Optimum Childrens Services

Nonprofit profile at a glance

EIN
200265527
IRS 990 coverage
2010–2018
Forms available
Form 990 2018, Form 990-EZ 2014, Form 990-N 2015
Location
Red Oak, TX, USA
Phone
9726179500
Rating
77
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Children's, Youth Services

Reported finances

Revenue
$503,403
Expenses
$539,887
Assets
$170,373
Liabilities
$28,604

Source: IRS Form 990. Selected filing: tax year 2018. Amounts in USD.

Leadership & pay

3 people listed

Executive titles in this filing

  • CYNTHIA PATE (EXECUTIVE DIRECTOR)

Highest reported compensation

  • CYNTHIA PATE (EXECUTIVE DIRECTOR): $7,600 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2018. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Treatment Foster Care and Adoption

What it reported doing in 2018

Foster Care - place children in approved foster homes. Provide basic and therapeutic foster care to enhance a child's well-being in a family setting

Operating model

Revenue model
Earned-program. 100% of the money available for current operations came from fees and other program revenue.
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 expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 84
  • Transparency & Controls: 90
  • Accountability: 50
  • Sustainability: 26
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 97.4%; rating input score 97
  • Program expense ratio: 90.8%; rating input score 91
  • 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: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 66.7%; rating input score 67; 12th percentile among comparable filings
  • Governance controls: 2 of 8 controls in place; rating input score 25
    • Conflict-of-interest policy: Fail
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: Fail
    • 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: -7.2%; rating input score 19; 19th percentile among comparable filings
  • Total-asset coverage ratio: 0.32; rating input score 17; 17th percentile among comparable filings
  • Liabilities to assets ratio: 0.17; rating input score 39; 39th percentile among comparable filings
  • Officer compensation ratio: 1.4%; rating input score 64; 64th percentile among comparable filings

Growth

  • Program expense growth: 21.9% per year; rating input score 100; 87th percentile among comparable filings
  • Revenue growth: 10.1% per year; rating input score 100; 73rd percentile among comparable filings
  • Asset growth: 12.7% per year; rating input score 100; 73rd percentile among comparable filings

Details

  • Where the money goes: 97.4% of revenue deployed · 90.8% of spending went to programs
  • Governance: 2 of 3 board members independent · 2 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $490K in reported program spending
  • Leadership: top reported pay $8K · 3 people listed
  • Consistency: 18 of 18 current checks pass
  • Schedules: 4 filed schedules
  • Filing history: 6 filing years from 2010 to 2018
  • Contacts: How to reach this organization
  • Money network: 3 filed money-flow records
  • 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 — Accountability: Governance controls: 6 of 8 not reported.
  • High — Sustainability: Operating margin scored 19/100.
  • High — Sustainability: Total-asset coverage ratio scored 17/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 39/100.
  • High — Grant Readiness: Automatic revocation: this organization had its federal tax-exempt status automatically revoked.