I heard rumblings that there was bad press circulating about the Arthritis Foundation, in particular, their national headquarters in Atlanta. As I dug deeper into the problem, I found the television news account from WSBTV in Atlanta. It seems that 26 people in administrative positions were laid off. This accounts for about 20% of the entire staff at headquarters.
But, the story is not quite that simple or short. The Atlanta reporter who dug into the tax returns and financials found some alarming facts. Apparently, the 2011 tax return shows that the Director, Dr. John Klippel was paid more than $508,000 that included a hefty bonus. But this occurred while the foundation ran in the red 4 out of the last 5 years.
A regional board member who was interviewed by the Atlanta news station referred to "operational blunders". Klippel, who also was interviewed, suggested that it was proper to cut the administrative positions rather than programs that serve the public. What's more alarming, is the fact that over $14,086,000 were raised in 2011 through outside fundraising programs for the Arthritis Foundation -- but only 22% actually got to the Foundation. Charity Navigator, America's leading independent charity evaluator, has given the Arthritis Foundation HQ only one star.
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