Root Change Inc

What it reported doing in 2024

Building on the momentum of 2023, root change deepened and expanded its efforts in 2024 to promote equity both in the u.s. And internationally. Domestically, we continued our work aimed at bridging community divides and addressing political polarization, focusing on building connections across differences and fostering unity within local communities. These u.s.-based initiatives aimed to strengthen social cohesion and enhance democratic resilience at a time when polarization is increasingly prevalent.internationally, root change continued its work through USAID global programs centered on equity, inclusion, and community-based economic development. These programs aimed to empower marginalized communities and foster sustainable development by integrating participatory action research and rapid experimentation. Our work in regions like guatemala, kenya, malawi, and cambodia focused on enhancing local capacity, amplifying youth-led movements, and promoting inclusive economic growth.through strengthened collaborations with civil society organizations, international ngos, academic institutions, and donor agencies, root change addressed pressing challenges such as political polarization, community resilience, and social accountability. Our efforts placed special emphasis on empowering marginalized groups, fortifying democratic practices, and building capacity across diverse regions globally, including the U.S.collaboration with the carter center: in 2024, we deepened our partnership with the carter center to support their domestic conflict resolution and democracy programs. Root change's learning-focused approach, emphasizing participant-centered learning, played a key role in fostering local engagement and expanding democracy resilience networks in six states. By integrating methodologies like action research, participatory evaluation, and lean experimentation, we co-designed dynamic learning sessions that enabled community members to share, test, and apply locally-centered knowledge.a key aspect of our collaboration was the integration of root change's social lab approach, designed to bridge divides and foster depolarization. This model brought together diverse stakeholders into a shared space to identify common ground and collaboratively develop solutions aimed at reducing polarization and fostering unity. The social labs focused on bridging differences by encouraging participants to engage in open dialogue, identify shared concerns, and co-create interventions that addressed the root causes of polarization. Through this process, teams formed around key issues, testing and refining their ideas using lean experimentation in three-month cycles. These experiments, conducted with community members, allowed for real-time learning and adaptation of strategies to promote depolarization and conflict resolution.California office of community partnerships and strategic communications: we continued to assist this office with collective action planning, organizing community-based focus groups, producing analytical digests, and providing direct assistance to regional program managers working on community resilience initiatives.idea initiative: root change continued its work with USAID's inclusive development and equitable assistance (idea) program for a 5-year global initiative aimed at enhancing the capacity of marginalized groups. Root change led efforts in capacity strengthening, developing inclusive metrics, conducting network mapping, and supporting local organizations to advance equity and inclusivity.youthpower youth excel program: we continued our collaboration with irex to implement the youth excel program, a global initiative led by USAID. This program empowers young people and youth organizations to drive local development by using implementation research to strengthen development solutions. Ayl-chemonics: in 2024, root change joined the USAID advancing youth leadership (ayl) program. In partnership with chemonics international and

Financial Efficiency

• Mission deployment rate: 74.3%; rating input score 74
• Program expense ratio: 78.7%; rating input score 79
• Fundraising efficiency: Limited

Transparency & Controls

• Consistency checks: 93.3%; rating input score 93; 17th percentile among comparable filings
• Pay-setting controls: 2 of 6 controls in place; rating input score 33
  • Compensation committee: Missing
  • Independent consultant: Missing
  • Other Form 990s reviewed: Missing
  • Written employment contract: Missing
  • Compensation survey or study: Pass
  • Board or committee approval: Pass
• Foreign activity oversight: 2 of 8 controls in place; rating input score 25
  • Claims monitoring procedures: Pass
  • Requires narrative reports: Fail
  • Conducts field audits: Fail
  • May suspend future funding: Fail
  • Requires financial reports: Pass
  • Conducts site visits: Fail
  • Requires grant agreements: Fail
  • May require repayment: Fail
• Grant itemization coverage: 96.4%; rating input score 96; 31st 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: 6 of 8 controls in place; rating input score 75
  • 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: Missing
  • Independent financial-statement audit: Fail

Sustainability

• Operating margin: 5.6%; rating input score 52; 52nd percentile among comparable filings
• Total-asset coverage ratio: 0.31; rating input score 10; 10th percentile among comparable filings
• Liabilities to assets ratio: 0.89; rating input score 8; 8th percentile among comparable filings
• Officer compensation ratio: 11.5%; rating input score 26; 26th percentile among comparable filings

Growth

• Program expense growth: 9.3% per year; rating input score 100; 61st percentile among comparable filings
• Revenue growth: 12.6% per year; rating input score 100; 76th percentile among comparable filings
• Asset growth: 13.4% per year; rating input score 100; 70th percentile among comparable filings