Citywide NGO / Not for Profit Sector

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1 Community Profile - Citywide NGO / Not for Profit Sector The Christchurch City Council (the Council) works with a large number of Non-Government Organisations NGOs / Not for Profit Organisations (Not for Profits). These organisations provide a diverse range of services to the people of Christchurch. The Council s Statement of Intent regarding its relationship with the community and voluntary sectors is an expression of its commitment to work with the NGO/not for profit sector for the betterment of the community. The Council acknowledges the role that the not-for-profit sector plays in the development of strong, equitable and socially inclusive communities. Not for Profits also contribute significantly to creating social capital, that is, to creating the skills, programmes and services that hold communities together and enable them to identify their issues and work together to solve them. Social connectedness and inclusive democracy is an important part of social capital. In 2014 the estimated population of Christchurch City was 362,000 people. Not for Profit community organisations provide a wide array of vital services and activities to Christchurch s population. They provide social services and community support; and they also enable people to participate in their local communities. Participation builds strong and connected communities that are vital to social, economic, environmental and cultural wellbeing. One way in which the Council invests in not for profit community organisations is through its community grants schemes. The Council s community grants schemes contribute to organisations that develop and promote community, recreation, sports, culture, arts, heritage and environmental projects and events. Funding also supports projects that enhance community and neighbourhood safety; and organisations that reduce barriers to community participation and create social equity in communities. The Council s metropolitan community advisors work with citywide sector based not for profit organisations. They work with not for profits and government agencies about sector issues. Their work is guided by a range of local and national strategies and policies. The metropolitan advisors work with a diverse range of citywide NGOs and the communities that they serve, and there are many different perspectives and issues within the sector. A Statistics NZ 2007 report found that there were 97,000 not for profit organisations in New Zealand, contributing $6.95 billion or 4.9% to the country s Gross Domestic Product. The report states that at that time over one million people did some voluntary work and over 105,000 people did paid work for a not-for-profit organisation. The Christchurch City Council is committed to collaborative relationships with community not for profit NGOs, and acknowledges the important work undertaken by the citywide NGOs.

2 Key statistics and facts In July 2014 The Community and Voluntary Sector Minister Jo Goodhew welcomed Statistics New Zealand s decision to update its official measure of the not-for profit sector, stating in a Government press release that: Community groups are the backbone of our sports and social groups, emergency service organisations, conservation, and the arts and cultural sector. These institutions, and the people who are part of them, make a significant contribution to New Zealand society and the economy. The not-for-profit sector has also welcomed the news because the current not-for profit sector statistical data is now ten years old. Statistics New Zealand has predicted that due to the diversity of the not-for-profit sector the project to update data could take 18 months. There were 97,000 non-profit organisations operating in New Zealand in Of these, 45% were culture, sports, and recreational non-profit institutions. Ninety per cent of non profit institutions did not employ paid staff. The other 10% of non-profit institutions employed 105,340 paid staff. (Statistics NZ) Number of Non-profit Institutions in New Zealand 2005 By activity group Culture, sport and recreation Education and research Social Services Development and Housing Religion Business and professional assns, unions All other groups (000) The Christchurch City Council s Community Wellbeing Research Review 2008 acknowledges that the community and voluntary sector provides an array of services and activities that are vital to social, economic, environmental and cultural wellbeing. Community and voluntary sector organisations provide benefits in two respects: firstly, they provide support, services and developmental opportunities to community members; secondly, participation by people in community activities builds social capital which is essential for social cohesion, population health, economic growth and successful democracy. There is a general shortage of volunteers for the wide range of community NGOs that rely on volunteers to provide some of their services. There is a particular shortage of volunteers who can make the longer term commitment that many community organisations need from their volunteers. This includes the lack of volunteers to run organisations at a governance level. Staffing of Non-profit Institutions in New Zealand % Paid Staff No Paid Staff 90% 2

3 Funding is a key issue for the Not for Profits and the majority would not survive if their current funding levels were not renewed by the wide range of funding providers and philanthropic trusts in the City. The Christchurch City Council experiences an annual pressure on its community grants schemes, as do most other funders, and unfortunately each year the Council receives far more funding requests than it is able to meet. 2014/15 Metropolitan Strengthening Communities Fund general community applications received. Council was only able to meet 33.5% of the amount requested. 2014/15 Metropolitan Small Grants Fund general community applications received. Council was only able to meet 45% of the amount requested. $1, $5,725,254 $341,311 $750,639 Funding Available Amount Requested Funding Available Amount Requested Strengthening Communities Fund* Small Grants Fund * The funding available excludes Key Local Projects, Early Learning Centres, Major Organisations, pre-existing commitments and Community Loans. The NGO Accommodation Survey (Preliminary Analysis) was prepared in early 2014 at the request of the pan NGO support panel to the CERA Community Wellbeing Planners Group. Responses were received from 38 NGOs and the survey report states that: Three years on from the earthquake, the majority of organisations responding have already moved all or part of their organisation at least once. Many are poised to move again. Over half of respondents are planning to be at their current premises for less than three years. Needing new or additional space w ithin the next 2 years 63% Now 21% Next year 24% Next 2 years 18% Nearly two thirds of respondents will need new or additional space within the next two years. If ever there was a time to organise co-location, hubs, facility sharing, etc, a fruitful window appears to be from now to the next two or three years. Planning to be at current premises for 1-3 years 29% Planning to be at current premises for less than 1 year 23% Planning to be at current premises for less than 3 years 52% In the same premises as pre earthquakes 21% 3

4 Citywide NGOs in receipt of Council's Strengthening Communities Funding Citywide NGOs Children and Youth Sector Older Adults Sector Arts and Culture Sector Multi Target Group NGOs Environmental Multicultural Sector Health and Disability Sector Safety Sport and Recreation This diagram represents citywide NGOs in receipt of the Council's Strengthening Communities Funding in The above ratings have been based on each organisation s reach, diversity, and participation. The bigger circles tend to be organisations and groups that provide a wider range of services, have large numbers of participants, employ staff teams, and often hold government service delivery contracts. Medium-sized circles may have limited staff and rely on grants and philanthropic funding, but they are well networked within the community. There is also a wide diversity of community organisations and groups based in the local ward areas. Those ward-based groups are represented in the individual ward community profiles. This diagram represents the organisations that receive grants funding from the Christchurch City Council and are identified as Metropolitan/Citywide groups who work with residents across all parts of the city. 4

5 Sector environment The city-wide NGO / Not for Profit sector environment is defined by two key arenas: 1. The organisational and capacity needs of the NGOs 2. The needs of the communities and client groups that the NGOs work with. The organisational and capacity needs of the NGOs Funding and capacity needs Grant Thornton s (Australia and New Zealand) Doing it good and doing it well? Not for Profit Sector Survey 2013/2014 states that funding continues to be the most significant challenge facing the not for profit sector. The report also argues that: Collaboration must occur in the not for profit sector throughout New Zealand. Otherwise many organisations will cease to exist. Sustainable funding is a key issue for the NGO sector. Most organisations in the sector are funded through a mixture of donations, sponsorship, grants, fundraising campaigns, and government contracts for services. Accessing ongoing funding streams is a constant and time-consuming challenge for the sector and most NGOs would not survive if their current funding levels were not renewed. In June 2013 the Christchurch City Council s Strengthening Communities teams surveyed a sample of 57 Council supported community organisations across the city. The survey was a pilot capacity check to gauge where strengths, challenges, preparedness and opportunities for additional support might lie. Respondents most frequently identified the following challenges: 1. Governance and Management organisation systems, policies and procedures; funding constraints; board/committee recruitment 2. Financial Systems systems development and maintenance; funding constraints and insecurity; multiple funding streams 3. Information Management and Communication website resourcing; promotion and advertising expertise; public communication; updating systems 4. Stakeholder Relationships developing and maintaining relationships; expanding funder sources and value promotion; time management. There are a number of initiatives taking place nationally that could influence the future sustainability needs of the NGO sector. Some of these are: 1. The New Zealand government (via the Ministry of Health) is piloting the Social Bonds project. Social bonds require private and not for profit organisations to fund and deliver services to improve social outcomes. There is an investor return component that depends on agreed results. 2. The New Zealand government has released a position statement that acknowledges the value of the social enterprise sector. Social Enterprises are organisations that have dual social and business goals. The Department of Internal Affairs website provides further information about social enterprise and legal structures. Social enterprise is an initiative that a number of NGOs are interested in. Social enterprise provides opportunities for financial sustainability. Some organisations caution that it carries risks in terms of the need for appropriate business knowledge and structures. 3. The New Zealand Productivity Commission (an independent Crown entity) is looking at ways to improve how government agencies commission and purchase social services. The issues paper released by The New Zealand Productivity Commission states that the inquiry includes how agencies identify the needs of people who use social services, how they choose organisations to provide services, and how the contracts between agencies and providers work. 4. There is a legislative requirement for Registered Charities to follow External Reporting Board accounting standards from April

6 Volunteerism Volunteering Canterbury reports that during April to August 2014 the organisation registered 1,064 new volunteers. They also report that they have 20 Board/Committee roles and 19 driver roles available, and these are harder to fill due to the commitment and responsibility required. There is a shortage of volunteers who can make a longer term commitment and this includes the lack of volunteers to run organisations at a governance level. Volunteering Canterbury is seeing a growing problem for organisations to find adequate time and resources to manage and support their volunteers. It is acknowledged that many churches have significant numbers of volunteers that provide care and support services daily in local communities. Networks Metropolitan NGOs lead and participate in a wide range of networking and liaison meetings in the city. These networks help to ensure inter-agency approaches, information and resource sharing, and creative and informed projects to meet indentified needs. Key citywide networking bodies and organisations include (but are not limited to): Disability Advisory Group, Elder Care Canterbury, Healthy Christchurch, Council of Social Services in Christchurch, Council of Christian Social Services, Social Services Providers Association, Safer Christchurch, Christchurch Housing Forum, One Voice Te Reo Kotahi, INFORM inter-agency network for refugees and migrants, Canterbury Youth Workers Collective, Otautahi Runaka monthly Hui. The needs of the communities and client groups that the NGOs work with Key community NGOs in Christchurch have identified core social issues that exist in the city (and New Zealand). These issues frequently define their work as community organisations. These issues include: child poverty; income inequalities; health inequalities; the lack of housing that is warm, accessible and affordable; and the impacts of global environmental and climate issues on local communities. Social capital is a critical factor in building strong and resilient communities. The Christchurch Methodist Mission website (Our Views section) defines social capital as the glue that holds us together and enables us to work together to achieve common goals and to solve problems. The Building Social Capital viewpoint on the Christchurch Methodist Mission s website puts forward a number of ways that social capital can be built in Christchurch, including supporting NGOs: nongovernment organisations represent a large proportion of the city s total stock of social capital. Partnerships between NGOs, government and private sector organisations will further strengthen social capital. The NGO sector plays a key role in the development of socially just communities. In October 2014, the New Zealand Christian Council of Social Services and Community Networks Aotearoa (formerly New Zealand Council of Social Services) jointly hosted a conference in Christchurch. The conference was entitled Social Justice in Communities, and said that social justice is vitally important for Christchurch as it is rebuilding and redeveloping. There is a significant role for NGOs to play in making Christchurch a Resilient City. The 100 Resilient Cities website (pioneered by the Rockefeller Foundation) defines resilience as the capacity of individuals, communities, institutions, businesses and systems within a city to survive, adapt, and grow no matter what kinds of chronic stresses and acute shocks they experience. The 100 Resilient Cities website discusses the need for a resilient city to collaborate with a wide range of stakeholders such as business leaders, advocates for the homeless, and academic water experts. There is a significant role for NGOs to play in making Christchurch a Resilient City, particularly in advocating for the needs of the most vulnerable and disadvantaged. 6

7 Key issues identified Issue There is an opportunity for increased collaboration between the Christchurch City Council and the not for profit / NGO sector. The Council s Strengthening Communities Strategy acknowledges the role that the not for profit / NGO sector plays in creating strong and resilient communities. Progress to date / outcome The Council s Strengthening Communities Strategy has a range of principles that guide the Council s approach to its role in strengthening communities. Two of the principles are: 1. Valuing the community and voluntary sector. The Council honours the contribution that community and voluntary organisations and Maori and Iwi organisations make to the life of the city and the wellbeing of its residents, and respects the independence of the sector. It intends to support the community and voluntary sector to develop effective, collaborative responses to communities issues. 2. Partnership. The Council will seek to form healthy and purposeful partnerships and strategic alliances with community and voluntary organisations, Maori, Iwi, and other key stakeholders to enhance community wellbeing. It recognises that not all community and voluntary organisations will have an interest in forming relationships with the Council. The Council is funding and supporting the Christchurch Council of Social Services to publish a book about the work undertaken by the NGO sector after the earthquakes. Many NGOs report the need to diversify their sources of revenue in order to increase their financial sustainability and security. Strengthening Communities Advisors work with key NGOs in the city to support their financial sustainability. Each year the Council s community grants schemes contribute to organisations that develop and promote community, recreation, sports, arts, heritage and environmental projects and events. Funding also supports projects that enhance community and neighbourhood safety; and organisations that reduce barriers to community participation, and promote social equity in communities. 7

8 Issue There is an opportunity for the Council to find new ways to incorporate advice from NGOs into the Council s planning and work. There may be an opportunity to have a regular NGO voice providing commentary and information to the Council about social issues and community trends in the city. Progress to date / outcome Citywide community advisors make regular contact with key NGOs in order to ascertain knowledge about current issues in the sector. NGOs are included in many of the Council s community advisory groups, submission processes, and public engagement exercises. Strong communities are essential in maintaining the wellbeing and social connection of those who live in them. An important factor in building strong communities is to develop the capacity of community organisations. One way in which the Council supports the development of strong community organisations is through the provision of community grants funding and through working on joint community projects with NGOs. Community grants funds contribute to projects that promote community capacity and sustainability; and also that promote participation in the community. There are many Christchurch City Council policies and strategies that staff work within that acknowledge the importance of the NGO sector in the city. These include: Strengthening Communities Strategy; Statement of Intent regarding the Community and Voluntary Sectors; Social Wellbeing Policy; Community Engagement Strategy. All people in Christchurch need to have access to housing that is affordable, warm, secure and sustainable. In response to the ongoing accommodation crisis in Christchurch since the earthquakes, the Christchurch City Mission, in collaboration with the Christchurch City Council and Central Government, is initiating an Emergency Accommodation project to provide housing and support to families as they transition to permanent homes. The Housing Accord signed by the Council and Government will support the provision of temporary, affordable and social housing over the next three years. The aim is to deliver an additional 700 social housing units in Christchurch. The Government s Housing Accord Fund ($75m) will also be used to develop housing on the Council owned sites of Welles Street and Colombo Street. 8

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