Billy Graham is tax exempt - why?
Billy Graham Evangelistic Association
www.give.org
there is more than one website about his tax exempt 'church'
Billy Graham Evangelistic Association November 2005
1 Billy Graham Parkway
Charlotte, NC 28201
877-247-2426
704-401-2432
www.billygraham.org Expiration Date: November 2007
Year, State Incorporated: 1950, Minnesota
Affiliates: Blue Ridge Broadcasting Corporation, Graham Fund for Evangelism
Stated Purpose: "to support and extend the evangelistic calling and ministries of Billy Graham and Franklin Graham by proclaiming the Gospel of the Lord Jesus Christ to all ... by every effective means available ... and by equipping others to do the same."
Evaluation Conclusions
Billy Graham Evangelistic Association (BGEA) does not meet the following 3 Standards for Charity Accountability.
Standard 4 : Compensated Board Members - Not more than one or 10% (whichever is greater) directly or indirectly compensated person(s) serving as voting member(s) of the board. Compensated members shall not serve as the board's chair or treasurer.
BGEA does not meet this Standard because the chair of the board is directly compensated.
Standard 12 : Detailed Functional Breakdown of Expenses - Include in the financial statements a breakdown of expenses (e.g., salaries, travel, postage, etc.) that shows what portion of these expenses was allocated to program, fund raising, and administrative activities. If the charity has more than one major program category, the schedule should provide a breakdown for each category.
BGEA does not meet this Standard because the organization's financial statements did not include a detailed functional breakdown of expenses by natural classification (e.g., salaries, travel, postage, etc.) that shows what portion of these expenses was allocated to program, fund raising, and administrative activities.
Standard 17 : Web Site Disclosures - Include on any charity websites that solicit contributions, the same information that is recommended for annual reports, as well as the mailing address of the charity and electronic access to its most recent IRS Form 990.
BGEA does not meet this Standard because its website does not include all of the recommended information for charity websites that solicit contributions. Specifically, it does not provide electronic access to BGEA's most recent IRS Form 990.
In addition, the BBB Wise Giving Alliance requested but did not receive complete information on the organization's governance and oversight, effectiveness measures, finances, solicitation materials, donor privacy, and fundraising disclosures and is unable to verify the organization's compliance with the following 12 Standards for Charity Accountability: 1, 3, 5, 6, 8, 9, 13, 14, 15, 18, 19, and 20.
Charity Response: In response, BGEA indicated that it voluntary provided the Alliance copies of its latest IRS Form 900, audited financial statements, and annual report. However, it does not wish to provide other requested updated information. BGEA believes that it "...continue[s] to enjoy a reputation for accountability and trustworthiness."
Billy Graham Evangelistic Association (BGEA) meets the remaining 4 Standards for Charity Accountability. Please note that as of the date of this report 1 of the 20 Standards for Charity Accountability is not currently effective. As a result, this Standard has not been applied to this evaluation.
Programs
BGEA conducts evangelistic outreaches in North America and around the world. BGEA also publishes a monthly magazine, Decision, which includes articles on evangelistic and spiritual growth and updates about the current work of BGEA. BGEA's literature ministry also sells various Christian publications and products. BGEA maintains a youth website. The organization's broadcast evangelism program also produces television specials across the United States and Canada, as well as radio programs and Christian-themed motion pictures. Its training ministry prepares individuals for large scale and one-on-one evangelism. BGEA's World Emergency Fund provides physical and spiritual aid to areas around the world that have been affected by natural disasters. Some ($43,461,624 or 44%) of BGEA's program activities are carried out in conjunction with fund raising appeals. Most ($6,507,084 or 62%) of BGEA's administrative expenses are carried out in conjunction with fund raising appeals.
For the year ended December 31, 2004, BGEA's program expenses were:
Radio, television and films 26,599,011
Evangelistic crusades and festivals 19,450,833
Communications - other 17,658,532
Other evangelistic ministry 10,255,040
Billy Graham Training Center 9,118,126
Training ministry - other 7,838,958
International television and film ministry 6,313,648
Decision magazine 2,602,945
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Total Program Expenses:
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$99,837,093
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Governance
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Chief Executive Officer: Wm. Franklin Graham, III , President and Chief Executive Officer
Compensation*: $151,337
Highest Paid Executive: Billy Graham, Chairman
Compensation*: $451,707
Chair of the Board: Billy Graham
Chair's Profession / Business Affiliation: Founder, BGEA
Board Size: 20
Paid Staff Size: 734
*2004 compensation includes annual salary and, if applicable, benefit plans, expense accounts, and other allowances.
Fund Raising
Method(s) Used:
Fund raising costs were 5% of related contributions. (Related contributions, which totaled $91,273,927, are donations received as a result of fund raising activities.)
BGEA incurred joint costs of $51,793,478. Of those costs, $43,461,624 was allocated to program expenses, $6,507,084 was allocated to administrative expenses, and $1,824,770 was allocated to fund raising expenses.
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Tax Status
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BGEA is tax-exempt under section 501(c)(3) of the Internal Revenue Code. It is eligible to receive contributions deductible as charitable donations for federal income tax purposes.
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Financial
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The following information is based on BGEA's combined (with affiliates) audited financial statements for the year ended December 31, 2004.
Source of Funds
Contributions 74,461,811
Proceeds from estates, annuities and trusts 16,812,116
Realized gains on sale of investments 8,338,352
Decision magazine and other evangelistic materials 6,267,366
Billy Graham Training Center 5,591,257
Investment income 3,666,688
Other income 1,417,553
Evangelistic films 833,056
Change in value of annuities and trusts 415,217
Unrealized investment gains 130,036
Net loss on sale of/disposal of fixed assets -1,045,765
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Total Income
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$116,887,687

so, conclusion is: If you are pro-BushCo- you can get away with anything. Including the bogus evangelistic tripe the Billy spews out. Churches NOT pro-Bush get audited and may have their tax exempt status revoked. Freedom of speech is gone, now freedom of religion....nice going, America.