Is Parks Foundation Legit?

Red Flags

Consistent operating deficits: Revenue consistently falls short of expenses in historical filings (e.g., 2023 revenue $19,039 vs. expenses $161,181).
Declining asset base: Assets have decreased from $3,768,962 in 2015 to $2,592,515 in 2023, indicating unsustainable spending.
Significant discrepancy in latest revenue vs. historical: The reported 'Latest Revenue' of $2,164,467 is an outlier compared to historical annual revenues, raising questions about its source and sustainability.

Spending Breakdown

How Parks Foundation 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 Parks Foundation

Is Parks Foundation a legitimate charity?

Based on AI analysis of IRS 990 filings, Parks Foundation (EIN: 200423443) shows mixed signals. Mission Score: 45/100. 3 red flags identified, 2 strengths noted.

Is Parks Foundation a good charity to donate to?

Parks Foundation has a Mission Score of 45/100. Revenue: $2.2M. Assets: $4.3M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.

What is the EIN for Parks Foundation?

The Employer Identification Number (EIN) for Parks Foundation is 200423443. 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 Parks Foundation spend its money?

Parks Foundation allocates 70% to programs, 20% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.

How can I verify Parks Foundation's tax-exempt status?

You can verify Parks Foundation's tax-exempt status using EIN 200423443 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 Parks Foundation exhibits a concerning financial trend with consistently low revenue relative to expenses in recent years. For example, in 2023, revenue was only $19,039 against expenses of $161,181, indicating a significant operating deficit. This pattern of spending down assets is evident in the decline from $3,768,962 in 2015 to $2,592,515 in 2023. While the organization reports zero officer compensation across all filings, which is a positive for transparency regarding executive pay, the overall financial sustainability is questionable given the persistent operational losses.

The organization's latest reported revenue of $2,164,467 appears to be an anomaly compared to its historical filings, which consistently show revenues in the tens of thousands. This discrepancy warrants further investigation to understand if there was a significant one-time event or a change in reporting. Without this context, it's difficult to accurately assess current financial health. However, based on the consistent historical data, the foundation has been operating at a deficit, relying on its asset base rather than generating sufficient income to cover its operational costs.

Given the historical data, the Parks Foundation's spending efficiency is low, as it consistently spends more than it brings in through revenue. The lack of detailed expense breakdowns in the provided data makes it challenging to assess program efficiency versus administrative or fundraising costs. However, the consistent decline in assets suggests that the organization is not financially sustainable under its historical operating model. The zero officer compensation is a strong point for transparency, but it doesn't offset the broader financial concerns.

Verdict: Parks Foundation shows mixed signals