Treasurer's report

National Guard, Sep 2000 by Walker, Emmett Jr

As I complete my final term as NGAUS Treasurer, I attest that the association's financial operations are in order. Retired Maj. Gen. Richard C. Alexander, NGAUS executive director, and the Washington staff run a tight budget and make every effort to ensure that they meet their fiduciary responsibilities to our members. The NGAUS Finance Committee continues to take a very proactive role in the financial stewardship of the association. And, of course, the executive council exercises its fiduciary oversight by reviewing and approving the annual and midyear budgets. No funds are being expended that are not budgeted, and no funds are budgeted that have not met the scrutiny of the NGAUS Executive Director, Finance Committee and Executive Council.

2000 NGAUS Budget Report

We have just recently completed our mid-year review process. The 2000 mid-year budget revenue projections increased $349,000 and expenditure projections increased $279,000. Net projected revenue in excess of expenses is $95,250. This is a very different scenario from the first budget I saw as treasurer, which showed more than a $500,000 deficit. The increased revenue projections are the result of increases in corporate associate dues, advertising sales, exhibit sales and return on investments. Expense projections increased to facilitate the day-to-day association operations, to provide financial incentives to secure future annual conference hosts annual conference, and to cover the increased commissions associated with the rise in exhibit and advertising sales.

Member-supported programs, which include membership dues and support of our affinity programs, comprise 63 percent of NGAUS budgeted revenues-a 4 percent decrease from 1999. This revenue category has been on a downward trend for many years, while our dependence on non-member supported revenues grows. Membership participation in NGAUS programs is essential for the association to continue our increased level of activity and maintain our leadership role. The ability of the association to act in the best interests of the Army and Air National will grow to the extent of the commitment made by NGAUS members.

The NGAUS staff is very cost conscious, but professional staff costs continue to rise. We will not be able to attract and retain the professional talent needed to champion our cause on Capitol Hill if our members do not provide additional support for our efforts. Simply stated, we cannot continue to restrict expenditures and maintain the level of activity necessary to reach our goals and objectives. It is essential that we focus our efforts on revenue sources to ensure the association's long-range financial health. Revenues in excess of expenditures are necessary to build our invested reserves so that we will be strong enough to meet future challenges.

Membership Dues

After building revenues, membership dues continue to be one of our largest sources of revenue. I am disappointed to hear that the pledge to increase membership if the dues freeze was implemented has not been kept. Some states did fulfill this promise, and I am wholeheartedly appreciative of their efforts. It's still not to late for other states to jump on board and raise their membership percentage before the end of the year. After all, the membership year does not end until to December 31 A goal I set when I became treasurer eight years ago was to see the overall membership percentage rise. I am disheartened that I will be leaving this office without seeing this goal accomplished.

I continue to believe that there is a direct correlation between membership, financial health and political influence. I support the NGAUS Membership Committee's and look forward to a rise in the membership percentage before the end of year. Now is the time for each of you to carry the message to the non-members in your state of the benefitsndividual and collective-that mem- bership brings tothe Guard.

National Guard Memorial Building

I am happy to report that the building is more than 98 percent occupied. Although there is still some interest in the remaining 4,000 square feet of vacant space, it is unlikely that this space will be leased before the end of 2000. We have been very fortunate over the past few years to maintain a high occupancy rate that has resulted in a positive cash flow. This has allowed us to concentrate on our mission as set forth by the NGAUS founders. Additionally, we are very fortunate to have dedicated Guard-smen who serve as volunteers on the building board and who closely monitor leases, contracts and the building budget. Brig. Gen. Robert Paschon of New Jersey and the other building officers help protect building by working issues with the full-time Donohoe staff. They have been very instrumental in ensuring that we maintain a low vacancy rate and that we get the best bang for our buck in building matters.

You, the membership, own the National Guard Memorial Building. Remember that the building is a memorial to our soldiers and airmen that symbolizes our collective strength and our presence in Washington, D.C. It represents every state, territory and individual Guardsmen. We are approaching the point where we will have a Grand Gallery to tell the Guard story to all who visit the Nation's Capital. Every member should visit this treasured asset to see the fruits their of membership dollars and contributions to the National Guard Educational Foundation.