Minutes for the regular National Finance Committee meeting February 19, 2013. Meeting convened at 8:39 PM (ET) a quorum being present, the Chair and Secretary being present. ---------------------------------------------------------------------------------------------------- Attending: Ken Aaron, Jim Boyd, Bill Crosier, Marcus Jetter, Campbell Johnson, Michael Novick, R. Paul Martin (Secretary), Tracy Rosenberg (Chair), Alex Steinberg, Barbara Whipperman. ---------------------------------------------------------------------------------------------------- Agenda: 1. Roll Call 2. Approve Agenda 3. Approve Pending Minutes 4. Committee Composition Update (Chair) 5. CFO Search Update (Chair) 6. Around the Horn Updates ---------------------------------------------------------------------------------------------------- The new Treasurer from KPFK, Michael Novick, was seated. The Chair noted that the committee has not received the financial statements it had asked for. Motion: (Michael Novick) “To approve the agenda.” (Passed without objection) Approve Pending Minutes 8:44 PM (ET) Motion: (R. Paul Martin) “To approve the minutes of the January 22, 2013, meeting.” (passed 5 for, 0 against, 4 abstentions) Committee Composition Update 8:47 PM (ET) The chair noted that Michael Novick from KPFK was now a member of the committee and that the PNB would be electing the 2013, Directors to the committee at the in-person PNB meeting in New York. Some of the current Directors on the NFC will be terming out. CFO Search Update 8:48 PM (ET) The Chair reported that the Executive Director and CFO Search Committee has completed the CFO part of the search. The committee has selected three finalists to be interviewed at the in-person PNB meeting in New York City this coming weekend. The incoming PNB will select one of those finalists. Pacifica should have a new CFO some time in March. The committee affirmed that it would hold an executive session tonight. Around the Horn Updates 8:56 PM (ET) KPFA - The station’s on-air fund raiser started on February 12, and is set to end on March 4. The goal is $735,000, Today the tally passed $200,000. After the last payroll went through KPFA sent additional money to help WBAI’s payroll. The station is working to clarify some payroll issues. The lack of financial statements from the National Office is causing difficulties. There have been no Paid Staff cuts. The KPFA General Manager is waiting till later in FY13 to enact cuts, unless he can find an alternative. The committee discussed the report. Concerns were raised about the cuts not being made because KPFA needs to cut about $200,000 in expenses in order to have a balanced budget for FY13. The longer the Paid Staff cuts are delayed the more extensive they’ll need to be in order to balance the FY13 budget. There was a discussion about the reporting protocols involved in the KPFA/KPFK shared program on-air fund raising issues. It was suggested that the next NFC develop a policy around simulcasts of programs to multiple stations during on-air fund raisers. KPFK - Development costs are much higher than budgeted. KPFK Management says that this is due to premiums that have high shipping costs. Listener Support is a little better than budgeted. The Winter on-air fund raiser started today at KPFK. The biggest problem with simulcasting during on-air fund raiser periods is that KPFA starts pitching before KPFK does. The KPFK Treasurer pointed out to the KPFK General Manager that the FY13 budget called for staff cuts and there were two severance packages in the budget but nothing’s been done to comply with that, the KPFK General Manager acknowledged that this is the case. The committee discussed the report. It was brought up that income and expenses for community events are not being entered into the books. It was pointed out that the KPFK General Manager says that KPFK has made over $43,000 for the transmitter capital campaign, but the financials only show $27,000, some of which is money that had already been collected for the defunct solar array. Some believe that there is some confusion regarding the accounting for the station. It is possible that due to a mis-entry of the transmitter capital campaign money the station may actually be operating at a deficit. The station has almost spent all of the money budgeted for premium expenses. KPFT - The station ended its Winter on-air fund raiser on February 9, it was a two and a half week drive. They did not make their $300,000 goal. They only tallied about $246,000. The transmitter is only operating at one third power, they are trying to raise money to get a replacement. It is not known how much of an impact the lower power had on the on-air fund raiser. They had a solid on-air fund raiser campaign in December. The Fall on-air fund raiser and silent campaign were good. The station is looking for cuts to make in its expenses. The station’s General Manager would like to be notified by the National Office of any important bills not being paid. The station has gotten a grant from the organization “Children at Risk” to air Growing up in America which is about strengthening education reporting. The committee discussed the report. Music programs did well and talk programs did not do well during this on-air fund raiser. Democracy Now! did not raise as much as expected. WPFW - The lack of financial information for the LSB is troubling. The station has just begun its Winter on-air fund raiser. It’s set to go on for 21 days with a goal of raising $400,000. The station is only using donated premiums, not buying them, in order to save money. The General Manager has been out on sick leave for three weeks, the Business Manager is working part time and is not responding to requests to come to an LSB meeting. Most staff are still on wages that have been reduced to 75%. Staff morale is low. There is a movement among some listeners for pledging on condition that the General Manager be removed. There was a complaint that the PNB has not approved a local Washington, D.C. firm to do the build-out at the new location. The committee discussed the report. Premiums from past on-air fund raisers are way behind on shipping. The General Manager brought in a fulfillment house to address the premium backlog. WBAI - The station’s Winter on-air fund raiser started on February 4, and is scheduled to last for 31 days, with a goal of $850,000. After 15 days of pitching we’re below goal. We should have a tally of about $392,000 at this time but we only have a tally of about $200,000. The station is in the midst of its move. The offices are moved to the temporary, free space and the station is broadcasting from the temporarily rented studios at CCNY. There are technical issues, which is understandable given the short time given to make the studio move. The temporary outages may be impacting the on-air fund raiser somewhat. There is concern among Staff about the problems associated with the new studios and other aspects of the move. We only have a small amount of financial information from the General Manager, nothing from the National Office. The local Finance Committee has not been able to meet because it isn’t getting financial documents and it doesn’t have a place to meet at this time. The committee discussed the report. The Chair thanked the committee for its work over the last year. The committee members thanked the Chair for her diligence and work on the committee. Adjourned 10:25 PM (ET) Submitted by R. Paul Martin, Secretary.