I find it interesting that the City of Pittsburgh (e.g., Mayor Luke Ravenstahl) is up in arms over the tax-exempt status of health-care giant UPMC. When you pay your CEO over $3 million a year and your other top executives make over $500,000 a year, you open yourself up to scorn, scrutiny and ridicule. That being said, there is a difference between a “not-for-profit” and a “nonprofit” organization.
The latter operates to not make a profit and generally requires funds from donors (foundations, individuals, corporations, government, etc.) for its existence.
The former can/does make a profit, but that is not the intent of its existence. A “not-for-profit” more than likely puts these profits back into the entity, and if it happens to make money, so be it, but that is not the be-all and end-all like it is for a for-profit entity.
For the city to cry foul is a joke! The mayor and council have run Pittsburgh into the ground, and in typical liberal fashion, they still do not realize they have a spending problem; they think they have a revenue problem!
People are leaving in droves (present company included) and yet these stalwarts still do not get it.
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