The Community Foundation for Palm Beach and Martin Counties, in partnership with Allegany Franciscan Ministries, conducted the 2nd Annual Nonprofit Survey to gather data regarding the needs in the community, the state of nonprofits and how best funders could be of assistance. Respondents were asked about their current challenges, the impact the economic downturn has had on the services they offer and their most pressing funding needs. Here are the results with a special focus on South Palm Beach County.

1. Nonprofits & The Economy 2nd Annual Survey 2010 Understanding our community South Palm Beach County Perspective

3. Supported by hundreds of donors

4. $100 million in total assets

5. Last year awarded nearly $9 million in grants and scholarships

8. Limiting travel

9. Eliminating employer contributions to health insurance, retirement

10. Eliminating professional development options

11. Enforced furloughs, job sharing, reduction from full-time to part-time

12. Cutting salaries

13. Across-the-board budget cutsThe New-New Thing: Strategic planning became even more essential

14. Nationwide Trends in Responding Governance Front & Center Board members becoming activated on issues of policy & practice The Dreaded 990s Environment of increased public scrutiny and concern with education and communication Conflict of interest, whistle blower policies, compensation Exec., audit and investment committees became more active, emphasis on oversight & fiscal responsibility

15. Local Perspective: 2nd Annual Nonprofits and the Economy Survey Pulse of the nonprofit community 367 (28)responses representing: 21,704 full-time staff members (611) 5,796 part-time staff members (146) 4,437 Board members (282) 49,911 Volunteers (1,715) Average years operating: 30 (18)

16. The Respondents

17. Challenges

18. What We Found: Challenges Similar results as last year & for South Palm Beach County

20. 75% felt some degree of vulnerability and 2% noted that the organization would cease operations if the economy did not improve soon.“Our entire population has critical needs, as we serve the working poor. Our population has always been poor. In this economy, our patients are not finding work. Families are experiencing severe difficulties covering their most basic expenses.” -Boynton Beach

22. Many of most vulnerable are newly affected (children, low to mid income families, elderly, jobless, etc.) and people are facing difficulties in many areas (education, unemployment, housing, healthcare, hunger).“People need jobs. If they don't work they can't pay their bills, are being evicted and facing homelessness. People are emotional and stressed as so many have never been in this situation and in the past were able to provide for their families…” - Boca Raton

23. What We Found: Capital Campaigns 54 respondents currently undertaking a capital campaign. Avg. goals: $7 million+ 42% of funds have been acquired ($87.7 million) 34 respondents are postponing plans to launch a capital campaign. South Palm Beach One organization Stalled campaign due to economy $80 Million increase over last year

24. What We Found: Organizational Actions

26. South PBC- Equal increase and decrease in demand for services

27. New trend: more organizations reported they are collaborating with other nonprofits.

28. 40% of respondents reported experiencing negative cash flow in the past 12 months (a 15% increase over last year’s results) and 30% of those attributed the need to borrow money due to unmet fundraising goals.“Our strategic planning consultant determined that staff is "red-lined". We cannot afford to hire more staff to relieve our current staff. Our Board has frozen salaries and stopped employer 401K contributions. Staff is overworked and very underpaid.” -Boynton Beach

30. Increasing volunteer opportunities

31. Undertaking collaborative fundraising efforts

32. Many respondents also expressed an interest in the “greening” of business operation.

33. Foundation grants

34. Individual contributions

36. Suggestions to Funders in addition to Giving Nonprofits repeatedly noted the need for operational support and assistance in establishing partnerships. Many also indicated the need for training and advocacy on behalf of the nonprofit sector. “Facilitate collaborations and mergers among and between nonprofit providers of essential quality of life services.” -Delray Beach

37. Positive Impact Respondents were asked to share some good news in this year’s survey. Respondents praised: The dedication of staff and volunteers Increased partnerships Improved business operations “The good news is that we have had to approach our programs very methodically to ensure we can develop sustained funding streams. This has led to the development of business systems that streamline processes and allow us to serve more people with less overhead than traditional providers.” -Boca Raton

38. Good News

40. Public entities looking at taxing nonprofits for new, public sources of revenue

41. Private/nonprofit partnership as new models

42. Mergers and acquisitions

43. Increased use of technology

44. Some shifts toward eligibility to enable operational support as a foundation funding priority

46. Restructuring: Tough choices ahead: consolidate, collaborate, merge or exit

47. Necessity of increased cost efficiencies

48. Technology/social media as an enabler

50. To learn more: www.yourcommunityfoundation.org/economy and sign up for our e-news list!