Delegates to PRSA’s 61^st Assembly, and the second annual PRSA Leadership Assembly, turned their attention to the Society’s financial future as they met prior to the start of PRSA’s 2011 International Conference, “Imagine. Create. Inspire. Envisioning the Future of Public Relations,” in Orlando, Fla.

Following nine months of discussion and debate, Assembly Delegates overwhelmingly approved a proposal to increase PRSA’s membership dues by $30, not to exceed $255 annually. The proposal passed by a nearly 4-to-1 margin (209-to-53), with the increase scheduled to go into effect Jan. 1, 2012.

Members who renew (regardless of their renewal date) or initiate PRSA membership by Dec. 31, 2011, will still receive one additional year of membership at the 2011 base membership rate of $225.

Discussion of the proposal lasted less than 10 minutes. Delegates appeared to understand the rationale for a dues increase, given the Society’s efforts to cut expenses and realize new sources of non-dues revenue, as well as the increased costs of business and the current economic climate.

Continue reading " Leadership Assembly Approves Membership Dues Increase "

As expected, PRSA’s Q3 financial report shows that revenue and expenses for the first nine months of 2011 are tracking below budget, due to continued economic weakness and cyclical business patterns.

We continue to believe that PRSA will finish the year with a slight surplus over expenses, and thus achieve our budgetary goals for the year. While PRSA has traditionally contributed 1 percent of budgeted expenses to its net asset balance (“reserves”) at year end, we anticipate that stagnant revenue, increased costs and a reduction in corporate spending on professional development will prevent us from doing so this year.

Through September, the Society realized a net deficit of $744,000 from operations, which is $50,000 better than budget. This compares with a net deficit of $582,000 for the same nine-month period in 2010. In response, PRSA implemented a cost-reduction program that lowered expenses across all operations by $316,000, which more than offsets the $266,000 reduction in overall revenue.

PRSA also took steps to address the continued underperformance of the nation’s economy and financial markets, by updating its investment policy to safeguard its assets and responsibly grow its investment portfolio. As a result, PRSA’s portfolio decreased only 5.7 percent during the first nine months of 2011, bettering the performance of the S&P 500, which declined 8.7 percent over the same period.

Finally, we continue to follow a highly focused budgeting process. A 2012 operating plan has been developed, based on the strategic priorities outlined in the Society’s 2011-2013 Strategic Plan, and translated into a balanced financial plan for the year. Given the possibility that PRSA will implement its first Membership dues increase in 10 years in 2012, the Finance Committee has reviewed two separate draft budgets for the coming year: One that anticipates passage of the dues increase by the Leadership Assembly; and a contingency plan with multiple options for possible expense reductions, should the dues increase not pass.

Continue reading " PRSA Financial Report: Looking at the First Nine Months of 2011 "

Update: PRSA announced in August that it plans to offer its entire catalogue of professional development webinars to its members — for free — starting in 2012.

It’s hard to believe that 10 years have passed since PRSA last increased its annual membership dues. Back then, our “old” website was “new,” Marc Kasky was suing Nike, and “How the U.S. Army Public Affairs Commands Responded to the Pentagon Attack on 9-11” was the must-see session at the International Conference.

Continue reading " Funding the Future: The Rationale for a Dues Increase in 2012 "

Delegates to PRSA’s 60^th Assembly, and the inaugural PRSA Leadership Assembly, turned their attention toward the Society’s strategic planning as they met prior to the start of PRSA’s 2010 International Conference, “Powering PRogress.”

Delegates were provided with a vision for PRSA’s future as part of the annual State of the Society Report, given via a joint presentation by Gary D. McCormick, APR, Fellow PRSA, 2010 PRSA chair and CEO, Rosanna M. Fiske, APR, chair-elect of PRSA and William M. Murray, CAE, PRSA president and CEO.

Continue reading " Leadership Assembly Focuses on Future, Strategic Value of Public Relations "

PRSA recently became aware that six of its members have formed an ad hoc committee and are circulating a petition in support of an amendment to PRSA’s Bylaws. The amendment would remove the requirement that PRSA’s national officers and Board members be Accredited in Public Relations (APR).

The committee is following a time-honored, democratic tradition of bringing forward important issues for the PRSA Assembly to debate and decide — on behalf of all Society members. Like it or not, this is the way that the egalitarian governance process functions at PRSA. It’s possible that still other proposed amendments will be brought before this year’s Assembly.

Continue reading " To Remove — or Not To Remove — the APR Requirement for Board Service "