In April and May of this year, you were invited to provide feedback on a revised budget for 2023. The members of the Finance Committee had felt that a revised budget was necessary given the change in the fiscal year, the high rate of inflation, as well as the approval of additional positions by the National Executive Committee (NEC) in late 2022 which were not reflected in the original budgets that were approved by the membership after the 2022 AGM. The NEC also voted to include a dues increase in the revised budget.
The feedback from the membership sessions and through the online consultation was very clear, and therefore the NEC voted at the May 30, 2023 meeting to rescind the motion for a dues increase and a revised 2023 budget.
You are probably asking what has changed?
The 2023 revised budget was developed in late 2022. At the time, inflation was expected to remain quite high, and this was factored into CAPE’s expenditures. Additionally, it was estimated that CAPE’s salaries would increase by $1M. This was based on historical salary trends and did not account for turnover and potential overlap of positions as there simply was not time for this detailed level of analysis.
It is now mid-2023 and we have concrete numbers to work with, which show that CAPE’s salaries will not reach the levels budgeted in the 2023 revised budget. As of April 30, 2023, CAPE’s Salaries & Benefits expenditures were $320K under budget, and we expect that trend to continue for the remainder of the year.
What does this mean going forward?
CAPE already has a budget for 2023 that was approved by the membership after the AGM in 2022. This will be the budget that we use for the current year. In accordance with the Constitution, the Finance Committee will prepare budgets for 2024 and 2025, consult with the NEC, Local Leaders and the membership, and present the budgets at the 2023 AGM for approval afterwards. We have also heard your comments regarding the presentation of the information in the budget, and will ensure that the budget information is presented clearly and concisely.
Therefore, there will be no budget vote this month.
Submit your questions and recommendations for the 2024 and 2025 budgets
We are open to your feedback regarding any changes you would like to see in the 2024 and 2025 budgets. Please email budget2024@acep-cape.ca with your comments or suggestions.
