Despite the characterization of appeals, the American Cancer Society only spends a small percentage of donations on actual cancer research and services.
Many non-profit organizations around the world survive from donations, but the majority of donors remain oblivious to exactly where their money goes. Next time a non-profit organization asks you to take out your wallet, it may be wise to research the route your dollar takes as it enters the organization’s “non-profit” bank.
In 1988 the American Cancer Society held more than $400 million in fund reserves, and only 26 percent went toward medical research and programs. Many states have their own ACS affiliation – such as Texas, which owns millions of dollars worth of land and real estate assets. In 1992, senior executives in Texas were personally equipped with their own Ford Crown Victorias, and the affiliate owned 45 other cars for staff members.
Furthermore, California’s affiliate spent less than 11 percent of their donations on direct community cancer services, and in Missouri, the number plunged to an embarrassing nine percent. Nationally, the number sinks to a cringe-worthy 16 percent.
Out of every $1 donation toward the ACS, only a dime, nickel and penny combined are spent toward direct services. As a charitable, non-profit organization, the ACS’s 16 percent reflects a humiliating amount of money spent on services that actually help cancer patients.
As for the rest of the money, it trickles toward liberal salaries, executive benefits and pensions. The ACS Foundation was created in 1992 to allow the acceptance of donations of more than $100,000. Ironically, this policy only allowed the board of trustees, which is made up of numerous top-notch corporate executives, to actually benefit from cancer patients.
For example, David R. Bethune presides over Lederie Laboratories and annually nets huge profits from cancer patients; he currently owns the majority of shares of Immunex, a cancer drug manufacturer. The situation sparks irony, hypocrisy and skepticism. Bethune, who serves as a representative of the largest humanitarian cancer society, benefits from cancer patients worldwide.
In order to be labeled a true “non-profit” institution, the ACS needs to limit the payment of salaries and contribute more money toward the society’s main purpose — providing beneficial services to patients suffering from cancer. More services should be directly provided, and more effort into cancer research should be implemented.
It is a pity that only 16 cents of a donation’s dollar goes toward direct services and over 60 percent contributes to workers’ salaries. As a non-profit institution, the irony redoubles when the ACS consistently advertises that it needs more money for cancer research, considering the current cash reserves approach $1 billion.
The ironic situation echoed in the ACS serves as a model for non-profit organizations worldwide. Although their goals and title inherently exclude the pursuit of profit, that does not mean excessive amounts of money unnaturally accumulate. ACS does not sit at the top of the hypocritical social ladder, but rather demonstrates a concrete example of the insincerity of non-profit organizations.
Many charitable organizations exist at N.C. State, and it is ultimately an individual’s choice whether they donate or not. Many people donate based off the characterization of appeals, such as how skinny an African child appears or how much litter floods the Blue Ridge Parkway. But what is more important, and what truly plays a bigger role in the value of one’s donation, is the result of their dollar.
When walking around campus, do not conform to the characterization of appeals. Rather, research the effectiveness of your donation and know the organization’s history. The recent economic crisis has increased the value of the dollar, and if a donation does not result in positive, effective outcomes, then it is simply a waste of money. Therefore, it would be prudent to know where your dollar goes, and know what your dollar does.
