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You are the chief financial officer of an environmental nonprofit located in a rust belt community. Your organization is consider- ing extending its efforts toward

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You are the chief financial officer of an environmental nonprofit located in a rust belt community. Your organization is consider- ing extending its efforts toward cleanup of local land polluted by industry over the past century. The nonprofit is an estab- lished public charity with a good reputation, and your board is influential in the local community. Local citizens, federated fundraisers, and foundations have expressed support for the program. The CEO of the nonprofit has called you to his office and raised a couple of questions with regard to seeking extra funding, including sources from federal, state, and local gov- ernment. He has also proposed that the nonprofit should open a restaurant in the downtown area, which needs rehabilita- tion and economic development. He has convinced you that he knows how to run a restaurant. You know that government funding is in decline, given the increasing multitrillion-dollar debt at the federal, state, and local levels. Economic development is good, but it is not dir- ectly related to the mission of your organization, which is to raise the quality of life for people of the local community by protecting and improving the environment. The proposed res- taurant could be run as a non-related business, but that has tax complications. How are you, as chief financial officer, going to respond to the CEO's ideas? Would the internal capacity of your nonprofit facilitate or hinder the chance for success? What are the major points you need to cover if you decide to pitch your cleanup project to the governments? How would you justify the opening of a restaurant? What are the pros and cons of solicit- ing government support and/or starting a new venture? Think- Page 203 of 380 53% BUDGETING AND FINANCIAL MANAGEMENT FOR NON... ing outside the box, what are some other factors, such as the economic recession, that you can explore to help you answer these questions

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