Newt Gingrich, Incorporated.
The filmmaker Newt Gingrich runs an impressive fundraising operation. Today’s Washington Post reports:
His main advocacy group, American Solutions, ranks as the largest money-making machine of its kind in the country, collecting more than $52 million in its first four years–though nearly two-thirds of that went to fundraising expenses that some experts describe as unusually high.
That’s quite an income-to-expense ratio for a nonprofit. Consumer advocates have noticed.
[American Solutions] spends nearly $2 on fundraising for every $3 it brings in–about twice the figure for many nonprofit groups, experts said. In 2009, for example, the group reported spending $8.8 million for professional fundraising, about 61 percent of total revenue.
Rather surprising, especially when you consider how much Gingrich wants for an autographed “Speaker’s Gavel (simulated)”. As the Post reports, nonprofits should spend no more than 35 percent of their income on fundraising efforts.
More troubling are the group’s methods:
In 2009, American Solutions blast-faxed an unknown number of potential donors with a pitch to have their names included in a newspaper ad bashing the Obama administration. (At least one fax went to a Democrat, who leaked it to Politico.)
According to complaints on consumer-focused Web sites, some American Solutions calls begin with slanted polling questions before proceeding to a request for money. The tactic, known as “fundraising under the guise of research,” or frugging, is discouraged as unethical by trade groups such as the Marketing Research Association.
Why the hard sell if they’re shelling out $2 for every $3 they take in? Maybe it’s not money Gingrich is after. According to the Post, American Solutions has three hundred thousand donors who gave $200 or less–and about 2 million names on its contact list. Might come in handy for a presidential bid.
My addition to the Confession Ap ” Bless me father, I run a scam’
Aw, c’mon. This is Republican America! Capitalism is a way of life here, remember?
I think it’s the other way around: letting people think you might, maybe, think about running for president is a good way to get people to send you money.
I never understood the appeal of Gingrich. Very troubling stories of his personal life (not that I am a fan of prying into the private life of officals but…..).
Plus he does not strike me as a leader-type. I know he was Speaker of the House and while I did not follow it closely at the time, I have read that he mistook his role. He is not Prime Minister, but speaker of the house. HI over-inflation of his importance (institutionally) led to his demise particularly when it came to the irresponsible shut down of the gov’t.
” – irresponsible shut down of the gov’t.”
From what I’ve gleaned from today’s news, his legacy is living on in the Good Weeping Catholic.