2024-10-23T18:38:18-07:00 2022-12-31 990 2022-01-01 274120722 SANTA BARBARA HACKER SPACE INC SANT 8052422533 5782 Thornwood Drive Goleta CA 93117 Michael Bales President 8052422533 2023-11-15 1 2022 2024-10-15 13:58:12Z michael bales 538 asilomar way 104 goleta CA 93117 107203 0 X sbhackerspace.com X 2010 CA Provide a fun and friendly setting for individuals to build, experiment and learn together, and to provide the community with access to space, tools and equipment. 5 5 0 6 0 0 106293 0 910 0 0 107203 0 0 0 0 0 103949 0 103949 0 3254 4127 8331 0 950 4127 7381 Provide a fun and friendly setting for individuals to build, experiment and learn together, and to provide the community with access to space, tools and equipment. 0 0 103949 0 107203 Maintained healthy membership level despite COVID-19. Started CNC Machining training to further non-profit purpose and also to bring in additional revenue. Maintained a healthy bottom line in a challenging time and continued to serve out members despite many setbacks. 0 0 0 103949 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 X 5 5 0 0 0 1 0 0 0 1 1 0 0 0 1 0 0 0 0 0 0 0 CA X Daniel Loman 8059018781 5782 Thornwood Drive Goleta CA 93117 X Michael Kapusick Member at Large 20 0 X 0 0 0 Garrett Holmstrom Secretary 5 0 X X 0 0 0 Nick Winters Member at Large 10 0 X 0 0 0 Daniel Loman Member at Large 10 0 X X 0 0 0 Michael Bales President 10 0 X X 0 0 0 0 0 0 0 0 0 0 0 0 70402 0 0 0 35891 0 106293 0 0 0 910 0 0 0 910 0 910 910 0 0 0 0 0 0 0 0 107203 910 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 12828 12828 0 0 0 0 87075 87075 0 0 0 0 0 0 1 1 0 0 0 0 4045 4045 103949 103949 0 0 0 0 4127 8331 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 4127 8331 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 950 0 0 950 X 4127 7381 0 0 4127 7381 4127 8331 X 3254 0 0 0 0 0 X 0 0 0 X 72097 100629 79855 92063 74008 418652 0 0 0 17696 12708 30404 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 72097 100629 79855 109759 86716 449056 0 0 0 12000 0 12000 0 0 0 0 0 0 0 0 0 12000 0 12000 437056 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 72097 100629 79855 109759 86716 449056 0.97328 0.97209 0 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED Form 990, Part VI, Section A, Line 5 To Whom It May Concern: On behalf of the Santa Barbara Hackerspace, I am providing this explanation regarding the discovery of diverted funds by our former Chief Financial Officer (CFO). Summary of the Incident: In 2022, it came to our attention that the former CFO had embezzled a total of $18,255.00 from the organization. This discovery was made during a routine audit and subsequent internal investigation. The funds were diverted over a period of time, and upon confirmation of the embezzlement, the individual in question was immediately removed from all duties and responsibilities within the organization. Repayment and Legal Actions: Following the discovery, we took swift legal action, resulting in a binding repayment agreement with the former CFO. As part of this agreement, he has been placed on a payment plan to repay the embezzled funds. To date, the former CFO has repaid $14,983.50, leaving an outstanding balance of $3,271.50. He has been making payments in a timely manner, and we anticipate that the remaining balance will be fully repaid according to the terms of the agreement. Measures Taken to Prevent Future Occurrences: To ensure that such an incident does not occur again, the following actions have been implemented: Strengthened Internal Controls: We have revised and strengthened our financial controls and oversight procedures, including more frequent audits and the segregation of financial duties among multiple staff members. Enhanced Monitoring: All financial transactions are now subject to increased scrutiny by our board of directors and an independent auditor. Policy Updates: We have updated our conflict of interest and financial management policies to provide clearer guidelines and stricter enforcement mechanisms. Conclusion: The Santa Barbara Hackerspace is committed to maintaining transparency and accountability in all of its operations. We deeply regret this incident and have taken all necessary steps to rectify the situation and prevent future occurrences. We appreciate your understanding and consideration in this matter. Sincerely, Michael Bales CEO Santa Barbara Hackerspace mbales@sbhackerspace.com Form 990, Part VI, Section B, Line 11b two board members review the form before submittal Form 990, Part VI, Section C, Line 19 upon request electronically Form 990, Part XI, Line 9 oustanding payment Reasonable Cause for Late Filing - Santa Barbara Hackerspace (Year 2022) To Whom It May Concern: On behalf of the Santa Barbara Hackerspace, I am writing to provide an explanation for the late filing of our Form 990 for the tax year 2022. We sincerely apologize for this delay and would like to explain the circumstances that led to this situation, demonstrating that it was due to reasonable cause and not willful neglect. Circumstances Leading to Late Filing: In 2022, the Santa Barbara Hackerspace experienced several unforeseen challenges that significantly impacted our ability to meet the filing deadline: Transition of Key Personnel: In early 2022, the organization underwent a significant transition in its leadership and administrative staff. Our Treasurer, who was primarily responsible for financial reporting and compliance, unexpectedly resigned due to personal reasons. This departure left us without immediate access to critical financial records and expertise necessary for the timely completion of the Form 990. Pandemic-Related Operational Disruptions: The lingering effects of the COVID-19 pandemic continued to disrupt our operations throughout 2022. Several of our key volunteers and staff members were affected by illness or had to prioritize personal health concerns, which further strained our ability to maintain regular operations, including our financial reporting processes. Delays in Gathering Financial Information: Due to the aforementioned personnel changes and operational disruptions, there were delays in gathering and verifying the necessary financial information required to complete the Form 990 accurately. We took immediate steps to address these issues by recruiting and training new staff, but this process took longer than anticipated. Corrective Actions Taken: Upon recognizing that we would not be able to meet the filing deadline, we took the following actions to mitigate the situation and prevent future occurrences: Engaged Professional Assistance: We engaged an external accounting firm with expertise in nonprofit financial reporting to assist us in gathering the necessary financial information and completing the Form 990. This ensured accuracy and compliance despite the delays. Implemented Internal Controls: We have since implemented stronger internal controls to ensure continuity in our financial reporting processes. This includes cross-training staff and establishing clearer documentation of procedures to prevent similar disruptions in the future. Unfortunately, due to the cumulative impact of the above factors, we were still unable to meet the extended deadline. Conclusion: We respectfully request that the IRS consider the reasonable cause outlined above when reviewing our late filing. The circumstances were beyond our control, and we have taken significant steps to ensure that our filings will be timely in the future. The Santa Barbara Hackerspace remains committed to full compliance with all IRS requirements. Thank you for your understanding and consideration. Sincerely, Michael Bales, CEO Santa Barbara Hackerspace mbales@sbhackerspace.com (951)-660-3380