Who We Are 2012 Annual Report

Hearts & Hands – Organization Board of Directors:Father John McCaslin (Chairman)*Tom Egold (President)Jim Simmons (Vice President)*John Keller (Treasurer)*Mike Carson (Secretary)Paul Corsaro (Director Legal Affairs)David Bethuram*Carlos CarpizoGreg DaegerMatt FoxEd Holloran (Committee Chair)Peggy MageeChris Purnell (Committee Chair)Steve Rasmussen (Committee Chair)Lanny Rossman (Committee Chair)Carol SeimetzLeo TamezPhyllis UsherJohn Wirtz*(*not pictured)

Ex-Officio Members:Bill BickelEd Johnson

Office Management:Angela Smith Jessie Featherstone Peggy Magee

VISTA Associates – VolunteersSuzanne CunninghamJohn HagemanNick Hajdin Avery Stearman

Our MissionHelping families and individuals attain affordable long-term home ownership on the Near Westside of Indianapolis by providing education, mentoring and quality rehabilitated homes.

Our Mission is driven by:Our Catholic Faith, our vision to make a difference and transform the area within the Holy Trinity and St. Anthony parishes into a vibrant community, remaining mindful of being good stewards of God’s many blessings and sharing our Service Model with other communities who might find it appropriate for their needs.

2012 In Review

2012 saw some large changes within Hearts & Hands. At the request of King Ave. neighbors we acquired the abandoned 920 property, cleared the lot, replaced walks, steps. We then restored the house from the bare studs outward: new windows, roof, wiring, plumbing, heating/AC. We also acquired and maintained three more abandoned properties, stabilizing them as we go into 2013. One of these, 329 N. Warman, is fully in the pipeline of repair. Its location, two doors from St. Anthony’s, is part of our shift of energy to this parish with its Padua School and families anxious to build community by living close to their spiritual center of school and church.

Within the corporation we reorganized to focus on infrastructure, includ-ing development of our office and communication resources, both physical (new computer and phone systems) and managerial (hiring of a half-time office manager). In support of this move we were awarded a significant VISTA enhancement: four fulltime volunteers. These workers continued the develop-ment of our family outreach and mentoring, our marketing and grant writing, our volunteer network, and our community connections. We also reorganized the board into new committees focused on the challenges posed by local poverty, city bureaucracy, and wider networking with like-minded area organizations. These improvements increased our access to foundation grants we are now competitive for. At the same time we kept up fundraising efforts from personal and corporate donations and our annual signature event.

These intangibles help create a sustainable future for Hearts & Hands as we discover new ways to meet the many obstacles that we have discovered in responding to the years of inner-city neglect. We have learned more deeply that we still had a lot to learn, and we have responded with renewed and exact support from our board, committees, officers and the many volunteers who gave time, skills, sweat, spirit. Yet our bottom line is still—simply—that people live in Haughville, trying to stay solvent, keep homes, raise families, be safe, find hope. Our experience and our growth within deepen our informed certainty that this population deserves our efforts, both in offering afford-able homes and in working with all the political, banking, and governmental complexities that prevail.

Hearts & Hands ValuesIntegrity - We assume responsibility for our actions by beinghonest, transparent, ethical, reliable, and accountable. Service - We are for all people; we strive for nothing less than excellence in service to families and service to the community. Compassion - We demonstrate compassion and empathy for those who are most in need. Dignity - We respect the inherent dignity of every person, forwe believe that all human beings are made in God’s image. Diversity - We welcome and appreciate differences of race,background, faith, and thought to form a vibrant community.

Social Justice - We work for justice in society by putting ourfaith into action. Empowerment - We foster an environment where all aresupported in reaching their full human potential. Collaboration - We build strong working relationships and part-nerships within the community. We know we cannot do it alone. Excellence - We challenge ourselves to set the highest ofstandards in all that we do.

Follow our projects and watch our progress on new homes and new families on facebook and online at www.heartsandhandsindy.org

Dear Friends,

It is hard to believe that less than four years ago a group of people gathered together around an idea of rebuilding a neighborhood one house and one family at a time. With the gathering of our first meeting Hearts & Hands emerged. As I think of these past years I can’t help but think of the Gospel of John,

“ I am the true vine, and my Father is the vine grower. He takes away every branch in me that does not bear fruit, and every one that does He prunes so that it bears more fruit. You are already pruned because of the word that I spoke to you. Remain in me, as I remain in you. Just as a branch cannot bear fruit on its own unless it remains on the vine, so neither can you unless you remain in me (John 15: 1-4 NAB).”

During these years I have witnessed incredible generosity, sacrifice, passion, the formation of countless relationships, a strengthened neighborhood, and our own development. I am amazed at how we have matured froman enthusiastic new Board of Directors to a more knowledgeable but no less enthusiastic Board. As we grew to recognize our need for organizational growth and structure we have had to prune some of our initial presumptions without sacrificing our Mission. With the help of VISTA workers, guided by our Executive committee, we are building an organization for the years ahead. Other local groups and inner-city parishes, finding our mission and model a guide, are seeking our advice and aid in creating like programs of their own; so the spirit and the practices of Hearts & Hands are spreading. Please review the fruits of 2012. All of this has been possible because of your support.

There are many exciting things in store for Hearts & Hands in 2013. As you look over the past year I pray you consider how you can continue to support our Mission. Together we will continue to rebuild the Near Westside of Indianapolis one house and one family at a time.

Yours in Christ,

Fr. John McCaslinChairman of the Board

In 2012, we were funded 74% by our individual supporters. (39% from individual donations, 35% from participation in special events).

Financial SummaryAs of December 31, 2012

Statement of Financial Position Dec 31, 12 Dec 31, 11

Cash - KeyBank 111,764.12 134,257.49Receivables 2,870.00 4,600.00Materials and Equipment 5,056.87 7,933.93Investment in Houses 93,644.40 15,354.95

TOTAL ASSETS 213,335.39 162,146.37

Current Liabilties 1,209.99 0.00Unrestricted Net Assets 162,146.37 108,507.59Net Income 49,979.03 53,638.78

TOTAL LIABILITIES & EQUITY 213,335.39 162,146.37

Statement of Revenue and Expenses Jan - Dec 12 Jan - Dec 11

Individual Contributions 31,351.50 28,949.25Non-Individual Contributions 20,617.19 15,975.00Raffle Event Income 28,033.04 36,323.41Gain (Loss) on Sale of Houses 0.00 -1,822.25

TOTAL REVENUE 80,001.73 79,425.41

Operating Expense 23,060.34 10,231.61Marketing and Promotion Expense 6,962.36 15,555.02

TOTAL EXPENSE 30,022.70 25,786.63

NET INCOME 49,979.03 53,638.78

Being Good Stewards

As a non-profit, our fund-raising serves as the driver of most opportunity, creation and growth. And like many non-profits, at first glance Hearts & Hands appears to have a strong balance sheet, reflective of the blessings resulting from the outpouring of support from those listed on our donor page and countless others. But our tasks and targets going forward from 2012 become more challenging, particularly in the area of house rehabilitation costs.

2012 saw the purchase of two more houses and receipt of clear title to a third. Incumbent on this organization now is the task of converting those abandoned houses into the reality of quality homes for first-time homeowners, building our service neighborhood in the process. As stewards of the blessings noted above Hearts & Hands takes its fiduciary responsibility and related transparency very seriously. The objective of this document is to transmit that transparency, in so doing inform of our progress and our plans. Our readers are urged to contact our Treasurer, John Keller, or any Board member, to discuss that progress and those plans.

Revenue by Source

39% Individuals

35% SpecialEvent

Foundations10%

7%9% 7% Businesses

Organizations

Number of Donors

17% Board Members71% Non-Board Individuals 3% Businesses 5% Organizations 4% Foundations(Number of donors increased from 115 to 122)

Client inquiries for 2012 approx. 20% higher than previous years. ( In 2012 referrals by community organizations increased by 75%.)

______ Facebook Likes

______ Twitter Followers @heartshandsindy

______ E-Newsletter Followers Hammer and the Nail

Social Media Followers

136+

44+

161+

Truck donated by Tom & Vicky Bloomer.

2012 DonorsNon-Individual Contributions Catholic Campaign for Human DevelopmentGamma Nu, Tau Chapter Indianapolis Power & Light Co. St. Barnabas Catholic Church Tracy Family Foundation Century 21 Scheetz Charitable Foundation Morgan Stanley Foundation Keybank Foundation St. Susanna Catholic Church John G. Blazic D.D.S., Inc. The Empty Vase Gannett Foundation Individual Contributions Abel, Dorothy Beck, Art and Pinkie Berry, Mary Bethuram, David Blandford, Dick and Ann Bloomer, Tom and Vicky Brabender, Robert and Betty Braun, Leo Burke, Mike and Micheline Bussing, Mary Byrnes, Philip and Patricia Cain, Kenneth and Patty Carpizo, Carlos and Adriana Carr, Craig and Helen Chapman, Jim and Karen Corsaro, Joe and Annie Corsaro, Paul and Francie Crossen, Scott and Lori Curtis, Jeff and Angie

Daeger, Greg and Julie Dale, Tom and Joanie Doxsee, Ron and Carolyn Drew, Michael Eble, Dominic and Holly Eckrich, Matt and Mary Helen Egold, Tim and Clara Egold, Tom and Becka Egold, Tom II and Sara Fagan, Dan and Mary Ann Fox, Bill and Barbara Fox, Matt and Natalie Frank, Tom and Jenny Gardner, Charlie and Dianne Gaughan, Fairy Gillespie, Carson Goss, Mike and Vicki Hammerschmitt, Daniel and Kristin Hannon, Michael and Gail Gong Hatfield, Dan and Barb Hearden, Mike and Mary Heath, Stephanie Heath, Steve and Kathy Hickman, Buzz and Pamela Hobbs, Samuel Holloran, Ed and Leslie Horton, Kevin and Deborah Huffman, Earl and Carol Hulefeld, Karen Johnson, Ed and Carol Kashman, Bill and Carolyn Kashman, Jason and Lauren Kavanaugh, Steve Keller, John Kirschner, Jim and Sue

Knarzer, Pat Knarzer, Tom and Jean Long, Susan Magee, Peggy Manley, Don and Toni McCaslin, Father John Milano, Tony and Sara Miller, Joe and Joan Amati Miller, John and Lori Naughton, Joe and June Neky, Joe Obergfell, John and Peggy O’Connor, Father Glenn Otley, Jim and Sophia Parkhill, Rose Pfenning, Tony Purnell, Chris and Christy Quigley, Jerry and Barb Rasmussen, Dave and Pat Rasmussen, Steve and Nancy Rasmussen, Susan Rossman, Lanny and Paula Rushka, John and Karen Schaffner, John and Mary Schneider, John and Marilyn Schroeder, John and Jamie Seimetz, Carol Simmons, Jim and Linda Smith, Tom and Madonna Stader, Tom and Barb Strohmeyer, Bob and Jenny Tamez, Leo and Dianne Taylor, Steve and Janet Tracy, Mark Usher, Phyllis Voland, Samuel and Sally

Votaw, Phil and Pamela Guernsey Wacker, Tom and Penny Welter, Jim and Helen Wirtz, John and Judy Wohlhieter, Joe and Ann Woodard, Gwen Yakimicki, Joyce In Memory of Kevin Patrick QuigleyQuigley, Jerry and Barb

In Memory of James F. KnartzerBaker, Hugh, Jr. Beaupre, Steve and Mary LouCarson, Mike and MaggieClark, Keith and BrendaClark, LeslieEgold, Tom and BeckaField, MichaelHoggatt, Nelson and NancyKyle, Greg and JaneLawrie, Doug and KarenMarshall, Turk and Toler FamiliesMcAtee, Ed and DorothySimmons, Jim and LindaThompson, JoannToler, Terry and JudithWilliamson, Ruth Ann

In Memory of Patrick Blandford Blandford, Dick and Ann

Partnerships and CollaborationsThe relationships fostered since the initiation of our mission continue to grow. Our key partnerships have, from the very beginning, been critical to the growth and success of our mission, and help sustain us in myriad ways. Thanks go to:

• AmeriCorps VISTA• Back on My Feet Indianapolis • Brebeuf Jesuit Preparatory School• Catholic Charities • Catholic Worker House Indianapolis• Christamore House• George Washington Community High School • Goodwill Industries of Central Indiana• Habitat for Humanity of Greater Indianapolis• Habitat for Humanity of Johnson County• Hawthorne Community Center• Holy Family Shelter

• Holy Trinity Parish• Indianapolis Housing Agency• Indianapolis Land Bank• Indianapolis Marion County Public Library, Haughville Branch • Indianapolis Neighborhood Housing Partnership (INHP) • Indianapolis Power & Light Company (IPL)• IUPUI Office of Community Service• IUPUI Solution Center• Keep Indianapolis Beautiful Inc. (Adopt-A-Block)• Marian University • Mary Rigg Neighborhood Center

• Near West Indianapolis • Padua Academy• Phi Delta Theta Fraternity, Butler University• Providence Cristo Rey High School • Roncalli High School • Sigma Nu Fraternity/Butler University • St. Anthony Parish• St. Barnabas Parish• St. Gabriel Parish • The Neighborhood Christian Legal Clinic• UN Communications Group, Inc.• Westside Community Development Corporation (WCDC)

2012 Reverse Raffle Winners: Ed Holloran III $5,000Wayne Smith (IFD Local 416) $1,500 John Greer $1,000John & Lori Miller $500

Revenue by Source

7% Businesses

Number of Donors

Social Media Followers

Our 2012 Accomplishments:

• Completed total quality rehab of 920 King Avenue and prepared it for sale

• Expanded our housing inventory with purchase of two more houses and receipt of quiet title for a third property. Initiated rehab plans for all three

• Enhanced mission and values statements to better reflect Heart & Hands vision and dream

• Completed the AmeriCorps VISTAProgram with new partner, Neighbor-hood Christian Legal Clinic

• Due to success as participants in the

VISTA program, accepted as sponsors by AmeriCorps VISTA for four new Associates as part of National and Community Service program

• Added first part-time employeeto assist with Administration requirements, particularly those related to the VISTA program

• Published first volunteer monthly

e-Newsletter – The Hammer and the Nail

• Launched organization initiative toaddress infrastructure and sustainabil-ity challenges via Board reorganization into three committees to enhance direct impact by Board members

• Designed, published and distributed 2011 Annual Report to over 800 supporters

• Supplied projects to Spring and

Fall Engineering classes at IUPUI

• Celebrated 3rd Birthday @ Birthday Bash with over 200 neighbors and supporters

• Tom Egold honored by Catholic Charities with the 2012 “Spirit of Service Award”

• Enhanced social mediacommunications via:

• Improved, updated website • Facebook account • Twitter presence • Electronic monthly newsletter

• Celebrated with community atHearts & Hands 3rd Annual Signature Event resulting in $28,000 funding

• Selected for Neighborhood Assistance Program (NAP), a state initiative designed to aid qualified non-profit organizations with tax relief for donors

• Received a grant from Catholic Campaign for Human Development for third year in a row

• Generated close to $100,000 in total funding through the generosity of family, friends, organizations and fundraising events to allow for a more aggressive house purchase and rehab program

• Conducted door to door survey tounderstand needs of community so as to better serve the community

• Increased family applications by 75%and volunteer base by more than 50%

• Adopted a block on North Warman St.as part of the Keep Indianapolis Beautiful (KIB) Adopt-A Block clean-up program.

• Recognized need and approvedExecutive Director position to be filled April, 2013

AmeriCorps VISTA Sponsorship

Americorps VISTA is “a national service program designed specifically to fight poverty.” State Program Director, Louis Lopez, has said that:

“ Hearts & Hands is an importantpartner in carrying out the VISTA mission of alleviating poverty by helping those who would not normally have the opportunity to realize the American dream of home ownership. The staff and leadership at Hearts & Hands prove each day that an idea from the heart can change lives and improve the well-being of an entire community.”

Hearts & Hands’ four full-time VISTA volunteers seek out grants, search for volunteer sources and set up permanent lines of communication for such groups to serve.

They hold meetings at libraries for potential home-owner clients, do marketing research, develop power point presentations, write copy for flyers, distribute them door to door, help host events, meet the public face-to-face and via websites, Facebook accounts, and blogs they develop. They keep information and technological pathways up-to-date, attend meetings of neighborhood associations and other grass-roots groups, working full days and sometimes evenings. They have to be utterly flexible, willing to learn on their feet, have passion for serving those in need. And they have to live on their VISTA salary of $819 per month for a year. Even though they are barely out of college they have to have a driving sense of possibility and enough real work and volunteer experience to know where service can be effective.

“ Hearts & Hands has given me the unique chance to build capacity and sustainability in a nonprofit environment. My next goal is to explore public health, with a focus on promoting healthy lifestyles for children.”-Nick Hajdin

“ I’ve learned a lot at Hearts & Hands abouthousing and poverty: that working for housing does help eliminate poverty, for even one abandoned house affects a community.” -Avery Stearman

“ I chose Hearts & Hands for my VISTA service because Tom and Jim were so passionate about the mission--and because there was a lot at Hearts & Hands that was not in place yet so I would learn how to help an organization grow.” -Suzanne Cunningham

“ I wanted to give something back. InHearts & Hands I saw the passion of individuals wanting to help....I have also learned that community development is a slow process that requires patience, learning and commitment.” -John Hageman

“As each one has received a gift, use it to serve one another as good stewards of God’s varied grace.” 1Peter 4:10

Let us describe the heart and hands of one special volunteer. He’s someone who comes to that first organizational meeting without knowing any of those gathered but wants to help. This group of retirees, none of them builders, plans to buy abandoned houses, rehab them completely, sell them to low income families at a reduced price, help heal a neighborhood. Turns out that the man belongs to this inner city parish him-self, supports it as well as his own home parish some miles away. So he joins in the search for the first home, then loans the money—interest free—to buy it and the materials necessary to transform it. Turns out he is a carpenter, plumber, hands-on construction man from foundation to roof. And he has the patience to take out and re-install new windows put in wrong by another volunteer, to re-jamb a new door that was set in out of plumb. And gladden everyone who works with him, which makes some others volunteer again.

We use his tools (and sometimes break them) as we learn to renew an abandoned house. Because he knows and can teach us, we learn standards for what lasts and is appealing. On Saturday work mornings, he is there early with the tools, materials, and orderly directions. His dump trailer waits to be filled with debris; and when the day is over and the rest of us go home, he is off to the landfill and pays the fee. When someone hired to install a water heater left it leaning with a few wood shims on the floor, he took it out, poured a concrete slab to make it look right and last. Exemplifying “perfection,” he still laughs with those of us who work

imperfectly along. He knows the building codes, the ins-and-outs, and we so depend on him that we can’t keep count of the end-less jobs that he does right. Old front porch steps by code now need railings. When the volunteer coordinator with his checklist comes to determine what’s needed to put up railings, they’ve already been installed. And days when there’s much work, a sched-ule to meet and fewer hands than needed, his wife and son and grandkids and his close friends come along. And no one knows how many days he worked alone—nor all the things he purchased and didn’t ask to be repaid. He even buys lunches when we stay extra hours on a job.

Turns out that after 35 years of fighting fires and managing dozens of rental homes, he couldn’t take it easy, but committed him-self to the good of neighborhood renewal and giving families a chance. Father of 8, grandfather of 22, and now dear friend to the fellow founders of Hearts & Hands, he is the heart of all our reconstruction and most often the hands as well. Though he is some-one who seeks no recognition, who in fact will be embarrassed by it, his inspiration, commitment, leadership call us to say our greatest thanks, yet know they will never be enough to account for all the good that Steve Rasmussen has done.

Paul has a history of over 50 years serving the community. Paul has served as a volunteer on the boards and in various leadership roles with the following Catholic Organizations: Little Sisters of the Poor, St. Mary’s Child Center, Catholic Charities, Catholic Community Foundation, Catholic Cemeteries, Archdiocese of Indianapolis, and Catholic Youth Organization. He has been an active steward in the parish life of Holy Rosary, St. Jude and St Barnabas and served on the board of St. Francis Hospital. He has served on the boards of Marian University and his Alma Mater, St. Joseph’s College. Paul is a Sagamore of the Wabash, the highest honor which the Governor of Indiana bestows, for his distinguished service to the state. His most recent service to the community has been his involvement with Hearts & Hands of Indiana. Paul was one of the founding fathers of the organization in 2009 and is currently serving on the board as the Director of Legal Affairs, and he was instrumental in forming the mission and values of Hearts & Hands. Paul is a respected leader throughout the community and always has the dignity of the individual as his driving force. Paul, throughout his life, has shared his time, talent and treasure with others, as evidenced by this award.

“As each one has received a gift, use it to serve one another as good stewards of God’s varied grace.” 1Peter 4:10

Paul J. Corsaro will receive the Community Service Award, April 18, 2013

337 North Warman Avenue • Indianapolis, IN 46222317.353.3605

www. heartsandhandsindy.org

Why 920 King Avenue? When Hearts & Hands was initially formed, certain principles for the acquisition of foreclosed, abandoned houses were established, led by Project Manager Steve Rasmussen. We of course had to have a house with a solid foundation, of the size that we could manage but would provide livable space for a family. A list of other requirements was established. But when we encountered the seven-years-on abandoned house at 920 King, the worst eyesore in the area, few of our qualification criteria existed. In fact, outside of a firm foundation, the house simply wasn’t one we could consider.

But consider it we did, to the point that it is now one of the most attractive, inviting homes on the street. Why? The reason is simple. Immediately after we purchased and began the rehab of 932 King, neighbors began to thank us for our work and our mission but were also quick to point us a few doors down, to 920 King. This property was so overgrown with bushes and weeds that the house could barely be seen. But the neighbors knew that behind the overgrowth was a small, nearly-demolished house filled with and surrounded by trash and garbage left by various squatters over the years, many of them drug users and traders.

Our initial reaction was obvious: we couldn’t attempt to tackle this house if for no other reason than the significant cost to clear, redesign and totally rehab the property. Cost that could never be recovered. But the earnest entreaties of our neighbor friends had an effect. In considering the key parts of our mission, that is, “one house at a time” and staying in and “rebuilding the neighborhood” we felt that after starting the block on a path to recovery we needed to adhere to our founding principles and listen to these good people who simply wanted what we all want, a safe, comfortable, inviting place to live.

One in four homes in our service area are vacant.

In The Works In less than four years Hearts & Hands has sold two houses and built a pipeline consisting of four houses and one vacant lot in its service area, with plans to buy two more houses in 2013. In addition to 920 North King being ready for sale, work has started on 329 North Warman, our first entry into the St. Anthony neighborhood. The two new purchases are planned to be in the St. Anthony area. 329 Warman will be followed by either 914 North Holmes or 277 North Warman, depending on the desires of our families. A new build on our vacant lot is targeted for 2014. By the end of 2014 we are confident that we will have a total of five houses completed in the Holy Trinity neighborhood and four in the St. Anthony service area. We realize this is an aggressive and energetic plan, but with your help and support we are confident it will happen.

Follow our projects and watch our progress on new homes and new families on facebook and online at www.heartsandhandsindy.org