American Correctional Association

American Correctional Association shows fluctuating financial performance with a 2023 deficit and consistent 0% reported officer compensation.

EIN: 131977456 · Alexandria, VA · NTEE: I30C · Updated: 2026-03-28

$14.8MRevenue
$10.5MGross Revenue
$15.8MAssets
65/100Mission Score (Good)
I30C

Is American Correctional Association Legit?

Some Concerns

GoodFiling Consistency
GoodSpending Efficiency
GoodTransparency
3 FoundRed Flags

Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →

American Correctional Association directs 70% of its spending to programs. This meets the industry benchmark of 65% for efficient nonprofits.

About American Correctional Association

American Correctional Association (EIN: 131977456) is a nonprofit organization based in Alexandria, VA, classified under NTEE code I30C. The organization reported total revenue of $14.8M and total assets of $15.8M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of American Correctional Association's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.

Organization Overview

83Years Operating
LargeSize Classification
13Years of Filings
MixedRevenue Trajectory

American Correctional Association is a large nonprofit that has been operating for 83 years, with 13 years of IRS 990 filings on record (2011–2023). Revenue has grown at a compound annual rate of 1.0%.

Key Financial Metrics (2023)

From the most recent IRS 990 filing on record:

Total Revenue$10.1M
Total Expenses$11.3M
Surplus / Deficit$-1,232,409
Total Assets$15.9M
Total Liabilities$9.4M
Net Assets$6.6M
Operating Margin-12.2%
Debt-to-Asset Ratio58.8%
Months of Reserves16.8 months

Financial Health Grade: C

In 2023, American Correctional Association reported a deficit of $1.2M with expenses exceeding revenue, holds 16.8 months of operating reserves (strong position), has a debt-to-asset ratio of 58.8% (high leverage).

Financial Trends

Over 13 years of filings (2011–2023), American Correctional Association's revenue has grown at a compound annual growth rate (CAGR) of 1.0%.

YearRevenue ChangeExpense ChangeAsset Change
2023+5.4%+45.1%-11.9%
2022+73.4%+2.6%+21.3%
2021+0.0%+0.0%+0.0%
2020-45.8%-27.9%-4.1%
2019+7.2%+11.5%-0.2%

IRS Tax-Exempt Classification

IRS Classification Codes2000
IRS Ruling Date1943

Classification data from ProPublica Nonprofit Explorer. Additional BMF data may be available after enrichment.

AI Transparency Report

The American Correctional Association (ACA) demonstrates a consistent operational scale, with revenues generally fluctuating between $9 million and $10 million in recent years, though there was a dip to around $5.5 million in 2020 and 2021, followed by a strong recovery to over $10 million in 2023. The organization's assets have remained relatively stable, hovering around $15-16 million, indicating a solid financial foundation. However, a notable point is the consistent reporting of 0% for officer compensation across all available filings, which warrants further investigation as it could indicate compensation is reported under different categories or that key leadership roles are genuinely unpaid, which is unusual for an organization of this size. Spending efficiency appears to be a mixed bag. In 2023, expenses ($11,339,375) exceeded revenue ($10,106,966), resulting in a deficit. This contrasts with 2022, where revenue ($9,589,453) comfortably exceeded expenses ($7,812,275). The organization's liabilities are substantial, often exceeding 60% of total assets, which could indicate reliance on debt or deferred revenue. The lack of detailed functional expense breakdowns in the provided data makes a precise assessment of program, administrative, and fundraising efficiency challenging without deeper access to the full 990 forms. Transparency regarding executive compensation is a concern due to the consistent 0% reporting. While the organization files its 990s regularly, the absence of this key data point in the summary provided limits a full understanding of its compensation practices. Overall, while the ACA maintains a stable asset base and has shown revenue recovery, the deficit in 2023 and the ambiguity around executive compensation are areas that could benefit from greater clarity.

Mission Effectiveness Score

NonprofitSpending's AI analysis rates American Correctional Association with a Mission Score of 65 out of 100 (Good). This score reflects the organization's overall financial transparency, program spending efficiency, and governance indicators derived from IRS 990 public filings.

Spending Breakdown

According to IRS 990 filings, American Correctional Association allocates its expenses as follows: admin: 20%, programs: 70%, fundraising: 10%. Approximately 70% goes to programs, indicating moderate mission focus.

Key Financial Metrics (2023)

From the most recent IRS 990 filing on record:

$10.1MTotal Revenue
$11.3MTotal Expenses
$15.9MTotal Assets
$9.4MTotal Liabilities
$6.6MNet Assets

Executive Compensation Analysis

The consistent reporting of 0% for officer compensation across all available filings is highly unusual for an organization with annual revenues exceeding $10 million and warrants further scrutiny, as it suggests compensation may be categorized differently or not fully disclosed in this summary data.

Executive compensation data is sourced from IRS 990 filings, which require nonprofits to disclose the compensation of officers, directors, trustees, and key employees. NonprofitSpending analyzes this data relative to the organization's total revenue and sector benchmarks to assess whether executive pay is reasonable.

Red Flags

The following concerns were identified during AI analysis of American Correctional Association's IRS 990 filings:

Strengths

The following positive indicators were identified for American Correctional Association:

Frequently Asked Questions about American Correctional Association

Is American Correctional Association a legitimate charity?

Based on AI analysis of IRS 990 filings, American Correctional Association (EIN: 131977456) some concerns. Mission Score: 65/100. 3 red flags identified, 3 strengths noted.

How does American Correctional Association spend its money?

American Correctional Association directs 70% of its spending to programs and services. The remaining budget covers administration and fundraising costs.

Are donations to American Correctional Association tax-deductible?

American Correctional Association is registered as a tax-exempt nonprofit (EIN: 131977456). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.

Why is officer compensation consistently reported as 0% across all filings?

The provided data consistently shows 0% for officer compensation. This is highly unusual for an organization of this size and could indicate that compensation is reported under different expense categories, or that the summary data provided does not capture the full picture from the IRS 990 forms.

What caused the significant increase in expenses in 2023 ($11,339,375) compared to 2022 ($7,812,275)?

Expenses increased by over $3.5 million from 2022 to 2023, leading to a deficit in 2023. Without a detailed breakdown of expenses, it's unclear if this was due to increased program activities, administrative costs, or other factors.

How does the organization manage its substantial liabilities, which often exceed 60% of its assets?

Liabilities have consistently been high, for example, $9,356,232 in 2023 against $15,906,528 in assets. Understanding the nature of these liabilities (e.g., deferred revenue, debt) is crucial for assessing financial risk.

Filing History

IRS 990 filing history for American Correctional Association showing financial trends over 13 years of public records:

Over 13 years of IRS 990 filings (2011–2023), American Correctional Association's revenue has grown by 13.2%, moving from $8.9M to $10.1M. Total assets increased by 17.8% over the same period, from $13.5M to $15.9M. Total functional expenses rose by 49.5%, from $7.6M to $11.3M. In its most recent filing year (2023), American Correctional Association reported a deficit of $1.2M, with expenses exceeding revenue. The organization holds $9.4M in liabilities against $15.9M in assets (debt-to-asset ratio: 58.8%), resulting in net assets of $6.6M.

YearRevenueExpensesAssetsLiabilitiesOfficer Comp. %PDF
2023 $10.1M $11.3M $15.9M $9.4M
2022 $9.6M $7.8M $18.1M $12.1M View 990
2021 $5.5M $7.6M $14.9M $11.1M View 990
2020 $5.5M $7.6M $14.9M $11.1M
2019 $10.2M $10.6M $15.5M $9.7M View 990
2018 $9.5M $9.5M $15.6M $9.4M View 990
2017 $9.9M $9.3M $16.0M $9.9M View 990
2016 $9.4M $9.2M $15.4M $10.1M View 990
2015 $9.2M $8.8M $15.1M $10.1M View 990
2014 $9.0M $8.0M $15.1M $10.3M View 990
2013 $9.2M $9.0M $14.8M $10.9M View 990
2012 $9.4M $8.4M $14.7M $11.1M View 990
2011 $8.9M $7.6M $13.5M $11.4M View 990

Year-by-Year Financial Summary

Data Sources and Methodology

This transparency report for American Correctional Association is generated by NonprofitSpending's AI analysis engine. The data is sourced from publicly available IRS 990 filings accessed through the ProPublica Nonprofit Explorer API and IRS electronic filing records. The Mission Score, spending breakdown, and other analytical insights are produced by artificial intelligence and should be used as one of multiple factors when evaluating a nonprofit organization.

IRS 990 forms are annual information returns that most tax-exempt organizations must file with the IRS. These forms provide detailed financial information including revenue, expenses, assets, liabilities, and compensation of officers. NonprofitSpending processes this data to provide accessible transparency reports for donors, researchers, and the general public.

Disclaimer

AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.

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