Recovery Health Systems Inc

Nonprofit profile at a glance

EIN
842447278
IRS 990 coverage
2020–2021
Forms available
Form 990 2021, Form 990-EZ 2019
Location
Russellville, AR, USA
Phone
8669210149
Rating
81
Verdict
STRONG
Rating confidence
Moderate
Sector
Alcohol, Drug and Substance Abuse, Dependency Prevention and Treatment

Reported finances

Revenue
$592,413
Expenses
$521,083
Assets
$133,184
Liabilities
$644,639

Source: IRS Form 990. Selected filing: tax year 2021. Amounts in USD.

Leadership & pay

1 person listed

Executive titles in this filing

  • SAMANTHA KATE RIGGS (EXECUTIVE DIRECTOR)

Highest reported compensation

  • SAMANTHA KATE RIGGS (EXECUTIVE DIRECTOR): $3,000 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2021. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Our nbsp; vision nbsp; is nbsp; to nbsp; provide nbsp; evidence-based nbsp; and nbsp; wellness nbsp; focused nbsp; services nbsp; that nbsp; educate nbsp; and nbsp; prevent nbsp; mental nbsp; health nbsp; and nbsp; substance nbsp; abuse nbsp; challenges nbsp; we nbsp; are nbsp; dedicated nbsp; to nbsp; providing nbsp; a nbsp; continuum nbsp; of nbsp; holistic nbsp; care nbsp; to nbsp; clients nbsp; and nbsp; families nbsp; suffering nbsp; from nbsp; the nbsp; devastating nbsp; effects nbsp; of nbsp; addiction nbsp; and nbsp; other nbsp; mental nbsp; health nbsp; comorbidities

What it reported doing in 2021

Our vision is to provide evidence-based and wellness focused services that educate and prevent mental health and substance abuse challenges. We are dedicated to providing a continuum of holistic care to clients and families suffering from the devastating effects of addiction and other mental health comorbidities.

Operating model

Revenue model
Earned-program. 100% of the money available for current operations came from fees and other program revenue.
Distribution model
Cannot be determined from the filing. The filing does not provide enough consistent spending detail to tell whether the nonprofit works directly or through others.

The verdict

STRONG - 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 program spending has declined or grown slowly.

Rating breakdown

  • Financial Efficiency: 82
  • Transparency & Controls: 91
  • Accountability: 79
  • Sustainability: 35
  • Growth: 60

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 87.7%; rating input score 88
  • Program expense ratio: 99.8%; rating input score 100
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 90.9%; rating input score 91; 7th 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: 4 of 8 controls in place; rating input score 50
    • Conflict-of-interest policy: Fail
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • 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: 12%; rating input score 54; 54th percentile among comparable filings
  • Total-asset coverage ratio: 0.26; rating input score 9; 9th percentile among comparable filings
  • Liabilities to assets ratio: 4.84; rating input score 0; 0th percentile among comparable filings
  • Officer compensation ratio: 0.6%; rating input score 63; 63rd percentile among comparable filings

Growth

  • Program expense growth: -8.4% per year; rating input score 0; 8th percentile among comparable filings
  • Revenue growth: 82.4% per year; rating input score 100; 98th percentile among comparable filings
  • Asset growth: 54.2% per year; rating input score 100; 96th percentile among comparable filings

Details

  • Where the money goes: 87.7% of revenue deployed · 99.8% of spending went to programs
  • Governance: 8 of 8 board members independent · 4 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $521K in reported program spending
  • Leadership: top reported pay $3K · 1 people listed
  • Consistency: 18 of 20 current checks pass · 2 findings to review
  • Schedules: 3 filed schedules
  • Filing history: 2 filing years from 2020 to 2021
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • 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.

  • Review — Accountability: Governance controls: 4 of 8 not reported.
  • High — Growth: Program expense growth scored 0/100.
  • Moderate — Transparency & Controls: Functional expense sum did not reconcile in the filed values.
  • Moderate — Transparency & Controls: Schedule A contributions reconciliation did not reconcile in the filed values.
  • High — Sustainability: Total-asset coverage ratio scored 9/100.
  • Review — Sustainability: Operating margin scored 54/100.
  • High — Sustainability: Liabilities to assets ratio scored 0/100.
  • High — Grant Readiness: Automatic revocation: this organization had its federal tax-exempt status automatically revoked.