Accountability

It is a common misconception that United Ways across the country are local chapters of United Way of America. In fact, United Way of Greater Lorain County is one of 1,400 independent United Ways nationwide. Each is independently incorporated and entirely governed by local volunteers. The money raised in each of these communities is for local programs in that area. United Way of America is an association, which provides training and research to its members; however, they have no governing powers over local United Ways.

As we embark on our 2008 Community Campaign, we want to share with you some of the many safeguards which are in place at United Way of Greater Lorain County (UWGLC) that insure contributions safely reach the donor's intended destination.

The Finance Committee of UWGLC, which meets monthly, is made up of the following volunteers:

Rick Ickes, Finance Committee Chair and Treasurer, UWGLC
Mike Mayes
Cheryl McKenna
Frank Sulen
Cynthia Tomasch
Gary Wengard

Finance Committee members review United Way expenditures and financial activities on a monthly basis. The Finance Committee Chair gives a financial status report at Executive Committee meetings, who meet 8 times a year. The Full Board of Directors, who also meet 8 times a year, receives a financial status report at each of their meetings.

The Executive Director at United Way of Greater Lorain County is Gerald E. Skully, who has been the director for 15 years. Jerry attends all Finance Committee Meetings, as does staff member Dianne Brehm, Finance Director. No staff member of UWGLC is authorized to make policy decisions of any kind, or financial decisions that are outside of the annual budget. The Finance Committee and the entire Board of Directors approves the operating budget each year.

The reserve funds of UWGLC maintains a balance equal to approximately 3 months of program allocations. UWGLC volunteers who decide to which programs dollars are given, are now called Fund Distribution volunteers. They receive and review funding proposals from our member agencies, which offer programs.

The Finance Committee yearly determines how much funding is available to distribute. Their computations include deducting what is known as pledge loss. Pledge loss is made up of all the pledges which are projected as not paid. United Way cannot pay out money that has never been received. So, pledge loss is estimated by the Finance Committee based on past experience and is deducted from the total dollars available for distribution. The United Way Board reviews Finance Committee recommendations and approves the amount to be distributed.

Every year as part of its administrative expense, UWGLC hires a reputable local accounting firm to conduct a certified audit. For the last twenty-two years, that audit has been conducted locally by Hausser + Taylor, CPA's. The Board of Directors schedules a presentation of that report each year at the conclusion of the audit. A copy of that full audit is available for any donor who wishes to view it at the UWGLC office.

We are confident that extensive safeguards currently exist to insure the safety of the generous contributions made by the people of this community to United Way of Greater Lorain County. We know that trust can never be assumed - it is earned every single day. At United Way of Greater Lorain County, we are doing all that can be done to earn and to keep the trust extended to us by our donors.