First Unitarian Universalist Church of Austin, Board of Trustees Meeting Minutes
Tuesday, November 17, 2009 at 6:30 p.m.
First UU Church of Austin, 4700 Grover, Austin, TX 78756 in the Gallery
In Attendance:
Trustees: Nell Newton, President; Eric Stimmel, Vice-President; Luther Elmore, Treasurer; Chris Jimmerson, Secretary; Sheila Gladstone, Immediate Past President (Ex-Officio); Margaret Borden; Derek Howard; Jeff Hutchens; Aaron Osmer, Youth Trustee; Brendan Sterne; Michael West; Laura Wood.
Executive Team: Janet Newman, Interim Minister (Ex-Officio); Sean Hale, Executive Director (Ex-Officio);
Staff: Brent Baldwin, Director of Music, Lara Douglas, Director of Religious Education
Visitors Present: Bill Edwards, Chair of Stewardship Committee
Call to Order
The President called the meeting to order at 6:35 p.m.
Adoption of Agenda
Motion: Luther Elmore – adopt the agenda (Appendix A, 1 [numbers refer to page number where appendices may be found in attached supporting document]).
Second: Brendan Sterne
Discussion: None
Vote: All Affirmative
Reading and Lighting of the Chalice
The Interim Minister read the opening words and the President lit the chalice.
Visitor’s Forum
There were no visitors other than those scheduled to present for an agenda item later in the meeting.
Consent Agenda Items
Minutes from the Prior Meeting: The Trustees had reviewed the minutes from the October 2009 meeting prior to this meeting (Appendix B, 2).
New Members and Resignations: The Secretary reported that the following had become new members since the last meeting: Suzanne Chambers, Daniel Chambers, Carolyn Lindell, Emily Sorensen, Kim Sorensen, Peg Frederick Frey, Brandon Labash, Kirsten Clay, Veronica Miller, Stephanie Mayoral Armond, Jacob Hodges, Emily Hodges, Jerry Perkins, Alice Morrow Harris, Ruby Edmond, Bonnie Nieves, Jose Nieves and Daniel Lillie.
The Secretary reported that two members had resigned since the last meeting, Mark Skrabacz, who is now in Kerrville, and Jane Laessie, who had written a very nice note wherein she had said that she had come to the realization that she is a Quaker
The Secretary reported that the following members had not made a pledge in the last 18 months and had not responded to a letter the church had sent them requesting that they contact the church if they wished to remain members; thus, they were being considered as having resigned: Moriarty, Thomas; Edwards, Leslie; Reynolds, Claire E.; Quarles, Kim; Quarles, Rob; Bostick, Bruce; Soto, Jo; Bottler, Carolyn; McAfee, Sean; Sosa, Jennifer; Doggett, Lisa; Williams, Don; Garland, Mathew; Robinson, Colleen; Fajkus, Michelle; Couvillion, Marion; Couvillion, Shirley; Garza, Bianca; Kaulfus, Jack; Nada Brahmananda, Swami; Ford, Chris.
Reports: The Trustees had reviewed the consent agenda items prior to the meeting. These included:
Executive Director: Sean Hale (Appendix C, 9)
Director of Religious Education: Lara Douglass (Appendix D, 12)
Director of Music Programs: Brent Baldwin (Appendix E, 15)
Treasurer: Luther Elmore (Appendix F, 16 – also see Finance Committee Reports Appendix K, 35)
Bridge Builders Action Plan Update: Margaret Borden (Appendix L, 50)
BB A-Team Report: Chris Jimmerson/Brendan Sterne (Appendix G, 29)
A Trustee requested information on what was included in the potential contract from the Bridge Builders Action Team report. The Team reported that there was not yet a contract; however, after screening several candidates, two had submitted excellent proposals in terms of proposed work scope and procedures. Of the two, one was much more cost-effective and seemed best suited to the needs of the church. A Trustee asked why actual pledge collections thus far this year were going so well compared to prior years. The Treasurer commented that the reason was unknown. Several trustees noted that this might be due in part to the efforts of the Executive Director to collect credit card pledges on cards that had expired and such. The Treasurer also commented that the special Spring Campaign had contributed. The Treasurer pointed out that there had been a positive trend in plate collections for September and October.
Motion: Michael West – accept the Consent Agenda Item Reports.
Second: Brendan Sterne
Discussion: None
Vote: All Affirmative
Discussion and Action Items
Stewardship Update: The Chairperson of the Stewardship Committee gave an update, noting that total pledges through November 16, 2009 had been $436,194 (see full report attached as Appendix M, 51). He recommended a resolution (Appendix H, 30) to rescind the July 2010 resolution the board had made to present a balance budget for 2010, as there is a need to build the congregation and future pledges and the budget cuts necessary to achieve a balanced budget might well make building the congregation and future pledges extremely difficult.
2010 Budget Discussion: The Trustees began a discussion of proposed changes to the budget based on recommendations and further discussions that had occurred since the presentation of the draft balanced budget (Appendix N, 52) presented to the members of the congregation at the Pre-Congregational Meeting that had been held on November 8, 2009.
Resolution to Rescind Prior Resolution to Present a Balance Budget for 2010
They began with a discussion of the proposed resolution noted above to rescind the July 2010 balanced budget resolution. The Treasurer noted that the calculations for moving funds to the Memorial Savings Fund would be done at the end of the year and that there would be enough funds held in the Schwab Accounts by the operating fund that a withdrawal from the Memorial Savings Fund to finance any deficit would not be needed.
Motion: Michael West – Approve the proposed resolution amending the second bullet point to state that any shortfall would be financed from the Operating Fund Reserve rather than the Memorial Savings Fund.
Second: Derek Howard
Discussion: A trustee noted that the third bullet point would also have to be changed and that the discussions of the budget to be held later in the meeting might also alter the specifics of the proposed resolution; thus, all that was needed to proceed was a motion to rescind the July 2009 balanced budget resolution.
Michael West withdrew his motion.
Motion: Brendan Sterne – Rescind the July 2009 resolution requiring a balanced budget in 2010.
Second: Margaret Borden
Discussion: There was no further discussion
Vote: Affirmative – 8, Negative – 1, Abstain – 1 (Aaron Osmer)
Potential Changes to Budget Proposal — Income
The Trustees then began a discussion of several changes to the proposed 2010 budget (Appendix O, 57) that had been discussed at and since the Pre-Congregational Meeting, beginning with new revenue projections. Based upon current pledges, the Trustees felt comfortable increasing budgeted pledge revenue from $400,000 to $450,000. Also, based upon current year miscellaneous income, the Trustees also felt comfortable increasing budgeted miscellaneous income for 2010 by $500.
Motion: Chris Jimmerson – Increase budgeted pledge income for 2010 by $50,000 and budgeted miscellaneous income for 2010 by $500.
Second: Margaret Borden
Discussion: There was no further discussion.
Vote: Affirmative – 9, Negative – 0, Abstain – 1 (Aaron Osmer)
Potential Changes to Budget Proposal – Expenses
Church Closure – The Trustees discussed the proposal to budget for closing the church during the summer of 2010 to achieve approximately $50,000 in expense savings. Given the discussion of this at the Pre-Congregational meeting and the need to rebuild the church, several Trustees felt that this was not realistic or advisable.
Motion: Chris Jimmerson – Do not include a proposal to close the church during the summer of 2010 in the budget the Board of Trustees (BoT) recommends to the congregation.
Second: Margaret Borden
Discussion: There was no further discussion.
Vote: Affirmative – 7, Negative – 2, Abstain – 1 (Aaron Osmer)
Reduce Overall Earnings Package in Next Minister’s Contract by $5,000 – This would in effect treat the next Minister the same as all other church staff, as church contributions to the UUA pension plan for staff had been cut from the 2010 proposed budget.
Motion: Luther Elmore – reduce the compensation package in the next Minister’s contract by $5,000.
Second: Michael West
Discussion: There was no further discussion.
Vote: Affirmative – 8, Negative – 1, Abstain – 1 (Aaron Osmer)
Increase the Director of Music’s Salary – this increase would be to balance this salary against the loss in total salary and benefits this employee would receive if the church were to switch to the UUA recommended health benefit, which is to pay 80% of the costs for staff and 50% for their dependents (currently the church pays 100% for staff but 0% for their dependents). The Trustees noted that the decision as regards what benefit policy to enact was now under the authority of the Executive Team; however, the Executive Team did not object to this particular policy change recommendation. The Treasurer noted that he supports the idea of the policy change but thought it should be delayed one year to allow further examination.
Motion: Brendan Sterne – Increase the Director of Music’s salary to offset the increased costs he will incur due to having to pay 20% of the costs of his health insurance.
Second: Margaret Borden
Discussion: There was no further discussion.
Vote: Affirmative – 8, Negative – 1, Abstain – 1 (Aaron Osmer)
Restore $12,000 to the Religious Education (RE) Budget – This would restore $10,000 in previous personnel reductions and $2,000 in other expense reductions for RE, leaving $5,000 in proposed cuts that RE would draw from their restricted fund to cover.
Motion: Chris Jimmerson – Restore $12,000 in expenses that had been cut from the proposed RE budget.
Second: Margaret Borden
Discussion: Cutting RE would harm future church growth as RE is an area of the church that is currently experiencing large growth.
Vote: Affirmative – 9, Negative – 0, Abstain – 1 (Aaron Osmer)
Restore $20,000 in budget expenses for building repairs and maintenance – in prior discussions, the BoT had thought this was a budgeted line item for emergency building repairs and thus might better be taken from long-range savings; however, this has been an ongoing yearly expense and thus would be more properly considered an ongoing operating expense.
Motion: Derek Howard – Restore $20,000 in building repairs and maintenance expenses to the proposed 2010 budget.
Second: Brendan Sterne
Discussion: There was no further discussion.
Vote: Affirmative – 9, Negative – 0, Abstain – 1 (Aaron Osmer)
Increase budgeted utilities for 2010 by $4,000 and increase budgeted gift/donation/contributions by $350 – these were recommendations from the Finance Committee to reflect a more accurate projection of likely utilities expenses and to add line items for gifts to a) partner church of $150, b) UU Service Committee of $100 and c) UU United Nations Office of $100.
Motion: Derek Howard — Increase budgeted utilities in the proposed 2010 budget by $4,000 and increase budgeted gift/donation/contributions by $350.
Second: Brendan Sterne
Discussion: There was no further discussion.
Vote: Affirmative 8, Negative – 1, Abstain – 1 (Aaron Osmer)
Split the Plate – The current 2010 budget proposal eliminated split the plate for a cost savings of $15,000. Other options such as restoring one Split the Plate per month (an expense increase of $7,500 to the proposed budget) or restoring it back to twice per month (an expense increase of $15,000 to the proposed budget) had been discussed.
The Trustees discussed the proposal with some Trustees reasoning that 2010 was a difficult financial year requiring the church to concentrate its resources internally in order to rebuild. Other Trustees expressed concern that Split the Plate is an important part of our social action for many in our church and cutting it entirely might distract from rebuilding; thus, restoring at least one per month might be worth the additional deficit amount it would create.
Motion: Luther Elmore – suspend Split the Plate for 2010.
Second: Jeff Hutchens
Discussion: There was no further discussion.
Vote: Affirmative – 5, Negative – 4, Abstain – 1 (Aaron Osmer)
The motions as approved above would result in the proposed budget for 2010 containing an approximately $32,050 deficit.
Transfer of $2,400 from the Caring Fund to continue paying a custodial benevolence to Victor Gonzales – this would be a transfer on the balance sheet and would not affect revenue as regards the operating budget.
Motion: Chris Jimmerson — The First UU Board of Trustees approves the use of $2,400 ($200/mo) in payment of custodial benevolence to Victor Gonzalez during the year 2010.
Second: Michael West
Discussion: There was no further discussion.
Vote: Affirmative – 8, Negative – 1, Abstain – 1 (Aaron Osmer)
The Trustees then discussed the need to vote on a motion to present to the congregation a 2010 budget as amended by the above votes.
Motion: Chris Jimmerson – Present to the congregation a 2010 recommended budget as amended by the prior approved motions with an approximately $32,050 deficit.
Second: Luther Elmore
Discussion: One Trustee noted that they would vote against the motion based upon concerns over the effect of eliminating Split the Plate on congregational members. Another noted that they would vote against it because they believe that the congregation must have a greater debate over the consequences of running deficit budgets when pledges are not enough to cover expenses.
Vote: Affirmative – 7, Negative – 2, Abstain – 1 (Aaron Osmer)
Congregational Meeting Planning: The Secretary noted that final versions of the following documents would be needed for the December Congregational Meeting:
- The budget proposal as amended by the prior motions.
- A document “redlining” the proposed minor changes to the Financial Assets Management Policy (FAMP).
- A document showing the proposed policy level changes to the FAMP
- A document showing the proposed changes to the bylaws to match the above changes to the FAMP.
- A document showing the Membership Committee’s proposed changes to the bylaws.
The Executive Committee will prepare before the meeting to ensure that mechanisms exist to fairly ensure that the Rules of Procedures as adopted at the beginning of the meeting are followed.
Contract Signing Authority: The Finance Committee and Executive Director had agreed to leave this policy as is until they consider a larger revision to financial policies and procedures early next year.
Director of Religious Education (DRE) and Director of Music (DoM) Reporting: The Interim Minister had proposed the policy as contained in Appendix I, 31. The Trustees discussed whether the last sentence (noting that these positions would report to the Settled Minister once he or she has been hired) was needed or could be addressed at the time a Settled Minister is hired. Since this had always been the intent for the organizational structure of the church, the Trustees believed the sentence could be left as presented. Another Trustee recommended that the clause containing a projected time period for the ministerial transition period be removed from the first sentence of the proposed policy, as this time period could vary.
Motion: Brendan Sterne – Adopt the proposed policy as amended by the suggestion to remove the clause on a projected time period for the ministerial transition period. (The policy would now read: “During the Church’s ministerial transition period, the Director of Music (DoM) and Director of Religious Education (DRE) shall report directly to the Board. Although they are expected to collaborate and work collaboratively with the Interim Minister(s), the Interim Minister(s) will work with them as a colleague, not as a supervisor. Once the Church hires a new Settled Minister, this paragraph shall become null and void and the Director of Music and Director of Religious Education shall report directly to the Settled Minister.”)
Second: Luther Elmore
Discussion: There was no further discussion.
Vote: All Affirmative.
Board Covenant: The Interim Minister facilitated a discussion on developing a covenant of right relationship among board members. She noted that the reasons to have covenants included:
1.) They make the rules for interacting explicit,
2.) They serve as guidelines to help new people coming in to know what is expected of them and what they can expect from others and
3.) They provide guideposts for reviewing right relationships from time to time.
She provided some examples of covenants (Appendix J, 32).
The Interim Minister facilitated brainstorming among the trustees on when they had felt meetings they have attended went well and why, stressing what behaviors had resulted in the success. She listed the results on an easel pad. The Interim Minister and President agreed to work together to consolidate this list and bring back suggestions that could serve as the basis for developing a board covenant.
With no further business, the President adjourned the meeting at 9:25 p.m.
Respectfully Submitted,
Chris Jimmerson
Secretary
