Difference between revisions of "2015 Budget Vote"

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Latest revision as of 03:27, 21 January 2015

Sponsor

History

2014-11-05 - Sponsor Meeting 1
2014-12-04 - Sponsor Meeting 2
2014-12-11 - Sponsor Meeting 3

2015-01-06 - Vote announced on the mailing list
2015-01-20 - Language locked in.
2015-01-27 - Vote of the membership on this budget.

Background

Aims

This budget is designed with the following goals:

Make sure there is a real operating slush based on actual spending (2 months full, 5 months min operating expenses)
Make sure that there are enough funds available to cover our upcoming tax bill
Make sure that there is an emergency cash pile available for other emergency expenses other than operating
Provide area hosts with more spending power to provide better service to the membership.
Start saving for the upcoming move in FY16

Big Picture

Account	Amount
Member dues income from PayPal	$186,960
Amount Currently in Bank accounts	$63,000
Operating Expenses	-$92,381.96
5 months minimal operating expenses	-$46,178.70
Tax Savings	-$10,000
FY16 Move savings	-$5,000
Area budgets	-$47,131
Votes budget	-$35,900

Accounts

The following is a list of account budget totals for the year. They are explained in detail in the linked sheets below.

Account	Yearly
Savings Goals	-$10,600
Advertising	-$1,144.00
Bank Charges	-$7,304.16
Disposal Fees	-$100.00
Education	-$2,030.00
Equipment	-$46,875.00
Furniture	-$2,634.00
Insurance	-$2,686.00
Job Materials	-$3,260.00
Meals & Entertainment	-$1,200.00
Member Dues	$186,960.00
Office Expenses	-$5,667.40
Professional Services	-$5,000.00
Regs., Licenses, and Fees	$0.00
Rent	-$47,787.48
Repair & Maintenance	-$5,782.00
Safety Equipment	-$1,920.00
Supplies	-$16,415.00
Tools	-$3,993.00
Utilities	-$22,464.00

There is an excess of $97.96 in the final budget.

Account Guide

Account	Type	Description
Membership Projection	Income	Estimated revenue from member dues and costs from member points, area hosts, etc.
Membership Dues	Income	Estimated revenue from member dues.
Savings Goals	Transfer	2 months' operating expenses, tax estimation, estimated moving expenses to be transferred to savings
Advertising	Expenses	Costs of advertising and promoting any event related to the area
Bank Charges	Expenses	Paypal and Chase fees
Disposal Fees	Expenses	Any costs associated with disposing of equipment or supplies
Education	Expenses	Costs of books/classes or other education materials for the area
Equipment	Fixed Assets	Large Long Lived Equipment
Furniture	Fixed Assets	Costs of furniture for the area
Insurance	Expenses	Insurance costs
Job Materials	Expenses	Costs of materials required to improve the area
Meals & Entertainment	Expenses	Party budgets
Office Expenses	Expenses	Checks
Professional Services	Expenses	Lawyer & accountant/bookkeeper
Rent	Expenses	Rent costs
Repair & Maintenance	Expenses	Costs for planned and unplanned repairs to tools in the area
Safety Equipment	Expenses	Cost of any safety equipment
Supplies	Expenses	Cost of consumables (drillbits/grinding wheels/ink/fillament)
Tools	Expenses	Small Tools that cost less than $75
Utilities	Expenses	Gas, electric, Internet, trash, & cleaning costs

Additional Notes

Office of the CTO is not a new department. It was created for organizational purposes. It does not authorize the CTO to spend money at all; it only allows the board to spend that money, just like for the rest of the expenses in G&A.

The language states that there is no real spending limit for repairing or replacing a piece of equipment in an area. This is to allow area hosts to maintain their areas as normal. If the area host or another member decides it would be best to replace a broken tool with a better tool, there would need to be a member vote to authorize it.

Keep in mind that there are checks and balances on area host spending already. They are generally not able to spend more than $500 at a time without asking the board of directors. When a tool breaks, the membership is always informed about it, so if the membership wanted to upgrade, there would be plenty of opportunities to tell the area host this before they are able to buy a replacement tool.

The sheets we used to plan this budget were transcribed to the following wiki pages:

Language

This vote is to authorize the budget for the 2015 Fiscal Year which lasts from January 1, 2015 to December 31, 2015. This vote authorization will expire on December 31, 2015.

The official, itemized budget we are voting on can be found in the following subpages:

In addition to this the following rules apply:

Previous Spending Authorization Expiration

All previous spending authorizations are expired except for the following votes:
- Vote to Repair SEM Vacuum Pump
- CNC Milling Machine Vote

Reporting on Spending

Pumping Station: One will adopt an expense reporting tool for area hosts and board members to use for reporting on spending.

Account Balances

The savings account must have a balance consisting of:
- 5 months minimum operating expenses ($46,664.95). This is to be an emergency fund that should only be used in cases of emergency, at the discretion of the Board of Directors.
- Funds to cover an estimate of Pumping Station: One's tax deficit ($10,000).
- By the end of the Fiscal Year, it should also contain a contribution of $5,000 towards the cost of moving the organization in the future.
Note: Funds required to reach these balances are covered as the savings goals line item in the master budget.
Funding of savings goals/accounts should be amortized over the year. Spending in other categories can still occur before these goals are met. After the required balances are met, all money may be used for area host and vote spending.

Area Host Spending

Area hosts are authorized to spend up to the budgeted amount listed in the master budget page. The spending of this amount should be prorated over the year to allow the organization to collect the required income to fund the spending.
Area hosts are authorized to spend up to $750 for any single capital expenditure.
Area hosts may spend any amount within their budget to replace or repair existing tooling or machinery. Replacements must be the exact same item. Any upgrade or different tooling or machinery that serves the same purpose would require a member vote to authorize spending.
The categories in each individual area host budget are guidelines and area hosts are not required to spend their money exactly as allocated on the master budget page.
Area hosts will be issued a expense card with an initial value of $500.
- Area hosts must complete an itemized expense report after spending any money on an expense card.
- Area hosts expense cards will only be replenished after the board has processed the expense reports.
- Area hosts must request additional funds be placed on their card to cover purchases over $500. Funds will not be added to cards with missing expense reports.

Board of Directors Spending

The Board of Directors is authorized to spend from the General and Administrative and the Office of the CTO budgets. Budgets that are already authorized to the Board of Directors from the bylaws are guidelines, as the bylaws take precedence.

Reporting

The treasurer must produce a report for each month, showing spending/income against all budgets. The reports should be released in a reasonable amount of time after the end of each month.
The treasurer must produce a report showing spending/income against all budgets when requested by any member.