Nonprofits face fewer donations, rising costs

Court Appointed Special Advocates of Southwest Missouri receives most of its funding from donations and special events.

The agency was planning on boosting its coffers with proceeds from its annual Comedy Festival, scheduled for Nov. 8.

But that event won't be happening in 2008. The organization was trying to raise about $33,000 in event sponsorships, but when its board met in September, only $12,000 had been committed.

CASA is not alone. Throughout the Ozarks, nonprofit organizations face the challenges of reduced individual and corporate donations and higher operating costs.

Trickle down

"We've been hearing that because of the economic times, the marketing budgets have had to scale back," said CASA Executive Director Judy Doverspike. "That has a trickle-down effect on us."

The agency has tentatively planned to have the event sometime in February.

Good Samaritan Boys Ranch, which provides residential care and services for abused and neglected boys, has been hit by a 50 percent drop in individual donations and increased utility costs to operate the 76-bed ranch in Brighton, said Director Kevin Killian.

An example: propane. Killian said the nonprofit bought 20,000 gallons of propane prepaid at the beginning of the year, but the cost was more than $1 per gallon higher than in 2007.

"We operate at about a $4 million a year budget, so $20,000 isn't a huge percentage," Killian said. "But it's a double issue. We're not getting donations on the front end, (and) costs are going up on the back end."

Nonprofits face an especially difficult time when the economy goes south, according to Killian, who also is chairman of the Springfield Area Chamber of Commerce's Nonprofit Chief Executives/Chief Volunteer Officer Roundtable.

"Everyday giving is down across the board," Killian said. "I understand that. If you have to decide whether to put food on the table and try to get to work or give the Good Samaritan Boys Ranch a check, I expect you to buy food and gas."

CASA's Doverspike said her event would have encountered an additional problem of needing to sell 1,200 tickets - quadruple last year's sales - to come out ahead, at a time when people can't afford to buy them.

It takes a well established, highly publicized event to be successful in the current climate - an event like Breast Cancer Foundation of the Ozarks' Hooked on Dance, held Oct. 3. The organization estimated it raised $10,000 more than the $450,000 it brought in last year.

"We were pleasantly surprised - the day that Hooked on Dance was held, the president signed the bailout plan," said BCFO Business Manager Erin Brandt. "People still have a heart for helping fight breast cancer, and it showed."

About 1,000 people attended the event.

Meanwhile, organizers of a first-time event are taking the financial difficulties into account.

The American Cancer Society is preparing for its first Cattle Baron's Ball in Springfield. The event, planned for August, has been held in numerous cities across the country for more than three decades.

Kin Inman, co-chairwoman of the local event, said planning is the key.

"We've been talking to companies earlier and letting them know we're planning this," Inman said. She noted that several companies, including Price Cutter and the Springfield Cardinals, have signed on or are planning to sign on as event sponsors, though she declined to disclose specific dollar figures collected thus far. "They're putting things in their budget and stepping up to get involved."

Banding together

Charities are looking for every possible way to cut costs - and it starts with working together.

The Springfield chamber's nonprofit roundtable, which meets six times a year, is a way for groups to share ideas and collaborate on their fundraising efforts.

The organization, which met Oct. 3, comprises the leaders of the more than 100 chamber member charities, according to Chris Tuckness, the chamber's vice president of community development.

"Those people may not have as much experience in one area or another, but if they can sit down with 40 other CEOs ... who may have handled the same situation, it's a great resource to bounce ideas off of each other," Tuckness said.

Charities also need to get more creative in cutting costs, according to Bonnie Keller, CEO of Ronald McDonald House Charities and the Tooth Truck. Keller said it starts by joining forces; by consolidating the management and daily operation of Ronald McDonald House with the Tooth Truck, Keller said both charities have been able to save.

"I'm CEO for both," she said. "We share administrative help, volunteers, events, everything, and I feel like it's made such a difference for our financial position because things don't cost as much for either organization."

Ronald McDonald House also is planning its first joint fundraiser. Fellowship of Christian Athletes approached Keller earlier this year about sharing the proceeds and costs of the October 2009 scheduled Wild Game Feast.

"So many of the nonprofits in Springfield are so small, and it can be difficult to have enough staff and depth of volunteers and board members," Keller said. "Partnering gives you the ability to do things like this and build up the funding the organization needs."

Winter worries

Nonprofits will need to be creative as they enter the most critical period of fundraising: the holiday season.

Doverspike said she is hoping donations will pick up in November and December, mainly because that's what her traditional donors have been telling her.

"What we have heard and experienced is people saying, 'I intend to give a gift this year, but I'm waiting until the end of the year to know how I really stand before I make the decision on how much to give,'" she said.

Keller also is anxious to see how the holidays treat Ronald McDonald House.

"I don't think there's anyone who's not nervous. I wake up in the morning thinking about the situation," she said. "I've been here 20 years, and I've personalized it so much that it's hard not to worry."