November/December 2005 1 Executive Director 2 Associate Director 3 Membership 4 Publications 5 Sales and Events 6 Development 7 Financial Report 8 Action Plan return to memo region/section accounts board report addresses/phones

1. Update by the Executive Director Tim Merriman, Executive Director Budget and Cash Flow Many areas of income are performing better than expected and membership and NIW05 are well below projections. Grants and certification have performed much better than expected and will offset some of the shortfall in other categories. We will not know the overall outcome until end of December. Cash flow has been a problem with NIW revenue being very low. Low attendance also affected our membership growth that goes with that event. Many categories of expense are coming out very different than expected. This was our first full year in the new building and we are learning how differently expense performs with a different physical operation. Interest expense is much higher than anticipated due to the borrowing required to deal with cash flow problems resulting from lower membership and workshop income. The approval of a larger line of credit using building equity has guaranteed that we will go forward paying bills in a timely manner. Building Both of our leasees in the building, RMBO and NPCA, have contracts expiring this coming July. We are communicating with them now about their plans so we can determine whether to extend the lease for both of them. We will need additional space in the next year and will want to take over the smaller suite downstairs within the next year or 18 months. We have not determined exactly what will happen but both groups like this location. Consults and Grants We have billed the $25,000 to Downtown Development Authority for the RMRP Concept Plan and they have paid the full amount. We presented the concept plan to them on November 30 and they were very pleased with our work. We expect another $62,000 payment on the Definitions Project in December as well. We are in the process of negotiations with CSU to obtain our portion of grant funds issued to them for the EE curriculum project. We have begun discussions with USEPA about funding the digitization of all interpretive and EE literature for easy download from our website. We are hopeful that this project will develop. Definitions Project We have invited about 28 persons to participate in the Definitions Project and have 25 confirmed to attend the first session on January 5 and 6 in Fort Collins. This will be an important launch to this project to build consensus around nonformal education terminology. We also hope it will help us build more lasting relationships and collaborations with the many other associations who work in related areas to those of NAI's members. Legacy Trust Fund The Legacy Trust Fund now has $136,943 in gifts since first of the year with many other gifts pending. KC and Bonnie Den Dooven have pledged $100,000 to the LTF, which will substantially increase the fund. There were $48,000 in additional pledges to LTF at NIW 05. We believe annual goals will be greatly exceeded. For more information on Legacy Trust Fund click here. Networking The Korean trip lasted into the first week of October and included 12 NAI members in our travel/training group. Each of them have expressed to us how appreciative they are of being involved in that memorable experience. We have five potential training events that are likely to develop from the trip. If each one materializes, it could amount to as much as $60,000 in business. The long periods of travel allow very in depth conversations with the participants and works well in allowing us to network and talk about potential CIP and CIT courses. Lisa and I also attended NAAEE's meeting in early October in Albuquerque and we gave three presentations. We also had a trade show booth that was done as a trade with NAAEE that resulted in a good amount of book sales for NAI. NAAEE President Joe Baust plans to visit us in Fort Collins in January to talk about how they might learn from our business practices. They have recently let go their executive director and have begun a search for a new one. We will be talking with them about opportunities for further work on collaborative research and grantswriting. Staff Changes Ivy Newberg was not kept on staff till the end of her 4-month trial period. We use this time to determine if the individual has skills appropriate to this very specific position. We will begin a search for a Membership Assistant in January, 2006. Student workers continue to be an important part of our operations during the school year. Sam Smith continues from the summer in providing maintenance work for the building and shipping of packages for the store. Kelsey, Kyle, Leeba, Trisha, Jessica, and Kasey make important contributions to our ability to deliver services and are much appreciated. Kasey plans to leave us at the end of this semester to transfer to CSU-Pueblo. You can see their pictures and full names at http://www.interpnet.com/interpnet/contactus.htm. Strategic Plan Please look at the Strategic Planning page in this report and see if you have any updates to make based upon your efforts related to those tasks. Please let Jim Covel know of any updates at JCovel@mbayaq.org. Travel Plans My upcoming travel may be viewed at www.interpnet.com/board/schedule.htm. I plan to be on vacation December 5-20.