2012 ANNUAL rePorT Christian Service Charities represents leading ministries who are transforming the world by following the Great Commission. 1 2012 board of directors Greg Dabel, President Kids for the Kingdom A Message from the President Dear Friends, Charles A. King, Col. (Ret.), Vice President Retired, US Army As a federation in the Combined Federal Campaign, our objectives are straightforward and rather unglamorous.Yet we recognize the ultimate result of what we do, through our member charities, is life-changing and eternal. Ida Tyree Hyche, Secretary US Army Christian Service Charities is in the business of promoting workplace giving.We encourage millions of people in the military, postal service, and federal workplace to participate in charitable giving. Our bottom-line goal is to increase pledges and to deliver those dollars to our member charities. Donna Bancroft Billy Graham Evangelistic Assn. Deborah Bensen Operation Blessing International Royce Bervig Focus on the Family Terry Grave Children’s Hunger Relief Fund Ron Holechek The Navigators Amicitia Maloon-Gibson MG Center for Excellence Brenda Matlock CAP Voice of the Martyrs Casey Mattox Alliance Defense Fund CH (Maj) David W. Meyer Department of the Army M Bret Wichert Capin Crouse LLP To that end, the Board of Directors of Christian Service Charities consists of a team of individuals who are charity representatives, federal employees, active military, and private business leaders. In addition to being committed to raising more support for our member charities, we are dedicated to excellence in message, fiscal integrity, efficiency, and accountability. In recent years the Board has built internal systems and created policies to support these principles.The results have been cost savings, low overhead and high return for our charity members. Yet, above all these operational principles Christian Service Charities is committed to helping our member charities to bring the Good News of the Gospel of Christ to a world that hungers and thirsts for righteousness. Our member charities are a group of the finest, most respected and fiscally accountable Christian ministries in the nation.Their focus and tasks are varied - translating the Bible, defending religious freedom, supporting America’s military and their families, disaster relief, feeding children, alcoholism intervention, prison outreach, evangelism, and saving lives. Each of our member charities shares a passion to overcome disease, despair, and deficiency - all in the name of Christ. The Board of Directors counts it a privilege to serve our Christian charity members and to share in the fulfillment of their individual missions. As a federation Christian Service Charities represents member charities in the multifaceted world of workplace giving.We bring the messages of our charity members to the attention of thousands of potential new donors.We steward all pledged dollars from donor to member charities. We look forward to years of growth for all of our members, and for new members.We will work hard to increase pledges for the charities we serve, and to deliver those resources efficiently to them.We will remain committed to sound financial principles including the Biblical admonition: ‘We want to avoid any criticism of the way we administer this liberal gift. For we are taking great pains to do what is right, not only in the eyes of the Lord but also in the eyes of men’ (2 Corinthians 8:20-21). Greg Dabel President Do not forget to show hospitality to strangers, for by so doing some people have shown hospitality to angels without knowing it. Hebrews 13:2 Mission The mission of Christian Service Charities is to glorify God by facilitating the inclusion of ‘Christian charities you know and trust’ in charitable giving opportunities and providing services for the success of other charitable federations. Vision Staying a ‘step ahead’ in a changing charitable giving environment, while becoming the most cost effective and respected organization at connecting CSC members and other charities with donors across America. Ends Goal 2 Greater giving (in both number of donors and total donations) for a greater number of Christian charities that we know and trust. 2012 MeMberS A Child’s Hope fund Healing Waters international Advocates international Home School foundation Africa New Life Ministries international Hope for the Heart Aid to Children,Youth and families infaith AidS Care fund international Christian Concern Alcohol & drug recovery fund JAArS Alliance defense fund Kids Around the World Amen foundation, The Kids for the Kingdom American family Association Luis Palau Association Association for Christian Conferences, Teaching & Service (ACCTS) MAMA Project, inc. Association of Gospel rescue Missions Mephibosheth: Transforming Lives Through Vocational Training Awana Clubs international Mercy Ships baptist World Alliance Mexican Medical bible League international Mission Aviation fellowship biblica (formerly international bible Society) Mission to Children billy Graham evangelistic Association Missionary Athletes international blessings international Moody bible institute Cadence international MoPS international Campus Crusade for Christ’s Great Commission foundation National day of Prayer Task force Care Net Navigators, The Cargo of dreams Nazarene Compassionate Ministries, inc. Child Abuse intervention fund Officers’ Christian Fellowship Child evangelism fellowship oneHope inc. Childcare Worldwide open Air Campaigners – overseas Ministries, inc. Children’s Christian Hunger Network operation blessing international relief and development Corp. Children’s food fund/World emergency relief orphans Assistance & rescue inc. Children’s HopeChest Pioneers Children’s Hunger relief fund Prison fellowship Christian blind Mission Prison fellowship international Christian broadcasting Network Samaritan’s Purse Christian foundation for Children and Aging Senior Care fund Christian Leadership Alliance Servant Partners Christian Legal Society Shepherd’s Call Christian Military fellowship Society of St. Andrew, The Christian relief fund Strength for Service to God and Country Club beyond/Military Community Youth Ministries Village Missions Compassion international Voice of the Martyrs, The east-West Ministries international Warm blankets orphan Care international emergency relief response fund Water Mission international engineering Ministries international Willow Creek Association family research Council World Concern - A division of CriSTA Ministries focus on the family World reach, inc. food for the Hungry World Vision, inc. Global recordings Network Worldwide Christian Schools Global Tranformation Network Wycliffe bible Translators Hagar USA Young Life MANNA Worldwide 3 2012 staff Thomas Youngblood Chief Executive Officer A Message from the ceo Matambira Makanda,Treasurer Chief Financial Officer/HR Director Dear Friends, Martial Dedegbe Associate, Member Services Cryshana Harbison Sr. Associate, Accounting/HR Manager Shelley Hayes Director, Marketing & Member Services Melissa Kamerer Associate, Marketing Cecilia Nolasco Sr. Associate, Finance Sandra McClain-Wilson Associate, Administration Dear children, let us not love with words or speech but with actions and in truth. 1 John 3:18 2012 was a landmark year for Christian Service Charities. As the staff team brainstormed for the theme of our Annual Conference we outlined the accomplishments and impact we were making. The outline represented many mile markers along the way in our history as the largest and leading Christian federation in the Combined Federal Campaign. The theme ‘On the Move’ was certainly true for our work in 2012. Some of the mile markers included: v Celebrating the 50th Anniversary of the CFC. v Adding 11 new members to the federation. v Purchasing, building out, furnishing and moving into new, more affordable offices. vEmbracing technology to better serve and reduce cost for our members. v Achieving the best Annual Conference (member survey) with attendance, content and format. vRenewal of Management Service agreement with two other federations. As I write this letter the Office of Personnel Management has released the recommendations of the Federal Advisory Committee on the CFC. I am encouraged that OPM is working to reinvigorate the CFC for the next 50 years. Among the 24 recommendations is a call for accountability and transparency of federations. Christian Service Charities is and has been in compliance with these recommendations for a long time. Our independent board of directors signs a Conflict of Interest statement annually. Our Petition and Appointment and PledgeNet system discloses membership fees annually. Our distribution of donations is on or before the 15th of every month. PledgeNet clearly indicates to our members the CFC distributions by campaign. Christian Service Charities is ‘On the Move’ and will continue to serve our members and donors with accountability and transparency. Thank you for supporting us in making an eternal impact. We could not do what we do without your support. You have helped to keep us ‘On the Move.’ Tom Youngblood CEO 4 ACCoMPLiSHMeNTS While CSC members and staff were on the move in 2012, our goals seemed lofty. With diligence we were able to reach each of them. Managing expenses helped us work smarter with new processes that will carry into the future of CSC operations. Spreading the word to potential donors about the amazing work of CSC members continues to be at the forefront of our work. As we look to the future we will be focusing on the Changing Times and Changing faces of the campaign. IN 2012, we welcome eleven new ministries to the CsC family: Cargo of dreams Christian leadership alliance v 33% increase in member satisfaction of Annual Conference format held in Colorado Springs in June East-West Ministries international v 6 Annual Conference sessions were recorded and made available for 24/7 access by members hope for the heart v for the second straight year, Cfre accredited CSC webinars to provide continuing education credits to members onehope inc. v Provided increased donor choices by reaching more qualified organizations and increasing federation membership by 12% Global tranformation network luis Palau association open air Campaigners – overseas Ministries, inc. shepherd’s Call strength for service to God and Country v 6% increase in customized marketing plans for members to better communicate with potential donors Village Missions v representation of members at events increased 41%, contributing to increased pledges and donor awareness of members and the federation v increased technology redundancy by shifting servers to cloud-based system to assure members and donors 24/7 access to campaign and pledge data v donor contact information was delivered to members for acknowledgment quicker due to improved processes As I grow older, I pay less attention to what men say. I just watch what they do. - Andrew Carnegie 5 fiNANCiALS sTATeMeNT of aCtiVitiEs fiscal Year Ended april 30, 2012 april 30, 2011 PUBliC sUPPort: Amounts raised in federated and state campaigns $ 9,191,404 $ 10,398,165 Less estimated uncollectible pledges 1,562,539 1,767,688 Less amounts designated to member agencies 7,517,053 8,442,865 Public support designated to HSCA $ 111,812 $ 932,043 $ 187,612 rEVEnUE: Charges to member agencies $ Campaign services 197,963 Miscellaneous income 2,235 8,750 147 1,743 $ 1,132,388 $ 1,061,604 $ 1,244,200 $ 1,249,216 $ 852,059 $ 920,302 349,808 284,448 17,333 19,466 $ 1,219,200 $ 1,224,216 $ $ interest income and other Total revenue total PUBliC sUPPort and rEVEnUE 771,961 279,150 EXPEnsEs: Program services Supporting services Management and general fundraising total EXPEnsEs ChanGE in nEt assEts nEt assEts, BEGinninG of YEar nEt assEts, End of YEar 25,000 629,738 $ 654,738 25,000 604,738 $ 629,738 Fee strUCtUrE There is no application fee or up-front cost to members before campaign receipts are collected. CSC’s cost recovery practices are designed so that expenses based on a budget approved by the board are shared proportionally by all member organizations. The member organization’s contribution towards cost recovery (‘Membership fees’) is calculated based on the member organization’s gross pledges, subject to minimum and maximum fee limits. for the most recent campaign year for which payments have been completed, average Membership fees (excluding member charities subject to the minimum and maximum limits) was 7.64%. federation fees are inclusive, with no other fees or charges from the federation or from other entities. A complete copy of our audited financial statements may be obtained by writing to Christian Service Charities, 44330 Premier Plaza, Suite 220, Ashburn,VA 20147. 44330 Premier Plaza, Suite 220 Ashburn,VA 20147 703.764.3113 (main) 888.728.2762 (toll free) 703.542.3748 (fax) 6 www.christianservicecharities.org Pictures courtesy of 2012 member charities.