New N.Y. Grant Criteria Imperil Funding for Youth Charities
Changes in a New York State agency’s process for awarding substance-abuse prevention contracts could mean hundreds of thousands of dollars in losses for youth organizations that have long received state support, writes The New York Times.
Calif. Couple Convicted of Embezzling From Veterans Charity
A San Diego husband and wife who founded a nonprofit to train wounded veterans for careers in filmmaking were found guilty Friday of draining hundreds of thousands of dollars from the taxpayer-funded organization’s coffers, The San Diego Union-Tribune reports.
Sen. Grassley Seeks Details From Red Cross on Haiti Spending
In a letter this week to American Red Cross CEO Gail McGovern, Sen. Charles Grassley demanded greater disclosure of the charity’s spending in post-earthquake Haiti and set a two-week deadline for a response to his questions, ProPublica writes.
$65 Million Gift to Create Endowment for Park Avenue Armory
The donation from the foundation of a late armory patron, Airstream trailer mogul Wade Thompson, will establish an endowment for programming and educational efforts at the New York City arts center, reports The New York Times.
Ex-Colgate U. President to Take Reins at D.C.’s Newseum
Officials at the financially troubled Washington, D.C., museum of journalism said Jeffrey Herbst’s fundraising prowess at Colgate was a factor in his hiring as the Newseum’s president and CEO, The Washington Post and the Associated Press report.
Charter Schools on Borrowing Binge as Enrollment Grows
Bond sales by taxpayer-funded, frequently nonprofit-run charter schools are on pace to break last year’s record of $1.9 billion as swelling enrollment and low interest rates fuel a borrowing spree, writes Bloomberg.
Nonprofit Breast-Milk Banks Fight Emerging Commercial Market
Nonprofit and for-profit breast-milk banks are jostling for dominance of a market poised to grow to meet demand from hospitals and neonatal care facilities, the Associated Press writes.
L.A. Charity Heads Charged With $8.5-Million Fraud
Three leaders of a nonprofit serving Latino women have been accused of participating in a “billing scam” that diverted millions of dollars in taxpayer funds to personal use, the Los Angeles Times reports.
Former N.C. Legislator Gets 2 Years for Nonprofit Theft
Ex-state representative Stephen LaRoque was sentenced Wednesday to two years in prison for stealing $150,000 from a federally backed small-business nonprofit he founded and led, reports the Associated Press.
George W. Bush Charged $100,000 to Address Veterans Charity
The former president received a $100,000 fee and private-jet travel worth $20,000 to speak at a 2012 fundraiser for an organization serving U.S. veterans wounded in Iraq and Afghanistan, ABC News reports.
Opinion: Philanthropy Not the Cure for What Ails Higher Ed
High-profile philanthropic efforts to increase college access for low- and middle-income students serve to reinforce rather than resolve a system that creates inequality in higher education, according to a writer for liberal magazine The Nation.
N.Y. Shuts Down ‘Pay for Success’ Recidivism Program
New York City’s first attempt to implement a social program via the “pay for success” model failed to meet performance goals but was nonetheless hailed by officials because the experiment cost taxpayers nothing, writes The Bond Buyer, which covers municipal finance.
Medical Charities Embrace Investment to Speed New Drugs
The Washington Post looks at the growth of venture philanthropy among disease charities, focusing on the Cystic Fibrosis Foundation and its $3.3-billion windfall last year from its investment in a pharmaceutical firm that developed a breakthrough drug.
2014 Calif. Audit Blasted Blue Shield for $4 Billion Surplus
The revocation last year of Blue Shield of California’s state tax exemption came on the heels of a blistering audit by state tax officials who assailed the nonprofit health insurer’s provision of coverage and multibillion-dollar cash stockpile, the Los Angeles Times writes.
Newseum Mulled Risky Fiscal Move to Tackle Pressing Debt
Burdened by more than $300 million in debt, the museum devoted to journalism and the First Amendment floated a plan last fall to sell shares in its seven-year-old building in the heart of Washington, D.C., offering investors a large “balloon payment” in 10 to 15 years, writes The Washington Post.
L.A. Charities Get Minimum-Wage Break for Trainee Workers
The Los Angeles City Council voted unanimously Tuesday to exempt three area nonprofits that help “transitional workers” enter the labor force from paying such trainees the city’s increased minimum wage, public radio station KPCC reports.