Solutions For Change Inc

TO SOLVE FAMILY HOMELESSNESS, ONE FAMILY, ONE COMMUNITY AT A TIME.

OVER ITS TWENTY-TWO-YEAR HISTORY SOLUTIONS FOR CHANGE, INC. (SOLUTIONS) HAS ESTABLISHED NUMEROUS RELATED ORGANIZATIONS TO SUPPORT AND ADVANCE ITS MISSION OF SOLVING FAMILY HOMELESSNESS. ONLY THE PROGRAMS AND ENTERPRISES SOLELY CONTROLLED BY SOLUTIONS ARE REPRESENTED IN THIS 990. OTHER RELATED ORGANIZATIONS THAT THE NONPROFIT MANAGES, BUT ARE NOT SOLELY CONTROLLED BY SOLUTIONS, ARE NAMED IN SCHEDULE R. RESPECTIVE OF THIS 990, SOLUTIONS RAISED $4,496,637 IN REVENUE; A 21% INCREASE COMPARED TO THE $3,571,397 REPORTED IN 2020. THIS CRITICAL SUPPORT EQUIPPED THE NONPROFIT TO BUILD UPON ITS COVID RECOVERY STRATEGIES, WHICH NOT ONLY HELPED RESET ITS PROGRAM CAPABILITIES TO PRE-PANDEMIC LEVELS, BUT IT ALSO EMPOWERED SOLUTIONS TO RESPOND TO A MUCH GREATER NEED BECAUSE OF THE PANDEMIC. OF THE EIGHT DIFFERENT TRANSFORMATIONAL HOUSING COMMUNITIES, WORKFORCE TRAINING AND SUPPORTIVE SERVICE PROGRAMS OPERATED BY SOLUTIONS IN 2021 (SERVING OVER 640 ONCE HOMELESS PARENTS AND THEIR CHILDREN ON ANY GIVEN DAY), THE SOLUTIONS ACADEMY WAS THE MOST NEEDED INTERVENTION. DUE TO INCREASED CHARITABLE CONTRIBUTIONS IN 2021, SOLUTIONS WAS ABLE TO PIVOT AND COMPLEMENT THE SOLUTIONS ACADEMY WITH AN EXCITING NEW INTERVENTION CALLED THE HEALING AND RETREAT CENTER (HRC). AFTER SEVERAL YEARS IN THE DESIGN PHASE THIS NEW RESIDENTIAL PROGRAM COMES TO THE SOUTHERN CALIFORNIA REGION JUST IN TIME. THE HRC INTERVENTION REPLACES WHAT THE STATEWIDE HOMELESSNESS RESPONSE SYSTEM REFERS TO AS AN EMERGENCY SHELTER, INTERIM SHELTER, NAVIGATION CENTER OR OTHER LAW BARRIER PROGRAM. JUST AS THE NAME SUGGESTS, THIS NEW PROGRAM PROVIDES A SAFE PLACE FOR FAMILIES WITH YOUNG CHILDREN TO RETREAT, UNPACK, AND HEAL FROM THE TRAUMAS ASSOCIATED WITH TODAYS TOXIC HOMELESSNESS SYSTEM. IN 2021 THE ORGANIZATION EXPERIENCED WHAT IS REFERRED TO AS A LOSS OF CANCELLATION OF DEBT OF $2,340,772, WHICH IS CLASSIFIED AS A NONOPERATING EXPENSE, A COST INCURRED WHEN NOT DIRECTLY RELATED TO A NONPROFIT ORGANIZATIONS PRIMARY BUSINESS. THE LOSS WAS TRIGGERED AFTER A TWO-DECADE LONG FUNDING PARTNER, THE COUNTY OF SAN DIEGO, PULLED ITS PRIOR SUPPORT AND ALIGNED ITS HOMELESS FUNDING PRIORITIES WITH THE STATE, PUTTING THE SOLUTIONS MAIN CAMPUS CAPITAL EXPANSION IN JEOPARDY. THE BOARD OF DIRECTORS TOOK QUICK ACTION TO PROTECT THE SOLUTIONS MISSION AND CORE VALUES FROM THIS REQUIRED LOW BARRIER APPROACH. THE BOARD IMPLEMENTED AN EMERGENCY PIVOT AND REPURPOSE PLAN WHICH CONVERTED THE MAIN CAMPUS EXPANSION INTO A NEWLY STRATEGIZED PRIVATELY FUNDED CAMPAIGN. LOW BARRIER, AKA HOUSING FIRST, IS ANTITHETICAL TO WHAT PARENTS OF HOMELESS FAMILIES DESCRIBE AS THEIR MOST URGENT AND IMPORTANT REQUIREMENTS - A PLACE TO HEAL, LEARN AND BE EMPOWERED WITHIN A SUPPORTIVE COMMUNITY FREE OF THE NEGATIVE INFLUENCES OF DRUGS, SEX TRAFFICKING AND DEVIANT CRIMINAL BEHAVIOR, ALL THE ISSUES THAT PERMEATE THE HOMELESSNESS SYSTEM TODAY. GOING FORWARD, SOLUTIONS WILL CONTINUE ITS LOCAL AND NATIONAL ADVOCACY FOR ACCOUNTABILITY-BASED APPROACHES AIMED TO SOLVE THE ROOT CAUSES OF DEEP POVERTY, GROW PEOPLE BEYOND THEIR VULNERABILITIES, AND END DEPENDENCY. THE REPORTED NET ASSETS OR FUND BALANCES OF -2,472,422 SHOWN IN PART 1 LINE 22 OCCURRED BECAUSE OF THE AFOREMENTIONED LOSS OF CANCELATION OF DEBT, A NONOPERATING EXPENSE THAT HAD NO NEGATIVE IMPACT ON THE PROGRAMS OR OPERATIONS OF SOLUTIONS. FOR A COMPLETE OPERATIONAL AND FINANCIAL PICTURE OF ALL ENTITIES CONTROLLED AND MANAGED, REFER TO THE INDEPENDENT AUDITORS CONSOLIDATED FINANCIAL STATEMENTS.