Quick charity verification for Arizona Childrens Legacy (EIN: 204856760)
Verdict: Arizona Childrens Legacy has notable concerns
20/100Mission Score
$30KRevenue
$0Assets
4Red Flags
1Strengths
Red Flags
Severe financial instability with a large deficit ($326,287) in the latest period (202009).
Complete depletion of assets from over $1.8 million to $0 by 202009.
Consistent pattern of expenses exceeding revenue in multiple periods, indicating unsustainable operations.
Significant decline in revenue from a peak of $547,732 in 201809 to $29,971 in 202009.
Strengths
No reported officer compensation across all filings, indicating a potentially volunteer-led or very lean executive structure.
Spending Breakdown
How Arizona Childrens Legacy 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 Arizona Childrens Legacy
Is Arizona Childrens Legacy a legitimate charity?
Based on AI analysis of IRS 990 filings, Arizona Childrens Legacy (EIN: 204856760) has notable concerns. Mission Score: 20/100. 4 red flags identified, 1 strength noted.
Is Arizona Childrens Legacy a good charity to donate to?
Arizona Childrens Legacy has a Mission Score of 20/100. Revenue: $30K. Assets: $0. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Arizona Childrens Legacy?
The Employer Identification Number (EIN) for Arizona Childrens Legacy is 204856760. 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 Arizona Childrens Legacy spend its money?
Arizona Childrens Legacy allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Arizona Childrens Legacy's tax-exempt status?
You can verify Arizona Childrens Legacy's tax-exempt status using EIN 204856760 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
Arizona Childrens Legacy exhibits significant financial instability, particularly in its most recent filing period (202009) where it reported revenue of $29,971 against expenses of $356,258, resulting in a substantial deficit. This follows a trend of declining revenue from a peak of $547,732 in 201809. The organization's assets have also dramatically decreased from over $1.8 million in earlier periods to $0 in 202009, indicating a potential liquidation or severe financial distress. The lack of reported officer compensation across all filings suggests a volunteer-led or very lean executive structure, which could be a positive for efficiency if other expenses were controlled. However, the overall financial picture raises serious concerns about its long-term viability and ability to sustain programs.
Spending efficiency is difficult to fully assess without a detailed breakdown of expenses into program, administrative, and fundraising categories, which is not provided in the summary data. However, the consistent pattern of expenses often exceeding revenue, especially the massive deficit in 202009, suggests poor financial management or a significant loss of funding. The complete depletion of assets further complicates any assessment of efficiency, as there are no longer resources to manage. Transparency regarding the reasons for the asset depletion and the large deficit would be crucial for understanding the organization's current state.
The organization's financial health appears to be in critical condition, with zero assets and a large deficit in its latest filing. While the absence of officer compensation is a positive for transparency regarding executive pay, the overall financial trajectory and lack of detailed spending allocation make it challenging to fully evaluate its operational efficiency and program impact. Further investigation into the nature of the expenses and the reasons for the asset decline would be necessary for a comprehensive understanding.