OMB No 1545-0047 Form 990 Return of Organization Exempt from Income Tax 1 Under section 501 (c), 527, or 4947(axl) of the Internal Revenue Code 2004 (except black lung benefit trust or private foundation) Open to Public Department of the Treasu ry Internal Revenue S ervice ► The anlzatlon may have to use a copy of this return to satisfy state reporting requirements Inspection A For the 2004 calendar year, or tax year beginning July 1, , 2004 , and ending June 30, , 2005 B Check if applicable C Name of organization D Employer Identi fi cation Number Please use Address change IRS label Leake & Watts Services, Inc 13-1860451 or F riotP. Name change or . Number and street (or P O box if mad is not delivered to street addr) Room /suite E Telephone number See Initial return specific 463 Hawthorne Avenue (914) 375-8717 mstruc- town or count ZIP + 4 Accounting Final return lions City, �' State code F metho ❑ Cash Accrual Amended return Yonkers NY 10705 11 Other (specdy) l" ❑ Application pending • Section 501 (cx3) organizations and 4947(a)(1) nonexempt H andI are not applicable to section 527 organizations charitable trusts must attach a completed Schedule A H (a) Is this a group return for affdiates7 ❑ Yes X❑ No (Form 990 or 990-EZ). H (b) if 'Yes ,' enter number of affiliates G Web site: 0, www. leakeandwatts . org H (c) Are all affiliates included? ❑ Yes ❑ No J Organization type (If 'No.' attach a list See instructions ) (che c k on l y one ) X❑ 501 (c) 3 4 (insert no ) ❑ 4947 (a)( 1 ) or ❑ 527 H (d) is this a separate return filed by an K Check here 01 L] if the organization's gross receipts are normally not more than organization covered by a group rut ng 7 Yes FX] $25,000 The organization need not file a return with the IRS, but if the organization received a Form 990 Package in the mail , it should file a return without financial data I Group Exemption Number 111- Some states require a complete return . M Check ► If the organization is not required L Gross receipts Add lines 6b, 8b, 9b, and 1 Ob to line 12 01 7 8 , 4 2 0 , 8 3 9 . to attach Schedule B (Form 990, 990-EZ, or 990-PF). Pa rt I Revenue . Expenses . and Chances in Net Assets or Fund Balances (See Instructions) 1 Contributions, gifts, grants, and similar amounts received a Direct public support 1 a 706,790. b Indirect public support lb 60,000. c Government contributions (grants) 1 c d Total (add [inis la through lc) (cash $ 735, 030. noncash $ 31,760. ) 1 d 766,790. 2 Program service revenue including government fees and contracts (from Part VII, line 93) 2 59,139,967. 3 Membership dues and assessments 3 4 Interest on savings and temporary cash investments 4 5,133. 5 Dividends and interest from securities 5 544,937. 6a Gross rents 6a b Less- rental expenses 6b c Net rental income or (loss) (subtract line 6b from line 6a) 6c R 7 Other investment income (describe ) 7 E (A) Securities (B) Other v 8a Gross amount from sales of assets other N than inventory 17 910, 759. 8a E b Less cost or other basis and sales expenses 16, 598, 211. 8b c Gain or (loss) (attach schedule) A' p - A 1,312,548. 8 c d Net gain or (loss) (combine line 8c, columns (A) and (B)) 8d 1,312,548. 9 Special events and activities (attach schedule) If any amount is from gaming , check here 111- ❑ a Gross revenue (not includin $ 133,927. of contributions reported on Iln Pp.- A 9a 51, 143. b �cbt an fundraising expenses 9b 51, 143. c Net is s from lal events (subtract line 9b from line 9a) 9c 0. 10 s s s�s of Inve,{��, le � turns and allowances 10a L ITSold s: 000i oti 10b C s profit or (loss) fr InVen ry (attach schedule) (subtract line 10b from line 10a) 10c 11 t IPbtt 103) 11 2, 110 . 12 otal r nes 1 d, 2, 3, 4, 5, 6c, 7, 8d, 9c, 1 Oc, and 11 12 61,771,485. E 13 m services (from line 44, column (B)) 13 57,388,900. 14 P Management and general (from line 44, column (C)) 14 6,575,320. E N 15 Fundraising (from line 44, column (D)) 15 187,500. E 16 Payments to affiliates (attach schedule) 16 S 17 Total expenses (add lines 16 and 44, column (A)) 17 64, 151, 720. A 18 Excess or (deficit) for the year (subtract line 17 from line 12) 18 -2, 380,235. N S 19 Net assets or fund balances at beginning of year (from line 73, column (A)) 19 20, 122,252 . T T 20 Other changes in net assets or fund balances (attach explanation) 20 -430,436. S 21 Net assets or fund balances at end of year (combine lines 18, 19, and 20) 21 17,311,581. BAA For Privacy Act and Paperwork Reduction Act Notice , see the separate instructions. TEEA0101 01/07/05 Form 990 (2004) Forrx1990 2004) Leake & Watts Services, Inc 13-1860451 Page 2 Part 11 Statement of Functional Ex enses All organizations must complete column (A) Columns (B), (C), and (D) are required for section 501(c)(3) and (44) organizations and section 4947(a)(1) nonexempt charitable trusts but optional for others. amounts reported on line (B) Program (C) Management Do not include ( Fundraisin 6b, 8b, 9b, 10b, or 16 of Part / A) Total services and general (D) g 22 Grants and allocations (aft sch) (cash $ non-cash $ ) 22 23 Specific assistance to individuals (alt sch) A (Q A 23 5,431, 200. 5, 431, 200. 24 Benefits paid to or for members (aft sch) 24 25 Compensation of officers, directors , etc 25 718, 000. 133, 000. 585, 000. 0 . 26 Other salaries and wages 26 31, 500, 200. 28, 720, 200 2, 684, 500. 95,500. 27 Pension plan contributions 27 1, 136, 800. 1,012, 500. 120, 800. 3,500. 28 Other employee benefits 28 5, 128 , 100. 4, 559, 700. 553, 500. 14,900. 29 Payroll taxes 29 2, 514, 500. 2, 247, 600. 259, 500. 7,400. 30 Professional fundraising fees 30 31 Accounting fees 31 179, 000. 50,600. 128, 400. 0. 32 Legal fees 32 543, 300. 295, 900. 247, 400. 0 33 Supplies 33 1,844, 100. 1, 719, 500. 85, 400. 39,200. 34 Telephone 34 677, 800. 611, 400. 64,600. 1,800. 35 Postage and shipping 35 48,120. 29,920. 17,900. 300. 36 Occupancy 36 3, 426, 100. 3, 083, 100. 340, 000. 3,000. '37 Equipment rental and maintenance 37 467, 900. 427, 900. 39,300. 700. 38 Printing and publications 38 37,880. 21,980. 15, 500. 400. 39 Travel 39 807, 300. 706, 000. 99,400. 1,900. 40 Conferences , conventions, and meetings 40 41 Interest 41 3, 497, 700. 3, 058, 900. 434, 900. 3,900. 42 Depreciation , depletion , etc (attach schedule)Arr 4 42 2 , 070, 500. 1, 770, 300. 297, 600. 2,600. 43 Other expenses not covered above (itemize) a Insurance 43a 915,300 . 778,700. 133,500. 3,100. -------------- --- -- bOther _Professional App_ A_ 43b 2 , 597, 420. 2, 298, 200. 291, 020. 8,200. - --- -- --- ---- - cO t her _E_xpenses_ App-A_ _ _ _ 43c 610, 500. 432, 300. 177, 100. 1,100. d 43d ----- -- ------------ 43e e ------ - ---------- 44 Total functional expenses (add lines 22 - 43 Organizations completing columns (B) - (D� carry these totals to lines 13 - 15 44 64 ,151,720. 57,388,900. 6,575,320. 187,500. Joint Costs. Check '[ if you are following SOP 98-2 Are any joint costs from a combined educational campaign and fundraising solicitation reported in (B) Program services' -F] Yes © No If 'Yes,' enter (i) the aggregate amount of these j oint costs $ , (ii) the amount allocated to Program serv ices $ (iii) the amount allocated to Management and general $ , and (iv) the amount allocated to Fundraising $ Part III I Statement of Program Service Accomplishments What is the organization's primary exempt purpose? Tooperate child, familycare and community based progra_ms_ Program Service Expenses exempt (Required for 501(c)(3) and All organizations must describe their purpose achievements in a clear and concise manner State the number of 494organizations clients served, publications issued etc Discuss achievements that are not measurable (Section 501(c)(3) & (4) organ- , b� izations and 4947(a)(1) nonexempt charitable trusts must also enter the amount of grants & allocations to others) optional for others ) a Fostercare (FC) : Fostercare and Adoption Pros .Specialized FC with HIV or other health problems ------ - ----------- - Therapeutic FC for children with emotional, and behavioral problems, Community based group care-residences, --- ----------------- ---- -- ---- --- ------- Mother-Infants Pro -Independent Livin Pro and Clinical services. # Clients se rv ed #1707 (Grants and allocations $ 0. ) 30,744,200. b Education and Early Childhood Provide special education to residents and other community students in grades 1 to 12 Special education se rv ices-to children ages 3 to 5 Early childhood center for toddler and preschool children - # Clients served #948 (Grants and allocations $ 0. 20,542,900. c Community based: Adolescent offenders in secure detention ------ -----------------------------------Prog._Daycare and Headstart Proms -for children aces 3to5 Preventive services to children and families in the community ------- -------------------------------- when the child is at risk of placement in FC or returning to FC_ # Clients se rv ed #551 0_ (Gran ts and allocations 6,078,000. d OMRDD- Medicaid Service Coordination -------------------------- #clients served #7 -------------------------- ------------------------------------------------------ (Grants and allocations S 0.