Scholastic Entry Fees Too High!?
Wouldn't the term "well compensated volunteer" be considered an oxymoron?!    By NM Leland Fuerstman

(The following is a letter which was sent to
CMSCA Secretary Jenn Feagans after President Susan Flynn failed to respond. A second E-mail, which is also published below, makes a further request to simply answer a few questions. And, their final answer from President Flynn provides their 2007-08 tax returns, but unfortunately does not address any of the important issues nor answer any previously stated questions?! Why there is so much secrecy within these organizations one can only speculate? Meanwhile, Entry Fees for scholastic players continue to increase...)

10-5-09


Dear Ms. Feagans:

I was worried that my concerns had fallen on deaf ears... thank you very much for responding. I sincerely believe that my suggestions should be heard by all of the officers and volunteers of the CMSCA. There are current policies in effect between local chess organizations and individuals which have come into question, and I am hoping you will provide some answers.

I am a 62 year old grandfather of 3 likely candidates for the CMSCA and I live in Mecklenburg County. I have also been involved in organized chess for almost 40 years. In fact, I was on the original committee with Larry Goldberg who founded the CMSCA some 20 years ago. I am currently the President, Organizer and Director for the Charlotte Chess Club. (Probably the oldest continually functioning club in the Southeast! - www.charlottechess.com)

I achieved the title of National Master in 1985. I am also a USCF Certified Chess Instructor (which I assume all of your instructors are). For many years, I have taught adults and children alike, both in the CMS system and in private schools such as Providence Day for 5 years and the Union Academy. Therefore, my opinions about scholastic chess are based on experience, knowledge and logic.

It is not now, nor has it ever been my intention to single out any individual officer or volunteer of your organization for ridicule nor is it my desire to create any unnecessary conflict. However, I do firmly believe that your duly elected President has a responsibility to the local community to communicate and answer all questions which directly pertain to the CMSCA. (Regardless of who is asking them).

A few months ago, I respectfully communicated with your President, Ms. Flynn, by phone inquiring about the 2009 North Carolina Scholastic Championship. The tournament had been heavily advertised as a "CMSCA" event. The official results for that event indicated that the "Sponsoring Affiliate" was the CMSCA and the Chief Tournament Director was Timothy D. Champion. However, the actual organizer for that event was C. Randy Wheeless whom Ms. Flynn stated was "conducting the event for the NCCA?!" However, Ms. Flynn indicated that there was no written "relationship agreement" between the CMSCA and Mr. Wheeless.

The entry fee for that event was $35 at the site. A total of 507 players participated! Over $17,000 in revenue was generated from the entry fees and "team room" rentals. The winner of the event received a $1,500 scholarship. Other winners received cheap plastic trophies. Among the expenses were the rating fees and a fee to Dr. Tim Champion of $600! for using his computer for the pairings and acting as the Chief Tournament Director. (one NC chess pundit stated that he thought "the CMSCA was a 'non-profit' organization which used "volunteers"!?) Though the tournament was heavily advertised as a CMSCA event, the CMSCA, in fact, did not receive one penny of the revenues?! It is common knowledge among the local chess community, that subsequently, with much adversity I might add, both I and another concerned organizer attempted to find out just where the rest of the money went! What we learned was that over $8,000 had been deposited into the NCCA's bank account?!

My questions here are:
(1) Since the CMSCA apparently didn't need the money and there was $8,000+ left over, why was the Entry Fee so expensive ($35) for little kids who could only win a $5 plastic trophy? (An entry fee of $10-15 would have probably been sufficient).
(2) Since the CMSCA received absolutely no benifit from the event, why was your "non-profit" banner allowed to be used for their promotion? Most parents were lead to believe this was a non-profit scholastic event and that any profits would be used for scholastic purposes. Just ask them...

A few weeks ago, an event was conducted in Charlotte called the "Fake Copper Blanket" which was again advertised as a CMSCA event. The tournament flyer even went further to say that they were a "non-profit volunteer organization!?" However, in this case, adults and higher rated scholastic players were also allowed to compete in other sections for cash prizes. On the final printout, the sponsoring affiliate is listed as the CMSCA and the Chief Tournament Director was Timothy Champion (who played 2 rated games himself) with the assistance of now NCCA President Gary Newsom. A total of 75 participated in the event of whom an overwhelming majority were scholastic players. However, according to their advertisment, all who participated paid an entry fee of between $20-25. A total revenue of approximately $1,800+ was generated from the event of which a total of $465 cash was paid to winners of the higher sections. Ten plastic trophies were presented to scholastic winners. After subtracting other minor expenses, a profit of approximately $1,200 was generated!

My questions are:
(1) Was that event actually sponsored by the CMSCA as was stated?
(2) Did the CMSCA deposit any of the money generated from that tournament into their account?
(3) If the responsiblity for that event had been delegated to Mr. Champion and Mr. Newsom, did the CMSCA have a written "relationship agreement" indicating who was responsible for what and who would benefit from any profits? 
(4) If others were responsible, did they have adequate liability insurance in place in case of an accident or incident?
(5) Did they have enough assistant Directors and volunteers to control a crowd of 70+ children?
(6) Since the event was advertised as a "non-profit volunteer event," did organizers or directors receive any payment for their "volunteer" efforts, and how much?

Again, in my opinion, charging such high entry fees for weekend chess tournaments where every 7th child can only win a $5 plastic trophy seems excessive and certainly not in the best interests of the scholastic chess community. Such unnecessarily high entry fees seem exclusive to me and considering the current economy, could prevent children of lower income families from participating? Furthermore, if individuals are profiting greatly from business ventures where they claim to be representing a non-profit organization, I believe that is wrong. Scholastic chess should be available to all children regardless of their circumstances for a reasonable fee.

Through the years I have become very aware of the difficulty in finding competent volunteers. My hat is off to each of the officers of the CMSCA for offering their time and effort. However, one must not lose sight of the mission. It may be time to re-think what is best for our scholastic chess players and more precisely define the relationships that the CMSCA may have with other organizations or individuals.

If someone would please be kind enough to answer these questions, it will probably not be necessary for me to disrupt the felicity of your meeting tomorrow evening.

Very respectfully yours,

NM Leland Fuerstman
704-293-4397
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10-6-09

Ms. Feagans:


Thanks for the invitation to participate in your meeting. Unfortunately, I must apologize that I have another engagement to which I have already committed.

I have clearly spelled out each of my concerns in writing. It would seem more logical that your officers would probably first investigate and discuss the matters which I have targeted and decide upon an answer or remedy; rather than have me repeat it at an emotional meeting where I will surely be confronted with unfriendly opposition. I am not interested in singling out individuals for punishment. I am more concerned about correcting irregularities which prevail as a result current CMSCA policies. 

As you may already know, I have indeed been contacted by a number of officials of the CMS. Part of my complaint was your organizations failure to respond at all. Now that you have, I will ask that you please answer the questions in a timely fashion.

Another concern which has been brought to my attention is the fact that Mr. Gary Newsom is actually employed by the CMSCA as one of your instructors!? It is curious to many how he can be employed with the CMSCA and at the same time operate a competing scholastic organization for profit called "Chess Adventures" (chessadventures.com). Such a relationship would make it possible for Mr. Newsom to easily recruit new members from your ranks in order to participate at the Queen City Chess Association location on Friday evenings for $15 each --- which some have described as a possible conflict of interest. Simply put, his involvement in so many chess organizations has confused many in the local chess community who have subsequently expressed their concerns to me!?

Again, I must repeat that I am not accusing anyone of anything. Simply answering the questions should put any idea of all such assumptions to rest.

By the way, if it is not too much trouble, would you be so kind as to provide me with a copy of the CMSCA's most recent financial statement. It is my understanding that the financial report for your non-profit organization is "public information." However, if compliance might slow the process, I request that you simply answer the questions first. I look forward to your prompt response.

Very respectfully yours,

NM Leland Fuerstman
Grandfather of 3
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10-9-09

Dear Mr. Fuerstman,

We were sorry that you were unable to attend our last board meeting on October 6th.  I welcome you to attend all of our monthly board meetings, this is an open forum where questions can be addressed by they whole board.  

We are legally required as a non-profit agency to provide the public with our 990 form, you can always request this from the IRS.  I have attached a copy for your convenience.

Remember we volunteer our time to provide scholastic chess programs on a weekly basis to over 70 schools, I welcome your continued support in this endeavor,

Susan Flynn

(I am fully aware of the successful program whereby the CMSCA provides chess instructors for our local schools. However, it is extremely disappointing that they have chosen to stonewall and provide only that information which is absolutely required by law. One would assume that a non-profit volunteer organization would be transparent and provide all information to anyone who requests it.
Conversely, their failure to answer the questions only causes some to believe they have something to hide?! - Though I am not an accountant, from their 2007-08 Federal Income Tax Returns which reflected an annual budget of $132,820!, one can calculate that 84% of the money collected from scholastic chess tournaments went toward the "expenses" of those events?! Since they pay little or nothing for use of the facility, one can only speculate just how much these "volunteers" are receiving? Also curious are the $17,012 in "travel expenses" and $2,819 for "supplies?!" Finally, since a loss of over $12,000 was reported for that period, how can the CMSCA substantiate allowing another organizer to run their 2009 Scholastic Championship which generated over $17,000 and not take one dollar of the proceeds? A competent administration would have been aware of their deficit and conducted the tournament themselves in order to prevent a loss... {If anyone wishes to observe a pdf file of their complete 2007-08 tax returns, please contact the CMSCA}
Since they have refused to answer any of my questions, I can only assume that the already high Entry Fees for scholastic players will continue to increase, and I do not believe that is in the best interest of the scholastic chess community. LF
Ps. "Quark XIII" on November 28 sponsored by the Charlotte Chess Club is open to scholastic players who will only be required to pay a $5 entry fee!)