Organization TrendsRESEARCH CENTER

While God Is Marching OnThe Salvation Army Since September 11

The Army's Faith Is The Foundation For Its Success

Summary: The Salvation Army is one

of the nation's most respected and effective charities. That reputation was onadmirable display again when the Armymobilized its vast network of volunteersand operatives to assist the victims oftheSeptember 11 terror attack, provide aidto exhausted rescue and recovery workers and assist thousands of travelersstranded when the nation's airports temporarily closed.

O ne of the Salvation Army's latestfundraising pitches goes like this: "In a timeof national tragedy, the Salvation Army isready. Please do what you can to help."

The past few months have shown thatno one can accuse it of false advertising.

Emergency reliefcomesalmosttoo naturally to the Salvation Army, which has seenit all. When an American Airlines Airbus en

route to the Dominican Republic went downthe morning ofNovember 12, minutes afterliftoff fi-om John F. Kennedy InternationalAirport, allAmericans—andbattle-womNewYorkers, especially—worried that the second terrorist shoe had dropped. Accordingto the Salvation Army's own accounts, withinminutes ofthe crash in the Rockaway sectionofQueens,New York (aboroughofNew YorkCity), itdeployedthree mobile feedingunits—"canteens"—a vanload of volunteers from

the organization's headquarters on 14th St.inManhattan,and an experiencedgrief-counseling team to console workers and families.

Ofcourse, the deadly crash was child'splay compared to what the Army had beendoing since the first commercial airliner flew

By Kathryn Jean Lopez

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Feature Photo Service

A Salvation Army Mobile Emergency Command Center was dispatched to the site of the World Trade Center. The Army served300,000 meals in the first 72 hours following the attack.

one of their trucks was covered in debrisinto the first tower ofthe World T rade Center

on the morning ofSeptember 11.

In the Eye of the StormWithin 45 minutes of the September 11

terrorist attacks, about 200 Salvation Armyofficers got themselves to the crash sites inNew York City, Virginia, and Pennsylvania,assisted by some 5,000 volunteers. (No oneeven had to ask, they just marched to thescene, ready for whatever they faced.) According to Salvation Army reports, personnel got to what would become known as"Ground Zero" in Manhattan so quickly that

when the first tower of the World Trade

Center collapsed.

Ferbruary 2002

CONTENTS

While God Is Marching OnThe Salvatoin Army Since

September 11:page 1

Briefly Noted: page 6

OrganizationTrends

The Army quickly set up 21 mobile feeding stations inManhattan that served 300,000meals during the first 72 hours after the attack. As Worthmagazine reported, they providedwAafeverwas needed, literally: "American flags to drape over a refrigerated truckbearing the remains of a fallen policeman,hundreds ofteddy bears to comfort the children of the victims, Vicks VapoRub for therescuers to smear inside their nostrils to

cover the acrid stench ofdeath and burningmetal. Small things, but, as the gratefiil recipients declared overand over, they made all thedifference at ground zero." Salvation Armystaff and volunteers gave rescue and recovery workers foot massages. ("We would taketheir boots off, and they would literally bemelting," an Army soldier reported. "Wewould massage their feet, put on salve, thenput on new socks and boots.") They seemingly thought of everything and everyone,from all reports: Salvationists even handedout phone cards for the rescue and recoveryworkers to call home with. Coordinatingwithfederalandcityworkers,theSalvationArmy' scounseling experience made them lifesaversnot only forgrieving families, but forworkersfaced with the overwhelming death and destruction.

Editor: John Carlisle

Publisher: Terrence Scanlon

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From around the world donations have

come in, and the Army has used whateverthey have been sent. Gloves, respirators,hardhats, bottled water. Children have sentin snack packs with notes for the rescueworkers. One typical letter, this one from achildinAlabama,reads:"DearVolunteirs[sic],Thank you for helping. It seems you arehelping all ofAmerica."

Just yards from where they once playedlunch-hour concerts on Wall Street at the

tum ofthe century, the Salvation Army mobilized in ways unprecedented for it (or foranyone for that matter). The Army's effortswere called "Operation: Compassion Under

Mart and bought socks and T-shirts to donate to her local Salvation Army shop. Shedid, and also asked why they had not yetcalled her; she had put her name down on avolunteer's list the previous day. "You wantto help?" the Salvation Army coordinatorasked. "Just start doing something." "So Iwent across the hall where I found two other

volunteers sorting clothes as they weredropped off by donors."

Working as a Salvationist is a familyaffair. Keith Schoch,sonofGreaterNewYorkDivisional Leaders Majors Carl and HildredSchoch, and volunteerRandall Thomas, whilerunning food and supplies down to "Ground

They seemingly thought ofeverything and everyone,,.Salvantionists even handed out phone cards for the rescue

and recovery workers to call home.

Fire." The Army has continued to serve thousands of emergency personnel daily at thesite where the World Trade Center once

stood. It plans to continue serving "until thelast rescue workers leave and restaurants are

up and running," says Colonel WilliamFrancis, second-in-command of SalvationArmy operations Northeastern U.S.

The Salvation Army's website and discussion groups are full ofstories ofsome ofthe good that has come out of the horrificterrorist attack on the United States. These

were the run-of-the-mill New Yorkers who

rushed to volunteer with the Red Cross, thecity or anyone but had to be turned away,because too many New Yorkers, mercifully,felt just the same. Volunteers at the site,according to news reports, included an elderly woman who once was Caroline and JohnF. Kennedy Jr.'s nanny. There was also—and this is familiar to "Ground Zero" observ

ers—^the woman whose husband died in

Tower One, looking for comfort in helpingothers whose pain she shares

Onewoman wrote up heraccount, whichis posted on the Army's site. Lynne Hayden-Findley, a resident of 14"* street in Manhattan, which for a long time was the demarcation linebetween relative freedom and police-state devastation, was one of those turnedaway. Friday after the attack, she went to K-

Zero," kepthearingrescueworkerssaythey'dlove "eggs and hash browns." The canteenshad no such things yet, so Schoch and Thomas canvassed the city until they foundgrocery stores with the items—^the storeswere happy to donate. The stores donated atotal of 20 dozen eggs, eight bags of potatoes, two bags of onions, and a can of oil.

But the Salvation Army's work on September 11 and afterdoesn't end with the three

disaster sites. Minutes after the attack on the

U.S., the Federal Aviation Administration,on orders fromthePentagon,orderedall non-military planes out of the sky immediately.Hundreds of thousands of worried passengers found themselves stranded in unfamiliarcities, watching the devastation unfold inNew York, the Pentagon, and in a field inPennsylvania. For many ofthem, the Salvation Army uniform made its way to thembeforethedaywasthrough—^with freemeals,housing for the night, and counseling andprayers. The Army used as shelter for thestranded the properties in many locations itnormally uses for children's summer camps.

In fact, according to Army spokesmanTomJones, a town inNewfoundland, Canadatripled itspopulationovernightwith strandedairpassengers."The SalvationArmybecametheirprimarysourceoffood andlodginguntilthey could complete their journey."

February 2002

Generous Donors Aid Army'sEfforts

In the wake ofSeptember 11, the Salvation Army has received over $60 million indonations (as ofNovember, when they lastissued official numbers).

Fundraising was aided by "The CountryFreedomConcert"whichaired for threehours

live on the Country Music Channel in October, featuring top-draw country stars likeHankWilliamsJr., ClintBlack,George Strait,Alan Jackson, Tim McGraw,MartinaMcBrideand Trisha Yearwood, among many others.The concertraised $5.1 million for the Salva

tion Army Disaster ReliefFund. Accordingto the Army, 100percentoffunds designatedfor Sept. 11reliefare sent tocommand centersinNew York,NewJersey, Washington, D.C.,and western Pennsylvania. About 20 percent, they've estimated, is being spent onrescue and clean-up at the disaster sites—clean up that continues today—^and the other80 percent goes directly to families impactedby the attack.

The Salvation Difference

A British import, the Salvation Armywas founded in 1865 in the East End of

London. Fifteenyearsafter itwas founded byWilliamBooth, the first Salvationists arrivedin New York City on March 10,1880. Theysoon established a cathedral, a "Cathedral ofthe Open Air."

Back then they could be seen and heardon the streets. Theyweren't as mainstream asthey are today. Salvationists would, as DianeWinston, author ofRed-Hot andRighteous:The Urban Religion ofthe Salvation Army,tells it, march "up the avenues and down theboulevards—even raiding brothels, saloons,and dance halls—in pursuit of lost souls."They were "street-sawy soul-savers." Sincethen, they've modified their image a little, tomakethemmorepalatabletoAmerican streets,but they still believe the same things and theirpresence is still as reliable as the Macy'sThanksgiving Day Parade.

The Salvation Army's mission statement, which has never been altered, goes likethis:

The Salvation Army, an international movement, is an evangelical

February 2002

part of the universal ChristianChurch. Its message is basedon theBible. Its ministry is motivated bythe love of God. Its mission is topreach the gospel ofJesus Christand to meet human needs in His

name without discrimination.

As retired Salvation Armynational commander Robert Watson writes in his new

management book. TheMostEffectiveOrganization in the U.S.. "We believe the Christian life, as taught and modeled by Jesushimself, can be encapsulated in two chargesfrom scripture. One is 'Go ye therefore, andteach all nations, baptizing them in the nameofthe Father, and ofthe Son, and ofthe HolyGhost.' (Matthew28:19,KJV)"

The otheradmonition, he writes, is fromtheparableoftheGoodSamaritan. "Speakingofour responsibility to serve the hungry, thethirsty, the naked, the sick, and other brokenpeople, Jesus said: 'Inasmuch as ye havedone it unto one of the least of these mybrethren, ye have done itunto me.' (Matthew25:40,KJV)"

It's a simple "theology ofservice" thatmight very well make the difference for theSalvation Army. They've come a long waysince their Bible-thumping days, providingdisaster relief, social services, discountstores, counseling—^and yes, prayer—fromits 9,222 centers and over45,000 employees,in every zip code in the United States. Whilestaying firm to their mission, they have managed to work within a secular cultureoftentimes hostile to religion.

Winston writes in her history of theSalvation Army (published by Harvard University Press, 1999):

Seeing New Yorkwithfresh eyes,theypioneereda new way ofdoingreligion. Rather than dependingon buildings, hierarchies, or congregations, citizenry was theircongregation. Supporters didnot havetofollow Army doctrine; they simply had to affirm itspractices. Donors contributedfor various reasons. Some threw money in thekettle because they wanted to help

OrganizationTrends

the poor. Others hoped to propagate Christianity. Still others consideredit a ritualoftheseason. Forthese andother reasons, the Salvation Army became a charity ofuniversal appeal. And its success inattracting public support disproportionate to its actual membership marks its evolution as an urban religion, a faith transformedthrough its interaction with thesurrounding culture and able tospeak across religious, economic,and social lines.

And the difference is evident when

one compares the work of the SalvationArmy since Sept. 11 to the controversysurrounding, say, the Red Cross. WhereasBemadine Healey, recently resignedpresident of the Red Cross received asalary of$450,010, the Salvation Armypays its top executive, John Busby,$13,000 a year, plus fhigal room, board,and transportation expenses. Likewise,when Robert Watson was "co-C^O" of theArmy with his wife Alice, combined theyreceived less than $74,000 annually.Watson served in the Salvation Army for44 years before retiring in 1999.

After visiting Ground Zero, authorPhilip Yancey, an editor at ChristianityToday wrote a piece for The War Cry, theArmy's U.S. publication.

Gordon MacDonald tells ofvisiting a former cocktail lounge nearGround Zero, all its windows bro

ken so that you could see the barinside. Thick dust and pulverizedconcretecoveredeverysurface. Onthe mirror above the bar someone

had written the name and number

ofhisfire brigade and then addedthe words, "Others run out; we runin!"

I came to believe that motto captures the mission ofThe SalvationArmy, too.

The Salvationists I met have no

unusual skills or training that distinguish them from many others.

OrganizationTrends

They do have, though, a commitment to dash in. and remain in,

places where the natural instinctwould be toflee. They soldier on.

Not Everyone's Favorite CharityNoteveryone loves the SalvationArmy,

however. When their kettle patrol hit thestreet comers and malls this Christmas sea

son with their familiar bells and red kettles,

instead of loose change, some kettles werestuffed with fake $3 and $5 bills. These

insulting fake bills were printed from thewebsite of Parents, Families and Friends ofLesbian and Gays (P-FLAG).

A typical exampleofthe protestbill goessomething like this: "When the SalvationArmy ends its policy ofreligious bigotry anddiscrimination againstgay, lesbian, bisexualand transgendered people then, and onlythen, will this be a real dollar bill."

What the protest is about is a controversial decision and then the rescinding of thatdecision. The controversy started much earlier than this year. In 1998, the SalvationArmy gave up $3.5 million in public fundsfrom the city of San Francisco rather thancomply with a mandate that any organizations doing business with the city providethe same benefits to same-sex domestic partners as to married couples.

In the summer of 2001, as PresidentBush's faith-based initiative was being promoted, it was leaked to the Washington Postthat the White House was on the verge ofissuing an order that would prevent ordinances like the one in San Francisco. Rumor

had it that the Salvation Army had promisedto support the Bush compassionate conservative package in retum.

The order was not issued. Ultimately, inlate October, the Salvation Army's nationalleadership decided to grant each region thefreedom to make benefits decisions on its

own. That's when the real trouble started.

The Salvation Army's 13-statewestern territory announced it would permit benefits to"legallydomiciled adults" ofemployees. Immediately, the Salvation Army across thecountry was inundated with complaints, including from Focus on the Family presidentJames Dobson, whose daily radio show.

broadcast over 3,000 stations, is immenselypopularwith evangelicals. Dobson urged hislisteners to protest the Army's decision "because it will lead to similar decisions and

compromises" at otherChristian institutions.

As Salvation Army Commissioner JoeNoland, commander of the eastern territoryand one of five members of the Army's national policymaking team, told reporters, theydecided to "swallow hard," "take a deepbreath and make this thing right." Come mid-November the Salvation Army rescinded thedecision. In a statement, the Army said, "Wedeeply regret the perception that the Commissioners Conference surrendered any biblical principles in making the original decision."

The Christmas protest campaign didn'tmake that much ofan impact on the SalvationArmy's biggest flindraising event ofthe year.During the protest, conservative familygroups, including Concerned Women forAmerica, urged its supporters to place a donation in a Salvation Army kettle along witha note praising the charity for "honoringGod's word." Other groups pledged to donate to the Army in real dollars an amountequivalent to P-FLAG's fake bills. While theArmy is not too worried about losses from theprotest, threats remain.

David Smith, spokesman for the HumanRights Campaign, a media-savvy gay-advo-cacy lobbying group in Washington, D.C.admits that it has been a challenge to protestthe Salvation Army too loudly in the wake ofSeptember 11But, he says, "whenall ofthissubsides, and it will, this issue with the SalvationArmy will stillbe there and therewill bea reaction." He asserts that, "The same thingwill happen to them that happened to the BoyScouts." Smith calls the Salvation Army"mean" for refusing benefits to gay couples.

The Salvation Army, for the record, doesnot ask about sexual orientation when hiringemployees. It does, however, require celibacy outside ofmarriage for its officers.

The Most Effective

The Salvation Army is the nation's largestcharitable fundraiser, collecting more thanthe likes ofthe Red Cross or Catholic Chari

ties. The Army has abudget ofover $2 billion

with a team—including volunteers—of 3.4million people.

Gay lobbies wouldn'tcareso much aboutthe Salvation Army if it weren't for its success. In his book "The MostEffectiveOrganization in the U.S.," Robert Watson notesthat of the firms listed among the originalDow Jones Industrials in 1896, only one—General Electric—is still in business. The

Army,bycomparison,iscelebratingits 122"''anniversary this year. The Army, accordingto management guru, PeterDrucker, is"by farthe most effective organization inthe U.S.Noone," he says, "even comes close to it withrespect to clarity ofmission, ability to innovate, measurable results, dedication, andputting money to maximum use."

As Worth magazine recently added,"New York City now knows why" Druckersaid what he did about the Salvation Army.Drucker has actually told them he considersthe Salvation Army "venture capitalists"rather than a charity. "Yes, you have somecharitable operations, some soup kitchensand so forth," Drucker told Watson. "Butthey are a fairly small part ofyour programs.A major part ofyour efforts is in rehabilitation. And that is pure venture capitalism.Your investment in people gets incrediblereturns."

The Salvation Army's success is quiteamazing.ItisunapologeticallyChristian,withno sophisticated public relations-machine.As Diane Winston writes, "Army trucks,thrift shops, and collection boxes serve assilent reminders of a Christian mission that

works across racial, religious, class, and ethnic lines."

Indeed, the great advantage of "God'sArmy" is they externally have a guide—inspiration—^to keep them running.Thereinlies the ultimate reason for the Salvation

Army's enduring success.

Kathryn Jean Lopez is executive editor ofNational Review Online

(www.nationalreview.com) and an

associate editor ofNational Review.

February 2002

OrganizationTrends

News Flash: |* Ralph Nader Criticizes Microsoft

Because It Pays No Dividends!

For severalyears consumer activist RalphNader has been crusading against the Microsoft corporation. But lately his campaign has seemed more frantic and obsessive than usual.

In aJanuary 4letter to Microsoft chairman Bill Gates, Ralph Nader criticizes the company's policy of ^not paying shareholder dividends. Nader and James Love, director ofNader's Consumer Project on Tech- c.nology,contendthat the practiceis an"inappropriate" and"unlawful device"to shieldMicrosoft's profitsfrom taxes. Microsoft maintains a $36 billion cash balance which, Nader argues, should be subject to thefederal "accumulated earnings tax." He says the tax is supposed to prevent companies from holding on toexcesscashto avoidpayingouttaxabledividends. Naderarguesthat Microsoft's $36billioncashbalanceisjust"a tax-avoidanceschemeforbig shareholders"andan"engine forfurthermonopolization."

Nader'scriticism issilly. Federal tax law permits companies toretain cash tofund theirbusinesses, ''andhigh-techcompaniescommonlymaintain largecashbalances tosupportoperations.There isnothingunusual about a company not paying dividends. Indeed, inrecent years fewer and fewer companies paydividends. According to Standard & Poor's, only 72 percent ofcompanies in its S & P 500 index paid adividend, down from 94 percent in 1980.In 1999,only one-fifth ofall listed U.S. companies paid a dividend. Inmanycases,dividendsarenot goodfor shareprices.A MerrillLynchstudyof threehigh-techcompanies - Intel,ComputerAssociates andCompaq- found thatin twoofthreecaseslaunching a dividend scheme was followed by a decline in share prices.

Interestingly, Naderdidn't criticize,CiscoSystems, whichalsomaintains ahugecashbalanceandhasneverpaiddividendson its shares.Perhapsthat's becausemorethan one-quarterofNader's $3.8millionofnet worth is invested Cisco shares.

2001 Donors' Guide to Philanthropy Advisory ServicesCapital Research Center's 2001 Donors' Guide to Philanthropy Advisory Services is intendedto help donors, journalists and policymakers get their bearings as they try to make sense of theadvice and counsel they receive on philanthropy and the nonprofit sector. Edited by CapitalResearch Center's Executive Vice President. Robert Huberty, the guide is alphabetically organized into two sections: organizations and periodicals.

For more Information, see http://www.mandateforcharity.com and http://www.capitalresearch.org. The 2001 Donors' Guide is $10 per copy. To order, contact CapitalResearch Center at (800)459-3950 or crc@capitairesearch.org.

February 2002

OrganizationTrends

BrieflyNotedOn December28,2001 the American Red Cross announcedthat former SenateMajority Leader GeorgeMitchell will serve as the independentoverseerofthe Liberty Fund, set up by the Red Cross to spend the $667millionin September11 donations.Todate,the fundhasspent$317.5milliononreliefandrecovery.Mitchellwillsuperviseaplan toallocatetheremaining$360million.Itwillbe announcedat theendofJanuary.

Thenation'sbloodbanksarereporting thatthenumber ofpeopledonatingbloodhassharplyfallen sincethehugerushofdonations following September 11. Some placesareevenexperiencing shortages. "We're backtobeggingfor volunteerblood donors," says Joyce Halvorsen ofthe Community Blood Bank in Lincoln, Nebraska. JohnMcPhersonofAmerica's Blood Centers says"we're seeinga trickle." Somebloodbanks saydonors are stillangrythat the Red Cross threwaway49,000 pintscollectedafterthe attacks. TheRedCrossencourageddonations knowing thatithadenough bloodandthatredbloodcellsmustbeusedwithin 42days. Inresponse,Elizabeth Neffofthe Central Florida Blood Bank says, "We are not the American Red Cross... we did notdiscardany units."

AsurveybytheCalifornia EndowmentinNovember2001 found more thanhalfof413 Californianonprofitsexperienced adropinfunding inthethirdandfourth quarters oftheyear. SanFrancisco-areanonprofits reporttheslowgiving seasonwillleadtolayoffs andcutsinservices. Some Bayareanonprofits blame thehugeSeptember 11giving for their fundraising woes; others blame the recession.

BoysTown,thenational organization forwayward children, ispreparing anewworkbook tohelpschools teachpatriotism. "TheGirls andBoys Town BookonPatriotism" features biographies andspeeches ofprominentAmericanhistorical figures. Itwillbedistributed to112,000 school systems nationwide. Thebook, geared tostudents ingrades seven through 12responds toasudden demand forpatriotic programs inthewake ofSeptember 11. Says Boys Town leader Rev. Val Peter, "After September 11, a lotofeducators hadlooked atwhat theywere doing and said, 'This isn'tworking very well, is it?"'

The National Italian American Foundation (NIAF) is "outraged" by the Senate's failure to vote on the nomination ofEugeneScalia,a laborlawyerandthe sonofSupremeCourtJusticeAntoninScalia,to be the LaborDepartment's solicitorgeneral. Ina letterto Senator Edward Kennedy (D-MA) NIAF president Joseph R.Cerrell wrote, "Thislastandvitalstephasbeendenied bytheSenate leadership, which iswrong." Italsoalertedmorethan300Italian-American organizations about theDemocratic leadership'sstallingtactics. PresidentBushlater gave Scalia thejob through a recess appointment

The FordFoundation gave $130,000 toGustavo Torres, executive director ofCasaofMaryland, inrecognition ofhis activism on the environment, labor issues, HIV/AIDs education and other social causes. Torres' chiefgoal istouse the Takoma Park-based Casa toform aimion toadvocate for day laborers' rights. Already activeinorganizing laborrallies, Torres says the Fordgrantwill allow himtoengage inmore organizingactivities inthearea. Priortocoming totheU.S. tenyears ago, Torres wrote foraColombianpolitical magazine where hecriticizedU.S. policy in Central America.

The Chicago-basedRobert R. McCormick Tribune Foundation announcesthat ithas donated$22.1 milliontoaid the victimsofthe September 11 terrorattack.TheJanuaryissueofFoundation Watch recordeda contribution of$2.5million based on anearlier report.6 February 2002