Leon Advocacy & Resource Center

“Organization's process to review form 990 reviewed by board of directors and executive director”

“- organizations's process of preventing conflicts of interest the organization has a written conflict of interest policy that requires all board members, officers, and key employees to disclose any potential or actual conflicts of interest. These disclosures are made annually and are reviewed by the organization's board of directors. When a conflict is identified, the affected individual is required to recuse themselves from any related discussions or decisions. The organization maintains documentation of all disclosures and reviews them on a regular basis to ensure compliance with its conflict-of-interest policy.”

“Governing documents disclosure explaination no documents available to the public”

“During the fiscal year, the organization received $385,880 in employee retention tax credit funds under the coronavirus aid, relief, and economic security (cares) act and subsequent federal legislation. These funds are reported as government grants in part viii, line 1e of form 990. The organization also recognized $116,047 in interest income related to the employee retention tax credit refunds, which is reported as investment income in part viii, line 3. Both amounts represent non-recurring federal relief and related interest and are not indicative of ongoing operating revenue.”

“During the tax year, the organization completed a sale-leaseback transaction involving two residential group homes. The purpose of the transaction was to convert equity in real estate into operational liquidity while maintaining the continued use of the properties for exempt purposes. The net gain on the sale is reported in part viii, line 7d. The properties were removed from the organization's fixed asset schedule, and the proceeds were received in full at the time of sale. In accordance with asc 842, the leaseback was recorded as a long-term operating lease, resulting in the recognition of a right-of-use asset and a corresponding lease liability on the statement of financial position. The right-of-use asset is being amortized over a 10-year lease term.”

“Part xi, line 8 reflects a prior-period adjustment of ($10,749) resulting from reconciling property, plant, and equipment balances in the accounting system to the organization's fixed asset schedule. This adjustment had no impact on current-year revenues or expenses.”