Not-for-profit community facilities are unique in that they receive tax-exempt status for providing affordable health and wellness programs for communities. Examples of these organizations include YMCAs;Jewish Community Centers (JCCs); and hospital-based, faith-based, and park and recreation centers. A board of directors made up of local business members governs each facility. The board members serve 2- to 4-year terms depending on the organization. Along with the president and CEO, the board develops the budget and plans major renovations and purchases. Revenue generated through memberships and programs pays the operating expenses, and the remaining revenue benefits the community.
Not-for-profit organizations also campaign for donations to provide scholarships that offset membership and program costs for families in need. The goal of these organizations is to provide programming that meets the needs of today’s youth, families, adults, and seniors regardless of their financial situations. The programs offered focus on health and fitness, child care and development, education, arts, and summer and overnight camps. Key positions in these facilities include the directors of the various programs and the director of fund-raising. Unlike many for-profit centers, which focus on a niche market, not-for-profit facilities try to provide something for everyone. A sample organizational chart for a not-for-profit community facility is shown in figure 2.4. One key position in a not-for-profit facility, the health and wellness director, is described next.
The Bottom Line
Fund-raising is an important source of revenue for not-for-profit organizations. The finance development team and the staff continually conduct fund-raising competitions and events. Staff members also set fund-raising goals for themselves.
