October 19, 2006

The Credit Union Community Involvement Survey for the 2005 fiscal year was conducted for Credit Union Central of Canada by Ipsos Reid. Information for credit unions in Alberta, Manitoba and Saskatchewan was gathered between Jan. 9 and Feb. 10. Information for Atlantic credit unions, British Columbia, and Ontario was gathered between May 11 and July 5. Online self-administered questionnaires were used, with followup telephone calls offering credit unions the option of completing the survey on the telephone or by fax.

National Highlights

There were 301 respondents to the 2005 survey, down from 356 in 2004. In 2005 total contributions were $31.6 million, up 28 per cent from $24.6 million in 2004. The increase was largely attributed to two categories:

• Donations and sponsorhips were $23.5 million, an increase of $5.3 million or 29 per cent over 2004.
• Donations-in-kind of $1.7 million were added as a component of total charitable contributions, the first time this measure was included.

Two other categories experienced a large increase:

• Contributions to scholarships and bursaries were $1.1 milllion, an increase of $368,000, up 49 per cent compared to 2004.
• Contributions to charitable foundations were $2.9 million, a jump of 10 per cent, or $264,000.

There was a decline in one area:

• The value of financial services provided to community organizations was $2.3 million, down $716,000, or 23 per cent.

Detailed Results

The total amount contributed for donations and scholarships was $23.5 million, up from $18.1 million in 2004. The average amount contributed per credit union was $83,293, up 19 per cent from $69,996 in 2004.

Donations and sponsorships include amounts for economic development, which received $1.95 million, up from $1.6 milion in 2004; followed by educational programs, which received $1.65 million, up from $1.2 million. Other sectors also experienced increases – housing $248,461, up from $36,801; arts and culture $660,564, up from $512,398; international development $230,942, up from $91,297; seniors’ causes $316,636, up from $182,173 and environmental causes $254,500, up from $235,928.

One sector that experienced a decline in donations and sponsorships was school and college facilities at $179,601, down from $353,777 in 2004. This may have been affected by a change in the way that this sector was defined.

The category of “other” donations and sponsorships was $362,092, down from $1.8 million in 2004. A new category, disaster relief, received $150,110 in donations and sponsorships in 2005.

Location of donations

Ninety-five per cent of credit unions said they gave donations within the community, down slightly from 98 per cent in 2004, while 65 per cent said they gave within their province, up from 52 per cent. Donations to other provinces reached 25 per cent, up from 15 per cent in 2004 and the percentage of credit unions making donations outside Canada increased to 17 per cent from 12 per cent.

Charitable Fundraising

The survey found that 191 credit unions, or 65 per cent of those surveyed, conducted fundraising activities for charitable organizations in 2005. This was up from 59 per cent in 2004.

Donations-in-Kind

In fiscal 2005 a total of 222 credit unions, representing 76 per cent of those participating in the study, made a donation-in-kind, down from 85 per cent in 2004. The value of the donations was $1.7 million. It is the first year a value was put on in-kind donations.

Scholarships and Bursaries

A total of 220 credit unions, 73 per cent of those surveyed, offered scholarships and bursaries. This was up from 62 per cent in 2004, but matches the 73 per cent reported in 2003. A total of $1.1 million in scholarships and bursaries was given to students during 2005, up 49 per cent from 2004 when $758,461 was awarded. The average amount given by each contributing credit union was $5,144, down from $5,255 in 2004.

A total of 1,357 scholarships were awarded, up from 833 in 2004, but this is consistent with 2003 when 1,313 were given out. The fluctuation is due to the fact that Saskatchewan and Manitoba credit unions were not included in this question in 2004, but were in 2005 and 2003.

Charitable Foundations

The survey found 35 credit unions, or 12 per cent of those participating made contributions to their own charitable foundations in 2005. This is down from 32 credit unions in 2003, the last year this question was asked in all provinces. Total contributions were $2.9 million.

Volunteerism

Fifty-eight per cent of credit unions said their employees participated in community activities as part of their paid work, up from 46 per cent in 2004. Employees contributed 55,541 hours as part of their paid employment in 2005.

Unpaid volunteerism was high with 78 per cent of credit unions reporting their employees volunteer their time, up from 71 per cent in 2004. Thirty-six per cent of the credit unions surveyed said they include volunteer participation on behalf of the credit unions as part of their employees’ performance evaluations, up from 26 per cent in 2004.

Financial Services for Community Organizations

This category was defined as economic development in previous surveys. Waived or reduced service charges remain the most popular form of financial service offered to community organizations. In 2005, this service was offered by 140 credit unions to 36,669 organizations and represented $2.2 million in costs to the credit unions.

Taking all forms of financial services into account, 165 credit unions offered services to 39,355 organizations, representing $2.35 million in costs, down from $3 million in 2004, a decrease of $716,000, or 23 per cent. The number of credit unions was up from 118 in 2004, likely because Saskatchewan and Manitoba credit unions were not included in this question in 2004.