2018-19 Budget year-end update

The financial forecast for 2019-20 was based on the most current financial results and a review of the status of AMA activities.

AMA Operations:

 

Projected Actual ($ 000’s)

Budget ($ 000’s)

Variance ($ 000’s)

Revenue

Dues

Other

 

19,217

4,204

  

19,428

4,204

 

(211)

 

Total Revenue

 23,421

 23,632

(211)

Operating Expenditures

Executive Office

Southern Alberta Office

Corporate Affairs

Public Affairs

Health Economics

Professional Affairs

Health System Transformation

Priority Projects

 

6,110

900

6,789

1,927

2,716

790

633

1,417

 

6,270

940

7,289

1,967

2,736

810

783

2,837 

 

160

40

500

40

20

20

150

1,420

 

21,282

23,632

 2,350

Transfer to Reserves

2,139

0

 2,139

1. At year end, we expect to have an operating surplus of roughly $2.1 million. Government’s unilateral termination of the AMA Agreement and the Strategic Agreement with AHS as well and the impact of COVID 19 have had a significant impact on a number of activities.

2. Operating expenditures are comprised primarily of workforce (staff and physician volunteers), facility costs and small operating projects. Actual expenditures in these areas match closely to budget with some project savings driving by COVID travel and meeting restrictions. With resources shifting to our organizational COVID planning a number of planned projects in Corporate Affairs were put in abeyance generating one-time savings.

3. Budget provisions were made under Priority Projects to advance in key areas including:

  • Representation capacity to support the AMA’s new representation mandates (e.g. AMSHP physicians, physician employees) – termination of the AMA agreement and the strategic agreement with AHS has significantly reduced spending in this area.
  • Informatics (e.g. CPAR/CII, EMR vendor strategy, Connect Care) - AMA participation in this area is generally proceeding as planned.
  • Physician Leadership and CMA General Council – Limitations on travel and in person meetings as a result of the pandemic have virtually eliminated spending in these areas.

Board Reserves:

 

Projected Actual ($ 000's)

Budget ($ 000’s) 

Emergency

10,393

10,393

Capital

3,504

3,504

Strategic

1,000

1,000

 

14,897

14,897

AMA Contingency Reserve

 

Projected Actual
($ 000's)

Budget
($ 000’s)

Opening Balance

11,733

13,125

Net income

618

393 

Operating surplus

2,139

1

Negotiations

 (1,100)

(1000) 

Income Equity

(270)

(1,500)

   

13,120

 

11,019

AMA Agreement Fund

 

Projected Actual
($ 000's)

Budget
($ 000’s)

Opening Balance

839

700

Net income

10

10

Other Agreement
implementation activity

(205)

(297)

Section Grants

(293)

(285)

System Integration

(351)

(128)

 

0

0

1. Board Reserves – This is the minimum reserve holdings established by the board for the specified purposes. The board reserves are currently funded at required levels.

2. AMA Contingency Reserve – This is the reserve available to fund key activities that are cyclical or one-time in nature. The opening balance is reduced because the surplus from the AMA employee pension plan, which was previously included in the Contingency Reserve total, has been segregated because these assets are restricted for pension purposes by the regulator.

3. AMA Agreement – These one-time funds were provided through the AMA Agreement and are used to support physicians involved in system leadership.

The AMA advances patient-centered, quality care by advocating for and supporting physician leadership and wellness.