BOARD REGULAR MEETING AGENDA

Transcription

1 BOARD REGULAR MEETING AGENDA May 25, :30 pm CareerSource Research Coast 584 NW University Blvd., Port St. Lucie, FL * Items require action Mission: Partnering with parents, providers and communities to ensure quality early learning experiences through programmatic and financial support. I. Call to Order, Pledge of Allegiance, Roll Call, Determination of Quorum Vision: Building Blocks for Educational Success 1:30-1:32 PAGES Brandon Tucker II. Announcements and Additions/Deletions to Agenda 1:32-1:33 Brandon Tucker III. Adoption of Agenda * 1:33-1:34 Brandon Tucker IV. Consent Agenda * A. Board Meeting Minutes March 23, 2017 B. Board Orientation Minutes March 23, :34-1: Brandon Tucker V. Interim CEO s Report 1:35-1:40 verbal Migdalia Rosado VI. New Business A. Action Item Slate of Nominees for Officers * B. Action Item Dental Benefits Renewal * C. Action Item Medical Benefits Renewal * D. Action Item Proposed Budget for * E. Action Item CEO Job Description * F. Discussion ELCIRMO Operating Hours 1:40-2: Brandon Tucker VII. Old Business A. Update on Joint Advisory Merger Committee VIII. Committee Reports A. Finance Committee Report 1. Finance Report March Minutes March 23, Minutes April 27, :10-2:15 Brandon Tucker 2:15-2: William Laughlin B. Bylaws/Personnel Committee Report 1. Minutes April 4, Minutes May 2, 2017 C. Executive Committee Report 1. Minutes May 9, 2017 D. Program Quality Committee Report Tom Peer Brandon Tucker Donna Rivett

2 Coalition Board Regular Meeting Agenda May 25, 2017 Page 2 1. Minutes May 4, E. Fundraising Committee Report Brandon Tucker IX. Chairman s Comments 2:25-2:30 Brandon Tucker X. Board Member Comments 2:30-2:35 Brandon Tucker XI. Public Comments 2:35-2:40 Brandon Tucker XII. Information A. Children Served / Wait List B. Financial Monitoring Report C. OEL Desk Review February :40-2: Brandon Tucker XIII. Adjournment 2:45 Brandon Tucker Public comments may be offered at every Early Learning Coalition of Indian River, Martin & Okeechobee Counties Board of Director s or committee meeting. We welcome the opportunity as part of our continuing effort to improve our responsiveness to the needs of the children, families, and community we serve. To present comment, interested parties are asked to complete a Public Comment Card available at the sign-in table, deliver such to the Chair in advance to the Call to Order, and be present during the public comment period. All interested parties are asked to indicate whether the comment is related to the business associated with the specific agenda before the Board/Committee or if the comment is intended for consideration by the Board/Committee at a future meeting. All comments are limited to 3 minutes unless otherwise waived by a majority action of the members present.

3 1 BOARD REGULAR MEETING MINUTES March 23, 2017 CareerSource Research Coast 584 University Blvd., Port St. Lucie, FL Present: Brandon Tucker William Laughlin Michelle Akins (via teleconference) Steve Newman Sandy Akre Tom Peer Brian Bauer Lison Philor-Jonnassaint (via teleconference) Julie Bixler Donna Rivett Barbara Clowdus Ann Rodriguez (via teleconference) Jennifer Corkern (via teleconference) Deborah Schooley Susan Curtis (via teleconference) Joy Yates (via teleconference) Brooke Flood Excused: Cathleen Blair Sabina Guthrie Staff: Migdalia Rosado Pat Houston Angela Davis-Green Patricia Piche Sheila Ettehadieh Loretta Toth Zack Hackley Others: Sally Alkayaly Larry Reisman Paul Kelly Jarrod Trefelner Malissa Morgan Tony Loupe Juelie Perry Other members of the public were present and on the phone. I. CALL TO ORDER The meeting was called to order by Chair, Brandon Tucker at 1:30 p.m. Roll call was taken and a quorum was present. II. III. ANNOUNCEMENTS AND ADDITIONS/DELETIONS TO AGENDA Mr. Tucker welcomed Ms. Clowdus, governor appointee, to the board and appointed her to the Bylaws/Personnel Committee. ADOPTION OF AGENDA Motion to adopt the agenda was made by William Laughlin, seconded by Donna Rivett and passed unanimously. Brooke Flood arrived at 1:34 p.m. IV. CONSENT AGENDA A. Board Meeting Minutes January 26, 2017 B. Submission of MC BOCC grant application C. Submission of IR BOCC Non-profit funding application D. Submission of Publix funding application

4 Board Regular Meeting 2 March 23, 2017 Motion was made by Brian Bauer to approve the consent agenda. Motion was seconded by Donna Rivett and passed unanimously. 2 V. INTERIM CEO S REPORT Ms. Rosado informed the members that ELCIRMO is currently enrolling in all three counties and there is no wait list in Okeechobee and Martin Counties. She reminded members of upcoming events. VI. VII. NEW BUSINESS A. Action Item Bank Signatory As recommended by the Finance Committee, Motion was made by Lison Philor-Jonnassaint to appoint Migdalia Rosado, Interim CEO, as an authorized check signer replacing Jacki Jackson. Motion was seconded by Ann Rodriguez and passed unanimously. OLD BUSINESS A. Action Item Merger Recommendation Chairman Tucker explained that the Executive Committee met on February 21 st to review the merger and acquisition proposals along with Mr. Trefelner s suggestion of a joint advisory committee. The Executive Committee recommendation was included in the packet for board consideration. Mr. Tucker opened the floor for comments from the board and discussion followed. Motion was made by Steve Newman to continue with merger discussions as per the January meeting and to include discussions of the joint advisory committee as per Mr. Trefelner s . Motion was seconded by Tom Peer. The floor was once again open for discussion by the board and the public. After discussion, motion was put to a vote and passed. Motion was made by Tom Peer to form the joint advisory committee as proposed. Motion was seconded by Brian Bauer. During discussion, it was noted that Mr. Trefelner s suggested the committee be comprised of 3 joint board members (Sandy Akre, Tom Peer & Brian Bauer), 3 IRMO board members, 3 St. Lucie board members and both board chairs. Concerns were expressed regarding the composition of the advisory committee. The was read, noting the goal of the committee is to discuss and make a recommendation to both boards. Each board will vote individually on the matter. Upon being put to a vote, motion passed. Mr. Tucker appointed the following IRMO members to the joint advisory committee: Brooke Flood, Julie Bixler and Steve Newman. Sandy Akre left the meeting. VIII. COMMITTEE REPORTS A. Finance Committee The reports as of January 31, 2017 were included in the packet. It was noted that enrolling is taking place and the wait list will be cleared. B. Bylaws/Personnel Committee Mr. Peer reported that CEO salaries were discussed. C. Program Committee Ms. Rivett reported that the state is reviewing a statewide QRIS program. The Committee determined that publishing CLASS scores on the website would not provide valuable information. Childcare tours are scheduled for March 27, 28 and 29 and members were encouraged to attend. D. Fundraising Committee Mr. Tucker reminded members of the Touch-a-Truck event on 4/1/17. IX. CHAIRMAN S COMMENTS Mr. Tucker thanked everyone for going through the process. X. BOARD MEMBER COMMENTS No further comments. XI. PUBLIC COMMENTS No further comments. XII. INFORMATION The following information was included in the packet: a) wait list/served; b) CSCMC-ELC Match End of Year Performance Report 7/1/15-6/30/16; c) OEL Desk Review November 2016.

5 Board Regular Meeting 3 March 23, XIII. ADJOURNMENT There being no further business, the meeting was adjourned at 3:21 p.m. Respectfully submitted, Brandon Tucker, Chair BT:lt

6 4 COALITION BOARD ORIENTATION MINUTES March 23, 2017 CareerSource Research Coast 584 NW University Blvd., Port St. Lucie Present: Julie Bixler Steve Newman Barbara Clowdus Tom Peer William Laughlin Brandon Tucker, Chair Staff: Migdalia Rosado Pat Houston Angela Davis-Green Loretta Toth Zack Hackley The Board Orientation was called to order by Chair, Brandon Tucker at 11:10 a.m. at which time he turned the meeting over to Migdalia Rosado. New board members, Julie Bixler, Barbara Clowdus and Steve Newman each received a copy of the orientation manual. The PowerPoint presentation was delivered by Ms. Rosado, along with the Leadership Team of the Coalition. A copy of the Board Orientation Manual is posted on the website. Any questions were addressed during the presentation. The orientation ended approximately 12:20 p.m. Respectfully submitted, Brandon Tucker, Chair BT:lt

7 5 Early Learning Coalition of IRMO ACTION ITEM Action Item: Date: 5/25/17 Subject: Slate of Nominees for Officers Background Information - Article V, Section 8 of the ELCIRMO bylaws (Board Approved ) state that the Executive Committee shall prepare an official slate of nominees at the May board meeting at which time the Chair will entertain additional nominees from the floor for each office. Election of Officers will be held at the June board meeting. The Executive Committee met on May 9, 2017 and hereby submits the below Slate of Nominees for : Slate of Nominees: Vice-Chair Will Laughlin Secretary Michelle Akins Treasurer/Finance Committee Chair Ann Rodriguez Bylaws/Personnel Committee Chair Julie Bixler Program Quality Committee Chair Barbara Clowdus At least one Member-at-large: Donna Rivett Action Required: Entertain additional nominees from the floor and approve slate. History of Item: Committee Date of Meeting Action Executive Committee 5/9/17 Slate of nominees prepared: See above.

8 6 Early Learning Coalition of IRMO ACTION ITEM Action Item: Date: 5/25/17 Subject: Dental Benefits Renewal Background Information The dental plan offered to employees and dependents is up for renewal effective July 1, Points of Consideration The renewal rate remains the same as the previous year at $12.72 per employee per month. Budget Considerations The cost of the recommended dental plan through Florida Combined Life is $12.72 per employee per month. The total cost to the coalition for 20 employees equates to $254.40/monthly or $3,052.80/annually. Supporting Documentation Included None Proposed Action Acceptance of the recommended plan offered through Florida Combined Life, funded 100% by the employer for employee coverage only, at a cost of $12.72 per employee per month.

9 Early Learning Coalition of Indian River, Martin and Okeechobee Counties, Inc Dental Insurance Renewal Dental PPO Insurance Benefits Florida Florida PPO Non-PPO PPO Non-PPO Deductible Waived for preventative services? Yes Yes Individual $0 $50 $0 $50 7 Family $0 $150 $0 $150 Annual Maximum Per Person $1,000 $1,000 $1,000 $1,000 Preventative Services 100% 80% 100% 80% Basic Services Co-pays 60% Co-pays 60% Perio & Endo in Basic? No No Major Services Co-pays 40% Co-pays 40% Waiting Period for Major Services? ORTHODONTIA Ortho. Lifetime Maximum Per Person Late Entrants Only None N/A Late Entrants Only None N/A Rate Guarantee Out of Network Reimbursement Rates Single (7) EE + Spouse (3) EE + Children (6) Family (3) Total Monthly Premium Total Annual Premium $ Increase % Increase 1 Year 1 Year Fee Schedule Fee Schedule $12.72 $12.72 $27.63 $27.63 $27.03 $27.03 $43.49 $43.49 $ $ $5, $5, $ % Page 8

10 8 Early Learning Coalition of IRMO ACTION ITEM Action Item: Date: 5/25/17 Subject: Medical Benefits Renewal Background Information Based on the fiscal year of the coalition, the current medical benefit plans offered to employees and dependents will be up for renewal effective July 1, Points of Consideration During this cycle we were able to obtain renewal rates in two forms (age rated and composite) giving the flexibility to choose the most cost effective option for the organization. The composite rate will allow the organization to once again offer the employees a PPO buy up plan. Since the renewal rate for the current BlueCare Plan is being offered at a 26.5% increase, the coalition has reviewed alternate plans which are more affordable. Blue Care Plan is being recommended at a rate of $ per employee per month and represents a 15.4% increase. The renewal of the BlueOptions Plan is a buy up option with the difference in cost paid by the employee. By offering both plans to employees, it allows employees the option to choose the plan that best serves their needs, while keeping the cost for the coalition at the same amount for either plan. Budget Considerations BlueCare Plan $ per month per employee, employer funded 100% BlueOptions Plan $ per employee per month, Employer share - $712.36; Employee Share - $ The proposed recommendation results in an increase of $94.89 per employee per month from the previous year and equates to a 15.4% increase. Supporting Documentation Included Medical Insurance Plan Options Effective July 1, 2017 The attachment gives a side-by-side comparison of the current Plan 14252, the recommended Plan 14256, and the buy up plan Proposed Action Acceptance of the BlueCare Plan 14256, paid at 100%, by employer, but allow employees the option to choose the BlueOptions Plan 14006, with the difference in cost to be paid by the employee through payroll deduction.

11 Early Learning Coalition of Indian River, Martin and Okeechobee Counties, Inc Medical Insurance Plan Options 9 Schedule of Insurance Florida Blue Current Florida Blue Current Medical Benefits BlueCare Plan BlueOptions Plan BlueOptions Plan Physician Services In Network In Network Out of Network In Network Out of Network Primary Care Office Visit $10 copay $25 copay 50% after CYD $25 copay 50% after CYD Specialist Office Visit $20 copay $45 copay 50% after CYD $45 copay 50% after CYD Hospital Services Inpatient Per Admission $300 per day / $900 max. $300/day /$1500 max. 50% after CYD $300/day /$1500 max. 50% after CYD Outpatient Per Visit $250 copay $350 copay 50% after CYD $350 copay 50% after CYD Physician Services Hospital & ER $0 $0 $0 $0 $0 Emergency Room Visit $150 copay $300 copay $300 copay $300 copay $300 copay Other Services Paid by Plan Independent Clinical Lab $0 $0 50% after CYD $0 50% after CYD Mammograms $0 $0 $0 $0 $0 Independent Diagnostic Testing Facility (Minor $75 copay $60 copay 50% after CYD $60 copay 50% after CYD Complex Imaging (PET, MRI, CAT) $150 copay $250 copay 50% after CYD $250 copay 50% after CYD Urgent Care Facility $25 copay $50 copay 50% after CYD $50 copay 50% after CYD Ambulatory Surgical Center $200 copay $200 copay 50% after CYD $200 copay 50% after CYD Physician Services Not In Office/Hosp/ER Primary Care Physician $10 copay $25 copay 50% after CYD $25 copay 50% after CYD Specialists $20 copay $45 copay 50% after CYD $45 copay 50% after CYD Prescription Drug Benefits Generic Brand - Formulary Brand - Non-Formulary Specialty Calendar Year Deductible $0 / $4 / $10 copay $15 / $30 copay $50 copay $150 copay $0 / $4 / $15 copay $30 / $60 copay $100 copay $200 copay $0 / $4 / $15 copay $30 / $60 copay $100 copay $200 copay Individual $0 $1,000 $6,000 $1,000 $6,000 Family $0 $3,000 $8,000 $3,000 $8,000 Maximum Out-of-Pocket Individual $3,500 $4,000 $8,000 $4,000 $8,000 Family $7,000 $8,000 $16,000 $8,000 $16,000 Out-of-Pocket Maximum Includes: Ded., coinsurance & med. & Rx copays Ded., coinsurance & med. & Rx copays Ded., coinsurance & med. & Rx copays Lifetime Maximum Unlimited Unlimited Unlimited Unlimited Unlimited Rates Employee Only (19) Employee / Spouse (0) Employee / Child(ren) (0)* Employee / Family (0) Monthly Total Annual Total $ Increase % Increase *Dependent rates were omitted from the monthly total $ $1, $1, $1, $11, $140, $ $1, $1, $1, $13, $159, *This is not a contract and benefits subject to change. Rates may vary based on medical underwriting and final enrollment. Florida Blue Renewal $ $1, $1, $2, $16, $195, Florida Blue Alternate Plan 1 (Composite) BlueCare Plan In Network $25 copay $45 copay $300 per day / $1500 max $350 copay $0 $300 copay $0 $0 $60 copay $250 copay $50 copay $200 copay $25 copay $45 copay $0 / $4 / $15 copay $30 / $60 copay $100 copay $200 copay $1,000 $3,000 $4,000 $8,000 Ded., coinsurance & med. & Rx copays Unlimited $ $1, $1, $2, $13, $162, Page 1

12 10 Early Learning Coalition of IRMO ACTION ITEM Action Item: Date: 5/25/17 Subject: Proposed Budget Background Information In accordance with the Finance Policy Manual and the Bylaws, the Finance Committee will review and recommend to the board for approval an annual operating budget. Supporting Documentation Included Proposed Budget Proposed Action Acceptance of the Proposed Budget for

13 11 FISCAL YEAR Proposed Budget Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc.

14 12 Overview COMPARISON OF SCHOOL READINESS GRANT FOR FY 2016/2017 AND 2017/2018 LOCAL MATCH/GRANTS RECEIVED/REQUESTED/BUDGETED SCHOOL READINESS GRANT USE PROJECTIONS COMPARISON OF VPK GRANT FOR FY 2016/2017 AND 2017/2018 VPK GRANT USE PROJECTIONS SR AND VPK SUMMARY OF FINANCIAL ACTIVITY BY PROGRAM & COUNTY COMPARISON FY BUDGET FOR 2016/2017 AND FY 2017/2018

15 13 SR - Comparison of School Readiness Grant for FY 2016/2017 and FY 2017/2018 SCHOOL READINESS ALLOCATION 2016/2017 PROJECTED/ACTUAL 2017/2018 PROJECTED INCREASE (DECREASE) INDIAN RIVER 3,051,490 3,090,747 39,257 MARTIN 3,149,591 3,190,110 40,519 OKEECHOBEE 1,633,631 1,654,648 21,017 TOTAL 7,834,712 7,935,505

16 14 Local Grant Requests COUNTY WORKING POOR 6% MATCH BG8 FY RECEIVED FY 2017/2018 REQUESTED FY BUDGETED IR UNITED WAY (VETTED; APPLICATION WAS DENIED) IR GRAND HARBOR 0 10,000 0 IR WELLS FARGO 0 5,000 0 IR PUBLIX 3,000 10,000 4,000 IR DR. SCHOLL FOUNDATION 0 25,000 0 MC CHILDREN SERVICES COUNCIL 101, , ,520 OK CHILDREN SERVICES COUNCIL 5,000 10,000 5,000 OK UNITED WAY 3,000 8,000 3,000 TOTAL $112,520 $169,520 $113,520 COUNTY CHILD CARE EXECUTIVE PARTNERSHIP 100% MATCH - CCEP FY RECEIVED FY 2017/2018 REQUESTED FY BUDGETED MC CHILDREN SERVICES COUNCIL 638, , ,901 TOTAL $638,228 $666,901 $666,901 COUNTY OTHER FY RECEIVED FY 2017/2018 REQUESTED FY BUDGETED MC UNITED WAY BACKPACK INITIATIVE 2, MC MARTIN COUNTY BOARD OF COUNTY COMMISSIONERS 16,186 16,995 16,995 MC UNITED WAY VPK COMPLETER S PROGRAM 0 16,995 16,995 TOTAL $18,186 $33,990 $33,990

17 15 SR - School Readiness Grant Use Projections PROJECTED GRANT ALLOCATION TO MEET GRANT REQUIREMENTS ACTUAL AMOUNT/PROJECTED BUDGET AMOUNT AWARD $7,935,505 INCREASE (DECREASE) ADMINISTRATIVE EXPENSE 5% MAX 391, % 396, % 5,040 ELIGIBILITY & OPERATIONS 626, % 634, % 8,063 QUALITY 705, % 714, % 9,072 CHILDCARE SLOTS-INCLUDES GOLD SEAL 6,111, % 6,189, % 78,618

18 16 VPK - Comparison of Voluntary Pre Kindergarten Grant for FY 2016/2017 and FY 2017/2018 VPK TOTAL ALLOCATION ACTUAL AMOUNT/PROJECTED /2018 INCREASE (DECREASE) INDIAN RIVER 2,358,759 2,389,016 30,257 MARTIN 2,581,364 2,614,476 33,112 OKEECHOBEE 744, ,765 9,546 Total $5,684,342 $5,757,257

19 17 VPK - Voluntary Pre Kindergarten Grant Use Projections PROJECTED GRANT ALLOCATION TO MEET GRANT REQUIREMENTS ACTUAL AMOUNT/PROJECTED BUDGET AMOUNT INCREASE (DECREASE) ALLOWABLE MAXIMUMS 4.0% 4.0% ADMINISTRATION 167, ,084 2,154 ELIGIBILITY 36,697 37, MONITORING 14,002 14, SLOTS 5,465,713 5,535,823 70,110 Total $5,684,342 $5,757,257

20 18 SR & VPK Funding Summary by Program and County Projected for 2017/2018 School Readiness VPK Totals FUNDING Indian River Martin Okeechobee Indian River Martin Okeechobee School Readiness Grant $3,090,747 $3,190,110 $1,654,648 $7,935,505 6% Local Match 4, ,520 8,000 $113,520 CCEP Grant 666,901 $666,901 CSC CCEP 666,901 $666,901 VPK Grant 2,389,016 2,614, ,765 $5,757,257 OAMI GRANT 4,436 6,931 2,496 $13,863 Total Revenue 3,094,747 4,625,432 1,662,648 2,393,452 2,621, ,261 $15,153,947 PROVIDER PAYMENTS School Readiness/CCEP 2,410,783 3,155,187 1,290,625 $6,856,595 Local Match 4, ,421 8,000 $780,421 Voluntary Pre Kindergarten 2,297,130 2,513, ,774 $5,535,823 Total Provider Payments 2,414,783 3,923,608 1,298,625 2,297,130 2,513, ,774 $13,172,839

21 / /2018 Budget/Projected Budget/Projected Income 4001 SR Revenue (Includes CCEP & PFP) 8,855,073 9,071, VPK Revenue 5,698,205 5,757, Local Grants Revenue 750, , Contribution/Misc Income 13,300 15,000 Total Income 15,316,578 15,657,911 Provider Payments 5010 SR Provider Payments 7,172,304 7,370, VPK - Provider Payments 5,465,713 5,536, Local Grants Provider Payments 748, ,411 Total Provider Payments 13,386,578 13,720,411 1,930,000 1,937,500 Expense 4150 Salaries & Wages 1,164,000 1,250, Payroll Taxes and Benefits 280, , Professional Fees 23,000 35, Program Costs 200,000 90, Non-Reimbursable Expenses 5,000 5, Education and Training 9,000 10, Advertising/Outreach 12,000 12, Dues & Subscriptions 7,000 7, Equipment Lease/Service 12,000 12, Equip Purchase/Software Support 12,000 12, Insurance 12,000 12, Licenses, Permits & Taxes 10,000 10, Miscellaneous Expense 3,000 3, Office Supplies & Expenses 5,000 5, Postage, Shipping, Delivery 2,000 2, Printing & Copying 5,500 5, Rent and Occupancy 99, , Telephone & Communication 24,000 24, Travel, Meals & Lodging 30,000 30, Depreciation 12,000 10,000 TOTAL EXPENSES 1,926,500 1,937,500 NET INCOME 3,500 0

22 20 Early Learning Coalition of IRMO ACTION ITEM Action Item: Date: 5/25/17 Subject: CEO Job Description Background Information The Bylaws/Personnel was requested to update the current CEO Job Description. The Bylaws/Personnel Committee met on March 7, 2017 and April 4, 2017 and updated the CEO Job Description. It was approved at the April 4, 2017 meeting to submit to the Board for final approval. Supporting Documentation Included CEO Job Description Proposed Action Approval of CEO Job Description as submitted. History of Item: Committee or Council Date of Meeting Action Bylaws/Personnel 4/4/17 Approved

23 21 Title: Status: Early Learning Coalition of Indian River, Martin & Okeechobee Counties Job Description Chief Executive Director Officer Salary Range: $85,000 - $100,000 Reports to: Exempt 12 Month Position Employment Agreement Coalition Chair and the Executive Committee Full Board SUMMARY OF RESPONSIBILITIES: This position requires a broad knowledge of program planning, community level strategic planning skills, leadership and ability to analyze and resolve complex social issues. The position requires significant skills in the areas of problem analysis and resolution, consensus building, group facilitation, strategic planning, management/leadership, finance, program planning, and contract management. The Chief Executive Director Officer will report to the Coalition Chair and the full board Executive Committee, as the chief executive in charge of operations. DUTIES AND RESPONSIBILITIES: Plans, develops and recommends to the Board policies and programs which will further the objectives of the Coalition. Executes all decisions, contracts, commitments as delegated by the ELC Board of Directors. Develops, implements and administers a comprehensive service delivery plan for programs funded by the state of Florida intended to enhance all children s readiness to enter kindergarten and/or participate in Voluntary Pre-kindergarten program. Recommends methods for improving/increasing early learning services to pre-school children and parents of pre-school children. Provides leadership and direction to all staff to ensure that the mission and goals of the Coalition are effectively carried out while assuring that the standard of professionalism identified by the Board is maintained. Prepares, maintains, and submits accurate and appropriate reports describing planning and evaluation activities to the Board and officers on all activities of the Coalition. Works cooperatively with Coalition members and staff to assess the community s needs for early education services. Ensures fiscal stability of the organization through developing alternative sources of funding, including grants, contracts, and conducting fund-raising activities. Prepares and recommends an annual budget to the coalition to insure proper allocation of cost, reasonable and necessary expenses and efficient use of resources consistent with the Office of Early Learning (OEL) guidelines.

24 22 Responsible for fiscal accounting to insure compliance with state and federal requirements under General Accepted Accounting Principles (GAAP) DUTIES AND RESPONSIBILITIES CONTINUED: Develops and implements health promotion programs as necessary. Coordinates coalition education programs and public information services. Facilitates and/or participates in community activities, promotes opportunities to market coalition programs, ascertains community needs and accomplishes goals and objectives of the Coalitions three county service area. Hires, supervises and terminates staff based on the job performance and personnel policies adopted by the coalition. Develops and operates within an annual budget; is responsible for prudent management of all funds and physical assets. Provides training and technical assistance to staff, Coalition membership, contracted providers, community partners, etc. on issues that promote the Coalition s mission and services. Performs related work as assigned by the Coalition Chair and the Executive Committee full board. KNOWLEDGE, SKILLS AND ABILITIES: Ability to establish and maintain effective working relationships with Coalition membership, staff, funders, and the general public. Plans, coordinates and controls the daily operation of the organization through the organization s managers. Establishes current and long range goals, objectives, plans and policies, subject to Board approval. Knowledgeable of community organizations and capable of carrying out programs within the community structure. Ability to listen and communicate clearly and concisely, orally and written. Competent to represent the organization in a variety of public and professional forums. Demonstrates the ability to compile, organize, and analyze data related to early education, child care and school readiness indicators. Ability to reach consensus on complex issues. Self-directed, motivated, and ability to effectively manage in a multi-task environment. QUALIFICATIONS: Minimum: Bachelor s degree in human services, early education, education, business or related field. Preferred: Master s degree in human services, early education, education, business, or related field. EXPERIENCE: Minimum: Fifteen years Mmanagement/leadership experience in human service, early education, or related field. Demonstrated experience with a broad range of stakeholders in a multi-county environment. Knowledge and/or Eexperience in fiscal management of non-profit institutions supervision of staff, and developing early education or related programs.

25 23 Preferred: Prior experience with direct board reporting relationship. Management of multi-million dollar non-profit organizations and public policy experience. SPECIFIC COMPETENCIES: Computer literacy in all currently used programs: Microsoft Office XP, Excel, Access, Statewide eligibility tracking systems, community-wide tracking databases. LANGUAGE SKILLS: Ability to read, analyze, and interpret general business periodicals, professional journals, technical procedures, or governmental regulations; write reports, business correspondence, and procedure manuals; and effectively communicate and present information and respond to questions from groups of managers, clients and the general public. PHYSICAL ACTIVITY/WORKING CONDITIONS: While performing the duties of this job, the employee is regularly required to sit, talk and hear. The employee is frequently required to use hands to finger, handle, or feel and reach with hands and arms. The employee is occasionally required to stand and walk. The employee must occasionally lift and/or move up to 10 pounds. Specific vision abilities required by this job include close vision and ability to adjust focus. The noise level in the work environment is usually quiet. The physical demands and work environment described are representative of those that must be met by an employee to successfully perform the essential functions of this job. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions of this job. Revised: 8/2004, 7/2005, 4/2006 Job Description Revised: August 2004 Job Description Revised: July 2005 Job Description Revised: April 2006

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34 32 FINANCE COMMITTEE MEETING MINUTES March 23, 2017 CareerSource Research Coast 584 NW University Blvd., Port St. Lucie Present: William Laughlin Ann Rodriguez (via teleconference) Brian Bauer Brandon Tucker Lison Philor-Jonnassaint (via teleconference) Excused: Cathleen Blair Staff: Migdalia Rosado Loretta Toth Zack Hackley Others: Julie Bixler Juelie Perry Barbara Clowdus Tom Peer Malissa Morgan Donna Rivett Steve Newman I. CALL TO ORDER The meeting was called to order by Chair, William Laughlin at 1:01 p.m. Roll call was taken and a quorum was present. II. III. IV. ANNOUNCEMENTS AND ADDITIONS/DELETIONS TO AGENDA None. ADOPTION OF AGENDA Motion to adopt the agenda was made by Brandon Tucker, seconded by Brian Bauer and passed unanimously. CONSENT AGENDA A. Finance Committee Minutes February 23, 2017 Motion was made by Brandon Tucker to approve the consent agenda. Motion was seconded by Ann Rodriguez and passed unanimously. V. OLD BUSINESS None. VI. VII. NEW BUSINESS None. FINANCIAL REPORTS Mr. Hackley reviewed the reports as of January, He informed the members that ELCIRMO is currently enrolling in all three counties. VIII. CHAIRMAN S COMMENTS None. IX. BOARD MEMBER COMMENTS None. X. PUBLIC COMMENTS None. XI. ADJOURNMENT There being no further business, the meeting was adjourned at 1:12 p.m.

35 Finance Committee Meeting 2 March 23, 2017 Respectfully submitted, 33 Approved 4/27/17 Will Laughlin, Chair WL:lt

36 34 FINANCE COMMITTEE MEETING MINUTES April 27, 2017 (Via Teleconference) ELC Main Office 10 SE Central Parkway, Suite 200, Stuart Present: William Laughlin Lison Philor-Jonnassaint (via teleconference) Brian Bauer (via teleconference) Ann Rodriguez (via teleconference) Cathleen Blair (via teleconference) Brandon Tucker (via teleconference) Staff: Loretta Toth I. CALL TO ORDER The meeting was called to order by Chair, William Laughlin at 1:02 p.m. Roll call was taken and a quorum was present. II. ANNOUNCEMENTS AND ADDITIONS/DELETIONS TO AGENDA None. Cathleen Blair joined the call at 1:03 p.m. III. IV. ADOPTION OF AGENDA Motion to adopt the agenda was made by Brian Bauer, seconded by Cathleen Blair and passed unanimously. CONSENT AGENDA A. Finance Committee Minutes March 23, 2017 Motion was made by Brandon Tucker to approve the consent agenda. Motion was seconded by Lison Philor-Jonnassaint and passed unanimously. V. OLD BUSINESS None. VI. VII. NEW BUSINESS Mr. Laughlin informed the committee that Mr. Hackley was attending a meeting in Tallahassee today, and he was reporting on his behalf. OEL s current projections show ELCIRMO is expected to have a $1 million surplus at year end. Mr. Laughlin explained that CCEP funds (dollar-for-dollar match) are currently being expended which do not draw down from the state as quickly. Those funds have been nearly expended and the BG8 (working poor) dollars will begin to be expended, which draw down much quicker. FINANCIAL REPORTS Mr. Laughlin reviewed the reports as of February, There were no questions. Ann Rodriguez joined the call at 1:10 p.m. VIII. CHAIRMAN S COMMENTS None. IX. BOARD MEMBER COMMENTS None. X. PUBLIC COMMENTS None.

37 Finance Committee Meeting 2 April 27, 2017 XI. ADJOURNMENT There being no further business, the meeting was adjourned at 1:12 p.m. 35 Respectfully submitted, Will Laughlin, Chair WL:lt

38 36 BYLAWS/PERSONNEL COMMITTEE MEETING MINUTES April 4, 2017 St. Lucie County School Board 4204 Okeechobee Road, Fort Pierce Present: Tom Peer Cathleen Blair (via teleconference) Sandy Akre Barbara Clowdus Julie Bixler (via teleconference) Susan Curtis (via teleconference) Excused: Michelle Akins Brandon Tucker Staff: Migdalia Rosado Loretta Toth Zack Hackley I. CALL TO ORDER The meeting was called to order by Chair, Tom Peer at 8:34 a.m. Roll call was taken and a quorum was present. II. III. IV. ANNOUNCEMENTS AND ADDITIONS /DELETIONS TO AGENDA None. ADOPTION OF AGENDA Motion was made by Cathleen Blair and seconded by Sandy Akre to adopt the agenda. Motion carried unanimously. CONSENT AGENDA March 7, 2017 Minutes Motion was made by Cathleen Blair and seconded by Sandy Akre to approve the consent agenda as presented. Motion carried unanimously. V. OLD BUSINESS A. Review Revised CEO Job Description The following change was recommended: Under Summary of Responsibilities, the last sentence should read The Chief Executive Officer will report to the Coalition Chair and the full board, as the chief executive in charge of operations. Motion was made by Cathleen Blair to approve the recommended change. Motion was seconded by Sandy Akre and passed unanimously. The committee discussed key items to be stated in the Experience section. Ms. Rosado offered to reword the paragraph with the recommended suggestions for review by the Committee.

39 Bylaws-Personnel Meeting April 4, 2017 Page 2 37 B. CEO Salary Range Consideration Mr. Peer highlighted CEO salaries from a variety of coalitions based on the number of children served, budget and single/multi-county coalition. Motion was made by Sandy Akre to approve a salary range of $85,000 to $95,000. Motion was seconded by Barbara Clowdus. After discussion, Motion was Withdrawn by Sandy Akre, seconded by Barbara Clowdus. Motion was made by Sandy Akre to approve a salary range of $85,000 to $100,000. Motion was seconded by Cathleen Blair and passed unanimously. Follow-up/Action: 1) Job description revisions presented at next meeting Migdalia Rosado VI. VII. NEW BUSINESS - None BOARD MEMBER COMMENTS - None VIII. PUBLIC COMMENTS - None IX. ADJOURNMENT There being no further business, the meeting adjourned at 9:53 a.m. on a motion by Cathleen Blair, seconded by Sandy Akre. Respectfully submitted, Approved 5/2/17 Tom Peer, Chair TP/lt

40 38 BYLAWS/PERSONNEL COMMITTEE MEETING MINUTES May 2, 2017 (Via teleconference) ELC Main Office 10 SE Central Parkway, Suite 200, Stuart Present: Tom Peer (via teleconference) Cathleen Blair (via teleconference) Sandy Akre (via teleconference) Barbara Clowdus (via teleconference) Michelle Akins (via teleconference) Susan Curtis (via teleconference) Julie Bixler (via teleconference) Excused: Brandon Tucker Staff: Migdalia Rosado Loretta Toth Zack Hackley I. CALL TO ORDER The meeting was called to order by Chair, Tom Peer at 8:33 a.m. Roll call was taken and a quorum was present. II. III. IV. ANNOUNCEMENTS AND ADDITIONS /DELETIONS TO AGENDA Ms. Akre requested that ELCIRMO s operating hours be added to the May Board agenda. ADOPTION OF AGENDA Motion was made by Cathleen Blair and seconded by Julie Bixler to adopt the agenda. Motion carried unanimously. CONSENT AGENDA March 7, 2017 Minutes Motion was made by Cathleen Blair and seconded by Julie Bixler to approve the consent agenda as presented. Motion carried unanimously. V. OLD BUSINESS A. Review Revised CEO Job Description Ms. Rosado reviewed the changes made by the Committee at the April meeting. Ms. Blair questioned what employment agreement refers to under the Status section. Ms. Rosado explained that the employment agreement is basically the CEO s contract which outlines all terms and conditions of employment such as compensation, length of the contract, etc. There were no other questions. Motion was made by Cathleen Blair to approve the job description as presented. Motion was seconded by Michelle Akins and passed unanimously.

41 Bylaws-Personnel Meeting May 2, 2017 Page 2 39 VI. VII. NEW BUSINESS - None BOARD MEMBER COMMENTS - None VIII. PUBLIC COMMENTS - None IX. ADJOURNMENT There being no further business, the meeting adjourned at 8:46 a.m. Respectfully submitted, Tom Peer, Chair TP/lt

42 40 EXECUTIVE COMMITTEE MEETING MINUTES May 9, 2017 (via teleconference) ELC Main Office 10 SE Central Parkway, Suite 200 Stuart, FL Present: Brandon Tucker (via teleconference) Donna Rivett (via teleconference) Michelle Akins (via teleconference) Deborah Schooley (via teleconference) Will Laughlin Excused: Cathleen Blair Tom Peer Staff: Migdalia Rosado Loretta Toth Zack Hackley I. CALL TO ORDER The meeting was called to order by Chair, Brandon Tucker at 9:08 a.m. Roll call was taken and a quorum was present. II. III. IV. ANNOUNCEMENTS AND ADDITIONS/DELETIONS TO AGENDA None. ADOPTION OF AGENDA Motion to adopt the agenda as presented was made by Will Laughlin, seconded by Donna Rivett and passed unanimously. CONSENT AGENDA A. Minutes Executive Committee, February 21, 2017 Ms. Toth noted the following correction to the minutes: Michelle Akins should be listed as excused. Motion was made by Donna Rivett to approve the minutes as amended. Motion was seconded by Will Laughlin and passed unanimously. V. NEW BUSINESS A. Action Item Slate of Nominees for Officers To comply with the bylaws, the Executive Committee prepared the following slate of nominees to be presented to the May Board meeting. Vice-Chair Secretary Treasurer/Finance Chair Bylaws/Personnel Committee Chair Program Quality Committee Chair Member-at-Large Will Laughlin Michelle Akins Ann Rodriguez Julie Bixler Barbara Clowdus Donna Rivett Any nominees not present at today s meeting will be contacted to receive their consent as a nominee. The slate will be presented to the Board at the May meeting, at which time the Chair will entertain additional nominees from the floor. The official Election of Officers will be held at the June Board meeting.

43 Executive Committee Meeting 2 May 9, Motion to accept the slate of officers as presented was made by Michelle Akins, seconded by Will Laughlin and passed unanimously. Follow-up/Action: 1) Slate of nominees will be presented at the May Board meeting. VI. VII. CHAIRMAN COMMENTS None BOARD MEMBER COMMENTS Mr. Laughlin asked Ms. Rosado to comment on the recent legislation included in the state budget. She read the language which directs the Office of Early Learning to recommend changes by September 1, 2017 to the number and locations of the early learning coalitions that are established pursuant to section , Florida Statutes, to be no more than 25 early learning coalitions. A copy will be sent to all board members. Mr. Tucker informed the committee of his recent visit with Indian River County funders. VIII. PUBLIC COMMENTS - None IX. ADJOURNMENT There being no further comments, the meeting was adjourned at 9:22 a.m. Respectfully submitted, Brandon Tucker, Chair BT:lt

44 42 PROGRAM COMMITTEE MEETING MINUTES (Via Teleconference) May 4, 2017 ELC Main Office 10 SE Central Parkway, Suite 200, Stuart Present: Brooke Flood (via teleconference) Deborah Schooley (via teleconference) Steve Newman (via teleconference) Joy Yates (via teleconference) Excused: Jennifer Corkern Donna Rivett Sabina Guthrie Staff: Migdalia Rosado Pat Houston Zack Hackley Loretta Toth I. CALL TO ORDER In the absence of the Program Committee Chair, the meeting was chaired by Mr. Newman who called the meeting to order at 8:20 a.m. Roll call was taken. A quorum was not present. The meeting continued for information purposes until a quorum could be established. II. ANNOUNCEMENTS AND ADDITIONS/DELETIONS TO AGENDA None III. ADOPTION OF THE AGENDA (Action was taken after the quorum was met). Motion to adopt the agenda, was made by Joy Yates, seconded by Deborah Schooley and passed unanimously. IV. CONSENT AGENDA A. Program Minutes March 2, 2017 (Action was taken after the quorum was met). Motion to approve the consent agenda was made by Brooke Flood, seconded by Deborah Schooley, and passed unanimously. V. OLD BUSINESS None Brooke Flood joined the call at 8:22 a.m. VI. NEW BUSINESS A. Quality Initiative School Readiness Provider Stipend Program Pat Houston reviewed the program as outlined in the packet. Staff recommended a change to the 2 nd bullet under Stipend Criteria and Requirements to read, The stipend will be based on October 2016 attendance of contracted SR children ages birth to five-years old. The change will simplify the calculations and allow the process to be concluded in a timely fashion. Ms. Houston addressed all questions. The committee agreed via consensus to move forward with the program. (Action was taken after the quorum was met). Motion was made by Deborah Schooley to approve the School Readiness Provider Stipend Program as presented with the recommended change. Motion was seconded by Joy Yates and passed unanimously. B. Program Updates Ms. Houston provided the following updates:

45 Program Committee Meeting Minutes 2 May 4, ELCIRMO has received a summer slide grant through the Martin County Board of County Commissioners which begins this summer for VPK graduates. In addition, ELCIRMO is working with Martin County School District on a similar program for next summer. The Transition to Kindergarten Committee (OEL forum) is trying to get school districts and coalitions to develop initiatives for the process. In her absence, Jennifer Corkern sent in comments which were read by Ms. Houston. Brooke Flood also commented that the meeting was fantastic. Joy Yates joined the call at 8:48 a.m. A quorum was present and the action items were addressed. Committee members were invited to attend the May provider meetings. The Performance Funding Pilot is wrapping up for the year. The application for has not yet been released. Staff and providers will be invited to attend a school district training in Martin County on building readers. VII. FUTURE AGENDA ITEMS The following items were discussed: Ms. Houston expressed concern with the STAR Assessment that will be instituted in kindergarten which requires children to test on a computer using a mouse. VIII. BOARD MEMBER COMMENTS Mr. Newman shared an analysis he did in Indian River County to determine the number of children not being served. He questioned the outreach efforts and how they could be improved to reach more families and recommended it be an agenda item at a future meeting. He suggested staff also perform an analysis to determine how many families are not being served. Brooke Flood left the call at 9:33 a.m. IX. PUBLIC COMMENTS None. X. ADJOURNMENT There being no further business, the meeting was adjourned at 9:34 a.m. Respectfully submitted, Steve Newman, Acting Chair SN/lt

46 44 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. Comparison of Number of Children Served by County School Readiness March 17 March 16 Difference Indian River Martin Okeechobee Totals VPK March 17 March 16 Difference Indian River Martin Okeechobee Totals Wait list by County As of 5/3/2017 Indian River Okeechobee Martin Total Disclaimer: " These numbers may not be an accurate representation of the need in the community" RMF 5/10/2017

47 45 Independent Accountants Report on Financial Compliance Advisory Services Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 The Florida Office of Early Learning is an equal opportunity employer/program. The Florida Office of Early Learning will provide auxiliary aids and services upon request to individuals with disabilities. All voice telephone numbers on this document may be reached by persons using TTY/TDD equipment via the Florida Relay Service at 711.

48 46 Independent Accountants Report on Financial Compliance Advisory Services Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Contents Transmittal Letter...1 I. Executive Summary Findings Observations... 5 II. Schedule of Findings Preventive / corrective action plan (PCAP) implementation Financial management systems Internal control environment Cash management OEL statewide information system reporting and reconciliation - N/A Prepaid program items Cost allocation and disbursement testing Travel Purchasing Contracting Subrecipient monitoring III. Schedule of Observations Observations from onsite visit Items for OEL follow-up... 11

49 47 HCT Certified Public Accountants & Consultants, LLC March 31, 2017 State of Florida Office of Early Learning Tallahassee, Florida We have performed specific financial compliance consulting services as described in the Florida Office of Early Learning s Onsite Financial Monitoring Tool for the Early Learning Coalition of Indian River, Martin and Okeechobee Counties, Inc. (ELC 26 or the entity). These services were contracted by the Office of Early Learning (OEL) to comply with its oversight and monitoring responsibilities as outlined in applicable federal regulations and state statutes. 45 Code of Federal Regulations (CFR) (a), USDHHS, Monitoring and reporting program performance; 2 CFR (a), Monitoring and reporting program performance; 2 CFR (d), Requirements for pass-through entities; and Chapter (2)(p), Florida Statutes (F.S.), OEL; powers and duties. These advisory services were conducted in accordance with the attestation standards established by the American Institute of Certified Public Accountants. OEL is solely responsible for the sufficiency of the procedures performed. Consequently, we make no representation regarding the sufficiency of the procedures performed, either for the purpose for which this report has been requested or for any other purpose. On March 28, 2017 through March 31, 2017, we visited Early Learning Coalition of Indian River, Martin and Okeechobee Counties, Inc. (ELC 26) and performed financial compliance consulting services as summarized in OEL s Onsite Financial Monitoring Tool for the period November 1, 2015 through December 31, 2016 The procedures performed and our related findings begin on page 6 of this report. We were not engaged to and did not conduct an examination, the objective of which would be the expression of an opinion on the entity s compliance with the previously described financial management standards as outlined in applicable Office of Management and Budget Uniform Grant Guidance, Code of Federal Regulations, or other state and federal requirements. Accordingly, we do not express such an opinion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to OEL. Page -1-

50 48 This report is intended solely for the information and use of OEL and OEL s management, and is not intended to be and should not be used by anyone other than these specified parties. HCT Certified Public Accountants & Consultants, LLC HCT Certified Public Accountants & Consultants, LLC. Page -2-

51 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Executive Summary I. Executive Summary 1.0 Findings We performed financial monitoring procedures based on the testing procedures included in OEL s Onsite Financial Monitoring Tool, which is available on OEL s website Onsite Financial Monitoring Tool Our procedures were performed using firm and professional standards. A summary of the testing categories, or Objectives, used during this engagement and the related monitoring results are summarized here. Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Monitoring Results Objectives (1) Prior Period Findings Current Period Findings 1.0 Preventive /corrective action plan (PCAP) - - Implementation 2.0 Financial management systems Internal control environment Cash management OEL s statewide information system 1 N/A N/A 6.0 Prepaid program items Cost allocation and disbursement testing Travel Purchasing Contracting Subrecipient monitoring - - TOTAL 1 1 (1) Objective 5.0 For , testing of this objective is not included in the scoped onsite financial monitoring tasks. This objective has been shown for disclosure purposes only. Page -3-

52 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Executive Summary Included in the table below is a summary of the results from our review of prior period findings. New findings may occur in the current period if prior period findings which should have been corrected remain unresolved. Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Status of Prior Period Findings Finding Resolved Partially Resolved Unresolved New Finding ELC Cost allocation and disbursement testing Improper allocation of payroll processing fees X None These financial monitoring procedures apply to both the School Readiness (SR) and Voluntary Prekindergarten (VPK) programs. Since Chapter 1002, F.S. does not provide specific financial monitoring steps for the federally-funded School Readiness program or the state-funded VPK program, the minimum federal standards have been applied to both programs. The attached Schedule of Findings contains detailed information about current period and prior period findings. If the entity has current period findings it must submit a preventive/corrective action plan (PCAP) response to OEL within 30 days of receiving this report. Please contact OEL staff with any questions about the PCAP process. Page -4-

53 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Executive Summary 2.0 Observations Other matters or circumstances may have been noted by us as we completed the indicated monitoring tasks. Detailed information about these observations is provided in The Schedule of Observations and is summarized here. Observations from onsite visit The monitoring team noted no observations in the current period. Items for OEL follow-up The monitoring team noted no items for OEL follow-up. This monitoring report is intended solely for the information and use of OEL and OEL s management and is not intended to be and should not be used by anyone other than these specified parties. Page -5-

54 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Schedule of Findings II. Schedule of Findings We performed financial monitoring procedures based on the Testing Procedures included in OEL s Onsite Financial Monitoring Tool, which is available on OEL s website Onsite Financial Monitoring Tool The monitoring procedures performed included tests of details of transactions, file inspections and interviews with the entity s personnel (1) to determine the status of recommendations from the prior period monitoring visit(s) and (2) to adequately support the current period findings and recommendations. Detailed information for these items is disclosed in the following sections of this report. 1.0 Preventive/corrective action plan (PCAP) implementation The current period monitoring procedures were performed to determine if the entity implemented the required preventive and corrective actions as described in the accepted PCAP from the most recently closed grant program year. Prior Year Finding # ELC Cost allocation and disbursement testing Improper allocation of payroll processing fees Finding/Condition: During testwork we noted one sampled disbursement totaling $ for payroll processing fees allocated to non-administrative OCA codes. These costs were allocated in error to multiple SR/VPK OCA codes based on directly-reported staff hours from monthly personal activity reports (PARs). However, payroll administration fees are designated administrative costs and must be allocated to OCAs 97BBA and VPADM only. Status: Corrective action resolved. No findings were noted in the prior period. 2.0 Financial management systems The current period monitoring procedures were performed to gain an understanding of the entity s financial and operational environments through review of policies and procedures, observation of processes, document inspection and interviews of entity personnel. Page -6-

55 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Schedule of Findings No findings were noted in the current period. 3.0 Internal control environment The current period monitoring procedures were performed to gain an understanding of the entity s internal control environment through testing of key internal controls and observation of entity operations to ensure compliance with Federal laws, regulations and grant program compliance requirements. No findings were noted in the current period. 4.0 Cash management The current period monitoring procedures were performed to determine if sampled documentation demonstrated appropriate and sufficient cash management procedures are in place and being followed. The processes examined include cash management procedures related to sources of other non-grant revenues. No findings were noted in the current period. See The Schedule of Observations for observations related to this objective. 5.0 OEL s statewide information system reporting and reconciliation N/A for Prepaid program items The current period monitoring procedures were performed to identify any prepaid program activity for this entity. If such activity was found, monitoring procedures were applied to determine if all prepaid program items were appropriately safeguarded, managed, tracked and reported. Based on results obtained from inquiries made to and an inspection of data items provided by entity personnel the monitors noted no current year prepaid program item activity. Page -7-

56 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Schedule of Findings 7.0 Cost allocation and disbursement testing The current period monitoring procedures were performed to determine if sampled disbursements were appropriately incurred and posted within the entity s financial records. Sampled items were tested to ensure the activity: is allowable, has appropriate approval (including pre-approval from OEL if needed), and meets the period of availability requirements for the grant monies used to fund disbursements. Sampled items are also tested to verify appropriate allocation in accordance with applicable cost principles, grant program compliance requirements and guidance issued by OEL. Finding # ELC Cost allocation and disbursement testing Unallowable use of funds items for personal use Finding/Condition: During our detailed testing, we noted a compliance issue for one of thirty-four items tested as described here. Date: 8/26/2016; Check: #1727; GL Code: Staff Development/Training/Conferences; Amount: $2,385.84; Grant period/oca Code: /Various SR OCAs: Vendor/Payee: Sam s Club Direct; Description: 24 Fitbits (activity trackers that monitor heart rates and miles walked for staff, purchased to encourage health and welfare benefits); Issue(s): The ELC purchased items whose intended benefit to the federal/state grant programs charged is unclear and which are not apparently necessary for the Coalition to carry out its statutory duties. Goods or services generally used for the personal convenience of employees are unallowable costs for the SR and/or VPK programs. Criteria: 2 CFR (a), Factors affecting allowability of costs, states that to be allowable, a cost must generally be necessary and reasonable for the performance of the Federal award 2 CFR (a), Reasonable costs, instructs that a cost is reasonable if, in its nature the cost is a type generally recognized as ordinary and necessary for the operation of the nonfederal entity or the proper and efficient performance of the Federal award. 2 CFR , Employee health and welfare costs, which instructs costs incurred in accordance with the non-federal entity s documented policies for the improvement of working conditions, employer-employee relations, employee health and employee performance are allowable. DFS/DMS training files instruct that items that are considered for the personal convenience/use of entity staff are typically not allowable, unless there is specific statutory authority for the program charged to expend funds in this manner. Page -8-

57 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Schedule of Findings Cause: The Coalition s management applied the instructions from 2 CFR , Employee health and welfare costs, and believed this purchase met the criteria from the other listed citations for allowable costs, since the language is non-specific and includes no examples for allowable/unallowable items. Effect: Unallowable costs of $2, charged to SR and VPK programs. Recommendation(s): The Coalition should complete tasks that include, but are not limited to, the following. 1. Confirm for OEL the total costs of the selected expenditure items. Testing records indicate the costs for the tested transaction total $2, for 24 Fitbits purchased for staff. 2. Review the Coalition s records for the entire monitoring period to identify other similar expenditures purchased for employee health and wellness purposes from SR and/or VPK program funds. 3. Prepare a list and provide supporting documentation to OEL regarding any additional expenditure(s) identified in the review, if any. OEL will evaluate the information submitted and determine the extent of questioned costs and provide instructions for the repayment of funds, as appropriate. 4. For the sampled transaction described, prepare correcting/adjusting journal entries in accordance with OEL Program Guidance to remit/return $2, to OEL. 5. Review and revise the Coalition s internal controls, policies and procedures as necessary to ensure adequate guidance to staff. 6. Conduct training as necessary to help ensure Coalition staff knows about and can follow established or revised internal controls, policies and procedures. 8.0 Travel The current period monitoring procedures were performed to determine if the entity s sampled travel-related expenditures are paid in accordance with applicable federal/state laws and rules, and entity-established policies. No findings were noted in the current period. Page -9-

58 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Schedule of Findings 9.0 Purchasing The current period monitoring procedures were performed to determine if the sampled procurement transactions comply with the appropriate federal or state procurement laws, as well as the entity s procurement policies. No findings were noted in the current period Contracting The current period monitoring procedures were performed to determine if the sampled contract transactions demonstrate the entity s contracting processes comply with federal and state requirements, as well as the entity s own contracting policies. No findings were noted in the current period Subrecipient monitoring The current period monitoring procedures were performed to identify any subrecipient activity for this entity. If such activity was found, monitoring procedures were applied to determine if the entity s disclosure requirements and subrecipient monitoring activities comply with federal grant program requirements, state laws and the entity s own policies and procedures. Based on results obtained from inquiries made to and an inspection of data items provided by entity personnel the monitors noted no current year subrecipient activity. Page -10-

59 Early Learning Coalition of Indian River, Martin & Okeechobee Counties, Inc. (ELC 26) Financial Monitoring Report Period Reviewed: November 1, December 31, 2016 Schedule of Observations III. Schedule of Observations 1.0 Observations from onsite visit The monitoring team noted no observations in the current period. 2.0 Items for OEL follow-up The monitoring team noted no items for OEL follow-up. Page -11-

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