Yeshiva Derech Hatorah Inc

Nonprofit profile at a glance

EIN
474902337
IRS 990 coverage
2017–2018
Forms available
Form 990 2018
Location
Chicago, IL, USA
Phone
7732995359
Rating
72
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Secondary, High School
Affiliation
Judaism

Reported finances

Revenue
$356,760
Expenses
$367,552
Assets
$52,226
Liabilities
$45,675

Source: IRS Form 990. Selected filing: tax year 2018. Amounts in USD.

Leadership & pay

3 people listed

Highest reported compensation

  • SHOLOM RUPP (DIRECTOR): $58,014 total reported compensation

Source: IRS Form 990. Selected filing: tax year 2018. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

To provide quality jewish education for teens and young adults by operating a private high school for the advancement of jewish and secular studies.

What it reported doing in 2018

Provide quality jewish education for teens and young adults

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.

The verdict

SUPPORTED - A large share of available resources goes toward mission work and the filed numbers largely add up. Some filing-based governance responses are negative or unanswered and fundraising costs are high for each dollar raised.

Rating breakdown

  • Financial Efficiency: 76
  • Transparency & Controls: 85
  • Accountability: 63
  • Sustainability: 22
  • Growth: 40

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 79.7%; rating input score 80
  • Program expense ratio: 77.3%; rating input score 77
  • Fundraising efficiency: $15.81 raised per $1 spent on fundraising; rating input score 54; 54th percentile among comparable filings

Transparency & Controls

  • Consistency checks: 90.9%; rating input score 91; 11th percentile among comparable filings
  • Pay-setting controls: Limited
  • Foreign activity oversight: Limited
  • Grant itemization coverage: Limited
  • Major donor itemization: Yes; rating input score 100
  • Related-party transparency: Limited

Accountability

  • Independent voting board: 66.7%; rating input score 67; 16th percentile among comparable filings
  • Governance controls: 4 of 9 controls in place; rating input score 57
    • Conflict-of-interest policy: Pass
    • Whistleblower policy: Fail
    • Document-retention policy: Fail
    • CEO compensation review process: Limited
    • Other executive compensation review process: Limited
    • Form 990 shared with the board: Pass
    • Board meeting minutes documented: Pass
    • Audit committee oversight: Missing
    • Independent financial-statement audit: Pass

Sustainability

  • Operating margin: -3%; rating input score 33; 33rd percentile among comparable filings
  • Total-asset coverage ratio: 0.14; rating input score 9; 9th percentile among comparable filings
  • Liabilities to assets ratio: 0.87; rating input score 7; 7th percentile among comparable filings
  • Officer compensation ratio: 15.8%; rating input score 25; 25th percentile among comparable filings

Growth

  • Program expense growth: -17.7% per year; rating input score 0; 8th percentile among comparable filings
  • Revenue growth: 0% per year; rating input score 100; 32nd percentile among comparable filings
  • Asset growth: -27.6% per year; rating input score 0; 3rd percentile among comparable filings

Details

  • Where the money goes: 79.7% of revenue deployed · 77.3% of spending went to programs
  • Governance: 2 of 3 board members independent · 4 of 9 filing controls reported
  • Programs: 1 filed program accomplishment · $284K in reported program spending
  • Leadership: top reported pay $58K · 3 people listed
  • Consistency: 25 of 26 current checks pass · 1 finding to review
  • Schedules: 5 filed schedules · includes major donors
  • Filing history: 2 filing years from 2017 to 2018
  • 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.

Key Signals

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

  • Review — Accountability: Governance controls: 2 of 6 not reported.
  • Review — Financial Efficiency: Fundraising efficiency scored 54/100.
  • High — Growth: Program expense growth scored 0/100.
  • Moderate — Sustainability: Operating margin scored 33/100.
  • High — Sustainability: Total-asset coverage ratio scored 9/100.
  • High — Growth: Asset growth scored 0/100.
  • Moderate — Transparency & Controls: Schedule D other liabilities reconciliation did not reconcile in the filed values.
  • High — Sustainability: Liabilities to assets ratio scored 7/100.
  • High — Sustainability: Officer compensation ratio scored 25/100.