United Way's $61 million goal could mean cuts to agencies

Group vows to do everything possible to surpass 2006 target, its lowest in a decade.

Kim Kozlowski / The Detroit News

United Way of Southeastern Michigan on Wednesday announced its 2006 fundraising goal of $61 million -- its lowest goal in a decade.

The lower goal could mean even less funding for 100-plus human service agencies working with the poor, elderly and children.

Last year United Way failed to reach its $66.5 million goal -- collecting $64,029,000 for member agencies.

Although it met its 2004 goal of $64.5 million, the agency failed in years prior to meet goals and also cut funding to agencies by 27 percent in 2003.

"This is a challenging time," said Patricia Ellis, spokeswoman for the agency.

"With all the cutbacks this year we really feel $61 million is an aggressive goal."

The agency forecasted $5 million in known losses and employment reductions before the campaign kicks off Sept. 8, which is why the goal was set at $61 million, said Beth Noble, vice president of resource development.

"We are going to do everything to surpass that," she said.

"There is room for growth. We have the ability to write a different story," Noble said, pointing to the 205,000 people who donated last year in a local population of 4.5 million.

The last time United Way's goal was so low was in 1997, when it was $60 million.

The new goal is hitting some United Way partners hard.

United Way funds accounted for about $520,000 of the Detroit Urban League's current $4.5 million budget -- a drop from more than $750,000 four years ago, said N. Charles Anderson, the league's president and CEO.

The funds helped leverage administrative costs and bolster the league's various community service projects.

With another fundraising drop, the league and other agencies "are running the risk of not being able to be as effective," Anderson said.

"The worse the economy gets the more people are in need of services. We need to dig deeper and get more people to support," Anderson said.

Detroit News Staff Writer Mark Hicks contributed to this report. You can reach Kim Kozlowski at (313) 222-2024 or kkozlowski@detnews.com.