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ACCOUNTABILITY & TRANSPARENCY:
More Than Good Intentions
Presentation atCharity Review Council Annual Forum
Ken Berger, President & CEO
June 15, 2010
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IN THE BEGINNING
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~30 Years Doing “the Work”
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IN MY HEAD I KEPT THINKING
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Tales of the Dark Side
• The Scoundrel – Use everyone and take whatever you can.
• The Thief – “We’re smart, so let’s make money”.
• The Hanger On – Money for nothing.
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WHY?
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The Explosive Growth of Nonprofits in the US
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$1.9 Trillion in Public Charity Revenues
~1.9 million Nonprofits
61% (1.2 million) are Public Charities (PCs)
*6% of PCs get 96% of Revenues = $1.86 million
**.2% of PCs get 59% of Revenues = $1.5 Trillion
* Houses of Worship do not file w/IRS regardless of size
**94% of PCs spend 4% of the revenues - $79 million
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Accountability & Transparency
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QUALITIES OF A HIGH IMPACT ORGANIZATION
Accountability & Transparency
Financial Health
• Positive, sustainable change• Independently evaluatedHIGHER RISK
INVESTMENTLOWER RISK INVESTMENT
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Financial Health
Accountability/Transparency
Effectiveness/Results
More Comprehensive Rating System
Introducing CN 2.0
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Accountability & Transparency: IRS 990 Reporting Form Info.
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Acountability & Transparency: Web Site Information
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More on WebDoes the charity web site have readily
accessible information about the following:
• Its goals and objectives?• Its strategies for achieving them?• Its capacity for achieving them?• How it measures progress in achieving them?• What its measurements indicate about progress to date?
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The Battle for the Soul of the Nonprofit Sector
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More Information
Articles: in Philadelphia Journal of Social Innovation1. “The End of Charity” by David Hunter 2. “The Battle for the Soul of the NP Sector” by Berger, Penna and Goldberg
Book: Billions of Drops in Millions of Buckets: Why Philanthropy Doesn’t Advance Social Progress by Steve Goldberg
Web Sites1. www.alleffective .org2. Google: Nonprofit Effectiveness, Independent Sector3. www. WhatWorks.org
Video: www.savingphilanthropy.org
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Your Questions and Our Web Addresses
Website- www.charitynavigator.org
Blogs- www.kenscommentary.org
blog.charitynavigator.org
Twitter- kenscommentary