fna nonprofit economic impact presentation€¦ · Only 501c3s included in final survey. N = 387...

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MainResearchQuestion:

WHATISTHEECONOMICIMPACTOFFREDERICKCOUNTYNONPROFITS?

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Whyisthisimportant?

Rumorsinthecommunitythattherearetoomanynonprofits.

Nonprofitssometimesviewedas“takers”andnot“generators.”

Lackofreliableeconomicindicatorstogaugeeconomicimpactofnonprofits.

Nobaselinedatacouldbefound,sowewantedtoestablishit.

Thisinitialeffortshouldhelppavethewayforfuturestudies.

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BACKGROUND

Compiledaresearchteam

Reviewedothercommunitiesandsimilarstudiesandsurveys

IdentifiedasurveyinstrumentusedbyMarylandnonprofits(“NonprofitsbytheNumbers”)andadapteditforourpurposes:http://bit.ly/2LoaoRS

Identifiedrelevantnonprofitstosurvey

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IMPORTANTPOINTS:

Wantedsurveytoberelativelyeasyandstraight-forwardtocomplete.

ManyquestionsdirectlyreferencedIRSForm990.

Gatheringofacomprehensivelistofappropriatenonprofitswaschallenging(e.g.,duplicates,defunct,DBA,nobudget)

Createdandworkedwiththebestlistorsamplingframethatwasavailable.

Only501c3sincludedinfinalsurvey.N=387

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DECISIONS:WebsurveyusingSurveyMonkey

Aimedforhighresponserateusingbestpractices;endedupwitharesponserateof19.4%.

Developedamulti-wavedesigntosolicitqualityresponses.

EmailinvitationssenttoidentifiednonprofitsinOctober,2017.

Reminderemailssenteveryfewweeks(datacollectiontooklongerthananticipated).

Personaloutreachusedtoincreasenumberofresponses.

Reachedagoodstoppingpointinspringwhenwehadmorethan50completedsurveysonmostquestions.

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SURVEYCREATEDJUNE19,2017

74TotalResponses

>50completedandusefulresponsesforeverysurveyquestion

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Q5:Isyourorganizationcurrentlydesignatedasa501(c)(3)?

Answered:74Skipped:1

Q6:Pleaseindicatewhichoptionbestdescribesthefocusofyour organization's mission.(Select one)

ANSWERED:62 SKIPPED:13

OTHER:

• Historicpreservationbasedoneconomicdevelopment• MaintenanceandimprovementofBakerPark• Scholarshipsandblockgrants• Assistindividualswithobtaininglow-costtransportationandvehicle

repairs• LegalAid• Residentialtreatmentforadultswithmentalillness• Downtownrevitalization• Musicandeducation• Disabilityservices• LandtrustandhistoricpreservationwithanemphasisonSouth

MountainBattlefield• Givegrantstoalltheaboveandscholarshipstostudents• Healthyliving,youthdevelopmentandsocialresponsibility

ANSWERED:62 SKIPPED:13

PLEASEINDICATEWHICHOPTIONBESTDESCRIBESTHEFOCUSOFORGANIZATION’SMISSION?(Select one)Q6:

Question7capturedenddateforIRSForm990

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Q8:Whatistheapproximatesizeofyourannualbudget?

ANSWERED:59 SKIPPED:16

Whatistheapproximatesizeofyourannualbudget?

ANSWERED:59 SKIPPED:16

Q8:

Q9:Whatwasthetotalamountraisedthroughprivatephilanthropy,communityfundraisingandgrants,excludinggrantsfromgovernmentalsources? (See IRS Form 990, Part VIII, line 1H minus Line 1E)

ANSWERED:57 SKIPPED:18

Whatwasthetotalamountraisedthroughprivatephilanthropy,communityfundraisingandgrants,excludinggrantsfromgovernmentalsources? (See IRS Form 990, Part VIII, line 1H minus line 1E)

ANSWERED:57 SKIPPED:18

Q9:

Q10:Whatwasthetotalrevenueobtainedfromgovernmentalsources? (See IRS Form 990, Part VIII, Line 1E)

ANSWERED:54 SKIPPED:21

Whatwasthetotalrevenueobtainedfromgovernmentalsources? (See IRS Form 990, Part VIII, Line 1E)

ANSWERED:54 SKIPPED:21

Q10:

Q11:Whichofthefollowingaresourcesoffundingforyourorganization? (Select all that apply and see IRS Form 990, Part VIII, contains partial information)

ANSWERED:59 SKIPPED:16

OTHER:

• Noncashcontributions(lab,x-ray,rx,etc)• Individualdonations• Rentalincome• Investmentincome• Incomefromleaseofspaceinthefacility• Rentalincomefromtenantspace• Housingfees• Non-endowmentinvestmentreturns• Propertyusagerentalfees• Individualdonations• Investmentincome• Individualdonors,corporations,civicorganizationsandfaithcommunity• Celltowerrent

Whichofthefollowingaresourcesoffundingforyourorganization?(Select all that apply and see IRS Form 990, Part VIII, contains partial info)

ANSWERED:59 SKIPPED:16

Q11:

Q12:Overall,istheoutlookforyourorganization'smainsourcesoffundingstable?

ANSWERED:58 SKIPPED:17

Overall,istheoutlookforyourorganization'smainsourcesoffundingstable?

ANSWERED:58 SKIPPED:17

Q12:

Q13:Whatwasthetotalamountof annualwagesandsalariespaid? (See IRS Form 990, Part IX, Lines 5-7)

ANSWERED:56 SKIPPED:19

Whatwasthetotalamountof annualwagesandsalariespaid?(See IRS Form 990, Part IX, Lines 5-7)

ANSWERED:56 SKIPPED:19

Q13:

Q14:Whatwastheamountoftotalpayrolltaxespaid?(SeeIRSForm990,PartIX,Line10)

ANSWERED:55 SKIPPED:20

Whatwastheamountoftotalpayrolltaxespaid? (See IRS Form 990, Part IX, Line 10)

ANSWERED:55 SKIPPED:20

Q14:

Q15:Whatwasthetotalamountofyourpropertytaxes? (Note that this information is NOT available on your IRS Form 990, you will need to find it elsewhere)

ANSWERED:54 SKIPPED:21

Whatwasthetotalamountofyourpropertytaxes? (Note that this information is NOT available on your IRS Form 990, you will need to find it elsewhere)

ANSWERED:54 SKIPPED:21

Q15:

Q16:Whatwasthetotalamountforgoodspurchased,suchasofficesupplies,rent,utilities,andotheritemsthatarenotrelatedtowagesandbenefits? (Some of this infocan be located on IRS Form 990, Part IX, Lines 11-24, while some of this info, such as rent, may not appear on the 990)

ANSWERED:57 SKIPPED:18

Whatwasthetotalamountforgoodspurchased,suchasofficesupplies,rent,utilities,andotheritemsthatarenotrelatedtowagesandbenefits? (Some of this info can be located on IRS Form 990, Part IX, Lines 11-24, while some of this info such as rent, may not appear on the 990)

ANSWERED:57 SKIPPED:18

Q16:

Q17:WhatisyourbestestimateofthevalueofyourservicestoFrederickCounty,baseduponthemostrecentauditandIRSForm990? (See IRS Form 990 Part IX, Column B, Line 25)

ANSWERED:53 SKIPPED:22

WhatisyourbestestimateofthevalueofyourservicestoFrederickCounty,baseduponthemostrecentauditandIRSForm990? (See IRS Form 990 Part IX, Column B, Line 25)

ANSWERED:53 SKIPPED:22

Q17:

Q18:Whataretheresidualimpactsofyourorganization'sworkinFrederickCounty? (Identify all that apply)

ANSWERED:56 SKIPPED:19

OTHER:

• Moreliterateparentscanhelptheirchildrentosucceed• Strongerdowntowncore– jobs,culture,communityandmore• Fulfillsculturalneeds• CleanwaterinCullerLake;treesandplaygrounds• Deepercommunityengagement• Economicimpact– jobs,taxablerevenue,leasedspace• Improvedqualityoflife,increasedtourism$spentinFrederickCounty,

preservingFrederickCounty’sheritagefortodayandfuturegenerations(especiallywhentheroleofhistoryisbeingdiminishedineducation)

Question18continued:

• Moretimewithfamilyduetotransportationneedsbeingmet• Stableandvibrantrelationshipswithfamily,friendsandspouses• Provideafacilityformedicalpractitionerstoprovidehealthcaretothe

citizensoftheCatoctincommunity• Low-incomeresidentsavoideviction,foreclosure• C3tenantsabletobetterfundownmission,reducedmedicalequipment

coststocommunity• ProvDthankMChighqualityresidentialmentalhealthserviceswitha

communityintegrationsfocus;helpthelocalworkforceandaddresstheissueofstigmaandmentalhealth

• Hopeful,moreoptimisticresidents,visitorsandworkers• Conservationeducation

Question18continued:

• Provideoutofschooltimeservicessoparents/guardianscanwork• Betterhealthoutcomes• Helphomelessstudentstobesuccessfulatschool• Revitalizeddowntown• Accesstoeducation,healthandfinancialstabilitiessupportsand

resources• Peoplewithdisabilitieshaveresidentialsupports• Technicalassistance,grantfundingandprofessional/volunteertraining

fornonprofitsrelatedtoculture,heritage,thearts,economicdevelopmentandtourism.Improvedqualityoflife;localeconomicbenefitsfromtaxrevenue,jobsandvisitorspendingassociatedwithenhancedtourismandvisitorexperience

Question18continued:

• PromotingabetterunderstandingofFrederickCountyhistoryandsafeguardingthenaturalenvironment

• Preservingandcommunicatingblackhistoryofthecounty• Studentsexperientiallylearningtheimportanceofsteppinguptomakea

difference• Toonumeroustolistasourgrandandscholarshipsimpactalltypesof

organizationsandstudents• Flexible(hours,shifts,locations)employmentopportunitiesformiddle

andlowincomeindividuals• Bringcommunitiestogether– addedself-esteemandempathybuilding• Foodforlowincomechildrenwhenschoolmealsareunavailable

Whataretheresidualimpactsofyourorganization'sworkinFrederickCounty? (Identify all that apply)

ANSWERED:56 SKIPPED:19

Q18:

Q19:Whataresomeofthemostpressingfinancialchallengesyourorganizationfaces?(Identify all that apply)

ANSWERED:53 SKIPPED:22

OTHER:

• Continuingtogrowthesourcesofincome• Perceptionthatourservicesshouldbefree• Tomeettheexpensesofmaintainingthefacilitywhile,atthesametime,

maintainingverylowleasecostsforthemedicalpractitioners• Highcostoftuition• Non-monetizedprogramming,managingagingphysicalplant• Seniorsdonotelicitthesamelevelchildrendofordonorsupport- yet

mostgrowingneedandleastamountofresources• Usingstrongfinancialopportunitiesandresources,investintaking

organizationtothenextlevelbyinvestingingrowthofprofessionalstaffandconsultants.Recentrecessionhasresultedinatendencyfororgstoholdtightlytoresourcesthatcouldbeusedtomeetincreasingdemandonprogramsandservices

Question19continued:

• Staffturnoverindirectservicepositions• Cashflowduringcertaintimesofyearduetoslowgrantreimbursement• EvacuationofmajoremployersintheCounty• Studentrecruitmentandenrollmentchallengesinhighereducation• Asanorganizationthatexiststoservetheneedsofnonprofitsinthe

realmofculture,heritageandtourism,itisdifficulttofundraisewithoutcompetingwiththoseweexisttoserve.Also,wearesometimesmisunderstoodtobeaStateagency.Finally,weareoverreliantonin-kindsupportforourofficespaceandourrevenuesourcesaretoogrant-heavy

• Ofteninthenonprofitworld...funderswon’tgivemoneyuntilyouhavepaidfortheprogramaheadoftime

Whataresomeofthemostpressingfinancialchallengesyourorganizationfaces? (Identify all that apply)

ANSWERED:53 SKIPPED:22

Q19:

Q20: Whatisthetotalnumberofpaidworkers? (Put 0 if no paid staff)

MEAN: 138

MEDIAN: 6 2297

0(13organizations)

High

Low

Q21:Whichofthefollowingarestaffingchallenges?(Identify all that apply)

ANSWERED:55 SKIPPED:20

OTHER:

• Lackoffundinglimitsservice,thereforlimitsstaffing• Potentialneedformorestaffatsomepoint• Nostaff• Weareveryhappywiththestaffwehave• Lackoffundingtosupportalargerstaff• None• Competitionwithpublicschools• None• Staffareverydedicated,butwewishwecouldpaymore

Question21continued:

• Lackofreasonablerentspace• Nostaff• Organizationneedstogrowtokeeppacewithdemandandsignificant

opportunities• In2016,SHIPwassolelyreliantuponvolunteersandcontractorsto

conducttheworkoftheorganization.Thishaschangedin2017withtheadditionoftwopaidemployees

• Affordablehigh-qualitytrainingresources

Question21continued:

• HavinglostastaffmemberinMay,werecentlywentthroughthehiringprocess.Ofeightselectedforfirstinterviews,fourdroppedoutbecausewearenotabletoofferhealthbenefits.Twoofthosealsocitedinsufficientsalaryrangeasareasonfortheirterminationofcandidacy.Ofthefourwhoremainedcandidates,onemadeitclearthatthesmallsalarywouldhavepreventedherfromaccepting.Also,importanttonote– overthepastyearpotentialchangestoFLSAposedextremechallenges

• None• NoStaffbudget• Nopaidstaff...volunteersareplentiful• We’vealwaysbeenavolunteerorganization

Whichofthefollowingarestaffingchallenges?(Identify all that apply)

ANSWERED:55 SKIPPED:20

Q21:

Q22: Whatisthetotalnumberofvolunteers,includingboardmembersandunpaidstaff?(Put 0 if no volunteers)

MEAN: 127

MEDIAN: 47 1000

0

High

Low

Q23: Whatisthetotalnumberofhoursdonatedperyearbyvolunteers?

MEAN: 10,561

MEDIAN: 1 ,560156,000

100

High

Low

Q24: Whatisthetotalnumberofgoverningboardmembers?

MEAN: 12

MEDIAN: 1130

3

High

Low

Q25:Whataresomeofyourbiggestchallengeswithvolunteers?(Identify all that apply)

ANSWERED:52 SKIPPED:23

OTHER:

• Fundinglimitsservice,thereforelimitsthenumberofvolunteers• Lackofcoreprogramstafftohelpsupportandcoordinatevolunteers• Withastrongbaseofvolunteers,continuallylookingtoreplacefolkswho

leaveduetolifechanges• Experiencedvolunteers• Lackofvolunteersforspecificjobs• Nomajorchallenges• None• Certainskillsarenotreadilyavailable• Recruitmentofvolunteersunderstandingtheroleofboardofdirectors

Question25continued:

• Findingqualifiedvolunteers• Wedon’tusevolunteers• Lackoftimeforleadvolunteersandstafftoonboardwiththetypesof

orientationandengagementthatwouldbeoptimal• Timeandcoordination• Lackofvarietyinvolunteeropportunities• Reliabilityofvolunteers• Wehaveahealthynumberofvolunteer,butmorehighlytrained

volunteersareneededespeciallywithVITA• N/A• Retention

Question25continued:

• Weneedphysicallocation• Ourlargestneedisvolunteersscholarshipreview;thisisalarge

commitmentforashortperiodoftime.Findingindividualswillingtogivethistypeofcommitmentinthespringisoftendifficult

• Areaofgreatestneedarepaidpositionswherevolunteersarenotabletosupport

• None• Balanceournonprofitwitheverydayactivities(work,family,etc)

Whataresomeofyourbiggestchallengeswithvolunteers?(Identify all that apply)

ANSWERED:52 SKIPPED:23

Q25:

Q26: WHATISTHETOTALNUMBEROFCLIENTSWHODIRECTLYBENEFITTEDFROMYOURSERVICES?

496,804

0

High

Low

Mean:24,458Median:700

60

Q27: WHAT IS THE TOTAL NUMBER OF PEOPLE WHO WANTED ORNEEDED YOUR SERVICES BUT WERE NOT ABLE TO ACCESS THEMAS BEST AS YOU CAN DETERMINE?

60,000

0

High

Low

Mean:2,150Median:30

Q28:Whatdoyouimaginewouldhappenifyournonprofitceasedtoexist?(Identify all that apply)

ANSWERED:55 SKIPPED:20

OTHER:

• Parentswouldbelessabletosupporttheirchildren’seducation• Marginalizedpeoplemightneverachievetheirfullhumanpotential• Lessjobswouldbecreated• ParentseekingaCatholiceducationfortheirchildrenmaynotbeableto

provideit.The4CatholicschoolsinFrederickCountywouldsufferwiththelossoftheblockgrantsweprovide

• Jobswouldbelostforlackoftransportation• Medicalpractitionersusingthefacilitytoconducttheirpracticeswould

havetoseekotherspaceatdramaticallyhighleasecosts• Ourstudentswouldbeattendingpublicschools• Nonprofitsinthecommunitywouldhavetospendsignificantlymoreof

theirresourcesontheirowninfrastructure.Allofuswouldpayhighermedicalcosts

Question28continued:

• Lackofconnectionstomentalhealthandsubstanceabusetreatment• Health,safetyandotherservicesforthisfrail,vulnerablepopulationare

alreadylimited• Akeycatalystforeconomicvitalitywouldbemissing• Childrenwillbeinthestreets• Peoplewouldn’tknowaboutavailableservices.Increasedburdenon

criminaljusticesystem.IncreasedEDusage• Downtownwoulddecline• Peoplewithdisabilitieswouldnotreceiveservices• Therewouldbefewerjobsandlesstaxrevenueassociatedwithtourism

andvisitorspending• Avaluableresourceforalltypesofnonprofitsandforscholarshipswould

beaffected

Question28continued:

• Crimeisbasedonnationalresearchthatshowswherethereisartinschoolsandthecommunity– thereislesscrime

• Lowincomechildrenwouldgohungrywhenschoolmealsareunavailable

• Downtownwoulddecline• Peoplewithdisabilitieswouldnotreceiveservices• Therewouldbefewerjobsandlesstaxrevenueassociatedwithtourism

andvisitorspending• Avaluableresourceforalltypesofnonprofitsandforscholarshipswould

beaffected• Crimeisbasedonnationalresearchthatshowswherethereisartin

schoolsandthecommunity– thereislesscrime• Lowincomechildrenwouldgohungrywhenschoolmealsare

unavailable

Whatdoyouimaginewouldhappenifyournonprofitceasedtoexist?(Identify all that apply)

ANSWERED:55 SKIPPED:20

Q28:

• Englishlanguageproficiencyandreading(fornativeEnglishspeakers)areessentialforanyonetomaintainajobthatpaysalivingwage,supporttheirchildren’seducation,accessresourcesinthecommunityandcontributetotheoverallwellbeingofourCounty

• Theun-serveddemandisahardquestiontoanswer– wouldhavepreferredtosay“unknown”• AconservativeestimatehastheWeinbergprovidingmorethan7.5milliondollarimpacttothe

community• OurpurposeistohelppeopleinFrederickCountyescapepoverty;ifsuccessful,wefacilitaterobust

demand-driveneconomicdevelopmentlocally• In2016,102additionaljobswerecreatedwithover16millionintaxablerevenue• Weprovideanessentialneed:reliabletransportation.Withoutit,goodjobsarelostornotobtained,

betterlivingconditionscannotbehadandfamiliesbreakdownaspeoplemovetobeclosetoajob.Areliablecarisacriticalneedforthelowincomecommunity

• Webuildstrongmarriages,familiesandcommunitiesthroughprovisionofrelationshipeducationprogramsandservices

• Goodemployees;studentsbeingeducatedinFrederickCounty• Solidemployerwithgoodbusinesspurposeandimpact• SetonCenterisabletofacilitateFrederickCityagenciesintheiroutreacheffortsinthenorthernpartof

FrederickCounty• Asweareastatewideorganization,thefinancialinformationinthesurveyreferstothetotal

organization’sbudget.AllotherresponsesrefertoourFrederickoffice• Wehavedirectlyrehousedhomelessseniors,providedfoodandimprovedtheirhomesforsafetyandso

muchmore• Betweenoutshelter,familyshelterandevictionpreventionprograms,theCountywouldneedto

provideshelterandservicesanddealwithmorehomelessindividualsonthestreet

Q29:ADDITIONALCOMMENTS

• ReducesthecostofhomelessnessonFrederickCounty• Raisespropertyvaluesandpropertytax,keepscrimelow,providesservicesforlocalbusinessesand

propertyowners• InadditiontoFMH,wehaveother501(c)(3)’swithanadditional10%(approximate)moreexpenses

withthemostsignificantbeingemployedphysicians(MonocacyHealthPartners)• Weprovidemusiceducationnolongerincludedinmostschools• Q26andQ27weredifficulttoaddress.Myorganizationservedhundredsoforganizationseachyear

throughgrants,offeringvolunteertrainingandprofessionaldevelopment,promotionalandmarketingservicesandotherformsoftechnicalservice.Wearededicatedtohistorical,culturalandnaturalresources,aswellaseconomicdevelopmentandtourisminterests.Severalhundredthousandvisitorsandresidentsacrossthreecounties,includingFrederick,areservedeitherdirectlyorindirectlythroughourefforts

• CMHLinpartnershipwiththeSouthMountainStateBattlefieldactivelypromotestourismtoSouthMountainandsurroundingrelatedsites.Wehaveco-sponsoredlargere-enactmentsduringtheSesquicentennialdrawingupwardsto8,000re-enactorsandvisitorstoFrederickCounty.WehaveupdatedourmissionstatementtoreflectanemphasisontheCivilWarReconstructionPeriodforthecomingyears

• Fundingreceivedbyourorganization(stateandfederal)isfromoutsideofFrederickCountyandspentinFrederickCountyonsalaries,goodandservices

• Asatheatre,manypeoplegetamealordrinksbefore/afterourshows.WealsoknowthatpatronsgoshoppingafterourSundaymatinees(we’veasked)

• BIABhasmajorimpactbyreducingchildhoodfoodinsecurity• Itisdifficultforsomeoneatthebottomtomakeforwardprogress.Manypeopleareabletobecome

stableandprogressbecauseoftheworkofFrederickRescueMission

Q29:PLEASESHAREANY

ADDITIONALCOMMENTSABOUTTHEIMPACTOFNONPROFITS

Thank you for your

participation

Conclusions:§Thefinancialandhumanimpactonourlocaleconomyissignificant(allveryconservativeestimates):§ Nonprofitspaidatleast$83,150,000inannualwages/salaries§ Nonprofitspaidatleast$64,000,000forrent,utilities,andsuppliesannually§ Nonprofitsestimatethevalueoftheirservicesatmorethan$92,000,000annually

§Thephilanthropicimpactissignificant:atleast$58,150,000generatedyearlythataugmentsfeesforservice,insurancepayments,andgovernmentgrants.

§Localnonprofitsofvarioussizesaddressadiversesetofsocialproblemsandissues,includinghuman/socialservices,education,arts/culture,andhealthandwellbeing.

§Thelocalnonprofitcommunityiscomprisedofsmall,medium,andlargerorganizations.Thisisastrengthasitshowsthatthenonprofitecosystemisdiverseandnimble.

§Ournonprofitsareanimportanteconomicforce.Theyhavedirectandmeasureableimpacts,aswellasindirectyetstillvitallyimportantimpactsonoureconomyandwayoflife.

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LetthisbethebeginningoftheconversationabouttheimpactofourlocalnonprofitsasameconomicdriverinFrederickCounty.

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