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← Balita · Issue 3850 · 19 November 2020 Club administration

Know Your Club Constitution, By-laws and Policies

Questions and answers on where members' annual dues go and how Rotary Club of Manila obligations are computed, from the Code of Policies.

Q: Where do the annual dues of every member of the Rotary Club of Manila go?

A: The following item in the Code of Policies is authoritative: “3.4 Annual Dues Total revenue from the RCM members Annual Dues will determine the total level of RCM’s operational expenditure in a financial year. Annual Dues paid by RCM members are used to fund specific obligations:

1. Rotary International Obligations

2. District 3810 Obligations

3. RCM Obligations

4. Optional Obligations

5. New Members Obligations

6. Operating Reserve

Q: How are Rotary Club of Manila obligations computed?

A: The Code of Policies provides the following: “3.4.2.1 RCM Obligations –The Calculation

The underlying basis in calculating the total annual dues levied on existing or renewing RCM members is linked to the Balanced Budget principle.

RCM’s total operating expenditure budget (E) = (R) revenue from RCM annual dues (excl RI Obligations). Where (R) = Number of RCM members * RCM share of Annual Dues

It is clear that based on this formula, a drop in the number of members without any change in the level of operating expenditure will lead to a need to increase annual dues of the members. Inversely, an increase in the number of members without any change in operating expenses will result in a lower annual dues per member.

The RCM Treasurer can recommend to the RCM Board that based on the above formula the annual dues of the RCM members may be either increased or decreased.

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