Limited funds hamper nonprofit efforts

The need is up, but donations are not.

That message was shared by most of the 33 organizations represented at an April nonprofits’ fair at Lake Country Soccer. The second-year event was held by The Network for Springfield’s Young Professionals – an organization within the Springfield Area Chamber of Commerce – in partnership with Leadership Springfield and the Non-Profit Executive Roundtable.

“We’re trying to feed the hungry, house the homeless, clothe those that don’t have enough clothing – we’re all doing great things, but there are simply a limited amount of dollars in this community,” said Melissa Haddow, executive director of Community Partnership of the Ozarks Inc. “We’re all going to be scrambling. It’s going to be an extraordinarily difficult next two years – not one year, two years.”

Business giving still down
Most nonprofits reported that businesses simply aren’t giving as much as in the past, forcing some to try and replace corporate giving with individual donations.

The Ronald McDonald House Charities of the Ozarks’ last year lost a $15,000 corporate sponsor for its Grin Iron Classic football game, the largest fundraiser for the group’s Care Mobile, according to Bonnie Keller, McDonald House’s president and CEO.

“What got us through (2009) was a huge increase in in-kind donations. We had $137,000 in in-kind gifts,” Keller said, noting that as a result, a room at the house was remodeled.

At Big Brothers Big Sisters of the Ozarks, corporate giving has been flat, said Development Director Gretchen Gambon. “It’s a catalyst for us to start moving in to get more individual donors,” she said.

Haddow said companies still may support the cause, but the amount of the donation isn’t as large. According to its 2009 annual report, Community Partnership of the Ozarks collected $2.8 million in grants, contracts and donations for its local initiatives, which include task forces to fight against gang/youth violence, underage drinking and prescription drug abuse.

Haddow said CPO began a fundraising campaign two years ago because officials saw the writing on the wall, especially an expected shrinking of government funds.

“We were too dependent on state grants,” she said, noting that state and federal monies account for more than 90 percent of its budget. “That means we are going to have to raise more money through fundraising and private campaigns.”

CPO’s Internal Revenue Service 990 tax form indicates a drop in revenue and giving to $1.6 million in fiscal 2007 followed by a rebound to $2 million in fiscal 2008.

CPO already has slashed its educational outreach spending because grant money has been reallocated to keep other services going and staff cuts also are possible, Haddow said.

“So much of what we do in the community involves building relationships,” she said. “It takes time and people. Both involve money.”

Picking up slack
Keller said Ronald McDonald House is seeing a gradual improvement in giving, signaled by the annual Share a Heart campaign’s record $75,000 raised.

Officials at The Kitchen Inc., a nonprofit that provides meals, lodging and health care, say individuals are giving in different ways.

On April 22, there were 196 families served by The Kitchen. “That beat our largest day last year,” said Kippie Kutz, director of development. “People are still giving. (They’re) donating time (and doing) food drives by churches and schools.”

The Kitchen is the area’s eighth-largest nonprofit with an operating budget of $5.6 million, according to Springfield Business Journal research. Kutz said 45 percent of The Kitchen’s 2009 operating budget came from contributions of goods and services, and 27 percent came from cash donations. Less than 30 percent of the organization’s overall revenue came from government funding, grants and program revenue.

“Our administrative costs were only 9 percent of overall expense,” Kutz added.

During admittedly difficult times to get donations, the Good Samaritan Boys Ranch in Brighton has taken on a difficult task – building a $1.4 million Footsteps Transitional Living facility for men ages 16 to 21 at 424 E. Norton Road in Springfield.

The Boys Ranch received a $162,500 grant from the Missouri Housing Trust Fund for construction, and is offering Missouri Department of Economic Development tax credits in exchange for donations.

Director of Development Julie Conway said the ranch’s donor base consists of more individuals than businesses, an area she’s seen decrease.

“That’s where we’ve seen a drop,” Conway said. “Donors are a little older and a little more apprehensive. In good times, they’re going to be a little more charitable.”[[In-content Ad]]