Second Act Communities

Nonprofit profile at a glance

EIN
541655399
IRS 990 coverage
2015–2020
Forms available
Form 990 2020
Location
Virginia Beach, VA, USA
Phone
7574639516
Rating
65
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Housing Development, Construction, Management

Official website

Reported finances

Revenue
$651,098
Expenses
$136,737
Assets
$0
Liabilities
$0

Source: IRS Form 990. Selected filing: tax year 2020. Amounts in USD.

Leadership & pay

8 people listed

Executive titles in this filing

  • FRANCES KNIGHT THOMPSON (PRESIDENT & CHAIR)
  • JESSICA GUGLIELMO (CEO)

Highest reported compensation

  • JESSICA GUGLIELMO (CEO): $132,642 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2020. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

We create housing and supportive services that profoundly change the lives of our neighbors across the region.

What it reported doing in 2020

Provided quality affordable housing for low and moderate income individuals and families: all units are regularly inspected by the city of Virginia beach, the Virginia housing development authority , the u.s. Department of hud, or the state of Virginia department of housing and community development. Case management services are provided by the Virginia beach community development corporation for units designated for homeless persons. All units are rent and income restricted and are rented at or below published fair market rents, with tenant rent and utility payments limited to 30% to 40% of adjusted gross income.

Operating model

Revenue model
Grant-funded. 81% of the money available for current operations came from government grants.
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.

The verdict

SUPPORTED - The filed numbers largely add up and most voting board members are independent. A relatively small share of available resources goes toward mission work and some related-organization disclosures are missing.

Rating breakdown

  • Financial Efficiency: 45
  • Transparency & Controls: 86
  • Accountability: 95
  • Sustainability: 46
  • Growth: 0

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 20.9%; rating input score 21
  • Program expense ratio: 99.3%; rating input score 99
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 93.3%; rating input score 93; 21st percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: No; rating input score 0

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: 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: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 79%; rating input score 97; 97th percentile among comparable filings
  • Total-asset coverage ratio: 0; rating input score 0; 0th percentile among comparable filings
  • Liabilities to assets ratio: Limited
  • Officer compensation ratio: Limited

Growth

  • Program expense growth: -34% per year; rating input score 0; 2nd percentile among comparable filings
  • Revenue growth: -11.3% per year; rating input score 0; 4th percentile among comparable filings
  • Asset growth: -12.3% per year; rating input score 0; 3rd percentile among comparable filings

Details

  • Where the money goes: 20.9% of revenue deployed · 99.3% of spending went to programs
  • Governance: 7 of 7 board members independent · 7 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $136K in reported program spending
  • Leadership: top reported pay $133K · 8 people listed
  • Consistency: 19 of 20 current checks pass · 1 finding to review
  • Schedules: 6 filed schedules · includes major donors
  • Filing history: 6 filing years from 2015 to 2020
  • Contacts: How to reach this organization
  • Related organizations: 2 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 — Financial Efficiency: Mission deployment rate scored 21/100.
  • High — Transparency & Controls: Related-party transparency scored 0/100.
  • High — Growth: Program expense growth scored 0/100.
  • High — Growth: Revenue growth scored 0/100.
  • High — Sustainability: Total-asset coverage ratio scored 0/100.
  • Review — Transparency & Controls: Schedule R controlled transactions itemized did not reconcile in the filed values.
  • Review — Accountability: Governance controls: Form 990 shared with the board not reported.
  • High — Growth: Asset growth scored 0/100.