Elsewhere online
June 01, 2015

Opinion: 4 Steps to Better Charity Oversight

In light of recent attention on charity fraud and lack of transparency, an op-ed in The New York Times calls for reform in oversight of the nonprofit sector.

David Callahan, the founder and editor of the website Inside Philanthropy, says oversight should involve increased transparency in donations, tiered levels of tax exemptions based on how much the organization benefits the public, increased payout rates from foundations and donor-advised funds, and more stringent accounting off the effectiveness of philanthropic spending.

Finally, the author suggests a new federal bureau should be created to police nonprofits. " None of these reforms will make much difference without strong watchdogs to oversee philanthropy and nonprofits," Mr. Callahan writes.