PSC Member Town Hall
2024 Dues Structure Change
September 28, 2023
Virtual
Overview
Problem Statement: PSC’s membership dues structure has not evolved for more than 20 years. It no longer aligns with market realities, nor does it provide a fair cost for all the sizes.
Charter: In November 2021, the PSC Executive Committee tasked members of the Executive Committee to form a Membership Dues Structure Committee to assess the regular member dues structure and provide recommendations on possible membership dues structural changes.
Committee: Michele Bolos (Chair), Mike Niggel, Peter Smith, Kevin Phillips (2022), Christina Mossi (2022), Julian Setian, John Heller (2023), and Tina Wilson (2023)
Background: The Membership Dues Structure Committee met in February, March and May of 2022 and developed a new structure.
Michele Bolos, chair, presented the recommendation of the Committee to the Executive Committee in May of 2022 and received their unanimous endorsement. The Dues Committee and PSC staff held discussions with member companies who were to be assessed a higher dues in the new structure. In September 2022, the Board was provided an opportunity to review the recommendation during a Q&A session. Their insights were incorporated into a multiple new models that were presented to the Executive Committee in December 2022. Those discussions included the CPI and additional revenue requirements. After additional deliberation, the committee included a CPI increase into the new recommended model. The Board was given an opportunity to review and comment during a Board Q&A session on May 17, 2023. The votes for both (Regular Member Dues Structure and the 6% CPI increase for all Members) at the June 5, 2023, Board meeting were unanimously approved.
CPI Adjustments and Other Dues Increases
• Under an approved Board resolution from December of 2001, PSC proposes for Board consideration a CPI adjustment to the dues every 2nd year.
• The Finance Committee is tasked with evaluating this change and making a recommendation to the Board of Directors.
• The most recent adjustment was Dec. 2021. PSC anticipates the two-year CPI change July 2021-June 2023 to be 10-12%.
• The Finance Committee believed a 6% adjustment would be a balanced choice.
3 Year CPI Or Other Dues Increase 2004 3.6% 2006 6.0% 2008 6.5% 2010 3.5% 2012 Skipped (4.9%) 2014 Skipped (3.4%) 2016 Dues increase of 5-20% 2018 2.57% 2019 Associate Member dues increased 30% 2020 4.8% 2022 6.4% 2024 6% proposed
Current and Approved Regular Members Dues Structure
* Dues are rounded to the nearest 100
4 Level Revenue Range 2023 Dues Range Member Count Membership Dues Increases At Every Approved 2024 Range Approved 2024 Dues Range w/ Approved 6% CPI Increase Level 1 1 to 100M $750 - $22,700 268 $2 M $750$21,700 $850$23,000 Level 2 101M-1B $31,500 - $44,000 32 $100 M $29,800$43,400 $31,600$46,000 Level 3 1B-10B $48,000 - $51,000 19 $1B $46,800$60,400 $49,600$64,000 Level 4 Over 10B $51,000 15 $10 B $63,800$65,000 $67,600$69,000
Current and Approved Associate Members Dues Structure
* Dues are rounded to the nearest 100
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Type Level Previous Dues New Dues w/ 6% CPI increase Financial Institutions Less than $750M in assets $5,300.00 $5,600.00 $750M - $10B in assets $8,000.00 $8,500.00 Greater than $10B assets $10,600.00 $11,200.00 Law Firms 1 – 40 Lawyers $5,300.00 $5,600.00 41 – 99 Lawyers $8,000.00 $8,500.00 100 or more Lawyers $10,600.00 $11,200.00 Other Professional Services 1 – 5 Employees $5,300.00 $5,600.00 6 – 10 Employees $8,000.00 $8,500.00 More than 10 Employees $10,600.00 $11,200.00
Next Steps
• The Committee received the Board’s approval for the dues structural change and the CPI increase on June 5, 2023.
• The PSC staff will continue change management and communications.
• The new membership dues structure and CPI increase will impact all new membership and renewals on and after January 1, 2024.
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Questions 7 Need help? Contact Joe Carden (carden@pscouncil.org) or membership@pscouncil.org.
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