United Way feels 'very good' about collecting record $88.4 million

After missing its 2006 goal, the United Way of the Greater Twin Cities raised a record $88.4 million during its 2007 fund-raising campaign, up more than $3 million, officials will announce today.

"We're feeling very good, especially given the economic problems" that worsened late last year, when most corporations held annual United Way fund drives, Loren Segal, president and CEO, said before the public announcement.

The campaign surpassed the goal of $87.8 million. In addition, the United Way raised $1.1 million from grants and endowments.

Last year, the United Way was forced to trim grants to the organizations it helps support after the 2006 annual drive garnered $85.25 million, about $750,000 short of its goal. "We're doing a better job of working with individual donors, said Randi Yoder, vice president for donor relations.

Yoder continued, "And I think they're seeing that problems of hunger, homelessness and foreclosures are problems that affect all of us. Those with more resources are helping those in need."

Part of its work with donors is to encourage year-round volunteer activities, many with corporations. Last year about 52,000 people gave time to those programs, she said.

The 2007 campaign was helped by a record $7.3 million that came from General Mills employees, including a corporate match. In addition, among the 145,000 individual donors were 530 who gave $10,000 or more, up 76.

The campaign also was helped by a "huge factor" beyond its control: Fewer than usual companies moved, went out of business or downsized last year, Segal said.

"Normally we lose about $3 million from potential donors when those jobs go away," she said. "In 2006, it was about $6 million -- making the campaign that year much tougher. But last year it was about $2 million, much less of a problem."

In recent years, the United Way has sharpened its financial support for community groups that focus on specific social problems.

"We've decided we have to go deeper in attacking these problems and get away from being the very broad funding source that we were traditionally," Segal said.

Focus on 10 goals

The United Way has refocused its spending for this year on 10 goals: Reduce hunger; end long-term homelessness by 2010; promote financial stability for individuals; increase health care for the uninsured; promote illness prevention for children; help the disabled and elderly stay independent; reduce family violence; promote reading among third-graders; increase participation in out-of-school programs for youths, and increase the number of children ready for kindergarten.

Focusing the United Way's financial punch on those issues has meant fewer dollars for some other community agencies, Segal noted.

For instance, less money is going to the American Red Cross because the United Way decided not to fund some traditional programs such as swimming safety and CPR training.

Measuring the impact

Beginning later this year, the United Way will begin measuring the impact of the programs it funds on its 10 goals.

"We always talk about the money we raised, and that's important," Segal said. "But people give money to make a difference in making life better for people in this community."

Some measures might be announced within months. Others are still being developed. Eventually, the United Way may issue annual reports that summarize the impact of programs it funds.

"People deserve to know," she said, "and we have an obligation to be accountable."

Warren Wolfe • 612-673-7253