Educare DC

“The form 990 was prepared by outside accountants. The board of directors then reviewed, commented and approved the form 990 before it was finalized and filed.”

“The conflict of interest policy addresses transactions and arrangements involving educare dc's directors, officers, members of any committee of educare dc's board of directors with authority to act on behalf of the board of directors, and educare dc's executive employees (e.g. President & ceo, vice president of finance & administration, and vice president of programs) and any other manager or supervisor identified by the board of directors or the president & ceo as exercising substantial influence over the operations of educare dc. The policy identifies a potential conflict of interest with respect to a transaction or arrangement involving educare dc whenever he or she, or any of his or her family: * receives compensation directly or indirectly from educare dc and the transaction or arrangement involves such compensation. * has or anticipates having any financial interest, including ownership interest, investment interest, or compensation arrangement. * management role-serves or anticipates serving as a director, trustee, or officer of any entity or individual that either: (1) sells goods or services to, or purchases services from educare dc, or (2) has any other transaction or arrangement with educare dc. * positions with grant applicant - serves or anticipates serving as a director, trustee, or officer of any entity that receives or seeks grant funding for educare, dc. * financial relationships with grant applicants-has or anticipates having a financial relationship, including as an employee or a paid consultant, with the grant applicant. * conflicts of interest are reviewed by the president of the board and presented to the board of directors. Persons who disclose actual and potential conflicts and/or whom it has been identified that a conflict of interest exist recuses himself or herself from voting on any transaction or arrangement in which he or she has a potential or actual conflict of interest, and is not present when any vote is taken. A conflict of interest policy for staff is also included in the employee handbook which is signed by staff each year.”

“The ceo's compensation arrangement has been approved in advance by our board of directors, which is composed of individuals who do not have a conflict of interest concerning the transaction. Prior to making its determination, the board obtained and relied upon appropriate comparable data. This analysis of data was originally based on the expertise of a retained search firm that utilized comparable market data for salaries and other compensation. Using comparable market data in may 2019, the board conducted an internal compensation review and confirmed that the ceo's salary was within the comparable rate. The board documented the basis for its determination at the time that it made the determination. A compensation study was performed for all positions in june of 2020 by marcum, and independent contractor.”

“The organization makes it governing documents, conflict of interest policy and financial statements available to the public.”

“Professional services: program service expenses 1,325,209. Management and general expenses 4,212. Fundraising expenses 76,833. Total expenses 1,406,254. Service delivery study services: program service expenses 169,651. Management and general expenses 0. Fundraising expenses 0. Total expenses 169,651. Temporary staffing: program service expenses 79,017. Management and general expenses 0. Fundraising expenses 0. Total expenses 79,017. Hr services: program service expenses 127,161. Management and general expenses 95,256. Fundraising expenses 0. Total expenses 222,417.”

“On may 4, 2020, educare received loan proceeds in the amount of $123,100 under the paycheck protection program. Under the coronavirus aid, relief, and economic security act (cares act), the promissory note must be used for certain expenditures within a 24-week period to ultimately be forgiven by the small business administration (sba). During the year ended june 30, 2021, educare expended and tracked the ppp funds for purposes outlined in the cares act guidance and met all conditions set forth for full forgiveness. On june 2, 2021, educare received notification the total amount of the ppp funds were forgiven by the sba. Accordingly, educare recorded revenue from extinguishment of debt during the year ended june 30, 2021 in the statement of activities and change in net assets. On march 24, 2021, educare received loan proceeds in the amount of $145,630 under the paycheck protection program. The promissory note bears interest at a rate of 1.00% per year and calls for monthly principal and interest payments amortized over the term of the promissory note with a deferral of payments until ten months after completion of the 24 week spending period. Under the coronavirus aid, relief, and economic security act (cares act), the promissory note may be forgiven by the sba in whole or in part. Educare intends to use the proceeds for purposes consistent with the paycheck protection program and believes that its use of the loan proceeds will meet the conditions for forgiveness of the loan. Educare intends to apply for forgiveness after completing the 24 week spending period. If forgiveness is granted, educare will record revenue from debt forgiveness of debt during the period that forgiveness was approved.”