Cancer Society spends more on fundraising than research
By Erica Johnson, CBC News
Posted: Jul 6, 2011 5:00 AM ET
Last Updated: Jul 6, 2011 8:28 AM ET
An Ontario cancer researcher is concerned that the Canadian Cancer Society has proportionally shifted funding away from research and is spending more of its dollars on fundraising and administration costs.
"Most scientists don’t realize that the budget has been going up and up, and donations have been growing, but the budget for research has been shrinking," said Brian Lichty, a researcher at McMaster University who is looking into treating cancer with viruses that kill tumours. "So they are surprised and disappointed when they find out that this is the case, and the trend."
CBC's Marketplace analyzed the Canadian Cancer Society’s financial reports dating back a dozen years. It discovered that each year, as the society raised more dollars, the proportion of money it spent on research dropped dramatically — from 40.3 per cent in 2000 to under 22 per cent in 2011.
The amount of money spent on research has increased slightly over the years, but as a portion of the Cancer Society’s growing budget, it's almost been cut in half.
Lichty and some of his colleagues set up an information booth at this year's annual Relay for Life fundraiser in Ancaster, Ont., to raise awareness about the drop in funding for research at the Canadian Cancer Society. Over the years, his research team has received hundreds of thousands of dollars from the society, but he’s not afraid to criticize it now.
"Cancer researchers are spending a lot of their time, or most of their time, trying to figure out how to get the money to fund their research, rather than actually doing research," Lichty said.
"And it has become a much bigger portion of what our day-to-day activities amount to."
Canadian Cancer Society Money
Research Funding - was REDUCED from 40.3 percent to 22 percent in 10 years.
Administration Cost - increased from 26 percent to 42.8 percent in 10 years.
This open ended category always made me wonder what was hidden.
Other - Increased from 33.6 percent to 35.2 percent.
Sadly; we are led to believe that funds raised by government recognized so called "Cancer Organizations" are to be spent to cure cancer.
Marketplace asked the Canadian Cancer Society for an on-camera interview, but it declined, instead responding by email:
"While funding cancer research is a crucial part of the society’s work, we also have profound responsibilities to do everything we can to reduce the risk of Canadians ever developing cancer and to provide meaningful support to people living with cancer."
But when Marketplace scrutinized the financial reports, it found that a greater percentage of funds was not being directed toward support, information and advocacy.
Instead, the reports reveal that the area that’s getting the greatest portion of donor dollars is fundraising, up from 26 per cent of all monies raised in 2000, to 42.7 per cent in 2011.
Greg Thomson, a spokesman for the charity watchdog Charity Intelligence, said the Canadian Cancer Society appears to spend more on fundraising than a number of other charities.
"I would want to understand better what they’re spending their money on, why they’re spending that much," Thomson said. "Because we found a number of very effective organizations that don’t need to spend nearly the percentages on fundraising and admin that we’ve seen."
Competing interests
Mark Blumberg, a lawyer who advises non-profits and charities but doesn’t represent the Canadian Cancer Society, said the society may be spending less on research because that money may have more impact elsewhere.
"In the end, they need to listen to all the different interest groups and stakeholders that have an interest in the area, and not just prefer one and ignore others," Blumberg said. "I think what they are trying to do is spend money on different areas and balance stakeholders’ interests."
Lichty said he’s hoping his criticism of the society will encourage the largest funder of cancer research in Canada to shift its priorities back to finding new treatments and a cure.
"I suspect, if donors are not happy with the situation, if they want a greater proportion of their money to go to research — because that is why they donated their money — then maybe there will be a grassroots movement," Lichty said. "Some pressure from the donors and the volunteers to try and find a way to put more of the money they raise into research."
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at 5:23 AM ETOne thing that has always puzzled me: With all that fund raising, and all that money supposed to go to research, why is it that, when the new "miracle" drugs appear on the market, they are so expensive, and often not covered by drug plans, that the same people who have worked so hard at the grassroots to support the fundraising as volunteers would not in any way afford those new drugs? Are the results of the research just given away to big pharmaceutical companies to do as they wish and consider only the bottom line, e.g. profits for their shareholders? Are those companies benefiting from all this research and development without having to contribute to this themselves? Rating835
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at 5:50 AM ETSadly this is becoming more and more normal. Charities these days are a tax shelter and easy way to make money more then they are for helping people. The worst culprits are the ones who hire a for-profit company to fundraise and that company keeps 66% of all the money donated.
If the executives of the charity make more money then you do, they don't need your money.Rating674
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at 6:38 AM ETThis is so wrong on so many levels it is crimminal.
Cancer Society is about finding a cure for cancer plan and simple the best way to deal with this disease is to find a cure, there is no other way to deal with it.
Oh I forgot there is another way to deal with it DEATH!
My wife and I have given over the last 10 years over $50,000 between the two of us, this now is going to stop and we are going to find a new place for this yearly money.
I think I'm going to take the absolute direct approach and do some Googling and find some Canadian University that is actually doing real hard Cancer research and send my money to them. At least more than $1,200 out of our $5,000 a year goes to research and not the fat cat CEO at the top.
How much is the management and friends sucking out of this Non-profit corporation?
Just another example of the pigs feeding at the trough while us harding working good hearted Canadian get screwed AGAIN!Rating600
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at 6:05 AM ETSo basically they fund raise to get more money so they can fund raise more?
Kind of like driving around everywhere asking for gas money so I can drive around to ask more people for gas money. Rating526
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at 5:30 AM ET. Well this certainly solves the problem of what I do or don't do with my charity donations! As I am a 23yr cancer survivor, I had always given to this charity as I believed that they used a great proportion for research but if that is not so, then I will donate to other worthwhile charities like the Heart & Stroke Fund. It's too bad actually as I was going to amend my Will to donate to several charities and this was going to be one of them. Now the others will just get more which is good for them in an odd way.Rating418
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To me these fund raising CEO's and Board of Directors seem to be more interested in keeping their hefty and extremely well padded incomes growing. The heck with a cure.
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