Public Sector and NGOs – Critical Partnership for People’s Welfare

Mika Pyykkö, Funding Activities, 29 March 2012 1

Public Sector and NGOs – Critical Partnership for People’s Welfare

Mr Mika Pyykkö


Structure of the Presentation

• About Finland

• RAY in general

• Funding activities

• Challenges and possibilities


About Finland

• Officially the Republic of Finland• Population 5,4 million• 80 % live in cities or densely built-up area etc.

20 % live in countryside, rural areas etc.• Education: ca. 33 % of Finns has a academic degree• 6 Regional State Administrative Agencies (AVI) • 336 municipalities • Ca. 130.000 registered association,

for which ca. 8 000 operates on the fieldof social affairs and health


RAY in General

• An organization governed by public law, its neither a private enterprise nor a private association

• Established in 1938 to raise funds through gaming operations to

support the work of Finnish health and welfare organizations

• 94 non-profit organizations in the health and welfare fields are members of RAY

• Decision-making• General Meeting (all the member organizations)• Board of Administration

• 7 representatives appointed by the Finnish Government • 7 representatives selected by the General Meeting


The operations are governed by laws and decrees

Lotteries Act

Decree on the Slot Machine Association

Act on slot machine funding assistance

Decree on certain time limits applicable to slot machine funding assistance

Licensing and supervision (Ministry of the Interior), prevention of problems (Ministry Of Social Affairs and Health), distribution of proceeds (Ministry of Finance) and allocation of funding (Ministry of Social Affairs and Health)

Proceeds from gaming operations in 2011 total € 739.1 million

Slot machines € 571.2 million

Arcades € 94.1 million

Casino Helsinki € 27.5 million

Casino games in restaurants € 14.9 million

Online gaming € 29.7 million

Rent income € 1.7 million

6Mika Pyykkö, Funding Activities, 29 March 2012

Distribution of the proceeds from gaming operations in 2011 total € 739.1 million

Lottery tax€ 73.8 million

Salaries andsocial expenses€ 61.2 million

Other expenses€ 69.9 million

Investments€ 23.9 million

Grants and State Treasury€ 410.8 million

Space rental€ 99.5 million

Mika Pyykkö, Funding Activities, 29 March 2012


"Raha-automaattitoiminnan harjoittamisen yksinoikeus on säilytettävä nykyisellään Raha-automaattiyhdistyksellä - RAY:llä"

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Samaa mieltä Ei osaa sanoa Eri mieltä

”RAY must have the monopoly for slot machine operations also in the future”

Agree No opinion Disagree


Funding Activities - From revenue to funding

To the State Treasuryfor war veteranrehabilitation and care

Lottery duty

Operational costs (wages,social security costs,investments)Slot machine space rental

Funding to be granted

Applications

Gaming revenue

Application handlingand fundingpreparations

The fundingdepartment'spreparatoryworking group

RAY

paysthe funding

controlstheiruse

monitors/evaluates

the fundedoperations

The Governmentmakes the

funding decisions

RAY’s ExecutiveDirector

RAY's Board ofAdministration

The Ministry of Social Affairs and Health

presents the funding proposal

to the Government

Funding


Funding in 2012MEUR Number

• Applied funding in total 487,0• Applicants 1 170• Applications for projects and activities 2 367

• Granted funding in total 291,0• Funded organisations 756• Funded projects and activities 1 557• New funding projects and activities 327

• Funding categories• General funding (Ay) 51,7 131• Targeted operations funding (Ak) 132,8 784• Investment funding (B) 40,3 157• Project funding (Ci/Ck) 66,2 485

• State Treasury 99,3

(During 1993 – 2012 all together about € 1,7 billion)


Funding in 2012

• Main strategic policies MEUR

1) Strengthening health and social welfare 86,7

2) Preventing problems threatening health and 89,7 social welfare

3) Helping and supporting those in trouble 114,7


Influential social powerFunding is used to combat current health and social challenges, including

• Change in age structure• Immigration / diversity of cultures• Loneliness• Social and financial exclusion• Involvement of persons with various disabilities• Substance abuse• Mental well-being• Obesity• Memory-related illnesses


The performance management 2012-2015 between Ministry of Social Affairs and Health and RAY

• Strategic choices of Ministry of Social Affairs and Health

• Three priorities in Programme of Prime Minister Jyrki Katainen’s government• Reduction of poverty, inequality and social exclusion• Consolidation of public finances• Enhancing sustainable economic growth, employment and competitiveness

• Following actions are based on implementation of Programme for government• A cross-sector action plan for reducing social exclusion, poverty and health problems• Programs belonging to The second National Development Programme for Social

Welfare and Health Care (KASTE II) • Programme to reduce long-term homelessness• The housing programme for mentally disabled people


Main strategic policies 2012 - 2015• Target: Fruitful NGO activities for the benefit of the people

• Aim: Promoting health and social welfare by supporting the operations and projects of NGOs working for the public good.

• Principles• Non-governmental organization (NGO) has a special right to receive funding• Every applicant is treated equally• Openness and transparency

1 Strengthening

health and social welfare

2Preventing problems threatening health and social welfare

3Helping and supporting those in trouble

1 Strengthening health

and social welfare

2Preventing problems

threatening health and

social welfare

3 Helping

and supporting those in trouble


Funding secures the viability of organisations

• Providing participation opportunities and meeting places

• Voluntary and peer activities• Information, guidance and training• Influencing and lobbying• Acquisition of premises• Regional activities• International activities

NGOs, working on health and social welfare sector, are an important part of a welfare state. RAY’s support for these organisations includes


Biggest funding recipients in 2012

• Finnish Federation of the Visually Impaired 7 560 000 €• Y-Foundation 5 819 999 €• Federation of Mother and Child Homes 5 664 993 € and Shelters • Finnish Society for Social and Health 5 106 000 €• Registered Association of Drug Prevention 4 748 000 €• The Finnish Association on Intellectual and 4 729 000 € Developmental Disabilities • Rural Health and Holiday Care 4 663 000 €• Registered Association of Welfare Holidays 4 660 000 €• The Finnish Association for Mental Health 4 368 995 €• Finnish Association of the Deaf 3 788 000 €

17

Mutual challenges and possibilities (1/5)

NGOs

• participation opportunities• voluntary activities, peer groups • influencing/lobbying•developing• training• information

Municipalities

The Government

Private companies

Mika Pyykkö, Funding Activities, 29 March 2012



• Alternating environment

• Shrunken / widened view of the world

• State of the economy

• Reformation of the municipality structure

• Information overdose

• The orientation of voluntary work

• Doing good is outsourced



• NGOs’ changing role

• Participation, acting, influencing AIM, THEME

• Voluntariness FORM, TIME FRAME

• Peer support TIME, PLACE, METHOD

• Expertise VISIONS

• Communication/give out information LISTENING, CONVERSATION, SPARRING

• Methodical approach/developing REGENERATION, ABILITY TO ANTICIPATE

• Reacting FLEXIBILITY



• Alternating course of action

• To chart the needs of action

• To clarify the setting up of the aims

• Increasing the cooperation • Between NGOs• Between NGOs and municipalises (e.g. KASTE-Programme)• Between NGOs and corporations

• Compounding of professional work, voluntariness and peer support



• Alternating course of action

• Development of strengthening and preventing action

• Establishment of monitoring (evaluation) practises

• Expanding the utilize of the good practises

• Implanting the results of development work

• Reducing health and welfare inequalities between different groups of people

Why, what aims, to who, in what way, with who?


Non-profit organizations

Welfare is build with collaboration

schools exercise

youth

culture

environment

neighbours

hobbies

church

media companies

friends family

educational establishments

social

health

Ad hoc

www

village/suburb

work

The Parliament, legislation

Counties

Centre for Economic Development, Transport and the Environment

& Regional State Administrative

Agencies

Centres of

expertise etc.

Nursing districts

Research institutes

EU

GLOBALISATIONKela

- The Social Insurance Institution of Finland


Finland’s Slot Machine Association

Turuntie 42, FI-02650 ESPOOtel +358 9 437 01 fax +358 9 4370 2383

[email protected]

Documents

Public Sector and NGOs – Critical Partnership for People’s Welfare