People of the Second Chance

Nonprofit profile at a glance

EIN
274039128
IRS 990 coverage
2015–2018
Forms available
Form 990 2018
Location
Carlsbad, CA, USA
Rating
71
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Educational Services and Schools - Other
Affiliation
Christianity

Official website

Reported finances

Revenue
$492,818
Expenses
$316,907
Assets
$371,091
Liabilities
$36,444

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

Leadership & pay

3 people listed

People named in this filing

  • MIKE FOSTER (DIRECTOR)
  • BILL TOWNSEND (CHAIRMAN CFO)
  • KEVIN SMALL (SECRETARY)

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 2018. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

The organization is established to be operated for the purpose of presenting a biblical, christian ministry of the gospel, hope, encouragement, and strength to as many people as possible

What it reported doing in 2018

Production of various tools, curriculum and resources to inspire and equip individuals and organizations to engage in issues of grace, civility, failure, loss & second chance thru books, videos and website.

Operating model

Revenue model
Earned-program. 94% 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 - The filed numbers largely add up and most voting board members are independent. A relatively small share of available resources goes toward mission work and some filing-based governance responses are negative or unanswered.

Rating breakdown

  • Financial Efficiency: 56
  • Transparency & Controls: 100
  • Accountability: 70
  • Sustainability: 68
  • Growth: 20

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 39.6%; rating input score 40
  • Program expense ratio: 100%; rating input score 100
  • Fundraising efficiency: Limited

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: Limited
  • 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: 2 of 7 controls in place; rating input score 29
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: NotApplicable
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Fail
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: 35.7%; rating input score 89; 89th percentile among comparable filings
  • Total-asset coverage ratio: 1.17; rating input score 47; 47th percentile among comparable filings
  • Liabilities to assets ratio: 0.1; rating input score 32; 32nd percentile among comparable filings
  • Officer compensation ratio: 0%; rating input score 71; 71st percentile among comparable filings

Growth

  • Program expense growth: -19.8% per year; rating input score 0; 7th percentile among comparable filings
  • Revenue growth: -6.6% per year; rating input score 0; 13th percentile among comparable filings
  • Asset growth: 43.7% per year; rating input score 100; 96th percentile among comparable filings

Details

  • Where the money goes: 39.6% of revenue deployed · 100% of spending went to programs
  • Governance: 5 of 5 board members independent · 2 of 7 filing controls reported
  • Programs: 2 filed program accomplishments · $317K in reported program spending
  • Leadership: top reported pay $0 · 3 people listed
  • Consistency: 19 of 19 current checks pass
  • Schedules: 4 filed schedules · includes major donors
  • Filing history: 3 filing years from 2015 to 2018
  • Contacts: How to reach this organization
  • 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 — Financial Efficiency: Mission deployment rate scored 40/100.
  • High — Accountability: Governance controls: 5 of 7 not reported.
  • High — Growth: Program expense growth scored 0/100.
  • High — Growth: Revenue growth scored 0/100.
  • Moderate — Sustainability: Total-asset coverage ratio scored 47/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 32/100.