TO THE BOARD OF TRUSTEES OF THE ALCOHOLIC FOUNDATION.
This is a proposal to readjust the status of the Alcoholic
Foundation and Works Publishing, Inc., publishers and distributors of
the book Alcoholics
The legal and accounting relationship which exists between
The Alcoholic Foundation and Works Publishing, Inc. at the present
time is as follows:
1. The Alcoholic Foundation owns more than 2/3 of capital stock of
Works Publishing, Inc.
2. Two of the Trustees of the Alcoholic Foundation, Messrs. Taylor
and Crystal are President and Vice President of Works Publishing Inc.
3. The Alcoholic Foundation and Works Publishing, Inc. have jointly
maintained an office at 30 Vesey St. For something more than a year.
4. Works Publishing, Inc. signed the loops for the office but has
been reimbursed each month by The Alcoholic Foundation to the extent
of 50% of the rent.
5. In like manner substantially all of the overhead expenses at the
Vesey St. Office, including salaries, telephone and postage have been
defrayed 50% by The Alcoholic Foundation. Save with one or two
exceptions, Works Publishing, Inc. has been issuing its own checks in
payment of all expenses and has then reimbursed itself to the extent
of 50% by drawing upon The Alcoholic Foundation.
6. This arrangement functioned until March 1st of this year when
the Saturday Evening Post article greatly increased Vesey St. Office
expenses, making it necessary to ask the A.A. groups for
contributions payable to The Alcoholic Foundation.
7. The Foundation has since received approximately $1200.00 from
the groups along with instructions that these monies be placed in a
separate account to be known as "A.A. Operating Expenses" intended to
defray the overhead at the Vesey St. office.
8. At the time the groups were solicited for the monies, a budget
for the year commencing March 1st was submitted in which it was
proposed that during the year the groups raise $4000,00, that the
book contributes $3000.00 and that Mr. Rockefeller's donation of
$1000 be applied to the "A.A. Operating Expenses" fund.
9. To date the funds contributed by the A.A. groups and Mr.
Rockefeller's contribution have not been set up as a separate account
on The Alcoholic Foundation books nor have these monies been drawn
upon by the Vesey St. office.
10. Nearly all of the expenses of the Vesey St. office have been
defrayed since March 1st out of Works Publishing, Inc. funds.
11. From March 1st until June 1st, these expenditures by Works
Publishing, Inc. for its own and The Alcoholic Foundation account
have been in amount $1654.50.
12. It is therefore clear that whatever the future accounting
arrangements may be, The Alcoholic Foundation should not reimburse
Works Publishing, Inc. for the total expenditures of three months. At
the same time, Works Publishing, Inc. should issue its check to The
Alcoholic Foundation for $750.00, representing three months at $250
as outlined in the budget submitted to the groups.
At the last Trustees meeting it was conceded that
readjustment for the period since March 1st as suggested above would
have to take place. But the question was raised whether this
particular policy of disbursement and accounting should be continued
in the future. It was thought that perhaps it would be unwise to mix
the book funds and The Foundation funds in any way - that possibly
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