Services for the UnderServed and Palladia:

A merger to create more opportunity.

Two of New York’s most respected and relied upon nonprofit agencies are pleased to announce a merger that will make the new entity a potent provider of housing, health and human services for vulnerable residents of New York City.

Services for the UnderServed (SUS) and Palladia officially merged on December 4, 2014. Operating under Services for the UnderServed, the merged entity will retain the best of what has made both SUS and Palladia the unique and esteemed organizations they have been since the 1970’s. Learn More about the history of SUS and Palladia.

SUS and Palladia have had a long history of partnership, and after months of assessing the viability of the merger and ensuring that it would have a synergistic impact on the individuals, families and communities served by both organizations, the deal was wholeheartedly embraced by the boards, management and staff.

Donna Colonna, CEO of SUS, will lead the combined organization, while Mark Hurwitz, former CEO of Palladia, will assume a new role as Chief Legal and Strategy Officer for SUS.

“The need for fresh solutions and effective approaches has never been greater,” offers Colonna. “We cannot ignore the scale of our challenge, including the 58,000 homeless people living in shelters each night, 43% of whom are children.” The good news is that both the City and State are committed to addressing the need for housing and community supports. The State has also embarked on a transformation agenda to improve the life outcomes of individuals and families facing multiple challenges. “This new landscape begs for collaborations,” Colonna continues. “Given the 100 percent alignment of the services of SUS and Palladia, our merger could not have come at a more opportune time as it offers a huge platform for positive change–an opportunity to drive innovation and advance practice.”

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“This merger has been a collaboration of the highest order, and may stand as a textbook case of a thoughtful, strategic and powerful alliance,” says Hurwitz. “Palladia and SUS share compatible values and culture centered on the people we serve and our staff, a common vision of inclusion and opportunity, and a strong commitment to practice innovation and service excellence. As a merged organization, we will multiply what we were providing separately. It’s a huge win for New York.”

Founded in 1978, SUS is a $125 million nonprofit enterprise that has become the ‘agency of choice’ for thousands of individuals and families facing challenges such as mental illness, intellectual/developmental disabilities and HIV/AIDS, often compounded by histories of homelessness, substance use, poverty, trauma and unemployment. In addition, SUS’ work with veterans has offered a range of services that addresses their unique needs. Today, in the midst of its most robust period of growth, SUS stands as a “community of opportunity” dedicated to the belief that every New Yorker has the right to lead a life with purpose. With significant presence in Brooklyn, Queens, Manhattan and the Bronx, and in partnership with those who come seeking services, SUS creates pathways to a rich and productive life for all.

The need for fresh solutions and effective approaches has never been greater.
SUS CEO Donna Colonna

For 43 years, Palladia, a $45 million enterprise, has helped change lives by providing innovative programming, compassionate care and expert solutions to critical social problems. Palladia’s 29 programs in 25 different locations (primarily Harlem and the Bronx) have enhanced the lives of individuals and families in New York City who have sought help in their struggles with poverty, addiction, homelessness, domestic violence, mental illness and trauma. Palladia’s community envisioned a City where everyone can maintain a healthy lifestyle, lead a productive life and establish a stable household.

With a forward-thinking approach, the new SUS will increase its reach in both depth and breadth and thus be able to significantly increase its impact on individuals, families and communities in accessing housing, integrated care, employment and other related supports. The revenue of the merged entity is projected to exceed $180 million as it develops additional plans already in its pipeline allowing it to serve 30,000 people each year throughout 65 New York City communities.

SUS and Palladia are grateful to its partners in government, and the corporate, foundation and private philanthropic world for the support that made this merger possible. The organization looks forward to achieving full operational integration over the next year, and to advancing the discussion within the nonprofit community of how mergers like this one can be supported for the good of the City.

Please look for further updates as the new SUS unveils its expanded offerings in the weeks and months to come.