2026-07-14T11:45:21-04:00 2025-09-30 383828234 CARTER P C 301 COLLEGE ST STE 320 ASHEVILLE NC 288012449 990 2024-10-01 200704904 PROPERTIES FOR CHILDREN PROP 7048724157 194 BARIUM SPRINGS STATESVILLE NC 28677 KRISTA ZAPPIA CFO 7044376526 2026-07-14 true true ALAN TOLER P01522061 8282599900 2026-07-14 2024 2025-03-06 01:10:19Z CELESTE DOMINGUEZ 194 BARIUM SPRINGS DR STATESVILLE NC 28677 3187188 false X WWW.CHILDRENSHOPEALLIANCE.ORG X 2004 NC PROPERTIES FOR CHILDREN (PFC) EXISTS TO SUPPORT THE MISSION OF CHILDREN'S HOPE ALLIANCE AND ITS SUBSIDIARIES, PROVIDING TRAUMA-INFORMED THERAPEUTIC PROGRAMS, FOSTER CARE, AND EARLY INTERVENTION SERVICES FOR AT-RISK CHILDREN AND FAMILIES ACROSS NORTH CAROLINA. 3 1 16 3 0 200000 28000 3641467 3011608 278117 108251 35861 24255 4155445 3172114 7871302 6288253 0 1294673 984072 0 0 2043737 1914640 11209712 9186965 -7054267 -6014851 7177076 1220612 456757 515144 6720319 705468 X CHILDREN'S HOPE ALLIANCE (CHA) MISSION IS TO PROVIDE HOPE, HEALTH, AND HEALING FOR GENERATIONS. false false 9186965 6288253 3011608 PROPERTIES FOR CHILDREN (PFC) IS THE DEDICATED PROPERTY-HOLDING AND PROPERTY-MANAGEMENT ENTITY WITHIN THE CHILDREN'S HOPE ALLIANCE (CHA) FAMILY OF NONPROFIT ORGANIZATIONS. AS A TYPE II SUPPORTING ORGANIZATION UNDER 509(A)(3), PFC HOLDS, MAINTAINS, AND MANAGES THE REAL PROPERTY AND PHYSICAL FACILITIES USED BY THE CONSOLIDATED ORGANIZATION TO DELIVER DIRECT SERVICES TO OVER 7,500 CHILDREN AND FAMILIES ANNUALLY ACROSS 63 NC COUNTIES. STRATEGIC ASSET OPTIMIZATION: PFC IS EXECUTING A BOARD-DIRECTED, MULTI-YEAR INITIATIVE TO OPTIMIZE THE CONSOLIDATED ORGANIZATION'S REAL ESTATE PORTFOLIO. THE TWO HISTORICAL FOUNDING ENTITIES, BARIUM SPRINGS HOME FOR CHILDRE (EST. 1891) AND GRANDFATHER HOME FOR CHILDREN (EST. 1914) ACQUIRED SIGNIFICANT LAND HOLDINGS OVER THEIR COMBINED 250-YEAR HISTORY. AS THE ORGANIZATION'S SERVICE DELIVERY MODEL HAS EVOLVED FROM PRIMARILY RESIDENTIAL CARE TO COMMUNITY-BASED SERVICES, A SIGNIFICANT PORTION OF THIS LEGACY REAL ESTATE NO LONGER SERVES AS ACTIVE PROGRAMMATIC PURPOSE. TO STRENGTHEN LONG-TERM FINANCIAL SUSTAINABILITY AND MAXIMIZE MISSION IMPACT, THE BOARD OF DIRECTORS HAS DIRECTED A DISCIPLINED STRATEGY OF DIVESTING NON-PERFORMING ASSETS AND REDEPLOYING PROCEEDS AS PRODUCTIVE INVESTMENTS WITHIN THE CONSOLIDATED ORGANIZATION'S PERMANENT ENDOWMENT. PFC'S ONGOING PROPERTY OPERATIONS: PFC CONTINUES TO HOLD AND ACTIVELY MANAGE THE PROPERTIES THAT REMAIN ESSENTIAL TO THE CONSOLIDATED ORGANIZATION'S MISSION-INCLUDING THE HISTORIC BARIUM SPRINGS CAMPUS, WHICH SERVES AS HEADQUARTERS. DURING FY2025, PFC GENERATED 3,011,608 IN PROGRAM SERVICE REVENUE FROM FACILITY RENTAL AND MANAGEMENT INFORMATION SYSTEMS PROVIDED TO RELATED ORGANIZATIONS AND DISTRIBUTED 6,288,253 IN GRANTS AND OTHER ASSISTANCE TO ITS SUPPORT ORGANIZATIONS TO SUPPORT THE CONSOLIDATED MISSION AND ADVANCE THE LONG-TERM ASSET OPTIMIZATION STRATEGY. 9186965 true false false false false false false false false true true false false true true true true true false false false false false false false false false true false true false false false false false false false false false false false false false true false false false true 20 0 true 16 true false false false false false false false false false false false false X 3 1 true false false false true true true true true false false true true true true true true true true false X KRISTA ZAPPIA 7048724157 194 BARIUM SPRINGS DR STATESVILLE NC 28677 KIMBERLY LAWRENCE CHAIR 2.00 1.00 X X 0 0 0 RON L TURNER JR BOARD MEMBER 1.00 1.00 X 0 0 0 CHRISTIAN TURNER BOARD MEMBER 1.00 X 0 0 0 CELESTE DOMINGUEZ CEO 2.00 38.00 X 0 338436 19205 SARAH GRAY CDO 2.00 38.00 X 0 173223 9195 LAKISHA ROGERS-MERELLI CIO 2.00 38.00 X 0 204017 8007 KEVIN ANDERS CCO 2.00 38.00 X 0 195750 15461 KRISTA ZAPPIA CFO 2.00 38.00 X 0 179873 13293 CARSON OJAMAA CSGO 2.00 38.00 X 0 178008 18476 KIRSTEN SMITH CCPO 2.00 38.00 X 0 173875 14967 1443182 98604 false true false 28000 28000 FACILITY REVENUES 532000 1580269 1580269 MIS REVENUES 561700 1431339 1431339 3011608 26198 26198 97127 15074 82053 82053 82053 MISCELLANEOUS REVENUE 24255 24255 24255 3172114 3011608 132506 6288253 6288253 789262 789262 17579 17579 116330 116330 60901 60901 23749 23749 407099 407099 614486 614486 320436 320436 13130 13130 200650 200650 335090 335090 9186965 9186965 0 0 27156 21664 15806 7895 5821283 200872 264645 1931381 1193383 866017 737998 3900 3900 242042 184510 7177076 1220612 208679 324152 2920 2920 245158 188072 456757 515144 X 6720319 705468 6720319 705468 7177076 1220612 -6014851 X false true X true false X X 4 CHILDREN'S HOPE ALLIANCE 383672492 7 true 0 0 BARIUM SPRINGS HOME FOR CHILDREN 560529993 7 true 0 1634765 GRANDFATHER HOME FOR CHILDREN 560529975 7 true 0 28000 CHILDREN'S HOPE ALLIANCE FOUNDATION 010653458 7 true 0 0 4 1662765 true false false false false false false false false false false false false false false false PART IV, SECTION C, LINE 1 THE TRUSTEES SHALL BE APPOINTED ANNUALLY BY A RESOLUTION OF THE BOARD OF DIRECTORS OF CHILDREN'S HOPE ALLIANCE. THE ENTITY THAT PROPERTIES FOR CHILDREN SUPPORTS, CHILDREN'S HOPE ALLIANCE, SHALL HAVE AND EXERCISE THE FOLLOWING RESERVE POWERS OVER PROPERTIES FOR CHILDREN: (A) TO APPOINT OR REMOVE TRUSTEES; (B) TO APPROVE AMENDMENTS TO THE ARTICLES OF INCORPORATION OR BYLAWS OF THE CORPORATION; (C) TO APPOINT OR REMOVE THE MANAGING DIRECTOR; (D) TO APPROVE ALL ANNUAL BUDGETS AND AUDITED FINANCIAL STATEMENTS AND TO APPROVE ANY DEFICIT BUDGET; (E) TO REVIEW AND APPROVE DONATIONS OF REAL PROPERTY TO THE CORPORATION; (F)TO RECEIVE ANNUAL AUDITS, INTERVIEW THE AUDITOR, AND APPROVE FORM 990 RETURNS BEFORE THEY ARE FILED; (G) TO APPROVE THE CONSTRUCTION OF ANY NEW OR THE ALTERATION OF ANY EXISTING FACILITY INVOLVING AN EXPENDITURE OF 200,000.00 OR MORE; (H) TO SELL, MORTGAGE, PLEDGE, OR ALIENATE ALL OR ANY PART OF THE REAL ESTATE OR SUBSTANTIALLY ALL OF THE OTHER ASSETS OF THE CORPORATION; (I) TO DISSOLVE THE CORPORATION AND; (J) TO SPECIFY THE DISTRIBUTEE OF ITS ASSETS. 72191489 25800611 9010692 2703944 158537 58129763 7130129 11404365 4366353 106415 72191489 53860318 1812323 5245926 2672128 116676 58129763 65591990 70981 -9349540 2275000 178113 53860318 55860959 545067 10606780 1250000 170816 65591990 0.95800 0.04200 false true false 1931381 1193383 737998 737998 OPERATING LEASE RIGHT OF USE 184510 184510 OPERATING LEASE LIABILITIES 188072 188072 X 3172114 3172114 3172114 9186965 9186965 9186965 SCHEDULE D, PAGE 2, PART V, LINE 4 THE RELATED PARTY, CHILDREN'S HOPE ALLIANCE FOUNDATION'S ENDOWMENT SUPPORTS CHILDREN'S HOPE ALLIANCE (CHA'S) MISSION OF TRAUMA-INFORMED CARE FOR AT- RISK CHILDREN AND FAMILIES. THE BOARD HAS ADOPTED A SPENDING POLICY AUTHORIZING ANNUAL DISTRIBUTIONS OF NO MORE THAN 4% OF THE TRAILING 5-YEAR AVERAGE ENDOWMENT MARKET VALUE, PRESERVING LONG-TERM PURCHASING POWER WHILE PROVIDING RELIABLE ANNUAL SUPPORT FOR DIRECT SERVICES. SCHEDULE D, PAGE 3, PART X THE ORGANIZATION, AS WELL AS ITS SUBSIDIARIES, ARE EXEMPT FROM FEDERAL INCOME TAX UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. IN ADDITION, THE ORGANIZATION AND ITS SUBSIDIARIES QUALIFY FOR THE CHARITABLE CONTRIBUTION DEDUCTION UNDER SECTION 170(B)(1)(A) AND HAVE BEEN CLASSIFIED AS ORGANIZATIONS THAT ARE NOT PRIVATE FOUNDATIONS UNDER SECTION 509(A)(2). IT IS THE ORGANIZATIONS POLICY TO EVALUATE ALL TAX POSITIONS TO IDENTIFY ANY THAT MAY BE CONSIDERED UNCERTAIN. ALL IDENTIFIED MATERIAL TAX POSITIONS ARE ASSESSED AND MEASURED BY A "MORE-LIKELY-THAN-NOT" THRESHOLD TO DETERMINE IF THE TAX POSITION IS UNCERTAIN, AND WHAT, IF ANY, EFFECT THE UNCERTAIN TAX POSITION MAY HAVE ON THE CONSOLIDATED FINANCIAL STATEMENTS. NO MATERIAL UNCERTAIN TAX POSITIONS WERE IDENTIFIED FOR THE 2024 OR 2023 TAX YEARS. CURRENTLY, THE STATUTE OF LIMITATIONS REMAINS OPEN SUBSEQUENT TO AND INCLUDING TAX YEAR 2021; HOWEVER, NO EXAMINATIONS ARE IN PROCESS OR ANTICIPATED. ANY CHANGES IN THE AMOUNT OF A TAX POSITION WILL BE RECOGNIZED IN THE PERIOD THE CHANGE OCCURS. true CHILDREN'S HOPE ALLIANCE FOUNDATION 194 BARIUM SPRINGS DR STATESVILLE NC 28677 010653458 501C3 6288253 SERVICE GRANT 1 SCHEDULE I, PAGE 1, PART I, LINE 2 THE ORGANIZATION IS UNDER CONTROL OF THE SAME PARENT ORGANIZATION. X X X X X false false false false false false false false false CELESTE DOMINGUEZ CEO 338436 11502 7703 357641 SARAH GRAY CDO 173223 9195 182418 LAKISHA ROGERS-MERELLI CIO 204017 8007 212024 KEVIN ANDERS CCO 195750 7758 7703 211211 KRISTA ZAPPIA CFO 179873 2184 11109 193166 CARSON OJAMAA CSGO 178008 7580 10896 196484 KIRSTEN SMITH CCPO 173875 7264 7703 188842 SCHEDULE J, PART III COMPENSATION FOR THE PRESIDENT/CEO IS REVIEWED AND APPROVED BY THE PARENT BOARD OF CHILDREN'S HOPE ALLIANCE, CONVENED IN EXECUTIVE SESSION AND COMPRISED OF INDEPENDENT PARENT BOARD MEMBERS WITH NO FINANCIAL INTEREST IN THE COMPENSATION ARRANGEMENT UNDER REVIEW. THE PARENT BOARD'S REVIEW IS INFORMED BY AN INDEPENDENT THIRD-PARTY SALARY STUDY CONDUCTED EVERY OTHER YEAR, BENCHMARKING COMPENSATION AGAINST COMPARABLE POSITIONS AT SIMILARLY- SIZED NONPROFIT ORGANIZATIONS. THE PRESIDENT/CEO RECUSES FROM DELIBERATIONS REGARDING THEIR OWN SALARY, WHICH ARE LED BY THE BOARD CHAIR. BONUS CONSIDERATION FOR THE PRESIDENT/CEO AND OTHER OFFICERS IS ALSO BROUGHT TO THE PARENT BOARD IN EXECUTIVE SESSION FOR REVIEW AND APPROVAL. COMPENSATION FOR OTHER OFFICERS AND KEY EMPLOYEES IS BENCHMARKED USING THE SAME INDEPENDENT THIRD-PARTY SALARY STUDY AND DETERMINED BY THE PRESIDENT/CEO UNDER AUTHORITY DELEGATED BY THE PARENT BOARD. COMPENSATION DECISIONS ARE DOCUMENTED IN THE PARENT BOARD'S EXECUTIVE SESSION MEETING RECORDS. THIS PROCESS IS INTENDED TO SATISFY THE REQUIREMENTS FOR THE REBUTTABLE PRESUMPTION OF REASONABLENESS UNDER TREASURY REGULATION 53.4958-6 WITH RESPECT TO THE PRESIDENT/CEO'S COMPENSATION. FORM 990 CONSOLIDATED ORGANIZATIONAL STRUCTURE OF CHILDREN'S HOPE ALLIANCE CHILDREN'S HOPE ALLIANCE (CHA) IS A NC NONPROFIT CORPORATION SERVING AS THE PARENT AND PUBLIC BRAND OF A FAMILY OF AFFILIATED 501(C)(3) ENTITIES THAT TOGETHER FORM ONE OF NC'S OLDEST AND LARGEST PROVIDERS OF SERVICES FOR AT- RISK CHILDREN AND FAMILIES. THE CONSOLIDATED FAMILY HAS A 130+ YEAR HISTORY ROOTED IN TRADITION, TRACING BACK TO THE 1891 FOUNDING OF THE PRESBYTERIAN HOME FOR CHILDREN AT BARIUM SPRINGS AND THE FOUNDING OF GRANDFATHER HOME FOR CHILDREN IN BANNER ELK. THE TWO HISTORICAL ENTITIES MERGED IN 2011 TO FORM CHILDREN'S HOPE ALLIANCE. THE CONSOLIDATED FAMILY IS COMPOSED OF FIVE AFFILIATED ENTITIES, EACH WITH A DISTINCT FUNCTION: 1.PARENT ENTITY- CHILDREN'S HOPE ALLIANCE (CHA): CHA SERVES AS THE PARENT CORPORATION AND UNIFIED PUBLIC BRAND FOR THE CONSOLIDATED ORGANIZATION. CHA HOLDS THE PRIMARY GOVERNANCE, STRATEGIC, AND PUBLIC IDENTITY. 2.LICENSED OPERATING ENTITY- BARIUM SPRINGS HOME FOR CHILDREN (BSHC): ALL DIRECT PROGRAMMATIC SERVICES INCLUDING TRAUMA-INFORMED THERAPEUTIC PROGRAMS, FOSTER CARE, AND EARLY INTERVENTION SERVICES, ARE DELIVERED THROUGH BSHC, WHICH HOLDS THE STATE LICENSURE, ACCREDITATION, AND CONTRACTUAL AUTHORIZATIONS REQUIRED TO PROVIDE BEHAVIORAL HEALTH AND CHILD WELFARE SERVICES IN NC. BSHC EMPLOYS THE ORGANIZATION'S CLINICAL AND PROGRAMMATIC STAFF AND SERVES OVER 7,500 CHILDREN AND FAMILIES ANNUALLY ACROSS 63 NC COUNTIES. 3.ENDOWMENT AND FUNDRAISING ARM- CHILDREN'S HOPE ALLIANCE FOUNDATION (CHAF): CHAF IS A TYPE I SUPPORTING ORGANIZATION UNDER 509(A)(3) THAT HOLDS AND STEWARDS THE CONSOLIDATED ORGANIZATION'S ENDOWMENT AND CONDUCTS MAJOR FUNDRAISING ACTIVITY. CHAF OPERATES UNDER A BOARD-APPROVED SPENDING POLICY AUTHORIZING ANNUAL DISTRIBUTIONS OF NO MORE THAN 4% OF THE TRAILING FIVE-YEAR AVERAGE ENDOWMENT MARKET VALUE TO FUND DIRECT SERVICES. DESPITE ITS NAME, CHAF IS NOT A PRIVATE FOUNDATION, IT IS A PUBLICLY SUPPORTED 501(C)(3) ORGANIZATION OPERATING AS A SUPPORTING ORGANIZATION OF CHA. 4.LEGACY TRUST ENTITY- GRANDFATHER HOME FOR CHILDREN (GFHC): GFHC IS A TYPE II SUPPORTING ORGANIZATION UNDER 509(A)(3) THAT IS MAINTAINED AS A SEPARATE LEGAL ENTITY BECAUSE IT IS THE NAMED BENEFICIARY OF PERPETUAL CHARITABLE TRUST INCOME ESTABLISHED BY HISTORICAL DONORS. PRESERVING GFHC HONORS DONOR INTENT AND ENSURES CONTINUED TRUST INCOME FOR THE CONSOLIDATED MISSION. GFHC HAS NO EMPLOYEES AND CONDUCTS NO DIRECT PROGRAMS; IT DISTRIBUTES INVESTMENT INCOME TO ITS SUPPORT ORGANIZATIONS. 5.PROPERTY-HOLDING ENTITY- PROPERTIES FOR CHILDREN (PFC): PFC HOLDS AND MANAGES ALL REAL PROPERTY OWNED BY THE CONSOLIDATED ORGANIZATION, INCLUDING THE HISTORIC BARIUM SPRINGS CAMPUS AND OTHER REAL ESTATE USED IN SUPPORT OF THE MISSION. SEGREGATING REAL PROPERTY IN A SEPARATE LEGAL ENTITY PROVIDES LIABILITY PROTECTION, FACILITATES PROPERTY MANAGEMENT, AND PRESERVES OPTIONAL FLEXIBILITY FOR FUTURE USE. ALL FIVE ENTITIES ARE INCLUDED IN THE CONSOLIDATED AUDITED FINANCIAL STATEMENTS PREPARED ANNUALLY BY THE ORGANIZATION'S INDEPENDENT CPA FIRM. THE ENTITIES SHARE OVERLAPPING BOARD AND EXECUTIVE LEADERSHIP TO ENSURE UNIFIED MISSION FOCUS, OPERATIONAL EFFICIENCY, AND CONSISTENT GOVERNANCE. EXPLANATION - NET ASSET REDUCTION THE NET ASSET REDUCTION OF 6,014,851 REPORTED AT PFC DURING FY2025 REFLECTS THE PLANNED, BOARD-DIRECTED EXECUTION OF A MULTI-YEAR STRATEGIC ASSET OPTIMIZATION INITIATIVE, NOT OPERATING DISTRESS. STRATEGIC RATIONALE: OVER ITS 130+ YEAR HISTORY, THE CONSOLIDATED CHA ORGANIZATION ACCUMULATED SUBSTANTIAL REAL ESTATE HOLDINGS ORIGINALLY ACQUIRED TO SUPPORT RESIDENTIAL CHILDREN'S CARE. AS THE ORGANIZATION'S SERVICE DELIVERY MODEL HAS EVOLVED TOWARD COMMUNITY-BASED PROGRAMS, MUCH OF THIS LEGACY REAL ESTATE NO LONGER SUPPORTS ACTIVE PROGRAMMING. THE BOARD OF DIRECTORS DETERMINED THAT THE HIGHEST AND BEST MISSION USE OF THIS LEGACY REAL ESTATE WAS TO CONVERT NON-PERFORMING REAL PROPERTY ASSETS INTO PRODUCTIVE PERMANENT ENDOWMENT CAPITAL THAT GENERATES PERPETUAL INCOME FOR DIRECT SERVICES. UNDER THIS STRATEGY, PFC DIVESTED LEGACY PROPERTIES NO LONGER NEEDED FOR PROGRAMMATIC USE AND TRANSFERRED THE NET PROCEEDS (REFLECTED IN GRANTS TO RELATED ORGANIZATIONS AND IN THE REDUCTION OF NOTES AND LOANS RECEIVABLE) TO CHAF, THE CONSOLIDATED ORGANIZATION'S TYPE I SUPPORTING ORGANIZATION THAT HOLDS THE PERMANENT ENDOWMENT. CHAG'S BOARD DESIGNATED THESE PROCEEDS TO THE PERMANENT BOARD-DESIGNATED ENDOWMENT, WHERE THEY ARE INVESTED FOR LONG-TERM GROWTH AND DISTRIBUTED ANNUALLY UNDER THE BOARD-APPROVED 4% SPENDING POLICY (ON A 5-YEAR ROLLING AVERAGE) TO FUND DIRECT SERVICES TO CHILDREN AND FAMILIES. CONSOLIDATED IMPACT. THE NET ASSET REDUCTION AT PFC IS DIRECTLY OFFSET BY A CORRESPONDING NET ASSET INCREASE AT CHAF. ON A CONSOLIDATED BASIS, THE CHA FAMILY OF ENTITIES SAW SIGNIFICANT NET ASSET GROWTH DURING FY2025, REFLECTING THE SUCCESSFUL CONVERSION OF NON-PRODUCTIVE LEGACY ASSETS INTO MISSION-SUSTAINING PERMANENT CAPITAL. CONSOLIDATED AUDITED FINANCIAL STATEMENTS, AVAILABLE UPON REQUEST, REFLECT THE TRUE COMBINED FINANCIAL POSITION. LONG-TERM IMPACT. ASSETS THAT PREVIOUSLY GENERATED LITTLE OR NO INCOME AND CARRIED ONGOING MAINTENANCE, INSURANCE AND PROPERTY TAX COSTS ARE NOW INVESTED IN A DIVERSIFIED, PROFESSIONALLY MANAGED ENDOWMENT GENERATING APPROXIMATELY 4% IN ANNUAL DISTRIBUTIONS TO MISSION DELIVERY. THIS POSITIONS THE CONSOLIDATED ORGANIZATION FOR ENHANCED LONG-TERM FINANCIAL SUSTAINABILITY AND EXPANDED PROGRAMMATIC IMPACT. FORM 990, PAGE 2, PART III, LINE 4A PROPERTIES FOR CHILDREN (PFC) IS THE DEDICATED PROPERTY-HOLDING AND PROPERTY-MANAGEMENT ENTITY WITHIN THE CHILDREN'S HOPE ALLIANCE (CHA) FAMILY OF NONPROFIT ORGANIZATIONS. AS A TYPE II SUPPORTING ORGANIZATION UNDER 509(A)(3), PFC HOLDS, MAINTAINS, AND MANAGES THE REAL PROPERTY AND PHYSICAL FACILITIES USED BY THE CONSOLIDATED ORGANIZATION TO DELIVER DIRECT SERVICES TO OVER 7,500 CHILDREN AND FAMILIES ANNUALLY ACROSS 63 NC COUNTIES. STRATEGIC ASSET OPTIMIZATION: PFC IS EXECUTING A BOARD-DIRECTED, MULTI-YEAR INITIATIVE TO OPTIMIZE THE CONSOLIDATED ORGANIZATION'S REAL ESTATE PORTFOLIO. THE TWO HISTORICAL FOUNDING ENTITIES, BARIUM SPRINGS HOME FOR CHILDRE (EST. 1891) AND GRANDFATHER HOME FOR CHILDREN (EST. 1914) ACQUIRED SIGNIFICANT LAND HOLDINGS OVER THEIR COMBINED 250-YEAR HISTORY. AS THE ORGANIZATION'S SERVICE DELIVERY MODEL HAS EVOLVED FROM PRIMARILY RESIDENTIAL CARE TO COMMUNITY-BASED SERVICES, A SIGNIFICANT PORTION OF THIS LEGACY REAL ESTATE NO LONGER SERVES AS ACTIVE PROGRAMMATIC PURPOSE. TO STRENGTHEN LONG-TERM FINANCIAL SUSTAINABILITY AND MAXIMIZE MISSION IMPACT, THE BOARD OF DIRECTORS HAS DIRECTED A DISCIPLINED STRATEGY OF DIVESTING NON-PERFORMING ASSETS AND REDEPLOYING PROCEEDS AS PRODUCTIVE INVESTMENTS WITHIN THE CONSOLIDATED ORGANIZATION'S PERMANENT ENDOWMENT. PFC'S ONGOING PROPERTY OPERATIONS: PFC CONTINUES TO HOLD AND ACTIVELY MANAGE THE PROPERTIES THAT REMAIN ESSENTIAL TO THE CONSOLIDATED ORGANIZATION'S MISSION-INCLUDING THE HISTORIC BARIUM SPRINGS CAMPUS, WHICH SERVES AS HEADQUARTERS. DURING FY2025, PFC GENERATED 3,011,608 IN PROGRAM SERVICE REVENUE FROM FACILITY RENTAL AND MANAGEMENT INFORMATION SYSTEMS PROVIDED TO RELATED ORGANIZATIONS AND DISTRIBUTED 6,288,253 IN GRANTS AND OTHER ASSISTANCE TO ITS SUPPORT ORGANIZATIONS TO SUPPORT THE CONSOLIDATED MISSION AND ADVANCE THE LONG-TERM ASSET OPTIMIZATION STRATEGY. FORM 990, PART VI EXPLANATION FAMILY RELATIONSHIP DISCLOSURE (PART VI, LINE 2): RON L. TURNER JR. AND CHRISTIAN TURNER, BOTH MEMBERS OF THE PROPERTIES FOR CHILDREN BOARD OF DIRECTORS, ARE FATHER/SON. THE FAMILY RELATIONSHIP WAS DISCLOSED TO THE BOARD AT THE TIME OF CHRISTIAN TURNER'S APPOINTMENT AND IS MANAGED THROUGH THE ORGANIZATION'S CONFLICT OF INTEREST POLICY. WHEN BOARD MATTERS DIRECTLY OR INDIRECTLY INVOLVE ANY FAMILY MEMBER'S PERSONAL OR FINANCIAL INTEREST, THE AFFECTED INDIVIDUAL RECUSES FROM DELIBERATION AND VOTING, AND THE RECUSAL IS DOCUMENTED IN THE BOARD MINUTES. FORM 990, PAGE 6, PART VI, LINE 2 CHRISTIAN TURNER RON TURNER BOARD MEMBER BOARD MEMBER SON-FATHER FORM 990, PAGE 6, PART VI, LINE 6 CHILDREN'S HOPE ALLIANCE, A RELATED NONPROFIT CORPORATION, IS THE SOLE MEMBER. FORM 990, PAGE 6, PART VI, LINE 7A THE TRUSTEES SHALL BE APPOINTED ANNUALLY BY A RESOLUTION OF THE BOARD OF DIRECTORS OF CHILDREN'S HOPE ALLIANCE AND SHALL ASSUME OFFICE AS OF THE FIRST DAY OF THE NEXT CALENDAR YEAR. EACH TRUSTEE SHALL HOLD OFFICE UNTIL THE FIRST OF THE FOLLOWING TO OCCUR: UNTIL HIS OR HER SUCCESSOR SHALL HAVE BEEN DULY APPOINTED AND SHALL HAVE QUALIFIED; OR UNTIL HIS OR HER DEATH, OR UNTIL HE OR SHE SHALL RESIGN IN WRITING; OR UNTIL HE OR SHE SHALL HAVE BEEN REMOVED IN THE MANNER DESIGNATED IN THE BYLAWS OF THE ORGANIZATION. FORM 990, PAGE 6, PART VI, LINE 7B THE ENTITY THAT THE CORPORATION SUPPORTS, CHILDREN'S HOPE ALLIANCE, SHALL HAVE AND EXERCISE THE FOLLOWING RESERVE POWERS: (A) TO APPOINT OR REMOVE TRUSTEES; (B) TO APPROVE AMENDMENTS TO THE ARTICLES OF INCORPORATION OR BYLAWS OF THE CORPORATION; (C) TO APPOINT OR REMOVE THE MANAGING DIRECTOR; (D) TO APPROVE ALL ANNUAL BUDGETS AND AUDITED FINANCIAL STATEMENTS AND TO APPROVE ANY DEFICIT BUDGET; (E) TO REVIEW AND APPROVE DONATIONS OF REAL PROPERTY TO THE CORPORATION; (F)TO RECEIVE ANNUAL AUDITS, INTERVIEW THE AUDITOR, AND APPROVE FORM 990 RETURNS BEFORE THEY ARE FILED; (G) TO APPROVE THE CONSTRUCTION OF ANY NEW OR THE ALTERATION OF ANY EXISTING FACILITY INVOLVING AN EXPENDITURE OF 200,000.00 OR MORE; (H) TO SELL, MORTGAGE, PLEDGE, OR ALIENATE ALL OR ANY PART OF THE REAL ESTATE OR SUBSTANTIALLY ALL OF THE OTHER ASSETS OF THE CORPORATION; (I) TO DISSOLVE THE CORPORATION AND; (J) TO SPECIFY THE DISTRIBUTEE OF ITS ASSETS. FORM 990, PAGE 6, PART VI, LINE 11B A COMPLETE COPY OF THE DRAFT FORM 990 IS PREPARED BY THE ORGANIZATION'S OUTSIDE CPA FIRM (CARTER, P.C.), REVIEWED BY THE CFO, AND PROVIDED TO ALL MEMBERS OF THE FINANCE COMMITTEE AND FULL BOARD OF DIRECTORS PRIOR TO FILING WITH THE IRS. FORM 990, PAGE 6, PART VI, LINE 12C INTERNAL CONTROLS OVER FINANCIAL REPORTING ENSURE THAT CONFLICTS OF INTEREST DO NOT EXIST. FORM 990, PAGE 6, PART VI, LINE 15A THE OFFICERS AND KEY EMPLOYEES LISTED IN PART VII ARE EMPLOYED BY CHILDREN'S HOPE ALLIANCE (CHA), THE PARENT OPERATING ENTITY OF THE CONSOLIDATED ORGANIZATION. AS A TYPE II SUPPORTING ORGANIZATION UNDER 509 (A)(3), PROPERTIES FOR CHILDREN SHARES OVERLAPPING EXECUTIVE LEADERSHIP WITH CHA TO MAINTAIN THE REQUIRED SUPERVISORY AND OPERATIONAL RELATIONSHIP. COMPENSATION REPORTED IN COLUMN (E) REFLECTS AMOUNTS PAID BY CHA FOR SERVICES RENDERED TO THE CONSOLIDATED ORGANIZATION, INCLUDING TIME ALLOCATED TO PFC'S PROPERTY MANAGEMENT, GOVERNANCE, AND OPERATIONAL OVERSIGHT FUNCTIONS. NO COMPENSATION IS PAID DIRECTLY BY PFC TO LISTED OFFICERS OR KEY EMPLOYEES (COLUMN D = 0). PFC DIRECTLY EMPLOYS 16 PROPERTY MANAGEMENT, MAINTENANCE, AND INFORMATION TECHNOLOGY STAFF (REPORTED ON FORM W-3). NO DIRECTLY EMPLOYED PFC STAFF MEMBER RECEIVED REPORTABLE COMPENSATION EXCEEDING 100,000, AND THEREFORE NONE ARE LISTED AS HIGHEST COMPENSATED EMPLOYEES IN PART VII. FORM 990, PAGE 6, PART VI, LINE 15B PFC DIRECTLY EMPLOYS 16 PROPERTY MANAGEMENT, MAINTENANCE, AND INFORMATION TECHNOLOGY STAFF (REPORTED ON FORM W-3). NO DIRECTLY EMPLOYED PFC STAFF MEMBER RECEIVED REPORTABLE COMPENSATION EXCEEDING 100,000, AND THEREFORE NONE ARE LISTED AS HIGHEST COMPENSATED EMPLOYEES IN PART VII. FORM 990, PAGE 6, PART VI, LINE 19 THE ORGANIZATION'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS ARE AVAILABLE UPON REQUEST AT THE ORGANIZATION'S ADMINISTRATIVE OFFICES. CHILDREN'S HOPE ALLIANCE 194 BARIUM SPRINGS DR STATESVILLE NC 28677 383672492 SUPPORT NC 501C3 12C N/A false CHILDREN'S HOPE ALLIANCE FOUNDATION 194 BARIUM SPRINGS DR STATESVILLE NC 28677 010653458 SUPPORT NC 501C3 7 CHA false GRANDFATHER HOME FOR CHILDREN INC 194 BARIUM SPRINGS DR STATESVILLE NC 28677 560529975 SERVICES NC 501C3 12B CHA false BARIUM SPRINGS HOME FOR CHILDREN 194 BARIUM SPRINGS DR STATESVILLE NC 28677 560529993 SERVICES NC 501C3 7 CHA false false true true false false false false false false false false false false true true false false false false CHILDREN'S HOPE ALLIANCE B 6288253 INTERCOMPANY BARIUM SPRINGS HOME FOR CHILDREN C 1634765 INTERCOMPANY GRANDFATHER HOME FOR CHILDREN C 28000 INTERCOMPANY