Tuesday, April 03, 2007

Hijacked Part Two: KaChing, KaChing



The Business of Homelessness: Who Does it Make “Cents” For???
PATH Partners, Anonymous Senior Staffer

Ok, so let’s talk about the money. I spend 40+ hours a week strategizing-writing-calling- soliciting-begging-groveling to raise millions of dollars a year to help keep our services running. Through it all, I begin to wonder…is the money we raise making a dent in ending the huge crisis of homelessness? Certainly, on a personal level, we see the change as individuals find employment and families move into their own homes. But in the larger scheme of things, where in the heck is the evidence of a broader “return on our investment?”

Homeless programs and homeless agencies are BIG business. Ever take a look at your favorite homeless agencies’ IRS 990? Ever wonder how much these organizations rake in each year or how much their top executives make? Do yourself a favor and check it out (www.guidestar.org.) Some of these providers gross in at over $45 million a year!! Billions of public and private dollars have been pouring into funding all types of homeless services promising to get people off of the streets. The New York Assembly just passed a bill for $30.34 million to fund 2,000 soup kitchens and pantries, the highest amount ever for this funding level. $30.34 million!! Now that is A LOT of soup and canned peas! In 2005, the city of San Francisco shelled out $89 million to 76 nonprofits who are serving the homeless. $89 million dollars, people!!! In our own backyard, we spend millions more annually to support hundreds of agencies.

I don’t want to discount the extreme importance of all the day-to-day work and services we all offer. I just think that in exchange for the millions and millions of dollars poured into our “business” each year, we need to do a much better job in showing whether we are getting the “bang” for our bucks. Is our money being well spent? Are we making any progress in reducing homelessness?

And another thing… I wish people would stop saying their ultimate goal is to drive themselves out of business to eliminate homelessness! If we take an honest look at ourselves in the mirror, we need to admit that many of us –service agencies, governments, foundations, and politicians, make money off of homelessness. We owe it to ourselves (and our consciences) to demand accountability and effective management of homeless funding. Without that, we end up exploiting the hurt of others for our own financial gain.

6 Comments:

Anonymous Anonymous said...

i hear pangs of a guilty conscience

3:57 PM  
Anonymous Anonymous said...

Interesting response- Comment #1 you must be one of the upset organizations with the 45 million budget:-) :-) no, no, look over here!!

I don’t think that their ability to look at this topic introspectively gives that impression. Just puts the facts out there. As someone who admittedly isn't very adept at all the issues surrounding homeless, I certainly appreciate it.

Nelson Rutherford

4:26 PM  
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