Minutes for the regular National Finance Committee meeting March 13, 2012.<br />
<br />
Meeting convened at 8:42 PM (ET) a quorum being present, the Chair and<br />
Secretary being present.<br />
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Attending: Ken Aaron, Jim Boyd, Marcus Jetter, Campbell Johnson, Kim<br />
Kaufman, R. Paul Martin, Tracy Rosenberg, Alex Steinberg, Barbara<br />
Whipperman, Lavarn Williams, also attending was Executive Director Arlene<br />
Englehardt.<br />
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Agenda:<br />
<br />
1.	Roll Call<br />
2.	Approve Draft Agenda<br />
3.	Election of Chair and Secretary<br />
4.	Audit Update<br />
5.	Budget Timeline Check In<br />
6.	What is consequence of closed period?<br />
7.	1st Quarter Divisional Reports - National Office, WPFW, Archives<br />
8.	Confidentiality Recommendation/Protocol<br />
9.	Adjourn<br />
<br />
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<br />
The Chair directed that the minutes note that Bill Crosier was absent for<br />
personal reasons.<br />
<br />
Motion: (Barbara Whipperman) "To adopt the agenda." (Passed without<br />
objection)<br />
<br />
Election of Chair and Secretary 8:52 PM (ET)<br />
<br />
The Chair went over how these elections are to be done.<br />
<br />
Election of the Secretary<br />
<br />
Kim Kaufman nominated R. Paul Martin, he accepted. No one else was<br />
nominated for the office of Secretary. Without objection R. Paul Martin was<br />
elected Secretary.<br />
<br />
Election of the Chair<br />
<br />
Tracy Rosenberg gave up the Chair, R. Paul Martin assumed the Chair. 8:55<br />
PM (ET)<br />
<br />
Campbell Johnson nominated Kim Kaufman, she declined.<br />
<br />
Kim Kaufman nominated Tracy Rosenberg, she accepted. No one else was<br />
nominated for the office of Chair. Without objection Tracy Rosenberg was<br />
elected Chair.<br />
<br />
Tracy Rosenberg took the Chair 8:57 PM (ET)<br />
<br />
Audit Update 8:57 PM (ET)<br />
<br />
The CFO reported that she was gathering the documents requested by the<br />
auditor, the National Office will be following up to make sure that<br />
everyone knows what the requests are. She does not have an estimate of when<br />
the audit will be finished. Cash Flows and Balance Sheets can't be done<br />
until the audit is finished. She said she could give a preliminary cash<br />
flow, major payables and as headcount report. The auditor hasn't<br />
communicated any discrepancies. He is asking for pledges receivable. There<br />
is a deficit of about $400,000. There is improvement at some stations with<br />
fulfillment rates. There hasn't been any feedback from the auditor with<br />
regard to the Recovery Plan.<br />
<br />
The committee discussed the report.<br />
<br />
Budget Timeline Check In 9:04 PM (ET)<br />
<br />
The committee agreed to use the same timeline for the FY13 budget as was<br />
used last year, but people will be encouraged to get their information in<br />
sooner. There was a short discussion of when the CFO could meet with the<br />
treasurers about the FY13 budget.<br />
<br />
What is consequence of closed period? 9:13 PM (ET)<br />
<br />
A committee member asked what the definition of a closed financial period<br />
is and what is the proper way to correct things in that closed period.<br />
<br />
The CFO said that when you close the books it means that others can no<br />
longer make changes to that month. They no longer have access. Adjustments<br />
should only be made at the National Office, and they're usually done for<br />
accounting errors. Pacifica stations attempt to close on the 5th work day<br />
of the month, but KPFA doesn't. The closing date shouldn't change from<br />
month to month. She gave some examples.<br />
<br />
The committee discussed this.<br />
<br />
1st Quarter Divisional Reports - National Office, WPFW, Archives 9:29 PM<br />
(ET)<br />
<br />
National Office and Pacifica Radio Archives 9:29 PM (ET)<br />
<br />
The CFO reported that the Pacifica Radio Archives (PRA) had revenue of<br />
$153,763, and direct expenses of $206,805. PRA got central services<br />
payments from stations totaling $85,000 total. The actual does not compare<br />
well to the budget, it's off by $135,698. PRA has a three day on-air fund<br />
raiser. In weekly meetings with the General Managers and Brian Deshazor<br />
they thought that a three day drive dedicated to PRA was not best thing to<br />
do, so Pacifica and Station Managements decided to do a two day drive and<br />
the stations would dedicate one day of credit card revenues to PRA. KPFT<br />
didn't agree and did a third day of on-air fund raising for PRA. They are<br />
trying to make up the $135,698 variance. Direct expenses were better than<br />
budget by $17,000. If they continue to under spend and get additional funds<br />
they are hoping to project that the negative variance will not be that way<br />
at the end of the year.<br />
<br />
The CFO reported that the National Office still hasn't closed its books for<br />
FY11. Preliminary numbers through February show a net income of about<br />
$95,000, budget is $134,000. For February the revenue is actually much<br />
better than budget. Legal expenses are higher. We have to save in other<br />
areas.<br />
<br />
The committee discussed the report.<br />
<br />
WPFW 9:58 PM (ET)<br />
<br />
The WPFW Treasurer reported that the station did better than budgeted with<br />
listener support revenue. Some Staff are still working at reduced salaries.<br />
Office expenses and some other expenses are higher than budgeted. More<br />
pledges are being paid by credit card, so the credit card bank charges are<br />
up. Consultants are being switched to Paid Staff. Neither the General<br />
Manager nor the Business Manager understand why the Free Speech Radio News<br />
(FSRN) line is so much higher than budgeted.<br />
	It was also reported that the station is catching up on shipping out past<br />
premiums, and has switched to using a fulfillment house to deal with some<br />
premiums.<br />
<br />
The committee discussed the report. It was reported that the station has<br />
gotten a six month extension on its lease, but that fund raising for the<br />
move is behind what had been hoped for. Also, the location that had been<br />
previously discussed said that WPFW's financial posture was not adequate.<br />
There is now a Relocation Committee looking for a place for WPFW to move<br />
to. There have been some recent off-air fund raising events that have been<br />
successful.<br />
<br />
The CFO said that the FSRN line is probably higher as a result of the<br />
station getting more CPB money for that line.<br />
<br />
Motion: (Kim Kaufman) "When the quarterly reviews are scheduled the General<br />
Managers shall be invited to attend, or attend with their Business<br />
Managers, or to be represented by the Business Managers, at a dedicated<br />
time certain." (Passed 7 for, 0 against, 3 abstentions)<br />
<br />
It was agreed that the NFC would discuss the financial issues around WPFW's<br />
move at a future meeting.<br />
<br />
Motion: (Campbell Johnson) "To adjourn." (Passed without objection)<br />
<br />
Adjourned 11:04 PM (ET)<br />
<br />
Submitted by R. Paul Martin, Secretary.<br />