Format: Article

Wise Giving Wednesday: Valuation of Donated Goods
Many charities rely on donated goods (also called gifts-in-kind or GIK) to carry out their program service activities. The range of donated goods vary widely and include food, clothing, medicine, building materials, computer hardware and many other possibilities. In some cases, due to the volume and cost of these items, a charity would not be able to purchase these resources if they were not contributed.

As needed as these donated goods are, some of them, particularly donated pharmaceuticals, have also been the subject of controversy in terms of the recognized value they are given in the audited financial statements of charities.

I am pleased to note that the American Institute of Certified Public Accountants (AICPA) invited Bennett Weiner, BBB Wise Giving Alliance’s Chief Operating Officer, to post a blog on this subject on their website: Fix the GIK: The Valuation of Gifts-in-Kind in Nonprofit Financial Statements. This article also links to a longer AICPA white paper on this same subject.

We encourage our readers to review this AICPA blog page. BBB WGA is grateful for the opportunity to address this matter and hopes this advisory helps generate more discussion within the charitable sector about donated good valuation.

Video of the Week

As part of our Building Trust Video Series, we are pleased to provide a video of Lt. General Henry “Pete” Osman, USMC (Ret.), President and CEO, Marine Toys for Tots Foundation, (a BBB Accredited Charity) which supports the U.S. Marine Corps Reserve Toys for Tots Program by raising funds to provide toys to supplement the collections of local Toys for Tots campaigns. In 2017, the organization reports that MTFTF distributed 18 million toys to 7 million less fortunate children and provided the leadership and managerial oversight for the Marine Toys for Tots Program, which included over 800 local campaigns taking place in all 50 states, the District of Columbia, Guam, Puerto Rico, and the Virgin Islands.

Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to give.org/charity-inquiry/ if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
July 17, 2020
Wise Giving Wednesday – Building Trust Video Series
More and more we are hearing that videos have become an important forum to communicate information in a quick and meaningful fashion. So with today’s blog we are proud to launch our Building Trust Video Series, which features an interview with Jean Knaack, Executive Director of Road Runners Club of America.
This video series is intended to provide the donating public with a chance to view comments from various charity leaders who believe in the importance of trustworthiness. Among other things, topics covered in the taped interviews will discuss the charity’s mission, how it defines success, the value of being a BBB Accredited Charity Seal participant, and what measures they take to help ensure their organization’s commitment to strengthening donor trust. We hope you will enjoy the chance to see how charities are recognizing the importance of accountability in carrying out their good works. We appreciate the time they have taken to spend with us and are proud to have Jean Knaack in our first video.

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to https://www.give.org/ask-us-about-a-charity1/ if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.
H. Art Taylor, President & CEO
BBB Wise Giving Alliance
July 17, 2020
Wise Giving Wednesday: Differences in Public Trust by Type of Charity
Last week, BBB Wise Giving Alliance released the 2019 edition of the Give.org Donor Trust Report which provides the results of an annual survey of 2,100 adults across the United States. This research explored donor beliefs, feelings and behavioral intentions related to charity trust and generosity. Among other things, our research results found that some categories of charities are trusted more than others.

Survey respondents were asked to rate their trust in charities on a 10 point scale with 10 being the highest and 1 the lowest score. They were provided a list of 13 types of charities and asked to score their trust in each. If they indicated a score of 9 or 10, that was considered high trust. According to the data collected about each of the 13 types of charities listed (see chart below) the percentage of respondents that gave a high trust score ranged from 15% for arts/culture organizations and environmental organizations to 28% for religious organizations.

Although religious organizations received the largest high trust score (28%) this category had a 4% drop when compared to the previous year’s results (32%). The largest decrease for the high trust score was received for the civil rights and community action organizations which went from 25% in the previous year to a high trust score of 15% for this latest survey.

In addition, this survey sought to identify public perceptions about their trust in charities. This does not mean that this represents the actual accountability of these organizations. The vast majority of soliciting charities are transparent and engaged in appropriate practices. For example, of the nationally-soliciting charities that disclose information to BBB Wise Giving Alliance, approximately 70% meet all 20 of the BBB Standards for Charity Accountability and only 30% do not meet one or more of these standards.

Chart Above Displays High Trust by Type of Charity

Video of the Week

As part of our Building Trust Video Series, we are pleased to provide a video featuring an interview with Jackie Melillo, Director of Grant Development, United Palestinian Appeal (a BBB Accredited Charity) which seeks to alleviate the suffering of Palestinians, particularly those in the West Bank, Gaza Strip and refugee camps throughout the Middle East, and to contribute to the long-term socioeconomic and cultural development of Palestinian society.

Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to www.give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President and CEO
BBB Wise Giving Alliance
July 17, 2020
Wise Giving Wednesday: Donating Cars to Charity
For some households, the donation of a car to charity can represent the single largest contribution made to charity during the year. This is all the more reason for donors to make sure their generosity is helping those in need while also resulting in the anticipated tax deduction. Unfortunately, contributors need to be careful as appeals for such in-kind gifts can also lead to disappointments if proper steps are not taken.

Of course, the first step is to check out the charity before making such a gift, especially if you are unfamiliar with the organization. Don’t assume what the charity does based solely on its name. In addition to ensuring the charity is registered to solicit with the government agency in your state that regulates charities (usually a division of the office of the state’s attorney general), see if there is a report on the group at Give.org which specifies that the charity meets the 20 BBB Charity Standards.

Ask the charity how much it receives from the charity auction that sells the collected used cars. It could be a percentage of the gross sales or a fixed amount per vehicle. In some cases, the organization may be receiving just a small amount.

See the following IRS Publication on car donations to learn about the tax deductibility rules involving such gifts https://www.irs.gov/pub/irs-pdf/p4303.pdf

Finally to avoid potential trouble, make sure to transfer the title of the car to the charity’s name before it leaves your possession. This avoids the hassle of dealing with the car being involved in an accident and/or is parked illegally after you make the donation.

For additional tips on car donations visit: http://www.give.org/for-donors/about-specific-giving-guidance/car-donations/

Video of the Week

As part of our Building Trust Video Series, we are pleased to provide a video featuring Michelle Jackson, President & CEO, Ability Connection Oklahoma (a BBB Accredited Charity) that provides programs and services for individuals with cerebral palsy and other disabilities in Oklahoma.

Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to https://www.give.org/ask-us-about-a-charity1/ if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance
July 17, 2020
Wise Giving Wednesday: Donations to Help Syrian Refugees

Over a year ago, BBB Wise Giving Alliance distributed a donor advisory about Syrian refugee assistance. It is with deep sadness that a year later, the crisis for Syrian refugees continues to escalate, particularly in the aftermath of the destruction of Aleppo. Amnesty International reports that over the course of five years of warfare, over 4.8 million Syrians have fled to five countries (Turkey, Lebanon, Jordan, Iraq and Egypt) and that the UN estimates another 13.5 million are currently in need within Syria itself.

During this season of giving, many generous American donors will respond to help Syrians in need. We advise contributors to keep the following tips in mind to help identify trustworthy relief efforts and to help avoid those seeking to take advantage of public sympathy about a tragic and devastating situation. With so much as stake, every donation counts. However, one of the difficulties in providing help within Syria itself, as reported by a December 13 ^th blog posted by CARE, is that “Since 2012, all humanitarian assistance delivered outside of government supervision is prohibited.”

Find Out What the Charity Does.
There are a variety of organizations involved in assisting Syrian refugees as well as those still in Syria. Make sure you know what activities the charity is carrying out before you make a gift. Some organizations are focused on providing food, water, basic necessities and medical care while others are assisting with housing, childcare and education. In most cases, you can’t tell what the charity does based on its name alone.

Find out if the charity has an on-the-ground presence in the impacted areas.
Unless the charity already has staff in the affected areas, it may be difficult to bring in new aid workers to provide assistance quickly. As noted above, this is particularly true in Syria due to government restrictions on aid and the danger posed to relief workers providing assistance.

Be wary of claims that 100 percent of donations will assist relief victims.
Despite what an organization might claim, charities have fund raising and administrative costs.

Determine if the charity is providing direct aid or raising money for other groups.
Some charities may be raising money to pass along to relief organizations. If so, you may want to consider “avoiding the middleman” and giving directly to those that have a presence in the region.

The following organizations are collecting funds for Syrian refugee relief and meet all of the BBB Charity Standards:

American Refugee Committee
CARE USA
Catholic Relief Services
Church World Service
Concern Worldwide US
GlobalGiving
Helping Hand for Relief and Development
International Medical Corps
International Rescue Committee
Islamic Relief USA
Lutheran World Relief
Medical Teams International
Mennonite Central Committee
Mercy Corps
Oxfam America
Plan International USA
Save the Children
SOS Children’s Villages-USA
United States Fund for UNICEF
World Relief
World Vision

Finally, remember to let us know by going to https://www.give.org/ask-us-about-a-charity1/ if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance

July 17, 2020
Wise Giving Wednesday: Advice on GivingTuesdayNow – May 5, 2020
GivingTuesday, which has gained worldwide attention in promoting donations during the holiday season, has launched a campaign taking place on May 5^th, to encourage donating to charity and/or otherwise helping communities in response to the needs caused by COVID-19. We know this is a critical time to show support and encourage donors to consider the following advice.
1. Watch out for name similarities. When charities seek support for the same cause, their names can look similar. Before you give, be sure you have the exact name of the charity to avoid a case of mistaken identity.
2. Be cautious about newly created coronavirus charities. While well intended, they may be less effective than more experienced groups and are harder to check out without a track record.
3. Consider your favorite causes. All types of charities need your support at this time, not just the ones that address coronavirus issues.
4. Don’t rely on stories and passion alone in assessing trust. Most charities use stories to help describe their mission and motivate individuals to donate. Emotional pleas, however, are not a reliable indicator to verify trust. Look beyond the passion to see if the charity clearly indicates what specific activities your generosity will support.
5. Don’t focus excessively on financial ratios. While financial ratios are an important part of a charity’s overall picture, excessive focus on low overhead spending can be misguided and potentially harmful to an organization’s capacity for service. Also, some charities have already experienced financial hardships due to the impact of the virus.
6. Rely on standards-based evaluations. Help verify the trustworthiness of charities by reviewing the in-depth evaluations that specify if the subject charity meets the 20 BBB Standards for Charity Accountability. Get free access to charity reports at Give.org.
As both nationally-soliciting and regionally-soliciting charities welcome your help during this challenging time, consider your giving choices carefully to ensure your generosity is well used.

Video of the Week

As part of our Building Trust Video Series, we are pleased to provide a video interview with Cheryl Crazy Bull, President & CEO of the American Indian College Fund (a BBB Accredited Charity) that works to help all Native people meet their full potential by providing them with access to a higher education. The organization reports that it provided over 5,000 scholarships in the past year to students seeking to better their lives through higher education. AICF also provides financial and programmatic support for the needs of 35 accredited tribal colleges and universities, ranging from capital support to cultural preservation curricula.

Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to www.give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance
July 17, 2020
Wise Giving Wednesday: GiveSafely.io Helps Donors Give to Trusted Charities and Secures Personal Data
As announced in our press release, BBB Wise Giving Alliance launched a new donation platform on July 4th: GiveSafely.io. BBB WGA chose to introduce this new program service on Independence Day since it is intended to provide donors with more freedom and control over the use of their personal data through the use of blockchain technology (also called a digital ledger where “blocks” of records are distributed in a secure fashion to many computers.) Because blockchain transactions are processed without institutional intermediaries, it enables peer-to-peer interactions between donors and charities. Donations go directly to the charity without donors having to worry about their personal data being mined, monetized or potentially misused by third parties. Also, BBB WGA has no access to detailed donor data and receives no transactions fees from the donations.

Only nationally-soliciting charities that are found by BBB WGA to meet all 20 BBB Standards for Charity Accountability (i.e., BBB Accredited Charities) can choose to receive contributions on this platform. The initial charity participants are as follows and we anticipate a growing number will join them in the coming weeks: Save the Children, Easterseals, Physicians Committee for Responsible Medicine, Population Media Center, RedRover, Wild Animal Sanctuary, Cure Alzheimer’s Fund and World Emergency Relief. In turn, as this charity donation website expands, it also will evolve as BBB Wise Giving Alliance identifies how to further address concerns about trust, security and related matters.

We are also proud to provide donors with interactive opportunities with charities. As donors choose to share more personal data with charities, they are rewarded with TrustTokens which are redeemable for online experiences with charities such as video chats with charity leadership or staff. While this engagement may be particularly of interest to younger donors, we believe that older donors also will be motivated to access such offerings since COVID-19 has limited in-person experiences with charities such as fundraising events (walkathons, dinners) that are no longer being held. Go to Givesafely.io to learn more about this cutting edge platform.

Video of the Week

As part of our Building Trust Video Series, we are pleased to provide a video interview with Bill Ryerson, President of Population Media Center, a BBB Accredited Charity that uses entertainment education and mass media to promote social and cultural change towards environmental and women’s rights and empower individuals to live healthier and prosperous lives that are in reciprocity with the world’s renewable resources.

Recent Reports

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance
July 17, 2020
Wise Giving Wednesday: BBB WGA #GivingTuesday Activities
Yesterday, November 29 ^th, was #Giving Tuesday, the designated day for making donations to charity. For the past four years, BBB Wise Giving Alliance has participated in helping to promote wise giving on this special day. Here is a summary of our outreach efforts in encouraging participation:

Wise Giving Wednesday blog:

Last Wednesday, our Wise Giving Wednesday blog included giving tips on #GivingTuesday as well as a link to a recent Council of Better Business Bureaus podcast, The Bistro, which features an interview about #GivingTuesday.

USA Today full page ad.

The November 29 ^th edition of USA Today featured our annual full-page ad of BBB WGA national charity seal holders along with a message to check out charities at Give.org.

Huffington Post

I was invited to submit a blog for the Huffington Post about #GivingTuesday which appeared on Saturday, November 26th. It features a very personal story that addresses the important role charities can play and encourages wise giving.

#ReutersCharity Twitter Chat

BBB WGA participated in a #ReutersCharity Twitter chat on Tuesday, November 29 ^th along with representatives from Fidelity, Schwab, Blackbaud, Charity Navigator, Oceana, ACLU & others. Please check out the chat at #ReutersCharity.

Giving Tips Video

Last year I helped produce a video that provided some giving tips that are valid on #GivingTuesday as well as throughout the year. Review this to get some quick advice on your end of year giving decisions.

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to https://www.give.org/ask-us-about-a-charity1/ if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance
July 17, 2020
BBB WGA Represented on Top 25 Most Influential Experts List

This week the annual list of America’s Most Influential Philanthropy Experts was released and for the first time includes Art Taylor of BBB Wise Giving Alliance, highlighting his work in empowering and educating donors and raising the issue of trust in the charitable sector.

The list of 25 experts also includes Paul Polizzotto of Ecomedia CBS, Chris Anderson of TED and Laura Arrillaga-Andreessen of Giving 2.0.

Each of the leaders has a strong record in the last year of raising the bar in the nonprofit industry—from increasing charity transparency to new models of public-private partnerships to removing traditional barriers to giving.

“While there are still some movers and shakers from past years, there are quite a few new experts on the list,” Michael Chatman, host of The Michael Chatman Giving Show said. “The competition for being one of the most influential experts in philanthropy is fierce!”

“It is a privilege to be honored with this group of leaders in our sector,” H. Art Taylor, president and CEO of BBB Wise Giving Alliance (WGA) said. “It reflects the commitment of our teammates in the BBB system to enable trustworthy charities to produce sustainable change and help donors have a clear understanding of how to support their work.”

Taylor’s mission of increasing charitable trust and transparency comes to life at Give.org where BBB WGA provides free resources to help donors make wise giving decisions. The BBB WGA monitors charities so donors don’t have to, allowing donors to give with peace of mind.

Find the complete Top 25 Most Influential Philanthropy & Social Innovation Experts here.

The list was are computed using a complex formula including rigorous research, data analysis, and public voting run by Philanthropy Media and The Michael Chatman Giving Show.

ABOUT BBB WISE GIVING ALLIANCE (WGA):

BBB Wise Giving Alliance (BBB WGA) is a standards-based charity evaluator that seeks to verify the trustworthiness of nationally-soliciting charities by completing rigorous evaluations based on 20 holistic standards that address charity governance, results reporting, finances, fundraising, appeal accuracy and other issues. National charity reports are produced by the BBB WGA and local charity reports are produced by local Better Business Bureaus – all reports are available at Give.org.

July 17, 2020
Wise Giving Wednesday: And the Oscar® Goes To…Charity Ribbons
As a symbol of achievement in the movie industry and perhaps worldwide, the Oscars are probably one of the most recognized awards given out today. While there is no equivalent in philanthropy, it is interesting to note that one connection to charity in this year’s awards ceremony is the appearance of the blue ribbon, representing support for the American Civil Liberties Union, on the dresses and lapels of many of the celebrities attending the event. That subtle but visible, cloth attachment quickly communicates with the public about a cause without saying a word.

Over the years, different color ribbons have become a staple of charity messaging. It is hard to know when it all got started, but in my younger years, I remember Tony Orlando’s 1973 pop hit, “Tie a Yellow Ribbon Round the Old Oak Tree” which many interpreted as a symbol for a loved one who would be welcomed home after a long absence, especially the military. Soon the yellow ribbon became a universal symbol of support for active service members and their families and today, is incorporated for use by many veterans and military service organizations.

And of course, most of us have seen the pink ribbon, an awareness symbol of the breast cancer cause, that is used by many charities seeking to find a cure or assist those afflicted with this disease. And, then there is the red ribbon representing HIV/AIDS awareness. Other colors have filled out this ribbon rainbow to bring public attention to various campaigns and I am sure additional ones will be created over time.

Ribbon awareness can certainly help in charity outreach, but the public needs to be cautious when such symbols appear on retail products without any disclosure indicating how their purchase will benefit the cause. See BBB Charity Standard 19 for information on the recommended disclosures for cause-related marketing.

Whatever charity ribbon you decide to wear proudly, remember to also take the time to verify if the sponsoring organization also meets the BBB Standards for Charity Accountability.

On a separate note, as part of our Building Trust Video series, we are pleased to provide a video of Fran Solomon, Founder and President of HealGrief (a BBB Accredited Charity) which offers virtual, online support for bereaved individuals.

We are always working with charities to publish or update reports for donors. Visit Give.org or local BBBs to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to https://www.give.org/ask-us-about-a-charity1/ if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.

H. Art Taylor, President & CEO
BBB Wise Giving Alliance
July 17, 2020