(Note: While the handslapping goes on, little if anything is done about this
'non-profit' land baron, because The Nature Conservancy is deeply in cahoots
with various federal agencies, from the Environmental Protection Agency to
U.S. Fish & Wildlife Service, the National Park Service, and the Forest
Service, and beyond. Taxpayer dollars -- also known as "federal grant
funding" -- are being given to TNC, while TNC becomes a self-appointed
"willing seller" for the government. Are "sharp words of criticism" enough
to exact change? What is the incentive for those entrenched in Congress to
change this? Only the very real fear of losing their place in government,
should the voters learn of this cauldron of cooperation, collaboration, and
collusion, will force Congress to stop this unholy alliance. In fact, many
former elected officials move on to "the private sector," where carefully
feathered nests await them with just such organizations.)
Julie
"Time and again, The Nature Conservancy's Forms 990 provide only bare bones
information -- if any at all -- regarding its participation in transactions
with insiders ... " - Senator Chuck Grassley (R-Iowa), Senate Finance
Committee.


August 1, 2005


By James Hoare [EMAIL PROTECTED]

Managing attorney at the Syracuse, New York, office of McGivney, Kluger &
Gannon.
http://lapa.legalstaff.com/profile/co_search_employers_detail.asp?id=17611

Published In: Environment News Publication, August 1, 2005

Publisher: The Heartland Institute

19 South LaSalle Street, Suite 903

Chicago, Illinois 60603

312-377-4000

http://www.heartland.org

[EMAIL PROTECTED]


The Nature Conservancy (TNC) must make a firm commitment to ending recent
abuses that have called into question its compliance with federal laws
bestowing economic favor on charities, concluded a U.S. Senate Finance
Committee report issued June 7, 2005.


Post Exposed Abuses

The committee began an inquiry into the Nature Conservancy after the
Washington Post in 2003 published a series of articles exposing large-scale
financial improprieties and activities running counter to the tax-exempt
purposes of the organization.

According to the Post, the Nature Conservancy -- which had amassed $3
billion in assets by pledging to save precious, environmentally pristine
lands -- has logged forests, arranged for the construction of opulent houses
on fragile grasslands, drilled for natural gas under the last breeding
ground of an endangered bird species, and made what appeared to be
sweetheart financial deals with board members and their families.

"The nonprofit organization has bought land and services from board members'
companies," the Post noted, "and it has declined to release property
appraisals from the deals. It has sold choice Conservancy land to past and
present trustees through its 'conservation buyers' program, which offers
steep discounts in exchange for development restrictions. It has lent cash
to its executives, including $1.55 million to its president."


'Legitimate Concerns' Raised

Senate Finance Committee Chair Chuck Grassley (R-Iowa) had sharp words of
criticism for the tax-exempt group.

"The report and attached documents show that The Nature Conservancy at times
approaches tax matters affecting it and its donors in an aggressive manner
that can result in substantial tax benefits [that are] no different than
many large corporations," said Grassley in a June 7, 2005, statement to the
media.

"Transparency and full disclosure are cornerstones in reassuring the public
that charities and those who donate to them deserve the favorable tax
benefits they receive," Grassley said. "Time and again, The Nature
Conservancy's Forms 990 provide only bare bones information -- if any at
all -- regarding its participation in transactions with insiders as well as
unique and complex programs such as the emissions credits arrangements and
its conservation buyer program."


Tax Shelter Shell Game

"The Nature Conservancy, with assets of $4 billion, is one of the largest
environmental groups in the country," said Gretchen Randall, senior partner
at Winningreen public policy consulting group. "However, it has used
conservation easements and other programs for the benefit of officers and
donors. TNC has also been lax in overseeing the easements as required by the
Internal Revenue Service.

"Congress needs to tighten the law regarding tax-exempt charitable
organizations and provide stronger oversight," Randall added.

"We need to consider whether 'advocacy groups' should [continue to] be
tax-exempt or whether that status should be reserved for schools, hospitals,
churches, and true charities."

"The organization made some serious mistakes," said Jane S. Shaw, senior
fellow at the Bozeman, Montana-based PERC (The Property and Environment
Research Center http://www.perc.org). "The Post rightly criticized the
organization for giving special treatment to some people that enabled them
to benefit from the use of conservation easements.

"But this is different from complaining about the Nature Conservancy for
drilling gas wells or cutting down trees," Shaw continued. "One of the good
things about the Nature Conservancy is that its managers are willing to look
for 'win-win' situations in which the environment is protected and economic
activity is also conducted. We need more organizations doing that sort of
thing. It would be a shame if Congress discouraged nonprofits from such
activities."

"When the Nature Conservancy was started in the early 1950s, its goal was to
find special little areas and preserve them privately, in the Toquevellian
tradition of private, voluntary action and association," noted Robert J.
Smith, senior environmental scholar for the Competitive Enterprise
Institute.

"But as the conservancy grew and accumulated wealth, it began to work ever
more closely with the federal government, acquiring land in any manner
possible, and then selling most of it to the government at a substantial
profit. They had become little more than a real estate arm of the federal
government, and often a rather shady and strong-armed agent. The Nature
Conservancy is no longer a friend of private property or a free society."

"On environmental and economic grounds," said CEI President Fred Smith, "the
tax subsidies for 'environmental purchases' should be repealed. To many,
environmentalism has become a religion. This is fine -- but the cathedrals
of nature, like those of God, should not be financed by taxpayers, but
rather by the faithful."


http://www.heartland.org/Article.cfm?artId=17564



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