8334-R3_ML&P_LSLA_2023_SummerNewsletter_Web

LSLA Treasurer’s Report - Jim McBride

A summary financial report showing 2022 results compared to budget is attached. It also shows the proposed budget for 2023. Despite some economic uncertainty and volatile market conditions, we ended the 2022 year in very good financial shape due to ongoing support from our members and friends, and prudent fiscal management from our board. We completed a major upgrade of the dam in 2022 that was estimated to cost $76,000. The repairs were completed under budget, and fully funded from our Reserve Investments with no impact on the operating budget. Here are a few other highlights: • Total 2022 income was $264,193 which was under budget by $9,007. Excluding the dam upgrade, the revenue went down by $7,596. Donations under our membership appeal were $1,463 lower than expected, and endowment gifts were $4,060 below budget. We were also below budget in raffle fundraising and merchandise revenue. But grants were $1,500 over budget due to a new grant from the Davis Conservation Foundation. Other than the dam, we did not need to transfer interest/growth from our reserves and endowment investments to fund operations. • Our budget for 2023 shows total income of $185,800. Excluding the dam upgrade, that is $3,804 lower than 2022 actual. It reflects a 2% increase in donations but flat endowment giving to be more conservative. We project $10,000 lower grant revenue from Maine Community Foundation, Windham, and Gray who had increased grant support to help with the dam upgrade. Our budget assumes $4,000 in funds taken from the Reserve investments to balance the budget. • Total 2022 expenses were $231,908 which were below budget by $39,883 excluding the dam upgrade. We were under budget in almost every category. Milfoil expenses were under budget almost $19,000 since we did not complete a planned milfoil survey last year. We were also under budget in water quality and watershed management. • Our budget for 2023 shows total expenses of $185,800. Excluding the dam upgrade, that is $28,482 higher than 2022 actuals. The largest increase is $17,000 for the rescheduled milfoil survey. The budget also has increased funding for water quality testing, watershed management, and routine dam maintenance. • Total Income Less Expense: We ended 2022 with strong positive cash flow and a net surplus of $32,285. Our 2023 budget shows a balanced budget with no deficit or surplus. As noted before, we will use up to $4,000 from the interest/growth generated by our Reserves. But we will not tap into funds from our Endowment. • Net Worth – at year-end 2022 we had total assets of $407,738, just about $101,000 lower than last year. This was due to the $74,590 used for the dam upgrade, and losses in invested funds for the endowment and reserves managed by the Maine Community Foundation due to market corrections. • We are incredibly grateful for the strong support from our members and friends who make donations, give to the endowment, join the raffle, and purchase merchandise that helps us keep Little Sebago a safe and healthy lake for all to enjoy! We are also very appreciative of the important grant support provided by the towns of Gray and Windham, the State of Maine DEP, the Maine Community Foundation, and the Davis Conservation Foundation.

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