The above named committee met on the date indicated on call of Committee Chairman Alex Sigmon. The meeting was held at the NCNGA Headquarters, and the following members attended:
Chairman Alex Sigmon, John Atkinson, Shane Evans and Brian McIlvaine. Also present was President Ronnie Honeycutt (via telecom) and Executive Director Adene Tyler.
Colby Hammonds, Kathy Earley, Allan Cecil, Barry Plemmons, Mark VanVeldhuizen, Bernie Williford (Ex-officio) were absent.
Chairman Sigmon declared a quorum present and convened the meeting at 12:00 noon.
Upon motion, committee minutes dated 24 Jan 13 were approved for the record. The financial statement for January 2013 was also approved.
Chairman Sigmon related that during the last meeting, the committee had reviewed and discussed the ten-year plan provided by Park Ridge (attached). At that time, the general consensus of those present was that we continue with Scenario 1 and not even consider Scenario 3. Several members were absent during that meeting and the issue was tabled until the next meeting. The members discussed current economic conditions noting lower interest rates, unemployment and current stock market conditions. It was noted that there is not enough difference between Scenario 1 and 2 to make a change. A motion was then made and unanimously approved to continue with Scenario 1.
Chairman Sigmon stated that it is the committee’s responsibility to prepare the FY 13-14 budget. He then referred the members to the budget worksheets, which had previously been sent to them. Also reviewed was a listing of committee budget requests. It was noted that the Headquarters & Employees Committee had budgeted $4,500 for two heat exchangers to be replaced. The heat exchangers will now be replaced in the current fiscal year, and this amount will need to be deducted from their budget. The committee then reviewed each line item separately. During review of the budget, there were several expense line items the committee felt could be reduced or required further review by the Council. A listing of these line items is attached as part of the minutes.
The committee then reviewed the completed budget (proposed budget attached). President Honeycutt expressed concern over having an unbalanced budget. Chairman Sigmon commented that this was discussed during the last meeting, and the committee agreed to continue with an unbalanced budget as long as we continue to receive an experience fund. Also a short-term investment account was established to provide additional funds should we require them. He further explained that the insurance experience refund, as of February, is projected to be approximately $124,000. However, there is still one more month to go in the insurance year and this amount could change. He further stated that if we were to go several years without an experience refund or gains in our investments, we would have to reduce expenses to eliminate having to withdraw funds from our reserves/investments.
The next meeting date was discussed, and Chairman Sigmon stated that an email would be sent out once a date was established.
There was no further business to come before the committee, and the meeting was adjourned at 1:45 p.m.
Adene T. Tyler