Fiscal Planning Minutes
February 20, 2014
Handlery Hotel – San Diego
Present: Wendy Olson, Mindy Bergeron, Terri Eckel, Jack Edwards, Frank Green, Kevin Jensen,
Sun Ow, Ashley Salisbury, Jeff Scofield, Leonard Walker, Nichole Doering (as guest)
Call to Order: 3:52
Review of Minutes from November FP Meeting:
Terri sent out draft and solicited edits back in November 2013. All edits have been done.
Motion moved Mindy
Second Jack
No discussion
Motion passes to accept minutes – Terri will post to website.
Review of To Do List:




Mindy to put WASFAA passwords in a password protected spreadsheet – is being done.
Wendy to asterisk conference loss on historical representation of expense/loss in
Hawaii with explanation as to why that conference was such a loss - DONE
Ashley S. to visit with ATAC about screening job postings submitted to the listserv. In
progress – will report on this at April meeting.
Adam to get some detail about expenses for last year’s training. Done - incorporated
into his report.
E-Votes Since Last Meeting:
Blog Policy Proposed by Fund Development and Communications Committees:
DRAFT WASFAA BLOG AD POLICY:
WASFAA welcomes and invites submissions of sponsored articles, essays, photographs,
information or ads of general interest to all members. Submissions should be brief and the
communications committee reserves the right to edit submissions, which are subject to
editorial approval. It may not be possible to publish all sponsored articles or ads
submitted. Articles should be no longer than 3500 words.
Sponsored articles will be expressly attributed to the Sponsor. Articles for the Blog will remain
on the Blog for 3 months.
The cost is $125 for Blog Ads/Articles and submissions received before December 31, 2013 will
be available at a reduced cost of $50.
Motion made by Jack to accept the blog policy with the reduced rate.
Second – Terri
Ayes – 7
Motion Approved on 11/15/13
Budget Revisions - Evote
Wendy presented the following proposed budget adjustments to FP Committee via email:
Changes
Budget
Income
Asset
Reserves
25,700.00
Conference
91,000.00
Total
Income
Expenses
General
Adminst
Go
Emerchant
MLI Expense
Total
Expenses
##########
7/22/2013
8/8/2013
11/7/2013
1/28/2014
Revision
Revision
Revision
Revision
-2694
$
-
$
(2,694.00)
0
$
-
14380
$
$
14,461
$
105,380
$
5,835
$
119,841
-8545
3035
$
10,020
$
6,280
$
13,541
$
5,835
$
29,841
7,500.00
2520
6,000.00
280
20,450.00
-9944
$33,950.00
$
(9,944.00)
$
-
$
-
New
Value
Jack made motion to accept changes as presented.
Second - Mindy
No discussion. All in favor. Motion passed 1/30/14
MEETING:
Wendy explained that Nichole is present to propose rates for SDBSI. Nichole proposes no
change to rates. Nichole explained that NASFAA CORE training is being incorporated and that
attendees will be credentialed. Wendy pointed out that we are saving a lot at the location
(UNR), so that may also warrant no change in rate. Frank said he was at a regional president’s
meeting and the CORE training came up. RMASFAA has been using CORE in addition to
Oklahoma and another state – Texas, perhaps? There are approximately 200 who can complete
the credentialing with NASFAA, but only 13 have done it. Jeff said he gets it – people don’t want
to do it because they don’t want to know what they don’t know. Nichole commented that
taking tests is scary, but it appears that some employers are waiving the Master’s requirement
for those who have done this training and who have received this credential. Faculty will have
option of being credentialed in all areas if they want.
Jack said that it’s a major shift. NASFAA’s position has always been that we police ourselves
rather than have others police us. There hasn’t been any pushback from ED about this training.
Sometimes it is easier to teach from the FSA Handbook. Nichole said it’s comparable. Only real
difference is CORE has history of FA. CORE may be overwhelming. Jack suggested that NASFAA
trainers come to teach and be a part of faculty. Wendy said that David Tolman has been doing
some training in our region, but NASFAA will likely charge for his services.
Proposed Rates for SBSDI:
Basic Track
Single $700
Double $575
Commuter $510
Intermediate/Clock Hour Track
Single$525
Double$400
Commuter$325
Motion to accept proposed rates made by Terri
Second Mindy
All in favor
Motion passes
Treasurer’s Report
Mindy reported that our numbers are strong. She is still having questions and minor problems
with Quickbooks, specifically investments and how to figure gains, etc.
2012 taxes have been filed – Tracy Corta did them and also reviewed books and all was clean.
Mindy asked if we need to have our books reviewed every year. Wendy said that when there is
a transition in position, we definitely want to have them reviewed, but if there’s continuity in
positions, we really don’t need to have an outside review. This year the review will be done
with WASFAA member volunteers selected by our president. The bylaws state that an outside
review needs to happen every other year.
TO DO -Wendy will talk with the President about doing the fiscal review for 2013.
Mindy does profit and loss and budget vs. actual for 2013 and 2014 so that we can really see
what we are spending money on. We are very healthy financially and no major issues. We have
to pay BMI for music at our events. The storage unit was just paid; Wendy commended Mindy
for how well she’s doing.
Wendy asked that Tracy Corta be assigned to do our 2013 taxes.
Motion to have Tracy Corta do our 2013 taxes made by Kevin
Second Jack
All in favor – Motion passes
Kevin is making recommendation to bylaws that would set our official place of business where
ever the Treasurer resides – like EASFAA does. Kevin said that as long as we are incorporated in
CA, we have to file a document with Secretary of State.
TO DO – Mindy will double check that we’ve filed all appropriate documents with the state of
CA.
Investment Amounts and FDIC – came as recommendation by Tracy Corta. Our bank accounts
with Bank of America have exceeded the amount that will be insured. Wendy suggested that
we open another account. B of A maximizing account had $263K in it. We are insured up to
$250K. Kevin said that FDIC is meant to insure money invested in institutions that could
potentially go defunct. He doesn’t think B of A will ever go under. Wendy said there’s a need for
us to be fiscally responsible. Jack doesn’t think that we need to move money to another bank,
just need to move to another account.
Jack suggested we move some funds to Vanguard. Mindy said Vanguard seems to be doing
better as an investment than Charles Schwab. Jack wonders why NASFAA investments are
making a profit while WASFAA isn’t. Jack reminded us that the reason we decided to invest with
NASFAA was to make a profit.
Frank said this issue was brought up by our reviewer and for that reason, we need to fix this
and move some money – he had a similar issue with his own financial statements.
Wendy said we have two options. Move money to Vanguard OR move to another bank. Mindy
recommends that she do some research and will bring a recommendation to our next meeting
in April.
TO DO – Mindy to do some research and bring recommendation re: where to move money and
present to FP in April.
Kevin said we need to consider what will happen when and if our Association grows. If our own
rules require that we have to have at least $250K in reserves. We need to figure what we will
do if we have too much money and have a good plan for what to do.
TO DO - Wendy and Mindy will come up with a recommendation for what to do with the
current excess and also come up with a long range plan for what we should do in the future
when this situation happens again.
Jack said we do have an issue with B of A not being in all of our states. Be cognizant of that.
Hawaii will never have a mainland bank such as B of A.
Budget adjustments for 2013 were done via evote. Wendy reminded everyone that we can’t
spend beyond our budgeted amounts. No revisions for the 2014 budget needed – it’s really
early in the year, didn’t expect any.
Wendy referenced historical data on income and said that we did very well in 2013. $56K in net
income. We know that we subsidize training. Overall we did very well.
She also referenced the Decade Budget Comparison document that now shows our potential
liabilities. She feels good about the fact that we have enough in our asset reserves. We are
required to have two times the 3-year average of operating expenses in asset reserves. We
should have approximately $60K in reserves. Currently we have approx. $90K, so we are in
good shape.
Jeff said that he was disappointed in what we gave out in scholarships this past year. Most
concurred. Jeff asked when did we solicit applicants for this year’s scholarships. It just went out.
Jack reminded that silent auction is also meant to generate scholarship dollars.
TO DO – Mindy will make sure that the 2013 budget has correct scholarship payment records.
TO DO – Wendy will make sure that the 2014 budget reflects an increase in available
scholarship funds based on silent auction proceeds from the 2013 conference.
TO DO - Sun said that she still needs to look into issues with vendor blog postings and will
update committee in April.
Treasurer’s lap top – this came up last meeting. Mindy doesn’t think she needs a new lap top.
Buying a new one will be put off until 2016. Jack and Frank both think that Mindy shouldn’t use
her own computer for WASFAA business. Kevin said everything is cloud based these days and it
doesn’t really matter. Jack said that the old computer will need to be replaced at some point.
Insurance Review - Jeff reviewed several insurance documents along with Mindy and Wendy.
Leonard needs a copy of it. The policies expire on March 21, 2014. Wendy recommends that we
renew what we have since we are limited on time. We are well covered. Jeff, Wendy and Mindy
should meet with our insurance agent with Rust Insurance Agency to review our policies and
our needs. We need to be sure that we have enough coverage for our CA conference – AZ
required $2 million and CA could be similar. Jeff isn’t sure what his responsibility is in this.
Traditionally it has been VP’s responsibility to insure that we have adequate insurance coverage
for our events. Leonard said that VP should be reviewing our insurance documents. Jack said
that contracts are signed by president and president should be cognizant of what the insurance
requirements are.
Motion by Jack - that for insurance purposes, when contract is brought forth to President, it is
reviewed in conjunction with VP to insure that we have adequate insurance coverage for our
events.
Second – Frank
Amended motion – 1) in PP’s we add to the responsibilities of the VP that he/she reviews
insurance requirements in conjunction with President to insure adequate coverage. 2) When
President signs contracts, President will consult with VP to insure that we have adequate
coverage.
All in favor – motion passes.
Discussion re: what’s paid for by WASFAA and NASFAA for leadership meetings and board
meetings and who should retain credit cards throughout the year. When someone becomes
President-Elect, that individual receives a WASFAA credit card and keeps it throughout the
presidential year. Wendy asked, do we wait for the card to expire, or do we cancel it and
reissue? Wendy wants to be sure that the PP’s reflect that the President Elect gets a credit card.
TO DO – Kevin to incorporate into PP’s that President Elect is issued a card.
Kevin is going to the NASFAA Leadership Conference and it’s being held adjacent to the NASFAA
Board meeting. Kevin’s registration fee for Leadership conference has been waived. Barbara
Bickett is attending as well. WASFAA picks up Barbara’s registration fee, housing, meals and
travel.
Conference Fees, Travel & Room Night Coverage for EC – Kevin
Kevin explained that here was a time when the WASFAA EC and transition meetings were not
held at some other time. Kevin wants to have all of his committee chairs at his transition
meeting and he wants them at the conference. Kevin wants to cover airfare and one night hotel
for his new chairs and officers.
NASFAA doesn’t cover airfare. Jeff said some may not attend conference and may only attend
transition meeting. Kevin said that he’s asking that we cover airfare and hotel so that all are
able to attend both. They’d be responsible for their own registration fee.
Wendy is afraid it will look self-serving because we are paying for our leadership to attend the
conference. Jeff said that we’re really paying for them to attend the transition meeting.
Jack said if we are going to do this for incoming leadership, we should also cover outgoing
leadership. It needs to be applicable across the board.
Mindy asked how many does this apply to? Maybe 2 or 3? She sometimes pays for her own
travel.
Frank said, globally it should be done, not case by case. It will be expensive. Perception is a
concern, too.
Kevin said he isn’t concerned about the perception. He’s really trying to avoid another meeting.
He can justify this because he is investing in our association and cultivating future leadership.
Jeff said he isn’t concerned about the money. It might only cost us $10K. We just made $50K
last year.
Jack is concerned about those who will take advantage of this just to get to go to a free
conference. Wendy doesn’t think that many will take advantage.
Kevin stressed that we need to make the investment.
Frank referenced a comment made on the AZ conference survey – that our leadership is “all off
having a party.” perception is still out there.
Wendy said that we are saving some money because we are having it in conjunction with the
conference.
Jack said that we are a volunteer association. We need to be fiscally sound. He recommends
that we review what the costs have been for our transition meetings. Wendy said that if the
transition meeting is held in Feb, we’re only bringing in all of the new EC members. In AZ, we
had 3 meetings (year end for outgoing EC, transition, and first meeting for incoming EC) and
Frank and Jack both thought it wasn’t a good idea.
Jack said that doing away with having EC at SBDSI wasn’t a good idea. It would have been a
better SDBSI if EC were there.
Motion - Kevin wants to make recommendation to cover travel and 1 night if the transition
meeting is in conjunction with conference.
Wendy suggested that it be rephrased to state that WASFAA cover all travel and 2 night’s hotel
stay for any transition meeting, irrespective of whether it is in conjunction.
Jack asked if we could go back and review history of what the transition meetings have cost us.
Wendy suggested that we have a conference call to review this before making a decision. Kevin
said that he needs a decision before we leave this EC.
Mindy suggested that we leave it to the discretion of the President. It is written in PP’s that EC
members are required to attend transition.
Leonard said it won’t work to have Presidents make exceptions because we need to be booking
locations 2 years in advance.
Ashley said we need to think about cheaper locations like Reno and Vegas.
Wendy asked how past presidents feel – Frank said he’d prefer a transition NOT in conjunction
with conference. Jack said not at conference. There’s not enough time to get everything done in
such a short period of time. Consensus – better to have the transition meeting separate.
We need long term solution and short term one for Kevin.
Kevin retracts motion.
New motion:
Transportation associated with attending an EC meeting that is held in conjunction with the
annual conference will be covered by WASFAA.
Frank asked for clarification. Kevin references PP – Item #9
No second
New motion by Jack:
Allow 13/14 President Elect to submit to FP for EC approval to cover the transportation costs
for his 14/15 EC transition meeting at the 2014 conference for both councils.
Second – Kevin
Discussion - Jeff made point that all that we’re asking is for him to create a budget that still
needs to be approved by FP. We’ll need to vote.
Vote:
One opposed
Motion passes
Mindy will need to void a few dated checks that were never cashed and may need to reissue.
Seems not everyone is cashing their WASFAA reimbursement checks in a timely manner. We
will follow bank’s policy on uncashed checks – only valid for six months.
Adjourned at 5:08