From: cliffc@tekeda.PEN.TEK.COM (Clifford E Cummings)
Newsgroups: tek.general,pdx.general
Subject: United Way - 1991 Annual Report Questions
Keywords: United Way
Date: 1 Oct 92 21:33:49 GMT
Article-I.D.: tekig7.7156
Followup-To: tek.general
Organization: Tektronix, Inc., Beaverton,  OR.


     I was bothered by recent news reports on Mr. Aramony at the national 
     United Way organization. A subsequent KXL radio report mentioned 
     that the local United Way head earned an annual salary of $120,000; 
     although not necessarily excessive, even this amount seemed large 
     for a local leader of an organization dedicated to charitable causes.
     
     I requested and received a copy of the local United Way 1991 Annual 
     Report (readily available at United Way informational meetings).
     
     I am a bit disturbed by some of the figures listed in the report.
     From page 15:
                                                        Total all funds
                                                --------------------------
     Allocations and expenses:                       1991            1990
     
       Allocations for emergency services          144,065         125,402
       Allocations to agencies                  12,577,130      13,203,110
       Donor designated contributions            2,044,430       1,828,900
       Payments to affiliated organizations        189,000         188,928
       Realized loss on investments                                    790
       Functional expenses:
         Fund raising                            1,543,442       1,398,809
         Management and general                  1,185,562       1,075,216
         Agency relations                          504,734         457,436
         Information and referral                  222,899         202,012
         Planning                                  251,674         228,090
     ---------------------------------------------------------------------
         Total allocations and expenses         18,662,936      18,708,693
     
     I interpret the top three numbers to be distributions to charitable 
     organizations, and all others to be costs associated with running 
     the local United Way chapter. If true, only 79% of 1991 funds spent 
     were distributed to local charities, and using the $20,664,000 
     dollars-raised number (reported on page 8 of the annual report), 
     the percentage distributed to local charities is only 71%. 
     
     My enthusiasm to donate has always been based on the claim that 
     85% of the monies raised went to local charities. My United Way
     participation this year will not diminish, but my participation 
     in future United Way campaigns could be more enthusiastic if my 
     above concerns were adequately addressed.
     
     I believe the United Way to be a good cause and the "right idea",
     but perhaps a little public pressure and oversight of our local 
     United Way chapter is in order, to make sure that the donations 
     are distributed to the intended service organizations.
     
     In each years annual report, I personally would like to see the 
     salaries of the ten top-paid employees of our local United Way 
     Chapter.  I would like to believe that at least 85% of public 
     donations to United Way are really going to local charities. Could 
     somebody shed light on what I'm missing?
     
     Sincerely, Cliff Cummings
     
     *(As an aside, I would like to see top-ten salary information about 
     many publicly-held and non-profit organizations, and if the amount 
     seems excessive, let those individuals answer to the public why the 
     listed salaries are reasonable)*