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The Feasibility Study for:Emmanuel Christian High School, Fergus Ontario

October 2013

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217 Gainsborough RoadToronto, OntarioM4L [email protected]

A Feasibility Study for Emmanuel Christian High SchoolConducted by John McLaverty & Associates

October 2013

Executive Summary

Study Interviews and Focus Group Sessions:

Conducting both individual Study Interviews and a Focus Group Session enabled John McLaverty & Associates (JMcL) to talk to key individuals about Emmanuel Christian High School’s (ECHS) major gift fundraising plans and garner frank, confidential feedback. As a third party, JMcL was able to record and analyse data in an objective manner.

To ensure that the face-to-face Study Interviews and the Focus Group Session targeted the right individuals, JMcL collaborated with ECHS’s Board to compile a list of potential interviewees whose insight and support was deemed critical to the success of the proposed campaign. Over 30 individuals throughout the ECHS region were approached, inviting them to participate in interviews and were followed up by phone calls to set up one-on-one interviews with JMcL.

From June to October 2013, JMcL conducted 27 confidential personal interviews and two internal focus groups for both High School teachers and students from all grades in the High School.

To support the interview and focus group process, JMcL worked with representatives of the ECHS Board to develop a Preliminary Statement of Need (Appendix A) outlining the case for potentially raising monies to build a new High School on the present property of Maranatha Elementary/ECHS or finding a separate, but appropriate school building in the same geographical area.

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JMcL also developed a Chart of Giving Standards that —based on JMcL’s experience in major gift fundraising — outlined the number and value of gifts required to reach a $4 million goal.

The Preliminary Statement of Need was provided to prospective interviewees in advance of the interviews whilst the Chart of Giving Standards was used during interviews to solicit feedback and advice.

During one-to-one interviews and in the focus group, Study participants were asked to comment on issues relating to a successful and sustainable major gift program, including the following:

Personal perception of Emmanuel Christian High School and thoughts about the public perception of the organization

Response to the plans to raise $4 million in major gifts over the next 3-5 years

Thoughts on the Chart of Standards and the availability of leadership and major gifts in support of a $4 million goal

Philanthropic priority of ECHS potential giving intentions

Inclination to volunteer and/or take a leadership role in a major gift program, and characteristics of desired volunteers

Timing of a possible campaign as well as the current economic climate in the area.

Participants’ input on these topics was recorded and their comments were compiled to identify common themes, which served as the basis for the series of recommendations included in the Final Report that was presented to the Board of Directors and the Capital Campaign Committee on October 30, 3013.

CRITICAL FACTORS FOR CAMPAIGN SUCCESS

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Drawing on JMcL’s experience working with charitable organizations of all sizes and representing the full scope of the not-for-profit sector, the following factors have been identified as being critical to achieving fundraising success:

A Strong and Positive Image: With a strong image, organizations are top-of-mind among potential donors and volunteers, and stand out from competing appeals.

A Compelling Case: Organizations seeking support must communicate urgency for their plans, find specific and appealing opportunities to participate, and tie their plans to the mission and vision of the organization.

An Ambitious but Attainable Goal: It is important that a fundraising initiative’s financial objective be considered ambitious but attainable by those who will be asked to support the initiative financially and in a volunteer capacity.

Demonstrated Support: In JMcL’s experience, significant pacesetting investments are invariably required to achieve success in major appeals. In addition to their contribution to the fundraising initiative’s financial objective, these major gifts help to raise the giving sights of other potential donors.

Committed and Influential Leadership: Major fundraising initiatives must have access to high-level volunteer leadership to achieve success. Ideally, volunteers should flow from the institution’s governing and fundraising bodies, and they should be community leaders who can champion the organization to prospective donors.

Readiness to Fundraise: Organizations must consider how external factors such as economic conditions and other campaigns might affect

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their fundraising efforts, and ensure that internal structures such as staffing and fundraising infrastructure are equipped to undertake a major fundraising initiative.

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EXECUTIVE SUMMARY

FINDINGS:

The following is a very brief overview:

Emmanuel Christian High School (ECHS) has a strong and positive image as an organization of great value for donors interested in supporting secondary education for the Canadian Reformed Church in this catchment region.

ECHS occupies a unique niche for secondary education in the Reformed tradition. The Reformed values around the integrated themes of family, education and church were continually re-enforced by interview participants. A Secondary School such as Emmanuel is seen as an essential part of the life of a Canadian Reformed family.

In terms of the “image” of Emmanuel Christian High School, the majority of respondents saw the school offering an excellent quality education with graduates being prepared well academically, socially and theologically. A desire to have more curricular options was expressed frequently. Kudos were continually given to the High School staff for conducting an excellent education opportunity in the midst of overcrowding, dual schedules and multiple age levels within a common building.

The ‘Preliminary Statement of Need’ was the cauldron of a wide variety of response within the community. This needs to be an important focus by the ECHS Board as the organization moves forward. There needs to be one plan, fully explored, fully explained and seen as having a legitimate future for forthcoming generations of students. There were definite

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opinions expressed on both sides of the two options presented, along with a couple of alternative suggestions. As much as the majority of people wanted to move forward in the immediate future, there was caution that the Board and the ‘Membership’ made the appropriate decision as it would affect generations of students over the next 25 years. Counsel sees people preferring the Board to act in a strategic fashion rather than being reactive to the present circumstances.

As much as there has been years of debate over this issue of building, there is an acute need for clear communication with the ‘Membership’ moving forward.

The majority of respondents felt a campaign to raise monies to build is an appropriate and timely undertaking. Interviewees know it is a necessary part of their stewardship future as people of the Canadian reformed community.

Many participants were cautious about the attainability of the $4 million goal, yet at the same time, more than 90% of respondents said a Capital campaign would be a ‘high’ priority in their stewardship commitments over the next 5 years.

Few respondents could identify a possible source for the Lead Gift of $500k, yet saw the necessity of having a firm foundation to build upon. 50 % of respondents felt the Lead Gift was attainable.

The majority of interviewees felt some of the Top Ten Gifts were attainable-ie. 1 gift of $500k; 4 gifts of $250k; 3 gifts of $150k and 2 gifts of $100k. The bottom two categories were seen as realistic and attainable.

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The rest of the Gift Chart was seen as attainable by the majority of interviewees.

When asked the question – ‘How do you think donors should be recognized for their support of this appeal?’ almost 95% responded by saying recognition comes through a thank you note from the Board Chair or Campaign Chair! Any gift given to the Capital Campaign is seen as God’s gift and God’s provision. Counsel thinks there may be some applied Reformed theology at work!!!

Raising this amount of money within a ‘bounded-set’ such as Canadian Reformed people in this catchment region means that fund raising will most likely be confined to the ‘Membership’. Sixty individuals or corporation/businesses were identified as interested parties who would invest in the building /renovation of a new ECHS.

Respondents were asked if they would like to identify their level of support on the proposed $4M Chart of Standards. The majority of people self-identified. The low number of possible identification would raise $960k. The high number of self-identification would raise $1.375M.

Major fundraising initiatives must have access to high-level volunteer leadership to achieve success. Over 30 names were given for the Campaign Chair position. As the catchment region is wide, not all names would be known in each area whether it be Owen Sound, Listowel, Orangeville, Guelph, Elora or Fergus.

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Many people interviewed stress that the potential Campaign Chair needed to be a person of tact, sensitivity and passionate about Reformed education.

A time line was presented for a possible Capital Campaign. The idea was that the Board of ECHS would spend the Fall and early Winter months in preparation of their plans, communication and Case for Support. If accepted by the Membership, trained volunteers would go out in early Spring 2014 to solicit the ‘Top Ten gifts’ on the $4M Chart of Standards. Most people accepted this timeline. Again, emphasis was put on a well laid out business plan being in place before solicitation was begun.

The Economic forecast for the area was seen as stable over the next two years. Little unemployment within the Canadian Reformed community was noted.

The only competing capital campaigns mentioned were building programs for Canadian Reformed churches such as Fergus North. People saw a priority of giving to a church campaign over an education campaign.

While a large percentage of individual respondents indicated an interest in supporting ECHS, a number of significant gifts were self-identified;

The results of the Study and Assessment show significant potential for ECHS to raise $3 million of pledged commitments in major gifts by 2015. Success will depend on the organization applying campaign-style rigour and discipline to a focused major gifts program and on implementing the following recommendations:

Develop a culture of philanthropy within ECHS where fundraising is seen as a valued and core activity

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Build a strong Case for Support and communications plan

Move from planning to action in major gifts

Build relationships with prospects based on sound fundraising methodology

Maximize the impact of planned gifts and gifts of securities

Engage the right volunteers to assist a Capital Campaign Committee

Engage the appropriate Chairperson to be the lead advocate and leader of the Capital Campaign.

Resource ECHS fundraising operations for success

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PROJECT OVERVIEW

Mandate

As stated in the Preliminary Statement of Need (see Appendix A) issued by Emmanuel Christian High School, the mandate of this Study was “to determine the potential of progressively and significantly increasing revenues generated through a Capital Campaign program…to generate and sustain revenues of $4m over the next 5 years.”

“Towards the building of a School Facility for ECHS” Ever since Emmanuel Christian High School (ECHS) opened its doors in 2005 our educational ‘home’ has been the building of Maranatha Christian School, located on Garafraxa Street in Fergus. When this school was built over 25 years ago, the rooms were spacious and the halls were wide. By now both Maranatha and Emmanuel have expanded and the classes are packed to capacity. The ECHS hallways are jammed with over 175 growing, lively teenaged students, jockeying for a gap in the crowd. Lockers line every available wall space and every closet and nook and cranny is being used. The sceptic system is used to full capacity and the demand for the computer lab, library and gym brings constant tension due to the high demand for these facilities. It also becomes more difficult for the staff to work effectively since they too share what little office space there is and they lack space for preparation and other functions that are pertinent to their work. A new facility to address current need and future growth is not a luxury but a necessity!

Strategy In November 2010 both societies of Maranatha Christian School and Emmanuel Christian High School agreed with a majority to support the vision for two separate school buildings by 2015, on two separate properties if possible. In the proposed vision (Oct. 6, 2010) it said: “A separate property

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and building for ECHS will allow the board and its membership to operate autonomously and this situation supports and attracts in the best possible way membership from all neighbouring church communities to ECHS.” It’s time for ECHS to ‘move out’ and become a separate regional Reformed High School, where quality, Christ-centered education continues for students living in the Highway 6 corridor, north of the 401.

Over the past years many properties and options have been investigated and the solution is narrowed down to either the purchase of the previous CW High School building in Fergus OR building a new facility on the MCS property. The key to the growth of ECHS is continued support by the Reformed community under the blessing of our Heavenly Father. Together, as members of Christ’s church we can be part of this exciting opportunity to provide Reformed high school education for covenant children.

Very soon a final decision needs to be made on how to realize new home for ECHS. Whether it will be the purchase and renovation of the old CW High School building or building a new facility on the MCS property, both initiatives will require a Capital Campaign objective of $4 million. The board and a special Capital Campaign committee seek your insight and support to take care of current need.”

Specific questions that ECHS was interested in having answered were as follows:

Does the Case for Emmanuel Christian High School resonate with existing and prospective major donors?

What is the most viable major gift approach that will help ECHS meet its objectives?

Does the organization have enough donors to reach its objectives?

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What internal conditions are required to support an assertive major gifts initiative which has integrity?

What is the best staffing structure for the Capital Campaign team (including organizational structure, number of volunteers, roles etc.)?

Are the right individuals willing to assume key volunteers leadership roles?

What external environmental factors will impact ECHS’s ability to achieve its objectives?

What specific gifting options does ECHS need to offer prospective major gift donors?

What gift chart is most suitable and required to meet objectives?

To answer these and other questions, John McLaverty & Associates employed various methodology and analysis, as described in the following section.

Methodology

John McLaverty & Associates used a number of tools and methods to collect the data and information necessary to evaluate the feasibility of a $4 million capital campaign goal for Emmanuel Christian High School.

Specific information on the methodology follows:

Study Interviews and Focus Group Sessions

Conducting both individual study interviews and a Focus Group Session enabled John McLaverty to talk to key individuals about Emmanuel Christian High School. John McLaverty & Associates was able to record and analyze data in an objective manner.

To ensure that the face-to-face study interviews and the Focus Group Session targeted the right individuals, John McLaverty & Associates collaborated with ECHS to compile a list of potential interviewees whose insight and support was

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deemed critical to the success of the proposed campaign. Letters were sent to more than 30 individuals throughout parts of South Western Ontario inviting them to participate in interviews and were followed up by phone calls to set up one-on-one interviews with John McLaverty & Associates staff.

From June to October 2013, John McLaverty conducted 27 confidential personal interviews and two internal focus groups for both ECHS Teaching Faculty and ECHS student groups.

To support the interview and focus group process, John McLaverty worked with the Board of Emmanuel Christian High School to develop a Preliminary Statement of Need outlining the case for increasing major gift revenue to $4 million over 5 years for the capital campaign.

John McLaverty also developed a Chart of Giving Standards that—based on his (John’s) experience in major gift fundraising—outlined the number and value of gifts required to reach a Capital Campaign goal of $4 million (see Appendix B). The Preliminary Statement of Need was provided to prospective interviewees in advance of the interviews whilst the Chart of Giving Standards was used during interviews to solicit feedback and advice.

During one-to-one interviews and in the focus group, study participants were asked to comment on issues relating to a successful and sustainable major gift program, including the following:

Personal perception of Emmanuel Christian High School and thoughts about the public perception of the organization

Response to the plans to raise $4 million over 5 years in major gifts

Thoughts on the Chart of Standards and the availability of leadership and major gifts in support of a $4 million goal.

Philanthropic priority of ECHS’s Society potential giving intentions

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Inclination to volunteer and/or take a leadership role in a major gift program, and characteristics of desired volunteers

Opinion on the internal readiness of Emmanuel Christian High School to embark on a major gift capital campaign.

Participants’ input on these topics was recorded and their comments were compiled to identify common themes, which served as the basis for the series of recommendations included in this report. A complete overview of participants’ thoughts and ideas, including a selection of direct quotations from participants, is dispersed throughout the document.

Internal Readiness Appraisal

In addition to asking Study participants to comment on the readiness of Emmanuel Christian High School to build a more ambitious major gift program, with a Capital Campaign goal of $4 million, John McLaverty feels it is important that the internal readiness of the finances for the School-including the Annual Operating Budget is worked out beforehand so neither fund suffers during the campaign. Therefore the following are essential to successfully moving forward:

A long-term vision and core values that guide the institution’s work

A solid strategic plan to realize that vision

Communications and a compelling Case for Support

Comprehensive fund raising programs (annual fund, major gifts, etc.)

Fund raising policies and procedures

Strong institutional and volunteer leadership

The requisite fund raising infrastructure and resources

Results of the individual interviews are woven into the findings and recommendations throughout this report.

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CRITICAL FACTORS FOR CAMPAIGN SUCCESSDrawing on John McLaverty’s experience working with charitable organizations of all sizes and representing the full scope of the not-for-profit sector, the following factors have been identified as being critical to achieving fundraising success:A Strong and Positive Image: With a strong image, organizations are top-of-mind among potential donors and volunteers, and stand out from competing appeals.A Compelling Case: Organizations seeking support must communicate urgency for their plans, find specific and appealing opportunities to participate, and tie their plans to the mission and vision of the organization.An Ambitious but Attainable Goal: It is important that a fundraising initiative’s financial objective be considered ambitious but attainable by those who will be asked to support the initiative financially and in a volunteer capacity.Demonstrated Support: In John McLaverty’s experience, significant pacesetting investments are invariably required to achieve success in major appeals. In addition to their contribution to the fundraising initiative’s financial objective, these major gifts help to raise the giving sights of other potential donors.Committed and Influential Leadership: Major fundraising initiatives must have access to high-level volunteer leadership to achieve success. Ideally, volunteers should flow from the institution’s governing and fundraising bodies, and they should be community leaders who can champion the organization to prospective donors.Readiness to Fundraise: Organizations must consider how external factors such as economic conditions and other campaigns might affect their fundraising efforts, and ensure that internal structures such as staffing and fundraising infrastructure are equipped to undertake a major fundraising initiative.

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The following section details John McLaverty’s key findings regarding Emmanuel Christian High School’s strengths and weaknesses in relation to these key success factors. Our findings are based on internal and external interviews and focus groups. These findings, when considered with John McLaverty’s 15 years of experience working within the not-for-profit sector, provide a suitable basis for the recommendations that follow.

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A STRONG AND POSITIVE IMAGE

A strong image keeps organizations top-of-mind among potential donors and volunteers, and helps them to stand out from competing appeals. It also assists the discerning major gift donor in deciding whether or not an organization presents a worthwhile ‘investment’ for philanthropic gifts.

John McLaverty assessed the image of Emmanuel Christian High School as perceived by interviewees. Also, current and potential donors and volunteers were asked during interviews about their personal view of ECHS, their perception of the organization’s public image, and what they saw as its strengths and challenges. This has been reflected in various documentation.

SUMMARY OF KEY FINDINGS

Overall, John McLaverty believes that ECHS has a strong and positive image as an educational organization of great value for donors interested in supporting Covenant and Reformed theology, integrated into both education and family. The organization also occupies a unique, even if difficult to describe, niche through its focus on education and spiritual nurturing. Parents have made a commitment before God and their covenant family to bring their children up ‘in the fear of the Lord.’

Parents and faculty emphasised the ‘incredible sense of community’ within the ECHS student body. It is perceived as a ‘safe place’ to grow academically and spiritually. The school is seen as giving a solid foundation for life success.

Many interviews appreciated the academic standard of excellence in the school. Even though the population numbers are lower than a public High School, both students and parents continually spoke of the high quality of teaching received from the faculty. Despite constricted facilities, crowded hallways and shared

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gym facilities it was felt the best was still being striven for. “This is a small school acting as a large school.”

Even though academic excellence was emphasised, there is recognition that the school could not offer all the possible options to its students. There is a definite desire and need for ‘the trade education’ to be offered to students.

The issue of space and building sharing with Maranatha Elementary School is a contentious issue within the community. Each student interviewed wanted a separate building as did ECHS faculty. Many commended the administrations of each school for working hard each week to make the operation work despite space issues, sports field and gym sharing, and the distinct age difference between students. Most students felt they did not have their own identity, some stating it was like being in elementary school for their whole education experience.

There are a few members who would like to go back in their history to a High School of Grades 9-10. This would eliminate the space problem, lower the costs of operation and even take the stress and pressure off the membership.

Parents and School faculty and ECHS Board members feel that the organization has strong values and mission underlying its work. However, they do not believe the organization has a strong profile in the community except through students working in summer jobs in the community.

DETAILED FINDINGS

Interviews

When asked about their personal perception of ECHS more than 80% of respondents consider the school to be “excellent” or somewhere between “good” and “excellent”. External and internal interviewees were almost evenly

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split ranking the organization as “excellent” or “good”, which indicates that there is little difference in how those involved in the organization and those at arm’s length from the organization perceive it.

Interviewees

Every organization has both strengths and weaknesses. Participants spoke highly of ECHS’s long-term investment in education; their collaboration with parents and church-bringing together the three core identities of a Reformed covenant people. Most members see ECHS as an essential core piece of their covenant responsibility. The essence of the Canadian Reformed community needs to be recovered and communicated as to why the building of a new high school is essential to the future generations of Reformed people in the Region.

There is strong generational support for this specific kind of education-great grandparents, grandparents, parents, children and grandchildren. There is a strong understanding that the issues of a new high school also have a generational future.

Comments from the Community:

This place (ECHS) has an incredible reputation academically.

The Principal and teaching Staff are highly committed to the students and parents.

If there is something negative about the school, it would be its finances.

I can’t believe what they do and accomplish in such a constricted small space.

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I am thankful as a parent for the great blessing this school is to my family.

The school is very academic, which isn’t easy for all the kids.

With the expansion into their own building there is a Catch 22 item as it will raise the costs for everyone, including the elementary parents.

The school can’t offer my child welding, or drafting etc., which makes me sad.

They have greatly improved their staffing and quality of education.

Some people outside Fergus have not necessarily liked the way finances have been handled.

We need to get students out of Toronto and Brampton.

There is no class identity because it is connected to the elementary school.

This is a sheltered and self-contained community. Not all of that is good.

Covenantal education is most important.

I think the school is too sheltered. I would like us to have our kids learn to ‘shine their light’ in the world, not be so sheltered from the world. We do live in a broken world.

Education is not neutral. It saturates all of life. The image of the school is excellent, very professional.

There are great reports from employers when students graduate.

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A COMPELLING CASE

Organizations seeking support must communicate urgency for their plans, find specific and appealing opportunities to participate, and tie their plans to the mission and vision of the organization. In order to be successful in raising money for major gifts for a capital campaign, the Case must provide a range of options for donors and a sound business case for philanthropic investments. While strongly rooted in the long-term vision of the organization, the Case must focus on the outcomes of its programs to those who benefit - not the benefits of the gifts to the organization itself.

John McLaverty worked with Emmanuel Christian High School to develop a Preliminary Statement of Need (PSN) that would provide a snapshot of the Case for Support underlying the organization’s goal of raising $4 million in major gifts over the next 5 years. This Preliminary Statement of Need (Appendix A) was provided to external interviewees in advance of interviews and participants were asked to comment on the strengths and weaknesses of the proposed plan, and if they supported a major gift program to support the project.

SUMMARY OF KEY FINDINGS

Overall, ECHS needs to do an excellent job of tying its Case to organizational vision and mission. The Preliminary Statement of Need presented to participants has two specific options for their opinion: consideration of the previous CW High School in Fergus or building a new facility on the MCS property. To quote the PSN, “a separate property and building of ECHS will allow the board and its membership to operate autonomously and this situation supports and attracts in the best possible way membership from all neighbouring church communities to ECHS. “

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In presenting the Statement of Need to interviewees across the region, John McLaverty found that while the underlying key messages and mission were understood, interviewees had strong concerns about how the messages were presented and whether the plans were clear enough. Most felt the Case for supporting ECHS would benefit from more detailed plans, narrative stories and a stronger business case for supporting the plans of the organization.

Detailed Findings

Interviews:

In truth, the reaction of interviewees to the PSN highlights the deep split in opinion amongst the membership of the Society as they consider the plans for a future ECHS. Every person interviewed had a distinct view in their response to the Preliminary Statement of Need. One third of respondents felt the old CW site was the best option presented. Another one third felt building on the present Maranatha site was preferable; while the last one third of interviewees chose a third option of neither of the two options presented.

In regard to the old CW site there were a number of reactions both positive and negative viewpoints. Some felt the CW site was an excellent site in the middle of town with great exposure. Others, for the very same reasons were negative about the location. There were certainly different viewpoints-the site being old, needing refurbishment yet how much being very unclear. The site was seen as too small, lacking parking and suitable sports venues. Some were afraid of the hidden costs of taking over an older building.

The opinions concerning the Maranatha building were just as controversial. One person suggested the Maranatha Elementary should find a new building. Some others felt that building a second and third floor on the present site or extend the ends of the buildings was a better option while others objected

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saying that this would not solve the crowding or overuse of gym/sports fields between the two schools.

Those opting for a third unsaid option felt the ECHS Board could spend an extended time looking for other options. Others wondered the true cost of putting up a new building on the present property. Others opined that ECHS had been looking for five years but did not really have viable options which made economic sense for all parties. Another interviewee felt building a brand new school on the Maranatha site made loads of sense in having a brand new facility which would be eco-friendly for the next 25 years.

Obviously there is a lot of differing opinions. The ECHS Board needs to be very thoughtful, slow and deliberate before they call their membership into any quick decisions. If they do act too quickly there will lots of push back. Given the ‘perceived’ record of the last two years, people are looking for a new way forward so trust amongst a number of factions can begin to build.

When participants were asked about the ‘key messages’ of the Statement of Need, there were many helpful suggestions. Some felt the PSN needed to connect the true calling and identity of the Reformed Canadian Covenant people of why you were building etc.

Listening to the Community:

On the CW site:

Finances are the real issue. Perhaps refurbishment will cost less.

Having toured the CW site, it is quite possible.

How much is it going to cost to connect to City services?

The place is too small, too busy, no parking.

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There is no room to grow. I hear a lot of negative reaction to this old site. We will be pouring bad money in after bad money.

What are the legalities of living in a heritage building?

I am leery of taking an old building with unexpected surprises.

The CW site was sprung on people. Not a lot of transparency or thoughtful planning.

The CW site in the centre of Fergus is valuable. It gets our kids seen by the real world, not cloistered away.

Maranatha Site:

No one knows how much a new school will cost.

Is it possible to build up-a second or third floor. Build it like a condo.

Maranatha has no room to grow if we take five acres.

The Maranatha site is doable, workable & more economical.

This is a short term response.

I want to stay on the same property and build in stages.

I could extend the ends of this building and save the community a lot of money.

Third Option Site:

I think the Elementary school should find their own site.

Have they really looked at other options?

Find land outside Fergus. Build an eco-friendly new school.

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I am definitely not in favour of a new high school. Take it back to grade 10, let our kids go somewhere else for 11-12. Stop protecting our kids from the reality of the world.

I am trusting they have done their homework and not reacting to time pressures. I wonder if outside Fergus works?

Perhaps Elora or North Guelph are better locations.

I would be disappointed to know they haven’t gone outside these two options.

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AN AMBITIOUS BUT ATTAINABLE GOAL

It is important that an organization’s financial objective be considered ambitious but attainable by those who will be asked to support the organization financially and in a volunteer capacity. This is as true for annual operating budget goals as it is for one-time or campaign objectives.

To test the capital campaign goal of $4 million for ECHS, John McLaverty showed interview participants a Chart of Giving Standards (Appendix B) which, based on the Consultant’s experience, outlines the number and levels of investments necessary for Emmanuel Christian High School to reach a gift goal of $4 million. Participants were asked to comment on both the attainability of the goal and ECHS’s ability to secure various gifts, including leadership level investments ranging from $500,000 to $100,000.

Summary of Key Findings:

Based on our analysis of past financial results, Emmanuel Christian High School is operating at a loss each year in reaching its annual operating budget. Most members of the ECHS Society recognize Emmanuel Christian High School has an operating deficit and loading on families stretched by school fees and stewardship commitments to their Churches seemed impossible to some interviewees. In response of interviewees to the Chart of Standards, John McLaverty finds that a five year goal of $4 million presents an ambitious – and perhaps impossible – goal for ECHS.

It is clear that there is some stress and anxiety concerning financial obligations, especially amongst families with young children. There is also resistance to forces which might force parents to have two full time jobs, and thus be away from their children.

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It is important to note that external interviewees felt the Chart of Standards was ambitious, with members calling it “realistic “or “unrealistic”. Some felt unable to comment on the Chart.

DETAILED FINDINGS

Interviews

47% 0f the external participants interviewed felt the Chart of Standards was “realistic” while the rest of the 53% felt the Chart was “unrealistic”. Some external interviewees declined to comment on the Chart because they did not feel they knew enough about the concrete future plans for the High School. Many people were interested in the possibility of fundraising for the majority of the monies needed and then taking out a mortgage on the property.

The Chart of Standards outlines the need (over five years) for one lead gift of $500,000; four gifts of $250,000; three gifts of $150,000 and two gifts of $100,000. Interviewees were somewhat pessimistic about the ability of Emmanuel Christian High School to raise this level of gifts.

60 % of interviewees saw the lead gift of $500,000 as available, whereas 40 % did not. Only one-quarter of the interviewees felt the Top Gifts were “available” while the rest of the 75% believed the Top gifts were “not available”.

The participants were more optimistic about ECHS’s ability to raise the gifts on the balance of the Chart of Standards. 80% of participants believed “yes” the balance was available and the rest of the 20% felt “perhaps” the balance was available.

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Many interviewees were initially overwhelmed with the thought of such a large goal for the capital campaign. Many felt the goal of $4 million would be difficult to achieve. Just over 25% of interviewees said “yes” the goal is attainable while under 2/3 of the external participants said the goal is “perhaps” attainable.

All interviewees were asked if the goal was “High”, “Low”, or “Just Right”. Fifty per cent of the participants saw the goal as being too “high”, while, 20% saw the goal as being “just right

A number of issues arose out of this section of the interviews. People seemed reticent about the Chart of Standards and the Leadership level Gifts as ECHS does not have a history of raising this level of gifts, nor have they been in a capital campaign. There were a few places within the Canadian Reformed community that people felt a potential donor had the capacity to give the Lead gift of $500,000.

The fact that the goal of $4 million needs to be generated over the next five years as well as paying operating costs and school fees was seen by some as inhibiting. The bottom gift levels on the Chart of Standards were perceived to be more attainable.

In considering the “attainability” of the goal people noted ECHS’s need to address its development needs if they were to fulfil their mandate. People want more specific information on projects and their funding.

Comments from the Community:

If we are to reach that goal, it all comes down to marketing, clear messaging.

Tell us what we really need. If we do not have a firm plan how do we know whether the goal of $4 Million is too high or too low.

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I truly believe it will be very difficult to get those kind of top gifts. Many of our people are maxed out.

I don’t think it will cost that amount of money. Many of our people will contribute to the construction with skills, labour and time.

I think the bottom half of the Chart is realistic, but the top-no way!

We will reach the goal if the ECHS Board will be transparent about their plans and stop fostering doubt.

Members must receive the facts before they will trust.

This is difficult because our Church is raising funds and the Church comes first over the school.

We are running behind in our dues. Very difficult issue within our community. Not successful in raising annual monies from the community.

We want transparency. We want our members to be brought up to date. We do not want another plan to be sprung on us. We want to have input first.

If we are looking at CW I want us to look again and be more sure of possible renovation costs before moving forward.

Are we robbing Peter to pay Paul?

I believe that if we really communicate and work hard together, anything before God is possible.

Most families can only give at the bottom of the Chart.

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Is it possible to raise $2 Million and mortgage the rest over the next ten years?

I believe there are some deep pockets, some who have been richly blessed by God.

I have to do this for my grandchildren.

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DEMONSTRATED FINANCIAL SUPPORT

In John McLaverty’s experience, significant pacesetting investments are invariably required to achieve success in major appeals. In addition to their contribution to the campaign’s financial objective, these major gifts help to raise the giving sights of other potential donors.

John McLaverty measured the potential for financial support by asking participants how they would rank Emmanuel Christian High School relative to their personal and/or corporate philanthropic priorities, and if they or the organization they represent would consider making a major gift to ECHS.

KEY FINDINGS

A large percentage of individual respondents indicated an interest in supporting ECHS, and quite a few gifts were self-identified, indicating that donors’ sights are raised in order to achieve major gift goals.

Interviews:

Just over 70-75% of the external respondents saw ECHS’s philanthropic priorities to be a “high” personal priority. However, a further 10% saw it as at least a “medium” personal priority. The combination of “high-medium” personal priority in giving to ECHS was a solid 87%! Only 12% saw giving to ECHS as a “low” personal priority.

Over 90% of external interviewees were willing to give personal support to ECHS.

Most interviewees self-identified at the lower level of the Chart of Standards. Over 80% of external interviewees said they would give either on an annual basis or as part of their on-going gifting to an ECHS capital campaign.

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ECHS has a few loyal donors who deeply respect the work they do.

A number of donors are planning future gifts, either inheritance monies or including selling stocks and securities in support of a capital campaign.

A few people are concerned their level of giving may go down because of other personal and/or philanthropic obligations.

There were a number of Leadership level gifts identified. There could be potential legacy gifts if donors are appropriately asked.

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Potential Gifts Self-Identified

As part of the feasibility enquiry, interviewees were asked a number of questions regarding the priority of their personal or corporate giving to the potential capital campaign with Emmanuel Christian High School:

Would you say that you personally /or your corporation would put a high/medium/low priority on the proposed capital campaign?

Over 68% of respondents saw the Capital Campaign as a ‘High’ priority. A further 20% of the interviewees saw the campaign as a ‘Medium’ priority and the rest-12 % of respondents saw the capital Campaign as a low priority or was unsure how to respond in the moment.

Looking back at the $4M chart of Standards and recognizing I am not soliciting or looking for a commitment, could you indicate the level/range of $ support you MIGHT CONSIDER over a 5 (five) year pledge?

In looking at the high/low range of giving over the five years the low figures of self-identified gifts would be: $980k.

In looking at the higher potential of gifts self-identified the potential figure would be:$1.345 Million over the five years.

The following possibilities of self-identified gifts over five years are as follows:

Self-Identified Gifts Chart of Standard Requirements

10 gifts @ $5,000 30 Gifts @ $5k

4 gifts @ $5,000 - $10,000 20 gifts @ $10k

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4 gifts @ $10,000

1 gift @ $10-25k 20 gifts @ $25k

1 gift @ $10-50k 20 gifts @ $50k

1 gift @ $30k

1 gift @ $25k-50k

1 gift of $150-200k 3 gifts @$150k

1 gift @ $250k 4 gifts @$250k

1 gift @$250-500k 1 gift @ $500k

GIVEN THESE RESPONSES, COUNSEL WOULD RECOMMEND A $3 MILLION CAPITAL CAMPAIGN WITH A CEILING OF $3.5 BEING SEEN AS YOUR MAXIMUM CAPACITY.

Much of the differential between potential low and high giving over the five years came down to clarity over the scope of the plans for a new High School. Many interviewees were reluctant to commit at a higher level as they felt more work needed to be done by the search/location committee of the ECHS. They wanted a clear, detailed and focused plan for moving forward. People were not sure all the options had been explored fully. Many people felt the present location site with Maranatha School could be reworked and reconfigured to provide more space without a huge outlay of monies.

People interviewed also expressed a caution that the ECHS Board should not act in reaction to the current space crisis at the Maranatha/ECHS site, but rather plan for the next generation of students who would have the privilege of attending ECHS in the future decades to come.

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COMMITTED AND INFLUENTIAL LEADERSHIP

Major fundraising initiatives must have access to high-level volunteer leadership to achieve success. Ideally, volunteers should flow from the organization’s governing and fundraising bodies, and they should be community leaders who can champion the organization to prospective donors.

In addition to volunteer leadership, organizations successful in raising significant major gifts on an annual basis enjoy strong institutional leadership who are trained and engaged in fundraising.

JMcLaverty & Associates assessed the needs and current engagement of leadership through individual interviews. Study participants were asked to identify specific leadership and volunteer attributes required for a successful capital campaign initiative. They were also asked if they would consider a leadership role or a volunteer role in the proposed campaign. The survey asked numerous questions regarding the role of internal and Board leadership of fundraising activities.

KEY FINDINGS

ECHS does not have a tradition of using senior Volunteers for either fundraising or marketing of its cause. People who volunteer for the ECHS Board are tasked with both administrative and governance issues. Few, if any, volunteer for Board responsibility with any philanthropic or fundraising portfolio. As most of the school’s fundraising is low level event fundraising with no major gift component, it is not surprising that the fundraising task ahead seems daunting. Many respondents (close to 50%) were willing to take a leadership role if called upon by a Campaign committee.

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Although there is a significant yearly financial shortfall in operating costs, raising such monies from the community is both onerous and difficult to execute. There is no one on the present Board who has fundraising training as part of their expertise. It is Counsel’s opinion that to ‘over-expect’ the abilities of the present Board to effectively fundraise an operating deficit and a capital campaign goal of $4M is not a reasonable expectation.

From the Interviews

Seventeen per cent of external interviewees agreed - said “yes” they would be willing to be volunteers for ECHS in their fundraising efforts. A further 17% agreed that they might - “perhaps” volunteer for ECHS. Having adequate time in this busy culture was seen as the main deterrent to volunteering.

Many respondents stated that ECHS needed to have well recognized volunteers who would enhance the credibility of the capital campaign.

A portrait of a champion volunteer as Campaign leader pictured a person of integrity, passion and enthusiasm. A wide plethora of such Canadian Reformed leaders was submitted. One of the difficulties in the wide range of names will be to find a few champions who resonate across both political and social preferences.

A leader who could communicate clearly and passionately about the value of ‘Reformed’ education to the membership was highly valued.

Listening to the Community:

We need someone who is very thoughtful and tactful.

Need a person who is connected to a wide-ranging community.

This is a tough question. Who could possibly have the time?

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We need a person who knows how to make the right approach. It is going to be different every time.

The leader may get push-back, depending where he lives and who he is perceived to represent.

Even though we raise monies for our church buildings, a capital campaign would be a new venture for most of our people.

Perhaps we need a strong person representing each of the school areas. I don’t think we have anyone who would be recognised by everyone.

From what I know, most of the women do the local fundraising, but would our community allow a woman to lead a capital campaign?

We need someone who is outspoken, almost blunt yet sensitive - someone who can build trust.

Hopefully we will find a good communicator.

No one in the potential top five donors on your chart should be the Leader. It would put too much pressure on the rest of us.

I want someone who is polished, professional-a person of the people. Please do not recruit a bully!

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RECOMMENDATIONS AND ACTION STEPS

The following recommendations are based on Counsel’s evaluation of information gathered during

Planning Study interviews Information supplied by Emmanuel Christian High School, John McLaverty’s 15 years of experience with studies and campaigns Our perception of current philanthropic trends and giving patterns.

MAJOR GIFT FUNDRAISING STRATEGY & GOAL

The results of the Study and Assessment show significant potential for increasing annual major gift support for ECHS and while John McLaverty is not in a position to guarantee self-identified gift results towards the $4 million over the next five years, we see no reason why a goal of $3.2 M could not be achieved. However, success will depend on the organization implementing a number of changes, as outlined in the recommendations that follow.

In determining an appropriate Chart of Standards for an annual giving program, John McLaverty maintains that the Chart of Standards presented to interviewees provides a sounds plan for raising $4 million. Top ten gifts of $100,000 to $250,000 may be initially difficult to obtain – and in some years will come from planned gifts or unanticipated sources – but this is common even in mature major gift programs.

To succeed with its plans, ECHS will need to apply campaign-style rigour and discipline to a focused major gifts program. Specifically, ECHS will need to undertake the following activities to position itself for on-going major gift fundraising success:

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Develop a culture of philanthropy within ECHS where fundraising is seen as a valued and core activity

Build a strong Case for Support based on organizational vision to attract donors who share ECHS’s values and long-term goals

Enhance communications and build the image of ECHS through a strong organizational narrative

Move from planning to action to ensure progress is made toward goals Build relationships with prospects based on sound fundraising

methodology Maximize the impact of planned gifts and gifts of securities Engage the right volunteers to assist major gift staff Resource ECHS’s fundraising operations for success Train all campaign volunteers before cultivation and solicitation of gifts

begin Work through a realistic and sustainable operating budget for ECHS and

communicate this clearly to the membership

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DEVELOP A CULTURE OF PHILANTHROPY

As ECHS endeavours to substantially increase its major gift fundraising program, it is essential to develop a strong culture of philanthropy within the school organization. The on-going work of cultivating and stewarding major gift donors will require the participation of Board members throughout the organization and it is vital to create an environment that recognizes and promotes the important role that everyone will play in fundraising.

Drawing on its research with key not-for-profit leaders from across the country and its own experience with hundreds of charitable organizations, John McLaverty has identified the following hallmarks of a philanthropic organizational culture:

The role of philanthropy in achieving the mission is well understood: Building a philanthropic organizational culture requires a widespread understanding that achieving the school’s vision relies on securing a significant level of philanthropic support. Philanthropy is as core to the organization as the programs it offers the covenant society.

Unwavering support from leaders is widely evident: The role of senior leaders is critical in setting the stage for a philanthropic organizational culture. The most obvious manifestation of leadership support is the dedication of significant time to the business of raising funds, but equally important to this investment of time is the role that the Board Chair or their designated committee will play in championing the need to invest resources in the development function and in supporting a fundraising team in meeting their objectives.

Accountability is deeply ingrained throughout the school’s organization: Organizations with a philanthropic culture consider

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accountability to be more than simply meeting technical and regulatory requirements to both the Canada Revenue Agency and to its donors. They understand it entails both a commitment to openness and transparency and a duty to fulfil a donating member’s intent.

Development is recognized as a core function: To achieve a philanthropic organizational culture, volunteers who raise funds in support of the mission and vision of ECHS must be valued and should have input and impact at the most senior levels of the organization. At the same time, leaders, and employees need to understand that while the fundraising team builds the bridges to donors - donors give to causes. As a result, everyone is responsible for enhancing relationships with donors, and thus strengthening the development function.

Donors and beneficiaries have opportunities to interact: Successful organizations seek opportunities to build personal links between donors, leaders, staff, and those who benefit from support. At first, internal stakeholders may ask why they should be involved, but as they meet and interact with donors, they begin to see fundraising as a holistic enterprise.

Donors are valued for more than just financial support: Organizations that come to see donors not just as a source of funds, but as true partners in the covenant mission, thrive in good times and bad. Donors often lament that the only time they intersect personally with a non-profit organization is when they are being asked for money. When donors feel appreciated and strongly connected to a charity they support, they begin to take on responsibility for an organization’s health.

These elements should be at the forefront as ECHS moves forward with its plans for raising major gifts. Of all the recommendations in this report, none

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other stands to benefit ECHS more than developing a stronger, more cohesive and integrated approach to fundraising.

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A HOME for ECHSBuilding on God’s PromisesPreliminary Statement of Need (Appendix A)

Towards the building of a School Facility for ECHS

Ever since Emmanuel Christian High School (ECHS) opened its doors in 2005 our educational ‘home’ has been the building of Maranatha Christian School, located on Garafraxa Street in Fergus. When this school was built over 25 years ago, the rooms were spacious and the halls were wide. By now both Maranatha and Emmanuel have expanded and the classes are packed to capacity. The ECHS hallways are jammed with over 175 growing, lively teenaged students, jockeying for a gap in the crowd. Lockers line every available inch of wall space and every closet, nook and cranny is being used. The septic system is used to full capacity and the demand for the computer lab, library and gym brings constant tension due to the high demand for these facilities. It also becomes more difficult for the staff to work effectively since they too share what little office space there is and they lack space for preparation and other functions that are pertinent to their work. A new facility to address current needs and future growth is not a luxury but a necessity!

Strategy

In November 2010 both societies, Maranatha Christian School and Emmanuel Christian High School, agreed with a majority to support the vision for two separate school buildings by 2015 on two separate properties if possible. In the proposed vision (Oct. 6, 2010) it said: “A separate property and building for ECHS will allow the board and its membership to operate autonomously and this situation supports and attracts in the best possible way membership from all neighbouring church communities to ECHS.”

It’s time for ECHS to ‘move out’ and become a separate regional Reformed High School, where quality, Christ-centered education continues for students living in the Highway 6 corridor, north of the 401.

Over the past years many properties and options have been investigated. From Emmanuel Christian High School’s perspective, there are currently two potential properties that would suit our needs; either the purchase of the previous CW High School building in Fergus OR building a new facility on the MCS property. The key to the growth of ECHS is continued support by the Reformed community under the blessing of our Heavenly Father. Together, as members of Christ’s church we can be part of this exciting opportunity to provide Reformed high school education for covenant children.

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Our history and principles

ECHS was started in 2005 by parents and other school society members in the larger area of Fergus, Ontario, in the conviction that education, like all of life, must be biblically based and directed. The ‘founding fathers’ of our school recognized that there must be unity in what students are taught at home, in church and in school. Within the reformed community, ECHS assists parents in carrying out the task they promised to fulfill at the baptism of their children. Parents who send their children to Emmanuel Christian High School delegate the academic aspects of that task to teachers, who, together with parents, submit to the authority of the infallible Word of God as it is summarized in the Three Forms of Unity.

From Owen Sound to Guelph, Listowel to Orangeville, young people travel daily to Fergus for sound reformed education in the area of Bible and the confessions, arts, Canadian and world studies, language, mathematics, physical education and science. The school is fully accredited by Ontario Ministry of Education and supported by brothers and sisters from nine different Canadian and United Reformed Churches, both financially and with their volunteered time.

Projections

With a projected steady growth of students and more and more families moving north, away from the Greater Toronto Area, the need for a bigger facility increases.

Year 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26Grade 9 45 52 40 50 54 47 60 37 53 43 57 50 65 52 55Grade 10 48 45 52 40 50 54 47 60 37 53 43 57 50 65 52Grade 11 47 48 45 52 40 50 54 47 60 37 53 43 57 50 65Grade 12 37 47 48 45 52 40 50 54 47 60 37 53 43 57 50Total 177 192 185 187 196 191 211 198 197 193 190 203 215 224 222

For these numbers we currently need 7 class rooms, a computer lab, a Science lab that is up to the Ministry’s high school standards, a full size high school gym, an art room and a music facility. Also, to provide education to all students, no matter their abilities, our Special Needs Program is growing and requires more space and means as well.

Financial SummaryVery soon a final decision needs to be made on how to realize a new home for ECHS.

Whether it will be the purchase and renovation of the old CW High School building or working with the MCS membership towards building a new facility on the MCS property, both initiatives will require a Capital Campaign objective of $4 million. The board and a special Capital Campaign committee seek your insight and support to take care of current needs and future growth. We welcome your perspective on this exciting initiative.

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APPENDIXB

Proposed Chart of Standards $4,000,000

Guidelines:Top Investment 15-20% ObjectiveTop Ten Investments 60-65% ObjectiveNext 100-200 Investments 40-50% Objective

# Cumulative Percentageof Gifts Amount Total Total of Goal

1 500,000 500,000 500,000 12.50%

4 250,000 1,000,000 1,500,000 37.50%

3 150,000 450,000 1,950,000 48.75%

2 100,000 200,000 2,150,000 53.75%

20 50,000 1,000,000 3,150,000 78.75%

20 25,000 500,000 3,650,000 91.25%

20 10,000 200,000 3,850,000 96.25%

30 5,000 150,000 4,000,000 100.00%Numerous Smaller Investments

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ProfileJohn McLaverty has the privilege of combining two of his vocational passions-launching church systems into missional transformation through the Missional Network and consulting with non-profit organizations to realize their dreams through consulting in philanthropy. In this latter endeavor, he spent eight of the last ten years as a Senior Consultant for the leading Canadian philanthropic consulting firm, KCI, Ketchum Canada. As Director of Development for the Canadian Bible Society, he is presently helping this ministry to raise $8 million in funding across the country. Before this John served for over 25 years as an ordained pastor in both Toronto and Vancouver.  He has also served as Adjunct Faculty at Tyndale Seminary for ten years teaching in the area of ‘Christianity and Culture’.

John was one of the original leaders of the Gospel and our Culture Canada group that sought to translate Lesslie Newbigin’s missiological mandate of a missionary engagement with late modern cultures into the Canadian context.  His local church was one of nine featured in the Gospel & Our Culture publication Treasure in Clay Jars: Patterns in Missional Faithfulness (Eerdmans, 2000).

John and Linda live in a blended family of six kids.  Over the last 10 years he has been hanging his faith community hat with the Anglicans at Church of St. Saviour in Toronto. .

ExperienceDirector of Development- Canadian Bible SocietyJohn is responsible for heading a National Development Team who are seeking to raise $6 million in Direct Mail, Major Gifts and $2 million in Planned Giving this year. He is also responsible for all staff training in philanthropy. Partner, The Missional NetworkJohn is one of four working partners in the Missional Network. He is a skilled mentor who loves to coach pastors and leaders and work with congregations in the process of transformation. He is currently working with United Methodists in New York State, Presbyterians USA in California, The Episcopal Diocese of Newark, ELCA Lutherans in Indiana and the Toronto Anglican Diocese.John McLaverty & AssociatesJohn is the Principal working partner for John McLaverty & Associates that specializes in consulting services to not-for-profit organizations. He is presently working with the American Baptists-USA and C.PP.S. Mission Projects in Tanzania.

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Senior Consultant, KCI Ketchum Canada 2001-2008John served as a Senior Consultant for the leading philanthropic consulting company in Canada. He dealt with local, national and international clients, successfully leading them in the development of long term marketing, organizational planning and fundraising strategies. He was also one of three trainers for new consulting staff at KCI. During his time with KCI he twice won the ‘President’s Circle Award’ for leading organizations $1million over goal; the ‘Million Dollar Circle’, and the ‘Outstanding Client Service Award’.Missional Team Leader, Spring Garden Church, Toronto 1981-2001

EducationD MIN work at Western Theological Seminary, Michigan

SkillsJohn McLaverty is an expert researcher and communicator with proven skills derived from more than 30 years in the not-for-profit and corporate arenas. He has proven to have special skills in bringing together numerous partners representing multiple sites, to adopt a co-operative approach to fundraising as well as a sharing agreement.The following is an abbreviated list of work and clients:Feasibility Studies for Kincardine Hospital, Second Marsh Environmental, The Abilities Centre Durham. Social and Economic Development InnovationsCapital Campaigns for Lion’s Head Hospital ($1.5M); Wiarton Hospital ($1.5M); Owen Sound Hospital ($10M); Quinte Health Care MRI ($11M); Meaford Hospital ($3.8 M), Ganaraska Regional Conservation Authority Forest Center ($4M);He is presently helping the American Baptists USA complete a $800k capital campaign-Transformed by the Spirit to bring renewal to their 5,500 churces across America. He is also working with the C.PP.S Catholic Missions Projects in a $5M capital campaign, as they build a high school in Tanzania.Revenue Generation Audits for national organizations such as Oxfam Canada and The Canadian Bible Society.Philanthropic policy documentation and training in fundraising for Juvenile Diabetes Research Foundation of Canada and Pickering College, a private school.

ReferralsGiven upon request

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