It is very common for a small organization – whether a small business or a one-man non-profit – to employ themself. It’s a legal way of separating ones personal life from their business venture and protecting their personal assets.

Assuming for a moment that he was legit and actually working against huddled homosexuals, he would need some legal vehicle through which to work. Donors need some entity to contribute to.

Its not only ethical, its kind of a necessity. He couldn’t just do what he pretends to do without a structure.

(and the Box of Rocks rushed off to incorporate)

“I could call myself the United States Office of Boxturtlry but it wouldn’t mean anything.”

Or perhaps “The United States Office of Box of Rocks Oversight”?

I really appreciate the time you took looking over the audits at the link I provided, and the explanations you gave. I have a much better understanding now on how he operates. I do wish someone in authority would take a closer look at ethical issue of PA contracting with his own consulting firm.

Snowman wrote:

“Those people who make a living on exploiting the loopholes in life irritate the hell out of me. I suppose I could run for some post like that, that no one seems to want and make up some bullshit charity and pay myself a big check…but the difference is I’d have difficulty looking at myself in the mirror living such a dishonest life.”

I’m with you 100% on that, Snowman. Yet, this idiot makes gay people out to be the bad guys…

Sickening.

Thanks for so ably addressing the tax/IRS/audit issue. As one who has audited non-profits, I think it highly unlikely that he’s breaking any rules.

It is perfectly legal to ask people to send you money so you can watch homosexuals huddle. And it is perfectly legal to be so stupid that you send it.

Sounds like all the “Public Advocate” does is support Eugene Delgaudio.

At least now I know how this idiot got elected…he ran unopposed.

Those people who make a living on exploiting the loopholes in life irritate the hell out of me. I suppose I could run for some post like that, that no one seems to want and make up some bullshit charity and pay myself a big check…but the difference is I’d have difficulty looking at myself in the mirror living such a dishonest life.

Someone ought to investigate this waste of government funds (and space, and oxygen) I bet there’s something illegal or unethical to find.

Pretty much says it all on the Wikipedia entry on him.

About the only thing he didn’t say was that they were all wearing leather or something. Jesus. This guy is *wierd.*

I’ve never heard of, much less met an actual gay person (or any other kind of person) that even *might* fit his goofy fantastic description, and I grew up knowing a decent number of bisexual or gay people (my mom is bisexual, far as I know she always has been and I’ve always kind of known that) yet I have never met any “long haired, earring pierced men” with screechy voices, or anything like that.

Note to Mr. Delgaudio: Dude, you seem more gay than some of the gay dudes that I know. The fact that his first letter seems like it could be the plot of a porno just…doesn’t add up with everything else that he says about himself.

First, this organization is tax-exempt under section 501(c)4 of the IRS code. That means it is trying to influence public policy and public opinion, not doing primarily charitable, religious, or educational work. It is tax exempt, but donations to it are not tax deductible. The audit notes this.

Second, their financial records appear to be in proper order. The audit seems to meet the minimal requirements of a financial audit.

I currently chair the board of a charitable nonprofit with about $250,000 in annual revenue. Our annual audit is 30 pages and much, much more detailed than this one. But, then, we’re not trying to hide anything.

Third, the percent they are spending on fundraising (officially 23%) seems a little on the high side, but not alarmingly so. Charitable groups try to keep that in the 7 – 10% range. It’s usually higher for political groups. I suspect, though, it is closer to 70% in this case and many fundraising costs are hidden in the administrative costs.

They also seem to have no or very, very few employees. Almost nothing is reported as wages and salaries. Those costs could be classified as administrative, but that’s highly unusual.

Instead, they have a contract with Mr. Delguadio’s consulting firm. It’s not all that unusual for a nonprofit to work with a consulting firm. But it does appear to be “self-dealing,” which raises ethical if not legal questions. The contract is disclosed in the audit.

Mr. Delguadio knows how to dot his i’s and cross his t’s. His appearance of propriety does not make him less disgusting or less pitiable.

The saddest aspect is that people donate to someone who is always on the brink of complete failure according to his own email fundraising messages. Despite his assertions of success, there really is no evidence this organization has been remotely effective in its lobbying efforts.