Magic Johnson Foundation Inc

Nonprofit profile at a glance

EIN
954349860
IRS 990 coverage
2010–2019
Forms available
Form 990 2019
Location
Beverly Hills, CA, USA
Phone
3102464400
Rating
85
Verdict
STRONG
Rating confidence
Moderate
Sector
Support N.E.C.

Reported finances

Revenue
$168,177
Expenses
$523,741
Assets
$0
Liabilities
$0

Source: IRS Form 990. Selected filing: tax year 2019. Amounts in USD.

Leadership & pay

9 people listed

Executive titles in this filing

  • SHANE JENKINS (VICE PRESIDENT)

People named in this filing

  • KAWANNA BROWN (BOARD MEMBER)
  • ALESCIA BUFORD (BOARD MEMBER)
  • KEVIN MONROE (BOARD MEMBER)

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 2019. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

To develop programs and support community-based organizations that address the educational, health and social needs of ethnically diverse, urban communities.

What it reported doing in 2019

Community empowerment centers (cecs): established in 2001 magic johnson foundation community empowerment centers (cecs) are the brick and mortar aspect of programming for mjf. Originally created as a solution to bridging the digital divide cecs now function as comprehensive one stop service centers that address the educational and empowerment needs of the entire family. In addition to technology hardware and software, cecs also provide access to programs that include literacy (reading, financial & health), entrepreneurship, workforce development and mentoring. Mjf currently has 11 fully equipped state of the art technology centers (8 in urban markets and 3 in the rural communities of South Carolina. Our cecs are moving from the dependencies of place-based program and are leveraging web based programs and content to meet people where they are. Mjf is committed to harnessing the power of technology to educate and empower. To date we have served over 250,000 unduplicated users and awarded over $6 million dollars in hardware and software to community-based organizations.

Operating model

Revenue model
Donor-supported. 100% of the money available for current operations came from contributions and gifts.
Distribution model
Grant intermediary. The nonprofit sent 93% of its reported program spending out as grants.

The verdict

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. Expenses are high relative to revenue and program spending has declined or grown slowly.

Rating breakdown

  • Financial Efficiency: 96
  • Transparency & Controls: 94
  • Accountability: 88
  • Sustainability: 9
  • Growth: 0

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 100%; rating input score 100
  • Program expense ratio: 90.1%; rating input score 90
  • Fundraising efficiency: $789.44 raised per $1 spent on fundraising; rating input score 98; 98th 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: 100%; rating input score 100; 79th percentile among comparable filings
  • 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: 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: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: -211.4%; rating input score 1; 1st percentile among comparable filings
  • Total-asset coverage ratio: 0; rating input score 1; 1st percentile among comparable filings
  • Liabilities to assets ratio: Limited
  • Officer compensation ratio: 0%; rating input score 71; 71st percentile among comparable filings

Growth

  • Program expense growth: -23% per year; rating input score 0; 6th percentile among comparable filings
  • Revenue growth: -22.6% per year; rating input score 0; 3rd percentile among comparable filings
  • Asset growth: -24.6% per year; rating input score 0; 3rd percentile among comparable filings

Details

  • Where the money goes: 100% of revenue deployed · 90.1% of spending went to programs
  • Governance: 8 of 8 board members independent · 5 of 7 filing controls reported
  • Programs: 4 filed program accomplishments · $472K in reported program spending
  • Leadership: top reported pay $0 · 9 people listed
  • Consistency: 23 of 24 current checks pass · 1 finding to review
  • Schedules: 6 filed schedules · includes major donors and grants
  • Filing history: 10 filing years from 2010 to 2019
  • Contacts: How to reach this organization
  • Money network: 13 filed money-flow records
  • Related organizations: 13 filed related-organization links
  • 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.

  • High — Sustainability: Operating margin scored 1/100.
  • High — Growth: Program expense growth scored 0/100.
  • High — Growth: Revenue growth scored 0/100.
  • High — Sustainability: Total-asset coverage ratio scored 1/100.
  • Review — Accountability: Governance controls: Independent financial-statement audit not reported.
  • High — Growth: Asset growth scored 0/100.
  • Moderate — Transparency & Controls: Schedule D land buildings reconciliation did not reconcile in the filed values.
  • High — Grant Readiness: California registration: this organization is recorded as not currently operating in California.