The national office’s modest $1.2 million budget leverages over $15 million in public and private investment in direct services across the country. The average local site budget is approximately $150,000. Local partner agencies are responsible for raising their own budgets; however, they receive significant assistance from the national office in terms of identifying and advocating for public funding streams and identifying and applying for private funding. Historically, the national office has relied primarily on foundation grants and training and technical assistance fees from the partner agencies, with the remaining support coming from individual donors and corporate contributions.
The national office’s new economic model is designed to decrease the percentage of income from grants and increase the percentage from revenues. The model also assumes the national office’s new annual fundraising event will bring in an increasing amount over the next three years. In 2010, the first year, it netted $250,000. The economic model assumes that the organization’s long-time foundation supporters will continue to support the program through this growth period, as relationships are established with new national and regional funders. The model is sustainable, relying on a balanced approach to income spread across a variety of contribution categories, including broadening the network of regional funders to support expansion and quality assurance, increasing revenues from partner agencies, and the annual fundraising event.
With strategic investments in capacity and research, the Program can significantly increase the leverage power of the national office while keeping its annual budget under $2 million. To implement this three-year growth plan, the organization requires a one-time investment of $1.5 million to enhance its organizational capacity at the national and regional levels, to conduct and analyze new research, and to enhance support systems to ensure quality and fidelity as the Program expands. The central tenet of the plan is to deliberately create a strong presence in selected states, some where the Program is already present and some new. This expansion into new communities and of existing sites will create opportunities to identify new foundation, corporate, and individual donors, and develop relationships with local and regional United Ways and other business partnerships. In order to build on these opportunities, the national center will develop a network of regional staff to sustain the critical “on-the-ground” relationships.
The key growth plan targets are:
- Enhance national office capacity by increasing staff by 50%.
- Double the regional staff backed by strong systems in the national office and focus on cultivating public and private funders, increasing the Program’s visibility, and providing program support and quality assurance to a network of sites.
- Update and expand the research base.
- Increase the number of families served by 30%.
- Increase the number of local partner agencies by 25%.
- Increase the public and private federal, state, and local funds leveraged by the national office to support direct services for families across the country from $15 million to $30 million.