Arcata Economic Development Corporation

Nonprofit profile at a glance

EIN
942674882
IRS 990 coverage
2011–2025
Forms available
Form 990 2025
Location
Eureka, CA, USA
Phone
7077986132
Rating
80
Verdict
STRONG
Rating confidence
Moderate
Sector
Public, Societal Benefit

Official website

Reported finances

Revenue
$12,662,844
Expenses
$11,861,448
Assets
$16,942,589
Liabilities
$9,100,029

Source: IRS Form 990. Selected filing: tax year 2025. Amounts in USD.

Leadership & pay

11 people listed

Executive titles in this filing

  • ROSS WELCH (EXECUTIVE DIRECTOR)

Highest reported compensation

  • ROSS WELCH (EXECUTIVE DIRECTOR): $138,062 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2025. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

To promote economic development in the north coast region of California by providing business lending and technical assistance services, community economic development assistance, and microloan business assistance & training.

What it reported doing in 2025

Aedc provides loans for small businesses located throughout northern California. Aedc made 11 new loans during the fiscal year. At year end, aedc had 82 small business loans in its portfolio. Additionally, aedc administered small business loans for local governmental agencies and provided technical assistance and training to small businesses throughout northern California.

Operating model

Revenue model
Grant-funded. 90% of the money available for current operations came from government grants.
Distribution model
Grant intermediary. The nonprofit sent 85% of its reported program spending out as grants.

The verdict

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. The filing does not identify recipients for some grant dollars and expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 85
  • Transparency & Controls: 66
  • Accountability: 95
  • Sustainability: 47
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 92.9%; rating input score 93
  • Program expense ratio: 99.1%; rating input score 99
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 92.9%; rating input score 93; 13th percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: 5.3%; rating input score 5; 11th percentile among comparable filings
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 64th percentile among comparable filings
  • Governance controls: 7 of 8 controls in place; rating input score 88
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 6.3%; rating input score 48; 48th percentile among comparable filings
  • Total-asset coverage ratio: 1.43; rating input score 40; 40th percentile among comparable filings
  • Liabilities to assets ratio: 0.54; rating input score 23; 23rd percentile among comparable filings
  • Officer compensation ratio: 1.2%; rating input score 85; 85th percentile among comparable filings

Growth

  • Program expense growth: 25.2% per year; rating input score 100; 91st percentile among comparable filings
  • Revenue growth: 19.8% per year; rating input score 100; 92nd percentile among comparable filings
  • Asset growth: 9.4% per year; rating input score 100; 64th percentile among comparable filings

Details

  • Where the money goes: 92.9% of revenue deployed · 99.1% of spending went to programs
  • Governance: 10 of 10 board members independent · 7 of 8 filing controls reported
  • Programs: 2 filed program accomplishments · $11.8M in reported program spending
  • Leadership: top reported pay $138K · 11 people listed
  • Consistency: 32 of 33 current checks pass · 1 finding to review
  • Schedules: 5 filed schedules · includes major donors and grants
  • Filing history: 14 filing years from 2011 to 2025
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • Related organizations: Filed and resolved organization relationships.
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • High — Transparency & Controls: Grant itemization coverage scored 5/100.
  • Moderate — Sustainability: Operating margin scored 48/100.
  • Review — Accountability: Governance controls: Form 990 shared with the board not reported.
  • Moderate — Sustainability: Total-asset coverage ratio scored 40/100.
  • Review — Transparency & Controls: Domestic grant itemization did not reconcile in the filed values.
  • High — Sustainability: Liabilities to assets ratio scored 23/100.