Financials

What Are All Those Numbers?

Once a year, Grand Canyon River Guides’ financial statements are published in our newsletter for review by our members. We realize that looking at columns of numbers often results in eyes glazing over and an immediate onset of a headache, so we’re offering a narrative to fill you in on where we’ve been financially, what the picture looks like now and the measures we’ve been taking to ensure our long-term health. We certainly owe that to you after this particularly difficult year.
The Problem
The bqr is our single largest program expense, approaching $38,000 each year including editorial costs, negatives, color separations, printing, bindery, and mailing charges as well as posting issues on our website in a searchable format (and that’s without paying contributors for their outstanding articles and artwork!) This means that every bqr you receive costs the organization approximately $5 or $20 per year per member, when annual dues are only $25! Gcrg experienced a sixty percent drop in bqr funding in Fiscal Year (fy) 2001/2002 from the previous year’s level—certainly incredibly significant in its own right. However, when coupled with a reduction in general contributions, it resulted quite suddenly in a serious strain on our general operating funds. It was unfortunate too, that half of our fiscal year was over before it was clear that our financial health was not what it should be (our fiscal year runs from July1 to June 30). Recovery in terms of finding new funders, sending proposals and actually being awarded funds simply takes time. However, we’ve been working furiously to rectify the situation in the interim. We remain deeply grateful to the Ruth H. Brown Foundation for their continued support of our newsletter and to our many members who have assisted us enormously through their dues and generous contributions. Five years of past support from Newman’s Own Organics was incredibly valuable as well and we hope to gain their support yet again in the future.
Our Plan
With rapidly dwindling unrestricted funds, immediate action was deemed necessary to turn the situation around before it became too dire. Rectifying the situation entailed a two-fold approach to address both short term and long term needs. It took the form of asking for immediate assistance from our members, as well as a blitzkrieg of funding proposals, phone calls and meetings with potential sources.
The Rebound
The financial statements you see here look vastly different than they would have without the rapid response from members and funders alike.
• Amazingly enough, our May “help” letter generated over $16,000 in additional income plus another $1,500 from Teva, all within the last month of fy 2001/2002. We simply had no idea of what to expect, and the overwhelming support from our members was humbling in terms of the depth of your commitment to gcrg and our programs. It gave a financial infusion to the bqr, serving to stabilizing us in our time of need. It also demonstrates a shared commitment to maintaining the quality of the bqr that has become our hallmark. With the Colorado River Management Plan in full swing once again, potential changes in dam operations, and other current issues of great import, the bqr is our best way to keep our members continually involved and informed.
• On the grant front, two new foundations have responded positively to the proposals we’ve sent and we have more proposals pending. This past fiscal year has taught us that a greater “mix” of funders should serve as an additional degree of protection from future vicissitudes.
Additional Measures
Gcrg’s Board of Directors has been addressing further strategies for protecting our financial health and long term needs. While ebbs and flows in the financial life of non-profits are bound to occur, we must do what is necessary to lessen the possibility of finding ourselves in this situation again. Some of these measures are:
• Dues Increase—Since our inception in 1988, gcrg has only raised dues once—in winter of 1995, in fact. Over the last seven years, the bqr has virtually doubled in size and expenses have naturally grown. Postage rates went up yet again at the end of June and seem to spiral upwards continually. It has become evident that another slight dues increase is in order. Therefore, annual dues will be increased to $30 and the five-year membership to $125, with lifetime membership remaining at $277. But hey, if you go for the five-year membership (now $125), you’ll still be at a $25 per year level. We’d never be able to do what we do without your support—your membership dues are vital to our success and serve as the largest single source of our yearly income. Despite the slight increase in dues, you’ll still get a tremendous amount of “bang for your buck” while qualifying for a tax deduction!
• Revamping membership flyers and cards—Membership development in terms of gaining new members and maintaining the membership we have is crucial to our health as an organization. Our membership is our strength. Revising our membership flyers and membership cards must not only indicate our new membership levels, but must more accurately reflect gcrg’s current programs and accomplishments.
• Building our guide membership—Gcrg is actively working on drawing more working guides into the organization. We want to strengthen our roots and urge all guides to get involved.
• Strengthen our financial reserves—Our business savings account must be built up to approximately a hundred percent of our total annual budget for further protection over the long term.
We thank each and every one of you for your kind words of encouragement, your concern and your firm commitment to Grand Canyon River Guides and our programs. It means the world to us, and it demonstrates the considerable strength of the river community and all those who love Grand Canyon and the Colorado River. In the big picture, our problems don’t mean a hill of beans when you look at what our nation has had to endure this past year. The world seems to be a very scary place with an uncertain future. Yet somehow, preserving and protecting our fragile environment for future generations takes on new meaning, value and urgency…. You have made a difference and we will continue to strive together towards our goals.
If you have any questions, comments or suggestions, please contact us. You’ve been here for us, and we want to be there for you to help as we can. This is your organization, so stay in touch and get involved. Onwards and upwards!
Lynn Hamilton
Executive Director

GCRG Financial Statements

Profit and Loss Statement
Fiscal Year 2002
Income
Membership income $49,054.00
General contributions* 32,255.04
Gts income & grants 22 ,660.00
First aid class income 18,667.50
Adopt-a-Beach grants/contributions 13,946.00
Amwg/twg grants 10,000.00
Sales (t-shirts, hats, etc.) 8,370.06
Bqr grants 5,500.00
gts overhead reimbursement 2,196.00
Interest income 331.99
Total Income $162,980.59
Expense
Bqr (production, printing, postage) $38,048.32
Payroll expenses 30,770.58
Gts expenses 23,861.01
First aid class expenses 16,124.85
Adopt-a-Beach 8,460.70
Amwg/twg 8,359.60
Cost of sales 7,276.42
Rent 7,200.00
Postage 4,395.41
Printing 3,834.78
Office supplies 1,659.59
Telephone 1,615.11
Depreciation expense 1,588.00
Meeting expense 1,592.38
Utilities 1,059.39
Other (bank charges, etc.) 500.97
Internet 435.92
Insurance 356.30
Repairs 327.00
Total Expense $157,466.33
Net Income $5,514.26
* Includes memorial contributions, year-end fundraising, May 2002 “help” letter contributions, and general (un-restricted) contributions.
note: Profit & Loss Statement does not reflect hundreds of hours of donated services for oral history preparation, bqr proofreading, irs annual report, Guides Training Seminar, website maintenance, clerical support, donated equipment and more…
Balance Sheet as of June 30, 2002
Assets
Cash in checking/savings $48,633.78
Postage & security deposits 2,149.07
Total Current Assets $50,782.85
Fixed Assets
Computer & office equipment $38,510.84
Less depreciation 35,797.19
Net Fixed Assets $2,713.65
Liabilities & Equity
Payroll liabilities $735.92
Restricted funds 1,323.83
Equity 51,436.75
Total Liabilities & Equity $53,496.50