Is Rochester Downtown Development Corporation Legit?
Quick charity verification for Rochester Downtown Development Corporation (EIN: 161081958)
Verdict: Rochester Downtown Development Corporation appears trustworthy
85/100Mission Score
$2.7MRevenue
$3.6MAssets
1Red Flags
5Strengths
Red Flags
Consistent 0% officer compensation for an organization with nearly $1.9M in revenue may warrant further investigation into how leadership is compensated or if key roles are entirely volunteer-based, as this is atypical for an organization of this scale.
Strengths
Significant and consistent revenue growth, increasing from $610,003 in 2019 to $1,890,890 in 2023.
Strong asset accumulation, growing from $480,598 in 2019 to $2,609,582 in 2023, indicating financial stability.
Positive net asset position maintained and growing across all reported years, demonstrating sound financial management.
Expenses generally well-covered by revenue, with a positive net income in most recent years (e.g., $214,349 in 2023).
Consistent reporting of 0% officer compensation, suggesting a high dedication of resources to program activities.
Spending Breakdown
How Rochester Downtown Development Corporation allocates its funds across programs, administration, and fundraising.
85%
Program Spending
Healthy — majority goes to mission
10%
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 Rochester Downtown Development Corporation
Is Rochester Downtown Development Corporation a legitimate charity?
Based on AI analysis of IRS 990 filings, Rochester Downtown Development Corporation (EIN: 161081958) appears trustworthy. Mission Score: 85/100. 1 red flag identified, 5 strengths noted.
Is Rochester Downtown Development Corporation a good charity to donate to?
Rochester Downtown Development Corporation has a Mission Score of 85/100. Revenue: $2.7M. Assets: $3.6M. Review the full transparency report for detailed spending breakdown and executive compensation analysis.
What is the EIN for Rochester Downtown Development Corporation?
The Employer Identification Number (EIN) for Rochester Downtown Development Corporation is 161081958. 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 Rochester Downtown Development Corporation spend its money?
Rochester Downtown Development Corporation allocates 85% to programs, 10% to administration, and 5% to fundraising. Healthy nonprofits typically spend 75%+ on programs.
How can I verify Rochester Downtown Development Corporation's tax-exempt status?
You can verify Rochester Downtown Development Corporation's tax-exempt status using EIN 161081958 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 Rochester Downtown Development Corporation (RDDC) demonstrates a generally healthy financial trajectory, with significant growth in both revenue and assets over the past five years. Revenue has increased from $610,003 in 2019 to $1,890,890 in 2023, indicating expanding operations and support. The organization consistently maintains a positive net asset position, growing from $379,387 in 2019 to $1,833,150 in 2023 (Assets minus Liabilities). Spending efficiency appears strong, as expenses in most recent years are well-covered by revenue, with the exception of 2022 where expenses slightly exceeded revenue ($1,404,228 vs. $1,353,094). The consistent reporting of 0% officer compensation across all available filings suggests a volunteer-led or very lean executive structure, which is a positive indicator for donor confidence and resource allocation directly to mission-related activities. The organization's financial health appears robust, supporting its mission of downtown development.