Memorandum
From: Greg Sorbara
Re: Financial Review
Date: March 31st 2025
I have now had an opportunity to review certain financial records for Kate’s Rest Foundation
including the following:
- Financial Statements Dec. 31st, 2020 prepared by Welch LLP
- Financial Statements March 31st, 2021 prepared by Welch LLP
- Financial Statements March 31st, 2022 prepared by Welch LLP
- Financial Statements March 31st, 2023 prepared by Welch LLP
- KRF Budget vs. Actuals (2024)
- KRF T3010 Return April 01 2023 to March 31st 2024
Since 2006, the mission of the Foundation is to provide permanent supportive housing for low-
income individuals and families who are in immediate danger of becoming homeless or were
homeless. Its facilities are set on a large tract of rural land on Big Island in Prince Edward
County. Residents receive food and transportation as well as support and assistance in the
operation of the community.
The Foundation operates on a surprisingly limited amount of revenue ($191,323 in 2023) made
up of rent paid and donations. Expenses are also very modest ($225,025 in 2023) including
salaries and benefits of $41,592. On average Kate’s Rest is home to 20 residents, some who
have been there for a few days and some who have been a stable part of the Big Island
community for some years.
The plight of homeless men and women is one of the most serious social problems across
Canada - no less so in Ontario and Prince Edward County. While governments at all three levels
acknowledge the problem and have increased their expenditures in this area, there appears to
be little progress toward real solutions. Most analysts estimating the costs of homelessness
incurred by municipalities include expenditures for emergency medical services, law
enforcement and court administrations. With these costs factored in, they estimate that
homelessness annually costs municipalities anywhere from $30,000 to $100,000 per person,
depending on the region. The work of Kate’s Rest should be seen within this context. In the last
three years alone, with 20 people being housed each year, the cost savings to the municipality
are enormous.
It should be recognized that Kate’s Rest Foundation is contributing in a small but important way
to the rehabilitation of men and women who are living on the edge. And having reviewed the
Foundation’s financial documents, what I find particularly noteworthy is that it has a remarkably
successful track record at a tiny fraction of what is being spent by governments to address the
homelessness crisis.