Howard Brown Health Center Sees Progress on All Levels in First Half of 2011 While Releasing June 2010 Audit Report

Media Contacts
Brad McLaughlin, Howard Brown Health Center, 773‐388‐8901 
Marissa Ellenby, PCI, 312‐558‐1770 

CHICAGO, May 23, 2011 -- Following the successful completion of the first half of its fiscal year, Howard Brown Health Center is reporting significant progress on all organizational levels – fiscal, programmatic, clinical and research – as the organization continues is turnaround. Later this month, HBHC will be publicly releasing its midyear report along with its 2010 audit report, prepared by its new auditors, Crowe Horwath LLP, which confirms the past financial mismanagement and dire financial position announced last year at the start of the Lifeline Appeal in November 2010.

Despite the financial crisis, the mid‐year report shows that HBHC finished the first half of its fiscal year (ending June 30, each year) without a deficit, while continuing and growing its health and wellness services and programs and serving nearly as many people as it had in previous years, and in some cases more. HBHC maintained a high level of service to the community, serving more than 7,000 patients, and nearly 15,000 health care visits through clinical programs; conducting more than 9,000 HIV/STI screenings; and running more than a dozen active research studies and nearly a dozen clinical trials with national pharmaceutical companies. Most notably, the Lifeline Appeal funded nearly 50 percent of this work, having raised more than $750,000 as of January 2011.

In addition to the successful Lifeline Appeal, new operating initiatives and improved budget management have substantially improved HBHC’s current fiscal position which, as of this release, is trending favorably toward a year‐end budgetary surplus. As this remarkable turnaround continues, HBHC will soon be able to begin paying down some of its debts, while also planning for new initiatives and service expansion – all ahead of schedule.

“With the community’s help, we are getting the organization back on track. These are significant milestones in our recovery,” said HBHC President and CEO Jamal M. Edwards. “We promised it and now we are delivering – it really is a new day at Howard Brown Health Center. With engaged new board members and new highly‐qualified executives, we are turning around operations and working hard to improve and expand our services.”

Howard Brown Health Center’s mid‐year report demonstrates organizational changes have helped to stabilize its financial position, which key stakeholders and HBHC’s new board members have indicated are quite remarkable given the details from the recent audit report, which confirms the substantial deficits of the past and emphasizes the ongoing financial need for corporate, business, foundation and individual support.

As the organization moves closer to its $1 million goal for the Lifeline Appeal, HBHC is working with its corporate, foundation and individual donors to close the appeal at the end of June, which will ensure a complete organizational recovery and help to secure the long‐term sustainability of HBHC’s vital health, wellness and research programs.

The progress comes after HBHC leadership implemented changes to restore and strengthen the organization as a nationally‐recognized LGBTQA health and service provider. “We’re very pleased to share this report of progress, which will be the first of many updates we will share with the public. It’s our pledge to continue to keep the community well informed and engaged,” said Karma Israelsen, Chair of HBHC’s Board of Directors. “We have much more work to do as we rebuild, revitalize and provide the community a health service lifeline.”

“We’re climbing out of debt by balancing our budget and improving our management capacity, but like many of our peers, our services will be impacted by significant federal and state funding cuts,” said Edwards. “For thousands, HBHC is their only means of care. HBHC’s services are needed now more than ever. As we continue our efforts to recover and improve, we will also continue to need everyone’s help, patience and support to ultimately ensure the sustainability and full renaissance of HBHC as the LGBTQA community’s lifeline.”

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