Care for Children USA does not meet the following 8 Standards for Charity Accountability:
Standard 1 (Oversight of Operations and Staff)
Organizations shall have a board of directors that provides adequate oversight of the charity's operations and its staff. Indication of adequate oversight includes, but is not limited to, regularly scheduled appraisals of the CEO's performance, evidence of disbursement controls such as board approval of the budget, fund raising practices, establishment of a conflict of interest policy, and establishment of accounting procedures sufficient to safeguard charity finances.
CCUSA does not meet this Standard because its board of directors does not:
- Review the performance of the Chief Executive Officer at least once every two years.
- Receive a copy of the organization’s IRS Form 990 to review before filing.
Standard 3 (Frequency and Attendance of Board Meetings)
An organization shall have a minimum of three evenly spaced meetings per year of the full governing body with a majority in attendance, with face-to-face participation. A conference call of the full board can substitute for one of the three meetings of the governing body. For all meetings, alternative modes of participation are acceptable for those with physical disabilities.
CCUSA does not meet this Standard because:
- The board of directors held two meetings in 2020.
Standard 4 (Compensated Board Members)
Not more than one or 10% (whichever is greater) directly or indirectly compensated person(s) serving as voting member(s) of the board. Compensated members shall not serve as the board's chair or treasurer.
CCUSA does not meet this Standard because:
- The chair of the board is directly compensated.
Standard 6 (Board Policy on Effectiveness)
Have a board policy of assessing, no less than every two years, the organization's performance and effectiveness and of determining future actions required to achieve its mission.
CCUSA does not meet this Standard because:
- The board of directors does not have a written policy stating that, at least every two years, an appraisal be done assessing the organization’s performance and effectiveness and determining future actions required to achieve its mission.
Standard 7 (Board Approval of Written Report on Effectiveness)
Submit to the organization's governing body, for its approval, a written report that outlines the results of the aforementioned performance and effectiveness assessment and recommendations for future actions.
CCUSA does not meet this Standard because:
- The organization has not completed an effectiveness assessment in the last two years.
Standard 11 (Financial Statements)
Make available to all, on request, complete annual financial statements prepared in accordance with generally accepted accounting principles. When total annual gross income exceeds $500,000, these statements should be audited in accordance with generally accepted auditing standards. For charities whose annual gross income is less than $500,000, a review by a certified public accountant is sufficient to meet this standard. For charities whose annual gross income is less than $250,000, an internally produced, complete financial statement is sufficient to meet this standard.
CCUSA does not meet this Standard because:
- The organization's audited financial statements for the year ended December 31, 2019 were not prepared in accordance with Generally Accepted Accounting Principles (GAAP).
Standard 14 (Budget)
Have a board-approved annual budget for its current fiscal year, outlining projected expenses for major program activities, fund raising, and administration.
CCUSA does not meet this Standard because:
- The organization did not produce a budget for 2021.
Standard 16 (Annual Report)
Have an annual report available to all, on request, that includes: (a) the organization's mission statement, (b) a summary of the past year's program service accomplishments, (c) a roster of the officers and members of the board of directors, (d) financial information that includes (i) total income in the past fiscal year, (ii) expenses in the same program, fund raising and administrative categories as in the financial statements, and (iii) ending net assets.
CCUSA does not meet this Standard because:
- The organization did not produce an annual report in 2019.
The BBB Wise Giving Alliance requested but did not receive complete information from the organization and is unable to verify the organization's compliance with the following Standard(s) for Charity Accountability:
15
Care for Children USA meets the remaining 11 Standards for Charity Accountability.
Care for Children USA (CCUSA) reports that it provides grants to its related United Kingdom organization, which operates in four countries in Asia and partners with the respective governments to provide local family-based care for orphaned and disadvantaged children. The organization works with governments to develop foster care as a sustainable alternative to orphanages through offering policy reforms, specialized training, and educational services for professional social service personnel and foster parents.
For the year ended December 31, 2019, Care for Children USA's program expenses were:
| Program services |
$500,272 |
| Total Program Expenses: |
$500,272 |
*2019 compensation includes annual salary and, if applicable, benefit plans, expense accounts, and other allowances.
Method(s) Used:
Grant proposals, Internet
Fundraising costs were 15% of related contributions. (Related contributions, which totaled $652,578 are donations received as a result of fundraising activities.)
This organization is tax-exempt under section 501(c) (3) of the Internal Revenue Code.It is eligible to receive contributions deductible as charitable donations for federal income tax purposes.
The following information is based on Care for Children USA's audited financial statements for the year ended December 31, 2019.
| Source of Funds |
| Contributions |
$652,578 |
| Total Income |
$652,578 |
- Programs: 80%
- Fundraising: 15%
- Administrative: 5%
| Total Income |
$652,578 |
| Program expenses |
$500,272 |
| Fundraising expenses |
$94,984 |
| Administrative expenses |
$31,731 |
| Other expenses |
$0 |
| Total expenses: |
$626,987 |
| Income in Excess of Expenses |
$25,591 |
| Beginning Net Assets |
$28,871 |
| Other Changes In Net Assets |
$-9,000 |
| Ending Net Assets |
$45,462 |
| Total Liabilities |
$0 |
| Total Assets |
$45,462 |
Note 1: As noted in the above financial section, "other changes in net assets" refers to a prior period restatement.
Note 2: According to CCUSA's 2019 audited financial statements, the organization received $18,000 in donated office space.