Funding Issue

Background

Over the past several years, a substantial amount of research and analysis has focused on the  impact of the funding issue in the voluntary sector. The research and studies clearly indicate that funding is the root cause of many of the other challenges that organizations across Canada and in Calgary are facing, for example, the human resource issue and the insurance issue.

The impact of the Funding Issue includes:

• Shift from stable core funding to short term program-related funding
• Cut-backs in government funding programs
• Downloading of services from government to the voluntary sector, but funding only covers program costs and not related core expenses
• Chronic underfunding of organizations’ administrative and overhead costs which are critical to an organization’s operations
• Rising cost of essential services including utilities, audit fees,and insurance
• Negative impact of funding shortfalls on staff recruitment and retention and job-related training and development

To address funding issues, CCVO undertakes a variety of activiites including:

• Research to better understand the issue and the potential solutions
• Outreach to the sector and funders to understand the challenges and opportunities
• Government relations work to address funding issues at the municipal, provincial and federal levels
• Events to share information and resources with the sector, and to gain input and feedback.

Related Information

See Human Resource Issue

See Insurance Issue

Taking Stock: Examining the Financing of Nonprofit Community Organizations (May 2006)
This Calgary-based research by CCVO offers new insights into how nonprofit organizations are financed. The study examines how program-related costs are financed and the implications when a program's full costs are not met.

Financing Voluntary and Nonprofit Organizations in Alberta: A Report on the Alberta Regional FInance Action Group (February 2006)
This report summarizes discussions from a meeting that brought together representatives from the voluntary sector; all levels of government; and funding organizations. The following key issues were discussed: the role of government in funding the voluntary sector; perceptions of duplication and proliferation of nonprofits and charities; funding of overhead and administrative costs; and project funding and core funding.

Study of the Better Business Bureau Charity Review Program (December 2005)
As part of CCVO’s ongoing work to address key issues facing Calgary’s voluntary sector, CCVO examined the Charity Review Program being re-launched by the Better Business Bureau of Southern Alberta (BBB). The study was undertaken in response to concerns from Calgary-based charities about the BBB's evaluation process, criteria evaluated and the presentation of the results.

Strength Under Stress: A Portrait of Calgary’s Voluntary Sector (June 2005)
This study explores the strengths and challenges of voluntary sector organizations in Calgary and is a snapshot of their capacity to address the issues and contribute to the quality of life in our community. The study complements national level studies.

Funding of Overhead (March 2005) - Keynote Presentation     Keynote Speaker Lynn Eakin, Consultant, Researcher and Author of Research Study: Community Capacity Draining: The Impact of Current Funding Practices on Non-Profit Community Organizations.