2018-19 Budget year-end update

AMA Operations:

 

Projected Actual ($ 000’s)

Budget ($ 000’s)

Variance ($ 000’s)

Revenue

Dues

Other

 

18,344

4,814

  

15,529

5,847

 

2,815

(1,033)

Total Revenue

23,158

 21,376

1,782

Operating Expenditures*

Executive Office

Southern Alberta Office

Operations

Public Affairs

Health Economics

Professional Affairs

Health System Transformation

Priority Projects

 

3,798

819

8,777

1,990

2,221

1,413

840

2,210

 

3,827

850

9,019

2,186

2,302

1,790

895

4,491

 

29

31

242

196

81

377

55

2,281

 

22,068

25,361

 3,293

Transfer to Reserves

1,090

(3,985)

 5,075

*Cost categorization updated to reflect the 21/22 budget format

  1. The membership has shown strong support for the AMA with overall retention at roughly 100%. As a result, we will substantially exceed our conservative membership budget for the year.  
  2. Operating expenditures are comprised primarily of workforce (staff and physician volunteers) and facility costs. The operating budget incorporated roughly $3 million in direct savings including reductions in staff salaries, committee honoraria rates and travel and facility costs. Additional one-time savings have also been realized primarily due to COVID restrictions.  
  3. Budget provisions were made under Priority Projects to advance in key areas including:
    • Physician representation - In the current environment and without an agreement with government or AHS, negotiations are more local versus provincial, and the AMA has needed more assertive approaches. With much activity delayed until after the failed ratification vote, a significant portion of the provision was not spent and will be available for the second year of the 2-year plan. 
    • Income Equity – Resources were included to complete the overhead, hours of work, training, and market assessment studies this year. With COVID delaying the hours of work study, a significant portion of the provision was not spent and will be carried forward for the second year of the 2-year plan.
    • Advocacy - Resources were included to support a broad range of activity, including social media, earned and paid media and grass roots advocacy coordinated through the Joint Task Force, to achieve a negotiated agreement with government. 

Board Reserves:

 

Projected Actual ($ 000's)

Budget ($ 000’s) 

Emergency

10,213

10,213

Capital

3,508

3,508

Strategic

1,000

1,000

ACTT RFP

0

(250)

 

14,721

14,470

AMA Contingency Reserve

 

Projected Actual
($ 000's)

Budget
($ 000’s)

Opening Balance

13,511

13,120

Net income

473

394 

Operating surplus

1,090

(3,735)

 

15,074

9,779

  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. With the termination of the Agreement and loss of key programs, a sizable draw from the contingency reserve was planned. However, the strong membership retention and reduced spending on priority projects resulted in a marginal surplus, which improves our financial position and flexibility heading into the second year of the 2-year plan. 

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