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Bureau of Corporations and Charitable Organizations BUREAU OF CORPORATIONS AND CHARITABLE ORGANIZATIONS 2018/2019 ANNUAL CHARITIES REPORT September 27, 2019 SECRETARY OF THE COMMONWEALTH COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF STATE September 27, 2019 Dear Fellow Pennsylvanians: On behalf of the Department of State, we are pleased to present the 2019 Annual Charities Report. The report provides an overview of the activities carried out by the Bureau of Corporations and Charitable Organizations (BCCO), including registrations, investigations and audits of charitable organizations. It also provides helpful information for consumers making charitable giving decisions. The mission of BCCO is to protect Pennsylvania residents by: (1) providing public disclosure of documents filed by charities and professional fundraisers; (2) promoting consumer education about charitable giving; and (3) investigating and prosecuting complaints of reporting violations and fraudulent conduct in the solicitation of charitable funds. Consumers and charities are encouraged to visit the Department’s charities website31TU .U31T The site offers a searchable database where consumers can confirm whether a particular charity is registered, file complaints and view educational materials. Charities and fundraising professionals can learn about their registration and filing responsibilities, view fundraising guidelines and access other resources. This and previous annual reports are likewise available on the Department’s website31T .31T Thank you for your interest in the Pennsylvania Department of State and the work of its Bureau of Corporations and Charitable Organizations. If you have questions about the laws governing charities, or wish to report a fraudulent or deceptive solicitation practice, please contact BCCO at 1-800-732-0999 or http://www.dos.pa.gov/BusinessCharities/Charities31T .31T Sincerely, Bureau of Corporations and Charitable Organizations Table of Contents Introduction .....................................................................................................................................1 Overview .........................................................................................................................................1 Division of Registration and Compliance .......................................................................................2 Investigation Unit ............................................................................................................................2 Performance Highlights ..................................................................................................................3 Registration .....................................................................................................................................3 Enforcement ....................................................................................................................................3 Charitable Organizations ................................................................................................................4 Professional Solicitors ....................................................................................................................5 Campaign Financial Reports ...........................................................................................................6 Professional Fundraising Counsels .................................................................................................6 Cease and Desist Orders .................................................................................................................7 Other Enforcement Actions ............................................................................................................7 Campaign Financial Reports for Charitable Organizations (Alphabetically by Solicitor) ..............8 Campaign Financial Reports for Charitable Organizations (Alphabetically by Charity) ..............35 Introduction The number of charitable organizations contracting with The Pennsylvania Department of State is professional solicitors and responsible for the administration and compensation paid to the enforcement of the Solicitation of Funds for professional solicitor for each Charitable Purposes Act, 10 P.S. §162.1, et campaign in relation to funds raised seq. and administrative costs. The Charitable Purposes Act requires Basic registration and financial information charitable organizations to register with the for all charitable organizations registered to Department of State before they solicit solicit contributions in Pennsylvania can be contributions in Pennsylvania (unless they obtained by visiting the Bureau of are specifically excluded or exempt from Corporations and Charitable Organizations’ registration requirements). website at: 31Twww.dos.pa.gov/BusinessCharities/Charitie The Charitable Purposes Act also requires s31T or by calling 1-800-732-0999, between the professional solicitors to register prior to hours of 8:30 a.m. to 5 p.m. Monday soliciting on behalf of charitable through Friday. organizations in Pennsylvania. Professional fundraising counsels are also required to Overview register before providing solicitation-related services in the Commonwealth. The Bureau of Corporations and Charitable Organizations (Bureau) of the Department The Charitable Purposes Act also lists of State (Department) is responsible for prohibited conduct by persons soliciting for carrying out the duties and responsibilities charitable contributions in Pennsylvania and of the Secretary of the Commonwealth penalties that may be assessed for violations. under the Solicitation of Funds for This annual report covers the period of July Charitable Purposes Act. 1, 2018 to June 30, 2019 and details: The Bureau carries out its functions related The number of charitable to the Charitable Purposes Act through the: organizations, professional Division of Registration and fundraising counsels, and Compliance professional solicitors registered in Investigations Unit Pennsylvania; The number of organizations ordered to cease and desist solicitation in Pennsylvania; and 1 of 90 Division of Registration Investigations Unit and Compliance The Charities Investigations Unit partners with Department of State attorneys to pursue The Division of Registration and those charitable organizations, professional Compliance oversees the processes by solicitors and professional fundraising which corporations and charitable counsels that fail to adhere with the organizations register with the registration requirements of the Charitable Commonwealth pursuant to the Solicitation Purposes Act or that engage in fraud or other of Funds for Charitable Purposes Act. violations of the Charitable Purposes Act. The Unit employs investigators and auditors The Division of Registration and who investigate complaints concerning Compliance also monitors professional violation of the Charitable Purposes Act. solicitors and professional fundraising counsels who contract with charitable In 2014, the Charities Investigations Unit organizations that solicit contributions. was integrated into the Department’s Bureau Professional solicitors and professional of Enforcement and Investigation. fundraising counsels are required to provide documentation relating to their activities on behalf of charitable organizations. The Bureau of Corporations and Charitable Organizations also serves as the repository for registration information pursuant to the Institutions of Purely Public Charity Act 10 P.S. § 371, et seq. Institutions of purely public charity are those organizations that are receiving or claiming exemption from real property and/or sales tax and are not otherwise required to register pursuant to the Charitable Purposes Act. 2 of 90 Performance Highlights Registration During the period included by the 2018/2019 Annual Report to the General Assembly, the Division of Registration and Compliance has: Registered 13,488 Charitable Organizations. Reviewed more than 2,373 documents filed by more than 482 professional solicitors and professional fundraising counsels. Registered 1,063 Institutions of Purely Public Charity. Processed checks totaling over $2.9 million. Responded to over 16,393 inquiries for information. Enforcement The enforcement of the Charitable Purposes Act by the Investigations Unit resulted in: 51 Consent Agreements and Adjudications, Orders for payment of fines in the total amount of $151,000. 67 Cease and Desist Orders. There are currently 478 in effect. The completion of 245 investigations of charitable organizations, professional solicitor or fundraising counsels suspected of violating the Charities Act. 3 of 90 Charitable contributions less than $100,000. These amounts were increased by Act 71 of 2017, Organizations effective February 20, 2018, from $300,000, $100,000 and $50,000, respectively. On June 30, 2019, there were 13,488 charitable organizations registered with the The Charitable Purposes Act defines Department of State. Charitable “solicitation” as any direct or indirect organizations that solicit charitable request for a contribution on the contributions in Pennsylvania and are not representation that such contribution will be otherwise excluded or exempt under the used in whole or in part for a charitable Charitable Purposes Act must file the purpose, including but not limited to any of following: the following: (1) Annual registration statements, (1) Any oral request that is made in person, by telephone, radio or television or other (2) IRS 990 federal informational
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