Columbus Zoological Park Association
Financial Statements
December 31, 2022 and December 25, 2021
(with Independent Auditors’ Report)
TABLE OF CONTENTS
Independent Auditors’ Report .................................................................................................................... 1-3
Financial Statements:
Statements of Financial Position ......................................................................................................... 4-5
Statements of Activities ....................................................................................................................... 6-7
Statements of Functional Expenses .................................................................................................... 8-9
Statements of Cash Flows .................................................................................................................... 10
Notes to the Financial Statements ......................................................................................................... 11-31
INDEPENDENT AUDITORS’ REPORT
To the Board of Trustees
Columbus Zoological Park Association
Powell, Ohio
Qualified Opinion
We have audited the accompanying financial statements of the Columbus Zoological Park Association (a
not-for-profit) (the Association) which comprise the statement of financial position as of December 31,
2022 and the related statements of activities, functional expenses, and cash flows for the year then
ended, and the related notes to the financial statements.
In our opinion, except for the effects on the financial statements of the matters described in the Basis for
Qualified Opinion section of our report, the accompanying financial statements present fairly, in all
material respects, the financial position of the Columbus Zoological Park Association as of December 31,
2022, and the results of its operations and its cash flows for the year then ended in accordance with
accounting principles generally accepted in the United States of America.
Basis for Qualified Opinion on U.S. Generally Accepted Accounting Principles
As described in Notes 24 and 25 to the financial statements, the Association is the sole member of the
International Center for the Preservation of Wild Animals, Inc. (the Wilds) and is the sole member of
Zoombezi Bay, LLC and therefore, had control of these organizations on December 31, 2022. Under
accounting principles generally accepted in the United States of America, the financial statements of the
three organizations should be consolidated when one organization has control of another organization.
However, the Association has elected not to consolidate its activities with the Wilds or with Zoombezi Bay,
LLC as of December 31, 2022, and therefore in our opinion is not in conformity with accounting principles
generally accepted in the United States of America. The effects on the accompanying financial
statements of the variances between such practices and accounting principles generally accepted in the
United States of America are described in Notes 24 and 25.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America.
Our responsibilities under those standards are further described in the Auditors’ Responsibilities
for the Audit of the Financial Statements section of our report. We are required to be independent of the
Columbus Zoological Park Association, and to meet our other ethical responsibilities, in accordance with
the relevant ethical requirements relating to our audit. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis for our audit opinion.
Other Matter – Auditors’ Report on the 2021 Financial Statements
The 2021 financial statements of the Association were audited by predecessor auditors whose report
dated May 19, 2022, expressed a qualified opinion on those financial statements.
2
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in
accordance with accounting principles generally accepted in the United States of America, and for the
design, implementation, and maintenance of internal control relevant to the preparation and fair
presentation of financial statements that are free from material misstatement, whether due to fraud or
error.
In preparing the financial statements, management is required to evaluate whether there are conditions or
events, considered in the aggregate, that raise substantial doubt about the Association’s ability to
continue as a going concern within one year after the date that the financial statements are available to
be issued.
Auditors’ Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are
free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that
includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance
and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing
standards will always detect a material misstatement when it exists. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Misstatements are considered material if there is a substantial likelihood that, individually or in the
aggregate, they would influence the judgment made by a reasonable user based on the financial
statements.
In performing an audit in accordance with generally accepted auditing standards, we:
• Exercise professional judgment and maintain professional skepticism throughout the audit.
• Identify and assess the risks of material misstatement of the financial statements, whether due to
fraud or error, and design and perform audit procedures responsive to those risks. Such
procedures include examining, on a test basis, evidence regarding the amounts and disclosures
in the financial statements.
• Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Association’s internal control. Accordingly, no such opinion is
expressed.
• Evaluate the appropriateness of accounting policies used and the reasonableness of significant
accounting estimates made by management, as well as evaluate the overall presentation of the
financial statements.
• Conclude whether, in our judgment, there are conditions or events, considered in the aggregate,
that raise substantial doubt about the Association’s ability to continue as a going concern for a
reasonable period of time.
3
We are required to communicate with those charged with governance regarding, among other
matters, the planned scope and timing of the audit, significant audit findings, and certain internal
control related matters that we identified during the audit.
Clark, Schaefer, Hackett & Co.
Columbus, Ohio
August 10, 2023
Columbus Zoological Park Association
Statements of Financial Position
December 31, 2022 and December 25, 2021
See accompanying notes to the financial statements.
4
2022 2021
Assets
Current assets:
Cash and cash equivalents $ 63,606,284 55,925,262
Accounts receivable, net (NOTE 3) 14,704,590 2,863,781
Current portion of unconditional promises to give (NOTE 4) 2,916,663 3,888,357
Prepaid expenses 1,485,475 930,229
Inventory (NOTE 5) 1,297,341 1,326,787
84,010,353 64,934,416
Property and equipment:
Land 8,462,970 8,462,970
Leasehold improvements 273,903,264 270,777,121
Recreational facilities 9,774,867 9774867
Operations equipment 17,837,532 17,261,102
Motorized fleet 3,002,124 2,767,233
Construction in progress 2,296,471 114,786
315,277,228 309,158,079
Less: accumulated depreciation (155,530,932) (144,465,943)
159,746,296 164,692,136
Other assets:
Beneficial interest in assets held by others (NOTE 6) 869,346 1,024,742
Investments (NOTE 6) 37,284,625 38,636,115
Unconditional promises to give, less current portion, net (NOTE 4)
3,256,244 5,122,646
Operating leases right-of-use assets (NOTE 17) 236,904 -
Other assets (NOTE 7) 885,809 1,045,501
42,532,928 45,829,004
$ 286,289,577 275,455,556
Columbus Zoological Park Association
Statements of Financial Position (Continued)
December 31, 2022 and December 25, 2021
See accompanying notes to the financial statements.
5
2022 2021
Liabilities and net assets
Current liabilities:
Accounts payable $ 6,139,564 4,193,275
Accrued payroll and related liabilities 3,926,915 4,107,226
Accrued taxes 60,160 125,792
Accrued other (NOTE 8) 30,450 854,766
Deferred revenue (NOTE 9) 9,493,257 9,102,392
Current portion of operating lease liabilities (NOTE 17) 107,267 -
Wage continuation (NOTE 11) 843,898 873,434
20,601,511 19,256,885
Long-term liabilities:
Operating lease liabilities, less current portion (NOTE 17) 127,769 -
Net assets:
Without donor restrictions 256,398,602 246,497,500
With donor restrictions (NOTE 12) 9,161,695 9,701,171
265,560,297 256,198,671
$ 286,289,577 275,455,556
Columbus Zoological Park Association
Statement of Activities
Year Ended December 31, 2022
See accompanying notes to the financial statements.
6
Restrictions Restrictions Total
Net assets released from restrictions
3,109,158 (3,109,158)
-
91,425,872 (539,476) 90,886,396
Exhibits and grounds 23,136,599 - 23,136,599
81,524,770 - 81,524,770
Net assets at beginning of year 246,497,500 9,701,171 256,198,671
Net assets at end of year $ 256,398,602 9,161,695 265,560,297
Columbus Zoological Park Association
Statement of Activities
Year Ended December 25, 2021
See accompanying notes to the financial statements.
7
Without Donor With Donor
Restrictions Restrictions Total
Revenue and support:
Tax levy, Franklin County $ 19,774,634 - 19,774,634
Gate admissions 16,040,585 - 16,040,585
General contributions and grants 8,869,560 11,538,884 20,408,444
Sponsorship revenue 2,401,080 - 2,401,080
Membership dues 10,271,673 - 10,271,673
Rent income - Zoombezi Bay, LLC 300,000 - 300,000
Ride admissions 2,961,047 - 2,961,047
Education 1,996,239 - 1,996,239
Donated materials, facilities and services 916,929 - 916,929
Gift shop sales 9,155,741 - 9,155,741
Golf course revenue 2,249,682 - 2,249,682
Food service revenue 12,853,231 - 12,853,231
Auxiliary activities 6,874,620 - 6,874,620
Investment income, net 4,909,603 - 4,909,603
Net assets released from restrictions 12,230,436 (12,230,436) -
111,805,060 (691,552) 111,113,508
Expenses:
Program services:
Animal care, research and conservation 13,997,896 - 13,997,896
Education 4,688,858 - 4,688,858
Visitor services 21,199,208 - 21,199,208
Exhibits and grounds 20,911,057 - 20,911,057
60,797,019 - 60,797,019
Support services:
Management and general 9,565,676 - 9,565,676
Fundraising 2,279,192 - 2,279,192
72,641,887 - 72,641,887
Change in net assets 39,163,173 (691,552) 38,471,621
Net assets at beginning of year 207,334,327 10,392,723 217,727,050
Net assets at end of year $ 246,497,500 9,701,171 256,198,671
Columbus Zoological Park Association
Statement of Functional Expenses
Year Ended December 31, 2022
See accompanying notes to the financial statements.
8
Animal Care,
Research and Visitor Exhibits Management
Conservation Education Services and Grounds Total and General Fundraising Total
Salaries and wages $ 8,544,576 3,639,909 8,260,038 5,062,050 25,506,573 3,118,068 968,614 29,593,255
Fringe benefits 2,849,474 1,112,864 1,357,320 1,692,074 7,011,732 805,070 380,892 8,197,694
Contracted operations - - 1,473,500 - 1,473,500 - - 1,473,500
Advertising and promotion - - 942,614 - 942,614 25,710 - 968,324
Animal care and acquisitions 2,560,662 38,625 - - 2,599,287 - - 2,599,287
Bad debt - - - - - 200,000 200,000
Depreciation and amortization 36,682 17,662 392,230 9,697,119 10,143,693 983,706 112,924 11,240,323
Donated materials, facilities and services 44,205 250 338,426 449,330 832,211 37,564 150,579 1,020,354
Federal income tax expense - - 390,000 - 390,000 - - 390,000
Fees for services 37,732 - 835,175 23,200 896,107 3,314,170 68,039 4,278,316
Food and beverage cost of sales - - 3,459,801 - 3,459,801 - - 3,459,801
Gift shop cost of sales - - 2,701,306 - 2,701,306 - - 2,701,306
Golf course cost of sales - - 329,500 - 329,500 - - 329,500
Insurance - - - 1,041,395 1,041,395 115,711 - 1,157,106
Interest 3,818 1,838 3,818 2,404 11,878 1,697 566 14,141
Other operating expenses 140,464 3,706 459,320 156,758 760,248 392,193 49,202 1,201,643
Office expenses 72,528 131,768 359,983 29,631 593,910 290,115 224,016 1,108,041
Project costs 392,020 138,716 655,680 - 1,186,416 3,854 569,873 1,760,143
Repairs and maintenance 345,577 42,198 452,383 2,595,568 3,435,726 130,325 - 3,566,051
Research and conservation 3,113,441 - - - 3,113,441 - - 3,113,441
Staff development and travel 158,107 24,555 24,936 19,559 227,157 39,223 7,025 273,405
Utilities - - 248,571 2,367,511 2,616,082 236,751 26,306 2,879,139
$ 18,299,286 5,152,091 22,684,601 23,136,599 69,272,577 9,694,157 2,558,036 81,524,770
Program Services
Support Services
Columbus Zoological Park Association
Statement of Functional Expenses
Year Ended December 25, 2021
See accompanying notes to the financial statements.
9
Animal Care,
Research and Visitor Exhibits Management
Conservation Education Services and Grounds Total and General Fundraising Total
Salaries and wages
$
7,406,350 3,353,636 6,577,924 4,605,116 21,943,026 2,736,956 1,078,866 25,758,848
Fringe benefits 2,541,336 1,064,204 1,170,358 1,532,976 6,308,874 804,377 329,320 7,442,571
Contracted operations - - 1,295,900 - 1,295,900 - - 1,295,900
Advertising and promotion - - 749,173 - 749,173 53,558 - 802,731
Animal care and acquisitions 2,036,170 45,781 - - 2,081,951 - - 2,081,951
Depreciation and amortization 35,963 17,315 383,255 9,078,270 9,514,803 921,546 105,946 10,542,295
Donated materials, facilities and services
13,929 - 320,740 418,062 752,731 57,910 106,288 916,929
Federal income tax expense - - 197,656 - 197,656 - - 197,656
Fees for services 52,959 - 1,010,336 22,016 1,085,311 3,841,897 134,784 5,061,992
Food and beverage cost of sales - - 3,601,247 - 3,601,247 - - 3,601,247
Gift shop cost of sales - - 3,085,843 - 3,085,843 - - 3,085,843
Golf course cost of sales - - 190,903 - 190,903 - - 190,903
Insurance - - - 876,621 876,621 97,402 - 974,023
Interest 4,537 2,185 4,537 2,857 14,116 2,017 672 16,805
Other operating expenses 134,017 30,362 920,809 106,628 1,191,816 182,301 10,187 1,384,304
Office expenses 58,945 70,461 306,851 41,859 478,116 395,380 211,766 1,085,262
Project costs 336,676 86,406 748,364 - 1,171,446 5,228 254,479 1,431,153
Repairs and maintenance 299,562 12,573 428,656 2,174,563 2,915,354 259,399 - 3,174,753
Research and conservation 1,056,666 - - - 1,056,666 - - 1,056,666
Staff development and travel 20,786 5,935 11,577 6,749 45,047 3,171 24,158 72,376
Utilities - - 195,079 2,045,340 2,240,419 204,534 22,726 2,467,679
$
13,997,896 4,688,858 21,199,208 20,911,057 60,797,019 9,565,676 2,279,192 72,641,887
Program Services
Support Services
Columbus Zoological Park Association
Statements of Cash Flows
Years Ended December 31, 2022 and December 25, 2021
See accompanying notes to the financial statements.
10
2022 2021
Cash flows from operating activities:
Change in net assets $ 9,361,626 38,471,621
Adjustments to reconcile change in net assets to net cash
provided by operating activities:
Depreciation and amortization 11,240,323 10,542,295
Bad debt 200,000 -
Net realized and unrealized (gain/loss) on investments 2,672,782 (4,809,957)
Change in value of life insurance policy 18,117 -
(Gain) loss on disposal of asset (14,147) 239,042
Donated stock (117,168) (101,468)
Non - cash lease expense (1,868) -
Effects of change in operating assets and liabilities:
Accounts receivable
(12,040,809) 178,854
Promises to give
2,838,096 456,543
Prepaid expenses
(555,246) (8,436)
Inventory
29,446 (537,504)
Accounts payable
1,946,289 1,364,565
Accrued expenses
(920,259) 266,997
Deferred revenue
390,865 1,867,027
Wage continuation (29,536) 29,536
Net cash flows from operating activities 15,018,511 47,959,115
Cash flows from investing activities:
Purchase of property and equipment (6,156,498) (7,779,282)
Proceeds from sale of property and equipment 17,737 288,957
Payments made for intellectual property (150,000) (150,000)
Proceeds from sales and maturities of investments 8,635,051 8,969,338
Purchases of investmetns (9,683,779) (10,929,604)
Net cash flows from investing activities (7,337,489) (9,600,591)
Net change in cash 7,681,022 38,358,524
Cash and cash equivalents beginning of year 55,925,262 17,566,738
Cash and cash equivalents at end of year $ 63,606,284 55,925,262
Supplemental Disclosure of Cash Flow Information
Interest paid $ 14,141 16,805
Taxes paid $ 390,000 197,656
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
11
1. NATURE AND SCOPE OF BUSINESS:
The Columbus Zoological Park Association (the Association) was organized in 1930 as a not-for-profit
organization. The functions of the Association are to provide appropriate care for wildlife including
threatened and endangered species, provide conservation education programs to the community,
conduct local, regional and global conservation science and offer family recreation opportunities. The
Association funds are utilized for these functions.
By contract with the City of Columbus (the City), the Association has agreed to undertake the operation,
management, and development of the Columbus Zoo and Aquarium. This contract is effective through
December 31, 2037, unless canceled by either the City or the Association prior to that time.
Franklin County (the County) voters renewed a .75 mill levy that began in 2016 to support the Zoo. This
levy runs for ten years and expires in 2025. The levy generated approximately $20,000,000 in both 2022
and 2021.
The activities of the Association are administered by its Board of Directors.
Among various provisions of this levy was the continuation of the eighteen member publicly Appointed
Board, separate from the Board of Directors. The Appointed Board consists of eighteen (18) persons,
consists of six (6) of whom the Board of County Commissioners name, six (6) of whom the City name,
and six (6) of whom the Association name. The purpose of the Appointed Board of Directors is to oversee
the public funds that resulted from the passage of the levy.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
Basis of presentation
The financial statements of the Association have been prepared in accordance with U.S. generally
accepted accounting principles (U.S. GAAP). The Association is required to report information regarding
its financial position and activities according to the following net asset classifications:
• Net assets without donor restrictions: Net assets that are not subject to donor-imposed
restrictions and may be expended for any purpose in performing the primary objectives of the
Association. These net assets may be used at the discretion of the Association’ management and
the Board of Trustees.
• Net asset with donor restrictions: Net assets subject to stipulations imposed by donors and
grantors. Some restrictions are temporary in nature; those restrictions that are likely to be met by
the actions of the Association or by the passage of time. Other donor restrictions are perpetual in
nature, whereby the donor has stipulated the funds be maintained in perpetuity and only the
related investment income is without donor restriction.
Fiscal year
The Association has a fiscal year that ends the last Saturday in December. The years ended December
31, 2022 and December 25, 2021 included 53 weeks and 52 weeks, respectively.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
12
New accounting standards
In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards
Update (ASU) 2016-02, Leases (Topic 842), which supersedes existing guidance for accounting for
leases under Topic 840, Leases. The FASB also subsequently issued additional ASUs, which amended
and clarified Topic 842. The most significant change in the new leasing guidance is the requirement to
recognize right-of-use (ROU) assets and lease liabilities for operating leases on the statement of financial
position.
The Association elected to adopt these ASUs effective December 26, 2021. The Association also elected
multiple practical expedients. These included transition elections that permitted the Association to not
reassess prior conclusions about lease identification, lease classification, and initial direct costs for
existing or expired leases, as well as not assessing existing land easements under the new standard. In
addition, the Association adopted ongoing accounting policies to not recognize ROU assets and lease
liabilities for leasing arrangements with terms of less than one year and to separate lease and non-lease
components for all classes of underlying assets. The most significant impact was the recognition of ROU
assets and lease liabilities for operating leases. Upon adoption, the association recognized operating
lease right-of-use assets and corresponding liabilities of $448,270.
During 2022, the Association also adopted ASU 2020-07, Presentation and Disclosures by Not-for-Profit
(NFP) Entities for Contributed Nonfinancial Assets. The standard required new presentation and
disclosures for gifts in-kind. The presentation of the Association’s financial statements has been changed
as a result of the standard.
Cash and cash equivalents
For purposes of the statements of cash flows, the Association considers all unrestricted highly liquid
investments with an initial maturity of three months or less to be cash equivalents.
Investments
Investments in publicly traded securities are reflected in the financial statements at fair value based on
quoted market prices. Investment funds managed by the Commonfund contain commingled trusts, which
are not listed on national markets or over-the-counter markets for which quoted market prices are readily
available. Management estimates the fair value of their investments in commingled trusts based on the
net asset values (NAV). The net asset values are provided by the fund administrator and may include
information based on historical cost appraisals, obtainable prices for similar assets, or other estimates.
Investments in private investment companies are valued at the latest net asset value made available by
the fund manager or administrator prior to the valuation date, which is believed to approximate fair market
value.
Accounts receivable
Accounts receivable are stated at the amount management expects to collect from outstanding balances.
Management provides for probable uncollectible amounts through a provision for bad debt expense and
an adjustment to a valuation allowance based on its assessment of the current status of individual
accounts. Balances that are still outstanding after management has used reasonable collection efforts are
written off through a charge to the valuation allowance and a credit to accounts receivable.
Promises to give
Unconditional promises to give are recognized as revenues in the period received and as assets,
decreases of liabilities, or expenses depending on the form of the benefits received. Promises to give are
recorded at net realizable value. Conditional promises to give are recognized when the conditions on
which they depend are met.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
13
Inventory
Inventory is determined by physical count and is priced at the lower of cost or net realizable value. Cost
has been determined using the first-in, first-out method.
Property and equipment
Property and equipment is recorded at cost. Depreciation is computed using the straight-line method over
the shorter of the estimated useful lives of the assets or the term of the lease. It is the Association’s
policy to capitalize expenditures for items in excess of $7,500. All repairs and maintenance are expensed
in the period incurred.
A portion of the land and buildings located at the Zoo are the property of the City of Columbus and are not
included in these financial statements. Improvements prior to 1991 were expensed as incurred due to the
Association operating under a month-to-month lease with the City of Columbus. Subsequent to 1991,
building acquisitions are recorded as leasehold improvements.
A parcel of land encompassing 140 acres of the Zoo property and parking lot is being donated through a
lease with the City of Columbus. The fair value of this lease donation is $449,330 in 2022 and $418,062
in 2021 and is included in donated materials, facilities and services in the statement of activities.
A parcel of land encompassing 117 acres of the golf course property is being donated through a lease
with the City of Columbus. The fair value of this lease donation is $375,640 in 2022 and $349,500 in 2021
and is included in donated materials, facilities and services in the statement of activities.
The Association reports gifts of land, buildings, and equipment as net assets without donor restrictions
support, unless explicit donor stipulations specify how the donated assets must be used. Gifts of long-
lived assets with explicit restrictions that specify how the assets are to be used, and gifts of cash or other
assets that must be used to acquire long-lived assets, are reported as net assets with donor restrictions
support. Absent explicit donor stipulations about how long those long-lived assets must be maintained,
the Association reports expirations of donor restrictions when the donated or acquired long-lived assets
are placed in service.
Zoological collection
Animal transactions that involve cash are recorded as income or expense on the accrual basis of
accounting in the period the animal was shipped or received, while transactions that do not involve cash
are necessarily excluded. The value of the zoological collection is not carried as an asset on the
statements of financial position of the Association.
Recognition of donor restrictions
Support that is restricted by the donor is reported as an increase in net assets without donor restrictions if
the restriction expires in the reporting period in which the support is recognized. All other donor-restricted
support is reported as an increase in net assets with donor restrictions. When a restriction expires, net
assets with donor restrictions are reclassified to net assets without donor restrictions.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
14
Donated materials, facilities and services
Significant materials, facilities and services are donated to the Association by various individuals and
organizations. Donated materials, facilities and professional services are recorded at fair value at the date
of donation and have been included in revenue and expenses for the respective years. Approximately
91,900 and 79,900 hours of donated services were received in 2022 and 2021, respectively, but were not
recognized in the financial statements because they did not meet the criteria for recognition under FASB
Accounting Standards Codification relating to revenue recognition by not-for-profit organizations.
Revenue recognition
The Association derives revenue from customers for admissions, memberships, attractions, parking,
programs, commissions, a portion of special events, gift certificates and other. These revenues are
recognized when control of these products or services is transferred to its customers and members, in an
amount that reflects the consideration the Association expects to be entitled to in exchange for those
products and services. Incidental items that are immaterial in the context of the contracts are recognized
as expense. The Association does not have any significant financing components as payment is received
at or shortly after the point of sale. Costs incurred to obtain a contract will be expensed as incurred when
the amortization period is less than a year.
Special events revenue includes both contract revenue and a contribution component. The portion of the
gross proceeds paid by the participant that represents payment for the direct cost of the benefits received
by the participant at the event is the contract revenue component. Unless a verifiable objective means
exists to demonstrate otherwise, the fair value of meals and entertainment provided at special events is
measured at the actual cost to the Association. The contribution component is the excess of the gross
proceeds over the fair value of the direct donor benefit. Special event fees collected by the Association in
advance of its delivery are initially recognized as deferred revenue and recognized as special event
revenue after delivery of the event.
Revenue from performance obligations satisfied at a point in time consists of admissions, attractions,
parking, education, sales, golf course revenue, commissions, a portion of special events and other.
Admissions and parking are recognized at the time the visitation takes place. Revenue from commissions
and attractions is recognized upon delivery of the goods or services. Revenue from programs and special
events is generally recognized at the time the program or event takes place.
Revenue from performance obligations satisfied over time consists of memberships. Members pay the
contract amount in full at the time of purchase. Membership fees are non-refundable and are recognized
as revenue ratably over the term of the one-year membership.
Deferred revenue relates to the advance consideration received from sponsorships, program fees,
membership dues and gift certificates. Contract assets and liabilities consist of $1,133,966 in accounts
receivable and $7,235,365 in deferred revenue as of December 26, 2020.
Prior year contract liabilities recognized in the years ending December 31, 2022 and December 25, 2021
were $9,102,392 and $7,235,365, respectively.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
15
The following table disaggregates the Organization’s revenue based on the timing of satisfaction of
performance obligations for the years ended December 31, 2022 and December 25, 2021:
2022 2021
Revenue from:
Performance obligations satisfied at a point in time
$ 53,573,717 54,532,225
Performance obligations satisfied over time 11,591,351 10,271,673
$ 65,165,068 64,803,898
Advertising expenses
The Association’s policy is to expense advertising costs as the costs are incurred.
Leases
The Association considers an arrangement a lease if, at inception, the arrangement transfers the right to
control the use of an identified asset for a period of time in exchange for consideration. Under leasing
standards, control is defined as having both the right to obtain substantially all of the economic benefits
from use of the asset and the right to direct the use of the asset. Management only reassesses its
determination if the terms and conditions of the contract are changed.
Operating leases are included in operating lease right-of-use (ROU) assets, current portion of operating
lease obligation, and operating lease obligation on the statement of financial position.
The lease term reflects the noncancellable period of the lease together with periods covered by an option
to extend or terminate the lease when management is reasonably certain that it will exercise such option.
The Association uses the risk-free rate for a period of time similar to the lease term, determined at the
lease commencement date, in determining the present value of lease payments. The risk-free rate is
used as the information necessary to determine the rate implicit in the lease and the Association
incremental borrowing rate is not readily available. The Association has lease agreements with lease and
non-lease components, which are generally accounted for as a single lease. Lease expense for
operating leases is recognized on a straight-line basis over the lease term. Short-term leases are less
than one year without purchase or renewal options that are reasonably certain to be exercised and are
recognized on a straight-line basis over the lease term. The right-of-use asset is tested for impairment.
Functional allocation of expenses
The costs of providing the various programs and activities have been summarized on a functional basis in
the statements of activities. Accordingly, certain costs have been allocated among the programs and
supporting services benefited. Fringe benefits are allocated based on salary and wages expense. Other
expenses are allocated based upon management’s estimated usage. These allocated expenses include
depreciation, insurance and utilities and a portion of staff salaries, as well as interest, vehicle fuel,
uniforms, and cleaning and office supplies, all of which were allocated based upon management’s
estimated use of these items.
Use of estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the
United States of America requires management to make estimates and assumptions that affect the
reported amounts of assets and liabilities at the date of the financial statements and reported amounts of
revenues and expenses during the reporting period. Actual results could differ from those estimates.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
16
Reclassifications
Certain amounts in the 2021 financial statements have been reclassified to conform to the 2022
presentation.
Subsequent events
The Association evaluates events and transactions occurring subsequent to the date of the financial
statements for matters requiring recognition or disclosure in the financial statements. The accompanying
financial statements consider events through August 10, 2023 the date on which the financial statements
were available to be issued.
3. ACCOUNTS RECEIVABLE:
Accounts receivable at December 31, 2022 and December 25, 2021 as summarized as follows:
2022 2021
Admissions and concessions $ 672,382 923,586
Franklin County 13,011,370 920,523
Other 1,220,838 853,155
Related party:
The Wilds - 14,939
Zoombezi Bay, LLC - 151,578
14,904,590 2,863,781
Less: allowance for receivables (200,000) -
$ 14,704,590 2,863,781
4. PROMISES TO GIVE:
The Association’s promises to give at December 31, 2022 and December 25, 2021 are due as follows:
2022 2021
Less than one year $ 2,916,663 3,888,357
One to five years 3,368,677 4,783,677
More than five years - 570,000
6,285,340 9,242,034
Less: Present value discount of 3% (112,433) (231,031)
$ 6,172,907 9,011,003
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
17
5. INVENTORY:
Inventory at December 31, 2022 and December 25, 2021 is summarized as follows:
2022 2021
Animal food $ 193,548 156,700
Fuel oil and gasoline 6,829 5,116
Gift shop merchandise 730,569 811,147
Pro shop, restaurant and concessions merchandise 366,395 353,824
$ 1,297,341 1,326,787
6. INVESTMENTS AND BENEFICAL INTEREST:
The Association invests available cash pursuant to investment guidelines established by the Board of
Trustees. At December 31, 2022 and December 25, 2021 investments are summarized as follows:
2022 2021
Fixed income corporate bonds $ 4,215,134 4,830,627
Beneficial interest in assets held by others 869,346 1,024,741
Funds managed by Commonfund:
Commingled equity funds 11,787,069 12,886,854
Commingled fixed income funds 6,056,688 5,488,703
Commingled real asset funds 945,024 1,884,620
Alternative investment funds:
Commingled hedge funds 3,450,565 3,341,007
Private investment companies 10,830,145 10,204,305
$ 38,153,971 39,660,857
Beneficial interest in assets held by others are funds held by the Columbus Foundation for the
unrestricted use of the Association. These funds are subject to the variance power of the Board of
Trustees of the Columbus Foundation.
7. OTHER ASSETS:
In 2017, the Association entered into a license agreement with its retired Director Emeritus. The
agreement provides the Association with irrevocable, perpetual rights to the name, image and likeness of
its Director Emeritus. This license agreement created an intellectual property asset with a value of
$1,374,336. Intellectual property is amortized to match the net present value of the liability over a useful
life of 10 years. Intellectual property, net of accumulated amortization, is included in other assets on the
statements of financial position. Amortization of intellectual property for the years ended December 31,
2022 and December 25, 2021 was $135,860 and $133,196, respectively. Accumulated amortization of
intellectual property was $803,177 at December 31, 2022 and $667,317 at December 25, 2021.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
18
Future amortization expense is as follows:
Year Ending Amount
2023 $ 138,577
2024 141,348
2025 144,175
2026 147,059
$ 571,159
8. ACCRUED OTHER:
The Association has an employment agreement with its retired Director Emeritus. The agreement
provides for the Association to pay life insurance policy premiums on behalf of its retired Director
Emeritus. One term life policy continues through December 31, 2024. As part of an agreement
amendment effective December 31, 2022, the Association is no longer responsible for two other
permanent life policies. The benefits of the policies will be paid to the heirs of the retired Director
Emeritus. The obligation for this agreement, based on current life expectancy tables, is reported as a
liability of $30,450 and $854,766 on the statements of financial position at December 31, 2022 and
December 25, 2021, respectively. The change in the liability associated with this agreement is reflected
as income of $673,866 and $133,496 in support services – management and general expenses in the
statements of activities for the years ended December 31, 2022 and December 25, 2021, respectively.
9. DEFFERED REVENUE:
Deferred revenue, which is considered a contract liability, consists of the following at December 31, 2022
and December 25, 2021:
2022 2021
Membership dues $ 5,992,186 5,897,823
Sponsorships 2,415,612 2,578,324
Deposits and program fees for future events 1,031,454 578,134
Gift certificates 54,005 48,111
$ 9,493,257 9,102,392
10. LINE OF CREDIT:
The Association has a line of credit that allows for a maximum borrowing of $15,000,000. Interest on the
line is at term SOFR plus 1.17%. The Association is required to make monthly interest payments and the
principal balance is due by July 14, 2023. At December 31, 2022 and December 25, 2021, the
outstanding balance under this line of credit was $0.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
19
11. WAGE CONTINUATION AGREEMENT:
The Association has a wage continuation agreement with its former Executive Director. The agreement
provides for 10 annual installments to the heirs of the former Executive Director upon his death. The
obligation for this agreement, based on current life expectancy tables, is reported as a liability of
$843,898 and $873,434 on the statements of financial position at December 31, 2022 and December 25,
2021, respectively. The change in the liability associated with this agreement is reflected as income of
$29,536 and as expense of $29,536 in the statements of activities for the years ended December 31,
2022 and December 25, 2021, respectively. The Association has purchased a life insurance policy to fund
this obligation. The death benefit is $1,000,000.
12. NET ASSETS WITH DONOR RESTRICTIONS:
Net assets with donor restrictions are restricted for the following purposes at December 31, 2022 and
December 25, 2021:
2022 2021
Conservation and education projects $ 3,545,657 3,132,019
Building and exhibit improvements 1,064,431 60,132
Animal purchases 33,203 33,311
For subsequent periods 4,518,404 6,475,709
$ 9,161,695 9,701,171
13. BOARD DESIGNATED NET ASSETS:
At December 31, 2022 and December 25, 2021, board designated net assets were available for the
following purposes:
2022 2021
Endowment $ 33,938,836 34,830,231
14. FUTURE MINIMUM RENTAL INCOME:
The Association subleases approximately 23 acres of real property to Zoombezi Bay, LLC under a
sublease agreement with terms ending in December 2037.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
20
Minimum future rental income as of December 31, 2022 for each of the next five years and through
maturity are as follows:
Year Ending Amount
2023 $ 300,000
2024 300,000
2025 300,000
2026 300,000
2027 300,000
Thereafter 3,000,000
$ 4,500,000
15. FAIR VALUE MEASUREMENTS:
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly
transaction between market participants at the measurement date. A fair value measurement assumes
that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or
liability or, in the absence of principle market, the most advantageous market. Valuation techniques that
are consistent with the market, income or cost approach are used to measure fair value.
The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three
broad levels:
• Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities
the Association has the ability to access.
• Level 2 inputs (other than quoted prices included within Level 1) are observable for the asset or
liability, either directly or indirectly.
• Level 3 inputs are unobservable inputs for the asset or liability and rely on management’s own
assumptions about the assumptions that market participants would use in pricing the asset or
liability.
The level of the fair value hierarchy within which a fair value measurement in its entirety falls is based on the
lowest level input that is significant to the fair value measurement in its entirety.
The following are descriptions of the valuation methodologies used for assets measured at fair value.
Significant transfers between the fair value levels are determined at the end of the reporting period. There
were no significant transfers between fair value levels in 2022 or 2021.
• Corporate bonds – Valuation is determined using quoted prices for identical or similar assets in
active markets, with additional consideration to contractual cash flows, benchmark yields and
credit spreads.
• Beneficial interest in assets held by others – Valuation is determined by the underlying interest in
funds held by the Columbus Foundation, which are primarily invested in marketable securities
with quoted market prices, without management adjustment.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
21
• Funds managed by Commonfund – Valuation is determined using the NAV as reported by
Commonfund, manager of the funds. These assets have not been categorized in the fair value
hierarchy. The fair value amounts presented are intended to permit reconciliation of the fair value
hierarchy to the amounts presented in the accompanying statement of financial position.
Assets and liabilities measured at fair value on a recurring basis at December 31, 2022 were as follows:
Total Level 1 Level 2 NAV
Fixed income corporate bonds $ 4,215,134 4,215,134 - -
Beneficial interest in assets held by others:
Equity funds 869,346 - 869,346 -
Funds managed by Commonfund:
Commingled equity funds 11,787,069 - - 11,787,069
Commingled fixed income funds 6,056,688 - - 6,056,688
Commingled real asset funds 945,024 - - 945,024
Alternative investment funds:
Commingled hedge funds 3,450,565 - - 3,450,565
Investment in limited liability company 1,144,554 - - 1,144,554
Investment in limited partnerships 9,685,591 - - 9,685,591
$ 38,153,971 4,215,134 869,346 33,069,491
December 31, 2022
Assets and liabilities measured at fair value on a recurring basis at December 25, 2021 were as follows:
Total Level 1 Level 2 NAV
Fixed income corporate bonds $ 4,830,627 4,830,627 - -
Beneficial interest in assets held by others:
Equity funds 1,024,741 - 1,024,741 -
Funds managed by Commonfund:
Commingled equity funds 12,886,854 - - 12,886,854
Commingled fixed income funds 5,488,703 - - 5,488,703
Commingled real asset funds 1,884,620 - - 1,884,620
Alternative investment funds:
Commingled hedge funds 3,341,007 - - 3,341,007
Investment in limited liability company 1,324,282 - - 1,324,282
Investment in limited partnerships 8,880,023 - - 8,880,023
$ 39,660,857 4,830,627 1,024,741 33,805,489
December 25, 2021
Certain investments are commingled funds held and managed by Commonfund. The investment
objective of these funds are as follows:
The commingled equity funds consist of two funds: (1) Strategic Solutions Global Equity Fund, which
uses a multi-manager approach to provide investors with broad exposure to global equity markets and
reduced risk through diversification of manager allocations. (2) SSGA S&P 500 Index Non-Lending
Common Trust Fund, which attempts to approximate, before expenses, the performance of the S&P 500
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
22
Index over the long term. The redemption frequency of these funds is monthly, with five business days'
notice.
The commingled fixed income funds consist of four funds: (1) CF Credit Series, an investment program
consisting of fixed income credit securities that seeks to produce total returns in excess of its benchmark.
The redemption frequency of this fund is 15% of NAV monthly, with five business days' notice or any
amount with 90 calendar days' notice. (2) CFI High Quality Bond Fund, which invests in investment grade
bonds and other fixed income securities in an attempt to outperform the U.S. Bond market. The
redemption frequency of this fund is weekly or monthly, with five business days' notice. (3) State Street
Institutional U.S. Government Money Market Fund, which can be redeemed daily. (4) SSGA US
Aggregate Bond Index NL Strategy, which seeks an investment return that approximates the performance
of its benchmark index (Bloomberg Barclays U.S. Aggregate Bond Index) over the long term. The
redemption frequency of this fund is daily, with two business days' notice.
The commingled real asset funds consist of two funds: (1) S&P Global LargeMidCap Natural Resources
Index Strategy Fund and (2) SSGA Tuckerman US REIT Index NL QP, both of which are managed using
an "indexing" investment approach, by which it seeks to replicate, before expenses, the performance of its
benchmark index over the long term. The redemption frequency of these funds is daily, with two
business days' notice.
The commingled hedge funds consist of one fund, Global Absolute Alpha Company, that seeks to provide
investors with long-term returns over a full market cycle that are favorable to capital, equity and credit
markets on a risk-adjusted basis. The redemption frequency of this fund is quarterly, with 65 calendar
days' notice (limited to 25% of NAV per quarter).
At December 31, 2022, the Association is committed to invest an additional $5,129,150 of funds in their
alternative investments with private investment companies. The Association cannot withdraw from the
partnership investments prior to their termination, pursuant to the partnership agreements. The
Association can withdraw from the limited liability company with 120 days' notice.
16. RETIREMENT PLAN:
The Association contributes to the Ohio Public Employees Retirement System (OPERS), a cost-sharing
multiple-employer public employee retirement system comprised of three separate pension plans: the
Traditional Plan – a defined benefit plan; the Combined Plan – a combination defined benefit/defined
contribution plan; and the Member-Directed Plan – a defined contribution plan. OPERS provides
retirement, disability, survivor and death benefits and annual cost-of-living adjustments to members of the
Traditional and Combined Plans. Members of the Member-Directed Plan do not qualify for ancillary
benefits. Authority to establish and amend benefits is provided by state statute per chapter 145 of the
Ohio Revised Code. OPERS issues a publicly available, stand-alone financial report that includes
financial statements and required supplementary information.
The required employer contributions (percentage of wages earned) vary each year. For the years ending
December 31, 2022 and December 25, 2021, the contribution percentages ranged between 14% of
wages and 23% of wages depending on the hire date of employees. Contributions are required for both
full-time and part-time employees. The contribution requirements of plan members and employers are
established and may be amended, up to maximum amounts, by the OPERS Board. Total employer
contributions for the years ended December 31, 2022 and December 25, 2021 were $3,112,863 and
$2,863,893, respectively.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
23
The risks of participating in these multi-employer plans are different from single-employer plans in the
following aspects:
• Assets contributed to multi-employer plans by one employer may be used to provide benefits to
employees of other participating employers.
• If a participating employer stops contributing to the plan, the unfunded obligations of the plan may
be borne by the remaining participating employers.
• If the Association chooses to stop participating in some of its multi-employer plans, the
Association may be required to pay those plans an amount based on the unfunded status of the
plan, referred to as a withdrawal liability.
OPERS’ 2021 actuarial pension valuation (most recent valuation) showed a funded status of 84.1% with
the unfunded liability expected to be funded within 16 years. This falls within the green zone of the
Pension Protection Act zone status (greater than 80% funded).
17. OPERATING LEASES:
The Association has a lease with the City of Columbus and Franklin County for land and buildings. The
lease expires on December 31, 2037 and provides for annual rental payments of $10, the total of which was
paid in full at the inception of the lease.
The Association also leases various equipment under operating lease arrangements which expire in various
years through October 2025.
As of December 31, 2022, the Association has not entered into any material leases expected to commence
in 2023.
For the year ended December 31, 2022, the Association had the following recorded in operating expenses
associated with lease arrangements:
Lease expense
Operating lease expense $ 214,600
Other Information
Weighted-average remaining lease term in years for operating leases
2.37 years
Weighted-average discount rate for operating leases
1.03%
Rent expense for operating leases under ASC 840 – Leases was $129,903 for the year ended December
25, 2021.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
24
The following is an analysis of maturities of lease liabilities as of December 31:
Year Ending
2023 $ 109,186
2024 88,658
2025 40,167
Total minimum lease payments 238,011
Less imputed interest 2,975
Total operating lease liability
$
235,036
Non-cash lease expense on the statement of cash flows includes the amortization of the lease right-of-use
asset of $211,366, offset by a change in the lease liability of $213,234 for the year ended December 31,
2022. Lease payments within operating activities were $216,468 for the year ended December 31, 2022.
18. PAYROLL AND RELATED COSTS:
Fringe benefits include all state and federal payroll taxes, retirement cost (Note 16) and group health,
dental and life insurance. Association employees earn vacation, sick leave and compensatory pay as
they earn their regular salaries and wages. The benefits may be carried over indefinitely, with certain
limitations. Upon termination, employees are entitled to payments for amounts earned and not yet
received. Approximately 40% of the Association's employees are covered by a collective bargaining
agreement expiring December 31, 2024.
As discussed in Note 16, the Association contributes to OPERS. This system provides post-retirement
health care coverage to age and service retirees with 20 or more years of qualifying Ohio service credit.
Health care coverage for disability recipients and primary survivor recipients is available. A portion of
each employer’s contribution to OPERS is set aside for the funding of post-retirement health care. The
Ohio Revised Code provides statutory authority for employer contributions. The employer contribution
rate for 2022 and 2021 was 14% of covered payroll with 0% being the portion used to fund health care for
both years.
19. UTILIZATION OF PROFESSIONAL EMPLOYER ORGANIZATIONS:
The Association has elected to outsource the management of its human resource function, payroll, and
workers’ compensation to a Professional Employer Organization (PEO) for all seasonal labor employees.
Through a contractual arrangement, the PEO assumes certain employer rights, responsibilities, and risk.
Service fees paid to the PEO were $29,607 and $468,401 in 2022 and 2021, respectively. The PEO was
no longer used after April 2022.
20. ENDOWMENT FUNDS:
The Association’s endowment consists of thirteen individual funds established for a variety of purposes.
Its endowment includes funds designated by the Board of Trustees to function as endowments. As
required by accounting principles generally accepted in the United States of America, net assets
associated with endowment funds, including funds designated by the Board of Trustees to function as
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
25
endowments, are classified and reported on the existence or absence of donor-imposed restrictions.
Interpretation of relevant law
The Board of Trustees of the Association has interpreted the State of Ohio’s Uniform Prudent
Management Institutional Funds Act (UPMIFA) as requiring the preservation of the fair value of the
original gift as of the gift date of the donor-restricted endowment funds absent explicit donor stipulations
to the contrary. As a result of this interpretation, the Association classifies as net assets with donor
restrictions to be maintained in perpetuity (a) the original value of gifts donated to the endowment, (b) the
original value of subsequent gifts to the endowment, and (c) accumulations to the endowment made in
accordance with the direction of the applicable donor gift instrument at the time the accumulation is added
to the fund. The remaining portion of the endowment fund with donor restrictions that is not required to be
maintained in perpetuity is classified as net assets with donor restrictions until those amounts are
appropriated for expenditure by the Association in a manner consistent with the standard of prudence
prescribed by UPMIFA.
In accordance with UPMIFA, the Association considers the following factors in making a determination to
appropriate or accumulate donor-restricted endowment funds:
(1) The duration and preservation of the donor-restricted endowment fund
(2) The purposes of the Association and the donor-restricted endowment fund
(3) General economic conditions
(4) The possible effect of inflation and deflation
(5) The expected total return from income and the appreciation of investments
(6) Other resources of the Association
(7) The investment policies of the Association
Changes in endowment net assets for the years ended December 31, 2022 and December, 2021 are as
follows:
2022 2021
Endowment net assets at beginning of year
Without donor restrictions $ 34,830,231 30,454,536
Investment return
Without donor restrictions (1,818,355) 4,973,237
Contributions
Without donor restrictions 2,499,352 704,209
Appropriation of endowment assets for expenditure
Without donor restrictions (1,572,392) (1,301,751)
Endowment net assets at end of year $ 33,938,836 34,830,231
Funds with deficiencies
From time to time, the fair value of assets associated with individual donor-restricted endowment funds
may fall below the level that the donor or UPMIFA requires the Association to retain as a fund of
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
26
perpetual duration. In accordance with accounting principles generally accepted in the United States of
America, deficiencies of this nature are reported in net assets with donor restrictions. There were no
such deficiencies as of December 31, 2022 and December 25, 2021.
Return objectives and risk parameters
The Association has adopted investment and spending policies for endowment assets that attempt to
provide a predictable stream of funding to programs supported by its endowment while seeking to
maintain the purchasing power of the endowment assets. The Association expects its endowment funds,
over time, to provide an average rate of return of approximately 6% annually after fees. Actual returns in
any given year may vary from this amount.
Strategies employed for achieving objectives
To satisfy its long-term rate-of-return objectives, the Association relies on a total return strategy in which
investment returns are achieved through both capital appreciation (realized and unrealized) and an
allocation that places a greater emphasis on equity-based investments to achieve its long-term return
objectives within prudent risk constraints.
Spending policy and how the investment objectives relate to spending policy
The Association has a policy of appropriating for distribution each year 4.5% of its endowment fund’s total
value based upon the trailing 3-year average through the calendar year end preceding the fiscal year in
which the distribution is planned. In establishing this policy, the Association considered the long-term
expected return on its endowment. Accordingly, over the long term, the Association expects the current
spending policy to allow its endowment to grow at an average of 1.5% annually. This is consistent with
the Association’s objective to maintain the purchasing power of the endowment assets held in perpetuity
or for a specified term as well as to provide additional real growth through new gifts and investment
return.
21. PROVISONS FOR INCOME TAXES:
The Association is a tax-exempt organization under Section 501(c)(3) of the Internal Revenue Code except
that Federal income tax is provided on unrelated business income. The Association’s unrelated business
income results from operation of a gift shop, recreational facility, amusement rides area, unrelated parking
area, unrelated catering revenue, exclusive provider contract revenue, rent income from a related party and
management services provided to a related party. Income tax expense on unrelated business income was
$390,000 and $197,656 for the years ended December 31, 2022 and December 25, 2021, respectively.
The Association does not believe its financial statements include any uncertain tax positions.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
27
22. CONTRIBUTED NONFINANCIAL ASSETS:
Donor Valuation Techniques
2022 2021 Utilization Restrictions and Inputs
Professional services:
Zoo property
and parking lot
$ 449,330 418,062
Exhibits and
grounds
No
associated
donor
restrictions
Based on current
market rates for
services
Golf course
property
375,640 349,500
Management
and general
No
associated
donor
restrictions
Based on current
market rates for
services
Animal care
and treatment
44,191 13,930
Program
No
associated
donor
restrictions
Based on current
market rates for
services
Other - 14,960
Management
and general
No
associated
donor
restrictions
Based on current
market rates for
services
869,161 796,452
Donated goods:
Special events
food and
beverage
139,499 93,264
Management
and general,
fundraising
No
associated
donor
restrictions
Based on current
market rates for
goods
Office supplies
and equipment
363 6,190
Management
and general
No
associated
donor
restrictions
Based on current
market rates for
goods
Special events
prizes and
supplies
11,081 21,023
Fundraising
No
associated
donor
restrictions
Based on current
market rates for
goods
Educational
supplies &
equipment
250 -
Program
No
associated
donor
restrictions
Based on current
market rates for
goods
151,193 120,477
$ 1,020,354 916,929
23. COMMITMENTS:
At December 31, 2022, the Association had outstanding commitments of approximately $1,909,400 to
purchase construction services and materials for projects under construction.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
28
24. RELATIONSHIP WITH THE WILDS:
The Association is the sole member of the International Center for the Preservation of Wild Animals, Inc.
(the Wilds). By being the sole member, the Association has the authority to elect the Board of Trustees of
the Wilds and therefore controls the Wilds. Accounting principles generally accepted in the United States of
America require consolidated financial statements when one organization has control of another
organization. The Association has elected not to consolidate its activities with the Wilds as of December 31,
2022 and December 25, 2021. If the financial statements were consolidated in 2022 and 2021, the net
assets on the statements of financial position would be increased by $25,772,655 and $23,792,588,
respectively, and the change in net assets in the statements of activities would be increased by $1,980,067
and $1,981,791 in 2022 and 2021, respectively. Included on the Association’s statements of financial
position at December 31, 2022 and December 25, 2021 are payables of $1,790,768 and receivables of
$14,939, respectively, to/from the Wilds. The intercompany account is used to transfer membership revenue
and contributions to the respective organization as well as expenses to the Wilds that are initially paid by the
Association such as payroll and insurance.
The Wilds is a not-for-profit organization founded in 1984 by professionals from the zoological community
and others concerned with the protection of rare and endangered wildlife and the wise use of land. The
primary goal of the Wilds is to establish a wild animal refuge and park for research and educational
purposes in which threatened animals may breed and prosper in a natural wildlife habitat.
The Association and the Wilds are currently operating under the terms of a service agreement that renews
automatically for one or more additional one-year terms, unless either party gives 60 day written notice of
intent to terminate or renegotiate the agreement. This agreement has the Association providing services to
the Wilds in the areas of education, animal health, finance and accounting, information technology, human
relations and benefit administration, purchasing, marketing and advertising, retail operation, food service
operation, development and fundraising and facility planning and design. The Association recorded
contribution expense and a reduction of payroll wages and benefits of $856,757 and $674,940 in 2022 and
2021, respectively for the services provided to the Wilds in these areas.
The Wilds has a line of credit that allows for a maximum borrowing of $2,000,000. The Association is a
guarantor of this line of credit. At December 31, 2022 and December 25, 2021, the outstanding balance
under this line of credit was $0. The Association has not been required to make any payments on this line
of credit and does not expect to be required to make any payments in the future.
The Association provided unrestricted support to the Association in the amount of $1,850,500 and $150,000
in 2022 and 2021, respectively.
25. RELATIONSHIP WITH ZOOMBEZI BAY, LLC:
Zoombezi Bay, LLC (the Company) is a for profit Ohio limited liability company with its sole member being
the Association. By being the sole member, the Association has the authority to elect the Board of
Directors of the Company and therefore controls the Company. Accounting principles generally accepted
in the United States of America require consolidated financial statements when one organization has
control of another organization. The Association has elected not to consolidate its activities with
Zoombezi Bay, LLC as of December 31, 2022 and December 25, 2021. If the financial statements were
consolidated in 2022 and 2021 the net assets on the statements of financial position would be increased
by $3,554,344 and $2,624,255 respectively, and the change in net assets in the statements of activities
would be increased by $930,089 and $2,009,637 in 2022 and 2021, respectively. Included on the
Association’s statements of financial position are payables of $891,889 and receivables of $151,578 at
December 31, 2022 and December 25, 2021, respectively, to/from Zoombezi Bay, LLC. The
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
29
intercompany account is used to transfer the transactions detailed below, as well as transferring expenses
to the Company that are initially paid by the Association such as inventory, payroll, credit card payments,
utilities and insurance.
Also included on the Association’s statements of financial position at December 31, 2022 and December
25, 2021 are other assets of $500 in both years, for equity investment in Zoombezi Bay, LLC.
There is a lease agreement between the Company and the Association for the land being utilized by the
Company. The lease calls for the Company to pay $300,000 per year for the utilization of the 23 acres the
water park encompasses.
On December 30, 2013, the Company entered into two loan agreements totaling $22,000,000. The
Association is guarantor for both of the loan agreements. The Association has not been required to make
any payments on these loans and does not expect to be required to make any payments in the future.
The outstanding balance on these loans was $13,200,000 at December 31, 2022 and $14,300,000 at
December 25, 2021. The loans will mature on June 30, 2029.
The Association and the Company also have several service agreements whereby the Association
provides services to the Company and the Company provides services to the Association. The
Association provides services to the Company in the areas of finance and accounting, information
technology, human relations and benefits administration, purchasing and warehousing, marketing and
advertising, maintenance and security. The amount the Association received for these services was
$1,475,000 and $1,460,000 in 2022, respectively. The Company, under two service agreements, provides
services to the Association in the areas of golf course management, retail operation, food service
operation, operation of the admissions complex and guest relations area, and rides operation. The
amount the Association paid for these services was $1,749,180 and $1,484,290 in 2022, respectively. As
part of the agreement for the Association providing services to the Company, there is an allocation of
admissions revenue and season pass sales. This allocation is based on the ability of the guests of the
Company having the right to visit the Columbus Zoo and Aquarium. The amount allocated to the
Association was $1,899,643 and $1,829,284 in 2022, respectively.
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
30
26. LIQUIDITY AND AVAILABILITY:
The Association monitors its liquidity so that it is able to meet its operating needs and other contractual
commitments while maximizing the investment of excess operating cash.
The Association has the following financial assets that could be made readily available within one year of
the date of the statement of financial position to fund general expenditures:
2022 2021
Financial assets:
Cash and cash equivalents $ 63,606,284 55,925,262
Accounts receivable 14,704,590 2,863,781
Promises to give 6,172,907 9,011,003
Investments and beneficial interest 38,153,971 39,660,857
122,637,752 107,460,903
Less those unavailable for general expenditure
within one year, due to:
Cash restricted by donor for purpose (3,716,755) (2,851,439)
Noncurrent promises to give (3,256,244) (5,122,645)
Noncurrent deferred revenue (2,010,204) (2,118,750)
Board designated endowments (33,938,836) (34,830,231)
Financial assets available to meet cash needs
for general expenditures within one year $ 79,715,713 62,537,838
Financial assets are considered unavailable when illiquid or not convertible to cash within one year or
because the governing board has set aside the funds for a specific contingency reserve or a long-term
investment as board designated endowments. The Association has a policy to structure its financial
assets to be available as its general expenditures, liabilities, and other obligations come due. The
Association also has a secured $15,000,000 line of credit (Note 10), which it could draw upon in the event
of an anticipated liquidity need. In addition to financial assets available to meet general expenditures over
the year, the Association operates with a balanced budget and anticipates covering its general
expenditures by collecting sufficient memberships, admissions, and other revenues, by utilizing donor
restricted resources from current and prior years gifts and by appropriating the investment return on its
board designated endowments, as needed. The statement of cash flows identifies the sources and uses
of the Association’s cash and shows a positive cash balance generated by operations of $15,018,511 and
$47,959,115 for years ending December 31, 2022 and December 25, 2021, respectively.
27. GENERAL LITIGATION:
The Association is periodically involved in disputes and claims that arise in the ordinary course of
business and in connection with its ongoing activities. In accordance with accounting principles generally
accepted in the United States of America, any gain or loss contingency will only be recorded if the
outcome is probable, and the amounts can be reasonably estimated. At the present time, the outcome of
such claims/disputes is not subject to accurate determination, and they are not considered to be material
to the financial statements taken as a whole.
In March 2021, the Association’s Chief Executive Officer (CEO) and Chief Financial Officer (CFO)
resigned based on allegations of personal use of Association assets. The Association’s Board of
Directors hired Porter Wright Morris & Arthur LLP to investigate the allegations. A forensic audit was
completed during 2021 by Plante Moran which included investigations into the CEO and CFO, as well as
Columbus Zoological Park Association
Notes to the Financial Statements
December 31, 2022 and December 25, 2021
31
the former Director of Purchasing and former Vice President of Marketing. Settlement agreements,
totaling $583,000, were finalized with all four individuals in 2022.
28. SUBSEQUENT EVENT:
On February 1, 2023, the Association entered into a ten (10) year Concessionaire Agreement with SSA
Group, LLC (SSA), a Colorado limited liability company. During the contract term, SSA will provide food
service, catering and retail merchandising services. The Association, in exchange, will earn a commission
based on gross receipts for each of the services.
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