Life without limits for people with disabilities United Cerebral Palsy Of Central Pennsylvania UCP Central PA Executive Committee FY16 Budget Review June 24, 2015 Overview – External Environment Internal Operations Budget Detail

Life without limits for people with disabilities FY16 Budget Proposal Our Environment - What next? Life without limits for people with disabilities County Program Funding Negotiated Rates State Fee Schedules . Managed Care Managed Care Affordable Care Act Strategic Response Required …

Life without limits for people with disabilities FY16 Budget Proposal All UCP Central PA Entities Life without limits for people with disabilities Revenue: 28.15M Expenses: 27.82M Net Income: 0.33M Underlying Assumptions FY16 OLTL & ODP rate schedule – no change Residential rate increase due to higher vacancy factor 6-mo ACA AWC impact $131K (80 positions) State budget reductions not considered Apartment Program Changes Pending NI = 0 Working with CPARC to reach breakeven or better

FY16 Budget Proposal Program Changes Life without limits for people with disabilities New Programs ($ Direct Net Income): New Residential Home in Lewistown $75k Discontinued Programs ($ Direct Net Income): Nursing Home Transition (-$6k) Dauphin Links (-$4k) Links to Independence – Selinsgrove $14k AWC Significant Changes (-$164k Direct Net Income) Decrease in Revenue $790k Decrease in Expense $626k Changed slide from Revenue to Direct Net Income

Life without limits for people with disabilities FY16 Budget Proposal Health Benefit Challenges Life without limits for people with disabilities Premium increase (21% effective 1/1/2016) Budget +10.5% plus projected FT growth ACA: 80 AWC PT positions eligible for HB 1/1/16 Budget Impact ($3.4K/ee) - $131K 56 Eligible Employees at ½ year 24 Employees fall under the Unaffordable Criteria

Life without limits for people with disabilities FY16 Budget Proposal UCP Entity Profile Life without limits for people with disabilities Agency Operations Rev: $26.4M NI: $266K FTE: 641 UCP Central PA C2I Rev: $967k NI: $4K FTE: 12 Dream Partnership Rev: 398K NI: $15K FTE: 1 Total NI: $328K Added Footnote to the Foundation UCP Foundation Rev: $403K NI: $43K* FTE: 2.3 *See slide 14 for details

FY16 Budget Proposal Net Income (loss) by Program*: FY15 vs FY16 Life without limits for people with disabilities *G&A allocated to programs

Life without limits for people with disabilities FY16 Budget Proposal Revenue & Expense FY07-FY16 Life without limits for people with disabilities FY07-FY14 from 990 FY15(P) actual thru 3/31/15

Life without limits for people with disabilities FY16 Budget Proposal Staffing Life without limits for people with disabilities FY16 Budget Compare to FTE – 641 FTE FY15 Actual: 626 (*FT-199; PT-442) (FT-185; PT-441) Salaries – $17.9 M (+7%) FY15 Actual: $16.8 M Salary Increase – 2% Bonus ($213K) FY15 2%Bonus (186k) Staff Travel -$366K (+7%) FY15 Actual - $340K Mileage rate - $0.46/mile FY15 - $0.46/mile Health Insurance $1.3M (+27%) FY15 Actual $1.0M ($131K–ACA + FTE Incr + Premium) Worker’s Comp $722K (+17%) FY15 Actual $617K * 8 Vacant – 6 New Positions

FY16 Budget Proposal IT Infrastructure $ 41k Spending & Investment Summary Life without limits for people with disabilities IT Infrastructure $ 41k Fiscal Billing & Collections $ 151k Affordable Care Act $ 131k Staff Incentives $ 213k Capital Investments $ 61k Total $ 597k

Life without limits for people with disabilities FY 16 Budget Proposal Operating Budget Life without limits for people with disabilities Revenue ($M) Expenses ($M) Off Dev Pgms 19.581 Program 25.007 Off Child Dev .724 Gen’l & Admin 2.541 Off LT Living 2.882 Fundraising (Fdn) .106 Dept of Aging 2.281 ComRel&Other .170 Other Agencies 1.384 Total 27.824 Private Pay .673 Non-Pgm (U/W etc.) .627 Total 28.152 Expenses Wages 17.872 Fringe/Pers 3.766 Cntrt Staff 1.601 Occupancy 1.738 Consumer .406 Other 2.441 Total 27.824 Net Income: $328K

Life without limits for people with disabilities FY16 Budget Proposal Capital Budget Life without limits for people with disabilities

Life without limits for people with disabilities FY16 Budget Proposal Subsidiary Entities Life without limits for people with disabilities UCP Foundation of Central PA Connections to Independence-C2I DREAM Partnership

FY16 Budget - Foundation

FY16 Budget - Connections to Independence

FY16 Budget - DREAM Partnership

Program Financial Results October 2015 Supervisors Meeting

Fiscal Year 2014/2015 Program Revenue and Expenses UCP Central PA .054% Profit Margin 10/15/2015. UCP Supervisor Meeting. John Wilson Sr.

August 2015 Year-to-Date Program Revenue and Expenses UCP Central PA 10/15/2015. UCP Supervisor Meeting. John Wilson Sr.