Million-dollar shortfall: Rotorua charities hit as fundraising efforts struggle

SPCA attendant and receptionist Lisa Norton with one of their kittens. Photo / Andrew Warner

Charities are feeling the economic crunch of Covid-19 as fundraising opportunities dwindle in an uncertain world.

Rotorua Community Hospice is facing a million-dollar shortfall, while the SPCA has been forced to run an "emergency appeal".

However, it's not all "doom and gloom", as many use the opportunity to think of new, creative campaigns to raise the much-needed funds to keep up the good work.

Rotorua Community Hospice's fundraising and marketing manager Nichola Smallwood said the charity was facing a million-dollar shortfall as hospice care cost "a lot to provide" and cancellation of big-ticket fundraising events had taken its toll.

The hospice was "really disappointed" to cancel its main event, Harcourts Dancing for Hospice, as it was something the whole community got behind and had become "one for the calendar", she said.

However, it had other events such as the Craigs Investment Partners Hospice Golf Classic next Friday and Mitre10 Mega Ladies Night in the coming months.

The hospice received about 50 per cent of its funding from the district health board but financial support from the community was "essential" to meet the shortfall, she said.

The hospice had tried a number of new Covid-friendly partnership fundraising initiatives such as getting behind a local Rotorua book and a Trade Me auction with Patchell Group.

"During lockdown, we tried an email and post appeal just asking supporters if they could help and had an incredible response."

Dancing for Hospice was the Rotorua Community Hospice's biggest annual event. Photo / File

She said it was hard to say what the future looked like in the "current climate" with a "lot of uncertainty" in the air, but she was hopeful the charity would be in a better position next year.

The SPCA's general manager of marketing and fundraising Dominique Leeming said it had been a "really topsy and turvy year" and although they had been "very worried" when lockdown came, things were tracking well.

They ran an emergency appeal in lockdown to help cover the funds that would have been raised from op shops that had to shut, she said.

"People were very generous and it really helped cover our losses."

She said they were on track to have a similar amount of funds as this time last year and had run a number of successful campaigns.

The charity was now entering kitten season, which was its busiest time of the year.

She said they were looking for donations of blankets, towels and supplies and anything that would be "useful".

BDO Auckland's audit and assurance partner Wayne Monteith said some charities might join forces to ease funding and staffing requirements to stay afloat.

This could mean two charities that did similar work in a community might have to put any "competitive" histories aside and work together, he said.

The majority of charities did not have huge reserves to fall back on when times got tough and were reliant on ongoing revenue streams, he said.

St Chad's Charitable Trust general manager Nicky Mayne. Photo / File

Charities were always "walking a tightrope" when it came to putting money away for a rainy day as they "can't have too much or too little" and this could have been problematic for some, he said.

But it was not all "doom and gloom", he said. The changing landscape had allowed many charities breathing space to try new creative campaigns.

He said the wage subsidy had been "hugely helpful" for charities and the situation would have been far worse without it.

However, for some charities, the impact of Covid-19 ran a lot deeper than funding.

St Chad's Charitable Trust general manager Nicky Mayne said the impact the Covid-19 restrictions had on her staff was "immense" and if the city were to go back into restrictions, she did not know if they would have "anything left to give".

"It has been a very, very hard year."

She said they were an essential service and worked with 100 of their disabled clients throughout lockdown.

They were acknowledged by a number of funders and the Ministry of Social Development for the work they had done over that time and they appreciated the recognition, she said.

Financially, the service was doing "okay", she said.

However, it would now have to think of a "long-term strategy" for the wellbeing of staff.

She said they had truly had their "resilience tested" and she would not be able to put the same expectations on her team again.