INTERNATIONAL EPIDEMIOLOGICAL ASSOCIATION
In official relations with the World Health Organization
Association
Internationale d’Epidémiologie
Asociación
Internacional de Epidemiología
IEA Council Meeting
March, 2010
Wellington, New Zealand
Report of the Treasurer
Patricia Buffler
Introduction
This report is presented at the IEA Executive Committee for review and discussion at the
meeting of the IEA Council in Wellington, New Zealand on March 25-26, 2010.
1. Budget Planning
The following is a summary of income and expenses for 2007-2009. A detailed
Financial Report for Jan-Dec 2009 is attached as Appendix A.
Summary of 2007-2009 IEA Income and Expenses (revised to include additional cost for
IJE Editorial Office)
2007
(12 months)
2008
(12 months)
2009
(12 months)
Total
Income
$313,558.51
$350,213.25
$330,830.98
$994,602.74
Expenses
$126,736.81
$248,072.45*
$583,965.28*
$958,774.50
Difference
$186,821.70
$102,140.80
-$253,134.30
$1,138,701.79
$1,240,842.59
$987,708.29
Cash on Hand
*
$35,828.20
n/a
Including $92,000 per year for IJE for 2008 and 2009
The budget year Jan-Dec 2009 was the first year where expenses exceeded income (by
an amount of -$253,134). The amount would be higher by approximately $130,000 (i.e.
-$383,134) if the 2008 expenditures of $92,000 for the IJE Editorial Office and $38,000
for the WCE 2008 had been paid in 2008, instead of 2009. Accordingly, the difference
between income and expenditures for 2008 would be -$32,921, and the difference
between income and expenditures for 2009 would be -$123,135, rather than -$253,134
shown if these expenses are budgeted in the years that they incurred.
The budget overrun in 2008 is due to the unanticipated expenses related to the WCE
2008, and the budget overrun in 2009 is due to the expansion of support for regional
meetings and the IEA International Course on Epidemiology; increased support needed
by the Secretariat and the Treasurer’s office related to expanded activities of both offices
and loans to support the WCE 2011 and the Lebanon Epidemiologic Association.
During the past
2. Proposed Transition to Professional Association Management Service
We are planning to phase out the pro bono services of Mary Jane Varley as our
accountant. She will be retiring from her position at the University of California, Los
Angeles within the next year and has expressed a desire to step down from her
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Report of the Treasurer, Patricia Buffler
Page 2
volunteer duties with the IEA. Additionally, the IEA Council decided at the August 2009
meeting in Edinburgh, Scotland, that the IEA would move to a system for receiving
membership payments electronically, though a service such as PayPal
(www.paypal.com), via the IEA website.
To facilitate these transitions, we have solicited bids from three association management
organizations for performance of the Financial/Membership management Scope of Work
included in Appendix B of this report.
-
FirstPoint Management Resources
(www.firstpointmanagementresources.com/)
-
Total Management Solutions Inc.
(http://www.totmgtsol.com/Home/Total-Management-Solutions.asp)
-
Association Headquarters, Inc.
(http://www.associationheadquarters.com/)
Bids from these three firms are included in Appendix C of this report.
FirstPoint Management Resources was chosen as a bidder because of a previous
association the IEA Treasurer had with this firm, in establishing them as association
managers for the American College of Epidemiology. Total Management Solutions, Inc.
(TMS) and Association Headquarters, Inc. (AH) were selected as bidders via an on-line
search from the list of firms accredited by the Association Management Company (AMC)
Institute, because of their willingness to submit a bid for the IEA’s limited scope of work
and also because their client list included other professional organizations similar in
focus to the IEA.
The AMC’s list of accredited firms can be found at
(http://member.amcinstitute.org/accreditation/members.cfm). To become accredited by
the AMC, a firm must successfully met the ANSI/AMC Institute Standard of Good
Practices for the Association Management Industry. Achievement of AMC Institute
Accreditation demonstrates an AMC's commitment and ability to deliver consistent
quality service to present and prospective clients. An AMC Institute Accredited firm has
invested significant time and money to meet or exceed the requirements of the American
National Standard for Association Management Companies. Because of the level of
effort and coordination required to establish an online membership payment system, the
IEA Treasurer has decided to include this task in the deliverables for the Scope of Work
to be assumed by the selected association management firm. Firms such as these offer
comprehensive services such as strategic planning, board committee support,
government and public relations, financial and account management, membership
management, website design and support, graphics design and support, fundraising and
issues management. Their involvement in IEA management will initially be limited to
financial and membership management. At a later date, the IEA council may reevaluate
the desirability of adding to the Scope of Work, other functions related to IEA
management.
After review of the three attached proposals, it is the Treasurer’s recommendation that
the IEA Executive Council schedule telephone conference calls with each of the
prospective management firms’ representatives, to discuss their proposals in greater
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Report of the Treasurer, Patricia Buffler
Page 3
detail, before choosing a particular firm. Additional bids can be obtained, from other
firms, if the Council deems that necessary. Furthermore, when a firm is chosen, the
Treasure recommends that the management service provider begin by meeting with IEA
leadership to create a detailed strategic plan for the Association’s direction and
management needs over the coming years. The IEA Council should consider inviting a
representative from the chosen firm to attend future Council meetings, to report on
management activity updates.
3. Management of IEA Finances
At the August 2009 IEA Council meeting in Edinburgh, Scotland, the Council agreed that
we will need to consider the possibility of diminishing revenue from royalties [and
interest], prudent management of existing resources and continuity of financial
processes with the transition of the Treasurer’s office. The IEA’s accounts include a
Certificate of Deposit (CD), in the amount of approximately $202,000 (USD) with an
interest rate of approximately 1.8%; and an interest-bearing money market checking
account with an average annual balance approximately $1 million, with an interest rate
of approximately 0.20% (June 2009).
Because of the significantly lower interest rate on the money market checking account,
and with the Council’s permission, the Treasurer transferred $500,000 from that account
into a Schwab One, high-yield investment account with Charles Schwab & Co.
Investment reports are included in the Appendix D of this report. The $500,000 was
transferred into the Charles Schwab account on November 9, 2009. As of March 17,
2010, the account value had increased to $521,088.68, representing an annualized
return of approximately 12.65% for the invested funds.
4.
Difficulties with Claims Payments in 2009-2010
During the August 2009 – March 2010 period, the Treasurer encountered some
difficulties in paying IEA claims (reimbursements, invoices, bursaries). These difficulties
included mostly delays in wire transfers that were due to international banking
uncertainties and were not within the control of the IEA treasurer or accountant. All
difficulties were successfully resolved.
5. Funding Request Form
To formalize the process for requesting funding from the IEA (not related to
reimbursement claims), the Treasurer developed and implemented a new form to be
used for requesting funds and loans from the IEA. This form collects requestor contact
information, banking information, and descriptive funding information similar to that
provided on the IEA Reimbursement form. The new funding request form also
documents whether or not the requested funding is a loan and, if so, by what date
repayment is required. The form is attached as Appendix E.
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