(NOTE: Originally published Feb. 07, 2013, this post was re-edited for public display, Sept. 20, 2013. The IAG is no longer my interest group at the NYC chapter of the Graphic Artists Guild, and I am no longer an officer, volunteer, or member of the Graphic Artists Guild.)
The following is why I’m of the opinion that a serious independent audit of the Guild’s finances is overdue. A particularly stunning eye-opener in the LM-2 data is the amount of money listed under “Other Disbursements.” Our 2011 LM-2 Annual Financial Report details expenses such as rent, employee salaries, copier leasing, newsletter design, printing, and etc. There are, however, “Other Disbursements” entries found in the General Overhead, Union Administration, and Political Activities schedules, showing that in just 2011 alone, $217,000 was spent with no accompanying information whatsoever on payee or purpose. That’s over one-quarter of all the money spent by the Guild in 2011. I’m thinking that’s a lot of paper clips, coffee filters, or similar miscellaneous expenses that you’d expect might be categorized as “Other.”
My graphic breakdown of the 2011 LM-2 will save you some time in bringing the whole picture into focus.