LM-2 Financial Analysis

I. Financial Overview

APFA reported total receipts of $14.06 million and total disbursements of $14.01 million for the reporting period, with 26,523 active members at period-end. Net assets decreased modestly over the year, indicating near-full deployment of annual receipts rather than accumulation.

• Total Receipts: $14.06 million
• Total Disbursements: $14.01 million
• Net Assets (End of Period): $15.52 million
• Active Membership: 26,523

II. Revenue Structure

APFA’s operations are overwhelmingly funded by member dues and agency fees. Investment-related income and asset sales were secondary sources during the reporting period.

• Dues and agency fees: $13.01 million
• Interest income: $0.31 million
• Sale of investments and fixed assets: $0.74 million

III. Expenditure Allocation & Local Representation Yield

APFA reported the following functional allocation of total disbursements:

• Representational Activities: $8.72 million (62.2%)
• General Overhead: $1.90 million (13.6%)
• Union Administration: $1.77 million (12.7%)
• Benefits: $0.73 million (5.2%)
• Political Activities & Lobbying: $0.25 million (1.8%)
• Direct taxes and other cash disbursements: $0.17 million (≈1.2%)

Local Representation Yield (first pass):
Approximately $0.62 of every $1.00 in dues collected is allocated to representational activity at the national level. This represents the maximum funding pool available for grievance handling, arbitration, negotiations, and field-based contract enforcement.

IV. Representational Spend Composition

Within the representational category, spending is primarily labor-driven:

• Employees: $6.87 million
• Officers: $1.06 million
• All other representational disbursements (e.g., legal/arbitration/vendors): $0.74 million

LM-2 reporting does not distinguish local versus national staff. However, the dominance of employee compensation within representational spending indicates that enforcement capacity is largely staff-based rather than driven primarily by political activity or centralized overhead.

V. Assets, Reserves, and Financial Position

APFA reported substantial liquid reserves and no long-term debt, providing stability during periods of dispute, arbitration, or contract transition.

• Cash: $1.51 million
• Investments: $14.88 million
• Fixed assets: $1.07 million

VI. Governance & Controls

APFA reported an independent external audit, fidelity bond coverage of $500,000, no contingent liabilities, and no pledged or encumbered assets. The next regular officer election is scheduled for 2028.