Revenues, expenditures roughly 5 percent below benchmark, officials say
CARIBOU, Maine — The Northern Maine Development Commission has been working to save money in a variety of ways, from using email and scanning instead of printing and faxing to being conservative with office supplies.
Overall, total revenues for Dec. 31, 2015 were $1,934,305.97, which is 5.75 percent below the mid-year benchmark. Expenditures for this period totaled to $1,874,021.89, or 5.28 percent below the benchmark. As a result, the agency balance is $60,284.
Vice-Chair Austin Bleess made suggestions about cutting costs during NMDC’s last board of directors meeting and is pleased with the results.
“I just want to say thanks to Bob (Clark) and the staff for keeping the expenses low,” said Bleess. “Keep up the good work.”
Finance Director Mary Dahlgren read the revenue statement during the Jan. 14, 2016 board meeting, explaining each item in relation to the 50 percent benchmark, noting that each item has a 10 percent variance above or below this benchmark.
According to the finance director, state grant revenues are 41.67 percent.
“There was $200,000 budgeted from MTI (Maine Technology Institute) for implementation of the forest products cluster,” said Dahlgren, “but it was suggested from MTI to apply for this much later in the fiscal year.”
Municipal dues are at 97.94 percent and county dues are at 100 percent.
“Aroostook County paid their dues in October,” said Dahlgren, “but they weren’t included in the original budget figures.”
Contract Services are at 91.31 percent, which includes almost $62,000 for rest area maintenance. Fees for packaging and servicing is at 31.58 percent. Other income is at 81.21 percent. APP (Aroostook Partnership for Progress) income is at 31.30 percent. NMDC cash contributions is at 150.83 percent. In-kind income is at 18.04 percent.”
Dahlgren then read the expense statement for the same period. Collectively, these expenses average 44.72 percent in relation to the benchmark.
“Fringe benefits are at 33.85 percent. Since salaries are down a bit, fringe benefits have gone down as well,” said Dahlgren.
Other Employment Services is at 12.6 percent. Vehicle Allowance is at 0 percent, and travel for non-personal vehicles is at 31.98 percent.
“We’re trying to keep travel at a minimum by using all the technology we have available today,” said Dahlgren.
“Travel board and meeting committees is at 87.96 percent. Lodging is at 30.18 percent. Business meals is at 21.18 percent. Professional fees are at 98 percent. The majority of this cost is for our auditor and those fees have all been paid now. Dues and subscriptions is at 122.65 percent.
“Supplies and equipment is at 5.25 percent,” said Dahlgren. “We’re trying not to purchase any additional equipment unless we absolutely need it. Office supplies is at 21.96 percent and we’re making a conscious effort to use in-house supplies before going out to purchase any more.”
Maintenance is at 62.95 percent, which Dahlgren says is because of an annual maintenance of the heating system and also for repairs on an office that was vacated by a longtime employee. “Electricity is 34.71 percent,” Dahlgren said. “Once again we are making a conscious effort to make sure the lights are off when we are not here. Heat is at 24.09 percent because we’re just beginning our heating season and costs are significantly less than last year.”
Insurance is at 76.08 percent, advertising is at 33.37 percent, service agreements is at 35.72 percent, and trade show admissions is at 11.76 percent.
“The bulk of the trade show attendance is in the winter months so we are gearing up for that now,” said Dahlgren.
Promotional materials is at 73.33 percent and advertising and media is at 93.23 percent. Other expenses are at 9.9 percent, and interest expense is at 86.06 percent, which the finance director says is due to the increase in the line of credit over last year. She added that this interest line doesn’t just contain interest for the line of credit, but also contains NMDC’s mortgage interest.
“Postage and copies and printings are below the benchmark because we’re trying to use technology instead of printing and sending something by mail,” explained Dahlgren. “We’re trying to scan and email to cut costs.”
