Minutes for the regular National Finance Committee meeting August 13, 2013. Meeting convened at 8:43 PM (ET) a quorum being present, the Chair and Secretary being present. ---------------------------------------------------------------------------------------------------- Attending: Jim Boyd, John Cromshow, Marcus Jetter, R. Paul Martin (Secretary), Tony Norman, Michael Novick, Tracy Rosenberg (Chair), Raul Salvador (CFO), Richard Uzzell, Barbara Whipperman. ---------------------------------------------------------------------------------------------------- Agenda: 1. Roll Call 2. Approve agenda 3. Approve minutes 4. Audit Update 5. WBAI Update 6. Budget Extension Motions: WPFW, WBAI, KPFK and KPFA 7. Election Accounting 8. Schedule budget reviews 9. Crowd-funding effort/platform (recommend postponing to post-budget) 10. New: WBAI Transmitter ---------------------------------------------------------------------------------------------------- Motion: (Barbara Whipperman) “To adopt the agenda.” (Passed without objection) Approve minutes 8:51 PM (ET) Motion: (R. Paul Martin) “To approve the minutes of the July 23, 2013, meeting.” (Passed without objection) Audit Update 8:52 PM (ET) The CFO reported that the audit has been reviewed and he got a corrected copy just before this meeting. He said he’d send it out in the morning. Pacifica’s 990 forms will be ready for signing tomorrow. The current auditors have removed the “going concern” statement that had been in previous audits. He said he’d send a copy of the audit to the NFC as well. WBAI Update 9:02 PM (ET) The WBAI Treasurer reported that the interim Executive Director announced in a Report to the Listener on WBAI on Friday afternoon that the negotiations with SAG/AFTRA were over and that there would be massive layoffs right away. The WBAI General Manager says that WBAI has gone from about 19 FTEs to about 7 to 7½ FTEs with these layoffs. Most of the Paid Staff who are left are on half time salaries and there is a question as to how they will be able to stay on with such low pay. Seniority was not always a factor in determining who was laid off. Many of the actions were verbal, with only the initial layoff notices in writing. Some of those laid off say that they have been told that their severance pay would take months or a year for them to get. In the broadcast on Friday the interim Executive Director said that she was unsure how four units of Pacifica were going to get paid on August 15. Amid the layoffs and program changes at WBAI there are many rumors along with people engaging in magical thinking about the financial crisis and people treating the layoffs as political opportunities. The CFO added that Pacifica is taking a serious look at the severance issue to make sure that severance pay doesn’t interfere with employees getting unemployment. Budget Extension Motions: WPFW, WBAI, KPFK and KPFA 9:19 PM (ET) WPFW - They are having meetings about the FY14 budget and are making progress. They would like an extension to the budget deadline. Motion: (Marcus Jetter) “To give WPFW an extension of its budget deadline by 30 days.” The committee discussed the motion. Amendment: (Tracy Rosenberg) “To make the extension to August 31, 2013.” (Passed 7 for, 1 against, 2 abstentions) Amendment: (Richard Uzzell) “To make the extension to August 27, 2013” (fails 4 for, 5 against, 1 abstention) Motion as amended: “To give WPFW an extension of its budget deadline to August 31, 2013." (Passed 9 for, 0 against, 1 abstention) WBAI - The WBAI General Manager has said that he can get the draft FY14 budget together now that he knows what the payroll will look like. The WBAI LSB meets on September 11, 2013. There are local Finance Committee meetings planned. Motion: (R. Paul Martin) “To give WBAI an extension of its budget deadline to September 12, 2013.” (passed 8 for, 0 against, 2 abstentions) The committee discussed the motion. Amendment: (Richard Uzzell) “To make the extension to August 31, 2013.” (Fails 2 for, 7 against, 1 abstention) KPFK - The draft FY14 budget was taken to the KPFK LSB on July 20, and a special LSB meeting was set for July 31. They didn’t achieve a quorum on July 31. The local Finance Committee met with the KPFK General Manager and he produced a revised budget that reduced payroll by 2 positions and reduced anticipated revenue. They have rescheduled a special LSB meeting for tomorrow night. It should take couple of days to get the draft FY14 budget into the templates. They should be able to present it by next Monday, depending on the LSB meeting achieving a quorum. Motion: (Michael Novick) “To give the KPFK LSB and General Manager to August 15, 2013, to produce a FY14 budget draft.” (Passed 8 for, 1 against, 1 abstention) The committee discussed the motion. KPFA - Their draft FY14 budget was approved by their LSB on August 10. They want an extension to August 10. Motion: (Barbara Whipperman) “To give KPFA an extension of its budget deadline to August 10, 2013.” (Passed without objection) The committee discussed the motion. The Chair suggested that the committee add a meeting on August 19, and review the KPFK draft FY14 budget on August 19, the KPFA draft FY14 budget on August 27, and the rest of the draft budgets in September. There was no objection to this suggestion. Election Accounting 10:50 PM (ET) It was reported that the Elections Committee is looking at a cost breakdown for the 2012, election and they’re trying to find out how much of the 2012, election expenses are in the FY13 budget. The CFO said that he’s sent the General Managers and Business Managers the final tally of the election bills. He said that he would forward that information to the NFC. He needs to determine the Local Election Supervisors’ salaries. This expense occurred in October 2012, and so will be part of the FY13 expenses. The 2013, election expenses will be a FY14 item. He will ask Human Resources to provide the information. The Chair recommended that the committee skip the Crowd-funding effort/platform agenda item tonight. There was no objection to this. New: WBAI Transmitter 10:54 PM (ET) The Chair noted that the proposal had been brought up that the Empire State Building should be approached to initiate a non-profit rate for antenna/transmitter rents. With the Freedom Tower going into operation as the tallest building in the region soon the monopoly that the Empire State Building has had since 2001, on being the best location for an antenna will vanish. The Chair said that she thought that it would be appropriate for the NFC to endorse such an endeavor. The committee discussed the idea and the Chair said that if this idea were endorsed that she would lead the effort. Motion: (John Cromshow) “To approve Tracy Rosenberg's efforts to investigate the possibility of lowering the monthly rates for non-profits at the Empire State Building for tower rental.” (Passed without objection) The committee discussed the motion. Adjourned 11:26 PM (ET) Submitted by R. Paul Martin, Secretary.