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Study Reveals Worry, Raised Prices in '09
12/31/2008
Less cash, more worry
Nonprofit groups fear weak economy will cut into funding
 
By CHRIS CHURCHILL, Business writer
Times Union www.timesunion.com
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First published: Wednesday, December 31, 2008
ALBANY — A new survey of the region's nonprofits reveals worries about funding sources in a weak economy and a prediction that some organizations will rely on higher tuition or ticket costs to balance budgets.
The Community Foundation for the Greater Capital Region surveyed 35 nonprofits as part of an ongoing attempt to measure philanthropic trends from 2006 to 2010.
Included in the survey are schools like The College of Saint Rose, museums such as the Albany Institute of History & Art, and service providers like Senior Services of Albany and the Mohawk & Hudson River Humane Society.
The survey, conducted mostly in October, attempted to measure attitudes among nonprofits heading into 2009, and its release coincides with a key period for the groups, who garner a significant portion of their overall charitable giving during a year's final weeks.
The survey revealed a strong 2008 for most of the groups, with 58 percent saying they had experienced an increase in the number of individual donations this year.
Just 27 percent, meanwhile, saw a decrease and 12 percent reported no change.
But with New York facing a severe budget gap, most organizations that receive state aid said they expected that source of money to dwindle. And 43 percent expected a drop in grants from foundations, compared to 31 percent expecting an increase.
"The mood is one of genuine concern," said E. Kristen Frederick, president and chief executive of the Community Foundation.
Thirty-seven percent of respondents predicted they would increase the fees, tuition or ticket prices they charge, while 6 percent predicted a decrease in charges and 17 percent said they would hold the line. (Thirty-four percent said the question didn't apply to their group.)
The Albany Symphony, which wasn't included in the survey, is among the nonprofits intending to maintain current price levels, said Paul Barry, the orchestra's marketing manager.
Barry conceded, though, that 2009 could be challenging for the symphony. "It's certainly going to be hard with the economy the way it is," he said. "But I think there's enough support in the community that we should be able to escape unscathed."
That optimism, though tempered, isn't unique among nonprofits. In fact, 60 percent of survey respondents predicted that donations from individuals would increase or stay the same.
Thirty-four percent predicted a decrease.
Chris Churchill can be reached at 454-5442 or by e-mail at cchurchill@timesunion.com.

 

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