4 ms·

> Donations often involve numerous conditions and strings attached, including restrictions on which patient populations and what geographic areas are allowed to

by xgbi 10y ago

> Donations often involve numerous conditions and strings attached, including restrictions on which patient populations and what geographic areas are allowed to receive the benefits. What?? Is it a "DONATION" or a "CONTRACT"? I don't understand how this could be called a donation if it has "strings attached". Once I donate money to a charity, I expect them to spend it wisely, but I do not make them sign a freaking contract!

nraynaud 10y ago
No for vaccines it's complicated, because there is logistics involved, they are delivered over time, and at certain points, and refrigerated. Moreover most private donations and public subsidies come with strings attached.
ensignavenger 10y ago
There are IRS rules regarding this if using it as a tax deduction, too. Donors can 'advise' the charity in what it does with the donation, but generally cannot control it with a legally binding contract. (I am not a lawyer, but that is how I understand the rules, anyway.)
- Declanomous 10y ago
  Restricted donations are very common. Donors often have the choice of designating a fund when giving money to a charity. I believe the money in a restricted fund is legally required to be used for the designated purpose. As far as I'm aware, the legal limitations on fund restrictions are designed to prevent restrictions which are designed to circumvent the tax code. As an example, lets say you give money to a charity. You could require the funds be used to create and administer a scholarship for youth from your home town. You could not require the funds be used for a scholarship for children who live in your household. This is based on what I've incidentally learned working for a non-profit. I'm not an accountant or a lawyer, so I might have missed some nuance, but I think that's the gist of it. Here's a link to some information on managing restricted funds: https://www.thebalance.com/restricted-unrestricted-nonprofit-funds-2502167 https://www.thebalance.com/restricted-unrestricted-nonprofit...
John23832 10y ago
True, but I think your statement speaks to the argument that the author was making. There isn't an official "contract", but there is an implicit one. Since they DWB cannot get the vaccine on their own (buying it), donations make them beholden to the will of the donor. So if Pfizer or GSK say, "Hey, we REALLY would like these vaccines to not go to North Korea", and DWB sends vaccines to NK, then the donors can/will take that into consideration when donating the next round. That gives drug companies control over the healthcare that these organizations are providing.
arbitrage 10y ago
If you offered a charity a 'donation' of $10,000,000 you could certainly attach conditions to their acceptance of it. After all, if they don't accept your restrictions, you can just take your money and walk away.
bilbo0s 10y ago
I think a lot of people are unaware of how donations work. A simple example might be helpful. Suppose that, due to the recent tragedy in Italy, I donate to the International Red Cross for earth quake relief there. It is illegal for ICRC to then use that money for, say, whatever disaster relief may be necessary in Haiti due to Matthew. (Even if I, myself, had no particular objection to them doing so.) And donations and funding only get more complicated from there. It is, indeed, possible for MANY strings to be attached to donations.
alistairSH 10y ago
As noted in sibling comments, it is VERY common for large donations to come with strings attached (yes, there are contracts dictating the terms). Just look at colleges in the US - every time a donor funds a new stadium, there is an uproar about funding it over academic pursuits, but the college is usually hamstrung by the terms of the donation - they simply can't use the funds in a way not specified by the donor. Same thing applies to Harvard's massive endowment - they can't use it as a giant slush fund - much of the money was given with a specific goal in mind. Edit - and yes, I realize money is fungible, and to an extent donating for a stadium frees up funds that aren't earmarked, but if everybody donates for stadiums and nobody donates for general spending, there isn't much to be done (beyond asking the donors to revise contracts).

by xgbi 10y ago

nraynaud 10y ago

No for vaccines it's complicated, because there is logistics involved, they are delivered over time, and at certain points, and refrigerated. Moreover most private donations and public subsidies come with strings attached.

ensignavenger 10y ago

There are IRS rules regarding this if using it as a tax deduction, too. Donors can 'advise' the charity in what it does with the donation, but generally cannot control it with a legally binding contract. (I am not a lawyer, but that is how I understand the rules, anyway.)

Declanomous 10y ago
Restricted donations are very common. Donors often have the choice of designating a fund when giving money to a charity. I believe the money in a restricted fund is legally required to be used for the designated purpose. As far as I'm aware, the legal limitations on fund restrictions are designed to prevent restrictions which are designed to circumvent the tax code. As an example, lets say you give money to a charity. You could require the funds be used to create and administer a scholarship for youth from your home town. You could not require the funds be used for a scholarship for children who live in your household. This is based on what I've incidentally learned working for a non-profit. I'm not an accountant or a lawyer, so I might have missed some nuance, but I think that's the gist of it. Here's a link to some information on managing restricted funds: https://www.thebalance.com/restricted-unrestricted-nonprofit-funds-2502167 https://www.thebalance.com/restricted-unrestricted-nonprofit...

John23832 10y ago

True, but I think your statement speaks to the argument that the author was making. There isn't an official "contract", but there is an implicit one. Since they DWB cannot get the vaccine on their own (buying it), donations make them beholden to the will of the donor. So if Pfizer or GSK say, "Hey, we REALLY would like these vaccines to not go to North Korea", and DWB sends vaccines to NK, then the donors can/will take that into consideration when donating the next round. That gives drug companies control over the healthcare that these organizations are providing.

arbitrage 10y ago

If you offered a charity a 'donation' of $10,000,000 you could certainly attach conditions to their acceptance of it. After all, if they don't accept your restrictions, you can just take your money and walk away.

bilbo0s 10y ago

I think a lot of people are unaware of how donations work. A simple example might be helpful. Suppose that, due to the recent tragedy in Italy, I donate to the International Red Cross for earth quake relief there. It is illegal for ICRC to then use that money for, say, whatever disaster relief may be necessary in Haiti due to Matthew. (Even if I, myself, had no particular objection to them doing so.) And donations and funding only get more complicated from there. It is, indeed, possible for MANY strings to be attached to donations.

alistairSH 10y ago

As noted in sibling comments, it is VERY common for large donations to come with strings attached (yes, there are contracts dictating the terms). Just look at colleges in the US - every time a donor funds a new stadium, there is an uproar about funding it over academic pursuits, but the college is usually hamstrung by the terms of the donation - they simply can't use the funds in a way not specified by the donor. Same thing applies to Harvard's massive endowment - they can't use it as a giant slush fund - much of the money was given with a specific goal in mind. Edit - and yes, I realize money is fungible, and to an extent donating for a stadium frees up funds that aren't earmarked, but if everybody donates for stadiums and nobody donates for general spending, there isn't much to be done (beyond asking the donors to revise contracts).