The American Numismatic Association board of governors quickly adopted a 2010 budget Oct. 13 that will show a small surplus in the fiscal year that begins Nov. 1.
ANA income will exceed expenses by $31,046 in the 12-month budget period. Expenses are expected to total $5,128,453.
There will be a transfer of $235,000 from the endowment to fund $235,000 in legal expenses projected in the budget but Shepherd pointed out that these numbers were reduced from levels of $700,000 to $800,000 in prior years.
Legal counsel Ron Sirna in his report to the board said that all of the legal costs stemming from the issues relating to Christopher Cipoletti’s time as executive director come to a cumulative total of $5 million to $8 million.
In contrast, Shepherd expects just an additional $95,000 for issues relating to Cipoletti in the present budget.
“We’re darn close to normal,” he said of the projected legal expenses.
Shepherd pointed out that the endowment once again has liquid assets of $8 million to $9 million in it earning income, and that income in the prior year exceeded the amount withdrawn through legal necessity.
Board members expressed their conviction that the days of dipping into principal were over and conferred among themselves as to what part of income could safely be withdrawn each year. No long-term decisions were made on this particular point during the discussions.