Children’s Legacy Center Part 4: 36% Spent on Overhead
Written by Chriss W. Street
Children’s Legacy Center has not filed a timely 2023 IRS 990 financial disclosure and the charity spent 36% of charitable donations on overhead costs.
Charity Navigator calculates Overhead Ratios based on prior year IRS filings by charities, to reveal the percentage that a charity spent on overhead burden costs such as employee salaries, fundraising, rent, software licensing, energy bills; compared to the amount of mission-specific spending on direct charitable services and programming.
Coupled with other disclosure factors, Charity Navigator publishes a point score and awards up to Four Stars to help donors have the confidence to give if the charity aligns with your passions and values.
Three Shasta County not-for-profits that focus on children’s issues received Charity Navigator scores of 96% and Four Stars for the Good News Rescue Mission and One Safe Place;compared to 80% and Three Stars for the Children’s Legacy Center.
Good News Rescue Mission One Safe Place Children’s Legacy Center
The lower score for the Children’s Legacy Center is directly related to spending over 36% of donations on administration and overhead, versus just 8.5% for the Good News Rescue Missionand 18% One Safe Place.
The Good News Rescue Mission and One Safe Place both filed their 2023 IRS Form 990 financial disclosures before the May 15, 2024 deadline; versus the Children’s Legacy Center that five and a half months later has still not filed an IRS 990.
The Mountain Top Times informed the Children’s Legacy Center, aka Arch Collaborative, last night that we intended to publish an article on the Children’s Legacy Center not filing a timely IRS Form 990 for the year 2023 deadline by the May 15, 2024 deadline. The email was addressed to;
To Kiberly Johnson – CEO and Executive Director
To Erin Resner – Treasurer
The Mountaintop Times received the following responses that we publish without comment.
Good morning Mr. Street, I'm the Director of Finance here at ARCH Collaborative. I'm happy to clarify your understanding of our tax filing. Please see my responses below.
“1) Did Children's Legacy Center, aka Arch Collaborative, file a timely IRS
Form 990 for the year 2023 by May 15, 2024? As is common practice, our tax preparer filed an extension for our Form 990 prior to the original due date of May 15, 2024. Tax preparers commonly file extensions for their lower risk clients to balance the preparers' workload over the course of the year. The due date for filing the Form 990 was extended to November 15, 2024 (and has also been extended to this date over the past few years in the normal course of business). We have provided the necessary information to our tax preparers, and the Form 990 will be filed on its due date. Here's a link that might help: link to IRS website
2) If no, why did Children's Legacy Center, aka Arch Collaborative, not
file a timely IRS Form 990 for the year 2023 by May 15, 2024.N/A
3) If no, is Children's Legacy Center, aka Arch Collaborative, liable for a
financial penalty for not file a timely IRS Form 990 for the year 2023 by
May 15, 2024? None whatsoever as it is common for tax preparers to file extensions for their lower risk clients
4) If no, did the Children's Legacy Center, aka Arch Collaborative, make a
public disclosure of not filing a timely IRS Form 990 for the year 2023 by
May 15, 2024? N/A
5) Please explain why the link to "News and Info for the Children's Legacy
Center, aka Arch Collaborative, does not work. Thank you. I'm having trouble finding a bad link. Can you please point me to the site or page where you encountered it? I'll send it to our website manager for correction.
6) Please explain why the Children's Legacy Center, aka Arch Collaborative, untimely filed IRS Form 990 for the year 2022 on November 15, 2023. The 2022 Form 990 was filed on the extended due date of November 15, 2023. Our tax preparers commonly file tax forms on each form's respective due date.”