Association Management Challenges and Opportunities for ITS America Chapters

1
Association Management Challenges and
Opportunities for ITS America Chapters

• Thomas E. Kern
• Executive Vice President, ITS America
• November 2008

2
ITS America Chapters

• Mission to promote the effective deployment of
  intelligent transportation systems (ITS) to
  improve the safety, reduce congestion, promote
  energy savings, and protect the environment.  
• Unique position enables state and regional
  chapters to build a local network of peers from
  all sectors to exchange information and share
  ideas and best practices that advance ITS.

3
ITS America Chapters

• There are currently 24 ITS America chapters
  representing 35 states
• A list of these chapters is at
  http//www.itsa.org/chapter_roster/c427/About_Us/S
  tate_Chapters/Chapter_Roster.html

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ITS America Chapter Services

• Direct link to national organization and national
  exposure.
• Chapter rebate program each ITS America member
  can choose up to three state chapters to receive
  a 100 rebate from ITS America.
• Group tax filing through ITS America.
• Chapter marketing through ITS America website and
  publications.
• Exchange information and best practices with
  other ITS America State Chapters.
• Direct link to ITS America Board of Directors via
  State Chapters Council.
• Annual State Chapter Strengthening Workshop held
  in conjunction with the ITS America Annual
  Meeting.
• Free general liability insurance and discounted
  directors and officers insurance.
• Depending upon the dues level paid.

5
An Important Choice

• Many ITS America chapters are run by a cadre of
  volunteers
• A handful are run by volunteers along with a
  third party service provider or association
  management company
• What is right depends on each chapters
  circumstances, but it is always worth while to
  look at ones options

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When Considering Association Management Services

• What are the Chapters Demographics
• The chapters revenue base how many members does
  it have and how much is it able to generate
  yearly in dues and other income?
• What are the core services it is currently
  providing to its members?
• What are its current expenses to maintain the
  chapter and provide these services?
• What additional services would it like to provide
  if resources were available?
• A checklist on the chapters financial health can
  help frame its options.

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Core Services an AMC could Provide

• Membership Recruitment
• Website design, development or maintenance
• Database management
• Dues Collection (we emphasize pro-active dues
  collection to help keep the organizations
  solvent!)
• Membership Education
• Newsletters
• Student Education
• Member Education (workshops, courses, annual
  meetings, conferences, etc.)

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Core Services an AMC could Provide

• Financial Management
• Non-profit status (filing, insurance, taxes,
  etc.)
• Budget Oversight (preparation, tracking,
  quarterly or yearly summaries, etc.)
• Daily Financial Management
• Organizational Management
• Record Keeping (meeting minutes, filing system,
  etc. i.e., we provide the institutional
  memory that sometimes is lost when key members
  leave)
• Physical Office phone/fax/email where members
  can call with needs/questions/etc.

9
Core Services an AMC could Provide

• Organizational Management (continued)
• Board Administration administrative support to
  Board of Directors (annual reports, election
  coordination/oversight, presentation assistance,
  background/issue research, etc.)
• Outreach and Advocacy
• Outreach to the Public, Media, and potential
  members
• Advocacy (information-based engagement) in the
  legislative area
• Other forms of engagement

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Hiring an Association Management Company

• Prepare the Request for Proposal (RFP)templates,
  sample and online RFPs (complete with
  instructions) are available at www.amcinstitute.or
  g
• Distribute the RFP to vendors (lists available at
  the AMC Institute, in the booklet handed out at
  the Strengthening Workshop, and via local
  networking in a chapters geographic area)

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Some Questions to ask in an RFP to Help Estimate
Costs

• What is the typical range of costs to provide
  core administrative services for the chapter?
  Services would include
• Taking calls under the umbrella of the chapter
• Finances
• Basic communications/website services
• Meeting management (Board meetings, Annual
  Meeting)
• Other
• If Chapters were to start small with these
  arrangements, what would the levels of service
  look like?
• As additional or tiered services are made
  available, what would the costs associated with
  them be?
• Additional communications, Additional meetings,
  Advocacy, Other

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Hiring an Association Management Company

• Evaluate the proposals
• Years of Experience
• Client Mix
• Client loyalty
• Fees
• Tiering of services
• Negotiation skills with vendors
• Staffing options
• Capability and experience
• Leadership

13
Hiring an Association Management Company

• Notify all candidates once a decision is made
• Negotiate the agreement with the preferred
  provider
• If not mutually satisfactory, engage the second
  choice

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Tips in transitioning to an Association
Management Provider

• Assign a point person
• Obtain the providers transition checklist and
  review and agree on doable time frames
• Inventory the chapters documents and systems to
  facilitate the transition
• Undertake a transition in stages, depending on
  the time of year, financial constraints,
  priorities, etc
• Staging order might be membership, finances,
  education/communications, governance, and
  advocacy
• Anticipate problems and the reality of time needed

15
Looking Ahead

• What should the future relationship of ITS
  America and its chapters look like?
• What are other association models?
• programs
• membership
• finances
• Should ITS America provide association management
  services to those chapters that request it?
• Other questions?