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Certificate in Non-profit Management and Innovation
University of Tampa & The Non-profit Leadership Center of Tampa Bay
August 15, 2013
Katherine Freund, ITNAmerica Founder & President
Independent Transportation Network®:
Sustainable Mobility for an Aging Population
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Overview of this presentation
• Background—the social problem, the ITN solution • ITNAmerica—building a national system • Our vision of the future—what would ITN look like if no
barriers existed
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Background
• The solution emerges from the nature of the problem
• Cost structure • Replication support
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Transportation for Everyone—environment
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Transportation for Everyone—power
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Transportation for Everyone—commerce
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Transportation for Everyone—fun
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Transportation for Seniors—social service (the hospital gown of transit)
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Glamour
Environment
Commerce
Power
Fun
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Transportation for Seniors—ITN style
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ITNAmerica—a non-profit, market approach to a pressing social need
ITNAmerica is the first and only national non-profit transportation network for America’s aging population. The ITN model marries the power of information technology and the strength of local, grassroots support to create an efficient and financially sustainable solution to the transportation needs of seniors and their families. ITNAmerica imagines a day when all seniors will have access to transportation when they want it.
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ITNAmerica® First national non-profit transportation service for the aging population
• 1990-2002 Independent Transportation Network (ITN)®--Portland, ME
• Sustainable model—Social entrepreneurship • R&D funds—TRB, AARP, FTA
• 2003-2005 Business Plan & National Summit—Stone
House, Maine
• FTA & Atlantic Philanthropies
• 2005-Present—National Rollout
• 26 Affiliated Communities in 21 US states
• 2008-Present—R&D
• Rides In Sight—national toll free call center • Public Policy—50 state analysis • ITNEverywhere—a revolutionary approach to
community transport
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The Age Wave Source: U.S. Census Bureau • The segment of the population that is 65 years of age or older will increase by
75 percent over the next two decades. • In less than 10 years, one in four licensed drivers will be age 65 or older! Source: Pew Research Center. Growing Old in America • One-in-seven adults ages 65 and older report that they cannot drive. • One-in-five adult children (22%) have a parent who can no longer drive.
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Safety and mobility for older people
• Highest fatal crash risk • 88% of trips in private automobile • Age related driving compensation • Fewer than 3% of trips on public transit • 54% of seniors live in communities without public transit
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Sargent Douglass Cropper
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Senior Drivers
The National Highway Transportation Safety Administration found that older persons seldom use mass transit…
they would rather use private vehicles.
2%
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The Three Sectors: Traditional Economic & Social Responsibilities
• Private Sector/Business—utilize markets to exchange goods and services for profit; drive productivity and innovation
• Public Sector/Government—respond to market failure by
providing public goods and services through redistribution
• Voluntary Sector/Non-profits—engage individuals in action to achieve social impact
Social Entrepreneurship Emerges at the Nexus Andrew Wolk, Small Business Administration Report to the President, December 2007
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One Hundred Years of U.S. Consumer Spending
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Basic Components of Transportation
Primary Elements
Primary Forces
Consumer Choice
RESOURCES
Public Private
LOGISTICS
Mass Personal
POLICY Do nothing Regulate Public funding Incentives for
private solutions
TECHNOLOGY M echanical Energy Information
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Characteristics of an ITN Affiliate • Recreates private automobile ownership
• Uses automobiles to provide rides 24 hours a day, 7 days a week; • Door-through-door, arm-through-arm; • Available for any purpose, without restriction to all ITN® members;
• Core business innovations
• Personal Transportation Account™
• Flexible approach to resources • CarTrade™ • Cash • Transportation Social Security™ • Co-payments—Ride & Shop™, Healthy Miles™, Ride Services™
• Sustainable through fares from those who use the service and voluntary local community
support, without the use of taxpayer dollars;
• Connected through common information system, brand, business model, systems
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The Arithmetic of Sustainability
Fares + Diversified Base of Voluntary Local Community Support Economic Sustainability
Efficiency through information system technology previously
unavailable to local organizations and communities
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Affiliate Sites 26 Affiliated Communities in 21 States
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Current 26 Affiliates in 21 States
• 1995 ITNPortlandTM Maine
• 2005 ITNOrlandoTM Florida
• 2005 ITNCharlestonTridentTM S. Carolina
• 2005 ITNGreaterLATM California
• 2006 ITNQuadCitiesTM Iowa/Illinois
• 2007 ITNChicagoTM Illinois
• 2007 ITNBluegrassTM Kentucky
• 2007 ITNNorthCentralCTTM Connecticut
• 2007 ITNCentralCTTM Connecticut
• 2008 ITNSarasotaTM Florida
• 2009 ITNStCharlesTM Missouri
• 2009 ITNGreaterCincinnati TM
Ohio
• 2009 ITNRacineCountyTM Wisconsin
• 2009 ITNLasVegasValleyTM Nevada
• 2009 ITNCoastalCTTM Connecticut
• 2010 ITNGreaterBostonTM Massachusetts (MultiBranch)
• 2011 ITNGreaterKansasCityTM Kansas/Missouri
• 2011 ITNMontereyCountyTM California
• 2012 ITNMemphisTM Tennessee
• 2012 ITNMetroDetroit TM
Michigan
• 2012 ITNGreaterTucsonTM
Arizona
• 2013 ITNCentralOklahomaTM
Oklahoma
• 2013 INTGreaterSanDiegoTM
California
• 2013ITNLehighValleyTM
Pennsylvania
• 2012 ITNNorthJerseyTM
New Jersey (PreAffiliate)
• 2012 ITNTwinCitiesTM
Minnesota (PreAffiliate)
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Average age of rider 79.76 years
Average length of ride* 4.97 miles
Average duration of ride* 19 minutes
Average fare* $10.89
Ride scheduled on the same day 5.16 %
Rides at a Glance All affiliates providing rides, July 2010-June 2011
*Based on ride segments
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Rides by Purpose All affiliates providing rides, July 2010 – June 2011 In % of N=29,606 ride segments (not including 25,160 home/return rides)
0.2%
0.5%
0.8%
1.6%
2.7%
5.1%
5.6%
8.0%
10.5%
23.8%
41.1%
ITN Related
Professional Services
Inter-Modal
Education
General
Social
Employment/Volunteering
Religious
Recreation
Consumer
Medical
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Medical • 45789 General • 21481 Dialysis • 10374 Adult Day Care • 7715 Physical Therapy • 7711 Eye care • 5765 Dental • 3861 Lab Tests • 1928 Cardiology • 1778 Psychiatrist • 1589 Podiatry • 1081 Cancer Treatment • 979 Audiologist • 566 Internal Medicine • 562 Chiropractor • 534 Orthopedic • 518 Occupational Therapy • 474 Surgery • 447 Nephrology • 383 Radiology/X-Ray • 317 Acupuncture • 301 Mammogram • 247 Gastrointestinal • 195 Annual Physical • 182 Immunizations • 147 Vision Therapy • 138 Neurology
Rides by Purpose All affiliates providing rides February 2013, N=281,150 ride segments (not including 234,227 home/return rides)
• 120 Dermatology • 101 Vascular • 106 Endocrinologist • 89 Rheumatology • 38 Bone Density Consumer • 22653 Hair • 18689 Grocery • 8172 General • 5037 Banking • 3759 Pharmacy • 3582 Mall Employment / Volunteering • 18110 Paid • 4269 Volunteer Recreation • 11915 Exercise • 8120 Dining • 3180 Gaming • 1818 Show • 167 Museum Social • 6860 Nursing Home Visit • 5442 Visit Friends / Family • 2955 Community Affairs • 2024 Hospital Visit • 278 Funeral / Mem. Service
Church / Spiritual • 11929 Worship • 4009 Social • 1926 Work Education • 2935 School • 1064 Cultural • 392 Library General • 9789 Personal Business • 2174 Unknown • 269 Hourly Service Inter-Modal • 1207 Airport • 707 Bus • 241 Train • 227 Ferry Professional Services • 338 Vet • 267 Finance • 215 Lawyer
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ITNAmerica® Community Outreach Programs Turn Caring into Support and Dollars
• Individuals & Families • Membership • Gift Certificates
• Vehicles & Gifts in Kind • CarTradeTM
• Car Donation • Gifts in Kind
• Merchants, Health Care Providers & the Business Community
• Ride & ShopTM
• Healthy MilesTM
• Corporate Sponsorship
• Community Organizations • Ride Services • Ride Sponsorship
• Volunteers • Transportation Social SecurityTM
• Road Scholarship ProgramTM • Municipalities & Government
Organizations • Community Road Scholarship
Program • Fundraising Events & Programs
• Walk for RidesTM
• Annual Appeal • Adult Child Membership Campaign • Planned Giving
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2012 ITN Customer Satisfaction Survey (mailed to all customers nationally)
98% said they would recommend ITN to a friend
96% said their overall experience was excellent or very good
96% were very satisfied with the staff
94% were very satisfied the quality of service
40% have an annual income of less than $25,000
3% found the service too expensive
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Atlantic Philanthropies Evaluation May 2007 to June 2010
℘How does ITN impact the quality of life for three distinct groups: • ITN customers (n=191 at T-1; 160 at T-2; 144 at T-3) • family members of ITN customers (n=82 at T-1; 53 at T-2) • ITN volunteer drivers (256 surveys; 141 completed; 56% response rate)
℘The study included customers and family members from 5 ITN affiliate communities • Charleston, SC • Lexington, KY • Los Angeles, CA • Orlando, FL • Portland, ME
℘The sample of volunteers provided rides in those communities as well as in 3 others • Middletown, CT • East Windsor, CT • San Diego, CA
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Results—ITN Customers ℘ Transportation difficulty declined—21% in 1 year
• 64% prior to ITN membership • 49% 6 months later • 43% 1 year later
℘ Confidence in arranging personal transportation increased— 22% in 1 year • 55% prior to ITN membership • 68% 6 months later • 72% 1 year later
℘ Confidence in arranging personal transportation increased in non-drivers to level of drivers • 50% vs. 60% prior to ITN membership • 68% vs. 70% six months later • 70% vs. 69% one year later
℘ Depression scores of non-drivers decreased after six months of ITN membership and the trend continued one year later (mean scores 5.0 to 4.1 to 4.2, respectively)
℘ “Certainly kept me normal; I am able to keep my appointments. My life with ITN is pretty much the
same as it was when I still drove. I'm glad to be a member. It made my transportation problem almost non-existent.”—male customer, age 90
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Results—Family Members ℘ Worry about their relatives’ transportation adequacy—46% decrease
• 65% worried whether their relative had adequate transportation prior to ITN • 19% six months after their relative joined ITN
℘ Worry about their relatives’ safety when they traveled from home—31% decrease • 70% worried about their relatives’ safety prior to ITN • 39% 6 months after their relative joined ITN
℘ Experience less emotional stress • Mean scores decreased from 2.8 to 2.3
℘ Are less likely to miss work because they had to arrange or provide transportation—37% decrease • 64% prior to ITN • 27% 6 months after their relative joined ITN
℘ “I don't have to worry how she is going to her doctor's appointments. And I never have to give up work
time to take her somewhere.” 54 year old niece
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Results—Volunteers
℘Derive personal and social benefits from this role
• 66% volunteering for ITN has affected their quality of life • 36% volunteering for ITN has enriched their social lives • “I have made friends with a few members and I enjoy our conversations and
occasional meals together.” 49 year old female volunteer
℘Think about and plan for their future transportation needs for themselves & others
• 39% storing ride credits in an ITN account for their own future transportation needs • 38% donating their credits to the Road Scholarship Fund for low income riders • “I have a better understanding of senior life and problems. I can prepare myself and
family for things to come.” 72 year old male volunteer
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Road to Affiliation
• Application & service area
• Building a steering committee
• Finding a sponsor (Fiscal Agent)
• Raising the start-up funds
• Signing a Pre Affiliation agreement
• Laying the groundwork for independence
• Signing the affiliation agreement
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Application & Service Area
• Service area qualification – ITN – ITN multi-branch – ITNEverywhere
• Application form – Leadership – Entrepreneurial approach – Inventory of other services – Policy review
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Building a Steering Committee
• What is a Steering Committee? • How is a steering committee different than a Board
of Directors?
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Recruiting a Steering Committee • The Steering Committee is responsible for raising the funds needed to
start the new affiliate and to establish the credibility of a community-based, grassroots organization.
• Specific areas of expertise necessary: – Solid community connections – Business acumen – Fundraising experience – organizational skills – Political connections
• A “hands on/can do” attitude may be the key to your success.
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Finding a Sponsor
• What is the role of the sponsoring organization?
• What kind of organizations may serve as sponsors? – Public organizations – Private organizations
• How much does it cost?
• What is the time frame?
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Raising the Start-up Funds
• How much money will it take?
• Public and private resources—pros and cons
• Foundations
• Fundraising events
• Private donors—individual and corporate
• Public money—county, city, federal www.ITNAmerica.org
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Pre Affiliation
• PreAffiliates receive – Marketing & Branding
• Own logo • Web page • Flyer and other marketing document templates
– Planning & Guidance • Access to sample grants and fundraising documents • Review and support for grant applications • Guidance on recruiting a Board and an Executive Director
– Training & Networking • Webinar for your Steering Committee • An Invitation to the “All Affiliates Retreat” • Access to and training for the ITNAmerica web portal
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Laying the Groundwork for Independence
• Building a solid base of support
• Diversification of resources
• The strength of grassroots
• Separation from the sponsoring organization
• Building strong leadership and a strong Board of Directors
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Signing the Affiliation Agreement
• The sponsoring organization or the conversion organization signs the agreement
• The affiliation agreement is for 5 years • The affiliation agreement explains the roles and
responsibilities for the ITNAmerica and for the affiliate community
• The affiliation agreement protects the brand and all of the
other affiliates in the national network
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How is it Financed? Raising Start-up Funds
PUBLIC (up to 50% in first 5 years) General Municipal Other DOT Mobility management reserves New Freedom Funds, etc.
PRIVATE Individual donors Major Donors (Angels) Small gifts Family Foundations Corporate Med/large businesses Corporate foundations
Medical Local hospitals, medical groups, rehab facilities, Dialysis centers, etc. Hospital/insurance conversion foundations Foundation Mission-oriented Community foundations Religious
Other Organizations AARP Area Agencies on aging Other senior organizations Religious groups Service agencies, i.e. Lions, Rotary
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Annual Cost for Affiliate Communities
• $15,000 annual charge includes • Technology
– ITNRides enterprise software – Website – Portal
• National branding—marketing, communications, PR, national sponsorship
• Support for finance & HR, fundraising, customer satisfaction & QC, research, public policy
• National All Affiliates Retreat, peer group calls, newsletter & national campaign support
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Start-up Cost for Affiliate Communities
• Year 1: $35,000—the most work intensive year • Board development, support & training • Hiring & training Executive Director • Incorporation, 501c3 application • Site and office location • Equipment • Grant writing and fundraising support • New Affiliates Orientation (NAO)-4 day training in Maine, ED’s and
Board members, may be renewed perpetually at no additional cost • Katherine Freund Speaking engagement • Site visit for 3 day affiliate-site soft launch & dispatch training
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Start-up Cost for Affiliate Communities
• Year 2: $30,000—the year rides begin – First Rides – Site visit by Katherine – Operations support—dispatch, drivers, billing – Fundraising support—annual campaigns – Volunteer support—recruitment, reward, retention
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Start-up Cost for Affiliate Communities
• Year 3: $25,000—ascent to sustainability – Increase rides – Increase volunteers – Increase members – Increase donors – Increase Ride & Shop, Healthy Miles, Ride Services
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Start-up Cost for Affiliate Communities
• Year 4: $20,000—closing the gap on sustainability – Build campaigns – Build community relationships – Strengthen Board
• Year 5: $15,000 – steady growth and sustainability
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ITNAmerica Provides Affiliates with Five Kinds of Information Technology
• Website • Portal (with real time benchmarking) • Offsite Backups • Email Management • ITNRides
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5 Year Arc to Sustainability
Venture Philanthropy
•Up to 50% public funds—less is more
•Grants
•Major private gifts
Rides
Diversified Base of Voluntary Community Support
•Membership Dues
•Volunteer drivers
•Traded and donated automobiles
•Corporate Sponsors
•Ride & Shop; Healthy Miles
•Annual campaigns
•Walk for Rides
•Annual appeal
•Family membership
•Donations
•Individuals
•Community organizations
year 1 year 2 year 3 year 4 year 5 hard work, independence, future
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ITNAmerica Circle of Support
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Learn More—ITNAmerica Webinars
• What is the ITN and how does it work? • Meet ITN founders from affiliate communities
around the country—how did they do it? • ITNAmerica technology, including the enterprise
software that connects ITNAmerica’s national network.
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New Programming—Leveraging Technology
• Variations on the theme—multi-branch affiliates & pre-affiliates
• ITNEverywhere—a revolutionary
approach to community transport
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ITNSarasota: A local ITN Affiliate
• Background—unmet community need • Sarasota Community Foundation—Jewish Family
& Children’s Services • Launch—2008 • Challenges • Rewards • The future
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ITNSarasota: A local ITN Affiliate First ride January 2010; Total rides to date 14,172
Rides by Year
• Year 1 - 1859 • Year 2 - 3972 • Year 3 - 4772 • Year 4 - 6195 (thru November
2013)
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Membership Growth • Year 1 – 87 • Year 2 - 149 • Year 3 - 186 • Year 4 – 189 (thru November
2013)
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ITNSarasota: Charting the Ride Growth
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ITNSarasota: Charting the Membership Growth
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ITNEverywhere—a revolutionary approach to community transport
ITNEverywhere is a suite of transportation software programs linked through a unified data model and shared business services that access private transportation capacity to create consumer-oriented community transport.
Designed to complement, not replace, public transportation, ITNEverywhere builds on the innovative use of private resources and personal transportation planning developed by ITNAmerica for the aging population and applies those concepts to the population as a whole.
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Business Innovation Transfer
Personal Transportation Account A mobility portfolio Holds assets in various forms
Flexible approach to resources Accesses resources in various forms, i.e.
CarTrade, Transportation Social Security
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A Suite of Transportation Software Applications ITNClassic—current application, built for sustainable senior
transportation ITNLite—for small volunteer and rural transportation programs ITNCommunityTransport—for communities lacking public transport;
turns existing capacity of private vans and small buses into a voluntary community fleet
ITNRideshare—accesses shared ride capacity in private vehicles ITNMyCar—works like ZipCar®, but uses donated or traded vehicles to
create low cost mobility for lower income or rural communities
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Current Technology Development Work
Software + Services
ITNRides Business Services platform Member Management Volunteer and Paid Driver Management Finance (Personal Transportation Accounts) Logistics (Routing, Ride Management)
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Research Opportunities
• University of Missouri • CDC • University Transportation Centers • Federal transit Administration
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ITNRides Services Platform
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ITNRides Business Services (Finance, Personal Transportation Accounts, Routing, Member Management, etc.)
ITNRides 2.0 Web Application
ITNEverywhere Web Application
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Our Vision for the Future
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Transportation on the Horizon— Our Vision for the Future • ITN and ITNEverywhere will be in every community that wants it in the USA
• ITN and ITNEverywhere will be in every country that wants it in the world
• The National Endowment for Transportation will be established to help develop sustainable, consumer-oriented, community transportation with private resources
• Policies that remove barriers and create incentives for sustainable community transportation will be in place in every state and every country where they are needed
• People, families, businesses and organizations across the street and across the nation will be connected through ITN so all seniors and all people will have dignified mobility when they want it
• With sufficient mobility, safety, social interaction, the environment and the economy will improve, while poverty, pollution and isolation will diminish
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ITNAmerica is proud to recognize Regeneron Pharmaceuticals, Inc. as a corporate sponsor committed to helping raise awareness of the challenges associated with vision impairment, low vision, senior mobility issues and the shortage of locally-available transportation options for seniors. As the National Pharmaceutical Eye-care Services Sponsor for ITNAmerica and our affiliate communities, Regeneron Pharmaceuticals is proud to support ITN's mission to promote safe senior mobility. Visit Regeneron at www.regeneron.com
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ITNAmerica is proud to partner with Liberty Mutual Insurance, one of the nation's leading auto, home and life insurers. As the National Insurance Partner to ITNAmerica and our affiliate communities, Liberty Mutual Insurance has embraced ITN's mission to support safe, senior mobility and developed resources for seniors and their families to make good, safe transportation decisions found at www.libertymutual.com/seniordriving
© Copyright 2013 ITNAmerica. All Rights Reserved.
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Contact Information
Katherine Freund President & Executive Director, ITNAmerica 207.591.6926 [email protected]
The Liberty Mutual and ITNAmerica Partnership. ITNAmerica is excited to announce our partnership with Liberty Mutual, one of the nation's leading auto, home and life insurers. As the National Insurance Partner to ITNAmerica and our affiliate communities, Liberty Mutual has embraced ITN's mission to support safe, senior mobility and developed resources for seniors and their families to make good, safe transportation decisions found at www.libertymutual.com/seniordriving.