Home IDA News IDA Completes Successful Financial Year

IDA Completes Successful Financial Year

IDA Completes Successful Financial Year
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Dr Thomas Blake
Dr. Thomas Blake
IDA Treasurer 2017-

IDA finances are strong, so said Blue and Co., when the CPA firm presented their annual audit report to the IDA Board of Trustees on Saturday, September 15.

“2017-18 was an exceptional year from a financial perspective,” said IDA Treasurer Tom Blake. “We finished the fiscal year with an increase in total net assets of $417,000. The IDA has 566 days of cash on hand, a very strong financial position.”

The increase in assets was primarily driven by an excellent return on reserve fund investments, as well as the profitable sale of the Central Office building.

Ironically, the building sale that set the stage for a profitable year tightened cash flow, explained Executive Director Doug Bush. “We moved from a building that was bought and paid for, into a new building that we lease. That transition increased reserves, but the new rent bill created a significant increase in operating costs.”

According to Dr. Blake, the new expense is being paid for by harvesting a portion of the return on reserve fund investments and using them for operations.

“We felt it would be unfair to ask members for a dues increase when we had more money in the bank,” said Dr. Blake. “Last spring the House of Delegates approved a strategy that allows us use a portion of reserve fund returns to assist with operations. Basically, we are using the reserve fund like an endowment. We use it to assist with day to day expenses, without dipping into the principal.”

“We are receiving a dividend from years of prudent financial management,” said Dr. Blake. “That’s good for our members.”

 

pictured above: The IDA Board meets at the new IDA Central Office on Saturday, September 15, 2019.

 

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