Excerpts from the 2022 Stewardship Report

Recently, GSUSA released the 2022 Stewardship Report PDF in anticipation of the webinar that will be held on October 27, 2022 at 4pm EST. In addition to the PDF file of the report itself, there is a link to register and submit questions on the GSUSA website. The deadline to register is October 24th and the deadline to submit questions is October 25th.

Here are some highlights and points of interest from the 48 page report:

Membership (pg. 8)

We know that the longer a girl is a Girl Scout, the more she displays the positive outcomes of the Girl Scout Leadership Experience. That is why we have remained deeply focused on growing and retaining our membership: so that every girl in the U.S. has the opportunity to join our Movement and feel welcome within it. In a sign of our Movement’s encouraging pace of recovery, 2022 was the first rebound year since the height of the pandemic and the first growth year in a decade (year over year). Although we have not yet recovered to pre-pandemic levels, we have stabilized the steep declines we experienced in 2020 and 2021.

Overall, we felt positive momentum in membership growth across councils: 98 councils grew year over year, contributing to a total of 1,704,535 members across the country. Specifically, our focus on rebuilding the K–3 pipeline of girls who did not have a consistent opportunity to join Girl Scouts during the height of pandemic restrictions yielded impressive growth: Daisy membership grew more than any other grade level—by 30%—reaching 52,000 more girls in K–1 in 2022 than in 2021.

Starter Troop Investments (pg. 8)

Starter troops are guaranteed troop experiences offered to new families for their first six to eight weeks in Girl Scouts. Council staff and existing community volunteers lead the troop during this time, providing more immediate access to both Girl Scout programming for girls on waitlists and training for adults to deliver this programming—with the goal of transitioning oversight of the troop to volunteers. Starter troops allow us to expand our reach by bringing Girl Scouts to new communities and, in particular, to introduce Girl Scouts to parents/ caregivers, who council staff can mentor and train as volunteers.

In 2021, we increased funding to expand the 2019 starter troop pilot through direct investments to 57 councils. This second national pilot, which extended into January 2022, resulted in 750 new troops being started to support over 8,000 new girls, surpassing the results of the first national pilot that served 640 troops, reaching 4,700 girls.

Volunteer Voices (pg. 10)

The Girl Scout Voices Count (GSVC) surveys help us understand volunteers’ points of view and how we can better support them as they bring the Girl Scout experience to life. The findings from this year’s survey show that troop leaders:

  • Overwhelmingly see benefits to volunteering with Girl Scouts: 87% of troop leaders believe they make a difference in the lives of girls, and 81% say being a troop leader gives them opportunities to use their talents, skills, and/or passions.
  • Believe in the Girl Scout mission: 71% think the values of the Girl Scout Promise and Law are very important in today’s world, and 83% think the Girl Scout mission is very important.
  • Give an enormous gift of their time to this Movement: Troop leaders volunteer on average 12 hours a month and contribute an average of 10 additional hours a month during cookie season.
  • Need more support and resources: While 75% of troop leaders who needed support from their councils received it, 1 in 5 volunteers say they need more support and guidance to be a successful troop leader.
The Support Volunteers Seek (pg. 10)

The feedback we have received this year from volunteers across the country indicates a strong need to streamline the entire volunteer process. With one-third of the volunteer base being new in membership year 2021–22, we are focused on making sure we are welcoming our volunteers into an environment that sets them up for success and enables them to hit the ground running. This means getting back to basics and revising foundational pieces of the onboarding process, time-based training modules, and core resources that create an efficient volunteer lifecycle. (Underscoring how important improving the volunteer experience is, it was one of the focus areas of April 2022’s Leadership Summit held in Philadelphia.) Based on volunteer feedback, our priorities for action are:

  • Simplified technology, with a focus on easier registration processes and better integrated and easier-to-access tools for program content, training, and communication
  • Simplified program, with a focus on turnkey implementation tools and streamlined program content
  • Training and support during the first year onboarding process and a nationally consistent training roadmap for troop and program management
  • Improvement in service unit/ community structures

In FY 2022 we launched the first module of gsLearn, an application allowing us to develop a consistent framework for training development and implementation across GSUSA. The New Leaders Onboarding module, an update of the Successful Leader learning series, ensures new and returning volunteers have clarity around what Girl Scouts do at each grade level, badges, and much more so they can plan their troop’s year. More trainings are being released throughout fall 2022.

Voices Count Survey Results (pg. 14)

Results show that the majority of Girl Scouts, caregivers, and troop leaders feel a strong sense of inclusion and belonging in Girl Scouts:

  • Girls agree a lot that they feel safe in Girl Scouts (82%) and can be themselves with us (71%).
  • Parents/caregivers say it is very or mostly true that in Girl Scouts, they (86%) and their girls (88%) are treated with respect.
  • Troop leaders say it is very or mostly true that in Girl Scouts, they feel respected for their contributions as leaders (71%) and can be themselves (86%).
  • Two in three (66%) of troop leaders say that Girl Scouts in their troop celebrate and learn about customs, values, and traditions of people from different races and cultures.
More Voices Count survey results (pg. 17)

Our 2022 Girl Scout Voices Count survey shows that participation in key Girl Scout activities has rebounded to nearly pre-pandemic levels. Three-fourths (75%) of Girl Scouts did a variety of activities, including 70% who got outdoors (up from 54% last year), 71% who did community service (up from 52% last year), 73% who went on field trips or outings (up from 33% last year), and 37% who went camping (up from 16% last year, though not yet rebounding to 2019 levels).

Camping 2022 (pg. 17-18)

Camp 2022: Excitement for summer camp was high this year, with many councils opening registration earlier than past seasons and sessions filling faster. Most councils (95%) ran summer camp, but the majority also experienced challenges.

  • 75% experienced camp staff shortages, which led to reallocation of council staff (e.g., staffing with executives), understaffed camp, cancellations, and more.
  • 69% experienced supply chain challenges, including delays in food delivery, limited food sources, and trouble accessing needed items, though impact was mild.
  • Findings from a post–camp season pulse poll showed that councils need support for camp staff recruitment, mental wellness for both staff and campers, and additional camp staff training.
Cookies (pg. 18)

Thanks to our collective work, the program began to rebound from COVID-19, with Girl Scouts selling nearly 168 million packages (+23% over last year).

Even with the return of in-person sales, we saw exciting digital sales results this season, with digital-enabled sales representing 25% of total sales. We believe the pandemic accelerated the shift to the digital sales channel and that it will remain strong in the future.

GSUSA formed a new national partnership with DoorDash to have cookies delivered via contactless drivers, with 61 councils and their girls engaging. The partnership generated over $1 million in sales and benefited from new marketing assets (e.g., a DoorDash commercial) and significant media coverage.

STEM Programming (pg. 20)

Higher Awards (pg. 23)

Between April 1, 2021, and March 31, 2022, approximately 3,500 Girl Scouts earned the Gold Award by tackling pressing issues that their communities face today, including taking action to destigmatize conversations about mental health, rewriting U.S. history courses to center groups that have been systemically and historically oppressed, building gardens and green spaces for all to enjoy, providing books to those in need, supporting local animal shelters, organizing community-wide recycling programs, combating food insecurity, addressing the climate crisis, tackling period poverty, and raising awareness about and providing support for people with disabilities.

In addition to Gold Award Girl Scouts, nearly 50,000 Girl Scouts earned their Bronze and Silver Awards—the highest awards Juniors and Cadettes can earn, respectively—completing service-learning projects that reflect an understanding of issues in their communities. GSUSA is working with the Silver Award Short- Term Working Group, a thought partner group of council staff, to develop our Movement-wide approach to the Silver Award, including developing tools that promote network alignment in how the Silver Award is defined, tracked, and evaluated for volunteers, girls, and council staff. The plan will be released to the Movement in the 2023 membership year.

Finances (pg. 28)

In the wake of the pandemic-related challenges we have faced over the past 24 months, we are excited about our actual growth of 5.3% in FY 2022 and our budgeted growth of 8.5% in FY 2023.

Together, FY 2022 and FY 2023 represent a period of recovery, rebuilding, and reimagining. FY 2023 will be a stabilizing year, paving the way for higher growth in FY 2024 and FY 2025. Aligned with our strategic plan and based on feedback from councils, our key objectives are to 1) stabilize the foundation with a significant emphasis on technology; 2) grow revenue and rationalize costs; 3) grow the value of our Girl Scout brand and experience with girls, volunteers, and donors for a broader population; and 4) ensure continued financial stability.

Although businesses, schools, and families have resumed pre-pandemic activities to some extent, COVID-19 continues to impact our lives and livelihoods. Many schools and organizations through which we would reach new members or host troop meetings are still not allowing outside organizations access out of an abundance of caution. In addition, the economic environment is very volatile and difficult with high inflation, significant investment market losses, continuing supply chain issues, and a challenging labor market. Membership is slowly recovering. Due to this, cash flow at GSUSA continues to be negative as we continue to invest in girls at a higher rate than the increase in our revenues. Our strong balance sheet and access to financing have allowed us to do so.

To ensure the long-term sustainability of Girl Scouts, we have prudently and strategically deployed funds and managed risks to offset the loss in membership revenues and invest in membership retention and recruiting. With the assistance of PricewaterhouseCoopers, this year GSUSA developed a sustainable enterprise risk management (ERM) program aligned with corporate governance best practices to identify, prioritize, and ensure alignment between company objectives, strategies, and risks to achieve our strategic objectives. GSUSA will work with the company to develop a toolkit of ERM resources to provide to councils in the coming year.

In summary, as of September 30, 2021, GSUSA had total assets of $294.4 million and total liabilities of $75.6 million, resulting in net assets of $218.8 million, or more than 22% higher than the $179.1 million in net assets as of September 30, 2020. The increase is attributable primarily to strong investment performance. For FY 2021, revenues were $103.2 million or approximately $4 million higher than FY 2020. Major variances included lower membership dues, down $15.0 million, which were more than offset by very strong philanthropic contributions, which were $20.0 million higher. At the same time, operating expenses were reduced by $10.7 million, including reductions in personnel and discretionary spending. Partially offsetting these were $33.6 million of higher nonoperating gains due to gains in investments and lower accounting expenses for pensions.

(Side note from GSG: to find out more about this topic, visit the GSG article about FY2021 Financials.)

National Girl Scout Council Retirement Plan (NGSCRP) pg. 29

There are currently 98 councils that are employers in the multiple-employer CSEC pension plan (the Plan). GSUSA works with the Pension Advisory Committee, which includes representatives from councils, the Finance Committee, and the National Board to improve the funded status of the Plan. GSUSA realizes the burden that the pension contributions place on councils and is continuing to commit resources to seeking ways of improving the funding of the Plan. The Plan has been frozen since July 31, 2010.

As the fiduciary and sponsor of the Plan, GSUSA is obligated to ensure that all participants receive their earned benefits in the Plan. All beneficiary payments are being made as required.

On June 30, 2022, the most recent date for which information is available, Plan assets equaled $417 million, and the Plan was 78% funded. This is a significant improvement, as the Plan was only 77% funded at the end of 2021 and 58% funded at the end of 2016. Investment returns were 2.0% over the three-year period, slightly better to benchmark, and contributed to the improvement in funded status. Higher interest rates (4.70% as of June 30, 2022) also positively impacted the liabilities.

Councils were contributing approximately $32 million on an annual basis to the Plan. For FY 2021 and 2022, GSUSA is providing to councils $5 million annually to offset pension expenses (as noted above). In addition, the Plan has met the funding threshold set by the IRS and is no longer required to make an annual minimum contribution of $30 million. In FY 2023 contributions will be reduced to $26 million.

Property Planning (pg. 30)

Girl Scout Dream Labs (Our Experience Centers)

The GSUSA Property Team has spent the past year developing a new program delivery and retail space concept internally called the Girl Scout Experience Center and which will be launched as Girl Scout Dream Labs, with the goal of raising the visibility of Girl Scouts and offering great programs and experiences in the communities that Girl Scouts serves. Concept design and development is completed, layouts have been finalized, and GSUSA and a construction project manager will work with the contractor to oversee the first capital project build-outs, for an on-time and onbudget delivery in Denver, Colorado, for the Girl Scouts of Colorado Council in January 2023. (Our Experience Centers) The GSUSA Property Team has spent the past year developing a new program delivery and retail space concept internally called the Girl Scout Experience Center and which will be launched as Girl Scout Dream Labs, with the goal of raising the visibility of Girl Scouts and offering great programs and experiences in the communities that Girl Scouts serves. Concept design and development is completed, layouts have been finalized, and GSUSA and a construction project manager will work with the contractor to oversee the first capital project build-outs, for an on-time and onbudget delivery in Denver, Colorado, for the Girl Scouts of Colorado Council in January 2023.

Council Property Portfolio Rebalance Reports

The Property Team is also supporting councils’ immediate real estate decision-making. GSUSA contracted and funded Newmark to complete a property portfolio rebalance report that provides data-informed recommendations for every interested council. The reports provide current assessment and takeaways from a working session, as well as demographic projected population, and density maps to understand how well each location is positioned. The report also includes “scorecard” assessments of each service center and office based on key criteria, as well as a series of high-level recommendations and suggestions to optimize each council portfolio. This work began in fall of 2022 and will be complete in September of 2023.

Girl Scout Merchandise and Licensing 2022 (pg. 31)

Girl Scout Merchandise turned a corner in 2022, with overall sales projected to grow 28% over last year, down 15% from 2019’s pre-COVID volume. Sales to council stores rebounded significantly (+39% from last year) as stores resumed more typical business hours and operated with fewer restrictions. The number of physical stores now stands at 262, down 36 from pre-COVID. This indicates that there is additional opportunity to grow retail store sales back up to pre- COVID levels and evaluate new stores or store formats to better serve our customers. Online sales maintained their volume this year, now representing 49% of sales, and we continue to invest in this channel with new opportunities such as service revenue (e.g., professional iron-on uniform services). Ecommerce is positioned to both improve convenience for our volunteers and families and generate incremental volume.

Our three-year affiliation strategy—focused on modernizing and updating the iconic Girl Scout uniform and reimagining how members demonstrate their belonging to Girl Scouts—was a key driver of this year’s sales results. The return to more regular in-person troop meetings meant members had more opportunities to demonstrate their Girl Scout pride, and the result was a year-over-year increase in uniforms and official apparel sales—up 40% from last year and up 2% from pre-COVID 2019 sales. The strategy wrapped up with the launch of new official adult apparel in fall 2022. Featuring updated branding and sustainable features, the new collections are driving both membership engagement and revenue.

Merchandizing (pg. 31)

Girl Scout Cookie–inspired products are the core revenue driver of the overall licensing business and are expected to be 73% of yearend royalties. About a third of these royalties come from Costco, which is a channel we are looking to expand in for 2023. In the quick-serve restaurant channel, Dairy Queen brought back the Thin Mint Blizzard for a second year, and we added a new relationship with Jack in the Box, which promoted an Adventurefuls Shake, keeping our newest Girl Scout Cookie top of mind throughout the summer. (Note: Jack in the Box over-indexes with Latinx consumers, helping us engage with this important market segment.)

Partnerships (pg. 32)

We secured a $2.5 million workforce development grant from the U.S. Department of Labor for a pilot program (with six councils) to transform the camp counselor experience and help address counselor recruitment.

Fiscal Year 2022 Fundraising (pg. 32)

During FY 2022, we raised approximately $13.7 million ($11.2 million after allowance for uncollectable pledges). Contributions include funding from major corporations, foundations, and individuals to support councils and deliver new programming to girls.

CircleAround (pg. 34)

As we began moving into the recovery phase of the pandemic, GSUSA decided to focus on core Movement programs and wound down publishing CircleAround starting in July 2022. We are grateful to the volunteers and CircleAround team who worked tirelessly to bring this concept to life and create the Girl Scout intellectual property and data-driven collection for this new venture, and to the companies that partnered with and supported it. The lessons learned from this launch, albeit not the resounding success that OneGS Media was anticipated to become, will inform and propel our thinking in investments and new partnerships into the future.

Support Provided by GSUSA to Girl Scout Councils (pg. 41)

GSUSA continues to provide direct financial support to councils to help them rebuild during this difficult time and ensure they are able to continue to serve girls. Grants to councils in FY 2021 were $9.3 million, a substantial increase over FY 2020 grants of $3.2 million.

Staff Training (pg. 41)

GSUSA continued to invest in several council staff training programs in 2022, including the fourth Council Staff Summit, Sandler Sales Training, and peer-to-peer Mission Delivery Coach training.

Sandler Sales Training offers council staff proven sales techniques to improve our approach to recruitment, customer service, and team culture. In 2022, more than 1,300 council staff participated in various forms of Sandler training—over 20% of all council staff in the country. These tactics are working: after council staff complete an all-staff Sandler Sales Training program, they recruit an average of 20% more girls than their peers—and they enjoy the experience: 97% of council staff who complete the program are satisfied with the training.

Fundraising (pg. 43)

In 2022, the team supported councils’ work on three significant grants that will directly support their local communities.

  • The Lilly Endowment provided GSUSA and the six councils serving girls in Indiana with planning grant funding to develop a plan to serve more girls in specific populations for a $10 million implementation grant
  • The U.S. Department of Labor awarded nearly $2.5 million to GSUSA as part of the Workforce Pathways for Youth program. The grant supports a GSUSA-led program, the Camp Counselor Career Catalyst Training Program, which will provide job skills and training as well as offer work experiences for young people, particularly underserved and underrepresented young people, young people of color, youth experiencing housing instability, and those who live in rural communities. GSUSA will work with six councils to implement the program.
  • Toyota provided grants to three councils to support their STEM, financial literacy, civics, and/or empowerment programs, as well as volunteers to work with each council to mentor girls and help facilitate the event activities.
Work Towards National Council Session (pg. 43)

GSUSA has worked with the National Board and its Board Development Committee, as well as the NCS Advisory Committee, to develop the path to the most impactful NCS to date, improving Movement governance communication along the way. We know that some changes—such as amendments to the standing rules and engaging delegates in the development of standing rules in advance of NCS will make the in-person meeting time more efficient. The Advisory Team has spent this year considering the NCS 2020 survey results and has taken the data and metrics from the most recent council sessions into account to mitigate or eliminate legal and parliamentary constraints. This will enable transformational shifts and ensure that we will engage in meaningful and strategic discussions at NCS 2023 to shape the future of our Movement.

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