Sertoma, Inc. General Information Contact Information Nonprofit Sertoma, Inc. Address 1912 East Meyer Blvd Kansas City, MO 64132 Phone (816) 333-8300 Fax 816 333-4320 Website www.sertoma.org Facebook facebook.comsertomainc Twitter twitter.com/sertomahq Email infosertoma@sertomahq.org At A Glance Former Names How to donate, support, and volunteer Stand Alone Club Co-Operative Club Sertoma International Sertoma Foundation Mail, phone or make a donation online Matching gift Become a Friend Host or participate a CELEBRATE SOUND Don't Walk in Silence event Spread the Word (www.sertoma.org/getinvolved) Donate a Hearing Aid 1
Mission & Areas Served Statements Mission Statement Sertoma's mission is to connect those who are called to serve, with those who can't hear the call. We are enablers of improved quality of life through better hearing health. Background Statement The first official meeting of Co-Operative Club was held in 1912. Shortly after the name was changed to simply "Sertoma". Sertoma went international in 1946 when a club chartered in Ontario, Canada, followed by Mexico City and Puerto Rico. In 1960, the Sertoma Foundation was formed to strengthen the partnership between the international organization and the clubs. In 1963, Sertoma clubs were encouraged to pursue the national mission of helping those with hearing and speech disorders. In 2008, Sertoma International merged with Sertoma Foundation to become Sertoma, Inc. Today, Sertoma's focus is to assist those individuals with hearing health problems and to educate the public on hearing health. In order to achieve these goals, Sertoma has undertaken a multi-faceted approach by launching programs to address both the treatment and prevention aspects of hearing health. Sertoma's history continues to flourish as we celebrated the 100th anniversary in 2012. Impact Statement 2014-2015 Accomplishments: Over the past year, Sertoma has provided support and education through programs and mission activities. Sertoma has continued to fulfill the hearing health mission through Scholarships and Grants: the Communicative Disorders Scholarship, Hard of Hearing or Deaf Scholarship and Community Grant are awarded each year. Our A Sound Investment campaign is a high value effort to make hearing access as important as access for those who are visually and physically impaired. This effort has been received by many clubs wanting to advocate for those with hearing loss in their community. The launch of CELEBRATE SOUND Don t Walk in Silence, Sertoma s first national fund- and awarenessraising event, was created to help members, clubs, and National Affiliates promote hearing health in our communities. This past year, Sertoma had 27 events and raised over $182,000. As Sertoma progresses into its second century of service, a focus on who we are was launched. Storytelling will be a key concept as we move forward to spread awareness about Sertoma s service and philanthropy. The goal is to build on the concepts of quality, consistency, and desirability of the service we provide, and the Sertoma experience. These concepts are built upon through trainings for our leaders and members. 2015-2016 Goals: One of the main goals each year for Sertoma is raising money for the Annual Fund. Sertoma's Annual Fund goal this year is $260,000 in an effort to award more grants and scholarships, and continue to promote our mission activities. For the third year of CELEBRATE SOUND Don t Walk in Silence, our goals are to continue to have events throughout the United States. To increase the number of organizations that are part of our Adopt-an-Agency program; a network of 501(c)3 hearing health organizations. Sertoma Leadership Institute is a leadership development program with a goal of the Institute to provide opportunities throughout the year. A key focus is storytelling, so that all levels can tell there Sertoma story. Launch the National Hearing Aid Project through Hearing Charities of America, a wholly owned subsidiary of Sertoma. The project will provide low income individuals access to hearing assistive devices and related hearing health services that they cannot otherwise obtain due to cost. 2
Needs Statement Resources and funds to continue to expand our hearing health programs. 1.Looping demonstration kits 2.Funds for expansion of SAFEEars! in the Kansas City region (supplies, materials, and trainings) 3.Educational Brochures and Pamphlet 4.Hearing aid donations 5.Volunteers to help expand hearing aid collection centers in the Kansas City Region 6.Funds to support Scholarships and Grants Board Chair Statement Our nation is built upon a principle that the people are the best source for solutions to the needs in their communities. That is probably truer today than at our founding. The growth and complexity of our governments and institutions, has made our world more complex. We need people willing to serve and provide leadership to represent the voice of a community of its people. Sertoma has 100 years of developing and supporting community leadership, service, and philanthropy. Our vision for our 2nd Century is to create an organization where individuals who have a passion to lead and serve, find support, opportunity, and shared effort. Sertoma's mission focuses on hearing health as it cuts across all aspects of our community. From birth to old age, from the schoolroom to the boardroom, hearing impacts all our lives and especially the 40 percent of the population directly touched by hearing loss. It is an area where we can improve the quality of lives today, and into the future. It provides opportunities for those who want to advocate, educate, support, and lead. The ability to make a positive change in the lives of people today is the greatest reward, with the side benefit of increasing the energy and enthusiasm to provide service. At the end of the day, our efforts make us feel great about ourselves while helping others and improving our community. Service Categories Deaf/Hearing Impaired Centers, Services Areas of Service Areas Served Areas National 3
Programs Programs A Sound Investment Description In many ways, the world has been made accessible to all people through the Americans with Disabilities Act and other efforts. However, in some ways we have failed to make that access complete. For the millions of Americans using hearing assistive devices, the ability to hear in public facilities is limited. A Sound Investmentis a public awareness campaign with the goal to make the sounds through public address and amplified systems in public facilities readily accessible to those who use hearing assistive devices. Induction looping is a simple technology that allows hearing assistive devices to serve as wireless loudspeakers, delivering clear, sharp, customized sound right from inside the ears. Sertoma s A Sound Investment is a campaign to support induction looping by providing individuals with presentation materials, fundraising ideas, and information to contact installers. Category Human Services, General/Other Human Services, General/Other Population Served People/Families with of People with Physical Disabilities,, Short-Term Success Long- Term Success Program Success Monitored By Examples of Program Success The program s short-term success is measured by club support of the installation of looping systems in our communities. Club support is determined by giving a presentation, fundraising to loop a public venue, or a combination of awareness and direct support. The ultimate goal of the campaign is to improve access for hard of hearing and deaf individuals in our communities. This would mean all communities have a looped facility in which hard of hearing or deaf individuals can utilize. The success of A Sound Investment is measured by overall awareness. The number of inquiries received on a daily basis about resources, installers, and program materials are examples of success. People are getting the message, understanding there is a problem, and are working towards bringing the solution to their community. In the first two years of A Sound Investment, we are aware of 35 facilities that are looped. Over the course of the next couple of years Sertoma Clubs have continued to place loops across the country. 4
SAFEEars! Description Category SAFEEars! is an educational, awareness program to teach communities about how to protect our hearing. The program is designed to fit many different avenues and age groups, and most of all to help everyone learn about noise-induced hearing loss and how to prevent it. SAFEEars! can be done in collaboration with a hearing screening at elementary school, promoted as a message at a tractor pull, air race, or a health fair. Public, Society Benefit, General/Other Public, Society Benefit, General/Other Population Served US,, Short-Term Success Long- Term Success Program Success Monitored By Examples of Program Success The program s short-term success is measured by an increase in clubs and outside organizations participation in SAFEEars! both of which will results in increased awareness for hearing health in local communities. The ultimate measure of success for SAFEEars! is when the number of individuals with noise-induced hearing loss(nihl) has drastically decreased. It is inevitable that a small number of individuals will have NIHL as a result of their occupation or an accident; however, it is our hope that as a result of the program, NIHL will no longer affect 90 percent of individuals with hearing loss. The success of SAFEEars! is determined by; the number of orders placed for program supplies and the number of outside organizations inquiring about the program and ordering supplies. Out of the 400 Sertoma Club, 195 Clubs have ordered SAFEEars! kits and other materials. 89 of those clubs have placed multiple orders, as well as a large number of outside organizations. As a result, thousands of people have been informed about NIHL. 5
Hearing Charities of America Description Category Hearing Charities of America (HCOA) supports those who are deaf or hard of hearing through awareness, volunteerism and philanthropy. We provide resources for hearing professionals, manufacturers and individuals with hearing issues in the communities we serve. We do this through awareness programs, scholarships, Adopt-An-Agency, the National Hearing Aid Project and Friends chapters. These activities support Hearing Charities mission of commitment to communication in every community. Public, Society Benefit, General/Other Public, Society Benefit, General/Other Population Served US,, Short-Term Success Long- Term Success Program Success Monitored By Examples of Program Success The program s short-term success is measured by successful implementation of strategies to acquire and maintain Friends and donors within the fiscal year, building new Friends chapters, and working in conjunction with Sertoma to provide support to the mission activities. Hearing Charities of America (HCOA) supports those who are deaf or hard of hearing through awareness, volunteerism and philanthropy. We provide resources for hearing professionals, manufacturers and individuals with hearing issues in the communities we serve. We do this through awareness programs, scholarships, Adopt-An-Agency, the National Hearing Aid Project and Friends chapters. These activities support Hearing Charities mission of commitment to communication in every community. Success of Hearing Charities is measured by the overall support the organization provides to those impacted by speech and hearing disorders. Whether this be through SAFEEars!, A Sound Investment, scholarships, Adopt-An-Agency, Friends chapters, and our National Hearing Aid Project for low income individuals to get hearing aids. Currently have an established Friends Chapter in Ohio, which we previously did not have a presence in. The pilot Hearing Aid Bank was launched in the Fall of 2014 and has placed 200 hearing aids to low income individuals. The national launch of the Hearing Aid Project is to be completed in early 2016. 6
The National Hearing Aid Project Description The primary service of Hearing Charities of America (HCOA) is to provide access to and increase the availability of discounted or donated hearing devices and related products for individuals unable to afford hearing health services and related technology. It is the position of HCOA that the ability to hear is a need not a luxury, just as corrective glasses are required to be productive and safe. The National Hearing Aid Project (The Project) is an effort to provide low income individuals access to needed hearing assistive devices and related services that otherwise are not available due to cost. A partnership that aggregates the three key functions of the Project: screening and approval of applications, management of instrument/devices, finance and marketing. The Hearing Aid Bank launched a pilot program in the Fall of 2014 and will complete the national launch in early 2016. This effort has proven to be beyond the effective ability of any single agency. The Project exists as a coordinated effort of public and private organizations to create a framework that provides infrastructure, generates resources, and manages outcomes. The result will be a network of organizations and individual efforts resulting in a shared outcome. Category Public, Society Benefit, General/Other Public, Society Benefit, General/Other Population Served US,, Short-Term Success Long- Term Success Program Success Monitored By Examples of Program Success The Project s short-term success is to be measured by the number of individuals who received a hearing aid. The long-term success of this Project must include addressing the underlying cause and effect of hearing loss. There are three key components to the long term success of project: scholarships, grants and community awareness. A scholarship program to support those wanting to enter the hearing health profession, and education of those with hearing loss is critical. Funding generated from this effort will be used to provide both. The program is built with the understanding that no one organization or Project can address all the related issues of hearing loss. As we generate support from communities for the Project, we will need to support local organizations working on related hearing health outcomes, support will be provided through grants. In addition, growing awareness of hearing health will reduce the stigma often associated with hearing loss a stigma that prevents people from seeking treatment. Program success is to be monitored by the implementation and completion of the launch of the National Hearing Aid Project, successful development of networks of hearing health providers across the country, which will ultimately leverage efforts and resources. The pilot program has already placed 200 hearing aids. The Project is to be launched in early 2016; 2,000 hearing aids have already been donated to be utilized when the program launches. 7
CELEBRATE SOUND,Don t Walk in Silence Description A national fund- and awareness-raising event created to promote hearing health in our communities. Half of event proceeds support projects in your community; the other half help fund national hearing health mission projects such as scholarships, grants and public awareness campaigns. This premiere event is a turnkey fundraising project to help raise funds and awareness of Sertoma, our affiliates, and our hearing health mission. Category Public, Society Benefit, General/Other Public, Society Benefit, General/Other Population Served US,, Short-Term Success The short-term success is the number of events throughout the country, the amount fundraised for the local community and Sertoma/HCOA, but most importantly the awareness raised for hearing health and partners. Long- Term Success The long term success is determined by the number of communities reached, grants and scholarships awarded, and awareness raised for our Affiliates and hearing health mission. Program Success Monitored By Program success is monitored through the number of events throughout the country, the number of participants, and the amount fundraised. Examples of Program Success This past year Sertoma had 27 events and raised over $182,000. CEO Comments Much as we are looking at a broader set of relationships to make our work possible, there must also be a broad range of programs and services to serve the needs of each community. Though we do not expect to have the full coverage of all aspects of hearing health in all communities we do believe that such options must exist. Our programs support each other, and interface with other programs and efforts. The goal is to create fluid boundaries between programs and organizations to focus on outcomes not ownership. This is clearly the design of our evolving model for a service to develop a hearing aid bank. Though we believe that this concept of open programming provides greater opportunity for growth of outcomes, the challenge is existing business models in the not-for-profit community. How does one create the revenue streams required to operate and function, if the programs and services are not proprietary? We need to increase the outcome of collaboration/partnership within the sector, by addressing the issues of control of product (program/services) and revenue generation and distribution. Our developing strategy for providing low-income families access to hearing health care is an example. Our goal is not to create a single organization that provides such a service. Instead, strategic partnerships focus the efforts of existing programs toward a single defined set of outcomes. The intent is that by sharing a common outcome, organizations and communities will benefit from an increase in awareness, human and financial resources. 8
Leadership & Staff Executive Director/CEO Executive Director Steven Murphy Term Start Apr 2001 Email smurphy@sertomahq.org Experience Steven Murphy joined Sertoma, Inc. as Executive Director in 2001. Steve holds an MPA in Organizational Behavior and Non-Profit Management from the University of Missouri-Kansas City. In addition to his duties at Sertoma, Steve is also the founding executive of Hearing Charities of America, a subsidiary founded in 2008 by Sertoma as a means to expand its hearing health mission through new delivery systems and audiences. Prior to joining Sertoma, Steve spent five years as Director of Development at Pembroke Hill School in Kansas City and served as Director of Development for Camp Fire Boys and Girls. Steve began his nonprofit career in the early '80s as the Director of Development for the Missouri Repertory Theatre. Steve has served on numerous boards and committees with a focus on youth issues and neighborhood redevelopment. In addition to his work with the IS Membership Committee, he is currently volunteering to provide the Junior Achievement program to a second grade class. Senior Staff Amy Ellington Title Director of Finance Holly Walls Title Director of Mission Activities/COO Staff Paid Full-Time Staff 9 Paid Part- Time Staff 0 Volunteers 9701 Retention Rate 80% Paid Contractors 2 Formal Evaluations CEO Formal Evaluation CEO/Executive Formal Evaluation Frequency Senior Management Formal Evaluation Senior Management Formal Evaluation Frequency NonManagement Formal Evaluation Non Management Formal Evaluation Frequency Annually Annually Annually Plans & Policies 9
Organization Has a Fundraising Plan Organization Has a Strategic Plan Management Succession Plan Organization Policy and Procedures Nondiscrimination Policy Whistleblower Policy Document Destruction Policy No Collaborations New Jersey Division of Deaf and Hard of Hearing Oticon, Inc. American Speech-Language-Hearing Association (ASHA) American Academy of Audiology (AAA) Hearing Loss Association of America (HLAA) HearingLoop.org Independent Sector Kansas University Medical Center-Department of Speech & Hearing Montclair University Awards Awards Award/Recognition Organization Year Distinguished Service Award NSSLHA Loves Campaign Recipient American Speech-Language- Hearing Association National Student Speech Language Hearing Association (NSSLHA) 1985 2015 Government Licenses Is your organization licensed by the government? No 10
Board & Governance Board Chair Board Chair Debra Larsen Company Affiliation Community Volunteer Term July 2015 to June 2016 Board Members Name Don Bartelmay Steve Brodie Cheryl Cherny Darryl Ching Edwin Dlugopolski Beatrice Gabany Vicki Highstreet Debra Larsen Pat McArdle Marty McCaslin Steven Murphy Joy Newman Gretchen Nielsen Dale Robinson Kay Telford Renee Ward Affiliation Retired Retired Military SouthSTAR Services University of Nebraska Multek Flexible Circuits, Inc. State of Nebraska Community Volunteer Sertoma, Inc. Community Volunteer Retired Audiologist Scott Conference Center Board Demographics - Ethnicity African American/Black 0 Asian American/Pacific Islander 0 Caucasian 16 Hispanic/Latino 0 Native American/American Indian 0 Other 0 Board Demographics - Gender Male 8 Female 8 Unspecified 0 Governance 11
Board Term Lengths 3 Board Term Limits 1 Board Meeting Attendance % 100% Written Board Selection Criteria? Written Conflict of Interest Policy? Percentage Making Monetary Contributions 100% Percentage Making In-Kind Contributions 0% Constituency Includes Client Representation Number of Full Board Meetings Annually 3 Standing Committees Finance Board Governance Strategic Planning / Strategic Direction Executive CEO Comments By tradition, Sertoma has a politically elected board that is composed of and elected by the members. Board members are either elected by all the members (for officers and at-large) or members from a geographic area. Though an informal recruitment process does allow the Board to encourage quality participation, it is a limited ability. As a membership organization there is an assumption that the Board represents the members. To address the needs for broader representation in leadership roles was one of outcomes of creating HCOA. The board of HCOA, as a controlled subsidiary does have some shared positions with the Sertoma board. The majority of the HCOA board positions are self-sustaining in that the board identifies and recruits, to provide representation of the communities we serve. This includes a wider range of age, race, gender, people with hearing loss, and professionals in the field of hearing health. HCOA controls the program and service development activities so we focus on that board being representative of those activities. Working jointly, we believe these two boards provide us a reasonable balance of representation. 12
Financials Fiscal Year Fiscal Year Start July 01, 2015 Fiscal Year End June 30, 2016 Projected Revenue $1,496,409.00 Projected Expenses $1,496,409.00 Endowment Value $10,041,522.00 Spending Policy Percentage Percentage 4% Detailed Financials Revenue and Expenses Fiscal Year 2015 2014 2013 Total Revenue $2,252,781 $2,967,880 $2,927,923 Total Expenses $1,955,461 $2,181,317 $2,085,745 Revenue Sources Fiscal Year 2015 2014 2013 Foundation and Corporation $407,333 $547,674 $510,425 Contributions Government Contributions $0 $0 $0 Federal -- $0 $0 State -- $0 $0 Local -- $0 $0 Unspecified $0 $0 $0 Individual Contributions -- $0 $0 Indirect Public Support $0 $0 $0 Earned Revenue $1,046,415 $1,112,736 $1,208,393 Investment Income, Net of Losses $686,882 $1,195,286 $1,076,703 Membership Dues $0 $0 $0 Special Events $0 $0 $0 Revenue In-Kind $0 $0 $0 Other $112,151 $112,184 $132,402 13
Expense Allocation Fiscal Year 2015 2014 2013 Program Expense $1,453,367 $1,624,789 $1,559,578 Administration Expense $341,693 $369,283 $374,143 Fundraising Expense $160,401 $187,245 $152,024 Payments to Affiliates -- $0 $0 Total Revenue/Total Expenses 1.15 1.36 1.40 Program Expense/Total Expenses 74% 74% 75% Fundraising Expense/Contributed Revenue 39% 34% 30% Assets and Liabilities Fiscal Year 2015 2014 2013 Total Assets $13,275,656 $13,186,325 $11,926,859 Current Assets $2,118,043 $1,315,098 $1,384,433 Long-Term Liabilities $67,621 $52,574 $55,818 Current Liabilities $143,109 $145,238 $178,085 Total Net Assets $13,064,926 $12,988,513 $11,692,956 Short Term Solvency Fiscal Year 2015 2014 2013 Current Ratio: Current Assets/Current Liabilities 14.80 9.05 7.77 Long Term Solvency Fiscal Year 2015 2014 2013 Long-Term Liabilities/Total Assets 1% 0% 0% Top Funding Sources Fiscal Year 2015 2014 2013 Top Funding Source & Dollar Amount Oticon Inc. $13,000 Sacramento Valley -- Sertoma Club $25,100 Second Highest Funding Source & Dollar The Tampa Tribune Individual Donor -- Amount $5,758 $21,083 Third Highest Funding Source & Dollar Amount -- Sundowners Sertoma Club $13,777 -- Capital Campaign Currently in a Capital Campaign? No Goal $0.00 Capital Campaign Anticipated in Next 5 Years? No Organization Comments We are fortunate that we have been able to retrain a strong balance sheet throughout the past decade. A combination of cost controls as well as targeted use of funds has allowed us to improve our support of the organization, while making critical investments in the future. One of the challenges is that we are in the process of changing our reliance on dues into a more balanced/distributed funding stream. This includes more aggressive fundraising and expanding relationship opportunities beyond traditional membership. As we expand our direct service role through partnerships such as the hearing aid banks, we may see some inflow from program related fees, but at this time, those are not included in financial plans. There is a limit to our ability to address increasing the outcomes of our programs without some increase in cash flow. The positive is that the majority of those cash flow requirements will increase direct service/outcomes. Sertoma and HCOA have made commitments from existing revenues and reserves to fund the start of these 14
efforts. From those investments, we have created a new fundraiser that is in its initial year. This turnkey project is a variation on the traditional walk event, and to date we have 11 committed sites around the country. This program is open to support any local hearing health program, not just Sertoma or HCOA, though a portion of proceeds from each event does share revenue to support the national program strategies. For a small organization, we are fortunate to have an endowment. Though not a portion of general operations or program implementation budget, it has provided the funding for much of the program investments. This includes the development costs of programs, training /support (volunteer and leadership development), and related support activities. These benefits remain in place as long as we have reasonable markets, but as was the case in 2008, market conditions can limit or even freeze distributions. Foundation Comments FYE 6/30/2015, 2014, 2013: Financial data reported using IRS Form 990. Foundation/corporation revenue line may include contributions from individuals. Created 07.01.2016. Copyright 2016 Greater Kansas City Community Foundation 15