In 2013, CEN's income was $68,052 and its expenses, excluding cost of goods sold, were $70,850, resulting in a decrease to net assets of $2,878 and 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 up $13,510 (25%) year-over-year in 2013. This increase was due to significant increases in board in-kind donations ($2,938 or 115% increase), fundraising income ($3,239 or 921% increase), foundation grant ($3,000 increase, from $0 in 2012) and product sales ($4,039 or 3014% increase). The increase in board in-kind donations was primarily due to an increase in hours served and donated by board members (in-kind services). The increase in fundraising income was due to an increase in fundraising activities. The increase in foundation grants was due to receiving a $3000 grant from the Dudley T. Dougherty Family Foundation. The increase in product sales was due predominately to revenue from a tour to Brazil CEN conducted in early 2013.
CEN receives a significant portion of revenue in the form of non-monetary, in-kind labor from volunteers, which is recognized as a corresponding expense. In 2013, the value of in-kind services totaled $53,288, an increase of 6.4% over the year before. Total expenses increased 5% in 2013 to $70,850, primarily as result of expenses related to operating the tour to the Amazon in February, 2013. Most other expense categories remained nearly the same as the year before.
The value of volunteer labor (aka "in-kind services) skews the share non-program expenses represents of total expenditures because most volunteers are dedicated to administrative and fundraising activities. Not only is this an effective use of most volunteers' talent, but also allows our Director to focus more of his time on program-related activities. Including the value of volunteer labor, our non-program expenses comprised 67% of our total expenses in 2013, significantly lower than the 74% non-program expenses in 2012. This is due to an increase in program activities in 2013, made possible by the grant we received, as well as an increase in income.
Excluding the expenses related to the in-kind donation of labor though, our non-program expenses comprised only 19% total expenses and 81% of our expenses were spent on program. We feel this is a much more appropriate measure of success using our donor support responsibly because it more accurately reflects the value of the expenses to which monetary donations are spent.