Step 2 Inc

Nonprofit profile at a glance

EIN
943025207
IRS 990 coverage
2011–2024
Forms available
Form 990 2024
Location
Reno, NV, USA
Phone
7757879411
Rating
72
Verdict
SUPPORTED
Rating confidence
Moderate

Official website

Reported finances

Revenue
$3,329,459
Expenses
$2,838,818
Assets
$11,233,676
Liabilities
$850,319

Source: IRS Form 990. Selected filing: tax year 2024. Amounts in USD.

Leadership & pay

14 people listed

Executive titles in this filing

  • DR JAMES COHEN (IMMEDIATE PAST PRESIDENT)
  • KATHY LEGGETT (PRESIDENT)
  • DARCY CARPENTER (PRESIDENT ELECT)
  • MARI HUTCHINSON (CHIEF EXECUTIVE OFFICER)

Highest reported compensation

  • MARI HUTCHINSON (CHIEF EXECUTIVE OFFICER): $221,211 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2024. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

Step2 is a comprehensive substance abuse treatment program that provides women and their children suffering from chemical addiction, poverty and domestic violence the opportunity to rebuild their lives. The result is self-sufficient healthy families.

What it reported doing in 2024

To provide a controlled, administered program for chemically addicted women and their children to become productive members of the community.

Operating model

Revenue model
Mixed. Its operating money came from several sources; no one source provided a clear majority.
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.
  • Includes noncash contributions: Reported contributions include donated property or goods.

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 fundraising costs are high for each dollar raised.

Rating breakdown

  • Financial Efficiency: 55
  • Transparency & Controls: 71
  • Accountability: 100
  • Sustainability: 68
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 52.4%; rating input score 52
  • Program expense ratio: 59.7%; rating input score 60
  • Fundraising efficiency: $15.86 raised per $1 spent on fundraising; rating input score 53; 53rd percentile among comparable filings

Transparency & Controls

  • Consistency checks: 94.1%; rating input score 94; 23rd 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: Pass
    • Compensation survey or study: Missing
    • Board or committee approval: Pass
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 100%; rating input score 100; 63rd 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: 14.7%; rating input score 70; 70th percentile among comparable filings
  • Total-asset coverage ratio: 3.96; rating input score 80; 80th percentile among comparable filings
  • Liabilities to assets ratio: 0.08; rating input score 64; 64th percentile among comparable filings
  • Officer compensation ratio: 7.8%; rating input score 38; 38th percentile among comparable filings

Growth

  • Program expense growth: 5.7% per year; rating input score 100; 44th percentile among comparable filings
  • Revenue growth: 3.4% per year; rating input score 100; 29th percentile among comparable filings
  • Asset growth: 3% per year; rating input score 100; 24th percentile among comparable filings

Details

  • Where the money goes: 52.4% of revenue deployed · 59.7% of spending went to programs
  • Governance: 13 of 13 board members independent · 8 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $1.7M in reported program spending
  • Leadership: top reported pay $221K · 14 people listed · 2 of 6 pay-setting controls reported
  • Consistency: 29 of 30 current checks pass · 1 finding to review
  • Schedules: 7 filed schedules · includes major donors and executive pay
  • Filing history: 14 filing years from 2011 to 2024
  • Contacts: How to reach this organization
  • Money network: 1 filed money-flow record
  • 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.
  • Staff and benefit plans: Retirement and health plans the organization files with the Department of Labor, and the people in them.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • Review — Financial Efficiency: Mission deployment rate scored 52/100.
  • Review — Financial Efficiency: Fundraising efficiency scored 53/100.
  • Moderate — Transparency & Controls: Schedule A contributions reconciliation did not reconcile in the filed values.
  • Moderate — Sustainability: Officer compensation ratio scored 38/100.