Madison Academy

Nonprofit profile at a glance

EIN
620521202
IRS 990 coverage
2009–2016
Forms available
Form 990 2016
Location
Madison, TN, USA
Rating
75
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Secondary, High School
Affiliation
Christianity

Official website

Reported finances

Revenue
$2,273,834
Expenses
$2,445,458
Assets
$1,610,901
Liabilities
$776,396

Source: IRS Form 990. Selected filing: tax year 2016. Amounts in USD.

Leadership & pay

16 people listed

Highest reported compensation

  • KRISTINE FUENTES (PRINCIPAL): $59,625 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2016. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Madison academy (the organization) is operated by the ky-tn conference of seventh-day adventist to provide a christian education to secondary level students within the territory.

Operating model

Revenue model
Mixed. Its operating money came from several sources; no one source provided a clear majority.
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 expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 69
  • Transparency & Controls: 92
  • Accountability: 82
  • Sustainability: 27
  • Growth: 40

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 79.9%; rating input score 80
  • Program expense ratio: 74.3%; rating input score 74
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 62nd 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; 64th percentile among comparable filings
  • Governance controls: 4 of 8 controls in place; rating input score 57
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Limited
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: -7.5%; rating input score 14; 14th percentile among comparable filings
  • Total-asset coverage ratio: 0.66; rating input score 31; 31st percentile among comparable filings
  • Liabilities to assets ratio: 0.48; rating input score 27; 27th percentile among comparable filings
  • Officer compensation ratio: 2.4%; rating input score 72; 72nd percentile among comparable filings

Growth

  • Program expense growth: 16.2% per year; rating input score 100; 82nd percentile among comparable filings
  • Revenue growth: -11.5% per year; rating input score 0; 4th percentile among comparable filings
  • Asset growth: -8.1% per year; rating input score 0; 7th percentile among comparable filings

Details

  • Where the money goes: 79.9% of revenue deployed · 74.3% of spending went to programs
  • Governance: 11 of 11 board members independent · 4 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $1.8M in reported program spending
  • Leadership: top reported pay $60K · 16 people listed
  • Consistency: 14 of 14 current checks pass
  • Schedules: 5 filed schedules · includes major donors
  • Filing history: 7 filing years from 2009 to 2016
  • 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 6 not reported.
  • High — Sustainability: Operating margin scored 14/100.
  • High — Growth: Revenue growth scored 0/100.
  • Moderate — Sustainability: Total-asset coverage ratio scored 31/100.
  • High — Growth: Asset growth scored 0/100.
  • High — Sustainability: Liabilities to assets ratio scored 27/100.