MINUTES
BOARD OF DIRECTORS
January 15, 2011
St. Michael's Carmichael
Present:
Members of the Board:
The Rt. Rev. Barry Beisner, Lynn Zender, The Rev. Deacon Dave Ferrell, Rebecca
Freie, The Rev. Cliff Haggenjos, Lynn Hill, Suzanne Phinney, Jim Sargent, Charles
Mack (Chancellor), Tom Ewart (Treasurer)
Other: Ed Salome, Treasurer of St. Nicholas, Paradise; Stephen Huffman, Chair of
EMT Board of Trustees
Staff:
Cassie Bangerter, Jenifer Campo, Rick Harrison Smith, The Rev. Canon Britt Olson
Absent:
Stephen Lawrence, Canon Bobbi Yeo
10:00 a.m. I
President Jim Sargent called the meeting to order at 10:00 am.
II
Cliff Haggenjos read a selection from My Grandfather’s Blessings, by
Rachel Remen.
III
Minutes of 12/4/2010 were approved as written. (Phinney, Freie MSP)
Minutes of 12/30/2010 were approved as written. (Haggenjos, Phinney
MSP)
IV
Bishop’s Report
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 The Diocesan Council retreat earlier this month was productive, council
members have all signed off on their committee assignments. Jim Sargent
requested to move from Church Response Work Group to Properties. Tom
Ewart would like more assistance on Church Audit Committee to assist with
moving congregations toward using Quickbook and more standard methods
of accounting. He will write a proposal to the Bishop with recommendations
for membership.
 Council established priorities for themselves, including taking on assistance
for Haiti. They have scheduled two additional meetings for this year where
they will have in-depth discussions with program chairs. They also
discussed a new format for Convention: every three years we need a 2-day
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V
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convention to elect General Convention deputies. Other years we could have
a one-day business meeting, perhaps with a gathering the night before.
Banquet and guest speaker would be in the third year. The Council’s
priorities for 2010 are:
o Work with Board to assure that full-time communications position
extends beyond 2012.
o Congregational development and evangelism, along with creating
new congregations using new models, e.g. identifying Vocare as a
congregation.
o Work with the Christian formation Committee to strengthen its work.
o Identify Ministry Developer(s) to support/oversee Total Ministry
model.
Bishop Beisner, Canon Britt and Archdeacon Cookie Clark were in Yreka
12/12/10 to officiate at a service of closure for St. Mark’s, Yreka.
Deconsecration of the building will occur next month.
Diocesan Structure Committee presents their recommendations to the
Bishop next month, then to the joint Board/Council meeting in June along
with proposed canon changes, etc.
Question for the Board: now that apportionment forgiveness has been
implemented, how do we handle arrearages from here on? Lynn Zender
asked for a presentation at the March meeting as to what choices are
available according to the canons. Charles Mack was asked to make that
presentation.
Bishop met with Fr. Leo who is currently somewhat free of symptoms and
doing well. They had a frank discussion regarding what happens to the Little
Portion property after he dies. Their preference is that its ownership goes
back to the Society of St. Francis.
Canon to the Ordinary Report
Canon Britt+
“VUCA world”: this phrase is used by the Army War College to describe how
they are looking at the context in which they operate, and is used by futurists
as well. It describes a context of volatility, uncertainty, complexity (there is
no one “fix” to a problem), and ambiguity. Recommendation: respond with
vision (keep the vision clear), seek to understand rather than fix, to
comprehend rather than just have flat data, make sense of the current
situation, provide clarity, and be agile.
Britt shared transitions happening in the Diocese at the end of 2010 into
2011. The changes reflect several new models of providing ministry as
economic realities reduce the number of full-time clergy and assistant
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positions. This year’s Congregational Leadership Conferences will focus on
leadership development.
Clergy Conference will focus on formation for leadership with the Rev. Dr.
Susanna Singer as keynote speaker.
VI
St. Nicholas Paradise Loan Presentation
Ed Salome
A plan for repayment of their GIU loan was presented to the Board last March.
They currently owe $72K and planned to resume payments in Jan. 2012 after a
deferment period. Their pledge campaign resulted in funds insufficient to make
payments on a building loan in addition to supporting operating expenses. They
feel they are stable and growing, but not at the pace they need in order to pay on
the loan. They have $121K pledged by 69 parishioners. A motion was made and
accepted to table the question until the next meeting when Lynn Zender and
Tom Ewart report on their visit to Paradise with recommendations. (Haggenjos,
Hill MSP)
VII
EFNC Board Nominee
Application did not arrive. No action.
VIII
November 2010 Financials
R. Harrison Smith
C. Bangerter
Year-end financials will not be available until the end of January. November
data was presented. A preliminary year-end financial statement will be
prepared at the beginning of February, but final insurance data may not yet be
available by then (“fire accounting” will not be available until March.) It is yet to
be determined what committee works with congregations whose past
apportionment will be forgiven and how. A new line item on the balance sheet
is 200.10 for fire loss. Clergy Wellness is a separate fund that the Bishop
oversees and which will incur costs for the pilgrimage that do not come from
operating costs.
Two new documents were presented: the EMT Diocesan reports break out
diocesan funds held by the Endowment & Memorial Trust by separate fund
name. Cassie is working on a project to discover what assets the Diocese
actually has. The funds and their amounts have not been verified, they are still
under discovery.
LUNCH
– 12:30 to 1:00 p.m.
IX
E&MT Investment Policy
Sargent/Zender/Huffman
The Endowment and Memorial Trust invests money for the diocese and for
individual congregations, and also loans money to clergy and congregations as
an investment. (There is a question as to whether loans must be secured.)
Trustees must be appointed by the Board of Directors of the Corporation, and
they are required to report annually to the Board of Directors on the
performance of the funds.
Stephen Huffman, Chair of the EMT Board of Trustees, presented a draft of
proposed changes to the investment policy. The investment policy was last
updated in 1991. Changes must be approved by the Board of Directors and then
go to Convention for a vote by order. Why change the investment policy? It
needs clarification of items including: rules for termination, membership, role of
custodian, detailed rules for the execution of trade, rebalancing procedures for
asset allocation, selection of funds manager, permitted investments, and
monitoring of performance. The new policy will be an exhibit to E&MT’s
agreement with Union Bank as fund manager. A decision was recently made
that the C fund (money market) will only be invested in funds with a maturity
maximum of one year (this differs from the draft presented here.) The new
policy will come under a vote at the EMT meeting on 1-19-11, and the final
version will be provided to the Board of Directors.
X
Haiti Diocese Fund Campaign Proposal
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Executive Council has committed The Episcopal Church to raising $10M for the
rebuilding of the Diocese of Haiti. Terri Mathes, of the Episcopal Church
Foundation is coordinating the overall effort. She offers a “campaign in a box”
which focuses on the rebuilding of the Cathedral complex on a brick by brick
basis over 12 months, done on line. We need a diocesan coordinator plus seven
area coordinators to oversee 10 churches each, then a congregational
coordinator for each church. Cliff Haggenjos has volunteered to oversee the
effort for our diocese. More information will be forthcoming at the next meeting.
XI
Yreka Property
L .Zender
The following motions were made and carried regarding the property of St.
Mark’s Church, Yreka:
1. Grant a six-month lease extension on the Correia building as submitted
in the packet minus the phrase regarding “adornment” (Zender, Phinney
MSP)
2. Authorize entering into a contract for underground fuel tank removal for
up to $25,000. (Freie, Haggenjos MSP)
3. Transfer property title to the Yreka Committee for Historic Preservation
along with $50k for operating costs with right of first refusal given to
DNC in the event of a future sale of the property. (Haggenjos, Sargent
MSP)
Lynn asks that the June agenda include a discussion of the disposition of
remaining funds from the settlement of the St. Mark’s estate, with
recommendations coming from the Congregational Vitalization Committee.
Jim Sargent was joined by the rest of the Board in commending Lynn Zender for
her fine work on this project.
XII
Maidu and Julian’s Rest update
L. Zender
Maidu Meadow remains on the market for $299K. Julian’s Rest has received
their Federal 501-C3 status, when they get state papers they will be ready to
take over the property.
XIII
Board Goals- 2010 review/2011 proposed
J. Sargent
The Board did good work towards completing their 2010 goals.
Suggestions for 2011 goals:
 Better define the relationship between the Board and Episcopal
Foundation of Northern California, and work toward self-sufficiency for
EFNC.
 Form a Finance Committee to work on a five-year financial plan for DNC.
It will work with both the Budget Committee and the Apportionment
Committee. Haggenjos, Ewart, Hill, Sargent will be the members.
 Define and articulate a goal related to Haiti restoration.
 Plan for funding the communications position beyond 2012
 Clarify roles and responsibilities of Church Response Work Group and
Congregational Vitalization
Future Meeting Dates:
6/18, 10/1 and 12/3 are joint Saturday meetings with council.
Board only: March 12 starting at 9 and August 3 starting at 10. Jenifer will ask
Monica Romano to provide Safe Church training to Board members beginning at
1:00 on March 12.
XIV
Committee Assignment review
J. Sargent/+BLB
Committee assignments were discussed above during the Bishop’s report.
Jenifer will make the necessary changes and redistribute the chart.
XV
New Office Update
J. Sargent
Jim Sargent moved and Rebecca Freie seconded a motion for the Board to
donate a dishwasher to the new Office of the Bishop. Board members will each
pay their share (approx. $35 each)
3:00 p.m. XVI
Closing Prayer
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