The American Red Cross puts on a show of doing great work but their administrative overhead is very high. I used to know someone who worked in the Seattle office and the sheer number of high-end catered lunches for the staff was staggering. Very cushy offices too.
From Propublica - Journalism in the Public Interest:
‘American Red Cross Sunshine Act’ Would Open Charity to Outside Scrutiny
Federal legislation is being unveiled today that would force the American Red Cross to do something that it has repeatedly resisted: open its books and operations to outside scrutiny.
The proposed American Red Cross Sunshine Act comes in response to a government report, also being released today, that finds oversight of the charity lacking and recommends Congress find a way to fill the gap.
Though the Red Cross has a government-mandated role responding to disasters, “no regular, independent evaluations are conducted of the impact or effectiveness of the Red Cross’s disaster services,” the Government Accountability Office report found.
The inquiry cites reporting by ProPublica and NPR about the Red Cross’ failures during Superstorm Sandy and misleading statements by CEO Gail McGovern about how the group has spent hundreds of millions of donated dollars.
The 18-month GAO examination was requested by Rep. Bennie Thompson, D-Miss., who also authored the proposed legislation. The bill would require regular government audits of the Red Cross’ finances, its response to disasters in the United States, and its work abroad.
“The public deserves and needs to know that money is going for which it is intended,” Thompson said in an interview, citing the troubled Red Cross responses after Hurricane Katrina, the earthquake in Haiti, and Superstorm Sandy.
Much more at the site. These people are taking our money and spending a good chunk of it on themselves and as little as possible on their professed charities. Time to clean house or shut down. My personal choice? Team Rubicon.
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