Red Cross Criticized, Urged to Share Cash

[stickdog]

http://news.yahoo.com/s/ap/katrina_red_cross_hk4

NEW YORK - As its hurricane relief donations near the $1 billion mark, more than double all other charities combined, the American Red Cross is encountering sharp criticism of its efforts and mounting pressure to share funds with smaller groups. The complaints — that Red Cross operations were chaotic in some places, inequitable in others — have stung deeply within an organization that is proud of its overall response to Hurricane Katrina, by far the most devastating natural disaster it has confronted on U.S. soil.

<snip>

Across the Gulf Coast, a coalition of black-led community groups called Saving Our Selves is urging the Red Cross to consult with their leaders as attention shifts to recovery. "This work is so immense. It's dangerous any time you have a single organization monopolizing relief services," said coalition leader LaTosha Brown. "The Red Cross needs to recognize its limitations and reach out by partnering with local agencies who have people on the ground."

Yet the executive director of the watchdog group Charity Navigator said such pleas to the Red Cross are unrealistic, and many reflect envy of its fund-raising prowess. "The Red Cross raised the money fair and square by making a compelling case to the American public that they were the best organization to get these dollars," Trent Stamp said. "To come in after the fact and ask them to share the money — I can't think of anything more pie-in-the-sky and naive."

<snip>

Richard Walden, president of the relief agency Operation USA, urged donors to consider alternatives to the Red Cross in a scathing column Sunday in the Los Angeles Times titled "The Red Cross Money Pit." Among other charges, Walden said the Red Cross had not made clear to donors that some of its spending on emergency housing for evacuees would be reimbursed by the federal government.

[valerief]

1. It's their money and they're gonna keep it

That's the Republican way.

[Coastie for Truth]

5. 501(c)(3) - they can be sued for any disbursement outside their charter

§ 501. Exemption from tax on corporations, certain trusts, etc.

(a) Exemption from taxation
An organization described in subsection (c) or (d) or section 401 (a) shall be exempt from taxation under this subtitle unless such exemption is denied under section 502 or 503.

(c) List of exempt organizations

The following organizations are referred to in subsection (a):

(3) Corporations, and any community chest, fund, or foundation, organized and operated exclusively for religious, charitable, scientific, testing for public safety, literary, or educational purposes, or to foster national or international amateur sports competition (but only if no part of its activities involve the provision of athletic facilities or equipment), or for the prevention of cruelty to children or animals, no part of the net earnings of which inures to the benefit of any private shareholder or individual, no substantial part of the activities of which is carrying on propaganda, or otherwise attempting, to influence legislation (except as otherwise provided in subsection (h)), and which does not participate in, or intervene in (including the publishing or distributing of statements), any political campaign on behalf of (or in opposition to) any candidate for public office.

And they are very strictly governed by their Congressional Charter.

I can assure you - after blowing the whistle on Gitmo, Abu Ghraib, and to some extent on FEMA, there are a lot of Repuke Congress perps who would like to nail Red Cross, lift their 501(c)(3) status, and give the money to the Repuke Congress perps' favorite faith based charities. Which means "Saving Our Selves" will be lucky to suck the hind tit and end up with a "FEMA City" (Punta Gorda, FLA) position.

[stickdog]

11. It was the INTERNATIONAL Red Cross that blew the whistles on BushCo.

The American Red Cross has largely been coopted by Repukes at its highest levels.

[rodeodance]

20. Clara Barton, the founder of IRC is buried in Cuba where she was

setting it up there-when she died (in her 90's). She started her career as a nurse during the civil war. She would be proud of IRC.

[Coastie for Truth]

30. See my append 29, above

Let me tell you how the Repukes play - back in 1982 I was given an adverse eval on my job ("Not a team player") because I refused to give a contribution to the re-election campaign of Repuke Congress Perp Paul Findley. That was, in effect, being given "three months notice."

[valerief]

34. I remember the FORCED TO GIVE TO UNITED FUND days

in the early 90s.

You contributed out of your paycheck or you didn't get a paycheck (well, you got the 'not a team player' thing, too, and that led to termination).

[NYC]

14. Wasn't that the International Red Cross

blowing the whistle on Guantanamo, Abu Ghraib? As opposed to the American Red Cross, who is responding to Katrina.

[Coastie for Truth]

28. Yes - But the Repukes (even in Congress)

were piling blame on the ARC. Calling for investigations of the ARC (nd their "foreign ties")-- seeking to amend the charter to both revoke the 501(c)(3) status and to break the ties with the ICRC.

Remember, the Fundie Repukes are the party of DeLay, James Dobson, Halliburton, etc.

When all of this was going down there was a lot of traffic on DU - including my traffic. And a lot a LTTE's. The Fundie Repukes don't strike with surgical skill - but with blind Fundie Repuke hatred - does the name Valerie Plame ring a bell?

[NYC]

41. So lashing out at the International Red Cross,

they aimed at the American Red Cross? That actually doesn't surprise me.

[OzarkDem]

23. They can amend their charter

to include grants to other organizations.

They can also include members of these organizations on their advisory boards and allow them to advise how funds should be directed locally.

Giant corporate charities are often bureaucratic, clumsy and out of touch with local needs, particularly when it comes to minority communities. These people have valid issues that need to be addressed. Its time they stop working in silos and begin collaborating with communities.

[Coastie for Truth]

27. Congress would have to do that

The GOP is angry at them because the ICRC broke the news on Abu Ghraib and and Gitmo. Remember, Red Cross volunteers were among the many ordinary people who went to the media about FEMA's mismanagement in Orleans Parish. (Some relief organizations jumped on the "Yer doin' a good job Brownie" bandwagon - but not the Red Cross).

Do you really expect the GOP to make any changes for the better. I would expct this Congress and the GOP to only screw it up.

[zoeb]

2. donations reach the $1 billion mark and they continue

to ask for volunteers...how about paying a lot of those displaced folks to get their neighborhoods back together. I'm sure they could use the bucks since their job no longer exist.

[alarimer]

29. That money belongs to the victims

not the Red Cross. They need to really start helping these people with cash for housing, food, whatever. Perhaps annuities worth $20,000 a year for starters for 10 year or so.

[Coastie for Truth]

32. Legally incorrect

under 501(c)(3) and the Federal charter - the ARC holds the money as a "fiduciary" or "trustee" "in trust" for the clients and the donors. See

I previously posted the full text of Section 501(c)(3) --

[mitchtv]

3. Sounds like the right thing to do

There have been reports of "indifference" to gay community's unique needs. How widespread is unknown at this time. On a related matter.. I'd die on the street in front of a Salvation Army location before I'd ask them for shit.

[Coastie for Truth]

7. My best friend in New Orleans was relocated and

given assistance by faith based Chabad Lubavitch.

*

*

They do a very good job -- with complete respect for Hurricane victims from all communities of faith --- and no preaching or proselytizing to those not of their faith.

[54anickel]

4. WTF? "raised the money fair and square" what kind of a statement

is that?

The Red Cross did raise a ton of $$$. I would hope they would use some of that to reimburse some of the local churches and what-not who opened their doors to allow the Red Cross to set up shop there - not a huge payment but enough to cover extra utility costs, some wear and tear, etc.

The Red Cross has the balls to ask for reimbursement from the Feds, that means anyone who donated is basically paying twice - once with the donation, then again as a tax-payer. If the RC can ask for reimbursement from the Feds, then locals who made their property available for RC use should be able to request to be reimbursed by the RC as well. Guess they should have charged rent up front, then there would be no question.

[kostya]

35. Furthermore, the RC has a long history of not spending even

half of the monies they take in on the cause under which they solicited the contributions. They will spend the rest on administrative costs and pet "programs". - K

[bsiebs]

6. So who should we be contributing to?

I have a serious issue with this. My town wants to adopt a city in Mississippi - my problem with this is that it does not ensure aid is going to the right people - its just a feel good technique so people giving money (or unneeded clothes, canned goods, etc) can see the results directly (getting letters of thanks, etc). For gods sake, the Black Mayors (of the National Mayors Council) have come out in support of this technique (adopting cities).

Who helps the people outside these towns? Who ensures the people really in need are going to get support?

I have some links, but I am still unsure how to address this "adopt a city" thing with people, it just does not make sense to me.

These are the links to the sites that provide good information for giving:

http://www.cidi.org/

http://www.cidi.org/understanding/faq.htm

http://www.interaction.org/

http://www.interaction.org/katrina/index.html


Here is my real problem, the city my town chose to help is Pesculuga (sp), MS, it happens to be Trent Lott's home town. The democrat that selected it did not know at the time, but now he is running with it. An adoption decision is being made on Tuesday (10/5). Any suggestions?

Edit: It is not about being against helping the people in Trent Lott's home town - its that the "adopton option" is symbolic only - and so is the fact that it is Trent Lott's home town....

[Coastie for Truth]

8. I contribute to four organizations

Red Cross - They're the heavy lifters

Salvation Army - They're also heavy lifters

Southern Baptist Brotherhood - They're also heavy lifters.

Chabad Lubavitch.- Small, targeted, effective.

All audited - all recognize that 501(c)(3) money is a public trust, and they have a "fiduciary" responsibility to their comtributors and their clients.

PS - I was a United States Coast Guard Officer in New Orleans.

[knitter4democracy]

12. Do they know people there?

Our church has adopted a church down there because one of our families is related to the deacon (his wife is the sister of one of our own). The deacon has taken three families into his home, as it didn't get as much damage as everyone else's, including the young priest and his family. Their house is also now the church, as the church is almost a total loss.

We found all this out through family connections, and we're getting money and all to them through their family connections. We all felt it to be the best way in addition to giving to good groups.

[bsiebs]

13. No, its focused on a city giving to a similar city (they're just like us!)

Its more about one town/city picking a town/city with the same population...thats pretty much it. Makes no sense to me on a "need" level.

The council member that identified this city discovered it on the internet...nothing more.

I just think it makes more sense to give to an organization that is going to funnel the money where it is needed - not specifically to a geographic location someone chose at some point in time.

[harpboy_ak]

21. need, not geography!

similarity might make someone feel good, but it would be more help if your community adopted another one based on need.

please go to the council meeting and at least offer the neediness alternative. sometimes one member of the public can jolt council members out of their grooves and get them to think about their vote for a change.

[knitter4democracy]

25. That town does seem to need the help, though.

It got hit pretty badly, and even though Lott lived there, don't write the rest off for that. If they need it, and it sounds like they do, then getting them the support and items they need directly sounds like a good idea. It might be a good idea, though, to bring up the idea of a smaller town (the small towns and villages are in very bad shape), as there's more need.

[NYC]

16. Pascagula.

If Trent Lott lives there, how poor are those people? It would be a terrible thing to help the rich, when you know there are poor people in true need. Maybe you can research that.

[bsiebs]

18. The town was hit pretty hard...theyre near the gulf shore

One of the council members went there last week (we have already sent a truck of clothes and food there). Ironically, he was unable to meet with the mayor because Bush was in town and the mayor chose to be with Bush's group.

It makes no sense to me. But if the councilman I am working with comes out against supporting this adoption thing, he sounds like a cold hearted ass.

He can talk all he wants about how giving needs to be primarily money, and that a selection of a particular geographic area (town) is not an efficient way to ensure aid goes to the most needy, but no one will really listen to that. Too many in this town have bought in to the adoption thing, and it makes them feel good.

[NYC]

19. If the people who need the aid

are getting the aid, that's what counts.

[goforit]

9. They should publically publish their balance sheet!!!

[Coastie for Truth]

10. As a 501(c)(3) - they do. It's a requirement of the law. NT

[OzarkDem]

24. You probably have to request a copy of their Form 990

Most of the larger charities don't actually post it, but make it available upon request. Same with their 501 c 3.

[donheld]

15. Just don't share with "Operation Blessing"

That would be the last penny I ever gave them.

[sarcasmo]

36. We only give directly to the local homeless shelter.

[lindisfarne]

17. That article says the RC is going to use donations for emergency food and

shelters. But the federal government is reimbursing the RC for those things. How can the RC get reimbursed by the gov't for something it's already been reimbursed for by donors?

[aquart]

22. That's a really good question.

[Tippy]

26. And one we won't get an ansewer to..n/t

[Coastie for Truth]

31. I have had three tours as a shelter manager

and over 50 "onesie-twosie" Disaster Assistance calls. (Mostly uninsured people renting in Section VII apartments - frequently with defective smoke detectors and defective sprinklers --- and frequently there's an illegal meth lab somewhere else in the building).

The government doesn't pay for the "debit card". We give two debit cards per family in a typical "onesie-twosie" Disaster Assistance apartment building fire or local stream flooding.

* One card - three nights in a hotel - and it usually is NOT the Fairmont or Mark Hopkins. This can be increased by an MSW social worker - and usually in A "onesie-twosie" we can get public housing after three days in a hotel.

THIS IS NOT GOVERNMENT MONEY. THIS IS A GIFT OF THE AMERICAN PEOPLE UNDER 501(C)(3).

THERE IS NO REIMBURSEMENT FOR THIS

* Other card - three days supply of groceries (based on family size), replacement of one complete set of clothes (based on season and family size) - this is over and above donations in kind (we work through Goodwill, St Vincent de Paul). This can be increased by an MSW social worker at the chapter.

THIS IS NOT GOVERNMENT MONEY. THIS IS A GIFT OF THE AMERICAN PEOPLE UNDER 501(C)(3).

THERE IS NO REIMBURSEMENT FOR THIS

When we open up a shelter - usually a community center or school. This is a "temporary" donation of the community or school district. If any rent is due to the community center or school district a local government agency picks it up (rent, utilities, janitorial). Could be FEMA - I am not a bean counter -- I am a shelter manager and a disaster assistance captain on the ground in the snow or rain or muck and mud.

As far as I know, from a cursory review of "the books" - shelter costs are the only area where there may be some governmental reimbursement.

But - the FEMA, state, and local reimbursement - to the extent that there is any, is far less then 100%.

[Danieljay]

38. Thank you...The Red Cross Bashers here are ruthless.

I too work for the Red Cross and I'm always amazed at how little people know about the organization.

[Coastie for Truth]

40. Most of the Red Cross Bashers -

and Salvation Army bashers, and Southern Baptist Brotherhood bashers are complainers who don't contribute money, and fer gosh darn, mf, sure, don't contribute TIME AND EFFORT. They all of these self serving excuses. They seem to think blogging is good enough.

[lindisfarne]

42. I know the RC is not an organization I trust. I do support and volunteer

with other organizations. The San Diego RC after the Pines fire in San Diego a few years ago got in trouble because the public donated money to support the victims of that fire and the RC wasn't planning on using all the money to help them. The same issue came up after 9/11. When NY state asked for an accounting of the 9/11 money, the American RC's answer was along the lines of "we're federally chartered; we don't have to account to you". http://www.commondreams.org/views05/0925-28.htm
Such a response only deepens my distrust the organization.

Now, apparently they have a system in place where they say that if you specify the money is to be spent on a certain disaster, they will spend it for that disaster.

I have nothing but good things to say for the people who volunteer with the RC. As is often the case, even when there are problems at the top level of decision making within an organization, there are many good people within the organization.

I don't think the money the the federal gov't won't reimburse will come anywhere near a billion dollars. Which is about what the RC has collected as a result of the 2 hurricanes - it remains to be seen how much of that billion $ was specifically targeted for the hurricane victims, and whether the RC will spend it on expenses which AREN'T reimubursed by the fed. gov't.

I do have a lot more respect for many of the international RC's activities.

As Robert Walden says (at link above):
The Red Cross expects to raise more than $2 billion before Hurricane Katrina-related giving subsides. If it takes care of 300,000 people, that's $7,000 per victim. I doubt each victim under Red Cross care will see more than a doughnut, an interview with a social worker and a short-term voucher for a cheap motel, with a few miscellaneous items such as clothes and cooking pots thrown in.

The Red Cross' 3 million unpaid volunteers, 156,000 of whom it says are deployed in Hurricane Katrina, are salt-of-the-Earth Americans. But asking where all the privately collected money will go and how much Red Cross is billing FEMA and the affected states is a legitimate question — even if posed by the president of a small relief agency.

As Hurricane Rita dissipates, let me answer my unpopular question like this: Giving so high a percentage of all donations to one agency that defines itself only as a first-responder and not a rebuilder is not the wisest choice. Americans ought to give a much larger share of their generous charity to community foundations, grass-roots nonprofit groups based in the affected communities and a large number of international "brand name" relief agencies with decades of expertise in rebuilding communities after disasters.

[Coastie for Truth]

33. Calling The Red Cross political or racist? Read this

and here's a link to the original article .

This is nothing short of an American Nakba on our own fellow American citizens as is

As a pro bono, volunteer American disaster volunteer responder (Red Cross, ARRL Emergency Radio Operator, Citizens Corps-Community Emergency Response Team) and a veteran of the only governmental agency to do a good job, the UNITED STATES COAST GUARD - the "problem" is not with the Red Cross - it's with George ("Brownie, yer doin a good job") Bush

And, I am going to make a serious accusation (I have only been working in political campaigns for 41 years - excluding time out for military service) - I think this distrust -- and the recent and artificial dissension across the volunteer service community (Red Cross, Salvation Army, Southern Baptist Brotherhood, St Vincent de Paul, etc.) is being manufactured and planted by GOP "advance" pukes to divert attention from their nefarious plans (like Craig Romero in the link above) and their own catastrophic screw ups.

And I've been doing the Democratic campaign thing from 64-66 and 70-today.

[Danieljay]

37. Dont believe everything you read people! 9 Red Cross Myths explained here

On one hand people criticize the media and say it cant be trusted and then on the other hand you believe everything you read about the Red Cross as if its true. Here are some mistatements and some facts to counter the myths.


Truth Concerning Misstatements

Myth 1

"This skewed giving to Red Cross would be justified if the organization had to pay the cost of the 300,000 people it has sheltered. But FEMA and the affected states are reimbursing the Red Cross under preexisting contracts for emergency shelter and other disaster services."

False. There are no preexisting contracts to reimburse the Red Cross for shelter operations. As of September 26, the Red Cross had opened more than 1,000 shelters and had already provided 2,820,678 nights of shelter to Katrina survivors and 163,089 nights of shelter to Hurricane Rita evacuees.


Myth 2

"The national Red Cross reports it spent $111 million last year on fundraising alone."

Misleading. The $111 million spent on fundraising includes not only Red Cross national headquarters but also more than 800 local Red Cross Chapters. It represents less than 3% of expenditures.


Myth 3

"And it's hard to escape the organization's warning of Armageddon if you don't . . . donate blood (which it resells to the tune of more than $1.5 billion annually, part of its $3 billion in income)."

Misleading; the cost of collecting, testing, processing and distributing blood in an FDA-regulated environment offsets any potential profit from the sale of blood. In FY04, Biomedical Services represented 66.7 percent of the American Red Cross' operating expenses, while Biomedical fees represented 68.6 percent of the American Red Cross revenue.


Myth 5

"...because it does very little or nothing to rescue survivors, provide direct medical care or rebuild houses."

The Red Cross mission is to provide immediate relief such as shelter, food, clothing and counseling to disaster victims. We specifically avoid portraying ourselves as a rescue organization and never claim to rebuild houses. We have provided more than 200,000 individuals with disaster healthcare assistance this hurricane season, including emergency and preventive health services to people affected by disaster and to Red Cross staff providing disaster relief.


Myth 6

"After 9/11 . . . the Red Cross could do little more than trace missing people, help a handful of people in shelters and provide food to firefighters, police, paramedics and evacuation crews during the catastrophe."

The Red Cross has used the funds donated to the Liberty Disaster Relief Fund to help more than 57,000 individuals and families in 49 states and 65 countries who were directly affected by 9/11. These include families of the deceased, the physically injured, rescue and recovery workers and their families, and people who were living or working in the areas of the attacks.
More than 57,000 Red Cross workers—more than 54,000 volunteers among them—have been involved in this unprecedented effort. The September 11 Recovery Program is scheduled to end in 2007.
On September 11, 2001, victims, family members and emergency workers in New York, at the Pentagon and in Somerset County, Pa., received shelter, blankets, crisis counseling, first aid, food, and drinks from trained Red Cross disaster workers. At Ground Zero alone, more than 400 disaster workers responded, handing out everything from cold drinks to eye drops to the thousands of firefighters, police officers and others; one of their emergency response trucks was destroyed when the towers fell. A dozen Red Cross shelters opened their doors to the grieving, the displaced and the weary emergency workers.



Myth 7

"The Red Cross expects to raise more than $2 billion before Hurricane Katrina-related giving subsidies."

We have said that we project we will need at least $2 billion to respond to the needs of Hurricane Katrina survivors, not that we expect to raise that sum.
To date we have raised less than half. As of September 26, we have $946.6 million in gifts and pledges; we have already spent or committed $876 million.




Myth 8

"I doubt each victim under Red Cross care will see more than a doughnut, an interview with a social worker and a short-term voucher for a cheap motel, with a few miscellaneous items such as clothes and cooking pots thrown in."

In addition to providing shelter, food, clothing and mental health services to hundreds of thousands of hurricane survivors, the Red Cross has also distributed $521 million in direct financial assistance averaging about $1,000 per family. We expect to reach approximately one million people.



Myth 9


"The Red Cross' 3 million unpaid volunteers, 156,000 of whom is says are deployed in Hurricane Katrina..."

We do not, and do not claim to have, 3 million volunteers, though we would welcome them. We have about 1 million volunteers

[Coastie for Truth]

39. Chew On This .... instead of the Bush-Rove-Brown Blame Shifting

and the original article, .

I've done (more then) my share - and I have nothing to be ashamed of.

"Coastie"

Lieutenant, United States Coast Guard (Honorable Discharge)
American Red Cross: Disaster Assistance Captain, Mass Shelter Manager
Amateur Radio Relay League, Emergency/Disaster Operator
Citizen Corps-Community Emergency Response Team - Neighborhood Captain

[Coastie for Truth]

43. Cross Link to "FEMA has placed just 109 Louisiana families in temporary h"

This is all that"Judge" Michael Chertoff and "Chief" Dave Paulison have been able to do. They are DHS and FEMA.

Our three local Red Cross and our three local Emergency Services Offices relocated and housed over 500 Katrina families.

The cousins have only praise for the Red Cross and the city, which appropriated $500,000 for Katrina evacuees at Mayor Ron Gonzales' urging. ``We have everything we need,'' said Green, who is looking for any kind of construction work. ``Maybe not everything we want, but everything we need.''

What have you done besides blog, bellyache, complain -- and buy into Scooter Libbyesque, Cheneyesque, DeLay, Fristian, and Rovian attacks for showing up how screwed up FEMA is, and for daring to be affiliated with the ICRC that broke the word about Gitmo and AbuGhraib.