CAR proposes dues increase of $20 per year; vote scheduled for June
Background information on the proposed CAR dues increase
In June, the CAR Board of Directors will consider a vote on a proposed dues increase of the 2009 membership dues in the amount of $20 annually. The current membership dues are $110, and if approved, the new dues amount would be $130 annually. This is the first proposed dues increase since 2004.
This proposal is a result of considerable effort by the CAR Finance Committee and the Executive Committee, which determined that these additional funds are needed to ensure the future of CAR and to allow the association to continue to expand the value and benefit to the membership.
What will CAR do with the additional revenue if the dues increase is approved?
As in many businesses and associations, additional funding is required to maintain current efforts and expand into new and innovative areas. Question 6 in the Questions and Answers section addresses the new service areas that are being considered. The additional funding will allow for future growth and expansion which will benefit the member.
Questions and Answers
1. What is the rationale behind the CAR proposed dues increase? As many businesses and associations are seeing, the cost to operate an organization continues to increase. Operational costs such as building expenses, equipment costs and employee expenses continue to rise. The costs to continue the current level of programs and services continue to increase as well. In addition, the increased revenue will allow the association to pursue new and exciting strategies for future innovative programs and services for the membership.
2. When was the last dues increase and how much was it? CAR last increased the membership dues in 2004 in the amount of $10. The increase addressed many of the same needs as stated above.
3. The proposed dues increase comes at a time that some consider difficult. Why now? Though we recognize that the market is less active than years past, CAR is committed to providing the members with excellent services and programs that will assist them in their quest to succeed in the real estate industry. The association will likely follow a pattern where a dues increase will be considered every four to five years. Now is the time to expand the benefits to the members. We are confident that through our continued efforts our members will be provided with valuable member benefits that will help them succeed in today’s challenging market.
4. How does CAR compare to other state associations of similar size in the areas of budget, cost of dues, staff size, etc.? Our research has found that our association operates very efficiently and our budget and administrative costs are less than most other state associations. Our dues, even with a $20 increase, will still be lower than 83 percent of the other state associations.
5. Do the current programs and services provided to the members address the members’ needs? CAR is committed to providing superior programs and services that make a difference in the members’ professio-nal lives. Your leadership representatives, committee oversight structure and the CAR staff go to great lengths to investigate new and innovative ideas that will benefit the member. In addition, we are continually asking the member what they need and want from their state association. This is the role of the state association, the national association and the local associations.
6. What type of additional services can the members expect if the dues increase is approved? The additional funding will allow CAR to maintain the existing programs, products and services that we currently provide to the membership and local associations. In addition, it will allow us to pursue new and exciting opportunities for the future such as a full scale research and statistics program, increased efforts to assist the local associations in their public awareness efforts, implementation of programs currently addressed by the governmental affairs PAG such as expanded assistance to the local associations in their PSF fundraising efforts, expansion of the local association Shared Governmental Affairs Programs to areas that are currently not able to provide this program, further enhancements to the CAR website, as well as numerous new and innovative opportunities that are on the drawing table.
7. Why is CAR renovating the current headquarters in Englewood? Could that be delayed? Real estate professionals are the first to understand the need to maintain the Association’s most valuable asset, our building. While the mortgage has been paid off for a few years, the building is due for some vital maintenance and renovation to ensure that the value does not deteriorate. Your association leadership has been prudent in creating a designated building fund for this project and none of the potential new dues would be used for this project.
8. Why should I support this proposal? The proposed increase will provide for a revenue increase of approximately 10 percent to the annual CAR budget, or approximately $500,000. The last increase was five years ago, meaning this increase represents about $4 per year per member. We have heard some say, “You need to cut costs”; however, we believe that maintaining the current level of services is critical and expanding into new service areas is vital to the future of the association and the success of our members.
9. Who can I contact if I have other questions or would like further information? We encourage you to contact any member of the CAR Leadership Team or staff by calling CAR offices at (303) 790-7099. Or you may e-mail any of the following: CEO Robert Golden – rgolden@coloradorealtors.com; CAR Treasurer Scott Matthias – smatthias@prestigerealtygroup.com; President Greg Zadel – greg@zadelrealty.com; President-Elect Amy Dorsey – adorsey@slifer.net.
Information taken from CAR’s “CAR Proposed Dues Increase.” Pulication not reproduced in its entirety. For the complete publication, please contact CAR at (303) 790-7099.
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