garfield Posted January 8, 2013 Author Share Posted January 8, 2013 (edited) The Cascades Revenue, Expenses, and Net Assets The Bottom Line Total Revenue 2009: $329,800 2010: $408,274 2011: $444,405 Total Expense 2009: $339,054 2010: $394,862 2011: $378,546 Total Net Revenue (loss) 2009: ($9,254) a loss 2010: $13,412 2011: $65,859 Net Assets 2009: ($3,657) more liabilities than assets 2010: $9,755 2011: $75,605 Observation: From the brink of collapse to positive revenues and the beginnings of a nest egg in 3 years. Although they don't yet have one season's expenses in the bank, their revenues are growing and they have obviously turned a positive corner by spending less than they're bringing in. Congrats to the leadership and to the members, staff, and volunteers who have stayed with this die-hard organization. Edited January 9, 2013 by garfield Quote Link to comment Share on other sites More sharing options...
perc2100 Posted January 9, 2013 Share Posted January 9, 2013 The Cascades Observation: From the brink of collapse to positive revenues and the beginnings of a nest egg in 3 years. Although they don't yet have one season's expenses in the bank, their revenues are growing and they have obviously turned a positive corner by spending less than they're bringing in. For sure; and if/when this corps gets back to being more competitive they will truly be one of the coolest turn-around stories in the modern drum corps era. I think Cascade's leadership has done an incredible keeping focused on financial viability vs "put all our eggs into being competitive in hopes that success = more kids trying out = more $$" Congrats to the leadership and to the members, staff, and volunteers who have stayed with this die-hard organization. This is such an under appreciated group of people, and probably a not-as-commonly praised bunch of folks. It's easy to praise the leadership and management team that has done a great job balancing the books and bringing the corps back from the brink of financial ruin. And FWIW all of that praise is earned! But for the corps to keep on the road, it also needs staff working to put a product on the field, members giving their time and effort into making the corps great, and volunteers doing all the behind-the-scenes stuff. Props to all involved, Cascades! I hope your director is in contact with Glassmen helping to give ideas on how succeed the rebuilding Quote Link to comment Share on other sites More sharing options...
garfield Posted January 9, 2013 Author Share Posted January 9, 2013 The Cascades Statement of Program Service Accomplishments Note: Cascades list the A-corps in 2009 and the Northwest Youth Music Association, the A-corps, and the winter guard in 2011. Also of note are these other statements: "...cooperates in a partnership with the Rotary Club "Music for Life" Program that donated monies and horns to the Seattle School District.", and "The organization's partners in education programs loaned instrtuments to almost a dozen differen high school marching bands..." 2009: Revenue: N/A, Expenses: $319,287 2010: Revenue: N/A, Expenses: $383,688 2011: Revenue: N/A, Expenses: $353,994 Quote Link to comment Share on other sites More sharing options...
garfield Posted January 9, 2013 Author Share Posted January 9, 2013 The Cascades Statement of Revenue Note: Revenues are divided among three major categories: "Contributions, gifts, grants, etc", "Program Service Revenue", and "Other Revenue". Contributions, gifts, grants, etc All Other contribtutions, gifts, grants, etc 2009: $14,668 2010: $73,886 2011: $38,868 (total) Quote Link to comment Share on other sites More sharing options...
garfield Posted January 9, 2013 Author Share Posted January 9, 2013 (edited) The Cascades Statement of Revenue Program Service Revenue Tuition Fees 2009: $151,832 2010: $165,063 2011: $180,987 Ticket Sales 2009: $46,151 2010: $36,537 2011: N/A (Note: "Show Income" listed at $7,889) Note: 2011 income is "netted" (after expense) while '09 and '10 are not Performance Fees 2009: $45,275 2010: $57,742 2011: $62,007 Sponsorships 2009: $16,570 2010: $12,325 2011: Not Reported Camp Fees 2009: $15,527 2010: $22,235 2011: $35,015 Observation: If "Camp Fees" reflects either higher camp costs per student or more students trying out, both explanations bode well for Cascades tryouts. Total Program Service Revenue 2009: $281,935 2010: $300,722 2011: $310,781 Edited January 9, 2013 by garfield Quote Link to comment Share on other sites More sharing options...
garfield Posted January 9, 2013 Author Share Posted January 9, 2013 The Cascades Other Income Net Income from Fundraising events 2009: $30,793 2010: $32,546 2011: $49,554 Net Income from sales of Inventory 2009: ($1,936) a loss 2010: $601 2011: $10,006 Note: Although "inventory" has typically been (or included) souvies, it's not possible to tell if this is true in Cascades' case. Miscellaneous Revenue 2009: Stadium Fees: $2,200, Admin. Income: $1,700 2010: Misc: $519 2011: Write off of unpaid bills: $33,945, Misc.: $1,251 Quote Link to comment Share on other sites More sharing options...
troopers1 Posted January 9, 2013 Share Posted January 9, 2013 The Cascades Miscellaneous Revenue 2011: Write off of unpaid bills: $33,945, Misc.: $1,251 That $34k writeoff is over half of their net income for the year. Quote Link to comment Share on other sites More sharing options...
garfield Posted January 9, 2013 Author Share Posted January 9, 2013 That $34k writeoff is over half of their net income for the year. True. And "Unpaid bills" may be synonymous with "Forgiven Bills" in this case. Quote Link to comment Share on other sites More sharing options...
garfield Posted January 9, 2013 Author Share Posted January 9, 2013 The Cascades Statement of Functional Expenses (Note: Expense line items are categorized into one or more of three expense types: "Program Service Expense (PSE)", "Management and General Expense (MGE)", and "Fundraising Expense (FRE)". Grants and other assistance to governments and organizations in the U.S. 2009: PSE: $15,238 (To Seattle Public Schools) 2010: $0 2011: $0 Other Salaries and wages 2009: PSE: $28,906 2010: PSE: $31,799, MGE: $6,000, Total: $37,799 2011: PSE: $30,646 Travel 2009: $0 2010: $0 2011: PSE: $214,911, MGE: $1,531, Total $214,911 Note: 2009 and 2010 itemized tour expenses (see below), 2011 did not. Charter Bus Rental 2009: PSE: $82,480 2010: PSE: $87,650 2011: $0 Tour Expenses 2009: PSE: $36,129 2010: PSE: $43,078 2011: $0 Travel - Fuel 2009: PSE: $19,231 2010: PSE: $25,234 2011: $0 Other Expense 2009: Vehicle Expense: $27,484, DCI Expense: $17,100 2010: Supplies: $19,145, DCI Contracts: $29,000 2011: Camp Food: $10,769, Show Design Fees: $10,700, Color Guard Supplies: $10,491, Driver Fees: $7,573 Quote Link to comment Share on other sites More sharing options...
garfield Posted January 9, 2013 Author Share Posted January 9, 2013 Before we finish up, one final detail about Expenses. Many people compare charitable organizations based on the amount of money that actually gets to the charitable purpose of the organization vs. the administrative expenses used to get the money there. The 990's provide a look at this comparison by requiring expenses to be categorized into two categories, Program Service Expenses and Management and General Expenses. For 2011, Total expenses were $9,429,827. Of that amount, $6,555,032 (69.5%) went to Program Service Expenses and $2,874,795 (30.5%) went to Management and General Expenses. In 2010, Total Expenses were $8,875,705. Of that, $5,768,844 (65%) was Program Service and $3,106,861 (35%) was Management and General. In 2009, Total Expenses were $8,542,134. $5,373,139 (62.4%) were Program Service and $3,168,985 (37.6%) were M&G. (Sorry, just realized the order by year is reversed from prior posts.) If this is a representation of efficiency, these numbers look pretty good. Seven percent more of DCI's Revenue was spent on Program Service in 2011 than in 2009, and Management and General expenses consumed less of the Revenue over these three years. This would be a good thing depending on where you stand and what's behind the numbers. More money going into Program (show) expenses could mean more money is being paid out to corps, or it could mean more money went into show production (like venue costs, etc). Anecdotally, I have noticed a decline in the number of attendants guarding the entrys to prevent fans from entering or leaving during a show. Those savings in venue costs (if my observation is a true representation) may mean the corps make more but the fans suffer more disruptions, for example. Without an explanation of Program Expenses there's no way to tell who got the benefit of DCI's greater management "efficiency". EDIT: If it's reasonable to presume that the corps benefited most from this increase in effeciency, I have to ask: What the heck are they complaining about? With all that DCI does to produce a tour (venue, rights, travel, etc) is it reasonable to think that a "Music in Motion" tour could be produced more efficiently? The Cascades Program Service "efficiency" (as defined above) 2009: Of $339,054 in Total Expenses, $319,287 (94%) was PSE 2010: Of $394,862 in Total Expenses, $383,688 (97%) was PSE 2011: Of $378,546 in Total Expenses, $353,944 (93.5%) was PSE Quote Link to comment Share on other sites More sharing options...
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