United Way Greater Toronto 2020/2021 Annual Report wordmark

Stewardship

Our commitment to you

We work to ensure that your generous gift helps meet urgent needs and bring about long-term systemic change at the intersection of poverty, equity and geography.

In Fiscal Year (FY) 21-22, overall distributions and community programs represented $123.3 million, per United Way Greater Toronto (UWGT) Financial Statements, Statement of Operations. The breakdown is as follows:

57%
$70.1 million: Community investments through UWGT network of agencies, partners and community services
20%
$24.2 million: Donor-directed designations to other United Ways and other registered charities
11%
$14.3 million: Programs and organizations supported by restricted gifts and government grants
10%
$12.4 million: Community Services and Program Support
2%
$2.4 million: Government Emergency Funded Programs

MANAGEMENT DISCUSSION & ANALYSIS

IMPLEMENTING A MULTI-YEAR FISCAL SUSTAINABILITY PLAN

In response to the changing philanthropic landscape, United Way Greater Toronto (UWGT) continued the implementation of its Board approved strategic roadmap – “Now, New, Next”, with the following business priorities:

  1. Become a centre of excellence in philanthropy
  2. Develop leading cross-sector solutions
  3. Use engagement as a tool for change
  4. Adopt enterprise insight decisions
  5. Turn outward to work with community

In addition to adapting to the “new normal” as a result of the COVID-19 pandemic environment, UWGT remained committed to its business priorities, with FY 21-22 being Year 2 of the 5-year Board approved strategic roadmap. In fact, the conditions and financial uncertainties brought on by the COVID-19 pandemic environment validated the roadmap, pushing UWGT to transform at a faster pace.

In FY 21-22, UWGT delivered on all of the financial commitments made to its Community Investments, Community Services and Program Support — working together with its network of agencies and community partners for solutions to meet existing, urgent and emerging community needs. UWGT once again saw the resilience of its donor and volunteer base showing up stronger than ever before and responding to the crisis caused by the COVID-19 pandemic environment.

And finally, as a trusted partner to all levels of government, UWGT was again the recipient of additional funding from certain government programs where its grant management expertise and knowledge of local community needs were leveraged. Remaining committed to fiscal prudence which is the foundation of the Board approved strategic roadmap — even through the COVID-19 pandemic — UWGT’s financial position is now more stable:

  • FY 21-22 was the 2nd consecutive year of achieving at least a Balanced Budget. Since FY 15-16, UWGT had been on an operating deficit journey. This financial turn-around was the result of re-structuring and cost savings initiatives achieved over the past 2 years.
  • Reserves remain at healthy levels and sufficient to “back-stop” the 3-year and 5-year financial commitments of UWGT to its network of agencies and the on-going sustainability of its operations when looking forward.
  • With liquidity being top of mind in this COVID-19 pandemic environment, UWGT’s asset portfolio is primarily held in cash or cash equivalents, thus mitigating any liquidity and price risks due to changes in the market.

Looking ahead to FY 22-23, UWGT will focus on stability and accelerating the implementation of its Board approved strategic roadmap with a “Revenue Growth Mindset” and focus.

FINANCE, AUDIT & RISK COMMITTEE REPORT

GOVERNANCE & FINANCIAL TRANSPARENCY

UWGT has a strong, independent Finance, Audit and Risk Committee comprised of 6 members. The Committee meets annually — independent of management, with KPMG, UWGT’s auditors.

The Committee oversees the audit and financial controls, budget and financial management, investment management, risk management and digital transformation workplan on behalf of the Board of Trustees.

The UWGT Audited Financial Statements consolidate the financial results of UWGT’s operations, capital expenditures and The Tomorrow Fund™. They are prepared in accordance with Canadian Accounting Standards for Not-For Profit (ASNPO) and are also in alignment to United Way Centraide Canada’s Transparency, Accountability and Financial Reporting (TAFR) standards.

As United Way adapted to the declaration of COVID-19 as a pandemic by the World Health Organization (WHO) in March 2020 and pivoted to a digital office and remote workforce, KPMG issued an Unqualified Audit Report, and similar to previous years, KPMG concurred with management that UWGT met the requirements of being a Going Concern for this coming fiscal year, FY 22-23.

Key items in KPMG’s audit review and findings included:

  • Fraud risk for management override of controls and fraud risk in revenue recognition – no issues or concerns were identified.
  • Control deficiencies – no significant deficiencies in internal control over financial reporting were identified.
  • Special purpose audits for 6 agreements funded by government and/or for which UWGT is the program administrator and service delivery:

    1. Toronto Enterprise Fund (TEF).
    2. Reaching Home, York Region (RH).
    3. Reaching Home COVID-19, York Region (RH COVID-19).
    4. Peel Newcomer Strategy Group (PNSG).
    5. Hydro Settlement Fund (HSF).
    6. Youth Challenge Fund (YCF).

    No issues were identified by KPMG when performing the special purpose audits for these 6 agreements.

FINANCIAL HIGHLIGHTS

UWGT’s continued investments in its network of 300 agencies and community partners was again anchored by the diversification of its fundraising sources — with partners in over 1,100 workplaces, 2,200 volunteers and over 100,000 workplace, corporate and individual donors that contributed to this robust and sustainable financial health in FY 21-22.

Additional funding from certain Government Programs and pro-bono support from legal services to donated media advertising space, added to this extraordinary outpouring of generosity in this 2nd unprecedented year of the COVID-19 pandemic environment.

FY 21-22 RESULTS & RECENT TRENDS
Fiscal Year FY 21-22 FY 20-21 FY 19-20
1. Total $$$ from Revenue Activities * $126.1 million $121.7 million $132.6 million
2. Total $$$ from COVID-19 Pandemic & Emergency Revenue Activities $5.5 million $41.8 million $500,000
3. Total $$$ from Government Grants & Other Income $10.6 million $2.8 million $3.2 million
4. Total $$$ from Investment Activities — Realized & Unrealized Gains $1.0 million $9.4 million ($4.1 million)
5. Overall Revenue $143.2 million $175.7 million $132.2 million
6. Overall Distributions & Community Programs ** $123.3 million $143.3 million $121.5 million
7. Operating Surplus / (Deficit) $0.2 million $11.5 million ($9.9 million)
8. Fundraising Cost-Revenue Ratio 15.4% 15.9% 15.4%

* $$$ from Campaign Revenue Activities at $126.1 million included $24.2 million of Donor-Directed Designations to other United Ways and charities – at relatively similar levels to the previous year, i.e., FY 20-21.

** Overall Distributions & Community Programs at $123.3 million included $2.4 million of Government Emergency Funding for Community in FY 21-22. This would compare to the $26.4 million of Government Emergency Funding for Community that was included in the Overall Distributions & Community Programs at $143.3 million in the previous year, i.e., FY 20-21.

Overall Revenue

In this 2nd unprecedented year of the COVID-19 pandemic environment, total revenue was at $142.2 million [Items 1, 2 & 3] when excluding UWGT’s activities for its investment portfolio, i.e., $1.0 million [Item 4].

COVID-19 Pandemic & Emergency Revenue Activities contributed $5.5 million and were comprised of:

  • Carry-over of UWGT’s “Local Love Fund in a Global Crisis” campaign from the previous year.
  • One-time Government Emergency Funding from the Reaching Home COVID-19, York Region Program which was completed in September 2021.
  • One-time Government Business Support Programs – Canada Emergency Wage Subsidy (CEWS) and Canada Emergency Rent Subsidy (CERS) which ended in October 2021.

The Fundraising Cost-Revenue Ratio (CRR) continued to be low at 15.4% with continued focus on operational efficiency and achieving UWGT’s objective of being less than 20%.

Overall Distributions & Community Programs

Total distributions were at $123.3 million, a decrease from the $143.3 million from the previous year. This decrease was due to lower Government Emergency Funding year-over-year. In addition to the financial commitments of $66.4 million to the network of agencies and community partners, UWGT also distributed funding through its Strategic Initiatives Program to respond to urgent community needs.

Operating Surplus

When including UWGT’s activities for its investment portfolio, the Operating Surplus was $0.2 million — the 2nd consecutive year of achieving at least a Balanced Budget. Since FY 15-16, UWGT had been on an operating deficit journey and this year’s operating surplus supported UWGT to maintain its liquidity position and reserves at healthy levels.

As such, UWGT has committed and confirmed community investments of at least $66.4 million to its network of agencies and community partners for the period of April 1, 2022 to March 31, 2023.

Going Forward

Prudent financial management at UWGT remains a priority, with its Operations Reserve and Community Reserve being maintained at healthy levels and sufficient to “back-stop” the 3-year and 5-year financial commitments of UWGT to its network of agencies and the on-going sustainability of its operations when looking forward.

Deemed as a going concern for the year ahead, the levels of the reserves are financial indicators of the health and sustainability for UWGT, especially with the financial uncertainties of the macro-economic environment, e.g., COVID-19 pandemic, inflation and market volatility.

Read our full Audited Financial Statements, FY 21-22, for more details.

2021–22 Board and Committees

We thank our Board of Trustees and Committee members for their wisdom, commitment and passion to steer our organization in the achievement of our mission.

BOARD OF TRUSTEES

OFFICERS OF THE CORPORATION

Dr. Patricia O'Campo
Chair, Board of Trustees
Bruce McCuaig
Vice Chair, Finance, Audit and Risk & Treasurer
Lisa Gonsalves
Vice Chair, Community Impact
Nancy McConnell
Vice Chair, Resource Development

TRUSTEES

Andria Babbington
Ex-Officio, Toronto & York Region Labour Council
Len Carby
IG Wealth Management
Betsey Chung
TD Bank
Cheryl Craig
Peel Regional Labour Council
Katherine Dudtschak
RBC Royal Bank
Wayne Halenda
Independent Consultant
Mohammed Hashim
Canadian Race Relations Foundation
Mariam Hashmi
Technology Management Professional
Michelle Johnston
Society of United Professionals, IFPTE 160
Islay McGlynn
Scotiabank
James Meadows
Manitou Investment Management Ltd.
Meenu Sikand
Accessibility for All
Elaine Walsh
Hill House Hospice (Retired)
Mark Wiseman
Global Investment Executive
 
 

COMMITTEE MEMBERS

GOVERNANCE & HUMAN RESOURCES COMMITTEE

Dr. Patricia O'Campo*
St. Michael’s Hospital,
Chair
Bruce McCuaig*
AECOM
Lisa Gonsalves*
The Regional Municipality of York
Nancy McConnell*
Google Canada
Islay McGlynn*
Scotiabank
 
 
 

COMMUNITY IMPACT COMMITTEE

Lisa Gonsalves*
The Regional Municipality of York,
Chair
Zakaria Abdulle
Rona Abramovitch
University of Toronto (Professor Emeritus)
Wilfred Cheung
Toronto Central Local Health Integration Network
Cheryl Craig*
Peel Regional Labour Council
Mariam Hashmi*
Technology Management Professional
Michelle Johnston*
Society of United Professionals, IFPTE 160
Lubna Khalid
Women Speak Out
Jean Lam
Canadian Red Cross
Naki Osutei
TD Bank Group
Meenu Sikand*
Accessibility for All
Elaine Walsh*
Hill House Hospice (retired)

FINANCE, AUDIT & RISK COMMITTEE

Bruce McCuaig*
AECOM,
Chair
Wayne Halenda*
Independent Consultant
Chris Hoffmann
Brompton Corp.
Kevin King
James Meadows*
Manitou Investment Management Ltd.
Jane Rowe
Ontario Teachers’ Pension Plan
 
 

STRATEGIC RESOURCE DEVELOPMENT COMMITTEE

Nancy McConnell*
Google Canada,
Chair
Siri Agrell
Len Carby*
IG Wealth Management
Betsey Chung*
TD Bank Group
Mohammed Hashim*
Canadian Race Relations Foundation
Omar Dhalla
Kurankye Sekyi-Otu
Polar Asset Management Partners
Tyler Turnbull
FCB Canada
Damon Williams
RBC Royal Bank
 
 
 

*Indicates that the Committee member also serves on the United Way Greater Toronto Board of Trustees.