Page 118 - July 2020 Board Meeting Agenda_Neat

BOARD PAPER

Agenda Item: 5.3 Finance Committee

Author: Paul Thomas

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Date of Meeting: 23 July 2020
Type of Report: For Discussion and/or Decision

Recommendations:

The Committee submits the attached 2021 budget for approval by the Board.

Discussion:
The Finance Committee has prepared a draft 2021 Budget for presentation to the Board. This was
an extremely difficult task given the impact of COVID on all branches and chapters. COVID-19 not
only resulted in the cancellation of most training seminars during 2020, but it also impacted our
membership levels, our APB advertising revenue, and meant we received no income from the 2020
International Seminar.

On the expense side, there have been savings in travel costs, but many of our costs such as
website hosting and maintenance, board and officer indemnity insurance, admin costs, auditing
and IRS filing, awards trophies, etc. have seen been incurred.

Therefore, the 2020 income and expenses cannot be used as an accurate guide for the 2021
estimates. Furthermore, we still don’t know how long the COVID-19 will affect everyone, or if its
effects will be uniform across all branches and chapters in 2021.

Consequently, when preparing the 2021 budget we have taken a very conservative approach. For
example, we have been advised by the APB publishers that there was no advertising revenue
payable to IAATI from the latest issue. We don’t know when this situation is likely to change and
have therefore assumed we will continue to receive no APB advertising income in 2021.

Continuing this cautious approach we have been forced to make substantial cuts including:

• the completely eliminated all heating and lighting payments
• the phone and ISP allowances some individuals have previously received,
• the eliminated some travel allowances,
• the annual IAMI sponsorship
• reductions to the Branch and Chapter incentives