Tim has twice been USCF President, in 1978-81 and 2000-01. He was also a Board member in 1999-2000, and led an alliance that made him more powerful than the President during that year. While he has done good work in the area of college chess, I find his record as President and EB member very troubling.
His May Chess Life statement includes the following claim regarding 2000-01: "Under my predecessor we had run an operational deficit of $500,000. I cut that back to $50,000 in one year."
This is highly questionable, as USCF's auditors reported that our fund balance went from negative $498,284 to negative $911,248 during the 2000-01 fiscal year (see Chess Life April 2007, page 51). That's a decline of over $400,000, and if we subtract the $98,096 loss by the LMA (Life Member Assets Fund) to arrive at a figure for "operations" alone, the decline would still be over $300,000.
Is Redman's claim of only a $50,000 loss simply a mistake, or is it an attempt to deceive the voters? Let's look at some history regarding the USCF 2000-01 fiscal year. In his "USCF President's Report" which was issued in July during the 2001 Executive Board election campaign, Redman wrote, "Audited financials closed on July 20 show that operations finished with a modest surplus of $14,148 for fiscal year 2001." This alleged surplus was trumpeted as an argument to vote for candidates supported by Redman and allies, but the voters were not fooled, it was widely recognized that USCF had been poorly managed during the past year, and none of those candidates was elected.
Later when the actual audited financials were released, they showed not a surplus, but a loss of about $145,000. If we subtract the LMA loss from this figure, we would have a deficit close to the $50,000 Redman is now claiming. However, CFO Jeff Loomis departed a few months later, and over $100,000 in unpaid invoices were subsequently discovered in his desk- money that USCF owed that had not been reported to the auditors. In the following months, various additional discrepancies were found. And when the auditors issued their audit for the following fiscal year (2001-02), it included the following note:
PRIOR PERIOD ADJUSTMENTS.
Certain discrepancies, resulting in the understatement of the reported net loss in the Federation's previously issued financial statements, have been corrected in the current year. This resulted in the following changes to the net assets as of June 1, 2001:
As previously reported, June 1, 2001...................................... (642,895)
Unrecorded accounts payable, deferred revenue, and
accrued liabilities................................................................ (194,286)
Net other adjustments........................................................ (74,067)
AS RESTATED, June 1, 2001................................................ (911,248)
Redman's current message to voters appears to overlook the existence of Note 12 and its impact on the 2000-01 bottom line. Could he really have forgotten?
Following are some USCF governance issues of 1999-2001 when Redman was on the Board. For each issue, please click the link(s) following for details.
1) TLA fees are massively increased under the Redman board, driving more than half the TLAs out of Chess Life. Many fees are quadrupled, and the fee for announcing a small tournament (3 line announcement) raised from $6 to $50! LINK1 LINK2
2) The TLA fee increase, supported by Redman and allies, is planned prior to the 2000 annual meetings when Bob Smith was President, but Smith and other Board members outside the Redman group are not even notified! The delegates meeting at Saint Paul, which probably would have passed a motion rescinding or modifying the increase, is also unaware of the new fees, soon to be announced in the October Chess Life. LINK1
3) Book & equipment sales inventory are drastically reduced after the Redman board supports selling only "basic items," but incredibly, sales staff is not cut back! The result: sales decline by about $470,000 in 2000-01 and another $730,000 in 2001-02, but total payroll is almost unchanged! A financial disaster. LINK1 LINK2 LINK3
4) Over $100,000 is wasted on Games Parlor's online play, then the Redman Board signs a new contract even more favorable to Games Parlor, which would credit them with membership increases they have nothing to do with. LINK1 LINK2 LINK3
5) In an attempt to promote tournament activity, the Redman Board votes to award players under 2000 two points per game played, despite the unanimous opposition of the Ratings Committee, which warns that active players will become very overrated. After several months of controversy, the Board cancels its planned implementation of the idea. LINK1 LINK2
6) President Redman's 3/21/01 letter to delegates says the claim that any EB member wants to close down USCF correspondence chess is "rubbish." Six weeks later, Redman suggests on the newsgroup that USCF should eliminate correspondence chess, citing inaccurate figures. LINK
7) Savage attacks by Redman and allies on former USCF President Bob Smith. LINK1 LINK2
8) The Redman team plots to disgrace non-Redman EB members and maintain complete control. LINK
9) Redman allies reject $50,000 risk free Kasparov sponsorship, resist sponsorship from Seattle Group. LINK
10) Chess Life features inspirational messages from our President. LINK