Watchdog Watch

December 2, 1999 | Read Time: 6 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

America’s Second Harvest (formerly Second Harvest), 116 South Michigan Avenue, Suite Four, Chicago 60603; http://www.secondharvest.org. Meets all standards.

Anti-Defamation League, 823 United Nations Plaza, New York 10017; http://www.adl.org. Does not meet 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 it is unable to verify compliance with nine other standards.

Bamboo Mountain Center, 21 West Nicholai Street, Hicksville, N.Y. 11801; http://www.bamboomountain.org. As of October 27, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if Bamboo Mountain Center meets its 23 standards.

Breast Cancer Fund, 282 Second Street, Second Floor, San Francisco 94105; http://www.breastcancerfund.org. 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, a detailed schedule of expenses by natural classification (e.g., salaries, postage, utilities, etc.) presenting the natural expenses incurred for each major program and supporting activity; (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 solicitations in conjunction with the sales of goods, services, or admissions 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.

Kidswish Foundation, 19107 Forest Trace Drive, Humble, Tex. 77346 and P.O. Box 3997, Humble, Tex. 77347. As of November 3, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if the Kidswish Foundation meets its 23 standards.

Kidwish USA, 37 Hamilton Place, Garden City, N.Y. 11530-5922. As of November 3, the organization had not provided current information about its finances, programs, and governance. The bureau is unable to determine if Kidwish USA meets its 23 standards.

Media Research Center (Parents Television Council), 113 South West Street, Suite 200, Alexandria, Va. 22314; http://www.mediaresearch.org. Does not meet the standard calling for the soliciting organization to provide an annual report that contains information on the organization’s financial position, or 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, a detailed schedule of expenses by natural classification (e.g., salaries, postage, utilities, etc.) presenting the natural expenses incurred for each major program and supporting activity. The bureau notes that it is unable to verify one standard related to fund-raising practices and one standard related to governance.

National Child Safety Council (Kidsafe), 4065 Page Avenue, P.O. Box 1368, Jackson, Miss. 49204-1368. Does not meet the standard calling for the soliciting organization to provide an annual report that contains information on the organization’s governing body, financial activities, and financial position, or the standard calling for the organization’s governing body to meet at least three times annually, with meetings evenly spaced over the course of the year, with the majority of members in attendance on average. The bureau notes it is unable to verify compliance with 10 other standards.

Oasis Preserve International, 517 Ocean Front Walk, Suite 11-A, Venice, Cal. 90291; http://www.oasispi.org. Does not meet the following standards: (1) that the soliciting organization provide an annual report that presents the organization’s purposes; descriptions of overall programs, activities, and accomplishments; eligibility to receive deductible contributions; information about the governing body and structure; and information about financial activities and financial position; (2) that the soliciting organization provide complete annual financial statements that present the overall financial activities and financial position of the organization, that are prepared in accordance with generally accepted accounting principles and reporting practices, and that include the auditor’s or treasurer’s report, notes, and any supplementary schedules; (3) that the soliciting organization’s financial statements present adequate information to serve as a basis for informed decisions, including a breakdown of expenses into program services, fund-raising, and administrative categories, as well as a detailed schedule of expenses by natural classification (e.g., salaries, postage, etc.) presenting the natural expenses incurred for each program and supporting activity; (4) 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 information is available, and c) the actual or anticipated portion of the sale or admission price to benefit the charitable organization or cause; and (5) that the soliciting organization have an active governing body that meets three times annually, with meetings spaced evenly over the course of the year. The bureau notes that it is unable to verify compliance with four other standards related to use of funds.

NATIONAL CHARITIES INFORMATION BUREAU

ALSAC-St. Jude Children’s Research Hospital, 501 St. Jude Place, Memphis 38105; http://www.stjude.org. Meets all standards.

Pacific West Cancer Fund and its project Cancer Center for Detection and Prevention, 320 Andover Park East, Suite 250, Seattle 98188; http://www.pacificwest.org. As of October 29, the organization had not responded to the bureau’s requests with sufficient information to prepare a regular report. Based on its 1997 annual report, its IRS Form 990, audited financial statements, and information forwarded by contributors or previously in the bureau’s files, PWCF does not meet the standard calling for the organization’s governing board to have an independent, volunteer membership, or the standard calling for the organization’s activities to be consistent with its statement of purpose.