Ronald McDonald House Knoxville

Nonprofit profile at a glance

EIN
581510276
IRS 990 coverage
2010–2025
Forms available
Form 990 2025
Location
Knoxville, TN, USA
Phone
8656377475
Rating
78
Verdict
SUPPORTED
Rating confidence
Standard
Sector
Patient Services - Entertainment, Recreation

Reported finances

Revenue
$1,232,685
Expenses
$1,352,923
Assets
$14,687,960
Liabilities
$27,092

Source: IRS Form 990. Selected filing: tax year 2025. Amounts in USD.

Leadership & pay

26 people listed

Executive titles in this filing

  • Justin Israel (President)
  • Laura Barnes (Vice President)
  • Sue Beverly (Executive Director)

Highest reported compensation

  • Sue Beverly (Executive Director): $181,622 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2025. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

We offer temporary lodging for families having critically ill children. See page Part III for more information.

What it reported doing in 2025

Our Main Purpose - Housing Families: The Ronald McDonald House offers temporary lodging for families having critically ill children, 21 years of age or younger, being treated in area hospitals. In our fourty years of operation we have served approximately 61,500 people. Beside the obvious financial advantage of staying at our home-away-from-home where we gladly waive the $5.00 per night requested donation if it is prohibitive, there is the additional benefit of meeting other families who are experiencing similar medical problems with their children. Its a place where they can draw additional comfort and support from friendships that are born here. In addition to lodging, our supportive community helps provide all the comforts of home such as food, laundry facilities, transportation, free wi-fi...all of which are included in their stay. We can accomodate 65 people or 15 families in the two houses we operate. By years end, we had received referrals from four different medical facilities that represented families from 12 various states and 41 counties from across Tennessee. What brought these people to our doors? The most prevalent reasons were newborn complications such as prematurity and respiratory issues, cancer, and brain and spinal issues. There were as manyother medical conditions that also brought families. Although we have no length of stay restrictions, the average length of stay was 9 days. As long as a child is hospitalized, family members including extended family and siblings have been welcome.

Operating model

Revenue model
Donor-supported. 87% of the money available for current operations came from contributions and gifts.
Distribution model
Hybrid. The nonprofit split its reported program spending across 71% for direct work, and 29% for grants.
  • 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. Few specific pay-setting methods are documented in the filing; unanswered boxes are not proof of absence and fundraising costs are high for each dollar raised.

Rating breakdown

  • Financial Efficiency: 74
  • Transparency & Controls: 71
  • Accountability: 100
  • Sustainability: 45
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 82%; rating input score 82
  • Program expense ratio: 74.6%; rating input score 75
  • Fundraising efficiency: $9.1 raised per $1 spent on fundraising; rating input score 32; 32nd percentile among comparable filings

Transparency & Controls

  • Consistency checks: 93.3%; rating input score 93; 24th 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: 94.4%; rating input score 94; 45th percentile among comparable filings
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 64th 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: -9.8%; rating input score 13; 13th percentile among comparable filings
  • Total-asset coverage ratio: 10.86; rating input score 92; 92nd percentile among comparable filings
  • Liabilities to assets ratio: 0; rating input score 70; 70th percentile among comparable filings
  • Officer compensation ratio: 13.4%; rating input score 28; 28th percentile among comparable filings

Growth

  • Program expense growth: 2.4% per year; rating input score 100; 24th percentile among comparable filings
  • Revenue growth: 3.6% per year; rating input score 100; 29th percentile among comparable filings
  • Asset growth: 6% per year; rating input score 100; 40th percentile among comparable filings

Details

  • Where the money goes: 82% of revenue deployed · 74.6% of spending went to programs
  • Governance: 25 of 25 board members independent · 8 of 8 filing controls reported
  • Programs: 2 filed program accomplishments · $1M in reported program spending
  • Leadership: top reported pay $182K · 26 people listed · 0 of 6 pay-setting controls reported
  • Consistency: 30 of 31 current checks pass · 1 finding to review
  • Schedules: 7 filed schedules · includes major donors, grants, and executive pay
  • Filing history: 16 filing years from 2010 to 2025
  • Contacts: How to reach this organization
  • Money network: 5 filed money-flow records
  • Related organizations: 4 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.
  • Moderate — Financial Efficiency: Fundraising efficiency scored 32/100.
  • High — Sustainability: Operating margin scored 13/100.
  • Review — Transparency & Controls: Domestic grant itemization did not reconcile in the filed values.
  • High — Sustainability: Officer compensation ratio scored 28/100.