In last year’s annual report, I wrote about how AACP’s strong financial picture had positioned the Association to be poised for investment in new member programs and services. I am pleased to now report that once again AACP had a successful year operationally and financially, with new programs, a growing membership and an even stronger financial position.
As you read about AACP accomplishments in this year’s report, you see higher engagement by the membership in AACP programs. You also see AACP’s reach expanding as the Association extends its relevance more deeply within member institutions and more broadly into the science and global pharmacy communities. Many AACP meetings were oversubscribed or had near-record participation levels. Online education and resources were also enhanced. Initiatives included a new AJPE Web site, Webinars and recorded content at the Annual Meeting.
For the fiscal year just ended in June, AACP projected a year-over-year increase in revenue even though the growth in participation for student-related programs such as PharmCAS and PCAT testing trended downward in recent years. AACP’s financial liquidity remains very high, with more than 80 percent of assets in cash or investments from strong cash flow and an appreciating investment portfolio that returned 8.1 percent during the past three years.
For fiscal year 2012, assets are expected to grow by approximately 10 percent, and operating results will meet the budgeted net revenue target of $36,000. The following tables present AACP’s audited financial performance during the past three completed fiscal years.
Implementation of the institutional dues increase was timely and showed great foresight given the decline in revenue from student services and the strong reliance on these revenue areas growing year after year. The additional resources helped bring the revenue budget in line with expenses and covered the cost of expanding programs and supporting infrastructure.
Many years of careful financial and budget management have resulted in the accumulation of considerable resources for funding new opportunities and initiatives that support and further the AACP mission. From the initial financial outlook, it appears that 2013 will be a tight budget year, one in which the Association will possibly tap into its accumulated reserve assets. Planning for the next wave of program development and fortifying staffing and infrastructure will be priorities. AACP will assume additional office space in the coming year as operations expand to meet member needs and deliver new programs in the areas of research, leadership development and member engagement. These actions and initiatives will ensure that AACP continues to advance academic pharmacy for the betterment of healthcare.
Keith N. Herist, Pharm.D.Treasurer, AACPClinical Associate ProfessorThe University of Georgia