Staple Cotton Discount Corporation

Nonprofit profile at a glance

EIN
640247240
IRS 990 coverage
2010–2014
Forms available
Form 990 2014
Location
Greenwood, MS, USA
Phone
6624536231
Rating
42
Verdict
MIXED
Rating confidence
Moderate
Sector
Agricultural Programs

Reported finances

Revenue
$2,794,765
Expenses
$1,820,900
Assets
$88,110,218
Liabilities
$71,391,264

Source: IRS Form 990. Selected filing: tax year 2014. Amounts in USD.

Leadership & pay

40 people listed

Executive titles in this filing

  • Meredith Allen (President & CEO)
  • Charles Robertson (Vice President & CFO (Resigned Effctv 12/31/2014))
  • Lawrence Gnemi (Vice President)
  • Thomas Dillard (Vice President)
  • Russell Robertson (Vice President)
  • James M Moffatt (Vice President & CFO (Effective 1/1/2015))

Highest reported compensation

  • Meredith Allen (President & CEO): $1,061,697 total reported compensation
  • Lawrence Gnemi (Vice President): $559,348 total reported compensation
  • Charles Robertson (Vice President & CFO (Resigned Effctv 12/31/2014)): $431,491 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2014. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

The organization's mission is to provide cost-effective financing to the members for the production of crops, purchase of farm equipment, purchase of farm land and for other agriculture-related purposes.

What it reported doing in 2014

During the tax year ended January 31, 2015, the organization disbursed loans of $97,962,806 to its members. At January 31, 2015, the amount of loans receivable, including accrued interest, was $89,310,421.

Operating model

Revenue model
Other-operating. 100% of the money available for current operations came from other operating 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

MIXED - 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 a relatively small share of total spending goes to programs.

Rating breakdown

  • Financial Efficiency: 0
  • Transparency & Controls: 66
  • Accountability: 87
  • Sustainability: 74
  • Growth: 20

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 0%; rating input score 0
  • Program expense ratio: 0%; rating input score 0
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
  • Pay-setting controls: 1 of 6 controls in place; rating input score 17
    • Compensation committee: Missing
    • Independent consultant: Missing
    • Other Form 990s reviewed: Missing
    • Written employment contract: Missing
    • Compensation survey or study: Missing
    • Board or committee approval: Pass
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 93.9%; rating input score 94; 25th percentile among comparable filings
  • Governance controls: 7 of 9 controls in place; rating input score 78
    • Conflict-of-interest policy: Fail
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: Pass
    • Other executive compensation review process: Pass
    • Form 990 shared with the board: Fail
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 34.8%; rating input score 91; 91st percentile among comparable filings
  • Total-asset coverage ratio: 48.39; rating input score 99; 99th percentile among comparable filings
  • Liabilities to assets ratio: 0.81; rating input score 14; 14th percentile among comparable filings
  • Officer compensation ratio: 51.1%; rating input score 1; 1st percentile among comparable filings

Growth

  • Program expense growth: Limited
  • Revenue growth: -13% per year; rating input score 0; 5th percentile among comparable filings
  • Asset growth: 5% per year; rating input score 100; 53rd percentile among comparable filings

Details

  • Where the money goes: 0% of revenue deployed · 0% of spending went to programs
  • Governance: 31 of 33 board members independent · 7 of 9 filing controls reported
  • Programs: 1 filed program accomplishment
  • Leadership: top reported pay $1.1M · 40 people listed · 1 of 6 pay-setting controls reported
  • Consistency: 13 of 14 current checks pass · 1 finding to review
  • Schedules: 4 filed schedules · includes executive pay
  • Filing history: 5 filing years from 2010 to 2014
  • Contacts: How to reach this organization
  • Money network: 4 filed money-flow records
  • Related organizations: 1 filed related-organization link
  • 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 0/100.
  • High — Financial Efficiency: Program expense ratio scored 0/100.
  • High — Growth: Revenue growth scored 0/100.
  • Review — Accountability: Governance controls: 2 of 9 not reported.
  • Moderate — Transparency & Controls: Functional expense sum did not reconcile in the filed values.
  • High — Sustainability: Officer compensation ratio scored 1/100.
  • High — Sustainability: Liabilities to assets ratio scored 14/100.