2012 AnnuAlRepoRt

united Way of Greater Milwaukee

UnitedWayMilwaukee.org2

MissionUnited Way of Greater Milwaukee changes lives and improves our community by mobilizing people and resources to drive strategic impact in Education, Income and Health.

Dear Friends,

This annual report is a testament to the hard work and dedication of the 68,000 people in our community who are motivated by a desire to help others and come together through United Way.

In 2012, we helped nearly 400,000 people build better lives for themselves and their families by investing in solutions right here in Greater Milwaukee. We are proud of what we have accomplished together, but we know that our work does not end here. There is still much to do, and we will ensure that donor dollars are at work in our community, solving problems and helping people.

We know real change will only result from collective, community-level impact. As a community, we must invest our resources in a way that will lead to needle-moving, long-term change.

We are confident we can do just that, because when we join together with a common purpose of improving lives, we move forward as a stronger community. Thank you for living united.

Sincerely,

Mary Lou YoungPresident & CEO, United Way of Greater Milwaukee

Stephen A. Roell2013 Chairman of the Board, United Way of Greater MilwaukeeChairman & CEO, Johnson Controls, Inc.

VisionUnited Way of Greater Milwaukee aspires to accomplish the following:

• Produce significant and measurable results in the areas of Education, Income and Health.

• Convene diverse teams of community members to take collaborative action on priority issues.

• Recruit and retain talent to drive cross-sector initiatives and integrated, community-focused work.

• Sustain its financial stability and efficient operations.

• Be recognized as a leader in effecting long-term societal change.

We have a lot to be proud of. But we also face many challenges. Our children struggle to read and are not prepared for school, work or life. Hardworking families can barely afford to get by, and many people aren’t able to live healthy lives.

If we want to change our community, we must work together – strategically – to end poverty and help our neighbors build better lives. But we will only prosper and grow if there is a strong education pipeline for our children, if all families are financially stable and if people are healthy and have access to quality health care.

The Building BlocksUnited Way focuses on the three building blocks for a good quality of life – Education, Income and Health.

When you direct your gift to United Way or any of these three strategic issue areas, your donation is invested in 160+ programs at over 80 local agencies. Plus, we measure the results to ensure we move forward as a stronger community.

Mary Lou YoungPresident & CEO, United Way of Greater Milwaukee

Greater Milwaukee is our community.

Volunteers Make A DifferenceThank you to the 3,000+ volunteers who join us in living united. United Way works with individual volunteers and organizations who want to donate time to make an immediate difference. Because you give generously of your time and talent each year, United Way is able to minimize costs and keep administrative and fundraising expenses low.

Helping Children & Youth Achieve their PotentialIn 2011-2012, United Way provided funding to 46 education programs serving nearly 70,000 youth and adults.

Promoting Financial Stability & IndependenceIn 2011-2012, United Way provided funding to 27 income programs serving nearly 50,000 individuals.

Improving People’s Health & SafetyIn 2011-2012, United Way provided funding to 63 health programs serving nearly 270,000 individuals.

UnitedWayMilwaukee.org 3

United Way launched an initiative in July to recruit 3,000 new local volunteer Readers, Tutors and Mentors over the next three years, as part of United Way Worldwide’s effort to recruit one million readers, tutors and mentors and increase high school graduation rates. E

In September, BMO Harris Bank gave $750,000 over three years to United Way to help fund its Healthy Birth Initiative: Reducing Infant Mortality. The funds will be invested in community health organizations providing direct services, support a project director position, and allow United Way to convene a group of diverse constituents who will assist in the development of the strategies that will lead to improvements in birth outcomes. H

United Way supports the Individual Development Account (IDA) program, which helps people who are saving for a home by matching up to $4 for every $1 saved or up to $6 for every $1 saved for postsecondary education. In 2012, the IDA program helped nearly 200 families save for their first home and more than 300 individuals save for postsecondary education. I

In October public health officials announced that births among 15-17 year olds in Milwaukee had declined for the fifth year in a row and were now at historic lows. The City of Milwaukee Health Department credits United Way and the communitywide Teen Pregnancy Prevention Oversight Committee’s strategic, focused efforts for consecutive drops. The initiative has now become a national model for community collaboration. H

Milwaukee Succeeds is a communitywide initiative ensuring there is a strong education pipeline from cradle to career. United Way is taking the lead on convening the school readiness community team, focusing on pre-reading/early literacy strategies, as well as emphasizing the importance of childhood immunizations. E

United Way, in partnership with COA Youth and Family Centers, offered the second annual Healthy Youth Leadership Institute at Camp Helen Brachman in August. Thirty youth participated in the four-day retreat to develop leadership skills and the ability to be peer educators and mentors regarding sexual health. H

In April, United Way and The American Red Cross in Southeastern Wisconsin, announced the First Aid Service Team (FAST) collaboration. This partnership will help enable trained Red Cross personnel to be at hand to provide emergency first aid care to sick or injured people at community events. H

United Way in partnership with Community Advocates, received a $300,000 grant from the Siemer Institute for Family Stability. The grant will fund the Homeless Prevention Program (HPP) for Families with School-Aged Children, a collaborative effort to target and prevent homelessness for families with children, and help reduce student mobility, which in turn will help increase academic success. I

United Way received a $12,000 grant from the Department of Public Instruction to distribute to agencies committed to implementing the Parents Matter! Curriculum – which teaches parents how to have the tough conversations with their children about sex, relationships and navigating the teen years. H

Community problem SolvingDuring the fiscal year ending June 30, 2012, United Way of Greater Milwaukee projected to invest nearly $42 million into our community, with $21 million in unrestricted dollars directed towards United Way’s strategic focus areas of Education, Income and Health.* By investing in programs that impact these areas instead of funding general agency operations, United Way helps ensure the dollars are used to produce desired outcomes right here in our community.

New Agency Program Partners City Year – Whole School Whole Child Literacy Services of Wisconsin – Adult Education Program

New Funded Programs QBLOK – Pathfinders Driver’s License Recovery – Wisconsin Community Services

*Relative to the 2011 Community Campaign

2012 Community Impact Highlights Strategy Areas: E Education I Income H Health

UnitedWayMilwaukee.org 5

AccountabilityUnited Way of Greater Milwaukee only invests in programs that produce results at agencies that manage their money wisely.

We have been recognized nationally and locally for our high rate of efficiency. In 2012, Forbes Magazine named United Way as one of five All-Star Charities for efficiency. We invest nearly 90% of the money raised in the annual community campaign in the programs/organizations we support, far exceeding the 65% minimum considered acceptable for a nonprofit to be living up to its mission.

Sources

Campaign HighlightsThanks to you, United Way of Greater Milwaukee raised a record $51,671,080 in 2012, exceeding our $51.5 million projected goal by $171,080. Led by co-chairs Paul Jones (A. O. Smith Corporation), Greg Marcus (The Marcus Corporation) and Peggy Troy (Children’s Hospital of Wisconsin), United Way raised over $1.6 million more than the $50,006,076 raised in 2011, for a 3.3% increase.

• More than 300 volunteers and 106 campaign cabinet members were recruited to assist with the campaign.

• Nine local companies contributed a combined $22.3 million in employee and retiree gifts along with corporate support, with each company increasing its contribution over 2011.

• Johnson Controls achieved the largest annual combined workplace campaign total in United Way’s history, raising $5.5 million and surpassing last year’s company record total.

• Northwestern Mutual raised $4 million for the first time setting a new company record.

• United Way secured a $1.7 million challenge grant for a second year through the Milwaukee Health Care Partnership from the five leading hospital systems to help expand primary care to underserved and vulnerable populations.

•  $6.7 million new dollars were raised through the Give & Win™ Sweepstakes.

2012 Funding

54% Employee & Retiree Workplace Contributions

30% Corporate Contributions

5% Individual Contributions Outside of Workplace

4% Private Foundation Contributions

4% In-kind Gifts & Sponsorships

3% Workplace Special Events

Assets: Current assets:

Cash and cash equivalents $ 2,538,550Investments 9,760,614Pledges receivable – net 16,241,753Prepaid expenses and other 177,969

total current assets 28,718,886

Pledges receivable, less current portion 1,159,765Investments – Endowment fund 4,019,445Land, building and equipment – net 925,069

total assets $ 34,823,165

Liabilities & Net Assets: Liabilities:Donor designations payable $ 6,257,220Amounts payable under fiscal agent responsibilities 1,973,175Other amounts payable 56,503Accrued expenses and other current liabilities 138,197

total liabilities 8,425,095

Net assets: Unrestricted:

Undesignated (3,190,524)Investment in land, building and equipment 925,069 Accumulated net growth in permanently restricted net assets 296,311Board designated for allocations to agencies and partners 22,158,062 Board designated endowment fund 903,148 Board designated for capital improvements 459,405

total unrestricted 21,551,471

Temporarily restricted 3,667,381

Permanently restricted net assets 1,179,218

total net assets $ 26,398,070

total liabilities and net assets $ 34,823,165

Statement of Financial position As of June 30, 2012

Public Support & Revenue:

Campaign revenue:Gross campaign resultsLess: Donor designated fundsNet campaign resultsLess: Provision for uncollectible pledges

Net campaign revenue

Contributions received in prior period released from restrictionService fees – CampaignMemorials and bequestsSponsorship of United Way events and activities

Total campaign revenue

Non-campaign revenue: Dividend & interest income Net realized & unrealized gains on investments Transfer to unrestricted for disbursement of temporarily restricted funds Rental incomeGrantsOther income

Total non-campaign revenue total public support & revenue

Expenses:

Agency distributions: Gross agency distributions Less: Donor designated funds

Net agency distributions

Program services:Community Impact

Supporting services: Fundraising Management and general Total supporting services

total expenses Change in net assets Net assets at beginning of year net assets at end of year

Permanently RestrictedUnrestricted

Temporarily Restricted Total

$ - - - - -

- -

12,500 -

12,500

- - - - - - -

12,500

- - -

-

- - - -

12,500 1,166,718

$1,179,218

$51,180,635 (21,517,316) 29,663,319

(585,359) 29,077,960

- 536,582 44,196

476,362 30,135,100

377,988 272,930

- 73,456 24,005 6,426

754,80530,889,905

42,362,423 (21,517,316) 20,845,107

1,359,562

4,269,496 1,515,244 5,784,740

27,989,409

2,900,496 23,497,574

$26,398,070

$47,771,025 (20,211,236) 27,559,789

(494,359) 27,065,430

1,710,451 536,582 (25,630) 476,362

29,763,195

334,698 239,901 138,032

73,45624,005

6,426 816,518

30,579,713

41,056,343 (20,211,236) 20,845,107

1,359,562

4,269,496 1,515,244 5,784,740 27,989,409

2,590,304 18,961,167

$21,551,471

$3,409,610 (1,306,080)

2,103,530 (91,000)

2,012,530

(1,701,451) -

57,326 -

359,405

43,290 33,029

(138,032) - - -

(61,713) 297,692

1,306,080 (1,306,080)

-

-

- - - -

297,692 3,369,689

$3,667,381

UnitedWayMilwaukee.org 7

Statement of Activities Year End June 30, 2012

225 West Vine StreetMilwaukee, WI 53212

414-263-8100UnitedWayMilwaukee.org

BoARd ChAiRStephen A. Roell, Johnson Controls, Inc.

ViCe ChAiR/ChAiR eleCtdavid J. lubar, Lubar & Co.

SeCRetARylinda Gorens-levey, Stark Investments

tReASuReRR. Bruce Mcdonald, Johnson Controls, Inc.

pReSident & CeoMary lou young, United Way of Greater Milwaukee

ChieF opeRAtinG oFFiCeRFilippo Carini, United Way of Greater Milwaukee

Bevan K. Baker, City of Milwaukee Health Departmentlinda e. Benfield, Foley & Lardner LLPSandra l. Botcher, Northwestern Mutualthomas J. Cardella, MillerCoorsBradley d. Chapin, BMO Harris BankSheila d. Cochran, Milwaukee Area Labor Council, AFL-CIOJameson p. delgadillo, Northwestern Mutualdavid W. Gay, Ernst & Young LLPthomas C. Gentile, GE Healthcareellen Gilligan, Greater Milwaukee FoundationJon d. hammes, Hammes Company, LLCJacqueline d. herd-Barber, Community Volunteer Mark F. irgens, Irgens Partners, LLCCatherine Jacobson, Froedtert Health, Inc. Jeffrey A. Joerres, ManpowerGrouppaul W. Jones, A. O. Smith CorporationGregory S. Marcus, The Marcus Corporationhugh McGarry, Milwaukee Journal SentinelCory l. nettles, Generation Growth Capital, Inc.Gregory C. oberland, Northwestern MutualJames R. popp, Chase Michael J. porcaro, UPSJames e. Quinlan, Wells Fargo & CompanyKristine A. Rappé, We EnergiesJohn R. Raymond, Sr., M.d., Medical College of Wisconsinnicole J. Renouard, Whyte Hirschboeck Dudek S.C.paul Schmitz, Public Allies, Inc.lynn Sprangers, Mount Mary CollegeMary ellen Stanek, Robert W. Baird & Co. Incorporatedpaul W. Sweeney, PS Capital Partners, LLCMark R. taylor, FAChe, Columbia St. Mary’sdr. Gregory e. thornton, MPS Central Servicespeggy n. troy, Children’s Hospital of Wisconsinnick W. turkal, M.d., Aurora Health CareGordon J. Weber, Associated BankGregory M. Wesley, Gonzalez Saggio & Harlan LLPScott A. Wrobbel, Deloitte LLPAnne Zizzo, Zizzo Group Marketing + PR + New Media

2013- 2014 Board of directors