Watchdog Watch
December 17, 1998 | Read Time: 7 minutes
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 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; http://www.bbb.org; and the National Charities Information Bureau, 19 Union Square West, New York 10003; http://www.give.org.
BETTER BUSINESS BUREAU
American Bible Society, 1865 Broadway, New York 10023-9980; http://www.americanbible.org. Meets all standards.
American Health Assistance Foundation (Alzheimer’s Disease Research, National Glaucoma Research, National Heart Foundation, and Alzheimer’s Family Relief Program), 15825 Shady Grove Road, Suite 140, Rockville, Md. 20850; http://www.ahaf.org. As of September 22, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if A.H.A.F. meets its 23 standards.
American Kidney Fund, 6110 Executive Boulevard, Suite 1010, Rockville, Md. 20852; http://www.akfinc.org. Meets all standards.
American Society for the Prevention of Cruelty to Animals, 424 East 92nd Street, New York 10128; http://www.aspca.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 material is available; and c) the actual or anticipated portion of the sales or admission price to benefit the charitable organization or cause.
Catholic Relief Services, 209 West Fayette Street, Baltimore 21201-3443; http://www.catholicrelief.org. Meets all standards.
Jewish National Fund,42 East 69th Street, New York 10021. Does not meet the following standards: (1) that the organization provide an annual report that contains information on the organization’s financial activities, including total income and a breakdown of expenses, and financial position, including end-of-year assets; (2) that a reasonable percentage 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 per cent, 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, not to exceed 35 per cent of related contributions; (5) that total fund-raising and administrative costs be reasonable, not to exceed 50 per cent of total income; and (6) that the organization have an active governing board that, among other things, meets at least three times annually with a majority of its members in attendance on average; if the full board meets only once annually, the standard calls for majority attendance at this meeting and at least two executive-committee meetings.
Larry Jones International Ministries (also known as Feed the Children), P.O. Box 36, Oklahoma City 73101-0036 or 333 North Meridian, Oklahoma City 73107-6568; http://www.feedthechildren.org. Does not meet the standard calling for the organization to provide on request an annual report that contains information on the organization’s financial position, including end-of-year assets, or 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. The bureau notes that it is unable to verify compliance with the standard calling for the organization to establish and exercise controls over fund-raising activities conducted for its benefit by staff members, volunteers, consultants, contractors, and controlled or affiliated entities, including commitment to writing of all fund-raising contracts and agreements.
Memorial Sloan-Kettering Cancer Center, 1275 York Avenue, New York 10021; http://www.mskcc.org. Does not meet the standard calling for the organization to provide on request an annual report that contains information on its financial position, including end-of-year assets, or the standard calling for the organization’s financial statements to include a detailed schedule of expenses by natural classification, including salaries and postage, that presents the natural expenses incurred for each major program. The bureau notes that as of September 10, it did not receive complete information on the organization’s fund-raising activities or governing board, and is unable to determine if Memorial Sloan-Kettering Cancer Center meets 10 additional standards.
Miracle Flights (formerly known as the Angel Planes), 2756 North Green Valley Parkway, Suite 115, Green Valley, Nev. 89014-2100. As of August 12, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if Miracle Flights meets its 23 standards.
Missing Kids International, 6707 Old Dominion Drive, Suite 200, McLean, Va. 22101. As of September 24, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if M.K.I. meets its 23 standards.
Native American Heritage Association, 2475 West Chicago Street, Rapid City, S.D. 57702-2467. As of November 10, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if NAHA meets its 23 standards.
Southwest Indian Foundation, 100 West Coal Avenue, P.O. Box 86, Gallup, N.M. 87301. Does not meet the following standards: (1) that the organization provide on request an annual report that contains information on its governing body, including a board roster, financial activities, including total income and a breakdown of expenses, and financial position, including end-of-year assets; (2) that the organization substantiate on request its application of funds, in accordance with donor expectations, to the programs and activities described in solicitations; (3) that the organization establish and exercise adequate controls over disbursements; (4) that the organization substantiate on request that solicitations and informational materials, distributed by any means, are accurate, truthful and not misleading, both in whole and in part; and (5) that solicitations in conjunction with the sale of goods, services, or admissions identify at the point of solicitation a) the benefiting organization; b) a source from which written material is available; and c) the actual or anticipated portion of the sales or admission price to benefit the charitable organization or cause. The bureau notes that it is unable to verify compliance with the standard calling for solicitations and informational materials, distributed by any means, to be accurate, truthful, and not misleading, both in whole and in part.
United Children’s Fund, 1747 Pennsylvania Avenue, N.W., Suite 1000, Washington 20006. As of November 20, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if U.C.F. meets its 23 standards.
United Negro College Fund, 8260 Willow Oaks Corporate Drive, Fairfax, Va. 22031-4511; http://www.uncf.org. Meets all standards.
NATIONAL CHARITIES INFORMATION BUREAU
American Kidney Fund, 6110 Executive Boulevard, Suite 1010, Rockville, Md. 20852; http://www.akfinc.org. Meets all standards.
Amnesty International of the USA, 322 Eighth Avenue, New York 10001-4808; World-Wide Web http://www.amnesty-usa.org. Meets all standards.
Earthjustice Legal Defense Fund, 180 Montgomery Street, Suite 1400, San Francisco 94104. Meets all standards.
National Children’s Cancer Society, 1015 Locust, Suite 1040, St. Louis 63101. As of November 12, the organization had not provided sufficient information to prepare a regular report. Based on its 1997 annual financial report to the Pennsylvania Bureau of Charitable Organizations, including its I.R.S. Form 990, audited financial statements, and information forwarded by contributors or previously in the bureau’s files, the organization does not meet the standard calling for fund-raising expenses, in relation to fund-raising results, to be reasonable over time.
National Right to Work Legal Defense and Education Foundation,
8001 Braddock Road, Suite 600, Springfield, Va. 22160. Does not meet the following standards: (1) that the organization’s governing board have an individual attendance policy; (2) that the board have policy guidelines to avoid material conflicts of interest involving board or staff members; (3) that the board have a policy promoting pluralism and diversity within the organization’s board, staff, and constituencies; (4) that promotion, fund raising, and public information should describe accurately the organization’s identity, purpose, programs, and financial needs; (5) that the organization spend at least 60 per cent of annual expenses for program activities; and (6) that the organization insure that fund-raising expenses, in relation to fund-raising results, are reasonable over time.
Population Reference Bureau, 1875 Connecticut Avenue, N.W., Suite 520, Washington 20009; http://www.prb.org. Meets all standards.