EC Shares 2016-2017 Financial Statement

first_imgIn preparation for the presentation of the 2016-2017 Audited Financial Statement at the 2017 EC Annual General Meeting, and to honour the commitment to communication openly with EC stakeholders and the equestrian community as a whole, EC is pleased to provide a summary of the 2016-2017 financial status.EC’s executive, administrative and financial teams have worked tirelessly to ensure that EC is meeting fiduciary responsibilities in the best interests of its partners, communities, members and participants.OverviewEC completed the 2016-2017 fiscal year with an unfavourable variance of $10,233 over the combined Operational and Reserved budget target for the year ended March 31, 2017. Of this budget variance amount, $9,200 was due to partner-funded projects, which were deemed ineligible at the end of the year.There are three independent fiscal components of EC’s finances – operational funds, designated equine medications funds, and “restricted” discipline-specific funds. Both revenues and expenses within these components were higher than anticipated in some areas and lower in others.The equine medications and discipline-specific funds include a reserve account, to which designated surpluses are accrued when possible, and from which designated funds are drawn as necessary. In accordance with regulations governing Not-for-Profit Organizations, EC is required to develop policies to clearly define and delineate the collection, allocation and disbursement of these reserve funds.Operational BalanceThe operational budget provides for all of the operational, infrastructural, governance and personnel expenses inherent to the maintenance of service to the constituent communities and stakeholders who rely on EC for the delivery of programs and services.Summary: Revenue = $4,278,598Expenses = $4,182,247Operational Surplus = $96,351(Depreciation = $114,390)Actual Operational Expenses = $4,067,857Actual Operational Surplus = $210,741Additional Details & Comments1. The operational fund shows a surplus of $96,000 (including depreciation of fixed assets).2. Operational revenue for EC was accrued from varied sources, and totals $4.28 million. Some of the major and disparate contributors to operational revenue include:• a) Sport licences, horse recordings (ID), national passports, and fees paid by Provincial/Territorial Sport Organizations (PTSOs) = $2.989 million• b) Sponsorships, sales and affinity, merchandise, and events = $271,000• c) Governance and operations funding = $257,000• d) Operational grant funding = $177,000• e) High performance funding = $129,000• f) Revenue from technical programs (competitions, coaches, officials, clinics, resources) and additional miscellaneous revenue = $456,000 Horse Sport Enews SIGN UP Questions, Comments?Questions or comments related to the 2016-2017 Financial Statement can be directed to the EC Finance Committee at [email protected] Tags: Equestrian Canada, Subscribe to the Horse Sport newsletter and get an exclusive bonus digital edition! We’ll send you our regular newsletter and include you in our monthly giveaways. PLUS, you’ll receive our exclusive Rider Fitness digital edition with 15 exercises for more effective riding. 3. Operational expenses total $4.18 million. Operational expenses account for the services which EC provides to its constituent communities and stakeholders. Some of the major operational expenses include:• a) Salaries and benefits of the 29 EC employees who provide services = $1.859 million• b) Building rental, office operating expenses = $425,000• c) Communications, IT/web costs = $98,000• d) Consultants, contractors = $240,000• e) Planning and development = $230,000• f) Governance = $132,000• g) Legal and audit costs = $44,000• h) Translation = $101,000• i) Membership admin, affiliation fees = $18,000• j) Annual convention and other events = $226,000• k) High performance expenses (travel, meetings, development) = $172,000• l) Sponsorship, affinity, marketing, merchandise, business development, organizational representation = $247,000• m) Technical programs and admin (coaching, officials, rules) = $293,000• n) Equestrian industry and horse welfare = $37,000Reserve Fund AccountsReserve funds as broken down below predominantly show a draw down on reserve funds. All planned reserve fund drawdowns are offset by a withdrawal of prior retained earnings in each reserve fund account, and as such show no operational surplus or deficit.Equine Medications Designated BudgetThe Equine Medications budget is a self-sustaining designated financial entity. Revenue accrues from the Equine Medications Fee levied at sanctioned events. Expenses are incurred solely to cover the costs associated with the administration of the Equine Medications program in accordance with EC and FEI regulations.SummaryRevenue = $491,310Expenses = $524,314From Equine Medications Designated Reserve = ($33,004)Discipline BudgetDiscipline-specific expenses are identified by the respective sport discipline committees to meet the unique needs of each respective sport discipline. Expenses over-and-above discipline-specific revenues are covered by reserve funds accrued for this purpose.SummaryRevenue = $2,025,725Expenses = $2,458,085From Discipline Designated Reserve = ($432,360) Email* More from Horse Sport:Christilot Boylen Retires From Team SportAfter an exemplary career as one of Canada’s top Dressage riders, seven-time Olympian Christilot Boylen has announced her retirement from team competition.2020 Royal Agricultural Winter Fair CancelledFor only the second time in its history, The Royal Agricultural Winter Fair has been cancelled but plans are being made for some virtual competitions.Royal Agricultural Winter Fair Statement on 2020 EventAs the Province of Ontario starts to reopen, The Royal’s Board and staff will adhere to all recommendations put forward by government and health officials.Government Financial Assistance for Ontario FarmersOntario Equestrian has recently released this update of several financial assistance packages available, including those for farm business.last_img read more