Finance-Related Questions and Responses

Dear Members,

First, I would like to thank all of you who have reached out with questions and requests for more details.  I hope you can appreciate that it is impossible to immediately meet the expectations of everyone, and to answer to everyone all at once.  I appreciate those of you who have been patient as we have collected your questions and worked to give detailed responses to them.

I honestly hope that, upon reading the following document, that you have answers to any questions you may have...but if you don’t - please feel free to reach out and ask more questions.  We are people, and we are volunteers.  If there is an oversight, mistake, or if we have missed a question, it is a mistake, and nothing personal or purposeful. 

I think I can speak for everyone on the NCHA board, and can relate as a parent, that none of us want to have members paying more money than is necessary.  We don’t want to be charging parents more than they have become used to paying this year, but - in the interests of ensuring NCHA is able to continue to offer excellent opportunities to have our children develop, we need to be sure we operate with a balanced budget. This brings us to the point we are at.  Please carefully review the details included in this document.  If you have any further questions, please be sure you reach out directly to me at This email address is being protected from spambots. You need JavaScript enabled to view it.

Sincerely,

Jake Jouppi

Treasurer NCHA

Finance-Related Questions and Responses

Are we paying NCHA fees this year as we did previous years? If yes, what is the amount?  

In the past, NCHA fees covered the Administration Costs and other extra costs, such as NOHA Cards, insurance, etc.  This is no different this season.  If you do the math on the costs for the 3rd session, which is the one that the current board is responsible for, the breakdown is as follows:

The Pie Chart which was released can be broken down to help you to see clearly what the actual dollar amount for each area would be, based upon each player's $940 payment:

Ice: $577.16 (61.4%)

Officials: $49.82 (5.3%)

Administration Expenses: $113.74 (12.1 %) (Insurance, Paid Positions, Banking Fees, etc.)

Recouping Shortfall: $199.28 (21.2%). (This cost is based upon a plan to have NCHA break even on the year.  As mentioned in the prior release, the income did not cover the expenses in the previous 2 sessions, so this is money that should have been charged for the first 2 sessions to help ease the cost load throughout the year. 

If you add up the costs of the amounts that are not ice and officials (which are typically carried by teams), the total that goes toward "NCHA Fees" would be $313.02, however some of this is also being used to cover ice that was not covered by previous payments, the actual NCHA fees is closer to $290.00 out of the total cost for the season ($1640).

 Will we need to pay for tryouts next time they occur?

The cost for tryout ice, as has been the case for several seasons now, is covered by NCHA funds.  This is one item that ‘reserves’ would cover in this case. The cost to run tryouts is roughly $30000.

How many kids were registered at the first session, how many in the second session?

305 for the first session. 287 for the second session.

What equipment was purchased this year and how much did it cost?

This year, there were practice jerseys and cloth masks purchased by former board members that have been distributed to players.  The cost of this was approximately $11000. Detailed amounts are listed below.

Why was there such an underestimation of our expenses for the first two payments?

The previous board set the prices for both the first two sessions.  Unfortunately, they underestimated the costs associated with this season.

Do we have paid members within the association or that help the association

There are three paid positions within our board this year, and this is not new.  Their rates have not changed as their workload is equal to - or more complex this year than in prior years. We have a paid Ice Convenor (approximately $6000/yr), Bookkeeper/Registrar (approximately $18000/year), and Web/Tech Administrator (approximately $1500/yr). These costs make up a significant portion of the Administration Expenses.

Additionally, as we are working to minimize costs for our members, and contrary to recent years, we do not expect to be paying any honorariums for other services (to board members, or other hired staff) this year, which would be a reduction relative to previous years.

 Why do we not have different costs for different ages and/or levels? What about non-parent coaches?

We will not charge different rates for different age groups because we will be offering the same ice time to everyone.  If there are some groups who have been receiving less ice than others, these decisions were not made by members of this board.  Our plan for the 3rd session is to provide equal ice time to all players.

There are no paid coaches, so there is no cost associated with them.  In a typical year, the majority of costs for non-parent coaches are paid by the team, although certain people were paid above and beyond these team payments by NCHA last year.  This will not be something that will happen in the future.

What are Administrative fees?  What is spent on administrative fees?

Administrative fees are considered the costs outside of hockey costs, such as ice and officials.

Please understand that 100% of the costs listed here are those that were part of the plan of the previous NCHA Board, which had made the majority of the decisions for this year.  The NCHA Board that took over in November 2020 has not added any expenses to this list.  With that said, the current NCHA board does not disagree with any of the listed expenses as they are standard operation costs for NCHA, most of which have been consistent for many years.

 Here is a breakdown of Administrative Fees either paid or estimated for this year:

Item

Cost

NOHA Cards/Membership

$29290.00

Accounting/Bookkeeping

$18693.50

Insurance

$4013.00

Equipment (Practice Jerseys, Masks)

$10917.13

Ice Convenor

$6000.00

Web Administrator

$1500.00

Committee Expenses (Coach Selection Committee Spring 2020)

$393.19

Bank Charges/Paypal Fees

$1935.40

Coaching Development

$750.00

Office Supplies/Printing (Estimation, includes printing, laptop)

$3000.00

Tax Returns (10 years)

$5000.00

Board Member Expense Reimbursements

(Up to $200 per board member)

$2000.00

TOTAL

$83492.22

 

What are the ice and officials costs?

We are budgeting for ice costs of up to $365000

We are budgeting for officials costs of up to $25000

Can we do fundraising?

Yes.  We are currently discussing options and appreciate the offers of help in this regard.  If you have the ability to help, we would like to hear from you if you have not reached out yet. 

Can we get sponsors?

Yes, and sponsorship request letters will be sent out to help facilitate this, and you can get individual or team sponsorships - similar to past years.

Why is there a difference in cost for Houseleague vs. NCHA?

Our costs for the 3rd session are increased per player as we need to recoup shortfalls, as mentioned in other responses. 

If you look at the entire season for NCHA:

28 weeks at 4 hours per week = 112 hours of ice.

Total Cost of Season = $1640

Average cost per hour of ice per child over the course of the season = $14.64

There are some issues with the above simplification as many teams have been using 4.5 hours per week, but this is offset with the variance in ice from the first month where some teams received more, and others received less in a given week.

What about our Reserves from the last budget?

We do have reserves in our association bank account.  These reserves haven't been accumulated in one year, and it doesn't make sense to use up all the reserves we have in one season.  Additionally, we can not use them all up in good conscience. 

In fact, this year, it makes more sense to run our league at a balance of $0, which would require our association members to pay for their program costs. No more, no less. By doing this, we will ensure we are able to offer the same level of development for our players for years to come without inflated costs.

We require reserves in our bank account to cover costs for things like tryouts and prepaying for items.  We can not run our association with a $0 balance in the bank account.

What Does the 3rd Session Look LIke?

While we do not have specific groupings finalized as we need to see final registrations for the 3rd session, you can expect the following basic structure for your child:

2 practice times of 1.5 hours and 1 game time of 1 hour for a total of 4 hours of ice per week.

Other Changes to Expect:

  • You can expect some minor shuffling of ice time in order to accommodate this, as we are looking to standardize the ice times to allow for the same kind of schedule for all players - as this has not been the case up to this point.
  • Every ice time will have a coach who was hired to be a rep coach to help run the practice sessions. This has not been the case up to this point.

We hope that you have found the included details useful, and want you to know that the board at NCHA is dedicated to continue to find ways to ensure that all costs are accountable while we strive to offer high level development that you have come to expect from Nickel City Hockey Association.  

We wish you and your families a safe and happy holiday season, and look forward to seeing all of the Nickel City players on the ice in the new year.

NCHA Board of Directors