201 6 A N N UA L REPORT
PULLINGTOGETHER ALBERTA CHA MB ERS OF COMMERC E
TABLE OF CONTENTS 1 Message from the Chair 2 Executive Committee & Staff 3 Alberta Chambers of Commerce Organizational Chart 5 Chamber Members 6 78th Provincial Conference & Policy Session 11 Canadian Chamber of Commerce 12 Roundtables 14 Chamber of the Year Awards 18 Fall Board Meeting/Deputy Ministers’ Dinner 20 Advocacy 22 Policy Committee 24 Political Action Day and MLA Dinner 26 25th Alberta Business Awards of Distinction 28 Alberta Chamber Executives 30 Sponsorship Opportunities 31 Corporate Members 32 Value-Added Programs 34 Management’s Discussion & Analysis 40 Independent Auditor’s Report
2
MESSAGE FROM THE CHAIR
A year ago the Alberta Chambers of Commerce Executive stood in front of our members in Red Deer and were sworn is a as a gender-balanced board. This was a proud moment for the ACC Executive team, and just one example of this organization’s leadership as the voice for Alberta business. The Executive’s focus for this year was to improve the ACC’s collaboration with members and business stakeholders to help the chamber federation grow and lead the business in a changing business environment. Aggressive provincial and federal legislative agendas and a battered economy tested Alberta business this year. A provincial Carbon Levy, phase out of coal-fired power generation and sweeping labour legislation reform, and national issues of approving energy infrastructure projects, reducing internal trade barriers and streamlining the federal tax code all have, or will, directly affect cost-structures and competitiveness in the province. The ACC’s adaptations to communicate and collaborate more effectively resulted in timely and balanced advocacy on many of these issues. With our Phase lll Minimum Wage Survey, Senate hearings participation, and engagement of the Canadian public, we were able to connect with government and represent the importance of a healthy Alberta business community. The federal government’s decision to keep the employer-paid health and dental
SEAN BALLARD CHAIR
tax benefits in place this year is a great example of our advocacy successes this year, and will positively affect a majority of employees almost every Canadian. The ACC partnered with a mobile appdeveloper and in April launched the pilot of the Chamber Connector App with seven community chambers. This initiative will grow as more local chambers connect through the app, and help businesses tap into the value the network can create regionally for businesses and their employees. We also collaborated with post-secondary students and community chambers to help future business leaders grow through their engagement in the network, and for the network to benefit from young adult’s contributions of critical 21st Century business skills. These new initiatives are exciting as they are pathways to ensure a connected, active, innovative chamber network of the future. We made big strides this year in delivering new value to our 125 community chamber members and the 24,000 businesses they represent. It has been my honour to serve as Chair while the ACC took these steps, and it has been a pleasure working with you all to accomplish it together. Sean Ballard CHAIR, Alberta Chambers of Commerce
1
EXECUTIVE COMMITTEE
SEAN BALLARD
CHRIS DUGAN
SHAUNA FETH
SHAWNA MILLER
ROSETTA TAYLOR
CARMAN MCNARY
CHAIR
SECOND VICE CHAIR
CHAIR ELECT
TREASURER
FIRST VICE CHAIR
PAST CHAIR
STAFF
KEN KOLBY
JONATHAN SEIB
JASON LESLIE
TRACY ACORN
ALLISON ROBERGE
JANEL KLASSEN
PRESIDENT & CEO
CHAMBER SERVICES MANAGER
JILLIAN MCGUIRE
BUSINESS & ADMINISTRATIVE SERVICES COORDINATOR
2
POLICY MANGER
EVENTS MANAGER
COMMUNICATIONS MANAGER
MARKETING COORDINATOR
ALBERTA CHAMBERS OF COMMERCE ORGANIZATIONAL CHART
Board of Directors Executive Committee (STRATEGIC OPERATIONS)
Sean Ballard CHAIR
Chris Dugan CHAIR ELECT
Shauna Feth FIRST VICE CHAIR
Shawna Miller
SECOND VICE CHAIR
Rosetta Taylor TREASURER
Carman McNary PAST CHAIR
Ken Kolby
PRESIDENT & CEO
Jonathan Seib POLICY MANGER
Jason Leslie
Tracy Acorn
COMMUNICATIONS MANAGER
CHAMBER SERVICES MANAGER
Allison Roberge EVENTS MANAGER
Janel Klassen
MARKETING COORDINATOR
Jillian McGuire
BUSINESS & ADMINISTRATIVE SERVICES COORDINATOR
The Executive Committee is formed from leading chamber volunteers from around Alberta. This year’s Executive Committee members are based in Edmonton, Sherwood Park, Calgary, Red Deer, Spruce Grove, Camrose, and Grande Prairie. 3
35
58
58
58
52 65
35
88
63
76
88
Fort McMurray
50
35
64
10
56
87 63
02
47
02
49
88
49
79
02
59
43
63
59
98
02
49
08 55
100 02
Grand Prairie
117 33
102 43
55
44
40
55
66
04
110
16 02
53
32
63
43
124
43
32
16
44
16
85
02 46
61
121
16
41 45
51
78 118
Edmonton
116
07
119
77
16
70 21
16
18
63
02A
53
94 11
97
67 41
11
23
41 12
29
27
115
22
72
01
08
40
40
86
09
09
10
09
27
01
17
41 56
25
Calgary
108
36
01
12X
37
07
69
83
01
24
60
19
23
120
82 22
41
01
36
Medicine Hat
02 23
80
25
25
01
14
88 03
49 34
03
03
4
41
57 09
21
33
20
09
27 09
24
01
12
36
84
31
30
56
21
38
01A
12
02
109
15
92 106
35
62 22
13 36
03
94
42
96
53
11
Red Deer
54
06 21
12
11
111
22
93
53
14
122 64
56
91
12
14
13
02
12
41
26
21
123
89 13
20 22
73
36
14
114
39
45
15
16
99
43 36
39
45
36
45
68
107 103
22
28
105 95
104
47
28
101
71 81
40
13
02
44 33
28
75
113
18
05
54
28
55 36
33
90
72
112
26
06
93
74 05
22
62
03
36
Lethbridge 02
03
04
48
61
41
CHAMBER MEMBERS
60 High River 01 Airdrie 02 Alberta Beach 03 Alix 04 Athabasca 05 Barrhead 06 Bashaw 07 Beaumont 08 Beaverlodge 09 Beiseker 10 Berwyn 11 Blackfalds 12 Bluffton 13 Bonnyville 14 Bow Island 15 Bow Valley 16 Boyle 17 Bragg Creek 18 Breton 19 Brooks 20 Calgary 21 Camrose 22 Cardston 23 Caroline 24 Carstairs 25 Chestermere 26 Claresholm 27 Coaldale 28 Cochrane 29 Cold Lake 30 Consort
92 Provost 93 Raymond
31 Coronation
61 Hinton
32 Cremona/ Water Valley
62 Innisfail 63 Jasper
33 Crossfield
64 Killam
34 Crowsnest Pass
65 La Crete
97 Rocky Mountain House
35 Delburne
66 Lac La Biche
98 Sexsmith
36 Devon
67 Lacombe
99 Sherwood Park
37 Diamond Valley
68 Lamont
100 Slave Lake
38 Didsbury
69 Langdon
101 Smoky Lake
39 Drayton Valley
70 Leduc
102 Smoky River
40 Drumheller
71 Legal
103 Spruce Grove
41 Eckville
72 Lethbridge
104 St. Albert
42 Edgerton
73 Lloydminster
105 St. Paul
43 Edmonton
74 Magrath
106 Stettler
44 Edson
75 Mallaig
107 Stony Plain
45 Elk Point
76 Manning
108 Strathmore
46 EvansburgEntwistle
77 Mannville
109 Sundre
47 Fairview
78 Marwayne
110 Swan Hills
79 McLennan
111 Sylvan Lake
80 Medicine Hat
112 Taber
81 Morinville
113 Thorhild
82 Nanton
114 Thorsby
83 Okotoks
115 Three Hills
84 Olds
116 Tofield
85 Onoway
117 Valleyview
86 Oyen
118 Vegreville
87 Peace River
119 Vermilion
88 Picture Butte
120 Vulcan
89 Pigeon Lake
121 Wabamun
90 Pincher Creek
122 Wainwright
91 Ponoka
123 Wetaskiwin
48 Foremost 49 Fort Macleod 50 Fort McMurray 51 Fort Saskatchewan 52 Fort Vermilion 53 Fox Creek 54 Grande Cache 55 Grande Prairie 56 Grimshaw 57 Hanna 58 High Level 59 High Prairie
94 Red Deer 95 Redwater 96 Rimbey
124 Whitecourt
5
78TH PROVINCIAL CONFERENCE & POLICY SESSION RED DEER
Every year members of our federation gather in a different Alberta community for three days of meetings, learning and networking. Highlights of the 2016 Provincial Conference in Red Deer include: • 133 delegates were in attendance representing 38 chambers. • A total of 181 guests participated throughout the weekend • Guest speakers included Perrin Beatty, President & CEO of the Canadian Chamber, Carlo Dade, Director of the CanWest Foundation’s Centre for Trade & Investment Policy and Michael Denham, President and CEO, BDC.
• The Red Deer Chamber hosted us for an exclusive Fun Night at the Sky Wings Aviation Academy. • Delegates at the policy session debated 35 policies, of which 33 were approved. • We welcomed Sean Ballard of Calgary as incoming Chair. • We said farewell to Dom Mancuso of Red Deer, who stepped off the Executive Committee.
Delegates vote at the 2016 Policy Session, where 33 policies were approved.
6
Delegates took in a variety of educational workshops. A panel discussion on Alberta: Where are we and where are we going? How do we fit in Canada’s economy?
It was the 35th time Ron Chapman has moderated our policy session, and he was as instructive and charming as ever.
7
Delegates at the Sky Wings Aviation Academy for an exclusive fun night.
8
The Vegreville & District Chamber of Commerce poses with their Chamber of Year Award (Membership less than 150).
ACC Executive, spouses, VIP’s and Past Chairs wait in the reception area for the procession of the head tables.
Delegates enjoy the Chair’s Dinner.
9
Members attended the Saturday evening Chair’s Dinner which honoured the network’s best and brightest. The 2015/16 Executive hold the last Board Meeting of the Year.
10
CANADIAN CHAMBER OF COMMERCE REGINA
The ACC was proud to represent its business community with the largest provincial delegation at the Canadian Chamber’s AGM 2016. POLICY SESSION HIGHLIGHTS – The
CHAMBER HIGHLIGHTS – Chambers from
Alberta caucus displayed depth and
Alberta were recognized for their leadership
knowledge during the two-day session
at the executive level and for their innovative
to advocate policy alignment with the
approaches to engaging members.
needs of Alberta business. Diplomatic and articulate, Alberta’s delegates provided strong leadership during the policy debates and in pre-debate engagement with other chambers.
• The Calgary Chamber won the top prize in the 2016 national chamber competition “Membership in the Age of Google” which focused on engaging members in the digital age
• By community chambers sending delegates or providing proxies to the ACC Alberta carried 116 votes at the policy session, the highest of any province • 70 were resolutions presented at the policy session, and all 10 sponsored by chambers in Alberta were adopted Calgary Chamber Policy Director Justin Smith accepts 1st place in 2016 annual chamber competition, themed Membership in the Age of Google: Innovative Retention & Growth Strategies in an Era of Change.
• The Medicine Hat & District Chamber of Commerce was recognized for receiving chamber accreditation of distinction through the Chamber Accreditation Council of Canada • The St. Albert & District Chamber’s President & CEO, Lynda Moffat, was recognized as Chamber Executive of the Year in the 500999 member category
Alberta delegates enjoy a reception during the Canadian Chamber’s AGM.
11
ROUNDTABLES
The ACC was pleased to connect with over 325 attendees across Alberta in 2016 during six sessions held in Cold Lake, Grande Prairie, Jasper, Medicine Hat, Red Deer and Rocky Mountain House. Community chambers participated in the ACC’s traditional roundtables in the afternoon. The morning sessions were open to the public
The goal of the partnership was to allow
and free of charge. Business attendees were
small business service providers a chance
treated to a full morning of presentations
to network one-on-one with businesses
including:
and identify their challenges and needs.
• Services available to small business • Service provider panel discussion • BDC presentation on Business Diversification
The Q&A portion of the sessions was extremely valuable in assessing where service providers are succeeding and where they need to shift focus in order to be most effective in meeting the needs of local
• Networking Q&A session
businesses.
• New web-based tools for business
2017 will see a return to the traditional
• 50 Free Calls presents – Digital Marketing,
format for the roundtables focussing on
Create your Future • ATB’s How to Thrive and Survive presentation After lunch, community chambers participated in our traditional roundtables.
chamber-centric issues and educational development. The ACC is responsible for putting together a final report based on what we heard across 2015 and 2016. This will take the form of an online resource outlining the
These sessions were held in six locations
services and organizations serving Alberta
in 2016, starting in Cold Lake in June then,
businesses and a summary of the Q&A
Grande Prairie, Jasper, Medicine Hat, Red Deer
portions of the sessions.
and Rocky Mountain House in October. We
Thank you to all those who participated
are pleased to have connected with over 325 attendees across Alberta.
12
and we look forward to seeing you at one of six scheduled sessions in 2017.
Government of Alberta Presentation – Jasper Roundtable.
Grande Prairie Roundtable.
13
CHAMBER OF THE YEAR AWARDS
Each year the ACC takes in submissions for the Chamber of the Year in four categories, based upon number of members. In 2016, we made a few changes to how the categories are set out. It seemed to be the right move, as we had many solid submissions. The application form begins with the words; “Is your Chamber a champion? Don’t be shy, tell us your story”. Thank you to all of you who did. Please continue to tell us your chambers story in years to come. Congratulations to all the category winners in 2016! CHAMBER OF THE YEAR (MEMBERSHIP LESS THAN 150) Vegreville & District Chamber of Commerce
to better its community and enhance the local
In a town of just under 6000 residents, the
of government relations, they hold annual joint
Vegreville & District Chamber of Commerce is committed to providing a voice for the business community. With 142 members, Vegreville relies heavily on its solid volunteer base to remain as active and involved within their town and county as they are. They worked closely with the Finding Work Series project, which provides a visual snapshot and description of job opportunities available within the community. This is just one example of how Vegreville strives
(L-R) Darcie Sabados, President and Elaine Kucher, General Manager, Vegreville & District Chamber of Commerce.
14
economy. Clearly understanding the importance meetings with Town and County Councils, showing a strong devotion to local initiatives, issues and events on both a local and regional level.
CHAMBER OF THE YEAR (MEMBERSHIP BETWEEN 115-300) Okotoks & District Chamber of Commerce
speakers as well as the many major events
Okotoks & District Chamber of Commerce
hosted by this Chamber. Additionally,
is completely dedicated to helping
this Chamber’s CEO strives to engage
local businesses thrive. Their mission is
with each chamber member, and delivers
to provide leadership, representation,
membership packages in person. This is just
networking opportunities, service and
one example of how the Okotoks Chamber
education for their chamber members.
goes above and beyond to encourage
Their membership of just under 400 represents about 30% of all licensed businesses within their community. Members have opportunities to network through monthly luncheons with relevant
membership interaction and success within the community. The collective efforts of the Chamber have enabled growth allowing them to add a second full-time staff member.
(L-R) Sara Noyes, Vice President; Cheryl Actemichuk, Executive Director; Joelle Guzzo, Executive Assistance; and Andrew Gustafson, President, Okotoks & District Chamber of Commerce.
15
CHAMBER OF THE YEAR (MEMBERSHIP BETWEEN 301 – 650) Camrose Chamber of Commerce
representing the business community at
The Camrose Chamber lives in a region
sessions on issues like minimum wage, and
encompassing about 25,000 residents with
actively participating in policy discussions
a trading area reaching 140,000. There are
and creation.
approximately 695 businesses in this area, of which over 375 are chamber members.
In addition, they also find time to have fun and showcase their community with golf
With 14 directors, two employees, and
tournaments, Christmas Parties and the
additional seasonal help to run the city’s
famous Jaywalkers Jamboree. The Camrose
Visitor Information Centre, this Chamber
Chamber office is the envy of many located
is active. They successfully run or partner
in park area with a beautiful lake to look out
with several community organizations to
on.
host opportunities for businesses and tourists alike. Chamber business includes hosting government representatives, delivering a business enhancement speaker series,
(L-R) Julie Girard, President and Sharon Anderson, Executive Director, Camrose Chamber of Commerce.
16
(L-R) Lisa Kowalchuk, Executive Director; Aaron Fleming, 1st Vice President; Khrista Vogt, President, Medicine Hat & District Chamber of Commerce.
CHAMBER OF THE YEAR (MEMBERSHIP OVER 651) Medicine Hat & District Chamber of Commerce
Vimeo to maximize exposure for their
The Medicine Hat Chamber is truly a
excellent example and resource for other
powerhouse. They are a wonderful example of how well committees and community can work together. They demonstrate excellent leadership and teamwork. In 2015 they have saw growth in membership,
Chamber. Their staff and board are an Chambers. The Medicine Hat Chamber is a strong advocate for businesses within the area. They set ambitious goals, and work
event attendance and revenues.
relentlessly to achieve them. With the
The Medicine Hat Chamber successfully
volunteers, this Chamber saw their most
uses social media campaigns and has an impressive online reach. They are active
help of their full-time, casual staff, and successful year yet in 2015.
users of Twitter, Facebook, YouTube and
17
FALL BOARD MEETING AND DEPUTY MINISTERS’ DINNER
This year’s ACC annual Fall Board Meeting and Deputy Ministers’ Dinner established a new benchmark for government engagement. Day education sessions featured relevant learning opportunities for communities as they face changes in demographics, technology, and political landscape. In the evening, delegates met with some of the Province’s top civil servants at the annual Deputy Ministers’ Dinner. Highlights included: • The Hon. Deron Bilous, Minister of
• The Deputy Minister’s dinner was
Economic Development and Trade,
facilitated by Jason Krips of Economic
was the keynote speaker for the day’s
Development and Trade between the
luncheon. He discussed the Province’s
ACC’s guests and Alberta’s civil servants
approach and efforts to support emerging
including 16 other Deputy Ministers, 3
industries and connect with emerging
Assistant Deputy Ministers, and 6 other
markets such as China.
civil servants. • Ian McGregor, CEO and Chairman of North West Refining, presented Three Legs to Support Alberta’s Energy Diversification Future, focusing on the opportunities for green energy in Alberta. • Doug Griffiths, author of 13 Ways to Kill Your Community presented on the ways in which communities can prepare to grow in a changing world of technology, demographics, and culture.
Speaker Doug Griffiths talks about how Everything is About to Change.
18
Labour Deputy Minister Jeff Parr speaks with Lethbridge Chamber of Commerce guests.
Economic Development and Trade Deputy Minister Jason Krips takes questions from guests during the Deputy Ministers’ Dinner.
19
ADVOCACY
Link to Policies
The Alberta Chambers of Commerce advocates to our provincial and federal governments on behalf of our federation. Our advocacy is based on the policies developed by individual chambers and approved by our federation at our annual policy session. Policies remain active for three years, unless the recommendations are acted upon. ACC’s Executive Committee discusses our
• After the release of Budget 2016, we
policies during meetings with Ministers
developed an infographic comparing our
and other elected officials. President and
federation’s budget priorities to the budget.
CEO, Ken Kobly, represents the ACC on government committees and participates in consultations. We make regular policy submissions to government and meet with officials. In 2016, the following were some of the advocacy activities and key issues for our federation:
• Minister Deron Bilous of Alberta Economic Development and Trade, presented at ACC`s Fall Board Meeting for the second year in a row. • The ACC conducted its second and third survey on the expected impacts of minimum increases. Submissions were sent to the Government based on the results of
• A provincial budget submission was
each survey. Click here to view the ACC’s
sent to and a meeting held with Alberta’s
second minimum wage survey submission
Finance Minister, Joe Ceci, in February.
and the third minimum wage survey
• A federal budget submission was sent to Federal Finance Minister, Bill Morneau. ACC President and CEO, Ken Kobly, testified before the Government of Canada’s Standing Committee on Finance
MLA Prasad Panda, Wildrose Economic Development Critic.
20
submission.
• Letters to all provincial ministers with policies pertinent to their ministries. • Significant issues this year included: cost increases caused by higher taxes and policy changes (including minimum wage increases and the introduction of a carbon tax), establishing fiscal balance and responsibility in Alberta’s budget, how to reinvest revenues from Alberta’s carbon levy, the approval of trade infrastructure for oil exports, and the renewal of the National Energy Board. Advanced Education Deputy Minister Rod Skura, Education Deputy Minister Lorna Rosen, and other Government staff.
Policy successes in 2016: • The Student Temporary Employment Program was reinstated • Public investments in Alberta’s infrastructure were maintained • Financial support for diversified petrochemical industries was announced • The introduction of the Alberta Investor Tax Credit and the Capital Investment Tax Credit • Protection for critical tax benefits/credits affecting business sponsored employee benefits • The Province implemented several budget recommendations (see ACC`s attached infographic)
Finance Minister Joe Ceci during Budget 2016 meetings with the ACC.
ACC meets with Labour Minister Christina Gray and Government staff to discuss minimum wage increases.
21
POLICY COMMITTEE
The Alberta Chambers of Commerce’s Policy Committee meets regularly to discuss issues affecting business, advocacy activities, and policy development. ACC encourages every chamber to consider
Our Committee has identified six strategic
appointing at least one representative to
priorities for our policy and advocacy
the Policy Committee as the committee’s
initiatives.
effectiveness expands with its membership. While the Policy Committee generally works on a consensus basis, chambers hold voting privileges, which are exercised when situations arise which require a vote. The ACC is always pleased with the level of chamber interest in the Policy Committee.
i.
Job Enhancement, Creation, and Retention
ii. Economic Diversification and Development iii. Environmental Stewardship and Resource Development iv. Market Access and Competitiveness
For 2016/17, the committee had 40
v. Fiscal Responsibility
representatives from 22 chambers.
vi. Infrastructure Development
22
The committee meets regularly through
This year, volunteers from across the ACC’s
conference calls until May, and then gathers
network participated in working groups
for an in-person meeting the day before the
whose goal was to provide submitting
Annual Policy Session.
chambers critical feedback on proposed
Meetings include roundtables, where
policy resolution.
chambers discuss their local advocacy
The ACC appreciates Chambers’
efforts, the economic situation in their
participation in the Policy Committee
region, and emerging concerns in their
because this group’s work provides us with
communities.
the ability to recognize and react to issues
The committee also meets as required
facing Alberta’s business community.
when ACC needs to obtain feedback and direction on emerging issues not addressed by existing policy. As the February policy submission deadline approaches, participating in the committee allows chambers to work together to develop policies of common interest. Chambers submit proposed policies to ACC in February and the Policy Committee determines whether they meet the required criteria for presentation at ACC’s Provincial Conference and Policy Session in May.
The 2016/17 Policy Chair is Chris Dugan of Sherwood Park, Principal of Case Receivable Management Inc.
23
POLITICAL ACTION DAY AND MLA DINNER
Deputy Premier Sarah Hoffman and members of the government caucus attended the evening MLA Dinner on Political Action Day 2016. The day’s activities featured leaders from Alberta’s other political parties and presentations from media leaders on how to improve the network’s advocacy efforts. Here are some highlights of the event: • Leader of the Wildrose Party and Official
• Before dinner, Deputy Premier Sarah
Opposition, Brian Jean, was the keynote
Hoffman gave a speech and then kicked
speaker for the day’s luncheon. Greg Clark
off a question-and-answer session.
of the Alberta Party and Liberal Party
Topics for the Q & A included the climate
leader Dr. David Swann each participated
leadership plan, minimum wage increases,
as speakers during the day’s education
support for rural communities, and market
sessions.
access for Alberta energy products.
• A media panel followed the leaders, with the Edmonton Journal’s Graham Thompson and 630 CHED’s Ryan Jespersen. Crystal Rhino, Managing Editor with the Red Deer Advocate presented on how chambers may engage local media. • The evening saw 251 guests arrive for a reception and the MLA Dinner. Deputy Premier Hoffman, 9 out of 18 Provincial cabinet Ministers, and nearly all Government MLAs visited before and during dinner with representatives from 22 chambers, as well as corporate members and other guests.
24
Deputy Premier Sarah Hoffman takes questions from guests during the MLA Dinner.
Media panelists Ryan Jespersen (R) and Graham Thompson (M) discuss the political landscape in Alberta and Canada.
Brian Jean, leader of the Wildrose Party, speaks to guests during lunch.
25
25TH ALBERTA BUSINESS AWARDS OF DISTINCTION
The Alberta Chambers of Commerce presented the 25th Alberta Business Awards of Distinction on February 26th, 2016 in Edmonton. 263 guests joined us for the event.
Aboriginal Relations- Best Practice Award of Distinction IN PARTNERSHIP WITH THE ALBERTA GOVERNMENT
Western Manufacturing Ltd. (Hythe) Arts & Culture Award of Distinction IN PARTNERSHIP WITH THE ALBERTA GOVERNMENT
Medicine Hat JazzFest (Medicine Hat) Diversity Leadership Award of Distinction IN PARTNERSHIP WITH ALBERTA HUMAN RIGHTS
DynaLIFEDx (Edmonton) Eagle Feather Award of Distinction IN PARTNERSHIP WITH SAWRIDGE GROUP OF COMPANIES
ICESIS Safety (Fort MacKay) Employer of Persons with Disabilities Award of Distinction IN PARTNERSHIP WITH THE ALBERTA GOVERNMENT
Grande Prairie Golf and Country Club (Grande Prairie)
The event was held at the Edmonton Airport Renaissance Hotel.
26
Employer of Youth Award of Distinction IN PARTNERSHIP WITH THE ALBERTA GOVERNMENT
Integra Engineering Ltd. (Lloydminster) Export Award of Distinction IN PARTNERSHIP WITH THE ALBERTA CHAMBERS OF COMMERCE
ViewTrak Technologies Inc. (Edmonton) Marketing Award of Distinction IN PARTNERSHIP WITH THE ALBERTA CHAMBERS OF COMMERCE
Champion Petfoods LP (Morinville/ Edmonton)
Winner of the 2016 Premier’s Award of Distinction – Western Manufacturing Ltd. – Hythe, AB.
Finalists enjoy the reception before the awards program.
Small Business Award of Distinction IN PARTNERSHIP WITH THE ALBERTA GOVERNMENT
Collegiate Sports Medicine (Red Deer) Young Entrepreneur Award of Distinction IN PARTNERSHIP WITH THE ALBERTA CHAMBERS OF COMMERCE
Screamin Brothers Ltd. (Lethbridge) Premier’s Award of Distinction IN PARTNERSHIP WITH THE ALBERTA GOVERNMENT
Western Manufacturing Ltd. (Hythe)
27
ALBERTA CHAMBER EXECUTIVES
The Alberta Chamber Executives (ACE) is an association of chamber staff from across the province. Through membership in ACE, chamber professionals are provided with opportunities to share ideas and management strategies.
The Alberta Chamber Executives (ACE)
Debra deWaal helped us live up to our full
is an association of chamber staff from
potential and kept us laughing out loud.
across the province. Through membership
Pamela Brace and Amanda Flynn got us in
in ACE, chamber professionals are provided
competition mode playing the Chambers
with opportunities to share ideas and
version of Family Feud. Christopher Palin
management strategies.
and Shannon Preus, with the BDC helped
ACE members gather every year for a professional development summit, where they participate in discussions and partake in professional development sessions. The Lacombe and District Chamber of Commerce hosted the 2016 ACE Summit from July 13 to 15. The 47 participants at the 2016 Summit took part in a variety of fabulous and fun educational sessions. We had Kristin Cummings with Cantos Performance Management, share her Intergenerational Communication presentation – who knew statistics could be so cool! The very spirited
2016 Alberta Executive of the Year ACE President, Sherri Bohme, presents the ACE Executive of the Year Award to Jennifer Garries, Executive Director of the Leduc Regional Chamber of Commerce.
28
us consider our Clients Experience when dealing with each of our chambers. We tasted some local brewed Craft beer, went to a farm and a fabulous historic house for supper.
ACE members engage in interactive learning during an ACE Summit education session.
ACE Past Presidents, Lisa Kowalchuk of Medicine Hat and Sharon Anderson of Camrose, show some chamber love.
While the ACE Summit is the most comprehensive gathering of chamber professionals, the organization also holds meetings in conjunction with the Alberta Chambers of Commerce’s events. Its executive committee meets monthly via teleconference. The 2017 ACE Summit will be held in Fort Saskatchewan July 12 to 14. We look forward to another great year of education, professional development and friendship building. Registrations for the Summit are available on the ACC website.
Visit abchamberexecutives.ca for more information about ACE. At the Chair’s Dinner, held annually during the ACC`s provincial conference, ACE presents an annual award to a chamber executive chosen by his or her peers. Annual nomination forms are available each spring.
29
SPONSORSHIP OPPORTUNITIES
The Alberta Chambers of Commerce hosts a variety of events each year in order to raise the profile of Alberta business in our province and across Canada. These functions include: Alberta Business Awards of Distinction
Provincial Conference & Policy Session
The most influential business awards in
Our three-day conference sees chamber
the province are presented annually by
representatives gather for education
the Alberta Chambers of Commerce.
sessions, networking opportunities, our
Recognizing excellence in Alberta’s
Annual General Meeting, and the annual
business community, the Award Gala is
policy session. The conference concludes
attended by over 250 business leaders
with the Chair’s Dinner and presentation of
and government representatives. The
the Chamber of the Year Awards.
highlight of the gala is the presentation of the Premier’s Award of Distinction.
Fall Board Meeting and Deputy Ministers’ Dinner
Political Action Day
This full-day function begins with education
The leaders of Alberta’s opposition
sessions with knowledgeable and respected
parties attend Political Action Day
experts. The Deputy Ministers’ Dinner in
during the daytime portion of the event
the evening provides an opportunity to
to speak to our guests and answer
network with the provincial officials who
questions. The evening includes a
lead Alberta’s ministries and ask them
networking opportunity with members
technical questions on policy impacting
of the provincial government caucus
Alberta business.
during a cocktail reception and dinner. This function offers an excellent opportunity to meet one-on-one with key government leaders.
MP Dinners These dinners offer our guests an opportunity to discuss matters of national importance with members of the federal government’s Alberta caucus.
30
CORPORATE MEMBERS 50freecalls*
Fairmont Hotel Macdonald
ADTEL Inc.
Foresight Canada
Alberta Chamber of Resources
Graymont Western Canada Inc.
Alberta Hotel & Lodging Association
HRIA
Alberta Motor Association
HRPA*
Alberta Real Estate Association
Indus Travel*
Alberta Road Builders & Heavy Construction Association
INSTIT
Alberta School Boards Association Alberta Urban Municipalities Association Alberta Weekly Newspapers Association AltaSteel APEGA(Association of Professional Engineers, Geoscientists of Alberta) ATB Financial ATCO Electric ATCO Gas Athabasca University Axia SuperNet Ltd. Bennett Jones Verchere LLP BDC Border Paving Ltd. Building Trades of Alberta Canadian Home Builders Association CN Cenovus Energy Inc. Chartered Professional Accountants (CPA) Chevron Canada Resources City of Edmonton College of Physicians & Surgeons Concordia University College of Alberta Constant Contact Coril Holdings Ltd. Credit Union Alberta Central Dentons Canada LLP Doyle & Company DynaLifedx Edmonton Airports Enbridge Inc. EnCana Corporation
Kinder Morgan* Marasco Consulting Ltd.* Matheson Insurance/ Sherwood Park Registries* Mac’s Convenience Stores Inc. Manulife Financial McLennan Ross LLP Micronet Inc. Northern Alberta Institute of Technology NorQuest College Oxford Properties Group Purolator Courier Ltd. PwC RBC Financial Group Robinson Insurance Brokers Ltd. Rural Physician Action Plan (The Alberta) Scotiabank Servus Credit Union SMS Equipment Inc. Stantec Consulting Ltd. Suncor Energy Inc. Syncrude Canada Ltd. TELUS Corporation The Business Link TransCanada Pipelines WCG International Consultants Western Management Consultants Westin Hotel Edmonton Weyerhaeuser Canada Ltd. Willoughby & Associates Inc. Xerox, The Document Company Canada Yardstick Technologies Yellow Pages Group Corp.
EPCOR * NEW MEMBERS
31
VALUE-ADDED PROGRAMS PREFERRED MEMBER RATES FOR ALBERTA CHAMBERS MEMBERS
The preferred shipping partner of the Alberta Chamber of Commerce
visit Group Benefits with a Difference.
Simple. Stable. Smart.
Why Chambers Plan? Simple, Smart, Stable
Employee benefits are an important tool used by employers to attract new employees and retain experienced ones.The Chambers Group Insurance Plan is Canada’s largest group benefit program for small business, serving over 25,000 firms. If you are a Farm or Ranch we can build a plan for you too! Contact your local Chamber or visit www.chamberplan.ca for a free quote
Payment solutions you can rely on — As an Alberta Chamber Member, we know you work hard for your busienss, your employees and your family. And we think you deserve a break. MEMBERS BENEFITS: • Merchant Solution rates starting at 1.47%, Interac $0.05 • No Set-up fees for your merchant account • Unlimited Business Banking Account for only $30/month (regular price $60/month) • No Annual Fee on an ATB business MasterCard for one year Call 1-855-941-4912 or e-mail
[email protected] A benefit Opportunity Audio Conferencing, Web Collaboration, Webinar Services
The Alberta Chambers of Commerce has created an Audio Conferencing, Web Conferencing and Webcasting Affinity Prorgam for its members. This includes: THIS INCLUDES: • 3.5¢/min Audio Confercing rate for Chambers • 4.5¢/min Audio Conferecing rate for Chamber Members • Electronic Invoicing, bilingual operator assistance, no contracts or activation fees Call 1-855-253-4780 x 9771 or phowser@evolvecollaboration
Chamber Merchant Services: credit card processing to help drive Business Success Let us analyse your latest statement and we will meet or beat your current rates. Visit www.chambermerchantservices.ca, email
[email protected] or call 1-888-265-4117
32
As a member of your local chamber of commerce you can receive volume discounts up to 30% on Purolator Express® and Purolator Ground® services. Use the Purolator Mobile App, E-Ship Services and Online Billing options Visit www.Purolator.com/acc for more information or to register your business
“Opportunity Rings” with the On Hold Marketing Program; Chamber Members save 20% Professional on hold messaging is an excellent way to boost sales, reduce hang-ups and enhance your corporate image. Ask about our computer networking services, paging systems, accessories and digital signage solutions. Visit www.adtel.com or call Gerry Gerling or Betty Ferraton @ 1-800-661-9999 use Promo Code: SAVE20ACC
Email-Events-Social Media-Surveys A complete marketing solution that helps you and your members connect with customers and build your business. Save up to 25% when you sign up through your local Chamber of Commerce, even if you’re already a Constant Contact user! Visit www.ConstantContact.com/partners/chamber or call 1-800-221-2793. Email
[email protected]
Maintain Control, save time and money with Esso Business Cards Whether you’re a single sales force or a large fleet Esso will give you exceptional fuel savings and help you manage your costs. Esso proudly has over 1800 stations across Canada. Member businesses and their employees save 3.5¢/litre off retail posted prices. Visit www.essofleetoffers.com/AB-CHAMBER/ to learn more or sign up today
Fuel Discount Program Realize significant savings, convenience, control and security. Discounts of $0.02/litre on all grades of gas and diesel, 20% discount on car washes and 3% discount on vehicle propane. Petro-Canada also introduces their pre-paid card, available in denominations of $10, $25, $50 and $100. A minimum of 200 litres/ month must be purchased to qualify for this discount. Visit your local Chamber to apply now
Fuel Discount Program
Husky is very pleased to present a Group Plan commercial credit card program to all Chamber of Commerce members. Receive a $0.02/litre discount with no minimum volume requirements at any Husky/Mohawk location. Other benefits include saving time, getting great service, and enjoying quality products while working with a great business partner. Canadian owned! Visit your local Chamber to apply now
Fuel Discount Program
Event-Facility Rental Insurance • Directors & Officers Liability ª General Liability Insurance. Contact Wanita Quaia at 780.930.4399 x 4399 or
[email protected]
Preferred Rates for your Chamber and your members Insurance needs
It’s easy with VersaPay! VersaPay is pleased to offer ACC members in good standing preferential rates on Visa, MasterCard and Interac merchant processing. Visa and MasterCard 1.49% + 10¢ per transaction under $100 ATS Interac 0.04¢ per transaction. $34.99/month for high speed terminal. Call Derek Nyen 866-489-6607 or visit www.versapay.com
Welcome to your group advantage® Did you know that Matheson Insurance has partnered with Economical Select® to offer members of the Alberta Chamber of Commerce exclusive group rates on car and home insurance? That means you can enjoy: • A discount on car insurance • A discount on home insurance • Potential extra savings when claims-free, conviction-free, or bundling multiple policies • Contact Geoff today to see how much you could save! Phone 780-417-2144 Email
[email protected]
Best Rate Home & Auto Insurance Johnson Inc. offers Chamber members discounted Home and Auto insurance. In addition to exceptional coverage and premiums, Johnson Inc. also offers 1 Air Mile for every $20 in premium. Ask about coverage for your pet. Pets Plus Us offers peace of mind for your favorite furry friends. Quotes available by telephone 1-800-563-0677, or visit www.Johnson.ca/acc to access rate information
A Membership Opportunity! Members have an Audio, Web and Video Conferencing Affinity program 5.0¢ Audio Conferencing Rate; that is 45% below the industry average for rates. Contact Pamala Mathews @ 1-877-299-7070 ext. 4018 or
[email protected]
Not Just a service provider your business partner Canadian-owned Payworks provides comprehensive, innovative, and integrated online Payroll, HR, and Employee Time Management solutions to businesses across Canada. Our integrated online solutions increase payroll accuracy and reduce costly errors. They are easy to use, and like all Payworks solutions, they are backed by unparalleled client support. Our goal is to help you run your payroll as quickly and easily as possible, while maintaining the highest levels of accuracy, reliability, and service. Contact Devin Chatterjee @ 1-866-729-9679 or Angela Peskett @ 1-877-499-8130
[email protected] or
[email protected]
ACC negotiates value-added programs on behalf of the province’s chamber federation. These programs are available to business members of Alberta’s community chambers.
33
MANAGEMENT’S DISCUSSION AND ANALYSIS MARCH 27, 2017
The following is a discussion of the strategic plan and 2017 outlook, as well as the financial position, results of operations, and cash flows for the year ended December 31, 2016, for ACC. ACC reports its financial results under Canadian accounting standards for not for profit organizations. ACC OVERVIEW, MISSION & OBJECTIVES,
ACC VISION
GOVERNANCE AND STRATEGY
“The Alberta Chambers of Commerce, will
ACC is a federation of 124 community
be the premier organization representing
chambers of commerce, which in turn
Alberta business.”
represent approximately 24,000 businesses in Alberta. In addition, ACC also has 78 corporate members who are also members of a community chamber. ACC is a not-
WHAT WE STAND FOR • Professionalism
for-profit, self-governing organization
• Honesty, trust and integrity
incorporated under the Societies Act of
• Teamwork and mutual respect
Alberta. MISSION
• Achievement and continuous selfimprovement
“The Alberta Chambers of Commerce, a
• Respect and dignity
federation of community chambers, is the
• Diversity
advocate for Alberta business.”
• Transparency
ACC exists to provide support to our federation of chambers. ACC has at least one community chamber in each federal and provincial electoral riding. These facts, coupled with the reality that the policies we advocate for are grassroots-driven, permit us to be the premier advocate for business in Alberta.
34
KEY PERFORMANCE DRIVERS As an organization operating in the notfor-profit sector, ACC is not driven solely by financial results, although financial indicators are relied upon to ensure the resources entrusted to it are used in an efficient and appropriate manner. Several
non-financial indicators are also used and play a significant role in what drives the organization and how performance is gauged. ACC annually reviews, through a review of its strategic plan, its deliverables and priorities to ensure these continue to be wellaligned with its mandate. Ensuring ACC accomplishes what it sets out to do is one of its most important performance indicators. Specific deliverables are
• Build on policy advocacy and community chamber involvement. • Promote confidence in ACC. • Ensure sufficient financial resources to achieve objectives. • Support and develop the “chamber federation” concept. STRATEGIES
identified, along with the projected
To accomplish our objectives, ACC will:
resources needed and the time horizon
• Encourage and promote professional
expected. Deliverables are expected to
development for volunteers and staff.
be completed on time, within budget, and at the highest quality possible. OBJECTIVES To achieve this mission, ACC will: • Serve ACC stakeholders (chamber members, corporate members, sponsors, industry and government). • Build the relationship and continuity which has been established with media; be the “first call” on business issues. • Provide responsive and informed policy comment and advocacy. • Continue to strengthen the identity and style that encourages program participation and influence.
• Develop a new activity or undertaking to advance the ACC profile and relevance to members. • Consider a new event to create revenue and profile for the ACC (combined with) increasing profile, relevance, impact and worth of events. • Continue to improve media relations, explore new media opportunities, and monitor success of media strategy. • Search for new strategies to get ACC’s message to decision makers of all political stripes and orders of government. • Increase effective two-way contact with community chambers.
35
GOVERNANCE
CAPABILITY TO DELIVER RESULTS
The ACC Board of Directors consists
ACC’s capability to deliver results is
of the elected Presidents/Chairs of
discussed in four areas: Capital Resources
each of the 124 community chambers
and Liquidity; Net Assets; Non-Financial
of commerce in the province. The
Resources; and Systems and Processes.
term served on ACC’s board coincides with their term as President/Chair of a community chamber. The board elects a six-member Executive Committee to conduct business and represent ACC (see Page 2 for members). HUMAN RESOURCES PERFORMANCE
CAPITAL RESOURCES AND LIQUIDITY At December 31, 2016, ACC had a cash and cash equivalent balance of $897,868 versus $813,486 at December 31, 2015. ACC’s marketable investment consists solely of fixed income GIC’s which will mature from January 2017 to May
The quality of ACC’s work environment
2018 and have interest rates of .85% to
and its ability to attract and retain highly
2.00%. ACC accounts for its marketable
skilled people are important indicators
investments at fair value. During the year,
of ACC’s capacity to deliver results. The
ACC acquired property and equipment
appropriateness and level of support
totaling $25,602 ($0 – 2015). ACC
for staff training and development; fair
believes that its current cash balance and
and reasonable working conditions and
anticipated cash flow from operations is
compensation practices; staff morale;
sufficient to meet its working capital and
and staff turnover all help to gauge
capital expenditure requirements. Current
ACC’s success at providing a high-
Assets at December 31, 2016, were
quality working environment.
$547,752 ($417,468 – 2015) and Current Liabilities at December 31, 2016, were
FINANCIAL PERFORMANCE ACC sets financial targets annually through the budget process. ACC’s performance is determined by the extent to which financial objectives identified in the budget for the fiscal year are met and how effectively the financial resources of ACC are managed. Measurement is based on actual financial results for the year, compared to the budget and prior year.
36
$255,175 ($164,651 – 2015). This indicates an increase in liquidity of the organization in the amount of $39,760 when we compare December 31, 2016, to December 31, 2015.
NET ASSETS
NON-FINANCIAL RESOURCES
Net assets at December 31, 2016,
ACC relies heavily on experienced
amounted to $831,467 ($776,524
volunteers and employees to enable it
– 2015) and consisted of $38,890
to carry out its mandate. ACC has an
($23,706 – 2015) invested in capital
experienced team of directors, staff and
assets, $500,000 ($500,000 – 2014)
volunteers, and well-developed processes.
of internally restricted net assets and $292,577 ($252,818 – 2015) of unrestricted net assets. Unrestricted net assets and internally restricted assets increased during the year, principally as a result of our operating results being $54,015 better than budget. UNRESTRICTED NET ASSETS AND INTERNALLY RESTRICTED NET ASSETS
SYSTEMS AND PROCESSES ACC maintains systems of internal accounting and administrative controls of high quality, consistent with reasonable cost. Such systems are designed to provide reasonable assurance that the financial information is relevant, reliable and accurate and that ACC’s assets are appropriately accounted for and adequately safeguarded. ACC believes there are no deficiencies that
ACC believes that unrestricted net
would impair its ability to provide reliable
assets should be maintained to ensure a
and timely disclosure or affect its ability to
stable financial base sufficient to:
execute its strategic plan.
• Avoid major fluctuations in member fees from year to year. • Cover unpredictable costs. • Finance property and equipment purchases. Further, ACC believes that net assets should be restricted to an amount equivalent to three to six months operating expenses. As ACC is dependent upon its events as a major source of income, net assets have been restricted in the amount of $500,000 in the event one of our events is cancelled or financially compromised.
2017 BUDGET SUMMARY The 2016 budget was distributed to all community chambers in December 2016. The accounting policies applied in preparation of the budget are consistent with those applied in the financial statements for the year ended December 31, 2016, as stated in the notes to the financial statements. However, as with any budget, actual results for 2017 may vary from the information presented. Ongoing reporting is presented at every board meeting and quarterly financial statements are mailed to all community chambers.
37
RESULTS YEAR ENDED DECEMBER 31, 2016 The net favourable variance from 2016 budget to 2016 actual was $54,015 The favourable variance is the equivalent of 4.2% of budgeted expenditures. Major categories contributing to this overall positive variance are as follows: Event Income vs. expenditures
negative variance
$(43,349)
Group Insurance Admin. Fees
positive variance
2,301
Other Revenue
positive variance
36,744
Membership Fees (Corp & Chambers)
negative variance
(1,692)
Travel Staff and Executive
positive variance
43,157
Salaries and Benefits
negative variance
(12,201)
Bad Debts
negative variance
(11,346)
Rent
negative variance
(594)
Amortization
negative variance
(3,218)
Other Expenses
positive variance
44,213
FUNDING AND FINANCIAL RISKS
ACC volunteers are valuable resources
ACC relies on member fees, event
to ACC. A risk exists that, in the future,
registrations and sponsorships, and value-added program administration fees. We have cautious optimism for 2017, however, ACC will need to, just as any other Canadian organization or business, continue to be mindful of expenditure control. HUMAN RESOURCES ACC depends on the services of volunteers to carry out some of its objectives. The talent and expertise of
38
needed volunteers may not be as willing or able to devote their time and talents to ACC. Without these valuable resources, there is a further risk that knowledge would be lost and significant cost would be incurred by ACC. Volunteer recruitment and board orientation and training programs are used to help manage risk in this area. ACC wishes to express its appreciation to all volunteers who give of their time to benefit and strengthen the federation.
FORWARD-LOOKING STATEMENTS
The use of International Financial Reporting
Certain statements in this Annual Report
Standards (IFRS) is now required for
and this Management Discussion & Analysis are forward-looking statements subject to risks and uncertainties. A number of factors could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, fluctuation in the number of community chambers and corporate members, as well as sponsorship decisions
publicly accountable profit-oriented enterprises. The framework for not-forprofit organizations is presently defined by CICA section 4400 – 4460 and these sections have been adopted by ACC. As the premier business organization in Alberta, we felt it important, although not required, to publish this Management Discussion and Analysis.
of our valued sponsors.
Today, 124 chambers of commerce belong to Alberta’s chamber federation, making us the largest business network in our province. Our members stretch across the province and, in turn, represent the 24,000 local businesses that work every day to drive Alberta’s economic engine.
39
INDEPENDENT AUDITOR’S REPORT
INDEPENDENT AUDITOR'S REPORT
To the Members of Alberta Chambers of Commerce We have audited the accompanying financial statements of Alberta Chambers of Commerce, which comprise the Statement of Financial Position as at December 31, 2016 and the Statements of Operations, Change in Net Financial Assets, and the Statement of Cash Flows for the year then ended, and a summary of significant accounting policies and other explanatory information.
Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with Canadian accounting standards for not-for-profit organizations, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
Auditor's Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian Audit Standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparations and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Opinion In our opinion, these financial statements present fairly, in all material respects, the financial position of the Alberta Chambers of Commerce as at December 31, 2016, and its financial performance and its cash flows for the year then ended in accordance with Canadian accounting standards for not-for-profit organizations.
Edmonton, Alberta March 27, 2017
40
Chartered Professional Accountants
Alberta Chambers of Commerce
Alberta Chambers of Commerce
Statement of Change in Net Assets
Statement of Financial Position
For the year ended December 31, 2016
As at December 31, 2016 2016
2015
145,476 69,592 182,800 103,384 7,969 3,520 35,011
187,108 2,794 123,584 62,270 2,457 3,968 35,287
547,752
417,468
$
Current Assets Cash Restricted funds (Note 3) Short term investments (Note 4) Accounts receivable GST receivable Inventory Prepaid expenses
Capital assets (Note 5) Long term investments (Note 4)
Liabilities Accounts payable Chamber relief trust (Note 3) Deferred revenue (Note 6)
Net Assets Equity in unrestricted net assets Equity in internally restricted net assets (Note 7) Equity in capital assets
$
38,890
23,706
500,000
500,000
1,086,642
941,174
69,055 69,592 116,528
41,998 2,823 119,830
255,175
164,651
292,577 500,000 38,890
252,818 500,000 23,706
831,467
776,524
1,086,642
941,175
Balance, beginning of year Excess of revenue over expenses Capital asset additions Current amortization Balance, end of year
Invested in Capital Assets $
Internally Restricted $
Unrestricted $
2016 Total $
2015 Total $
23,706
500,000
252,818
776,524
682,773
54,943 (25,602) 10,418
54,943 -
93,751 -
292,577
831,467
776,524
25,602 (10,418) 38,890
500,000
Approved by the Board of Directors:
___________________________________Chair: Sean Ballard
___________________________________Treasurer: Rosetta Taylor
The accompanying notes form part of these financial statements.
1.
The accompanying notes form part of these financial statements.
Alberta Chambers of Commerce
Alberta Chambers of Commerce Statement of Operations
Statement of Cash Flows
For the year ended December 31, 2016
For the year ended December 31, 2016
Revenue Community chamber memberships fees Corporate membership fees Event registrations and sponsorships Group insurance administration fee Interest Value added administration fees Other revenue
Expenditures Amortization Bad debts Bank charges Communications Corporate relations and promotions Equipment leases Events Insurance Office Professional fees Rent Salaries and benefits Staff training Subscriptions and memberships Travel - executive Travel - staff
Excess of Revenue over Expenditures
2.
2016 Budget (Unaudited) $
2016 Actual
2015 Actual
$
$
240,000 140,300 465,500 328,800 8,520 84,400 30,000
239,133 139,475 342,818 331,101 9,914 72,293 77,457
237,603 134,000 370,560 327,481 8,938 87,873 47,572
1,297,520
1,212,191
1,214,027
7,200 3,000 17,296 31,000 29,900 290,800 4,800 27,000 18,600 64,200 651,159 12,000 21,722 62,100 55,815
10,418 11,346 4,004 12,023 5,944 26,999 211,467 4,278 26,726 18,815 64,794 663,360 8,813 13,503 27,774 46,984
7,810 7,460 3,228 14,020 3,535 26,045 270,905 4,661 18,905 18,593 63,124 596,740 1,050 13,255 33,831 37,114
1,296,592
1,157,248
1,120,276
928
54,943
93,751
The accompanying notes form part of these financial statements.
2016 $
2015 $
1,152,349 (1,052,280) 9,914
1,267,148 (1,085,805) 8,938
Operating Activities Cash received from fees, registration, and sponsorships Cash paid to suppliers and employees Interest received
109,983
190,281
(59,216) (25,602)
(108,938) -
(84,818)
(108,938)
Investing Activities Decrease (increase) in investments Purchases of capital assets
Increase (Decrease) in Cash During the Year
25,165
81,343
CASH - Beginning of year
189,902
108,559
CASH - End of year
215,067
189,902
145,476 69,592
187,108 2,794
215,068
189,902
Cash is comprised of: Cash Restricted cash (Note 3)
The accompanying notes form part of these financial statements.
3.
4.
41
Alberta Chambers of Commerce
Alberta Chambers of Commerce
Notes to the Financial Statements
Notes to the Financial Statements
December 31, 2016
December 31, 2016
Description of the Organization Alberta Chambers of Commerce ("Alberta Chambers") is incorporated under The Societies Act of Alberta as a non-profit, non-taxable organization. Alberta Chambers establishes and maintains a reciprocal relationship with local community Chambers and Alberta businesses in order to lobby effectively on behalf of businesses at the provincial and national government levels. 1.
Significant Accounting Policies
2.
(f)
3.
Restricted Funds and Chamber Relief Trust The restricted funds are held for the Chamber Relief Trust. Alberta Chambers collects donations on behalf of local chambers when emergency situations occur. Funds collected are used to support the viability of affected chambers. This year, approximately $107,000 were collected subsequent to the Fort McMurray wildfires. As of December 31, 2016, $40,000 has been distributed to the Fort McMurray Chamber. Any funds not accessed by Fort McMurray Chamber will be retained in trust for future emergencies.
(a) Amortization
Computer Hardware Computer Software Office Equipment
Inventory Inventory is recorded at the lower of cost and net realizable value. Cost is determined using the first in first out method.
These financial statements have been prepared in accordance with Canadian Accounting Standards for Notfor-Profit Organizations ("Part III") of the CPA Canada Handbook - Accounting. Significant accounting policies are described below: Capital assets are recorded at cost and amortized annually with a corresponding reduction in Equity in Capital Assets. Assets are amortized over their expected useful life using the declining balance method at the following annual rates, except in the year of acquisition when one-half the normal rate is applied. No amortization is recorded in the year of disposal.
Significant Accounting Policies (continued)
4.
Investments Investments represent Term Deposits with a range of maturity dates from January 2017 to May 2018 and interest rates of 0.85% to 2.00%. A portion of the investments have been allocated to long term as they are internally restricted for net assets. 2016 2015 $ $
30% 100% 20%
(b) Revenue Recognition
Principal Accrued interest Beaumont Credit Union - Common Share Member
Alberta Chambers of Commerce follows the deferral method of accounting for revenue. Unrestricted contributions are recognized as revenue when received or receivable if the amount to be received can be reasonably estimated and collection is reasonably assured. Membership fees, which are voluntary, are recorded as revenue on a calendar year basis. The portion of membership fees collected in a current year that provide members benefits in the following year(s) are deferred and recognized as revenue in the year the benefits are received.
Long term portion - internally restricted Short term portion - unrestricted
680,155 2,620 25
621,832 1,728 25
682,800 (500,000)
623,585 (500,000)
182,800
123,585
Revenues and expenses related to projects or events are deferred until the fiscal year in which they take place. (c)
5.
Financial Instruments The financial instruments of Alberta Chambers of Commerce consist of cash, restricted funds, investments, accounts receivable, GST receivable, accounts payable, GST payable and deferred revenue. The fair value of these financial instruments approximates their carrying values, unless otherwise noted.
Computer hardware Computer software Office equipment Leasehold improvements
(d) Measurement Uncertainty The preparation of financial statements in conformity with Canadian accounting standards for not-forprofit organizations requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. (e)
Capital Assets Cost $
2016 Accumulated Amortization $
Net Book Value $
2015 Net Book Value $
92,669 31,791 73,817 13,190
70,519 30,300 64,646 7,112
22,150 1,491 9,171 6,078
10,548 5,560 7,598
211,467
172,577
38,890
23,706
Contributed Goods or Services The Alberta Chambers of Commerce receives the benefit of donated goods and services from individuals and organizations. The value of these contributed goods or services are recorded at fair market value in the financial statements. Any volunteer time is not reflected in these statements.
5.
6.
6.
Alberta Chambers of Commerce
Alberta Chambers of Commerce
Notes to the Financial Statements
Notes to the Financial Statements
December 31, 2016
December 31, 2016
Deferred Revenue
9.
The following funds have been deferred and will be recognized as revenue in the year which the related expenses are incurred.
Alberta Business Awards Dinner (ABAD) Annual General Meeting (AGM) Oxford Tenant Improvements Political Action Day (PAD) Service Provider
7.
2016 $
2015 $
55,500 26,719 7,500 26,809
30,000 15,000 74,830
116,528
119,830
The landlord will credit to the Alberta Chambers of Commerce a leasehold improvement allowance of $20.00 per square foot upon the occurrence or satisfaction of some criteria in the agreement of which one is the commencement of the extension period (February 1, 2016 - January 31, 2021). Alberta Chambers of Commerce does not plan to do any leasehold improvements during the extension period so the amount of the allowance ($48,580) will be credited against the monthly lease payments over 60 months. The above table shows the annual effect of the landlord crediting the leasehold improvement allowance against the rent. 10.
Credit Risk
Equity in Internally Restricted Net Assets
Interest Rate Risk Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in interest rate. Alberta Chambers of Commerce is exposed to interest rate risk on any of its fixed and/or floating interest rate financial instruments.
Line of Credit The Alberta Chambers of Commerce has an operating line of credit with TD Canada Trust. The limit is $25,000 and the interest rate is prime plus 1.0%. At the end of the year $0 (2015 - $0) of the line of credit was used.
9.
Market Risk Market risk is the risk that the fair value or future cash flows of Alberta Chambers of Commerce financial instrument will fluctuate because of changes in market prices. Some of Alberta Chambers of Commerce financial instruments expose it to this risk which comprises currency risk, interest rate risk, and other price risk.
Lease Commitment Alberta Chambers has committed to lease payments for both office space and equipment. The office equipment lease expires April 2020 and the lease for office space expires January 2021. The annual operating costs allocated by the landlord to the office space is not reflected below because this amount varies each year therefore only the basic office lease payments are reflected in the schedule. The organization is committed to annual future minimum lease payments under the lease as follows:
2017 2018 2019 2020 2021
Annual Minimum Payment $
Leasehold Improvement Allowance $
Net Annual Payment $
47,014 51,467 51,872 46,047 3,676
6,480 9,715 9,715 9,715 810
40,534 41,752 42,157 36,332 2,866
200,076
36,435
163,641
Liquidity Risk Liquidity risk is the risk that Alberta Chambers of Commerce will encounter difficulty in meeting its obligations associated with financial liabilities. Alberta Chambers of Commerce manages its liquidity risk by monitoring its operating requirements and cash forecasts to ensure it has sufficient funds to fulfill its financial obligations. 11.
Budget Figures The budget figures have not been audited and are for presentation purposes only.
12.
Comparative Figures Certain comparative figures have been restated to conform with the current year's presentation.
7.
42
Financial Instruments and Concentration of Risk Credit risk is the risk that one party to a financial asset will cause a financial loss for Alberta Chambers of Commerce by failing to discharge an obligation. The credit risk is mainly related to trade accounts receivable. Credit is provided to clients in the normal course of operations and the accounts receivables are assessed by Alberta Chambers of Commerce and they record any amounts that are not collectible in the allowance for doubtful accounts. The balance of the allowance for doubtful accounts as of December 31, 2016 is $0.
The internally restricted operating fund has been established by the Alberta Chambers of Commerce executive committee to cover the operating and administrative costs of the organization. The board has set aside $500,000 (2015 - $500,000) as a reserve to cover approximately three months of operating expenses. 8.
Lease Commitment - Continued
8.
ACC exists to provide support to our federation of chambers. ACC has at least one community chamber in each federal and provincial electoral riding.
1
facebook.com/ABChambersofCommerce twitter.com/albertachambers
ALBERTA CHAMBERS OF COMMERCE 1808, 10025 - 102A AVENUE EDMONTON, AB T5J 2Z2 PHONE: 780-425-4180 TOLL-FREE: 1-800-272-8854
www.abchamber.ca www.albertavision2020.ca www.abbusinessawards.com
