EVANGEL HALL MISSION Sector

EVANGEL HALL MISSION 552 Adelaide Street W Toronto, ON M5V 3W8 Executive Director: Joseph Taylor Board President: Abel Pandy Sector: Homeless - Drop-In Website: www.evangelhall.ca Operating Charity Charitable Reg. #: 11890 3129 RR0001

About Evangel Hall Mission: Since 1913, Evangel Hall Mission (ehm) has offered support Financial Transparency and help through its drop-in programs, support services, housing, and outreach programs to the temporarily or chronically homeless and jobless in Metropolitan Toronto. Audited financial statements for current In 2006, ehm moved into its new facility and increased its space by almost 10 fold. It and previous years available on the expanded the number of clients it serves by 40% as well as increasing the breadth of its charity's website support services. Every day, ehm will feed, clothe, and find shelter for up to 200 men and Program Cost Coverage women. Evangel Hall has proactive after-school and in-school programs to work with children and youth to help ensure they stay at school. In 2009, it established the ehm Health and Dental Clinic for homeless and low-income people, and last year the Clinic cared for 1,100 individuals. The demand for dental care is high and expansion is limited by their ability to find dental professionals to volunteer their services, as well as the financial resources to support additional clinic hours. Financial Review: Administrative costs are 11% of revenues, with fundraising costs repre- Funding Program senting 5% of donations in F2011. Funding reserves are -$4.5m because of a $3.4m Reserves Costs mortgage and a $1.9m loan from the City of Toronto. If we exclude the mortgage debts, the charity would have program cost coverage of 49%.. Spending Breakdown

Financial Ratios Fiscal year ending October 31st 2011 2010 2009 Administrative costs as % of revenues 10.6% 9.8% 10.3% Fundraising costs as % of donations 5.3% 5.0% 4.5% Program cost coverage (%) (276.5%) (278.4%) (253.1%)

Summary Financial Statements All figures in $s 2011 2010 2009 Donations 1,642,287 1,467,012 1,538,826 Full-time Staff # 16 Government funding 214,357 204,340 161,518 Avg. Compensation $61,022 Fees for service 231,061 210,798 189,890 Top 10 Staff Salary Range Special events & other 201,394 183,325 145,858 $350k + Investment income 16,619 54,170 49,106 $300k-$350k Total revenues 2,305,718 2,119,645 2,085,198 $250k-$300k $200k-$250k Program costs 1,630,420 1,613,039 1,659,968 $160k-$200k Administrative costs 242,148 203,370 210,143 $120k-$160k Fundraising costs 97,316 82,173 75,887 $80k-$120k 1 Bank And Other Charges 277,595 284,349 297,625 $40k-$80k 9 Cash flow from operations 67,042 (63,286) (158,425) < $40k Funding reserves (4,508,140) (4,490,603) (4,201,141) Information from most recent CRA Charities Directorate filings for F2011 Note: Ci has included deferred donations, decreasing revenue by $9k in F2011, increasing revenues by $211k in F2010, and decresing renues by $27k in F2009. Also, Ci has reversed unrealized gains (losses) from securities from revenue, increasing revenue by $2k in F2011, decreasing revenue by $8k in F2010, and decreasing revenue by $89k in F2009.

The information in this report was prepared by Charity Intelligence Canada and its independent analysts. Factual material information is obtained from the charitable agency and reliable sources. Information may be available to Charity Intelligence Canada or its analysts that is not reflected in this report. Charity Intelligence Canada and its analysts have made endeavours to ensure that the data in this report is accurate and complete, but accept no liability. 51

EVANGEL HALL MISSION History: Evangel Hall Mission was Year ending October 31st founded by a minister who wanted a Program Data 2011 2010 2009 place where support could be Program costs 1,630,420 1,613,039 1,659,968 offered to the needy. It opened in Program hours 230,940 221,050 221,050 1913 as a soup kitchen. While Total volunteers 1,500 1,500 1,500 continuing to offer a hot meal Volunteer hours 27,526 26,360 26,038 through its drop-in centre, ehm has Volunteer turnover rate (%) 10%-15% 10%-15% 15% expanded substantially to meet the Clients served 1,791 1,620 1,545 needs of the long-term homeless. Program hours / client 129 136 143 The organization has stayed true to Program costs / hour 7.06 7.30 7.51 its original goal of providing the Program costs / client 910 996 1,074 support needed for its clients with a focus on dignity and community. Charity Analysis 2011 2010 2009 Management: Five key individuals, Revenues (less interest income) 2,289,099 2,065,475 2,036,092 both staff and board members, drive Value of donated time 412,890 390,000 390,570 results at ehm, and have a combined Donated goods and services - - - approximate 100 years of sector Charity value 2,701,989 2,455,475 2,426,662 experience. Two ehm board Administrative costs 9% 8% 9% members recently stepped down. (as % of charity value) They have replaced one, and are Local support ($) 2,487,632 2,251,135 2,265,144 hoping to replace the other this fall. Community size (population) 2,615,060 2,592,312 2,569,762 Community ownership $0.95 $0.87 $0.88 (local support $ / pop.)

Social Results: ehm provides housing for 110 homeless people in 84 housing units on site, as well as six acquired brain injury clients. Its housing coordinator helps about 250 homeless, or at risk of becoming homeless, clients find affordable housing each year. ehm considers a housing placement successful if the client settles in the recommended housing for at least six months. Within the ehm residence, 40% of the clients are working or involved in some type of training. Roughly 155 clients use ehm’s drop-in daily, and programs include AA and NA programs as well as after-school programs for children starting in grade four. ehm served approximately 100,000 meals in F2011, which is similar to last year. In F2011, 100% of the graduating students from their Transit for Teens program were accepted into college or university programs. About one third of the ehm drop-in clients are women. Last year, 15,000 articles of clothing were donated through ehm, and ehm provided 1,320 emergency shelter bed nights. Community Need: The lack of adequate supply of long-term affordable housing in Toronto remains a key issue for ehm and this sector; ehm is running at full capacity and cannot take many more clients. Funding Need: The operational costs of the health and dental clinic require $85k annually to operate and the drop-in centre requires over $300k. ehm also needs money for more medical and dental supplies and to hire more staff for their programs. Investment Highlights: Despite ehm’s financial pressures, they have increased their program hours and clients served from 1,620 to 1,791 in F2011. ehm has a program cost per client of $910, down 9% from F2010. ehm still provides a comprehensive assortment of services to support its clients to make a transition to a more stable housing situation, as well as providing a safe and inclusive community. ehm’s dental program was able to serve a much greater number of clients due to more dental volunteers. Investment Risks: ehm has debt of $1.9m from the city of Toronto that they were hoping would be a grant, but it appears they will have to start servicing that debt. ehm still does not have stable long-term financing and the City of Toronto has recently frozen funding for many social programs, increasing ehm’s reliance on donations.

John Grandy, CFA ([email protected]), Arun Lamba ([email protected]) August 9, 2012

FRESH START RECOVERY CENTRE 411-41 Avenue N. E. Calgary, AB T2E 2N4 Executive Director: Stacey Petersen Board Chair: David Turner Sector: Homeless - Addiction & Mental Health Website: www.freshstartrecovery.ca Operating Charity Charitable Reg. #: 13672 0737 RR0001

About Fresh Start Recovery Centre: Fresh Start (FS) provides treatment and support to Financial Transparency men with addictions through a recovery continuum of effective programs, so they can learn to live clean and sober for life. Audited financial statements for current FS offers a 9-16 week abstinence-based residential and day program anchored in the AA and previous years available on the 12-step recovery model. It's a highly-structured program with curfews, chores, and medi- charity's website tation on top of its basic treatment regime, providing progress testing, individual and Program Cost Coverage group counselling, as well as financial and family reintegration. FS added a 5-week Family Healing Program in 2011 to support any family in Southern Alberta struggling with addiction. In 2011, 58 Fresh Start alumni celebrated their first year milestones in recovery, marking 365 days of continuous sobriety. FS had the grand opening of its new 50-bed treatment centre on June 15, 2012, and also gained additional 2nd-stage housing; these facilities combined will allow them to house, treat and support 253 men each year, and help many more addicts and families through their extended programs. Funding Program Financial Review: In F2011, FS's administrative costs were 2% of revenues and fundraising Reserves Costs costs were 1% of donations. Funding reserves cover only 24% of its annual program costs. In F2011, regular donations fell by 14% to $560k; however, funding from the Calgary Spending Breakdown Homeless Foundation for the "Keys to Recovery" program grew from $523k to $1,358k. This program has now become the largest part of FS's activities.

Financial Ratios Fiscal year ending December 31st 2011 2010 2009 Administrative costs as % of revenues 1.5% 1.6% 3.0% Fundraising costs as % of donations 1.3% 0.9% 2.8% Program cost coverage (%) 24.2% 51.2% 6.4%

Summary Financial Statements Full-time Staff # 24 All figures in $s 2011 2010 2009 Avg. Compensation $28,588 Donations 3,060,213 1,467,223 822,877 Top 10 Staff Salary Range Government funding 1,418,833 2,796,292 1,033,006 $350k + Fees for service 490,004 474,692 501,941 $300k-$350k Total revenues 4,969,050 4,738,208 2,357,824 $250k-$300k Program costs 2,302,014 1,177,920 720,670 $200k-$250k Administrative costs 73,366 74,656 67,413 $160k-$200k $120k-$160k Fundraising costs 40,316 13,871 23,429 $80k-$120k 3 Cash flow from operations 2,553,354 3,471,761 1,542,339 $40k-$80k 7 Funding reserves 556,042 603,548 46,081 < $40k Information from most recent CRA Note: Government funding includes capital funding for new facility of $1.4m in F2011, $2.8m in F2010 and $1.0m in Charities Directorate filings for F2011 F2009. Donations include capital funding from donors of $1.1m in F2011, $105k in F2010, and $13k in F2009.

FRESH START RECOVERY CENTRE History: Originally founded in 1992 as Year ending December 31st CLASP, the co-ed drug and alcohol Program Data 2011 2010 2009 rehabilitation centre officially changed Program costs 2,302,014 1,177,920 720,670 its denominational name to Fresh Start Program hours 442,161 417,316 375,596R in 1996. Total volunteers 318 385 369 Management: Management brings Volunteer hours 16,879 17,316 14,422 multiple years of professional and Volunteer turnover rate (%) n/a n/a 50% personal experience in addiction Clients served 409 310 159 recovery. FS’s staff has over 230 years Program hours / client 1,081 1,346 2,362 of active recovery experience. FS has Program costs / hour 5.21 2.82 1.92 a new board chair, David Turner and a Program costs / client 5,628 3,800 4,533 new Treasurer, Bruce Wilson. Both were previously on the board. Charity Analysis 2011 2010 2009 Revenues (less interest income) 4,969,050 4,738,208 2,357,824 Value of donated time 253,185 259,740 216,330 Donated goods and services - - - Charity value 5,222,235 4,997,948 2,574,154 Administrative costs 1% 1% 3% (as % of charity value) Local support ($) 3,803,402 2,201,655 1,541,148 Community size (population) 1,096,833 1,074,189 1,052,013 Community ownership $3.47 $2.05 $1.46 (local support $ / pop.)

Social Results: FS achieved a 46% success rate for men who completed treatment in F2010 and celebrated a year of post- treatment sobriety in 2011. This result is up from 44% last year and 41% in F2009. FS’s success rate is more than four times the industry average of 5-10%. FS’s results are noteworthy as almost any man can qualify to enter its program. In F2011, 73 or 92% of people completed the residential program and 29 or 63% completed the day program. Community Need: In F2011, FS’s facilities were at 100% capacity with 187 men on waitlists for residential service over the entire year. Despite the continued wait list, FS has never turned away a client due to an inability to pay. Funding Need: FS needs an additional $1.5m to fund the financing it took to complete its new residence. Donations from individuals and corporations as well as government funding are expected to cover this cost. The new facility is 40,000 sq. ft., compared with the previous residence which was only 6,700 sq. ft. Otherwise, FS is focused on funding for program creation and enhancing the following areas: Physical Fitness/Wellness ($90k), Creative and Spiritual Exploration and Expression ($180k), Family Healing Program ($50k) and their Alumni program ($25k). Investment Highlights: FS is run by staff who have personal experience with addiction and successful recovery. About 20% of former clients volunteer at FS. With the opening of its new building, FS increased its capacity from 28 to 50 beds for its Phase 1 residence and added 14 beds to its Phase 2 capacity. FS also hired 8 additional staff and have cut their client waiting list in half to now average about 30 men, versus 60-70 a year ago. FS is collaborative with community agencies and is a partner in Calgary’s 10-year plan to end homelessness. FS holds weekly meetings for over 150 alumni offering continued support, and celebrating sobriety. FS’s funding is diverse with 71% of total funding coming from donors. Donor funds are even more critical for program funding with less than 2% of funds coming from government. Investment Risks: FS’s capacity for expansion remains the primary risk at this time. Although FS’s new building is complete and demand is robust, there is transition risk. Furthermore, FS’s current Program Cost Coverage is low at 24%.

John Grandy, CFA ([email protected]), Arun Lamba ([email protected]) July 18, 2012

INN FROM THE COLD SOCIETY Suite 106, 110-11 Avenue SE Calgary, AB T2G 0X5 Executive Director: Linda McLean Board Chair: Chris Moser Sector: Homeless - Shelter Website: www.innfromthecold.org Operating Charity Charitable Reg. #: 87082 2364 RR0001

About Inn from the Cold Society: In 1997, a church first opened its door to provide shelter Financial Transparency and hope to Calgary's homeless families and others in need. Since then, an ever-growing number of interdenominational churches, synagogues, and community associations have Audited financial statements for current joined in on an as-needed basis, to provide emergency and crisis shelter to Calgary's and previous years available on the homeless families. In July 2008, Inn from the Cold (IFTC) purchased Centre 110, creating charity's website Calgary's first emergency family shelter. Program Cost Coverage IFTC's temporary emergency shelter program consists of 65 Community Inns with over 2,700 active volunteers, and operates on a rotating basis, 365 days a year. Guests are screened for drug and alcohol use, and those who are known to be under the influence or suffering from severe mental illness are referred to other agencies. They offer two shelter options: Emergency Family Shelter and temporary emergency shelter at the Community Inns. This is coupled with outreach, advocacy and on-site multi-agency programming, which provides 42 diverse programs and support services focused on securing proper, permanent housing for families as soon as possible. In 2011, IFTC provided 10,741 beds Funding Program Reserves Costs and 54,620 meals through its Community Inn program. Financial Review: Administrative costs are 13% of revenues with fundraising costs repre- Spending Breakdown senting 16% of donations. IFTC has funding reserves to cover 100% of program costs.

Financial Ratios Fiscal year ending December 31st 2011 2010 2009 Administrative costs as % of revenues 12.7% 10.1% 10.6% Fundraising costs as % of donations 16.3% 13.6% 13.7% Program cost coverage (%) 100.3% 65.7% (49.9%)

Summary Financial Statements All figures in $s 2011 2010 2009 Full-time Staff # 28 Donations 2,529,538 3,306,028 2,241,887 Avg. Compensation $46,462 Government funding 1,729,367 1,463,836 832,906 Top 10 Staff Salary Range Fees for service 336,000 336,000 15,000 $350k + Business activities (net) 0 72,509 76,500 $300k-$350k Investment income 27,384 13,827 8,251 $250k-$300k Total revenues 4,622,289 5,192,200 3,174,544 $200k-$250k $160k-$200k Program costs 2,357,196 1,920,430 1,686,576 $120k-$160k Administrative costs 564,314 513,535 327,076 $80k-$120k Fundraising costs 384,816 436,409 293,805 $40k-$80k 8 Bank And Other Charges 34,660 78,203 80,505 < $40k 1 Cash flow from operations 1,281,303 2,243,622 786,582 Information from most recent CRA Charities Directorate filings for F2010 Funding reserves 2,363,206 1,262,512 (841,066)

Note: To reflect the period in which contributions were received, Ci reversed deferred revenue, which affected revenues by: ($331k) in F2011, ($257k) in F2010, and ($198k) in F2009.

INN FROM THE COLD SOCIETY History: John Robson was on the Year ending December 31st streets, in jails, and an addict; he saw Program Data 2011 2010 2009 what the streets dished out. In a Program costs 2,357,196 1,920,430 1,686,576 bitter cold winter of 1996/97, Program hours 134,765 108,590 97,050 members of a number of downtown Total volunteers 2,790 3,208 6,867 churches in Calgary met together to Volunteer hours 72,859 72,000 73,340 respond to the homeless freezing on Volunteer turnover rate (%) n/a n/a n/a the streets. Robson banded together Clients served 10,203 13,040 11,395 with them in 1997 to form an organi- Program hours / client 13 8 9 zation that would provide homeless Program costs / hour 17.49 17.69 17.38 people a safe place to stay. In 2008, Program costs / client 231 147 148 IFTC purchased Centre 110, creating Calgary’s first emergency family shelter. Charity Analysis 2011 2010 2009 Revenues (less interest income) 4,427,452 5,071,605 3,074,542 Management: The IFTC Executive Value of donated time 1,092,885 1,080,000 1,115,100 Director left in April 2012 and a new Donated goods and services 1 6 7 , 4 5 3 106,767 91,751 ED, Linda McLean, was hired in Oct. Charity value 5,687,790 6,258,372 4,281,393 2012. The board has been together Administrative costs 10% 10% 10% for over seven years now, and a (as % of charity value) succession plan is in place. Local support ($) 3,958,423 4,722,028 3,356,987 Community size (population) 1,367,386 1,335,417 1,304,194 Community ownership $2.89 $3.54 $2.57 (local support $ / pop.)

Social Results: 219 unique IFTC families transitioned out of homelessness and found appropriate, sustainable housing in the community. In 2011, IFTC built upon the success of its prevention program and through participation in the Floating Outreach Program, and kept 267 families who were at risk of entering the shelter system in their homes. In F2011, 144 (50%) families that stayed in a shelter spent less than 14 nights there before transitioning out of the emergency shelter. 134 families secured a housing lease after intake and 37 families secured housing within 15 days. Community Need: Demand in 2011 increased significantly as IFTC was at (or over) capacity for 159 days. All reports are that homelessness continues to grow in Calgary. Funding Need: IFTC has started renovations to complete kitchen upgrades, renovate the shelter’s front entrance to be accessible, upgrade the HVAC system, and install a new roof. Due to high demand, IFTC would like to double its prevention programs, and would like to be able to create additional affordable family housing options in Calgary, along with expanding its Floating Outreach Program. Investment Highlights: IFTC has recently gone through an accreditation process with the Calgary Homeless Foundation to be able to more accurately track its data and have better traceability of its funds. A new assessment tool called “Outcomes Star” will track improvements of its clients. The tool will also assist IFTC to address the guests who need the most assistance. IFTC avoids duplication of services and increases access to keep families housed. IFTC recently launched an intensive 3-month program to integrate aboriginal families into community urban living. The program had 33 partici- pants; results exceeded expectations. IFTC fully paid off its mortgage in 2011. Investment Risks: IFTC has seen an influx of families as clients, who are entering Calgary. IFTC will require added support and services from the community to meet the demand as it has operated at or over capacity every day in 2012.

John Grandy, CFA ([email protected]), Arun Lamba ([email protected]) July 9, 2012

RED DOOR SHELTER 21 Carlaw Avenue Toronto, ON M4M 2R6 Executive Director: Bernnitta Hawkins Board Chair: Barbara Campbell Sector: Homeless - Shelter Website: www.reddoorshelter.ca Operating Charity Charitable Reg. #: 11930 3287 RR0001

About Red Door Shelter: The Red Door Family Shelter (RDFS) runs two shelters with 156 Financial Transparency beds, providing safe, supportive, 24/7 temporary housing, that share in accommodating women and families. RDFS served 553 families in F2012: 45% of clients are fleeing abuse Audited financial statements for current at home, 29% face eviction and other housing crises, and 26% are newly-arrived refugee and previous years available on the claimants. They are primarily referred from Toronto social service agencies, the city's charity's website Central Intake System, or through word of mouth. The RDFS provides necessary services Program Cost Coverage and counselling for the individual or the whole family in addition to emergency housing, and continues to provide support services to clients after they move out of the shelter. The RDFS helps its clients to establish a stable life beyond the shelter, finding permanent housing, skills training and ongoing case management. Individual circumstances and needs determine the length of stay at the Red Door. Financial Review: Administrative costs are 9% of total revenue with fundraising costs representing 1% of donations. In F2012, RDFS had positive program cost coverage of 1% because of an outstanding mortgage of $342k; excluding the mortgage, the ratio would Funding Program Reserves Costs be 9%. Donations provide 8% of funding with most of the balance coming from the City of Toronto. RDFS believes that the City's funding for shelters will remain stable. In F2012, Spending Breakdown RDFS changed auditors; they believe the new auditors are providing better service. No issues of concern were identified by either the previous or the new auditors.

Financial Ratios Fiscal year ending March 31st 2012 2011 2010 Administrative costs as % of revenues 9.0% 11.3% 8.5% Fundraising costs as % of donations 1.4% 3.8% 10.0% Program cost coverage (%) 1.3% 0.3% (3.7%)

Summary Financial Statements All figures in $000s 2012 2011 2010 Full-time Staff # 66 Donations 424 501 266 Avg. Compensation $40,289 Government funding 4,968 5,009 4,884 Top 10 Staff Salary Range Special events & other 23 34 9 $350k + Investment income 3 0 2 $300k-$350k Total revenues 5,417 5,543 5,161 $250k-$300k $200k-$250k Program costs 4,766 4,544 4,570 $160k-$200k Administrative costs 486 624 438 $120k-$160k Fundraising costs 6 21 27 $80k-$120k 1 Other costs 15 16 17 $40k-$80k 9 Cash flow from operations 144 338 108 < $40k Information from most recent CRA Funding reserves 61 12 (167) Charities Directorate filings for F2012

Note: Ci has included deferred donations decreasing revenue by $25kin F2012, increasing revenue by $159k in F2011, and decreasing revenue by $45k in F2010.

RED DOOR SHELTER History: RDFS began as a program of Year ending March 31st the WoodGreen United Church in Program Data 2012 2011 2010 1982. Initially, they served young Program costs 4,765,757 4,544,457 4,570,319 homeless men, but due to welfare Program hours 500,500 51,942 44,884 cuts, the needs of women experi- Total volunteers 100 142 85 encing homelessness and facing Volunteer hours 4,592 2,453 1,443 domestic violence became larger, so Volunteer turnover rate (%) n/a n/a n/a they shifted focus to helping women Clients served 1,278 787 1,325 and children. Program hours / client 392 66 34 Management: Including Bernitta Program costs / hour 10 87 102 Hawkins, Executive Director, three Program costs / client 3,729 5,774 3,449 key management staff have 50+ years of combined experience in the Charity Analysis 2012 2011 2010 sector. Succession plans exist for the Revenues (less interest income) 5,414,087 5,543,306 5,159,016 ED and the board of directors. Value of donated time 68,880 36,788 21,645 Donated goods and services - - - Charity value 5,482,967 5,580,094 5,180,661 Administrative costs 9% 11% 8% (as % of charity value) Local support ($) 3,499,153 3,475,177 3,159,717 Community size (population) 2,638,008 2,615,060 2,592,312 Community ownership $1.31 $1.33 $1.22 (local support $ / pop.)

Social Results: In F2012, the RDFS assisted 1,278 individuals and provided shelter to 348 children. RDFS provided 280 families with emergency housing and related support services. Also, they assisted 273 families living in the community with the supports they needed to remain housed. RDFS assisted 35 families to find subsidized rental housing and 82 families to find private market rental housing. 176 unique families accessed the RDFS food bank and distributed more than 100,000 lbs. of food and grocery vouchers. Community Need: RDFS has seen an increase in people coming due to evictions and other housing crises. RDFS has served fewer clients over the past few years as clients have been forced to stay at the shelter longer (4-6 months rather than 2-3 months). The shelters have been full for the past three years (97% usage) due to the long wait list for affordable housing in Toronto. The majority of RDFS families move into private market rental housing and are paying on average 67% of their income on rent. This means they are still at risk of being homeless. Funding Need: RDFS recently entered into an agreement to build and develop a new shelter on Queen Street. They are having a capital campaign over the next 10 years to raise the remaining 75% or $4.7m of funding required for this building (total cost is $6.25m). The charity plans to hire a professional fundraising firm for this campaign. While RDFS believes funding for its shelter services is secure, it would like to have additional funds for program support. Investment Highlights: Red Door is excellent at providing outreach support once a family moves out of the shelter, staying involved with a family for as long as needed – this is uncommon for the sector. As such, RDFS excels at meeting the ongoing needs of its clients. Since typically over 50% of its residents are children, RDFS offers extensive child and youth programming to support the children during this housing transition. Investment Risks: RDFS’s current program cost coverage is low at 9% (excluding the mortgage) and it needs to operate at 97% occupancy to break even in any given year. Although an agreement has been made for their new shelter, they still need to recover their predevelopment expenses, which have been paid out of its cash flow.

John Grandy, CFA ([email protected]), Arun Lamba ([email protected]) August 27, 2012

SALVATION ARMY GATEWAY 107 Jarvis Street Toronto, ON M5C 2H4 Executive Director: Dion Oxford Board Chair: Brian Peddle Sector: Homeless - Shelter & Drop-In Website: www.thegateway.ca Operating Charity Charitable Reg. #: 10795 1618 RR0001

About Salvation Army Gateway: The Salvation Army Gateway (TSAG) is a men's shelter Financial Transparency and unisex drop-in centre for adults in the downtown core of Toronto. TSAG provides everything from emergency needs to a comprehensive case management program that Audited financial statements available works alongside abstinent homeless people on their journey out of the shelter system to only upon request becoming contributing members of the community. Open 24/7, TSAG shelter has a drop- in, health care clinic with a nurse and a physician, life skills groups, laundry facilities, Program Cost Coverage chaplaincy, addictions counselling and support groups, recreational activities, and computer/web access for its clients to do housing and job searches. TSAG operates Gateway Linens, a social enterprise that provides employment, training, and assistance with personal financial management to eight of its homeless clients per year. It's a community-based model of assistance to those who are chronically homeless and have difficulty accessing day-to-day service needs.

Financial Review: TSAG is highly efficient, with administrative costs at 4% of revenues and Funding Program no reported fundraising costs. TSAG has a substantial funding need with funding reserves Reserves Costs covering only 10% of annual program costs. Donations and grants from Salvation Army Spending Breakdown HQ provide 15% of revenues and the Gateway Linens program 11%. The balance of funding comes from the City of Toronto. Revenues have increased modestly in each of the last three years; however, City funding is now frozen.

Financial Ratios Fiscal year ending March 31st 2012 2011 2010 Administrative costs as % of revenues 3.9% 3.7% 3.7% Fundraising costs as % of donations 0.0% 0.0% 0.0% Program cost coverage (%) 10.3% 14.1% 13.6%

Summary Financial Statements Full-time Staff # 29 All figures in $s 2012 2011 2010 Avg. Compensation $45,697 Donations 421,758 409,152 340,360 Top 10 Staff Salary Range Government funding 2,140,826 2,212,204 2,084,386 $350k + Business activities (net) 313,021 335,574 313,333 $300k-$350k Special events & other 58,264 33,802 22,371 $250k-$300k Investment income 1,152 645 410 $200k-$250k Total revenues 2,935,021 2,991,377 2,760,860 $160k-$200k $120k-$160k Program costs 2,819,305 2,766,713 2,544,989 $80k-$120k Administrative costs 113,534 110,208 103,316 $40k-$80k 9 Cash flow from operations 2,182 114,456 112,555 < $40k 1 Information from most recent CRA Funding reserves 290,451 391,198 346,940 Charities Directorate filings for F2011 Note: To reflect the period in which contributions were received, Ci reversed deferred revenue, which affected revenue by: $72k in F2012, $110k in F2011, and $7k in F2010.

SALVATION ARMY GATEWAY History: In 1979, a Salvation Army Year ending March 31st officer started to use the Eaton Program Data 2012 2011 2010 Centre sanctuary (now Dundas Program costs 2,819,305 2,766,713 2,544,989 Square) to serve meals to the home- Program hours n/a n/a n/a less; it was initially called The Total volunteers n/a 1,376 900 Friendship Room. With increasing Volunteer hours n/a 9,350 9,696 demand for service and care, The Volunteer turnover rate (%) n/a n/a n/a Gateway was moved from that loca- Clients served n/a 1,439 1,069 tion to Jarvis Street and became a Program hours / client n/a n/a n/a shelter and drop-in for adults. Program costs / hour n/a n/a n/a Management: When Dion Oxford Program costs / client n/a 1,923 2,381 (ED) was a student, he started as a cook at the original Gateway loca- Charity Analysis 2012 2011 2010 tion. Moving on to school and further Revenues (less interest income) 2,933,869 2,990,732 2,760,450 education, he realized he had loved Value of donated time n/a 140,250 145,440 the work and found his calling in Donated goods and services - - - helping people. Returning many Charity value 2,933,869 3,130,982 2,905,890 years later, he became director and Administrative costs 3.9% 3.5% 3.6% has led the Gateway team toward (as % of charity value) achieving excellence in delivering Local support ($) 2,933,869 3,130,982 2,905,890 client service. Community size (population) 2,638,008 2,615,060 2,592,312 Community ownership $1.11 $1.20 $1.12 (local support $ / pop.)

Social Results: In F2011, TSAG worked with 939 homeless men, who stayed at least one night, down slightly from 1,069 in F2010, reflecting a slight increase in the average length of stay. Approximately 25% of its clients are homeless for two weeks to a year, and it is these men that TSAG focuses on to try to prevent from becoming chronically homeless. For 65% of its clients, TSAG provides a place to stay during job loss or family issues; they require little support and usually stay for less than a week. The remaining 10% are chronically homeless. In F2010, TSAG had an occupancy rate of 98.8%, up slightly from 98.5% in F2010. Its support services helped 180 men find housing, up from 167 last year, reflecting the ongoing shortage of affordable housing in the GTA. In addition, TSAG’s street outreach services helped house 15 homeless people, and had 1896 individual case management meetings with clients last year. Its drop-in clinic experienced a huge increase in visits to 1,626 in F2011 versus 1,115 in F2010. The drop-in meal program remained at capacity, serving almost 60 meals per day. Including shelter resident meals, a total of 110,089 meals were served in F2011. Total drop-in clients are estimated at roughly 500 in F2011 (not included in prior years). Funding Need: TSAG needs funding for general operating expenses. Its City of Toronto funding no longer receives a 3% annual increase. TSAG still needs a full-time employment counsellor which would cost $50k per year. TSAG’s drop-in service requires $65k a year to operate and the program is in danger of closing without some funding. Also, $35k is needed to purchase a truck to enhance its social enterprise garbage business. Investment Highlights: TSAG provides important front-line support and emergency shelter for homeless men in Toronto. It operates at its capacity to reduce the number of temporary homeless sliding into the chronically homeless category by connecting these men with support services. Investment Risks: Increasing demand for a wider variety of services continues to challenge TSAG counsellors. Due to below market salaries, TSAG has high staff turnover. Donations for TSAG must be specifically designated, otherwise they will go to Salvation Army Headquarters.

John Grandy, CFA ([email protected]), Arun Lamba ([email protected]) August 28, 2012

SIMON HOUSE 5819 Bowness Road N.W. Calgary, AB T3B 0C5 President & CEO: Rick Valiquette Board Chair: Peter Heming Sector: Homeless - Addiction Website: www.simonhouse.com Operating Charity Charitable Reg. #: 11915 0589 RR0001

About Simon House: Simon House (SH) provides treatment and support to men with Financial Transparency addictions who are homeless, unemployed, and isolated, so they can become clean and sober. SH does not run day programs, but has restructured its 3-phase, 12-step recovery Audited financial statements available model in F2010 to a 4-phase model to lengthen the average stay of clients, which they only upon request believe will improve 1-year sobriety rates, and to increase occupancy. Phase 1 consists of a 7-week, 46-bed residential program where clients participate in intensive individual and Program Cost Coverage group sessions in conjunction with a personally-designed recovery program for 4 months. Program intake requirements include sobriety for a minimum of 5 days, determined by a blood test, potential for successful recovery, and no mental health issues. Phase 2 is semi- independent and takes place in a separate facility, but with substantial support and programming, and includes mentoring a Phase 1 participant. Phase 2 is typically 4 months long and the client pays market rent. Phase 3 and 4 clients have increased independence but are active within SH and the community. Funding Program Financial Review: Administrative costs are 7% of total revenues with fundraising costs Reserves Costs representing 6% of donations. SH has funding reserves to cover 74% of annual program Spending Breakdown costs. In F2011, revenues from donations fell significantly, but the shortfall was partially offset by higher receipts from the Provincial gaming program. Debt was fully repaid during the year.

Financial Ratios Fiscal year ending December 31st 2011 2010 2009 Administrative costs as % of revenues 7.2% 5.2% 7.5% Fundraising costs as % of donations 6.3% 0.4% 1.3% Program cost coverage (%) 73.7% 86.4% 76.0%

Summary Financial Statements Full-time Staff # 13 All figures in $s 2011 2010 2009 Avg. Compensation $49,977 Donations 304,857 670,333 449,462 Top 10 Staff Salary Range Fees for service 745,099 645,284 637,659 $350k + Special events & other 123,116 89,069 228,232 $300k-$350k Investment income 10,745 4,938 8,267 $250k-$300k Total revenues 1,183,817 1,409,624 1,323,620 $200k-$250k $160k-$200k Program costs 1,169,738 1,119,406 1,046,739 $120k-$160k Administrative costs 84,720 72,996 99,251 $80k-$120k Fundraising costs 26,823 3,073 9,026 $40k-$80k 6 Bank And Other Charges 14,305 11,983 12,494 < $40k 4 Cash flow from operations (111,769) 202,166 156,110 Information from most recent CRA Charities Directorate filings for F2010 Funding reserves 861,765 966,969 795,458

Note: To reflect the period in which contributions were received, Ci reversed deferred revenue, which affected donations by: $177k in F2011

SIMON HOUSE History: Simon House was founded Year ending December 31st in the early 1980s by Bernard Barry, Program Data 2011 2010 2009 a Franciscan brother, and two Program costs 1,169,738 1,119,406 1,046,739 women, Doreen Baker and Sheila Program hours 457,440 346,546 346,546 Cameron. SH started with one Total volunteers 313 236 113 duplex to house homeless men. Volunteer hours 17,600 13,270 15,249 Since then, SH has re-focused its Volunteer turnover rate (%) n/a n/a n/a program to treat long-term alco- Clients served 247 190 142 holism and drug addiction. Program hours / client 1,852 1,824 2,440 Management: SH has a new presi- Program costs / hour 2.56 3.23 3.03 dent and CEO, Rick Valiquette, as of Program costs / client 4,736 5,892 7,371 F2012. Rick has been with SH for over five years, previously as the Charity Analysis 2011 2010 2009 program director. Some of the Revenues (less interest income) 1,173,072 1,404,686 1,315,353 management team has had personal Value of donated time 264,000 199,050 228,735 experience with addiction. SH hired Donated goods and services - - - a new executive director in F2009. Charity value 1,437,072 1,603,736 1,544,088 There is a formalized succession plan Administrative costs 6% 5% 6% in place. (as % of charity value) Local support ($) 1,173,072 1,404,686 1,544,088 Community size (population) 988,193 965,320 942,977 Community ownership $1.19 $1.46 $1.64 (local support $ / pop.)

Social Results: In F2011, SH had 247 clients start Phase 1, an increase of 30% from F2010, in part due to the introduction of the continuous intake which expanded capacity through higher occupancy. 198 men completed Phase 1, an increase of 47%, and representing a completion rate of 80% versus 71% in F2010, and 76% in F2009. In F2011, 38 clients went on to Phase 2 and 24 clients went on to Phase 3. The average length of stay increased in F2011 to almost six months from an average of three months for the previous three years. The 1-year sobriety rate increased to 37% versus 31% in F2010, and 37% in F2009. Approximately 70 clients are homeless when they enter the program, and 100% have housing if they complete phase 4. Community Need: For the first time since SH started, they have been at capacity all summer long. The waiting list has been the highest ever at 25 people and averages 3-4 weeks. New minimum sentencing laws mean that as Phase 3 fills, SH will have to expand and capacity may be an issue. Funding Need: SH requires funds to cover general operating expenses, which are increasing annually. Their strategy is to seek long-term (5-10 year) funding commitments from major corporate donors. Investment Highlights: SH focuses on the respectful consideration of its clients and achievement and measurement of results. The restructuring is evidence of its willingness to critically assess and try to efficiently maximize its social impact. Simon House has a partnership partnership with Alberta Employment and Immigration. After a 7-week recovery program, 96% percent of clients were employed after their assessments. Simon House was selected as one of three finalists for the Fraser Institute’s Donner Award for Excellence in Social Services. Investment Risks: SH’s program restructuring is designed to increase both the effectiveness as well as the efficiency of its operations, but measurable results will not be fully realized until next year. The sobriety ratio, while important, could be considered somewhat soft since it is self-declared by telephone interview.

John Grandy, CFA ([email protected]), Arun Lamba ([email protected]) August 22, 2012