Steps to Excellence Inc

Nonprofit profile at a glance

EIN
465759410
IRS 990 coverage
2023–2024
Forms available
Form 990 2024, Form 990-N 2022
Location
Houston, TX, USA
Rating
82
Verdict
STRONG
Rating confidence
Moderate
Sector
Educational Services and Schools - Other

Reported finances

Revenue
$888,471
Expenses
$920,360
Assets
$120,965
Liabilities
$9,530

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

Leadership & pay

1 person listed

Executive titles in this filing

  • SHANTEL WASHINGTON (PRESIDENT)

Highest reported compensation

  • SHANTEL WASHINGTON (PRESIDENT): $64,739 total reported compensation

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

Overview

Mission

To provide child and adult care services under the department of agricultures child and adult care program servicing the child and adult care center and day care home

What it reported doing in 2024

A sponsoring organization for independent centers that provide chaild and adult care services within the framework of department of agriculture child and adult care program. With the organization assuming the administrative and financial responsibility of the cacfp under its care. In that capacity sponsoring organizations generally pass federal funds received form their state agencies through to these centers and homes as expenditures of federal awards, they also have to acount for those funds as their revenues and sponsoring organizations are not prohibited from providing childcare services that participate in the different cacfp program just like the independent centers that they sponsor.

Operating model

Revenue model
Grant-funded. 100% 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

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. Revenue has declined or grown slowly and expenses are high relative to revenue.

Rating breakdown

  • Financial Efficiency: 77
  • Transparency & Controls: 100
  • Accountability: 88
  • Sustainability: 25
  • Growth: 40

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 87.7%; rating input score 88
  • Program expense ratio: 84.7%; rating input score 85
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 63rd percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Limited
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 80%; rating input score 80; 18th 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: -3.6%; rating input score 27; 27th percentile among comparable filings
  • Total-asset coverage ratio: 0.13; rating input score 6; 6th percentile among comparable filings
  • Liabilities to assets ratio: 0.08; rating input score 46; 46th percentile among comparable filings
  • Officer compensation ratio: 7%; rating input score 47; 47th percentile among comparable filings

Growth

  • Program expense growth: 12.4% per year; rating input score 100; 69th percentile among comparable filings
  • Revenue growth: -4.4% per year; rating input score 0; 6th percentile among comparable filings
  • Asset growth: -22.8% per year; rating input score 0; 1st percentile among comparable filings

Details

  • Where the money goes: 87.7% of revenue deployed · 84.7% of spending went to programs
  • Governance: 4 of 5 board members independent · 8 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $779K in reported program spending
  • Leadership: top reported pay $65K · 1 people listed
  • Consistency: 21 of 22 current checks pass · 1 finding to review
  • Schedules: 4 filed schedules
  • Filing history: 2 filing years from 2023 to 2024
  • Contacts: How to reach this organization
  • Money network: 2 filed money-flow records
  • 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 — Growth: Revenue growth scored 0/100.
  • High — Sustainability: Operating margin scored 27/100.
  • High — Sustainability: Total-asset coverage ratio scored 6/100.
  • Moderate — Transparency & Controls: Schedule D expense reconciliation did not reconcile in the filed values.
  • High — Growth: Asset growth scored 0/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 46/100.
  • Moderate — Sustainability: Officer compensation ratio scored 47/100.