April 22, 2008
The Executive Board and BARC each discussed the progress made on the proposed property purchase by Choice in Middletown, CT. Construction is underway with an expected completion date in late July or early August. The Executive Board gave authority to Executive Director Keith Fiels, and AED Finance Gregory Calloway to proceed with negotiations to secure financing for the property. The expected loan facility will be up to $2.5 million with the purchase price at $1.8 million. Build out costs, furniture and equipment may account for the additional dollars under the facility.
I will share more information with you about the construction completion and the financing as it becomes available.
April 21, 2008
The Executive Board held its spring meeting from Friday April 11th â€“ Sunday April 13th. One of the primary actions of the Executive Board was a review of the Preliminary FY 2009 budget. The foundation of the budget addresses the programmatic priorities and provides the framework for the ALAhead to 2010 strategic plan as well as the operating priorities carried out by the Divisions, Departments, and Units of the Association. This budget was then forwarded to the Budget Analysis and Review Committee (BARC) for further review and analysis.
BARC met for two days from Monday April 14th â€“ Tuesday April 15th to review the proposed budget in critical detail. The BARC members and ALA staff presented the individual budgets for the Divisions, Roundtables, Offices, Units and major Departments. The result was the following:
Total Budgetary Ceiling* – $64,992,954
General Fund – $30,505,519
Divisions – $24,785,565
Round Tables – $1,086,035
Grants & Awards – $7,748,477
Long-Term Investments – $867,358
After reviewing all aspects of the budget BARC approved the budgetary ceilings in the amount of $64,992,954. Further adjustments to the budget will be made between now and the Annual Conference. The FY09 budget will then be presented to Council for its consideration on Tuesday July 1, 2008. Prior to conference, Council will receive a written report describing all aspects of the budget.
*Ending Net Asset Balance from FY08 +
Projected revenues for FY09
April 2, 2008
For the past few months, ALA senior management and unit heads have been hard at work drafting the preliminary FY 2009 budget. Â In preparation for the April Executive Board meetings, I had conference calls on March 31 and April 1 with Keith Fiels and Greg Calloway to review budget preparation to that point.
The remainder of the budget approval process begins on April 10 when the Board’s Finance and Audit Committee will meet to review the preliminary budget. Â The Executive Board will review the budget on April 12. The Board will then give preliminary approval and transmit the budget to BARC for further review. Â BARC will examine it critically on April 14 and 15 and provide the Executive Board with the results of its deliberations at the annual conference. Â Finally, I will present the final recommended FY2009 budget to Council for its approval at annual conference in Anaheim.
February 19, 2008
The value of ALA’s long term investment decreased by $1,202,377 or (3.7%) in January. Â The portfolio’s benchmark declined (3.6%). Â The portfolio’s decline was somewhat less than half that of broad equity markets in January. Â At the end of January 2008, the value stood at $30,019,945, unaudited.
February 4, 2008
On January 14, BARC Chair Marilyn Hinshaw, AED for Finance Greg Calloway and I had the pleasure of meeting informally with Division Budget and Finance or Treasury representatives to discuss areas of mutual interest.Â One topic was the need for accurate budgeting and why it is important for the overall management of the Association.Â The discussion certainly recognized some need for flexibility for the Divisions to be entrepreneurial in developing new programs.Â The scale of the budgeted item was also discussed.Â For instance, missing budget by 20% on a $10,000 item is quite a bit different than the same variance on a $1M item.Â We also reviewed the timeliness and helpfulness of financial reports and how to get issues with them resolved.Â We encouraged Division representatives to continue to work with their BARC liaisons to improve budgeting and to understand financial reports.
We will continue theses informal meetings at future conferences and I welcome any feed back.
October 11, 2007
Market performance in September and the Fed rate cut in the middle of the month were both very good news for ALA’s long-term investment portfolio. Â At the close of business on September 29, the unaudited value of ALA’s long-term investments stood at $31,432,147. Â This number eclipses the previous high recorded on May 31, 2007 by $574,921. Â The endowment’s value had dropped below $30,000,00 at the end of July. Â This is a very nice turn around indeed!
October 11, 2007
On the attachment, please find a summary of Annual Conference revenues and expenses and a table showing net Annual and Midwinter Conference Revenues for the past 11 years. Annual Conference Revenues and Expenses
October 9, 2007
Welcome to the ALA Treasurer’s Online Forum.Â I will use this site to try to keep interested members informed about ALA financial matters throughout the year.Â I welcome your input, so please let me know about financial topics of interest to you.