AMERICAN ASSOCIATION OF PROFESSOINAL LANDMEN
QUARTERLY BOARD of DIRECTORS MEETING, New Orleans, LA.
December 6, 2015
The AAPL Quarterly Board Meeting was held Sunday, December 6, 2015 at The Hotel Monteleon in New Orleans, Louisiana. Marc Strahn, AAPL President, called the meeting to Order. The Invocation was given by Roger Soape and followed by the introduction of guests, and roll call of the Executive Committee, Directors and Committee Chairs. Upon adoption of the Agenda and introduction/seating of the new and interim Directors, the Minutes from the last Board Meeting on September 11, 2015 were adopted by acclamation.
Treasurer’s Report: Jay Beavers, III, CPL, Treasurer, provided a report on AAPL and its affiliates ending September 30, 2015 as follows:
As compared to September 30, 2014, AAPL, Inc.’s total assets have decreased from $34,046,690 to $30,707,967 a change of $3,338,722 or 9.8% due in large part to paying $1,338,651 on the building loan, a transfer of $500,000 to the operating account and a decline in the market value of investments.
Revenues (exclusive of investment revenue) compared to September 30, 2014 have decreased 54.5% from $1,315,482 to $598,033. The decrease in revenue is due in part to decreased revenue in education revenue as a result of the discount program on tuition and books and a reduction in the earned dues income.
Expenses have increased 10.9% compared to September 30, 2014 from $1,646,075 to $1,824,630. The increase in expenses is in large measure due to the inclusion of depreciation as an expense. Other expenses include credit card processes fees, contract labor, directs meetings, and building repair and maintenance.
Investments as of September 30, 2015 are $24,228,450 a decrease of $3,141,502 or 11.5% as compared to the same period last year. The decrease has been the result of paying a portion of the line of credit used to purchase the new building, a transfer of $500,000 to the operating account, and realized and unrealized gains.
Education Foundation, Inc.’s balance Sheet reflects $3,312,623 which is a decrease of $453,222 or 12% as compared to the same period last year. The Statement of Investment Accounts reflects $2,265,373 total monies invested which is a decrease of $205,921 or 8.3% as compared to the same period last year.
Landman Scholarship Trust’s balance Sheet reflects $5,904,489 which is a decrease of $245,747 or 4 % as compared to the same period last year. The Statement of Investment Accounts reflects $5,813,580 total monies invested which is an increase of $212,778 or 3.5% as compared to the same period last year.
Both the AAPL supplemental and capital budget were adopted by acclamation.
Staff Report: Melanie Bell, Executive Vice-President, reports:
There are currently six vacancies for the following positions: Personify Database Administrator, Education Meeting Coordinator, Electronic Media Administrator, Business Development Manager, and Accountant and Publications/Marketing Manager. Market conditions have been and will continue to be carefully assessed prior to increasing headcount.
A PSA is in place for the Fossil Creek building at a price of $1.32MM with an anticipated closing date occurring by year end 2015 or January 2016. Some repairs are anticipating; the largest anticipated repair being a new roof.
AAPL had its ribbon cutting and held an open house on November 11, 2015.
Additionally, the AAPL has hosted several other meetings at its headquarters since including the soft rollout of the 2015 Model Form JOA. Twenty-two company representatives from both land and legal were in attendance.
Staff and EVP salaries and bonuses were reviewed and adopted by acclamation.
Summer NAPE took place on August 19-20, 2015. Total net income was $1.1MM, down 25$ from 2014. AAPL’s net income was .77MM, down 16% from 2014. Reduced income was primarily due to lower number of attendees and exhibitors; however, this was partially offset by reduced expenses, and the show still produced a 44.9% margin.
NAPE Denver (December 9-10, 2015) – Number of attendees and exhibitors expected to de down, but cost reductions are tracking at 30%. Colorado Governor Hickenlooper will be the featured speaker at the Business Conference.
NAPE Summit (February 10-12, 2016) – Sponsorships and exhibitors roughly on target year to date, and the number of attendees is tracking approximately 60% higher than this time in 2014. Rudy Giuliani will be the keynote speaker for the Charities Luncheon, and Richard Fisher will be the keynote speaker for the Decision Maker’s Breakfast. Registration is now open.
Audit reports for NAPE and combined AAPL/NAPE are now complete. The audit reports were reviewed by the Finance Committee and were adopted by acclamation.
It was noted that many local associations have not been filing tax returns. OCAPL is not among the offenders; however, Appalachia Association of Professional Landmen was. By acclamation, the Appalachia association was disassociated with the AAPL and replaced with a new association, the Southern Appalachia of Professional Landmen.
Changes to the AAPL certification policy standard were presented to the board for a vote. Such changes were related to the expiration of certification applications, restrictions to sponsor verifications, incorporation of retest policies, and others. These changes were adopted by acclamation. The revised certification policy standards will be available on the AAPL website.
The education subsidy program which offered discounts on continuing education (seminars, publications, online tutorials and videos) to Active Members is set to expire in December 2015. The Education Committee analyzed whether to extend the program into 2016; however, the committee recommend this program not be extended, and as such, the program will expire on December 31, 2015.
Marietta College of Ohio made application for AAPL accreditation. Their application was reviewed and the committee denied on December 3, 2015.
The 2015 Form JOA will soon be available through the AAPL website, and regional training seminars are already being discussed.
Other Noteworthy News/Reports:
The next Board of Director’s meeting will be on March 20, 2016 at the JW Marriot in Tucson, Arizona.
The Annual Conference (June 14-18, 2016) will take place in Orlando, Florida at the Hyatt Regency Orlando. Registration is now open.
There are many people that serve to advance our profession through their involvement with the AAPL and/or their respective local association. If you are interested in serving on an AAPL or OCAPL committee or otherwise becoming more involved, please feel free to contact me.
Lindsey N. Miles