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Economy forces United Way to adjust outlays
Though the campaign came up short of its goal, there were some positives.
YOUNGSTOWN — The state of the economy took a greater toll on United Way fund-raising efforts than many people had anticipated.
The Greater Western Reserve Council of the Boy Scouts of America is among a number of agencies whose United Way funding has been cut up to 39 percent for some programs this year.
“I anticipated the cut. I didn’t anticipate the depth of the cut,” said Gary Erlinger, scout executive for the Greater Western Reserve Council.
The Youngstown-Mahoning Valley United Way fell short of its $2.9 million 2008 financial campaign goal, forcing the agency to reduce its contributions to a number of programs.
The campaign raised $2 million, and with the pledges not yet received, is projected to raise $2.27 million, or 78.3 percent of its goal, said Bob Hannon, president and chief financial officer.
Hannon called raising $2.27 million an “extraordinary feat given the economy.”
“I don’t know what next year’s goal will be, but I’m confident we can do better than $2.2 million,” he said.
The cuts averaged 20 percent but were not across the board, said Hannon. Programs that provide shelter, food and disaster services were not cut, while some programs were eliminated and others cut as much as 39 percent from last year’s funding level.
Those funding levels are determined by the United Way executive committee.
Erlinger said the impact of the cuts on the Scouts will be substantial.
“It definitely will have an impact because overall it is a 39 percent cut from the previous year’s funding,” said Erlinger.
In previous years, the funding had been “on a stair-step down,” But this year’s cut will affect the council more because of the scale, Erlinger said.
The lost money will affect the council’s ability to help boys who otherwise may not be able to afford things such as camping. Most of the United Way money went was to kids who couldn’t afford the programs, Erlinger said.
The reduced funding may also force the council to look at cutbacks on staffing. Erlinger said the council receives funding from five other area United Way organizations and may face similar cuts from the other centers.
While the cuts are frustrating, they are understandable because of the bad economy, Erlinger said.
The Youngstown-Mahoning Valley United Way announced the official end of its 2008 campaign Wednesday.
“To raise $2.2 million in this economy speaks to the character and caring nature of people in this community. United Way is about people helping people,” said Walter J. Pishkur, chairman of the 2008 campaign.
The toughest part of the campaign is deciding where we had to make cuts in programs, he said.
Hannon revealed that John Donahoe, GM complex manager, will be the 2009 campaign manager.
General Motors and its employees gave $147,000 to the 2008 campaign, making it the largest workplace campaign.
The United Autoworkers members at GM “stepped up to the plate and gave with their hearts,” said Jim Graham, president of UAW Local 1112 at the assembly plant.
“Our members understand the need and stepped up,” said Dave Green, president of UAW Local 1714 at the GM fabricating plant.
The largest corporate gift, $40,000, was donated by National City Bank, and the Youngstown Foundation’s $110,000 gift led the way among foundations, Hannon said.
While the overall campaign came up short of its goal, there were a number of positives, he said.
Hannon said some $62,000 was raised thorough new givers, including 31 new leadership donors who each gave $1,000 or more. The new money raised also represents 22 new donors in the professional division, and 20 new corporate and/or workplace campaigns, he said.
One of the goals this year is to develop a new marketing strategy to attract the new generation of donors, Hannon said.
The Youngstown-Mahoning Valley United Way disburses funds to about 70 programs operated by 27 local agencies. The impact areas on which it concentrates its efforts are: Nurturing children; enriching the lives of seniors; promoting health and wellness, caring for people in crisis, and achieving potential.
alcorn@vindy.com