Where Does All the Money Go?

The fees paid by all members in good standing frequently come under scrutiny, especially from new members.  A comprehensive outline of “where the money goes” follows.

Annual Fees
All Canadian Progress Clubs are required to pay certain fees annually to National.  These fees include Annual Membership Fees, Initiation Fees, 5% CPCF contributions, and fees to cover annual insurance assessments.  In order to cover these and other fees (such as Regional fees), most clubs will charge an annual membership fee to their members.

Failure of clubs to pay these fees on a timely basis could result in the club not being in good standing with National, which may result in the inability for the club’s President or Accredited Delegate to carry the club’s proxy vote at the Annual General Meeting and, if approved by the National Board, the revocation of the club’s charter.

How does National use the Annual Membership Fees paid by the individual Clubs?
The audited Financial Statements for the previous fiscal year and the proposed budget for the upcoming year are provided in the National Convention Handbook, and they illustrate where the funds have and will be channeled.  The annual budget is presented for approval by the membership at the Annual General Meeting.

Revenue is derived mainly from annual membership fees, initiation fees, surplus funds from National Conventions, and the sale of supplies from the National Supply House, such as pins, banners, etc.

The operating costs comprise mainly of the salary of the National Club Administrator, President’s and National Board members’ travel and meeting expenses, creation and maintenance of the national Internet website and online Member Communication System (MCS), rent, office supplies and equipment, postage, telephone and depreciation.

National Membership Fees
The fiscal year for determination of the annual census runs from May 1st to April 30th. Membership fees are charged at the beginning of the fiscal year and are determined through clubs’ membership information provided on the MCS as of April 30th.  Clubs are invoiced in May at a rate of $100.00 per year, per member, and payment is due to National by June 30th of each year.

No refund of any portion of the dues will be payable by the Association to the Club in respect of any member who leaves the Club.

New Member Initiation Fees
Initiation fees of $20.00 for each new member that has been inducted to an existing club during the previous fiscal year are required to be paid to National along with the Annual Membership Fees.

Initiation fees of $10.00 will be charged for each new member accepted for membership prior to the charter of a newly chartered club.  Normal initiation fees of $20.00 per member are due to National after the club’s charter date.

These initiation fees are used to help cover National’s administrative expenses incurred for providing assistance with new member induction and club charters, but do not cover other costs such as paraphernalia for new members or clubs.

Canadian Progress Charitable Foundation (CPCF) Annual Assessment
Every Club pays 5% of its net charitable funds raised during the fiscal year, with a minimum of $250.00, up to a maximum of $1,000.00 yearly.  Each club is required to file an annual report with its 5% payment at the end of May.  These club contributions, along with the CPCF’s other fundraising endeavours, help the Foundation to meet its financial commitments to its chosen charities, including Special Olympics Canada.

Annual Insurance Assessment
Canadian Progress Club National has obtained liability insurance, which covers the organization for certain claims against its Officers, Directors, Members and clubs.  For complete information regarding applicable coverage, contact the National Office. The cost of the annual insurance premium is shared by all clubs and upon receipt of the annual assessment from the insurance company, clubs are invoiced for payment on a per-capita basis.

Regional Fees
All Regions charge annual fees to clubs in order to cover the costs of administering their respective regions.  See Section 2.4 Regional Fees in the Blue Book for further information.

Club Fees
In order to cover the National and Regional fees described above, as well as other fees that may pertain to the operation of the individual club, most clubs will charge an annual membership fee to their members.  These club fees are set by resolution of the club membership or at the direction of the Club’s Board.  Contact your club President or Treasurer for details.

Regional Assessments
While all Regions have Regional Boards and Executives who act on behalf of the members in their Region and are members of, and/or liase with, the National Board, currently only the Western, Great Plains and Central Regions maintain administrative budgets. In order to help cover the expenses incurred by these boards to operate the Region, annual assessments are charged to each club in their respective Regions, as follows:

• Each Club will pay an annual assessment, in an amount to be determined by resolution at the Regional Convention, and failing such determination, by the Regional Board. These resolutions may include a provision for pro-rated assessments for new members who have not been a member of a club for the full previous 12-month period.

• Dues and/or assessment amounts are calculated on a per-capita basis within the Region, based on revenue requirements defined within the budget presented and approved at the Regional Convention. The per-capita amount is derived based on the number of dues paying members on record, as provided in the annual census report submitted to National.

Western Region
Using the membership census information on the MCS, the Western Region Treasurer will invoice clubs in the Region in May, for annual fees of $40.00 per member, with no minimum charge per club.  These fees are due for payment by June 30th.

Great Plains Region
Using the National Census information, the Great Plains Region Treasurer invoices clubs for annual membership fees at a rate of $32.00 per member.  The invoice is provided to the club Presidents at the AGM at the National Convention and are due for payment by November 1st.

Central Region
Using the membership census information on the MCS, the Central Region Treasurer will invoice clubs in the Region in May, for annual fees of $30.00 per member, with a minimum charge per club based on 15 members (i.e. minimum of $450.00 per year). These fees are due for payment by June 30th.

Eastern Region
Using the membership census information on the MCS, the Eastern Region Treasurer will invoice clubs in the Region in May, for annual fees of $35.00 per member, with no minimum charge per club.  These fees are due for payment by June 30th.

Editor’s Note: In addition to National Liability Insurance, each club is responsible for its own liability any time there is a gathering in the name of Progress where alcohol is a factor. Stay tuned for an article on PAL insurance in an upcoming issue of The Progression.