Houston Chronicle Sunday

Don’t let donations sit around

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Actually giving

Regarding “Critics take aim at charitable money sitting in donor funds,” ( July 20): The story highlights an important opportunit­y in Congress to update our charitable giving rules so donations reach working charities in a timely manner rather than sitting indefinite­ly in donor-advised funds.

More and more donors are using DAFs to get upfront tax breaks without any requiremen­t their donations actually reach a working charity within a reasonable time. As a resultchar­ities lost $300 billion in contributi­ons over a five-year period. At a time when vital organizati­ons such as food banks and health clinics are facing unpreceden­ted challenges, we cannot afford to have charitable dollars permanentl­y parked under a long-term tax shelter. Intermedia­ry vehicles can and should serve a useful purpose in this field. But an overemphas­is on maximizing tax benefits has somehow managed to shift the DAFs original focus from philanthro­py to finance, and reforms are now necessary to ensure that the money reaches working charities.

The Accelerati­ng Charitable Efforts Act, a bipartisan bill recently introduced by Senators Chuck Grassley (R-Iowa) and Angus King (I-Maine), will enact critical reforms that put working charities back at the center of our giving laws and ensure much-needed resources get to those organizati­ons quicker.

I strongly urge Senators John Cornyn and Ted Cruz to support the ACE Act.

John Arnold, Arnold Ventures co-founder & co-chair

Regulation needed

Regarding “Natural gas bills will go up after Texas’ deadly winter storm. Regulators will decide how much.” ( July 30): What this means is that a captive audience (that’s us small residentia­l consumers) must pay whatever the gas producers demand, whenever they demand it. This is a result of deregulati­on efforts on the part of Republican­s who have run state government for decades, efforts that give all the power to business. We need to return to a regulated environmen­t — a reasonable return on investment, proper planning for crises and future needs, and a stable price that’s not jacked up 100 or 1000 times because … “shortage.” Wayne Herbert, Houston

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