Page 44 of 52
C.A. WORLD SERVICE CONFERENCE 2004
FINANCE COMMITTEE REPORT
INTRODUCTION AND OPENING COMMENTS
This year, the Finance Committee started our committee meeting with the Serenity Prayer and the reading of a portion of the 11th Concept. We found ourselves guided with the words from this concept because they speak to our duties as the members of the fellowship“ who must take on the hard task of handling the financial affairs of CA as a whole. The main responsibility of this body is to see that we do not become money-crippled or go broke. This is the place where money and spirituality do have to mix, and in just the right proportion. Here we need hard-headed members with much financial experience. All’ should be realists, and a pessimist or two can be useful. The whole temper of today s world is to spend more than it has, or may ever have. Many of us consequently are infected with this rosy philosophy“. When a new and promising’ CA service” project moves into sight, we are apt to cry, “Never mind the money,” let s get at it. This is when our budgeters“” are expected to say, Stop, look and listen. This is the exact“ point” where the savers come into a constructive and healthy collision with the spenders. The primary function of this committee, therefore, is to see that our Headquarters operation is always solvent and that it stays that way, in good times and bad. We have a great committee who is committed to working ”throughout the coming year on special projects and the continued success of CA finances.
The finance committee was very busy this year finalizing the financial guidelines, the 2005-2006 Budget, and other projects. We have a great committee who is committed to working throughout the coming year on special projects and the continued success of CA finances.
Chair: Brian T.
Vice Chair: Heidi J.
Secretary: Debbie D.
Trustee: Elizabeth S.
Members: Dan S.M.
Philip L.
Skip H.
Paul P.
Rick R.
Lawrence M.
Dave M.
Kathy Jo R.
Page 45 of 52
REFERRALS THAT RESULTED IN MOTIONS
REFERRAL NUMBER 4035
MOTION: to change the prudent reserve from $90,000 to $75,000.
Second–
Philip the old figure was a rough estimate, now with better figures we believe this is 3 months operating expenses.
Motion Passes Unanimously
REFERRAL NUMBER 4659 & 4706
MOTION: to provide that delegate members of the TEC who participate in the TEC interviews at the World Service Convention, receive a one-day per diem or prepaid meal and 1/2 room night for one day of their service.
Second
Motion passes unanimously
REFERRAL NUMBER 3468 (2003)
MOTION: to approve the concept of a “CA Special Gift” donation envelope.
Second
Dan S.M.- this is just seeking your’ permission to investigate this idea.
Tad S.-Point of information Don t we already have an envelope that does that –
Dan S.M. No we do not at this time. It is just a concept at this time
Terri K.- Point Of Information- is it the intent of this special gift envelope to be a separate, and not to compete with ?
Pilar R.- Point of Information Is this not earmarked for special committees?
Dan- No not earmarked
Diane W.- I am in favor of this motion- However I am concerned about names being listed in the Newgram.
Vinny M.- I speak in favor of this motion. It will increase revenues
Tad S. Call the question
Second
Motion Carries
MOTION: to approve the concept of a “CA Special Gift” donation envelope.
Page 46 of 52
Motion carries Unanimously
REFERRAL NUMBERS 2131, 2602, & 2672
MOTION: to approve the document “Financial Guidelines for Groups, Districts, and Areas of Cocaine Anonymous.
Second
Heidi J.-We have been asked two years ago to come up with financial guidelines. We started on this last year and came up with a rough draft. It does coincide with your WSM.
MOTION: to approve the document “Financial Guidelines for Groups, Districts, and Areas of Cocaine Anonymous.”
Motion passes unanimously
COMMITTEE WORK THAT RESULTED IN MOTIONS
MOTION: to accept the new “One is Not Enough” flyer Second–
Rick R.- There is an example in your packet. It is to encourage donations
John W.- Would Spanish or French or Dutch … be able to translate that flyer
Elizabeth- The World Service Office will have to look into that.
Cynthia C.- Point Of Information Can you clarify what the CA guidelines 7th tradition?
Elizabeth–– We will remove those statements from the document
Ann C. I speak in favor of the motion. I believe it is a long time coming
MOTION: to accept the new “One is Not Enough” flyer
As corrected
Motion Passes with substantial unanimity
MOTION: to accept the proposed CAWSO budget, to be in effect from July 1, 2005 to June 30, 2006.
Second
John W. – I see 200.00 dollars and we approved $300.00 is there a reason for taking away $100.00?
We had no information that the Unity budget was $300.00
Shane M.- As we were in committee the finance chair came in and we stated $300.00.
That is what it has been in the past
Chair- is it not the policy that the Finance Committee can move around line items
Page 47 of 52
MOTION: to accept the proposed CAWSO budget, to be in effect from July 1, 2005 to June 30, 2006.
Motion passes unanimously
(Please note that there is now a condensed budget for you to take back to your Areas. If you want a copy of the full, itemized budget, we have limited copies on the table in the back of the room).
REFERRALS OR ITEMS TABLED UNTIL NEXT YEAR; AND ITEMS THE COMMITTEE WILL CONTINUE WORKING ON THROUGH THE YEAR
REFERRAL NUMBER 4072
To set aside a percentage of any net proceeds, in excess of budgeted amount, to a fund whose sole purpose is to help fund World Service Conventions in smaller market areas.
REFERRALS OR ITEMS REFERRED TO OTHER COMMITTEES; WORLD SERVICE OFFICE, OR BOARD OF TRUSTEES
REFERRAL NUMBER 4658
Request to create a sub-committee to whom CAWS convention budgets and/or bids are submitted.
Referred to Convention Committee
REFERRALS THAT DID NOT RESULT IN MOTIONS
REFERRAL NUMBER 3787
Request that the finance committee set up special accounts to collect for translation purposes of the literature.
REFERRAL NUMBER 4657
Request to earmark funds for special accounts such as translation, trustee travel, or international outreach.
The finance committee does not feel that this referral speaks to the 11th & 12th concepts regarding finances. It would be imprudent for the fellowship as a whole and the primary purpose of the fellowships of CA, if some projects were funded because of specific donations and other important projects, or CA as a whole were ignored because of lack of funds. We, the Finance Committee, going forward, feel that no special earmarked funds should be created.
Page 48 of 52
REFERRAL NUMBER 4033
Request to explore the possibility of obtaining insurance that would cover all areas through WSO.
All areas are autonomous. They are fiscally responsible for their own actions such as insurance. We do suggest that all areas obtain liability insurance.
NEW COMMITTEE STRUCTURE AS OF THIS CONFERENCE
Chair: Brian T.
Vice-Chair: Paul P.
Secretary: Debbie D.
We would like to thank our out-going Trustee, Elizabeth S., for her sound input, dedication to CA finances, and hard work on this committee.
At this time, we would like to speak on flyer that explains the Contribution Program
CLOSING COMMENTS
Paul P.- We have increased the Contribution Program from 19- 45 in just this week alone. Expand
As you know, the CAWS Contribution Program is currently in effect and up and running. We have passed out flyers to you, along with a one-page explanation, to assist you in explaining this program to your Area, Districts, and meetings.
At this time, we ask you to personally sign up for this program to show support to CAWSO and then you can be of example to your area. We also want to challenge your regions to see who can sign up the most contributors to this program! Please remember that $5 to $10 per month can change the financial outlook of our fellowship. If 300 people sign up at $10 per month, we would increase the ability of CAWSO to carry the message by $36,000 per year. The members on the Finance Committee have signed up to support this program and the financial success of our fellowship. We would like to see this flyer on the table of every CA meeting in the world.
Please, don’t forget to take back“the new “One” Is Not Enough” flyer to your meetings to remind people to put in an extra buck or two .
Thank you for allowing us to continue our sobriety by being of service to you.
Respectfully Submitted:
Brian T.
Page 49 of 52
CAWS Finance Committee Report
2005-2006 (7/1/2005 through 6/30/2006) CAWS Proposed Budget
Summary of Assumptions and Conclusions
Summary:
The financial directors and employees of Cocaine Anonymous developed the assumptions below based on the most recent actual financial information available. The assumptions may or may not accurately reflect actual events that may occur during the 2005-2006 fiscal year. The budget, as a whole, tries to address reasonable increases and decreases of income and expense items based on recent trends in the market place or CA as developed over the past several years. The final actual financial results of the fiscal 2005-2006 year may differ, sometimes materially, from the budget and the assumptions provided below.
Projected Receipts:
Sales of Chips and Literature: We believe that the current year budget is conservative after reviewing the trends and believe that an increase in sales will reach 6%.
Book Sales: Based on current year actual, we foresee possible reduction based on 2nd Edition expectation.
7th Tradition: Based on actual fiscal 2003-2004 receipts.
Interest: Based on actual balance in a money market/savings account at 2% earned interest.
Royalties: Based on new trend of payment.
Freight and Handling: Based on percentage of sales.
Book Reserve: Maximized and is available for reprints and production possibilities.
Projected Program Services Expenses:
Purchases/Books: Anticipated cost of all books.
Chips/Literature: Annualized cost based on 12 months actual activity.
Shipping Supplies: Annualized cost based on 12 months actual activity.
Projected Program Services Expenses (continued):
Merchandise Freight: Annualized cost based on 12 months actual activity.
Salaries: Partial one full time salaried employee, four full-time hourly employees and partial one part time hourly employee, assuming no overtime. Some employee salaries are split between program services and administrative costs as shown below. Employee Benefits: Based on actual to date information from the 2003 financials. Interest: Interest is zero budget item since CA carries no debt. Miscellaneous: Based on 12 months actual activity.
Newsgram: With 4 issues, expected increase in circulation.
Office Expense: Annualized 12 months actual activity increased by 5% in cost anticipated, due to more administration needs.
Page 50 of 52
Postage: Annualized 12 months actual activity with 20% increase.
Professional Fees Legal: Annualized 12 months actual activity.
Professional Fees: Accounting, tax preparation.
Rent: Based on 105% of projected monthly rent.
Equipment Leasing/Purchasing: Based on 12 months actual activity.
Repairs & Maintenance: Includes copier and shipping equipment maintenance contracts.
Taxes on Payroll: Estimate at 9% of gross salaries and wages costs.Taxes: General miscellaneous tax expense from city and local ordinances. Telephone: Annualized 12 months actual activity.
Travel: 18 Board members Conference and Convention participation.
Travel/ Hotel: Estimated at 28 room nights for two events (CAWS 2006 & WSC Conference 2005).
Projected Program Services Expenses (continued):
Travel/Meals: Estimated at $40.00 per day for 28 persons and a total of 15 days (2 events).
Utilities: Annualized 12 months actual activity with an increase of 10%.
Projected Administration Expense:
Salaries: Partial one full time salaried and partial one full-time hourly employee.
Bank Service Charges: Annualized 12 months actual activity.
Credit Card Charges: Increase proportionally to sales.
Continuing Education: No expenditures due to severe budget constraints.
Employee Benefits: Based on actual to date from’ 2003 financial information.
Insurance: Includes general liability, worker s compensation and error and omission policy for all directors. General liability including Internet coverage 125% of current fiscal year actual.
Dues and subscriptions: Annualized from 12 months actual activity.
Office Expense: Annualized from 12 months actual activity.
Postage: Annualized from 12 months actual activity plus 3% increase.
Professional Fees: Accounting: Tax returns only.
Rent: Based on 5% increase of projected monthly rent.
Repairs & Maintenance: Quarterly computer and shipping equipment maintenance Contracts.
Taxes on Payroll: Estimated at 9% of gross salaries and wages.
Telephone: Annualized from 12 months actual activity.
Utilities: Annualized based on 12 months actual activity.
Questions-
Susan D.- I fill out a paper, give a void check, and then how do I have a record for that? Elizabeth S.- Your bank statement will show the automatic withdrawals. We will also be sending out letters that indicate that we have received your letters and you will get reports, which have yet to be determined how often
Page 51 of 52
John W.- In regard to 3787 56?
How may we or can we receive funds for those purposes, (translation) for 2004,2005,2006?
Elizabeth S.- we are trying to work that out the best way we can. I have to put the plug in that contribution programs could help support this type of thing.
Shane M.- Can I borrow a staple to attach my check?
Is an individuals corporate check acceptable? If it is a sole proprietor, would that be acceptable?
Finance Chair WSO- It could cause a lot of problems in the future if the officers change.
Esther B.-I would like to know is this considered on Schedule “ A” as a donation.
WSO Finance Committee confirms it is.
Bob L.- What about the international capabilities of this program. Is there any research being done on Europe?
Elizabeth S.- We are only doing this in the USA at this time.
Tony D.- Members have concerns about the wrong amount being drawn. Can you help us understand if there is a process in place?
Elizabeth S.- If there is a problem there will be a number on the CP that you can call to indicate the problem.
Paul P.- Is there a charge back issue? Do you have the rights to get the money back if there is an issue with the amount? There are guidelines in place, which allow you up to 18 months. You are protected by your CC Company.
Kelley C.- The system is in place for an amount to transfer and are we not in a position to promote this internationally using credit cards? Elizabeth S.- Yes thank you Kelley
Tad S.- how do we know our personal information is safe at the WSO?
FCWSO- There are systems in place ’ they did it again anyway?
Vinny M.- Is there anything in place where you can find out a tally of which regions have donated?
Heidi J.- The WSO will look into that.
Vinny March- Are you aware the PNR loves a challenge?
Kevin M.- I may have missed this, is there an online sign up for this? If not, will there be? If so. when?
Elizabeth S.- We can not have a sign up on line because it needs a signature. Oh it already is.
Page 52 of 52
Kevin M.- Even with the CC .
New Business
There being no New Business
Move on to announcements
Announcement- Next year’s (2005) Conference will be held at
The Hyatt Regency Los Angeles for a room rate of $90.00 per night.
711 South Hope Street
Los Angeles California
Phone 213-683-1234
New Delegate Orientation will be on Tuesday evening.
Conference will run from Wednesday August 31st through to September 4th 2005.
Teri K. – Will there be shuttle services?
Jay S. – we are looking at this issue.
Kevin M.- For those of us in town, what parking privileges are there?
Jay S.- 7 dollars in and out per day.
John – How many miles is that from the airport?
Jay S.- It takes about 45 minutes to get there.
John – Will you have shuttle service for Monday?
Stacey K.- Are you going to negotiate with any other hotels?
Jay S.- No not at this time; we will renegotiate for 2007.
Dan S.M.- will you be informing us by email, when you know the information about the shuttles?
Jay S.- As soon as we know we will tell you and it will appear in the Delegate mailings.
Sean D.- Can the Conference Committee create a Hospitality committee to help with the pick up and drop off of people at the airport? Jay S.- Yes we will look into that.
Chair- We will look into the legal issues.
Stacey K. – Point of order- Thank you for making my experience so wonderful.
Elizabeth S.- Motion to adjourn
Second
Motion passes unanimously