President's Report

Dated March 22,2026

Dear MARGE Member,

I would like to begin my report by thanking the other Executive Officers, Vice-President Michelle Scebnski, Treasurer - Allan Bartlett, and Secretary – Linda Kirton, for all their hard work and assistance. I would also like to thank Barry Miller and Betty Miller who continue to volunteer in the office.

Michelle Scebenski volunteered to serve as Vice-president just after our 2025 AGM and was officially appointed by the Executive Committee on September 9,2025.

I remind members that the fiscal year end for MARGE was changed at the 2024 AGM to the last day of February, so this report is for the fourteen-month period ended February 28, 2026.

MARGE operating results were once again positive, with an operating surplus for the 14-month period ended February 28, 2026. MARGE’s results of operations and financial position will be fully disclosed in the financial statements and reviewed at the AGM.

It has been a challenging period but with several achievements to report. I continued to focus our efforts on projects which I thought were of the highest priority.

My 2024 President’s Report, and the 2025 AGM Minutes, identified several Projects to be undertaken, which are summarised as follows:

• Complete our review of the group plan funding models and the move to an Administrative Services Only (SRO) model for the extended health and dental plans.
• Complete our review of the insurance reserve and the allocation of retained earnings/net assets.
• Create and implement a plan to recruit volunteers so that MARGE will have a succession plan in place.
• Draft first corporate by-laws and revised articles of incorporation for approval at the next AGM.
• Work on discounts offered to our members.
• Complete migration of accounting records from QuickBooks desktop to QuickBooks online.
• Develop and implement a strategy to increase our membership and participation in our group insurance plans.
• Engage an auditor to review MARGE’s annual financial statements. The member’s passed a motion at the 2025 AGM to authorize the Executive Committee to appoint the Association’s first auditor.
• Create a membership statistics reporting function.

Progress Report

Funding models

The Benefits Committee recommended, and the Executive Committee approved a change in the funding model for the group extended health and dental plans from a fully insured Refund Accounting model to a self-insured ASO model. The President and the members of the Benefits Committee spent considerable time and effort in implementing this change. This change will be disclosed in the belairdirect renewal letter which will be sent to group plan participants in April 2026. This change will also be discussed in detail during the MARGE Sponsored Group Plan information session which will follow the conclusion of our AGM which will be on April 29,2026,

Insurance reserve and the allocation of retained earnings/net assets

The Executive Committee concluded its review and decided to contribute the existing $80,000 insurance reserve to the group plan reserves held by Belairdirect. This was done in support of moving the health and dental plans to an ASO model.

The Executive Committee also restricted the use of a portion of the Association’s retained earnings/net asset as follows:

• $200,000 has been restricted and may only be used to fund an unexpected and unforeseen deficit arising from the move to an ASO model for the group health and dental plans.
• $50,000 has been restricted to ensure contingency funding exists in the event MARGE has to be wound-up.

These restrictions may be modified or removed at the discretion of the Executive Committee.

Plan to recruit volunteers and have a succession plan

I have developed a proposal to change the governance structure of MARGE by introducing a Board of Directors (maximum 12 members, minimum 8 members) to be elected for 3 - year terms. The B of D would then appoint from its own ranks individuals to serve as the Executive Officers and sit on the Executive Committee, for a one- year term. It is hoped that members of the Board will also serve on standing committees.

If adopted this would improve corporate governance and create more opportunities for members to volunteer, and to play a role in the future of MARGE.

The Executive Committee supports this proposal, which will be more fully explained at the next AGM. The new governance structure would then be incorporated into the first corporate by-laws which would be presented to the members for approval at a Special General Meeting as discussed under the next item.

Create corporate bylaws and amended articles of incorporation

The drafting of corporate bylaws and amended articles was not undertaken due to lack of time and resources. For this reason, the Executive Committee has determined we will require legal assistance and has allocated $5,000 in next year’s budget in this regard. The President will lead this project and consult with the Constitution Committee.

The Association’s first corporate bylaws will be based on the existing Constitution and will incorporate the creation of a Board of Directors as discussed above. The proposed bylaws will then be presented to the members for approval at a Special General Meeting which we are planning to hold in the Fall of 2026. If approved members will be in a position to elect the new B of D at the 2027 AGM.

Discounts program

We have completed a review of existing discount offered to members. We have begun the process of identifying potential new discount opportunities with a focus on obtaining discounts on services and products which will be attractive to retirees. This project is being undertaken by the Treasurer with assistance from the Secretary. It is hoped this will be completed by the late Fall.

Migration of accounting records

The migration of our accounting records from QuickBooks Desktop version to QuickBooks Online was successfully completed during early 2026.

Strategy to increase our membership and participation in our group insurance plans

Some preliminary work has been completed, and we have formed a working group made up of the Vice-president, the Secretary and Joan Blakely from the Benefits Committee.

The working group’s initial focus will be to identify employers and unions, particularly in the health care sector, who will then be contacted to see if they will agree to provide information about MARGE to their respective members.

Concurrently the working group will be creating promotional materials and developing an advertising strategy which will initially focus on union and association publications.

Engage an auditor

Unfortunately, this was not done. However, It is our intention to have an auditor selected and engaged prior to the end of this calendar year.

Membership statistics reporting

The database has now been updated to allow for the generation of a report that provides timely and accurate membership statistics for the Executive and for reporting to our members.

Focus for the year ended February 28,2027

What we accomplish, or don’t accomplish in the next year will be critical. We must continue to attract new members to the Association and increase the number of our members who choose to enroll in our sponsored group insurance plans.

Of more importance is having the proposed bylaws approved this Fall and then successfully recruiting 12 members to stand for election to the new Board of Directors at the 2027 AGM.

My focus and efforts, and that of your Executive Committee, will be on achieving the following goals:

Create corporate bylaws and amended articles of incorporation

Success will be based on having the bylaws and articles completed and approved by members at a Special General Meeting to be held this Fall.

Plan to recruit volunteers and have a succession plan

Success will be based on having the new governance model approved and then having at least 12 members selected to stand for election to the new B of D.

Discounts program

Success will be achieved by having a number of new and attractive discounts available to our membership by the end of this year.

Strategy to increase our membership and participation in our group insurance plans

Success will be measured, first by implementing a marketing and promotional plan, and second, by achieving a 5% increase in membership in the next year.

Engage an auditor

Success will be measured by engaging an auditor within the time frame noted above.

Virtual AGM

The Executive explored the potential to hold virtual AGMs. Initial research indicated the cost of doing so will be substantial and further research is required.

I am confident we can complete these projects successfully. However, it is of critical importance for members to step up and volunteer.

Respectfully submitted

“Bob Bouchard”

President