Tuesday, November 03, 2009

Getting Rich Off Tax Dollars


I spent most of my working life in a state job, where I came to know and have dealings with many people who worked for non-profit organizations. Some of these organizations received government funds (taxpayer dollars), some survived on public donations and others got a combination of the two.

But one thing that was pretty common to all of them was that the people who worked for them did not get paid a whole lot. These people knew this when they applied for the jobs. They weren't in the industry to get rich, but to help other people. These were very nice and very caring people, and I came to like and respect them a whole lot.

But sadly, there are a few people in the non-profits who think they should be able to get rich off public donations or taxpayer dollars. For example, look at the case of Edward and Marcia Dawson. The Dawsons run a California non-profit called Social Vocational Services, which operates oon taxpayer dollars. They provide job training, life skills instruction and group housing for developmentally disabled people.

Just in the last five years, this couple has earned over $7 million in salary and deferred compensation. And this doesn't count the money they received from renting vans and property to the non-profit organization -- they're receiving over $700,000 a year in rent. One of the properties the non-profit rents from them is a San Francisco apartment (and the only people who stay there are the Dawsons when they're in town).

While most of us thought that non-profits weren't supposed to turn a profit, the Dawsons have figured a way for their non-profit to make them filthy rich. In addition to their exorbitant salary and rental incomes, all off the taxpayer dollars the non-profit receives, they have been able to buy millions of dollars worth of property.

They defend their largesse by claiming that CEOs of non-profits deserve the same kind of salaries and benefits received by leaders of private corporations. Personally, I think that's a load of crap. If you want to get paid like those in private sector, then go get a job in the private sector. But no one deserves to get rich off of taxpayer dollars or public donations.

Non-profits are not given those donations or tax dollars to make some jerk rich. They receive that money because they are supposed to help needy people with it. Those working for the non-profits should make a livable wage, but the Dawsons have gone far beyond that.

Evidently this is not illegal, but it should be. It is certainly immoral and unethical and greedy beyond belief.

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