Crossnore Communities for Children does not meet the following 3 Standards for Charity Accountability:
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.
Crossnore does not meet this Standard because, when the organization provided 2022 budget information, it indicated that the budget:
- Did not identify total projected fundraising expenses.
- Did not identify total projected administrative expenses.
- Did not breakdown program service expenses by major program category including residential living/cottages, case management, OP therapy, program services support, recreation, dietary, academy/education, clinics, foster care, day treatment, trauma center, and other services.
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.
Crossnore does not meet this Standard because the 2020 annual report did not include:
- Total expenses for each program in the same categories that appear in the organization’s audited financial statements including residential living/cottages, case management, OP therapy, program services support, recreation, dietary, academy/education, clinics, foster care, day treatment, trauma center, and other services.
- Total fundraising expenses.
- Total administrative expenses.
Standard 17 (Web Site Disclosures)
Include on any charity websites that solicit contributions, the same information that is recommended for annual reports, as well as the mailing address of the charity and electronic access to its most recent IRS Form 990.
Crossnore does not meet this Standard because the organzation's website, http://crossnore.org, does not include:
- Electronic access to the organization's IRS Form 990 for the year ended September 30, 2020.
Crossnore Communities for Children meets the remaining 17 Standards for Charity Accountability.
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Year, State Incorporated
1913, NC
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Affiliates
Marjorie Williams Academy
Crossnore Children's Foundation
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Stated Purpose
"to grow healthy futures for children and families by providing a Christian sanctuary of hope and healing."
Crossnore School and Children's Home (Crossnore) reports that it serves abused, neglected, and abandoned children through the provision of residential housing, education, and therapeutic services. The organization states that it houses 100 children in its 20 cottages located on two campuses in North Carolina. Crossnore operates a public charter school, The Williams Academy, for residential and community students. Additional services include outpatient and school-based therapy services, transitional living services for older youth, on-site medical care and trauma-informed clinical services, and extracurricular activities. In 2020, the organization reports that it served 446 children, with 241 living in its campus cottages. In addition, Crossnore states that it provided 21,000 hours of telehealth day treatment services, 876 hours of family telehealth services, and 364 hours of telehealth medication management.
For the year ended September 30, 2020, Crossnore Communities for Children's program expenses were:
Residential living/cottages |
$8,250,720 |
Foster care |
$2,138,910 |
OP therapy |
$1,927,055 |
Day treatment |
$1,518,637 |
Other services |
$1,087,040 |
Dietary |
$1,070,757 |
Case management |
$997,137 |
Trauma center |
$640,877 |
Program services support |
$204,586 |
Clinics |
$201,617 |
Academy/education |
$147,559 |
Recreation |
$144,993 |
Total Program Expenses: |
$18,329,888 |
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Chief Executive
Brett A. Loftis, JD, Chief Executive Officer
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Compensation*
$274,500
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Chair of the Board
Bick Cardwell
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Chair's Profession / Business Affiliation
Chairman and Principal, Colliers
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Board Size
25
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Paid Staff Size
265
*2020 compensation, as reported by the organization, includes annual salary and, if applicable, benefit plans, expense accounts, and other allowances.
Method(s) Used:
Direct mail appeals, Grant proposals, Internet, Invitations to fund raising events, Planned giving arrangements, Print advertisements (newspapers, magazines, etc.), Radio, Cause- related marketing (affinity credit cards, consumer product sales, etc.), Television, Other
Fundraising costs were 7% of related contributions. (Related contributions, which totaled $17,071,801 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 Crossnore Communities for Children's audited financial statements - consolidated for the year ended September 30, 2020.
Source of Funds |
Contributions |
$16,868,813 |
Program service revenue |
$6,321,631 |
Investment income |
$3,967,963 |
Supporting business activities |
$3,641,788 |
Other income |
$273,070 |
In-kind contributions |
$202,988 |
Total Income |
$31,276,253 |
- Programs: 89%
- Fundraising: 6%
- Administrative: 5%
Total Income |
$31,276,253 |
Program expenses |
$18,329,888 |
Fundraising expenses |
$1,212,561 |
Administrative expenses |
$1,170,852 |
Other expenses |
$0 |
Total expenses: |
$20,713,301 |
Income in Excess of Expenses |
$10,562,952 |
Beginning Net Assets |
$61,899,505 |
Other Changes In Net Assets |
$-1,908,988 |
Ending Net Assets |
$70,553,469 |
Total Liabilities |
$4,193,569 |
Total Assets |
$74,747,038 |
Note 1: As noted in the above financial section, "other changes in net assets" refers to a change in beneficial interests in trusts ($128,060), change in unfunded pension liability ($108,452), and an impairment loss on land (-$2,145,500).
Note 2: According to Crossnore's audited financial statements for the year ended September 30, 2020, the organization received $202,988 in contributed goods and services.