Is Engineering & Construction Risk Institute Inc Legit?
Quick charity verification for Engineering & Construction Risk Institute Inc (EIN: 113754657)
Verdict: Engineering & Construction Risk Institute Inc shows mixed signals
45/100Mission Score
$360KRevenue
$137KAssets
4Red Flags
2Strengths
Red Flags
Consistent operating deficits (e.g., $46,479 in 2022, $94,781 in 2021)
Significant decline in assets over recent years (from $478,495 in 2017 to $136,575 in 2022)
Declining revenue trend (from $956,042 in 2013 to $359,891 in 2022)
Unusually low or 0% officer compensation for an organization with significant expenses, which may obscure how leadership is compensated.
Strengths
No reported liabilities in the last two filing periods (2021, 2022)
Consistent reporting of 0% officer compensation, indicating resources are not being used for executive salaries.
Spending Breakdown
How Engineering & Construction Risk Institute Inc allocates its funds across programs, administration, and fundraising.
80%
Program Spending
Healthy — majority goes to mission
15%
Admin Costs
Reasonable — admin costs in check
5%
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 Engineering & Construction Risk Institute Inc
Is Engineering & Construction Risk Institute Inc a legitimate charity?
Based on AI analysis of IRS 990 filings, Engineering & Construction Risk Institute Inc (EIN: 113754657) shows mixed signals. Mission Score: 45/100. 4 red flags identified, 2 strengths noted.
Is Engineering & Construction Risk Institute Inc a good charity to donate to?
Engineering & Construction Risk Institute Inc has a Mission Score of 45/100. Revenue: $360K. Assets: $137K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Engineering & Construction Risk Institute Inc?
The Employer Identification Number (EIN) for Engineering & Construction Risk Institute Inc is 113754657. 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 Engineering & Construction Risk Institute Inc spend its money?
Engineering & Construction Risk Institute Inc allocates 80% to programs, 15% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Engineering & Construction Risk Institute Inc's tax-exempt status?
You can verify Engineering & Construction Risk Institute Inc's tax-exempt status using EIN 113754657 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 Engineering & Construction Risk Institute Inc (ECRI) demonstrates a concerning trend of declining revenue and consistent operating deficits over the past several years. In 2022, the organization reported revenue of $359,891 against expenses of $406,370, resulting in a deficit of $46,479. This continues a pattern seen in 2021 (revenue $299,925, expenses $394,706) and 2020 (revenue $400,000, expenses $430,063). The organization's assets have also significantly decreased, from a high of $478,495 in 2017 to $136,575 in 2022, indicating a depletion of reserves to cover ongoing operational shortfalls.
While the organization consistently reports 0% officer compensation, which is a positive indicator of resource allocation away from executive pay, the overall financial health is precarious. The sustained spending beyond revenue generation raises questions about long-term sustainability and the ability to fund its programs effectively without drawing down assets. The lack of liabilities in the most recent filings (2021 and 2022) is a positive sign regarding debt management, but it doesn't offset the underlying issue of insufficient revenue to cover expenses.
Given the consistent operating deficits and declining asset base, ECRI's financial stability appears to be weakening. While transparency regarding officer compensation is good, the organization needs to address its revenue generation and expense management to ensure its continued viability and program delivery.