Home Builders Association of Western Michigan
Nonprofit profile at a glance
- EIN
- 381328661
- IRS 990 coverage
- 2009–2024
- Forms available
- Form 990 2024
- Location
- Kalamazoo, MI, USA
- Phone
- 2693754225
- Rating
- 73
- Verdict
- SUPPORTED
- Rating confidence
- Moderate
Reported finances
- Revenue
- $717,004
- Expenses
- $616,430
- Assets
- $737,102
- Liabilities
- $315,710
Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.
Leadership & pay
12 people listed
Executive titles in this filing
- AARON HOVESTADT (CEO)
- SERA GESMUNDO (PRESIDENT)
Highest reported compensation
- AARON HOVESTADT (CEO): $103,000 total reported compensation
Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.
Overview
Mission
The home builders association of western Michigan exists so that members of the residential construction industry can conduct their business ethically and efficiently to provide our communities with safe, quality, affordable housing, and to promote home ownership. Form 990 - organization's mission or most significant activities the home builders association of western Michigan's mission is to support the members of the association and represent the residential construction and remodeling industry in our territory (counties of kalamazoo, calhoun, van buren, branch, st. Joseph, barry and the eastern half of allegan). The association promotes quality and professionalism in residential new construction and remodeling. We connect the community with member businesses they can trust as hba members must be appropriately licensed and insured and voluntarily do business following the associations strict code of ethics. We advocate on behalf of our members and homeowners by advocating for policie
What it reported doing in 2024
Member development and support is key to helping member organizations grow and improve construction and remodeling practices for homeowners throughout western Michigan. Educational offerings, including the required Michigan 60-hour license prep course and continuing education important to ensure hba members are ahead of the curve on important safety, design, sustainability, regulatory, legislative and construction issues impacting homeownership. For example, guide families when designing for loved ones to 'age in place', or the latest energy efficient sustainable building practices. Beyond member education, the hba collaborates with other entities for new attainable home construction in areas where new construction is otherwise economically impossible. The hba provides resources for licensing minority contractors in underserved neighborhoods. The hba also supports opportunities for member-to-member mentoring, scholarships, workforce development and more.
Operating model
- Revenue model
- Earned-program. 87% of the money available for current operations came from fees and other program revenue.
- Distribution model
- Hybrid. The nonprofit split its reported program spending across 72% for direct work, and 28% for affiliated organizations.
The verdict
SUPPORTED - The filed numbers largely add up and most voting board members are independent. Fundraising costs are high for each dollar raised and revenue has declined or grown slowly.
Rating breakdown
- Financial Efficiency: 58
- Transparency & Controls: 90
- Accountability: 90
- Sustainability: 51
- Growth: 40
Detailed rating inputs
Financial Efficiency
- Mission deployment rate: 61.4%; rating input score 61
- Program expense ratio: 72.5%; rating input score 73
- Fundraising efficiency: $0 raised per $1 spent on fundraising; rating input score 1; 1st percentile among comparable filings
Transparency & Controls
- Consistency checks: 100%; rating input score 100; 63rd percentile among comparable filings
- Pay-setting controls: Limited
- 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; 63rd percentile among comparable filings
- Governance controls: 6 of 8 controls in place; rating input score 75
- 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: Pass
- Board meeting minutes documented: Pass
- Audit committee oversight: Missing
- Independent financial-statement audit: Fail
Sustainability
- Operating margin: 14%; rating input score 68; 68th percentile among comparable filings
- Total-asset coverage ratio: 1.2; rating input score 48; 48th percentile among comparable filings
- Liabilities to assets ratio: 0.43; rating input score 18; 18th percentile among comparable filings
- Officer compensation ratio: 16.7%; rating input score 20; 20th percentile among comparable filings
Growth
- Program expense growth: 8.2% per year; rating input score 100; 56th percentile among comparable filings
- Revenue growth: -10.8% per year; rating input score 0; 3rd percentile among comparable filings
- Asset growth: -2.1% per year; rating input score 0; 12th percentile among comparable filings
Details
- Where the money goes: 61.4% of revenue deployed · 72.5% of spending went to programs
- Governance: 11 of 11 board members independent · 6 of 8 filing controls reported
- Programs: 3 filed program accomplishments · $447K in reported program spending
- Leadership: top reported pay $103K · 12 people listed
- Consistency: 31 of 31 current checks pass
- Schedules: 3 filed schedules
- Filing history: 14 filing years from 2009 to 2024
- Contacts: How to reach this organization
- Money network: 1 filed money-flow record
- 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 — Financial Efficiency: Fundraising efficiency scored 1/100.
- High — Growth: Revenue growth scored 0/100.
- Review — Accountability: Governance controls: Independent financial-statement audit not reported.
- High — Growth: Asset growth scored 0/100.
- Moderate — Sustainability: Total-asset coverage ratio scored 48/100.
- High — Sustainability: Liabilities to assets ratio scored 18/100.
- High — Sustainability: Officer compensation ratio scored 20/100.