Spiking gas prices take toll on Calgary charities - Action News
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Calgary

Spiking gas prices take toll on Calgary charities

With the price at the pump hovering around $1.30 a litre, many non-profit groups are looking for ways to cut costs.

Expert says pump prices will likely remain high until at least September

Sundae Nordin, CEO of the Community Kitchen Program of Calgary, says gas price increases have put a strain on the organization. (Jennifer Lee/CBC)

Some Calgary non-profit organizations say the price at the pump is taking a bite out of their bottom line.

Gas prices in thecity are about 30 cents a litre higher than they were in May of 2017 and that's squeezing charities thatrelyon donations and fixedgrants.

"It's very tough," said Sundae Nordin, CEO of the Community Kitchen Program of Calgary. "This is something that keeps us ... up at night."

Volunteers sort donated food at the Community Kitchen Program of Calgary warehouse. (Jennifer Lee/CBC)

Last year, the group distributed nearly 1.3 million pounds of food to more than 190,000 people.

Community Kitchen makes that happen with a fleet of five trucks and vans, two or three of which are on the roads in and around Calgary every day.

Nordinis watchinggas prices spike at the same time that donations are down and demand for food is up.

"[We're] pulling back in areas where we can and tightening up where we can," she said.

Disability agency impacted by pump price

Vecova, a disability services agency, is struggling as well.

"When our costs go up, it just means a reduction in the amount of money that can come back to support the programs that we offer," said Ann-Marie Latoski, CEO of VecovaCentre for Disability Services and Research.

The impact is mostly felt in the organization's bottle donation pickup service which serves more than 100 organizations and 5,000 homes in Calgary's northwest. The recycling program provides employment for disabled Calgarians, and the revenue is used for Vecova's programs, including housing and recreational supports.

Matthew Nomura, director of employment and social enterprise with Vecova, estimates gas will cost the organization about 20 per cent more for 2018 than expected. (Jennifer Lee/CBC)

"I can't remember the last time we've seen prices like this" said Matthew Nomura, Vecova's director of employment and social enterprise.

"It impacts us tremendously."

Nomura estimates fuelling up Vecova's fleet of five trucks will cost up to 20 per cent more than they anticipated for 2018.

As gas prices climb, donationsof recyclable beverage containers are dropping.

"So it hits us two-fold," said Nomura.

Price hike felt in many non-profit sectors

Fuel prices are also taking a toll on the Women in Need Society (WINS) , which has a fleet of four trucks that pick up donations and deliver free products to low-income women around the city.

Patti Brewin, fund development manager, says the organization uses roughly 38,000 litres of fuel a year.

"So any increase in that costyou know is going to impact our bottom line," she said.

"A 10 per cent increase or [so] has a huge increase on what we can afford to do and what programs we can keep running in the community."

High prices aren't going anywhere

There may be little relief in sight.

According to Dan McTeague, senior petroleum analyst with GasBuddy.com, the price at the pump will likely remain high for a while.

"I think this is going to have an impact on everybody. But especially those not-for-profit agencies who do good in our communities," said McTeague.

"You can see a scenario developing where the cost is anywhere from 15 to 20 dollars more a fill-up compared to 2017."

McTeague says prices will hover between $1.20 and $1.37 a litre until September or October.