Civic Intelligence

Homeownership Preservation Foundation

990 • Fiscal year 2016 • EIN 52-2403507

Jan 01, 2016 to Dec 31, 2016 • Filed on Jun 26, 2017

7645 Lyndale Avenue South No 250Minneapolis, MN 55423

(612) 230-4020

Siviq Scores

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

Liabilities / Assets

53rd percentile

0.30x

Higher debt load relative to assets than 53% of similar nonprofits.

2016 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2016

Liabilities / Revenue

39th percentile

0.22x

Higher debt load relative to revenue than 39% of similar nonprofits.

2016 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2016

Net Margin

14th percentile

-13%

Higher net margin than 14% of similar nonprofits.

2016 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2016

Top Officer Pay

61st percentile

$291,066

Higher top officer pay than 61% of similar nonprofits.

Top officer pay equals 1.1% of source-year revenue.

2016 filings • 501(c)3 • $25M-$50M nonprofits • Source year 2016

Asset Growth

3rd percentile

-19%

Faster asset growth than 3% of similar nonprofits.

2016 filings • 501(c)3 • $25M-$50M nonprofits • Annualized from 2015 to 2016

Revenue Growth

13th percentile

-23%

Faster revenue growth than 13% of similar nonprofits.

2016 filings • 501(c)3 • $25M-$50M nonprofits • Annualized from 2015 to 2016

Assets

Down

$18,562,354

Down $4,219,185 (-19%) from 2015

Net Assets

Down

$12,920,460

Down $2,619,225 (-17%) from 2015

Liabilities

Down

$5,641,894

Down $1,599,960 (-22%) from 2015

Revenue

Down

$25,869,888

Down $7,686,864 (-23%) from 2015

Expenses

Down

$29,176,617

Down $4,395,223 (-13%) from 2015

Net Income

Down

-$3,306,729

Down $3,291,641 (-21816%) from 2015

Historical Trend

Balance Sheet Trend

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

$30M$20M$10M$0Assets 2012: $26,190,124Liabilities 2012: $9,376,612Net Assets 2012: $16,813,5122012Assets 2013: $24,742,558Liabilities 2013: $6,390,598Net Assets 2013: $18,351,9602013Assets 2014: $24,565,263Liabilities 2014: $7,303,571Net Assets 2014: $17,261,6922014Assets 2015: $22,781,539Liabilities 2015: $7,241,854Net Assets 2015: $15,539,6852015Assets 2016: $18,562,354Liabilities 2016: $5,641,894Net Assets 2016: $12,920,4602016Assets 2017: $12,273,720Liabilities 2017: $3,272,221Net Assets 2017: $9,001,4992017Assets 2018: $6,575,515Liabilities 2018: $1,457,227Net Assets 2018: $5,118,2882018Assets 2019: $8,036,330Liabilities 2019: $1,840,407Net Assets 2019: $6,195,9232019Assets 2020: $9,160,530Liabilities 2020: $1,320,047Net Assets 2020: $7,840,4832020Assets 2021: $9,859,367Liabilities 2021: $1,552,329Net Assets 2021: $8,307,0382021Assets 2022: $10,911,422Liabilities 2022: $3,136,624Net Assets 2022: $7,774,7982022Assets 2023: $11,041,312Liabilities 2023: $2,117,216Net Assets 2023: $8,924,0962023Assets 2024: $12,080,154Liabilities 2024: $3,229,956Net Assets 2024: $8,850,1982024

Highlighted filing

2016

Assets$18,562,354
Liabilities$5,641,894
Net Assets$12,920,460

Operations Trend

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

$60M$40M$20M$0-$20MRevenue 2012: $45,973,603Expenses 2012: $47,173,816Net Income 2012: -$1,200,2132012Revenue 2013: $42,269,517Expenses 2013: $41,327,378Net Income 2013: $942,1392013Revenue 2014: $34,272,432Expenses 2014: $35,079,286Net Income 2014: -$806,8542014Revenue 2015: $33,556,752Expenses 2015: $33,571,840Net Income 2015: -$15,0882015Revenue 2016: $25,869,888Expenses 2016: $29,176,617Net Income 2016: -$3,306,7292016Revenue 2017: $16,367,358Expenses 2017: $20,253,790Net Income 2017: -$3,886,4322017Revenue 2018: $7,194,035Expenses 2018: $10,711,906Net Income 2018: -$3,517,8712018Revenue 2019: $7,152,479Expenses 2019: $6,666,689Net Income 2019: $485,7902019Revenue 2020: $8,962,581Expenses 2020: $8,067,445Net Income 2020: $895,1362020Revenue 2021: $7,508,104Expenses 2021: $6,714,487Net Income 2021: $793,6172021Revenue 2022: $10,640,592Expenses 2022: $10,256,218Net Income 2022: $384,3742022Revenue 2023: $14,063,939Expenses 2023: $13,663,982Net Income 2023: $399,9572023Revenue 2024: $11,246,874Expenses 2024: $11,507,338Net Income 2024: -$260,4642024

Highlighted filing

2016

Revenue$25,869,888
Expenses$29,176,617
Net Income-$3,306,729
Jump To
Filing Snapshot
Filing Period
Jan 1, 2016 to Dec 31, 2016
Signed
Jun 26, 2017
Return Version
2016v3.0
Gross Receipts
$31,026,771
Mission and Program Overview

Mission

Provides education and counseling to financially distressed homeowners to preserve and promote homeownership.

To promote, educate, and counsel the financially distressed on how to sustain homeownership.

Balance Sheet Detail
LineBeginningEndChange
Assets
Investments in Publicly Traded Securities$11,831,714$9,272,711▼ $2,559,003
Accounts Receivable$3,713,467$3,608,407▼ $105,060
Pledges and Grants Receivable$2,333,004$1,552,601▼ $780,403
Savings and Temporary Cash Investments$1,310,319$1,359,753▲ $49,434
Land, Buildings, and Equipment, Net$811,538$1,308,707▲ $497,169
Cash and Non-Interest-Bearing Accounts$2,010,992$1,300,940▼ $710,052
Prepaid Expenses and Deferred Charges$755,113$143,843▼ $611,270
Total Assets$22,781,539$18,562,354▼ $4,219,185
Other Assets Total$15,392$15,392→ $0
Liabilities
Accounts Payable and Accrued Expenses$7,031,573$4,218,358▼ $2,813,215
Unsecured Notes Loans Payable-$1,250,000-
Deferred Revenue$210,281$173,536▼ $36,745
Total Liabilities$7,241,854$5,641,894▼ $1,599,960
Net Assets / Fund Balance
Unrestricted Net Assets$15,500,263$12,920,460▼ $2,579,803
Temporarily Rstr Net Assets$39,422$0▼ $39,422
Total Net Assets Fund Balance$15,539,685$12,920,460▼ $2,619,225
Total Liabilities and Net Assets / Fund Balance$22,781,539$18,562,354▼ $4,219,185

Asset Categories

AssetBook ValueDepreciationBasis
Equipment$1,223,982$2,596,676$3,820,658
Leasehold Improvements$84,725$116,767$201,492
Compensation and Service Providers

Employees

NameTitleFull / Part TimeBaseOtherTotal
David BerenbaumChief Executive OfficerFT$241,808$49,258$291,066
Julie SteinhagenChief Operating OfficerFT$180,914$47,290$228,204
Gene SpencerSenior Vice PresidentFT$182,000$40,396$222,396
Ken DuncanChief Financial OfficerFT$143,491$46,680$190,171
Kent SchoenGeneral CounselFT$164,173$14,854$179,027
Scott HengelControllerFT$150,328$16,570$166,898
Barbara ClaySenior Vice PresidentFT$150,315$15,961$166,276
Rod McginnissSenior Vice PresidentFT$149,638$15,402$165,040
Michael SwansonVice President of PerformaFT$152,637$12,019$164,656

Board Members and Trustees

NameTitle
Sanjeev HandaChairperson
Barrett BurnsBoard Member
Bruce ParadisBoard Member
Bruce a GottschallBoard Member
Chris HerbertBoard Member
Jeff RohrBoard Member
Jill Kanin LoversBoard Member
Jim CarrBoard Member
Joe DonovanBoard Member
Prue LaroccaBoard Member
Sharon Sayles BeltonBoard Member
Steve BartlettBoard Member

Highest Paid Contractors

ContractorServicesLocationCompensation
Greenpath Debt SolutionsCounseling Services36500 CORPORATE DRIVE, Farmington Hills, MI 48331$6,089,115
Money Management InternationalCounseling Services9009 WEST LOOP SOUTH SUITE 700, Houston, TX 77096$5,863,723
NavicoreCounseling Services225 WILLOW BROOK ROAD, Freehold, NJ 07728$3,235,278
Springboard Nonprofit ConsumerCounseling Services4351 LATHAM STREET, Riverside, CA 92501$2,758,874
Sykes Enterprises INCCall CenterPO BOX 406238, Atlanta, GA 30384$2,009,648
Revenue and Support

Revenue Composition

Contributions and Grants
$11,519,728
Program Service Revenue
$14,465,726
Investment Income
$-174,256
Other Revenue
$58,690
All Other Contributions
$6,672,378
Change in Net Assets
$-3,306,729

Audited Revenue Reconciliation

Revenue per Audited Statements
$25,847,070
Revenue Not Reported on Financial Statements
$22,818
Revenue Not Reported on Form 990
$687,504
Total Revenue per Audited Statements
$26,534,574
Total Revenue per Form 990
$25,869,888
Expenses and Functional Allocation

Major Expense Lines

Line ItemAmount
Other Expenses$23,993,821
Salaries, Compensation, and Employee Benefits$5,182,796
Total Fundraising Expense$148,280
Grants and Similar Amounts Paid$0
Professional Fundraising Fees$0

Functional Expense Allocation

Line ItemProgramManagementFundraisingTotal
Other Salaries and Wages$2,900,739$609,102$115,827$3,625,668
Information Technology$684,875$350,495-$1,035,370
Other Expenses$952,750--$952,750
Office Expenses$710,871$113,452-$824,323
Current Officers, Directors, Trustees, and Key Employees$205,802$540,584-$746,386
All Other Expenses$676,275$21,797-$698,072
Depreciation Depletion$437,924$81,602-$519,526
Fees for Services Other$430,150$74,791$1,898$506,839
Other Employee Benefits$282,598$93,730$10,764$387,092
Advertising-$366,712-$366,712
Occupancy$226,234$82,728$8,477$317,439
Payroll Taxes$225,215$82,355$8,439$316,009
Travel$125,824$76,738-$202,562
Conferences and Meetings$26,198$135,389-$161,587
Fees for Services Lobbying-$150,000-$150,000
Fees for Services Legal-$129,638-$129,638
Insurance-$119,120-$119,120
Pension Plan Contributions$76,714$28,052$2,875$107,641
Fees for Services Accounting-$66,688-$66,688
Fees for Service Investment Mgmnt Fees-$22,818-$22,818
Interest-$3,427-$3,427
Total Functional Expenses$25,879,119$3,149,218$148,280$29,176,617

Audited Expense Reconciliation

Line ItemAmount
Total Expenses per Form 990$29,176,617
Expenses per Audited Statements$29,153,799
Total Expenses per Audited Statements$29,153,799
Expenses Not Reported on Financial Statements$22,818
Expenses Not Reported on Form 990$0
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
Yes
Subject to proxy tax
No

Reported Spending and Taxes

Line ItemAmount
Political Expenditures$0
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
Yes
Conflict-of-interest policy
Yes
Audited financial statements prepared
No
Key decisions subject to board approval
No
Management duties delegated
No

Governance Explanations

Form 990, Part VI, Section A, Line 1

The board of directors may designate an executive committee composed of at least three directors designated by the board of directors. The board of directors may authorize the executive committee to manage from time to time the business of this corporation as designated by the board of directors in the interval between meetings of the board of directors, and the executive committee shall at all times be subject to the control and direction of the board of directors.

Form 990, Part VI, Section A, Line 2

Jim carr and barrett burns, both hpf board members, have a business relationship. Jim performs consulting services for barrett's company. The services are performed at fair market value.

Form 990, Part VI, Section B, Line 11B

The draft from 990 is reviewed by management, including internal counsel and the audit committee. Outside legal counsel is also engaged to review the form 990. The draft form 990 is distributed to the full board for review prior to filing with the irs.

Form 990, Part VI, Section B, Line 12C

The policy covers all board members, officers, employees and contractors of the foundation. All are required to complete an annual conflict of interest policy acknowledgement and disclosure form. All conflicts are reviewed by the board and an appropriate remedy determined, which may include recusal from decision making. All proceedings are documented in the meeting minutes, or as otherwise appropriate.

Form 990, Part VI, Section B, Line 15

David berenbaum became the ceo of hpf on september 2, 2014. Before mr. Berenbaum was hired, the compensation committee reviewed ceo compensation materials from the hays group and towers watson. The committee also received confirmation from towers watson that the ceo compensation data previously provided to the committee was still pertinent. The compensation committee made a recommendation to the board regarding mr. Berenbaum's level of compensation, and the board subsequently approved mr. Berenbaum's compensation for 2014. This process for determining his compensation was last completed in 2014 and compensation has not changed since. The hpf board approves the compensation for the chief financial officer and chief operating officer after receiving a recommendation from the compensation committee of the board. The compensation committee relies on compensation data from the hays group and towers watson in determining the recommended compensation amounts. In addition, in 2014, raffa p.c. Provided an opinion letter that the compensation amounts paid to hpf's chief financial officer and hpf's chief operating officer were both competitive and reasonable.

Form 990, Part VI, Section C, Line 19

Hpf complies with the public inspection requirements of internal revenue code section 6104 by making its form 1023, application for recognition of exemption under section 501(c)(3) of the internal revenue code, determination letter from the irs, and the forms 990 for its three most recently completed tax periods available to the public. However, as section 6104 does not require organizations exempt under section 501(c)(3) to disclose its governing documents, conflict of interest policies, or financial statements, hpf has decided not to make such information available for public inspection.

Filing and Contact Details

Filer

Filer Name
Homeownership Preservation Foundation
EIN
52-2403507
Phone
6122304020
Address
7645 LYNDALE AVENUE SOUTH NO 250, MINNEAPOLIS, MN 55423

Signing Officer

Name
David Berenbaum
Title
Chief Executive Officer
Phone
6122304020
Signed
2017-06-26
Discuss with paid preparer
Yes

Organization Details

Principal Officer
David Berenbaum
Formed
2003
Legal Domicile
Mn
Voting Board Members
11
Independent Board Members
11
Employees
46
Volunteers
12

Preparer

Firm
Cliftonlarsonallen Llp
Address
220 SOUTH SIXTH STREET SUITE 300, MINNEAPOLIS, MN 55402
Preparer
Amy Hendley
Phone
6123764500
Supplemental Narrative

Additional Explanations

Part XII, Line 2C

In 2016, there have been no changes to this process.

Financial Statement Notes

PART X, LINE 2:

The foundation is organized as a minnesota nonprofit corporation and has been recognized by the internal revenue service (irs) as exempt from federal income taxes under section 501(a) of the internal revenue code as an organization described in section 501(c)(3), qualifies for the charitable contribution deduction under section 170(b)(1)(a)(vi), and has been determined to be a public charity under section 509(a)(1). The foundation is annually required to file a return of organization exempt from income tax (form 990) with the irs. In addition, the foundation is subject to income tax on net income that is derived from business activities that are unrelated to its exempt purpose. The foundation has determined it is not subject to unrelated business income tax and has not filed an exempt organization business income tax return (form 990-t) with the irs. The foundation believes that it has appropriate support for any tax positions taken affecting its annual filing requirements, and as such, does not have any uncertain tax positions that are material to the financial statements. The foundation would recognize future accrued interest and penalties related to unrecognized tax benefits and liabilities in income tax expense if such interest and penalties are incurred.

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