For the 12-month period ended Dec. 31, 2012, Local 802 realized a gain of $261,591. The union’s statement of activities (see page 39) is relatively consistent when comparing 2011 to 2012, with only a few notable changes. The most important change is the $510,018 increase in work dues from 2011 to 2012.

As I have mentioned in prior articles, the receipts system was updated and implemented in 2011, which resulted in an initial decrease in work dues. The new receipts system was necessary to ensure a more efficient and accurate depiction of work dues revenue going forward. Since 2012 was the first full year with the new system in place, work dues revenue showed a considerable 11 percent increase. The success of the work dues cash receipts system has made creating and implementing a new recording receipts system a priority. Local 802 hopes to implement the new recording receipts system by the end of this year.

The next significant change was the increase in investment revenue. All investments are managed on a day-to-day basis by Morgan Stanley, but the major decisions are ultimately made by the Executive Board. A strengthening economy and good decision making resulted in a total gain of $121,284 in 2012, consisting of a realized gain of $60,738 and an unrealized gain of $60,546. This is a sizeable increase of $100,093 when comparing 2011 to 2012. Additional information regarding investments can be found in the notes to the financial statements on page 41.

The final item I would like to highlight is the prior year restatement reflected in the financial statements. The 2011 restatement, as explained in note 13, is “to transfer to the General Fund investment income earned since 1996 and prior that was credited to the escrow payable account.” The end result is an increase in net assets of $624,663, and a decrease in the escrow and claims net assets of the same amount. This was a one-time adjustment, and resulted in a benefit to Local 802.