Document RJMp7zvKMB1BmGLZB583mOOen

CHEMICAL MANUFACTURERS ASSOCIATION FINANCE AND ADMINISTRATION DEPARTMENT Approved Fiscal Year 1995/96 Budget CMA 054431 INVESTMENT GUIDELINES Investment revenue is derived Iran investment ofthe Animation's reserves and temporarily idle cash in accordance with policies u set faith by the Finance and Executive Committees. Invettnentguidelineswere reviewed in the Much 1993 meeting tod bated on guidance from the Finance Committee and recommendations ofinvestment counsel *t Creatar Bulk, the following guidelines are authorized: INVESTMENT GUIDELINES I. Short-Term Funds Authorized Investments: Obligations ofthe US Government, US Government-sponsored enterprises. Federal agencies tad Federal Finencing Bank; other obligations that possess a guarantee of the full faith and credit ofthe US Government, either by statute or interpretation ofthe Attorney General ofthe US. Corporate bonds rated not lower than "A" by Moody's Investors Service or "A" by either Standard & Poor's Corporation or Fitch's Investors Service. Certificates ofdepoat and bankers' acceptances issued or endorsed by a US-domiciled bank, and Eurodollar Certificates ofdeposit and bankers' acceptances issued or endorsed by foreign branches ofdomestic banks, provided that the senior long-term debt of such bank or its holding company parent is rated not lower than "A" by any ofthe investor services ofMoody's, Standard & Poor's Corporation or Fitch's. Commercial Paper rated either "Prime-1" by Moody's Investors Service or "A-1" by Standard & Poor's Corporation. Bank Repurchased Agreements on US Government or Agency Securities and Fidelity DomeOic money market hinds through the Trust Department of Creatar Banlr Restrictions: The maximum maturity horn the date ofpurchase is not to exceed 18 momfaaibr any short-term fund investment With respect to certificates of deposit, bankas' acceptances, commercial paper, or corporate bonds, investment in any one name is limited to 10% ofthe Association's total investment portfolio. n. Reserve Fund Authorized Investments: All permissible investments for the short-term fund Utility bonds rated A or better Restrictions: The maximum maturity from the date ofpurchase is not to exceed three years for any investment a With respect to certificates ofdqroot, bankers' acceptances, commercial paper or corporate bonds, investment in any one name is limited to the greater of 3% ofthe Association's total investment portfolio or $1,000,000. INVESTMENT MANAGEMENT CMA investments and cash are actively managed under contract with Capitoline a nrbridiary ofCreatar Bank. -59- CMA 054432 CHEMICAL MANUFACTURERS ASSOCIATION APPROVED BUDGET FY 93/94 Actual, FY 94/95 Budget and Projected Results Approved FY 95/96 Budget and Program Costs OFFICE OF THE TREASURER AND ACCOUNTING AND FINANCE DESCRIPTION OF ACTIVITY: The Accounting and Finance Division maintains the Association's financial records, monitors progress toward achieving year end results as anticipated by the annual budget and enforces internal financial controls over general operating and separately funded activities. All CMA contracts are administered by this Division. SUMMARY COMMENTS ON FY 95/%: The Approved budget for the Division increases 1.6% to Sl.053.800. The Staffing level is ten professionals of which five are exempt including the Treasurer. In addition there are five professionals, of which two are exempt, authorized by the separately funded activities supported by CMA. REVENUE AND EXPENSES BY LINE ITEM REVENUE: Membership Dues Investment Revenue Other Revenue FY 93/94 Actual Results Approved FY 94/95 Budget Projected FY 94/95 Results Approved FY 95/96 Budget S 23,613,400 1,107,700 1,780,200 S 23,700,000 1,300,000 0 $ 24,195,000 1,575,100 0 S 26,600,000 1,738,700 0 TOTAL REVENUE: STAFF AND RELATED EXPENSES: Salary & Related Expense Employee Benefits Travel & StafTTraining Dues, Subscriptions & Publications Outside Computer Services Meetings & Workshops General Printing, Art & Graphics Direct Postage, Freight & Delivery Direct Supplies & General Office Direct Taxes, Insurance and Audit Rent & Occupancy Common Costs Administrative Support to Separate Programs TOTAL: OUTSIDE PURCHASED SERVICES: TOTAL: TOTAL EXPENSES: AUTHORIZED PERSONNEL $ 26,501,300 S 25,000,000 S 25,770,100 $ 28,338,700 5 588,700 s 666,600 s 682,000 s 737,200 149,900 261,000 163,400 180,900 43,200 34,400 28,600 35,100 39,800 13,800 10,400 7,400 80,600 65,100 63,400 82,000 4,300 8,000 5,000 5,000 13,600 12,300 5,000 6,800 3,800 2,800 2,200 2,200 10,700 5,800 5,900 5,900 79,700 55,800 53,700 54,600 201,400 203,200 78,100 130,500 108,100 111,700 63,100 70,200 (48,200) (73,100) (123,700) (264.000) S 1,275,600 $ 1,367,400 s 1,037,100 s 1.053.800 S0 S 1,275,600 10 s0 $ 1,367,400 10 s 0s 0 s 1,037,100 s 1,053.800 ... 1,1,11 10 10 CMA 054433 -60- CHEMICAL MANUFACTURERS ASSOCIATION APPROVED BUDGET FY 93/94 Actual, FY 94/93 Budget and Projected Results Approved FY 93/96 Budget and Program Costs BUSINESS SERVICES DIVISION DESCRIPTION OF ACTIVITY: The Business Services Division is responsible for all items related to the CMA facility including security, telephone and teles systems, coordination with the landlord and subtenants on building matters, and equipment and property records/maintenance. The division is also responsible for purchasing, publications sales and fulfillment, filing system, record retention and the Association's general insurance program (in coordination with the Office ofGeneral Counsel). A major assignment during FY 93/96 is the overall coordination responsibility for the move to the new headquarters in Roselyn. SUMMARY COMMENTS ON FY 95/96: The approved budget for the Division decreases to 3324,400, The staffing remains unchanged at a level of two exempt staffand four supporting staff. REVENUE AND EXPENSES BY LINE ITEM REVENUE: Sale of Materials Other Revenue TOTAL REVENUE: STAFF AND RELATED EXPENSES: Salary & Related Expense Employee Benefits Travel & StaffTraining Dues, Subscriptions & Publications Outside Computer Services Meetings & Workshops General Printing, Art & Graphics Direct Postage, Freight & Delivery Direct Supplies & General Office Direct Taxes, Insurance Rent & Occupancy Common Costs Administrative Support to Separate Programs TOTAL: OUTSIDE PURCHASED SERVICES: TOTAL: TOTAL EXPENSES: FY 93/94 Actual Results Approved FY 94/93 Budget Projected FY 94/95 Results Approved FY 95/96 Budget S (21,100) $ (20,000) S (20,000) $ (20,000) 1,400 20,000 20,900 20,900 S (19,700) S 0s 900 $ 900 s s$ 254,800 257,300 $ 239,400 278,700 61,100 74,000 62,100 71,000 11,300 14,300 14,300 16,000 2,200 3,600 3,600 3,600 0000 0000 7,000 4,700 4,700 4,700 0 700 700 700 14,700 2,700 2,700 2,700 24,300 24,600 24,200 26,100 113,800 214,900 132,400 77,000 31,000 32,200 33,900 37,400 (74,600) (140,100) (182.100) (193,500) $ 445,600 s 488,900 s 355,900 s 324,400 i 0$ 0s 0s 0 s 445,600 ...... 488,900 s 355,900 s 324.400 AUTHORIZED PERSONNEL 666 6 -61- CMA 054434 CHEMICAL MANUFACTURERS ASSOCIATION APPROVED BUDGET FY 93/94 Actual, FY 94/95 Budget and Projected Results Approved FY 95/96 Budget and Program Costs PRINTING AND DISTRIBUTION DESCRIPTION OF ACTIVITY: The Printing and Distribution Division includes the functions ofprinting, collating, binding, inserting, addressing and mailing the majority of material distributed by CMA. Additionally, all internal mail is processed through this area. SUMMARY COMMENTS ON FY 95/96: The Approved budget for the Division increases 1.6% to J731,700, The staffing remains unchanged at a level of two exempt and seven support REVENUE AND EXPENSES BY LINE ITEM REVENUE; TOTAL REVENUE: STAFF AND RELATED EXPENSES: Salary & Related Expense Employee Benefits Travel & StaffTraining Dues, Subscriptions & Publications Outside Computer Services Meetinp & Workshops General Printing, Art & Graphics Direct Postage, Freight & Delivery Direct Supplies & General Office Direct Taxes, Insurance Rent & Occupancy Common Costs Administrative Support to Separate Programs TOTAL: OUTSIDE PURCHASED SERVICES: TOTAL: TOTAL EXPENSES: FY 93/94 Actual Results Approved FY 94/95 Budget Projected FY 94/95 Results Approved FY 95/96 Budget $ 0$ 0S 0I 0 $ 366,200 $ 372,900 $ 377,500 $ 408,500 90,600 110,600 91,400 105,900 400 4,900 3,700 4,900 2,700 1,800 1,600 2,000 0 58,500 56,200 4,500 0000 13,000 15,000 12,500 15,000 300 1,100 800 1,100 3,400 1,600 1,100 1.600 34,300 35,700 35,600 40,200 183,500 185,200 202,500 204,700 31,300 32,400 40,600 44,100 (86,400) (99.000) (103,100) (100,800) $ 639,300 S 720,700 S 720,400 $ 731.700 S0 $ 639.300 S0 S 720,700 S0 $ 720.400 80 I 731,700 AUTHORIZED PERSONNEL 9999 CMA 054435 -62- CHEMICAL MANUFACTURERS ASSOCIATION NEW HEADQUARTERS SUMMARY BACKGROUND: At the September 1994 meeting of CMA's Board of Directors, approval was granted for the Association to execute a lease for a new headquarters facility located at 1300 Wilson Boulevard, Rosslyn, VA. CMA has signed the lease as follows: Landlord: London & Leeds Development Corporation Building Size: 15 floors; 342,914 square feet Occupancy: January 1,1996 Term: 15 years Space as Measured: 125,987 rentable square feet Base Rent: $28.00/psf. Net of Electric; to $29.00 year six; to $30.50 year 11; 12 months free rent Escalation: 30% CFI capped at 2% per annum Tenant Improvement Allowance: $40/psf CURRENT STATUS: The new headquarters building is an existing structure on which demolition began within a week after lease signing. The building has already been stripped down to concrete and steel. Construction of the top three floors has begun and with the mild winter, the project is presently at or ahead of schedule. CMA has submitted its basic space plans and should have substantially completed design plans and construction documents by the Erst of March 1995. Current bids and projections continue to indicate that CMA should be able to complete the design, construction, equipping and the move into the new headquarters within the funds provided by the tenant allowance and free rent. RENT EXPENSE: With a move-in date of January 1,1996, the rent expense for the 1995/% fiscal year will contain rent for seven months in the existing building and five months in the new headquarters. A multiple year presentation of rent and occupancy costs giving effect to the 12 month free rent abatement at the new headquarters would reflect: FY1994/95 FY 1995/96 FY 1996/97 Rent and Occupancy Separate Program Charge Net Dues Funded Cost Per Square Foot $2,562,500 (6493001 S1.913.0Q0 $3,476,300 (801.2001 $2.675.100 $3,835,200 (8783001 $2.956,900 CAPITAL EXPENDITURES BACKGROUND: A summary of capital expenditures is presented on the opposite page. For the current year, the requested excess authorization of $151,900 is supported by the projected excess of revenue over expenses for FY 1994/95. For FY 1995/%, the additional authorization is funded by the $1,441,700 of estimated free rent related to the new headquarters facility anticipated to be experienced in that year. *63CMA 054436 CHEMICAL MANUFACTURES ASSOCIATION CAPITAL ACQUISITIONS BUDGET (Purchases plus Purchase Equivalence of Leased Equipment) FY 1995/96 BUSINESS SERVICES: Audio Visual Equipment Building Conference Rooms Office Furniture Office Equipment Printing Equipment Miscellaneous Data Processing F&A Software & Implementation Support Bomb Scanning Equipment Subtotal - BusinessServices Approved FY 94/95 Budget S 20,000 100,000 22,000 76,600 100,000 20,000 30,000 0 0 0 S 368,600 Projected FY 94/95 Results S 20,000 129,000 12,000 48,500 110,000 20,000 30,000 0 0 0 $ 369,500 INFORMATION TECHNOLOGY DEPARTMENT: Hardware/Software/Consulting Base Level Activities Membership System GroupWare Servers Cabling Upgrades Throe UPSs AS400 Conversion Subtotal - ITD $ 353,800 0 0 55,000 10,000 875,000 0 0 I 1,293,800 S 343,300 85,000 0 0 0 980,500 100,000 0 S 1,508,800 CHEMTREC: PCs/Printers/Haid Drives^tc. Software Tape Library System Filenet Equipment Rise System/6000 Servets/Raid Fuel Tank Generator OSAR Upgrades Subtotal - Chemtrec $ 764,000 $ 106,600 124,600 82,400 73,400 230,000 0 0 0 $ 617,000 CHEMSTAR: Management Accounting, Etc. Subtotal Chemstar S 0 S 173,000 $ 0 $ 173,000 NEW BUILDING ACQUISITIONS: New PBX Switches and related AN Design & Hardware Studio Equipment: Mobil Video System Signal Router Amplifier Additional Studio Equipment Conference Room Equipment Construction Cost in excess of Allowance Subtotal - New Building TOTAL CAPITAL AQUISITIONS: $0 $ 2,426,400 $0 J=2^>6jUOOE -65- Approved FY 95/96 Budget S 20,000 55,000 35,000 110,800 15,000 33,000 10,000 130,000 212,000 30,000 S 650.800 N/A $ 787,700 0 250,000 10,000 145,000 0 10,000 S 1,202,700 S 219,900 24,000 0 0 0 245,800 3,000 199,500 s 692,200 s0 s0 s 500,000 600,000 40,000 10,000 63,500 261,000 33,000 S 1.507,500 CMA 054437 CHEMICAL MANUFACTURERS ASSOCIATION APPROVED BUDGET FY 93/94 Actual, FY 94/95 Budget and Protected Reauhi Approved FY 95/96 Budget and Program Coata COMMON COSTS - FINANCE A ADMINISTRATION I [EXPENSES BY LINE ITEM: ITAXES AND INSURANCE: Allocated Costs: Penonal Property Taxes General Insurance Payroll A Other Taxes Audit A Accounting Services Consulting Support TOTAL Less; Self Funded Allocations: CHEMSTAR, CCC, APC, UIC CHEMTREC Public Outreach MSDS Central TOTAL Departmental Direct Costs: Subpoena A Litigation Response TOTAL I FY 93/94 Actual |1 Results Approved FY 94/95 Budget Projected FY 94/95 Results Approved FY 95/96 Budget S $ 84.800 S 77,400 S 73,700 117,000 90,800 98,000 1.066300 1,066,800 1,169,700 50,400 50,400 110,000 15.000 15.000 15.000 S 1,173.100 S 1333,700 S 1300,400 s 1,466,400 s 194,000 S 281,800 s -257,900 s -290,400 -108,900 -116,000 -118,700 -132,600 -<00 -800 -1,700 -2,600 0 0 -9.800 21,800 S 869,600 s 935,100 s 912300 $ 1,019,000 -4.300 225.000 175.000 225.000 s 865300 $ 1.160.100 $ 1.087300 s 1344.000 ICOMMON COSTS: Finance A Administration Controls: Typewriter Supplies Control General Supplies Control File Supplies Control Coffee Supplies Control Telephone Control F&E Rental Control F&E Maintenance Control File Consultants Control Print Supplies Control Copier Supplies Control Postage Control Meeting Supplies Control F&E Depreciation Control TOTAL Less: Self Funded Allocations CHEMSTAR, CCC, UIC CHEMTREC Public Outreach MSDS Central TOTAL 1 s$ s 1.991300 s s -363,400 -67,400 0 0 s_ 1360,400 s S 2300 134,700 7,000 17,800 360,000 3,800 50,000 15,000 195,000 500,000 65.000 22300 916.900 2389,900 0 -617,600 -73,100 0 0 1.599300 $ S $ s 2300 148,700 7.000 17,800 400,000 3,800 50,000 15,000 215,000 389,400 65,000 27,500 693300 2.034.900 s s -427,800 -124,800 -2,000 -14300 1.465.800 s $ 2300 170,000 7,000 21,000 525,000 3.800 50,000 35,000 276,000 491,400 65,000 26300 557.900 2330,800 -544,500 -147,400 -1,900 -25300 1311.700 IRENT AND OCCUPANCY: Rent- 2501 M Street Operating Expense Utilities Maintenance, Security AMisc Legal Review TOTAL Lees: Self Funded Allocations CHEMSTAR, CCC, UIC CHEMTREC MSDS Central Public Outroach TOTAL ] s 1334300 $ 1,633.500 S 1,605,000 $ 2300.000 419,900 415,700 390.000 395,000 228,000 240,000 240,000 252,000 173300 199,000 227300 236,600 0 100,000 100.000 92,700 s 2,355,700 S 2388300 s 2362,500 S 3,476300 273,800 -386,000 -417,800 -526,900 -206,100 -208,100 215,000 -252300 0 0 -11,800 -17,000 -5.400 -5.400 -4.900 -4.800 $ 1.870.400 s 1.988.700 $ 1.913.000 s 2,675.100 IDEPARTMENTAL DIRECT COSTS:1 CHEMTREC Equip Depreciation s CHEMTREC Lease Expenses CHEMSTAR Direct Depreciation TOTAL s 506,000 0 16,700 322,700 S s 606,000 0 68.400 674,400 s s 605,600 11,400 72.600 689.600 $ $ 652.800 29300 73,600 755.900 -66- $ CMA 054438 CMA 054439