American • Wisconsin ranks low in overall charitable giving

Wisconsin ranks low in overall charitable giving
By Don Walker of the Journal Sentinel Aug. 24, 2012

When times are tough and needs are great, Wisconsinites can be counted on to flash their credit card, write a check or put a few extra bills in the collection bucket for charity.

Or can they?

Not according to the Chronicle of Philanthropy, which this week published an extensive look at giving in America.

Compared with other states, Wisconsin ranked near the bottom: 44th among the 50 states.

According to the Chronicle of Philanthropy’s research, Wisconsin residents contributed $2 billion to charity, based on 2008 dollars, with a median contribution of $1,747. Put differently, residents allocated 3.4% of their income to charity; the national median is 4.7%.

Utah, with a large Mormon population and a tradi tion of tithing, was the most giving state in the nation. Utah residents allocate 10.6% of their income to charity.

A number of Bible Belt states, also with traditions of tithing, followed Utah.

New Hampshire ranked last, with residents donating 2.5% of their income to charity.

The Chronicle of Philanthropy also looked at the nation’s metropolitan areas. The Milwaukee metropolitan area ranked 285th out of 366 metro areas. And of the 50 largest metro areas, Milwaukee ranked 42nd, lower than such areas as Cleveland, Cincinnati, St. Louis, Chicago, Minneapolis, Columbus and Indianapolis.

Even Detroit, with a dwindling population and an economy in tatters, ranked ahead of Milwaukee.

The study compared generosity rates after residents paid taxes, housing, food and other necessities. The Chronicle of Philanthropy relied on 2008 Internal Revenue Service data – the most recent available – from Americans who itemized their deductions. Only taxpayers who earned $50,000 or more were examined.

In terms of total contributions, Wisconsin ranked 26th.

The release of the study comes just days before the United Way of Greater Milwaukee kicks off its annual campaign. Last year, United Way raised a record $50 million, exceeding its $48 million goal by $2 million. That’s a 7.4% increase over the 2010 campaign total, the largest year-over-year increase in 10 years of giving.

This year, United Way hopes to raise at least $50 million; the group’s exact fundraising goal will be formally released at 4:30 p.m. Wednesday at the Pfister Hotel. This year’s co-chairs are Peggy Troy, president and CEO of Children’s Hospital of Wisconsin; Greg Marcus, president and CEO of the Marcus Corp.; and Paul Jones, CEO of A.O. Smith Corp.

Mary Lou Young, president and CEO of the United Way of Greater Milwaukee, says she was surprised to learn of the state’s ranking for charitable giving. But she said her group has found that Milwaukeeans are generous people.

In 2011, United Way had 68,000 donors. More than half of those donors gave $100 or less.

"I think United Way is trending better because we do a good job of educating the community about the good job we do," she said.

And there is room for more giving, she said. About 1,400 area businesses participate in the United Way, but there are thousands more that don’t.

"We have an abundance of need in this community," Young said.

Deborah Fugenschuh, president of the Donors Forum of Wisconsin, which works to promote and support philanthropy, said she was not surprised by Wisconsin’s ranking.

"It’s always been that way," she said. "It isn’t new news. We just don’t have the wealth that many states have. Our wealth is earned. And we don’t have deep inherited wealth. We do have very wealthy people, but we don’t have a strong middle class."

Fugenschuh said she does not regard Wisconsinites as being cheapskates or being unwilling to help those in need.

"We are frugal. We respond to disasters," she said. "But it’s an important time to sustain our social services network."

It could also mean people have less money to give. A recent New York Times article said that, in nearly every demographic, Americans are earning less than they did three years ago.

Leigh Lane-Peine, chief marketing officer for the United Performing Arts Fund, agreed with Young that Milwaukeeans are generous in their giving. During the April through June fundraising drive, UPAF raised $10.12 million, which was distributed to 36 groups.

Rob Guilbert, vice president of communications and marketing for the Greater Milwaukee Foundation, said he thought the Great Recession hit Wisconsin particularly hard, and that might help explain the state’s ranking.

"Milwaukee for sure was harder hit by the Great Recession," he said.

Earlier this year, the foundation held a one-day match day to raise money for food and shelter organizations. About $1 million was raised.

"We were blown away," he said. "When people give, they respond as much as they can."

http://www.jsonline.com/news/milwaukee/ … 54075.html

Statistics: Posted by yoda — Sat Aug 25, 2012 3:03 pm