In the current economic climate - the Great Recession - it may come as a surprise to few, but the Jewish Federation of Greater Phoenix's 2009 Annual Campaign for Jewish Needs raised significantly less than the prior year - more than $1 million less.
The 2009 campaign raised $4.2 million, compared with $5.5 million raised in 2008. Both totals include directed giving and corporate sponsorships.
The 2009 total comes from 3,500 donors, compared with fewer than 4,000 donors in 2008.
"The reduction is due to the down economy and it's also due to more household giving" as opposed to individual giving, said Danny Nathanson, federation financial resource development director.
Since the 2008 campaign had raised $1 million less than in 2007, federation fundraising is down more than $2 million from two years ago.
What does this mean to the 11 local agencies that receive financial support from the federation?
"We are going to try our very, very best to maximize what we do locally," said Steve Gubin, federation board chair. "This is a time of crisis, and we have got to recognize that and act accordingly."
The federation is developing a new method for distributing campaign funds that is currently in a transitional stage, Gubin said, which involves a Community Think Tank chaired by Bob Silver. The think tank, made up of about a dozen members from throughout the Jewish community, has met several times and is very close to determining where the funds will go, he said.
The final allocations decision is expected to be made by the federation's April board meeting, Gubin said.
"We believe that the repositioning of federation to be more focused on planning strategically and enhancing donor relations along with a rebounding economy will be the catalyst for developing an even stronger and more viable Jewish community," said Adam Schwartz, federation president and CEO, in a press release.
Some agencies, like Jewish Family & Children's Service (JFCS), have taken steps to ensure continuation - and even expansion - of programming. Last year, JFCS initiated a development program, run by Frank Jacobson, JFCS vice president of marketing and development.
"We recognize that there will be challenges as we've had over the last several years with donors who can't give the same amount that they've given before," Jacobson said. "Our hope is that we can convey our story to the community and get more donors, even if it means less money from donors who have given before. A little bit from a lot of people can go a long way."
Along these lines, JFCS will host "A Brighter Tomorrow," a March 3 luncheon, to "give people an inside view of the impact that JFCS has on our community," he said.
JFCS is also developing entrepreneurial programs to increase earned revenues with private pay services. A just-announced grant of $126,000 by The Virginia G. Piper Trust will help JFCS launch a senior care management program that is projected to pay for itself within three years.
In addition, Jacobson said, JFCS is a partner of NextGen, a company that sells software for electronic health records and practice-management systems for behavioral-health agencies. The projected revenue produced may help underwrite other JFCS programs.
Additionally, through several new contracts with Magellan Health Services, JFCS has expanded its outpatient behavioral health services and opened a fourth behavioral health clinic, Jacobson said.
"It's very cautious budgeting and programming, but it's strategic," he said.
For the 2009-2010 fiscal year, JFCS received $270,751 from the federation to help fund the Center for Senior Enrichment; geriatric services (in-home counseling and care); the Aleinu Network (mental-health education and outreach to the Orthodox community); and Helping Hands (emergency financial assistance for those unable to meet basic needs), according to Jacobson.
Kivel Campus of Care, the Valley's only kosher senior living community, receives funds from federation for its chaplaincy services and kosher food. "They're both very important to us and we hope that they can continue to support (those programs) at the same level as before," said Ira Shulman, Kivel president and CEO. "We will increase fundraising to the best of our ability if they can't," he said, noting that Kivel already raises funds for many other programs, such as dental services and outings for the residents.
Kivel's allocation from the federation's 2008 campaign was $194,300, which represents about 5 percent of its total budget. "But because HUD funds cannot be used for the rabbi or kosher food, the allocation is critical for maintaining these special components that are essential to maintaining our values and traditions," Shulman told Jewish News.
The Valley of the Sun Jewish Community Center in Scottsdale has reduced staff overhead and expenses, according to Moises Paz, VOSJCC president, and has become "more aggressive about generating revenue." An example is the Heroes for Children Awards Gala, which will be held this weekend at the Ritz-Carlton in Phoenix, with tickets starting at $500. "Our gala right now is surpassing our expectations," Paz said. "Hopefully that and other fundraising activities that we're doing will help put us on firm financial footing."
These other activities include the center's annual golf tournament and a corporate sponsorship program.
In September 2009, the VOSJCC hired Steve Rosenberg as executive director, with a mission to help JCC programs and operations run more efficiently. His hiring has allowed Paz to focus on fundraising and development.
"We're looking at our overhead numbers on a regular basis to make sure that we're doing things as inexpensively as possible without shortchanging our members in terms of quality of service," Rosenberg said.
The VOSJCC is also reaching out to attract new members by offering a different campaign nearly every month, such as giving a gym bag to people who bring in a new member or offering special membership rates.
"In terms of trying to make things easier for our members," the JCC offered a major early-bird special for summer camp, he said.
Other steps the JCC has taken to become more efficient, Paz said, include partnering with the federation to run the Israel Center to share programming resources, purchasing new fitness equipment to attract new members, and merging its marketing department with the federation's. Both agencies are housed at the Ina Levine Jewish Community Campus in Scottsdale.
When the 2008 campaign raised more than 13 percent less than the 2007 campaign, the federation shrunk its own budget through reducing staff, implementing a hiring freeze, changing employee benefits and eliminating salary increases. More cuts to the federation budget will be made this year, Gubin said.
The campaign also sends money to overseas agencies - The Jewish Agency for Israel (JAFI) and the American Jewish Joint Distribution Committee (JDC) - both of which support social and humanitarian services in Israel and in more than 65 countries.
The federation's 2008 campaign allocated $1.9 million to local agencies and programs, $1.6 million to national and overseas agencies and programs and $314,300 to direct giving. The latter is part of the campaign that allows donors to direct supplemental dollars to a variety of projects and other Jewish nonprofit organizations.
Asked if the shortfall in campaign funds will likely cut funds to the overseas partners, Gubin replied, "Unfortunately it's got to come from some place and the answer to that is, 'yes.'"
Campaign for Jewish Needs
Local agencies: Barness Family JCC, Bureau of Jewish Education, Council For Jews With Special Needs, Hillel at ASU, Jess Schwartz Jewish Community Day School, Jewish Family & Children's Service, Kivel Campus of Care, Pardes Jewish Day School, Phoenix Hebrew Academy, Greater Phoenix Vaad Hakashruth and the Valley of the Sun JCC.
Overseas partners: The Jewish Agency for Israel (JAFI) and the American Jewish Joint Distribution Committee (JDC)
In addition, as part of the Campaign for Jewish Needs, the federation provides its donors with the ability to direct supplemental dollars to a variety of projects and other Jewish nonprofit organizations.
