Kappa House Ii Inc

Nonprofit profile at a glance

EIN
205900728
IRS 990 coverage
2015–2020
Forms available
Form 990 2020
Location
Shaker Heights, OH, USA
Phone
2165619200
Rating
74
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Low-Income & Subsidized Rental Housing

Reported finances

Revenue
$372,737
Expenses
$408,700
Assets
$3,687,217
Liabilities
$4,486,905

Source: IRS Form 990. Selected filing: tax year 2020. Amounts in USD.

Leadership & pay

8 people listed

People named in this filing

  • JERMAINE BROOKS (Chairman)
  • THOMAS PIPKIN (Vice Chairman)
  • JOHNNIE THOMAS III (Secretary)

Selected names, not a complete roster or a statement of current roles. Open leadership details for the complete filed list.

Source: IRS Form 990. Selected filing: tax year 2020. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

The organization provides low income housing to eligible seniors in the cleveland area on a hud approved project. The building, which was constructed by the organization, has 36 units to serve eligible individuals

What it reported doing in 2020

Operation of a hud approved housing complex to providing low-income housing for the elderly.

Operating model

Revenue model
Grant-funded. 70% of the money available for current operations came from government grants.
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 program spending has declined or grown slowly.

Rating breakdown

  • Financial Efficiency: 65
  • Transparency & Controls: 92
  • Accountability: 82
  • Sustainability: 45
  • Growth: 40

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 75.6%; rating input score 76
  • Program expense ratio: 68.9%; rating input score 69
  • Fundraising efficiency: Limited

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: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 63rd percentile among comparable filings
  • Governance controls: 4 of 7 controls in place; rating input score 57
    • Conflict-of-interest policy: Fail
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: NotApplicable
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: -9.6%; rating input score 22; 22nd percentile among comparable filings
  • Total-asset coverage ratio: 9.02; rating input score 86; 86th percentile among comparable filings
  • Liabilities to assets ratio: 1.22; rating input score 4; 4th percentile among comparable filings
  • Officer compensation ratio: 0%; rating input score 72; 72nd percentile among comparable filings

Growth

  • Program expense growth: -2.5% per year; rating input score 0; 36th percentile among comparable filings
  • Revenue growth: 5.1% per year; rating input score 100; 64th percentile among comparable filings
  • Asset growth: -2.8% per year; rating input score 0; 18th percentile among comparable filings

Details

  • Where the money goes: 75.6% of revenue deployed · 68.9% of spending went to programs
  • Governance: 8 of 8 board members independent · 4 of 7 filing controls reported
  • Programs: 1 filed program accomplishment · $282K in reported program spending
  • Leadership: top reported pay $0 · 8 people listed
  • Consistency: 23 of 23 current checks pass
  • Schedules: 4 filed schedules · includes major donors
  • Filing history: 6 filing years from 2015 to 2020
  • Contacts: How to reach this organization
  • 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.

Grant-readiness screening is separate from the live rating, not a measure of program quality. Review the source records before making a grant decision.

  • Review — Accountability: Governance controls: 3 of 7 not reported.
  • High — Growth: Program expense growth scored 0/100.
  • High — Sustainability: Operating margin scored 22/100.
  • High — Growth: Asset growth scored 0/100.
  • High — Sustainability: Liabilities to assets ratio scored 4/100.
  • High — Grant Readiness: Federal audit findings: this organization reported findings in its latest federal Single Audit.