Independent auditors have given ARCHS an “unmodified” or “clean” audit for the 22nd consecutive fiscal year. ARCHS’ FY 2023 (July 1, 2022 – June 30, 2023) financial audit was reviewed and approved by ARCHS’ Board of Directors at the December 6, 2023, meeting.
Issuance of “unmodified” 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.
For the 13th consecutive year, ARCHS has also successfully completed a federal 2 CFR 200 audit (formerly called an A-133 audit) for its work with federal funding. A 2 CFR 200 audit is required for any organization that expends more than $750,000 in one year from federal government funding.
“ARCHS’ 22 years of stellar financial stewardship is a testament to our steadfast commitment to enhance our funded initiatives that improve the lives of children and families facing disparities and disadvantages in St. Louis’ most resource deprived communities,” said ARCHS’ Chief Executive Officer Wendell Kimbrough. “ARCHS carefully and purposefully balances its strategic fiduciary and human service program responsibilities focusing on disrupting generational poverty.”
During FY 2023, ARCHS had a $47 million impact on the region. Within that number, $27 million were grants issued to funded agencies, and $20 million were funds/resources secured by ARCHS’ funded agencies.
According to ARCHS’ Chief Financial Officer Sheryl Mitchell, “The FY 2023 audit also highlighted that ARCHS’ “administrative overhead” costs were only eight percent, which is below the national average of 25 percent as calculated by the national United Way and other philanthropic groups.”
This means that 92 cents out of every dollar ARCHS managed in FY 2023 went to the direct delivery of vital human service programs that positively impacted the lives of more than 180,500 St. Louisans. The remaining eight cents assisted in providing strategic business consulting and professional development services that help support the management and evaluation of these vital local programs.