Life Challenge of Southeastern Michigan

Nonprofit profile at a glance

EIN
381797940
IRS 990 coverage
2010–2024
Forms available
Form 990 2024
Location
Detroit, MI, USA
Phone
3135310111
Rating
80
Verdict
STRONG
Rating confidence
Moderate
Sector
Children's, Youth Services
Affiliation
Christianity

Reported finances

Revenue
$1,707,479
Expenses
$1,531,853
Assets
$1,718,144
Liabilities
$9,239

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

Leadership & pay

8 people listed

Executive titles in this filing

  • REVEREND CALIXTO GARCIA (PRESIDENT)

Highest reported compensation

  • REVEREND JEFFREY T BONZELAAR (EXECUTIVE DI): $134,920 total reported compensation

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

Overview

Mission

Life challenge of southeastern Michigan provides up to a one year residential christian growth program for men and women with life controlling problems.

What it reported doing in 2024

Life challenge ministers to persons seeking freedom from life controlling problems and other destructive behaviors. During 2024, we continued to offer our 90 day and year-long residential programs for men. Participants receive education and ged preparation if applicable, as well as bible study for application to daily living. Other program activities and work projects serve to foster discipline and achievement. Follow-up is provided to encourage and support program graduates in their recovery and acceptance into society. Participants who have often been circumvented by traditional religion are presented with the opportunity to find new faith in jesus christ. Life challenge applied for certification by the commission on accreditation of rehabilitation facilities (carf), and we received our certification in early 2025. Carf is an international, independent, non-profit accreditor of health and human services. Carf's mission is to promote quality and value of services toward the enhancing of human lives and optimal outcomes. To be carf certified is the gold standard in mental health services. With over two thousand compliance mandates (client care, staff training, financial excellence, leadership integrity, facilities management, etc.) we received the hallmark honor, the three year certificate.

Operating model

Revenue model
Donor-supported. 81% of the money available for current operations came from contributions and gifts.
Distribution model
Direct operator. The filing allocates 99% 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.
  • Includes noncash contributions: Reported contributions include donated property or goods.

The verdict

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. Some filing-based governance responses are negative or unanswered and total assets are small relative to annual expenses; liquid coverage is unknown.

Rating breakdown

  • Financial Efficiency: 76
  • Transparency & Controls: 87
  • Accountability: 81
  • Sustainability: 56
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 75.1%; rating input score 75
  • Program expense ratio: 78.4%; rating input score 78
  • Fundraising efficiency: $33.77 raised per $1 spent on fundraising; rating input score 71; 71st percentile among comparable filings

Transparency & Controls

  • Consistency checks: 93.8%; rating input score 94; 24th 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: 87.5%; rating input score 88; 21st percentile among comparable filings
  • Governance controls: 5 of 7 controls in place; rating input score 71
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • 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: Fail
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: 10.3%; rating input score 62; 62nd percentile among comparable filings
  • Total-asset coverage ratio: 1.12; rating input score 46; 46th percentile among comparable filings
  • Liabilities to assets ratio: 0.01; rating input score 73; 73rd percentile among comparable filings
  • Officer compensation ratio: 8.8%; rating input score 41; 41st percentile among comparable filings

Growth

  • Program expense growth: 2.7% per year; rating input score 100; 30th percentile among comparable filings
  • Revenue growth: 2.2% per year; rating input score 100; 26th percentile among comparable filings
  • Asset growth: 5.6% per year; rating input score 100; 42nd percentile among comparable filings

Details

  • Where the money goes: 75.1% of revenue deployed · 78.4% of spending went to programs
  • Governance: 7 of 8 board members independent · 5 of 7 filing controls reported
  • Programs: 2 filed program accomplishments · $1.2M in reported program spending
  • Leadership: top reported pay $135K · 8 people listed
  • Consistency: 34 of 34 current checks pass
  • Schedules: 7 filed schedules · includes major donors
  • Filing history: 14 filing years from 2010 to 2024
  • 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.

  • Review — Accountability: Governance controls: 2 of 7 not reported.
  • Moderate — Sustainability: Total-asset coverage ratio scored 46/100.
  • Moderate — Sustainability: Officer compensation ratio scored 41/100.