United Way and Community Connection Announce Consolidation

Staff Report From Athens CEO

Tuesday, August 2nd, 2016

In a move which both organizations hope will set a precedent in the nonprofit sector, Community Connection of Northeast Georgia and United Way of Northeast Georgia are consolidating services between the two organizations.

According to a news release announcing the consolidation, the programs and staff of Community Connection will be absorbed by United Way, in what Community Connection is calling the “Final Connection.”

The merging of the two agencies stems from overlapping missions and services. Nationally, the 2-1-1 information and referral service is an initiative of United Way of America; and, in many communities, the local chapter of United Way administers the service. However, Athens is unique because Community Connection launched the first computer-based resource directory in 1983, pre-dating the establishment of the national 2-1-1 network, and has administered the service locally ever since.

“Then, it made both financial and programmatic sense for the United Way to outsource responsibility to Community Connection,” United Way of Northeast Georgia President Matthew Purkey said in the news release. “Now, we have an opportunity to strengthen the program and to reduce operating costs by bringing it directly under United Way.”

The cost savings referenced by Purkey include the elimination of Community Connection’s rent expense and utility costs, as well as its separate insurance policies and the salary of a Community Connection executive director.

In the news release, Fenwick Broyard III, the outgoing executive director of Community Connection, said, “The goal has always been to sustainably fund our work while extracting the bare minimum from the local fundraising pie. If consolidation results in additional funding being directly invested in services, it is a win for our community.”

Cost savings are not the only thing driving the consolidation. With Purkey having been recently named the Georgia United Way Association’s statewide 2-1-1 program chair, the consolidation comes at an opportune moment, the news release notes.

Purkey has already begun leveraging United Way of Northeast Georgia relationships to drive additional support to the program, including negotiations in a formal partnership with the 2-1-1 program at United Way of Atlanta and a corporate sponsorship from Golden Pantry. Purkey also noted in the news release that having the 2-1-1 program housed within United Way will allow the organization to incorporate the insights gained from 2-1-1’s documentation of community need to inform the strategic investment of campaign dollars.

“I’m committed to pursuing the most effective and efficient use of resources,” said Purkey in the release. “This merger is a game-changer and gives us the foundation to leverage our position to encourage further collaboration among agencies.”

Athens has more than 500 registered nonprofit organizations, many of which represent service duplication and overlap. Broyard believes the accumulation of administrative costs for these agencies could be a principal reason that community members are often unable to find the assistance they may need. “We’ve been preaching the message of reduced duplication for two years now. In consolidating with United Way, we’re attempting to lead by example and hopefully set a precedent that other organizations will consider,” Broyard said in the news release.