Court filing
Declaration Levy — Marshall v. Prestamos CDFI, LLC (Dkt. 84-2, E.D. Pa. No. 5:21-cv-04337)
Filed September 22, 2023 in Marshall v. Prestamos CDFI, LLC; one of 344 filings from this case.
Record facts
| Court | U.S. District Court for the Eastern District of Pennsylvania |
|---|---|
| Filed | 2023-09-22 |
U.S. District Court for the Eastern District of Pennsylvania · No. 5:21-cv-04337-JMG · Doc. 84-2 · 2023-09-22 · Docket on CourtListener
Full text
Case 5:21-cv-04337-JMG
Document 84-2
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IN THE UNITED STATES DISTRICT COURT
FOR THE EASTERN DISTRICT OF PENNSYLVANIA
ALICIA MARSHALL, DANIEL
PRONSKY, PARIS TOWNSEND,
NANCILEE HOLLAND, LEONA
OWSLEY, KOLAWOLE AHMADOU,
KIANA DERVIN, KRISTINA
HENDERSON, DUSTIN INNIS, KELLY
STALNAKER and JAMIE JONES,
individually and on behalf of all others
similarly situated,
Plaintiffs,
v.
PRESTAMOS CDFI, LLC and
CHICANOS POR LA CAUSA, INC.,
Defendants.
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Case No. 5:21-cv-04337-JMG
DECLARATION OF ALEXA L. LEVY
I, Alexa L. Levy, declare as follows:
1.
I am an associate of the law firm of Ballard Spahr LLP, 1735 Market Street,
Philadelphia, PA 19103, attorneys for Defendants Prestamos CDFI, LLC (“Prestamos”) and
Chicanos Por La Causa, Inc (“CPLC”) (collectively, “Defendants”). I submit this declaration in
support of Defendant CPLC’s renewed motion to dismiss Plaintiffs’ Second Amended Complaint.
2.
Attached hereto as Exhibit 1 is a true and correct copy of the transcript of the
September 22, 2023 deposition of Alicia Nunez (“Nunez Deposition”).
3.
Attached hereto as Exhibit 2 is a true and correct copy of the transcript of the
September 22, 2023 deposition of Jose Martinez (“Martinez Deposition”).
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4.
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Attached hereto as Exhibit 3 is a true and correct copy of the document bearing
Bates numbers PRESTAMOS-00298173, which contains CPLC’s Resolution 2023-1, approving
the audited consolidated financial statements for fiscal year 2021-2022.1
5.
Attached hereto as Exhibit 4 is a true and correct copy of excerpts from Exhibit 24
to the Nunez Deposition, bearing Bates numbers PRESTAMOS-00304036–081; PRESTAMOS00304114–120; PRESTAMOS-00304136. This exhibit contains a July 20, 2021 email and
attachments from Sylvia Rebozo to Jose Martinez.
6.
Attached hereto as Exhibit 5 is a true and correct copy of the document bearing
Bates numbers PRESTAMOS-00307735–43, which contains the Fourth Amended and Restated
Operating Agreement of Prestamos CDFI, LLC.
7.
Attached hereto as Exhibit 6 is a true and correct copy of CPLC’s Objections and
Responses to Plaintiffs’ First Set of Interrogatories, dated July 14, 2023.
8.
Attached hereto as Exhibit 7 is a true and correct copy of Exhibit 10 to the Nunez
Deposition, bearing Bates numbers PRESTAMOS-00296762-794. This exhibit contains the
Prestamos Consolidated Financial Statements for the fiscal years ended June 30, 2021 and 2020.
9.
Attached hereto as Exhibit 8 is a true and correct copy of the document bearing
Bates numbers PRESTAMOS-00307654-7734, which contains CPLC’s Form 990 for the fiscal
year ended June 30, 2021.
10.
Attached hereto as Exhibit 9 is a true and correct copy of the document bearing
Bates numbers PRESTAMOS-00297006-12. This exhibit contains the Intercompany Services
Agreement between CPLC and Prestamos, entered into on July 1, 2019.
1
All documents referenced herein with a Bates number have been produced by Defendants in this
case.
2
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11.
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Attached hereto as Exhibit 10 is a true and correct copy of Exhibit 32 to the
Martinez Deposition, bearing Bates numbers PRESTAMOS-00296999-7005.
This exhibit
contains the Intercompany Services Agreement between CPLC and Prestamos, entered into on
February 20, 2020.
12.
Attached hereto as Exhibit 11 is a true and correct copy of Exhibit 33 to the
Martinez Deposition, bearing Bates numbers PRESTAMOS-00297013-015. This exhibit contains
a resolution of the Prestamos Board of Directors dated February 20, 2020.
13.
Attached hereto as Exhibit 12 is a true and correct copy of Exhibit 15 to the Nunez
Deposition, bearing Bates numbers PRESTAMOS-00307578-653. This exhibit contains the
CPLC Consolidated Financial Statements and Supplementary Information for the fiscal year ended
June 30, 2021.
14.
Attached hereto as Exhibit 13 is a true and correct copy of CPLC’s Objections and
Responses to Plaintiffs’ First Set of Requests for Admission, dated July 14, 2023.
Dated: October 13, 2023
/s/ Alexa L. Levy_______________________________
Alexa L. Levy
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EXHIBIT 1
(FILED UNDER SEAL)
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EXHIBIT 2
(FILED UNDER SEAL)
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EXHIBIT 3
(FILED UNDER SEAL)
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EXHIBIT 4
(FILED UNDER SEAL)
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EXHIBIT 5
(FILED UNDER SEAL)
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EXHIBIT 6
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IN THE UNITED STATES DISTRICT COURT
FOR THE EASTERN DISTRICT OF PENNSYLVANIA
ALICIA MARSHALL, DANIEL
PRONSKY, PARIS TOWNSEND,
NANCILEE HOLLAND, LEONA
OWSLEY, KOLAWOLE AHMADOU,
KIANA DERVIN, KRISTINA
HENDERSON, DUSTIN INNIS, KELLY
STALNAKER and JAMIE JONES,
individually and on behalf of all others
similarly situated,
Plaintiffs,
v.
PRESTAMOS CDFI, LLC and
CHICANOS POR LA CAUSA, INC.,
Defendants.
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Case No. 5:21-cv-04337-JMG
DEFENDANT CHICANOS POR LA CAUSA, INC.’S OBJECTIONS AND
RESPONSES TO PLAINTIFFS’ FIRST SET OF INTERROGATORIES
Defendant Chicanos Por La Causa, Inc. (“CPLC”), by and through its undersigned
counsel, hereby objects and responds to the First Set of Interrogatories (the “Interrogatories”)
propounded by Plaintiffs Alicia Marshall, Daniel Pronsky, Paris Townsend, Nancilee Holland,
Leona Owsley, Kolawole Ahmadou, Kiana Dervin, Kristina Henderson, Dustin Innis, Kelly
Stalnaker, and Jamie Jones, individually (together, “Named Plaintiffs”), and on behalf of all
others similarly situated, as follows:
GENERAL OBJECTIONS
CPLC states the following General Objections to the Interrogatories:
1.
CPLC objects to the Interrogatories, including the instructions and definitions
provided therewith, to the extent they purport to impose any obligation greater than, or inconsistent
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with, that required by the Federal Rules of Civil Procedure and the Local Rules for the Eastern
District of Pennsylvania.
2.
CPLC objects to the Interrogatories, including the definitions and instructions
provided therewith, to the extent they seek to alter or exceed the scope of the obligations placed
on CPLC by applicable law, court rules, and/or court orders, including any obligations CPLC may
have to supplement or amend its responses.
3.
CPLC objects to the Interrogatories to the extent they seek CPLC’s litigation
strategy, or information prepared in anticipation of litigation or in preparation for trial, or
information protected by the attorney-client privilege, the attorney work product doctrine, and/or
other applicable privileges and immunities. The inadvertent disclosure of privileged information
or the release of privileged information shall not constitute a waiver of any privilege.
4.
CPLC objects to the definitions of the terms “you,” “your,” and “person,” including
all variations thereof, to the Interrogatories using those terms, as being overbroad, unduly
burdensome, and requiring CPLC to undertake an unreasonable investigation.
5.
CPLC objects to the definitions of the term “Identify,” including all variations
thereof, to the Interrogatories using those terms, as being overbroad, unduly burdensome, and
requiring CPLC to undertake an unreasonable investigation.
6.
CPLC objects to the Interrogatories using the terms “you” and “your,” including all
variations thereof, on the basis that each Interrogatory is overbroad, vague, ambiguous, unduly
burdensome, and/or to the extent the Interrogatory is directed to parties other CPLC. CPLC objects
to the Interrogatories to the extent such terms purport to encompass CPLC’s present or former
agents, representatives, and/or attorneys, each person acting or purporting to act on its behalf,
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including each of its parents, predecessors, subsidiaries, and affiliates, and each of the present and
former officers, employees, agents, representatives, and attorneys of the party.
7.
CPLC objects to the Interrogatories to the extent they seek information that is not
relevant to any claim or defense, nor proportional to the needs of the case. CPLC expressly
reserves the right to object to the introduction into evidence at trial, or upon the record at any stage
of this litigation, of information or documents subject to any objection contained herein. By
responding to the Interrogatories, CPLC does not concede the relevance or admissibility of the
information requested, nor does it adopt Plaintiffs’ legal characterizations of terms and words used
herein.
8.
CPLC objects to the Interrogatories to the extent they are overbroad, vague,
ambiguous, unduly burdensome, and/or duplicative.
9.
CPLC objects to the Interrogatories to the extent they seek information already
known or seek information equally accessible to Plaintiffs or already in Plaintiffs’ possession,
custody, or control, or to the extent the Interrogatories are related to or purport to require the
identification of information in the public domain since such information is equally available to
Plaintiffs.
10.
CPLC objects to the Interrogatories to the extent they purport to request information
from CPLC’s agents, attorneys, predecessors, subsidiaries, affiliates and/or other non-parties to
this action. CPLC will only provide information in its possession, custody and/or control, and not
information in the possession of other persons or entities.
11.
CPLC objects to the Interrogatories on the grounds of vagueness and overbreadth
to the extent Plaintiffs did not provide definitions of key operative terms or phrases and has
otherwise failed to delineate the scope or meaning of each Interrogatory.
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CPLC objects to the Interrogatories to the extent they seek to discover “each” piece
of or “any” or “all” information, identification of individuals or entities, or other materials or
information as overbroad, unduly burdensome, onerous, vexatious, unreasonably cumulative and
duplicative, and not susceptible to reasonable limitation.
13.
To the extent that the information requested could be more readily and/or
appropriately obtained through depositions or other means, CPLC objects to the Interrogatories as
unduly burdensome, redundant, and harassing.
14.
CPLC objects to the Interrogatories to the extent they seek discovery of
electronically stored information from sources that are not reasonably accessible because of undue
burden or cost.
15.
CPLC objects to the Interrogatories to the extent they require CPLC to make a
conclusion based on law, statute, regulation, or rule. CPLC’s responses shall not be construed as
providing or accepting a legal conclusion concerning the meaning or application of any of the
terms used in the Interrogatories.
Subject to each and every one of these General Objections, each of which CPLC
incorporates into each of the following responses, CPLC responds as follows:
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RESPONSES TO INTERROGATORIES
1.
Identify all Persons who are or have been officers or directors of Defendant CPLC
at any time from January 1, 2019 to the present, including the Person’s name, address, all email
addresses, the dates of service, and, if any salary or compensation, the period of time for each
payment, the amount of the payment, the nature of the payment, the value of any payment (if in a
form other than money), and the date of the payment.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC also objects to this Interrogatory as vague and
ambiguous to the extent the term “payment” is not defined.
Subject to and without waiving the foregoing General and Specific Objections, CPLC
responds to this Interrogatory by identifying the following individuals who serve or have served
as directors or officers of CPLC since 2020:
Directors: Stephanie Acosta; Abe Arvizu, Barbara Boone, Terry Cain, Leticia de la Vara;
Dina de Leon, Alberto Esparza, Mike Esparza, Joe Gaudio, Ted Geisler, Jose “Casper” Habre, Dan
Hernandez, Delma Herrera, Leonardo Loo, Sal Martinez, Reyna Montoya, Tony Moya, Verma
Pastor, Rudy Perez, Cecilia Rosales, Frank Salomon, Jody Sarchett, Mike Solis, Alex Varela, Jim
Vigil, and Chad Welborn.
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Officers: David Adame, Andres L. Contreras, Patricia Garcia Duarte, Max Gonzales, Jose
Martinez, Alicia Nunez, Maria Spelleri, and German Reyes.
2.
Identify all Persons who have been officers or directors or employees who were
involved in any capacity in Your or Prestamos’s PPP lending in 2021, and for each such Person,
Identify the individual’s name, address, the dates of service, and, if any salary or compensation,
the period of time for each payment, the amount of the payment, the nature and payor of the
payment, the value of any payment (if in a form other than money), and the date of the payment.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC acknowledges that it and/or certain CPLC employees
performed tasks and/or services for and/or on behalf of Prestamos pursuant to the Intercompany
Services Agreements between CPLC and Prestamos (the “Intercompany Services Agreements”).
In light of the foregoing, CPLC objects to the identification of all CPLC employees performing
tasks and/or services pursuant to the Intercompany Services Agreements as unduly burdensome
and not proportional to the needs of the litigation. CPLC also objects to this Interrogatory as vague
and ambiguous to the extent the terms “officers,” directors” and “employees” are not defined in
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relation to any entity, and also to the extent the term “payment” is not defined. CPLC further
objects to this Interrogatory to the extent it assumes that CPLC engaged in PPP lending.
Subject to and without waiving the foregoing General and Specific Objections, CPLC
responds to this Interrogatory that Jose Martinez, in his capacity as an officer of Prestamos, was
involved in Prestamos’s PPP lending. By way of further response, CPLC will produce, pursuant
to Rule 33(d) of the Federal Rules of Civil Procedure, the Intercompany Services Agreements.
3.
Identify all Persons who are or have been officers, directors, or employees of
Defendant CPLC and who are or have also been officers, directors, or employees of Defendant
Prestamos during the Relevant Time Period, including Person’s name, address, all email addresses,
the dates of service, and, if any salary or compensation, the period of time for each payment, the
amount of the payment, the nature and payor of the payment, the value of any payment (if in a
form other than money), and the date of the payment.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC acknowledges that it and/or certain CPLC employees
performed tasks and/or services for and/or on behalf of Prestamos pursuant to the Intercompany
Services Agreements between CPLC and Prestamos (the “Intercompany Services Agreements”).
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In light of the foregoing, CPLC objects to the identification of all CPLC employees performing
tasks and/or services pursuant to the Intercompany Services Agreements as unduly burdensome
and not proportional to the needs of the litigation. CPLC also objects to this Interrogatory as vague
and ambiguous to the extent the term “payment” is not defined.
Subject to and without waiving the foregoing General and Specific Objections, CPLC
responds to this Interrogatory by identifying the following officers and directors of CPLC who
serve or have served as officers or directors of Prestamos since 2020:
CPLC officers David Adame, Alicia Nunez, and Max Gonzales serve on Prestamos’s
“Board of Directors” as that term is used in Prestamos’s operative operating agreement.
CPLC directors Jose “Casper” Habre, Dan Hernandez, and Delma Herrera, and CPLC
officer David Adame, serve on Prestamos’s “Community Advisory Board” as that term is used in
Prestamos’s operative operating agreement.
CPLC officer Jose Martinez is also an officer of Prestamos.
4.
Identify each of Your officers, directors or employees who had any
Communications with any Persons outside of CPLC regarding Prestamos’s PPP lending, including
any and all such Communications with Blueacorn, the SBA, the Federal Reserve Bank of
Cleveland, and PPP Applicants
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
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exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC acknowledges that it and/or certain CPLC employees
performed tasks and/or services for and/or on behalf of Prestamos pursuant to the Intercompany
Services Agreements between CPLC and Prestamos (the “Intercompany Services Agreements”).
In light of the foregoing, CPLC objects to the identification of all CPLC employees performing
tasks and/or services pursuant to the Intercompany Services Agreements as unduly burdensome
and not proportional to the needs of the litigation. CPLC further objects to this Interrogatory as
unduly burdensome and not proportional to the needs of the case insofar as it seeks information
about a wide swath of communications that can have no bearing on the exercise of control over
Prestamos. CPLC also objects to this Interrogatory to the extent it seeks information protected
from disclosure by the attorney-client privilege, work product doctrine, or any other applicable
privilege.
Subject to and without waiving the foregoing General and Specific Objections, CPLC
responds to this Interrogatory by producing, pursuant to Rule 33(d) of the Federal Rules of Civil
Procedure, the Intercompany Services Agreements.
5.
Identify the total amount of PPP loan processing fees You received in 2020 and
2021 from Prestamos, the SBA or any other source, and, for all such fees, Identify the source of
payment to you.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
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jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC also objects to this Interrogatory as vague and
ambiguous to the extent the terms “loan processing fees,” “received,” and “payment” are not
defined.
Subject to and without waiving the foregoing General and Specific Objections, CPLC
states in response to this Interrogatory that it has not received PPP loan processing fees. By way
of further response, CPLC will produce, pursuant to Rule 33(d) of the Federal Rules of Civil
Procedure, a summary document sufficient to show aggregate debits and credits between CPLC
and Prestamos by category for the annual periods during the putative class period.
6.
Identify the amount and percentage of the $7,948,599,708 in assets reported in Your
2020 Form 990 that represented assets relating to the PPP, and the extent to which those assets
consisted of PPP lending fees, PPPLF advances, PPP loans receivable or otherwise.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
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exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC also objects to this Interrogatory as vague and
ambiguous to the extent the terms “assets relating to the PPP,” “lending fees,” “advances,” “loans
receivable,” and “otherwise” are not defined.
Subject to and without waiving the foregoing General and Specific Objections, CPLC
responds to this Interrogatory by producing, pursuant to Rule 33(d) of the Federal Rules of Civil
Procedure, CPLC’s audited consolidated financial statements.
7.
Identify the dollar amount and percentage of the $7,847,420,910 in liabilities
reported in Your 2020 Form 990 that represented liabilities relating to the PPP, and how those
liabilities relate to the PPP, including whether they represent obligations for PPPLF advances.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC also objects to this Interrogatory as vague and
ambiguous to the extent the terms “liabilities relating to the PPP,” “relate to the PPP,” and
“obligations for PPPLF advances” are not defined.
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Subject to and without waiving the foregoing General and Specific Objections, CPLC
responds to this Interrogatory by producing, pursuant to Rule 33(d) of the Federal Rules of Civil
Procedure, CPLC’s audited consolidated financial statements.
8.
Describe all training You provided, or made available, to Your and Prestamos’s
officers, directors, employees, independent contractors, or agents regarding compliance with the
PPP and PPP rules and regulations during the Relevant Time Period.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC also objects to this Interrogatory as vague and
ambiguous to the extent the term “training” is not defined. CPLC also objects to this Interrogatory
to the extent it seeks information protected from disclosure by the attorney-client privilege, work
product doctrine, or any other applicable privilege.
In light of the foregoing General and Specific Objections, CPLC will not provide
information in response to this Interrogatory. CPLC is willing to meet and confer regarding this
Interrogatory.
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Identify Your officers, directors, or employees who have authority to bind
Prestamos to a contractual obligation and/or is a signatory to a financial account controlled entirely
or partially by Prestamos, including the Person’s name, address, all business-related email
addresses, the dates of service, and where applicable the minimum and maximum levels of
contractual authority and/or the relevant account numbers and the financial institution that
maintains the account.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC acknowledges that it and/or certain CPLC employees
performed tasks and/or services for and/or on behalf of Prestamos pursuant to the Intercompany
Services Agreements between CPLC and Prestamos (the “Intercompany Services Agreements”).
In light of the foregoing, CPLC objects to the identification of all CPLC employees performing
tasks and/or services pursuant to the Intercompany Services Agreements as unduly burdensome
and not proportional to the needs of the litigation. CPLC also objects to this Interrogatory as vague
and ambiguous to the extent the terms “bind,” “contractual obligation,” and “contractual authority”
are not defined. CPLC further objects to this Interrogatory because it calls for a legal conclusion
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and not an application of law to facts with respect to “contractual authority” and who has “authority
to bind Prestamos to a contractual obligation.”
Subject to and without waiving the foregoing General and Specific Objections, CPLC
states in response to this Interrogatory that Jose Martinez, in his capacity as an officer of Prestamos,
is a signatory to Prestamos’s financial accounts.
10.
Identify any and all PPPLF advances that You directly, or as Prestamos’s corporate
parent indirectly, obtained or received concerning any PPP loans of Plaintiffs and other class
member borrowers in Plaintiffs’ respective states that Plaintiffs allege should have received PPP
loans, including without limitation any and all of the $133,562,175.00 total loan amount proceeds
for the 7,907 total PPP loans identified in discovery produced to date, and the status and disposition
of all such PPPLF proceeds.
RESPONSE:
CPLC objects to this Interrogatory as overbroad and irrelevant to the extent it seeks
information that is not material and necessary to the demonstration or refutation of personal
jurisdiction over CPLC and/or is not calculated to reasonably lead to the discovery of admissible
evidence related to personal jurisdiction over CPLC, as it seeks information without any limitation
or nexus to the facts necessary to establish personal jurisdiction over CPLC. This Interrogatory
exceeds the scope of the Court’s Order permitting Plaintiffs to seek only “limited discovery on the
issues of Defendant CPLC’s relationship with Defendant Prestamos for purposes of establishing
personal jurisdiction.” DE 57 at 2. CPLC also objects to this Interrogatory as vague and
ambiguous to the extent the terms “PPPLF advances,” “obtained or received,” and “class member
borrowers” are not defined. CPLC further objects to this Interrogatory as overbroad and unduly
14
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 24 of 202
burdensome to the extent it seeks information concerning individuals other than the named
plaintiffs.
Subject to and without waiving the foregoing General and Specific Objections, CPLC
states in response to this Interrogatory that it has not received PPPLF advances.
Dated: July 14, 2023
/s/ Marcel S. Pratt
Marcel S. Pratt (Pa. ID 307483)
prattm@ballardspahr.com
Timothy D. Katsiff (PA 75490)
katsifft@ballardspahr.com
Thomas J. Gallagher IV (Pa. ID 316269)
gallaghert@ballardspahr.com
Alexa Levy (Pa. ID 327973)
levya@ballardspahr.com
Travis W. Watson (Pa. ID 330753)
BALLARD SPAHR LLP
1735 Market Street, 51st Floor
Philadelphia, PA 19103-7599
Telephone: 215.665.8500
Facsimile: 215.864.8999
Roy Herrera
roy@ha-firm.com
Daniel A. Arellano
daniel@ha-firm.com
Jillian L. Andrews
jillian@ha-firm.com
HERRERA ARELLANO LLP
1001 N. Central Ave., Suite 404
Phoenix, AZ 85004
T: 520-409-4496
Attorneys for Defendant
Chicanos Por La Causa, Inc.
15
Case 5:21-cv-04337-JMG Document
84-2
Filed 10/13/23
Page 25 of 202
VERIFICATION
I, Alicia Nunez, verify and state that I am authorized to make this Verification on behalf of
Defendant Chicanos Por La Causa, Inc., and that the responses to the foregoing Interrogatories are
true and correct to the best of my knowledge, information, and belief.
This statement and Verification are made subject to the penalties of 28 U.S.C. § 1746
relating to unsworn declarations under penalty of perjury.
_____________________________
Date: ____________________.
16
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 26 of 202
CERTIFICATE OF SERVICE
I hereby certify that on the 14th day of July, 2023, the undersigned counsel caused
true and correct copies of Defendant Chicanos Por La Causa, Inc.’s Objections and Responses to
Plaintiffs’ First Set of Interrogatories to be served on the following counsel of record via
electronic mail:
LAWRENCE J. LEDERER
Bailey & Glasser LLP
1055 Thomas Jefferson Street NW, Suite 540
Washington, DC 20007
llederer@baileyglasser.com
MICHAEL L. MURPHY
Bailey & Glasser LLP
1055 Thomas Jefferson Street NW, Suite 540
Washington, DC 20007
mmurphy@baileyglasser.com
Attorney for Plaintiffs
PATRICIA M. KIPNIS
Bailey & Glasser LLP
1055 Thomas Jefferson Street NW, Suite 540
Washington, DC 20007
pkipnis@baileyglasser.com
Attorney for Plaintiffs
JUSTIN A. HELLER
Nolan Heller Kauffman LLP
80 State Street, 11th Floor
Albany, NY 12207
jheller@nhkllp.com
Attorney for Plaintiffs
MATTHEW M. ZAPALA
Nolan Heller Kauffman LLP
80 State Street, 11th Floor
Albany, NY 12207
mzapala@nhkllp.com
Attorney for Plaintiffs
Dated: July 14, 2023
/s/ Marcel S. Pratt
Marcel S. Pratt
17
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 27 of 202
EXHIBIT 7
(FILED UNDER SEAL)
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 28 of 202
EXHIBIT 8
Case 5:21-cv-04337-JMG
Form
990
Filed 10/13/23
0MB No. 1545-0047
2020
► Do not enter social security numbers on this form as it may be made public.
Open to Public
Inspection
► Go to www.irs.aov/Form990 for instructions and the latest information.
A Forthe2020calendaryear,ortaxyearbeginning
JUL 1
2020
andending
JUN 30
C Name of organization
applicable:
Page 29 of 202
Under section 501(c), 527, or 4947(a)(1) of the Internal Revenue Code (except private foundations)
~~~r~~r~;~i~~:es!~~~seury
B Check if
Document 84-2
** PUBLIC DISCLOSURE COPY**
Return of Organization Exempt From Income Tax
2021
D Employer identification number
CHICANOS POR LA CAUSA INC
□ Address
change
CPLC
D~~~~e
Doinq business as
□ Initial
return
Number and street (or P.O. box if mail is not delivered to street address)
D~~~i;n1
1112 E BUCKEYE RD
termin-
ated
□ Amended
return
DApplicat1on
pending
86 0227210
I Room/suite
E Telephone number
602-257-0700
123,984,633.
City or town, state or province, country, and ZIP or foreign postal code
G Gross receipts $
PHOENIX, AZ
H(a) Is this a group return
85034
F Name and address of principal officer: DAVID ADAME
for subordinates? ...... DYes D0No
SAME AS C ABOVE
I Tax-exempt status:
H(b) Are all subordinates included? D
DO 501(c)(3)
l ◄ (insert no.) D
501<c1<
D
4947(aH1l or D
527
J Website: ► WWW. CPLC. ORG
K Form of oraanization:
Yes D
No
If "No," attach a list. See instructions
H{c) Group exemption number ►
DO Corporation
D
Trust
D
Association
D
Other ►
I L Year of formation: 19 6 9 I M State of leaal domicile: AZ
I Part 11 Summary
Cl)
(.)
Briefly describe the organization's mission or most significant activities:
1
C:
(1l
EMPOWERED LIVES. WE DRIVE
ECONOMIC AND POLITICAL EMPOWERMENT.
► D
C:
2
Check this box
>
0
3
Number of voting members of the governing body (Part VI, line 1 a)
3
4
Number of independent voting members of the governing body (Part VI, line 1 b)
4
22
lii
0
~
if the organization discontinued its operations or disposed of more than 25% of its net assets.
22
1/)
Cl)
5
Total number of individuals employed in calendar year 2020 (Part V, line 2a)
5
962
j
6
Total number of volunteers (estimate if necessary)
6
119
~
7 a Total unrelated business revenue from Part VIII, column (C), line 12
7a
0.
7b
0.
<C
b Net unrelated business taxable income from Form 990-T, Part I line 11
Prior Year
Cl)
::i
C:
8
9
9,124,577.
36,671,576.
Program service revenue (Part VIII, line 2g)
57,792,730.
74,200,939.
Cl)
>
10
Cl)
a:
1/)
Cl)
1/)
C:
Investment income (Part VIII, column (A), lines 3, 4, and 7d)
18,786,158.
8,583,319.
11
Other revenue (Part VIII, column (A), lines 5, 6d, 8c, 9c, 10c, and 11e)
1,925,359.
2,347,962.
12
Total revenue - add lines 8 throuah 11 (must equal Part VIII, column (A) line 12)
87,628,824.
121,803,796.
13
Grants and similar amounts paid (Part IX, column (A), lines 1-3)
2,146,064.
7,147,646.
14
Benefits paid to or for members (Part IX, column (A), line 4)
15
Salaries, other compensation, employee benefits (Part IX, column (A), lines 5-10)
b Total fundraising expenses (Part IX, column (D), line 25)
><
w 17 Other expenses (Part IX, column (A), lines 11a-11d, 11f-24e)
~1
0.
0.
40,368,642.
45,298,350.
0.
0.
16a Professional fundraising fees (Part IX, column (A), line 11 e) .
Cl)
Q.
!I~~
Current Year
Contributions and grants (Part VIII, line 1 h)
►
18
Total expenses. Add lines 13-17 (must equal Part IX, column (A), line 25)
19
Revenue less expenses. Subtract line 18 from line 12
20
Total assets (Part X, line 16)
21
Total liabilities (Part X, line 26)
z,, 22
1,212,245.
31,981,716.
33,842,111.
74,496,422.
86,288,107.
13,132,402.
35,515,689.
Beginning of Current Year
204,748,364.
Net assets or fund balances. Subtract line 21 from line 20
End of Year
7,948,599,708.
140,253,426.
7,847,420,910.
64,494,938.
101,178,798.
I Part II I Signature Block
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is
true, correct, and complete. Declaration of preparer ( other than officer) is based on all information of which preparer has any knowledge.
Sign
Here
►
►
Signature of officer
ALICIA NUNEZ
Date
CFO
Type or print name and title
Print/Type preparer's name
Paid
~ELISSA HANGSLEBEN
~reparer's signature
ELISSA HANGSLEBEN
CLIFTONLARSONALLEN LLP
Preparer
Firm's name
Use Only
Firm's address ► 20 EAST THOMAS ROAD, SUITE 2300
111,..
PHOENIX, AZ 85012
May the IRS discuss this return with the preparer shown above? See instructions
032001 12-23-20
LHA For Paperwork Reduction Act Notice, see the separate instructions.
D ~ PTIN
Date
I Check
05/12/22
i,lf-employed
1
1
Firm's EIN 111,..
0 2 0 8 7 0 31
41-0746749
Phone no. ( 602)
266-2248
DOves D
No
Form 990 (2020)
PRESTAMOS-00307654
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 30 of 202
CHICANOS POR LA CAUSA INC
Form 990 2020
86-0227210
CPLC
Part m Statement of Program Service Accomplishments
Pa e2
00
Check if Schedule O contains a response or note to any line in this Part Ill
Briefly describe the organization's mission:
WE DRIVE ECONOMIC AND POLITICAL EMPOWERMENT.
2
Did the organization undertake any significant program services during the year which were not listed on the
Dves 00No
prior Form 990 or 990-EZ?
If "Yes," describe these new services on Schedule 0.
3
Did the organization cease conducting, or make significant changes in how it conducts, any program services?
Dves 00No
If "Yes," describe these changes on Schedule 0.
4
Describe the organization's program service accomplishments for each of its three largest program services, as measured by expenses.
Section 501 (c)(3) and 501 (c)(4) organizations are required to report the amount of grants and allocations to others, the total expenses, and
revenue, if any, for each program service reported.
4a
(Code: _ _ _ _ ) (Expenses$
29,941,307 •
3 , 810 , 8 4 5 • )
(Revenue$ _ _ _ _ _3_3_,_1_5_0_,_5_0_8_._
including grants of$
1,341,655. )
(Revenue$ _ _ _ _ _l_B_,'--5_4_3_,'-7_9_4_._)
including grants of$
14 8 , 4 3 4 • )
(Revenue$ _ _ _ _ _1_2_,_2_6_6_,_0_3_0_._ )
including grants of$
SOCIAL SERVICES AND EDUCATION: SEE SCHEDULE O.
4b
(Code: _ _ _ _ ) (Expenses$
21,953,129 •
REAL ESTATE OPERATIONS: SEE SCHEDULE O.
4c
(Code: _ _ _ _ ) (Expenses$
11,939,237 •
INTEGRATED HEALTH SERVICES - IHHS: SEE SCHEDULE O.
4d
Other program services (Describe on Schedule 0.)
4e
Total program service expenses ►
(Expenses$
9 , 633 , 7 8 8 •
1,846,712.)
including grants of$
(Revenue$
12,734,120.)
73,467,461.
Form 990 (2020)
032002 12-23-20
3
18260512 131839 038-057609
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307655
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 31 of 202
CHICANOS POR LA CAUSA INC
Form 990 (2020)
Paqe 3
86-0227210
CPLC
I Part IV I Checklist of Required Schedules
Yes
No
Is the organization described in section 501 (c)(3) or 4947(a)(1) (other than a private foundation)?
1
2
If "Yes, " complete Schedule A _
1
X
Is the organization required to complete Schedule B, Schedule of Contributors?
2
X
Did the organization engage in direct or indirect political campaign activities on behalf of or in opposition to candidates for
3
X
3
public office? If "Yes, " complete Schedule C, Part I
Section 501(c)(3) organizations. Did the organization engage in lobbying activities, or have a section 501 (h) election in effect
4
4
during the tax year? If "Yes," complete Schedule C, Part II
X
Is the organization a section 501 (c)(4), 501 (c)(5), or 501 (c)(6) organization that receives membership dues, assessments, or
5
similar amounts as defined in Revenue Procedure 98-19? If "Yes," complete Schedule C, Part Ill
5
X
6
X
7
X
8
X
Did the organization maintain any donor advised funds or any similar funds or accounts for which donors have the right to
6
provide advice on the distribution or investment of amounts in such funds or accounts? If "Yes," complete Schedule D, Part I
7
Did the organization receive or hold a conservation easement, including easements to preserve open space,
the environment, historic land areas, or historic structures? If "Yes," complete Schedule D, Part II_
8
Did the organization maintain collections of works of art, historical treasures, or other similar assets? If "Yes," complete
9
Schedule D, Part Ill
Did the organization report an amount in Part X, line 21, for escrow or custodial account liability, serve as a custodian for
9
10
If "Yes, " complete Schedule D, Part IV _
Did the organization, directly or through a related organization, hold assets in donor-restricted endowments
or in quasi endowments? If "Yes," complete Schedule D, Part V
10
amounts not listed in Part X; or provide credit counseling, debt management, credit repair, or debt negotiation services?
X
X
If the organization's answer to any of the following questions is "Yes," then complete Schedule D, Parts VI, VII, VIII, IX, or X
11
as applicable.
a Did the organization report an amount for land, buildings, and equipment in Part X, line 10? If "Yes," complete Schedule D,
11a
Part VI
b Did the organization report an amount for investments - other securities in Part X, line 12, that is 5% or more of its total
assets reported in Part X, line 16? If "Yes," complete Schedule D, Part VII
X
11b
X
11c
X
c Did the organization report an amount for investments - program related in Part X, line 13, that is 5% or more of its total
assets reported in Part X, line 16? If "Yes," complete Schedule D, Part VIII
d Did the organization report an amount for other assets in Part X, line 15, that is 5% or more of its total assets reported in
11d
Part X, line 16? If "Yes," complete Schedule D, Part IX
e Did the organization report an amount for other liabilities in Part X, line 25? If "Yes," complete Schedule D, Part X _
f
X
11e
X
11f
X
Did the organization's separate or consolidated financial statements for the tax year include a footnote that addresses
the organization's liability for uncertain tax positions under FIN 48 (ASC 740)? If "Yes," complete Schedule D, Part X
12a Did the organization obtain separate, independent audited financial statements for the tax year? If "Yes," complete
12a
Schedule D, Parts XI and XII _
b Was the organization included in consolidated, independent audited financial statements for the tax year?
13
12b
If "Yes, " and if the organization answered "No" to line 12a, then completing Schedule D, Parts XI and XII is optional
Is the organization a school described in section 170(b)(1 )(A)(ii)? If "Yes," complete Schedule E
X
X
X
13
14a
14a Did the organization maintain an office, employees, or agents outside of the United States?
X
b Did the organization have aggregate revenues or expenses of more than $10,000 from grantmaking, fundraising, business,
investment, and program service activities outside the United States, or aggregate foreign investments valued at $100,000
15
16
or more? If "Yes, " complete Schedule F, Parts I and IV
Did the organization report on Part IX, column (A), line 3, more than $5,000 of grants or other assistance to or for any
14b
X
foreign organization? If "Yes," complete Schedule F, Parts II and IV
15
X
16
X
17
X
Did the organization report on Part IX, column (A), line 3, more than $5,000 of aggregate grants or other assistance to
or for foreign individuals? If "Yes," complete Schedule F, Parts Ill and IV
17
Did the organization report a total of more than $15,000 of expenses for professional fundraising services on Part IX,
column (A), lines 6 and 11 e? If "Yes," complete Schedule G, Part I
18
Did the organization report more than $15,000 total of fundraising event gross income and contributions on Part VIII, lines
19
1c and Sa? If "Yes, " complete Schedule G, Part II
Did the organization report more than $15,000 of gross income from gaming activities on Part VIII, line 9a? If "Yes,"
complete Schedule G, Part Ill
20a Did the organization operate one or more hospital facilities? If "Yes," complete Schedule H _
b If "Yes" to line 20a, did the organization attach a copy of its audited financial statements to this return?
21
18
X
19
X
20a
X
20b
Did the organization report more than $5,000 of grants or other assistance to any domestic organization or
domestic government on Part IX, column (A), line 1? If "Yes " comolete Schedule I Parts I and II
032003 12-23-20
18260512 131839 038-057609
21
X
Form 990 (2020)
4
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307656
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 32 of 202
CHICANOS POR LA CAUSA INC
Form 990 (2020)
86-0227210
CPLC
Paqe4
I Part IV I Checklist of Required Schedules (continued)
Yes
22
No
Did the organization report more than $5,000 of grants or other assistance to or for domestic individuals on
Part IX, column (A), line 2? If "Yes," complete Schedule I, Parts I and Ill
22
X
23
X
Did the organization answer "Yes" to Part VII, Section A, line 3, 4, or 5 about compensation of the organization's current
23
and former officers, directors, trustees, key employees, and highest compensated employees?
If "Yes," complete
Schedule J
24a Did the organization have a tax-exempt bond issue with an outstanding principal amount of more than $100,000 as of the
last day of the year, that was issued after December 31, 2002? If "Yes," answer lines 24b through 24d and complete
X
24a
Schedule K. If "No," go to line 25a _
b Did the organization invest any proceeds of tax-exempt bonds beyond a temporary period exception?
24b
c Did the organization maintain an escrow account other than a refunding escrow at any time during the year to defease
any tax-exempt bonds?
24c
d Did the organization act as an "on behalf of" issuer for bonds outstanding at any time during the year?
24d
25a Section 501(c)(3), 501(c)(4), and 501(c)(29) organizations. Did the organization engage in an excess benefit
transaction with a disqualified person during the year? If "Yes," complete Schedule L, Part I
25a
X
25b
X
26
X
27
X
28a
X
28b
X
b Is the organization aware that it engaged in an excess benefit transaction with a disqualified person in a prior year, and
that the transaction has not been reported on any of the organization's prior Forms 990 or 990-EZ? If "Yes," complete
Schedule L, Part I
Did the organization report any amount on Part X, line 5 or 22, for receivables from or payables to any current
26
or former officer, director, trustee, key employee, creator or founder, substantial contributor, or 35%
controlled entity or family member of any of these persons? If "Yes," complete Schedule L, Part II
27
Did the organization provide a grant or other assistance to any current or former officer, director, trustee, key employee,
creator or founder, substantial contributor or employee thereof, a grant selection committee member, or to a 35% controlled
entity (including an employee thereof) or family member of any of these persons? If "Yes," complete Schedule L, Part II/_
28
Was the organization a party to a business transaction with one of the following parties (see Schedule L, Part IV
instructions, for applicable filing thresholds, conditions, and exceptions):
a A current or former officer, director, trustee, key employee, creator or founder, or substantial contributor? If
"Yes," complete Schedule L, Part IV _
b A family member of any individual described in line 28a? If "Yes," complete Schedule L, Part IV _
c A 35% controlled entity of one or more individuals and/or organizations described in lines 28a or 28b? If
29
"Yes," complete Schedule L, Part IV _
Did the organization receive more than $25,000 in non-cash contributions? If "Yes," complete Schedule M
30
Did the organization receive contributions of art, historical treasures, or other similar assets, or qualified conservation
X
28c
29
X
contributions? If "Yes," complete Schedule M
30
X
31
Did the organization liquidate, terminate, or dissolve and cease operations? If "Yes," complete Schedule N, Part I _
31
X
32
Did the organization sell, exchange, dispose of, or transfer more than 25% of its net assets? If "Yes," complete
Schedule N, Part II
Did the organization own 100% of an entity disregarded as separate from the organization under Regulations
32
X
33
sections 301.7701-2 and 301.7701-3? If "Yes," complete Schedule R, Part I
33
X
34
Was the organization related to any tax-exempt or taxable entity? If "Yes," complete Schedule R, Part II, Ill, or IV, and
Part V, line 1
35a Did the organization have a controlled entity within the meaning of section 512(b)(13)?
34
X
35a
X
35b
X
X
b If "Yes" to line 35a, did the organization receive any payment from or engage in any transaction with a controlled entity
within the meaning of section 512(b)(13)? If "Yes," complete Schedule R, Part V, line 2
36
Section 501(c)(3) organizations. Did the organization make any transfers to an exempt non-charitable related organization?
36
37
If "Yes, " complete Schedule R, Part V, line 2
Did the organization conduct more than 5% of its activities through an entity that is not a related organization
and that is treated as a partnership for federal income tax purposes? If "Yes," complete Schedule R, Part VI
37
38
X
Did the organization complete Schedule O and provide explanations in Schedule O for Part VI, lines 11 band 19?
Note: All Form 990 filers are required to complete Schedule 0
I Part VI
38
X
Statements Regarding Other IRS Filings and Tax Compliance
D
Check if Schedule O contains a response or note to any line in this Part V
Yes
1a Enter the number reported in Box 3 of Form 1096. Enter -0- if not applicable
b Enter the number of Forms W-2G included in line 1a. Enter -0- if not applicable
C
I 1a I
I 1b I
No
1460
0
Did the organization comply with backup withholding rules for reportable payments to vendors and reportable gaming
(gambling) winnings to prize winners?
1c
Form 990 (2020)
032004 12-23-20
5
18260512 131839 038-057609
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307657
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 33 of 202
CHICANOS POR LA CAUSA INC
Form 990 (2020)
I Part VI
86-0227210
CPLC
Paqe5
Statements Regarding Other IRS Filings and Tax Compliance (continued!
Yes
No
2a Enter the number of employees reported on Form W-3, Transmittal of Wage and Tax Statements,
962
filed for the calendar year ending with or within the year covered by this return
2b
b If at least one is reported on line 2a, did the organization file all required federal employment tax returns?
X
Note: If the sum of lines 1a and 2a is greater than 250, you may be required to e-file (see instructions)
3a Did the organization have unrelated business gross income of $1,000 or more during the year?
3a
b If "Yes," has it filed a Form 990-T for this year? If "No" to line 3b, provide an explanation on Schedule 0
3b
X
4a At any time during the calendar year, did the organization have an interest in, or a signature or other authority over, a
4a
X
5a Was the organization a party to a prohibited tax shelter transaction at any time during the tax year?
5a
X
b Did any taxable party notify the organization that it was or is a party to a prohibited tax shelter transaction?
5b
X
c If "Yes" to line 5a or 5b, did the organization file Form 8886-T? .
5c
financial account in a foreign country (such as a bank account, securities account, or other financial account)?
b If "Yes," enter the name of the foreign country ►
_____________________________
See instructions for filing requirements for FinCEN Form 114, Report of Foreign Bank and Financial Accounts (FBAR).
6a Does the organization have annual gross receipts that are normally greater than $100,000, and did the organization solicit
any contributions that were not tax deductible as charitable contributions?
X
6a
b If "Yes," did the organization include with every solicitation an express statement that such contributions or gifts
were not tax deductible?
7
6b
Organizations that may receive deductible contributions under section 170(c).
a Did the organization receive a payment in excess of $75 made partly as a contribution and partly for goods and services provided to the payor?
7a
X
b If "Yes," did the organization notify the donor of the value of the goods or services provided?
7b
X
c Did the organization sell, exchange, or otherwise dispose of tangible personal property for which it was required
·····················································r;~T·
7c
X
e Did the organization receive any funds, directly or indirectly, to pay premiums on a personal benefit contract?
7e
X
f
7f
X
to file Form 8282?
d If "Yes," indicate the number of Forms 8282 filed during the year
'----'----------l
Did the organization, during the year, pay premiums, directly or indirectly, on a personal benefit contract?
g If the organization received a contribution of qualified intellectual property, did the organization file Form 8899 as required?
7g
h If the organization received a contribution of cars, boats, airplanes, or other vehicles, did the organization file a Form 1098-C?
7h
8
Sponsoring organizations maintaining donor advised funds. Did a donor advised fund maintained by the
9
Sponsoring organizations maintaining donor advised funds.
sponsoring organization have excess business holdings at any time during the year?
10
8
a Did the sponsoring organization make any taxable distributions under section 4966?
9a
b Did the sponsoring organization make a distribution to a donor, donor advisor, or related person?
9b
Section 501(c)(7) organizations. Enter:
I 10a I
a Initiation fees and capital contributions included on Part VIII, line 12
b Gross receipts, included on Form 990, Part VIII, line 12, for public use of club facilities
11
10b
Section 501(c)(12) organizations. Enter:
a Gross income from members or shareholders
11a
b Gross income from other sources (Do not net amounts due or paid to other sources against
amounts due or received from them.)
.__1_1_b_.__ _ _ _ _ __
12a Section 4947(a)(1) non-exempt charitable trusts. Is the organization filing Form 990 in lieu of Form 1041?
b If "Yes," enter the amount of tax-exempt interest received or accrued during the year
13
..................
Section 501(c)(29) qualified nonprofit health insurance issuers.
12a
I 12b I
'----'--------
a Is the organization licensed to issue qualified health plans in more than one state?
13a
Note: See the instructions for additional information the organization must report on Schedule 0.
b Enter the amount of reserves the organization is required to maintain by the states in which the
I 13b I
organization is licensed to issue qualified health plans
c Enter the amount of reserves on hand
13c
14a Did the organization receive any payments for indoor tanning services during the tax year?
b If "Yes," has it filed a Form 720 to report these payments? If "No," provide an explanation on Schedule O
15
14a
X
14b
Is the organization subject to the section 4960 tax on payment(s) of more than $1,000,000 in remuneration or
excess parachute payment(s) during the year? .
15
X
16
X
If "Yes," see instructions and file Form 4720, Schedule N.
16
Is the organization an educational institution subject to the section 4968 excise tax on net investment income?
If "Yes " complete Form 4720 Schedule 0.
Form 990 (2020)
032005 12-23-20
18260512 131839 038-057609
6
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307658
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 34 of 202
CHICANOS POR LA CAUSA INC
Form 990 2020
CPLC
Pa e 6
86-0227210
Part VI Governance, Management, and Disclosure For each "Yes" response to lines 2 through 7b below, and for a "No" response
to line Ba, Bb, or 1Ob below, describe the circumstances, processes, or changes on Schedule 0. See instructions.
Check if Schedule O contains a response or note to any line in this Part VI
Section A. Governing Body and Management
Yes
1a Enter the number of voting members of the governing body at the end of the tax year
1a
22
1b
22
No
If there are material differences in voting rights among members of the governing body, or if the governing
body delegated broad authority to an executive committee or similar committee, explain on Schedule 0.
b Enter the number of voting members included on line 1a, above, who are independent
Did any officer, director, trustee, or key employee have a family relationship or a business relationship with any other
2
2
officer, director, trustee, or key employee?
X
Did the organization delegate control over management duties customarily performed by or under the direct supervision
3
of officers, directors, trustees, or key employees to a management company or other person?
4
5
6
7a
Did the organization make any significant changes to its governing documents since the prior Form 990 was filed?
Did the organization become aware during the year of a significant diversion of the organization's assets?
Did the organization have members or stockholders?
3
4
5
6
X
7a
X
7b
X
X
X
X
Did the organization have members, stockholders, or other persons who had the power to elect or appoint one or
more members of the governing body?
b Are any governance decisions of the organization reserved to (or subject to approval by) members, stockholders, or
persons other than the governing body?
8
Did the organization contemporaneously document the meetings held or written actions undertaken during the year by the following:
a The governing body?
b Each committee with authority to act on behalf of the governing body?
8a
8b
X
X
Is there any officer, director, trustee, or key employee listed in Part VII, Section A, who cannot be reached at the
9
X
9
oraanization's mailinq address? If "Yes "nrovide the names and addresses on Schedule 0
.
secf 10n BP OI"ICleS
rThis Section B reauests information about oolicies not reauired bv the Internal Revenue Code.I
Yes
10a Did the organization have local chapters, branches, or affiliates?
b If "Yes," did the organization have written policies and procedures governing the activities of such chapters, affiliates,
and branches to ensure their operations are consistent with the organization's exempt purposes?
11a
b
12a
b
Were officers, directors, or trustees, and key employees required to disclose annually interests that could give rise to conflicts?
C
Did the organization regularly and consistently monitor and enforce compliance with the policy? If "Yes, " describe
13
14
15
Has the organization provided a complete copy of this Form 990 to all members of its governing body before filing the form?
10b
11a
No
X
10a
X
Describe in Schedule O the process, if any, used by the organization to review this Form 990.
Did the organization have a written conflict of interest policy? ff "No," go to line 13
in Schedule O how this was done
Did the organization have a written whistleblower policy?
Did the organization have a written document retention and destruction policy?
12a
12b
X
12c
13
14
X
15a
15b
X
X
X
X
Did the process for determining compensation of the following persons include a review and approval by independent
persons, comparability data, and contemporaneous substantiation of the deliberation and decision?
a The organization's CEO, Executive Director, or top management official
b Other officers or key employees of the organization
X
If "Yes" to line 15a or 15b, describe the process in Schedule O (see instructions).
16a Did the organization invest in, contribute assets to, or participate in a joint venture or similar arrangement with a
16a
taxable entity during the year?
X
b If "Yes," did the organization follow a written policy or procedure requiring the organization to evaluate its participation
in joint venture arrangements under applicable federal tax law, and take steps to safeguard the organization's
16b
exempt status with respect to such arranqements?
Section C. Disclosure
____N_o_N_E_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
17
List the states with which a copy of this Form 990 is required to be filed ►
18
Section 6104 requires an organization to make its Forms 1023 (1024 or 1024-A, if applicable), 990, and 990-T (Section 501 (c)(3)s only) available
for public inspection. Indicate how you made these available. Check all that apply.
D Own website
D Another's website
00 Upon request
D Other (explain on Schedule O)
19
Describe on Schedule O whether (and if so, how) the organization made its governing documents, conflict of interest policy, and financial
20
State the name, address, and telephone number of the person who possesses the organization's books and records
statements available to the public during the tax year.
►
__________
JESSE SATTERLEE - 602-257-0700
1112 E BUCKEYE RD, PHOENIX, AZ
85034
Form 990 (2020)
032006 12-23-20
7
18260512 131839 038-057609
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307659
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 35 of 202
CHICANOS POR LA CAUSA INC
Form 990 2020
CPLC
Pae 7
86-0227210
Part VII Compensation of Officers, Directors, Trustees, Key Employees, Highest Compensated
Employees, and Independent Contractors
D
Check if Schedule O contains a response or note to any line in this Part VII
Section A.
Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees
1a Complete this table for all persons required to be listed. Report compensation for the calendar year ending with or within the organization's tax year.
• List all of the organization's current officers, directors, trustees (whether individuals or organizations), regardless of amount of compensation.
Enter -0- in columns (D), (E), and (F) if no compensation was paid.
• List all of the organization's current key employees, if any. See instructions for definition of "key employee."
• List the organization's five current highest compensated employees (other than an officer, director, trustee, or key employee) who received reportable compensation (Box 5 of Form W-2 and/or Box 7 of Form 1099-MISC) of more than $100,000 from the organization and any related organizations.
• List all of the organization's former officers, key employees, and highest compensated employees who received more than $100,000 of
reportable compensation from the organization and any related organizations.
• List all of the organization's former directors or trustees that received, in the capacity as a former director or trustee of the organization,
more than $10,000 of reportable compensation from the organization and any related organizations.
See instructions for the order in which to list the persons above.
D Check this box if neither the oraanization nor anv related oraanization compensated anv current officer director or trustee.
( 1)
(A)
(B)
Name and title
Average
hours per
week
(list any
hours for
related
organizations
below
line)
DAVID ADAME
6.00
( 2)
40.00
EXECUTIVE VP
0. 00
( 3)
35.00
MAX GONZALES
SECRETARY-EXECUTIVE EVP
5.00
( 4)
36.00
ANDRES CONTRERAS
EXECUTIVE VP
( 5)
ALICIA NUNEZ
7.00
36.00
EXECUTIVE VP-REAL ESTATE
4.00
( 7)
40.00
NURSE PRACTIONER
0. 00
( 8)
40.00
BRANDY HAMMOND
NURSE PRACTIONER
0. 00
( 9)
36.00
JOSE LORETO MARTINEZ
VP PRESTAMOS
4.00
( 10) NIRVA JEAN-BAPTISTE
40.00
NURSE PRACTIONER
(11)
JENNIFER LINEHAN
(F)
Estimated
amount of
other
compensation
from the
organization
and related
organizations
~
'?r=
=q:;
5
X
515,440.
0.
34,379.
X
283,002.
0.
38,957.
X
242,400.
0.
50,079.
X
227,829.
0.
43,249.
X
212,778.
0.
40,672.
X
193,191.
0.
47,679.
X
184,656.
0.
50,371.
X
183,535.
0.
33,677.
193,484.
0.
18,767.
X
188,812.
0.
17,025.
X
170,083.
0.
21,665.
X
142,754.
0.
34,168.
X
109,943.
0.
10,500.
X
X
0.
0.
0.
X
X
0.
0.
0.
X
X
0.
0.
0.
X
X
0.
0.
4.00
( 6)
RAMIRO GUILLEN
iE
:;;~
! jf j
(E)
Reportable
compensation
from related
organizations
(W-2/1099-M ISC)
33.00
CFO/TREASURER
GERMAN REYES
( do not check more than one
box, unless person is both an
officer and a director/trustee)
(D)
Reportable
compensation
from
the
organization
(W-2/1099-M ISC)
34.00
PRESIDENT/CEO
MARIA SPELLERI
(C)
Position
X
0. 00
40.00
NURSE PRACTIONER
0. 00
( 12) ROBERT ALVARADO
40.00
VICE PRESIDENT
0. 00
( 13) PEDRO CONS
36.00
EXECUTIVE VP (THRU 7/20)
4.00
( 14) ANTONIO MOYA
2.00
CHAIR
0. 00
( 15) DELMA HERRERA
2.00
VICE CHAIR
0. 00
( 16) ALEX VARELA
2.00
TREASURER
0. 00
( 17) STEPHANIE ACOSTA
2.00
SECRETARY
0. 00
0.
Form 990 (2020)
032007 12-23-20
8
18260512 131839 038-057609
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307660
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 36 of 202
CHICANOS POR LA CAUSA INC
CPLC
Form 990 (2020)
Page 8
86-0227210
I Part VII I Section A. Officers, Directors, Trustees, Kev Ema lovees, and Hiahest Comoensated Emolovees fcontinuedl
(B)
(C)
Position
Average
( do not check more than one
hours per
box, unless person is both an
officer and a director/trustee)
week
(list any
hours for
-0
"'
related
organizations
8<1;>
below
~
>
line)
~
5
~~ j
(A)
Name and title
I
( 18) BARBARA BOONE
0. 00
( 19) ABE ARVIZU JR.
2.00
DIRECTOR
0. 00
( 20) RUDY PEREZ
2.00
DIRECTOR
0. 00
( 21) MIKE SOLIS
2.00
DIRECTOR
0. 00
( 22) JIM VIGIL
2.00
DIRECTOR
0. 00
( 23) JOE GAUDIO
2.00
DIRECTOR
0. 00
( 24) DAN HERNANDEZ
2.00
DIRECTOR
0. 00
( 25) LEONARDO LOO
2.00
DIRECTOR
0. 00
( 26) JODY SARCHETT
2.00
DIRECTOR
0. 00
1b Subtotal
(F)
Estimated
amount of
other
compensation
from the
organization
and related
organizations
I
Total from continuation sheets to Part VII, Section A
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
0.
0.
0.
2,847,907.
0.
441,188.
X
.............................. ►
d Total {add lines 1b and 1cl .
2
(E)
Reportable
compensation
from related
organizations
0N-2/1099-M ISC)
2.00
DIRECTOR
C
i
"
r jf
(D)
Reportable
compensation
from
the
organization
0N-2/1099-M ISC)
►
0.
0.
0.
►
2,847,907.
0.
441,188.
Total number of individuals (including but not limited to those listed above) who received more than $100,000 of reportable
39
►
compensation from the oraanization
Yes
3
Did the organization list any former officer, director, trustee, key employee, or highest compensated employee on
line 1a? If "Yes," complete Schedule J for such individual
For any individual listed on line 1a, is the sum of reportable compensation and other compensation from the organization
3
4
and related organizations greater than $150,000? If "Yes," complete Schedule J for such individual .
4
5
No
X
X
Did any person listed on line 1a receive or accrue compensation from any unrelated organization or individual for services
X
5
rendered to the orqanization? If "Yes " comolete Schedule J for such oerson
Section B. Independent Contractors
Complete this table for your five highest compensated independent contractors that received more than $100,000 of compensation from
the oraanization. Report compensation for the calendar vear endina with or within the oraanization's tax vear.
(A)
Name and business address
(B)
Description of services
(C)
Compensation
TIEMPO INC.
1008 E. BUCKEYE ROAD, PHOENIX, AZ 85034
PATH CONSTRUCTION SOUTHWEST, LCC
8281 E.
EVANS ROAD, SUITE 101
AZ
SCOTTSDALE
~ROPERTY MANAGEMENT
1,307,768.
~ONSTRUCTION LABOR
810,748.
1uANDSCAPING
347,448.
RESTORATION
292,356.
~PPLIANCE REPAIR
254,673.
AMAZING GRACE GROUP
3502 NORTH 22ND STREET, PHOENIX, AZ 85016
AMERICAN TECHNOLOGIES
3360 ELA PALMA AVENUE
ANAHEIM
CA 92806
ARIZONA PARTSMASTER
7125 WEST SHERMAN STREET
2
PHOENIX, AZ 85043
Total number of independent contractors (including but not limited to those listed above) who received more than
24
$100,000 of compensation from the oraanization
SEE PART VII
►
SECTION A CONTINUATION SHEETS
Form 990 (2020)
032008 12-23-20
18260512 131839 038-057609
9
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307661
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 37 of 202
CHICANOS POR LA CAUSA INC
86-0227210
CPLC
Form 990
I Part VII I Section A.
Officers, Directors, Trustees, Kev Emolovees, and Hiahest Comoensated Emolovees fcontinuedl
(A)
Name and title
(C)
(B)
Average
Position
hours
(check all that apply)
per
week
j,
(list any
-6
"'
hours for
related
organizations
i· ~
~
below
~
>
j
line)
~
I
5
r
i
( 27) JOSE ANTONIO HABRE
(D)
(E)
(F)
Reportable
compensation
from
the
organization
0N-2/1099-M ISC)
Reportable
compensation
from related
organizations
0N-2/1099-M ISC)
Estimated
amount of
other
compensation
from the
organization
and related
organizations
i
2.00
DIRECTOR
0. 00
( 28) TERRY CAIN
2.00
DIRECTOR
0. 00
( 29) TED GEISLER
2.00
DIRECTOR
0. 00
( 30) MIKE ESPARZA
2.00
DIRECTOR
0. 00
( 31) ALBERTO ESPARZA
2.00
DIRECTOR
0. 00
( 32) DINA DELEON
2.00
DIRECTOR
0. 00
( 33) SAL MARTINEZ
2.00
DIRECTOR
0. 00
( 34) REYNA MONTOYA
2.00
DIRECTOR
0. 00
( 35) CECILIA ROSALEE
2.00
DIRECTOR
0. 00
( 36) LETICIA DE LA VARA
2.00
DIRECTOR (THRU 12/20)
0. 00
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
X
0.
0.
0.
Total to Part VII Section A line 1c
032201
04-01-20
18260512 131839 038-057609
10
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307662
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 38 of 202
CHICANOS POR LA CAUSA INC
Form 990 2020
Part VIII
86-0227210
CPLC
D
Check if Schedule O contains a response or note to any line in this Part VIII
(A)
Total revenue
......
"'"' 1 a Federated campaigns
C: C:
1a
1b
1c
1d
1e
392,196.
similar amounts not included above
1f
36,279,380.
Noncash contributions included in lines 1a-1f
1a $
8,216,138.
b Membership dues
(1l::;
... 0
c., E
C
(I) <t
~ !a
Fundraising events
d Related organizations
e Government grants (contributions)
f All other contributions, gilts, grants, and
<.':l,::
ui E
C: ·-
.Q~
... (I,)
::l.c:
Es
g
8~
h Total. Add lines 1a-1f
C: "C
Page9
Statement of Revenue
►
(C)
(D)
Revenue excluded
Unrelated
Related or exempt
from tax under
function revenue business revenue
sections 512 - 514
(B)
36,671,576.
Business Code
(I,)
(.)
-~ (I,)
(I,)::;
2a SERVICES FEES
b RENTAL INCOME
900099
50,833,584.
50,833,584.
532000
14,003,134.
14,003,134.
LOAN REVENUE
900099
7,822,580.
7,822,580.
900099
1,454,764.
1,454,764.
900099
86,877.
86,877.
00 C:
C
E~
(1l (I,)
d CLIENT FEES
e ADMINISTRATIVE INCOME
6,C:
0
a:
f
All other program service revenue
g
Total. Add lines 2a-2f .
Investment income (including dividends, interest, and
3
other similar amounts).
4
Income from investment of tax-exempt bond proceeds
5
Royalties
6a Gross rents
b Less: rental expenses .
C
►
74,200,939.
►
►
►
8,375,045.
8,375,045.
208,274.
208,274.
-274,538.
-274,538.
(i) Real
(ii) Personal
(i) Securities
(ii) Other
7a
1,420,728.
496,750.
7b
7c
1,136,656.
572,548.
284,072.
-75,798.
6a
6b
6c
Rental income or (loss)
d Net rental income or (loss)
7a Gross amount from sales of
assets other than inventory
►
b Less: cost or other basis
(I,)
and sales expenses
::;
C:
(I,)
>
c::
(I,)
lii
.c:
C
Gain or (loss)
►
d Net gain or (loss)
8a Gross income from fundraising events (not
0
including$
392,196. of
contributions reported on line 1c). See
8a
8b
Part IV, line 18
b Less: direct expenses .
C
197,095.
471,633.
►
Net income or (loss) from fundraising events
9a Gross income from gaming activities. See
9a
9b
Part IV, line 19
b Less: direct expenses
C
►
Net income or (loss) from gaming activities
10 a Gross sales of inventory, less returns
and allowances
b Less: cost of goods sold
C
10a
10b
2,493,513.
0.
►
Net income or (loss) from sales of inventorv
2,493,513.
2,493,513.
Business Code
"'::;0
(I,)
C:
.!!!
cii
~I
~
11 a MISCELLANEOUS INCOME
b
900099
128,987.
128,987.
C
d All other revenue
e Total. Add lines 11 a-11 d
12
Total revenue. See instructions
032009 12-23-20
18260512 131839 038-057609
►
►
128,987.
121,803,796.
76,694,452.
0.
8,437,768.
Form 990 (2020)
11
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307663
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 39 of 202
CHICANOS POR LA CAUSA INC
Form 990 2020
Part IX
86-0227210
CPLC
Pae 10
taternent of Functional Expenses
Section 501 (c)(3) and 501 (c)(4) organizations must complete all columns. All other organizations must complete column (A).
Check if Schedule O contains a response or note to anv line in this Part IX
(A)
(B)
Total expenses
Program service
expenses
Do not include amounts reported on lines 6b,
7b, Bb, 9b, and 10b of Part VIII.
(C)
Management and
general expenses
(D)
Fundraising
expenses
D
Grants and other assistance to domestic organizations
1
and domestic governments. See Part IV, line 21
2
Grants and other assistance to domestic
3
Grants and other assistance to foreign
individuals. See Part IV, line 22
396,082.
396,082.
6,751,564.
6,751,564.
organizations, foreign governments, and foreign
individuals. See Part IV, lines 15 and 16
4
Benefits paid to or for members
5
Compensation of current officers, directors,
trustees, and key employees
2,238,031.
2,014,228.
223,803.
29,045,087.
5,390,351.
598,928.
15,888.
Compensation not included above to disqualified
6
persons (as defined under section 4958(1)(1)) and
persons described in section 4958(c)(3)(B)
35,034,366.
7
Other salaries and wages
8
Pension plan accruals and contributions (include
716,344.
557,461.
142,995.
9
Other employee benefits
4,445,067.
4,107,237.
304,047.
33,783.
Payroll taxes
2,864,542.
2,730,811.
120,358.
13,373.
1,011,685.
1,011,685.
section 401(k) and 403(b) employer contributions)
10
11
Fees for services (nonemployees):
a Management
b Legal_
C
Accounting _
d Lobbying
437,345.
206,868.
230,477.
328,167.
161,848.
166,319.
243,254.
243,254.
58,127.
58,127.
e Professional fundraising services. See Part IV, line 17
f
Investment management fees
g Other. (If line 11g amount exceeds 10% of line 25,
column (A) amount, list line 11g expenses on Sch 0.)
2,817,672.
2,019,121.
718,696.
79,855.
483,260.
320,206.
146,749.
16,305.
12
Advertising and promotion
13
Office expenses _
1,305,983.
1,306,969.
-887.
-99.
14
Information technology
1,275,047.
759,026.
464,419.
51,602.
1,806,164.
1,667,941.
124,401.
13,822.
159,205.
101,757.
51,703.
5,745.
15
Royalties
16
Occupancy _
17
Travel
18
Payments of travel or entertainment expenses
for any federal, state, or local public officials _
19
Conferences, conventions, and meetings
20
Interest
21
Payments to affiliates
26,496.
11,882.
13,153.
1,461.
5,917,586.
5,687,752.
206,851.
22,983.
22
Depreciation, depletion, and amortization
4,329,505.
4,012,829.
285,008.
31,668.
23
Insurance
1,015,320.
868,181.
132,425.
14,714.
24
Other expenses. Itemize expenses not covered
above (List miscellaneous expenses on line 24e. If
line 24e amount exceeds 10% of line 25, column (A)
amount, list line 24e expenses on Schedule 0.)
a REPAIRS & MAINTENANCE
2,467,325.
2,467,325.
b UTILITIES
C PROGRAM CONSTRUCTION
2,153,230.
2,153,230.
1,646,155.
1,646,155.
d LICENSES AND TAXES
1,635,993.
1,409,117.
204,188.
22,688.
e All other expenses
4,724,592.
4,067,327.
591,539.
65,726.
86,288,107.
73,467,461.
11,608,401.
1,212,245.
25
26
Total functional expenses. Add lines 1 throuqh 24e
Joint costs. Complete this line only if the organization
reported in column (B) joint costs from a combined
educational campaign and fundraising solicitation.
Check here ►
D
if following SOP 98-2 (ASC 958-720)
032010 12-23-20
18260512 131839 038-057609
Form 990 (2020)
12
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307664
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 40 of 202
CHICANOS POR LA CAUSA INC
Form 990 (2020)
I Part X I Balance Sheet
86-0227210
CPLC
Page 11
D
Check if Schedule O contains a resoonse or note to any line in this Part X
1
2
3
4
5
(A)
(Bl
Beginning of year
End of year
Cash - non-interest-bearing
22,964,022.
Savings and temporary cash investments
6,958,999.
Pledges and grants receivable, net
538,097.
Accounts receivable, net
899,614.
1
2
3
4
28,022,619.
1,016,361,526.
4,630,087.
56,933,581.
Loans and other receivables from any current or former officer, director,
trustee, key employee, creator or founder, substantial contributor, or 35%
5
controlled entity or family member of any of these persons
6
Loans and other receivables from other disqualified persons (as defined
695,690.
6
7
8
9
98,654,417.
10c
112,237,665.
4,559,056.
11
12
13
14
15
16
17
18
19
20
21
5,014,875.
7,948,599,708.
22
23
24
7,258,488,604.
under section 4958(f)(1)), and persons described in section 4958(c)(3)(B)
i
"'"'
<C
7
8
9
Notes and loans receivable, net
43,205,441.
Inventories for sale or use
5,867,166.
Prepaid expenses and deferred charges
6,704,143,244.
10,898,451.
312,948.
10a Land, buildings, and equipment: cost or other
basis. Complete Part VI of Schedule D
b Less: accumulated depreciation
"'
11
12
13
14
15
16
17
18
19
20
21
22
10a
165,398,049.
10b
53,160,384.
Investments - publicly traded securities
Investments - other securities. See Part IV, line 11
4,706,324.
Investments - program-related. See Part IV, line 11
573,783.
Intangible assets
Other assets. See Part IV, line 11
15,125,755.
Total assets. Add lines 1 throuah 15 (must eoual line 33)
204,748,364.
9,176,884.
Accounts payable and accrued expenses
Grants payable
2,610,640.
Deferred revenue
Tax-exempt bond liabilities
Escrow or custodial account liability. Complete Part IV of Schedule D
107,779.
5,076,082.
514,469.
4,454,161.
264,274,017.
311,265,356.
147,987.
Loans and other payables to any current or former officer, director,
Cl)
~
:i:i
ca
:J
trustee, key employee, creator or founder, substantial contributor, or 35%
controlled entity or family member of any of these persons
23
24
25
Secured mortgages and notes payable to unrelated third parties
114,836,713.
Unsecured notes and loans payable to unrelated third parties
12,662,495.
12,575,000.
Other liabilities (including federal income tax, payables to related third
parties, and other liabilities not included on lines 17-24). Complete Part X
858,915.
of Schedule D
26
Organizations that follow FASB ASC 958, check here
"'
C:
cc
27
28
"C
C:
::,
0
i
z
669,946.
7,847,420,910.
► 00
Net assets without donor restrictions
62,439,869.
Net assets with donor restrictions
2,055,069.
Organizations that do not follow FASB ASC 958, check here
u..
i"'
"'"'
<C
25
26
and complete lines 27, 28, 32, and 33.
Cl)
(.)
ca
"iii
140,253,426.
Total liabilities. Add lines 17 throuah 25
and complete lines 29 through 33.
29
30
31
32
33
27
28
95,873,342.
5,305,456.
►□
Capital stock or trust principal, or current funds
Paid-in or capital surplus, or land, building, or equipment fund
Retained earnings, endowment, accumulated income, or other funds
Total net assets or fund balances
64,494,938.
Total liabilities and net assets/fund balances
204,748,364.
29
30
31
32
33
101,178,798.
7,948,599,708.
Form 990 (2020)
032011 12-23-20
18260512 131839 038-057609
13
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307665
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 41 of 202
CHICANOS POR LA CAUSA INC
Form 990 2020
Pae 12
86-0227210
CPLC
Part XI Reconciliation of Net Assets
D
Check if Schedule O contains a response or note to any line in this Part XI
1
Total revenue (must equal Part VIII, column (A), line 12)
1
121,803,796.
2
Total expenses (must equal Part IX, column (A), line 25)
2
86,288,107.
3
Revenue less expenses. Subtract line 2 from line 1
3
35,515,689.
4
Net assets or fund balances at beginning of year (must equal Part X, line 32, column (A))
4
64,494,938.
5
Net unrealized gains (losses) on investments
5
1,186,835.
6
Donated services and use of facilities
6
7
Investment expenses
7
8
Prior period adjustments
8
18,664.
9
Other changes in net assets or fund balances (explain on Schedule 0)
9
0.
10
Net assets or fund balances at end of year. Combine lines 3 through 9 (must equal Part X, line 32,
10
101,178,798.
column (Bl) .
I Part Xiii Financial Statements and Reporting
D
Check if Schedule O contains a response or note to any line in this Part XII
Yes
Accounting method used to prepare the Form 990:
1
Dcash
OCJ Accrual
D
No
Other
If the organization changed its method of accounting from a prior year or checked "Other," explain in Schedule 0.
2a Were the organization's financial statements compiled or reviewed by an independent accountant?
X
2a
If "Yes," check a box below to indicate whether the financial statements for the year were compiled or reviewed on a
separate basis, consolidated basis, or both:
D
Separate basis
D
Consolidated basis
D
Both consolidated and separate basis
b Were the organization's financial statements audited by an independent accountant?
2b
X
2c
X
3a
X
3b
X
If "Yes," check a box below to indicate whether the financial statements for the year were audited on a separate basis,
consolidated basis, or both:
D
G
Separate basis
OCJ Consolidated basis
D
Both consolidated and separate basis
If "Yes" to line 2a or 2b, does the organization have a committee that assumes responsibility for oversight of the audit,
review, or compilation of its financial statements and selection of an independent accountant?
If the organization changed either its oversight process or selection process during the tax year, explain on Schedule 0.
3a As a result of a federal award, was the organization required to undergo an audit or audits as set forth in the Single Audit
Act and OM B Circular A-133?
b If "Yes," did the organization undergo the required audit or audits? If the organization did not undergo the required audit
or audits explain why on Schedule O and describe any steps taken to underqo such audits
Form 990 (2020)
032012 12-23-20
18260512 131839 038-057609
14
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307666
Case 5:21-cv-04337-JMG
SCHEDULE A
Filed 10/13/23
Page 42 of 202
0MB No. 1545-0047
Public Charity Status and Public Support
(Form 990 or 990-EZ)
2020
Complete if the organization is a section 501(c)(3) organization or a section
4947(a)(1) nonexempt charitable trust.
► Attach to Form 990 or Form 990-EZ.
► Go to www.irs.gov/Form990 for instructions and the latest information.
Department of the Treasury
Internal Revenue Service
Name of the organization
Document 84-2
CHICANOS POR LA CAUSA INC
Open to Public
Inspection
Employer identification number
CPLC
86-0227210
Reason for Public Charity Status. (All organizations must complete this part.) See instructions.
The organization is not a private foundation because it is: (For lines 1 through 12, check only one box.)
D
D
3 D
4 D
1
A church, convention of churches, or association of churches described in section 170(b)(1)(A)(i).
2
A school described in section 170(b)(1)(A)(ii). (Attach Schedule E (Form 990 or 990-EZ).)
A hospital or a cooperative hospital service organization described in section 170(b)(1)(A)(iii).
A medical research organization operated in conjunction with a hospital described in section 170(b)(1)(A)(iii). Enter the hospital's name,
5
D
city, and s t a t e : - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - An organization operated for the benefit of a college or university owned or operated by a governmental unit described in
6
D
A federal, state, or local government or governmental unit described in section 170(b)(1)(A)(v).
7
O[J An organization that normally receives a substantial part of its support from a governmental unit or from the general public described in
section 170(b)(1)(A)(iv). (Complete Part 11.)
section 170(b)(1)(A)(vi). (Complete Part 11.)
D
9 D
A community trust described in section 170(b)(1)(A)(vi). (Complete Part 11.)
8
An agricultural research organization described in section 170(b)(1)(A)(ix) operated in conjunction with a land-grant college
or university or a non-land-grant college of agriculture (see instructions). Enter the name, city, and state of the college or
10
university: - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - An organization that normally receives (1) more than 33 1/3% of its support from contributions, membership fees, and gross receipts from
D
activities related to its exempt functions, subject to certain exceptions; and (2) no more than 33 1/3% of its support from gross investment
income and unrelated business taxable income (less section 511 tax) from businesses acquired by the organization after June 30, 1975.
See section 509(a)(2). (Complete Part 111.)
11
12
D
D
An organization organized and operated exclusively to test for public safety. See section 509(a)(4).
An organization organized and operated exclusively for the benefit of, to perform the functions of, or to carry out the purposes of one or
more publicly supported organizations described in section 509(a)(1) or section 509(a)(2). See section 509(a)(3). Check the box in
lines 12a through 12d that describes the type of supporting organization and complete lines 12e, 12f, and 12g.
a
D
Type I. A supporting organization operated, supervised, or controlled by its supported organization(s), typically by giving
the supported organization(s) the power to regularly appoint or elect a majority of the directors or trustees of the supporting
organization. You must complete Part IV, Sections A and B.
b
D
Type II. A supporting organization supervised or controlled in connection with its supported organization(s), by having
control or management of the supporting organization vested in the same persons that control or manage the supported
organization(s). You must complete Part IV, Sections A and C.
c
D
Type Ill functionally integrated. A supporting organization operated in connection with, and functionally integrated with,
d
D
Type Ill non-functionally integrated. A supporting organization operated in connection with its supported organization(s)
its supported organization(s) (see instructions). You must complete Part IV, Sections A, D, and E.
that is not functionally integrated. The organization generally must satisfy a distribution requirement and an attentiveness
requirement (see instructions). You must complete Part IV, Sections A and D, and Part V.
e
D
Check this box if the organization received a written determination from the IRS that it is a Type I, Type 11, Type Ill
functionally integrated, or Type Ill non-functionally integrated supporting organization.
Enter the number of supported organizations
a Provide the followinq information about the surmorted orqanization(s).
(i) Name of supported
organization
(ii)EIN
(iii) Type of organization
(described on lines 1-10
above /see instructions\)
\IV) !smeorgan1za11on 1!srea
in vour aovern1na document?
Yes
No
(v) Amount of monetary
(vi) Amount of other
support (see instructions)
support (see instructions)
Total
LHA For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.
18260512 131839 038-057609
032021 01-25-21
Schedule A (Form 990 or 990-EZ) 2020
15
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307667
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 43 of 202
CHICANOS POR LA CAUSA INC
ScheduleA Form990or990-EZ 2020 CPLC
Part II
86-0227210
Pa e2
Support Schedule for Organizations Described in Sections 170(b)(1)(A)(iv) and 170(b)(1)(A)(vi)
(Complete only if you checked the box on line 5, 7, or 8 of Part I or if the organization failed to qualify under Part Ill. If the organization
fails to qualify under the tests listed below, please complete Part 111.)
Section A. Public Support
Calendar year (or fiscal year beginning in) ►
{al 2016
{bl 2017
{cl 2018
{dl 2019
{el 2020
{fl Total
8,965,239.
8,828,576.
8,143,206.
9,124,577.
36,671,576.
71,733,174.
8,965,239.
8,828,576.
8,143,206.
9,124,577.
36,671,576.
71,733,174.
1 Gifts, grants, contributions, and
membership fees received. (Do not
include any "unusual grants.")
2
Tax revenues levied for the organization's benefit and either paid to
or expended on its behalf
3
The value of services or facilities
furnished by a governmental unit to
the organization without charge
4
Total. Add lines 1 through 3
5
The portion of total contributions
by each person (other than a
governmental unit or publicly
supported organization) included
on line 1 that exceeds 2% of the
amount shown on line 11,
6
column (f)
3,689,110.
Public suooort. Subtract line 5 from line 4.
68,044,064.
Section B. Total Support
Calendar year (or fiscal year beginning in) ►
7 Amounts from line 4
8
(al 2016
(bl 2017
(cl 2018
(dl 2019
(el 2020
(fl Total
8,965,239.
8,828,576.
8,143,206.
9,124,577.
36,671,576.
71,733,174.
898,486.
925,883.
1,201,108.
1,325,429.
8,375,045.
12,725,951.
71,602.
69,851.
64,920.
128,987.
Gross income from interest,
dividends, payments received on
securities loans, rents, royalties,
and income from similar sources
9
Net income from unrelated business
activities, whether or not the
business is regularly carried on
10 Other income. Do not include gain
or loss from the sale of capital
assets (Explain in Part VI.)
11
335,360.
84,794,485.
Total support. Add lines 7 through 10
315,952,500.
12 I
12 Gross receipts from related activities, etc. (see instructions)
13 First 5 years. If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a section 501 (c)(3)
organization, check this box and stop here
Section C. Computation of Public Support Percentage
14 Public support percentage for 2020 (line 6, column (f), divided by line 11, column (f)) .
14
80.25
%
15 Public support percentage from 2019 Schedule A, Part 11, line 14
15
92.37
%
16a 33 1/3% support test - 2020. If the organization did not check the box on line 13, and line 14 is 33 1/3% or more, check this box and
stop here. The organization qualifies as a publicly supported organization
b 33 1/3% support test - 2019. If the organization did not check a box on line 13 or 16a, and line 15 is 33 1/3% or more, check this box
and stop here. The organization qualifies as a publicly supported organization
17a 10% -facts-and-circumstances test - 2020. If the organization did not check a box on line 13, 16a, or 16b, and line 14 is 10% or more,
and if the organization meets the facts-and-circumstances test, check this box and stop here. Explain in Part VI how the organization
meets the facts-and-circumstances test The organization qualifies as a publicly supported organization
►
D
►
►
D
D
b 10% -facts-and-circumstances test - 2019. If the organization did not check a box on line 13, 16a, 16b, or 17a, and line 15 is 10% or
more, and if the organization meets the facts-and-circumstances test, check this box and stop here. Explain in Part VI how the
organization meets the facts-and-circumstances test The organization qualifies as a publicly supported organization
18 Private foundation. If the organization did not check a box on line 13, 16a, 16b, 17a, or 17b, check this box and see instructions
Schedule A (Form 990 or 990-EZ) 2020
032022 01-25-21
18260512 131839 038-057609
16
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307668
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 44 of 202
CHICANOS POR LA CAUSA INC
__
86-0227210
Schedule A Form 990 or 990-EZ 2020 CPLC
,.._
__, Support Schedule for Organizations Described in Section 509(a)(2)
Pa e3
(Complete only if you checked the box on line 10 of Part I or if the organization failed to qualify under Part II. If the organization fails to
qualify under the tests listed below, please complete Part 11.)
Section A. Public Support
Calendar year (or fiscal year beginning in) ►
{al 2016
{bl 2017
{cl 2018
{dl 2019
{el 2020
{fl Total
(al 2016
(bl 2017
(cl 2018
(dl 2019
(el 2020
(fl Total
1 Gifts, grants, contributions, and
membership fees received. (Do not
include any "unusual grants.")
2
Gross receipts from admissions,
merchandise sold or services performed, or facilities furnished in
any activity that is related to the
organization's tax-exempt purpose
3
Gross receipts from activities that
are not an unrelated trade or business under section 513
4
Tax revenues levied for the organization's benefit and either paid to
or expended on its behalf
5
The value of services or facilities
furnished by a governmental unit to
the organization without charge
6
Total. Add lines 1 through 5
7a Amounts included on lines 1, 2, and
3 received from disqualified persons
b Amounts included on lines 2 and 3 received
from other than disqualified persons that
exceed the greater of $5,000 or 1% of the
amount on line 13 for the year
c Add lines 7a and 7b
8
Public suooort. /Subtract ,me 7c from lme 6.1
Section B. Total Support
Calendar year (or fiscal year beginning in) ►
9 Amounts from line 6
10a Gross income from interest,
dividends, payments received on
securities loans, rents, royalties,
and income from similar sources
b Unrelated business taxable income
(less section 511 taxes) from businesses
acquired after June 30, 1975
c Add lines 10a and 1Ob
Net income from unrelated business
activities not included in line 1Ob,
whether or not the business is
regularly carried on
12 Other income. Do not include gain
or loss from the sale of capital
assets (Explain in Part VI.)
13 Total support. (Add lines 9, 10c, 11, and 12.)
11
14 First 5 years. If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a section 501 (c)(3) organization,
check this box and stop here
Section C. Computation of Public Support Percentage
15 Public support percentage for 2020 (line 8, column (f), divided by line 13, column (f))
15
%
16 Public su
16
%
ort ercenta e from 2019 Schedule A Part Ill line 15
Section D. Computation of Investment Income Percentage
17
Investment income percentage for 2020 (line 10c, column (f), divided by line 13, column (f))
17
%
18
Investment income percentage from 2019 Schedule A, Part 111, line 17
18
%
19a 33 1/3% support tests - 2020. If the organization did not check the box on line 14, and line 15 is more than 33 1/3%, and line 17 is not
more than 33 1/3%, check this box and stop here. The organization qualifies as a publicly supported organization
b 33 1/3% support tests - 2019. If the organization did not check a box on line 14 or line 19a, and line 16 is more than 33 1/3%, and
line 18 is not more than 33 1/3%, check this box and stop here. The organization qualifies as a publicly supported organization
20
Private foundation. If the organization did not check a box on line 14, 19a, or 19b, check this box and see instructions
032023 01-2s-21
18260512 131839 038-057609
►
►
D
D
Schedule A (Form 990 or 990-EZ) 2020
17
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307669
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 45 of 202
CHICANOS POR LA CAUSA INC
86-0227210
Form 990 or 990-EZ 2020 CPLC
Pa e4
Supporting Organizations
(Complete only if you checked a box in line 12 on Part I. If you checked box 12a, Part I, complete Sections A
and B. If you checked box 12b, Part I, complete Sections A and C. If you checked box 12c, Part I, complete
Sections A, D, and E. If you checked box 12d, Part I, complete Sections A and D, and complete Part V.)
Section A. All Supporting Organizations
Yes
1
Are all of the organization's supported organizations listed by name in the organization's governing
2
class or purpose, describe the designation. If historic and continuing relationship, explain.
Did the organization have any supported organization that does not have an IRS determination of status
No
documents? If "No, " describe in Part VI how the supported organizations are designated. If designated by
1
under section 509(a)(1) or (2)? If "Yes, " explain in Part VI how the organization determined that the supported
organization was described in section 509(a)(1) or (2).
3a Did the organization have a supported organization described in section 501 (c)(4), (5), or (6)? If "Yes," answer
2
lines 3b and 3c below.
b Did the organization confirm that each supported organization qualified under section 501 (c)(4), (5), or (6) and
3a
satisfied the public support tests under section 509(a)(2)? If "Yes, " describe in Part VI when and how the
organization made the determination.
c Did the organization ensure that all support to such organizations was used exclusively for section 170(c)(2)(B)
3b
3c
purposes? If "Yes, " explain in Part VI what controls the organization put in place to ensure such use.
4a Was any supported organization not organized in the United States ("foreign supported organization")? If
"Yes," and if you checked box 12a or 12b in Part I, answer lines 4b and 4c below.
b Did the organization have ultimate control and discretion in deciding whether to make grants to the foreign
4a
supported organization? If "Yes," describe in Part VI how the organization had such control and discretion
despite being controlled or supervised by or in connection with its supported organizations.
c Did the organization support any foreign supported organization that does not have an IRS determination
4b
under sections 501 (c)(3) and 509(a)(1) or (2)? If "Yes," explain in Part VI what controls the organization used
to ensure that all support to the foreign supported organization was used exclusively for section 170(c)(2)(B)
purposes.
5a Did the organization add, substitute, or remove any supported organizations during the tax year? If "Yes,"
4c
answer lines 5b and 5c below (if applicable). Also, provide detail in Part VI, including (i) the names and EIN
numbers of the supported organizations added, substituted, or removed; (ii) the reasons for each such action;
(iii) the authority under the organization's organizing document authorizing such action; and (iv) how the action
5a
was accomplished (such as by amendment to the organizing document).
b Type I or Type II only. Was any added or substituted supported organization part of a class already
designated in the organization's organizing document?
5b
5c
c Substitutions only. Was the substitution the result of an event beyond the organization's control?
6
Did the organization provide support (whether in the form of grants or the provision of services or facilities) to
anyone other than (i) its supported organizations, (ii) individuals that are part of the charitable class
benefited by one or more of its supported organizations, or (iii) other supporting organizations that also
support or benefit one or more of the filing organization's supported organizations? If "Yes," provide detail in
Part VI.
7
6
Did the organization provide a grant, loan, compensation, or other similar payment to a substantial contributor
(as defined in section 4958(c)(3)(C)), a family member of a substantial contributor, or a 35% controlled entity with
7
regard to a substantial contributor? If "Yes," complete Part I of Schedule L (Form 990 or 990-EZ).
8
Did the organization make a loan to a disqualified person (as defined in section 4958) not described in line 7?
8
If "Yes, " complete Part I of Schedule L (Form 990 or 990-EZ).
9a Was the organization controlled directly or indirectly at any time during the tax year by one or more
disqualified persons, as defined in section 4946 (other than foundation managers and organizations described
9a
in section 509(a)(1) or (2))? If "Yes," provide detail in Part VI.
b Did one or more disqualified persons (as defined in line 9a) hold a controlling interest in any entity in which
9b
the supporting organization had an interest? If "Yes," provide detail in Part VI.
c Did a disqualified person (as defined in line 9a) have an ownership interest in, or derive any personal benefit
9c
from, assets in which the supporting organization also had an interest? If "Yes," provide detail in Part VI.
10a Was the organization subject to the excess business holdings rules of section 4943 because of section
4943(f) (regarding certain Type II supporting organizations, and all Type Ill non-functionally integrated
10a
supporting organizations)? If "Yes," answer line 10b below.
b Did the organization have any excess business holdings in the tax year? (Use Schedule C, Form 4720, to
determine whether the oraanization had excess business holdinas.)
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Schedule A (Form 990 or 990-EZ) 2020
18
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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CHICANOS POR LA CAUSA INC
Schedule A (Form 990 or 990-EZ) 2020 CPLC
86-0227210
Paqe5
I Part IV I Supporting Organizations (continued)
Yes
No
Yes
No
Yes
No
Yes
No
Has the organization accepted a gift or contribution from any of the following persons?
11
a A person who directly or indirectly controls, either alone or together with persons described in lines 11 b and
11 c below, the governing body of a supported organization?
11a
b A family member of a person described in line 11 a above?
C
11b
A 35% controlled entity of a person described in line 11 a or 11 b above? If "Yes" to line 11 a, 11 b, or 11 c, provide
11c
detail in Part VI.
Sect10n B. Type I Supportmg Orgamzat1ons
Did the governing body, members of the governing body, officers acting in their official capacity, or membership of one or
more supported organizations have the power to regularly appoint or elect at least a majority of the organization's officers,
directors, or trustees at all times during the tax year? If "No," describe in Part VI how the supported organization(s)
effectively operated, supervised, or controlled the organization's activities. If the organization had more than one supported
organization, describe how the powers to appoint and/or remove officers, directors, or trustees were allocated among the
supported organizations and what conditions or restrictions, if any, applied to such powers during the tax year.
Did the organization operate for the benefit of any supported organization other than the supported
1
2
1
organization(s) that operated, supervised, or controlled the supporting organization? If "Yes," explain in
Part VI how providing such benefit carried out the purposes of the supported organization(s) that operated,
2
sunervised or controlled the sunnortinn ornanization.
Section C. Type II Supportmg Orgamzat1ons
1
Were a majority of the organization's directors or trustees during the tax year also a majority of the directors
or trustees of each of the organization's supported organization(s)? If "No," describe in Part VI how control
or management of the supporting organization was vested in the same persons that controlled or managed
1
the sunnorted ornanizationfsl.
Section D. All Type Ill Supportmg Orgamzatmns
1
Did the organization provide to each of its supported organizations, by the last day of the fifth month of the
organization's tax year, (i) a written notice describing the type and amount of support provided during the prior tax
year, (ii) a copy of the Form 990 that was most recently filed as of the date of notification, and (iii) copies of the
1
organization's governing documents in effect on the date of notification, to the extent not previously provided?
Were any of the organization's officers, directors, or trustees either (i) appointed or elected by the supported
2
organization(s) or (ii) serving on the governing body of a supported organization? If "No," explain in Part VI how
2
the organization maintained a close and continuous working relationship with the supported organization(s).
By reason of the relationship described in line 2, above, did the organization's supported organizations have a
3
significant voice in the organization's investment policies and in directing the use of the organization's
income or assets at all times during the tax year? If "Yes," describe in Part VI the role the organization's
3
sunnorted oraanizations olaved in this reaard.
Section E. Type Ill Functmnally Integrated Supportmg Orgamzat1ons
Check the box next to the method that the organization used to satisfy the Integral Part Test during the year (see instructions).
D The organization satisfied the Activities Test. Complete line 2 below.
D The organization is the parent of each of its supported organizations. Complete line 3 below.
C
D The organization supported a governmental entity. Describe in Part VI how you supported a governmental entity (see instructions!.
a
b
2
Activities Test. Answer lines 2a and 2b below.
Yes
No
a Did substantially all of the organization's activities during the tax year directly further the exempt purposes of
the supported organization(s) to which the organization was responsive? If "Yes, " then in Part VI identify
those supported organizations and explain how these activities directly furthered their exempt purposes,
how the organization was responsive to those supported organizations, and how the organization determined
that these activities constituted substantially all of its activities.
b Did the activities described in line 2a, above, constitute activities that, but for the organization's involvement,
2a
one or more of the organization's supported organization(s) would have been engaged in? If "Yes," explain in
Part VI the reasons for the organization's position that its supported organization(s) would have engaged in
3
2b
these activities but for the organization's involvement.
Parent of Supported Organizations. Answer lines 3a and 3b below.
a Did the organization have the power to regularly appoint or elect a majority of the officers, directors, or
3a
trustees of each of the supported organizations? If "Yes" or "No" provide details in Part VI.
b Did the organization exercise a substantial degree of direction over the policies, programs, and activities of each
of its supported orqanizations? If "Yes " describe in Part VI the role olaved bv the oraanization in this reaard.
032025 01-25-21
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Schedule A (Form 990 or 990-EZ) 2020
19
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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Page 47 of 202
CHICANOS POR LA CAUSA INC
86-0227210
Schedule A Form 990 or 990-EZ 2020 CPLC
Part V
Pa e6
Type Ill Non-Functionally Integrated 509(a)(3) Supporting Organizations
D Check here if the organization satisfied the Integral Part Test as a qualifying trust on Nov. 20, 1970 ( explain in Part VI). See instructions.
All other Type Ill non-functionally inteqrated sunnortinq orqanizations must complete Sections A throuqh E.
Section A - Adjusted Net Income
1
Net short-term capital qain
1
2
Recoveries of prior-year distributions
2
3
Other qross income (see instructions)
3
4
Add lines 1 throuqh 3.
4
5
Depreciation and depletion
5
6
Portion of operating expenses paid or incurred for production or
(A) Prior Year
(B) Current Year
(optional)
(A) Prior Year
(B) Current Year
(optional)
collection of gross income or for management, conservation, or
maintenance of property held for production of income (see instructions)
6
7
Other expenses (see instructions)
7
8
Adiusted Net Income (subtract lines 5 6, and 7 from line 4)
8
Section B - Minimum Asset Amount
1
Aggregate fair market value of all non-exempt-use assets (see
instructions for short tax year or assets held for part of year):
a Averaqe monthly value of securities
1a
b Averaqe monthly cash balances
1b
C
Fair market value of other non-exempt-use assets
1c
d Total (add lines 1a. 1 b and 1c)
1d
e Discount claimed for blockage or other factors
<exn/ain in detail in Part Vil:
2
Acquisition indebtedness applicable to non-exempt-use assets
2
3
Subtract line 2 from line 1d.
3
4
Cash deemed held for exempt use. Enter 0.015 of line 3 (for greater amount,
see instructions).
4
Net value of non-exempt-use assets (subtract line 4 from line 3)
5
6
Multiply line 5 by 0.035.
6
7
Recoveries of prior-year distributions
7
8
Minimum Asset Amount (add line 7 to line 6)
8
5
Section C - Distributable Amount
Current Year
1
Adjusted net income for prior year (from Section A line 8 column A)
1
2
Enter 0.85 of line 1.
2
3
Minimum asset amount for prior year (from Section B line 8 column A)
3
4
Enter areater of line 2 or line 3.
4
5
Income tax imposed in prior year
5
6
Distributable Amount. Subtract line 5 from line 4, unless subject to
emerqency temporary reduction (see instructions).
7
6
D Check here if the current year is the organization's first as a non-functionally integrated Type Ill supporting organization (see
instructions .
Schedule A (Form 990 or 990-EZ) 2020
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2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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Page 48 of 202
CHICANOS POR LA CAUSA INC
Schedule A (Form 990 or 990-EZ) 2020 CPLC
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Paqe 7
I Part V I Type Ill Non-Functionally Integrated 509(a)(3) Supporting Organizations (continued)
Section D - Distributions
Current Year
1
Amounts paid to sunnorted oraanizations to accomplish exempt purposes
2
Amounts paid to perform activity that directly furthers exempt purposes of supported
oraanizations, in excess of income from activity
2
3
Administrative expenses paid to accomplish exempt purposes of suooorted orqanizations
3
4
Amounts paid to acquire exempt-use assets
4
5
Qualified set-aside amounts (prior IRS aooroval required - orovide details in Part VI)
5
6
Other distributions (describe in Part Vil. See instructions.
6
7
Total annual distributions. Add lines 1 throuqh 6.
7
8
Distributions to attentive supported organizations to which the organization is responsive
1
(orovide details in Part VI). See instructions.
8
9
Distributable amount for 2020 from Section C line 6
9
10
Line 8 amount divided by line 9 amount
10
Section E - Distribution Allocations (see instructions)
1
Distributable amount for 2020 from Section C line 6
2
Underdistributions, if any, for years prior to 2020 (reason-
(i)
(ii)
(iii)
Excess Distributions
Underdistributions
Pre-2020
Distributable
Amount for 2020
able cause required - exolain in Part VI). See instructions.
Excess distributions carrvover if anv to 2020
3
a From 2015
b From 2016
C
From 2017
d From 2018
e From 2019
f
Total of lines 3a throuah 3e
g Applied to underdistributions of prior years
h Applied to 2020 distributable amount
i
Carryover from 2015 not applied (see instructions)
i
Remainder. Subtract lines 3a. 3h and 3i from line 3f.
Distributions for 2020 from Section D,
4
line 7:
$
a Applied to underdistributions of prior years
b Applied to 2020 distributable amount
C
5
Remainder. Subtract lines 4a and 4b from line 4.
Remaining underdistributions for years prior to 2020, if
any. Subtract lines 3g and 4a from line 2. For result greater
than zero exn/ain in Part VI. See instructions.
Remaining underdistributions for 2020. Subtract lines 3h
6
and 4b from line 1 . For result greater than zero, explain in
Part VI. See instructions.
7
Excess distributions carryover to 2021. Add lines 3j
and 4c.
8
Breakdown of line 7:
a Excess from 2016
b Excess from 2017
C
Excess from 2018
d Excess from 2019
e Excess from 2020
Schedule A (Form 990 or 990-EZ) 2020
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2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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Case 5:21-cv-04337-JMG
Document 84-2
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Page 49 of 202
CHICANOS POR LA CAUSA INC
ScheduleA Form990or990-EZ 2020 CPLC
86-0227210
Pa e8
Supplemental Information. Provide the explanations required by Part 11, line 10; Part 11, line 17a or 17b; Part 111, line 12;
Part IV, Section A, lines 1, 2, 3b, 3c, 4b, 4c, 5a, 6, 9a, 9b, 9c, 11 a, 11 b, and 11 c; Part IV, Section B, lines 1 and 2; Part IV, Section C,
line 1; Part IV, Section D, lines 2 and 3; Part IV, Section E, lines 1c, 2a, 2b, 3a, and 3b; Part V, line 1; Part V, Section B, line 1e; Part V,
Section D, lines 5, 6, and 8; and Part V, Section E, lines 2, 5, and 6. Also complete this part for any additional information.
See instructions.
SCHEDULE A, PART II
LINE 10
EXPLANATION FOR OTHER INCOME:
OTHER INCOME
2017 AMOUNT: $
71,602.
2018 AMOUNT: $
69,851.
2019 AMOUNT: $
64,920.
2020 AMOUNT: $
128,987.
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Schedule A (Form 990 or 990-EZ) 2020
22
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-0030767 4
** PUBLIC Document
DISCLOSURE COPY**
Case 5:21-cv-04337-JMG
84-2 Filed 10/13/23
Schedule B
Page 50 of 202
Schedule of Contributors
(Form 990, 990-EZ,
or 990-PF)
0MB No.1545-0047
► Attach to Form 990, Form 990-EZ, or Form 990-PF.
2020
► Go to www.irs.gov/Form990 for the latest information.
Department of the Treasury
Internal Revenue Service
Name of the organization
Employer identification number
CHICANOS POR LA CAUSA INC
CPLC
86-0227210
Organization type (check one):
Filers of:
Section:
Form 990 or 990-EZ
00 501 (c)( 3 ) (enter number) organization
Form 990-PF
D
4947(a)(1) nonexempt charitable trust not treated as a private foundation
D
527 political organization
D
501 (c)(3) exempt private foundation
D
4947(a)(1) nonexempt charitable trust treated as a private foundation
D
501 (c)(3) taxable private foundation
Check if your organization is covered by the General Rule or a Special Rule.
Note: Only a section 501 (c)(7), (8), or (10) organization can check boxes for both the General Rule and a Special Rule. See instructions.
General Rule
D
For an organization filing Form 990, 990-EZ, or 990-PF that received, during the year, contributions totaling $5,000 or more (in money or
property) from any one contributor. Complete Parts I and II. See instructions for determining a contributor's total contributions.
Special Rules
00 For an organization described in section 501 (c)(3) filing Form 990 or 990-EZ that met the 33 1/3% support test of the regulations under
sections 509(a)(1) and 170(b)(1)(A)(vi), that checked Schedule A (Form 990 or 990-EZ), Part 11, line 13, 16a, or 16b, and that received from
any one contributor, during the year, total contributions of the greater of (1) $5,000; or (2) 2% of the amount on (i) Form 990, Part VIII, line 1 h;
or (ii) Form 990-EZ, line 1. Complete Parts I and II.
D
For an organization described in section 501 (c)(7), (8), or (10) filing Form 990 or 990-EZ that received from any one
contributor, during the year, total contributions of more than $1,000 exclusively for religious, charitable, scientific,
literary, or educational purposes, or for the prevention of cruelty to children or animals. Complete Parts I (entering
"N/A" in column (b) instead of the contributor name and address), II, and Ill.
D
For an organization described in section 501 (c)(7), (8), or (10) filing Form 990 or 990-EZ that received from any one contributor, during the
year, contributions exclusively for religious, charitable, etc., purposes, but no such contributions totaled more than $1,000. If this box
is checked, enter here the total contributions that were received during the year for an exclusively religious, charitable, etc.,
purpose. Don't complete any of the parts unless the General Rule applies to this organization because it received nonexclusively
religious, charitable, etc., contributions totaling $5,000 or more during the year
►
$ _ _ _ _ _ _ _ _ __
Caution: An organization that isn't covered by the General Rule and/or the Special Rules doesn't file Schedule B (Form 990, 990-EZ, or 990-PF),
but it must answer "No" on Part IV, line 2, of its Form 990; or check the box on line Hof its Form 990-EZ or on its Form 990-PF, Part I, line 2, to
certify that it doesn't meet the filing requirements of Schedule B (Form 990, 990-EZ, or 990-PF).
LHA For Paperwork Reduction Act Notice, see the instructions for Form 990, 990-EZ, or 990-PF.
Schedule B (Form 990, 990-EZ, or 990-PF) (2020)
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Page2
Schedule B (Form 990, 990-EZ, or 990-PF) (2020)
Name of organization
Employer identification number
CHICANOS POR LA CAUSA INC
86-0227210
CPLC
Part I
(a)
No.
Contributors (see instructions). Use duplicate copies of Part I if additional space is needed.
(b)
Name, address, and ZIP + 4
(c)
Total contributions
1
--$
4,326,265.
(d)
Type of contribution
Person
Payroll
Noncash
00
D
D
(Complete Part II for
noncash contributions.)
(a)
No.
(b)
Name, address, and ZIP + 4
(c)
Total contributions
2
--$
755,000.
(d)
Type of contribution
Person
Payroll
Noncash
00
D
D
(Complete Part II for
noncash contributions.)
(a)
No.
(b)
Name, address, and ZIP + 4
(c)
Total contributions
3
--$
5,000,000.
(d)
Type of contribution
Person
Payroll
Noncash
00
D
D
(Complete Part II for
noncash contributions.)
(a)
No.
(b)
Name, address, and ZIP + 4
(c)
Total contributions
4
--$
4,619,721.
(d)
Type of contribution
Person
Payroll
Noncash
00
D
D
(Complete Part II for
noncash contributions.)
(a)
No.
(b)
Name, address, and ZIP + 4
(c)
Total contributions
5
--$
5,000,000.
(d)
Type of contribution
Person
Payroll
Noncash
00
D
D
(Complete Part II for
noncash contributions.)
(a)
No.
(b)
Name, address, and ZIP + 4
(c)
Total contributions
6
--$
8,216,138.
(d)
Type of contribution
Person
Payroll
Noncash
D
D
00
(Complete Part II for
noncash contributions.)
023452 11-25-20
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Schedule B (Form 990, 990-EZ, or 990-PF) (2020)
25
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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Page 52 of 202
Page3
Schedule B (Form 990, 990-EZ, or 990-PF) (2020)
Name of organization
Employer identification number
CHICANOS POR LA CAUSA INC
86-0227210
CPLC
Part II
Noncash Property (see instructions). Use duplicate copies of Part II if additional space is needed.
(a)
No.
from
Part I
(c)
FMV (or estimate)
(See instructions.)
(b)
Description of noncash property given
(d)
Date received
BUILDINGS
6
--$
(a)
No.
from
Part I
(b)
Description of noncash property given
8,216,138.
06/30/21
(c)
FMV (or estimate)
(See instructions.)
(d)
Date received
(c)
FMV (or estimate)
(See instructions.)
(d)
Date received
(c)
FMV (or estimate)
(See instructions.)
(d)
Date received
(c)
FMV (or estimate)
(See instructions.)
(d)
Date received
(c)
FMV (or estimate)
(See instructions.)
(d)
Date received
--$
(a)
No.
from
Part I
(b)
Description of noncash property given
--$
(a)
No.
from
Part I
(b)
Description of noncash property given
--$
(a)
No.
from
Part I
(b)
Description of noncash property given
--$
(a)
No.
from
Part I
(b)
Description of noncash property given
--$
023453 11-25-20
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26
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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Page 53 of 202
Page4
Schedule B (Form 990, 990-EZ, or 990-PF) (2020)
Name of organization
Employer identification number
CHICANOS POR LA CAUSA INC
CPLC
86-0227210
Exclusively religious, charitable, etc., contributions to organizations described in section 501(c)(7), (8), or (10) that total more than $1,000 for the year
from any one contributor. Complete columns (a) through (e) and the following line entry. For organizations
completing Part Ill. enter the total of exclusively religious. charitable, etc., contributions of $1,000 or less for the year. (Enter this info. once.) ► $____________
Use duplicate copies of Part Ill if additional space is needed.
(a)No.
from
Part I
(b) Purpose of gift
(c) Use of gift
(d) Description of how gift is held
---
(e) Transfer of gift
Relationship of transferor to transferee
Transferee's name address and ZIP+ 4
(a)No.
from
Part I
(b) Purpose of gift
(c) Use of gift
(d) Description of how gift is held
--(e) Transfer of gift
Relationship of transferor to transferee
Transferee's name, address, and ZIP+ 4
(a)No.
from
Part I
(b) Purpose of gift
(c) Use of gift
(d) Description of how gift is held
--(e) Transfer of gift
Relationship of transferor to transferee
Transferee's name, address, and ZIP+ 4
(a)No.
from
Part I
(b) Purpose of gift
(c) Use of gift
(d) Description of how gift is held
--(e) Transfer of gift
Transferee's name, address, and ZIP+ 4
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Relationship of transferor to transferee
Schedule B (Form 990, 990-EZ, or 990-PF) (2020)
27
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Political Campaign and lobbying Activities
SCHEDULE C
0MB No. 1545-0047
2020
(Form 990 or 990-EZ)
For Organizations Exempt From Income Tax Under section 501(c) and section 527
Department of the Treasury
Internal Revenue Service
► Complete if the organization is described below.
► Attach to Form 990 or Form 990-EZ.
Open to Public
Inspection
► Go to www.irs.gov/Form990 for instructions and the latest information.
If the organization answered "Yes," on Form 990, Part IV, line 3, or Form 990-EZ, Part V, line 46 (Political Campaign Activities), then
• Section 501 (c)(3) organizations: Complete Parts I-A and B. Do not complete Part I-C.
• Section 501 (c) (other than section 501 (c)(3)) organizations: Complete Parts I-A and C below. Do not complete Part I-B.
• Section 527 organizations: Complete Part I-A only.
If the organization answered "Yes," on Form 990, Part IV, line 4, or Form 990-EZ, Part VI, line 47 (Lobbying Activities), then
• Section 501 (c)(3) organizations that have filed Form 5768 (election under section 501 (h)): Complete Part II-A. Do not complete Part II-B.
• Section 501 (c)(3) organizations that have NOT filed Form 5768 (election under section 501 (h)): Complete Part II-B. Do not complete Part II-A.
If the organization answered "Yes," on Form 990, Part IV, line 5 (Proxy Tax) (See separate instructions) or Form 990-EZ, Part V, line 35c (Proxy
Tax) (See separate instructions), then
• Section 501 (c)(4), (5), or (6) organizations: Complete Part Ill.
Name of organization
Employer identification number
CHICANOS POR LA CAUSA INC
CPLC
Part l~A
86-0227210
Complete if the organization is exempt under section 501 (c) or is a section 527 organization.
Provide a description of the organization's direct and indirect political campaign activities in Part IV.
► $ _ _ _ _ _ __
2
Political campaign activity expenditures
3
Volunteer hours for political campaign activities
I Part 1-B I Complete if the organization is exempt under section 501 (c)(3).
Enter the amount of any excise tax incurred by the organization under section 4955
_______________________________________ ► $ _ _ _ _ _ _ _ _ _ __
2
Enter the amount of any excise tax incurred by organization managers under section 4955
3
If the organization incurred a section 4955 tax, did it file Form 4720 for this year?
______________________________ ► $ ----,==----==---
D
D
4a Was a correction made?
Yes
Yes
D
D
No
No
b If "Yes," describe in Part IV.
I Part l~C I Complete if the organization is exempt under section 501 (c), except section 501 (c)(3).
Enter the amount directly expended by the filing organization for section 527 exempt function activities
2
Enter the amount of the filing organization's funds contributed to other organizations for section 527
3
Total exempt function expenditures. Add lines 1 and 2. Enter here and on Form 1120-POL,
► $ _ _ _ _ _ _ _ _ _ __
► $ _ _ _ _ _ __
exempt function activities
► $ _ _ _ _ _ __
line 17b
Dves
0No
4
Did the filing organization file Form 1120-POL for this year?
5
Enter the names, addresses and employer identification number (EIN) of all section 527 political organizations to which the filing organization
made payments. For each organization listed, enter the amount paid from the filing organization's funds. Also enter the amount of political
contributions received that were promptly and directly delivered to a separate political organization, such as a separate segregated fund or a
political action committee (PAC). If additional space is needed, provide information in Part IV.
(a) Name
(b)Address
(c) EIN
For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.
(d) Amount paid from
filing organization's
funds. If none, enter -0-.
(e) Amount of political
contributions received and
promptly and directly
delivered to a separate
political organization.
If none, enter -0-.
Schedule C (Form 990 or 990-EZ) 2020
LHA
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18260512 131839 038-057609
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2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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Page 55 of 202
CHICANOS POR LA CAUSA INC
Schedule C (Form 990 or 990-EZ) 2020 CPLC
86-0227210
Page 2
I Part II-A I Complete if the organization is exempt under section 501 (c)(3) and filed Form 5768 (election under
section 501 (h)).
A Check ►
D
if the filing organization belongs to an affiliated group (and list in Part IV each affiliated group member's name, address, EIN,
expenses, and share of excess lobbying expenditures).
B Check
►□ if the filinq oraanization checked box A and "limited control" provisions armlv.
limits on Lobbying Expenditures
(The term "expenditures" means amounts paid or incurred.)
(a) Filing
organization's
totals
(b) Affiliated group
totals
243,254.
1a Total lobbying expenditures to influence public opinion (grassroots lobbying)
b Total lobbying expenditures to influence a legislative body (direct lobbying)
243,254.
c Total lobbying expenditures (add lines 1a and 1b)
d Other exempt purpose expenditures
86,077,941.
e Total exempt purpose expenditures (add lines 1c and 1d)
86,321,195.
f Lobbvina nontaxable amount. Enter the amount from the followina table in both columns.
1,000,000.
If the amount on line 1e column (al or (bl is:
The lobbvina nontaxable amount is:
Not over $500 000
20% of the amount on line 1e.
Over $500 000 but not over $1 000 000
$100 000 plus 15% of the excess over $500.000.
Over $1,000 000 but not over $1,500,000
$175,000 plus 10% of the excess over $1 000 000.
Over $1 500 000 but not over $17 .000 000
$225 000 plus 5% of the excess over $1 500.000.
Over $17 000 000
$1 000.000.
g Grassroots nontaxable amount (enter 25% of line 1f)
250,000.
h Subtract line 1g from line 1a. If zero or less, enter -0-
0.
i Subtract line 1f from line 1c. If zero or less, enter -0-
0.
If there is an amount other than zero on either line 1 h or line 1 i, did the organization file Form 4720
Dves
reporting section 4911 tax for this year?
0No
4-Year Averaging Period Under Section 501(h)
(Some organizations that made a section 501(h) election do not have to complete all of the five columns below.
See the separate instructions for lines 2a through 2f.)
Lobbying Expenditures During 4-Year Averaging Period
Calendar year
(or fiscal year beginning in)
2a Lobbvina nontaxable amount
(a) 2017
(b) 2018
(c) 2019
(d) 2020
(e) Total
1,000,000.
1,000,000.
2,000,000.
b Lobbying ceiling amount
(150% of line 2a, column(e))
3,000,000.
c Total lobbvina expenditures
154,642.
243,254.
397,896.
d Grassroots nontaxable amount
250,000.
250,000.
500,000.
e Grassroots ceiling amount
(150% of line 2d, column (e))
f Grassroots lobbvina expenditures
750,000.
154,642.
243,254.
397,896.
Schedule C (Form 990 or 990-EZ) 2020
032042 12-02-20
18260512 131839 038-057609
29
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307680
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 56 of 202
CHICANOS POR LA CAUSA INC
Schedule C (Form 990 or 990-EZ) 2020 CPLC
86-0227210
Page3
I Part 11-B I Complete if the organization is exempt under section 501 (c)(3) and has NOT filed Form 5768
(election under section 501 (h)).
(a)
For each "Yes" response on lines 1a through 1i below, provide in Part IV a detailed description
of the lobbying activity.
Yes
(b)
No
Amount
During the year, did the filing organization attempt to influence foreign, national, state, or
1
local legislation, including any attempt to influence public opinion on a legislative matter
or referendum, through the use of:
a Volunteers?
b Paid staff or management (include compensation in expenses reported on lines 1c through 1 i)?
C
Media advertisements?
d Mailings to members, legislators, or the public?
e Publications, or published or broadcast statements?
f Grants to other organizations for lobbying purposes?
g Direct contact with legislators, their staffs, government officials, or a legislative body?
h Rallies, demonstrations, seminars, conventions, speeches, lectures, or any similar means?
i Other activities?
j Total. Add lines 1c through 1i
2a Did the activities in line 1 cause the organization to be not described in section 501 (c)(3)?
b If "Yes," enter the amount of any tax incurred under section 4912
C
If "Yes," enter the amount of any tax incurred by organization managers under section 4912
d If the filina oraanization incurred a section 4912 tax. did it file Form 4720 for this vear?
IPart Ill-Al Complete if the organization is exempt under section 501 (c)(4), section 501 (c)(5), or section
501(c)(6).
Yes
1
Were substantially all (90% or more) dues received nondeductible by members?
1
2
Did the organization make only in-house lobbying expenditures of $2,000 or less?
2
3
Did the oraanization aaree to carrv over lobbvina and political campaian activitv expenditures from the prior vear?
3
No
IPart 111-B I Complete if the organization is exempt under section 501 (c)(4), section 501 (c)(5), or section
501(c)(6) and If either (a) BOTH Part Ill-A, Imes 1 and 2, are answered "No" OR (b) Part Ill-A, lme 3, Is
answered "Yes."
1
Dues, assessments and similar amounts from members
2
Section 162(e) nondeductible lobbying and political expenditures (do not include amounts of political
1
expenses for which the section 527(f) tax was paid).
a Current year
2a
b Carryover from last year
2b
Total
2c
3
Aggregate amount reported in section 6033(e)(1 )(A) notices of nondeductible section 162(e) dues
3
4
If notices were sent and the amount on line 2c exceeds the amount on line 3, what portion of the excess
C
does the organization agree to carryover to the reasonable estimate of nondeductible lobbying and political
5
expenditure next year?
4
Taxable amount of lobbying and political expenditures (See instructions)
5
IPart IV I
Supplemental Information
Provide the descriptions required for Part I-A, line 1; Part I-B, line 4; Part I-C, line 5; Part II-A (affiliated group list); Part II-A, lines 1 and 2 (See
instructions); and Part II-B, line 1. Also, complete this part for any additional information.
Schedule C (Form 990 or 990-EZ) 2020
032043 12-02-20
18260512 131839 038-057609
30
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307681
Case 5:21-cv-04337-JMG
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Page 57 of 202
0MB No" 1545-0047
Supplemental Financial Statements
SCHEDULED
2020
► Complete if the organization answered "Yes" on Form 990,
Part IV, line 6, 7, 8, 9, 10, 11a, 11b, 11c, 11d, 11e, 11f, 12a, or 12b.
► Attach to Form 990.
Go to www.irs. ov/Form990 for instructions and the latest information.
(Form 990)
Department of the Treasury
Internal Revenue Service
Name of the organization
Part I
Document 84-2
Open to Public
Inspection
Employer identification number
86-0227210
CHICANOS POR LA CAUSA INC
CPLC
Organizations Maintaining Donor Advised Funds or Other Similar Funds or Accounts.
complete if the
organization answered "Yes" on Form 990, Part IV, line 6.
(a) Donor advised funds
1
Total number at end of year .
2
Aggregate value of contributions to (during year)
3
Aggregate value of grants from (during year)
4
Aggregate value at end of year
5
(b) Funds and other accounts
Did the organization inform all donors and donor advisors in writing that the assets held in donor advised funds
are the organization's property, subject to the organization's exclusive legal control?
6
Dves
0No
Dves
0No
Did the organization inform all grantees, donors, and donor advisors in writing that grant funds can be used only
for charitable purposes and not for the benefit of the donor or donor advisor, or for any other purpose conferring
im ermissible
Part II
rivate benefit?
Conservation Easements. Complete if the organization answered "Yes" on Form 990, Part IV, line 7.
Purpose(s) of conservation easements held by the organization (check all that apply).
D
D
Preservation of land for public use (for example, recreation or education)
Protection of natural habitat
D Preservation of open space
2
D
D
Preservation of a historically important land area
Preservation of a certified historic structure
Complete lines 2a through 2d if the organization held a qualified conservation contribution in the form of a conservation easement on the last
Held at the End of the Tax Year
day of the tax year.
a Total number of conservation easements
2a
b Total acreage restricted by conservation easements
2b
c Number of conservation easements on a certified historic structure included in (a)
2c
d Number of conservation easements included in (c) acquired after 7/25/06, and not on a historic structure
listed in the National Register
3
year ►
4
5
2d
Number of conservation easements modified, transferred, released, extinguished, or terminated by the organization during the tax
______
Number of states where property subject to conservation easement is located ►
Does the organization have a written policy regarding the periodic monitoring, inspection, handling of
Dves
violations, and enforcement of the conservation easements it holds?
0No
6
Staff and volunteer hours devoted to monitoring, inspecting, handling of violations, and enforcing conservation easements during the year
7
Amount of expenses incurred in monitoring, inspecting, handling of violations, and enforcing conservation easements during the year
►
►$
8
Does each conservation easement reported on line 2(d) above satisfy the requirements of section 170(h)(4)(B)(i)
Dves
and section 170(h)(4)(B)(ii)?
9
0No
In Part XIII, describe how the organization reports conservation easements in its revenue and expense statement and
balance sheet, and include, if applicable, the text of the footnote to the organization's financial statements that describes the
or anization's accountin for conservation easements.
Part Ill
Organizations Maintaining Collections of Art, Historical Treasures, or Other Similar Assets.
Complete if the organization answered "Yes" on Form 990, Part IV, line 8.
1a If the organization elected, as permitted under FASB ASC 958, not to report in its revenue statement and balance sheet works
of art, historical treasures, or other similar assets held for public exhibition, education, or research in furtherance of public
service, provide in Part XIII the text of the footnote to its financial statements that describes these items.
b If the organization elected, as permitted under FASB ASC 958, to report in its revenue statement and balance sheet works of
art, historical treasures, or other similar assets held for public exhibition, education, or research in furtherance of public service,
provide the following amounts relating to these items:
(i)
Revenue included on Form 990, Part VIII, line 1
(ii) Assets included in Form 990, Part X
2
►
$ _ _ _ _ _ __
►
$ _ _ _ _ _ _ __
If the organization received or held works of art, historical treasures, or other similar assets for financial gain, provide
the following amounts required to be reported under FASB ASC 958 relating to these items:
$ _ _ _ _ _ __
a Revenue included on Form 990, Part VIII, line 1
►
b Assets included in Form 990 Part X
► $
LHA For Paperwork Reduction Act Notice, see the Instructions for Form 990.
Schedule D (Form 990) 2020
032051 12-01-20
18260512 131839 038-057609
31
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307682
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 58 of 202
CHICANOS POR LA CAUSA INC
Schedule D Form 990 2020
Part Ill
CPLC
Pa e 2
86-0227210
Organizations Maintaining Collections of Art, Historical Treasures, or Other Similar Assets
continued
Using the organization's acquisition, accession, and other records, check any of the following that make significant use of its
3
collection items (check all that apply):
D Public exhibition
D Scholarly research
c D Preservation for future generations
a
d
b
e
D Loan or exchange program
D Other - - - - - - - - - - - - - - - - - - - - - - - - -
4
Provide a description of the organization's collections and explain how they further the organization's exempt purpose in Part XIII.
5
During the year, did the organization solicit or receive donations of art, historical treasures, or other similar assets
Part IV
Escrow and Custodial Arrangements. Complete if the organization answered "Yes" on Form 990, Part IV, line 9, or
reported an amount on Form 990, Part X, line 21.
1a Is the organization an agent, trustee, custodian or other intermediary for contributions or other assets not included
on Form 990, Part X?
DO No
DYes
b If "Yes," explain the arrangement in Part XIII and complete the following table:
Amount
c Beginning balance
1c
d Additions during the year
1d
e Distributions during the year
1e
Ending balance .
1f
2a Did the organization include an amount on Form 990, Part X, line 21, for escrow or custodial account liability?
...............
DO Yes
0No
DO
b If "Yes " explain the arranaement in Part XIII. Check here if the explanation has been provided on Part XIII
I PartV I Endowment Funds. Complete if the organization answered "Yes" on Form 990, Part IV, line 10.
{al Current vear
{bl Prior vear
{cl Two years back
{dl Three years back
{el Four years back
176,400.
767,223.
2,947,663.
124,110.
1a Beginning of year balance
b Contributions
C
7,960.
Net investment earnings, gains, and losses
327,560.
d Grants or scholarships
e Other expenditures for facilities
124,110.
and programs
f
60,250.
590,823.
2,508,000.
124,110.
176,400.
767,223.
Administrative expenses
g End of year balance
Provide the estimated percentage of the current year end balance (line 1g, column (a)) held as:
2
.
a Board designated or quasi-endowment ►
b Permanent endowment ►
c Term endowment ►
.
.
0000
0000
%
%
0000
%
The percentages on lines 2a, 2b, and 2c should equal 100%.
3a Are there endowment funds not in the possession of the organization that are held and administered for the organization
by:
(i)
Yes
No
3a(i)
Unrelated organizations .
3a(ii)
(ii) Related organizations .
b If "Yes" on line 3a(ii), are the related organizations listed as required on Schedule R?
3b
Describe in Part XIII the intended uses of the or anization's endowment funds.
4
Part VI
land, Buildings, and Equipment.
Complete if the organization answered "Yes" on Form 990, Part IV. line 11 a. See Form 990. Part X, line 10.
Description of property
(a) Cost or other
basis (investment)
(b) Cost or other
basis (other)
(c) Accumulated
depreciation
(d) Book value
1a Land
12,256,850.
b Buildings
120,029,285.
41,191,978.
12,256,850.
78,837,307.
3,082,507.
2,138,397.
944,110.
d Equipment
8,742,761.
5,986,648.
2,756,113.
e Other.
21,286,646.
3,843,361.
17,443,285.
►
112,237,665.
C
Leasehold improvements
Total. Add lines 1a throuqh 1e. (Column (d) musteaual Form 990 Part X column (8) line 10c.) .
Schedule D (Form 990) 2020
032052 12-01-20
18260512 131839 038-057609
32
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307683
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 59 of 202
CHICANOS POR LA CAUSA INC
Schedule D Form 990 2020
Part VII
86-0227210
CPLC
Pa e3
Investments - Other Securities.
Complete if the organization answered "Yes" on Form 990, Part IV. line 11 b. See Form 990, Part X, line 12.
(a) Description of security or category (including name of security)
(b) Book value
(c) Method of valuation: Cost or end-of-year market value
(1) Financial derivatives
(2) Closely held equity interests
(3) Other
(Al
(Bl
(Cl
(D)
(El
(F)
(Gl
(H)
Total. (Col. (bl must eaual Form 990 Part X col. (B) line 12.l ►
I Part VIII I Investments - Program Related.
Complete if the oraanization answered "Yes" on Form 990 Part IV line 11 c. See Form 990 Part X line 13.
(a) Description of investment
(b) Book value
(c) Method of valuation: Cost or end-of-year market value
(1l
(2)
{3l
(4)
(5l
(6)
m
(8)
{9l
Total. (Col. (b) must equal Form 990 Part X col. (Bl line 13.) ►
I Part IX I Other Assets.
Complete if the organization answered "Yes" on Form 990, Part IV, line 11 d. See Form 990, Part X, line 15.
(a) Description
(b) Book value
(1)
{2l
(3)
(4l
(5)
(6l
(7)
{8l
(9)
Total. /Column lhl mustenual Form 990 Part X col. /Bl line 15.l
I Part X I Other Liabilities.
►
Complete if the organization answered "Yes" on Form 990, Part IV, line 11 e or 111. See Form 990, Part X, line 25.
(a) Description of liability
1.
(1 l
(b) Book value
Federal income taxes
SELF FUNDING ADMIN & CLAIMS
DEPOSITS
(3)
(4) INTER COMPANY PAYABLES
22,202.
(2)
601,778.
45,966.
(5)
(6)
(7)
(8)
(9)
Total. (Column /hi must eaual Form 990 Part X col. (Bl line 25.l
2.
►
669,946.
Liability for uncertain tax positions. In Part XIII, provide the text of the footnote to the organization's financial statements that reports the
organization's liability for uncertain tax positions under FASB ASC 740. Check here if the text of the footnote has been provided in Part XIII ___ O[J
Schedule D (Form 990) 2020
032053 12-01-20
18260512 131839 038-057609
33
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307684
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 60 of 202
CHICANOS POR LA CAUSA INC
Schedule D Form 990 2020
Part XI
CPLC
86-0227210
Pa e4
Reconciliation of Revenue per Audited Financial Statements With Revenue per Return.
Complete if the organization answered "Yes" on Form 990, Part IV. line 12a.
1
Total revenue, gains, and other support per audited financial statements
2
Amounts included on line 1 but not on Form 990, Part VIII, line 12:
1
a Net unrealized gains (losses) on investments
2a
b Donated services and use of facilities
C
2b
Recoveries of prior year grants
2c
d Other (Describe in Part XIII.)
2d
e Add lines 2a through 2d
2e
3
Subtract line 2e from line 1
4
Amounts included on Form 990, Part VIII, line 12, but not on line 1:
3
I 4a I
a Investment expenses not included on Form 990, Part VIII, line 7b
b Other (Describe in Part XIII.)
4b
c Add lines 4a and 4b
5
4c
5
Total revenue. Add lines 3 and 4c. rThis must enual Form 990 Part I line 12.l
I Part XII I Reconciliation of Expenses per Audited Financial Statements With Expenses per Return.
Complete if the organization answered "Yes" on Form 990, Part IV. line 12a.
1
Total expenses and losses per audited financial statements
2
Amounts included on line 1 but not on Form 990, Part IX, line 25:
1
a Donated services and use of facilities
2a
b Prior year adjustments
C
2b
Other losses
2c
d Other (Describe in Part XIII.)
2d
e Add lines 2a through 2d
2e
3
Subtract line 2e from line 1
4
Amounts included on Form 990, Part IX, line 25, but not on line 1:
3
I 4a I
a Investment expenses not included on Form 990, Part VIII, line 7b
b Other (Describe in Part XIII.)
4b
c Add lines 4a and 4b
5
4c
Total expenses. Add lines 3 and 4c. rThis must eaual Form 990 Part I line 18.l
5
I Part XIII I Supplemental Information.
Provide the descriptions required for Part 11, lines 3, 5, and 9; Part 111, lines 1a and 4; Part IV, lines 1band 2b; Part V, line 4; Part X, line 2; Part XI,
lines 2d and 4b; and Part XII, lines 2d and 4b. Also complete this part to provide any additional information.
PART IV, LINE 2B:
THERE ARE A FEW CLIENTS THAT CPLC SERVES AS A FISCAL AGENT. FUNDS ARE
HOUSED IN A SAVINGS ACCOUNT AND RECORDED UNDER FUNDS HELD IN CUSTODY OF
OTHERS. REQUEST FOR PAYMENT IS MADE BY THE ENTITY WHEN PAYMENT IS
REQUIRED.
PART V, LINE 4:
A FUND WAS ESTABLISHED IN 1991 WITH A GRANT FROM THE FORD FOUNDATION, OF
WHICH $2,500,000 WAS TO BE USED STRICTLY TO ESTABLISH AN ENDOWMENT. THE
PURPOSE OF THE ENDOWMENT FUND IS TO FUND THE ADMINISTRATIVE COSTS OF CPLC.
HOWEVER, UNDER THE TERMS OF THE GRANT, THE ENDOWMENT FUND AND INCOME
EARNED BY THE FUND WERE TO REMAIN UNUSED FOR FIVE YEARS
AFTER WHICH CPLC
Schedule D (Form 990) 2020
os2054 12-01-20
34
18260512 131839 038-057609
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307685
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 61 of 202
CHICANOS POR LA CAUSA INC
Form 990 2020
86-0227210
CPLC
Pa e5
Supplemental Information continued
COULD BEGIN USING INVESTMENT EARNINGS TO FUND ADMINISTRATIVE COSTS. DURING
FISCAL YEAR 2017
CPLC RECEIVED APPROVAL FROM THE DONOR TO RELEASE THE
$2,500,000 GRANT FROM PERMANENTLY RESTRICTED NET ASSETS. THE REMAINING
VALUE IN THIS ENDOWMENT IS THE ACCUMULATION OF EARNINGS AND ARE CONSIDERED
TEMPORARILY RESTRICTED UNTIL THOSE AMOUNTS ARE APPROPRIATED FOR
EXPENDITURE BY THE ORGANIZATION IN A MANNER CONSISTENT WITH THE STANDARD
OF PRUDENCE PRESCRIBED BY ARIZONA UNIFORM PRUDENT MANAGEMENT OF
INSTITUTIONAL FUNDS ACT (UPMIFA).
THESE REMAINING EARNINGS WERE EXPENDED
DURING FISCAL 2020.
PART X, LINE 2:
CPLC IS ORGANIZED AS A NONPROFIT CORPORATION AND HAS BEEN RECOGNIZED BY
THE INTERNAL REVENUE SERVICE (IRS) AS EXEMPT FROM FEDERAL INCOME TAXES
UNDER SECTION 501(A) OF THE INTERNAL REVENUE CODE (IRC) AS AN ORGANIZATION
DESCRIBED IN SECTION 501(C)(3) AND HAS BEEN DETERMINED NOT TO BE A PRIVATE
FOUNDATION. ACCORDINGLY, CONTRIBUTIONS TO THE ORGANIZATION QUALIFIES FOR
THE CHARITABLE CONTRIBUTION DEDUCTION UNDER SECTION 170(B)(l)(A). THE
ENTITY IS ANNUALLY REQUIRED TO FILE A RETURN OF ORGANIZATION EXEMPT FROM
INCOME TAX WITH THE IRS.
THE ORGANIZATION BELIEVES THAT IT HAS APPROPRIATE SUPPORT FOR ANY INCOME
TAX POSITIONS TAKEN AND, AS SUCH, DOES NOT HAVE ANY UNCERTAIN TAX
POSITIONS THAT ARE MATERIAL TO THE CONSOLIDATED FINANCIAL STATEMENTS. THE
ENTITIES WOULD RECOGNIZE FUTURE ACCRUED INTEREST AND PENALTIES RELATED TO
UNRECOGNIZED TAX BENEFITS AND LIABILITIES IN INCOME TAX EXPENSE IF SUCH
INTEREST AND PENALTIES ARE INCURRED.
Schedule D (Form 990) 2020
032055 12-01-20
18260512 131839 038-057609
35
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307686
Case 5:21-cv-04337-JMG
Department of the Treasury
Internal Revenue Service
Name of the organization
Filed 10/13/23
Page 62 of 202
Supplemental Information Regarding Fundraising or Gaming Activities
SCHEDULE G
(Form 990 or 990-EZ)
Document 84-2
0MB No. 1545-0047
2020
Complete if the organization answered "Yes" on Form 990, Part IV, line 17, 18, or 19, or if the
organization entered more than $15,000 on Form 990-EZ, line 6a.
► Attach to Form 990 or Form 990-EZ.
► Go to www.irs.gov/Form990 for instructions and the latest information.
CHICANOS POR LA CAUSA INC
Open to Public
Inspection
Employer identification number
CPLC
86-0227210
I Part I I Fundraising Activities. Complete if the organization answered "Yes" on Form 990, Part IV, line 17. Form 990-EZ filers are not
required to complete this part.
1 Indicate whether the organization raised funds through any of the following activities. Check all that apply.
D
D
c D
a
Mail solicitations
b
Internet and email solicitations
Phone solicitations
D In-person solicitations
d
D
D
g D
e
Solicitation of non-government grants
f
Solicitation of government grants
Special fundraising events
2 a Did the organization have a written or oral agreement with any individual (including officers, directors, trustees, or
key employees listed in Form 990, Part VII) or entity in connection with professional fundraising services?
D Yes
0No
b If "Yes," list the 10 highest paid individuals or entities (fund raisers) pursuant to agreements under which the fund raiser is to be
compensated at least $5,000 by the organization.
(i) Name and address of individual
or entity (fundraiser)
(ii) Activity
(ii9, Did
fun raiser
have custody
or control of
contributions?
Yes
Total
3
(iv) Gross receipts
from activity
(v) Amount paid
to (or retained by)
fund raiser
listed in col. (i)
(vi) Amount paid
to (or retained by)
organization
No
►
List all states in which the organization is registered or licensed to solicit contributions or has been notified it is exempt from registration
or licensing.
LHA For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.
Schedule G (Form 990 or 990-EZ) 2020
032081 11-25-20
18260512 131839 038-057609
36
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307687
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 63 of 202
CHICANOS POR LA CAUSA INC
ScheduleG Form990or990-EZ 2020 CPLC
Part II
86-0227210
Pa e2
Fundraising Events. Complete if the organization answered "Yes" on Form 990, Part IV, line 18, or reported more than $15,000
of fund raising event contributions and gross income on Form 990-EZ, lines 1 and 6b. List events with gross receipts greater than $5,000.
(a) Event #1
(b) Event #2
GOLF
(c) Other events
(d) Total events
WIRTUAL DINNER
(event type)
(add col. (a) through
8
(event type)
col. (c))
(total number)
CJ)
::l
C
CJ)
>
CJ)
1
Gross receipts .
163,167.
90,000.
336,124.
589,291.
2
Less: Contributions
37,247.
90,000.
264,949.
392,196.
3
Gross income (line 1 minus line 2)
125,920.
71,175.
197,095.
4
Cash prizes
125,920.
38,275.
164,195.
5
Noncash prizes
27,500.
27,500.
6
Rent/facility costs
3,500.
3,500.
15.
15.
0:
(/)
CJ)
(/)
C
(J)
0..
><
L.LJ
0 7
~
Food and beverages
0
8
9
Entertainment
90,636.
Other direct expenses
4,275.
48,990.
53,265.
10,400.
122,122.
223,158.
►
►
471,633.
-274,538.
10 Direct expense summary. Add lines 4 through 9 in column (d)
11 Net income summarv. Subtract line 10 from line 3 column (d)
I Part Ill I Gaming. Complete if the organization answered "Yes" on Form 990, Part IV, line 19, or reported more than
$15,000 on Form 990-EZ, line 6a.
(b) Pull tabs/instant
bingo/progressive bingo
(a) Bingo
(J)
::l
C
(d) Total gaming (add
col. (a) through col. (c))
(c) Other gaming
CJ)
>
CJ)
0:
(/)
1
Gross revenue .
2
Cash prizes
3
Noncash prizes
4
Rent/facility costs
5
Other direct expenses
6
Volunteer labor
7
Direct expense summary. Add lines 2 through 5 in column (d)
►
8
Net aamina income summarv. Subtract line 7 from line 1 column (d)
►
CJ)
(/)
C
CJ)
0..
><
L.LJ
0
~
0
Dves
9
%
0No
Dves
0No
%
Dves
%
0No
Enter the state(s) in which the organization conducts gaming activities:
a Is the organization licensed to conduct gaming activities in each of these states?
Dves
0No
Dves
0No
b If "No," explain:
10a Were any of the organization's gaming licenses revoked, suspended, or terminated during the tax year?
b If "Yes," e x p l a i n : - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
032082 11-25-20
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Schedule G (Form 990 or 990-EZ) 2020
37
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307688
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 64 of 202
CHICANOS POR LA CAUSA INC
86-0227210
Schedule G (Form 990 or 990-EZ) 2020 CPLC
11
12
Does the organization conduct gaming activities with nonmembers? __
Indicate the percentage of gaming activity conducted in:
a The organization's facility
b An outside facility
14
0No
Dves
0No
Is the organization a grantor, beneficiary or trustee of a trust, or a member of a partnership or other entity formed
to administer charitable gaming? _
13
Page3
Dves
Enter the name and address of the person who prepares the organization's gaming/special events books and records:
I~:: I
%
%
Name ►
►
Address
-----------------------------------------------
15a Does the organization have a contract with a third party from whom the organization receives gaming revenue?
b If "Yes," enter the amount of gaming revenue received by the organization ► $
of gaming revenue retained by the third party ► $
__________________
D
Yes
D
No
-------- and the amount
c If "Yes," enter name and address of the third party:
Name ►
Address ►
16
Gaming manager information:
Name ►
Gaming manager compensation ► $ _ _ _ _ _ _ __
Description of services provided ►
D Director/officer
17
D Employee
D Independent contractor
Mandatory distributions:
a Is the organization required under state law to make charitable distributions from the gaming proceeds to
Dves
retain the state gaming license?
0No
b Enter the amount of distributions required under state law to be distributed to other exempt organizations or spent in the
or anization's own exem t activities durin the tax ear ► $
Supplemental Information. Provide the explanations required by Part I, line 2b, columns (iii) and (v); and Part 111, lines 9, 9b, 10b,
Part IV
15b, 15c, 16, and 1?b, as applicable. Also provide any additional information. See instructions.
032083 11-25-20
18260512 131839 038-057609
Schedule G (Form 990 or 990-EZ) 2020
38
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307689
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 65 of 202
CHICANOS POR LA CAUSA INC
Schedule G Form 990 or 990-EZ
Part IV
CPLC
86-0227210
Pa e4
Supplemental Information continued
Schedule G (Form 990 or 990-EZ)
032084 04-01-20
18260512 131839 038-057609
39
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307690
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 66 of 202
0MB No. 1545-0047
Grants and Other Assistance to Organizations,
Governments, and Individuals in the United States
SCHEDULE I
(Form 990)
2020
Complete if the organization answered "Yes" on Form 990, Part IV, line 21 or 22.
► Attach to Form 990.
Department of the Treasury
Internal Revenue Service
Open to Public
Inspection
► Go to www.irs.gov/Form990 for the latest information.
Name of the organization
CHICANOS POR LA CAUSA INC
Employer identification number
86-0227210
CPLC
Part I
General Information on Grants and Assistance
Does the organization maintain records to substantiate the amount of the grants or assistance, the grantees' eligibility for the grants or assistance, and the selection
[I] Yes
criteria used to award the grants or assistance?
2
Describe in Part IV the or anization's
Part II
0No
rocedures for monitorin the use of rant funds in the United States.
Grants and Other Assistance to Domestic Organizations and Domestic Governments. Complete if the organization answered "Yes" on Form 990, Part IV, line 21, for any
recipient that received more than $5 000. Part II can be duplicated if additional space is needed.
1 (a) Name and address of organization
or government
(b) EIN
(c) IRC section
(if applicable)
(d) Amount of
cash grant
(e) Amount of
non-cash
assistance
(f) Method of
valuation (book,
FMV, appraisal,
other)
(g) Description of
noncash assistance
(h) Purpose of grant
or assistance
MARICOPA COMMUNITY COLLEGES
FOUNDATION - 2419
TEMPE
w. 14TH STREET -
AZ 85281
1-!EROES OF EDUCATION
86-0327449 STATE OF ARIZONA
10,000.
0. ~/A
N/A
1-!ONOREE
23 7091708 501(C)(3)
25,000.
0. ~/A
N/A
PNRESTRICTED
86-0096799 501(C)(3)
6,000.
0. ~/A
N/A
PNRESTRICTED
86-6050388 501(C)(3)
172,500.
0. ~/A
N/A
SCHOLARSHIPS
VICTORIA FOUNDATION
1122 E. BUCKEYE STE B-5
PHOENIX, AZ 85034
VALLEY OF THE SUN YMCA
350 N 1ST AVENUE
PHOENIX, AZ 85003
UNIVERSITY OF ARIZONA FOUNDATION
P.O.BOX 245163
TUCSON, AZ 85724
2
Enter total number of section 501 (c)(3) and government organizations listed in the line 1 table
3
Enter total number of other organizations listed in the line 1 table
LHA
For Paperwork Reduction Act Notice, see the Instructions for Form 990.
►
►
4.
0.
Schedule I (Form 990) 2020
032101 11-02-20
40
PRESTAMOS-00307691
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 67 of 202
CHICANOS POR LA CAUSA INC
Schedule I Form 990 2020
Part Ill
CPLC
Grants and Other Assistance to Domestic Individuals. Complete if the organization answered "Yes" on Form 990, Part IV, line 22.
Part Ill can be duplicated if additional space is needed.
(a) Type of grant or assistance
(b) Number of
recipients
(c) Amount of
cash grant
(d) Amount of noncash assistance
SCHOLARSHIPS TO INDIVIDUALS
23
52,632.
0.
DOWN PAYMENT ASSISTANCE
999
821,532.
0.
EMERGENCY ASSISTANCE TO INDIVIDUALS
181
272,076.
0.
BUS TOKENS
790
3,162.
0.
UTILITY ASSISTANCE
1281
1,166,902.
0.
(e) Method of valuation
(book, FMV, appraisal, other)
86-0227210
Pa e2
(f) Description of noncash assistance
I Part IV I Sunnlemental Information. Provide the information reauired in Part I line 2; Part Ill column (b); and anv other additional information.
PART I
LINE 2:
CPLC PUBLICALLY SOLICITS APPLICATIONS FOR ITS SCHOLARSHIP PROGRAM.
APPLICATIONS ARE SUBMITTED TO ASU AND MARICOPA COMMUNITY COLLEGES AND
REVIEWED BY A SCHOLARSHIP COMMITTEE MADE UP OF CPLC EMPLOYEES AND
VOLUNTEERS ACCORDING TO A PREDETERMINED SCORING RUBRIC. THE RUBRIC COVERS
THE STUDENT'S GPA, EDUCATION AND CAREER GOALS
AND COMMITMENT TO COMMUNITY
SERVICE. ONCE AWARDED, THE SCHOLARSHIP COORDINATOR MANAGES DAY TO DAY
COMMUNICATION WITH THE SCHOLARSHIP RECIPIENTS AS WELL AS WITH PARTNER
COLLEGES. THE COORDINATOR ALSO ENSURES THAT ALL RECIPIENTS CONTINUE TO MEET
Schedule I (Form 990) 2020
032102 11-02-20
41
PRESTAMOS-00307692
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Document 84-2
Filed 10/13/23
Page 68 of 202
CHICANOS POR LA CAUSA INC
Schedule I (Form 990)
CPLC
86-0227210
Paqe 2
I Part Ill I Continuation of Grants and Other Assistance to Domestic Individuals (Schedule I (Form 990), Part 111.)
(a) Type of grant or assistance
FUNERAL ASSISTANCE
(b) Number of
recipients
(c) Amount of
cash grant
(d) Amount of noncash assistance
8.
2,659.
0.
1,171.
2,723,285.
0.
PARTICIPANT ACTIVITIES
536.
194,169.
0.
COVID-19 ASSISTANCE
208.
1,515,147.
0.
RENTAL AND EVICTION ASSISTANCE
(e) Method of
valuation (book, FMV,
appraisal, other)
(f) Description of noncash assistance
Schedule I (Form 990)
032242
11-05-20
42
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Document 84-2
Filed 10/13/23
Page 69 of 202
CHICANOS POR LA CAUSA INC
Schedule I Form 990
Part IV
86-0227210
CPLC
Pa e2
Supplemental Information
ELIGIBILITY CRITERIA, INCLUDING MAINTAINING THEIR GRADES AND PROVIDING A
CERTAIN AMOUNT OF VOLUNTEER HOURS TO CPLC OR ANY OTHER ORGANIZATION. CPLC
AND THE COLLEGES WORK TOGETHER TO ENSURE EACH STUDENT MEETS THE CRITERIA TO
MAINTAIN OR RENEW THE SCHOLARSHIP.
FOR GRANTS GIVEN TO ORGANIZATION THAT DO NOT SUPPORT SCHOLARSHIPS THE
ORGANIZATION CHOOSES TO PROVIDE SUPPORT TO ORGANIZATIONS WITH SIMILAR
PROGRAM INITIATIVES. ONCE THE GRANTS ARE GIVEN NO FURTHER MONITORING IS
CONSIDERED NECESSARY.
NON SCHOLARSHIP ASSISTANCE GIVEN TO INDIVIDUALS IS EITHER A CASH DONATION
PAID TO A PROVIDER ON THE INDIVIDUAL'S BEHALF OR ITEMS SUCH AS BUS TOKENS
ARE PROVIDE TO THE INDIVIDUAL AT THE TIME OF NEED AND NO FURTHER MONITORING
IS CONSIDERED NECESSARY.
Schedule I (Form 990)
032291
04-01-20
18260512 131839 038-057609
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2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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Case 5:21-cv-04337-JMG
SCHEDULE J
(Form 990)
Document 84-2
Filed 10/13/23
Page 70 of 202
Compensation Information
Department of the Treasury
Internal Revenue Service
For certain Officers, Directors, Trustees, Key Employees, and Highest
Compensated Employees
► Complete if the organization answered "Yes" on Form 990, Part IV, line 23.
► Attach to Form 990.
► Go to www.irs.Qov/Form990 for instructions and the latest information.
Name of the organization
CHICANOS POR LA CAUSA INC
0MB No" 1545-0047
2020
Open to Public
Inspection
Employer identification number
CPLC
86-0227210
I
I Part I I Questions Regarding Compensation
Yes
No
1a Check the appropriate box(es) if the organization provided any of the following to or for a person listed on Form 990,
Part VII, Section A, line 1a. Complete Part Ill to provide any relevant information regarding these items.
D
D
D
D
First-class or charter travel
Travel for companions
Tax indemnification and gross-up payments
Discretionary spending account
D
D
D
D
Housing allowance or residence for personal use
Payments for business use of personal residence
Health or social club dues or initiation fees
Personal services (such as maid, chauffeur, chef)
b If any of the boxes on line 1a are checked, did the organization follow a written policy regarding payment or
reimbursement or provision of all of the expenses described above? If" No," complete Part Ill to explain
2
1b
Did the organization require substantiation prior to reimbursing or allowing expenses incurred by all directors,
trustees, and officers, including the CEO/Executive Director, regarding the items checked on line 1a?
2
Indicate which, if any, of the following the organization used to establish the compensation of the organization's
3
CEO/Executive Director. Check all that apply. Do not check any boxes for methods used by a related organization to
establish compensation of the CEO/Executive Director, but explain in Part Ill.
D
Compensation committee
O[J Independent compensation consultant
D Form 990 of other organizations
D
Written employment contract
O[J Compensation survey or study
O[J Approval by the board or compensation committee
During the year, did any person listed on Form 990, Part VII, Section A, line 1a, with respect to the filing
4
organization or a related organization:
a Receive a severance payment or change-of-control payment?
4a
X
b Participate in or receive payment from a supplemental nonqualified retirement plan?
4b
X
c Participate in or receive payment from an equity-based compensation arrangement?
4c
X
a The organization?
5a
X
b Any related organization?
5b
X
If "Yes" to any of lines 4a-c, list the persons and provide the applicable amounts for each item in Part Ill.
Only section 501(c)(3), 501(c)(4), and 501(c)(29) organizations must complete lines 5-9.
For persons listed on Form 990, Part VII, Section A, line 1a, did the organization pay or accrue any compensation
5
contingent on the revenues of:
If "Yes" on line 5a or 5b, describe in Part Ill.
6
For persons listed on Form 990, Part VII, Section A, line 1 a, did the organization pay or accrue any compensation
contingent on the net earnings of:
a The organization?
6a
X
b Any related organization?
6b
X
If "Yes" on line 6a or 6b, describe in Part Ill.
7
For persons listed on Form 990, Part VII, Section A, line 1a, did the organization provide any nonfixed payments
7
not described on lines 5 and 6? If "Yes," describe in Part Ill
8
Were any amounts reported on Form 990, Part VII, paid or accrued pursuant to a contract that was subject to the
initial contract exception described in Regulations section 53.4958-4(a)(3)? If "Yes," describe in Part Ill
9
X
8
X
If "Yes" on line 8, did the organization also follow the rebuttable presumption procedure described in
Reaulations section 53.4958-6(c)?
9
LHA For Paperwork Reduction Act Notice, see the Instructions for Form 990.
Schedule J (Form 990) 2020
032111 12-07-20
18260512 131839 038-057609
44
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307695
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 71 of 202
CHICANOS POR LA CAUSA INC
Schedule J Form 990 2020
Part II
CPLC
86-0227210
Pa e2
Officers, Directors, Trustees, Key Employees, and Highest Compensated Employees. Use duplicate copies if additional space is needed.
For each individual whose compensation must be reported on Schedule J, report compensation from the organization on row (i) and from related organizations, described in the instructions, on row (ii).
Do not list any individuals that aren't listed on Form 990, Part VII.
Note: The sum of columns (B)(i)-(iii) for each listed individual must equal the total amount of Form 990, Part VII, Section A, line 1a, applicable column (D) and (E) amounts for that individual.
(B) Breakdown of W-2 and/or 1099-MISC compensation
( 1)
(ii) Bonus &
incentive
compensation
(i) Base
compensation
(A) Name and Title
(C) Retirement and
other deferred
compensation
(iii) Other
reportable
compensation
(D) Nontaxable
benefits
(E) Total of columns
(B)(i)-(D)
(F) Compensation
in column (B)
reported as deferred
on prior Form 990
0.
DAVID ADAME
(i)
441,440.
74,000.
0.
9,774.
24,605.
549,819.
PRESIDENT/CEO
( 2) MARIA SPELLERI
(ii)
0.
0.
0.
0.
0.
0.
0.
(i)
263,002.
20,000.
0.
13,428.
25,529.
321,959.
0.
EXECUTIVE VP
( 3) MAX GONZALES
{ii)
0.
0.
0.
0.
0.
0.
0.
(i)
238,400.
4,000.
0.
26,000.
24,079.
292,479.
0.
SECRETARY-EXECUTIVE EVP
( 4) ANDRES CONTRERAS
{ii)
0.
0.
0.
0.
0.
0.
0.
(i)
215,920.
11,909.
0.
18,644.
24,605.
271,078.
0.
EXECUTIVE VP
( 5) ALICIA NUNEZ
(ii)
0.
0.
0.
0.
0.
0.
0.
(i)
175,778.
37,000.
0.
15,393.
25,279.
253,450.
0.
CFO/TREASURER
( 6) GERMAN REYES
{ii)
0.
0.
0.
0.
0.
0.
0.
(i)
187,971.
5,220.
0.
26,000.
21,679.
240,870.
0.
EXECUTIVE VP-REAL ESTATE
( 7) RAMIRO GUILLEN
{ii)
0.
0.
0.
0.
0.
0.
0.
(i)
184,656.
0.
0.
23,892.
26,479.
235,027.
0.
NURSE PRACTIONER
( 8) BRANDY HAMMOND
(ii)
0.
0.
0.
0.
0.
0.
0.
(i)
183,535.
0.
0.
19,500.
14,177.
217,212.
0.
NURSE PRACTIONER
( 9) JOSE LORETO MARTINEZ
{ii)
0.
0.
0.
0.
0.
0.
0.
(i)
168,484.
25,000.
0.
16,462.
2,305.
212,251.
0.
VP PRESTAMOS
( 10) NIRVA JEANBAPTISTE
{ii)
0.
0.
0.
0.
0.
0.
0.
(i)
188,812.
0.
0.
1,917.
15,108.
205,837.
0.
NURSE PRACTIONER
(11) JENNIFER LINEHAN
(ii)
0.
0.
0.
0.
0.
0.
0.
(i)
170,083.
0.
0.
4,329.
17,336.
191,748.
0.
NURSE PRACTIONER
( 12) ROBERT ALVARADO
{ii)
0.
0.
0.
0.
0.
0.
0.
(i)
128,754.
14,000.
0.
11,289.
22,879.
176,922.
0.
VICE PRESIDENT
{ii)
0.
0.
0.
0.
0.
0.
0.
(i)
(ii)
(i)
{ii)
(i)
{ii)
(i)
(ii)
Schedule J (Form 990) 2020
032112 12-07-20
45
PRESTAMOS-00307696
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 72 of 202
CHICANOS POR LA CAUSA INC
Schedule J Form 990 2020
Part Ill
CPLC
86-0227210
Pa e3
Supplemental Information
Provide the information, explanation, or descriptions required for Part I, lines 1a, 1 b, 3, 4a, 4b, 4c, 5a, 5b, 6a, 6b, 7, and 8, and for Part II. Also complete this part for any additional information.
PART I
LINE 7:
BONUSES ARE DETERMINED BY THE RECEIPT OF A CLEAN AUDIT REPORT PROVIDED
WITHIN THE REQUIRED TIME FRAME AND BY THE FEEDBACK AND EVALUATION ON THE
DEPARTMENT DURING THE YEAR.
Schedule J (Form 990) 2020
032113 12-07-20
46
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Document 84-2
Filed 10/13/23
Page 73 of 202
Noncash Contributions
SCHEDULE M
(Form 990)
0MB No. 1545-0047
2020
► Complete if the organizations answered "Yes" on Form 990, Part IV, lines 29 or 30.
► Attach to Form 990.
► Go to www.irs.gov/Form990 for instructions and the latest information.
Department of the Treasury
Internal Revenue Service
Name of the organization
Open to Public
Inspection
I Employer identification number
CHICANOS POR LA CAUSA INC
CPLC
I Part I I
86-0227210
Types of Property
(a)
Check if
applicable
1
Art - Works of art
2
Art - Historical treasures
3
Art - Fractional interests
4
Books and publications
5
Clothing and household goods
6
Cars and other vehicles
7
Boats and planes
8
Intellectual property
9
Securities - Publicly traded
10
Securities - Closely held stock _
11
(b)
(c)
Number of
Noncash contribution
contributions or
amounts reported on
items contributed Form 990, Part VIII, line 1g
(d)
Method of determining
noncash contribution amounts
Securities - Partnership, LLC, or
trust interests
12
Securities - Miscellaneous
13
Qualified conservation contribution -
14
Qualified conservation contribution - Other
15
Real estate - Residential
16
Real estate - Commercial
Historic structures
17
Real estate - Other
18
Collectibles
19
Food inventory
20
Drugs and medical supplies _
21
Taxidermy
X
18
22
Historical artifacts
23
Scientific specimens
24
Archeological artifacts
25
Other
26
Other
27
Other
28
Other
29
Number of Forms 8283 received by the organization during the tax year for contributions
►
►
►
►
(
)
(
)
(
)
(
)
for which the organization completed Form 8283, Part V, Donee Acknowledgement
8,216,138.
I 29 I
0
Yes
No
30a During the year, did the organization receive by contribution any property reported in Part I, lines 1 through 28, that it
must hold for at least three years from the date of the initial contribution, and which isn't required to be used for
exempt purposes for the entire holding period?
X
30a
b If "Yes," describe the arrangement in Part II.
Does the organization have a gift acceptance policy that requires the review of any nonstandard contributions?
31
31
X
32a Does the organization hire or use third parties or related organizations to solicit, process, or sell noncash
contributions?
32a
X
b If "Yes," describe in Part II.
33
If the organization didn't report an amount in column (c) for a type of property for which column (a) is checked,
describe in Part II.
LHA
For Paperwork Reduction Act Notice, see the Instructions for Form 990.
Schedule M (Form 990) 2020
032141 11-23-20
18260512 131839 038-057609
47
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307698
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 74 of 202
CHICANOS POR LA CAUSA INC
Schedule M Form 990 2020
Part II
CPLC
86-0227210
Pa e 2
Supplemental Information. Provide the information required by Part I, lines 30b, 32b, and 33, and whether the organization
is reporting in Part I, column (b), the number of contributions, the number of items received, or a combination of both. Also complete
this part for any additional information.
SCHEDULE M, PART I, COLUMN (B):
COLUMN (B) REPRESENTS THE NUMBER OF CONTRIBUTIONS.
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Supplemental Information to Form 990 or 990-EZ
SCHEDULE 0
Complete to provide information for responses to specific questions on
Form 990 or 990-EZ or to provide any additional information.
► Attach to Form 990 or 990-EZ.
Go to www.irs. ov/Form990 for the latest information.
CHICANOS POR LA CAUSA INC
(Form 990 or 990-EZ)
Department of the Treasury
Internal Revenue Service
Name of the organization
CPLC
FORM 990
Page 75 of 202
PART III
0MB No" 1545-0047
2020
Open to Public
Ins ection
Employer identification number
86 0227210
LINE 4A:
SOCIAL SERVICES AND EDUCATION:
1. EARLY HEADSTART AND MIGRANT HEADSTART:
CHICANOS POR LA CAUSA EARLY CHILDHOOD DEVELOPMENT (CPLC ECD) EARLY HEAD
START AND MIGRANT HEAD START PROGRAMS PROMOTE SCHOOL READINESS FOR
CHILDREN AND FAMILIES THROUGHOUT ARIZONA. CPLC ECD IS FOCUSED ON
MEETING THE EDUCATION AND CHILDCARE NEEDS OF FAMILIES BY FOSTERING
FAMILY SELF SUFFICIENCY THROUGH THE PROVISION OF SUPPORTIVE CARE AND
DEVELOPMENTALLY APPROPRIATE EARLY CHILDHOOD EDUCATION SERVICES TO
CHILDREN UNDER FIVE YEARS OLD. CPLC'S FIRST HEAD START GRANT WAS
AWARDED IN 1996 WHEN THE AGENCY BECAME THE STATEWIDE GRANTEE FOR
MIGRANT & SEASONAL HEAD START WITH 301 FUNDED SLOTS. IN 2000
THE
AGENCY WON A SECOND GRANT TO PROVIDE EARLY HEAD START SERVICES IN SOUTH
CENTRAL PHOENIX WITH 52 FUNDED SLOTS. IN 2021, CPLC WAS AWARDED A
MIGRANT & SEASONAL HEAD START GRANT TO PROVIDE SERVICES IN THE STATES
OF TEXAS AND NEW MEXICO.
1,026 SLOTS.
THIS MOST RECENT GRANT FUNDED A TOTAL OF
AS OF TODAY, ALL PROGRAMS HAVE GROWN WITH MIGRANT
SEASONAL HEAD START HAVING 930 FUNDED SLOTS
&
EARLY HEAD START HAVING
112 FUNDED SLOTS AND TEXAS/NEW MEXICO MIGRANT & SEASONAL HEAD START
HAVING 1,026 FUNDED SLOTS. CPLC ECD FAMILIES REPRESENT AN UNDERSERVED
POPULATION WITH MOUNTING CHALLENGES: POVERTY, HOUSING SHORTAGES,
UNEMPLOYMENT, HEALTH CONCERNS
HAZARDOUS WORKING CONDITIONS
POOR
NUTRITION, AND A HOST OF CULTURAL AND LANGUAGE BARRIERS. ALL OF THESE
CHALLENGES HAVE BEEN COMPOUNDED BY THE COVID-19 VIRUS.
COLLABORATING
WITH COMMUNITY PARTNERS WHO SHARE CPLC'S COMMITMENTS TO ALL FAMILIES IN
LHA For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.
Schedule O (Form 990 or 990-EZ) 2020
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CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
NEED
ECD TURNS THE TIDE
Page 76 of 202
PROVIDING AN ARRAY OF SERVICES TO SUPPORT THE
HEALTH, WELL-BEING, AND FUTURE EDUCATIONAL SUCCESS OF YOUNG CHILDREN.
WITHIN THE SOUTHWEST'S AGRICULTURAL COMMUNITIES
MIGRANT AND SEASONAL
FARM WORKING FAMILIES FACE ADDITIONAL OBSTACLES AS THEY STRUGGLE TO
FIND ACCESS TO HEALTH CARE
SOCIAL SERVICES
HOUSING, TRANSPORTATION
AND EDUCATION. MANY FAMILIES STRUGGLE TO CARE FOR CHILDREN WITH
DISABILITIES AND HAVE CHALLENGES MEETING MENTAL HEALTH NEEDS
CHALLENGES. THEREFORE, CPLC ECD MIGRANT & SEASONAL/ MIGRANT & EARLY
HEAD START (MSHS AND MEHS) SERVICES ARE PROVIDED IN THOSE AREAS WHERE
HANDPICKED AND ROW CROPS ARE MOST PREVALENT. PROGRAM CENTERS PROVIDE
FULL-DAY SERVICES BASED ON CROP SEASONS AND FAMILY MOVEMENT.
CHILDREN
ARE TRANSPORTED TO THE CENTERS DAILY ON BUSES WHICH MEET HEAD START
PROGRAM PERFORMANCE STANDARDS (HSPPS) FOR SAFETY. CPLC ECD IS THE SOLE
GRANTEE FOR MIGRANT & SEASONAL HEAD START IN THE STATE OF ARIZONA,
PROVIDING SERVICE TO 930 CHILDREN AGES OTO 5 YEARS OLD IN THE
COMMUNITIES OF YUMA, SOMERTON, SAN LUIS
ELOY, WILLCOX
SURPRISE AND
QUEEN CREEK. CPLC ECD EARLY HEAD START (EHS) IS FUNDED TO SERVE 112
CHILDREN AGES 0 3 WITH A FOCUS ON PREGNANT AND PARENTING TEENS. THE
SERVICE AREA INCLUDES THE PHOENIX, MURPHY, WILSON & ROOSEVELT
ELEMENTARY SCHOOL DISTRICTS AND THE TOWN OF QUEEN CREEK.
MEXICO MIGRANT
&
OUR TEXAS/NEW
SEASONAL HEAD START ALLOWS US THE OPPORTUNITY TO
PROVIDE SERVICE TO 1,026 CHILDREN AGES OTO 5 YEARS OLD IN THE
COMMUNITIES OF ALICE
CARRIZO SPRINGS
FLOYDADA, LAREDO, LUBBOCK, MATHIS
CRYSTAL CITY, EAGLE PASS
MULESHOE
PEARSALL
PLAINVIEW AND
UVALDE TEXAS AS WELL AS CLOVIS AND MESQUITE NEW MEXICO.
2. ELDERLY SERVICES:
CPLC ADDRESSES THE NEEDS OF ARIZONA'S GROWING SENIOR POPULATION THROUGH
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CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
A COMPREHENSIVE
Page 77 of 202
CENTER BASED PROGRAM THAT OFFERS ADVOCACY AND CASE
MANAGEMENT SERVICES. THIS PROGRAM IS CENTERED ON THE SOCIAL AND
NUTRTIONAL NEEDS OF OUR SENIORS. THIS FOCUS CONSISTS OF DAILY
ACTIVITIES TO PROMOTE SOCIAL
CONGREGATE MEALS
EMOTIONAL
HEALTH AND WELLNESS
AND HOME DELIVERED MEALS. THIS PROGRAM ANNUALLY
SERVES OVER 400 ELDERLY CLIENTS LIVING IN ITS 162 UNIT FACILITY IN WEST
PHOENIX. TO QUALIFY, RESIDENTS MUST BE 62+, AND EARN LESS THAN 30% OF
THE AREA MEDIAN INCOME OF $49,328.
ALMOST NINE OUT OF TEN RESIDENTS
ARE HISPANIC. THE PROGRAM USES HOLISTIC SOLUTIONS THAT ADDRESS
NON-MEDICAL ISSUES TO BOOST RESIDENTS WELL-BEING AND OVERALL HEALTH.
ACCORDING TO A STUDY FUNDED BY THE ROBERT WOOD JOHNSON FOUNDATION,
RESIDENTS INVOLVED IN THE SOCIAL ACTIVITIES AT THE CENTER ARE LESS
LIKELY TO BE DEPRESSED AND CLAIM THEY ARE BETTER ABLE TO MANAGE THEIR
CHRONIC DISEASES LIKE ARTHRITIS AND DIABETES.
NOT OFFER NURSING SERVICES
THE FACILITY, WHICH DID
IS IN THE PROCESS OF LAUNCHING AND ELDERLY
HOME HEALTH CARE PROGRAM ON-SITE.
3. CPLC FAMILY IMMIGRATION SERVICES:
CPLC HAS BEEN ACCREDITED WITH THE DEPARTMENT OF JUSTICE SINCE 1980 TO
PROVIDE LEGAL IMMIGRATION SERVICES IN SOMERTON, AZ. RECENTLY, THE
ORGANIZATION HAS ALSO BEEN RECOGNIZED FOR ACCREDITATION IN TUCSON, AZ.
THE TUCSON IMMIGRATION SERVICES PROGRAM HELPS FAMILIES AND INDIVIDUALS
NAVIGATE THE COMPLEX IMMIGRATION SYSTEM. THE PROGRAM OFFERS THESE
SERVICES THROUGH KNOWLEDGEABLE
ACCREDITED INDIVIDUALS AT AN AFFORDABLE
COST. OUR GOAL IS TO REUNITE FAMILIES DIVIDED BY INTERNATIONAL BORDERS
HELP ELIGIBLE INDIVIDUALS IN THIS COUNTRY APPLY FOR IMMIGRATION
BENEFITS
OR APPLY FOR CITIZENSHIP
WHILE MAKING SURE THESE INDIVIDUALS
ARE NOT VICTIMS OF SCAMS OR POOR REPRESENTATION THROUGH THE RAMPANT
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CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
ISSUE OF "NOTARIO FRAUD" IN OUR COMMUNITY. THIS PROGRAM OFFERS A BROAD
RANGE OF SERVICES DESIGNED TO FIT THE NEEDS OF EVERY FAMILY OR
INDIVIDUAL GOING THROUGH THE IMMIGRATION PROCESS. IN FY 21
CPLC FAMILY
IMMIGRATION SERVICES WAS ABLE TO SERVE 2 521 CLIENTS ON THEIR PATHWAY
TOWARDS BECOMING U.S. CITIZENS. RESULTS FROM A CLIENT SATISFACTION
STUDY CONDUCTED IN FY 21 IN THE SOMERTON OFFICE
DEMONSTRATE A STRONG
TRUST TOWARDS CPLC IMMIGRATION AND ITS ABILITY TO SERVE THE COMMUNITY.
CLIENTS THAT TRIED USING A DIFFERENT IMMIGRATION SERVICE TO PROCESS
THEIR CASES ULTIMATELY STATED THAT CPLC UNDOUBTEDLY OFFERS A BETTER
EXPERIENCE
BETTER PRICES AND FASTER PROCESSING. ALL PARTICIPANTS
AGREED THAT THIS IS CREDIBLE
RELIABLE AND HONEST.
SUBSTANTIATED BY CPLC'S NET PROMOTER SCORE
THIS CAN BE
WHICH IS A METRIC THAT
QUANTIFIES CUSTOMER LOYALTY, OF 81%. THIS SCORE IS HIGHER THAN THE
BENCHMARK OF 70% FOR OTHER SOCIAL SERVICES ORGANIZATIONS.
AS PART OF
THE NATIONAL IMMIGRANT EMPOWERMENT PROJECT THROUGH A GRANT FROM THE
CATHOLIC LEGAL IMMIGRATION NETWORK, INC.
(CLINIC), CPLC FAMILY
IMMIGRATION SERVICES IS WORKING TO PROMOTE IMMIGRANT INTEGRATION INTO
OUR SOCIETY AND COMMUNITIES. IMMIGRATION IS A DYNAMIC, TWO WAY PROCESS
IN WHICH NEWCOMERS AND THE RECEIVING SOCIETY WORK TOGETHER TO BUILD
SECURE
VIBRANT AND COHESIVE COMMUNITIES. BY WORKING WITH OUR CLIENTS
AND THE LOCAL COMMUNITY, WE WANT TO HELP IDENTIFY BARRIERS THAT PREVENT
IMMIGRANTS FROM FULLY INTEGRATING INTO SOCIETY AND WORK TOGETHER AT THE
GRASSROOTS LEVEL TO ADDRESS THESE EFFORTS AND SEEK LONG-TERM SOLUTIONS.
4. WORKFORCE SOLUTIONS:
IN OPERATION FOR 34 YEARS
THE MISSION OF CHICANOS POR LA CAUSA
WORKFORCE SOLUTIONS IS TO "EMPOWER ECONOMIC MOBILITY THROUGH WORKFORCE
DEVELOPMENT" AND, AS SUCH, PROGRAMMING AIMS TO EMPOWER MEMBERS OF THE
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CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
COMMUNITY TO ACHIEVE SELF-SUFFICIENCY THROUGH SERVICES THAT HELP DEFINE
AND LAUNCH CAREER PATHWAYS WHILE ADDRESSING BARRIERS TO EMPLOYMENT.
SERVICES INCLUDE WALK IN JOB SEARCH ASSISTANCE AND RESUME DEVELOPMENT
AT THE CPLC ENGAGEMENT CENTER; VOCATIONAL TRAININGS IN BANKING/FINANCE,
CUSTOMER SERVICE, AND RETAIL; GED AND COMPUTER SKILLS PROFICIENCY
CLASSES; JOB FAIRS AND HIRING EVENTS; PAID INTERNSHIPS; AND CASE
MANAGEMENT. CPLC WORKFORCE SOLUTIONS SUPPORTS THE LOCAL ECONOMY BY
UPSKILLING CLIENTS WITH SKILL SETS DESIRED BY LOCAL EMPLOYERS
IN
ADDITION TO FACILITATING JOB PLACEMENTS. IN FY 21, CPLC WORKFORCE
SOLUTIONS PROVIDED THESE EMPLOYMENT AND TRAINING SERVICES TO
APPROXIMATELY 3,504 CLIENTS.
5. THE FAMILY ASSISTANCE PROGRAM (EMERGENCY SERVICES):
CPLC OFFERS SERVICES TO THOSE WHO NEED IT MOST THROUGH THE FAMILY
ASSISTANCE (FORMERLY KNOWN AS EMERGENCY ASSISTANCE) PROGRAM. THE CPLC
FAMILY ASSISTANCE PROGRAM ACTS AS THE TRIAGE HUB (SIMILAR TO ARIZONA
211) FOR CPLC SOCIAL SERVICES
PROVIDING SERVICES FOR THE SAFETY NET
POPULATION IN THE FORM OF RESOURCE NAVIGATION, FUNERAL ASSISTANCE
ARIZONA PUBLIC SERVICE UTILITY ASSISTANCE
AND SNAP
OUTREACH/ENROLLMENT. IN FY 21, FAMILY ASSISTANCE HELPED ALMOST 1,000
(951) HOUSEHOLDS WITH ELECTRIC UTILITY ASSISTANCE.
CPLC PRIMARY DATA
FOUND THAT CLIENTS WHO REQUEST TRIAGE SERVICES PREDOMINANTLEY REQUIRE
ACCESS TO HEALTHCARE, UTILITY ASSISTANCE, AND/OR BEHAVIORAL/MENTAL
HEALTH SERIVCES. THE FAMILY ASSISTANCE PROGRAM WAS ABLE TO SUPPORT AND
PROVIDE SERVICES TO 1,235 FAMILIES.
FORM 990
6. HOUSING
PART III
&
LINE 4A, DESCRIPTION OF PROGRAM SERVICE CONTINUED:
HOUSING COUNSELING:
HOUSING COUNSELING PROVIDES PROGRAMS INCLUDING HOMEBUYING FOR FIRST
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Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
TIME BUYERS AND CLIENTS WHO ARE RE-ENTERING THE HOUSING MARKET,
FINANCIAL EDUCATION, MORTGAGE DEFAULT, AND RENTAL ASSISTANCE. HOUSING
COUNSELING PARTNERS WITH OTHER CPLC PROGRAMS SUCH AS WORKFORCE
TO
IDENTIFY CLIENTS THAT WOULD BENEFIT FROM FINANCIAL EDUCATION PROVIDED
BY HOUSING COUNSELING. ADDITIONALLY IN 2020 DURING THE COVID-19
PANDEMIC
HOUSING COUNSELING SUPPORTED THE CITY OF PHOENIX CARES ACT BY
MANAGEING THE DISTRUBTION OF 735K IN RENTAL AND UTILITY ASSISTANCE.
HOUSING CONTINUES TO EDUCATE YOUNG ADULTS ON THE FUTURE WEIGHT OF THEIR
FINANCIAL CHOICES PROVIDING SERVICES THROUGH TWICE MONTHLY ONLINE
WORKSHOPS IN BOTH ENGLISH AND SPANISH.
7. PARENTING ARIZONA
CPLC PARENTING PROGRAMS PROVIDE MULTICULTURAL FAMILY SUPPORT SERVICES
TO FAMILIES AT RISK OF VIOLENCE
POVERTY, AND OTHER HARDSHIPS. ALL
PROGRAMS PROVIDE CULTURALLY RELEVANT SERVICES USING EVIDENCE BASED AND
SCIENTIFICALLY PROVEN CURRICULA TO MEET THE NEEDS OF FAMILIES IN URBAN,
RURAL
AND RESERVATION SETTINGS. THE PROGRAM OPERATES UNDER THE
FOLLOWING MISSION:
"CPLC PARENTING PROMOTES STRONG FAMILIES AND IMPROVES THE LIVES OF
CHILDREN BY EMPOWERING PARENTS TO THRIVE".
CPLC PARENTING SERVICES AND CURRICULUMS ARE AS FOLLOWS:
HOME BASED SERVICES - CPLC PARENTING PROGRAMS SERVE FAMILIES THROUGH
HOME VISITATION FUNDS PROVIDED LOCAL ENTITIES AND GOVERNMENT AGENCIES
ARE AVAILABLE. THE HOME VISITATION PROGRAMS USE THE EVIDENCE BASED
PARENTS AS TEACHERS CURRICULUM AND PROMOTE HEALTH, OPTIMAL DEVELOPMENT,
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CHICANOS POR LA CAUSA INC
Employer identification number
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CPLC
AND SCHOOL READINESS FOR CHILDREN UNDER THE AGE OF FIVE. HOME
VISITATION SERVICES ARE AVAILABLE IN SOUTH PHOENIX, SRP MIC
VISTA, YUMA, FLAGSTAFF
SIERRA
AND HAVASUPAI.
COMMUNITY BASED SERVICES - PARENT EDUCATION CLASSES OCCUR THROUGHOUT
THE STATE IN THE COMMUNITIES WHERE OUR CLIENTS LIVE. CLASSES UTILIZE
EVIDENCE-BASED CURRICULA PROVEN EFFECTIVE IN INCREASING PARENTAL
KNOWLEDGE OF CHILD DEVELOPMENT, POSITIVE DISCIPLINE
SCHOOL READINESS
AND HEALTHY COMMUNICATION. CURRICULUMS INCLUDE NURTURING PARENTING,
TRIPLE P
TOWARDS NO DRUGS
AND ACTIVE PARENTING. CPLC PARENTING
PROGRAMS ALSO INCLUDE A FAMILY RESOURCE CENTER (FRC) STRATEGY. THE FRC
PROVIDES GROUP ACTIVITIES
PARENTING CLASSES
FAMILY ENRICHMENT
PROGRAMMING, AND ACCESS TO COMMUNITY RESOURCES.
THE FRC USES THE
NURTURING PARENTING CURRICULUM, RAISING A READER, AND ABRIENDO PUERTAS
TO FACILITATE CLASSES.
SCHOOL BASED SERVICES - CPLC PARENTING PROGRAM STAFF ADVOCATE FOR
FAMILIES AND CHILDREN TO STRENGTHEN THEIR ABILITY TO PROVIDE A SAFE AND
NURTURING ENVIRONMENT WITHIN THEIR HOME
SCHOOL AND COMMUNITY. CPLC
PARENTING PROGRAMS ALSO IMPLEMENT FAMILY RESOURCE CENTERS FOR STUDENTS
AND THEIR FAMILIES INSIDE THE SCHOOL ENVIRONMENT. SERVICES INCLUDE HOME
VISITING, COMMUNITY RESOURCE AND REFERRAL
ENRICHMENT PROGRAMS
PARENTING EDUCATION, FAMILY
LIFE SKILLS TRAINING AND FOOD AND CLOTHING BANKS.
THESE PROGRAMS UTILIZE THE ACTIVE PARENTING CURRICULUM AND THE FAMILIES
AND SCHOOLS TOGETHER (FAST) CURRICULUM. SCHOOL BASED SERVICES ARE
LOCATED IN FLAGSTAFF AT LEUPP, KINSEY, AND MARSHALL ELEMENTARY SCHOOLS.
HUMAN TRAFFICKING SERVICES - CPLC PARENTING ARIZONA PROVIDES CASE
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CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
MANAGEMENT AND COMPREHENSIVE SERVICES TO SURVIVORS OF HUMAN
TRAFFICKING. SERVICE NEEDS FOR EACH FAMILY ARE ASSESSED AND SERVICES
WILL BE PROVIDED IN HOUSE OR THROUGH REFERRALS TO COMMUNITY PARTNERS
USING A TRAUMA INFORMED APPROACH. THESE SERVICES ARE PROVIDED AT THE
DESERT SKY ENGAGEMENT CENTER.
COMMUNITY OUTREACH - CPLC PARENTING PROGRAMS PROVIDE AWARENESS EVENTS
AND EDUCATION IN COMMUNITIES AROUND CHILD ABUSE AND NEGLECT PREVENTION.
CPLC PARENTING ALSO UTILIZES STAFF TO PROVIDE INFORMATION AND TRAINING
REGARDING CHILD ABUSE PREVENTION, PARENTING TECHNIQUES, AND COMMUNITY
RESOURCES. THIS OUTREACH IS ACCOMPLISHED THROUGH VARIOUS LOCAL
COMMUNITY FAIRS, SCHOOL EVENTS, AND HEALTH FAIRS.
8. FAMILY EMPOWERMENT AND EDUCATION:
CPLC'S FAMILY EMPOWERMENT SERVICES EMPOWERS COMMUNITY CLIENTS BY
PROVIDING INNOVATIVE SOCIAL SERVICES PROGRAMMING AT ITS
MULTIGENERATIONAL COMMUNITY AND REC CENTERS FOR SCHOOL-AGED YOUTH,
ADULT INDIVIDUALS AND FAMILIES.
THE LEARNING CENTERS PROVIDE LITERACY DEVELOPMENT THRU ITS ADULT GED,
ESL CLASSES
AFTERSCHOOL DROP IN PROGRAMMING FORK 12 YOUTH AND
HOMEWORK ENRICHMENT THAT INCLUDES STEM LESSONS AND A VIBRANT SUMMER K-8
YOUTH CAMP. IN ADDITION, HEALTH & WELLNESS SERVICES INCLUDING HARM
REDUCTION AND PREVENTION COMMUNITY WORKSHOPS
A SECURE PLAYGROUND FOR K-12 YOUTH
ACCESS TO A COMPUTER LAB,
A COMMUNITY GARDEN, A FOOD PANTRY,
FOOD BOX ONSITE DISTRIBUTION AND DELIVERY OF RESOURCES THRU A CENTER ON
WHEELS APPROACH AS WELL AS AFTER SCHOOL MEALS SERVED.
THRU A WHOLE-CHILD, WHOLE-FAMILY APPROACH, CRITICAL SAFETY NET
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2020.05094 CHICANOS POR LA CAUSA INC 038-0571
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CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
REFERRALS AND RESOURCES ARE ALSO ACCESSED FOR FAMILIES THAT INCLUDE
FUNERAL
RENTAL AND UTILITY ASSISTANCE THRU IT'S INTERNAL ONSITE
EMERGENCY ASSISTANCE SERVICES.
THE CENTERS ALSO PROVIDE A CENTRALIZED HUB FOR COMMUNITY PARTNERSHIPS
WITH OTHER CPLC PROGRAMS AND PARTNERING AGENCIES. THRU A CULTURALLY
SENSITIVE LENSE
THESE MULTIGENERATIONAL LEARNING CENTERS THRU DIRECT,
INDIRECT AND VARIOUS OUTREACH AND COMMUNITY EVENTS BOTH ONSITE AND WITH
COMMUNITY PARTNERS HAVE IMPACTED AND EMPOWERED OVER 650 YOUTH AND
SERVED OVER 3,000 INDIVIDUALS AND FAMILIES. ALL MADE POSSIBLE BY
GENEROUS FUNDING AND DONATIONS THRU COMMUNITY AND BUSINESS
RELATIONSHIPS. THE CPLC COMMUNITY CENTER ALONE HOLDS ANNUAL EVENTS
INCLUDING A TOY DISTRIBUTION EVENT
FALL CULTURAL EVENTS
AND SERVES
COMMUNITY THANKSGIVING MEALS WITH THIS PAST YEAR SERVING OVER 100
INDIVIDUALS A HOT TURKEY PLATE WITH VARIOUS SIDES TO EAT. AS A HOST FOR
MANY
CITY OF PHOENIX BLOCK WATCH MEETINGS
MANY COMMUNITY MEMBERS ARE
ALSO ABLE TO CONNECT WITH THEIR NEIGHBORS AND CITY LEADERS AT OUR
CENTERS.
THE CPLC COMMUNITY CENTER ALONE PROVIDES AN OPPORTUNITY FOR THE
COMMUNITY TO HAVE A DIRECT RELATIONSHIP WITH CPLC PERSONNEL AND
SUPPORTING PROGRAMS. THESE COMMUNITY REC AND LEARNING CENTERS ARE
EMBEDED INTO THE NEIGHBORHOOD AND ARE A CRITICAL PIECE IN THE
DEVELOPMENT OF SUCCESSFUL AND EMPOWERED COMMUNITY MEMBERS INCLUDING OUR
FUTURE WORKFORCE IN ALIGNMENT OF CHICANOS POR LA CAUSA'S MISSION.
FORM 990
PART III
LINE 4B:
REAL ESTATE OPERATIONS:
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CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
UNDER THIS DIVISION VARIOUS MISSION DRIVEN DEVELOPMENT ACTIVITIES OCCUR
INCLUDING: MULTI--FAMILY, COMMERCIAL AND SINGLE-FAMILY CONSTRUCTION,
SINGLE FAMILY SELF-HELP HOUSING AND ACTING AS A GENERAL CONTRACTOR ON
PROJECTS.
1. MULTIFAMILY APARTMENTS:
PROVIDING AFFORDABLE RENTAL UNITS HAS BEEN A MAJOR COMPONENT OF CPLC'S
AFFORADABLE HOUSING EFFORTS. CPLC CURRENTLY OWNS AND MANAGES MORE THAN
2,650 APARTMENT UNITS THROUGHOUT THE STATE OF ARIZONA HOUSING 3,975
RESIDENTS. THESE UNITS OFFER RENTS AND DEPOSITS THAT ARE MANAGEABLE FOR
LOW INCOME AND/OR ELDERLY RESIDENTS. MOST OF THE PROPERTIES ARE NEWLY
REFURBISHED AND SOME OFFER AMENITIES SUCH AS FREE LEARNING CENTERS FOR
ADULT LEARNING AND AFTERSCHOOL PROGRAMMING FOR CHILDREN, EXPANSIVE
PLAYGROUNDS AND REGULAR SOCIAL ACTIVITIES.
2. NEIGHBORHOOD STABILIZATION PROGRAM:
IN 2010
AS THE LEAD AGENCY IN A 13 MEMBER CONSORTIUM OF NONPROFIT
COMMUNITY DEVELOPMENT ORGANIZATIONS, CHICANOS POR LA CAUSA INC.,
(CPLC)
WAS AWARDED A U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD)
NEIGHBORHOOD STABILIZATION II (NSP2) AWARD IN THE AMOUNT OF $137
MILLION TO STABILIZE COMMUNITIES IMPACTED BY HOME FORECLOSURE AND
ABANDONMENT. CPLC, AS THE LEAD AGENCY, IMPLEMENTED THE PROGRAM
ACTIVITIES AND PROTOCOLS FOR THE 13 NONPROFIT ENTITIES ACROSS EIGHT
STATES WHICH INCLUDE NOT ONLY ARIZONA, BUT CALIFORNIA, ILLINOIS
PHILADELPHIA, COLORADO, TEXAS
MARYLAND, NEW MEXICO, AND THE DISTRICT
OF COLUMBIA. CPLC'S RESPONSIBILITY AS THE LEAD AGENCY UNDER THE NSP 2
PROGRAM INCLUDES MANAGING ALL FUNDS OF THE GRANT, ENSURING ALL
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Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Page 85 of 202
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
ACTIVITIES MEET REGULATORY COMPLIANCE ACCORDING TO THE TERMS OF THE
GRANT AND REPORTING.
THE CONSORTIUM HAS IDENTIFIED FIVE (5) ELIGIBLE ACTIVITIES UNDER THE
NSP 2 PROGRAM TO ACCOMPLISH GOALS:
- ESTABLISH FINANCING MECHANISMS FOR THE PURCHASE AND REDEVELOPMENT OF
FORECLOSED UPON HOMES AND RESIDENTIAL PROPERTIES
PURCHASE AND REHABILITATE HOMES AND RESIDENTIAL PROPERTIES THAT HAVE
BEEN ABANDONED OR FORECLOSED UPON
- ESTABLISH LAND BANKS FOR HOMES AND RESIDENTIAL PROPERTIES THAT HAVE
BEEN FORECLOSED
- DEMOLITION OF BLIGHTED STRUCTURES
- REDEVELOP DEMOLISHED OR VACANT PROPERTIES AS HOUSING
SINCE THE AWARD OF $137,107,133 WAS GIVEN ON OF JANUARY 2010, THE LEAD
AGENCY (CPLC) AND MEMBERS OF THE CONSORTIUM ACQUIRED OVER 1,000 SINGLE
FAMILY HOMES FOR REHAB AND RESALE IN 7 STATES AND THE DISTRICT OF
COLUMBIA. THE CONSORTIUM HAS OBLIGATED AND/OR EXPENDED OVER $246
MILLION DOLLARS OF ALLOCATED FUNDS WHICH INCLUDES GENERATING MORE THAN
$120 MILLION IN PROGRAM INCOME. THE CONSORTIUM HAS ACQUIRED, REHABBED
OR REDEVELOPED AND SOLD OR RENTED OVER A 1,000 OF THESE SF UNITS. IN
ADDITION, THE CONSORTIUM HAS ALSO ACQUIRED SEVERAL MULTIFAMILY
PROPERTIES WHICH TOTAL 1 200 UNITS. MEMBERS OF THE CONSORTIUM HAVE
CONTINUE TO LEVERAGE THE SUCCESS OF THE NSP2 PROGRAM TO COMPLETE NEW
CONSTRUCTION, ACQUIRE, REHAB, MANAGE
RESELL AND OBTAIN ADDITIONAL
AFFORDABLE HOUSING PROPERTIES WITH MANY OTHER GRANT AND COMMUNITY
INITIATIVES.
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59
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307710
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 86 of 202
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
CPLC
86 0227210
3. SINGLE FAMILY HOMES:
CPLC HAS STABILIZED NEIGHBORHOODS BY PROVIDING HOME OWNERSHIP
OPPORTUNITIES TO NEARLY 40 PEOPLE ANNUALLY CREATING WEALTH THROUGH HOME
OWNERSHIP AND EDUCATION TOWARDS SUSTAINABLE OWNERSHIP REMAINS A
PRIORITY TO CPLC. WE ARE COMMITED TO ASSIST LOW, MODERATE AND MIDDLE
INCOME HOMEBUYERS BY OFFERING SAFE
HABITABLE AND EFFICIENT HOMES AT
AFFORDABLE PRICES. WE WANT TO ASSIST FAMILIES AND INDIVIDUALS ACHIEVE
THEIR DREAM OF PURCHASING A HOME.
FORM 990
PART III
LINE 4C:
INTEGRATED HEALTH SERVICES
IHHS:
CPLC OFFERS OUTPATIENT BEHAVIORAL HEALTH SERVICES TO FAMILIES
ADULTS
CHILDREN, AND ADOLESCENTS
CASE
SHELTER
COMMUNITY BASED SERVICES
MANAGEMENT, AND LEGAL SERVICES FOR WOMEN WHO ARE VICTIMS OF DOMESTIC
VIOLENCE
AND HIV SCREENING, CASE MANAGEMENT
PSYCHOSOCIAL SERVICES
AND PREP/PEP NAVIGATION FOR INDIVIDUALS WHO ARE LIVING WITH HIV/AIDS
AND/OR ARE AT RISK OF BECOMING INFECTED. IN FY 21
IHHS IMPACTED 66,114
PEOPLE THROUGH DIRECT, INDIRECT, AND OUTREACH SERVICES. 63% OF IHHS
CLIENTS REPORT BEING OF HISPANIC DESCENT. 83% OF IHHS CLIENTS ARE
CURRENTLY UTILIZING ARIZONA'S MEDICAID SERVICES
AND 94% OF IHHS
CLIENTS ARE BELOW 100% OF THE FEDERAL POVERTY LINE.
1. CPLC CENTRO DE LA FAMILIA (CDLF): CDLF IS A PROVIDER OF
COMMUNITY-BASED BEHAVIORAL HEALTH SERVICES FOR OVER 30 YEARS AND
CURRENTLY OPERATES AN OUTPATIENT BEHAVIORAL HEALTH CLINIC IN PHOENIX,
SPECIALIZING IN SERVICES TO YOUTH, ADULT, AND PERSONS LIVING WITH HIV.
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60
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307711
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
CENTRO DE LA FAMILIA PROVIDES COMPREHENSIVE
SERVICES TO ADULTS
Page 87 of 202
CULTURALLY COMPETENT
CHILDREN, AND ADOLESCENTS OF LOW TO MIDDLE-INCOME
FAMILIES WITH A FOCUS ON LATINO AND OTHER MINORITY POPULATIONS.
SERVICES ARE DELIVERED AT THE CENTERS AS WELL AS IN HOMES
SCHOOLS
AND
OTHER COMMUNITY-BASED LOCATIONS. THESE SERVICES INCLUDE INDIVIDUAL,
MARRIAGE
GROUP AND FAMILY COUNSELING AND INCLUDE PSYCHIATRIC
EVALUATIONS AND MEDICATION MANAGEMENT SERVICES IN ACCORDANCE WITH THE
CHILD AND FAMILY TEAM MODEL OF CARE. CENTRO DE LA FAMILIA SERVES OVER
1,000 INDIVIDUALS
CHILDREN AND FAMILIES EACH YEAR. CPLC'S CENTRO DE LA
FAMILIA HAS SUCCESSFULLY ESTABLISHED A COMPREHENSIVE SERVICE DELIVERY
SYSTEM INCLUSIVE OF OUTPATIENT AND PSYCHIATRIC SERVICES. CDLF CURRENTLY
PROVIDES SUBSTANCE ABUSE INTENSIVE OUTPATIENT SERVICES. CENTRO DE LA
FAMILIA IS CURRENTLY ACCREDITED THROUGH THE COMMISSION ON ACCREDITATION
OF REHABILITATION FACILITIES (CARF). RECENTLY, CDLF WAS GRANTED SAMHSA
FUNDING FOR THE "TREATMENT FOR INDIVIDUALS EXPERIENCING HOMELESSNESS"
PROGRAM. IT WAS CREATED TO TARGET INDIVIDUALS WHO ARE CURRENTLY
EXPERIENCING HOMELESSNESS AND HAVE CO-OCCURRING SUBSTANCE USE DISORDERS
AND SERIOUS MENTAL ILLNESS WITHIN PHOENIX, ARIZONA'S MARYVALE
NEIGHBORHOOD. WITHIN THE SECOND YEAR OF THE PROGRAM (2020), 275
UNDUPLICATED INDIVIDUALS WERE OUTREACHED AND 57 INDIVIDUALS WERE
ENROLLED IN THE PROGRAM. 100% PARTICIPANTS HAD A COMPRHENSIVE
ASSESSMENT, WERE PROVIDED ANNUAL PREVENATIVE CARE
AND WERE DETERMINED
AND ENROLLED IN INSURANCE. 25% OF CLIENTS ARE STILL RECEIVING MENTAL
HEALTH AND HOUSING SERVICES THROUGH CPLC WHILE THEY ARE GAINING
SELF-SUFFICIENCY.
2. CENTRO ESPERANZA: THE CENTRO ESPERANZA PROGRAM PROVIDES PHYCHIATRIC
EVALUATONS
MEDICATION MANAGEMENT, CASE MANAGEMENT, REHABILIATION
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61
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307712
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
SERVICES
PEER SERVICE
Page 88 of 202
EMPLOYMENT SERVICES
HOUSING SERVICES
INDIVIDUAL AND GROUP COUNSELING SERVICES FOR ADULTS DIAGNOSED WITH A
SERIOUS MENTAL ILLNESS. THE GOAL OF THE PROGRAM IS TO PROVIDE CLIENTS
SERVICES TO REDUCE OR ELIMINATE THEIR PSYCHIATRIC/BEHAVIORAL HEALTH
SYMPTOMS FOR AN IMPROVED QUALITY OF LIFE. THE TYPES OF SERVICES OFFERED
VARY BY TYPE, FREQUENCY, INTENSITY AND DURATION BASED ON EACH
INDIVIDUAL'S PRESENTING CLINICAL NEEDS. THE AVERAGE CENTRO ESPERANZA
CLIENT STAYS IN SERVICE FOR OVER THREE YEARS. IN FY 21
ESPERANZA
DIRECTLY SERVED 1,266 CLIENTS AND HAS CONSISTENTLY SERVED A SIMILAR
NUMBER SINCE 2016. IN 2021 CENTRO ESPERANZA WAS AWARDED THE MOBILIZE AZ
GRANT THROUGH BLUE CROSS BLUE SHIELD OF ARIZONA. THIS GRANT PROVIDES
FUNDING TO PROVIDE DIABETES SELF MANAGEMENT EDUCATION TO CLIENTS WHO
HAVE TESTED POSITIVE FOR TYPE 2 DIABETES OR PRE-DIABETES. FUNDING WILL
ALSO BE USED TO IMPROVE ACCESS TO THE SOCIAL DETERMINANTS OF HEALTH FOR
CLIENTS WITH DIABETES AND PRE DIABETES SO THAT THEY MAY BETTER MANAGE
OR PREVENT THE DISEASE.
3. CPLC LUCES RYAN WHITE PART A SERVICES
&
ARIZONA DEPARTMENT OF HEALTH
SERVICES: CPLC LUCES HIV/AIDS PROGRAM PROVIDES SERVICES TO HIV POSITIVE
AND HIGH-RISK HIV NEGATIVE INDIVIDUALS.
UNDER MARICOPA COUNTY RWPA,
CPLC LUCES PROVIDES SERVICES THAT INCLUDE: MEDICAL CASE MANAGEMENT,
SUPPORTIVE CASE MANAGEMENT, MENTAL HEALTH, SUBSTANCE ABUSE
PSYCHOSOCIAL SUPPORT GROUPS
AND A FUERZA POSITIVA UNIVERSITY FOR NEWLY
DIAGNOSED INDIVIDUALS LIVING WITH HIV/AIDS. CPLC LUCES PROGRAM, UNDER
RWPA, PROVIDES SERVICES TO ALL INDIVIDUALS LIVING WITH HIV/AIDS IN
MARICOPA COUNTY. UNDER AZ DEPARTMENT OF HEALTH SERVICES (ADHS) RWPB,
CPLC LUCES PROGRAM HAS THREE COMPONENTS:
PREP
TESTING, AND BEHAVIORAL HEALTH INTERVENTIONS.
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&
PEP NAVIGATION, HIV
CPLC LUCES PROVIDES PREP
Schedule O (Form 990 or 990-EZ) 2020
62
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307713
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
&
Page 89 of 202
PEP SERVICES TO PREVENT HIV TRANSMISSION FOR INDIVIDUALS AT HIGH
RISK.
CPLC LUCES ADHS BEHAVIORAL HEALTH INTERVENTIONS PROVIDE
EDUCATIONAL PREVENTION SERVICES TO HIV POSITIVE AND HIV NEGATIVE
INDIVIDUALS. CPLC LUCES HIV TESTING SERVICES OFFER COMMUNITY AND CLINIC
BASED HIV TESTING, EDUCATION, AND LINKAGE TO CARE SERVICES TO MORE THAN
800 INDIVIDUALS PER MONTH. CPLC LUCES HAS TWO 340B PROGRAMS UNDER HRSA:
AN HIV 340B PROGRAM FOR HIV POSITIVE INDIVIDUALS AND A 340B PREP FOR
INDIVIDUALS ON PREVENTION MEDICATION.
PREP
&
UNDER SAMHSA, LUCES HAS ADDED
PEP NAVIGATION AND EDUCATIONAL CURRICULUMS FOR INDIVIDUALS
EXPERIENCING SUBSTANCE ABUSE ISSUES. THE VAST MAJORITY OF CLIENTS THAT
LUCES PROVIDES SERVICES TO ARE LATINO INDIVIDUALS WHO ARE PREDOMINANTLY
SPANISH SPEAKING AND ARE UNINSURED OR UNDERINSURED.
IN 2021
LUCES
IMPACTED 14,523 LIVES THROUGH DIRECT, INDIRECT, AND OUTREACH SERVICES
TO HELP IMPROVE HEALTH OUTCOMES AND MAKE OUR COMMUNITY A SAFER PLACE TO
LIVE.
ACCORDING TO RWPA CONTINUUM OF CARE DATA, IN 2021 97% OF LUCES
CLIENTS WERE LINKED TO PRIMARY MEDICAL CARE
RETAINED IN CARE
90% OF LUCES CLIENTS WERE
AND 88% OF LUCES CLIENTS BECAME VIRALLY SUPPRESSED
AND ACHIEVED UNDETECTABLE STATUS.
4. CORAZON: CORAZON IS A CARF-ACCREDITED, LICENSED LEVEL II RESIDENTIAL
SUBSTANCE ABUSE TREATMENT CENTER FOR MEN OVER THE AGE OF EIGHTEEN.
CORAZON HAS BEEN PROVIDING SERVICES TO THE COMMUNITY SINCE 1983. THE
CENTER CURRENTLY HAS 65 BEDS FOR RESIDENTIAL SUBSTANCE ABUSE TREATMENT.
THE CENTER SPECIALIZES IN PROVIDING SUBSTANCE ABUSE TREATMENT IN AN
ENVIRONMENT THAT IS CULTURALLY SENSITIVE AND INCLUSIVE. CORAZON
UTILIZES A VARIETY OF TREATMENT MODALITIES
INTEGRATING IDENTIFIED BEST
PRACTICES WITH TRADITIONAL HEALING ACTIVITIES. CORAZON PROVIDES THE
TOOLS NECESSARY FOR THE MEN TO BE SUCCESSFUL AS THEY PURSUE A LIFELONG
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2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307714
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Page 90 of 202
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
CHALLENGE TO LIVE FREE OF SUBSTANCE ABUSE. IN FY 21
CORAZON IMPACTED
1,622 PEOPLE THROUGH DIRECT, INDIRECT, AND OUTREACH SERVCES. OF 708
CLIENT RECORDS COLLECTED IN FY 21 FOR DIRECT SERVICE
60% OF
PARTICIPANTS SUCCESSFULLY GRADUATED FROM CORAZON'S SUBSTANCE USE
PROGRAM.
FORM 990
PART III
LINE 4C
DESCRIPTION OF PROGRAM SERVICE CONTINUED:
5. DE COLORES: DE COLORES IS A DOMESTIC VIOLENCE SHELTER AND COMMUNITY
BASED PROGRAM THAT SERVES WOMAN, MEN AND CHILDREN SEEKING SERVICES AND
SUPPORT AS A RESULT OF VIOLENT RELATIONSHIPS AND SEXUAL ASSAULT. THE
SHELTER WAS OPENED IN 1986 WITH 16 BEDS AND SUPPORTS INDIVIDUALS AND
FAMILIES FLEEING DOMESTIC AND SEXUAL VIOLENCE. TODAY DE COLORES HAS 52
BEDS FOR THE CRISIS PROGRAM AND 16 BEDS FOR THE TRANSITIONAL LIVING
PROGRAM. THE PROGRAM PROVIDES ALL OF THE BASIC NEEDS FOR THE FAMILIES
LIVING IN THE CRISIS PROGRAM. FOR THE FAMILIES LIVING IN THE
TRANSITIONAL PROGRAM THE SHELTER PROVIDES APARTMENTS AND TRAINING THAT
WILL ASSIST THEM AS THEY BEGIN THEIR JOURNEY TOWARD HEALING AND
INDEPENDENCE. THE COMMUNITY BASED PROGRAM PROVIDES SUPPORT AND SERVICES
FOR COMMUNITY MEMBERS THAT ARE VICTIMS OF DOMESTIC VIOLENCE
ASSAULT AND HUMAN TRAFFICKING.
SEXUAL
SERVICES INCLUDE SUPPORT GROUPS
VICTIM
ADVOCACY, ECONOMIC EMPOWERMENT, PREVENTION SERVICES AND HOUSING
INTERVENTION.
THE STAFF IS BI CULTURAL/BI LINUAL AND IT IS THE ONLY
SEXUAL AND DOMESTIC VIOLENCE PROGRAM IN MARICOPA COUNTY THAT
SPECIALIZES IN CULTURALLY AND LINGUISTICALLY SPECIFIC SERVICES FOR
HISPANIC VICTIMS OF SEXUAL AND DOMESTIC VIOLENCE.
IN FY 21
DE COLORES
IMPACTED 5,504 CLIENTS THROUGH DIRECT, INDIRECT, AND OUTREACH SERVICES.
DE COLORES PUTS A SPECIAL EMPHASIS ON INCREASING SELF-SUFFICIENCY AND
DV KNOWLEDGE WHILE RECEVING SERVICES. OF CLIENTS WHO WERE INTERVIEWED
MADE AN IMPROVEMENT IN AT LEAST ONE SELF-SUFFICIENCY DOMAIN. TWO DOMAIN
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64
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307715
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Page 91 of 202
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
INCREASES (FOOD SECURITY AND HOUSING) WERE STATISTICALLY SIGNIFICANT
FROM PRE TO POST-TESTING. ADDTIONALLY, UPON EXIT, WOMEN REPORTED HAVING
AN INCREASED KNOWLEDGE ABOUT THEIR RIGHTS UNDER THE VIOLENCE AGAINST
WOMEN ACT AND HAVING KNOWLEDGE ON HOW TO RECEIVE LEGAL SERVICES FOR
DOMESTIC VIOLENCE. IN ADDITION, 41% OF DE COLORES CLIENTS RECEIVED A
RESIDENTIAL/HOUSING SERVICE AND 59% RECEIVED A COMMUNITY BASED SERVICE.
DECOLORES ALSO SERVES HOMELESS FAMILIES AT THE SHELTER.
DE COLORES HAS
20 BEDS RESERVED FOR THE CITY OF PHOENIX FIRST RESPONDERS TO REFER
HOMELESS FAMILIES IN NEED OF EMERGENCY CRISIS SHELTER. ANNUALY, DE
COLORES PROVIDES EMERGENCY SHELTER TO 50-60 FAMILIES. ON AVERAGE,
AROUND 90% OF THE FAMILIES WHO HAD EXITED ARE SUCCESSFULLY PLACED OR
DIVERTED TO EITHER PERMANENT HOUSING OR A TRANSITIONAL SHELTER.
FORM 990
PART III
LINE 4D, OTHER PROGRAM SERVICES:
ECONOMIC DEVELOPMENT/ BUSINESS ENTERPRISES:
ECONOMIC DEVELOPMENT PROVIDES PRINCIPAL PURPOSE PLANNING
AND/OR MANAGING LOW INCOME HOUSING
DEVELOPING
AND COMMUNITY DEVELOPMENT
ACTIVITIES. THE PROGRAM UTILIZES RESOURCES TO ATTRACT CAPITAL AND
INCREASE PHYSICAL
COMMERCIAL
AND BUSINESS DEVELOPMENT THEREFORE
CREATING EDUCATION AND JOB OPPORTUNITIES FOR THE RESIDENTS OF THE
NEIGHBORHOOD BEING SERVED. LA CAUSA DEVELOPMENT, TIEMPO INC., LA CAUSA
CONSTRUCTION LLC
AND LA CAUSA REALTY LLC PROVIDES COMPREHENSIVE
PROFESSIONAL EXPERTISE IN DESIGN AND CONSTRUCTION, IN ADDITION TO
CONSTRUCTION MANAGEMENT, PROPERTY MANAGEMENT
PROJECTS
AND SALE OF COMPLETED
TO INCLUDE: RETAIL, MEDICAL AND MIXED-USE DEVELOPMENT, AS
WELL AS RESIDENTIAL MULTI FAMILY AND SINGLE FAMILY HOMES. CPLC PROVIDES
LEASING AND PROPERTY MANAGEMENT SERVICES FOR SENIOR, PROJECT-BASED,
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Schedule O (Form 990 or 990-EZ) 2020
65
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307716
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Page 92 of 202
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
AFFORDABLE AND MARKET-RATE MULTIFAMILY HOUSING WITH CPLC CURRENTLY
MANAGING 2 406 MULTIFAMILY RENTAL UNITS. CPLC REAL ESTATE DIVISION ALSO
SPECIALIZES IN CONTRACTING WITH MUNICIPALITIES AND FUNDING SOURCES VIA
FEDERAL AND STATE LEVEL GRANTS. CPLC HAS A SUCCESSFUL RECORD IN
UTILIZING LOW INCOME HOUSING TAX CREDITS (LIHTC), NEW MARKET TAX
CREDIT, FUNDING FROM HUD
ECONOMIC DEVELOPMENT ADMINSTRATION (EDA) AND
OTHER COMMUNITY CAPITAL FUNDING IN ORDER TO PROVIDE AFFORDABLE HOUSING
ALTERNATIVES AND COMMERCIAL DEVELOPMENT TO THE COMMUNITED SERVED.
PRESTAMOS CDFI - SMALL BUSINESS LENDING:
CPLC CREATED PRESTAMOS CDFI IN 2000
A WHOLLY OWNED SUBSIDIARY TO
PROVIDE EMERGING SMALL BUSINESSES IN TARGETED LOW-INCOME COMMUNITIES'
ACCESS TO AFFORDABLE CAPITAL THROUGH NON-TRADITIONAL FINANCING.
PRESTAMOS ALSO INVESTS IN LARGE CATALYTIC ECONOMIC DEVELOPMENT PROJECTS
THAT CREATE JOBS AND PROVIDE SERVICES TO ECONOMICALLY DISTRESSED AREAS.
PRESTAMOS PROVIDES SBA MICROLOAN PROGRAM $1,500 TO $50,000, SBA 7A
COMMUNITY ADVANTAGE LOANS UP TO $250,000, SMALL BUSINESS LOANS UP TO
$1,000,000, EQUITY INVESTMENTS UP TO $500,000 AND NEW MARKETS TAX
CREDIT FINANCING UP TO $15 MILLION.
CAPITAL ACCESS PROGRAMS ADDRESS
THE PROBLEMS ENCOUNTERED BY SMALL BUSINESS ENTREPRENEURS SEEKING
CAPITAL FOR THEIR BUSINESS BUT DO NOT QUALIFY FOR BANK FINANCING WITHIN
THE TARGET AREAS.
PRESTAMOS CDFI
LLC PARTICIPATED IN PAYCHECK
PROTECTION PROGRAM (PPP) LENDING, WHICH IS BASED ON THE CORONAVIRUS AID
RELIEF AND ECONOMIC SECURITY ACT (THE "CARES" ACT) IN THE LAST QUARTER
OF FISCAL YEAR 2020
TOTAL
AND THE THIRD QUARTER OF FISCAL YEAR 2021. IN
PRESTAMOS LENT OUT MORE THAN 500,000 PPP LOANS. PRESTAMOS SERVES
THE MARKETS OF ARIZONA, NEVADA, NEW MEXICO, TEXAS AND CALIFORNIA.
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66
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307717
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
EXPENSES$ 9,322,835.
Page 93 of 202
INCL GRANTS OF$ 1,535,759.
REVENUE$ 10,518,171.
OTHER PROGRAMS:
YOUTH SERVICES
THE NAHUI OLLIN WELLNESS PROGRAM (NOWP) IS BASED ON THE PREMISE OF LA
CULTURA CURA, "CULTURE HEALS". WE BELIEVE THAT BY FOSTERING YOUTH
ENGAGEMENT AND LEADERSHIP DEVELOPMENT OUR COMMUNITIES CAN STRIVE FOR
HOLISTIC WELLNESS. THROUGH CULTURALLY RESPONSIVE PRACTICES
WE CAN
BUILD A FOUNDATION FOR JUSTICE AND HEALING. STRIVING FOR HOLISTIC
WELLNESS INCORPORATES THE EXTENSION OF FOCUS FROM THE SELF TO
INCORPORATING THE POSITION OF THE SELF WITHIN A SYSTEM, A COMPLETE UNIT
WITH THE CONTINUAL MOVEMENT WITH THE SELF
THE COMMUNITY
THE HISTORY
OF ANCESTORS AND THE LAND IN WHICH THEY ARE CARETAKERS. HOLISTIC
WELLNESS INCORPORATES THE BALANCE OF THESE MEASURES
IDENTIFYING THAT
IF THERE IS AN IMPACT ON ONE OF THESE FACTORS THERE IS MOVEMENT IN EACH
OF THESE FACTORS. WELLNESS IS THE JOURNEY IN WHICH YOUTH PARTICIPATE IN
AS THEY BECOME PART OF THE CURRICULUM THE NOWP IS COMMUNICATING, WITH
CONTEXT OF HOW THE INFORMATION CAME TO BE
THE LENS IN WHICH IT IS
ACCEPTED CULTURALLY AND THE IMPACT THAT LENS HAS ON THE STUDENT'S
CULTURE AND HERITAGE AND THEIR ABILITY TO INTERNALIZE AND APPLY THE
MATERIAL INTO THEIR TRUTH AND SYSTEM. JUSTICE IS HOW THE HOLISTIC
WELLNESS SYSTEM BALANCES ITSELF. THE IDENTIFYING OF THE IMBALANCE
THE
IMPACT IT HAS HAD ON ALL FACTORS AND HOW BALANCE CAN BE RESTORED. IT IS
ONLY WHEN JUSTICE HAS BEEN APPLIED THAT THE ALL FACTORS CAN BEGIN TO
HEAL TOGETHER, GROWING AND REGAINING SYSTEM BALANCE.
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67
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307718
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Pa e2
CHICANOS POR LA CAUSA INC
Name of the organization
Page 94 of 202
Employer identification number
86 0227210
CPLC
NEW MEXICO OPERATIONS
CPLC NM EXISTS TO EMPOWER POSITIVE ACTION THROUGH SUSTAINABLE SOCIAL
SERVICES THROUGH THREE EXECUTIVE BRANCHES: THE OFFICE OF ECONOMIC
EMPOWERMENT, OFFICE OF LEARNING & ACADEMIC OPPORTUNITY AND THE OFFICE
OF FINANCE AND ADMINISTRATION. HELP NM AIMS TO ENGAGE, INSPIRE
AND
MOTIVATE THROUGH EFFECTIVE COMMUNITY IMPROVEMENT PROGRAMS AND TO
EDUCATE FAMILIES AND COMMUNITIES THROUGH INNOVATIVE COACHING IN THE
FOLLOWING AREAS: EMPLOYMENT SERVICES
DEVELOPMENT, HOUSING SERVICES
SERVICES
EDUCATION & COGNITIVE
HEALTH & SOCIAL/BEHAVIORAL DEVELOPMENT
CIVIC ENGAGEMENT & COMMUNITY INVOLVEMENT SERVICES
FAMILY
STABILITY, EMERGENCY ASSISTANCE AND ECONOMIC ASSET
ENHANCEMENT/UTILIZATION. CPLC NM SERVED 22,955 CLIENTS IN 2019.
EXPENSES$ 310,953.
FORM 990
PART VI
INCLUDING GRANTS OF$ 310,953.
REVENUE$ 2,215,949.
SECTION A, LINE 1:
THE ORGANIZATION HAS AN EXECUTIVE COMMITTEE THAT SHALL HAVE AUTHORITY TO
ACT ON BEHALF OF THE GOVERNING BODY. THE EXECUTIVE COMMITTEE SHALL CONSIST
OF THE CHAIRPERSON OF THE BOARD, THE VICE CHAIRPERSON OF THE BOARD, THE
SECRETARY OF CORPORATION AND THE TREASURER OF CORPORATION.
THE BOARD OF DIRECTORS WILL APPOINT, FROM AMONG ITS DIRECTORS
AN EXECUTIVE
COMMITTEE WHICH SHALL SERVE AT THE PLEASURE OF THE BOARD OF DIRECTORS AND
SHALL BE SUBJECT TO THE CONTROL AND DIRECTION OF THE BOARD OF DIRECTORS.
THE EXECUTIVE COMMITTEE SHALL HAVE AUTHORITY TO ACT ONLY DURING THE
INTERVALS BETWEEN MEETINGS OF THE BOARD OF DIRECTORS. THE EXECUTIVE
COMMITTEE SHALL POSSESS AND MAY EXERCISE THE AUTHORITY OF THE BOARD OF
DIRECTORS IN THE MANAGEMENT OF THE ORDINARY BUSINESS AFFAIRS OF
CORPORATION, EXCEPT FOR THE PROHIBITIONS CONTAINED IN SECTION 6.1.
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2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307719
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 95 of 202
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
CPLC
86 0227210
NOTWITHSTANDING THE GENERALITY OF THE FOREGOING AND THE PROHIBITIONS
CONTAINED IN SECTION 6.1, THE EXECUTIVE COMMITTEE SHALL HAVE THE POWER AND
AUTHORITY TO GUARANTY ANY OF THE DEBTS OF THE CORPORATION.
FORM 990
PART VI
SECTION A, LINE 2:
ALBERTO ESPARZA AND MIKE ESPARZA HAVE A FAMILY RELATIONSHIP.
FORM 990
PART VI
SECTION B, LINE llB:
THE FORM 990 IS PREPARED BY ACCOUNTING STAFF AND CPA FIRM, THEN REVIEWED BY
THE VICE PRESIDENT OF FINANCE
FOR ACCURACY AND CONSISTENCY, WITH THE CPLC
FINANCIAL STATEMENTS. IT IS THEN GIVEN TO CPLC'S CFO FOR DISCUSSION AND
REVIEW. ONCE APPROVED BY THE FINANCE COMMITTEE
THE FORM 990 TAX RETURN IS
PRESENTED TO THE CPLC'S BOARD OF DIRECTORS FOR REVIEW AND APPROVAL PRIOR TO
FILING.
FORM 990
PART VI
SECTION B, LINE 12C:
THE CONFLICT OF INTEREST REQUIRES AN ANNUAL DECLARATION BY ALL BOARD
MEMBERS AND KEY STAFF. WE ADHERE TO THE CODE OF CONDUCT GUILDLINES IN THE
0MB All0 CIRCULAR. ALL POTENTIAL CONFLICTS OF INTEREST ARE REVIEWED BY THE
BOARD OF DIRECTORS. ANY BOARD MEMBER WHO HAS A POTENTIAL CONFLICT OF
INTEREST IN A SPECIFIC ACTION OF THE BOARD UNDER CONSIDERATION AT A MEETING
IS EXPECTED TO EXCUSE THEMSELVES FROM ANY INFLUENCE ON SUCH ACTION. SINCE
EVERY SITUATION AND CIRCUMSTANCE CANNOT BE ANTICIPANTED OR DISCLOSED IN
ADVANCE
CPLC RELIES UPON THE HONESTY AND INTEGRITY OF EACH INDIVIDUAL TO
COMPLY WITH THIS PROTOCOL.
FORM 990
PART VI
SECTION B, LINE 15:
COMPENSATION IS CONDUCTED IN ACCORDANCE WITH THE IRS SAFEHARBOR PROVISIONS
032212 11-20-20
18260512 131839 038-057609
Schedule O (Form 990 or 990-EZ) 2020
69
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307720
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Schedule O Form 990 or 990-EZ 2020
Name of the organization
Page 96 of 202
Pa e2
CHICANOS POR LA CAUSA INC
Employer identification number
86 0227210
CPLC
BEGINNING WITH AN IRS INTERMEDIATE SANCTIONS REASONED ANALYSIS REVIEW AND
CERTIFICATION
BY AN INDEPENDENT COMPENSATION CONSULTANT SUPPORTING TOTAL
COMPENSATION FOR PRESIDENT AND CEO AND EXECUTIVE KEY EMPLOYEES.
RECOMMENDATION FOR PRESIDENT AND CEO IS PROVIDED TO THE BOARD, AND THE
BOARD REVIEWS
SETS AND APPROVES THE COMPENSATION.
THE PROCESS IS
DOCUMENTED IN THE MEETING MINUTES AND IS DONE ON AN ANNUAL BASIS.
RECOMMENDATION FOR THE EXECUTIVES IS PROVIDED TO THE PRESIDENT & CEO WHO
REVIEWS, SETS AND APPROVES THE COMPENSATION ON AN ANNUAL BASIS.
THE MOST RECENT YEAR THIS PROCESS WAS FOLLOWED WAS 2021.
FORM 990
PART VI
SECTION C
LINE 19:
THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS
CONFLICT OF INTEREST
POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST.
032212 11-20-20
18260512 131839 038-057609
Schedule O (Form 990 or 990-EZ) 2020
70
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307721
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 97 of 202
0MB No" 1545-0047
Related Organizations and Unrelated Partnerships
SCHEDULER
(Form 990)
2020
► Complete if the organization answered "Yes" on Form 990, Part IV, line 33, 34, 35b, 36, or 37.
► Attach to Form 990.
Department of the Treasury
Internal Revenue Service
Open to Public
Inspection
Go to www.irs. ov/Form990 for instructions and the latest information.
CHICANOS POR LA CAUSA INC
Name of the organization
Employer identification number
86 0227210
CPLC
Part I
Identification of Disregarded Entities. Complete if the organization answered "Yes" on Form 990, Part IV, line 33.
(a)
(b)
(c)
(d)
(e)
(f)
Name, address, and EIN (if applicable)
of disregarded entity
Primary activity
Legal domicile (state or
Total income
End-of-year assets
Direct controlling
entity
CASA DE ENCANTO OPERATING COMPANY LLC
65-1271915
foreign country)
-
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
INVESTMENT MANAGEMENT
W,.RIZONA
23,121.
1,071,880. INC
INVESTMENT MANAGEMENT
"'RIZONA
23,122.
1,025,156. INC
HOUSING
W,.RIZONA
96,252.
1,298,261. INC
HOUSING
"'RIZONA
20,228.
1,975,140. INC
CASA DE FLORES OPERATING COMPANY LLC 65-1271917
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
CASA DE PRIMAVERA APARTMENTS LLC 86-0897878
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
CASA LOMA AFFORDABLE APARTMENTS LLC 47-3030876
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
Part II
CHICANOS POR LA CAUSA,
Identification of Related Tax-Exempt Organizations. Complete if the organization answered "Yes" on Form 990, Part IV, line 34, because it had one or more related tax-exempt
organizations during the tax year.
(a)
(b)
(c)
(d)
(e)
(f)
(g)
Name, address, and EIN
of related organization
Primary activity
Legal domicile (state or
Exempt Code
section
Public charity
status (if section
501 (c)(3))
Direct controlling
entity
Section 512(bX13)
controlled
entity?
foreign country)
Yes
No
PUEBLO SENIOR HOUSING INC DBA CASA DEL
PUEBLO I
-
PHOENIX, AZ
86-0757227
1112 E BUCKEYE ROAD,
85034
CASA DEL PUEBLO II INC
-
CHICANOS POR LA
HOUSING
ARIZONA
501(C)(3)
iwINE 10
HOUSING
ARIZONA
501(C)(3)
µINE 10
HOUSING
ARIZONA
501(C)(3)
iwINE 10
HOUSING
ARIZONA
501(C)(3)
µINE 10
1112 E BUCKEYE ROAD,
PHOENIX, AZ
CAUSA, INC
X
39-0275488
CHICANOS POR LA
85034
CAUSA, INC
X
CASA MIA SENIOR APARTMENTS INC - 74-2465161
1112 E BUCKEYE ROAD,
PHOENIX, AZ
CHICANOS POR LA
85034
CAUSA, INC
X
CAUSA COMMUNITY DEVELOPMENT DBA GUADALUPE
BARRIO NUEVO - 74-2465130
ROAD,, PHOENIX, AZ
85034
1112 E BUCKEYE
CHICANOS POR LA
For Paperwork Reduction Act Notice, see the Instructions for Form 990.
032161 10-2s-20
CAUSA, INC
X
Schedule R (Form 990) 2020
LHA
71
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Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 98 of 202
CHICANOS POR LA CAUSA INC
CPLC
Schedule R (Form 990)
86-0227210
I Part I I Continuation of Identification of Disregarded Entities
(a)
(b)
(c)
(d)
(e)
(f)
Name, address, and EIN
of disregarded entity
Primary activity
Legal domicile (state or
Total income
End-of-year assets
Direct controlling
entity
foreign country)
CHICANOS POR LA CAUSA LAND BANK LLC 47 2787045
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
CPLC DONATION PARTNERS LLC
CHICANOS POR LA CAUSA,
HOUSING
~RIZONA
0.
0. INC
HOUSING
~RIZONA
0.
0. INC
HOUSING
~RIZONA
-487,226.
12,759,118. INC
HOUSING
~RIZONA
-232,760.
5,843,410. INC
HOUSING
~RIZONA
0.
0. INC
HOUSING
~RIZONA
0.
0. INC
HOUSING
~RIZONA
0.
0. INC
INVESTMENT
~RIZONA
0.
0. INC
HOUSING
~RIZONA
12,532.
1,761,779. INC
HOUSING
~RIZONA
789,244.
13,369,408. INC
47-2813544
-
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC ESTANCIA LLC
-
36-4825346
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC FOUNTAIN VILLAS
-
35-2553825
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC HOLDING AND ASSET MANAGEMENT COMPANY
LLC
47 2781685
PHOENIX, AZ
1112 E BUCKEYE ROAD,
85034
CPLC HOUSING AND HEALTH LLC
-
CHICANOS POR LA CAUSA,
81-0973252
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC LAND BANK MANAGER LLC - 86-0227210
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
FUTURO EQUITY FUND LLC - 46-3781260
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
GLENROSA AFFORDABLE APARTMENTS LLC DBA LA
BUENA
47 3050416
PHOENIX, AZ
1112 E BUCKEYE ROAD,
85034
GRAND VICTORIA HOUSING LLC
-
CHICANOS POR LA CAUSA,
86-0985482
1112 E BUCKEYE ROAD
PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
032221
04-01-20
72
PRESTAMOS-00307723
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 99 of 202
CHICANOS POR LA CAUSA INC
CPLC
Schedule R (Form 990)
86-0227210
I Part I I Continuation of Identification of Disregarded Entities
(a)
(b)
(c)
(d)
(e)
(f)
Name, address, and EIN
of disregarded entity
Primary activity
Legal domicile (state or
Total income
End-of-year assets
Direct controlling
entity
GUADALUPE HUERTA OPERATING COMPANY LLC
65 1271919
foreign country)
-
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
INVESTMENT MANAGEMENT
~RIZONA
6,078.
1,456,721. INC
HOUSING
~RIZONA
-33,717.
903,240. INC
INVESTMENT MANAGEMENT
~RIZONA
0.
0. INC
INVESTMENT MANAGEMENT
~RIZONA
-343,782.
4,178,486. INC
wENDING
~RIZONA
INVESTMENT MANAGEMENT
~RIZONA
-111,981.
3,179,427. INC
INVESTMENT MANAGEMENT
~RIZONA
-132, 112.
0. INC
HOUSING
~RIZONA
0.
0. INC
HOUSING
~RIZONA
0.
0. INC
HOUSING
~RIZONA
-49,868.
2,126,831. INC
HAZELWOOD AFFORDABLE APARTMENTS LLC DBA
STARLIGHT
47 3220332
PHOENIX, AZ
85034
1112 E BUCKEYE ROAD,
CHICANOS POR LA CAUSA,
MOUNTAIN POINTE APARTMENTS LIHTC LLC 86 0227210
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
MOUNTAIN POINTE APARTMENTS LIHTC PHASE II
LLC
01 0857328
PHOENIX, AZ
1112 E BUCKEYE ROAD,
85034
PRESTAMOS CDFI LLC
-
CHICANOS POR LA CAUSA,
26-0020430
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
ROSA LINDA OPERATING COMPANY
65 1271918
19,905,156. 7,779,473,937. INC
LLC -
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
SAN MARINA AFFORDABLE APARTMENTS LLC 47 2999355
1112 E BUCKEYE ROAD, PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
CPLC PICKLE HOUSE LLC - 47-2240497
1112 E BUCKEYE ROAD
CHICANOS POR LA CAUSA,
PHOENIX, AZ
85034
CPLC SHOUSE
LLC - 82-2126115
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC 25TH AND BELL
LLC - 86-0227210
1112 E BUCKEYE ROAD
PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
032221
04-01-20
73
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Document 84-2
Filed 10/13/23
Page 100 of 202
CHICANOS POR LA CAUSA INC
CPLC
Schedule R (Form 990)
86-0227210
I Part I I Continuation of Identification of Disregarded Entities
(a)
(b)
(c)
(d)
(e)
(f)
Name, address, and EIN
of disregarded entity
Primary activity
Legal domicile (state or
Total income
End-of-year assets
Direct controlling
entity
foreign country)
CPLC FNMA FIRST LOOK LLC - 81-1405916
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
INACTIVE
~RIZONA
0.
0. INC
HOUSING
~RIZONA
0.
0. INC
HOUSING
~RIZONA
-243.
139,900. INC
HOUSING
~RIZONA
0.
1,845,263. INC
HOUSING
~RIZONA
0.
0. INC
HOUSING
~RIZONA
-208,350.
3,663,914. INC
HOUSING
~RIZONA
-46,333.
488,187. INC
HOUSING
~RIZONA
-208,350.
3,663,914. INC
COMMUNITY DEVELOPMENT
~RIZONA
0.
0. INC
COMMUNITY DEVELOPMENT
~RIZONA
0.
0. INC
CPLC HOUSING PARTNERS LLC - 47-2799386
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
59TH AVENUE AND ROOSEVELT, LLC - 82-4302043
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
NUEVAS VISTAS ON MAIN, LLC - 82-3792122
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC REIT, LLC - 82-2766111
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC PASTOR COURT LLC
-
83-1190924
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC 1551 W VAN BUREN, LLC - 86-0227210
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
MOUNTAIN POINTE APARTMENTS LP - 86-0971578
1112 E BUCKEYE ROAD
PHOENIX, AZ
CHICANOS POR LA CAUSA,
85034
CPLC SOUTH PHOENIX CHARTER SCHOOLS
LLC
1112 E BUCKEYE ROAD
PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
CPLC BROADWAY REVITALIZATION LLC
1112 E BUCKEYE ROAD
PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
032221
04-01-20
74
PRESTAMOS-00307725
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 101 of 202
CHICANOS POR LA CAUSA INC
CPLC
Schedule R (Form 990)
86-0227210
I Part I I Continuation of Identification of Disregarded Entities
(a)
(b)
(c)
(d)
(e)
(f)
Name, address, and EIN
of disregarded entity
Primary activity
Legal domicile (state or
Total income
End-of-year assets
Direct controlling
entity
foreign country)
VISTA VILLAGE ON VAN BUREN, LLC (TRAVEL INN)
47 3239819
AZ
1112 E BUCKEYE ROAD, PHOENIX,
85034
MESA ROYALE WEST LLC (KIVA)
-
CHICANOS POR LA CAUSA,
HOUSING
~RIZONA
-26,307.
6,091,578. INC
HOUSING
~RIZONA
9,926.
1,838,329. INC
86-1815293
1112 E BUCKEYE ROAD
PHOENIX, AZ
85034
CHICANOS POR LA CAUSA,
032221
04-01-20
75
PRESTAMOS-00307726
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 102 of 202
CHICANOS POR LA CAUSA INC
CPLC
Schedule R (Form 990)
86-0227210
I Part II I Continuation of Identification of Related True-Exempt Organizations
(a)
(b)
(c)
(d)
(e)
(f)
(g)
Name, address, and EIN
of related organization
Primary activity
Legal domicile (state or
Exempt Code
section
Public charity
status (if section
501 (c)(3))
Direct controlling
entity
Section 512(bX13)
controlled
organization?
CPLC COMMUNITY SCHOOLS
-
foreign country)
1113 E BUCKEYE ROAD,
PHOENIX, AZ
Yes
No
86-0842209
CHICANOS POR LA
85034
EDUCATION
ARIZONA
501(C)(3)
iwINE 2
CAUSA, INC
SOCIAL SERVICES
ARIZONA
501(C)(3)
iuINE 7
CAUSA, INC
FOUNDATION
ARIZONA
501(C)(3)
iwINE 7
CAUSA, INC
HOUSING
ARIZONA
501(C)(3)
iuINE 7
CAUSA, INC
SOCIAL SERVICES
ARIZONA
501(C)(3)
iwINE 7
CAUSA, INC
HEALTH CARE
ARIZONA
501(C)(3)
iuINE 7
CAUSA, INC
wEGISLATIVE ADVOCACY
ARIZONA
501(C)(4)
iwINE 7
CAUSA, INC
SOCIAL SERVICES
ARIZONA
501(C)(3)
iuINE 7
CAUSA, INC
POLITICAL COMMITTEE
ARIZONA
527
SOCIAL SERVICES
CALIFORNIA
501(C)(3)
X
CPLC NEVADA INC - 47-2621854
CHICANOS POR LA
1114 E BUCKEYE ROAD,
PHOENIX, AZ
85034
X
CHICANOS POR LA CAUSA TUCSON FOUNDATION 20 3992584
AZ
CHICANOS POR LA
1115 E BUCKEYE ROAD,, PHOENIX,
85034
X
SANTA CRUZ APARTMENTS INC - 86-0712873
CHICANOS POR LA
1116 E BUCKEYE ROAD,
PHOENIX, AZ
85034
CPLC NEW MEXCIO, INC.
-
CHICANOS POR LA
1117 E BUCKEYE ROAD,
PHOENIX, AZ
X
85-0227776
85034
X
CPLC HEALTH, INC - 82-2418349
CHICANOS POR LA
1118 E BUCKEYE ROAD,
PHOENIX, AZ
85034
X
CPLC ACTION FUND - 82-2471201
CHICANOS POR LA
1112 E BUCKEYE ROAD,
PHOENIX, AZ
85034
X
CPLC TEXAS - 84-4125422
CHICANOS POR LA
1112 E BUCKEYE ROAD,
PHOENIX, AZ
85034
CPLC ACTION FUND PAC
-
CHICANOS POR LA
1046 E BUCKEYE ROAD
PHOENIX, AZ
X
84-4043516
85034
CAUSA, INC
X
CPLC CALIFORNIA - 85-2893131
CHICANOS POR LA
1112 E BUCKEYE ROAD
PHOENIX, AZ
85034
iuINE 7
CAUSA, INC
X
032222
04-01-20
76
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Document 84-2
Filed 10/13/23
Page 103 of 202
CHICANOS POR LA CAUSA INC
CPLC
Schedule R (Form 990) 2020
86-0227210
Page 2
Identification of Related Organizations Taxable as a Partnership. Complete if the organization answered "Yes" on Form 990, Part IV, line 34, because it had one or more related
organizations treated as a partnership during the tax year.
Part Ill
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
Name, address, and EIN
of related organization
Primary activity
Legal
domicile
(state or
foreign
Direct controlling
entity
Predominant income
(related, unrelated,
excluded from tax under
sections 512-514)
Share of total
income
Share of
end-of-year
assets
D:sproport:onate
country)
(i)
allocat:ons?
Yes
No
(k)
(j)
General or Percentage
Code V-UBI
amount in box managing ownership
20 of Schedule oartner?
K-1 (Form 1065) Yes No
CASA DE FLORES SENIOR
APARTMENTS LIHTC LP
65-1271909
CASA DE FLORES
1112 E BUCKEYE
ROAD, PHOENIX, AZ
85034
OPERATING
HOUSING
AZ
COMPANY LLC
GUADALUPE HUERTA SENIOR
APARTMENTS LIHTC LP -
HUERTA
65-1271912
OPERATING
1112 E BUCKEYE
ROAD, PHOENIX, AZ
85034
HOUSING
AZ
COMPANY LLC
MOUNTAIN POINTE APARTMENTS
MOUNTAIN POINT
PHASE II LIHTC LP
APARTMENTS
010857328
-
1112 E BUCKEYE
ROAD, PHOENIX, AZ
RELATED
-1.
60,977.
X
N/A
X
.01%
RELATED
0.
241,744.
X
N/A
X
.01%
RELATED
-34.
-554.
X
N/A
X
.01%
RELATED
-11.
275,922.
X
N/A
X
.01%
GUADELUPE
85034
wIHTC PHASE
HOUSING
AZ
II
LLC
ROSA LINDA SENIOR APTS LIHTC
LP DBA GENE RICE
ROSA LINDA
65-1271911
OPERATING
1112 E BUCKEYE
ROAD, PHOENIX, AZ
Part IV
85034
HOUSING
AZ
COMPANY LLC
Identification of Related Organizations Taxable as a Corporation or Trust. Complete if the organization answered "Yes" on Form 990, Part IV, line 34, because it had one or more related
organizations treated as a corporation or trust during the tax year.
(a)
(b)
Name, address, and EIN
of related organization
Primary activity
FUTURO INVESTMENT CORP
(c)
(d)
(e)
(f)
(g)
(h)
Legal domicile
Direct controlling
entity
Type of entity
(C corp, S corp,
or trust)
Share of total
income
Share of
end-of-year
assets
Percentage
ownership
(state or
foreign
country}
85034
TIEMPO INC
651271918
Yes
No
tHICANOS POR
HOLDING COMPANY
AZ
iwA CAUSA INC
t
CORP
0.
43,439.
100%
X
t
CORP
118,396.
1,117,615.
100%
X
t
CORP
0.
3,499.
100%
X
t
CORP
0.
0.
t
CORP
140.
77,541.
il>UTURO
1112 E BUCKEYE ROAD
PHOENIX, AZ
512(b)(13)
controlled
entitv?
86 0329801
1112 E BUCKEYE ROAD
PHOENIX, AZ
(i)
Section
INVESTMENT
85034
REAL ESTATE
AZ
tORPORATION
SERVICES
AZ
iwA CAUSA INC
HOUSING
NV
INC.
INVESTMENT
AZ
µ.,LC
FRIENDSHIP COMMUNITY MENTAL HEALTH CENTER
93-1182443
1112 E BUCKEYE ROAD, PHOENIX, AZ MENTAL HEALTH
85034
HIGHLAND MANAGER, LLC
tHICANOS POR
37 1869539
1112 E BUCKEYE ROAD
PHOENIX, AZ
85034
CPLC PRESTAMOS
tPLC NEVADA,
IDRESTAMOS CDFI
1112 E BUCKEYE ROAD
PHOENIX, AZ
X
83 1562101
85034
100%
X
Schedule R (Form 990) 2020
032162 10-28-20
SEE PART VII FOR CONTINUATIONS
77
PRESTAMOS-00307728
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 104 of 202
CHICANOS POR LA CAUSA INC
CPLC
Schedule R (Form 990)
86-0227210
I Part Ill I Continuation of Identification of Related Organizations Taxable as a Partnership
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
Name, address, and EIN
of related organization
Primary activity
Legal
domicile
(state or
foreign
country)
Direct controlling
entity
Predominant income
(related, unrelated,
excluded from tax under
sections 512-514)
Share of total
income
Share of
end-of-year
assets
Disproportion-
(i)
ate allocations?
Yes
No
(j)
(k)
General or Percentage
Code V-UBI
amount in box managing ownership
20 of Schedule oartner?
K-1 (Form 1065) Yes No
COURTYART AT ENCANTO LLC
82-2605851
1112 E BUCKEYE
ROAD, PHOENIX, AZ
85034
HOUSING
AZ
CASA DE ENCANTO SENIOR
CPLC REIT, LLC RELATED
APARTMENTS LIHTC LP -
ENCANTO
65-1271908
OPERATING
1112 E BUCKEYE
ROAD, PHOENIX, AZ
85034
0.
412,871.
X
N/A
X
15.00%
6.
222,448.
X
N/A
X
CASA DE
HOUSING
AZ
COMPANY LLC
RELATED
DEVELOPMENT
NM
NA
N/A
X
N/A
X
DISTRIBUTION
NM
NA
N/A
X
N/A
X
INVESTMENT
AZ
X
N/A
X
.01%
INVESTMENT
AZ
X
N/A
X
.01%
HOUSING
NV
X
N/A
X
.01%
OLD WOOD LLC - 86-0969541
803 CALLE ROMOLO
SANTA FE
NM
85034
TAOS MOUNTAIN ENERGY FOODS
LLC - 47-3479869
2638 US HWY FOOD
522, QUESTA, NM
85034
LLC -
PRESTAMOS SUB CDE 5
82-4808102
1112 E BUCKEYE
ROAD, PHOENIX, AZ
85034
1112 E BUCKEYE
ROAD, PHOENIX, AZ
wLC
LLC -
PRESTAMOS SUB CDE 6
82 4817308
PRESTAMOS CDFI
85034
PRESTAMOS CDFI
wLC
HIGHLAND AT VISTA LLC
82-2892790
1112 E BUCKEYE
ROAD, PHOENIX, AZ
85034
HIGHLAND
MANAGER LLC
032223
04-01-20
78
PRESTAMOS-00307729
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 105 of 202
CHICANOS POR LA CAUSA INC
Schedule R (Form 990) 2020
Part V
CPLC
86-0227210
Page3
Transactions With Related Organizations. Complete if the organization answered "Yes" on Form 990, Part IV, line 34, 35b, or 36.
Note: Complete line 1 if any entity is listed in Parts 11, Ill, or IV of this schedule.
Yes
a Receipt of (i) interest, (ii) annuities, (iii) royalties, or (iv) rent from a controlled entity
X
1a
1b
X
1c
X
d Loans or loan guarantees to or for related organization(s)
1d
X
e Loans or loan guarantees by related organization(s)
1e
X
b Gift, grant, or capital contribution to related organization(s)
C
Gift, grant, or capital contribution from related organization(s)
Dividends from related organization(s)
1f
X
g Sale of assets to related organization(s)
1Q
X
h Purchase of assets from related organization(s)
1h
X
i
Exchange of assets with related organization(s)
1i
X
j
Lease of facilities, equipment, or other assets to related organization(s)
1i
X
k Lease of facilities, equipment, or other assets from related organization(s)
1k
X
f
I
X
11
Performance of services or membership or fund raising solicitations for related organization(s)
X
m Performance of services or membership or fund raising solicitations by related organization(s)
1m
n Sharing of facilities, equipment, mailing lists, or other assets with related organization(s)
1n
X
Sharing of paid employees with related organization(s)
1o
X
p Reimbursement paid to related organization(s) for expenses
1o
X
q Reimbursement paid by related organization(s) for expenses
1q
X
Other transfer of cash or property to related organization(s)
1r
X
s Other transfer of cash or propertv from related oraanization(s)
1s
0
r
2
No
During the tax year, did the organization engage in any of the following transactions with one or more related organizations listed in Parts II-IV?
1
X
If the answer to anv of the above is "Yes " see the instructions for information on who must complete this line. includinq covered relationships and transaction thresholds.
(a)
Name of related organization
(b)
Transaction
type (a-s)
(c)
Amount involved
{1l CPLC ACTION FUND
B
100,000. IFMV
{2l CPLC COMMUNITY SCHOOLS
D
730,000. IFMV
(3l CPLC NEW MEXICO
D
831,000. IFMV
{4l CPLC NEVADA
D
1,090,000. IFMV
(5l CPLC HEALTH
p
466,681. IFMV
(6} CPLC HEALTH
R
422,484. IFMV
(d)
Method of determining amount involved
Schedule R (Form 990) 2020
032163 10-28-20
79
PRESTAMOS-00307730
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 106 of 202
CHICANOS POR LA CAUSA INC
Schedule R (Form 990)
86-0227210
CPLC
I Part VI Continuation of Transactions With Related Organizations (Schedule R (Form 990), Part V, line 2)
(a)
Name of other organization
(b)
Transaction
type (a-s)
(c)
Amount involved
{7)CPLC HEALTH
M
89,638. IFMV
{SjCPLC HEALTH
Q
313,816. IFMV
(QjCPLC TEXAS
C
4,619,721. IFMV
{10)CASA DE PUEBLO
Q
86,331. IFMV
(11)CASA MIA
Q
135,399. IFMV
(12)CPLC CALIFORNIA
Q
350,000. IFMV
(13\CPLC COMMUNITY SCHOOLS
Q
650,000. IFMV
(14)CPLC NEVADA INC
p
627,628. IFMV
(15)CPLC NEVADA INC
Q
1,553,237. IFMV
(16\CAUSA COMMUNITY DEVELOPMENT DBA GUADALUPE BARRIO NUEVO
Q
2,061,846. IFMV
(17jCAUSA COMMUNITY DEVELOPMENT DBA GUADALUPE BARRIO NUEVO
Q
132,462. IFMV
(18)SANTA CRUZ APARTMENTS INC
Q
191,094. IFMV
(19\CPLC NEW MEXICO, INC.
p
122,827. IFMV
(20)CPLC NEW MEXICO, INC.
Q
863,542. IFMV
(21)COURTYART AT ENCANTO LLC
Q
192,253. IFMV
(22\ROSA LINDA SENIOR APTS LIHTC LP DBA GENE RICE
Q
181,704. IFMV
(23)MESA ROYALE EAST MOTEL LLC KNIGHTS INN
Q
282,264. IFMV
(24)FUTURO INVESTMENT CORP
D
1,381,000. IFMV
(d)
Method of determining
amount involved
032225
04-01-20
80
PRESTAMOS-00307731
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 107 of 202
CHICANOS POR LA CAUSA INC
Schedule R (Form 990)
CPLC
86-0227210
I Part VI Continuation of Transactions With Related Organizations (Schedule R (Form 990), Part V, line 2)
(a)
Name of other organization
(b)
Transaction
type (a-s)
(c)
Amount involved
{7}
FUTURO INVESTMENT CORP
p
1,878,852. IFMV
{Bl
FUTURO INVESTMENT CORP
Q
3,698,036. IFMV
(9l
FUTURO INVESTMENT CORP
R
931,373. IFMV
{10l
TIEMPO, INC.
D
350,000. IFMV
(111
TIEMPO, INC.
Q
1,344,815. IFMV
(121
TIEMPO, INC.
R
154,812. IFMV
(d)
Method of determining
amount involved
(13}
(14l
(151
(16}
(171
(18l
(19}
(20l
(211
(22}
(23l
(241
032225
04-01-20
81
PRESTAMOS-00307732
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 108 of 202
CHICANOS POR LA CAUSA INC
Schedule R (Form 990) 2020
Part VI
CPLC
86-0227210
Page4
Unrelated Organizations Taxable as a Partnership. Complete if the organization answered "Yes" on Form 990, Part IV, line 37.
Provide the following information for each entity taxed as a partnership through which the organization conducted more than five percent of its activities (measured by total assets or gross revenue)
that was not a related organization. See instructions regarding exclusion for certain investment partnerships.
(a)
(b)
Name, address, and EIN
of entity
Primary activity
(c)
(d)
(e)
Are all
Legal domicile
Predominant income partners sec
(related, unrelated,
(state or foreign
excluded from tax under
country)
sections 512-514)
Yes No
5~:(~\3)
(f)
(g)
Share of
total
income
Share of
end-of-year
assets
(h)
(i)
(j)
(k)
D:sproporGeneral or Percentage
Code V-UBI
t,onate amount in box 20 managing
allocat:ons?
partner? ownership
Yes No
of Schedule K-1
(Form 1065) Yes No
Schedule R (Form 990) 2020
032164 10-28-20
82
PRESTAMOS-00307733
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 109 of 202
CHICANOS POR LA CAUSA INC
__
,...._
86-0227210
Form 990 2020
CPLC
__, Supplemental Information
Pa e5
Provide additional information for responses to questions on Schedule R. See instructions.
PART III
IDENTIFICATION OF RELATED ORGANIZATIONS TAXABLE AS PARTNERSHIP:
NAME OF RELATED ORGANIZATION:
GUADALUPE HUERTA SENIOR APARTMENTS LIHTC LP
DIRECT CONTROLLING ENTITY: GUADELUPE HUERTA OPERATING COMPANY LLC
NAME OF RELATED ORGANIZATION:
MOUNTAIN POINTE APARTMENTS PHASE II LIHTC LP
DIRECT CONTROLLING ENTITY: MOUNTAIN POINT APARTMENTS LIHTC PHASE II
LLC
NAME OF RELATED ORGANIZATION:
CASA DE ENCANTO SENIOR APARTMENTS LIHTC LP
DIRECT CONTROLLING ENTITY: CASA DE ENCANTO OPERATING COMPANY LLC
032165 10-28-20
18260512 131839 038-057609
Schedule R (Form 990) 2020
83
2020.05094 CHICANOS POR LA CAUSA INC 038-0571
PRESTAMOS-00307734
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 110 of 202
EXHIBIT 9
(FILED UNDER SEAL)
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 111 of 202
EXHIBIT 10
(FILED UNDER SEAL)
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 112 of 202
EXHIBIT 11
(FILED UNDER SEAL)
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 113 of 202
EXHIBIT 12
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 114 of 202
'I
CHICANOS POR LA CAUSA, INC. AND
SUBSIDIARIES AND AFFILIATES
CONSOLIDATED FINANCIAL STATEMENTS
AND SUPPLEMENTARY INFORMATION
YEAR ENDED JUNE 30, 2021
PLAINTIFF'S
EXHIBIT
l - - -\5 - PREST AMOS-00307 578
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 115 of 202
'
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2021
INDEPENDENT AUDITORS' REPORT
1
CONSOLIDATED FINANCIAL STATEMENTS
CONSOLI DATED STATEMENT OF FINANCIAL POSITION
4
CONSOLIDATED STATEMENT OF ACTIVITIES
6
CONSOLIDATED STATEMENT OF FUNCTIONAL REVENUE AND EXPENSES
7
CONSOLIDATED STATEMENT OF CASH FLOWS
13
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
15
SUPPLEMENTARY INFORMATION
CONSOLIDATING STATEMENT OF FINANCIAL POSITION
52
CONSOLIDATING STATEMENT OF ACTIVITIES
53
STATEMENT OF FINANCIAL POSITION - CPLC BORROWING ENTITY
54
STATEMENT OF ACTIVITIES-CPLC BORROWING ENTITY
55
STATEMENT OF ACTIVITIES - CPLC COMMUNITY SCHOOLS
56
STATEMENT OF FINANCIAL POSITION -CPLC ESTANCIA LLC
57
STATEMENT OF ACTIVITIES-CPLC ESTANCIA LLC
58
STATEMENT OF FINANCIAL POSITION -CPLC FOUNTAIN VILLAS LLC
59
STATEMENT OF ACTIVITIES - CPLC FOUNTAIN VILLAS LLC
60
STATEMENT OF FINANCIAL POSITION - LA CAUSA CONSTRUCTION, LLC
61
STATEMENT OF ACTIVITIES- LA CAUSA CONSTRUCTION, LLC
62
STATEMENT OF FINANCIAL POSITION - CPLC NEW MEXICO, INC.
63
STATEMENT OF ACTIVITIES - CPLC NEW MEXICO, INC.
64
STATEMENT OF FINANCIAL POSITION - CPLC NEVADA, INC.
65
STATEMENT OF ACTIVITIES-CPLC NEVADA, INC.
66
STATEMENT OF FINANCIAL POSITION - CPLC TEXAS, INC.
67
PREST AMOS-00307 5 79
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 116 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2021
STATEMENT OF ACTIVITIES-CPLC TEXAS, INC.
68
STATEMENT OF FINANCIAL POSITION -CPLC CALIFORNIA, INC.
69
STATEMENT OF ACTIVITIES-CPLC CALIFORNIA, INC.
70
STATEMENT OF FINANCIAL POSITION - CPLC FREE MONT APARTMENTS, LLC
71
STATEMENT OF ACTIVITIES - CPLC FREEMONT APARTMENTS, LLC
72
PRESTAMOS-00307580
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 117 of 202
C!iftonlarson Ailen l.1.P
CLAcon nect.com
INDEPENDENT AUDITORS' REPORT
Board of Directors
Chicanos Por La Causa, Inc. and Subsidiaries and Affiliates
Phoenix, Arizona
Report on the Financial Statements
We have audited the accompanying consolidated financial statements of Chicanos Por La Causa, Inc.
and Subsidiaries and Affiliates, which comprise the consolidated statement of financial position as of
June 30, 2021, and the related consolidated statements of activities , functional revenues and
expenses, and cash flows for the year then ended, and the related notes to the consolidated financial
statements.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these consolidated financial
statements in accordance with accounting principles generally accepted in the United States of
America; this includes the design, implementation, and maintenance of internal control relevant to the
preparation and fair presentation of consolidated financial statements that are free from material
misstatement, whether due to fraud or error.
Auditors' Responsibility
Our responsibility is to express an opinion on these consolidated financial statements based on our
audit. We did not audit the financial statements of Casa del Pueblo II dba: Casa del Pueblo II
Apartments; Casa Mia Senior Apartments , Inc. dba: Casa Mia Apartments; Causa Community
Development, Inc. dba: Guadalupe Barrio Nuevo; Gran Victoria Housing, LLC; Casa de Primavera
Apartments, LLC dba: Casa de Primavera; Pueblo Senior Housing, Inc. dba: Casa del Pueblo; Santa
Cruz Apartments , Inc. dba: Santa Cruz Apartments; Mountain Pointe Apartments , LP; dba Mountain
Pointe Apartments, Bella Vista Properties I Limited Partnership; Ladera Village Limited Partnership and
Villa Las Vegas Limited Partnership, wholly-owned subsidiaries, which statements reflect total assets of
$37,625 ,823 as of June 30, 2021, and total revenues of $11,855,060 for the year then ended. Those
statements were audited by other auditors, whose reports have been furnished to us, and our opinion,
insofar as it relates to the amounts included for Casa del Pueblo II dba: Casa del Pueblo II Apartments;
Casa Mia Senior Apartments, Inc. dba: Casa Mia Apartments; Causa Community Development, Inc.
dba: Guadalupe Barrio Nuevo; Gran Victoria Housing, LLC ; Casa de Primavera Apartments, LLC dba:
Casa de Primavera; Pueblo Senior Housing, Inc. dba: Casa del Pueblo; Santa Cruz Apartments, Inc.
dba : Santa Cruz Apartments; Mountain Pointe Apartments , LP; dba Mountain Pointe Apartments, Bella
Vista Properties I Limited Partnership; Ladera Village Limited Partnership and Villa Las Vegas Limited
Partnership , is based solely on the reports of the other auditors. We conducted our audit in accordance
with auditing standards generally accepted in the United States of America and the standards
applicable to financial audits contained in Government Auditing Standards , issued by the Comptroller
General of the United States. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the consolidated financial statements are free from material
misstatement.
(1 )
PRESTAMOS-00307581
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 118 of 202
Board of Directors
Chicanos Por La Causa, Inc. and Subsidiaries and Affiliates
The financial statements of Gran Victoria Housing, LLC, Santa Cruz Apartments, Inc. dba: Santa Cruz
Apartments; Bella Vista Properties I Limited Partnership ; Ladera Village Limited Partnership and Villa
Las Vegas Limited Partnership were not audited in accordance with Government Auditing Standards.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the consolidated financial statements. The procedures selected depend on the auditors' judgment,
including the assessment of the risks of material misstatement of the consolidated financial statements ,
whether due to fraud or error. In making those risk assessments, the auditor considers internal control
relevant to the entity's preparation and fair presentation of the consolidated financial statements in
order to design audit procedures that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no
such opinion . An audit also includes evaluating the appropriateness of accounting policies used and the
reasonableness of significant accounting estimates made by management, as well as evaluating the
overall presentation of the consolidated financial statements.
We believe that the aud it evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinion .
Opinion
In our opinion, the consolidated financial statements referred to above present fai rly, in all material
respects, the financial position of Chicanos Por La Causa , Inc. and Subsidiaries and Affiliates as of
June 30 , 2021 , and the changes in their net assets and their cash flows for the year then ended in
accordance with accounting principles generally accepted in the United States of America.
Report on Supplementary Information
Our audit was conducted for the purpose of forming an opinion on the consolidated financial statements
as a whole. The accompanying supplementary information on pages 52 through 72 is presented for
purposes of additional analysis and is not a required part of the consolidated financial statements. Such
information is the responsibility of management and derived from and relates directly to the underlying
accounting and other records used to prepare the consolidated financial statements. The information
has been subjected to the auditing procedures applied in the audits of the consolidated financial
statements and certain additional procedures , including comparing and reconciling such information
directly to the underlying accounting and other records used to prepare the consolidated financial
statements or to the consolidated financial statements themselves, and other additional procedures in
accordance with auditing standards generally accepted in the United States of America. In our opinion ,
the information is fairly stated in all material respects in relation to the consolidated financial statements
as a whole.
(2)
PRESTAMOS-00307 582
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 119 of 202
Board of Directors
Chicanos Por La Causa, Inc. and Subsidiaries and Affiliates
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated
December 21, 2021, on our consideration of the Chicanos Por La Causa , Inc. and Subsidiaries and
Affiliates' internal control over financial reporting and on our tests of its compliance with certain
provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that
report is solely to describe the scope of our testing of internal control over financial reporting and
compliance and the result of that testing, and not to provide an opinion on the effectiveness of the
Chicanos Por La Causa, Inc. and Subsidiaries and Affiliates' internal control over financial reporting or
on compliance. That report is an integral part of an audit performed in accordance with Government
Auditing Standards in considering Chicanos Por La Causa, Inc. and Subsidiaries and Affiliates ' internal
control over financial reporting and compliance.
CliftonLarsonAllen LLP
Phoenix, Arizona
December 21, 2021
(3)
PRESTAMOS-00307583
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 120 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
JUNE 30, 2021
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Restricted Cash
Cash Held for Loan Programs
Receivables:
Grants and Contracts, Net
Interest Receivable
Other Receivables, Net
Notes Rece ivable, Current
Prepaid Expenses
Total Current Assets
LONG-TERM ASSETS
Notes Receivable, Net
Real Estate Properties - Rental , Net
Property and Equipment, Net
Related Party Receivables, Net
Real Estate Held for Sale
Investments in Debt and Equity Securities
Investments in Affi liated Entities - Cost Method
Investments in Affiliated Entities - Equity Method
Deposits and Funded Reserves
Other Assets
Total Long-Term Assets
Total Assets
$
460 ,780 ,825
320 ,526
594,489 ,043
48 ,303,447
8,727,437
6, 256
1,808 ,687
1,659,901
1,116,096,122
6,701 ,543 ,128
114,500,238
26 ,731,391
1,146,908
18,242,881
4,665,427
3,081 ,065
953 ,193
4,182,025
1,271 ,367
6,876 ,317 ,623
$ 7,992,41 3,745
See accompanying Notes to Consolidated Financial Statements.
(4)
PRESTAMOS-00307584
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 121 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (CONTINUED)
JUNE 30, 2021
LIABILITIES AND NET ASSETS
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses
Deferred Revenue , Current Portion
Lines of Credit, Current Portion
Mortgages Payable and Other Debt, Current
Other Liabilities
Total Current Liabilities
LONG-TERM LIABILITIES
Lines of Credit
Deferred Revenue , Long-Term Portion
Mortgages Payable and Other Debt, Net
Total Long-Term Liabilities
$
19,330 ,863
309 ,174,631
12,245 ,241
12,930,809
255,370,440
609 ,051,984
7,145,275,744
2,250 ,909
131 ,799 ,389
7,279 ,326,042
Total Liabilities
7,888 ,378,026
NET ASSETS
Without Donor Restrictions
With Donor Restrictions
Total Net Assets
98 ,191 ,366
5,844,353
104,035 ,719
Total Liabilities and Net Assets
$ 7,992,413,745
See accompanying Notes to Consolidated Financial Statements.
(5)
PRESTAMOS-00307585
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 122 of 202
CHICANOS POR LA CAUSA, INC . AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2021
Without Donor
Restrictions
REVENUES
Contract Revenues:
Grants and Contracts
Cost Reimbursement
Fee for Service
Total Contract Revenues
Noncontract Revenues:
Renta l Income
Development Fees
Client Fees
Donations
Fundraising
In-Kind
Sales of Inventory
Other Revenues
Total Noncontract Revenues
Other Revenues:
Investment Income (Loss)
Interest Income
Tota l Other Revenues
Net Assets Released from Restrictions
Total Revenues
$
23 ,266 ,684
72 ,607,168
62,149,507
158,023,359
With Donor
Restrictions
$
7,204,765
7,204,765
Tota l
$
30,471,449
72,607 ,168
62,149,507
165,228,124
17 ,132,077
393,220
3,595,067
9,173,800
589,291
1,357,973
2,506,940
2,898 ,895
37,647,263
17,132,077
393,220
3,595,067
9,173,800
589,291
1,357,973
2,506 ,940
2,898 ,895
37,647 ,263
1,945,019
15,632,024
17,577,043
3,857,280
217,104,945
1,945,019
15,632,024
17,577,043
(3,857 ,280)
3,347,485
220,452,430
OPERATING EXPENSES
Program Services
General and Adm inistrative
Fundraising
Total Operating Expenses
161 ,555 ,682
14,278,342
1,588,303
177,422,327
161 ,555,682
14,278 ,342
1,588,303
177,422,327
NONOPERATING ACTIVITY
Gain (Loss) on Sale of Assets
Impairment Loss on Rea l Estate
Net Nonoperating Activity
(246,622)
(18 ,667)
(265,289)
(246,622)
(18,667)
(265 ,289)
CHANGES IN NET ASSETS
39,417,329
3,347,485
42,764,814
Net Assets - Beginning of Year
58,774,037
2,496,868
61 ,270,905
5 844 353
$ 104 035 719
NET ASSETS - END OF YEAR
$
98,191,366
$
See accompanying Notes to Consolidated Financial Statements.
(6)
PRESTAMOS-00 307 586
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 123 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF FUNCTIONAL REVENUES AND EXPENSES
YEAR ENDED JUNE 30, 2021
Corporate
CPLC
Community
Schools
SUPPORT AND REVENUES
Contract Revenues :
Grants and Contracts
Cost Re imbursement
Fee for Service
Total Contract Revenues
Noncontract Revenues :
Rental Income
Development Fees
Client Fees
Donation
Fund Raising
In-Kind
Sales of In ventory
Other Revenu es
Total Noncontract Revenues
$
2,733,878
$ 14,413,358
$
297 ,236
1,024 ,035
$
Single Family
Housing and
Public
Relations and
Management
Counseling
Fund Raising
and General
2,216,897
30,314,291
4,509 ,276
37,040,464
$
748,042
676,522
1,038,757
2,463,321
$
$
2,733,878
15,437 ,393
7,955 ,797
8 ,253 ,033
957
3 ,170,6 13
26,375
5 ,660
9,322
1, 215 ,1 33
8,659,011
47,469
33,088
19,438
4 ,186
400
7,500
154,800
44 1,422
6 ,11 7
7,074
194,400
3,391 ,388
1,248
16,230
14,621
9 ,969,322
15,048
46,572
970,424
1, 566,646
Other Reve nu es:
lntercompan y Di vidend Income
In vestment Income (Loss)
Divide nd Income
Loan Fees
In terest Income
Total Other Revenues
Total Support and Revenues
Behavio ral
Health
Presta mos
Hea lth and
Human
Services
272 ,024
423 ,774
5,144,806
10,433 ,241
16,273 ,845
2,740,952
35 ,1 02 ,626
8,269 ,263
458,999
La Causa
$
141 ,764
600,763
4,446,470
4,446,470
168,596
505 ,1 25
6,975 ,060
100,000
1,316,360
248,48 1
7,883 ,196
16,948 ,337
248,481
(452)
1,193,158
1,193,581
40
(412)
117,097
2,503,836
3
3
20,052 ,936
4,694,954
47,009,374
2,509,893
1,566,646
See accompanying Notes to Consolidated Financial Statements.
(7 )
PRESTAMOS-00307587
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 124 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF FUNCTIONAL REVENUES AND EXPENSES (CONTINUED)
YEAR ENDED JUNE 30, 2021
Econom ic
Development
SUPPORT AND REVENUES
Contract Revenues:
Grants and Contracts
Cost Reimbursement
Fee for Service
Total Contract Revenues
Noncontract Revenues:
Rental Income
Deve lopment Fees
Cli en t Fees
Donation
Fund Ra ising
In-Kind
Sales of In vento ry
Other Revenues
Total Noncontract Revenues
$
3,350,503
2 ,007,319
5,357,822
CPLC
Nevada
$
5,545 ,084
583 ,086
68,895
6 ,197,065
CPL C New
Mexico, Inc.
$
CPLC Health
Inc. (AZRA)
30,595
86,493
3,423,687
3 ,540 ,775
$
939,1 04
NSP II
$
$
939,1 04
22,094
343,334
11,853
19,500
257 ,500
20 ,000
Multifamily
Properties
and Property
Management
310,427
Commercial
Properties
and Property
Management
$
50 ,000
Sin gle
Fami ly
Residential
$
310,427
50 ,000
905,493
9,418 ,005
62,460
10,385 ,958
15,758,030
2 ,826 ,602
399 ,629
1,747,335
5 ,000
3,212
1,025
3,5-,0,329
42,595
408,023
616
32 ,994
6,797
284 ,297
Other Revenues:
lntercompany Dividend Income
Investment Income (Loss)
Dividend Income
Loan Fees
In terest Income
Total Other Revenues
160, 121
(69 ,029)
160,1 21
(69 ,029)
Total Support and Revenues
5,925,966
6 ,230 ,059
3,756,043
5,000
944,104
3,510,329
3,510,329
2 ,276,564
19,781 ,929
37 ,529
2 ,864 ,131
(874,950)
880
(47 1,229)
1,692
1,692
13
13
28
28
20 ,094,048
2 ,914 ,1 44
9,914 ,757
See accompanying Notes to Consolidated Financial Statements.
(8)
PREST AM OS-00307588
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 125 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF FUNCTIONAL REVENUES AND EXPENSES (CONTINUED)
YEAR ENDED JUNE 30, 2021
CPLC
Cal ifornia
SUPPORT AND REVENUES
Co ntract Revenues:
Grants and Contracts
Cost Reimbursement
Fee for Service
Total Contract Revenues
$
CPLCAction
Fund PAC
CPLC Action
CPLC Texas
$
$
$
10,694
39,346,073
43 ,225,818
82 ,582,585
Noncontract Revenues:
Rental Income
Development Fees
Client Fees
Donation
Fund Raising
In -Kind
Sales of Inventory
Other Revenues
Total Noncontract Revenues
Eliminations
112,500
$ 30,471,449
3 ,250
279,1 27
(1 ,874,278)
(367,191)
(3,337,590)
(7,095,250)
17,132,077
393,220
3,595,067
9,173,800
589,291
1,357,973
2,506,940
2,898,895
37 ,647,263
279 ,127
8
8
Other Revenues:
lntercompany Dividend Income
Investment Income (Loss)
Dividend Income
Loan Fees
Interest Income
Total Other Revenues
Total Support and Revenues
(128,439)
(8,551 ,167)
(21 ,353,915)
(1 ,193,158)
(35,000)
82,582,604
112,500
Tota l
(1 ,538,861)
(10,85 1,906)
(2,723,417 )
(15,114,184)
$
$
3,250
112,500
19
19
Other
Fund
282 ,377
8
72 ,607 ,1 68
62,149,507
165,228 ,1 24
(64,896)
(1,293,054)
1,521 ,245
423,774
5,1 44,806
10,487,218
17 ,577,043
(37,76 1,1 53)
220,452,430
See accompanying Notes to Consolidated Financial Statements.
(9)
PRESTAMOS-003075&)
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 126 of 202
CHICANOS POR LA CAUSA, INC . AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF FUNCTIONAL REVENUES AND EXPENSES {CONTINUED)
YEAR ENDED JUNE 30 , 2021
Corporate
CPLC
Community
Schools
O PERATING EXPENSES
Sa laries and Wages
Payroll Taxes
Fri nge Benefits
Contractor Expen se
Professiona l Fees
Management Fees
Staff Developme nt
Property Administration
Travel
Advertisin g and Marketi ng
Admi nistrative Costs
Occupancy
Insurance and Taxes
Utility Expenses
Repa irs and Maintenance
Office Expenses
Furniture and Fixtures
Technology and Comm unication
Consumab le Supplies
Monetary Ass istance
Miscellaneous
Prog ram Construction
Donated Materials and Services
Depreciation
Capi tal Outlay
Interest Expense
Bad Debt Expense (Recovery)
Total Operating Expenses
$
994,405
72,46 1
Health and
Human
Services
Behavioral
Prestamos
$
1,728,269
141 ,3 11
Health
$
$
27 ,639
1,257 ,0 18
402
5,579
202 ,377
16,554
137,6 13
157,221
11, 535
139,1 11
159,147
470 ,180
4 ,808,992
863,045
323,597
447,118
434,801
297,461
2,755
2,554
124,2 19
8 1,020
12,857
3,613
9,047
4, 115
51 ,0 16
3,002
2,494
130
5,448
487,490
371 ,01 1
42 ,559
5,399
58 ,216
23 ,555
1,296
274,00 1
49,483
41 ,838
878,767
975,0 10
2,906,447
(40 ,044)
37,090
7 14
30,716
5,57 1
1,224,92 1
1,207
2,017
8 ,692
10,498
2,797
375 ,867
24 ,649
564,402
6,707
17,495
10 ,028
7,266
477 ,308
102,740
11,454
6,502
11 ,563
4 ,570
19,656
35,400
13,573
1,273 ,360
554 ,128
50,446
76 ,753
149,349
24,403
170,439
108 ,335
7 1,228
1, 202
3,535 ,759
30,928
17,708
964
291 ,663
156,216
22 ,059
5,63 7
32,958
2,679
9,196
7,1 51
2,607,799
3 ,1 95 ,584
1,518,722
13,37 1,205
23,519
9,257,762
20 ,029
$
$
9,477
142,578
$
$
La Causa
27 1,1 33
33 ,60 1
285,373
773 ,934
1,506 ,990
53 ,536
133 ,1 53
and General
117,240
4 ,001 ,367
115,071
260,605
2 1,731 ,42 1
Fund Raising
(988,499)
$
1,788,647
3,274,151
33,088
477,569
23,473
3,852
NONOPERATING ACTIVITY
Gain/Loss on Sale of Assets , Net
Impairment Loss on Real Estate
Net Nonoperating Activi ty
CHANGES IN NET ASSETS
Management
Co unseling
$ 19,433 ,06 1
147 ,652
802
364,1 34
394,881
Pu bl ic
Relations and
5,243,492
459,557
705,440
149,832
22,210
Sing le Famil y
Housing and
$
507,633
47,364
97,013
880,992
80,726
119,337
7,700 ,228
53 ,005
$
377 ,376
19 1, 695
509
283 ,932
595
2 ,380
14,226
700
26,239
3 ,189
25 ,000
33 ,679
197
263 ,749
372
49,900
1,588,303
953 ,896
90,443
1,316 ,360
254 ,326
4 ,221
292 ,186
38,709
14,278 ,342
6,075 ,973
37,892 ,904
2,1 67,587
500
(22,981 )
(559,363)
500
(22,98 1)
(559 ,363)
9,1 16,970
$
319,325
$
(21 ,657)
$
5,774 ,594
$
(1,940 ,382)
See accompanying Notes to Consolidated Financial Statements.
(10)
PRESTAMOS-00307590
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 127 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF FUNCTIONAL REVENUES AND EXPENSES (CONTINUED)
YEAR ENDED JUNE 30, 2021
Economi c
Development
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Contractor Expense
Professional Fees
Management Fees
Staff Development
Property Administration
Travel
Advertising and Marketing
Admin istrative Costs
Occupancy
Insurance and Taxes
Utili ty Expenses
Repairs and Maintenance
Office Expenses
Furn itu re and Fixtu res
Technology and Communication
Consumable Supplies
Monetary Assistance
Miscellaneous
Program Construction
Donated Materials and Services
Deprecia tion
Capital Outlay
Interest Expense
Bad Debt Expense (Recovery)
Total Operating Expenses
$
$
376,85 1
1,233
8,824
174,723
39,078
9 1,082
13,470
44
537
12,746
217
47,393
1,309
2,669 ,040
3 10 ,596
265 ,699
CPLC New
Mexico, Inc.
$
468 ,808
40,315
35,675
CPLC Health
Inc. (AZRA)
$
208,925
20, 197
22 ,882
222 ,626
2 ,743
21,494
2 ,944 ,596
182,305
150
503
17,449
35,223
627 ,628
63 ,810
5,536
5,346
12,209
79,696
7,526
53 ,225
9 ,785
224 ,123
13,139
2,780
1,025
7,227
1,538 ,86 1
24,846
463
122,827
69 ,1 67
15,025
7,201
3 ,37 1
2,828
4,192
140,000
35 ,890
8,169
2,734
13,988
19,995
5,925
18,308
827
NSP II
$
$
1,682,606
$
6 ,196,786
3,367 ,083
340,009
580,469
Commercial
Properties
100
2,1 30
82
11, 59 1,1 70
$
253 ,558
24 ,277
29 ,172
34,443
14,863
1,038,446
14,879
5,142
31, 175
50 ,000
101 ,321
55 ,643
3,036,947
1,253,619
214,967
13,055
3,836 ,266
2 ,627,74 1
86,274
19 ,858,517
7 18,226
18 ,652
4 ,312 ,043
13,719
(74)
2,363,530
(11 ,582)
(18,667)
(30,249)
654,774
11, 59 1,252
(1 13,413)
91,465
9 ,107
(161,503)
(1 13,413)
$
21 ,587
5,155
105,554
6 ,031
168,462
16,335
83,691
2,284
932 ,760
217 ,060
288 ,985
(161 ,503)
33 ,273
322,293
33,097
40,020
85,740
132,514
4,382
1,045
9 ,107
$
$
6 1,202
33 1,202
129
(340)
91,465
4,334,825
Sing le
Fami ly
Residential
and Property
Management
365,231
1,034,920
29,806
61,709
41, 658
219,015
166,812
33,887
1,1 07,753
2,754, 199
2 ,814 ,905
72,813
695
148,759
8,037
451,28 1
508,514
22,906
NONOPERATING ACTIVITY
Gain/Loss on Sale of Assets, Net
Impairment Loss on Real Estate
Net Nonoperating Activity
CHANGES IN NET ASSETS
740,945
67,889
83,359
CPLC
Nevada
Multifamily
Properties
and Property
Management
(71 ,116)
$
289,330
$
(8,080,923)
$
74,028
$
(1 ,511,312)
$
7,520,978
See accompanying Notes to Consolidated Financial Statements.
(11)
PRESTAMOS-0030759 j
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 128 of 202
.,
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF FUNCTIONAL REVENUES AND EXPENSES {CONTINUED)
YEAR ENDED JUNE 30, 2021
CPLC Action
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Contractor Expense
Professional Fees
Management Fees
Staff Development
Property Administration
Travel
Advertising and Marketing
Administrative Costs
Occupancy
Insurance and Taxes
Utility Expenses
Repairs and Maintenance
Office Expe nses
Furniture and Fixtures
Techno logy and Communication
Consumab le Supplies
Moneta ry Assistance
Miscel laneous
Program Construction
Donated Materials and Services
Depreciation
Capital Outlay
Interest Expe nse
Bad Debt Expense (Recovery)
Total Operating Expen ses
CPLC Texas
CPLC Texas
$
$ 24 ,977,268
6,885
730
4,510
Fund
CPLC Action
Fund
$
3 ,088,226
348,303
30,544
2,147
2,750
21,754,349
38 ,320
210,750
4,188
$
1,230,961
12,874,110
23,868
65,050
430,407
1,846
$
12,361
851
(1 ,1 30)
$
(8,55 1,167)
(1 ,874,278)
155
18,184
8,865
4,393
12,237
32 ,210
99 ,991
146
547
882
180,491
20 ,231
5,017
(7 ,095,250)
(421 ,459)
(10,851,906)
102,299
9,912
75 ,339,513
112,374
(260,770 )
(1 ,538,861)
(64,896)
2,235
276
153,791
351,952
(36,284,997)
NONOPERATING ACTIVITY
Gain/Loss on Sale of Assets, Net
Impairment Loss on Real Estate
Net Nonoperating Activity
CHANGES IN NET ASSETS
52 1, 148
$
(14,045)
$
7,243,091
$
126
$
(69 ,575)
$
(153,783)
$
Total
$ 70,499,686
323
117
31, 894
606,575
14,045
Eliminations
(2,179,649)
(556,708)
(2,890,053)
39,487
126,011
160,428
258,699
2,443,839
1,925,099
4,658,015
115,749
74
Other
6,661 ,848
6,399,750
1,821,7 18
28 ,331,967
151 ,917
878,695
61 ,369
1,731,719
14,106,618
28,1 49
994,872
3,834,949
3,619,605
3,939,385
800,251
314,007
4,654,452
3,212,371
8,077,380
732,503
787,799
1,350,473
5,222,775
630,048
6,850,634
1,727,387
177,422,327
521,148
(246,622)
(18,667)
(265,289)
(955,008)
$ 42,764,814
See accompanying Notes to Consolidated Financial Statements.
(12)
PRESTAMOS-00307592
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 129 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF CASH FLOWS
YEAR ENDED JUNE 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES
Changes in Net Assets
Adjustment to Reconcile Cha nges in Net Assets to Net Cash Provided by
Operating Activities:
Depreciation
Rea lized/Unrealized Loss on Investments
Change in Allowance for Doubtfu l Accounts and Provision for Loan Loss
Noncash Contribution of Property
Gain on Sale of Assets, Net
Impairment Loss on Real Estate
Amortization of Loan Issuance Costs
Forgivable Loan Principal Reduction
(Increase) Decrease in Assets:
Grants and Contracts , Net
Interest Rece ivable
Other Receivables, Net
Prepaid Expenses
Re lated Party Receivables , Net
(Increase) Decrease in Liabi lities:
Accounts Payable and Accrued Expenses
Deferred Revenue
Other Liabilities
Net Cash Provided by Operating Activities
$
42,764 ,814
5,222 ,775
(1,209 ,189)
1,727,387
(7 ,583, 000)
246 ,622
18,667
188,558
(51 ,702)
(41 ,515,898)
(8,463,420)
296,762
(1,433 ,653)
44 ,112
7,796 ,575
308 ,570 ,384
253 ,704 ,793
560 ,324 ,587
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of Real Estate and Property and Equipment
Proceeds from Sale of Rea l Estate and Property and Equipment
Purchases of Investments
Proceeds from Sales of Investments
Purchases of Real Estate Held for Sale
Proceeds from Sales of Real Estate
Change in Deposits and Funded Reserves
Payments Received from Notes Receivable
Issuances of Notes Receivable
Change in Other Assets
Net Cash Used by Investing Activities
(12 ,332,015)
42 ,208
(1 ,695 ,196)
1,666 ,600
(10 ,531 ,092)
2,434 ,502
(639 ,512)
7,658 ,250
(6 ,669 ,295 ,371)
(290 ,945)
(6 ,682 ,982 ,571)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from Mortgages and Other Debt Borrowings
Payments on Mortgages and Other Debt
Debt Issuance Costs
Proceeds from Lines of Cred it
Net Cash Provided by Financing Activities
11 ,354,433
(10 ,585,435)
(72 ,500)
7,144 ,036,776
7,144 ,733 ,274
NET INCREASE IN CASH AND CASH EQUIVALENTS
1,022,075,290
Cash , Cash Equivalents and Restricted Cash - Beg inning of Year
CASH, CASH EQUIVALENTS AND RESTRICTED CASH - END OF YEAR
33 ,515 ,104
$ 1,055 ,590 ,394
See accompanying Notes to Consolidated Financial Statements.
(13)
PRESTAMOS-00307593
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 130 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
YEAR ENDED JUNE 30, 2021
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash Paid for Interest
$
6 850 634
SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING
AND FINANCING ACTIVITIES
Transfers of Property to Real Estate for Sale
$
6 342 536
Purchase of Property Through Debt Issuance
$
9 558 945
Repayment of Debt Through Sale of Property
$
7 060 221
Cash, Cash Equivalents and Restricted Cash Consist of the Following :
Cash and Cash Equivalents
Restricted Cash
Cash Held for Loan Programs
Total Cash, Cash Equivalents and Restricted Cash
460,780,825
320,526
594,489,043
$ 1,055,590,394
$
See accompanying Notes to Consolidated Financial Statements.
(14)
PRESTAMOS-00307594
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 131 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Nature of Operations
Chicanos Par La Causa, Inc. (CPLC or the Organization) is an Arizona statewide community
development corporation (CDC) with operations in California, Nevada, New Mexico and
Texas, committed to building stronger, healthier communities as a lead advocate, coalition
builder, and direct service provider. CPLC promotes positive change and self-sufficiency to
enhance the quality of life for the benefit of those they serve. The objective of CPLC and its
subsidiaries and affiliates (collectively referred to as CPLC or Organization) is the
accumulation of a sufficient capital asset base to continually advance the mandate for selfsufficiency, as stated in Title VII of the Community Services Act of 1974 (Title VII). CPLC
receives substantially all of its revenue from government contracts and rental income from
its real estate properties.
Principles of Consolidation
The accompanying consolidated financial statements include the financial statements of
CPLC and its subsidiaries, Futuro Investments Corp. (FIG); Tiempo, Inc. (Tiempo); La
Causa Realty, LLC (LCR); La Causa Development, LLC (LCD); Futuro Camion Services,
LLC; Liberty-Irvington, LLC; Friendship Community Mental Health Center (FCMHC);
Prestamos CDFI, LLC (PC); La Causa Construction (LCC); San Marina Apartments, LLC;
San Marina Affordable Apartments, LLC (SM); Casa Loma Affordable Apartments , LLC
(CL); Glenrosa Affordable Apartments, LLC (GA or La Buena Vida); Hazelwood Affordable
Apartments, LLC (HA or Starlight); Bella Vista Management, LLC and Bella Vista Properties
I Limited Partnership; Villa Las Vegas Limited Partnership; Ladera Village Limited
Partnership; Mountain Pointe Apartments LIHTC, LLC and Mountain Pointe Apartments, LP;
CPLC Donation Partners, LLC (DP); CPLC Housing Partners, LLC; Casa de Primavera
Apartments, LLC (COP); Gran Victoria Housing, LLC (GV); CPLC Estancia, LLC; CPLC
Housing & Health, LLC; Central and Grant Plaza, LLC; CPLC Fountain Villas, LLC;
Chicanos por la Causa Land Bank, LLC; CPLC Holding and Asset Management Company,
LLC; CPLC Land Bank Manager, LLC; Futuro Equity Fund, LLC; CPLC NM Community
Stabilization Partners, LLC (CS); CPLC Pickle House, LLC; 59TH Avenue and Roosevelt,
LLC; Nuevas Vistas on Main, LLC (Mesa Royal); CPLC 1551 W. Van Buren, LLC; Vista
Village on Van Buren, LLC (Travel Inn); La Causa Development Nevada, LLC ; La Causa
Realty Nevada, LLC ;CPLC Main and Country, LLC and Main and Country Club , LLC, CPLC
Prestamos, Mesa Royale East Motel, LLC, CPLC Southwest Charter Schools, LLC, CPLC
Broadway Revitalization , LLC and CPLC Mesa 5th Place , LLC: CPLC Nevada Property
Holdings, LLC, CPLC 1401 S. Central, LLC, CPLC Freemont Apartments LLC, CPLC
Property Holdings, LLC , CPLC Resource Navigation, LLC, CPLC 1202 Central, LLC and
Mesa Royale West, LLC.
(15)
PRESTAMOS-00307595
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 132 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Principles of Consolidation (Continued)
Also included in the accompanying consolidated financial statements are the assets,
liabilities , and net assets of thirteen affiliates which are under common control, and in which
CPLC possess an economic interest. These include CPLC Community Schools (CCS);
Santa Cruz Apartments, Inc. (SC); Causa Community Development, Inc. (CCD); Pueblo
Senior Housing, Inc. (PSH); Casa Del Pueblo II, Inc. (PSH II); Casa Mia Senior Apartments,
Inc. (CM); CPLC New Mexico, Inc.; CPLC Nevada, Inc. (CPLC Nevada); CPLC Action Fund;
CPLC Health, Inc. (ARZA Home Health, LLC); CPLC Texas Inc. CPLC California Inc.; and
CPLC Action Fund PAC. SC owns the Santa Cruz apartment complex; CCD owns the
Guadalupe Barrio Nuevo apartment complex; and PSH owns the Casa Del Pueblo
apartment complex. All significant inter-organization transactions and accounts have been
eliminated in consolidation.
The consolidated financial statements of Chicanos Por La Causa, Inc. and Subsidiaries and
Affiliates have been prepared on the accrual basis of accounting. The significant accounting
policies followed are described below to enhance the usefulness of the consolidated
financial statements to the reader.
Basis of Presentation
The accompanying consolidated financial statements are prepared on the accrual basis of
accounting in accordance with accounting principles generally accepted in the United States
of America (U.S . GAAP) applicable to nonprofit organizations. The Organization's
consolidated financial statements are prepared to focus on the Organization as a whole and
to present balances and transactions according to the existence or absence of donorimposed restrictions.
Net Assets
Net assets, revenues , gains, and losses are classified based on the existence or absence of
donor- or grantor-imposed restrictions. Accordingly, net assets and changes therein are
classified and reported as follows:
Net Assets Without Donor Restrictions - Net assets available for use in general
operations and not subject to donor (or certain granter) restrictions. The governing board
has designated, from net assets without donor restrictions, net assets for an operating
reserve and board-designated endowment.
Net Assets With Donor Restrictions - Net assets subject to donor- (or certain grantor-)
imposed restrictions. Some donor-imposed restrictions are temporary in nature, such as
those that will be met by the passage of time or other events specified by the donor.
Other donor-imposed restrictions are perpetual in nature, where the donor stipulates that
resources be maintained in perpetuity. Donor-imposed restrictions are released when a
restriction expires, that is, when the stipulated time has elapsed, when the stipulated
purpose for which the resource was restricted has been fulfilled, or both.
(16)
PRESTAMOS-00307596
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 133 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Net Assets (Continued)
We report contributions restricted by donors as increases in net assets without donor
restrictions if the restrictions expire (that is, when a stipulated time restriction ends, or
purpose restriction is accomplished) in the reporting period in which the revenue is
recognized. All other donor-restricted contributions are reported as increases in net
assets with donor restrictions. When a restriction expires , net assets with donor
restrictions are reclassified to net assets without donor restrictions and reported in the
consolidated statement of activities as net assets released from restrictions.
Cash and Cash Equivalents
The Organization considers all cash and highly liquid financial instruments with original
maturities of three months or less to be cash and cash equivalents . Restricted cash consists
of funds held for the Classroom Site Fund, for use solely at school sites. These funds are
available for teacher compensation increases, employment related expenses and
maintenance and operations purposes including classroom size reduction.
Cash Designated for Lending and Cash Held for Loan Loss Reserves
CPLC receives loans and grant funds from various sources to be used for loans to new or
existing small businesses or as cash reserves for loan losses. These loans are included in
mortgages payable and lines of credit in the accompanying consolidated statement of
financial position. The funds are maintained in separate bank accounts . As of June 30,
2021, CPLC had $493,747,151 in these accounts as cash designated for lending that are to
be used to fund additional loans and $100,741,892, as cash held for loan loss reserves.
Grants and Contracts Receivable
Grants and contracts receivable consist primarily of amounts due from state and federal
agencies for the provision of services ; accordingly, credit risk is limited. Receivables are
stated at the amount management expects to collect. Management provides for probable
uncollectible amounts through a decrease to earnings and an increase to the allowance for
uncollectible accounts based on its assessment of the current status of individual
receivables. The allowance for uncollectible receivables was $370,648 as of June 30, 2021 .
CPLC recognizes contributions when cash, securities or other assets; an unconditional
promise to give; or a notification of a beneficial interest is received. Conditional promises to
give that is , those with a measurable performance or other barrier and a right of return are
not recognized until the conditions on which they depend have been met. Federal and state
contracts and grants are conditioned upon certain performance requirements and the
incurrence of allowable qualifying expenses. Consequently , as of June 30 , 2021, conditional
contributions approximating $20 ,838 ,268 , of which no amounts had been received in
advance , have not been recognized in the accompanying consolidated financial statements.
Notes Receivable
Notes receivable consists of loans made to small businesses. They are reported at their
outstanding unpaid principal balance adjusted for the notes allowance for notes receivable
credit losses.
(17)
PRESTAMOS-00307597
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 134 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Notes Receivable (Continued)
Interest income is accrued on the unpaid principal balance. The accrual of interest on loans
is discontinued at the time the loan is 90 days delinquent unless the credit is well secured
and in process of collection. Past due status is based on contractual terms of the loan.
Loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or
interest is considered doubtful. All interest accrued but not collected for loans that are
placed on nonaccrual or charged-off is reversed against interest income. The interest on
these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for
return to accrual. Loans are returned to accrual status when all the principal and interest
amounts contractually due are brought current and future payments are reasonably assured.
The Organization has determined that the accounting for nonrefundable fees and costs
associated with originating or acquiring loans, except for those associated with PPP loans,
does not have a material effect on its consolidated financial statements. As such, these fees
and costs have been recognized during the period they are collected and incurred,
respectively. Starting in May 2020, the Organization began participating in the Paycheck
Protection Program. Loan origination fees associated with PPP loans are deferred and
amortized through the earlier of SBA forgiveness obtained or through the term of the loan.
Allowance for Notes Receivable Credit Losses
The allowance for notes receivable credit losses is established as losses are estimated to
have occurred through a provision for loan losses charged to earnings. Loan losses are
charged against the allowance when management believes the uncollectibility of a loan
balance is confirmed. Subsequent recoveries , if any, are credited to the allowance.
The allowance for notes receivable credit losses is evaluated on a regular basis by
management and is based upon management's periodic review of the collectability of the
loans in light of historical experience, the nature and volume of the loan portfolio, adverse
situations that may affect the borrower's ability to repay, estimated value of any underlying
collateral and prevailing economic conditions . This evaluation is inherently subjective as it
requires estimates that are susceptible to significant revision as more information becomes
available.
The allowance consists of allocated and general components. The allocated component
relates to loans that are classified as impaired. For those loans that are classified as
impaired, an allowance is established when the discounted cash flows (or collateral value or
observable market price) of the impaired loan is lower than the carrying value of that loan.
The general component covers nonimpaired loans and is based on historical loss rates for
each portfolio segment, adjusted for the effects of qualitative or environmental factors that
are likely to cause estimated credit losses as of the evaluation date to differ from the
portfolio segment's historical loss experience.
(18)
PRESTAMOS-00307598
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 135 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES {CONTINUED)
Allowance for Notes Receivable Credit Losses (Continued)
Qualitative factors include consideration of the following: changes in lending policies and
procedures ; changes in economic conditions; changes in the nature and volume of the
portfolio; changes in the experience, ability and depth of lending management and other
relevant staff; changes in the volume and severity of past due, nonaccrual and other
adversely graded loans; changes in the loan review system ; changes in the value of the
underlying collateral for collateral-dependent loans; and concentrations of credit and the
effect of other external factors such as competition and legal and regulatory requirements .
Investments in Limited Liability Companies
The Organization is the sole member of seven limited liability companies (LLCs): Casa De
Encanto Operating Company, LLC; Casa De Flores Operating Company, LLC ; Guadalupe
Huerta Operating Company, LLC ; Rosa Linda Operating Company, LLC ; Mountain Pointe
Apartments LIHTC Phase II, LLC and Highland Manager, LLC and 25 th and Bell, LLC . These
LLCs have virtually no assets or liabilities as of June 30, 2021. These LLCs manage the
general partnership interest for Casa De Encanto Senior Apartments LIHTC , LP ; Casa De
Flores Senior Apartments LIHTC, LP; Guadalupe Huerta Senior Apartments LIHTC , LP;
Rosa Linda Senior Apartments LIHTC , LP; Mountain Pointe Apartments Phase II , LP and
Highland at Vista , LLC and 25 th and Bell LIHTC , LLC. The LLCs have 0.01 % general partner
interest in each of the Partnerships, and have minimal assets, liabilities, revenue , and
expenses.
In October 2017, the Organization invested $412,871 into Courtyard at Encanto, LLC, which
is the owner of a 160-unit multifamily apartments . The investment represented 15%
ownership of the LLC.
Investments in Affiliated Entities
The equity method of accounting is used when the Organization has 20% to 50% interest in
other entities . Under the equity method , original investments are recorded at cost and
adjusted for the Organization's share of undistributed earnings or losses of these entities.
Nonmarketable investments in which the Organization has less than a 20% interest and in
which it does not have the ability to exercise significant influence over the investee are
initially recorded at cost, and periodically reviewed for impairment.
Investments in Debt and Equity Securities
The Organization records investment purchases at cost, or if donated, at fair value on the
date of donation. Thereafter, investments are reported at their fair values in the consolidated
statement of financial position . Net investment return/(loss) is reported in the consolidated
statement of activities and consists of interest and dividend income , realized and unrealized
capital gains and losses, less investment management and custodial fees .
Real Estate Held for Sale
Real estate held for sale is stated at lower of cost or market and includes foreclosed
properties , land under development, developed lots, direct and indirect costs of housing
construction and interest, and overhead costs incurred during the development period. Cost
is determined by the specific identification method .
(19 )
PRESTAMOS-00307 599
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 136 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Real Estate Properties and Property and Equipment
The Organization records real estate properties and property and equipment additions over
$5,000 at cost, or if donated, at fair value on the date of donation. Depreciation and
amortization are computed using the straight-line method over the estimated useful lives of
the assets ranging from five to forty years , or in the case of capitalized leased assets or
leasehold improvements, the lesser of the useful lives of the assets or the lease terms.
When assets are sold or otherwise disposed of, the cost and related depreciation or
amortization are removed from the accounts, and any resulting gain or loss is included in the
consolidated statement of activities. Costs of maintenance and repairs that do not improve
or extend the useful lives of the respective assets are expensed currently.
The Organization reviews the carrying values of real estate property and property and
equipment for impairment whenever events or circumstances indicate that the carrying value
of an asset may not be recoverable from the estimated future cash flows expected to result
from its use and eventual disposition . When considered impaired, an impairment loss is
recognized to the extent carrying value exceeds the fair value of the asset. During the year
ended June 30, 2021 , the Organization recognized an impairment loss of $18,667.
Deposits and Funded Reserves
Deposits and funded reserves are assets whose use is limited and are held by trustees
under third-party debt agreements. Deposits consist of escrow and security deposits, and
reserves are required for property replacements and repairs.
Debt Issuance Costs
Debt issuance costs are amortized over the period the related obligation is outstanding
using the straight-line method, which approximates the effective interest method. Debt
issuance costs are included within long-term debt on the consolidated statement of financial
position. Amortization of debt issuance costs is included in interest expense.
Deferred Revenue
Each month , the Organization receives block payment funding for behavioral health services
from the Regional Behavioral Health Authority (RBHA) in Maricopa County. These funds are
considered earned if total service claims generated equal or exceed the block payments. If
service claims are insufficient, the RBHA has the contractual right to recoup the fund or
characterize the deficiency as deferred revenue with an authorization to use the funding in
the next fiscal year. For the year ended June 30 , 2021, the Organization has a service claim
deficiency balance of $1,734,763.
Prestamos CDFI , LLC participated in Paycheck Protection Program (PPP) lending, which
was based on the Coronavirus Aid Relief and Economic Security Act (the "CARES" act) in
the last quarter of fiscal year 2020 and in the third quarter of fiscal yea r 2021. For each
approved PPP loan, the Small Business Administration (SBA) covered a percentage of the
loan principal balance as a loan processing fee to the organization. The fee is amortized
through the term of each PPP loan. As of June 30, 2021, the Organization received
$314 ,260 ,826 from SBA , $5,086,196 was recognized as loan fee revenue and $309 ,174,630
was recorded as deferred revenue .
(20)
PRESTAMOS-00307600
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 137 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Fee for Service - Patient Services
Patient service revenue is reported at the amount that reflects the consideration to which the
Organization expects to be entitled in exchange for providing patient care. These amounts
are due from patients, third-party payors (including health insurers and government payors),
and others and includes variable consideration for retroactive revenue adjustments due to
settlement of audits, reviews, and investigations. Generally , the Organization bills the
patients and third-party after the services are performed. Revenue is recognized as the
performance obligations are satisfied.
Performance obligations are determined based on the nature of the services provided by the
Organization . Revenue for performance obligations satisfied over time is recognized based
on actual charges incurred in relation to total expected (or actual) charges. The Organization
believes that this method provides a faithful depiction of the transfer of services over the
term of the performance obligation based on the inputs needed to satisfy the obligation .
Generally, performance obligations satisfied over time relate to patients receiving services in
our behavioral health and medical/therapy programs, which includes a majority of the
Organization 's charges for services revenue.
The Organization determines the transaction price based on standard charges for services
provided, reduced by contractual adjustments provided to third-party payors or the
established rates of the government entities. The Organization determines its estimates of
contractual adjustments and discounts based on contractual agreements , and historical
experience. The Organization determines its estimate of implicit price concessions based on
its historical collection experience with patients .
Agreements with third-party payors provide for payments that may differ from established
rates. A summary of the payment arrangements with major third-party payors follows:
Medicaid: Reimbursements for Medicaid services are generally paid at prospectively
determined rates , per occasion of service, or per covered member.
Other: Payment agreements with certain commercial insurance carriers, health
maintenance organizations, and preferred provider organizations provide for payment
using prospectively determined rates and discounts from established charges .
Laws and regulations concerning government programs , including Medicaid, are complex
and subject to varying interpretation. As a result of investigations by governmental agencies,
various health care companies have received requests for information and notices regarding
alleged noncompliance with those laws and regulations, which, in some instances, have
resulted in companies entering into significant settlement agreements. Compliance with
such laws and regulations may also be subject to future government review and
interpretation as well as significant regulatory action , including fines, penalties, and potential
exclusion from the related programs . There can be no assurance that regulatory authorities
will not challenge the Organization 's compliance with these laws and regulations , and it is
not possible to determine the impact (if any) such claims or penalties would have upon the
Organization.
(21)
PRESTAMOS-00307601
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 138 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Fee for Service - Patient Services (Continued)
In addition, the contracts the Organization has with commercial payors also provide for
retroactive audit and review of claims.
Settlements with third-party payors for retroactive revenue adjustments due to audits,
reviews or investigations are considered variable consideration and are included in the
determination of the estimated transaction price for providing patient services. These
settlements are estimated based on the terms of the payment agreement with the payor,
correspondence from the payor and the Organization 's historical settlement activity,
including an assessment to ensure that it is probable that a significant reversal in the
amount of cumulative revenue recognized will not occur when the uncertainty associated
with the retroactive adju stment is subsequently resolved.
Estimated settlements are adjusted in future periods as adjustments become known (that is,
new information becomes available), or as years are settled or are no longer subject to such
audits, reviews, and investigations.
Generally patients who are covered by third-party payors are responsible for related
deductibles and coinsurance , which vary in amount. The Organization estimates the
transaction price for patients with deductibles and coinsurance based on historical
experience and current market conditions . The initial estimate of the transaction price is
determined by reducing the standard charge by any contractual adjustments, discounts, and
implicit price concessions. Subsequent changes to the estimate of the transaction price are
generally recorded as adjustments to patient service revenue in the period of the change.
Additional revenue recognized due to changes in its estimates of implicit price concessions,
discounts, and contractual adjustments were not considered material for the years ended
June 30 , 2021 and 2020. Subsequent changes that are determined to be the result of an
adverse change in the patient's ability to pay are recorded as bad debt expense.
The Organization has determined that the nature, amount, timing and uncertainty of revenue
and cash flows are affected by the following factors:
•
•
•
•
Payors (for example, Medicaid, managed care or other insurance, patient) have
different reimbursement/payment methodologies
Length of the patient's service of care
Method of reimbursement (fee for service or capitation)
Organization 's line of business that provided the service
(22)
PREST AMOS-00307602
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 139 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Management Fee Revenue
Management fee revenue consists primarily of New Market Tax Credit Community
Development Entity (CDE) Sponsor Fees and CDE Asset Management Fees earned from
the Sub-CDEs . In July 2020 , Prestamos CDFI , LLC was awarded an additional $55 ,000,000
New Market Ta x Credit allocation from the United States Department of Treasury . CDE
Sponsor Fees are recognized when an investor makes a qualified equity investment in a
Sub-CDE or is otherwise earned in accordance with the terms of the individual CDE Fee
Agreement. CDE Asset Management Fees are recognized as services are performed and
collectibility is reasonably assured . The Organization recogn ized $1 ,586 ,556 and $397 ,544
in CDE Asset Management Fees for the years ended June 30 , 2021, and 2020,
respectively.
Rental Income Revenue Recognition
Rental income revenue consists primarily of rental receipts from tenants and Section 8
housing subsidy payments and/or mortgage guarantees under CPLC 's contracts with the
U.S. Department of Housing and Urban Development (HUD). Revenue is recogni zed
monthly in accordance with the lease agreement or contract. As of June 30 , 2021, amounts
due from tenants and/or HUD are included within grants and contracts receivables .
These receivables are evaluated by management on an annual basis accordingly, an
allowance for doubtful accounts was setup. As of June 30 , 2021, the allowance for doubtful
accounts balance was $64 ,936 .
Donated Services and In-Kind Contributions
Volunteers contribute significant amounts of time to our program services , administration,
and fundraising and development activities; however, the consolidated financial statements
do not reflect the value of these contributed services because they do not meet recognition
criteria prescribed by U.S. GAAP. Contributed goods are recorded at fair value at the date of
donation. The Organization records donated professional services at the respective fai r
values of the services received. The Organization received airtime and production costs
valued at $1 ,316 ,360 for the year ended June 30 , 2021 . The revenues and expenses for
these contributions are recorded in management and general in the consolidated statement
of functional revenue and expenses.
Advertising and Marketing Costs
Advertising and marketing costs are charged to operations when incurred. Advertising and
marketing costs charged to operations were $14 ,106,622 for the year ended June 30 , 2021 .
Benefits
The Organization has a partially self-insured health benefit program covering medical and
prescription claims. The plan includes a stop-loss provision that insures claims exceeding
$175 ,000 .
(23)
PREST AMOS-00307603
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 140 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Benefits (Continued)
The Plan offers health benefits to regular, full-time employees working 30 or more hours per
week and their beneficiaries and covered dependents once a 90-day waiting period is met.
The cost of health care services is recogni zed as a deduction in the period in which it is
provided to participants. Liabilities for health claims incurred but not reported are estimated
based on historical claims and industry trends.
Functional Allocation of Expenses
The costs of program and supporting services activities have been summarized on a
functional basis in the consolidated statement of activities. The consolidating statement of
functional revenues and expenses presents the natural classification detail of revenues and
expenses by function . Accordingly, certain costs have been allocated among the programs
and supporting services benefited. The allocation methods used are subject to a degree of
estimation by management. Directly identifiable expenses are charged to program and
supporting services. Salary and related expenses related to more than one function are
charged to program and supporting services on the basis of direct time and effort reporting .
Management and general expenses include those expenses that are not directly identifiable
to any other specific function but provide for the overall support and direction of the
Organization.
Use of Estimates in the Preparation of Consolidated Financial Statements
The preparation of consolidated financial statements in conformity with U.S. GAAP requires
management to make a number of estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities at the
date of the consolidated financial statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those estimates.
Income Taxes
CPLC, SC , CCD, PSH, PSH II , CPLC SW, CM , CPLC New Mexico, CCS , CPLC Nevada,
CPLC Health Inc. CPLC Texas Inc. and CPLC Action Fund , CPLC California, Inc. and CPLC
Action Fund PAC are organized as nonprofit corporations and have been recognized by the
Internal Revenue Service (IRS) as exempt from federal income taxes under Section 501 (a)
of the Internal Revenue Code (IRC) as organizations described in Section 501 (c)(3) and
Section 501 (c)( 4) and have been determined not to be private foundations. Accordingly,
contributions to them qualify for the charitable contribution deduction under Section
170(b)(1 )(A) . Each entity is annually required to file a Return of Organization Exempt from
Income Tax with the IRS.
(24)
PRESTAMOS-00307604
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 141 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Income Taxes (Continued)
GV, CPLC Nevada, PC, SM, CL, GA, HA, COP, DP, Chicanos por la Causa Land Bank,
LLC; CPLC Holding and Asset Management Company, LLC; CPLC Land Bank Manager,
LLC; CPLC Housing & Health, LLC; CPLC Villas, LLC, San Marina Apartments, LLC; 59TH
Avenue and Roosevelt , LLC; Nuevas Vistas on Main, LLC (Mesa Royal); CPLC 1551 W.
Van Buren, LLC; Vista Village on Van Buren, LLC ; CPLC Southwest Charter Schools , LLC,
CPLC Broadway Revitalization , LLC and CPLC Mesa 5 th Place, LLC, CPLC 1401 S. Central
LLC, CPLC Property Holdings LLC, CPLC 1202 Central LLC and Mesa Royale West, LLC
are organized as Limited Liability companies whose sole member is CPLC . CPLC Estancia
and CPLC Fountain Villas are organized as a Limited Liability whose sole member is CPLC
Housing & Health, LLC. Futuro Equity Fund is organized as an LLC whose sole member is
PC. For income tax purposes , they are disregarded entities and are treated as departments
of CPLC. Bella Vista Properties I LP is organized as a lim ited partnership whose sole
partner is CS. For income tax purposes, it is a disregarded entity and treated as a
department of CS . Villa Las Vegas, NM; Bella Vista Management, LLC; Ladera Village , LLC,
and CS are organized as Limited Liability Companies whose sole member is CPLC New
Mexico, Inc. CPLC Nevada Property Holdings LLC, CPLC Freemont Apartments, LLC, are
organized as Limited Liability companies whose sole member is CPLC Nevada, Inc. CPLC
Resource Navigation, LLC is organized as Limited Liability companies whose sole member
is CPLC Texas , Inc. Accordingly, the disregarded LLCs are exempt from income taxes
under the applicable sections of the IRC and the Arizona Revised Statutes. In addition , the
entities are generally subject to income tax on net income that is derived from business
activities that are unrelated to their exempt purposes. CPLC and affiliates have determined it
does not have any taxable unrelated business income and they have not filed Exempt
Organization Business Income Tax Returns.
FIG , a for-profit company, files a con solidated income ta x return with its subsidiaries,
Tiempo, Futuro Cam ion Servicios, LLC; LCC; LCD; LCD Nevada; LCR; LCR NV; LibertyIrvington, LLC ; Central and Grant Plaza, LLC; CPLC Main and Country Club, LLC; Main and
Country Club, LLC Mesa Roya le East Motel, LLC, are organized as Limited Liability
Companies whose sole member is FIG. For income tax purposes, they are disregarded
entities and are treated as departments of FIG . Friendship Community Mental Health
Center, Inc. ; and CPLC Prestamos are each separately taxable corporations and are
responsible for filing their own income tax returns.
The Organizations have sustained operating losses in previous and current years from its
for-profit subsidiaries and have loss carryforwards aggregating approximately $1.6 million
dollars. Capital loss carryforwards ($524,081) expire in 2022. Net operating losses
($1 .6million) expire in years through 2038 . There are also charitable contribution carryovers
of approximately $1 million that expire in years through 2022. The loss carryforwards
generate a deferred tax asset that may be realized in future years. It is the opinion of
management that it is more likely than not that some portion or all of the deferred tax asset
will not be realized. The Organization has elected to record a valuation allowance to reduce
any deferred tax assets to zero as of June 30, 2021 .
(25 )
PREST AMOS-00307605
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 142 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES {CONTINUED)
Income Taxes (Continued)
The Organization believes that it has appropriate support for any income tax positions taken
and, as such, does not have any uncertain tax positions that are material to the consolidated
financial statements. The entities would recognize future accrued interest and penalties
related to unrecognized tax benefits and liabilities in income tax expense if such interest and
penalties are incurred.
Changes in Accounting Principle
In May 2014, the Financial Accounting Standards Board (FASB) and the International
Accounting Standards Board issued Accounting Standards Update (ASU) 2014-09,
Revenue from Contracts with Customers (Topic 606). ASU 2014-09's core principle is that
an organization will recognize revenue when it transfers promised goods or services to
customers in an amount that reflects the consideration to which the organization expects to
be entitled in exchange for those goods or services. The Organization adopted
ASU 2014-09 on July 1, 2020.
ASU 2014-09 requires organizations to exercise more judgment and recognize revenue
using a five-step process. The Organization adopted ASU 2014-09 using the modified
retrospective method for all contracts effective July 1, 2021 and is using a portfolio approach
to group contracts with similar characteristics and analyze historical cash collections trends.
Modified retrospective adoption requires entities to apply the standard retrospectively to the
most current period presented in the financial statements, requiring the cumulative effect of
the retrospective application as an adjustment to the opening balance of net assets at the
date of initial application. Prior periods have not been adjusted. No cumulative-effect
adjustment in net assets was recorded as the adoption of ASU 2014-09 did not significantly
impact the Organization's reported historical revenue.
As a result of certain changes required by ASU 2014-09, the majority of the Organization's
provision for doubtful accounts are recorded as a direct reduction to revenue and
considered an implicit price concession instead of being presented as a separate line item
on the consolidated statements of functional expenses. The adoption of ASU 2014-09 has
no impact on the Organization 's accounts receivable as it was historically recorded net of
allowance for doubtful accounts and contractual adjustments. The adoption of ASU 2014-09
had no impact on the Organization's consolidated statements of activities.
The Organization evaluated the nature, amount, timing and uncertainty of revenue and cash
flows using the five-step process provided within ASU 2014-09.
Revenue is primarily derived from the provision of program services rendered to patients for
outpatient behavioral health and medical/therapy services.
Organization's consolidated financial statements reflect adoption of ASU 2014-09 guidance
beginning in fiscal year 2021. The adoption of this standard did not impact Organization's
reported revenue.
(26)
PREST AMOS-00307606
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 143 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
Changes in Accounting Principle (Continued)
In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820) Changes to the Disclosure Requirements for Fair Value Measurement. The update is to
improve the effectiveness of disclosures in the notes to the financial statements. The
Organization 's consolidated financial statements reflect adoption of AS U 2018-13 guidance
beginning in for the year-ended June 30 , 2021 and retrospectively applied for the yearended June 30, 2021. The adoption of ASU 2018-13 did not impact the Organization's
reported change in net assets.
NOTE 2
LIQUIDITY AND AVAILABILITY
Financial assets available for general expenditure, that is , without donor or other restrictions
limiting their use, within one year of the consolidated statement of financial position date,
comprise the following :
Cash and Cash Equivalents
Receivables
Investments in Debt and Equity Securities
Less: Net Assets With Donor Restrictions , Net of
Restricted Cash
Total
$ 460,780 ,825
57 ,037,140
4,665,427
(5,523 ,827)
$ 516,959,565
In addition to cash on hand, the Organization has a $6.0 million operating line of credit with
Wells Fargo bank which is available for general operating expenditures. As of June 30,
2021, the line of credit had an outstanding balance of $-0-.
As part of the Organization's liquidity management plan, the Organization invests cash in
excess of daily requirements in short-term investments, CDs, and money market funds.
NOTE 3
FAIR VALUE MEASUREMENTS AND DISCLOSURES
Fair value measurement applies to reported balances that are required or permitted to be
measured at fair value under an existing accounting standard. The Organization
emphasizes that fair value is a market-based measurement, not an entity-specific
measurement. Therefore, a fair value measurement should be determined based on the
assumptions that market participants would use in pricing the asset or liability and
establishes a fair value hierarchy.
(27)
PRESTAMOS-00307607
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 144 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 3
FAIR VALUE MEASUREMENTS AND DISCLOSURES (CONTINUED)
The fair value hierarchy consists of three levels of inputs that may be used to measure fair
value as follows:
Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities
that we can access at the measurement date.
Level 2 - Inputs other than quoted prices included within Level 1 that are observable for
the asset or liability, either directly or indirectly. These include quoted prices for simi lar
assets or liabilities in active markets, quoted prices for identical or simi lar assets or
liabilities in markets that are not active, inputs other than quoted prices that are
observable for the asset or liability, and market-corroborated inputs.
Level 3 - Valuation is based on unobservable inputs that are supported by little or no
market activity and that are significant to the fair value of the assets or liabilities. Level 3
assets and liabilities may include financia l instruments whose value is determined using
pricing models, discounted cash flow methodologies, or similar techniques, as well as
instruments for which the determination of fair value requires significant management
judgment or estimation.
In some cases, the inputs used to measure the fair value of an asset or a liability might be
categorized within different levels of the fair value hierarchy. In those cases, the fair value
measurement is categorized in its entirety in the same level of the fair value hierarchy as the
lowest level input that is significant to the entire measurement. Assessing the significance of
a particular input to entire measurement requires judgment, taking into account factors
specific to the asset or liability.
The categorization of an asset within the hierarchy is based upon the pricing transparency of
the asset and does not necessarily correspond to our assessment of the quality, risk or
liquidity profile of the asset or liability.
The following table summarizes the valuation of CPLC's assets and liabilities subject to
measurements at fair value on a recurring basis as of June 30, 2021:
Fixed Income Securities
Government and Agency
Securities
Corporate Bonds
Equities - Common Stock
Mutual Funds
Arizona Community Foundation
Total Investments at
Fair Value
$
Level 1
122,021
Level 3
Level 2
$
$
$
576,300
576,300
514,299
3,035,747
397 ,277
19.783
514,299
3,035 ,747
397,277
19.783
$
4 131 345
$
514 299
$
19 783
Total
122,021
$
4 665 427
(28)
PRESTAMOS-00307608
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 145 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 3
FAIR VALUE MEASUREMENTS AND DISCLOSURES (CONTINUED)
The foll owing table presents the fair value hierarchy for the balances of financial assets
measu red at fair value on a nonrecurring basis as of June 30, 2021:
$
$
Level2
$
Level 3
258,802
209,424
$
Total
258 ,802
209,424
$
$
$
468 ,226
$
468 ,226
Level 1
Real Estate Held for Sale
Impaired Loans
Tota l Assets at
Fair Value
The fair value of impa ired loans is estimated based on either the loan's obtainable market
price of the fair value of the collateral if the loan is collateral dependent or the discounted
cash flows of future payments. Each method contains significant unobservable inputs and
thus is classified as Level 3 fair value measurement.
A portion of the rea l estate held for sale is based on what the local markets are currently
offering for assets with similar characteristics, less costs to sell, which CPLC classifies as
Level 3 fair value measurement. The most common approach is through appraisa ls which
are evaluated for various factors including age of the appraisal, age of comparables
included in the appraisal, and known changes in the market and in the collateral.
Pu rchases, sa les , transfers in and transfers out of Level 3 assets consist of the fol lowing for
the years ended June 30, 2021:
Arizona
Community
Foundation
Purchases
Sales
Transfers In
Transfers Out
NOTE 4
$
475
RELATED PARTY ACCOUNTS RECEIVABLE
Related party receivables consist of amounts due from low-income housing real estate
projects that CPLC has invested in or nonprofit organizations which CPLC holds
membership in. These receivables primari ly result from development fees earned at the
inception of these projects and funds advanced to the projects. Related party receivables
are stated at the amount management expects to col lect and management provides an
allowance for uncollectible accounts. The allowance for uncollectible related party
receivables was $104,886 as of June 30, 2021.
(29)
PRESTAMOS-00307609
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 146 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE ?0, 2021
NOTE 4
RELATED PARTY ACCOUNTS RECEIVABLE {CONTINUED)
Amounts due from related parties consist of the following:
Casa de Encanto
Casa de Flores
Rosa Linda/Gene Rice
Guadalupe Huerta
Mountain Pointe Phase II
Courtyard at Encanto
Other Related Party Receivables
Total Related Party Accounts Receivable
Less: Allowance
Related Party Accounts Receivable , Net
$
$
21,804
3,838
632,742
6,480
428 ,582
8,120
150,228
1,251,794
(104 ,886)
1 146 908
The above accounts receivable are unsecured and have no repayment terms.
NOTE 5
REAL EST A TE PROPERTIES
Santa Cruz Apartments, organized by SC, has 132 units and is not a HUD property. Vue
Nineteen 01 Apartments (289 units) and Grandes Cortez Apartments (151 units), organized
under Gran Victoria LLC, are market rate properties . Casa de Primavera (COP) and Casa
Del Pueblo II (CDP II), projects of CPLC, operate apartment complexes of 162 and 38 units,
respectively, under Section 202 of The National Housing Act of 1959. Casa Del Pueblo,
organized by PSH, has 58 units and is operated under Section 811 of National Housing Act
as amended. Guadalupe Barrio Nuevo Apartments, organized by CCD, has 60 units and is
operated under Section 207 of the National Housing Act of 1959 and are HUD properties.
Casa Mia Senior Apartments has 64 units and is operated under Section 202 of the National
Affordable Housing Act, as amended.
The projects are regulated by HUD as to rent charges and operating methods and require
maintaining various deposits and reserves in restricted cash accounts. These items are
included in deposits and funded reserves in the accompanying consolidated statement of
financial position. COP, CDP II, CCD, PSH and Casa Mia have executed rental assistance
contracts with HUD whereby HUD provides financial assistance to enable certain private
housing to be available to individuals who are elderly, handicapped or low income.
During fiscal year 2015, the limited partner of one low-income tax credit apartments
transferred 99.99% ownership to CPLC New Mexico, Inc. upon completion of the 15-year
compliance period. The apartments are Bella Vista Apartments (40 units) located in Taos,
New Mexico.
During 2016, CPLC obtained low interest rate financing from United Health Care to
purchase two additional multifamily properties, CPLC Estancia Apartments and CPLC
Fountain Villas Apartments . Both apartments are located in the Phoenix Maryvale area and
are part of the CPLC community service center program to restore and stabilize the
econom ic environment for the local area.
(30)
PRESTAMOS-00307610
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 147 of 202
CHICANOS POR LA CAUSA, INC . AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 5
REAL ESTATE PROPERTIES {CONTINUED)
During fiscal year 2017, the limited partners of two low-income tax credit apartments
transferred 99.99% ownership to CPLC and CPLC New Mexico, Inc. upon completion of the
15-year compliance period. The two apartments are Mountain Pointe Apartments (108 units
located in Nogales, Arizona) and Villa Las Vegas Apartments (60 units located in Las
Vegas, New Mexico).
During fiscal year 2020 , the limited partners of Ladera Village Apartments transfer 99.99 %
ownership to CPLC New Mexico, Inc. upon completion of the 15-year compliance period of
low-income tax credit. The property has 60 units and is located in Farmington, New Mexico.
During 2021 , CPLC obtained low interest rate financing from United Health Care to
purchase one multifamily property , CPLC Freemont Apartments . The apartments are
located in the Las Vegas , Nevada and is a part of the CPLC community service center
program to restore and stabilize the economic environment for the local area.
The Organization owns different commercial buildings purchased through grants, private
mortgages or a combination of both. The buildings are leased to internal programs or to third
parties . The Organization also owns single-family rental homes that are leased to unrelated
third-party residents.
Real estate properties consisted of the following as of June 30 , 2021:
Cost and Donated Value:
Land
Bui ldings and Improvements
Furnitu re, Fixtures and Equipment
Construction in Progress
Total Cost and Donated Value
Less: Accumulated Depreciation
Real Estate Properties , Net
$
$
17,886,242
146,809,446
5,837,670
5,201,474
175,734,832
(61 ,234 ,594)
114,500,238
Depreciation expense on real estate properties charged to operations was $4 ,243,949 for
the year ended June 30 , 2021 .
As of June 30 , 2021 , construction in progress consists of renovations of current facilities and
development of new facilities. The Organization capitalized $484,409 of interest incurred on
construction in progress during the year ended June 30, 2021.
(3 1)
PRESTAMOS-00307611
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 148 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 6
PROPERTY AND EQUIPMENT
Property and equipment consisted of the following at June 30, 2021:
Cost and Donated Value:
Land
Buildings and Improvements
Furniture, Fixtures and Equipment
Vehicles
Construction in Progress
Total Cost and Donated Value
Less: Accumulated Depreciation
Property and Equipment, Net
$
$
1,976,503
13,582,901
6,253,238
4,201,146
12,226,295
38,240,083
(11,508,692)
26 731 391
Depreciation expense on property and equipment charged to operations was $978,826 for
the year ended June 30, 2021.
As of June 30, 2021, construction in progress consisted of renovations of current facilities
and development of new facilities . The Organization capitalized $159,063 of interest
incurred on construction in progress during the year ended June 30, 2021.
NOTE 7
NOTES RECEIVABLE
Prestamos CDFI, LLC (PC) notes receivable are summarized as follows as of June 30,
2021:
Micro Loans
Business Loans
Paycheck Protection Program (PPP)
Residential Mortgage
Citizenship Loans (Pilot Program)
Total Loans
lntercompany Loans (Eliminated in Consolidation)
Discount on Loan Purchase
Allowance for Loan Losses
Loans , Net lntercompany and Allowance
$
2,483,637
32,826 ,336
6,673,606,754
70,367
3,256
6,708,990,350
(2,558,484)
(1 ,355,571)
(2,332,741)
$ 6,702,743,554
Current Portion of Loans
$
1 606 899
(32)
PRESTAMOS-00307612
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 149 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 7
NOTES RECEIVABLE {CONTINUED)
The following table presents the activity in the allowance for loan losses by portfolio
segment for PC for the year ended June 30 , 2021 and the balance in the allowance for loan
losses and the recorded investment in loans by portfolio segment based on impairment
method for PC as of June 30, 2021:
Citizenship
Allowance for Credit Losses:
Balance at Begi nning of Year
Charge-Offs
$
23.090
$
$
26,776
1,323,353
1,373,219
Recoveries
Provisions
Balance at End of Year
Ind ividually Evaluated for
Impairment
Collectively Evaluated for
Impairment
Balance at End of Year
$
Loan
Residential
Mortgage
Business
Loans
Micro
Loans
(Pilot Program)
PPP
Total
826,942
(29,682)
33,676
1,50 1,805
$
1,407
$
$
802,445
(29,682)
6,900
178,452
958 115
$
1,407
2 3=32=.7=4=1
=$======= =$= = = = =$=======
$
4 ,149
$
$
1,373,2 19
1 373 219
$
953 ,966
958115
$
$
10,933
$
666,554
$
$
2,472,704
2,483,637
$
32, 159,781
32 826,335
$
$
$
$
4, 149
1,407
2.328,592
1.407
2.3=32=.7=4=1
=$======= =$= = = = =$====
Loans and Fina ncing
Receivab les:
Individually Evaluated for
Impairment
Collectively Evaluated for
Impairment
Balance at End of Year
$
$
___
7_0,3_67_ _ _ _ _
3,2_5_6
$
70 367
$
3 256
677,487
6,673,606,755
6,708,312,863
$ 6,673,606,755
$ 6.708,990,350
Credit Quality Indicators
PC categorizes loans into risk categories based on relevant information about the abi lity of
borrowers to service their debt such as : current financial information, historical payment
experience, collateral adequacy, credit documentation, public information , and current
economic trends, among other factors . PC analyzes loans individually by classifying the
loans as to credit risk. This analysis typically includes micro, business , and residential loans.
This analysis is performed on an ongoing basis as new information is obtained. PC uses the
following definitions for risk ratings:
Pass - Loans classified as pass represent loans that are evaluated and are performing
under the stated terms. Pass rated assets are analyzed by the paying capacity, the
current net worth , and the value of the loan collateral of the obligor.
Non-Pass - Loans classified as Non-Pass possess weaknesses that require
management attention, such as being inadequately protected by the current net worth,
paying capacity of the obligor, or by the collateral pledged. Non pass loans must have a
well-defined weakness or weaknesses that jeopardize the repayment of the debt as
originally contracted. They are characterized by the distinct possibility that PC may
sustain a loss if the deficiencies are not correct. Loans in this category are allocated a
specific reserve based on the estimated discounted cash flows from the loan (or
collateral value less cost to sell for collateral dependent loans) or are charged off if
deemed uncollectible.
(33)
PRESTAMOS-00307613
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 150 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 7
NOTES RECEIVABLE (CONTINUED)
Credit Risk Profile by Internally Assigned Grade - Micro Loans, Business Loans, and
Residential Mortgage
A loan is considered impaired when, based on current information and events, it is probable
that Prestamos will be unable to collect all the scheduled payments of principal or interest
when due according to the contractual terms of the loan agreement. Factors considered by
management in determining impairment include payment status, collateral value, and the
probability of collecting scheduled principal and interest payments when they are due. Loans
that experience insignificant payment delays and payments shortfalls generally are not
classified as impaired. Management determines the significance of payment delays and
payments shortfalls on case by case basis, taking into consideration all of the circumstance
surrounding the loan and the borrower, including the length of the delay, the reason for the
delay, the borrower's prior payments record, and the amount if the shortfall in relation to the
principal and interest owed.
Under certain circumstances, Prestamos will provide borrowers relief through loan
restructuring. A restructuring of debts constitutes a troubled debt restructuring (TDR) if
Prestamos for economic or legal reasons related to the borrower's financial difficulties grants
concessions to the borrower that would not otherwise consider. TDR concession can include
reduction of interest rates, extension of maturity dates, or payment reduction. Prestamos
considers all aspects of the restructuring to determine whether it has granted a concession
to the borrower. An insignificant delay in payment resulting from a restructuring is not
deemed to be a concession and would not be considered TDR.
On March 22, 2020 , lnteragency statement of Loan Modifications and Reporting for
Financial Institutions Working with Customers Affected by the Coronavirus (interagency
release) was issued and later revised on April 7, 2020. The lnteragency Release seeks to
provide relief when structuring loan modification with the borrowers impacted by COVID-19.
In order to qualify the modification must be related to COVID-19, the loan was current at the
time the modification was implemented, and the modification period must be six months or
less. Under the interagency release, these loan modifications are not considered to be
TDR's.
Based on the most recent analysis performed, the risk category of loans by class of loans
for PC as of June 30, 2021 was as follows:
Pass
821 ,973
30,014,364
6,673,606,754
70,367
3,256
$ 6704516714
$
Micro Loans
Business Loans
Paycheck Protection Program (PPP)
Residential Mortgage
Citizenship Loans (Pilot Program)
Total
$
Non Pass
1,661 ,664
2,811,972
$
4 473,636
(34)
PRESTAMOS-00307614
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 151 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 7
NOTES RECEIVABLE {CONTINUED)
Credit Risk Profile by Internally Assigned Grade - Micro Loans, Business Loans, and
Residential Mortgage (Continued)
The fo llowing table summarizes the aging of the past due loans by loan class within the
portfol io segments as of June 30, 2021:
Sti ll Accruing
30 to 89 Days
Over 90 Days
Past Due
Past Due
$
$
Micro Loans
Business Loans
Residential Mortgage
Total
$
Nonaccrual
Balance
$
10,933
346,803
357 736
$
$
The fol lowing table summarizes individually impaired loans by class of loans as of June 30,
2021:
Micro Loans
Business Loans
Total
Recorded
Investments
10,933
$
666,554
$
677,487
Unpaid
Principal
Balance (1)
$
10,933
666 ,554
677,487
$
Average
Recorded
Investment
10,933
$
666,554
677,487
$
Interest
Income
Recognized
$
$
(1) Represents the borrower's loan obligation , gross of any previously charge-off amounts.
Impaired loans also include loans mod ified in a troubled debt restructuring (TDR) where
concessions have been granted to borrowers experiencing financial difficulties. These
concessions could include a reduction in interest rate on the loan, payment extensions,
forgiveness of principal, forbearance or other actions intended to maximize col lections .
There were no TDR during the year ended June 30, 2021.
CPLC Consolidated Portfolio
Other notes receivable consisted of the following at June 30, 2021:
25th and Be ll , LLC (Related Party)
Tierra Del Sol
Victoria Foundation
Other
Total Other Notes Rece ivable
Less: Allowance
Other Notes Receivable , Net
$
$
234,520
201,788
767,949
171,953
1,376,210
(767 ,949)
608 261
Current Portion of Other Notes Receivable
$
201 788
There was no change in the allowance account on the above business loans during the year
ended June 30, 2021.
(35)
PRESTAMOS-00307615
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 152 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 7
NOTES RECEIVABLE {CONTINUED)
CPLC Consolidated Portfolio (Continued)
CPLC consolidated portfolio consists of the following:
NOTE 8
Micro Loans
Business Loans
Paycheck Protection Program (PPP)
Residential Mortgage
Citizenship Loans (Pilot Program)
Total Loans
lntercompany Loans (E liminated in Consolidation)
Discount on Loan Purchase
A llowance for Loan Losses
Loans, Net lntercompany and Allowance
2,483,637
32,826 ,336
6,673,606,754
70 ,367
3,256
6,708 ,990,350
(2 ,558,484)
(1,355,571)
(2,332,741)
$ 6,702 ,743 ,554
Current Portion of Loans
$
1 606 899
$
122,021
576 ,300
514,299
3,035,747
397 ,277
19,783
4 665 427
$
INVESTMENTS IN DEBT AND EQUITY SECURITIES
Investments consisted of the following at June 30, 2021 :
Fi xed Income Securities
Government and Agency Securities
Corporate Bonds
Equities - Common Stock
Mutual Funds
Arizona Community Foundation
Total Investmen ts
NOTE 9
$
INVESTMENTS IN AFFILIATED ENTITIES
The Organization owns interests in low-income housing real estate projects and other
limited liabi lity companies and accounts for these interests using the equity method of
accounting.
Summarized below is financial information for equity method investments as of and for the
year ended June 30, 2021:
Assured Engineering
Mi Escuelita
NALCAB Network Investors, LLC
Other
Total
$
$
402 ,209
40,328
504 ,248
6,408
953 ,193
(36)
PRESTAMOS-00307616
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 153 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9
INVESTMENTS IN AFFILIATED ENTITIES (CONTINUED)
Nonmarketable investments in which the Organization has less than a 20% interest and in
which it does not have the ability to exercise significant influence over the investee are
initially recorded at cost, and periodically reviewed for impairment.
Summarized below is financial information for nonmarketable investments as of and for the
year ended June 30, 2021:
NALCAB Network Investors, LLC-Acceso Loan fund
Casa de Encanto
Casa de Flores
Gene Rice - Rosa Linda
Guadalupe Huerta
Housing Partnership Equity Trust, LLC
Courtyard at Encanto
Taos Mountain Energy Foods LLC
Old Wood LLC
Good4U Organics , LLC
Other
Total
$
$
829 ,700
222,442
60,978
275,933
241,744
121 ,399
692,921
182,528
173,181
210,007
70 ,232
3,081,065
NOTE 10 LINES OF CREDIT
The Organization has $3,500 ,000 line of credit with Wells Fargo, unsecured. Borrowings
under the line bear interest equal to prime rate. Interest is payable monthly, and the line of
credit matured in December 2020. In May 2021, the Organization replaced the line of credit
with a $6,000 ,000 line of credit with Wells Fargo, unsecured , borrowing at prime rate (3.25%
at June 20 ,2021) and matures in May 2023. As of June 31, 2021 , the outstanding balance
was $-0-.
The Organization obtained a line of credit from Local Initiatives Support Corporation in the
amount of $5,500,000. The loan is secured by real property, and bears interest at 5% due at
maturity in September 2021 . The line of credit was used to fund construction of real estate
project in Dayton Nevada and had an outstanding balance of $4,807,042 at June 30, 2021 .
The Line of Credit was fully paid off subsequent to year end, in September 2021
The Organization obtained a Paycheck Protection Program Liquidity Facility (PPPLF)
advance agreement with the Federal Reserve Bank in May 2020. The Paycheck Protection
Program Liquidity Facility (PPPLF) was established by the Federal Reserve to extend credit
to eligible financial institutions that originate PPP loans, taking the loans as collateral at face
value. The advance is used to fund PPP lending based on the Coronavirus Aid, Relief, and
Economic Security Act (the CARES Act).
(37)
PRESTAMOS-00307617
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 154 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 10 LINES OF CREDIT (CONTINUED)
The advance is secured by PPP loans guaranteed by the Small Business Administration
(SBA) and bears interest at 0.35%. The maturity of an advance will equate to the maturity
date of the PPP loan pledged to secure the advance. The maturity can be accelerated if the
underlying PPP loan goes into default and the Organization sells the PPP loan to the SBA to
realize on the SBA guarantee or if PPP loan is forgiven by SBA and the Organization
receives reimbursement from SBA. No advance may be made after July 31, 2021 . As of
June 30, 2021. The outstanding advance balance was $7,152,713,943.
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT
Mortgages payable and other debt consisted of the following at June 30, 2021:
Description
Casa Mia Senior Apartments, Inc. , Federal Housing
and Urban Development (HUD) Capital Advance Program
Mortgage Note , collateralized by real property. So long
as Casa Mia meets the requirements outlined in the
agreement, the note bears no interest and no monthly
payments are required. The note is due April 1, 2046.
Should Casa Mia default, the entire amount of the note
could become due with interest accruing at 5.25% .
$
5,601 ,900
Casa Mia Senior Apartments, Inc., mortgage agreement
with the City of Phoenix, collateralized by real property.
The note bears no interest and Casa Mia receives a
5.00% principal credit annually, until fully amortized in
2026, provided it complies with the note agreement.
Should Casa Mia default, the entire amount of the note
could become due with no interest accruing.
123,956
Casa de Primavera Apartments, LLC (COP) mortgage
agreement with Greystone, collateralized by substantially
all the assets of COP , payable in monthly installments
of $17,410 including interest of 2.58% maturing in
November 2048.
4,102,891
Causa Community Development (Guadalupe Barrio Nuevo)
entered into an insured mortgage loan under Section 207
pursuant to Section 223(f) of the National Housing Act, as
amended. The mortgage is curren tly serviced by Bellwether
Enterprise Rea l Estate Capital , LLC, payable in monthly
interest and principal payments of $15 ,295, bearing 3.92%
interest rate and m aturing in June 2053 .
3,343,750
(38)
PRESTAMOS-00307618
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 155 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT (CONTINUED)
Description
Santa Cruz note payable to Hunt Mortgage Capital , LLC,
secured by the security instrument and other loan
documents , payable in monthly principal and interest
payments of $10,828 beginning May 2017 , including interest
of 4.65% , with a balloon payment of $1 ,710,472 in April 2027.
$
1,957,972
Causa Community Development (CCD) second mortgage
agreement with HUD , collateralized by substantially all
assets of CCD , payable in annual installments in the amount
of 75% of surplus cash, as defined, including annually
accrued interest at 4.00% , maturing in February 2034.
680,773
Note payable to Arizona Department of Housing for the
Corazon Building , secured by certain real property,
noninterest bearing . If certain use restrictions associated
with the real property are followed , the principal balance
will be forgiven in January 2028.
550 ,000
Note payable to City of Phoenix Housing Department, secured
by the Corazon Building , noninterest bearing. If certain use
restrictions associated with the real property are followed ,
the principal balance will be forgiven in May 2050 .
550,000
Note payable to U.S. Small Business Administration (SBA)
for Prestamos from the Microloan Revolving Trust Fund (MRFT)
for SBA VII, secured by cash held for loan programs and select
notes receivable , payable in monthly installments of principal
and interest at 0.875% commencing in May 2012, maturing
in July 2021 . The loan agreement requires Prestamos to act
as a financial intermediary by using the proceeds of the loan
for lending to existing small businesses, and the loan was paid
in full subsequent to year end .
4 ,950
Note payable to U.S. Small Business Administration
(SBA) for Prestamos from the Microloan Revolving Trust
Fund (MRTF) for SBA VIII, secured by cash held for loan
programs and select notes receivable , payable in monthly
installments of principal and interest at 0.125% commencing
in November 2013, maturing in November 2023. The loan
agreement requires Prestamos to act as a financial
intermediary by using the proceeds of the loan for lending
to existing small businesses.
269,579
Note payable to National Bank of Arizona for Prestamos ,
unsecured , quarterly interest payments of 3.00% , automatically
renews annually until its maturity in December 2023 .
200 ,000
(39)
PREST AMOS-00307619
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 156 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT {CONTINUED)
Description
Note payable to National Bank of Arizona for Prestamos ,
unsecured, interest at 2.00% paid quarterly, automatically
renews annually until its maturity in December 2023 .
$
150,000
Causa Community Development third mortgage agreement
with HUD, collateralized by substantially all the assets of
CCD (Guadalupe Barrio Nuevo), payable in fu ll at the
option of HUD including annually accrued interest at
4.00%, maturing in February 2034.
75,761
Note payable to No[thern Trust Bank for the Corazon
Bui lding , secured by deeds of trust of real property,
interest free and due in full on February 2024 .
325,000
Note payable to SCF Arizona, secured by loans originated
from the funds and guaranteed byCPLC. Up to $10 million can
be drawn down on loan. Interest only payments due quarterly
at interest rates of 3.00%. Note matures in August 2024 .
9,996,000
Note payable to Kansas State Bank , secured by deeds of
trust of real property, payable in monthly installments of interest
only at a rate of 4.29% from July 2013 through November 2013.
Principal and interest payments began December 2013. Variab le
interest rate at weekly average yield (one year) plus 3.5% with
Initial rate of 3.61 % starting in June 2020 . Loan matures in
November 2033. This note is for the Maryvale property.
1,689 ,809
Note payable to City of Phoenix Housing Department,
secured by the De Colores Building, noninterest bearing.
If certain use restrictions associated with the rea l property
are followed, the principal balance of the loan is being
forgiven in equal amounts annually through December 2022.
58 ,330
Note payable to Kansas State Bank, secured by deed of
trust of real property and assignment of rental income ,
from Centra l and Grant property payable in monthly
installments of principal and interest at a rate of 4.59%
maturing in May 2035.
892 ,002
Mortgage note payable to The United Presbyterian Church.
The note has no maturity date, bears no interest and no
monthly payments are required, as long as CPLC New
Mexico maintains the requirements outl ined in the note
agreement. The mortgage note would become payable in
the event of a sale of the building or the build ing is not
used for its intended purpose. Shou ld CPLC New Mexico
default, the entire amou nt of the note could become due
with interest accru ing at 8.00% .
250,000
(40)
PRESTAMOS-00307620
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 157 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT (CONTINUED)
Description
Note payable to First Bank, secured by deeds of trust of
real property, payable in monthly installments of interest
only until February 2016, at which time monthly principal
and interest payments of $3,648 commenced with
principal due at maturity at a rate of 4.10%, maturing in
February 2025. This note is for the Hazelwood multi-family
housing property.
$
443 ,079
Bella Vista note payable to Pacific Life Insurance , secured
by certain real property and equipment, payable in monthly
installments of $5,056 including interest at 8.97% through
May 2031.
397 ,535
Bella Vista note payable to New Mexico Finance Authority
secured by certain real property, requiring interest-only
payments of $321 at the annual rate of 1.00% per annum.
Maturity of the loan occurs at the sale , refinance , or
transfer of the property or on April 10, 2030.
385,000
Capitalized lease, collateralized by equipment, payable in
month ly installments of $15,275 including interest at
1.74%, maturing in October 2021.
76,071
Note payable to First Bank, secured by Casa Loma
Apartments, payable in monthly installments of principal and
interest of $5,563, at an interest rate of 4 .10%, with a balloon
payment due April 2026.
893,543
Note payable to United Health Care, secured by all assets
and income of CPLC Fountain Villas, LLC , interest bearing at
1-3.00% during the term of this note. Interest accruing monthly
with principal and interest balance due upon maturity in
April 2023.
6,451,659
Note payable to United Health Care, secured by all assets
and income of CPLC Estancia , LLC, interest bearing at
1-3.00% during the term of this note . Interest accruing monthly
with principal and interest balance due upon maturity in
November 2022.
14,303,219
Note payable to Western Alliance Bank for Prestamos,
unsecured , interest at 3.00% paid quarterly, maturing in
September 1, 2020 and on September 1st of each year
thereafter maturity date shall automatically be extended for
one year unless the lender cancel such automatic
maturity extension.
2,000 ,000
(41)
PRESTAMOS-00307621
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 158 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT (CONTINUED)
Description
Note payable to U.S. Small Bu siness Administration
(SBA) for Prestamos from the Microloan Revolving Trust
Fund (MRTF) for SBA X , secured by cash held for loan
programs and select notes receivable, payable in monthly
installments of principal and interest at 0.375% commencing
in November 2016, maturing in October 2025. The loan
agreement requires Prestamos to act as a financial
intermediary by using the proceeds of the loan for lending
to existing small businesses .
$
622,071
Note payable to Kansas State Bank for the refinance of Glenrosa
Affordable Apartments, LLC, collateralized by substantially all
the assets of Glenrosa and is payable in monthly installments
of $5 ,823 , until June 2021 , then $5,903 until maturity date ,
including interest of 4 .89% , maturing in September 2042.
928,229
Note payable to Wells Fargo, collateralized by the MHS
Yuma Building and payable in monthly installments of
$16,120 including interest of LIBOR plus 1.50% variable
interest rate, maturing in November 2023.
133,797
Note payable to Kansas State Bank for Maryvale project,
collateralized by deed of trust on real property, payable in
monthly principal and interest payments of $2,722 ,
beginning in June 2017, including interest of 4.59% through
May 2022, then 4.62% through maturity, maturing in May 2027 .
168,019
Note payable to Kansas State Bank for Central and Grant
Project, collateralized by deed of trust, assignment of rents ,
and a business loan , payable in monthly principal , and
interest payments of $2,558, beginning in June 2017,
including interest of 4.59% , maturing in May 2027.
157,752
Gran Victoria note payable to Berkeley Point Capital, LLC ,
secured by the security instrument and other loan
documents , payable in monthly principal and interest
payments of $101 ,257 beginning in July 2017 , including
interest of 4 .63% , with a balloon payment due in June 2027.
18,407,594
Equity Equivalent (EQ2) unsecured loan to Dignity Health
to finance real estate activities associated with the
acquisition and rehabilitation of affordable multi-family
housing for CPLC's Neighborhood Stabilization Program
and real estate operations . Interest bearing 1.0% to 2.0%
during the term of this note, with maturity in August 2024.
3,000,000
(42)
PREST AMOS-00307622
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 159 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT {CONTINUED)
Description
Equity Equivalent (EQ2) unsecured loan to Wells Fargo to
operate and manage activities in support of low to
moderate-income households and financially underserved.
Quarterly interest payments accruing at 2.00% per annum .
Quarterly principal payments of $250 ,000 become effective
the fifth anniversary with equal payments due until maturity
in January 2024.
$
1,000 ,000
Equity Equivalent (EQ2) unsecured loan to BBVA Compass
to operate and manage activities in support of low to
moderate-income households and financially underserved.
Quarterly interest payments accruing at 2.25% per annum,
until maturity in April 2028.
2,500 ,000
Seller Carry-back loan related to the purchase of real
property in Mesa , AZ payable in annual installments of
$105,063 accruing interest at 4.00% maturing in April 2030.
864 ,761
Prestamos CDFI , LLC note payable to Wells Fargo, secured by
collateral assignment of loan documents , interest at 1.07% paid
quarterly commencing March 5, 2018 and maturing December
2024.
4,060 ,800
Prestamos CDFI, LLC note payable to Wells Fargo, secured by
collateral assignment of loan documents, interest at 1.07% paid
quarterly commencing March 5, 2018 and maturing December
2047.
1,939,200
Prestamos CDFI, LLC EQ2 unsecured loan to Wells Fargo
Community Investm ent Holdings, with quarterly interest
payments at 2.00% per annum until January 2028 . then
additional quarterly principal payments (8) of $187 ,500
commence until liability is paid in full (January 2030).
1,500 ,000
Mountain Pointe Apartments , LP entered into an insured
loan under Section 207 pursuant to Section 223(f) of the
National Housing Act, as amended. The loan is serviced by
Bellwether Enterprise Real Estate Capital , LLC , payable in
monthly installments of $14 ,719 including interest of 3.92%
per annum , maturing June 1, 2053.
3,217 ,928
Note payable to Local Initiatives Support Corporation,
collateralized by deed of trust , payable in monthly
installments of interest at 6.00% with various principal
payments due upon the stage of rea l estate development.
Loan original maturity was January 2021 and was extended
to Feb 2023. This loan is for a mobile home project in
Mesa , Arizona. Debt was paid in full subsequent to year end.
2,125,000
(43 )
PRESTAMOS-00307623
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 160 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT (CONTINUED)
Description
Note payable to Arizona Bank and Trust related to Nevada rea l
estate project, payable in month ly installments of interest at
3.75% with principa l balance due February 2022 .
Note payab le to Arizona Community Foundation , unsecured
with principa l ba lance due at maturity in September 2021.
$
1,774 ,982
75,000
Note payable to Dignity Health , unsecured , payab le quarterly
at 1.00% from October 2020 until October 2022, at 2.00%
thereafter with principal balance due at maturity in October 2025 .
1,000,000
Note payab le to Ca lvert Impact Capital , Inc. , unsecured , interest
payab le monthly at 5-treasury rate plus 340 basis points (6 .02%)
for five yea rs, after which monthly principa l and interest payments
commence through maturity December 2023.
5,000,000
Note payable to City of Phoenix from federa l HOME program
with $2 mil lion maximum loan amount, collateralized by deed
of trust on rea l property, with 0% interest rate . $50 ,000 principal
payment will start on the 1st day of September 2020 and
continu ing on the 1st day of September each year thereafter if
surp lus cash is available . The entire outstanding principal
ba lance is due January 1, 2059.
1,229 ,644
Note payable to US Bancorp Community Deve lopment
Corporation fo r Prestamos, unsecured, with quarterly interest
only payments at 3.0% and principal balance due at matu rity
in July 2021. The maturity date will automatical ly be extended
for one year as long as Presta mos performs its obligation
under the loan agreement.
1,000 ,000
Note payable to the New World Foundation , unsecu red , 0%
interest loan , with principal payments in four equal quarterly
installments commencing September 2028 . This loan is eligib le
for loan forg iveness after meeting certain defined benchmarks
over the te rm of the loan .
3,000,000
Note payable to State Ban k of Arizona , unsecured, interest at
3.50% payable in one lump sum of principal and accrued
interest on March 20 , 2024.
250,000
Note payab le to Arizona Bank and Trust Corporation, secured by
deed of trust and tangible asset of a Motel pu rchased in Mesa ,
AZ., with monthly interest and principa l payments at 4.25% until
January 2022, and the remaining balance due in February 2022.
3,042,673
(44)
PREST AMOS-003 07624
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 161 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT {CONTINUED)
Description
Notes payable to City of Mesa from federal HOME program with
$1,443 ,339 maximum loan amount, collateralized by deed of trust
on real property, with 0% interest rate. The loan shall be repaid
either from the sales proceeds received from the sales of the
units to qualified income eligible homebuyers, or at the end of the
term of 20 years from each residential unit.
$
783,606
Note payab le to Arizona Bank and Trust related to Pickle House
and 445 Mesa Projects , payable in monthly installments of
interest at 3.75% with principal balance due February 2022. Debt
was paid in full subsequent to year end.
4,288 ,941
Note payable to Western Alliance Bank for Prestamos with
$3,000 ,000 maximum loan amount, unsecured, quarterly interest
only payment at 3.0% and all outstanding principal plus all
accrued unpaid interest in November 2024 with right for additional
60 months extension under certain conditions.
3,000 ,000
Note payable to U.S. Small Business Administration (SBA) for
Prestamos from the Microloan Revolving Trust Fund (MRTF) for
SBA XI in the maximum amount of $1,250 ,000 , secured by cash
held for loan programs and select notes receivable, no payment
and 0% interest rate for the first 12 months, then monthly
installment of principal and interest at 0.5% thereafter, maturing in
November 2027. The loan agreement requires Prestamos to act
as a financial intermediary by using the proceeds of the loan for
lending to existing small business.
1,223,504
Notes payable to New Mexico Mortgage Finance Authority with
monthly installment of $10 ,943 at 6.29% and due in November
2044. It is for Ladera l Village Apartments located in New Mexico.
The United State Department of Housing and Urban
Development (HUD) wil l endorse the loan under section 542(e) of
the Housing and Community Development Act of 1992 and the
regulations set forth at 24 CFR part 266, in effect on the date of
endorsement (90% loan guarantee).
1,609,792
Notes payable to New Mexico Mortgage Finance Authority in the
origina l amount of $500,000 with a 5.09% Interest compounded
monthly on unpaid principal and interest balances. Interest only
payment should be made in the amount of $416 per month at an
interest rate of 1% until maturity. Maturity of the loan occurs at the
sale, refinance, or transfer of the property or on September 2034 .
It is for Laderal Village Apartment located in New Mexico.
500 ,000
(45)
PRESTAMOS-00307625
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 162 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT {CONTINUED)
Description
In Oct 2020 , in order to provide funds to finance the cost of
acquiring and improving a charter school real estate project, the
Industrial Development Authority of the City of Phoenix, Arizona
issued one or more series of Lease Revenue Bonds , Tax Exempt
series 2020 in an aggregate principal amount not to exceed
$4 ,335 ,000 at a 2.76% interest rate . The final funding date is
expected in 2022 . The bond will mature the earlier of (1)
September 30, 2027 (2) the 60th payment date to occur following
the Final Funding Date, commencing with the Amortization Date ,
and (3) the date that all of the principal of the Bonds is paid to the
bondholders.
$
50 ,001
Construction notes payable to Local Initiatives Support
Corporation in the amount not to exceed $2 ,350,000 with a 6%
interest rate . This is for the construction of 10 town homes in
Mesa Mobile Home Park project. Interest is due and payable
monthly. A payment of principal and interest should be due and
payable upon the closing of sale of each home . The payment
amount should equa l to the greater of (1) 90% of the gross sales
price or (2) $235 ,000 . Debt was paid in full subsequent to year
end.
417,148
Note payable to Kansas State Bank, secured by deed of trust and
tangible asset of an office building in Las Vegas, NV with monthly
interest and principal payments at 3.79% from April 2021 to
March 2026 , then one year weekly average yield on US Treasury
Securities plus 4 .25% from April 2026 to March 2046 (initial
4.32%) with maturity in March 2048.
2,047 ,816
Note payable to United Health Care, secured by all assets and
income of CPLC Freemon! Apartments LLC, a multifamily
apartments, interest bearing at 1-2.5% during the term of this
note, monthly Interest and principal payment and a balloon
payment due upon maturity in May 2028 .
6,517,342
Note payable to First Fidelity Ban k, secured by all assets and
income of several commercial bu ildings , interest bearing at 3.85%
with monthly principal and interest payments . A balloon payment
due upon maturity in December 2027 .
Total Mortgages and Other Debt
Less: Unamortized Debt Issuance Costs
Less : Cu rrent Matu ri ties
Total
12,307,566
145,515,945
(785 ,747)
(12,930 ,809)
$ 131,799,389
(46)
PRESTAMOS-00307626
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 163 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 MORTGAGES PAYABLE AND OTHER DEBT (CONTINUED)
Future maturities of mortgages payable and other debt are as follows:
Year Ending June 30,
2022
2023
2024
2025
2026
Thereafter
Forgivable Loans
Total Future Maturities
$
$
Amount
12,902 ,035
4,324,428
32,204,499
9,352,827
4,551,757
75,046,213
7,134,186
145515945
The Organization is required to maintain certain net asset, liquidity, and indebtedness ratios,
and must comply with other general covenants of the loan agreements.
The Organization entered into a loan agreement with the United States Department of
Agriculture (USDA) in December 2016 for $15,000,000. The loan is secured by select notes
receivable. Principal and interest at 2.38% to be paid monthly. The note matures in
December 2056. No amounts were advanced or due on the note, and the note had an
outstanding balance of $-0- at June 30, 2021 .
NOTE 12 RETIREMENT PLAN
CPLC sponsors a 401 (k) plan, covering employees who meet specified age and service
requirements. Contributions to the plan are participant directed. Employer contributions are
made annually at the discretion of the board of directors. During the year ended June 30,
2021, CPLC paid contributions totaling $547,589 the plan.
NOTE 13 OPERATING LEASES
CPLC leases various buildings and office equipment under several operating lease
agreements expiring through 2028. Minimum future rental payments under noncancelable
operating leases having remaining terms in excess of one year at June 30, 2021 are:
Year Ending June 30.
2022
2023
2024
2025
2026
Thereafter
Total
$
$
Amount
740,472
386,542
156,687
29 ,536
19,200
36,800
1 369 237
(47)
PRESTAMOS-00307627
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 164 of 202
CHICANOS POR LA CAUSA, INC . AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 13 OPERATING LEASES {CONTINUED)
In the normal course of business, operating leases are generally renewed or replaced by
other leases. Total rental expense for operating leases with terms in excess of one month
was approximately $703,114 for the year ended June 30 , 2021.
CPLC leases office space to various third parties under operating leases that expire through
2056. Future minimum lease receipts to be received under these agreements as of June 30 ,
2021 are as follows:
Year Ending June 30,
2022
2023
2024
2025
2026
Thereafter
Total
$
$
Amount
1,115,102
845,892
572,809
188,986
147,802
2,459,678
5,330,269
NOTE 14 COMMITMENTS AND CONTINGENCIES
Five of the HUD properties have a housing assistance payments contract (HAP). The HAP
contract is a rent assistance program for low-income families (or persons) as provided by
the Section 8 Program of the National Housing Act of 1959. Eligible low-income tenants pay
30% of their income as rent, while HUD pays the difference between this rental amount and
"contract rents" (as defined). CPLC can request from HUD an amount equal to 80% of
contract rent during periods that the unit is vacant if certain conditions are met, but not to
exceed 60 days. If a unit continues to be vacant after the 60-day period, CPLC may submit
a claim and receive additional housing assistance payments on a semi-annual basis if
certain conditions are met as outlined in the HAP contract.
The HAP contracts expire beginning in 2022 through 2038 as follows:
Casa de Primavera Apartments
Casa Del Pueblo
Casa Del Pueblo 11
Guadalupe Barrio Nuevo
Casa Mia Senior Apartments
March 31 , 2033
March 31 , 2022
January 31, 2022
June 1, 2038
April 30, 2022
Management intends to renew the HAP contracts as they expire. The rental income from
these contracts represents approximately 17% of total rental income from real estate for the
year ended June 30, 2021 . It is uncertain whether the contracts will be extended. HUD is
contemplating several changes, which may have a significant financial impact on the
properties. Management cannot reasonably estimate the ramifications, if any, of these
uncertainties.
(48)
PREST AMOS-00307628
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 165 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 COMMITMENTS AND CONTINGENCIES {CONTINUED)
CPLC guarantees the debt of a nonconsolidated real estate venture. The debtor holds the
deed of trust on the underlying real property. Payments on the debt are due in monthly
installments and the debt matures in 2034. CPLC would be obligated to perform under this
guarantee if the real estate venture failed to pay principal and interest payments to the
lender as due. CPLC's guarantee on the performance of the debt was approximately
$457,636 as of June 30, 2021. As of June 30, 2021, the real estate venture was current with
their debt payments.
CPLC participates in a number of federal and state-assisted grant and contract programs
which are subject to financial and compliance audits . The audits of these programs for, or
including, the year ended June 30 , 2021 remain subject to review. Accordingly , CPLC's
compliance with applicable grant or contract requirements may be established at some
future date. The amount, if any, of expenditures or fees for units of service which may be
disallowed by the granting or contracting agencies cannot be determined at this time,
although the CPLC's management expects such amounts, if any, to be immaterial.
CPLC is guarantor of a line of credit for a nonprofit organization, Help-New Mexico. At
June 30 , 2021 , the borrowing limit was $1,000,000, and the outstanding balance was
$212 ,216 .
In the normal course of business, CPLC is subject to various lawsuits. It is the opinion of
management that the resolution of such lawsuits will not have a material adverse effect on
the consolidated financial statements taken as a whole. Accordingly, no provision has been
made in the accompanying consolidated financial statements for losses, if any, that might
result from the ultimate outcome of these matters.
NOTE 15 NET ASSETS WITH DONOR RESTRICTIONS
Net assets with donor restrictions are restricted for the following purposes or periods.
Real Estate Development
Small Business Lending
Supportive Housing
Prop 301 Plan
Workforce Development
Housing Counseling
Home Health Care
Substance Abuse Treatment
Domestic Violence Shelter
Other
Total
$
$
2,726 ,065
1,826,265
334,251
320,526
209 ,563
187,500
151,179
25,000
10,000
54,004
5 844 353
(49)
PRESTAMOS-00307629
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 166 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 16 DONATED PROFESSIONAL SERVICES AND MATERIALS
CPLC received donated professional services for production and on-air media in the amount
of $1,316 ,360and other donated professional services and materials in the amount of
$39,563 for the year ended June 30, 2021.
NOTE17 SUBSEQUENTEVENTS
Subsequent to year-end, the Organization entered into the following agreements :
In July 2021, CPLC issued payment to pay off two notes payable to Local Initiatives Support
Corporations in the total amount of $2,544 ,233 . Those notes were for a mobile home project
in Mesa, Arizona .
In July 2021, CPLC issued payment to pay off a line of credit from Local Initiatives Support
Corporation in the amount of $5,094,319. The line of credit was used to fund the
construction of a real estate project in Dayton, Nevada.
In September 2021 , CPLC purchased commercial real estate property located in Phoenix,
Arizona for $63,000,000. The purchased was financed with a $30,500,000 tax exempt bond
and $11,500,000 taxable bond .
On September 30 , 2021, the board of both Florence Crittenton Services of Arizona, Inc. (Flo
Cri) and Chicanos Par La Causa, Inc. (CPLC) approved the Amended and Restated articles
of Incorporation of Florence Crittenton Services of Arizona, Inc. As of September 30, 2021,
Flo Cri, was officially acquired by CPLC. Flo Cri is a nonprofit corporation in Arizona
providing residential housing to girls between the ages of 12 and 21, community-based
services to adolescents and young adults , permanent supportive housing to females
transitioning out of foster care or on their way to becoming homeless, and education through
its charter school.
In November 2021, CPLC Nevada Inc. purchased a 112-unit multifamily apartment complex
located at Las Vegas Nevada with a $12,185 ,000 purchase price and 100% financing.
In November 2021, CPLC issued payment to pay off notes payable with AZ bank and Trust
in the amount of $4 ,288,941. The note was for the purchase and remodel of two commercial
buildings.
From July 1, 2021 to October 31, 2021, $3,597,107,548 PPP loans funded through
Prestamos CDFI, LLC have been forgiven by Small Business Administration and Prestamos
CDFI , LLC recognized $172,977,576 PPP loan fees from deferred revenue .
(50)
PRESTAMOS-00307630
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 167 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 19 SUBSEQUENT EVENTS {CONTINUED)
Management evaluated subsequent events through December 21, 2021, the date the
consolidated financial statements were available to be issued . Events or transactions
occurring after June 30, 2021, but prior to December 21, 2021, that provided additional
evidence about conditions that existed at June 30, 2021, have been recognized in the
consolidated financial statements for the year ended June 30, 2021. Events or transactions
that provided evidence about conditions that did not exist at June 30, 2021 , but arose before
the consolidated financial statements were available to be issued have not been recognized
in the consolidated financial statements for the year ended June 30, 2021 .
NOTE 18 NEW ACCOUNTING STANDARDS
In February 2016, the FASB issued ASU 2016-02, Leases, to improve financial reporting
about leasing transactions (Topic 842). The ASU affects all lease transactions . Lessors will
classify leases as either a sales-type , direct financing , or operating lease. In a sales-type
lease, the lessor transfers control of the underlying asset to the lessee. At lease
commencement, the lessor should derecognize the leased asset and record its net
investment in the lease. The net investment in the lease consists of a lease receivable and
the unguaranteed residual asset. In a direct financing lease, the lessor should derecognize
the leased asset underlying the lease and record a net investment in the lease at lease
commencement. The net investment in the lease should be measured in the same manner
as a sales-type lease adjusted for sell ing profit and initial direct costs. An operating lease is
neither a sale nor financing of an asset. The lessor should keep the asset underlying the
lease on its balance sheet and continue to depreciate the asset based on its useful life.
Rental revenue should be recognized on a straight-line basis. CPLC has several leasing
transactions . The amendments in this update are effective for years beginning after
December 15, 2021. The Organization is currently evaluating the impact of adopting ASU
2016-02 and has not determined the effect to the consolidated financial statements. The
standard requires a modified retrospective approach to implementation.
In June 2016 , the FASB approved ASU 2016-13, Financial Instruments - Credit Losses
(Topic 326): Measurement of Credit Losses on Financial Instruments. The main objective of
the ASU is to provide financial statement users with more decision-useful information about
the expected credit losses on financial instruments and other commitments to extend credit
held by a reporting entity at each reporting date. To achieve this objective, the amendments
in the ASU replace the incurred loss impairment methodology in U.S. GAAP with a
methodology that reflects expected credit losses and requires consideration of a broader
range of reasonable and supportable information to inform credit loss estimates. This ASU is
effective for the fiscal year beginning after December 15, 2022. The Organization will
evaluate the impact of ASU 2016-13 on its consolidated financial statements .
(51)
PRESTAMOS-00307631
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 168 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATING STATEMENT OF FINANCIAL POSITION
JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
CPLC
Community
Schools
Presta mos
CDFI, LLC
CPLC and
Other
Subsidiaries
Multifamily
Properties
Consolidating
Elim inations
Total
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Restricted Cash
Cash Held for Loan Programs
Receivables:
Grants and Contracts, Net
l ntercompany Receivables
Interest Receivable
Other Rece ivables, Net
Notes Receivable, Current
Prepaid Expenses
Total Current Assets
s
$
371,797
320,526
$
5,6 19,6 16
s
27,290,662
s
$
594,489,043
LONG-TERM ASSETS
Notes Rece ivable, Net
Real Estate P roperties - Rental, Net
Property and Equipment, Net
Related Party Rece ivables, Net
Real Estate Held for Sa le
Investments in Debt and Equity Securities
Investments in Affiliated Entiti es - Cost Method
Investments in Affiliated Entities - Equity Method
Deposits and Funded Reserves
Other Assets
Total Long-Term Assets
Total Assets
427,498,750
38,667.380
2,705, 186
8,727,437
73
1,606,899
112,969
200
1,073,694 ,768
805,492
126,900
177,300
9 ,396, 198
14 .131,434
84,856
6,008,672
6, 183
201,788
1,575,045
52,60 1,310
6,703,695, 139
16 ,07 1
7 1,238,203
55,775
36,9 16
121,240
1,114.766
953 ,193
6,705,779, 169
3,267,840
753,683
75,352,4 17
121,240
460,780,825
320,526
594,489,043
48,303 ,447
(17,0 14 ,120)
8,727,437
6,256
1,808,687
1,659,901
1,11 6,096,122
(17,0 14,1 20)
2,295,438
45,01 1,35 1
26,538,305
1,109,992
18 ,242,881
4 ,665, 427
15.7 15,928
(4,4 4 7,44 9)
(1,749,316)
(13,749,629)
914,185
517 ,684
11 5,0111 91
(1 9,946,394 !
6,701,543, 128
114,500,238
26,73 1,39 1
1,146,908
18,242,88 1
4 ,665,427
3,081,065
953, 193
4 ,182,025
1,27 1,367
6 876 317 623
s 7 779 473 937
$
926 732
$
81.36 1 089
s
167,6 12 50 1
s {36,960,514 )
$
7.992 .41 3 745
s
s
169 ,516
1,530,705
$
1,997,330
2,6 10,373
$
14 ,054,620
12,529,820
s
s
19,330,863
LIABILITIES AND NET ASSETS
CURRENT LIABILITIES
Accounts Payable and Accrued Expe nses
lntercompany Payab les
Deferred, Current Portion
Lines of Credit, Current Portion
Mortgages Payable and Other Debt, Current
Other Liabilit ies
Total Current Liabilities
LONG-TERM LIABILITIES
Li nes of Credit
Deferred Revenue , Long-Term Po,t ion
Mortgages Payable and Other Debt, Net
Total Long-Term liabilities
1,700,22 1
(17,0 14 ,120)
(18,390,676)
309,174,631
12,245,24 1
12,930,809
255,370,440
609,05 1,984
72 ,534,584
72 ,534,584
2.250,909
34 ,563 ,819
36,814,728
(3,070,893)
(3,070,893)
7,145,275,744
2,250,909
131,799,389
7,279,326,042
3,884,751
1, 188,836
9,68 1,290
6 ,183,598
7 ,60 1,833
425,448
40.795,319
(1,376,556)
7, 14 5,275,744
27,77 1,879
7,173,047,623
Total Liabilities
NET ASSETS
Without Donor Res trictions
With Don or Restrictions
Contributions
Distributions
Total Net Assets
Total Liabilities and Net Assets
3,109.397
343,222
309,174,631
7,438,199
1,444 ,225
253,756,156
575,265,830
7,748,3 13,453
1,700,22 1
82,2 15,874
77 ,610,047
(2 1,461 ,569)
7,888,378,026
29,334,2 19
1.826 ,265
(1,094,0 15)
320,526
338,373
86,254,263
3,697,562
(16,692 ,103)
98, 140,737
5,844,353
31,160.484
(773 ,489)
(1,193, 158)
1854,785)
50,629
90 ,002,454
1,193, 158
(1 5,498,945!
50,629
104 ,035,7 19
167.6 12 50 1
s {36.960,514 l
s 7.992 41 3 745
., 7 779,473.937
C
$
926 732
$
8 1,361 089
$
(52)
PRESTAMOS-00307632
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 169 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
CONSOLIDATING STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS ' REPORT)
CPLC and
CPLC
Community
Schools
Prestamos
CDFI. LLC
Multifamily
Proeert1es
Other
Tota l
Eliminations
Subsidianes
REVENUES
Contract Revenues:
Grants and Contracts
Cost Reimb ursement
Fee for Service
Total Contract Revenues
14.413.358
1.024.035
2,733.878
15,437.393
2.733.878
s
310.427
$
(1 .538.861)
(10.851.906)
(2.723.4171
(15 .1 14. 184)
14.552.647
82.435.039
64,872.924
s
30.471.449
72,607.168
62,149.507
t 65.228.124
310.427
16 1,860.610
15,758.030
3.248,325
760.411
2.014.709
16,241.718
589.291
1,357.973
2,635.379
8 .972.981
35,820.787
(128.439)
(8 ,551. 167)
(21,353.915)
17. 132,077
393.220
3,595,067
9,173.800
589.291
1,357.973
2.506.940
2.898.895
37.647.263
1, 193.158
1.284.22 1
(1.193.158)
(35 .000)
1.521.245
1,692
1.692
117,181
2,594.560
(64,896)
p.293.0541
423.774
5.144.806
10.487.218
17,577.043
(37 .761. 153)
220.452.430
Noncontract Revenues :
Rental Income
Development Fees
Client Fees
Donations
1,747.335
3. 170.613
26.375
957
194,400
3.391,388
6 .117
7,074
Fundrais1ng
In-Kind
Sa les of Inventory
Other Revenues
TotJI Noncontract Revenues
Other Revenues:
lntercompany Dividend Income
Investment Income (Loss)
Dividend Income
2,276,.564
19.781,929
Loan Fees
Interest Income
Total Other Revenues
272.024
423.774
5. 144.806
10.433,241
16.273.845
Total Revenues
35,102.626
2.740.952
20,094.040
200.275.957
1.728.269
141.311
147.652
994.405
72.461
149.832
3,367.08 3
340.009
580.469
64 .409,929
6,108.067
773.934
1.506.990
53.536
260 ,605
365.231
1,034.920
29.806
61,709
219.01 5
166.812
33,887
1.107.753
2,754 .199
2.814.905
72.813
695
148.759
8.037
27.488.905
500.060
773.143
(340)
1,680.033
13.879.535
7,571.062
2,337.642
2,709.035
841.409
1.1 19.910
696.219
313.312
4 ,226.919
3,131.904
OP ERATIN G EXPEN SES
Sa laries and Wages
Payroll Taxes
Fri nge Benefits
Contractor Expenses
Professional Fees
Management Fees
Staff Development
Property Administration
Travel
Advertising and McJrketIng
Administrative Costs
Occupancy
Insurance and Taxes
Utility Expenses
Repairs and Maintenance
Office Expenses
Furniture and Fixtures
Technology and Communication
Consumable Supplies
Monetary Assistance
Miscellaneous
Program Construction
Donated Materials and Services
Depreciation
Capital Outlay
Interest Expense
Bad debt Expen se
Total Operating Expenses
22.210
10.028
41.658
802
364.134
394 ,88 1
6 ,707
108.335
1.202
3,535.759
17.708
170.439
71,228
451.28 1
11.185.590
30 .928
508.514
2.679
32.958
3.036.947
3. 195.584
1,518.722
13.371,205
7.151
2,607.799
2.627.741
86,274
19,858.517
596.812
11.639,705
1,350.473
2.410.96 1
2. 168.909
1,092.205
115.240
177.869.803
11.563
NONOPERATING ACTIVITY
Gain (Loss) on Disposal of Assets. Net
Impairment Loss on Real Estate
Net No nope rating Activity
13 ,371.205
s
21.731 42 1
2.607.799
§
133. 153
s
70.499,686
6,661.848
6,399.750
1.821.718
28,331.967
151.917
878.695
61.369
1,731.719
14. 106.6 18
28.149
994.872
3,834.949
(2.179.649)
1556 .708)
(2 .890.053)
(8 .551. ·,67)
(1.874.278)
3.619.605
3.939.385
800.251
314.007
4,654.452
3,212.371
8,077.380
732,503
787.799
1,350.473
5.222.775
630,048
6.850.634
1.727.387
177.422.327
(7.095.250)
(421.459)
( 10.851.906)
(260.770)
(1.538861)
(64.896)
(36,284.997)
(1 6 1.503l
(606 ,267)
(18.667)
(624.9341
521. 148
(246,622)
(18,667)
(265 .289)
20,020,020
178.494 ,737
(36,so6.145 l
177.687.6 16
(161.503)
Total Expenses
CHANGE IN NET ASSETS
5,521.797
4,001.367
7,266
477.308
102.740
11.454
6 ,502
4.570
19.656
17.495
(1 ,874.278)
(367,191)
(3,337.590)
(7.095.250)
74.028
s
21781220
521.148
§
{955.008)
s
42.764 8 14
(53)
PRESTAMOS-00307633
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 170 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
ST ATEMENT OF FINANCIAL POSITION - CPLC BORROWING ENTITY
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
CPLC
CPLC
Commercia l
3,119,625
$
Tota ls before
Eliminations
Total
Eliminations
CURRENT ASSETS
Cash and Cash Equ ivalents
Receivables:
Grants and Contracts , Nel
lntercompany Recei vables
Accounts Receivable from Affiliates
Other Receivables
Note Receivable , Current
Prepaid Expenses
Tota l Current Assets
$
3,455,233
500,902
12,473,959
1,198,244
201 ,788
283 ,233
21,232,984
1,152,376
$
76,780
(20,916)
(9,307)
4,272,001
$
3,532 ,013
479,986
12,464,652
1,198,244
201 ,788
283,233
22 ,431 ,917
1,198,933
$
4,272,00 1
3,532,013
(479,986)
12,464,652
1,198,244
201 ,788
283 ,233
21,951,93 1
(479,986)
LONG-TERM ASSETS
Noles Receivable. Net
Real Eslale Properties - Rental , Net
Proper ty and Equ ipment - Net
Related Party Receivables, Net
Real Estate Held for Sale
Investments in Debt and Equity Securities
Investments in Affiliated Entiti es - Cost Method
Deposits and Funded Reserves
Other Assets
Total Long-Term Assets
2,197,902
2,197,902
20,973,188
24 ,999,086
2,197,902
20,973 ,188
24,999 ,086
56,994,609
104,445
10,652
21,088,285
10,898,451
4,625 ,744
13,864,071
513,800
10,652
78 ,082,894
10,898,451
4,625 ,744
13,864,071
513 ,800
10,652
78,082 ,894
$ 78,227,593
$ 22,287,218
$ 100,514,811
$
$
2,069,879
51,853
6,045,443
5,567,875
479,986
6,391,460
537,816
2,922,779
351,859
16 ,251,775
1,734,763
15,298, 104
17,032,867
7,255 ,054
7,255,054
1,734,763
22 ,553,158
24,287,921
Total Liabilities
27,239,199
13,300,497
40,539,696
NET ASSETS
Without Donor Restrictions
With Donor Restrictions
Total Net Assets
48,933,325
2,055,069
50 ,988,394
8,986 ,721
8,986,721
57 ,920,046
2,055,069
59 ,975 ,115
$ 78,227,593
$ 22,287,218
$ 100,514,811
Total Assets
20,973,188
24,999,086
10,898,451
4,625,744
13,864,071
409,355
(479,986)
$ 100,034 ,825
LIABILITIES AND NET ASSETS
CURRENT LIABILITIES
Accounts Payable and Accrued Ex penses
lntercompany Payables
Accounts Payable lo Affiliates
Lines of Cred it - Current Portion
Mortgages Pa yable and Other Debt, Current
Other Liabilities
Total Current Liabilities
$
5,353,498
(20 ,916)
3, 183,028
537,816
852,900
300,006
10,206,332
$
214,377
500,902
3,208,432
$
$
5,567,875
(479,986)
(479,986)
6,391 ,460
537 ,8 16
2,922 ,779
351,859
15,771 ,789
LONG-TERM LIABILITIES
Deferred Revenue , Long-Term Portion
Mortgages Payable and Other Debt, Net
Total Long-term Liabilities
Total Liabilities and Net Assets
1,734,763
22,553 ,158
24,287,921
(479 ,986)
40,059,710
57,920 ,046
2,055 ,069
59,975, 11 5
$
(479,986)
$ 100,034,825
(54)
PRESTAMOS-00307634
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 171 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES-CPLC BORROWING ENTITY
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
CPLC
Com mercia l
CPLC
REVENUES
Contract Revenues:
Grants and Contracts
Cost Reimbursement
Fee for Service
Tota l Contract Revenues
Noncontract Revenues :
Rental Income
Developm ent Fees
Cli ent Fees
Donations
Fundraising
In-kind
Sales of In ventory
Other Revenues
Tota l Noncontract Revenues
Other Revenues
Di vidend Income
Investment Income (Loss)
Interest Income
Tota l other Revenues
$
7,977,170
42,416,137
13,708,054
64 ,101,361
32 ,968
$
Tota ls before
Eliminations
$
32,968
1,641 ,476
8,010 .138
42,4 16 ,137
13,708,054
64,134 ,329
35,428
1,676 ,904
1,663,570
511 ,930
1,745,356
15,805,59 1
589 ,291
1,356 ,948
(874 ,950)
9,318 ,946
30 ,116,682
87 ,636
2,458,772
117,137
2,663 ,545
Total
Eliminations
$
$
(1,222 ,383)
8,010 ,138
42 ,416 ,137
13,708,054
64 ,134 ,329
(1,222 ,383)
441 ,187
511 ,930
1,745,356
15,805,591
589,29 1
1,356,948
(874 ,950)
9,318,946
28,894 ,299
13
13
87,636
2,458,772
117,150
2,663 ,558
(52,454)
(52 ,454)
87,636
2,458,772
64 ,696
2,6 11 ,104
95,204,684
1,709,885
96,914 ,569
(1,274 ,83 7)
95,639,732
OPERATING EXPENSES
Salaries and Wages
Payroll taxes
Fringe benefits
Professional fees
Management fees
Staff Development
Travel
Advertising and marketing
Ad mini strative Costs
Occupancy
Insurance and Taxes
Utili ty Expenses
Repairs and Maintenance
Office Expenses
Furniture and Fi xtures
Technology and Communications
Consuma bl e Supplies
Monetary Assistance
Miscellaneous
Program Construction
Dona ted Materials and Services
Depreciation
Capita l Outlay
Interest Expense
Bad Debt Expense (Recovery)
Tota l Operating Expenses
34 ,848,02 1
2,53 1,775
4,696,800
2,166,594
33,600
519,375
377,184
787,911
6,486,848
2,081 ,808
926,037
604,547
610,364
392,464
46,313
1,637,929
1,187,024
5,94 7,970
278,608
45,558
1,349,448
843,390
23,473
332,354
429,723
69,185,11 8
112,0 14
10 ,610
14,328
18 ,558
208,391
77
34,960 ,035
2,542 ,385
4,7 11 ,128
2,185,152
241 ,99 1
519,452
377,184
788,318
6,486 ,848
2,081 ,808
1,353.464
743 ,724
814,995
392 ,464
46 ,313
1,651,804
1,187,024
5,980 ,938
312,143
45,558
1,349,448
1,703,458
23,473
610,505
439,683
71 ,549,295
NONOPERATING ACTIVITY
Gain/Loss on Sale of Assets , Net
Impairment Loss on Real Estate
Net Nonoperating Activity
57,402
(18,667)
38,735
(103,132)
(103 ,132)
(45,730)
(18,667)
(64 ,39 7)
69,146,383
2,467 ,309
71,613 ,692
22,094
511,930
1,74 5,356
15,805,591
589,29 1
1,356,948
(874,950)
9,283,518
28,439,778
Tota l Revenues
Tota l Expenses
CHANGES IN NET ASSETS
$
26 058,30 1
407
427,427
139,177
204 ,63 1
13,875
32 ,968
33 ,535
860 ,068
278 ,151
9,960
2,364 ,177
$
(757,424)
$
25 300 877
34 ,960 ,035
2,542 ,385
4,711 ,128
2,185,152
241 ,991
519,452
377,184
788,318
6,486 ,848
859,425
1,353 ,464
743,724
814,995
392 ,464
46,313
1,651 ,804
1,187,024
5,980 ,938
312 ,143
45,558
1,349,448
1,703,458
23,473
558,05 1
439,683
70,274 ,458
(1,222 ,383)
(52 ,454)
(1,274 ,837)
(45,730)
(18,667)
(64 ,397)
(1,274 ,837)
$
70,338,855
$
25 300 877
(55)
PREST AMOS-00307635
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 172 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES-CPLC COMMUNITY SCHOOLS
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
Toltecalli High
School
REVENUE
Grants and Contracts
Donation
Other Revenue
Total Revenue
$
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Professional Fees
Staff Development
Travel
Advertising and Marketing
Administrative Costs
Occupancy
Insurance and Taxes
Utility Expenses
Office Expenses
Technology and Communication
Consumable Supplies
Monetary Assistance
Miscellaneous
Depreciation
Bad Debt Expense (Recovery)
Total Operating Expenses
CHANGE IN NET ASSETS
$
1,807,148
307
4,922
1,812,377
Total CPLC
Community
Schools
Envision High
School
$
926,730
650
1,195
928,575
$
2,733,878
957
6,117
2,740,952
638,383
47 ,014
105,131
136,602
13,849
356,022
25,447
44,701
124,003
8,361
994,405
72,461
149,832
260,605
22,210
310
223 ,736
215 ,870
1,991
17,496
4, 117
97 ,848
46,496
492
140,398
179,011
4,716
(1)
7,446
72 ,591
24 ,732
802
364,134
394,881
6,707
17,495
11 ,563
170,439
71,228
23 ,224
18,717
3,594
1,594,378
7,704
14,241
3,557
1,013,421
30,928
32 ,958
7,151
2,607,799
217 999
$
(84,846}
$
133 153
(56)
PREST AMOS-00307636
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 173 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF FINANCIAL POSITION -CPLC ESTANCIA LLC
JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT}
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Grants and Contracts Receivab le, Net
Prepaid Expenses
Tota l Current Assets
$
100,451
14,839
1,957
117,247
LONG-TERM ASSETS
Real Estate Properties - Renta l, Net
12,360,488
103,299
193,432
12,657,219
Other Assets , Net
Tota l Long-Term Assets
Tota l Assets
$
12 774 466
$
241 ,614
37 ,262
312,276
591,152
LIABILITIES AND NET ASSETS
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses
lntercompany Payables
Other Liabilities
Tota l Current Liabilities
LONG-TERM LIABILITIES
Mortgages Payable and Other Debt
14,303,219
Tota l Liabilities
14,894 ,371
NET ASSETS (DEFICITS)
Without Donor Restrictions
(2,119,905)
$
Total Liabi lities and Net Assets (Deficits)
12 774 466
(57)
PREST AMOS-00307637
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 174 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES-CPLC ESTANCIA LLC
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
REVENUE
Contract Revenues:
Grants and Contracts
Total Contract Revenues
$
Noncontract Revenue:
Rental Income
Other Revenues
Total Noncontract Revenue
130,832
130,832
2,553 ,637
455,224
3,008,861
Other Revenues :
Investment Income
113
Total Revenues
3,139,806
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Professional Fees
Management Fees
Staff Development
Property Administration
Trave l
Advertising and Marketing
Insurance and Taxes
Utility Expenses
Repairs and Maintenance
Office Expenses
Technology and Communication
Monetary Assistance
Miscellaneous
Depreciation
Interest Expense
Bad Debt Expense
Total Operating Expenses
426 ,350
45,471
79,864
54 ,016
237,892
5,890
9,074
961
75,201
155 ,142
617 ,589
728 ,256
8,332
7,595
140,108
191,489
505,619
290,037
33,752
3,612,638
$
CHANGES IN NET ASSETS (DEFICITS)
(472,832)
(58)
PRESTAMOS-00307638
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 175 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF FINANCIAL POSITION -CPLC FOUNTAIN VILLAS LLC
JUNE 30, 2021
(SEE INDEPENDENT AUD ITORS ' REPORT)
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Grants and Contracts Receivable , Net
Prepaid Expenses
Total Current Assets
$
LONG-TERM ASSETS
Real Estate Properties - Rental, Net
Deposits and Funded Reserves
Other Assets, Net
Total Long-Term Assets
114,391
597
956
115,944
5,390,535
298,726
38,403
5,727 ,664
Total Assets
$
5,843,608
$
53 ,219
13,618
58 ,510
125,347
LIABILITIES AND NET ASSETS (DEFICITS)
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses
lntercompany Payables
Other Liabilities
Total Current Liabilities
LONG-TERM LIABILITIES
Mortgages Payable and Other Debt
6,451 ,659
Total Liabilities
6,577 ,006
NET ASSETS (DEFICITS)
Without Donor Restrictions
(733,398)
Tota l Liabil ities and Net Assets (Deficits)
$
5,843 ,608
(59)
PREST AMOS-00307639
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 176 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES -CPLC FOUNTAIN VILLAS LLC
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT}
REVENUE
Contract Revenues :
Grants and Contracts
Total Contract Revenues
$
Noncontract Revenue:
Rental Income
Other Revenue
Total Noncontract Revenue
19,136
19,136
996 ,062
99,033
1,095,095
Other Revenue :
Investment Income
235
Total Revenue
1,114,466
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Professional Fees
Management Fees
Staff Development
Property Adm inistration
Travel
Advertising and Marketing
Insurance and Taxes
Utility Expenses
Repairs and Maintenance
Office Expenses
Technology and Communication
Monetary Ass istance
Miscellaneous
Depreciation
Interest Expense
Bad Debt Expense
Total Operating Expenses
138,397
15,533
12,413
10,804
86 ,788
1,139
2,761
590
10,707
65 ,265
249,007
268 ,898
1,308
4,762
19,136
69 ,893
248,571
130,825
10,192
1,346 ,989
CHANGES IN NET ASSETS (DEFICITS)
$
(232 ,523)
(60)
PREST AMOS-00307640
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 177 of 202
CHICANOS POR LA CAUSA, INC . AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF FINANCIAL POSITION - LA CAUSA CONSTRUCTION, LLC
JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Accounts Receivable
lntercompany Receivables
Total Current Assets
$
LONG-TERM ASSETS
Property and Equipment
Other Assets
Total Long-Term Assets
322,150
527 ,702
536 ,160
1,386 ,012
6,676
143,284
149,960
Total Assets
$
1 535 972
$
578 ,795
2,752,429
LIABILITIES AND NET ASSETS (DEFICITS)
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses
lntercompany Payables
Tota l Liabilities
3,331,224
NET ASSETS (DEFICITS)
Without Donor Restri ctions
(1 ,795 ,252)
Total Liabilities and Net Assets (Deficits)
$
1 535 972
(61)
PRESTAMOS-00307641
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 178 of 202
•
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES- LA CAUSA CONSTRUCTION, LLC
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
REVENUE
Fee for Service Revenue:
Construction Revenue
Total Revenue
$
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Contractor Expense
Staff Development
Travel
Administrative Costs
Occupancy
Insurance and Taxes
Office Expenses
Technology and Communication
Monetary Assistance
Miscellaneous
Depreciation
Total Operating Expenses
3,874,565
3,874,565
713 ,181
67,508
88,418
4,001,367
11,338
3,660
188,147
14,218
238,642
10,537
15,680
25,000
15 ,512
924
5,394,132
$
CHANGES IN NET ASSETS (DEFICITS)
(1,519,567)
(62)
PREST AMOS-00307642
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 179 of 202
•
...
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF FINANCIAL POSITION CPLC NEW MEXICO, INC.
JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT}
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Grants and Contracts Receivab le, Net
Notes Receivab le
lntercompany Rece ivables
Other Receivables
Tota l Current Assets
$
23 ,184
891,255
97 ,536
22,432
383
1,034,790
LONG-TERM ASSETS
Property and Equipment
Investments
Investments in Affiliated Entities - Equity Method
Total Long-Term Assets
713 ,566
1,508,288
2,221 ,854
Total Assets
$
3 256 644
$
376,645
2,195,580
2,572,225
LIABILITIES AND NET ASSETS
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses
lntercompany Payables
Total Current Liabilities
LONG-TERM LIABILITIES
Mortgages Payable and Other Debt, Net
250,000
Total Liabilities
2,822 ,225
NET ASSETS
Without Donor Restri ctions
434,419
~
Total Liabilities and Net Assets
3,256,644
(63)
PREST AMOS-00307643
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 180 of 202
.. •
CHICANOS POR LA CAUSA, INC . AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES - CPLC NEW MEXICO, INC.
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
REVENUE
Contract Revenue:
Grants and Contracts
Fee for Service
Total Contract Revenue
$
117,088
3,423 ,687
3,540 ,775
Noncontract Revenue:
Cl ient Fees
Donations
Unrea lized Loss in Investment in Affiliated Entities
Tota l Noncontract Revenue
182,500
20,000
6,797
209,297
Other Revenue:
Investment Income
Dividend Income
Total Other Revenue
(69,029 )
75 ,000
5,971
3,756 ,043
Total Revenue
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Professiona l Fees
Staff Development
Travel
Advertising and Marketing
Adm inistrative Costs
Occupancy
Insurance and Taxes
Util ity Expenses
Repairs and Maintenance
Office Expenses
Technology and Communication
Miscellaneous
Depreciation
Bad Debt Expense
Tota l Operating Expenses
468,808
40 ,315
35 ,675
2,944,596
150
24 ,846
463
122,827
69 ,167
15,025
7,201
3,371
2 ,828
13,988
18,308
55,643
13,055
3,836 ,266
NONOPERATING ACTIVITY
Gain (Loss) on Sale of Assets
9,107
CHANGES IN NET ASSETS
$
(7 1,116)
(64)
PRESTAMOS-00307644
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 181 of 202
•
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF FINANCIAL POSITION - CPLC NEVADA, INC.
JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT}
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Grants and Contracts Receivable, Net
lntercompany Receivables
Other Assets
$
137,337
920,801
63,275
4,800
5,200
1,131,413
Prepaid Expenses
Total Current Assets
LONG-TERM ASSETS
Property and Equipment
Investments in Affiliated Entities - Equity Method
Total Long-Term Assets
22,759
383,252
406 ,011
Total Assets
$
1 537 424
$
345,760
1,186,529
1,532,289
LIABILITIES AND NET ASSETS (DEFICITS)
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses
lntercompany Payables
Tota l Current Liabilities
NET ASSETS (DEFICITS)
Without Donor Restrictions
With Donor Restrictions
Total Net Assets
(62,057)
67,192
5,135
$
Total Liabilities and Net Assets (Deficits)
1 537 424
(65)
PRESTAMOS-00307645
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 182 of 202
•
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES-CPLC NEVADA, INC.
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
REVENUE
Contract Revenue:
Grants and Contracts
Cost Reimbursement
Fee for Service
Total Contract Revenue
$
Noncontract Revenue:
Client Fees
Donation
In-Kind
Other Revenue
Total Noncontract Revenue
5,545 ,084
583,086
68 ,895
6,197,065
11,853
19,500
1,025
616
32,994
Total Revenue
6,230,059
OPERATING EXPENSES
Salaries and Wages
Payroll Ta xes
Fringe Benefits
Professional Fees
Management Fees
Staff Development
Travel
Advertising and Marketing
Administrative Costs
Occupancy
Insurance and Taxes
Utility Expenses
Repa irs and Maintenance
Office Expenses
Furniture and Fixtures
Technology and Communication
Consumable Supplies
Monetary Assistance
Miscellaneous
Program Construction
Donated Materials and Services
Depreciation
Capital Outlay
Total Operating Expense/Recovery
2,669,040
310 ,596
265 ,699
222,626
2,743
21,494
17,449
35 ,223
627 ,628
63,810
5 ,536
5,346
12,209
79,696
7,526
53 ,225
9,785
224 ,123
13,139
2,780
1,025
7 ,227
1,538,861
6,196,786
CHANGES IN NET ASSETS (DEFICITS)
$
33 273
(66)
PRESTAMOS-00307646
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 183 of 202
•
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF FINANCIAL POSITION -CPLC TEXAS, INC.
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Grants and Contracts Receivable , Net
lntercompany Receivables
Total Current Assets
8,407 ,364
3,246,853
134
1,282,905
12,937,256
LONG-TERM ASSETS
Property and Equipment
Total Long-Term Assets
736 ,032
736 ,032
$
Prepaid Expenses
Total Assets
$
13,673,288
$
6,431 ,999
42 ,219
6,474 ,218
LIABILITIES AND NET ASSETS (DEFICITS)
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses
lntercompany Payables
Total Current Liabilities
NET ASSETS (DEFICITS)
Without Donor Restrictions
7,199,070
Total Liabilities and Net Assets (Deficits)
$
13,673,288
(67)
PRESTAMOS-0030764 7
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 184 of 202
•
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES-CPLC TEXAS, INC.
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
REVENUE
Contract Revenue:
Grants and Contracts
Cost Reimbursement
Fee for Service
Total Contract Revenue
$
Noncontract Revenue:
Other Revenue
Total Noncontract Revenue
10,694
39 ,346,073
43 ,225 ,818
82 ,582,585
19
19
82,582,604
Total Revenue
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Professional Fees
Staff Development
Travel
Advertising and Marketing
Administrative Costs
Occupancy
Insurance and Taxes
Repairs and Maintenance
Office Expenses
Furniture and Fixtures
Technology and Communication
Consumable Supplies
Monetary Assistance
Miscellaneous
Depreciation
Capital Outl ay
Bad Debt Expense (Recovery)
Tota l Operating Expenses
24,977 ,268
3,088 ,226
348 ,303
21,754,349
210,750
1,230,961
12,874,110
23,868
65 ,050
430,407
126,011
160,428
258 ,699
2,443 ,839
1,925 ,099
4 ,658 ,015
115,749
31 ,894
606 ,575
9 ,912
75,339 ,513
CHANGES IN NET ASSETS (DEFICITS)
$
7 243 091
(68)
PRESTAMOS-00307648
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 185 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF FINANCIAL POSITION - CPLC CALIFORNIA, INC.
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT}
ASSETS
Cash and Cash Equivalents
Total Assets
$
350,000
$
350 000
$
14,045
350,000
364 ,045
LIABILITIES AND NET ASSETS (DEFICITS)
LIABILITIES
Accounts Payable and Accrued Expenses
lntercompany Payables
Total Liabilities
NET ASSETS (DEFICITS)
(14,045)
Without Donor Restrictions
$
Total Liabilities and Net Assets (Deficits)
350 000
(69)
PRESTAMOS-00307649
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 186 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES - CPLC CALIFORNIA, INC.
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
REVENUE
$
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Travel
Furniture and Fixtures
Total Operating Expenses
6,885
730
4,510
1,846
74
14 ,045
CHANGES IN NET ASSETS (DEFICITS)
$
(14,045)
(70)
PRESTAMOS-00307650
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 187 of 202
t
A
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF FINANCIAL POSITION - CPLC FREEMONT APARTMENTS, LLC
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents
Grants and Contracts Receivable , Net
Prepaid Expenses
Total Current Assets
136,838
19,027
2,244
158,109
$
LONG-TERM ASSETS
Real Estate Properties - Rental , Net
Other Assets , Net
Total Long-Term Assets
6,488 ,309
20,982
6,509 ,291
Total Assets
$
6 667 400
$
11,129
150,591
26 ,898
188,618
LIABILITIES AND NET ASSETS (DEFICITS)
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses
lntercompany Payables
Other Liabilities
Tota l Current Liabilities
LONG-TERM LIABILITIES
Mortgages Payable and Other Debt
6,517 ,342
Total Liabilities
6,705 ,960
NET ASSETS (DEFICITS)
Without Donor Restrictions
(38,560)
$
Total Liabilities and Net Assets (Deficits)
6 667 400
(71)
PREST AMOS-00307651
-
Case 5:21-cv-04337-JMG
Document 84-2
Filed 10/13/23
Page 188 of 202
CHICANOS POR LA CAUSA, INC. AND SUBSIDIARIES AND AFFILIATES
STATEMENT OF ACTIVITIES - CPLC FREEMONT APARTMENTS, LLC
YEAR ENDED JUNE 30, 2021
(SEE INDEPENDENT AUDITORS' REPORT)
REVENUE
Noncontract Revenue:
Rental Income
Other Revenue
$
Total Revenue
71,684
706
72,390
OPERATING EXPENSES
Salaries and Wages
Payroll Taxes
Fringe Benefits
Professional Fees
Staff Development
Property Administration
Travel
Insurance and Taxes
Utility Expenses
Repairs and Maintenance
Office Expenses
Technology and Communication
Miscel laneous
Depreciation
Interest Expense
Total Operating Expenses
4,950
507
821
236
189
76
4,674
4,090
9,907
9,138
158
520
53
37,283
11 ,030
83,632
NONOPERATING ACTIVITY
Gain (Loss) on Sale of Assets
Net Nonoperating Activity
(27,318)
(27,318)
$
CHANGES IN NET ASSETS (DEFICITS)
(38,560}
(72)
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EXHIBIT 13
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IN THE UNITED STATES DISTRICT COURT
FOR THE EASTERN DISTRICT OF PENNSYLVANIA
ALICIA MARSHALL, DANIEL
PRONSKY, PARIS TOWNSEND,
NANCILEE HOLLAND, LEONA
OWSLEY, KOLAWOLE AHMADOU,
KIANA DERVIN, KRISTINA
HENDERSON, DUSTIN INNIS, KELLY
STALNAKER and JAMIE JONES,
individually and on behalf of all others
similarly situated,
Plaintiffs,
v.
PRESTAMOS CDFI, LLC and
CHICANOS POR LA CAUSA, INC.,
Defendants.
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Case No. 5:21-cv-04337-JMG
DEFENDANT CHICANOS POR LA CAUSA, INC.’S OBJECTIONS AND RESPONSES
TO PLAINTIFFS’ FIRST SET OF REQUESTS FOR ADMISSION
Defendant Chicanos Por La Causa, Inc. (“CPLC”), by and through its undersigned counsel,
hereby objects and responds to the First Set of Requests for Admission (the “Requests”)
propounded by Plaintiffs Alicia Marshall, Daniel Pronsky, Paris Townsend, Nancilee Holland,
Leona Owsley, Kolawole Ahmadou, Kiana Dervin, Kristina Henderson, Dustin Innis, Kelly
Stalnaker and Jamie Jones (collectively, “Plaintiffs”), as follows:
GENERAL OBJECTIONS
CPLC states the following General Objections to the Requests:
1. CPLC objects to the Requests, including the instructions and definitions provided
therewith, to the extent they purport to impose any obligation greater than, or inconsistent with,
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that required by the Federal Rules of Civil Procedure and the Local Rules for the Eastern District
of Pennsylvania.
2. CPLC objects to the Requests, including the definitions and instructions provided
therewith, to the extent they seek to alter or exceed the scope of the obligations placed on CPLC
by applicable law, court rules, an/or court orders, including any obligations CPLC may have to
supplement or amend its responses.
3. CPLC objects to the Requests to the extent they seek CPLC’s litigation strategy, or
information prepared in anticipation of litigation or in preparation for trial, or information
protected by the attorney-client privilege, the attorney work product doctrine, and/or other
applicable privileges and immunities. The inadvertent disclosure of privileged information or the
release of privileged documents shall not constitute a waiver of any privilege.
4. CPLC objects to the definitions of the terms “you” and “your,” including all variations
thereof, and to the Requests using those terms, as being overbroad, unduly burdensome, and
requiring CPLC to undertake an unreasonable investigation.
5. CPLC further objects to the Requests’ use of the terms “you” and “your,” including all
variations thereof, to the extent the Request is directed to CPLC in its capacity as a service provider
for Prestamos CDFI, LLC pursuant to the Intercompany Services Agreement between CPLC and
Prestamos.
6. CPLC objects to the Requests to the extent they seek information that is not relevant to any
claim or defense, nor proportional to the needs of the case. CPLC expressly reserves the right to
object to the introduction into evidence at trial, or upon the record at any stage of this litigation, of
information or documents subject to any objection contained herein. By responding to the
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Requests, CPLC does not concede the relevance or admissibility of the information requested, nor
does it adopt Plaintiffs’ legal characterizations of terms and words used herein.
7. CPLC objects to the Requests to the extent they are overbroad, vague, ambiguous, unduly
burdensome, and/or duplicative.
8. CPLC objects to the Requests to the extent they seek information already known, or seek
information equally accessible to Plaintiffs or already in Plaintiffs’ possession, custody or control,
or to the extent the Requests are related to or purport to require the production or identification of
documents, writings, records, or publications in the public domain since such information is
equally available to Plaintiffs.
9. CPLC objects to the Requests to the extent they seek PPP-related data or information
derived thereof that has been compiled and published by the SBA since such information is equally
available to Plaintiffs.
10. CPLC objects to the Requests on the grounds of vagueness and overbreadth to the extent
Plaintiffs did not provide definitions of key operative terms or phrases and have otherwise failed
to delineate the scope or meaning of each Request.
11. To the extent that the information sought could be more readily and/or appropriately
obtained through depositions or other means, CPLC objects to the Requests as unduly burdensome,
redundant, and harassing.
12. CPLC objects to the Requests to the extent they lack foundation and/or assume facts not of
record.
13. CPLC objects to the Requests to the extent they require CPLC to make a conclusion based
on law, statute, regulation, or rule. CPLC’s responses shall not be construed as providing or
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accepting a legal conclusion concerning the meaning or application of any of the terms used in the
Responses.
14. CPLC objects to the Requests to the extent they seek confidential, proprietary, trade secret,
financial, or commercially sensitive business information.
15. A specific reference to a particular general objection in the following responses is not
intended to exclude the application of other general objections to that response or one of the general
objections to other responses. To the extent CPLC responds to a Request to which it objects, such
objections are not waived.
16. CPLC does not make any representations in its responses other than those clearly
articulated herein. CPLC therefore objects to any and all efforts on the part of Plaintiffs to further
read or ascribe any representations, meanings, etc., to CPLC’s statements, or lack of statements,
in its responses.
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RESPONSES TO REQUESTS FOR ADMISSION
1. Admit that You are not an authorized PPP lender.
RESPONSE:
CPLC objects to Request No. 1 on the grounds that the term “authorized PPP lender” is
vague, ambiguous, and undefined. CPLC further objects to the use of the word “lender” as vague
and unintelligible in this context in light of the definition Plaintiffs have provided for this term.
CPLC also objects to Request No. 1 to the extent that it seeks the admission concerning a question
of law.
Subject to and without waiving the foregoing Objections, CPLC denies Request No. 1.
2. Admit that both Your employees and Prestamos’s employees used the “cplc.org”
email domain during the relevant period.
RESPONSE:
CPLC objects to Request No. 2 on the grounds that the term “email domain” is vague,
ambiguous, and undefined.
Subject to and without waiving the foregoing Objections, CPLC admits request No. 2.
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3. Admit that You refer to Yourself as “CPLC Prestamos” on Your website and that
You refer to Yourself and Prestamos as “CPLC Prestamos” in Your Annual Report for the
fiscal year 2019-2020.
RESPONSE:
CPLC objects to Request No. 3 on the grounds that the terms “website” and “Annual Report
for the fiscal year 2019-2020” are vague, ambiguous, and undefined. CPLC further objects to this
Request on the grounds that it is overbroad and unduly burdensome.
Subject to, and without waiving the foregoing Objections, CPLC denies that it refers to
itself as “CPLC Prestamos” on its website or in its FY19 – 20 Annual Report: A Chance to Change
the World, but admits that it refers to Prestamos as “CPLC Prestamos” on the website and in the
Annual Report.
4. Admit that “the Organization” as is used in Your June 30, 2021 financial statements
includes You and Prestamos.
RESPONSE:
CPLC objects to Request No. 4 on the grounds that the term “June 30, 2021 financial
statements” is vague, ambiguous, and undefined. CPLC further objects to this Request on the
grounds that it is overbroad and unduly burdensome.
Subject to and without waiving the foregoing Objections, CPLC admits that the document
titled “Chicanos Por La Causa, Inc. and Subsidiaries and Affiliates – Consolidated Financial
Statements and Supplementary Information – Year Ended June 30, 2021” refers collectively to
CPLC and each of its various subsidiaries and affiliates, among them Prestamos, as “the
Organization.”
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5. Admit that You obtained and received PPP loan processing fees from Prestamos and
reported those fees as revenue in Your Form 990s.
RESPONSE:
CPLC objects to Request No. 5 on the grounds that the term “received” and “PPP loan
processing fees” are vague, ambiguous, and undefined, as is the term “Form 990” insofar as it fails
to specify the filing year.
Subject to and without waiving the foregoing Objections, CPLC denies Request no. 5.
6. Admit that You Communicated with individual PPP borrowers regarding their PPP
loans which designated Prestamos as lender.
OBJECTION:
CPLC objects to Request No. 6 on the grounds that the term “individual PPP borrowers”
and “PPP loans which designated Prestamos as lender” are vague, ambiguous, and undefined.
CPLC further objects to this Request on the grounds that it is overbroad and unduly burdensome.
CPLC further objects to the use of the word “lender” as vague and unintelligible in this context in
light of the definition Plaintiffs have provided for this term.
Subject to and without waiving the foregoing Objections, CPLC denies Request No. 6.
7. Admit that You Communicated with Blueacorn regarding PPP loans which
designated Prestamos as lender.
RESPONSE:
CPLC objects to Request No. 7 on the grounds that the term “PPP loans which designated
Prestamos as lender” is vague, ambiguous, and undefined. CPLC further objects to this Request
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on the grounds that it is overbroad and unduly burdensome. CPLC further objects to the use of the
word “lender” as vague and unintelligible in this context in light of the definition Plaintiffs have
provided for this term.
Subject to and without waiving the foregoing Objections, CPLC denies Request No. 7.
8. Admit that You Communicated with the SBA regarding PPP loans which designated
Prestamos as lender.
RESPONSE:
CPLC objects to Request No. 8 on the grounds that the term “PPP loans which designated
Prestamos as lender” is vague, ambiguous, and undefined. CPLC further objects to this Request
on the grounds that it is overbroad and unduly burdensome. CPLC further objects to the use of the
word “lender” as vague and unintelligible in this context in light of the definition Plaintiffs have
provided for this term.
Subject to and without waiving the foregoing Objections, CPLC denies Request No. 8.
9. Admit that You Communicated with the Federal Reserve Bank of Cleveland or other
Federal Reserve office regarding PPP lending, including without limitation concerning
PPPLF loan advances that Prestamos obtained.
RESPONSE:
CPLC objects to Request No. 9 on the grounds that the terms “PPP lending” and “PPPLF
loan advances that Prestamos obtained” are vague, ambiguous, and undefined. CPLC further
objects to this Request on the grounds that it is overbroad and unduly burdensome.
Subject to and without waiving the foregoing Objections, CPLC denies Request No. 9.
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10. Admit that David Adame, Alicia Nunez, and Max Gonzales were officers of CPLC
and also simultaneously the sole members of Prestamos’s governing board or Board
of Directors.
RESPONSE:
Prestamos objects to Request No. 10 on the grounds that the terms “governing board,”
“Board of Directors,” and “simultaneously” are vague, ambiguous, and undefined.
Subject to and without waiving the foregoing Objections, Prestamos admits that David
Adame, Alicia Nunez, and Max Gonzales are officers of CPLC and that they comprise the “Board
of Directors” of Prestamos as that term is used Prestamos’s operative operating agreement.
11. Admit that You have sent Prestamos’s PPP loan borrowers emails demanding
payment or repayment of certain PPP loan proceeds and interest on those loans.
RESPONSE:
CPLC objects to Request No. 11 on the grounds that the terms “Prestamos’s PPP loan
borrowers” and “certain PPP loan proceeds” are vague, ambiguous, and undefined. CPLC further
objects to this Request on the grounds that it is overbroad and unduly burdensome.
Subject to and without waiving the foregoing Objections, CPLC denies Request No. 11.
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12. Admit that Jose Martinez simultaneously served as CPLC’s Executive Vice President
and Prestamos’s President when he executed the Notice – No Oral Agreements document
accompanying the PPP notes that Plaintiffs also executed.
RESPONSE:
Prestamos objects to Request No. 11 on the grounds that the term “simultaneously served”
is vague, ambiguous, and undefined. Prestamos further objects to Request No. 12 as vague and
ambiguous insofar as the term “also” suggests that the Request asks about notes other than those
that Plaintiffs executed. To the extent the Request asks about notes other than those that Plaintiffs
executed, it is overbroad and unduly burdensome
Subject to and without waiving the foregoing Objections, Prestamos denies Request no.
12.
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Case 5:21-cv-04337-JMG
Document 84-2
Dated: July 14, 2023
By:
Filed 10/13/23
Page 201 of 202
/s/ Marcel S. Pratt
Marcel S. Pratt (Pa. ID 307483)
Timothy D. Katsiff (Pa. ID 75490)
Thomas J. Gallagher IV (Pa. ID316269)
Alexa L. Levy (Pa. ID 327973)
BALLARD SPAHR LLP
1735 Market Street, 51st Floor
Philadelphia, PA 19103
T: 215-665-8500
F: 215-864-8999
PrattM@ballardspahr.com
KatsiffT@ballardspahr.com
GallagherT@ballardspahr.com
LevyA@BallardSpahr.com
HERRERA ARELLANO LLP
Roy Herrera*
Daniel A. Arellano*
Jillian L. Andrews*
Austin T. Marshall
1001 North Central Avenue, Suite 404
Phoenix, AZ 85004
T: 602-567-4820
Roy@ha-firm.com
Daniel@ha-firm.com
Jillian@ha-firm.com
Austin@ha-firm.com
*admitted pro hac vice
Attorneys for Defendants
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CERTIFICATE OF SERVICE
I hereby certify that on the 14th day of July, 2023, the undersigned counsel caused
true and correct copies of Defendant Defendant Prestamos CDFI, LLC’s Objections and
Responses to Plaintiffs’ First Set of Requests for Documents to be served on the following
counsel of record via electronic mail:
LAWRENCE J. LEDERER
Bailey & Glasser LLP
1055 Thomas Jefferson Street NW, Suite 540
Washington, DC 20007
llederer@baileyglasser.com
MICHAEL L. MURPHY
Bailey & Glasser LLP
1055 Thomas Jefferson Street NW, Suite 540
Washington, DC 20007
mmurphy@baileyglasser.com
Attorney for Plaintiffs
PATRICIA M. KIPNIS
Bailey & Glasser LLP
1055 Thomas Jefferson Street NW, Suite 540
Washington, DC 20007
pkipnis@baileyglasser.com
Attorney for Plaintiffs
JUSTIN A. HELLER
Nolan Heller Kauffman LLP
80 State Street, 11th Floor
Albany, NY 12207
jheller@nhkllp.com
Attorney for Plaintiffs
MATTHEW M. ZAPALA
Nolan Heller Kauffman LLP
80 State Street, 11th Floor
Albany, NY 12207
mzapala@nhkllp.com
Attorney for Plaintiffs
Dated: July 14, 2023
/s/ Marcel S. Pratt
Marcel S. PrattFile and source
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