Budgets, Staffing, and Cases, Oh My!:

1. Budgets, Staffing, and Cases, Oh My!: The Scary (and Hopeful) State of Community Mediation Presented by: Justin R. Corbett & Wendy E. Hollingshead

2. Overview This session will review how community mediation centers have been affected by the recent economic downturn. Data from multiple longitudinal web-based surveys, as well as qualitative feedback and numerous listening sessions will be reviewed and analyzed. Audience discussion and feedback is welcome throughout.

3. Research Questions RQ1: How have CMCs been impacted by the recent economic crisis? (Is all impact negative?) RQ2: What measures have CMCs taken to sustain themselves during the recent economic crisis? RQ3: What sustainability measures have been identified as most/least successful?

4. Methods • Quantitative Data: • Multiple surveys conducted at the national level in the first quarters of 2009 and 2010. • Qualitative Data: • Survey comments resulting from open-ended questions, • Observational data from listening sessions at regional and national events, and • Information derived from the National Association for Community Mediation listserv.

5. RQ 1: Economic Impact • Overview of data: • 83% report an overall moderate or major negative impact • Key findings from CMCs: • Financial: 79% moderate or major negative impact • Staffing: 46% reduced hours, eliminated positions, or both • Staff Morale: 57% moderate or major negative impact • Volunteers: 30% report less availability • Case Volume: 55% moderate or major increase • Case Type: 76% increase in at least one area, primarily housing and family/divorce issues

6. RQ 1: Economic Impact

7. “Nearly all of our government contracts/grants are being cut back or eliminated” “In this economy our clients are looking for everything to be free.” “We want to help everyone, but we also know we need to remain fiscally responsible.” “It looks dire. We're not encouraged at all, sorry.” “We are all scared for our jobs and futures right now.”

8. RQ 2: Measures Taken • Overview of data: • 64% are considering a joint venture, merger, or staff sharing arrangement with other organization(s) • Key findings: • A broad range of sustainability measures have been implemented • Approaches varied based on centers’ condition preceding the recent economic crisis

9. RQ 2: Measures Taken Top 10 Reported Sustainability Measures (most organizational reps. noted more than one technique) • Increased or improved development activities (66%) • Increased marketing (66%) • Developing new programming or services not previously offered (54%) • Creative strategic planning (50%) • Careful financial controls and budget allocations (45%) • More active board and volunteer involvement (33%) • Closing some program offerings (29%) • Combining operations/sharing resources with other organization(s) (18%) • Increasing employee incentives (16%) • Merging with another entity (nonprofit or corporate) (15%)

10. “Dissolution is always a consideration as funding is never easy.” “We are not yet ready to give up our independence and have maintained reserves to help us through. But I have been inquiring about associations with local community action programs just to be aware of possible opportunities.”

11. RQ 3: Success of Measures • Overview of data: • Effectiveness of sustainability measures varied widely • Benefits of certain activities hinged upon centers’ size

12. RQ 3: Success of Measures Most Effective Sustainability Measures • New development techniques (creative fundraising) • New program development • Re-working the budget • Resource sharing • Merging with other entities (social ventures)

13. RQ 3: Success of Measures Least Effective Sustainability Measures • Development activities, particularly grant writing • Board Involvement—more voices, not enough action • Marketing— little return for time and expense • Increasing employee incentives

14. “Increased development activities have been the most effective sustainability efforts.” (Larger center with $500k+ budget and 6+ staff) “Additional development work has only wasted valuable time with little reward for our efforts.” (Smaller center with less than $100k budget and 1-5 staff)

15. Conclusions & Discussion • CMCs have been largely negatively impacted by the recent economic crisis, particularly in the areas of funding and staffing. • Smaller CMCs - in terms of budget and staff size - have suffered more proportionally, some mortally. • Positive impacts can be found in increased demand for services and stable or increased volunteer availability. • CMCs’ capacity to weather the economic downturn was largely correlated with their pre-crisis operational baseline. • Smaller centers with fewer resources and funding streams were more likely to fall prey to Darwinian economic factors.