U NITED W AY
’
S T OBACCO D ILEMMA
1
H EATHER A NNE M C K ELVEY
& C
ATHY
D
RISCOLL
Opening Scenario
A knock at the door interrupted Catherine’s thoughts. Catherine Woodman, the
Chief Executive Office of the United Way of Halifax Region, had been busy preparing for next week’s board meeting when Megan, the new Funds Development Director, came into Catherine’s office holding out a cheque. The $1000 cheque was a donation to the
United Way from a tobacco company that had an office in the Halifax Regional
Municipality.
“Catherine, do we have a policy on accepting donations from tobacco companies?” Megan inquired. Catherine looked at the cheque and shook her head.
“No, we’ve never developed a formal gift acceptance policy – we usually review these types of donations on a case-by-case basis. If you leave the cheque with me, I will bring it to the board meeting to review with the other board members.” Megan dropped the cheque on Catherine’s desk, headed towards the door and then turned back, “Well, we might want to consider drafting a document.” Catherine nodded and Megan closed the office door.
Catherine picked up the cheque and let out a sigh. Although there was no policy clearly stating that the United Way couldn’t accept money from a tobacco company, it was a sensitive topic that had been broached more than once in the past several months.
She thought about the agencies that the United Way of Halifax Region supported (See
Exhibit 1) and how desperately many of them needed funding. Each donation made a difference and she felt that many agencies would not understand why any money would be turned away. On the other hand, the United Way was devoted to building communities and improving lives; perhaps accepting this money went directly against their mission and some of their impact areas. In addition, there were potential negative repercussions if the press found out they were using money donated from a tobacco company.
The board meeting was only five days away and Catherine knew several of the board members had very strong feelings on this topic. She needed to gather as much information as possible so she could go into the meeting well informed and with a
1 We would like to acknowledge The Canadian Centre for Ethics in Public Affairs (ccepa.ca), which was responsible for bringing together the United Way of Halifax Region and the Sobey School of Business to do a service learning project that resulted in this case study. We also acknowledge the United Way of
Halifax Region Board Members and staff who graciously gave their time and shared their opinions; the participating United Way agencies; and the input from students in the 2007 Ethical Issues in the World of
Business MBA class.

position on the issue. She couldn’t help but wonder if in this day and age it was acceptable to deposit money from tobacco companies.
History of the United Way i
The United Way originally evolved from the Charity Organizations Society, a fundraising organization founded in1887 by a Denver priest, two ministers and a rabbi who sought to alleviate the health and welfare problems that plagued their city. The organization acted as an agent, collecting funds and re-distributing them among local charities. In addition to fund raising, the organization also coordinated relief services and counseled and referred clients to co-operating agencies. In its first year of operation,
$21,700 was raised for 22 local agencies. The success of the Charity Organizations
Society did not go unnoticed and the movement began to spread throughout the country.
In the early 1900’s local United Ways founded a national organization to assist in training, advocacy and coordination; this organization would later be known as the
United Way of America.
Since its inception in 1897, the United Way of America has grown to include more than 1,400 local organizations and remains committed to building communities and making a difference in people’s lives.
The movement was not restricted to the United States and in time the “community collective” philosophy reached Canada, leading to the creation of the United Way –
Centraide Canada.
United Way – Centraide Canada ii
The United Way – Centraide Canada is the national organization that was established in 1939 to provide leadership and support to the local United Way -
Centraides across the country. The United Way first emerged in Canada during the First
World War; in 1917 community collectives were established in Montreal and Toronto to raise funds to strengthen communities. Over time additional communities materialized and there are currently 122 United Way – Centraides across Canada, with representation in 10 provinces and 2 territories. The progress made throughout the 20 th
century earned the United Way its reputation as being a premier umbrella fundraiser. “Next to the government, the United Way-Centraide is the largest funder of the voluntary sector and social services in Canada,” (
What We Do
, n.d.). The United Way’s partnership with the
Canadian Labour Congress and a multitude of corporations has led to great fundraising activity within the workplace and each year the United Way – Centraides collectively raise over $440 million dollars with the help of 900 staff and thousands of community volunteers.
Traditionally the United Way operated solely as a fund raiser; however, 2003 saw the United Way shift its focus to include community building, with a goal of making an impact within the communities in which they operate. The United Way – Centraide has re-drafted its mission, aspirations and values to match their new focus (see Table 1).
1

Table 1
Mission, Aspirations and Values of United Way – Centraide Canada
Mission
To improve lives and build community by engaging individuals and mobilizing collective action.
Aspirations
To do this, we aspire to:

Energize and inspire people to make a difference

Provide meaningful opportunities for individuals to realise their potential by demonstrating volunteer leadership in service to community

Reflect the diversity of the communities we serve

Craft human care agendas within and across our communities

Build coalitions around agendas

Increase investments in agendas by expanding and diversifying our own resource development and fundraising efforts and supporting those of others

Ensure investments have recognizable impact

Strengthen the UW-C Movement, building on individual and collective strengths and abilities of autonomous, local UW-Cs.
Values
Our values are to:

Provide non-partisan leadership in social change.

Endorse innovation, partnerships and collective action
 Respect community wisdom and encourage citizen involvement

Encourage and promote volunteerism and volunteer leadership

Demonstrate trust, integrity, transparency, inclusivity and respect

Embrace diversity
*Source: United Way of Canada – Centraide Canada Website
(http://www1.unitedway.ca/sites/PortalEN/Mission.aspx)
While the United Way of America has always been a very strong organization that develops national marketing strategies and national mission and vision statements, historically the United Way of Canada has been quite removed from the operations of local chapters. However, individual United Way – Centraides began to feel that creating common standards of excellence and coordinating the messaging of all 122 United Way –
Centraides within Canada would improve their overall impact on the country and in recent years the United Way of Canada has become more active in coordinating the efforts of the individual United Ways.
2

The United Way of Halifax Region iii
The United Way of Halifax Region was formed in 1925 by a group of business and community leaders who believed in supporting their community. These individuals felt that a unified fundraising campaign for specific charities would be more effective than every individual charity relying on the generosity of churches or private citizens.
Although each United Way is an autonomous organization, the United Way of Halifax
Region works with the 11 other United Way organizations in the Atlantic provinces to share best practices, media strategies and to collaborate on regional campaigns (see Table
2).
A voluntary Board of Directors operates the United Way of Halifax Region; members are chosen from the community they serve. The Board of Directors leads all policy decisions and meets monthly to discuss operations and to review the strategic direction. A professional staff of 18 works for the United Way of Halifax Region to implement the annual campaign, develop communications strategies and build communities through neighbourhood investment and support. The United Way of
Halifax Region has identified four impact areas for its community building initiatives:
1.
Helping Young Children and their Families Thrive
2.
Increasing Well-Being and Self-Sufficiency
3.
Increasing Safety and Reducing Violence
4.
Helping Build Stronger Volunteer Organizations
Money comes into the United Way of Halifax Region primarily through workplace donation campaigns, private donations, grants and through other fundraising initiatives (See Exhibit 2). Agencies requesting funding must fill out an Expression of
Interest form detailing their organization, the program that needs to be funded and which impact area it falls under. A volunteer funding panel is recruited each year to review applications, visit agencies, ensure that programs are designed to build on the strengths of participants and examine the outcomes of past programs. After a thorough assessment, the funding panel advises each agency how much money they will receive on behalf of the United Way. Currently there are 52 non-profit charitable organizations funded by the
United Way of Halifax Region and there is great diversity in the causes that they represent.
General donations to the United Way of Halifax Region are deposited by the data processing team; payroll deductions donations are forwarded by a third party organization each pay period. The pledge form gives donors the opportunity to indicate where they want their funds to go by giving them three options:

The Community Fund (the United Way of Halifax Region will invest the money where it will make the greatest difference);

An impact area (Helping Young Children and their Families Thrive, Increasing Well-
Being and Self-Sufficiency, Increasing Safety and Reducing Violence, or Helping
Build Stronger Volunteer Organizations); or,

A specific agency (donations to specific agencies are given directly to that agency in addition to the amount allotted to them by the funding panel).
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While some organizations are identified in annual reports and marketing materials for their fundraising efforts, corporations are not typically recognized by the United Way of Halifax Region for making donations.
Table 2
Vision, Mission and Credo of the United Way – Halifax Region
Vision
United Way of Halifax Region will be a leader in the building of an extraordinary community.
Mission
Through development and investment of resources, United Way of Halifax Region will bring people and organizations together to strengthen neighbourhoods and build community capacity .
Credo

I believe in my community

I believe its success depends on the people who live in it
 That everyone has something to contribute

That everyone deserves respect
 That everyone’s potential can be realized

That diversity is vital

That every person has value

That everyone needs help and everyone can offer help

That a safe supportive community is everyone’s responsibility

I believe in possibility
*Source: United Way of Halifax Region Website
(http://www.unitedwayhalifax.ca/)
Snapshot of the Canadian Tobacco Industry
Three manufacturers dominate the Canadian tobacco industry: Imperial Tobacco
Limited (ITL), Rothmans, Benson and Hedges (RBH) and JTI Macdonald Corporation
(JTI). These organizations are known as the Big 3 of the tobacco industry and sales for their products account for 94.1% of the Canadian market (
NSRA’s Backgrounder
, 2005).
Collectively they also form the Canadian Tobacco Manufacturers Council (CTMC), the industry’s primary lobby association. The CTMC provides a forum for the tobacco companies to work together, discussing issues of mutual interest, taking collective action and financing joint initiatives. At this time the CTMC provides funding to the following three programs (
Canadian Tobacco Manufacturer’s, n.d.):
1.
Operation I.D.: strives to eliminate the sale of tobacco to underage consumers and help curb youth smoking.
2.
Fair Air Association: supports the hospitality industry in their efforts to overcome the effects of public smoking bans by researching and disseminating information about recent developments in the ventilation industry.
4

3.
MyChoice.ca: a website that “provides adult smokers with the information and tools necessary to participate in the public policy discussion on tobacco control.”
( Canadian Tobacco Manufacturer’s, n.d., pp.4)
Imperial Tobacco iv
Mission statement: to compete successfully for market share in any segment the company enters, by satisfying adult smoker preferences better than the competition. This will be done in a manner that is profitable, socially responsible, sustainable, and creates value for the company.
Imperial Tobacco Canada is the largest tobacco company in Canada, with 53.5% of the Canadian Domestic Tobacco market share in 2004 (
NSRA’s Backgrounder,
2005) .
ITL currently employs approximately 530 head office staff across Canada. Although there used to considerably more employees, ITL recently moved its manufacturing facilities to Mexico, eliminating 650 jobs in Canada ( NSRA’s Backgrounder ).
While ITL recognizes the controversial nature of the product that it sells,
“corporate social responsibility is [their] commitment to operate in an economically, socially and environmentally sustainable manner, while recognizing the concerns of those who have an interest in [their] business – stakeholders,” ( Social Report, 2006/2007, p.5).
ITL donates 1% of pre-tax profits annually to registered, non-profit organizations, through the Imperial Tobacco Canada Foundation, a private, charitable foundation funded by Imperial Tobacco Canada. Donations are given to programs related primarily to three focus areas: arts and culture, human services and post-secondary education. In 2006 charitable donations to agencies across Canada totaled $4,820,401.
A comprehensive donations process is outlined by the organization and the first step requires agencies to read the general limitations of the foundation. According to the
Imperial Tobacco Canada Foundation donation criteria and guidelines, the following organizations and activities will not be funded ( Imperial Tobacco Canada Foundation ):

Elementary, secondary schools and CEGEPs.

Activities associated with non-adults.
 Activities not consistent with the Code of Business Conduct of Imperial Tobacco
Canada.

Individual and private pursuits.

Religious organizations (except when programs are open to members of all faiths).

Advocacy groups of a particular religion, social or political point of view.

Multiple donations to the same organization (unless autonomous branches are located in geographic areas where Imperial Tobacco Canada Limited has facilities or concentrations of employees such as United Way - Centraide).

Organizations outside Canada.

Purchase of tickets for fundraising events.

Conferences and seminars.

*Note: Under existing tobacco regulations, Imperial Tobacco Canada and the
Foundation are prohibited from sponsoring any events or organizations.
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Eligible agencies are required to apply for a donation under a specific focus area.
The complete application is reviewed by the Foundation who then notifies the agency as to whether or not they will receive funding. While donors are not required to publicize that ITL has provided them with funding, ITL does disclose the names of all the companies that have received donations on an annual basis.
In the past two years, under the Human Services focus area, Imperial Tobacco
Canada Foundation has donated a total of $834,000 to United Way - Centraides across
Canada (see Table 3).
Table 3
Imperial Tobacco Canada Foundation’s Donations to United Way – Centraides
Province/Territory
BC
United Way
United Way of the Lower Mainland
United Way of Greater Victoria
Alberta
Saskatchewan
Manitoba
Ontario
Quebec
New Brunswick
Nova Scotia
PEI
2006 2005
$ 10,000.00 $ 10,000.00
-
-
-
-
-
$ 1,500.00
-
-
$225,000.00 $350,000.00
-
-
United Way Community Services of Guelph and Wellington $ 85,000.00 $ 65,000.00
The United Way of Haldimand and Norfolk
United Way of Greater Toronto
Centraide Quebec
Centraide du Grand Montreal
United Way of Halifax Region
$ 1,500.00 -
$ 15,000.00 $ 50,000.00
$ 10,000.00
-
$ 10,000.00 $ 1,000.00
- -
Newfoundland
Territories
-
-
-
-
$346,500.00 $487,500.00
*Source: Imperial Tobacco Canada Foundation Website
(http://www.fondationimperialtobacco.ca/eabout/donations.htm)
Rothmans, Benson and Hedges
Rothmans, Benson and Hedges is the second largest supplier of tobacco to the
Canadian market. In 2004, RBH’s market share totaled 29.5% ( NSRA’s Backgrounder,
2005) and in 2007 net sales were $618.6 million, an increase of 1.9% from 2006
(
Rothman’s Inc.,
2007). RBH employs approximately 790 employees across Canada and is well known for matching employee contributions to charities. While little is known about the exact figure donated by RBH to charities, research indicates that RBH made the
United Way of Greater Toronto’s Corporate Honour Roll for donating between $25,000 and $49,999 in both 2001 and 2002 ( Honour Roll, 2001). Unlike Imperial Tobacco and the JTI Macdonald Corporation, RBH does not publish charitable donations or social responsibility efforts on its website.
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JTI Macdonald Corporation
Mission statement: To build a powerful global tobacco company, maximizing value for our key stakeholders while striving for industry leadership. We will differentiate ourselves through sustained innovation in all areas and always deliver the best in consumer satisfaction ( About JTI Macdonald , n.d.).
JTI Macdonald is owned by Japan Tobacco International, a Japanese firm that manufacturers tobacco, pharmaceuticals and foods. JTI Macdonald Corporation is the third largest tobacco company in Canada, with 11.6% market share in 2005 (
NSRA’s
Backgrounder, 2005). While JTI has operations worldwide, they employ 570 employees within Canada ((
NSRA’s Backgrounder
). As an organization, JTI holds a goal to give back to local communities by engaging in social activities.
Corporate social responsibility efforts are focused on four key areas ( Community
Relations, n.d.):
1.
Social Projects
2.
Educational Initiatives
3.
Cultural Events
4.
Humanitarian Causes
Tobacco Industry – Negative Impacts
Despite the fact that tobacco companies are finally acknowledging the controversy and health risks associated with their products and making attempts to establish themselves as good corporate citizens through philanthropy, society can no longer ignore the devastating health effects associated with smoking. The costs of tobacco-related diseases include health care expenditures, lost productivity, and in many cases, death. Not only does tobacco have negative side effects that impact the health of smokers, but those who are exposed to second hand smoke are also at risk of deteriorating health. Research indicates that smoking tobacco is related to more than two hundred diseases and conditions due to the fact that smoking harms almost every organ of the body ( Health Effects, n.d.). Statistics indicate that smoking remains the leading cause of preventable death, and that smoking-related diseases will kill more people than breast cancer, AIDS, traffic accidents murders, suicides, and drug addiction combined ( Quitting, n.d.). “Cigarettes have caused more deaths than any other consumer product in the history of the world” (
Tobacco Industry Donations, 2003, p.2) and each year over 45,000
Canadians will die from tobacco related illnesses. Despite knowledge of the health risks,
250,000 Canadian children and teenagers start to smoke every year, ( Tobacco Industry
Donations ), and the speculated reasons for starting range from seeing their friends smoke to emulating celebrities (See Exhibit 3). The majority of tobacco-related deaths result from cancer, cardiovascular conditions and respiratory disease (see Table 4) ( Fact Sheet ,
2008).
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Table 4
Tobacco-Related Deaths
Cancer Deaths:

Smoking is responsible for 30% of all cancer deaths.

Smoking causes about 90% of lung cancer deaths in women and almost 80% of lung cancer deaths in men.

Smoking accounts for 85% of all new cases of lung cancer in
Canada.

Smoking causes cancers of the lung, bladder, oral cavity, pharynx, larynx, esophagus, cervix, kidney, lung, pancreas, and stomach and causes acute, myeloid leukemia.
Cardiovascular
Deaths:

Smokers are 2-4 times more likely to develop coronary heart disease and stroke.

Cigarettes are known to cause heart attacks and sudden cardiac death (ischemic heart disease), stroke (cerebrovascular disease), hardening of the arteries (atherosclerosis and peripheral vascular disease), leg pain, difficulty walking, gangrene, amputations, and aneurisms.
Respiratory
Deaths:

Smoking accounts for 80 - 90% of all chronic obstructive pulmonary disease (COPD).

It can also increase the risk of chronic bronchitis, emphysema and pneumonia.
Source : Fact Sheet: Health Effects of Cigarette Smoking, http://www.cdc.gov/tobacco/data_statistics/Factsheets/health_effects.htm
Why Do Tobacco Companies Donate?
Considering that the tobacco industry is responsible for hundreds of thousands of deaths per year in North America alone, the motives behind corporate donations by tobacco companies are frequently questioned. Some research suggests that tobacco companies attempt to buy legitimacy through corporate giving. Since the tobacco industry profits from the sale of addictive and lethal products, they are often perceived to be immoral by society’s standards. In an attempt to overcome this negative image, tobacco companies make donations to corporate and non-profit organizations.
Contributing funds to various organizations allows the industry to feel that they are giving back to the community and contributing to society; portraying a responsible industry image that people might view in a positive (or at least less negative) light.
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United Way of Halifax Region Board Member Reactions
In putting together information to bring to the Board, Catherine had decided to ask some of her fellow board members for their opinions on the ethics of the decision they were facing. Two conversations in particular stuck out in her mind.
The first was with Shannon, who had been on the Board of Directors for the past
4 years and felt strongly that United Way should accept the donation.
I do think that the United Way should accept money from tobacco companies. It’s not that I sympathize with tobacco companies – my father, my mother and my uncle have all been afflicted with tobacco related illnesses and I have asthma because I grew up in a house with smokers, but that isn’t the point. If you look at the values of the United
Way, we can’t be judgmental and think that one person’s money is better than another person’s money.
If you were being politically correct and boycotting products that have negative associations attached to them you would go into the grocery store and not be able to buy anything. It is a very slippery slope.
Who are we to say that a tobacco company’s money can’t be used? As long as the government accepts tobacco as a usable substance, there should be no issue. If United Way values are going to mean anything, then we have to honour them. Shouldn’t we stand up for our values?
The second board member that Catherine spoke to was Julie, who was in her third year on the board. Julie felt very strongly that the United Way should not accept money from a tobacco company.
An organization such as the United Way, which is in the public eye, has to be very careful in how it gathers money from the public and how it spends it. Many people feel that making a commitment to stop accepting money from tobacco companies will restrict the organization from accepting money from other potentially controversial industries; if we don’t accept money from tobacco companies then liquor companies and gambling associations might be next. Although it raises the issue “where do we draw the line?” that is not a good enough reason to accept the money.
There are certain times in society when views change. Take seatbelts for example. When it first became the law to wear a seatbelt while driving, many people continued to not wear them. However, as times changed, most people came to realize that not wearing a seatbelt is nuts. While it is still predominantly a person’s choice to wear a seatbelt or not, it has become the norm to wear a seatbelt when you are in a car for your own personal safety.
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There are many evils in politics around the world and there are many bad things done to people that are only stopped when action is taken. During
Apartheid people would boycott South African products and when this caught on it helped contribute to Apartheid being stopped. Why?
Somehow people said this is too bad and too in our face – we can’t ignore it. Smoking is the same thing. It was accepted, but gradually times changed and rules passed. Society has heard enough about how bad smoking is for you and that tobacco products kill people. Although there are other trends, society has shifted their views about tobacco and the
United Way must be a leader.
United Way of Halifax Region Agency Reactions
At present, the United Way of Halifax Region provides funding to 52 agencies in the Halifax Regional Municipality; each agency has a unique mandate and serves community members within a variety of interest groups. As an organization that provides funding to not-for-profit agencies, it is essential that the United Way consider agency values when accepting and distributing donations.
Catherine recalled that a group of MBA students had conducted research on this exact subject earlier in the year, when the issue had first been raised. Catherine retrieved a copy of the submitted report and reviewed the findings. Only twelve of the 52 agencies had been contacted; however, this sample included a diverse group of individuals that represented each of the community impact areas, and Catherine felt that the sample offered perspectives that could be extended to the larger group.
The majority of the agencies surveyed didn’t have a gift acceptance policy.
Although some had considered establishing a policy, it was typically seen as unnecessary due to the size of the organization. Small not-for-profits were seen to have “short chains of command” and typically decisions could be made quickly on a case-by-case basis. To formulate and implement a gift acceptance policy was considered to require time and effort that these organizations were unable to provide. Two of the agencies had recently developed gift acceptance policies as a result of previous experiences. They felt that as they became more established it was necessary to implement formal policies and procedures to proactively address any sensitive issues.
In terms of securing funding, United Way Agencies receive money from many sources. While some rely heavily on the United Way, others receive only a small portion of their funding from the United Way. Other sources of funding for these Halifax agencies include: individual and corporate donations, fundraising events, government grants, the Department of Community Services, the Department of Health, the Province of Nova Scotia, agency members, and income from services.
When the agencies were asked whether there were any specific industries that they would be hesitant to accept money from, they gave a variety of answers. Industries perceived to be undesirable sources of income included: tobacco, alcohol, firearms,
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casinos, lotteries, pharmaceuticals, fast food, pornography, exploitative of women and/or children, and dieting. Only 3 out of 12 agency representatives said that their organization would be willing to accept money from an organization with a questionable reputation, with most of the respondents claiming that their boards would have to review the donation and make the final decision as to whether or not they would accept the money.
However, despite having reservations about accepting money from these types of organizations, half of the agency representatives interviewed said that their organization would be willing to accept questionable money if it was an anonymous donation. It seemed that most agencies were primarily concerned about the repercussions if their stakeholders and the public found out the origins of questionable donations.
The agency representatives were asked specifically if their organization would accept money from a tobacco company directly, should the opportunity arise. Half of the respondents said that their organization would likely accept the money. Many agencies rely on fundraising for a significant portion of their budget and money can be difficult to come by; one Executive Director explained, “Money is money and we take it from where we can get it. We are working with minimal dollars and we wouldn’t be ready to pass up donations, especially if it means keeping our doors open. We do preach not to smoke here, but we need the money.” Others simply felt that taking money from a tobacco company didn’t conflict with their mission and therefore it was acceptable. “We work with adults who are over the age of 18 – they are of legal age and are able to make their own decisions. Accepting money from a tobacco company wouldn’t reflect negatively on who we help or what we are trying to achieve.” However, the other half felt that accepting money from a tobacco company would conflict with their beliefs and that the implications related to accepting the money would be too harmful.
Most of these agency representatives did seem to feel that under certain circumstances it was acceptable to receive a donation from a tobacco company; 9 out of
12 felt that it would be okay to accept the money on the basis that it be used for programs that directly combat the effects of smoking, while 10 out of 12 felt that it would be okay if the money was raised through a workplace campaign where employees were donating their own money, rather than the corporation giving the donation.
A primary concern of Catherine’s was determining whether or not agencies felt accepting money from tobacco companies would directly conflict with the United Way’s mission statement and credo. The Board had spent a great deal of time revising the mission, values and credo; she did not want to be seen as making a decision that would be seen as contradictory or negatively impacting the work that had been done. Three out of
12 of the agency representatives felt that some conflict existed and that accepting a donation from a tobacco corporation was not in the best interest of the community. One respondent felt that “there is a conflict as the United Way funds agencies that are helping to treat people for addiction; it seems like a backwards way to acquire funds.” And one of the agencies interviewed felt that the credo, which specifically states, “everyone needs help and everyone can offer help,” indicated that the money could be accepted without negative repercussions. Ultimately, all respondents felt that regardless of what United
Way decided to do with a tobacco company donation, their organization would likely still
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accept funding from the United Way. They consider the United Way to be well respected in the community and with such a broad group of agencies reliant on the organization for funding, all respondents felt that no one would pass judgment on the decision.
The Board Meeting
The day of the board meeting arrived and Catherine spent a final hour reviewing the information that she had collected over the past several days. Even though she felt well prepared, Catherine knew that it would be a long meeting. She wanted to make sure that all the board members had a chance to share their thoughts on the controversial topic.
Deciding whether or not to accept the money from the tobacco company was a major decision that could have lasting implications. Once again she wondered if drafting a gift acceptance policy would be useful in making these types of decisions in the future.
Noticing the time, she picked up her folder and headed for the boardroom.
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E XHIBIT #1
–
A S ELECTION OF A GENCIES F UNDED BY THE U NITED W AY OF H ALIFAX
R
EGION
Agency Name
Alcare Place
Description
Alcare Place provides a supportive, structured, long-term residential environment for men with addictions, who are committed to change.
Boys and Girls Club of
East Dartmouth
Dartmouth Family
Centres
The mission of all Boys and Girls Clubs in Canada is to provide a safe, supportive place where children and youth can experience new opportunities, overcome barriers, build positive relationships and develop confidence and skills for life.
Programs and activities focused on child-centered development for children and their families.
East Preston Day Care
Centre
Eating Disorders
Action Group
Family Services of
Support
Musquodoboit Valley
Family Resource
Centre
Spencer Health Senior's
Care
The Marguerite Centre
Victorian Order of
Nurses of Greater
Halifax
YMCA of Greater
Halifax/Dartmouth
A community centre that promotes early childhood education in a daycare setting for young and school-aged children. In partnership with the IWK, it offers prenatal clinics, family education and health programs.
The Eating Disorders Action Group promotes healthy body image and self esteem and supports individuals who have easting disorders.
Family SOS Healthy Kidz program is a community-based program designed to promote the health and well-being of children and their families. The program operates in two
Halifax neighborhoods.
Committed to increasingly meeting the needs of parents and young children in the rural community and to enhancing parental involvement in children's development, health and learning.
The Centre provides services and programs to enable older adults to live independently, contribute to their community and maintain an active and healthy lifestyle.
A long-term residential facility for women in recovery from addictions and abuse.
VON’s volunteer programs compliment their health care services by connecting people to their community increasing their support and providing services that help people remain in their homes.
The Community Y provides recreational and leadership development programs for youth and their families in the inner city of Halifax.
*Source: United Way of Halifax Region Website
(http://www.unitedwayhalifax.ca/)
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E
XHIBIT
#2
–
S
TATEMENT OF
R
EVENUE
, E
XPENDITURES AND
G
ENERAL
F
UND
B ALANCE
Fundraising Revenue
Workplace Campaign
Other fundraising
Funds transferred to other United Ways
Funds transferred from other United Ways
Less: Uncollectible Pledges
Net Fundraising Revenue
Other Revenue
Grant Revenue
Other Income
Bequests
Interest on investments and deposits
Investment income
Expenses
Fundraising Expenses
Net Revenue Available for Programs
Support to the Community
Community resource services
Funded programs
211 program
Small grants
Major Gifts for Neighbourhood Project
Designations
Designations to other United Waus
Allocation to United Way of Canada
Grant
Excess of revenue over expenditures
General fund balance, beginning of year
Excess of revenue over expenses
Transfers (to) from Capital Asset Fund
Capital purchases
Depreciation
Transfer to Endowment Fund
Memorial
Bequests
Dream Home proceeds
Hurricane Juan recovery
Transfer to reserve for future operations
General fund balance, end of year
2006 2005
120,000
(15,207)
150,000
5,321,545
(232,903)
5,088,642
$ 4,847,591
250,392
(16,438)
170,000
5,251,545
(205,181)
5,046,364
405,671
632
13,650
38,949
7,456
5,555,000
177,890
85,784
7,868
26,024
3,413
5,347,343
938,502 888,942
4,616,498 4,458,401
474,542
2,000,061
2,083
2,000
1,579,079
-
15,207
39,750
405,671
4,518,393
456,064
2,126,567
-
-
46,014
1,462,044
16,438
39,540
177,890
4,324,557
$ 98,105 $ 133,844
$ -
98,105
$ 37,706
133,844
(40,873)
33,063
-
(632)
(13,650)
-
-
-
$ 76,103
(19,962)
31,822
(100)
(7,868)
(46,988)
(38,696)
(89,758)
-
*Source: United Way of Halifax Region Website
(http://www.unitedwayhalifax.ca/)
14

E
XHIBIT
#3 – C
ANADIAN
T
OBACCO
U
SE
M
ONITORING
S
URVEY
R
ESPONDENTS
O
PINIONS ON
W
HO IS
R
ESPONSIBLE FOR
Y
OUNG
P
EOPLE
S
TARTING TO
S
MOKE
Why do Young Canadians Start to Smoke?
19%
8%
4% 4% 2%
20%
43%
Friends and Peers
Parents
Themselves
Tobacco Companies
Government
Other
Celebrities
*Source: Canadian Tobacco Use Monitoring Survey, Summary Results for the first half of 2007
(http://www.hc-sc.gc.ca/hl-vs/tobac-tabac/research-recherche/stat/_ctums-esutc_2007/wave-phase-
1_summary-sommaire_e.html)
15

R
EFERENCES AVAILABLE UPON REQUEST i Information in this section was derived in part from the United Way of America’ website: http://www.unitedway.org/index.cfm
ii Information in this section was derived in part from the United Way – Centraide Canada website: http://www1.unitedway.ca/sites/PortalEN/default.aspx
iii Information in this section was derived in part from the United Way of Halifax Region’s website: http://www.unitedwayhalifax.ca/AbsPage.aspx?siteid=1&lang=1&id=1 and through personal communication with United Way of Halifax Region staff. iv Information in this section was derived in part from the Imperial Tobacco Canada website
(http://www.imperialtobacco.com/onewebca/sites/IMP_5TUJVZ.nsf/vwlivelookupHomePage/HOME?ope
ndocument&SID=&DTC=) and the Imperial Tobacco Canada Foundation website
(http://www.fondationimperialtobacco.ca/home.htm).
16