Watchdog Watch
August 10, 2000 | Read Time: 5 minutes
Following are summaries of recent reports by the Council of Better Business Bureaus’ Philanthropic Advisory Service.
The service reports on whether charities meet standards for fund raising, governance, financial management, and public information. The service cautions that it does not approve or disapprove of charities, and it urges potential donors to evaluate the importance of variations from the standards. The service also notes 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; http://www.bbb.org.
ALSAC/St. Jude Children’s Research Hospital, 501 East St. Jude Place, Memphis 38105; http://www.stjude.org. Meets all standards.
American Children’s Safety Source, 5015 Tracy Street, Suite 100, Dallas 75205. 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 an accurate presentation of all fund-raising costs; (2) that a reasonable percentage, at least 50 percent, of total income from all sources be applied to programs and activities directly related to the purposes for which the organization exists; (3) that a reasonable percentage, at least 50 percent, of public contributions be applied to the programs and activities described in solicitations, in accordance with donor expectations; (4) that fund-raising costs be reasonable by not exceeding 35 percent of related contributions; (5) that total fund-raising and administrative costs be reasonable by not exceeding 50 percent of total income; and (6) that solicitations and informational materials, distributed by any means, be accurate, truthful, and not misleading, both in whole and in part.
American Parkinson Disease Association, 1250 Hylan Boulevard, Suite 4B, Staten Island, N.Y. 10305; http://www.apdaparkinson.com. Meets all standards.
Animal Protection Institute, 2831 Fruitridge Road, Sacramento, Calif. 95820; http://www.api4animals.org. 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 a) the benefiting organization, b) a source from which written information is available, and c) the actual or anticipated portion of the sales or admission price to benefit the charitable organization or cause.
Childreach/Plan International USA, 155 Plan Way, Warwick, R.I. 02886-1099; http://www.childreach.org. Meets all standards.
Don Stewart Association/Feed My People/Southwest Indian Children’s Fund, 11052 North 24th Avenue, Phoenix 85209. As of May 31, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if the organization meets its 23 standards.
Earthjustice Legal Defense Fund (formerly Sierra Club Legal Defense Fund), 180 Montgomery Street, Suite 1400, San Francisco 94104-4209; http://www.earthjustice.org. Does not meet the standard calling for the soliciting organization’s financial statements to include a detailed schedule of expenses by natural classification, presenting the natural expenses incurred for each major program and supporting activity.
Freedom From Fear, 308 Seaview Avenue, Staten Island, N.Y. 10305; http://www.freedomfromfear.org. As of June 5, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if FFF meets its 23 standards.
Heart Support of America, 4873 North Broadway, Knoxville, Tenn. 37918. As of May 31, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if HSA meets its 23 standards.
Medicalert Foundation, 2323 Colorado Avenue, Turlock, Calif. 95382; http://www.medicalert.org. As of June 6, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if Medicalert Foundation meets its 23 standards.
Memorial Sloan-Kettering Cancer Center, 1275 York Avenue, New York 10021; http://www.mskcc.org. Does not meet the standard calling for the soliciting organization to provide on request an annual report that contains information about the organization’s financial position, or the standard calling for the soliciting organization’s financial statements to include a detailed schedule of expenses by natural classification, presenting the natural expenses incurred for each major program and supporting activity. The bureau notes that it is unable to verify compliance with 12 other standards.
Mercy Corps International, 3030 S.W. First Avenue, Portland, Ore. 97201. Meets all standards.
Multiple Sclerosis Association of America, 706 Haddonfield Road, Cherry Hill, N.J. 08002; http://www.msaa.com. Does not meet the standard calling for a reasonable percentage, at least 50 percent, of total income from all sources to be applied to the programs and activities directly related to the purposes for which the organization exists.
National Cancer Coalition, 320 Andover Park East, Suite 245, Seattle 98188. As of May 15, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if NCC meets its 23 standards.
National Children’s Leukemia Foundation, 233 Broadway, Suite 818, New York 10279. As of May 15, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if NCLF meets its 23 standards.
National Easter Seal Society, 230 West Monroe Street, Suite 1800, Chicago 60606. Meets all standards.
Pax, 801 Second Avenue, Suite 1400, New York 10017; http://www.paxusa.org. 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, including, but not limited to, expenses reported in categories corresponding to the description of major programs and activities contained in the annual report, solicitations, and other informational materials, and a detailed schedule of expenses by natural classification, presenting the natural expenses incurred for each major program and supporting activity; or the standard calling for the soliciting organization to have an active governing body that, among other things, meets at least three times a year, with a majority of members in attendance on average. The bureau notes that it is unable to verify compliance with four other standards.