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Local nonprofit groups to lose millions

The NCR building on Patterson Boulevard will be put up for sale. The few remaining operations of NCR in Dayton will not be located there.

Ron Alvey/Ron Alvey The NCR building on Patterson Boulevard will be put up for sale. The few remaining operations of NCR in Dayton will not be located there.

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By Margo Rutledge Kissell and Terry Morris, Staff Writers Updated 1:50 AM Wednesday, June 3, 2009

NCR Corp. has deep ties to the local nonprofit community as a major donor with roots in the formation of both the United Way of the Greater Dayton Area and Culture Works.

The corporation’s departure from the Dayton area will have an enormous impact on human service agencies and arts organizations, nonprofit leaders said Tuesday, June 2.

Last year, NCR was the third largest contributor (combined corporate and employee) to the United Way campaign, with $460,000.

“This was, for me, a shock, pretty much like it is for the rest of the community, particularly when you look at the history of NCR and its legacy in this community,” said Allen Elijah, United Way president and chief executive officer. He said the local United Way got its start from the relief initiatives of NCR founder John H. Patterson during the Great Flood of 1913.

Peter Ward, head of the Center for Operational Excellence in Ohio State University’s Fisher School of Business, said that although the loss of the NCR jobs will be severe, those could be replaced over time.

But the loss of senior NCR executives who provide leadership and money for community organizations could be harder to replace.

“Losing a thousand jobs is very tough in this economy,” Ward said. “But when you lose a headquarters like that, the philanthropy and the corporate leadership is even more important than the thousand jobs.

“Markets work over time (to create new jobs). What doesn’t get replaced is the corps of executives that provided leadership, and the money, for those institutions to do their jobs,” Ward said.

Denise Rehg, president and CEO of Culture Works, said the loss of NCR is going to make things more difficult for arts organizations already struggling due to the deep economic recession.

“This is one more piece of difficult news to absorb,” she said. “It really is like losing a very good friend.”

NCR was the top corporate donor to Culture Works last year and traditionally ranks first in workplace giving. Its campaign at NCR kicked off on Monday.

Culture Works grew out of the Dayton Performing Arts Fund, which former NCR Chairman William S. Anderson and late philanthropist Virginia Kettering established in 1974.

NCR notified arts organizations two weeks ago that the company would no longer do direct giving to individual groups but would support the arts community through Culture Works.

Rehg is still trying to assess how long that giving might last because the move of 1,250 NCR jobs to Duluth, Ga., won’t be complete until late 2010.

Two of The Human Race Theatre Company’s founders, Sara Exley and Suzy Bassani, were wives of NCR executives. Bassani also established the arts education organization, the Muse Machine.

“We probably wouldn’t exist without them,” theater executive director Kevin Moore said, noting that until this year, the Human Race has received funding from NCR 22 years in a row.

“The connections have been financial,” he said, “but just as much about the relationships we have built with them through the years.”

Staff Writer John Nolan contributed to this report.

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