Category Archives: Business

Pedals for Progress 2017 Board of Directors & Trustees

John Alexander, Treasurer
UNIT 3230, BOX 470
DPO, AA 34031 – 0470

David Schweidenback, President & CEO, pd4ls@comcast.net
86 E MAIN ST
HIGH BRIDGE, NJ 08829

John Strachan
95 OLD YORK RD
HOPEWELL, PA 18938

Andrew Williams
210 PAVONIA STREET
JERSEY CITY, NJ 07303

Robert Zeh, Secretary
5 WOODS EDGE CT
CLINTON, NJ 08809


Staff

Gary Michel, Vice President, gary@p4p.org

Lori Smith, Office Manager, lori@p4p.org (908) 638-4811

Michael Sabrio, Webmaster, michael.sabrio@gmail.com

P4P Major Donors

 
Major Donors
 
Susan B. Alden
AXA Foundation 
The Alexander Divinski Family Trust
William Alexander
Chad & Cecilia Bardone
Biovid
Blessed Sacrament Catholic Church
The Jos Claerbout Fund
Clif Bar Family Foundation
ExxonMobil Foundation
FedEx
Anne Fitzgerald
Jack & Donna Haughn
Robert & Laura Hockett 
Leo & Helen Hollein
K & E Jones Family Trust
David Schweidenback & Geraldine Taiani
Andrew & Emily Williams
 

Treasurer’s Message, Fall 2017

Hi.

I’m Johnny Alexander, Treasurer of Pedals for Progress. Dave and I were Peace Corps volunteers and roommates in Sucua, Ecuador, for all of 1979. He often tells the story of our Peace Corps landlord who put to productive advantage one of the few bicycles in Ecuador. Sr. Peña was part of the inspiration for the founding of P4P.

Several years ago I joined the Board of Trustees and was elected treasurer. My wife Jane Divinski and I are long-time donors. I am starting this column to offer more financial insight and transparency to P4P.

You donors, volunteers, and stakeholders are the core of P4P. It is your time and treasure that sustain and power P4P. Because P4P operates as an IRS-qualified 501(c)(3) nonprofit, your donations may be used to reduce your tax payments.

I want to lead off my first column with an innovative and tax-saving way for retirees to donate to P4P. If you have an IRA or a 401k plan, this should be of interest to you. At age 70.5, you must begin to take Required Minimum Distributions (RMDs). You of course may begin your distributions earlier if you need or wish to. All IRA/401k distributions, except those in Roth accounts, increase your taxable income. The IRS will permit you to direct your IRA/401k administrator to make directed donations to 501(c)(3) nonprofits like P4P. The benefit is that if the money goes directly from your IRA/401k to a nonprofit, you avoid including it in your taxable income. Many wealthier seniors dislike the RMD because it can push them into a higher tax bracket and raise their taxes. The direct donation approach prevents this tax bracket creep. The outcome is that your total tax is lowered by a greater amount than if you report the income and take the deduction for your donation. If you wish to read more, here is a really good article, with examples, from the Wall Street Journal: The Benefit of Donating Your Required IRA Distributions to Charity.

I am sure that your tax advisor and financial institution can help you understand how advantageous this can be for you, given your financial situation.

In peace,

Progress Report for End of Fiscal Year 2017

On 30 September 2017 we closed the books for fiscal year 2017. (The P4P fiscal year runs from October 1st through September 30th.)

In 2017 we collected 12% more bikes and 55% more sewing machines than in 2016.

Fiscal 2018 starts with a bang: on 23 September 2017 the Vermont Green Mountain Returned Peace Corps Volunteers collected 253 bikes and an astounding 168 sewing machines, all of which is en route to New Jersey. Because it is not yet in our warehouse it cannot be counted as 2017 production, so it will give us a great start to 2018.

Bicycles
Fiscal Year 2016

2016 Total Bikes Shipped 2,760
2016 Bikes Collected 3,130
9/30/2016 Bikes in Inventory 590
Fiscal Year 2017

2017 Total Bikes Shipped 3,644
2017 Bikes Collected 3,531
9/30/2017 Bikes in Inventory 477

Sewing Machines
Fiscal Year 2016

2016 Total Sewing Machines Shipped 285
2016 Sewing Machines Collected 327
9/30/2016 Sewing Machines in Inventory 67
Fiscal Year 2017

2017 Total Sewing Machines Shipped 533
2017 Sewing Machines Collected 511
9/30/2017 Sewing Machines in Inventory 45

Progress Report for End of Fiscal Year 2016

On 30 September 2016 we drew the curtain on our activities for fiscal year 2016. (The P4P fiscal year runs from October 1st through September 30th.)

In 2016 P4P collected 36 more bicycles then we did the previous year. And as for sewing machines we had an almost 13% increase in machines collected.

(On 9/30/14, the end of fiscal year 2014, we had 365 bicycles in inventory.)


Fiscal Year 2015 Bicycles Shipped

Date Shipment Bikes
shipped
Sponsor

18 Oct 2014 Rivas #55 502 Ecobici Revolving Fund
1 Nov 2014 CostaRica #2 438 VerdeBici Revolving Fund
15 Nov 2014 Albania #6 453 PASS Revolving Fund
9 May 2015 FIDESMA #16 488 FIDESMA Revolving Fund
30 May 2015 Albania #7 459 PASS Revolving Fund
20 Jun 2015 Moldova #8 439   Clif Bar Family Foundation
26 Sep 2015 Ghana #18 460 WeBikes Revolving Fund

2015 Total Bikes Shipped 3,239
2015 Bikes Collected 3,094
9/30/2015 Bikes in Inventory 220



Fiscal Year 2016 Bicycles Shipped

Date Shipment Bikes
shipped
Sponsor

24 Oct 2015 Fiji #7 440 Friends of Fiji/Clif Bar Family
14 Nov 2015 Albania #8 483 PASS Revolving Fund
5 Dec 2015 Rivas #56 297 EcoBici Revolving Fund
30 Apr 2016 FIDESMA #17 495 FIDESMA Revolving Fund
4 Jun 2016 Albania #9 520 PASS Revolving Fund
9 Jul 2016 Rivas #57 525 EcoBici Revolving Fund

2016 Total Bikes Shipped 2,760
2016 Bikes Collected 3,130
9/30/2016 Bikes in Inventory 590

(On 9/30/14, the end of fiscal year 2014, we had 50 sewing machines in inventory.)


Fiscal Year 2015 Sewing Machines Shipped

Date Shipment Machines
shipped

1 Nov 2014 Costa Rica #2 100
14 Nov 2014 PASS/Albania 22
9 May 2015       FIDESMA/Guatemala 36
30 May 2015 PASS/Albania 30
20 Jun 2015 Moldova #8 53
26 Sep 2015 Ghana #18 69

2015 Total Machines Shipped 310
2015 Machines Collected 280
9/30/2015 Machines in Inventory 20

(On 9/30/15, the end of fiscal year 2015, we had 20 sewing machines in inventory.)


Fiscal Year 2016 Sewing Machines Shipped

Date Shipment Machines
shipped

24 Oct 2015 Fiji #7 68
14 Nov 2015 Albania #8 34
30 Apr 2016 FIDESMA/Guatemala #17 20
28 May 2016 Albania #9 25
13 Jun 2016 Tanzania #3 74
23 Jun 2016 Kyrgyzstan #2 30
12 Sep 2016 Kenya #1 34

2016 Total Machines Shipped 285
2016 Machines Collected 327
9/30/2016 Machines in Inventory 67

Summer 2016 Podcast Featuring Dave

CNN Heroes is a TV special created by CNN to honor individuals who make extraordinary contributions to humanitarian aid and who make a difference in their communities. Dave Schweidenback, P4P founder and CEO, was a 2008 CNN Hero for his work with P4P. Shin Fujiyama was a 2009 CNN Hero. He founded Students Helping Honduras, an NGO that runs projects in Honduras to support education, housing, and microfinance.

In the summer of 2016, Shin got in touch with Dave and recorded a conversation about P4P history, philosophy, the economics of development and non-profits, the introduction of the wheel, corrupt customs officials, and lots more.

Shin published the conversation in his podcast series. Shin’s website has lots more information about Students Helping Honduras and his other activities.

Click here for an introduction to and a summary of Shin’s conversation with Dave and for links to the podcast audio files.

High Bridge man lifts thousands out of poverty

By DEB DAWSON, Editor, Recorder Community Newspapers

Posted: Thursday, February 10, 2011

HIGH BRIDGE, New Jersey – David Schweidenback, 58, is a man who really loves his job. He doesn’t just love it — Pedals for Progress (P4P) is his 20-year-old baby. He nurtures it daily, and is proud of its accomplishments.

The nonprofit organization he launched in the Feb. 11, 1991, edition of the Hunterdon Review has come a long way since then.

To date, it has helped to bring 130,000 people out of poverty by providing them with the means to get to a job, or even create one, using bicycles.

“I had a really good idea one day, and I acted upon it. And, rather than control it, I distributed it. Gave everybody else my idea, so they could go out and do what needs to be done,” said Schweidenback.

So now, in addition to Pedals for Progress, there are 70 similar organizations in 15 countries that do what he does – collect bicycles, some in need of minor repairs, fix them, and ship them to developing countries to be sold to folks who really want to make a buck, but have no way to do it.

Those organizations account for another 130,000 bikes – 260,000 in all.

P4P is the brain child of this returned Peace Corps volunteer who saw for himself during his time serving in Ecuador just how much two wheels can mean.

Back in 1991, Schweidenback was focused on Sucua, Ecuador, his former Peace Corps service station.

“I was going to collect 12 bikes. I got 140. I was going to ship them all to Sucua, but the Ecuadorian government wouldn’t let me in.”

Why? “It’s good to be king,” he said. “The people on top were very happy with the way life was working. There are two types of countries: (1) The people on top are happy they’re on top. (2) The government wants to see some comprehensive change – see their people have a better life and move on and get better.

“At the end of the day, it’s their country. You can suggest, but you can’t mandate. I used to take it very hard. I used to want to say, ‘Can’t you see what happened in China?’” where bicycles once proliferated. Now Schweidenback says the Chinese want everyone to have a car.

“For several developing nations without much money, with a developing lower class, the elimination of poverty is always a decision. To get out of poverty, you have to get a job. There’s always work to be done.

“In these developing countries, most people are underemployed because of where they live relative to where work is available. If you make $2 a day, you’re not going to go out and take public transportation.”

He explained that in agrarian communities in third-world countries, the people have to get to the road from where they live – which is usually down a path maybe five miles away.

“They’re great farmers. They load a bike with produce and push it to the road where they can sell it. Without a bike, a lot of crops rot, because they can’t get it to the road.”

In Uganda, the average person lives four miles from safe, potable water. “People have 10-gallon jerry cans they fill with water and hang on either side of the back wheel, then put two cans on top. These guys go to the well and push water to customers for a living. They deliver water to people’s houses.”

P4P has shipped 19,000 bicycles to Rivas, Nicaragua, since 1992 and the city has created an infrastructure for the bicycles. The organization still sells about 200 bikes there annually.

In Rivas, Schweidenback said whole families commute on one bike. The father or mother may ride the children to school on the bicycle on the way to work, then pick them up on the way home. This has enabled the population to become more educated.

“By the time you’re 13 years old, you’re an adult with adult responsibilities. You’d go to school through the fourth or fifth grade and the necessities of life would come along,” said Schweidenback. Now students can ride instead of walk the five miles to and from school, which takes less time, and they can still do their chores when they get home.

But, Schweidenback does not believe the bikes should be given away. “People don’t take care of things they’re given. People take care of things they earn. If you give away, you create paternalism. We’re trying to create a more vibrant economic system where these people can help themselves. The average recipient has a 15 percent increase in income the first week they get a bike.”

Bikes are usually collected through drives given by church youth groups, rescue squads, fire companies and the like.

Every bicycle costs P4P about $35 from collection to delivery to the final owner. People who donate bikes also donate a minimum of $10 to P4P to help pay for repairs and shipping. P4P gets about $12 per bike from its overseas partners, who sell bikes for an average of $15.

“The last $13 I get from general begging and groveling,” he said. “We’re a charity. We exist by the giving of people who believe in our mission. There are about 5,000 on our mailing list. We go to them a couple of times a year. I’m a professional beggar.”

The partners who actually sell the bikes need to retain some of the money for a storefront, a warehouse with bars on the windows, a bike mechanic, salesperson, someone for accounting, electricity and water.

P4P has also branched out. In 1999 it began exporting used portable sewing machines to developing nations. “A sewing machine is employment for life,” Schweidenback said. “We’ve set up bunches of co-ops. We teach sewing.”

Schweidenback, who was a “2008 CNN Hero” and a “Rolex Award for Enterprise” winner, said his greatest accomplishment during these past 20 years is “survival. I’ve been through three recessions. We’re still steady, but it has never been easy.”

He thought a minute and added, “I have really had the opportunity to fulfill a dream I had to help people.”

To send a contribution, set up a bike drive, or for more information,
contact Alan Schultz at alan@p4p.org or (908) 638-8893, or visit the website at www.p4p.org.

Continued Clif Bar Support

Spring 2009 InGear

Our project in Sierra Leone is less than a year old, and it’s already a success despite many initial logistical difficulties. Helping us overcome these challenges is the very generous Clif Bar and Company. Because of a significant grant from the Clif Bar Family Foundation, we were able to fund the vital first shipment of bikes to Sierra Leone in July. This got the project started.

clifBarFamilyFoundation

Since then, our partners in Sierra Leone have already received their second shipment (described in Greg Sucharew’s article). As with all of our programs, it’s the first shipment that enables our partners to get their revolving fund started so they can pay for subsequent shipments. In the case of Sierra Leone, shipping charges are much higher than usual, and without help from Clif Bar, we never could have met that expense. But financial assistance from the Clif Bar Family Foundation hasn’t stopped there. They recently informed us they will be providing us with a grant of $10,000 a year for the next three years! This will ensure the growth of our program in Sierra Leone, as well as enable us to open new programs that, like Sierra Leone’s, are normally too costly for us to start. As you might suspect, these programs are in the very countries that most need help.

In addition to fueling athletes and health-conscious people-on-the-go with delicious and nutritious energy bars, gels and drinks, Clif Bar does a lot of other wonderful things for the planet. You can learn more at www.clifbarfamilyfoundation.org, where you’ll also find us listed among their Long-term Partners. While you’re there, don’t hesitate to purchase an “On Your Behalf” Gift Card from their site. You can support your favorite bicycle-recycling nonprofit, or any of the other noble groups among their Long-term Partners.