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CPMT Treasurer’s Report16 September 2000

2000 Year to Date Financial Results

Year 2001 Budget

CPMT Travel Support Policy

Year 2002 Budget Planning

IEEE Financial Issues

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See separate spreadsheet of actuals vs. budget

• Overall YTD surplus is $138K, vs. $76K budget

• Packaging Fellowship expenditures YTD = 0

• Transactions YTD net looks okay– CPT net is $32.9K low, but offset by AP and EPM

• Conferences YTD net is cause for concern

• Many Committees are spending less than budget

2000 YTD Financial Results

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2000 Budget YTD Budget YTD Actual YTD Variance

Publications Revenue $667.2K $523.0K $548.9K $ 25.9K

Publications Expense 317.5K 161.8K 185.2K < 23.4K>

Publications Net $349.7K $361.2K $363.7K <$ 2.5K>

Conferences Revenue $600.0K $354.1K $146.7K <$207.4K>

Conferences Expense 365.0K 243.3K 143.3K <100.0K>

Conferences Net $235.0K $110.8K $ 3.4K <$107.4K>

Conference financials are difficult to forecast and track– Conference surplus or deficit is accounted when the conference closes

• Accounts are adjusted later for total revenue and expense figures

– Book Broker Program revenue (~$70K in 2000) is credited at year end

– Much of our surplus comes from ECTC, which has not hit the books yet this year

– Some change of forecasting and tracking method will be considered

2000 YTD Financial Results (2)

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2000 YTD Financial Results (3)

2000 Budget YTD Budget YTD Actual YTD Variance “Underspending” Committees and Initiatives Expense Budgets:

Chapter Comm. 48.5K 32.1K 10.6K < 21.5K (67%)>

Distngsed Lecturer 20.0K 13.2K 7.3K < 5.9K (45%)>

Technical Comm. 22.0K 14.4K 0.6K < 13.8K (96%)>

Membership Comm 39.4K 26.2K 5.3K < 20.9K (80%)>

Graduate Fellowships 40.0K 26.4K 0 < 26.4K (100%)>

Web Development 15.0K 10.0K 0 < 10.0K (100%)>

50th Anniv. History 15.0K 10.0K 0.3K < 9.7K (97%)>

50th Anniv. Commem. 22.0K 21.2K 4.0K < 17.2K (81%)>

• The yearly budget is our operating plan for the year.• Underspending usually means underperforming.Archival CD ROM $65.0K $65.0K $74.2K $ 9.2K (14%)

CD ROM Sales 0 0 7.8K 7.8K

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2000 YTD Financial Results Summary

– YTD income from conferences is a concern, but not necessarily cause for alarm

– In general, no Committees are overspent YTD– Several committees and projects are underspending– Potential negative financial impacts

• Hire this year of full-time administrator

• Approved BoG travel in excess of budget

• Costs of Asia delegations

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• July YTD Investment Fund return 1.89%– vs. <0.44%> for strategic asset allocation index.

• To be accounted this year, 2000 expenses need to be to Marsha by mid-December.

2000 YTD Financial ResultsAdditional Information

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2001 CPMT Budget• See separate spreadsheet

• $1.66M budget; $41.0K deficit

• Adds full time administrator at IEEE

• Funds strategic programs

• Increases available BoG travel support

• Does not reflect potential “hit” from IEEE Infrastructure and Institute-level deficits

• Does not include interest or investment earnings

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CPMT 2001 Initiatives

• Full-time administrator at IEEE $72K• Increased BoG Travel Support + $40K• Graduate Fellowship additional year $40K• Web-based courses development $30K• Marketing $15K• Industry Support Programs $10K• Student Programs $10K• IEEE Packaging Award initial expense $ 9K• Reprint CPMT Brochure $ 8K• Newsletter Upgrade $ 3K

$ 237K

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CPMT Travel Support Policy

• Travel support to attend BoG Meetings:– Voting members of the BoG and Strategic

Program Directors only, not to exceed $2K to attend BoG meetings ($3K if intercontinental).

– No other BoG travel support

• Travel support for other purposes:– Identified in budget, amount and purpose– Otherwise, by approved of VP/Pres + Treasurer

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Year 2002 Budget Planning

• February 2001 BoG Meeting:– Approve all proposed 2002 initiatives– Approve input parameters: fees, page counts, etc.– Submit all requests for 2002 budget

• CPMT Finance Committee will develop budget• First pass budget due to IEEE early May

– CPMT BoG Ballot in April

• Second pass (“Final”) budget due early August– CPMT BoG Ballot in July

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IEEE Financial Issues

• Infrastructure/Institute-level deficit issues are not resolved– No report on New Financial Model effort– Potential reduction of CPMT reserves if nothing

changes: $183K in 2000, $298K in 2001

• Policy and Procedure Manual changes:– Method for approving and budgeting new initiatives– Mandatory Concentration Banking– Centralized contracts authority