NYPTA TREASURER – report
TO: NYPTA Board of Directors
RE: Report 1 January 2016 through 31 March 2016
I. Response to Charges from previous Board of Directors meetings.
- There are no outstanding charges from the Delegate Assembly to which the Treasurer must respond.
II. Activities (Treasurer)
A. I participated in the winter 2016 BOD video conference meeting and participated in 3 conference call meetings of the Executive Committee.
III. Additional Activities
A. The annual audit of Chapter finances and procedures for 2015 indicated that finances and procedures continue to be run well for an organization of our size.
B. I continue to monitor dues closely during the third full year of the APTA career starter dues program which started in 2014.
IV. Current Issues and Concerns (Treasurer)
Despite having a net revenue surplus of about $13,000 at the end of 2015, I continue to be very concerned and cautious in the estimate of the operating budget for the next few years. As we go forward in the Career Starter Dues Program (that allows recent graduate new members a four year period of reduced dues) the expectation is that ultimately more recent graduates will become members and progress to full membership. The goal would be to bring dues income back and hopefully exceed levels seen in the years prior to 2014.
As indicated in the activities section above, the 2016 budget was revised after its initial development by the Finance Committee to better account for the decrease income from dues and changes in investments.
See section VII for additional comments.
V. Motions –
None
VI. NYPTA Financial Position
Liquidity:
As of 1 January 2013 $1,668,034
As of 1 January 2014 $1,716,335
As of 1 January 2015 $1, 577,133
As of 31 December 2015:
Total assets $1,239,000
Liquid assets $728,750
As of 31 March 2016:
Total assets $1,248,681
Liquid assets $738,431
Annual Operating Budget 2015
Revenue $764,078 received of $834,195 budgeted (92%)
Expenses $750,667 paid of $833,992 budgeted (90%)
Net Revenue $13,411
Annual Operating Budget 31 March 2016
Revenue $127,597 received of $698,120 budgeted (18.3%)
Expenses $167,687 paid of $696662 budgeted (24%)
Spending for “Special Projects”
2013 $78,684
2014 $242,295
2015 $227,664
2016 $10,658
Total spent to date $559,301
Budgeted to be spent $104,282
As of 31 March 2016 the Well-Fargo account “Special Reserve” for “special projects” contained $102,193.
The general investment fund contained $413,197 at the end of 2015 and this exceeds the mandate to keep 55% of operating needs in reserve by about $5,000-10,000.
VII. Final Comments
The total dues income for 2015 was $566,421 and this was $18,579 (3.1%) less than budgeted. The total dues income for 2014 was $569,188 which was a $9812 (2%) decrease over what was originally budgeted. This was a $24,681 (4.16%) decrease over 2013 which also happened to be the highest dues income on record for NYPTA. Despite the decrease in 2015 dues income, spending below budget in many areas allowed 2015 to end with a modest operating budget surplus of $13,000 (1.7%)
With the addition of the March dues payment, NYPTA dues in the first quarter of 2016 is at $140,899. This is 3% lower than the same time period last year and puts us on track to have 2016 dues come in at $550,000 which is $25,000 below the budgeted level.
I expect the APTA career starter dues program, with its extended scale of less than full dues over a four year period, will continue to complicate our dues income for at least 1-2 years. Total dues collection looks like it will stay down. Unless full membership actually increases, this could become problematic for maintaining dues at the current rates unless expenses are adjusted to match.
Respectfully,
Stephen P. Lahr
Treasurer, New York Physical Therapy Association