Quick charity verification for American Petroleum Institute (EIN: 130433430)
Verdict: American Petroleum Institute shows mixed signals
65/100Mission Score
$268.0MRevenue
$109.9MAssets
3Red Flags
3Strengths
Red Flags
Consistent liabilities exceeding assets (e.g., $133.6M liabilities vs $122.9M assets in 2023)
Reported 0% officer compensation for a large organization, suggesting potential reporting ambiguities
Expenses frequently close to or exceeding revenue, indicating tight operating margins (e.g., $241.6M expenses vs $239.3M revenue in 2022)
Strengths
Consistent high revenue generation, exceeding $200 million annually
Long history of IRS 990 filings, indicating transparency in financial reporting
Substantial asset base, despite being outweighed by liabilities (e.g., $122.9M assets in 2023)
Spending Breakdown
How American Petroleum Institute allocates its funds across programs, administration, and fundraising.
70%
Program Spending
Below average — room for improvement
20%
Admin Costs
Reasonable — admin costs in check
10%
Fundraising
Within typical range
How to read this: Well-run charities typically spend 75% or more on programs, keep admin under 25%, and fundraising under 15%. A high program ratio means more of every dollar goes directly to the mission.
How to Interpret This Report
What Red Flags Mean
Red flags are potential warning signs identified by AI analysis of IRS 990 filings. They may indicate issues like declining revenue, high executive pay relative to program spending, lack of transparency, or governance concerns. A single red flag does not necessarily mean an organization is untrustworthy, but multiple flags warrant further investigation before donating.
What Mission Score Measures
The Mission Score (0-100) evaluates how effectively a nonprofit fulfills its stated purpose. It combines multiple factors: program spending efficiency (how much goes to programs vs. overhead), financial health and sustainability, governance quality, transparency in reporting, and consistency of operations over time. A score of 70+ indicates strong alignment with the organization’s mission.
Using This Data for Donation Decisions
Use this report as one input in your decision. Look at the overall Mission Score for a quick assessment, review red flags and strengths for specific concerns, check the spending breakdown to see where money goes, and compare executive compensation to the organization’s size. Consider viewing the full transparency report for deeper analysis, and always verify tax-exempt status with the IRS before making large donations.
Frequently Asked Questions about American Petroleum Institute
Is American Petroleum Institute a legitimate charity?
Based on AI analysis of IRS 990 filings, American Petroleum Institute (EIN: 130433430) shows mixed signals. Mission Score: 65/100. 3 red flags identified, 3 strengths noted.
Is American Petroleum Institute a good charity to donate to?
American Petroleum Institute has a Mission Score of 65/100. Revenue: $268.0M. Assets: $109.9M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for American Petroleum Institute?
The Employer Identification Number (EIN) for American Petroleum Institute is 130433430. This is the unique tax ID assigned by the IRS.
What is a Mission Score?
The Mission Score is a 0-100 rating that measures how effectively a nonprofit fulfills its stated mission. It factors in program spending efficiency, financial transparency, governance practices, and outcome reporting. Scores above 70 indicate strong mission alignment, 40-69 suggest mixed performance, and below 40 signals potential concerns.
How does American Petroleum Institute spend its money?
American Petroleum Institute allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify American Petroleum Institute's tax-exempt status?
You can verify American Petroleum Institute's tax-exempt status using EIN 130433430 on the IRS Tax Exempt Organization Search (TEOS) at apps.irs.gov/app/eos. You can also request copies of their Form 990 directly from the organization, as they are required by law to provide them upon request.
AI Transparency Report
The American Petroleum Institute (API) demonstrates consistent financial activity with annual revenues exceeding $200 million, reaching $267.5 million in 2023. While the organization generally operates with expenses close to or slightly above its revenue, as seen in 2022 where expenses of $241.6 million exceeded revenue of $239.3 million, it maintains substantial assets, reported at $122.9 million in 2023. A notable aspect of API's financial structure is its significant liabilities, which have consistently outweighed its assets in recent years, reaching $133.6 million in 2023 compared to $122.9 million in assets. This indicates a reliance on debt or other obligations to finance operations.
API's spending efficiency, based on the provided data, shows a pattern of high operational costs relative to its revenue. For instance, in 2023, expenses were $258.3 million against $267.5 million in revenue, suggesting a lean margin. The organization's transparency regarding executive compensation is high, with 0% officer compensation reported across all provided filings, which is unusual for an organization of this size and may indicate compensation is structured differently or not reported under 'officer compensation' in the provided summary. The consistent reporting of financial data over 13 periods indicates a commitment to regular disclosure.