The United Way of Benton and Franklin Counties has started a new program that, if successful, will allow the organization to use all its individual donor contributions for programs and services, instead of having a portion to pay for overhead costs.
Beverly Weber, president of the United Way of Benton and Franklin Counties, said the new Cornerstone Program enables local corporations to designate their company gifts to pay for United Way’s administrative and fundraising costs.
The United Way is the area’s largest private supporter of human service organizations in Benton and Franklin counties. The Cornerstone Program removes a barrier sometimes cited by potential donors who don’t want their donations paying for the organization’s overhead.
Rent, salaries and other administrative and fundraising costs eat about 17 percent of what the organization collects in donations each year, which is a low percentage among major charities and nonprofit organizations, Weber said.
The Cornerstone Program allows corporations to underwrite those costs, said Frank Figueroa, Hanford Mission Support Alliance’s president and general manager.
Figueroa, a United Way board member, brought the program idea to the board when he joined.
“We did it in New Mexico when I was there and it’s been implemented in Portland and other cities throughout the country,” said Figueroa.
The United Way hopes to raise $4.6 million during its annual campaign, which started in September.
Figueroa said his goal is to have the Hanford Mission Support Alliance, which includes Lockheed Martin and a dozen subcontractors, be the largest donor.
“Our entire alliance is stepping up and that’s why we are going to be able to make this happen,” he said. “All the major contractors have embraced this concept and we hope it will create excitement and get other companies that have not given a corporate gift before to give.”
Figueroa said he believe the program will also lead to greater contributions from individuals.
“When you take the overhead out of play, then we can go to individuals and say that 100 percent of their gift will go directly to programs – that’s a powerful impetus,” Figueroa said. “That will increase the participation rate, which is low compared to other places I’ve been.”
Weber said that by the end of October, more than $1 million had been raised in the 2009 campaign.
The United Way will have its Young Leaders Society Annual Gala from 6:30 to 8:30 p.m. Nov. 19 at Anthony’s Event Center in Richland. The Young Leaders Society targets those in their 20s and 30s, providing volunteer and charitable opportunities, as well as social and networking events.
For more information, go to www.unitedway-bfco.com.
by Mary Hopkin
Tri-Cities Area Journal of Business
