Watchdog Watch

Following are summaries of recent reports by the Council of Better Business Bureaus’ Philanthropic Advisory Service and the National Charities Information Bureau.

Those two private organizations report on whether charities meet standards for fund raising, governance, financial management, and public information. The organizations do not approve or disapprove of charities, and they urge potential donors to evaluate the importance of variations from the standards. They also note that charities’ practices may change at any time.

For organizations that do not meet the standards, information is given only on those standards that are not met. Those organizations meet all the other standards.

Copies of the full reports are available from the Council of Better Business Bureaus, Philanthropic Advisory Service, 4200 Wilson Boulevard, Arlington, Va. 22203; World-Wide Web http://www.bbb.org; and the National Charities Information Bureau, 19 Union Square West, New York 10003; World-Wide Web http://www.give.org.

BETTER BUSINESS BUREAU

American Parkinson Disease Association, 1250 Hylan Boulevard, Suite 4B, Staten Island, N.Y. 10305. Meets all standards.

Children’s Aid International, 625 Broadway, Suite 915, P.O. Box 83220, San Diego 92138-3220. Does not meet the standard calling for the soliciting organization’s financial statements to present adequate information to serve as a basis for informed decisions, or the standard calling for the soliciting organization to substantiate on request its application of funds, in accordance with donor expectations, to the programs and activities described in solicitations. The bureau notes that as of December 12, it was unable to verify compliance with 11 other standards.

Environmental Defense Fund, 257 Park Avenue South, New York 10010. Meets all standards.

Habitat for Humanity International, 121 Habitat Street, Americus, Ga. 31709-3498. Meets all standards.

Mothers Against Drunk Driving, 511 East John Carpenter Freeway, Suite 700, Irving, Tex. 75062. Meets all standards.

National Alliance to End Homelessness, 1518 K Street, N.W., Suite 206, Washington 20004. Meets all standards.

National Audubon Society, 700 Broadway, New York 10003. Does not meet the standard calling for solicitations in conjunction with the sale of goods, services, or admissions to identify at the point of solicitation the actual or anticipated portion of the sales or admission price to benefit the charitable organization or cause.

National Mental Health Association, 1021 Prince Street, Alexandria, Va. 22314. Meets all standards.

Natural Resources Defense Council, 40 West 20th Street, New York 10011. Meets all standards.

Organ Transplant Fund, National Headquarters, 1102 Brookfield, Suite 202, Memphis 38119. Does not meet the following standards: (1) that the soliciting organization’s financial statements present adequate information to serve as a basis for informed decisions, including, but not limited to, expenses reported in categories corresponding to the descriptions of major programs and activities contained in the annual report, solicitations, and other informational materials; (2) that the soliciting organization substantiate on request its application of funds, in accordance with donor expectations, to the programs and activities described in solicitations; and (3) that the soliciting organization establish and exercise adequate controls over disbursements.

Shiloh International Ministries/Handicapped Children’s Services of America, 2507 D Street, La Verne, Cal. 91750. As of December 10, Shiloh International Ministries had not responded to the bureau’s request for current information about finances, programs, and governance. The bureau is unable to determine if Shiloh International Ministries meets its 23 standards.

United Cerebral Palsy Associations, 1660 L Street, N.W., Suite 700, Washington 20036-5602. Meets all standards.

NATIONAL CHARITIES INFORMATION BUREAU

AMC Cancer Research Center, 1600 Pierce Street, Lakewood, Colo. 80214. Meets all standards.

American Printing House for the Blind, 1839 Frankfort Avenue, P.O. Box 6085, Louisville, Ky. 40206-0085. Does not meet the following standards: (1) that the annual report include an explicit narrative description of the organization’s major activities, presented in the same major categories and covering the same fiscal period as the audited financial statements; (2) that the annual report include audited financial statements or, at a minimum, a comprehensive financial summary that a) identifies all revenues in significant categories, b) reports expenses in the same program, management, general, and fund-raising categories as the audited financial statements, and c) reports ending net assets; (3) that the organization provide on request complete financial statements that fully disclose economic resources and obligations, including transactions with related parties and affiliated organizations, sig nificant events affecting finances, and significant categories of income and expense; and (4) that the organization supply a statement of functional allocation of expenses, in addition to such statements required by generally accepted accounting principles, to be included among the financial statements.

Boy Scouts of America, (National Service Center only), 1325 West Walnut Hill Lane, P.O. Box 152079, Irving, Tex. 75015-2079. Meets all standards.

Camp Fire Boys and Girls, (National Service Center only), 4601 Madison Avenue, Kansas City, Mo. 64112. Meets all standards.

Cancer Research Fund of the Damon Runyon-Walter Winchell Foundation, 675 Third Avenue, 25th Floor, New York 10017. Does not meet the standard calling for the organization to have net assets available for use in the following fiscal year not usually more than twice the current year’s expenses or twice the next year’s budget, whichever is higher.

Chemotherapy Foundation, 183 Madison Avenue, Suite 403, New York 10016. As of December 3, the Chemotherapy Foundation had not responded with sufficient information for the bureau to prepare a regular report on the organization’s recent activities. Based on the Chemotherapy Foundation’s 1996 I.R.S. Form 990, and on information forwarded by contributors or previously in the bureau’s files, the Chemotherapy Foundation appears not to meet the standard calling for an organization’s governing board to have no material conflicts of interest involving board or staff members, and the standard calling for an organization to have net assets available for use in the following fiscal year not usually more than twice the current year’s expenses or twice the next year’s budget, whichever is higher.

National Cancer Center, 88 Sunnyside Boulevard, Suite 307, Plainview, N.Y. 11803. As of December 2, N.C.C. had not responded with sufficient information for the bureau to prepare a regular report on the organization’s recent activities. Based on N.C.C.’s fiscal 1996 annual report to the Pennsylvania Bureau of Charitable Organizations, including its I.R.S. Form 990 and audited financial statements, and on information forwarded by contributors or previously in the bureau’s files, N.C.C. appears not to meet the following standards: (1) that the organization’s governing board have specific terms of office for its officers and members; (2) that the organization spend at least 60 per cent of annual expenses for program activities; and (3) that the organization insure that fund-raising expenses, in relation to fund-raising results, are reasonable over time.

National Cancer Coalition, 320 Andover Park East, Seattle 98188. As of February 4, N.C.C. had not responded with sufficient information for the bureau to prepare a regular report on the organization’s recent activities. Based on N.C.C.’s 1996 Registration Statement filed with the Pennsylvania Bureau of Charitable Organizations, including its I.R.S. Form 990 and audited financial statements, and on information forwarded by contributors or previously in the bureau’s files, N.C.C. appears not to meet the standard calling for an organization to not have a persistent deficit in net current assets.

National Childhood Cancer Foundation, 440 East Huntington Drive, Suite 300, P.O. Box 60012, Arcadia, Cal. 91066-6012. Meets all standards.

Native American Heritage Association, 2475 West Chicago Street, Rapid City, S.D. 57702-2467. As of December 30, N.A.H.A. had not responded with sufficient information for the bureau to prepare a regular report on the organi zation’s recent activities. Based on N.A.H.A.’s 1996 Registration Statement filed with the Pennsylvania Bureau of Charitable Organizations, including its I.R.S. Form 990 and audited financial statements, and on information forwarded by contributors or previously in the bureau’s files, N.A.H.A. appears not to meet the following standards: (1) that the organization’s governing board have no more than one paid staff member, usually the chief staff officer, who shall not chair the board or serve as treasurer; (2) that the governing board have no material conflicts of interest involving board or staff members; (3) that promotion, fund-raising, and public information describe accurately the organization’s identity, purpose, programs, and financial needs; (4) that the organization spend at least 60 per cent of annual expenses for program activities; (5) that the organization insure that fund-raising expenses, in relation to fund-raising results, are reasonable over time; and (6) that the organization supply on request complete financial statements that are prepared in conformity with generally accepted accounting principles, accompanied by a report of an independent certified public accountant, and reviewed by the board.

Project Cure, 16801 Addison Road, Suite 207, Dallas 75248. As of December 3, Project Cure had not responded with sufficient information for the bureau to prepare a regular report on the organization’s recent activities. Based on Project Cure’s 1996 Registration Statement filed with the Pennsylvania Bureau of Charitable Organizations, including its I.R.S. Form 990 and audited financial statements, and on information forwarded by contributors or previously in the bureau’s files, Project Cure appears not to meet the following standards: (1) that the organization’s governing board have a minimum of five voting members; (2) that the board have no more than one paid staff member, usually the chief staff officer, who shall not chair the board or serve as treasurer; (3) that fund-raising practices encourage voluntary giving and not apply unwarranted pressure; (4) that the organization spend at least 60 per cent of annual expenses for program activities; (5) that the organization insure that fund-raising expenses, in relation to fund-raising results, are reasonable over time; (6) that the organization not have a persistent deficit in net current assets; and (7) that the organization supply on request complete financial statements that are prepared in conformity with generally accepted accounting principles, accompanied by a report of an independent certified public accountant, and reviewed by the board.

Rails-to-Trails Conservancy, 1100 17th Street, N.W., 10th Floor, Washington 20036. Does not meet the standard calling for the organization to spend at least 60 per cent of annual expenses for program activities, or the standard calling for the organization to insure that fund-raising expenses, in relation to fund-raising results, are reasonable over time.

Starlight Children’s Foundation, 12424 Wilshire Boulevard, Suite 1050, Los Angeles 90025-1044. Does not meet the standard calling for the organization’s governing board to have in-person, face-to-face meetings, at least twice a year, evenly spaced, with a majority of voting members in attendance at each meeting.

United States Committee for UNICEF, 333 East 38th Street, Sixth Floor, New York 10016. Meets all standards.