Try Again Homes to merge with Community Action Southwest
Try Again Homes Inc., a 37-year-old social services agency that provides foster care and supportive services to youth in both Pennsylvania and West Virginia, has agreed to merge with Community Action Southwest, the area’s largest human services agency.
In announcing the merger in a news release Monday, officials of the two agencies said the move will consolidate administrative operations while combining the services of both organizations.
“We want to more effectively use funding for program services and reduce administrative costs,” said Gwen Davis, executive director for Try Again Homes’ Pennsylvania and West Virginia operations.
Try Again Homes has programs to aid foster parents, adoptions, truants, homeless young adults and independent living for 16- to 21-year-olds, and the Can-Do House, a coeducational transitional housing site for homeless 18- to 22-year-olds who are mentally ill or who have substance abuse problems.
Once the transition is complete in February, Try Again Homes will operate as a subsidiary of Community Action Southwest.
Try Again Homes has two corporations, one for Pennsylvania and the other for West Virginia, and plans call for them to remain intact.
“West Virginia will also be a subsidiary of Southwestern Pennsylvania Community Action,” Davis said. “Operations are going to remain the same. Our office at 365 Jefferson Ave., Washington, will remain open.” Try Again also has an office in Carnegie and its West Virginia offices are in Fairmont and Parkersburg.
With the merger, Community Action becomes a member of Try Again Homes, which means they will appoint board members for Pennsylvania and West Virginia.
Brian J. Smith, Try Again Homes’ Board of Directors president, said the agency has experienced additional costs for staffing, administrative and health care costs.
“Reimbursement rates and other revenues have not kept pace with staffing and administrative costs,” Smith said. “This year alone the agency experienced an increase of 42 percent in health insurance costs.”
Davis did not identify the insurer, but said the agency goes through a bidding process each year and obtains multiple quotes.
The 42 percent increase was the smallest of those received, Davis said.
“That started us kind of thinking, ‘How can we look to the future to partner with another agency that serves the community?’ “she said.
Smith, in a news release, said the Try Again board initially approached Community Action with the idea of sharing administrative services, “but ultimately determined that Try Again Homes’ services would be best preserved through a full merger.
“Our board is dedicated to ensuring that our important, high quality services continue serving youth in the future. We believe that Community Action Southwest will provide an effective future for Try Again Homes, and most importantly, critical services to families will remain intact.”
Darlene J. Bigler, chief executive officer of Community Action Southwest, which will remain at the Plaza Building, 150 W. Beau St., said the partnership follows a trend in nonprofit organizations nationwide.
“Due to reduced funding, we’re going to see more and more nonprofit mergers. We want to achieve maximum efficiency so as many dollars as possible can go to direct services for children and families,” Bigler said. “Our partnership with Try Again Homes will enable us to consolidate administrative services, while ‘quilting’ the services of both organizations together, leading to stronger families and healthier communities.”
Community Action Southwest’s programs include early childhood education and federal Head Start programs, plus the state Pre-K Counts program for 4-year-olds; a program that matches, up to $2,000, earned wages for home purchases, plus counseling on buying a home, postsecondary education or small business start-up or expansion; mortgage foreclosure mitigation; GED preparation for adults in math and reading; and nutrition for Women, Infants and Children.
In Greene County, Community Action Southwest provides a host of services to senior citizens, including operation of centers, home-delivered meals, advocates for those who live in personal care or nursing homes, and elder care for those who have fragile health and/or dementia.
While Community Action Southwest did not see quite as big an increase in the cost of health insurance, Bigler said the agency is facing a similar situation. She said costs associated with the Affordable Care Act, which is due to take effect next year, is “a small part of it.”
A new board of directors, composed of Try Again Homes and Community Action Southwest board members, along with Bigler, will guide organizational changes.
“We’re both pretty healthy organizations, fiscally and service-wise,” Davis said. “We don’t see a lot of increases coming down from government funding. That’s just the environment right now.”