Martin Luther King Community Development Corporation
Standards Not Met
- 1
- 6
- 7
- 16
- 17
- 18
- 3
- 4
- 5
- 8
- 9
- 10
- 11
- 12
- 13
- 14
- 15
Standards Not Met
Standards Legend
- Meets Standards
- Standards Not Met
- Did Not Disclose
- Review In Progress
- Unable to Verify
Standards For Charity Accountability
Governance
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Board Oversight
Oversight of Operations and Staff: Standard 1
Description
Organizations shall have a board of directors that provides adequate oversight of the charity's operations and its staff. Indication of adequate oversight includes, but is not limited to, regularly scheduled appraisals of the CEO's performance, evidence of disbursement controls such as board approval of the budget, fundraising practices, establishment of a conflict of interest policy, and establishment of accounting procedures sufficient to safeguard charity finances.Martin Luther King Community Development Corporation does not meet this standard because:At time of assessment, a regular system of tracking expenses in Excel needed to be developed, and then also, for reporting to the board on financial status. Most accounting procedures coalesce around reporting to grantmakers, and routines need to be established for conveying similar information to board members.
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Board Size
Number of Board Members: Standard 2
Description
Soliciting organizations shall have a board of directors with a minimum of five voting members.The organization meets this standard.
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Board Meetings
Frequency and Attendance of Board Meetings: Standard 3
Description
An organization shall have a minimum of three evenly spaced meetings per year of the full governing body with a majority in attendance, with face-to-face participation. A conference call of the full board can substitute for one of the three meetings of the governing body. For all meetings, alternative modes of participation are acceptable for those with physical disabilities. -
Board Compensation
Compensated Board Members: Standard 4
Description
Not more than one or 10% (whichever is greater) directly or indirectly compensated person(s) serving as voting member(s) of the board. Compensated members shall not serve as the board's chair or treasurer. -
Conflict of Interest
Conflict of Interest: Standard 5
Description
No transaction(s) in which any board or staff members have material conflicting interests with the charity resulting from any relationship or business affiliation. Factors that will be considered when concluding whether or not a related party transaction constitutes a conflict of interest and if such a conflict is material, include, but are not limited to: any arm's length procedures established by the charity; the size of the transaction relative to like expenses of the charity; whether the interested party participated in the board vote on the transaction; if competitive bids were sought and whether the transaction is one-time, recurring or ongoing.
Measuring Effectiveness
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Effectiveness Policy
Board Policy on Effectiveness: Standard 6
Description
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.Martin Luther King Community Development Corporation does not meet this standard because:As of the time of assessment, Martin Luther King Community Development Corporation had not yet developed a policy on program effectiveness.
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Effectiveness Report
Board Approval of Written Report on Effectiveness: Standard 7
Description
Submit to the organization's governing body, for its approval, a written report that outlines the results of the aforementioned performance and effectiveness assessment and recommendations for future actions.Martin Luther King Community Development Corporation does not meet this standard because:In light of the lack of a policy from which to assess effectiveness, the Board of Directors did not receive a written report outlining its program evaluation results during the past year.
Finances
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Program Expenses
Program Service Expense Ratio: Standard 8
Description
Spend at least 65% of its total expenses on program activities. -
Fundraising Expenses
Fundraising Expense Ratio: Standard 9
Description
Spending should be no more than 35% of related contributions on fundraising. Related contributions include donations, legacies, and other gifts received as a result of fundraising efforts. -
Accumulating Funds
Ending Net Assets: Standard 10
Description
Avoid accumulating funds that could be used for current program activities. To meet this standard, the charity's unrestricted net assets available for use should not be more than three times the size of the past year's expenses or three times the size of the current year's budget, whichever is higher. -
Audit Report
Financial Statements: Standard 11
Description
Make available to all, on request, complete annual financial statements prepared in accordance with generally accepted accounting principles. When total annual gross income exceeds $1 million, these statements should be audited in accordance with generally accepted auditing standards. For charities whose annual gross income is less than $1 million, a review by a certified public accountant is sufficient to meet this standard. For charities whose annual gross income is less than $250,000, an internally produced, complete financial statement is sufficient to meet this standard. -
Detailed Expense Breakdown
Detailed Functional Breakdown of Expenses: Standard 12
Description
Include in the financial statements a breakdown of expenses (e.g., salaries, travel, postage, etc.) that shows what portion of these expenses was allocated to program, fundraising, and administrative activities. If the charity has more than one major program category, the schedule should provide a breakdown for each category. -
Accurate Expense Reporting
Accuracy of Expenses in Financial Statements: Standard 13
Description
Accurately report the charity's expenses, including any joint cost allocations, in its financial statements. For example, audited or unaudited statements which inaccurately claim zero fundraising expenses or otherwise understate the amount a charity spends on fundraising, and/or overstate the amount it spends on programs will not meet this standard. -
Budget Plan
Budget: Standard 14
Description
Have a board-approved annual budget for its current fiscal year, outlining projected expenses for major program activities, fundraising, and administration.
Fundraising & Info
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Truthful Materials
Misleading Appeals: Standard 15
Description
Have solicitations and informational materials, distributed by any means, that are accurate, truthful and not misleading, both in whole and in part. Appeals that omit a clear description of program(s) for which contributions are sought will not meet this standard. A charity should also be able to substantiate that the timing and nature of its expenditures are in accordance with what is stated, expressed, or implied in the charity's solicitations. -
Annual Report
Annual Report: Standard 16
Description
Have an annual report available to all, on request, that includes: (a) the organization's mission statement, (b) a summary of the past year's program service accomplishments, (c) a roster of the officers and members of the board of directors, (d) financial information that includes (i) total income in the past fiscal year, (ii) expenses in the same program, fundraising and administrative categories as in the financial statements, and (iii) ending net assets.Martin Luther King Community Development Corporation does not meet this standard because:In light of the lack of insight into cumulative financial information, an Annual Report could not yet be constructed for the organization for this review cycle. As that is improved upon for the next cycle, it is anticipated this can be readily resolved.
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Website Disclosures
Web Site Disclosures: Standard 17
Description
Include on any charity websites that solicit contributions, the same information that is recommended for annual reports, as well as the mailing address of the charity and electronic access to its most recent IRS Form 990.Martin Luther King Community Development Corporation does not meet this standard because:At time of assessment, organization’s financial disclosure information as specified by this standard was not available to donors at their website’s Donate page.
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Donor Privacy
Privacy for Written Appeals & Internet Privacy: Standard 18
Description
Address privacy concerns of donors by (a) providing in written appeals, at least annually, a means (e.g., such as a check off box) for both new and continuing donors to inform the charity if they do not want their name and address shared outside the organization, (b) providing a clear, prominent and easily accessible privacy policy on any of its websites that tells visitors (i) what information, if any, is being collected about them by the charity and how this information will be used, (ii) how to contact the charity to review personal information collected and request corrections, (iii) how to inform the charity (e.g., a check off box) that the visitor does not wish his/her personal information to be shared outside the organization, and (iv) what security measures the charity has in place to protect personal information.Martin Luther King Community Development Corporation does not meet this standard because:At time of assessment, a privacy policy meeting all of the criteria of this standard was not accessible on the organization's website.
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Cause Marketing Disclosures
Cause Related Marketing: Standard 19
Description
Clearly disclose how the charity benefits from the sale of products or services (i.e., cause-related marketing) that state or imply that a charity will benefit from a consumer sale or transaction. Such promotions should disclose, at the point of solicitation: (a) the actual or anticipated portion of the purchase price that will benefit the charity (e.g., 5 cents will be contributed to abc charity for every xyz company product sold), (b) the duration of the campaign (e.g., the month of October), (c) any maximum or guaranteed minimum contribution amount (e.g., up to a maximum of $200,000). -
Complaints
Complaints: Standard 20
Description
Respond promptly to and act on complaints brought to its attention by the BBB Wise Giving Alliance and/or local Better Business Bureaus about fundraising practices, privacy policy violations and/or other issues.The organization meets this standard.
Conclusion
Martin Luther King Community Development Corporation does not meet the following 6 Standards for Charity Accountability:
Standard 1: Oversight of Operations and Staff - Organizations shall have a board of directors that provides adequate oversight of the charity's operations and its staff. Indication of adequate oversight includes, but is not limited to, regularly scheduled appraisals of the CEO's performance, evidence of disbursement controls such as board approval of the budget, fundraising practices, establishment of a conflict of interest policy, and establishment of accounting procedures sufficient to safeguard charity finances.
Martin Luther King Community Development Corporation does not meet this standard because:At time of assessment, a regular system of tracking expenses in Excel needed to be developed, and then also, for reporting to the board on financial status. Most accounting procedures coalesce around reporting to grantmakers, and routines need to be established for conveying similar information to board members.
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.
Martin Luther King Community Development Corporation does not meet this standard because:As of the time of assessment, Martin Luther King Community Development Corporation had not yet developed a policy on program effectiveness.
Standard 7: Board Approval of Written Report on Effectiveness - Submit to the organization's governing body, for its approval, a written report that outlines the results of the aforementioned performance and effectiveness assessment and recommendations for future actions.
Martin Luther King Community Development Corporation does not meet this standard because:In light of the lack of a policy from which to assess effectiveness, the Board of Directors did not receive a written report outlining its program evaluation results during the past year.
Standard 16: Annual Report - Have an annual report available to all, on request, that includes: (a) the organization's mission statement, (b) a summary of the past year's program service accomplishments, (c) a roster of the officers and members of the board of directors, (d) financial information that includes (i) total income in the past fiscal year, (ii) expenses in the same program, fundraising and administrative categories as in the financial statements, and (iii) ending net assets.
Martin Luther King Community Development Corporation does not meet this standard because:In light of the lack of insight into cumulative financial information, an Annual Report could not yet be constructed for the organization for this review cycle. As that is improved upon for the next cycle, it is anticipated this can be readily resolved.
Standard 17: Web Site Disclosures - Include on any charity websites that solicit contributions, the same information that is recommended for annual reports, as well as the mailing address of the charity and electronic access to its most recent IRS Form 990.
Martin Luther King Community Development Corporation does not meet this standard because:At time of assessment, organization’s financial disclosure information as specified by this standard was not available to donors at their website’s Donate page.
Standard 18: Privacy for Written Appeals & Internet Privacy - Address privacy concerns of donors by (a) providing in written appeals, at least annually, a means (e.g., such as a check off box) for both new and continuing donors to inform the charity if they do not want their name and address shared outside the organization, (b) providing a clear, prominent and easily accessible privacy policy on any of its websites that tells visitors (i) what information, if any, is being collected about them by the charity and how this information will be used, (ii) how to contact the charity to review personal information collected and request corrections, (iii) how to inform the charity (e.g., a check off box) that the visitor does not wish his/her personal information to be shared outside the organization, and (iv) what security measures the charity has in place to protect personal information.
Martin Luther King Community Development Corporation does not meet this standard because:At time of assessment, a privacy policy meeting all of the criteria of this standard was not accessible on the organization's website.
The following 1 Standards for Charity Accountability were either not in effect or did not apply to the charity at the time of the evaluation:
Standard 19: Cause Related Marketing - Clearly disclose how the charity benefits from the sale of products or services (i.e., cause-related marketing) that state or imply that a charity will benefit from a consumer sale or transaction. Such promotions should disclose, at the point of solicitation: (a) the actual or anticipated portion of the purchase price that will benefit the charity (e.g., 5 cents will be contributed to abc charity for every xyz company product sold), (b) the duration of the campaign (e.g., the month of October), (c) any maximum or guaranteed minimum contribution amount (e.g., up to a maximum of $200,000).
The BBB Wise Giving Alliance requested but did not receive complete information from the organization and is unable to verify the organization's compliance with the following Standard(s) for Charity Accountability: 3, 4, 5, 8, 9, 10, 11, 12, 13, 14, 15
Martin Luther King Community Development Corporation meets the remaining 2 Standards for Charity Accountability.
Assessment performed by Greg Thompson, PhD CAP CFLE / Charity Review Director
Purpose
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Year, State Incorporated
2003, LA
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Stated Purpose
To improve the educational, residential and socio-economic needs of the community.
Programs
The Martin Luther King - Community Development Corporation typically initiates ten to twelve programs per year. This does not include extra programs solicited by other organizations to us. During the months of January-April the organization hires tutors in local Title 1 schools which encompasses six area schools. There are three elementary, one middle school and two high schools. All instructors are certified teachers and the teacher assistants have more than ten years experience in the field of education. The organization also supports senior citizens socialization meetings monthly, which is a great help to their social skills and needs. These meetings include a speaker, bingo games with prizes given and a nutritious meal for all participants. The organization offers other support to the Title 1 schools in the North Shreveport area such as clothing, school supplies, support for school extra curricular activities-ie. Band, JROTC, DECA, Basketball/Football and off campus trips to other states. There is a fund to help with families in need of groceries or other items when emergencies arise within the community. There is a fall community forum generally October with such topics as -Domestic Violence & Responding to Community Emergencies.The organization generally gives away 125 turkey baskets for Thankgiving and cooked dinners for the disabled and elderly. During Christmas children receive items such as coats, underwear, clothing, hats and gloves and taking the elderly shopping. Other organizations assist in this effort with toys and other items such as gift cards for the older children. There has also been support for bicycle drives as a contest for this area in the past. Several other organizations solicit partnerships with the MLK-CDC.
Martin Luther King Community Development Corporation program expenses were:
| Program Expenses | $0 |
Governance & Staff
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Board Size
9
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Paid Staff Size
1
Fundraising
Tax Status
This organization is tax-exempt under section 501(c)(3) of the Internal Revenue Code. It is eligible to receive contributions deductible as charitable donations for federal income tax purposes.
Financial
The following information is based on Martin Luther King Community Development Corporation's Audited financial statements for the fiscal year ending
Breakdown of Expenses
| Total Expenses: | $0 |
| Program Expenses | $0 |
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