September 22-24,2010 Peachtree City, Georgia Jimmie Samuel, President Welcome

Will Non-Profits CAAs Be Able to Meet Rising Demands? Source Data: Georgia Center for Non-Profits –

September 22-24,2010 Peachtree City, Georgia Welcome Source: Georgia Center for Non-Profits

31% note dramatic (+30%) increases Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

What are the primary reasons for diminished capacity to meet demands? 1. Funding Cuts 2. Increased Costs 3. Management Capacity 4. Lack of Space 5. Lack of Volunteers Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

“We are seeing more middle class people and families” E.D. of a Savannah area Food Bank “Our former donors are now our clients – they come to us to keep the lights on and pay the rent.” E.D. of an emergency assistance program

 24% indicated that the organization had more than 6 months reserves;  55.2% had less than 3 months and  19% had no reserves at all. The number of agencies reporting no existing reserves increased by 5%; those with 3 months decreased by 3.5%, and those with 6 months reserves decreased by 4%. Not a small nonprofit issue GCN Survey - N=255 agencies For those respondents with annual budgets exceeding $5M, 62.5 % had less than 3 months of liquid reserves contrasted with 56.2% for groups with less than $2M annual budgets.

68.2% of Respondents had Government Contracts Increasing ISSUES:  Protracted Reimbursements  Cash Flow Problems & Temporary Insolvency  Zero notice contract cancellations  Renegotiated contract rates on-the-fly Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

Cutting Staff Cutting Operational Costs Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

 11.6 % will Shorten work weeks or lower hours  20.5% will Hold vacant positions  6.3% will Shift FTE’s to Part Time to save on benefits costs  31% reported staff layoffs in Q1 compared to 27% reporting layoffs in Q n=112 Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

 11.6 % will Shorten work weeks or lower hours  20.5% will Hold vacant positions  6.3% will Shift FTE’s to Part Time to save on benefits costs n=112 Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

Collaboration & Other Unnatural Acts 28.9% would consider a merger if they had resources to manage it. 50% would combine advocacy efforts or marketing efforts with other groups 44% would consider consolidating their back office or outsourcing it Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

Cutting Programs & Tightening Constraints  44.3% will increase constraints to limit demand compared to 37.5% in Q4  44% will close some programs to shift support to core initiatives or to cut costs compared to 30.8% in Q4 Increased Fundraising & Marketing Activity

 Direct Program Expenses (food,performance productions, animal care)  Conferences & Travel  Supplies & Equipment  Print & Mail  63% will keep compensation levels even  67% will keep benefits intact  58% will not or will only slightly reduce professional development Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

7% Fewer felt they would realize significant revenue declines and 6% more felt the impact would be slight 30% felt government contracts would remain stable 21% Expect to start a capital campaign (compared to 10% in Q4) 40% Plan to deliver events as usual 24% Expect to start a new event 63% Expect to hold salaries & benefits at current levels 22.1% Expect to expand programs 54% Expect to hold programs at current levels Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

Survey Question: If you are meeting the demand, what made the difference? 1. Careful Planning and Financial Controls 2. Increase or Improved Development Activity 3. Active Board Involvement Source: Georgia Center for Non-Profits- Survey of Non-Profit Financial Health

ARRA Implementation Technology and Reporting Enhancements Peer to Peer (Self Regulation) Legislative Education Resource Development Marketing and Communication

1:30 pm – 3:00 pm FRAME THE ISSUES  Select a Recorder, Time Keeper and Reporter  Discuss the Topic  List the Issues/Problems

3:30 pm - 4:45 pm ESTABLISH GOALS/OBJECTIVES  Describe the Desired Future – “What Do You Envision”?  List three (3) Possible Solutions for Each Issue/Problem Identified

Discussion Starters: Grantee Performance (WAP/CSBG) Program Evaluation Risk Mitigation and Management Others

Discussion Starters: EZT Centralization ARRA/CSBG Reporting IT Personnel Others

Discussion Starters:  Application Process  Mentoring  Confidentiality  Others

Discussion Starters:  Legislative Agenda  Governmental Affairs  Interns  Others

Discussion Starters:  Federal Grants Life Cycle  Membership Dues  Fund Raising Ideas  Others

Discussion Starters: CAA Best Practices Poverty Reduction Messaging Communications Plans Others