For Immediate Release
1/20/2002
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NCRP RESPONDS TO DOMESTIC COMPONENT OF STATE OF THE UNION ADDRESS WITH CALL FOR ‘NONPROFIT STIMULUS PACKAGE'
While Praising President for Encouraging Volunteerism, NCRP Cautions ‘Private Charity Can Complement Public Responsibility - Not Replace It'
WASHINGTON ­­­­- After President Bush's State of the Union address last night, National Committee for Responsive Philanthropy (NCRP) President Rick Cohen issued the following statement:

President Bush deserves credit for encouraging volunteerism and civic service, but charity alone cannot and should not bear the full burden of helping our nation's most disadvantaged families.  Private charity and individual volunteerism can complement public responsibility - not replace it.  Good neighbors cannot replace good government.

To meet the domestic needs of a nation still in the throes of recession, NCRP is calling for a nonprofit stimulus package to be included in any broader economic plan.  America's charities have been stretched thin by the recession and the Sept. 11 terrorist attacks.  The heartening public support for the Sept. 11 victims did not and could not meet the ongoing needs of millions of America's most vulnerable families.  Our country's more than one million nonprofit organizations need help, working with all levels of government as well as with the private and philanthropic sectors.

As part of a nonprofit stimulus plan, the president should:

·        Use his bully pulpit to encourage foundations to increase the percentage of their endowments that they invest in America's nonprofits;

·        Boost federal investment in nonprofits to strengthen the social safety net and public infrastructure;

·        Facilitate active participation by nonprofits in shaping the federal regulations they implement; and

·        Help government and philanthropy to assist community-based organizations in building their technological and organizational capacity.

America's private foundations also are critical at this difficult time.  Foundations are only required to contribute five percent of their endowments annually to support worthy nonprofit organizations.  During recessions, as endowments shrink, so does foundation support for nonprofits.    This happens precisely when America's charities and the vulnerable families they serve are in the greatest need.  Foundations can afford to increase the percentage of their endowments that they invest in America's nonprofits; the president and Congress should create investment incentives for foundations to do so now, when it will make the most difference.

Since last September, Americans have come together as rarely before.  We remain united behind our president in the war on terror.  Likewise, we must unite to meet the unmet needs of our most vulnerable families.  We must unite public responsibility with private charity to ensure social and economic justice for all American families.
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