2019-2020 Annual Report

Stewardship

Our commitment to you

We work to ensure that your generous gift serves the highest purpose: creating belonging for everyone in our region, today and into the future.

In FY 19-20, distributions and community programs represented $121.5 million, per United Way Greater Toronto (UWGT), Audited Financial Statements-Statement of Operations. The breakdown is as follows:

61%
$73.8 million: Community investments through United Way of Greater Toronto agencies, partners and community services
21%
$25.4 million: Donor designations to other registered charities
5%
$6.5 million: Programs and needs assessment expenses
5%
$5.4 million: Community impact support services
3%
$3.9 million: Programs and organizations supported by targeted funds
3%
$3.6 million: Donor designations to other United Ways
2%
$2.9 million: Donor designations to United Way Greater Toronto agencies and partners

MANAGEMENT DISCUSSION AND ANALYSIS

DEVELOPING A MULTI-YEAR FISCAL SUSTAINABILITY PLAN

In response to the changing philanthropic landscape, UWGT continued implementation of its multi-year fiscal sustainability plan with the following three business priorities:

  1. Grow UWGT revenue;
  2. Revitalize the operating model; and
  3. Refresh the community investment strategy against UWGT’s new geographic footprint.

For FY 19-20 (year one of the three-year plan), the focus was on delivering the “revitalize our operating model” business priority—mission accomplished. Through organizational restructuring, new business arrangements for our office leases and the Pension Plan merger with the Colleges of Applied Arts and Technology, $8.2 million in savings was achieved with $2.6 million realized in FY 19-20 and the remaining expected in FY 20-21 and FY 21-22—putting us on the transformation path to financial sustainability.

For FY 20-21, UWGT remains committed to its community investments—through its network of agencies and community partners across Peel, Toronto and York Region. With the primary focus for the Board of Trustees and UWGT management to maintain financial commitments to our network of agencies and community partners, keeping them stable for as long as possible, we are taking the following measures:

  1. Launching campaign now—with a strong case for support and mobilizing leadership from all sectors to stand with UWGT and to support campaign
  2. Reviewing operations and finding ways to minimize impact to agencies and community partners
  3. Digging into the financial reserve to minimize impact to agencies and community partners

United Way Greater Toronto management has contingency plans that can be readily deployed should financial circumstances lead to UWGT taking additional corrective actions to preserve its immediate financial health and long-term sustainability.

FINANCE, AUDIT & RISK COMMITTEE REPORT

GOVERNANCE & FINANCIAL TRANSPARENCY

United Way Greater Toronto has a strong, independent Finance, Audit and Risk Committee comprising eight members. The Committee meets annually—independent of management—with KPMG, UWGT’s auditors.

The Committee oversees the audit, budgets, investments, pension and benefits, and risk management 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 follow United Way Centraide Canada’s Transparency, Accountability and Financial Reporting (TAFR) standards.

With COVID-19 declared a pandemic by the World Health Organization in March 2020, KPMG concurred that UWGT met the requirements of being a going concern for this coming fiscal year. Factors, among others, that were reviewed:

  • Positive and negative financial indicators;
  • Ability to assess government stimulus and emergency programs;
  • Financial Reserve levels; and
  • Other funding sources accessible to sustain operations.

From a capital risk management plan standpoint, the primary objective—as reflected in the UWGT Audited Financial Statements, Retirement Plan for Employees of UWGT (Pension Plan)—was fulfilled by adhering to specific investment policies, per UWGT’s Statement of Investment Policies and Procedures. As well, in this past fiscal year (FY 19-20), UWGT executed on the planned move of its Pension Plan merger with the Colleges of Applied Arts and Technology—it is currently awaiting approval from the Financial Securities Regulatory of Ontario.

FINANCIAL HIGHLIGHTS

United Way Greater Toronto’s ability to invest in our community was again strengthened by diversifying the source of funds: Workplace, corporate and individual donors (nearly 100,000) contributed to this financial health, as well as special events such as the CN Tower climb, government grants and pro-bono support—from legal services to media advertising space. And UWGT’s financial strength and efficiency were also due to extraordinary support from our donors, volunteers and supporters.

FY 19-20 RESULTS AND RECENT TRENDS
Fiscal Year FY 19-20 FY 18-19 * FY 17-18
Total Gifts $133.1 million $144.6 million $132.0 million
Total Distributions and Community Programs $121.5 million $129.7 million $122.9 million
Fundraising Cost Revenue Ratio 16.3% 17.6% 16.9%
Operating Surplus / (Deficit) ($9.9 million) ($5.7 million) ($4.5 million)

* Merger of United Way Peel Region and United Way Toronto and York Region = United Way Greater Toronto

United Way Greater Toronto’s Community Fund continued to be robust through generous donations and the recognition of United Way as the best place to invest in our communities.

Our Fundraising Cost Revenue Ratio (CRR) continues to be low at 16.3%—we continue to maintain a strong focus on operational efficiency and our diligence is reflected in the CRR.

Our Unrestricted Net Assets, which include our working capital, remain at healthy levels. They were at $17.7 million or the equivalent of 7.5 months of our operating expenditures. Similarly, The Tomorrow Fund™—money that is internally restricted by the Board and is the financial reserve for the ongoing operation of our community investments—was at $50.4 million or the equivalent of 7.8 months. Both are financial indicators of the health and sustainability of the organization.

Read our full Audited Financial Statements, FY 19-20 for more details.

2019-20 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

John Cartwright
Toronto & York Region Labour Council

Betsey Chung
TD Bank Group

Katherine Dudtschak
RBC

Lisa Gonsalves
The Regional Municipality of York

Wayne Halenda

Mohammed Hashim
Toronto & York Region Labour Council

Mariam Hashmi

Nancy McConnell
Google Canada

Bruce McCuaig
AECOM

Kwame McKenzie
The Wellesley Institute

James Meadows
Manitou Investment Management Ltd.

Patricia O’Campo
St. Michael’s Hospital

Andrew Pickersgill
McKinsey & Company

Andrew Robertson
Peel Regional Labour Council

Jane Rowe
Ontario Teachers’ Pension Plan

Jamison Steeve
Shwartz Reisman Institute for Technology and Society

Elaine Walsh

Mark Wiseman

OFFICERS OF THE CORPORATION

Andrew Pickersgill
Chair, Board of Trustees

Bruce McCuaig
Vice Chair, Finance & Treasurer

John Cartwright
Vice Chair, Labour

Patricia O’Campo
Vice Chair, Community Impact

Jamison Steeve
Vice Chair, Resource Development

GOVERNANCE & HUMAN RESOURCES COMMITTEE

Andrew Pickersgill*
McKinsey & Company
Chair

Lisa Gonsalves*
The Regional Municipality of York

Bruce McCuaig*
AECOM

Patricia O’Campo*
St. Michael’s Hospital

Jamison Steeve*
Shwartz Reisman Institute for Technology and Society

COMMUNITY IMPACT COMMITTEE

Patricia O’Campo*
St. Michael’s Hospital
Chair

Zakaria Abdulle

Mohammed Hashim
Toronto & York Region Labour Council

Mariam Hashmi*

Lubna Khalid
Women Speak Out

Jean Lam
Red Cross

Kwame McKenzie*
The Wellesley Institute

Jenn Miller
Atkinson Foundation

Peter Milovanovic

Naki Osutei
TD Bank Group

Brenda Patterson

Andrew Robertson*
Peel Regional Labour Council

Elaine Walsh*

FINANCE, AUDIT & RISK COMMITTEE

Bruce McCuaig*
AECOM
Chair

Linda Byron
AON Hewitt

Stephanie Chung
Pennylegion Chung LLP

Wayne Halenda*

Chris Hoffmann
Brompton Corp.

James Meadows*
Manitou Investment Management Ltd.

Mary Pember

Jane Rowe*
Ontario Teachers’ Pension Plan

STRATEGIC RESOURCE DEVELOPMENT COMMITTEE

Jamison Steeve*
Shwartz Reisman Institute for Technology and Society
Chair

Siri Agrell

Len Carby
RBC

Betsey Chung*
TD Bank Group

Omar Dhalla*
Element AI

Nancy McConnell
Google Canada

Tyler Turnbull
FCB Canada

Susan Walker

Damon Williams
RBC

Beth Wilson
Dentons Canada LLP

 

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