Santa Ynez Valley Rotary Club Board of Directors Meeting Minutes Date: July 14, 2016 Friendship House, Solvang, CA

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1 Santa Ynez Valley Rotary Club Board of Directors Meeting Minutes Date: July 14, 2016 Friendship House, Solvang, CA Present: President: Jeff Little, Treasurer: Bertha Foxen, Joe Dugan, Greg Pensa, Chuck LeBeau, Ken Nash, Jim and Betty Johnston, Mike Limotta, Kris Kersten. Absent: Secretary: Lou Karpf, Allen Cooper, Ken Andersen, Randy Jones. 1. Meeting called to Order at 5:37 pm. 2. Acting Secretary Report: Kris Kersten Motion made by Bertha Foxen, seconded by Greg Pensa to approve May 11, 2016 Annual Meeting Minutes, Election of Officers. Approved as presented. Jeff Little, President Joe Dugan, President Elect Greg Pensa, President Elect Nominee, Club Service Lou Karpf, Secretary, Bertha Foxen, Treasurer Motion made by Greg Pensa, seconded by Joe Dugan to approve June 9, 2016 Board Minutes. Approved as presented. 3. Treasurer s report: Bertha Foxen Current Club Financial Statement (No Report) Year End Financial Statement from William Murphy. *See Year End at End of current Minutes. Avenue of Service Profit and Loss Statement Santa Ynez Valley Rotary Club Avenue of Service July 1,2015 to June 30, International Service 7123 Global Grant Tanzania $2, Nicaragua $ Total 7100 International Service $2, Community Service 7210 Therapeutic Riding $1,000.00

2 7214 SYVUHS Grad Night $ Buellton Senior Center $1, Solvang Friendship House $1, SYV Fruit & Vegetable Rescue $3, SYV Botanic Garden $ Solvang Senior Center $1, Students With Hearts $1, Total 7200 Community Service $11, Vocational/Youth 7410 RYLA $1, Dictionary Project $ Scholarships $10, Architectural Contest $2, Education Programs $1, SYV Robotics $13, Boy Scouts & Cub Scouts $ Total 7400 Vocational/Youth $29, Total Grant Expense $43, Committee Reports a. Club Service: Greg Pensa (no report) b. Community Service: Ken Andersen & Chuck LeBeau (no report) c. International Service: Randy Jones & Ken Nash (no report) d. Vocational & Youth Services: Michael Limotta (no report) e. Sergeant of Arms: Betty & Jim Johnston (no report) 5. Old Business (none) 6. New Business a. Designation of Signers on Checking Account As of July 1, 2016, Immediate Past President Allen Cooper and immediate past Treasurer William Murphy will be removed as designated signers on the Rotary Club of the Santa Ynez Valley, Rabobank account number The designated signers for the fiscal year will be President Jeffrey W. Little, Vice-President Joseph Dugan, Treasurer Bertha Foxen and Secretary Louis Karpf. Motion made by Joe Dugan, Seconded by Betty Johnston, Approved as Presented.

3 b. Contribution to The Rotary Foundation Contribution on it s100th Anniversary Historically, the member s $200 annual payment to the Santa Ynez Valley Rotary Foundation has been split: $100 to the SYV Rotary Foundation and the remaining $100 is self-directed to the Club s Endowment or to The Rotary Foundation. This fiscal year is the Rotary International Foundation s 100th Anniversary. In honor of this anniversary it is proposed that for one year only, the self-directed $100 contribution for every member would go to the Rotary Foundation. This is approximately $4,000. During 2014 and 2015, the SYV Rotary Foundation, moved an extra $70,000 from the Club s Foundation to the Club s Endowment. This is the equivalent of approximately 18 years of typical member funding. In three years, approximately 28% of the contribution ($1120) would be available to the Club in the form of a Grant. Motion made by Bertha Foxen, Seconded by Joe Dugan, Approved as presented. c. Continuing Resolutions for Background Information: *Reference the attached Continuing Resolution for The proposed changes will reference this document. The following are proposed changes to the Continuing Resolutions for The new proposed changes are listed below. 1. Monthly Club Meeting Time: Page 1 #3 The Board of Directors of the Club shall meet on the 2nd Thursday of each month at the Friendship House Community Room in Solvang. The time of the meeting will be 5:00 PM. However, the Board may alter both the time and location at its discretion. Change from 5:00 pm to 5:30 pm The Board of Directors of the Club shall meet on the 2nd Thursday of each month at the Friendship House Community Room in Solvang. The time of the meeting will be 5:30 PM. However, the Board may alter both the time and location at its discretion.

4 2. President Elect Training (PETS) Expenses: Page 1 #6 Registration Fees and Room Accommodations for the Incoming President s / Vice President s mandatory attendance of PETS (President Elect Training Seminar) will be paid by the Club. Add reimburse mileage at the IRS rate. Registration Fees, reimburse mileage at the IRS rate and Room Accommodations for the Incoming President s / Vice President s mandatory attendance of PETS (President Elect Training Seminar) will be paid by the Club. 3. Club Dues: Page 2 #9 Club Dues shall be $120 per year and shall be due and payable annually on August 1st. Change from $120 to $130 per year and add prorated for new members. Club Dues shall be $130 per year and shall be due and payable annually on August 1st. The Club Dues for new members will be prorated based on the remaining months in the fiscal year. 4. Happiness Fines: Page 2 #10 the last sentence Happiness Fines are also in support of the RC of SVY Foundation general fund for charitable giving and will be assessed at an annual amount of $100 and invoiced semi-annually. Change from semi-annually to annually and add prorated for new members. Happiness Fines are also in support of the RC of SVY Foundation general fund for charitable giving and will be assessed at an annual amount of $100 and invoiced annually. The Happiness Fines for new members will be prorated based on the remaining months in the fiscal year. 5. Projects: Page 2 #12 The Club is to remain involved on a continuing basis with the following projects: RYLA, Santa s Sleigh, Christmas Party, Fourth of July Fireworks, Architectural Project, and the Polio Eradication Project.

5 At this time we are not sure if we will continue Santa s Sleigh. The Club intends to continue the following projects: Fourth of July Fireworks, RYLA, Christmas Party, Architectural Project, and the Polio Eradication Project. 6. Missed Meeting Fees: Page 2 #16 first sentence Members shall be charged $15 for any missed meeting if they are absent and do not make up. This includes special events which are held in lieu of regularly scheduled meetings, in accordance with Article IV, Section 1.1 of the Constitution. There will be no charge for missed 5th Wednesday meetings. Change the $15 missed meeting to $6 meeting fee for all regular meetings. All members, except Honorary and Volunteer, shall pay a $6 meeting fee for every regular weekly meeting. The meeting fee is paid annually by August 1st, and is not reimbursable. There will not be an addition charge for missed meetings. This is in accordance with Rotary International s 2016 Enactment (16-21) Flexibility in Meetings/Attendance (Revising Article IV, Section 1.1 of the Constitution). There will be no charge for missed 5th Wednesday meetings. 7. Scoot Fees: Page 3 #17 first sentence Other revenues: Scooters, members who leave the meeting early, shall be assessed $2.00, per incident, collectible at the door. Change to $0.00. Change to paragraph Other revenues: Scooters, members who leave the meeting early, will not be assessed $2.00. If Scooting becomes a problem in the future, the board maintains the option to reinstate the $2.00, per incident, collectible at the door.

6 8. Non-eaters: Page 3 #17 second sentence Non-eaters will be assessed $5.00, which will include a beverage only. #17. The member s price for lunch at Hotel Corque is $21. The non-eaters price (also known as a Meeting Fee ) will be $6.00, which will include a beverage. At the beginning of the year, all members will be charged the Meeting Fee of $258 for all of the regular weekly meetings ($6 x 43 meetings). New members will pay a pro-rata share based on the number of regular meetings remaining in the year. Members eating lunch at a regular weekly meeting will pay an additional $15. After paying the Meeting Fee, non-eaters will owe nothing at the regular weekly meetings. Members paying for their lunches in advance will not have $15 deducted from their prepaid balance if they miss a regular weekly meeting. These payment rules apply to the President, Secretary and Treasurer. 9. Lunch Payments for Speakers, President, Secretary & Treasurer Page 3 #18 The Club will pay for lunch at all regular meetings for the President, Secretary, Treasurer and the guest speaker and will also provide a gift for the guest speaker. The Club will pay for the guest speaker s lunch and will also provide a gift for the guest speaker. At all meetings the President, Secretary and Treasurer will pay the same rates as other Club members. 10. New Member Category: Rotary Volunteer #23. Rotary Volunteer members will participate in Club projects and Club fund raisers. Rotary Volunteers will be registered with Rotary International and District Rotary Volunteers will pay the $200 annual fee to the SYV Rotary Foundation and the $130 annual Club Dues to cover the membership costs charged by Rotary International and District These fees will be prorated in the first year of membership. Rotary Volunteers are welcome to attend Club meetings. They will not be responsible for meeting fees. If they would like to eat at a regular weekly meeting, they will pay the full price of $21.

7 11. New Committee: Charitable Grants Screening Committee #24. A Charitable Grants Screening Committee reviews incoming Grant Request. This committee will be selected by the President. The committee will be comprised of a Chairperson and one representative from each Avenue of Service. The Grants are passed to the appropriate Avenue of Service. Each Avenue of Service will review the Grants and make their recommendations to the Club Board of Directors. Background Information on the Charitable Grants Committee and recommended future: The follow is presented by President Jeff Little and approve by Kris Kersten, long-term Charitable Grants Committee Chairman. The Charitable Grants Committee (CGC) has been operating as early as The CGC does not appear in the Bylaws or the Continuing Resolutions. The Charitable Grants Committee of five members would review income Grant requests. The CGC would recommend to the Club Board approval/disapproval and a dollar amount. The Board would vote and the dollar amount would be deducted from the appropriate Avenue of Service budget. Over the past seven years, Charitable Grants have averaged approximately 80% of the Avenue of Service Spending. Due to the small size & composition of the CGC there have been some unintended consequences: a. Ave of Service Chairs should be the leaders (vision & monetary) of their area, but having the CGC make budget recommendations undercuts their authority, and I believe reduces their motivation. b. The large percentage of CG s has reduced the Rotary Experiences for members. Although we give money to great organizations, we need to increase the percentages of hands on projects. The following process is recommended: 1. Step 1: Have incoming Charitable Grants go a screening committee. The screening committee determines if the grant meets our Club s criteria and which Ave of Service the grants go to. If the grant does not meet our criteria the organization is notified, or asks for additional information. If it meets all criteria, we acknowledge receipt of the grant and our timeline for a decision.

8 I would recommend Kersten as Chairman and one representative from each Avenue of Service: Ken Nash (Int l), Chuck LeBeau (Community), Mike Limotta (Vocational/Youth) & Greg Pensa (Club). 2. Step 2: Have the Avenue of Service Chairs create committees to review the grants for yes/no votes and dollar amounts. Their decisions will be presented to the Club Board for final approval. This lets the Ave Chair fund grants that fit within their vision, have ownership of their budget, and an opportunity to get more members involved. 3. Decision deadlines: Under the current process, funding decisions are based on when the grants are filed. This may not result in the best funding decisions. Maybe all grants have a cutoff date of March 1 and grant decisions are made no later than March 31. That way a fair comparison can be made & result in a better job of meeting our budgeted giving. 4. For those receiving money (if local) they will be presented checks at our meeting. For those not receiving money, they will receive a letter of explanation. As a former member of this committee, I know Kris has done an outstanding job. Kris has a wealth of institutional knowledge obtained through a year s of work. He knows the history of the applicants. He does research beyond the application. He knows the strengths and weaknesses of the organizations. Motion made by Joe Dugan and Seconded by Bertha Foxen to approve all new Continuing Resolutions. Approved as Presented. Meeting adjourned at 5:50 pm. Respectfully submitted, Kris Kersten acting for Lou Karpf, Secretary Rotary Club of the Santa Ynez Valley *See Continuing Resolutions for Reference Below

9 ROTARY CLUB OF SANTA YNEZ VALLEY CONTINUING RESOLUTION FOR BE IT RESOLVED THAT by the use of CONTINUING RESOLUTIONS, the Board of Directors of the Rotary Club of the Santa Ynez Valley will set guidelines and preserve traditions that otherwise could be lost in the changeover of succeeding Boards. THESE CONTINUING RESOLUTIONS are not intended to replace the Constitution or the Bylaws of the Club, and they do not duplicate or in any way amend items already contained and detailed in those documents. EACH SUCCEEDING BOARD OF DIRECTORS shall review these CONTINUING RESOLUTIONS at the beginning of the Board s term, and at such other times as circumstances warrant, to determine whether any of the Resolutions should be modified or discontinued and/or whether new Resolutions should be added. BE IT RESOLVED THAT the Rotary Club of the Santa Ynez Valley accepts the following listing of guidelines for the Rotary Year and thereafter, until changed by Board Action. 1. The Club s Official Name, in accordance with its Constitution and Its Bylaws, is THE ROTARY CLUB OF THE SANTA YNEZ VALLEY. The designation SANTA YNEZ VALLEY ROTARY CLUB may be used informally, whereas the use of such names as Santa Ynez Rotary Luncheon Club is strongly discouraged. 2. The mailing address of the Club is P.O. Box 121, Solvang, CA The Board of Directors of the Club shall meet on the 2nd Thursday of each month at the Friendship House Community Room in Solvang. The time of the meeting will be (five) 5:00 PM. However, the Board may alter both the time and location at its discretion. 4. The Club bulletin, THE COG WHEEL will be published periodically. District staff and the leadership of each of the Group IX (9) Rotary Clubs shall be included on the mailing list at the discretion of the Club President. 5. The Inventory of Supplies of such items as Club Banners, Badges, New Member Invitations and Guest Speaker Gifts, will be maintained by the Welcoming Desk Staff, i.e. the Club Secretary assisted by the Treasurer and the Sgt.-at-Arms.

10 6. Registration Fees and Room Accommodations for the Incoming President s/vice President s mandatory attendance of PETS (President Elect Training Seminar) will be paid by the Club. 7. Article IX of the Constitution and of the Bylaws of Rotary International require each club to be represented by (at least) one voting delegate or a proxy at each annual (June) RI Convention. It is the intent of the Board to have the Incoming President attend the Convention immediately preceding his or her term of office and shall attempt to cover the necessary expenses thereof, for registration, transportation and lodging. The amount of such reimbursement shall be predetermined by the Board. 8. Attendance of PRLS and other District Functions by any member of the Club is voluntary (except those mentioned above) and therefore the Club will only reimburse Registration Fee expenses. 9. Club Dues shall be $120 per year and shall be due and payable annually on August 1st. 10. Support of Rotary s humanitarian efforts are considered an integral part of a member s financial responsibility to the Club. Accordingly members will be assessed an annual amount of $100 and will be invoiced annually. Members will be given the choice of designating these funds for The Rotary Foundation Every Rotarian Every Year program or to the RC of SYV Foundation endowment fund. Happiness Fines are also in support of the RC of SVY Foundation general fund for charitable giving and will be assessed at an annual amount of $100 and invoiced semi-annually. 11. The following Club Officers shall be authorized to sign checks on the Club bank account (s): President, Treasurer, Secretary and Incoming President. All checks must be signed by any two (2) of the above. Any checks in excess of $200 not previously budgeted must be approved by the Board or President or Committee and must so reflect in the minutes. 12. The Club is to remain involved on a continuing basis with the following projects: RYLA, Santa s Sleigh, Christmas Party, Fourth of July Fireworks. Architectural Project, and the Polio Eradication Project. 13. The amount of the New Member Admission Fee, as required by Article IX, Section 1, of the Club Constitution, and Article V, Section 1, of the Club Bylaws,

11 shall be waived. Other dues and fines will be pro-rated for the remainder of the Rotary year. 14. The sponsor of a Prospective New Member shall enlist at least one, preferably two other members with more than one year s membership in Rotary, to serve as Co-Sponsors. The Sponsor shall, in any event, enlist Co- Sponsors who know the prospective candidate personally, if at all possible. The Club will buy lunch for prospective members for the first two meetings attended. 15. The President, on the advice of the Mentor Chairperson, will assign a new member a Mentor. This Mentor should preferably be a past president and can be the new member s sponsor. 16. Members shall be charged $15 for any missed meeting if they are absent and do not make up. This includes special events which are held in lieu of regularly scheduled meetings, in accordance with Article IV, Section 1.1 of the Constitution. There will be no charge for missed 5 th Wednesday meetings. 17. Other revenues: Scooters, members who leave the meeting early, shall be assessed $2.00, per incident, collectible at the door. Non-eaters will be assessed $5.00, which will include a beverage only. Fines at regular meetings may be levied by the President or fine master(s) for the purpose of fostering humor and club fellowship. The fine master will also encourage volunteers to share their happy events. The fines are not to exceed $5.00 per member, per incident. 18. The Club will pay for lunch at all regular meetings for the President, Secretary, Treasurer and the guest speaker and will also provide a gift for the guest speaker. 19. When deemed necessary by the President because, of timing restrictions, the BOD (board of directors) may vote via digital means, on stated topic, as long as motion is made and seconded by the board and a discussion follows. After all discussion of the topic has been sent to all members of the board, and the discussion is closed, the Board may send their vote back to the President. 20. It is not the purpose of the club to accumulate sums of money in excess of operating needs. Therefore the Treasurer will periodically review the club budget and cash balance and recommend to the BOD, as appropriate, an amount to transfer to SVYRC Foundation.

12 Approved by the Board of Directors on July 9, Lou Karpf - SECRETARY Calendar & Next Meetings: July through October 2016 Board Meetings: August 1, 2016 Avenue of Service: Proposed Projects & Budgets August 5, 2016 Submit Content for Board Reports August 8, 2016 Deliver Board Reports August 11, 2016 Club Board Meeting 5:30 pm Friendship House September 2, 2016 Submit Content for Board Reports September 4, 2016 Deliver Board Reports September 8, 2016 Club Board Meeting 5:30 pm Friendship House October 7, 2016 Submit Content for Board Reports October 9, 2016 Deliver Board Reports October 13, 2016 Club Board Meeting 5:30 pm Friendship House Committees: October 31, 2016 Nominating Committee reports nominees to President Fund Raising: July 30, 2016 Fourth of July Review Meeting at Allen Cooper s House September 17-18, 2016 Danish Days (participation?) October 16, 2016 EPIC Challenge Bike Ride (Polio Plus) Projects: September 24, 2016 Nashville Nights: Assisting Friendship House in their fundraiser District 5240: September 23-25, 2016 President Elect Retreat (estimate based on 2015) October 14-16, 2016 District 5240 Conference: Hyatt Westlake Village Meetings/Programs: July 13, 2016: Club Assembly July 20, 2016: Speaker Parker Grand La Purisma Mission July 27, 2016: Presentation Mikey Limotta Office 365 Overview & Speaker Kirk Nordgren CTS August 3, 2016: Need Speaker August 10, 2016: Need Speaker August 17, 2016: Need Speaker

13 August 24, 2016: Need Speaker August 31, 2016: 5th Wednesday Dark September 7, 2016: Need Speaker September 14, 2016: Need Speaker September 21, 2016: Speaker District Governor Nick Frankle September 28, 2016: Speaker Sara Caputo Radiant Organizing October 5, 2016: Club Assembly October 12, 2016: Need Speaker October 19, 2016: Need Speaker October 26, 2016: Need Speaker

14 Santa Ynez Valley Rotary Income Statement June to June Revenue Expense Net Inc (Exp) Weekly Meals - Paying Members $ 18, $ (17,591.26) $ Free Weekly Meals - Guests, Pres, Tres & Sec $ (3,226.74) $ (3,226.74) Missed Meeting Fees $ 1, $ 1, Non Eating Meeting Fees $ 1, $ 1, /50 $ 1, $ 1, Happiness Fines $ $ Other Weekly Collections $ $ Rotary Dues $ 5, $ (5,201.63) $ (29.63) Rotary Conferences $ (2,238.54) $ (2,238.54) Danish Days $ 1, $ (2,016.37) $ (502.37) Pointsettias $ 1, $ (996.84) $ Shirts $ $ (1,744.74) $ (1,520.74) Christmas Party $ 1, $ (2,118.76) $ (718.76) Demotion Party $ 1, $ (1,590.13) $ (313.13) Other Russell-Hampton $ (787.68) $ (787.68) Clubrunner $ (383.40) $ (383.40) Other $ $ (449.99) $ (428.54) Total $ 33, $ (38,346.08) $ (4,355.13)

15 Santa Ynez Valley Rotary Cash Flow Statement June to June Net Income $ (4,355.13) Demotion Party Payable $ Country Garden Caterers 2014 Christmas $ (800.00) Rotary International Refund $ Meal Credits $ (434.00) Pending Checks $ (354.75) Excess Beer and Wine $ (87.33) Nielsen Credit $ (224.40) 2014 Sausage $ Change in Cash $ (4,771.56) June Cash $ 14, June Cash $ 9, Change in Cash $ (4,771.56) Santa Ynez Valley Rotary Balance Sheet As of As of June June Assets Rabobank Cash Balance $ 9, $ 14, Cash on Hand $ $ Wine and Beer $ Nielsen's Credit $ Sausages $ Rotary International Overpayment $ Total Assets $ 9, $ 15, Liabilities Pending Checks $ $ Demotion Party Payable $ Country Garden Caterers 2014 Christmas $ Prepaid Member Meals $ $ 1, Total Liabilities $ 1, $ 2, Net Equity $ 7, $ 12,267.32

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