A Troubling Analysis of Laguna Honda Volunteers,
Inc.'s Tax Returns
Following on the heels of the Laguna Honda Hospital patient gift
fund scandal and the San Francisco City Controllers
audit that ordered $350,000 be restored to LHHs gift fund
for patient benefit a detailed analysis of Laguna Honda Volunteers,
Inc.s IRS tax returns for the eight-year period of 2002
2009 is just as shocking.
The analysis shows that in 2009, for the first time, Volunteers, Inc.s proportion of funds spent on actual Program Services plummeted to just 56.9 percent of total expenditures, well below GuideStar.org and other charity watchdog groups recommendations that, at minimum, at least 70 percent of non-profit organization expenditures should be spent for a charitys tax-exempt purposes.
At the same time, Volunteers, Inc.s portion of combined spending for Management and General + Fundraising has shot up to 43.1% of its total spending.
The analysis also documents that:
An upcoming article will explore in more detail the inter-relationships between Laguna Honda Hospital and Rehabilitation Center (a public agency); Volunteers, Inc.; and the separate Laguna Honda Foundation, since there are striking parallels to the co-mingling of public-private funds involved in the CSU scandal.
_______
Copyright (c) 2011 by Committee to Save LHH. All rights
reserved. This work may not be reposted anywhere on the
Web, or reprinted in any print media, without express written
permission. E-mail the Committee
to Save LHH.