In an op-ed published June 27, 2023 in the Magnolia Tribune, Philanthropy Roundtable Director of Policy Research Jack Salmon explains why regulations in Mississippi might be contributing to barriers for charitable organizations. Salmon cites the Roundtable’s 50-state index of charity regulations to show that the state’s charitable sector could be even stronger without onerous regulations.
Below are excerpts from the article entitled “Mississippi Regulations Slow Charitable Organizations”:
“A recent study found that Mississippi’s regulatory framework may be hindering charities from effectively assisting those in need. Mississippi has been ranked 47th in Philanthropy Roundtable’s 50 State Index of Charity Regulations.
“Unfortunately, this means, the state is among the most challenging places in the country for charitable organizations to operate, which could explain why Mississippi has fewer charities than other states with a similar economic size.
“Mississippi has fewer than 67 charities per $1 billion in state GDP, which is significantly lower than the top five states with the least burdensome regulatory environment. For instance, those states have 76 charities per $1 billion in state GDP, highlighting the adverse impact of heavy regulation on charitable activity in Mississippi.”
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“Despite having one of the most challenging regulatory environments for charities, Mississippi’s charitable sector has achieved remarkable success. However, one cannot help but wonder how many additional charitable success stories Mississippi could have and how many more communities could be better served if the state adopted a more favorable regulatory environment.”
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“Mississippi’s policymakers must take a closer look at the onerous regulatory burdens placed on charitable organizations operating in the state. Instead of imposing even more red tape on charities, lawmakers should learn from the experiences of states that have adopted a more favorable regulatory environment for charities. This will enable the state to create a regulatory framework that is both effective in safeguarding the public interest and supportive of the vital work being carried out by charitable organizations.”
To read the complete article, please visit the Magnolia Tribune.