For the past few years, I have been reporting on the financial health of the non-profit organizations of the massage profession. I am not an accountant or a financial expert. My information comes from Guidestar, a clearinghouse for non-profit information that is available to anyone. Non-profits may post their filings on Guidestar, and if they don’t do it, the IRS will do it for them. My annual reports do not include ABMP; they are a for-profit company that claims membership of more than 80,000 massage therapists, about 25,000 more than AMTA. Non-profits operate on a different filing schedule; the date of this filing was for the fiscal year beginning March 1, 2012 and ending February 28, 2013.
AMTA appears to be in a stronger financial position than last year’s filing, due to a huge jump of almost $1 million in their investment income. Let’s all hope that bodes well for investments in general in the US. Just two years ago, their investments had actually lost over $34K. According to the 990, AMTA actually lost 1030 members from the previous year, with the membership standing at 55,368 people as of February 2013. They are listing 79 employees, down 5 from last year. However, the organization still lists 850 volunteers, the same as last year.
Total revenues increased by over $824K. Salaries and other compensation went up by over $258K, in spite of the small reduction in employees. Overall, expenses increased by about $219K, so there was a little belt-tightening elsewhere. The bottom line, of revenue minus expenses, looks much better than last year, with an increase of over $605K.
The biggest expenditures for the organization are staff salaries, with 6 individuals listed who receive more than $100K a year in compensation. Then-Executive Director Shelly Johnson received a little over $265K. CFO Larry Laboda received over $149K, while current ED but then-Deputy ED received almost $160K. David French, listed as the Director of Marketing, was paid over $105K; Mark Tyle, Director of Chapter Relations, received over $108K, and Jocelyn Pysarchuk, listed as Director of Knowledge Transfer, received over $102K.
The 12-member Board of Directors at AMTA is also compensated in amounts ranging from $5K-6K for members-at-large to almost $40K for the President.
AMTA paid over $800K to Daniel J. Edelman, Inc, their public relations firm. That seems like a steep amount of money to me, and I wonder what they are doing that a Director of Marketing couldn’t do, or vice-versa. Outsourcing is okay, but I’d like to know the differences in what is handled in-house and what is not. That’s a question for one of my future interviews with the management. AMTA did undertake a big campaign to educate the public and raise awareness about massage this year with the traveling van and appearances all over the country. I certainly do not begrudge them spending that money; it was well-received and got a huge amount of media attention.
Other than investments, AMTA’s primary source of income is of course membership dues, which brought in over $11 million.
AMTA spent $72K on lobbyists last year, and personally, I’d like to see that figure raised in the next year. I recently called on AMTA and the other massage organizations to make a concerted effort to get the NCBTMB removed from all statutory language in the regulated states, and that’s going to require lobbying money. I suggest that they spend it in the interest of straightening out some of the mess that the massage profession is in.
Office expenses are more than $1.2 million. That’s a lot of paperclips. AMTA also spent more than $490K on travel. Hopefully, that’s economy class. Many massage therapists are struggling in our present economy. I realize we can’t hold the national convention at Motel 6, but every year I hear from dozens of people who wish they could attend, but don’t, because of the cost.
I personally have enjoyed my years with AMTA. Our state chapter (NC) is one of the larger and more active chapters, and I haven’t missed one of the national conventions in years. The fellowship and volunteer spirit and continuing education opportunities there are alive and well; I’m sorry to see the organization is losing members instead of gaining. May that turn around as much as their investment income did. It doesn’t look like this organization is in any danger of going away anytime soon.
This is the fourth year that I have reported on the financial status of the non-profit organizations that represent the massage therapy profession. I am not an accountant or a financial expert. The information is taken from Guidestar, a clearinghouse where you can look up the financial filings of non-profits.
This blog has been revised–after I posted the original blog, Guidestar posted AMTA’s latest 990. Since non-profits have a different filing schedule that the rest of us, it is not unusual for the “latest” 990 appearing on the website to be a year old or more. This revision reflects the 2012 filing. It was signed in October of 2012 and just made it to the Guidestar site within the past week. Thank you to Rachel Mann, VP of AMTA Board of Directors, for bringing it to my attention.
The revenue increased over $600K from the previous year.
AMTA compensates the members of their elected Board of Directors, in amounts ranging from $5000 for members-at-large to almost $40K for the President (during this filing, that was Glenath Moyle.) Executive Director Shelly Johnson was paid almost $261K–a drastic cut from the $316K plus almost $10K in “other” compensation that was paid out on the 2011 filing to the immediate past ED, Elizabeth Sublewski (aka Liz Lucas). Sublewski also received severance pay of over $82,000 on the 2011 return. On the 2012 return, she received almost $260K….apparently, it was quite expensive to the organization to get Sublewski off the job. My hope is that in the future, AMTA will negotiate executive contracts that are more favorable to the organization. Total salaries accounted for about 3.5 million; that is actually almost $500K less than they were the year before.
Over $11 million dollars worth of AMTA’s revenue came directly from membership dues. The remaining revenue is derived from sales of literature, convention sponsorships and booths, advertising, and investments.
AMTA has the same kind of expenses that any other business or organization does–office supplies, information technology, advertising, postage, banking and credit card processing fees, and so forth. None of it looks out of line, considering the size of the organization. AMTA represents over 57,000 members. They’ve seen recessions come and go and have survived them all. As a long-standing member myself, I have never seen service suffer in any way, whether it was a fat year or a lean year.
As an aside, I hear that Executive Director Shelly Johnson is stepping down later this spring to spend more time with family. She has done an excellent job during the 8 years she spent as Deputy Director, and since she stepped up into the ED position in 2010. She will be missed by the organization, and I wish her the best of luck.
Last week, the leaders of all the major organizations representing the massage therapy profession came together in St. Louis for a Massage Therapy Leadership Summit.
I have personally prayed for this to happen for a long time, and was thrilled that it took place. Rick Rosen, Executive Director of the AFMTE, shared this photo on my Facebook page. I of course spread it through my networks, and it prompted a question from Julie Onofrio: “Are these people massage therapists, and have they ever been in practice?” I’ll try to answer that to the best of my ability. I’ve had the pleasure of meeting all these folks, and I know some of them better than others. In the event I get any of the facts wrong here, I’m sure someone can straighten me out!
I will say up front that as for the most part these are organizations that have many members, huge budgets, and myriad issues and details to take care of, I don’t believe that being a massage therapist is a prerequisite for being a CEO or an ED. That is a position that generally requires a college education, and enough expertise to run a multi-million dollar concern. The AFMTE is only two years old–they don’t quite fall into that category yet, but they will someday. Leadership of such an organization doesn’t necessarily require one to be a massage therapist, although it would certainly require an interest in massage. Here’s my scoop on the leaders:
Rick Rosen, the founder and Executive Director of the AFMTE is indeed a licensed massage therapist. In fact, he is the proud owner of the first massage therapy license issued in the state of North Carolina. He is the co-founder, along with his wife Carey Smith, of the Body Therapy Institute in Siler City, NC, which they started in 1983. It is one of only two COMTA-approved schools in the state. He was the founding chairman and a past member of the North Carolina Board of Massage & Bodywork Therapy, and was the first Executive Director of the Federation of State Massage Therapy Boards. He currently serves as Executive Director of the Alliance for Massage Therapy Education, a national organization for massage schools, teachers and continuing education providers. Rick is a 2010 inductee into the Massage Therapy Hall of Fame, and was named as one of the Top 10 People in Integrative Medicine/Integrative Health Care in 2010. He also has a degree in advertising from the University of Florida, a master’s in humanistic psychology from West Georgia College, is certified by the Hakomi Institute body-centered psychology, is certified in structural integration, and is a graduate of the Florida School of Massage.
Pete Whitridge, the President of the AFMTE, has been a massage therapist since 1987 and has been an instructor at the Florida School of Massage since 1989. He has served AMTA on the Council of Schools, served 5 years on the Florida Board of Massage including being the Chair, served COMTA as a reviewer, has also served on the faculty of the Spacecoast Health Institute for 14 years, and Indian River Community College for 7 years. He is also on the Education Committee of the Massage Therapy Foundation. Pete also has a BA in History and Political Science.
Shelly Johnson, Executive Director of AMTA, served as the Deputy Director for 8 years before being named ED in 2010 after the departure of Elizabeth Lucas. Shelly is not a massage therapist, but she has worked with associations for 22 years, including the American Society for Quality. She also was previously Executive Director for the American Society of Neuroscience Nurses, the American Board of Neuroscience Nursing, the Neuroscience Nursing Foundation and the American Society for Healthcare Materials Management of the American Hospital Association. Johnson has a BA in Political Science and Communication from Augsburg College.
Glenath Moyle, President of AMTA, gets the longevity award in this crowd! Glenath has been doing massage for more than 50 years. In her first career, she was a geriatric nurse, and massaging patients was a regular part of her routine. She attended massage school in Portland OR and started practicing in earnest in 1987. Prior to becoming the President of the national organization, Moyle was a tireless volunteer in her state chapter. Needless to say, she’s very excited that the national convention is coming to her hometown this year.
Bob Benson, the Chair of ABMP, is a graduate of Harvard College and Harvard Business School. Prior to coming to ABMP, Benson worked in public policy in Washington, DC, and spent 19 years as President of two public companies. The membership of ABMP has grown by more than 10 times over since Benson came on the scene. He was the catalyst for the creation of the Federation of State Massage Therapy Boards, notably funding that organization to get it off the ground, and he worked for nine years to get statewide regulation in California, where he now serves on the board of the California Massage Therapy Council.
Les is More! Les Sweeney, President of ABMP, joined the organization in 1994 after learning about association management at the Club Managers Association of America. He served as VP from 1999-2006. Sweeney has an MBA from the University of Colorado. In 2006, Les decided to step up to the plate and get an education in massage! He graduated from the Holistic Learning Center in Evergreen and became Nationally Certified in Therapeutic Massage. Les has expressed to me personally that he just wanted to know more about massage and get the “real feel” for what ABMP members do. Good for him for taking the plunge and investing in that.
Kate Zulaski is the Executive Director of COMTA. She has a BA in Geology, and attended the Institute for Psycho-Structural Balancing in CA, and went on to become the Dean of Education at the school before joining COMTA in 2009.
Kate has in-depth experience both as a massage therapy practitioner as well as an educator, having most recently served as Dean of Education from 2006 to 2009 for the International Professional School of Bodywork (IPSB) in San Diego, California. Prior to being named Dean of Education, Zulaski also served as an IPSB Massage Instructor and Clinic Supervisor. Zulaski has also studied a variety of bodywork modalities through the California Naturopathic College; Society of Ortho-Bionomy International; the Natural Healing Institute; and the International Professional School of Bodywork. She has been active in volunteer work for the AMTA Teacher of the Year Awards Committee and the Alliance for Massage Therapy Education Standards Committee, and is a long-time member of the ABMP.
Randy Swenson, a COMTA Commissioner who was also present, is a chiropractor. Dr. Swenson is currently a tenured professor and Dean of the College of Allied Health Sciences at National University of Health Sciences (NUHS). He developed the Massage Therapy Program in 1999 and continues to manage the day-to-day operations of the program. He is also responsible for the day-to-day operations of the Bachelor of Science in Biomedical Sciences degree completion and professional pre-requisite programs. He was previously the Academic Dean and the Dean of Curriculum Development for the chiropractic program at NUHS. He holds a Doctor of Chiropractic degree from NUHS and a Master of Health Professions Education from the Department of Medical Education of the University of Illinois at Chicago. He has led NUHS Steering Committees for Higher Learning Commission Self-Study Reports (SSR) and Commission on Chiropractic Education SSR’s. He has led and written COMTA SSR’s for the NUHS massage program. Dr. Swenson has been a site-team member, site-team leader and off-site peer reviewer with COMTA since 2006.
Ruth Werner, fearless leader of the Massage Therapy Foundation, is the author of the Guide to Pathology for Massage Therapists and the Disease Handbook for Massage Therapists, both published by Lippincott Williams & Wilkins. Werner is a graduate of the Brian Utting School of Massage in Seattle in 1985, and completed the Advanced Training Program and Teacher Training Program with the Muscular Therapy Institute in Cambridge, MA in 1991. I’ve attended a couple of classes (a definite privilege!) taught by Ruth, where she honestly shared with the class that she feels her real talent is sharing research about massage rather than actually doing massage. We’d all be a lot worse off if that wasn’t so. Her pathology book has been my go-to source from the moment I entered massage school. She has taught curriculum at 4 massage schools and continuing education classes all over the world.
Debra Persinger, Executive Director of the FSMTB, has a PhD in human services from Kansas State University. Dr. Persinger, a native of New Zealand, joined the National Certifying Commission on Acupuncture and Oriental Medicine (NCCAOM) in 1996. Before accepting the position of interim CEO, she served as the commission’s executive director of operations, and was originally hired to be its director of examination development. Persinger is also co-author of Sand to Sky: Conversations with Teachers of Asian Medicine (iUniverse, 2008).
Paul Lindamood, current CEO of the NCBTMB, has more than 20 years of executive-level experience. Lindamood has devoted his career to positioning, directing and promoting associations, professional firms, healthcare organizations, businesses and non-profits. In fact, it was in this capacity that he first began working with NCBTMB, directing the organization’s communications, public relations, media and re-branding strategies. He has worked with a wide-range of healthcare and non-profit organizations and led successful branding, fundraising, recruitment and consumer awareness initiatives for American Red Cross, United Way, International Association of Business Communicators, Jobs for Graduates, Leukemia Society of America, March of Dimes, Multiple Sclerosis, Muscular Dystrophy, City of Hope, Hospice, Junior Achievement, Small Business Administration, and many others.
Alexa Zaledonis, Chair of the NCBTMB, is the owner/operator of Even Keel Wellness Spa, a therapeutic massage and skin care center in Annapolis, Maryland. A graduate of the Baltimore School of Massage, she passed the NCE in 2002 and has spent the past seven years building her practice in the community. Zaledonis is a certified Lotus Palm Thai Yoga Massage practitioner and a Certified Personal Trainer through the National Strength Professionals Association. Zaledonis currently is completing her Yoga Teacher Training (RYT200). She also teaches Thai Massage seminars at Even Keel Institute for Continuing Education and is an NCBTMB-approved provider.
A former Certified Public Accountant, Zaledonis specialized in healthcare and nonprofit organizations for more than 15 years. She received her bachelor’s degree from Albertus Magnus College in New Haven, Connecticut. I spoke to Zaledonis earlier today, and she told me that in addition to working 40 hours a week on behalf of the NCBTMB, she also personally does an average of 17 massages a week. A fellow workaholic!
Well, folks, there you have it. So yes, many of these folks do have actual massage experience. And those that don’t have been around this business long enough to appreciate those of us who do. They have all, in my opinion, served the massage profession with the best of intentions and keeping their eyes on the fact that it is the massage therapists in the trenches that they are working for. May they all enjoy peace and prosperity.
This marks the second year I have reported on the financial health of the non-profit organizations that represent the massage profession. I am not an accountant or a financial expert. The information reported here comes directly from Form 990 as filed with the IRS; non-profits are obligated to make their tax reports public knowledge, and these can be easily accessed on Guidestar.
Last year I reported that the American Massage Therapy Association had taken a hard hit from the recession. The AMTA has gone through some major changes this year, not the least of which was the sudden departure of Elizabeth Lucas, the former Executive Director. Lucas’ compensation accounts for a big chunk of change on the filing, $279,438 to be exact, almost $6000 less than last year. Shelly Johnson, the former Assistant Executive Director who is currently Interim Executive Director, actually received $14,000 more in 2009 than she did the previous year. I personally support Shelly for moving permanently into Lucas’ vacated position; I do have to say, however, that I thought Lucas was overcompensated and I hope that the next ED, whomever it is, will not be getting more money than the governor of most states, which was formerly the situation. Compensation overall increased by $144,004. Since the membership dues collected went down by over $150,000, and the total revenues have declined by $459,000 since the previous year, I have to wonder why we’re paying out more money to provide services for less people.
The balance sheet shows accounts payable of almost $3.5 million and accounts receivable of only $241K.
AMTA spent $40K less on lobbyists during the 2009 fiscal year than 2008. I’m not sure that’s a good move, unless the organization is sending out board members in place of the lobbyists. When it comes to protecting the legal rights of massage therapists and putting a stop to detrimental legislation, I think that’s one of the obligations of this organization to the stakeholders. I’d rather see the lobbyists paid and that money cut somewhere else.
Travel expenses were cut again this year by about 15K, but office expenses rose by more than twice that amount. In fairness, total functional expenses decreased by $568K, so they’re saving money somewhere. Total net assets declined; total liabilities increased, which is still a move in the wrong direction. Grants and assistance to organizations declined by over $265,000. The main beneficiary of that money has in the past been the Massage Therapy Foundation; hence Ruth Werner’s presentation at the open BOD meeting in Minneapolis about the necessity of seeking other partners to support the Foundation sounds all the more like a good plan to me.
AMTA is certainly not alone in being fiscally challenged by the economy. In the coming weeks I will be reporting on financial status of the other non-profit organizations. I need to say that I am a card-carrying member of AMTA, and reporting on their finances is obligatory to me as one who tries to keep up with what’s going on in the world of massage and keep my readers informed. I report the news, whether it’s good or bad, and that doesn’t always suit everybody all of the time. I don’t apologize for it.