Corporate Welfare in the Name of Charity

To the Editor:

Elizabeth Jackson’s response notwithstanding (“Business Districts Deserve Praise, not Scorn,” September 23), Mark Rosenman’s recent opinion piece on non-profit business districts (“A Class of Charity That’s Bad for the Public Good,” My View, August 12) raised some very valid concerns.

The recognition of business-improvement districts as charitable entities is really just a small part of our societal transformation of economic development as a charitable activity. Businesses, in partnership with federal, state, and local governments, are forming charitable entities in communities across this country to serve as their collective marketing arms, brokers, and distribution vehicles for corporate welfare — welfare that involves direct taxpayer dollars and tax breaks that often place greater burden on existing property owners.

Increasing wealth is becoming a charitable venture. Now, sure, one can argue that developing the wealth of poor and vulnerable populations serves a charitable purpose. But let’s face it: These are not the folks who are either running or benefiting the most from these corporate-welfare-enabling organizations. The real money is going to well-heeled corporations such as banks, chain stores, insurance companies, manufacturers, construction companies, law firms, and the like — who in turn contribute to the campaign coffers of friendly politicians.

Unfortunately, the non-profit sector has become a convenient tool for businesses and politicians to manipulate for their own gain and self-interest.

Doug Sauer
Executive Director
Council of Community Services of New York State
Albany, N.Y.