Pencils of Promise does not meet the following 2 Standards for Charity Accountability:
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.
PoP 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.
PoP does not meet this Standard because:
- The organization has not completed an effectiveness assessment in the last two years.
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:
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16
Pencils of Promise meets the remaining 16 Standards for Charity Accountability.
Pencils of Promise (PoP) reports that it builds schools and trains teachers in order to provide access to education. The organization partners with local communities and governments to help improve the education infrastructure in the communities. In 2019, PoP reports that it served 108,643 students, supported 1,113 teachers, and built 21 new schools.
For the year ended December 31, 2019, Pencils of Promise's program expenses were:
| Teacher support |
$3,089,781 |
| School building |
$1,979,440 |
| WASH |
$588,062 |
| Other program services |
$25,651 |
| Total Program Expenses: |
$5,682,934 |
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Chief Executive
Tanya Ramos, Chief Executive Officer
-
Compensation*
$307,824
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Chair of the Board
Itai Madamombe
-
Chair's Profession / Business Affiliation
Co-Founder and President, OCEANIX
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Board Size
12
-
Paid Staff Size
122
*2019 compensation includes annual salary and, if applicable, benefit plans, expense accounts, and other allowances.
Method(s) Used:
Grant proposals, Internet, Invitations to fund raising events, Planned giving arrangements
Fundraising costs were 13% of related contributions. (Related contributions, which totaled $6,621,136, 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 Pencils of Promise's audited financial statements for the year ended December 31, 2019.
| Source of Funds |
| Contributions |
$5,675,285 |
| Special events, net |
$942,265 |
| In-kind contributions |
$3,586 |
| Merchandise sales |
$1,246 |
| Other income |
$761 |
| Total Income |
$6,623,143 |
- Programs: 81%
- Fundraising: 13%
- Administrative: 6%
| Total Income |
$6,623,143 |
| Program expenses |
$5,682,934 |
| Fundraising expenses |
$869,962 |
| Administrative expenses |
$484,018 |
| Other expenses |
$0 |
| Total expenses: |
$7,036,914 |
| Income in Excess of Expenses |
$-413,771 |
| Beginning Net Assets |
$5,134,155 |
| Other Changes In Net Assets |
$-5,639 |
| Ending Net Assets |
$4,714,745 |
| Total Liabilities |
$99,617 |
| Total Assets |
$4,814,362 |
Note 1: As noted in the above financial section, "other changes in net assets" refers to a loss on foreign currency exchange.
Note 2: According to the organization's audited financial statements for the year ended December 31, 2019, PoP received in-kind contributions totaling $188,278 in the form of donated goods and services.