FUNDING APPLICATION GUIDE 2015
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2 TABLE OF CONTENTS Introduction and General Instructions 3 Mission Statement 4 Funding Philosophy 4 Funding Guidelines Guidelines Funding Criteria Funding Principles 7 Outcome Measurement 9 Funding Application Step by Step 10 Section A 10 Section B 13 Appendix A: United Way of Newfoundland and Labrador Criteria and Principles for Fund Allocation 18 United Way of Newfoundland and Labrador Funding Criteria 18 United Way of Newfoundland and Labrador Funding Principles 20 Appendix B: United Way of Newfoundland and Labrador Policy on Agency Reserves Definitions of Agency Reserves Principles of Agency Reserves
3 Introduction and General Instructions Welcome to United Way of Newfoundland and Labrador s Funding Application Guide. We have produced this guide to assist you in completing your organization s application for funding. Our application process tends to be more detailed than most, as we like to make absolute certain we are directing our donors dollars where it s needed most. Those donors who have contributed to the Community Fund are ultimately placing their trust in United Way to put their donation to work in such a way that moves people from Poverty into Possibility, creates Healthy People Strong Communities and ensures all children have equal opportunity to be All That Kids Can Be. We owe them our due diligence. Within this guide you will find the funding philosophy, principles and guidelines of which our Community Investment Committee works. These parameters are in place to ensure the decisions on how best to invest the funds, are made in the best interest of United Way of Newfoundland and Labrador and the people of our wonderful province. This Application Guide will take you through the application step by step, advising in detail what the expected response will be for each question posed. We hope this information will answer any questions you have; however, if you are still unsure of what is being asked, or should you have any other questions or concerns that are not addressed in this application, please contact our office and we will be happy to assist you. 3
4 Our Mission It is the mission of the United Way of Newfoundland and Labrador To improve lives, and build community by engaging individuals and mobilizing collective action. Our Funding Philosophy United Way of Newfoundland and Labrador will strategically invest in programs and services that recognize the uniqueness of the communities in Newfoundland and Labrador, specifically, within our three focus areas: Poverty to Possibility, Healthy People Strong Communities and All That Kids Can Be. United Way of Newfoundland and Labrador will strategically invest in programs and services that: 1. Moving people out of poverty 2. Meeting basic human needs (Ex: food, shelter, and jobs) 3. Improving access to social and health-related support services 4. Supporting resident and community engagement 5. Supporting community integration and settlement 6. Improving access to early childhood learning and development programs 7. Helping kids do well at school and complete high school 8. Making the healthy transition into adulthood and post-secondary education 4
5 Funding Guidelines The following are the basic funding guidelines for United Way of Newfoundland and Labrador: 1.1 Guidelines: 1. Projects of any size will be considered. Please note that audited financial statements are required for all applications over $10, Applicants may apply for grants under this program for: a. Program/Project funding b. Capital or non-capital items c. Administrative requirements (non-program funding) d. Innovation funds for programs or services 3. Applicants must be a registered charity with the Canada Revenue Agency. 4. Each section of the application must be completed. Failure to do so may result in a declined application. Please understand, as awareness and demand for this funding opportunity continues to rise, administratively it can become overwhelming to coordinate retrieval of the missing components. Eligibility: In order to be eligible to receive United Way of Newfoundland and Labrador funding, your organization must: 1. Be incorporated and registered as a charitable organization under the Canada Income Tax Act; 2. Provide programs and/or services to local communities in Newfoundland and Labrador; 3. Provide programs and/or services that come under one of the following Focus Areas: 5
6 4. Offer services that do not, unnecessarily, duplicate existing services/programs; 5. Effectively use volunteers in the delivery of service; 6. Provide annual audited financial statements (for requests of $10,000+ must be included with application, and for requests under $10,000 must be provided upon the request of the Community Investment Committee as needed); and must Be prepared to: 7. Provide a project/program report (template to be provided) of recapping the funded program and attained results by March 31, 2016; 8. Commit to, and sign, a United Way of Newfoundland and Labrador funding agreement. United Way Newfoundland and Labrador will not: 1. Allocate funds directly to individuals; 2. Support the direct cost of fundraising efforts of the applicants; 3. Fund deficit funding; 4. Fund program operating reserves; or 5. Provide dollar-for-dollar replacement of government funding. 1.2 Funding Criteria The United Way of Newfoundland and Labrador will fund specific programs or services that meet the intent of our funding philosophy. United Way of Newfoundland and Labrador is accountable to its donors and the community at large and thus the expectation is that each agency applying for funding demonstrates: 1. Need in the community; 6
7 2. Efficiency in management; 3. Accountability; 4. Effectiveness; 5. Accessibility; 6. Need for United Way of Newfoundland and Labrador funding; 7. Support for United Way of Newfoundland and Labrador. For further information on funding criteria, please see Appendix A in this guide. 1.3 Funding Principles United Way of Newfoundland and Labrador is guided by the following principles, and approved programs offered by agencies must be carried out in recognition of these principles: (a) Asset based: United Way of Newfoundland and Labrador distributes resources to build upon what is present in the community in the belief that skills, knowledge and abilities already exist within every neighborhood and community; (b) Capacity building: United Way of Newfoundland and Labrador distributes resources to expand those assets, qualities or characteristics of an individual, community, or not-for-profit organization so that their ability to respond to ongoing challenges and new opportunities can be increased; (c) Community impact: United Way of Newfoundland and Labrador distributes resources in order to make a positive and measurable difference in the community; (d) Flexibility: United Way of Newfoundland and Labrador distributes resources with sufficient flexibility in order to support diverse issues, neighborhoods, communities and organizations; 7
8 (e) Collaboration: United Way of Newfoundland and Labrador distributes resources to support and expand collaborative efforts in order to strengthen our community; and (f) Stewardship: United Way of Newfoundland and Labrador is accountable to our donors to ensure prudent, effective and efficient distribution and use of United Way of Newfoundland and Labrador resources in accordance with these principles. For further information on Policy and agency reserves, please see Appendix B in this guide. 8
9 Outcome Measurement The United Way of Newfoundland and Labrador Application Form requires that you examine your programs and services from an outcome measurement perspective. Therefore, we have included this brief introduction to the outcome measurement model of program assessment to assist you in completing relevant section of the Application (Section B, Questions 12-17). Why Measure Outcomes? In growing numbers service providers, governments, other funding agencies, and the public are calling for clearer evidence that the resources they expend actually produce benefits for people. Consumers of services and volunteers who provide services want to know that programs, to which they devote their time, really make a difference. That is, they want better accountability for the use of resources. One clear and compelling answer to the question of Why measure outcomes? is: to see if programs really make a difference in the lives of people. Although improved accountability has been a major force behind the move to outcome measurement, there is an even more important reason: to help programs improve services. Outcome measurement provides a learning loop that feeds information back into programs on how well they are doing. It offers findings they can use to adapt, improve, and become effective. This dividend does not take years to occur. It often starts appearing early in the process of setting up an outcome measurement system. Just the process of focusing on outcomes on why the program is doing what it is doing and how it thinks participants will be better off gives program managers and staff a clearer picture of the purpose of their efforts. That clarification alone frequently leads to more focused and productive service delivery. Results of outcome measurement show not only where services are being effective for participants, but also where outcomes are not as expected. 9
10 Step-by-Step Guide The following directions correspond directly to the sections and questions in the Funding Application and are intended to assist you in providing the information required by our Community Investment Committee. In the event you require any further assistance, please do not hesitate to contact the United Way of Newfoundland and Labrador office. Please note: It is imperative to ensure all relevant information is contained within the application itself, as Community Investment Committee members will have limited access to attachments outside of those required. It is important that the Community Investment Committee members be able to read and understand your application. For this reason, we ask that you not use acronyms or wording that is specific to your organization as this may make it more difficult for committee members to fairly assess your application. Section A: 1. Please provide the full registered named of your Agency or Organization as stated in your Corporate Registration document, or if not applicable, as registered with Canada Revenue Agency. 2. Registered Charity Information a. Your registered charitable number is the 9 digit number followed by RR and four further digits (e.g RR0001) that was assigned to your organization when you were granted charitable status. If you do not have charitable status you are not eligible for funding from United Way of Newfoundland and Labrador. b. Canada Revenue Agency requires you to file an annual return (T3010) to ensure you retain your charitable status. When did you last file this document? 10
11 3. Please provide the full mailing address of your Agency or Organization. 4. Please provide the physical location(s) of your Agency or Organization. For example, if the mailing address uses a P.O. Box and NOT a street address, put the street address in this field. 5. Please provide the telephone number of your Agency or Organization. In the event that your agency or organization does not have a dedicated telephone number, please provide a contact telephone number where you can be reached. 6. Please provide the fax number of your Agency or Organization if applicable. 7. Please provide the address of your Agency or Organization. 8. If your Agency or Organization has a website, please provide the URL here. 9. Please provide the name, phone number and address of the individual who can be contacted for further information with regards to this application. 10. Incorporation Information a. Incorporated businesses and organizations in our province are registered with the Registry of Companies for Newfoundland and Labrador. Companies and organizations registered under the Corporations Act, RSNL 1990, Chapter C-35 are assigned a Corporation number. If your organization is registered under this Act, please state yes in this section. (Please note that this is not the same as being registered as a charity with Canada Revenue Agency.) 11
12 b. If your Agency or Organization is registered under this Act, then please provide your Corporation number here. (Please note that this is not the same as your registered number with Canada Revenue Agency.) c. If you are registered under this Act, you are required to file an Annual Return (Registry of Companies, Form 23) to ensure your organization is in Good Standing with the Registry of Companies. When did you last file this document? 11. Please state when the fiscal year end is for your Agency or Organization. 12. If your Agency or Organization has audited financial statements, when was the last audit? 13. Please provide the date that the organization was officially formed. If incorporated, please state the date of incorporation. 14. This section asks whether or not the organization is affiliated in any way with a national organization? Are you considered to be a branch or chapter of a national organization? Do you share a registered charity number with any national organization? 15. How many people are employed by your agency or organization (if this number varies throughout the year, please provide an average). 16. Approximately how many volunteers are involved with your organization on an annual basis (if this number varies throughout the year, please provide an average). 17a. If there are currently any legal actions pending our ongoing against your organization or agency, please indicate in this section. 17b. If you responded YES to question 17a, please give details about the pending or outstanding actions in this section. Please include: Names of the parties; date action was started; brief explanation of the dispute; and the stage of the legal process the action is currently in. 12
13 Section B 1. In order for an organization to be clear in its direction, it is important that every organization has a purpose or a mission statement (for example, United Way of Newfoundland and Labrador s mission statement is To improve lives and build community by engaging individuals and mobilizing collective action ). Please state the purpose or mission of your organization. 2. It is important that you are very clear about the purpose for which you are applying for funds. A strong application will be very specific in terms of the program or service. Simply stating the name of your organization as your program or service is not sufficient; we will require more details of how the funds granted are to be used. If you are seeking general operations funding please state so specifically. a. Please clearly state the name of the program for which you are applying for funding. b. Please provide us with a very brief outline of this program, including the purpose of the program. c. Please clearly describe how the funds will be used in said program. How will United Way of Newfoundland and Labrador s funding be used? d. Please provide specific information on how this funding will be enhanced by United Way s contribution. This section provides you with the opportunity to explain the benefits to the community if you receive the funds for the project, or the consequences, should your program/project not receive funding. e. Please provide details on the duration of this program: number of weeks, months, or whether it is a program that operates year round. This will be used to determine the allocation of funding across all successful grant applicants. f. Will this program create any new employment? If so, please state how many positions will be created and whether they are full or part-time. 13
14 g. Please provide information regarding the % of United Way of Newfoundland and Labrador funding that will be used to cover salaries as opposed to other program expenses. 3. Please state the amount of the funds you are requesting for your program/project. There is no maximum amount per grant in this funding disbursement; however, please ensure you apply only for the funds required. Please also note we require Audited Financial Statements for all applications $10,000 and up. 4a. Please provide specific details about funding you currently have in place for this program. This may be funding from government, foundations, individual donations or other sources. Please state the sources and amounts of funding. 4b. Please provide specific details about any funding you are attempting to put in place for this program. Please state to whom you have applied and the amounts applied for and whether the funding is contingent on any other factors. 5. Please complete the budget form supplied in Question 5. Please fill out all sections and write N/A in any areas that do not apply to this program. The more details that are provided to the Committee will ensure that the Committee members gain a better understanding of the financial aspects of this program and better enable them to make an informed decision about funding your program. 6. This question requires you to select the Focus Area most relevant to your program. Please only select ONE area for consideration. In the event that your program fits under more than one area, please choose the most relevant area only. 14
15 7. Please state whether the program or service is an already existing program or service, or whether this would add an additional program or service to your organization. In the event of an existing program, please tell us how long the program has been in existence. 8. In the event this is a new program, please provide any information you may have regarding whether this type of program has been tried before by your organization. 9. If you gave details of other programs of this nature in Question 8, please provide any information you may have about why the program was previously discontinued. If the program was note previously offered, type N/A. 10. Please state whether there are any other organizations in your region offering this type of program or something substantially similar. 11. In the event you indicated YES to Question 10, please explain why there is a need for two such programs or explain how your program differs from the other programs you have identified. 12. Please state the OUTPUTS of the program. This is the level of activity actually taking place during the program or service. (See page 9 on Output Measurement for further explanation). 13. Please state the OUTCOMES of the program. These are objects or goals you are trying to achieve through the program. (See page 9 on Output Measurements for further explanation). 15
16 14. Please list the RELATED INDICATORS that will be used to measure the success of your program or service program. These indicators are what are being used to measure the success of the program. Ex: Conducting Surveys, interviews, etc. Please note: If you are planning to use surveys, or interview, please provide a copy of the proposed questions. 15. Please indicate whether or not you usually evaluate the programs you offer, and if so, please give brief details on the type of evaluation you would normally use. 16. Please indicate whether you have already carried out any evaluation on this program (this may be research done on this program at a national or local level) and if such evaluation has been carried out, please provide a summary of the details of that evaluation and how your program has enhanced the population you serve. 17. Capacity refers to the ability to expand those assets, qualities, or characteristics of an individual, community, or not-for-profit organization so that they can increase their ability to respond to ongoing challenges and new opportunities. a. Please provide an explanation of how the Program/project will build the capacity of your population or group. b. Please provide a brief explanation of how your Organization increases the capacity of the population or group. 18. The term population refers to the group of people that fall under your purpose or mission of this particular program. (For example, 350 persons with disabilities, male and female youth in the St. John s region, or 750 single parent families on the Newfoundland and Labrador Peninsula.) The population that will benefit from the program must be specific. 16
17 The table shows different geographic regions, sizes, ages, and genders. For the Region, and Age of Population Served, please mark an X in all that apply Ex: If your operation will have a provincial impact, place X s in all regions. For Size of Population and Gender, please mark only one response. In addition to selecting the region, please indicate specific geographic locations where your program/project will have a direct impact. 19. Please give any additional information about the Program that is of importance to this application. 20. Please give any additional information about the Organization that is of importance to the application that has not already been stated. 17
18 APPENDIX A: CRITERIA AND PRINCIPLES FOR FUND ALLOCATION Funding Criteria Criterion #1 Identified Need 1. Agency must demonstrate a need for their programs/services in the community. 2. Program must aim to reduce economic and social disparities, as well as improve access to services for its clients. 3. Agency must outline the size and characteristics of total population in need of this service. 4. Number of clients using service must be outlined (or, if new program, number that will be served must be outlined). Criterion #2 Need for United Way of Newfoundland and Labrador Funding 1. Agency must detail the proposed use of United Way of Newfoundland and Labrador dollars. 2. The Agency s financial reserves (size, rate of growth/decline, current or intended use, restricted/unrestricted reserves) must be reported. Please note: To ensure an equitable distribution of funds, United Way of Newfoundland and Labrador will not fund agencies whose non-designated reserves exceed 10% of their operating budget or three months of their staff commitments, whichever is higher. For further details please see our Policy on Agency Reserves. 3. Agencies must outline their operating surplus/deficit. 4. Agencies should outline the consequences if the Agency does not receive the requested allocation. 5. Agency must detail what percentage of overall Agency budget and program budget the United Way of Newfoundland and Labrador funding represents. 18
19 Criterion #3 Accountability 1. The Agency is expected to engage only accounting procedures and fiscal controls that are sound and clearly account for United Way of Newfoundland and Labrador dollars. 2. Upon request the Agency must provide the most recent annual audited financial statements. Criterion #4 Effectiveness 1. Agencies should regularly evaluate the effectiveness of its programs and services. 2. Agency should be prepared to alter its programs and services if it is determined through the said self-evaluation that it is not being effective in achieving its objectives. Criterion #5 Accessibility 1. The agency must provide the programs/services without discrimination as defined in the Newfoundland and Labrador Human Rights Act, and to operate without discrimination in the selection of its board, volunteers and employees. However, the United Way of Newfoundland and Labrador will not deny funding to an agency which is otherwise eligible merely because such an agency is organized by, on behalf of, or to service a particular population. Criterion #6 Support of United Way of Newfoundland and Labrador 1. Agency commits to support the United Way of Newfoundland and Labrador by participating in United Way of Newfoundland and Labrador consultations, functions, campaign events and providing Agency speakers. Agency commits to promoting the support of United Way at such events, not the support of its own agency through United Way s donor choice program. 2. Agency commits to prominently display at or near the entrance of its premises an identifying plaque or sign provided by United Way of Newfoundland and Labrador. 3. Agency commits to online support of United Way of Newfoundland and Labrador through recognizing the support of United Way when highlighting the program online, adding the United Way logo to its website with a link to the United Way NL website, and by Liking and Following United Way Newfoundland and Labrador on its Facebook and Twitter accounts. 19
20 Funding Principles United Way of Newfoundland and Labrador Funding Priorities: 1. United Way of Newfoundland and Labrador attempts to direct its funds toward meeting the community s needs relating to the Impact Areas, as identified through the Agency s own needs assessments and those of other organizations in the community. 2. United Way of Newfoundland and Labrador is committed to the principle that all of its funded services are available to, and accessible to, all members of the community. 3. United Way of Newfoundland and Labrador provides funding for programs and services. Salaries and benefits within a program should be included in the program budget. United Way of Newfoundland and Labrador does not fund specific employees. 4. To ensure the stability of programs and services, the United Way of Newfoundland and Labrador encourages agencies to access a diversity of funding sources for specific programs and not rely solely on United Way of Newfoundland and Labrador for support. Volunteers: United Way of Newfoundland and Labrador supports agencies that share the objective of assuring the maximum involvement of volunteers, through their boards of directors, committees and programs, and in the development and implementation of policies to meet human service needs in the most effective way possible. Allocation and Fund Distribution: United Way of Newfoundland and Labrador, through its Board of Directors and the Community Investment Committee, is accountable to donors and to the community for the most effective use of contributed funds. Therefore, all funded Agencies are required to adhere to the financial reporting requirements (template to be provided) of their Agency Agreement. United Way will distributed 80% of the grant awarded upon receipt of signed funding agreements and within timeframes appropriated for program/project timeframe. Upon program/project completion and receipt of the final report, the remaining 20% balance will be disbursed. 20
21 Trustee of Funds: 1. United Way of Newfoundland and Labrador shall act as a trustee of funds collected under the name of the United Way and will disburse these funds on a regular basis or from time to time in accordance with good financial practices. 2. Records will be kept showing the status of the funds and payments made. Such records shall be made available at the request of the membership. Allocation of Funds: Funds raised shall be distributed into the community through allocations to the agencies who apply for funding from the United Way of Newfoundland and Labrador. Allocations to agencies will be based on discussions with the Community Investment Committee and the Agency following a review of funding criteria as defined by United Way of Newfoundland and Labrador. Recommendations shall be presented to the United Way of Newfoundland and Labrador Board of Directors for their final decision. Calendar Breakdown of Events: Week of February 2: Community Fund Grant Application Officially Launched 4:00PM on Friday, March 13: Application Deadline March 16 April 3: Internal Application processing April 6 April 24: Applications reviewed by Community Investment Committee Week of April 27: Community Investment Committee Review Meetings to take place Week of May 11: Board Meeting to approve proposed grant recipients Week of May 25: All applicants notified of their standing by end of week Please note, for those applicants who are successful, your funding agreement will be included in your approval . These will need to be signed before the grant approval is considered binding. 21
22 APPENDIX B POLICY ON AGENCY RESERVES Definitions of Agency Reserves United Way of Newfoundland and Labrador recognizes each Agency s option to create any one or all of the following: Reserve Accounts 1. Un-designated (General) Reserves: These are funds that have no external restriction on their use or purpose that is, funds that can be used for any purpose designated by the governing board, as distinguished from funds restricted externally for specific purposes (e.g. for operations, facilities, endowments). Such a reserve account offers agencies considerable flexibility in terms of use and access. While such an account is recognized by United Way of Newfoundland and Labrador, revenues to such an account that are the result of program surpluses will be scrutinized by United Way of Newfoundland and Labrador in terms of United Way of Newfoundland and Labrador policy on surpluses and deficits. 2. Designated Reserves: These are unrestricted funds set aside by an Agency s Board of Directors for specific and clearly spelled out purposes. 3. Restricted Reserves: These are funds that are restricted (in terms of use) by outside organizations or persons, as contrasted with funds over which the Agency has complete control and discretion. 4. Endowment Fund: This fund (or account) consists of property (often in the form of cash or investments acquired by gift or bequest), the income from which is used for general or specific purposes, according to the conditions attached to the gifts and the principal of which must be maintained intact or applied to the purposes of the gift. 22
23 Principles: 1. That each organization should be able to maintain a non-designated reserve to deal with a potential funding crisis. It is our belief that every organization should be in a position to meet any outstanding obligations to staff and clients. 2. That each organization should be able to maintain a minimal level of operation to provide an opportunity to obtain bridge funding or realize alternate sources of funding, or that the organization have an opportunity to transfer all clients cases and make appropriate referrals of clients in the event that it is not able to continue. 3. That organizations should not be penalized for efficient financial management allowing them to create a reserve fund. 4. That organizations should not have large non-designated reserve funds. Designated funds such as capital funds or bequests that are designated for specific uses should be distinct from non-designated reserve funds. 5. That United Way of Newfoundland and Labrador should not be contributing to the development of a surplus or reserve fund when there are so many unmet needs in the community for which funds are not available. 6. The United Way of Newfoundland and Labrador funds immediate community needs annually and invests its allocations in programs and services that are responsive to urgent critical care. Based on these principles, United Way of Newfoundland and Labrador cannot provide funds to an organization whose non-designated reserves exceed 10% of their operating budget or three months of their staff commitments, whichever is higher. In cases where the organization exceeds these limits, United Way of Newfoundland and Labrador will consider whether: 1. The organization can demonstrate an intended use that will bring the fund below the designated limit in the fiscal year being funded. 2. The organization can demonstrate an exceptional circumstance that necessitates the maintenance of a reserve fund in excess of the 10% or three month commitment limit. 23
24 In the event that an organization cannot justify satisfactorily to United Way of Newfoundland and Labrador the reason for reserve funds in excess of the suggested amounts, United Way of Newfoundland and Labrador reserves the right to withhold any further funding to the Agency. 24
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