Standard 6: Board Policy on Effectiveness - Have a board policy of assessing, no less than every two years, the organization's performance and effectiveness and of determining future actions required to achieve its mission.
The organization does not meet this Standard because its effectiveness assessment policy does not specify that this assessment will take place at least once every two years.
Standard 8: Program Service Expense Ratio - Spend at least 65% of its total expenses on program activities.
The organization does not meet this Standard because according to the organization's IRS Form 990-EZ for the fiscal year ended December 31, 2008, the organization spent $60,458 or 54% of its total expenses ($112,270) on program service activities. The organization told the BBB that a drastic decrease in donations in the summer and the cutting back on expenditures to proactively plan for the remainder of the year is to blame for this noncompliance finding. The organization went on to say that this was a one time occurance.
Standard 11: Financial Statements - Make available to all, on request, complete annual financial statements prepared in accordance with generally accepted accounting principles. When total annual gross income exceeds $250,000, these statements should be audited in accordance with generally accepted auditing standards. For charities whose annual gross income is less than $250,000, a review by a certified public accountant is sufficient to meet this standard. For charities whose annual gross income is less than $100,000, an internally produced, complete financial statement is sufficient to meet this standard.
This organization does not meet this Standard because it states it does not have financial statements that were reviewed by a certified public accountant (CPA). [A review is an accounting service providing some assurance to interested parties as to the reliability of financial data without the CPA conducting an examination in accordance with Generally Accepted Auditing Standards (GAAS).]
Standard 14: Budget - Have a board-approved annual budget for its current fiscal year, outlining projected expenses for major program activities, fund raising, and administration.
This organization does not meet this Standard because the budget provided by the organization does not clearly identify the projected amounts to be spent on each of the major program service activities. This organization has informed the BBB that it is working to comply with this Standard.