Covenant House Florida Inc.

“The organization hired steven j. Henriquez cpa, llc as a management company which performs the following services: - supervising personnel, - aid in the process of preparing the budget, - oversee day to day accounting activities of the organization during fy2020, total management fee paid to steven j. Henriquez cpa, llc was $63,600. Steven henriquez, outsourced cfo, was compensated $10,783 by steven j. Henriquez cpa, llc in fy2020 for the management service provided to the organization.”

“The sole corporate member of covenant house florida is its parent organization, covenant house, d/b/a covenant house international.”

“Covenant house florida's (chf) parent organization, covenant house international has the right to elect or appoint officers of chf's board of directors.”

“The following decisions for the governing body are subject to approval by chc parent organization, covenant house international - amendment or repeal of the by-laws, increase or decrease in the number of board of directors and appoint/remove members of the board and the officers.”

“The form 990 was prepared by an independent accounting firm and reviewed by the parent organization, covenant house international, the cfo and the covenant house florida board finance committee for completion and accuracy prior to filing. The final form 990 is electronically provided to all members of the board of directors prior to filing with the irs.”

“The organization requires annual disclosure and affirmation of the conflict of interest policy by all officers, directors and key employees. The disclosure statement required each officer, director, and key employee to disclose any business or personal interests, direct or indirect, that the person may have in an organization that completes with or does business with covenant house international or any other organization business/ agency affiliated with covenant house international. If a conflict is determined to exist, it must be reported and addressed to the satisfaction of the organization. Any other person having a conflict, and attending said meeting, shall retire from the room in which the board or committee is meeting and shall not participate in the final deliberations or decisions regarding the matter under consideration. Any interested director shall also abstain during such vote. The minutes of the meeting of the board or committee shall reflect that the conflict of interest was disclosed and that the interested person was not present during the final discussion or vote and did not vote. A summary of the annual conflicts of interest and copies of the conflicts of interest reports from the directors, executive director, and officers of the organization are also sent to the parent organization, covenant house international. The parent, covenant house international also ensures the annual conflicts of interest reports are accomplished for each affiliate and that the required information is sent to them.”

“The chief executive director's compensation is determined by the compensation committee working in conjunction with the president of covenant house international (parent). A salary structure and range were determined using a compensation committee and independent consultant for the chief executive director. Factors considered were the size of the agency budget, program size and complexity, local market compatibility, and the cost of living, with compensation approved by the ch fl board of directors. Records of executive committee's compensation decisions are maintained in the covenant house international (parent) human resources department record. This process was last undertaken in fiscal year 2020. Human resources conducts salary surveys in the community of comparable organizations to determine compensation ranges for the compenstation of other officers. The survey was last performed in 2020. In addition to the survey, the board finance committee reviews the pay scale on an annual basis. Records of the compensation decisions are maintained in the finance committee minutes.”

“The organization makes its form 990 available to the public by retaining a copy at its place of business as well as posting it on its website. The form 990 is also uploaded by the organization onto www.guidestar.org. The governing documents, conflict of interest policy and financial statements are all available for public inspection upon request at 733 breakers avenue, fort lauderdale, fl 33304.”

“Covenant house international (parent) provides financial support as well as management and organizational support for its affiliated organizations. The parent conducts fundraising activities for its own programs and the programs of the affiliates including the sleep out event. The parent collects the funds from the sleep out event that each affiliate holds in their city online through software that they manage/operate. The funds are then disbursed to each affiliate that raised the funds through a grant from the parent. The parent combines contributions received from individuals, corporations and foundations, the sleep out event, plus a parent subsidy and appropriates funds classified as "branding dollars" to each covenant house affiliate. The parent reports the sleep out event in schedule g, part ii of their form 990. The filing organization reports the sleep out event income on part viii, line 1d as a contribution from a related organization.”

“In 31 cities across six countries, covenant house builds bridges to hope for young people facing homelessness and survivors of human trafficking, meeting their immediate needs for food, clothing, protection, and medical care and supporting them to advance their goals of education and employment. Covenant house encompasses a robust network of "houses," with best-in-class services and a shared commitment to unconditional love, absolute respect, and relentless support for each young person who walks through our doors. Founded as a drop-in center in new york city in 1972, covenant house now serves tens of thousands of children and youth every year in our residential, outreach, and drop-in programs. Our dedicated staff across the united states, guatemala, honduras, mexico, nicaragua, and canada employ a strengths-based, trauma-informed practice model that helps young people discover and develop their resilience to overcome adversity now and into the future. Young people arrive at covenant house with an array of lived experiences, including foster care, substance use, mental health issues, domestic violence, sexual abuse, and more. Our staff meet them where they are and accompany them, through our high-quality continuum of services, on their journey to wholeness and independence.”

“On april 14, 2020, the organization received loan proceeds in the amount of $1,013,070 under the paycheck protection program (the "ppp"). The ppp, established as part of the coronavirus aid, relief and economic security act (the "cares act"), provides for loans to qualifying entities for amounts up to 2.5 times the 2019 average monthly payroll expenses of the qualifying entity. The ppp loan bears an interest rate of 1% per annum. All or a portion of the ppp loan principal and accrued interest are forgivable as long as the borrower uses the loan proceeds for eligible purposes, as described in the cares act, over a period of either eight or twenty-four weeks (the "covered period"). The amount of loan forgiveness could be reduced if the borrower terminates employees or reduces salaries below a certain threshold during the covered period and does not qualify for certain safe harbors. The unforgiven portion of the ppp loan, if any, is payable within five years from the date of the loan. Loan payments of principal or interest are deferred until the amount of loan forgiveness is determined by the united states small business administration ("sba"). If the organization does not apply for forgiveness, payments begin approximately 16 months after the loan date. The organization intends to use all proceeds received in accordance with regulations established by the ppp. Management believes its use of the proceeds, including amounts expended through june 30, 2020, will be forgiven. The entire amount received under the ppp is reported as a forgivable loan in the statement of financial position at june 30, 2020. Subsequent to year end, on january 31, 2021 the organization received an additional ppp loan in the amount of $1,013,069. The loan bears an interest rate of 1% per annum and the terms agree to the initial loan received during the year ended june 30, 2020.”

“Write off of pledge receivable -60,000.”

“The process for selecting an independent accountant and establishing a committee that assumes responsibility for oversight of the audit has not changed from prior years.”