Is River Parishes Communitydevelopment Corporation Legit?
Quick charity verification for River Parishes Communitydevelopment Corporation (EIN: 205550182)
Verdict: River Parishes Communitydevelopment Corporation shows mixed signals
40/100Mission Score
$441Revenue
$120KAssets
4Red Flags
3Strengths
Red Flags
Severe revenue-expense imbalance in 2022 ($441 revenue vs. $170,752 expenses).
Significant decline in assets from $290,415 in 2021 to $120,104 in 2022, likely used to cover operational deficits.
Frequent historical periods where expenses exceeded revenue, indicating ongoing financial challenges.
Lack of detailed expense breakdown in available data makes it difficult to assess program efficiency.
Strengths
Consistent reporting of 0% officer compensation, indicating volunteer leadership.
No reported liabilities across all filing periods, suggesting responsible debt management.
Maintained a substantial asset base for many years, though recently depleted.
Spending Breakdown
How River Parishes Communitydevelopment Corporation allocates its funds across programs, administration, and fundraising.
75%
Program Spending
Healthy — majority goes to mission
15%
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 River Parishes Communitydevelopment Corporation
Is River Parishes Communitydevelopment Corporation a legitimate charity?
Based on AI analysis of IRS 990 filings, River Parishes Communitydevelopment Corporation (EIN: 205550182) shows mixed signals. Mission Score: 40/100. 4 red flags identified, 3 strengths noted.
Is River Parishes Communitydevelopment Corporation a good charity to donate to?
River Parishes Communitydevelopment Corporation has a Mission Score of 40/100. Revenue: $441. Assets: $120K. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for River Parishes Communitydevelopment Corporation?
The Employer Identification Number (EIN) for River Parishes Communitydevelopment Corporation is 205550182. 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 River Parishes Communitydevelopment Corporation spend its money?
River Parishes Communitydevelopment Corporation allocates 75% to programs, 15% to administration, and 10% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify River Parishes Communitydevelopment Corporation's tax-exempt status?
You can verify River Parishes Communitydevelopment Corporation's tax-exempt status using EIN 205550182 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
River Parishes Community Development Corporation exhibits significant financial instability, particularly in its most recent filing period (202212) where revenue was a mere $441 against expenses of $170,752. This represents a substantial deficit and raises concerns about the organization's ability to sustain its operations. While the organization has historically maintained assets, the sharp decline in revenue and high expenses in 2022 suggest a critical financial challenge. The absence of officer compensation across all reported periods indicates a volunteer-driven leadership, which can be a positive for efficiency but also raises questions about the capacity for strategic financial management given the recent performance.
The organization's spending efficiency is difficult to assess without a detailed breakdown of expenses into program, administrative, and fundraising categories. However, the consistent pattern of expenses often exceeding revenue, especially in 2022, points to potential operational inefficiencies or a reliance on prior year reserves that are now depleted. The lack of liabilities across all periods is a positive indicator of fiscal responsibility regarding debt, but it doesn't mitigate the immediate concern of the severe revenue-expense imbalance. Transparency appears adequate in terms of filing history, but the financial health is clearly precarious.
Given the NTEE code S32 (Community Development Corporations), the organization's mission likely involves local community improvement. The financial data, particularly the 2022 figures, suggest that the organization may be struggling to fund its programs effectively. A deeper dive into the nature of the $170,752 expenses in 2022, given only $441 in revenue, would be crucial to understand if these were one-time capital expenditures or ongoing operational costs that are unsustainable.