CFC Info Center

Military-related charities are feeling the pinch of the economic recession as donors cut back on their giving.

"We’re hurting. We’ve never had to ask for money before, and now we’re out there asking," said Karen Guenther, co-founder and executive director of Injured Marine Semper Fi Fund.

Even as the number of injured troops asking for help has been on the rise, Guenther’s group has seen a drop in donations of about 34 percent this year compared to the first eight months of 2008.

That’s had an impact on assistance. Although the fund is giving more grants, the average amount of the grants has decreased, and the organization also has had to dip into its reserve funds, Guenther said.

The Injured Marine Semper Fi Fund helps injured Marines and sailors and their families, and soldiers and other service members injured in direct support of Marines.

The Fisher House Foundation has seen a 30-percent drop in donations this year, said David Coker, foundation president.

Guenther and other charity officials are pinning their hopes more than ever on the annual Combined Federal Campaign, which is just getting underway.

"When we joined CFC, we knew it would be a good way to sustain us in our lean years," Guenther said. "That’s what we’re seeing now, so I’m hoping our [CFC] donations go up this year."

But the outlook is uncertain at best. IMSFF and Fisher House are part of a military-related CFC federation of 69 charities called the Military, Veterans & Patriotic Service Organizations of America, www.mvpsoa.org.

In the 2008 CFC campaign, donations to MVPSOA charities decreased by about 3.9 percent — even though overall donations to CFC increased by 1 percent.

Patrick Maguire, business manager for the MVPSOA federation, called last year "a minor hiccup," noting that since 2005, CFC donations to the military-related charities have increased by 36 percent.

Still, he’s predicting a "flat" year for the 2009 campaign.

"For the military charities, CFC is usually a pretty important source of income," Maguire said. "How well they do in CFC can mean the difference between success and failure."

One reason military-related charities are feeling a pinch is that funding from the California Community Foundation is ending. Over the past three to four years, that foundation has funneled nearly $250 million to charities that help troops and families affected by deployments to Iraq and Afghanistan.

"Everyone had a tremendous plus-up and could increase services" through that initiative, said Coker of the Fisher House Foundation.

CFC donations play a big role in Fisher House’s ability to help troops and their families, Coker said. Among other things, those donations pay for families to stay free at Fisher House comfort homes near military treatment facilities. In 2008, the foundation received donations of $40 million, most of which is used to build more Fisher Houses. About $2.6 million came from the CFC.

The Landstuhl Hospital Care Project, a charity with a much smaller budget, has seen an increase in cash donations of about $3,000, or 4 percent, through Juy 31, compared to the first seven months of 2008.

"But if we didn’t have the [CFC], we would actually be down in donations," said Karen Grimord, president and founder of the organization. "I’ve received three e-mails from donors in the last two months saying they could no longer support LHCP because they were losing their jobs. They’ve been longtime supporters."

The foundation, working with 72 contacts in military and VA medical facilities, sends a variety of items ranging from blood warmers to special disposable washcloths, to thermal blankets, DVD players, and clothing ranging from disposable surgical underwear to socks, sweats and winter coats.

This will be its first year in the MVPSOA federation, and Grimord hopes greater visibility will boost donations.

Some charities are much closer to the brink. "In the last three weeks, three military-related charities have told us they can no longer help clients — they have no money," said USA Cares president Bill Nelson.

Many military-related charities work together, referring troops and families to sister charities that focus on a particular need, he noted. "Those of us who survive have to do more," he said.

USA Cares focuses on emergency financial needs, including housing. The group has seen a drop of about 2 percent in donations this year, even as the need is increasing.

Over the past six to eight months, Nelson said, "We’ve definitely seen a trend in ruthlessness in landlords and particularly utility companies reluctant to work with anyone regarding evictions or utility shutoffs."