Internal Report Raises Questions About ACORN

If you are a regular reader of this blog, you will be familiar with the ACORN issue.  I have been a supporter of ACORN's activities as they relate to helping lower income folks get into housing, receiving resources to help them pull themselves up by their bootstraps, and getting more people registered to vote.  The GOP has turned up the volume to full, however, screaming about ACORN's voter registration activities because they know that the more people are involved in the political process, the worse they will do in the long run. 

However, every organization, especially one involved in political activity, must be governed properly and with transparency.  As a businessman who has run both public and private companies, proper governance is key in protecting the assets, employees, and reputation of an organization.  A New York Times article today raised questions about the governance of ACORN since 2000, it's transparency, and the competence of its leaders.  The article is about an internal report prepared by an ACORN attorney, Elizabeth Kingsley, that was submitted earlier this summer raising material questions about the proper oversight of ACORN's finances, organization, and governing bodies of its various entities and its relationship with partners such as Project Vote.  On first reading of the article, without further research, I have to say that her report is disturbing.  It is clearly an indictment of the inadequate oversight by senior staff and the board of ACORN, as well as their management of funds received and disbursed by the organization for community work as well as political activities with partners.

Nothing irritates me more than sloppy management.  Especially when it makes the organization and those who support it look bad.  In the end, your reputation is all you have.  This is precisely the reason James Dobson's reputation is so damaged.  Even though his political organization is separate from his religious organization, it's not run that way, and there is no daylight between Dobson himself and his organization's lobbying effort and PAC contributions. If you violate the trust of those who support you, it causes irreparable damage. 

I don't know all the details here, and will continue to read, but it is clear that the administration and internal controls of ACORN's various subsidiaries were sloppy at best, bordering on non-existent at worst.  This often happens in charitable organizations where good intentions sometimes override good judgement and appropriate management controls.  The problem is these kinds of issues distract from the good an organization may do and opens it up to criticism.  One chilling passage for me, as quoted by TPM was, 

That's not good.  The embezzlement was by the brother of ACORN's founder, Wade Rathke.  ACORN needs to announce, and then undertake, a major review of it's organization and numerous entities, along with its controls including accounting, expenditure authority, fraud prevention, management.  If poor management was indeed involved, heads should roll.  If wrongdoing was involved, prosecutions should commence, especially in the event of any embezzlement.

How will this affect the 2008 election?  In my view, not much, since all registrations go through state authorities, and, by law, first time voters who register through third  parties must show valid ID when they vote.  Chance of voter fraud from the ACORN program is likely small.  Additionally, as established by PolitFact, it's clear that Obama's connection with Project Vote in 1992 and his roll as a civil rights lawyer in 1995 had no connection to the issues enumerated in this attorney's report.  But, that's not the point.  ACORN has put itself up as the example of community activism and as a representative of those with no resources and no voice.  In order to maintain this roll, their management and governance must be above reproach.  It's apparently not, and the GOP will jump all over this trying to make it more than it is; however, ACORN opened that opportunity by its poor management.

From my chair, at this time, ACORN has failed in it's governance duties.  And I'm not happy about it.  I'll keep reading.

Note to all:  I'm on the road for the next couple of days and will review and approve comments when I can get connectivity.  I appreciate your patience.