VOA National Officers has assembled a team to conduct a review of the VOA finances

[Herrsss]

To my Viper family,

There seem to be endless questions, frustrations and concerns about the financial news we shared last week. In reading and hearing your concerns, I know it’s the right move to take a step back to let someone else do the digging.

I want to reassure you that we are not doing anything other than continuing to work hard to take care of each of you and the VOA with the means, methods, and tools at our disposal.

To that end I have requested a financial review by a team of financial experts with the goal of preparing a clear picture of how money has been spent, how the shortfall occurred and how we can best plan for the future. This review will provide full disclosure of the financial situation to all current members of the VOA. My sincere hope is that their findings and explanations will give the members a clear understanding of what happened and where we stand now.

The method is the use of volunteer services of financial experts from within the VOA organization to perform a financial assessment, some who are not personally known to me but come highly recommended by other regional presidents.

This financial assessment mission is being led by personnel experienced with conducting non-profit internal audits and reviews.

This team’s organization is composed of:
1) A government financial professional with over 30 years expertise and a VOA Regional Treasurer who will be the Team Lead,
2) A licensed and experienced CPA who is also a well-respected VOA Regional Club President,
3) Another licensed and experienced CPA who is a current VOA Club member,
4) Our licensed CPA who is the VOA National Club Treasurer and will report to the lead during this review process only

The Financial Team has asked to remain anonymous so they can focus on the task at hand and to provide the report on time by the November 14, 2021 meeting at which time we will inform the board of the team members resuts.

The Financial Team intends to provide full disclosure of the financial status and health of the club by following the money from the very beginning up and through where we are today.

These three CPAs will answer to and report to the Financial Team Lead who will assemble and present the team’s findings directly to the Board of Directors (region presidents) upon completion of its review. Once complete, the Board of Directors (region presidents) will vote (I will abstain):

1) To accept the Financial Team’s finding of fact or,
2) An independent paid for audit needs to be conducted, and
3) The information will be sent via email to each current member by me

We believe we will have an initial understanding of our fiscal situation within 30 days. The Financial Team intends to present their discoveries by the next board meeting currently scheduled for November 14, 2021. However, they are currently unsure if they will be able to present us three courses of actions to consider and the outlook for those courses of action over a 1-year, 3-year, and 5-year period of time at that same time. They do, however, believe they will have those recommendations prepared before the end of the year.

I thank you for your patience and understanding as we work towards giving ya’ll the answers to these well-deserved questions with hard facts and well thought out answers.


Kind regards,

Beth

[13COBRA]

Thanks for doing that Beth.

[stevert]

What a great move!
Thank you

[J TNT]

Thank you Beth for sharing that information !

[CarolinaViper]

To my Viper family,

There seem to be endless questions, frustrations and concerns about the financial news we shared last week. In reading and hearing your concerns, I know it’s the right move to take a step back to let someone else do the digging.

I want to reassure you that we are not doing anything other than continuing to work hard to take care of each of you and the VOA with the means, methods, and tools at our disposal.

To that end I have requested a financial review by a team of financial experts with the goal of preparing a clear picture of how money has been spent, how the shortfall occurred and how we can best plan for the future. This review will provide full disclosure of the financial situation to all current members of the VOA. My sincere hope is that their findings and explanations will give the members a clear understanding of what happened and where we stand now.

The method is the use of volunteer services of financial experts from within the VOA organization to perform a financial assessment, some who are not personally known to me but come highly recommended by other regional presidents.

This financial assessment mission is being led by personnel experienced with conducting non-profit internal audits and reviews.

This team’s organization is composed of:
1) A government financial professional with over 30 years expertise and a VOA Regional Treasurer who will be the Team Lead,
2) A licensed and experienced CPA who is also a well-respected VOA Regional Club President,
3) Another licensed and experienced CPA who is a current VOA Club member,
4) Our licensed CPA who is the VOA National Club Treasurer and will report to the lead during this review process only

The Financial Team has asked to remain anonymous so they can focus on the task at hand and to provide the report on time by the November 14, 2021 meeting at which time we will inform the board of the team members resuts.

The Financial Team intends to provide full disclosure of the financial status and health of the club by following the money from the very beginning up and through where we are today.

These three CPAs will answer to and report to the Financial Team Lead who will assemble and present the team’s findings directly to the Board of Directors (region presidents) upon completion of its review. Once complete, the Board of Directors (region presidents) will vote (I will abstain):

1) To accept the Financial Team’s finding of fact or,
2) An independent paid for audit needs to be conducted, and
3) How the information should be presented to VOA membership.

We believe we will have an initial understanding of our fiscal situation within 30 days. The Financial Team intends to present their discoveries by the next board meeting currently scheduled for November 14, 2021. However, they are currently unsure if they will be able to present us three courses of actions to consider and the outlook for those courses of action over a 1-year, 3-year, and 5-year period of time at that same time. They do, however, believe they will have those recommendations prepared before the end of the year.

I thank you for your patience and understanding as we work towards giving ya’ll the answers to these well-deserved questions with hard facts and well thought out answers.


Kind regards,

Beth

Awesome,

Agree with everthing with the exception of how the information should be presented to the VOA members IAW our own by-laws Section 3 REPORTS: states the following:

National Board members, committee chairperson and appointed officials shall render reports as
may be required by the National President. Written reports must be submitted to the Secretary in
reasonable time to be reproduced and distributed to National Board members before scheduled Board
Meetings.
The National Treasurer's reports of the Association's financial condition shall be presented at the
Annual Meeting. In addition, the Associations accounts may be subjected to an annual financial
review by a Certified Public Accountant, who shall prepare a report thereof and submit same to the
National Board within a reasonable time period at the end of the fiscal year. Such review shall
become a part of the National records and shall be retained on file at the Business Office. Any
discrepancies between the review and the National Treasurer 's report will be explained to the Board
at the Annual Meeting. Financial accounting records shall be made available to any Member upon
written request.

Key thing is they should make available to ANY member upon written request. As this problem just didn't occur just with the National officers, hopefully the regions presidents voted on issues that are being audited. We need to see the entire picture not a slanted picture. In other words we should see the entire review...lets be totally transparent.

[Drummerviper]

76E41BC4-EB96-439E-8765-3EF6E56B85D0.jpeg

[V10Sidepipes]

76E41BC4-EB96-439E-8765-3EF6E56B85D0.jpeg

That is much quicker that what I would have typed. Thanks!

[Herrsss]

sheesh please give the team time to dig through 7 years of data. I'm pretty sure they won't jeopardize their CPA licenses for shenanigans.

[gfviperman]

Amen!!!

[JonB ~ PartsRack]

LATE EDIT: The Original VOA thread metioned below, now at 190+ posts, has now been CLOSED.



Message content aside, WHY ON EARTH would this 'reply', developed as a response to 8 PAGES of questioning at:

https://driveviper.com/forums/threads/29104-A-Couple-of-Changes-are-Coming

not be posted THERE?!

I mean, its THE CLUB's own active thread of 190+ posted replies in the first place.
That Thread, needs this direct 'reply' THERE. Please Combine the threads??

This 'diversion' breaks the continuity of thought and active participation. "Disjointed" is the word. 190 posts there vs 10 here.


Carolina Viper:

Hissstory tidbit: Anyone else remember the small ' VCA Financial Oversight Committee' and their 25+ page "FOC DOCUMENT"? A similar annual meeting action was taken then, and in the eleventh hour the report slid under the hotel room doors for the VCA regional presidents and BOD. Few people had any time to READ it before the meeting. A lot of people got FOC-ed.

[JonB ~ PartsRack]

76E41BC4-EB96-439E-8765-3EF6E56B85D0.jpeg

Divide et Vince

[CarolinaViper]

Message content aside, WHY ON EARTH would this 'reply', developed as a response to 8 PAGES of questioning at:

https://driveviper.com/forums/threads/29104-A-Couple-of-Changes-are-Coming

not be posted THERE?!

I mean, its THE CLUB's own active thread of 190+ posted replies in the first place.
That Thread, needs this direct 'reply' THERE. Please Combine the threads??

This 'diversion' breaks the continuity of thought and active participation. "Disjointed" is the word. 190 posts there vs 10 here.


Carolina Viper:

Hissstory tidbit: Anyone else remember the small ' VCA Financial Oversight Committee' and their 25+ page "FOC DOCUMENT"? A similar annual meeting action was taken then, and in the eleventh hour the report slid under the hotel room doors for the VCA regional presidents and BOD. Few people had any time to READ it before the meeting. A lot of people got FOC-ed.

I see she did not respond to my comment...

[JonB ~ PartsRack]

....sheesh please give the team time to dig through 7 years of data. I'm pretty sure they won't jeopardize their CPA licenses for shenanigans.....

Hello Beth and BOD,

You certainly mean well, but some hissstory please:

Do we schedule a 7-year look-back when CPA told the IRS we had $218K assets in 2018? $410K in 2019. Work back from 2021 to [2017,] and further only if the Team deems it is needed.

Why can't the current, multi-year CPA-Treasurer give VOA an instant P&L any day, on demand? [PartsRack Inc can.]
VOA is a tiny Not-For Profit. One CPA is plenty. Especially a CPA in a firm of CPAs. The SBA Loan apparently was applied-for by the CPA just months ago. I bet he possessed a detailed handle on VOA finances at that time.

>Back in 2011-12, the VCA missed printing the Viper Magazine on schedule; then missed issues.
>Then, VCA stopped paying regional dues on time; then stopped altogether. (Except for MM's "good presidents")
>Then, the VCA-VPoA borrowed $50,000 from VCA National and never paid back one penny.
>Then, Regions and members demanded explanations. So VCA created a small internal financial committee.
>Then, members demanded financial reports in writing but never got any. [At least one was a CPA-Member.]

Do these exact parallels of 2012 to 2021 seem stunningly familiar? Hissstory repeating itself. We did not learn from Viper Club hissstory, and so we are repeating it. The path seems a mirror-image...Will the outcome be better? Alert the BOD.

>Why would 2 additional internal CPAs need an internal "Financial Professional" to become their team leader ?!

Caring Members / Financial Supporters would be impressed by timely, quarterly P&Ls published online. And with many more eyes and brains aware and alert, the Association might learn some best-practices from member-business owners. Instead, VOA are perpetuating the old-practices to the letter. (With due appreciation for volunteers of course.)

It should be relatively simple to report and manage a ~~$300K business. I hope this tiny-scale business report can become public as soon as practical. Year 1 Accountant required; Decades of professional expertise aboard.

The BOD has a more difficult task at hand: "What to do with the secret report?" Don't simply Repeat hissstory.

JonB / Hissstorian

[Brian GTS]

^ yessir, great post.

[13COBRA]

Hello Beth and BOD,

You certainly mean well, but some hissstory please:

Do we schedule a 7-year look-back when CPA told the IRS we had $218K assets in 2018? $410K in 2019. Work back from 2021 to [2017,] and further only if the Team deems it is needed.

Why can't the current, multi-year CPA-Treasurer give VOA an instant P&L any day, on demand? [PartsRack Inc can.]
VOA is a tiny Not-For Profit. One CPA is plenty. Especially a CPA in a firm of CPAs. The SBA Loan apparently was applied-for by the CPA just months ago. I bet he possessed a detailed handle on VOA finances at that time.

>Back in 2011-12, the VCA missed printing the Viper Magazine on schedule; then missed issues.
>Then, VCA stopped paying regional dues on time; then stopped altogether. (Except for MM's "good presidents")
>Then, the VCA-VPoA borrowed $50,000 from VCA National and never paid back one penny.
>Then, Regions and members demanded explanations. So VCA created a small internal financial committee.
>Then, members demanded financial reports in writing but never got any. [At least one was a CPA-Member.]

Do these exact parallels of 2012 to 2021 seem stunningly familiar? Hissstory repeating itself. We did not learn from Viper Club hissstory, and so we are repeating it. The path seems a mirror-image...Will the outcome be better? Alert the BOD.

>Why would 2 additional internal CPAs need an internal "Financial Professional" to become their team leader ?!

Caring Members / Financial Supporters would be impressed by timely, quarterly P&Ls published online. And with many more eyes and brains aware and alert, the Association might learn some best-practices from member-business owners. Instead, VOA are perpetuating the old-practices to the letter. (With due appreciation for volunteers of course.)

It should be relatively simple to report and manage a ~~$300K business. I hope this tiny-scale business report can become public as soon as practical. Year 1 Accountant required; Decades of professional expertise aboard.

The BOD has a more difficult task at hand: "What to do with the secret report?" Don't simply Repeat hissstory.

JonB / Hissstorian

100% agree. If the business owners in here ran our businesses like this, we would be trading our Vipers in for Neons or worse, Corvettes.

I will not be renewing my recently started membership. The members of the club, are bigger than the club.

[ViperSRT]

Hello Beth and BOD,

You certainly mean well, but some hissstory please:

Do we schedule a 7-year look-back when CPA told the IRS we had $218K assets in 2018? $410K in 2019. Work back from 2021 to [2017,] and further only if the Team deems it is needed.

Why can't the current, multi-year CPA-Treasurer give VOA an instant P&L any day, on demand? [PartsRack Inc can.]
VOA is a tiny Not-For Profit. One CPA is plenty. Especially a CPA in a firm of CPAs. The SBA Loan apparently was applied-for by the CPA just months ago. I bet he possessed a detailed handle on VOA finances at that time.

>Back in 2011-12, the VCA missed printing the Viper Magazine on schedule; then missed issues.
>Then, VCA stopped paying regional dues on time; then stopped altogether. (Except for MM's "good presidents")
>Then, the VCA-VPoA borrowed $50,000 from VCA National and never paid back one penny.
>Then, Regions and members demanded explanations. So VCA created a small internal financial committee.
>Then, members demanded financial reports in writing but never got any. [At least one was a CPA-Member.]

Do these exact parallels of 2012 to 2021 seem stunningly familiar? Hissstory repeating itself. We did not learn from Viper Club hissstory, and so we are repeating it. The path seems a mirror-image...Will the outcome be better? Alert the BOD.

>Why would 2 additional internal CPAs need an internal "Financial Professional" to become their team leader ?!

Caring Members / Financial Supporters would be impressed by timely, quarterly P&Ls published online. And with many more eyes and brains aware and alert, the Association might learn some best-practices from member-business owners. Instead, VOA are perpetuating the old-practices to the letter. (With due appreciation for volunteers of course.)

It should be relatively simple to report and manage a ~~$300K business. I hope this tiny-scale business report can become public as soon as practical. Year 1 Accountant required; Decades of professional expertise aboard.

The BOD has a more difficult task at hand: "What to do with the secret report?" Don't simply Repeat hissstory.

JonB / Hissstorian

Jon we concur once again!

I would expect that the board would go through all the questions or areas of inquiry in the prior post and make an honest effort to answer all of them.

Link to prior post https://driveviper.com/forums/thread...653#post447653

[quickster2]

As a Mamba member through 2020 (2021 no joy because I'm in between cars & no mechanism to stay a Member) this situation is incomprehensible. Deficit spending, & then taking on a loan (liability), without the full disclosure to the Membership, putting the Club at risk, and then not having anywhere near the level of transparency required, impossible to reconcile.

[Brian GTS]

I just don’t understand this club and it’s agenda any longer. Y’all have ~30 BoD members (region Presidents), ....many of which are successful business owners. Wouldn’t it be a good idea to consult with them for ideas and plans? The number crunching should already be complete with the CPA on board. Like JonB mentioned above, the decision was already made to borrow $175k from the government, so the financials must have already been assessed. Consult with your BoD….your region Presidents to derive a plan and path forward. That would be the most transparent way to move past this.

IMO, just like a household under financial distress, it's time to make significant SPENDING cuts....starting with the magazine since it is our largest expense. Taking more money from the members and regions will equate to lower membership numbers, so the budget projections presented for 2022 are already invalid and overly optimistic. If my company is experiencing hard times and in deep debt, I don’t charge my customers more. I look for ways to reduce expenses. There’s no difference in how this should be handled and INCLUDE the BoD throughout the entire process.

[Drummerviper]

I have to agree with Jon, there is certainly no need to have multiple CPAs looking at this. The numbers are the numbers and volunteer or not this could be resolved in a couple of days. I have defended major corporations in lawsuits involving tens of millions of dollars in which each side had a single expert CPA review and testify. The magnitude here is quite small. The more I read the more I’m torn between gross negligence or hiding the ball. I don’t think it’s the latter, but I think the internal knowledge is more than is being provided. I hope it works out.

[ACRucrazy]

100% agree. If the business owners in here ran our businesses like this, we would be trading our Vipers in for Neons…

I’m offended

[Herrsss]

Hello Beth and BOD,

You certainly mean well, but some hissstory please:

Do we schedule a 7-year look-back when CPA told the IRS we had $218K assets in 2018? $410K in 2019. Work back from 2021 to [2017,] and further only if the Team deems it is needed.

Why can't the current, multi-year CPA-Treasurer give VOA an instant P&L any day, on demand? [PartsRack Inc can.]
VOA is a tiny Not-For Profit. One CPA is plenty. Especially a CPA in a firm of CPAs. The SBA Loan apparently was applied-for by the CPA just months ago. I bet he possessed a detailed handle on VOA finances at that time.

>Back in 2011-12, the VCA missed printing the Viper Magazine on schedule; then missed issues.
>Then, VCA stopped paying regional dues on time; then stopped altogether. (Except for MM's "good presidents")
>Then, the VCA-VPoA borrowed $50,000 from VCA National and never paid back one penny.
>Then, Regions and members demanded explanations. So VCA created a small internal financial committee.
>Then, members demanded financial reports in writing but never got any. [At least one was a CPA-Member.]

Do these exact parallels of 2012 to 2021 seem stunningly familiar? Hissstory repeating itself. We did not learn from Viper Club hissstory, and so we are repeating it. The path seems a mirror-image...Will the outcome be better? Alert the BOD.

>Why would 2 additional internal CPAs need an internal "Financial Professional" to become their team leader ?!

Caring Members / Financial Supporters would be impressed by timely, quarterly P&Ls published online. And with many more eyes and brains aware and alert, the Association might learn some best-practices from member-business owners. Instead, VOA are perpetuating the old-practices to the letter. (With due appreciation for volunteers of course.)

It should be relatively simple to report and manage a ~~$300K business. I hope this tiny-scale business report can become public as soon as practical. Year 1 Accountant required; Decades of professional expertise aboard.

The BOD has a more difficult task at hand: "What to do with the secret report?" Don't simply Repeat hissstory.

JonB / Hissstorian

Jon,

1. The books are on a cash basis and reconciled to the bank account so I will assume the IRS reporting is accurate.
2. The books are maintained in QuickBooks and the Treasurer can easily generate statements.
2. a There was a transition from the prior Treasurer to the current Treasurer in mid 2018 so it's possible accounting methods changed (but I have no idea)
2. b Given the many accusations of financial improprieties flying around the forums it was decided that independent eyes on the books from inception until current could help quell the discord . . . maybe I'm wrong . . .
3. I was a member of the VCA from 2008 until the split so I am well aware of the things that occurred - to this day Houston Region is owed dues but obviously that'll never be seen
3.a Maurice's mom passed away earlier this year and he was responsible for settling her affairs so got behind on magazine development . . . this delay was not intentional and is being resolved by way of a super size magazine going to print shortly then
the winter issue will go to print/mail as normal.
3.b About 70% of the 2021 dues were remitted to the regions in late January 2021. A final reconciliation has been completed, information has been distributed to each president and the Treasurer is processing remittances now to complete 2021
3.c The region presidents were presented with quite a lot of accounting information during the last 2 board meetings (September 22, 2021 and September 29, 2021)
3.d The regions will be presented the results of the independent audit at the November14, 2021 meeting and they can ask all the questions they want
3.e The board will approve dissemination methodology to the members (from the regions, from national or ??)

Hisstory is NOT repeating itself and I take personal offense at your implication that the VOA is anything like the VCA.

Why 3 independent professionals? I answered the rationale in bullet 2.b

There have never been quarterly financial reports published so perhaps it is time to make that change but I defer that to the board for a decision.

Jon, I honestly can't believe you said what you did about the "secret report". I have no idea what you are talking about because from my knowledge there is nothing in existence. Please point me in the direction of your proof so I can investigate.

You have my number so call me with your concerns . . .

Beth

[V10Sidepipes]

2. The books are maintained in QuickBooks and the Treasurer can easily generate statements.

3.c The region presidents were presented with quite a lot of accounting information during the last 2 board meetings (September 22, 2021 and September 29, 2021)

So now that we have established, per the President, that the financial information already exists in distributable form, let’s just skip to your 3.e:

3.e The board will approve dissemination methodology to the members (from the regions, from national or ??)

And let me just restate (since this has already been posted before):

Article IX (Miscellaneous Provisions) Section 3 (Reports) of the club bylaws states:

Financial accounting records shall be made available to any Member upon written request.

Nowhere does it say that a BOD will approve anything. Nowhere does it say only after an audit.

It says the records will be made available upon written request.

Those requests have been made multiple times. You and other board members with access to the information have seen them.

Yet, the records have not been produced.

With all due respect, perhaps the next board meeting should be spent reading the bylaws as they continue to be ignored

The financial issues are only one piece of the puzzle when you look at members and their decisions to renew or not. Lack of transprticy and willfull disregard to the bylaws are not helping.

[Drummerviper]

Well, My heartfelt condolences to Maurice , a legend, regarding his mom but having heard that at least 5 times now and several other arrows at the magazine with no response from Maurice it tends to add fuel to the fire. Regarding the magazine in addition to payments to Maurice to whom were mag advertising payments made? I assume the club . None of any of this makes sense. Well meaning Viper enthusiasts have paid for years and I am concerned that they, after suffering through the VCA have been left victims, a term I hate and don’t use lightly. Maurice?

[Herrsss]

So now that we have established, per the President, that the financial information already exists in distributable form, let’s just skip to your 3.e:



And let me just restate (since this has already been posted before):

Article IX (Miscellaneous Provisions) Section 3 (Reports) of the club bylaws states:



Nowhere does it say that a BOD will approve anything. Nowhere does it say only after an audit.

It says the records will be made available upon written request.

Those requests have been made multiple times. You and other board members with access to the information have seen them.

Yet, the records have not been produced.

With all due respect, perhaps the next board meeting should be spent reading the bylaws as they continue to be ignored

The financial issues are only one piece of the puzzle when you look at members and their decisions to renew or not. Lack of transprticy and willfull disregard to the bylaws are not helping.

As intended in the bylaws a written request is to be submitted directly to the treasurer.

Financial information will be sent to all current members by me. I would prefer to wait until the audit is complete but I will defer the distribution timing to the board.

[Hootie]

This above just isn't right. So we're going to hide behind a technicality of a bylaw? It's obvious financials are wanting to be seen by members. Can't say I appreciate the attitude of 'submit a formal written request' if you want info. This can of worms was opened up and it's time to just put it all out there for everyone to see. Why try to make it difficult?? Doesn't seem like the right attitude for the President to preach procedure instead of making the info immediately available for every paying member to see.