The Price of Liberty is Eternal Vigilance
Spaulding-Paolozzi Foundation - An update
Coastal Conservation League a beneficiary along with the Aquarium and ClemsonWarwick Jones
The Spaulding - Paolozzi Foundation has achieved a reputation in Charleston as a major donor to some pet projects of Mayor Riley. We thought that viewers may be interested in a summary of the Foundation's 2005 results as revealed in the Form 990 submission to the IRS
For us, the only surprise was the inclusion in the small list of beneficieries of the SC Coastal Conservation League which received $125,000. The donation was dwarfed by the other gifts - $500,000 to the Aquarium and $250,000 to Clemson University, for its School of Architecture. After including the remaining gift of $67,000 to the YWCA in Charleston, the gifts distributed by the Foundation in 2005 amounted to $942,000. The distribution was met only partly from the Foundation's operating surplus of $558,000. The balance was met from cash on hand. Total assets of the Foundation at the end of 2005 amounted to $13.5 million.
Need to dip deeper into cash in 2006?
However, the 990 form also shows what has been promised - for 2006 or beyond. These amounts were $750,000 for Clemson, $67,000 for the YWCA and $1 million for the Paul Smith College of New York. If these gifts are made in 2006, the Foundation will need to dip deeper into its cash as a large increase in operating surplus is unlikely given the nature of its investments.
Viewers who wish to see a summary of the financial results over the last 2 years and the Balance Sheet for 3 years should Download file. Note that although the Foundation submitted a 990 form in 2003, we have not attempted to summarize revenue and expenses in that year. The accounts are complex for that year reflecting the sales and transfer of assets from the estate of the Countess to the Foundation. Also note that in 2004, the Foundation sold its interest in Hoopstick Island and received the better part of $5 million in consideration
Mayor Riley continues as a Class 1 director
Viewers will also note from the summary that the list of directors at the end of 2005 was little changed from the previous year and the Mayor Riley continues as a Class 1 director. Considering that all the grants went to non profits located in Charleston, Class 1 directors seemingly have lots of clout.
Not all grants conform to the purpose of the Foundation
We have said it before and we say it again. The grants that the Foundation has made to Clemson for its School of Architecture, and to the Aquarium do not conform to the desires of the late Countess. The following is taken from the 990 submission for 2003 which summarizes the objectives of the Foundation (Interestingly, it does not appear in the 2004 and 2005 990 forms. Does this reflect some embarrassment on the part of the Foundation directors in that they are more swayed by Mayor Riley than the directions of the late Countess?)
A. To research issues concerning health and aging of people
B. To research issues concerning ecological protection and preservation
C. To research issues concerning sustainability and development of agriculture
D. To research issues concerning women, including but not limited to health, aging and human rights.
Or, as more succinctly stated in another section of the tax return, to research issues concerning health and aging, ecological preservation, agricultural development, and all issues concerning women.
For the record, the Countess was a large donor to the Paul Smith College during here life time. We do not know the specific purpose of the proposed $1 million grant shown in the 2005 990 form, but the Foundation Board members who are part of the College Faculty. Dr John Mills is the College President and Prof. Kelting is the Director of the Aquatic Institute. We also note that the SC Conservation League would certainly qualify as a recipient of grants according to the purpose of the Foundation. But we hope that the $125,000 donation in 2005 came with no strings attached, such as continued political support for Mayor Riley's causes.