PBH Faces Summer of Financial Woes

As a non-profit public service organization, the Phillips Brooks House Association (PBHA) has always struggled to find enough money.

But its multi-million dollar capital campaign may ease the organization's financial troubles in years to come, the group's summer programs are facing financial shortfalls now.

PBHA summer programs generally offer in-class teaching as well as less structured activities, such as field trips. The 13 camps run the entire day.

Last year, they were funded in large part by a one-time grant. This year, they won't get it.

Summer program directors say they are excited about the summer, and have reformed their leadership selection process in an attempt to improve their staff.

But with less money to fund the programs, PBHA directors say they will also consider cutbacks--such as fewer meals and reduced offerings--to deal with their current budget shortfall.

Financing PBHA

PBHA programs are funded from a wide range of sources, including alumni pledges and grants from foundations.

Lee M. Hampton '01, outgoing PBHA treasurer, chairs the budget committee that supervises all of the program's financial transactions. He says that PBHA often finds it difficult to raise enough money for its programs, but that raising money for summer programs is especially demanding.

Last year, PBHA spent a total of $495,000 on the summer programs.

"PBHA's finances are always teetering on the brink," Hampton says. "Donors don't want a surplus: they could take some of their money and give it to someone else. Non-profits very rarely have large cash reserves."

This year, PBHA finds itself in a particularly precarious financial position.

Last year, PBHA used a $66,000 grant from the Boston Youth Foundation for its summer programs, but this year, the foundation turned down PBHA's request for a grant.

In addition, last year PBHA spent $100,000 of a bequest from the Margaret Rey Estate on the summer programs. This year, however, Hampton says the organization can only afford to spent $50,000 of the Estate's gift on summer programs.

Those numbers leave PBHA with $116,000 less than the group says it had last year. And, because of a deficit rollover, Hampton estimates that PBHA is short $147,000 of what it needs for the summer programs, assuming PBHA does not get any more grant money.

Hampton says that PBHA's Centennial Campaign, which aims to raise $7.25 million over three years, should ease these financial worries in the long-term, but will not fund programs in the near future.

"In a way, it actually exacerbates our short-term problems," Hampton says. "Our alumni are also our biggest source of regular support and we're asking them to double contributions."

Making Do With Less

With limited financial support this year, PBHA will allocate fewer funds than usual for SUP and encourage directors of individual programs to step up fundraising efforts.

Natalie Guerrier '01, outgoing president of PBHA, says PBHA will also cut some "extra programs" and "extra perks" to compensate for the lower funds. Specifically, Guerrier says, PBHA will cut down on expenses spent on providing food.

"The staff used to get one free meal a day under the plan," Guerrier says. "We're not giving that to them anymore."

Several directors say that despite PBHA's perennial struggles to fund the summer programs, they run relatively smoothly after directors finish the chaotic fundraising

Sandra L. Guzman '01, who co-directed the Dudley Youth Initiative, says her camp ran without major problems even though she encountered problems with fundraising at the beginning of her directorship.

"The bulk of our initial fundraising was spent on paying debts from the summer before," Guzman says. "We were trying to operate on a bare minimum. But, yes, it ran relatively smoothly."

Hiring Directors

PBHA officials are pushing ahead with summer planning for this year by reforming their process for hiring directors.

Not long ago, directors simply handed down their intensive responsibilities to others. But many people within PBHA thought the system was not rigorous enough.

PBHA now requires an interview as well as a written application for all summer program directors.

Hampton says now that the process is more open, PBHA hopes to get more applicants for the post than in the past.

"Sometimes there were concerns that the director getting into the job might be pressured into it or wasn't the best person," Hampton says. "We wanted to cast a wider net."

Rebecca A. Windt '02, the summer program group officer, writes in an e-mail message that the directors and staff of PBHA think the new system will improve PBHA's programs.

"We will be able to bring in a more well-screened group of directors who have been introduced thoroughly to the structure of PBHA and of [the summer programs] during the interview process," Windt writes.

Guerrier says PBHA seeks people with not only significant experience but also the ability to work well with others.

"It's not just experience," Guerrier says. "We have to hire fine staff who get along with each other."