Step Up on Second Street Inc

Nonprofit profile at a glance

EIN
954109386
IRS 990 coverage
2011–2024
Forms available
Form 990 2024
Location
Santa Monica, CA, USA
Phone
3103946889
Rating
86
Verdict
STRONG
Rating confidence
Standard
Sector
Centers to Support the Independence of Specific Populations

Official website

Reported finances

Revenue
$72,108,751
Expenses
$63,244,370
Assets
$52,661,490
Liabilities
$28,890,671

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

Leadership & pay

14 people listed

Executive titles in this filing

  • TOD LIPKA (CHIEF EXECUTIVE OFFICER)
  • JOSHUA LADUE (VICE PRESIDENT OF OPERATIONS)

Highest reported compensation

  • TOD LIPKA (CHIEF EXECUTIVE OFFICER): $443,745 total reported compensation
  • DAVID TAVLIN (CHIEF PROGAM OFFICER): $331,635 total reported compensation
  • APRYL THOMAS (CHIEF HUMAN RESOURCES OFFICER): $307,468 total reported compensation

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

Overview

Mission

Step up on second street delivers compassionate support to people experiencing serious mental health issues, and people who are experiencing chronic homelessness, to help them recover, stabilize, and integrate into the community. Through dynamic partnerships, we provide positive social and learning environments, vocational training, permanent supportive housing opportunities, and recovery services to empower individuals to cultivate lives of hope and dignity. We exercise innovative leadership and advocacy to increase public understanding, support, and acceptance of all people living with serious mental health issues.

What it reported doing in 2024

Behavioral health: step up on second street, inc. Assists individuals (including veterans and transitional age youth) who experience homelessness and serious mental health issues with mental health and case management services both in clinic and field-based, comprehensive services which address all areas of life, supportive services, programs and linkage to permanent supportive housing, life skills coaching, socialization, linkage to food resources, homeless advocacy, outreach and housing retention, housing placement and support leading to individual goal attainment, increased self-sufficiency, and recovery.

Operating model

Revenue model
Grant-funded. 91% of the money available for current operations came from government grants.
Distribution model
Direct operator. The filing allocates 99% 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

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. Total assets are small relative to annual expenses; liquid coverage is unknown and some filed totals do not add up.

Rating breakdown

  • Financial Efficiency: 76
  • Transparency & Controls: 93
  • Accountability: 100
  • Sustainability: 54
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 71.8%; rating input score 72
  • Program expense ratio: 81.8%; rating input score 82
  • Fundraising efficiency: $78.39 raised per $1 spent on fundraising; rating input score 81; 81st percentile among comparable filings

Transparency & Controls

  • Consistency checks: 92.9%; rating input score 93; 17th percentile among comparable filings
  • Pay-setting controls: 5 of 6 controls in place; rating input score 83
    • Compensation committee: Pass
    • Independent consultant: Missing
    • Other Form 990s reviewed: Pass
    • Written employment contract: Pass
    • Compensation survey or study: Pass
    • Board or committee approval: Pass
  • Foreign activity oversight: Limited
  • Grant itemization coverage: 100%; rating input score 100; 77th 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; 77th percentile among comparable filings
  • Governance controls: 9 of 9 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: Pass
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Pass
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: 12.3%; rating input score 78; 78th percentile among comparable filings
  • Total-asset coverage ratio: 0.83; rating input score 33; 33rd percentile among comparable filings
  • Liabilities to assets ratio: 0.55; rating input score 32; 32nd percentile among comparable filings
  • Officer compensation ratio: 3.4%; rating input score 32; 32nd percentile among comparable filings

Growth

  • Program expense growth: 16.7% per year; rating input score 100; 89th percentile among comparable filings
  • Revenue growth: 16.5% per year; rating input score 100; 91st percentile among comparable filings
  • Asset growth: 9.3% per year; rating input score 100; 67th percentile among comparable filings

Details

  • Where the money goes: 71.8% of revenue deployed · 81.8% of spending went to programs
  • Governance: 7 of 7 board members independent · 9 of 9 filing controls reported
  • Programs: 3 filed program accomplishments · $51.8M in reported program spending
  • Leadership: top reported pay $444K · 14 people listed · 5 of 6 pay-setting controls reported
  • Highest-paid contractors: 5 contractors listed · $4M reported
  • Consistency: 31 of 32 current checks pass · 1 finding to review
  • Schedules: 8 filed schedules · includes major donors, grants, and executive pay
  • Filing history: 14 filing years from 2011 to 2024
  • Contacts: How to reach this organization
  • Money network: 8 filed money-flow records
  • Related organizations: 30 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.

  • Moderate — Sustainability: Total-asset coverage ratio scored 33/100.
  • Moderate — Transparency & Controls: Schedule A contributions reconciliation did not reconcile in the filed values.
  • Moderate — Sustainability: Liabilities to assets ratio scored 32/100.
  • Moderate — Sustainability: Officer compensation ratio scored 32/100.