2009 Party Annual Finance Reports Released

Posted 9 April, 2010 by
2 Comments

Elections BC released all of the registered political parties 2009 annual financing reports today. The Conservative party failed to file on time – they have until June 30 (and a $100 fine) to file, otherwise they risk de-registration. I will summarize the financial data for the BC Liberal, NDP and Green Party. I’d appreciate attribution if you found the information in this analysis to be useful.

BC Liberals:
The BC Liberals spent about $16.6 million in 2009 (net of transfers). They raised $12.3 million from contributors, and have incurred $4.9 million in debt at the end of the year. They are receiving a rate of prime plus 2.25% which is currently 4.5%.

Individuals contributed 21% of the BC Liberal revenues, while corporations contributed 64% of the revenues.

NDP:
The NDP spent $9.4 million in 2009 (net of transfers). They raised $6.9 million from contributors, and ended the year with $2.2 million in debt. They are receiving a rate of between 3.25% to 4.5% on multiple loans.

Individuals contributed 63% of the NDP revenues, while trade unions contributed 32% of the revenues.

Green:
The Green party spent and raised about $190,000 in 2009. They incurred no debt at the end of the year.

Individuals contributed 94% of the revenues.

Summary thoughts:

The largest line-item entry is the amount of bank debt the BC Liberal party has incurred after the election. They have about a $4.9 million debt at the end of 2009. At their current level of debt, this will result in an interest bite of about $220,000/year, and this will rise later in the year when the Bank of Canada will raise rates.

It is always surprising to know the NDP manages to get a lower rate of interest on their bank debt.

The split of where revenues are coming from is surprising – most people have the impression that the NDP is funded by union donations, but they are funded 2/3rds by individual donors. The union donors are about a quarter of the revenues. The BC Liberal party, on the other hand, are 2/3rds funded by corporate donors, which corresponds to the public perception. Individual donors to the BC Liberal contribute about a fifth of their revenues.

The BC Liberal party, in general, was able to substantially fund all ridings the maximum amount of spending allowed in the election campaign – 85 ridings times $70,000 is $5.95 million. The NDP were able to sufficiently fund winnable seats, but safe BC Liberal seats were dramatically underfunded.

The Green Party raised a modest amount, but they are still not at the critical mass where they can maintain a full-time staff for party purposes. They did manage to end the year debt-free, presumably because no financial institution would want to lend them a substantial sum of money for election purposes.

Data tables:
The following are tables that outline the two-year summaries from the major parties. Please note the categories might have slight differences between 2008 and 2009, and there may be some minor transcription errors.

BC Liberals:

Party BC Liberal BC Liberal
Year 2008 2009
Current Assets $           1,019,817 $              454,840
Fixed Assets $              565,322 $              498,396
Total Assets $           1,585,139 $              953,236
Current Liabilities $           1,307,714 $           2,654,705
Long-Term Liabilities $                21,130 $           2,807,018
Total Liabilities $           1,328,844 $           5,461,723
Equity $              256,295 $          (4,508,487)
Info: Current Debt $                       - $           2,154,000
Info: Long-dated Debt $                       - $           2,777,000
Info: Rates Prime+2.25%
Revenues
Political Contributions $           7,880,200 $          11,980,418
Gross Fundraising Revenues $              334,889 $              299,379
Total Transfers Received $                  5,590 $           1,020,830
Interest Income $                12,547 $                       -
Product Sales $                    419 $                  3,158
Advertising Income $                       - $                       -
Rental Income $                       - $                       -
Other Income $                 (7,040) $               (18,510)
Total Revenues $           8,226,605 $          13,285,275
Expenses
Account and Audit $                43,318 $                43,771
Amortization $              191,300 $              196,013
Bad Debt $                       - $                       -
Bank Charges $              103,805 $              161,784
Donations and Gifts $                       - $                       -
Convention, Workshop, Meeting $              634,771 $                94,744
Data Processing / IT $                86,129 $              226,315
Furniture / Equipment $                  4,680 $                50,047
Insurance $                10,051 $                13,520
Interest Expense $                31,637 $              150,388
Media Advertising $              866,508 $              428,735
Newsletters / Promotional $                68,782 $                21,131
Office Rent / Utilities $              193,819 $              261,027
Office Supplies / Stationary $                71,999 $                33,058
Postage / Courier $                34,270 $                36,252
Printing $                       - $                       -
Professional Services $              242,103 $              310,236
Research and Polling $              617,692 $              280,280
Salaries and Benefits $           1,778,206 $           1,503,279
Social Functions $                27,995 $                19,819
Subscriptions $                  6,357 $                  4,204
Telecommunications $              231,317 $              213,023
Travel $              466,270 $              289,424
Utilities & maintenance $                       - $                       -
Cost of Fundraising $           1,227,541 $              994,954
Transfers Out $              218,184 $           6,155,394
Other Expenses $           1,320,814 $           6,160,456
Total Expenses $           8,477,548 $          17,647,854
Surplus/Deficit $             (250,943) $          (4,362,579)
Donors
Individual <= $250 $              432,527 $              468,027
Individual > $250 $           1,905,658 $           2,093,626
Corporate <= $250 $                41,317 $                85,573
Corporate > $250 $           4,667,007 $           7,592,114
Unincorporated <= $250 $                  8,778 $                13,479
Unincorporated > $250 $              480,728 $              954,135
Trade Unions <= $250 $                       - $                       -
Trade Unions > $250 $                  3,040 $                30,120
Non-Profit Org. <= $250 $                       - $                       -
Non-Profit Org. > $250 $                       - $                       -
Other <= $250 $                  1,675 $                  1,660
Other > $250 $              329,470 $              731,684

NDP:

Party NDP NDP
Year 2008 2009
Current Assets $              538,003 $              247,082
Fixed Assets $           1,511,302 $           1,550,498
Total Assets $           2,049,306 $           1,797,580
Current Liabilities $              260,544 $              936,288
Long-Term Liabilities $              775,144 $           2,231,986
Total Liabilities $           1,035,688 $           3,168,275
Equity $           1,013,617 $          (1,370,694)
Info: Current Debt $                       - $                       -
Info: Long-dated Debt $              624,468 $           2,231,986
Info: Rates 5.4% 3.25% to 4.50%
Revenues
Political Contributions $           2,869,389 $           6,712,354
Gross Fundraising Revenues $              116,253 $              183,342
Total Transfers Received $                22,147 $                64,135
Interest Income $                  1,512 $                        6
Product Sales $                  2,016 $                  3,085
Advertising Income $                19,918 $                39,336
Rental Income $                       - $                       -
Other Income $              106,032 $              100,111
Total Revenues $           3,137,267 $           7,102,370
Expenses
Account and Audit $                65,984 $                78,870
Amortization $                68,683 $                89,283
Bad Debt $                       - $                  2,079
Bank Charges $                23,865 $                64,396
Donations and Gifts $                       - $                       -
Convention, Workshop, Meeting $              173,260 $              319,191
Data Processing / IT $                       - $                96,326
Furniture / Equipment $                  2,403 $                22,276
Insurance $                  6,210 $                  6,576
Interest Expense $                32,442 $                73,801
Media Advertising $                56,208 $           1,988,587
Newsletters / Promotional $                13,775 $              357,389
Office Rent / Utilities $                       - $                68,266
Office Supplies / Stationary $                75,370 $                51,697
Postage / Courier $                89,002 $                38,294
Printing $                92,116 $                       -
Professional Services $                76,371 $              100,466
Research and Polling $              182,676 $              323,735
Salaries and Benefits $           1,396,601 $           2,366,141
Social Functions $                  4,606 $                15,689
Subscriptions $                       - $                       -
Telecommunications $                44,673 $                82,136
Travel $                85,098 $              574,275
Utilities & maintenance $                60,819 $                       -
Cost of Fundraising $              185,942 $              315,805
Transfers Out $              495,448 $           2,337,675
Other Expenses $                67,121 $              113,727
Total Expenses $           3,298,672 $           9,486,681
Surplus/Deficit $             (161,405) $          (2,384,312)
Donors
Individual <= $250 $           1,229,979 $           1,704,315
Individual > $250 $           1,057,957 $           2,548,173
Corporate <= $250 $                  6,175 $                16,823
Corporate > $250 $                32,400 $              238,838
Unincorporated <= $250 $                    500 $                  1,286
Unincorporated > $250 $                  1,450 $                11,485
Trade Unions <= $250 $                  2,660 $                  4,480
Trade Unions > $250 $              524,585 $           2,170,457
Non-Profit Org. <= $250 $                      75 $                  1,150
Non-Profit Org. > $250 $                  6,100 $                  9,100
Other <= $250 $                    220 $                    200
Other > $250 $                  1,500 $                    500

Green:

Party Green Green
Year 2008 2009
Current Assets $                28,139 $                31,322
Fixed Assets $                    985 $                       -
Total Assets $                29,125 $                31,322
Current Liabilities $                  2,022 $                    500
Long-Term Liabilities $                  1,550 $                       -
Total Liabilities $                  3,572 $                    500
Equity $                25,553 $                30,822
Info: Current Debt $                       - $                       -
Info: Long-dated Debt $                       - $                       -
Info: Rates
Revenues
Political Contributions $              145,928 $              181,240
Gross Fundraising Revenues $                  1,330 $                  1,396
Total Transfers Received $                18,672 $                10,828
Interest Income $                      18 $                      18
Product Sales $                      23 $                      75
Advertising Income $                       - $                       -
Rental Income $                       - $                       -
Other Income $                  1,003 $                        6
Total Revenues $              166,974 $              193,563
Expenses
Account and Audit $                12,718 $                17,588
Amortization $                    985
Bad Debt $                       -
Bank Charges $                    747 $                    565
Donations and Gifts $                      85 $                      60
Convention, Workshop, Meeting $                  8,727 $                  7,322
Data Processing / IT $                  3,268 $                  3,420
Furniture / Equipment $                  1,885 $                    538
Insurance $                  1,400 $                  1,550
Interest Expense $                    815 $                    145
Media Advertising $                    370 $                  4,675
Newsletters / Promotional $                  1,676 $                  7,308
Office Rent / Utilities $                11,369 $                11,589
Office Supplies / Stationary $                  8,548 $                  2,889
Postage / Courier $                  5,354 $                  7,040
Printing $                       - $                       -
Professional Services $                28,556 $                27,009
Research and Polling $                      20 $                       -
Salaries and Benefits $                21,194 $                31,440
Social Functions $                  1,593
Subscriptions $                       -
Telecommunications $                11,614 $                13,360
Travel $                  5,508 $                19,943
Utilities & maintenance $                       - $                       -
Cost of Fundraising $                    614 $                    500
Transfers Out $                    305 $                26,726
Other Expenses $                  4,866 $                  1,050
Total Expenses $              129,641 $              187,294
Surplus/Deficit $                37,333 $                  6,269
Donors
Individual <= $250 $                74,365 $                83,508
Individual > $250 $                67,163 $                87,332
Corporate <= $250 $                    400 $                    470
Corporate > $250 $                  3,930 $                  9,930
Unincorporated <= $250 $                       - $                       -
Unincorporated > $250 $                       - $                       -
Trade Unions <= $250 $                       - $                       -
Trade Unions > $250 $                       - $                       -
Non-Profit Org. <= $250 $                       - $                       -
Non-Profit Org. > $250 $                       - $                       -
Other <= $250 $                       - $                       -
Other > $250 $                       - $                       -
2 Comments
  1. Alan Clarke says:

    On the 2009 Electoral Finance Reports, it appears the BC Campbell Liberals run there provincial Political Party, like they run our beautiful Province, IN DEBT! $ 4.9 Million in Debt. I wonder who or what entity is securing the BC Liberal debt with the banks that hold the Liberal paper.
    We no what happened in Quebec, with Federal taxpayers monies, at the hand of the Federal Chretien Liberals. I’d watch these BC Campbell Liberals like a hawk. A $ 4.9 million dollar debt, is a whole lot of money when your an unpopular political party and dropping like a rock in the polls every day. Another reason for election reform and more stringant regulations, that of reducing limits on electoral per candidate financing and restrictions on over the top borrowing and political parties allowable monetary debt.

    Alan Clarke

  2. Peter Christensen says:

    BC Liberals need to make public their corporate donor list. I believe I am the victim or corporate influence peddling. Governement agencies have been instructed to ignore the law, to the benefit of a private corporation and to our loss. I wish to know how man dollars the liberal party recieves from corporations.

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