Scores of smaller Washington, D.C.-area nonprofit organizations could be frozen out of United Way funding as the group implements new grant guidelines that favor big charities, according to?The Washington Post.
The changes, outlined last week in a letter from the United Way of the National Capital Area to local groups, make support less likely for charities that raise less than $50,000 a year. The D.C. affiliate, whose workplace-giving campaign supports more organizations than any local United Way group, said it is responding to donors who want to see clear evidence that their contributions are making an impact.
Smaller charities said the new rules could be fatal to groups that operate on a shoestring and do not take into account factors beyond fundraising to measure a charity?s effectiveness. But Chuck Bean, president of the Nonprofit Roundtable of Greater Washington, called the shift ?a good move.?
?It?ll enable [the United Way] to focus on high-performing organizations,? Mr. Bean said, but he added, ?It won?t be without pain.?
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