A Report of the Air Force Association, the AFA Veteran Benefits Association and the Air Force Memorial Foundation President/CEO
With Input From Staff Executives From February 1, 2010 to August 31, 2010
EXECUTIVE SUMMARY
This report covers the period from February 1, 2010 to August 31, 2010.
AIR FORCE Magazine (Print, Digital, Special Projects) The AIR FORCE Magazine section of this report focuses on major leadership and budget matters. In both areas, the news is quite good. We have executed an orderly transition at the top of the Magazine as a result of the long-planned retirement of Editor in Chief Robert S. Dudney. As for finances: The Magazine, through the first eight months of the year, has performed about $111,000 better than our AFA-approved budget expected us to perform.
Mitchell Institute/Mitchell Institute Press The Mitchell Institute, and its affiliate Mitchell Institute Press, has made progress in its planned, multi- year effort to increase its output of studies, expand presentations, and establish data bases of research materials.
The pace of development has been and will be dictated by the level of funding and staff. Given the realities of fund-raising in a major recession, we expect to continue in a period of measured, rather than rapid, expansion.
CyberPatriot AFA’s CyberPatriot, has had a busy six months. Northrop Grumman signed on in March as the "Presenting Sponsor," providing sufficient funding to begin executing full national deployment of the program – opening the competition to JROTCs from all services and also non-CAP/JROTC teams. Laine Martens was transferred from AFA Membership to CyberPatriot in early March and was joined in late June by Ken Lesley, an MIT-educated Washington, DC high school teacher, who is the CyberPatriot Director of Education and Competition. The CyberPatriot Commissioner, Bernie Skoch, a retired Air Force Brigadier General, joined the program effective 1 July 2010.
A CyberPatriot Board of Advisors (CP BoA) has been formed, chaired by Dr. Paul G. Kaminski, Chairman of the Defense Science Board, and includes nine other senior executives from business and government circles. Registration has been open since May 2010, and outreach efforts to the “new” potential participants (other-Service JROTCs and non-JROTC schools) is the top priority for the team. As of 1 September 2010 43 Open Division coaches (those affiliated with non-JROTC/CAP teams) have registered for CyberPatriot III, and 274 All Service Division (any Service JROTC and CAP) teams have signed up. Registration for both divisions of competition continues until 8 October. The first online competition for the All Service Division will be held on 23 October 2010, and the first round of the Open Division will occur on 13 November 2010. The All Service in-person qualifying round will be held in conjunction with AFA’s Air Warfare Symposium in Orlando, Florida, on 18 February 2011, with finals for both divisions at our New CyberFuture Conference, 31 March – 2 April 2011.
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Membership/Field Services The Membership Department provides programs and administrative support for several portions of the AFA mission.
The department supports the portion of the AFA education mission that involves the AFA Field – those education programs operated by or through the chapters and states. Membership also provided administrative support for traditional Field activities that included face-to-face meetings and/or teleconferences of the Nominating Committee, Region Presidents, Membership Committee and Field Council. The Membership staff continued to work in conjunction with the AFA IT staff to create the software back end to support the changes to the field rebate and payment structure. Since May the staff has worked closely with the IT department to facilitate the change to our new database system.
The Field Council and Membership committees have conducted bi-monthly teleconferences to conduct their meetings.
Membership continues to be a high priority – and challenge -- for all. Neither AFA National nor the AFA Field alone can accomplish all that needs to be done. Both continue with the implementation of portions of the membership strategy approved by the Executive Committee in December 2008. We are modifying some existing programs and testing others. However, while AFA recruitment efforts by both are effective in producing new members, the number is still not sufficient to overcome losses due to non-renewals, much of which is caused by the age of our overall membership. We will continue to pursue those programs that work for us while seeking to improve our penetration of traditional markets and looking for opportunities to expand those. Our e-renewal reminders have been very successful. We have also conducted some test marketing of benefits to non-traditional groups with some encouraging results and a resulting effect on total membership.
Insurance/Member Benefits The Insurance and Member Benefit programs of the Association are administered out of AFA’s Veteran Benefits Association (AFAVBA). The insurance programs continue to be financially sound and, as a result, a dividend was provided to Decreasing Term Life insureds in June. AFAVBA entered into a “Preferred Provider” agreement with USAA to endorse USAA banking and property and casualty insurance, replacing our previous AFA Banking Center and endorsement of MetLife Auto and Home insurance. New member benefits include a Senior Whole Life Insurance plan, Critical Illness Insurance, Limited Benefit Health Insurance and new discount programs on auto purchases and Microsoft software. The previous agreements for travel services and for identity theft protection services have been terminated and replaced with new program offerings that provide more substantial benefits to Members.
Government Relations The past few months have been dominated by the budget cuts outlined by Secretary of Defense Robert Gates in his May 8th, 2010 speech at the Eisenhower Library. The Air Force must cut $28.3 billion in the fiscal years 12/16 program objective memorandum. This is a difficult period—clearly the nation’s fiscal condition is precarious. However, we must also ensure that we invest in critical defense capabilities that are effective across the full range of the operating spectrum. The nation needs to invest in areas that maximize efficiency and effectiveness, while minimizing the projection of vulnerability. Whether discussing shaping and deterrence, or outright combat operations, it is critical to build a force that is capable of supporting the nation’s vital interests. Not all wars of the future will look like Afghanistan and Iraq. Future investments must reflect the uncertain world in which we live. AFA plays a unique role in this dialogue, helping key individuals see past near-term political considerations and focus on the long-term strategic implications for the country. We recognize that hard choices need to be made, but we also realize that wisdom and an encompassing perspective must govern this process.
On a broader level, the GRL team continues to dedicate a tremendous amount of energy to forging valuable contacts within the Pentagon, the media, and on Capitol Hill. Thorough a variety of engagement strategies, the Association continues to educate Members of Congress and staffers about the critical capabilities the Air Force affords the nation. In addition, the Air Force Association advocates and educates key audiences on issues that are important to Air Force personnel, their families, retirees, and veterans.
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Programs & Industry Relations Department The PIR Department maintains a full calendar of events for the Association. In addition to the usual annual events, the Department now also operates the AFA Air Force Breakfast Series ten times during the year and presentations for the Mitchell Institute for Airpower Studies.
The PIR Department continues to see growth in generating income, while constantly working to keep expenses in check. Both areas are scrutinized consistently with improvements made as needed. We are also working to update the technology used by our department to streamline our processes. Sponsorships are up and that program continues to grow for all of our programs. Our new Corporate Membership Program is off to a great start.
Policy and Communications The period from February to August got off to a very productive start for AFA policy and communications with the Air Warfare Symposium in Orlando, Florida.
The Department registered and supported more than 30 news outlets which attended the symposium. Additionally, complete transcripts of presentations given at the Symposium were published by the Department on AFA.org.
Finance The Finance section of my report covers the results of financial operations for the year ended December 31, 2009, and an interim report covering the five month period beginning January 1 through May 31, 2010.
Development The philanthropic results for January to May 2010 are going well. With guarded optimism, this proves the longevity of our mission/purpose and the loyalty of our members and friends. The importance of Airpower and the wish to protect preserve and honor its Heritage and some of the reasons.
Much hard work and collaboration with and by our volunteer leaders can be cited as critical to the success. Further, expanded outreach and creative testing are crucial. In the years to come, it will be even more important that we hold to the mission, and expand the integrated marketing efforts to educate and include members, which will then lead to greater fundraising success.
Several changes have been made in the operations process, namely the addition of another staff person, and the consolidation of direct mail with the Air Force Memorial. However, perhaps the most important aspect that can be attributed to the success of the increase in Annual Giving is that the overall integrated marketing efforts have really begun to pay off. As the headquarters staff continues to work in concert, overall advancement will be strengthened.
Information Technology iMIS is operational and has replaced the IBM AS/400, AFA’s membership server for 18 years. More than 350,000 membership records and 4,000,000 supporting transactions are in place. AFA’s network and software systems are performing well at our headquarters offices, hosted website provider and in support of our outside events. AFA IT continues its responsibility for all event information systems. AFA IT supports the computing and telephone needs of the AFA, AFM, AFAVBA, CyberPatriot, and Mitchell Institute staff. Enhancements to the AFA-HQ network are postponed until iMIS processes become routine. The 2010 desktop deployment has taken longer than expected due to incompatibilities with the Windows 7 operating system. Our websites and email distribution systems are reaching their audiences successfully. Overall web visits have increased by 12% over the same period last year.
Administration The AFA Building is 100% leased and occupied. The last remaining piece of the first floor shell space will be built out for Cyber Patriot and Mitchell Institute. Construction will begin as soon as a building permit is issued. Since this is about three times the space required, the plan is to occupy this until a more right-sized suite becomes available. Showing built-out space will also benefit the leasing prospects for this space. Not
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only will prospective tenants be able to see the finished product, but it would be available as soon as AFA would move out. There are six leases expiring in 2012 and AFA could occupy space not renewed. Government contractors are a large part of those looking for space in the Washington Metropolitan Area, but their need is more immediate than waiting for space to be built.
Nine new people have joined the staff and two employees have left since the last report. Two members of the staff transferred between departments and two have departed.
The annual meeting with our 401(k) provider resulted in some changes in investment options. An employee education meeting was held and covered general information as well as these investment changes. AFA signed a three-year contract for our Internet access and local and long distance services. We expanded from 4.5 megs to 10 megs, and we are now receiving access via fiber which will provide more flexibility in the future to meet AFA’s needs.
Air Force Memorial The Air Force Memorial Foundation (AFMF) provides the daily Air Force Memorial (AFM) management oversight and direct event planning & support that helps ensure the AFM becomes and remains a national place of reverence, remembrance, celebration and pride for the hundreds of thousands of yearly visitors.
To date in 2010, the Memorial hosted 18 promotions, 20 retirements, 8 enlistments/re-enlistments, 81 tours, 18 USAF Band Concerts and 85 special events, such as four CSAF Arrival Ceremonies, the WASP Wreath-laying Ceremony, four Heritage Veteran Groups Wreath-laying Ceremonies, 56 Honor Flight & Knoxville WWII Veterans Tours, AFA Team of the Year Tour, Wounded Warrior Cycling Event, AFA/AFSA Memorial Day Wreath-laying Ceremony, USAF Cycling Classic, AFA/AFMF Flag Ceremony, the Sousa Festival Community Band Concert and the special Independence Day USAF Band Concert.
AFA through the AFMF has defined an Air Force Memorial vision for the 2017 time period. A significant goal of this vision is the preservation of Air Force Heritage. Several actions are on-going to help us meet this vision. Two that we can use your support are the on-going volunteer docent program and the Airmen Heritage Archives.
For those wishing more information on the Air Force Memorial, please “click on” the Air Force Memorial Foundation’s website, www.airforcememorial.org.
IV Table of Contents
Air Force Magazine and airforce-magazine.com Adam J. Hebert (with Suzann Chapman and Michael Sirak)...... 1
Mitchell Institute for Airpower Studies and Mitchell Institute Press Suzann Chapman, Editor of Mitchell Institute Press, with input from Rebecca Grant, Director, Mitchell Institute...... 3
CyberPatriot Bernie Skoch ...... 5
Membership/Field Services Judy Galbreath ...... 7
Insurance/Member Benefits Susan Rubel ...... 9
Government Relations Doug Birkey (with Kristine Robbins and Matt Bearzotti) ...... 11
Programs & Industry Relations Mary Ellen Dobrowolski (with Lynette Cross, Meghan McClelland, Dennis Sharland and Lizzie Carver)...... 13
Policy & Communications Chet Curtis (with Joel Hannahs and Bridget Wagner) ...... 17
Finance John F. Smith...... 19
Development Lois O’Connor (with Lisa Rietman and Caitie Craumer)...... 23
Information Technology Laurie Brice (with Neha Bhatt, Ed Cook, Mike Davis, David Huynh, Chris Saik, Ed Walker, and Ted Yorkshire)...... 27
Administration Kathy A. Snodgrass (with Katie Doyle and Tonya Hall)...... 31
Air Force Memorial Foundation Pete Lindquist (with w/Agata Bieleszczuk) ...... 35
Air Force Magazine and airforce-magazine.com Adam J. Hebert (with Suzann Chapman and Michael Sirak)
AIR FORCE Magazine In Transition A Bounceback Budget Year This section constitutes my first contribution For AIR FORCE Magazine, the 2010 has to the President's report since I became Editor in been something of a bounceback budget year. Chief on September 1. The October 2010 issue of Cumulative data through the August issue show the Magazine will be the first for which I have we are doing about $110,000 better than our AFA- exercised overall supervisory responsibility. That approved budget had projected us to be doing at makes me only the eighth editor in chief in this this point in the year. Ad revenue has been a Magazine's nearly seven-decade-long history. pleasant surprise so far this year. In addition, the expense side is a bright spot; we have spent about $165,000 less than we budgeted to spend through Dudney Departs After 23 Years eight months. That has been a welcome change The September 2010 issue was the last in from the extremely difficult budget years of the which the Magazine's masthead listed Robert S. Great Recession, though we still can take nothing Dudney as Editor in Chief. He retired on August for granted. 31, 2010, 23 years to the day after he joined this Magazine's staff. During that entire period, Dudney Special Projects Office Stands Up (who came from US News & World Report) served AIR FORCE Magazine on June 1 put into in senior management positions. As editor in chief, operation a Special Projects office to produce and he presided over the production of exactly 100 manage a growing number of AFA specialty issues, starting in June 2002. publications. This office will be headed by Editor Dudney retired 34 years since coming to Suzann Chapman and includes designer Darcy Washington, DC in 1976 as a defense reporter. He Harris. Chapman since 2005 has managed the and his wife, Gretchen, have re-located to Magazine's online entity, airforce-magazine.com. Breckenridge, Colo., but he won't exactly In her new capacity, Chapman becomes disappear from our pages. He will continue to editor of the increasingly important and profitable contribute occasional pieces to the Magazine. conference programs and special publications. She will also become editor of the Mitchell Institute A Few Words About the New Guy Press, publishing arm of the Mitchell Institute for Your new editor in chief--me--is a native of Airpower Studies. Moreover, this office will prepare Michigan. I graduated from the University of the content for AIR FORCE Magazine's USAF Michigan in Ann Arbor, got an advanced degree Almanac, published each May, and contribute to from University of Maryland, worked for good trade the development and maintenance of of airforce- publications in Washington, joined the magazine magazine.com and a new Mitchell Institute staff in 2002 as a senior editor, and moved up to website. Executive Editor in 2007. In that post, I have exercised day-to-day responsibility for planning, New Hands at airforce-magazine.com assigning, and editing most of AIR FORCE'S Michael Sirak, a senior editor on the feature-length free-lance articles and have Magazine staff member since 2008, on June 1 was managed the magazine's finances. On the editorial promoted to Executive Editor and put in charge of side, I've contributed many feature-length articles. airforce-magazine.com, succeeding Suzann Since January 2006, I have written the front-of-the- Chapman. Sirak is responsible for all the book "Issue Brief" series. Magazine's online content, including the popular Read further down for more about "Daily Report." For three years, Sirak also wrote Magazine staff changes. the monthly Magazine news feature, "Air Force World."
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When Sirak moved up, he left a vacant Schanz Moves Up Senior Editor post which needed to be filled. We The Magazine on June 1 promoted Marc V. brought on board Amy McCullough, a writer known Schanz to the post of Senior Editor. Schanz, a to some of you for her September 2008 cover story graduate of of the University of North Carolina at about the premier aviation artist, Keith Ferris. She Charlotte, came to the Magazine in 2005 as an wrote that piece while she was a student at Associate Editor, working primarily on the Northwestern University's Medill School of Magazine's then start-up online product, the Daily Journalism. After graduating, she worked for Report. In the years since then, Schanz has several years on Army Times Publications continued to contribute to the Daily Report, but has newspapers in the Washington, D.C. area. Our spent most of his time reporting and writing for the new Senior Editor also served six years in the US print Magazine, including trips to Afghanistan and Air Force Reserve and got her undergraduate Iraq. As Senior Editor, Schanz will continue to degree from Ohio State University. report and write and will assume new editing duties.
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Mitchell Institute for Air- power Studies and Mitchell Institute Press Suzann Chapman, Editor of Mitchell Institute Press, with input from Rebecca Grant, Director, Mitchell Institute
Through End 2010, in Brief University of Maryland and former Chief Scientist of the Air Force. 1. Key 2010 Achievements -July 10, 2010. Publication of Mitchell 2. Academic Studies Currently in Progress Study, "Air Force UAVs: The Secret History," by 3. Possible/Probable Public Events Dr. Thomas P. Ehrhard, retired USAF colonel and now senior civilian adviser to the USAF Chief of Key 2010 Achievements Staff. -March 18, 2010. Mitchell Hour event, "The -July 14, 2010. Mitchell Hour, "Air Force Contested Air Commons." AFA Headquarters, UAVs: The Secret History." AFA Headquarters, Arlington, Va. Panelists: Mr. Oliver Fritz, Director Arlington, Va. Briefing by Dr. Thomas P. Ehrhard, of Strategic Planning, US Air Force Air Staff, and retired USAF colonel and now senior civilian Lt. Col. Kelly Martin, USAF Fellow at Center for a adviser to the USAF Chief of Staff, with Dr. New American Security, Washington, D.C. Rebecca Grant, director of the Mitchell Institute. -April 14, 2010. Mitchell Hour event, "The -July 26, 2010. Second Gen. Billy Mitchell F-35 Fighter in a Downdraft." AFA Headquarters, Institute Annual Dinner, Ritz-Carlton Hotel, Arlington, Va. Panelists: Lt. Gen. David A. Deptula, Arlington, Va. Attended by a select group from Deputy Chief of Staff for ISR, Air Staff; Mr. Barry defense community--led by Secretary of the Air Watts, senior analyst with Center for Strategic and Force Michael Donley and Gen. Norton Schwartz, Budgetary Assessments; and Vice Adm. Dennis Chief of Staff. Ginn, USN (Ret.), former director, Navy Air -August 1, 2010. Initiation of fund-raising Warfare. approaches to potential donors. -June 1, 2010. Publication of Mitchell -August 1, 2010. Opened discussions with Paper, "Hypersonic Power Projection," by Dr. Air Force for assignment of two Air Force Fellows Richard Hallion, defense analyst and former to the Mitchell Institute in Summer 2011. Historian of the Air Force. -June 30, 2010. Mitchell Hour event, Academic Studies Currently in Progress "Hypersonics and the Future of Power Projection." -September 2010. "The Radar Game: AFA Headquarters, Arlington, Va. Panelists, Dr. Understanding Stealth and Aircraft Survivability." Richard Hallion, defense analyst and former By Dr. Rebecca Grant. Historian of the Air Force, and Dr. Mark Lewis, -October 2010. "Shaping the New US Bomber." By Dr. Christopher Bowie, Northrop Center for Studies and Analysis. -November 2010. "Armed UAV Operations." By Dr. Richard B. Andres, National Defense University. -December 2010. "China's Airpower Upsurge: Building Toward World-Class Capabilities." By Richard Fisher, Jr., International Assessment and Strategy Center.
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Possible/Probable Public Events through 2010 -September 14, 2010. Special Mitchell Institute Panel on Long-Range Strike at AFA Air & Space Conference, National Harbor, Md. Panelists are: Dr. Rebecca Grant, Director of the Mitchell Institute; Lt. Gen. Robert Elder, USAF (Ret), former Commander of Eighth Air Force; and Mark Gunzinger, Senior Fellow, Center for Strategic and Budgetary Assessments. -September 29, 2010. Mitchell Hour event, "Stealth Vs. Radar: The Deadly Game Continues." AFA Headquarters, Arlington, Va. Panelists: Dr. Rebecca Grant, Director of the Mitchell Institute, and TBA Air Force officer from the Air Staff.
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CyberPatriot Bernie Skoch
The 20 February 2010 Board decision to On 15 March 2010, a CyberPatriot Board of institutionalize (contingent on funding) AFA’s Advisors (CP BoA) charter completed coordination National High School Cyber Defense Competition through the Executive Committee and was (NHSCDC) named CyberPatriot has led to subsequently issued by Chairman Sutter. The successful execution of the first phases of full purpose of the CP BoA is to provide the national deployment of the program. Association with an experienced group of senior A "Presenting Sponsor" agreement with leaders who can support the Association in Northrop Grumman, signed 2 March, injected achieving the goals of CyberPatriot. Dr. Paul G. needed funding and corporate expertise into the Kaminski, Chairman of the Defense Science Board program. Pledged CyberPatriot III funds were and the RAND Board of Trustees, agreed to chair received from N-G on 16 June 2010. In addition, the board, and the AFA Board approved contributions by Raytheon, AFRL, and AFOSR, electronically the first round of appointments to the plus considerable in-kind support from Microsoft CP BoA as follows: Paul Kaminski, Chair; Larry D. and GD AIS have provided sufficient support to Cox, Senior Vice President and General Manager satisfy the Board-mandated contingency, and the of the Intelligence & Information Solutions (IIS) process of institutionalizing CyberPatriot began in business unit of SAIC; Lynn Dugle, President of earnest with a search for a Commissioner and Raytheon Intelligence and Information Systems; other fulltime dedicated staff. Effective 1 March Dr. Christopher B. Howard, President of Hampden- 2010, Laine Martens was transferred from AFA Sydney College; Lester L. Lyles, CEO of The Lyles Membership to CyberPatriot, and on 24 June Group; Judith A. Miller, former General Counsel for 2010, Ken Lesley, an MIT-educated Washington, the Department of Defense; Linda Mills, Corporate DC high school teacher, joined the staff as the Vice President and President of Northrop CyberPatriot Director of Education and Grumman’s Information Systems sector; Arthur L. Competition. The CyberPatriot Commissioner, Money, former Assistant Secretary of Defense and Bernie Skoch, joined the program effective 1 July the Department of Defense CIO; Harry D. 2010. Raduege, Jr., Chairman of the Deloitte Center for On execution of the sponsorship Cyber Innovation; and Lou Von Thaer, President of agreement, presenting sponsor Northrop General Dynamics Advanced Information Grumman dedicated a strong level of corporate Systems. attention and expertise to CyberPatriot. They Development of the Competitor appointed Diane Miller, a corporate-level vice Relationship Management (CRM) system began in president, as their Program Director, and six December 2009 with system architecture design additional Northrop Grumman Information Systems through the donated services of a Microsoft VPs to their steering committee. Each then Services Consultant (MSC), who then coordinated identified a subordinate for Ms. Miller’s working handoff to an MSC developer in February 2010. group to support CyberPatriot. The first face-to- An Internet service provider (ISP) to host the face meeting of the Northrop Grumman steering system was engaged (e-Partners, Inc.), and committee, attended by CEO Dunn, EVP software licenses for the required servers were Buckwalter, and Laine Martens, was held on 5 obtained and loaded on the ISP system by mid- April 2010. A joint Northrop Grumman-AFA formal March. During the subsequent four months, the announcement of the presenting sponsorship was MSC developer failed to produce a system that held at the National Press Club on 12 May 2010, could meet functional registration requirements, and CyberPatriot III registration opened the next and an expedient "stop-gap" registration system day, hosted on the AFA website (discussed was created on the AFA website by internal AFA below). IT staff. Another developer who has successfully supported AFA in the past (SusQtech) has been
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engaged and is on pace to deliver the full required over. Registration for AFJROTC and CAP capability by 31 August 2010. approximated levels seen for CyberPatriot II, but Search and negotiations for a Facebook other categories of participants were disappointing. Game to serve as both a marketing and The AFA CEO and CyberPatriot Commissioner educational tool had been ongoing for some time assigned this effort first priority and began an by the Vice Chairman for Aerospace Education. extensive outreach effort that is now bearing fruit. Once the Northrop Grumman agreement was As of 1 September 2010 43 Open Division completed and funds were available, a statement coaches (those affiliated with non-JROTC/CAP of work for development of the first stage of the teams) have registered in CyberPatriot III, and 274 game to be completed in January 2011 was All Service Division (any Service JROTC and CAP) coordinated with AvatarLabs. A letter of intent to teams have registered. Registration for both engage Avatar was signed on 19 July 2010, and divisions of competition continues until 8 October. the first major deliverable, a draft game The first online competition for the All Service development document, was received for review Division will be held on 23 October 2010, and the on schedule on 20 August 2010. first round of the Open Division will occur on 13 Opening of registration for CyberPatriot III, November 2010. The All Service in-person originally planned for mid-April, was delayed by a qualifying round will be held in conjunction with month as our energies were focused on facilitating AFA’s Air Warfare Symposium in Orlando, Florida, the presenting sponsor agreement mentioned on 18 February 2011, with finals for both divisions above. This delay hampered outreach efforts to at our New CyberFutures Conference, 31 March – the “new” potential participants (other-Service 2 April 2011. JROTCs and non-JROTC schools) until the school year was nearly
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Membership/Field Services Judy Galbreath
Field Organizations Field Education Programs The field consists of 202 chapters, 39 state Support for educational programs in the Field is organizations and 14 regions. There are an provided in two ways. One is to lend a national additional 10 chapters located at bases in the presence to general education events as well as Pacific and European areas. state and region meetings, providing appropriate presentations when requested. The other is to publicize and administratively support education Field Support outreach programs which function through AFA National Headquarters staff members Field units, such as the Chapter Teacher of the provide administrative support for AFA’s Field Year program. Organizations – Chapters, States and Regions. Support for Field Units consists principally Chapter Matching Grants of receiving and recording reports and processing The Chapter Matching Grant program support, allocation and rebate payments. promotes aerospace education activities at the An additional support function is that of being the chapter level. The program allows AFA National to staff liaison for AFA National Councils and assist aggressive chapters who are working Committees. These include the Field Council, the actively with local educators and organizations to Membership Committee, the Nominating develop and promote new educational activities Committee, the Awards Committee and the Region and events in math and science. Presidents (when they meet as a committee). Since February, 5 chapters have qualified Support activity ranges from frequent for a grant in support of local aerospace initiatives teleconferences to face-to-face meetings as well totaling $2,900. as the administrative back end and research as required. Chapter Teacher of the Year Awards The AFA Chapter Teacher of the Year Chapter Matching Grant - Other than Award is a local award, funded by AFA national, to Education (OTE) recognize exceptional performance in education at The Chapter Matching Grant (OTE) the local level. This award includes a check for program is designed to promote activities at the $250, a certificate, and an AFA tote bag. chapter level that support the AFA Strategic Plan For the period January – June 2010, AFA Goals. The program allows AFA National has recognized 59 Chapter Teachers of the Year. Headquarters to assist aggressive chapters who are working on new programs and activities in State Teacher of the Year Award various mission-related areas. These include The AFA State Teacher of the Year Award support for veterans, cadets, families of deployed is a local award, funded by AFA National, troops, active duty, Guard and Reserve forces and designed for AFA state organizations to recognize building a better understanding of the Air Force in exceptional performance in education at the state the broader community. level. This award includes a check for $500, a Since February, we have awarded 6 certificate, a personalized jacket and a free Civil chapter grants in support of AFA strategic goals Air Patrol Aerospace Education membership totaling $4,990.50. sponsored by CAP for the teachers selected at the State level. For the period January – June 2010, AFA has recognized 27 State Teachers of the Year.
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National Teacher of the Year The most productive program for AFA is Allen Robnett, a dedicated teacher at Gallatin High Direct Mail which has produced 1,698 new School in Gallatin, TN is the 25th recipient of the members, most of which can be attributed to our prestigious National Aerospace Teacher of the first mailing of the year. Additional sources include Year Award for 2010. the Arnold Air Society cadets, benefits marketing The National Aerospace Teacher of the done through AFAVBA, Air Force Magazine and Year award recognizes classroom teachers at the AFA’s web site. national level for their accomplishments and Despite AFA’s combined recruitment achievements in exciting K-12 students about efforts, the number of new members recruited is science, technology, engineering and math not sufficient to replace those who are not (STEM) and preparing them to use and contribute renewing. Our aging membership population plays to tomorrow’s technologies. a significant part in these non-renewals. Many of our members are over 80 years old. Some of Visions of Exploration: A Science, these are Life Members and others will not renew Technology, Engineering & Math either because of financial or health constraints, or (STEM) Program they are deceased. The membership total at the USA TODAY Education and the Air Force end of the first five months is 117,480 for a Association’s 200+ Chapters have partnered over decrease of almost 3,000 members. 19 years to bring the Visions of Exploration AFA’s promotional half-price membership Program to 4th through 12th grade classrooms. rate for Junior Enlisted members has not brought The Visions of Exploration Program provides in as many new members as anticipated when the educators with curriculum designed to enhance program was started. During the first six months students’ understanding in math, technology, of this year we have had fewer participants in the engineering, and science (STEM). During the program than we had during the same time frame 2009-2010 school year 954 classrooms received in the last in two years. To date in 2010, only 123 sponsorship. This program is an ideal way for new Junior Enlisted have taken advantage of the chapters to give something back to the community program as compared to 202 in 2009, and 170 in and inspire today’s youth. Details are available on 2008. the AFA website in the “Educational Opportunities” Staff will continue to emphasize tab. Registration for the 2009-2010 school year is membership recruitment and retention closed. Registration for the 2010-2011 school opportunities in the Field through articles in year is now open. Newsline and e-mails to Field Leaders. We will Educator Grants supply chapters with materials for use with The Educator Grant program promotes recruitment and retention efforts. These materials aerospace education activities in classrooms from include Membership and Community Partner kindergarten through twelfth grades. The program brochures and a membership video. There are encourages development of innovative aerospace AFA Public Service announcements posted on the activities within the prescribed curriculum. The web page to aid in membership recruitment. program also encourages establishing an active These will be sent to field units upon request. relationship between the school and the local Air There are also many other resources on the AFA Force Association organization. web site for chapters to use as such as the In January 2010, AFA awarded 115 grants, Membership Resource Guides and sample letters. totaling $28,412 to outstanding teachers to support Our on-line renewal program continues to their ongoing classroom aerospace activities. help us save costs in printing renewal notices. The number of renewals we receive through our Membership online renewal program has also increased each Planned membership recruitment programs year. by both AFA Headquarters and the AFA Field are There is “Join AFA” button on the Daily near targets set in the 2010 membership plan and Report and, although the number of new members budget. This good news is balanced by the fact through this is small, it is yet another way to reach that this level of recruitment of new members is not our target audience and potential members. sufficient to offset non-renewals and as a result We will continue to center on a strong total AFA membership has declined. direct mail recruitment program which uses proven Together, AFA Headquarters and the AFA packages and lists while testing new ones. Field have recruited some 5595 new members Additional ads will be placed in Air Force (January through May). AFA Headquarters’ Magazine, which gets a wide distribution on Air various marketing programs have produced 4416 Force bases. These ads direct prospective new members and the AFA Field an additional members to AFA’s web site and the membership 1179. department for more information or to join AFA.
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Insurance/Member Benefits Susan Rubel
New benefits and services added since the last of illnesses including heart attack, stroke, life- report include: threatening cancer, severe burns, paralysis, coma, kidney failure, loss of sight, speech or hearing, and USAA major organ transplant. In March, AFAVBA entered an agreement to endorse USAA as its preferred provider for Limited Benefit Health Insurance Property and Casualty Insurance, Bank Deposit Most AFA Members probably have access Accounts and Investments & Financial Planning to comprehensive health insurance, especially services. This agreement replaces contracts with TRICARE and Medicare. However, we do receive Waterfield Bank for our Banking Center and with requests for assistance when children have “aged MetLife for auto and home insurance. This is a out” of TRICARE, when Members are not eligible clear fit for our Membership as we determined that for TRICARE and/or are between jobs. For this a large percentage of AFA Members were already reason, we contracted with Chartis to make its customers of USAA. The contract provides for a SecureCare plan available to Members. generous endorsement fee to be paid annually to SecureCare is a Limited Benefit Health Insurance AFAVBA and for continued advertising purchases plan which provides a wide array of first-dollar in AIR FORCE Magazine. We will begin endorsing accident and sickness coverages, including USAA’s credit card next year. specified benefits for emergency room and other hospital-related care, health screenings, in-hospital Guaranteed Issue Senior Whole Life indemnity, doctors’ office visits and value added Insurance benefits which include prescription coverage, Through an agreement with Mutual of vision, dental and more. The benefit is paid Omaha, AFAVBA will offer up to $25,000 whole life directly to the insured, independent of actual insurance on a “guaranteed issue” basis to medical costs and regardless of other insurance. Members age 45-85. This type of insurance is It’s important to note that this insurance provides often called “funeral insurance”. It’s relatively specific, supplemental or limited health coverage expensive, but guaranteed to be issued regardless and is not meant to replace basic health insurance of the Member’s or spouse’s health and may, or major medical coverage. therefore, be a good option for older Members or those with health issues who do not qualify for our Vacation Rewards standard Term Life insurance products. The We have terminated our travel contract with coverage will be sold in $1,000 increments, with a Brennco Travel and replaced it with a new travel maximum of $25,000 death benefit. The coverage program which guarantees the best prices on can be retained to age 100 and, at age 100, the cruises, resorts and hotels … and includes a policyholder receives a cash payout for the full rewards program. Members sign up at benefit. www.govvacationrewards.com/afa and immediately earn 2,500 points which can be Critical Illness Insurance redeemed on their next travel booking. Members Through an agreement with Chartis, continue to accrue Reward Points, earning one AFAVBA will now offer Critical Illness Insurance to point for every dollar spent. Members. This coverage will pay lump-sum cash benefits in addition to any other insurance the Lifelock Member may have. Its purpose is to offset the The previous identity theft protection unexpected costs of recovering from a critical services contract has been replaced with a new illness. Critical Illness Insurance covers a variety agreement with Lifelock. Lifelock is well known as
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the leader in proactive identity theft protection with Existing Programs Update 1.4 million members. Lifelock provides for prevention of fraudulent credit activity and includes Term Life Insurance a $1 Million Total Service Guarantee which covers AFAVBA administers its own Term Life not only consumer credit identity theft, but also Insurance plans which are underwritten by MetLife. criminal, medical, insurance, mortgage, credit card Both a Decreasing and a Level Term Life Plan are fraud, etc. offered, with about 16,000 members participating. In June, we mailed a dividend payment to all CarPerks participants in the Decreasing Term Program to Through an agreement with CarPerks, AFA rebate a portion of the premium they paid in 2009 members can participate in a dealer discount for their coverage. The Decreasing Term program program providing up to $500 in addition to experiences the lowest loss ratios and we have manufacturer incentives. Internet savings include been refunding a portion of insured’s premium for all manufacturer incentives, dealer rebates, special more than 37 years in a row. We discontinued financing and at least $100 to $500 more savings actively marketing this plan many years ago at participating network dealers. When Members because of low response and now focus our purchase from a Carperks Platinum Dealer they marketing efforts on the Level Term plan. We just also receive a free $250 gift card to Best Buy, completed a direct mail campaign, however it’s too Home Depot or Sears. Visit www.carperks.net/ soon to gauge results. AFA for details. 2010 Holiday Greeting Card and Microsoft Discounts Collector’s Ornament AFA Members can save up to 85% on The 2010 Holiday cards are now available select Microsoft software through an arrangement and samples have been mailed to previous buyers. with Journey Education. Journey Education is the A new Air Force Memorial card was created this leading multi-channel software marketer to the K- year which includes the bronze honor guard 12 and post-secondary academic markets. statues at the Memorial. We also incorporated Through an agreement with Microsoft, their these statues in the 2010 collector’s Christmas discount programs have been extended to some ornament design which is also now available. military groups as well. These programs both provide royalty income to AFA. A full description of all Member Benefits is at www.afavba.org.
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Government Relations Doug Birkey (with Kristine Robbins and Matt Bearzotti)
The past few months have been dominated time when the fleet age is at a historic high and by the budget cuts outlined by Secretary of new aircraft like the F-35, Next Generation Defense Robert Gates in his May 8th, 2010 Bomber, C-27, T-38-replacement, Light Attack speech at the Eisenhower Library. According to aircraft, AC-130 gunship replacement, next Secretary Gates, “Given America’s difficult generation remotely piloted aircraft, and KC-X are economic circumstances and parlous fiscal slated to start entering the inventory. It is condition, military spending on things large and extremely doubtful that the Air Force will be able to small can and should expect closer, harsher concurrently fund all of its modernization scrutiny.” Anticipating an externally-directed programs, continue to maintain a geriatric fleet, budget cut through Congress or the and cover increasingly-expensive personnel bills. Administration, Secretary Gates preemptively Something will have to yield in this incredibly brokered a deal with President Obama, whereby difficult environment. This will ultimately mean the Department of Defense would maintain its top- assuming more risk. line, while cutting from within the Department in an The Air Force Association has been effort to internally fund future requirements. In real working with leaders on Capitol Hill, the think tank budget terms, the Secretary of Defense directed community, and the media to raise awareness each Service to find $2 billion of cuts in fiscal year regarding the severity of this situation. This is a 2012; $3 billion in fiscal year 2013, $5.3 billion in difficult period—clearly the nation’s fiscal condition fiscal year 2014, $8 billion in fiscal year 2015, and is precarious. However, we must also ensure that $10 billion in fiscal year 2016. In total, this means we invest in critical defense capabilities that are the Air Force must find a way to cut $28.3 billion in effective across the full range of the operating the fiscal years 12/16 program objective spectrum. The nation needs to invest in areas that memorandum. maximize efficiency and effectiveness, while Whether the Department of Defense is able minimizing the projection of vulnerability. Whether to avoid reductions in its funding top-line has yet to discussing shaping and deterrence, or outright be seen. Despite Secretary Gates’ efforts to reign combat operations, it is critical to build a force that in spending and maximize efficiency within the is capable of supporting the nation’s vital interests. existing budget, political forces on both the Right Not all wars of the future will look like Afghanistan and Left are pushing for additional budget and Iraq. Future investments must reflect the reductions for the military. The challenges facing uncertain world in which we live. AFA plays a the Air Force are further compounded because the unique role in this dialogue, helping key individuals Service has already attempted to draw down its see past near-term political considerations and personnel and maximize efficiencies in an effort to focus on the long-term strategic implications for redirect funding towards recapitalization. This the country. We recognize that hard choices need initiative was less than successful, largely because to be made, but we also realize that wisdom and the Air Force was not able to keep the savings it an encompassing perspective must govern this netted. While Secretary Gates has assured the process. Services that this will not occur again, the Air Force still faces an incredibly difficult set of Outreach choices regarding what to cut. Leaders have discussed everything from retiring the entire B-1 Capitol Hill fleet to an across the board cut. Secretary Gates is In addition to our daily efforts on the Hill, currently reviewing the Air Force’s proposal and GRL has also hosted many educational events for the final outcome is still far from certain. Congressional staffers. Our events have been All of these deliberations are occurring at a extremely well attended and have been successful
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both in piquing the interest of staff in Air Force It is important to highlight that AFA’s GRL issues, and as a venue for Hill staff to engage Air team does not work alone on The Hill. We have Force senior leaders to have questions answered valuable partners in the Secretary of the Air or hear further explanation on issues of interest. Of Force’s Office of Legislative Liaison, the Air particular note, AFA has been instrumental in National Guard’s Office of Legislative Liaison, and establishing the House Long Range Strike the Secretary of the Air Force’s Office of Reserve Caucus. This is clearly a fundamental Policy and Integration (Reserve LL). Another recapitalization issue for the Air Force and we trusted ally for the AFA’s GRL team is The Military were happy to arrange for General Bob Elder (ret) Coalition. The Coalition brings together 35 military to speak at the group’s first event in July. organizations in the Washington, DC area Considering the complexity of the representing in excess of 5.5 million members. challenges facing the Air Force, it is critical that the The organizations band together in common cause GRL staff have an accurate picture regarding to work the full range of personnel-related issues internal Air Force developments and policy that affect those who serve and have served. positions. The GRL staff has spent a considerable amount of time building substantive relationships AF & AFA Council Activity with key Air Force leaders in an effort to promote The Air Force Association also serves on an exchange of ideas that educates the GRL staff an advisory panel of the National Cemetery and also gives senior Air Force leaders an inside Administration. This position affords AFA the perspective regarding events that are occurring in opportunity to hear from NCA leaders regarding Congress. These efforts have been incredibly their plans for the expansion, repair and care of successful. The GRL team has been able to better our national veterans’ cemeteries. In addition, advocate for the Air Force with a more AFA also provided advisory assistance to the sophisticated message and many in the Air Force Uniformed Services University of Health Sciences have benefited from insight we have provided and the Military Impacted Schools Association. them regarding various facets of Congress. We AFA also continues to serve as a member of the look forward to maintaining these relationships and Veteran Affair’s Secretary’s Veterans Service fostering new ones. Organization (VSO) Advisory Panel. This Panel Additionally, the GRL team also realizes advises the VA Secretary on issues and programs that the media is one of the most important of concern. influencing factors on Capitol Hill. Working with The Air Force Association also holds a seat AFA’s Policy and Communications team, the GRL on TRICARE’s Deputy Director’s (Major General staff has actively reached out to journalists [Dr.] Elwood Granger) Quarterly Senior Level throughout Washington and much of the country. Panel and works on the TRICARE Beneficiary This continues to be a very successful endeavor Panel. These positions help AFA shed some light as we help these individuals understand lessons- on the internal workings at TRICARE Management learned, the strategic implications of defense Activity, the body charged with the responsibility of policy decisions, and Air Force roles and missions administering the TRICARE Health Care Program. in general. There are often occasions when we can be far more direct with the media and say what needs to be said versus what members of the Air Force can say in uniform. This effort has yielded very positive results, with many influential news stories published that have helped carry the Air Force message to key decision makers.
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Programs & Industry Relations Mary Ellen Dobrowolski (with Lynette Cross, Meghan McClelland, Dennis Sharland and Lizzie Carver)
The Programs and Industry Relations One of the elements we have been able to Department oversees all meeting and event add to this event is the CyberPatriot competition. planning and implementation, awards programs, This AFA initiative has brought a great deal of many of our scholarship programs, the technology attention and excitement to our Orlando program. expositions in Orlando and Washington DC, and You will see more about CyberPatriot in their our relationships with the foreign attache section of this President’s Report. community assigned to the US. We are In April AFA held a very successful Air responsible for AFA’s relationship with the Attache event, attended by both Secretary of the aerospace industry and their interaction with many Air Force Michael Donley and by Chief of Staff of of our projects. We solicit and manage the Air Force General Schwartz. During the same sponsorship opportunities; we also solicit table month the Team of the Year program saluted Air sales for our events. We oversee the details for Force Remotely Piloted Aircraft Sensor Operators. everything listed here on our events calendar. In In May the AFA Chalet at the Joint Services Open addition, we work with the Nation’s Capital Chapter House was a big success with our largest turnout of AFA on their events, and in a variety of other ever. In attendance were many of our industry areas. partners and members of the foreign attache Mary Ellen Dobrowolski, Director, community along with members of their Programs and Industry Relations embassies. Dennis Sharland, Manager, Manager, We are continuing to host the AFA Air Industry Relations Force Breakfast series, held ten times each year in Lynette Cross, Manager, National Crystal City. The speakers are provided by Aerospace Awards Secretary Donley’s office. These events Meghan McClelland, Manager, Meetings consistently attract leaders of aerospace industry and Events from the DC area, and a good amount of press. Lizzie Carver, Programs and Corporate The Mitchell Institute for Airpower Studies Relations Assistant continues to offer studies and papers during their Henry Sanders, Executive Assistant West Mitchell Hours. As this program becomes more Coast Programs well known the attendance has been growing consistently.
Past Events In February 2010 our AFA Air Warfare Upcoming Events Symposium and Technology Exposition, and AFA After a great deal of hard work AFA held Central Florida Chapter’s 26th Annual Gala were their first Convention, along with the Air & Space held at the Rosen Shingle Creek Hotel in Orlando, Conference and Technology Exposition at the Florida. This was our third year at this property. Gaylord National Resort and Convention Center. We are continuing to grow the Technology All of the preplanning really paid off, we had a very Exposition at this location, which provides us smooth transition. We are looking forward to the additional function space to expand in coming opportunity to grow these events as the Gaylord years. provides the space we need to move forward. As we work to grow our attendance, we will The Global Warfare Symposium held in now have the ability to explore an expanded Los Angeles every November continues to grow. Professional Development program. The hotel will We are continuing to adjust to attract more allow us to further develop all the elements of our attendance to this program. program in Orlando.
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That attached calendar will give a more 2010 Air & Space Conference and Technology complete overview of all the upcoming events to Exposition are 56% over the amount budgeted for date. this event. Continuously networking with our industry partners, and working with each company individually to determine where each finds value Industry Relations / Expositions has helped this program grow. The AFA Industrial Associate Program ended on December 31, 2009. On January 1, Awards 2010 we launched the new AFA Corporate Our Awards Programs are headed up by Lynette Membership Program. To date we have 89 Cross, Manager, National Aerospace Awards. companies in the Program. Among the benefits to She also takes care of the details for the Team of each company are 50 full individual memberships the Year Program and the Outstanding Airmen of and a listing in our Corporate Member Directory, the Year program. available on the AFA website. To date this year, Lynette has issued over Exhibit booth sales at the Technology 1,200 medal award packages to ROTC, JROTC Exposition at the Air Warfare Symposium in and CAP. She also managed a number of Orlando increased by approximately 500 square miscellaneous award programs including those for feet, an increase of 2.4% in 2010. the ROTC Drill Teams, Civil Air Patrol Senior Member Awards, Arnold Air Society Awards, etc. Exhibit booth sales for the 2010 Air & For the over 70 National Aerospace Space Awards presented during conference, Lynette Technology Exposition are up over last handles the nominations, getting materials to the year by 200 square feet or just under .5%, to date. Awards Committee, sending announcements to The average size of a booth has increased by MAJCOMs, sending out all related more than 60 square feet from about 317 square correspondence, and having certificates and feet to 379 square feet. plaques made. Press releases, website changes, Growth of any kind for exhibits in this and announcement lists are all proofed by economy is a real positive as the trend for trade Lynette’s eye for accuracy. shows nationwide is for a sliding drop in displays and participation. Scholarships Finally, we have secured Freeman as a Lynette Cross also manages our sponsor for our ExpoCad FX subscription service, Scholarship and Grants Programs. These include saving AFA $1000 annually. This service allows $2,500 in JROTC Grants, 241 Pitsenbarger us to publish the floor plans live, showing actual Awards, the Spouse Scholarship, the Ferretti booth sales and exhibitor contact information on Scholarship, the Jodi Callahan Scholarship, the the web. Grantham Scholarship and $11,250 in CAP Grants. Sponsorships The corporate sponsorships for our various events have been steadily increasing. Total sponsorships for the 2010 Air Warfare and Technology Exposition were almost double the sponsorships of the previous year for that event. As of the writing of this report sponsorships for the
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September 10-15, 2010 AFA Executive Committee Meeting Gaylord National Resort & AFA Field Awards Reception & Dinner Convention Center, National AFA Board of Directors Meeting Harbor, MD National Convention Business Sessions Outstanding Airmen of the Year Program Air Force Council Meetings Air & Space Conference and Technology Exposition TBD AFA Air Force Breakfast Program, Maj. Gen. Robin Rand Crystal City Sheraton
October 13, 2010 AFA Air Force Breakfast Program, Dr. Werner Dahm Crystal City Sheraton October 21-24, 2010 AFA State and Region Presidents Orientation and Meeting Key Bridge Marriott
November 9, 2010 AFA Air Force Breakfast Program, Gen. W. Fraser Crystal City Sheraton November 16-19, 2010 Air Force Council Meetings and Activities Beverly Hilton Hotel, Beverly Hills, CA
AFA Global Warfare Symposium The Air Force Ball
December 9, 2010 AFA Finance Committee Meeting Key Bridge Marriott/AFA Board Room December 10-11, 2010 AFA Executive Committee Meeting Key Bridge Marriott/AFA Board Room
January 20, 2011 AFA Air Force Breakfast Program, Mr. Dave Van Buren Crystal City Sheraton
February 15-19, 2011 Air Force Council Meetings and Activities Rosen Shingle Creek, Orlando, AFA Executive Committee Meeting Florida AFA Air Warfare Symposium & Technology Exposition AFA Central Florida Chapter Air Force Reception and Gala AFA Board of Directors Meeting
Spring 2011 (TBD) Air Force Magazine's Air Attache Reception Key Bridge Marriott Spring 2011 (TBD) AFA Senior Leaders Advisory Group (SLAG) Key Bridge Marriott/AFA Board Room Spring 2011 (TBD) AFA FCC Meeting AFA Board Room
April 2011 (TBD) AFA Region President's Meeting Dallas, TX April 2011 (TBD) AFA Nominating Committee Meeting Dallas, TX April 22-26, 2011 Arnold Air Society/Silver Wings Conclave (AAS/SW) New York, NY April 30- May 4, 2011 Team of the Year Key Bridge Marriott, etc.
May 2, 2011 AFA Team of the Year Awards Reception Key Bridge Marriott May 20, 2011 AFA Attache and Industry Event at the Joint Services Open House Andrews Air Force Base, MD
June 2011 (TBD) AFA Audit Committee Meeting Key Bridge Marriott / AFA Board Room AFA Awards Committee Meeting Key Bridge Marriott / AFA Board Room
AFA Strategic Planning Committee Meeting Key Bridge Marriott / AFA Board Room
August 2011 (TBD) AFA Finance & Executive Committee Meeting Key Bridge Marriott /AFA Board Room
September 16- 21, 2011 AFA Executive Committee Meeting Gaylord National Resort & AFA Board of Directors Meeting Convention Center, National National Convention Business Sessions Harbor, MD Outstanding Airmen of the Year Program Air Force Council Meetings Air & Space Conference and Technology Exposition 15
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Policy & Communications Chet Curtis (with Joel Hannahs and Bridget Wagner)
2011 Statement of Policy and Top Leader Session with the Junior Force.” This Issues special session was attended by more than 100 The draft of the 2011 Statement of Policy junior officers and enlisted personnel from area Air and Top Issues was reviewed by the Executive Force bases to hear the SECAF, CSAF and the Committee on August 6th. The 6,800-word commander of AFMC speak about personnel document, titled “An Air Force on the Edge,” is the issues. result of a deliberative process that garnered input from the Air Force Councils, the Force Capabilities Committee, AFA’s professional staff and the Air Media Relations Force. AFA members were able to read and The Policy & Communications Department comment on the document during this period. issued thirty-four press releases and answered Following the comment period, the policy draft will general media queries from February 2010 be forwarded to the 2010 National Convention for through August 2010. The subject of media a final review by AFA’s Executive Committee, and queries ranged from requests for information and then consideration by the Board of Directors and interviews concerning the Nuclear Posture Review, delegates. and defense budget cuts in procurement. We also produced seven radio public service Editorial Distribution announcements for AFA Chapters and are The editorial distribution program, which currently updating the AFA membership video. involves circulating the monthly AIR FORCE Magazine editorial to national newspaper Air & Space Conference 2010 syndicates for publication, is in its eighth. This Program and Products program, which is executed at no cost, continues For the fifth straight year the Department to increase the reach of air and space power and was heavily involved in the planning and advocacy and the discussion of important Air preparations for the September Air & Space Force issues. Conference. More than 60 speakers have been invited to participate and make presentations AFA National Symposium in Orlando during workshops, forums and conference In addition to helping to coordinate speaker addresses. The line-up of presenters is an A-list of invitations, presentations, and assisting in program speakers including the Air Force’s top leaders, the arrangements for the symposium, titled Pulitzer prize winning authors, Neil Sheehan and “Developing America’s Airmen Today…For Richard Reeves, Best selling author Dale Brown, Tomorrow.” The Department published the and other experts and academics. complete text of symposium transcripts on AFA.org. The Symposium included presentations by General Norton Schwartz and the Chief Master Sergeant of the Air Force Roy. A first for this symposium was the special “Senior
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Finance John F. Smith
Results of 2009 Financial Operations
Since the last President’s Report (February 2010) the Accounting Department completed its summary of operations for the year ending December 31, 2009 which included the financial transactions of AFA, VBA, and Air Force Memorial Foundation. The consolidated report was audited by AFA’s independent accountants, Larson Allen, LLP. The audit was conducted in accordance with Generally Accepted Auditing Standards (GASS) which require that the engagement be planned and conducted to obtain reasonable assurance that the financial statements are free of any material misstatements. The audit resulted in an unqualified opinion, which means that the financial reports present fairly, in all material respects, AFA’s financial position as of December 31, 2009. In summary form, the results of financial operations for 2009 were as follows: Temporarily Permanently Unrestricted Restricted Restricted Total 1) Revenue 15,856,529 (1,029,029) 17,327 14,844,827 2) Expenses (16,521,282) (16,521,282) 3) Net (664,753) (1,029,029) 17,327 ( 1,676,455) 4) Change in Pension Liability 1,003,888 1,003,888 5) Unrealized Gain on Investments 2,446,775 167,226 2,614,001 6) Capital Additions (Life Mbrs) 270,475 270,475 7) Gain on Interest Rate Swap 310,002 310,002 8) Inc (Dec) to Fund Balance 3,366,387 ( 861,803) 17,327 2,521,911 9) Beginning Fund Balance 21,446,644 1,418,296 853,996 23,718,936 10) Ending Fund Balance 24,813,031 556,493 871,323 26,240,847
Results of Financial Operations through May 31, 2010 An interim statement covering financial activity for the first five months of 2010 with comparisons to May 31, 2009 and to the 2010 budget was completed recently; the results are as follows:
May 31, May 31, Increase Annual 2010 2009 (Decrease) 2010 Budget 1) Revenue 4,967,655 4,118,778 848,877 15,021,790 2) Expenses 5,627,121 5,938,537 (311,416) 15,346,790 3) Net (659,466) (1,819,759) 1,160,293 ( 325,000) 4) Capital Additions 114,253 (114,253) 265,000 5) Inc (Dec) in Unreal Capital Gains (598,196) 708,881 (1,307,077) 0 6) Inc (Dec) Fund Bal. (1,257,662) (996,624) (261,038) (59,999) 7) Begin Fund Bal. 26,240,847 23,718,936 2,521,911 26,240,847 8) End Fund Bal. 24,983,185 22,722,312 2,260,873 26,180,848
Some highlights of the May 2009 report are as follows:
Revenues: Contributions to the Air Force Memorial Foundation total $282,791 which was $129,601 greater t h a n the first 5 months of 2009.
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Lapel pin income totals $150,704. This amount is $19,862 less than 2009. As of May 31, 2009, income from the Label program totaled $261,750 which exceeds last year’s total by $6+5,755 and equals 130% of the $200,000 budgeted.
General contributions consist of: 2010 2009 General contributions (General Fd) $ 69,528 $ 49,947 In Kind (donated travel reimbursements) 12,442 12,152 Combined Federal Campaign (General Fd) 73,942 86,690 Embry Riddle Contributions (Endowment Fd) 46,190 40,000 Callahan Scholarship (Endowment Fd) 15,500 5,300 Total $217,602 $194,089
As of May 31, 2010 AFA received three bequests as follows: Estate of Betty Benham $ 39,300 Estate of Charles O Richter 2,000 Estate of Allen and Elizabeth Meredith 1,090 Total $ 42,390
Income from fellowships totals $6,080 which is $1,380 more than last year; the total equals 25% of budget. Dues Income amounts to $875,809 which is $88,467 less than last year and 6% under budget. As of May 31, we had 117,262 members which is 4,000 less than May 2009. We are budgeted to have 118,840 members as of December 31, 2010. Combined (print and electronic) advertising income totals $536,764 which is $85,362 more than l a s t year and is on budget through May 2010. Income from administration of AFA’s insurance programs is on budget and totals $433,313 as follows:
2010 2009 Inc (Dec) Accident 61,856 61,646 210 Decreasing Term 169,443 176,511 (7,068) Level Term Life 202,014 193,618 8,396 Total 433,313 431,775 1,538
Investment income amounts to $258,020 which is significantly better than May 2009 where we recorded losses totaling $9,712. This year’s income exceeds our 2009 position by $267,732 and is 5% ahead of budget. Commission income totals $159,749 which is $18,103 less than last year’s total. The decrease in commission income relates to elimination of on line banking activity. However, since May, commission income increased $200,000 due to our new endorsement agreement with USAA . Income from the Orlando Symposium totaled $523,770. Revenue from this event exceeded our 2010 budget by $28,770 or 5.8%.
Expenses: Employee compensation amounts to $2,027,130 which is consistent with May 2009 and right on budget. Payroll taxes total $155,484 which is $4,777 more than last year.
The cost of employee benefits amounts to $120,545. The elements of this line item are:
2010 2009 Inc (Dec) Medical $ 89,012 $ 86,731 $ 2,281 Dental 6,571 6,019 552 Life Insurance 5,418 6,653 (1,235) L T Disability 4,903 4,720 183 401 (k) 14,641 14,236 405 Total $ 120,545 $118,359 $ 2,186
General printing and supplies expense totals $201,682 which is $82,000 less than 2009’s total due to a timing difference in our Spring Membership and Insurance solicitation mailings.
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In additional to general printing we also incurred printing and supplies expenses for Lapel Pins - $41,115 and Mailing Labels - $36,676. Postage expense of $582,551 is $48,838 less than 2009 but slightly (3%) over budget. The decrease in expense is attributed to Spring Insurance and Membership solicitations (referenced above) that were mailed later in 2010 as compared to 2009. Equipment costs total $77,254 and consist of rental, maintenance, and repairs expense for all building, office, and computer equipment. The total at May 2010 is $11,369 less than 2009 and well under budget for the five month period. Building service contracts and utilities expense of $208,667 is $7,898 less than last year and slightly (4%) under budget. Magazine production expenses total $378,678 which is $75,140 less than last year and 8% under budget. Cost elements of magazine production are as follows:
2010 2009 Inc (Dec) Paper $128,415 $164,404 $ (35,989) Printing 124,811 136,789 (11,978) Composition 26,675 24,525 2,150 Manuscripts 72,045 86,350 (14,305) Photos & Color Separation 17,950 30,988 (13,038) Copyright 90 225 ( 135) Wrap and Mail 8,692 10,537 (1,845) $378,678 $453,818 $(75,140)
Insurance expense of $53,896 is consistent with 2009’s total and tracking well to budget. Insurance coverage includes property, casualty, liability, automobile, workers compensation, Multi-Media liability, and Directors and Officers Professional Liability. Interest expense of $87,743 represents interest paid on AFA’s $5.8 million line of credit with Wachovia/Wells Fargo Bank. The all-in average rate of interest paid during the five months, for both the fixed and variable portions, was 3.2%.
Awards expense totals $250,626 as follows: 2010 2009 Cyber Patriot $27,483 0 JR ROTC Drill Team Trophies 5,000 $ 5,000 Employee Awards (Quarterly & Service) 3,500 4,500 Civil Air Patrol 11,250 11,250 JROTC Instructor Grants 2,450 2,500 Teacher Recognition Awards 25,000 26,000 Chapter Grants 7,340 6,931 Educator Grants 28,162 28,162 Spaatz Award 1,000 1,000 Pitsenbarger Awards 93,965 95,200 Embry Riddle Scholarships 40,000 40,000 Various Award Plaques 5,476 4,676 Total $250,626 $225,219
Expenses for the first five months total $5,627,121. The excess of expenses over revenue (deficit) amounts to $659,466. AFA’s net assets as May 31, 2010 amount to $24,983,186 which is $2,260,873 greater than May 2009.
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Advancement Lois Stirewalt O’Connor (with Lisa Rietman and Caitie Craumer)
Advancement is a systematic, integrated Personnel method of managing relationships in order to We are pleased to announce the addition increase an organization’s support from key of Caitie Craumer to our Advancement team as of outside constituents, including members and April. Lisa Reitmann has moved into the overall friends, government policy makers, the media, management of our direct mail program of our members of industry, the community and annual giving, and has been dealing philanthropic entities of all types. The (magnificently) with the IMIS data concversion. development process (or fundraising) is at the Caitie will take over more of the day to day heart of this process. It is responsible for achieving operations, and managing and growing our the financial goals in support of the programs and Fellowship program. Further, we will have the initiatives such as scholarships, awards, benefit of her hands on experience with social professional development and congressional media, Web 2.0 (and now 3.0) marketing/ relations. It is the baseline for building on the integration. relationships that form the foundation for giving Caitie is a graduate of The George and growth of the Air Force Association. Washington University, and she worked, as a A growing area of importance for all non- student, in their development office. She is a profits, including AFA and the AFMF, is the wonderfully welcome member of our team! concept of social – media and the integration of that into all aspects of the advancement process. Air Force Association Because of the greater efforts placed on Annual Giving integrated marketing, there is a noted spike in The data reported for this President’s Annual Fund dollars, and overall interest, and Report, only reflects the results from January 1of marketing. This is extremely important as we 2010 to May 31, 2010. To date, we are running continue to focus and recognize the importance of approximately 21% ahead of where we were this indivuals and grassroots. We will not exclude, nor time in 2009. mitigate the importance of corporations and Included in these numbers are the foundations, but the Air Force Association and the generous donations from the Combined Federal Air Force Memorial stem from grassroots support. Campaign/ the United Way/ Company matching gifts/and AFA Chapters.
2009 Total 2009 2010 Number of donors 9665 16572 10,511 $$ from individuals $483,450 $1,001,690 $586,220 $$ CFC/United Way $16,051 $60,803 $28,984 $$Matching gifts $2779 5889 2416 AFA Chapters 15 @ $19,895 52 @ $14,1971 10@ $18,842 AAS Chapters 4 @ 303 4 @ 303 0 Total $$ in AS400 $590,770 $1,496,448 $947,768
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Combined Federal Campaign Over the years, this program has had It is important to note that the Combined moderate success. Federal Campaign is indeed part of the overall An evaluation of current Fellowships was Annual Giving efforts and dollars attributed to our made, and key volunteers have been consulted as numbers. However, it is very challenging to make to historical origin and importance. Through this comparisons based on how they operate. The process, several key realizations took place 1) We “sign up” period for CFC is September until have very outdated (and even obsolete) logos/ November of each year, with the actual images 2) some were very costly to produce vs “donations” beginning in May of the following year. value of product, and 3) there were some Our launch begins September 1, 2010. recognition opportunities missing. That being said, there has been a steady The most telling change, is the and marked increase of income from CFC in each announcement and addition of the Chief Paul of the past three years, since Mike Dunn has Wesley Airey Leadership Fellowship ($2500) This increased efforts and initiatives in this area. Our award would recognize others who possess the numbers comparing 2009 to 2010 demonstrate an same qualities of leadership, dedication, resilience 80% increase in giving from CFC alone! and innovation. This fellowship will celebrate Continued marketing in this area have leadership and dedication above and beyond the demonstrated marketed success. The CFC call of duty. numbers will be listed continually during The marketing and revitalization of this conference, ads via Daily Report, Air Force program is underway and a big emphasis will be Magazine, and other military publications. placed upon year end giving. AFA and the AFMF have an incredibly loyal group of financial supporters. Furthermore, intensified efforts with regard to segmentation and Air Force Memorial evaluation of our data base have made an impact. As earlier mentioned, the AFA and the Increased visitations and volunteer efforts, and AFMF are now working more closely than ever to trying new and innovative methods are further harmonize and redefine advancement efforts. This enhancing our bottom line. includes, establishing an Annual Fund program, a Of course, there are many kinks that need cumulative giving recognition society, and (to be to be worked out operationally as we proceed, but discussed later) the Legacy Society, which is the that is usually the case with any kind of conversion planned giving society for the Memorial. Lastly, it or new efforts. includes assisting in the marketing efforts of the Memorial via integrated efforts on Facebook. Fellowships As the new data retrieval and management Fellowships were established several years process are defined, it is not completely fair to ago to provide additional opportunities for compare statistics from 2009 and 2010, as done individuals, chapters and others to provide previously for the Air Force Association. That philanthropic support for the Air Force Association. being said, current stats are listed below.
2009 Total 2009 2010 Number Individual 1848 6767 3889
$$ Donations $85,371 $348,088 $172,922
$$ CFC/United Way $4777 $39,123 $15,101 Matching/Chapters/other $2335 $19,925 $430
Total (through 5/28 AS400) $91,934 $408,626 $188,454
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There is also a noted spike in results of Legacy Society – Air Force Memorial greater effort and integreated approach from the The new planned giving society for the Air Combined Federal Campaign dollars. In 2009, Force memorial was announced in September of comparison from the aforementioned selected 2009. While starting slowly, marketing efforts have dates, were $4226 where as in 2010, results are already begun. Perhaps the most significant is the $15,101; representing more than a 3 times new web-site which will provide information to increase in income! those interested. It can be found at www.airforcememorial.org/plannedgiving Planned Giving Inductees September 2010: Thunderbird Society- Air Force • Lucy Works Association Established in September of 2005, planned Further, the Memorial is in anticipation of at giving continues to be a huge component of future least $250,000 from a current planned gift that is in income for the Air Force Association. To remind, a probate by year end. planned gift is one that comes from making the Air These individuals have expressed their Force Association part of your overall estate plans commitment to Air Force Memorial Foundation and giving. Overall realized gifts for 2009 through a very special and important form of $285,791, making that 23% of the overall financial support. philanthropic income. These donors have named the Foundation Marketing efforts and personal efforts as the ultimate beneficiary of a planned gift. Such continue to be enhanced. Direct result of this is gifts might include a bequest and/or charitable evident with the number of new members to the income gifts, such as charitable remainder Thunderbird Society in 2010. unitrusts, or gifts of stock, or life insurance. New Thunderbird Society Members to be inducted during the delegate session September 2010: Integrated Marketing/Social Media Some of the additional responsibilities for • Clarence Brown this team, include the management and marketing • Bradford Cummings of the AFA and the AFMF Facebook/ Linked in and • Donald Davis other social networking and other web 2.0 sites. • Angela Dupont (CONFIRM!!!!!) In an ongoing effort to further communicate • Justin and Deann Faiferlick and engage our constituents, social media is a • Martin Harris way in which information can be emitted, shared, • Joseph Kabot commented upon, and forwarded. To date, the • Billy McLeod FACEBOOK site alone has over 3500 followers. • William Spruance The data on this is very interesting. Contrary to general assumption, our initial The Association has currently (Jan to May demographics for followers were above the age of 2010) received over $61,000 in realized estates, 55. However, with our analytics, we’ve been able and is in anticipation of at least another $300,000 to track exactly what people like to read, which by year end. articles/pictures/facts etc; and we can tailor our This number can be added to the over $7 comments/submissions accordingly. Further, we million in intended assets that are being held for are working with the Daily Report and Magazine the future of our organization. staff to answer questions and make appropriate Very few planned gifts are “irrevocable” comments. As a result of these efforts, our stats meaning that individuals can change their minds at have lowered, and in fact, our participants have any time. That being said, it is critical that ongoing gotten younger. (see below) efforts will be made to steward our members.
Age 13-17 2% 3% Total 3% Age 18-24 14% 6% Total 20% Age 25-34 9% 5% Total 14% Age 35-44 16% 7% Total 23% Age 45-54 16% 6% Total 23%
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Furthermore, with the addition of the Current members of this Corporate Sub- CyberPatriot social media initiatives, the overall Committee are: market has strengthened. Over time, this analysis, and attention to • Les Lyles – multiple organizations/USAA/GD detail will be utilized to convert viewers/followers etc. into actual members and then donors. • Bruce Wright- LMCO • Angela Dupont -SAIC • Si Johnson- EADS Development Committee • Wayne Kaufman- Raytheon Led by Board member Larry Lawson, the • Kevin Jackson - ATK Development Committee looks to take lead in the • William Dalecky - PW year end initiatives for calling and thanking our • Steve Wood- Rolls-Royce donors. • Jack Catton - Boeing One of the main areas of focus for this committee is that of Corporate Philanthropy. It is of great importance to consider the new Corporate Membership program benefits and structure. As such, a corporate sub-committee was formed to provide insight, liaison, contacts and leads for our overall benefit. Dave Vesely (SAIC), has generously donated his time and energy to this.
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Information Technology Laurie Brice (with Neha Bhatt, Ed Cook, Mike Davis, David Huynh, Chris Saik, Ed Walker, and Ted Yorkshire)
Membership System (iMIS) Air Force Memorial iMIS is in production and serves data to The IT staff continues to clean and refine manage membership, insurance, fundraising and our membership and donor databases after fulfillment operations. iMIS is a full accounts inclusion of the Air Force Memorial’s data in the receivable system and integrates with AFA’s summer of 2008. This work will continue accounting software. As of today there remain indefinitely as it should for any active database. many issues improve, automations to configure, The Membership, Insurance/Member Benefits and tasks to train, processes to solidify and document, IT departments work together to reconcile reports to write and website connections to duplicate records, remove them and improve program. However, in 12 weeks we abandoned processes to prevent duplicates moving forward. our ancient and inflexible system of 18-years, These efforts in turn reduce fundraising costs and instituted a full, modern financial application and streamlined contact with our members. migrated the member/donor/insurance records for AFA IT is supporting the Memorial’s over 350,000 individuals along with 4,000,000 of fundraising and Archives projects by providing their supporting transactions into this new system. mailing databases, and support for website It would be unique if growing pains didn’t projects and infrastructure. All Air Force Memorial accompany this transition. donor data have been incorporated into iMIS Look for website improvements tied to this during the implementation of that application. flexible data system in the coming months. Donations to the Memorial are processed and Change will be gradual but steady. reconciled in iMIS several times each week. The Memorial, Development and IT staff are working together to harmonize fundraising efforts for both Conference and Symposia Support the Memorial and AFA. Successful efforts will The department continues to assume lower costs through consolidations, increase responsibility for conference and symposia efficiency and enable us to provide better targeted registration and onsite Information Technology fundraising efforts and donor cultivation. needs. Prior to the Air Warfare Symposium in Orlando in 2009, the AFA IT Staff constructed a Traveling Registration Local Area Network Website (TR LAN), tested it and worked with The Dan Marrs Group, LLC, developer of our latest About Website Statistics registration application to install, configure and test Beginning with the August 2008 President’s the registration system. Application refinements Report, statistics are analyzed and reported using and testing continue to this day. The TR-LAN is Google Analytics. Data reported in previous autonomous. It can run isolated from the AFA-HQ President’s Reports will not match those you see systems for testing and is capable of supporting a for the same periods in this report because our Virtual Private Network (VPN) when connected at previous software defined a website “visit” our event hotels. The IT staff continue to adapt the differently from the Google definition. We adopted hardware and infrastructure design and Google Analytics because it is without cost to AFA, operational support needs to meet the challenges easier to use and more reliable than our previous of this evolving application. The department’s software. We have been collecting data via Google responsibilities will grow again in early 2011 to since November 2006 when the Daily Report first support the Cyber Futures Conference in early came online. April.
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Website Traffic – With AFA’s upgrade to SharePoint www.airforcememorial.org technology in May of 2008 for the www.airforce- In April 2007, the AFA IT staff assumed magazine.com website, statistics for the Daily complete operational responsibility for the Air Report and Air Force Magazine Online (light Force Memorial website; however we collected orange section of the bars since May 2008) data against the site beginning in November 2006. became available separately from those for The Memorial staff continues to provide all web www.afa.org. The figures are reported together content and the IT staff assumed responsibility for here for comparison to former periods. Visits to maintenance and updates. The web traffic www.afavba.org are shown in the top most section statistics for the periods available are shown of each bar and colored light yellow. We began below. The 2010 visits today are about 4% lower tracking www.afavba.org statistics in September than those for the same period in 2009. 2008.
Nov - De c www.AirForce Memorial.org
318,149 350,000 300,000 239,138 250,000
200,000
Visits 150,000 105,692 61,536 100,000 59,496
Nov - De c Jan - July 50,000
0 2006 2007 2008 2009 2010
Website Traffic The number of visitors to to the combined USCyberPatriot.org AFA, AF Magazine, and AFAVBA websites is 12% AFA IT will begin collecting website traffic higher in 2010 for the Jan – July period than it was statistics for USCyberPatriot.org in August of 2010 for the same period in 2009. The chart below and will report them here in the future. shows this year’s traffic in comparison to previous years. Website Visits
160,000
140,000
120,000
100,000
80,000 Visits 60,000
40,000
20,000
- Jul Jul Jul Jul Jan Jun Oct Jan Jun Oct Jan Jun Oct Jan Jun Feb Mar Apr Feb Mar Apr Feb Mar Apr Feb Mar Apr Nov Dec Sep Nov Dec Sep Nov Dec Sep Nov Dec May Aug May Aug May Aug May 2006 2007 2008 2009 2010 Months/Years
AFA AFMag AFAVBA
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Website Platform Improvements maximum capacity in August to accommodate the No platform improvements to the AFA/ growing needs of the AFA, AFM, CyberPatriot and AFAVBA/AF-Magazine/AFM platform have been Mitchell Institute staff. We will add an additional necessary during the past six months. We digital switch to our telephone system in the anticipate the current platform will handle our coming months to support the independent offices traffic through the coming year. We continue to for CyberPatriot and the Mitchell Institute. evaluate and improve the security configuration of our website. Because it is the public-facing PC Upgrades platform for the Association, particular attention to We remain committed to our 5-year security is always required. schedule for replacing user PCs. 2010 marks the During this period a separate platform 2nd year of a 5-year schedule. All staff PCs are consisting of a Microsoft SQL server and a network-optimized and capable of running all AFA Microsoft Office SharePoint Server were put in software. CRT monitors were replaced with the place to support the USCyberPatriot.org website. widescreen LCD panels important for spreadsheet, Given the focus of the CyberPatriot website, database, iMIS tasks and energy efficiency. CRT security is a major concern for this platform also. replacement was completed in March 2009. As always, AFA donates retired equipment to Email Subscription Services recognized charities – in 2009 we donated to AFA delivers a full copy of the Daily Report Goodwill an organization that partners with Dell to via email to approximately 60,000 members and recycle all unusable donated equipment. This supporters each business day. Nearly 65,000 year’s upgrades presented unexpected challenges email messages containing General Dunn’s Note as the Windows 7 operating system of the new from the AFA President are delivered each week. desktops required extensive adjustments to Many of our subscribers receive both messages. network drivers and some applications. Additionally, we send event notices to nearly 72,000 potential attendees, to welcome new Printer Upgrades members each week and to send emails Thus far we have been able to use our specifically targeted to Air Force Memorial donors. existing printers to accommodate the demands of These capabilities are made possible through a iMIS –related printing with a single exception. We vendor relationship with ListPilot. replaced a very old HP LaserJet used by our We continue to consolidate in-house mass Membership department with a new, fully-featured email projects into ListPilot where feasible. It has HP LaserJet. the advantages of autonomous SPAM and virus filtering, managing bad email addresses, email by Security Review template, and statistical reporting on user clicks Now that iMIS is operational and provides when following imbedded hyperlinks. In addition, increased security features over past systems and use of List Pilot guarantees that mass email traffic because we have implemented a new platform for will not take place on AFA’s email server thus CyberPatriot, we are working with a network insuring good response for our normal business security firm to conduct a full review of all systems traffic and mitigating the danger of increased both internal and external to AFA. The HQ SPAM and virus attacks. With the implementation network, servers and workstations, and all of iMIS early this summer, we look forward to externally hosted platforms will be reviewed as automating many of the supporting tasks that now well as our connections to various vendor sites require staff intervention because of our less that provide outsourced services. We anticipate flexible AS/400 membership system. this effort will take place in October.
IT Infrastructure
2009-10 Network Enhancements Network enhancements except for necessary maintenance and upgrades have been postponed during the implementation of iMIS due to the demands on staff. We did increase the storage capacity of our Storage Area Network (SAN) to its
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Administration Kathy A. Snodgrass (with Katie Doyle and Tonya Hall)
AFA Building finished product, but it would be available as soon as AFA would move out. Operations There are six leases expiring in 2012 and The building budget for 2011 is in the AFA could occupy space that is not renewed. process of being drafted. Government contractors are a large part of those Bids are being collected to replace the looking for space in the Washington Metropolitan generator which is original to the building Area, but their need is more immediate than The first floor corridors will be painted in waiting for space to be built. conjunction with the first floor build out for AFA’s expansion. The third floor corridors were painted when the Berico construction was completed. The Internet Access/Local and Long second floor was refurbished a couple of years Distance Services ago when construction was complete on that floor. AFA has had 4.5 megs of bandwidth with And, the 4th floor was done in 2006. Paetec who is also our telephone service provider. This contract expired in the spring so bids were Leasing sought for 10 megs of Internet access as well as 100% of the leasable space is rented and our local and long distance service. As we have occupied. Since February, the following increased our activities over the web the past few transactions have taken place: years, our bandwidth has been totally consumed. After reviewing the bids, AFA contracted • 1,111 SF suite 130 was leased for three years with Paetec for 10 megs of Internet access and to a law firm, Manuel Rivera local and long distance service for a three year • 2,051 SF, suite 301 was leased for five years term. This service will now be delivered via fiber. to Carolina Linkages (Safe Ports) This is a leap forward for AFA in technology and • 1184 SF, suite 101 was renewed with Shared will provide more flexibility in the future to meet Hope for three years AFA’s needs. The increase in recurring charges is • 1647 SF, suite 302 was renewed with Expert $320 per month which is very competitive for these Choice for two years; this was a downsizing for services. this tenant The new service was implemented on • 1193 SF, Suite 301, the space returned from August 10. Expert Choice, was leased to George Sharp, Inc. for five years; construction is almost finished and tenant will occupy the latter part of Personnel August Nine new people have joined the staff and two employees have left since the last report. AFA Expansion 4,306 SF first floor shell space will be built New Staff out for Cyber Patriot and Mitchell Institute. Kari Hahn returned to the Membership Drawings are complete and construction will begin Department March 1. Since leaving AFA, she as soon as a building permit is acquired. Since received her Master’s Degree in Public Policy with this is about three times the space required, the a concentration in Nonprofit Management from plan is to occupy this until a more right-sized suite George Mason University. Hahn also worked as a becomes available. Showing built-out space will freelance government contractor and the Director also benefit the leasing prospects for this space. of Membership for the American String Teachers Not only will prospective tenants be able to see the Association.
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Rachel Batt joined PIR as the temporary Staff Transfers Awards Assistant April 1. She is a graduate of Laine Martens, Manager of Membership Capital University in Columbus, Ohio with a degree Programs, transferred to Cyber Patriot as the in History and International Studies. After Manager of Education Applications and graduation, she worked as a manager at Rooster’s Competition Support. restaurant in Columbus, Ohio. After more than 18 years as an, Associate Caitlin Craumer joined the Development Editor, Air Force Magazine, Tam Mehuron department on June 1 as a Development transferred to the membership department on Assistant. Craumer graduated from The George March 29 as the Manager of Membership Washington University in 2009 with a BA in Programs. English. Previously, she worked with the development department in the School of Business Staff Departures at GW, completed brief stints at National Shane Barker, Legislative Assistant, left the Geographic and ESI International, and held a long- staff on June 10. standing position with Equinox Restaurant. Robert Dudney, Editor-in-Chief of Air Force Ken Lesley joined CyberPatriot as Director of Magazine retired August 31. Education and Competition on June 24. He holds a Master of Arts in Teaching from American Staff Awards University and an MBA from The University of The Administration department planned West Florida. Lesley most recently taught math and executed luncheons in April and July for the courses and served as the STEM Coordinator and presentation of quarterly staff awards. Director of Grants and Programs at McKinley The Staff Award for the first quarter went to Technology High School in Washington, DC. June Lee who has been with AFA over two years, Kristine Robbins joined GRL as a and is a great addition to the staff of Air Force Legislative Assistant June 29. Robbins is a native Magazine. June is responsible for fact checking of California, but most recently moved from feature articles and departments for the magazine Holloman AFB in New Mexico. She has a MA monthly, proof reading them, creating the table of degree from University of Alaska Anchorage and a contents, compiling the senior staff changes BS from California Polytechnic State University. (which is very sensitive and complicated!) and unit Bernard Skoch became the Commissioner reunions and, most importantly, twice a year she is for CyberPatriot effective July 1. He is a retired Air in charge of compiling, vetting, and tracking the Force Brigadier General with over 30 years DOD Leadership photo chart and the USAF experience in leadership positions. Skoch is a leadership photo chart. She also performs some defense IT industry consultant and was a administrative duties for the Magazine, including candidate for the United States House of dealing with member queries when needed. She Representatives for the 3rd District of Arkansas gives each of her responsibilities her full attention Amy McCullough joined the Air Force and time, and does it all with a smile and Magazine as a Senior Editor on July 12. wonderful attitude. June is a careful and dedicated McCullough holds a Masters in Journalism from employee, a quick learner, eager and willing to the Medill School of Journalism at Northwestern jump in at any time to assist the rest of the staff. University in 2008 and is a former AF Reserve Her hard work, wonderful attitude, and dedication Staff Sergeant. She previously covered the Coast is worthy of this recognition. Guard and the Marine Corps for Military Times Kari Hahn, Senior Membership Manager, Media Group. won the Staff Award for the second quarter. She Bryan Larson joined AFA as a Temporary has worked above and beyond these last few on July 12. He holds a BA in Economics from St. months with BPA, her own membership work and Cloud State University in Minnesota. Larson iMIS. Kari coordinated the design and printing of interned on the Hill with both the House the three membership brochures, making sure Democratic Caucus and Representative Bruce other departments were involved in approving the Braley. design and copy; she developed an extra Matt Bearzotti joined GRL as a Legislative electronic renewal notification process to let Assistant on July 16. Bearzotti has a Master’s from members know they should renew early because California State University Fresno having studied of the dues increase. She has averaged 12 hour both History and Classics in college. Most recently, days to ensure that the iMIS database is working he worked for Boeing in the Legislative Affairs correctly and that those who need to use it Department understand what they are doing. She has assisted
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every department in learning the correct processes The Administration department continues and has filled in while the consultants have been to provide content and editorial review for AFA’s away. Kari’s efforts to help orient and train not only Intranet site. This site provides everything from the her department, but other staff members as well, is telephone roster to the employee manual. This commendable. She has been seen interacting with internal web site has been a means of internal fellow staff members and she is consistently communications since May of 1999. cooperative and helpful, displaying a positive attitude working with others. Purchasing 401(k) Plan The total number of purchase orders The annual meeting was held with the issued through July 31, 2010 was 220 totaling over carrier (Principal) for our 401(k) plan. Several $651,338.24. An additional $46,735.28 was spent changes in investment options were made to the using AFA’s MasterCard and on purchases not planwhich were effective in August. An education requiring a purchase order. meeting for all employees was held with Principal in the Boardroom to review the changes in the Printing and Mailing plan, and to provide general education on To date for 2010, IST processed 9,672 investing. Our representative from Wells Fargo outgoing pieces of mail using $22,820.21 in was also on hand to help employees with postage. Outgoing mail and postage have individual questions. decreased for the months of June and July due to the implementation of IMis. In addition to outgoing US Mail, the mailroom received 778 packages that AFA Dental Reimbursement Plan were processed and delivered to staff. AFA as a The claims processed for 2009 totaled $24,495.25 whole processed 1,222 outgoing FedEx Express with a cost to AFA of $15,884.95. Claims and Ground packages to date in 2010. FedEx processed thus far in 2010 totaled $8,084 with continues to provide the best rates to AFA which AFA reimbursing employees a total of $5,785.65. makes them our carrier of choice. This is far less expensive than an insurance plan A total of 252,763 copies have been made through a carrier for both our employees and AFA. using AFA’s Oce VP2075s and the Xerox 4112. AFA staff continues to take advantage of the Xerox ColorQube color copier. We have made over Communications 80,805 copies on the ColorQube. The quality of The Administration department continues this machine has allowed staff to print pieces that to publish Newsline monthly which is in its 18th in past years would have been sent to an outside year of publication. Since April 2003, it is sent print shop. The ColorQube provides AFA with a electronically to our field leaders which more economical way to print in color, and has substantially reduces the cost. It is available on our saved the Association thousands of dollars in Internet site for anyone interested. Go to Field printing costs. Resources, then News, then Newsline.
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Air Force Memorial Foundation Pete Lindquist (with w/Agata Bieleszczuk)
Foundation Purpose The Air Force Memorial Foundation • Sousa Festival Community Band Concert (AFMF) continues to provide the daily Air Force • United States Air Force Band Independence Memorial (AFM) management oversight and direct Day Concert event planning & support that helps ensure the AFM becomes and remains a national place of reverence, remembrance, celebration and pride for Upcoming Memorial Events the hundreds of thousands of yearly visitors. Scheduled for the remainder of 2010 are Inherent and critical to this mission is preserving six promotion ceremonies, six retirement the heritage of America’s Airmen. ceremonies, 14 tours and 28 special events, such as: • Honor Flight & Knoxville WWII Veterans Tours Air Force Memorial Activities (7) The Air Force Memorial has hosted the • AFA Memorial Wreath-laying Service following 2010 events: • AFSA/AFA/AFMF National POW/MIA • Promotion Ceremonies, 18 Recognition Day Ceremony • Retirement Ceremonies, 20 • Ramstein Phantoms Wreath-laying Ceremony • Enlistment/Re-enlistment Ceremonies, 8 • AF Band Special AF Anniversary/Birthday • Band Concerts, 18 Concert • Tours, 81 • Colombian Air Force Cadets Wreath-laying • Special Events, 85: (such as…) Ceremony • USAF Chief of Staff Arrival Ceremonies (4) • 355 Fighter Group Association Wreath-laying • 70 ISRW Wreath-laying Ceremony Ceremony • WASP Wreath-laying Ceremony • 61st Fighter Squadron Wreath-laying • Heritage Veteran Groups Wreath-laying Ceremony Ceremonies (4) • CSAF Arrival Ceremony iho NATO • Honor Flight & Knoxville WWII Veterans Tours • Secretary of the Air Force Veterans Day (56) Wreath-laying Ceremony (Tentative) • AF Unit & Functional Area Tours (5) • AFA Team of the Year Tour • Wounded Warrior Cycling Event Memorial Fourth Year Visitors • French College Interarmees de Defense Tour During this fourth year of operation, the Air • German NBC Defence & Self-Protection Force Memorial has been visited by approximately School Staff & Students Tour 168,000 people. The highlight attendance event • Laurel Valley High School AFJROTC Wreath- was the USAF Band’s Independence Day Concert laying Ceremony attended by almost 10,000 folks. • Bike DC Community Bike Ride • AFA/AFSA Memorial Day Wreath-laying Ceremony, • Air Force Academy Society of Washington Wreath-laying • USAF Cycling Classic • AFA/AFMF Flag Day Ceremony
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Memorial Hours & Visitor Information goal of the Archives concept is to provide a readily The Air Force Memorial is open the year accessible central database that can be used as a round with the following operating hours: resource for current and future generations of • April – September, 8 a.m. – 11 p.m. visitors and families to study and to more fully • October – March, 8 a.m. – 9 p.m. understand and appreciate the contributions and sacrifices of our country’s Airmen. Shortly, in the Special individual and group tours may be fall 2010, our first collection efforts will be requested and scheduled by calling the Memorial accessible on-line and at the Air Force Memorial. Office, 703.979.0674 or by going on-line, www.airforcememorial.org. Memorial Retail Sales Items The Foundation continues our partnership with Fort America, Incorporated to market the Preserving Air Force Heritage Memorial. In addition to offering and selling AFM AFA through the AFMF has defined an Air logo items in their Pentagon Mall commercial Force Memorial vision for the 2017 time period. A store, Fort America proudly continues to operate significant goal of this vision is the preservation of our on-line E-store. This site offers quality Air Air Force Heritage. Several actions are on-going Force and Air Force Memorial gifts and to help us meet this vision. Two that we can use memorabilia; and, a portion of your purchases your support are Memorial volunteer docents and comes to the AFMF to continue our mission. the Airmen Heritage Archives.
Additional Information AFM Volunteer Docents For those wishing more information on the Air We continue to ask for volunteers to help Force Memorial, to stay “tuned” to the latest support activities at the Memorial. Our volunteers happenings or to visit the E-store, please “click on” are essentially the “face” of the AFM by greeting our Foundation’s website, visitors, providing information, answering www.airforcememorial.org. questions and at times leading tours. Currently, we have a small trained group of volunteer docents but certainly additional volunteers are needed so please call, 703.979.0674 or email, [email protected] to volunteer or with questions.
Airmen Heritage Archives During the year 2009, the Foundation started the development of the Airmen Heritage Archives. This program concept is intended to gather and preserve the organizational, program and personal professional history of our Air Force, AF heritage organizations and AF people. The
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