                                            110,319          98,513                0
Lassen Volcanic Park Foundation                                         128,688           277,615          41,055          129,867
Lowell Regatta Festival Charitable
Foundation                                              439,766         461,479           452,316         693,601
Los Compadres de San Antonio Missions
National Historical Park                                332,149         246,817           605,425         462,287          376,676
Mesa Verde Foundation                                                    11,647           198,818          53,319          153,074
Minute Man National Park Association                         70           2,691            10,278          63,245           14,544
Natchez Trace Parkway Association
New Jersey Historical Garden Foundation                  15,767           6,880             9,192           9,681            8,871
Old Fort Militia                                             30                                                             11,250
Rocky Mountain National Park Association                528,795         979,771          1,110,533      1,118,387          852,375
Saint-Gaudens Memorial                                  164,745         951,257           303,957         267,440           60,962
Salem Partnership                                                       261,420           129,802         227,060          247,287
Sandy Hook Foundation, Inc.                                                                                                202,452
Santa Monica Mountains and Seashore
Foundation                                                                                237,588               0
Save Historic Antietam Foundation                                                          27,585          37,142
Saves the Dunes Conservation Fund                                                                                          111,392
Sequoia & Kings Canyon National Park
Foundation                                               89,298          90,674            95,217         380,106          162,433
Statue of Liberty—Ellis Island Foundation,
Inc.                                                   7,062,698      9,916,221      14,615,664        12,544,590        6,946,356
Great Basin National Park Foundation                                                       36,949          47,166
The Glacier Institute                                   146,828         168,968           228,694         255,999          289,746
Theodore Roosevelt Association                          423,531         892,768           445,642         597,091          445,975
Theodore Roosevelt Inaugural Site
Foundation                                              279,672         304,013           358,711         424,448          413,416




                                             Page 69                    GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                             Appendix V
                                             Friends Group Revenue, Donations, and Net
                                             Assets (1997-2001)




(Continued From Previous Page)
Friends group                                  Revenue 1997        Revenue 1998   Revenue 1999       Revenue 2000   Revenue 2001
Thomas Alva Edison Preservation
Foundation                                                            1,259,265           367,135       9,344,177
Voyageurs Region National Park Association               94,207         122,657           110,585         121,691          117,068
Wilson's Creek National Battlefield
Foundation                                               17,940         122,456            70,388          96,251          290,205
Yellowstone Park Foundation                             481,028       1,002,614          1,079,286      2,478,951        4,417,258
Yosemite Foundation                                    4,051,309      3,655,130          7,040,784      5,597,487        7,976,218
National Park Foundation:
  South Florida National Parks Trust                                                                                     1,616,346
  The Glacier Fund                                                                                        118,840          217,590
  African American Experience Fund                                                        155,024         168,606          555,022
  Outside Las Vegas Fund                                                                                  174,308           85,744
  USS Arizona Memorial Fund                                                                               241,977          213,491
  Greater Washington National Parks Fund                                                                   73,638           57,700
Total                                            $20,336,727        $43,002,977     $55,830,271       $56,416,216      $39,173,741
Source: GAO survey and tax data.




                                             Page 70                    GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                               Appendix V
                                               Friends Group Revenue, Donations, and Net
                                               Assets (1997-2001)




                                                 Donations       Donations    Donations        Donations   Donations     Net assets
Friends group                                        1997            1998          1999            2000        2001           MRFY
Friends group donations (1997-2001) and net assetsa
Accokeek Foundation                                        $0           $0            $0             $0            $0    $2,965,658
Appalachian Trail Conference                                0            0                 0          0         4,500
Assateague Coastal Trust                                  100         750                  0          0             0        72,838
Big Thicket Association                                     0            0                 0     160,132      98,522        124,977
Blue Ridge Parkway Foundation                        88,593         71,631        47,065           3,000        3,500       178,157
Chesapeake and Ohio Canal Association,
Inc.                                                 28,779         26,625        11,589          11,707      25,599         72,517
City of Rocks Historical Association                        0        1,026           800            135         7,200        11,226
Custer Battlefield Historical and Museum
Association                                                         89,164        15,158          76,116      88,136        275,938
Cuyahoga Valley Association                                 0    1,025,560         1,200              0             0       161,375
Death Valley 49ers                                       8,200      17,600        33,223           7,809      12,151        174,276
Denali Foundation                                                  533,473       410,843       1,002,706                    408,436
Eastern Kenai Peninsula Environmental                       0            0                 0          0             0             0
Action Association
Eleanor Roosevelt Center at Val-kill                        0            0                 0          0             0       332,837
Eugene O'Neill Foundation, Tao House                      250            0                 0          0             0        76,509
Fire Island Lighthouse Preservation Society,
Inc.                                                               151,572       118,406         148,317     154,411        372,072
First Flight Centennial Foundation                                 330,186        87,126          76,632
Flagstaff National Monuments Foundation                     0            0                 0          0             0           602
Fredrick W. Vanderbilt Garden Association                                                                                    56,634
Freedom Trail Foundation                                           124,392       245,148                                    (32,935)
Friends of Acadia                                   399,838        392,981       350,188         485,887     630,901     13,745,972
Friends of Andersonville                                            17,708        13,503          38,907                    543,500
Friends of Bandelier                                 12,803         11,442         3,477          19,397            0        26,369
Friends of Big Bend National Park                    11,595         48,835        61,300           1,250        1,650        17,435
Friends of Big Hunting Creek                                0            0                 0          0             0             0
Friends of Carl Sandburg at Connemara                    5,864                                     3,704        2,400         4,346
Friends of Canaveral                                      205          212         3,464           5,769         527          3,510
Friends of the Chickamauga & Chattanooga
NMP                                                                194,811        20,395                                    166,726
Friends of Congaree Swamp                                  50         363             50            350             0       255,761
Friends of Edison National Historic Site                            19,780        45,068          16,213                     28,023
Friends of Fire Island National Seashore                    0            0                 0          0             0




                                               Page 71                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                               Appendix V
                                               Friends Group Revenue, Donations, and Net
                                               Assets (1997-2001)




(Continued From Previous Page)
                                                 Donations       Donations    Donations        Donations   Donations     Net assets
Friends group                                        1997            1998          1999            2000        2001           MRFY
Friends of Fort Union Trading Post                       8,893      11,404         7,790          35,023         642        505,214
Friends of Fort Vancouver National Historic
Site                                                      500            0                 0          0             0        16,230
Friends of Gateway, Inc.                            100,512         61,822        60,991         140,928                     25,366
Friends of Glacier Bay                                      0            0                 0          0         1,800        27,379
Friends of Grand Portage                                    0            0                 0        292             0         5,528
Friends of Great Smokey Mountains National
Park                                                304,704        298,277       745,221         972,213     788,005        801,020
Friends of Haleakala National Park, Inc.                    0        5,851         8,525          25,312      12,945
Friends of Harpers Ferry National Historical                0            0                 0          0             0             0
Park
Friends of Homestead                                      150         475                  0          0            30        14,396
Friends of Hopewell Furnace National                        0            0                 0         40             0         3,744
Historical Site
Friends of Hubbell Trading Post NHS                         0            0                 0          0          566          9,486
Friends of Independence National Historical
Park                                                317,356        285,385       199,750         199,750                    389,348
Friends of Indiana Dunes, Inc.                                      12,517        24,938          32,828                    218,314
Friends of Kennesaw Mountain National                98,640                       80,339              0                           0
Battlefield Park
Friends of Meridian Hill                                            67,128       124,997
Friends of Peirce Mill                                   4,437      51,401        39,757          42,079            0       193,081
Friends of Perry’s Victory and International
Peace Memorial, Inc.                                 13,449         11,796        11,600         100,110      26,801         85,907
Friends of Pinnacles                                        0            0                 0          0             0             0
Friends of Saguaro National Park                            0            0        21,392          45,615      45,018         88,859
Friends of Stones River National Battlefield              305          200         1,482             75         1,488         1,395
Friends of the Claude Moore Colonial Farm
at Turkey Run, Inc.                                                236,641       267,447
Friends of the Cape Cod National Seashore,
Inc.                                                        0            0                 0          0         6,955       113,023
Friends of the Dunes, Inc.                           11,783          2,666         2,944          54,370        2,325       151,198
Friends of the Florissant Fossil Beds, Inc.                          3,745           845           2,000        2,000         6,629
Friends of the Gateway Parks Foundation,
Inc.                                                                44,052        19,259         202,120                      3,963
Friends of the Longfellow House                      31,800         29,800        19,600         154,240      19,800        193,368
Friends of the National Parks at Gettysburg          84,137        295,730       272,088         921,263     646,152      1,667,178
Friends of the Sleeping Bear Dunes                   30,627         13,815        20,305          12,847            0        23,889
Friends of the Virgin Islands National Park          71,098        150,185       246,022         247,777     246,266      1,783,796




                                               Page 72                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                                Appendix V
                                                Friends Group Revenue, Donations, and Net
                                                Assets (1997-2001)




(Continued From Previous Page)
                                                  Donations       Donations    Donations        Donations   Donations     Net assets
Friends group                                         1997            1998          1999            2000        2001           MRFY
Friends of the William Howard Taft Birthplace                0       50,937       186,934         120,400      12,134         22,108
Friends of Valley Forge                                   2,552       4,013         6,297           2,061            0       154,284
Friends of Voyageurs Nat. Park                            1,400       1,600         3,000            500             0        10,410
Friends of Wilderness Battlefield                            0            0           100            100          100         14,239
Gettysburg National Battlefield Museum
Foundation                                                   0            0                 0         35             0     4,159,107
Glen Echo Park Foundation                             19,316         42,426       111,786         141,949                    483,901
Grand Canyon National Park Foundation                             1,404,009       902,756         225,658     206,666      4,077,070
Historic Hampton, Inc.                                       0      738,003       267,523         132,366     179,135        834,292
Indiana Dunes Environmental Educational
Consortium                                                   0            0                 0          0       98,575        187,829
Island Alliance                                      107,449         12,988       480,689         598,670     515,309        616,147
John Muir Memorial Association                               0            0           370              0             0       399,912
Lassen Volcanic Park Foundation                       21,195        100,009         7,198         208,769     104,840        209,598
Lowell Regatta Festival Charitable
Foundation                                           370,411        426,148       422,448         591,132                    122,929
Los Compadres de San Antonio Missions
National Historical Park                              96,625        301,582       461,199         100,585            0       349,563
Mesa Verde Foundation                                        0         250                  0          0             0       330,697
Minute Man National Park Association                         0            0                 0      14,041            0        71,888
Natchez Trace Parkway Association                            0            0                 0          0             0
New Jersey Historical Garden Foundation                   6,130       2,250         5,497           2,380        1,000        59,388
Old Fort Militia                                             0            0                 0        300          100         11,281
Rocky Mountain National Park Association             320,787        324,906       617,632       2,579,573     267,429      1,328,117
Saint-Gaudens Memorial                                99,645        125,827        92,019           2,200     208,986      2,093,614
Salem Partnership                                                   450,060       181,292          98,786     269,934         28,154
Sandy Hook Foundation, Inc.                                  0            0                 0          0       83,184        129,021
Santa Monica Mountains and Seashore                                               208,604          14,021                     21,362
Foundation
Save Historic Antietam Foundation                                    41,195        22,934                                     51,024
Saves the Dunes Conservation Fund                            0            0                 0          0             0       115,782
Sequoia & Kings Canyon National Park
Foundation                                            69,644        189,304       245,878         169,427            0       203,697
Statue of Liberty—Ellis Island Foundation,
Inc.                                               2,441,742      3,763,190     3,405,344       4,240,431   8,194,628     48,556,212
Great Basin National Park Foundation                                               29,424          18,142                     35,800
The Glacier Institute                                        0            0                 0          0             0       151,664
Theodore Roosevelt Association                            4,533        703            611            837         1,399     1,994,864




                                                Page 73                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                             Appendix V
                                             Friends Group Revenue, Donations, and Net
                                             Assets (1997-2001)




(Continued From Previous Page)
                                                 Donations       Donations        Donations         Donations        Donations        Net assets
Friends group                                        1997            1998              1999             2000             2001              MRFY
Theodore Roosevelt Inaugural Site
Foundation                                                 0                0                0                 0                0         220,893
Thomas Alva Edison Preservation
Foundation                                                 0                0                0                 0                0     10,108,011
Voyageurs Region National Park Association              300            1,000                 0                 0                0          23,495
Wilson's Creek National Battlefield
Foundation                                              600              525              495               150           12,169          564,995
Yellowstone Park Foundation                        315,024          424,094          531,407           436,858        1,477,818         6,081,204
Yosemite Foundation                               2,155,458       1,912,673        1,905,335         1,758,548        2,269,801       11,964,636
National Park Foundation:
  South Florida National Parks Trust                                                                                            0       1,610,622
  The Glacier Fund                                                                                      27,148            55,595          159,829
  African American Experience Fund                                                           0         129,000          494,043            77,950
  Outside Las Vegas Fund                                                                                10,000            19,740          (33,809)
  USS Arizona Memorial Fund                                                                               4,000                 0         625,290
  Greater Washington National Parks Fund                                                                       0          29,850           53,727
Total                                            $7,667,479    $14,958,693      $13,740,067       $16,874,980      $17,332,725       124,651,867
Source: GAO survey and tax data.
                                             a
                                             Net assets are for the most recent fiscal year (MRFY), which for most friends groups is 2001; however,
                                             when 2001 data were not available, the net assets are based on 2000 data.




                                             Page 74                        GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix VI

Parks with General Management and
Commercial Services Plans                                                                                                   Appendx
                                                                                                                                  iVI




                                                                                                     Commercial Service
                                                         General Management Plans (GMP)                 Plans (CSP)
                                                                     Year       Year updated
National park                                           GMP     developed     (complete/due)         CSP    Stage of CSP
Abraham Lincoln Birthplace National Historic Site        X           1963
Acadia National Park                                     X           1992                2002          X    Done in 2000
Adams National Historic Site                             X           1996
Agate Fossil Beds National Monument                      X           1966
Alagnak Wild River                                       X           1983
Alibates Flint Quarries National Monument                X           1978                2003
Allegheny Portage Railroad National Historic Site        X           1980
Amistad National Recreation Area                         X           1987                2005
Andersonville National Historic Site                     X           1981                1988
Andrew Johnson National Historic Site                    X           1965
Aniakchak National Monument                              X           1986
Aniakchak National Preserve                              X           1986
Antietam National Battlefield                            X           1992
Apostle Islands National Lakeshore                       X           1989
Appalachian National Scenic Trail                        X           1981
Appomattox Court House National Historical Park          X           1977                2003
Arches National Park                                     X           1989
Arkansas Post National Memorial                          X           1975                2002
Arlington House – The Robert E. Lee Memorial             X           1967
Assateague Island National Seashore                      X           1988
Aztec Ruins National Monument                            X           1989
Badlands National Park                                   X           1982                2002
Bandelier National Monument                              X           1976
Bent's Old Fort National Historic Site                   X           1994
Bering Land Bridge National Preserve
Big Bend National Park                                   X           1980                2002
Big Cypress National Preserve                            X           1992                2004               In process
Big Hole National Battlefield                            X           1997
Big South Fork National River & Recreation Area          X           1981                2002               In process
Big Thicket National Preserve                            X           1980                2002
Bighorn Canyon National Recreation Area                  X           1981                1990
Biscayne National Park                                   X           1983                2003               In process
Black Canyon of the Gunnison National Monument           X           1997




                                              Page 75             GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                                 Appendix VI
                                                 Parks with General Management and
                                                 Commercial Services Plans




(Continued From Previous Page)
                                                                                                             Commercial Service
                                                                General Management Plans (GMP)                  Plans (CSP)
                                                                             Year       Year updated
National park                                                 GMP       developed     (complete/due)         CSP    Stage of CSP
Blue Ridge Parkway                                              X             1971               2005               In process
Bluestone National Scenic River
Booker T. Washington National Monument                          X             2000
Boston African American National Historic Site                  X             1986               2002
Boston Harbor Islands National Recreation Area                                                   2002
Boston National Historical Park                                 X             1980
Brices Cross Roads National Battlefield Site                    X             1987
Brown v. Board of Education National Historic Site              X             1996
Bryce Canyon National Park                                      X             1987
Buck Island Reef National Monument                              X             1983                                  In process
Buffalo National River                                          X             1975
Cabrillo National Monument                                      X             1996
Canaveral National Seashore                                     X             1982
Cane River Creole National Historical Park                      X             2001
Canyon de Chelly National Monument                              X             1990               2005
Canyonlands National Park                                       X             1978
Cape Cod National Seashore                                      X             1998
Cape Hatteras National Seashore                                 X             1984                                  In process
Cape Krusenstern National Monument                              X             1986               2005
Cape Lookout National Seashore                                  X             1983               2001               Start in 2003
Capitol Reef National Park                                      X             1982
Capulin Volcano National Monument                               X             1964               2002
Carl Sandburg Home National Historic Site                       X             1971               2002
Carlsbad Caverns National Park                                  X             1996
Casa Grande Ruins National Monument                             X             1958
Castillo de San Marcos National Monument                        X             1974               2005
Castle Clinton National Monument                                X             1997
Catoctin Mountain Park                                          X             1967
Cedar Breaks National Monument                                  X             1984               1989
Chaco Culture National Historical Park                          X             1985
Chamizal National Memorial                                      X             1986
Channel Islands National Park                                   X             1984               2004
Charles Pinckney National Historic Site                         X             1994
Chattahoochee River National Recreation Area                    X             1990               2002               In process
Chesapeake & Ohio Canal National Historical Park                X             1976




                                                 Page 76                  GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                                              Appendix VI
                                              Parks with General Management and
                                              Commercial Services Plans




(Continued From Previous Page)
                                                                                                          Commercial Service
                                                             General Management Plans (GMP)                  Plans (CSP)
                                                                          Year       Year updated
National park                                              GMP       developed     (complete/due)         CSP    Stage of CSP
Chickamauga & Chattanooga National Military Park             X             1988
Chickasaw National Recreation Area                           X             1980               2005
Chiricahua National Monument                                 X             2001
Christiansted National Historic Site                         X             1986                                  In process
City Of Rocks National Reserve                               X             1996
Clara Barton National Historic Site
Colonial National Historical Park                            X             1993               2002
Colorado National Monument                                   X             1976               2004
Congaree Swamp National Monument                             X             1988
Constitution Gardens                                         X             1974
Coronado National Memorial                                   X             1976               2005
Cowpens National Battlefield                                 X             1975
Crater Lake National Park                                    X             1977               2003
Craters of the Moon National Monument                        X             1992               2004
Cumberland Gap National Historical Park                      X             1979                                  In process
Cumberland Island National Seashore                          X             1984                             X    Completed
Curecanti National Recreation Area                           X             1997               2002
Cuyahoga Valley National Recreation Area                     X             1977
Dayton Aviation Heritage National Historical Park            X             1997
De Soto National Memorial                                    X             1966
Death Valley National Park                                   X             2001
Delaware National Scenic River                               X             1987
Delaware Water Gap National Recreation Area                  X             1987               2000
Denali National Park                                         X             1986               2003
Denali National Preserve                                     X             1986               2003
Devils Postpile National Monument                            X             1941
Devils Tower National Monument                               X             1986               2002
Dinosaur National Monument                                   X             1986
Dry Tortugas National Park                                   X             2001                             X    Completed
Ebey's Landing National Historical Reserve                   X             1980               2003
Edgar Allan Poe National Historic Site
Edison National Historic Site                                X             1977
Effigy Mounds National Monument                              X             1991               1999
Eisenhower National Historic Site                            X             1987
El Malpais National Monument                                 X             1990




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                                                 Parks with General Management and
                                                 Commercial Services Plans




(Continued From Previous Page)
                                                                                                             Commercial Service
                                                                General Management Plans (GMP)                  Plans (CSP)
                                                                             Year       Year updated
National park                                                 GMP       developed     (complete/due)         CSP    Stage of CSP
El Morro National Monument                                      X             1965
Eleanor Roosevelt National Historic Site                        X             1980
Eugene O'Neill National Historic Site                           X             1991
Everglades National Park                                        X             1979                                  In process
Federal Hall National Memorial                                  X             1997
Fire Island National Seashore                                   X             1977
First Ladies National Historic Site                                                              2005
Florissant Fossil Beds National Monument                        X             1985
Ford's Theatre National Historic Site
Fort Bowie National Historic Site                               X             2001
Fort Caroline National Memorial                                 X             1971                                  In process
Fort Clatsop National Memorial                                  X             1995
Fort Davis National Historic Site                               X             1962               2002
Fort Donelson National Battlefield                              X             1983
Fort Frederica National Monument                                X             1964               2002
Fort Laramie National Historic Site                             X             1993               2003
Fort Larned National Historic Site                              X             1994
Fort Matanzas National Monument                                 X             1982
Fort McHenry National Monument & Historic Shrine                X             1968               1988
Fort Necessity National Battlefield                             X             1991
Fort Point National Historic Site                               X             1980
Fort Pulaski National Monument                                  X             1971               2003
Fort Raleigh National Historic Site                             X             1966                                  In process
Fort Scott National Historic Site                               X             1993
Fort Smith National Historic Site                               X             1978               1985
Fort Stanwix National Monument                                  X             1967               2002
Fort Sumter National Monument                                   X             1998                             X    Completed
Fort Union National Monument                                    X             1985
Fort Union Trading Post National Historic Site                  X             1978
Fort Vancouver National Historic Site                           X             1977               2002
Fort Washington Park
Fossil Butte National Monument                                  X             1980               1988
Franklin Delano Roosevelt Memorial
Frederick Douglass National Historic Site                       X             1967
Frederick Law Olmsted National Historic Site                    X             1983




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                                               Parks with General Management and
                                               Commercial Services Plans




(Continued From Previous Page)
                                                                                                           Commercial Service
                                                              General Management Plans (GMP)                  Plans (CSP)
                                                                           Year       Year updated
National park                                               GMP       developed     (complete/due)         CSP    Stage of CSP
Fredericksburg & Spotsylvania County Battlefields                           1992
Memorial National Military Park                               X
Friendship Hill National Historic Site                        X             1981
Gates Of The Arctic National Park                             X             1986               2005
Gates Of The Arctic National Preserve                         X             1986               2005
Gateway National Recreation Area                              X             1979               1995
Gauley River National Recreation Area                         X             1997
General Grant National Memorial                               X             1997
George Rogers Clark National Historical Park                  X             1967
George Washington Birthplace National Monument                X             1969
George Washington Carver National Monument                    X             1997
George Washington Memorial Parkway
Gettysburg National Military Park                             X             1999
Gila Cliff Dwellings National Monument                        X             1965
Glacier Bay National Park                                     X             1984               2005               In process
Glacier Bay National Preserve                                 X             1984               2005
Glacier National Park                                         X             1999
Glen Canyon National Recreation Area                          X             1979
Golden Gate National Recreation Area                          X             1980               2005
Golden Spike National Historic Site                           X             1978               1987
Governor's Island National Monument
Grand Canyon National Park                                    X             1995
Grand Portage National Monument                               X             1973               2002
Grand Teton National Park                                     X             1976               1991               In process
Grant-Kohrs Ranch National Historic Site                      X             1993
Great Basin National Park                                     X             1993
Great Egg Harbor Scenic and Recreational River                X             2000
Great Sand Dunes National Monument                            X             1977               2005
Great Sand Dunes National Preserve                            X             1977               2005
Great Smoky Mountains National Park                           X             1982
Greenbelt Park                                                X             1982
Guadalupe Mountains National Park                             X             1976               2002
Guilford Courthouse National Military Park                    X             1968               1997
Gulf Islands National Seashore                                X             1978               1983               Start in 2003
Hagerman Fossil Beds National Monument                        X             1996




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                                                 Commercial Services Plans




(Continued From Previous Page)
                                                                                                             Commercial Service
                                                                General Management Plans (GMP)                  Plans (CSP)
                                                                             Year       Year updated
National park                                                 GMP       developed     (complete/due)         CSP    Stage of CSP
Haleakala National Park                                         X             1995
Hamilton Grange National Memorial                               X             1995
Hampton National Historic Site                                  X             1983               2002
Harpers Ferry National Historical Park                          X             1980
Harry S Truman National Historic Site                           X             1999
Hawaii Volcanoes National Park                                  X             1975
Herbert Hoover National Historic Site                           X             1970               2002
Hohokam Pima National Monument
Home of Franklin D. Roosevelt National Historic Site            X             1977
Homestead National Monument of America                          X             1999
Hopewell Culture National Historical Park                       X             1997
Hopewell Furnace National Historic Site                         X             1964               2005
Horseshoe Bend National Military Park                           X             1964
Hot Springs National Park                                       X             1986
Hovenweep National Monument                                     X             1953
Hubbell Trading Post National Historic Site                     X             1972
Independence National Historical Park                           X             1997
Indiana Dunes National Lakeshore                                X             1980               1997
Isle Royale National Park                                       X             1999
James A. Garfield National Historic Site                        X             1986
Jean Lafitte National Historical Park & Preserve                X             1982               1995               Start in 2003
Jefferson National Expansion Memorial                           X             1964
Jewel Cave National Monument                                    X             1994
Jimmy Carter National Historic Site                             X             1993
John D. Rockefeller, Jr., Memorial Parkway                      X             1980
John Day Fossil Beds National Monument                          X             1979
John Fitzgerald Kennedy National Historic Site
John Muir National Historic Site                                X             1990
Johnstown Flood National Memorial                               X             1980
Joshua Tree National Park                                       X             1995               2000
Kalaupapa National Historical Park                              X             1980
Kaloko-Honokohau National Historical Park                       X             1994
Katmai National Park                                            X             1986
Katmai National Preserve                                        X             1986
Kenai Fjords National Park                                      X             1984




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                                                 Parks with General Management and
                                                 Commercial Services Plans




(Continued From Previous Page)
                                                                                                             Commercial Service
                                                                General Management Plans (GMP)                  Plans (CSP)
                                                                             Year       Year updated
National park                                                 GMP       developed     (complete/due)         CSP    Stage of CSP
Kennesaw Mountain National Battlefield Park                     X             1983
Keweenaw National Historical Park                               X             1998
Kings Canyon National Park                                      X             1971               2003
Kings Mountain National Military Park                           X             1974
Klondike Gold Rush National Historical Park                     X             1997
Knife River Indian Villages National Historic Site              X             1977               1986
Kobuk Valley National Park                                      X             1986               2005
Korean War Veterans Memorial
Lake Chelan National Recreation Area                            X             1995
Lake Clark National Park                                        X             1984
Lake Clark National Preserve                                    X             1984
Lake Mead National Recreation Area                              X             1986
Lake Meredith National Recreation Area                          X             1985               2003
Lake Roosevelt National Recreation Area                         X             2000
Lassen Volcanic National Park                                   X             1981               2002
Lava Beds National Monument                                     X             1996
Lincoln Boyhood National Memorial                               X             1981               2004
Lincoln Home National Historic Site                             X             1970
Lincoln Memorial
Little Bighorn Battlefield National Monument                    X             1986
Little River Canyon National Preserve
Little Rock Central High School National Historic Site                                           2002
Longfellow National Historic Site                               X             1978
Lowell National Historical Park                                 X             1981
Lyndon B. Johnson National Historical Park                      X             1999
Lyndon Baines Johnson Memorial Grove on the Potomac
Maggie L. Walker National Historic Site                         X             1987
Mammoth Cave National Park                                      X             1983                                  In process
Manassas National Battlefield Park                              X             1983
Manzanar National Historic Site                                 X             1997
Marsh-Billings National Historical Park                         X             1999
Martin Luther King Jr., National Historic Site                  X             1986               1994
Martin Van Buren National Historic Site                         X             1970
Mary McLeod Bethune Council House National Historic                                              2002
Site




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                                               Parks with General Management and
                                               Commercial Services Plans




(Continued From Previous Page)
                                                                                                           Commercial Service
                                                              General Management Plans (GMP)                  Plans (CSP)
                                                                           Year       Year updated
National park                                               GMP       developed     (complete/due)         CSP    Stage of CSP
Mesa Verde National Park                                      X             1979
Minidoka Internment National Monument
Minute Man National Historic Park                             X             1990
Minuteman Missile National Historic Site                                                       2004
Mississippi National River & Recreation Area                  X             1995
Missouri National Recreation River                            X             1999
Mojave National Preserve                                      X             2001
Monocacy National Battlefield                                 X             1979
Montezuma Castle National Monument                            X             1975
Moores Creek National Battlefield                             X             1969
Morristown National Historical Park                           X             1976               2002
Mount Rainier National Park                                   X             2001                                  In process
Mount Rushmore National Memorial                              X             1980               1990
Muir Woods National Monument                                  X             1980
Natchez National Historical Park                              X             1994
Natchez Trace National Scenic Trail                           X             1987
Natchez Trace Parkway                                         X             1987               1998
National Capital Parks                                        X             1983
National Mall                                                 X             1974
National Park of American Samoa                               X             1998
Natural Bridges National Monument                             X             1997
Navajo National Monument                                      X             1965               2002
New Bedford Whaling National Historical Park                  X             2000
New Orleans Jazz National Historical Park                     X             1999
New River Gorge National River                                X             1982               2005
Nez Perce National Historical Park                            X             1997
Nicodemus National Historic Site                                                               2002
Ninety-Six National Historic Site                             X             1980
Niobrara National Scenic Riverway                             X             1997               2002
Noatak National Preserve                                      X             1986               2005
North Cascades National Park                                  X             1988
Obed Wild and Scenic River                                    X             1995
Ocmulgee National Monument                                    X             1982
Oklahoma City National Memorial
Olympic National Park                                         X             1976               2004




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(Continued From Previous Page)
                                                                                                             Commercial Service
                                                                General Management Plans (GMP)                  Plans (CSP)
                                                                             Year       Year updated
National park                                                 GMP       developed     (complete/due)         CSP    Stage of CSP
Oregon Caves National Monument                                  X             1998
Organ Pipe Cactus National Monument                             X             1998               2002
Ozark National Scenic Riverways                                 X             1984
Padre Island National Seashore                                  X             1983               1997
Palo Alto Battlefield National Historic Site                    X             1998
Pea Ridge National Military Park                                X             1963               2002
Pecos National Historical Park                                  X             1997
Pennsylvania Avenue National Historic Site                      X             1975
Perry's Victory & International Peace Memorial                  X             1965
Petersburg National Battlefield                                 X             1965               2002
Petrified Forest National Park                                  X             1993               2003
Petroglyph National Monument                                    X             1997
Pictured Rocks National Lakeshore                               X             1981               2002
Pinnacles National Monument                                     X             1976               2002
Pipe Spring National Monument                                   X             1978
Pipestone National Monument                                     X             1965               2002
Piscataway Park                                                 X             1983
Point Reyes National Seashore                                   X             1980               2003
Potomac Heritage National Scenic Trail
Poverty Point National Monument
Prince William Forest Park                                      X             1999
Pu’uhonua o Honaunau National Historical Park                   X             1977
Puukohola Heiau National Historic Site
Rainbow Bridge National Monument                                X             1993
Redwood National Park                                           X             2000
Richmond National Battlefield Park                              X             1996
Rio Grande Wild and Scenic River                                X             1982
Rock Creek Park                                                                                  2002
Rocky Mountain National Park                                    X             1976               1987               In process
Roger Williams National Memorial                                X             1973
Rosie the Riveter WWII Home Front National Historic Park                                         2004
Ross Lake National Recreation Area                              X             1988
Russell Cave National Monument                                  X             1963
Sagamore Hill National Historic Site                            X             1963
Saguaro National Park                                           X             1988               2005




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                                                 Commercial Services Plans




(Continued From Previous Page)
                                                                                                             Commercial Service
                                                                General Management Plans (GMP)                  Plans (CSP)
                                                                             Year       Year updated
National park                                                 GMP       developed     (complete/due)         CSP    Stage of CSP
Saint Croix Island International Historic Site                  X             1998
Saint Croix National Scenic Riverway                            X             1998
Saint Paul's Church National Historic Site                      X             1997
Saint-Gaudens National Historic Site                            X             1996
Salem Maritime National Historic Site                           X             1975               2003
Salinas Pueblo Missions National Monument                       X             1984
Salt River Bay National Historical Park and Ecological                                                              In process
Preserve
San Antonio Missions National Historical Park                   X             1999
San Francisco Maritime National Historical Park                 X             1997
San Juan Island National Historical Park                        X             1978               2004
San Juan National Historic Site                                 X             1985
Santa Monica Mountains National Recreation Area                 X             1982               2002
Saratoga National Historical Park                               X             1969               2002
Saugus Iron Works National Historic Site                        X             1968               2002
Scotts Bluff National Monument                                  X             1998
Sequoia National Park                                           X             1971               2003
Shenandoah National Park                                        X             1983               2005
Shiloh National Military Park                                   X             1981               2002
Sitka National Historical Park                                  X             1998
Sleeping Bear Dunes National Lakeshore                          X             1979               2003
Springfield Armory National Historic Site                       X             1986
Statue Of Liberty National Monument                             X             1982
Steamtown National Historic Site                                X             1988
Stones River National Battlefield                               X             1999
Sunset Crater Volcano National Monument                         X             1982               2002
Tallgrass Prairie National Preserve                             X             2000
Thaddeus Kosciuszko National Memorial
Theodore Roosevelt Birthplace National Historic Site            X             1997
Theodore Roosevelt Inaugural National Historic Site
Theodore Roosevelt Island                                       X             1967
Theodore Roosevelt National Park                                X             1987
Thomas Jefferson Memorial
Thomas Stone National Historic Site                             X             1990               1995
Timpanogos Cave National Monument                               X             1993




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                                              Parks with General Management and
                                              Commercial Services Plans




(Continued From Previous Page)
                                                                                                          Commercial Service
                                                             General Management Plans (GMP)                  Plans (CSP)
                                                                          Year       Year updated
National park                                              GMP       developed     (complete/due)         CSP    Stage of CSP
Timucuan Ecological & Historic Preserve                      X             1996                                  In process
Tonto National Monument                                                                       2002
Tumacacori National Historical Park                          X             1997
Tupelo National Battlefield                                  X             1987
Tuskegee Airman National Historic Site
Tuskegee Institute National Historic Site                    X             1988               2004
Tuzigoot National Monument                                   X             1975
Ulysses S. Grant National Historic Site                      X             1995
Upper Delaware Scenic and Recreational River                 X             1987
USS Arizona Memorial
Valley Forge National Historical Park                        X             1982               2005
Vanderbilt Mansion National Historic Site                    X             1976
Vicksburg National Military Park                             X             1980
Vietnam Veterans Memorial
Virgin Islands Coral Reef National Monument
Virgin Islands National Park                                 X             1984                             X    Completed
Voyageurs National Park                                      X             1980               2002
Walnut Canyon National Monument                              X             1958               2002
War In The Pacific National Historical Park                  X             1983
Washington Monument                                          X             1989
Washita Battlefield National Historic Site                                                    2002
Weir Farm National Historic Site                             X             1995
Whiskeytown-Shasta-Trinty National Recreation Area           X             2000
White House
White Sands National Monument                                X             1975
Whitman Mission National Historic Site                       X             2000
William Howard Taft National Historic Site                   X             1981
Wilson's Creek National Battlefield                          X             1977               2002
Wind Cave National Park                                      X             1994
Wolf Trap Farm Park for the Performing Arts                  X             1997
Women's Rights National Historical Park                      X             1986               1991
Wrangell – St. Elias National Park                           X             1986               2005
Wrangell – St. Elias National Preserve                       X             1986               2005
Wright Brothers National Memorial                            X             1997                                  In process
Wupatki National Monument                                    X             1982




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                                            Parks with General Management and
                                            Commercial Services Plans




(Continued From Previous Page)
                                                                                                        Commercial Service
                                                           General Management Plans (GMP)                  Plans (CSP)
                                                                        Year       Year updated
National park                                            GMP       developed     (complete/due)         CSP    Stage of CSP
Yellowstone National Park                                  X             1974                                  In process
Yosemite National Park                                     X             1980                             X
Yucca House National Monument                              X             1961
Yukon-Charley Rivers National Preserve                     X             1985
Zion National Park                                         X             2001                                  In process
Source: Regional responses to GAO survey.




                                            Page 86                  GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix VII

Comments from the Association of Partners
for Public Lands                                                                             Append
                                                                                                  x
                                                                                                  iVI




Note: GAO comments
supplementing those in
the report text appear
at the end of this
appendix.




                         Page 87   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix VII
Comments from the Association of Partners
for Public Lands




Page 88                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                 Appendix VII
                 Comments from the Association of Partners
                 for Public Lands




See comment 1.




See comment 2.




See comment 3.




See comment 4.




                 Page 89                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                 Appendix VII
                 Comments from the Association of Partners
                 for Public Lands




See comment 5.




See comment 6.




See comment 7.




                 Page 90                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
               Appendix VII
               Comments from the Association of Partners
               for Public Lands




               The following are GAO’s comments on the Association of Partners for
               Public Lands’ letter dated June 13, 2003.



GAO Comments   1. We agree that NPS must better manage information on nonprofits, and
                  this is one of our recommendations. We do not agree that the report
                  title should be changed as proposed because the change would not
                  capture another issue that our report and recommendations address --
                  the need to better manage the increasing role of nonprofits in providing
                  visitor convenience items and services. Problems in these areas led to
                  conflicts at three of the parks we visited. Moreover, our
                  recommendation that parks develop commercial services plans is
                  directed at managing the roles of nonprofits in the parks.

               2. The association correctly points out, as we likewise observed in the
                  report, that our observations at six parks cannot be generalized to the
                  system as a whole. However, because association sales of convenience
                  items are growing more rapidly than other association revenue items
                  (table 8), we are concerned that the likelihood of conflicts between
                  associations and concessioners may also increase. Positive
                  relationships between associations and concessioners are discussed in
                  the section “Not All Concessioners Were Concerned about Competition
                  from Cooperating Associations,” on pp. 25 - 26.

               3. We agree that cooperating associations provide benefits to visitors that
                  are not measured by the amount of donations to the Park Service. We
                  identified nonfinancial benefits that associations provide in a distinct
                  report section on p. 14 and noted that association activities are focused
                  on providing visitors with educational materials and services on p. 16.
                  In addition, examples of nonfinancial assistance are in table 7.

               4. This effort focused on the National Park Service’s role in partnering
                  with nonprofits. We do cite prior GAO efforts that examined IRS
                  oversight of nonprofits. For example, we cite TAX-EXEMPT
                  ORGANIZATIONS: Additional Information on Activities and IRS
                  Oversight, (GAO/T-GGD-95-198), which found compliance and
                  administrative difficulties with Unrelated Business Income Tax
                  reporting (see p. 32).

               5. We added the association’s view to the discussion on p. 36. As stated in
                  this section, we believe cooperating associations offer a considerable
                  financial advantage, owing to the associations’ nonprofit status and



               Page 91                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix VII
Comments from the Association of Partners
for Public Lands




    other park support. However, we did not attempt to quantify the value
    of these advantages or to measure their effect on park decision makers.

6. We agree that net assets are intended to cover operating reserves and
   are not held exclusively for future contribution. We added the
   clarification that these assets are “potentially” available (pp. 3 and 13)
   and “could become” available (p. 7) for contribution. To the extent that
   nonprofit assets exceed operating expenses and other liabilities, net
   assets can only be used for their tax-exempt purpose, which for most of
   the nonprofits discussed in this report, is solely to benefit national
   parks.

7. Detailed technical and clarifying comments were incorporated into the
   report as appropriate.




Page 92                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix VIII

Comments from the National Park Hospitality
Association                                                                                  Appendx
                                                                                                   iI
                                                                                                   V




Note: GAO comments
supplementing those in
the report text appear
at the end of this
appendix.




See comment 1.




                         Page 93   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                 Appendix VIII
                 Comments from the National Park
                 Hospitality Association




See comment 1.




See comment 2.




See comment 3.




                 Page 94                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
                 Appendix VIII
                 Comments from the National Park
                 Hospitality Association




See comment 3.




See comment 4.




See comment 5.




See comment 5.




See comment 5.



See comment 6.




See comment 5.


See comment 7.




                 Page 95                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
Appendix VIII
Comments from the National Park
Hospitality Association




Page 96                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
               Appendix VIII
               Comments from the National Park
               Hospitality Association




               The following are GAO’s comments on the National Park Hospitality
               Association’s letter dated June 18, 2003.



GAO Comments   1. We agree that Commercial Services Plans will require time to develop
                  and implement and that development and implementation may be
                  difficult because of resource constraints or because General
                  Management Plans must first be prepared or updated. In this regard, we
                  note on p. 1 that federal funding for the Park Service has not kept pace
                  with such needs as visitor services and maintenance requirements. On
                  p. 40, we note that Park Service officials told us that Commercial
                  Service Plans were not developed because park resources are limited
                  and there are higher priorities. We also note that Commercial Services
                  Plans must be consistent with long-term plans – General Management
                  Plans – and while the National Parks and Recreation Act of 1978
                  requires that each park unit maintain an up-to-date General
                  Management Plan, these are frequently out of date. Although progress
                  in developing and implementing Commercial Services Plans is
                  necessarily dependent upon the availability of agency resources and its
                  consideration of other agency priorities, we believe the likelihood that
                  concessioner and nonprofit conflicts will become more common (see p.
                  42) supports placing greater emphasis on Commercial Services Plans.

               2. As is clear from the heading on p. 33, the section “Park Managers Have
                  Broad Discretion in Deciding to Expand Cooperating Association Sales
                  and Services and Do Not Always Provide Transparent Rationale”
                  already discusses the considerable autonomy park managers have at
                  the local level. This was an important factor in our recommending that
                  these managers provide rationale for decisions involving the scope,
                  mix, and appropriateness of association and concessioner sales and
                  services (see p. 44). Because we did not examine the advantages and
                  disadvantages of the Park Service’s decentralized structure, we cannot
                  address the need for increased headquarters’ or regional oversight of
                  park managers.

               3. We did not identify instances where the contractual rights of
                  concessioners were not respected. In addition, D.O. # 32 makes
                  reference to the preferential rights of concessioners. The National
                  Parks Omnibus Management Act of 1998 (P. Law 105-391) prohibits the
                  Secretary of the Interior from granting a preferential right to a
                  concessioner for most new contracts or services. Although D.O. # 32
                  could be updated for consistency with current law, we are not making



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           Appendix VIII
           Comments from the National Park
           Hospitality Association




               this recommendation because we did not identify problems related to
               the outdated wording.

               Moreover, the contracts that we examined as part of our work usually
               did not give concessioners “exclusive” rights to sell or provide services.
               In fact, contract language in some cases specifies that concessioners
               are not granted “an exclusive or monopolistic right, to provide public
               accommodations, facilities, and services.”

               The Association correctly points out that the Reference Manual for
               D.O. # 32 specifies that associations may be authorized to sell visitor
               convenience items when “concessioners are not presently providing
               such services”. This same instruction later specifies that a
               concessioner and an association generally will not carry on duplicative,
               competitive operations “in the same building.” Although the Park
               Service may wish to reexamine these provisions, we did not make this
               recommendation because, in some cases, concessioners and
               associations may need to provide similar services at a park. For
               example, prior to the new visitor center facility opening at Fort Sumter
               NM, the merchandise concessioner chose not to operate its store
               during the off-season. During this period, the association operated that
               facility, providing visitor convenience items in addition to interpretive
               materials.

           4. Table 5 notes that association financial contributions include a dollar
              value assigned to information assistance provided by association staff
              to visitors and that the Park Service allows associations to claim up to
              50 percent of association sales staff salaries. However, we agree that
              additional detail would provide a clearer picture of the composition of
              association contributions. We added language to tables 5 and 11 that 25
              percent of association contributions were for information assistance.
              We also added that information assistance is a primary type of park
              support to the discussion on p. 2.

           5. The issues addressed in this report do not provide a basis for making
              these recommendations.

           6. Associations have appointed concessioner officials to their Boards of
              Directors. This was the case, for example, at Grand Canyon NP and
              Yellowstone NP. We believe that deciding who should serve on its
              Board of Directors is a decision best left to the private cooperating
              association.



(360137)   Page 98                   GAO-03-585 Agency Needs to Better Manage Nonprofit Partners
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