X-Message-Number: 8753 Date: Mon, 10 Nov 97 15:16:24 From: Fred Chamberlain <> Subject: Life Membership Program To: CryoNet From: Fred Chamberlain Re: Life Membership Program CryoNet posting #8744 by Dave Pizer represents the principal goal of the Life Membership program as budget balancing. It is hard to understand why those reading CryoNet are surprised that Alcor is still, to a large extent, dependent on donations and bequests. Non-profit, tax exempt organizations like Alcor do not survive by making wigits. While it is a goal for Alcor to be fully supported by the direct, predictable contributions of its Members, more growth is needed to make that a reality. None of this has been hidden from those considering Life Memberships. In the telephone calls concerning the program, those participating are told that one of its main purposes, during Alcor's growth phase, is to shift the income away from donations and bequests toward dues. We tell those on the calls that these sources (donations and dues) are not a sound, long term basis on which to operate. The only good, long term solution is a membership large enough to carry the organization through dues alone. It will take, based on present growth rates, 5-10 years or longer to reach a "dues alone" break even condition in Alcor, even with the stimulous of the science and technology improvements we see coming in the next 3-5 years. During that period, the Life Membership program enables some members to carry a larger share of the load, in exchange for exemption from dues later when Alcor is far larger. Is there a risk that the Alcor would *not* grow, and ultimately fail anyway? Is it possible that Life Memberships could become worthless? Of course there is that risk! Along with it goes the risk that the 35 members currently in suspension would be lost, or that the remaining organization would shrink into a "barely able to keep them frozen" mode, where ultimate probability of reanimation might be far less. You can't get away from risk. It is there, every time you drive out into the street. One can argue that true "peace of mind and security" are found only in the grave. There are other risks, besides failure to grow: (1) Technology of suspensions could increase in cost, as better methods are developed, outrunning existing funding arrangements. (2) Inflation could render all of our planning obsolete. (3) Cultural backlash could shut us down and wipe us out. Risk goes with the territory, in all of life, and particularly in cryonics. From the first approvals of using funds from the Dick Jones' endowment accounts for operating expenses, at which time I was neither a Director or Officer of Alcor, this approach to "underwriting growth" was part of an accepted management philosophy in Alcor. Dave Pizer (as Treasurer) was then in charge of this. Deficit spending in Alcor is nothing new. A lot of questions have been asked on CryoNet, about Alcor's approaches to financial management, about compensation, and other aspects of the Life Membership program. Practically, a "full audit" has been requested. Alcor's financial statements are a matter of public record. Members and even non-members are free to request copies at any time. Questions about them will be answered on an individual basis. Conversely, I have no intention of engaging in a running debate on CryoNet as to the details of finances in Alcor, or their validity. If you are a Member of Alcor or seriously thinking of joining, I invite you to call me at 1-800-367-2228, and ask questions. If I don't answer your questions to your satisfaction, you are free to leave Alcor or decide not to join it, and you are also free to publish your opinions on these matters, on CryoNet. A few things no one should ignore or misunderstand: If Alcor's Members are not willing to support growth through increases to dues or prepayment of dues during the growth period, or through donations or investments (in corporations owned by Alcor Members), they cannot expect a strong, responsive rescue capability to be available. Until the early 1990's, Alcor's capabilities were based very largely on personal efforts and expenses, at no cost to Alcor's Members, by Jerry Leaf, Mike Darwin, Saul Kent, and others who either donated or invested heavily with no prospect of return in the short term. When Jerry Leaf was suspended in 1991, and when Mike Darwin left Alcor about the same time to start an independent research lab, Alcor continued to maintain its capability only with great difficulty, operating on a deficit basis, and that has continued since that time. There are plans to turn that around, by growth oriented programs, but these results cannot be obtained overnight. They depend on a membership which is able to face the reality of how Alcor currently operates and the need to change that through growth. To repeat, if you are an Alcor Member or are thinking of signing up, call me personally to discuss any serious concerns you might have. If you feel that Alcor's growth is worth effort and risk, stay with, or join us, and put your strength to work either as a Rescue Representative, a LifePact activist, or a Life Member. If none of these are within your limits, join Alcor as an Associate Member (receiving the publications) or as a basic CryoTransport Member. In this way, you will be hastening the day when Alcor operates on a sound basis and can expand its research, heretofore dependent exclusively on donations, bequests and the personal efforts/expenses of individual Members. If nothing else, go out and get insurance. Why? Because if you learn that you are terminally ill and then cannot qualify for insurance, you might not be able to fund your suspension, no matter how badly you might want it at that time. You don't have to join Alcor to do this, but at least protect yourself by getting insurance while you are able. Then, if you can afford it, join as an Associate Member or (better still) as a CryoTransport (suspension) member. When you finally can be more active, by then you will have helped Alcor grow and become more stable, it will be more likely to be there when you really need it. There is nothing more to say at present. I am not going to review reams of CryoNet posts, answering questions of a fine grained detail for people I'm not sure are serious about cryonics in the first place. Call me if you are an Alcor Member or thinking of signing up, if you have a serious concern (800-367-2228). I'll hold nothing back in telling you what I know and think. Fred Chamberlain President/CEO Alcor Life Extension Foundation Rate This Message: http://www.cryonet.org/cgi-bin/rate.cgi?msg=8753