THE UKRAINIAN NATIONAL ASSOCIATION FORUM (05/30/04)

THE UKRAINIAN NATIONAL ASSOCIATION FORUM

UNA Executive Committee meeting reviews 2003 operations

by Christine E. Kozak
UNA National Secretary

PARSIPPANY, N.J. - The Executive Committee of the Ukrainian National Association met on Friday, March 26, here at the UNA Corporate Headquarters. All committee members were present: Stefan Kaczaraj, president; Martha Lysko, first vice-president; Eugene Iwanciw, second vice-president; Al Kachkowski, director for Canada; Christine E. Kozak, national secretary; and Roma Lisovich, treasurer. Representing the UNA Auditing Committee was Yaroslav Zaviysky.

President Kaczaraj began the meeting with a summary of the UNA's statement of operations for the year ending December 31, 2003. The year 2003 was both positive and negative, he said. The negative news: the UNA had a net loss from insurance operations in the amount to $46,000; this does not include the UNA's cost of fraternal benefits. The positive news: the UNA's surplus increased by $463,000. The downside of this increase, unfortunately, is not due to operations, but due to the Canadian dollar and the slight recovery of the stock market.

One immediate answer for increasing the UNA's surplus from operations is for branch secretaries, organizers and professional sales persons to sell, sell, sell, said Mr. Kaczaraj. The UNA must continue selling life insurance and annuities, for without the support of insurance operations, the UNA will not survive.

The UNA as a fraternal organization offers its members various member benefits. Following are the benefit costs for the report period: UNA subsidy of Soyuzivka, $388,000; UNA subsidy of publications, $180,000; premiums paid for 79-year-olds, $122,000; scholarships, $20,000. Thus, the total cost of fraternal benefits in 2003 was $710,000, the president noted.

The Ukrainian National Urban Renewal Corp. for this report period had a profit of $211,000, which helped boost the UNA's surplus to $463,000.

Soyuzivka has had a slight improvement for the report period. In comparing 2002 to 2003, the previous year had a net loss of $721,000, whereas in the year ending December 31, 2003, Soyuzivka's net loss was $388,000. One positive factor for Soyuzivka was the increase in room revenue from $388,000 for 2002 to $490,000 for 2003 - an increase of over $102,000, or 26 percent. Soyuzivka, as a fraternal benefit and as a community cultural center is in need of much community support if it is to stand on its own, the president added.

The UNA is moving in the right direction, but we must do better, Mr. Kaczaraj continued. The point is that we must do better than we did last year. If we could accomplish this, the UNA will be better able to provide its members and the Ukrainian community the services and benefits it has provided in the past and provide new benefits for the future. Once again we must sell, sell, sell.

The president went on to note that UNA publications, Svoboda and The Ukrainian Weekly, have also improved their bottom lines. In comparing year-end 2002 with year-end 2003, both publications have increased their net income by $72,000. This is an improvement of approximately 28 percent. However, there still is a high deficit, he added.

Both publications lost subscribers. Svoboda lost 291 subscribers or 4.3 percent, and The Ukrainian Weekly lost 114 subscribers or 1.8 percent. In 2002 Svoboda lost 5.4 percent of its subscribers, while The Weekly lost 4.51 percent. The trend of subscription losses is slowly declining but in the end subscriptions have to increase in order to sustain both newspapers, Mr. Kaczaraj stated.

The UNA received a letter of resignation from Advisor Barbara Bachynsky effective immediately. In accordance with the number of votes received at the 2002 convention, Gloria Horbaty, secretary of Branch 414, Connecticut district, will replace Mrs. Bachynsky on the UNA General Assembly.

The UNA executives expressed thanks to Mrs. Bachynsky for all the years she has been with the UNA. Mrs. Bachynsky was employed at the UNA Home Office prior to her election to the General Assembly. Mrs. Bachynsky is also secretary of Branch 184 and chairperson of the New York Districts; she will remain at those positions.

Ms. Lysko reported on her work with the Embassy of Ukraine in Washington and Soyuzivka regarding the Soyuzivka Adoptive Parents weekend scheduled for June 18-20. The UNA and the Embassy of Ukraine are co-sponsoring this event for the very first time. Families of children who were adopted from Ukraine will be treated to a Ukrainian weekend at the UNA resort.

The goal is to introduce the adoptive parents to Ukraine's rich culture and heritage, so they can pass on to their children the richness of Ukrainian traditions. It is also the goal of the weekend for the parents to see what Soyuzivka has to offer in children's camps, summer activities for families, etc., and to showcase Soyuzivka as a cultural heritage center, the culture of Ukraine, it's people and the diaspora.

The UNA as a sales organization has always supported its professional sales force by publishing their business cards as advertisements in both UNA publications. It was suggested that should a salesperson not produce one new member in a year, his/her ad should be pulled from both publications.

Mr. Iwanciw spoke on the importance of membership to the UNA. The biggest issue facing the UNA is the need to increase its membership, conserving the membership and increasing fraternal activities within communities.

What makes the UNA unique in the face of commercial life insurance companies is the fact that we are a fraternal organization, Mr. Iwanciw emphasized. As a fraternal organization it is imperative for the UNA's districts and branches to hold fraternal activities. It is through fraternal and community activities that the ranks of membership can be increased. Community activities draw individuals interested in community life. It is also through the various fraternal benefits offered by the UNA that makes the UNA more attractive to potential members, he added.

Mr. Kachkowski reported on his meeting with the Toronto district and secretaries. Topics of discussion were the events in the past history of the UNA in Toronto and the key to organizing new members, which, it is believed, is the appeal to Ukrainian patriotism. Toronto, which holds a large portion of the UNA's Canadian membership, is one important factor in determining success in Canada.

Ms. Kozak reported an increase in new business by 286 policies with an annual premium of $200,297. This in itself is not at all remarkable and needs to be increased by at least 70 percent, she added. As President Kaczaraj stated, UNA secretaries, organizers and professional sales must sell, sell, sell.

UNA branches achieved only 31 percent of their self-assigned quota, Ms. Kozak continued. Unfortunately, out of 222 secretaries (as of December 31, 2003), 53 secretaries have not produced a single new member in six years. Due to the inactivity of these branches, and as per the provisions of the UNA By-Laws and manuals, we will either be replacing the secretaries or we will merge branches, the national secretary explained.

The year 2003 was a good year for the UNA in issuing annuities. The UNA's annuity rates are desirable with the UNA issuing 152 new annuities for a total of $2,411,674 in collected premiums. The five-year annuity sold the most with 90 annuities sold for an amount of $898,574. At year's end, the UNA had a total of 838 annuities in force, Ms. Kozak said.

In years past, the UNA did not acknowledge annuity sales. However, times do change. For this reporting period the UNA had a respectable increase in premium income due to the sale of annuities, the national secretary said.

She went on to acknowledge a job well done by three UNA members and expressed congratulations and thanks to: Steven Woch, who sold 37 annuities for $669,959.67 in collected premiums; Stephan Welhasch, who sold 13 annuities for $326,733.08 in collected premiums; and Joseph Chabon, secretary of Branch 242, Shamokin, Pa., district chairman, who sold 22 annuities for $119,685.16 in collected premiums.

Ms. Kozak also offered a thank you to all UNA secretaries and organizers for their hard work and dedication. It is through their effort and others before you, that we are able to celebrate the UNA's 110th year anniversary, she noted.

Ms. Lisovich reported on the status of Soyuzivka. For the year 2003, occupancy rates increased and there seemed to be a surge of interest in Soyuzivka during the year 2003. Many positive changes had occurred prior to the summer months, she continued. Rooms were painted, new carpets were laid, buildings were power-washed, the main dining room was renovated, hiking paths were cleared, a tiki bar and a roller rink were built. All of these are positive changes that brought the community to the UNA resort, the UNA treasurer said.

The planning of the town homes at Soyuzivka is continuing. A survey regarding the interest of members in purchasing the town homes will be mailed to all UNA members with the privacy notices during the next quarter. Pending positive results, the building of Phase I of the town homes will proceed, Ms. Lisovich said.

The next meeting of the UNA Executive Committee is scheduled for June.

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