Money changes
everything
We think we know
what we’re doing
We don’t know a
thing
It’s all in the
past now
Cyndi Lauper 1984
Here is a random
thought tonight. Would synagogues be more efficient, financially stronger, and less annoying if they were private
companies, as opposed to tax-free charitable organizations? Why is this important? Because synagogues
don't really work financially (I’ve heard the same about churches, but I don’t
have first hand knowledge). The dues
never cover all the operating expenses, so you know what happens next. There is a constant stream of requests
throughout the year to guilt you into paying more.
You know the lines by
now: “Our annual campaign”, “We want 100% participation”, “We’re having a
dinner of honor for (insert name of great guy/ gal here), so please give to the
shul to thank them for all their hard work” (by the way, as an aside, I love
these people. No, I luuuuuv these
people. Anyone who does a service for
free that I benefit from immediately becomes one of my best friends). Since I and most other members believe in the
mission of the shul, we agree to pay more, and the shul lives to see another
day. You end up with the situation of
smart, educated people who are not salesman frequently asking other smart,
educated people for money. Neither
really enjoys it.
We've
become so accustomed to this way of running synagogues, that we never stop to
ask is there a better way. For me,
whenever there's a shortage of money my first reaction is always: 1) Can the
free market work it out? and 2) Is the government interfering? If the answer to the second question is yes,
the answer to the first question becomes no, and you end up with money
shortages.
In
the case of religious institutions, we obviously have government interference
because everyone gets a charitable deduction on their dues, which we all of
course love. It therefore becomes
impossible for an individual to even think about running a for-profit
synagogue, because nobody is going to pay dues that are not tax-deductible
because of the competition.
And if an individual
could compete with a for-profit shul?
Well obviously he (or she) would run it like any other business that's
designed to make money. He would make it
as attractive and efficient as possible in order to have customers. Just like any other business, if people were
happy with the product he was delivering they would keep paying every year, and
the owner would do well financially. Otherwise the synagogue would go out of
business.
The question is, is
religion different than other businesses? Well yes and no. For people like me in which religion play
such an instrumental part of my life, the synagogue is a far more important
entity for me than say, a restaurant or gym.
It forms the center of a community that is
essential for helping convey to my children the values I believe in (2nd
aside tonight: the shul I currently go to is fantastic). But God made the rules, and the rules are that religion operates under the
same free-market principles as any business.
If I'm satisfied with the variables that make up a good shul (I like the
Rabbi and the people, it matches my religious outlook, the dues are fair, etc.)
I’ll stay a member; if not I’ll find another one. Same goes for the restaurant. If the food is good and the prices are reasonable
I'll be a repeat customer. If not I find
another place to eat.
Similarly, a private
individual starting up their own synagogue would have to provide acceptable
services at a reasonable price. There
would be no more begging for money; just a set dues structure in whatever
creative manner the owner could think of.
The congregants would either pay it or not. He’d put all his effort into finding a
financial system that not only barely keeps the shul open but makes it
thrive. You know why? His financial life depends on it. They’re his Benjamins, which makes all the
difference.
Further, the owner
could no longer rely upon volunteers. He
couldn't guilt people into doing work for free for the good of the community,
as everyone would know that they're basically doing free labor for him. For example, the owner of Prime Grill can’t say,
“I know that steak cost $20, but I'm doing an annual campaign now and ask that
you send me another $10 in the next three months or I'll be out of business. I’m looking for 100% customer participation”. Likewise, when people come in to eat, he
couldn't say, “Could you do me a favor and for the next 15 minutes move some
tables around for me? I'm having a big
event tonight and I really could use your help”.
The bottom line? I'm
torn on this one. Usually by the time I
end these blogs I have a strong opinion one way or the other. Not this time.
My gut tells me that private synagogues would be be financially stronger and provide better services for the community than not
for profit, but I'm not sure. Maybe
religion really is different. The amount
of volunteer hours that is put into my shul on a monthly basis is
astronomical. Then again, the amount of
paid hours that is put in by employees in for-profit businesses is far greater.
You know what? Now that
I've had 41 minutes to think about it I think a for-profit synagogue would do
better. In any event, we’re never going
to find out.
Have a good night
everyone.
JR