The news is especially welcome in the recent climate both locally and nationally of increased public scrutiny shining more light on not-for-profit accountability and transparency practices.
For the past ten fiscal years (2002-2011) ARCHS’ financial statements have earned unqualified or “clean,” audits from independent auditors.
ARCHS’ FY11 (July 1, 2010-June 30, 2011) audit was reviewed and approved by ARCHS’ Board of Directors at their December 20, 2011 meeting.
Issuance of an “unqualified opinion” means an auditor, upon review of an organization’s financial statements and accompanying notes, concluded that the financial statements and accompanying notes are presented fairly, conform to generally accepted accounting principles and fairly represent the true financial picture of the organization.
The FY11 audit also highlighted that ARCHS’ “administrative overhead” costs are only 11.2 percent, substantially below the national average of 25 percent as calculated by the national United Way. This means that ARCHS is able to directly allocate at least 89 cents out of every dollar it manages to provide vital social services with a focus on early childhood, K-12 and family and community education. The remaining 11 cents provide necessary support services that help oversee and monitor the programs and assure their long-term success.