Two eastern CT nonprofits latest to merge

Two of eastern Connecticut's biggest community chests have merged into a single organization covering a quarter of the state, a further sign of the consolidation pressure gripping the nonprofit sector.

The Community Foundation of Southeastern Connecticut, covering New London and 10 other towns, said Thursday it merged with the Community Foundation of the Tri-County Area, serving Norwich, Windham and 29 other northeast towns.

The new organization keeps the name Community Foundation of Southeastern Connecticut, with a Tri-County division.

The revamped foundation has the largest coverage area of any of the state's 18 community foundations, serving 42 of the state's 169 cities and towns, officials said.

Experts have forecast a cascade of mergers among philanthropic foundations and nonprofit organizations in Connecticut and nationwide as donations dwindle amid rising demand for their services.

However, many groups have been reluctant to merge, fearing their community missions will be subjugated in the surviving organizations.

Officials of both groups indicated those concerns colored their lengthy merger talks.

Willimantic banker Rheo Brouillard, who chaired the Tri-County foundation, said the organizations spent a year researching and debating the merger.

Laurel Butler, who remains chair of the re-formed Southeastern Connecticut foundation, said the combination had to be cost effective, yet allow the new organization to meet the individual needs of its community network.

"We didn't go into this merger lightly," Butler said in a statement.

Last year, New Haven-based Planned Parenthood of Connecticut absorbed its ailing Rhode Island health-screening affiliate.

 

Two other New Haven nonprofits, ALSO-Cornerstone Inc. and The Connection Inc., partners in supportive housing statewide for people with disabilities, were merged.