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Volunteering at JARCapalooza May 16: Brooke Dunn, Stacey Duczowski, Abbey Katchke and Laura Friedman, all residents of the Gilbert Home.

Merger
Possible

JARC considers uniting with local nonprofit
to improve finances, secure CEO.

SHARI S. COHEN CONTRIBUTING WRITER

J

ARC, a nonprofit provider of residential services for individuals
with developmental disabilities based in Farmington Hills, is
considering a merger with Progressive Lifestyles Inc., a nonprofit
organization based in Waterford.
Founded in 1984, Progressive Lifestyles serves 105 people in 27
homes in Oakland County and has a very positive reputation.
JARC, established in 1969, has an extensive, devoted group of sup-
porters who share its mission of “enriching lives and erasing barriers.”
The agency has been holding meetings with family members, donors
and staff to discuss the merger proposal. According to a “re-cap” com-
munication sent to families in October, the JARC is seriously consid-

ering a merger both to improve its financial outlook and to secure a
permanent CEO.
David Carroll, JARC’s board president, has also served as its interim
CEO for the past year.
According to the summary document, JARC
had significant financial losses in 2014 and 2015.
In fiscal year 2017, which ended Sept. 30, JARC lost
“about $90,000,” which was “a great improvement
over the prior three years” but includes several one-
time revenue sources.
This financial progress was attributed to a range
of operational improvements, some recommended
by John Williams, Progressive’s CEO, who has pro-
David Carroll
vided extensive consulting help to JARC during the
past year. However, all residential service agencies
face increasing fiscal constraints going forward.
“Medicaid funding [which represents most of
JARC’s funding] is inadequate and it is a challenge
to get government funding. This merger would help
us be as efficient as possible while providing high-
quality care,” Carroll explains.
In addition to declining government revenues,
JARC’s financial situation is also affected by the
Rena Friedberg
cost and difficulty of staffing. The agency receives
about $9.50 per hour for direct care staff, but
actually pays staff members $10.50 per hour.
Nonetheless, staff shortages exist.
“People can work at Target with less stress and fewer responsibili-
ties and make more money,” says Rena Friedberg, JARC’s chief philan-
thropy officer.
Also, JARC provides residents with more direct care support
hours than are covered by government revenue. Fundraising, espe-
cially an annual event held this year on Nov. 6, makes up some of
this difference.

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November 9 • 2017

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