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United Way announces recipients of 2008 Community Investment Grants
Following more than two years of research, analysis, and direct participation with community leaders, volunteers, nonprofit agencies, and corporate partners, United Way Capital Area announced a $9.2 million plan to create long-term impact in the Central Texas community over the next two-and-a-half years.
The new community impact funding strategy ties targeted funding to 47 programs and collaborations in the form of Community Investment Grants (CIGs), which are designed to achieve specific, measurable community goals and results.
"Our success will be measured not by the amount of campaign dollars raised, but whether or not community goals and outcomes are reached," said Dick Moeller, Chair of the Board of Directors of UWCA. "We're working to close the widening opportunity gap between those who are getting ahead and those who are being left behind in Central Texas."
The plan, which represents a change in how UWCA invests community contributions, is designed to deliver a more substantial return on investments.
"This shift reflects our realization that we need to change our investment strategy to reach community goals that people say are needed if our region is to thrive," said David Balch, president and chief executive officer at UWCA. "Many nonprofit organizations are doing excellent, important work, and some are in a better position to deliver outcomes that align with long-term community goals."
The new plan awards Community Investment Grants (CIGs) in three Focus Areas. The areas were selected through research carried out over the past three years on behalf of UWCA by The Ray Marshall Center at UT and by exhaustive analysis of best practices. The Focus Areas are:
- Education: Helping children and youth succeed in school.
- Health: Improving community health by addressing gaps in care, specifically those impacting older adults, behavioral health and access to primary care.
- Financial Stability: Helping individuals meet their basic needs, maximize and increase their income, and build savings and assets.
"This approach is about weaving together a coordinated effort to move the needle on the issues facing our communities. As good stewards of the community's giving, our passionate and dedicated volunteers have selected a wide range of programs that take new and innovative approaches to old issues" said Balch. "They are intended to lift up the ever-growing population of individuals and families who are struggling to make ends meet by giving them the tools they need to improve their lives and prosper."
United Way's Board of Directors approved the new funding strategy at its December meeting. The more targeted approach will be implemented in 2008. It includes Community Investment Grants (CIGs) and transitional funding totaling $5.6 million for 2008-09, including 14 newly funded agencies.
To see a list of the agencies receiving Community Investment Grants, click here.
To see a list of the 47 programs being funded by UWCA, click here.
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Questions and Answers: The Funding Decisions
The recent announcement of how United Way will be investing some of our community's dollars has caused a fair amount discussion. Change is never easy. Here, we hope to answer some of the questions that have been raised about United Way Capital Area's new direction, its implications, and the rationale that has lead us all here.
Why take this new, focused approach?
Because things in Central Texas are getting worse-not better-for our most vulnerable neighbors. Poverty levels are rising. School drop-out rates are at a staggering level. Our senior citizens are languishing-in ever-increasing numbers-in unhealthy, unsafe environments. Young children from poor households begin school years behind their wealthy peers developmentally and never catch up. And on top of all this, the population is booming in our region, adding more pressure on an already stretched patchwork quilt of community resources and safety net, meaning the future is bleak for many of our residents, neighbors, and families.
Unless we change things. Right now.
Several years ago, United Way Capital Area took note of these conditions and began a series of conversations with Central Texans. Community leaders, nonprofit executives and staff members, public officials, advocates, philanthropists, and average citizens came together to discuss-in very real, very frank language-what needed to be done to ensure a bright future for everyone. The conversations raised countless issues, but they all seemed to be based on one idea: opportunity. By providing opportunity to every man, woman, and child to build a safe, healthy, and happy life, we'll see the kind of change our community needs.
So we made a difficult decision: Change the way United Way has approached community issues.
What's the difference between this new approach and the old one?
We are holding ourselves more accountable to the community, to ensure that the funds invested in United Way are used to create real, long-term change. With the help of countless community members, we've identified very specific, measurable outcomes we hope to achieve. The agencies and programs United Way funds are focused on achieving those outcomes, and will report to United Way regularly on their success. In the past, United Way merely asked an agency to show some success in their efforts; now, we ask that all agencies and all programs work together to achieve these outcomes.
In other words, our funds are focused on the community more than ever before, as opposed to specific nonprofit agencies.
But this change also means being more of an "agent of change." For many years, United Way has been a passive supporter of community efforts: raising and distributing money, helping volunteers find rewarding projects, etc. Now, we want to be a "meeting place" for community efforts-a place where nonprofits, volunteers, donors, and average citizens can meet, identify issues, develop plans to improve lives, collaborate, learn from each other, and raise awareness. United Way is just that: a united way of helping build a better Central Texas.
Why did some agencies that had received funding in the past not receive funding in this cycle?
First, it's important to note that we received applications for more than 145 programs from 88 different nonprofit agencies in this cycle. That's more than ever before in the history of United Way Capital Area. The applications requested a total of $13.6 million in funding investments, while we had approximately $3.7 million to distribute in the first year. Obviously, this meant that some very difficult, close decisions had to be made.
Because an agency received funding once does not entitle it to receive funding again. These decisions were not based on historical funding, but instead on what our community needs now and in the future.
No funding was "cut." Rather, as United Way does every three years when reviewing new applications for funding, our team of volunteers reviewed community needs and assessed how the applicants programs addressed those needs. Instead, as good stewards of the community's dollars, United Way is obliged to place funding in those agencies that are the most sound and can demonstrate the most focused, long-term, effective results. To give funding to an agency simply because that agency had received funding in the past would be unfair and ineffective.
That an agency did not receive funding in this cycle does not reflect on that agency's quality or the value of their services. Again, with requests totaling more than three-times the amount available to distribute, some close decisions were made. We wish we could have funded all of the agencies that we wanted to, but the dollars available simply wouldn't allow us to.
If you don't fund certain agencies, won't they have to reduce services?
An agency who was not chosen to receive funding in this cycle, but was funded in the last cycle, is unlikely to have to see any significant reduction in services. Why? Because in the majority of cases, United Way makes up a small proportion of the agencies overall budget (less than 4%). In addition, we have set aside more than $550,000 in additional transition funding to help those agencies affected continue providing services while they find alternative sources of funding.
How did you decide who would receive grants?
- After issuing detailed Requests for Proposals around the Focus Areas of Education, Health and Financial Stability, United Way received proposals for 148 programs from 88 nonprofit organizations-more proposals than in the 80+ year history of United Way Capital Area. In total, agencies requested more than $13.6 million in funding. With approximately $4 million to distribute, some very difficult decisions had to be made.
- Funding decisions were made by a series of volunteer-based groups. First, the proposals were rated and scored by teams of experienced, organized volunteers. Those initial recommendations were passed along to Leadership Councils in each Focus Area, which determined what programs and agency proposals would be recommended to the United Way Board of Directors, which then acted on the recommendations at their December meeting.
- In all, more than 165 volunteers dedicated more than 1,800 hours to the process of determining which agencies demonstrated the most effective approach to meeting very specific Focus Area goals and outcomes, as outlined in the original Requests for Proposals.
What is United Way's operating/administrative cost?
For every $1 invested in United Way Capital Area, 88 cents is invested directly into community programs and collaborations. That translates to an "overhead" cost of merely 12%. Compare that to the average nonprofit administrative cost of between 25% - 35% and United Way is among the national leaders.
What is United Way's political stance?
United Way Capital Area is unaffiliated with any political party, lobbying group, or policy "think tank." Our work is about the local community and the issues that keep it from realizing its full potential, not politics.
What is United Way doing about victims of abuse?
United Way Capital Area recognizes that abuse-domestic and child, particularly-continue to be enormous barriers to our community's overall health. To this end, United Way is funding the SafePlace Child Development Center, which provides safe and stable child care to families of abuse. We're also distributing almost $80,000 to SafePlace for abuse counseling services.
Would we like to fund all child and domestic abuse services in Central Texas? We would. But we simply can't. There isn't enough money to go around. Some difficult choices had to be made, and our volunteer review teams decided that by funding some of our other initiatives, United Way can help, over the medium- and long-term, reduce the demand on abuse services in the first place. This approach is about strategic change and immediate relief.
I'm part of a Federal or State campaign, managed by United Way Capital Area. Will these funding decisions have any impact on my charitable contribution?
No. The Combined Federal Campaign and the State Employee Charitable Campaign are not United Way Capital Area campaigns. United Way Capital Area is contracted by the state and federal government locally, to process and distribute contributions made through these campaigns.
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Corporate partnership: 3M & Gifts In-Kind
As you may know, United Way Capital Area proudly manages a community-wide Gifts In Kind program that allows corporations and individuals to donate their in-kind goods to nonprofits in an impactful, efficient way. You may also know that in less than a year of existence (the program launched at the beginning of 2007), the GIK program reached its $1 million goal.
What you may NOT know, however, is that the United Way Resource Center, which stores and distributes donated items to local nonprofit agencies, was recently given a big boost by local partner 3M.
On December 6, a truck rolled up to the UW Resource Center carrying 44 pallets of office supplies -- the first of 3M's $380,000 pledge to
the Gifts In-Kind program. 3M donations included easel pads, post-its, digital projectors, desk lamps, and tape dispensers.
A big "thank you" to Russell Bridges for making this happen!
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Recognizing a "loaned" executive
Business is built on relationships. A company's success is directly related to its people. These are just two reasons why a company might flinch at the thought of loaning their very best talent out to the community.
Yet, State Farm-a company that puts great emphasis on its people-does just that. They select among their top talent and send them to join United Way staff in raising much needed resources for the community. It is a national program, with State Farm Loaned Executives joining local United Ways in nearly every community all across the nation each autumn. Loaned Executives gain exposure to community needs and solutions, key business and social leaders, public speaking, and the opportunity to participate in critical work that affects the lives of those in our community. Loaned Executives sharpen different skill sets in a new environment, and in the process gain a new perspective on community and leadership. They leave behind a lasting impact on United Way and the community.
Tracy Dove, PHR, the 2007 State Farm Loaned Executive, was an incredible gift to United Way and to our community. Tracy has been with State Farm for six years, and has over 15 years of experience in Human Resources. Reaching out to local market leaders, working with dozens of volunteers and speaking to numerous organizations, Tracy helped deepen relationships and raise many thousands of dollars to address root causes of our community's most pressing issues. In addition, Tracy used his Human Resources expertise to help United Way evaluate and enhance our ability to cultivate and retain talented people, which will create increased value far beyond Tracy's last day at United Way. Tracy's level of professionalism and leadership will have a deep and lasting impact on our community.
Thank you, Tracy, for your commitment, leadership and service. Thank you State Farm, for sharing your most valued resource so generously.
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New Tax Implications
Donors are now required to have a tax receipt to substantiate all contributions, regardless of amount. Payroll deduction pledges, just like all other contributions, are now only deductible by the donor if they can produce a canceled check or a receipt that indicates:
- The name of the charity
- The date of the contribution
- The amount of the contribution
Click here for more information.
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This Month's Features
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Upcoming Events
Mon, Dec 31
First Night Austin, UWCA Puppet-Making Workshop (sponsored by Texas Gas Service)
New Year's Eve, from 3:00-6:00 p.m. @ Austin Children's Museum
Thu, Jan 17, 2008
Hands On Central Texas' Echoes of Color Film Series
Sat, Jan 19, 2008
Hands On Central Texas' MLK Day of Service
Agency Workshop Series
· more information
...see all news & events
Leadership
Member Events
Tue, Jan 15, 2008
Young Leader Society Lunch With Leaders
How can I become a member?
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Thank Yous
- We'd like to thank the entire Central Texas community for contributing to UWCA's recent transformation, as well as the more than 165 volunteers who contributed more than 1800 hours to reviewing, rating, and choosing our upcoming funding recipients.
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Need to do any last-minute holiday shopping? Support United Way Capital Area while you shop on the web! Click on this link, and then you are ready to search and shop at this site while supporting United Way.
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