Financial Report of the IWLA Endowment

In Convention Buena Park, California
For Fiscal Year Ending July 14, 2004
William Weber, Treasurer

This past year has been pretty good for the Endowment.  The stock market went up, while the bond market went down.  Since we have half of each, one could say we have some good news and some bad news, but we are not going to say that.

It has been another year of world turmoil.  Iraq is constantly in the headlines.  Those that are perceived as “knowledgeable” say there is progress being made.  Polls taken in Iraq show that 60% of the populace are in favor of our presence.  This is heartening news.  However, the other 40% seem to be shooting at us.  The shootees, or should it be the shooters, are apparently being egged on by some disgruntled clerics who seem to get out of bed on the wrong side every day.  Meanwhile, back in the not-so-happy land of Palestine and Israel, it appears that they continue to agree to disagree.  As best as one can tell, hard feelings started over some land deal that went sour.  Unfortunately, they do not have our legal system of trial lawyers, Court TV, or Judge Judy, so we will just have to wish them the best of luck.

Not that we are preoccupied with all these upset folks in the Middle East, but eventually all this international hyperactivity trickles down to influence our nation’s domestic fiscal and monetary policies.  Given time this moves our stock and bond markets around, which then influences the Endowment asset base and investment decisions.  It is not that we do not like a challenge on occasion, but investment life is a lot easier during times of peace.   Fighting an expensive war, other than providing some additional Boom Boom footage for the history channel, is a terrible drain on a countries economy.

Capturing seems to be the big news last year.  There are some wrongdoers out there; if only they weren’t around, life would be a lot better.  Progress was made in that department.  They finally got that buggy bearded Saddam, they found Uday and Qday, then Michael Jackson.  We are all a little more relaxed now.

Despite low interest rates and all these world problems, our assets grew to record levels.  We are now valued at $2,075,829 vs. last years $1,859,482.  Our donations were down $20,000 from two years ago.  This is a concern for us.  To reverse this trend, we anticipate some Endowment promotion in Outdoor America.  A little bit from most members would make a meaningful difference.

For those of you who are new to the League, the Endowment is a separate non-profit corporation from the National Office.  Starting in 1943 with $1,000, it was created mainly to purchase land.  The land was purchased with the arrangement that a government agency takes it over when they obtain funding.  Some 18 million dollars of transactions have been made.  In recent years, the Endowment has focused on Chapters who financially promote programs and projects compatible with League philosophy.  Through the years, we have given financial grants which totals near our asset value of 2 million dollars.  The Nationall Office being the recipient of $690,000.

Last year, we granted the National Office $25,000 payable over two years for their successful efforts to preserve our dwindling Wetlands.  Youth Conservation Eduction is also widely funded.  Monies were given to West Virginia for an organized youth camp, Wisconsin had two youth gatherings, and Orange County California had a kid’s day.  Lancaster, Pennsylvania not only had a youth program, but they also have colorful Bill Schaeffer printing wildlife coloring books for youngsters.  These book have resulted into a great promotion and recruiting tool for the Ikes.  Nebraska and Virginia also participated. Illinois has their Giant Goose facility, which has hosted some two hundred young adults.  The Endowment helps make possible the youth visitation program here at the National Convention.  If we ever hope to conserve and protect our natural world, it behooves us to introduce our youth to ecological basics and League philosophy.  They are our future leaders and benefactors.

Our often funded Save Our Streams program is still alive and viable.  In my own state of Michigan, a Scout accomplished some meaningful work on a stream near Sparta.  This hard, cold, and wet work was chosen by a young man as a project to obtain an Eagle rank.  He led a team of 12.  His father has joined our Chapter.   The troop has future interest in helping with our own acreage which includes a stream and wetlands.  This was a rewarding experience for me because the work occurred at my old home where my son now lives, and was done by the son of one of my boys high-school classmates. I guess if you add it up, it amounts to three generations of people who care about waterways, wildlife and environment.  It is hard for me to believe that so much time has gone by and we are the age we are.  I will say this, when you reach your 70’s, you do get this one comforting thought, and that is that you know you are not going to die in your 60’s.

This year we received a request from the Michigan Division to financially help an Upper Peninsula Township to preserve a small 9 acre peninsula jutting out into Lake Superior.  The town was Copper Harbor with 80 residents.  The property had  been parceled off for sale, but the signs are now down with a pending possible purchase.  One of the gentlemen working on the preservation project appeared on the Endowment’s ‘Make Peace With Nature’ TV show, which we partially fund.  The show, now in its 32nd year, airs in the Cincinnati area.  It has done close to 1,700 thirty minute editions and soon will be available worldwide via the Internet through the Endowment’s website.

Other Grants last year went to Decatur, Illinois for a silt retention pond; to Ohio for an Open Space Program; and to Michigan for a public fishing pier.  Surely we should be thankful to all the people who participated in these valued efforts.  Viable Chapters and Divisions are the backbone of the League.  Your Endowment stands by to try to keep everyone happy.  To learn more, visit our website, www.IWLAendowment.org.  There will be a link to the ‘Make Peace With Nature’ show.

Now, back to the financial end of it.  As I mentioned earlier, the last two years our contributions were off a bit: so if you can talk yourself or chapter or division, please consider us for a donation, or mention in your will.  You can specify if you would like your contributions to be restricted, which means the principal stays intact, or for a specific purpose, or unrestricted.

Because of the rise in the stock market, we did reach a new asset high last year.  Our record now stands at 22 of 24 years of increasing value.  When we did dip, it was mild.  Interest rates are now going to hurt our bond portfolio.  We were averaging over 6% a few years back, but we are now headed for the 4% range if rates stay at this 45 year low.  This is a tough investment climate for conservatives.  Where we are going from here is guesswork.  Inflation has reentered our vocabulary and oil prices have resurrected the work conservation.

Fortunately, we are in contact with some formidable economists.  Unfortunately, their expertise seems to be in telling us tomorrow why the things they predicted yesterday didn’t happen.  This is really the norm and the economy depends about as much on economists and other economists and other financial fortunetelleers as the weather does on weather forcasters.  We don’t totally want to make light of the study of economics because economics is extremely useful, as a form of employment for economists.

Just a reminder now that today we will be voting for Endowment directors.  Your management team up here is brought to you by the democratic process.  All the members of the League are members of the Endowment, so everyone should be eligible to vote.  There will be three positions for a three year term.  There may or may not be more than three candidates.  In addition, there will be a vote to limit the terms of directors.  I do not know how you feel on that subject and I surely can not speak for the board, but generally speaking, there is a universal truth that most incumbents find voting for term limits a bit like asking a chick to vote for Colonel Sanders.

Well that’s all for now.  Thank you.