The American Nurses Association has approved a 1999 budget that includes a $5.8 million deficit and the elimination of at least 17 positions.
The association attributes the deficit to rising expenses combined with flat revenues.
The ANA finished fiscal 1998 with a projected deficit of $776,000, its first ever. It had budgeted a deficit of $5.5 million, but a surge in investment income and a large unexpected increase in accreditation fees boosted its revenues far above projections. The association doesn't expect another such surge in 1999.
The 1999 budget, totaling $25.4 million, was approved after a lengthy re-evaluation of the ANA's programs and priorities, said Joan Meehan, the ANA's communications director. That process will continue this year.
After the association's new executive director, David Hennage, comes on board this month, an outside consultant will be hired to audit the association's finances (Nov. 23, 1998, p. 43). That report will drive an effort to streamline the ANA, Meehan said. The association will consider changing its bylaws governing structure during the first half of the year, she added.
The 17 positions to be eliminated are now vacant. Meehan said the organizational audit could recommend cutting other positions next year. The ANA now employs about 200 people.