End of the annual report?

[RiverAux]

Keep in mind that until fairly recently the "financial report" looked about like what you would expect one to look like -- just a bunch of tables and numbers.  Then, they started adding photos, etc. and calling in the graphics designers.  So, it is really the staff that has caused the overlap in the first place.

By the way, we've known for a long time that CAP doesn't actually submit our annual reports to the Library of Congress for archival purposes.  They just get tossed into the garbage after the CAP delegation finishes meeting with the congressmen. 

[tdepp]

That is a shame if it is true.  However that does free some Cash for important studies on what uniform to get rid of next and the ability to higher another CAP employee to run the "Alumni Association", that will most likely not return the money CAP will ultimately dump into it.   

Gosh, your enthusiasm is infectious.

But for those who care more about truth than bad-mouthing NHQ at every opportunity, not a single nickel of corporate funds has been sent on developing an Alumni Association, and the plans call for it to stand up and run with a positive cash flow without any investment from CAP or the taxpayers.

I'm still rather new to CAP.  What is the Alumni Association?  Is it retired CAP members?  That's what it sounds like.  Are we trying to tap older people with money?  Or is it more like the Air Force Association?

I'm not passing judgment, I'd just like to know more about it.  Thanks.

[Ned]

I'm still rather new to CAP.  What is the Alumni Association?  Is it retired CAP members?  That's what it sounds like.  Are we trying to tap older people with money?  Or is it more like the Air Force Association?

I'm not passing judgment, I'd just like to know more about it.  Thanks.

Well, it hasn't started operation yet, we are still fairly early in the planning stages, but the concept is to use an academic-type alumni association as a model to allow former cadets to network and stay in touch.  Hopefully, we can encourage a few former cadets to re-engage and support CP.  I suspect we will see things like re-unions, websites, etc.

We hope to have a project officer appointed shortly to develop a business plan that would allow us to stand up the Alumni Association in a responsible manner.

Ned Lee
National Cadet Advisor
(Cool job, Crummy job title)

[tdepp]

I'm still rather new to CAP.  What is the Alumni Association?  Is it retired CAP members?  That's what it sounds like.  Are we trying to tap older people with money?  Or is it more like the Air Force Association?

I'm not passing judgment, I'd just like to know more about it.  Thanks.

Well, it hasn't started operation yet, we are still fairly early in the planning stages, but the concept is to use an academic-type alumni association as a model to allow former cadets to network and stay in touch.  Hopefully, we can encourage a few former cadets to re-engage and support CP.  I suspect we will see things like re-unions, websites, etc.

We hope to have a project officer appointed shortly to develop a business plan that would allow us to stand up the Alumni Association in a responsible manner.

Ned Lee
National Cadet Advisor
(Cool job, Crummy job title)

Ned:

Thanks for the information. So it is sort of an affinity group for former cadets.  Again, I'm new.  If we can get them to join the Alumni Association, why shouldn't we be able to get them to join a CAP squadron as a SM?  Is part of this because some units are cadet only and not composite, so they had no "home" SM squadron?  Does anyone know what our retention rate is for Cadets who become SMs?  I realize there is a difference in emphasis between the Cadet and SM programs.  And sometimes mom and dad say join CAP or else and SMs are doing it because they want to.

On the other hand, anything that helps keep people involved and interested in CAP is good in my book. If some Alumni Association parties lead to former Cadets remembering how much they enjoyed CAP then re-upping as SMs, that's a good thing.  And if people are meeting and remembering fondly their CAP cadet days, that also helps spread the word.

Good luck with your project, Ned.

[swamprat86]

As a former cadet now SM, one thing that tends to lose cadets in the transition is life.  College, starting a family, work can sometimes keep former cadets out of touch or force them to step out of CAP for a while.  I think one of the advantages of the alumni assoc. is that it may give those former cadets who can not devote the time to support us in other ways.

Now I am sure that there is going to be arguments made about us already having a patron status membership that these former members could join and while that is true, anyone can join as a patron, only former cadets can join the alumni.  This "unique" status may encourage more former cadets to stay in touch with us and when their life allows, they can come back to the organization as regular members with less acclimation since they will be able to keep up with changes in the organization.

This also opens up avenues of possible corporate support through these members and their employers that the alumni assoc as a group can focus on for the organization, which can save time and energy that CAP can use in other areas.

That's just my opinion, I could be wrong.

[FW]

[If the goal is to combine documents, I think they should reconsider the nomenclature


So now that staffer "x" has saved either time or money for CAP by discontinuing the two documents, where are we shifting those resources?

What I'm getting at is that there is no reason to do this unless there are quantifiable benefits.

What are the bennifits exactly?
Will they trickle down / help the paying volunteer in someway?

Assuming Joe Staffer freed up "x" man hours... what exactly will he do with them or will we be paying him the same amount to do less work?

Our mandate to report to congress is based on our finances.  It always has but, up until now, we didn't have real (audited) numbers to present.  That is why, in the past, the reports were heavy on mission and membership. 

I guess it would be a good idea to keep the name of the report as the "ARC" and, it would be good practice, IMHO, to include what we had in the past.   I don't think the cost would be that much higher to include the data.  I don't think there is a cost differance between the two reports anyway.

[RiverAux]

Our mandate to report to congress is based on our finances.  It always has but, up until now, we didn't have real (audited) numbers to present.  That is why, in the past, the reports were heavy on mission and membership. 

Actually the annual report requirement is so vague that CAP could turn in a 1 page double-spaced report in 14 point type and it would meet the letter of the law.  Obviously, it wouldn't do much for our goodwill on the hill.

The corporation shall submit an annual report to Congress on the activities of the corporation during the prior fiscal year.

The expanded financial report is basically not much different than what we have turned in to the IRS as a 5013c for decades and the numbers have probably always been audited, we're now just getting a somewhat better "grade" on them since they include all CAP money. 

One could argue that the primary thing Congress wants in their report is the activities we've undertaken, not information on the money we've spent and received.

[tribalelder]

FW-

'It always has but, up until now, we didn't have real (audited) numbers to present.'

A technical point here--audited doesn't mean TRUE (Remember ENRON ?).  It just means the statements, which are the management's representations are presented consistent with accounting 'rules' (Generally Accepted Accounting Principles) AND that the representations have been examined/tested in accordance with Generally Accepted Auditing Standards. 

Two key principles in financial statements are the concepts of materiality and internal controls--GM need not count its inventory and work in progress and the petty cask drawers at all its locations on the last day of its fiscal year.  The inventory is routinely 'counted' and the inventory observed at some point in the year and GM does have internal controls, so it can't go THAT wrong.  The worldwide cash drawers'  sum is NOT big enough to change GM's financial position-it's not material.

CAP squadrons, for the most part, run on a shoestring budget.  I believe the sums at the unit level are not and never were material for accounting purposes.  First, those sums weren't directly available to NHQ, at least not until a unit folded and, secondly, the sums are small. Wing Banker is just another facet of the central control of CAP.  We are not the near-guerrilla organization of 1941 (or 1965 or even 1990). 

[tdepp]

CAP squadrons, for the most part, run on a shoestring budget.  I believe the sums at the unit level are not and never were material for accounting purposes.  First, those sums weren't directly available to NHQ, at least not until a unit folded and, secondly, the sums are small. Wing Banker is just another facet of the central control of CAP.  We are not the near-guerrilla organization of 1941 (or 1965 or even 1990).

Trib:
I'm no fan of Wing Banker.  I understand with past abuses there had to be a crackdown.  But it is extremely cumbersome.  Our forefathers and foremothers during WWII wouldn't have been able to fly all the missions they flew had this been in place.  Sometimes technology is a step backward when it gets in the way of a mission or simply trying to run a squadron.  From my perspective, WB combines the worst aspects of financial management of the military, the government, and corporations.  There has to be a better way to ensures accountability, flexibility, and prompt payment of vendors and repayment of members.

Thanks for the accounting lesson as well.

[FW]

Actually, congress is very interested in how we spend taxpayer funds and (member) contributed funds.  However, yes, they are also interested in what we do.  I'm not arguing that point.  I'm just trying to opine on what the rational is for the new report format. What we've turned in to the IRS for decades is nothing like the financial report and, the new  IRS form 990 is even more different than this report.  But, I digress... The point is River, we agree.

Adding the units below wing to our audit trail has added over $5 million to CAP's financial statement.  This is a significant amount to us and our independent auditors.  It was the difference between our old "qualified audit statement" and our new "unqualified audit statement".  Wing Banker is here to stay however, as time goes by, there will be improvements made. The easiest way to "streamline" the process would be to allow every unit access to CAP's "e-accounting".  This is very expensive however, and may not be feasible.

[Spike]

What is the Alumni Association?  Is it retired CAP members?  That's what it sounds like.  Are we trying to tap older people with money?  Or is it more like the Air Force Association?

See the psots about your question above.  I did want to reference your "Air Force Association" item.  I reccomedn to all of my Senior Members that they shoudl join the AFA after their first year in CAP and they know they are going to be part of CAP in teh long run.  The local Chapter has over 50 CAP membres in it, and 150 other affiliated members.  That is a good percentage.  Through the AFA, my Squadron can get guest speakers, use resources they have, tap them for support money and offer CAP assistance in return.

I highly reccomend CAP Members join AFA.  It is relativly inexpensive, and is open to all CAP Senior Members.  I think there was a link about CAP membership in AFA on the CAP NHQ website a few months back!

[tdepp]

What is the Alumni Association?  Is it retired CAP members?  That's what it sounds like.  Are we trying to tap older people with money?  Or is it more like the Air Force Association?

See the psots about your question above.  I did want to reference your "Air Force Association" item.  I reccomedn to all of my Senior Members that they shoudl join the AFA after their first year in CAP and they know they are going to be part of CAP in teh long run.  The local Chapter has over 50 CAP membres in it, and 150 other affiliated members.  That is a good percentage.  Through the AFA, my Squadron can get guest speakers, use resources they have, tap them for support money and offer CAP assistance in return.

I highly reccomend CAP Members join AFA.  It is relativly inexpensive, and is open to all CAP Senior Members.  I think there was a link about CAP membership in AFA on the CAP NHQ website a few months back!

Spike:

Agreed.  We are encouraging our squadron members in Sioux Falls to join the AFA as well.  Seems like a natural partner and resource for our squadron and members.  Now where did I put that membership application? 

[Capt Rivera]

I've thought of the same...

Question: Can't said partnership and mutually beneficial assistance happen with or without CAP members paying AFA Dues? I would assume so...

-- Granted, as a member of the Air Force I do appreciate CAP members being on the AFA roster... it helps when they do their lobbying thing...  Thanks  :clap:

Nationally speaking... For CAP, I'm not aware of anyone/group actively operating the way AFA or EANGUS, etc operate for the AirForce. With 56k CAP members you would think we would have a strong and focused voice on the hill... If our leaders are fighting for something each year, I want them to tell me exactly what they are asking for, why and help me support them. I have no problem contacting my members of congress, but direction would help...

I would be all for recommending CAP members to join AFA if I knew that AFA was including us in the total force and bring CAP issues up on behalf of CAP and the rest of the AF Family. If they are doing that, I'm not aware and that education would be welcomed.

A CAP National Partnership with AFA would be mutually bennificial in that most CAP members probably support what AFA does and would welcome AFA support and membership backing for CAP issues. Even if only 25% of our membership join AFA that would be about 14K members... An additional 14k members supporting the AFA Air Force agenda would help them I'm sure and the X number of Air Force supporters on the roster behind CAP agenda items would of course help us...

Thoughts? insight?

[RiverAux]

topic?

[vmstan]

Now where did I put that membership application? 

http://www.afa.org/members/memapp.pdf

[RADIOMAN015]

Adding the units below wing to our audit trail has added over $5 million to CAP's financial statement.  This is a significant amount to us and our independent auditors.  It was the difference between our old "qualified audit statement" and our new "unqualified audit statement".  Wing Banker is here to stay however, as time goes by, there will be improvements made. The easiest way to "streamline" the process would be to allow every unit access to CAP's "e-accounting".  This is very expensive however, and may not be feasible.

Thank you for putting a figure to how much units via their dedicated members efforts fund local operations every year.

HOWEVER,  it's too bad the CPA firm doesn't require a better disclosure as a footnote that basically states that local squadrons & groups self support themselves for most activities, and perhaps even give a schedule of these revenue & type of expenditure amounts.  Actual IF CAP really was interested in transparancy they would ensure this member funding for unit expenses is more clearly stated.  During the consolidaton process any revenue obtained from higher hdqs or expense reimbursed would be adjusted out anyways.

In my opinion, we run a big risk at the squadron level for even showing a potential local sponsor the financial statements as currently presented, because CAP does a very good job of "hiding" that squadrons' are self supporting financial wise and there's some big figures that glare out -- AF big government/taxpayer funding Support .    Many of the sponsors/donors that would be targeted locally definitely don't come close to that revenue shown.

Again, after all this expense with the Wing Banker's program when do you think the local units will see ANY funding from a National level donor base to support local operations?      The answer is we NEVER will!
RM

[FW]

First, we need to have a "National level donor base"....

Actually, there are NHQ employees who will help local units write grant proposals to the donor community.  Squadron's must coordinate with the wing however, the process is not difficult.  I know that PA, NJ and DE are going for a $2.5 million grant from FEMA to be used for unit training.  I know of quite a few squadrons which have applied for grants.

There are also a few squadrons who have more assets than some wings.  These units are very good at fund raising.  It would be great if NHQ could publish a "best practices" pamphlet on grants and fund raising.

And, yes RM, it would be great if the financial report had a better brakedown for unit operating expenses and assets.  Maybe future reports will be more inclusive.