Rocky Marshall, former director, and candidate for the board next year, created this chart of the “excess benefits” shown on NRA’s IRS Form 990. “Excess benefits” is a tax term for nonprofits, meaning the executive either (1) received an unreasonably high salary, or (2) misappropriated the nonprofit’s funds for his own benefit. No one is claiming (1), so the excess benefits being reported are all (2), misappropriation of NRA’s money.
Two million dollars, over four years, impressive! N.B., these are mostly minimalist figures, things that the NRA accountants found totally impossible to justify. For example, that’s not the total cost of leased jets, which is over a million a year, but only the cost of jets leased by NRA to ferry LaPierre’s family around when Mr. LaPierre wasn’t on the flight and it’s impossible to claim that the flights were necessary for his security. (The exceptions to this minimization would be Powell, Cox and Lehman, who were forced out, so in their cases the numbers are probably inflated to the max.).
“Excess benefits” become taxable income to the recipient (who also must pay a surtax on it). This $2 million (averaging half a million a year) misappropriation of members’ money represents only what NRA leadership couldn’t justify in its wildest dreams, and had to publicly admit. It doesn’t go back before 2019, because that was the first year NRA admitted excess benefits on its Form 990. The real number must be astronomical, we think we remember that the NY Attorney General somewhere said their estimate was over $100 million of members’ funds misappropriated.
NRA in Danger 
Excellent point on the line for what was disclosed being so egregious that there is no absolutely excuse. Proper internal controls would eliminate those expenses up front or make sure they were accounted for and taxed properly when they happened. And of course, a properly functioning audit committee would ensure that the scope of audit made sure that the internal controls were in place and being followed.
I’m looking forward to the trial that starts next week.
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Leasing private jets is an arrogant badge of this nation’s wealthy ruling class. LaPierre has placed himself in that arrogant class. LaPierre’s arrogant, greedy, and wasteful move has nothing to do with security. Senator Marco Rubio travels first class on a commercial airline from Reagan Airport. Rubio even traveled that way when he ran for U.S. President in 2016. The late General Colin Powell served as Chairman of Joint Chiefs of Staff and served as Secretary of State. Nonetheless, General Powell was observed traveling from Reagan Airport first class on a commercial airline. LaPierre inexcusably thinks he is more important and faces more risk than the likes of General Powell and Senator Rubio. The incompetent and wasteful NRA board allowed such expensive and needless travel.
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The excess benefits attributed to Cox and Lehman are almost certainly inflated to both punish/smear Cox and Lehman, and to make those of LaPierre look less egregious.
2019 was when the new Treasurer took over and tried to make sure i’s were dotted and t’s crossed. It’s also telling that LaPierre received a $500,000 “bonus” in 2019. To offset his cost in having to repay the $374k? He received about $2.2 million that year.
In 1997 LaPierre’s compensation was around $250k. Once Dad was out as First Vice President and off the Executive Compensation Committee, LaPierre’s compensation jumped to $400k, then a couple of years later, jumped again to over $600k, and a couple of years after that, up to over $800k. All while pay for NRA staffers remained well below average for comparable DC jobs.
Also important to keep in mind that LaPierre had an unlimited credit card in his wallet from Ackerman McQueen that he could use as he wished, without any controls or detailed invoicing. Ack-Mac would simply send NRA a bill for “expenses,” and NRA would pay it on the basis of “Wayne said so.”
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