WASFAA 2012-13 Fiscal Planning Committee Meeting
June 28th, 2012
Sun Coast Hotel, Las Vegas, Nevada
Present: Kay Soltis, Jack Edwards, Frank Green, Tami Sato, Mindy Bergeron, Sun Ow, Luhui Whitebear,
Wendy Olson, Ashley Salisbury, Peter Miller, Leonard Walker, Paula Cady, Laura Hughes, Adam Hatch
Reminders: Committee meeting so anybody can vote.
Call to Order: A meeting of WASFAA’s Fiscal Planning Committee was held at the Sun Coast Hotel, Las
Vegas, Nevada on June 28. The meeting convened at 8 AM with Wendy Olson presiding and Paula Cady
as secretary.
Approval of minutes: Review of minutes, minutes stand.
The To Do items were reviewed. All items were completed except for the following, with modifications
added during this meeting:
Ashley still needed to check about obtaining a safety deposit box from Bank of America. Peter and
Ashley suggested buying a fire proof safe and put it in the storage unit instead of obtaining the safety
deposit box. They did some research and felt this would be the most cost effective way. Kay asked if we
might have the option of getting a free safety deposit box with Bank of America due to the fact that we
bank with them. Jack thinks that it would have to be at the bank that we opened the account which is in
San Luis Obispo. The only thing that needs to be kept in it is the paperwork from the attorney. Kay
stated that after going through all the documents the most important thing is the articles of
incorporation. That one document could be kept anywhere but must be kept in paper form.
Jack Edwards moved that we buy a fire proof safe to house all the important legal documents such as
the articles of incorporation. MOTION CARRIED
Ashley will buy a new fire proof safe to house the legal documents. TO DO
The Fiscal Planning Committee will continue to find a firm/person to assist with WASFAA’s audit. TO DO
Frank Green reviewed the bylaws and determined that we technically do not have a Treasurer Elect. We
do not elect a Treasurer Elect; the Treasurer is elected for a three year term, if we stick to that, it means
we currently have a Treasurer. Therefore he thinks then we don’t need to make changes to the current
bylaws and the Treasurer Elect should be able to vote.
Frank will review and update Policies and Procedures to clarify that the Treasurer Elect will have voting
rights. TO DO
The bylaws need to be reviewed to clarify vote by paper ballot vs. electronic ballot. Tami says there is
nothing in Policies and Procedures or Bylaws regarding electronic ballot – we are not in compliance with
our Bylaws specific to elections. We need to change Bylaws to do an electronic vote. A written ballot
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needs to go out to change the Bylaws to be able to do an electronic vote. Wendy suggested that this
discussion really needs to be in the Executive Council meeting.
We reviewed each of the 12 goals from the last year end committee meeting. Hand out. Approved the
goals, no motion needed.
Treasurer’s Report – Peter handed out the Treasurer’s report for review. There was discussion on
airline/credit card points on Alaska and SW airlines. Sandi and Peter discussed using points to get tickets
for the next meeting. The challenge with companion pass is with names. The folks coming from Hawaii
would be the ideal candidates to use the points for tickets but there are challenges with using Alaska
Airlines out of Hawaii. The 2010 and 2011 federal taxes are filed as well as California Form 199 for 20102011. Also the California Registry of Charitable Trust has been completed. Kay inquired about the office
expenses line item. A lot of non-profits pay people to be on the board. Based on Scott’s advice we can
use this line item for estimating the hours that we work on things even though we are not paying
someone to do it. Peter reallocated inside of QuickBooks which line items things hit so that it aligns
better with tax law. Kay is concerned because the number jumped up from previous years. Peter says
that is because we didn’t report it before and we spent a lot more money in 2011 than 2010. Jack
wonders if making this change in the way we report these line items from the way we have done it for
the past 3 years will throw up a red flag and perhaps bring on an audit. Peter doesn’t think so; this is to
be expected; every time you change CPA’s they will have a different perception on where things belong.
Jack would just be worried about maintaining the 501c3 status. Peter says the IRS will primarily do
audits on organizations that are paying taxes and we are not. Our primary function is training and that is
clearly reflected in our taxes. Kay checked with other associations and everyone does do an audit or
review of the fiscal records on a regular basis.
Questions none, no motion needed.
We got confirmation from the Vice President, Luhui, that she reviewed the reconciliation of the fiscal
information that came her way. She did read but has questions. She is not sure what some charges are
for because there is no explanation. She asked that Peter provide more detailed info, an example would
be on the transfers, needs more details. Peter noted that the benefit of QuickBooks online is it will allow
access to the Vice President to see more detail. Wendy asked how soon until we move to Quick Books
online. Peter says we are looking at November 2012. He would like to get that set up for Mindy to take
over. One of the reasons we have not already moved to Quick Books online is that you cannot import
transactions into Quick Books on line. Recently there have been some 3rd party vendors who have
created software that allows you to import transactions into QuickBooks online. We will need to
purchase this to make this process work. Peter contacted ATAC to see if it would flow right from ATAC
to Quick Books and this would not be possible as ATAC would have to spend roughly $25,000 to write
the software. Paula did suggest a 3rd party software that would be a onetime cost of $199. She has not
yet responded if this will work with their system. There will be a monthly cost for Quick Books Online.
The number of people that have access increases the monthly cost. The following people should have
access to Quick Books– President, Vice President, Treasurer and Treasure Elect. Jack recommended that
those four people have access to QuickBooks online. In the meantime is there something we can get to
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Luhui to give her the detail? Peter stated that there really is no detail on the transfer and that it is really
just moving money to earn more interest. Peter will you run Luhui a monthly report of all transactions
line items. No other comments. Peter provided history behind why the Vice President is a second set of
eyes; Luhui doesn’t think there is enough information to approve at this time. We will want this to
happen for the next meeting.
Income Adjustments – The conference income is $ 92,200 so we are making an adjustment of $10,450.
Wendy would like to take a look at budget vs. actual income and expenses. Kay wants to clarify that
what we really want to see by doing this is to have a clear picture of what really needs to be taken out of
asset reserves. We will make the recommended adjustment to the conference income. Fund
Development Income adjustment is + $13,575 and the interest income we are dropping by $1,600. No
change to Summer Institute. Training income is already over $2100. We will still have income from Fall
Training. So a conservative adjustment of +$2500. Peter suggested that we increase job development by
$1000. MLI Income increased by $5,450. Total positive adjustment of $31,375. That is awesome.
Expense Adjustments – Fund Development requested another $1,610. Sun Ow gave an explanation of
the increase in request. Membership wanted an additional $300 dollars for doing more research on
purchasing more lists form other associations. MLI expenses increased by $2,000. Summer Institute
decreased by $12,000. Go E merchant increased by $500, general administration increase by $500.
Executive Council has $ 11,000 left for the year; increase by $2,815 to help cover November meeting
expenses. Take $6,000 out of the conference expense.
Bottom line – This brings the need to use asset reserves to supplement our income down to $0. We will
make these recommendations to the Executive Council based on approval here.
GO-TO meeting expense was moved out of training and put into electronic services. Jack agrees with this
because it goes to Ashley now and she manages it. It will be for this year, there will be a bill in Oct.
Reduce training expenses by $6,800 and increase electronic services by $6,800. Jack moved that we
move the GO TO Meeting annual contract from training to electronic services as an expense item and
any income generated would offset the expense. MOTION CARRIED
Unfinished Business: Corporate tax forms have been submitted: thank you to Peter for getting this
done. Sun Ow asked if there is any worksheet that can be passed on to the next person to show
movement in line items for the tax purposes. Peter answered, yes, it will be inside of QuickBooks. Kay
wanted it noted that the taxes have been filed but no response from IRS yet and we may not get a
response, which is what we hope for.
For the audit this summer, Wendy would like to use the term fiscal review vs. audit. The word “audit”
brings on legal connotations. The Bylaws state that we provide the membership with a dully audited
annual financial report so if we change the wording to fiscal review it would require a change to the
bylaws. Kay stated that if we wanted a true audit it would cost around $20,000. Wendy recommends
we change the wording to fiscal review. Question was brought up as to whether we need to change the
Bylaws or Policies and Procedures. Jack puts forward that we define duly audited in the Policies and
Procedures. Kay stated that GSAO has already defined what “audit “means and cautioned that we need
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to be careful of the use of the word. We can look to our membership as to who could do the review,
Scott Nielsen from Elko, NV for example. We already have that check and balance using our own
membership. Peter stated that we are clearly out of compliance with the bylaws. Cost to have an audit
of our books is huge. Mindy stated that when she was CASFAA treasurer she was charged with having
an audit because nothing had been done for 5 years, and the cost was $25,000. Wendy would like to see
the bylaws changed to use the words “Fiscal Review”. Jack proposed that we continue to do a fiscal
review for this transition from Peter to Mindy and we propose a bylaw change during the annual
conference. TO DO: Wendy will contact the key players and find out what we need to consider for the
fiscal review. Frank said if the wording was fiscal review he would vote down. He recommends “3rd party
fiscal review”. TO DO: Clarify the language with regard to the fiscal review.
WASFAA reimbursement form. Wendy reviewed the changes to the meal policy. Wendy proposes we
take out the phone expense reimbursement. Most people use cell phones now and don’t need that
item. Recommend that we add the internet charges to be up to $15 per 24 hour period with receipt.
Adam questioned the need for a separate receipt for alcohol. Discussion occurred and it is
recommended that this policy stay in place. There was discussion regarding the expense for taxi to the
hotel and whether or not we need to place more scrutiny on this or just be more mindful of what we
spend. Jack noted that this hotel (Sun Coast) is a unique situation due to the proximity from the airport.
TO DO: Wendy will refine the language based on the discussion and create the Missing Receipt Affidavit.
It will be available online. Use of this form should be an exception not the rule.
Credit Cards – On page 11 of the bylaws it states that Treasurer, Secretary, Vice President or President
are the only ones authorized to have a credit card and currently Sandi has a credit card to purchase
airline tickets. We used to have a travel agency but it was expensive. Wendy suggested that we could
determine by resolution that we give someone permission to use the credit card to purchase travel. We
need to write something in to give Sandi permission to use the credit card to purchase airline tickets.
Peter recommends that we create a travel coordinator position, not a voting member of the Executive
Council, but would assist WASFAA with making travel arrangements. Kay suggested that before we make
this decision we need to look at what other associations are doing while also cautioning that we need to
be very careful because Sandi might not be here next year. Frank Green moved that we as the executive
council approve authorization for Sandi to have the credit card. No second. It is not a valid motion. Frank
Green moved that Sandi Guidry be allowed access and use of the association credit card for the current
WASFAA fiscal year and that the Executive Council research long term position of travel coordinator.
MOTION CARRIED.
Record retention – Peter stated that we’ve got a lot of old records and proposed that we hang on to
records for 7 years and destroy older records. We should also look for those documents with historical
value and those will be imaged. Our Policies and Procedures currently show record retention for 5 years.
Peter recommends it be updated to 7 years. Peter Miller moved that we store financial records for 7
years and then destroy them. MOTION CARRIED.
Adjournment: The meeting was adjourned at 10:46 after Peter Miller moved for adjournment. MOTION
CARRIED.
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