ALTERNATIVE REVENUE

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• ALTERNATIVE REVENUE
• TASK FORCE
• 2009

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2009 Task Force Members

• Niki Wendt Mary Berg
• Bob Rafel Darren Marsh
• Lucy Chaffin Mark Schroeder
• Joe McLafferty Ginger Miller
• Steve Thompson

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OUR PURPOSE

• Investigate and develop a plan for addressing
  alternative funding sources as identified in the
  WPRA Strategic Plan.
• Note Eighty-six percent of the all WPRA revenue
  is through the Discount Ticket Program. These
  revenues are falling.

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SPECIFIC DUTIES OF TASK FORCE

• 1.) Investigate new and existing funding sources
  to replace falling revenues associated with the
  Discount Ticket Program.
• 2.) Investigate what steps other States
  Associations are doing to generate new revenues.
• 3) Provide a proposed list of alternative funding
  sources that could be pursued.
• 4.) Determine the need to continue as a Task
  Force beyond 2009.

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Need for the task force

• One of the effects of the current economy is the
  financial stress being felt by nonprofit
  organizations. WPRA and the other State Park and
  Recreation Associations are not immune to these
  economic down turns.  While WPRA is one of the
  most financially sound Associations others are
  not. Impacts include
• Many States Associations have been accessing
  their reserves accounts to remain fiscally afloat
• Several Associations including Illinois are
  reducing personnel and cutting back on services
• Many are also exploring new revenue sources

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• To make sure WPRA remains financially sound into
  the future the Alternative Revenue Task Force has
  worked to identify potential new revenue sources,
  expanding existing sources and targeted cost
  savings throughout the entire operating budget.

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• In reviewing the WPRA 2009 2011 Strategic Plan,
  it has been determined that the State Association
  is in need of generating approximately 78,000 in
  additional revenues to meet the needs outlined in
  this plan, as well as increasing revenue streams
  in lieu of the unpredictability of the annual
  discount ticket program.

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Top 5 ideas derived from task force

• 1.) Ticket Revenue Research additional year
  round attractions to try to increase the ticket
  program revenue.
• 2.) Commercial Membership market and increase
  the Commercial Member base through a series of
  promotions to companies that have products or
  services that would fit into the current
  membership market.

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• 3.) Educate commercial members on possible
  sponsorship opportunities.
• 4.) Cooperative Purchasing Program Identify a
  product line or service that the membership
  would be interested in participating/purchasing.
  In return the WPRA would receive a certain and
  the participating agency would receive a
  discount on the product/service. The commercial
  member would benefit also from the enhanced
  number of orders.
• 5.) Look into organizations/associations in the
  state that offer similar services we provide to
  see if we can collaborate and introduce more
  members to WPRA. Also look into the possibility
  of incorporating these groups into our
  conference/workshops. (School Groups, Senior
  Groups, Fitness Groups etc.)

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• With these ideas in mind, the WPRA Alternative
  Revenue Task Force designed and implemented an
  online survey to solicit feedback from the
  membership regarding potential sources of new
  revenue streams, as well as recommendations
  regarding cost saving practices.

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Survey Results/Feedback

• Total Number of Responses to Survey 124
• Of the 124 survey respondents, 120 were from
  separate park and recreation agencies. 
• The 120 represents 60 of our agency (park and
  recreation)  members!  This is an extremely high
  response for a survey.
•  

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• Cooperative Purchasing of Products and Services
• Would your agency allow you to participate in a
  cooperative purchasing (based on your agencys
  purchasing policies)?
• YES 53
• NO 8
• NOT SURE 39

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• Top five (5) supplies members indicated an
  interest in if a cooperative purchasing program
  were established
•  
• Athletic supplies 66
• First aid/safety 53
• Turf supplies 50
• Aquatic supplies 48
• Arts crafts 41

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• Do you have facility space available to store the
  delivery of cooperative purchase items your
  agency orders?
• YES 70
• NO 30
• Affiliate organization in communities that might
  be interested in participating in a WPRA
  cooperative purchasing program
•  
• YES 20
• NO 11
• NOT SURE 69

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• On-Line Classes/One Day Educational Opportunities
• Professional development programs survey
  respondents indicated they are attending in
  2009-10top three (3)
•  
• Annual Conference 89
• Park Tour 35
• WPRA Webinars 31

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• Top five (5) specialty areas respondent or their
  staff would be interested in receiving additional
  training in
• Park planning and development 51
• Park maintenance 48
• Special events 46

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• Are there any affiliated organizations in your
  community (i.e. YMCA, school district, senior
  care facilities, fitness centers etc.) that may
  be interested in participating in on-line
  educational opportunities?
• YES 12
• NO 10
• NOT SURE 78

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• Summary of ways respondents suggested to increase
  revenue to WPRA (top five (5) suggestions)
•  
• Increase membership dues
• Hire a professional fundraiser
• Increase sponsorships and provide naming rights
• Provide webinar and online training
• Implement fundraisers

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• Summary of ways respondents suggested to decrease
  annual WPRA expenses (top three (3)
  suggestions)
•  
• Reduce or eliminate conference/educational
  socials
• and give-aways (drinks, favors, socials,
  meals)
• Decrease cost of running section meetings
  travel,
• meals, gifts
• Provide more online services, i.e. publications,
  
• educational sessions, meetings

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• The following charts depict the current 2009
  Financials, as well as outlining projected
  revenue streams and cost savings for the State
  Association in 2010 that the Task Force feels is
  obtainable.

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Revenue History
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• 2009 Budgeted Revenues
• Income and Expense All Funds
• Memberships 124,365
• Conference 174,475
• Ticket Program 2,297,690
• Office 22,900
• Committees 25,500
• Sections 30,820
• Total Revenue 2,675,750
•  
• 2008 - 3,287,575

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• 2009 Budgeted Expenses
• Administration 425,940
• Board/Delegates 26,300
• Insurance/Fees 14,730
• Ticket Program 2,000,000
• Office 10,200
• Committees 157,150
• Sections 41,430
• Contingency 0
• Total Expense 2,675,750
•  
• 2008 - 3,287,575
• The FY2009 WPRA Budget represents a 19 reduction
  from FY2008 due to the projected revenues and
  expenditures related to the Discount Ticket
  Program

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• Alternative Revenue Task Force
• Projected Revenue Streams
•  
• 2010 Memberships The 2008 Membership Committee
  has already established a three year tiered
  membership plan that was approved by the WPRA
  Board for 2009 2011. This will generate
  approximately 10,000 in additional revenues in
  2010.
• It should be noted that a larger percentage of
  the survey respondents felt that an increase in
  membership fees was a viable option, especially
  in lieu of the services they receive for this
  amount. The Task Force recommends that
  membership fees could be revisited if the WPRA
  Board feels that the projected revenues in this
  category should be increased.

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• Online Educational Programs The WPRA Office has
  already implemented online webinars in 2009 that
  has generated over 5,000 in net profits for the
  State Association. This remains an unknown
  revenue source, but the Task Force is
  recommending that 10,000 in new revenues from
  this program be placed in the 2010 budget.

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• Sponsorships The WPRA Office has
• established a comprehensive Sponsorship Program.
  The Task Force is recommending that this program
  be expanded to provide vendors with sponsorship
  opportunities with the webinars and other WPRA
  online training programs, as well as creating a
  website page where vendors would pay to have
• their companies and products listed with links.
• Projected new revenues 10,000.

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• The Task Force is also recommending that the WPRA
  Executive Committee investigate the potential of
  establishing naming rights for WPRA vendors that
  could also increase a new revenue stream, i.e.
  MUSCO Lighting The Official WPRA Athletic Field
  Lighting Company. The Task Force is fully aware
  of the complexities of providing naming rights,
  but if done correctly, this could tap into a new
  revenue stream.
• Projected new revenues 10,000.

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• Conference The respondents completing the
  Alternative Revenue Task Force online survey
  strongly recommended that the Conference
  Committee eliminate the favors and reduce the
  giveaways at the Conference Socials. The Task
  Force is recommending that the 2010 Conference
  Committee reduce or eliminate these types of
  expenditures for a projected increase in revenues
  of 10,000.

Steve Thompson
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• Total Projected Revenue Stream
• 2010 Memberships 10,000.00
• Online Educational Programs 10,000.00
• Sponsorships 10,000.00
• Naming Rights 10,000.00
• Conference 10,000.00
•  
• Total 50,000.00
•  

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• Alternative Revenue Task Force Projected Savings
•  
• Online Meetings The WPRA Office implemented
  GoToMeetings for the WPRA Board and WPRA Sections
  in 2009. The online meetings have already
  provided a savings to the WPRA Board, Sections
  and Committees in eliminating mileage,
  refreshments, meals, and time away from agencies.
  It is estimated that this will provide a
  savings of over 3,000 in 2009. The Task Force
  recommends that all WPRA Sections, Committees and
  Board increase the use of this technology to
  provide an estimated savings of 7,500 in 2010.

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• Online Publications The WPRA Office has already
  provided substantial savings in eliminating
  printing and postage costs by providing the
  monthly PRNewsletter online, as well as numerous
  other materials, including conference related
  publications that had been previously printed and
  mailed. For the first time, online balloting
  will take place for the State Association and
  several of the Sections that will again provide a
  substantial savings in printing and postage. The
  estimated savings in 2009 is 5,000. The Task
  Force recommends that online publications become
  the standard operating procedure for the State
  Association, and that all surveys and balloting
  also take place online in 2010, and that the
  Conference Booklet also be provided online.
  Estimated savings is 12,000 for 2010.

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• Projected Savings
• Online Meetings 7,500.00
• Online Publications 12,000.00
•  
• Total Savings 19,500.00
•  
• Increased Revenue Streams Increased Savings
  69,500

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• 2010 (Sample) Revenues
• Income and Expense All Funds
• Memberships 134,365
• Conference 180,000
• Ticket Program 2,297,690
• Office 35,000
• Committees 20,000
• Sections 30,820
• Total Revenue 2,697,875
•  
• 2009 - 2,675,750

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• 2010 (Sample) Expenses
• Administration 425,940
• Board/Delegates 24,200
• Insurance/Fees 15,000
• Ticket Program 2,000,000
• Office 10,200
• Committees 147,000
• Sections 30,820
• Contingency 0
• Total Expense 2,653,160
•  
• 2009 - 2,675,750
•  

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Alternative Revenue Task Force Final Thoughts

• There are two recommendations that the
  Alternative Revenue Task Force would like to
  share with the WPRA Board of Directors. 
• We feel the WPRA Board Members are in the best
  position to generating revenues for the State
  Association as outlined in their Board
  Responsibilities

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Raising Money and Monitoring Finances

•   As a trustee for your organizations money,
  youre responsible for seeing that it is spent
  effectively in delivering programs and services. 
  Youre also responsible for looking into the
  financial future.  When you plot WPRAs goals,
  you must review your ability to pay for your
  plans.  That means fund raising when appropriate!

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• Since this is one of the annual responsibilities
  of the WPRA Board, the Task Force recommends that
  an annual amount be set in each annual budget
  that reflects a dollar amount that the Board
  should be generating through their fund raising
  efforts, individually or collectively.

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• Second, and perhaps more importantly, the State
  Association has an Executive Committee whose
  responsibilities are primarily two functions 
  Finances and Personnel.  Since the finances of
  the State Association ultimately resides with
  this governing body, it is recommended that the
  Executive Committee continue the work and efforts
  of the Alternative Revenue Task Force to provide
  consistency in reviewing the revenues and
  expenditures in the future.