HomeMy WebLinkAboutAgenda - 04-06-1999 - 10aORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: April 6, 1999
SUBJECT: Orange County Red Cross Community Chapter House
DEPARTMENT: County Manager
ATTACHMENT(S):
1/28/99 Letter from Laurie Norman
Report
Action Agenda
Item No. j p
PUBLIC HEARING: (Y/N)
INFORMATION CONTACT:
Bob Lockwood, Executive Director
Orange County Red Cross, 942 -4862
TELEPHONE NUMBERS:
Hillsborough
732 -8181
Chapel Hill
968 -4501
Durham
688 -7331
Mebane
227 -2031
PURPOSE: To receive information with regard to the Orange County Chapter of the American
Red Cross's capital campaign to purchase its present leased headquarters, located at 101 Ephesus
Church Road in Chapel Hill.
BACKGROUND: The County is being asked to consider a grant to the Red Cross of $75,000 to be
paid over three years. As indicated in the attached report, the purchase will create monthly savings
by the elimination of the lease payments, thus allowing the Red Cross to put more funds in service
provision.
After the presentation by the Red Cross and discussion by the BOCC, the Manager will consider a
recommendation on this request as part of the Manager's Proposed 1999 -2000 Budget.
FINANCIAL IMPACT: The impact would be the amount of appropriation approved by the
BOCC in the 1999 -2000 Budget.
RECOMMENDATION(S): The Manager recommends that the Board receive the report and
provide comment and direction as the BOCC determines to be warranted.
American Red Cross
January 28, 1999
Donna Dean
Orange County Budget Director
PO Box 8181
Hillsborough, NC 27278
Dear Ms. Dean:
Orange County Chapter
101 Ephesus Church Road
Chapel Hill, NC 27514
919 - 942 -4862
On behalf of the Orange County Chapter of the American Red Cross, we ask you to review the
enclosed case statement. This document explains the capital campaign to purchase the building
on Ephesus Church Road in Chapel Hill. I understand from Bob Lockwood that he discussed
this with you last year.
The Board of Directors of the Orange County Chapter has retained our firm, Gilchrist Associates,
Inc. in Chapel Hill to coordinate this campaign. We are enthusiastic about this opportunity to
assist with such an important community project. I am sure you are aware of what the Red Cross
provides for the communities in Orange County and the impact of their many services. The
monthly savings on a mortgage payment over the current lease payment will immediately infuse
more dollars into their service to the community.
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If, by chance, there are additional forms that need
to be submitted, please forward them to me at PO Box 4633, Chapel Hill, NC 27515.
Thank you for your interest in the work of the American Red Cross. I look forward to hearing
from you.
Sincerely,y,
Laurie Norman
Vice President, Gilchrist Associates, Inc.
cc: Bob Lockwood, Executive Director, Orange County Chapter American Red Cross
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Orange County Chapter
American Red Cross
Campaign to Purchase
Community Chapter House
Amerman
Red Cross
ORANGE COUNTY CHAPTER 4
AMERICAN RED CROSS
CAMPAIGN TO PURCHASE COMMUNITY CHAPTER HOUSE
INTRODUCTION
The Orange County Chapter of the American Red Cross has served the needs of Orange County
citizens for more than 80 years. As a partner with the public and private sectors of our community,
the chapter has continued to meet the needs of an area with tremendous growth in population over
the past 15 years. By mandate, we must continue to meet the needs for anticipated future growth.
Last year more than 44,000 individuals (almost 40 percent of the County population) benefited in
some way from a service or program provided by the American Red Cross chapter in Orange
County. The services of this chapter also reach far beyond the boundaries of Orange County,
providing international services, disaster relief, and armed forces emergency services. All are done without
any federal or state government funding.
Our capital campaign goal is to purchase the property at which the Orange County Chapter is conveniently
located at 101 Ephesus Church Road in Chapel Bill. This purchase will allow us to immediately start using
the monthly savings from the elimination of the lease payments to put even more back into the
services we provide. The efficiency of our operation and the invaluable participation ofvolunteers allows us
to devote an extememly high percentage of all funds we raise directly into serving this community.
Purchasing our building will allow us to increase that efficiency. The American Red Cross is consistently
ranked near the top of national agencies for efficiency in utilizing fiscal resources.
In the current leased location, the chapter has the facilities to enable it to meet the growing needs of
our citizens in Orange County. The facility has classrooms to offer instruction on CRP/First Aid, and Baby
Sitting; the space to host blood drives each month, helping us to increase collections by 1,000 units per
year; and a communications center to increase our capability to back -up or maintain emergency radio and
telephone communications in the event of a disaster or power outage. Additionally, the facility has been and
can be opened as a shelter for flooding victims and for evacuees in the event of a local disaster.
The Chapter sponsors and hosts the National Teen AIDS Hotline, a nationally recognized toll-free service,
which receives more than 1,000 calls per month from across the United States, Puerto Rico, and Canada.
This building effectively meets the needs of our staff and volunteers as well as serving the needs of other
community organizations such as Orange County Disablility Awareness Council, Volunteer Orange and
EMS paramedics.
With over 500 volunteers in Orange County, we are second only to Charlotte/Mecklenburg for
having the most certified disaster relief workers in the state. Each year our chapter consistently
exceeds the Standards of Excellence set by the parent organization in Washington. Remarkably, all
of our services and volunteers are coordinated with a paid staff of only 5 committed individuals.
The additional funds generated from owning vs. leasing will give us additional opportunities to serve
the needs in Orange County.
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WHY PURCHASE OUR COMMUNITY CHAPTER HOUSE?
Our goal is to be prepared to face any disaster with the assurance of well - trained staff and volunteers,
resources for necessary supplies, an equipped facility and the support of the community. The Red
Cross is often the first on the scene of a disaster and in many instances the only immediate provider
of items such as food, shelter, and clothing. Whether a house fire, flash flood or a local catastrophic
disaster such as Hurricane Fran, the American Red Cross is on the scene to respond to our
community's needs. While we have a strong offering of programs, training opportunities and
services, we want to offer more community based education programs, corporate services for training
employees in CPR/FA, and staffing of additional shelters as needed. We are mandated by Congress to
provide a variety of services, but we are driven to exceed expectations and meet the community needs in an
efficient manner. Our chapter house helps us to meet our current and future goals.
The goal of the campaign is the purchase price of the building, $630,000. With a 40% commitment
to the total goal, we can obtain a short-term loan, proceed with the purchase and immediately begin
saving over $4,000.00 per month over our current lease payment. Our goal would then be to pay offthe
entire loan amount over a three -year period. The additional $4,000.00 per month going into our operating
budget is a compelling argument for our goal of owning the property.
The facility itself is in excellent condition and very efficiently meets the needs of our chapter and
volunteers. If we were afforded the opportunity to build a facility, it would have many of the same
characteristics as this building. However, construction of a facility would certainly cost far more
than this purchase in today's market. This present facility offers sufficient square footage for current and
future programs and services as well as adequate parking. Purchasing this building is a wonderful
opportunity for our chapter and a positive investment for our entire community.
THE FUNDING PLAN
With a campaign goal of $630,000.00 it is imperative to draw upon a wide variety of community
support. To this end we have established a three -phase plan to raise the necessary funds with an
immediate emphasis on the 40% ($252,000.00) commitment to gain approval from the national
headquarters.
Phase One: Corporations and Municipalities
Major gifts will be solicited from corporations and businesses in Orange County and Research
Triangle Park. Many of these entities have already been approached about the campaign and are
committed to support this chapter and its value to the community. The training services alone provided by
this chapter save these corporations thousands of dollars each year. Whether it is First Aid/CPR or HIV/
AIDS education, the American Red Cross is the most experienced provider ofthese educational services.
In addition, many of the employees of these firms reside in Orange County and will be the direct recipients
of services provided by the chapter. These solicitations will be coordinated by our professional
development staff; Orange County Chapter staff and members ofthe Board ofDirectors. It is our hope to
obtain the 40% commitment by late January of 1999.
Another sector that will be solicited as part of Phase One are the municipalities in Orange County.
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The partnership with the Towns of Chapel Kill, Carrboro, Hillsborough, along with Orange County will
ideally comprise 25% of the total campaign goal. We hope to have these commitments confirmed as part of
the fiscal 1999 budget process. Partnering and contributing to this campaign is a wise investment for the
municipalities, as our services often provide relieffor the towns and County when disasters occur.
Phase Two: Foundations
As a not for profit entity, some support for purchasing the property will be available from a variety
of Foundations. Once we have completed our work with businesses and municipalities, our
development staff will research, write and submit the appropriate grant requests to these foundations.
Phase Three: Individuals
A broad -based solicitation will occur for previous donors who have contributed at or above the $500
annual level and for other individuals identified as major gift prospects. Additionally, board
members of the Orange County Chapter have made a preliminary commitment of $25, 000.
OPTIONS FORGIVING
A variety of options are available for making a contribution to this campaign. Cash gifts may be
pledged over a three -year period. Gifts of stock and/or annuities will also be accepted. Finally, individuals
may choose to have their gifts placed on MasterCard or Visa. We are also prepared to discuss planned
giving or charitable remainder trusts with individuals who wish to support the Red Cross with their estate.
NAMING OPPORTUNITIES
With 7,200 square feet in our building, there will be a variety of naming opportunities for both corporations,
municipalities and individuals. The following areas have been identified for naming opportunities:
Teen AIDS Hotline ($50,000)
Instructional Classrooms (2) ($25,000)
Conference Room/Board Room ($25,000)
Executive Director's Office ($15,000)
Blood Services Office ($15,000)
Staff and Volunteer Offices (9) ($10,000)
CONCLUSION
Disaster Communications Center ($20,000)
Kitchen ($15,000)
Emergency Generator Equipment ($15,000)
Fellowship Area ($10,000)
ADA Improvements in Restrooms ($10,000)
Reception Area ($15,000)
This campaign is not just an opportunity to create financial savings each month. Rather, it is an
opportunity to infuse additional dollars into the already extensive array of services provided by the
Orange County Chapter of the American Red Cross. It is an opportunity to allow an extremely
talented staff and core of volunteers to continue their selfless service to the citizens of Orange
County from an excellent facility that meets our current needs as well as future objectives. No one
goes untouched by some service the American Red Cross provides every day. The American Red Cross is
committed to and sucessful in making a positive difference by improving the quality of human life and
enhancing self - reliance and concern for others. We urge you to be a part of this important endeavor
for our local chapter and the citizens of Orange County.
ORANGE COUNTY CHAPTER BOARD OF DIRECTORS
Glenn D. Corley
Todd Durham
John Earnhardt
Roland Giduz
Peter Hallenbeck
Chris Harrison
Elaine Holmes
Kyle Howard
Jack Hudson
Jeanette Jones
Tom Krombach
Brent Lister
Betty Longiotti
Denny Marcin
George McCall
ORANGE COUNTY CHAPTER STAFF
Herb Paul
LaBron Reid
Michael Symons
Brett Tempest
John R. Thompson
Richard J. Van Iten
Don Willhoit
Col. R.H. Lockwood, USMC (Ret.), Executive Director
Larry Massenburg, Director of Health and Safety
Diane Ellis, Director of Emergency Services
Amanda Fields, Director ofFinancial Development
Eugenia Roland, Office ManagerBookeeper.
CAPITAL CAMPAIGN STAFF
Gilchrist Associates, Inc.
Donald E. Beeson
Laurie J. Norman
SERVICES PROVIDED BY THE AMERICAN RED CROSS
ORANGE COUNTY CHAPTER
International Services
Disaster Services
Armed Forces Emergency Services
Community Services
Teen AIDS Hotline
CPR/First Aid Education
Health and Safety
Blood Services
Youth Services
HIV /AIDS Education
Volunteer Training