In 2012, CEN's income was $54,443 and its expenses were $67,375, resulting in a decrease to net assets of $12,932. The decrease to net assets (income minus expenses) of $12,932 in 2012 resulted an increase to the balance of the non-interest-bearing note payable to CEN's Director for expenses and services rendered by him for which cash payment has not yet been made. Debt is maintained as a liability on CEN's balance sheet.
Income was down $29,072 (35%) year-over-year in 2012. The single largest cause of this decline was the result of a sharp reduction from Board in-kind donations, which was down by $44,419 from last year due primarily to an extraordinary donation by CEN's Director in 2011 which did not reoccur during 2012. Income from most sources was also down modestly as a result of an increased focus on the execution of projects rather than on fundraising. Revenue from in kind Donations, other than from the board, increased significantly ($21,083 or 219%) primarily due to an increase in volunteer hours served.
CEN receives a significant portion of revenue in the form of in-kind labor from volunteers, which is recognized as a corresponding expense. In 2012, the value of in-kind labor totaled $50,067.
Total expenses increased 6% in 2012 to $67,375, primarily as result of increased number of volunteer hours served. Including the value of volunteer labor, our non-program expenses comprised 74% of our total expenses in 2012, slightly exceeding non-program expenses in 2011. Excluding the expenses related to the in kind donation of labor though, our non-program expenses comprised a much more modest 34% of total expenses, and 66% of our expenses were spent on program. We feel this is a much more appropriate measure of success meeting our fiduciary duties because it more accurately reflects the value of the expenses to which monetary donations are spent.