Published in the May 10, 2017 edition
By DAN TOMASELLO
LYNNFIELD — While the Attorney General’s office is continuing its probe of Lynnfield Youth Football and Cheerleading, Inc.’s finances, the Villager has decided to take a closer look at the non-profit organization’s tax returns.
According to a copy of civil investigative demands filed in Suffolk Superior Court on July 8, 2016, Attorney General Maura Healey’s office is currently reviewing information “in order to determine whether charitable funds have been applied to charitable purposes and if breaches of trust have been committed in the administration of Lynnfield Youth Football and Cheerleading, Inc., a public charity.”
After receiving a copy of a written complaint, the Attorney General’s office launched an investigation into LYFC Commissioner Wayne Shaffer, former Selectman and LYFC Commissioner Tom Terranova, and former LYFC Board of Directors member Steve Berardino.
WBZ-TV “I-Team” Reporter Ryan Kath aired a segment on the investigation last month, coming nearly two years after the Villager ran a story about parental discontent about the program on April 22, 2015.
According to 990-EZ tax forms obtained by the Villager, LYFC earned $97,337 in revenue in 2012 and made a $13,195 profit. The tax returns from 2013 revealed LYFC’s revenue plummeted significantly to $52,382 and the program lost $26,878. The tax returns from 2014 indicated the program earned $105,816 in revenue and made a $25,351 profit.
The Villager obtained additional copies of tax returns from 2007-2011.
According to the 2007 990-EZ form, Lynnfield Youth Football and Cheerleading earned $90,788 in revenue, spent $46,202 and had a $66,451 balance at the end of the year. LYFC had $21,865 in “cash, savings and investments” at the beginning of the year, and $55,930 at the end of the year. The organization spent $10,791 on football equipment.
The tax return listed Terranova as LYFC’s president, treasurer and clerk. Berardino was listed as LYFC’s vice president and director. Ledge Road resident Mark Panzini and North Hill Drive resident Domenic DeVito were listed as directors on the tax form.
The 990-EZ form from 2008 revealed Lynnfield Youth Football and Cheerleading earned slightly more in revenue, totaling $98,878. The non-profit organization spent $72,874, including $10,791 on football equipment. Additionally, LYFC had $55,930 at the beginning of 2008 and ended the year with $84,092. LYFC had the same board of directors as 2007.
According to a 990-EZ form from 2009, Lynnfield Youth Football and Cheerleading’s revenue dipped to $98,062. The non-profit spent $102,367 and ended the year with a $4,305 deficit. Unlike the 2007 and 2008 tax forms, there was no line item on football or cheerleading equipment purchases. The tax form listed Terranova as president, treasurer, clerk and director of LYFC. Berardino was listed as vice president and director.
The non-profit organization’s 990-EZ form from 2010 revealed Lynnfield Youth Football and Cheerleading’s revenue plummeted from $98,062 in 2009 to $88,216. The organization spent $103,059 on expenses and lost $14,843. The tax returns revealed LYFC spent $16,903 on football equipment and $7,859 on cheerleading equipment, equaling $24,762.
According to a 990-EZ form from 2011, Lynnfield Youth Football and Cheerleading continued its downward revenue trend, as the non-profit organization earned $82,058 in revenue. The tax return indicated the program spent $75,671 on expenses and was left with a $6,387 balance. Similar to the two previous years, Terranova was listed as president, treasurer, clerk and director. Berardino was listed as vice president and director.
The tax returns from 2007-2011 were each prepared by Terranova’s accounting firm, Terranova and Associates. The tax forms do not include line items detailing the program’s various expenses.
Attorney General Deputy Press Secretary Emily Snyder said in an email to the Villager last month, “we cannot confirm or deny investigations.” The AG’s office has yet to issue any findings on the allegations.