Sears Methodist Centers Inc

Nonprofit profile at a glance

EIN
751234917
IRS 990 coverage
2010–2013
Forms available
Form 990 2013
Location
Abilene, TX, USA
Phone
3256915519
Rating
73
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Supportive Housing for Older Adults
Affiliation
Christianity

Official website

Reported finances

Revenue
$7,568,680
Expenses
$6,370,097
Assets
$29,582,701
Liabilities
$14,190,515

Source: IRS Form 990. Selected filing: tax year 2013. Amounts in USD.

Leadership & pay

22 people listed

Executive titles in this filing

  • Keith Perry (President, CEO and Ex-Officio Trustee)
  • Terry Myers (Senior Vice President & CFO)
  • Gary Anderson (Executive Vice President & COO)
  • Michael Sims (Senior Vice President - Operations)
  • Kenneth Fincher (Senior Vice President and Director of Sears Method)
  • Windell Hawkins (Senior Vice President - Risk Management)

Highest reported compensation

  • Keith Perry (President, CEO and Ex-Officio Trustee): $451,025 total reported compensation
  • Terry Myers (Senior Vice President & CFO): $299,066 total reported compensation
  • Michael Sims (Senior Vice President - Operations): $254,111 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2013. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

The mission of Sears is to provide leadership in response to the needs of our aging population. We believe we have a responsibility for studying, analyzing, planning, developing, and implementing quality service to the aging where appropriate needs are found for Health Care and residential living services and can be provided in a Christian environment.

What it reported doing in 2013

The Organization provides long-term nursing care to elderly who are no longer able to care for themselves or elderly who may have different stages of Dementia. Assistance is also provided to senior citizens who are still somewhat independent with their daily lives - offering services such as meals, housekeeping, and the availability of nursing staff. Other services provided include home health & hospice services to residents in our long term care communities as well as the outside community. Also provide specialty assistance such as 24 hour care, assistance for personal needs, & home health maintenance. Therapy services can also be provided to residents of our communities.

Operating model

Revenue model
Earned-program. 100% of the money available for current operations came from fees and other program revenue.
Distribution model
Direct operator. The filing allocates 94% 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.

The verdict

SUPPORTED - A large share of available resources goes toward mission work and the filed numbers largely add up. Revenue has declined or grown slowly and assets have declined or grown slowly.

Rating breakdown

  • Financial Efficiency: 67
  • Transparency & Controls: 83
  • Accountability: 90
  • Sustainability: 70
  • Growth: 0

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 69.6%; rating input score 70
  • Program expense ratio: 82.7%; rating input score 83
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
  • Pay-setting controls: 3 of 6 controls in place; rating input score 50
    • Compensation committee: Pass
    • Independent consultant: Missing
    • Other Form 990s reviewed: Missing
    • Written employment contract: Pass
    • Compensation survey or study: Missing
    • Board or committee approval: Pass
  • Foreign activity oversight: Limited
  • Grant itemization coverage: 100%; rating input score 100; 70th 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; 65th 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: 15.8%; rating input score 80; 80th percentile among comparable filings
  • Total-asset coverage ratio: 4.64; rating input score 84; 84th percentile among comparable filings
  • Liabilities to assets ratio: 0.48; rating input score 29; 29th percentile among comparable filings
  • Officer compensation ratio: 7%; rating input score 33; 33rd percentile among comparable filings

Growth

  • Program expense growth: Limited
  • Revenue growth: -32.8% per year; rating input score 0; 1st percentile among comparable filings
  • Asset growth: -15.7% per year; rating input score 0; 5th percentile among comparable filings

Details

  • Where the money goes: 69.6% of revenue deployed · 82.7% of spending went to programs
  • Governance: 9 of 9 board members independent · 6 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $5.3M in reported program spending
  • Leadership: top reported pay $451K · 22 people listed · 3 of 6 pay-setting controls reported
  • Highest-paid contractors: 2 contractors listed · $450K reported
  • Consistency: 30 of 30 current checks pass
  • Schedules: 7 filed schedules · includes major donors, grants, and executive pay
  • Filing history: 4 filing years from 2010 to 2013
  • Contacts: How to reach this organization
  • Related organizations: 11 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.

Grant-readiness screening is separate from the live rating, not a measure of program quality. Review the source records before making a grant decision.

  • High — Growth: Revenue growth scored 0/100.
  • High — Growth: Asset growth scored 0/100.
  • Review — Accountability: Governance controls: Independent financial-statement audit not reported.
  • High — Sustainability: Liabilities to assets ratio scored 29/100.
  • Moderate — Sustainability: Officer compensation ratio scored 33/100.
  • High — Grant Readiness: Automatic revocation: this organization had its federal tax-exempt status automatically revoked.