[Kzyxtalk] How to Kill a Nonprofit -- Part 8

[Scott Peterson]

Dear Ms. Courtney,



This is a continuation from the GuideStar article here:



http://trust.guidestar.org/blog/top-strategic-mistakes-nonprofits-make-part-2



The eighth one listed is 'Failing to consider internal costs --



and benefits'. Otherwise known as pennywise and pound foolish.



What's KZYX's biggest internal cost, Ms. Courtney? It's payroll.



And the highest paid employee? A fellow by the name of John Coate.



At $59,400 a year:



http://www.kzyx.org/index.php/about-us/station-business/mcpb-bylaws-and-financial-statements



Now look at Mr. Coate's job title on your Form 990s. He's listed as a



'Manager':



http://nccsweb.urban.org/communityplatform/nccs/organization/profile/id/680050440/popup/1



What do other nonprofits have? Check this out:



http://www.thenonprofittimes.com/wp-content/uploads/2014/04/1.12.14-2014-NPT-Executive-Summary.pdf



It's a compensation report for 236 positions in nonprofits. None of



them listed as a 'Manager'. Huh. There's a one listed as 'Executive



Director' for $118,678. There we go. So KZYX saved $59,278 a year by



cutting corners. Or $414,946 over the seven-year period that Mr.



Coate held that position. What'd KZYX get in return? Time will tell.



Take a gander at Mr. Coate's resume, Ms. Courtney:



http://johncoate.com/John%20Coate%20Resume%202016%20-%20Web%20Version.pdf



He seems to think he was both. There's that old 'mystic nomad' thing



again. While you're at it, look at the _bottom_ of that resume. Where



education normally appears. See any college degrees? What about a high



school diploma? I don't. So it looks like ole 'Tex' did all right for



himself here. Speaking of resumes, I haven't found anything of yours



yet. What's your education level, Ms. Courtney?



By my estimate, the Corporation for Public Broadcasting gave KZYX



over $1 million in grants during Mr. Coate's tenure. With strings.



Either follow CPB's non-compliance policy -- or lose that money. You're



expecting a big fat check in November, aren't you Ms. Courtney? From



the CPB? If that doesn't happen, you might reconsider your internal



costs. And the benefits they created not only for Mr. Coate. But for



KZYX too.



Sincerely,



Scott M. Peterson



Mendocino



cc: (MCPB Board Members)



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