Charities at a Loss -- More in Need With Less Donations

A recent report filed by North Carolina Secretary of State Elaine Marshall's office showed charitable donations down nearly $9 million statewide this year compared to the same time last year. A recent statewide poll revealed that nearly half of all respondents said they were cutting back on donations to charities because of the recession.
The Salvation Army is reporting up to a 40-percent nationwide decline in donations to the group's annual "Army Kettle Campaign."
The red kettles which collected $750,000 last year in Connecticut alone are expected to net less than $100,000 for the Salvation Army this holiday season. The New England state currently boasts the highest per-capita income in the nation.
Hard times have also fallen on the Salvation Army's efforts in Central Indiana, Salt Lake City, Utah and New York City with chapters reporting annual donations shortfalls between 20 and 30-percent.
In San Diego, the Salvation Army Toy Drive will be distributing toys to needy children, though officials fear there may not be enough toys to fulfill the annual tradition.
The American Red Cross also has seen its donations drop both money and supplies. The Southeast Michigan chapter reports that just 1,700 blankets have been collected for the homeless this year, which is more than 8,000 short of their goal.
The 'New' Depression
According to the Chronicle of Philanthropy, a newspaper that focuses on non-profit organizations, nine of the nation's top 10 private foundations saw their endowments shrink. Analysts attribute the decline to donors' financial losses in the stock market.
During the Great Depression of the 1930s, poor and unemployed men typically filled the soup kitchens. Today, those same soup kitchens are filled with children and their struggling parents.
"We get parents and kids in here all the time. The parents have jobs, but the jobs don't pay enough," said "Rodney," a food bank worker in Brooklyn, N.Y. "Some folks can barely afford an apartment, so they can't afford food. Then they get laid off, and they lose their apartment. We get more kids in here than McDonalds because they can't even afford to eat there anymore."
In many cities, including Boston and New York City, the number of homeless is at record levels. The number of families living in New York shelters has doubled in four years.
Statistics from the New York City Food Bank exhibit almost one-in-five New Yorkers rely on free food from emergency food programs as soup kitchens, food pantries and shelters in order to avoid going hungry. Recipients of these charities are estimated to include 500,000 children and 300,000 seniors.
City Harvest, nonprofit feeder of 200,000 people per week in New York City, has even been forced to dip into its financial reserves in order to make ends meet. The shelter reported a 20-percent donations drop in 2002.
The Greater Boston Food Bank reports that 78 percent of individuals seeking assistance from feeding programs are not homeless and 22 percent are employed. The charitable service also reports that four out of every 10 who receive meals must choose between eating and paying their rent or mortgage, while another 39 percent choose between food and utilities.
"Although some of our private donations of food and money haven't dropped off, we're finding it harder to keep up with the growing demand," said Catherine D'Amato, president of the Greater Boston Food Bank. "In the past year, over 400,000 people statewide have relied on shelters, soup kitchens, and food pantries just to get their food."
Other food banks are forced to do even more with less. For example, the Denver-based Food Bank of the Rockies said annual donations have decreased from 13.4 million pounds of food two years ago to just 11.3 million this year.
"These are very difficult times. We're seeing double the amount of people who need help," said a spokesperson from Catholic Charities, which operates six shelters in the Denver area.
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Originally published December 27, 2002.





