Pike Place Market Qb2

Nonprofit profile at a glance

EIN
272992712
IRS 990 coverage
2011–2017
Forms available
Form 990 2017
Location
Seattle, WA, USA
Phone
2067745256
Rating
79
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Human Services N.E.C.

Reported finances

Revenue
$6,424,240
Expenses
$7,590,828
Assets
$32,893,559
Liabilities
$34,298,681

Source: IRS Form 990. Selected filing: tax year 2017. Amounts in USD.

Leadership & pay

7 people listed

Executive titles in this filing

  • JACKSON SCHMIDT (PRESIDENT)
  • JIM SAVITT (VICE PRESIDENT)
  • ANN MAGNANO (VICE PRESIDENT)
  • LILLIAN SHERMAN (VICE PRESIDENT)
  • ERNIE SHERMAN (VICE PRESIDENT)
  • BEN FRANZ-KNIGHT (EXECUTIVE DIRECTOR)

Highest reported compensation

  • BEN FRANZ-KNIGHT (EXECUTIVE DIRECTOR): $180,897 total reported compensation
  • LILLIAN SHERMAN (VICE PRESIDENT): $137,792 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2017. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Pike place market qb2 was created by pike place market pda to facilitate new markets tax credit financing to supplement the levy proceeds (tax levy approved by the seattle citizens in 2008) which provide funds to repair and rehabilitate many of the pike place market's buildings. Pike place market qb2 (ppm qb2) is a Washington nonprofit membership corporation of which pike place market pda is the sole member. Ppm qb2 was organized to assist ppm pda in accomplishing pda's public purpose. Ppm qb2 will undertake the rehabilitation and completion of construction of the following buildings which have been leased from pike place market pda under a master lease agreement: corner, sanitary, triangle, soames- dunn, economy, stewart. Ppm qb2 will be responsible for the costs associated with the improvement, restoration, repair, remodeling, replacement, maintenance, operation, leasing, and management of the above buildings.

What it reported doing in 2017

Ppm qb2 undertook the rehabilitation and completion of construction of the following buildings which have been leased from pike place market pda under a master lease agreement: corner, sanitary, triangle, soames-dunn, economy, stewart. Ppm qb2 will be responsible for the costs associated with the improvement, restoration, repair, remodeling, replacement, maintenance, operation, leasing, and management of the above buildings.

Operating model

Revenue model
Earned-program. 100% of the money available for current operations came from fees and other program revenue.
Distribution model
Grant intermediary. The nonprofit sent 60% of its reported program spending out as grants.

The verdict

SUPPORTED - A large share of available resources goes toward mission work and the filed numbers largely add up. Few specific pay-setting methods are documented in the filing; unanswered boxes are not proof of absence and expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 86
  • Transparency & Controls: 68
  • Accountability: 90
  • Sustainability: 38
  • Growth: 80

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 100%; rating input score 100
  • Program expense ratio: 91.3%; rating input score 91
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
  • Pay-setting controls: 0 of 6 controls in place; rating input score 0
    • Compensation committee: Missing
    • Independent consultant: Missing
    • Other Form 990s reviewed: Missing
    • Written employment contract: Missing
    • Compensation survey or study: Missing
    • Board or committee approval: Missing
  • Foreign activity oversight: Limited
  • Grant itemization coverage: 100%; rating input score 100; 71st percentile among comparable filings
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 83.3%; rating input score 83; 16th percentile among comparable filings
  • Governance controls: 8 of 8 controls in place; rating input score 100
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: NotApplicable
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: -18.2%; rating input score 6; 6th percentile among comparable filings
  • Total-asset coverage ratio: 4.33; rating input score 83; 83rd percentile among comparable filings
  • Liabilities to assets ratio: 1.04; rating input score 6; 6th percentile among comparable filings
  • Officer compensation ratio: 0.5%; rating input score 84; 84th percentile among comparable filings

Growth

  • Program expense growth: 9.9% per year; rating input score 100; 71st percentile among comparable filings
  • Revenue growth: 8.8% per year; rating input score 100; 70th percentile among comparable filings
  • Asset growth: -2% per year; rating input score 0; 17th percentile among comparable filings

Details

  • Where the money goes: 100% of revenue deployed · 91.3% of spending went to programs
  • Governance: 5 of 6 board members independent · 8 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $6.9M in reported program spending
  • Leadership: top reported pay $181K · 7 people listed · 0 of 6 pay-setting controls reported
  • Highest-paid contractors: 1 contractor listed · $476K reported
  • Consistency: 20 of 20 current checks pass
  • Schedules: 5 filed schedules · includes grants and executive pay
  • Filing history: 7 filing years from 2011 to 2017
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • Related organizations: 5 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.

  • High — Transparency & Controls: Pay-setting controls scored 0/100.
  • High — Sustainability: Operating margin scored 6/100.
  • High — Growth: Asset growth scored 0/100.
  • High — Sustainability: Liabilities to assets ratio scored 6/100.