Civic Intelligence

Ace Charter School Foundation Inc.

990 • Fiscal year 2016 • EIN 45-1606949

Jul 01, 2015 to Jun 30, 2016 • Filed on Feb 07, 2017

1100 Shasta Avenue 250San Jose, CA 95126

(408) 295-6008

Siviq Scores

Precomputed percentiles for this filing year versus similar nonprofits in the same peer cohort.

Liabilities / Assets

88th percentile

0.84x

Higher debt load relative to assets than 88% of similar nonprofits.

2016 filings • 501(c)3 • $1M-$5M nonprofits • Source year 2016

Liabilities / Revenue

97th percentile

7.87x

Higher debt load relative to revenue than 97% of similar nonprofits.

2016 filings • 501(c)3 • $1M-$5M nonprofits • Source year 2016

Net Margin

19th percentile

-14%

Higher net margin than 19% of similar nonprofits.

2016 filings • 501(c)3 • $1M-$5M nonprofits • Source year 2016

Top Officer Pay

89th percentile

$193,992

Higher top officer pay than 89% of similar nonprofits.

Top officer pay equals 40.0% of source-year revenue.

2016 filings • 501(c)3 • $1M-$5M nonprofits • Source year 2016

Asset Growth

30th percentile

-2.9%

Faster asset growth than 30% of similar nonprofits.

2016 filings • 501(c)3 • $1M-$5M nonprofits • Annualized from 2015 to 2016

Revenue Growth

42nd percentile

0.0%

Faster revenue growth than 42% of similar nonprofits.

2016 filings • 501(c)3 • $1M-$5M nonprofits • Annualized from 2015 to 2016

Assets

Down

$4,554,261

Down $137,598 (-2.9%) from 2015

Net Assets

Down

$738,648

Down $65,660 (-8.2%) from 2015

Liabilities

Down

$3,815,613

Down $71,938 (-1.9%) from 2015

Revenue

Up

$485,025

Up $13 (+0.0%) from 2015

Expenses

Down

$550,685

Down $22,952 (-4.0%) from 2015

Net Income

Up

-$65,660

Up $22,965 (+26%) from 2015

Historical Trend

Balance Sheet Trend

The highlighted filing sits inside the broader history for assets, liabilities, and net assets.

$20M$15M$10M$5.0M$0Assets 2013: $4,830,128Liabilities 2013: $3,801,834Net Assets 2013: $1,028,2942013Assets 2014: $4,631,705Liabilities 2014: $3,682,022Net Assets 2014: $949,6832014Assets 2015: $4,691,859Liabilities 2015: $3,887,551Net Assets 2015: $804,3082015Assets 2016: $4,554,261Liabilities 2016: $3,815,613Net Assets 2016: $738,6482016Assets 2017: $14,882,699Liabilities 2017: $13,774,129Net Assets 2017: $1,108,5702017Assets 2018: $14,494,588Liabilities 2018: $12,844,110Net Assets 2018: $1,650,4782018Assets 2019: $14,718,290Liabilities 2019: $13,086,413Net Assets 2019: $1,631,8772019Assets 2020: $14,914,808Liabilities 2020: $13,022,804Net Assets 2020: $1,892,0042020Assets 2021: $14,437,848Liabilities 2021: $12,866,004Net Assets 2021: $1,571,8442021Assets 2022: $13,179,769Liabilities 2022: $11,996,259Net Assets 2022: $1,183,5102022Assets 2023: $17,005,425Liabilities 2023: $16,154,841Net Assets 2023: $850,5842023Assets 2024: $16,482,199Liabilities 2024: $15,692,758Net Assets 2024: $789,4412024Assets 2025: $15,926,923Liabilities 2025: $15,219,587Net Assets 2025: $707,3362025

Highlighted filing

2016

Assets$4,554,261
Liabilities$3,815,613
Net Assets$738,648

Operations Trend

Revenue, expenses, and net income across loaded years, with this filing highlighted.

$2.0M$1.0M$0-$1.0MRevenue 2013: $422,858Expenses 2013: $395,353Net Income 2013: $27,5052013Revenue 2014: $485,032Expenses 2014: $563,643Net Income 2014: -$78,6112014Revenue 2015: $485,012Expenses 2015: $573,637Net Income 2015: -$88,6252015Revenue 2016: $485,025Expenses 2016: $550,685Net Income 2016: -$65,6602016Revenue 2017: $1,371,165Expenses 2017: $1,001,243Net Income 2017: $369,9222017Revenue 2018: $1,115,210Expenses 2018: $1,015,636Net Income 2018: $99,5742018Revenue 2019: $1,287,579Expenses 2019: $1,332,658Net Income 2019: -$45,0792019Revenue 2020: $1,800,088Expenses 2020: $1,539,961Net Income 2020: $260,1272020Revenue 2021: $1,235,464Expenses 2021: $1,555,624Net Income 2021: -$320,1602021Revenue 2022: $1,143,501Expenses 2022: $1,531,835Net Income 2022: -$388,3342022Revenue 2023: $1,044,509Expenses 2023: $1,377,435Net Income 2023: -$332,9262023Revenue 2024: $1,317,886Expenses 2024: $1,379,029Net Income 2024: -$61,1432024Revenue 2025: $1,284,056Expenses 2025: $1,366,161Net Income 2025: -$82,1052025

Highlighted filing

2016

Revenue$485,025
Expenses$550,685
Net Income-$65,660
Jump To
Filing Snapshot
Filing Period
Jul 1, 2015 to Jun 30, 2016
Signed
Feb 7, 2017
Return Version
2015v3.0
Gross Receipts
$485,025
Mission and Program Overview

Mission

To provide facilities, operational and other support to ace charter schools.

The primary purposes of the corporation are to facilitate the development of charter schools; to lease, own, manage, and maintain an educational institution; to provide charter school facilities and operational and other support to charter schools; and to provide and otherwise obtain or assist in obtaining charter school financing. Additionally, the corporation may engage in any activities that are reasonably related to or in furtherance of its stated charitable and public purposes, or in any other charitable activities.

Balance Sheet Detail
LineBeginningEndChange
Assets
Land, Buildings, and Equipment, Net$4,509,490$4,472,576▼ $36,914
Cash and Non-Interest-Bearing Accounts$143,811$54,377▼ $89,434
Prepaid Expenses and Deferred Charges$38,558$27,308▼ $11,250
Total Assets$4,691,859$4,554,261▼ $137,598
Liabilities
Mortgage Notes Payable Secured by Investment Property$3,829,801$3,734,726▼ $95,075
Accounts Payable and Accrued Expenses$57,750$57,417▼ $333
Other Liabilities-$23,470-
Total Liabilities$3,887,551$3,815,613▼ $71,938
Net Assets / Fund Balance
Unrestricted Net Assets$804,308$738,648▼ $65,660
Total Net Assets Fund Balance$804,308$738,648▼ $65,660
Total Liabilities and Net Assets / Fund Balance$4,691,859$4,554,261▼ $137,598

Asset Categories

AssetBook ValueDepreciationBasis
Buildings$4,472,576$558,538$5,031,114
Compensation and Service Providers

Employees

NameTitleFull / Part TimeOtherTotal
Greg LippmanExecutive DiFT$193,992$193,992
Naganath MahalinganDirector ofFT$85,941$85,941
Michael AbbottDirector ofFT$81,731$81,731

Board Members and Trustees

Revenue and Support

Revenue Composition

Contributions and Grants
$0
Program Service Revenue
$484,992
Investment Income
$33
Other Revenue
$0
Change in Net Assets
$-65,660

Audited Revenue Reconciliation

Revenue per Audited Statements
$485,025
Total Revenue per Audited Statements
$485,025
Total Revenue per Form 990
$485,025
Expenses and Functional Allocation

Major Expense Lines

Line ItemAmount
Other Expenses$550,685
Grants and Similar Amounts Paid$0
Professional Fundraising Fees$0
Salaries, Compensation, and Employee Benefits$0
Total Fundraising Expense$0

Functional Expense Allocation

Line ItemProgramManagementFundraisingTotal
Interest$244,697--$244,697
Depreciation Depletion$165,941--$165,941
Occupancy$135,001--$135,001
Fees for Services Accounting-$3,386-$3,386
Other Expenses-$1,660-$1,660
Total Functional Expenses$545,639$5,046$0$550,685

Audited Expense Reconciliation

Line ItemAmount
Expenses per Audited Statements$550,685
Total Expenses per Audited Statements$550,685
Total Expenses per Form 990$550,685
Fundraising, Events, and Gaming
Fundraising activities
No
Gaming activities
No
Professional fundraiser used
No

Fundraising and Gaming Totals

Line ItemAmount
Professional Fundraising Fees$0
Political and Lobbying Activity
Political campaign activity
No
Lobbying activity
No
Subject to proxy tax
No
Debt and Bond Financing

Other Reported Liabilities

LiabilityAmount
Intercompany Payable to Ace Charter$23,470
Governance and Compliance

Governance Checklist

Compiled or reviewed by an accountant
No
Annual disclosure for covered persons
Yes
Audit committee
Yes
Business relationship with family members
No
Business relationship with organization members
No
Material changes to governing documents
No
Compensation from other sources disclosed
No
CEO compensation reviewed
Yes
Other officer compensation reviewed
No
Conflict-of-interest policy
Yes
Audited financial statements prepared
Yes
Key decisions subject to board approval
No
Management duties delegated
No

Governance Explanations

Form 990, Page 6, Part VI, Line 11B

The 990 return is initially reviewed by management and then reviewed by the board prior to filing the return.

Form 990, Page 6, Part VI, Line 12C

In connection with any actual or possible conflict of interest, an interested person must disclose the existence of the financial interest and be given the opportunity to disclose all material facts to the directors and members of committees considering the proposed transaction or arrangement. After disclosure of the financial interest and all material facts, and after any discussion with the interested person, he/she shall leave the board of directors meeting while the determination of a conflict of interest is discussed and voted upon. The remaining board members shall decide if a conflict of interest exists. While this has not been done as rigorously as policy specifies, general awareness of coi requirements have been observed. The policy schedule will be followed in the future.

Form 990, Page 6, Part VI, Line 15A

The process includes all of these elements: (1) review and approval by the board (2) use of data as to comparable compensation; and (3) contemporaneous documentation and recordkeeping.

Form 990, Page 6, Part VI, Line 19

The foundation provides its governing documents, conflict of interest policy and financial statements to the public upon request.

Filing and Contact Details

Filer

Filer Name
Ace Charter School Foundation Inc
EIN
45-1606949
Phone
4082956008
Address
1100 SHASTA AVENUE 250, SAN JOSE, CA 95126

Signing Officer

Name
Naganath Mahalingan
Title
Director of Finance
Phone
4082956008
Signed
2017-02-07
Discuss with paid preparer
Yes

Organization Details

Principal Officer
Naganath Mahalingan
Formed
2011
Voting Board Members
9
Independent Board Members
9
Employees
0

Preparer

Firm
Vicenti Lloyd & Stutzman
Address
2210 E ROUTE 66 STE 100, GLENDORA, CA 91740-4676
Preparer
Wade Mcmullen CPA
Phone
6268577300
Supplemental Narrative

Additional Explanations

FORM 990 - ORGANIZATION'S MISSION

The primary purposes of the corporation are to facilitate the development of charter schools; to lease, own, manage, and maintain an educational institution; to provide charter school facilities and operational and other support to charter schools; and to provide and otherwise obtain or assist in obtaining charter school financing. Additionally, the corporation may engage in any activities that are reasonably related to or in furtherance of its stated charitable and public purposes, or in any other charitable activities.

Financial Statement Notes

Schedule D, Page 3, Part X

The foundation is a non-profit entity exempt from the payment of income taxes under internal revenue code section 501(c)(3) and california revenue and taxation code section 23701d. Accordingly, no provision has been made for income taxes. Management has determined that all income tax positions are more likely than not of being sustained upon potential audit or examination; therefore, no disclosures of uncertain income tax positions are required. The foundation files informational returns in the u.s. Federal jurisdiction, and the state of california. The statute of limitations for federal and california state purposes is generally three and four years, respectively.

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IRS990ScheduleA/SupportedOrgInformationGrp/SupportedOrganizationName/BusinessNameLine1Txt0ACE CHARTER SCHOOL
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IRS990ScheduleD/ExpensesSubtotalAmt0550685
IRS990ScheduleD/FootnoteTextInd0X
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IRS990ScheduleD/OtherLiabilitiesOrgGrp/Desc0INTERCOMPANY PAYABLE TO ACE CHARTER
IRS990ScheduleD/RevenueSubtotalAmt0485025
IRS990ScheduleD/SupplementalInformationDetail/ExplanationTxt0THE FOUNDATION IS A NON-PROFIT ENTITY EXEMPT FROM THE PAYMENT OF INCOME TAXES UNDER INTERNAL REVENUE CODE SECTION 501(C)(3) AND CALIFORNIA REVENUE AND TAXATION CODE SECTION 23701D. ACCORDINGLY, NO PROVISION HAS BEEN MADE FOR INCOME TAXES. MANAGEMENT HAS DETERMINED THAT ALL INCOME TAX POSITIONS ARE MORE LIKELY THAN NOT OF BEING SUSTAINED UPON POTENTIAL AUDIT OR EXAMINATION; THEREFORE, NO DISCLOSURES OF UNCERTAIN INCOME TAX POSITIONS ARE REQUIRED. THE FOUNDATION FILES INFORMATIONAL RETURNS IN THE U.S. FEDERAL JURISDICTION, AND THE STATE OF CALIFORNIA. THE STATUTE OF LIMITATIONS FOR FEDERAL AND CALIFORNIA STATE PURPOSES IS GENERALLY THREE AND FOUR YEARS, RESPECTIVELY.
IRS990ScheduleD/SupplementalInformationDetail/FormAndLineReferenceDesc0SCHEDULE D, PAGE 3, PART X
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IRS990ScheduleJ/RltdOrgOfficerTrstKeyEmplGrp/TitleTxt0EXECUTIVE DIRECTOR
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IRS990ScheduleO/SupplementalInformationDetail/ExplanationTxt0THE PRIMARY PURPOSES OF THE CORPORATION ARE TO FACILITATE THE DEVELOPMENT OF CHARTER SCHOOLS; TO LEASE, OWN, MANAGE, AND MAINTAIN AN EDUCATIONAL INSTITUTION; TO PROVIDE CHARTER SCHOOL FACILITIES AND OPERATIONAL AND OTHER SUPPORT TO CHARTER SCHOOLS; AND TO PROVIDE AND OTHERWISE OBTAIN OR ASSIST IN OBTAINING CHARTER SCHOOL FINANCING. ADDITIONALLY, THE CORPORATION MAY ENGAGE IN ANY ACTIVITIES THAT ARE REASONABLY RELATED TO OR IN FURTHERANCE OF ITS STATED CHARITABLE AND PUBLIC PURPOSES, OR IN ANY OTHER CHARITABLE ACTIVITIES.
IRS990ScheduleO/SupplementalInformationDetail/ExplanationTxt1THE 990 RETURN IS INITIALLY REVIEWED BY MANAGEMENT AND THEN REVIEWED BY THE BOARD PRIOR TO FILING THE RETURN.
IRS990ScheduleO/SupplementalInformationDetail/ExplanationTxt2IN CONNECTION WITH ANY ACTUAL OR POSSIBLE CONFLICT OF INTEREST, AN INTERESTED PERSON MUST DISCLOSE THE EXISTENCE OF THE FINANCIAL INTEREST AND BE GIVEN THE OPPORTUNITY TO DISCLOSE ALL MATERIAL FACTS TO THE DIRECTORS AND MEMBERS OF COMMITTEES CONSIDERING THE PROPOSED TRANSACTION OR ARRANGEMENT. AFTER DISCLOSURE OF THE FINANCIAL INTEREST AND ALL MATERIAL FACTS, AND AFTER ANY DISCUSSION WITH THE INTERESTED PERSON, HE/SHE SHALL LEAVE THE BOARD OF DIRECTORS MEETING WHILE THE DETERMINATION OF A CONFLICT OF INTEREST IS DISCUSSED AND VOTED UPON. THE REMAINING BOARD MEMBERS SHALL DECIDE IF A CONFLICT OF INTEREST EXISTS. WHILE THIS HAS NOT BEEN DONE AS RIGOROUSLY AS POLICY SPECIFIES, GENERAL AWARENESS OF COI REQUIREMENTS HAVE BEEN OBSERVED. THE POLICY SCHEDULE WILL BE FOLLOWED IN THE FUTURE.
IRS990ScheduleO/SupplementalInformationDetail/ExplanationTxt3THE PROCESS INCLUDES ALL OF THESE ELEMENTS: (1) REVIEW AND APPROVAL BY THE BOARD (2) USE OF DATA AS TO COMPARABLE COMPENSATION; AND (3) CONTEMPORANEOUS DOCUMENTATION AND RECORDKEEPING.
IRS990ScheduleO/SupplementalInformationDetail/ExplanationTxt4THE FOUNDATION PROVIDES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS TO THE PUBLIC UPON REQUEST.
IRS990ScheduleO/SupplementalInformationDetail/FormAndLineReferenceDesc0FORM 990 - ORGANIZATION'S MISSION
IRS990ScheduleO/SupplementalInformationDetail/FormAndLineReferenceDesc1FORM 990, PAGE 6, PART VI, LINE 11B
IRS990ScheduleO/SupplementalInformationDetail/FormAndLineReferenceDesc2FORM 990, PAGE 6, PART VI, LINE 12C
IRS990ScheduleO/SupplementalInformationDetail/FormAndLineReferenceDesc3FORM 990, PAGE 6, PART VI, LINE 15A
IRS990ScheduleO/SupplementalInformationDetail/FormAndLineReferenceDesc4FORM 990, PAGE 6, PART VI, LINE 19
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IRS990ScheduleR/IdDisregardedEntitiesGrp/DisregardedEntityName/BusinessNameLine1Txt0ACE CHARTER SCHOOL FOUNDATION LLC
IRS990ScheduleR/IdDisregardedEntitiesGrp/EIN0451606949
IRS990ScheduleR/IdDisregardedEntitiesGrp/EndOfYearAssetsAmt0738648
IRS990ScheduleR/IdDisregardedEntitiesGrp/LegalDomicileStateCd0CA
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IRS990ScheduleR/TransactionsRelatedOrgGrp/InvolvedAmt0484992
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IRS990/TotalCompGreaterThan150KInd0true
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IRS990/TotalFunctionalExpensesGrp/TotalAmt0550685
IRS990/TotalGrossUBIAmt00
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IRS990/TotalOtherCompensationAmt023483
IRS990/TotalProgramServiceExpensesAmt0545639
IRS990/TotalProgramServiceRevenueAmt0484992
IRS990/TotalRevenueGrp/ExclusionAmt033
IRS990/TotalRevenueGrp/RelatedOrExemptFuncIncomeAmt0484992
IRS990/TotalRevenueGrp/TotalRevenueColumnAmt0485025
IRS990/TotLiabNetAssetsFundBalanceGrp/BOYAmt04691859
IRS990/TotLiabNetAssetsFundBalanceGrp/EOYAmt04554261
IRS990/TotReportableCompRltdOrgAmt0338181
IRS990/TrnsfrExmptNonChrtblRltdOrgInd0false
IRS990/TypeOfOrganizationCorpInd0X
IRS990/UnrelatedBusIncmOverLimitInd0false
IRS990/UnrestrictedNetAssetsGrp/BOYAmt0804308
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IRS990/UponRequestInd0X
IRS990/USAddress/AddressLine1Txt01100 SHASTA AVE 250
IRS990/USAddress/CityNm0SAN JOSE
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IRS990/VotingMembersGoverningBodyCnt09
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IRS990/WebsiteAddressTxt0N/A
IRS990/WhistleblowerPolicyInd0true
ReturnHeader/BuildTS02017-02-10 21:41:12Z

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