Northern Lakes Arts Association

Nonprofit profile at a glance

EIN
363485240
IRS 990 coverage
2024–2024
Forms available
Form 990 2024, Form 990-EZ 2023
Location
Ely, MN, USA
Phone
2182359937
Rating
78
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Performing Arts Organizations

Official website

Reported finances

Revenue
$352,625
Expenses
$362,433
Assets
$139,446
Liabilities
$69,999

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

Leadership & pay

9 people listed

Highest reported compensation

  • Ian Lah (Managing, Artistic Director): $41,000 total reported compensation
  • Molly Olson (Reflections Dance Director): $4,550 total reported compensation
  • Carly Wogen (Board member, Stage technician): $3,250 total reported compensation

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

Overview

Mission

Promotion of the Arts

What it reported doing in 2024

Theater Productions: Several plays and musicals are staged in Ely throughout the year. Dozens of individuals, comprising actors, directors, musicians, designers, and technicians, mostly from the local community, collaborate to put on these events. Hundreds of attendees enjoy the performances.

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 - 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 fundraising costs are high for each dollar raised.

Rating breakdown

  • Financial Efficiency: 85
  • Transparency & Controls: 82
  • Accountability: 74
  • Sustainability: 26
  • Growth: 60

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 91.5%; rating input score 91
  • Program expense ratio: 89%; rating input score 89
  • Fundraising efficiency: $12.64 raised per $1 spent on fundraising; rating input score 46; 46th percentile among comparable filings

Transparency & Controls

  • Consistency checks: 90.9%; rating input score 91; 13th 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: 3 of 9 controls in place; rating input score 38
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: Limited
    • Other executive compensation review process: Fail
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: -2.8%; rating input score 33; 33rd percentile among comparable filings
  • Total-asset coverage ratio: 0.38; rating input score 20; 20th percentile among comparable filings
  • Liabilities to assets ratio: 0.5; rating input score 11; 11th percentile among comparable filings
  • Officer compensation ratio: 14.4%; rating input score 25; 25th percentile among comparable filings

Growth

  • Program expense growth: Limited
  • Revenue growth: 12.6% per year; rating input score 100; 78th percentile among comparable filings
  • Asset growth: 13.9% per year; rating input score 100; 75th percentile among comparable filings

Details

  • Where the money goes: 91.5% of revenue deployed · 89% of spending went to programs
  • Governance: 8 of 8 board members independent · 3 of 9 filing controls reported
  • Programs: 4 filed program accomplishments · $322K in reported program spending
  • Leadership: top reported pay $41K · 9 people listed
  • Consistency: 40 of 41 current checks pass · 1 finding to review
  • Schedules: 4 filed schedules
  • Contacts: How to reach this organization
  • Money network: 7 filed money-flow records
  • 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.

  • Moderate — Accountability: Governance controls: 4 of 7 not reported.
  • Moderate — Financial Efficiency: Fundraising efficiency scored 46/100.
  • Moderate — Sustainability: Operating margin scored 33/100.
  • High — Sustainability: Total-asset coverage ratio scored 20/100.
  • Moderate — Transparency & Controls: Schedule A contributions reconciliation did not reconcile in the filed values.
  • High — Sustainability: Liabilities to assets ratio scored 11/100.
  • High — Sustainability: Officer compensation ratio scored 25/100.