United Way of Jackson County to Merge with Capital Area and Battle Creek-Kalamazoo United Ways

(January 24, 2022 6:45 PM) United Way of Jackson County will merge with two neighboring United Way organizations.

The boards of directors for Capital Area United Way, United Way of the Battle Creek and Kalamazoo Region, and United Way of Jackson County voted today to merge their organizations and create a new nonprofit, United Ways of South Central Michigan. The new organization will partner locally and regionally on community impact efforts across six counties—Calhoun, Clinton, Eaton, Ingham, Jackson and Kalamazoo. A press release announced this as “a merger of equals, each of the local United Ways brings unique strengths, shared authority and a continued focus on local needs.”

The announcement stated, “the merger of three United Ways based in south and mid-Michigan will bring exciting new opportunities to the region while strengthening local impact and maintaining their local presence.”

The three United Ways have had similar missions and have worked together on common needs for a decade.  Current CEOs of the organizations say coming together as equal parts of a new United Way is the next logical step.  The announcement said local presence and impact will remain.

“Each of our communities is unique, with needs that our individual United Ways tackle every day. At the same time, many of those needs are interconnected. We think we can address these issues better together, both locally and regionally,” said Teresa Kmetz, President and CEO of Capital Area United Way (CAUW).

Financial instability is an example of these shared issues, according to Ken Toll, President and CEO of United Way of Jackson County (UWJC). “The ALICE Report shows how the challenges for people in poverty or just above poverty are similar across communities—depressed wages, access to key services like child care, systemic inequities, the economic effects of the pandemic, and lots more,” said Toll. “Combining our expertise means we can bring more resources, capacity and ideas that will benefit all of our communities.”

ALICE stands for Asset Limited, Income Constrained, Employed—a term describing 40% of households in Michigan that struggle financially.

Chris Sargent, President and CEO of United Way of the Battle Creek and Kalamazoo Region (UWBCKR), said the merger of equals ensures that the local United Way that people count on remains in place. Donations made locally will be invested locally, not sent elsewhere. Local offices, local staff and local partnerships will not change. Even the local United Way’s name will stay the same for fundraising and other local purposes.

“The strength and benefit of a merger like this is in its scale,” Sargent explained. “The merged organization will be able to tap new sources of funding, create new partnerships, advocate for racial and economic equity more effectively, and take a bigger role in leading impact for vulnerable families that our individual United Ways can’t do by themselves.”

Kmetz said CAUW, UWBCKR and UWJC began exploring a potential merger in 2020. Board members from all three United Ways were actively involved in the discussion, as were other stakeholders.

“We’ve talked with key donors, agency partners, corporations, organized labor, former board members and others, explaining how a merger would allow us to do more for those we serve. Everyone who looked closely at this merger, everyone who helped us study it from every angle, gave strong support for the idea,” said Kmetz.

With the merger approved, the United Ways of South Central Michigan will form a new board of directors with equal representation from the local United Ways’ boards. The new board will decide on overall governance, executive leadership and other board-related responsibilities. The launch of the new organization will likely happen within the next six months.

Toll said that existing partnerships, investments and goals at the local level won’t change due to the merger. Local leadership committees will report to the new UWSCM’s board as well as advise the local site, ensuring that the community’s voice remains. “People trust their local United Way to use their donated dollars to change lives locally. We’re committed to keeping that in place,” Toll said.

Sargent noted that both UWBCKR and CAUW have experience with mergers. “We know how to bring multiple United Ways together to grow our regional impact while preserving, and strengthening, our impact locally,” said Sargent. “It’s exciting to think about tapping our individual strengths and expertise, and leveraging our new size, to make a real, lasting difference for people who count on us.”

According to a new website launched today (unitedforscmi.org) the local United Ways will continue to use their current names for many local activities such as local fundraising.  No layoffs will occur and local offices and facilities will remain in place.  

The website, in a “Your Questions Answered” section, says donations given locally will go to local programs and impact. Donors will be given the option to invest in the bigger region, but the default will be to keep local gifts local.

United Way of Jackson County has been in discussions about the merger for several months, including with current board, staff and donors.  UWJC says support from community partners, donors and corporate partners has been overwhelming.

Ted Ykimoff,  Director of Energy Waste Reduction Programs at Consumers Energy, is the current board chair of UWJC.  Consumers Energy is UWJC’s largest donor.

Executive leadership of each United Way will remain in place after the merger.