Fiscal Year 2019 Final Results and FY 2020 Budget
For the fiscal year ended September 30, 2019 DignityUSA posted an overall net income of $79,620. This included results for the Operating Fund, Jubilee Initiatives (Jubilee), National Conference (NC) and the Joint Forum with the Global Network of Rainbow Catholics (GNRC).
As anticipated, the Operating Fund incurred a loss of ($39,340). Although expenses were underbudget by almost $23,000 as a result of a cost reduction plan adopted in mid-year, income trailed the budget by nearly $66,000. An unrealized gain on investments of approximately $5,800 also curbed the deficit. As previously reported, budgeted Foundation grant income of $140,000 failed to be realized as the Arcus Foundation did not renew its funding in FY 2019 and efforts to solicit funds from other foundations were not successful. Fortuitously we received two large unbudgeted bequests from long-time former members totaling $100,000, which served to offset a large portion of the grant income shortfall.
The 50th Anniversary Jubilee campaign raised nearly $170,000 and the fund had net operating income of about $101,000 (certain Jubilee funds were directed to the GNRC Forum and about $27,000 was actually raised in FY 2018). The Jubilee Fund ended the year with about $133,000, which will be utilized for various initiatives over the next 3-5 years.
The 2019 National Conference generated net income of $10,596, in line with the budgeted net income. Both income and expenses exceeded the budget by about $14,000, as attendance was higher than anticipated and certain unforeseen audio visual costs were incurred.
The GNRC Forum also produced net income of $7,407. The excess funds have been added to DUSA’s unrestricted equity and working capital.
The organization ended the year with total equity of about $410,000. Of this amount approximately $228,000 is unrestricted, which is equivalent to almost eleven months’ of the Operating Fund budget for FY 2020. Restricted funds total about $182,000, including the Jubilee Fund ($133,000), Bequests ($25,000), Pax Nidorf Endowment ($14,000) and the Eileen DeLong Scholarship Fund ($10,000).
The Board of Directors has approved the FY 2020 budget, which consists of the Operating Fund and the Jubilee Initiatives Fund. As a result of the continuing absence of committed grant income, the Operating Fund reflects a budgeted loss of ($56,280). Compensation for two full-time and two part-time staff accounts for over 70% of the budget and reducing or eliminating any of these positions would seriously impact the mission of the organization. As noted, no grant income is budgeted as no commitments from the Arcus Foundation or other previous supporters have been secured. However, efforts to establish funding from these and other selected foundations will continue. As presented at the annual membership meeting in July, Dignity is launching a Digital Engagement Strategy this year and hopes to broaden and deepen our donation sources but has conservatively not included any such revenue in the budget. Also the budget incorporates a membership dues increase – dues have not been raised in nearly 20 years and the additional support is needed.
Although the large budgeted deficit is unavoidable at this point, the organization cannot continue to incur deficits of this magnitude indefinitely. Based on the results of our Jubilee conversations and strategy sessions at the membership meeting, the Board and management acknowledge the feedback that Dignity remains a vital and necessary voice and advocate for the LGBTQI Catholic community and your continued support is necessary for us to carry out our mission.
The Board has authorized the spending of $40,500 of our Jubilee Initiatives Fund to conduct four key strategic priorities in FY 2020 as follows:
- Digital Engagement/Fund Raising: $17,500
- Leadership Development Programming and Session - $13,500
- Rebranding (updated national logo, social media formats, web site updates)- $5,000
- Development of Online Educational, Theological and Catechetical Resources - $4,500
These initiatives will be funded from the approximate $133,000 in the Jubilee Fund at the beginning of this fiscal year.
You should look for a communication in the early months of 2020 providing more detailed information about our 2020-2022 Strategic Plan and the Digital Engagement Strategy.
Linda Roberts, DignityUSA Treasurer