Please direct any questions regarding the financials to Treasurer Mark Kaenel at firstname.lastname@example.org or (909) 229-0101.
The following is the Treasurer’s summary review of the financials:
The highest level of billing for membership dues occurs during the first quarter. We also budgeted for the addition of one new member at the tier 1 (or “large”) level for the quarter. Therefore, budgeted membership dues for the quarter are $93,239. Actual income from membership dues for the quarter totaled $94,456.50, or $1,217.50 higher than budget. This includes the addition of new “large” member Riverside Community College District, which was billed for a full year of membership dues, and Amazon Air, another new “large” member which opted to be billed on a quarterly basis of $1,217.50 per quarter (hence the budget beat). There were no member resignations during the quarter.
Total expenses of $54,818.56 for Q1 were $2,351.92 less than budget. This is due primarily to lower than budgeted program (weekly meetings) expense and no expenses incurred for special events, insurance, and economic development activities. As a reminder, budgeted operating expenses are distributed evenly over each quarter. The only expense which appears to be significantly higher than budget is Legal & Accounting ($3,000 actual vs. $1,125 budgeted), however the full cost charged by our CPA to prepare our 2020 financial statement and tax return was incurred during the quarter while only one-quarter of the total budgeted cost was allocated to Q1 (so the budget allocation will catch up as the year progresses). Staff bonuses approved by the board were also paid in Q1 (and fully allocated in the Q1 budget).
As a result of the foregoing, net income for Q1 is $39,721.10, which is $3,602.60 better than budget.
The balance sheet at 3/31/21 remains very liquid with total cash of $161,739.76. The accounts receivable balance was $16,932 versus total billings for membership dues during Q1 of $92,239, indicating largely diligent remittances by our members. Fixed asset accounts were updated to reflect the CPA’s 2020 year-end adjustments. The GAAP-required CPA adjustment to the deferred income liability was also recorded (again, an accounting entry, not a true liability). Current liabilities from operating activities totaled only $3,146. In all, a very healthy balance sheet.