A year-long investigation by Spotlight on Maryland has revealed significant transparency issues surrounding the Baltimore Children and Youth Fund (BCYF), a nonprofit that operates primarily on city tax dollars. The investigation highlights concerns regarding how BCYF manages its finances, especially given that it receives approximately 99% of its funding from taxpayers. Despite repeated inquiries, BCYF has failed to provide adequate answers about its spending and oversight practices.
At the core of the accountability issues is the fact that BCYF does not undergo mandatory performance audits, unlike other city agencies. For the fiscal year 2024, the nonprofit received $16 million from the city of Baltimore, yet it has not clarified how this money is spent. Notably, the organization has reportedly allocated around $300,000 for out-of-state trips for staff and partners, raising questions about the value of such expenditures for Baltimore’s youth.
BCYF’s lack of engagement with inquiries from the media and the public has drawn criticism. Experts argue that the organization’s silence erodes public trust, particularly when it is tasked with serving the youth of Baltimore. David Williams, president of the Taxpayers Protection Alliance, emphasized the necessity for BCYF to demonstrate transparency, stating, “At this point, the Youth Fund is losing the trust that it has with the citizens of Baltimore.” He called for clarity on spending practices, emphasizing that taxpayer funds should be allocated effectively.
Spotlight on Maryland’s investigation has consistently sought answers from BCYF regarding its financial decisions. Key questions posed include whether BCYF will undergo a performance audit, the rationale behind funding out-of-state trips, and the lack of documentation for a $7 million transfer to the Mayor’s Office for youth initiatives. Despite these inquiries, BCYF has not provided any responses.
The investigation also uncovered that BCYF spent significant amounts on travel, including a yoga session costing over $3,000 and various meals exceeding $1,000. BCYF has defended these trips as part of a broader capacity-building and racial equity initiative aimed at strengthening local nonprofit leadership.
Baltimore’s fiscal year 2026 budget indicates that BCYF transferred $7 million to the Mayor’s Office of Employment Development to support programs like YouthWorks, which offers paid summer jobs for local teens. When requested for documentation regarding this transfer, BCYF stated that none exists.
The financial flow from taxpayers to BCYF raises additional concerns. City residents pay taxes that contribute to City Hall, which then allocates about 3 cents of every $100 of assessed property value to BCYF. This funding is then distributed to various grantees, many of which operate as fiscal sponsors. One such sponsor, Fusion Partnerships, announced its intention to end sponsorship services after receiving over $3 million from BCYF since 2020. When asked how the funds benefited Baltimore youth, BCYF did not respond.
Further complicating the accountability landscape is the obscured spending by BCYF grantees. Approximately 60% of BCYF’s funding is directed toward grants for local organizations, yet the manner in which these organizations utilize taxpayer money remains unclear. Spotlight on Maryland has sought clarification on how much of this funding goes toward overhead expenses but has yet to receive a response from BCYF.
The lack of oversight and transparency has prompted action from the Baltimore City Council. Recently, six council members co-sponsored a bill aimed at increasing transparency and requiring performance audits for BCYF, while also limiting grants to organizations closely tied to BCYF staff or board members. The bill is facing opposition from both Mayor Brandon Scott and BCYF. Councilmembers Mark Parker and John Bullock introduced the legislation, which has garnered early support from Council President Zeke Cohen and others.
As of now, ten votes will be necessary to override a potential mayoral veto, necessitating support from additional council members. Some council members, including Odette Ramos and Jermaine Jones, are still evaluating the bill, while others have not commented on their stance.
In a related development, Spotlight on Maryland confirmed that the Baltimore City Inspector General has initiated an investigation into BCYF, potentially leading to further scrutiny of the organization’s operations and financial practices.
Spotlight on Maryland is a collaborative effort involving FOX45 News, The Baltimore Sun, and WJLA in Washington, D.C. For any news tips, contact Patrick Hauf via email or on X (formerly Twitter).
