2013 Pennsylvania Budget Analysis

1. 2013 Pennsylvania Budget Analysis United Way of Pennsylvania United Way of the Greater Lehigh Valley March 28, 2013

2. 2012 Non Profit Budget Survey In late 2012, United Way of Pennsylvania conducted a survey of over 800 nonprofits across the Commonwealth which provides a snapshot of conditions for Pennsylvania’s human services and most vulnerable people.

3. Results include: • 69%of agencies received a funding cut in 2012-13 state budget. • 76%of agencies report conditions related to the economy have increased demand for services. 2012 Non Profit Budget Survey

4. 2012 Non Profit Budget Survey How have your non-governmental sources of funds (ie: private foundation grants, individual donations) changed in the last 12 months? Our non-governmental funding has remained flator decreased 67%

5. 2011 Non Profit Budget Survey • Select all the ways the budget cuts this year (FY 12-13) have impacted your organization? • We have laid off staff 51 % • We have canceled programs • completely 38 % • We have cut back program hours 48% • We have expanded our waiting list for services 47%

6. Recently Impacted state programs • LEARN • Adult Basic • General Assistance • HEMAP • Housing Assistance

7. In addition to state budget reductions, significant numbers of agencies also are dealing with monetary reductions at the federal level. • 49% of organizations that received less federal funding in 2012 compared to 2011 Federal Impacts

8. Impacts of Sequestration A partial listing of state programs that could be impacted and dollar amounts, include: • $43 million from Title I (education fund for poor kids); • $33 million from Special Education; • $19 million from WIC; • $5.3 million from social services; • $1 million from early intervention; and • $2 million from community service block grants

9. Lehigh Valley Impact • At this point we are at risk of not being able to continue to serve the needs of this impoverished community especially the needs of the elderly and school age children. • The loss of $45,000 resulted in our agency having to lay off a staff member. We are struggling to offer our community members support with life skills, employment and referral services. • Nearly all programming for elementary school students has been cut. • We will need to close our Adult Social Day Care program in the next year if we cannot find a new funding stream.

10. Statewide Impact • We have closed several programs, laid off staff, and restructured services, there are longer waiting lists for services except crisis services where we can never have a ‘waiting list’ • We are not able to serve as many youth and single mothers and other individuals because of staff and operational resources. We have to be much more creative and better stewards of all resources. Human services is a process where we help people to empower themselves to become more self-sufficient.

11. Statewide Impact • Homeless shelters have cut hours. Mothers with children have to leave the shelter during the day. Most have nowhere to go but hang out on the street until the shelter opens up in the evening. • We are a safe place for our members to be and we can longer provide that on evenings and weekends as we did in the past. This adds to isolation and depression and need for crisis intervention services. • Public housing residents who have lost their General Assistance benefit moved out of public housing, presumably to a state of homelessness, due to lack of funds to pay the minimum rent requirement

12. United Way Budget Principles • To the greatest extent possible, avoid significant cuts to benefits and services to our most vulnerable Pennsylvanians: poor individuals and families, pregnant women and young children, low income elderly, individuals with disabilities, and veterans. • Protect funding for prevention services that save more expensive interventions later on. • Consider the state’s existing investment in successful programs such as industry partnerships, which combine public and private money to keep Pennsylvania business competitive, while enhancing training and career pathway opportunities for Pennsylvania’s workforce.

13. United Way Budget Principles • Utilize completed evaluations or other measurements to determine where to make cuts. • Consider ways in which the state can more efficiently and effectively deliver services, such as by reducing the vast array of state 800 numbers, particularly those that are contracted with out of state providers, and supporting those services with 2-1-1. • Consistent with commitment to an on-time budget, provide budget language to ensure that local governments and providers receive timely allocations and direction from the Commonwealth so that there is a predictable and stable cycle of services provision.

14. 2013 Budget Tour Dates March 2013 • March 12 – North Penn United Way • March 14 – United Way of Susquehanna County • March 25 – United Way of Lackawanna & Wayne Counties • March 27 – United Way of Monroe County • March 28 – United Way of the Greater Lehigh Valley May 2013 • May 17 – United Way of York County

15. Contact Information United Way of Pennsylvania 909 Green Street Harrisburg, Pennsylvania 17102 Phone: (717)238-7365 Fax: (717)238-7414