THUNDER BAY — City council has approved just over $3 million in funding for local charities and non-profits next year. But despite stable city funding levels, at least one councillor is concerned about the financial well-being of those organizations.
During Monday night's council discussion on the city's community, youth and cultural funding program, McKellar ward coun. Brian Hamilton asked whether charities have expressed a decline in donations due to competition.
The program provides funding for various community safety, youth and cultural programs across the city including Shelter House, the Boys and Girls Club, the Community Auditorium, and the Regional Food Distribution Association.
Hamilton noted he had read a recent news article where the RFDA suggested that 50/50 draws, like the one with the Thunder Bay Region Health Science Centre Foundation and the Thunder Bay Public Library, might have “changed the game” in the way people are choosing to donate to non-profits.
Callie Hemsworth, a coordinator with community services department, said non-profit organizations and charities are facing many funding challenges and, anecdotally, organizations do believe 50/50 draws might be having a negative impact on donations.
However, it is important to note that Hemsworth stated her department does not “necessarily have a way to verify that ourselves.”
In order to access the city funding, non-profit organizations must provide annual progress updates.
Many of the programs the city helps to fund are an “integral part of the City of Thunder Bay’s identity,” said Hemsworth.
Municipal funding is particularly crucial for arts and culture organizations that are limited in their funding options, said Hemsworth
For many other types of organizations, the city funds are crucial to leveraging funding from from other levels of government, she said.
"Organizations that are recommended for funding collectively generate approximately $19.4 million in revenue in the community. They support over 515 paid individuals. They utilize nearly 4100 volunteers and they track over 300 million participant visits throughout their programs and services,” she said.
For every dollar invested through the community, youth and cultural funding program, Hemsworth said the city leveraged $5.89 in other grant funding and earned revenue.
