Birch Tree Communities Inc

Nonprofit profile at a glance

EIN
710680117
IRS 990 coverage
2009–2024
Forms available
Form 990 2024
Location
Benton, AR, USA
Phone
5013153344
Rating
79
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Residential Mental Health Treatment

Reported finances

Revenue
$46,825,684
Expenses
$36,407,362
Assets
$74,519,091
Liabilities
$2,660,007

Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.

Leadership & pay

19 people listed

Executive titles in this filing

  • DRBRAD HOLLOWAY (CEO)

Highest reported compensation

  • DRBRAD HOLLOWAY (CEO): $475,710 total reported compensation
  • RHONDA HILL (DIRECTOR OF NURSING): $201,540 total reported compensation
  • BLAKE SMITH (CFO): $160,218 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Provide services for mentally disabled individuals.

What it reported doing in 2024

Treatment and residential expenses for mentally disabled individuals living in supervised small groups.

Operating model

Revenue model
Earned-program. 96% of the money available for current operations came from fees and other program revenue.
Distribution model
Direct operator. The filing allocates 100% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

SUPPORTED - The filed numbers largely add up and a large share of available resources goes toward mission work. Some filing-based governance responses are negative or unanswered and reported officer compensation is a large share of total spending, which may reflect staffing concentration.

Rating breakdown

  • Financial Efficiency: 63
  • Transparency & Controls: 88
  • Accountability: 95
  • Sustainability: 74
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 62.6%; rating input score 63
  • Program expense ratio: 82.9%; rating input score 83
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
  • Pay-setting controls: 5 of 6 controls in place; rating input score 83
    • Compensation committee: Pass
    • Independent consultant: Missing
    • Other Form 990s reviewed: Pass
    • Written employment contract: Pass
    • Compensation survey or study: Pass
    • Board or committee approval: Pass
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 66th percentile among comparable filings
  • Governance controls: 8 of 9 controls in place; rating input score 89
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: Pass
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Fail
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 22.2%; rating input score 84; 84th percentile among comparable filings
  • Total-asset coverage ratio: 2.05; rating input score 62; 62nd percentile among comparable filings
  • Liabilities to assets ratio: 0.04; rating input score 86; 86th percentile among comparable filings
  • Officer compensation ratio: 4.4%; rating input score 56; 56th percentile among comparable filings

Growth

  • Program expense growth: 4.2% per year; rating input score 100; 36th percentile among comparable filings
  • Revenue growth: 5.2% per year; rating input score 100; 45th percentile among comparable filings
  • Asset growth: 13% per year; rating input score 100; 76th percentile among comparable filings

Details

  • Where the money goes: 62.6% of revenue deployed · 82.9% of spending went to programs
  • Governance: 10 of 10 board members independent · 8 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $30.2M in reported program spending
  • Leadership: top reported pay $476K · 19 people listed · 5 of 6 pay-setting controls reported
  • Highest-paid contractors: 2 contractors listed · $640K reported
  • Consistency: 31 of 31 current checks pass
  • Schedules: 4 filed schedules · includes executive pay
  • Filing history: 15 filing years from 2009 to 2024
  • Contacts: How to reach this organization
  • Money network: 9 filed money-flow records
  • 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.
  • Staff and benefit plans: Retirement and health plans the organization files with the Department of Labor, and the people in them.

Key Signals

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

  • Review — Accountability: Governance controls: Audit committee oversight not reported.
  • Review — Sustainability: Officer compensation ratio scored 56/100.