The Girl Scouts of the USA is contemplating a significant change in its financial structure as it prepares for a vote on membership fee adjustments. For the first time in nearly a decade, the National Council, consisting of 900 delegates, will convene on Saturday to decide on the proposed increase in annual dues. The current proposal suggests a substantial leap from the existing $25 to $85 per scout, marking a 240% increase. This initiative is aimed at bolstering local councils and enhancing the quality of programs for both current and prospective scouts, as stated by a spokesperson for the Girl Scouts of the USA (GSUSA).

Membership dues constitute the primary revenue stream for the Girl Scouts, accounting for $38 million in 2023 from a membership base of nearly 2 million. However, the organization is grappling with financial challenges, with projected operating losses of $5.6 million for the current year, prompting the search for additional funding. Despite the potential benefits, some members have voiced concerns that the substantial fee hike could be prohibitive for many families, potentially excluding girls nationwide. Sally Bertram, a seasoned troop leader with the Girl Scouts of Western Ohio, expressed her astonishment at the proposed increase, questioning the organization's strategy and fearing it could lead to a decline in membership.

Bertram, a former Girl Scout and now a leader for her three granddaughters, highlighted the financial impact on her troop, noting the lack of additional benefits to justify the increased cost. She pointed out that the fees do not cover uniforms or badges, and she had to request an additional $20 from parents to cover basic expenses for a new troop she recently started with her youngest granddaughters.

The decline in Girl Scout membership in recent years has been acknowledged by the leadership, who addressed members in a September video. Diane Tipton, the National Board Treasurer, assured viewers that the organization has minimized expenses across all categories and undergone a rigorous budgeting process. By raising the fee to $85, GSUSA's CEO, Bonnie Barczykowski, explained that the organization aims to simplify program delivery for volunteers, improve technological accessibility, and introduce new experiences and opportunities for exploration.

Bertram, while open to a more modest increase to $35, deemed the $85 figure as exorbitant and potentially detrimental to the organization's future. She threatened to dissolve her unit and start an independent girls' club if the fee is raised to the proposed amount. Like many organizations, the Girl Scouts have faced the challenges of the pandemic, inflation, and evolving consumer behavior. Tipton emphasized the universal impact of increased costs and the need for the National Council to have confidence in the value of Girl Scouting and consider an investment that reflects this value.

The Boy Scouts of America also increased their membership fee to $85 in April, but their increase was a more modest $5. Kelly Goldsmith, a marketing professor at Vanderbilt University, Girl Scout Troop leader, and a delegate who will vote on the matter, described the GSUSA's situation as dire from a financial standpoint. She views the fee increase as a last-ditch effort to escape the budgetary crisis and a sign of the organization's financial struggles.

GSUSA anticipates some membership attrition due to the increased fees, particularly affecting girls from lower-income communities. However, Goldsmith believes the impact will be more widespread, with middle-class families also reconsidering the value of the $85 fee compared to the previous $25, especially with the availability of alternative options. Despite this, GSUSA remains committed to providing financial aid to reduce barriers for any girl interested in joining, and the board is considering a phased approach to the increase, offering a 20% discount in the first year and a 10% discount in the second.

The council will also vote on raising adult volunteer dues from $25 to $45. Goldsmith suggests alternative revenue streams, such as reducing the GSUSA's office space in New York City or cutting executive salaries, given that the CEO's compensation was $785,000 in 2023. She criticized the proposed fee increase, arguing that it exploits loyal customers and will likely negatively impact membership due to poor optics.

In summary, the Girl Scouts of the USA faces a critical decision that could significantly alter the financial landscape and membership dynamics of the organization. The proposed fee increase, while intended to support and improve scouting programs, has sparked debate and concerns over its potential to exclude many girls who might otherwise benefit from the scouting experience. The outcome of the vote will determine the future direction of the Girl Scouts and its ability to navigate the challenges of a changing economic and social environment.