Watermark for Kids Inc

Nonprofit profile at a glance

EIN
860749388
IRS 990 coverage
2021–2024
Forms available
Form 990 2024, Form 990-EZ 2020, Form 990-T 2020
Location
Tucson, AZ, USA
Phone
5207974000
Rating
81
Verdict
STRONG
Rating confidence
Moderate
Sector
Nursing, Convalescent Facilities

Official website

Reported finances

Revenue
$227,418
Expenses
$212,404
Assets
$820,764
Liabilities
$13,530

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

Leadership & pay

13 people listed

Executive titles in this filing

  • DEB PENN (PRESIDENT)

Highest reported compensation

  • RACHEL MCCOY (EXECUTIVE DI): $84,725 total reported compensation

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

Overview

Mission

Watermark for kids is a national non-profit organization committed to empowering underserved kids and reducing barriers so that all kids can thrive. We're driven by the fundamental belief that all children have an innate greatness and deserve to have equitable opportunities regardless of their race, ethnicity, gender, socioeconomic status, disability, sexual orientation or religious affiliations. We help kids ages 6-22 access life- changing opportunities so they can explore their passions and make a positive difference in the world.

What it reported doing in 2024

The organization is dedicated to favorably impacting the individual lives and futures of underserved children (those not typucally served by other agencies) primarly in and around cities containing watermark retirement communities. The organization will conduct programs onsite at the communities, including fundraisers and other activities.

Operating model

Revenue model
Donor-supported. 89% of the money available for current operations came from contributions and gifts.
Distribution model
Hybrid. The nonprofit split its reported program spending across 52% for direct work, and 48% for grants.

The verdict

STRONG - A large share of available resources goes toward mission work and the filed numbers largely add up. The filing does not identify recipients for some grant dollars and some filing-based governance responses are negative or unanswered.

Rating breakdown

  • Financial Efficiency: 85
  • Transparency & Controls: 76
  • Accountability: 84
  • Sustainability: 56
  • Growth: 100

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 93.2%; rating input score 93
  • Program expense ratio: 98.8%; rating input score 99
  • Fundraising efficiency: Limited

Transparency & Controls

  • Consistency checks: 92.3%; rating input score 92; 22nd percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: 48.2%; rating input score 48; 41st 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; 63rd percentile among comparable filings
  • Governance controls: 5 of 8 controls in place; rating input score 62
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Pass
    • Document-retention policy: Pass
    • CEO compensation review process: NotApplicable
    • Other executive compensation review process: Fail
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Fail

Sustainability

  • Operating margin: 6.6%; rating input score 54; 54th percentile among comparable filings
  • Total-asset coverage ratio: 3.86; rating input score 74; 74th percentile among comparable filings
  • Liabilities to assets ratio: 0.02; rating input score 42; 42nd percentile among comparable filings
  • Officer compensation ratio: 4%; rating input score 34; 34th percentile among comparable filings

Growth

  • Program expense growth: 30.9% per year; rating input score 100; 91st percentile among comparable filings
  • Revenue growth: 10.2% per year; rating input score 100; 73rd percentile among comparable filings
  • Asset growth: 16.7% per year; rating input score 100; 80th percentile among comparable filings

Details

  • Where the money goes: 93.2% of revenue deployed · 98.8% of spending went to programs
  • Governance: 12 of 12 board members independent · 5 of 8 filing controls reported
  • Programs: 1 filed program accomplishment · $210K in reported program spending
  • Leadership: top reported pay $85K · 13 people listed
  • Consistency: 18 of 19 current checks pass · 1 finding to review
  • Schedules: 5 filed schedules · includes major donors and grants
  • Filing history: 4 filing years from 2021 to 2024
  • Contacts: How to reach this organization
  • Money network: 5 filed money-flow records
  • Related organizations: 5 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 — Transparency & Controls: Grant itemization coverage scored 48/100.
  • Review — Accountability: Governance controls: 2 of 7 not reported.
  • Review — Sustainability: Operating margin scored 54/100.
  • Review — Transparency & Controls: Domestic grant itemization did not reconcile in the filed values.
  • Moderate — Sustainability: Officer compensation ratio scored 34/100.
  • Moderate — Sustainability: Liabilities to assets ratio scored 42/100.