Orange County Register

(Read Part 1)

We had an email conversation with the Orange County United Way’s vice president of finance, Taryn Vidovich, and communications manager Kristin Bush. Here’s how they’re dealing with the darkening financial picture, and keeping their eyes on the light at the end of the tunnel. 

WATCHDOG: Things look tough for UW, as apparently they are for just about everyone these days (revenue down more than 9 percent between 2006 and 2007; spending down nearly 11 percent; spending outpaced revenue for two of the past three years; you’ve had to dip into reserves; spending on program services dropped). Can you talk about the causes of that, and ideas for trying to turn that around?

VIDOVICH & BUSH: During the two years in which net losses were incurred (2006 & 2007) the organization continued to respond to the needs in the community and did not dramatically reduce funding to partners in the areas of basic needs, education and financial stability.

In addition, the organization reduced operating costs by 15 percent from June 2007 to June 2008. The drop in program spending you are seeing is not a clear representation of dollars affecting programs in Orange County. OCUW has intentionally shifted the management of system-wide campaigns to other United Ways. System-wide dollars are dollars that are raised by companies throughout the nation that feed through the parent office. In the past, the dollars from parent companies located in OC were processed by our United Way but not all of the dollars stayed in OC. This shift in processing shows a decline in dollars. The decision to not process system-wide campaigns allows OCUW to run more efficiently and focus on the needs in Orange County.

You will see a decrease of 15 percent in fundraising costs in the 990 (tax return) that is yet to be filed for this past year.

WATCHDOG: Do things look better or worse so far this year?

VIDOVICH & BUSH: We have a very realistic view of the philanthropic landscape in Orange County. We know that two of our largest contributors have been the hardest hit, real estate and banking, and we are estimating losses in these areas.

With that said, we have done our research and have identified new opportunities to grow dollars for our Community Impact work which is our core business and will support the infrastructure of human care here in Orange County. Since we officially kicked off our new campaign year in September, it’s really too early to say how contributions will be impacted.

WATCHDOG: The drop in program spending over three years was steeper than the drop in management or fundraising spending. Are these categories going to see further cutbacks going forward?

VIDOVICH & BUSH: The drop in program spending you are seeing is not a clear representation of dollars affecting programs in Orange County. We discussed the shift away from managing system-wide dollars in the first question. In the past, those dollars from parent companies located in OC were processed by us but not all of the dollars stayed to support programs here in OC. This shift in processing shows a decline in dollars. The decision to not process system-wide campaigns allows OCUW to run more efficiently and look directly at dollars raised here that stay here.

Again, fundraising costs have recently been decreased by 15 percent and as mentioned before, we cut operating expenses by 15 percent as well last year.

WATCHDOG: Of course the terrible irony in all this is that more people need help when the economy tanks, but there is less help to give.

VIDOVICH & BUSH: This is our greatest challenge. Demand for food, shelter, utility assistance and other emergency services has more than doubled from last year which means we would need to raise twice as much to cover the growing need. We know that is unlikely.

Now more than ever, we are asking people to make their gift count. To give whatever they can, no matter how small or to volunteer to help support our community partners in these challenging times. We feel that United Way is in the best position to cover the full spectrum of needs in OC from food, shelter, emergency services, educational and financial literacy programs.

In the past, people wanted to give to one agency or one cause. Orange County United Way looks at all legs of the stool…basic needs, education and financial stability. We need to make sure all of these areas are supported for people and communities to thrive. We are asking people to unite in good times and in bad. Giving to OCUW will ensure that the infrastructure of human care is strong, helping people see their way through these tough times and sustaining that foundation for years to come.

WATCHDOG: And anything else you want the good people of Orange County to know?

VIDOVICH & BUSH: Yes, we want people to understand that we can’t create change alone. We have to Live United and Give United to create lasting changes. OCUW collaborates with hundreds of community partners to ensure that the dollars going into our community are having the greatest impact. We work with community partners to research the needs, fund programs that address these needs, look at the gaps in services and collaborate on solutions to address these gaps.

Around the holidays this year, we encourage people to reflect on what is really important, helping others. Now more than ever, the challenges are hitting closer to home. We are seeing our friends and family members being laid off, they have maybe even lost their home. Many of these families have children and are lining up waiting hours to get a bag of groceries.

Give what you can. If not financially, give your gift of time. With the increase in people accessing services, our agency partners are stretched thin when it comes to staff and product. Get out and help or organize a neighborhood food drive to help stock the shelves. Many of our agency partners offer volunteer projects for families with children…make it a “family day of caring”. We offer an internet-based volunteer tool, Volunteer Solutions, which lists out volunteer opportunities throughout Orange County (click here).

Through the site you can also check out Product Connections which lists what agences are looking for what goods…you can even look at what they need by searching by category…this is pretty user-friendly.

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