Minutes for the regular National Finance Committee meeting July 23, 2013. Meeting convened at 8:35 PM (ET) a quorum being present, the Chair and Secretary being present. ---------------------------------------------------------------------------------------------------- Attending: Jim Boyd, Marcus Jetter, R. Paul Martin (Secretary), Tony Norman, Michael Novick, Tracy Rosenberg (Chair), Richard Uzzell, Barbara Whipperman also attending was KPFT General Manager Duane Bradley. ---------------------------------------------------------------------------------------------------- Agenda: Roll Call Approve agenda Approve minutes Audit Update KPFT LSB-approved budget - initial review Budget cycle updates from the other 4 stations Crowd-funding project Syndicated programs and fund drive pledge handling (contd) ---------------------------------------------------------------------------------------------------- Motion: (Barbara Whipperman) “To approve the agenda.” (Passed without objection) Approve minutes 8:39 PM (ET) Motion: (Richard Uzzell) “To approve the minutes of the June 25, 2013, meeting.” (passed 6 for, 0 against, 1 abstention) Audit Update 8:41 PM (ET) The CFO was not present, so the committee could not get an update on the FY12 audit. KPFT LSB-approved budget - initial review 8:42 PM (ET) The KPFT General Manager discussed his perspective on the FY14 budget with the committee. He said that Paid Staff at KPFT had been cut to a minimum, nine FTEs. Car donations have doubled. They expect to do well with an acquisition mailing in the Spring. There will be a 12% increase in health benefit expenses. The station will try to buy fewer premiums. The lateness of the CPB grants is hurting KPFT. The end of year surplus is projected to be $88. In further discussion it was noted that KPFT is including election expenses for FY14. If there are no elections they will take that expense out. There is about $35,563 more than in the FY13 budget projected as revenue from “Listener Support” and “Website Income.” The KPFT General Manager said that there is a generally optimistic mood in Houston that they may have pulled out of the economic downturn, and the success of Spring on-air fund raiser where they achieved 100% of their goal is reason for optimism. Motion: (Barbara Whipperman) “That the NFC approve the KPFT FY14 budget and present it to the PNB with election costs being taken into consideration.” The committee discussed the motion. Amendment: (Michael Novick) “To remove travel expenses from line 67 General Ledger #6595 and reduce that expense by $12,060. And strike ‘with election costs being taken into consideration.’ ”(Passed without objection) Motion as amended: “That the NFC approve the KPFT FY14 budget, removing Travel Expenses from line 67, General Ledger item #6595, and reduce that expense by $12,060, and present it to the PNB.” (Passed without objection) Budget cycle updates from the other 4 stations 10:10 PM (ET) KPFK - They have gotten a proposed FY14 budget from Management. The local Finance Committee looked at it and thought some increases in revenue didn’t look justified, The General Manager sent revised estimates and stated why he felt they could increase their revenue. The KPFK LSB has scheduled a special meeting for July 31, to review the FY14 budget proposal. KPFA - They are struggling with their FY14 budget. Some problems are unreconciled FY12 budget figures. There have been some months when they have had problems with payroll. There have been problems with the transmission of information between the Business Manager, the National Office and the payroll service Another problem is that the company handling credit transactions has been giving amounts that don’t match the batches as they’ve been sent from the KPFA offices. KPFA has just completed union negotiations so there will be raises. KPFA is racing to meet the July 31, deadline. The KPFA LSB has a special meeting this Saturday. The budget shows, instead of actuals, budget to budget comparisons. They do not have a balanced budget yet. They are unsure of their actuals. WPFW - They have gotten a draft FY14 budget from their General Manager; they met last week. The local Finance Committee is to come up with a time table and revisions. They do not have actuals. WBAI - The interim Executive Director is coming to New York this week to negotiate with the Union. Layoff notices have gone out. The personnel expenses are the largest expense in the budget and so until the number of Paid Staff and their pay rates are determined the budget can’t be calculated. The station’s Summer on-air fund raiser started yesterday, the first day’s tally was $8,591.51, which is not good. There have been some off-air fund raising events which have raised small amounts of revenue. There was concern raised about how late WBAI might be with its FY14 budget. Syndicated programs and fund drive pledge handling 10:33 PM (ET) Motion: (Tracy Rosenberg) “The NFC recommends to the PNB that station fund drives be synchronized over similar periods of time whenever possible to maximize organizational efficiency.” (Fails 2 for, 3 against, 2 abstentions) It was agreed that the Chair would ask the CFO about the audit and actuals for the next meeting. Adjourned 10:58 PM (ET) Submitted by R. Paul Martin, Secretary.