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ADDITIONAL INFORMATION: The Oregon Department of Justice offers some tips on charitable giving:
’Tis the season of giving, but Oregon Attorney General John Kroger reminds us that grinches are out there threatening to spoil the spirit.
He just unveiled a list of what his department is billing Oregon’s 20 Worst Charities. Accompanying it was a number of tips on how to make your charitable dollars count.
“In the middle of a recession, it is more important than ever that generous Oregonians make charitable contributions to organizations that help veterans and others who are in need,” Kroger said. “It is critical, however, that people donate wisely.
“Although many charities do great work, some are little more than scams with good-sounding names but do little to actually help the people they claim to support.”
State law requires charities to file periodic financial reports with the Department of Justice disclosing how much they raised and how they disbursed that money. The department’s Charitable Activities Section has identified 20 organizations that spent more than 75 percent of their total take on administrative costs and fundraising expenses.
While guidelines issued by the Better Business Bureau suggest that charitable organizations should spend at least 65 percent of their revenue on charitable ventures, all of these organizations spent less than 25 percent and some of them spent much less than 25 percent. The list is dominated by organizations soliciting on behalf of police officers, firefighters, veterans, school children, ill children and cancer victims.
Among organizations singled out by the AG was Shiloh International Ministries, which purports to solicit money to provide medical necessities and other support to veterans, homeless persons and needy children. According to its most recent filing, the California-based nonprofit has been taking in more than $1 million a year and spending more than 96 percent of it to cover management and fundraising overhead.
Similarly, financial reports show that Big Hope, formerly known as the Children’s Charitable Foundation, dedicated just 8.67 percent of its proceeds to its stated cause — “assistance, support and related charitable programs to children suffering from serious or life-threatening illness.”
There are nearly 16,000 charities registered with the Department of Justice, and many of them are actively raising money. The attorney general cannot dictate how they disburse what they take in, but can shed a public spotlight on it.
Before donating, the AG’s staff says, it is important to make sure the organization is registered in Oregon. That can be accomplished by checking the department’s online database or calling 971-673-1880.
More detailed financial information may be found at www.guidestar.org, a national clearinghouse of information on nonprofits, including hospitals, colleges and other types of organizations. Non-profits are required to file 990 tax forms, and Guidestar collects and posts those forms.
Kroger also cautions Oregonians to watch out for charities that thank you for previous support you never provided or send invoices claiming you made a recent pledge when you didn’t. Dishonesty is always a red flag, he said.
Consumers are advised against giving out any personal information over the phone, including credit card numbers. Legitimate charities will accept contributions by check, and such checks should always be made payable to the organization, not the individual doing the soliciting.
The department’s Charitable Activities Section is responsible for ensuring that organizations soliciting funds in Oregon register and file periodic financial reports. The section is also charged with protecting the public from organizations that attempt to mislead donors.
The section has recently taken action against several charities purporting to benefit local schools, veterans and search and rescue teams.
The department’s 20 Worst Charities were among a much larger group failing to meet the Better business Bureau standard, based on a three-year average of annual expenditures.
The 20 charities making the attorney general’s list were:
- The Association for Firefighters and Paramedics; chartered to provide assistance to victims of catastrophic Santa Ana fires; disbursed 3.19 percent of $3.6 million to stated cause.
- Shiloh International Ministries; chartered to improve the quality of life of disabled and needy children; 3.65 percent of $1 million to cause.
- Korean War Veterans National Museum & Library; formed to preserve a record of participation in the Korean War, educate the public and promote friendship among vets; 7.25 percent of $2.27 million to cause.
- Foundation for American Veterans; founded to promote social and recreational welfare for current and past members of the U.S. Armed Forces and their families; 8.67 percent of $4.13 million.
- Big Hope; chartered to bring relief to orphans, sick children and families in need; 8.67 percent of $3.24 million.
- Law Enforcement Education Program; created to provide educational programs and materials to school children; 9.35 percent of $1.65 million.
- National Vietnam Veterans Foundation; formed to help American veterans and their families; 9.62 percent of $2.35 million.
- Dogs Against Drugs, aka Dogs Against Crime; founded to support police canine programs; 10.62 percent of $1.15 million.
- Firefighters Charitable Foundation; formed to provide financial assistance to individuals affected by a fire or disaster; 10.86 percent of $4.56 million.
- Committee for Missing Children; created to assist in finding and recovering missing children; 11.48 percent of $2.95 million.
- The Wishing Well Foundation; committed to fulfilling final wishes of terminally ill children; 12.08 percent of $1.35 million.
- Law Enforcement Legal Defense Fund; founded to provide legal assistance to law enforcement officers; 12.78 percent of $3.16 million.
- Children’s Cancer Fund of America; organized to support children with cancer; 13.42 percent of $7.16 million.
- Children with Hair Loss; chartered to support children with medically related hair loss; 13.68 percent of $1.13 million.
- Disabled Police Officers of America; registered to provide educational programs for police officers; 14.65 percent of $894,660.
- Disabled Police Officers Counseling Center; created to provide police officers with counseling services; 14.75 percent of $594,408.
- Foundation for Children with Cancer; formed to provide financial information to families with children suffering from cancer; 16.99 percent of $2.96 milliion.
- Cancer Support Services; organized to provide financial support for indigent cancer patients, 17.87 percent of $7.42 million.
- Dakota Indian Foundation; committed to assisting with the education of Indian people and preservation of Indian culture; 19.47 percent of $1.17 million.
- National Association of Police and Lay Charities; organized to support crime prevention efforts and crime victims; 20.04 percent of $740,000.
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Mon, 12/21/2009 - 11:47am - Posted by: NatetheGreat
It doesn't get much lower than this. I have been googling these organizations and calling them to ask them how they feel about being one of the worst charities. Responses have been ridiculous. I talked for over 10 minutes arguing with the president of the Committee for Missing Children and it's scary how crooked these people are. He says they are registered non-profit and that other charities are getting grants and giving false income/expense reports to the state. Be careful with your money people!