Minutes of MBOTMA Special Board Meeting on Budget and Cash Flow Issues
Held 10/28/14 at Sandi Pidel’s house
Present: Gary Cobus, Peter Albrecht, Mary DuShane, Sandi Pidel, Alan Jesperson, Gary Germond, Greg Landkamer, Marilyn Bergum, David Smith, Phil Nusbaum, Jed Malischke Meeting called to order 7:31 by President Cobus.
Gary G reports on the August Festival committee meeting. The festival can't really cut 10% of expenses from the budget, as the 2015 festival arrangements are already in place.
Gary C reports on the Harvest Jam committee meeting, held earlier today. The committee is working on ways to save money on expenses. They also plan to have an MBOTMA membership table in the lobby, hopefully partially staffed by board members.
David begins review of the balance sheet and budget report Jed distributed by email, pointing out that we lost $25K last year (year ending 9/30/14) compared to budget projections. He points out that the numbers listed for our year end, Sept 30, 2014, in the balance sheet printed 8/29/14 have some differences from the numbers in the balance sheet printed 10/23/14. He questions Jed for over 40 minutes on the bookkeeping details on Jed’s reports, passing out his own spreadsheets comparing actual revenues to budget projections, as well as cash flow projection sheets projecting cash shortfalls after the first of the calendar year.
2015 Budget discussion. David begins analysis of the budget lines in detail, stating we have a poor organizational record of over-estimating revenues. Jed responds that all committees, following the mandate from our last two board meetings, have now met and taken steps to cut expenses where possible and are planning to raise revenues, starting with raising ticket prices for most events.
David brings up the magazine as being a line item on the budget that is "losing us a lot of money." Sandi, Alan, Mary and Jed point out the magazine is a membership perk and important to many members. Phil and David have volunteered to look at ways for the magazine to save money. Marilyn suggests they add Magazine Editor JoAnne Makela for a brainstorming session and then report back to the board.
Jed talks about the revised 2015 budget, says there are only three areas left where we can really revise numbers: (1) Kickoff, (2) Fundraiser Event, and (3) Underground.
(1) Mary moves, Marilyn seconds, to reduce Kickoff expense line in the budget, as suggested by the Kickoff committee. All approve to list Kickoff expenses at $21K rather than $23K.
(2) Sandi reports that she is hard at work planning our first fundraising event for 2015. Peter moves, GaryG seconds, all approve to insert $1500 for revenue, $500 for expenses, with a net of $1000 in the budget for fundraising.
(3) Jed points out that Underground has lost money. Since the program leaders, Catie Jo and Sarah, are not at the meeting, Sandi says she will talk to them and will report back to us at next week's regular board meeting. We should then be able to approve the revised 2015 budget in its entirety.
Adjournment. Sandi moves, Mary seconds, all approve. President Cobus adjourns the meeting at 9:10.