Rainbow Acres Inc

Nonprofit profile at a glance

EIN
860286420
IRS 990 coverage
2010–2024
Forms available
Form 990 2024
Location
Camp Verde, AZ, USA
Phone
9285675231
Rating
75
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Developmentally Disabled Centers
Affiliation
Christianity

Official website

Reported finances

Revenue
$8,540,684
Expenses
$7,896,489
Assets
$19,994,775
Liabilities
$3,477,161

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

Leadership & pay

18 people listed

Executive titles in this filing

  • PAUL HIGGINES (PRESIDENT & CEO)
  • MICHAEL PROCHELO (PRESIDENT & CEO (THRU 09/25))

Highest reported compensation

  • MICHAEL PROCHELO (PRESIDENT & CEO (THRU 09/25)): $161,434 total reported compensation
  • PAUL HIGGINES (PRESIDENT & CEO): $139,973 total reported compensation

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

Overview

Mission

Rainbow acres, a christian community with heart, empowers persons with developmental disabilities to live to their fullest potential with dignity and purpose.

What it reported doing in 2024

To provide exceptional housing, life-enriching programs, and loving, holistic care in a safe, vibrant, inclusive ranch-style community that empowers persons with developmental disabilities to achieve mental, physical, social, spiritual, and vocational growth to their fullest potential.

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.
  • Includes noncash contributions: Reported contributions include donated property or goods.

The verdict

SUPPORTED - A large share of available resources goes toward mission work and the filed numbers largely add up. Fundraising costs are high for each dollar raised and some filing-based governance responses are negative or unanswered.

Rating breakdown

  • Financial Efficiency: 70
  • Transparency & Controls: 67
  • Accountability: 95
  • Sustainability: 60
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 72.8%; rating input score 73
  • Program expense ratio: 77.3%; rating input score 77
  • Fundraising efficiency: $8.2 raised per $1 spent on fundraising; rating input score 31; 31st percentile among comparable filings

Transparency & Controls

  • Consistency checks: 94.1%; rating input score 94; 23rd percentile among comparable filings
  • Pay-setting controls: 1 of 6 controls in place; rating input score 17
    • Compensation committee: Missing
    • Independent consultant: Missing
    • Other Form 990s reviewed: Missing
    • Written employment contract: Missing
    • Compensation survey or study: Missing
    • Board or committee approval: Pass
  • 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: 7 of 8 controls in place; rating input score 88
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Fail
    • 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: 7.5%; rating input score 57; 57th percentile among comparable filings
  • Total-asset coverage ratio: 2.53; rating input score 69; 69th percentile among comparable filings
  • Liabilities to assets ratio: 0.17; rating input score 47; 47th percentile among comparable filings
  • Officer compensation ratio: 3.8%; rating input score 63; 63rd percentile among comparable filings

Growth

  • Program expense growth: 6.8% per year; rating input score 100; 50th percentile among comparable filings
  • Revenue growth: 3.1% per year; rating input score 100; 28th percentile among comparable filings
  • Asset growth: 0.8% per year; rating input score 100; 15th percentile among comparable filings

Details

  • Where the money goes: 72.8% of revenue deployed · 77.3% of spending went to programs
  • Governance: 16 of 16 board members independent · 7 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $6.1M in reported program spending
  • Leadership: top reported pay $161K · 18 people listed · 1 of 6 pay-setting controls reported
  • Consistency: 37 of 38 current checks pass · 1 finding to review
  • Schedules: 8 filed schedules · includes major donors and executive pay
  • Filing history: 11 filing years from 2010 to 2024
  • Contacts: How to reach this organization
  • Money network: 2 filed money-flow records
  • Related organizations: 1 filed related-organization link
  • 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: Fundraising efficiency scored 31/100.
  • Review — Accountability: Governance controls: Document-retention policy not reported.
  • Review — Sustainability: Operating margin scored 57/100.
  • Moderate — Transparency & Controls: Schedule A contributions reconciliation did not reconcile in the filed values.
  • Moderate — Sustainability: Liabilities to assets ratio scored 47/100.