The United Way of East Central Iowa has moved to a Community Impact Model, and has chosen to reduce the allocation for the Hawkeye Area Council by $116,500 annually (a 54% reduction in their previous allocation.). This represents an 8.1% reduction in our operating income, and was unexpected. The full effect of the reduction begins January 1, 2009, when our annualized allocation will go from $209K to $92K. Reports in the Cedar Rapids Gazette and other media regarding the full impact of the reduction were misleading.
The Executive Board of the Hawkeye Area Council has formed a Task Force to address this issue. It is the intent of the Board to maintain programs and staff, and diversify our funding sources to mitigate this potentially devastating situation.
United Way will maintain its policy of accepting donor designated gifts, and they will not be used as part of our allocation. Your support during this difficult period will be greatly appreciated